HomeMy WebLinkAboutordinance.council.001-90 ORDINANCE NO. 1
(Series of 1990)
AN ORDINANCE OF TH~ CITY COUNCIL OF THE CITY OF ASPEN A~NDING
THE MUNICIPAL LAND USE CODE AS FOLLOWS: REPEAL ARTICLE 5,
DIVISION 7 OF CHAPTER 24, HOUSING REPLACEMENT PROGRAM AND i~EPLACE
IT WITH A NEW CHAPTER 18 RESIDENT MULTI ~FAMI LY HOUSING
REPLACEMENT PROGRAM; AMEND SECTION 8-104(A) (1) (a) (1)~ (4) AND (c)
GROWTH MANAGEMENT QUOTA SYSTEM EXEMPTION BY PLANNING DIRECTOR;
AMEND ARTICLE 3 DEFINITIONS; AMEND SECTION 5-508 (A) ACCESSORY
DWELLING UNITS; AND AMEND SECTION 7-1007 (A) (1) (c)
CONDOMINIUMIZATION,
WHEREAS, the City Council has determined that, as a result
of unremitting market pressure to redevelop residential
properties as housing for tourists and second home owners, large
portions of the existing inventory of single-family, duplex and
multi-family dwellings in the City are threatened with demolition
and extinction, which in turn produces a serious depletion in the
stock of affordable housing in Aspen, resulting in the permanent
displacement of individuals and families who are an integral part
of the Aspen community and workforce, and irrevocably changing
the character of existing neighborhoods which have traditionally
been comprised of a broad mix of housing types, including owned
and rental units affordable by working residents; and
WHEREAS, the preservation of the stock of affordable housing
and/or providing for its replacement within established
neighborhoods will promote the long-standing community goals of
insuring a socially and economically balanced community, thereby
avoiding an imbalance between Aspen as a resort and Aspen as a
community, ensuring the continued viability of Aspen-area
businesses, preventing overcrowding which results from an
inadequate supply of affordable housing, reducing the number of
local employees forced to make the long and often dangerous
co~umute on State Highway 82, and mitigating the adverse energy
and air pollution impacts of such commuting; and
W~EI{EAS, the City Council has determined that the expansion
of commercial activity in Aspen and, as a consequence, the
increased demand for employees, is a direct result of the
increased production of residential dwelling units devoted to
tourist and second home use. A large portion of that increased
production results from the conversion of workforce housing to
second homes and from the construction of new second homes on
vacant lots. Because of exemptions from growth management
competition, virtually none of such second home development has
been required to mitigate affordable housing impacts. Thus, the
conversion of existing workforce housing to second homes not only
results in displacement of working residents, but at the same
time increases the demand for services and commercial activity,
thereby increasing the workforce required in order to provide
those services and to support those activities. As the permanent
and transient workforce continues to increase, the supply of
affordable housing is steadily decreasing; and
W~REAS, the City Council has determined that the Aspen Land
Use Regulations do not presently provide adequate impact
mitigation standards for the review of resIdential development
applications for the new development or redevelopment of land for
single-family and duplex units or for the demolition and
reconstruction of multi-family dwelling units; and
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W}{EREAS, the City Council has determined that the most
equitable method of providing for the mitigation of the
aforementioned negative impacts is to amend the GMQS exemption
requirements for single-family and duplex structures and, with
respect to multi-family structures which have historically been
used as housing for working residents, to require that no less
than 50% of the square footage of net residential area demolished
and no less than 50% of the bedrooms demolished be replaced and
restricted as affordable housing, as more particularly described
herein; and
WHEREAS, the regulations contained here are intended to
alleviate the adverse impacts identified above in concert with
other regulations which together form a balanced and
comprehensive program to assure an adequate supply of affordable
housing. The program is balanced in the sense that the public
costs are allocated as fairly and broadly as possible and the
program is comprehensive in the sense that it addressees all of
the affordable housing needs of the community; and
W}{EREAS, the City Council has determined that there is a
direct correlation between the extent of the mitigation required
(i.e., the construction of an accessory dwelling unit, the
payment of an impact fee or the replacement of demolished multi-
family units) and the benefits and privileges conferred upon the
applicant for a permit to construct or substantially enlarge a
single-family or duplex unit or to demolish a multi-family
structure; and
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Wh~EREAS, the city Council has determined that the owners of
