HomeMy WebLinkAboutminutes.council.19830808 Aspen City Council August 8, 1983
Mayor Stirling called the meeting to order at 5:05 p.m. with Councilmembers Collins, Walls,
Blomquist and Knecht present.
CITIZEN PARTICIPATION
1. Bill Little told Council that Monday, August 15, will be the 30th anniversary of
Uncler Forrestt's childrens program. Little said that Forrestt has given a lot of happi-
ness and has never been recognized or thanked from the community. Little suggested that
Council declare Monday, Augus5 15, Uncle Forrestt day. Little also suggested that some
one from the city be at the concer~. Little pointed out that Uncle Forrestt still only
charges $.25, and that goes to the Aspen Music School. Mayor Stirling said this is an
excellent idea.
Councilman Blomquist moved to declar Monday, August 15, Uncle Porrestt day and to recognize
him and to thank him; seconded by Councilman Collins. All in favor, motion carried.
2. David Zaagman congratulated the Mayor on taking hold of the reins of city government.
Zaagman said he would like to see the Mayor use every tool possible to do the job.
3. Gary Plumley, chairman of CCLC, requested a meeting with Council to review their
budget and their projects. Councilman Blomquist said part of this should be a walking
~our. Council scheduled this for Tuesday, August 16, at 12:30. Mayor Stirling requested
Plumley prepare an agenda.
COUNCILMEMBER COMMENTS
1. Councilwoman Walls said she has been thinking about the city's employee housing
policies, and that it may be time for Council to look again at the policies, to see where
the city is going, to see if the policies are doing what Council wants them to do.
Councilwoman Walls said the effect of the housing programs have been to give certain
developers land and the guarantee of a profit if they price their apartments in a certain
range, in exchange for the control of who buys or rents. Councilwoman Walls said these
policies require the developer to add extra units outside the GMP, to rent or sell at a
set price with control of who buys or rents. Councilwoman Walls said this policy is not
working. Councilwoman Walls said the justification for this program was that low cost
housing had ceased to exist in Aspen, and employees were sharing quarters or moving down
valley. Councilwoman Walls said after going over all the material from the housing office,
she could not find an indication that one unit of truly, low cost housing has been built.
Councilwoman Walls said everything ren~s or sells in the moderate or middle income level,
even Centennial which only has 37 low cost units out of 267 units being built. Council-
woman Walls said Council should consider their housing policy to see where changes need
to be made.
Mayor Stirling asked whether Council wanted to meet with the housing authority or discuss
this among Council. Council decided to discuss this at their work session scheduled for
Tuesday, August 9.
2. Mayor Stirling reminded people there will be an M.A.A. day Saturday, August 20. There
will be a free concert at the tent given to the town of Aspen.
3. Mayor Stirling said there is a group of Bavarians coming to Colorado as a sister state.
This group will be coming to Aspen in early September for one day. This is being handled
by Monroe Summers, and is a great opportunity for goodwill between the two countries.
4. Mayor Stirling announced his office is now in the first floor of city hall inside
the door of the police department.
5. Councilman Collins said he would like to add to the agenda a letter from the committee
to preserve open space about the land swap at Shadow mountain with the forest service.
Councilman Collins said he would like to start something moving to see what Council's
response mlqht be. Mayor Stirling suggested discussing both this and the sixth penny
ordinance a5 the work session Tuesday, August 9th.
6. Councilman Knecht said he would like the city manager to pass on to both the parks
and streets department compliments for the excellent cooperation in maintaining the
streets, keeping the garbage and the alleys clean, and the malls look great. Councilman
Knecht said he would like to send Council's appreciation to both departments.
SMUGGLER AREA IMPROVEMENTS
Mayor Stirling said this item is to make a decision about the method of funding the city
will use to do the drainage in the Smuggler area in the fayl of 1983. Dan McArthur, city
engineer introduced A. J. Zabia, projec5 engineer from Rea Cassens and Bob Wells, project
engineer for the city. Mayor Stirling noted that the city will become a co-signer with
the Smuggler Mobile Home so that they can generate the $268,000 for their improvements.
Mayor Stirling asked if this would adversely affect the city's bonding position in the
future. Finance Director, Sheree Sonfield, told Council this would not affect the city's
position. Ms. Sonfield told Council there would be a bond ordinance presented at the next
Council's meeting.
Councilman Blomquist asked if it would be possible to combine the city's drainage costs
with the improvement district and pay for it at once. Ms. Sonfield told Council she would
look into this. Councilman Btomquist said the city could put the pipe to the park, do the
drainage pond in the park and the spill into the river as a part of the improvement
district. The Council would agree tq repay its portion of the improvement bonds over the
next years. Councilman Blomquist said part of the cost of the improvement district is
often for the benefit of a larger area.
Regular Meeting Aspen City ~ouncl± nu~u=u u, ....
Councilman Blomquist asked if, with the present bond market, it would make sense to bond.
City Manager Chapman said that inflation is tracking along in construction with what the
bond rate is. Mayor Stirling pointed out one of the options presented by the staff is to
reduce the remaining city budget by 4 per cent; this would require personnel cuts. Council-
man Blomquist said this should not be considered as the Council has not gone through a
budget session to evaluate the needs of each department. A blanket cut would not be
prudent at this time.
Mayor Stirling said another option is to take money out of the general fund and build a
larger deficit in the general fund. Councilman Blomquist said the city has a good track
record and ought to keep it. Mayor Stirling said he felt Councilman Blomquist's sugges-
tion about bonding with the improvement district is a good one. Councilman Blomquist
said he would like to see something in writing from finance so that Council can evaluate
that suggestion against the other alternatives. Mayor Stirling said another alternative
is to withdraw monies allotted to the CCLC, monies they have earmarked to spend but have
not spent yet. Councilman Knecht said he did not consider this an option because when the
occupation tax was raised, it was promised to the business community that half the ~ax
would to go the CCLC. Councilman Knecht said the city should maintain what they have
promised the business community.
Gary Plumley, chairman of the CCLC, told Council the CCLC has a budget and project planned
for that budget. The CCLC had to wait for Council to decide about the Rubey park project
before they did anything. The CCLC has an interim plan to improve Rubey Park; it definitely
needs to be upgraded. The CCLC has an on-going project in the lodging district. The CCLC
has a sidewalk improvement project for the Wheeler Opera House. Plumley said he felt the
projects and budget are worthly.
Bil Dunaway asked if the city guarantees the bond issue, if the district fails to pay thei~
debt, would this become a debt of the city. Sheree Sonfield told Council she had asked
the city's bond counsel about this. The Charter provides these bonds are not a direct
obligation of the city. Ms. Sonfield said in the event there is a problem, and the city
is a co-signer, the Council can go to the assessed valuation of the city for 4 mills ~o
pay off the obligation. Ms. Sonfield pointed out these bonds because they are not a
legal obligation are not included in the legal debt limit. Mayor Stirling said the
improvements at Smuggler run are to be done by the developer; this should be very clear
in the ordinance.
