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HomeMy WebLinkAboutminutes.council.19900625Regular Meeting Aspen City Council June 25, 1990 CITIZEN PARTICIPATION 1 COUNCILMEMBER COMMENTS 2 CONSENT AGENDA 3 ENCROACHMENT REQUEST - O'Leary's 3 LIQUOR LICENSE RENEWAL - O'Leary's 4 ORDINANCE #38, SERIES OF 1990 - Bennett Condominiumization . 4 ORDINANCE #39, SERIES OF 1990 - Amending Corkscrew Employee Housing 4 ORDINANCE #42, SERIES OF 1990 - Appropriations 5 1989 FINANCIAL STATEMENTS 5 MODIFICATION OF ANIMAL CONTROL RESPONSE 6 ORDINANCE #44, SERIES OF 1990 - Amending Noise Ordinance 7 ICE RINK CONCEPTUAL PUD REVIEW 7 ORDINANCE #46, SERIES OF 1990 - Sanders Vested Rights 10 ORDINANCE #47, SERIES OF 1990 - Arundale Vested Rights 10 LOAN AGREEMENT - Housing Authority Hopkins Property . 11 WATER AGREEMENTS - Red Mountain 11 ORDINANCE #52, SERIES OF 1990 - Twin Ridge Employee Housing 12 WATER AGREEMENTS - Buttermilk Mountain 13 16 Regular Meeting Aspen City Council June 25, 1990 Councilman Tuite acting as chairman called the meeting to order at 5:00 p.m. with Councilmembers Pendleton and Peters present. CITIZEN PARTICIPATION 1. Janet Sheldon, Fourth Street, brought up concerns about the worsening traffic problems and the speed at which people drive in residential areas. Ms. Sheldon said people do not know the speed limit. Ms. Sheldon suggested speed limit signs be posted in the residential areas and stop or yield signs at the intersections. John Goodwin, police chief, told Council this comes up more often because of more cars and more people. Goodwin told Council there is a community meeting scheduled Wednesday June 27th at 7 p.m. with residents of the Cemetery Lane area to discuss their traffic concerns. The residents of the west end will be invited. Ms. Sheldon said she would like to see something done right away. Carol O'Dowd, city manager, said the solutions or suggestions that can be handled administratively will be put into place. Katharine Thalberg said there are increased traffic problems due to the streets that are blocked off to traffic. Ms. Thalberg told Council there is no lighting on Gillespie and North avenue; the lighting in the west end should be consistent. Councilman Tuite asked about increased police personnel in the west end. Goodwin said his department would have to stop doing something else. Goodwin pointed out the merchants wanted to see the police walking downtown, the Cemetery Lane residents would like traffic control as well as officers answering calls for service. Goodwin said he cannot promise this on a scheduled basis. Bruce Edmondson said the whole town is moving too fast; Main street is extremely dangerous and almost impossible to walk across. No one seems to have a consciousness about pedestrians. Edmondson suggested the city talk to the media and the community about creating a consciousness of having everyone slow down. Robert Razie said Aspen is becoming like everywhere else with a lot of noise, pollution, idling buses and equipment. Razie agreed there should be a community effort to slow down and suggested announce- ments after music or other events to that effect. Razie said the entire community is out of control with speed. Councilman Peters said he feels this is the way the town has chosen to develop. It is a big job to ask the police department to diffuse the choice of town. Bob Lewis agreed about the concern of safety in the downtown. Lewis said it is predicted the tourists and drivers will continue to increase 2 or 3 times in the next 10 years. Lewis suggested Council look into an expanded mall system and a car free downtown. If Council does not begin to keep cars out of downtown, there will be gridlock in a few years. 1 Regular Meeting Aspen City Council June 25, 1990 Councilman Peters asked the police department to supply Council with personnel implications from the outcome of the neighborhood meetings. Goodwin said he does not have the resources to provide coverage for every neighborhood the way people would like it. Goodwin told Council he will come back with some alternatives from the neighborhoods and the cost implications. Jacob Lieberman suggested a banner across Main street alerting drivers that pedestrians have the right of way. 2. Al Blomquist told Council that Lyle Reeder has closed off the trail on his property up on Shadow Mountain. Bill Efting, assistant city manager, told Council staff is aware of this closure and is negotiating with Reeder. Jed Caswall, city attorney, told Council he is working on the prescriptive easement aspects of this. COUNCILMEMBER COMMENTS 1. Councilman Peters said there seems to be a lot of vested rights ordinances and asked if there is another way Council can do this. Amy Margerum, planning director, said state statute requires Council to have a public hearing. Vested rights can now be incorporated into final approval ordinances; however, there are some projects which receive final approval from P & Z and will still have to have a vesting ordinance. 