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HomeMy WebLinkAbout2007-08-21 Support Documentation Town Council Work SessionVAIL TOWN COUNCIL WORK SESSION AGENDA VAIL TOWN COUNCIL CHAMBERS 75 S. Frontage Road W. Vail, CO 81657 1:00 P.M., TUESDAY, AUGUST 21, 2007 NOTE: Times of items are approximate, subject to change, and cannot be relied upon to determine at what time Council will consider an item. 1. Rachel Friede ITEM/TOPIC: Site Visit. The Wren. (20 min.) 2. Warren Campbell ITEM/TOPIC: PEC/DRB Update. (15 min.) 3. Kathleen Halloran ITEMlTOPIC: Review first draft of Town Manager's budget (Genera( Fund). (30 min.) ACTION REQUESTED OF COUNCIL: Review and discuss the first draft of the Town Manager's budget (General Fund). BACKGROUND RATIONALE: To be provided in separate memo. STAFF RECOMMENDATION: To be provided in separate memo. 4. Nina Timm ITEM/TOPIC: An overview of required capital maintenance at Timber Ridge Village Apartments. (15 min.) The Timber Ridge Affordable Housing Corporation will be back to Town Council on September 4, 2007, to discuss the costs associated with Phase I and Phase II of the capital maintenance projects identified. -The Corporation currently has $286,000 in its replacement reserve account. BACKGROUND: The Town of Vail purchased Timber Ridge Village Apartments in July, 2003. When the Town purchased the property there was deferred maintenance and the majority of the exterior maintenance .repair has not been addressed with the interior remediation. The buildings have now reached a point when the exterior repairs and maintenance must be done in order to continue to operate the apartment complex.. Borne Engineering was retained and has submitted a Property Condition Report that is the basis for prioritizing the exterior repairs and maintenance. ACTION REQUESTED OF COUNCIL: Listen to the overview of recommended repairs and maintenance at Timber Ridge in order to continue providing 600 employee rental beds in the Town of Vail STAFF RECOMMENDATION: None at this time. 5. Kathleen Halloran ITEM/TOPIC: DISCUSSION OF ORDINANCE NO. 24, Series of 2007, AN ORDINANCE MAKING SUPPLEMENTAL APPROPRIATIONS TO THE TOWN OF VAIL GENERAL FUND, CAPITAL PROJECTS FUND, REAL ESTATE TRANSFER TAX FUND, AND HEALTH INSURANCE FUND OF THE 2007 BUDGET FOR THE TOWN OF VAIL, COLORADO; AND AUTHORIZING THE EXPENDITURES OF SAID APPROPRIATIONS AS SET FORTH HEREIN; AND SETTING FORTH DETAILS IN REGARD THERETO. (20 min.) ACTION REQUESTED OF COUNCIL: Ask any questions or give any comments regarding the 2nd supplemental of 2007, Ordinance No. 24, Series of 2007, an ordinance making supplemental appropriations to the Town of Vail 2007 budget, in preparation for approving the first reading during the evening session. BACKGROUND RATIONALE: To be provided in a separate memo. STAFF RECOMMENDATION: Staff recommends that the Town Council approves Ordinance No. 24, Series of 2007, upon first reading this evening. 6. BiN Gibson ITEM/TOPIC: Discussion of First reading of Ordinance No. 25, Series of 2007, an ordinance amending Sections 12-6B-2, 12-6B- 3, 12-6C-2, 12-6C-3,.12-6D-2, 12-6D-3, 12-13-4, Vail Town Code, to change Type II Employee Housing Units from a conditional use to a permitted use in the Single-Family Residential (SFR), Two- Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts, and setting forth details in regard thereto. (10 min.) ACTION REQUESTED OF COUNCIL: Approve, approve with modifications, or deny Ordinance No. 25, Series of 2007, on first reading. BACKGROUND RATIONALE: On August 13, 2007, the Planning and Environmental Commission forwarded a recommendation of approval for the proposed amendments by a vote of 6-0-0. STAFF RECOMMENDATION: The Community Development Department recommends that the Vail Town Council approves Ordinance No. 25, Series of 2007, on first reading. 7. Matt Mire ITEM/TOPIC: Discussion of Resolution No. 19, Series of 2007, a Judy Camp resolution submitting to the registered electors of the Town of Stan Zemler Vail, Colorado, at a regular municipal election held on November 6, 2007, a ballot issue concerning the adoption of a use tax to finance capital projects and acquisitions: and providing other details relating thereto. (10 min.) ACTION REQUESTED OF COUNCIL: Approve, approve with modifications, or deny Resolution No. 19, Series 2007, in the evening meeting. BACKGROUND RATIONALE: At the evening meeting, Council will be asked to consider Resolution No. 19. Time is set aside during the work session to assure Council has the information needed to discuss and make a decision on the proposed construction use tax ballot question in the evening. STAFF RECOMMENDATION: Staff recommends approval of Resolution No. 19, Series 2007. 8• ITEM/TOPIC: Information Update. (10 min.) 9• ITEM/TOPIC: Matters from Mayor & Council. (10 min.) 10. Matt Mire ITEMROPIC: Executive Session, pursuant to: 1.) C.R.S. § 24-6- . 402(4)(a)(b)(e) - To discuss the purchase acquisition, lease, transfer, or sale of property interests; to receive legal advice on specific legal questions and to determine positions, develop a strategy and instruct negotiators, regarding Town of Vail workforce housing. (30 min.) 11 • ITEM/TOPIC: Adjournment. (3:50 p.m.) NOTE UPCOMING MEETING START TIMES BELOW: (ALL TIMES ARE APPROXIMATE AND SUBJECT TO CHANGE) THE NEXT VAIL TOWN COUNCIL REGULAR WORK SESSION WILL BEGIN AT TBD, TUESDAY, SEPTEMBER 4, 2007 IN THE VAIL TOWN COUNCIL CHAMBERS. TOWN OF VAIL 2008 BUDGET PROPOSAL GENERAL FUND AND RELATED FUNDS The Town of Vail 2008 budget proposal presented in this document continues to support the five areas of focus identified by the Town Council: 1) facilitate Vail's redevelopment; 2) address issues proactively; 3) elevate community leadership; 4) improve the local economy; and 5) add to Vail's appeal as a place to live, work, and play. GENERAL FUND The General Fund supports the town's basic municipal operations. The attached General Fund budget proposal reflects revenue over expenditures of $ 210,483. REVENUE - $29,430,002 The General Fund's primary source of revenue is sales tax ($11.6 million) followed by property and ownership tax ($3.8 million), parking and charter bus service ($3.7 million) and lift tax ($3.1 million). Licenses and permit fees are also expected to provide significant amounts ofrevenue ($2.4 million) in 2008, primarily due to major redevelopment projects. Sales Tax - $11,640,000 In this budget proposal, 60% of the town's 4% general sales tax is allocated to the General Fund. The remaining 40% is allocated to the Capital Projects Fund. By Charter, approval of this budget will require an affirmative vote by five out of seven Council members because less than 50% of the sales tax revenue will be dedicated to capital acquisition and improvements. Total sales tax is projected conservatively at $19,400,000. Sales tax revenue is impacted by many variables including: snow conditions, the number of days Vail Mountain is open; local and international travel conditions; construction activity in Vail; and the economy in general. The 2006/2007 ski season generated excellent sales tax revenue, and construction activity has not deterred collections as expected. We budgeted the 2008 sales tax revenue to increase approximately 14% from the 2007budget and 8% higher than the 2007 projected collections. Redevelopment projects are also considered in the projections. Property and Ownership Tax - $3,843,500 Property tax is estimated based on information from the Eagle County Assessor's Office. Although final numbers are not expected until November ,(after the second reading of the budget in October), we have built in a 10% reduction for successful appeals. Property tax is budgeted at $3,660,000 with ownership tax expected to contribute $183,500. Lift Tax - $3,123,852 This is a 4% tax on ski area admissions. We have budgeted an 8% increase from the 2007 budget, and a 5% increase from actual results in 2006. Licenses and Permit Fees - $2,353,950 The largest component of licenses and permits is construction permit fees, which includes building; mechanical, plumbing, and electrical permits. The 2008 budget for construction permits totals $1,347,000, with $746,826 coming from major redevelopment projects such as the Gorsuch building, Lionshead Inn / Fogata, and the Concert Hall Plaza. To be conservative, we have included only major projects currently under construction or with a building permit in house. Compared with the 2007 projected budget, licenses and permit fees are down $134,000 or 10%. Plan check fees represent an additional $785,000 of the license and permit fee category in 2008, with design review, Planning & Environmental Commission (PEC), contractor's licenses, liquor licenses and various other categories making up the remainder. Plan check fees are down from the 2007 projected budget by approximately $305,000, or 39%. These fees are also budgeted conservatively with major projects budgeted only when the submittal for plan review is received. Since many of the large development plan reviews are outsourced, the associated costsare also appropriated only when the submittal is received. A new construction mitigation fee may be requested for implementation in 2008. A study will be completed this fall to determine incremental costs to the town associated with redevelopment activity. EXPENDITURES - $29,219,520 Salary and Benefits Approximately 60% of the town's expenditures for municipal services are salary and benefits. The 2008 budget proposal includes aperformance-based merit increase pool averaging 5% of salaries. Staff feels this is the minimum funding needed to remain an average payer among our competitor group. Also included is a combined benefits rate of 36.8% (40.3% for full tune regular employees and 9.6% for seasonal and part-time employees). Although healthcare costs continue to rise each year, we have maintained the full-time benefits rate at the same percentage of salaries. Economic Development The economic activities previously managed by the Town Manager and other areas within town have been consolidated into a new Economic Development Department. Incremental funding was not required to form this department. The 2008 proposed budget includes an,economic vitality study and comparative destination resort site visits. 2 Redevelopment The proposed 2008 budget includes approximately $1.5 million for outsourced building inspections under contract with SAFEbuilt Colorado (previously Colorado Inspection Agency) for major redevelopment projects. VAIL MARKETING FUND Business license fees provide the revenue for this fund, which is restricted to marketing Vail. Revenue is expected to be flat with the 2007 budget as new businesses offset closures from redevelopment. Accordingly, expenditures for marketing through the Commission on Special Events (CSE) are flat at $280,000. DEBT SERVICE FUND This fund is used to manage principal and interest on the town's outstanding debt. Funds are transferred from the Capital Projects Fund to meet annual debt service requirements and to cover the next upcoming principal and interest payments on the 1998A and 2002B bonds. HEAVY EQUIPMENT FUND This is an internal services fund that manages the maintenance and repair of town vehicles and equipment and the purchase of replacement vehicles other than buses and fire trucks. Costs are charged back to departments based on their use of the vehicles and equipment. A 5.6% increase in charges back to the departments (and a 10% increase in overall expenditures) is attributable to fluctuating fuel costs and an increase in the amount of funds being set aside for future vehicle replacements. HEALTH INSURANCE FUND This internal services fund manages the costs of providing health and short-term disability insurance to employees. Net costs are charged to departments as employee benefits. Since the town is self-insured on these items, a sufficient fund balance is maintained to absorb extraordinary claims. DISPATCH SERVICES FUND This is an enterprise fund, e.g., more than half of its revenue is from sources outside of the town, managing emergency communications for all of Eagle County. The county and 911 Board currently fund six dispatcher positions and a systems engineer. 3 (.008 Budget Analysis -General Fund ~-!- I _ Current Revenue Projection: ~ 2007 2008 _ at 60/40 split: ?9,430,002 i__ at 63/37 split: 26,502,892 ~___ - tx enses excl. staffin 2007 2008 %a a Var Comments _ i Town Council 77,568 80,250 3.5% i own Attorney 81,603 83,736 2.6% ~_ Court 18,894 19,371 2.5% a 'Town Mana er 240,272 137,800 -42.6% Funds transferred to Economic Development department _~Finance _ 135,939 156,757 15.3% $17K in add'I Treasurer fees - %a a of property taxes paid to County gales Tax 13,670 14,012 2.5% . _Risk Management i 420135 431,588 2.7% ~;rformation Systems 346,442 .352,342 1.7% _ _I?own Clerk 32 500 51,122 57.3% _ $15K increase to publication of legal notices (budgeting same as 2006 actual) 'Comm Info /Public Relations 171,990 127,750 -25.7% $21 K moved to Econ Dev budget; $25K resident survey not planned for 2008 (every 2 years) _~_i~uman Resources 204 745 249,910 22.1% $10K retirement bonuses; incr recruiting budget $SK; $7.5K educ; $12K bus passes ~ IAdministratlon _ 163,185 167,823 2.8% _', Com Dev Admin 42,614 46,970 10.2% Combined all Comm Dev depts for telephone expense (offset by decr. in other depts) __j N!a_nning 38,844 ' 38,851- 0.0% '_Flanning Projects 6,000 6,000 0.0% i3uilding 319,964 1;566,221 389.5% $1.2M incr. in construction fees -relates to $2,1M in revenue _ LEnviro Health 40,536 10,976 -72.9% Removed $30K budgeted in 2007 for restaurant inspections now done in-house EH Projects 12,000 18,450 53.8% Recycling cost increased during 2007 ~~ousing 13,829 14,172 2.5% - Rousing Rentals 109,593 123,119 12.3% Increased condo dues & trash removal for newly purchased units police 3-- 513,299 522.398 1.8% i 'Fire ' 97,192 101,639 _ 4.6% $2.3K increase in Haz Matto RHMAEC (Eagle Cty); based on ann'I budget ~_ Fire Prevention 70,182 ' 81,949 16.8% $10K for training and certifications !'ublic Works Admin - ~ - 54,176 55.230 1.9% ~ rublic Works Streets 291,900 300.610 3.0% 'TYansitAdministration _ 121,188 122,888 1.4% ~ ransit Bus Routes ~ 10,000 10.000 0.0% t _ ~ Parking _ ~ 156,785 154.530 -1.4% Will save $30K on maintenance of equip with new equip for'07; bank fees up $25K 'Facilities 1,650,085 1.677.600 1 7% Incr in natural gas; streetscape heat $28K; offset b limitedlno increases in other accts 1 onovan Pavilion _ - . 199,348 202.570 1.6% . y Based on contract (thru '09) and small incr. in utilities, etc. ~ ~d !brary 333,372 338.212 1.5% ~_ _,C;ontributions __ 451,250 4'2.050 4.6% Not including $150K requested for International Cycle Classic SE (w/o staffing) 47Q,OD0 485.990 3.4% Assumes 2.5% increase less $280K covered by the Marketing Fund ~~Information Center 207,414 212,300 2.4% Economic Develo ment (Line Item Bud et 66,762 7,150,677 ' 8,501,947 Includes $30K for programs and transfer of $21 K from Communications budget 1 Dispatch Charges to GF ~~{EF Charges to GF , 512,427 2,578,141 535,657 2,722,793 4.5% 5.6% Some increases due to fuel and vehicle parts Staffing (incl. benefits) 16,340,668 17,459,122 6.8% Benefits at 40.3%; merit increase at 5% Total Expenses: _ -, _ 26,581,913 29,219,519 9.9% ~2evenue Over (Under) Expenditures 210,483. ~ S~ginning Fund Balance (as of 2nd Supp) 14,686,181 +__ n ing and a ante 4,89 , 4 °fo Fund Balance to Revenue 50.6°~~ TOWN OF VAIL 2008 BUDGET PROPOSAL SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE GENERAL FUND Revenue Local Taxes: Sales Tax Split b/t Gen'I Fund & Capital Fund Sales Tax Property and Ownership Ski Lift Tax Franchise Fees, Penalties, and Other Taxes Licenses & Permits Intergovernmental Revenue Transportation Centers Charges for Services Fines & Forfeitures Earnings on Investments Rental Revenue Miscellaneous and Project Reimbursements Total Revenue Expenditures Salaries Benefits Subtotal Compensation and Benefits Contributions and Special Events All Other Operating Expenses Heavy Equipment Operating Charges Heavy Equipment Replacement Charges Dispatch Services Total Expenditures Revenue Over (Under) Expenditures Transfer to Capital Projects Fund Transfer to RETT Beginning Fund Balance Ending Fund Balance 2007 2007 Proposed 2008 Fav(Unfav) 2006 Original Amended Proposed vs 2007 Actual Budget Budget Budget Amended 52/48 63/37 60/40 $ 9,345,660 $ 10,741,500 $ 10,741,500 $ 11,640,000 $ 898,500 2,931,347 3,007,998 3,007,998 3,843,500 835,502 2,975,098 2,890,000 2,890,000 3,123,852 233,852 884,328 807,000 807,000 826,110 19,110 3,561,757 1,883,550 2,779,550 2,353,950 (425,600) 1,477,270 1,283,200 1,348,900 1,366,800 17,900 4,099,674 3,685,380 3,685,380 3,736,380 51,000 667,423 752,856 773,008 816,410 43,402 286,197 201,500 201,500 215,000 13,500 820,136 425,000 795,000 675,000 (120,000) 827,280 754,908 737,220 763,000 25,780 501,698 70,000 70,000 70,000 0 28,377,868 26,502,892 27,837,056 29,430,002 1,592,946 11,347,540 12,099,741 12,169,578 12,965,560 (795,982) 3,798,569 4,240,927 4,242,280 4,493,562 (251,282) 15,146,109 16,340,668 16,411,858 17,459,122 (1,047,264) 952,290 1,176,664 1,464,664 1,170,340 294,324 5,644,388 5,974,016 7,394,336 7,331,608 62,728 1,765,937 1,946,418 1,946,418 2,093,149 (146,731) 571,135 631,723 631,723 629,643 2,080 525,994 512,427 512,427 535,657 (23,230) 24,605,853 26,581,916 28,361,426 29,219,519 (858,093) 3,772,015 (79,024) (524,370) 210,483 734,853 (2,000,000) (222,500) (12,772) 13,673,808 12,664,969 15,433,051 14,686,181 $ 15,433,051 $ 12,585,945 $ 14,686,181 $ 14,896,664 -5- TOWN OF VAIL 2008 BUDGET PROPOSAL SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE VAIL MARKETING FUND 2007 2008 2006 Original Proposed Actual Budget Budget Revenue Business Licenses $ 301,861 $ 304,000 $ 304,000 Earnings on Investments 3,538 - - Total Revenue 305,399 304,000 304,000 Expenditures Commission on Special Events 280,000 280,000 280,000 Collection Fee -General Fund 15,093 15,200 15,200 Total Expenditures 295,093 295,200 295,200 Revenue Over (Under) Expenditures 10,306 8,800 8,800 Beginning Fund Balance Ending Fund Balance 36,211 45,011 53,811 $ 46,517 $ 53,811 $ 62,611 DEBT SERVICE FUND Revenue Transfer from Capital Projects Fund Earnings on Investments and Other Total Revenue Expenditures Principal Interest Expense Fiscal Agent Fees Total Expenditures Revenue Over (Under) Expenditures Beginning Fund Balance Ending Fund Balance 2007 2008 2006 Original Proposed Actual Budget Budget $ 2,236,200 $ 2,322,497 $ 2,321,825 25,757 - - 2,261,957 2,322,497 2,321,825 1,755,000 1,810,000 1,890,000 562,323 512,099 432,396 900 2,500 2,500 2,318,223 2,324,599 2,324,896 (56,266) (2,102) (3,071) 305,522 221,898 219,796 $ 249,256 $ 219,796 $ 216,725 -6- TOWN OF VAIL 2008 BUDGET PROPOSAL SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE HEAVY EQUIPMENT FUND 2007 2007 Proposed 2008 Revenue Town of Vail Interagency Charge Insurance Reimbursements & Other Earnings on Investments Equipment Sales and Trade-ins Total Revenue Expenditures Salaries & Benefits Operating, Maintenance & Contracts Capital Outlay Total Expenditures Revenue Over (Under) Expenditures Beginning Fund Balance Ending Fund Balance 2006 Original Amended Proposed Actual Budget Budget Budget $ 2,413,781 $ 2,578,141 $ 2,578,141 $ 2,722,793 59,207 37,900 37,900 38,800 49,500 8,000 8,000 65,000 20,287 49,330 49,330 133,530 2,542,775 2,673,371 2,673,371 2,960,123 789,002 926,331 926,331 984,429 1,091,844 987,873 987,873 1,180,450 277,823 671 300 671 300 686 300 2,158,669 2,585,504 2,585,504 2,851,179 384,106 87,867 87,867 108,944 1,001,277 1,292,685 1,385,383 1,473,250 $ .1,385,383 $ 1,380,552 $ 1,473,250 $ 1,582,194 HEALTH INSURANCE FUND 2007 2007 Proposed 2008 Revenue 2006 Original Amended Proposed Actual Budget Budget Budget Town of Vail Interagency Charge -Premiums $ 1,856,000 $ 2,242,900 $ 2,242,900 $ 2;242,900 Employee Contributions 226,805 241,600 252,200 241,600 Insurer Proceeds 368,723 5,000 152,000 5,000 Earnings on Investments 50,431 27,200 33,500 27,200 Total Revenue 2,501,959 2,516,700 2,680,600 2,516,700 Expenditures Health Inuurance Premiums Claims Paid Short-term Disability Pay Professional Fees Total Expenditures Revenue Over (Under) Expenditures Beginning Fund Balance Ending Fund Balance 296,956 299,400 299,400 299,400 2,030,357 2,143,800 2,772,000 2,143,800 53,727 56,000 40,000 56,000 17, 500 17, 500 17, 500 17, 500 2,398,540 2,516,700 3,128,900 2,516,700 103,419 - (448,300) - 905,854 475,154 1,009,273 560,973 $ 1,009,273 $ 475,154 $ 560,973 $ 560,973 -7- TOWN OF VAIL 2008 BUDGET PROPOSAL SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE DISPATCH SERVICES FUND 2007 2007 Proposed 2008 2006 Original Amended Proposed Actual Budget Budget Budget Revenue E911 Board Revenue $ 473,939 $ 563,654 $ 563,654 $ 582,183 Interagency Charges 863,644 901,858 901,858 956,694 Town of Vail Interagency Charge 525,994 512,427 512,427 535,657 Earnings on Investments 29,320 - - E911 BOARD Capital Grant 24,092 - - Project Reimbursement - - 72,000 - Other 27,766 - Total Revenue 1,944,755 1,977,939 2,049,939 2,074,534 Expenditures Salaries & Benefits 1,289,334 1,470,322 1,470,322 1,559,641 Operating, Maintenance & Contracts 365,966 475,119 475,119 534,467 Capital Outlay 15,391 50,000 122,000 50,000 Total Expenditures 1,670,691 1,995,441 2,067,441 2,144,108 Revenue Over (Under) Expenditures - (17,502} (17,502} (69,574 Transfer to Capital Projects Fund Transfer from General Fund Beginning Fund Balance 269,122 329,044 543,186 525,684 Ending Fund Balance $ 269,122 $ 311,542 $ 525,684 $ 456,110 -8- TOWN OF VAIL 2008 BUDGET SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE CONFERENCE CENTER FUND Revenue Taxes Sales Tax Public Accomodations Tax Penalties and Interest on Delinquent Taxes Subtotal Taxes Other Earnings on Investments Total Revenue Expenditures -General Government Management Fee General Supplies and meetings Capital Outlay Total Expenditures Revenue Over (Under) Expenditures Beginning Fund Balance Ending Fund Balance 2007 2007 2008 2006 Original Amended Proposed Actual Budget Budget Budget 384,024 300,000 300,000 425,000 384,024 300,000 300,000 425,000 384,024 300,000 300,000 425,000 8,237,877 8,512,877 8,621,901 8,921,901 $ 8,621,901 $ 8,812,877 $ 8,921,901 $ 9,346,901 -9- To~nrn of Vail Employee Benefits 2008 Budget Proposal $ % Salary Full-Time Regular Employees Fee Based Health Insurance 2,452,561 18.7% Group Term Life and Accidental Death Insurance 76,500. 0.6% Long-term Disability Insurance 60,000 0.5% Survivor's Life Insurance 74,000 0.6% Short-term Disability Insurance 40,000 0.3% Wellness Benefit 96,000 0.7% Sworn Officer Death and Disability Insurance 62,000 0.5% Subtotal Fee Based 2,861,061. 