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HomeMy WebLinkAboutminutes.council.19900326Reaular Meetina Aspen City Council March 26, 1990 SWEARING IN NEW COUNCIL 1 CITIZEN COMMENTS 1 COUNCILMEMBER COMMENTS 1 r r _. .• CONSENT CALEN ~`: i~ `~` ' ' ' DAR . . ~. . 5 ORDINANCE # 10, SERIES OF 1990 - Kraut Vested Rights 5 ORDINANCE #11, SERIES OF 1990 - Sportstalker Vested Rights 6 ORDINANCE #12, SERIES OF 1990 - Collins Block Lot Line 6 ORDINANCE #18, SERIES OF 1990 - Additional Alternate for CAB 8 ORDINANCE #20, SERIES OF 1990 - Code Amendment Section 19 8 APPOINTMENT OF CITY MANAGER 8 CITY ATTORNEY APPOINTMENT 9 ART MUSEUM REPORT 9 NON-PROFIT FUNDING REQUEST REVIEW 12 MAROLT/M.A.A. LEASE 13 ORDINANCE #25, SERIES OF 1990 - Marolt Rezoning/PUD 15 ORDINANCE #21, SERIES OF 1990 - Marolt Bonds 17 RESOLUTION #13, SERIES OF 1990 17 ORDINANCE #22, SERIES OF 1990 - Appropriations 18 ORDINANCE #23, SERIES OF 1990 - Liquor License Training 19 CONTRACT WITH WHEELER FILM SOCIETY 20 ORDINANCE #24, SERIES OF 1990 - Eller Lot Split 20 RESOLUTION #12, SERIES OF 1990 - DePagter Annexation 21 22 Regular Meeting Aspen City Council March 26, 1990 Mayor Stirling called the meeting to order at 5:04 p.m. with Councilmembers Peters and Gassman present. SWEARING IN NEW COUNCIL Municipal Judge Brooke Peterson gave the oath of office to Margot Pendleton. Councilwoman Pendleton thanked everyone who helped her into office. Councilwoman Pendleton said the recall election was hard on everyone. Councilwoman Pendleton said the results of the recall election show a divisiveness in the community. Councilwoman Pendleton said as a newly elected person, she will strive to reduce the divisiveness; however, she cannot do it alone. Councilwoman Pendleton said she would like to get on with solving the problems of the town with the other councilmembers. Councilwoman Pendleton asked the citizens of Aspen to put aside their differences and to get back to being a community. CITIZEN COMMENTS 1. Doug Allen said the parking garage does not seem well utilized. Allen said it might be appropriate to try it as a free garage and to see what this does to the traffic patterns. Allen suggested looking into long term leases for businesses in town. Bob Gish, city engineer, said he will be willing to look at these things. 2. Jon Busch told Council he will not be present for the film contract at the Wheeler. Busch told Council this group will do a dynamite job for the city. 3. Richard Roth thanked Steve Crockett who served on Council for the last 9 months. Crockett supported the year round swimming facility, the .45 cent sales tax increase, supported Ordinance #l, the affordable housing zone, the Marolt project and the Truscott place. COUNCILMEMBER COMMENTS 1. Mayor Stirling read a proclamation into the record for Steve Crockett, who served as a Councilmember of the City of Aspen from June 1989 to March 1990. Crockett stimulated the Council's mission statement, goals articulation, initiated the strategic planning process. Crockett represented a vital Aspen constituency with flair, enthusiasm and an inimitable style was always constant in his efforts to preserve Aspen as a town and a community. Councilman Peters move to approve the proclamation; seconded by Councilman Gassman. All in favor, motion carried. 1 Regular Meeting Aspen City Council March 26, 1990 2. Councilman Gassman said there will be a meeting of the Nordic Council on Tuesday, April 10 at .7:30 a.m. in the Council Chambers. The purpose of this meeting is to give input and comments on the Nordic trail system. 3. Councilman Gassman said when Council approved Truscott place housing project, they approved it with a big reduction in the parking requirement to see how this worked. Councilman Gassman said he has noticed that the parking lot at the golf course is getting a lot of use; most of these cars are probably from Truscott place. Councilman Gassman said when the golf season starts, there will be a conflict. Bill Efting, acting city manager, told Council staff has had a meeting on this and will be keeping track of it. Efting told Council he is willing to give 10 parking spaces on the golf course side to the Truscott place. Jim Adamski, housing director, told Council the seasonal employees will be gone in two weeks. Adamski told Council there is a rigid towing policy in effect at Truscott place. 4. Councilman Gassman complimented the city clerk and her staff at the close of the spring election season. Councilman Gassman said they did a great job with two complicated elections, lots of questions, lots of interest, and a lot of intensity. Councilman Gassman said the city clerk's office is a great resource, and they did a great job. 5. Councilman Gassman agreed with Councilwoman Pendleton about getting on with things. Councilman Gassman said in the preliminary expenditure reports, it looks like candidates spent $65,000 on the election. These reports do not take into account other expenses associated with elections. Councilman Gassman said the community probably spent $100,000. Councilman Gassman requested that people ask themselves if this was worth it; if people got their money's worth. Councilman Gassman pointed out that arts groups and human services are asking for money from the city. Councilman Gassman asked people to keep spending $100,000 for a recall election in mind when funding is short for other things. 6. Councilman Peters moved to move action item VIII (j ) to IX (d) ; seconded by Councilman Gassman. All in favor, motion carried. 7. Councilman Peters said since the recall election was over he has felt he should have a sense of relief; however, he has been carrying around a burden. Councilman Peters said at the benefit last night, a lot of money was raised. Councilman Peters said this, benefit was an expression of the best part of the Aspen community; an expression of love, generosity and concern for a fellow citizen. Councilman Peters said the recall election was mean, ugly, vindictive and a lot of accusations were made. Councilman Peters 2 Regular Meeting Aspen City Council March 26, 1990 said if he has a choice of whether to be involved in the recall election, he would have chosen not to be involved. Councilman Peters said other local officials are being threatened with recall , which seems to be the tool of the future. Councilman Peters said in the 1990s there are transportation problems, housing problems, social problems, lack of funding for human services, integrating a new ethnic minority to Aspen, and the most important issue for Council to face is politeness. Councilman Peters said he feels Steve Crockett was ill used for being removed for his lack of politeness. Councilman Peters said Crockett served his issues honestly and forthrightly. Councilman Peters said politicians are perceived to have hidden agendas, to dissemble, that seek personal aggrandizement. Councilman Peters said Steve Crockett was the opposite of that. Crockett tirelessly served the campaign promises he made last May. Councilman Peters said the Council now has no one who represents renters and no one who is not self-employed. Councilman Peters said he will do his best to represent those people who are disenfranchised because Crockett is gone from the Council. 