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HomeMy WebLinkAboutNorth Day Lot Skier Drop Off Fee in Lieu Option - July 21, 2010TOWN OF VAILV Department of Community Development 75 South Frontage Road Vail, Colorado 81657 970- 479 -2138 FAX 970 -479 -2452 www.vailgov.com July 21, 2010 Ms. Kristin Williams Vail Resorts P.O. Box 7 Avon, Colorado 81620 Re: North Day Lot Skier Drop Off Fee in Lieu Option Dear Kristin, Thank you for meeting earlier today to discuss terms for establishing a fee in lieu payment option for the required skier drop off improvements on the North Day Lot in Lionshead. The purpose of my letter is to follow up with you on the response from the Vail Town Council on the offer made by Vail Resorts to the terms for establishing the fee in lieu option. As previously discussed, the Vail Town Council is agreeable to the following terms: Vail Resorts • Vail Resorts agrees to provide the Town of Vail a one time payment of $800,000. • Vail Resorts agrees to make the one time payment upon execution of any skier drop amendment agreement. • Vail Resorts agrees to construct and maintain the pedestrian improvements across the North Day Lot and provide a public pedestrian access easement to the Town of Vail. Snowmelt is at the discretion of Vail Resorts. • Vail Resorts agrees to submit a revised site plan to the Town of Vail demonstrating compliance with the Town of Vail Zoning Regulations. • Vail Resorts agrees to utilize the net new surface parking spaces (20 — 30 spaces) on the North Day Lot site for Vail Resorts employee parking. • Vail Resorts agrees to maintain the present snowmelt system boiler capacity in the First Chair building. • Vail Resorts agrees to negotiate in good faith as time is of the essence `owj RECYCLED PAPER Town of Vail • The Town of Vail agrees to release the public skier drop off use restriction from the North Day Lot site upon receipt of fee in lieu payment. • The Town of Vail agrees that all the parking spaces maintained as a result of the new surface parking lot may be subtracted from the existing 318 parking space deficit. • The Town of Vail agrees to utilize the fee in lieu funds to improve and/or increase public skier drop off and guest parking opportunities within Lionshead. (refer to prior agreement for $4.3 million for format) • Town of Vail agrees to negotiate in good faith as time is of the essence. I remain committed to working towards establishing a fee in lieu payment option for the required skier drop off improvements on the North Day Lot in Lionshead. A significant opportunity exists for both the Town of Vail and Vail Resorts to work cooperatively in creating a win/win outcome for the community and ensure that our skiing guests have the best skier drop off experience possible. I trust you will consider the Town's amended offer and get back to me at your earliest convenience. I can be reached most easily by telephone at (970) 479 -2145. Sincerely, George Ruther, AICP Director of Community Development Town of Vail Memorandum To: Vail Town Council From: George Ruther, Director of Community Development J. Matt Mire, Town Attorney Date: July 20, 2010 Re: North Day Lot Skier Drop Off Negotiations Response I. Purpose The purpose of this memorandum is to inform the Vail Town Council of the response from Vail Resorts to the Council approved terms for negotiating a fee in lieu option with Vail Resorts for the skier drop off obligation at the North Day Lot. II. Background On June 15, 2010, the Town Staff presented a North Day Lot Skier Drop Off fee in lieu offer to Vail Resorts for consideration. The offer was made since pursuant to the Approved Development Plan for the Arrabelle at Vail Square project, the applicant, Vail Resorts is contractually obligated to provide nine (9) public skier drop off spaces within Lionshead. In accordance with the approved plans for the North Day Lot employee housing project ( "First Chair "), the applicant has agreed to construct nine (9) skier drop off spaces on for public use on the west end of the development site. In addition to the skier drop off spaces, the applicant has also agreed to construct certain pedestrian improvements and amenities (ie, shelters, benches, heated walkways, etc). III. Why Consider a Fee in Lieu Option? The North Day Lot skier drop off location was selected based upon the best information available to the applicant and the Town at the time. At the time that the site for skier drop off was selected by the Town, other site options were not available for consideration or were discarded due to cost. Since selecting the North Day Lot site, additional options for skier drop off have been considered by the Town (ie, Lionshead Parking Structure west in/west out). The Lionshead Parking Structure site was selected for additional skier drop off due to its proximity to the Eagle Bahn Gondola, ease of access, presence of existing guest amenities, proximity to public transit, improved guest experience and its ability to increase or decrease in size based upon demand. A fee in lieu option should be considered for the following reasons: • A more suitable location for skier drop off has been identified by the Town since previously approving the NDL site. • Greater utilization of the Lionshead Parking Structure site is anticipated due to the closer proximity of the Structure to the core of Lionshead and the Eagle Bahn Gondola. • The Lionshead Parking Structure site is in a more intuitive location for our guests and visitors. • No additional Town staffing will be required. • The NDL site can be better utilized for Vail Resorts employee parking and the additional parking comes on line sooner. • The NDL site has less of an impact on the no net loss of parking policies outlined in the Lionshead Redevelopment Master Plan. • The funds resulting from the fee in lieu payment can be leveraged by the Town for the betterment of the community and our guests. • The North Day Lot is no longer the best location for public skier drop off and as such the location will be underutilized in comparison to other more suitable locations. • It's the "right" thing for Vail Resorts and the Town of Vail to do IV. Response to the Approved Terms of Negotiation Vail Resorts has verbally responded to the offer of consideration as follows: Vail Resorts • Vail Resorts agrees to provide the Town of Vail a one time payment of $7 e, v 0 800,0Q90 r uVI-L— ©pse-e. . • Vail Resorts agrees to make the one time payment upon execution of any skier drop amendment agreement. • Vail Resorts agrees to construct and maintain the pedestrian improvements across the site and provide a public pedestrian access easement to the Town of Vail. Snow melt is at VR's discretion • Vail Resorts agrees to submit a revised site plan to the Town of Vail demonstrating compliance with the Town of Vail Zoning Regulations. • Vail Resorts agrees to utilize the net new surface parking spaces (20 — 30 spaces) on the North Day Lot site for Vail Resorts employee parking. • Vail Resorts agrees to negotiate in good faith as time is of the essence Town of Vail • The Town of Vail agrees to release the public skier drop off use restriction from the North Day Lot site upon receipt of fee in lieu payment. • The Town of Vail agrees that all net new parking spaces created as a result of the new surface parking lot may be credited against the existing 318 parking space deficit. • The Town of Vail agrees to utilize the fee in lieu funds to improve and /or increase public skier drop off and guest parking opportunities within Lionshead. (refer to prior agreement for $4.3 million for format) • Town of Vail agrees to negotiate in good faith as time is of the essence. • - Vega 6o;iae 2