HomeMy WebLinkAbout2020-05-19 Agenda and Supporting Documentation Town Council Evening Meeting Agenda
VAIL TOW N C O UNC IL RE G U L AR MEETIN G
Evening Agenda
Virtual
6:00 P M, May 19, 2020
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 will be taken on each agenda item.
Citizen participation offers an opportunity for citizens to express opinions or ask questions regarding town services, policies or other matters of
community concern, and any items that are not on the agenda. Please attempt to keep comments to three minutes; time limits established are to provide
effic iency in the conduct of the meeting and to allow equal opportunity for everyone wishing to speak.
1.Citizen Participation (10 min.)
2.Any action as a result of executive session
3.Appointments for Boards and Commissions
3.1.Vail Local Housing Authority Appointment 5 min.
Presenter(s): Dave Chapin, Mayor
Action Requested of Council: Appoint one person to serve on the VLHA for a five-year term ending on
May 31, 2025.
3.2.Vail Local (Liquor) Licensing Authority Appointments 5 min.
Presenter(s): Dave Chapin, Mayor
Action Requested of Council: Appoint two people to serve on V LLA for two-year term ending May 31,
2022.
4.Awards
4.1.Town of Vail Scholarship Program Recognitions 5 min.
Presenter(s): J enn Bruno, Vail Town Counc il Member and Dwight Henninger, Chief of Police
Background: The Town of Vail has offered a financial scholarship program for Vail seniors who have
achieved ac ademic excellence and leadership success and commitment to the Vail community. The
scholarship is to help fund students who are pursuing their next c hapter in life at either a college,
university or technical school. The 2020 award will be given to two senior students, Amalia Manning
and Owen Ruotolo who both attend Battle Mountain High School.
4.2.Mauri Nottingham Excellence in Environmental Sustainability Scholarship 5 min
Presenter(s): Kim Langmaid, Mayor Pro-Tem, Vail Town Council and Kristen Bertuglia, Environmental
Sustainability Director
Background: This scholarship program is intended to provide recognition and financial support to
qualified local residents and students interested in pursuing education and careers in the field of
environmental sustainability. This award honors the contributions of Mauri Nottingham to the Vail
community. Thomas (TJ ) Guercio is a member of the local chapter of the Climate Reality Project and
similar to Mauri, is a proponent of sustainable practices within the business community. He has also
contributed to conservation and restoration projects in the valley.
5.Consent Agenda (5 min.)
5.1.April 7, 2020 Town Council Meeting Minutes
5.2.April 21, 2020 Town Council Meeting Minutes
5.3.Resolution No. 19, Series of 2020, A Resolution Approving an Amended Ground Lease Between the
Town of vail, the Local Housing Authority and Middle Creek Village, LLC
Background: The Vail Town Council, Vail Local Housing Authority, and Coughlin & Companymutually
wish to amend c ertain agreements as they pertain to the public/privatepartnership facilitating the
continued operation of the Middle Creek at Vail Apartments.
Staff Recommendation: Approve, approve with amendments or deny Resolution No. 19, Series of
2020.
6.Town Manager Report
May 19, 2020 - Page 1 of 123
6.1.Public Health Crisis Updates 10 min.
6.2.Update on illegal trail building on Meadow Creek Conservation Easement 5 min.
7.Presentations / Discussion
7.1.Vail Health COV I D 19 Update 20 min.
Presenter(s): Chris Lindley, W ill Cook, Vail Health
Background:
The presentation from Vail Health can be viewed via the link below. The information is being updated
as new information becomes available.
https://docs.google.com/presentation/d/1PKBr05cLP2ogSRSgIxfW XBh5oD4W 81VqREtqZnLzbN8/edit#slide=id.g6eb22723d9_2_78
7.2.Vail Economic Recovery Efforts in Response to the Public Health Crisis 20 min.
Presenter(s): Mia Vlaar, Economic Development Director
Background: Town Council has identified economic recovery as a top priority in response to the
COV I D 19 pandemic. The newly formed Vail Economic Rec overy Team, a task force of the Vail
Economic Advisory Council, includes representatives from retail, restaurants, lodging, health, and
nonprofit organizations as well Vail Valley Partnership and Vail Chamber and Business Association,
has met twice and formulated recommendations to support the Vail business community. The team
is building on the work of Eagle County’s ec onomic recovery efforts and the work of the Vail Valley
Foundation’s industry task forces. The team has developed tac tics to support local
businesses including lodging, restaurants and retail to move toward a swift and safe reopening of our
economy. The intent is to provide relief and support to our business community while respecting and
operating within the public health orders from Eagle County and the state of
Colorado. Specific recommendations for council’s consideration are outlined in this memo. The
tactics recommended below are intended in the context of the Town manager ’s emergency order and
will be in effect for a temporary period of time. They are not intended to permanently change the way
we operate in Vail but rather improve prospects for businesses and positively impact sales tax revenue
during the public health crisis in a safe, productive and temporary way.
7.3.Reconsideration of the Public W orks Shop Yard Expansion Retaining W all and Utilities Project Award 20 min.
Presenter(s): Greg Hall, Public Works Director
Action Requested of Council: After hearing presentation, reconfirm, reconsider and provide direction
on the project.
Background: Public Works Director will present additional information about project options for the
Public Works Shop Yard expansion related to the retaining wall and utilities. Council approved an
agreement with Hyder Construction for $4.6 M on May 5. W ith some additional information to be
presented about the project, Town Council will be asked to reconfirm, reconsider and provide direction
on the project in light of this information.
8.Action Items
8.1.Ordinance No. 6, Series of 2020, An Emergenc y Ordinance Amending Chapter 2 of Title 4 of the Vail
Town Code by the Addition of a New Section 4-2-7, Allowing Consumption of Alcoholic Beverages in
Designated Public Places
5 min.
Presenter(s): Matt Mire, Town Attorney
8.2.Resolution No. 17, Series 2020, A Resolution Concerning the Vail Reinvestment Authority and its
Taxable Tax I ncrement Revenue Bonds (Direct Build America Bonds, Series 2010B; Authorizing and
Directing Actions by the Town Manager with Respect to the Preparation of Requests to the Town
Council for Appropriation of Moneys to Fund any Deficiencies in the Revenues Pledged to the
Payment of such Bonds; and Authorizing the 2020 Cooperation Agreement.
5 min.
Presenter(s): Kathleen Halloran, Finance Director
Action Requested of Council: Approve or approve with amendments Resolution No. 17, Series 2020
Background: Please see attached memorandum.
Staff Recommendation: Approve or approve with amendments Resolution No. 17, Series 2020.
8.3.Permission to Proceed through the Development Review Process for use of Town of Vail owned
property for the placement of air conditioning units and associated screening in the vicinity of 292 East
Meadow Drive.
15 min.
Presenter(s): Erik Gates, Planner
Action Requested of Council: The Town Council is asked to review a request to submit a development
review applications (Design Review Board) for use Town of Vail property for the placement of air
conditioning units and associated screening on Town owned property and public rights of way.
Staff Recommendation: The Vail Town Council instructs Town Staff to sign the development
applic ation on behalf of the property owner and permit the project to proceed through the development
review process for the proposed improvements.
8.4.Stephens Park Play Area Renovation Update and Direction 10 min.
Presenter(s): Gregg Barrie, Senior Landscape Architect
May 19, 2020 - Page 2 of 123
Action Requested of Council: Listen to presentation and direct staff on next steps.
Background: Construction of the Stephens Park Play Area Renovation project was put on hold in
February due to high construction costs and limited contractor availability. COVI D-19 related changes
to contrac tor schedules have resulted in an opportunity to construct the project at a significantly
reduced cost. See attached staff memorandum for detailed information.
9.Public Hearings
9.1.Ordinance No. 5, Series of 2020, Second Reading, An Ordinance Reducing the Numbers of Board
Members Required to Serve on the Town of Vail Arts Board
5 min.
Presenter(s): Matt Mire, Town Attorney
Action Requested of Council: Approve, approve with amendments or deny Ordinance No. 5, Series of
2020 upon second reading
Background: The Vail Town Council wishes to reduce the number of board members required to serve
on the Town of Vail Arts Board from seven members to five members.
Staff Recommendation: Approve, approve with amendments or deny Ordinance No. 5, Series of 2020
upon second reading.
10.Adjournment
10.1.Adjournment 8:30 pm (estimate)
Meeting agendas and materials c an be accessed prior to meeting day on the Town of Vail webs ite www.vailgov.com. All town c ounc il meetings will be
s treamed live by High F ive Ac cess Media and available for public viewing as the meeting is happening. T he meeting videos are also posted to High
F ive Acc ess Media webs ite the week following meeting day, www.highfivemedia.org.
P lease c all 970-479-2136 for additional information. S ign language interpretation is available upon request with 48 hour notification dial 711.
May 19, 2020 - Page 3 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Vail L ocal Housing A uthority A ppointment
P RE S E NT E R(S ): Dave Chapin, Mayor
AC T IO N RE Q UE S T E D O F C O UNC I L: A ppoint one person to serve on the V L HA for a five-
year term ending on May 31, 2025.
May 19, 2020 - Page 4 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Vail L ocal (L iquor) L icensing Authority Appointments
P RE S E NT E R(S ): Dave Chapin, Mayor
AC T IO N RE Q UE S T E D O F C O UNC I L: A ppoint two people to serve on V L L A for two-year
term ending May 31, 2022.
May 19, 2020 - Page 5 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Town of Vail S cholarship Program Recognitions
P RE S E NT E R(S ): J enn Bruno, Vail Town Council Member and Dwight Henninger, Chief of
P olice
B AC K G RO UND: The Town of Vail has offered a financial scholarship program for Vail seniors
who have achieved academic excellence and leadership success and commitment to the Vail
community. T he scholarship is to help fund students who are pursuing their next chapter in life at
either a college, university or technical school. T he 2020 award will be given to two senior students,
A malia Manning and Owen Ruotolo who both attend B attle Mountain High School.
May 19, 2020 - Page 6 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Mauri Nottingham Excellence in Environmental S ustainability Scholarship
P RE S E NT E R(S ): K im L angmaid, Mayor P ro-Tem, Vail Town Council and Kristen B ertuglia,
E nvironmental Sustainability Director
B AC K G RO UND: This scholarship program is intended to provide recognition and financial
support to qualified local residents and students interested in pursuing education and careers in the
field of environmental sustainability. This award honors the contributions of Mauri Nottingham to the
Vail community. T homas (T J ) Guercio is a member of the local chapter of the Climate Reality
P roject and similar to Mauri, is a proponent of sustainable practices within the business community.
He has also contributed to conservation and restoration projects in the valley.
May 19, 2020 - Page 7 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: A pril 7, 2020 Town Council Meeting Minutes
AT TAC H ME N TS:
Description
April 7, 2020 Town Council Meeting Minutes
May 19, 2020 - Page 8 of 123
Town Council Meeting Minutes of April 7, 2020 Page 1
Vail Town Council Meeting Minutes
Tuesday, April 7, 2020
6:00 P.M.
Due to the Town’s Disaster Declaration of March 17, 2020 related to the COVID-19 virus, the
meeting was held with virtual access provided through Zoom.
The regular meeting of the Vail Town Council was called to order at approximately 6:00 P.M. by
Mayor Chapin.
Members present: Dave Chapin, Mayor
Kim Langmaid, Mayor Pro Tem
Jenn Bruno
Travis Coggin
Kevin Foley
Jen Mason
Brian Stockmar
Staff members present: Scott Robson, Town Manager
Matt Mire, Town Attorney
Tammy Nagel, Town Clerk
1. Citizen Participation
There was none.
2. Proclamations
2.1. Proclamation No. 3, Series of 2020, Recognizing National Library Week 2020 "Find
your Place at the Library"
Presenter(s): Dave Chapin, Mayor
Mayor Chapin read Proclamation No. 3, Series of 2020 into the record. Town Librarian, Lori
Barnes, shared various ways to "find your place at the library". Barnes noted with COVID-19
currently happening it was important for people to know there are numerous virtual offerings.
3. Appointments for Boards and Commissions
3.1. Vail Local housing Authority Appointment (VLHA)
Presenter(s): Dave Chapin, Mayor
Staff Recommendation: Appoint one member to the Vail Local Housing Authority for a partial
term ending May 31, 2022.
Langmaid made a motion to appoint Greg Moffet to the Vail Local Housing Authority for a partial
term ending May 31, 2022; Coggin seconded the motion passed (7-0).
4. Consent Agenda
May 19, 2020 - Page 9 of 123
Town Council Meeting Minutes of April 7, 2020 Page 2
4.1. Resolution No. 15, Series of 2020, A Resolution of the Vail Town Council
Extending the Declaration of a Local Disaster Emergency
Foley made a motion to approve Resolution No. 15, Series of 2020; Bruno seconded the motion
passed (7-0).
4.2. Bus Barn Electrical Contract Award
Background: The Town of Vail is currently in the process of converting the bus fleet from diesel
buses to battery electric buses. In order to complete this transformation, major electrical
upgrades are needed to install bus battery chargers. The town applied and received a grant
from the Colorado Department of Transportation of $1,099,920 with the town matching this
dollar amount by $274,980 for a total project budget of $1,374,900.
Staff Recommendation: Authorize the Town Manager to enter into an agreement, in a form
approved by the Town Attorney, with Black and Veatch to complete the Bus Barn Electrical
System Upgrade Design in the amount of, and not to exceed, $192,300.
Bruno made a motion to authorize the Town Manager to enter into an agreement with Black and
Veatch not to exceed $192,300; Foley seconded the motion passed (7-0).
4.3. Cascade Village Water Quality Improvements Project Contract Award.
Background: Water quality improvements along Westhaven Drive was identified in the Gore
Creek Strategic Action Plan as an area for improvements. Staff received 4 bids for the Cascade
Village Water Quality Improvements Project with United Companies the low responsible bidder.
The project is within budget and is within the engineer’s estimate. Work includes installation of
water quality devices on Westhaven Drive. The project is scheduled to be completed by June
26, 2020.
Staff Recommendation: Authorize the Town Manager to enter into an agreement, in a form
approved by the Town Attorney, with United Companies to complete the Cascade Village Water
Quality Improvements Project in the amount not to exceed $140,000.00.
Langmaid made a motion to authorize the Town Manager to enter into an agreement with
United Companies in an amount not to exceed $140,000.00; Foley seconded the motion passed
(7-0).
4.4. GH Daniels and Associates Contract (installation of the Village Structure
Landscape Improvements)
Background: This project proposes to install numerous new shrubs and trees, rearrange
perennial flower beds, remove several dying trees and install some granite landscape boulders
along the north side of the parking structure. The design adds color, texture and diversity to the
existing landscape. The project has received DRB approval.
Staff Recommendation: Authorize the Town Manager to enter into a contract with GH Daniels
and Associates in an amount not to exceed $67,000 for the installation of the Village Parking
Structure Landscape Improvements Project.
May 19, 2020 - Page 10 of 123
Town Council Meeting Minutes of April 7, 2020 Page 3
Foley made a motion to authorize the Town Manager to enter into an agreement with GH
Daniels and Associates in an amount not to exceed $67,000.00; Langmaid seconded the motion
passed (7-0).