2. Councilman Peters moved to remove O'Leary's encroachment request from the consent agenda; seconded by Councilwoman Pendle- ton. All in favor, motion carried. 3. Councilwoman Pendleton thanked everyone who worked on and who came to the town meeting. Councilwoman Pendleton suggested a work session as a follow up to see how some of the suggestions might be implemented. 4. Councilman Tuite asked about IX(g) Loan Agreement Approval Housing Authority Hopkins Property. Council agreed to discuss this at the July 2nd work session and to put this on the July 9th agenda. 5. Councilman Tuite told Council it appears RFTA and the Ski Company have reached a consensus on the bus service. 6. Councilman Tuite asked about the fireworks and Fourth of July since it is so dry. John Goodwin, police chief, told Council he is meeting with the fire department this week to discuss the Fourth of July and fireworks. 2 Regular Meeting Aspen City Council June 25, 1990 CONSENT AGENDA Councilman Peters moved to approve the consent agenda as amended; seconded by Councilwoman Pendleton. The consent agenda is: A. Resolution #26, 1990 - Polling Places B. Minutes May 1; June 11, 1990 All in favor, motion carried. ENCROACHMENT REQUEST - O'Leary's Jed Caswall, city attorney, told Council O'Leary's presently has a 3 foot encroachment for a wooden deck facing Hyman street which has been there for 5 to 7 years. In 1983 the then lessee of the property requested an encroachment which was denied by Council. Caswall told Council the engineering department has tried to contact the owner of the property to discuss this encroachment; all requests have been ignored. When O'Leary's applied for their liquor license renewal, it was determined they did not have possession to the premises they sought to have licensed. O'Leary's has now sought an encroachment license to maintain the deck and to be able to serve alcohol. Chuck Roth, engineering department, told Council staff has recommended denial because the applicant did not come in for a building permit and a permit to build in the right-of-way. Staff is basing this denial on the denial by Council in 1983. Paul Taddune, representing the applicant, said the current operator of O'Leary's is an innocent victim. When they purchased the business the deck was already there. O'Leary's has now done what the city has requested. Roth said this may not be a proper use for the public right-of-way and could be a precedent for other restaurants. Caswall said an encroachment license has benefits for the city, and there are equities that weight in favor of the applicant. Caswall told Council from a liability standpoint, the city knows there is an encroachment in the right-of-way and has liability for allowing it to remain. Caswall said the choices are to have the applicant remove it, the city remove it or enter into a license agreement. In this agreement the licensee assumes the legal liability for this encroachment. An encroachment license can be revoked at any time upon notice to the licensee. The license specifies when the encroachment is withdrawn, the licensee is financially responsible to remove the encroachment. The encroachment license requires the licensee to have public liability insurance in an amount reflecting that the city is exposed to. Caswall pointed out right-of-way is one area in which the city can be sued and governmental immunity is waived. The license requires O'Leary's to have public liability insurance for that encroached area and the city is to be named co- insured. 