21.8% Payroll Based Pension Contribution 1,962,069 15.0% Medicare 190,150 1.5% Workers' Compensation Insurance 230,600 1.8% Unemployment Compensation Insurance 39,300 0.3% Subtotal Payroll Based 2,422,118 18.5% Total Full-Time Benefits 5,283,179 40.3% Part-Time and. Seasonal Employees Fee Based Wellness 75,900 4.5% Payroll Based Pension contriburion 25,049 1.5% Medicare 24,214 1.5% Workers' Compensation Insurance 29,400 1.8% Unemployment Compensation Insurance 5,010 0.3% Subtotal Payroll Based .83,673 5.0% Tota! Part-Time and Seasonal Benefits 159,573 9.6% Total Benefits -All Employees 5,442,752 36.8% Be~efts o~2~0~ - 10 - 8/16/2007 2008 Contributions Please see the attached spreadsheet to coincide with the following background and recommendations. ECONOMIC A. Bravo! Colorado BACKGROUND INFORMATION: Bravo! Vail Valley Music Festival is requesting $175,000 to help fund travel, administration, marketing, advertising and promotional expenses for the 2008 Philadelphia Orchestra and the New York Philharmonic -Vail Residency programs. STAFF RECOMMENDATION: Staff recommends funding at $175,000 (same as 2007 Contributions). Historically, the Town of Vail has contributed funding the New York Philharmonic and the Philadelphia Orchestra Tier 1 programs as well as another $25,000 towards Bravo! operating expenses. The town has historically paid $1,800 for advertising within the Bravo! publication, but will now receive that placement for no charge. The cultural benefit to the Town of Vail and the tourist attraction of this event are major factors in staff's recommendation for funding. B. Vail Farmer's Market. BACKGROUND INFORMATION: Vail Farmer's Market is requesting $4,000 of in-kind value to cover the cost of services provided by the Town of Vail during the events, and $6,000 of cash to cover the cost of traffic control. The Commission on Special Events funded $50,000 toward the Farmer's Market in 2007. STAFF RECOMMENDATION: Staff recommends funding the in-kind request of $4,000 which will . be included in the town's 2008 operating budget. Staff also recommends funding the $6,000 cash as requested. C. Vail Jaxz Foundation BACKGROUND INFORMATION: The Vail Jazz Foundation is requesting $12,000 to help fund the Vail Jazz Festival's Labor Day Weekend Party September 2008. They are also requesting $6,000 of funding for the "Jazz Goes to School" program. STAFF RECOMMENDATION: Staff recommends funding the Labor Day Weekend Party at the same amount as 2007: $7,500. Staff does not recommend funding the jazz music education program. D. Colorado Ski Museum BACKGROUND INFORMATION: The museum is requesting total funding of $119,000 and 4 parking passes. The funding will be used as follows: $69,500 to construct new display lighting; $4,500 reduction in rent (50%); $20,000 to create a new Vail's history display; $10,000 for the final portion of a matching grant to purchase large screen & seating forthe theater; $15,000 to design the exhibit of ski and snowboard artifacts using multimedia /interactive technology. 11 STAFF RECOMMENDATION: Staff recommends funding the $20,000 to create a new Vail historical display. With such high parking demand in our community, staff does not recommend parking passes (one blue pass is already granted as part of their lease). The remaining items are not recommended for funding. E. Vail Valley Partnership (WP) BACKGROUND INFORMATION: The WP is requesting funding for various programs, totaling $48,850. STAFF RECOMMENDATION: The Town has supported the SummerAir Program each year, and recommends funding of $12,000 at the same level as 2007. Programs not recommended for funding include: - Platinum Service Program (PSP) for Vail construction mitigation because the town funds internal construction mitigation programs. However, staff recommends that the town participate in PSP mystery shops as in prior years. - Platinum Service Online Program because this item is not appropriate for town funding. - Competitive Analysis Program because this duplicates internal programming at the town. - VVP Events and Programs because the events and activities should be funded by chamber memberships and fundraising. F. Vail Valley Foundation (WF) BACKGROUND INFORMATION: The. Foundation is requesting $21,500 of in-kind funding for the use of town services during various winter events (Birds of Prey, The Session and the American Ski Classic). They are also requesting $105,750 of cash funding and $10,300 of in-kind for entertainment programs (Street Beat; Vail International Dance Festival, and Hot Summer Nights). A new icon event was also presented for $150,000 of funding and $12,000 of in-kind: the International Cycle Classic. STAFF RECOMMENDATION: Staff recommends funding the in-kind requests for the special events and will be built into the town's 2008 operating budget. Staff also recommends the following levels of cash funding: $28,500 toward Street Beat; $50,000 to the Vail International Dance Festival; and $27,250 toward Hot Summer Nights. Staff recommends funding the International Cycle Classic, contingent upon endorsement from the Commission on Special Events. It is currently not included in the 2008 proposed budget. G. Vail Chamber & Business Association (VCBA) BACKGROUND INFORMATION: The VCBA is requesting $15,000 of funding and 1 blue parking pass for the Premier Impressions program. STAFF RECOMMENDATION: Staff recommends $10,000 of funding to be used for Town of Vai! participation in the Premier Impressions program as in the prior year. Staff also recommends funding the in-kind blue parking pass to be used as a prize for the Premier Impressions program. 12 H. Radio Free Minturn BACKGROUND INFORMATION: Radio Free Minturn is requesting a total of $4,000 ($800 to support the Local Emergency Alert system and $3,200 for operating support). STAFF RECOMMENDATION: Staff recommends funding the $800 to support the Local Emergency Alert system ($3,000 was awarded from the 2007 off-cycle contributions for this system). Although the town awarded another $2,000 in operations from the 2007 off-cycle contributions as a part of start-up funding, staff does not recommend funding operations in future years. I. Commission on Special Events (CSE) BACKGROUND INFORMATION: The CSE is requesting funding for various events, totaling $850,000. STAFF RECOMMENDATION: Staff recommends funding up to $816,750. This represents a 2.5% (or $18,750) increase to event funding, in line with the Town Manager's threshold for all town departments. EDUCATIONAL J. Eagle Valley Childcare (EVC) BACKGROUND INFORMATION: The EVC has requested $50,000 of funding for 2008. This is an increase of $10,000 from the prior year, but will fund an additional space for Town of Vail employee childcare. STAFF RECOMMENDATION: Staff recommends funding the annual $50,000 contribution to be used for the Vail Childcare facility. K. Vail Valley Exchange /Youth Recognition Award BACKGROUND INFORMATION: The Vail Valley Exchange is requesting $10,000 to fund two scholarships (Youth Recognition Award) and travel costs to send two students to Australia. STAFF RECOMMENDATION: Staff recommends funding this program at $7,000 as in the prior year. L. Meet the Wilderness BACKGROUND INFORMATION: Meet the Wilderness is requesting $12,040 of funding for programs serving 6th, 7th and 8th graders throughout the valley. These programs seek to teach life skills by providing adventure education programs to underserved and at-risk youth groups. STAFF RECOMMENDATION: Staff does not recommend funding this program because it is not appropriate for town funding. 13 M. The Resource Center of Eagle County BACKGROUND INFORMATION: The Resource Center is requesting $12,000 of funding for continued growth of support groups as well as a portion of the cost to operate Freedom Ranch (a safehouse for victims of domestic violence). STAFF RECOMMENDATION: Staff does not recommend funding this program because it is not appropriate for town funding. Social Services programs receive funding from property taxes. N. Resource Center -Buddy Mentors BACKGROUND INFORMATION: The Resource Center has requested $10,000 in funding for the Buddy Mentors program. This program provides one-on-one mentoring relationships with at-risk youth in a safe environment. STAFF RECOMMENDATION: Staff does not recommend funding this program because it is not appropriate for town funding. Social Services programs receive funding from property taxes. RECREATIONAL O. Ski &Snowboard Club of Vail BACKGROUND INFORMATION: The Ski &Snowboard Club of Vail has requested in-kind funding of $5,285 for 4 days of ice for their annual Ski &Snowboard Swap event. STAFF RECOMMENDATION: Staff recommends funding this in-kind request as in prior years with appropriate coordination with the Vail Recreation District. P. Vail Valley Medical Center (WMC) BACKGROUND INFORMATION: The WMC is requesting in-kind funding of $4,000 for 500 parking vouchers for the Spring Fashion Show & Luncheon event held at the Vail Marriott. STAFF RECOMMENDATION: Staff recommends funding this in-kind request as in prior years. It will be included in the town's 2008 operating budget. Q. Vail Junior Hockey Association BACKGROUND INFORMATION: The Vail Junior HockeyAssn. is requesting a total of $.15,391 in- kind funding including $11,891 for 9 days of ice (3 weekends during November, 2008) for the Vail Sportsman Tournament and $3,500 for use of the Donovan Pavilion in the spring of 2008 for a Thank-you party for volunteers, sponsors, parents, and players. 14 STAFF RECOMMENDATION: Staff recommends funding this in-kind request as in prior years, subject to agreed-upon scheduling with the Vail Recreation District for the ice time. Staff recommends waiving the fee for Donovan Pavilion, contingent upon coordination with the Donovan Management Company regarding availability. However, the Hockey Assn. will be responsible for hard costs for use of the Donovan Pavilion such as set-up, tear-down, cleaning, etc. R. Skating Club of Vail BACKGROUND INFORMATION: The Skating Club of Vail has requested in-kind funding of $11,891 for 9 days of ice for two separate competitions (27th Annual Vail Invitational Championships in July, 2008 and the 6th Annual Beginners Competition in late December, 2008). STAFF RECOMMENDATION: Staff recommends funding this in-kind request as in prior years subject to agreed-upon scheduling with the Vail Recreation District. S. Battle Mountain High School Alpine Ski Team BACKGROUND INFORMATION: The Alpine Ski Team is requesting parking passes for up to 30 members of the ski team for 5 days a week during the high school season (10 weeks). Practice usually runs between 1:30pm to 4:OOpm. STAFF RECOMMENDATION: Staff does not recommend funding this request due to the parking demand in the winter season but would be willing to find a parking area for a school bus as an alternative solution. T. Husky Hockey Booster Club BACKGROUND INFORMATION: The Husky Hockey Booster Club is requesting $5,000 cash contribution plus parking passes for the 4 coaches to attend 6-8 home games & playoffs. The season runs from November through February. STAFF RECOMMENDATION: Staff does not recommend this request. U. Vail Valley Athlete Commission BACKGROUND INFORMATION: The Athlete Commission is requesting $10,000 cash contribution to support local athletes. The athletes are also funded bythe Vail Valley Foundation and the Beaver Creek Resort Company. STAFF RECOMMENDATION: Staff recommends funding this request in support of our athletes and for the international exposure for the Town of Vail. $10,000 was awarded in 2007. 15 ARRANGEMENTS & AGREEMENTS V. Vail Valley Community TV /Channel 5 BACKGROUND INFORMATION: Channel 5 is requesting a portion of the franchise fee the Town of Vail receives annually from Comcast. In 2007 this amount was funded at $70,000. They are also requesting $10,000 of funding to go towards capital investments. STAFF RECOMMENDATION: Staff recommends funding 40% of the franchise fee at approximately $70,000 ($71,201 was paid in 2006). Staff does not recommend funding additional capital; $10,000 was contributed in 2007. REAL ESTATE TRANSFER TAX FUND W. Betty Ford Alpine Gardens BACKGROUND INFORMATION: The Alpine Garden Foundation is requesting funding of $75,000 for operating expenses. They are also requesting a $10,000 "roll over" of seed money that was approved last year to continue arenovation /replanting of the Meditation Garden. This is a capital project in addition to the normal operating budget. The Garden hosts thousands of visitors peryear and has achieved World-premier status as a high altitude garden. STAFF RECOMMENDATION: Staff recommends funding operating expenses at $60,000. Funding in 2007 funding was $56,275. Staff also recommends carrying overthe $10,000 as a match to other partners' contributions. The Meditation Garden is an existing garden that requires maintenance and improvements. X. Eagle River Watershed BACKGROUND INFORMATION: The Eagle River Watershed is requesting $103,000 of funding. Of this request, $63,500 relates to the completion, maintenance and monitoring of the Black Gore Creek and $40,000 of general operating support. STAFF RECOMMENDATION: Staff recommends funding of $100,000 (same level as prior year) contingent upon further discussion of project details. Staff also recommends that not more than 20% go toward general operations, with the remainder for specific projects as they are completed. Y. Southern Rockies Ecosystem Project (SREP) BACKGROUND INFORMATION: SREP is requesting $10,000 of funding to support the Citizen Science Wildlife Monitoring program. This program monitors wildlife movement on Vail Pass. STAFF RECOMMENDATION: Staff does not recommend funding this program. 16 A A A B C C D E F G H I K L M N 0 P Q 2008 Contribution Reguest Spreadsheet Last Year (incl. off-cycle) 2008 Requests ` Staff Recommendati ons TO~YROFVAILFI~N1)INGRI~:QUFST GENERAL Ft~Nll Contributions: 2007 Cash Funded 2007In-Kind Funded 2007In-Kind Valae 2008 (n~h . kcyuest 2008In-KindRcqucst 2008 In-Kin vnhic Variance to 2007 Fanding %a a g Variance Staff Staff Recom'd Recoro'd Cash fn-kind 2008 [n- ~ Kind t aloe ECONOMIC: Brava! ColoradolNew York Philharmonic 100,000 75,OOD 25,000 75,000 Brava! Colorado /Philadel hia Orcheah~a SQ,000 75,000 25,000 75,000 Bravo! Colorado 25,000 15 Ford Park Parkin ~S,OOo - 25,000 Vail Farmers' Market 5,000 Traffic, buses, si s 3,000 G.0~1D Trafllc. buses, si~,us.rrash -t,00~J 1,000 6,000 Traffic, buses, si s, ~ 4,000 Vail Jazz Festival's Labor Da Weekend P , S t, 1-4, 06 7,500 12,000 4,500 7,500 Vail Jazz Foundation's "Jazz Cioes to School" m 6,000 6,000 - Colorado Ski Museum 119,000 4 arkin asses ~.~1i0 119,000 20,000 Vail Vall Partnershi - Platinum Service Program 6,000 6,000 Platinum Service Online Pmgram ~ i 100 5,000 Competitive Analysis Program i i i.u0O 10,000 Trends Services (Lodging Occupancy) 5,000 5,000) - SummerAirProgram 12,000 ?5,000 13,000 12,000 Events&Programs 2,850 _ 2,850 Vail Valle Foundation Birds of Prey (Dec. l-4, OS) ADA & ublie transit 14,000 AD ? & public trnsit I S,UiiO ADA & ublie transi 15,000 The Session Parkin 3,000 _ Parkiiw 3_f10~1 - Parkin 3,000 American Ski Classic Parkin 3,500 Parkin 3,500 - Parkin 3,500 Street Beat l Winter Concert Series 25,000 PD & PW su ort 7,500 28,500 PD & PW su ort 7,500 3,500 28,500 PD & PW su ort 7,500 Vail International Dance Festival 18,500 . SQ000 31,500 50,000 Gerald R. Ford Amphitheater(HotSummerNigbts) 27,250 PD resence 2,800 27,250 PD resence _>,h0u - 27,250 PD resence 2,800 International Cycle Classic 150 000 PD & P~~ su ~ on I ~.00(i 150,000 PD & PW su ort ].2,000 Vail Chamber & Business Association (VCBA Colorado Snow Sports Expo 4,000 4,000 PremierImpressions 10,000 I ti.nUO I blue ~arkine riss 8Z~ 5,000 10,000 I blue arkin ass 825 Radio FreeMintum 4,o0U 4,000 800 Comtnissionon5 ecialEvents inclstaffin 798,000 880,000 1 blue ~arkin~ xrs 8~2 52,000 C!6;'S0 TOT:11. F;COM1O~VIIC ~ 1.087,250 0 33,800 1,491 fi00 9 ~ 52,750 ~ 404,35(1 37% 1,153,800 EDiCAT[0~:1L Ea a Valle Childcare -annual contribution 4Q,000 X0,000 10,000 SQ000 Pla and I Safe im mvements 10,000 10,000) Vail Vall Exchan e / Youth Reco 'lion Award 7,000 1 !~,U00 3,000 7,000 Meet the Wilderness 12 (id0 12,040 - ResoumeCenter of Ea a Coun 12 ni~0 12,000 - Budd Mentors l Resource Center I O,obli 10,000 10'P:11, l3)UCA7~IONAL ~ 57,000 0 - 9x.940 0 - 37,(140 ti5% 57,900 RF,CREAT[ON Ski & Snowboard Club Vail ov 6-9, 2008 4 da s of ice 5,285 d dati~s of ice 5; HS - 4 da s of ice 5,285 VVMCS rin Fashion Show&Luncheon Mar 26, 2008 500-6001da rk 4,000 SODI-dap- rirkint 2,ui~0 - 5001-da ~arkino 4,000 Vail Junior Hockey Association- Nov 2008 Tournament 9 days of ice 11,891 9 ~la,s ~~f ioe - I dui Donoi~an t~.~~~1 - 9 days of ice + t day 1.5,391 17 r U W 2008 Contribution Request Spreadsheet Last Year (incl. off-cycle) 2008 Requests Staff Recommendati ons TOWN Ok VAfL FrUNDINC ~EQt1l;5'I GENF]NAL FUNll Contributions: 2007 Casl- Funded 2007In-Kind Funded 2007In-Kind Value 2008 Cash Rcyuest ~ 2008 In-hind Rcgncst 20081n-Kin 1'alue Variance to 2007 Funding %age Variance Staff Staff Recom'd Recom'd Cash In-kind 20081n- :, ]find 1 aloe Skatin Club of Vail Jul 10-14'08 & late Dec.'OS 13 da s of ice 17,176 9 da s of iec (lulu t0.1~1: Dec) 11-,891 - 9 da s of ice (Jul 10 11,891 BMHSAI ine5ldTeam li(U? ~arkin~:ases 12,000 - arldn forbusonl Hus Hock Booster Club ~,Ui)0 -arAir~e _as;es 562 5,000 - VailVall Athlete Commission 10,000 IO,UOD - 10,000 TOTAI. RECRf,.47~ION 10,000 0 38,352 I5,00I1 0 ~ 49,1?9 ~,OOU 5U% 10,(N)0 SL'RTbT.~~L-CO'VTR~UTlONS I,154,Z50 - 72,152 I,600,6aU - 1flt,879 446.390 39°a 1,220,800 :1RR;1'1'GEIIENTS und,4GREF.NEENT5: Vail Valley Comm.'fV/Ch5 - FranchiseFee 70,000 ?Q,O00 - 70,000 Ca ital im rovements 1 Q,000 10.000 5GBT0'IAI.-ARR'1NGEl1EN'fSandAGREF.II'IGN 70,008 - 80(}00 - - UI,00(! 14°l0 70.000 ~~- -~~- GRAhDTO'[;4LGeneralFund 1,224,250. - 72,152 1,680,t~0 - Ifil,fi)9 6,390 37°Io 1,'_40,800 Rcal Lstaic Transfer "lac Fuud: Be Ford Al ine Garden Foundation Educational Interpretive Stations in the Main Garden - Operations 56,275 ?S.D00 18,725 60,000 MeditationGazdenRenovation 10,000 10,000 - nla 10,000 Eagle River Watershed Sediment Pollution Efforts 100,000 100,000 - 100,000 River & Communi Pride H Clean U SouthemRocldes Ecosystem Project I U.Ii00 10,000 - All other prior year's funding not listed*: 232,284 X07 ?34 25,000 207,284 T(ETr1#. RETT 166,275 0 - 195,1100 0 - 3,725 2°/n 170,000 Grand Total ~ 1,622.8119 0 73,152 2,082,924 U 1111,819 4611,115 28°0 1,668,084 ' Prior yeaz funding not included: Information Booth 207,284 Children's Garden of Learning 10,000 Vail Valley Alliance for Sustainability 15,000 232,284 18 PLANNING AND ENVIRONMENTAL COMMISSION PUBLIC MEETING ,. August 13, 2007 ~#3~Ni)F t~~1I,` " 1:OOpm TOWN COUNCIL CHAMBERS /PUBLIC WELCOME MEMBERS PRESENT MEMBERS ABSENT Dick Cleveland Dave Viele Anne Gunion Bill Jewitt Rollie Kjesbo Michael Kurz Bill Pierce Site Visits: None 10 minutes 1. A request for a final review of a conditional use permit, pursuant to Section 12-6D-3, Conditional Uses, Vail Town Code, to allow for the construction of a Type II Employee Housing Unit, in association with the construction of a new residence, located at 1107 and 1109 Vail Valley Drive/Lots 7 and 8, Block 6, Vail Village Filing 7, and setting forth details in regard thereto. (PEC07-0047) Applicant: Donna Giordano, represented by VAG, Inc., Architects and Planners Planner: Bill Gibson ACTION: Approved with condition(s) MOTION: Pierce SECOND: Kurz VOTE: 4-0-2 (Gunion &Kjesbo recused) CONDITION(S): 1. This conditional use permit approval shall be contingent .upon the applicant's continued compliance with the executed Type II EHU deed restriction. Commissioners Gunion and Kjesbo recused as they are working for the applicant on this project. Bill Gibson presented an overview of the proposal and the staff memorandum. Christy D'Agostino, VAG, representing the applicant, was available for questions. There was no public comment. Dick Cleveland asked what restrictions applied to this EHU. Bill Gibson summarized the deed restriction requirements. 10 minutes 2. A request for a final recommendation to the Vail Town Council, pursuant to Section 12-3-7, Amendment, Vail Town Code, for proposed text amendments to Sections 12-6B-2, 12-6B-3, 12- 6C-2, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, Vail Town Code, to allow a Type II employee housing unit as a permitted use, and to eliminate a Type II employee housing unit as a conditional use, in -the Single-Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts, and setting forth details in regard thereto. (PEC07- 0042) Applicant: Town of Vail Planner:- Bill Gibson/Nina Timm ACTION: Recommendation of Approval Page 1 MOTION: Kjesbo SECOND: Cleveland VOTE: 6-0-0 Bill Gibson presented an overview of the proposal and the staff memorandum. There was no public comment. There was no commissioner comment. 10 minutes 3. A request for a final review of an amended final plat, pursuant to Chapter 13-12, Exemption Plat Review Procedures, Vail Town Code, to allow for a modification to a shared property boundary, located at 3816 and 3826 Lupine Drive/Lots 8 and 9, Bighorn Subdivision 2"d Addition, and setting forth details in regard thereto. (PEC07-0045) Applicant: June Frazier Planner: Bill Gibson ACTION: Approved with condition(s) MOTION: Kjesbo SECOND: Cleveland VOTE: 6-0-0 CONDITIONS: 1. The applicant must execute any necessary utility easement relocation agreements, with the applicable utility providers, prior to the recordation of this amended final plat. 2. The applicant and his successors and assigns, shall not be permitted to request any variances subsequent to the approval of this amended final plat for Lots 8 and 9, Bighorn Subdivision 2"d Addition, on the basis that the resulting approved plat created a physical hardship for developing these lots. Bill Gibson presented an overview of the proposal and the staff memorandum. The applicant, June Frazier, was available for questions. There was no public comment. There was no commissioner comment. 10 minutes 4. A request for a final review of an exterior alteration, pursuant to Section 12-7B-7, Exterior Alterations or Modifications, Vail Town Code, to allow for the addition of bay windows, located at 201 Gore Creek Drive (Bell Tower Building)/Lot A, Block 5B, Vail Village Filing 1, and setting forth details in regard thereto. (PEC07-0048) Applicant: Herman Staufer, represented by VAG, Inc., Architects and Planners Planner: Bill Gibson ACTION: Approved with condition(s) MOTION: Kjesbo SECOND: Cleveland VOTE: 6-0-0 CONDITIONS: 1. This approval is contingent upon the applicant obtain Town of Vail design review approval for this proposal. 2. The applicant must obtain and execute an encroachment agreement, or similar agreement as deemed appropriate by the Town Attorney, for the entry feature prior to application for a building permit. 3. The applicant must pay all required commercial linkage employee housing mitigation fees. Bill Gibson presented an overview of the proposal and the staff memorandum. There was no public comment. There was no commissioner comment. Page 2 10 minutes 5. A request for a final review of a floodplain modification, pursuant to Chapter 14-6, Grading Standards, Vail Town Code, to allow for improvements to an approximately two-mile length of the Gore Valley Trail, from Sunburst Drive to Bighorn Road, and a conditional use permit, pursuant to Section 12-8-C3, Conditional Uses, Vail Town Code, to allow for the relocation of a paved, non-motorized bicycle path and pedestrian walkway, located on Tract A, Vail Valley Filing 4 and unplatted properties, (a complete legal description is available for inspection at the Town of Vail Community Development Department), and setting forth details in regard thereto. (PEC07-0049) Applicant: Town of Vail, represented by Gregg Barrie Planner: Scot Hunn ACTION: Approved with condition(s) MOTION: Kjesbo SECOND: Kurz VOTE: 6-0-0 CONDITIONS: 1. The applicant shall address concerns (widen and/or realign) regarding the path section nearest the Memorial Gardens to better accommodate carts parking and blocking path. 2. The applicant shall address all areas where sharp and or blind curves exist; realign all sections as necessary to improve site lines. Scot Hunn presented an overview of the proposal and the staff memorandum. It was discussed that apull-off for the shuffles taking people to the Memorial Gardens be put in place as there are some limited site distances to stop when the shuttle is stopped in the bike path. Chairman Jewitt expressed concern regarding "Section 4" on the plans; the Applicant clarified that this section of the path is one of primary focus for realignment and re-grading due to steep grades and poor lines of site relative to the intersection with the golf cart path. Commissioner Kurz inquired about areas of the existing path located in "Section 11" on the plans. He suggested that certain areas in this section are blind curves and ought to be addressed within the scope of this project. 