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HomeMy WebLinkAbout2008-08-05 Support Documentation Town Council Work Session r VAIL TOWAI COUNCIL WORK SESSION AGENDA VAIL TOWN COUNCIL CHAMBERS 75 S. Frontage Road W. Vail, CO 81657 12:30 P.M., TUESDAY, AUGUST 5, 2008 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. Warren Campbell ITEM/TOPIC: PEC/DRB Update. (5 min.) 2. Greg Hall ITEM/TOPIC: Presentation of Vail's Long Term Parking Needs. (30 min.) ACTION REQUESTED OF COUNCIL: Listen to background information on parking demand and potential sites. This information will be used in preparing Council goal follow up steps. BACKGROUND RATIONALE: The current deficit of parking spaces to meet the goal of providing sufficient parking for 90% of our demand days (15 overflow days in a 150 day ski season) is 400 spaces. In the future the total number of spaces short is projected to be a total 1000 spaces. Three sites exist to distribute parking spaces: between Ford Park, LionsHead Parking structure and the west LionsHead area (EverVail). 3. George Ruther ITEMlTOPIC: A work session meeting with the Vail Town Council to discuss the proposed update to the Vail vllage Master Plan. The purpose of the work session is to: (45 min.) • Provide an overview of the existing goals, objectives, policies and action steps of the master plan; • Share the comments and input the Community Development Department has received on the master plan update process to date; • Present the recommendation of the Town of Vail Planning & Environmental Commission to the Town Council; and • Outline the proposed next steps in the review process for updating the Vail Village Master Plan. ACTION REQUESTED OF COUNCIL: Listen to the staffs presentation and provide comments and input on the Planning & Environmental Commission's recommendation and the proposed next steps in the review process. BACKGROUND RATIONALE: On January 22, 2008, the Vail Town Council instructed the Community Development Department to prepare an update to the Vail Vllage Master Plan as contemplated in Section VIII B of the Master Ptan. Since that time, the Community Development Department has prepared a proposed update to the Vail ViIlage Master Plan with the cooperation and assistance of many potentialty affected persons from the community. Examples included, the members of the 1990 Planning & Environmental Commission, the Vail Chamber & Business Association, the Vail Economic Advisory Council, the Commission on Special Events, the Meadow Drive Business Partnership, and the various other property owners within the Vail ViIlage area. STAFF RECOMMENDATION: As this work session, staff will not be providing a recommendation at this time. 4. Judy Camp ITEM/TOPIC: Municipal Employee Housing Assistance. (30 min.) Pam Brandmeyer Krista Miller ACTION REQUESTED OF COUNCIL: Listen to staff presentation on a proposed employee home ownership program (EHOP) to replace the town's existing down payment assistance program. Provide comments and direct staff to move forward with the proposal. BACKGROUND AND RATIONALE: Town Council and staff have acknowledged the need to provide housing assistance programs for TOV municipal employees. Council has established a target of having 30% of Vail's workforce live in Vail. As an employer, the town should lead the way in accomplishing this goal. Housing assistance is also an important recruitment and retention tool in our competitive employment market where housing costs are high. STAFF RECOMMENDATION: Staff recommends replacement of the cuRent limited down payment assistance program with an Employee Home Ownership Program (EHOP) utilizing equity share loans and administered by Funding Partners, a non-profit organization who specializes in home ownership programs. 5• ITEM/TOPIC: Information Update. (15 min.) ? Mountain Pine Beetle Abatement Follow up. ? Annual Site Visit to Five Consenration Easements in the Town of Vail. : Staff completed a site visit to five conservation easements held by the Eagle County Land Trust on July 18, all within the Town of Vail. Brief comments foilow, aithough a more detailed report ftom the Land Trust will follow. An annual site inspection is required to insure the town is maintaining and preserving these parcels as conservation easements. The public can access all conservation easements. 1. Ptarmigan Road, 4.5 acres - Slash piles will be bumed this fall or in the spring/fall of'09, depending on weather conditions. - Great thistle control/improvement. - This parcel is adjacent to and connects with the Vail Trail to . the south. 2. East Vail watertall, 4.8 acres. - Needs some thistle and money weed noxious weed control, ~ which has been reported to town staff. 3. Potato Patch 1, 2.858 acres (George Wiegers property) - Weed control great. - Hot tub encroachment totally removed. 4. Buffehr Creek (Eleni Zneimer project), 9 acres - Weed control great. - Direct connection off Buffehr Creek Road to the North Trail. 5. Meadow Creek, 2.6 acres. - Minor thistfe control needed, which has been reported to town staff. - Direct connection to Forest Service land to the south, borders Stephen's Park. ? Noise Readings on 1-70 Overlay Noise readings were taken prior to the I-70 overlay project's commencement. Staff will take readings again once CDOT has completed the overlay. 6. ITEMITOPIC: Matters from Mayor & Council. (10 min.) 7. Matt Mire > ITEM/TOPIC: Executive Session, pursuant to: 1) C.R.S. §24-6- 402(4)(a)(e) - to discuss the purchase, acquisition, lease, transfer, or sale of property interests and to determine positions, develop a strategy and instruct negotiators, Re: Amendments to the Lionshead Parking Structure Development Agreement; 2) C.R.S. §246-402(4)(b) - to receive legal advice on specific legal questions. (90 min.) 8. ITEM/TOPIC: Adjoumment. (4:05 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, AUGUST 19, 2008 IN THE VAIL TOWN COUNCIL CHAMBERS. t PLANNING AND ENVIRONAflENTAL.COAflMISSION July 28; 2008 - , 1:00pm . , : . , - ; TOWN COUNCIL CHAMBERS ! PUBLIC WELCOME , 75 S. Frontage Road - Vail, Colorado, 81657 MEMBERS PRESENT MEMBERS ABSENT Bill Pierce Michael Kurz Rollie Kjsesbo , Susie Tjossem David Viele , Sara Robinson-Paladino Scott Proper Site Visits• . None . , , ' . A 0 minutes . 1. A request for a final review of a variance from Section 12-6G-6, Setbacks, Vail, Town Code, pursuant to Chapter 12-17, Variances, Vail Town Code, to allow for construction of a second floor bedroom addition within the setbacks, located at, 4257 Columbine Drive, -No. 17/Lot 17 . Bigfiom TeRace, and setting forth details in regard thereto. (PEC080022) Applicant: Howard and Vrginia Sherr , Planner: Bill Gibson . ACTION: Approved with condition(s) MOTION: Kjesbo SECOND: Proper VOTE: 6-0-0 . CONDITION(S):. 1. This approval is contingent upon the Applicants obtaining .Town of Vail approval of the as"sociated design review application. • Bill Gibson gave a presentation per the staff memorandum. Commissioner Viele noted that this variance request is in keeping with other variance approvals , granted in the subdivision. . , . There was no additional Commissioner or public comment. 