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HomeMy WebLinkAbout2011-02-01 Agenda and Support Documentation Town Council Evening Session VAIL TOWN COUNCIL EVENING SESSION AGENDA "fi TOW VAIL TOWN COUNCIL CHAMBERS 75 S. Frontage Road W. Vail, CO 81657 6:00 P.M., FEBRUARY 1, 2011 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. ITEM /TOPIC: Citizen Participation (15 min.) PRESENTER(S): Public 2. ITEM /TOPIC: Consent Agenda: (15 min.) 1) Resolution No. 2, Series of 2011, A Resolution Approving an Intergovernmental Agreement Between the Town of Vail and the State Board of the Great Outdoors Colorado Trust Fund for the Red Sandstone Elementary School Playground Improvements Grant; and Setting Forth Details in Regard Thereto.; and 2) Resolution No. 3, Sereis of 2011, A Resolution Approving an Intergovernmental Agreement Between the Town of Vail and Eagle County School District REJ50 for the Red Sandstone Elementary School Playground Improvements; and Setting Forth Details in Regard Thereto. PRESENTER(S): Gregg Barrie ACTION REQUESTED OF COUNCIL: 1) Approve Resolution No. 2, 2011; and 2) Approve Resolution No. 3, 2011; and Authorize the Town Manager to sign and enter into the IGA's with GOCO and Eagle County School District in a form approved by the Town Attorney. 3. ITEM /TOPIC: Town Manager's Report: (15 min.) Revenue Update - Kathleen Halloran PRESENTER(S): Various 4. ITEM /TOPIC: Approval of Legal Service Agreement (5 min. ) PRESENTER(S): Matt Mire ACTION REQUESTED OF COUNCIL: Motion to approve the Legal Services Agreement BACKGROUND: The Town Attorney, Matt Mire, is duly appointed by the Town Council (the "Council ") as the Town Attorney as set forth in Section 7.1 of the Town of Vail Charter and has served as the Town Attorney since November 1, 2001. The Town Attorney and the Town are parties to a certain 2/1/2011 employment contract, dated October 31, 2001 (the "Contract ") which creates terms and conditions of the Town Attorney's employment and establishes the Town Attorney as a full time Town of Vail Employee. The Council and the Town Attorney wish to terminate the Contract, and the Council wishes to retain as the Town Attorney on an hourly basis and pursuant to the terms set forth in the attached Legal Services Agreement (the "Agreement "). 5. ITEM /TOPIC: A final presentation on the findings of the "Ever Vail Fiscal and Economic Impact Analysis" report, dated January 13, 2011. (30 min.) PRESENTER(S): Andy Knudtsen, Economic and Planning Systems ACTION REQUESTED OF COUNCIL: No action is requested at this time. BACKGROUND: On December 7, 2010 the Vail Town Council heard a presentation by EPS on the findings contained in the "Ever Vail Fiscal and Economic ImpactAnalysis" report, dated November 11, 2010. The final report is in response to the questions raised by the Vail Town Council on the 7th. 6. ITEM /TOPIC: Resolution No. 5, Series of 2011, a Resolution authorizing the Town Manager to enter into an agreement with the Vail Village Inn Homeowners Association to fund up to $25,000 of the cost to complete below -grade tunnel improvements necessary to fully implement a dispersed loading and delivery system in the East Meadow Drive neighborhood of Vail Village; and setting forth details in regard thereto (30 min) PRESENTER(S): George Ruther ACTION REQUESTED OF COUNCIL: Approve, approve with modifications or deny Resolution No. 5, Series of 2011. BACKGROUND: On January 18, 2011, the Vail Town Council instructed staff (6 -1 Clevelend opposed) to prepare a resolution authorizing the Town manager to enter into an agreement with the Vail Vlllage Inn Homeowners Association to fund up to $25,000 of the cost to complete below -grade tunnel improvements necessary to fully implement a dispersed loading and delivery system in the East Meadow Drive neighborhood of Vail Village. Funding of these improvements closes the gap in the financial needs of the project and furthers the Town's goals of creating a pedestrianized mall in Vail Vlllage. STAFF RECOMMENDATION: The completion of the loading and delivery system addresses a number of Town goals and objectives. For instance, a long term solution to an ongoing need for loading and delivery in the East Meadow Drive neighborhood is addressed; the business, resident and guest experience in Vail Village is enhanced; vehicle noise and congestion along East Meadow Drive is reduced and public safety is improved; and the community benefits from the completion of the improvements. For these reasons, staff recommends the Vail Town Council adopts Resolution No.5, Series of 2011, as read. 7. ITEM /TOPIC: First reading of Ordinance No. 3, Series of 2011, an ordinance repealing and reenacting Chapter 7, Contractor, Registration, Title 4, Business License and Registration, Vail Town Code, and setting forth details in regard thereto. (30 min) 2/1/2011 PRESENTER(S): George Ruther ACTION REQUESTED OF COUNCIL: Review Ordinance No. 3, Series of 2011, on first reading and approve, approve with modifications, or deny the ordinance. BACKGROUND: The current process for contractor registration is subjective, outdated, time consuming and costly to administer. The process has remained unchanged for more than 33 years. The process needs to be amended. Ordinance No. 3, Series of 2011, aims to solve the problems associated with the current contractor registration process. STAFF RECOMMENDATION: The proposed amendments create a contractor registration process which is objective, eliminates waste, cost effective and relies upon current technology to improve productivity and customer service. Town staff recommends the Town Council approves Ordinance No. 3, Series of 2011, on first reading. 8. ITEM /TOPIC: Lionshead Transit Welcome Center - Packages A (Pre -Cast Concrete), B (Elevators), C (Mechanical Equipment) Contracts Award (15 min.) PRESENTER(S): Tom Kassmel ACTION REQUESTED OF COUNCIL: Award separate Contracts to the recommended contractors for the Lionshead Transit Welcome Center Packages A, B, C. BACKGROUND: The Town of Vail is in the process of completing Construction Documents (CD's) for the Lionshead Transit Welcome Center ( LHTWC) Project that will replace the existing Lionshead Auxiliary Building. The CD's, also known as the Lionhead Transit Welcome Center Package D, will be complete and publically bid in February, with General Contractor (GC) contract award on March 15th. In order to save 6 weeks in the 2011 construction schedule, proposals for the LHTWC Packages A, B, C were publically solicited. The LHTWC Packages A, B, C, were solicited for Pre - Cast Concrete (A), Elevators (B), and Mechanical Equipment (C). These three packages are for long lead items that will significantly impact the construction schedule if they were to be awarded in mid -March to a General Contractor, with the LHTWC Package D construction documents. The purpose of this Council session is to award three separate contracts for the LHTWC Packages A,B,C to the recommended proposers. The contracts will be awarded to the recommended proposers with a Notice to Proceed on the shop drawings portion of the contract only. By the time the shop drawings are complete and approved in mid - March, Package D, the complete CD package, will have been publically bid and awarded to the recommended General Contractor. At that time the remaining fabrication and construction portion of the Package A, B, C contract will be assigned to the General Contractor for coordination and assimilation into their construction schedule.By awarding these three contracts the LHTWC project construction schedule can be shortened by 6 weeks allowing for an anticipated substantial completion in December of 2011. STAFF RECOMMENDATION: Town Staff recommends directing the Town 2/1/2011 Manager to enter into contracts and award for; - Proposal Package A (Precast) to Stresscon for $710,610.00, with an initial Notice to Proceed in the amount of $45,064.11; - Proposal Package B (Elevators) to Otis for $116,300.00, with an initial Notice to Proceed in the amount of $8,720.00; and not awarding Proposal Package C (Mechanical Equipment) at this time. 9. ITEM /TOPIC: Adjournment (8:35 p.m.) 2/1/2011 ITL1 Oil VAIL TOWN COUNCIL AGENDA MEMO MEETING DATE: February 1, 2011 ITEM /TOPIC: Consent Agenda: (15 min.) 1) Resolution No. 2, Series of 2011, A Resolution Approving an Intergovernmental Agreement Between the Town of Vail and the State Board of the Great Outdoors Colorado Trust Fund for the Red Sandstone Elementary School Playground Improvements Grant; and Setting Forth Details in Regard Thereto.; and 2) Resolution No. 3, Sereis of 2011, A Resolution Approving an Intergovernmental Agreement Between the Town of Vail and Eagle County School District REJ50 for the Red Sandstone Elementary School Playground Improvements; and Setting Forth Details in Regard Thereto. PRESENTER(S): Gregg Barrie ACTION REQUESTED OF COUNCIL: 1) Approve Resolution No. 2, 2011; and 2) Approve Resolution No. 3, 2011; and Authorize the Town Manager to sign and enter into the IGA's with GOCO and Eagle County School District in a form approved by the Town Attorney. ATTACHMENTS: Resolution No. 2, Series of 2011 Resolution No. 3, Series of 2011 2/1/2011 RESOLUTION NO. 2 Series of 2011 A RESOLUTION APPROVING AN INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF VAIL AND THE STATE BOARD OF THE GREAT OUTDOORS COLORADO TRUST FUND FOR THE RED SANDSTONE ELEMENTARY SCHOOL PLAYGROUND IMPROVEMENTS GRANT; 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"); WHEREAS, the members of the Town Council of the Town (the "Council ") have been duly elected and qualified; WHEREAS, the Town owns the property referred to as the Red Sandstone Elementary School playground, (the "Playground "); WHEREAS, the Town has received a grant from the Great Outdoors Colorado Trust Fund ( "GOCO ") for the renovation of the Playground; WHEREAS, the Town and GOCO wish to enter into an Intergovernmental Agreement (the "IGA') outlining the terms and conditions which the Town will fulfill to obtain the grant; WHEREAS, the Council considers it in the interest of the public health, safety and welfare to enter into this IGA; and WHEREAS, the Council's approval of Resolution No. 2, Series 2011, is required to enter into an IGA. NOW THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO THAT: Section L The Council hereby approves and authorizes the Town Manager to enter into the IGA with GOCO for the Red Sandstone School playground renovation, in substantially the same form as attached hereto as Exhibit A and in a form approved by the Town Attorney. Section 2. The Council authorizes the expenditure of funds as necessary to meet the terms and obligations of the IGA. Section 3. This Resolution shall take effect immediately upon its passage. INTRODUCED, PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Vail held this I' day of February, 2011. Richard Cleveland Town Mayor ATTEST: Lorelei Donaldson, Town Clerk Resolution No. 2, Series 2011 2/1/2011 2 -1 -1 GRANT AGREEMENT DATE: 1 -7 -2011 PROJECT: Project Title: Red Sandstone School/Neighborhood Playground Renovation a. Contract Number: 11069 b. Project Location: Completion Date: December 8, 2012 PARTIES TO AGREEMENT: Board: The State Board of the Great Outdoors Colorado Trust Fund Address: 1600 Broadway, Suite 1650 Denver, CO 80202 Telephone: (303) 226 -4500 Facsimile: (303) 863 -7517 Grantee: Town of Vail Address: 75 South Frontage Road Vail, CO 81657 Contact Name: Holly Woods Contact Title: Telephone: 970 - 328 -2755 Facsimile: 970 - 328 -1024 E -mail : holly.woods@eagleschools.net RECITALS A. The State Board of the Great Outdoors Colorado Trust Fund (referred to herein as "GOCO" or the "Board ") is a political subdivision of the State of Colorado, created by Article XXVII of the Colorado Constitution, adopted at the November 1992 General Election, which article appropriates a portion of the net proceeds of the Colorado Lottery to the Board and directs the Board to invest those proceeds in the State's parks, wildlife, open space and recreational resources. B. In 1994, the Board created a statewide grant program, pursuant to which eligible entities could apply for grants for local government parks and outdoor recreation projects to which Grantee responded with a detailed application (the "Project Application "). C. Grantee submitted a Project Application to the Board which contemplates the execution of the project entitled and described above (the "Project "). The parties acknowledge that they have on file a complete copy of the Project Application. 2/1/2011 2 -1 -2 D. The Board approved Grantee's Project Application on December 8, 2010, subject to the execution of a detailed grant agreement, and subject to the terms and conditions set forth herein. The parties intend this agreement to be the detailed final grant agreement required by the Board (the "Agreement"). AGREEMENT NOW, THEREFORE, in consideration of the parties' mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. Incorporation of Recitals The Recitals set forth above are hereby incorporated into the terms of this Agreement. 2. Representations and Warranties of Grantee a. Grantee is a Municipality, duly organized in accordance with the laws of Colorado and has full and lawful authority to enter into, and comply with the terms of, this Agreement. b. Grantee's governing body has authorized entering into this Agreement as evidenced by the resolution attached hereto as Appendix A. C. Grantee does not own the property or properties on which the Project is to be located (the "Property "). Therefore, the agreement attached hereto as Appendix D between Grantee and the Property's owner continues in effect and unmodified throughout the term of this Agreement. 3. Grant and Project Subject to the terms and conditions set forth in this Agreement, the Board hereby awards to Grantee a sum not to exceed $161,203.00 (the "Grant "). The Grant shall be used by Grantee solely to complete the Project, in substantial conformity with the final plans, specifications, designs and uses approved by the Board. 4. PrOiect Scope Grantee shall not materially modify the Project or the Project budget (attached hereto as Appendix B, the "Budget ") without the prior written approval of the Executive Director of GOCO ( "Executive Director") or the Executive Director's designee, such approval to be in GOCO's sole discretion. Any material modification to the Project undertaken without GOCO's prior written consent may be deemed a breach of this Agreement by GOCO, entitling GOCO to all remedies available under this Agreement. If Grantee determines with reasonable probability that the Project will not or cannot be completed as reflected in the Project Application, Grantee will promptly so advise the Board, and cooperate in good faith to seek a resolution before any further funds are advanced. 5. Grantee Efforts Grantee shall complete the Project in a timely fashion, in a good and workmanlike manner, and consistent with this Agreement and GOCO's approvals related to the Project. 2 2/1/2011 2 -1 -3 6. Completion Date Grantee shall complete the Project and submit its Final Report no later than December 8, 2012 (the "Completion Date ") which is two calendar years after the Board's approval of the Project. Grantee may request an extension of the Completion Date in compliance with GOCO's Overdue Grants Policy, a summary of which is attached as Appendix C ( "Overdue Grants Policy "). If Grantee determines with reasonable probability that the Project will not or cannot be completed by the Completion Date or any extended completion date, Grantee will promptly so advise the Board, and cooperate in good faith to seek a resolution before any further funds are advanced. 7. Matching Funds Grantee shall obtain the matching cash and in -kind contributions for the Project as reflected in the Budget and as required by GOCO policy, and shall provide such evidence of the same as GOCO may require in its discretion from time -to -time. 8. Disbursement of Funds. a. Advance Payment: If Grantee opts to receive a portion of the Grant funds prior to beginning work on the Project (an "Advance Payment ''), Grantee shall provide GOCO with a copy of the fully- executed contract or contracts under which a substantial portion of the Project will be completed. Such contract or contracts shall show the work and the cost of the work to be completed. GOCO may, in its discretion, request additional documentation to support making an Advance Payment. An Advance Payment for Local Park and Outdoor Recreation Grants shall not exceed 70% of the funds contracted for the Project or 50% of the Grant, whichever is less. An Advance Payment for Mini Grants shall not exceed 75% of the funds contracted for the Project or 50% of the Grant, whichever is less. An Advance Payment shall be considered a loan until the Project is complete and Final Payment (as defined below) has been made. If Grantee opts to receive an Advance Payment, it may not receive a Progress Payment (as defined below). b. Progress Payment: If Grantee has opted to forego an Advance Payment and has opted to receive a portion of the Grant funds after starting but prior to completing work on the Project (a "Progress Payment "), Grantee shall provide GOCO with a progress report detailing expenditures and progress made to date ( "Progress Report"). The Progress Report must be submitted using GOCO's Progress Report form (available at www.goco.org or by contacting GOCO). GOCO may, in its discretion, request additional documentation to support making a Progress Payment. A Progress Payment for Local Park and Outdoor Recreation Grants shall not exceed 70% of the funds expended to date for the Project or 50% of the Grant, whichever is less. A Progress Payment for Mini Grants shall not exceed 75% of the funds expended to date for the Project or 50% of the Grant, whichever is less. A Progress Payment shall be considered a loan until the Project is complete and Final Payment (as defined below) has been made. If Grantee received an Advance Payment, it may not receive a Progress Payment. C. Final Payment: Once the Project is complete, Grantee shall submit a final report to GOCO detailing the accomplishments of and expenditures related to the Project (the "Final Report"). The Project is "complete" when all facilities, trails or other improvements included in the Project have been built and are ready for their intended use. The Final Report must be submitted using GOCO's Final Report form (available at www.goco.org or by contacting GOCO). GOCO may, in its discretion, request additional documentation before its approval of 3 2/1/2011 2 -1 -4 the contents of the Final Report. Upon GOCO's review and approval of the Final Report, GOCO shall pay the outstanding balance on the Grant (the "Final Payment "), subject to any reductions contemplated by any provision of this Agreement. 9. Conditions for Disbursement of Funds. Except as provided in Paragraph 10 below, the Grant is subject to the following requirements and conditions. a. The Grant and all matching funds shall be used only for the cost of fixed assets, including construction of new facilities, and enlargement or renovation of existing facilities. The Grant and all matching funds may not be used to pay for maintenance costs, administrative costs (such as salaries associated with administering the Grant, office supplies, telephone, or travel expenses), non -fixed assets (such as athletic or maintenance equipment), or any other costs deemed to be ineligible by the Board, at the Board's sole discretion. Notwithstanding the foregoing, matching funds may include up to 50% of the total design, engineering and /or architectural costs. b. Disbursement of Grant funds shall be made on the basis of costs actually incurred by Grantee and supported by written documentation (receipts, bills, etc.). GOCO may, in its discretion, depending on the nature of the Project, require documentation of mechanics lien waivers or waivers of claims to public project performance bonds as a precondition to any disbursement under this Agreement. C. Except as otherwise agreed to in advance by GOCO in accordance with the terms of this Agreement, no material modifications may be made to the Project. Material modifications to the Project to which GOCO has not agreed may result in a reduction in the Grant. "Material modifications" may include, but are not necessarily limited to, a reduction in the total cost of the Project, a reduction in the size or number of recreational development components to be constructed, changes to the nature of the recreational development components to be constructed, or any other variance from the Project as presented in the Project Application. It is the sole responsibility of Grantee to inform GOCO of any such modifications to the Project. GOCO strongly encourages Grantee to contact GOCO in writing when it becomes aware of or wishes to make any such modifications, however seemingly minor, to the Project. 10. Waiver The Executive Director or the Executive Director's designee may in such person's discretion, waive or agree to modify one or more of the obligations in sections 8, 9, and 16 of the Agreement, or may permit performance of one or more of such obligations subsequent to disbursement. 11. Payment of Grant Subject to Sufficient Net Lottery Proceeds Payment of the Grant is subject to GOCO's determination in its sole discretion that it has received and has available sufficient net lottery proceeds to fund the Grant. In determining the sufficiency of net lottery proceeds, GOCO may consider all facts and circumstances as it deems necessary or desirable in its discretion, including, but not limited to, adequate reserves, funding requirements and/or commitments for other past, current and future grants, and past, current and future GOCO operating expenses and budgetary needs. 