60 minutes 6. A request for a work session for review of a major exterior alteration, pursuant to Section 12-7H- 7, Major Exterior Alterations or Modifications, Vail Town Code, to allow for the redevelopment of the Lionshead Inn and Lionshead Inn Annex (Fogata), located at 701 and 705 West Lionshead Circle/Lot 1, Block 2, Vail Lionshead Filing 3, and setting forth details in regard thereto. (PEC07- 0027) Applicant: Lionshead Inn LLC, represented by Mauriello Planning Group LLC Planner: Warren Campbell ACTION: Table to September 10, 2007 MOTION: Cleveland SECOND: Kjesbo VOTE:6-0-0 Warren Campbell gave a presentation per the staff memorandum. Rocky Cortina, representing the applicant, stated that today there presentation would include the topics of providing "live beds" per the recommendations of the Lionshead Redevelopment Master Plan, the proposal for providing employee housing mitigation, and a discussion of the proposed bulk, mass, and height of the development. Allison Kent, representative of the applicant, gave a presentation on how the development would proposal to meet the recommendations of the Lionshead Redevelopment Master Plan (LHMP). Mrs. Kent, discussed language existing in the LHMP, specifically covering pertinent requirements and/or language encouraging approval of projects that maintain andlor enhance live beds. The Page 3 presentation included the historic conditions on the property such as occupancy rates, revenue generation, and the number and sizes of units which equaled 85 accommodation unit "keys". The presentation on live beds concluded by describing the proposed project which will have a total of 89 "keys" in various types of units. Ms. Kent continued her presentation by discussing the proposed method of mitigating the employee housing generated by the development. She discussed that the applicant was proposing to utilize the pay-in-lieu method which would result in a fee of approximately $2.3 - $2.9 million. Commissioner Jewiit asked staff how the pay in .lieu fee would be used by the Town to provide employee housing. Warren Campbell, replied that there was no specific plan for the revenue provided by the Fogata project; however, the. funds would be utilized to purchase units, buy down units, or construct units within Town. Commissioner Gunion asked a question to clarify how many units and beds there were existing on the site and how many were being proposed. Rocky Cortina stated that there were 85 hotel rooms about half of which had .one bed and the other half had two beds. He added that it was the total number of beds added that was key to their proposal, not necessarily number of rooms. Eduardo Illanes and Will Henchel, architects representing the applicant, gave a presentation on the bulk, mass, and height of the proposed development. The presentation described the project as being on the "edge" of the major redevelopment/traffic corridor between EverVail and the Llonshead parking structure; with Arrabelle in the center (and closest in proximity). The presentation continued with a discussion of the Vision.Statement of the LHRP, referencing the use of historic Vail Village and alpine architecture as precedents. The presentation concluded by running through a matrix of how the applicant believed the proposal was in compliance with LHMP and code. Edwardo Illanes then moved on to presentation of the modles prepared for the meeting. The presentation described conformance with master plan, specifically the stepping of forms laterally, pedestrian level facades, and change in materials with stepping. The Model combined with images (photos and renderings) existing and "future" conditions within lionshead, demonstrates variability in built form; sizes, heights, colors, styles, textures. Commissioner Gunion asked if the model was more accurate to the proposed direction or are the elevations found in the materials? Will Henchel stated that the model was more representative of the direction the project was evolving from the comments they have heard thus far. Commissioner Kurz stated that the development was looking a .bit too "urban" in form; understand that this area is not in close proximity to original/historic village, but bringing the forms and style better into conformance with Vail Village alpine architectural style is supportable. He was in agreeance with Jeff Winston's comments. In regards to employee housing mitigation, money is great, but at some point pay-in-lieu will be ineffective given limited amount of sites and projects that town can use money for. Rollie Kjesbo stated that he also agree with Jeff Winston's comments. Specifically the need for more stepping in roof lines, and forms. He furthered his comments by stating that the project Page 4 should include some percentage of employee housing on site. He suggest a third of the requirement may be appropriate. Commissioner Cleveland agreed with Commissioner Kjesbo's comments regarding. employee housing. He felt the Town must start requiring housing on-site to truly mitigate housing problem. He felt the building was too monolithic -not enough/right kind of steps in building facade and form. Further there are too many (distracting) changes in materials; need to simplify. Commissioner Pierce didn't understand how the project conforms with previously identified issues /concerns/ suggested changes. Dominic Mauriello, representing the applicant, stated that they felt several of the previously identified concerns are DRB issues to review. Warren Campbell clarified that materials, detailing, and landscaping are DRB issues. Topics such as bulk, mass, forms, etc. are PEC issues. Commissioner Pierce described concerns regarding the number and types of different roof, balcony and other forms/fenestration; building does not conform to the LRMP, specifically: free standing shed dormers are not permitted. Building has several free standing shed roofs on the elevations. Edwardo Illanes pointed to adjacent, surrounding structures as "different" compared to the Village; diverse amongst themselves (within Lionshead). He added that he understood the comment regarding shed roofs. Commissioner Pierce continued with describing the need to make building(s) better conform with overall (desired) image of town. Current proposal is too "timely" vs. timeless. Secondary roof forms "tacked" on to face are absolutely out of conformance. Commissioner Jewitt reiterated Commissioner Cleveland's concerns; use fewer materials - building needs to come back in better conformance with LRMP guidelines. He suggested that the applicant should work out the basics of architectural compliance, before moving forward. He to was concerned that there is no housing provided on-site. Dominic Mauriello clarified that the guidelines/master plan does not say no sheds; it-says no free standing sheds (or butterfly roofs). Commissioner Gunion stated her disappointment with the direction of the building since it was last shown. She felt there was a greater since of hierarchy and interest in the previous design. The "retail colonnade" element is too enclosed and doesn't invite pedestrians. Her previous comment regarding street presence /pedestrian base was not addressed; situation has gotten worse -created corridor. She continued by stating that the southeast corner is now closed, tiny opening as point of entry; agree with Jeff Winston's comments. Shed or not, design is to linear; small (secondary) roof forms are not prominent, but repeat without creating hierarchy in form and changes in mass (mass to void). Should be creating spaces on /within building that allow for living areas to open up to exterior. Should be identifying important elements of building (corner) and building up to that mass, playing off of certain elements. There is room for variety and `eclectic" nature of styles present in Vail, but are missing opportunities. Jeff Winston stated that in the review of the Ritz-Carlton Residences there are a number of elements which do not necessarily conform exactly with the recommendations of the LRMP; however, the adjustments made help to "tell a story". He suggested that Fogata, with some work and changes, could incorporate several non-traditional elements. He further stated that the guidelines are ambiguous/confusing as there are references to historic Vail Village architecture; Page 5 however, this site may be somewhat pivotal and different in relation to other new buildings - Arrabelle, Ritz-Carlton residences are distinctive and this development could be anchor that reinforces that theme that is emerging. He continued that desired theme should be clarified in this work session -basic forms and composition should reinforce, while allowing for smaller areas on the building to "break the mold" Jim Lamont, representing the Vail Village Homeowners association, requested clarification regarding specific points listed in the memorandum from Jeff Winston, specifically as they relate to stepping the structure. He added that he was worried that the "new" direction (as market driven) is towards more contemporary, not towards more Arrabelle. He generally agreed that more stepping and simplification of materials is a needed. Agreed that lack of transparency at pedestrian level is troublesome. He asked if the proposed housing mitigation method was the discretion of the PEC? Warren Campbell stated that Ordinances No. 7 and 8, Series of 2007, gave discretion to the PEC to determine if a proposed mitigation was appropriate. Bill Jewitt summarized that there appeared to be consensus with the Commissioners that a portion of the employee housing needs be addressed on-site and that the issues related to bulk (forms) and massing need more attention. Jeff Winston stated that the guidelines refer to bulk and mass as related to roof forms and pitch; individual elements of proposed building (roof forms, pitches, overhangs) may not necessarily be out of conformance with specific guidelines, but the total composition is something that needs to be addressed to accomplish simplification of forms, materials, increased transparency and stepping. Rocky Cortinia stated that he understood the concerns and would ask for clarification regarding EHUs; could these be accomplished as deed restricted off-site? Several Commissioners stated that part of the intent of the regulations was to create more housing within the Town. The Commissioners stated that some number needed to be provided within the development. Commissioner Gunion asked if there were currently any monies available in the mitigation fund? Warren Campbell stated that there were some minimal amounts form previous projects. Commissioner Gunion suggested that because there are little to no funds in the .mitigation account currently that maybe it would be appropriate on this project to accept the funds. On future projects it may not be as appropriate. Commissioner Cleveland stated that any amount of housing provided on-site is better than nothing. Warren Campbell asked in the Commissioners had any concerns with the "live bed" provisions? Commissioner Cleveland stated that live beds are "false" beds that did not replace the accommodation units and he was not in agreement with the applicant's proposal to comply. Page 6 7. A request for a final review of an exterior alteration or modification, pursuant to Section 12-7B-7, Exterior Alterations or Modifications, Vail Town Code, to allow for an exterior renovation and the remodel of the third floor residence, located at 201 Gore Creek Drive (Bell Tower Building)/Lot A, Block 5B, Vail Village Filing 1, and setting forth details in regard thereto. (PEC07-0046) Applicant: Bell Tower Partners, Ltd., represented by VAG, Inc., Architects and Planners Planner: Scot Hunn ACTION: Tabled to August 27, 2007 MOTION: Cleveland SECOND: Kjesbo VOTE:6-0-0 8. A request for a final approval of a preliminary plan for a major subdivision, pursuant to Chapter 13-3, Major Subdivision, Vail Town Code, to allow~for the creation of two new lots necessary for the redevelopment of the properties known as "Ever Vail" (West Lionshead), located at 862, 923, 934, 953, 1031 South Frontage Road West, and the South Frontage Road West right of way/Unplatted (a complete legal description is available for inspection at the Town of Vail Community Development Department), and setting forth details in regard thereto. (PEC07-0020) Applicant: Vail Resorts Development Company, represented by Thomas Miller Planner: Warren Campbell ACTION: Table to August 27, 2007 MOTION: Cleveland SECOND: Kjesbo VOTE: 6-0-0 9. A request for a final recommendation to the Vail Town Council for a zone district boundary amendment, pursuant to 12-3-7, Amendments, Vail Town Code, to allow for a rezoning from Arterial Business District to Lionshead Mixed Use 2, located at 953 and 1031 South Frontage Road (a complete legal description is available for inspection at the Town of Vail Community Developmenf Department), and setting forth Details in regard thereto. (PEC07-0021) Applicant: Vail Resorts Development Company, represented by Thomas Miller Planner: Warren Campbell ACTION: Table to August 27, 2007 MOTION: Cleveland SECOND: Kjesbo VOTE: 6-0-0 10. A request for a work session for review of conditional use permits, pursuant to Section 12-7H-3, Permitted and Conditional Uses, First Floor on Street Level, Vail Town Code, to allow for attached accommodation units, lodge dwelling units, and multiple-family residential units on the first floor, and pursuant to Section 12-7H-5, Conditional Uses: Generally (On All Levels Of A Building Or Outside Of A Building), Vail Town Code, to allow for the development of a private parking lot, located at 701 and 705 West Lionshead Circle and Lionshead Inn Annex (Fogata)/Lot 1, Block 2, Vail Lionshead Filing 3, and setting forth details in regard thereto. (PEC07-0028) Applicant: Lionshead Inn LLC, represented by Mauriello Planning Group LLC Planner: Warren Campbell ACTION: Table to September 10, 2007 MOTION: Cleveland SECOND: Kjesbo VOTE: 6-0-0 11. A request for a worksession to discuss a major exterior alteration, pursuant to Section 12-7H-7, Major Exterior Alterations or Modifications, Vail Town Code, to allow for the redevelopment of the Rucksack Building, located at 288 Bridge Street/Lot D, Block 5A, Vail Village Filing 1, and setting forth details in regard thereto. (PEC07-0039) Applicant: Jeffrey Selby, Charles Rosenquist and Richard Brown, represented by Jay Peterson Planner: Scot Hunn ACTION: Table to August 27, 2007 MOTION: Cleveland SECOND: Kjesbo VOTE: 6-0-0 12. A request for a worksession to discuss a major amendment to a Special Development District (SDD), pursuant to Section 12-9A-10, Amendment Procedures, Vail Town Code, to allow for an amendment to Special Development District No. 17, Ramshorn, to allow for the Page 7 redevelopment of Ramshorn Lodge, located at 416 Vail Valley Drive/Block 3, Vail Village 5th Filing and Tract F-1, Vail Village Filing 5, and setting forth details in regard thereto. (PEC07- 0038) Applicant: Ramshorn Lodge, represented by Pylman & Associates, Inc. Planner: Scot Hunn ACTION: Table to October 8, 2007 MOTION: Cleveland SECOND: Kurz ~ VOTE: 6-0-0 13. A request for a final review of a variance from Section 12-6D-6, Setbacks, Vail Town Code, pursuant to Chapter 12-17, Variances, to allow for an addition within the west side setback, located at 2570 Bald Mountain Road/Lot 33, Block 2, Vail Village Filing 13, and setting forth details in regard thereto. (PEC07-0036) Applicant: Ed Williams, represented by William Hein Associates Planner: Bill Gibson ACTION: Withdrawn 14. Approval of July 23, 2007 minutes MOTION: Pierce SECOND: Kurz VOTE: 6-0-0 15. Information Update 16. Adjournment MOTION: Pierce SECOND: Kurz VOTE: 6-0-0 The applications and information about the proposals are available for public inspection during regular office hours at the Town of Vail Community Development Department, 75 South Frontage Road. The public is invited to attend the project orientation and the site visits that precede the public hearing in the Town of Vail Community Development Department. Please call (970) 479-2138 for additional information. Sign language interpretation is available upon request with 24-hour notification. Please call (970) 479-2356, Telephone for the Hearing Impaired, for information. Community Development Department Published August 10, 2007, in the Vail Daily. Page 8 --°- ~. --' , : ~~` ~~~~, PROJECT ORIENTATION MEMBERS PRESENT Mike Dantas Tom DuBois Pete Dunning Brian Gillette DESIGN REVIEW BOARD AGENDA PUBLIC MEETING August 15, 2007 3:00 P.M. Council Chambers MEMBERS ABSENT Margaret Rogers SITE VISITS 1. Howard Residence - 3956 Lupine Drive 2. Skaranjunsky Residence - 3996 Lupine Drive 3. Zyman Residence - 82 West Meadow Drive 4. Resnick Residence - 493 Beaver Dam Road 5. Chantler / Massey Residence - 4840 Meadow Lane 6. Young - 1445 Buffehr Creek Road Driver: Scot 1:OOpm 2:OOpm PUBLIC HEARING -TOWN COUNCIL CHAMBERS 3:OOpm 1. Skaranjunsky Residence DRB07-0345 / 10 minutes Scot Conceptual review (addition of GRFA, siding material, roof material, windows, doors, landscaping) 3996 Lupine Drive/Lot 1, Block 2, Bighorn 1St Addition Applicant: Vincent Skaranjunsky, represented by TRD Architects ACTION: No Action (conceptual) 2. Zyman Residence DRB07-0169 / 10 minutes Bill Final review of change to approved plans (landscaping) 82 West Meadow Drive/Lot B, Vail Village Filing 2 Applicant: Sylvia Zyman, represented by Landscape Technology Group ACTION: Approved with condition(s) MOTION: Dantas SECOND: DuBois VOTE: 4-0-0 CONDITION(S): 1. The applicant shall revise the landscape plan to only reuse 20 of the 60 boulders forming the existing retaining walls. 3. Chantler / Massey Residence DRB07-0377 / 10 minutes Bill Final review of a minor alteration (exterior renovation) 4840 Meadow Lane/Lots 1 and 2, Block 6, Bighorn Stn Applicant: Chris Chantler and Kevin Massey, represented by Michael Pukas ACTION: Approved with condition(s) MOTION: Dantas SECOND: DuBois VOTE: 4-0-0 CONDITION(S): Page 1 1. The applicant shall revise the proposed exterior paint color palate and resubmit to the Design Review Board for further review within 30 days. 4. Young Residence DRB07-0341 / 15 minutes Bill Final review of a minor alteration (landscaping) 1445 Buffehr Creek Road/Lot 3, Cliffside Subdivision Applicant: Sentry Construction, Inc., represented by Mike Young ACTION: Approved with condition(s) MOTION: Dantas SECOND: DuBois VOTE: 4-0-0 CONDITION(S): 1. The Design Review Board approves the proposed disturbance area and the re-vegetation concept plan. The applicant shall submit a complete landscape plan, which includes a combination of native seed mixes and planted native vegetation, to the administrator for review within 30 days. 5. Howard Residence DRB07-0330 / 10 minutes Scot Final review of change to approved plans (exterior materials) 3956 Lupine Drive/Lot 4, Block 2, Bighorn 1St Addition Applicant: Robert and Helen Howard, represented by Aker Architects ACTION Denied MOTION: Dantas SECOND: DuBois VOTE: 4-0-0 6. Rucksack Building DRB07-0260 Scot Conceptual review of minor alteration (exterior changes) 288 Bridge Street, Units C1, C2, C3, R1, R1/Lot D, Block 5A, Vail Village Filing 1 Applicant: Rucksack Condominium Association, represented by Fritzlen Pierce Architects ACTION: No Action (conceptual) 7. Resnick Residence DRB07-0312 / 15 minutes Final review of a minor alteration (pavers, garage doors, landscaping) 493 Beaver Dam Road/Lot 1, Block 2, Vail Village Filing 6 Applicant: Forever Trust, represented by K.H. Webb Architects ACTION: Approved MOTION: Dantas SECOND: DuBois recused) Staff Approvals Wells Residence DRB07-0239 Final review of change to approved plans (chimney, door, deck railings) 1067 Ptarmigan Road/Lot 4, Block 5, Vail Village Filing 7 Applicant: Mad Jack Trust, represented by Fritzlen Pierce Architects Chalets at the Lodge at Vail DRB07-0248 Final review of a sign 174 Gore Creek Drive/Lots A, B, C, Block 5C, Vail Village Filing 1 Applicant: Lodge Properties, Inc., represented by Vail Associates Rachel VOTE: 3-0-1 (Gillette Marriott DRB07-0266 Final review of a minor alteration (exhaust fan) 720 West Lionshead Circle/Lot 1, West Day Subdivision Applicant: Diamond Rock Vail Owner, LLC, represented by Alliance Restoration Services Warren Rachel Rachel Page 2 Dantas Residence DRB07-0331 Final review of change to approved plans (retaining wall) 1446 Buffehr Creek Road/Lot A, Briar Patch Subdivision Applicant: Mike Dantas Hilliard Residence DRB07-0338 Final review of a residential addition (bedroom, bathroom, windows) 1801 Sunburst Drive/Lot 2, Vail Valley Filing 3 Applicant: Glenn Hilliard, represented by Giphart Consulting & Design Barroso de Franklin Residence DRB07-0342 Final review of a residential addition (3~d floor addition, exterior stairs) 600 Vail Valley Drive/Northwoods Condominiums Applicant: Gina Diez Barroso de Franklin, represented by Beth Levine Architect, Inc. Field Residence DRB07-0344 Final review of change to approved plans (landscaping, water feature, fire pit) 586 Forest Road/Lot 3, Block 1, Vail Village Filing 6 Applicant: Larry Field, represented by Zehren and Associates Mallman Residence DRB07-0346 Final review of a residential addition (bedrooms) 1546 Matterhorn Circle/Unplatted, Matterhorn Subdivision Applicant: Thomas and Sandra Mallman, represented by Aker Architects Goldstein Residence DRB07-0349 Final review of a residential addition (office, bedroom) 1543 Matterhorn Circle/Unplatted, Matterhorn Subdivision Applicant: Warren Goldstein, represented by Aker Architects Spilo Residence DRB07-0356 Final review of a minor alteration (retaining wall, deck railing) 1759 Sierra Trail/Lot 19, Vail Village West Filing 1 Applicant: William Spilo 9 Vail Road DRB07-0357 Final review of a sign (temporary site development sign) 9 Vail Road/Lot 13, Vail Village Filing 2 Applicant: 9 Vail Road Condominium Association, represented by Nedbo Construction Tyrolean Condominiums DRB07-0358 Final review of a sign (temporary site development sign) 400 East Meadow Drive/Block 5, Vail Village Filing 1 Applicant: Tyrolean Condominium Association, represented by Nedbo Construction Landmark Condominiums DRB07-0361 Final review of a sign (temporary development sign) 610 West Lionshead Circle/Lot 1, Block 1, Vail Lionshead Filing 3 Applicant: Landmark Condominium Association, represented by Fritzlen Pierce Architects Scot Warren Warren Rachel Warren Warren Warren Rachel Rachel Rachel\ Page 3 Spilo Residence DRB07-0363 