10 minutes 2. A request for a work session for prescribed regulations amendments to Section 14-10-7, Oufdoor Lighting, Vail Town Code, .to allow for.amendments to the outdoor,lighting standards, and setting. forth details in regard thereto. -(PEC080032) - Applicant: Town of Vail Planner: Bill Gibson . : • ACTION; Tabled to August, 25, 2008- , . MOTION: Kjesbo SECOND: Proper VOTE: 6-0-0 Bill_ Gibson gave a presentation per the staff memorandum. Commissioner Kjesbo asked about the existing regulations that only allow holiday lights to. be -lit from November 15t to April.15th. He felt that there are occasions throughout the year that a homeowner may enjoy lighting their tree up for an evening to enjoy. Bill Gibson noted that this existing regulation is not enforced bjr the Town of Vail. . Page 1 ; Commissioner Kjesbo recommended the November 1 St to April 15"' dates be deleted from the lighfing regulations. The other Commissioners.unanimously.agreed with this recommendation. Commissioner Pierce asked how bright lights that affect adjacent neighbors are addressed by the proposed amendments. Bill Gibson clarified how the proposed guidelines address this issue. There was no public comment. 30 minutes 3. A request for a final recommendation to the Vail Town Council of a proposed update and-review of the Vail Village Master Plan, pursuant -to Section VI11-C, Adoption, Extensions, and Amendments, Vail Vllage Master Plan, to affirm the applicability and purpose of the Master Plan, located within ~ the boundaries of the adopted Master . Plan/(a complete legal description is available for-inspection at the Town of Vail Community Development Department upon request), and setting forth details: in regard thereto. (PEC080020) Applicant: Town of Vail , Planner: George Ruther ; ACTION: Recommendation of approval - MOTION: Kjesbo SECOND: Proper VOTE:.6-0-0- - George Ruther gave a presentation per the staff memorandum. Commissioner Paladino asked about the Action Step referencing the coordination of special events and construction. George Ruther stated that the intent was to have all parties discussing tFie potential impacts, intentional' or otherwise, caused by constrvction and special events. It is not the intent of the language to give one priority to one use over another. Instead; focus on"the coordination of all the activities.. Jim Lamont, Vail Vllage Homeowners Association, made several comments on various goals and action steps found in the proposed amendments. Commissioner Viele stated that he believes that through many approvals of the PEC and the Council that the minimum floor-to-floor within the Village has been established at 11 feet. George Ruther stated thaf the intent of the action step was that research would be done and an amendment may be proposed to the master plan based' on the conclusions of the research. He agreed that several projects were approved afi more than 9 feet floor to floor; however, there are some at 10'6p and 11 feet. He further added that there would need to be some discussion on tlie . roof heighf requirements in Commercial Gore 1 identifying tiiat roof heights are done proportionally. Jim Lamont asked that it be clearly defined in the update what an "actiVity center" is so that people in the future understand the balance that staff and the Town is trying to achieve. He suggesfed'that maybe the term "mixed-use activity enter" should be utilized to clearly defne for " property owners what impacts to expect. Page 2 Commissioner Viele suggested that Action Step # 4 under. Goal #2, requiring stormwater management was exceeding the purview of the Town and that Eagle River Water and Sanitation District was responsible for such items. After great discuss by the Commissioner members it was agreed that the Action Step be amended to include "In coordination with the Eagle River Water and Sanitation DistricY". Jim Lamont-suggested that an environmental goal be established for the Master Plan. - Commissioner Proper - brought up Policy 3.4.3 and ask how could this even occur. Commissioners Paladino and Tjossem made several comments about strengthening the language to prohi6it the use of public stream tracts for private uses. Commissioner Proper raised a question regarding Action-Step Number 8 under Goal Number 4. George Ruther explained that the intent was to create a greater presence of the park in the . Village so that guests can interact more completely witFi the 'park. He..gave examples such as stream bank erosion repair, grading the path in a more effective manner, improving the surface, providing additional benches, etc. Commissioner Pierce -suggested that a goal or action step should be added to the clocument referencingthe need to explore options to more efficiently utilize private parking lots and in the long term eliminate Frontage Road parking. George Ruther suggested that an Action Step should be added to achieve Policy 5.1.4. Commissioner Tjossem asked that there be a statement regarding Village-wide centralized recycling. George Ruther suggested,several changes to Action Step Number 3 under Goal Number 6 could be reworded to include "the study and implementation of a centralized recycling facility". The Commission 'asked that another Goal (Number 7) be added to include environmental , components of sustainability. 5 minutes , 4. A request for a recommendation to the Vail Town Council to review the Vail Land Use Plan map, pursuant to Section 8-3, Vail Land use Plan to allow for a change in the land ' use designation from Community OfFce to Lionshead Redevelopment Master Plan for properties, known as "Cascade Crossing" and "Vail Professional Building° (Future °Ever Vail"), focated at 953 and 1031 South Fronfage Road WesUunplatted (A complete legal description is available for inspection at the Town of Vail Community Development Department), and setting forth details in regard thereto. (PEC080036) Applicant: Town of Vail Planner: Nicole Peterson ACTION: Tabled to August 11, 2008 - MOTION: Kjesbo SECOND: Tjossem VOTE: 6-0-0 5. Approval of July.14, 2008 minutes MOTION: Kjesbo SECOND: Tjossem VOTE: 3-0-3 (Proper, Paladino, Pierce recused) 6. Information Update Page 3 Tree Preseivation Presentation = Michael Yerman 20 minutes. , 7. Adjoumment MOTION: Kjesbo SECOND: Tjossem VOTE: 6-0-0 The applicatioris, and information about the proposals are available for public inspection during regular office hours at the `Town of .Vail Communify 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 July 25, 2008, in the Vail Daily ~ . . Page 4 ~ DESIGN REVIEW BOARD AGENDA : . PUBLIC MEETING ' , . ~ July 16, 2008 T~~~Vtdl- -Council Chambers ' 75 S. Frontage Road - Vail, Colorado, 81657 . PRESENTATION : 1:000m TREE PRESERVATION - Rachel Friede . PROJECT ORIENTATION ' MEMBERS PRESENT MEMBERS ABSENT ~ Tom Dubois _ Mike Dantas . Pete Dunning ' . Elizabeth Plante . Brian Gillette ' SITE VISITS 2:00pm 1. Holm/Arrigoni Residence, 4918 Meadow Drive ~ . : 2. Atefi Residence,1468 Vail Valley Drive . . 