Loading...
HomeMy WebLinkAboutminutes.council.20070924 Rel!ular Meetinl! Aspen City Council September 24, 2007 CITIZEN COMMENTS ..................................................................................................... 2 COUNCILMEMBER COMMENTS.................................................................................. 2 CONSENT CALENDAR ................................................................................................... 3 . Resolution #76,2007 - 2008 CIRSA Renewal....................................................... 4 . ARC Advisory Committee Appointments ..............................................................4 . Resolution #77, 2007 - Contract LED Lighting Package for Wheeler .................. 4 . Resolution #78,2007 - Construction Mitigation Air Quality Grant ...................... 4 . Board Appointments ...............................................................................................4 . Minutes - September 10,2007 ............................................................................... 4 RESOLUTION #79,2007 - Designating Aspen Times Weekly as Legal Publication...... 4 ORDINANCE #42, SERIES OF 2007 - 208 East Hallam TDRs ...................................... 5 ORDINANCE #5, SERIES OF 2007 - Lodge at Aspen Mountain PUD........................... 6 I Rel!ular Meetinl! Aspen Citv Council September 24, 2007 Mayor Ireland called the meeting to order at 5 :05 p.m. with Councilmembers Skadron, Johnson, DeVilbiss and Romero present. CITIZEN COMMENTS I. Shea Singer requested Council consider neighborhood electric vehicles have the same rights and be allowed on the road out to the airport business center and to the employee housing areas. Mayor Ireland requested an opinion from the city's legal counsel on the city's authority in this area. 2. Toni Kronberg thanked Council and the EOTC for approving the funding for the design and construction of the bus lanes from the Airport Business center to the roundabout. This will help clean up the mess along highway 82. Ms. Kronberg suggested the new board members be trained so that their decisions are consistent with the land use code. Mayor Ireland said the attorney's office conducts that type of training and staff and Council will give some thought to the training. 3. David Cook, publisher Aspen Daily News, told Council he would like to discuss the resolution designating the Aspen Times as the location for the city's legal notices. The Daily News would like the opportunity to save the taxpayers money. Mayor Ireland said this will be removed from the consent calendar and discussed. 4. Bill Wiener said he is impressed with the new Council and the amount of work that is being done. Wiener said he was shocked to fine out how grossly underpaid City Council is. Wiener suggested Council appoint a Blue Ribbon Committee made up of community groups to do research, look at the facts and recommend a salary. Mayor Ireland noted state statutes do not allow Council to increase or decrease their compensation during their tenure. Mayor Ireland said Council should discuss appointing a home rule charter commission to look at this and other Charter issues. COUNCILMEMBER COMMENTS I. Councilman Romero said last week's commercial mix keypad meeting was successful and thanked staff for putting it together. Councilman Romero said Council received information they will need into order to discuss amendments to the commercial core mix. Councilman Romero reminded everyone of the work session Tuesday, September 25th at 5 p.m. to discuss the commercial use mix. 2. Councilman Skadron thanked staff for their work on the housing summit and the commercial mix meeting. Councilman Skadron commended Ben Gagnon, community development department, for the quick turn around in the summary results. 3. Mayor Ireland noted he played last weekend in the Mayor's Cup golftoumament, which was a lot of fun. 2 Rel!ular Meetinl! Aspen City Council September 24, 2007 4. Mayor Ireland said he would like Council support to make the commercial mix event at the Jerome available to the public. Chris Bendon and Barry Crook deserve credit for asking good questions. 5. Mayor Ireland announced RFTA is scheduled to receive funding for II new 54 seat buses from a state transportation committee grant. 6. Mayor Ireland said an executive session for the purpose on considering on going litigation will be scheduled at the end of the regular agenda. 7. Councilman DeVilbiss announced he attended the RFTA Board meeting September 13th. The major agenda items were RFTA pursuing the bus rapid transit program; the contract to purchase employee housing in Carbondale; and that RFTA is looking for a new general counsel. Councilman DeVilbiss requested the alternate, Councilman Skadron, to attend the October II th RFT A Board meeting. 8. Councilman Johnson said he attended the Ruedi Water and Power Authority meeting. The Authority reviewed the draft water shed report and discussed potential legislation regarding uncontracted water. Councilman Johnson asked if the $5000 request for the second phase of the water shed study is in the budget. Steve Barwick, city manager, said he will bring this up with Council during the budget hearings. 9. Mayor Ireland said the EOTC approved an allocation consistent with the city's vote in May to create bus lanes between the airport business center and Maroon Creek including $300,000 for landscaping. Mayor Ireland said the landscaping will be natural grass, trees and wildflowers. The EOTC also allocated $50,000 for the X-games and congratulated the Ski Company for last year's games with minimal transit woes. CONSENT CALENDAR Mayor Ireland noted Resolution #79, Designating the Aspen Times as the city's legal publication will be removed for discussion. Councilman DeVilbiss pointed out the new lights for the Wheeler will substantially reduce energy use. Councilman DeVilbiss said the CMAQ contract is to install diesel particulate filters on the city's in-town buses. This will reduce emissions and particulate matter by 60% by cleaning up the city's 6 non-hybrid buses. Councilman DeVilbiss said the city will have one of the cleanest bus fleets in the state. Councilman DeVilbiss moved to adopt the consent calendar is amended; seconded by Councilman Romero. The consent calendar is: 3 Rel!ular Meetinl! Aspen City Council September 24, 2007 . Resolution #76, 2007 - 2008 CIRSA Renewal . ARC Advisory Committee Appointments . Resolution #77, 2007 - Contract LED Lighting Package for Wheeler . Resolution #78, 2007 - Construction Mitigation Air Quality Grant . Board Appointments . Minutes - September 10, 2007 Councilman Johnson asked how the appointments for the ARC advisory committee were advertised. Tim Anderson, recreation director, told Council they were posted at the ARC. Councilman Johnson suggested these be advertised in the newspapers like the rest of the city boards to get more general interest for the next appointments. Mayor Ireland said Council interviewed candidates for 4 boards. There were many good candidates and the following have been appointed: Planning & Zoning - Jim DeFrancia Dina Bloom Stan Gibbs Cliff Weiss Mike Wampler - alternate Historic Preservation - Sarah Broughton Jay Matlin Ann Mullins Nora Berko, alternate Wheeler Board of Directors - Cathy Markle Barbara Conviser Sarah Schultz, High School rep Open Space & Trails Board - Philip Jeffreys, alternate Charlie Eckhart All in favor, motion carried. RESOLUTION #79, 2007 - Designating Aspen Times Weekly as Legal Publication Kathryn Koch, city clerk, eXplained to Council state statutes require a newspaper to have a second class mailing permit to qualify as a legal publication. Ms. Koch said in early September she was informed by the U. S. Postmaster that the Aspen Times had lost their second class mailing permit. The only newspapers in the valley that still have a second class mailing permit are the Snowmass Sun and the Rifle Telegram. Ms. Koch 4 Rel!ular Meetinl! Aspen Citv Council September 24, 2007 recommended the Aspen Times Weekly be designated as the city's legal publication until staff can put together a bid process, which should take 6 to 8 weeks. David Cook, publisher Aspen Daily News, told Council they are ready to take over legal noticing immediately in order to save the taxpayer's money. Mayor Ireland said it seems hazardous to experiment with the city's legal notices. The Aspen Times is set up with programs and has been doing the legal notices. Mayor Ireland said during the next weeks, the Daily News can experiment with fonts, widths and specifications. Councilman DeVilbiss asked if the Daily News can handle legal publications. Cook said they are ready to go overnight. Cook said this is not a difficult process. Mayor Ireland requested staff in the competitive process to keep in mind and to describe newspapers having the flexibility and ability to do noticing at the last minute or to correct notices at the last minute. Mayor Ireland moved to approve Resolution #79, Series of2007, Designating the Aspen Times Weekly as the city's legal publication. Councilman DeVilbiss said there is no basis for distinguishing between the two Aspen newspapers other than the fact the Aspen Times has been the paper of record. Councilman DeVilbiss asked ifthere are statutes governing what a legal newspaper is. Jim True, counsel to Council, noted the city Charter does not use the term "legal publication". There is a definition in the state statutes 24-70-102 and 103 oflegal newspaper but not in the city Charter. Councilman DeVilbiss stated the Aspen Times has been the newspaper ofrecord, which is reason for continuing until the competitive bid process is completed. All in favor, motion carried. ORDINANCE #42, SERIES OF 2007 - 208 East Hallam TDRs Councilman DeVilbiss moved to read Ordinance #42, Series of2007; seconded by Councilman Skadron. All in favor, motion carried. ORDINANCE #42 Series of 2007 AN ORDINANCE OF THE ASPEN CITY COUNCIL ESTABLISHING FIVE (5) 250 SQUARE FEET OF FLOOR AREA HISTORIC TRASNFERABLE DEVELOPMENT RIGHT CERTIFICATES FOR THE SENDING SITE OF 208 EAST HALLAM STREET, LOTS 3 AND E BLOCK 71, CITY AND TOWNSITE OF ASPEN, PITKIN COUNTY COLORADO Sara Adams, community development department, told Council this is a request to establish 5 transferable development rights certificates for 208 East Hallam street, which is located in the R -6 zone, next to the Red Brick, and is historically designated. Ms. 5 Rel!ular Meetinl! Aspen Citv Council September 24, 2007 Adams noted each certificate is worth 250 square feet. The applicant requests to sever 1250 square feet of allowable floor area. The certificate is issued to the property owner and the deed restriction is recorded. If Council approves this ordinance, the 1250 square feet will be severed from this property and there will only be 17 square feet of un built floor area at 208 East Hallam. Ms. Adams said this is a relief valve for development pressures on historic resources from the vicinity of the historic resource. Ms. Adams noted only certain zone districts can be the landing site for TDRs. Ms. Adams said these TDRs can sell for $250,000 each. Councilman Johnson asked if the Frost barn and Frost house are the same parcel. Ms. Adams told Council a subdivision was approved for this site; it was not a lot split and the eligibility for a bonus and the floor area is solely for the barn parcel. Councilman Johnson said he would like to know when the subdivision was approved; it the structure on the front built out to its maximum FAR and how did the available floor area come about. Councilman Johnson requested background on how the 2648 square feet was arrived at and whether that would have been arrived at without the subdivision. Councilman DeVilbiss noted the memorandum states the funds from the sale ofTDRs may be invested back into the landmark. Councilman DeVilbiss said he assumes they may be used for other things. Ms. Adams said there is no requirement on the use of those funds. Councilman Skadron asked the location of the garage. Ms. Adams said it is within the barn and the applicants would like to convert the garage to living space, for which they received a floor area bonus. Mitch Haas, representing the applicants, told Council there was an approval for a large addition to the barn. The applicants decided to leave the barn as is and strip the development rights off the parcel. There was a garage built into the first floor and the applicants requested to convert the garage to living space, which is floor area because there is an exemption for garages. Haas told Council the TDR program has existed for about 2-1/2 years and this is the 3rd application. Ms. Adams noted the criteria only address the sending