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HomeMy WebLinkAboutminutes.council.19950814Aspen City Council Regular Meeting August 14, 1995 Mayor Bennett called the meeting to order at 5:05 with Councilmembers Richards, Waggaman, Marolt and Paulson present. CITIZEN COMMENTS There were none. COUNCILMEMBER COMMENTS 1. Councilman Paulson said Mary Ellen Smiddy and Alice Hubbard are putting together a grant on pedestrian efforts to submit to the Governor’s office. Councilman Paulson said he would like to get Council’s endorsement for this grant or put this on the next agenda. Mayor Bennett said there are several citizens groups working on pedestrian improvements, sidewalks, lights, crossings. Mayor Bennett said the NAC feels they have been usurped by other citizen committees. City Manager Margerum suggested a work session or an agenda topic to meet with all groups addressing pedestrian improvements and see where there might be coordination. Council scheduled a work session for Tuesday August 22 at 5 p.m. and requested staff contact all interested groups. 2. Councilwoman Richards moved to add to the agenda as action item (b) the request for funds from the Arts Council for an economic survey; seconded by Councilwoman Waggaman. All in favor, motion carried. 3. Councilwoman Richards moved to continue Ordinance #37 and # 32; seconded by Councilman Paulson. All in favor, motion carried. 4. Mayor Bennett said the entrance to Aspen design charrette came up with an interesting possibility that no one had envisioned going into the meetings. Mayor Bennett said 10 engineers and designers came to a consensus in a very exciting event. Staff and Council are communicating this new plan to the public. Mayor Bennett talked to the HPC. There are presentations scheduled for P & Z, CCLC, TIC, NAC and one to the Board of County Commissioners August 15 at 12:30. 5. City Manager Margerum told Council staff has been working on way to “reinvent government”, ways to make government more efficient and accountable. A staff retreat is scheduled for August 24 and 25. After that staff will be making presentations to Council and the community to get further input. 1 Aspen City Council Regular Meeting August 14, 1995 CONSENT CALENDAR Councilwoman Richards moved to read Ordinance #41, 40, 42, and 38, Series of 1995; seconded by Councilman Paulson. All in favor, motion carried. ORDINANCE #41 (Series of 1995) AN ORDINANCE OF THE ASPEN CITY COUNCIL DESIGNATING 123 W. FRANCIS STREET, LOTS C, D, E AND THE EAST 1/2 OF B, BLOCK 56, CITY AND TOWNSITE OF ASPEN, AS “H” HISTORIC LANDMARK PURSUANT TO SECTION 24-7-703 OF THE MUNICIPAL CODE ORDINANCE #40 (Series of 1995) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, TO AMEND SECTION 22-2 OF THE ASPEN MUNICIPAL CODE MODIFYING THE MODEL TRAFFIC CODE BY IMPOSING AN ABSOLUTE SPEED LIMIT AS THE MAXIMUM LAWFUL SPEED LIMIT ON CITY STREETS WITHIN THE CITY OF ASPEN ORDINANCE #42 (Series of 1995) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, TO AMEND THE SALES TAX CODE BY THE DELETION OF SECTION 21-10.10(24) RELATING TO THE EXEMPTION OF TELECOMMUNICATION ACCESS SERVICES INADVERTENTLY INCLUDED IN THE TAX SIMPLIFICATION CODE OF 1992 ORDINANCE #38 (Series of 1995) AN ORDINANCE OF THE ASPEN CITY COUNCIL GRANTING A SIX MONTH EXTENSION OF THE 1990 RESIDENTIAL GMQS ALLOTMENTS AND VESTED RIGHTS GRANTED BY ORDINANCE NO. 14, SERIES OF 1991, AND EXTENDED BY ORDINANCE NO. 22, SERIES OF 1994, AND AGAIN BY ORDINANCE NO. 10, SERIES OF 1995, FOR THREE 2 Aspen City Council Regular Meeting August 14, 1995 TOWNHOMES ON LOT 5 AND SEVEN TOWNHOMES ON LOT 6 OF THE ASPEN MEADOWS SUBDIVISION, CITY OF ASPEN, PITKIN COUNTY COLORADO were read by the city clerk Councilwoman Waggaman moved to adopt the consent calendar; seconded by Councilman Paulson. The consent calendar is: · Minutes - July 10, 24, 1995 · Ordinance #41, 1995 - 123 W. Francis Landmark Designation · Budget Request - Primary Electric Line Replacement Behind Red Brick · Ordinance #40, 1995 - City Speed Limit · Ordinance #42, 1995 - Amend Sales Tax Code · Resolution #51, 1995 - Contract Earthworks - Red Brick Storm Drain Line · Resolution #47, 1995 - Contract Approval Sale of Cemetery Lane Units · Ordinance #38, 1995 - Aspen Meadows Townhouse Extension of Approval · Resolution # 48, 2995 - Contract Award 1995 Water System Improvement · Resoltuion #49, 1995 - Deputy municipal Judge Ehrlich Roll call vote; Councilmembers