Final review of a minor alteration (deck) 1759 Sierra Trail/Lot 19, Vail Village West filing 1 Applicant: Will Spilo, represented by DTM Building & Design Warren Village Inn DRB07-0364 Rachel Final review of a minor alteration (landscaping) 100 East Meadow Drive/Lot O, Block 5D, Vail Village Filing 1 Applicant: Vail Village Inn, Phase III Condominium Association, represented by Mark Stelle Johnson Residence DRB07-0365 Final review of a minor alteration (landscaping) 1106 Hornsilver Circle/Lot 9, Block 6, Vail Village Filing 7 Applicant: Rob and Sherry Johnson, represented by Mark Stelle Hankins Residence DRB07-0367 Final review of a minor alteration (landscaping) 1408 Moraine Drive/Lot 4, Block O, Dauphinais-Moseley Subdivision Applicant: Sharon Hankins Burton at Vail DR607-0370 Final review of change to approved plans (replace doors with windows) 675 Lionshead Place/Lot 2, Block 1, Vail Lionshead Filing 3 Applicant: Specialty Sports Venture, LLC, represented by Scott Fricke Lodge South Condominiums DRB07-0371 Final review of change to approved plans (vent) 200 Vail Road/Lot 2, Lodge Subdivision Applicant: Lodge South Condominium Association, represented by Stanley Cope Arrigoni Residence DRB07-0373 Final review of change to approved plans (driveway) 1722 Geneva Drive/Lot 11, Matterhorn Village Applicant: Balz Arrigoni Capstone Condominiums DRB07-0374 Final review of a minor alteration (re-roof) 1817 Meadow Ridge Raad/Lot 21, Capstone Condominiums Applicant: Scott Cunningham Raether Residence DRB07-0376 Final review of change to approved plans (retaining wall) 227 Rockledge Road/Lot 13, Block 7, Vail Village Filing 1 Applicant: Paul Raether, represented by Beth Levine Architect, Inc. Rachel Rachel George George George Joe Warren The applications and information about the proposals are available for public inspection during regular office hours in the project planner's office, located at the Town of Vail Community Development Department, 75 South Frontage Road. Please call 479-2138 for information. Sign language interpretation available upon request with 24 hour notification. Please call 479-2356, Telephone for the Hearing Impaired, for information. Page 4 MEMORANDUM TO: Town Council FROM: Timber Ridge Affordable Housing Corporation DATE: August 21, 2007 SUBJECT: Borne Engineering's Review of Timber Ridge Village Apartments I. Introduction In April, 2007 the Board of the Timber Ridge Affordable Housing Corporation (TRAHC) retained Borne Engineering of Denver, Colorado, to do an overall property evaluation of Timber Ridge Village Apartments. Due to the age of the apartments,. the Board felt it was important to understand the exterior repairs and maintenance that will be required in the next zero to seven year period. The majority of the interiors are nearly new at Timber Ridge due to the mold remediation project recently completed. II. Borne Engineering Report Due to the age of the project and some deferred maintenance there are some key exterior repairs that the TRAHC Board will be having addressed as soon as contractors are lined up. The Borne Engineering report provided the necessary information for the Board to properly prioritize its resources for repair and maintenance of the buildings. With input from the property management company, as well as the report, the Board is prepared to spend dollars on removal of the existing trash enclosures and the repair and replacement, as necessary, of the following: Phase I - deck and landing structures - stairwell roof structures - deck railing system - split rail fence - walkways The estimated cost for Phase I repairs is $194,000. The goal is to complete the repairs in Phase I this year. Many of the repairs will reduce or eliminate access to some of the units during the repair; therefore it is critical to have as much of the work as possible complete prior to the start of the ski season and increased occupancy of the apartments. Phase II - Roofing - Windows The estimated cost for Phase II repairs is $302,000. The goal will be to complete Phase II repairs in the spring and summer of 2008. Additional repair and maintenance projects will be evaluated for next spring. The Board is carefully weighing the cost and necessity of repairs against the limited expected life span of the existing project. III. Conclusion The TRAHC Board will be authorizing Corum, the property management company, to begin working on the most critical items immediately. Any items not completed this fall will be worked on again in the spring. Recognizing the overall goal for the property is redevelopment the Board will authorize expenditures that are essential to allow the property to continue operating, as it is the largest rental complex in the Town of Vail, until redevelopment is begun. attachment: Borne Engineering Property Condition Evaluation NGINEERING~" August 16, 2007 VIA E-MAIL Ms. Nina Timm Town of Vail NTimm@vailg_ov.com Re: Property Condition Evaluation for the Timber Ridge Village Vail, Colorado Dear Ms. Timm and Associates of the Community: Performance Reborn. Thank you for the opportunity to provide professional engineering evaluation services. We prepared this property condition evaluation for the building components on the property currently referred to as Timber Ridge Village. The purpose of the evaluation was to evaluate the components to determine if there are deficiencies or potential deficiencies that will affect the continued operation of the facility. 1.0 Project Understanding Timber Ridge Village is comprised of 16 buildings housing 200 condominium-style units located at 1280 N Frontage Road West in Vail, Colorado. The site consists of asphalt parking and driving areas, concrete flatwork, retaining walls and common fencing. The buildings envelopes consist of wood siding, stairwells, and asphalt shingle roofing. 2.0 Scope of Services The site and building components were observed and evaluated by a Professional Engineer (State of Colorado), and Exterior Building Consultant and a Construction Compliance Specialist. The areas include the following: • Topography, Grading and Drainage • Paving • Flatwork • Structural • Facade • Roofing We were escorted around the site by representatives from Corum Real Estate Group, whom we were informed is managing the property for the Town of Vail. The report will describe the component observed and will state our opinion of its condition. The assessment will include inspection and analysis of the major maintenance, repair or replacement tasks associated with the above mentioned components which normally involve significant expense or outside contracting. 1130 WEST 124Trt AVENUE SurrE 100 WESTMINSTER, COLORADO 80234 TEL 303/4261731 FAX 303/4261732 BORNENGINEERING.COM Timber Ridge If an item involves a threat to the immediate health and safety of the public, it will be noted as an immediate action. Components that have exceeded their useful life or need immediate repair or maintenance will also be noted as an immediate action. General improvement recommendations will be provided. Executive Summary After reviewing the site and building components at the site it is our opinion that many of the components need attention within the near future. The flatwork, roofs, siding, railings, stairwells, decking, windows and trash enclosures are an immediate concern. There will most likely need to be some repair, maintenance or replacement work performed on these in the relatively near future. 3.0 Property Condition Report A. Topography, Grading and Drainage A1. Building Drainage Location: The property utilizes slope in the immediate vicinity of the buildings to control surface drainage. Description: The material in the immediate vicinity of the buildings consists of concrete flatwork, earthen or landscape materials. Comments: There are many areas adjacent to building foundations that are low sloped or negatively sloped away. Most geotechnical engineers recommend a slope of at least 10% away within the first 10 feet from a foundation. The lack of drainage most likely lead to the premature deterioration of concrete flatwork and the subsidence of earthen materials in areas. We noted areas of subsidence under several slab on grade walkways adjacent to buildings. ~~~ ~~ x= ~ ' ~: ~y ~ ~. : j ~_ ~.:~~ :,~ ass ~~ We also noted uncontrolled roof drainage that has lead to subsidence of earthen materials in several areas. We also noted damage of flatwork and lower wood siding/trim areas as the result of uncontrolled roof drainage. Bornengineering Page 2 of 15 Property Condition Report Timber Ridge We noted that some of the interior open flatwork areas, within the footprint of the buildings, have poor slope. Many of the breezeways and ground level landings have extensively damaged concrete flatwork, structural columns, stairways, siding and trim due to the lack of proper drainage. Many of these conditions are not an immediate threat but are contributing to the premature deterioration of the components mentioned above. However, much of the resulting deterioration has resulted in differential edges that can be trip hazards. Also, the improperly sloped areas most likely ice up in the winter. i E I; i Recommendations: In the next 0 to 2 years we would recommend alleviating the trip hazards. This will most likely entail re-grading the subsided earthen areas and replacing extensively damaged concrete. f:' m In the 3 to 5 year range, we would recommend performing a major drainage improvement project that would address the improperly sloped concrete flatwork and the remaining improperly graded earthen areas as well as the roof drainage problems. Useful Life: 0 - 2 years for trip hazards. 3 - 5 years for major drainage grading and drainage improvement project. Opinion of Probable Cost: 0 - 2 years -minor regarding and trip hazard repair estimated at $6,000. 3 - S years. -major grading and drainage improvement to the earthen and flatwork areas estimated at $450,000. A2. Site Drainage Location: General site. Description: The property utilizes surface sheet drainage. The site is generally sloped north to south. The drainage. is directed to the front (south) of the property to a drainage swale along the Interstate 70 frontage road. j- n... `~ ~~ ~ j `. ~~ ~~ _ ~~` .. ~,°' ~,~ H~ `_j i`~ ~~. °, r ,~_ The roadways use concrete drain pans and curbing systems to direct moisture in several areas. We did not note any site subsurface drainage systems on the site. Bornengineering Page 3 of 15 Property Condition Report Timber Ridge Comments: The site drainage is in fair condition and appears to generally control moisture. We did note any areas of major concern at this time. Recommendations: We recommend that an annual walk through be conducted to observe the site drainage. Soil subsidence is common in the area and the drainage can be affected. Useful Life: No immediate concerns and no foreseen major expenditures in this area. B. Roads and Parking Areas B1. Asphalt Systems Location: Roadways and parking areas on the property. Description: The majority of the system is unbound asphalt on grade. There are a couple of sections that are bound by concrete drain pan, curb/gutter or walkway. r~ ~ ~ ~~ ~ ~ i r.. .~,:« ~y zc.~. ,_ i ~.,~. F__ - :{..~... a ,- ''; r~ __ ~ - - The asphalt is swaled in many areas and directs moisture to center drain pans The asphalt has most likely been overlaid since the original placement. Comments: The asphalt is in fair condition with some areas of concern. We noted several large potholes in the driving areas that appear to be the result of moisture infiltration and then freeze thaw cycles. There is an extensive amount of ful l depth cracking throughout the asphalt areas. The aggregate in the asphalt mat is showing at most surfaces. This is all indicative of the asphalt approaching the end of its useful life as the asphaltic binder has baked out of the mat. The asphalt striping is faded in most areas and is approaching the end of its useful life. Asphalt striping in this area has a relatively low useful life due to climatic i nfluences and snow/ice removal efforts. Recommendations: We recommend repairing the potholes in the near future. We also recommend crackfilling and sealcoating the asphalt to prevent additional moisture from migrating to the subsoil's and leading to additional damage. The asphalt can then be restriped as well. Useful Life: Asphalt pothole repair, crackfill, sealcoat and restripe- 0 - 2 years. Bornengineering Page 4 of 15 Property Condition Report Timber Ridge The asphalt will most likely need some type of replacement, whether it's an edge milling and overlay or a complete removal and replacement, in 4 to 6 years. Opinion of Probable Cost: Pothole repair, crackfill, sealcoat and restripe -estimated at $30,000. C. Flatwork C1. Walkways Location: Various locations throughout the site. Description: The concrete walkways are slab on grade and most likely non-reinforced. Comments: The concrete at the project appears to be original. by ~ `~'~ ~ 1 ! ~:~ ~ C ~ ~ ~ i ~_ s ~ ~ . ~ ~ 't, . _. _~. . - .., . . -_~w - We noticed some extensive concrete deterioration in many areas around the project. The deterioration is in the form of spelling, cracking and complete concrete delamination. Most of the damage has not resulted in differential movement and is not an immediate safety concern. However, the concrete will continue to degrade as the avenues for moisture intrusion increases. Recommendations: The concrete will most likely last, as is, another 2 to 4 years before some type of replacement is necessary. The concrete is aesthetically displeasing but functional. Useful Life: 2 to 5 years. Opinion of Probable Cost: 2 to 5 years, concrete replacement - $175,000 D. Facade D1. Siding and Trim Location: Various locations throughout the site. Description; Vertically oriented channel hardboard siding with wood trim. The wood trim is face mounted. €,~ < <~ ~: ~ ,r <<~, .~ ~~ . t 1 Ii i~ =~~ 5 r:~i-% u _; .. Bornengineering Page 5 of 15 Property Condition Report Timber Ridge Comments: The majority of the siding and trim is in poor condition. The siding and trim appears to have sustained moisture damage for some time. This is evident by the swelling of the material. When the hardboard absorbs water it swells, when it dries out it does not consolidate back to original form and stays spongy.. When the siding and trim are in this condition, paint adhesion is weakened and has a low useful life. We noted siding deterioration at horizontal trim and belly boards. There is no flashing integrated to keep moisture from ponding on the surfaces. Much of the lower siding and trim is in direct contact with concrete flatwork and earthen areas. This has resulted in extensive rot in these areas. As mentioned earlier in this report, some of the roof drainage has damaged the siding and trim. Recommendations: The siding and trim is nearing the end of its useful life. Applying paint to the siding and trim will most likely only last between 1 and 3 years. If the siding and trim. is to be replaced, we recommend coordinating the project with the window replacement and roof replacement. The appropriate flashings and weather resistive barrier should be installed. Useful Life: 2 to 4 years before a major replacement project should be performed. Install building paper, membrane and metal flashings. Opinion of Probable Cost: 2 to 4 years, replace siding and trim $1,150,000. D2. Windows _ ~ ~~ ~ .~~ ;.:,.°~. ~ Location: Exterior elevations of the building. ~~ ~~~~. - ~ ~~ ~.~'x:~ ?~°~`~ Description: The majority of the windows on ~ ~~ ,, ~~ H the building are original and are aluminum ~ = encasement windows with storm windows. ~ ~ . - ~. ,.I We also noted that several of the .windows are _ - ~~~~- ~` ~_ in the process of being replaced. The new windows appear to be a vinyl double pane window system. The windows have a nail fin incorporated. Comments: The original windows on the buildings are in very poor condition. Many of the encasements have failed and we noted several glass panes that have dropped. It does not appear that the original windows incorporated flashings into the siding system. The interior sills on many of the original windows show signs of moisture damage in the form of staining and swelling. We noted what appeared to be microbial growth on the interior window sills in several areas. Bomengineering Page 6 of 15 Property Condition Report Timber Ridge Unless you are going to replace the siding and trim, windows with nail fins are for new construction installation. Replacement windows typically do not have Wait fins and are installed utilizing sealant joints for weatherization. The installation of the new windows are a concern and do not appear to be correct. The nails fins are being connected to siding in some areas, framing in others, etc. Self adhered membrane flashing is being used around the nails fins in what appears to be for weatherization, this is incorrect. Recommendations: The news windows should be removed and installed correctly. It will be difficult installing these with nail fins but it can be done. The original windows will most likely last another 3 to 5 years with some replacement as necessary. We estimate a 10% replacement in the next 2 years. Useful Life: 3 to 5 years. Opinion of probable Cost: 0 to 2 years - 10% window replacement -estimated at $22,000. 3 to 5 years -window replacement project -estimated at $198,000. E. Stairwell Structure E1. Stairwell Roof System Location: Covering each of the stair exterior systems throughout the complex. -- _- ~. 1. Description: The roof structure is composed of 2x6 joists spaced at 24" on center. The lower end of the joist is supported by a cross beam and the upper end is tied to the truss tail. Interior wood posts have been installed to try to ,- .~~ t _, ~~- "'~,.. .~ ~ '. L;4 . ~` , s support the roof structure. Comments: The 2x6 rafters are visibly bowed at 100% of the roof systems observed. In several locations the panel board attached to the bottom side of the rafters is loose. The installed posts do not provide any support. Recommendations: Remove the panel board and sister two 2x6 rafters, one on each side of the existing rafters with two, 8d nails at 6" on center. This recommendation is not intended to extend the life past an additional 10 years. Useful Life: As constructed, approximately 1 to 2 years before a repair is recommended. Bornengineering Page 7 of 15 Property Condition Report Timber Ridge Opinion of Probable Cost: 1 to 2 years, remove the panel board and sister two 2x6 rafters, one on each side of the existing rafters with two, 8d nails at 6" on center - estimated at $15,000. The stairwell structures have an estimated useful life of 10 years. At that time a complete rebuild will be necessary. E2. Rail System Location: At the landing/transition between stairs to each level, either in the two story of three story structures. Description: The rails are constructed with a 2x4 bottom rail, 2x6 top rail and lx balusters. Comments: Approximately 25% of the balusters are either loose or missing. 100% of the rail systems will not adequately support code applied loads. Recommendations: Install new 4x4 intermediate posts, approximately 6'-0" on center and lagged through the rim board and attached to the landing joists with a Simpson Hold down anchor. Attach the 2x rail to the new posts with Simpson A34 clips. Reinstall loose and/or missing balusters with 2 - 1 5/8" screws. Useful Life: 0 to 2 years -structural repair As constructed, approximately 5 to 7 years after repair. At that time the rails and balusters will most likely need replaced Opinion of Probable Cost - 0 to 2 years - repair as mentioned above - $48,000. 5 to 7 years after repair. Replace rails and balusters -estimated at $120,000 E3. Stairwell Foundation System Location: Base of each stair system. Description: Constructed of either concrete or concrete masonry units (CMU). Comments: Approximately 30% of the stair structures are visibly settling at the outer edge. :"~ ~ ~~ f =` `~ Recommendations: For a long term repair we recommend installing two helical piers at the exterior edge of the settling stair structures. Bornengineering Page 8 of 15 Property Condition Report Timber Ridge Useful Life: As constructed, approximately 5 to 7 years beore repair will most likely need to take place -estimated at $35,000. F. Deck/Landing Structure F1. Deck Ledgers Location: Attached to the building exterior and supporting the deck/landing joists. Description: 2x member attached to the exterior of the buildings with nails. Comments: The nailed attachment of the deck kft~:: ledger to the building structure will not adequately support the code applied loads condition occurs on 100% of the buildings. This We also noted several sections of deck joists where the hangers are extensively corroded from roof drainage above. Recommendations: Install two 1/2"diameter lag screws spaced at a maximum 32" on center. We recommend replacing the joist hangers where extensively corroded. Useful Life: 0 to 2 years before repair is recommended. Opinion of Probable Cost - 0 to 2 years -estimated at $12,000. - _ ~~- F2. Deck Boards ~ ~ ~ ' ~ ~ { Location: At each of the decks/landings and `""~~.`.~ ~ stair systems. .:.~ r Description: 2x wood spanning across the Y deck joists. f'; "'~ Comments: At various locations throughout ' `=~ =.~t } ~ ~ n t. the complex deck boards are either missing or inadequate to support an applied load (approximately 15%) and in other areas replacement 2x boards are untreated and exposed to the weather (approximately 20%). Recommendations: Remove and replace the missing, failed and untreated 2x deck boards in the next 0 to 2 years. The new boards shall be screwed in place and the wood painted and all six sides. Bomengineering Page 9 of 15 Property Condition Report Timber Ridge Useful Life: As constructed, approximately 10 years with repair. Opinion of Probable Cost -Replace deck boards as mentioned above -estimated at $28,000. F3. Support Beams Location: Spanning between posts and supporting the exterior edge of the 2x joists. Description: 4x member spanning between posts. Comments: The support beams in approximately 30% of the complex are twisted and in approximately 50% of the complex have an inadequate post to beam connection. Recommendations: Install new post/beam connection hardware at bad connections in 3 to 5 years. Useful Life: 3 to 5 years with repair mentioned. 15+ years before full beam replacement. Opinion of Probable Cost - 3 to 5 years - repair as mentioned -estimated at $7,000 -.-~~, F4. Deck Posts fps ~~f~.~ '~ ~~, ;,. Location: The exterior edge of the deck ` landings. , ~~ Description: 4x member attached to the ~~~ ~--- E -, fi,N,.,~ - ~ 1.w~~. exterior beams and supported on concrete ~-~f =,r. footings. ~,~,~ -,_°4 Comments: The support at the foundation is deteriorated at approximately 50% of the connections at the complex. Recommendations: Remove and install new 4x posts at locations where the foundation system is deteriorated or failed. Anew concrete pad or pier may will also need to be installed to properly support the posts. Useful Life: Repair in 0 to 2 years. Opinion of Probable Cost - 0 to 2 years - repair as mentioned -estimated at $22,000. Bornengineering Page 10 of 15 Property Condition Report Timber Ridge G. Roofing Systems G1. Asphalt Shingle Roofing Location: All Buildings Description: The roofs are a dimensional ___ _ - - asphalt shingle that are installed over an ~~ asphalt saturated roofing underlayment. Galvanized metal flashings are installed at the perimeter edges of the roofing. Soffit vents are - ' installed at eaves with ~gable'vents installed at upper head walls. Gutters and downspouts are generally not installed, but they are located at the main office. building. Comments: There are many areas of the roof that have severe deflection of the underlying roof sheathing. This indicates strong potential of damages to the building structure that have been caused by water intrusion, snow loading or deficiencies in the installation. ~~~: ~ ~` .