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HomeMy WebLinkAboutminutes.council.20020909Regular Meeting ASpen Ci~, Council September 9~ 2002 CITIZEN PARTICIPATION .......................................................................... 2 COUNCILMEMBER COMMENTS .............................................................. 2 CONSENT CALENDAR ................................................................................ 2 [] Resolution #83, 2002 - Amendment to Agreement with Tower, 303 South Cleveland .......................................................................................... 3 [] Minutes - August 26, 2002 .................................................................. 3 RESOLUTION #84, SERIES OF 2002 - Wind Energy Contract .................. 3 REHABILITATION OF THE MILL STREET WELL .................................. 3 BURLINGAME COWOP UPDATE ............................... i .............................. 5 BURLINGAME PARCEL D. .............i .............................. i ............................ 9 1 Regular Meeting Aspen Ci,ty Council September 9, 2002 Mayor Klanderud called the meeting to order at 5:00 p.m. with Councilmembers Pau!son, McCabe, Hershey and Semrau present. Linda Gerdenich, community relations, presented Council with an award for excellence from the City/County Communications Marketing Association. This award is for the city's Olympic Torch relay marketing campaign. Mayor Klanderud presented Council with the Elizabeth Paepcke award from the Aspen Historic Preservation Commission for Council's adoption of the new historic preservation ordinance including benefits for property owners who pursue preservation. CITIZEN PARTICIPATION 1. Jon Busch brought up the Rio Grande trail east of town. Busch said this trail has not been completed and the city should pursue this. Busch said he understands there are some difficulties with property owners. Council said alternative alignments are being looked at. Mayor Klanderud suggested Busch contact the Open Space and Trails committee to make sure this is one of their priorities. 2. Kip Wheeler asked about the brochure that is to be placed in the restored trolley at Rubey Park. Mayor Klanderud said staff and Council are reviewing this to make sure it does not break any election campaign laws. Wheeler said an explanation of the restoration on the trolley was part of the understanding with the donor. COUNCILMEMBER COMMENTS 1. Councilman Paulson reported that the conference in Glenwood Springs with the rail group who run the single train cars was a success and a lot of people got rides from Glenwood to Carbondale. 2. City Manager Steve Barwick requested an executive session at the end of the meeting for advice from counsel. CONSENT CALENDAR Councilman Hershey moved to approve the consent calendar; seconded by Councilman Semrau. The consent calendar is: 2 Regular Meeting Aspen City Council September 9, 2002 ~ Resolution #83, 2002 - Amendment to Agreement with Tower, 303 South Cleveland = Minutes - August 26, 2002 All in favor, motion carried. Councilman Hershey moved to continue Ordinance #30, Series of 2002, Marqusee Rezoning, to September 23rd; seconded by Councilman Semrau. All in favor, motion carded. RESOLUTION #84~ SERIES OF 2002 - Wind Energy Contract Phil Overeynder, water department, reminded Council they discussed this last month in a work session. Staff is requesting approval of a contract with Municipal EnergY Agency of Nebraska to purchase wind ~nergy. The total amount of this purchase is 5.75% of the city's total production or 3.7 million kWh annually. Overeynder said this will be funded through the existing budgeted amount for wind energy purchase. Overeynder said last year the city had a contract with Platte River. This city will be purchasing wind energy from MEAN, who is the city's principle energy supplier. This gives the city the advantage of ownership over being renters. Overeynder said this Will cost $60,000 over the existing Wind energy purchases: Staff is going to request $40,000 from CORE from monies from the renewable energY mitigation program. Overeynder told Council wind energy is highest on the list of reduction of greenhouse gases. Staff is asking for a long-term commitment from Council. The CORE funds will probably only cover 4 years. Overeynder said the 5.75% wind power will be the highest in the country; the city's total renewable energy will be 54%. Councilman McCabe moved to adopt Resolution #84, Series of 2002; seconded by Councilman Paulson. All in favor, motion carried. REHABILITATION OF TIlE MILL STREET WELL Phil Overeynder, water department, recommended moving this project from 2003 up to 2002 and the amount of funding be increased to $215,000, higher than the original estimate of rebuilding this well. Regular Meeting Aspen Ci,ty Council September 9, 2002 Overeynder told Council in the early 1960's the Mill street well was drilled and served as part of the municipal water supply. Overeynder said the well has not been operable in the last 10 years except for irrigation of the Rio Grande park. This well is loCated behind Clark's Market. In 1994, the city did a water supply availabilitY study, which lOOked at all SOurces of water to meet a critical drought. Overeynder noted this stUdy indicated the city's surface supplies need to be supplemented by ground water supplies during critical drought periods. Overeynder said this study focused on summer water supply, not winter supply. The city supplies water to the Aspen Skiing Company for snowmaking on Aspen Mountain and Highlands. The Ski Company's hydrologic analysis projected the city could be as much as 25% short this winter. The Ski Company is concerned about an adequate supplY ofwaterl Overeynder told Council this concern is the reason he is recommending this project be moved forward. The city will still have to complete the design, bid the project in order to have it ready to go for this fall. The Council will still have to approve the well drilling contract. Overeynder said the well could provide between, depending on the time of year, 25 and 70% of the municipal water supply. The well was designed to suPPlement the water suPPlies Out of Castle and Maroon creek during the summer months, changes are needed in order to