3. Bridge Streef Building, 281 Bridge Street . , PUBLIC HEARING - TOWN COUNCIL CHAMBERS , 3:00pm 1: Qwest DR6080228 Nicole Final review of a minor alteration (communication antennas on Qwest tower) .169 North Frontage Road/Lot 2, Middle Creek - : Applicant: Sprint Nextel , ACTION: Approved with condition(s) - ' MOTION: DuBois SECOND: Dantas VOTE: 5-0-0 , CONDITION(S): 1: The Applicant shall paint the proposed antennas to match the existing Qwest, tower structure within 5 days of antenna installation. , 2. The Applicant shall repair andlor paint the exisfing Qwesf microwave dishes (2) to a colot that matches or closely matches the existing Qwest tower structure within 5 days of antenna installation. - • - 3. Design Review Board approval of the. application (DRB 08-0228) becomes effective on July 24, 2008, the same date as 'Ordinance No. 12, Series of 2008, an ordinance amending 3ections 12-9C, General Use District and 12-16, Conditional Use Permit, Vail Town Code to allow certain conditional uses.as permitted uses. -2. Gobec Residence DRB080252 Bill Final review of changes to approved plans (exterior fnish, window; fre pit and waterfall) 1462 Aspen Grove Lane/Lot 11, Block 2, Lions Ridge Subdivision Filing Applicant: Matthew & Doris Gobec, represented by Rusty Spike Enterprises ACTION: Tabled to August 6, 2008 : . MOTION: Dantas SECOND: DuBois VOTE: 5-0-0 Page 1 3. Atefi Residence DR6080271 - Rachel Conceptual review for an addition (covert duplex to single family residence, new entry) 1468 Vail Valley Drive/Lot 17, Block 3, Vail Valley , Applicant: Bahman and Hamila Atefi, represented by K.H. Webb Architects ACTION: Conceptual, no vote 4. Holm/Arrigoni Residence DRB080264 Nicole Conceptual review of new construction (twafamily dwelling) 4918 Meadow Drive/Lot 16; Block 7, Bighorn 5th Addition Applicant: K.H. Webb Architects ACTION: Conceptual, no vote 5. Dantas Residence DR6080270 Nicole Final review of changes to approved plans (retaining walls) 2851 Bassingdale Boulevard/Lot 4, Block 8, Vail Intermountain Development Applicant: Dantas ~Builders ACTION: Approved with condition(s) AAOTION: Gillette SECOND; DuBois VOTE: 4-1-0 (Dantas Recused) 1. The retaining wall imitation sfone (Redi-Rock) material is approved, in accordance with Section 14-10-5, findings 1-4, Vail Town Code. 2. The Applicant shall install the tan color Redi-Rock as shown-to the Board at the July 16, 2008 meeting. 3. The Applicant shall hide all un-finished ends of the Redi-Rock retaining walls or complete the ;ends with the same fnish as the exterior face of the walls prior to' erequesting fnal Planning Departrnent inspections. 6. Bridge. Street Building DRB080272 Warren Conceptual review of an addition (commercial) 281 Bridge Street/Lots D, E, Vail ViIlage Filing 1 Applicant: Robert and Barbara Deluca ACTION: Conceptual, no vote 7. Cricket Communications DRB080278 Nicole Final review of a minor alteration (communication antennas and ground equipment shelter on Middle Creek tower) " 145 North Frontage Road/Lot 1, Middle Creek Applicant: Cricket Communications ACTION: Consent Approved, with conditions . MOTION: DuBois SECOND: Plante VOTE: 5-0-0 CONDITION(S): 1. The Applicant shall paint the proposed antennas to match the existing Middle Creek tower'structure within 5 days of antenna installation. 2. The Applicant shall construct the ground equipment shelter with the same materials and design as the existing Middle Creek tower structure within 5 days of antenna'installation. 3. Design Review Board approval of the application (DRB 08-0228) becomes effective on July 24, 2008, the same dafe as Ordinance No. 12, Series of 2008, an ordinance amending Sections 12-9C, General Use District and 12•76, Conditional Use Permit, Vail Town Code to allow certain conditional uses as permitted uses. , Page 2 . STAFF_APPROVALS ` Hilliard Residence DRB080119 Warren Final review of an addition (bedroom, recreation room) 1801A Sunburst Drive/Lot 2, Vail Valley Filing 3 Applicant: R. Glenn Hilliard, represented by Courtney Giphart Timber Falls DR6080227 Rachel_ Final review of a minor alteration (pool house roof rebuild) , 4496 Meadow DriveMmber Falls. Condo Applicant; Timber Falls Condominium Association, represented byBomer Carpentry Lodge at Lionshead DRB080236 ,Bill Final review of changes to approved plans (lighting, bollard, step) 380 East Lionshead Circle/Lot 7, Lodge at Lionshead ~ . ~ . Applicant: Christian Basso Spiers Residence DR6080239 . ~ Rachel Final approyal' of a minor exterior alteration (window) . . . 2466 Chamonix Lane/Lot 4, Block B, Vail Das Schone Filing 1 . : Applicant: MJ Spiers White Rock Residence DR6080242 Bill Final review of a minor exterior alteration (landscaping) 4057 Lupine DHve/Lot 4, Bighorn Subdivision ` Applicant: White Rock East Vail LLC Purchase Residence DRB080244 Rachel Final review of changes to approved plans (concrete driveway and stairs) 4418 Columbine Drive/Lot 3, Bighorn 3rd Addition , • ' Applicant: John Purchase Cotter Residence DR6080245 - Rachel Final review of a minor exterior alteration_ (door) ._..,2457 Chamonix Lane, Unit D-2/Lot 14, Block C, Val Das Schone Filing 1. Applicant: James. Cotter Munch Residence DR6080246 _Rachel Final review of a minor exterior alteration (driveway) 2517 Arosa Drive/Lot 4, Block D, Vail Das Schone Filing 1 Applicant: GW Munch Mueller Residence DRB080248 - Rachel Final review of a minor exterior alteration (landscaping) 910 Fairway Drive/Lot 8=6, Vail Village Filing 10 Applicant: Anne Marie Mueller City Market DRB080249 . . , Warren Final review of a mirior exterior alteration (repaint) 2109 North Frontage Road/Lot A, Vail Das Schone Filing 3 Applicant: City Market, represented by Graesers Painting Co , , Page 3 . Jeranko Residence DRB080250 Warren Final review of changes to approved plans (entry roof, windows) 2650 Bald Mountain Road/Lot 30, Block 2, Vail ViIlage Filing 13 " Applicant: Morter Architects DEI LLP DRB080251 Warren Final reView of a minor exterior alteration (re-roofl 2860 Bassingdale Boulevard/Lot 2, Block 9, Vail Intermounatin Applicant: The Roofing Company Frank Residence DRB080256 Rachel Final review of a minor exterior alteration (re-roofl 3984 Bighorn RoacULot 3, Bighom Subdivision Applicant: Wallace Frank, represented by TCC Contractors Ain ResidenceDRB080257 'Jen Final review of a minor exterior alteration (re-roofl 5033 Prima Court/Lot B, Block 22 Sundial Applicant: Shirley & Jonathan Ain, represenfed by CH Roofing , Nicolary Residence DRB080258 Nicole Final review of changes to approved plans (re-roofl 975 Fairway Court/Lot 3, Vail Village Filing 10 Applicant: Zdenek Bauer . Pitkin Creek Park DRB080260 Warren Final review of a minor exferior alteration (landscaping) 3931 Bighom Road/SDD #3,. Pitkin Creek Par1c Applicant' Rob Steinke Keller Williams DRB080261 Rachel Final review of a sign 12 Vail Road/Lot N, Vail Village Filing 1 Applicant: Keller Williams Mountain Properties Ross Residence DRB080265 Warren Final review of a minor ezterior alteration (landscaping) 1297 Vail Valley Drive/Lot 1, Block 3, Vail Valley Applicant: Gussie Ross Sandstone 70 DR6080269 Rachel Final review of a minor exterior.alteration (re-paint) 903 Red Sandstone Road/Lions Ridge 1st Filing Applicant: Sandstone 70 HOA 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: Vail Town Council FROM: Community Development Department . DATE: August 5, 2008 SUBJECT: A request for a worksession to discuss a proposed update and review of the Vail Village Master Plan, pursuant to Section VIII-B, Adoption, Extensions, and Amendments, Vail Village Master Plan, to affirm the applicability and purpose of the Master Plan, located within the boundaries of the adopted Master Plan/(a complete legal description is available for inspection at the Town of Vail Community Development Department upon request), and setting forth details in regard thereto. (PEC080020) Applicant: Town of Vail Community Development Department Planner. George Ruther 1. DESCRIPTION OF THE REQUEST The applicant, Town of Vail