4 2/1/2011 2 -1 -5 12. Project Operation and Maintenance a. Grantee shall operate, manage, and maintain the Project in a reasonable state of repair for the purposes specified in the Project Application for a period of 25 years from the date of completion of the Project or the useful life of the Project, in accordance with product warranties and /or the generally accepted standards in the parks /recreation community, and provide and maintain access to the Project and to the Property, regardless of the Property's ownership. b. Failure to comply with the provisions of Paragraph 12.a. may be deemed a breach by Grantee under Paragraph 21, below. C. GOCO shall not be liable for any cost of maintenance, management or operation of the Project. d. Within 60 days of a reasonable request by the Board, Grantee will provide the Board with adequate records reflecting the operating and maintenance costs of the Project and provide the Board with such other information concerning the use of the Project by the public and the impact of the Project. 13. Public Access Grantee agrees, for itself and its successors in interest, to allow reasonable public access to the Project for the term specified in Section 12. Grantee may temporarily close such public access for construction, maintenance, emergency situations, or other reasonable purposes. 14. Compliance with Regulatory Requirements and Federal and State Mandates Grantee hereby assumes responsibility for compliance with all regulatory requirements in all applicable areas, including but not limited to nondiscrimination, worker safety, local labor preferences, preferred vendor programs, equal employment opportunity, use of competitive bidding, permits, approvals, and other similar requirements. To the extent permitted by law, Grantee will indemnify and hold the Board harmless from any liability for any failure to comply with any such applicable requirements. 15. Nondiscrimination During the performance of this Agreement, Grantee and its contractors, subcontractors and agents shall not unlawfully discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, physical handicap, medical condition, marital status, age or sex, or any other basis prohibited by local, state or federal law. Grantee and its contractors shall ensure that the evaluation and treatment of their employees and applicants for employment are free of such discrimination. Further, during the performance of this Agreement, Grantee and anyone acting on behalf of Grantee shall not engage in any unlawful discrimination in permitting access and use of the Project. 16. Publicity and Project Information. a. Grantee shall erect and maintain a sign at a prominent location on the Project site acknowledging the assistance of Great Outdoors Colorado and the Colorado Lottery. GOCO 5 2/1/2011 2 -1 -6 will provide such signs at no cost to Grantee. Alternatively, GOCO will provide reproducible samples of its logo to Grantee for custom signs. i. GOCO shall approve in advance the design of any permanent sign materially varying from the signs provided by GOCO. To obtain such approval, Grantee shall submit to GOCO plans describing the number, design, placement, and wording of signs and placards shall be submitted to the Board for review and approval prior to completion of the Project. ii. The Board may withhold Final Payment pending evidence of placement of permanent signage. b. Grantee shall acknowledge Board funding in all publicity issued by it concerning the Project. C. Grantee shall cooperate with the Board or the Board's designee in advance in preparing public information pieces related to the Project. d. Grantee shall give the Board the right and opportunity to use information gained from the Project. e. Grantee shall give the Board a minimum 30 days' notice of Project grand openings, dedications, or other events. f. Grantee shall give timely notice of the Project, its inauguration, significance, and completion to the local members of the Colorado General Assembly, members of the board of county commissioners of the county or counties in which the Project is located, as well as to other appropriate public officials. g. Grantee shall provide quality digital photographs (or printed photographs, if unable to provide digital photographs) of the completed Project with the Final Report. h. At no time shall Grantee represent in any manner to the public or to any party that it is affiliated with GOCO or acting on behalf of GOCO. 17. Liability a. Grantee shall be responsible for, and to the extent permitted by law (including any constitutional or statutory limitations on the ability of a governmental entity to provide indemnification), indemnify, defend and hold harmless the Board, its officers, agents and employees from any and all liabilities, claims, demands, damages or costs (including reasonable legal fees) resulting from, growing out of, or in any way connected with or incident to Grantee's performance of this Agreement. Grantee hereby waives any and all rights to any type of express or implied indemnity or right of contribution from the State of Colorado, the Board, its members, officers, agents or employees, for any liability resulting from, growing out of, or in any way connected with or incident to this Agreement. Grantee acknowledges that Grantee is the owner of the Project and the Property upon which it is located, or has control of the Project and the 6 2/1/2011 2 -1 -7 Property, and that GOCO neither possesses nor controls the Project, the Property, nor the operations of the Project. b. Anything else in this Agreement to the contrary notwithstanding, no term or condition of this Agreement shall be construed or interpreted as a waiver, either express or implied, of any of the immunities, rights, benefits or protection provided to the Board under the Colorado Governmental Immunity Act ( "CGIA ") as amended or as may be amended in the future (including, without limitation, any amendments to such statute, or under any similar statute which is subsequently enacted). This provision may apply to Grantee if Grantee qualifies for protection under the Colorado Governmental Immunity Act, C.R.S. §24 -10 -101 et seq. The Board and Grantee understand and agree that liability for claims for injuries to persons or property arising out of the negligence of the Board, its members, officials, agents and employees may be controlled and/or limited by the provisions of the CGIA. The parties agree that no provision of this Agreement shall be construed in such a manner as to reduce the extent to which the CGIA limits the liability of the Board, its members, officers, agents and employees. 18. Audits and Accounting Grantee shall maintain standard financial accounts, documents, and records relating to the use, management, and operation of the Project. The accounts, documents, and records related to the Project shall be retained by Grantee for not less than five (5) years following the date of disbursement of funds under this Agreement. The Board, or its designated agent, shall have the right, upon reasonable notice to Grantee, to audit the books and records of Grantee which pertain to the Project and to the use and disposition of the Grant. While Grantee is not required to use GAAP (Generally Accepted Accounting Principles), Grantee shall use reasonable and appropriate accounting systems in maintaining the required records hereunder. 19. Inspection Throughout the term of this Agreement, GOCO shall have the right to inspect the Project to ascertain compliance with this Agreement. 20. Withdrawal of Board Funding; Termination of Agreement Anything else in this Agreement or otherwise to the contrary notwithstanding, the Board may withdraw, in whole or in part, the Grant and/or terminate this Agreement, and/or seek a refund of payments already made if the Board determines in its discretion that: a. facts have arisen or situations have occurred that fundamentally alter the expectations of the parties or make the purposes for the Grant as contemplated infeasible or impractical; b. any material modifications in the scope or nature of the Project have occurred from that which was presented in the Project Application and such material modifications have not received the prior written approval of GOCO; C. any statement or representation made by Grantee in the Project Application, this Agreement, the Advance Payment documentation, the Progress Report, the Final Report, or otherwise is untrue, inaccurate or incomplete in any material respect; 7 2/1/2011 2 -1 -8 d. the results of GOCO's review of the Advance Payment documentation, the Progress Report, or the Final Report are not acceptable to GOCO; e. the Project will not or cannot be completed by the Completion Date or any extensions granted thereto or delays in the implementation of the Project have occurred which, in the Board's judgment, make the Project impracticable; f. the Project will not or cannot be completed within the Budget or any approved modifications, or the total Project cost and /or Grantee's matching funding are reduced; g. title to or encumbrances against the Property are or become such that Grantee is unable to complete the Project, or the Project and/or the Property are or become unavailable for public use; h. sufficient net lottery proceeds are not available to fund the Grant. 21. Breach a. In the event that Grantee breaches any of the terms, covenants, representations, or conditions of this Agreement, the Board may elect to enforce any and all remedies available at law or in equity, including without limitation, any of the following: i. Prior to payment of Grant: A. Withdraw the Grant and terminate this Agreement; and, B. Deny Grantee eligibility for participation in future Board grants, loans or projects. ii. After payment (partial or full) of Grant: A. Deny Grantee eligibility for participation in future Board grants, loans or projects; B. Seek specific performance of Grantee's obligations under this Agreement; C. Receive reimbursement in full of disbursement made under the Grant. b. The foregoing remedies are cumulative and may be exercised independently or in combination and are not exclusive to one another or to any other remedies available at law or in equity. In the event GOCO must pursue any remedy hereunder and is the substantially prevailing party, GOCO shall be awarded its costs and reasonable legal fees, including costs of collection. 22. Good Faith There is an obligation of good faith on the part of both parties, including the obligation to make timely communication of information which may reasonably be believed to be material to the other party. 8 2/1/2011 2 -1 -9 23. Assignment Grantee may not assign its rights under this Agreement without the consent of the Board, which consent shall be in the discretion of the Board. Any assignment shall require, at a minimum, that the assignee is eligible to receive grants from the Board and assumes Grantee's ongoing obligations under this Agreement. 24. Applicable Law This Agreement shall be governed by the laws of the State of Colorado and venue for any dispute hereunder shall lie exclusively in the State Courts of the City and County of Denver. 25. No Joint Venture Nothing in this Agreement shall be construed to create a joint venture, partnership, employer /employee or other relationship between the parties hereto other than independent contracting parties. Except as permitted under the remedies provisions hereunder, neither party shall have the express or implied right to act for, on behalf of, or in the name of the other party. 26. Severability If any provision of this Agreement, or the application thereof, is found to be invalid, the remainder of the provisions of this Agreement, or the application of such provision, other than those as to which it is found to be invalid, shall remain in full force and effect. 27. Time is of the Essence. Time is of the essence in this Agreement. 28. Survival. The terms and provisions of this Agreement and the parties' covenants hereunder shall survive the funding of the Grant and the completion of the Project. 29. Fax and Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be an original, but all of which when taken together shall constitute one Agreement. In addition, the parties agree to recognize signatures of this Agreement transmitted by telecopy or e -mail as if they were original signatures. 30. Third Party Beneficiary. The Board and Grantee hereby acknowledge and agree that this Agreement is intended only to cover the relative rights and obligations between the Board and Grantee, and that no third party beneficiaries are intended. 31. Construction. Each party hereto has reviewed and revised (or requested revisions of) this Agreement, and therefore, any usual rules of construction requiring that ambiguities are to be resolved against a particular party shall not be applicable in the construction and interpretation of this Agreement. 32. Waiver The failure of either party to enforce a term hereof shall not be deemed a waiver of such term or right of enforcement as to that breach or any subsequent breach of the same, similar or different nature. No waiver shall be enforceable hereunder unless signed by the party against whom the waiver is sought to be enforced. 9 2/1/2011 2 -1 -10 33. Entire Agreement Except as expressly provided herein, this Agreement constitutes the entire agreement of the parties. No oral understanding or agreement not incorporated in this Agreement shall be binding upon the parties. No changes to this Agreement shall be valid unless made as an amendment to this contract, approved by the Board, and signed by the parties. IN WITNESS WHEREOF, the parties by signature below of their authorized representatives execute this Agreement effective as of the _ day of 2010. STATE BOARD OF THE GREAT GRANTEE: OUTDOORS COLORADO TRUST FUND Town of Vail By: By: Lise Aangeenbrug Name: Executive Director Title: 10 2/1/2011 2 -1 -11 APPENDIX A RESOLUTION 2/1/2011 2 -1 -12 APPENDIX B PROJECT BUDGET (Submit a new budget if the project numbers have changed.) 2/l/2011 2 -1 -13 APPENDIX C SUMMARY OF OVERDUE GRANTS POLICY (For information only - GOCO's full Overdue Grants Policy can be found at www.goco.org) 2/1/2011 2 -1 -14 GREAT OUTDOORS COLORADO Summary of Great Outdoors Colorado Overdue Grants Policy See www.aoco.orst or call 303- 226 -4500 for a complete copy of the Overdue Grants Policy Grant is current and the original due date is applicable. GOCO Staff ( "Staff') will send a letter to the Grantee within 60 days of the project's anticipated due date to remind Grantee that the final report will soon be due. This letter will also remind the Grantee of GOCO's policy for project modifications and project extensions. Failure to complete the project by the original due date, or by any extended due dates authorized by GOCO as discussed below, may result in the de- authorization of the grant by the GOCO Board (`Board "). Also, failure to complete the project by the applicable due date may result in the applicant being suspended from applying in pending or future grant cycles. Grant is current and the original due date is applicable, but the grantee needs to request an extension. If the Grantee needs to extend the original due date of the current project, the Grantee must notify GOCO immediately by submitting a written request to the Executive Director of GOCO ( "Executive Director ") that outlines the specific need for the extension, known as a Request for a Staff Extension. Staff extensions do not exceed 90 days. GOCO Staff have the discretion to grant one 90 -day extension if the request is deemed reasonable and warranted. Staff will notify the Grantee in writing of the decision to grant or deny the request for a staff extension. Failure to submit the Request for a Staff Extension to the Executive Director 30 days prior to the original due date may result in the de- authorization of the grant by the Board. If the Grantee needs an extension of more than 90 days, the Grantee shall forgo the staff extension and apply for a Board extension as discussed below. Grant is current and the Grantee has already received a staff extension and desires further extension by the Board, OR the Grantee elects to forgo the staff extension in favor of seeking a Board extension. If the Grantee needs an extension in addition to the staff extension, or has elected to forgo the staff extension, the Grantee must notify GOCO immediately by submitting a written request to the Executive Director that outlines the specific need for the extension, known as a Request for a Board Extension. The Grantee's Request for a Board Extension will be considered by the Board at its next scheduled meeting. The Board has the sole discretion to grant or deny the requested extension. The grant will not be considered overdue while the request for extension is pending. 2/1/2011 2 -1 -15 Failure to submit the Request for a Board Extension to the Executive Director 30 days prior to the original due date or staff extended due date may result in the de- authorization of the grant by the Board. Grant is overdue; the original due date or extended due date has passed. If the Grantee has not fulfilled the requirements of the GOCO grant award, and has not completed the project by the original due date set forth in the Grant Agreement or by any extended date(s) as approved by GOCO, staff will send a De- authorization Warning letter to the Grantee no later than 60 days after the applicable due date has passed. The De- authorization Warning letter will state that the grant shall be presented to the Board for de- authorization or other appropriate action at the next scheduled Board meeting. The Grantee must respond to the De- authorization Warning letter at least 14 days prior to that Board meeting. The Board has the sole discretion to de- authorize the grant, extend the due date or take any other action it deems appropriate, including but not limited to modifying the terms and conditions of the grant award. Staff will notify the Grantee in writing of the Board's decision. If an extension is not granted, a written Notice of Re- authorization will be sent to the Grantee. Failure to respond to the De- authorization Warning letter will result in an automatic de- authorization of the grant and will result in the applicant being suspended from applying in pending or future grant cycles. 2/1/2011 2 -1 -16 APPENDIX D INTERGOVERNMENTAL (or other) AGREEMENT (If applicable.) 2/1/2011 2 -1 -17 INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF VAIL AND EAGLE COUNTY SCHOOL DISTRICT RE50J This Agreement made this day of , 2011, by and between the Town of Vail, a municipal corporation (the "Town ") a Colorado municipal corporation, 75 South Frontage Road, Vail, Colorado 81657, ( "the Town ") and Eagle County School District RE50J (the "District "); Witnesseth: WHEREAS, the Town has applied for and received a grant from Great Outdoors Colorado, (GOCO) for the Red Sandstone Elementary School Playground Improvements; WHEREAS, the District is an ineligible recipient of the grant and the parties intend by this agreement for the Town to be the conduit through which the District will receive the benefit of the grant; WHEREAS, the Grant Agreement (the "Grant ") between the Town and GOCO is attached to this agreement as Exhibit "A " ; WHEREAS, the District intends to bind itself to the Town for all of the Town's obligations stated in the Grant; and WHEREAS, this Intergovernmental Agreement is authorized pursuant to Sections 29 -1 -201 and 30 -11 -101, Colorado Revised Statutes, as amended, and Article XIV, Section 18, of the Colorado Constitution. Now therefore, in consideration of the mutual promises stated below and other valuable consideration, the parties agree: Agreement 1. The Town shall use its best efforts to fulfill all the conditions precedent to obtain the grant stated in the Grant. The District will cooperate with the Town and provide all documents necessary for the Town to fulfill the conditions precedent. The District further assumes all other Town liabilities, and binds itself to the Town for all the Town's obligations to GOCO, contained in the Grant. Town warrants and represents that it has complied with all requirements stated in the Grant documents and has obtained all necessary consents for the delegation of responsibilities and limited assignment of rights arising under the Grant to enter into this Agreement. 2. The Town does not assume any obligation to the District to construct, operate, or maintain the improvements contemplated by the grant. 3. Unless a claim by GOCO arises out of the negligence or other wrongful act of the Town, the District shall be responsible to the Town for any claim under the Grant, in the same manner and extent as the Town may be responsible to GOCO. 4. The District shall operate and maintain the improvements contemplated by the Grant, in accordance with established District policy for playground maintenance. Should any claim for personal injuries, property damage or wrongful death be asserted as a result of the construction, operation, 2/1/2011 2 -1 -18 maintenance, or use of the improvements contemplated by the Grant, the parties shall be responsible for such claim in the manner provided by the Colorado Governmental Immunity Act and the Colorado law concerning pro -rata liability. The parties shall not be jointly and severally liable for such claims. 5. By executing this agreement the parties do not waive any immunity or limit liability contained in the Colorado Governmental Immunity Act; do not create a multi -year fiscal obligation; and do not create any other financial obligation not supported by a current appropriation. 6. This agreement does not create any rights in any individual not a party to this agreement. 7. This document, and exhibits, shall constitute the entire agreement of the parties. 8. The District hereby grants to the Town a limited license in, and right of entry to, the property described in Exhibit `B" for the purposes stated in the Grant, Exhibit "A ", and for no other purpose. Such license and right of entry shall be exercised only in the event the District has failed to comply with the requirements of the Grant and shall include all rights reasonably necessary, as determined by the Town, for the Town to enter upon the property and perform its obligations to GOCO under the Grant. This right includes the ability of the Town to use its employees, agents or outside contractors. This license and right of entry further includes the right to enter upon the property with any equipment or vehicles. 