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HomeMy WebLinkAboutminutes.council.20171127Regular Meeting Aspen City Council November 27, 2017 1 CITIZEN COMMENTS ............................................................................................................................... 2 COUNCIL COMMENTS ............................................................................................................................. 2 BOARD REPORTS ...................................................................................................................................... 2 AGENDA ADDITIONS AND DELETIONS .............................................................................................. 2 CONSENT CALENDAR ............................................................................................................................. 2 Resolution #160, Series of 2017 – amendment 2 TO THE third supplemental agreement for purchase of Wind-generated energy between Municipal Energy Agency of Nebraska and the City of Aspen ........... 3 Resolution #161, Series of 2017 – Amendment 1 to the Supplemental Agreement for purchase of landfill gas energy environmental attributes between Municipal Energy Agency of Nebraska and City of Aspen ............................................................................................................................................................ 3 Resolution #164, Series of 2017 – Approval of BLM CO Community Fire Assistance Grant/Modification #1 to cooperative agreement ......................................................................................... 3 Resolution #151, Series of 2017 – APCHA and Component Unit Funds Budget ................................ 3 Resolution #152, Series of 2017 – 2018 Budget for Aspen Country Inn AH fund, component unit .... 3 Resolution #162, Series of 2017 – Burlingame Pump House – Change Order #001 ........................... 3 Resolutions #163, Series of 2017 – Burlingame Single Family Homes – Construction Change orders 2-7 3 Minutes – November 13, 2017 .............................................................................................................. 3 ORDINANCE #34, SERIES OF 2017 .......................................................................................................... 4 ORDINANCE #29, SERIES OF 2017 – 2017 Fall Supplemental Budget ................................................... 4 ORDINANCE #30, SERIES OF 2017 - 2018 Municipal Fees .................................................................... 4 ORDINANCE #27, SERIES OF 2017 – Amend Title 25 Utilities – Electric and Water Rates ................... 5 RESOLUTION #150, SERIES OF 2017 – 2018 Budget .............................................................................. 6 ORDINANCE #32, SERIES OF 2017 – Truscott Phase II Buy Out ............................................................ 7 RESOLUTION #158, SERIES OF 2017 – 315 E Dean St – St. Regis Temporary and Seasonal Use ......... 7 RESOLUTION #157, SERIES OF 2017 – 305 S Mill Street – Grey Lady – Temporary Use ..................... 8 ORDINANCE #31, SERIES OF 2017 – 488 Castle Creek Drive – Major Public Project Review ........... 13 ORDINANCE #26, SERIES OF 2017 – Adding an Alternate Position to the Composition of the Wheeler Board of Directors ....................................................................................................................................... 16 WHEELER BOARD OF DIRECTORS – BOARD APPOINTMENTS .................................................... 16 Regular Meeting Aspen City Council November 27, 2017 2 At 5:00 p.m. Mayor Skadron called the regular meeting to order with Councilmembers Hauenstein, Frisch and Mullins present. CITIZEN COMMENTS 1. Christy Vedder, Burlingame Phase II home owner and board member stated they are concerned about the delay with the irrigation. Following the removal of two city members from the board, we were given invoices for water that was not budgeted for. The bill is over 8,000 dollars. She said she feels like she can’t go to her fellow home owners for the funds. Mayor Skadron asked for a memo about this issue to Council. 2. Elizabeth Milias commented on the 488 Castle Creek project. She commended the City on the effort on create, build and subsidize rental units. Her opposition is based purely on the density up there. It is unlike anything this valley has seen. The AACP ensures the city and county codes are consistent regarding house size and density. This is located in the urban growth boundary and the AACP states where density is concentrated in the commercial core and tapers towards the county line. This proposal flies in the face of the AACP. She is concerned we are not understanding the density issue. 3. Mike Johns, Aspen entrepreneurs and maker + place said the opening was supported by council and start up Colorado. They are excited about the new space which will open December 1st. COUNCIL COMMENTS Councilwoman Mullins said she hopes everyone had a happy Thanksgiving. Start praying for snow. Town looks great. Councilman Hauenstein said he skied for a few runs. It was enjoyable and skiing. Make the best from what we have. He received a few comments on how bright some of the Christmas lights are down town. We are working on that. There is a workshop that ACRA is putting on Dec 5th at the Limelight from 10:30 to noon on financial controls for small businesses and non-profits. Councilman Frisch wished everyone a happy belated Thanksgiving. The snow will come. Mayor Skadron said the City of Aspen has a new website. There is a community discussion around Justice Snow’s space. There will be an RFP and we want your comments. Go to aspencommunityvoice.com to share your thoughts. The mountain opened. Thanks to Ski Co. Happy and safe ski season. BOARD REPORTS Councilman Hauenstein said the Sister Cities meeting is moving meeting days to Wednesday night. AGENDA ADDITIONS AND DELETIONS Add ordinance #32 – Truscott phase 2 buyout option. Change ordinance #27 – utility rates to before resolution #150 CONSENT CALENDAR Reso 161 – landfill gas Councilman Hauenstein said it looks like this is less than 1 percent of our energy needs. The rate is 6.797 cents per KW hour. Do we even need this. Dave Hornbacher, utilities, said at the time Council decided to help promote that technology on a very small scale. The key is the wind contract. That is what makes Regular Meeting Aspen City Council November 27, 2017 3 us whole every month to meet the 100 percent renewable. Councilman Hauenstein said this is coming all the way from Iowa. Mr. Hornbacher replied just the energy. Councilman Frisch asked is it something that we need going forward. Not all 100 percent renewal is as efficient in all categories. Mr. Hornbacher replied the contract is year to year. If Council wishes to look at changing it we could. He said we would still be supportive of it now. We do need to monitor it. Councilwoman Mullins said she would be interesting to hear if we can get more credits out of Ridgeway. Where is the wind coming from. Mr. Hornbacher replied Nebraska and Iowa. Councilman Frisch asked for an update on the portfolio at the beginning of next year. Reso 163 – BG single family homes Councilman Hauenstein asked why was the sewer not dug deep enough in the first place. Sounds like four of the items are necessary because there needs to be a pump. Jack Wheeler, asset, said he can’t explain why the sewer is