Community Development Department, represented by George Ruther, is requesting a work session with the Vail Town Council to discuss a proposed update to the Vail Village Master Plan. The proposed update has been initiated by the Community Development Department pursuant to Section VIII (B) of the Vail Village Master Plan. The purpose of this work session is to: • Provide an overview of the existing goals, objectives, policies and action steps of the master plan; • Share the comments and input the Community Development Department has received on the master plan update process to date; • Present the recommendation of the Town of Vail Planning & Environmental Commission to the Town Council; and • Outline the proposed next steps in the review process for updating the Vail Village Master Plan. As this is a work session, staff will not be providing a formal recommendation at this time. II. BACKGROUND On January 22, 2008, the Vail Town Council instructed staff to prepare and update to the Vail Village Master Plan. The purpose of the update is to address the six major goals outlined in the master plan, acknowledge the actions steps that have been completed in keeping with the master plan, and to identify the 1 next series of action steps need'ed to further implement the goals, objectives and policies.of the master plan. On July 28, 2008, the Town of Vail Planning & Environmental Commission held a public hearing on the proposed update. Upon review of the proposed update, the Commission has fonivarded its recommendation of approval, with modifcations, of the Vail Village Master Plan update. III. DISCUSSION -ITEMS 1. Overview of the Goals, Obiectives, Policies and Aetion Steps Goals for Vail Village are summarized in six majoc goal statements. While there is a certain amount of overlap befinreen these six goals, each focuses on.a . particular aspect.of .the Village and the, community . as a whole: The goal statements are designed to establish a framework; or direction, for the future growth of the Village. A series of objectives outline specifc steps fhat can be taken toward achieving each stated goal. Policy statements have been developed to guide the Town's decision-making in achieving each of the stated objectives, whether it be through the review of priVate sector development proposals or in implementing capital improvement projects. Finally, action steps are suggested as immediate follow-up actions necessary to implement the goals of this Plan. The Vail Village Master Plan's objectives and policy statements address key issues relative to growth and deyelopment. These statements establish much of the, context within. which future development proposals are evaluated. In. implementing the Plan, the objectives and policies are used in conjunction with a number of graphic planning elements that together comprise this Plan. While the objeetives and policies establish a general framework, the graphic plans provide, more specific direction regarding 'public improvements or development potential on a particular piece of property. IV. RECOMMENDED UPDATES (Additions are shown GREEN, Deletions are shown in 'RED, Completed actions are shown in LIGHT GRAY). GOAL #1 ENCOURAGE HIGH QUALITY, REDEVELOPMENT WHILE PRESERVING UNIQUE ARCHITECTURAL SCALE OF THE VILLAGE IN ORDER TO SUSTAIN ITS SENSE OF COMMUNITY AND IDENTITY. 1.1 Ob'tective: Implement a consistent development review process to reinforce the character of the Village. . 1.1.1 Policy Development and improvement projects approved in the Village shall be consistent with the goals, objectives, policies. and design considerations as outlined in the Vail Village Master Plan and Urban Design Guide Plan. 2 1.2 Obiective: Encourage_ the upgrading and redevelopment of residentiai and - commercial facilities. 1.2.1 Policv: Additional development may be allowed as identified by the Action Plan and'as is consistent with the Vail Village Master Plan and Ur6an Design Guide Plan. 1.2.2 Policv: ' Development and improvement projects shall be coordinated to minimize the unintended negative consequences associated with construction activity in a pedestrianized; commercial area. 1.3 Obiective: Enhance new development and redevelopment through public improvements done by private developers working in cooperation with - the town. 1.3.1 Policv: . Public improvements shall be developed with the participation of the private sector working with the Town. GOAL #1 Action Steas: 1. Develop and adopt an overlay zone district(s) implementing the Vail Village Master Plan (Special DeVelopment Districts) 2. Study and implement an impact fee system to reduce the public - burden of . providing infra-structure and . public services to new development. ~ 3. Reprioritize public improvement projects within the Village area. 4. Develop and adopt an annual construction activity schedule for development and improvement projects in the Village with special attention given to the use of the Town's right-of-way and the potential negative impacts on the resident and guest experience. 5. Explore Yhe impacts of amending the defnition of a"building story" as defined on the Conceptual Building Height Plan to allow for an increase in the floor-to-floor height to greater than 9 feet. GOAL #2 TO FOSTER A STRONG TOURIST.INDUSTRY AND PROMOTE YEAR- . AROUND ECONOMIC HEALTH AND VIABILITY FOR.THE .VILLAGE AND FOR TIiE COMMUNITY AS A WHOLE. 2.1 Obiective: Recognize the variety of land uses found in the 11 sub-areas throughout the Village and allow for development that is compatible with these established land use pattems.. 3 2.1.1 Policv: The zoning code and development review. criteria shall be consistent with the overall goals and objectives' of the Vail Village Master Plan. 2.2 Obiective: Recognize the " " . II of Vail Village as a mixed use center of activities for our guesfs, visitors and residents. 2.2.1 Policv: The design criteria in the Vail Village Urban Design Guide Plan • shall be the primary guiding document to preserve the existing architectural scale and character of the core area of Vail Viltage. 2.3 Obiective• Increase the number of residential units available for short term ovemight accommodations. 2.3.1 Policv: The development of short term accommodation units is strongly encouraged.. Residential units that are developed above existing density levels are required to be designed or managed in a manner tfiat makes them, available for short term ovemight rental. 2.4 Obiective:. Encourage the development of a variety of new commercial activity wtiere compatible with existing land uses. 2.4.1 Policv: ' Commercial infill development consistent with established horizontal . zoning regulations shall be encouraged to provide activity generators, accessible greenspaces, public plazas, and, streetscape improvements to the pedestrian network throughout the Village. 2.4.2 . Policv: . Activity that provides night life and evening entertainment for both the guest and the communify shall .be encouraged: 2.5 Obiective: Encourage the continued upgrading, renovation and maintenance of existing lodging and commercial facilities to better serve the needs of our guests. 2.5.1 Policv: . Recreation amenities, common areas, meeting facilities and other amenities shall be presenred and enhanced asa part of any redevelopment of lodging properties. _ 4 . _ 2.5.2 Policy: The town will use the maximum flexibility possible in the • interpr.etation of building and fire codes in order to facilitate . budding renovations without compromising life, health and safety ' . considerations: . 