site. It is not known where the TDRs will be located. Councilman Johnson asked if historic TDRs have been sold in Aspen. Ms. Adams said 3 have been sold in Aspen. Councilman DeVilbiss moved to adopt Ordinance #42, Series of2007, on first reading and to schedule the public hearing for November 26; seconded by Mayor Ireland. Roll call vote; Councilmembers DeVilbiss, yes; Skadron, yes; Romero, yes; Mayor Ireland, yes. Motion carried. ORDINANCE #5, SERIES OF 2007 - Lodge at Aspen Mountain PUD Chris Bendon, community development department, reminded Council there was a final vote on this ordinance at the August 13th meeting. The ordinance was not adopted on a 3 to 2 vote; however, the land use code requires an action be taken and not adopting an ordinance is not an action. Staff brought this back to Council at the August 27th meeting 6 Rel!ular Meetinl! Aspen City Council September 24, 2007 at which time Council agreed to schedule Ordinance #5 for this meeting. At the August 27th meeting, the applicant briefly outlined some proposed changes. Bendon told Council the project has decreased from 175,000 square feet to 151,000 square feet. The lodge units have decreased from 80 hotel rooms to 73 hotel rooms. The fractional units have increased from 21 to 25. The 4 free market units have been completely eliminated. There are 20 affordable housing units on site as well as associated commercial space and parking. Bendon reminded Council there is an approved townhouse proposal with vested rights for this site so development will occur on this property. There will be construction impact along South Aspen street. Bendon said one issue is which project does the Council want; there are tradeoffs between the lodge project and the townhouse project. Bendon reminded Council the approved project is 14 townhouses of65,000 square feet of free market residential space ranging in size from 4000 square feet to 5300 square feet. There are 17 affordable housing units totaling 19,000 square feet and the units range in size from 700 square feet to 1300 square feet. Bendon noted the land use code was changed after that project was approved. The Aspen Area Community Plan describes this area as appropriate for lodging uses. The economic sustainability report outlines as a number I issue support for redevelopment and development of new lodge facilities. The land use code was changed to eliminate single family and duplex from this zone and to reduce the entitlement for multi-family development. Bendon stated the lodge project has more height than the townhouse project, although the applicants have reduced the height. The underlying zoning for lodge development allows for a higher height and a higher FAR than for multi-family development. There is one spot where the height of the proposed lodge exceeds the 42' height limit and the height at the edges has been lowered to lessen the impact on the adj acent neighbors. Bendon said the FAR for the lodge is greater than that for the townhouses. Bendon noted there will be more activity with a lodge than with townhouses. Bendon said the lodge has provided more affordable housing; it also has more employee generation. The townhouse project has a requirement to replace the mine dump apartments on site, which is also a requirement for the lodge. Bendon noted using the land use code employee generation rates, the lodge proposes to house 110% of employees generated. The code requires 60% of the employee be mitigated. The code does not require free market townhouses mitigate for any employee generation. Bendon said there are some energy saving advantages in the proposed lodge; there are no special performance commitment regarding energy for the townhouses. The townhouses should have a smaller energy footprint. Bendon reminded Council the applicants committed to snow melting South Aspen street and staff stated that street was a significant infrastructure concern. The snow melt is no longer part of the application and the applicant has proposed increased maintenance, plowing and sanding. 7 Rel!ular Meetinl! Aspen City Council September 24, 2007 Bendon told Council staff supports this application as short term lodging at the base of the mountain. Bendon said staff does not see advantage to more townhomes in this area. Bendon entered into the record a letter in support from Lisa Hatem and an e-mail from Debbie Braun, ACRA, also in support. Councilman Romero asked about energy savings and comparable type properties projects to be evaluated and methodology to be used seems to be somewhat vague. Councilman Romero suggested the city should look.at which buildings should be "comparable type" and it should be consistent with what the building department uses post-1995, for comparables. Councilman Skadron asked ifno energy conservation requirements or conditions were placed on other properties, how can 30% improvement be evaluated. Bendon said 1995 was the first time an energy code was integrated into the building regulations. Councilman DeVilbiss asked where the applicants are proposing to house their employees. Bendon said there are 3 potential sites; Smuggler Racquet Club, and 2 sites at the Airport Business Center and 20 affordable housing units on site. Bendon said the requirement states off site housing has to be within the urban growth boundary. Mayor Ireland asked if city staff has discussed with the county community development department about the availability of building a large number of units at the airport business center. Bendon said he has not. Mayor Ireland asked which site, Smuggler Racquet Club or Airport Business Center, is preferable. Bendon said the Smuggler Racquet Club would be preferable. Bendon said housing sites in town and within walking distance to town or on transit routes are preferred. Mayor Ireland asked ifthere are statistics defining the number of empty townhouses. Bendon said it is a guess. Mayor Ireland said the proposed project is 151,000 square feet and how does that compare to what would be allowed without a PUD. Bendon said the zoning code allows 2:1 in the lodge zone, which would allow 200,000 square feet. This FAR is about 75% of what would be allowed under the zoning code. Mayor Ireland said reducing the size of the project 14% does not reduce the number of employees generated by the same percentage reduction. Bendon agreed; the proposed reduction is not a