9. The Town shall disburse the funds to the District according to the requirements stated in Exhibit « 10. This agreement, including the limited right of entry and license, shall terminate simultaneously with the termination of all Town obligations under the Grant. ATTEST: EAGLE COUNTY SCHOOL DISTRICT RE 50J BOARD OF EDUCATION [Title] [Title] ATTEST: TOWN OF VAIL [Title] [Title] 2/1/2011 2 -1 -19 i I 4 I 9 S RESOLUTION NO.3 Series of 2011 i A RESOLUTION APPROVING AN INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF VAIL AND EAGLE COUNTY SCHOOL DISTRICT REJ50 FOR THE RED SANDSTONE ELEMENTARY SCHOOL PLAYGROUND IMPROVEMENTS; AND SETTING a FORTH DETAILS IN REGARD THERETO. j Y 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 "); WHEREAS, the members of the Town Council of the Town (the "Council ") have been duly elected and qualified; WHEREAS, the Town owns the property referred to as the Red Sandstone Elementary School playground, (the "Playground "); WHEREAS, On April 12, 2006, the Town and Eagle County School District RE -50J ( "District ") 6. entered into the Red Sandstone Elementary School Lease. This lease is for a minimum of 30 years; r a WHEREAS, the Town and District additionally have a joint use agreement at the same location with Vail Recreation District (the "VRD ") for a soccer field; WHEREAS, the Town has received a $161,203.00 grant on behalf of the District for the Playground renovation from the Great Outdoors Colorado Trust Fund ( "GOCO "); s WHEREAS, THE Town and the District wish to enter into an Intergovernmental Agreement (the € "IGA ") outlining the terms and conditions which the Town and District will fulfill to obtain the grant; t WHEREAS, the Council considers it in the interest of the public health, safety and welfare to enter into this IGA; and WHEREAS, the Council's approval of Resolution No. 3, Series 2011, is required to enter into an IGA. t ' 1 NOW THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO THAT: g i Section 1. The Council hereby approves and authorizes the Town Manager to enter into the IGA with the District for the Red Sandstone Elementary School playground renovation, in substantially the same form as attached hereto as Exhibit A and in a form approved by the Town Attorney. B Section 2. This Resolution shall take effect immediately upon its passage. t INTRODUCED, PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Vail held this 1 51 day of February, 2011. Richard Cleveland Town Mayor 4 ATTEST: ' Lorelei Donaldson, Town Clerk l Resolution No. 3, Series 2011 i 2/1/2011 '., 2 -2 -1 t F tr t t ' INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF VAIL AND EAGLE COUNTY SCHOOL DISTRICT RE50J This Agreement made this day of 2011, by and between the Town of Vail, a municipal corporation (the "Town ") a Colorado municipal corporation, 75 South Frontage Road, Vail, Colorado 81657, ( "the Town ") and Eagle County School District RE50J (the "District "); i l Witnesseth: f t WHEREAS, the Town has applied for and received a grant from Great Outdoors Colorado, (GOCO) for the Red Sandstone Elementary School Playground Improvements; WHEREAS, the District is an ineligible recipient of the grant and the parties intend by this agreement for the Town to be the conduit through which the District will receive the benefit of the grant; WHEREAS, the Grant Agreement (the "Grant ") between the Town and GOCO is attached to this r agreement as Exhibit "A " ; s: WHEREAS, the District intends to bind itself to the Town for all of the Town's obligations stated in the Grant; and f s WHEREAS, this Intergovernmental Agreement is authorized pursuant to Sections 29 -1 -201 and s 30 -11 -101, Colorado Revised Statutes, as amended, and Article XIV, Section 18, of the Colorado Constitution. i S' Now therefore, in consideration of the mutual promises stated below and other valuable B consideration, the parties agree: i Agreement 1. The Town shall use its best efforts to fulfill all the conditions precedent to obtain the grant stated in the Grant. The District will cooperate with the Town and provide all documents necessary for the Town to fulfill the conditions precedent. The District further assumes all other Town liabilities, and binds k itself to the Town for all the Town's obligations to GOCO, contained in the Grant. Town warrants and represents that it has complied with all requirements stated in the Grant documents and has obtained all necessary consents for the delegation of responsibilities and limited assignment of rights arising under the Grant to enter into this Agreement. i 2. The Town does not assume any obligation to the District to construct, operate, or maintain the improvements contemplated by the grant. r 4 3. Unless a claim by GOCO arises out of the negligence or other wrongful act of the Town, the District shall be responsible to the Town for any claim under the Grant, in the same manner and extent as the Town may be responsible to GOCO. ` 4. The District shall operate and maintain the improvements contemplated by the Grant, in accordance with established District policy for playground maintenance. Should any claim for personal; injuries, property damage or wrongful death be asserted as a result of the construction, operation, v" f F 9 t i 2/1/2n11 6 2 -2 -2 E s d r maintenance, or use of the improvements contemplated by the Grant, the parties shall be responsible for such claim in the manner provided by the Colorado Governmental Immunity Act and the Colorado law concerning pro -rata liability. The parties shall not be jointly and severally liable for such claims. 5. By executing this agreement the parties do not waive any immunity or limit liability contained in the Colorado Governmental Immunity Act; do not create a multi -year fiscal obligation; and do not create any other financial obligation not supported by a current appropriation. 6. This agreement does not create any rights in any individual not a party to this agreement. i 7. This document, and exhibits, shall constitute the entire agreement of the parties. 8. The District hereby grants to the Town a limited license in, and right of entry to, the property described in Exhibit `B" for the purposes stated in the Grant, Exhibit "A ", and for no other purpose. Such license and right of entry shall be exercised only in the event the District has failed to comply with the requirements of the Grant and shall include all rights reasonably necessary, as determined by the Town, for the Town to enter upon the property and perform its obligations to GOCO under the Grant. This right includes the ability of the Town to use its employees, agents or outside contractors. This license and right of entry further includes the right to enter upon the property with any equipment or vehicles. 9. The Town shall disburse the funds to the District according to the requirements stated in Exhibit " i Q 10. This agreement, including the limited right of entry and license, shall terminate simultaneously s with the termination of all Town obligations under the Grant. e 9 ATTEST: EAGLE COUNTY SCHOOL DISTRICT RE 50J k BOARD OF EDUCATION s F [Title] [Title] f s r a ATTEST: TOWN OF VAIL t 4 C q 9 d [Title] [Title] i 3 9 9 i f L t 2/1/2011 2 -2 -3 5 d 4 EXHIBIT "A" i GRANT AGREEMENT DATE: E PROJECT: Project Title: Red Sandstone School/Neighborhood Playground Renovation a. Contract Number: 1.1069 b. Project Location: Completion Date: December 8, 2012 p Z PARTIES TO AGREEMENT: 1 Board: The State Board of the Great Outdoors Colorado Trust Fund Address: 1600 Broadway, Suite 1650 Denver, CO 80202 Telephone: (303) 226 -4500 s Facsimile: (303) 863 -7517 f Grantee: Town of Vail Address: 75 South Frontage Road d Vail, CO 81657 1 k Contact Name: Gregg Barrie 1 Contact Title: Landsape Architect i Telephone: (970) 479 -2337 Facsimile: (970) 479 -2166 F E-mail : GBarrie@vailgov.com k RECITALS i A. The State Board of the Great Outdoors Colorado Trust Fund (referred to herein as "GOCO" or the "Board ") is a political subdivision of the State of Colorado, created by Article XXVII of the Colorado Constitution, adopted at the November 1992 General Election, which article appropriates a portion of the net proceeds of the Colorado Lottery to the Board and directs the Board to invest those proceeds in the State's parks, wildlife, open space and recreational resources. a • B. In 1994, the Board created a statewide grant program, pursuant to which eligible i entities could apply for grants for local government parks and outdoor recreation projects to which Grantee responded with a detailed application (the "Project Application "). C. Grantee submitted a Project Application to the Board which contemplates the 1 E execution of the project entitled and described above (the "Project "). The parties acknowledge E that they have on file a complete copy of the Project Application. r : a i g i g 2/1/2011 S ' 2 -2 -4 i j t 1 ; � 7 I D. The Board approved Grantee's Project Application on December 8, 2010, subject to the execution of a detailed grant agreement, and subject to the terms and conditions set forth herein. The parties intend this agreement to be the detailed final grant agreement required by the r Board (the "Agreement "). $; a AGREEMENT NOW, THEREFORE, in consideration of the parties' mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. Incorporation of Recitals The Recitals set forth above are hereby incorporated into the R terms of this Agreement. j A C 8 2. Representations and Warranties of Grantee a. Grantee is a Municipality, duly organized in accordance with the laws of Colorado and has full and lawful authority to enter into, and comply with the terms of, this Agreement. r b. Grantee's governing body has authorized entering into this Agreement as evidenced by the resolution attached hereto as Appendix A. i t C. Grantee warrants that it has good and sufficient title to the property or properties on f which the Project is to be located (the "Property "). GOCO may require Grantee to provide evidence of its ownership of the Property and encumbrances against the Property satisfactory to GOCO in GOCO's discretion prior to funding. t 3. Grant and Proiect Subject to the terms and conditions set forth in this Agreement, the Board hereby awards to Grantee a sum not to exceed $161,203.00 (the "Grant "). The Grant shall be used by Grantee solely to complete the Project, in substantial conformity with the final plans, specifications, designs and uses approved by the Board. a 4. Proiect Scope Grantee shall not materially modify the Project or the Project budget (attached hereto as Appendix B, the "Budget ") without the prior written approval of the Executive Director of GOCO ( "Executive Director ") or the Executive Director's designee, such approval to be in GOCO's sole discretion. Any material modification to the Project undertaken without GOCO's prior written consent may be deemed a breach of this Agreement by GOCO, entitling GOCO to all remedies available under this Agreement. If Grantee determines with reasonable probability that the Project will not or cannot be completed as reflected in the Project Application, Grantee will promptly so advise the Board, and cooperate in good faith to seek a resolution before any further funds are advanced. 5. Grantee Efforts Grantee shall complete the Project in a timely fashion, in a good and workmanlike manner, and consistent with this Agreement and GOCO's approvals related to the Project. 2 r F 2/1/2011 2 -2 -5 l { 1 1 i l f 6. Completion Date Grantee shall complete the Project and submit its Final Report no later than December 8, 2012 (the "Completion Date ") which is two calendar years after the Board's approval of the Project. Grantee may request an extension of the Completion Date in a compliance with GOCO's Overdue Grants Policy, a summary of which is attached as Appendix 1 C ( "Overdue Grants Policy "). If Grantee determines with reasonable probability that the Project, will not or cannot be completed by the Completion Date or any extended completion date, ( a Grantee will promptly so advise the Board, and cooperate in good faith to seek a resolution before any further funds are advanced. 7. Matehine Funds Grantee shall obtain the matching cash and in -kind contributions for I the Project as reflected in the Budget and as required by GOCO policy, and shall provide such ! s evidence of the same as GOCO may require in its discretion from time -to -time. i i 8. Disbursement of Funds. R a a. Advance Payment: If Grantee opts to receive a portion of the Grant funds prior to ' i beginning work on the Project (an "Advance Payment "), Grantee shall provide GOCO with a copy of the fully- executed contract or contracts under which a substantial portion of the Project will be completed. Such contract or contracts shall show the work and the cost of the work to be completed. GOCO may, in its discretion, request additional documentation to support making an Advance Payment. An Advance Payment for Local Park and Outdoor Recreation Grants shall Q not exceed 70% of the funds contracted for the Project or 50% of the Grant, whichever is less. An Advance Payment for Mini Grants shall not exceed 75% of the funds contracted for the Project or 50% of the Grant, whichever is less. An Advance Payment shall be considered a loan 1 until the Project is complete and Final Payment (as defined below) has been made. If Grantee ?, opts to receive an Advance Payment, it may not receive a Progress Payment (as defined below). E b. Progress Payment: If Grantee has opted to forego an Advance Payment and has opted to receive a portion of the Grant funds after starting but prior to completing work on the Project (a i "Progress Payment "), Grantee shall provide GOCO with a progress report detailing expenditures' and progress made to date ( "Progress Report"). The Progress Report must be submitted using GOCO's Progress Report form (available at www.goco.org or by contacting GOCO). GOCO may, in its discretion, request additional documentation to support making a Progress Payment. A Progress Payment for Local Park and Outdoor Recreation Grants shall not exceed 70% of the funds expended to date for the Project or 50% of the Grant, whichever is less. A Progress Payment for Mini Grants shall not exceed 75% of the funds expended to date for the Project or 50% of the Grant, whichever is less. A Progress Payment shall be considered a loan until the Project is complete and Final Payment (as defined below) has been made. If Grantee received an Advance Payment, it may not receive a Progress Payment. 1 C. Final Payment: Once the Project is complete, Grantee shall submit a final report to I GOCO detailing the accomplishments of and expenditures related to the Project (the "Final p Report"). The Project is "complete" when all facilities, trails or other improvements included in the Project have been built and are ready for their intended use. The Final Report must be submitted using GOCO's Final Report form (available at www.poco.org or by contacting i• 3 'H 2/1/2011 �. l i 2 -2 -6 I l t f l S GOCO). GOCO may, in its discretion, request additional documentation before its approval of the contents of the Final Report. Upon GOCO's review and approval of the Final Report, GOCO I shall pay the outstanding balance on the Grant (the "Final Payment "), subject to any reductions f 4 contemplated by any provision of this Agreement. 9. Conditions for Disbursement of Funds. Except as provided in Paragraph 10 below, the Grant is subject to the following requirements and conditions. ! ! a. The Grant and all matching funds shall be used only for the cost of fixed assets, including construction of new facilities, and enlargement or renovation of existing facilities. The Grant 1 and all matching funds may not be used to pay for maintenance costs, administrative costs (such j as salaries associated with administering the Grant, office supplies, telephone, or travel f expenses), non -fixed assets (such as athletic or maintenance equipment), or any other costs r deemed to be ineligible by the Board, at the Board's sole discretion. Notwithstanding the foregoing, matching funds may include up to 50% of the total design, engineering and/or architectural costs. l � a b. Disbursement of Grant funds shal I be made on the basis of costs actually incurred by Grantee and supported by written documentation (receipts, bills, etc.). GOCO may, in its discretion, depending on the nature of the Project, require documentation of mechanics lien waivers or waivers of claims to public project performance bonds as a precondition to any E: disbursement under this Agreement. C. Except as otherwise agreed to in advance by GOCO in accordance with the terms of this Agreement, no material modifications may be made to the Project. Material modifications to the Project to which GOCO has not agreed may result in a reduction in the Grant. "Material modifications" may include, but are not necessarily limited to, a reduction in the total cost of the Project, a reduction in the size or number of recreational development components to be constructed, changes to the nature of the recreational development components to be constructed, r or any other variance from the Project as presented in the Project Application. It is the sole responsibility of Grantee to inform GOCO of any such modifications to the Project. GOCO strongly encourages Grantee to contact GOCO in writing when it becomes aware of or wishes to make any such modifications, however seemingly minor, to the Project. 10. Waiver The Executive Director or the Executive Director's designee may in such person's discretion, waive or agree to modify one or more of the obligations in sections 8, 9, and +. 16 of the Agreement, or may permit performance of one or more of such obligations subsequent to disbursement. i 11. Payment of Grant Subject to Sufficient Net Lottery Proceeds Payment of the Grant is subject to GOCO's determination in its sole discretion that it has received and has available sufficient net lottery proceeds to fund the Grant. In determining the sufficiency of net lottery proceeds, GOCO may consider all facts and circumstances as it deems necessary or desirable in t its discretion, including, but not limited to, adequate reserves, funding requirements and/or commitments for other past, current and future grants, and past, current and future GOCO operating expenses and budgetary needs. ! r a f ] y:. { l 4 i tr q 2/1/2011 2 -2 -7 l 1 F 4 I a ' f t } 12. Project Operation and Maintenance a. Grantee shall operate, manage, and maintain the Project in a reasonable state of repair for the purposes specified in the Project Application for a period of 25 years from the date of completion of the Project or the useful life of the Project, in accordance with product warranties and/or the generally accepted standards in the parks/recreation community, and provide and maintain access to the Project and to the Property, regardless of the Property's ownership. F r I b. Failure to comply with the provisions of Paragraph 12.a. may be deemed a breach by Grantee under Paragraph 21, below. C. GOCO shall not be liable for any cost of maintenance, management or operation of the g Project. } d. Within 60 days of a reasonable request by the Board, Grantee will provide the Board with adequate records reflecting the operating and maintenance costs of the Project and provide the Board with such other information concerning the use of the Project by the public and the impact of the Project. 13. Public Access Grantee agrees, for itself and its successors in interest, to allow z reasonable public access to the Project for the term specified in Section 12. Grantee may temporarily close such public access for construction, maintenance, emergency situations, or other reasonable purposes. 14. Compliance with Reaulatory Requirements and Federal and State Mandates Grantee hereby assumes responsibility for compliance with all regulatory requirements in all applicable areas, including but not limited to nondiscrimination, worker safety, local labor preferences, preferred vendor programs, equal employment opportunity, use of competitive p bidding, permits, approvals, and other similar requirements. To the extent permitted by law, Grantee will indemnify and hold the Board harmless from any liability for any failure to comply F with any such applicable requirements. 