5. Town Manager Report
Robson provided updates on the town's COVID-19 response. Many staff members were working
remotely. Robson stated the town was working to make sure its employees were being supported.
Applications from non-profits for $500K in funding from the Vail Relief Fund are continuing to come
in. The funding would be released soon. Robson provided an update on the state and county
public health mandates on social distancing, especially related to construction sites. Safety
protocols had to be posted on site by April 9. Additionally, Robson provided an update on the
fencing in East Vail to help protect the bighorn sheep herd. Robson said longer term, bids and cost
estimates were being taken for an environmental assessment to treat 4,500 acres. Mechanical
treatments and controlled burns could begin next spring.
6. Action Items
6.1. Permission to Proceed through the Development Review Process for use of Town
of Vail owned property for the placement of air conditioning units and associated
screening in the vicinity of 292 East Meadow Drive.
Presenter(s): Erik Gates, Planner
Action Requested of Council: The Town Council is asked to review a request to submit a
development review application (Design Review Board) for use Town of Vail property for the
placement of air conditioning units and associated screening on Town owned property and
public rights of way.
Staff Recommendation: The Vail Town Council instructs Town Staff to sign the development
application on behalf of the property owner and permit the project to proceed through the
development review process for the proposed improvements.
Gates explained the owner of the Mountain House, located at 292 East Meadow Drive, was
requesting permission to proceed through the Design Review process for air conditioning (A/C)
units servicing the building that are located partially on Town of Vail property (East Meadow
Drive ROW) and Town of Vail Stream Tract. The applicant was requesting use of Town of Vail
property in order to install and distribute A/C units around the building. All A/C units would be
placed adjacent to the building. Gates explained the council was not being asked to approve
the improvements, their location or design, but rather to authorize the applicant to move forward
with a planning application that utilizes town-owned property for private uses.
Stockmar made a motion to deny 292 E. Meadow Dr. permission to proceed through the
process; Coggin seconded the motion passed (5-2 Bruno and Foley opposed).
7. Public Hearings
7.1. Ordinance No. 1, Series 2020, Second Reading, An Ordinance Making
Adjustments to the Town of Vail General Fund, Capital Projects Fund, Housing Fund,
May 19, 2020 - Page 11 of 123
Town Council Meeting Minutes of April 7, 2020 Page 4
Real Estate Transfer Tax Fund, Marketing Fund, Dispatch Services Fund, Heavy
Equipment Fund, Health Insurance Fund, and Timber Ridge Fund
Presenter(s): Carlie Smith, Financial Service Manager
Action Requested of Council: Approve or approve with amendments Ordinance No. 1, Series
2020.
Background: Please see attached memo.
Staff Recommendation: Approve or approve with amendments Ordinance No. 1, Series 2020
Smith reviewed the changes to Ordinance No. 1, Series of 2020 since the first reading including
the first phase of budget adjustments in response to COVID-19. The reduction in budgeted
expenditures included salary and benefit savings from merit freezes and vacancies, decreases
in department operating expenditures, savings in capital projects as well as deferrals of capital
projects.
✓ General Fund reflected a decrease in budgeted revenue of $6,373,000 or 14% decrease
from the 2019 original budget. This included reductions for the following revenue sources:
• Sales Tax ($3,575,000)
• Lift Tax ($1,060,000)
• Parking Sales ($1,029,600)
• County Sales Tax ($198,400)
• Earnings on Investments ($300,000)
• Donovan Pavilion Rentals ($90,000)
• Project Reimbursements ($120,000)
Some expenditure reductions included:
➢ Deferral or reduction of one-time projects for savings of $350,000;
➢ Salary and benefit reductions for a savings of $730,000
➢ 10% decrease in department operating expenditures for a savings of $1.2M
✓ Marketing Fund reflected a decrease of $50,000.00 since first reading.
✓ Capital Projects Fund reflected a decrease in sales tax revenue of $3,575,000.00
➢ Identified project that could be deferred to 2021 or beyond resulted in a savings and
deferrals totaling $18.3M
✓ Housing Fund had no changes
✓ Real Estate Transfer Tax Fund reflected a decrease in revenue of $700,000
➢ identified additional project to defer to later years. Combined project savings and
deferrals total $9.8M
Smith shared with council that since first reading staff had received an updated bid from the Vail
Recreation District for a cooling system at the Gymnastics facility. This item was in the budget at
$50K, however the work had been estimated at $250K, an increase of $200K
✓ Dispatch Fund reflected a revenue decrease of $66,119 as a result of expenditure
reductions.
➢ Expenditure savings included:
• Salary and benefit savings of $65,961 and
• Operating savings of $49,700
Smith stated staff would further refine the expenditure reductions and possible discount to
external agencies.
✓ Heavy Equipment Fund reflected decrease in the transfer from the General Fund of
$253,042 as a result of expenditure reductions.
May 19, 2020 - Page 12 of 123
Town Council Meeting Minutes of April 7, 2020 Page 5
➢ Expenditure savings included:
• salary and benefit savings of $35,901
• operating savings of $162,477
✓ Timber Ridge Enterprise Fund projected to decrease by $58,422 in loss of rental income
either due to vacancies or rent relief efforts. Timber Ridge would have an ending fund
balance of $1.8 million.
There was no public comment.
Council had no questions.
Coggin made a motion to approve Ordinance No. 1, Series of 2020 upon second reading;
Mason seconded the motion passed (7-0).
7.2. Ordinance No. 2, Series of 2020, First Reading, An Ordinance for a Zone District
Boundary Amendment, Pursuant to Section 12-3-7, Amendment, Vail Town Code, to
Allow for a Rezoning of Two Portions of Lot 1, 366 Hanson Ranch Road Subdivision; The
Rezoning will change the Zone District from Agricultural and Open Space (A) to the
Public Accommodation (PA) District
Presenter(s): Jonathan Spence, Planning Manager
Action Requested of Council: The Vail Town Council has been asked to table this item to the
April 21, 2020 meeting.
Background: The applicant, VailPoint LLC, represented by Sarah J Baker PC., is requesting a
zone district boundary amendment, located at 366 Hanson Ranch Road from Agriculture and
Open Space (A) District to the Public Accommodation (PA) District.
Staff Recommendation: Town Council to table the first reading of Ordinance No. 2, Series of
2020 to the April 21st meeting.
Langmaid made a motion to table Ordinance No. 2, Series of 2020 to the April 21st Town
Council meeting; Stockmar seconded the motion passed (7-0).
There being no further business to come before the council, Foley moved to adjourn the
meeting; Langmaid seconded the motion which passed (7-0) and the meeting adjourned at 6:47
p.m.
Respectfully Submitted,
Attest: __________________________________
Dave Chapin, Mayor
___________________________________
Tammy Nagel, Town Clerk
May 19, 2020 - Page 13 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: A pril 21, 2020 Town Council Meeting Minutes
AT TAC H ME N TS:
Description
April 21, 2020 Town Council Meeting Minutes
May 19, 2020 - Page 14 of 123
Town Council Meeting Minutes of April 21, 2020 Page 1
Vail Town Council Meeting Minutes
Tuesday, April 21, 2020
6:00 P.M.
Vail Town Council Chambers
The regular meeting of the Vail Town Council was called to order at approximately 6:00 P.M. by
Mayor Chapin.
Members present: Dave Chapin, Mayor
Kim Langmaid, Mayor Pro Tem
Jenn Bruno
Travis Coggin
Kevin Foley
Jen Mason
Brian Stockmar
Staff members present: Scott Robson, Town Manager
Patty McKenny, Assistant Town Manager
Matt Mire, Town Attorney
Tammy Nagel, Town Clerk
1. Citizen Participation
There was none.