linear reduction. Mayor Ireland asked if staff sees any flaws in this project. Bendon said staff feels this is a trade off; the lodge is higher, bulkier. There will be more activity; the construction will take longer. Mayor Ireland asked if moving the lift higher up the mountain is a community benefit. Bendon said staff has not analyzed that as the lift is not part of the proposal. Bendon pointed out there has been a lot of discussion about the lift location; however, the lift is not part of the Lodge at Aspen Mountain proposal. The applicants have committed to provide money for the redevelopment ofthat lift. The decision on the location of the lift will have to go through a separate approval process. This ordinance does not specify a location for the lift but does specify the contribution from the applicant towards lift redevelopment. Mayor Ireland asked if there is provision for what the city should do if the applicant is unable to provide the housing at the specified locations. Bendon answered the lodge 8 Rel!ular Meetinl! Aspen City Council September 24, 2007 cannot obtain a certificate of occupancy until the housing has been granted a c/o. Bendon suggested a condition could be added stating the lodge cannot obtain a building permit until the housing projects have received building permits. Councilman Romero asked if there has ever been a project committing to this level of affordable housing. Bendon said he does not know of one in the city. John Sarpa, Centurion Partners, told Council they have been in this process for 4 years and feel comfortable with this project. Sarpa said since the last meeting with Council, the applicants have contracted land for affordable housing as well as come up with creative financing on how to be able to give 100% affordable housing. Sarpa stated there is a 24,000 square foot reduction in size from the previous presentation. There is an 8 to 10' reduction in height from the south end. This decrease came from eliminating the 4 free market condominiums or a reduction of 13,800 square feet of floor area. The number of fractional units was increased from 21 units to 25 units, which added 6,200 square feet for a net reduction ofthe sellable area of 7,600 square feet. The number of hotel units is 73. Sarpa noted at one point in the process there were 30% suites and 70% standard rooms; 24 suites and 56 standard rooms. Sarpa said they now propose 63 standard rooms and 10 suites or 86% standard rooms. The applicants propose more and smaller standard rooms. The standard rooms are an average of 507 square feet down from 527 square feet. The total reduction in the hotel area is 10,175 square feet. The commercial areas have been reduced by 6,200 square feet. Sarpa said the building has been pulled in, which increases the setbacks. Sarpa noted the garage has been reduced by 30 parking spaces and Yz level. Sarpa said at a previous meeting, the applicants indicated there would be 7,557 truck trips. There will be fewer truck trips in the reduced lodge than in the proposed townhome project. Jeff Hanson, Swinterton Builders, said the below grade areas have been reduced in the amount of cut; the footprints below grade have been reduced. The low grade portions have moved down hill so there is less of an impact with the cut. Councilman Johnson asked if the applicant had drawings to show the reduced footprint of truck loads. Sarpa said they do not have underground sections for this reduced proposal. Sarpa told Council approval of this project will fund a new lift which is separate from any other project. If Council approves this project, there will be funding for a new lift. The location is a separate approval. There is an application in front of the city for a project to the east which has a suggested location for the lift. This project will have to go through the public process. Ifthe lift location is not approved as part of the land use to the east, the Ski Company will have to apply for approval as required in their master plan. The city has the authority on where the lift gets located. Dave Corbin, Aspen Skiing Company, told Council they do not have an application for the lift pending before the city. An application for the Lift One Lodge is at P&Z. Corbin said in the Ski Company master plan of 1998, the county approval conditioned applications for a lift in the Shadow Mountain go to Council for approval. 9 Rel!ular Meetinl! Aspen City Council September 24, 2007 Bill Poss, architect, showed the two-story building at the upper south end and 3 stories across the rest of the project. The rendering shows the reduced height and that the height is in keeping with surrounding projects. There are 3 portions of the project, the courtyard is setback 80 to 100' to try and reduce the scale of the project. Councilman Johnson asked ifthere are drawings to show the project from the very first iteration. Sarpa said they do not. Councilman Johnson asked how high it was in the first presentation. Sarpa said it was 72' to the cupola. Councilman DeVilbiss asked if the connection between the buildings has been eliminated. Poss showed where the bridge that connects the buildings is; it is 160' back. Councilman Skadron asked where the 84,000 square feet of townhouse would be superimposed on the drawing. Sunny Vann, representing the applicants, said they do not have a drawing illustrating that. The eastern end oflower site has townhouses with the affordable housing at the western edge. The project covers the entire site. Councilman Skadron asked the height of the townhouses. Bendon said it is 25' to the midpoint of the peaked roof. The free market units are based on reconstruction credits so there is no affordable housing required. Vann said during the approval process for the townhouses, they discussed changing the dimensional requirements in the lodge district and the applicants used the proposed dimensions to develop the initial project. The applicants requested variations under the PUD process to accommodate the height and the FAR. The subsequent changes to the code allowed a greater FAR of2:1 and a height of 42'. The project has been in the city process for a number of reasons, the largest one is the city process itself, scheduling and getting on agendas. During this time, the project was designed, redesigned and getting on different Board agendas. Sarpa told Council a lot of time was spent