2.6 Obiective: ' Encourage the development of. affordable housing units in Vail Village through the efforts of the private sector. 2.6.1 : . Policy:.. - Employee housing. units may be required as part of any new or redevelopment project requesting. density oVer thaf allowed by existing zoning. ` 2.6.2 . Policy: Employee housing shall be developed with appropriate restrictions so as to.insure their availability and: affordability to the local work force. - ' _ 2.6.3 Policy: . The Town of Vail may facilitate in the developmenf of affordable housing by providing limited assistance. ` 2.6.4 Policy: Employee housing may be developed in the ~ Village when required by the Town's adopted Zoning Regulations. 2.7 Obiective• Encourage `the development of multi-use special events venues and infrastructure. (ie, publicly accessible restrooms, power and utilities, etc.) within Vail Village in cooperation with the private secfor. 2.7.1 Policy , The development of new special event venues and improvements to existing venues shall be strongly encouraged to reinforce the important role that speaal events play in the promoting a year- . round economy in Vail Village. GOAL #2 Actlon Steas• _ 1. lnifiate zonrng code modifications to,clarify the Urban Design Guide Plan's authority to cover those areas outside of; Commercial Core ! fhat are referenced by the Urban Design Guide Plan. (Completed) 2. 'Develop and adopt an Economic Development Strategic Plan for - the Town of Vail. 3. Create a special events venue map for Vail Village. -The map should include existing and potenfial special event venue locations with . an _ indication . on how, many participants the venue can accommodate. Other logistical considerations such as event set . 5 , up configurations, vehicular access, pedestrian circulation, . emergency vehicle accommodations; compatibility with adjacent and surrounding uses, etc. should also be noted on the map. 4. In cooperation with the Eagle River Water and Sanitation District, explore the creation of stormwater management regulations aimed at preserving and protecting the water quality of Gore Creek to ensure -that the creek and its adjacent. riparian. corridors remains healthy and vibrant. 5. Explore the adoption of land use policies regarding certain land uses (ie real estate offices, professional ofrices and similar_ non- retail uses) addressing horizontal zoning of non-commercial core I zone district properties within .the area govemed by the Vail Village Master Plan. 6. Establish a clear policy related to the use of the public right-of-way and other similar public property for the outdoor display of ` merchandise 'and goods and make any amendments to the town's adopted codes as necessary to implement the desired policy. GOAL #3: TO RECOGNIZE AS A TOP PRIOTITY THE ENHANCEMEPIT OF THE WALKING EXPERIENCE THROUGHOUT THE VILLAGE 3.1 Obiective• , Physically improve, the existing pedestrian ways by landscaping and other improvements. 3.1.1 Policv:. . Private developmenf projec#s shall incorporate streetscape improvements (such as paver treatments, landscaping, lighting and seating areas), along adjacent pedestrian ways. 3.1.2, PolicV: . . : Public art and other similar landmark features shall be encouraged at appropriate locations throughout the Town. 3.1.3 Policv: Flowers;. trees, water features, and other landscaping shall be ` encouraged throughout the Town in locations adjacent to, or visible from, public areas. 3.2 Obiective: . Minimize the amount of vehicular traffic in the Village. to the greatest extent possible. 3.2.1 Policy Vehicular traffic will be eliminated or reduced to absolutely minimal necessary levels in the pedestrianized areas of the Village. 6 . ' ' 3.3 Obiective• Encourage a wide variety of activities, events, and street life along pedestrian ways and plazas. 3.3.1 -.Policy: The Town encourages a regulated. program of outdoor street activity in predetermined locations throughout the Village. 3.3.2. • ~ . Policv: Outdoor dining is an important streetscape feature and shall be encouraged in commercial infill or redevelopment projects. 3.4 Obiective: , . Develop additional sidewalks, pedestrian-only walkways and accessible green space areas, including podcet parks and stream access. 3.4:1 Policy: , Pfiysical improvements to property adjacent to stream tracts shall not further restrict public access. 3.4.2 . Policv: . Private development projects shall be required to incorporate new sidewalks along streets adjacent to the project as designated in the Vail Village Master Plan and/or Recreation Trails Master Plan. 3.4.3 Policy: - , The "privatization" and encroachment of private improvements on ' the town-owned Gore Creek stream tract shall be strongly . discouraged. GOAL #3 Action Steas: 9. Inifiate a comprehensive Irghting plan for all public spaces in Vail ' Village. (Completed) 2. Amend~ the Design Review Guidelines to recognize the concept of "winterscape" in the evaluation of landscape plans. 3. Identify additional locations and funding strategies for the development of additional public restrooms in the Village. 4. Study walking-only paths and stream access on public property. (Comp(eted) 5. lnitiate fhe Vail Village Streetscape Improvement Plan to serve as a concept plan for subsequent improvements to public places in fhe Village. (Comp/efed) 7 6. Designate an Arfs in Public Places Board to produce and/or review proposals tor public art along pedestrian ways. (Completed) 7. Expand the summer flower planting program and encourage private sector participation. 8. Continue to improve traffic control systems-=effectiveness and appearance. 9. Monitor time zoning and revise as possible. Continue to explore altemative. service/delivery mechanisms; especially an off-site warehouse with small vehicle distribution in the Village. 10. Construct new sidewalks and recreation trails as per the Recreation Trails Master Plan--Core Area Detail. GOAL #4: TO PRESERVE EXISTING OPEN SPACE AREAS AND EXPAND GREENSPACE OPPORTUNITIES. 4.1 Obiective• Improve existing open space areas and create new plazas with greenspace and pocket parks. Recognize the different roles of each type of open space in forming the overall fabric of the Village. 4.1.1 Policv: _ Active recreation facilities shall be preserved (or relocated to accessible locations elsewhere in the Village) in any development or redevelopment of property in Vail Village. 4.1.2 Policv: The development of new public plazas, and improvements, to existing plazas (public art, landmarks, historic features, stree#scape features, seating areas, etc:) shall be strongly encouraged to reinforce their roles as attractive people places. . 4.1.3 Policy With the exception of ski base-related facilities, existing natural open space areas at.the base of Vail, Mountain and throughout Vail Village and existing greenspaces shall be pteserved as open space. 4.1.4 Policv: Open space improvements including the addition of accessible greenspace as described or graphically shown in, the Vail Village Master Plan and/or Urban Design Guide Plan; will be required in conjunction with private infill or redevelopment projects. 8 , . • ' " 4.2 Obiectives: . Improve and expand the opportunity for active and 'passive recreational activity throughout the Village. 