3 Regular Meeting Aspen City Council June 25, 1990 Councilman Peters moved to approve the encroachment license; seconded by Councilwoman Pendleton. Councilman Peters said this encroachment is only 3 feet and is for an establishment that is well run and used by locals. However, this encroachment was established by flaunting Council's action and staff. Councilman Tuite said he would like staff to work a policy out in the next few months. All in favor, motion carried. LIQUOR LICENSE RENEWAL - O'Leary's Jed Caswall, city attorney, told Council this has been noticed as a public hearing in order for the applicant to show possession of the overall premises. Councilman Tuite opened the public hearing. There were no comments. Councilman Tuite closed the public hearing. Councilman Peters moved to approve the renewal for the liquor license for O'Leary's; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #38, SERIES OF 1990 - Bennett Condominiumization Councilman Tuite opened the public hearing. There were no comments. Councilman Tuite closed the public hearing. Kim Johnson, planning department, told Council this is a condo- miniumization of a duplex at 534 Spruce Street. The applicant needs to comply with the conditions granting this including the technical requirements for platting. The planning department has required an affordable housing impact fee to be paid by the applicant or they file deed restrictions on their unit. One unit is an accessory dwelling unit. Councilwoman Pendleton moved to adopt Ordinance #38, Series of 1990, on second reading; seconded by Councilman Peters. Roll call vote; Councilmembers Pendleton, yes; Peters, yes; Tuite, yes. Motion carried. ORDINANCE #39, SERIES OF 1990 - Amending Corkscrew Employee Housing Councilman Tuite opened the public hearing. There were no comments. Councilman Tuite closed the public hearing. Chuck Brandt, representing the applicant, told Council the applicant owns a one-bedroom 650 square foot price restricted to moderate unit. The applicants requested release of the deed 4 Regular Meeting Aspen City Council June 25, 1990 restriction of the rental unit in exchange for a two-bedroom 800 square foot unit. The applicants paid $150,000 for the substitute unit and have agreed to do some refurbishing. The original ordinance adopted in December had an error, which this ordinance is resolving. Brandt requested changing the classification for resale from low to moderate. If the unit is sold in the low category, there will be a $35,000 loss. Changing the unit to moderate will still result in a $9,000 loss. Councilman Peters said what the community has lost over a number of year is the accessibility of this unit, which has been empty for 7 years. Councilman Peters said he feels this is creating a windfall for the applicant. Councilman Peters said it can also be argued that Contran Corporation is gaining $80,000 by not having a deed restricted unit on site. Councilwoman Pendleton agreed and supports the ordinance as written. Councilman Tuite said he would support changing the category to moderate. Councilman Peters moved to adopt Ordinance #39, Series of 1990, on second reading; seconded by Councilwoman Pendleton. Roll call vote; Councilmembers Peters, yes; Pendleton, yes; Tuite, no. Motion carried. ORDINANCE #42, SERIES OF 1990 - Appropriations Councilman Tuite opened the public hearing. There were no comments. Councilman Tuite closed the public hearing. Councilman Peters moved to adopt Ordinance #42, Series of 1990, on second reading; seconded by Councilwoman Pendleton. Roll call vote; Councilmembers Pendleton, yes; Peters, yes; Tuite, yes; Motion carried. 1989 FINANCIAL STATEMENTS Jerry Alger, Grant Thornton city's auditors, told Council the auditors did not have any qualifications nor any findings to be mentioned in the report; this is a clean opinion. Alger told Council in the general fund revenues increased $950,000. Alger said overall there was a drop in the fund balance of $300,000 comparing to a drop of $500, 000 in 1988 . There is a trend to spend more than is being taken in. There is a carry over balance of $1,800,000 representing 3 months of normal activities, which is good from a bond raters' standpoint. Alger said in the land acquisition revenues there was $6,600,000 compared to $4,000,000 in 1988. $1,000,000 is a one-time payment for Truscott place another $1,000,000 was from new sources of revenue. There are adequate revenues to meet the debt service requirements. Overall operations for the year were good. The 5 Regular Meeting Aspen City Council June 25, 1990 balance sheet shows a stable position in relation to prior years. Alger said the city personnel are doing a good job and the audit went well. Councilman Peters asked about the disaster recovery. Cindy Wilson, finance director, told Council data processing is working on outside storage and how much there should be. One concern is how much backup there should be, like another entire computer system or just backup information. On the gasoline inventory, public works department is looking into a program which they may share with the county. Councilman Peters moved to accept the 1989 financial