located where it is. During the planning we knew we were close. People want to finish their basements. We needed to put the pits in to facilitate a bathroom in the basement for the homes. Councilman Hauenstein said it seems like there was a flaw when it was run in the first place. Is there a way to recoup these costs. Chris Everson, asset, said two home are connecting to a sewer that was put in place during phase I and two homes to phase II. The elevation of sewer lines is highly regulated. The last thing on anybody’s mind when the sewer was installed was the injector pumps. The change orders in general, are about 3.5 percent of the total contract. From that perspective, it is not unreasonable. The contingency included was the leftover money from the 40 million condo project about 60,000 dollars. More contingency would have been through a supplemental budget request. We have the funds in the current budget for these change orders. Councilman Hauenstein asked if this is included in the contingency. Mr. Everson stated it is in addition to the overall contract sum but still falls within the current budget. Reso – 151 and 152 APCHA and ACI Councilwoman Mullins asked how the relationship to the budget works. Pete Strecker, finance, replied there is the City budget resolution and one for ACI and APCHA. APCHA is a separate government entity. We don’t have any financial responsibility other than the 150 fund. Councilwoman Mullins said both the city and county adopt this. Mr. Strecker replied yes. The city is the general partner in ACI and we have more of a financial responsibility there. This is that piece of the city oversight. • Resolution #160, Series of 2017 – Amendment 2 to the third supplemental agreement for purchase of Wind-generated energy between Municipal Energy Agency of Nebraska and the City of Aspen • Resolution #161, Series of 2017 – Amendment 1 to the Supplemental Agreement for purchase of landfill gas energy environmental attributes between Municipal Energy Agency of Nebraska and City of Aspen • Resolution #164, Series of 2017 – Approval of BLM CO Community Fire Assistance Grant/Modification #1 to cooperative agreement • Resolution #151, Series of 2017 – APCHA and Component Unit Funds Budget • Resolution #152, Series of 2017 – 2018 Budget for Aspen Country Inn AH fund, component unit • Resolution #162, Series of 2017 – Burlingame Pump House – Change Order #001 • Resolutions #163, Series of 2017 – Burlingame Single Family Homes – Construction Change orders 2-7 • Minutes – November 13, 2017 Councilman Frisch moved to adopt the consent calendar; seconded by Councilwoman Mullins. All in favor, motion carried. Regular Meeting Aspen City Council November 27, 2017 4 ORDINANCE #34, SERIES OF 2017 – S. Aspen Street PUD/Subdivision – PD Amendment Jen Phelan, community development, told the Council this is a PD amendment for Lot 1 of the S. Aspen PUD. The request is to vary three setbacks for a wall. The property is a two lot subdivision. The project is close to completion and ready for COs. As part of the inspections, staff checked heights and setbacks and concluded that two setbacks for the wall and building have three points that don’t meet the plan that was submitted. The project is for 15 affordable housing and 5 free market units on the site. The western building was built less than a foot closer to the property line that was called out. There is a retaining wall surrounding on Juan Street that is also off by less than a foot. It still meets the underlying requirements for the zone district. The applicant is suggesting a dimensional variation on the two setbacks that will still meet underlying zoning but allow for a CO. Second reading is scheduled for December 11th. Mayor Skadron asked if these issues are insignificant. Ms. Phelan replied yes. Councilwoman Mullins moved to read Ordinance #34, Series of 2017; seconded by Councilman Frisch. All in favor, motion carried. ORDINANCE NO. 34 (SERIES OF 2017) AN ORDINANCE OF THE ASPEN CITY COUNCIL GRANTING APPROVAL OF A PLANNED DEVELOPMENT AMENDMENT FOR LOT 1, SOUTH ASPEN STREET PUD/SUBDIVISION Councilman Hauenstein moved to adopt Ordinance #34, Series of 2017 on first reading; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Mullins, yes; Hauenstein, yes; Frisch, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #29, SERIES OF 2017 – 2017 Fall Supplemental Budget Mr. Strecker said they have lowered the numbers since first reading and the new request is 3.6 million dollars. 300,000 are for expenses to date on the Woody Creek Parcel. 22,000 is for a crisis intervention grant for the police department. Councilwoman Mullins asked about the permit overpayment. When will we be repaying. Jessica Garrow, community development, said they have been working on processing the payments. Once this is approved it will continue and payments issued between now and the end of the year. Councilwoman Mullins also asked about the Red Brick and the 20,000. Did we look at the 60,000. Mr. Strecker said 20,000 is for the executive director. 60,000 is the city has taken over the payments of the facility itself. The recreation department is making the payments for utilities. The rents will offset those expenses. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Councilwoman Mullins moved to adopt Ordinance #29, Series of 2017; seconded by Councilman Frisch. Roll call vote. Councilmembers Frisch, yes; Hauenstein, yes; Mullins, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #30, SERIES OF 2017 - 2018 Municipal Fees Mr. Strecker said these are targeted fee changes with the most impact happening to golf and recreation areas, police for dog vaccinations and licensing, engineering fees, parking garage reduction to the daily pass and increase to the fourth hour of street parking. There have been two changes since first reading Regular Meeting Aspen City Council November 27, 2017 5 including the interior fixture removal fee and a request for a new delineation for temporary structure review fees. Councilwoman Mullins said for parking, there has been a discussion recently for coordinating meter fees with garage fees. Is that represented here. Mr. Strecker replied it is not in the fee ordinance. Barry Crook, managers office, said we don’t need to amend the fee ordinance to do that. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Councilman Frisch moved to adopt Ordinance #30, Series of 2017; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Hauenstein, yes; Mullins, yes; Frisch, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #27, SERIES OF 2017 – Amend Title 25 Utilities – Electric and Water Rates Lee Ledesma, utilities, stated this ordinance will modify rates and add one fee. There are three main components to the changes; adjusting electric rate approximately 5percent, modify water rates 15 percent and adding an electric investment fee. Councilwoman Mullins said we talked about a rebate program for not penalizing people for charging electric vehicles. Ms. Ledesma said when we present the rate study in March we will make recommendations on an offset. Councilman Frisch said he is fully supportive of us trying to capture full cost. He made some grumblings about a double digit increases. He wonders if we should not try to smooth out the increases. Not so much the percentages but the dollar flow out on a monthly basis is just a few dollar increase. He wants to make sure we are not sticking a small group with a big percentage. It needs to be