2. Any action as a result of executive session
There was none.
3. Consent Agenda
3.1. Resolution No. 10, Series of 2020, A Resolution Adopting the March 2020 Updated
Chamonix Vail Employee Housing Guidelines
Background: All homes located within Chamonix Vail are subject to a Deed Restriction
Agreement for the Occupancy and Transfer of Chamonix Vail Community Residential Dwelling
Units. The Chamonix Vail Employee Housing Guidelines (the “Guidelines”) are intended to
supplement the Deed Restriction and may be updated from time to time by the Town. Updated
Guidelines to permit the Town to transfer any residential unit it owns within Chamonix Vail to a
buyer selected by the Town without utilizing the lottery process set forth in the Guidelines has to
be approved by the Vail Town Council.
Staff Recommendation: Council approves and adopt the March 2020 Updated Guidelines
There was no action. Resolution No. 10, Series of 2020 failed.
3.2. Vail Nature Center Contract Approval.
May 19, 2020 - Page 15 of 123
Town Council Meeting Minutes of April 21, 2020 Page 2
Background: The Town of Vail contracts with Walking Mountains Science for operations and
programming at the Vail Nature Center.
Staff Recommendation: Staff recommends the Vail Town Council direct the Town Manager to
enter into a Professional Services Agreement with Walking Mountains Science Center in the
amount of $75,000 for the 2020 season.
Coggin made a motion to authorize the Town Manager to enter into an agreement with Walking
Mountains Science Center in an amount not to exceed $75,000.00; Foley seconded the motion
passed (7-0).
4. Town Manager Report
4.1. Community Recovery Planning Update
Presenter(s): Scott Robson, Town Manager
Robson provided an update on the town's recovery plan for COVID-19.
➢ May 4th the Vail Transit system would be starting up again with public health
requirements for passengers
➢ Vail Library staff would continue curbside pickup of materials.
➢ Police and Fire continued to be fully staffed.
➢ Remote administrative work continues.
➢ Public access to public buildings would continue to be by appointment only.
➢ Public in-person meetings in the Council Chambers are suspended until gatherings of 20
or more are permitted.
➢ There wold be a virtual Municipal Court date in May.
➢ Economic Development Department was working with event promoters on the status of
special events for the summer and taking a measured approach. There were some
creative ideas occurring for a July 4th celebration. GoPro Mountain Games had been
rescheduled for August.
Robson stated the Vail Community Relief Fund selection committee met earlier in the week and
had awarded $100K to food relief, $100K to rental relief and $85K to health-related relief. The
non-profit recipients would be receiving checks soon. More funding was available for qualifying
applicants.
4.2. East Vail Wildlife Habitat Update
Presenter(s): Scott Robson, Town Manager
Robson provided an update to council concerning the wildlife habitat improvement activities,
including the emergency fencing in East Vail. The fencing needed to meet the 8 ft. height
requirement by Colorado Parks & Wildlife and was there temporarily to keep bighorn sheep off
the road. The Town was working with the Forest Service in obtaining bids for an Environmental
Assessment for a fuel reduction project on 4,500 acres in the East Vail area. Bruno asked if the
town had established an endowment fund that could be used to collect donations to assist with
the fuel reduction project. Robson says this could be a possibility. Langmaid suggested making
a request to the Vail Resorts 1% fund, as well.
5. Action Items
May 19, 2020 - Page 16 of 123
Town Council Meeting Minutes of April 21, 2020 Page 3
5.1. Resolution No. 16, Series of 2020, A Resolution Adopting the Community Wildfire
Protection Plan to Identify Areas Where Wildfire Hazard and Community Values Intersect
and Create Strategies to Reduce the Potential Impacts of Wildfire and Setting Forth
Details in Regard Thereto
Presenter(s): Paul Cada-Wildland Program Manager; Mark Novak - Fire Chief
Action Requested of Council: Approve, approve with amendments or deny Resolution No. 16,
Series of 2020.
Background: A Community Wildfire Protection Plan (CWPP) is an essential element in the Fire
Adapted Vail strategic framework and provides the foundation for future wildland fire mitigation
projects in and around the Town of Vail. Having an adopted CWPP is also a requirement for
most wildfire mitigation grants.
Staff Recommendation: Approve Resolution No. 16, Series of 2020
Cada reviewed Resolution No. 16, Series of 2020 with council explaining the Community
Wildfire Protection Plan (CWPP) was a Vail specific document that assessed the wildfire risk for
the Vail Community and sets five main community goals in a strategic framework.
1. Reduce the risk of a Wildland Urban Disaster with the Town
2. Decrease the probability of landscape scale high severity wildfire events
3. Build business community resiliency to wildfires disasters
4. Citizen engagement and preparedness
5. Support the utilization of forest products
This document would provide the necessary framework for decision making on issues related to
wildfires. Cada stated the CWPP would make Vail better prepared in the event of a wildfire.
Council had no questions and thanked everyone for their efforts on getting the drafted.
Langmaid made a motion to approve Resolution No. 16, Series of 2020, Mason seconded the
motion passed (7-0).
6. Public Hearings
6.1. Ordinance No.2, Series of 2020 - Rezoning 366 Hanson Ranch Road (Vailpoint)
Presenter(s): Jonathan Spence, Planning Manager
Action Requested of Council: PURSUANT TO AN EMERGENCY ORDER, DATED APRIL 15,
2020, THIS ITEM HAS BEEN POSTPONED UNTIL SUCH A TIME AS AN IN-PERSON PUBLIC
HEARING MAY BE HELD.
6.2. Ordinance No. 3, Series of 2020 - First Reading - Rezoning 2211 N. Frontage Road
Presenter(s): Greg Roy, Planner
May 19, 2020 - Page 17 of 123
Town Council Meeting Minutes of April 21, 2020 Page 4
Action Requested of Council: PURSUANT TO AN EMERGENCY ORDER, DATED APRIL 15,
2020, THIS ITEM HAS BEEN POSTPONED UNTIL SUCH A TIME AS AN IN-PERSON PUBLIC
HEARING MAY BE HELD.
6.3. Ordinance No. 4, Series of 2020 - First Reading - Establishment of a New Special
Development District - 2211 N. Frontage Road
Presenter(s): Greg Roy, Planner
Action Requested of Council: PURSUANT TO AN EMERGENCY ORDER, DATED APRIL 15 ,
2020, THIS ITEM HAS BEEN POSTPONED UNTIL SUCH A TIME AS AN IN-PERSON PUBLIC
HEARING MAY BE HELD.
There being no further business to come before the council, Foley moved to adjourn the
meeting; Stockmar seconded the motion which passed (7-0) and the meeting adjourned at 8:40
p.m.
Respectfully Submitted,
Attest: __________________________________
Dave Chapin, Mayor
___________________________________
Tammy Nagel, Town Clerk
May 19, 2020 - Page 18 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Resolution No. 19, S eries of 2020, A Resolution Approving an Amended Ground
L ease Between the Town of vail, the L ocal Housing A uthority and Middle Creek Village, L L C
AC T IO N RE Q UE S T E D O F C O UNC I L: A pprove, approve with amendments or deny
Resolution No. 19, Series of 2020.
B AC K G RO UND: The Vail Town Council, Vail L ocal Housing Authority, and Coughlin &
Companymutually wish to amend certain agreements as they pertain to the
public/privatepartnership facilitating the continued operation of the Middle Creek at Vail A partments.
S TAF F RE C O M M E ND AT IO N: A pprove, approve with amendments or deny Resolution No. 19,
S eries of 2020.