Councilman Blomquist moved the Council direct the engineering department to proceed with
the design and bidding; that Council directs that the construction not start until after
Mill street re-opens; that Council postpone any decision on asphalt patching or chip
sealing the streets until after the information is available; and that Council authority
the city to become a party to the Smuggler Mobile Home improvement district, yet to be
formed, to the extent of up to $90,000, if necessary, to cover the costs of the drainage
improvements as a part of the improvement district itself with the city to pay its pro
rata share as if the city were a member of the district and to guarantee as provided by
law; seconded by Councilman Collins. All in favor, motion carried.
TRANSIT AUTHORITY
Mayor Stirling said this is a rough draft of an intergovernmental agreement to give the
Council a chance to discuss this agreement. Mayor Stirling said he felt that the citizens
of the city and county want the elected officials to play a role in the first phases of
this consolidation. Mayor Stirling said the citizens do not want the elected officials
to give over full authority to this Board yet. Mayor Stirling said he felt the Board
would welcome approval from the two elected Boards. Mayor Stirling said there should be
approval by the Council and Commissioners on appointing a general manager, making and
entering into contract with a dollar ceiling, the budget and f'ive year financial plans,
routes and setting of fees. Mayor stifling said these approvals by the elected officials
should be for 18 to 24 months. If the elected officials give over authority, there will
be no control over the Board.
Councilman Blomquist said what the community wants and needs is joint venture that
achieve economies of scale. Councilman Blomquist suggested some amendments; the city
shall be a fare-free zone until such time as the Council would approve fares. Council
will hold a public hearing before making any determination about fares. Transit routes,
stops and stations within the city shall be approved by Council, and shall hold a public
hearing on these. Councilman Blomquist suggested that the transit system should connect
with schedule Amtrak and Trailways buses.
Councilman Collins said he felt how autonomous this Board will be is very important.
Originally it was felt that this Board would be very autonomous, to be able to set its
own rules, by-laws, fares, etc. Councilman Collins said he would like to hear from
members of the interim Board that are present about their feelings on this. Eve Homeyer,
interim Board member, pointed out it takes a long time to get approval from one entity,
not to mention two different entities. Ms. Homeyer said the Council does have a watch-
dog on this Board, in the member of Council they select to be on the Board. Ms. Homeyer
said it is important that this operation be in place by this winter season.
Francis Whitaker urged Council to accept the recommendation of the interim transit authority
and set the Board up with one Councilmember one Commissioner and three at-large members.
Whitaker said Council has to delegate the authority. Whitaker said if there is a good
agreement with good appointees, they will have to delegate; otherwise, everyone is fight-
ing over who will run the system. Peter Forsch, Skiing Company, said what the Council
is asking, the Board will not have any power. With this type of handtying, the agency
will have lost all its effectiveness. Forsch said he would question the ability to
function as an authority without those types of powers outlined.
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Councilman Blomquist said he felt the city should reserve certain rights over things that
may be misunderstood. Route and fares are items that residents are concerned about, and
they ought to be able to go to elected officials and explain their side. City Manager
Chapman said that because of the financing technique that was chosen, the county-wide
sales tax, both the Council and the Commissioners were aware they would have to make a
leap of faith into this joint venture. This new joint venture is going to have to act
very quickly, to issue debt, get the bus barn going and the new buses. Both the city
and county were committed to this for the live of the bonds. Chapman said that both
Boards have the power to appoint members, which would imply the power to remove. Chapman
suggested writing in the intergovernmental agreement expressly the power to remove and
to insure the persons appointed stay in close touch with the Council.
Mayor Stirling asked who in the two entities the transit authority would answer to. Chapman
said it was designed that the liason would be informal. There is no report to the city or
county manager. This agency would have their own personnel rules and regulations, set
their salaries, etc. It was designed that this agency would be pretty much autonomous
and independent from a management and operations point of view. Councilman Collins said
there have been discussions that this board would become completely independent, to the
point of being elected by the voters. Councilman Collins said perhaps this should start
our fairly close to the government and then move gradually to giving more and more
authority. Councilman Collins suggsted the agreement accomplish something transitional
so that the functions of the board can be scaled so that after a certain length of time
they take over more authority.
Nancy Van Domelin, who has served on the committee from the very beginning, agreed with
Councilman Collins and said the questions being raised are questions that have come
from the committee for two years. Ms. Van Domelin said in the future, this will arrive
at a separate autonomous elected board in order to have the consolidation work. The
first step has to be taken, which is to delegate some things and to have a certain amoun~
of controls. The Council and Commissioners do have checks and balances. One of these
is the power to appoint the members. Another check is review, the city and county can
have reports from the board every month. The third check is removal of appointments.
Ms. Van Domelin said if the Council and Commissioners want a role in routes, fares, and
the selection of the director, this would interfere with the efficient managing of the
transit agency.
Peter Forsch said he felt this group would be very responsive to the needs of the community.
Forsch said the input of the community is at the forefront of this group. Bil Dunaway
said he felt the agreement should specify that some day the Board will be elected, and
that there is removal powers by the Council and Commissioners. Assistant City Manager
Ron Mitchell said this is the first draft to stimulate conversation and get ideas.
Mitchell said it is a good idea to add that the board will hold public hearings on things
like fares and routes. It is also a good idea ~o add to the agreement to require formal
reports to the Council and Commissioners. Mitchell pointed out during the election for
the county-wide sales tax, representations were made about the autonomous nature of the
board.
Ms. Homeyer pointed out in ~wo years it will be as hard to give up control and powers as
it is now. Councilman Blomquist suggested a second draft with the ideas from this dis-
cussion. Councilwoman Walls said she felt it incumbent upon the Council and Commissioners
to provide the employees with a safe, dependable transportation system. Councilwoman Walls
said she did not want to make the decisions about every detail of tbs transportation
authority. The Council has responsibilities in many areas. Council can depend on the
people appointed to this authority to take care of the details. Mayor Stirling said there
should be some evaluation of the performance of the board in this agreement. Mayor
Stirling said the spring election he viewed as an election for consolidation and for the
buses, but did not see people voting for an autonous board separate from elected officials.
Councilman Blomqulst moved that the Council appoint Councilman Collins as Councilmember
to the authority and Michael Gassman as a citizen member and that Council require that the
third member be approved by Council and Commissioners; seconded by Councilman Collins.
Councilman Collins said the recommendation from the interim board was that the fifth
member of the board be elected by the other four members of the transit authority.