property subject to the provisions hereof will not be precluded
by the application of this regulation from making profitable use
of their property, and that the regulations contained herein
represent a rational attempt to accommodate and balance the
conflicting interests of assuring an adequate supply of
affordable housing while also assuring that property owners will
enjoy a fair return on their investment; and
WHEREAS, the mitigation requirements of this regulation are
substantIally related to a legitimate state interest, to-w~t: the
assurance of an adequate supply of affordable housing for the
benefit of working residents, local businesses and the community
at large; and the provisions of this regulation will
substantially and directly serve to promote that state interest;
and
WHEREAS, the City Council has determined, on the basis of
planning studies and empirical analysis, that the development or
redevelopment activities regulated hereunder have created the
need for the mitigation measures required by this regulation; and
WR-EREAS, the City Council has determined, on the basis of
planning studies, the needs assessment analysis conducted by the
Aspen/Pitkin County Housing Authority, and other empirical data,
that any new housing produced as a result of the mitigation
requirements hereof will be occupied by working residents who
would otherwise not be able to secure housing in the Aspen area
as a result of market conditions; and
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W}IEREAS, the regulations contained herein are adopted hereby
in direct response to the problems identified in Ordinance 58,
Series of 1989, which extended the administrative delay on duplex
and multi-family demolition until February 27, 1990; and
W~EREAS, the Aspen Planning and Zoning Commission held a
work session on November 14, 1989 and held duly noticed public
hearings on November 28, December 5 and December 12w 1989 to
consider the issues addressed herein and to make recommendations
to the City Council. Those recommendations were contained in
Planning Commission Resolution 16, Series of 1989, and were
considered by the City Council in the adoption of this ordinance;
and
W}{EREAS, the City Council has held meetings on December 21,
1989 and January 8, 1990 to discuss the regulations contained
herein and has held duly noticed public hearings on January 22,
1990 and February 12, 1990.
NOW, THEREFORE, BE IT ORDAINED BY TP~E CITY COUNCIL OF THE
CITY OF ASPEN:
Section 1
That Article 5, Division 7 Housinq ReDlacement Proqram is
hereby repealed and a new Chapter 18 of the Municipal Code
entitled "Resident Multi-Family Housin~ ReDlacement Pro,ram", is
hereby adopted to read as follows:
Chapter 18
Resident Multi-Family Housinq Replacement ProGram
INDEX
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I. Introduction
Section 18-1.1 Title
Section 18-1.2 Purpose and Intent
II. Application of Chapter
III. General Provisions
Section 18-3.1 Definitions
Section 18-3.2 Certificate of Compliance/Exemption
Section 18-3.3 Housing Replacement Requirements
IV. Affordable Housing Fund
V. Rental and Resale Restrictions
I. Introduction
Section 18-1.1. Title
This regulation shall be called and may be
referred to as the "Resident Multi-Family Housing
Replacement Program" or the "Replacement Program".
Section 18-1.2. PurDose and Intent.
The City of Aspen's neighborhoods have traditionally
been comprised of a mix of housing types, including those
which are affordable by its working residents. However,
because of Aspen's attractiveness as a resort environment,
and because of the physical constraints of the upper Roaring
Fork Valley, there is constant pressure for the
redevelopment of dwellings, which now provide resident
housing, for tourist and second home use. Such
redevelopment results in the d~splacement of individuals and
families who are an integral part of the Aspen work force.
Given the extremely high cost of and demand for market-rate
housing, resident housing opportunities for displaced
working residents, which are now minimal, will continue to
decrease.
Preservation of the housing inventory and provision of
dispersed housing opportunities in Aspen have been long-
standing planning goals of the community. Achievement of
these goals w~ll serve to promote a socially and
economically balanced community, limit the number of
individuals who face a long and sometimes dangerous commute
on State Highway 82, reduce the air pollution effects of
commuting and prevent exclusion of working residents from
the city's neighborhoods.
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In its Housing Master Plan, the City has established a
goal that affordable housing for working residents be
provided by both the public and private sectors. The City,
through its housing designee, has provided affordable
housing both within and adjacent to the City limits. The
private sector has also provided affordable housing through
the GMQS process.