8. Mayor Stirling said there is an article in~ the daily paper which says, "Council to Attack Election Law Flaw". Mayor Stirling said there is nothing on the agenda about this. Mayor Stirling __ said he had talked about initiating a Charter amendment regarding the November election. Mayor Stirling said he has no proposal to make any changes. 9. Mayor Stirling asked about progress on the habitat analysis for the lots on Red Butte. Any Margerum, planning director, told Council staff is still researching this and does not have a report. Mayor Stirling requested a report by the next meeting. 10. Mayor Stirling said Council met with tenants of Castle Ridge recently. Mayor Stirling said Council would like to progress on looking at the contract and the audit. Mayor Stirling said he would like a report at the next meeting. Mayor Stirling said Council would also like to look at the affordability of this project . 11. Mayor Stirling said since 1986, Council has contributed $758,000 to the ACRA. Every year, Council contributes $228,000 contributes to the Chamber sector of their request. Mayor Stirling said during the two previous elections, the ACRA was clearly a political action committee. Mayor Stirling asked if Council feels it is appropriate to fund political action committees with tax payer money. 12. Mayor Stirling said Council received a letter from the department of highways, in which there is a terrific spirit of 3 Regular Meeting Aspen City Council March 26, 1990 cooperation for the city to work with them on the design of the entrance to town. Mayor Stirling said the Harvard group has withdrawn from this project. ,Mayor Stirling said the highway department is concerned about communications. Amy Margerum, planning director, said the city and county could set up a new advisory committee to work with the highway department. The highway department has indicated they are willing to hire Design Workshop to work on the design of the highway. This committee could be similar to that earlier suggested by the AVIA. The second option would be to bifurcate this and focus on the Maroon creek bridge. Ms. Margerum reminded Council they earlier set up a public projects review group to review public projects. This group could be utilized to review designs as they come in from the highway department. A third option for the entrance to Aspen would be to look into organizing a national design competition. Mayor Stirling suggested this be an item on the April 9th agenda. Councilman Gassman said he would not like to split the Maroon creek bridge from the entrance to town, unless they have to be; the community will be best served if this is all one design project. Councilman Gassman said this is beyond the scope and intent of the public projects review group that was just set up. 13. Sandy Stuller, city attorney's office, told Council there is a quiet title action on Summit Place which case was retained by Paul Taddune. Ms. Stuller said there will be a settlement offer made in the near future. If this settlement is not accepted, Taddune expects this to be lengthy litigation. 15. Mayor Stirling said he has met with the final candidate for city attorney. Mayor Stirling said there are some details that need to be worked out. Mayor Stirling moved to add this as item (ai) report on city attorney; seconded by Councilman Gassman. All in favor, motion carried. 16. Mayor Stirling said Bill Kane has reported that 6 request for proposals have been sent out and replies received for financial consultant on the next phase of the master plan of the Meadows. The committee will meet and recommend to Council by April 23. Mayor Stirling said he would like this report added to the April 23 agenda, recommendation on financial consultant. 17.- Mayor Stirling announced Tuesday April 10 at noon, there will be a group breaking at the Marolt housing project. 18. Mayor Stirling thanked his supporters. Mayor Stirling said he is very glad the recall is over. Mayor Stirling said there is a lot of work ahead of Council, said Council needs everyone in town participating with them with ideas, support and criticisms. Mayor Stirling said this Council has worked very hard and has accomplished a lot. Mayor Stirling said Council must listen 4 Regular Meeting __ Aspen Citv Council March 26, 1990 better. Mayor Stirling said the fact he was affirmed is one of the positive things about Aspen, that one can speak out and can be challenged and. can still be affirmed. Mayor Stirling said it is hard to get a consensus in a town that has so many factions and is so individualistic. Mayor Stirling said the town need not deteriorate into contentiousness but should work. with mutual respect. 19. Bill Efting, acting city manager, told Council the housing authority has requested a work session with Council to discuss the housing guidelines among other things. Council scheduled this for April 16 at 5 p.m. until 6:30. 20. Efting told Council if the weather holds, he would like to put up the flags and cut the cups at the golf course and let residents play free for the weekend. 21. City Clerk Kathryn Koch requested Council fund a photocopier. Ms. Koch told Council there is a $40, 000 accumulated surplus in the asset replacement fund. Ms. Koch said the photocopier was considered in the 1990 budget and not funded. Councilman Peters moved to have staff bring all the alternatives for Council to evaluate at the next Council meeting; .seconded by Councilman Gassman. All in favor, motion carried. 