more leveled out. We have a well run utility. We are wisely trying to replace and catch up maybe sooner than we should. We have a few options, from a percentage basis if we want to stay away from a double digit increase the alternative option may make more sense. All the options do not take into consideration the pending mall upgrade. Mr. Hornbacher said it also does not include Red Mountain east of Aspen water. Councilman Frisch said he is glad we are better late than never in planning for the long term. Even at 13 or 15 percent increases a lot of residences will only see a few dollar increase. Mr. Hornbacher said from 2017 to 2018 the average residential increase will be 6 dollars per month and the commercial increase will be 15 using the 15 percent increase. Councilman Frisch said it is not a lot in the dollar term but seeing a double digit increase there should be a reason, a past mistakes or something on the horizon. We can stick as planned knowing if we do hear from people it is 5 or 10 dollars a year. Mayor Skadron said this is a Council policy that started in 2007 to move us to cost of service. For 30 years we did not change the rates. Ms. Ledesma said we’ve had the rate consultant on board and they recommended a larger increase and then leveling it. We took their recommendation and that is what we presented during the work session. Mayor Skadron said the prudent financial management is to recognize the consultants direction. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Regular Meeting Aspen City Council November 27, 2017 6 Councilman Hauenstein moved to adopt Ordinance #27, Series of 2017; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Hauenstein, yes; Frisch, yes; Mullins, yes; Mayor Skadron, yes. Motion carried. RESOLUTION #150, SERIES OF 2017 – 2018 Budget Mr. Strecker told the Council there have been eight meetings on this. The total request net is 128 million dollars. It is comprised of a few components. 66 million base operating from last year goes to 68 million. Capital outlay is 15 million. Reappropriations include 17 million for city offices. Affordable housing is a big slice and arts and recreation are as well. They all recognize key components and values of the city. Utilities and asset management are also big pieces. Capital projects are 49 million in total. City offices and affordable housing are the majority of it. Debt service is the last piece of budget components and includes 1 million in debt service payments for city offices year over year. We are still in a good position. Councilwoman Mullins said you have done such a good job it is down to the details. She asked if the mill levy on December 11th is the storm water. Mr. Strecker said we are waiting for the county to distribute final assessed valuations. Councilwoman Mullins said on the food tax refund we talked about increasing it. Mr. Strecker said that is at Council direction. 2017 disbursements were 169,000. Councilwoman Mullins said she is not sure we ever discussed it. Councilman Frisch said one option was to go back when we installed it and see what inflation would be or just picking a number. Mr. Strecker said we have not done any work on that. Councilwoman Mullins said it had come up a few times and not sure it has been addressed. Don Taylor, finance, said we can put anything in the spring supplemental. He will send out his research on this. It is tied to what the sales tax increase at a point in time that would be applied to todays food prices. He will share the math. For most people, the 50 dollars covers it. Mayor Skadron said he would like the history on this. It will not be address it in this budgeting. Councilwoman Mullins asked if the citizens academy has become a permanent program. Mr. Strecker said that is the request. Councilwoman Mullins said she would support that. Councilman Hauenstein asked about the FTE for increased tax auditing efforts. He is not sure how we want to address the STRs with BRBO. He is not sure adding a tax enforcement officer is far reaching enough. We need a further discussion. Mr. Taylor said there are other things we are worki ng on including an RFP for some software that addresses these kinds of issues. One of the companies has software that scrapes data from the various STR sites. It is a thorny problem since there is not a clear link to what Airbnb shows as available to what the assessor’s office shows. We will be back once we narrow down what the best options are. Councilman Hauenstein asked if you anticipate the additional officer will collect more tax revenue than the cost of FTE. Mr. Taylor replied over time yes. The first year or two will be ramping up a curve. Over the years it will more than pay for itself. Councilman Hauenstein said this goes beyond a budget discussion. We need to know what impact STRs will have on Aspen, socially and economically. Councilman Frisch said he fully supports continuing to work on this. We put into place a short term rental discussion with the focus of it will happen so might as well manage it. He argues it has worked out very well from a community standpoint. Can we collect a lot more money, yes. The displacement of locals was not a discussion 5 years ago. We should check in. He is leery about trying to ban something that is going to happen. Mike Miracle stated Ski Co partnered with a program at University of Colorado to study this very issue. They will present the findings on Friday and I will be there. Mayor Skadron opened the public comment. 1. Mick Ireland talked to engineering about a suggestion for the Castle Creek Bridge. The problem as a bike rider it is very awkward to use the underpass if you are coming out of town on the highway. In order to get down to the underpass you have to stop and flip your bike around in the Regular Meeting Aspen City Council November 27, 2017 7 dirt. The alternative is the round about or attempt a left turn from the traffic lane and go up the Overeynder driveway. He has been asking for the city to consider some type of ramping to make the turn or make a ramp at the east end of the bridge to get off the highway and on to the sidewalk. The sidewalk is narrow. Trish Aragon, city engineer, said the Castle Creek Hallam project stops at the west end of the bridge. It does not mean we can’t continue to look at better connectivity. Mayor Skadron asked to talk about this when we continue to talk about the bridge. Mayor Skadron closed the public comment. Councilman Hauenstein said this was his first budget review and it is a massive undertaking. Thanks for walking me through it a few times. Councilwoman Mullins moved to approve Resolution #150, Series of 2017; seconded by Councilman Frisch. Roll call vote. Councilmembers Mullins, yes; Frisch, yes; Hauenstein, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #32, SERIES OF 2017 – Truscott Phase II Buy Out Mr. Strecker said it was Councils direction to buy out the partnership. The request is 350,000 dollars this year. There will be future decisions for Council to make regarding how to group the property in the future. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Councilman Frisch moved to adopt Ordinance #32, Series of 2017; seconded by Councilman Hauenstein. Roll call vote. Councilmembers Frisch, yes; Hauenstein, yes; Mullins, yes; Mayor Skadron, yes. Motion carried. RESOLUTION #158, SERIES OF 2017 – 315 E Dean St – St. Regis Temporary and Seasonal Use Garrett Larimar, community development, said the request is a temporary use application for various special event tents for the St. Regis. The property is located in the lodge zone with a PD overlay. The applicant is requesting 40 days per year with annual recurrences, ideally 10 years with a minimum of 5. 