with the surrounding property owners, making design changes to address their concerns and to get their support. Vann noted after conceptual approval, the applicants spent a lot of time reworking the proj ect to address Council's concerns and those of the adjacent property owners and still have a viable project. Sarpa noted the applicants worked with 5 condominium associations going over each set of concerns. Sarpa told Council the applicants have worked hard on where affordable housing can be located. Sarpa said the Smuggler Racquet Club land is under contract for affordable housing in the city limits. Sarpa told Council the applicants have recently put 2.6 acres at the Airport Business Center under contract. Sarpa stated the applicants would not be able to pay for 100% affordable housing and they got together with CapMark, who contacted state agencies that provide financing for affordable housing. Sarpa said the staff guide shows 170 employees which is 2.1 employees/room. The total includes the 15 replacement units. Rick Price, CapMark, told Council his company looked at the entire affordable housing, rental and purchase, and tried to maximize the percentage of rental units. CapMark finance is an international company, a successor to GMAC commercial mortgage and is the number I affordable housing lender in the country. Price said the Colorado Finance Housing Agency has established a priority for resort community employee housing. Price said equity can be raised by the sale of low income housing tax credits. Price said 10 Rel!ular Meetinl! Aspen City Council September 24, 2007 the community would not be spending any money out of the housing fund to support this project. The money comes from outside the community; private investors. It is not a state tax program; it is a self sustaining program and one can borrow below market interest rates. Sarpa committed to 100% affordable housing for this project to 170 employees or whatever the audit shows. There will be a mix of for sale and rental units. The applicants have the land under contract. Sarpa stated ifthere were excess capacity, the applicants may have housing left over and would invite the city to team up with the applicants. Sarpa pointed out the lodge has gotten smaller. Sarpa said this project has presented an exceptional construction management place. Sarpa stated this site is appropriate for lodging and this is an exceptional hotel. Councilman DeVilbiss asked what the statement that land is under contract means and would the contracts be available to Council. Sarpa said he would get copies for Council. Councilman DeVilbiss asked how the affordable housing audit works. Sarpa said they have committed to having the affordable housing available and ready prior to moving into the hotel. Sarpa said after 3 years of operation when the operation has become stable and predictable, an audit will be performed. If there is a shortfall in housing, the applicants will be required to provide more housing. Councilman Skadron asked staff for clarification on the allowable square footage if this were not a PUD. Bendon said this property is over 100,000 square feet and there is a 2:1 FAR in the lodge zone so one could build 200,000 square feet. In a PUD process, FAR is one ofthe dimensions that is worked out. This applicant is not using the PUD to vary the FAR but for height and other issues. Timeshare requires PUD review. Bendon told Council this zone has two provisions; one is for lodge which is a high development right, and a lower development right for multi-family housing. Bendon reminded Council there is an existing approval based on the old zoning. Councilman Skadron said one critical issue about this proposal is the size, which is 151,000 square feet and it seems that would be allowed under the zoning. Bendon noted there are setback and height variations being asked for. This property is zoned with a PUD overlay so an applicant has to go through a PUDprocess to establish the entitlements for the property. Councilman Skadron asked if the project is too big for the property. Bendon opined it is not; there are trade offs; it is a large project. Staff feels it is appropriately sized for the parcel. Councilman Skadron asked why an outside funding source is now needed for the applicants. Sarpa said it is in order to go to 100% affordable housing. Sarpa said their original project planned on 60% affordable housing. Sarpa said there is a benefit to the applicant of being able to house more oftheir employees. Councilman Romero said Council was told this project was 1.87: I FAR when it was 175,000 square feet. Bendon told Council this project has been in review for 4 years. When the project started the FAR was I: I no matter the proposed use. The townhome project met the I: I FAR at 84,000 square feet. Bendon said during that time, Council and staff agreed there should be a difference in FAR depending on use in the lodge district. The city wanted to 11 Rel!ular Meetinl! Aspen City Council September 24, 2007 encourage lodges and discourage town houses. The FAR for lodges was increased to 2:1 and decreased for multi-family to .25:1. The Lodge was submitted at the I: I FAR. Applicants are allowed to rely on rules in existence at the time of submittal. The question is what is the FAR now and what is being proposed. Mayor Ireland asked if applicants can take advantages of rules that have changed in their favor. Bendon said he understands if the rules have changed, one is allowed to take advantage of the changes. If the changes are more restrictive, an applicant is allowed to rely on the rules in existence at the time of application. Councilman Romero asked if either of the proposed sites for affordable housing would satisfy the entire 100% mitigation. Sarpa said the AABC could with 2.6 acres but it has not been zoned for affordable housing. Mayor Ireland noted the ordinance states there is a commitment to use 30% less energy than the average measured energy use of comparable type properties in the area for the base data. Mayor Ireland asked if the base data is still two hotels. Sarpa said that is correct. Art Daily, representing the applicants, noted the real estate contracts for the affordable housing sites, have a confidentiality clause. However, in order to satisfy Council about the legitimacy of the contracts, they are being presented to Council. Mayor