22. Sandy Stuller, city attorney's office, requested an executive session to consider the Valley High settlement offer, land acquisition negotiations, and a quiet title matter. Councilman Peters moved to have an executive session Tuesday, April 3 at 5 p.m. for land acquisitions and litigation matters; seconded by Councilman Gassman. All in favor, motion carried. CONSENT CALENDAR Councilman Peters moved to approve the consent calendar; seconded by Councilwoman Pendleton. Councilwoman Pendleton asked why the traffic study was done. Bob Gish, city engineer, told Council this was offered by the highway department. Staff will just use it for guidance;. there are no impacts to the city. All in favor, motion carried. ORDINANCE # 10, SERIES OF 1990 - Kraut Vested Rights Mayor Stirling opened the public hearing. There were no comments. Mayor Stirling closed the public hearing. Bil Dunaway asked if 5 Regular Meeting Aspen City Council March 26, 1990 staff intends to put vested rights in the approval ordinance rather than doing two ordinances. Kim Johnson, planning office, said yes. Councilman Peters moved to adopt Ordinance #10, Series of 1990, on second reading; seconded by Councilwoman Pendleton. Roll call vote; Councilmembers Peters, yes; Gassman, yes; Pendleton, yes; Mayor Stirling, yes. Motion carried. ORDINANCE #11, SERIES OF 1990 - Sportstalker Vested Rights Mayor Stirling opened the public hearing. There were no comments. Mayor Stirling closed the public hearing. Councilman Peters moved to adopt Ordinance #11, Series of 1990, on second reading; seconded by Councilman Gassman. Roll call vote; Councilmembers Gassman, yes; Pendleton, yes; Peters, yes; Mayor Stirling, yes. Motion carried. ORDINANCE #12, SERIES OF 1990 - Collins Block Lot Line Mayor Stirling asked to what income level the affordable housing units will be restricted. Leslie Lamont, planning office, told Council one unit should be deed restricted to moderate and the other unit to low. Ms. Lamont told Council in the Code it states an applicant in the commercial core has the ability, through special review, to apply for an extra floor area bonus. An applicant is allowed to go up to 1.5:1 in the commercial core. If an applicant provides employee housing on site, they have the ability to increase their external floor area to 2:1. The applicant is going to 1.77:1 and is providing affordable housing on site. The purpose of the lot line adjustment is to connect the Lane parcel to the Collins block and the applicant is providing 2 two-bedroom units on the Lane parcel. The Code states when providing affordable housing on site to go through the extra floor area bonus, that the units be deed restricted to moderate income. Joe Wells, representing the applicant, pointed out one of the benefits granted to owners of historic landmarks was that employee housing provided with an expansion of that landmark could be deed restricted to moderate income. Wells said the applicant and staff felt it was an acceptable compromise to provide one of each. Ms. Lamont told Council the 2 two-bedroom units that .are being provided on site go beyond the demand this project is creating. Council- woman Pendleton asked if the employees have to be employed by the applicant. Ms. Lamont said they only need meet the housing guidelines. The housing authority does not want to tie employment to housing. Mayor Stirling opened the public hearing. There were no comments. Mayor Stirling closed the public hearing. 6 Regular Meeting Aspen City Council March 26, 1990 Councilman Peters moved to adopt Ordinance #12, Series of 1990, with conditions listed by planning office, modifying condition #2 to say "low and moderate"; seconded by Councilman Gassman. Ms. Lamont said in condition #3 the change is to say "prior to the issuance of a certificate of occupancy for 2 free market units and 578 square feet of new commercial space, a building permit for the 2 two-bedroom units shall be issued". Ms. Lamont said staff wants to make sure the city gets the affordable units on-site at the same time the applicant gets the expanded commercial and free market space. Wells told Council the applicants cannot apply for a building permit on the affordable housing units until they get through the approval process. The construction crews are currently on-site. Wells said the applicant is hoping to be able to finish the space, get the crews out of there so they do not disrupt the building, even though the space cannot be used. Wells told Council before they can record the condominiumization plat, they have to have a c/o on the affordable housing units. Councilman Gassman said he is concerned that tying this to a building permit is not much of a guarantee the affordable housing units will be built. Harley Baldwin, applicant, told Council he will personally guarantee they will be built within a reasonable time period. Ms. Lamont told Council the city has the ability to pull the c/o on the free market units if the affordable units are not built. The affordable units on-site are linked to the applicant's increase in space. Mayor Stirling said he likes units built downtown and on-site. Council decided "a reasonable time" is one year or less. Ms. Lamont told Council to eliminate condition #9 and add a new condition #11. Ms. Lamont told Council the city cannot require an applicant to work with an adjacent property owner; however, this is something the applicant would like to pursue, which is to get a more efficient trash off the alley. Condition #11 should read, "applicant shall work with adjacent property owner to secure an efficient service and delivery and trash access area through the Lane parcel servicing the Collins block and the redevelopment of the adjacent parcel lots d, e, and f". Ms. Lamont suggested for #3 that it read "prior to the issuance of a certificate of occupancy for the 2 free market units and the commercial square footage, a certificate of occupancy for the 2 two-bedroom affordable units shall be issued". Baldwin said this will cut down on his flexibility to deal with the neighbors to solve the alley problems. Baldwin said the condition worded this way forces him to complete the project and not work with the adjacent property owners. 