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HomeMy WebLinkAboutcoa.lu.ca.Open Space 406 E Hopkins. ISIS - A66-99 CAS~F~OAD SUMMARY SHEET - CITY OF ASPEN ~--~ Hi RECEIVED: 10/3/96 CASE # A66-96 ~TE COMPLETE: STAFF: e~ave Michael~u,~ ARCEL ID # 2737-182-24- PROJECT NAME: Isis Open Space Text Ammendment Project Address: 305SouthGalcnaSt. /--/~i)(~ ~-'],3oQUi~q APPLICANT: Isis Theatre Address/Phone: ~t~ ~ Galena Jx. , ~.,~'n. CO. 8 t-6-kl., REPRESIkNTATIVE: Sunny Vann Address/Phone: 925-6958 RESPONSIBLE PARTY: Applicant Other Name/Address: FEES DUE FEES RECEIVED PLANNING $2100 PLANNING $2100. # APPS RECEIVED 15 ENGINEER $0 ENGINEER $ # PLATS RECEIVED HOUSING $0 HOUSING $ GIS DISK RECEIVED: No ENV HEALTH $0 ENV HEALTH $ : CLERK $0 CLERK $ TYPE OF APPLICATION TOTAL $2100. TOTAL RCVD $2100. Two Step / dreading) ~' I ~Yes U CiW A~omey ~ Aspen Fire M~h~ U CDOT Ci~ En~neer ~ Ci~ Water U ACSD Zoning U CiW Elec~c ~ Holy Cross Elec~c Housing ~ Cle~ ~r Bo~d ~ Roc~ Mm Na~ G~ O~er: H O~er: ~PROV~: Ordin~ce~esolu~on ~ Date: St~f Approv~ Date: Plat Recorded: Book , Page __ CLOSED/FILED DATE: INITIALS: ROUTE TO: MEMORANDUM TO: Mayor and Council THRU: Stan Clauson, Community Development Director Julie Ann Woods, Deputy Planning Director FROM: Amy Guthrie, Historic Preservation Officer lIE: Isis Theater, Open Space Cash-in-Lieu Payment DATE: March 9, 1998 SUMMARY: As part of the redevelopment of the Isis Theater, a cash-inrlieu payment is required for open space which will not be provided on the site. The amount of the cash- in-lieu is determined by multiplying the percentage of on-site open space being waived by the appraised value of the subject property. In the case of the Isis the payment amounts to $250,000. The Land Use Code has historically required this payment to be due in full at issuance of a building permit. Through Ordinance #45, Series of 1996, for which the Isis LLC was the applicant, COuncil approved a code amendment to allow the cash-in-lieu payment to be amortized into equal payments over five years, without interest. The applicant now requests that the payment schedule be further addressed in one of the following manners: 1) begin making five $50,000 per year payments in year 5 rather than in year 1 as currently required; 2) begin making $30,000 per year payments in year 3 with payments spread over 8 years with a residual payment in year 9; 3) begin making $50,000 per year payments in year one, but forgive up to $50,000 annually in additional sales tax generation over and above what the old Isis generated. Staff recommends either option 1 or 2, which still provide the important open space fees in a timely manner, while offering some relief to the applicant. Option 3 is not recommended because sales tax is not charged on admissions. Two separate resolutions are attached for Council review, one which approves the first option and one which approves the second. Staff finds that the continued use of the Isis as movie theaters, which have existed in the building since the 1920's, is very important to the community, making efforts to accommodate the potential difficulty of the project appropriate. This agreement should however be tied to the approval of the site specific development plan for the renovation of the building as theaters, as represented to, and approved by City Council via Ordinance #59, Series of 1995. This condition is included in the resolution. RECOMMENDATION: Staff recommends Council adopt Resolution # , Series of 1998." CITY MANAGER COMMENTS: Attachment: Resolution # , Series of 1998 RESOLUTION OF THE ASPEN CITY COUNCIL APPROVING A PAYMENT SCHEDULE FOR 406 E. HOPKINS AVENUE, THE ISIS THEATER, CASH-IN- LIEU FOR OPEN SPACE MITIGATION Resolution No. VVItEREAS, pursuant to Section 26.64.040 of the Aspen Land Use Regulations, cash-in-lieu payments for open space mitigation may be amortized into five equal payments, without interest, over a period of five years; and WHEREAS, Ordinance #59, Series of 1995 approved such a payment schedule for 406 E. Hopkins Avenue, the Isis Theater; and WHEREAS, the owner, Isis LLC, has requested an amendment to the payment schedule which allows the five $50,000 per year payments to begin in year 5 rather than in year 1 as currently required; and WHEREAS, in recognition of the value of the theater to the community, City Council wishes to approve a modified payment schedule for the fees, to relieve some burden that preservation of the theater use might have over converting the building to retail shops. NOW, THEREFORE BE IT RESOLVED by the City Council: That payment of the $250,000 open space cash-in-lieu fee for 406 E. Hopkins be paid in the following mmmer and according to the following conditions: 1. The five $50,000 per year payments, without interest, will begin on the fifth anniversary after the date of issuance of the building permit, rather than in year 1 as currently required. 2. If the property is not redeveloped according to the site specific development plan for the renovation of the building as theaters, as represented to, and approved by City Council via Ordinance #59, Series of 1995, this payment schedule shall be considered null and void. APPROVED by the City Council at its regular meeting on March 9, 1998, Attest: Mayor: Kathryn Koch, John Bennett City Clerk ORDINANCE NO. 45 (Series of 1996) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING AN APPLICATION TO AMEND CHAPTER 26 OF THE MUNICIPAL CODE, LAND USE REGULATIONS, SECTION 26.64.040(A)(3), REVIEW STANDAIS, DS FOR SPECIAL REVIEW, TO ALLOW THE CASH-IN-LIEU FEE FOR OPEN SPACE IN THE COMMERCIAL CORE ZONE DISTRICT TO BE AMORTIZED OVER A PERIOD OF UP TO FIVE YEARS. WHEREAS, Section 26.92.030 of the Municipal Code provides that amendments to Chapter 26 of the Code, to wit, "Land Use Regulations," shall be reviewed and recommended for approval by the Planning Director and then by the Planning and Zoning Commission at a public hearing, and then approved, approved with conditions, or disapproved by the City Council at a public hearing; and WHEREAS, the Planning Director did receive from the Isis LLC an application for an amendment to the land use regulations, and reviewed and recommended for denial, certain text amendments to Chapter 26 relating to Section 26.64.040(A)(3); and WHEREAS, the Planning and Zoning Commission reviewed the proposed · text amendment on November 19, 1996 at which time the Planning and Zoning Commission recommended denial to City Council by a vote of 5-2; and WHEREAS, the City Councit finds that the text amendment as proposed is not consisten~ with the public welfare and purposes and intent of Chapter 26 of the Municipal Code and does not meet the review standards of Section 26.92.010, and WHEREAS, the City Council finds that the cash-in-lieu fee for open space provides an essential source of funding for acquisition of open space and creation of pedestrian improvements in the downtown area such as those proposed in the "Downtown Enhancement and Pedestrian Plan"and should not be eliminated; and WHEREAS, the City Council finds that an amendment to Section 26.64.040(A)(3), which would allow amortization of the cash-in-lieu fee for open. space in the Commercial Core Zone District over a period of up to five years without interest is consistent with the public welfare and purposes and intent of Chapter 26 of the Municipal Code and does meet the review standards of Section 26.92.010. NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO: Section 1: Section 26.64.040(A)(3), Review standards for Special Review, is hereby recommended to be amended to read as fo}lows: 3. For the reduction of required open space in the Commercial Core (CC) zone district only, the applicant demonstrates that the provision of less than the required amount of open space on-site will be more consistent with the character of surrounding land uses than would be the provision of open space according to the standard. As general guidelines, the applicant shall take into account the following. It may be appropriate to have open space on the site when the building is located on a street corner, or the open space can be linked to an adjacent historic landmark, or the open space is intended for a particular functional purpose, such as dining or the protection of an existing tree. It may be inappropriate to have open space on the site when other buildings along the street front are built to the property line, especially along public malls, or when the open space is configured in such a manner as to serve no public purpose. When the commission determines open space is inappropriate on the site, it may reduce or waive the requirement if the applicant shall make a payment-in- lieu according to the following formula: Appraised value of the unimproved land, multiplied by the percentage of the site required to be open space which is to be developed, equals value of payment. The appraised value of the property shall be determined by the submission of a current appraisal performed by a qualified professional real estate apljraiser. The payment-in-lieu of open space shall be due and payable at the time of issuance of a building permit. All funds collected shall be transferred by the building inspector to the finance director, for deposit in a separate interest bearing account. Monies in the account shall be used solely for the purchase or development of land for open space, pedestrian or recreational purposes within or adjacent to the Commercial Core (CC) zone district. The commission may allow the required payment-in-lieu to be amortized in equal payments over a period of up to five years, without interest. Fees collected pursuant to this section may be returned to the then present owner of property for which a fee was paid, including any interest earned, if the fees have not been spent within sever (7) years from the date fees were paid, unless the council shall have earmarked the funds for expenditure on a specific project, in which case the council may extend the time period by dp to three (3) more years. To obtain a refund, the present owner must submit a petition to the finance director within one (1) year following the end of the seventh (7th) year from the date payment was received. For the purpose of this section, payments collected shall be deemed · spent on the basis of the first payment in shall be the first payment out.. Any payment made for a project for which a building permit is canceled, due to noncommencement of construction, may be refunded if a petition for refund is submitted to the finance director within three (3) months of the date of the cancellation of the building permit. All petitions shall be accompanied by a notarized, sworn statement that the petitioner is the current owner of the property and by a copy of the dated receipt issued for payment of the fee. When the HPC approves the on-site relocation of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the requirements of this section shall be waived. Section 2: This Ordinance shall not affect any existing litigation and shall not operate as an abatement of any actlob or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. Section 3: If any section, subsection, sentence clause, phrase, or porEion of this' Ordinance is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 4: A public hearing on the Ordinance shall be held on the 13th day of January, 1997 in the City Council chambers, Aspen City Hall, Aspen, Colorado, fifteen (15) days prior to which hearing a public notice of the same shall be published in an newspaper of general circulation Within the City of Aspen. INTRODUCED, READ AND ORDERED PUBLISHED as provided by law, by the City Council of the City of Aspen on the 9th day of December, 1996. ATTEST: K h h, City Clerk FINALLY, adopted, passed and approved this,~'~th day of January, 1997. ATTEST: ~City Clerk MEMORANDUM TO: Aspen Planning and Zoning Commission THRU: . Stan Clauson, Community Development Director FROM: Amy Amidon, Historic Preservation Officer RE: Isis Theater/Open Space Text Amendment DATE: November 19, 1996 SUMMARY: The applicant proposes an amendment to Section 26.64.040.A.3 of the Municipal Code. This section pertains to "Special Review" for the reduction of open space requirements within the Commercial Core zone district. Although the Commission currently has the authority to decrease the percentage of open space which must be provided, the applicant must still mitigate by providing cash-in-lieu. The proposed code amendment allows waiver of the cash-in-lieu requirement for historic landmarks only. APPLICANT:Isis, LLC, represented by Sunny Varm. REVIEW STANDARDS AND STAFF COMMENTS: Section 26.64.040.A.3, which is proposed to be amended, currently reads as follows: "3. For the ~'eduction of required open space in the Commercial Core (CC) zone district only, the applicant demonstrates that the provision of less than the required ctmount oldpen space on-site will be more consistent with the character of surrounding land uses than would be the provision of open space according to the standard As general guidelines, the applicant shall take into account the following. It may be appropriate to have open space on the site when the building is located on a street corner, o~ the open space can be linked to an adjacent historic landmark, or ~he open · space is intended for a particalar fimctional purpose, such as dining or the protection of an existing tree. It may be inappropriate to have open space on the site when other buildings along the street front are built to the property line, especially along public malls, or when the open space is configured in such a manner as to serve no public pztrpose. r'Vhen the commission determines open space is inappropriate on the site. it may reduce or waive the requirement if the applicant shall make a payment-in-lieu according to the following formula: Appraised value of the unimproved land, multiplied by the percentage of the site required to be open space which is to be developed, equals value of payment. The appraised value of the property shah be determined by the submission of a current appraisal performed by a qualified proJbssional real estate appraiser. The payment-in-lieu of open space shall be due and payable at the time of issuance Qf a building permit. All funds collected shall be transferred by the building ins79ector to the .finance director, Jbr deposit in a separate interest bearing account. Monies in the account shall be used solely for the purchase or development of land for open ~J;ace, pedestrian or recreational purposes within or a4jacent to the Commercial Core (CC) zone district. Fees collected pursuant to this seciion may be returned to the then present owner of property for which a fee was paid, including any interest earned, if the fees have not been spent within sever (7) years from the date fees were paid unless the council shall have earmarked theftrods for expenditure on a specific project, in which case the council _may extend the time period by up to three (3) more years. To obtain a refund, the present owner must submit a petition to the finance director within one (1) year following the end of the seventh (Tth) year from the date payment was received For the purpose of this section. payments collected shall be deemed spent on the basis of the first payment in shall be the ~rst payment out. Any payment made for a project for which a building permit is canceled, due to noncommencement of construction, may be refunded ira petition for refund is submitted to the finance director within three (3) months of the date of the cancellation of the building permit. All petitions shall be accompanied by a notarized, sworn statement that the petitioner is the current owner of the property and by a copy of the dated receipt issued for payment of the I~Vhen the HPC approves the on-site relocation of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the requirements of this section shall be waived" The review standards, per Section 26.92.010, are: A. Whether the proposed amendment is in conflict with any applicable portions of this chapter. Response: The proposed text amendment is not in conflict with any chapters of the code. B. Whether the proposed amendment is consistent with all elements of the Aspen Area Comprehensive Plan. Response: The AACP encourages the preservation of historic structures, however the preservation of open space is also a goal of the AACP. While many financial incentives currently exist for historic preservation, the payment-in-lieu is one of only a few development impact fees which address parks. C. Whether the proposed amendment is compatible with surrounding Zone Districts and land uses, considering existing land use and neighborhood characteristics. Response: The proposed amendment creates a financial incentive which does riot directly affect iand use. D. The effect of the proposed code amendment on traffic generation and road safety. Response: The proposed amendment does not affect traffic. E. Whether and the extent to which the proposed amendment would result in demands on public facilities, and whether and the extent to Which the proposed amendment would exceed the capacity of such public facilitieS, including but not limited to transportation facilities, sewage facilities, water Supply, parks, drainage, schools, and emergency medical facilities. Response: The applicant proposes to amend the language of this section to allow not only a reduction in the amount of open space which must be physically provided, but also to allow waiver of the payment-in-lieu. This is proposed to apply to the expansion of historic landmark structures and would provide an additional incentive for their preservation. Staff has several concerns with the proposed amendment. While there is strong support in the community for provision of incentives to encourage historic preservation, there is also a desire to l~urchase and protect open space. Since approximately half of the buildings in the Commercial Core are landmarks or could be landmarked, there is the potential to significantly impact this open space fund. In addition, the project which is associated with the proposed code amendment, the Isis Theater, has already received all approvals, raising issues as to who may take advantage of the ~vaiver retroactively. There has, in the recent past, been some discussion amongst Plam~ing staff as to whether the open space requirement is appropriate in the Commercial Core, given a general desire to maintain a strong facade line right next to the sidewalks, as is typical of historic downtowns. A number of courtyards which have been created due to this provision, especially those which are below sidewalk level, are not thought to pe useful or active open spaces. Others though, particularly at street corners, are lively and provide gathering areas and spaces for street performances. The existing code language seems to provide the Planning and Zoning Commission with the ability to identify areas where open space should be provided and instances when payment-in-lieu would provide the City with the opportunity to create pocket parks or other green space in a better location, making the regulation effectiv~ as written. F. Whether and the extent to which the proposed amendment would result in significantly adverse impacts on the natural environment. Response: The amendment may create Hmitations in the City's ability to maintain and create new parks. G. Whether the proposed amendment is consistent and compatible with the community character in the City of Aspen. Response: Both programs, historic preservation and parks are important to the overall liVabili~y and community character of Aspen. Staff is very supportive of creating incentives to preserve Aspen's architectural heritage, however numerous incentives currently exist, many of which may run contrary to their initiai purpose by serving to encourage more intense development ofhistori~ sites. H. Whether there have been changed conditions affecting the subject parcel or the surrounding neighborhood which support the proposed amendment. Response: The proposed-amendment does not address any changing conditions within the neighborhood. I. Whether the proposed amendment would be in conflict with the public interest, and is in harmony with the purpose and intent of this chapter. Response: The proposed amendment would not be consistent with the public interest i~ its limitation of park funding. STAFF RECOMMENDATION: Staff recommends that the Planning and Zoning Commission recommend Council not approve the proposed text amendment. RECOMMENDED MOTION: "I move to recommend that City Council not approve the !sis Theater/Open Space text amendment, finding that the review standards of Section 26.92.010 are not met." Exhibits: A. Parks Department referral comments VANN ASSOCIATES Planning Consultants October 2, 1996 HAND DELIVERED Mr. Dave Michaelson Community Development Department 130 South Galena Street Aspen, CO 81611 Re: Isis Theatre/Open Space Text Amendment Dear Dave: Please consider this letter an application for an amendment to the language of Section 26.64.040.A.3. of the Aspen Land Use Regulations regarding the City's pay- ment-in-lieu of open space requirement (see Exhibit 1, Pre-Application Conference Summary, attached hereto). The application is submitted pursuant to Section 26.92.040 of the Regulations by Isis, LLC, which has contracted to purchase the Isis Theatre. Permission for Vann Associates to represent the Applicant and an executed application fee agreement are attached as Exhibits 2 and 3, respectively. Background The Applicant has received several approvals with respect to the proposed renovation and expansion of the existing Isis Theatre. In December of 1995, the Planning and Zoning Commission granted a GMQS exemption for the expansion of the theatre building (see Exhibit 4, P&Z Resolution No. 36-95). The P&Z also granted special review approval to increase the property's allowable floor area, to reduce the dimensions of the building's trash and utility area, and to reduce the minimum open space requirement of the property's underlying zone district. In January of 1996, the City Council approved the project's affordable housing component (see Exhibit 5, Ordinance No. 59-95) and in February designated the Isis Theatre property and building a Historic Landmark (see Exhibit 6, Ordinance No. 58- 95). The project has also received final development approval from the Historic Preservation Commission. No further land use approvals are required prior to the Applicant's commencement of construction. While the P&Z reduced the amount of open space to be provided in connection with the project (a reduction which the HPC supported), Section 26.64.040.A.3. of the Regulations requires that a payment-in-lieu of open space be made to the City prior 230 East Hopkins Avenue · Aspen, Colorado 81611 ° 970/925-6958 · Fax 970/920-9310 Mr. Dave Michaelson October 2, 1996 Page 2 to the issuance of a building permit for the renovation. As we have discussed, the amount of the required payment is substantial, and has significant implications with respect to the financial feasibility of the project. The relevant regulation requires