use this well for snowmaking. Overeynder said the city and Ski Company are continuing to work on a joint hydrological study. Overeynder requested budget authority in order to do the engineering on this well. Councilman Hershey moved to appropriate $215,000 from the water fund for the purpose of redeveloping the Mill Street well; seconded by Councilman Semrau. Councilman Paulson asked staffto address the effects of this well on Hallam Lake when the contract is brought back, including any contaminants from old mines. Overeynder told Council this well goes back to the 60's and the legal right to extract water exists. The wells have operated previously. The well is already hoOked into the city's water system and the pipes have been used over the past decade. Councilman Paulson asked what the requirements of the Ski Company will be if they get 50% of this water. Overeynder t01d Council the city is selling the Ski Company water at a favorable rate when there is not a huge demand. Overeynder said capital charges are not part of this contract and the city 4 Regular Meeting Aspen City Council September 9, 2002 agreed in 1984 to only charge the Ski Company for incremental costs in providing water. If work is needed on this well system in order to provide water for snowmaking, it seems reasonable to include capital charges at 50%. Overeynder noted if the drought continues, it will make this well more important. The well is linked to an aquifer that is connected to a substantial grmmd water reservoir. All in favor, motion carried. BURLINGAME COWOP UPDATE Michelle Bonfils, housing department, presented the Burlingame Ranch affordable housing land use and development plan as created by the COWOP task force team. The development plan is based on the pre~ annexation agreement with the affordable housing on 25 acres, up to 225 units. Ms. Bonfils went over the physical characteristics of the site, showing the 3 benches where the housing is proposed to be located. Ms. Bonfils pointed out the neighboring properties, the Maroon Creek Club, the Airport Business Center and Deer Hill. Ms. Bonfils told Council the COWOP task force considers environmental guidelines based on the city's ecological bill of rights and green building guidelines. This report contains those green- building guidelines. A wildlife management plan was created as parr of the pre-annexation agreement and includes a conservation easement, which was anticipated to go over the entire Deer Hill. Ms. Bonfils told Council the task force looked at infrastructure, including the roads. The task force recommended against connecting from the AABC to the back of Deer Hill. The task force supported a paved trails system throughout the development for summer and winter use. The majority of the task force favored an access road to the west of the Soldner property, which was also favored by the Soldners. The task force team did not want this development to look too homogenous in its architecture. They drafted architecture guidelines noting building mass and roof forms should be vaned, heights should be varied, the architecture should be based on mountain ranch architecture. The task force used a market study to see what the demand for housing is, what categories, what size, rental versus ownership. They determined 60 to 70% of the site should Regular Meeting Aspen City Council September 9~ 2002 be sale units, category 2 through 4. They determined the emphasis should be 0n 2rbedroom pr !arger units, 60% townhouses and single-family houses. The task force used these recommendations to sketch out what 225 units would look like on this site. The task force did several bubble diagrams. The task force felt strongly about not having units above One another. Ms. Bonfils said the task force recommendation is to havre a design/build competition, have the team submit qualifications, select 3 teams to do final site plans and create a maximum price for development. Ms. Bonfils told Council 15 submittals were received from design/build teams who are still interested. These teams include architects, engineers, planners, contractors, financial consultants, each team with a lead person. Ms. Bonfils asked Council to decide whether the COWOP process should continue with new information like total 330 units, different property configuration and how should the task force consider this information. Ms. Bonfils asked direction on whether to re-advertise for design/build teams or to continue working with the 15 submittals. Mayor Klanderud asked how has the housing analysis been incorporated into the work done by the task force, including the existing inventory and the need for housing. Mayor Klanderud noted EPS figured this project at $94 million with a $25 million deficit. Mayor Klanderud said if the COWOP is brought back together, they need financial parameters and to incorporate what is in the housing master plan. Councilman Semrau said when this project was first presented to Council, it was determined that the city could not afford the project. If this is to go back to COWOP, they need to design the project with realistic numbers. Ms. Bonfils said part of the design/build concept is to have teams that could finance the project or build the project with minimal subsidy. Councilman Semrau said a $25 million subsidy is not possible for the city. Councilman Semrau suggested Council determine how much subsidy they have to give the Parcel D and to Burlingame and then design the project. Councilman Semrau said Council needs a cash flow analysis, a long-term plan on how to build the projects, how much phase I will cost, and fit all that into the budget. Ms. Bonfils said the task force looked at the best development for the site; they did not design this on a financial basis. Councilman Semrau said Council has to decide how much money to allocate over what time period. 