32 days have been indicated in the fountain courtyard. There are a handful of other days in the mountain plaza and pool deck. 5 days have not been indicated but requested for flexibility. This request is temporary and seasonal and requires design review and growth management review. Council must review any request of more than 7 days per calendar year. Staff has reviewed this and finds it meets the review criteria and what you would find in a lodge. The majority of the event tents will be located in the central sunken courtyard will have minimal effect to the surrounding area. Staff would like input on the annual recurrences. Staff is recommending approval. Alan Richman, representing the applicant, said they are comfortable with the staff recommendation. They would like council to approve it for 10 years. Councilman Frisch said he would love to try to sign off on multi year things that are appropriate. Maybe after 5 years they can check in on an administrative level. He would love it to be as simple as possible for someone who has behaved for 5 years and is happy to have that as an admin level. Ms. Garrow said they would need to add that to Section 1 of the resolution. Councilman Frisch said he would suggest that. Councilman Hauenstein asked if these are mostly summer usage days. Mr. Richman replied there is some winter usage. Councilman Hauenstein said one of the top ten goals is to focus on green house gas emissions. He would like to see something other than propane used for heating. Tobias Rimkus, St. Regis, said that is a valid point. We are just looking at the set up and aesthetically it is not the nicest set Regular Meeting Aspen City Council November 27, 2017 8 up with gas and something we should have a conversation about. Ms. Garrow said it is tough because the rental companies are not set up to use electric heat. It would be an industry shift rather than something to put into these reviews. There is not the ability for the city to do an energy audit at this point. Councilman Frisch said he is happy to have that discussion but does not want to implement anything. He is not sure if we instilled it now we could do anything. Councilman Hauenstein said he can support the 5 year with 5 year admin option. He likes that most of the tent usage is out of sight from the public. He does not have a problem other than the green house gas heating. Councilwoman Mullins agrees but does not think we can make restrictions until there are other options. Will the tents have an impact on public space. Mr. Larimar said they will do temporary loading from the alley. The application did not indicate any temporary structures on the right of ways. Councilwoman Mullins said the mitigation is triggered by the year and the 5 year agreement would be recalculated each year. Ms. Garrow said yes, depending on if the cash in lieu amount changed. Councilwoman Mullins said she would support Adams idea of an admin review after 5 years. Mayor Skadron said it will occur in the sunken courtyard that results in little or no visual impact. Do the approvals back in the day allow for public access to these spaces and does this impede that access. Mr. Richman replied they are private spaces. In general, hotels function that the general community ends up on sight using the site. Mayor Skadron said this generates an additional 4,000 square feet of usable space. What are the GM implications and are we generating mitigation. Mr. Larimar replied as part of the growth management section you get 14 days where GM does not apply. We credited the 14 days to this. We calculated the usage for each of the tents at each of the locations. Ms. Garrow said the first 14 days are exempt from mitigation. Mayor Skadron asked are there any properties similar who would be desirous of the same request. Ms. Garrow stated we will see one to two more requests in December. Mayor Skadron opened the public comment. There was none. Mayor Skadron closed the public comment. Councilman Hauenstein asked the applicant for a way to put electric over propane where available. Mayor Skadron said that is a broader policy discussion. Councilman Hauenstein asked the applicant if they can ask their vendors to use electric rather than propane. Mr. Rimkus replied yes. Councilwoman Mullins move to adopt Resolution #158, Series of 2017 with amendment for administrative review after five years and updated growth management calculations; seconded by Councilman Frisch. All in favor, motion carried. RESOLUTION #157, SERIES OF 2017 – 305 S Mill Street – Grey Lady – Temporary Use Hillary Seminick, community development, said the request is for temporary use approval for 305 S Mill st, Grey Lady restaurant. This is the fourth annual request to place a temporary enclosure over the existing trellis. The request is for 120 days. The tent is made of canvas and transparent material and will be used for a Saturday like market during the day and evening dining. It is 788 square feet of net leasable and would generate 5,280 dollars in mitigation fees. Staff does not support the enclosure since it does not meet design guidelines. If Council choses you could support a shorter duration of 14 days. There is an alternate resolution for 120 days for 2017-2018 season as well as 2018-2019 season. We received public comment after the packet was finalized from Wheeler Square condo association. They are supportive of staff’s recommendation of denial. Mayor Skadron asked what is the Saturday market component. Ms. Seminick replied a number of different vendors for a number of hours on a Saturday. Regular Meeting Aspen City Council November 27, 2017 9 Ryan Chadwick and Ian Perry applicants. Mr. Chadwick stated they are only asking for 90 days since the lease expires in March. This year we want to make a few changes. We want to utilize power from the restaurant for heat. We reached out to Saturday market vendors to see if they would be interested in using the space during the daytime. Mr. Perry said they are trying to evolve the proposal to the best and highest purpose of the public amenity space. Would the best use be to store snow or involve local businesses. We have had a great number of interest from vendors. Mr. Chadwick stated they will use a clear top this year. Mr. Perry said you already know the fate we stand in on the building. We are left in limbo. We don’t know if our lease will be extended. Every year it is a surprise to get a lease. Mr. Chadwick said we do want to dress up the outside with a more natural look. Mr. Perry said with a longer proposal we can put the capital in the space. We would like more semi permanent to address the aesthetic quality. Mayor Skadron asked does the space have access. Mr. Chadwick replied yes, there is a side door between the building and trellis. Councilman Frisch said when you came the first time I recommended to give you your two weeks in perpetuity. Hats off to working on bringing in the Saturday market component. Regardless of how great the tent looks there is a discussion if we want to have a tent there all winter. I appreciate you don’t want to put up a tent every Saturday. You are suggesting the whole winter. Mr. Perry suggested we are investing in the business community as opposed to the aesthetic quality of a vacant lot. Councilman Frisch said the vast majority of restaurants have gone under because the landlord has determined there is a higher and better use. One is the aesthetic. We were pitched a few years ago about a Christmas market from the CCLC. It did not pan out to us. He is interested in having a market indoors to do that. Is this the best place, not sure. There is something about being the first people to show up with the suggestion. Councilman Hauenstein said the proposed tent will cover approved public amenity space. Ms. Seminick said the space is intended to be open to the sky. It does not ensure the public has access to the space but more open space to the property. Mayor Skadron opened the public comment. 