7 Regular Meeting Aspen City Council March 26, 1990 Councilman Peters amended his motion to include the recommendation of the planning office that prior to the issuance of a c/o for the two free market units, a c/o for the 2 affordable units shall be issued, and to add condition #11; seconded by Councilman Gassman. Roll call vote; Councilmembers Gassman, yes; Peters, yes; Pendleton, yes; Mayor Stirling, yes. Motion carried. ORDINANCE #18, SERIES OF 1990 - Additional Alternate for CAB Mayor Stirling opened the public hearing. There were no comments. Mayor Stirling closed the public hearing. Councilman Gassman moved to adopt Ordinance #18, Series of 1990, on second reading; seconded by Councilman Peters. Roll call vote; Councilmembers Pendleton, yes; Peters, yes; Gassman, yes; Mayor Stirling, yes. Motion carried. ORDINANCE #20, SERIES OF 1990 - Code Amendment Section 19 Mayor Stirling opened the public hearing. There were no comments. Mayor Stirling closed the public hearing. Councilman Peters moved to adopt Ordinance #20, Series of 1990, on second reading; seconded by Councilwoman Pendleton. Councilman Gassman said he thinks this is a good idea. Driving around town, one can see that almost every pothole is caused by where there was a cut in the pavement that was not repaired properly. Councilwoman Pendleton agreed and said these are things that are often overlooked. Councilman Peters questioned the $2,000 bond; it may be overkill for some excavations. Bob Gish, city engineer, told Council staff has found this is a reasonable bond. Councilman Peters asked if in the costs for correcting bad work, staff had included the costs of removing the inferior work. Gish said no. Mayor Stirling questioned listing static prices for fixing work. Gish said staff has tried to make these prices so high that the contractors will do the work themselves. Councilman Peters said he would like to see some corrections before this is adopted on second reading. Councilman Peters withdrew his motion. Mayor.Stirling moved to table this to April 9, 1990; seconded by Councilman Peters All in favor, motion carried. APPOINTMENT OF CITY MANAGER Mayor Stirling moved to appoint Carol O'Dowd as city manager, starting May 1, 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. 8 Regular Meeting Aspen City Council March 26, 1990 CITY ATTORNEY APPOINTMENT Mayor Stirling told Council he has met with the candidate for city attorney. Mayor Stirling told Council he has looked at the existing property and has some ideas, relating to housing and how it might be subsidized. Councilman Peters asked if Council can leave to the acting city manager and Mayor to work out the details . Mayor Stirling said the half duplex is 2,000 square feet. The low rental guidelines would be $1260/month; at middle it would be $2460. Mayor Stirling said he would like the leeway to negotiate at the lower end. Mayor Stirling said the city needs to do some repair work on the duplex. Councilman Peters and Councilwoman Pendleton agreed the Mayor should work this out with the city manager and the candidate. ART MUSEUM REPORT Mayor Stirling said points raised by Cindy Wilson, finance director, are that operating losses go back 3 years. Ms. Wilson told Council the negative audit opinion was for the 1988 year. Ms . Wilson told Council one of her biggest concerns is whether one month cash reserves is enough. Ways to keep this crises from happening again are new revenue sources, increase collections from existing revenues sources, and to reduce expenses. Mayor Stirling asked what the art museum is going to do and why is it not working the way it has been. Susan Jackson, art museum director, told Council the museum has already tried to scale down expenses as much as possible. The budgeted expenses for last year were $575,000; this year the budgeted expenses are $512,000. The museum has 30 percent less. staff. Ms. Jackson told Council she had cancelled exhibits that are too expensive. Ms. Jackson said she and the museum board feel they must continue a viable program if they are going to continue to raise funds. Ms. Jackson said they are doing the most viable programs for the least amount of money. Ms. Jackson said many new exhibits will relate directly to the community rather than bringing in expensive exhibitions. Ms. Jackson told Council the museum is tracking their expenses so they know what they spend on everything. Ms. Jackson said the museum is right on with their budget this year. Ms. Jackson told Council the museum has raised 56 percent of their goal, $117, 000 so far. Ms. Jackson said the majority of the funds raised are restricted and secure the museum' s programs for the rest of the- year. Ms. Jackson said the problems are the operating expenses while the museum continues to raise money. Ms. Jackson told Council .about 34 percent of the budget comes from fees and memberships, which is high. Ms. Jackson told Council the problem 9 Regular Meeting Aspen City Council March 26, 1990 with the art museum is that it has not been able to apply for grants.. Ms. Jackson said the museum is raising 68 percent of their operating expenses every year. The art museum needs to find ways to raise their revenues. Councilwoman Pendleton said she feels the museum needs to whittle down their board of directors. Councilwoman Pendleton said the board seems to be too big to process everything. Councilwoman Pendleton asked if this is how the museum got into trouble in the first place. Councilman Gassman said the city should help out the museum. Councilman Gassman said he does not feel the city should operate the art museum, and in helping out should not attach a lot of conditions to that help. Councilman Gassman said the Board has to take some responsibility for how the art museum. got to where it is. The problem has survived three different administrations at the museum. The Board should take the major part of the respon- sibility for putting the museum in a precarious situation. Councilman Gassman said this situation is not the staff, the administration and not the city's fault. Councilman Gassman said he feels some progress is being made and the fund raising is off to a good start. Councilman Gassman .said he likes the direction of the shows being more locally oriented. Councilman Gassman noted that in a few months Council will be looking at the 1991 budget. Councilman Gassman said before the city makes any commitments for 1991, there should be some substan- tial changes. This puts the responsibility on the Board and it gives the museum and the Board the opportunity to go ahead with the programs that have been started. Councilman Peters agreed it is appropriate for the city to be intervening in a crisis situation at the museum. Councilman Peters said he does not want to be putting the city' s finances in the same situation the art museum is in. Councilman Peters said the human services will be requesting money next for real human needs. Councilman Peters said he does not think the city can fund both requests without causing deficit spending. Councilman Peters said his priorities lie with the human services groups and their requests. Mayor Stirling said the city received a windfall from AT&T. A court required them to pay a tax to the city on facilities. The city recently received $134,000. The Council has previously granted $20,000 to Dance Aspen, $10,000 to KAJX and $25,000 to the Art