Marolt, yes; Waggaman, yes; Paulson, yes; Richards, yes; Mayor Bennett, yes. Motion carried. ORDINANCE #36, SERIES OF 1995 - Tap Fees for Irrigation Phil Overeynder, water department, told Council staff has determined about 300 systems are hooked up with irrigation systems without permit or paying the tap fees. Overeynder reminded Council customers have been complaining because they do not feel the credit for converting the existing systems is sufficient; there is new technology which is not rated and the same factors should not apply; the standard allowance provided for a system with a given supply line size is not adequate; and often the tap fees exceed the cost of the installation of the irrigation system. Overeynder said the adoption of this ordinance will address new customers; however, staff needs to address non-compliance for systems already installed. Overeynder suggested a credit for existing hose irrigation. This would mean conversion of two hose bibs is large enough to offset a 3000 square foot irrigation system. Another option is to increase the standard square footage allowance for a 3/4 inch sprinkler system to 3000 square feet. The third option is a standard allowance for a drip system, which is much more efficient than a sprinkler irrigation system, will be encouraged. 3 Aspen City Council Regular Meeting August 14, 1995 Overenyder recommended using option 2, which assumes customers did this in ignorance and to convert without a retroactive charge. Mayor Bennett said he would prefer option 2, the ability to convert to bring the price down. Overenyder said staff will put the effort into getting compliance and will take about 9 months to get it into equilibrium. Councilwoman Richards agreed it is important that people are paying for the water that is delivered to them. Mayor Bennett opened the public hearing. There were no comments. Mayor Bennett closed the public hearing. Councilwoman Waggaman moved to adopt Ordinance #36, Series of 1996, on second reading establishing credits for conversion of an existing system and it be done by option 2, and people who have paid their tap fees in the past receive recompense as staff chooses; seconded by Councilwoman Richards. Roll call vote; Councilmembers Paulson, yes; Waggaman, yes; Richards, yes; Marolt, yes; Mayor Bennett, yes. Motion carried. ORDINANCE #33, SERIES OF 1995 - Grand Aspen Demolition Extension Stan Clauson, community development director, reminded Council the issue is the extension of the Grand Aspen hotel past October 1995. At the last meeting the applicant proposed to rent 70 rooms to the M.A.A. for the next 3 summers, 4 weeks full free market rental, 16 weeks of rental to groups and the hotel will be closed for 12 or 13 weeks. Clauson told Council the Aspen Mountain PUD agreement required a total of 129 parking spaces. This agreement was amended by the ice rink section M amendment reducing the number of parking spaces to 125. Savanah submitted a plan showing they have 125 parking spaces. Clauson said staff has looked at the parking spaces and found 8 were marked no parking and should be marked loading zone, which is consistent with the PUD agreement. The condition in the memorandum states that Savanah shall provide parking spaces to comply with the Aspen Mountain PUD agreement. Clauson told Council the Grand Aspen has about 15 percent of the total rooms of short term accommodations without kitchens. John Sarpa, representing Savanah Limited Partnership, stated the parking of this is in compliance with the PUD agreement or very close. Sarpa told Council they have had conversations with the small lodges as directed at the last meeting. Sarpa told 4 Aspen City Council Regular Meeting August 14, 1995 Council this applicant and the small lodges did not quite come to an agreement. Sarpa said they met with adjacent properties on their issues of visual impact and how the hotel is being operated. Sarpa said the applicants cleaned up, changed some exterior, and committed in writing to issues they will address over the next 3 years if this extension is granted. Sarpa said there about both short and long term issues to be addressed. Sarpa said Savanah supports the on-going talks with Council and staff on the small lodge requests for a long term solution. Sarpa said another long term issue is marketing and advertising. This is not something that the small lodges have done in the past. Savanah has offered to