1. Siam Castillo said she served on CCLC for a number of years. The board has been wanting a winter market for years. This could be the beginning of something really important. They have the right idea. Small businesses are being pushed out in every way possible. The looks is a much smaller issue. We can try this for a time then review it. A season is a fair request. Mr. Chadwick said they would like to have it open Saturday and Sunday, open to demand. He has a lot of vendors who are interested. We are not serving food there during that time. The market would close around 4 then we would set up for dinner. Mr. Perry said if there was greater demand we would expand to that. 2. Yana Blacy said she is a vendor at the Saturday market in the summertime. I very much want for this to happen for us. We tried last year and couldn’t find a location. 3. Peter Fornell said the city unfortunately because of the cost of commercial space we have consistently lost space to sit down and have a bite of food. Our restaurants are busy and overcrowded because we have lost so many of them. A public benefit is coming. The perception in the community is we have a lot of vacant space. That is wrong. I would like to see a funky space contributing than doing nothing. An empty space there all winter can contribute to that bad perception. A funky looking space is more attractive than an empty one. If they knew 5 years ago they were going to be here for another 5 years I’m certain you would have seen a more comprehensive plan. Penalizing them is not their fault. Mayor Skadron said a vendor inside the Grey Lady space sells something that directly competes with 520 grill. We have to consider the town comprehensively. Mr. Fornell said he agrees that competition is competition. The community will benefit through the collection of sales tax. 4. Julie Levin, leaf people skincare, said she is a small business owner and in the Saturday market. She agrees with some comments already said. The empty space situation is an issue. There is a way to bridge the gap and work together. One to two days a week will not be a huge impact. If it Regular Meeting Aspen City Council November 27, 2017 10 is an issue it is a conversation to have. There are ways to make it work and not be such competition but where we are helping each other. It is unfortunate to not see the local made goods here. All of my other locations outside of Aspen all come from people who visit the town. Several locations in town are carrying my products. Councilman Hauenstein said the other places that are selling their products, what is their reaction to you being in direct competition with them. Ms. Levin said it gives my clients a chance to buy my products every day if they can’t buy from me directly. We have fed each other during the summer. Mayor Skadron closed the public comment. Mr. Perry said the public outlined it beautifully. We are asking for the season to try it. The fate of the building is so unsure. We wish like Peter we could have come back with a more stable plan. The only hang up as we understand is the aesthetics. Making the space looks good reflects good on our restaurant. Ms. Seminick said the market days could be added as part of the resolution. Mr. Chadwick said he understand the point of competition. There are restaurants open all around us. It brings vitality to the area. Councilman Frisch said if this was publically noticed as a discussion of a Saturday market there would be dozen of brick and mortars in here to counter your argument. I’m very concerned to zip in and out businesses. On one hand, it is better that locals are doing it but there are still people coming in and out. He appreciates their enthusiasm and is willing to explore it. Now there is an aesthetic issue and the business thing. If we want to try it one day a week or two during the spring then have a discussion. It took a long time to get the market a well oiled machine. If we want to try it for a day a week and see what happens, otherwise stick to the 14 days. We will have to let the brick and mortar people know it is a trial. Ms. Garrow said if Council is inclined to support the longer period we should keep in the resolution the April date. Councilwoman Mullins said she is sympathetic to the uncertainty to your lease. She does believe they would have done something more substantial if you knew you were going to be here. It is unattractive and taking away a public amenity. Here is the value of public comment. CCLC and the market people made a really good case. I don’t particularly like the tent but it also did not look that great when it was down and not used. The incubator space would be really fun, especially if it can go both days. It will take a fair amount of work. The competition with the brick and mortar, I think a lot of times people are off base with that. These businesses feed each other. She is not sure there is that threat to existing businesses. She will support the 120 days to try something new and see if it works. She would like to know that we have some recourse if it doesn’t work the first few weeks then it is dropped. Ms. Garrow said you would have to word the resolution in a way that you are comfortable with it. You could add the applicant can end at any time if the market is not profitable or working. Councilman Hauenstein said public comment has shown its worth here for me. How does staff feel about the top being clear. Ms. Garrow said she is not sure it really makes a difference to us. Councilman Hauenstein said the vacant spaces in town are vacant by design. The idea of being able to support local businesses is persuasive to me. I don’t want the market to be a detriment to brick and mortar stores. To the extent it can serve as an incubator to support local businesses and also your businesses. Another one of our top 9 goals is to support local businesses. They are disappearing with the price of rents and pressures of the market. He will support this to the extent as possible it is not in competition with businesses in town. Initially I was against this but the arguments to support local small business have been persuasive to me. Regular Meeting Aspen City Council November 27, 2017 11 Mayor Skadron said nothing is easy often because we have clashing community values. Optimizing a public amenity space is desirous to Council. What we weigh that against is creating an unfair competitive environment. We have to manage the dynamics of the entire community. He thanked Siam, Yanna and Julie for their comments. He always embraced flexible government thinking. It is part of our character to be open. He can support this direction with conditions. Before we move forward with this I want you to present to ACRA at