4.2.1 . Policv: . Continue the implementation of the Ford Park Master Plan as this will provide important recreational opportunities to residents and guests. GOAL #4 Action Steas: 1. Develop pocket parks with passive recreational improvements including benches, paths, children's play facilities and stream access - in.appropriate Town-owned parcels. - 2. Evaluate additional opportunities for. the purchase of additional parcels for open space and/or public use. 3. Explore the "Mill Creek Retail Area" as part of the Village , Streetscape Projecf. (Complefed) _ 4. Connect streamwalks to other walkways and pocket parks in order to integrate and enhance the total pedestrian nefinrork..= 5. Revegetate and restore disturbed areas along stream tracts. 6. Improve or remove fhe Willow Bridge pedesfrian hridge. " 7. Restore the Town snow dump, including stream tracf, fo its natural state. . . 8. Explore the feasibility of expanding Ford.Park to the west to Vail Valley Dtive and/or Slifer Plaza . 9. Identify opportunities to improve and enhance the fores# health within " ' and immediately around Vail Village to mitigate the damage caused . by the pine beetle and similar tree diseases and infestations. 10. Co'ntinue to develop and implement wildland interFace initiatives aimed at reducing the threat to the loss of property and life due to the risk of wildland fires. : GOAL #5: INCREASE AND IMPROVE THE CAPACITY, EFFICIENCY, AND • AESTHETICS OF THE TRANSPORTATION AND CIRCIJLATION SYSTEM THROUGHOUT THE VILLAGE. 5.1 Ob ective: , Meet parking demands with public and private parking_facilities 5.1.1 Policv For new development that is located. outside of the Commercial , Core I Zone District, on-site parking shall be provided (rather than 9 , • . . paying into the paricing fund) to meet any additional parking ' demand as required by the zoning code. 5.1.2 Policy: The expansion of the Vail Village parking structure shall maximize the number of additional parking spaces available for public parking. 5.1.3 Policv: " Seek locations for additional structured public and private parking. 5.1.4 Policy : Continue to.promote the lease parfcing program as a means for maximizing the utilization of private parking spaces. 5.1.5 P_olicy Redevelopment projects shall be strongly encouraged to provide underground or visually ooncealed parking. 5.2 Obiective: Encourage the use of public transportation to minimize the use of private automobiles throughout Vail. 5.2.1 Policv: The Town and its regional partners shall continue to provide an , efficient transit system and increase service levels as needed to meet demand. 5.2.2 Policy: The Town shall facilitate and encourage the operation of private shuttle vans outside of the pedestrianized c;ore area. 5.3 Obiective: Concentrate the majority of interconnecting transit activity at the periphery of the Village . to minimize vehicular traffic in pedestrianized areas. 5.3.1 Policv: . The Vail Transportation Center.shall.be the primary pick up and drop off point for public transit and private shuttle Vans and taxis. 5.4 Obiective: Improve the stteetscape circulation corridors thtoughout the Village. , 5.4.1 'Policy: . The Town shall work with the Colorado Division of Highways toward the implementation of a landscaped boulevard and parkway along the South Frontage Road. 5.4.2 Po.licv:. Medians and, right-of -ways shall be landscaped. 10 GOAL #5 Action Steus: 1. Construct vehicular circulation and signage improvements designed to reduce unnecessary traffic into the Village core. 2. Continue to monitor traffic.flow' through the 4=raay-step roundabout areas.and study alternatives available to increase efficiency of this intersection and' meet future traffic demands. 3. :.Continue to study the feasibility of a -"people mover". or other public . transportation altematives to augment or replace the existing shuttle , system. 4. Vrllage parking policies (both parking requirements and properties eligible for paying into the parking..fund) following the completion of the Town's Parking and Transportafion Study. ' 5. Study. the feasibility of an underground (recreation fields would , remain), parking structure in Ford Park. ~ GOAL #6: TO ENSURE THE CONTINUED IMPROVEMENT OF THE VITAL OPERATIONAL ELEMENTS OF THE VILLAGE. - 6.1 Obiective: . Provide,- service and delivery facilities for existing and new . deyelopment. - 6.2 Obiective: ' Provide for the safe and efficient functions, of fire, police and public utilities within the context of an aesthetically pleasing resort . setting. 6,21 . Policy: . . Development projects and other improvements in Vail Village shall be reviewed by respective Town departments to identify both the impacts of the proposal and potentiaP mitigating ' , measures. 6.2.2 Policy: Minor improvements (landscaping, decorative paving, open dining decks, etc.), may be permitted on Town of Vail land or right-of-way (with review and approval by the Town Council and Planning and . ' Environmental Commission when applicable) provided that Town operations such as snow remoVal, street maintenance and fire department access and operation are able to be maintained at . current levels. Special design (i:e. heated pavement), maintenance fees, or other considerations may be required to offset impacts on Town seivices. 1 , 11 • ' • • . GOAL #6 Action Steas: . 1. _ Study feasible altematives for providing long range solutions for loading and delivery functions in the Village. 2. Work closely on an ongoing basis with Upper Eagle Valley Water and Sanifation District -to ensure adequate water and sewer facilities to accommodate future development. 3. Study feasible altematives and implement a centralized trash/recycling facilities in the Commercial Core I area: 4. Work closely with the Vail Village business owners, property owners, lodge owners, residents and all other . potentially . _affected parties on an ongoing basis to optimize the use of the Town's dispersed loading/delivery facilities and minimize the use of the Town's right of way for loading/delivery activities. 5. Create and expand the use of management committees comprised of all potentially affected parties to address parking, traffic, special events, construction impact, etc. issues that may arise. V. NEXT STEPS . The following dates outline the neict steps in the review process of the Vail Village Master Plan: o August 19, 2008 - Vail Town Council worksession . • September 2, 2008 - Consideration of a tesolution updating the Vail Village Master Plan , VI. STAFF RECOMMENDATION As this is. only.a worksession, staff will not be providing a recommendation at this time. 12 MENIORANDUM To: Stan Zemler, Town Manager , Town Council From:. Department Heads Sub'ect: Munici _1 pal Employee Housing Assistance ' Date: JulY 31, 2008 Backaround and Rationale Town Council and . staff have acknowledged the need to provide: housing • assisfance programs for TOV municipal employees. Council has established a target of having 30% of Vail's workforce live in Vail. As an'employer, ; the town should lead the way in accomplishing this goal. Housing assistance is also an important recruitment -and retention tool in our competitive employment market where housing costs are high. ' There are currently three. programs in place to help employees obtain housing they, can afford: low cost rental