Nevertheless, as a result of the replacement of
resident housing with second homes and tourist
accommodatIons, and the steady increase in the size of the
workforce required to assure the continued viability of
Aspen area businesses and Aspen's tourist based economy, the
City has found it necessary, in concert w~th other
regulations, to adopt limitations on the demolition of
existing multi-family housing in order to minimize the
displacement of working residents, to insure that the
private sector maintains its role in the provision of
resident housing, and to prevent a housing shortfall from
occurring.
II. ADDllcation of Chapter
This Chapter shall apply to the demolition of any
resident multi-family housing ("RMF Housing"), as defined
herein, in the City of Aspen or when two or more ownerships
of land, each of which contains one or more detached
residentIal or duplex units, is merged or otherwise combined
into a project for the purposes of demolition and
reconstruction of the units, excludIng any parcel
consolidated as a Specially Planned Area (SPA). No owner
shall cause the demolition of any RMF Housing unit without
first obtaining a Certificate of Compliance or a Certificate
of Exemption in accordance with the provisions of this
Chapter. The Building Department shall not issue a permit
for the demolition of any multi-family dwelling unit unless
the owner has obtained and presented to the Building
Department either a Certificate of Compliance or a
Certificate of Exemption issued in accordance with this
Chapter. Any RMF Housing unit which is ordered to be
demolished by any public agency, including the city, as a
result of damage caused by civil commotion or natural
disaster shall not be subject to the terms of this Chapter.
A certificate of compliance or a certificate of exemption
shall be issued by the City's Housing Designee only after
the owner has complied with the provisions hereof. This
Chapter shall not apply to the demolition or converted use
of any RMF Housing unit owned by the City of Aspen, the
Aspen/Pitkln County Housing Authority, or any public
development authority.
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III. General Provisions
Section 18-3.1. Definitions
(a) "Resident multi-family housing" and/or
"resident multi-family housing unit" shall mean any multi-
family dwelling unit, as defined in Section 3-101 of the
Aspen Land Use Regulations, which has historically been
occupied by working residents. RMF Housing does not include
a single-family or duplex dwelling unit or any multi-family
dwelling unit which has been exclusively utilized as a
tourist accommodation or occupied by an owner who does not
meet the definition of a working resident since the time of
its initial occupancy.
(b) "Housing Replacement Agreement" shall mean the
agreement between the City and the owner on forms to be
provided by the City which contain the terms by which such
owner shall be deemed in compliance with this Chapter.
(c) "Net residential area" shall mean the total number
of square feet of living space in a building based upon the
interior dimensions of each dwelling unit within such
building and excluding stairwells, halls, lounges, and other
common areas.
(d) "Owner" shall mean any person, firm, partnership,
association, joint venture, corporation, or change of use of
any affordable housing unit. The word "owner" shall also
include agents and other persons acting on the owner's
behalf.
(e) "Rented" or "rental" shall refer to occupancy of
an affordable housing unit pursuant to a lawful rental
agreement, either oral or in writing.
Section 18-3.2. Certificate of Compliance/Exemption.
Any owner, as a condition of receiving a permit from
the Building Department for the purpose of demolishing or
enlarging any multi-family dwelling unit, must first obtain
a Certificate of Compliance with the provisions of this
Chapter, or a Certificate of Exemption from the requirements
of this Chapter.
(a) Certificate of Compliance. In order to obtain a
certificate of compliance, the owner must:
(1) Submit to the housing designee a statement, on a
form to be provided by the City, certifyIng the
number of RMF Housing units and bedrooms to be
lost as a result of demolition and the ne__t
residential area to be lost by the demolition.
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(2) Where required, secure necessary land use
approvals and permits for the replacement housing
to be built on the site of the demolished or
enlarged building or on such other location as may
be approved.
(3) Execute a Housing Replacement Agreement setting
forth the terms and conditions upon which
replacement housing will be provided and either
operated or sold, which agreement shall be
recorded in the records of the Clerk and Recorder
of Pitkin County. The obligation to provide
replacement housing as set forth in the agreement
shall be secured by a bond, letter of credit, or
other security acceptable to the city.