AT TAC H ME N TS:
Description
Resolution No. 19, Series of 2020
May 19, 2020 - Page 19 of 123
To: Vail Town Council
From: George Ruther, Housing Director
Matt Mire, Town Attorney
Date: May 19, 2020
Subject: Resolution No. 19, Series of 2020, a resolution approving an amended ground
lease between the Town of Vail, Vail Local Housing Authority, and Middle Creek
Village, LLC.
SUMMARY
The purpose of this memorandum is to provide a summary of Resolution No. 19, Series
of 2020 which amends the ground lease for the Middle Creek at Vail Apartments and
authorizes the Town Manager to execute the agreements and take any additional
actions necessary to effectuate the ground lease on behalf of the Town.
The Vail Town Council, Vail Local Housing Authority, and Coughlin & Company
mutually wish to amend certain agreements as they pertain to the public/private
partnership facilitating the continued operation of the Middle Creek at Vail Apartments.
The catalysts for amending the agreements are that the parties wish to:
• Refinance the debt on the development,
• Amend the leasehold area of the ground lease agreement,
• Establish an easement for vehicular ingress an egress to adjacent town-owned
land,
• Terminate the irrelevant development agreement, and
• Eliminate obsolete and non-pertinent language.
In doing so, however, certain provisions of the agreement remain unchanged. The
unchanged provisions include:
• The agreements remain a tri-party agreement between the Vail Town Council,
the Vail Local Housing Authority and Coughlin & Company,
• 100% of the property is deed-restricted for employee housing,
• Ground lease agreement still expires on March 1, 2056,
• The Town maintains ownership of the land, and
May 19, 2020 - Page 20 of 123
Town of Vail Page 2
• The Vail Local Housing Authority continues to receive a lease payment of $1.00
per year, plus ½ of a percent of gross collected revenues from operations per
month.
1. ACTION REQUESTED
The Vail Town Council is being asked to approve Resolution No. 19, Series of 2020, as
read. If approved, the town staff will take the steps necessary to complete the
amendment process for the various agreements.
The Vail Local Housing Authority will review for approval a similar resolution at their
next regularly scheduled meeting on Tuesday, May 26.
A copy of Resolution No. 19, Series of 2020 has been attached for reference.
May 19, 2020 - Page 21 of 123
RESOLUTION NO. 19
Series of 2020
A RESOLUTION APPROVING AN AMENDED GROUND LEASE BETWEEN THE
TOWN OF VAIL, THE VAIL LOCAL HOUSING AUTHORITY AND MIDDLE CREEK
VILLAGE, LLC
WHEREAS, the Town is the owner of certain real property more particularly
described in Exhibit A attached hereto and incorporated herein by this reference (the
"Property");
WHEREAS, the Vail Local Housing Authority (the “VLHA”) is a local housing
authority formed pursuant to the Colorado Housing Authorities law, C.R.S. § 29-4-201, et
seq., and certified in March 1991 as local governmental entity number 46-19-048 by the
Colorado Division of Local Government;
WHEREAS, on January 15, 2002, the VLHA, as special agent for the Town, and
Coughlin & Company, Inc., a Colorado corporation (“Coughlin”), as initial lessee, entered
into a Land Lease Agreement (the "Original Lease") for the purpose of granting Coughlin
a leasehold estate in the Property upon which to design, develop, build, own and operate
a multi-family rental housing development (the "Improvements");
WHEREAS, construction of the Improvements was completed on or about January
31, 2005;
WHEREAS, the parties wish to replace the Original Lease with an amended lease
(the “Ground Lease”).
NOW THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE
TOWN OF VAIL, COLORADO THAT:
Section 1. The Town Council hereby approves the Ground Lease in
substantially the same form as attached hereto as Exhibit A, and in a form approved by
the Town attorney, and authorizes the Town Manager to execute the Ground Lease on
behalf of the Town. The Town Manger is hereby further authorized to take any additional
action necessary to effectuate the execution of the Ground Lease on behalf of the Town.
Section 2. This Resolution shall take effect immediately upon its passage.
May 19, 2020 - Page 22 of 123
INTRODUCED, PASSED AND ADOPTED at a regular meeting of the Town
Council of the Town of Vail held this 19th day of May 2020.
_________________________
Dave Chapin, Town Mayor
ATTEST:
_____________________________
Tammy Nagel, Town Clerk
May 19, 2020 - Page 23 of 123
1
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
GROUND LEASE
This GROUND LEASE (the "Lease") is entered into as of ___________, 2020 (the
Effective Date") by and among the Town of Vail, a Colorado home rule municipality (the "Town"),
the Vail Local Housing Authority, a Colorado statutory housing authority (the "VLHA"), and
MIDDLE CREEK VILLAGE, LLC, a Colorado limited liability company ("Lessee") (each a
"Party" and collectively the "Parties").
WHEREAS, the Town is the owner of certain real property more particularly described in
Exhibit A attached hereto and incorporated herein by this reference (the "Property");
WHEREAS, the VLHA is a local housing authority formed pursuant to the Colorado
Housing Authorities law, C.R.S. § 29-4-201, et seq., and certified in March 1991 as local
governmental entity number 46-19-048 by the Colorado Division of Local Government;
WHEREAS, on January 15, 2002, the VLHA, as special agent for the Town, and Coughlin
& Company, Inc., a Colorado corporation, as initial lessee, entered into a Land Lease Agr eement
(the "Original Lease") for the purpose of granting Lessee a leasehold estate in the Property upon
which to design, develop, build, own and operate a multi-family rental housing development (the
"Improvements");
WHEREAS, construction of the Improvements was completed on or about January 31,
2005;
WHEREAS, with the consent of the Town and the VLHA, Coughlin & Company, Inc.
assigned the Lease to Lessee; and
WHEREAS, the Parties wish to replace the Original Lease with this Lease.
NOW, THEREFORE, for and in consideration of the mutual promises and covenants
contained herein, the sufficiency of which is mutually acknowledged, the Parties agree as follows:
1. Lease. The Town, in consideration of the rents, covenants, agreements, and conditions
herein set forth which Lessee hereby agrees shall be paid, kept, and performed, does hereby lease
unto Lessee, and Lessee does hereby lease from the Town, the Property, together with all of the
Town's rights, interests, estates, and appurtenances thereto.
2. Term, Holding Over, Surrender.
a. Term. This Lease shall take effect on the Effective Date and shall terminate on
March 1, 2056 (the "Term"). The Parties recognize that this Lease extends the Original Lease
term.
b. Holding Over. If Lessee, with the consent of the VLHA and the Town, remains on
the Property after the Term, such holding over in itself shall not constitute a renewal or extension
of this Lease, but shall be a tenancy from month-to-month. Nothing herein contained shall be
deemed to give Lessee the right to hold over, and Lessee covenants that on the last day of the Term,
Lessee will peaceably leave and quietly surrender the Property.
May 19, 2020 - Page 24 of 123
2
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
c. Surrender. On the last day of the term of this Lease or upon any termination of this
Lease, Lessee shall surrender the Property, with the Improvements then located thereon, into the
possession and use of the Town, without fraud or delay and in good order, condition, and repair,
free and clear of all occupancies, liens and encumbrances, without any payment or allowance
whatever by the Town for any buildings or improvements erected or maintained on the Property at
the time of the surrender, or for the contents thereof or appurtenances thereto.
3. Rent and Security Deposit.
a. Base Rent. Based Rent of $1.00 per year is due upon the Effective Date and each
year upon the anniversary of the Effective Date.
b. Additional Rent. An amount equal to ½% of gross collected revenues received
during the prior month shall be paid no later than the 10th day of the following month, each month
during the Term. Within a reasonable time after the VLHA's written request, Lessee shall provide
reports and records to the VLHA to demonstrate that Lessee is paying the appropriate amount of
Additional Rent.
c. Delivery. All rental payments shall be made to the VLHA.
d. Security Deposit. Lessee's security deposit under the Original Lease of $340,000
has been returned to Lessee. There shall be no security deposit associated with this Lease.
