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HomeMy WebLinkAbout2017-08-15 Agenda and Supporting Documentation Town Council Afternoon AgendaVAIL TOWN COUNCIL REGULAR MEETING Agenda Town Council Chambers 8:00 AM, August 15, 2017 TOM Of UAJt Notes: Times of items are approximate, subject to change, and cannot be relied upon to determine what time Council will consider an item. Public comment on any agenda item may be solicited by the Town Council. 1. Presentation / Discussion 1.1. 2018 Budget Preview Session Presenter(s): Kathleen Halloran, Finance Director Action Requested of Council: No formal action is required at this time. First and second reading of the Ordinance adopting the 2018 Budget will occur in October. Background: The Town Council will be presented an opportunity to review and discuss proposed revenue and operating budget assumptions as well as a 5 -year Capital Plan, Current Reserves, and Unfunded Major Projects. 2. DRB / PEC Update 2.1. DRB / PEC Update Presenter(s): Chris Neubecker, Planning Manager 3. Information Update 3.1. CSE Minutes DRAFTAugust 2, 2017 3.2. VEAC Minutes August 8, 2017 3.3. VLHA Meeting Results July 25, 2017 4. Matters from Mayor, Council and Committee Reports 150 min. 10 min. 4.1. Town of Vail Letter of Support for Eagle Vail Trail Extension 5 min. Presenter(s): Gregg Barrie, Project Manager Action Requested of Council: A show of hands to determine if a majority of Council Members support support the idea of sending a letter to the US Forest Service in support of the proposed Eagle Vail Trail Extension between the Stone Creek Trail and Meadow Mountain. Background: See attached scoping letter and map from the USFS and the draft letter. 4.2. Colorado Department of Transportation West Vail Pass Auxiliary Lane 10 min. Project Leadership Team August 15, 2017 - Page 1 of 11 Presenter(s): Greg Hall, Public Works Director Action Requested of Council: The Town Council is being asked to provide direction to the staff and CDOT with regard to the Project Leadership Team for the West Vail Pass Auxiliary Lane Project. Background: CDOT has initiated the Tier 2 Environmental Study for preferred alternative or West Vail Pass Auxiliary Lanes as is included in the 2011 Record of Decision for the 1-70 Mountain Corridor. A Project Leadership Team is required for all projects included in the ROD. Staff Recommendation: Provide Staff with the requested input on PLT membership. 5. Executive Session 5.1. Executive Session, pursuant to: 1)C.R.S. §24-6-402(4)(a)(e) - to discuss 30 min. the purchase, acquisition, lease, transfer, or sale of property interests and to determine positions, develop a strategy and instruct negotiators, Regarding: Regarding: Town Manager Employment Agreement, Official Vehicle Negotiation, Red Sandstone Parking Structure Development Agreement and possible real property acquisition. 6. Recess 6.1. Recess at 11:30 a.m. 7. Community Picnic at Donovan Pavilion 7.1. Community Picnic at Donovan Pavilion (11:30 a.m. until 1:00 p.m.) The Vail Town Council will join the community for the annual community picnic. Meeting agendas and materials can be accessed prior to meeting day on the Town of Vail website www.vailgov.com. All town council meetings will be streamed live by High Five Access Media and available for public viewing as the meeting is happening. The meeting videos are also posted to High Five Access Media website the week following meeting day, www.highfivemedia.org. Please call 970-479-2136 for additional information. Sign language interpretation is available upon request with 48 hour notification dial 711. August 15, 2017 - Page 2 of 11: TOWN Of UAJL VAILTOWN COUNCIL AGENDA MEMO ITEM/TOPIC: 2018 Budget Preview Session PRESENTER(S): Kathleen Halloran, Finance Director ACTION REQUESTED OF COUNCIL: No formal action is required at this time. First and second reading of the Ordinance adopting the 2018 Budget will occur in October. BACKGROUND: The Town Council will be presented an opportunity to review and discuss proposed revenue and operating budget assumptions as well as a 5 -year Capital Plan, Current Reserves, and Unfunded Major Projects. ATTACHMENTS: Description Budget retreat August 15, 2017 - Page 3 of 11: 2018 Budget Preview Session With Town Council Agenda Introduction — Mayor Chapin and Patty McKenny 11. Revenue assumptions (10 min.) — Kathleen Halloran 111. Proposed Operating Budget Assumptions a. Compensation analysis (20 min.) — Krista Miller b. Health expense update (20 min.) — Krista Miller c. Fire staffing model (20 min.) — Mark Novak d. 2018 budget impacts (10 min.) IV. 5 -year Capital Plan, TIF Long Term Plan and Current Reserves (30 min.) V. Reserve Capacity & Update on Unfunded Major Projects (10 min.) VI. Additional discussion / Any potential impacts to the 2018 budget staff should be aware of? (10 min.) August 15, 2017 - Page 4 of 11 TOWN OF VAIL Memorandum TO: Vail Town Council FROM: Town Manager / Department Heads DATE: August 15, 2017 SUBJECT: 2018 Budget Preview I. SUMMARY The purpose of this meeting is to provide a high-level preview of the town's 2018 budget process and gather feedback from Council on preliminary budget assumptions. This feedback will be used for the creation of the 2018 draft proposed budget to be presented to Council on September 19th. The budget ordinance readings are currently scheduled for October. Please see Appendix B for the Budget Timetable outlining the meeting schedule for budget topics. II. BACKGROUND During the 2018 budget development, departments are working to propose a budget that continues to strive for the goals stated in the Council Action Plan which is geared toward continuing Vail's leadership position. While many of the key initiatives in the action plan have either been completed or are on-going, in the 2018 budget proposal departments will continue to implement the goals and initiatives outlined in the Council Action Plan. Those goals include: • ENHANCE THE LOCAL ECONOMY: Preserve our vibrant and diverse economy that keeps Vail at the forefront of our resort competitors. • GROW A BALANCED COMMUNITY: Engage our community on honoring our social, recreational, cultural, educational, and environmental values that will guide sustainable strategies throughout our neighborhoods as the foundation of our town's continued success. • ELEVATE THE EXPERIENCE: Deliver on the promise, "VAIL, Like nothing on earth," that also supports "preserving our earth," in everything we do. III. BUILDING THE BUDGET Budget Philosophies & Timetable: The proposed timetable for the Town Council's review of the 2018 budget is included in Appendix A. In addition, there are standard philosophies and practices developed over time and agreed to or revised each year by Council: August 15, 2017 - Page 5 of 11 • Budget will reflect the town's vision and supports the Town Council's areas of strategic focus • Revenues are projected conservatively using analytical processes • When appropriate, new programs are funded by new or increased revenues or reallocation of existing revenue • Recommended General Fund balance at least 25% of budgeted revenue • Town develops a five-year financial projection for all major funds, including a long- term capital improvement plan • The town will operate within annual revenue streams (expectation of "break- even"), with the exception of Extraordinary Event funding from reserves • The sales tax "split" between the General Fund and Capital Projects Fund is set by ordinance, subject to annual review. Currently, staff recommends maintaining the current "split" of 62% to the General Fund and 38% to the Capital Projects Fund. At year end, any sales tax collections over the budgeted amount go entirely to the Capital Projects Fund. Revenue: The town's 2018 budget is funded by a projected $82.6 million net revenue budget, including $16.7M in sales of homes at Chamonix Housing Development. Without those sales (a unique occurrence), the $65.9M projection is a 3.3% decrease from the 2017 amended budget and a decrease of 2.3% from the 2016 actual results. The below chart identifies the various sources of town revenue: Where the Money Comes From Transfer from VRA Rent, Fines & I 2% Miscellaneous 5% Charges for Services 2% Transportation Centers 7° ° Intergovernmental Revenue 3% Licenses and Permits 3% A Sale of Chamonix Units 20% Sales Tax 32% Real Estate ransfer Tax 7% Property and Ownership Tax Use Tax Lift Tax and 4% Franchise Fees 8% 7% Town of Vail Page 2 August 15, 2017 - Page 6 of 11: Breckenridge Aspen Snowmass Vail YTD Growth 2015-2016 2014-2015 5 yr 2.66% 8.39% 9.47% 13.00% 2.70% 6.70% 7.27% 8.47% 4.32% 2.82% 6.77% 8.33% 1.40% 2.47% 5.30% 6.32% We have included a preliminary review of revenue assumptions (Appendix B) to be used as a basis for the projection of annual revenues. Revenue projections set the stage for direction given to the internal departments regarding annual operating expenditures. Staff is proposing a conservative approach to revenue projections based on the concern over flattening sales tax collections. The table below shows a snapshot of sales tax growth for Vail as compared to nearby resort communities as of May 2017: Vail's growth has not kept pace with Aspen, Breckenridge and Snowmass. While delayed business closures such as the Hotel Talisa (Vail Cascade), and the DoubleTree (Holiday Inn) has impacted sales tax growth, other factors are contributing to a slow -down. Without the impact of hotel room vacancies, staff estimates that sales tax as of May 2017 would be up 1.4%. The town is still experiencing a "leveling off" similar to 2016 growth of 2.5%. Aside from just sales tax collections, another trend of note is Vail's lodging performance compared to other resorts in the region. While the loss of approximately 400 hotel rooms have caused challenges in comparative data, Destimetrics is reporting that Vail experienced a "mixed bag" of growth and declines this winter. Vail had some growth in both occupancy and average daily rate. Removing the impact of the vacant hotel rooms, the combined "RevPar" or revenue per available room increased 6.6% compared to 7.0% growth by the competitive set. All of this information has been considered in staff's proposed sales tax projection of a 2% increase over the 2017 amended budget (a 1.0% decrease from 2016 collections). Sales tax collections in 2017 are currently pacing 2.4% down from 2016 with the summer performance helping to offset a sluggish winter. Final year-end collections of $25.5 million are budgeted nearly flat with 2016 year end. Real Estate Transfer Tax revenue is projected at $6.1 million for 2017, a 3.0% increase from the 2017 budget plus some additional for sales at the Lion. Year to date collections are currently up 30% from prior year mainly due to high end residential sales. Staff is currently working on a summarization of all town fees for Council's information. A majority of fees have not been updated for many years. Part of the annual budget process may be a confirmation of the current fees charged and/or direction from Council to pursue changes in fee structure or amount charged. This information will be shared on September 19th, along with the draft of the Town Manager budget. Town of Vail Page 3 August 15, 2017 - Page 7 of 11 Operating Budget: Town operating expenditures are budgeted as part of the General Fund and make up the majority of all yearly expenses. While we don't have 2018 expenditures finalized as yet, the 2017 amended budget includes total operating expenses of $44.6 million. A breakout of operating expenses by department is provided in the chart below. Within the General Fund, 28% of spending is for public safety which includes Fire, Police, and Police Communications. Fifteen percent of the total is spent on transportation and parking, which includes the free bus system, operating the parking structures at Vail Village, Lionshead and Ford Park. Public Works accounts for 11% of spending. This consists of daily repairs and maintenance of the town's infrastructure and support of special events but does NOT include any new capital or items that extend the life of the existing capital. Facility and fleet maintenance is 10% and includes daily repairs and maintenance of town owned buildings and equipment. This also does not include any new capital items. Where the Money Goes Municipal Services by Area Employee Housing EHOP Program Facilities & Fleet Maintenance 10% Parks & AIPPI 4% Public Works & Streets 11% 1% Public Safety Communications 6% Town Officials 4% Contributions, Administrative Marketing, & Special Communityervices & Risk Events Library Development 7% 2% 7% 11% When making considerations for the 2018 expenditure budget, it is also useful to look at expenses by category. General Fund expenses can be divided into four major categories; salaries, benefits, contributions and special events; and all other. "All other" operating expenses consist of operating and maintenance fees, professional fees, contracts, office supplies etc. Below is a chart showing 2017 operating expenses by category. Town of Vail Page 4 August 15, 2017 - Page 8 of 11: Where the Money Goes Municipal Services by Category All Other Operating Expenses, 29% Contributions, Thi Marketing, Special Events 5% Salaries 49% Benefits 17% As a service organization, salaries and benefits typically represent nearly two-thirds of the total operating budget. In developing the upcoming budget proposal, staff will review comparative compensation information from nearby municipalities and county governments. While current information is not available at this time, staff is proposing a performance-based merit of 4% to continue working toward our goal of being an "employer of choice". Merit increases have averaged 4.0% over the past 5 years, with the following annual increases starting with 2013: 4%; 2014: 3%; 2015: 4%; 2016: 5% and 2017:4% plus an exceptional performer bonus pool. The Denver/Boulder consumer price index (CPI) has averaged 3.1% in the first half of 2017. Another consideration is the impact of healthcare increases to employees, which ultimately offsets merit increases. Staff also proposes that the initial budget draft include a 0% increase for general, or "base" operating expenses which does not include specific increases that may be requested by departments to meet the stated goals of the upcoming budget year. Please see the listing of "Budget Impacts" for potential items to be included in the 2018 operating budget. Capital Plan & Reserve Town reserves are projected to be $44.7 million at the end of 2017 from a previous high of $82.7 million in 2016. $17 million of the reserves were used to cash fund the construction of Chamonix Housing Development, which will be repaid during 2018. Other capital projects over the past five years that have been completed by the town utilizing cash include: • Frontage Road Parking Improvements (CDOT agreement) (2012/2013) • Guest Service Enhancements (2012-2014) $2.3M, with more planned in future years • Main Vail Fire Station (2012/2013) $2.4M • Frontage Road Bike Lanes (2011-2014) $3.3M • Ford Park Fields (2012-2014) $11.0M • Ford Park Amphitheater (2013) $1.2M Town of Vail Page 5 August 15, 2017 - Page 9 of 11: • East Vail Fire Station (2016) $3.6M • Chamonix Housing —(2016-2017) $19.5M • Chalet Road Sports Courts (2016) $775K • Booth Creek Park Redevelopment (2016) $2.5M • Vail Golf and Nordic Center (2016) $11.2M A majority of town -owned facilities and amenities have been renovated in the past five years with the exception of the municipal building and the public works shops/admin buildings. The five-year capital plan $13.5M (2019) for an expansion and remodel of the public works shop complex as outlined in the public works master plan. The municipal building renovation was previously included in the budget, but was moved to the "unfunded" list with an approximate cost of $20.0M - 25.0M depending on the degree of renovation. While total reserves at the end of 2017 are projected to be $44.7 million, not all of that is available for new capital projects. Some of the funds such as Heavy Equipment, Health Insurance and Dispatch Services cannot be spent for anything other than their specific designation. As you're aware, the Vail Reinvestment Authority funds are restricted to capital improvements within the district, and the RETT fund is restricted for certain uses. For projects such as housing and new parking, Council has access to the Capital Fund and the General Fund beyond the 25% minimum balance. The chart below shows available reserves (unrestricted), including the amount of General Fund reserves beyond the 25% requirement. Town of Vail Page 6 August 15, 2017 - Page 10 of 11 70.0 65.0 60.0 55.0 50.0 45.0 40.0 35.0 30.0 25.0 20.0 15.0 10.0 5.0 Reserves Available for Capital Spending $40.2M $28.9M pm 18.0 17 $33.0M $32.7M _1112r 4.3 $26.3M 2.5 $46.5M 6.8 2017 2018 2019 2020 2021 2022 ■ VRA RETT Fund ■ Capital Projects Fund ■ General Fund (beyond 25% minimum regmt) The Vail Reinvestment Authority is another source of funds for projects in the district, however due to the 1-70 Underpass project and the new parking structure at Red Sandstone Elementary there will not be significant funds available until 2023. The VRA does have debt capacity however, for future projects such as improvements resulting from a Civic Area Master Plan (Dobson Arena, Lionshead TRC East Portal improvements and the pathway from Dobson to Lionshead). Town of Vail Page 7 August 15, 2017 - Page 11 of 11 ACTION REQUESTED The feedback given during this work session will help establish a foundation from which to build the 2018 budget, and is not considered an "approval" of any particular item within the budget. Upcoming budget presentations as outlined in the timetable (Attachment A) will provide more opportunities for adjustments. However, in order to give direction to departments in beginning to build their budgets, staff is requesting feedback on the following: 1. Does Council agree with the standard budget philosophies and practices? 2. Does Council have comments on staff's preliminary revenue assumptions? 3. Would Council agree to use as one of the assumptions a 4% performance based merit increase in an initial budget proposal? 4. Is Council comfortable with assuming a 0% general/"base" operating increase with exceptions for specific new department requests? 5. Are there any capital projects you would like staff to include in the budget proposal? 6. Is there anything else you would like staff to be aware of as we build the budget? Town of Vail Page 8 August 15, 2017 - Page 12 of 11 Town of Vail Proposed 2018 Budget Timetable Budget Guidelines Presentation of 2016 audit report to Council Budget Retreat - special meeting Guidelines distributed to department heads Staff prepares departmental budgets Town Manager reviews departmental budgets 06/06/17 08/15/17 08/16/17 08/16/17 to 08/31/17 09/01/17 to 09/15/17 VLMD Board review of 2017 Operating Plan 09/19/17 Budget Documentation and Reporting First reading of 2016 Supplemental Number One Second reading of 2016 Supplemental Number One First reading of 2016 Supplemental Number Two Second reading of 2016 Supplemental Number Two VRA Supplemental - Resolution 04/02/17 ✓ 05/02/17 ✓ 06/20/17 ✓ 07/11/17 ✓ 06/20/17 ✓ First Draft TM Budget 09/19/17 First reading of 2017 budget ordinance 10/03/17 Second reading of 2017 budget ordinance 10/17/17 VLMD Resolution for VLMD Budget 10/17/17 TOV Resolution for VLMD Budget 10/17/17 Vail Reinvestment Authority Budget Resolution 10/03/17 First reading of mil levy certification ordinance 11/21/17 Second reading of mil levy certification ordinance 12/05/17 First reading of 2016 Supplemental Number Three 12/05/17 Second reading of 2016 Supplemental Number Three 12/19/17 APPENDIX A August 15, 2017 - Page 13 of 11 APPENDIX B 2018 Preliminary Revenue Assumptions Sales Tax 2018 is proposed at $25.5M, a 2% increase from 2017 amended budget and up 1.1% from 2016 actual. 2017 sales tax collections are on track to be flat with prior year. Delays in the re -opening of two lodging properties has impacted sales tax collections significantly. Without that impact, sales tax collections would be up approximately 1.4%. Summer results are encouraging, with June up 3.3% from the prior June and strong July occupancy rates. 