Councilman Collins said in terms of five people working together, it might be appropriate
that the other four have the opportunity to select the fifth member. This appointment
could be submitted for approval by the elected officials. Commissioner Klanderud said
it is imperative that this group get going because of the ski season and the contract with
the Skiing Company and the answers to the transportation department employees as to what
is going on. Councilman Blomquist said he would like the fifth member to know he or she
is endorsed by the elected officials.
Councilmembers Blomquist, Collins and Mayor Stirling in favor; Councilmembers Knecht and
Walls opposed. Motion carried.
Commissioner Klanderud said the county's choice for the joint appointment is Eve Homeyer.
Mayor Stirling said the council will discuss this and send their decision with Councilman
Collins tomorrow.
CANTRUP ESTATE
Spencer Shiffer handed out a copy of the operating agreement handed down by the bankruptcy
court. Shiffer told Council he was appointed by the bankruptcy court as the chief execu-
tive officer for Hans B. Cantrup, who is in a Chapter 11 bankruptcy reorganization.
Shiffer said he has been given the authority and responsibility for managing the estate.
Shiffer told Council he is accountable to the Court as well as ~o the creditors. The
estate consists of 33 properties within the city, and presented maps showing the properties
in the city, their geographical relationship and their magnitude. The properties are
435 guest rooms and 85 multi-family units. There is approximately $50,000,000 in debt and
approximately $58,000,000 in assets. Shiffer said there are about 500 creditors, of whom
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139 are local residents or businesses, representing $7,500,000 in debt. This estate is
in Chapter 11 reorganization, which is based on the sale and/or development of all of
the properties. Shiffer pointed out on a map the lodge/hotel properties and the proposed
condominium sites. Shiffer said there are three possibilities about what might happen to
the bankruptcy proceedings. One is a successful Chapter 11 reorganization. Another
possibility is the proceeding could be converted to a Chapter 7 liquidation; third, would
be a dismiSsal of the case, and the foreclosures would proceed. Shiffer said in looking
at the maps, one can see no matter what happens there will be significant impacts on the
city.
Shiffer said that in Chapter 7 liquidation or the possibilities of foreclosure, the
properties will be fragmented. There are many mortgagees on these properties. Shiffer
said there would be negative impacts on the real estate values if all these properties
were placed on the auction block at once. Shiffer said he wants to set up a mechanism
so that all the facts can be presented to Council clearly and objectively. Council needs
to analyse the facts and decide how to act. Shiffer said Council should have the oppor-
tunity to act or not based on the facts.
Shiffer said he felt the best approach was to assemble a concerned citizens group and
wanted the Mayor to be on this committee. Shiffer said the city attorney felt this
should be considered by Council. Shiffer said he is not asking the city Council to form
a committee; he does not want to create another layer of bureaucracy. Shiffer said there
is no process for this; Shiffer is not the developer, nor does he have any development
plans. Shiffer said he felt it would be a disaster for the city to sit by and not parti-
cipate in this process. It is time to take a positive approach and open up lines of
communication. Shiffer said he is offering the opportunity to examine the facts and to
make the appropriate decisions.
Mayor Stirling said he did not feel the city should be in the position where they have to
accept only the best economic deal cut on all the Cantrup properties. Mayor Stirling saidi
he would like to see the city view this situation as an opportunity rather than a problem.
Mayor Stirling said he would like to know what the developer of the property will be,
does the developer have the concept, the ability, the money to put to project together
on the hotel site and the Meadows site. Mayor Stirling said he would like to know who
is going to operate the properties. Mayor Stirling would like to know if this is in the
best interests of the town of Aspen. Mayor Stirling said if there is a committee, it
must not be another layer of bureacracy.
Mayor Stirling said this committee could act as a sounding board and could filter out
some impossible proposals. There are liabilities because of law suits, there is danger
of someone saying something that could come back to haunt the city. Mayor Stirling said
this is an unprecedented situation and something needs to be done. Mayor Stirling said
the city should not sit back and wait. Councilman Blomquist said he does not think there
should be a committee. There should be a flow Of information in the immediate future froml
Shiffer about the facts, the problems. This information should go to the full P&Z and
Council. Councilman Blomquist said he felt the Council and P & Z should have the right
to express opinions and suggestions without those being binding, councilman Blomquist
said there should be some ground rules for these meetings. Councilman Blomquist said
Council should not delegate in this case because of the amount of impact on the total
resort. Councilman Blomquist said this should be a number one priority.
David Zaagman said a committee should be appointed to bring up the positive things that
can be accomplished. This would make the path easier for Council. Councilwoman Walls
asked if the appointment of a committee would have an effect on the bankruptcy time table.
Shiffer said the appointment of an official committee would delay the proceedings in the
bankruptcy court, and he is not asking for that. Shiffer wants to get information to the
Council for them to make decisions, examining things in a conceptual way.
Councilman Knecht said considering the present state of the bankruptcy, he cannot see any
positive measure coming out of the bankruptcy. This committee would have no power, the
final decision is up to dozens of bankers. Councilman Knecht said he did not think it is
the city's responsibility to get involved in this in any measure. David White said the
P & Z is in place and they should be used rather than creating a new committee. Mayor
Stirling said a question is maintaining these properties as a whole entity desireable or
is diversification more desirable. Wainwright Dawson said he did not think this is any
of the city's business. Dawson said tampering with this is a real mistake.
Shiffer said right now the bankers no longer have any control; Shiffer has the control.
Shiffer said he would like to have the opportunity to explain to Council and to get the
information to them. Shiffer said he is not asking for any approvals, is not asking for
anything other then for Council to direct him how they would like to be communicated to.
Assitant City Attorney Gary Esary asked if Shiffer would hold Council harmless on behalf
of the estate. Shiffer said all he is trying to do is give the Council information.
Shiffer said he would agree that with respect to discussions, something could be arranged
so that the city would be protected. Shiffer said he would have to confer with the
bankruptch counsel that represents him. Gary Esary said the attorney's office is concerned
with past and the possibility of future litigation. Esary said the likelihood of Council
sitting, taking in information and not engaging in discussions is extremely unlikely.
City Manager Chapman said he had recommended pursuing this request. Chapman said what
Shiffer is asking is not all that exotic. Many cities use a broad spectrum of citizens
to participate to get good development without the Council getting involved when it is
premature. Chapman said he feel the city has to have the assurances from Shiffer about
the releases.
Councilman Blomquist moved that subject to Shiffer giving the city the releases described,
that Council and P & Z agree upon a two hour meeting time within the next week at which
time the referee shall be invited to present the facts and information to the two bodies;
seconded by Councilman Collins.