Ireland said he has difficulty with items that are confidential yet used to influence the Council. A document is either confidential or not. Mayor Ireland said the public should know on what Council is basing their decision. Mayor Ireland said he cannot review contracts with a confidentiality clause. Mayor Ireland noted the ordinance states, regarding energy consumption; the subdivision improvement shall specify a maximum cap on the shortfall penalty. Mayor Ireland asked why the city would cap their losses. Sarpa said this is new territory and staff and the applicant tried to come up with a reasonable approach, to come up with something that is verifiable and measurable and what is being measured and by what means will the applicant make up a shortfall if there is shortfall. Sarpa said staff suggested a cap, which the applicants agreed made sense. Mayor Ireland asked what protections the city has; what if this property uses twice the amount of energy as contemplated and the city is capped at a 20% penalty. Mayor Ireland opened the public hearing. David Missner stated he favors this project and hopes Council approves. Marcia Goshorn said this used to be a lodge district. The 100% housing is to the community's benefit and there is other housing at the airport business center. Bill Pope said he feels this is about scale. Aspen's economy is doing well at the moment. Pope said it should be a decision on what Council thinks is appropriate for this town. Hugh Glickstein, Timberridge, told Council this is a unique piece of property; it is close to the commercial core and is large. This parcel deserves to have something special done with it. Glickstein said the townhomes will be dark and empty. 12 Rel!ular Meetinl! Aspen City Council September 24, 2007 Councilman Johnson moved to suspend the rules and extend the meeting to 10 p.m.; seconded by Mayor Ireland. All in favor, motion carried. Dwight Shellman questioned allowing any developer to externalize their affordable housing to the middle of the main choke point of traffic in the county. Shellman noted the Council is dealing with one oftwo lift entries to the ski mountain. Shellman said the city should complete a master plan for lift one area and until that is complete, this application should be denied. Bill Heim stated he is opposed to the overall size and bulk. The setback from the road is good; however, it is blocking the view of the mountain. Heim said the number of truck loads for construction will be huge. Guy Noble, Timberridge, urged Council to endorse this project and to let it go forward. David Evans, hotel operator, stated they are not 100% occupied during the year. This hotel will generate more traffic than the townhouses and congestion will spill out throughout the neighborhood. Bill Tomcich, Stay Aspen Snowmass, said a lot of energy has gone into this project from the public, the developer and the Council. This process has made the project the best it can be. Tomcich said he hopes Council approves it. Alexandra Kane, Timberridge Board of Directors, told Council they support this project and found the developers very thoughtful in working with the neighbors. Joe Quigley said Council should not put aside the collective wisdom of the community who has worked on zoning codes to keep the town vital. Quigley said the community benefits presented by the developers have not been agreed upon on by the community. Quigley noted it is continually asserted that Aspen is losing beds; however, it is difficult to get a reservation at a restaurant. David Schoenberg said there is vagueness about this application; that staff has not used their own specifications 'to bring the number forward. Schoenberg said there is ambiguity in this project. Schoenberg said Council should deny this project and allow the townhomes to be built. Ray Koenig said this project transcends the neighborhood and affects the whole town. Koenig said the town is only full about 10 weeks/year. Koenig said Council should decide what is going on and then evaluate the process and decide whether to approve something this large. Lindsay Smith asked if someone has reneged on their affordable housing commitments and is this something the community should know about. Junee Kirk said she has never seen so much development occurring. Ms. Kirk said the Aspen Ski Company numbers show skiing up, yet the beds are down. Ms. Kirk said all the approved lodges have not yet been built and the community has yet to feel the affects. Ms. Kirk said this proj ect is twice is large as the townhouses. This is too massive. Phyllis Bronson said she loves IA the way it is. Ms. Bronson said the hotel guests will probably not use IA and will want to be transported to the gondola. Ms. Bronson said the fabric of Aspen is disappearing. Jesse Boyce agreed this part of town is too important to develop without a master plan. The community needs to sit back before anything is built. Doug Allen, representing Lift 13 Rel!ular Meetinl! Aspen City Council September 24, 2007 One condominiums, stated they are in favor of this project. It is the right project at the right time in the right place. This area is zoned for a lodge; the size of the project has been diminished. Kirsten Morgan, Juan Street homeowner, told Council they are in favor of the lodge project. The townhouse project has not proposed to be environmentally sound; all parking on Juan street will be removed. The affordable housing proposed with the townhomes is all rent housing, which does not encourage a stable work force. The lodge proposal has worked with the Juan street to have a 20' setback to enable them to keep their yards. Charles Wolfe said this is an excellent project; it is below the allowable FAR with 100% affordable housing mitigation. Wolfe said hotel rooms should be located close to the mountain. This project will improve the neighborhood. Patrick Segal said the dark townhouse argument is specious. The hotel is a good idea but this project is too massive. The parking should be reduced by 100 spaces. Gail Morgan, Shadow Mountain townhouses, told Council 4 years ago when the project was first presented, they were adamantly against the project. The Shadow Mountain owners have worked with the applicants, watched the project be reduced. Ms. Morgan said the surrounding neighbors have been satisfied and would like to see this project approved. Bob