units; deed-restricted units foc purchase through the buy=down program; and down payment/rental assistance. The rental program provides housing to many of our seasonal employees as well as some year-round employees, most of whom are in the "critical employee"_ category. The tiuy-down program 'provides deed restricted -rafe-capped housing 'units at below market price for purchase by employees working 30 hours or more. The. . down payment assistance program provides loans to Town of Vail (TOVY : employees purchasing market rate housing. This proposal recommends changes to the down payment assistance program only with the expectation the.. other finro programs with remain in place as they are currently. Our current down payment assistance program is outdated and of limited value to employees. When the down payment assistance: program was fiisf- piit,in place, the town experienced a 50% reduction in tumover. We have successfully_.. helped over 40 employees purchase homes. However, as real estate. prices. have escalated and credit markets have tightened, the value of the program has diminished. Therefore, the deparfinent heads recommend replacement of the current limited -program with an Employee Home Ownership Program (EHOP). utilizing equity share loans and administered by Funding Partners, a.non-profit organization who specializes in home ownership programs. The proposed TOV program is described in detail below. If Council is agreeable, staff would tike, to request reallocation and/or use of existing funds to establish the program in 2008 with additional funding requested in the 2009 budget. Current Proqram . - A copy of the current program for down payment assistance is attached. Several issues have arisen with the program. • Loans are limited to properties costing less than $500,000 and there is not much housing inventory in Vail and surrounding counties below that limit. • Loans are further limited to 5% of the purchase price up to $10,000, which also does not provide much assistance when compared with prices in the area. . ~ Primary mortgages greater than 80% of a home's value generally require primary moitgage insurance or PMI. If an emptoyee borrows 10% from the Eagle County Loan Fund_ and 5% from the town with no. other assistance, their primary mortgage wiil be 85% and require from .5% to more than 1% PMI. In most cases; the PMI will push the monthly payment overwhat the employee could otherwise afford. • Interest-free. loans are repaid over five years, which causes the primary mortgage lender, to consider the monthly payments required on tlie TOV loan when underwriting the primary'mortgage. This has proyen to be a limiting factor for many employees. o Currently, a promissory note is issued for the down payment assistance loan; however, there is no deed of trust or lien against the property in case of default. • The current program is administered by towri., staff, which is a time . consuming process. Often a considerable amount of time and effort is spent working with the employee and the primary lender without a loan ever materializing because of the limitations Iisted aboVe. Prooosed_Eauitv Share Loan Pro4ram Town staff has researched other community programs and employer programs and has developed a proposal we believe will overcome the drawbacks of the , town's current down payment assistance program and provide a competitive plan for our employees. A key concept in the program is the "equity, share" com'ponent. With an equity share loan, there is no interest and there are no payments fior the.15-year term of the loan. When the loan is repaid, however, a proportionate share of the appreciation on the home is paid'along with the toan principal. For example, assume an employee purchases a home for $500,000 ' and the town provides $50,000 or 10% in assistance. Several years latec, the. employeesells the home for $600,000, generating $100,000 in appreciation. The employee repays. the original loan ($50,000) plus a proportionate share (10%) of, the appreciation 'or $10,000. The Eagle County ~ Loan Fund, which is available to TOV em plo y e e s, a n d t h e f a g le Coun t y Home Ownership Program, which is available only to county employees, are both equity share programs. An important component of the proposed equity share loan',is, the 15-year term with no payments due until the end of the term. The employee can qualify for a higher primary mortgage loan because the underwriter will not include monthly payments on the equity share loan when qualifying the'borrower for the prima.ry mortgage. It is important to note the downside to a 15-year term is that repayment cannot be. required if the borrower terminates employment with the town, although there is an incentive for a borrower to repay so that his/her equity in the home is increased. Also, since most mortgages are repaid in approximately seven years, the probability of the town holding a terminated employee's loan is reduced. The equity share amangement is advantageous to the town in that appreciation of homes in the Vail area can be expected to outpace interest that could be eamed on amounts lent to employees. Eli ibil' Staff recommends a few changes in the eligibility requirements for the proposed program. We have defined full-time as forty hours per week for this program whereas many other town benefits are offered to employees working 30 hours or more. We have also defined the area in which the home is located as within 50 miles of Vail, rather than name specific counties. We feel the 50 mile criterion is a reasonable commute, although it exctudes some areas which were previously covered such as Garfield County. We continue to require: six months of service; primary residency in the home being purchased; and no other property in the Vail area at the time of closing. Recognizing the value of the program as a recruiting tool, we recommend allowing ownership of residential property outside the area if it is listed for sale. Exceptions to eligibility requirements may be considered on a case-by-case basis by the Town Manager. The new program would continue to provide assistance to both, first time home buyers and existing home owners. Because of limitations on the amount of funding expected to be availabte for the new program, however, priority will be given to employees purchasing a home within the 50-mile Vail area for the first time. Loan Amounts Staff recommends a substantial increase in the loan amounts to recognize the current cost of housing in the Vail area. All loans are evidenced by a Deed of Trust on the property, which limits our risk. Since the town shares in the home's appreciation, there is a retum on the town's investment and the loan fund will grow as home prices increase. Under the current program, there is no interest or sharing of appreciafion so the value of the loan fund compared with housing prices continues to diminish. Recognizing the cost of housing is higher in Vail than in the surrounding areas, staff recommends tying the maximum loan amount to location of the residence being purchased. Since the town is taking an equity share in the loan, the employee will have an incentive to borrow the least amount needed. Therefore, staff does not recommend a maximum percentage except in the case of a deed restricted property as discussed below. For non-deed restricted residences, staff recommends maximum TOV