Museum. Mayor Stirling moved that Council view the $134,000 from AT&T as a windfall and earmark it for the combination of grants to human services, arts and other requests; the balance going into contin- 10 Regular Meeting Aspen City Council March 26, 1990 gency fund; seconded by Councilman Gassman. All in favor, motion carried. Councilman Gassman said he feels arts is a human service, too; one's soul is also important. Councilman Gassman said he feels it is an artificial dichotomy that Council has to pick one or the other. Councilman Gassman said he feels rather than compartmental- ize these requests into art and health, they are all health. Councilman Gassman moved to allocate $20,000 to the art museum under the terms that the museum will come back before 1991 budget hearings with a fairly concrete plan of changes to be made and how the museum will operate from here out; seconded by Councilwoman Pendleton. Councilwoman Pendleton agreed the museum needs action from the city right now. Councilwoman Pendleton said she wants the museum to get a plan together so this does not happen again. Mayor Stirling said what is important on any board is balance; new members and continuity. It is also important that there is accountability and responsibility. Mayor Stirling said by June 15, there should be a report given to Cindy Wilson on how the fund drive went and whether the museum achieved their goal, and details of cost savings ideas; if there are checks and balances, if there is a finance __ committee on the board and what is their relationship with the controller. Mayor Stirling said perhaps the board should discuss the complexion of the board. Councilman Peters said Council should attached strings to future funding. Councilman Peters pointed out Council funded the art museum during budget time of $25,0.00 plus the building. Two weeks ago Council gave them another $25,000. Councilman Peters agreed that human services and the arts should not have to compete head to head, and that souls are important as bodies. Councilman Peters said he would like to fully fund the needs of the human services. Walter Ganz said he is concerned about the disproportionate amount of funding that is allocated to the art museum compared to human services and to the other arts organizations. Ganz said the Council should listen to the requests from the human services. Ganz said he has heard no justification for giving the art museum another $20,000. Councilman Gassman said he feels this will be a one-time expenditure. Councilman Gassman said to refuse this request would be kicking the museum when it is down, which is not what it needs. Ellen Kohner reminded Council the arts groups have chosen to support Dance Aspen and the art museum in their requests for money. Ms. Jackson told Council she is trying to get the operating expenses under control so the art museum can continue to raise fund 11 Regular Meeting Aspen City Council March 26, 1990 and to get the museum on its feet. Pat Fallin told Council the Board is cognizant of what has happened in the past and they want to rectify this and not create the same mistakes in the future. Mayor Stirling agreed the board is critical. The criteria for the board should be an appreciation of art, the ability to contribute, and the ability to give time. Mayor Stirling said sometimes boards get involved in power, recognition, money and social status. Mayor Stirling said these are not characteristics which should hold sway on a board. Mayor Stirling said outside exhibits are essential as local exhibits. Councilman Gassman suggested a work session with the art museum board before June 15th. All in favor, with the exception of Councilman Peters. Motion carried. NON-PROFIT FUNDING REQUEST REVIEW Mayor Stirling said there was a work session last week with the human services groups outlining their needs for 1990 beyond what they were budgeted for. Mayor Stirling asked if Council does not fund $10,000 for the grant for ASAP can the money be gained from other sources. If the city does not give seed money for the writing of the grant, what is the relationship ASAP would like to have with the city in relation to this grant. Arlene Devries said ASAP needs to have a relationship with Council or its designee for this grant. The grant intends to create community partnerships for the purpose of substance abuse prevention. One of the people who have to be participants in the partnership is local government . Participation will guarantee that the plans that are developed are to the city's liking. Vince Savage said another confusion was the money ASAP. needed for expenses in applying for this grant. Savage said ASAP has identified $5, 000 in costs to apply for the grant. Savage said the $10,000 was a separate issue. Savage said they still need money to fund existing programs resulting in a shortfall this. year. Savage told Council this federal grant would not fund on-going projects but will be to set up prevention and education projects. Devries told Council ASAP is withdrawing their request for $10,000 for the grant; however, they would like $5, 000 toward their $22, 000 deficit. Councilman Gassman said he did not want to buy into the grant program; however, if the funding is directed toward prevention and research at the local level that is all right. Councilman Peters said he would fund a paydown of the deficit. Councilman Peters said he feels this grant program will sap the time of ASAP. Savage told Council ASAP will raise the money for the grant privately. Ms. Devries said ASAP feels the federal grant will pay for 5 years of on-going projects. Councilman Gassman said there is an admired, 12 Regular Meeting Aspen City Council March 26, 1990 well respected program operating now. Councilman Gassman said he fears taking the successful program and attaching to a federal program. Councilman Gassman asked what happens after 5 years. Savage said the programs should become self-supporting. Savage told Council several of their programs have already become self- supporting, like the business training seminars, and liquor servers training. Mayor Stirling moved that with continued scrutiny and reporting back to Council that Council begin the process of assisting and being partners with ASAP in the application of this grant, with a Councilmember being on the task force and with letters of support; seconded by Councilman Peters. All in favor, motion carried. Councilwoman Pendleton will be on the task force. Councilwoman Pendleton moved to grant $10,500 to Aspen Mental health; seconded by Councilman Peters. All in favor, motion