statements as presented; seconded by Councilwoman Pendleton. All in favor, motion carried. MODIFICATION OF ANIMAL CONTROL RESPONSE John Goodwin, police chief, pointed out over the years the animal control calls have increased; the wildlife calls have increased in the same proportion. Last year these increased 10 percent without an increase in personnel. Goodwin told Council they are looking at ways to decrease some of their responsibility. One thing they looked at was wildlife calls as statutorily they are not required to go to these calls. Skunks and raccoons are the main wildlife calls. Goodwin said one alternative is to go on a call for the first time, give some advice on how to keep this from happening. A second call would be $50. Goodwin told Council it takes approximately 100 minutes to handle a skunk call. Another alternative is to move personnel from parking control to animal safety areas. Someone asked if the skunks had to be put away. Goodwin passed out the health code, Section 25 C.R.S. requiring if the police department picks up a skunk, it has to be killed. Originally skunks were picked up because they were thought to be rabid. Councilwoman Pendleton said she would support dealing with this by changing some time priorities around within the department. Councilwoman Pendleton said she would like to see skunk control not dropped but to be taken care of by the city. Councilman Peters agreed and said this is a public safety issue. Asking people who are not trained to dispose of these animals is asking for trouble. Council agreed the city should continue skunk control until there is a private sector willing to take this over. Council agreed to provide one free wildlife response per residence per year and change a fee after that. Carol O' Dowd, city manager, said charging something after the first call makes sense; this is not a service that benefits everyone. Ms. O'Dowd said staff will draft an administrative policy. 6 Reqular Meetinq Aspen City Council June 25, 1990 ORDINANCE #44, SERIES OF 1990 - Amending Noise Ordinance Councilman Peters moved to read Ordinance #44, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #44 (Series of 1990) AN ORDINANCE REPEALING AND REENACTING SECTIONS 16- 3 (b) (20, 16-3 (b) (2) (a) AND 16-3 (b) (3) (a) OF THE ASPEN MUNICIPAL CODE PROVIDING FOR THE REGULATION OF AMPLIFIED MUSIC was read by the city clerk Councilman Peters moved to adopt Ordinance #44, Series of 1990, on first reading; seconded by Councilwoman Pendleton. There was no staff present to discuss the ordinance. Councilman Peters withdrew his motion. ICE RINK CONCEPTUAL PUD REVIEW Councilman Tuite opened the public hearing. Leslie Lamont, planning office, told Council this is a conceptual PUD for the parcel of land between Durant and Dean streets, a portion of lot 5 of the Aspen Mountain PUD. The ice rink and park are a portion phase two. Ms. Lamont said there are other acti- vities requested for the lot; Zamboni storage, pro shop, skate rental area, locker rooms and some level of food service. The applicants are requesting that the food service be an GMP exemption and not be reviewed until step four. Staff feels the food service issue should be discussed at step two. This project was reviewed by P & Z twice. P & Z felt Durant street needed to be brought in more with the parcel so there is more of a public appeal. Staff and P & Z want a discussion of the level of food service with the applicant. Ms. Lamont said in the food service, the hours of operation should coincide with the hours of operation of the rink and that no liquor license should be considered. P & Z felt the food service should be cafeteria style without waitpersons. The applicant should clearly indicate how the food service will be subordinate to the other activities of the ice rink. The applicant requested a 72 seat food service area. Ms. Lamont told Council staff did some comparisons with restaurants in the community and feels comfortable that 72 seats is not too big. Staff and P & Z feel food service is a necessary activity on this site. Ms. Lamont told Council staff feels strongly any space used for food service should be either competed for under GMP or should be taken out of the 115, 000 7 Reaular Meetina Aspen Citv Council June 25, 1990 square feet the applicant has allocated for phase two of the PUD. Ms. Lamont pointed out there is not a competition in the park zone; however, this parcel is currently located in the CL zone. The second issue is public use of the park and rink. Ms. Lamont said it is important this function