~, M ~,. ~r~~ /.~.~. . ;"w ~l - ~ 7 Many of the asphalt shingles within a few courses of the roof eaves are damaged, presumably from the formation of ice dams. Most of these shingles have portions of the shingle broken off. This reduces the effective coverage of the shingle and increases the potential for water intrusion through the roof assembly. The broken edge of the shingle exposes the fiberglass reinforcement as well as the bottom mat of the dimensional shingle. Exposure to the sun, wind, rain and snow will deteriorate these damaged shingles even further which will ultimately lead to even greater water intrusion through the roof. Bomengineering Page 11 of 15 Property Condition Report Timber Ridge Active roof leaks are evident throughout the complex. We observed sections of roofs on different buildings where plastic sheeting and tarpaulins are placed to keep water out of units. Soffits at eaves, stair landings and corridors are water stained and damaged from water intrusion through the roof. Due to the visible damages to the sheathing and evidence of water intrusion, we did not access the roofs as it appeared a safety hazard to walk on the roof surface. Wood fascias are installed along the eaves and rake edges of the roof. The paint is delaminating from most of the fascias at the eaves. Some of the eave fascia is also water damaged. Recommendations: The asphalt shingle roofing, flashings, roof underlayment, roof sheathing and fascia boards are in very poor condition and require near future replacement. Many soffits also require replacement. Damages and/or deficiencies to the underlying structural components should be reviewed and repaired as necessary. Useful Life: 0 to 3 years. Opinion of Probable Cost: 0 to 3 years - .roof replacement -estimated at $260,000. H. Site H1. Gabion Walls Location: Throughout the complex Description: Small boulders/rock encased in a wire basket. A series of wire baskets are connected to create a large mass and the retaining walls for the complex. Bomengineering Page 12 of 15 Property Condition Report Timber Ridge Comments: Approximately 20% of the walls are either bulging or have failed. Recommendations: Monitor and, if necessary, replace failed portions of the gabion walls. Useful Life: As constructed, approximately 15 years with minor isolated repairs. ~, -r ~:.: H2. Concrete Walls ..., ~ '~ Location: Along the north property boundary. Description: Large (N 15'-20') concrete wall supporting the soil directly to the north of the ,. ~ >' complex.. ~ S, ~, , , Comments: The walls appear to have been _~.~ e_ _ _~~_. ~ - ____.__~~... repaired with the instaAation of wide flange columns and tie back anchors. The concrete surface is cracked throughout the length of the wall and the wall has a slight, negative batter or lean. Recommendations: Monitor and, if necessary, replace failed portions of the wall. Useful Life: As constructed, approximately 15+ years. H3. Trash Enclosures Location: Throughout the complex Description: Open, wood framed structures with a framed roof supported on an elevated concrete pad. .~ 4 F ~ '- ~r Comments: All trash enclosures have been .__ ___... damaged by the removal of the trash bins to the extent that the structures are considered alife/safety hazard and should be abandoned until removed or repaired. Recommendations: Completely remove the damaged structures and rebuild. Useful Life: As constructed, approximately 0 to 1 year. Opinion of Probable Cost: 0 to 1 year -rebuild the trash enclosures - $32,000. Bomengineering Page 13 of 15 Property Condition Report Timber Ridge H4. Split Rail fence Location: Throughout the complex Description: Typical double split rail and post fence. Comments: The fencing is in poor condition with extensive dry rot present in all locations. ~r~ - rr tl }s ~ ~`h l ~~~~ i+ ~ s~ t;~ ~~P ~ o~ r ~ i m ~~ i~$ ti ~ ,,~': ~ ~ r '.. r ~ ,V ~`~ -1 1~ ~~~ NYC r t~ '' ~ .~ . ~. _ ~ ~ LL Recommendations: The fencing does cordon of landscape areas and common space walking areas from driving areas so it is relatively important. The fencing is in poor aesthetic condition. Useful Life: 2 to 4 years. Opinion of Probable Cost: 2 to 4 years -replace all fencing - $60,000. Bomengineering Page 14 of 15 Property Condition Report Timber Ridge 4.0 .Exclusions The following services were not included in this evaluation: A. Invasive observations. B. This evaluation does not include investigation of other items not mentioned above. We have consulted with contractor(s) to assemble an opinion of probable construction cost. In preparing this opinion of probable construction cost, Bornengineering makes no warranty, express or implied, as to the accuracy of this opinion as compared to bid or actual cost(s) of the work. Bornengineering has no control over costs or the price of labor, equipment or materials, market conditions, or Contractor's method of pricing. This opinion has been prepared on the basis of Bornengineering's professional judgment and experience. Sincerely, B rnengineering -~ Ju in Foy, RS Dir ctor of Site and Buildi g Evaluations JF: :nm H:\2006\06210 Timber Ridge Village\934 Property Condition Eval\Docs\Timber Ridge Village Property Condition Repat.doc Bornengineering Page 15 of 15 Property Condition Report MEMORANDUM To: Town Council From: Kathleen Halloran Date: August 21, 2007 Subject: Supplemental Appropriation On Tuesday evening you will be asked to approve the first reading of Ordinance No. 24 making supplemental appropriations and adjustments to the 2007 budget. We have also set aside time for discussion in the afternoon work session and are attaching the following information for your review: • Second Supplemental Appropriation Request of 2007 • Ordinance No. 24 • Statements of Revenue, Expenditure, and Changes in Fund Balance including the second supplemental Capital Projects Fund Based upon actual results through July, we are recommending a budget adjustment of $1.35 million in additional sales tax revenue. We further recommend the entire amount be directed to the Capital Projects Fund. Investment income was increased by $200K based on the fund balance available for investment and current earnings rates. Other adjustments to the Capital Projects Fund include: the purchase of 6 additional hybrid buses (as approved August 7); parking equipment replacement (as approved August 7); and the purchase of a generator for the Police department and Municipal building. Two employee housing units were purchased: a unit at Vail Heights and a unit at Pitkin Creek. Buy- down program funds of $365K were used toward these purchases, with the remainder of funding transferred from the General Fund. The Vail Heights unit was sold for $174.SK. The financing and expense related to the construction of the West Vail Fire Department was moved from 2007 to 2009. There was also $800K of savings realized on streetscape projects from contingency funding not spent. RETT Fund Revenue from tax collections was reduced by $880K (and increased in 2008) to reflect future sales of Arrabelle units. Investment income was increased by $175.3K based on the fund balance available for investment and current earnings rates. Adjustments to expenditures include: increase to the Whitewater Park enhancements by $282.8K as approved on June 19; increase to the Seibert Circle project of $400K, offset by Vail Resort's contribution of $200K and savings on streetscape construction of $200K (as approved on August 7); reconstruction of the Booth Creek Playground was moved from 2007 to 2011, when the entire park will undergo renovations; $1045K was budgeted for design work related to the study completed by Borne Engineering for the town's recreational assets. General Fund We are recommending budget adjustments to increase revenue where year-to-date receipts .are favorable to the original budget; including charter bus revenue, federal grants and other state revenue. These items are offset by corresponding expenditures for various programs. Investment income was increased by $370K based on the fund balance available for investment and current earnings rates. 070821 Supp 2nd - 1 - Adjustments to expenditures include: out of cycle contributions of $273K (approved on June 19). Another $15K was identified as a potential out of cycle contribution for the Colorado Ski Museum display at Denver's International Airport. The. Ski Museum's request was forwarded to the Vail Local Marketing District for consideration, but was declined. It was included here pending Council's approval to pay out of the General Fund. A total of $200,500 was transferred from the General Fund to the Capital Projects Fund to cover the remaining cost of purchasing two employee units (Vail Heights and Pitkin Creek). Other changes are outlined in the attached spreadsheet S-1. Dispatch Services Fund Adjustments were made to reflect a new software purchase, as well as the funding for that purchase from the Eagle County Health Service District. Health Insurance Fund Adjustments were made to reflect increased claims activity for the year, as well as reimbursement from our stop loss carrier. Overall, there is a $448.3K increase in expense to this fund which will reduce the current fund balance. However, the current fund balance is higher than originally budgeted due to the timing of claims paid and there are sufficient funds remaining to cover our exposure to additional claims. 070821 Supp 2nd. - 2 - Proposed Supplemental Appropriations and Budget Adjustments #2 of 2007 Revenue Expenditure Increase Increase Description (Decrease) (Decrease) Reason General Fund Investment Income Collection Costs Other Federal Grants Other State Revenue Emergency Mgmt &CERT Fire Dept -Overtime Out of Cycle Contributions Out of Cycle Contributions Charter Bus Service Charter Expense Professional Dues Publication of Legal Notices Bank Charges -Transit Misc Revenue -Incident Mgmt Team Uniform Expense -Incident Mgmt Team Wendy's purchase Employee Housing Unit purchase Professional Fees Subtotal General Fund Capital Projects Fund Sales Tax Revenue Investment Income Sale of Vail Heights Unit Transfer from General Fund Buildings -Vail Heights Unit Buy Down Program Buildings -Pitkin Creek Unit Misc -Condo Dues Utilities -Electricity Transfer from General Fund Purchase of Wendy's property Email Archive Appliance Other Federal Grants Vehicles -Buses Parking Equip replacement Fire Infrastructure 370,000 Conservative estimate based on current overage and projected income (43,998) 5% of RETT collections for administration; related to revenue reduction 30,375 Drug Enforcement Grant revenue 32,175 Reimbursement from Homeland Security for Emergency Mgmt Training 32,175 Emergency Mgmt Training & Citizen Emergency Response Team (CERT) Expenses 40,000 Overage due to staffing shortage and fire student pay structure revision at end of 2006 273;000 Per Council's direction on June 19 ($250K WF, $18K Ski Museum; $SK Radio Free Minturn) 15,000 Pending Council discussion - to help fund DIA exhibit for Co. Ski Museum 15,400 Excess revenue from X Games (total revenue $58K) 15,364 Expense for X-Games 31,100 CO Assoc of Transit Agencies (CASTA); dues & lobbyist for add'1 grant money 12,000 Increase in both volume and cost of legal publications 20,000 Increase in both volume and rates for credit card fees on parking sales 3,150 Contribution from Encana Oil & Gas, Inc. for Incident Management Team uniforms 3,150 Uniforms for Incident Mgmt Team 22,000 Transfer from General Fund to Capital Fund for closing costs related to purchase of Wendy's property 200,500 Transfer from General Fund to Capital Fund for purchase of employee housing units. 26,700 Consultant to perform Construction Mitigation Fee study 407;102 690,989 1,350,000 Increase in projected tax revenue collections (100% to Capital fund) 200,000 Earnings projected at 4.95%; Original budget was very conservative & based on less fund balance 174,500 200,500 To cover additional cost of employee housing unit purchase (Vail Heights &Pitkin Creek) 280,000 Purchase of Vail Heights unit 11 (Chamonix Lane) (365,000) Use buy-down funds toward purchase of employee housing units 460,000 Purchase of Pitken Creek Park unit 6-H 1,875 6 months of condo dues for Pitkin Creek unit 250 6 months of electric utilities for Pitken unit 22,000 Closing costs for Wendy's property purchase 22,000 Closing costs for Wendy's property purchase 16,000 Equipment for archival of email data -needed for compliance with legistlation effective Jan 1 2008 50,617 Additional grant money for bus replacement; more for Intermodal site in 'O8, '09, ' 10 ($4.SM total) 3,675,000 Purchase of 6 additional buses (7 total) per Council's approval Aug. 7; (moved up from 2008) 390,348 Moved 2009 expense up to 2007 based on need for new equip; per Council's approval Aug. 7 (2,650,000) Push construction costs for W. Vail Fire Station out to 2008/2009 Supp 2 of 2007 3 8/16/2007 9:08 AM Proposed Supplemental Appropriations and Budget Adjustments #2 of 2007 Revenue Expenditure Increase Increase Description (Decrease) (Decrease) Reason Fire Station Financing (2,000,000) Financing related to construction of W. Vail Fire Station (also pushed to 2008/2009) West & East Meadow Dr- Streetscape (150,000) Savings on construction costs (contingencies not needed) Village Streetscape (500,000) Savings on construction costs (contingencies not needed) East Meadow Dr. -Streetscape Heat (150,000) Savings on construction costs (contingencies not needed) Generator for PD & Muni Bldg 75,000 Replacement needed urgently; Estimated cost for equipment and install /construction LH Parking Structure RFP 52,500 Legal and consulting fees to be reimbursed (includes an admin fee) LH Parking Structure RFP 50,000 Legal and consulting fees Subtotal Capital Projects Fund 50,117 1,155,473 RETT Projects Fund RETT Revenue Collection Costs Investment Income Project Reimb /Shared Costs Construction Services Construction Services Construction Services Meadow Dr. Streetscape Construction Services -Seibert Circle Project Reimb /Shared Costs Construction Services -Seibert Circle Recreation Master planning Subtotal RETT Projects Fund Dispatch Service Fund Project Reimbursement Subtotal Dispatch Service Fund Health Insurance Fund Insurer proceeds Cobra Interest Income Short Term Disability Claims paid expense Subtotal Health Insurance Fund Total All Funds (879,952) Arrabelle shifted from 2007 to 2008 (43,998) 5% of RETT collections for administration; related to revenue reduction 175,300 Conservative estimate based on current overage and projected income 10,000. One Willow contribuion towards kayak take-out; requiremt of construction project 10,000 Kayak take-out construction cost relating to One Willow project funding 282,815 Whitewater Park enhancements per Council's approval June 19 (incr to total of $376K) (422,000) Booth Creek Playground budgeted for full re-do in 2011; remove other fixes budgeted in'07 (200,000) Savings on construction costs (contingencies not needed) 200,000 Increase in construction costs; per Council's approval Aug. 7 200,000 Aknowledge Vail Resort's contribution toward Seibert Circle project 200,000 Increase in construction costs; relates to Vail Resorts' contribution of $200K for Seibert Circle 104,500 Design cost for recreational assets as related to engineering study (494,652) 131,317 72,000 Dispatch software - paid by Eagle County Health Service District 72,000 Dispatch software 72,000 72,000 147,000 Reimbursed claims from our stop-loss carrier (Insurance for claims over $70K) 10,600 6,300 (16,000) 628,200 Increase in claim expense; based on projections from our third party administrator 163,900 612,200 198,467 2,661,979 Supp 2 of 2007 4 8/16/2007 9:08 AM 2nd Supplemental of 2007 First Reading TOWN OF VAIL 2007 BUDGET SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE GENERAL FUND Current Proposed Budget Ammended Ammended 2007 2007 Supp #2 2007 Revenue Local Taxes: Sales Tax Split b/t Gen'I Fund & Capital Fur Sales Tax Property and Ownership Ski Lift Tax Franchise Fees, Penalties, and Other Taxe: Licenses & Permits Intergovernmental Revenue Transportation Centers Charges for Services Fines & Forfeitures Earnings on Investments Transfer from RETT Rental Revenue Miscellaneous and Project Reimbursements Total Revenue Expenditures Salaries Benefits Subtotal Compensation and Benefits 63/37 58/42 10,741,500 10,741,500 10,741,500 3,007,998 3,007,998 3,007,998 2,890,000 2,890,000 2,890,000 807,000 807,000 807,000 1,883,550 2,779,550 2,779,550 1,283,200 1,283,200 65,700 1,348,900 3,685,380 3,685,380 3,685,380 752,856 801,606 (28,598) 773,008 201,500 201,500 201,500 425,000 425,000 370,000 795,000 754,908 737,220 737,220 70,000 70,000 70,000 26,502,892 27,429,954 407,102 27,837,056 12,099,741 12,099,741 69,837 12,169,578 4,240,927 4,240,927 1,353 4,242,280 16,340,668 16,340,668 71,190 16,411,858 Contributions and Special Events 1,176,664 1,176,664 288,000 1,464,664 All Other Operating Expenses 5,974,016 7,285,037 109,299 7,394,336 Heavy Equipment Operating Charges 1,946,418 1,946,418 1,946,418 Heavy Equipment Replacement Charges 631,723 631,723 631,723 Dispatch Services 512,427 512,427 512,427 Total Expenditures 26,581,916 27,892,937 468,489 2$,361,426 Revenue Over (Under) Expenditures Transfer to Capital Projects Fund Transfer from Capital Projects Fund Transfer to RETT Transfer to Dispatch Services Fund Beginning Fund Balance (79,024) (462,983) (61,387) (524,370) (222,500) (222,500) 12,664,979 $ 15,433,051 $ 15,433,051 Ending Fund Balance $ 12,585,955 $ 14,970,068 $ 14,686,181 2nd Supplemental of 2007 First Reading 7OWN OF VAIL 2007 BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE CAPITAL PROJECTS FUND Current Proposed Budget Ammended Ammended 2007 2007 Supp f62 2007 Revenue .Sales Tax p 6,308,500 6,308,500 1,350,000 7,658,500 Federal Grant Revenue - 50,617 50,617 Lease Revenue 187,800 187,800 187,800 Project Reimbursement 141,869 52,500 194,369 Eagle County Grant Revenue 500,000 500,000 Earnings on Investments and Other 43,000 43,000 374,500 417,500 Total Revenue 6,539,300 7,181,189 1,827,617 9,008,786 Expenditures Land Purchases Vail Heights Unit 280,000 280,000 Pitkin Creek Unit 462,125 462,125 East Vail Lodging Unit 172,550 172,550 Wendy's Property 2,000,000 22,000 2,022,000 Equipment Purchases Document Imaging 97,000 97,000 97,000 Software & Hardware Upgrades 72,000 72,000 16,000 88,000 Comm Dev Interactive Permit software 65,000 65,000 65,000 Software Licensing - - Network upgrades/new UPS for computer roof 45,000 45,000 45,000 Com Dev Plotter - - Web Page Development/Ecommerce 20,000 20,000 20,000 Eagle County CAD / RMS Project 92,500 92,500 92,500 Parking Equipment Replacement - 390,348 390,348 Police Copier - - Patrol Car Video Cameras - - Fire Truck Rebuild/Refurbish 588,000 589,352 589,352 Fire Department Breathing Apparatus - - Jail Video System Upgrade 12,000 12,000 12,000 Police Radio AMP in parking structures 50,000 50,000 50,000 Heavy Duty Tire changer 17,500 17,500 17,500 Generator 75,000 75,000 Office Equipment 17,000 17,000 17,000 RepowerBuses - - - Replace Buses 167,605 3,675,000 3,842,605 GPS for Buses 52,750 52,750 800 MHz radio system - Vehicle Expansion 44,800 44 800 44 800 Subtotal Equipment Purchases 1,120,800 1,342,507 4,158,348 5,498,855 Capital Maintenance Bus Shelter Replacement 30,000 30,000 30,000 Capital Street Maintenance 830,000 830,000 830,000 Parking Structure Improvements 455,000 481,129 481,129 General Facility Improvements 446,000 744,627 744,627 Fire suppression in computer rooms 35,500 35,500 35,500 Flammable storage / Mag Chloride 24 000 24 OOb Subtotal Capital Maintenance 1,796,500 2,145,258 - 2,145,258 Street Reconstruction Neighborhood Road Reconstruction - - Neighborhood Bridge Rewnstruction - - Frontage Road -Ford Park - - Subtotal Street Reconstruction - - - - 6 2nd Supplemental of 2007 First Reading TOWN OF VAIL 2007 BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE CAPITAL PROJECTS FUND Current Proposed Budget Ammended Ammended 2007 2007 Supp #2 2007 Buildings & Improvements Fire infrastructure improvements 2,000,000 2,767,229 (2,650,000) 117,229 Building Remodels 50,000 50,000 50,000 Fiber Optics in Buildings 15,000 15,000 15,000 Dobson Ice Arena 7,900 7,900 Way Finding Improvements 9,896 9,896 Donovan Park Pavilion 29,634 29,634 Gymnastics Facility 5,612 5,612 Municipal Building - - LH Information Center Renovation - - Creekside Housing Improvements _ - - Subtotal Bidgs /Improvements 2,065,000 2,885,271 (2,650,000) 235,271 Streetscape Projects West & East Meadow Drive 1,100,000 1,100,000 (150,000) 950,000 East Meadow Drive-Streetscape Heat 1,180,000 1,180,000 (150,000) 1,030,000 Village Streetscape 1,776,667 (500,000) 1,276,667 Subtotal Streetscape Projects 2,280,000 4,056,667 (800,000) 3,256,667 Housing Program Buy-Down Program 100,000. 365,000 (365,000) - Rational Nexus Study 1,999 1,999 Timber Ridge Debt Service Guarantee 925,000 925,000 Timber Ridge Legal /Zoning 32,558 32,558 Subtotal Housing Program 100,000 1,324,557 (365,000) 959,557 LionsHead Redevelopment LionsHead Improvements 89,764 89,764 Intermodal Site Subtotal LionsHead Redevelopment - 89,764 - 89,764 Other Improvements TOV Strategic Planning (Vail 2020) 150,000 167,920 167,920 West Vail Area Plan 27,300 27,300 Street Light Improvement Program 75,000 80,099 80,099 -70 Noise 250,000 837,575 837,575 LH Parking Structure RFP 76,299 50,000 126,299 Bio-Mass Study 50,000 50,000 50,000 E. Vail Radio Tower Subtotal Other Improvements 525,000 1,239,193 50,000 1,289,193 Total before Financing 7,887,300 15,255,765 1,155,473 16,411,238 W. Vail Station Bonds 2,000,000 2,000,000 (2,000,000) - Main Vail Renovations Bonds - W. Vail Station Debt Service (57,213) - - Main Vail Renovations Debt Service - Transferfor Debt Service (2,322,497) (2,322,497) (2,322,497) Transfer from General Fund 222,500 222,500 Total Financing (379,710) (322,497) (1,777,500) (2,099,997) Total Expenditures 8,267,010 15,578,262 2,932,973 18,511,235 Revenue Over (Under) Expenditures (1,727,710) (8,397,093) (1,105,356) (9,502,449) Beginning Fund Balance 3,151,373 10,256,602 10,256,602 Ending Fund Balance 1,423,663 1,859,509 754,153 2nd Supplemental 2007 First Reading TOWN OF VAIL 2007 BUDGET SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE REAL ESTATE TRANSFER TAX FUND Current Proposed Budget Ammended Ammended 2007 2007 Supp #2 2007 REVENUE Real Estate Transfer Tax 8,179,952 8,179,952 (879,952) 7,300,000 Federal Grant - - Golf Course Lease 123,018 123,018 123,018 Lottery Revenue 20,000 20,000 20,000 Project Reimbursements 150,000 164,065 210,000. 