equity share loans of $100,000 within Vail and r ~ $.50,000 within the remainder of the 50-mile area. Since TOV employees also qualify for assistance from the 'Eagle County Loan Fund, combined assistance would total a maximum of $150,000 within Vail, $100,000 outside of Vail but within Eagle County and $50,000 outside of Eagle County but within the 50-mile area. Deed restricted properties are currently eligibie for down payment assistance at 5% of purchase price up to $10,000. Since the- price of the deed r+estricted unit has already been "bought down", staff reoommends we continue to limit the loan to 5% of the purchase price. However, given cument and anticipated cost of deed-restricted homes, stafF recommends removing $10,000 limit. Some of the housing assistance programs we looked at required the employee to invest a minimum of 3% or $3,000, whichever is less, in the property being acquined. Some programs also allowed total financing to exceed 100% of the home's purchase price. Staff recommends instead of a 3% or $3,000 requirement our program requires the employee to pay all closing costs, including loan fees, from sources other than loan proceeds. We further recommend the total of loans collateralized by the home may not exceed 100°/a of the home's purchase price. Funding Partners will apply industry standard undenNriting criteria to each loan. Reoavment Principal and interest payments are not required. Payment in full is allowed at any time (no partial repayments). Payment in full is required at the end of the 15- year term or when any of the following occur sale or transfer of property; refinancing; when the home is no longer the primary residence; or upon death of the buyer. Termination of employment is not an occurrence that makes the loan due and payable. Payment in full includes repayment of principal plus a proportionate share of appreciation as described above. As an incentive for employees to repay the loan and make funds available to other TOV employees, staff recommends eliminating the equity share element of the program for loans repaid within 36 months of issuance. For example, if an employee borrows $50,000 for a home with a purchase price of $500,000, the employee would normally pay 10% of the appreciation at the time the Ioan is repaid. If the employee repays within the first 36 months of the loan, however, he would repay principal only with no sharing of equity. Fundina Partners Funding Partners for Housing Solutions, Inc., is a nonprofit Community Development Financial Institution (CDFI) certifled by the United States Treasury. As a CDFI, Funding Partners is responsible for creating access to capital and credit within underserved markets and among target populations throughout . ~ Colorado. Under contractual relationships with public authorities and private- sector employers, Funding Partners also originates loans and services loan portfolios for employee home ownership programs. Under the TOV's proposed Employee Home Ownership Program (EHOP), Funding Partners wili administer all functional aspects of the program in accordance with the guidelines provided by the town and in accordance with all regulatory requirements and good business practices. Specific responsibilities of Funding Partners include: • Provide counseling to prospective homebuyers regarding housing assistance programs for which they may qualify • Review and accept or reject loan applications from employees • Coordinate with the primary lender and any other housing assistance programs to facilitate origination of loans under the program • Prepare all necessary loan documents including the town's security interest in the property • Receive funds from the town and transfer funds at the time of closing; hold any excess funds in federally-insured, interest-bearing deposit accounts • Perform all record keeping including notification to employees when loans become due • Assume all risk of default The town is responsible for establishing guidelines, authorizing any exceptions; and funding the program. Funding Partners compensation is a flat fee to the employee of $400 at the time of closing plus 25% of the appreciation retumed to the town. In the example above, where the total appreciation was $100,000 and the town's loan was 10% of the purchase price, the equity share portion is $10,000 ($100,000 X 10%). 25% or $2,500 is retained by Funding Partners and 75% or $7,500 is placed in the town's loan fund for future employee loans. Sources of Fundina Staff proposes immediate funding of the EHOP from the sources listed below to be included in the second supplemental appropriation with additional funding to be considered in 2009 during the budget process. Current Down Payment Assistance Program -$80,000 The current program is authorized for $200,000 of which $120,000 is currently outstanding. Reallocation of Income from Employee Housing Rentals -$200,000 The town generates an average of $200,000 in net revenue from Buzzarid Park, Creekside, and other employee rental units. This net revenue does not have a specific purpose, but is used to support other General Fund expenditures or to increase the fund balance. Staff recommends reaflocating $200,000 from this r source to the EHOP in 2008 and future years until the program is adequately funded. Sale of Town-Owned Pitkin Creek Unit -$290,000 The town purchased and deed restricted. this: unit, for municipal, employee housing. The first attempt to sell tFie unit was unsuccessful and it has been rented to a town employee since then. Staff proposes to re-market the property and, when sold; dedicate the proceeds to the EHOP. With $570,000 from the above sources, staff feels we could get a good start on the program in 2008, potentially funding between six and eleven loans. Sources of funding to be further discussed during the 2009 budget process could include: Current Down Payment Assistance Program -$40,000 in 2009 As existing loans are repaid, funds from the current program could be reallocated to the new program. Reallocation of Income from Prior Yeais' Employee Housing Rentals - $1,000,000 As mentioned above, the employee rental program generates approximately $200,000 in net revenue each year with no- specific purpose. For many years, the General Fund balance has increased- by more than this amounf. Council may want to consider jump starting the EHOP ~by reallocating some of these accumulated funds.. For. example, five years of net revenue from employee rentals would be- :$1,000,000 which could assist a minimum. of 10 employee/homeowners in Vail or.20 . employee/homeowners outside Vail but within the 50-mile area. The General'Fund balance is, expected to. be $19.8 million or. 67% of annual revenue at the end of 2008. Allocating $1 million to the EHOP would reduce fund balance to 64% of annual revenue. Annual Alfocation of Net Revenue frorro Employee Housing Rentals - - $200,000 As described above, .net revenue from employee housing could. provide .an ongoing source for as long as it is needed. By the end of 2009, the program could be funded with $1.8 million in loan funds from the above sources. Over time, an additional $80,000 would come in from the current down payment assistance program and $200,000 could be considered for annual appropriation . from rental income until such time as the loan fund becomes self-funded from repayments and equitjr sharing. ~ . `