as a community amenity. To insure this, staff is asking the applicant to identify by whom and when the park will be used. Any private functions will require a special events permit, which will also enable people to apply for a special event liquor license permit. Ms. Lamont recommended a draft deed restriction be submitted with the final application. Perry Harvey, representing the applicant, showed a location plan of lot 5. The entire parcel of lot 5 is 113,000 square feet. Under the underlying zoning it will take 128,000 of FAR. The applicants agreed in discussions leading to the amended PUD that the applicants would do 115, 000 square feet of FAR exclusive of any FAR approved for the northern portion of lot 5, the park and ice rink. Harvey said during the process it was also agreed not to go back and request GMP for any additional FAR for any part of the PUD. Harvey pointed out the northern 27,000 square feet of lot 5 allows for 42,000 square feet of FAR in CL which has 2:1 FAR. By agreeing this would be open space and a community activity center, all the FAR was moved to the rear portion of the lot. Harvey told Council the applicants have submitted the application for all of lot 5 calling for a park and ice rink, a total of 24 hotel rooms, 37 residential units, 115,000 square feet of FAR. Because of time constraints, the ice rink portion has been split off. Harvey said at a conceptual level the applicant is taking Council through how they got to where they are and what they are trying to do and get some feedback about uses, etc. Harvey told Council a hockey rink is 85 by 180; a minimum studio rink is 60 by 150; the applicants rink is 70 by 170 feet. Harvey said they wanted the rink as large as possible in order to do skating shows and to accommodate as many people as possible. Harvey showed the entry at the corner. The surface is 4 feet below the level of Durant street and 10 feet below Dean street. All the equipment is underneath so pedestrians can walk onto a plaza overlook. Harvey said the applicants want to make this as active a center as possible. Harvey said this will be an artificial rink with a shade structure of fabric panels that can be pulled back at night. The lighting for the rink will be as low as possible to illuminate the rink without impacting pedestrians and automobiles. The proposed restaurant has a footprint of 935 square feet. Harvey pointed out that every two hours the rink has to be cleared in order for the Zamboni to go over it's surface. There has to be 8 Regular Meeting Aspen City Council June 25, 1990 a place for people to go during that 15 minutes. Harvey told Council they envision this area as an activity center in the summer time for fund raisers, art exhibits, etc. and this should have a liquor license. Harvey said he would prefer not to come back to Council every meeting to get a special event permit. Harvey said the applicants will outline the hours of public use. Harvey told Council they feel the food service is an essential community service and for this facility. Councilman Peters said he would like the food service element dropped from the application. Councilman Peters said the property should be treated the way it has been represented to the public; that it will be provided as a public park and ice rink rather than limiting its use. Councilman Peters said he would rather rely on the integrity of zoning this parcel park rather than a deed restriction. Councilman Peters said if there is a deed restric- tion, he would like the applicant to address specifically what the public access is going to be; that food service not be allowed and that 1 iquor could be served during specific approved special events rather than having a liquor license. Councilman Peters said this will be a place used by kids and a liquor license is not appro- priate. Councilwoman Pendleton said she feels the food service is an essential part of the application. This is not the same kind of ice rink that the city runs. If this is going to be multifunc- tional, it should have a restaurant. Councilwoman Pendleton said a restaurant should be very scaled down with a kitchen that could be used for catering special events. Councilwoman Pendleton said if the restaurant is essential, it should be built at the same time the ice rink is built. Councilwoman Pendleton said a liquor license in not appropriate. Councilman Tuite said the ice rink was always represented as being for the community. Councilman Tuite said the ice rink was clas- sified as an amenity; however, the public use has not been tied