that the amount of the payment be based on the appraised value of the project site, and is calculated by multiplying the appraised value by the amount of the open space reduction. In this case, the open space requirement of the underlying zone district is 25 percent, or approximately 2,257 square feet. The P&Z, however, reduced the project's open space requirement to approximately 540 square feet, or 6 percent. This reduction represents a decrease in the amount of required open space of 19 percent. The P&Z's approval was based upon a finding that the provision of less than the required amount of open space was more consistent with the character of surrounding land uses. Assuming an appraised value of approximately $1,300,000.00, the approved 19 percent reduction will require the Applicant to make a payment-in-lieu of open space in the amount of $247,000.00 prior to the receipt of a building permit. While the logic for requiring such payments is understandable, I believe that it is detrimental to the City's goal of preserving Historic Landmarks. The preservation of historic structures invariably involves significant costs which are not typically encountered in new construction, and the imposition of an open space impact fee only serves to further weaken the financial viability of preservation projects. To require payment when both the HPC and P&Z consider the reduction in required open space tO be in the community's best interest unreasonable burdens such projects. In effect, the Applicant is required to purchase the property twice. The appraised value of the required open space area is obviously included in the property's initial purchase price. The Applicant pays for the same land again when required to make a payment-in-lieu of open space based on appraised value. Proposed Amendment Section 26.64.040.A.3. of the Regulation currently permits the waiver of the payment- in-lieu of open space fee in connection with HPC approval to relocate a Historic Landmark. The existing regulatory language is as follows. "When the HPC approves the on-site relocation of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the requirements of this section shall be waived." This waiver was obviously incorporated as an incentive for the preservation of historic structures as it permits flexibility in site planning without imposing the financial burden of an open space impact fee. In keeping with this concept, I believe that a Mr. Dave Michaelson October 2, 1996 Page 3 similar waiver should be available when the expansion of a Historic Landmark results in a reduction in required open space. Expansions such as that proposed for the Isis Theatre provide the economic foundation on which the financial feasibility of historic preservation is inevitably based. The proposed amendment to the language in question is as follows. "When the HPC approves the on-site relocation and/or expansion of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the re- quirements of this section shall be waived." Precedence for the above concept can be found in Section 26.100.050.B.2.a.(2)(b) of the Regulations. This section contains the GMQS exemption provision under which the P&Z approved the Isis Theatre expansion. More specifically, this section provides a waiver for the City's payment-in-lieu of parking fee when the expansion of a Historic Landmark precludes the provision of on-site parking. As you may remem- ber, the Applicant's parking impact fee requirement was waived in connection with the P&Z's approval of a GMQS exemption for the proposed expansion. The ability to waive the required open space impact fee would be consistent with the current ability to waive the Regulations' parking fee requirement. In both cases, the objec- tive is to encourage the best possible design without unduly financially handicapping projects involving the preservation of Historic Landmarks. Review Requirements Pursuant to Section 26.92.030, an application for an amendment to the text of the Aspen Land Use Regulations may be submitted at any time during the year. The review criteria for such applications, and the proposed amendment's compliance therewith, are summarized below. 1. "Whether the proposed amendment is in conflict with any applicable portions of this title." To the best of my knowledge, the proposed amendment does not conflict with any other regulatory requirement of the Regulations. 2. "Whether the proposed amendment is consistent with all elements of the Aspen Area Comprehensive Plan." While the Aspen Area Community Plan does not specifically address the proposed amendment, the Plan establishes at least two goals which the amendment should help to achieve. First, the Plan seeks to preserve the community's historic resources as essential components of the City's history and architectural fabric. Mr. Dave Michaelson October 2, 1996 Page 4 Second, the Plan calls for the preservation of "locally" serving commercial uses. The proposed amendment will make it more financially feasible to preserve historic struc- tures and, in the case of the Isis Theatre, retain its historic locally serving use. 3. "Whether the proposed amendment is compatible with surrounding zone districts and land uses, considering existing land use and neighborhood characteristics ." This review criteria would appear to apply primarily to an application for rezoning and is not believed to be applicable to the proposed amendment. 4. "The effect of the proposed amendment on traffic generation and road safety." The proposed amendment will have no adverse impact on traffic generation or road safety. 5. "Whether and the extent to which' the proposed amendment would result in demands on public facilities, and whether and the extent to which the proposed amendment would exceed the capacity of such public facilities, including but not limited to transportation facilities, sewage facilities, water supply, parks, drainage, schools, and emergency medical facilities." The proposed amendment will have no adverse impact on the City's public facilities. While the amendment could arguabty result in reduced funding for open space and recreation purposes, its applicability is limited (i.e., Historic Landmarks only), and the resulting loss of funds is more than offset by the benefits attributable to the preservation of the community's historic resources. 6. "Whether and the extent to which the proposed amendment would result in significantly adverse impacts on the natural environment." The proposed amendment will have no adverse impact on the natural environ- ment. 7. "Whether the proposed amendment is consistent and compatible with the community character in the City of Aspen." This review criteria would appear to apply primarily to an application for rezoning, and is not believed to be applicable to the proposed amendment. 8. '~vVhether there have been changed conditions affecting the subject parcel or the surrounding neighborhood which support the proposed amendment." Mr. Dave Michaelson October 2, 1996 Page 5 This review criteria would appear to apply primarily to an application for rezoning, and is not believed to be applicable to the proposed amendment. 9. "Whether the proposed amendment would be in conflict with the public interest, and is in harmony with the purpose and intent of this title." The public interest would be served in that the proposed amendment will provide an additional incentive through the waiver of the payment-in-lieu of open space fee for the renovation and preservation of Historic Landmarks. The amend- ment is consistent with, and would significantly further, the intent of the City's Land Use Regulations. As any waiver of the required paymentoin-lieu fee would be discre- tionary (i.e., subject to HPC approval), no adverse impact would occur merely from the amendment's adoption. The amendment should be viewed as simply expanding and supplementing the Regulations' existing arsenal of historic preservation incen- tives. Should you have any questions, or if I can be of any further assistance, please do not hesitate to call. Yours truly, VANN SSOCIATES AICP : Attachments e:\bus\city. app\app32796.ta EXHIBIT 1 City Of Aspca Prc-Al~plicallmt C~n/etcttcc Summary IZ-ZZ-qL~ Rel~resenla~ive s I'houe ~- ~ Owner'sNnme ~/~ 'llteeNtplicm~l has hecu tcquc~lc~l Io resltond Ig the followiu~ items NId provide Ih¢ following reports: ~tltJ USe ~o(le ~e~ljOll CUIIIIIIeIIIS Referral ABe,tel~ The review is: (I,&Z, only) (CC o,~)](P&Z and CO) ~ ~ I'ublic II~ring: ~ (no) . TU'rALII~I~rr ~ ~.o, (Additiglml Iloer~ ~ JJ~ at a talc gl ~lhr.) 1'o Appl~ Submit Ihe Irolknvh~g hffm'nmllun: 2. Sigstc{I ft'c agtctm~cm. 5. .J~.. c~qfic~ ~ff the C('lttJtlClC alqflicnti~, Imck~t m;;( maps. 7. An S I/2" hy I I" vicinity map locating Ihc parcel wilhin life City or X~ Sjl~ plan ~hall inclmlc pr,l~rlY bomala~ics, Iol si~c, prol~scd access, a,O I~hysical 'r}mse ilems ,e~l a, be sliDmilled if circled: n. List (If all.latent I~mltcrty owners willfin 300 feet ~r tile subject property with addroast. It. Site Ilholo~. Ili$tgtic I't¢sctvatign gommissiun '.; EXHIBIT 2 September 30, 1996 HAND DELIVERED Mr. Dave Michaelson Community Development Department 130 South Galena Street Aspen, Colorado 81611 Re: Permission to Represent Dear Mr. Michaelson: Please consider this letter authorization for Sunny Vann of Vann Associates, Planning Consultants, to represent us in the processing of our application for an amendment to the text of the Aspen Land Use Regulations. Mr. Vann is hereby authorized to act on our behalf with respect to all matters reasonably pertaining to the aforementioned appli- cation. Should you have any questions, or if we I can be of any further assistance, please do not hesitate to call. Sincerely, Sam Houston, ~nage~ Isis, LLC 305 South Galena, #8 Aspen, CO 81611 (970) 925-8664 SV:cwv c:Xbus~city.ltfiltr32796.dml "' ""' EXHIBIT 3 ASPEN/PITKIN COMXX, IUNITY DEVELOPM2ENT DEPARTNIENT Agreement for Payment of City of Aspen Development Application Fees CITY OF ASPEN (hereinafter CITY) and//9/d'~ (hereinafter APPLICANT) AGREE AS FOLLOWS: 1. APPLICANT has submitted to CITY an application tbr (hereinafter, THE PROJECT'). 2. APPLICANT understands and agrees that Citv of Aspen Ordinance No. 53 (Series of I995) establishes a fee structure tbr Plahning applications and the payment of all processing fees is a condition precedent to a detern~ination of application completeness. 3. APPLICANT and CITY agree that because of the size. nature or scope of the proposed project. it is not possible at this time to ascertain the full extent of the costs involved in processing the application. APPLICANT and CITY further agree that it is in the interes~ of the parties t{~ alh~w APPL,rCANT to make payment of an initial deposit and to thereafter permit additional costs to be billed to APPLICANT on a monthly basis. APPLICANT agrees he will be bene~ted by retaining greater cash liquidky and will make additionai payments upon notification by the CITY when they are necessary as costs are incurred. CITY agrees it will be bene~ted through the greater certainty of recovering 'its Pull costs to process APPLICANT'S application. 4. CITY and APPLICANT flirther agree that it is impracticable for CITY staff to complete processing or present sufficient information to the Planning Commission and/or City Council to enable the Planning Commission and/or City Council to make legally required findings for prnject approval. unless current bil'Iings are paid in full prior to decision. 