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Councilman Collins said it was mentioned that the city should participate; information
exchange is good, but what the Shiffer looking for. shiffer said he wants Council to
examine the facts presented and to analyze them to see how they impact the city, to see
whether there is an opportunity to do anything, shiffer said he feels when the Council
sees the facts, that they will wan~ to participate at some level
Councilmembers Blomquist, Collins, and M~yor Stirling in favor; Councilmembers Knecht
and Walls opposed. Motion carried.
REQUEST FOR FUNDS - Mayor's Commission
Alan Schwartz, chairman of the Mayor's Commission, send Council a letter August 5 with a
budget request for $6,378 representing the amount the task force would like to spend in
the next few months in canvassing Aspen to find out what the citizens what to happen in
Aspen's future. Schwartz said the Mayor's Commission wants to find out what kind of
goals the people what for Aspen's future. Schwartz told Council in 1970-71, there was
a similar commission established. A study concluded this effort was worthwhile this
effort was worthwhile, and that the goals articulated by this committee were achieved.
Schwartz said the Mayor's Commission would like to do the same thing. This budget request
has been pared down because of the limited amount of funds. Mayor Stirling said this is
tied in with the comprehensive plans the Council has been discussing. Councilman Collins
said this group has made some strong statements, and he is impressed with this committee.
Councilman Collins moved to approve the request for fund the Mayor's Commission for $6,378;
seconded by Councilman Knecht.
Councilman Blomquist asked what the final product will be. Schwartz said it would by a
synopsis of comments received, and the committee will try to prioritize the results and
present them to Council. Schwartz said the committee plans to canvas people during
September and October and present the results to Council in November. Councilman Blomquist
asked if there will be a limit to the subject nature. Schwartz said the committee does
not intend to prejudge. Councilman Blomquist suggested this motion might be amended to
orient this to the city of Aspen and to those goals that the Council can deal with.
Councilman Knecht said the original discussion was that the committee should not have
their hands tied by anything. Councilman Knecht said this study should be based upon the
valley but concentrate with the city.
All in favor, with the exception of Councilman Blomquist. Motion carried.
ORDINANCE ~27, SERIES OF 1983 - Buckhorn Rezoning
Mayor Stifling opened the p~blic hearing. Colette Penne, planning office, told ~oun~il
this is a request to rezone the Buckhorn lodge from O, office to C/L. Ms. Penne said
Mr. Kelly did not wan~ to go along with the L-3 rezoning because the commercial use on the
first floor would be non-conforming. The uses of the Buckhorn conform exactly with the
C/L zoning, which has commercial uses on the first floor with lodge uses on the second
and third floors. Ms. Penne explained the adjacent lodge has been zoned L-3; there is
Office zone, R/MF neighborhood and N/C, with Aspen Square zoned C/L, and C-1 zoning.
There is no directly adjacent C/L zoning. Ms. Penne pointed out that Original street
operates as a ma~or thoroughfare for the property, and this corner is the entrance to town
in the summer. The purpose of C/L zoning is to serve as a transition from lodge to
commercial uses. The C/L zone density is an FAR of 2:1. Ms. Penne said the existing uses
at the Buckhorn lodge are a perfect fit for the C/L zone, and would make both commercial
and lodge uses conforming. It would allow these uses to be upgraded and/or expanded.
Ms. Penne said at 2:1 FAR at the Buckhorn would make a dense use, and Mr. Kelly has
voluntarily restricted to a 1:1 FAR. Gideon Kaufman told Council the Buckhorn Lodge is
currently 1:1 on the site. Ms. Penne said if this part of the block is rezoned to C/L,
it would be logical for the Bell Mountain lodge to request C/L zoning. ~he Bell Mountain
lodge is under-developed at this time. Ms. Penne said a criteria for rezoning is to con-
sider community need. Ms. Penne said she did not feel a need for extending community
uses can be shown.
Ms. Penne told Council the planning office feels the appropriate zone for this parcel is
L-3, it would be consistent with the rest of the block. The lodge portion of the building
can be upgraded. P & Z recommended denial of rezoning to C/L and recommended the zoning
be Lv3. P & Z felt there would be pressure from the rest of the block to rezone to C/L.
Another concern is the loss of parking spaces; however with the voluntar~ restriction ~o
1:1 FAR, this may be a moot point. P & Z felt there is no evidence for expanded commer-
cial uses in this area. P & Z also felt this would be creating a small island with no
relationship to the rest of the area. Ms. Penne said the former Council passed this
ordinance on first reading, with the limit on the FAR of 1:1.
Gideon Kaufman, representing the applicant, told Council when the L~3 zoning was adopted,
Council was willing ~o go into residential neighborhoods and make conforming in these
neighborhoods lodges. Kaufman said this is a commercial area, and they are asking to be
rezoned to commercial use. Kaufman said the C/L zoning for the Buckhorn would make an
on-going 25 year operation legal and conforming. Kaufman said the request is not to
expand the commercial uses, but keep the same building that is there and make the whole
building conforming. This request meets the criteria of the C/L needs with commercial
on the lower level and lodge on the uppsrtevel and Mr. Kelly ls voluntarily going along
with a 1:1 FAR. Kaufman pointed out that L-3 makes only half of this building conforming;
C/L is the only zone that makes the entire building conforming.
Si Kelly showed Council a drawing of what ~s in the building, with lodge on the third
floor, second floor is retail space and a lobby for the lodge and the downstairs is two
offices and an employee apartment. Kelly said his problems will not be solved with either
O, office zoning for L-3. Kelly said he is not asking for any changes or change in density.
The lodge is the same as it has been for years, and Kelly is just asking Council to make
the lodge conforming.
Chuck Torinus told Council he has looked at this proposed and would hope that Council will
affirm Ordinance ~27. Torinus said he felt it makes sense to go with the C/L designation
looking at the history and use of the building. Councilman Blomquist said he disagreed
with the planning and P & Z recommendations. Councilman Blomquist said the objectives
of the L-3 zone would not be achieved because of the nature of the building~and its loca-
tion. Councilman Blomquist said he feels this ordinance is appropriate, especially with
the FAR restriction. Councilman Blomquist said with C/L zoning, the Buckhorn has flexibility
to do upgrading.
Councilwoman Walls asked if Si Kelly would be willing to stipulate to one parking place fop
every room, as C/L zoning does not require any parking. Kelly said he did not have any
problems with that. Kaufman suggested that Kelly stipulate to keep the amount of parking
he has at the current time. The number of legal spaces at the Buckhorn lodge will be
continued. Mayor stirling asked if this rezoning would add value to the property. Kaufman
said if the elimination of non-conformity adds value, then it does. There is no ability
to build any more space or change the configuration. This rezoning merely takes what is
there and makes it legal and conforming.and would allow the applicant to fancy the place
Assistant City Attorney Gary Esary told Council if they are going to adopt this ordinance,
he would recommend a deed restriction for the 1:1 FAR and the parking spaces, and that
this is being rezoned to use. Councilman Collins said if this is rez0ned to C/L, it should
be zoned without restrictions. Councilman Collins said he felt this would encourage
commercial growth out of the downtown core. Councilman Collins said he felt L-3 is spot
zoning, is not consistent with the master planning; however, if the city gave L-3 to take
away the stigma of non-conformity, he agrees with Kelly. Councilman Collins said this is
the Pandora's box.