(b) Certificate of Exemption. In order to obtain a
certificate of exemption, the owner must submit a statement
certifying that the dwelling unit is exempt from the
provisions of this Chapter, the basis upon which exemption
is claimed, and such additional documentation as may be
required by the housing designee in order to establIsh the
exemption. If the housing designee is satisfied that the
dwelling unit is exempt from the provisions of this Chapter,
a certificate of exemption shall be issued.
(c) Appeals~ Any person aggrieved by a decision of
the housing designee in the administration of this
Chapter may appeal such decision to the Aspen city
Council.
Section 18-3.3. Housing Replacement Requirements.
(a) Minimum replacement requirement. In the event of
the demolition of resident multi-family housing, the owner
shall be required to construct replacement housing
consisting of no less than 50% of the square footage of net
residential area demolished or converted. The replacement
housing shall be configured in such a way as to replace 50%
of the bedrooms that are lost as working resident housing by
demolition. A minimum of 50% of the replacement housing
shall be above natural grade. The replacement housing shall
be deed restricted as affordable housing in accordance with
the requirements of Section V, below.
(b) Location of reDlacement housinG. Multi-family
replacement units shall be developed on the same s~te on
which demolition has occurred, unless the owner shall
demonstrate that replacement of the units on-site would be
incompatible with adopted neighborhood plans or would be an
inappropriate planning solution due to the site's physical
constraints. When either of the above circumstances
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results, the owner shall replace the maximum number of units
on-site which the city Council determines that the site can
accommodate and may replace the remaining units off-site,
within the City of Aspen or the Aspen Annexation Area, as
defined within the Aspen Area Comprehensive Plan:
Annexation Element, 1988. When the owner's housing
replacement requirements involves a fraction of a unit, cash
in lieu may be provided to meet the fractional requirement
only.
(c) Tlminq and quality of replacement unit.
Replacement units shall be available for occupancy at the
same time as the new unit or units, regardless of whether
the replacement units are built on-site or off-site, and
shall contain fixtures, finish and amenities required by the
housing designee's guidelines. When replacement units are
proposed to be built off-site, the owner shall be required
to obtain a development order approving the off-site
development prior to or in conjunction with obtaining a
development order approving redevelopment or the site on
which demolition is proposed to take place.
IV. Rental and Resale Restrictions
Replacement units shall be subject to deed restrIctIon
in a form and substance acceptable to the City Council.
Such deed restricted units may only be rented or sold to
tenants or buyers who meet the City's qualifications in
effect at the time of sale or rental, and at sale prices or
rental rates which are also in compliance with the City's
current regulations. The owner shall be entitled to select
tenants or purchasers subject to the aforementioned
qualifications. The mix of affordable housing units, as
between low, moderate and middle income, or resident
occupied, may be determined by the owner, provided that no
less than 20% of the bedrooms qualify as low income and no
more than 20% of the units are available as resident
occupied units.
Section 2
That Article S, Sec. 8-104 (A) (1) (a) (1) &(4) &(c) Growth
Management Quota System Exemption b¥ Planning Director be amended
to read as follows:
Sec. 8-104(A) (1) (a) Remodeling, restoration, or
reconstruction of existinq building.
(1) The remodeling, restoration or reconstruction of an
existing commercial, lodge or multi-family building
which does not expand commercial or office floor area
or create additional dwelling, hotel or lodge units or
10
involve a change of use. No bandit unit shall be
remodeled, restored or reconstructed unless it has
first been legalized pursuant to Section 5-510. To
obtain approval to reconstruct demolished commercial or
office floor area, the applicant shall demonstrate that
affordable housing and parking is provided for the
reconstructed floor area as if it were newly
constructed space.
(4) Replacement of demolished multi-family, residential
units shall be subject to the requirements of
~r-B~e~-~, the Housing Replacement-F~ Program.
(5) The remodeling, restoration or expansion of existing
single-family or duplex dwellings.
Sec. 8-104(A)(1)
(c) Detached single-family or duplex dwellln~ unit.