5. Therefore, APPLICANT agrees that in consideration of the CITY's waiver of its right to collect full fees prior to a determination of application ~ completeness, APPLICANT s all pay an initial deposit in the mount of $~,/d~-' which is for hours of Planning staff time, and if actual recorded costs exceed the initial deposit, APPLICANT shall pay additional monthly billings to CITY to reimburse the CITY for the processing of the application mentioned above, including post approval review. Such periodic payments shall be made within 30 days of the billing date. APPLICANT further agrees that failure to pay such accrued costs shall be grounds for suspension of processing. CITY OF ASPEN APPLICANT By~ ~ i :~ '-"- ~ - By: 4 Community Development Director Date: fO/~/~',- Mailing Address: 2 EXHIBIT 4 RESOLUTION OF THE ASPEN PLANNING AND ZONING COMMISSION APPROVING A GMQS EXEMPTION, AND SPECIAL REVIEWS TO EXCEED THE ALLOWABLE FLOOR ARE IN THE CC ZONE DISTRICT, THE REDUCTION OF DIMENSIONS. OF REQUIRED TRASH AND UTILITY SERVICE AREA, AND A REDUCTION ~N THE MINIMUM OPEN SPACE REQUIREMENT IX THE CC ZONE D~STRICT FOR THE ISIS THEATER (LOTS L,M AND N, BLOCK 87) CITY AND TOWNSITE OF ASPEN RESOLUTION~%~ (SERIES OF 1995) WHEREAS, Section 24-8-204.Boc. of the Aspen Municfpal Code allows the Planning and Zoning Commission to grant a GNOS Exemption for the enlargement of a historic landmark to be used for commercial and residential purposes which increases both the building's existing floor area and its'net leasable square footage~ and WHEREAS, Section 24-5-209.D.11 of the Aspen Municipal Code allows the Planning Commission to grant Special Review approval to exceed the allowable floor area of 1.5:1 to 2.0:1 in the CC Zone District; and WHEREAS, Section 24-5-209.D.6o of the Aspen Municipal Code allows the Planning Commission to grant Special Review approval to reduce the required dimensions of the required trash and utility service area; and WHEREAS, Section 24-7-404.A.3. of the Aspen Municipal Code allows the Planning Commission to grant Special Review Approval to reduce the minimum open space requirements in the CC Zone District; and WHEREAS, the Planning Director did receive from ISIS LLC (Applicant) and has reviewed and recommended for approval an application (the "Plan") for a GMQS Exemption, Special Use Review to exceed allowable floor area in the CC Zone District, Special Use Review to reduce the dimensions of the required trash and utility service area, and Special Use Review to reduce the minimum open space requirement in the CC Zone District; and WHEREAS, the Planning and Zoning Commission reviewed the development proposal in accordance with those procedures set forth at Section 24-6-205(A)(5) of the Municipal Code and did conduct a public hearing thereon on December 5, 1995; and WHEREAS, upon review and consideration of the plan, agency and public comment thereon, and those applicable standards as contained in Chapter 24 of the Municipal Code, to wit, Division 2 of Article 8 (Growth Management Exemption), Division 2 of Article 5 (Special Use Review - Floor Area and Trash/Utility Area) and Division 4 of 1 Article 7 (Special Use Review Reduction in Open Space) the Planning and Zoning Commission has recommended approval of the ISIS Theater's above mentioned requests; and NOW, THEREFORE, BE IT RESOLVED BY THE PLANNING AND ZONING COMMISSION OF THE CITY QF ASPEN, COLORADO as follows: That the Commission approves a GMQS Exemption for the enlargement of a historic landmark to be used for commercial and residential purposes which increases both the building's existing floor area and its net leasable square footage, and approves the special use review requests to exceed the allowable floor area of 1.5:1 to 1.8:1 in the CC zone district, the reduction of the required trash and utility service area, and the reduction of the minimum open space in the CC zone district, with the following conditions: 1. All representations made -in the application or by the applicant at the Planning and Zoning Commission meeting shall be adhered to during development. 2. The final development plans shall include a drainage plan prepared by a registered engineer that provides for no more than historic flows to leave the site as described n Section 24-7- 1004.C.4. of the Municipal Code. No drainage shall be allowed to enter the alley. 3. If sidewalk repair work is deemed necessary by the Engineering Department, it must be performed prior to an issuance of a certificate of occupancy. 4. The building permit application shall include a site improvement survey. A note shall be provided on the survey that "all easements of record as indicated on Title Policy No. ( ), dated ( ), have been shown hereon." 5. Any proposed landscaping shall be shown on the final development plan in the building permit application. The landscape design shall be approved by the Parks Department and must meet streetscape guidelines. 6. The applicant shall agree to join any improvement district formed for the purpose of constructing improvements in the public right-of-way. 7. The applicant shall consult city engineering (920-5088) for design considerations of development within the public right-of- way, parks department (920-5120) for vegetation species, and shall obtain permits for any work or development, including landscaping, with public rights-of-way from the City Streets Department (920- 5130). 8. The applicant shall be responsible for providing an audit of employees two years after the issuance of a C.O. verifying the employee assumptions contained in the application. This audit must be done via an independent report supplied by the applicant and reviewed by the Housing Office fOr'accuracy. If the audit determines that employment has ~Xceeded the five FTE's, the applicant shall be required to mitigate any additional employees according the Guidelines in affect at that time. In addition, the approved employee calculation of five (5) employees is only applicable to the Isis project, and an~ future uses will require a re-evaluation for mitigation purposes. 9. Prior to the issuance of building permits for the free market and two affordable unit~, deed restrictions shall be filed for approval and review by the Housing Office consistent with representations within the application. 10. Prior to issuance of a building permit, the applicant shall pay the applicable cash-in-lieu for open space, consistent with the requirements of Section 7-403.A.3. APPROVED by the Commission at its regular meeting on December 5, 1995. Sharon Carrillo, Sara Garton, Chair Deputy City Clerk EXHIBIT 5 Ordinance No. 95-..~(] ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN APPROVING THE PROPOSED AFFORDABLE HOUSING UNITS IN ASSOCIATION WITH THE REMODEL AND RENOV.4iTION OF THE ISIS THEATER (LOTS L, M, and N BLOCK .' 87) CITY AND TOWNSITE OF ASPEN WHEREAS, Section 24-8-209J. of the Municipal Code provides that the City Council, based on the recommendation of the Joint Growth Management Commission, must approve the method by which an applicant proposes to provide affordable housing; and WHEREAS, the Isis Theater has proposed two (2) three (3) bedroom affordable housing units on a proposed third story of the existing Isis Theater ;and WHEREAS, on August 23, 1995 the applicant received Conceptual Approval from the Historic Preservation Commission; and WHEREAS, on December 5, 1995 the applicant received approval from the City of Aspen Planning and Zoning Commission for a GMQS Exemption for the enlargement of a Historic Landmark to be used for commercial and residential purposes which increases both the buitding's existing floor area and its net leasable square footage; and WHEREAS, on December 5, 1995 the City of Aspen Planning and Zoning Commission also recommended approval for Special Review to exceed the allowable floor area of 1.5:1 to 1.8:1 in the CC Zone District, the reduction of required trash and utility service area and the reduction of the minimum open space requirements in the CC Zone District; and WHEREAS, December 5, 1995 the City of Aspen Planning and Zoning Commission also recommended that the Aspen City Council approve the Historic Landmark status for the Isis Theater; and WHEREAS, on December 5, 1995 the Joint Growth Management Commission forwarded a positive recommendation to the Aspen City Council on a vote of 8-2. WHEREAS, the Aspen City Council has reviewed and considered the proposed affordable housing units proposed for the Isis Theater text amendments under the applicable provisions of the Municipal Code as identified herein, has reviewed and considered those recommendations and approvals as granted by the Planning and Zoning Calmmission, the Aspen Historic Preservation Commission, the Joint Growth Managements Commission, the AsperdPitkin County Housing Office and has taken public comment at public hearing; and WHEREAS, the City Council finds that the proposed affordable housing units meet or exceed all applicable development standards and are consistent with the goals and elements of the Aspen Area Community Plan; and WHEREAS, the City Council finds that this Ordinance furthers and is necessary for publid health, safety, and welfare; and NOW, THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN COLORADO: Section 1: Pursuant to Section 24-7-601.D. of the Municipal Code, the City Council finds as follows in regard to the proposed affordable housing units: 1. The City of Aspen has an adopted plan to develop affordable housing with monies from payment of affordable housing dedication fees; and 2. That the City could not have reasonably anticipated the provision of the Isis Theater site for affordable housing, and therefore had not identified the specific site for affordable housing; and 3. That the site is well suited for the development of affordable housing, taldng into account the availability of services, proximity to employment opportunities and transit opportunities and that the site is not affected by environmental constraints to development or historic preservation concerns; and 4. That the method proposed will result in employee housing being produced prior to or at the time the impacts of the development will be experienced by the community; and 5. That the development itself requires the provision of affordable housing on-site to meet its service needs; and 6. That the proposed units as set forth in the application are not in conflict with the provisions of Chapter 24 of the Municipal Code or the Aspen Area Community Plan. Section 2: This ordinance shall not have any effect on existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the Ordinances amended as herein provided, and the same shall be constructed and concluded under such prior ordinances. Section 3: If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions hereof. Section 4: That the City Clerk is directed, upon the adoption of this ordinance, to record a copy of this ordinance, in the office of the Pitkin County Clerk and Recorder. Section 5: A public hearing on the Ordinance shall be held on the ~ff' day of ,---~ ~ 199rat 5:00 pm in the City Council Chambers, Aspen City Hall, Aspen Colorado, fifteen (15) days prior to which heating a public notice of the same shall be published in a newspaper of general circulation within the City of Aspen. Council of the City of Aspen on the 7' c~ 1995. ATTEST: ~~y Clerk ' 19~.. FINALLY, adopted, passed and approved this ~/~'/""' ~/-~ ' day of tt, Mayor EXHIBIT 6 ORDINANCE NO. 58 (Series of 1995) AN ORDINANCE OF THE ASPEN CITY COUNCIL DESIGNATING 406 E. HOPKINS AVENUE, LOTS L, M, AND N, BLOCK 87, CITY AND TOWNSITE OF ASPEN, AS "H," HISTORIC LANDMARK PURSUANT TO SECTION 24-7- 703 OF THE MUNICIPAL CODE. WHEREAS, the Isis LLC, with the permission of the owners of the property, Dominic and Kathryn Linza, have filed an application for Historic Landmark Designation of their property, 406 E. Hopkins Avenue, Lots L, M, and N, Block 87, City and Townsite of Aspen, pursuant to Section 24-7-704 of the Municipal Code; and WHEREAS, the Histodc Preservation Commission recommended Historic Designation 7-0 for the subject property at a duly noticed public hearing on August 9, 1995; and WHEREAS, the Planning and Zoning Commission recommended Historic Designation 6-0 for the subject property at a duly noticed public hearing on December 5, 1995; and WHEREAS, pursuant to Section 24-7-702 of the Municipal Code, the City Council has found that the subject property meets standards B (architectural importance), D (neighborhood character), and E (community character); and WHEREAS, City Council wishes to affirm those recommendations as rendered by the Historic Preservation Commission and Planning and Zoning Commission and complete the Landmark Designation process. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO Section 1 That the structure and property at: 406 E. Hopkins Avenue, Lots L, M, and N, Block 87, City and Townsite of Aspen be granted "H," Historic Landmark Designation. Section 2 That the Zoning District Map be amended to reflect the rezoning described in Section I and the Community Development Director shall be authorized and directed to amend said map to reflect said rezoning. Section 3 That the Community Development Director shall be directed to notify the City Clerk of such designation, who shall record among the real estate records of the Pitkin County Clerk and Recorder's Office a certified copy of this Ordinance. Section 4 That if any section, subsection, sentence, clause, phrase, or portion of this Ordinance is for any reason held invalid or unconstitutional by any court of. '. competent jurisdiction, such portion shall be deemed a separate, distinct, and independent provision and such holding shall not affect the validity of the remaining portions thereof. Section 5 A public hearing on the Ordinance was held on the 12th day of February, 1996, at 5:00 p.m. in the City Council Chambers, Aspen City Hall, Aspen, Colorado, fifteen (15) days prior to which hearing notice of the same was published once in a newspaper of general circulation within the City of Aspen. INTRODUCED, READ, AND ORDERED PUBLISHED as provided by law by the City Council of the City of Aspen on the 18th day of December, 1995. John S. Bennett, Mayor ATTEST: Kathryn S. Koch, City Clerk FINALLY adopted, passed, and approved this/-'~ day of ~ ~_~,.~,.., ,1996. John S. Bennett, Mayor ATTEST: K~ty Cler/k'~ MEMORANDUM TO: Mayor and Council ..... THRU: Amy Margerum, City Manage~k}k// THRU: Stan Clauson, Community Development Director~ FROM: Amy Amidon, Historic Preservation Officer RE: First Reading of Ordinance ~qS, Series of 1996, Isis Theater/Open Space Text Amendment DATE: December 9, 1996 SUMMARY: The applicant proposes an amendment to Section 26.64.040(A)(3)ofthe Municipal Code. This section pertains to "Special Review" for the reduction of open space requirements within the Commercial Core zone district. Although the Planning and Zoning Commission currently has the authority to decrease the percentage of open space which must be provided, the applicant must still mitigate by providing cash-in-lieu. The proposed code amendment allows waiver of the cash-in-lieu requirement for historic landmarks only. Staff recommends that Council deny the proposed text amendment, based on the findings outlined in this memo. The Planning and Zoning Commission reviewed the application on November 19, 1996 and recommended that Council not approve the proposed text amendment by a vote of 5-2. APPLICANT:Isis, LLC, represented by Sulmy Vann. REVIEW STANDARDS AND STAFF COMMENTS: Section 26.64.040(A)(3), which is proposed to be amended, currently reads as follows: "3. For the redaction of required open space in the Commercial Core (CC) zone district only, the applicant demonstrates that the provision of less than the required amount of open space on-site will be more consistent with the character of surrounding land uses than would be the provision of open 5pace according to the standard As general guidelines, the applicant shah take into account the following. It may be appropriate to have open space on the site when the building is located on a street corner, or the open space can be linked to an adjacent historic landmark or the open space is intended for a particular fimctional purpose, such as dining or the protection oyP an existing tree. It may be inappropriate to have open space on the site when other buildings along the street pont are built to the property line, especially along public malls, or when the open space is configured in such a manner as to serve no public purpose. FFhen the commission determines open space is inappropriate on the site, it may reduce or waive the requirement if the applicant shall make a payment-in-lieu according to the following formula: Appraised value of the unimproved land multiplied by the percentage of the site required to be open ~pace which is to be developed equals value of payment The appraised value of the property shall be determined by the submission of a current appraisal performed by a qualified professional real estate appraiser. Thepayment-in-lieu of open space shall be due and payable at the time of issuance of a building permit. All funds collected shall be transferred by the building inspector to the finance director, for deposit in a separate interest bearing account. Monies in the account shall be used solely for the purchase or development of land for open space, pedestrian or recreational purposes within or adjacent to the Commercial Core (CC) zone district. Fees collected pursuant to this section may be returned to the then present owner of property for which a fee was paid including any interest earned if the fees have not been spent within sever (7) years from the date fees were paid unless the council shall have earmarked thefun&for expenditure on a specific project, in which case the council may extend the time period by up to three (3) more years. To obtain a refund the present owner must submit a petition to the finance director within one (1) year following the end of the seventh (7th) year from the date payment was received. For the purpose of this section, payments collected shall be deemed spent on the basis of the first pctyment in shall be the first payment out. Any payment made for a project for which a building permit is canceled due to noncommencement of construction, may be refunded if a petition for refund is submitted to the finance director within three (3) months of the date of the cancellation of the building permit All petitions shall be accompanied by a notarized, sworn statement that the petitioner is the current owner of the property and by a copy of the dated receipt issued for payment of the fee. l/Vhen the HPC approves the on-site relocation of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the requirements of this section shall be waived" The revie~v standards, per Section 26.92.010, are: A. Whether the proposed amendment is in conflict with any applicable portions of this chapter. Response: The proposed text amendment is not in conflict with any chapters of the code. B. Whether the proposed amendment is consistent with all elements of the Aspen Area Comprehensive Plan. Response: The AACP encourages the preservation of historic structures, however the preservation of open space is also a goal of the AACP. While many financial incentives currently exist for historic preservation, the payment-in-lieu is one of only a few development impact fees which address parks. C. Whether the proposed amendment is compatible with surrounding Zone Districts and land uses, considering existing land use and neighborhood characteristics. Response: The proposed amendment creates a financial incentive which does not directly affect land use. D. The effect of the proposed code amendment on traffic generation and road safety. Response: The proposed amendment does not affect traffic. E. Whether and the extent to which the proposed amendment would result in demands on public facilities, and whether and the extent to which the proposed amendment would exceed the capacity of such public facilities, including but not limited to transportation facilities, sewage facilities, water supply, parks, drainage, schools, and emergency medical facilities. Response: The applicant proposes to amend the language of this section to allow not only a reduction in the amount of open space which must be physically provided, but also to allow waiver of the payment-in-lieu. This is proposed to apply to the expansion of historic landmark structures and would provide an additional incentive for their preservation. Staff has several concerns with the proposed amendment. While there is strong support in the community for provision of incentives to encourage historic preservation, there is also a desire to purchase and protect open space. Since approximately half of the buildings in the Commercial Core are landmat-ks or could be landmarked, there is the potential to significantly impact this open space fund. In addition, the project which is associated with the proposed code amendment, the Isis Theater, has already received all approvals, raising issues as to who may take advantage of the waiver retroactively. There has, in the recent past, been some discussion amongst Plmming staff as to whether the open space requirement is appropriate in the Commercial Core, given a general desire to maintain a strong facade line right next to the sidewalks, as is typical of historic downtowns. A number of courtyards which have been created due to this provision, especially those which are below sidewalk level, are not thought to be useful or active open spaces. Others though, particularly at street corners, are lively and provide gathering areas and spaces for street performances. The existing code language seems to provide the Planning and Zoning Commission with the ability to identify areas where City with the opportunity to create pocket parks or other green space in a better location, making the regulation effective as written. F. Whether and the extent to which the proposed amendment would result in significantly adverse impacts on the natural environment. Response: The amendment may create limitations in the City's ability to maintain and create new parks. G. Whether the proposed amendment is consistent and compatible with the community character in the City of Aspen. Response: Both programs, historic preservation and parks are important to the overall livability and community character of Aspen. Staff is very supportive of creating incentives to preserve Aspen's architectural heritage, however numerous incentives currently exist, many of which may run contrary to their initial purpose by serving to encourage more intense development of historic sites. H. Whether there have been changed conditions affecting the subject parcel or the surrounding neighborhood which support the proposed amendment. Response: The proposed amendment does not address any changing conditions within the neighborhood. I. Whether the proposed amendment would be in conflict with the public interest, and is in harmony with the purpose and intent of this chapter. Response: The proposed amendment would not be consistent with the public interest in its limitation of park funding. STAFF RECOMMENDATION: Staff and the Planning and Zoning Commission recommend that Council deny approval of the proposed text amendment. However should Council find that the amendment is consistent with the review standards of Section 26.92.010 are met, an ordinance to approve the text amendment is attached. Staff recommends that Council approve first reading of the Ordinance so that it may proceed to a public hearing. RECOMMENDED MOTION: "I move to read Ordinance # , Series of 1996." "I move to approve Ordinance # , Series of 1996 on First Reading." Exhibits: Ordinance # , Series of 1996 A. Parks Department referral comments B. Planning and Zoning Commission minutes of November 19, 1996 TO: ~%my A~idc~n '{sis Open Sp~¢ Tex~ ~iertdmc~[ I have renewed the ~plicafiort submia. ted by SuBy Vann mg~ding cha~g~s ~o Section 26.64.