carried. This is the full funding request for Aspen Mental Health. Mayor Stirling moved to grant $25,000 to the Community Health Services. Motion DIES for lack of a second. Councilman Peters moved to fund $32,000 for .Community Health Services; seconded by Councilwoman Pendleton. Councilman Peters suggested the Community Health Services approach both restaurant association and the lodging association for some help. All in favor, motion carried. Councilman Peters moved to approve $5, 000 for deficit reduction for ASAP; seconded by Councilman Gassman. All in favor, motion carried. Councilman Peters moved to approve $5,000 for Response; seconded by Councilman Gassman. All in favor, motion carried. Councilman Peters moved to approve the CIVA request for $2500; seconded by Councilwoman Pendleton. All in favor, motion carried. Council directed the finance director to move the remaining $4,000 from the AT&T windfall to the contingency fund. MAROLTjM.A.A. LEASE Councilman Peters told Council staff and the M.A.A. met last week to work out the details of this lease. Fred Gannett, city attorney's office, told Council they tried to find language to address concerns of the M.A.A. Part of the finance committee's responsibility is to review the lease and to include a member of the M.A.A. in the process. Robert Harth, M.A.A., told Council all parties are in agreement; they just need to make sure the language 13 Regular Meeting Aspen City Council March 26, 1990 is covered for the successors. Gannett said they are working on a default paragraph stating, "If the Aspen Music Festival fails to perform the music festival in the city of Aspen, it shall be a condition of default". Gannett told Council the M.A.A. consented to a liquidated damages provision. In order to have this, there had to be the ability to trigger it. Councilman Peters suggested adding language in Section 5.2 to make it clear that the long range plan and the 10 year plan for the budget process is an annual event. Harth said the year of operation should be defined as no later than November 1st for the operation budget. Harth said the M.A.A. has a question regarding the concept of "reasonable overhead" referring to costs and expenses. Harth suggested that revenues also be referred to. Harth said during the months of June or late August when the festival is not in operation, if the M.A.A. is able to rent~any of the facilities, they should get credit toward that as they are paying rent for those months. Harth said the M.A.A. would like some specificity regarding surpluses that the reserve fund is being utilized to stabilize rents. Councilman Peters told Council in preparing the long range plan it became clear there are a lot of definitions the city does not have. Councilman Peters said he has requested from the bonding company a list of definitions and objectives within the long range plan to clarify for the finance committee what the are trying to do with the various funds. One is what is a reserve fund, what is it used for, when is it triggered. Harry Truscott, housing authority, said the paragraph should say who will determine how the surpluses will be divided. Truscott suggested this should be the finance committee; a member of Council, of housing authority, city's finance director, housing director, and a M.A.A. member. Harth said the M.A.A. understood the repair and replacement account needs to be a total $1,200,000 over the course of the project but at no one time would it ever be $1, 2 0 0 , 0 0 0 . Councilman Peters said the bond counsel said the account should be reached and maintained at $1,200,000. Harth pointed out in Section 5.10 the M.A.A. has asked for the date of April 10 to be moved to May 15. Truscott noted there~is nothing in the operating budget that is a number that one can count on to determine a 10 percent increase or 20 percent increase. Truscott suggested, "In the event the annual operation budget makes necessary increases in rents by 15 percent in an annual period or by 20 percent". Councilman Peters agreed that the M.A.A. should be the ones that set the threshold when the pain is too great for them to stay in the project, and they should be able to lower that threshold. Councilman Peters pointed out when that threshold is reached that the city may become liable to repay the M.A.A. for the $150, 000 investment in the practice rooms. Councilman Peters said those rooms may not be worth $150, 000 to the 14 Regular Meeting Aspen City Council March 26, 1990 city. Councilman Peters said he is willing to accept the fact that the M.A.A. would have cause to leave and would have reason to expect to be reimbursed in a project that does not work for them. Councilman Peters said he would like to see the amortization of that happen in 10 years rather than 30 years. Harth said the $150,000 the M.A.A. is contributing is going toward the construction of the practice rooms; however, that money will be utilized up front to pay for bond costs. Harth said the M.A.A. will contribute the money by May 15 and should be for the construc- tion of practice rooms. Councilman Peters said if the housing authority finds itself in default to the city because it is not able to make the lease payments, that should void this lease. Harth said in 8.3 remedies, the way this reads the M.A.A. would be liable for all rent and other payments due until subleasing as well as two years annual rent. Harth proposed this be either/or at the city's discretion but not both so the maximum penalty would be the two years annual rent. Gannett said he will rewrite this to make the intent that it is either/or. Steve Knous, M.A.A., told Council their attorney is uncomfortable with the fact that they need to give indemnification to the city. Knous said they feel as tenants of the project they are entitled to the same rights as seasonal tenants and should not be excluded from any legal recourse. Councilman Peters said there are some issues he would like to research. Gannett told Council he is reluctant to say the M.A.A. has exclusive use of the property for a 3 month property and the city has to absorb any potential lawsuit or judgement rendered against the M.A.A. or the city by virtue of this use. Mayor Stirling moved to continue the M.A.A. lease to April 9th; seconded by Councilman Gassman. All in favor, motion carried. ORDINANCE #25, SERIES OF 1990 - Marolt Rezoning/PUD Councilman Gassman moved to read Ordinance #25, Series of 1990; seconded by Councilman Peters. All in favor, motion carried. ORDINANCE #25 (Series of 1990) AN ORDINANCE OF THE CITY OF ASPEN GRANTING FINAL SUB- DIVISION/PUD