2016 was the start of a "leveling out" from post -recession highs, with an increase of 2.5% from 2015. Before that, the town was experiencing annual average increases of 8%. The sales tax "split" is unchanged at 62% General Fund and 38% Capital Projects Fund. RETT 2018 proposed at $6.1M, a 3% increase from 2017 budget, plus some additional for sales at Lion. Year-to-date collections are tracking 30% up from prior year Construction Use Tax 2018 proposed at $3.4M, a 2% increase from 2017 budget plus estimates for Marriott and Mountain View projects. Property Tax 2018 proposed at $5.3M assumes impact of Gallagher Amendment with a residential rate of 7.2% and increases to valuations based on a preliminary report from the assessor. Without Gallagher, residential valuations increased 10% and commercial valuations increased 50%. Completion of the Lion coupled with sales of the Four Seasons and Vail Cascade are mainly responsible. Appeals are being considered. Lift Tax 2018 proposed at $5.2M, a 3.5% increase from 2016 actuals and a 5% increase from 2017 budget. This is more conservative than the historical average of 8% per year for the last 5 years. Licenses & Permits 2018 Construction Fees proposed as flat with 2016 actuals, but include estimates for Marriott and Mountain View projects. Totals $2.2M for 2018 Transportation Centers 2018 proposed at $5.4M, a 3% increase from 2016 actuals. August 15, 2017 - Page 14 of 11 Major Revenue Analysis 2018 Proposed Budget August 15, 2017 - Page 15 of 113 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Actual Actual Actual Actual Actual Actual Actual Actual Amended Estimate Comments General Sales Tax 16,913,338 17,676,115 19,581,414 20,046,455 21,999,999 23,881,130 25,141,932 25,763,244 25,535,000 26,046,000 2018 proposed at a 2% increase from 2017 amended, or 1.1% increase from 2016 actuals -13.8% 4.5% 10.8% 2.4% 9.7% 8.6% 5.3% 2.5% -0.9% 2.0% RETT Tax 2,513,481 6,950,701 4,403,706 5,452,937 4,725,589 6,849,449 6,965,617 6,801,765 5,850,000 6,100,000 2018 proposes a 3% increase from 2017 budget plus some additional for sales at Lion -72.4% 176.5% -36.6% 23.8% -13.3% 44.9% 1.7% -2.4% -14.0% 4.3% Parking Revenue 4,975,795 5,037,042 4,023,940 3,453,836 4,170,065 4,528,137 4,948,993 5,230,062 5,155,000 5,388,000 2018 proposes a 3% increase from 2016 actuals 5.7% 1.2% -20.1% -14.2% 20.7% 17.9% 9.3% 5.7% -1.4% 4.5% Property & Ownership Tax 4,506,491 4,951,386 5,031,770 4,157,279 4,227,966 4,358,411 4,389,241 4,911,842 4,891,307 5,300,000 2018 assumes impact from Gallagher Ammendment with a residential rate of 7.2% 4.6% 9.9% 1.6% -17.4% 1.7% 0.1% 0.7% 11.9% -0.4% 8.4% Includes a PRELIMINARY report from the Assessor's office; well know more in August Lift Tax Revenue 3,048,011 3,357,717 3,529,125 3,433,686 4,007,908 4,351,624 4,763,956 5,032,970 4,964,400 5,212,600 2018 proposed ata 3.5% increase from 2016 actuals and a 5% increase from 2017 budget. -7.0% 10.2% 5.1% -2.7% 16.7% 15.1% 9.5% 5.6% -1.4% 5.0% Historical average is 8% per year, but that reflects increase from EPIC Discovery Construction Fees 1,341,731 1,272,606 985,377 1,333,681 1,404,928 2,608,807 1,949,884 1,552,569 1,496,837 2,102,734 2018 flat with 2016 actuals plus estimates for Marriott Residence Inn and Mountain View -64.7% -5.2% -22.6% 35.3% 5.3% 4.4% -25.3% -20.4% -3.6% 40.5% Construction Use Tax 713,582 1,103,119 721,002 1,221,734 1,360,585 1,803,853 2,220,168 1,688,841 1,545,000 3,375,100 2018 at 2% increase from 2017 budget plus estimates for Marriott Residence Inn and Mountain View 17.3% 54.6% -34.6% 69.4% 11.4% 0.2% 23.1% -23.9% -8.5% 118.5% Other Taxes 1,545,535 1,711,350 1,806,708 1,672,112 1,735,016 1,829,591 1,886,347 1,812,997 1,923,282 1,878,472 County sales tax (based on TOV sales tax), Road & Bridge, Hwy users revenue, etc. -6.0% 10.7% 5.6% -7.4% 3.8% 5.6% 3.1% -3.9% 6.1% -2.3% Federal / County Grants 203,765 3,785,144 1,596,040 916,067 82,630 474,399 152,193 184,827 1,420,000 70,000 2017 includes $700K CDOT Water Quality "TAP" grant and $704K bus grants N/A 1757.6% -57.8% -42.6% -91.0% -45.6% -67.9% 21.4% 668.3% -95.1 % 2018 includes Lottery revenue, incident management training reimbursement and fire deployments Earnings on Investments 460,234 330,216 539,541 492,015 426,975 674,027 271,896 324,954 404,304 432,605 2018 based on available fund balance and investment returns assumed at 0.7% -75.0% -28.3% 63.4% -8.8% -13.2% 57.9% -59.7% 19.5% 24.4% 7.0% Rental Income 912,090 862,151 895,872 832,134 918,691 1,044,463 1,028,950 1,019,509 1,013,838 1,064,138 Includes Donovan Pavillion at $300K; employee housing rentals and parking structure leases -4.0% -5.5% 3.9% -7.1% 10.4% 24.2% -1.5% -0.9% -0.6% 5.0% E911 and Interagency Dispatch 1,904,572 1,908,591 1,958,581 1,915,218 1,982,170 1,931,359 1,896,010 1,918,590 2,012,216 2,052,460 Funding by E911 Authority Board and participating agencies 14.9% 0.2% 2.6% -2.2% 3.5% -2.6% -1.8% 1.2% 4.9% 2.0% 2017 for 1-70 Underpass ($3.25M), Lionshead Parking Structure Landscaping ($100K), Vantage Point Walk ($185K) Vail Reinvestment Authority Transfers - 1,070,365 7,125,196 5,354,864 1,842,286 3,049,280 2,757,637 3,546,063 5,876,912 1,915,000 N/A 565.7% -24.8% -65.6% 65.5% -9.6% 28.6% 65.7% -67.4% 2018 construction of walkway from E. LH Circle to Dobson ($790K); work on Dobson Plaza ($975K) and design of Frontage Rd Improvements from LH to Muni building ($100K) Sale of Chamonix Housing Units 16,742,000 Assumes 2 units sell in 2017 (not reflected in budget yet), with remaining 30 units sold in 2018 All Other Revenue 4,885,916 7,957,308 6,463,634 4,725,743 4,725,539 7,522,484 9,577,305 7,691,932 6,070,867 4,994,428 In general, this item includes franchise fees, fines and forfeitures, employee portion of healthcare -24.8% 62.9% -18.8% -26.9% 0.0% 59.2% 27.3% -19.7% -21.1% -17.7% premiums, license revenue, administration fees collected from VLMD and RETT and other charges for service such as out of district fire response and Police contracted services. It may also include use of Traffic Impact fees or Holy Cross Community Enhancement Funds Total Revenue 43,924,542 57,973,811 58,661,907 55,007,762 53,610,347 64,907,014 67,950,130 67,480,165 68,158,962 82,673,537 % compared to Prior Year -24.3% 32.0% 1.2% -6.2% -2.5% 21.1% 4.7% -0.7% 1.0% 21.3% -3.3% 2 August 15, 2017 - Page 15 of 113 Compensation & Benefit Planning 2018 r]!JJfJEJrJ 1 ��1 August 15, 201T0aW1 ot`1'1F `AIL Compensation - 2018 Planning Obi 1--)L2i1 rJJl`J PI J1`J C ]P PAY PHILOSOPHIY Be a competitive payer in our chosen markets • Establish pay ranges based on those markets • Compensate employees based on performance • Position jobs in range based on the TOV internal equity process Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 17 of 113 2 Compensation - 2018 Planning Obi 1--)L2i1 rJJl`J PI J1`J C ]P TARGET MARKETS • Non-exempt Tracks the Vail Valley regional/resort market • Exempt Tracks the resort market • Emergency Services Tracks the Denver front range (Sworn non-exempt Officers) COMPENSATION BUDGET • The compensation budget is established annually by the Town Manager and approved by the Council • The compensation budget may be changed at any time based on the best interests of the TOV Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 18 of 113 3 Compensation - 2018 Planning $140,000.00 $120,000.00 $100,000.00 $80,000.00 $60,000.00 $40,000.00 own o ' al Base Salary Practices TOV vs. Counties/Municipalities Exempt (Salaried) Summer, 2016 City/County Comparisons 4— -Town of Vail 300 400 500 600 700 800 900 1000 1100 Town of Vail 1 Human Resources' August 2017 August 15, 2017 - Page 19 of 113 4 Compensation - 2018 Planning 11 11 f J .moi � .moi i .moi 1ivs) - $80,000.00 $70,000.00 $60,000.00 $50,000.00 $40,000.00 $30,000.00 Town of Vail Base Salary Practices TOV vs. Counties/Municipalities Non -Exempt (Hourly) Summer, 2016 i i City/County Comparisons Town of Vail 100 150 200 250 300 350 400 Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 20 of 113 5 Issues & Challenges 1111fJ .�i�.�i i .moi 1J��✓rJ ISSUES & CHALLENGES • Current Compensation Program • Current process labor intensive to produce • Dated (20+ year old) process for range placement • Some outdated job descriptions / poor job matches Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 21 of 113 6 Issues & Challenges 37,000 a) 34,500 •Nike 12 0110 0 • LI- 32,000 ¶'' O03 /-J 29500 • 5.0% ch . •• a • 0 i: _5°!a 24Rfin 22,000 = 0.00o 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 10.0% Unemployment Rate Eagle County Labor Force NONEagle County Unemployment Colorado Unemployment Source: VVP 2017 Workforce Survey Town of Vail 1 Human Resources' August 2017 Current unemployment rate = 1.9% August 15, 2017 - Page 22 of 113 7 Issues & Challenges 1111fJ .�i�.�i i .moi 1J��✓rJ ISSUES & CHALLENGES • Recruitment Trends — Local & non -local hiring challenges Increase in rejected offers Decrease in applications - Decrease in quality of applicants • Retention —increase in turnover rate 4 Decrease (slightly) in retirements 211 Increase in relocation for lower cost of living Q More leaving for higher pay -locally Q Increase in mid-season turnover in seasonal positions • Succession Planning — an important future focus Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 23 of 113 8 Compensation - 2018 Planning A LD[. f\rJ f\J NEXT STEPS • Benchmark survey underway for 2017 data • Job Description updates • Needed for good job match • Basis for internal equity & grade placement • 2018 budget —Address most critical needs (IE: entry non- exempt starting rates) • Identify strategies for pending recruitments Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 24 of 113 9 Compensation - 2018 Planning A LD[. f\ri f\J FUTURE • Review of Compensation Philosophy • Clearly define philosophy • Re-evaluate target markets • Compensation Planning Consultant — 2018 • Long-term manageable solutions • Flexible with changing circumstances Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 25 of 113 10 Benefits — 2018 Planning P! AN CHARTS • Budget vs. Actual • Plan Design ISSUES & CHALLENGES • ACA Impacts — most of increased enrollment • Fund Balance — can hold us 2 to 4 years Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 26 of 113 11 $6,000,000.00 $5,000,000.00 $4,000,000.00 8 0 $3,000,000.00 fa E $2,000,000.00 $1,000,000.00 $0.00 Town of Vail Health Plan Costs & Enrollment 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Town of Vail 300 250 200 4, C v E 150 2 c W c co E 100 50 Budget Actual Empl on plan (avg) 0 August 15, 2017 - Page 27 of 113 $600.00 $500.00 $400.00 $300.00 $200.00 $100.00 $- Town of Vail Health Plan Employee Premiums 1 1 2009 2010 2011 2012 2013 2014 2015 2016 2017 Town of Vail Vail EE only / mo IN Avg EE only • MSEC Colo ee only • Vail Family / mo ■ Avg Family MSEC Colo family (*Avg includes: Avon, Breckenridge & Eagle County) August 15, 2017 - Page 28 of 113 13 $6,000.00 $5,000.00 $4,000.00 $3,000.00 $2,000.00 $1,000.00 $ Town of Vail Health Plan Plan Design (In network) XC Vail Deductible —M—Avg Deductible Vail OOP max —X—Avg OOP max (*Avg includes: Avon, Breckenridge & • Eagle County) 2009 2010 2011 2012 2013 2014 2015 2016 2017 Town of Vail August 15, 2017 - Page 29 of 113 Benefits — 2018 Planning rJ E:r\! -frJ PLAN J r\ Lc-) [ _Ari f\J NEXT STEPS • Continue forecasting with 8+ months of YTD data • Review Options • Plan Design Changes (deductibles, Out -of -Pocket max, Co -pays) • Employee Premiums • Town of Vail Contributions • How much from fund balance • Direct contracting for local care - VVMC Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 30 of 113 15 Benefits — 2018 Planning rJ r r\! -f rJ PLAN f\ ! J (3 DIRECT CONTRACTING= VVMC (Pending) • Additional discounts (beyond Cigna negotiated agreement) • Includes VVMC, Surgery Center, Physician Services • Fixed pricing on designated services: • MRI & CT scans • Mammography screening • Baby Deliveries • Orthopaedic procedures (facility costs) • Vaccinations for employees only • Free / No cost services: • Limited Urgent Care visits • SAFE -FIT — muscular / skeletal screenings $120,000 to $200,000 annual savings to plan Additional savings to member Town of Vail 1 Human Resources 1 August 2017 August 15, 2017 - Page 31 of 113 16 August 15, 201T-Pa of`1'1f VAIL TOWN OF VAIL. Memorandum To: Town Council From: Mark Novak, Fire Chief Date: August 15, 2017 Subject: Resident Firefighter Program I. Purpose The purpose of this memo is to describe the current status of the Resident Firefighter program, future sustainability of the program, and to describe the proposed transition out of this staffing model. This transition is the final step in a process that was initiated in 2013 and was described in the budget memo submitted with the 2017 budget request. 11. Current Situation The Fire Department is currently experiencing a number of challenges associated with the Resident Firefighter (Apprenticeship) program. The primary challenges associated with the staffing model are as follows: • The use of the Department of Labor (DOL) Apprenticeship program to reduce labor costs is inconsistent with the intent and procedural requirements of the DOL. • Retention problems within the Resident program. • High recruitment and on -boarding costs. • Negative impact on organizational resources and employee development of tenured employees who desire to grow within the organization. • Difficulty in recruiting a diverse workforce. The nature of the fire service has changed greatly since the inception of the Resident program in 1980. The two most significant changes are that entry level requirements for a firefighter have significantly changed and the job market for firefighters has markedly improved. At the time of the inception of the Resident program there were few training requirements needed to enter the fire service. This allowed the program to thrive; Resident Firefighters were able to get free or subsidized housing, while the Fire Department benefitted from an inexpensive staffing solution that required little investment of time or financial resources. In addition, the lack of minimal training requirements meant that a Resident Firefighter could be used to support staffing immediately. August 15, 2017 - Page 33 of 11 Today a firefighter must complete approximately 790 hours of training prior to being qualified for the position. This training includes completing the following: Firefighter I Academy, Emergency Medical Technician (EMT) training, Hazardous Materials First Responder Operations training, and Basic Wildland Firefighter training. Currently only candidates who have completed all of this training are eligible to be hired. Once a Resident Firefighter is hired, they complete two weeks of intensive training designed to orient them to VFES equipment and standard operating procedures. This is followed by a one month period during which the new Firefighter works as an extra firefighter on the engine so they can be evaluated and intensively mentored. Once this six week on - boarding process is complete, then the Resident FF is available for staffing. Following the introductory period, a large training investment is made in the Resident Firefighter in order to equip them with the skillset of our regular Firefighters. This includes swiftwater rescue training, technical rope rescue training, vehicle extrication training and additional wildland training. The investment of time and financial resources in training Resident Firefighters detracts from the development of the remainder of the fire department staff. As a result of the training requirements and the availability of full-time jobs available in the region, VFES has been struggled with retention for a number of years. The average retention period for a Resident Firefighter is 18 months. The practical implication of this is that to maintain staffing, the fire department must hire and train 5 new Resident Firefighters each year. This results not only in a retention problem, but also impacts the ability to have a sound succession plan, due to the high turnover at the entry level of the organization. In addition to the challenge of retention, recruitment for this position has become increasingly challenging. In the last two years we have conducted five recruitment processes and will need to recruit again before the end of the year. These recruitment processes have yielded few qualified candidates and we have experienced "no show" rates for the testing process of up to 50%. Recruiting and hiring Resident Firefighters has a number of costs both in terms of financial and human resources. A recruitment process begins with advertising the position nationally for 30-60 days. Applications are then screened, phone interviews are conducted and qualified applicants are invited to attend an on site testing process. On-site evaluation consists of an oral interview panel, a written test and a physical capability test. This process has significant cost in terms of overtime to staff the process and purchasing a standardized test. Successful applicants then undergo background screening, drug test, psychological evaluation and extensive physical examination. This pre-employment screening costs approximately $800 per candidate. Once a Resident Firefighter is hired it costs approximately $5000 to outfit the Firefighter with personal protective equipment and uniforms. When combined with recruitment and training costs, the total cost to onboard a Firefighter exceeds $13,000. With our current experience of hiring 5 Resident Firefighters per year, this expense is $65,000 per year. From the time a recruitment Town of Vail Page 2 August 15, 2017 - Page 34 of 11 process is initiated, the total time until a Resident Firefighter is available for staffing is approximately three months. For a number of years the Resident program has been structured as a Department of Labor (DOL) Apprenticeship program. The primary advantage of this program is that it allows the Town to pay the Resident Firefighter a wage substantially lower than full- time Firefighters and provides exemptions to the Fair Labor Standards Act (FLSA) for extra hours engaged in training. Resident Firefighters are also not categorized as Regular employees. Although the Town is required to provide healthcare in compliance with the ACA, Resident Firefighters do not receive the full employee benefit package. The Apprenticeship program also creates an additional administrative burden to comply with DOL requirements. During the last year it was identified that several components of our program need to be modified to maintain compliance with the DOL program. One particularly challenging aspect of the DOL Apprenticeship program is that it is intended to be used by employers when there is not a sufficient pool of trained candidates to fill a position. The understanding is that the employer should have a regular position available for the Apprentice (Resident) when they complete the Apprenticeship. The term of an Apprenticeship is 6000 hours (3 years). DOL requirements stipulate that credit be awarded to candidates who enter the Apprenticeship program with previous experience and training. As a result, the 3 year term of apprenticeship may in fact be as short as two years. The implication is that if an Apprentice completes the program, the Town should be prepared to move the Resident into regular full-time employee status and increase the pay to a level equivalent to our full-time regular Firefighters and provide the same benefit package that other regular employees receive. The financial reality is that the low wage drives the majority of the Resident Firefighters to begin looking for full-time firefighting jobs almost immediately after they are hired. One component of the Resident program that has changed greatly over the years is the perceived value of living in the Resident dormitory. In the early years of the program, this was seen as a benefit of the program which allowed the employee to live inexpensively in Vail and pursue recreational activities such as skiing. Today, many of the Residents view the dormitory living requirement as a burden. The difficulties in relying upon a Resident Firefighter program to maintain daily staffing levels is not unique to the Town of Vail. The majority of fire departments in the region have experienced similar challenges and have eliminated their Resident Firefighter programs. III. Alternatives The Fire Department, along with Human Resources has been exploring approaches to addressing the challenges of the Resident Program for a number of years. In 2014, a Town of Vail Page 3 August 15, 2017 - Page 35 of 11 proposal was made to eliminate the Resident Program for many of the same reasons discussed in this memo. A decision was made to retain the program, but increase the entry-level requirements with the goal of reducing the training burden on VFES and improve retention. Later in 2014 the number of approved Resident Firefighter positions was reduced from twelve to nine in order to facilitate funding regular fire department positions and reduce overtime. In 2016, the number of Resident Firefighter positions was reduced from 9 to 6. At the time this change was made, it was noted that this was a stop -gap measure and that staff would be requesting to discontinue the Resident Program in the 2018 budget. The following proposal addresses the challenges associated with the Resident Firefighter Program while maintaining an adequate staffing level for daily operations. Eliminate Resident FF Program -Reclassify as Firefighter with Graduated Pay Salaries Benefits Total Compensation Proposed 276,400 110,560 386,960 Current (Resident Program) 244,984 60,000 304,894 Increase 31,506 50,560 82,066 This transition would require an increase in the overtime budget to account for sick leave, vacation and compensable training. This impact is estimated at $41,250. Staff has investigated revenue sources to offset the increased staffing costs associated with eliminating the Resident program; however the ability of the fire department to generate additional revenue is limited. Fire department activities do result in the generation of $86,500 in revenue from Eagle County for response to the Vail Pass area. In addition, "out of district" fire protection agreements generate approximately $50,000 and the fire department generates invoices totaling approximately $3000 for out of district responses. Developing this proposal in a fiscally conservative manner is based upon lowering the existing entry level Firefighter wages and creating a graduated pay scale. It is recognized that this will create disparity within the Firefighter rank which may have some impact on morale and employee engagement. The alternative to this would be to eliminate the Resident Firefighter program using the existing Firefighter pay scale. Although this is the most desirable approach, the cost of this approach would be nearly double that of the proposal listed above. With this proposal, there is no change proposed to the Fire Department FTE count. IV. Summary The current fire department staffing model is dependent upon the DOL Apprenticeship program to provide an inexpensive means to achieve minimum staffing requirements. The use of the Apprenticeship program to reduce labor costs is inconsistent with the Town of Vail Page 4 August 15, 2017 - Page 36 of 11 intent and procedural requirements of the DOL. During the course of the past four budget cycles, a number of approaches have been implemented with the goal of maintaining a viable program. Despite these efforts, the Resident program is a model which is no longer effective in meeting the staffing needs of the fire department or containing costs. Staff has developed a transition plan which does not increase the FTE count, contains costs, and fixes a broken staffing model. Staff recognizes the ongoing support Council has demonstrated in improving the capability of Vail Fire and Emergency Services. We are also mindful of the need to be fiscally conservative in the budget while concurrently advancing strategic objectives necessary to maintain the commitment to providing excellent service. The proposal detailed in this memo is consistent with the following goals and initiatives established by the Council Action Plan and the Organizational Action Plan: • Create a Town of Vail transition plan to develop future leaders to continue the unique traditions, values and culture of the TOV • Invest in succession planning to include bench strength development, transfer of leadership and institutional knowledge • Be a leader in developing an exceptional and professional workforce that aligns with the Vail Way. • Maintain and improve a high level of readiness and response to natural and man- made threats to ensure a safe and secure community with continued focus on emergency preparedness, including wildfire mitigation, education, prevention and effective evacuation strategies V. Staff Recommendation: Advance the proposed Resident program transition in the 2018 budget. VI. Attachment: VFES Organizational Chart Town of Vail Page 5 August 15, 2017 - Page 37 of 11 Vail Fire — Resident Firefighter Program 1J.iJJ FJr .iJid rJJJ,J JJJJJJ .JJ 1JJJ_JJ Lift-�_! August 15, 201JPa 3/of'f VFES Resident Program The Resident Program was implemented over 30 years ago, this model which provided an inexpensive staffing solution is no longer effective for the following reasons: • The current reliance on the Department of Labor Apprenticeship program to reduce labor costs is inconsistent with the intent of the DOL Apprenticeship model • The Resident Program results in very high turnover • High recruitment, on -boarding and training costs • Negative impact on organizational resources and the ability to provide for employee development • Difficulty in recruiting a diverse workforce Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 39 of 113 3 • Intent is for positions in which there is a lack of trained candidates in the job market • Should only hire as many apprentices as we have unfilled positions • Provide full-time, regular position at the end of the apprenticeship (3 years or less depending upon previous experience) • Wage should be based upon skills progression in relation to regular firefighters Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 40 of 113 4 • Turnover results in the need to hire 5-6 Residents per year • Low retention negatively impacts succession plan • Low retention negatively impacts morale • Resident Dormitory living requirement is perceived as a burden Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 41 of 113 5 • Conduct 2-3 recruitments per year, each recruitment takes 60-90 days with recruiting/testing costs including testing materials and staff costs of $5000 (does not include HR time). • Post -offer screening costs of $800 per candidate • Uniforms and PPE cost of $5000 per new employee • Resident FF completes 2 week in-service training and then one month field internship. The 2 week in-service requires 160 hours of overtime for instructors • Total on -boarding cost is approximately $13,000 per Resident FF, total cost per year of $65,000. Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 42 of 113 6 • Continuous cycle of developing new employees reduces ability to develop employees with longer tenure • Low retention impacts succession planning • Difficult to develop diversity in our workforce Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 43 of 113 7 • Final step in a transition which has been in progress since 2013 and was previously acknowledged in the 2017 budget process • Transition out of Resident program January 2018 • Requires moving 6 employees from Resident (seasonal) status to regular status with the following budgetary impact: Eliminate Resident FF Program -Reclassify As Firefighter Proposed Current (Resident Program) Increase Salaries 276,400 Benefits Total Compensation 110,560 386,960 244,984 60,000 304,894 31,506 Town of Vail 1 Vail Fire and Emergency Services 8/15/2017 50,560 82,066 August 15, 2017 - Page 44 of 113 8 Frequently Asked Questions 1. Why now? —The fire service has dramatically changed in the last 30 years, contemporary training requirements, on -boarding costs, high turnover and DOL compliance make the program impractical 2. Why hasn't this been proposed before? —It has, iterations of this transition have been proposed every year since 2013. The 2017 fire department budget included this proposal 3. Can't we just continue program outside the DOL? -Yes, but there would be little cost savings over the current proposal and the retention/succession issues would not be addressed 4. How do other FDs make Resident Programs work? -Except for very rural areas, Resident programs have been eliminated by most FDs. Within our region, all of these programs were eliminated between 2007-2012 5. What happens to the Resident Quarters? — We are evaluating a number of concepts, including creating EHU's similar to the other fire stations or a larger TOV training room. 6. Does this impact FTE count? —No, FTE count would remain unchanged 7. Are there hidden costs? —As regular employees, the FFs would accrue paid leave, this is accounted for in the overtime budget. Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 45 of 113 9 Management Assistant (.5 FTE) J 2018 Staffing vision Chief (eli ini 017 budget Fire Chief Wildland Coordinator 1- Lead Firefighter - FF FF FF FF (seasonal) i Division Chief Fire Prevention 7 Lieutenant Engineer Firefighter Firefighter I Lieutenant Engineer Firefighter Lieutenant Engineer Firefighter eh B -Shift Captain Lieutenant Engineer Firefighter Firefighter Lieutenant Engineer Firefighter I Lieutenant Engineer Firefighter C -S i Captain 7 Lieutenant Engineer Firefighter Firefighter Lieutenant Engineer Firefighter Lieutenant Engineer Firefighter 1 7 West Vail Station 3 Main Vail Station 2 East Vail Station 1 Total FTE 35.8 (No change) Firefighter positions shown at Station 2 and Station 3 were formerly Resident Firefig bgrhiA47 - Page 46 of 113 Alignment with Strategic Plan • Create a Town of Vail transition plan to develop future leaders to continue the unique traditions, values and culture of the TOV • Invest in succession planning to include bench strength development, transfer of leadership and institutional knowledge • Be a leader in developing an exceptional and professional workforce that aligns with the Vail Way. • Maintain and improve a high level of readiness and response to natural and man-made threats to ensure a safe and secure community with continued focus on emergency preparedness, including wildfire mitigation, education, prevention and effective evacuation strategies Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 47 of 113 11 Conclusion • The Resident FF program is a model that is no longer effective or consistent with the values of the Town of Vail. • The proposed transition achieves organizational objectives in a manner which is sensitive to increasing compensation costs and does not increase the FTE count • We have made a commitment to be a "Great Place to Work", our staffing and employment models should reflect this Town of Vail 1 Vail Fire and Emergency Services 1 8/15/2017 August 15, 2017 - Page 48 of 113 12 Questions? August 15, 201 Planof f VAIL 2018 Budget Retreat Budget Impacts The purpose of this document is to highlight the most impactful budgetary events anticipated for 2018. In addition to the below budget impacts, other staffing and operating requests will be reviewed during individual departmental meetings to be held over the next few weeks. Staff will return on September 19th with a draft Town Manager budget for Council's review. Large budget impacts identified by staff currently include: August 15, 2017 - Page 50 of 11 Estimated Impact Compensation 2017 benchmark survey underway; 2018 compensation consultant and address most critical needs Consultant $40,000 Salary adjustments $150,000 Healthcare Increase in claims experience to be offset with increase to employee and TOV share of expenses, changes to plan design and savings from VVMC contract Impact TBD Fire staffing model No FTE change; Replace Resident program with full-time firefighters Salaries $31,506 Benefits $50,560 Overtime $41,250 Housing Department Discussion surrounding staffing levels in the housing program Ranging from $40,000 to $130,000 Master Planning projects 2018 budget dependent on prioritization of planning projects West Vail Master plan $200K - $300K Civic Area Master plan $50K - $100K Permanent increase to summer 2017 bus service levels Bus ridership for the increased routes has been successful this summer. Consideration of increased parking revenues critical to funding this increase in service Full year cost to continue service $105,000 Operations of new assets 1-70 Underpass (Council informed at last year's budget cycle) RSES Parking Structure costs, with some offset by school district Seasonal Heavy Equipment Operator to convert to full time in May of 2018 if needed $71,896 Full time sweeper operator for parking structure to start Oct 1, 2018 $14,661 Custodial svcs for RSES $4,974 August 15, 2017 - Page 50 of 11 August 15, 2017 - Page 51 of 11 Utilities for RSES $6,294 Vail App annual expense Council will get a presentation Sept. 5th; prior budget of $65K per year was included in Capital, but should really be an operating expense. An additional $35K per year is being paid by VLMD $65,000 from General Fund $35,000 from VLMD Sister City / Peer Resort Visits Includes a trip to Japan for 2018 $40,000 budget for 2017 Asset Management System and staffing to support for town- wide tracking of assets Purchase of a cost accounting, work order and asset management system and FTE to implement and maintain system and data Software cost $75,000 Yr 1; $50,000 annually* not finalized Salary $52,000 Benefits $20,800 Uniform coat order (every 4 years) Maybe offset with sponsorship $100,000 Welcome Center events Potential to contract with Donovan Management to manage small events during afterhours at welcome centers TBD; Costs would be offset by revenue potential Electrical Utilities — Correction During 2017 budget process, the electric expense item was significantly understated. 2018 increase will fix the error $250,335 *this was previously in the electricity budget General Liability, Property coverage & Workers' Comp Insurance Expected increases from new town assets General Liability $50,000 Workers Comp $35,000 Grant Writer Council inquired about potential for grant writer to offset costs for the TOV In the last 10 years, the town has received $27.7 million in grants, $15.3 million of which relates to the 1-70 Underpass August 15, 2017 - Page 51 of 11 Revenue Local Taxes: Sales Tax Split b/t Gen'I Fund & Capital Fund Sales Tax Property and Ownership Ski Lift Tax Franchise Fees, Penalties, and Other Taxes Licenses & Permits Intergovernmental Revenue Transportation Centers Charges for Services Fines & Forfeitures Earnings on Investments Rental Revenue Miscellaneous and Project Reimbursements Total Revenue increase vs. prior year Expenditures Salaries Benefits Subtotal Compensation and Benefits Contributions and Special Events All Other Operating Expenses Heavy Equipment Operating Charges Heavy Equipment Replacement Charges Dispatch Services Total Expenditures increase vs. prior year Revenue Over (Under) Expenditures Castle Peak Senior Care Facility Transfer to Dispatch Services Fund Revenue Net of Transfers & New Programs Beginning Fund Balance Ending Fund Balance As % of Annual Revenue TOWN OF VAIL 2018 DRAFT BUDGET SUMMARY OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE GENERAL FUND 2015 Actuals 2016 Actuals 2017 Amended 2017 Projection 2018 Projection -1% -1% 2% $ 25,141,932 $ 25,763,244 $ 25,535,000 $ 25,535,000 $ 26,046,000 60/40 62/38 62/38 62/38 62/38 15,181,000 15,865,000 15,831,700 15,831,700 16,149,000 4,389,241 4,911,842 4,891,307 4,891,307 5,300,000 4,763,956 5,032,970 4,964,400 4,964,400 5,212,600 1,108,465 1,162,201 1,115,065 1,162,201 1,151,137 2,074,584 1,672,683 1,623,098 1,623,099 2,231,200 2,126,811 2,065,278 2,052,333 1,894,700 2,020,972 4,966,153 5,230,062 5,155,000 5,227,000 5,388,000 1,000,437 1,008,082 1,028,870 978,340 922,264 262,021 214,258 249,171 249,171 254,156 159,051 83,624 120,000 70,000 131,000 1,028,950 1,019,509 1,013,838 1,068,838 1,064,138 243,834 184,969 162,228 201,000 180,000 37,304,503 38,450,478 38,207,010 38,161,756 40,004,467 3.1% 4.7% 15, 392,109 16, 275,138 17, 967, 575 17, 548, 575 18, 492, 912 5,172,130 5,709,260 6,170,004 6,120,004 6,871,215 20,564,239 21,984,398 24,137,579 23,668,579 25,364,127 5.1% 2,647,891 2,284,556 2,182,399 2,182,399 2,182,399 6,581,592 6,809,107 7,896,728 7,840,728 7,808,000 2,337,993 2,419,280 2,332,180 2,332,180 2,332,180 584,576 562,172 668,654 668,654 668,654 630,588 663,214 663,307 663,307 663,307 33,346,879 34,722,727 37,880,847 37,355,847 39,018,667 4.5% 3,957,624 3,727,751 326,163 805,909 985,800 (50,000) - - (22,338) - - - 3,935,286 3,677,751 326,163 805,909 985,800 19,687,223 23,622,509 27,300,260 27,300,260 27,626,423 $ 23,622,509 $ 27,300,260 $ 27,626,423 $ 28,106,169 $ 28,612,223 71% 72% 74% 72% 2017 at 1% decrease from 2016 actuals; 2018 at 2% from 2017 amended 2018 includes impact of Gallagher Act with residential at 7.2%, plus increase in values per preliminary Assessor report; Will know more in August 2018 projected at a 5% increase from 2017; more conservative than 8 yr historical avg. of 8.1°/0 per year 2018 at 2% increase from 2016 actuals 2018 at 10% decr from 2016 actuals; plus estimates from Marriott & Mtn View County stax, Road & Bridge; impact from decrease to sales tax 2017 flat with 2016 actual; then 3% per year Mainly based on RETT mgmt fee; VLMD fee and VRA fee (flat); 2018 does not include Volvo $80K sponsorship 5 yr avg; then 2% 3% increase every 2 years for employee housing; 2018 incl. Gore Range #1 E 2018 4% merit "Not sure impact as yet; placeholder at 42% of full time salaries Increase mainly due to benefits increase 2018 Flat; includes Spring Back to Vail $100K 2018 Flat, reduced the following: $70K IT contract labor, $13K parking survey August315, 2017 - Page 52 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE CAPITAL PROJECTS FUND Increased cost from prior 5 -year plan Project timing changed from prior 5 -year plan Proposed Revisions / newly added project 2017 * Placeholder items Amended 2018 2019 2020 2021 2022 Revenue 2.0% 3% 3% 3% 3% Total Sales Tax Revenue: $ 25,535,000 $ 26,046,000 $ 26,827,000 $ 27,632,000 $ 28,461,000 $ 29,315,000 2018 at 2% increase from 2017 projected (1% decrease from 2016 actuals) Sales Tax Split between General Fund & Capital Fund 62/38 62/38 62/38 62/38 62/38 62/38 Sales Tax - Capital Projects Fund $ 9,703,300 $ 9,897,000 $ 10,194,000 $ 10,500,000 $ 10,815,000 $ 11,140,000 Use Tax 1,545,000 3,375,900 1,550,000 1,581,000 1,612,620 1,644,872 2018 at 2% increase from 2017 amended; plus estimates for Marriott Residence Inn and Mountain View Other State Revenue 704,000 - - - - - Bus Grant awarded from CDOT Lease Revenue 159,135 159,135 164,067 164,067 164,067 164,067 Per Vail Commons commercial (incr. every 5 years); adjusted to remove residential lease revenue ($38K) Sales of Chamonix Housing Development Units - 16,742,000 - - - - Sale of Chamonix Housing Units Project Reimbursement 615,000 .,: �, 3,150,000 2017: $45K reimbursement from Holy Cross for engineering costs for underground utility projects- See corresponding expenditure below; $455K from the traffic impact fee for the WMC/Frontage Road project design; $50K Use of Holy Cross Community Enhancement Funds to offset project at Liftside to Glen Lyon Office Building. $65K per year revenue share agreement with Resort App; 2018: Red Sandstone parking structure reimbursement with $4.3M from Vail Resorts and $1.5M from Eagle County School District; 2020: $3.15M from traffic impact fee for WMC/ Frontage Road Project Timber Ridge Loan repayment 491,752 463,212 463,171 463,129 463,086 463,043 $28.5K interest on $1.9M loan to TR; Principal and interest on $8M loan to Timber Ridge Fund Earnings on Investments and Other 113,588 38,723 128,397 81,437 53,429 81,360 0.7% rate assumed on available fund balance Total Revenue 13,331,775 36,475,970 12,499,635 15,939,633 13,108,202 13,493,342 Expenditures Maintain Town Assets Bus Shelters 90,612 30,000 30,000 30,000 30,000 30,000 Annual maintenance; Re -appropriate for repairs to Spruce Way bus shelter and lights Parking Structures 846,826 695,000 -.expansion 695,000 700,000 700,000 700,0002017: Includes completion of VTRC elevator upgrades; 2017-2022 Various repairs including deck topping replacement, joint repairs, ventilation, HVAC, plumbing and other structural repairs Welcome Center Maintenance 250,000 - - 150,000 - 2018: I-urnitu2T�719eement tor Lionsnead welcome center- c Jrrent furniture has reached it's 5 year lite. rnis includ1 aint and built in desks ect; 2021: Furniture replacement in Vail Village Welcome Center Traffic Impact Fee and Transportation Master Plan Updates 61,236 200,000 - - 2016/2017: Continuation of Update of Traffic Impact Fees ($65K); 2018: a 20 -year Transportation Master Plan to coicide with West Vail Master Plan. This was last done 2005-2009. Neighborhood Bridge Repair 689,134 - I 350,00 - 350,000 - Major Bridge Repair Projects based on bi-annual bridge inspection; 2017: Kinnickinnick (West) Bridge Repair, West Forest Bridge Repair; 2019: Lupine Bridge Repair; 2021: Placeholded based on bridge inspection reports Facilities Capital Maintenance 636,805 476,000 461,750 920,500 603,500 649,500 2017 - 2022 various repairs to town buildings including the upkeep of exterior (roofing, siding surfaces, windows, doors), interior finishes (paint, carpet, etc.), and mechanical equipment (boilers, air handlers, etc.). 2017: Includes updated to Town Manager residence; Community Development Conference room furniture ($18K), remodel of lockers and restroom at Vail Transit Center ($100K) and roof for PD building (pending municipal renovation) ($100K).; 2020: Comm Dev Roof Replacement ($125K), Police Dpt rooftop units ($125K), PD air handling units ($75K); 2021 includes: Grandview flooring replacement ($35K), PD stucco patching ($40K); PW Fire panel ($40K); 2022 includes: PW roof ($50K), PD locker rooms/restrooms ($50K); Library skylight replacement ($150K) Donovan Park Pavilion 10,000 5,000 5,000 755,100 5,100 5,100 Annual $5K Maintenance to repair HVAC; 2020 includes HVAC Replacement at Donovan Pavillion Street Light Improvements 115,257 50,000 75,000 75,000 75,000 75,000 Annual maintenance to street lights; LED light enhancements Capital Street Maintenance 1,320,000 1,145,000 1,150,000 1,270,000 1,150,000 1,330,000 On-going maintenance to roads and bridges including asphalt overlays, patching and repairs; culverts; 2022 includes Asphalt and Mill overlay ($575K) East Mill Creek Culvert Replacement - - - - - 550,00 Replacement of East Mill Creek culvert at Gold Peak and Vail Valley Drive Snowmelt Boilers - - - 11,111 500,000 500,000 Replacement of 8 boilers (2 per year) Town -wide camera system 70,000 70,000 70,000 22,000 22,000 22,000 '2017-2019 replace Bosch system(30 cameras); 2016 included $22K for replacement of cameras and equipment; Recorders cost $7-8K each; cameras range from $800 - $3,800 each Audio -Visual capital maintenance 69,000 18,000 18,000 18,000 18,000 18,000 Audio visual, phone and IT equipment for an EOC at the West Vail Fire Station 4 August 15, 2017 - Page 53 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE CAPITAL PROJECTS FUND Increased cost from prior 5 -year plan Project timing changed from prior 5 -year plan Proposed Revisions/ newly added project * Placeholder items 2017 Amended 2018 2019 2020 2021 2022 Document Imaging 43,000 30,000 30,000 30,000 30,000 30,000 Annual maintenance, software licensing, and replacement schedule for scanners and servers. 2017: $22K for 25 Laserfiche licenses, $21 K for annual maintenance 2017-2020: Upgrade Microsoft products on all equipment; renewal of licenses; $3K per year increase from original 5 year plan due to additional software products; 2018: Includes Virtual Desktop terminal services replacement 2017: PeACEq training mgmt. software to track training and employee evaluations; 2018: Replace existing headsets, vests, and helmets for 6 SOU members ($20K), Upgrade mass casualty supplies in patrol cars ($5.6K) Software Licensing 56,000 1 142,000 59,410 61,193 62,417 63,665 Police Equipment 5,395 25,601 - - Thermal Imaging Cameras 150,000 12,000 12,000 12,000 For the purchase of 3 cameras (2019,2020,2022) which will allow firefighters to see through areas of smoke, darkness, or heat barriers Hardware Purchases 175,000 50,000 350,000 50,000 50,000 2017: $120K PC and laptop replacements (150-175 total); $55K Omnicube at Fire Station3; Scheduled rotation of PCs, printers and servers; 2018: Replacement of 50 workstations; $300K in 2020 for scheduled replacement of larger servers Data Center (Computer Rooms) 894,036 15,000 15,000 15,000 15,000 15,000 2017: Increase includes remodel / retrofit of upper and lower computer rooms ( power, heating / cooling, fire suppression). Possible relocation into a combined room offsite is being explored. Website and e-commerce 12,000 12,000 12,000 12,000 12,000 12,000 Internet security & application interfaces; website maintenance; includes $550/month for web hosting svcs Comm Dev. ArcGIS System - - - Web access to town GIS information (similar to County's website GIS product) Fiber Optics / Cabling Systems in Buildings 15,000 62,000 15,000 15,000 15,000 15,000 2017-2020: Repair, maintain & upgrade cabling/network Infrastructure; 2018: Install fiber optics from data center to CenturyLink Network upgrades 30,000 30,000 30,000 200,000 30,000 30,000 Computer network systems - replacement cycle every 3-5 years; 2015, 2020 replacement of switches and routers Phone System 82,855 - - 2017: IPO Phone system replacement ($40K), normal replacement of Ipads, (phones $20K; 2018: phone system; ceeof es, es Public Wi-Fi Systems 250,000 Upgrade/replacereplamntphon public Wi-Fihadsetsystem initially installed by Crown Castle Business Systems Replacement 47,825 - - - - - $13K to upgrade the financial reporting module; $1 K to complete Community Development permitting software Public Safety System 250,000 50,000 50,000 50,000 50,000 Annual capital maintenance of "County -wide "Computer Aided Dispatch/Records Mgmt. System"; includes patrol car and fire truck laptops and software used to push information to TOV and other agencies; TOV portion of annual Intergraph software maintenance; 2017: WebRMS upgrade ($150K), Dispatch remodel console replacement ($16K), Fire and police mobile data computer replacement ($24K), Audio Visual EPC ($10K); 2018: $24K Panasonic MDC, In -car video Replacement Transit Center Generator 27,662 - - - - - Re -appropriate to complete the replacement of generator at the Vail Village transit center; includes testing and connecting elevator to generator service. Extrication Equipment - 100,000 - - - - To purchase updated extrication equipment that will work with newer and more advanced vehicles Fire Truck Replacement - - - - 1,700,000 - 2021: Replacement of Ladder truck purchased in 2000 Generator for East Vail Fire Station 10,290 - - - - - Re -appropriate to complete replacement outdated generator at Station 1 Portable vehicle lift 15,658 - - - - - Re -appropriate for replacement lift to service vehicles in fleet; current lift is 30 years old Fire engine equipment - 50,000 370,000 - - - To purchase the necessary fire engine equipment to fully equip 4th fire engine; this will allow this vehicle to be used when other engines our