assist in a marketing. Walter Eisenberg, Sage Management Company, told Council they could provide assistance at trade shows by including the Gems of Aspen properties. Sage would forward leads on to the small lodges. Sage could also provide access to mailing lists twice annually. Sage belongs to Media Designs, would give Gems of Aspen access to being listed in guides like Quest and Passport. Sage could also provide advertising discounts well as being able to distribute their brochures in Sage’s 60 other properties. Eisenberg said the Grand Aspen could book reservations for the small lodges when the Grand Aspen is full or closed. The Grand Aspen could pass on their product and cleaning supply discounts on to the small lodges. Sarpa said the number of small market lodge rooms that the Grand Aspen is requesting is somewhere between 50 and 80. The PUD very clearly allows 50 rooms. Sarpa said the applicants feel that 72 free market rooms is an appropriate number. The old Blue Spruce building is only retail on the first floor; the top two floor are empty. This was approved for 22 hotel rooms that were not built. Savanah has applied to P & Z for approval to transfer these 22 lodge units to lot 5 (Grand Aspen Hotel). The applicants feels they should have the ability to offer 72 rooms on the free market. Sarpa told Council the applicants and the small lodge owners did not agree on the number of free market rooms. Sarpa stated that the Grand Aspen has to make revenues during the winter in order to be able to support the M.A.A. contract and summer activities. The current proposal is 72 free market rooms in the winter and 78 group rooms except for 2 weeks in December when they could rent all 150 rooms at free market. In the summer the Grand Aspen would rent 50 room free market and 100 rooms would be group rooms, which would include the M.A.A. Sarpa said at the last meeting, their group definition was at least 10 rooms. Sarpa said the applicants examined at which point they take themselves out of competition with smaller lodges for group 5 Aspen City Council Regular Meeting August 14, 1995 business. Sarpa said they will make their group size 20 rooms or 35 people minimum. The vast majority of the small lodges cannot accommodate groups of 20 rooms or more. Mayor Bennett opened the public hearing. Jayne Poss, Hotel Lenado and Sardy House, said she is very concerned about the guest experience and the quality of the Grand Aspen Ms. Poss said she has a lot of respect for the lodging business in Aspen and the dedication and commitment of the enhancement of the guest experience. Ms. Poss said if a positive guest experience is not provided, people will not return to Aspen. Ms. Poss said she is concerned about the guest experience in a hotel that only has a 3 year life span. Sarpa said the Grand Aspen does have return business and does have groups that return year after year. Sarpa noted after the construction workers were housed at the Grand Aspen, they did receive a high level of complaints. The Grand Aspen has worked hard to get back to an acceptable level of service. Sarpa said if they receive a 3 year extension, they are committee to a list of improvements, some of which relate directly to the experiences of the guests. Michael Behrent, St Moritz, representing the small lodge owners, told Council most small lodge owners already belong to two different levels of marketing. Behrendt said the small lodge owner agree the Grand Aspen can rent 50 free market rooms until the building is torn down. The restaurant, bar and concessions can stay. The other 100 rooms should be M.A.A. in the summer and employee housing the other 9 month of the year. This would be the easiest to enforce and to operate. John Werning entered into the record articles from the Aspen Times dated August 12, 1995, told Council they worked hard with Sarpa to come to an agreement. Werning said Council has a tough decision to make that will affect a lot of people’s lives. Bruce Kerr, Aspen Manor lodge and ex-P & Z member, said Council needs to consider what is fair. The applicants have approval to operate 50 lodge rooms on that site; they do not have approval for another 100 rooms. Kerr said he does not object to these rooms being used for the good of the community, as in M.A.A. Sarpa said the applicants cannot just provide rooms to the M.A.A. gratis. Sarpa said the applicants need the revenue from room rental to support the