4. Permitted Uses. Lessee shall use and enjoy the Property to operate the Improvements,
which shall at all times comply with the deed restriction attached hereto as Exhibit B and
incorporated herein (the "Deed Restriction"), and applicable law, including without limitation the
Vail Town Code, as amended. Lessee will not do, or permit to be done, anything on the Property
which is contrary to any legal or insurable requirement or which constitutes a nuisance.
5. Taxation. The Parties acknowledge their intent that the Property is to be exempt from ad
valorem property taxes pursuant to C.R.S. § 29-4-227. Lessee may, at its sole cost and expense,
contest the validity or amount of any taxes imposed against the Property. To the extent any
property taxes are imposed against the Improvements, Lessee shall be solely responsible for the
timely payment of such taxes. In the event that the Town sells the Property to a for-profit entity,
causing the Property to no longer be exempt from ad valorem property taxes, and this Lease
remains in effect at such sale, then the new for-profit owner shall be responsible for all ad valorem
property taxes until the expiration of the Term.
6. Net Lease. This Lease shall be a net lease, and throughout the Term, all payments and
other obligations or liabilities of any kind regarding the Property shall be solely the responsibility
of Lessee, and not the responsibility of the Town. Lessee shall pay all charges for gas, electricity,
water, sewer, telephone and other communication services, and all other utilities and similar
services rendered or supplied to the Property, including snow removal.
7. Existing Conditions. As of the Effective Date, Lessee has inspected the physical condition
of the Property and receives the Property in "as is" condition, with all faults. The Town makes no
representations or warranties with respect to the condition of the Property or its fitness or
May 19, 2020 - Page 25 of 123
3
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
availability for any particular use, and the Town shall not be liable to Lessee for any latent or
patent defect on the Property.
8. Hazardous Materials.
a. No Warranty. Though the Town has no actual knowledge of the presence of any
hazardous materials or other adverse environmental conditions on the Property, the Town makes
no warranty regarding such materials or conditions.
b. Lessee's Responsibility. Lessee shall keep and maintain the Property and the
Improvements in compliance with, and shall not cause or permit the Property to be in violation of,
any federal, state, or local laws, ordinances or regulations relating to industrial hygiene or to the
environmental conditions ("Hazardous Materials Laws") on, under, about, or affecting the
Property or the Improvements. Lessee shall not use, generate, manufacture, store, or dispose of
on, under or about the Property or the Improvements or transport to or from the Property any
flammable explosives, radioactive materials, hazardous wastes, asbestos, lead-based paints, toxic
substances, or related materials, including without limitation any substances defined as or included
in the definition of hazardous substances, hazardous wastes, hazardous materials, or toxic
substances under any applicable federal or state laws or regulations (collectively referred to
hereinafter as "Hazardous Materials").
9. Improvements.
a. Ownership. During the Term, all Improvements shall be solely the property of
Lessee. Upon termination of this Lease, Lessee shall surrender to the Town, free and clear of all
debt and other encumbrances, the Improvements and all other improvements, inclusions, fixtures,
equipment and other appurtenances on the Property in good condition and repair.
b. Maintenance and Repairs. Lessee agrees to maintain the Property throughout the
Term of this Lease, at Lessee's own expense, in good working order, in a clean and safe manner.
Such maintenance shall include all work necessary to maintain the Property in a first-class
condition consistent with similar projects in the Town, including both interior and exterior repairs.
Lessee shall, at its own expense, provide all janitorial, landscaping, trash removal, snow removal
and other services required for the proper maintenance of the Property.
c. Failure to Maintain. Should Lessee fail to perform the required maintenance or
repairs after 30 days written notice from the Town, the Town may, but has no obligation to,
perform such maintenance or repairs and invoice Lessee for the costs of such maintenance, plus
8% interest. Lessee shall pay such invoice within 30 days of receipt thereof, and Lessee's failure
to do so shall constitute a Lessee Default.
d. Modification. Lessee shall have the right to modify the Improvements without the
consent of the Town or the VLHA so long as such modifications are in full compliance with all
regulations affecting the Property, including without limitation the Vail Town Code.
e. Signage. Lessee may place and maintain on, in or about the Improvements, both
outdoors and indoors, such appropriate signs advertising the Improvements as Lessee may desire,
May 19, 2020 - Page 26 of 123
4
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
in compliance with the Town's sign code. Upon termination of the Lease, if requested by the Town
or the VLHA, Lessee shall remove all such signs.
f. Property Management. Throughout the Term of this Lease, Lessee shall provide
for professional management of the ongoing use and operation of the Improvements, either through
an independent third party or an affiliate or agent of Lessee (the "Property Manager").
g. Mechanics' Liens. Lessee shall keep the Improvements free from any mechanic’s
liens arising out of any work performed, materials furnished, or obligations incurred by or at the
direction of Lessee.
10. Insurance.
a. Coverages. Lessee shall maintain the following insurance throughout the Term:
i. Commercial general liability insurance, including contractual liability, with limits
of not less than $2,000,000 per occurrence for bodily injury, personal injury and property
damage, naming the Town as an additional insured.
ii. Fire and extended coverage insurance covering the Improvements for injury or
damage by the elements, or through any other cause, in an amount not less than the full
actual replacement cost of the Improvements, common areas, and appurtenances, and
sufficient to prevent the Town, the VLHA or Lessee from becoming a co-insurer of any
partial loss.
b. Form. The policies shall not be canceled, terminated or materially changed without
at least 30 days prior written notice to the Town. In the case of any claims-made policy, the
necessary retroactive dates and extended reporting periods shall be procured to maintain such
continuous coverage. Any insurance carried by the Town, its officers, its employees, or its
contractors shall be excess and not contributory insurance to that provided by Lessee. Lessee shall
be solely responsible for any deductible losses under any policy.
c. Certificates. Upon request, Lessee shall provide to the Town a certificate of
insurance as evidence that the required policies are in full force and effect. The certificate shall
identify this Lease.
11. Indemnification. Lessee agrees to indemnify, defend, and hold the Town and the VLHA
and their officers, insurers, volunteers, representative, agents, employees, heirs and assigns
harmless from and against any and all claims, liability, damages, losses, expenses and demands,
including reasonable attorney fees, on account of injury, loss, or damage, including without
limitation claims arising from bodily injury, personal injury, sickness, disease, death, property loss
or damage, or any other loss of any kind whatsoever, which arise out of or are in any manner
connected with this Lease or Lessee's use of the Property; provided however, that Lessee shall not
indemnify, defend or hold the Town harmless for the Town's negligence or the VLHA's
negligence.
May 19, 2020 - Page 27 of 123
5
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
12. Restoration. Should any Improvements be wholly or partially destroyed or damaged by
fire or other casualty, Lessee shall promptly repair, replace, restore, and reconstruct the same, all
in compliance with the provisions of this Lease.