15. Nondiscrimination During the performance of this Agreement, Grantee and its contractors, subcontractors and agents shall not unlawfully discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, physical t handicap, medical condition, marital status, age or sex, or any other basis prohibited by local, state or federal law. Grantee and its contractors shall ensure that the evaluation and treatment of their employees and applicants for employment are free of such discrimination. Further, during the performance of this Agreement, Grantee and anyone acting on behalf of Grantee shall not engage in any unlawful discrimination in permitting access and use of the Project. k 16. Publicity and Project Information. i t a. Grantee shall erect and maintain a sign at a prominent location on the Project site acknowledging the assistance of Great Outdoors Colorado and the Colorado Lottery. GOCO r. t 5 i� i 2/1/2011 2 -2 -s f E I r y I r will provide such signs at no cost to Grantee. Alternatively, GOCO will provide reproducible samples of its logo to Grantee for custom signs. ; i i. GOCO shall approve in advance the design of any permanent sign materially i k varying from the signs provided by GOCO. To obtain such approval, Grantee shall submit to GOCO plans describing the number, design, placement, and wording of signs and placards shall he submitted to the Board for review and approval prior to completion of the Project. r ii. The Board may withhold Final Payment pending evidence of placement of permanent signage. i b. Grantee shall acknowledge Board funding in all publicity issued by it concerning the Project. f k C. Grantee shall cooperate with the Board or the Board's designee in advance in preparing public information pieces related to the Project. t d. Grantee shall give the Board the right and opportunity to use information gained from the Project. e. Grantee shall give the Board a minimum 30 days' notice of Project grand openings, dedications, or other events. f. Grantee shall give timely notice of the Project, its inauguration, significance, and completion to the local members of the Colorado General Assembly, members of the board of county commissioners of the county or counties in which the Project is located, as well as to other appropriate public officials. g. Grantee shall provide quality digital photographs (or printed photographs, if unable to provide digital photographs) of the completed Project with the Final Report. h. At no time shall Grantee represent in any manner to the public or to any party that it is affiliated with GOCO or acting on behalf of LOCO. 17. Liability. a. Grantee shall be responsible for, and to the extent permitted by law (including any constitutional or statutory limitations on the ability of a governmental entity to provide indemnification), indemnify, defend and hold harmless the Board, its officers, agents and employees from any and all liabilities, claims, demands, damages or costs (including reasonable legal fees) resulting from, growing out of, or in any way connected with or incident to Grantee's performance of this Agreement. Grantee hereby waives any and al I rights to any type of express or implied indemnity or right of contribution from the State of Colorado, the Board, its members, officers, agents or employees, for any liability resulting from, growing out of, or in any way connected with or incident to this Agreement. Grantee acknowledges that Grantee is the owner of the Project and the Property upon which it is located, or has control of the Project and the 6 r e 2/1/2011 2 -2 -9 I f i 4 1 f t 8 f Property, and that GOCO neither possesses nor controls the Project, the Property, nor the operations of the Project. i b. Anything else in this Agreement to the contrary notwithstanding, no term or condition of this Agreement shall be construed or interpreted as a waiver, either express or implied, of any of the immunities, rights, benefits or protection provided to the Board under the Colorado Governmental Immunity Act ( "CGIA ") as amended or as may be amended in the future (including, without limitation, any amendments to such statute, or under any similar statute which is subsequently enacted). This provision may apply to Grantee if Grantee qualifies for I; protection under the Colorado Governmental Immunity Act, C.R.S. §24 -10 -101 et seq. The 6 Board and Grantee understand and agree that liability for claims for injuries to persons or property arising out of the negligence of the Board, its members, officials, agents and employees may be controlled and/or limited by the provisions of the CGIA. The parties agree that no I provision of this Agreement shall be construed in such a manner as to reduce the extent to which the CGIA limits the liability of the Board, its members, officers, agents and employees. 18. Audits and Accountine Grantee shall maintain standard financial accounts, documents, and records relating to the use, management, and operation of the Project. The accounts, documents, and records related to the Project shall be retained by Grantee for not less than five (5) years following the date of disbursement of funds under this Agreement. The Board, or its designated agent, shall have the right, upon reasonable notice to Grantee, to audit the books and ; records of Grantee which pertain to the Project and to the use and disposition of the Grant. While Grantee is not required to use GAAP (Generally Accepted Accounting Principles), Grantee shall use reasonable and appropriate accounting systems in maintaining the required records hereunder. 0 19. Inspection Throughout the term of this Agreement, GOCO shall have the right to l inspect the Project to ascertain compliance with this Agreement. 20. Withdrawal of Board Funding; Termination of Agreement Anything else in this Agreement or otherwise to the contrary notwithstanding, the Board may withdraw, in whole or in !' part, the Grant and/or terminate this Agreement, and /or seek a refund of payments already made if the Board determines in its discretion that: !' F a. facts have arisen or situations have occurred that fundamentally alter the expectations of the parties or make the purposes for the Grant as contemplated infeasible or impractical; b. any material modifications in the scope or nature of the Project have occurred from that which was presented in the Project Application and such material modifications have not I , received the prior written approval of GOCO; C. any statement or representation made by Grantee in the Project Application, this Agreement, the Advance Payment documentation, the Progress Report, the Final Report, or i otherwise is untrue, inaccurate or incomplete in any material respect; i i 7 l l 2/1,2011 j 2 -2- 10 { i d. the results of GOCO's review of the Advance Payment documentation, the Progress f Report, or the Final Report are not acceptable to GOCO; e. the Project will not or cannot be completed by the Completion Date or any extensions granted thereto or delays in the implementation of the Project have occurred which, in the i Board's judgment, make the Project impracticable; f. the Project will not or cannot be completed within the Budget or any approved modifications, or the total Project cost and /or Grantee's matching funding are reduced; g. title to or encumbrances against the Property are or become such that Grantee is unable to complete the Project, or the Project and /or the Property are or become unavailable for public use; h. sufficient net lottery proceeds are not available to fund the Grant. 21. Breach f a. In the event that Grantee breaches any of the terms, covenants, representations, or conditions of this Agreement, the Board may elect to enforce any and all remedies available at law or in equity, including without limitation, any of the following: i. Prior to payment of Grant: s A. Withdraw the Grant and terminate this Agreement; and, 8. B. Deny Grantee eligibility for participation in future Board grants, loans or I projects. ii. After payment (partial or full) of Grant: I A. Deny Grantee eligibility for participation in future Board grants, loans or t projects; 1 B. Seek specific performance of Grantee's obligations under this Agreement; i C. Receive reimbursement in full of disbursement made under the Grant. i b. The foregoing remedies are cumulative and may be exercised independently or in combination and are not exclusive to one another or to any other remedies available at law or in equity. In the event GOCO must pursue any remedy hereunder and is the substantially ! prevailing party, GOCO shall be awarded its costs and reasonable legal fees, including costs of collection. 22. Good Faith There is an obligation of good faith on the part of both parties, including the obligation to make timely communication of information which may reasonably be believed: to be material to the other party. s 1 i 2/1/2011 2 -2 -11 I 4 i I 1 23. Assignment Grantee may not assign its rights under this Agreement without the consent of the Board, which consent shall be in the discretion of the Board. Any assignment shall require, at a minimum, that the assignee is eligible to receive grants from the Board and assumes I Grantee's ongoing obligations under this Agreement. { E s 24. Applicable Law This Agreement shall be governed by the laws of the State of Colorado and venue for any dispute hereunder shall lie exclusively in the State Courts of the City and County of Denver. 25. No Joint Venture Nothing in this Agreement shall be construed to create a joint " venture, partnership, employer /employee or other relationship between the parties hereto other than independent contracting parties. Except as permitted under the remedies provisions hereunder, neither party shall have the express or implied right to act for, on behalf of, or in the name of the other party. f E 26. Severability if any provision of this Agreement, or the application thereof, is found to } be invalid, the remainder of the provisions of this Agreement, or the application of such provision, other than those as to which it is found to be invalid, shall remain in full force and effect. a 27. Time is of the Essence. Time is of the essence in this Agreement. 28. Survival. The terms and provisions of this Agreement and the parties' covenants hereunder shall survive the funding of the Grant and the completion of the Project. I 29. Fax and Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be an original, but all of which when taken together shall constitute one Agreement. In addition, the parties agree to recognize signatures of this Agreement transmitted by telecopy or e-mail as if they were original signatures. i i f 30. Third Party Beneficiary. The Board and Grantee hereby acknowledge and agree that 1, this Agreement is intended only to cover the relative rights and obligations between the Board I e and Grantee, and that no third party beneficiaries are intended. i 31. Construction. Each party hereto has reviewed and revised (or requested revisions of) f this Agreement, and therefore, any usual rules of construction requiring that ambiguities are to be l resolved against a particular party shall not be applicable in the construction and interpretation of i this Agreement. i 32. Waiver The failure of either party to enforce a term hereof shall not be deemed a waiver of such term or right of enforcement as to that breach or any subsequent breach of the same, ? j similar or different nature. No waiver shall be enforceable hereunder unless signed by the party against whom the waiver is sought to be enforced. i i i 9 F 2/1/2011 8 l 2 -2- 12 1 i 33. Entire Agreement Except as expressly provided herein, this Agreement constitutes the I entire agreement o the parties. No oral understanding agreement n inc in i s g f p g or agr a of incorporated i this Agreement shall be binding upon the parties. No changes to this Agreement shall be valid unless made as an amendment to this contract, approved by the Board, and signed by the parties. IN WITNESS WHEREOF, the parties by signature below of their authorized representatives I execute this Agreement effective as of the _ day of 2011. t STATE BOARD OF THE GREAT GRANTEE: } OUTDOORS COLORADO TRUST FUND Town of Vail I s By: By: Lise Aangeenbrug Name: '. Executive Director Title: o w s 1 f } t ' FFFflttt�. • E t 5' i L 1 I � t ( s t S: F F i r i t t I 10 i t I � 2/1/2011 2 -2 -13 f r F t f i r s e f � �t a f y � f � } r � � 5 i APPENDIX A RESOLUTION i f 9 f ` q( I g „ 1 1 0: I F I 1 F ( f i t a 1 4 r V { x 2/1/2011 2 -2 -14 \ � � { [ ( } { ( { [ | F [ � ! | � | � ( [ [ ) � [ . [ { } � / � [ ; ( 2 � \ E } 2 / u [ ; � [ 2 � } $ \ � � ■ 'e ! ( z r ( to t � t � � [ � � [ � � F � | [ � ( | ( � [ ! } ( ( [ } ( [ } { . � 2/l/2011 { 2-2- 15 [ f f _ I 1 4 F i g R P t S i 3 ' F � t APPENDIX C f , SUMMARY OF OVERDUE GRANTS POLICY (For information only - GOCO's full Overdue Grants Policy { can be found at www.goco.org) c s i i i i ! 1 r t l ¢ R i 2 R S 2/1/2011 t 2 -2 -16 g i 6 4 S � 4 t F GREAT OUTDOORS ` COLORADO f Summary of Great Outdoors Colorado Overdue Grants Policy See www.goco.orQ or call 303 - 2264500 k for a complete copy of the Overdue Grants Policy Grant is current and the original due date is applicable. 1 GOCO Staff ( "Staff') will send a letter to the Grantee within 60 days of the project's° anticipated due date to remind Grantee that the final report will soon be due. This letter will also remind the Grantee ofGOCO's policy for project modifications and project } extensions. � K Failure to complete the project by the original due date, or by any extended due dates authorized by GOCO as discussed below, may result in the de- authorization of the grant by the GOCO Board ( "Board "). Also, failure to complete the project by the applicable due g date may result in the applicant being suspended from applying in pending or future grant cycles. F r. Grant is current and the original due date is applicable, but the grantee needs to request an extension. If the Grantee needs to extend the original due date of the current project, the Grantee must notify GOCO immediately by submitting a written request to the Executive Director of GOCO ( "Executive Director ") that outlines the specific need for the extension, known as a I 4 Request for a Staff Extension. Staff extensions do not exceed 90 days. GOCO Staff have the discretion to grant one 90 -day extension if the request is deemed reasonable and warranted. Staff will notify the Grantee in writing of the decision to grant or deny the request for a staff extension. i i Failure to submit the Request for a Staff E xtension to the Executive Director 30 days prior to the original due date may result in the de- authorization of the grant by the Board. i If the Grantee needs an extension of more than 90 days, the Grantee shall forgo the staff extension and apply for a Board extension as discussed below. Grant is current and the Grantee has already received a staff extension and desires further extension by the Board, OR the Grantee elects to forgo the staff extension in favor of seeking a Board extension. i r If the Grantee needs an extension in addition to the staff extension, or has elected to forgo t the staff extension, the Grantee must notify GOCO immediately by submitting a written i request to the Executive Director that outlines the specific need for the extension, known as a Request for a Board Extension. The Grantee's Request for a Board Extension will be I considered by the Board at its next scheduled meeting. The Board has the sole discretion to grant or deny the requested extension. The grant will not be considered overdue while the t request for extension is pending. 1 °. F F 2/1/2011 r 2 -2- 17 i 3 � a Failure to submit the Request for a Board Extension to the Executive Director 30 days prior to the original due date or staff extended due date may result in the de- authorization of the grant by the Board. e B l b Grant is overdue; the original due date or extended due date has passed. } g I If the Grantee has not fulfilled the requirements of the GOCO grant award, and has not ? l completed the project by the original due date set forth in the Grant Agreement or by any extended date(s) as approved by GOCO, staff will send a De- authorization Warning letter to the Grantee no later than 60 days after the applicable due date has passed. 4 The De- authorization Warning letter will state that the grant shall be presented to the Board for de- authorization or other appropriate action at the next scheduled Board meeting. The Grantee must respond to the De- authorization Warning letter at least 14 days prior to that Board meeting. The Board has the sole discretion to de- authorize the grant, i extend the due date or take any other action it deems appropriate, including but not limited to modifying the terms and conditions of the grant award. Staff will notify the Grantee in writing of the Board's decision. If an extension is not granted, a written Notice of De- authorization will be sent to the Grantee. 4 t' Failure to respond to the De- authorization Warning letter will result in an automatic de- i authorization of the grant and will result in the applicant being suspended from applying in pending or future grant cycles. a I, l: I t I y. t e. g `6 g 1 i i F.- I [ i g t I f � 1 2/1/2011 2 -2- 18 | | } ! � � ! | { { } | { | ! | ( ! | APPENDIX O | � IN TERGOVERNMENTAL (or otherAGREEMENT | (IlpPka kj ! { | ( } { { { � { ! � � { � ( i ! \ � / ; ( � � ( | } � i | ( � [ : ( . � � [ | [ � { � ( � [ ; E ; ( . / : ( ( { . [ ! . [ 2!%2 11 , { 2 -1 -19 { ITL1 Oil VAIL TOWN COUNCIL AGENDA MEMO MEETING DATE: February 1, 2011 ITEM /TOPIC: Town Manager's Report: (15 min.) Revenue Update - Kathleen Halloran PRESENTER(S): Various ATTACHMENTS: Revenue Highlights 2/1/2011 TOWN OF VAIL REVENUE HIGHLIGHTS January 26, 2011 Sales Tax Upon receipt of all sales tax returns, December collections are expected to be a record $2,953,733 up 19.7% from budget and 15.7% from last year. Year -to- date sales tax collections are up 6.3% from budget and up 4.4% from last year. The ski season (November- December) is up 13.8% from prior year. Inflation as measured by the consumer price index was up 1.5% in December and up 1.6% for all of 2010 compared to 2009. Construction Permit Fee Revenue Construction permit revenue for 2010 totals $695,841, down 12% from 2009, but exceeding budget by 11 %. Major redevelopment projects account for $232,200 compared with $379,211 in 2009 (down 39 %). Revenue from non -major projects is up 12% from 2009. Construction permit revenue through January 26 totals $7235, down 33% from last January. Use Tax Use tax collections for 2010 total $1,112,973 compared with $714,785 at this time last year and a full year budget of $1,050,000. Major redevelopment projects including First Chair, Lodge Tower, and Ramshorn contributed $429,555 or 39% of the total. Collections as of January 26 total $7,575, down 48% from last January. Real Estate Transfer Tax (RETT) With a majority of 2010 transactions recorded, year -to -date RETT collections total $6,961,583, compared with $2,485,854 at this time last year. Approximately $4,218,467, or 61 % was from major redevelopment projects including Arrabelle, Chalets at the Lodge at Vail, Founders' Park Garage, Landmark, Lions Square Lodge North, Manor Vail, Mountain View, Ritz Carlton Residences, Solaris, and The Sebastian. Collections not related to major redevelopment projects total $2,743,116 compared with $1,715,095 through 2009, a 60% increase. January collections total approximately $139,222, a 48% decrease from last January. -1- 2/1/2011 3 -I -I Parking Revenue 2010 Total parking revenue of $5,042,685 exceeded 2009 by 1.3 %, and was up 2.2% from the 2010 budget. This revenue consists of both revenue from pass sales and daily sales from the parking structures: Pass sales for 2010 total $748,735, a 7% increase from full year 2009, and a 2.3% decrease (or $18,000) from the 2010 budget. Daily sales from the parking structures total $4.3 million for 2010, flat with full year 2009, and up 3.0% from budget. Although spring sales lagged behind 2009, they gained momentum this November /December. Season year -to -date (Nov /Dec'10) Pass sales for November /December total $580,106, down 11% compared to November /December 2009. Daily sales for November /December total $895,834, up 21.7% compared to November /December 2009. January, 2011 Pass sales total $55,397, up 5.8% from January 2010. As of January 16, daily sales total approximately $530,145, down 19.6% from this time last year. Summary Across all funds and revenue accounts through November 30, 2010, total revenue of $44.7 million is up 20.4% year -to -date from this time last year and up 8.8% from the budget. -2- 2/1/2011 3 -I -2 ITL1 Oil VAIL TOWN COUNCIL AGENDA MEMO MEETING DATE: February 1, 2011 ITEM /TOPIC: Approval of Legal Service Agreement PRESENTER(S): Matt Mire ACTION REQUESTED OF COUNCIL: Motion to approve the Legal Services Agreement BACKGROUND: The Town Attorney, Matt Mire, is duly appointed by the Town Council (the "Council ") as the Town Attorney as set forth in Section 7.1 of the Town of Vail Charter and has served as the Town Attorney since November 1, 2001. The Town Attorney and the Town are parties to a certain employment contract, dated October 31, 2001 (the "Contract ") which creates terms and conditions of the Town Attorney's employment and establishes the Town Attorney as a full time Town of Vail Employee. The Council and the Town Attorney wish to terminate the Contract, and the Council wishes to retain as the Town Attorney on an hourly basis and pursuant to the terms set forth in the attached Legal Services Agreement (the "Agreement "). ATTACHMENTS: Special Counsel Agreement 2/1/2011 LEGAL SEVICES AGREEMENT THIS AGREEMENT is entered into this day of 2011, by and between James Matthew Mire, attorney at law, ( "Attorney "), and the Town of Vail, Colorado (the "Town "). Attorney and the Town are collectively referred to as the "Parties ". WHEREAS, Attorney is duly appointed by the Town Council (the "Council ") as the Town Attorney as set forth in Section 7.1 of the Town of Vail Charter (the "Charter ") and has served as the Town Attorney since November 1, 2001; WHEREAS, Attorney and the Town are parties to a certain employment contract, dated October 31, 2001 (the "Contract ") which creates terms and conditions of Attorney's employment; WHEREAS, the Parties wish to terminate the Contract, and the Town wishes to retain Attorney as the Town Attorney pursuant to the terms set forth in this agreement (the "Agreement "); and WHEREAS, Attorney wishes to continue to serve as the Town Attorney and to provide legal services for the Town as set forth in this Agreement, and as required by Section 7.1 of the Charter. NOW THEREFORE, in consideration of the mutual promises and conditions herein contained, the Parties covenant and agree as follows: 1. Effective March 12, 2011 the Contract between the Parties is hereby terminated by mutual agreement and Attorney shall continue to serve as the Town Attorney pursuant to the terms and conditions contained herein. 2. Attorney shall act as the Town Attorney for the Town and shall furnish all legal services required by the Town except those that may require specialized legal work as approved by the Council, such as water law, bond law and certain litigation. Attorney will be responsible for legal liaison and coordinating duties with respect to legal specialists as authorized and required by the Town. 3. Attorney shall supply the secretarial and other support staff services necessary to render the services to the Town as required by this Agreement. Attorney shall supply the computers and telephone service necessary to render the services to the Town as required by this Agreement. Law books and /or other items purchased or furnished by the Town for Attorney's use will remain the property of the Town at the end of Attorney's tenure as Attorney for the Town. 4. At all times during the term of this Agreement, Attorney shall maintain professional liability insurance in an amount no less than one million dollars ($1,000,000.00). 