M.A.A. contract in the summer. Irma Prodinger, Hearthstone House, said the 22 rooms not built at the Blue Spruce was their decision and choice. These should not be made available on the Grand Aspen site. 6 Aspen City Council Regular Meeting August 14, 1995 Sarpa said their marketing proposal was given in good faith. Sarpa said the Grand Aspen operates 150 rooms, which can be confirmed. This excludes 7 rooms being operated as employee housing. Sarpa said the ability to give 70 rooms to the M.A.A. is a function of the proposal they made and the need to raise revenue by selling other rooms. Sarpa said the applicant has made their best faith effort and has given numbers they can live with. If that cannot be worked out, Savanah will demolish the hotel. Doug Niehaus, Aspen Lodging Company, told Council since the last Council meeting he has met with Savanah. Savanah has made a lot of improvements on the grounds as suggested by the Lodging Company. Edward Sweeney, Aspen Music Festival, told Council the Grand Aspen has been a great facility for the M.A.A. and they would like to see this request approved. Sweeney told Council he has spent a lot of time looking for places to house 50 students or more with no luck. Sweeney said he would like to see a positive resolution of this. Sweeney told Council the Music Festival has about 925 students and they house about half of them. The housing need of the Festival keep growing; the amount of students does not increase, Mayor Bennett closed the public hearing. Council recessed for 15 minutes Councilwoman Richards said she could support the small lodges proposal of August 3 that the number of free market rooms should be 50. There was a deal made with the community and the Ritz for 292 rooms. Councilwoman Richards said she will support the request for extension of the demolition deadline if there are 50 rooms rented free market and the rest are affordable housing or M.A.A. Councilwoman Richards said lodges go through a cycle and the Grand Aspen is a very old building and may not be giving the visitor the type of guest experience he is expecting. Councilwoman Richards said she feels the small lodge issue and marketing issue are diversions from the main issue. Councilwoman Richards said there was a deal made and concessions made and it is not fair to keep those rooms open and rented. Councilman Marolt said Savanah Limited Partnership has invested a lot of money in Aspen and they deserve some consideration from Council. Councilman Marolt said Savanah is trying to create a place for groups to come to Aspen. Councilman Marolt said the Grand Aspen is vital to the M.A.A. for the next 3 years. Councilman Marolt said Savanah has a right to the return on their investment. Councilman Marolt said he is in favor of granting the extension and allowing 50 or 60 rooms to be rented free market. 7 Aspen City Council Regular Meeting August 14, 1995 Sarpa said the proposal they made was the absolute minimum revenue they can live with in order to provide rooms to the M.A.A. in the summer. Sarpa said the income derived from renting the rooms to employees the rest of the year would not be sufficient to support the M.A.A.; Savanah would be paying to keep the hotel open for the M.A.A. Councilwoman Waggaman said there has been plenty of time for the applicant to have had the planning in place. Councilwoman Waggaman said she is very concerned about the quality issue, guest experience and return visitors. Councilwoman Waggaman said she does not know how one would structure quality protection. Everyone seems to agree that 50 rooms could be rented free market and the M.A.A. needs at least 70 rooms in the summers. Councilwoman Waggaman said she would support all 150 rooms being rented free market over the 2 weeks at Christmas time as it is a benefit to have rooms available at that time. Councilwoman Waggaman said she does not think these rooms would be attractive as employee housing, nor would it encourage people to take care of the rooms. Councilwoman Waggaman said she does not support affordable housing nor does she want to see the Grand Aspen closed. Councilwoman Waggaman said she could support groups of 35 to 40 people in 20 rooms. Councilwoman Waggaman said it is important for groups of that size to have a place to come. There are not a lot of small lodges that can accommodate groups of 35 to 40 people. Councilman Paulson said he can only support 50 rooms free