Ms. Penne said the L-3 class action was to support lodge rooms that were non-conforming and
to allow owners to upgrade. Kaufman pointed out there is no other building that has this
configuration with lodge on top and retail on the topi
Councilman Blomquist moved to adopt Ordinance ~27, Series of 1983, on second reading,
amended in Section 1 insert rezone "to use", and that the owner shall restrict the external
floor area ratio to a maximum of 1:1, and to retain the present number of legal parking
spaces with documents approved by the city attorney; seconded by Councilwoman Walls.
Roll call vote; Councilmembers Knecht, nay; Walls, aye; Collins, nay; Blomquist, aye.
Mayor Stirling, aye. Motion carried.
ORDINANCE ~35, SERIES OF 1983 - L-3 Quota System
Mayor Stirling opened the public hearing. Alan Richman, planning director, told Council
they have amended this ordinance at a work session since first reading. Richman said
that the scoring system itself is clear and not an issue. The main issue is the size of
the L-3 quota itself. P & Z recommended a 10 unit L-3 quota and 35 units for the other
lodge zones; the planning office is recommending a 25 units for the other lodge zones.
Richman told Council the short term accommodations report does not document the need for
substantial numbers of new lodge units, but does document the need for quality improve,
ments. Richman told Council the quota system has flexibility, Council can award multiple
years of quota or bonus quota. This gives Council a chance to make a decision on how
many lodge rooms will be allocated from year to year.
Richman pointed out the lodge quota was just amended last year. Council.can amend the
quota from year to year by ordinance. Richman told Council there is a possible build
out in the major lodge zones of 900 units, and only 230 units in the L-3 zone. The
recommended ratio of 25 and 10 units seems to be appropriate.
David White, P & Z member~ said the P & Z wanted to offer a carrot to the lodging industryl
so that something will happen in the lodging community. Gideon Kaufman said P & Z was
very clear that they wanted two separate quotas and not to reduce the quota. Just recently
it was recognized that the quota should be raised to 35 lodge units because nothing was
being built. P & Z wanted to keep the quota of 35 and have a separate quota for the L-3
zone. Bil Dunaway said there is no indication that more lodge rooms are needed in the
city; there are more lodge rooms than Aspen mountain can bare. Dunaway said the overall
quota ought to be 35 units, 25 for the lodge zones and 10 for the L-3 zone.
Sunny Vann, planning director, told Council the planning office feels that a 10 unit
quota for L-3 would sufficient flexibility and that a total unit quota of 35 was still
appropriate. Vann said Council has the ~flexibility, without exceeding the growth rate
to chage the quoat at a later date. If Council changes to quota now, it will exceed~the
growth rate of 3.4.
Mayor Stirling asked if increasing the quota would act as an incentive and bring people
out for projects. Mayor Stirling asked if 10 units for L-3 would be sufficient. He
would like to see the quota enlarged in the L-3 to 20 and have 35 in the other lodges
Councilman Knecht moved to adopt Ordinance ~35, Series of 1983, on second reading; seconded
by Councilman Blomquist.
Councilman Collins said if this ordinance is passed as is, the city has increased the
number of lodge units in one year from 18 units to 45 units. Councilman Collins said he
did not see any reason for increasing the quota. Councilman Collins said he did not see
the market is out there for these numbers of units.
Roll call vote;.Councilmembers Walls, aye; Knecht, aye; Collins, nay; Blomquist, aye;
Mayor Stirling, aye. Motion carried.
ORDINANCE ~37, SERIES OF 1983 - Repealing Ordinance ~4, 1983, Applejack Zoning
Colette Penne, planning office, told Council that Ordinance 94, 1983, was a mistake and
that the zoning change should not have occurred through mere removal from a list. This
ordinance would include the Applejack as an L-3 lodge. The Applejack went through a full
review in the class action when the L-3 zone was adopted.
Mayor Stirling opened the public hearing.
Ms. Penne told Council that an application has been filed for condominiumization of this
lodge. Ms. Penne said L-3 zoning would be advantageous to the owners, and the purpose of
the L-3 zone is what the Applejack is proposing to do. Gideon Kaufman, representing the
applicant, told Council this was identified as an appropriate place for L-3, and the
Applejack went through the rezonlng criteria. After that, the Applejack was involved in
uncertain ownership, they were not sure what they wanted to do and requested that the
L-3 zoning be repealed. Kaufman told Council this does not set a back precedent; it undoes
something that was not right in the first place. The applicant wants to upgrade in a major
renovation. It wold take 4 to 6 months to go through a rezoning and the whole project
amy fall apart.
Mayor Stirling closed the public hearing.
Councilman Blomquist moved to adopt Ordinance ~37, Series of 1983; seconded by Councilman
Knecht. Roll call vote; Councilmembers Knecht, aye; Blomquist, aye; Walls, aye; Collins,
nay; Mayor Stirling, nay. Motion carried.
ORDINANCE #38, SERIES OF 1983 - Appropriations
Mayor Stirling opened the public hearing. There were no comments. Mayor Stirling closed
the public hearing.
CounJilman Knecht moved to adopt Ordinance ~38, Series of 1983, on second reading; seconded
by Councilwoman Walls. Roll call vote; Councilmembers Walls, aye; Collins, aye; Knecht,
aye; Blomquist, aye; Mayor Stirling, aye. Motion carried.
ORDINANCE 939, SERIES OF 1983 - Appropriations
Mayor Stirling opened the public hearing. There were no comments. Mayor Stirling closed
the public hearing.
Councilman Knecht moved to adopt Ordinance #39, Series of 1983, on second reading; seconded
by Councilwoman Walls. Roll call vote; Councilmembers Knecht, aye; Collins, aye; Walls,
aye; Blomquist, aye; Mayor Stirling, aye. Motion carried.
GORDON LOT SPLIT
Richard Grice, planning office, told Council this application meets the criteria for an
exemption from growth management, and meets the criteria for a one-step process. Grice
said at the attorney's request, a note has been added to the piat, noting the one time
only nature of the lot split, "No further subdivision may be granted for these lots, nor
additional units built without receiving an allocation through the growth management plan".
The major issue in this application is a condition from the attorney's office that in
connecting to the city's water system, that the applicant canvey water rights equal to
the demand the new residence will have on the water system.