13. Condemnation.
a. Full Taking. Should the entire Property be taken by eminent domain, condemnation
or similar proceedings or conveyed in avoidance or settlement of eminent domain, condemnation,
or other similar proceedings, then Lessee's right of possession under this Lease shall terminate as
of the date of taking possession by the condemnor, and the award therefor will be distributed as
follows: first, to the payment of all reasonable fees and expenses incurred in collecting the award;
and next, the balance of the award shall be equitably apportioned between the Town and Lessee
based on the then respective fair market values of the Town's interest in the Property and Lessee's
interest in the Property. All rent shall be prorated through the date of termination.
b. Partial Taking. Should a portion of the Property be taken by eminent domain,
condemnation or similar proceedings, this Lease shall continue in effect as to the remainder of the
Property unless, in Lessee's reasonable judgment, the taking makes it economically unsound to use
the remainder, whereupon this Lease shall terminate as of the date of taking of possession by the
condemnor in the same manner as if the whole of the Property had been taken, and the award
therefor shall be distributed as provided in subsection (a) hereof. If this Lease is not terminated,
all rent shall be equitably adjusted based on the portion of the Property taken. If this Lease is
terminated, all rent shall be prorated through the date of termination.
c. Temporary Taking. If any portion of the Property is taken for temporary use or
occupancy, the Term shall not be reduced or affected. Except to the extent Lessee is prevented
from so doing pursuant to the terms of the order of the condemning authority, Lessee shall continue
to perform and observe all of the other covenants, agreements, terms, and provisions of this Lease.
If Lessee continues to perform its obligations under this Lease throughout the term of the
temporary taking, Lessee shall be entitled to the full award for a temporary taking.
d. Condemnation/Casualty Payments; Restoration after Destruction or
Condemnation. During such time as Financing is in effect, all condemnation or casualty proceeds
regarding the leasehold estate of the Lessee shall be applied as required by its Lenders. The
payment shall not be less than the total award minus the value of the remainder interest in the
Property considered as unimproved. In the event of a partial taking, the Lessee is permitted to
rebuild and restore the Improvements unless a Lender consents to distribution of the proceeds. In
that event, the proceeds must be applied first toward reduction of the Financing. This Lease does
not prohibit a Lender from participating in adjustment of losses and settlement. Notwithstanding
any other provision to the contrary hereunder, in the event of a casualty or condemnation, this
Lease shall not be terminated and the insurance proceeds or condemnation award may be retained
by Lessee and applied to the Financing as repayment of indebtedness or to restore the
Improvements; provided, however, that in the event of a full casualty or taking. The Town or
VLHA may be entitled to the portion of any casualty proceeds or condemnation award which
represents the unimproved value of the Property.
May 19, 2020 - Page 28 of 123
6
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
14. Assignment. Lessee may assign its rights under this Lease if the new tenant assumes in
writing all covenants and obligations of Lessee under this Lease, including without limitation all
obligations of Lessee under the Deed Restriction. Lessee shall thereupon be released and
discharged from all obligations under this Lease, but such obligations shall be binding upon the
new tenant. Notwithstanding the foregoing, Lessee may not assign its rights hereunder if Lessee
is in default of this Lease.
15. Subleasing.
a. Term. Lessee may freely execute subleases in compliance with this Lease, the Deed
Restriction and applicable law, provided that the term of each such sublease (including all renewal
and extension rights) shall not extend past the expiration date of the Term.
b. Form. Each sublease shall specifically provide that the sublessee's rights are
subject to the Town's rights under this Lease and the Deed Restriction, and shall provide that upon
a termination of this Lease or of Lessee's right to possession of the Property such sublease, at the
Town's option, shall continue in effect as a lease directly between the Town and the sublessee
thereunder, provided that the sublessee attorns to the Town, the Town shall not be responsible for
the return or repayment of any security or other deposits made by such sublessee with Lessee
unless Lessee has turned the same over to the Town, and the Town shall not be liable or responsible
for the cure or remedy of any breach, violation, or default on the part of Lessee under subleases
occurring prior to termination of this Lease or of Lessee's right to possession of the Property.
Lessee shall give a copy of each sublease to the Town upon request.
16. Quiet Enjoyment. The Town covenants that Lessee, on paying the Rent and performing
and observing the obligations of this Lease, shall peaceably and quietly have, hold, occupy, use,
and enjoy the Property during the Term, and may exercise all of its rights hereunder, subject only
to the provisions of this Lease, the Deed Restriction and applicable law. Notwithstanding the
foregoing, the Town shall have access to the Property at all times following reasonable prior notice
to Lessee to inspect the Property, provided that the Town shall use reasonable efforts not to disturb
Lessee's use of the Property or the occupants of the Improvements.
17. Lessee Default and Remedies.
a. Events of Default. Each of the following is a Lessee default of this Lease:
i. If Lessee fails to perform any of its obligations under this Lease or the Deed
Restriction and Lessee fails to commence and take such steps as are necessary to remedy
the same within 30 days after Lessee is given a written notice specifying the same;
provided, however, that if the violation is a violation of this Lease and not a violation of
the Deed Restriction, and the nature of the violation is such that it cannot reasonably be
remedied within 30 days, and Lessee provides evidence to the Town that the violation
cannot reasonably be remedied within 30 days, then the violation shall be remedied as soon
as reasonably practicable, but in any case, within 180 days of the original notice of
violation.
ii. If an involuntary petition is filed against Lessee under a bankruptcy or insolvency
law or under the reorganization provisions of any law, or when a receiver of Lessee, or of
May 19, 2020 - Page 29 of 123
7
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
all or substantially all of the property of Lessee, is appointed without acquiescence, and
such petition or appointment is not discharged or stayed within 120 days after the
happening of such event.
iii. If Lessee makes an assignment of its property for the benefit of creditors or files a
voluntary petition under a bankruptcy or insolvency law, or seeks relief under any other
law for the benefit of debtors.
b. Remedies. If a Lessee default occurs, the Town may, without waiving any other
rights hereunder or available to the Town at law or in equity (the Town's rights being cumulative),
terminate this Lease, in which event this Lease and the leasehold estate hereby created and all
interest of Lessee and all parties claiming by, through, or under Lessee shall automatically
terminate upon the effective date of such notice; and the Town, its agents or representatives, may,
without further demand or notice, reenter and take possession of the Property and remove all
persons and property from the Property with or without process of law, without being deemed
guilty of any manner of trespass and without prejudice to any remedies for existing breaches
hereof. In addition to the specific remedies set forth herein, the To wn shall have all other remedies
available at law or equity, and the exercise of one remedy shall not preclude the exercise of any
other remedy.
18. Town Default and Remedies.
a. Event of Default. The following is a Town default of this Lease: if the Town fails
to perform any of its covenants or obligations under this Lease and fails to commence and take
such steps as are necessary to remedy the same within 30 days after written notice is given
specifying the same; provided, however, that if the nature of the violation is such that it cannot
reasonably be remedied within 30 days, and the Town provides evidence to Lessee that the
violation cannot reasonably be remedied within 30 days, then the violation shall be remedied as
soon as reasonably practicable, but in any case, within 180 days of the original notice of violation.
b. Remedies. If a Town default occurs, Lessee may terminate this Lease. In addition
to the specific remedy set forth herein, Lessee shall have all other remedies available at law or
equity, and the exercise of one remedy shall not preclude the exercise of any other remedy,
provided that the remedy of specific performance shall not be available against the Town.
19. VLHA's Right to Cure. Notwithstanding any other provision to the contrary hereunder,
the VLHA shall have the absolute and continuing right, in the event of any failure by Lessee to
timely perform any obligation under this Lease, to make such payment or perform such obligation
in the place of Lessee and, as a result, seek and secure from Lessee reimbursement for all costs
and expenses incurred by the VLHA, including attorney fees and other costs incurred by the
VLHA.
20. Lender Provisions.
a. Leasehold. Lessee may, at any time, without the Town's consent or joinder,
encumber its interest in this Lease and the leasehold estate hereby created with one or more deeds
of trust, mortgages, or other lien instruments to secure any borrowings or obligations of Lessee.