being repaired or in an emergency Vehicle Expansion 746,500 - - - - 2017: Snowplow ($210K), Loader with plow($290K) , sweeper broom for loader ($25K); 2016:4 flatbed pick up trucks for Streets crews, Electricians, Irrigation crew, and Wildland Fire, Truck with end dump loader($210) ; 2018: Snow Blower ($200K), Landscape architect truck ($30K), 3 pool vehicles ($105K), Drug Task Force vehicle ($35K) Total Maintenance 6,320,091 4,051,600 3,128,160 5,285,793 5,568,017 4,157,265 Enhancement of Town Assets Guest Services Enhancements/Wayfinding 956,114 - - - - - Continuation of Guest Service / Wayfinding enhancements outside of VRA district Fire Station Alert System - - 165,000 - - Fire Station Alerting System to improve response times. This system will work with the Dispatch system and the timing is being coordinated with Eagle River Fire 5 August 15, 2017 - Page 54 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE CAPITAL PROJECTS FUND Increased cost from prior 5 -year plan Project timing changed from prior 5 -year plan Proposed Revisions / newly added project * Placeholder items 2017 Amended 2018 2019 2020 2021 2022 East Vail Fire Station 838,228 - - - - - Re -appropriate to complete the Renovation of East Vail fire station (Final bill payment) Turn Lane at Buffehr Creek to coincide with Marriott Residence Inn; This turn lane different from the one to be put in by Marriott Improvements to Lionshead Express Bus stop to allow for West bound stop and turnaround Connect the Lion with Vail Spa via heated sidewalks; Vail Spa is doing a heated walk already Sidwalk construction oy,(ail Rd. between Beav��Energy Buffeher Creek Turn Lane Lionshead Express Bus Stop Improvements (VRA) Vail Spa Heated Walk (VRA) Vail Road Sidwalk Construen 400,000 250,000 - - - - - - - - - vo0,000 - Enhancements 92,900 - Implementation of energy audit enhancements; includes LED lighting project with shared cost of $170K from Holy Cross Vail Memorial Park 50,000 - - - - - Council Contribution for Phase 11 at Vail Memorial Park East Lionshead Circle Vantage Point Walk (VRA) 185,000 - - - - - Improvements to Vantage Point walkway as requested by Vantage Point Pedestrian Safety Enhancements 257,830 1,500,000 2017: Phase 11- Vail Valley Drive and Glen Lyon Crosswalk sign and lighting; 2018: Lighting for Main Vail roundabouts and West Vail Roundabouts (approved by council on 7/5/16) Transit Stop Improvemen West Vail Roundabout Library Self -Check System Updates - 475,000 - - 1 :: ransi ane or e press .uses a Yai vi age ransi en er; , .. pe. es nan improvemen s, .us urning 11 improvements to West Vail Arosa bus stop in West Vail 18,000 350,000 - - West Vail roundabout concrete replacement/repair near Marriott Streamside (currently there is exposed re -bar) 20,000 - - - - Library replacement kiosk and security gate replacement Chamonix- TOV 762,548 - Chamonix contingency- TOV East Meadow Drive Snowmelt 800,000 750,000 Snowmelt major repairs from Solaris to Austria House/Covered Bride area to be done at same time as the Slifer Plaza construction. This includes paver removal, snowmelt, asphalt replacements with concrete pavers Slifer Plaza/ Fountain/Storm Sewer 1,455,321 - - - Repairs to Silfer Plaza fountain and storm sewers; 2018: Placeholder for highest estimate if fountain included in renovations West Vail Interchange Sidewalk Repair - 500,000 - 1,000,000 - - - - + To repair sidewalk damage underneath the 1-70 bridge Neighborhood Road Reconstruction 60,490 - - 2017: Continuation of 2015/2016 shared drainage project with ERWSD on Rockledge Rd/Frontage Rd; 2019: East Vail road reconstruction design; 2020: Phase 1 of East Vail road reconstruction ($4.25M) and design of Phase!! & III ($250K) ; 2021: Phase 11 & III Reconstruction Neighborhood Bridge Reconstruction 1,385,608 r 200,000 - - - Nugget Lane and Bridge design in 2015-2016 and construction in 2019. 2018/2019: Bridge Road Replacement ($1.2M); Lionshead Parking Structure Landscape Renovations (VRA) 100,000 - - - Improvements to parking structure landscaping Fire Breathing Apparatus 298,000 Replacement of all (30) cylinders/compressors purchased in 2007; Updated model addresses safety issues that have been identified in the current model, such as failure in high temperature environments; New units would also allow interoperability with surrounding departments who have gone to this updated unit type. Original budget increased by $23K Colorado Ski Museum renovation 500,000 - - - - - Placeholder for town contribution toward expansion and remodel of Colorado Ski Museum Parking Entry System / Equipment 34,200 - - - - - Backup parking sales desktop coder for parking passes; 2017: East Betty Ford Way remote access parking equipment for the ADA gate to operate remote Radio Equipment replacement/expansion 18,900 600,000 - - - - 2017: Additional Radios for backup radios and crew expansion; related yearly County fees ($10K) included in HEF; Previously $693K budgeted in 2014 for replacement of approximately 59 radios for PW, PD and Fire. Adjusted to only include radios purchased over 12 years ago (in 2008 the town replaced a number of radios; these will not be replaced until 2018) Bus Camera System - - 15,000 15,000 - - Installation of software and cameras in buses; 2019/20 annual capital maintenance of camera replacement, etc. Hybrid Bus Battery Replacement 431,772 Scheduled replacement; Estimated life of 6 years; While batteries are passed their lifecycle replacement has not been needed as of yet Replace Buses 6,603,500 - - 5,790,000 - - 2017: 7 buses ordered in 2017 scheduled for replacement and delivery in 2018 ($440.5K per bus); 2020 7 buses for replacement at $800K each, plus 4 charging stations at $40K each, and $30K for additional power chargers. Grant funding is being pursued. Resort App 80,000 Transfer $15K from audio visual project; Town "Resort App" mobile application; annual expenses have been transferred to operating budget 6 August 15, 2017 - Page 55 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE CAPITAL PROJECTS FUND Increased cost from prior 5 -year plan Project timing changed from prior 5 -year plan Proposed Revisions / newly added project * Placeholder items 2017 Amended 2018 2019 2020 2021 2022 Public Works Shops & Maintenance Buildings 150,000 300,000 13,500,000 - - - 2017:Public Works shops heater replacements ($150K each in 2017 and 2018); ;2018: $150K Design for PW building remodel 2019: Expansion and remodel based on approved master plan for the Public Works shop complex to accommodate equipment added over the years Public Works Equipment Wash Down/WQ Improvements 246,967 - - - - - Exterior wash area for large trucks not safe in the winter; also includes improvement to how the waste water is disposed Total Enhancements 15,325,378 7,595,000 17,130,000 10,305,000 4,600,000 550,000 New Assets Municipal Redevelopment 359,330 - - - $359K for planning of possible future municipal building redevelopment; $6M was moved forward in the 5 year capital plan to 2018 as a placeholder for a significant remodel should a complete reconstruction occur. VVMC / TOV Frontage Road improvements 1,300,000 455,000 _ - - - - - Construction of 4 level parking structure at Red Sandstone Elementary school, with contributions from Vail Resorts ($4.3M) and Eagle County School District ($1.5M); Remainder to be reimbursed by VRA 9,000,000 - - 2017: Council approved design work of $375K on Apr. 18; Staff has proposed contract award at $455K to include a 3rd party review, utility potholing and public information based on WMC plans for expansion; Improvements would span from LH Parking structure to Municipal building; Design funded by Traffic Impact Fee funds; Original Plan: 2020: VVMC plans for expansion; Improvements would span from LH Parking structure to Municipal building; funded by VRA ($3.6M to be repaid by VRA $100K in 2020 and $3.5M in 2021, Traffic impact fee ($3.15M), Remaining CPF & Developments ($2.25M) Chamonix Housing Development 17,728,000 - - - - - Construction of future housing development 1-70 Underpass (VRA) 3,888,587 2015-2017 is the town's portion of this project since we were awarded RAMP funding from CDOT and includes the budget increase approved by both Council and CDOT Public Art (VRA) 153,325 - - - - - 1-70 Underpass art project originally budgeted in 2018 East LH Circle pathway to Dobson (VRA) 100,000 - - - - - Planning and Design for project to Improve connection from the E LionsHead bus stop to Dobson originally scheduled in 2016; Project has been moved to unfunded pending the civic center master plan revision Dobson Plaza (VRA) 100,000 - - - - - Redevelop the center plaza of Dobson for better flow of bus traffic, people traffic (concerts); planning/design originally scheduled in 2016; Project has been moved to undunded pending the civic center master plan revision Buy -down Program(Affordable Housing) 500,000 500,000 500,000 500,000 500,000 500,000 Placeholder for deed Restriction purchase program based on Affordable Housing Strategic Plan- contingent upon council approval of program policies and implementation plan Buy -down Program Funded by Pay -in-Lieu 3,112,482 - - - - - Carry forward current balance of program funding: Housing funded directly by Pay -in -Lieu fees collected from developers; Request to use toward the deed restriction purchase program pending approval of program policies; Includes revenue collected in 2016 ($505,277) Underground Utility improvements 325,000 - - - - - Appropriate for Rockledge Road, $50K; 1-70 Underpass (CDOT $105 & Holy Cross $75K); 2017 add $50K for undergrounding electric between Glen Lyon office building and Liftside Total New Assets: 28,021,724 14,218,912 500,000 9,500,000 500,000 500,000 Total Expenditures 49,667,193 25,865,512 20,758,160 25,090,793 10,668,017 5,207,265 Other Financing Sources (Uses) Transfer from Vail Reinvestment Authority 5,876,912 2,200,000 1,550,000 5,150,000 1,550,000 2,050,000 2017: 1-70 Underpass ($3.9M); $177K public art; $31 K for Lionshead parking expansion joints; Lionshead parking structure landscape improvements and Vantage Point Walk; LH Circle pathway to Dobson ($100K); Dobson Plaza ($100K); Red Sandstone Parking Garage ($1.3M); 2018: $1.5M Red Sandstone, $400K Lionshead Express Bus Stop, $250K Vail Spa heated sidewalk ; 2019: $1.5M Redstandstone, 2020: $1.5M Red Sandstone, $3.6M Frontage Road WMC; 2021: $1.5M Red Sandstone; 2022: $2M Red Sandstone Revenue Over (Under) Expenditures (30,458,506) 12,810,458 (6,708,526) (4,001,160) 3,990,185 10,336,078 Beginning Fund Balance 35,990,414 5,531,908 18,342,367 11,633,841 7,632,681 11,622,866 Ending Fund Balance 5,531,908 18,342,367 11,633,841 7,632,681 11,622,866 21,958,944 7 August 15, 2017 - Page 56 of 113 8 August 15, 2017 - Page 57 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE REAL ESTATE TRANSFER TAX Increased cost from prior 5-year plan Project timing changed from prior 5-year plan Proposed rRevisions / newly added project * Placeholder items 2017 Amended 2018 2019 2020 2021 2022 Revenue 3% 2% 2% 2% 2% Real Estate Transfer Tax $ 5,850,000 $ 6,100,000 $ 6,222,000 $ 6,346,000 $ 6,473,000 $ 6,602,000 2018 is a 3% increase from 2017 budget and includes some additional from new real estate sales such as Lion Golf Course Lease 140,094 165,000 166,650 168,317 170,000 171,700 Annual lease payment from Vail Recreation District; annual increase will be based on CPI - deposited to "Recreation Enhancement Account" (accompanying expenditure listed below) Intergovernmental Revenue 875,125 20,000 20,000 20,000 20,000 20,000 $135K State funding for water mitigation for PW runoff- See corresponding expenditure below; $20K from Eagle County for Intermountain Fuels project; $20K Lottery fund proceeds; 2017 $700K CDOT TAP Grant for water quality improvements at East Vail Interchange, Eagle County contribution for Intermountain Fuels project- see corresponding expenditure below, Project Reimbursements 36,000 - - - - - 2017: Contribution from the Nature Conservancy ($36K) for Intermountain Fuels project - See corresponding expenditure below; 2016: WF loan repayment for amphitheater ($1.122M); Donations 5,770 - - - - - Use of $5.7K Sole Power Donations received in 2016 Recreation Amenity Fees 10,000 10,000 10,000 10,000 10,000 10,000 Earnings on Investments and Other 33,064 22,559 12,437 14,619 14,280 26,622 0.7% rate assumed Total Revenue 6,950,053 6,317,559 6,431,087 6,558,936 6,687,279 6,830,322 Expenditures Maintain Town Assets Annual Park and Landscape Maintenance 1,577,134 1,599,884 1,678,000 1,719,000 1,761,000 1,803,498 Ongoing path, park and open space maintenance, project mgmt. Management Fee to General Fund (5%) 292,500 305,000 311,100 317,300 323,650 330,100 5% of RETT Collections - fee remitted to the General Fund for administration Tree Maintenance 104,270 65,000 65,000 65,000 66,300 67,600 Tree removal project along Gore Creek in 2017 utilizing 2016 savings; Per Council 4/18, add $20K; Regular maintenance for tree health within the town (spraying, removing, new trees); scale spraying on town-owned property at approx. $120 per tree; Initiating tree- planting program for lost trees Forest Health Management 268,655 276,781 282,317 280,066 285,667 291,381 Operating budget for Wildland Fire crew; 2017 increase for replacement of 1 radio ($4.5K) and new wildland hose ($4K) Forest Health VHF Radios - 31,863 - - - - 2018: 13 VHF radios for Wildland crew ($2,450/each) for incidents outside of Eagle County; Will enable communication with other agencies using this technology such as Summit County Intermountain Fuels Reduction 733,656 $56K contribution from Eagle County($20K) and Nature Conservancy ($36K)- See corresponding contribution above; 2017: $677.7K for Phase II as approved by Council; .2016 included $63.7K for Phase I of Intermountain Fuels Reduction Project; 2018: Phase III ($5K) Street Furniture Replacement 57,588 25,000 10,000 50,000 51,000 50,000 Utilize 2016 savings for additional benches and bike rack replacements in 2017; also includes annual replacement or capital repairs, benches, recycling and bike racks Rec. Path Capital Maint 204,135 110,986 127,287 113,631 115,017 116,449 Capital maintenance of the town's recreation path system Park / Playground Capital Maintenance 83,025 106,655 106,263 105,901 106,071 Annual maintenance items include projects such as playground surface refurbishing, replacing bear-proof trash cans, painting/staining of play structures, picnic shelter additions/repairs, and fence maintenance; 2018 includes $54K increase for improvements to access into Staub Park 8 August 15, 2017 - Page 57 of 113 9 August 15, 2017 - Page 58 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE REAL ESTATE TRANSFER TAX Increased cost from prior 5-year plan Project timing changed from prior 5-year plan Proposed rRevisions / newly added project L Placeholder items 2017 Amended 2018 2019 2020 2021 2022 Adopt A Trail 5,000 - - - Mid-cycle Adopt A Trail Council Contribution for trail in or bordering the Town; Council has requested an update in the fall Alpine Garden Support 69,700 70,397 71,101 71,812 72,530 73,256 Annual operating support of the Betty Ford Alpine Gardens; annual increase to follow town's general operating annual increase Alpine Garden - Fountains 30,000 30,000 - - - Contribution request for assistance with repairs to water fountains Eagle River Watershed Support 45,450 46,814 48,218 49,664 50,658 51,671 Annual support of the Eagle River Watershed Council programs with 1% increase for 2017 Public Art - Operating 106,846 108,983 111,163 113,386 115,654 117,967 Art in Public Places programming Environmental Sustainability 480,415 434,138 442,821 451,677 460,711 469,925 2017 includes rollover of Sole Power donations received in 2016 $5.8K; Environmental Sustainability programs; 2017: $62K to complete Sustainable Destination Certification; $12K for energy management software to track the town's progress toward goals; $15K Solar feasibility study Total Maintenance 4,058,374 3,269,921 3,253,661 3,337,799 3,408,087 3,477,916 Enhancement of Town Assets Gore Valley Trail Realignment - - 50,000 600,000 - Gore Valley Trail Realignment at Lionshead gondola Gore Valley Trail Reconstruction Conoco to Donovan - -- - Gore Valley Trail Reconstruction between Conoco and Donovan Pavilion Glen Lyon Rec. Path Reconstruction 150,000 Reconstruction of Glen Lyon Rec Path to be completed with the construction of the 1-70 underpass ($150K) North Recreation Path- Sun Vail to Pedestrian Bridge 125,000 North Recreation Bike Path reconstruction on North Frontage road between Sun Vail and the pedestrian Bridge Chalet Road Sport Courts 40,000 - - - - - $40K to complete sports courts on Chalet Road Soft Surface Trails 100,000 100,000 -- - - Trail enhancements Wildland Fire Shelter - - 17,500 To purchase a wildland shelter safety device Vail Transit Center Landscape Landscaping at Vail transit center to coincide with construction of additional bus lane at Vail TRC Donovan Park Improvements 64,947 Final payment for Donovan Park picnic shelter and playground maintenance completed in 2017 Library Recreation Path Reconstruction 10,000 - - - - - Repairs to the recreation path from the Vail Library to Lionshead Library Landscape and reading area - - 100,000 - - - Exterior landscaping and site work enhancements for an outdoor reading area Streamtract Education/Mitigation 273,199 - Includes water quality and streamtract education, outreach, signage and marketing; water quality personnel Water Quality Infrastructure 1,520,255 1 • 1,050,000 350,000 1,000,000 1,000,000 1,000,000 2017: Includes $135K for water mitigation at PW from grant for roof runoff; Re- appropriation of 2016 funds to continue water quality improvement to Gore Creek; Stormwater site specific water and water quality construction projects as part of "Restore the Gore" Streambank Mitigation 636,806 400,000 400,000 - - Riparian Site specific construction projects East Vail Water Quality TAPS 1,125,111 - - - - - East Vail Water Quality Improvements; CDOT TAP grant funding of $700K in 2017; East Vail Interchange Improvements 988,807 500,000 -- - - Continuation of landscaping design and construction of the interchange Dowd Junction repairs and improvements 365,835 1,800,000 - - Continuation for re-stabilization of Dowd Junction path; Repairs to culverts, drainage, and preventative improvements; project in cooperation with Eagle River Water and Sand (ERWSC) Park Safety Improvements - - - - - Placeholder for general park safety improvements based on inspection report Stephens Park Safety Improvements 225,000 - Access improvements to include extended sidewalk, new stairs and other site improvements; playground was built in 1990's 9 August 15, 2017 - Page 58 of 113 10 August 15, 2017 - Page 59 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE REAL ESTATE TRANSFER TAX Increased cost from prior 5 -year plan Project timing changed from prior 5 -year plan Proposed lkevisions / newly added project * Placeholder items 2017 Amended 2018 2019 2020 2021 2022 Buffehr Creek Park Safety Improvements - - - - - Replacement 14 -yr old "catalog" playground equipment with custom build in 00,000 2019(previously budgeted in 2020); $60K to add a picnic shelter; previously budgeted in 2017 Ellefson Park Safety Improvements 300,000 - Replacement 13 -yr old "catalog" playground equipment with custom build in 2022 (Previously budgeted in 2019) Bighorn Park Improvements 225,000 - - - - 2017: Transfer budget from Ford Park projects; Park improvements and upgrades including shelter upgrade, ADA access, drainage improvements, playground mtc, new stairs added to west end, irrigation improvements, and planting around pond Ford Park Portal Improvements 330,704 - - - - - Continue improvements to Ford Park entry points; Ford Park Playground/Lower Bench Improvements 2019: ($250K) ; Landscape improvements to parking lots, playground, and softball berm($50K) Open Lands Plan 177,192 - - - - Continuation of Comprehensive Open Lands Plan Update Gore Valley Trail Bridge Replacement - - 300,000 - - Reconstruction of south bridge abutment due to significant scour Booth Creek Park 384,768 - - - - - Redevelopment of entire park including tennis courts, covered areas and playground structures; Tennis court ($262K) and playground ($385K) originally budgeted in 2014 will occur when overall park is reconstructed. Public Art -General program / art 567,310 85,000 85,000 85,000 85,000 85,000 To purchase sculptures, artwork, art programs and events; remainder is re -appropriated each year to accumulate enough funds. Also includes 2016 sales from manhole covers Public Art - Winterfest 14,295 Carry over balance from 2016 ($14K) and recognize donations made for Winterfest event ($261). Total Enhancements 6,974,229 4,960,000 2,252,500 2,085,000 1,235,000 685,000 VRD-Managed Facility Projects Recreation Enhancement Account 140,094 165,000 166,650 168,317 170,000 171,700 Annual rent paid by Vail Recreation District; to be re -invested in asset maintenance; Golf Course - Other 622,372 384,769 8,296 171,106 gg 75g - 2017: Design and planning to replace bridges at holes 13 & 14 ($50K), replace stone veneer with timber railings ($16.4K),rebuild irrigation pumps ($13.1K); $400K for storage building; asphalt driving and parking area; 2018: Replacement of bridges at holes 14&15 ($370.7K), replace radiant tube heaters ($11.3K), pump house exterior ($2.8K); 2019: Crackfill and seal driveway ($2.5K), Replace timber planking at hole 1 ($5.8K); 2020: Replace roof ($134.3K), repair wood trim ($21.5K), stain fence ($1.8K), crack and seal parking lot ($13.4K); 2021: Streambank restoration ($61.5K), pumphouse exterior ($3.1K), replace HVAC ($14.8K), replace furniture and heater units ($17.2K), stain trim ($2.2K) Dobson Ice Arena 408,878 68,206 103,175 31,046 2,460 - 2017: 'Complete pavers and concrete slab replacement ($54K)remodel rink bathrooms and changing rooms ($131.1K), rock wall repair ($10.5K), clean wood structure ($38.2K), replace pumps ($45.9K), redesign and rebuild electrical room ($120.2K); 2018: Replace windows and heat pumps ($68K); 2019: Replace exterior doors ($85.5K), repair damaged walkways ($17.4K); 2020: Replace steel gates ($11.9K), replace exterior lighting ($19.1K); 2021: Paint exhaust stacks ($2.5K) 10 August 15, 2017 - Page 59 of 113 11 August 15, 2017 - Page 60 of 113 TOWN OF VAIL 2018 PROPOSED BUDGET SUMMARY OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCE REAL ESTATE TRANSFER TAX Increased cost from prior 5-year plan Project timing changed from prior 5-year plan Proposed rRevisions / newly added project * Placeholder items 2017 Amended 2018 2019 2020 2021 2022 Ford Park / Tennis Center Improvements 