Langley said this proj ect proposes hot beds. There are two options; the townhouses or a hotel. Langley said the applicants have tried to accommodate the concerns of the Council and the community. Nora Berko asked if Council can mandate fractional unit be rented when they are not in use. Bendon said this is part of the city's legislation. Warren Klug stated he is in favor of the project. Klug said one issue is what does the community want to see at the base of the mountain. The private townhouses will only benefit their owners, not the community. The second issue is affordable housing. The housing for this project has to be built, especially if the housing is tied to the building permit. Klug said studies have shown that hotels in Aspen will not work unless there is free market properties associated with it. Tourism is the fuel for the economic engine of Aspen. Toni Kronberg said she supports this project. One cannot see it from town; the project does not impact the views. The hotel will be in scale and character. Ms. Kronberg said she hopes Council decides what is best for the community, lodge rooms or town houses. Bob Grueter stated no one wants to see Aspen change; however, it would be great to see that west side of Aspen mountain be vital and active again. Don Policaro asked if anyone had studied the cross traffic on Aspen mountain. Mark Goodman noted there is a certain magic of hotels and world class travelers. Having a wonderful hotel at the portal of the ski mountain would extend the magic. Councilman DeVilbiss moved to suspend the rules and extend the meeting to 10:30 p.m.; seconded by Mayor Ireland. All in favor, motion carried. Bill Wiener stated this is not just a hotel; there are at least 3 projects in this area, 2 hotels and the lift. They should be looked at collectively. The ski lift will cause bus and limo traffic to this area that may be in conflict with the traffic to the hotel. Wiener asked if the 14 Rel!ular Meetinl! Aspen City Council September 24, 2007 applicants would do a 99 year guarantee for the meeting room space to remain meeting room space as they propose with the hotel rooms. Mayor Ireland closed the public hearing. Sarpa submitted to Council two contracts for purchase of property. Councilman Skadron asked about any master plan efforts for this area. Bendon noted about 7 years ago staff set up with the property owners and the Ski Company. The property owners decided not to pursue a master plan. The city was interested only ifthe property owners were willing participants. Mayor Ireland stated he would prefer the entire area be master planned; lodging is appropriate on this site. Mayor Ireland said there are many interests linked to the project, like people who may get replacement housing, or get new lifts, or have their parking remain, people who live at Smuggler mobile home park. Mayor Ireland said moving the lift up the mountain is not a community benefit. Mayor Ireland said he feels this project would benefit by having the lift come down closer to Durant street. Mayor Ireland said it was a surprise to him to learn that this area has an FAR of2:1. Mayor Ireland said this project is dividing the community and it could be united ifthere was a process to consider the hotel, the lift, transportation, environmental impacts and housing. Councilman DeVilbiss agreed a hotel belongs on this site and a lot of work has been done on this project. Councilman DeVilbiss said it has been represented to the Council that the floor area ofthe project exceeded that permitted by the underlying zoning and was surprised to hear the underlying zoning would allow more FAR. Councilman DeVilbiss said although the building has been reduced, it is still large. Councilman DeVilbiss said some of the underground parking is proposed to be sold, which is a traffic generator. Councilman DeVilbiss stated there is no guarantee that the 100% affordable housing will ever be built. Councilman DeVilbiss said the energy conservation and ground source heat pumps are a positive. The applicant has worked to make the project smaller. Councilman Skadron said he saw this project at P&Z and felt it was an exceptional project according to the criteria by which P&Z measures all projects. Councilman Skadron noted the goals in the Aspen Area Community Plan clash. Councilman Skadron said he has to prioritize the values and goals and he is prioritizing inclusiveness and vitality. Councilman Skadron said the Lodge at Aspen Mountain supports those goals better than the alternative town homes. Councilman Johnson pointed out he stated on the record he wanted more hotel rooms and this proposal has fewer. Councilman Romero said there are ambiguities in life. Councilman Romero said he looks at whether this project is setting an example for the community. Councilman Romero said this project hits exceptional in environmental ethic with the performance system and measurement as well as checks and balances. Councilman Romero said the AACP states the city should look for exceptional projects to fill the final development sites. Councilman Romero said the 99 year deed restriction on hotel rooms is unprecedented and will help against the loss oflodge rooms. This helps to support the resort side ofthe community. The resort side of the community being prosperous helps the community side. 15 Rel!ular Meetinl! Aspen City Council September 24, 2007 Councilman Romero said the suggestion to extend the 99 year lease to the meeting rooms is a good one. Councilman Romero stated this application is meeting 100% affordable housing rather than the code requirement and no other project has achieved this percentage. Councilman Romero stated he supports this project. Jim True, counsel to Council, said he has examined the contracts for purchase of affordable housing property. True said they give the applicant the right to purchase these properties. There are due diligence periods. Sarpa told Council the due diligence period for the Smuggler site is over and the due diligence for the AABC has just started. Councilman DeVilbiss said Council should not be blinded by the fact the applicant has stated they will house 100% of their employees. Councilman DeVilbiss said these contracts are in early stages and they may not go to fruition. Councilman DeVilbiss said the location of the affordable housing is significant and that the county has review