5. Attorney is acting as an independent contractor; therefore, the Town will not be responsible for FICA taxes, health or life insurance, vacation, or sick time. The position contracted for herein shall not be a full-time position. 6. Attorney shall provide the following services in relation to the issues identified in Paragraph 2 hereof: a. Attend all meetings of the Vail Town Council, and as directed attend meetings of Town staff and other boards and commissions. 1125111 2/1/2011 Tail Town Attorney 4 -1 -1 b. Provide two (2) full days of office hours per week during weeks there is no regularly scheduled meeting of the Council, and provide one (1) full day of office hours per week during the weeks there is a regularly scheduled Council meeting. All office hours shall be conducted in an office to be provided by the Town at 75 S. Frontage Road, Vail, CO 81657. C. Perform all duties required by ordinances of the Town and by state and federal law. d. Provide timely attention to and advice with regard to compliance with all applicable law. e. As directed, represent the Town in its dealings with others. f. As directed, represent the Town in litigation in which it may be involved. 7. The Town shall compensate Attorney for the legal services described herein at a rate of one hundred eighty -five dollars ($185.00) per hour, not to exceed one hundred ten (I 10) hours per month without the express consent of the Council or the Town Manager. This not to exceed amount shall not constitute a guaranteed minimum amount and Attorney shall only be compensated for actual hours billed and approved by the Town for payment. This not to exceed amount shall not include work for which the Town is reimbursed, nor shall it include "specialized" legal work as described above and as approved by the Council or the Town Manager. Compensation for such legal services is payable monthly following submission of itemized statements to the Town. 8. The Town shall pay, in addition to payment of legal fees, all filing fees, bonds, witness fees, deposition costs, messenger services, long distance telephone charges (for telephone charges incurred during office hours), reproduction costs, postage, computer research costs, and similar expenses incurred by Attorney on behalf of the Town. Such charges and costs shall be separately itemized on billing statements. 9. This Agreement shall become effective upon March 12, 2001, and shall continue for an indefinite term. This Agreement may be terminated at any time at the pleasure of either party, provided, however, that Attorney shall give the Town at least thirty (30) days prior written notice of termination. IN WITNESS WHEREOF, the Parties hereto have set their hands and seals the day and year first above written. TOWN OF VAIL, COLORADO Mayor ATTEST: Town Clerk ATTORNEY J. Matthew Mire 2 112512011 2/1/2011 Vail Town Attorney 4 -1 -2 ITL1 Oil VAIL TOWN COUNCIL AGENDA MEMO MEETING DATE: February 1, 2011 ITEM /TOPIC: A final presentation on the findings of the "Ever Vail Fiscal and Economic Impact Analysis" report, dated January 13, 2011. PRESENTER(S): Andy Knudtsen, Economic and Planning Systems ACTION REQUESTED OF COUNCIL: No action is requested at this time. BACKGROUND: On December 7, 2010 the Vail Town Council heard a presentation by EPS on the findings contained in the "Ever Vail Fiscal and Economic ImpactAnalysis" report, dated November 11, 2010. The final report is in response to the questions raised by the Vail Town Council on the 7th. ATTACHMENTS: EP Report Dated 0 113 11 2/1/2011 Ever V a i l The Econornics Land U se Fiscal Impact Analysis - aL� Prepared for: Town of Vail Prepared by: Economic & Planning Systems, Inc. January 13, 2011 Economic & Planning Systems, Inc. 730 17th Street Suite 630 Denver, CO 80202 -3511 303 623 3557 tel 303 623 9049 fax EPS #20812 Berkeley Sacramento Denver www.epsys. corn Table of Contents 1. INTRODUCTION ..................................................................... ............................... 1 Purpose.................................................................................... ............................... 1 ReportOrganization ................................................................... ............................... 1 Methodology.............................................................................. ..............................3 Fiscal Model Organization ............................................................. ..............................6 2. PROJECT OVERVIEW AND KEY ASSUMPTIONS ................................... ............................... 8 Development Program ................................................................ ............................... 8 KeyAssumptions ..................................................................... ............................... 12 3. FISCAL IMPACTS ................................................................. ............................... 14 Summary of Fiscal Impacts ....................................................... ............................... 14 Existing Site Fiscal Conditions .................................................... ............................... 18 General Fund Impacts .............................................................. ............................... 19 OtherFund Impacts ................................................................. ............................... 25 4. ECONOMIC IMPACTS ............................................................. ............................... 29 Summary of Retail Impacts ....................................................... ............................... 29 Ever Vail Spending Flows .......................................................... ............................... 34 Retail Sales in Ever Vail Businesses ............................................ ............................... 38 5. KEY FINDINGS AND RECOMMENDATIONS ...................................... ............................... 42 List of Tables Table 1 Ever Vail Proposed Development Program ............................ ............................... 8 Table 2 Ever Vail Estimated Market Values ........................................ ..............................9 Table 3 Ever Vail Retail and Commercial Development Program ....... ............................... 10 Table 4 Comparison of Ever Vail Retail Programs ............................ ............................... 11 Table 5 Occupancy Assumptions ................................................... ............................... 12 Table 6 High Scenario Fiscal Impacts ............................................ ............................... 15 Table 7 Low Scenario Fiscal Impacts ............................................. ............................... 16 Table 8 Current General Revenues from Ever Vail Site .................... ............................... 18 Table 9 High Scenario - General Fund Revenues and Expenses ......... ............................... 20 Table 10 Low Scenario - General Fund Revenues and Expenses ......... ............................... 21 Table 11 Summary of Ever Vail Sales Tax ........................................ ............................... 23 Table 12 General Fund One -Time Revenues and Expenses ................ ............................... 24 Table 13 Capital Fund Impacts - High Scenario ................................ ............................... 26 Table 14 Capital Fund Impacts - Low Scenario ................................ ............................... 27 Table 15 RETT, Vail Marketing District, and URA Revenues ................ ............................... 28 Table 16 Summary of Town Retail Sales Flows with Ever Vail ............. ............................... 31 Table 17 Vail Retail Inventory ........................................................ ............................... 33 Table 18 Total Ever Vail Guest Spending Regardless of Location ......... ............................... 35 Table 19 Ever Vail Guest Spending Capture Rates ............................ ............................... 36 Table 20 Ever Vail Guest Spending by Location ................................ ............................... 37 Table 21 Potential Erosion from Existing Business Districts ................ ............................... 39 Table 22 Projected Sources of Sales in Ever Vail Retail ...................... ............................... 40 Table 23 Projected Net Dollar Flows by Business District ................... ............................... 41 List of Figures Figure 1 Ever Vail Guest Spending Patterns .................................... ............................... 30 Figure 2 Net Dollar Flows vs. Existing Retail Sales ........................... ............................... 32 1. INTRODUCTION Purpose Economic & Planning Systems (EPS) was hired by the Town of Vail to conduct a fiscal and economic impact analysis of the proposed Ever Vail development. EPS' scope of work included two major tasks: Fiscal Impact Analysis - The fiscal impact analysis addresses the costs of providing Town services to the project compared to the revenues generated by the project. The fiscal analysis accounts for a range of funds including the General Fund, the Capital Fund, the RETT Fund, the Marketing Fund, and the URA Fund. Economic Impact Analysis - The economic impact analysis addresses the ways in which the project is expected to impact other sectors of the Vail economy and how these impacts can be mitigated. One of the key issues has been cannibalization (sales erosion). To address this issue, the Economic Impact Analysis quantifies retail sales flows by base area, Vail Village, Lionshead, and West Vail. The Economic Impact analysis also addresses other economic and policy issues (more qualitatively) such as the provision and filling of "hot beds," the capability to attract group sales, the ability of the project to fill shoulder seasons, and the economic goal of attracting and retaining jobs in more diverse economic sectors. Report Organization This report provides a comprehensive analysis of the Ever Vail projected impacts. It includes the following chapters: 1. Introduction - Identifies the purpose for the analysis and lists key issues to be evaluated. 2. Project Overview and Key Assumptions - Provides a summary of the project, a summary of how the program has changed, and lists the key assumptions used to determine the fiscal and economic impacts. 3. Fiscal Impacts - Identifies the full range of fiscal revenues and expenditure for five different Town funds. 4. Economic Impacts - Provides a basis for understanding sales flows into and within the Town of Vail. Estimates future sales flows and quantifies cannibalization impacts to existing retail nodes. 5. Recommendations - Lists key findings from this study and isolates key issues that warrant follow up based on this analysis. Economic & Planning Systems, Inc. 1 Ever Vail Fiscal Impact Analysis January 13, 2011 Summary of Previous Material On December 7, 2010, Economic & Planning Systems presented its analysis to the Vail Town Council regarding the fiscal and economic impacts of the proposed Ever Vail development. (Material used in the presentation was dated November 11, 2010.) During the presentation, Council members asked a series of questions. In response, EPS has provided this expanded report to address: • Follow Up Questions - This report provides a more detailed explanation of the methods and assumptions used in the analysis. The report describes the projections for each fund and links the narrative to detailed tables to provide a more incremental approach and an increase in the level of understanding of the models used in the analysis. It also addresses specific issues such as the Lionshead retail sales levels, lift ticket revenue projections, and revenue streams generated by the current improvements. • Revisions - A number of small revisions have been made to address comments and to correct minor errors. The changes show that the project will have a slightly better fiscal and economic impact on the Town than originally projected. None of the changes affect the overall conclusions. These revisions are summarized below. 1. Fiscal Impact Model Overview. The methodology section was revised and expanded to describe the organization of the Fiscal Impact Model and the functions of the various tables. 2. Lionshead food and beverage sales. Lionshead food and beverage sales are approximately $22.2 million, compared to the incorrect figure of $2.9 million shown previously. EPS overlooked a category of sales in the previous version and the model has been corrected. A small change to the erosion and sales flows estimates was required after this change, resulting in a minor difference in the sales flow figures (1.0 percent positive net sales flow versus 0.9 percent in this version). 3. RETT Fund. The figure reported in Tables 6 and 7 of the previous memo reflected the total for RETT from initial developer sales and the recreation impact fee. These two figures are now reported separately to clarify the individual revenue sources to the RETT fund. The ongoing revenues stated previously have not changed. 4. General Fund Expenses. The General Fund expenses under the cumulative scenario declined by $149,000. EPS mistakenly included the right -of -way maintenance cost twice in the cumulative impact. Because costs are now lower, the fiscal benefit is higher. 5. General Fund Revenues. Revenues declined by $44,000 in Phase I and $18,000 in Phase II due to the elimination of the Road and Bridge Property Tax. Since the project is largely within the Lionshead URA, this revenue stream would be part of the increment captured by the URA. 6. A typographical error in Figure 1 (the dollar bill image) was corrected. Economic & Planning Systems, Inc. 2 Ever Vail Fiscal Impact Analysis January 13, 2011 Methodology This section provides an overview of the methodology used to perform the detailed calculations in the Fiscal Impact Model. Fiscal impact analysis (FIA) is a municipal financial planning and community development tool used to evaluate the impacts of land use decisions. It provides order -of- magnitude estimates of the impacts to a Town's ongoing revenues, operations and maintenance costs, and capital expenditures. The FIA can, however, identify specific project impacts to be addressed and mitigated such as extraordinary O &M costs or one -time capital costs triggered by the project. The analysis focuses on the Town's General Fund revenues and expenditures to estimate the net fiscal impact of the project. The General Fund is the major operating fund for the Town. The analysis also estimates the building and construction related revenues, the Real Estate Transfer Tax (RETT), construction use tax, lodging tax, the recreation impact fee, and property tax increment to the URA. The Town has many other smaller revenue sources. Most of these were not analyzed because they do not have a strong nexus to growth and development. In other words, they are determined by contractual agreements or formulas that are not directly linked to new growth and development. Expenditures are not estimated for the RETT, Vail Marketing District, or URA funds because expenditures from these funds are made on a discretionary basis as funds are available, and these expenditures may not be directly related to impacts generated by Ever Vail. Cost and Revenue Methodology The fiscal impact model uses the Town of Vail Budgets and Comprehensive Annual Financial Reports (CAFR) from 2006 -2009 as the basis for estimating revenue and cost factors which are applied to estimate project specific impacts. The analysis compares annual ongoing revenues to ongoing annual expenditures (O &M). One -time capital costs are addressed separately. Two methods are used to estimate costs and revenues: case studies and average cost or revenue multipliers, as described below. Case Studies This refers to a specific calculation of the marginal costs or revenues derived from the Project based on available data. Case studies were developed for revenue sources when refined calculation methods were available. For example, property taxes are calculated from expected market values multiplied by the assessment ratio and then multiplied by the applicable mill rates. Sales tax revenues are calculated from estimated visitor expenditures. Police and fire impacts (calls for service) were estimated by constructing a per -unit comparison of call volume in Lionshead Village. Average Cost or Revenue Multipliers These are cost or revenue measures that are ratios of budget line items to known quantities such as population, housing units, or peak persons served. The variable "peak persons served" is defined as population plus visitors plus one -half of non - resident employees. Half of non - resident employees reflect the impacts of employees who are only present for a portion of a day. This estimating technique is used when more detailed data is not available. Revenues or Economic & Planning Systems, Inc. 3 Ever Vail Fiscal Impact Analysis January 13, 2011 expenditures can be expressed in terms of a cost or revenue per capita, per housing unit, or per peak person served, etc. Some costs and revenues do not increase at the same rate as the Town's growth. For example, general Town administration and government is a relatively fixed cost that does not increase by a one -to -one ratio with new development. The costs to provide other services such as police and fire are more directly tied to the increase in population and persons served generated by new development. To account for cost variability, a percentage adjustment is applied to gross average cost multipliers to reduce them to a net multiplier. One -Time vs, Ongoing Revenues New development generates two types of revenue to the General Fund: annual revenue and one- time revenue. Annual revenue includes property tax, sales tax, and lodging sales tax. One -time revenue includes building permit and plan review fees. Note that other Town Funds, such as Capital, RETT, Marketing, etc., are addressed following the General Fund discussion. Tax Revenues The tax revenues described below are ongoing annual revenues that will occur after the project is constructed and occupied, and will continue for the life of the project. The major ongoing tax revenues analyzed are described below: • Sales and Lodging Tax — The Town allocates about 60 percent of sales tax to the General Fund and 40 percent to the Capital Fund. Within the General Fund, sales tax accounts for 37 percent of all General Fund revenues. Sales tax includes the 4.0 percent general sales tax and the 1.4 percent lodging tax. The 4.0 sales tax applies to both retail sales and overnight lodging sales. The 1.4 percent lodging tax is dedicated to the Vail Marketing District and is not used to fund Town operations. • Property Tax — Property tax is normally a General Fund revenue. However, the Ever Vail project lies within the Lionshead Urban Renewal Area (URA). The URA collects property tax increment revenues in this area for 25 years after the date that the tax base for the URA was established. The tax base for tax increment revenues was established on December 31, 2004. Any new property tax revenue in the URA, including revenues generated by the Ever Vail project, flows to the URA rather than the General Fund until 2030 (December 31, 2029). The URA can use these revenues to fund a variety of functions or capital projects within the U RA. • Ski Lift Tax — This is a 4.0 percent sales tax on lift ticket sales. Lift tax revenue contributes to operating the Town's free bus service. Lift tax is calculated from net new skier visits, rather than the total number of skiers originating in the Ever Vail mountain portal. • Real Estate Transfer Tax (RETT) — This is a 1.0 percent transaction tax on the sale of real property in the Town of Vail. RETT revenues are restricted to the RETT Fund, which is used for parks, recreation, open space, and environmental sustainability. Economic & Planning Systems, Inc. 4 Ever Vail Fiscal Impact Analysis January 13, 2011 Construction Related Revenues Ever Vail will generate several revenue streams during the course of project construction. These are "one- time" revenues in that they will end when the project is built out. The primary concern in the FIA is to ensure that the ongoing revenues will cover the costs of services, as construction - related revenues cannot be relied on if construction stops. However, construction fees and permits are roughly 15 percent of General Fund revenues, and are an important operating revenue source from year -to -year and should be accounted for in the analysis. • Construction Use Tax — The Town's 4.0 percent construction use tax is applied to the cost of materials. The construction use tax is dedicated to the Capital Fund. • Building Permit and Plan Review Fees — The Town charges a building permit fee based on the construction valuation and a plan review fee that is 65 percent of the building permit fee. Permit fees go to the General Fund. • Recreation Impact Fee — The Town charges a $1.00 per square foot recreation impact fee which is allocated to the RETT fund for parks, recreation, open space, and environmental sustainability. • Traffic Impact Fee — The Town has traditionally collected a traffic impact fee that is $6,500 per peak hour trip. It has been included in the analysis, recognizing that in previous project approvals, the Town has accepted public road improvements as a credit against the impact fee. Economic & Planning Systems, Inc. 5 Ever Vail Fiscal Impact Analysis January 13, 