178,245 11,256 4,179 - - 2017: replace roofing on tennis center ($81.5K), replace gutters ($9.3K), remodel bathrooms ($31K), replace lockers ($13.1K), furnace ($13.7K), hot water tank ($7.6K), and base board heaters ($18.6K); Tennis Courts at East Betty Ford Way ($125K); 2018: Stain wood siding of concessions ($5.6K) and restrooms ($5.6K); 2019: Path from Tennis courts to East Betty Ford Way ($125K); 2020: Replace exterior doors ($4.1 K) Athletic Fields 29,445 6,078 - - 9,716 - 2017: paint wood structure and exterior trim ($8K), rooftop replacement for restrooms and athletic field ($21.3K); 2018: Seal coat and crack fill in parking lot ($6K), 2021: Repair exterior, seal coat, crackfill in parking lot ($9.7K) Gymnastics Center 52,089 - - - - - Installation of cooling system in 2017 ($57.5) Nature Center 109,754 - 2017: Research on historical preservation and design ($40K); Exterior windows, doors, wood siding and slope roof ($69.8K) Total VRD-Managed Facility Projects 1,540,877 635,309 403,121 374,648 280,935 171,700 New Assets Golf Clubhouse & Nordic Center 1,077,912 - - - - - Completion of clubhouse renovation; Total clubhouse cost included $1.165M reimbursement from VRD, allocation of Recreation Enhancement Funds $765,440, Conference Center funds of $3.8M, current RETT funds of $538,189 (Total project cost estimated at $13.8M, which includes previously spent RETT funds of $705,571 from 2012 & 2013) Ford Park Improvements & Fields 675,624 55,000 I 210,000 - - Combine prior budget amounts for various Ford Park projects in 2017 such as Lighting control system ($98K), landscape improvements ($175,297), schoolhouse garden and softball shelter ($300K); West Betty Ford Way - Maintenance Bldg. ($198K); Riparian planting ($12K); transformer enclosure ($35K); 2018: Ford Park Soccer Field ADA Route ($55K); 2019: Ford Park Landscape Improvements ($50K), Ford Park East End Special Events Power ($160K); 2020: Synthetic Turf Replacement ($410K); Parking Lot Entry Reconfiguration ($400K) Total New Assets: 1,753,536 55,000 210,000 810,000 - - Total Expenditures 14,327,016 8,920,230 6,119,282 6,607,447 4,924,022 4,334,616 Other Financing Sources (Uses) Revenue Over (Under) Expenditures (7,376,963) (2,602,672) 311,805 (48,511) 1,763,257 2,495,706 Beginning Fund Balance 11,756,285 4,379,322 1,776,650 2,088,455 2,039,944 3,803,201 Ending Fund Balance $ 4,379,322 $ 1,776,650 $ 2,088,455 $ 2,039,944 $ 3,803,201 $ 6,298,907 11 August 15, 2017 - Page 60 of 113 Revenue Property Tax - LionsHead TIF Property Tax - Vail Square Metro Districts Federal Subsidy for BAB bonds Project Reimbursement Earnings on Investments Total Revenue Completion of Adjusted for Lion Gallagher VAIL REINVESTMENT AUTHORITY Summary of Revenue, Expenditures, and Changes in Fund Balance Actual Actual 2015 2016 2017 3,358,346 3,488,594 3,782,000 478,915 470,911 528,390 167,896 168,246 168,337 937 2,062 1,600 Amended 2017 8.4% 3,782,000 528,390 168,337 1,600 4,006,094 4,129,813 4,480,327 4,480,327 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2.4% 0.0% 5.0% 0.0% 5.0% 0.0% 5.0% 0.0% 5.0% 0.0% 5.0% 0.0% 5.0% 3,873,000 3,873,000 4,067,000 4,067,000 4,270,000 4,270,000 4,484,000 4,484,000 4,708,000 4,708,000 4,943,000 4,943,000 5,190,000 540,000 540,000 567,000 567,000 595,000 595,000 625,000 625,000 656,000 656,000 689,000 689,000 723,000 167,444 167,444 165,082 153,460 140,610 127,280 113,420 98,976 83,204 66,074 48,186 29,483 9,963 1,745 2,615 2,492 2,500 2,500 2,500 4,491 6,820 9,148 11,629 14,114 16,755 19,398 4,582,189 4,583,059 4,801,574 4,789,960 5,008,110 4,994,780 5,226,911 5,214,795 5,456,352 5,441,703 5,694,300 5,678,238 5,942,361 Operating Expenditures Office Supplies Professional Fees 11,623 2,810 10,000 Management Fee 67,167 69,772 75,640 Treasurer's Fee -LionsHead TIF 100,753 104,662 113,460 Treasurer's Fee -Vail Square Metro Districts 14,367 14,127 15,852 Vail Square Metro District Pass Through 464,548 456,784 512,538 Total Operating 658,458 648,155 727,490 Capital Outlay Lionshead Parking Structure Entry 83,339 Frontage Road improvements (LH Pkg to Muni) LH Skate Park (RETT) 1,376,614 294,664 LH Parking Structure Landscape Improvements Lionshead Medians Red Sandstone Parking Garag East LH Circle Vantage Point Walkway East LH Circle pathway to Dobson Dobson Plaza Lionshead Expr€ Bus Stop Irr ants (VRA) Vail Spa Heated Walk (VRA) Dobson Reconstruction / Re -purpose Municipal Parking lot W Lionshead Cir Crosswalk Signs and Lighting 1-70 Underpass - RAMP Project 1-70 Underpass - Public Art Lionshead Parking Structure Capital Maintenance 100,000 185,000 1,228,154 3,220,526 3,250,000 69,530 30,873 50,000 Transfer to Capital Projects Fund Total Transfers 2,757,637 3,546,063 3,585,000 10,000 75,640 113,460 15,852 512,538 727,490 100,000 1,300,000 185,000 100,000 100,000 4,041, 912 50,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 77,460 77,460 81,340 81,340 85,400 85,400 89,680 89,680 94,160 94,160 98,860 98,860 103,800 116,190 116,190 122,010 122,010 128,100 128,100 134,520 134,520 141,240 141,240 148,290 148,290 155,700 16,200 16,200 17,010 17,010 17,850 17,850 18,750 18,750 19,680 19,680 20,670 20,670 21,690 523,800 523,800 549,990 549,990 577,150 577,150 606,250 606,250 636,320 636,320 668,330 668,330 701,310 743,650 743,650 780,350 780,350 818,500 818,500 859,200 859,200 901,400 901,400 946,150 946,150 992,500 3,600,000 1,500,000 1,500,000 1,500,000 1,500,000 2,000,001 400,001 250,0 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 Total Expenditures before Financing 3,416,095 4,194,218 4,312,490 Financing 2010 Bond Issue - net proceeds Principal (490,000) (500,000) (515,000) Interest (577,928) (564,928) (547,753) Fiscal Agent Fees (2,420) (2,420) (2,200) Debt Serv 5,876,912 6,604,402 2,200,000 1,550,000 5,150,000 1,550,000 2,050,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 2,943,650 2,293,650 5,930,350 2,330,350 2,868,500 868,500 909,200 909,200 951,400 951,400 996,150 996,150 1,042,500 ice Payments 2010 Bonds Subtotal Financing (1,070,348) (1,067,348) (1,064,953) Revenue Over (Under) Expenditures After Financing Beginning Fund Balance Loan - Town of Vail (515,000) (547,753) (2,200) (1,064,953r (535,000) (555,000) (575,000) (595,000) (615,000) (640,000) (665,000) (695,000) (720,000) (750,000) (785,000) (820,000) (855,000) (526,753) (501,432) (471,662) (438,458) (401,740) (363,658) (324,058) (282,788) (237,726) (188,782) (137,675) (84,236) (28,467) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (2,200) (1,063,953) (1,058,632) (1,048,862) (1,035,658) (1,018,940) (1,005,858) (991,258) (979,988) (959,926) (940,982) (924,875) (906,436) (885,667) (480,349) (1,131,753) (897,116) 5,924,250 5,443,901 4,312,148 (3,189,028) 4,312,148 574,586 1,230,777 (2,177,638) 1,423,952 1,120,670 3,120,422 3,326,453 3,325,607 3,545,026 3,549,321 3,773,275 3,775,652 4,014,194 E-1 1,123,120 1,697,706 2,928,483 750,845 2,174,797 3,295,468 6,415,890 9,742,343 13,067,951 16,612,976 20,162,297 23,935,572 27,711,224 Ending Fund Balance $ 5,443,901 $ 4,312,148 $ 3,415,032 $ 1,123,120 $ 1,697,706 $ 2,928,483 $ 750,845 $ 2,174,797 $ 3,295,468 $ 6,415,890 $ 9,742,343 $ 13,067,951 $ 16,612,976 $ 20,162,297 $ 23,935,572 $ 27,711,224 $ 31,725,418 August 15, 2017 - Page 61 of 113 Revised post -08/09/2017 **Costs are estimates** Priority I Technology Infrastructure West Vail Master Plan Priority II Timber Ridge Transit Improvements Municipal Building Remodel Data Center Priority III Main Vail Round -about Major Reconstruction West Vail Round -about Major Reconstruction TOV share of EvergreenNVMC roundabout Lionshead Medians (VRA) Newly -identified projects: New biking & hiking trails (Vail Trail/Open Lands Plan) Phase II of Timber Ridge redevelopment Bus Stops/Shelters Community Ice Skating Natue Center Renovations Newly -identified projects: East LH Circle pathway to Dobson (VRA) Dobson Plaza (VRA) LionsHead Parking Structure Enhancements Dobson Arena Funding Resource Options: Eligible for funding from VRA RETT Capital Projects Fund Description Status 1,500,000 1,150,000 1,450,000 3,600,000 Per Council 7/7/15 keep in unfunded until specific projects identified; Council committed to funding projects that improve our communication with guests and establish Vail as a leader in technology services Timber Ridge Transit Imrovements including adding capacity and turn lanes; to 1,750,000 coincide with redeveleopment of the West side of Timber Ridge 25,000,000 3,600,000 1,000,000 1,750,850 Projected Fund Balance by end of 2022: 1,219,785 6,298,907 21,958,944 Recent paving and 1-70 Underpass project will extend the life of current roundabouts Recent paving and 1-70 Underpass project will extend the life of current roundabouts Staff estimates that this project may be 10 years out (from 2015); Per Council 7/7/15 leave on the list as Priority III for now Median construction from LH parking structure to Vail Spa Tier III due to 1-70 Underpass; may re-evaluate need once underpass completed Tier III due to 1-70 Underpass; may re-evaluate need once underpass completed On hold until Open Lands plan is completed Per TROC board, not within 5 -year plan; Per Council 7/7/15, recent capital improvements have extended life for 7 years New bus stops at Transit Center, West Vail, Vail Village, Timber Ridge, and Muni Building for potential Line Haul bus service Outdoor community ice at some of Vail parks such as Donovan Planning and Design for project to Improve connection from the E LionsHead bus stop to Dobson to be completed with revision of civic center master plan Redevelop the center plaza of Dobson for better flow of bus traffic, people traffic (concerts) to be completed with revision of civic center master plan Does not add spaces, but brings remainder of structure up to standards of new transit center and current codes; enhances guest experience; includes heated stairways on east side- will not be funded until the Vail Master Plan is complete August 15, 2017 - Page 62 of 113 90 0 c 0 2 80 70 60 50 40 30 20 10 TOV Reserves 10 Year History & 5 Year Projection $82.7 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $54.7 44.71 $48.7 I $41.0 1 $62.6 lh $49.7 1 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 All Other Conference Center Fund RETT Fund Capital Projects Fund General Fund Reserve Min August 15, 2017 - Page 63 of 113 VAIL TOWN COUNCIL AGENDA MEMO ITEM/TOPIC: DRB / PEC Update PRESENTER(S): Chris Neubecker, Planning Manager ATTACHMENTS: Description August 2, 2017 DRB Meeting Results August 14, 2017 Meeting Agenda August 14, 2017 PEC Meeting Results TOWN IfO August 15, 2017 - Page 64 of 11 TOWN OFD MEMBERS PRESENT Doug Cahill Bill Pierce Rollie Kjesbo Peter Cope Andy Forstl DESIGN REVIEW BOARD AGENDA PUBLIC MEETING August 2, 2017 Council Chambers 75 South Frontage Road West - Vail, Colorado, 81657 MEMBERS ABSENT PROJECT ORIENTATION 2:OOpm SITE VISITS 1. Kelton Residence — 1034 Homestake Circle 2. Breakaway West — 963 Lions Ridge Loop (Cancelled) MAIN AGENDA 3:OOpm 1. 142 West Meadow LLC DRB17-0265 Chris Final review of new construction 142 West Meadow Drive/Lot 3, Vail Village Filing 2 Applicant: 142 West Meadow LLC, represented by Segerberg Mayhew & Assoc. ACTION: Approve with Conditions MOTION: Kjesbo SECOND: Cahill VOTE: 5-0-0 CONDITION(S): 1. Prior to submittal of a building permit application, the applicant shall revise the landscape plan to show a 16 foot tall spruce tree to the west of the west property line, on the adjacent property (with approval of the adjacent property owner), as well as a 12 foot tall spruce tree in the center island between the two driveways, near the north property line. 2. Badzik Residence DRB17-0287 Matt Final review of an exterior alteration (paint) 4153 Spruce Way #1/Lot 10, Block 9, Bighorn 3rd Addition Applicant: Charles Badzik ACTION: Approve with Conditions MOTION: Kjesbo SECOND: Cahill VOTE: 5-0-0 CONDITION(S): 1. This approval is only an approval of painting to match the existing colors of the duplex unit. No additional colors beyond the existing colors are allowed. 3. Kelton Residence DRB17-0296 Final review of an exterior alteration (landscaping) 1034 Homestake Circle/Lot 5, Block 6, Vail Village Filing 7 Applicant: Arthur Kelton, represented by Old Growth Tree Service ACTION: Approve with Conditions MOTION: Kjesbo SECOND: Cahill VOTE: 5-0-0 CONDITION(S): 1. This approval shall include approval to remove the identified multi -stem aspen. Page 1 Jonathan August 15, 2017 - Page 65 of 11 2. This approval may be for the removal of the evergreen adjacent to the north side of the house, if desired by the applicant. 3. If the applicant desires further consideration of the removal of the Engelmann Spruce in the front yard, please re -apply with a proposed landscape plan for the effected area. 4. Musella Residence DRB17-0310 Matt Final review of an exterior alteration (windows/door) 5040 Main Gore Place Unit E3/Unplatted Applicant: Anthony & Eileen Musella, represented by Rob Hall's Kitchens Plus ACTION: Approve with Conditions MOTION: Kjesbo SECOND: Forstl VOTE: 5-0-0 CONDITION(S): 1. The applicant shall provide a letter from the Sundial Home Owner Association stating that any other homeowner requesting modifications to the rear patio door and windows must use a similar bifold glass door system to match appearance and function of the NanaWall system used in Unit E3 in order to maintain a uniform and standardized exterior appearance. 5. Breakaway West Condominium DRB17-0304 Jonathan Final review of a change to approved plans (windows) 963 Lions Ridge Loop/Lot B3, Block B, Lion's Ridge Subdivision Filing 1 Applicant: Breakaway West Condominiums, represented by Pierce Architects ACTION: Deny MOTION: Cahill SECOND: Cope VOTE:3-0-2 (Kjesbo/Pierce recused) 6. Breakaway West Condominium DRB17-0317 Jonathan Final review of a change to approved plans (windows, doors, retaining wall veneer) 963 Lions Ridge Loop/Lot B3, Block B, Lion's Ridge Subdivision Filing 1 Applicant: Breakaway West Condominiums, represented by Pierce Architects ACTION: Table to 8-16-2017 MOTION: Forstl SECOND: Cahill VOTE:3-0-2 (Kjesbo/Pierce recused) STAFF APPROVALS SCIC Retaining Wall DRB16-0406 Final Review of streambank protection 4957 Juniper Lane/Block 4, Lot 3, Bighorn 5th Addition Applicant: SCIC Inc. represented by Four Seasons Services VVMC DRB17-0189 Final review of an exterior alteration 180 South Frontage Road West/ Vail Village Filing 2 Applicant: VVMC, represented by Davis Partnership. Donna Kay Stever Living Trust Residence DRB17-0278 Final review of an exterior alteration (windows) 2199 Chamonix Lane Unit 13/Lot 4, Vail Heights Filing 1 Applicant: Donna Kay Stever Living Trust, represented by Aspen Grove Construction, Inc. Glenappin LTD Residence DRB17-0281 Final review of an exterior alteration (windows) 1522 Buffehr Creek Road Unit C23/Parcel A, Lion's Ridge Subdivision Filing 2 Applicant: Glenappin LTD, represented by LHC Construction Inc. Jonathan Jonathan Chris Chris Happy Place LLC DRB17-0292 Matt Page 2 August 15, 2017 - Page 66 of 11 Final review of a change to approved plans (vents) 684 West Lionshead Circle #401/Lot 8, Block 1, Vail Lionshead Filing 3 Applicant: Happy Place LLC, represented by SRE Building Associates Pinos del Norte Homeowners Association DRB17-0294 Final review of a change to approved plans (paint) 600 Vail Valley Drive/Tract B, Vail Village Filing 7 Applicant: Pinos del Norte Homeowners Association, Nedbo Construction Sharer Residence DRB17-0297 Final review of an exterior alteration (landscaping) 1187 Hornsilver Circle/Lot 13, Block 6, Vail Village Filing 7 Applicant: Kevin Sharer, represented by Old Growth Tree Service City Market DRB17-0298 Final review of an exterior alteration (landscaping) 2109 North Frontage Road West/Unplatted Applicant: Town of Vail, represented by Old Growth Tree Service Resnick Residence DRB17-0299 Final review of an exterior alteration (reroof) 1800 Lions Ridge Loop/Lots 1-19, Block 2, Lion's Ridge Filing 3 Applicant: Jeffrey Resnick Prima Partners LLC Residence DRB17-0300 Final review of an exterior alteration (landscaping) 285 Forest Road/Lot 20, Block 7, Vail Village Filing 1 Applicant: Prima Partners LLC, represented by Ceres Landcare Morris Residence DRB17-0301 Final review of an exterior alteration (landscaping) 4842 Meadow Lane/Lot 10, Block 7, Bighorn Subdivision 5th Addition Applicant: John & Lisa Morris, represented by Gillette LLC Valentine Blythe Colorado LLC Residence DRB17-0302 Final review of an exterior alteration (landscaping/patio) 1404 Moraine Drive/Lots 1-19, Block 2, Lion's Ridge Filing 3 Applicant: Valentine Blythe Colorado LLC, represented by Dodd Property Management Paradise ADK LLC DRB17-0306 Final review of a change to approved plans (stairs) 2537 Arosa Drive/Lot 6, Block E, Vail Das Schone Filing 1 Applicant: Paradise ADK LLC, represented by Brett Reigel Chris Jonathan George Matt Matt Jonathan Jonathan Matt Vail Hotel Partners LLC Laurus Corporation DRB17-0307 Chris Final review of an exterior alteration (sign) 1300 Westhaven Drive/Cascade Village — Vail Cascade Resort Applicant: Vail Hotel Partners LLC Laurus Corporation, represented by Mauriello Planning Group Vail Hotel Partners LLC Laurus Corporation DRB17-0308 Chris Final review of a change to approved plans (awning) 1300 Westhaven Drive/Cascade Village — Vail Cascade Resort Applicant: Vail Hotel Partners LLC Laurus Corporation, represented by Mauriello Planning Group Page 3 August 15, 2017 - Page 67 of 11 Phillips Residence B17-0276 Final review of an exterior alteration (door) 4650 Vail Racquet Club drive Unit 21/Unplatted Applicant: Christopher Phillips, represented by BZ Construction LLC Andy The applications and information about the proposals are available for public inspection during regular office hours at the Town of Vail Community Development Department, 75 South Frontage Road. The public is invited to attend the project orientation and the site visits that precede the public hearing in the Town of Vail Town Council Chambers. Times and order of items are approximate, subject to change, and cannot be relied upon to determine at what time the Design Review Board will consider an item. Please call 970-479-2138 for additional information. Sign language interpretation available upon request with 24-hour notification, dial 711. Page 4 August 15, 2017 - Page 68 of 11 1�� PLANNING AND ENVIRONMENTAL COMMISSION TOWN OF VAIL' August 14, 2017, 1:00 PM Vail Town Council Chambers 75 S. Frontage Road - Vail, Colorado, 81657 The August 14, 2017 PEC meeting had not taken place by the time the Town Council packets were distributed. Results from this meeting will be e-mailed to all Town Council members the morning of the August 15, 2017 Council meeting as well as copies printed for distribution to Council and audience members. 1. Call to Order 2. A request for review of a Minor Amendment to Special Development District (SDD) No. 34, The Valley, Phase V , pursuant to Section 12-9A-10, Amendment Procedures, Vail Town Code, to allow for modifications to the approved development plans in order to permit a second road cut and access to the property located at 1521 Buffehr Creek Road/Lot C, The Valley Subdivision Phase V, and setting forth details in regard thereto. (PEC17-0028) 10 min. Applicant: RKD Architects Planner: Chris Neubecker 3. A request for the review of an Exemption Plat, pursuant to Section 13-12-3, Plat Procedure and Criteria for Review, Vail Town Code, to allow for an adjustment to the location of the platted building envelope for Lot C, The Valley Subdivision Phase V located at 1521 Buffehr Creek Road, and setting forth details in regard thereto. (PEC17-0030) 10 min. Applicant: RKD Architects Planner: Chris Neubecker 4. A request for the review of an Exemption Plat, pursuant to Section 13-12-3, Plat Procedure and Criteria for Review, Vail Town Code, to allow for the removal of a plat note limiting gross residential floor area (GRFA) to less than that allowed by the underlying Single -Family Residential (SFR) District for Parcel B, Block 7, Vail Village Filing 1, located at 307 Rockledge Road, and setting forth details in regard thereto. (PEC17-0034) 15 min. Applicant: Mauriello Planning Group Planner: Matt Panfil 5. Ski and Snowboard Club Vail (SSCV), represented by Braun Associates, Inc., is requesting a Public Hearing before the Town of Vail Planning & Environmental Commission (PEC) for the review of a conditional use permit, pursuant to Section 12- 8E-3, Conditional Use, Vail Town Code, to allow for the redevelopment of the Ski and Snowboard Club Vail site with a private and public club and multi -family residential dwelling units, located at 598 Vail Valley Drive. This conditional use permit was previously approved by the PEC on October 27, 2014 and subsequently expired in 2016. No changes to the plans have been made with this request for a re -approval of the conditional use permit. (PEC17-0035) 20 min. Applicant: SSCV, represented by Braun and Associates Planner: Jonathan Spence 6. Ski and Snowboard Club Vail (SSCV), represented by Braun Associates, Inc., is requesting a recommendation to the Vail Town Council for a zone district boundary amendment, pursuant to Section 12-3-7, Amendment, Vail Town August 15, 2017 - Page 69 of 11 Code, to rezone a portion of the newly created Parcel 3 of the Golden Peak Ski Base And Recreation District Parcel subdivision from Ski Base Recreation District to Ski Base Recreation 2 District, located at 460 Vail Valley Drive/Parcel 1, Golden Peak Ski Base and Recreation District Parcel subdivision, and setting forth details in regard thereto. This rezoning was previously recommended for approval by the Planning and Environmental Commission on October 27, 2014. The rezoning was subsequently approved by the Town Council via ordinance but has expired as the plat was not recorded prior to the expiration time established. (PEC17-0036) 20 min. Applicant: SSCV, represented by Braun and Associates Planner: Jonathan Spence 7 Staff requests that this item be continued to the August 28, 2017 PEC meeting. (PEC17-0022) 5 min. Applicant: Vail Valley Medical Center Planner: Jonathan Spence 8. A request for the review of an amendment to a Conditional Use Permit, pursuant to Section 12-9C-3, Conditional Uses; Public and private schools, Vail Town Code, in accordance with the provisions of Section 12-16-10, Amendment Procedures, Vail Town Code, to allow for a renovation and addition to the existing Red Sandstone Elementary School, a conditional use permit, pursuant to Section 12-9C-3, Conditional Uses, Public parking structure, in accordance with Title 12, Chapter 16, Conditional Use Permits, Vail Town Code, to allow for the construction of