down, the fees have not been discussed. Councilman Tuite asked what the guarantee is that this facility will be operated during the winter for the benefit of the community. Harvey said in the deed restrictions or use permits or documentation of the zoning, there will be hours of operation. Harvey told Council they intend to market this through lodges and to have season passes. Council- man Tuite said the food service facility should either be competed for or should come out of the 115,000 square feet. Ms . Lamont said before final application the submission should have how the food service element will be handled, the hours of opera- tion, that the food service will be operated the same hours as the ice rink. The level of service should be very minimal for food service; no liquor license, and no exemption for the food service 9 Regular Meeting Aspen Citv Council June 25. 1990 element. Amy Margerum, planning director, pointed out the plan has a space for a pro shop and sale of skating related items. Council- members Tuite and Pendleton said this facility goes with an ice rink. Councilman Peters said he does not feel this is an ap- propriate use. Harvey pointed out that in order to get the desired rink size and to maintain the circulation in the plaza, the applicants are asking to encroach 8 feet into Durant street. The rink will be 6 feet into Dean street. Harvey said one of the original issues in the PUD was to get people to cross at corners of Durant. The plan has tried to create a landscape buffer for dust and noise and retain a sidewalk where people can look into the rink. Councilman Peters said he does not feel an encroachment is appropriate on the Durant side. Harvey said they can eliminate the planting. The applicants are trying to create a rink that will last into the future and were told that 60 by 150 is the absolute minimum skating rink size. The proposed rink is 70 by 170. Harvey said they can shrink the rink. Councilwoman Pendleton said she would not like to see the rink shrunk. Councilman Peters complimented Chuck Roth, engineering department, for a thoughtful memo on landscaping and right-of-way. Councilwoman Pendleton moved to grant conceptual PUD review for the ice rink/park for lot 5 Aspen Mountain subdivision PUD with conditions as recommended by P & Z and Council; seconded by Councilman Tuite All in favor, with the exception of Councilman Peters. Motion carried. ORDINANCE #46, SERIES OF 1990 - Sanders Vested Rights Councilman Peters moved to read Ordinance #46, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #46 (Series of 1990) AN ORDINANCE OF THE CITY OF ASPEN VESTING THE DEVELOPMENT RIGHTS FOR THE SANDERS STREAM MARGIN REVIEW was read by the city clerk Councilman Peters moved to adopt Ordinance #46, Series of 1990, on first reading; seconded by Councilwoman Pendleton. Roll call vote; Councilmembers Peters, yes; Pendleton, yes; tuite, yes. Motion carried. ORDINANCE #47, SERIES OF 1990 - Arundale Vested Rights Councilman Peters moved to read Ordinance #47, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. 10 Regular Meeting Aspen City Council June 25, 1990 ORDINANCE #47 (Series of 1990) AN ORDINANCE OF THE CITY OF ASPEN VESTING THE DEVELOPMENT RIGHTS FOR THE ARUNDALE STREAM MARGIN REVIEW was read by the city clerk Councilman Peters moved to adopt Ordinance #47, Series of 1990, on first reading; seconded by Councilwoman Pendleton. Roll call vote; Councilmembers Pendleton, yes; Peters, yes; Tuite, yes. Motion carried. LOAN AGREEMENT - Housing Authority Hopkins Property Councilman Tuite moved to table this item; seconded by Councilman Peters. All in favor, motion carried. WATER AGREEMENTS - Red Mountain John Musick, water counsel, told Council the water agreements and ordinances have been renegotiated. There are two agreements; West Red Homeowner's and Leslie Wexner. The homeowners are represented by a board of trustees who requested a time payment provision be inserted to give them 3 0 , 60 and 9 0 days . The homeowners will have to file an action in court to secure the approval for this agree- ment if they are unable to get unanimous approval by all home- owners. The payments will be $60,000, $40,000 and $59,000 in 30, 60 and 90 days from the date of approval of the agreement. The Wexner agreement has had some minor amendments. Musick said the city needs to secure easements for these projects, some of which are not on land owned by West Reds or by Wexner. The Wexner easements are approved. The West Reds easements need to be approved either by the court or by unanimous