2011 Fiscal Model Organization EPS has provided Town staff with a detailed Fiscal Impact Model (a spreadsheet model) that contains all of the calculations and assumptions used in this analysis. Earlier drafts of the Model were also provided to Town Council. This section of the report provides an overview of the Model's organization for reference. The Table of Contents in the Fiscal Model (separate from this report) shows the general organization of the model, with table numbers and descriptions divided into major topic areas described below. The tables referenced in this section refer to the Fiscal Impact Model, not this report. Project Assumptions The development program and basic market assumptions are identified in this section of the Fiscal Model in Tables 1 through 8. Many costs and revenues are based on visitor days generated by the project. The calculation of net new visitor days is shown in Table 5. The project's peak population and visitors are also calculated in Table 6. The monthly occupancies used for calculating skier visits are shown in Table 8. Town Demographics and Budget Analysis This section of the model calculates the cost and revenue multiplier factors used for costs and revenues estimated with the average cost method. Table 9 estimates the total Town peak population. Table 10 is an estimate of second homes (not in the rental pool) used in Table 9. Tables 11 through 14 identify the various cost and revenues in the general fund, the methods used to estimate them (case studies or average cost method), and the resulting average cost and revenue multipliers. Table 15 describes the current sales tax structure in the Town. Revenue Analysis Tables 16 through 22 provide detailed case study estimates of the property tax, lodging tax, RETT, and lift tax revenues. Table 22 estimates the lift tax from only net new skier visits calculated from net new visitor days. Table 22a provides a total estimate of skiers that would originate in the Ever Vail portal, not including day skiers from parking. Cost Analysis Case studies for the major project costs are shown in Tables 23 through 28. These were developed with Town department heads and key staff. The transit impacts identified in Table 28 come from LSC Transportation Consultants. One -Time Fees and Revenues Tables 29 through 32 calculate one -time building and development fees from the development program. Actual fees will vary as more specific construction information becomes available. These revenues occur "one time" in that they only occur during construction. Economic & Planning Systems, Inc. 6 Ever Vail Fiscal Impact Analysis January 13, 2011 Results Tables Tables 33 through 38 combine the case study estimates and average cost /revenue estimates to calculate the annual net fiscal impact to the General Fund, shown in detail in Table 35. Table 36 shows one -time General Fund revenues. Table 37 shows the impact to the Capital Fund. Table 38 shows the impacts to the RETT, Vail Marketing District, and URA funds. Expenditures are not estimated for the RETT, Vail Marketing District, or URA funds because expenditures from these funds are made on a discretionary basis, as funds are available, and these expenditures may not be related to impacts generated by Ever Vail. Economic & Planning Systems, Inc. 7 2. PROJECT OVERVIEW AND KEY ASSUMPTIONS The purpose of this chapter is to summarize the proposed development program, isolate various elements within the program by use to evaluate fiscal impact, and provide assumptions about the functioning of the development that serve as the basis for the modeling. Development Program Residential The development program as proposed is summarized in Table 1. It includes a total of 530 residential units and hotel rooms. The hotel is currently proposed to be 102 rooms. A 76 -unit "branded residence" condominium component would be associated with the hotel brand, management, and guest services. An additional 307 market rate condominiums are proposed, plus 26 deed restricted rental units and 19 deed restricted for -sale condominiums. The for -sale units would be deed restricted to Eagle County residents and full -time local employees. Compared to the earlier submittal, the residential program is largely the same; the major difference is that the hotel has been reduced to 102 rooms from 120 rooms. The retail program has also been scaled back significantly, as will be discussed below. The project was analyzed as a two phase project. The fiscal impact of each phase was modeled as if it were a single standalone project; the fiscal impacts of Phase I and Phase II are reported separately. The cumulative impact of full buildout of both phases was also analyzed. EPS has modeled the east phase as Phase I. Phase I includes the hotel and retail /commercial space. Phase II, the western phase, is almost entirely residential. Table 1 Ever Vail Proposed Development Program Ever Vail Fiscal Impact Analysis Description Phase I Phase II Total East West Development Program Hotel 102 0 102 Branded Residences 76 0 76 Condominiums 158 149 307 Deed Restricted Rental 8 18 26 Deed Restricted For -Sale 12 7 19 Total Units 356 174 530 GRFA 468,067 315,273 783,340 Source: Vail Resorts Development Company, Economic & Planning Systems H'. \20312 Ev, Val 5­1 Mai. J 7812 -fiscal ,Ne11 2- 29 20 1 0,1s�1 -R.v Fl qz Economic & Planning Systems, Inc. 8 Ever Vail Fiscal Impact Analysis January 13, 2011 Market values for the fiscal impact analysis were determined by EPS from research on several recently built and currently for -sale base area projects located throughout the Intermountain West. The market rate components are modeled at an average of $1,200 per square foot, or $1.8 million per unit, as shown in Table 2. The hotel market value is estimated to be $426,000 per room, based on 60 percent occupancy, a $350 per night average daily rate, 50 percent operating expenses, and a 9.0 percent capitalization rate. Vail Resorts Development Company (VRDC) staff has indicated that the deed - restricted for -sale units would be priced at approximately $400,000 per unit. Table 2 Ever Vail Estimated Market Values Ever Vail Fiscal Impact Analysis Description Phase I Phase II Avg. Sq. Ft. Hotel - -- - -- Branded Residences 1,500 1,500 Condominiums 1,500 1,500 Deed Restricted Rental 1,200 1,200 Deed Restricted For -Sale 1,250 1,250 Market Value /Sq. Ft. Hotel - -- - -- Branded Residences $1,200 $1,200 Condominiums $1,200 $1,200 Deed Restricted Rental - -- - -- Deed Restricted For -Sale $325 $325 Market Value /Unit Hotel $426,000 $426,000 Branded Residences $1,800,000 $1,800,000 Condominiums $1,800,000 $1,800,000 Deed Restricted Rental $102,000 $102,000 Deed Restricted For -Sale $406,250 $406,250 Source: Vail Resorts Development Company, Economic & Planning Systems H: \2(E12 Eva' Vad W eF12- 2 &3710x1,p Nktll s —pt.,s Economic & Planning Systems, Inc. 9 Ever Vail Fiscal Impact Analysis January 13, 2011 Retail and Commercial The project is also proposed to contain approximately 123,000 square feet of mixed use retail and commercial space. However, less than half of the space or approximately 53,000 square feet is programmed as retail and food and beverage space. There is an additional 69,500 square feet of conference, meeting, skier services, spa, and office space, as shown in Table 3. The program also proposes additional parking. A total of 1,464 parking spaces will be constructed, 1,025 in Phase I and 439 in Phase II. Approximately 400 of the total count will be public spaces and are anticipated to be used by day skiers during the ski season. The balance fulfills requirements related to retail and residential uses. Table 3 Ever Vail Retail and Commercial Development Program Ever Vail Fiscal Impact Analysis Description Phase I Phase II Total East West Retail and F &B Restaurant 16,090 0 16,090 Nightclub 6,013 0 6,013 Sporting /Apparel 11,118 0 11,118 Spa and Other Leaseable Retail 5,881 0 5,881 Grocer 14,156 0 14,156 Subtotal 53,258 0 53,258 Other Commercial Space Skier Services - Ticketing 2,489 0 2,489 Children's Skier Services 0 12,114 12,114 Spa 9,870 0 9,870 Office 35,395 0 35,395 Meeting Spaces (incl. hotel) 9,663 0 9,663 Subtotal 57,417 12,114 69,531 Totals 110, 6 75 12,114 122,789 Parking Public Spaces 200 200 400 General 825 239 1,064 Total Analyzed 1,025 439 1,464 Source: Vail Resorts & BBC Research, Economic & Planning Systems H: \2B12 E-Va Racal And ps Maleh\ 2)812 -fiscd rnwe412- 29 2J10x1s]^ C­,­ a De✓ Prag Economic & Planning Systems, Inc. 10 Ever Vail Fiscal Impact Analysis January 13, 2011 The applicant has reduced by approximately half the amount of retail proposed in this submittal. The applicant is currently proposing 53,000 square feet of restaurant, spa, and leasable retail space. Earlier versions of the development program contained approximately 100,000 square feet of retail and restaurant space. The current proposal has been downsized, as shown in Table 4. Previously, EPS expressed concerns that the earlier proposal had too much retail space for the location and the size of the bed base proposed. A number of potential impacts to the Town were identified such as vacant retail space and a lack of vitality and potential impacts to the existing retail areas of the Town. The reduction in retail space was an outcome of several discussions and working meetings between Vail Resorts Development Company (VRDC), EPS, BBC Research working as VRDC's consultant, and Town of Vail Staff. A key factor used in these discussions was the amount of retail floor area that could be supported by reasonable assumptions about the expenditure potential from Ever Vail guests and residents. (Based on the immediate adjacency, the "right sizing" also accounted for future expenditure from Ritz Carlton guests.) There is now general agreement that the retail is appropriately sized, the supply reflects appropriate assumptions about demand, and that the resulting area has sufficient ballast to provide a high quality guest experience expected by visitors at a ski area base portal. Table 4 Comparison of Ever Vail Retail Programs Ever Vail Fiscal Impact Analysis Retail Development Current Proposal Previous Proposal Restaurant 16,090 24,000 Nightclub 6,013 6,000 Sporting /Apparel 11,118 36,000 Spa and Other Leaseable Retail 5,881 21,000 Grocer 14,156 13,000 Total 53,258 100,000 Source: Vail Resorts, Economic & Planning Systems H: \20 8112 Eve' Vail Msc21 Analyss \Models\ 20812 - fiscal moc�1 -11 -0 5- 2010.,ds]S heed Economic & Planning Systems, Inc. 11 Ever Vail Fiscal Impact Analysis January 13, 2011 Key Assumptions EPS analyzed the project under "High" and "Low" scenarios to evaluate the project under different performance measures. The High Scenario reflects what EPS believes to be reasonable estimates of performance for a well located high quality base portal development with direct lift access. It was not designed to be an "optimistic" or "aggressive" scenario. It does, however, assume that VRDC will actively market the project, pursue off - season business (group business, meetings, conferences, etc.) to fill hotel rooms and rental condominiums, and motivate owners to participate in a rental program. The "Low" scenario was designed to reflect "average" or "business -as- usual" performance for Vail properties. Occupancy is a key economic and fiscal driver; the occupancy assumptions are shown below in Table 5. In the High Scenario, the hotel is assumed to operate at 60 percent annual occupancy and 50 percent annual occupancy in the Low Scenario. Condominiums are modeled at 40 percent annual occupancy in the High Scenario and at 30 percent in the Low Scenario. Table 5 Occupancy Assumptions Ever Vail Fiscal Impact Analysis Description "High" Scenario "Low" Scenario % In Rental Pool Hotel 100% 100% Branded Residences 75% 65% Condominiums (Free Market) 50% 35% Deed Restricted Rental 0% 0% Deed Restricted For -Sale 0% 0% Annual Occupancy Hotel 60% 50% Branded Residences 45% 40% Condominiums in Rental Pool 40% 30% Second Home Condominiums 20% 20% % of Guests Net New Hotel 70% 60% Branded Residences 70% 60% Condominiums in Rental Pool 50% 40% Second Homes 100% 100% Source: Vail Resorts, Economic & Planning Systems H: \263'12 Eva Vai Fiscal And ysls\MweOg23812 -fiscI male F12- 2 9 2016, I s7She 11 Economic & Planning Systems, Inc. 12 Ever Vail Fiscal Impact Analysis January 13, 2011 The percent of guests that are "net new" to Vail is also estimated. The hotel is assumed to draw 60 to 70 percent net new guests, based on interviews with hospitality consultants and hotel managers. Net new guests are lower for the condominiums, estimated at 40 to 50 percent. All second homeowners are assumed to be new; however, second homes have a fraction of the economic impact of hotel rooms and therefore do not have a large effect in the fiscal impact model. Another key assumption is that costs related to infrastructure internal to the project will be borne by Vail Resorts, not the Town of Vail. It is anticipated that Vail Resorts and the Town will establish a Title 32 Metropolitan District (metro district) for this purpose. At the time of service plan approval, it is recommended that a segregated revenue stream be established to cover operations and maintenance costs (as distinct from debt service for capital improvements) and that it be sized to ensure a level of service commensurate with Town of Vail standards. Finally, it is important to note that the fees included in the model are the best approximation available at this time. Actual fees and requirements applied at time of project approval or at time of building permit may differ, based on a modified development program and /or modified Town standards. Economic & Planning Systems, Inc. 13 3. FISCAL IMPACTS Summary of Fiscal Impacts The following is a summary of the key costs and revenues generated by the project, and the impacts by fund. Detailed results and supporting calculations can be viewed in the Fiscal Model that has been provided to Town Staff. A description of the methodology used and an overview of the Fiscal Model is also provided at the end of this memorandum. 1. At full buildout, the Ever Vail project is estimated to generate a positive fiscal impact to the Town. After accounting for high and low occupancy assumptions, the fiscal impact to the General Fund is estimated at $472,000 to $796,000 annually at full project buildout and stabilization. The higher range of estimated fiscal impacts reflects what EPS believes are reasonable assumptions for the performance of a high quality well performing base area resort project with direct lift access. It also presumes that VRDC will actively market the project to fill hotel beds, attract groups during the off - season, and encourage owners to participate in a rental program. The lower fiscal impact estimate represents more "average" performance for Vail properties, with no special marketing or management strategies designed to maximize "hot beds." The project's actual performance will likely lie somewhere between the low and high estimates. The results of the fiscal impact analysis are summarized in Tables 6 and 7 for the High and Low Scenarios, respectively. 2. The fiscal impacts of both phases of the project are positive. Phase I (east) generates a larger benefit to the Town than Phase II (west) due to higher guest expenditure levels generated by the 102 hotel rooms, 76 branded residences, and 158 condominium units. The hotel is a key economic driver estimated to generate about 25 percent of the visitors and spending from the project under the High Scenario. The branded residences are modeled as performing similarly to the hotel and account for approximately 17 percent of total visitors and expenditures. As noted previously, Phase II does not include hotel rooms or branded residences. Retail sales and sales tax are derived from visitor spending, and Phase I generates more spending that Phase II. The annual net fiscal impact to the General Fund of Phase I by itself is estimated at $300,400 to $518,700. Phase II by itself has a fiscal impact of $100,100 to $205,200 per year. Economic & Planning Systems, Inc. 14 Ever Vail Fiscal Impact Analysis January 13, 2011 Table 6 High Scenario Fiscal Impacts Ever Vail Fiscal Impact Analysis By Phase - Standalone Cumulative Impact by Phase Fund Phase I Phase II Phase I Phases I & II General Fund Revenues $971,500 $412,100 $971,500 $1,383,500 Expenses [1] -$452,800 -$206,900 -$452,800 -$587,85 Net Fiscal Impact $518,700 $205,200 $518,700 $795,650 Capital Fund One -Time Use Tax $9,291,760 $5,103,520 $9,291,760 $14,395,280 Annual Sales Tax $599,800 $258,464 $599,800 $858,232 RETT Fund One -Time Developer Sales $4,261,000 $2,710,000 $4,261,000 $6,971,000 Recreation Impact Fee $ 468.067 $315.273 $468.067 $783.340 Total One -Time Revenue $4,729,067 $3,025,273 $4,729,067 $7,754,340 Annual Resales $192,000 $122,000 $192,000 $314,000 Vail Marketing District 1.4% Lodging Tax (Annual) $366,000 $168,000 $366,000 $534,000 Urban Renewal Authority General Fund Property Tax to URA [2] $258,000 $104,000 $258,000 $362,000 Other Taxing Entities Tax Increment $2,280,000 $919,000 $2,280,000 $3 0 Total Property Tax Increment $2,538,000 $1,023,000 $2,538,000 $3,561,000 [1] Expenses by phase do not add to the cumulative impacts ofthe entire project. Police is not estimated to need additional staff to serve individual phase< but would need an estimated 1 officer to serve the project if both phases are built. Fire is estimated to need an additional staff person to serve Phase I which will also cover Phase 11. [2] The project is Ia gelywithin the Uonshead URA This revenue reverts to General Fund after URA expires in 2030. Source: Economic& Planning Systems H: \28812 Ever Vail Fl gal Matysls\M Itl \[ 20812 -fiscalm el- 12-29- 2010 -]ESA Economic & Planning Systems, Inc. 15 Ever Vail Fiscal Impact Analysis January 13, 2011 Table 7 Low Scenario Fiscal Impacts Ever Vail Fiscal Impact Analysis By Phase - Standalone Cumulative Impact by Phase Fund Phase I Phase II Phase I Phases I & II General Fund Revenues $736,000 $298,100 $736,000 $1,034,000 Expenses [1] - $435,600 - $198,000 - $435,600 - $561,750 Net Fiscal Impact $300,400 $100,100 $300,400 $472,250 Capital Fund One -Time Use Tax $9,157,200 $5,103,520 $9,157,200 $14,260,720 Annual Sales Tax $457,096 $188,264 $457,096 $645,344 RETT Fund One -Time Developer Sales $4,261,000 $2,710,000 $4,261,000 $6,971,000 Recreation Impact Fee $468,067 $315.273 $468,067 $783.340 Total One -Time Revenue $4,729,067 $3,025,273 $4,729,067 $7,754,340 Annual Resales $192,000 $122.000 $192,000 $314,000 Vail Marketing District 1.4% Lodging Tax (Annual) $294,000 $126,000 $294,000 $420,000 Urban Renewal Authority General Fund Property Tax to URA [2] $248,000 $104,000 $248,000 $352,000 Other Taxing Entities Tax Increment $2,193,000 $919,000 $2,193,000 $3,112,000 Total Property Tax Increment $2,441,000 $1,023,000 $2,441,000 $3,464,000 [1] Expenses by phase do not add to the cumulative impacts of the entire project. Police is not estimated to need additional staff to serve individual phases, but would need an estimated 1 officer to serve the project if both phases are built. Fire is estimated to need an additional staff person to serve Phase I, which will also cover Phase II. [2] The project is largely within the Lionshead URA. This revenue reverts to General Fund after URA expires in 2030. Source: Economic & Planning Systems H'. \2M12E —V.1 H..I Andyda \Morels \12- 29 {a, \[M812ti.d mWW2 -29 -2910 I— x9]ES -1 Economic & Planning Systems, Inc. 16 Ever Vail Fiscal Impact Analysis January 13, 2011 3. Ever Vail is estimated to require additional staff for Police and Fire under the High and Low Scenarios. Police and Fire service demands were estimated by a comparative analysis of call volumes in Lionshead Village completed by EPS and Town staff. At full buildout of both phases, Police is forecasted to need one additional patrol officer at an annual cost of $77,150 plus a one -time training cost of $65,000. By themselves, neither phase triggers the need for an additional police officer. Cumulatively, however, demand for services will require a new position. Based on the forecasted call volume, the Fire Department will need an additional staff person to serve Phase I at an annual cost of $76,600 plus a one -time training and equipment cost of $7,800. 4. The largest impacts on Town services are to the Town's transit system. LSC Transportation Consultants completed a study of the impacts of Ever Vail on the Town's transit system. LSC estimated the need for three new buses at a cost of $600,000 each. The annual operations cost is estimated at $111,300. EPS has allocated the impacts to Phase I, as it generates the most visitor activity. 5. The project is largely within the Lionshead URA. Therefore, the majority of the property tax generated by the project will flow to the URA rather than the General Fund until 2030. At full buildout, the General Fund portion of the property tax increment generated by the project is approximately $360,000 per year. After the URA expires on December 31, 2029, this revenue will revert back to the General Fund, increasing the net fiscal impact by the same amount. The total property tax increment at buildout is approximately $3.5 million per year, based on the structure of the URA which redirects non -Town revenue streams to the URA. These funds can be used by the URA to fund eligible projects. 