374,065 Earnings on Investments and Other 57,000 184,700 175,300 360,000 Transfer from GF - - Recreation Amenity Fees 125,000 125,000 125,000 Total Revenue 8,654,970 8,796,735 (494,652) 8,302,083 EXPENDITURES Annual Maintenance RETT Management Fee 408,998 408,998 (43,998) 365,000 Rec. Path Capital Maintenance 216,300 234,837 234,837 Alpine Garden Support 54,080 54,080 54,080 Tree Maintenance 87,000 104,796 104,796 Forest Health Management 250,000 385,325 385,325 Street Furniture Replacement 20,000 20,000 20,000 Black Gore Creek Sand Mitigation 100,000 135,000 135,000 Park, Path & Landscape Maintenance 1,260,802 1,260,802 1,260,802 Subtotal Maintenance 2,397,180 2,603,838 (43,998) 2,559,840 Recreation Path/Trail Development Katsos Ranch 750,000 1,225,943 1,225,943 Cascade Bike Path 7,000 7,000 TimberRidge-Buffehr Crk Rd Separation 675,000 675,000 675,000 Trailhead Development 21,000 27,273 27,273 Meadow Drive Streetscape 920,000 920,000 (200,000) 720,000 Frontage Road Bike Trail - - - Subtotal Pathways 2,386,000 2,855,216 (200,000) 2,655,216 Capital Maintenance ADA Compliance w/VRD 50,000 126,848 126,848 VRD Agreements /Legal 50,000 52,444 52,444 Raw Water Project /Irrigation Control - 10,388 10,388 Stream Tract Incursion Survey 34,881 34,881 Big Hom Park -Per Safety Plan 216,756 216,756 Red Sandstone Park -Per Safety Plan 58,000 58,000 58,000 Retrofit Park Restrooms-3 seasons 172,402 172,402 Park /Playground Capital Maintenance 100,000 100,000 100,000 Landscape Medians 570,000 570,000 570,000 Turf Topdresser 12,000 12,000 12,000 Bear Proof Containers 180,000 199,500 199,500 Sibert Circle 699,095 400,000 1,099,095 Greenhouse 100,000 100,000 100,000 Subtotal Capital Maintenance 1,120,000 2,352,314 400,000 2,752,314 Art in Public Places (AIPP) Public Art 75,000 260,909 260,909 Project Management 66,000 66,000 66,000 Subtotal AIPP 741,000 326,909 - 326,909 Park Development Donovan Park 49,050 49,050 White Water Park 93,185 282,815 376,000 LionsHead Park 139,000 139,000 139,000 Booth Creek Park Redevelopment 422,000 422,000 (422,000) - Skate Park 400,000 400,000 Kayak Take-out - 10,000 10,000 Ford Park Master Plan-Improvements 100,000 100,000 100,000 Subtotal Park Development 661,000 1,203,235 (129,185) 1,074,050 2nd Supplemental 2007 First Reading TOWN OF VAIL 2007 BUDGET SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE REAL ESTATE TRANSFER TAX FUND Current Proposed Budget Ammended Ammended 2007 2007 Supp #2 2007 Discretionary Projects Recreation Master Planning 104,500 104,500 Ford Park /Tennis Center Improvements 56 000 56,000 56,000 Total Discretionary Projects 56,000 56,000 104,500 160,500 Environmental Sustainability 250,000 250,000 250,000 Open Space Acquisition - 551,019 551,019 Total Expenditures 6,991,180 10,198,531 131,317 10,329,&48 Revenue Over (Under) Expenditures 1,663,790 (1,401,796) .(625,969) (2,027,765) Beginning Fund Balance 4,444,006 8,956,388 8;956,388 Ending Fund Balance 8,107,796 7,554,592 0625,969) 6,928,623 9 2nd Supplemental 2007 First Reading TOWN OF VAIL 2007 BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE DISPATCH SERVICES FUND Revenue E911 Board Revenue Interagency Charges Town of Vail Interagency Charge Earnings on Investments E911 BOARD Capital Grant Project Reimbursement Other Total Revenue Expenditures Salaries & Benefits Operating, Maintenance & Contracts Capital Outlay Total Expenditures Revenue Over (Under) Expenditures Transfer to Capital Projects Fund Transfer from General Fund Beginning Fund Balance Ending Fund Balance Proposed 2007 Ammended Budget Supp #2 2007 563,654 563,654 901,858 901,858 512,427 512,427 - 72,000 72,000 1,977,939 72,000 2,049,939 1,470,322 1, 470,322 475,119 475,119 50,000 72,000 122,000 1,995,441 72,000 2,067,441 _ (17,502) - (17,50 329,044 543,186 311,542 - 525,684 HEALTH INSURANCE FUND Proposed 2007 Ammended Budget Supp #2 2007 Revenue Town of Vail Interagency Charge -Premiums 2,242,900 2,242,900 Employee Contributions 241,600 10,600 252,200 Insurer Proceeds 5,000 147,000 152,000 Earnings on Investments 27,200 6,300 33,500 Total Revenue 2,516,700 163,900 2,680,600 Expenditures Health Inusrance Premiums Claims Paid Short-term Disability Pay Professional Fees Total Expenditures Revenue Over (Under) Expenditures 299,400 2,143,800 56,000 17,500 628,200 (16,000) 299,400 2,772,000 40,000 17,500 2,516,700 612,200 3,128,900 - (44$,300) (448,300) Beginning Fund Balance Ending Fund Balance 475,154 1,009,273 475,154 560,973 10 ORDINANCE N0.24 SERIES OF 2007 AN ORDINANCE MAKING SUPPLEMENTAL APPROPRIATIONS TO THE TOWN OF VAIL GENERAL FUND, CAPITAL PROJECTS FUND, REAL ESTATE TRANSFER TAX FUND, DISPATCH SERVICES FUND AND HEALTH INSURANCE FUND OF THE 2007 BUDGET FOR THE TOWN OF VAIL, COLORADO; AND AUTHORIZING THE EXPENDITURES OF SAID APPROPRIATIONS AS SET FORTH HEREIN; AND SETTING FORTH DETAILS IN REGARD THERETO. WHEREAS, contingencies have arisen during the fiscal year 2007 which could not have been reasonably foreseen or anticipated by the Town Council at the time it enacted Ordinance No. 28, Series of 2006, adopting the 2007 Budget and Financial Plan for the Town of Vail, Colorado; and, WHEREAS, the Town Manager has certified to the Town Council that sufficient funds are available to discharge the appropriations referred to herein, not otherwise reflected in the Budget, in accordance with Section 9.10(a) of the Charter of the Town of Vail; and, WHEREAS, in order to accomplish the foregoing, the Town Council finds that it should make certain supplemental appropriations and budget adjustments as set forth herein. NOW, THEREFORE, BE IT ORDAINED, BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO that: Pursuant to Section 9.10(a) of the Charter of the Town of Vail, Colorado, the Town Councii hereby makes the following supplemental appropriations and budget adjustments for the 2005 Budget and Financial Plan for the Town of Vail, Colorado, and authorizes the expenditure or (reduction) of said appropriations as follows: General Fund $ 690,989 Capital Projects Fund 1,155,473 Real Estate Transfer Tax Fund 131,317 Dispatch Services Fund 72,000 Health Insurance Fund 612.200 Total $ 2,661,979 2. If any part, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this -1- Ordinance No. 24, Series of 2007 ordinance; and the Town Council hereby declares it would have passed this ordinance, and each part, section, subsection, sentence, clause or phrase thereof, regardless of the fact that any one or more parts, sections, subsections, sentences, clauses or phrases be declared invalid. 3. The Town Council hereby finds, determines, and declares that this ordinance is necessary and proper for the health, safety, and welfare of the Town of Vail and the inhabitants thereof. 4. The repeal or the repeal and reenactment of any provision of the Municipal Code of the Town of Vail as provided in this ordinance shall not affect any right which has. accrued, any duty imposed, any violation that occurred prior to the effective date hereof, any prosecution commenced, nor any other action or proceedings as commenced under or by virtue of the provision repealed or repealed and reenacted. The repeal of any provision hereby shall not revive any provision or any ordinance previously repealed or superseded unless expressly stated herein. 5. All bylaws, orders, resolutions, and ordinances, or parts thereof, inconsistent herewith are repealed to the extent only of such inconsistency. This repealer shall not be construed to revise any bylaw, order, resolution, or ordinance, or part thereof, theretofore repealed. INTRODUCED, READ, APPROVED, AND ORDERED PUBLISHED ONCE IN FULL ON FIRST READING this 21st day of August, 2007, and a public hearing shall be held on this Ordinance on the 4th day of September, 2007, at the regular meeting of the Town Council of the Town of Vail, Colorado, in the Municipal Building of the town. Rodney E. Slifer, Mayor ATTEST: Lorelei. Donaldson, Town Clerk Ordinance No. 24, Series of 2007 -2- MEMORANDUM TO: Town Council FROM: Community Development Department DATE: August 21, 2007 SUBJECT: Ordinance No. 25, Series of 2007, an ordinance amending Sections 12-66-2, 12- 66-3, 12-6C-2, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, Vail Town Code, to change Type II Employee Housing Units from a conditional use to a permitted use in the Single-Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts, and setting forth details in regard thereto. (PEC07-0042) Applicant: Town of Vail Planner: Bill Gibson I. DESCRIPTION OF THE REQUEST The applicant, Town of Vail, is requesting a first reading of Ordinance 25, Series of 2007, an ordinance amending Sections 12-6B-2, 12-6B-3, 12-6C-Z, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, Vail Town Code, to change Type II Employee Housing Units from a conditional use to a .permitted use in the Single-Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts, and setting forth details in regard thereto.. II. BACKGROUND On March 23, 2003, the Planning and proposed text amendments and forwarded Town Council by a vote of 6-0-0. Environmental Commission reviewed the a recommendation of approval to the Vail On July 1, 2003, the Vail Town Council chose to approve the first reading of an ordinance to implement the proposed text amendments by a vote of 5-2-0. On July 15, 2003, and again on October 17, 2003, the Town Council tabled the second reading of this ordinance to an indefinite date. Before approving the second reading, the Town Council first wanted to await. the outcome of the on-going gross residential floor area (GRFA) amendment discussions (which were not approved until August of 2004) and other broader employee housing topics such as deed restriction compliance enforcement. On August 13, 2007, the Planning and Environmental Commission reviewed the proposed text amendments and forwarded a recommendation of approval to the Town Council by a vote of 6-0-0. Ordinance No. 25, Series of 2007, (Attachment A), and the staff memorandum to the Planning and Environmental Commission dated August 13, 2007, (Attachment B) have been attached for reference. 1 III. STAFF RECOMMENDATION The Department of Community Development recommends the Vail Town Council approve Ordinance No. 25, Series of 2007, on first reading to amend Sections 12-6B-2, 12-6B-3, 12-6C-2, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, Vail Town Code, to change Type II Employee Housing Units from a conditional use to a permitted use in the Single- Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts, and setting forth details in regard thereto. Staff's recommendation is based upon the review of the criteria noted in Section VII of the August 13, 2007, staff memorandum to the Planning and Environmental Commission and the evidence and testimony presented. Should the Town Council choose to approve Ordinance No. 25, Series of 2007, on first reading, the Department of Community Development recommends the Town Council make the following findings: "1. That the amendments are consistent with the applicable elements of fhe adopted goals, objectives and policies outlined in the Vail Comprehensive Plan and is compatible with the development objectives of the Town based upon the review outlined in Section Vll of the Staff's August 13, 2007, memorandum to the Planning and Environmental Commission; and, 2. That the amendments further the general and specific purpose of the Zoning Regulations based upon the review outlined in Section Vll of the Staff's August 13, 2007, memorandum to the Planning and Environmental Commission; and, 3. That the amendments promote the healfh, safety, morals, and general welfare of the Town and promote the coordinated and harmonious development of the Town in a manner that conserves and enhances its natural environment and its established character as a resort and residential community of the highest quality based upon the review outlined in Section Vll of the Staff's August 13, 2007, memorandum to the Planning and Environmental Commission." IV. ATTACHMENTS A. Ordinance No. 25, Series of 2007 B. Staff memorandum to the PEC dated August 13, 2007 2 Vail Town Council Attachment: A ORDINANCE NO. 25 SERIES OF 2007 ORDINANCE NO. 25, SERIES OF 2007, AN ORDINANCE AMENDING SECTIONS 12-6B-2, 12- 66-3, 12-6C-2, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, VAIL TOWN CODE, TO CHANGE TYPE II EMPLOYEE HOUSING UNITS FROM A CONDITIONAL USE TO A PERMITTED USE IN THE SINGLE-FAMILY RESIDENTIAL (SFR), TWO-FAMILY RESIDENTIAL (R), AND TWO-FAMILY PRIMARY/SECONDARY RESIDENTIAL (PS) DISTRICTS, AND SETTING FORTH DETAILS IN REGARD THERETO. WHEREAS, the Planning and Environmental Commission of the Town of Vail has held public hearings on the proposed amendments in accordance with the provisions of the Vail Town Code; and WHEREAS, the Planning and Environmental Commission of the Town of Vail recommended approval of these amendments at its August 13, 2007 meeting, and has submitted its recommendation to the Vail Town Council; and WHEREAS, the Planning and Environmental Commission finds that the proposed amendments are consistent with the applicable elements of the adopted goals, objectives and policies outlined in the Vail Comprehensive Plan and are compatible with the development objectives of the Town; and WHEREAS, the Planning and Environmental Commission finds that the proposed amendments promote the health, safety, morals, and general welfare of the Town and promote the coordinated and harmonious development of the Town in a manner that conserves and enhances its natural environment and its established character as a resort and residential community of the highest quality; and WHEREAS, the Vail Town Council considers it in the interest of the public health, safety, and welfare ~to adopt these amendments to the Town Code. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO, THAT: Section 1. The purpose of this ordinance is to allow Type II EHUs (employee housing units) as permitted uses in the Single Family, Two-Family, and Two-Family Primary/Secondary Zone Districts. (Text that is to be deleted is s#~+sken. Text that is to be added is bold. Sections of text that are not amended may be omitted.) Section 2. Article 12-6B, Single-Family Residential District (in part) is hereby amended as follows: 12-68-2: PERMITTED USES: The following uses shall be permitted in the SFR district: Single-family residential dwellings. Type II employee housing unit, as further regulated by chapter 13 of this title. Type IV employee housing unit, as further regulated by chapter 13 of this title. 12-68-3: CONDITIONAL USES: The following conditional uses shall be permitted, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title. Bed and breakfast as further regulated by section 12-14-18 of this title. Dog kennel. Home child daycare facility as further regulated by section 12-14-12 of this title. Public buildings, grounds and facilities. Public or private schools. Public park and recreation facilities. Public utility and public service uses. Ski lifts and tows. Section 3. Article 12-6C, Two-Family Residential District (in part) is hereby amended as follows: 12-6C-2: PERMITTED USES: The following uses shall be permitted in the R district: Single-family residential dwellings. Two-family residential dwellings. Type 1 employee housing unit, as further regulated by chapter 13 of this title. Type 11 employee housing unit, as further regulated bychapter 13 ofthis title. 2 Type IV employee housing unit, as furtherregulated by chapter 13 of this title. 12-6C-3: CONDITIONAL USES: The following conditional uses shall be permitted in the R district, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title: Bed and breakfast as further regulated by section 12-14-18 of this fiitle. Dog kennel Home child daycare facility as further regulated by section 12-14-12 of this title. Public buildings, grounds and facilities. Public or private schools. Public park and recreation facilities. Public utility and public service uses. Ski lifts and tows. Section 4. Article 12-6D, Two-Family Primary/Secondary Residential District (in part) is hereby amended as follows: 12-6D-2: PERMITTED USES: The following uses shall be permitted: Single-family residential dwellings. Two-family residential dwellings. Type 1 employee housing unit, as further regulated by chapter 13 of this title. Type 11 employee housing unit, as further regulated bychapter 13 of this title. 12-6D-3: CONDITIONAL USES: The following conditional uses shall be permitted, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title: Bed and breakfast as further regulated by Section 12-14-18 of this title. Home child daycare facility as further regulated by section 12-14-12 of this title. Public buildings, grounds and facilities. Public or private schools. Public park and recreation. facilities. Public utility and public service uses. Ski lifts and tows. 3 Section 5. Sub-Section 12-16-7-A (in part) is hereby amended as follows: 12-13-4: REQUIREMENTS BY EMPLOYEE HOUSING UNIT (EHU) TYPE EHU Zoning districts permitted by right or by conditional use Ownership/ Transference Additional GRFA' Additional Site Coverage /Reduced Landscape Area Garage Credit/Storege Requirement Parking Minimum/ Maximum GRFA of an EHU Density Type ll Permitted Use: The EHU shall not The EHU is n/a Allowed 300 sq. ft. of Per Chapter 12-10 as a 300 sq. ft. minimum. Allowed as Single-Family be sold or entitled to an additional garage dwelling unit. 1,200 sq. ft. third unit on Residential, Two- transferred additional 550 sq. area for the EHU. maximum. property. Family Residential, separately from ft. GRFA credit. Does not Two-Family the unit it is count as Primary/Secondary associated with. All units not density. Residential constructed with a garage shall be required a minimum Conditional Use: 75 sq. ft. of storage fly area in addition to l~es~~e~a~-Twe- normal closet space. ~~~{~ This 75 sq. ft. shall R~aq/~esendary be a credit for Residentiati Agriculture storage only. & Open Space Section 6. If any part, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not effect the validity of the remaining portions of this ordinance; and the Town Council hereby declares it would have passed this ordinance, and each part, section, subsection, sentence, clause or phrase thereof, regardless of the fact that any one or more parts, sections, subsections, sentences, clauses or phrases be declared invalid. Section 7. The Town Council hereby finds, determines and declares that this ordinance is necessary and proper for the health, safety and welfare of the Town of Vail and the inhabitants thereof. Section 8. The amendment of any provision of the Town Code as provided in this ordinance shall not affect any right which has accrued., any duty imposed, any violation that occurred prior to the effective date hereof, any prosecution commenced, nor any other action or proceeding as commenced under or by virtue of the provision amended. The amendment of any provision hereby shall not revive any provision or any ordinance previously repealed or superseded unless expressly stated herein Section 9. All bylaws, orders, resolutions and ordinances, or parts thereof, inconsistent herewith are repealed to the extent only of such inconsistency. This repealer shall not be construed to revise .any bylaw, order, resolution or ordinance, or part thereof, theretofore repealed. Ordinance No. 25, Series of 2007 5 INTRODUCED, READ ON FIRST READING, APPROVED, AND ORDERED PUBLISHED ONCE IN FULL ON FIRST READING this 21St day of August, 2007, and a public hearing for second reading of this Ordinance set for the 4th day of September, 2007, at 6:00 P.M. in the Council Chambers of the Vail Municipal Building, Vail, Colorado. Rodney E. Slifer, Mayor ATTEST: Lorelei Donaldson, Town Clerk Ordinance No. 25, Series of 2007 6 Vail Town Council Attachment: B MEMORANDUM TO: Planning and Environmental Commission FROM: Department of Community Development DATE: August 13, 2007 SUBJECT: A request for a final recommendation to the Vail Town Council, pursuant to Section 12-3-7, Amendment, Vail Town Code, for proposed text amendments to Sections 12-6B-2, 12-6B-3, 12-6C-2, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, Vail Town Code, to allow a Type II employee housing unit as a permitted use, and to eliminate a Type II employee housing unit as a conditional use, in the Single- Famiiy Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts, and setting forth details in regard thereto. (PEC07-0042) Applicant: Town of Vail Planner: BiII Gibson I. SUMMARY The applicant, Town of Vail, is proposing to amendment Title 12, Zoning Regulations, Vail Town Code, to allow a Type II employee housing unit (EHU) as a permitted use and to eliminate a Type II employee housing unit as a conditional use in the Single-Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts. The primary purpose for these proposed text amendments is to expedite the development review process for Type II EHUs to make more efficient use of the Planning and Environmental Commission, Town Staff, and applicants' time .and resources. The proposed text amendments do not alter the Town's existing development standards or criteria for review of Type II EHUs. Based upon staff's review of the criteria in Section VI of this memorandum, the Community Development Department recommends that the Planning and Environmental Commission forward a recommendation of approval to the Town Council of the requested text amendments, subject to the findings noted in Section VII of this memorandum. II. DESCRIPTION OF THE REQUEST A~Type II EHU is a deed restricted dwelling unit constructed in conjunction with asingle- family or two-family residence in the Single-Family Residential (SFR), Two-Family Residential (R), Two-Family Primary/Secondary Residential (PS), and Agriculture and Open Space (A) districts. Type II EHUs can not be sold or transferred separately from the primary dwelling unit to which it is associated. Type II EHUs must be leased to, and occupied by; tenants employed within Eagle County in accordance with the requirements of the deed restriction. For zoning purposes, Type II EHUs are not counted as density and are eligible for additional gross residential floor area (GRFA) and garage floor area credits. Currently Type II EHUs are allowed as conditional uses within the Single-Family Residential (SFR), Two-Family Residential (R), Two-Family. Primary/Secondary Residential (PS), and Agriculture and Open Space (A) districts; therefore, al! applications for Type II EHUs within these districts require Planning and Environmental Commission review and approval Please note that the Town of Vail is not proposing to amend the regulations of the Agriculture and Open Space (A) district which currently allow Type II EHUs as a conditional use. Staff believes the open space, rather than residential, character of this district warrants an additional level of review of an EHU within this district. The proposed text amendments will change a Type II EHU from a conditional use to a permitted use in the Single-Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts. These proposed text amendments shift the burden of reviewing and approving Type II EHU applications from the Planning and Environmental Commission to the Town Staff. The primary purpose for these proposed text amendments is to expedite the development review process for Type II EHUs to make more efficient use of the Planning and Environmental Commission, Town Staff, -and applicants' time and resources.. The proposed text amendments do not alter the Town's existing development standards or criteria for review of Type II EHUs. Currently the Town Staff administratively processes Type 11 EHU applications on the Glen Lyon Subdivision Primary/Secondary and Single Family Lots of Special Development District #4, Cascade Village. Ordinance No. 23, Series. of 1998, establishes the regulations for Special Development District #4 and specifically allows Type II EHUs on these residential properties as permitted rather than conditional uses. To the best of Staff's knowledge, there have been no negative issues associated with the administrative review of proposed Type II EHUs within the Glen Lyon Subdivision. Additionally, Town Staff administratively reviews and approves (or denies) applications for Type I EHUs in the Two-Family Residential and Two-Family Primary/Secondary Residential districts; Type III EHUs in the Lionshead Mixed Use 1 (LMU-1), Lionshead Mixed Use 2 (LMU-2), and Housing (H) districts; Type IV EHUs in all zone districts; and Type V EHUs in the Hillside Residential (HR) district. The Town of Vail is proposing to amendment Sections 12-6B-2, 12-6B-3, 12-6C-2, 12- 6C-3, 12-6D-2, 12-6D-3, and 12-13-4, Vail Town Code, to allow a Type II employee housing unit as a permitted use and to eliminate a Type II employee housing unit as a conditional use in the Single-Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts. The proposed text amendments are as follows: (deletions are shown in stf+lce-t#Feug#~/additions are shown bold) 2 Single-Family Residential (SFR) district 12-68-2: PERMITTED USES: The following uses shall be permitted in the SFR district: Single-family residential dwellings. Type /l employee housing unit, as further regulated by chapter 73 of this title. Type IV employee housing unit, as further regulated by chapter 13 of this title. 