tomorrows meeting. He wants the business community to know exactly what you are doing. I want you to have contact with Aspen entrepreneurs and maker + place and know that you are communicating with each other. Thirdly, I want you to reach out to the team at Aspen Tree. I want them to put you in touch with the agriculture group that is supplying valley wide CSAs. That is how we start supporting our valley players. I can ask this because we are allowing use of public space. I am not requiring collaboration but the opportunity to present to those already in the market. Ms. Garrow said they could add a section to the resolution addressing the Saturday market space. Mayor Skadron said he is open to having Friday, Saturday and Sunday. Ms. Garrow recommend one day a week minimum. Councilman Frisch said he is concerned with running during the 12 days of Christmas as competition. We need to be careful with over the two weeks that you originally asked for. There is no doubt they could fill up 14 spaces for the 14 days. He is willing to have Saturday and Sunday during peak weeks then minimum of one day per week after January 1. Mr. Chadwick said during the holiday week we could do just twice a week. Councilman Frisch said he wants the last two weeks of December protected. Mayor Skadron said he wants to honor Adam’s request. Councilman Frisch said Saturday and Sundays in December, after that have at it. Motion with amendments. Ms. Garrow suggested at applicants option if it is 90 days or 120 days plus the Mayor’s conditions in a new section. Councilwoman Mullins moved to adopt Resolution #157, Series of 2017 with conditions; seconded by Councilman Hauenstein. All in favor, motion carried. ORDINANCE #28, SERIES OF 2017 - Justin Barker, community development, said the application is for an affordable housing project by Aspen Housing Partners in partnership with the City of Aspen. It is a 9,000 square foot lot zoned as R15 currently containing a single family home. The proposal is to rezone to AHPD and contain 10 affordable housing units. All will be one bedroom. There will be 10 parking spaces in the Main St right of way. This falls under the major public projects review process. On October 3rd it was reviewed by P&Z with approval with conditions. The AHPD zone is intentionally meant to be scattered through town. There are a few examples within close range to this. For the PD, the AHPD requires all dimensions are established within the PD. Overall the dimensions fit with in the realm of the RMF and R15 zone. There are some concerns with parking at one space per unit. They are proposed in the Main St. right of way. Typically it would be on site or off the alley. The rational was due to a lot of public feedback to not locate traffic and cars in the alley way. Staff would like to maintain the area off the alley as a parking easement for future parking, if needed. There are a few structures in that area and are all easily moved. For growth management, it requires 10 affordable housing allotments. There is no annual limit for this type of project. All the units fall below the minimum net livable area within the APCHA guidelines. They can approve up to 20 percent below. APCHA is comfortable with the proposed sizes. Categories are not yet officially established. This project is meant to be coordinated within the three city housing projects. There would be a minimum 15 year rentals as part of the federal tax credit. As multi family, the project is subject to the residential design standards. There is good street presence and interaction between public and private spaces. It meets those standards. The outstanding issue is the materials. Staff recommended reducing the prominence of the composite panels. Council supported this. We worked with the applicant and they proposed a change to the roofing materials. Staff is supportive of this as it is more traditional and helps cap the building. One other minor change discussed with the applicant is changing the size of the panels. Staff is comfortable with either option. Other issues relate to impact fees to waive some of the fees, parking and air quality. Those were requested for Park Circle and council did not recommend those waivers. Vested rights is requested at 5 years instead of the traditional 3. Staff is comfortable with 5 since it is the same as Park Circle. Regular Meeting Aspen City Council November 27, 2017 12 Since the packet went out three letters have been received. Herb Klein and Bill Guth with concerns about the parking. Neal Segal and Villas of Aspen are fully supportive. Adam Roy, representing the applicant, said the right of way will look very different than a residential neighborhood. We feel we can very much minimize that with landscaping. With screening and a bulb out all that can be managed well. Jason Bradshaw, representing the applicant, said with the exception of the head in parking it is the same plan we landed on coming out of the work session. Mayor Skadron said a majority of the neighborhood supports it. Mayor Skadron opened public comment. 1. Peter Fornell said he is a huge advocate of affordable housing. He is also a developer and lived in it for 20 years. He is in support of the community’s goal to get as much as we can. The responsibility of the stewardship of the property. The project will be funded and cashed out through the federal tax credits. We are going to get that building back in 15 years. It also needs to submit a capital improvement timeline. All of those things will need to be outlined and managed. He does not want a project that has a ton of deferred maintenance once the city gets it. Someone has to closely manage the ongoing maintenance of the building so when year 15 comes we can be proud of it and don’t have to pull a bunch of money out of the housing fund. Our community wants as much affordable housing as we can get. We only permit multifamily development in two zone districts in town. There is not a lot of vacant land in there. We need to increase the size of the circle or permit housing in zone districts where we didn’t use to permit it. He asked Council to make affordable housing a conditional use in the R15 zone. Ms. Garrow said you can develop affordable housing in R6, RMF and R15 at single family or duplex. You cannot do multi family without going through a PD. 2. Michael Miracle, Ski Co, said on behalf of Ski Co we do support this project as presented. 