market rental and the rest affordable housing. Councilman Paulson said he does not want to change the original agreement. Councilman Paulson said people need to have housing for several weeks while looking for a more permanent place. Mayor Bennett agreed that the experience of the guests if an important factor. Mayor Bennett said he feels the existence of the Grand Aspen has hurt the small lodges. Mayor Bennett said the success of the M.A.A. is critical to the community and this housing is important to the M.A.A. Mayor Bennett said he could live with 72 to 75 rooms rented free market with restrictions on the other 75 to 78 rooms. Councilwoman Richards said she would be willing to compromise at 75 rooms free market and 75 rooms for the M.A.A. in the summer. The balance of the rooms would have to be closed or rented to employees the rest of the year. Sarpa said the applicants could look at raising the number for the group size. Werning said this building does not have the right to exist after October 1. Council 8 Aspen City Council Regular Meeting August 14, 1995 can give them 50 to 70 rooms as a concession, the M.A.A. rentals in the summers and that is all. Councilwoman Richards moved to adopt Ordinance #33, Series of 1995, on second reading, amending section M of the PUD agreement to extend the demolition deadline with the express condition that only 75 rooms of the hotel are available for free market on a year round basis and the remainder of the hotel rooms be rented each summer to the M.A.A. for a 3 year period and the remaining 75 rooms either be mothballed or ranted as affordable housing.; seconded by Mayor Bennett. The applicants requested a 5 minute recess. Sarpa told Council the applicant have a slightly different proposal Councilwoman Richards withdrew her motion. Sarpa noted that Christmas season is a huge revenue generator for the hotel and if this eliminated it takes a large chunk out of the revenue stream. The proposal is in the summer 75 rooms are free market, the balance M.A.A. In the winter the there 75 free market rooms and the balance go to groups of 25 rooms or 40 to 50 people maximum. Sarpa said the 2 weeks at Christmas would be all free market rental. Sarpa pointed out that affordable housing and short term accommodations do not mix both for management of the property and for guest experience. Councilwoman Richards said she made a concession going from 50 to 75 rooms and she is not willing to concede further. Councilwoman Richards moved to adopt Ordinance #33, Series of 1995, amending to Section M of the PUD for the Aspen Mountain Lodge to extend the demolition deadline from October 1, 1995, to September 1, 1998, with the express conditions that 75 of the rooms are available free market year round, that the hotel is closed 12 to 13 off season weeks, 75 rooms are rented to the M.A.A. for 3 summers and that the remaining rooms in the winter be closed off or be available for long term; seconded by Mayor Bennett. Roll call vote; Councilmembers Paulson, no; Richards, yes; Marolt, yes; Waggaman, no, Mayor Bennett, yes. Motion carried. Sarpa withdrew the application for extension and told Council they will abide by the PUD and will pull a demolition permit. RECREATION DISTRICT COMMENTS 9 Aspen City Council Regular Meeting August 14, 1995 Assistant City Manager Bill Efting told Council there will be a public hearing before the County Commissioners August 23. Staff has put together a memorandum outlining concerns about a potential recreation district. Councilwoman Richards suggested something about people who live outside the district and how the fees will be charged to create equity. Councilwoman Waggaman said this is a good, comprehensive report. REQUEST FOR FUNDS - Arts Council Councilwoman Richards said the Arts Council feels it is important to understand where the revenues come from, why guests choose Aspen and specific events. Councilwoman Richards said the Aspen Foundation is funding some of this $6300 study as are the arts groups. This request is to fund 25 percent of the study, or $1500, from contingency. Councilwoman Richards moved to approve $1500 from Council contingency to be forwarded to the Arts Council to pay for an economic impact study; seconded by Councilwoman Waggaman. All in favor, motion carried. Councilwoman Richards moved to adjourn at 9 p.m.; seconded by Councilman Paulson. All in favor, motion carried. Kathryn S. Koch, City Clerk 10