a public parking structure, and a request for the review of a variance from Section 14-6-7, Retaining Walls, Vail Town Code, in accordance with the provisions of Title 12, Chapter 17, Variances, Vail Town, to allow for the construction of a retaining wall with an exposed face height greater than six feet (6'), located at 551 North Frontage Road West/Lots 8, Block 2, Vail Potato Patch Filing 1, and setting forth details in regard thereto. (PEC17-0031) 45 min. Applicant: TAB Associates Planner: Matt Panfil 9. A request for a recommendation to the Vail Town Council for a Prescribed Regulations Amendment, pursuant to Section 12-3-7, Amendment, Vail Town Code, to amend Section 12-23-2 Employee Generation and Mitigation Rates, Vail Town Code, to reflect the recommendations of the 2016 Vail Employer Survey Summary of Results, February 2017 (Nexus Study) and setting forth details in regard thereto. (PEC17-0033) 20 min. Applicant: Lynne Campbell Planner: Chris Neubecker 10. Approval of Minutes July 24, 2017 PEC Results 11. Adjournment The applications and information about the proposals are available for public inspection during regular office hours at the Town of Vail Community Development Department, 75 South Frontage Road. The public is invited to attend the project orientation and the site visits that precede the public hearing in the Town of Vail Community Development Department. Times and order of items are approximate, subject to change, and cannot be relied upon to determine at what time the Planning and Environmental Commission will consider an item. Please call (970) 479-2138 for additional information. Please call 711 for sign language interpretation 48 hours prior to meeting time. August 15, 2017 - Page 70 of 11 Community Development Department Published in the Vail Daily August 11, 2017 August 15, 2017- Page 71 of 11 TOWN OF(185 1. Call to Order PLANNING AND ENVIRONMENTAL COMMISSION August 14,2017, 1:00 PM Vail Town Council Chambers 75 S. Frontage Road -Vail, Colorado, 81657 Present: Brian Gillette, Ludwig Kurz, Karen Perez, John Rediker, and Brian Stockmar Absent: Pam Hopkins and John -Ryan Lockman 2. A request for review of a Minor Amendment o Special Development District (SDD) No. 34, The Valley, Phase V, pursuant to Section 12-9A-10, Amendment Procedures, Vail Town Code, to allow for modifications to the approved development plans in order to permit a second road cut and access to the property located at 1521 Buffehr Creek Road / Lot C, The Valley Subdivision Phase V, and setting forth details in regard thereto. (PEC17-0028) Applicant: RKD Architects Planner: Chris Neubecker Motion: Approve First: Gillette Second: Kurz Vote: 5-0-0 Neubecker introduced the item by stating that Items 2 and 3 will be discussed at the same time. He then summarized the discussion the last time the item appeared before the Planning and Environmental Commission (PEC) on July 24, 2017. The item has been re -advertised with the correct language on the building envelopes and retaining walls on steep slopes. Neubecker described the proposed changes to the building envelope and the location of the second curb cut. Neubecker concluded by stating that staff recommends approval of the request. Kurz — Asked if there was an overall change in the size of the building envelope. Neubecker stated that there is no overall change in size. The applicant had no formal presentation. There was no public comment. Perez — Supports the request. Kurz — Agrees with the changes and supports the request. Gillette — Agrees with staff. Stockmar — Agrees with staff. August 15, 2017 - Page 72 of 11 Rediker — Agrees with staff's analysis. 3. A request for the review of an Exemption Plat, pursuant to Section 13-12-3, Plat Procedure and Criteria for Review, Vail Town Code, to allow for an adjustment to the location of the platted building envelope for Lot C, The Valley Subdivision Phase V, located at 1521 Buffehr Creek Road, and setting forth details in regard thereto. (PEC17- 0030) Applicant: RKD Architects Planner: Chris Neubecker Motion: Approve First: Gillette Second: Stockmar Vote: 5-0-0 Conditions: 1. Prior to recording the final plat with the Eagle County Clerk and Recorder, the applicant shall add a note to the plat stating, "The sole purpose of this plat is to modify the location of the building envelope for Lot C." 2. Prior to recording the final plat with the Eagle County Clerk and Recorder, the applicant shall add a note to the plat stating, "Portions of Lot C are within Geologically Sensitive Areas, including steep slopes and rock fall areas, as determined by the Vail Town Code, Title 12, Chapter 21." Discussion for Item 3 was included in Item 2. 4. A request for the review of an Exemption Plat, pursuant to Section 13-12-3, Plat Procedure and Criteria for Review, Vail Town Code, to allow for the removal of a plat note limiting gross residential floor area (GRFA) to less than that allowed by the underlying Single -Family Residential (SFR) District for Parcel B, Block 7, Vail Village Filing 1, located at 307 Rockledge Road, and setting forth details in regard thereto. (PEC17-0034) Applicant: Mauriello Planning Group Planner: Matt Panfil Motion: Approve First: Stockmar Second: Perez Vote: 5-0-0 Panfil described the existing glass and steel home on the site. He explained the history of this site and the adjacent properties. The site was previously two separate lots (Lot 14 and 17). The zoning was previously Two Family Primary/Secondary (PS). The owners at the time wanted to create three parcels, Parcel A, B and C. A maximum of four dwelling units was allowed at the time, but the change in zoning at the time would have resulted in more GRFA. By agreement with the Town, the GRFA was limited to what was allowed at the time, but not allowed to increase based on the zoning change. A plat note was added to ensure no increase in GRFA. Now that the code has changed relating to GRFA, the applicant proposes to remove the existing plat note on the GRFA limitation, to allow the GRFA to be based on the current underlying zoning. August 15, 2017 - Page 73 of 11 Stockmar — Can you explain how the existing structure was built exceeding the allowed GRFA? Panfil — No. We have researched this issue and cannot explain how this happened Stockmar — Does the property become conforming with this change? Panfil — Yes Gillette — Are other lots also changing based on this action? Panfil — No, the neighboring lot will not have any changes to the plat notes. Lot sizes will be sufficient to meet the code. Since each parcel is a separate ownership, you would have to submit a separate application to change the plat notes for other lots. Dominic Mauriello — A demo/rebuild is proposed. Based on its current construction, its not easy to remodel. It's not great to use plat notes for zoning issue. It helps to show how decisions were made, and ensure those issues are brought forward, but GRFA in the Town Code has changed several times since this plat note was added. Plat notes from other lots in a similar situation have also been removed in the past. Parcel A and C should have the same right to ask that the plat note be lifted. We had a development schedule to stick to, which is why other properties are not included in this application. Public Comment — Mary Pownall — 267 Rockledge Road. I would like to know if my property will have the same issues. It should happen automatically. What are the changes that I could get this approved for my lot? Panfil — Other owners will have to submit a separate application to have the plat note changed for their lot. Stockmar — Will support Kurz — Agree with staff Perez — Agree with staff, but do not like doing this piecemeal. 5. Ski and Snowboard Club Vail (SSCV), represented by Braun Associates, Inc., is requesting a Public Hearing before the Town of Vail Planning and Environmental Commission (PEC) for the review of a conditional use permit, pursuant to Section 12-8E- 3, Conditional Use, Vail Town Code, to allow for the redevelopment of the Ski and Snowboard Club Vail site with a private and public club and multi -family residential dwelling units, located at 598 Vail Valley Drive. This conditional use permit was previously approved by the PEC on October 27, 2014 and subsequently expired in 2016. No changes to the plans have been made with this request for a re -approval of the conditional use permit. (PEC17-0035) Applicant: SSCV, represented by Braun and Associates Planner: Chris Neubecker on behalf of Jonathan Spence August 15, 2017 - Page 74 of 11 Motion: Approve, with Conditions First: Stockmar Second: Gillette Vote: 3-2-0 (Perez and Rediker Opposed) Conditions: 1. This Conditional Use approval is contingent upon upon the applicant obtaining Town of Vail approval of an associated design review application(s). 2. The applicant shall mitigate the employee generation impact created by the new net development in accordance with the provisions of Chapters 12-23, Commercial Linkage and 12-24, Inclusionary Zoning, Vail Town Code. If a mitigation option including a fee in lieu payment is chosen, the applicant shall make the required fee in lieu payment to the Town of Vail prior to the issuance of any building permit. As required by the Town Code, if the applicant chooses to mitigate any portion of the obligation through off site unit(s), these unit(s) shall be available for occupancy prior to the issuance of any Certificate of Occupancy. 3. The applicant shall adhere to the Ski and Snowboard Club Vail Traffic and Parking Management Plan, October 2014, in all matters referenced unless amended per 12-16-10, Amendment Procedures, Vail Town Code. Neubecker introduced the project by stating that Items 5 and 6 would be discussed in combination. He then summarized the recent history of the project and stated that there are no changes to the plans since it was last reviewed by the Planning and Environmental Commission. Referencing a series of images, Tom Braun of Braun Associates, reviewed the history of Ski and Snowboard Club Vail and its facilities. The rezoning and conditional use permit needs to be reestablished as the 2014 approvals have lapsed. Braun reiterated that the plans have not changed since 2014 and also stated that no changes have been made to any master planning documents that impact the subject property. Braun listed some of the major improvements associated with the site such as a three -lane snow melted driveway and two employee housing units (EHUs). Kurz — Asked if the item had to be noticed. Neubecker confirmed that notice was mailed. Kurz asked if there have been any significant changes to the code since the previous approvals. Neubecker stated that there have been no significant changes. Perez — Asked if the project is ready to move forward and begin construction. Braun confirmed. Stockmar — Asked if funding issues have been resolved. Braun confirmed. Perez — Asked for clarification about items listed in the staff memorandum as ongoing. Neubecker stated that those are items that are not related to Town Code, but pertain to the operations of the club during the construction process. August 15, 2017 - Page 75 of 11 There was no public comment. Perez — Supports the request. Kurz — Supports the request, provided no changes have been made to the 2014 plans. Gillette — Agrees with the staff memorandum. Stockmar — Also agrees with the staff memorandum. Rediker — Stated he was a member of the PEC during the 2014 review process and maintains his stance that the rezoning request is spot zoning. Does support the overall concept and redevelopment of the site, but believes there is a problem in the Town in regards to its rezoning and special development district processes. 6. Ski and Snowboard Club Vail (SSCV), represented by Braun Associates, Inc., is requesting a recommendation to the Vail Town Council for a zone district boundary amendment, pursuant to Section 12-3-7, Amendment, Vail Town Code, to rezone a portion of the newly created Parcel 3 of the Golden Peak Ski Base And Recreation District Parcel subdivision from Ski Base Recreation District to Ski Base Recreation 2 District, located at 460 Vail Valley Drive/Parcel 1, Golden Peak Ski Base and Recreation District Parcel subdivision, and setting forth details in regard thereto. This rezoning was previously recommended for approval by the Planning and Environmental Commission on October 27, 2014. The rezoning was subsequently approved by the Town Council via ordinance but has expired as the plat was not recorded prior to the expiration time established. (PEC17-0036) Applicant: SSCV, represented by Braun and Associates Planner: Jonathan Spence Motion: Approve First: Kurz Second: Gillette Vote: 3-2-0 (Perez and Rediker Opposed) Discussion of Item 6 was included in Item 5. 7. Staff requests that this item be continued to the August 28, 2017 PEC meeting. (PEC17-0022) Applicant: Vail Valley Medical Center Planner: Jonathan Spence Motion: Continue to August 28, 2017 First: Perez Second: Kurz Vote: 5-0-0 8. A request for the review of an amendment to a Conditional Use Permit, pursuant to Section 12-9C-3, Conditional Uses; Public and private schools, Vail Town Code, in accordance with the provisions of Section 12-16-10, Amendment Procedures, Vail Town Code, to allow for a renovation and addition to the existing Red Sandstone Elementary School, a conditional use permit, pursuant to Section 12-9C-3, Conditional Uses, Public parking structure, in accordance with Title 12, Chapter 16, Conditional Use Permits, Vail August 15, 2017 - Page 76 of 11 Town Code, to allow for the construction of a public parking structure, and a request for the review of a variance from Section 14-6-7, Retaining Walls, Vail Town Code, in accordance with the provisions of Title 12, Chapter 17, Variances, Vail Town, to allow for the construction of a retaining wall with an exposed face height greater than six feet (6'), located at 551 North Frontage Road West/Lots 8, Block 2, Vail Potato Patch Filing 1, and setting forth details in regard thereto. (PEC17-0031) Applicant: TAB Associates Planner: Matt Panfil Motion: Continue to August 28, 2017 First: Gillette Second: Stockmar Vote: 5-0-0 Panfil provided a background on the project, and the several meetings already held by the PEC on this item. One of the main issues expressed at the last hearing on this item was regarding circulation and pedestrian safety. Aesthetic changes were also requested to the parking structure. Entrance to first floor parking structure was shifted to improve bus mobility. A striping and signage plan has been provided. Grade has been raised around the parking structure to reduce the visibility of the structure. A stairway connection has been provided to the pedestrian overpass. Greg Macik, TAB Associates — We made several changes since the last meeting. We added more information on traffic circulation and pedestrian safety. The school district has provided a letter indicating that they feel the pedestrian safety has been addressed. We are here to answer questions. Rediker — Safety is the major concern here. Please explain how we get kids of the bus and safely to the school. Macik — Buses still drop off on the lower parking lot. He explained how buses will enter the site, which new entrance is farther to the east than the existing curb cut. New location provides more space for buses, and also to align with entrance to the parking structure. Chad Salli, Public Works — There is space for 3 buses. The same as we can accommodate today. Operations will be similar to today. Stockmar — How many buses use this today? Macik — Three buses. There is no projected student growth. He explained how students will walk from the buses to the school. There is a fence proposed between the sidewalk and the road, from the upper level to the cross walk near the overpass. He explained the road grades on the new road. Gillette — Is there any reason not to continue the railing further down? Macik — No, other than the fact that it is a straight line at that point. Stockmar — Kids will find a way to shirk safety. Macik — Explained location of the Town bike path, and overpass traffic routes. August 15, 2017 - Page 77 of 11 Perez — We could have bikes, students and cars all in this same general areas? Macik — Yes, the same as we have now. Gillette — Where is the continuation of the bike path? Salli — Explained how the bike path and steps at the pedestrian overpass bridge will be changed. Perez — People on a bike coming from the east do not go under the bridge and loop up to the bridge. They will use the shortest path, where the students are walking. I see this as a conflict. Macik — The first time you ride to this ramp on a bike, you might use the same sidewalk as kids. But after that, you will likely loop around under the bridge. Perez — How will students ride their bike to the school? Macik — They will take the same routes as students walking. Rediker — Parent drop-off is already backed up. Will parent drop-off be in the far eastern area, correct? Macik — Correct. He described vehicle access to level two of the parking garages. Rediker — Is there any way to have an entrance and exit that will avoid cars stacking up (parent drop-off). Macik — Biggest challenge is stacking of vehicles. Goal is to have one-way traffic. Rediker — Please explain where the stop signs are proposed. Macik — Explained location of stop signs on the site. Salli — Explained how traffic will merge coming downhill from the school. Stockmar — Post office has an unusual access, and it works if people do not get confused. Does that pattern work here? There was general discussion about possible changes to the traffic pattern in and out of level two of the parking structure, and conflicts with downhill traffic. Gillette — Look at using the west loop for uphill traffic to provide access to parking structure level 3. This will reduce amount of traffic going past the school. Macik — We do not want two-way traffic on the curve. Gillette — When you drive into a school, you should only see parents, students and teaches. You lose some of the aspect of school security when you invite the general public to this area. August 15, 2017 - Page 78 of 11 Greg Hall — Parking will be limited to people who work in town. Not only Town of Vail staff. People with parking passes will have to follow the rules for parking passes, including when they can access the parking. Level 4 parking is only for the school. Level 3 will not be accessible during certain hours when school is accessed by students. Stockmar — If level 3 fills early, when does it empty? Is it random, or is there a focal point? Hall — Random when people leave the structure. There was a general discussion about when parking on various levels should be accessed, and ways to prevent vehicle access when the students are coming or going to the school. Dean Cole — Consultant for the RSES — We have been in touch with the Town of Vail. Access to the parking structure and timing for parking use will be part of our agreements. Current proposal with one way road is an improvement over what we have today. Hall — Discussed some of the turning movements into and out of the school property. 2-3 cars will fit in the right turn lane entering the site. Rediker — How can we limit car access in the bus pickup areas? Hall — Discussed challenges with signage and turning movements from the bus pickup areas. Rediker — Is there a need for crossing guards for kids walking from the east? In particular, at the lowest crosswalk, where all cars entering and leaving the site will cross. Dean Cole — Explained some of the cross walks areas, including day care drop-off where parents escort kids into the school. Others will be dropped off and will be on the sidewalk. We anticipate very few kids crossing the traffic lanes. Perez — Ideally people who park here will walk across the pedestrian bridge. Are we expanding the bus waiting areas? Also, how does Town of Vail bus traffic overlap with school buses? We have 4 town bus routes and 3 school busses. On peak days, it's not just Town of Vail buses. Hall — Discussed when Ford Park users arrive and when the lot fills up, and when employees arrive for certain lots and types of employment. He also discussed use of the Golf Course lot, and changes to bus service that could happen after the underpass is constructed. Rediker — Asked Salli to explain the internal circulation inside the parking structure Salli — There is no internal circulation. All levels of the parking structure have their own access. Hall — We will have to manage level 3. We don't want people to be parking here because they don't have parking at home. We may close level 3 when there is no demand for August 15, 2017 - Page 79 of 11 parking, but the school is still in session. Gillette — How do you turn around inside the parking garage if level 2 is full? There is no space to do it. Can you have electronic signs on the road to indicate the lot is full? Hall — We will have to look into that in greater detail. Perez — Please explain why there is no internal circulation in the parking structure Hall — We want the levels to be flat to allow future development. We lose a lot of efficiency if we have internal circulation. Stockmar — Is there any way to make the parking structure more attractive? Hall — We buried level 1, and will also bury part of level 2. We will also add landscaping to hide some of the structure. There is a public art component, too. Potential locations for art are on the towers, or railings, or near the school. Kurz — Most of my concerns have been addressed by other commissioners. There has been some good thought put into this by the applicants. It's a complex issue to mix parking, traffic pedestrians and kids in a small area. We should not try to design from behind this table. But we should identify our concerns. Rediker — Reiterate my concerns, one cross walk needs to be manned by someone to get kids safely across. I can see a lot of congestion in this area. 9. A request for a recommendation to the Vail Town Council for a Prescribed Regulations Amendment, pursuant to Section 12-3-7, Amendment, Vail Town Code, to amend Section 12-23-2 Employee Generation and Mitigation Rates, Vail Town Code, to reflect the recommendations of the 2016 Vail Employer Survey Summary of Results, February 2017 (Nexus Study) and setting forth details in regard thereto. (PEC17-0033) Applicant: Lynne Campbell, Housing Coordinator, Town of Vail Planner: Chris Neubecker Motion: Continue to August 28, 2017 First: Perez Second: Gillette Vote: 5-0-0 Neubecker described the Nexus Study and how it is applied to the Commercial Linkage section of the Town Code. There are different