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HomeMy WebLinkAboutresolution.council.167-25RESOLUTION # 167 (Series of 2025) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING AN ADDENDUM TO CITY OF ASPEN AND ACRA TOURISM PROMOTION FUND AGREEMENT DATED JANUARY 1, 2023, AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID ADDENDUM ON BEHALF OF THE CITY OF ASPEN, COLORADO. WI�REAS, there has been submitted to the City Council an Addendum to City of Aspen and ACRA Tourism Promotion Fund Agreement Dated January 1, 2023, a true and accurate copy of which addendum is attached hereto as Exhibit «A» NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, That the City Council of the City of Aspen hereby approves that Addendum to City of Aspen and ACRA Tourism Promotion Fund Agreement Dated January 1, 2023, a true and accurate copy of which addendum is attached hereto as Exhibit "A" and does hereby authorize the City Manager to execute said Addendum on behalf of the City of Aspen. RESOLVED, APPROVED, AND ADOPTED FINALLY by the City Council of the City of Aspen on the 16th day of December 2025. 1 Richards, Mayor l 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 City of Aspen, Colorado, at a meeting held, December 16, 2025. Nicole Henning, City Cl Docusign Envelope ID: CF90E8D6-9648-4EB7-8D7F-EF5C0195F497 ADDENDUM TO CITY OF ASPEN AND ACRA TOURISM PROMOTION FUND AGREEMENT DATED JANUARY 1, 2023 THIS ADDENDUM, effective this OF ASPEN (the "City") and the ASPEN concerns the following: day of December 2025, by and between the CITY CHAMBER RESORT ASSOCIATION ("ACRA"), WHEREAS, the City of Aspen is a world renowned tourist destination; and WHEREAS, the continuation of a healthy tourism industry is essential for the economic well-being of the City of Aspen and the general welfare of its citizens and such an industry requires a continuing investment in the planning, promotion, and development of the City of Aspen as a world renowned travel destination; and WHEREAS, the City Council has determined that it should be the policy of the City to guide a sustainable and coordinated tourism industry in the City of Aspen; and WHEREAS, the City Council has determined that such an effort should be financed, in part, by a Visitor Benefit and Promotion Tax upon the leasing or renting of rooms or other accommodations in commercial lodging accommodations by short term visitors and guests; and WHEREAS, pursuant to Article X, Section 20, of the Colorado Constitution, and Section I2.1 of the Aspen Home Rule Charier, the voters approved of the imposition of a total 2% Visitor Benefit and Promotion Tax at the November 7, 2000 and the November 2, 2010 elections; and, WHEREAS, consistent with the imposition of the tax, the City and ACRA entered into the ACRA Tourism Promotion Fund Agreement dated January 1, 2023. Such agreement contemplated occupancy of a part of the Armory building at 130 S. Galena Street by ACRA from administrative services; and, WHEREAS, the City Council has determined that the proposed repurposing of the Armory Building will not be able to provide space for ACRA's administrative services; and, WHEREAS, the City Council has detez�rnined that it is necessary for any entity retained by it pursuant to Section 23.50.050(f), in order to provide the services promoted pursuant to Section 23.50.050, that it have a presence in the City of Aspen and that the funds generated by the tax may be, upon the approval of City Council, appropriately used for the purpose of providing a viable space for the operation of such services; and, WHEREAS, pursuant to Section 23.50.050(f), the City is willing to commit funds for the purchase and acquisition of space fox ACRA's administrative services and that at this time it is in the best interest of both parties to memorialize the agreement of the parties regarding Docusign Envelope ID: CF90E8DB-9648-4EB7-8D7F-EF5CO195F497 future use by ACRA of the Armory Building and the commitment of Council to provide funding to ACRA for the acquisition of such administrative space. AGREEMENT NOS THEREFORE, in consideration of the mutual covenants herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby mutually acknowledged, the parties agree as follows: 1. All references to any obligation of the City to lease or otherwise provide property or premises to ACRA for administrative office space, including within the City's property known as the Armory, set forth in the CITY OF ASPEN AND ACRA TOURISM PROMOTION FUND AGREEMENT DATED JANUARY 1, 2023, (the "Agreement"), including but not limited to the commitments in Paragraphs 4, 13, and Exhibits A and B, are hereby deleted in their entirety. 2. The City and ACRA agree that ACRA shall maintain its current occupancy of the Armory until May 31, 2026, or such time as may be extended by mutual agreement of the parties. 3. Pursuant to Section 23.50.050(f)(9) of the Aspen Municipal Code, The City approves of the use of Tourism Promotion Fund Dollars previously collected to be used by ACRA towards the purchase of real property for use by ACRA as administrative office space up to the amount of 50 % of the purchase price, with a total contribution by the City toward the purchase price not greater than $1.5 million ("Purchase Funds"). In addition, the City will pay City's Real Estate Transfer Tax for such purchase from the City of Aspen General Fund. ACRA. shall repay the Purchase Funds without interest to the City of Aspen Tourism Promotion Fund upon the sale of the Property. At closing on the purchase of the Property, the parties will record a Memorandum of Agreement to memorialize this repayment obligation and to secure such obligation upon the sale of the property. 4. Nothing herein shall modify the City of Aspen's obligations in the Agreement as to the Aspen Visitor Centers. 5. In Exhibit A, Section I, Paragraph C of the Tourism Promotion Fund Agreement, the number 62% shall be modified to 60%. 6. A11 other terms of the Agreement not amended or otherwise inconsistent with the terms of this Addendum shall remain in full force and effect and the parties retain all rights, claims, defenses and privileges set forth therein. 7. This document maybe executed in counterpart original copies, with the original signatures on separate pages to be collated together on one original form of the agreement. Docusign Envelope ID: CF90E8DB-9648-4EB7-8D7F-EF5C0195F497 DocuSigned by: Attest: City Cleric ASPEN, a municipal corporation By: Pete Strecker ASPEN CHAMBER RESORT ASSOCIATION By: Debbie Braun, President i Docusign Envelope ID: CF90E8DB-9648-4EB7-8D7F-EF5CO195F497 Final Audit Report 2025-1: Created; 2025-12-10 By: John Davies (jdavies@aspenchamber.org) Status: Signed Transaction ID: CBJCIIBCAABAA2pijrd5x1KbOYG9ReuZzFKeFr91pKCJl< "��urJ�n�nded and Restated" History '� ' ! Document created by John Davies (jdavies@aspenchamber.org) 2025-12-10 - 4:19:00 PM GMT �: Document emailed to Debbie Braun (dbraun@aspenchamber.org) for signature 2025-12-10 - 4:19:04 PM GMT "` Email viewed by Debbie Braun (dbraun@aspenchamber.org) 2025-12-10 - 4:20;07 PM GMT 6© Document e-signed by Debbie Braun (dbraun@aspenchamber.org) Signature Date: 2025-12-10 - 4;21:29 PM GMT -Time Source: server � Agreemenfi completed. 2025-12-10 - 4:21:29 PM GMT Adobe Acrobat Sign