Grice passed out a plat. Grice told Council this application was referred to the city's
water attorney and received a comment that this property owns water rights equal to 20-30
acre feet per year from the Riverside ditch, an irrigation water right~ The water attorney
estimated the demand from one single family residence would be .2 acre feet per year.
The water attorney recommended that amount of water be dedicated as a condition of this
approval, and then leased back to the applicant to continue to irrigate the property.
Grice said in the subdivision exception agreement, the condition for dedicating the water
rights as well as the applicant paying for the physical water extension are listed.
The staff also recommended that the standard improvement district language be a condition
of this agreement.
Assistant City Attorney Gary Esary recommended another condition for the agreement, which
is that pursuant to the draft city water rights dedication ordinance of 1980, which was
proposed but not completed. This is that the applicant be required at the time he gets
city water service for lot 2, to grant the city a right of first refusal for a period of
ten years for any additional water rights not already deededc~o the city, if the water
are every conveyed separately from the city.
Mayor Stirling asked about fishing access to the river and the potential for trails.
Grice told Council there is an adopted master plan for trails, and this property is affected
by that master plan. Grice has walked the property, and the trail easement is drafted to
his specification. Grice said he did not know about the standard policy regarding fishing
access. There is access to the river through the trail easement. Councilman Blomquist
said the implications of fishing access should be studisd and how it is properly solved
on river front properties. Grice said this trail link will hopefully be put together
with other links in the future to create a trail.
Mayor Stirling said the city has received a challenge to the first short step application
that Council acted upon. Mayor Stirling asked what the attitude of adjacent property
owners to this lot split, and does it inhibit any adjacent property owners. Grice said
he could not see how this would affect any property owners. Grice said he has had noel
contact with any property owners. Tam Scott, representing the applicant, told Council in
1979, when there was a notice requirement, all property owners were notified and there
were no objections at that time. The applicant withdrew his application because he was
unhappy about the trail easement.
Scott said with regard to the fishing easement, since the trail easement is so close to
the river, it is tantamount to a fishing easement. Scott said a fishing easement is not
addressed in the Code, as the trail easement is. Scott requested that the fishing ease-
ment not be part of this application; Scott said he did not feel there is a legal
authority for this.
Scott said the water trade comes up under a proposed, unenacted 1980 water ordinance.
Scott said he did not see any reason for doing this; it is a nuisance factor and ii, is
not covered by the Code. Scott said he did not feel this should be required upon this
applicant. Esary said there was a resolution passed in 1976 which pro~ides in concept
what the draft 1980 spells out. The 1976 resolution, which is in effect, says for a
number of purposes of securing water for the city, preventing abandonment of water rights
upon any development permit Council can require that water rights be given to the city.
Esary said the draft ordinance is part of the city's water management plan.
Councilman Knecht moved to approve the Gordon lot split exception pursuant to Section
20-19(c) subject to the following conditions in the planning office memorandum of
August 8, 1983 with conditions 1, 2, and 3, and the addition of l(c) to provide of the
right of first refusal for ten years if the water rights are ever attempted to be sold
separately from the property, and that conditons 1 a, b, and c only become effective upon
an application by the owner of lot 2 for city water service; seconded by Councilwoman
Walls. All in favor, with the exception of Councilman Blomquist. Motion carried.
ORDINANCE #40, SERIES OF 1983 - GMP Clarity and Consistency
Councilman Knecht moved to read Ordinance #40, Series of 1983; seconded by Councilman
Blomquist. All in favor, motion carried.
ORDINANCE #40
(Series of 1983)
AN ORDINANCE IMPLEMENTING RECOMMENDED TECHNICAL REVISIONS TO VARIOUS SECTIONS
OF ARTICLE XI OF SECTION 24 OF THE MUNICIPAL CODE FO THE CITY OF ASPEN PERTAINING
TO THE GROWTH MANAGEMENT QUOTA SYSTEM, AS FOLLOWS:
1. AMENDING SUBSECTIONS "(c)" AND "(d)" OF SECTION 24-11.4, BY REPLEAING AND REENACINT SAID SECTIONS SO AS TO READJUST THE RANKING PROCEDURES
FOR RESIDENTIAL DEVELOPMENT APPLICATIONS.
2. AMENDING SUBSECTION "~c)" AND "(d)" OF SECTION 24-11~5 BY REPEALING
AND REENACINT SAID SECTION SO AS TO READJUST THE RANKING PROCEDURE FOR
COMMERCIAL AND OFFICE DEVELOPMENT APPLICATIONS.
3. AMENDING SUBSECTION "(d)~ OF SECTION 24-11.6 TO RECOGNIZE THE REQUIREMENT
THAT THE RANKING OF LODGE PROJECTS ESTABLISHED BY THE PLANNING COMMISSION
SHALL BE FORWARDED TO CITY COUNCIL BY DECEMBER 1st OF EACH YEAR.
4. REPEALING PRESENTLY EXISTING SUBSECTION "(b) (5)" OF SECTION 24-11.5 PERi
TAINING TO APPLICANTS' PREVIOUS PERFORMANCES AND RENUMBERING THE PRESENTLY
EXISTING SUBSECTION "(b) (6)" AS "(b) (5)"
5. AMENDING SUBSECTION "(d)" OF SECTION 24-11.2 SO AS TO ADD SUBSECTIONS
"(d) (3)" AND "(d) (4)" REQUIRING.<ADDIT~ONALOCQNDITIONS FOR2THEEGRANTING OF
AN EXEMPTION OF A SINGLE FAMILY RESIDENCE ON A LOT SUBDIVIDED AFTER
NOVEMBER 14, 1977.
6. AMENDING SUBSECTION "(b) (4) (bb)" OF SECTION 24-11.4 TO PROVIDE THAT WITH
RESPECT TO THE AWARD OF POINTS IN THE AREA OF EMPLOYEE HOUSING, THE
RATIO SHALL BE COMPUTED ON THE BASIS OF THE TOTAL NUMBER OF DEED RESTRICTED
BEDROOMS IN THE PROJECT TO THE TOTAL NUMBER OF BEDROOMS IN THE PROJECT
(AS OPPOSED TO NON-DEED RESTRICTED BEDROOMS).
7. AMENDING THE INTRODUCTORY PARAGRAPH OF SUBSECTION "(a)" OF SECTION 24-11.4
TO INCLUDE LANGUAGE TO ENCOURAGE APPLICANTS FOR RESIDENTIAL DEVELOPMENT TO
ENGAGE IN PRE APPLICATION CONFERENCES
8. AMENDING THE INTRODUCTORY PARAGRAPH OF SBUSECTION "(a)" OF SECTION
24-11.5 TO INCLUDE LANGUAGE TO ENCOURAGE APPLICANTS FOR OFFICE AND
COMMERCIAL DEVELOPMENT TO ENGAGE IN PREAPPLICATION CONFERENCES was
read by the city clerk
Alan Richman, planning~office, told Council these are mainly minor and technical code
amendments. These have resulted from looking at the scoring systems, and the P & Z
coming up with new ideas. This ordinance takes new ideas from any one area of the GMP
and make them consistent across the entire GMP.