approval of all the homeowners. Musick said there are at least two people who do not want to give approval. Musick told Council this morning the homes in West Reds did not have any water supply. There is a single source of supply for water and no fire protection. Walter Ganz, homeowner, said there is a meeting of the homeowners association in early July and they may be able to get approval. Musick pointed out the city has no obligation to serve these homeowners. Musick told Council the Board for one of the easements has ex- pressed approval but needs to have a homeowners meeting in order to do it formally. The owner of property for another easement has been out of town for weeks and unreachable. Musick told Council the bids on these projects expire July 2. Rich Cassens told Council the city has received one 30-day extension on each contract on Red Mountain. Cassens said the landscaping and revegetation of the Red Mountain tank cannot be completed this year if the project 11 Reaular Meetina Aspen Citv Council June 25, 1990 is delayed any longer. Musick recommended Council not notice award of bids until the easements are all signed. Councilman Peters amended Ordinance #50 to reflect Council direc- tion to Musick to not proceed with any contracts unless bid extensions are received until after the date for second reading and that approval of first reading is contingent upon all easements being acquired to no consideration; seconded by Councilwoman Pendleton. Councilman Peters moved to read Ordinance #50, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #50 (Series of 1990) AN ORDINANCE ENTITLED: APPROVAL OF WATER SERVICE AGREE- MENT WITH LESLIE WEXNER was read by the city clerk Councilwoman Pendleton moved to adopt Ordinance #50, Series of 1990, as amended on first reading; seconded by Councilwoman Pendleton. Roll call vote; Councilmembers Pendleton, yes; Peters, yes; Councilman Tuite, yes. Motion carried. Councilman Peters moved to read Ordinance #51, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #51 (Series of 1990) AN ORDINANCE ENTITLED: APPROVAL OF WATER SERVICE AGREEMENT WITH THE RED MOUNTAIN PROPERTY OWNERS ASSOCIA- TION was read by the city clerk Councilman Peters moved to adopt Ordinance #51, Series of 1990, amended to reflect Council direction to Musick to obtain all easements and contract extensions; seconded by Councilwoman Pendleton. Roll call vote; Councilmembers Peters, yes; Pendleton, yes; Tuite, yes. Motion carried. ORDINANCE #52, SERIES OF 1990 - Twin Ridge Employee Housing John Musick, city's water counsel, told Council two easements are required; one from the Aspen Highlands Skiing Company, who have conceded to grant the easement; and one from James Moore. Musick told Council the Moores have been very cooperative with the city; however, there is no signed easement yet. Musick recommended Council approve this ordinance on first reading with the same contingencies as the previous ordinances. Musick said there is no financial consideration from the housing authority to the city. 12 Regular Meeting Aspen City Council June 25, 1990 The housing authority had originally designed to pay some 70 percent of the outstanding tap fees for connection of the Twin Ridge. After the adoption of the employee tap fee waiver provision by Council, they rebudgeted and deleted the amount necessary for tap fees. Councilman Peters moved to read Ordinance #52, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. ORDINANCE #52 (Series of 1990) AN ORDINANCE ENTITLED: EXTENSION OF MUNICIPAL WATER TRANSMISSION LINES TO THE ASPEN/PITKIN COUNTY HOUSING AUTHORITY PROPERTY was read by the city clerk Councilman Peters moved to adopt Ordinance #52, Series of 1990, on first reading, conditioned upon obtaining the proper easements from Highlands and Moore and extensions for all bids to after second reading; seconded by Councilwoman Pendleton. Councilman Peters said he feels it is appropriate for the city to waive tap fees for 100 percent affordable housing projects. It seems the city is indirectly building the health and human services building by waiving tap fees. Roll call vote; Councilmembers Peters, yes; Pendleton, yes; Tuite, yes. Motion carried. WATER AGREEMENTS - Buttermilk Mountain John Musick, city's water counsel, told Council there are two outstanding agreements, Aspen Buttermilk Associates and Maroon Creek Development Corporation, as well as easements from ABA and Art and Betty Pfister. The ABA have approved the agreements and the easements . Musick told Council the Pfisters own property which MCDC has