APPROVAL, REZONING 4.31 ACRES TO PUBLIC (PUB), GMQS EXEMPTION FOR AFFORDABLE HOUSING ON THE MAROLT RANCH PARCEL, AND VESTING THE DEVELOPMENT RIGHTS FOR THE MAROLT AFFORDABLE HOUSING PROJECT was read by the city clerk 15 Regular Meeting _ _ Aspen City Council March 26, 1990 Councilman Gassman moved to adopt Ordinance #25, Series of 1990, on first reading; seconded by Mayor Stirling. Richard Shaw presented the project. Shaw reminded Council at their direction they have retained 50 parking spaces on the project. This represents an auto disincentive. Shaw told Council they looked across the street for off-site parking. This is owned by the hospital and not available for parking. Shaw pointed out the current plan calls for a berm of 11 feet high, instead of 22 feet, and less spread into the open space. The intent of this berm is to screen the housing from highway 82; this it foot berm will not hide the project entirely but will hide the majority of the buildings from close range. Shaw said staff has proposed relocation of the irrigation ditch, which is the main water source for the golf course. This is being realigned in order to use the site more fully and will improve irrigation for the rest of the Marolt project. Shaw said the construction schedule has been modified in order to not interrupt the irrigation of the golf course.- Shaw told Council the intent of the food service operation is to provide meals necessary for M.A.A. students and seasonal employees. Shaw said an operator for this has not been found. Shaw pointed out the walkway to the RFTA bus stop and to the Marolt bridge. Shaw told Council there are storage units within the units for longer term residents. There are bike racks, recycle bins, the cafeteria. Councilman Peters told Council there will be 3 units of 3 bedrooms each for long term residents. The M.A.A. said they could lose 18 pillows toward these long term residents. Shaw told Council they feel this project can be built in one phase and complete at the end of 1990. Harry Truscott, housing authority, said they have not settled how the cafeteria will be run in the winter. Councilwoman Pendleton asked if there is some way the winter residents can cook in the cafeteria facility in the winter months. Joe Barrows, city's financial advisor, told Council the reason there are no kitchens in the units is to comply with strict requirements of Congress by not calling these housing units. Jim Adamski, housing director, said the cafeteria can be made available in the winter; the operations have to fall out of the needs of the people who live there. Councilwoman Pendleton asked what will be done with cars over the 50 spaces. Adamski said this is experimental. The housing office has been working with the restaurant association to get information out early. Adamski told Council at Truscott place about 30 percent of the people arrive with cars. Roll call vote; Councilmembers Gassman, yes; Pendleton, yes; Peters, yes; Mayor Stirling, yes. Motion carried. 16 Regular Meetinct Aspen City Council March 26, 1990 ORDINANCE #21, SERIES OF 1990 - Marolt Bonds Councilman Gassman moved to read Ordinance #21, Series of 1990; seconded by Councilman Peters. All in favor, motion carried. ORDINANCE #21 (Series of 1990) AN ORDINANCE AUTHORIZING THE ISSUANCE BY THE CITY OF ASPEN, COLORADO, OF ITS GENERAL OBLIGATION HOUSING BONDS, SERIES 1990A IN THE PRINCIPAL AMOUNT OF $5,875,000, FOR THE PURPOSE OF PROVIDING FUNDS FOR THE CONSTRUCTING AND EQUIPPING A HOUSING FACILITY ON A PORTION OF THE MAROLT/- THOMAS PROPERTY TOGETHER WITH ALL NECESSARY INCIDENTAL AND APPURTENANT COSTS AND EXPENSES INCURRED IN CONNECTION THEREWITH; PRESCRIBING THE FORM OF SAID BONDS; PROVIDING FOR THE SALE OF SAID BONDS; ESTABLISHING CERTAIN FUNDS WITH RESPECT THERETO; PROVIDING A PLEDGE OF THE FULL FAITH AND CREDIT OF THE CITY AS SECURITY FOR SAID BONDS; APPOINTING A PAYING AGENT FOR SAID BONDS; APPROVING THE FORMS AND AUTHORIZING THE EXECUTION AND DELIVERY OF A LEASE WITH THE ASPEN/PITKIN COUNTY HOUSING AUTHORITY, A PAYING AGENCY AGREEMENT, A BOND PURCHASE AGREEMENT, AND A LEASE AND AGREEMENT AMONG THE CITY, SAID AUTHORITY AND MUSIC ASSOCIATES OF ASPEN, INC., A NONPROFIT CORPORATION; AND PROVIDING OTHER DETAILS IN CONNECTION WITH SAID BONDS was read by the city clerk Councilman Gassman moved to adopt Ordinance #21, Series of 1990, on first reading; seconded by Councilwoman Pendleton. Joe Barrows, Kirchner Moore, told Council they are likely to be able to get these at less than 7.25 percent. An insurance commit- ment from FGIC has been received, which came in lower than MBIA. Barrows told Council these are 3 0 years bonds . He has reviewed the financial projections of the housing authority and is comfortable with them. Barrows said more than one to one coverage over the project has been demonstrated. Roll call vote; Councilmembers Pendleton, yes; Gassman, yes; Peters, yes; Mayor Stirling, yes. Motion carried. RESOLUTION #13, SERIES OF 1990 Joe Barrows, Kirchner Moore, told Council this resolution auth- orizes the release of financial information by the city's finance department. 17 Regular Meeting Asuen City Council March 26, 1990 Councilman Gassman moved to approve Resolution #13, Series of 1990; seconded by Councilman Peters. All in favor, motion carried. Fred Gannett, city attorney's office, asked Council to pass by motion that the finance director enter into a commitment letter with FGIC, the insurance company that is going to buy the city's rating. Councilman Peters moved to authorize the acceptance of insurance with FGIC; seconded by Councilman Gassman. All in favor, motion carried. ORDINANCE #22, SERIES OF 1990 - Appropriations Councilman Gassman moved to read Ordinance #22, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #22 (Series of 1990) AN ORDINANCE RECOGNIZING GENERAL FUND REVENUES OF $15,765; APPROPRIATING GENERAL FUND EXPENDITURES OF $501,820; RECLASSIFYING PREVIOUSLY APPROVED EXPENDITURES WITHIN THE GENERAL FUND OF $63,663; APP],~2OPRIATING LAND FUND EXPENDITURES OF $15,960; APPROPRIATING WHEELER TRANSFER TAX FUND EXPENDITURES OF $53,460; REDUCING ASSET REPLACEMENT FUND REVENUES OF $2,250; APPROPRIATING ASSET REPLACEMENT FUND EXPENDITURES OF $940; REDUCING ASSET REPLACEMENT FUND EXPENDITURES OF $2,250; APPROPRIATING PARKING IMPROVEMENT CAPITAL PROJECT FUND EXPENDITURES OF $1,405,000; APPROPRIATING TRUSCOTT PLACE CAPITAL PROJECT FUND EXPENDITURES OF $460,000; APPROPRIATING ELECTRIC UNDERGROUNDING CAPITAL IMPROVEMENT DISTRICT NUMBER TWO FUND EXPENDITURES OF $130,000; APPROPRIATING WATER FUND EXPENSES OF $55,930; REDUCING WATER FUND EXPENSES OF $8,110; APPROPRIATING ELECTRIC FUND EXPENSES OF $27,200; TRANSFERRING $223,000 FROM THE ELECTRIC FUND TO THE GENERAL FUND; TRANSFERRING $130,000 FROM THE ELECTRIC FUND TO THE ELECTRIC UNDERGROUNDING CAPITAL IMPROVEMENT DISTRICT NUMBER TWO FUND; APPROPRIATING RUEDI FUND EXPENSES OF $8,770; APPROPRIATING GOLF. COURSE FUND EXPENSES OF $50,000; REDUCING ICE GARDEN FUND EXPENSES OF $7,770 was read by the city clerk Councilman Gassman moved to adopt ordinance #22, Series of 1990, on first reading; seconded by Councilman Peters. Cindy Wilson, finance director, told Council she will amend this ordinance by second reading to reflect the arts and non-profit contributions made earlier. 