6. The Ever Vail development will generate substantial one -time revenues from construction use tax and permit fees. The construction use tax from Phase I is estimated at $9.3 million over the course of its construction, contributing to the Town's Capital Fund. The construction of Phase II would produce approximately $5.1 million in use tax. The total impact to the Real Estate Transfer Tax (RETT) fund for Phase I is $4.7 million, including $4.3 million in RETT from initial developer sales and $468,000 from the Recreation Impact Fee. Phase II would generate $2.7 million in RETT from initial sales and approximately $315,000 from the impact fee for a total of $3.0 million. The RETT fund is used for park, open space, and sustainability projects. Permit and plan check fees are estimated at $3.1 million for Phase I and $1.7 million for Phase II. Permit and plan check fees are one -time revenues that contribute to the cost of development revue. Since they are one -time revenues during construction, they are not counted in the annual fiscal impact to the General Fund which reflects the project at buildout and stabilization. Economic & Planning Systems, Inc. 17 Ever Vail Fiscal Impact Analysis January 13, 2011 Existing Site Fiscal Conditions How much revenue does the site generate currently? The Ever Vail site has a variety of existing uses and structures on it, including the 20,000 square foot Vail Professional building (largely office), the 11,000 square foot Cascade Crossing retail building, a former gas station, the 11,000 square foot Glen Lyon Office Building, and the Vail Resorts Maintenance Yards. The major existing revenues from the site are $61,900 including $21,540 in retail sales tax to the General Fund, $14,360 in sales tax to the Capital Fund, and $26,000 in property tax. Table 8 Current General Revenues from Ever Vail Site Ever Vail Fiscal Impact Analysis Revenue Existing 4.0% Retail Sales Tax — General Fund $21,540 4.0% Lodging Tax $0 Sales Tax — Capital Fund $14,360 Property Tax - General Fund (4.69 mills) $26,000 Total $61,900 Source: Town of Vail Finance Department: Economic & Planning Systems H: \20812EV Vail Fs IAnalps MaieS1278124i dmWie112- 2&2010.1S]ES -2 B4AI Economic & Planning Systems, Inc. 18 Ever Vail Fiscal Impact Analysis January 13, 2011 General Fund Impacts What are the major revenue sources that will impact the General Fund? What are the significant expenditures that will occur? Ongoing Revenues The largest sources of ongoing General Fund revenues are the 4.0 percent retail sales tax and the 4.0 percent lodging sales tax. The retail sales tax is generated through net new lodging visitor expenditures in Vail retail and food and beverage establishments. The 4.0 percent lodging sales tax is generated through the sale of net new room nights (and is distinct from the 1.4 percent lodging tax dedicated to marketing). Under both scenarios, lodging sales tax is the largest source of revenue from the project and is estimated to be $915,000 per year for the high scenario after buildout of Phase I and Phase II, as shown in Table 9. For the low scenario, this figure is estimated to be $719,000 as shown in Table 10. The cumulative retail sales tax from buildout of both Phases ranges from $250,000 to $372,000. Note that the general fund would not receive any property tax until 2030 (when the URA will sunset) because the project is largely within the Lionshead Urban Renewal Area, which collects the tax increment from new development, as will be discussed below. It should be noted that the revenue from lift tax is modest, at $47,000 annually in the High Scenario. Lift tax revenue shown is calculated from the estimated new skiers (and net new revenue) generated by Ever Vail Lodging. If these skier estimates are included with day visitors using the Ever Vail parking structure as well as Ever Vail guests that are not new to Vail, the total skier generation is approximately 7 percent of total annual skiers. This estimate is consistent with internal Vail Resorts estimates that the portal will accommodate approximately 10 percent of total annual volume. Ongoing Expenses The largest expenses to be generated by the Ever Vail project are expected to be in the Public Works, Transportation, Facility Maintenance, Police, and Fire Departments. Public Works Under Public Works, the maintenance of new landscaped medians, a new roundabout, and a wider road cross section is estimated to cost $149,000 per year. This includes snow removal, seasonal planting and maintenance, and seasonal holiday decorations consistent with what the Town provides at other major entry ways and intersections. Transit and Transportation LSC Transportation Consultants completed a study of the impacts of Ever Vail on the Town's transit system. LSC estimated the need for three new buses at a cost of $600,000 each. The annual operations cost is estimated at $111,300. EPS has allocated the impacts to Phase I, as it generates the most visitor activity. Economic & Planning Systems, Inc. 19 Ever Vail Fiscal Impact Analysis January 13, 2011 The new bus route is estimated to cost $111,300 per year to operate. Annual facility maintenance (wear and tear on public spaces and public facilities) is estimated to increase by $73,800 from the new visitor population generated by Ever Vail. Police and Fire There are also impacts to Police and Fire. The Police Department is projected to need an additional entry -level code enforcement officer after the construction of Phase I and Phase II, at a cost of $77,150 per year. The Fire Department would require a new crew member after the construction of Phase I at a cost of $76,600 per year. One -time training and equipment costs for new hires are not included in these figures but are included in capital expenditures below. Table 9 High Scenario - General Fund Revenues and Expenses Ever Vail Fiscal Impact Analysis By Phase Cumulative Description Phase I Phase II Phase I Phase II Revenue Local Taxes: 4.0% Retail Sales Tax [1] $273,000 $100,000 $273,000 $372,000 4.0% Lodging Sales Tax $627,000 $288,000 $627,000 $915,000 Ski Lift Tax $37,100 $9,900 $37,100 $47,000 Intergovernmental Revenue County Sales Tax $18,000 $6,000 $18,000 $25,000 County Road and Bridge Prop. Tax $0 $0 $0 $0 Cigarette Tax $1,800 $900 $1,800 $2,600 Charges for Services Fines and Forfeitures $7,500 $3,700 $7,500 $11,200 Other Charges, Services, and Sales $7,100 $3,600 $7,100 $10,700 Total Revenue $971,500 $412,100 $971,500 $1,383,500 Expenses Municipal Services: Administrative $33,600 $16,800 $33,600 $50,300 Community Development $33,100 $16,500 $33,100 $49,700 Public Safety Police $0 $0 $0 $77,150 Fire $76,600 $0 $76,600 $76,600 Public Works and Transportation Right -of -Way and Landscaping $149,000 $149,000 $149,000 $149,000 Transportation Operations [2] $111,300 $0 $111,300 $111,300 Facility Maintenance $49,200 $24,600 $49,200 $73,800 Total Expenses $452,800 $206,900 $452,800 $587,850 Net Fiscal Impact $518,700 $205,200 $518,700 $795,650 [1] See attached sales tax and retail sales model. [2] LSC Transportation Consultants July 23, 2010 Memorandum. Source: Economic & Planning Systems H: \263'12 Eva Vail Fiscal A nalyssW ode is \127812Asc2 m�el.x IsP- Gweral_Fund_Expwses Economic & Planning Systems, Inc. 20 Ever Vail Fiscal Impact Analysis January 13, 2011 Table 10 Low Scenario - General Fund Revenues and Expenses Ever Vail Fiscal Impact Analysis By Phase Cumulative Description Phase I Phase II Phase I Phase II Revenue Local Taxes: 4.0% Retail Sales Tax [1] $182,000 $68,000 $182,000 $250,000 4.0% Lodging Sales Tax $504,000 $215,000 $504,000 $719,000 Ski Lift Tax $23,000 $4,200 $23,000 $27,200 Intergovernmental Revenue County Sales Tax $13,000 $4,000 $13,000 $17,000 County Road and Bridge Prop. Tax $0 $0 $0 $0 Cigarette Tax $1,500 $700 $1,500 $2,200 Charges for Services Fines and Forfeitures $6,400 $3,200 $6,400 $9,500 Other Charges, Services, and Sales $6,100 $3,000 $6,100 $9,100 Total Revenue $736,000 $298,100 $736,000 $1,034,000 Expenses Municipal Services: Administrative $28,600 $14,200 $28,600 $42,800 Community Development $28,200 $14,000 $28,200 $42,200 Public Safety Police $0 $0 $0 $77,150 Fire $76,600 $0 $76,600 $76,600 Public Works and Transportation Right -of -Way and Landscaping $149,000 $149,000 $149,000 $149,000 Transportation Operations [2] $111,300 $0 $111,300 $111,300 Facility Maintenance $41,900 $20,800 $41,900 $62,700 Total Expenses $435,600 $198,000 $435,600 $561,750 Net Fiscal Impact $300,400 $100,100 $300,400 $472,250 [1] See attached sales tax and retail sales model. [2] LSC Transportation Consultants July 23, 2010 Memorandum. Source: Economic & Planning Systems H'. \20812 E -V. ,A- y - M12 a-V x %3G E,, Fu id Ex., s Economic & Planning Systems, Inc. 21 Ever Vail Fiscal Impact Analysis January 13, 2011 Net Fiscal Impact to the General Fund What is the "bottom line" impact to the General Fund? How does it change if the project is built in phases? At full buildout, the Ever Vail project is estimated to generate a positive fiscal impact to the Town. After accounting for high and low occupancy assumptions, the fiscal impact to the General Fund is estimated at $472,000 to $796,000 annually at full project buildout and stabilization. The higher range of estimated fiscal impacts reflects what EPS believes are reasonable assumptions for the performance of a high quality, well - performing base area resort project with direct lift access. It also presumes that VRDC will actively market the project to fill hotel beds, attract groups during the off - season, and encourage owners to participate in a rental program. The lower fiscal impact estimate represents more "average" performance for Vail properties, with no special marketing or management strategies designed to maximize "hot beds." The project's actual performance will likely lie somewhere between the low and high estimates. The results of the fiscal impact analysis are summarized in Tables 6 and 7 and Tables 9 and 10 for the High and Low Scenarios, respectively. Impacts by Phase The fiscal impacts of both phases of the project are positive. Phase I (east) generates a larger benefit to the Town than Phase II (west) due to higher guest expenditure levels generated by the 102 hotel rooms, 76 branded residences, and 158 condominium units. The hotel is a key economic driver estimated to generate about 25 percent of the visitors and spending from the project under the High Scenario. The branded residences are modeled as performing similarly to the hotel and account for approximately 17 percent of total visitors and expenditures. As noted previously, Phase II does not include hotel rooms or branded residences. Retail sales and sales tax are derived from visitor spending, and Phase I generates more spending that Phase II. The annual net fiscal impact to the General Fund of Phase I by itself is estimated at $300,400 to $519,000. Phase II by itself has a fiscal impact of $100,100 to $205,200 per year. General Fund Sales Tax Calculations How is sales tax accounted for — is it generated from retail space or visitor expenditures? Sales tax is calculated from the spending by guests staying in Ever Vail lodging, and residents and second home owners living in the project. Guests spend money in Vail businesses, generating sales tax revenue to the Town. Guest spending is calculated from estimates of "net new" visitors discussed previously, rather than counting all guest expenditures as generating sales tax. As will be discussed under the Retail Impacts chapter, 90% of guest spending is estimated to occur in Vail. This results in $16.4 million in new sales in the Town after the buildout of both phases, as shown in Table 11. The remaining 10% of guest spending, or $1.7 million, is estimated to be "leakage" to other Vail Valley communities. Total new guest spending including Economic & Planning Systems, Inc. 22 ITL1 Oil VAIL TOWN COUNCIL AGENDA MEMO MEETING DATE: February 1, 2011 ITEM /TOPIC: Resolution No. 5, Series of 2011, a Resolution authorizing the Town Manager to enter into an agreement with the Vail Village Inn Homeowners Association to fund up to $25,000 of the cost to complete below -grade tunnel improvements necessary to fully implement a dispersed loading and delivery system in the East Meadow Drive neighborhood of Vail Village; and setting forth details in regard thereto PRESENTER(S): George Ruther ACTION REQUESTED OF COUNCIL: Approve, approve with modifications or deny Resolution No. 5, Series of 2011. BACKGROUND: On January 18, 2011, the Vail Town Council instructed staff (6 -1 Clevelend opposed) to prepare a resolution authorizing the Town manager to enter into an agreement with the Vail Vlllage Inn Homeowners Association to fund up to $25,000 of the cost to complete below -grade tunnel improvements necessary to fully implement a dispersed loading and delivery system in the East Meadow Drive neighborhood of Vail Village. Funding of these improvements closes the gap in the financial needs of the project and furthers the Town's goals of creating a pedestrianized mall in Vail Vlllage. STAFF RECOMMENDATION: The completion of the loading and delivery system addresses a number of Town goals and objectives. For instance, a long term solution to an ongoing need for loading and delivery in the East Meadow Drive neighborhood is addressed; the business, resident and guest experience in Vail Village is enhanced; vehicle noise and congestion along East Meadow Drive is reduced and public safety is improved; and the community benefits from the completion of the improvements. For these reasons, staff recommends the Vail Town Council adopts Resolution No.S, Series of 2011, as read. ATTACHMENTS: Resolution No. 5, Series of 2011 2/1/2011 RESOLUTION NO. 5 Series of 2011 A RESOLUTION AUTHORIZING THE TOWN MANAGER TO ENTER INTO AN AGREEMENT WITH THE VAIL VILLAGE INN HOMEOWNERS ASSOCIATION TO FUND UP TO $25,000 OF THE COST TO COMPLETE BELOW -GRADE TUNNEL IMPROVEMENTS NECESSARY TO FULLY IMPLEMENT A DISPERSED LOADING AND DELIVERY SYSTEM IN THE EAST MEADOW DRIVE NEIGHBORHOOD OF VAIL VILLAGE,; 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 Vail Town Council of the Town (the "Council ") have been duly elected and qualified; and WHEREAS, in 1978 the Council passed the Pedestrian Mall Act whereby the goal of pedestrianizing the Vail Village was established; and WHEREAS, the property owners within the Vail Village Inn Phase I & II Condominium Association, Vail Village Inn Phase III Condominium Association, Vail Village Inn Phase V Condominium, and Vail Village Inn Phase IV, Sebastian Hotel (the "VVI ") have asked the Town to participate financially in the completion of a below -grade tunnel improvements (the "Improvements "); and WHEREAS, the VVI will fund approximately $75,000 of the $100,000 total estimated construction cost of the Improvements; and WHEREAS, the construction of the Improvements completes a physical connection critical to the operation of a dispersed loading and delivery facility within the boundaries of the Vail Village Inn Special Development District #6 (the "District "); and WHEREAS, the Town and VVI wish to enter into a contractual agreement that outlines the Town's financial participation; and WHEREAS; the Town agrees to make a financial contribution of up to $25,000 to be used exclusively for the construction of the Improvements; and WHEREAS, the Improvements help to achieve the Town's goal of creating a pedestrianized mall; and WHEREAS; providing a location for loading and delivery in the East Meadow Drive neighborhood furthers a compelling public interest of the Town by reducing noise, congestion, and disturbance on East Meadow Drive and improves public safety; and WHEREAS, the Council considers it in the best interest of the public health, safety and welfare to participate financially in the completion of the Improvements in the District; and WHEREAS, an approval of Resolution No. 5, Series of 2011, is required for the Town Manager to enter into a contractual agreement with the VVI on behalf of the Town. Resolution No. 5, Series of 2011 2/1/2011 6 -1 -1 NOW THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO THAT: 1. The Town Manager is hereby authorized to sign, on behalf of the Town, the Below - Grade Tunnel Improvement Financial Contribution Agreement with VVI in an amount up to $25,000 (twenty -five thousand dollars). The terms of the Agreement shall include the following provisions: • Payment from the Town shall be upon issuance of the building permit for the Improvements. Acceptance of the payment shall obligate the completion of the Improvements by VVI, • The Agreement shall contain an indemnification provision holding the Town harmless from any and all matters relating to the construction and maintenance of the Improvements, • The Town's participation in the Improvements shall be financial only as the Town shall have no obligation in the construction or ongoing maintenance of the Improvements, and • The Agreement shall be in a form approved by the Town Attorney. 2. This resolution shall take effect immediately upon its passage. INTRODUCED, PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Vail held this 1 5t day of February, 2011. Dick Cleveland, Mayor of the Town of Vail, Colorado ATTEST: Lorelei Donaldson, Town Clerk Resolution No. 5, Series of 2011 2/1/2011 6 -1 -2 ITL1 Oil VAIL TOWN COUNCIL AGENDA MEMO MEETING DATE: February 1, 2011 ITEM /TOPIC: First reading of Ordinance No. 3, Series of 2011, an ordinance repealing and reenacting Chapter 7, Contractor, Registration, Title 4, Business License and Registration, Vail Town Code, and setting forth details in regard thereto. PRESENTER(S): George Ruther ACTION REQUESTED OF COUNCIL: Review Ordinance No. 3, Series of 2011, on first reading and approve, approve with modifications, or deny the ordinance. BACKGROUND: The current process for contractor registration is subjective, outdated, time consuming and costly to administer. The process has remained unchanged for more than 33 years. The process needs to be amended. Ordinance No. 3, Series of 2011, aims to solve the problems associated with the current contractor registration process. STAFF RECOMMENDATION: The proposed amendments create a contractor registration process which is objective, eliminates waste, cost effective and relies upon current technology to improve productivity and customer service. Town staff recommends the Town Council approves Ordinance No. 3, Series of 2011, on first reading. ATTACHMENTS: Ordinance No. 3, Series of 2011 2/1/2011 ORDINANCE NO. 3 SERIES OF 2011 AN ORDINANCE REPEALING AND RE- ENACTING CHAPTER 7, CONTRACTOR, REGISTRATION, TITLE 4, BUSINESS LICENSE AND REGISTRATION, VAIL TOWN CODE, AND SETTING FORTH DETAILS IN REGARD THERETO. WHEREAS, the Town of Vail, in the County of Eagle and State of Colorado (the "Town "), is a home rule Town duly existing under the Constitution and laws of the State of Colorado and its home rule charter (the "Charter "), WHEREAS, the members of the Town Council of the Town (the "Council ") have been duly elected and qualified, WHEREAS, the provisions of Chapter 4 -7, Contractors, Registration, Vail Town Code, were adopted in 1977 and last updated in 1978; more than 33 years ago, WHEREAS, the Community Development Department is charged with administering the provisions of the Chapter 4 -7, Contractors, Registration, Vail Town Code, WHEREAS, the intent of these existing regulations is for the Building Official to evaluate every contractor wanting to do construction work in the Town and only issue a contractor's license to those persons who are " qualified by training or experience and is financially responsible to fulfill the obligations of a contractor ", WHEREAS, in practice, the Building Official does not administer a written test or otherwise objectively evaluate a contractor's qualifications based upon training or experience, WHEREAS, the current statutory process for registering contractors is outdated, time - consuming and costly and has room for improvements, WHEREAS, improvements to the process of registering contractors can be improved such that the original intent of the regulations can be maintained and advanced yet the amount of time and cost associated with the process to the contractor and Town can be reduced, and WHEREAS, the Vail Town Council finds it in the interest of the public health, safety, and welfare to adopt these amendments to the Vail Town Code. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO, THAT: SECTION 1 . Chapter 7, Contractors, Registration, Business License and Registration, Vail Town Code, is hereby repealed and re- enacted as follows: 4 -7 -1: DEFINITIONS: For the purposes of this Chapter, the words and phrases contained in this Section are defined as follows: BOARD: The Board of Appeals as defined in the International Building Code, as adopted by the Town. BUILDING CODE: Includes the International Building Code, International Residential Ordinance No. 3, Series of 2011 first reading 1 2/1/2011 7 -1 -1 Code, International Fire Code, International Mechanical Code, International Plumbing Code, International Fuel Gas Code, International Energy Conservation Code, International Performance Code, Uniform Code for the Abatement of Dangerous Buildings, and the National Electrical Code, as adopted by the Town. BUILDING OFFICIAL: The Building Official as defined in the Building Code, as adopted by the Town, or his /her designee. PERMIT: A permit, as prescribed in the Building Code and Town ordinances, granting approval to do construction work in the Town. CONSTRUCTION WORK: Activity including, but not limited to, new construction, additions, repairs, alterations, installations, demolition, removal, conversions, replacements, or renovations of any building or structure, or excavation that requires a permit. CONTRACTOR: Any person, firm, partnership, corporation, association, or other organization who undertakes, or offers to undertake for another, construction work. For the purposes of this Chapter, a contractor may be a general contractor, plumbing contractor, electrical contractor, excavation contractor, fire protection contractor, or a subcontractor. PERSON: An individual, corporation, business, trust, estate, business trust, partnership, or association, or any other legal entity. REGISTRATION: Issued by the Town in accordance with the provisions of this Chapter. PUBLIC WAY PERMIT: Such permit as is prescribed by Title 8, Chapter 1 of this Code. TOWN: Town of Vail, Colorado. 