an option to purchase. The easements must be approved by the Pfisters as well as MCDC and the lessee, the Skiing Company. All parties have approved the easements in concept; they have not been executed. Pfister is also agreeable to executing the water service agreement, which conveys all water rights to the city in terms of leaseback for Pfister. Musick told Council until they exercise a stage 1 water curtailment, they may not exercise the benefits of these water rights. Musick said there is a raw water lease back to the Pfisters or to MCDC requiring them to use the water for beneficial use, which keeps their historical value up and keeps the water rights valuable for the city. Councilman Peters said this agreement has gotten worse as it has evolved. This may be approving a water system for 13 Regular Meetinct Aspen CitY_Council June 25, 1990 a project that is not even designed yet. Musick said the only contingency is if the county shuts down the MCDC, they are not willing to proceed with no development rights. This was originally part of the comprehensive water management plan and stands on its own merit . Council specifically rejected funding this project and requested public works find another method that the line could be designed, the same benefits achieved and this could be paid for by a developer. This accomplishes that. Councilman Peters said the issue is not answered whether the highway department will pay for relocation of the line. Councilman Peters said he would like an opinion on that by second reading. Councilman Peters pointed out this agreement is allowed to stand through litigation and could be in effect for years and years. Musick agreed this has not been the policy of the city. The alternative is for the city to construct the capital system as soon as is reasonably feasible. Musick said the way Council is proceed- ing is the best alternative without the capital to build the line. Developing the 1 ine in an area where it connects with customers who can pay for the cost of development is a reasonable alternative for the city. The water rights provide significant additional benefit for the city. Councilwoman Pendleton said she feels the pluses outweigh the minuses. Councilwoman Pendleton moved to read Ordinance #48, Series of 1990; seconded by Councilman Peters. All in favor, motion carried. ORDINANCE #48 (Series of 1990) AN ORDINANCE ENTITLED: APPROVAL OF WATER SERVICE AGREE- MENT WITH THE MAROON CREEK DEVELOPMENT CORPORATION was read by the city clerk Councilwoman Pendleton moved to adopt Ordinance #48, Series of 1990, on first reading with the conditions that the easements be acquired and the contracts be extended; seconded by Councilman Peters. Roll call vote; Councilmembers Peters, yes; Pendleton, yes; Councilman Tuite, yes. Motion carried. Musick said on Aspen Buttermilk Associates all conditions have been approved. The reason for the modification of the agreement is ABA is willing to commit to purchase 3 taps, which was an offer to try and make this process somewhat easier. Councilman Peters moved to read Ordinance #49, Series of 1990; seconded by Councilwoman Pendleton. All in favor, motion carried. 14 Regular Meeting Aspen City Council June 25. 1990 ORDINANCE #49 (Series of 1990) AN ORDINANCE ENTITLED: APPROVAL OF WATER SERVICE AGREE- MENT WITH THE ASPEN BUTTERMILK ASSOCIATES was read by the city clerk Councilwoman Pendleton moved to adopt Ordinance #49, Series of 1990, on first reading; seconded by Councilman Peters. Roll call vote; Councilmembers Pendleton, yes; Peters, yes; Councilman Tuite, yes. Motion carried. Musick told Council the city manager has laid out a policy regard- ing annexation and extension of water utilities. Carol O'Dowd, city manager, questioned putting large capital investments into areas that are not part of the city unless they are planning to be included in the city. Councilman Tuite said the city has done analysis showing under the existing tax structure, if the areas are annexed, the city loses money. It costs more to provide services than what they are paying in property taxes. Councilman Tuite said to force annexation on something that costs the taxpayers money does not make good business sense. Ms. O'Dowd said the annexation issue needs to be analyzed and from an enfranchisement standpoint, and the issue of which entity should be providing urban services. Councilman Tuite said the city needs a plan with the county and to date, the county has rejected that plan. Council adjourned at 9:00 p.m. ..~ y ~~ ~ ~ ~ ~~~ ~. ~~ Kathryn Koch, City Clerk 15