The construction of one (1) or two (2) detached residential
units or a duplex dwelling on a vacant lot which was
subdivided or was a legally described parcel prior to
November 14, 1977, which complies with the provisions of
Section 7-1004 (A) (5) or to replace after demolition one
(1) or two (2) detached residential units or a duplex
dwelling. This exemption shall not be applied to any lot
for which any other development allotment is currently being
sought or is approved. This exemption shall only apply if:
(1) Single-family option: the applicant provides an
accessory dwelling unit, pays the applicable affordable
housing impact fee or provides a resident occupied deed
restriction on the single-family dwelling being
constructed. All of these options are at the property
owner's discretion;
(2) Duplex option: the applicant provides one free
market/one resident occupied unit, the resident
occupied unit shall be a minimum of 1500 s.f.; two
free market, with one accessory dwelling unit~the
accessory dwelling unit must be a minimum of 600 s.f.;
two resident occupied units; or pays the applicable
affordable housing impact fee. These options are at
the property owner's discretion.
Section 3
That Article 5 of Chapter 24 of the Aspen Municipal Code is
hereby amended by the addition of a new Division 7, entitled
"AFFORDABLE HOUSING IMPACT FEE", to read as follows:
Division 7: AFFORDABLE HOUSING IMPACT FEE
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Section 5-701. ADDlicabilit¥
The provisions of t~is Division 7 shall apply in the
calculation of the affordable housing impact fee required in
Section 8-104(A).
Section 5-702. Calculation of Affordable Housinq ImDact Fee
The amount of the affordable housing impact fee is based
upon the public cost to provide affordable housing as a
result of the activity for which the fee is required. The
formula shall utilize the cash-in-lleu payment established
from time to time by the Aspen/Pitkin County Housing
Authority for moderate income employees and the square
footage of new floor area constructed as a result of the
demolition of a single family or duplex dwelling unit or the
construction of a new single family or duplex dwelling unit
on a previously vacant lot (the floor area of a demolished
dwelling unit shall be subtracted from the floor area of the
replacement dwelling unit). The formula assumes that for
every 3,000 square feet of new single family or duplex floor
area that the public will be required to provide housing for
one moderate income employee. The formula to be applied
shall be as follows: cash-in-lieu fee for moderate income
employees in effect at the time that the affordable housing
impact fee is due, divided by 3,000, and times the new
square footage.
Deferral of Affordable Housinq Impact Fee. If the owner of
a single-family or duplex unit for which an affordable
housing impact fee is due is a qualified working resident,
as that term is defined herein, the obligation to pay the
impact fee may be deferred, at the owners request, until
such time as the dwelling unit is sold to a buyer who is not
a qualified working resident. Furthermore, the amount of
the impact fee which is deferred shall be adjusted at the
time of resale in proportion to the change in value of the
subject dwelling unit from the value at the time the
obligation for the impact fee was incurred to the value on
the date of closing. The value at the time that the impact
fee is due shall be determined by the Chief Building
official on the basis of a current appraisals a reliable
opinion of value, assessed valuation, or such other method
as deemed appropriate. The value on resale shall be the
value of the total consideration paid by the buyer. In no
case shall the fee be adjusted downward to an amount less
than 25%, or upward to an amount greater than 50%, of the
impact fee which was deferred. The obligation for the
impact fee and the value of the dwelling unit at the time
the obligation is incurred shall be set forth in a written
document, signed by the owner or owners of the subject
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dwelling unit, and recorded in the records of the Pitkin
County Clerk and Recorder prior to the issuance of a
Certificate of Occupancy.
Section 4
Affordable Housing Fund. There currently exists in the
office of the City Finance Director and Affordable Housing Fund
into which all cash-in-lieu and other payments, contributions or
bond forfeitures made pursuant to the Aspen Land Use Regulations
as a result of affordable housing requirements are deposited.
Any and all funds paid to the City under this ordinance shall
also be deposited in the Affordable Housing Fund and shall be
used only for costs related to the production of affordable
housing within or adjacent to the C~ty of Aspen.
Section 5
That Article 3 Definitions shall be amended to include the
following new definitions:
"Housing Replacement Program" is a term which refers to the
program which is embodied in Chapter 18 and Article 8 (GMQS)
Section 8-104.;
"Working Resident" is a person who works in Pitkin County a
minimum of 30 hours per week, 9 months per year, or who is
handicapped based upon the Housing Authority Guidelines, or who
is a former working resident who is a senior (60 years or older)
or retired and, for the purpose of deferral of housing impacts,
must be utilizing the dwelling in question as a primary
residence.