employee generation rates for different types of uses. For example, a restaurant generates more employees per square foot of floor area than most any other commercial use. The recently completed survey found that certain employee generation rates have increased. The request for the text amendment seeks to align the Town Code with the findings of the Nexus Study. Neubecker discussed the specific uses with changes in employee generation rates. He also discussed the Study's recommendation that accommodation units be classified into different categories and explained the challenges in doing so. This issue will be reviewed in more detail, but no changes to the classification of accommodation units is currently proposed. Staff asks for guidance from the PEC as to whether or not this is an idea worth pursuing. August 15, 2017 - Page 80 of 11 Rediker — Asked when the study was commissioned. Neubecker responded that it was commissioned in 2016 and completed in 2017. Rediker asked who commissioned the study and Neubecker responded that it was the Town of Vail, but the Vail Local Housing Authority (VLHA) has reviewed the study. Rediker asked for clarification as to how the term "new net floor area" applies. Neubecker stated that it only applies when new square footage is created and provided examples of such changes. Stockmar — Asked if there are any examples of changes in employment and fees that result in a change in ownership, but not change in uses. Neubecker stated that he was not aware of such an instance. There was a discussion as to the changes of the employee generation rate for real estate offices. Neubecker stated that the change was a result of the recommendation from the consultant. Rediker — Expressed his concern that the categories are potentially too broad. Gillette and Rediker asked for clarification as to the definition of a limited service lodge. Neubecker read this definition from the code. Panfil reminded the PEC that certain residential properties are subject to inclusionary zoning provisions. Stockmar — Asked how the employee generation rates for eating and drinking establishments could increase so much since the previous study. Kurz — Stated that it may be helpful for the PEC to better understand the process for determining the changes in rates. Rediker — Concurred that the information is confusing. Stated that there appears to be a fundamental unfairness to in eating and drinking establishments. There was a discussion to the overall fairness of the commercial linkage rates for multiple types of uses. Commissioners were also critical of the response rate for the survey. It was suggested that responses be tied to business licensing requirements. The commissioners expressed a general opinion that they need more information and that the study was flawed. Rediker reiterated his concern on the economic impact on small businesses, especially eating and drinking establishments. Rediker also expressed disagreement over the commercial linkage policy in general. Commissioners also expressed concern over whether or not real estate offices considered independent contractors as employees in responding to the survey. There was an overall opinion that the use categories are not well delineated and that the response material does not provide a rational basis. Kurz summarized that the belief of the PEC is that both the policy for commercial linkage and the study is flawed and that the PEC should recommend against approval. Gillette expressed his belief that staff should be given the opportunity to provide better information or determine if there is a better method for conducting the survey. 10. Approval of Minutes July 24, 2017 PEC Results August 15, 2017 - Page 81 of 11 Motion: Approve First: Kurz Second: Stockmar Vote: 4-0-1 (Rediker Abstained) 11. Adjournment Motion: Adjourn First: Perez Second: Kurz Vote: 5-0-0 The applications and information about the proposals are available for public inspection during regular office hours at the Town of Vail Community Development Department, 75 South Frontage Road. The public is invited to attend the project orientation and the site visits that precede the public hearing in the Town of Vail Community Development Department. Times and order of items are approximate, subject to change, and cannot be relied upon to determine at what time the Planning and Environmental Commission will consider an item. Please call (970) 479-2138 for additional information. Please call 711 for sign language interpretation 48 hours prior to meeting time. August 15, 2017 - Page 82 of 11 VAIL TOWN COUNCIL AGENDA MEMO ITEM/TOPIC: CSE Minutes DRAFTAugust2, 2017 ATTACHMENTS: Description CSE Minutes DRAFT August 2, 2017 TOWN Of9 August 15, 2017 - Page 83 of 11 TOWN OF VAIL Commission on Special Events I RA'7T COMMISSION ON SPECIAL EVENTS MEETING Vail Town Council Chambers Wednesday, August 2, 2017 @ 8:30am AGENDA: Meeting materials can be accessed at the following link: http://bit.ly/2tNWpLN CSE Members Present: TOV Staff Present: Others Present: Mark Gordon Marco Valenti (Departed at 10:OOam) Alison Wadey (Arrived at 9:27am) Barry Davis Rayla Kundolf (Departed at 9:58am) Samantha Biszantz Laura Waniuk, Event Liaison Specialist Kelli McDonald, Economic Development Manager Ernest Saeger, Special Events Coordinator Tom Boyd, Vail Valley Foundation Mac Garnsey, Vail Valley Foundation Sacha Kostick, Vail Valley Foundation Jason Ornstein, Team Player Productions Kristen Horpedahl, Team Player Productions Laurie Asmussen, Eagle Valley Events Leon Fell, King of the Mountain Volleyball Alan Himelfarb, Stearting Hearts CSE Chair, Barry Davis, called the meeting to order at 8:33am. Administrative Items Approval of the Minutes of the CSE Meeting on July 5, 2017 ➢ Motion to approve the minutes of the CSE Regular Meeting on July 5, as presented. M/S/P: Valenti/Kundolf Unanimous. The motion passed 5-0 (Wadey and Rediker absent) CSE Minutes August 2, 2017 Page 1 of 5 August 15, 2017 - Page 84 of 11 Review financials/Survey Results: Refer to the spreadsheet. Waniuk noted that she added a column displaying the survey sample size to better understand the results. McDonald noted that the percentage of responders saying they are overnight visitors vs. the percentage saying they were staying in lodging did not match and will check with RRC. Gordon asked for another column displaying the sales tax return on every dollar the CSE spends. Waniuk said she will add and ask RRC if it can be broken out per event instead of overall funding. Meeting Reminders: August/September — RFP System Training, webinar or in-person August 7: RFP Released September 25: RFP Due by 4:00pm MST September 29: RFP + information provided to CSE for scoring October 4: NO REGULAR MEETING October 9: RFP Meeting #1 (The Antlers at Vail) — 7:30am-7:30pm October 11: RFP Scoring due by 4:OOpm October 18: RFP Meeting #2 (The Antlers at Vail) — 8:OOam-5:00pm November 7: Presentation to Council of 2018 funding decisions McDonald noted that the CSE is making a recommendation to the Council and at that point they can call it up or have until December 18 to do so. Gordon asked if Council has to make vote or if it is finalized after December 18. McDonald noted that the call up includes the Council and the event promoters, meaning that an event promoter can petition the Council. McDonald said she will confirm with the Town Attorney. December 18: Last day for Council call-up for funding decisions Event Recap: *motion to release final funding disbursement required GoPro Mountain Games Please see presentation for further details. Gordon asked for more info on the Austin, TX event. Boyd said Yeti and Trigger Point are based in Austin. Boyd added that Marcus King Band performed at the Yeti flagship store which had about 400 attendees. Boyd confirmed that the brand that was being spread at the Austin, TX event was GoPro Mountain Games. Kundolf noted feedback she received that it was difficult for last minute registrations on the website. Valenti asked for the term of the GoPro contract. Garnsey said it is currently through 2018. Davis noted that the Gerald R Ford Amphitheatre was a great change for the music venue. Garnsey noted that there were a number of people coming to town just for the music and not the GoPro Mountain Games. Garnsey said they are discussing a possible ticketed event on Saturday night if they can get the right band. ➢ Motion to approve the final funding distribution GoPro Mountain Games M/S/P: Kundolf/Valenti /Unanimous The motion passed 5-0 (Wadey and Rediker absent) CSE Minutes August 2, 2017 Page 2 of 5 August 15, 2017 - Page 85 of 11 Event Recap: *motion to release final funding disbursement required Vail Craft Beer Classic Please see presentation for further details. Ornstein said they would like to add more programming and start on Thursday in 2018. Horpedahl noted the goal of extending to 5 days and 30+ events similar to their other events in Colorado. McDonald asked how their relationship worked with Vail Resorts. Ornstein said it was very good working with Anne Redden. Waniuk asked if the partnership with West Vail Liquor was successful. Ornstein said Laurie Mullen feedback was they loved being associated with the event but it did not go as well as they'd like. Kundolf noted the lack of marketing in the Vail Valley and suggested they use the Vail Welcome Centers to reach the day visitors. Ornstein noted they advertised in Vail Daily, two local radio stations, a direct mailing piece, digital marketing, and more but will improve next year. Biszantz suggested having breweries on tap in local bars and restaurants prior to the event to help with promotion and marketing. McDonald asked if there is a model to help with walk-ups vs. pre - event ticket sales due to culture of locals and events. Ornstein said yes, they are looking at different ticket options for 2018. Davis suggested increasing involvement with local bars and restaurants. Horpedahl agreed and said a lot of restaurant and bars were hesitant due to it being a first year event. ➢ Motion to approve the final funding distribution Vail Craft Beer Classic M/S/P: Kundolf/Wadey /Unanimous The motion passed 5-0 (Wadey and Rediker absent) Event Recap: *motion to release final funding disbursement required Vail Arts Festival Please see presentation for further details. Wadey noted that Asmussen is great at responding to merchants in Lionshead. Wadey noted that for the most part Lionshead businesses love the traffic and plan on having the event to help their businesses. Kundolf noted that the amount of art festivals in a 200 mile radius results in a lot of competition. Kundolf suggested limiting the number of artists to a smaller number of high end and better quality artists. Gordon suggested partnering with an international art festival to bring exclusive artists to Vail. McDonald said it is similar to what the community is going through with the Vail Film Festival, meaning the community wants a film festival and arts festival and would like to help evolve the event. ➢ Motion to approve the final funding distribution to Vail Arts Festival M/S/P: Kundolf/Wadey/Unanimous The motion passed 6-0 (Rediker absent) Event Recap: CSE Minutes August 2, 2017 Page 3 of 5 August 15, 2017 - Page 86 of 11 *motion to release final funding disbursement required King of the Mountain Volleyball Please see presentation for further details. Kundolf suggested Fell could extend the tournament outside of the weekend. Davis asked if Fell's production team changed this year. Fell said a majority of the comments were regarding Friday due to a coordinator not fulfilling his role. Davis noted that Fell's survey recap was not polished with a lot of placeholders left on the recap. Davis noted that Fell needs to pay more attention to the Vail brand guidelines and use of Town of Vail logos. Davis asked if event is mature or growing. Fell said they are constantly trying to figure out ways to grow and it would be through junior sports. Fell said they are partnering with the AVP pro beach tour juniors program. Kundolf suggested that Fell hire a millennial to help with branding, social media, and marketing. Davis said that the CSE needs to feel comfortable that the event participants are leaving Vail happy. Davis said the CSE is going to look further at the marketing plan at this years funding meeting. Wadey said the event is busy and the Ford Field setup looks good. ➢ Motion to approve the final funding distribution to King of the Mountain Volleyball M/S/P: Kundolf/Gordon/Unanimous The motion passed 6-0 (Rediker absent) Starting Hearts August Event Update: Please see presentation for further details. Himelfarb noted the event will take place on Willow Bridge Rd. on Friday, August 25, 2017. Himelfarb noted that they have a national advertising agency that took them on as a pro bono client. Wadey noted that Starting Hearts has been educating local schools and that her son was one of the participants. Himelfarb noted that they have a partnership with Eagle County Schools to teach all students. New Signature Event Framework: Please see document for further details. Davis asked why events are funded by Council every odd year instead of every year. McDonald said Council events are established events and do not need to be reviewed each year. McDonald added the events will receive the same amount of funding for two years unless they ask for more due to change. Waniuk noted that the Council application will evolve to the online CSE application in 2018. McDonald noted that this document has been presented to Mayor and Mayor Pro Tem. McDonald added that McKenny wants CSE feedback and then include this document as a memo in a future Council packet. McDonald noted that the recommendation committee could include Staff, CSE, and Council. Gordon said that it would be good to have additional members outside of Staff to make it a good balance and provide different opinions. Waniuk asked if signature event applicants must appear before entire CSE and entire Council. McDonald noted that this is open but is probably better to leave it as they appear before all. Gordon agreed that leaving some ambiguity for the recommendation committee to use as next steps is a CSE Minutes August 2, 2017 Page 4 of 5 August 15, 2017 - Page 87 of 11 good idea. Biszantz asked how a producer knows which process to use. McDonald said it varies and usually the Economic Development office gets contacted first. 2018 Funding RFP Updates: Gordon confirmed that the Vail Rec District was aware of the RFP application questions and process. Waniuk confirmed that they are. Gordon asked for clarification of Save vs. Save Draft. Gordon suggested adding a button or note saying this has not been submitted. Waniuk said she will add a note at the bottom regarding the need to submit. New Business and Community Input: Wadey noted that Pioneer Weekend is 9/22-9/24 and has been receiving a lot of RSVPs. Wadey offered the opportunity to local businesses to be included in promotions and communications. Wadey said Business, Bogey's, and Bragging Rights golf tournament at Vail Golf Club with the after party at the Vail Golf Clubhouse is September 14th and is looking for donations and teams. ➢ Motion to adjourn at 10:47am. M/S/P: Davis/Wadey/Unanimous. Motion passed 4-0 (Valenti, Rediker, Kundolf absent) CSE Minutes August 2, 2017 Page 5 of 5 August 15, 2017 - Page 88 of 11 VAIL TOWN COUNCIL AGENDA MEMO ITEM/TOPIC: VEAC Minutes August 8, 2017 ATTACHMENTS: Description VEAC Minutes August 8, 2017 TOWN Of 9 August 15, 2017 - Page 89 of 11 Vail Economic Advisory Council (VEAC) August 8, 2017 MEETING MINUTES Packet materials found here: http://bit.ly/2w3iV2k VEAC Members Present: Laurie Mullen, Rayla Kundolf, Lori Pohl, Matt Ivy, Bob Boselli, Doug Lovell, Chris Romer, Brian Nolan, Mark Gordon, Alison Wadey, Kim Newbury-Rediker, Jenn Bruno, Sara Franke, Matt Morgan, Mike Imhoff Town of Vail Staff Present: Kelli McDonald — Economic Development Manager, Laura Waniuk - Event Liaison Specialist, Kathleen Halloran — Finance Director, Patty McKenny — Acting Town Manager Others Present: Katie Barnes, Destimetrics, Stan Zemler — Previous Vail Town Manager, Michael Kurz — Prior VEAC Member Economic Indicators Report, Katie Barnes, DestiMetrics (30 minutes) Please see report and Economic Indicators spreadsheet for further data and details. This report is produced twice a year, seasonally, and this report was for Winter 2016/17. Vail had a slight increase in occupancy and outperformed the competition in ADR and RevPAR. Snowfall was down 11% in town and on mountain 26%. Lovell asked about occupancy and RevPAR, how did Destimetrics omit the Cascade and Doubletree? Destimetrics will provide updates based on the Hotel Talisa coming back online. Mullen mentioned short term rentals and how that category might grow. She recommended that the Short Term Rental information should be collected and included in the report as well. Barnes said that data is constantly changing and it's difficult to collect that information consistently but they are seeking a software solution to address the issue. Financial Report, Kathleen Halloran (15 minutes) Revenue Highlights Upon receipt of all sales tax returns, June collections are estimated to be up 3.3% from last year. Year to date is down 2.4% from the prior year. RETT collections through July 27 total $3,498,593 up 29.6% from this time last year. VEAC Meeting — August 8, 2017 Page 1 of 4 August 15, 2017 - Page 90 of 11 Town Manager's Report, Patty McKenny (15 minutes) Chamonix On track, manufactured units will be stored down valley. Council Topics: Ski storage, parking task force, report on Short Term Rentals and areas to address, life safety and parking. Design for parking structure near Red Sandstone includes 160 parking spaces. Town Manager Search Hired Greg Clifton from Telluride, joining part time 9/1, and full time 9/25. Other • Community Picnic — 8/15 • Underpass is on schedule, end of October or early November Mid -Summer Report, VEAC Members (45 minutes) Neighboring business reports Morgan said that he had another terrific summer this year. He thinks that there is a "Denver" effect, where Front Range residents want to get out. June and July were great months. Mullen provided updates on Safeway said that they were down a little; they have a new Store Manager from Steamboat. Customer is family-oriented business. Vail Ale House key customer in the summer is family, sports -oriented. Looking at doing some upgrades, maybe outdoor space. West Vail Liquor Mart has had a good summer, but the hotels being closed have impacted their business. They have maintained. Key customer, sports families, second homeowners. Repeat request is for a marquee sign for West Vail. Joy Sushi is doing well, since we lost Nozawa. Council approved $150k to start the West Vail master planning process. Lovell said he's seen increased attendance at Epic Discovery and bike haul has increased dramatically. The Kids Ride Free promotion has driven incremental volumes up. The NPS for the Epic Discovery pass is quite high, but after 1 pm that drops off. Almost an entirely new leadership team, still have an opening for a Senior Director of Operations. Focus on grooming and Express Lift turning it into apres. New Chair 11 is on schedule and on budget. It will be a huge addition, moving more people. Try to drive more people into the back bowls. How good are our demographics for summer? McDonald said that the VLMDAC collects it through intercept and then follow-up surveys online. Nolan reported on Lionshead and said the jeweler had a good start to July, but ended slow. Business has been above par. Restauranteur said staffing and housing are challenges. Lionshead continues to be a place that is not considered the center of town. VEAC Meeting — August 8, 2017 Page 2 of 4 August 15, 2017 - Page 91 of 11 Also Pink Vail has moved out. Nolan's company is slightly up due to price increases, but without they are flat. Checks are up, fewer people per check. Tournaments in town provide great business for the restaurants, the party sizes are significantly large, 30+ people. Average guest and spend is so much different in the summer, Gordon said that real estate is doing well. The market mix in the summer is very much a Colorado population. In the summer the town skews toward day visitor and overnight stay. McDonald said it's the same way in every mountain resort. According to research 30% of the people are here for the first time. The focus for VLMDAC is on overnight destination visitation. Gordon said the summer started off slowly, but since Bravo! Vail began, things are moving briskly. Most likely they are buyers from Denver and the Front Range. Kundolf reported on Meadow Drive and said that retailers are flat, down or doing poorly. Why is it different this year? There are so many families and people aren't able to shop due to kids. What changes did you make between ski and summer? They decided not to carry as much inventory. Who is your customer? Front Range and value -oriented customer. Millennials tend to curate their photos more than make purchases. What is the best thing that occurred for your business? They are going to proceed as they normally do. Wadey suggested that marketing for the retailers in terms of shopping would help a lot. The people she talked to said they didn't see as many international guests. The merchants said that the Bluegrass Series helped traffic a lot in Lionshead and they would like to see it extended. Boselli said that prices need to discount and promo in order to attract the sales. That's a challenge, because the product is a little higher end. GoPro Mountain Games was great, but there were some issues with "tent city", they would like to move it out to Ford Park. They want to hold more merchant meetings. There is a chance to strengthen the voice of the merchants with regard to events. Solaris store is up, Lionshead is flat or slightly down. Aspen store is still doing really well, Beaver Creek store is also performing well. Bruno said that she noticed that the down valley clients are saying that they want to come into the village but don't want to face the parking issue. Lots of visiting family who just moved to Denver are visiting Vail. Most frequent sale this summer is $40. Trying to become more creative with her items. Seeing a lot of Houston and Dallas. A lot of families are so busy doing activities that they don't have time to shop. It does help the hotels, activities and restaurants. They aren't seeing as many retail store bags. Ivy said Blu's can't find the staff for his restaurant. Racquet Club had the best summer last year. VEAC Meeting — August 8, 2017 Page 3 of 4 August 15, 2017 - Page 92 of 11 Rediker said that they are having a great summer, they house Bravo! Vail musicians, so they just need to fill in. They are full every weekend, August is full, but September is slow. Romer said occupancy is flat, but rate is up 7%. Trend that has been going up steadily. People predict their businesses to do better, but the economy to do worse. It's difficult to hire and retain employees. Work force housing availability is the highest frustration. Imhof said that they will know more on September 30, but it will probably be one of the best years for the Vail Valley Foundation. They are looking to move all the dogs' infrastructure to Lionshead for 2018 GoPro Mountain Games but then the kids' zone would move to Golden Peak. There could be a concern for barking and dog noise because the dog camp stays in one location overnight. The Antlers is pet friendly, but for only 20 units. There may be issues with people finding lodging in the Lionshead area because of the volume. Members thanked McDonald for her 10 years of service to the town, community and businesses. Citizen Input (5 minutes) Other Business (5 minutes) Next Meeting: Tuesday, September 12, 2017 8:00 -10:00 AM, Antlers Lodge VEAC Meeting — August 8, 2017 Page 4 of 4 August 15, 2017 - Page 93 of 11 VAIL TOWN COUNCIL AGENDA MEMO ITEM/TOPIC: VLHA Meeting Results July 25, 2017 ATTACHMENTS: Description 2017-07-25 VLHA Meeting Results TOWN Of9 August 15, 2017 - Page 94 of 11 Vail Local Housing Authority TOWN UFO Meeting Results MEMBERS PRESENT Steve Lindstrom Molly Murphy Mary McDougall James Wilkins Staff George Ruther Shelley Bellm Tuesday, July 25, 2017 3:00 PM — 5:00 PM Community Development Large Conference Room 75 South Frontage Road West, Vail, Colorado 81657 MEMBERS ABSENT Francisco Meza A quorum being present, Lindstrom called the meeting to order at 3:08 PM. 1. Meeting results were reviewed for July 11, 2017 regular meeting. Motion was made to approve with corrections. Motion: McDougall Second: Wilkins Vote: 4-0 2. Short Term Rental discussion reviewed the recommendation letter to be submitted to the Town Council for their August 1, 2017 meeting and discussion or RBOs. The board discussed the impacts that short term rental conversions have had with the long term rental housing pool. The board believes there is a need for a policy creation of a zero loss of long term rental units to offset the impact of short term rentals. Recommendation letter was revised and emailed to all board members for final comments. This final letter will be included with the August 1 Town Council materials. 