purview over the housing development is a stumbling block. Sarpa noted they are obligating this project to house 100% of their employees. Sarpa said they did not have the time to get any further in the housing process and they were lucky to find land to put under contract for more affordable housing. Councilman DeVilbiss said the risk for the affordable housing is also Council's responsibility. Mayor Ireland moved to suspend the rules and extend the meeting to II p.m.; seconded by Councilman Skadron. All in favor, motion carried. Councilman Romero moved to adopt Ordinance #5, Series of2007, on second reading with amendments as noted; seconded by Councilman Skadron. Councilman Johnson stated this is not a stand alone project and requires development at Smuggler Racquet Club, at the Airport Business Center, on Aspen Street and perhaps a ski lift. Councilman Johnson said this project is not appropriately sized. Councilman Johnson stated 80 hotel rooms is too few and now this project proposes 73 hotel rooms. Councilman Johnson referred to the minutes of the last meeting discussing the Lodge at Aspen Mountain as his objections have not changed. Mayor Ireland said staff pointed out the Council needs to look at the alternatives and at the trade offs. Mayor Ireland reiterated that this project should not create an affordable housing shortfall. Mayor Ireland said he thought this project should be 33% smaller. Mayor Ireland said he thought the environmental science was bad science and that moving the lift up the mountain was questionable. Mayor Ireland said the city still has to resolve what the limitations would be on the applicant for energy uses that exceed the agreed upon standard. Mayor Ireland noted there is a condition in the ordinance that ties the lift to this application and that the lift shall be operational prior to conveyance of real estate within the Lodge at Aspen Mountain. Mayor Ireland said there are community benefits listed; however, these are not defined, such as support will be provided for World Cup events. 16 Rel!ular Meetinl! Aspen City Council September 24, 2007 Mayor Ireland questioned what that commitment means. Mayor Ireland stated he does not feel this is a complete agreement or is every condition carefully reduced to writing. Mayor Ireland stated this arrangement is putting the affordable housing commitment in the hands of the County Commissioners. Mayor Ireland questioned affordable housing on the other side of the roundabout. Mayor Ireland said this building has been decreased 14% and it could be made smaller. Mayor Ireland stated it is not good science to compare the energy performance of a new building to 2 unknown buildings and it could be compared to a building that is over 100 years old. Mayor Ireland said moving the ski lift up the hill creates an incentive for people to drive up the mountain. Mayor Ireland stated he would support significant lodging and fractional units on this site if it were master planned with the lift and with development to the east. Mayor Ireland said it is Council's job to protect the public interest and approving this project is not in the public's interest. Roll call vote; Councilmembers Johnson, no; Skadron, yes; Romero, yes; DeVilbiss, no; Mayor Ireland, no. Motion NOT carried. Councilman DeVilbiss moved to deny Ordinance #5, Series of2007; seconded by Councilman Johnson. Roll call vote; Councilmembers DeVilbiss, yes; Romero, yes; Skadron, no; Johnson, yes; Mayor Ireland, yes. Motion carried. Sarpa requested Council refer this matter to the electorate. People have stated how important this project is and that a hotel is appropriate at the base of the mountain. Sarpa said the people most impacted by this project support the project. Councilman Johnson moved to refer Ordinance #5 to the voters; seconded by Councilman Romero. True questioned referring an ordinance like this to the voters. True recommended staff be allowed to research what can be put in front of the voters. Councilman Johnson withdrew his motion; Councilman Romero withdrew his second. Councilman DeVilbiss moved to direct staff to consider whether a resolution can be put on the ballot; seconded by Councilman Romero. Councilman Johnson moved to suspend the rules and extend the meeting to II :30 p.m.; seconded by Councilman Romero. All in favor, motion carried. Mayor Ireland said he does not want staff to consider putting this on the ballot. Councilman Johnson said this has been in the process for 4 years in front of2 Councils. Councilman Johnson stated he is not sure what kind of question could be put in front of the voters. Councilman Romero asked if this issue could be referred to the voters by public petition. True said there is a question whether this constitutes a legislative matter and this is unclear. 17 Rel!ular Meetinl! Aspen City Council September 24, 2007 Councilman DeVilbiss withdrew his motion and requested this be discussed in executive sessIOn. Councilman Johnson moved to continue Ordinance #24, Series of2007, to October 9t\ seconded by Councilman Skadron. All in favor, motion carried. Councilman Romero moved to continue Ordinance #37, Series of2007, to October 9; seconded by Councilman Johnson. All in favor, motion carried. Councilman Romero moved to continue Ordinance #25, Series of2007, to October 9; seconded by Councilman DeVilbiss. All in favor, motion carried. Councilman Johnson moved to go into executive session at II :20 p.m. pursuant to C.R.S. 24-6-402( 4)(b) Conferences with an attorney for the local public body for the purposes of receiving legal advice on specific legal questions; seconded by Councilman DeVilbiss. All in favor, motion carried. (Mayor Ireland left the Council meeting). Councilman Johnson moved to come out of executive session at II :35 p.m.; seconded by Councilman Romero. All in favor, motion carried. Councilman Johnson moved to direct counsel to represent Mr. Peterson and/or hire independent counsel; seconded by Councilman Romero. All in favor, motion carried. Councilman Johnson moved to direct counsel to contact John Sarpa and Centurion Partners and let them know Council does not have an interest in placing the Lodge at Aspen Mountain on the ballot; seconded by Councilman Skadron. All in favor, motion carried. Councilman Johnson moved to adjourn at II :40 p.m.; seconded by Councilman Romero. All in favor, motion carried. 18