18 Regular Meeting Aspen City Council March 26, 1990 Roll call vote; Councilmembers Gassman, yes; Peters, yes; Pendleton, yes; Mayor Stirling, yes. Motion carried. ORDINANCE #23, SERIES OF 1990 - Liquor License Training Pat Fallin told Council the committee has recommended that bar managers or owners attend a training seminar once every 3 years rather than annually. Ms. Fallin said it will be a burden on the owners and managers to attend annually if the personnel has not changed. If the owners and/or managers change, there is language in the ordinance to address this. Councilman Gassman moved to read Ordinance #23, Series of 1990; seconded by Mayor Stirling. All in favor, motion carried. ORDINANCE #23 (Series of 1990) AN ORDINANCE REQUIRING REGISTERED MANAGERS OR OWNERS/ OPERATORS LICENSED TO DISPENSE MALT, VINOUS, AND SPIRITU- OUS LIQUORS TO ATTEND A SEMINAR ON COLORADO LIQUOR AND BEER CODES EVERY THREE (3) YEARS; AMENDING CHAPTER 4, ARTICLE 3 OF THE MUNICIPAL CODE OF THE CITY OF ASPEN was read by the city clerk Councilman Peters moved to adopt Ordinance #23, Series of 1990, on first reading; seconded by Councilwoman Pendleton. Fred Gannett, city attorney' s office, said the committee would l ike to change 6 months to one year for managers and/or owners to enroll in an educational seminar. Gannett said in the event the manager or owners/operators change, they will attend a certification course within 2 months. Councilman Gassman said this seems considerably less onerous than the ordinance presented last year, and asked if it is still effective. Ms. Fallin said the original ordinance was an annual training for all the employees. This is every 3 years for the owners and managers, hoping if you educate the top of a business it will filter down to other employees. Councilman Peters asked what is meant in the ordinance when it talks about "failure to comply with this section may be punished accordingly". Gannett said it could be up to loss of a license, which is the discretion of the liquor license authority. Councilman Peters said once this ordinance in effect, the town will need to have a variety of courses in place that will satisfy this requirement. Councilman Peters said Council will rely on this committee to help with training and acceptable courses. 19 Regular Meeting Aspen City Council ~ March 26, 1990 Roll call vote; Councilmembers Mayor Stirling yes; Gassman, yes; Peters, yes; Pendleton, yes. Motion carried. CONTRACT WITH WHEELER FILM SOCIETY Jane Erb, Wheeler Board, told Council this contract is the out- growth of a presentation made to Council last July in order to bring films to the Wheeler on dark nights. Ms. Erb told Council the Board wanted a contract that would stand for good films at the Wheeler no matter who the Film Society consists of. Councilman Peters asked if there was discussion of the Wheeler Board having final approval of the films shown. Ms. Erb said there was discus- sion and the Wheeler Board agreed that the films were not subject to approval by the Board but if a film had been showing for a month, the Board could say something. Councilman Peters encouraged th as much as possible to make thi Ms. Erb reminded Council the cit a staff person in the Wheeler a Ms. Erb said the film group personnel. Councilman Peters s Councilman Peters recommended failing, that the Wheeler Board c this contract. Councilman Peters not sell membership or receive receiving the theatre rent free. the Wheeler Board to present the can donate money to the Wheeler the film program. e Wheeler Board to use volunteers s affordable to the contractors. y has a requirement that there be t all times the Wheeler is open. will provide ushers and its own aid this contract is very severe. if it seems like the program is ome back and look at renegotiating asked why the Film Society should grants. Ms. Erb said they are The group was hired to work with film program. Ms. Erb said people Association and earmark them for Councilman Peters moved to approve the contract; seconded by Councilman Gassman. All in favor, motion carried. ORDINANCE #24, SERIES OF 1990 - Eller Lot Split Councilman Gassman moved to read Ordinance #24, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #24 (Series of 1990) AN ORDINANCE OF THE ASPEN CITY COUNCIL GRANTING SUB- DIVISION EXEMPTION AND VESTED RIGHT FOR THE ELLER LOT SPLIT was read by the city clerk Councilman Peters moved to adopt Ordinance #24, Series of 1990, on first reading; seconded by Councilman Gassman. Roll call vote; Councilmembers Pendleton, yes; Gassman, yes; Peters, yes; Mayor Stirling, yes. Motion carried. 20 Regular Meeting Aspen City Council March 26, 1990 RESOLUTION #12, SERIES OF 1990 - DePagter Annexation Fred Gannett, city attorney's office, said the only issue in this annexation is water rights. The DePagters have a well. The nearest city water main is between 100 and 400 feet away. Gannett told Council the city' s water counsel has written to say the city' s policy is to exact tap fees and water rights upon annexation. Gannett recommended Council pass this resolution, which finds that the petition is in compliance with the state statutes. There is a mandatory 30 day waiting period until first reading of the ordinance. Gannett said he can work with the applications to try and find a solution to the water issue. Jack, applicant, told Council their intent is to annex and then apply for a lot split in order to build their home. Jack told Council they cannot do a lot split in the county. Councilman Peters suggested rezoning one lot to the AH zone district. Councilman Peters moved to approve Resolution #12, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. Mayor Stirling moved to continue the meeting to April 3 at 5 p.m. for an executive session; seconded by Councilman Peters. All in favor, motion carried. Council left the meeting at 9:05 p.m. Kathryn Koch, City Clerk 21