Councilman Knecht moved to adopt Ordinance #40, Series of 1983, on first reading; secondedi
by Councilman Collins. Roll call vote Coouncilmembers Walls, aye; Collins, aye; Blomquistll
aye, Knecht, aye; Mayor Stirling, aye. Motion carried.
CASTLE RIDGE - Contract for Drainage System
Bob Wells, engineering department, told Council this project was let out for bids, four
people picked up packages, and only one company submitted a bid. Wells told Council the
staff negotiated with that contract to get him to a lower price. Wells recommended that
Council approve the contract with Pioneer. Mayor Stirling asked if this was included in
the figures presented to Council already spent at Castle Ridge. Finance Director Sheree
Sonfi~ld told Council this will make the total package come to $149,000 rather than the
$132,000 presented. Mayor Stirling asked if this were something the c~ty!could have some
hope of recapping. City Manager Chapman said~yes. Mayor Stirling asked if the city had
any choice. Wells answered no.
Wells told Council he has done a background check on Pioneer with Rangely, Grand Junction
and the Twon of Snowmass, all of whom were satisfied with the performance. Councilman
Collins asked what this work entailed. Wells said it is excavation around buildings A,
B, and F to install a PDC membrane attached to the foundations at extending 6 feet from
the building. They will backfill with road base and washed roack with some top soil
around the buildings. This will necessitate fixing some sidewalks and revegetating the
disturbed areas. Councilman Collins asked if any contractors around this area had shown
interest. Wells told Council that Schmeuser had called people all over the immediate
area, and no one bid the contract.
Councilman Collins moved to approve the contract with Pionee construction in the amount
of $54,399; seconded by Councilman Knecht. All in favor, motion carried.
ORDINANCE ~41, SERIES OF 1983 - Purchase of Shapery Property
City Manager Chapman told Council since they directed the staff to prepare to purchase
this property, the attorneys and Chapman have been negotiating with Shapery and with
Trueman regarding the park dedication fee that is in dispute. The staff has been able
to come up with a proposal in this ordinance. Shapery has dropped the requirement that
the city has interest and pro rata, and Shapery has withdrawn his offer to pay $10,000
for landscaping with a matching city share. The purchase of this property will become
$650,000 with no strings attached.
Chapman told Council working with Grueter, who represents Jim Trueman regarding the
park dedication fees, they have come up with a proposal. In this proposal, Trueman
acknowledges he owes the city $15,532 for the residential park dedication fees. This is
the original fee of $10,726 plus 7 per cent interest for 2,336 days. Chapman said that
Trueman and the city agree that the commercial park dedication fee owned by Trueman is
$30,000, which will constitute full satisfication of any park dedication fee. Chapman
told Council the original park dedication fee of $90,000 with 7 per cent interes5 for
2, 336 days would have been $130,000. Chapman told Council the staff's research has shown
that no one has ever paid a commercial park dedication fee. Chapman also told Council
that shortly after this SPA approval for Trueman, the commercial park dedication fee was
repealed.
Chapman told Council that Trueman will agree to accept a promissory note from the city in
satisfaction for Shapery's $300,000 promissory note. The principle amount of the note
is $254,468, which is the $300,000 reduced by the park dedication fees owed to the city.
The city will pay Trueman 6 per cent annual interest payable quarterly for three years.
The principle amount of the note is due September 1986. Chapman presented a financial
impact to the city. The negotiated settlement represent an economic benefit to the city
of $114,000. Chapman said he recommends these terms and that they be written into the
ordinance.
Councilman Blomquist moved to read Ordinance #41, Series of 1983; seconded by Councilman
Knecht. All in favor, motion carried.
ORDINANCE NO. 41
(Series of 1983)
AN ORDINANCE APPROVING T~E~CQ43~$ITION BY TH~ ~C~T¥'OF ASPEN OF
THAT PROPERTY LOCATED WITHIN THE CITY OF ASPEN, couNtY OF PITKIN,
KNOWN AS LOT 3, TRUEMAN NEIGHBORHOOD COMMERCIAL PROJECT (TNCP);
DESIGNATING THE SUM OF $650,000, PLUS INTEREST AS PROVIDED, TO
PURCHASE THE SAME FROM OPEN SPACE BOND PROCEEDS; AUTHORIZING THE
SETTLEMENT OF CERTAIN CROSS-CLAIMS BETWEEN THE CITY OF ASPEN AND
JAMES R. TRUEMAN AND CERTAIN OF HIS ASSOCIATED BUSINESS ENTITIES
IN CONNECTION WITH THE DEVELOPMENT OF THE TNCP, WHICH SETTLEMENT
IS INCLUDED IN PART IN THE PURCHASE TERMS OF SAID LOT 3; ADOPTING
THAT CERTAIN "VACANT LAND CONTRACT TO BUY AND SELL REAL ESTATE" TO
PURCHASE THE SAID LOT 3, WHICH CONTRACT IS ANNEXED AS EXHIBIT "A"
AND INCLUDES THE FOLLOWNG TERMS:
1. COMPENSATION TO THE OWNER OF LOT 3 OF $650,000, PLUS
INTEREST AS PROVIDED, TO BE PAID AS FOLLOWS:
(a) $350,000 IN CASH AT CLOSING;
(b) ASSUMPTION AND NOVATION BY THE CITY OF A
PROMISSORY NOTE FROM THE OWNER TO JAMES R.
TRUEMAN OF $300,000, WHICH ORIGINAL NOTE WOULD
BE CANCELLED AND REDELIVERED AS A NOTE FROM
THE CITY TO JAMES R. TRUEMAN WITH A PRINICPAL
AMOUNT OF $254,468 AT SIX PERCENT (6%) ANNUAL
INTEREST WITH QUARTERLY PAYMENTS OF INTEREST
ONLY FROM SEPTEMBER 1, 1983, TO SEPTEMBER 1,
1986, ON WHICH DATE ALL PRINCIPAL AND ACCRUED
INTEREST WOULD BE DUE.
2. DISMISSAL WITH PREJUDICE OF CIVIL ACTION NO. 83 CV
301 IN THE DISTRICT COURT FOR PITKIN COUNTY,
COLORADO, CAPTIONED "SANDOR W. SHAPERY V. THE CITY
OF ASPEN, ET AL."