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The definition of Demolition shall be amended to read as follows:
Demolition means to tear down completely, to do away with or to
raze. For the purposes of this definition a building shall be
deemed to be demolished if less than 50 % of the existing primary
residential structure remains in place. Renovation shall not be
considered demolition. The removal of a dwelling unit in a multi-
family str~cture shall be considered demolition.
The definition of Floor Area shall be amended to read as follows:
G. Accessor~ Dwellinq Unit. For the purposes of calculating
floor area ratio and allowable floor area for a lot whose
principal use is residential~ accessory dwelling units shall
be excluded up to a maximum of 250 square feet or 50% of the
size of the accessory dwelling unit, whichever is less.
This provisio~ only applies to accessory dwelling units
which are 100% above natural grade.
Section 6
That Article 5, Sect. 5-508 (A) be amended to read as
follows:
A. Standards. Accessory Dwelling Units shall not be
subject to the minimum lot area per swelling unit
requirements of Art. 5, Div. 2., but shall be subject
to all other dimensional requirements of the underlying
zone district. Parking shall not be required if the
14
unit is a studio or on-bedroom unit, but one (1)
parking space shall be provided on-site if the unit
contains two (2) bedrooms and one (1) additional space
shall be required for each addItional two (2) bedrooms
in the unit.
The Accessory Dwelling Unit shall contain not less than
300 square feet and not more than 850 square feet of
net livable area and be located within or attached to a
principal residence. It shall meet the housing
designee's guidelines for such units, meet the
definition of a Resident Occupied Unit and be rented
for periods of six months or longer. The owner of the
principal residence shall have the right to place a
qualified employee or employees of his or her choosing
int he Accessory Dwelling Unit.
Section 7
That Article 7, Sec. 7-1007(A)(1) be amended as follows:
c. Affordable housinq impact fee (condominiumization).
Section 8
If any section, subsection, sentence, clause, phrase or
portion of this ordinance is for any reason held invalid or
unconstitutional in a court of competent jurisdiction, such
portion shall be deemed a separate, distinct and independent
provision and shall not affect the validity of the remaining
15
portions thereof.
Section 9
Applicability of this Ordinance. Nothing in this ordinance
shall be construed to affect any right, duty or liability under
any ordinance in effect prior to the effective date of this
ordinance, and in the same shall be continued and concluded under
such prior ordinances. Furthermore, the provisions of this
ordinance shall not apply in the following specific
circumstances:
a. To the development of any property for which a vested
right, as defined by Colorado law, has been obtained prior to the
effective date hereof.
b. To the construction of any dwelling unit pursuant to a
building permit (not including a demolition or excavation permit)
which was applied for prior to or on March 16, 1990.
c. To the construction of any single family or duplex
dwelling unit on a lot, the creation of which was approved
pursuant to or which was determined to be exempt form the
provisions of the Growth Management Quota system prior to the
effective date hereof.
Section 10
Expiration of this Ordinance. Th~s ordinance shall expire
on April 15, 1992 unless City Council takes action prior thereto
to continue this ordinance based upon an evaluation of the its
effectiveness by the Planning Director. If in 1992, Council
decides to eliminate this legislation from the Municipal Code,
16
then all deferred impact fees shall be forgiven.
Section 11
A Public hearing on the Ordinance shall be held on the~~-~/
day of /~a~// , 1990, at 5:00 P.M. in the city Council
// ~
Cha~er~, Aspen City Hall, Aspen, Colorado, fifteen (15) days
prior to which hearing notice of the same shall be published once
in a newspaper of general circulation within the City of Aspen.
I~RODUCED, ~F2%D MD O~E~D ~BLIS~D as provided by law by
City Council of the City of Aspen on the Y~-~ day of
Kathryn ~ Koch, city Clerk
adopted, passed and approved this day
~J~A~Y,
William L Stirllng, Mayor
A~ST:
Kathryn S~Koch, City Clerk
housing-, rpl. ord. cc. 6