12-68-3: CONDITIONAL USES: The following conditional uses shall be permitted, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title. Bed and breakfast as further regulated by section 12-14-18 of this title. Dog kennel. Home child daycare facility as further regulated by section 12-14-12 of this title. Public buildings, grounds and facilities. Public or private schools. Public park and recreation facilities. Public utility and public service uses. Ski lifts and tows. Two-Family Residential (R) district 12-6C-2: PERMITTED USES: The following uses shall be permitted in the R district: Single-family residential dwellings.. Two-family residential dwellings. Type 1 employee housing unit, as~ further regulated by chapter 13 of this title. Type ll employee housing unit, as further regulated by chapter 13 of this title. Type IV employee housing unit, as further regulated by chapter 13 of this title. 12-6C-3: CONDITIONAL USES: The following conditional uses shall be permitted in the R district, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title: Bed and breakfast as further regulated by section 12-14-18 of this title. Dog kennel. Home child daycare facility as further regulated by section 12-14-12 of this title. Public buildings, grounds and facilities. Public or private schools. Public park and recreation facilities. Public utility and public service uses. Ski lifts and tows. Two-Family Primary/Secondary Residential (P/S) district 12-6D-2: PERMITTED USES: The following uses shall be permitted: Single-family residential dwellings. Two-family residential dwellings. Type 1 employee housing unit, as further regulated by chapter 13 of this title. Type /l employee housing unit, as further regulated by chapter 13 of this title. 12-6D-3: CONDITIONAL USES: The following conditional uses shall be permitted, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title: Bed and breakfast as further regulated liy Section 12-14-18 of this title. Home child daycare facility as further regulated by section 12-14-12 of this title. Public buildings, grounds and facilities. Public or private schools. Public park and recreation facilities. Public utility and public service uses. Ski lifts and tows. 4 12-13-4: REQUIREMENTS BY EMPLOYEE HOUSING UNIT (EHU) TYPE EHU Zoning districts permitted by right or by conditional use Ownership/ Transference Additional GRFA' Additional Site Coverage /Reduced Landscape Area Garage CredidStorage Requirement Parking Minimum/ Maximum GRFA of an EHU Density Type ll Permitted Use: The EHU shall The EHU is n/a Allowed 300 sq. ft. Per Chapter 12-70 as a 300 sq. ft. minimum. Allowed as Single-Family not be sold or entitled to an of additional garage dwelling unit. 1,200 sq. ft. third unit on Residential, Two- transferred additional 550 sq. area for the EHU. maximum. property. Family Residential, separately from ft. GRFA credit. Does not Two-Famity the unit it is count as Primary/Secondary associated with. All units not density. Residential constructed with a garage shall be required a minimum Conditional Use: 75 sq. ft. of storage ~i~ily area in addition to normal closet space. ~~~ This 75 sq. ft. shall ,~~~~9,, be a credit for ~iesideptia~ Agriculture storage only. & Open Space III. BACKGROUND On March 23, 2003, the Planning and Environmental Commission reviewed the proposed text amendments and forwarded a recommendation of approval to the Vail Town Council by a vote of 6-0-0. On July 1, 2003, the Vail Town Council chose to approve the first reading of an ordinance to implement the proposed text amendments by a vote of 5-2-0 (Diana Donovan and Bill Jewitt opposed). On July 15, 2003, and again on October 17, 2003, the Town Council tabled the second reading of this ordinance to an indefinite date. Before approving the second reading, the Town Council first want to await the outcome of the on-going gross residential floor area (GRFA) amendment discussions (which were not approved until August of 2004) and other broader employee housing topics such as deed restriction compliance enforcement. IV. APPLICABLE PLANNING DOCUMENTS Town of Vail Zoning Regulations (Title 12, Vail Town Code) Chapter 12-1: Title, Purpose and Applicability 12-1-2: Purpose A. General: These regulations are enacted for the purpose of promoting the health, safety, morals, and general welfare of the Town, and to promote the coordinated and harmonious development of the Town in a manner that will conserve and enhance its natural environment and its established character as a resort and residential community of high quality. Article 12-6B: Single-Family Residential (SFR) district 12-68-1: PURPOSE: The single-family residential district is intended to provide sites for low density single-family residential uses, together with such public facilities as may be appropriately located in the same district. The single-family residential district is intended to ensure adequate light, air, privacy and open space for each dwelling, commensurate with single-family occupancy, and to maintain the desirable residential qualities of such sites by establishing appropriate site development standards. Article 12-6C: Two-Family Residential (R) district 12-6C-1: PURPOSE: The two-family residential district is intended to provide sites for low density single family or two-family residential uses, together with such public facilities as may be appropriately located in the same district. The two-family residential district is intended to ensure adequate light, air, privacy and open space for each dwelling, commensurate with single-family and two-family occupancy, and to maintain the desirable residential qualities of such sites by establishing appropriate site development standards. 6 Article 12-6D: Two-Family Primary/Secondary Residential (P/S) district 12-6D-1: PURPOSE: The two-family primary/secondary residential district is intended to provide sites for single-family residential uses or two-family residential uses in which one unit is a larger primary residence and the second unit is a smaller caretaker apartment, together with such public facilities as may appropriately be located in the same district. The two-family primary/secondary residential district is intended to ensure adequate light, air,. privacy and open space for each dwelling, commensurate with single-family and two-fami/y occupancy, and to maintain the desirable residential qualities of such sites by establishing appropriate site development standards. Chapter 12-13: Employee Housing 12-13-1: PURPOSE: The Town's economy is largely tourist based and the health of this economy is premised on exemplary service for Vail's guests. Vail's ability to provide such service is dependent upon a strong, high quality and consistently available work force. To achieve such a work force, the community must work to provide quality living and working conditions. Availability and affordability of housing plays a critical role in creating quality living and working conditions for the community's work force. The Town recognizes a permanent, year-round population plays an important role in sustaining a healthy, viable community. Further, the Town recognizes its role in conjunction with the private sector in ensuring housing is available. The Town Council may pursue additional incentives administratively to encourage the development of employee housing units. These incentives may include, but are not limited to, cash vouchers, fee waivers, tax abatement and in- kind services to owners and creators of employee housing units. The Town or the Town's designee may maintain a registry and create lists of all deed restricted housing units created in the Town to assist employers and those seeking housing. Town of Vail Land Use Plan Chapter II: Land Use Plan Goals/Policies 5.3 Affordable employee housing should be made available through private efforts, assisted by limited incentives, provided by the Town of Vail, with appropriate restrictions. 5.5 The existing employee housing base should be preserved and upgraded. Additional employee housing needs should be accommodated at varied sties throughout the community. 7 V. CRITERIA FOR REVIEW The review criteria and factors for consideration for a request of a text amendment are established in accordance with the provisions of Chapter 12-3, Vail Town Code. 1. The extent to which the text amendment furthers the general and specific purposes of the Zoning Regulations; and, The proposed text amendments do not alter the existing development standards and/or criteria for review for Type II EHUs, but simply shift the burden of review and approval of Type II EHU applications from the Planning and Environmental Commission to Town Staff. Therefore, Staff believes that the proposed text amendments will create a more efficient development review process for Type II EHUs, and therefore further' the general .and specific purposes of the Zoning Regulations, Employee Housing chapter, and the Single-Family Residential, Two- Family Residential, and Two-Family Primary/Secondary Residential districts, as noted in Section V of this memorandum. 2. The extent to which the text amendment would better implement and better achieve the applicable elements of the adopted goals, objectives, and policies outlined in the Vail Comprehensive Plan and is compatible with the development objectives of the Town; and, Staff believes that the proposed text amendments will create a more efficient development review process for Type II EHUs thus furthering the purpose, intent, and objectives of the Vail Comprehensive Plan and the development objectives of the Town. Staff also believes that the proposed text amendments specifically conform to the goals 5.3 and 5.5 of the Town of Vail Land Use Plan, as noted in Section IV of this memorandum. As a permitted use, any proposed Type II EHU will be reviewed by the Town Staff for compliance with the same development standards (setbacks, GRFA, site coverage, landscape area, parking, etc.) and design guidelines as they are. currently reviewed as a conditional use. As a permitted use, any proposed Type II EHU will also be subject to the same deed restriction requirements as they currently subject to as a conditional use. 3. The extent to which the text amendment demonstrates how conditions have substantially changed since the. adoption of the subject regulation and how the existing regulation is no longer appropriate or is inapplicable; and, To the best of Staffs knowledge, of the approximately 24 Type II EHU applications reviewed by the Planning and Environmental Commission since .1994, only one application has been denied. 4. The extent to which the text amendment provides a harmonious, convenient, workable relationship among land use regulations consistent with municipal development objectives; and, 8 Since the proposed text amendments do not alter the existing development standards and/or criteria for review for Type II EHUs, Staff believes that the proposed text amendments provide a harmonious, convenient, workable relationship among land use regulations that are consistent with the Town of Vail master plans and development objectives. Staff also believes that the proposed text amendments will create a more efficient development review process for Type II EHUs thus furthering the purpose, intent, and objectives of the regulations. 5. Such other factors and criteria the Commission and/or Council deems applicable to the proposed text amendment. Nina Timm, Town of. Vail Housing Coordinator, on behalf of the Vail Local Housing Authority, is supporting these proposed text amendments. VI. STAFF RECOMMENDATION The Community Development Department recommends that the Planning and Environmental Commission forwards a recommendation of approval for the proposed text amendment to the Vail Town Council. Staff's recommendation is based upon the review of the criteria found in Section IV of this memorandum and the evidence and testimony presented. Should the Planning and Environmental Commission choose to forward a recommendation of approval; the Community Development Department recommends the Commission pass the following motion: "The Planning and Environmental Commission forwards a recommendation of approval to the Vail Town Council for the proposed text amendments to Sections 12-68-2, 12-68-3, 12-6C-2, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, Vail Town Code, to allow a Type 11 employee housing unit as a permitted use, and to eliminate a Type 11 employee housing unit as a conditional use, in the Single-Family Residential, Two-Family Residential, and Two-Family Primary/Secondary Residential districts, and setting forth details in regard thereto. Should the Planning and Environmental Commission choose to approve the amended final plat, the Community Development Department recommends the Commission makes the following findings: "The Planning and Environmental Commission finds: 1. That the amendment is consistent with the adopted goals, objectives and policies outlined in the Vail Comprehensive Plan and is compatible with the development objectives of fhe Town, based upon the review outlined in Section VI of the Staff's August 13, 2007, memorandum to the Planning and Environmental Commission. 2. That the amendment furthers the general and specific purposes of the zoning regulations, based upon the review outlined in Section VI of the Staff's August 13, 2007, memorandum to the Planning and Environmenta! Commission. 9 3. That the amendment promotes the health, safety, morals, and general welfare of the town and promotes the coordinated and harmonious development of the town in manner that conserves and enhances its natural environment and its established character as a resort and residential community of the highest quality, based upon the review outlined in Section VI of the Staff's August 13, 2007, memorandum to the Planning and Environmental Commission. VII. ATTACHMENTS A. Public Notice 10 Attachment A TOWN OF PAIL ~' THIS ITEM MAY AFFECT YOUR PROPERTY PUBLIC NOTICE NOTICE IS HEREBY GIVEN that the Planning and Environmental Commission of the Town of Vail will hold a public hearing in accordance with section 12-3-6, Vail Town Code, on August 13, 2007, at 1:00 pm in the Town of Vail Municipal Building, in consideration of: A request for a final recommendation to the Vail Town Council, pursuant to Section 12-3- 7, Amendment, Vail Town Code, for proposed text amendments to Sections 12-6B-2, 12-6B-3, 12-6C-2, 12-6C-3, 12-6D-2, 12-6D-3, 12-13-4, Vail Town Code,. to allow a Type II employee housing unit as a permitted use, and to eliminate a Type II employee housing unit as a conditional use, in the Single-Family Residential (SFR), Two-Family Residential (R), and Two-Family Primary/Secondary Residential (PS) districts, and setting forth details in regard thereto. (PEC07-0042) Applicant: Town of Vail Planner: Bill Gibson/Nina Timm A request for a final review of an amended final plat, pursuant to Chapter 13-12, Exemption Plat Review Procedures, Vail Town Code, to allow for a modification to a shared property boundary, located at 3816 and 3826 Lupine Drive/Lots $ and 9, Bighorn Subdivision 2"d Addition, and setting forth details in regard thereto. (PEC07-0045) Applicant: June Frazier Planner: Bill Gibson A request for a final review of an exterior alteration or modification, pursuant to Section 12-7B-7, Exterior Alterations or Modifications, Vail Town Code, to allow for an exterior renovation and the remodel of the third floor residence, located at 201 Gore Creek Drive (Bell Tower Building)/Lot A, Block 5B, Vail Village Filing 1, and setting forth details in regard thereto. (PEC07-0046) Applicant: Bell Tower Partners, Ltd., represented by VAG, Inc., Architects and Planners Planner: .Scot Hunn A request for a final review of a conditional use permit, pursuant to Section 12-6D-3, Conditional Uses, Vail Town Code, to allow for the construction of a Type II Employee Housing Unit, in association with the construction of a new residence, located at 1107 and 1109 Vail Valley Drive/Lots 7 and 8, Block 6, Vail Village Filing 7, and setting forth details in regard thereto. (PEC07-0047) Applicant: Donna Giordano, represented by VAG, Inc., Architects and Planners Planner: Bill Gibson A request for a final review of an exterior alteration, pursuant to Section 12-7B-7, Exterior Alterations or Modifications, Vail Town Code, to allow for the addition of bay windows, located at 201 Gore Creek Drive (Bell Tower Building)/Lot A, Block 5B, Vail Village Filing 1, and setting forth details in regard thereto. (PEC07-0048) Applicant: Herman Staufer, represented by VAG, Inc., Architects and Planners Planner: Bill Gibson Page 1 A request for a final review of a floodplain modification, pursuant to Chapter 14-6, Grading Standards, Vail Town Code, to allow for improvements to an approximately two- mile length of the Gore Valley Trail, from Sunburst Drive to Bighorn Road, and a conditional use permit, pursuant to Section 12-8-C3, Conditional Uses, Vail Town Code, to allow for the relocation of a paved, non-motorized bicycle path and pedestrian walkway, located on Tract A, Vail Valley Filing 4 and unplatted properties, (a complete legal description is available for inspection at the Town of Vail Community Development Department), and setting forth details in regard thereto. (PEC07-0049) Applicant: Town of Vail, represented by Gregg Barrie Planner: Scot Hunn The applications and information about the proposals are available for public inspection during office hours at the Town of Vail Community Development Department, 75 South Frontage Road. The public is invited to attend project orientation and the site visits that precede the public hearing in the Town of Vail Community Development Department. Please call 970-479-2138 for additional information. Sign language interpretation is available upon request, with 24-hour notification. Please call 970-479-2356, Telephone for the Hearing Impaired, for information. Published July 25, 2007, in the Vail Daily. Page 2 ORDINANCE N0.26 Series of 2007 AN ORDINANCE APPROVING THE SALE OF PROPERTY IN THE TOWN OF VAIL DESCRIBED AS UNIT 11, VAIL HEIGHTS CONDOMINIUM, ALSO KNOWN AS 2079 CHAMONIX LANE, VAIL, COLORADO 81657; AND SETTING FORTH DETAILS IN REGARD THERETO. WHEREAS, the Town of Vail (the "Town"), in the County, of Eagle and State of Colorado is a home rule municipal corporation duly organized and existing under the laws of the State of Colorado and the Town Charter (the "Charter"); and WHEREAS, the members of the Town Council of the Town (the "Council") have been duly elected and qualified; and WHEREAS, the On May 29, 2007, the Town of Vail purchased real property described as Condominium Unit 11, Vail Heights Condominiums, according to the condominium map thereof recorded May 15, 1973, in book 229 at page 132 and as defined in Condominium Declaration recorded May 15, 1973, in book 229 at page 131, County of Eagle, State of Colorado (the "Property"); and WHEREAS, the Property was purchased for $280,000.00 with the purpose of adding inventory to the Town's housing stock for its employees, and it is intended to be sold with an approved deed restriction, at a deed restricted price of $174, 500.00. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO, THAT: Ordinance No. 26, Series 2007 Section 1. The sale of the Property is hereby approved by the Council at the deed restricted price of $174,500.00.. The Town Manager and Town staff are hereby authorized to execute, on behalf of the Town, an agreement to sell the Property and to take whatever steps are necessary to complete the sale of ,the Property. Section 2. If any part, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not effect the validity of the remaining portions of this ordinance; and the Town Council hereby declares it would have passed this ordinance, and each part, section, subsection, sentence, clause or phrase thereof, regardless of the fact that any one or more parts, sections, subsections, sentences, clauses or phrases be declared invalid. Section 3. The Town Council hereby finds, determines and declares that this ordinance is necessary and proper for the health, safety and welfare of the Town of Vail and the inhabitants thereof. INTRODUCED, READ ON FIRST READING, APPf20VED, AND ORDERED PUBLISHED ONCE IN FULL ON FIRST READING this 21St day of August, 2007, and a public hearing for second reading of this Ordinance set for the 4th day of September, 2007, at 6:00 P.M. in the Council Chambers of the Vail Municipal Building, Vail, Colorado.. Rodney E. Slifer, Mayor ATTEST: Lorelei Donaldson, Town Clerk Ordinance No. 26, Series 2007 MEMORANDUM To: Vail Town Council From: Stan Zemler, Matt Mire, Judy Camp Date: August 2, 2007 Subject: Use Tax on Building and Construction Materials On Tuesday evening, you will be asked to consider Resolution No. 19, Series 2007, a resolution submitting to the registered electors of the Townof Vail, Colorado, at a regular municipal election held on November 6, 2007, a ballot issue concerning the adoption of a use tax to finance capital projects and acquisitions; and providing other details .relating thereto. Your approval of this resolution is the first -step in placing a construction use tax on the ballot. If a majority of the votes cast in the November election are in favor of the use tax, the Town Council will be authorized to adopt an ordinance levying the tax and providing for the administration and collection of the tax. The Taxpayers Bill of Rights (TABOR) requires voter approval for any new tax including the proposed construction use tax. The following information is provided for your consideration. BACKGROUND AND RATIONALE During the past three budget cycles, a 15-year capital plan has been included in addition to the five-year projections for the Capital Projects and Real Estate Transfer Tax (RETT) Funds. These planning processes are designed: to maintain the town's valuable existing facilities; and to identify projects needed- to keep pace with private development and other community needs. Each year we have concluded existing sources of revenue are not sufficient to support the town's critical capital needs through 2008. The Vail 20/20 Strategic Plan, which included input on this topic from the community and the Vail Economic Advisory Council, also supports this conclusion. The vision for Vail's economy in 2020 includes, "Through prudent cost management and balancing of diversified revenue sources, the municipality has sustainable funding for its capital and operational needs. One goal of the plan is to identify and implement additional revenue sources to support Vail's capital needs. The 2007 Community Survey also included the following capital-related items in the top 10 issues facing the town: workforce housing; construction and/or maintenance of public infrastructure; improving recreational facilities; and improving fire response time (e.g. through a third fire station). The primary sources of revenue for capital projects include: sales tax; real estate transfer tax (RETT); federal transportation grants; rental income; investment income, and tax increment financing (TIF). Two revenue categories, sales tax and RETT, support operations as well as capital projects. RETT is restricted in its use to parks, recreation, open space, and environmental sustainability. TIF is restricted to projects within an established TIF district. The LionsHead TIF district is the only one established at this point; however, consideration was given to other TIF districts in the five and 15-year plans. A use tax on construction and building materials was discussed as early as 1998. In 2002, use tax was again discussed as a potential ballot issue, but a property tax question was chosen instead. The proposed 4 roil property tax increase for the purposes of "increasing fire protection and suppression resources and the construction, acquisition, or maintenance of capital projects" was narrowly defeated (48% for / 52% against). Currently, building and construction materials are exempted from the 4% sales tax applied to all other tangible personal property purchased in town or delivered into town. And since the town does not have a construction use tax, no municipal tax is collected on building and construction material purchased and/or used in Vail for any project with a building permit. A 4% tax on building materials used in the town would have generated an estimated $2 million in 2005; $4 million in 2006; and $7 million in 2007. In 2008, a 4% use tax has the potential to generate an estimated $4 million. This revenue is lost forever if the ballot issue is delayed to a future year. A use tax would address, at least in part, the ever-widening gap for funding of capital projects. The Capital Project Fund projection presented to you on August 7th included a $25.8 million shortfall over five years. after giving consideration to existing revenue sources, including TIF. A use tax on construction material generating $4 to $5 million annually would essentially close the gap. Bonding against $4 million of annual use tax revenue could provide an estimated $40 million of funding for capital projects. A construction use tax would also provide diversification of the town's revenue as described in the Vail 20/ZOVision. For example, sales tax revenue represents an estimated 38% of the town's revenue from existing sources in 2008. Addition of $4.1 million from a construction use tax reduces reliance on sales tax to 35% of total revenue from all sources. Use tax may also offset a loss of sales tax revenue from construction activity. Building and construction materials are the only major category of tangible personal property specifically exempted from the Town of Vail's sales tax ordinance. A use tax would be complementary to the sales tax and provide consistent treatment among all categories of tangible personal property purchased or used in Vail. STAFF RECOMMENDATION: Staff recommends approval of Resolution No. 19, placing a construction use tax question on the November ballot and enabling the electorate to cast their vote for or against this source of funding for the town's capital projects. -2- CONSTRUCTION USE TAX QUESTIONS AND ANSWERS What is a use tax? Generally, a use tax is levied on the privilege of using or otherwise consuming tangible personal property within a city or county for which no sales or use tax has been previously paid. It is considered complementary to a sales tax, and is applied regardless of where the property was purchased. For example, if the town levied a use tax on construction material, a contractor purchasing material for his job from an out-of--state supplier could be assessed a use tax by the: Town of Vail. A use tax may be applied generally to all tangible personal property used or consumed within a municipality or its application may be limited to vehicles and/or construction and building materials. The proposed use tax currently under discussion for the Town of Vail is limited to construction and building materials. How common is a use tax? Over half the incorporated municipalities and counties in Colorado levy a use tax and the concept is well-supported by legislation and case law in Colorado. Examples of municipalities with use tax on building materials include Broomfield, Denver, Eagle, Glenwood Springs, Grand Junction, Gypsum, Lakewood, Mountain Village, and Steamboat Springs. How is a construction use tax authorized and implemented? Colorado statutes authorize use taxes on construction materials and on vehicles used within the municipality or county imposing the tax. Since implementing a construction use tax is a change in tax policy and increases revenue, itmust be approved by the town's electorate in a TABOR election. Administrative details, such as how and when the taxis paid and what specific exemptions may apply, are def ned by ordinance. The following table identifies key dates for the Town of Vail's proposed construction use tax: 08/07/07 Council discussion of key elements of proposed use tax and review of draft ballot language 08/21/07 Latest date for Council consideration of a resolution to place a construction use tax question on the November ballot 09/21/07 Last day for Pro/Con statements to be filed with Town Clerk 10/05/07 Last day to mail TABOR ballot issue notices 11/06/07 Election day 11 /20/07 First reading of use tax implementation ordinance, if approved by voters 12/04/07 Second reading of use tax implementation ordinance, if approved by voters 12/18/07 Council meeting -back-up date for ordinance reading if needed 01/01/08 Effective date of tax -3- What has been the experience in other communities with use tax ballot issues? In April, 2007, Georgetown's electorate approved an extension of their 3% use tax on vehicles to include construction and building materials. The 3% rate is the same as Georgetown's sales tax rate. In 1995, Gypsum passed a 3% use tax on residential construction and building material with 20% directed to administration and 80% directed to roads. The use tax is one percentage point lower than Gypsum's 4% sales tax. In 1998, Eagle passed a 4% use tax on construction and building materials for capital projects. Eagle's sales tax and use tax are the same rate. Avon's 2002 building materials use tax ballot was defeated. The proposed rate was 4%, which is the same as Avon's sales tax. Breckenridge's 1998 use tax ballot was defeated. The proposed 2.5% rate was the same as Breckenridge's sales tax rate. Aspen is considering a use tax ballot for this November's election. Must the use tax rate be the same as the sales tax rate? No, use tax rates are sometimes lower than the sales tax rate. What is meant by "construction materials?" The Vail Town Code defines construction materials as "Tangible personal property which, when combined with other tangible personal property, loses its identity to become an integral and inseparable part of a complete structure or project including public and private improvements. Construction materials include, but are not limited to, such things as asphalt, bricks, builder's hardware, caulking material, cement, concrete, conduit, electric wiring and connections, fireplace inserts, electrical heating and cooling equipment, flooring, glass, gravel, insulation, lathe, lead, line, lumber, macadam millwork, mortar, oil, paint, piping, pipe valves, and pipe fittings, plaster, plumbing fixtures, putty, reinforcing mesh, road base, roofing, sand, sanitary sewer pipe, sheet metal, site lighting, steel, stone, stucco, tile, trees, shrubs, and other landscaping materials, wallboard, wall coping, wallpaper, weather stripping, wire netting, and screen, water mains and meters, and wood preserver. The above materials, when used for forms, or other items which do not remain as an integral or inseparable part of a completed structure or project are not construction materials. Construction materials do not include such things as: carpeting, equipment, furniture, removable fixtures, window coverings, or similar items." If the Town already has a sales tax, why do we need a use tax on construction materials? Construction and building materials as defined above are exempt from the town's sales tax as long as the purchaser has obtained a building permit and provides the retailer -4- selling him the material the permit number. Therefore, construction material is currently a category of tangible personal property upon which notax is collected in the Town of Vail. As discussed below, building materials picked up at a supplier in another city or town are currently subject to that town's sales tax. If Vail had a use tax collected at the time the building permit is issued, the tax dollars related to the purchase would benefit Vail rather than the other locale. Also, a use tax on construction material may be counter-cyclical to the town's general sales tax, i.e., if sales tax is negatively impacted by construction, the use tax is in place to offset it during the construction period. How is a construction use tax collected? The simplest way to collect a construction use tax is to collect the entire amount at the time the building permit is issued. How is the amount of use tax determined? The use tax amount is determined by multiplying the use tax rate by the cost of the building material. When collected at the time the building permit is issued, the estimated cost of building and construction materials is generally calculated by multiplying by fifty percent the total valuation of the construction project as entered on the building permit by the town building inspector. What if the builder/developer thinks the estimated value is too high or the town thinks the estimated value is too low? Use tax ordinances generally provide for an audit of the taxable value by either party within a reasonable period after construction is complete. Interest on any refund or deficiency is generally computed from the day the certificate of occupancy is issued. What if a builder/developer purchases material for use in Vail from a supplier in a town that has a sales tax? Will he/she be subject to double taxation? No. If the materials are delivered to Vail, the seller does not collect sales tax for the town or city where he/she is located, and only Vail's proposed use tax would apply. If the seller is located in Eagle County, he is required to collect Eagle County's 1.5% sales tax. If he is located in Colorado, he is required to collect the state's 2.9% sales tax. If the purchaser picks up the material from a seller located in a town or city with a sales tax, the materials are generally exempt from the local sales tax if the purchaser presents to the seller a building permit or other documentation acceptable to the local government where the purchase takes place, showing that a use tax has been paid. This is required by state statute for both statutory and home rule municipalities. (Colorado Revised Statutes, Title 29) Colorado state statute also prohibits local jurisdictions from collecting a use tax on materials for which a legally imposed tax has already been collected by another city or -s- town. If the sales tax collected was less than the use tax required, only the incremental amount of the use tax maybe collected. Will the proposed tax add to the builder/developer's project cost? If so, how much? In most cases, a use tax would result in additional cost to the purchaser of building materials for use in Vail. The additional amount depends upon the rate of the tax and how the builder is currently taking delivery on materials. For example, if the builder is currently picking up materials in Avon, a 4% sales tax is paid to the Town of Avon. If Vail had a 4% use tax on construction materials, he/she would still pay 4%, but would pay it to Vail as a use tax at the time a building permit is issued. He/she would not be required to pay the Avon sales tax. (Reference Avon Town Code 3.08.320) Continuing with Avon as an example, if the builder is doing business in Vail and having materials shipped to Vail, the materials are exempt from Avon's 4% sales tax because the point of delivery is outside the Town of Avon. (Reference Avon Town Code 3.08.040) The materials are also exempt from Vail's 4% sales tax if the purchaser presents a building permit number to the supplier delivering the material. Therefore, in the situation where construction and building materials are delivered into Vail for a project constructed under a building permit, a 4% use tax would increase the builder's cost by approximately 2% of his total project valuation, representing a 4% use tax on the value of material, which is estimated at 50% of project valuation. How much revenue would a construction use tax generate for the Town of Vail? The amount generated would be dependent upon the tax rate assessed and the valuation of building permits issued in any given year. A 4% tax on building materials used in the town would have generated an estimated $2 million in 2005; $4 million in 2006; and $7 million in 2007. What would the revenue from a construction use tax be used for? A use tax can be used for any legitimate governmental purpose including capital expenditures and operating expenses. Vail's proposed ballot question specifies the tax would be used exclusively for capital acquisitions and capital projects within the Town of Vail Are any organizations exempt from use tax? Organizational exemptions vary by taxing jurisdiction. Staff recommends the Town of Vail provide the same organizational exemptions for use tax as are currently defined in the town's sales tax code: a. The United State government, the state, its departments and institutions, and the political subdivisions thereof in their governmental capacities only; b. charitable organizations in the conduct of their regular charitable functions and activities; and c. schools, other than schools held or conducted for private or corporate profit. -6- What considerations can be given to developers/builders who have already determined their project costs, but not yet received a building permit? Town Council could include a provision in the implementation. ordinance to rebate or exempt from use tax any projects whose development application is approved prior to the effective date of the tax. The development application approval is recommended as the key date because it marks the point at which the developer has vested rights to construct the project in accordance with the approved plan. Development of construction drawings and bidding of costs take place after development plan approval. What relief can be given to developers/builders who are constructing work force housing? Similarly, Town Council could include a provision to rebate the use tax collected on materials used to build workforce housing. Longmont and Fort Collins have ordinances including this provision. -~- RESOLUTION NO. 19 SERIES 2007 A RESOLUTION SUBMITTING TO THE REGISTERED ELECTORS OF THE TOWN OF VAIL, COLORADO, AT A REGULAR MUNICIPAL ELECTION HELD ON NOVEMBER 6, 2007, A BALLOT ISSUE CONCERNING THE ADOPTION OF A USE TAX TO FINANCE CAPITAL PROJECTS AND ACQUISITIONS; AND PROVIDING OTHER DETAILS RELATING THERETO. WHEREAS, the Town of Vail, in the County of Eagle and State of Colorado (the "Town"), is a home rule municipal corporation duly organized and existing under laws of the State of Colorado (the "State") and the Town Charter (the "Charter"); and WHEREAS, the members of the Town Council of the Town (the "Council") have been duly elected and qualified; and WHEREAS, the Council hereby finds and determines that it is in the public interest to adopt a four percent (4%) use tax in the Town on the privilege of storing, using and/or consuming any construction and/or building materials purchased at retail inside or outside of the Town; and WHEREAS, Article X, Section 20 of the Colorado Constitution, also referred to as the Taxpayer's Bill of Rights ("TABOR"), requires voter approval for any new tax, any increase in any tax rate, the creation of any debt, and the spending of certain funds above limits established by TABOR; and WHEREAS, TABOR requires the Town to submit ballot issues (as defined in TABOR) to the Town's electors on limited election days before action can be taken on such ballot issues; and WHEREAS, the Town will hold its regular municipal election on November 6, 2007 (the "Election"); and WHEREAS, November 6, 2007, is one of the election dates at which ballot issues maybe submitted to the Town's electors pursuant to TABOR; and WHEREAS, pursuant to Section 2.3 of the Charter, the Council hereby determines that the Election shall be held and conducted as a polling place election in accordance with Article 10 of Title 31, Colorado Revised Statutes ("C.R.S.") (the "Municipal Election Code"); and WHEREAS, the Council is of the opinion that the Town should seek voter approval to increase taxes for the purpose provided in this resolution; and WHEREAS, it is necessary to set forth certain procedures concerning the conduct of the Election. Resolution No. 19, Series 2007 NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO: Section 1. Unless otherwise defined herein, all terms used herein shall have the meanings defined in TABOR and in Section 31-10-102, C.R.S. Section 2. Pursuant to Section 31-10-105, C.R.S. and Section 2.5 of the Charter, the Election Commission of the Town shall perform all acts required or permitted by law in connection with the Election, which Election shall be held and conducted as an independent polling place election. Section 3. Pursuant to the applicable laws of the State and the Charter, the Council hereby determines that the following ballot issue is hereby referred to the registered electors of the Town and shall appear on the ballot of the Town of Vail, Colorado, at the Election: SHALL THE TOWN OF VAIL'S TAXES BE INCREASED BY $4,000,000 IN FISCAL YEAR 2008 AND BY WHATEVER ADDITIONAL AMOUNTS ARE RAISED ANNUALLY THEREAFTER THROUGH THE ADOPTION OF A USE TAX ON THE PRIVILEGE OF STORING, USING AND/OR CONSUMING IN THE TOWN OF VAIL ANY CONSTRUCTION AND/OR BUILDING MATERIALS PURCHASED AT RETAIL INSIDE OR OUTSIDE THE TOWN, AT THE RATE OF FOUR PERCENT (4%) OF THE RETAIL COST OF SUCH MATERIALS AND SHALL THE TOWN BE AUTHORIZED TO COLLECT AND SPEND SUCH REVENUES, INCLUDING ANY INTEREST AND INVESTMENT INCOME THEREON, EXCLUSIVELY FOR CAPITAL ACQUISITIONS AND CAPITAL PROJECTS IN THE TOWN OF VAIL AS A VOTER APPROVED REVENUE CHANGE NOTWITHSTANDING ANY REVENUE OR EXPENDITURE LIMITATION, INCLUDING THOSE CONTAINED IN ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION? Section 4. If a majority of the votes cast on the question to levy a use tax submitted at the Election shall be in favor of issuance of the levy of the use tax as provided in such question, the effective date of said tax shall be January 1, 2008, and the Town, acting through the Council, shall be authorized to adopt an ordinance levying the tax in accordance with such question and to provide for the administration and collection of the tax. Any authority to levy the use tax, if conferred by the results of the Election, shall be deemed and considered a continuing authority to levy the tax so authorized at any one time, or from time to time, and neither the partial exercise of the authority so conferred, nor any lapse of time, shall be considered as exhausting or limiting the full authority so conferred. Section 5. The officers and employees of the Town are hereby authorized and directed to take all action necessary or appropriate to effectuate the provisions of this resolution. Section 6. All actions heretofore taken (not inconsistent with the provisions of this resolution) by the Town and the officers thereof, directed towards the Resolution No. 19, Series 2007 Election and the objects and purposes herein stated are hereby ratified, approved and confirmed. Section 7. If any section, paragraph, clause or provision of this resolution shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause or provision shall in no manner affect any remaining provisions of this resolution, the intent being that the same are severable. Section 8. All resolutions or parts of resolutions inconsistent herewith are hereby repealed to the extent only of such inconsistency. This repealer shall not be construed to revive any resolution or part of any resolution heretofore repealed. INTRODUCED, READ, APPROVED AND ADOPTED this August 21, 2007. (SEAL) Rodney E. Slifer, Mayor ATTEST: Lorelei Donaldson, Town Clerk Resolution No. 19, Series 2007 STATE OF COLORADO ) COUNTY OF EAGLE )SS. TOWN OF VAIL ) I, the Town Clerk of the Town of Vail, Colorado, do hereby certify that: 1. The foregoing pages are a true, perfect and complete copy of a resolution (the "Resolution") passed and adopted by the Town Council (the "Council") constituting the governing board of the Town of Vail, Colorado (the "Town"), at a regular meeting of the Town held at the Town Hall on August 21, 2007, convening at the hour of 6:00 p.m. as recorded in the regular book of official records of the proceedings of said Town of Vail kept in my office. 2. The Resolution was duly moved and seconded and the Resolution was adopted at the meeting of August 21, 2007, by an affirmative vote of a majority of the members of the Council as follows: Name "Yes" "No" Absent Abstain Rod Slifer Kevin Foley Mark Gordon Kim Newbury Kent Logan Greg Moffet Farrow Hitt 3. The members of the Council were present at such meeting and voted on the. passage of such Resolution as set forth above. Resolution No. 19, Series 2007 4. The Resolution was approved and authenticated by the signature of the Mayor, sealed with the Town seal, attested by the Town Clerk and recorded in the minutes of the Council. 5. 'There are no bylaws, rules or regulations of the Council which might prohibit the adoption of said Resolution. 6. The notice of the meeting of August 21, 2007, in the form attached hereto as Exhibit A, was posted at the Town Hall, not less than 24 hours prior to the meeting in accordance with law. WITNESS my hand and the seal of said Town affixed this August 21, 2007. Town Clerk (SEAL) Resolution No. 19, Series 2007 EXHIBIT A (Attach Form of Meeting Notice) Resolution No. 19, Series 2007