~0.A.3, h~ o~a ~e ~¢xt am~dm~t m~d~r ~pcciat review. I have some ~ace~ ~gardmg ~e ~'~oscd w~ing snbmi~d by Vml Asst~iaws. The pml~ed d~c states '~'x~cn ~e ~C appn~ves I~ on-site r~t~i~n ~qr ~a.~tt of ~ ~c ~dm~k into r¢~cd ope~ s~ce, stmh Chat ~ ~mo~q[ ,,rein a~a~ c,n-~t~ is rd~d below '~hat ~qa~ed by ~his C~e. fl~c zcq~mcr, tS or ~s section aR ~ waiv_d." In my o~on, ~e zcvisd wordhg t',a~dai~ ~at~j Hbtode L~dms~ a~ ~pt ~m mhigr~ ~ o~r, ~ace loss. T~e~ ~o~d ~ s~me ~c~b~i~ in ~c wordhag to allow Br ovalration on a cs.~ by ca~ b~is..A po~hle ~iutDn to t~s could ~ ~ follows: "When the I{~C ~pmves amc o~-~te ~eloca~a an&~r a~au~ioa of an Hi~mc Landmark hD squired ~ sp~. su~ timt [he ao~t ofo~ s~ on-sit~ is rduced ~ew that required by ~s Ct~, the requirements of S~is sec~oa may red~ed or ~ive~ " This a~ows some f!e~bi!ily m &~err~xe ~e value ,,r t~ o~n spac~ that is :~a~stea W ~ reduce_ Op~ sp~ s~dh~g ~ ~i~orlc i,~dm~ ~ e~muc~ Mistode L~k ~ hdp m ~eB, c ~ Ilialoire L~n~k'a c~cr ~d v~ue m ~e ~at~ty. ~c c~ansicm ~ ~t~a~mt of~ l~rie L~m~k ~ a ~ncfit in itseft ld ~lowa ~r greater i~ei~ viabHity of ~.¢ ~qjeCt ~ Mvit~g ~xpp. M~ squ~ Bo~e ~d ~¢ o~ ~x~ptioas allocat~ B ~ese~ag our hi~oric r~s. By au~>m~c~y ¢x~p~g sx~nded Hi~orlc Ia.hn~ks ~om revi~ for o~a space not ~eom~c plmmiag ~d emha~h¢ HisSfie Lar~ ~ o~ sps. i t~ am o~gi~ ia~afion or aummtic exemption of~eioqald i lis~¢ La~s inu~ r~uk~ open. spa w~ to p~s~e at Irislode Lm~dm~k, wh~re ~¢ o~n Sp~ w~s only pla~ · e Historic Idm~k could ~ reloeatM too (for csple the Katie Reid House). ~e ex~ion of ~ H~toric ~dn~k is qtdte ~ffercnt ffem u ~1~I¢d HAstoric Landm;~k. The ~,x~nffnn of Histdc La~dmm'~ ~W ~pen s~ nee&s m [~ uv~ua~d ~ a ¢~¢ ca~ bsis sad not ~ automatically (ie, "shall'3 exempted ~om mitigating ~or o~n space, Exhibit "A" EXHIBIT 1 Cily uf Asl,cn Prc-Apl~llcalion Col|fercnc~. Summary bl'~ IZ-g,Z-q[~ Ptamlcr Dale l~epresenlellve's I'honc ~- Ow.er'sName D~scriplien uf Ihe i,t~ci/~[cvck~ptnc,~queslcd Referral AS,m,~i~s The review is: (I'&Z only)(UC o,,~}~(I'&Z a,,d CC) J I. I'mur ur ~,wnershilL 2. Si~ned Ire ~gtetnnc,fi. 3. Ai,pllc;ufi'~ n;m~e. ;uhlrc~s :.:d Iclcl,l.me numl,er in :~ IcBcr signed by It~e apl}llcasfi 6. Smn,lmry Idl~ explai.ing Ihc K. qncsl (cxisling c~,.dilitn~s and p[t~l~scd uses), includi.g Site i}la, shall indude Im~pcrty boundaries, h, size, I-ol}gsed access, and physical These ilems nell R, be submilled if circled: n. list of nd acere' pn,lmdy owners wifi,~. I'm~f uf legal nccess R, d,e MEMORANDUM TO: Mayor and Com~cil THRU: Amy Margerum, City Manager or~"' THRU: Stan Clauson, Community Development Direct FROM: Amy Amidon, Historic Preservation Officer RE: Second Reading of Ordinance #45, Series of 1996, Isis Theater/Open Space Text Amendment DATE: January 13, 1997 SUMMARY: The applicant proposes an amendment to Section 26.64.040(A)(3)ofthe Municipal Code. This section pertains to "Special Review" for the reduction of open space requirements within the Commercial Core zone district. Although the Planning and Zoning Commission currently has the authority to decrease the percentage of open space which must be provided, the applicant must still mitigate by providing cash-in-lieu. The proposed code amendment allows waiver of the cash-in-lieu requirement for historic landmarks only. Staff recommends that Council deny the proposed text amendment, based on the findings outlined in this memo. The Planning and Zoning Commission reviewed the application on November 19, 1996 and recommended that CoLmcil not approve the proposed text amendment by a vote of 5-2. Council approved Ordinance #45, Series of 1996 on First Reading on December 9, 1996. APPLICANT:Isis, LLC, represented by Sunny Vann. REVIEW STANDARDS AND STAFF COMMENTS: Section 26.64.040(A)(3), which is proposed to be amended, currently reads as follows: "3. For the reduction of required open space in the Commercial Core (CC) zone district only, the applicant demonstrates that the provision of less than the required amount of open space on-site will be more consistent with the character of surrounding land uses than would be the provision of open space according to the standard As general guideline& the applicant shah take into account the following. It may be appropriate to have open space on the site when the building is located on a street corner, or the open space can be linked to an adjacent historic landmark; or the open space is intended for a particular functional purpose, such as dining or the protection of an existing tree. It may be inappropriate to have open space on the site when other buildings along the streetJ~ont are built to the property line, especially along public malls, or when the open space is configured in such a manner as to serve no public purpose. When the commission determines open space is inappropriate on the site, it may reduce or waive the requirement if the applicant shall make a payment-in-lieu according to the following formula: Appraised value of the unimproved land multiplied by the percentage of the site required to be open space which is to be developed equals value of payment. The appraised value of the property shall be determined by the submission of a current appraisal performed by a qualified proJkssional real estate appraiser. Thepayment-in-lieu of open space shall be due and payable at the time of issuance of a building permit All funds collected shall be transferred by the building inspector to the finance director, for deposit in a separate interest bearing account. Monies in the account shall be used solely for the purchase or development of land for open space, pedestrian or recreational purposes within or adjacent to the Commercial Core (CC) zone district Fees collected pursuant to this section may be returned to the then present owner of property for which a fee was paid including any interest earned if the fees have not been spent within sever (7) years fi'om the date fees were paid unless the council shall have earmarked the funds for expenditure on a specific project, in which case the council may extend the time period by up to three (3) more years. To obtain a refund the present owner must submit a petition to the finance director within one (j) year following the end of the seventh (Tth) year J~om the date payment was received. For the purpose of this section, payments collected shall be deemed spent on the basis of the first payment in shall be the first payment out. Any payment made for a project for which a building permit is canceled, due to noncommencement of construction, may be refunded irapetition for refund is submitted to the finance director within three (3) months of the date of the cancellation of the building permit AH petitions shall be accompanied by a notarized sworn statement that the petitioner is the current owner of the property and by a copy of the dated receipt issued for payment of the j~e. When the HPC approves the on-site relocation of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the requirements of this section shah be waived." The review standards, per Section 26.92.010, are: A. Whether the proposed amendment is in conflict with any applicable portions of this chapter. Response: The proposed text amendment is not in conflict with any chapters of the code. B. Whether the proposed amendment is consistent with all elements of the Aspen Area Comprehensive Plan. Response: The AACP encourages the preservation of historic structures, however the preservation of open space is also a goal of the AACP. While many financial incentives currently exist for historic preservation, the payment-in-lieu is one of only a few development impact fees which address parks. C. Whether the proposed amendment is compatible with surrounding Zone Districts and land uses, considering existing land use and neighborhood characteristics. Response: The proposed amendment creates a financial incentive which does not directly affect land use. D. The effect of the proposed code amendment on traffic generation and road safety. Response: The proposed amendment does not affect traffic. E. Whether and the extent to which the proposed amendment would result in demands on public facilities, and whether and the extent to which the proposed amendment would exceed the capacity of such public facilities, including but not limited to transportation facilities, sewage facilities, water supply, parks, drainage, schools, and emergency medical facilities. Response: The applicant proposes to amend the language of this section to allow not only a reduction in the amount of open space which must be physically provided, but also to allow waiver of the payment-in-lieu. This is proposed to apply to the expansion of historic landmark structures and would provide an additional incentive for their preservation. Staff has several concerns with the proposed amendment. While there is strong support in the community for provision of incentives to encourage historic preservation, there is also a desire to purchase and protect open space. Since approximately half of the buildings in the Commercial Core are landmarks or could be landmarked, there is the potential to significantly impact this open space fund. In addition, the project which is associated with the proposed code amendment, the Isis Theater, has already received all approvals, raising issues as to who may take advantage of the waiver retroactively. There has, in the recent past, been some discussion amongst Planning staff as to whether the open space requirement is appropriate in the Commercial Core, given a general desire to maintain a strong facade line right next to the sidewalks, as is typical of historic downtowns. A number of courtyards which have been created due to this provision, especially those which are below sidewalk level, are not thought to be useful or active open spaces. Others though, particularly at street comers, are lively and provide gathering areas and spaces for street performances. The existing code language seems to provide the Planning and Zoning Commission with the ability to identify areas where open space should be provided and instances when payment-imlieu would provide the City with the opportunity to create pocket parks or other green space in a better location, making the regulation effective as written. F. Whether and the extent to which the proposed amendment would result in significantly adverse impacts on the natural environment. Response: The amendment may create limitations in the City's ability to maintain and create new parks. G. Whether the proposed amendment is consistent and compatible with the community character in the City of Aspen. Response: Both programs, historic preservation and parks are important to the overall livability and commtmity character of Aspen. Staff is very supportive of creating incentives to preserve Aspen's architectural