3. Mick Ireland said he supports this project. We are losing the younger generation because they are having difficulty staying. The people less likely to stick with the community are younger. Between 20 and 40 and about 40 percent left. The same is true in affordable housing. It doens’t matter much if ownership or rental. The 65 plus group is leaving at about the same rate as everyone else. A project like this has a lot of benefit. You are not building housing to increase the population but to keep it from declining drastically. Mayor Skadron closed the public comment. Mr. Roy said he is comfortable with the roofing change. He would like to hold on to the wider panels. The window size matches up to the paneling. It is more effective than the broken up panels. Mayor Skadron said he supports that. Councilwoman Mullins moved to approve Ordinance #28, Series of 2017 with the fees and vesting consistent with park circle and option one for panel size. Councilman Frisch said the larger panels make more sense. The parking has been the focus and I know it is not ideal but it is the best option. He does think there is some design work that will play out better in reality. Councilman Hauenstein said consistently people have praised the outreach and open houses. Hats off to that. Regular Meeting Aspen City Council November 27, 2017 13 Councilwoman Mullins moved to adopt Ordinance #28, Series of 2017; seconded by Councilman Hauenstein. Roll call vote. Councilmembers Hauenstein, yes; Mullins, yes; Frisch, yes; Mayor Skadron, yes. Motion carried. ORDINANCE #31, SERIES OF 2017 – 488 Castle Creek Drive – Major Public Project Review Ms. Seminick said this is the final of three affordable housing projects the city is applying for with Aspen Housing Partners to create affordable housing within the urban growth boundary. The property is located up Castle Creek Road, across the street from Castle Ridge. It is a two lot subdivision that is 35,000 square feet and zoned R15 A with a PD overlay. The current PD limits development to three single family residences. The proposal is for a 28 unit affordable housing complex with 18 one bed room and 10 two bedroom units. The building will be three stories with a consolidated fourth story element. As seen from Castle Creek the elevation would appear to be 32 feet and on the Marolt side the maximum height is just over 45. 34 parking spaces, bike facilities and on site storage are also proposed. They will be rental units for at least 15 years as part of the federal tax credit program. This falls under the major public process review. It is a two step process with P&Z being the first. They granted approval with conditions. There is a subdivision review to merge the two existing lots into one. The new dimensions would conform with the underlying zoning. The project requires 28 growth management allotments and there is no annual limit to affordable housing units. There is also an 8040 green line review since a small portion is located within the review area. The project meets all criteria for the review. The residential design standard review is to ensure a street presence and a public private relationship to the street. The principal window standard would need a variation due to substantial glazing. This is a flexible standard so staff is supportive of the variation. Rezoning review from R15A-PD to AHPD is also requested. The project is surrounded by a number of affordable housing projects and proximate to transit as well as other public services. Affordable housing is scattered through town to ensure diversity within the housing mix and add to vitality of the residential fabric of town. The dimensions are overall within what would be allowed in a comparable zone with the exception of parking and height. For RMF, 38 parking spaces would be needed and a maximum height of 32 feet. The project with the 4 story element is 45.5 feet tall and 34 on street parking spaces equivalent. At first reading Council expressed concerns with the number of parking spaces on site. The applicant can accommodate five more spaces on the site. The ordinance includes options to meet the four space deficit. The last is an option for four shared spaces within the urban growth boundary. We received a memo from APCHA that Marolt could include four spaces there through a shared parking agreement. Council also had concerns with mass and height. The 4th story massing has four one bed room units. The proposed height from Castle Creek does not exceed 32 feet. The applicant looked into studies as to what it would look like if the 4th story massing were removed. Looking up valley from the bike path the applicant has provided scenarios. Main discussion points for Council include dimensions and site planning. The AACP provides an outline for these projects. It is a guiding document, not regulatory. Staff is supportive of the parking solutions but looks to Council for direction on the 4th story massing. Two letters of public comment were received after the packet deadline from the Castle Creek Caucus and Joe Wells. Both in opposition to the project. Mr. Roy said they are still proposing the 28 unit scenario. There is some surrounding precedent that the rezoning is appropriate. The property was acquired in 2007 with funds from the housing fund. In 2016, an RFP was issued and the applicant team selected to utilize low income housing tax credits. It followed the same process with public outreach as the Main Street project. Over 500 people participated in the open houses. It went through a three iteration process during the open houses. Following January outreach and suggestions to increase the density we increased it to a full 4 story building. We felt it was too much for the site and beyond what it can handle. In April we proposed almost what we are proposing today. Following P&Z and first reading comments we considered all options for increasing on site parking. The conclusion was to revise the site plan to accommodate more parking and use four of the Marolt spaces. We also changed the sidewalk to a multi modal trail. He showed images of renderings from various directions. Regular Meeting Aspen City Council November 27, 2017 14 Mayor Skadron opened the public comment. 1. Joe Wells said he supports housing on the site. He would like to see a project that is more in scale and similar density and height to the others that exist. The density is vastly greater than other affordable housing in the area. The height as proposed violates the height limit of every zone district that has a height limit. He encouraged council to remove the four one bed room units on the 4th floor. He would like to encourage council to provide some offsite parking. He thinks there is more at Marolt to provide. He encouraged council to look for other offsite alternatives. 2. Graham Means, Pitkin county open space and trails board and lives in the neighborhood, said this project is more dense than the neighborhood would support comfortably. He urged council to eliminate the 4th floor. It would help with the aesthetics. The 10 foot wide vegetated strip along Castle Creek is extremely important. The open space boards are working on a trail to the music school campus but there is no decision on it yet. The vegetation strip is within the right of way of the road. There is no room for a trail. There will be a lot of demand for that land. He does not think the right of way should be used to screen the project. We need to eliminate some of the units to decrease the parking demand. 3. Cliff Weiss, president of Twin Ridge affordable housing complex. He said it is a 27 year old complex. There is a little less than one parking space per bedroom. It has been a source of tremendous conflict particularly when there is snow. We still don’t have enough parking. He wants to make sure there is a minimum of one space per bedroom plus guests. Adding another complex impacts the parking on all neighbors. 4. Karen Rheiman said Cliff is right. The density is four times bigger than the density of Castle Ridge. The height is too obstructive. 5. Dick Butera said this is a serious proposal with long lasting effects. It is a complicated and unusual project. After studying the proposal he still finds it difficult to understand. The plan is for 28 apartments on just over .5 acres of land. The county zoning is one house per 10 acres. The AACP says to ensure smoother cross boundary connections. The developer is asking relief for FAR, height and parking restrictions. 