4 -7 -2: CONTRACTOR REGISTRATION: A. Registration Required: All contractors shall be registered under the terms and provisions of this Chapter, prior to undertaking any construction work or contract and /or applying for any type of permit required by applicable State statutes or Town ordinances. B. Exemption to Registration: Any person may make application for a building permit to do such person's own construction work on any dwelling unit that such person occupies whether owned by him /her or leased, without being registered when such work is limited to minor alterations, maintenance, and decorating, providing such work does not alter or affect the structural integrity of the building. C. Registration is Not a License or Certification: The registration of a contractor by the Town neither expresses nor implies any level of qualification, competency, licensing, certification or other assessment of the contractor's ability to complete contracted work. 4 -7 -3: ISSUANCE: A. Forms: Registration forms shall be available at the Community Development Ordinance No. 3, Series of 2011 first reading 2 2/1/2011 7 -1 -2 Department office. B. Registration Information: Registration information shall consist of the business name, name of the principal party /business owner, current mailing address, electronic mail address, and telephone number. Electrical and plumbing contractors shall provide their current registration number with the State of Colorado Department of Regulatory Agencies, Division of Registrations. Fire protection contractors shall provide their Vail Fire and Emergency Services contractor registration number. 4 -7 -4: FEE SCHEDULE: The registration fees applicable to the registrations enumerated in this Chapter shall be as adopted by the Town Council annually and shall be set forth on the schedule of fees maintained in the Community Development Department office. 4 -7 -5: PERIOD OF VALIDITY: The registration of a contractor shall be valid for a maximum of three years and shall expire on April 30 of the expiration year. 4 -7 -6: PROOF OF REGISTRATION All contractors shall provide proof of registration upon request by the Building Official. 4 -7 -7: INSURANCE A. Insurance Required: All contractors shall maintain proof of insurance under the terms and provisions of this Chapter while applying for a permit or undertaking construction work. B. Insurance Types and Amounts: Every contractor granted registration under the provisions of this Chapter shall maintain the following minimum types and amounts of insurance: 1. Employee liability. 2. Worker's compensation. 3. Public liability with the following limits: a. Option 1: one million dollars ($1,000,000.00) in the aggregate, for bodily injury and one million dollars ($1,000,000.00) in the aggregate, for property damage. b. Option 2: combined single limit of one million dollars ($1,000,000.00). C. Excavation Contractors: Excavation contractors shall to have at least twenty five thousand dollars ($25,000.00) worth of "XCU" (explosion, collapse, underground) insurance in addition to the required general liability and worker's compensation insurance. 4 -7 -8: PROOF OF INSURANCE: Ordinance No. 3, Series of 2011 first reading 3 2/1/2011 7 -1 -3 All contractors shall provide proof of insurance upon request by the Building Official. 4 -7 -9: CONTRACTOR RESPONSIBILITY: A contractor shall be responsible for all construction work included in the permit or undertaking whether or not such work is done by such person directly or by a subcontractor. 4 -7 -10: VIOLATION AND PENALTY: A. Violation: It is a violation of this Chapter for any person to violate any provision or to fail to comply with any of the requirements of this Chapter and to commit any of the following acts: 1. Applying for permits or undertaking construction work without a valid registration when required. 2. Failure to provide proof of registration upon request by the Building Official. 3. Fraudulent use of a registration to obtain permits for another person, firm, or corporation. 4. Applying for permits or undertaking construction work not entitled under one's respective registration. 5. Failure to obtain a permit for construction work when required. 6. Failure to obtain inspections for construction work when required. 7. Failure to maintain proof of insurance as required by this Chapter while applying for permits or undertaking construction work. 8. Failure to provide proof of insurance upon request by the Building Official. 9. Failure to maintain construction site grounds and structures in a clean and safe manner, or causing damage to property adjoining the construction site. 10. Any violation of Town ordinances or codes governing construction work. B. Construction Work without a Valid Registration: If the Building Official determines that a person has undertaken construction work without a valid registration as required by this Chapter, said person must register as a contractor and shall pay a fine in an amount equivalent to two times the adopted registration fee. C. Revocation or Suspension of Registration; Nullification of Permits: If the Building Official determines that a person has acted in violation of the provisions of this Chapter the Building Official shall waive, for good cause shown, any penalty; issue a warning; revoke or suspend the registration of said person for whatever time it deems reasonable; and /or nullify any associated permits filed in degradation of this Chapter. D. Remedies Not Exclusive: In addition to the remedies expressly provided by this chapter, the Town may pursue any other remedies available at law or in equity. Ordinance No. 3, Series of 2011 first reading 4 2/1/2011 7 -1 -4 E. Other Penalty: In addition to any other penalty provided in this chapter, any person who violates any provision of this chapter shall be subject penalty as provided in Section 1 -4 -1, General Penalty, of this Code. 4 -7 -11: APPEALS: A. Appeal of Building Official Actions: 1. Authority: The Board of Appeals shall have the authority to hear and decide appeals from any order, decision, determination or interpretation by the Building Official with respect to the provisions of this Chapter. 2. Initiation: An appeal may be initiated by any resident, property owner, or contractor adversely affected by any order, decision, determination or interpretation by the Building Official with respect to the provisions this Chapter. The Town Council may also call up a decision of the Building Official by a majority vote of those town council members present. 3. Procedures: A written notice of appeal must be filed with the Community Development Department within twenty (20) calendar days of Building Official's decision. If the last day for filing an appeal falls on a Saturday, Sunday, or a town observed holiday, the last day for filing an appeal shall be extended to the next business day. In the event of an appeal, the Board of Appeals, after receiving a report by the Building Official, may confirm, reverse, or modify the action of the Building Official. Failure of the Board of Appeals to act within forty (40) days of the filing of an appeal shall be deemed concurrence in the action of the Building Official. The filing of such notice of appeal will require the Building Official to forward to the Board of Appeals at the next regularly scheduled meeting a summary of all records concerning the subject matter of the appeal and to send written notice to the appellant at least fifteen (15) calendar days prior to the hearing. A hearing shall be scheduled to be heard before the Board of Appeals on the appeal within forty (40) calendar days of the appeal being filed. The Board of Appeals may grant a continuance to allow the parties additional time to obtain information. The continuance shall be allowed for a period not to exceed an additional thirty (30) calendar days. Failure to file such appeal shall constitute a waiver of any rights under this chapter to appeal any order, decision, determination or interpretation by the Building Official. 4. Findings: The Board of Appeals shall on all appeals make specific findings of fact based directly on the particular evidence presented to it. These findings of fact must support conclusions that the standards and conditions imposed by the requirements of this Chapter have or have not been met. B. Appeal of Board of Appeals Actions: 1. Authority: The Town Council shall have the authority to hear and decide appeals from any order, decision, determination or interpretation by the Board of Appeals with respect to the provisions of this Chapter. 2. Initiation: An appeal may be initiated by any resident, property owner, or contractor adversely affected by any order, decision, determination or interpretation by the Board of Appeals with respect to the provisions this Ordinance No. 3, Series of 2011 first reading 5 2/1/2011 7 -1 -5 Chapter. The Town Council may also call up a decision of the Board of Appeals by a majority vote of those town council members present. 3. Procedures: A written notice of appeal must be filed with the Community Development Department within twenty (20) calendar days of Board of Appeals decision. If the last day for filing an appeal falls on a Saturday, Sunday, or a town observed holiday, the last day for filing an appeal shall be extended to the next business day. In the event of an appeal, the Council, after receiving a report by the Board of Appeals, may confirm, reverse, or modify the action of the Board of Appeals. Failure of the Council to act within forty (40) days of the filing of an appeal shall be deemed concurrence in the action of the Board of Appeals. The filing of such notice of appeal will require the Board of Appeals to forward to the Town Council at the next regularly scheduled meeting a summary of all records concerning the subject matter of the appeal and to send written notice to the appellant at least fifteen (15) calendar days prior to the hearing. A hearing shall be scheduled to be heard before the Town Council on the appeal within forty (40) calendar days of the appeal being filed. The Town Council may grant a continuance to allow the parties additional time to obtain information. The continuance shall be allowed for a period not to exceed an additional thirty (30) calendar days. Failure to file such appeal shall constitute a waiver of any rights under this chapter to appeal any order, decision, determination or interpretation by the Board of Appeals. 4. Findings: The Town Council shall on all appeals make specific findings of fact based directly on the particular evidence presented to it. These findings of fact must support conclusions that the standards and conditions imposed by the requirements of this Chapter have or have not been met. C. Appeal Of Town Council Actions: The final decision of the Town Council with respect to any appeal pursuant to this chapter may be appealed to an appropriate court pursuant to rule 106(a)(4) of the Colorado Rules of Civil Procedure. The Town of Vail Municipal Court shall not have jurisdiction over such civil action. 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 Vail 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 Vail 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. The Council's finding, determination and declaration is based upon the review of the criteria prescribed by the Town Code of Vail and the evidence and testimony presented in consideration of this ordinance. SECTION 4. The amendment of any provision of the Town Code 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 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. Ordinance No. 3, Series of 2011 first reading 6 2/1/2011 7 -1 -6 SECTION 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 ON FIRST READING, APPROVED, AND ORDERED PUBLISHED ONCE IN FULL ON FIRST READING this 1S day of February, 2011 and a public hearing for second reading of this Ordinance set for the 15 day of February, 2011, at 6:00 p.m. in the Council Chambers of the Vail Municipal Building, Vail, Colorado. Richard D. Cleveland, Mayor ATTEST: Lorelei Donaldson, Town Clerk Ordinance No. 3, Series of 2011 first reading 7 2/1/2011 7 -1 -7 ITL1 Oil VAIL TOWN COUNCIL AGENDA MEMO MEETING DATE: February 1, 2011 ITEM /TOPIC: Lionshead Transit Welcome Center - Packages A (Pre -Cast Concrete), B (Elevators), C (Mechanical Equipment) Contracts Award PRESENTER(S): Tom Kassmel ACTION REQUESTED OF COUNCIL: Award separate Contracts to the recommended contractors for the Lionshead Transit Welcome Center Packages A, B, C. BACKGROUND: The Town of Vail is in the process of completing Construction Documents (CD's) for the Lionshead Transit Welcome Center ( LHTWC) Project that will replace the existing Lionshead Auxiliary Building. The CD's, also known as the Lionhead Transit Welcome Center Package D, will be complete and publically bid in February, with General Contractor (GC) contract award on March 15th. In order to save 6 weeks in the 2011 construction schedule, proposals for the LHTWC Packages A, B, C were publically solicited. The LHTWC Packages A, B, C, were solicited for Pre -Cast Concrete (A), Elevators (B), and Mechanical Equipment (C). These three packages are for long lead items that will significantly impact the construction schedule if they were to be awarded in mid -March to a General Contractor, with the LHTWC Package D construction documents. The purpose of this Council session is to award three separate contracts for the LHTWC Packages A,B,C to the recommended proposers. The contracts will be awarded to the recommended proposers with a Notice to Proceed on the shop drawings portion of the contract only. By the time the shop drawings are complete and approved in mid - March, Package D, the complete CD package, will have been publically bid and awarded to the recommended General Contractor. At that time the remaining fabrication and construction portion of the Package A, B, C contract will be assigned to the General Contractor for coordination and assimilation into their construction schedule.By awarding these three contracts the LHTWC project construction schedule can be shortened by 6 weeks allowing for an anticipated substantial completion in December of 2011. STAFF RECOMMENDATION: Town Staff recommends directing the Town Manager to enter into contracts and award for; - Proposal Package A (Precast) to Stresscon for $710,610.00, with an initial Notice to Proceed in the amount of $45,064.11; - Proposal Package B (Elevators) to Otis for $116,300.00, with an initial Notice to Proceed in the amount of $8,720.00; and not awarding Proposal Package C (Mechanical Equipment) at this time. ATTACHMENTS: LH Transit Welcome Center Contract Award Memo 020111 2/1/2011 r MEMORANDUM TO: Town Council FROM: Tom Kassmel, Public Works Department DATE: February 1, 2011 SUBJECT: Lionshead Transit Welcome Center — Contract Award for Proposal Packages A, B, C. I. SUMMARY The Town of Vail is in the process of completing Construction Documents (CDs) for the Lionshead Transit Welcome Center ( LHTWC) Project that will replace the existing Lionshead Auxiliary Building. The CDs, also known as the Lionhead Transit Welcome Center Bid Package D (Building and Sitework Construction Documents), will be complete in February, with publically received and opened bids on March 8 and General Contractor (GC) contract award on March 15 . In order to save approximately six (6) weeks in the 2011 construction schedule, proposals for the LHTWC Packages A (Precast Structure), B (Elevators), C (Mechanical Equipment) were publically advertised and solicited, and proposals were received on 25 JAN 2011. These three (3) packages are for "long lead" procurement items that also require a significant amount of "shop drawing" preparation, pre- manufacturing preparation and other pre- construction activities. The "long lead" items had the potential of significantly impacting the construction schedule if they were not awarded until mid -March by the selected General Contractor for the LHTWC Package D (Building and Sitework Construction Documents). The purpose of this request to Council at this session is to award three separate contracts for "shop drawing" preparation and other pre- manufacturing preparation activities for the LHTWC Packages A, B, C to the recommended proposers. This will allow approximately six (6) weeks of work by these subcontractors to be completed while the General Contractor candidates are bidding the LHTWC Package D (Building and Sitework Construction Documents), thereby substantially lowering the schedule risk of the project to the Town of Vail. Approval by Council now will also allow notice of the identity of the selected proposers for these early Bid Packages to be included in the Instructions to Bidders for LHTWC Package D (Building and Sitework Construction Documents) to be released on 07 FEB 2011. The candidates for the final bid package will then be able to coordinate their bids with the scopes of work already awarded, leading to complete and seamless quotations for LHTWC Package D (Building and Sitework Construction Documents). Bidders on the final Bid Package D will be instructed that the successful candidate for that final package will be assigned Bid Packages A, B, and C by the Town of Vail prior to construction, and the management, coordination and risk for all manufacturing, material, labor and installation of all work contained therein. When the Town of Vail issues a Notice to Proceed for LHTWC Package D (Building and Sitework Construction Documents), after it has been publically bid, approved by Council, and awarded to the Page 1 of 4 2/1 /2011 8 -1 -1 recommended General Contractor, the remaining fabrication and construction portion of the Package A, B, C will commence under a single contract to the selected General Contractor for coordination and assimilation into their construction schedule. Awarding contracts for Bid Packages A, B, C now will allow the construction of the LHTWC project to be expedited, with the following anticipated milestones: • Start of Construction April 25 t h, 2011 • Completion of Pre -Cast Erection June 30 2011 (prior to July 4th) • Completion of Elevator installation September 30 2011 (well before lifts open) The above milestones for Packages A and B will provide the opportunity for the GC to complete Pre - Cast Erection, a highly impactful process to East Lionshead Circle, prior to the Summer Season; provide the opportunity to have the elevators fully operational prior to opening of ski season in November of 2011; and overall provide the best opportunity to have the entire project substantially complete by mid December 2011. Delaying the award of the above contracts to mid -March with Package D and the GC contract award, will undoubtedly push the erection of the Pre -Cast Structure into July and August, thus creating the bulk of disruption during a key season; most likely delaying substantial completion of the entire project until mid - winter 2012; and potentially delaying the operation of the elevators until after the start of ski season. The Town received a total of seven (7) proposals for Packages A, B, C. Two (2) each from the most qualified firms for both Package A (Precast Structure) and Package B (Elevator) Packages were received, and three (3) for Package C (Mechanical Equipment) were submitted. All proposers on both Bid Packages A (Precast) and B (Elevators), in a competitive environment, confirmed the projections of the "long lead" schedule, impact on the overall project, and the wisdom awarding now to start procurement. The respondents to Bid Package C (Mechanical Equipment) indicated their procurement schedule was well within what could be absorbed within the schedule requirements of a standard process (without pre - purchasing these items). The following is a summary breakdown of the responsive proposals: Page 2 of 4 2/1/2011 8 -1 -2 Preconstruction & Proposer Base Proposal "Shop" Drawings Only Comments With Alternates (included wBase Proposal Package A — Pre Cast Concrete Stresscon $ 710,610.00 $ 45,064.11 Award Recommended Rock Mountain Prestress $ 987,853.00 $ 125,000.00 Package B — Elevators Otis Elevators $ 116,300.00 $ 8,720.00 Award Recommended Thyssen Krupp $ 153,558.00 $ Not Provided Package C — Mechanical R &H Mechanical $ 63,400.00 $ 0.00 Based on better than TM Sales $ 101,655.69 $ 0.00 expected schedule turnarounds, no award Design Mechanical $ 806,941.00 $ 0.00 requested. Total Authorization No manufacturing, Requested this Session 54,324.11 shipping or installation will be authorized now Please note the following about the above proposal analysis: 1. All awards recommended above are under the Town of Vail's budget for the scope of work shown. 2. The alternates referenced are for Performance & Payment Bond, and meeting the schedule requirements. 3. All proposers will be contractually required to hold their prices during preconstruction services and assignment to the selected General Contractor. 4. The above proposals for Bid Packages A (Precast) & B (Elevator) are equal comparisons. 5. Package C was interpreted differently among the three proposers, as evident in the proposal costs: A. Design Mechanical Inc. stated they determined the best proposal would be to propose on the entire mechanical package based on the provided drawings instead of proposing just on furnishing the boiler as requested. B. TM Sales proposed furnishing the boiler plus additional appurtenances; and C. R &H proposed furnishing the boiler only, as requested in the RFP. D. After thoroughly evaluating each proposal and studying the preconstruction & pre- manufacturing durations, the team decided the "pre-purchase" of this scope is not required, and no award is requested. Progress of the project since the kick -off in May 2009 has been tracked on the Town of Vail website at http:/ /www.vailgov.com /transitcenter. All formal documentation, memos and presentations are available there for your review. II. STAFF RECOMMENDATIONS Town Staff recommends directing the Town Manager to enter into contracts and award for; Page 3 of 4 2/1/2011 8 -1 -3 • Proposal Package A (Precast) to Stresscon for $710,610.00, with an initial Notice to Proceed in the amount of $45,064.11; • Proposal Package B (Elevators) to Otis for $116,300.00, with an initial Notice to Proceed in the amount of $8,720.00; and not awarding Proposal Package C (Mechanical Equipment) at this time. Page 4 of 4 2/1/2011 8 -1 --1