heritage, however numerous incentives currently exist, many of which may run contrary to their initial purpose by serving to encourage more intense development of historic sites. H. Whether there have been changed conditions affecting the subject parcel or the surrounding neighborhood which support the proposed amendment. Response: The proposed amendment does not address any changing conditions within the neighborhood. I. Whether the proposed amendment would be in conflict with the public interest, and is in harmony with the purpose and intent of this chapter. Response: The proposed amendment would not be consistexit with the public interest in its limitation of park funding. STAFF RECOMMENDATION: Staff and the Planning and Zoning Commission recommend that Council deny approval of the proposed text amendment. However should Council find that the amendment is consistent with the review standards of Section 26.92.010 are met, an ordinance to approve the text amendment is attached. RECOMMENDED MOTION: "I move to deny the IsisTheater/LLC application for a text amendment related to open space." Exhibits: Ordinance #45, Series of 1996 A. Parks Department referral comments B. Planning and Zoning Commission minutes of November 19, 1996 C. Isis Theater/LLC Open Space Text Amendment application ORDINANCE NO. 45 (Series of 1996) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, APPROVING AN APPLICATION TO AMEND CHAPTER 26 OF THE MUNICIPAL CODE, LAND USE REGULATIONS, SECTION 26.64.040(A)(3), REVIEW STANDARDS FOR SPECIAL REVIEW, TO ELIMINATE THE CASH-IN-LIEU PAYMENT WHERE REQUIRED OPEN SPACE HAS BEEN REDUCED FOR HISTORIC LANDMARKS WHEREAS, Section 26.92.030 of the Municipal Code provides that amendments to Chapter 26 of the Code, to wit, "Land Use Regulations," shall be reviewed and recommended for approval by the Planning Director and then by the Planning and Zoning Commission at a public hearing, and then approved, approved with conditions, or disapproved by the City Council at a public hearing; and WHEREAS, the Planning Director did receive from the Isis LLC an application for an amendment to the land use regulations, and reviewed and recommended for denial, certain text amendments to Chapter 26 relating to Section 26.64.040(A)(3); and WHEREAS, the Planning and Zoning Commission reviewed the proposed text amendment on November 19, 1996 at which time the Planning and Zoning Commission recommended denial to City Council by a vote of 5-2; and WHEREAS, the City Council finds that the text amendment is consistent with the public welfare and purposes and intent of Chapter 26 of the Municipal Code and meets the review standards of Section 26.92.010. NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO: Section 1: Section 26.64.040(A)(3), Review standards for Special Review, is hereby recommended to be amended to read as follows: 3. For the reduction of required open space in the Commercial Core (CC) zone district only, the applicant demonstrates that the provision of less than the required amount of open space on-site will be more consistent with the character of surrounding land uses than would be the provision of open space according to the standard. As general guidelines, the applicant shall take into account the following. It may be appropriate to have open space on the site when the building is located on a street corner, or the open space can be linked to an adjacent historic landmark, or the open space is intended for a particular functional purpose, such as dining or the protection of an existing tree. It may be inappropriate to have open space on the site when other buildings along the street front are built to the property line, especially along public malls, or when the open space is configured in such a manner as to serve no public purpose. When the commission determines open space is inappropriate on the site, it may reduce or waive the requirement if the applicant shall make a payment-in- lieu according to the following formula: Appraised value of the unimproved land, multiplied by the percentage of the site required to be open space which is to be developed, equals value of payment. The appraised value of the property shall be determined by the submission of a current appraisal performed by a qualified professional real estate appraiser. The payment-in-lieu of open space shall be due and payable at the time of issuance of a building permit. All funds collected shall be transferred by the building inspector to the finance director, for deposit in a separate interest bearing account. Monies in the account shall be used solely for the purchase or development of land for open space, pedestrian or recreational purposes within or adjacent to the Commercial Core (CC) zone district. Fees collected pursuant to this section may be returned to the then present owner of property for which a fee was paid, including any interest earned, if the fees have not been spent within sever (7) years from the date fees were paid, unless the council shall have earmarked the funds for expenditure on a specific project, in which case the council may extend the time period by up to three (3) more years. To obtain a refund, the present owner must submit a petition to the finance director within one (1) year following the end of the seventh (7th) year from the date payment was received. For the purpose of this section, payments collected shall be deemed spent on the basis of the first payment in shall be the first payment out. Any payment made for a project for which a building permit is canceled, due to noncommencement of construction, may be refunded if a petition for refund is submitted to the finance director within three (3) months of the date of the cancellation of the building permit. All petitions shall be accompanied by a notarized, sworn statement that the petitioner is the current owner of the property and by a copy of the dated receipt issued for payment of the fee. When the HPC approves the on-site relocation and/or expansion of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the requirements of this section shall be waived. Section 2: This Ordinance shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. Section 3: If any section, subsection, sentence clause, phrase, or portion of this Ordinance is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 4: A public hearing on the Ordinance shall be held on the 13th day of January, 1997 in the City Council chambers, Aspen City Hall, Aspen, Colorado, fifteen (15) days prior to which hearing a public notice of the same shall be published in an newspaper of general circulation within the City of Aspen. INTRODUCED, READ AND ORDERED PUBLISHED as provided by law, by the City Council of the City of Aspen on the 9th day of December, 1996. John Bennett, Mayor ATTEST: Kathryn S. Koch, City Clerk FINALLY, adopted, passed and approved this 13th day of January, 1997. John Bennett, Mayor ATTEST: Kathryn S. Koch, City Clerk Memorandum TO: Amy Amidon: DATE: No;cmbcr ;'2, 1996 RB: Isis Open S~va~ T~x~ Amendment 3E have reviewed the application submitt~ by Say Vann regarding 26f:>4.040.A3, the opext space text amendment under apecia] review. concan.s regarding the Inx~oscd wording submitted by Vann Ass~iatea. The pro!x~sed change states "When ~e I-!PC a~pnwes the on-site relocatian attfl~r Historic Landmark into requii'ed open slx'tee, such that th~ afaotmt :: f al;cn ~acc: on-site is reduced below that required by this Coda. the tcquirlmlcats oflhis section all be waived." In my oplion, the .-rds~ wording nmndaU:s that all blistorie Landmare ar~ exan~. ,~c~ra mitigating for open .space loss. Them shouM be ~me flexibility in the wording to allow for evaluation on a cs.~ Dy case basis, .A possible sohttion ~o this could be as follows: "Wh~.n the HPC approvals the on-site relocalion and/Or expansion of'an Histori~ Landmark into r~uired open space. su~ ttuu the amount of optm space on-site is reduced below that reqmmd by fills Cksle, the retiuircments of tedm'ed or waived" This allows sore, .flexibility to dx:taae the value oF th~ open spat= that is being ze, que, smdto bareduceA. OpanspaccsurroundinJanHisloricLandmark Canenha,cethc HistoriC Landmark and help to preserve the Ilistoric Lan.lmark' s chm'actcr and value to th~ community. The c3pansion and alteration of an H/ma'ic Landmazt; Ls a benefit itself and allows for greater ilnaneial viability of thc lr~ojca bcy having ~pandcd square Footage and th~ other axemptions alloeatcd to preserving our historic r~sourccs. By automatically exca~ting exptmdedHistorlc Land-,-,,rks not c~aeotmlgc planning and tmha~itt~ Historic LandlllarJcn with 0p¢13. spa. e.~. I thirlk the original intention of autouric exe~nptim~ of reloaated ilistori¢ Lalldmarks into r~xtuired op=n space was to pr~scrve that llistoric Laark, wh~e the olnn apac~ ~s .nly place the ~tistofic Landmark could be relocatat too (for aple the Katie Reid blbu~c). The expavsion of an Historic Landmark is quit~ different from a relocatcd Historic Landra.~rk, The e. xpansi,m of'Histarlc Lnndrnattcs into olxa sFac~ needs to case basis and not 1~ automhtically (i~. "shall") ¢xe. mpted from miliga~in~, tar ~pen spa~e. 'Exhibit "A" MEMORANDUM TO: Mayor and Council THRU: Amy Margerum, City Manager r/~ THRU: Stan Clauson, Community Development Directo FROM: Amy Amidon, Historic Preservation Officer RE: Second Reading of Ordinance #45, Series of 1996, Isis Theater/Open Space Text Amendment (Public Hearing continued from January 13, 1997) DATE: January 27, 1997 SUMMARY: The applicant proposes an amendment to Section 26.64.040(A)(3)ofthe Municipal Code. This section pertains to "Special Review" for the reduction of open space requirements within the Commercial Core zone district. Although the Plmming and Zoning Commission currently has the authority to decrease the percentage of open space which must be provided, the applicant must still mitigate by providing cash-in-lieu. The proposed code amendment allows waiver of the cash-in-lieu requirement for historic landmarks only. On January 13, 1997, a recommendation was brought fortyard from staff and the Planning and Zoning Commission that Council deny the proposed text amendment, based on the findings outlined in this memo. Discussion of the proposed amendment resulted in a direction from Council to examine the affected properties and determine whether or not the means by which open space requirements are calculated should be amended. ALTERNATIVES CONSIDERED 1. Tie to historic use. Staff has compiled a list of properties in the Commercial COre Zone District which might be affected. They are: the Hotel Jerome, St. Mary's Rectory, the three houses behind City Hall, Aldefer's Antiques, Jill's Carpets, 302 E. Hopkins, La Cocina, the Howling Wolf, and the Motherlode. At the January 13 meeting the applicant proposed tying an open space cash-in-lieu waiver to preservation of a building's historic use. Of this list of properties potentially affected by the code amendment, only the Hotel Jerome and the Isis have historic uses which benefit the community as a whole. The Jerome' s continued use as a hotel is fairly certain, therefore only the Isis would benefit from a cash-in-lieu waiver for preservation of a historic use. For this reason, this alternative confers little public benefit. 2. Calculate the mitigation based only on the existing open space. not the entire lot. The current code language allows a determination to be made whether it is appropriate from an Urban design and~or historic preservation perspective to provide open space or cash-in- lieu in a specific location. Staff examined the affects of basing the amount of open space to be provided on 25% of the lot area which is vacant at the time of the development application, rather than 25% of the lot as though it were completely vacant. The drawings below ilhistrate the difference in the approaches. r.L: I ~c.v.v...'