6. Michael Miracle, Ski Co, read a letter from Mike Kaplan. We are aware of the affordable housing shortage and how it impacts businesses. Dedicated rental units need to be part of the solution. The scale feels appropriate and the proximity to transit will result in fewer vehicles. The height is at the back and density is an efficient use of space. He urged council to approve the project. 7. Mick Ireland said he doesn’t grasp this as a visual disaster when driving down the road. The units that are being asked to be sacrificed will be used well into the future by someone who could be commuting from down valley. The four units are dear. Mr. Bradshaw said with regard to leasing to the developer for 10 dollars a year it should be noted while that is accurate for the 15 years that we would be involved, after that time the city has the right to step in to the project at no additional compensation to the developer. Barry Crook, managers office, said the partnership saves us money over being the developer ourselves. Mr. Bradshaw said regarding the inclusion or exclusion of the tax credit deals, the house version of the tax bill discluded the private activity bonds. They are in the current senate bill. Councilwoman Mullins asked them to talk about the potential trail. Mr. Bradshaw said it could go in the buffer area. Unfortunately, our process and their process have not lined up for planning purposes. Both sides have elected to allow for the housing project and trail project to run independently knowing they will eventually have to meld together. Councilwoman Mullins asked about the impact and how you would accommodate a trail while retaining a buffer. Heather Henry, landscape architect, said it is not the case the two might not align in the future. The hope would be they can meet. You would see impacts if the trail were to be on our side. The trail alignment on the opposite side of the street does not shift the surface. Two of the three options do leave room for vegetation. Regular Meeting Aspen City Council November 27, 2017 15 Councilman Hauenstein said Joe Well’s letters raise valid points. The most concerning element is the access to Castle Creek Road and how narrow it is at that point. It would be a better development if it were on a level next to the Marolt housing. They are valid concerns. He does not think this will put a strain on parking in the neighborhood. The density, there are cases where it is good. It is more dense than the neighborhood. He supports more density and the 4th floor. It would be a better development if it was closer to the seasonal housing. The 4th floor units are barely visible. The lot cost is disturbing but not the deciding factor. Mr. Roy said the original plan had a traditional curb and gutter system. The new plan is for a multi modal trail that is detached from the Castle Creek Road pavement area but work its way back into the connection of the Marolt trail near the cross walk. Ms. Seminick said there is no development potential on the Marolt property at this time. Councilman Hauenstein said he will support this with a 4th floor if it is not possible on Marolt Lot 3. Councilman Frisch said after the site visit and tonight, it reaffirmed his belief that we need to lose the four units on top. It is not worth the 45 foot height on a project sponsored by the City of Aspen. What we get is 24 units. He does not think the four units are worth the trade offs. I do not want 45 on an application I’m part of. On the trail, there are a few different options. What I’ve heard is run it up the east side of the road. Planter or bollards will go in to protect the trail users. He is not sure he wants to cut off the highest probable start to the trail. He appreciates not having a buffer is not as tranquil or ideal. On density, the numbers look a bit bad but on the site it is a two story building that is not very long. There is a lot of undeveloped land. The density issue is not nearly as scary on paper as when I look at the visual of what will be built there. He appreciate Wards concerns on the safety on the corner. I think it is safe now. We also need to consider the financing going pear shaped. Councilwoman Mullins said it is unfortunate about the trail that it is not part of this project. On the traffic, I’m satisfied with the studies. There are a lot of different mobility options there already. It is appropriate for affordable housing but a bit too dense. It does support having a less dense project and losing the 4th story. It will help alleviate some of the parking problems. The 4th story is quite impactful. It would fit in better with current and future development if 24 units. Mayor Skadron said both Adam and Ann made compelling arguments as well as what Joe sent us. This is a difficult project. My goal at this table is to preserve and improve the elements of Aspen that make it such an alluring and fascinating place to live and visit. We have a sustainable community and a mix of people that bolsters a viable workforce, preserves a healthy social balance and allows people to stay as long as they want where they want. Government shares a responsibility of providing housing. We have to carefully weigh community benefits against height, density and all the neighborhood impacts. The criteria are satisfied to support the development with the 28 units at this time. Ms. Garrow said you could chose to call a vote or continue the meeting. Jim True, city attorney, said a two to two vote is considered no action. It would need to be continued to a date for the fifth member or to continue discussion. Councilman Frisch said the four units on top is the only difference. How do we want to handle the trail. Is there room for the trail and minimal to no screening. Ms. Henry replied yes. This project allows for any of the trail alternatives to be in place. The key will be if it is on the east side how we tie construction elements together with a retaining wall. Councilwoman Mullins asked can we get this on our schedule before the end of the year. Ms. Garrow replied yes. Councilman Hauenstein moved to adopt Ordinance #31, Series of 2017 with the 4th floor in place; seconded by Councilman Frisch. Roll call vote. Councilmembers Mullins, no; Frisch, no; Hauenstein, yes; Mayor Skadron, ye. 2 to 2 vote, no action. Mr. True said the matter is still on the table and recommend continuation to December 11. Councilwoman Mullins moved to continue Ordinance #31, Series of 2017 to December 11, 2017; seconded by Councilman Frisch. All in favor, motion carried. Regular Meeting Aspen City Council November 27, 2017 16 ORDINANCE #26, SERIES OF 2017 – Adding an Alternate Position to the Composition of the Wheeler Board of Directors Ms. Manning stated this is the ordinance to add an alternate member position to the Wheeler Opera House Board of Directors, per Council direction. Councilman Hauenstein moved to adopt Ordinance #26, Series of 2017; seconded by Councilwoman Mullins. Roll call vote. Councilmembers Frisch, yes; Mullins, yes; Hauenstein, yes; Mayor Skadron, yes. Motion carried. WHEELER BOARD OF DIRECTORS – BOARD APPOINTMENTS Councilwoman Mullins moved to approve the board appointments of Ziska Childs as an Alternate member moving to a regular member in January 2018 and Peter Greeney as the alternate member in January 2018; seconded by Councilman Frisch. All in favor, motion carried. Councilman Hauenstein moved to adjourn at 10:40 p.m.; seconded by Councilwoman Mullins. All in favor, motion carried. Linda Manning City Clerk