3. Comprehensive Open Lands Plan Discussion is delayed to the August 8, 2017 regular meeting. A letter of recommendation will be provided to the Open Lands committee to be included with materials for the August 15 Town Council Packet. 4. Commercial Linkage Employee Generation and Mitigation Rates Update will be discussed at the August 8, 2017 regular meeting. 5. VLHA entered into Executive Session pursuant to C.R.S. §24-6-402(4)(a)(e) — to discuss the purchase, acquisition, lease, transfer, or sale of property interests; and to determine positions, Page 1 August 15, 2017 - Page 95 of 11 develop a strategy and instruct negotiators, regarding the redevelopment of the Solar Vail property and for updates on two pending Vail InDEED Applications. Motion: Wilkins Adjournment at 5:31 PM Next Meeting — August 8, 2017 Second: Murphy Vote: 3-0-1 (McDougall left early) Page 2 August 15, 2017 - Page 96 of 11 TOWN Of9 VAIL TOWN COUNCIL AGENDA MEMO ITEM/TOPIC: Town of Vail Letter of Support for Eagle Vail Trail Extension PRESENTER(S): Gregg Barrie, Project Manager ACTION REQUESTED OF COUNCIL: A show of hands to determine if a majority of Council Members support support the idea of sending a letter to the US Forest Service in support of the proposed Eagle Vail Trail Extension between the Stone Creek Trail and Meadow Mountain. BACKGROUND: See attached scoping letter and map from the USFS and the draft letter. ATTACHMENTS: Description USFS Scoping Letter Eagle Vail Trail Extension map TOV Letter of Support August 15, 2017 - Page 97 of 11 USDA United States Forest White River Supervisor's Office Department of Service National Forest 900 Grand Avenue Agriculture Glenwood Spgs., CO 81601-3602 (970)945-2521 FAX (970)945-3266 File Code: 2720/1950 Date: July 20, 2017 Dear Interested Party, The Eagle -Holy Cross Ranger District, White River National Forest (WRNF) is seeking comments on the proposed construction of a non -motorized trail in partnership with the EagleVail Metropolitan District (EVMD) with potential construction beginning later this fall and into the summer of 2018. The project would connect the Stone Creek Trail #2349 to the Meadow Mountain Trail #2I 24 along with other trail minor reroute adjustments in the vicinity of the project. The project is Located on National Forest System (NFS) lands administered by the Eagle -Holy Cross Ranger District in Eagle County, Colorado. This letter serves to notify and invite public comment on the Eagle Vail Trail Extension Project. Purpose and Need for Action The purpose of this project is to improve and enhance non -motorized and mechanized recreation trail opportunities connecting local communities to existing NFS trails with a sustainable design. Currently, there is no connection between Eagle Vail area trails and trails on Meadow Mountain. As a result, a number of illegal user -created routes have developed. Implementation of the proposed action would: • Create a more sustainable trail system • Enhance visitor opportunities • Improve trail connectivity Proposed Action New Trail Construction (from Stone Creek Trail to Meadow Mountain Trail) 1. Construct approximately 4.0 miles of non -motorized trail from the Stone Creek Trail #2349 to the Meadow Mountain Trail #2124 (see attached map). The trail may be constructed with motorized trail constructing equipment. Construct a water crossing structure over Whiskey Creek approximately 1.8 miles from the :"vieadow Mountain Trail #2124 that avoid impacts to the stream and any wetlands. Caring for the Land and Serving People Printed rn Recyc+ed Paper L11, August 15, 2017 - Page 98 of 11 Whiskey Creek 1. Change the travel management designation on the Whiskey Creek Trail #2348 to allow for mechanized use. 2. Remove from the NFS trail network the lower 1.8 miles of both the #2348 and #2348.1A trails as they enter State Land Board lands (see attached map). Other User Created Trails in the Vicinity 1. Add to the NFS trail network approximately 0.3 miles of user -created routes adjacent to Stone Creek Trail #2349 as a non -motorized trail open to mechanized use (see attached map). Environmental Analysis Upon consultation with Forest Service resource specialists, the WRNF is considering categorically excluding this project from analysis in an environmental assessment (EA) or environmental impact statement (EIS). For a proposed action to be categorically excluded from further analysis in an EA or EIS, it must fit one of the categories contained in Forest Service Handbook 1909.15 Chapter 30, and there can be no extraordinary circumstances related to the specific proposed action that would warrant further analysis. The proposal fits category 32.2 (1) "Construction and reconstruction of trails." Responsible official: The District Ranger, Eagle -Holy Cross Ranger District, White River National Forest. How to Comment and Timeframe: Written comments must be submitted via mail service, facsimile, electronic mail, or in person, and comments concerning this action will be most helpful if received by or before August 21, 2017. Written comments must be submitted to: Paula Peterson, District Recreation Program Manager, Eagle -Holy Cross Ranger District, Highway 24, PQ Box 190, Minturn, CO 81645, FAX (970) 827-9343. The office business hours for those submitting hand -delivered comments are: 8:00 a.m. to 4:30 p.m., Monday through Friday, excluding holidays. Electronic comments must be submitted in a format such as an email message, plain text (.txt), rich text format (.rtf), or MS Word (.docx). Project details and comments may also be submitted electronically at: https://www.fs.usda.gov/proiect/?project=52056. Persons commenting should include: 1) name, address, telephone number, and organization represented, if any; 2) title of the project of concern (i.e., Eagle Vail Trail Extension CE); and 3) specific facts, concerns, or issues, and supporting reasons why they should be considered. August 15, 2017 - Page 99 of 11 This public scoping period will be the only opportunity for individuals interested in or affected by this proposal to identify any potential extraordinary conditions or significant issues before the Responsible Official makes a decision. Thank you for your interest in the project. To request further information on this proposed action, please contact Paula Peterson by telephone at (970) 827-5159 or by email at pkpeterson@fs.fed.us. Sincerely, District Ranger cc: Paula Peterson, Marcia Gilles August 15, 2017 - Page 100 of 1 • • • ...••" G�F�gQ 2351 • \ Stone Creek Trailhead ,/ (elev.8,000') / 00 State Trust Lando • t r• /l� / Meadow Mountain Trail High Point 4111 Trailhead '(elev. 8,618') Portion of (elev. 7,756') r Whiskey Creek Trail to be Used Trail on Old Logging Road 11 fl _/ 1 • Eagle Vail Trail Extension Scoping Figure White River National Forest Eagle -Holy Cross Ranger District Legend FS System Trails Proposed New Trail Construction Routes to be Added to NF System Trail Routes to be Removed from FS System 0 950 1,900 3,800 ' 0 July 2017, Prepared by: %SE GROUP August 15, 1U1 / - Nage 1U1 of 11:3 TOWN of vain }` 75 South Frontage Road West Vail, Colorado 81657 vailgov.com Paula Peterson District Recreation Program Manager Eagle -Holy Cross Ranger District PO Box 190 Minturn, CO 81645 August 15, 2017 Dear Ms. Peterson, Town Manager's Office 970.479.2106 970.479.2157 fax Please accept this letter from the Town of Vail in support of the proposed Eagle Vail Trail Extension project. As a resort community, the Town of Vail understands the need for providing access to a variety of recreational experiences. Its part of what makes Eagle County a desirable place to visit and to live. Over the past five years, the various towns and metro districts in the county have worked to improve trail systems for residents. As these local systems develop, the opportunity to connect neighborhoods and towns by soft -surface trails grows. The Eagle Vail Trail Extension is one such opportunity that will more closely connect Minturn to Eagle Vail/Avon. And, with the Cougar Ridge Trail enhancements currently underway, a soft -surface connection to Vail is close at hand, further improving connections between communities. The proposal also stands to strengthen wildlife habitat and eliminate ongoing erosion by permanently closing the lower portions of Whiskey Creek. Well-connected soft surface trail systems are community assets. They strengthen quality of life, they draw visitors and they get motor vehicles off the road. As the communities in Eagle County work towards a regional trail system, the Eagle Vail Trail Extension project creates a sensible connection of existing popular trails. Please consider the Vail Town Council as supporters of the Eagle Vail Trail Extension project. Sincerely, Patty McKenney Acting Town Manager Town of Vail August 15, 2017 - Page 102 of 1 TOWN Of9 VAIL TOWN COUNCIL AGENDA MEMO ITEM/TOPIC: Colorado Department of Transportation West Vail Pass Auxiliary Lane Project Leadership Team PRESENTER(S): Greg Hall, Public Works Director ACTION REQUESTED OF COUNCIL: The Town Council is being asked to provide direction to the staff and CDOT with regard to the Project Leadership Team for the West Vail Pass Auxiliary Lane Project. BACKGROUND: CDOT has initiated the Tier 2 Environmental Study for preferred alternative or West Vail Pass Auxiliary Lanes as is included in the 2011 Record of Decision for the 1-70 Mountain Corridor. A Project Leadership Team is required for all projects included in the ROD. STAFF RECOMMENDATION: Provide Staff with the requested input on PLT membership. ATTACHMENTS: Description Memo August 15, 2017 - Page 103 of 1 TOWN OF VAIL. Memorandum TO: Vail Town Council FROM: Greg Hall, Director of Public Works and Transportation DATE: August 15, 2017 SUBJECT: West Vail Pass Auxiliary Lane Project update I. PURPOSE The purpose of this meeting is to present an update on the Colorado Department of Transportation (CDOT) West Vail Pass Auxiliary Lane Project. As part of the project, a Project Leadership Team is formed to guide the process. Information to be presented includes: • Brief overview of the West Vail Pass Auxiliary Lane Project • Role of the Project Leadership Team (PLT) • Council direction with regard to suggestions on additional community leaders to serve on the PLT. II. BACKGROUND The 2011 1-70 Mountain Corridor PEIS identifies a preferred alternative that includes eastbound and westbound auxiliary lanes on West Vail Pass between MP 180 and MP 190. The original design of 1-70 Vail Pass was one of the first projects required to follow the guidelines of the newly adopted NEPA law in the early 70's. III. PROJECT DESCRIPTION The project will be run consistent with CDOT's Context Sensitive Solutions (CSS) process (http://www.coloradodot.info/projects/contextsensitivesolutions/decision/6-stepprocess). As a part of this process the project team is required to set up a Project Leadership Team (PLT). The PLT is a non -decision making group who ensures the project stays on task, is a public and open process, and meets the goals, purpose and needs of the project. An initial Project Leadership Team meeting was held July 27. One of the questions asked was whether the suggested Project Leadership team had the right members. The Town of Vail suggested there be additional community representation. August 15, 2017 - Page 104 of 1 The next PLT meeting is scheduled for September 18th. Both Eagle County and the Town of Vail were to request input on additional community representation. In addition to the Project Leadership Team, there will be multiple technical teams and members covering all aspects of the project, the town will be represented on the technical teams with engineering, public information, environmental, police and fire as well as planning and others. Community resources providing additional technical input will also be represented. If needed specific issues teams are created to work on a defined item to help the process. Finally, the public will be involved through out the process, with many ways and opportunities to participate. IV. ACTION REQUESTED The Town Council is being asked to provide direction to the staff and CDOT with regard to the Project Leadership Team for the West Vail Pass Auxiliary Lane Project. V. STAFF RECOMMENDATION Provide Staff with the requested input on PLT membership VI. ATTACHMENTS a) Role of the PLT b) Fact Sheet 1-70 West Vail Pass Auxiliary Lane Project C) Initial Suggested PLT members list 2 August 15, 2017 - Page 105 of 1 Project Leadership Team Roles and Responsibilities Every project in the 1-70 Mountain Corridor will form a Project Leadership Team (PLT) to lead the project. The formation and membership of the West Vail Pass Auxiliary Lane PLT will be agreed upon by both the Colorado Department of Transportation (CDOT). and the Town of Vail. The Mission of the PLT: The PLT is a collaborative stakeholder team that leads the project, champions Context Sensitive Solutions (CSS), and enables decision making. The PLT facilitates the decision-making process and focuses on moving the process forward. The PLT ensures that the 6 -Step Process is followed and that decisions are made collaboratively among stakeholders on all project teams and during project activities. The PLT steps in to analyze and formulate a process to move forward when other project teams find themselves at an impasse. The PLT does not make the final selection or endorse the project recommendation(s). Rather, the PLT ensures that the recommendation is developed in an open, collaborative process. Roles and Responsibilities: The PLT's primary roles are to: Lead the Project: The PLT will identify all relevant materials for the project -- such as the CSS Guidance, Programmatic Environmental Impact Statement (PEIS), other environmental documents, and local plans. The PLT will discuss the surrounding context, establish project goals, and identify the actions and decisions needed to reach those goals. These elements will be documented in a Context Statement for the project. The PLT will also determine the teams needed to reach the project outcomes and will identify the members needed for each team. Along with the Project Staff and attendees at Town -Wide Coordination Meetings, the PLT will assist in staffing the other teams needed for the project. Champion CSS: The PLT will ensure that the CSS Guidance, the Context Statement, the Core Values, and the 6 -Step Process are integrated into the project. The PLT will identify CSS checkpoints as events in the project timeline upon completion of a formal review for consistency with CSS. August 15, 2017 - Page 106 of 1 The PLT will have primary responsibility for ensuring that Step 1: Define Desired Outcomes and Actions and Step 2: Endorsing the Process are accomplished with all project stakeholders. Enable Decision Making: The PLT will approve the project -specific decision-making process for its project. This process will detail the interaction between teams, the Stakeholder Involvement Plan, and the Public Information Plan. The PLT will be responsible for keeping the project on track with each of these plans. When policy issues arise that cannot be resolved within the project teams, the PLT will identify and implement the steps needed to resolve the issue and make a decision. The PLT is not empowered to make policy decisions. Instead, it is responsible for identifying who must be involved in making the decision, bringing the decision makers together, and facilitating solutions or approaches to keep the project moving forward. The PLT will facilitate formal actions required by councils, boards, and/or commissions to keep the project moving forward. Membership: • The PLT is the leader of the project and consists of the Federal Highway Administration (FHWA), CDOT, and community leaders. The following entities will have representation on the PLT: • FHWA CDOT program engineer • CDOT project manager • Community leaders • CDOT environmental lead • Consultant project manager • Consultant staff for technical expertise as needed • Contractor project manager, added during the construction phase of the project Community leaders will be identified by the Town. The consultant will facilitate this team. The primary mission of the PLT -- to lead the project, champion CSS, and enable decision making -- will be best accomplished by maintaining a PLT of 10 to 12 members. Members of the PLT should make every effort to attend all meetings in person rather than appoint alternate members, and each should be able to adequately represent his or her agency's interests on the PLT. Meetings: August 15, 2017 - Page 107 of 1 The PLT will meet regularly, perhaps monthly, through active times of the project. The PLT will remain intact through all the phases of the project. Periods of low activity may occur, particularly between Life Cycle Phases. August 15, 2017 - Page 108 of 1 VAIL PASS AUXILIARY LANES FACT SHEET PROJECT DESCIPTION The 2011 I-70 Mountain Corridor PEIS identifies a preferred alternatives that includes eastbound and westbound auxiliary lanes on West Vail Pass between MP 180 and MP 190. Available crash data shows that the west side of Vail Pass experiences a higher-than-expected number of crashes, and has sections rated at Level of Service of Safety (LOSS) IV, indicating the highest potential for crash reduction. Differential speeds between cars and trucks on the steep grades lead to safety concerns. CDOT's data indicates that I-70, over Vail Pass, was closed for over 177 hours in 2016, primarily due to accidents and weather. This project will: 200 150 100 50 ■ �r■ 180 182 184 185 Milepa:t ✓ Follow the 2011 Mountain Corridor PEIS and implement the noted improvements. ✓ Follow the 1-70 Mountain Corridor CSS principles ✓ Use performance-based practical design principles to define solutions that provide the greatest benefits for CDOT's available funds ✓ Minimize environmental impacts ✓ Improve safety and quality of the Vail Pass bike path (Tenmile Canyon National Recreational Trail) ✓ Implement the Black Gore Creek SCAP ✓ Develop a fair and informative public outreach program ✓ Develop the appropriate environmental clearances ✓ Develop a phased implementation plan ✓ Construct the improvements as funding becomes available FOR MORE INFORMATION John Kronholm CDOT Design Team Manager (970) 328-9963 John.kronholm@state.co.us August 15, 2017 - Page 109 of 1 West Vail Pass Auxiliary Project Leadership Team Agency/Group Name Member FHWA Joel Barnett Stephanie Gibson CDOT Program Engineer Martha Miller CDOT Project Manager John Kronholm CDOT Environmental Lead Mike Vanderhoof One or two community leaders Greg Hall, Town of Vail, Director Public Works Consultant project manager Consultant staff for technical expertiseas needed Environmental Lead Ben Gerdes, Eagle County, County Engineer Don Connors, Amec Foster Wheeler Kara Swanson, David Evans Associates Public Involvement Specialist Leah Langerman, David Evans Associates Open seat(s) based on individual project needs CDOT, Resident Engineer Karen Berdoulay US Forest Service, Realty Specialist Matt Klein CDOT, Maintenance Superintendent Michael Goolsby CO Motor Carriers Association, Membership Tracy Sakaguchi August 15, 2017 - Page 110 of 1 TOWN Of UAJL VAILTOWN COUNCIL AGENDA MEMO ITEM/TOPIC: Executive Session, pursuant to: 1)C.R.S. §24-6-402(4)(a)(e) - to discuss the purchase, acquisition, lease, transfer, or sale of property interests and to determine positions, develop a strategy and instruct negotiators, Regarding: Regarding: Town Manager Employment Agreement, Official Vehicle Negotiation, Red Sandstone Parking Structure Development Agreement and possible real property acquisition. August 15, 2017 - Page 111 of 1 VAILTOWN COUNCIL AGENDA MEMO ITEM/TOPIC: Recess at 11:30 a.m. TOWN Of UAJL August 15, 2017 - Page 112 of 1 VAILTOWN COUNCIL AGENDA MEMO ITEM/TOPIC: Community Picnic at Donovan Pavilion (11:30 a.m. until 1:00 p.m.) The Vail Town Council will join the community for the annual community picnic. TOWN Of UAJL August 15, 2017 - Page 113 of 1