-, ~i:i:i:i:i:i:! In the illustration of 534 E. Hopkins, the one story historic house and shed cover most of the lot. 25% of the existing open space is approximately 277 square feet, but 25% of the lot is 750 square feet. This results in a substantial difference in the amount of usable open space or cash~in-lieu payment that would be provided. Additionally, the more favorable calculation encourages more encroachment onto the kistodc buildings. The drawing of the Isis Theater illustrates the point in the same mariner. Staff finds funds acquired through cash-in-lieu payment serve an essential purpose in creating improvements to the Commercial Core in general, such as those proposed in the "Downtown Enhancement and Pedestrian Plan," or for purchase of useful open space in the downtown area and therefore the calculation should not be amended. Staff believes this alternative would result in a significant reduction in public benefit and may encourage over-development of historic properties. 3. Five year amortization. In order to address the potential difficulty in providing the cash-in-lieu payment at the time a building permit is pulled, staff recommends the code be amended to allow amortization of the cash-in-lieu fee for up to five years, in equal payments without interest. This approach retains all of the benefits of the current program, but eases the initial burden upon developers with desirable projects. Staff has discussed this amendment with the applicant and believes that he finds it to be a helpful alternative. APPLICANT:Isis, LLC, represented by Sunny Va~m. REVIEW STANDARDS AND STAFF COMMENTS: Section 26.64.040(A)(3), which is proposed to be amended, currently reads as follows: "3. For the reduction of required open space in the Commercial Core (CC) zone district only, the applicant demonstrates that the provision of less than the required amount of open space on-site will be more consistent with the character of surrounding land uses than would be the provision of open space according to the standard As general guidelines, the applicant shall take into account the following. It may be appropriate to have open space on the site when the building is located on a street corner, or the open space can be linked to an adjacent historic landmark, or the open space is intended for a particular functional purpose, such as dining or the protection of an existing tree. It may be inappropriate to have open space on the site when other buildings along the street front are built to the property line, especially along public malls, or when the open space is configured in such a manner as to serve no public purpose. When the commission determines open space is inappropriate on the site, it may reduce or waive the requirement if the applicant shah make a payment-in-lieu according to the following formula: Appraised value of the unimproved land, multiplied by the percentage of the site required to be open space which is to be developed equals value of payment The appraised value of the property shah be determined by the submission of a current appraisal performed by a qualified professional real estate appraiser. Thepayment-in-lieu of open space shall be due and payable at the time of issuance of a building permit AH funds collected shall be transferred by the building inspector to the finance director, for deposit in a separate interest bearing account Monies in the account shah be used solely for the purchase or development of land for open space, pedestrian or recreational purposes within or adjacent to the Commercial Core (CC) zone district Fees collected pursuant to this section may be returned to the then present owner of property for which a fee was paid including any interest earned if the fees have not been spent within sever (7) years from the date fees were paid unless the council shah have earmarked the funds for expenditure on a specific project, in which case the council may extend the time period by up to three (3) more years. To obtain a refund the present owner must submit a petition to the finance director within one (1) year following the end of the seventh (Tth) year from the date payment was received For the purpose of this section, payments collected shaH be deemed spent on the basis of the first payment in shah be the first payment out. Any payment made for a project for which a building permit is canceled due to noncommencement of construction, may be refunded irapetition for refund is submitted to the finance director within three (3) months of the date of the cancellation of the building permit. All petitions shall be accompanie.d by a notarized, sworn statement that the petitioner is the current owner of the property and by a copy of the dated receipt issued for payment of the fee. FFhen the HPC approves the on-site relocation of an Historic Landmark into required open space, such that the amount of open space on-site is reduced below that required by this Code, the requirements of this section shall be waived" The review standards for evhluating the proposed amendment, per Section 26.92.010, are: A. Whether the proposed amendment is in conflict with any applicable portions of this chapter. Response: The proposed text amendment is not in conflict with any chapters of the code. B. Whether the proposed amendment is consistent with all elements of the Aspen Area Comprehensive Plan. Response: The AACP encourages the preservation of historic structures, however the preservation of open space is also a goal of the AACP. While many financial incentives currently exist for historic preservation, the payment-in-lieu is one of only a few development impact fees which address parks. C. Whether the proposed amendment is compatible with surrounding Zone Districts and land uses, considering existing land use and neighborhood characteristics. Response: The proposed amendment creates a financial incentive which does not directly affect land use. D. The effect of the proposed code amendment on traffic generation and road safety. Response: The proposed amendment does not affect traffic. E. Whether and the extent to which the proposed amendment would result in demands on public facilities, and whether and the extent to which the proposed amendment would exceed the capacity of such public facilities, including but not limited to transportation facilities, sewage facilities, water supply, parks, drainage, schools, and emergency medical facilities. Response: The applicant proposes to amend the language of this section to allow not only a reduction in the amount of open space which must be physically provided, but also to allow waiver of the payment-in-lieu. This is proposed to apply to the expansion of historic landmark structures and would provide an additional incentive for their preservation. Staff has several concerns with the proposed amendment. While there is strong support in the community for provision of incentives to encourage historic preservation, there is also a desire to purchase and protect open space. Since approximately half of the buildings in the Commercial Core are landmarks or could be landmarked, there is the potential to significantly impact this open space fund. In addition, the project which is associated with the proposed code amendment, the Isis Theater, has already received all approvals, raising issues as to who may take advantage of the waiver retroactively. There has, in the recent past, been some discussion amongst Planning staff as to whether the open space requirement is appropriate in the Commercial Core, given a general desire to maintain a strong facade line right next to the sidewalks, as is typical of historic downtowns. A number of courtyards which have been created due to this provision, especially those which are below sidewalk level, are not thought to be useful or active open spaces. Others though, particularly at street corners, are lively and provide gathering areas and spaces for street performances. The existing code language provides the Planning and Zoning Commission with the ability to identify areas ~vhere open space should be provided and instances when payment-in-lieu would provide the City with the opportunity to create pocket parks or other green space in a better location, making the regulation effective as written. The attached Ordinance provides the ability to amortize the cash-in-lieu fee for up to five years, in equal payments without interest. F. Whether and the extent to which the proposed amendment would result in significantly adverse impacts on the natural environment. Response: The amendment may create limitations in the City's ability to maintain and create new parks. G. Whether the proposed amendment is consistent and compatible with the community character in the City of Aspen. Response: Both programs, historic preservation and downtown enhancement are important to the overall livability and community character of Aspen. Staff is very supportive of creating incentives to preserve Aspen's architectural heritage, however numerous incentives currently exist, many of which may run contrary to their initial purpose by serving to encourage more intense development of historic sites. H. Whether there have been changed conditions affecting the subject parcel or the surrounding neighborhood which support the proposed amendment. Response: The proposed amendment does not address any changing conditions within the neighborhood. I. Whether the proposed amendment would be in conflict with the public interest, and is in harmony with the purpose and intent of this chapter. Response: The proposed amendment would not be consistent with the public interest in its limitation of park funding. STAFF RECOMMENDATION: Staff and the Planning and Zoning Commission recommend that Council deny approval of the text amendment as initially proposed. Staff does however recommend that Council approve the attached Ordinance, which allows the cash-in-lieu payment to be amortized over a period of up to five years. RECOMMENDED MOTION: "I move to approve Ordinance #45, Series of 1996 on Second Reading." Exhibits: Ordinance #45, Series of 1996 A. Parks Department referral comments B. Planning and Zoning Commission minutes of November 19, 1996 C. Isis Theater/LLC Open Space Text Amendment application PUBLIC NOTICE lIE: OPEN SPACE TEXT AMENDMENT NOTICE IS I:!E~RI~Ry GIVEN that a public hearing will be held on Tuesday, November 19, 1996 at a megring to b~gin at 4:30 p.m. before the Aspen Plsnnlng and Zoning Commi.~sion, Sister Cities Meeting Room, City Hall, 130 S. Galena St., Aspen, to consider an application submitted by Isis, LLC, requesting an amendment to the language of Section 26.64.040.A.3. of the City of Aspen Land Use Code regarding the payment-ln-lieu of open space requirement to include "expansion" of Historic Landmark as a waiver for open space payment-in-lieu. The property is located at 406 E. Hopkins Avenue, and is described as Lots L, M, and N, Block 37, City and Townsite of Aspern For further information, contact Bob Nevins.at the Aspen/Pjtkin Community Development Department, 130 S. Galena St., Aspen, CO (970) 920-5102. s/Sara Carton, Chair Aspen Planning and Zoning Commi-~sion - Published in the Aspen Times on November 2, 1996 City of Aspen Account :am~g at the ~pen/elt~: C°lorad°6H~at~~ proCot. ~ thee"-- ,bate=~"~ OL aay'actlo~u .