3. THE CITY'S OBLIGATIONS UNDER THE CONTRACT ARE
EXPRESSLY CONDITIONED ON APPROVAL AND ADOPTION OF
THE CONTRACT BY ORDINANCE OF THE ASPEN CITY
COUNCIL;
AUTHORIZING THE SETTLEMENT OF CERTAIN CROSS-CLAIMS BETWEEN THE
CITY OF ASPEN AND JAMES R. TRUEMAN AND CERTAIN OF HIS ASSOCIATED
BUSINESS ENTITIES IN CONNECTION WITH DEVELOPMENT OF THE TNCP,
WHICH SETTLEMENT INCLUDES THE FOLLOWING TERMS:
Reqular Meetinq Aspen City__C_oJ~D~ Au~,~e R; 1 9J~3
ACCEPTANCE BY TRUEMAN OF AN ASSUMPTION AND
NOVATION OF THAT CERTAIN ORIGINAL PROMISSORY
NOTE FROM SANDOR W. SHAPERY TO JAMES R.
TRUEMAN OF JANUARY 8, 1982, WITH A PRINCIPAL
AMOUNT OF $300,000 AND AN ANNUAL INTEREST RATE
OF TWELVE PERCENT (12%) TO A NOTE FROM THE
CITY OF ASPEN TO JAMES R. TRUEMAN WITH A
PRINCIPAL AMOUNT OF $254,468 AND AN ANNUAL
INTEREST RATE OF SIX PERCENT (6%).
2. REDUCTION OF THE PRINCIPAL AMOUNT ON THE
ORIGINAL NOTE BY $15,532, REPRESENTING A
RESIDENTIAL PARK DEDICATION FEE.
3. REDUCTION OF THE PRINCIPAL AMOUNT ON THE
ORIGINAL 'NOTE BY $30,000, REPRESENTING A
COMMERCIAL PARK DEDICATION FEE.
4. CANCELLATION OF THAT CERTAIN PROMISSORY NOTE
FROM JAMES R. TRUEMAN TO THE CITY OF ASPEN OF
APRIL 8, 1977, WITH A PRINCIPAL AMOUNT OF
$90,000 AND THE EXCHANGE OF MUTUAL RELEASES;
AND AUTHORIZING AND DIRECTING THE MAYOR AND THE CITY MANAGER EACH
SEPARATELY TO EXECUTE ON BEHALF OF THE CITY OF ASPEN SUCH DOCU-
MENTS AS ARE NECESSARY TO CONSUMMATE THE DESCRIBED TRANSACTIONS.
was read by the city clerk
Councilman Knecht moved to adopt Ordinance #41, Series of 1983, on first reading; seconded
by Councilman Blomquist. Roll call vote; Councilmembers Knecht, aye; Collins, aye; Blom-
quist, aye; Walls, aye; Mayor Stirling, aye. Motion carried.
RUEDI RESERVOIR - Contract Amendment with Sheaffer & Roland
City Manager Chapman said this is a report on the status of Ruedi reservoir, what is
happening the city's application for hydropower. Chapman said the permit process is almostli
finished and the city could expect to have the permit issued before the end of this year.
The city is starting to work on the next phase, which is building the hydropower facility.
Chapman said the staff feels the best economic return is the design/build request for
proposal process.~ Chapman said with this process, the city can move almost $100,000 in
engineering costs to the successful proposer rather than the city bearing it. Chapman saidi
one reason to go ahead with this now is one of the big costS, which is debt service.
Chapman told Council the bond market over the next months or year will probably have higherll
bond rates due to several reasons. Chapman said he would like to move forward with the
request for proposal process now and also try to get to the bond market in a somewhat
simultaneous process. Chapman said the staff is looking into moving this out of the
municipal bond market into a hybrid financial process where this could be p~i~ateiy~
capitalized. Chapman said the staff would like to start the RFP process with an overlapping
permit process.
Chapman said the request is to approve the contract with Sheaffer & Roland, the city's
consulting engineers, so that they can start the proposal process and evaluate the proposal~
as they come in. Mayor Stirling asked ~bout the need of this kind of energy. Chapman saidil
this would provide about 50 per cent of the power<3~equirements for the city of Aspen. This
would provide some price insulation to the city,s customer. Chapman said if e~erything goes
as planned, construction could be started in spring of 1984 with supplying power as early
as fall 1985.
Mayor Stirling asked where this expenditure would come from and has it been presented to
Council. Finance Director Sheree Sonfield told Council it Was not shown in the last
financial report. There is money in the electric fund to pay for this. Chapman told
Council in the bonding process, the staff would hope to capitalized!att the costs to date,
which would total around $350,000. The electric fund could then be repaid its costs.
Councilman Collins asked if this refund to the electric fund would include interest.
Chapman said that would be a straight payment.
Councilman Collins said fhe memorandum discusses a 3.5 megawatt and a 5.0 megawatt facilityi!
and has it been decided what the city is going to build. Chapman said the 3.5 megawatt
gives the city the best economic return in the early years. Chapman said it is planned to
design the plant so that it can be increased easily in the 8th or 10 year. Councilman
Collins pointed out one of the reason for going ahead with the hydropo~er is to keep an
adequate pool of water in the reservoir. Chapman explained at the same time the Bu~Rau of
Reclamation was negotiating to sell the water in the reservoir, and the city and county
looked at a hydropower plant as cash flow to buy the water. Shortly after that the BOR
changed their minds. However, the BOR is now re-considering to sell the water.
Chapman said the city has protection in the national environmental protection act andtthe
process the BOR would have to go through to change the operation of the reservoir. Chapman
said the city would hope to get some agreements from the BOR about the reservoir, as it is
a revenue source for the BOR also.
Councilman Knecht moved to amend the Sheaffer & Roland contract to permit requests for
proposals and evaluation of these proposals; seconded by Councilman Blomquist. All in favor,
motion carried.
3527
Regular Meeting AspenV~ Council August 8, 1983
CONSENT AGENDA
Councilman Collins requested the encroachment license for Aspen Laundry be remo~ed~ from
the consent agenda.
Councilman Knecht moved to approve the consent agenda; seconded by Councilman Blomquist.
The consent agenda is liquor license renewal Magnifico's; Resolution ~22, Series of
1983. All in favor, motion carried.
Council discussed the Aspen Laundry encroachment agreement. They are required to put an
8 foot sidawalk in on Hopkins street. Russ Pielstick showed the plans of moving the
tree and how the sidewalk will work on Hopkins street.
Councilman Collins moved to grant a standard encroachment license to the Aspen Laundry
and Dry Cleaners building subject to the applicant agreeing to replace the five foot
sidewalk with an eight foot sidewalk should the city so require in the-future; seconded
by Councilman Blomquist. All in favor, motion carried.
Councilwoman Walls moved to adjourn the Council meeting at 9:20 p.m.; seconded by Council-
man Blomquist. All in favor, motion carried.
Kathryn ~. 'Koch, City Clerk