6 Regular Meeting Aspen City Council September 9, 2002 Councilman Pauls0n asked when Council will decide the make up of the units, the roadalignment, the impact on the site. Mayor Klanderud agreed Council should be clear on their expectations before this goes back to the COWOP. Marcia Goshom noted under the new housing IGA, the housing board does not see development so it is important to have another review of housing proposals. Councilman Semrau suggested Council decide on the road, the phasing, and the amount of the project. If Council can agree on these ~ssues, the proposal can be sent to EPS or a professional developer to flush out the numbers to see if the project could be built. If the project can be built, then send it back to COWOP. Steve Elliott, COWOP, told Council they continually asked for financial guidelines and it would be ~mportant if this is to go back to the COWOP to go with cost parameters. Jim Curtis supports the approach of having Council give direction on the 3 ~ssues above and then have the numbers and cash flow outlined so Council can look at trade offs. Mayor Klandemd said there is an issue about the wildlife concern and where the units are sited. Councilman McCabe said the two wildlife reports are in conflict. Mayor Klanderud agreed there should be agreement about the wildlife impacts before a site plan is completed. Councilman Semrau suggested Council decide on phasing and whether the last units go on Deer Hill or the AVLT land and the wildlife considerations will have to be worked out then. Ms. Bonfils reminded Council the city settled with Maroon Creek Club and part of that is that access to Burlingame Ranch will not be in front of the Maroon Creek Club. There will be a barricade or gate so cars will not access the road in front of the Maroon Creek Club. Ms. Bonfils told Council the settlement with Maroon Creek Club was one of the reasons the majority of the task force team recommended the road going to the west. The Zoline's and Soldner's preference is for the road to the west. Mayor Klanderud asked the cost difference on road construction. Julie Ann Woods, community development department, said the eastern road will be less expensive to construct. 7 Regular Meeting Aspen City Council September 9, 2002 Councilman Semrau said one precept in this development is that the Zolines want to maintain the ranching operation. That is another reason the task fOrce recommended the road go to the west. Mayor Klanderud said if Council considers the cost important, then the road Costs should be the least expensive. The difference in road construction costs translates into houses. Councilman Semrau suggested Council agree to the road on the east of the site until the Zolines and Soldners are Willing to pay the difference to move the road to the west. Council agreed they would rather see the road on the east, based on cost considerations. Councilman Semrau said this project has been expanded to possible 330 units and suggested 3 phases of 110 each; the final phase to be held depending on the outcome of the land trade. Mayor Klanderud suggested the number of units be flexible so that the unit mix will fii within each phase, like have RO lots in the first phase. Councilman Semrau said selling 30 RO lots in phase I would make a large difference in the financing scheme. Councilman Paulson said this project was sold as the last chance for family oriented housing. Councilman Paulson said he does not want to see space wasted. This is a site on which the density should be maximized. This should be a dense project to take up a lot of need with a lot of open space. Councilman McCabe and Councilman Hershey said the phasing should be predicated on what 'the City can afford. Council decided the phasing concept is fine; phase I should have the maximum number of units the city can afford. Councilman Semrau asked Council what percentage of the housing money they would like to dedicate to Burlingame over the next several years. Councilman Semrau said once Council decides how much they have available for this project, ways to leverage that money can: be developed. Councilman Semrau noted the master plan suggested Council allocate $500,000/year for land banking. Council should decide how to divide the remainder of the funds between the various housing projects. Councilman Semrau suggested a 75/25 split between Burlingame and Parcel D until Parcel D is complete. Councilman Semrau noted the city's subsidy over 330 units is $38,000/bedroom, which is much smaller than what the city is paying now. Councilman Semrau said subsidies on other projects are $110,000/bedroom. Mayor Klan&md said if Council commits the entire housing fund to all 3 8 Regular Meeting Aspen City Council September 9, 2002 phases of Burlingame, there is no flexibility to do any other projects. Mayor Klandemd said she does not want to tie all the housing money up in one project. Steve Barwick, city manager, suggested staff run some scenarios to include funding and bring that back to COUncil. BURLINGAME PARCEL D Mayor Klanderud said there are some site constraints, like noise from the Airport Business Center. Michele Bonfils, housing department, told Council the staffrecommendation is category 1-rental and category 2 sale units. Councilman Semrau said this will cost more money than the city has for this project. There will probably have to be category 3 units to balance out the category 1 rentals. Mayor Klanderud said the city needs to build housing for the people who are least able to afford it and have the fewest choices. The.city needs category 1 rental units. Councilman Semrau said Council needs to decide if they are willing to devote the necessary dollars to meet the goal of providing category 1 rental units. COuncilman Semrau said the housing fund only has about $3 million to put into this project. Councilman McCabe suggested Council decide on how much they have for Burlingame parcel D and then design the project t° fit that budget. councilman semrau agreed and suggested giving the parameters of units and the amount Council has to spend to a developer and letting them return with proposal; The parameters are $3.5 million, up to 40 units, category 2 with a couple of category 3 for sale. Councilman Hershey moved to go into executive session PurSuant to C.R.S. 24-6-402(4)(b) to receive advice from counsel at 7:30 p.m.; seconded by Councilman McCabe. All in favor, motion carded: Councilman McCabe moved to come out of executive session at 7:40 p.m.; seconded by Councilman Semrau. All in favor, motion carried. Councilman Hershey moved to adjourn at 7:40 p.m.; seconded by Councilman Semrau. All in favor, motion carried. Kathryn S. Koch, City Clerk 9