May 19, 2020 - Page 30 of 123
8
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
No lien of Lessee upon its interest in this Lease and the leasehold estate hereby created shall
encumber or affect in any way the interest of the Town in the Property.
b. No Merger. In no event shall the leasehold interest, estate, or rights of Lessee
hereunder, or of the holder of any mortgage upon the Lease, merge with any interest, estate, or
rights of the Town in or to the Property, it being understood that such leasehold interest, estate,
and rights of Lessee hereunder, and of the holder of any mortgage upon this Lease, shall be deemed
to be separate and distinct from the Town's interest, estate, and rights in or to the Property,
notwithstanding that any such interests, estates, or rights shall at any time or times be held by or
vested in the same person, corporation, or other entity.
c. Financing. During the Term, Lessee may freely enter into any Financing without
any further required consent by the Town or the VLHA, provided that Lessee provides the Town
and the VLHA prompt notice of each Financing, together with contact information for notices to
the lender responsible for such Financing (each a "Lender"), and a complete copy of each leasehold
mortgage (including all documents and instruments comprising of the leasehold mortgage) and all
amendments, extensions, modifications and consolidations thereof. For purposes of this Section,
Financing means debt financing that was incurred by Lessee to construct and equip the
Improvements, together with debt that has been or may be incurred in connection with refinancing
such debt.
d. No Liability. No Lender shall have personal liability under this Lease unless such
Lender takes title to the Improvements. A default under any Financing agreement by a Lender
shall not constitute a default under this Lease.
e. Foreclosure. Any Lender shall have the right to foreclose on its Financing without
consent of the Town or the VLHA, and may acquire the Lease in its own name or in the name of
an assignee or nominee upon foreclosure, provided that such foreclosure does not affect the Town's
fee interest in the Property.
f. Subordination. Any mortgage on the Property by the Town shall be subordinate to
the leasehold estate of the Lessee under the Lease. Lessee is prohibited from subordinating its
leasehold estate to a subsequent mortgage of the fee obtained by the Town.
g. Changes to Lease. During such time as any Financing is in effect, this Lease shall
not be amended or modified without the consent of Lender, which consent shall not be
unreasonably withheld, conditioned or delayed.
h. Surrender. The Town shall not accept a voluntary surrender or termination of the
Lease by Lessee.
i. Estoppel Certificate. Upon written request from Lender, but not more than once
per year, the Town shall provide an estoppel certificate to Lender in the form attached hereto as
Exhibit C and incorporated herein by this reference.
j. Rights Upon Lessee Default. The Town shall provide written notice to Lender of a
Lessee default that would allow the Town to terminate the Lease, and, prior to terminating the
Lease, the Town shall provide Lender a reasonable time and opportunity for a Lender to cure the
May 19, 2020 - Page 31 of 123
9
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
default, including, in the case of a default that can be cured by Lender only by obtaining possession,
a sufficient period of time for Lender to obtain possession. If this Lease is terminated upon a
Lessee default, and Lender has foreclosed on its leasehold interest and taken title to the
Improvements, the Town shall negotiate with Lender in good faith to secure a new lease of the
Property with terms substantially similar to the terms of this Lease.
21. Notices. Any notice under this Lease shall be in writing and may be given by United States
Mail, postage prepaid, addressed as set forth herein; or hand-delivery. Notice shall be effective
three days after mailing or immediately upon hand-delivery. The addresses of the Parties shall,
unless changed in writing, be as follows:
The Town: Town Manager, Town of Vail
75 South Frontage Road
Vail, CO 81657
VLHA: Vail Housing Authority
75 South Frontage Road
Vail, CO 81657
Lessee: Middle Creek Village, LLC
140 East 19th Avenue, Suite 700
Denver, CO 80203-1035
Attn: Mr. Michael P. Coughlin
With a copy to: J. William Callison
Faegre Drinker
1144 15th Street, Suite 3400
Denver, CO 80202
22. Miscellaneous.
a. Modification. This Lease may only be modified by subsequent written agreement
of the Parties.
b. Integration. This Lease and any attached exhibits constitute the entire agreement
between the Parties, superseding all prior oral or written communications.
c. Binding Effect. This Lease shall be binding upon and inure to the benefit of the
Parties and their respective heirs, successors and assigns.
d. Severability. If any provision of this Lease is determined to be void by a court of
competent jurisdiction, such determination shall not affect any other provision hereof, and all of
the other provisions shall remain in full force and effect.
e. Governing Law and Venue. This Lease shall be governed by the laws of the State
of Colorado, and any legal action concerning the provisions hereof shall be brought in Eagle
County, Colorado.
f. Third Parties. There are no intended third-party beneficiaries to this Lease.
May 19, 2020 - Page 32 of 123
10
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
g. No Joint Venture. Notwithstanding any provision hereof, neither the Town nor the
VLHA shall ever be a joint venture in any private entity or activity which participates in this Lease,
and neither the Town nor the VLHA shall ever be liable or responsible for any debt or obligation
of any participant in this Lease.
h. Governmental Immunity. The Town and its officers, attorneys and employees, are
relying on, and do not waive or intend to waive by any provision of this Lease, the monetary
limitations or any other rights, immunities, and protections provided by the Colorado
Governmental Immunity Act, C.R.S. § 24-10-101, et seq., as amended, or otherwise available to
the Town or its officers, attorneys or employees.
i. Contingency; No Debt. Pursuant to Article X, § 20 of the Colorado Constitution,
any financial obligations of the Town under this Lease are specifically contingent upon annual
appropriation of funds sufficient to perform such obligations. This Lease shall never constitute a
debt or obligation of the Town within any statutory or constitutional provision.
j. Force Majeure. No Party shall be in breach of this Lease if such Party's failure to
perform any of the duties under this Lease is due to Force Majeure, which shall be defined as the
inability to undertake or perform any of the duties under this Agreement due to acts of God, floods,
storms, fires, sabotage, terrorist attack, strikes, riots, war, labor disputes, forces of nature, the
authority and orders of government, or pandemics.
WHEREFORE, the Parties have executed this Lease on the Effective Date.
TOWN OF VAIL, COLORADO
___________________________________
Dave Chapin, Mayor
ATTEST:
______________________________
Tammy Nagel, Town Clerk
VAIL LOCAL HOUSING AUTHORITY
____________________________________
Chair
ATTEST:
______________________________
Secretary
May 19, 2020 - Page 33 of 123
11
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
MIDDLE CREEK VILLAGE, LLC, a
Colorado limited liability company
By: _________________________, its manager
STATE OF COLORADO )
) ss.
COUNTY OF _________ )
The foregoing instrument was acknowledged before me this ____ day of __________.
2020, by _________________ as Manager of Middle Creek Village, LLC.
My commission expires:
WITNESS my hand and official seal. _________________________________
Notary Public
May 19, 2020 - Page 34 of 123
12
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
EXHIBIT A
LEGAL DESCRIPTION
Lot 1, MIDDLE CREEK SUBDIVISION, according to the Plat recorded ________________,
under Reception No. _________________, County of Eagle, State of Colorado.
May 19, 2020 - Page 35 of 123
13
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
EXHIBIT B
MASTER DEED RESTRICTION
FOR THE OCCUPANCY OF UNITS AT MIDDLE CREEK VILLAGE
THIS MASTER DEED RESTRICTION AGREEMENT FOR THE OCCUPANCY OF
UNITS AT MIDDLE CREEK VILLAGE (the "Agreement") is made and entered into this ____
day of __________, 2020, by and among the Town of Vail, Colorado, a Colorado home rule
municipality (the "Town"), the Vail Local Housing Authority, a Colorado statutory housing
authority (the "VLHA"), and Middle Creek Village, LLC, a Colorado limited liability company
("Lessee") (each a "Party" and collectively the "Parties").
WHEREAS, the Town owns the Property more particularly described in Exhibit 1,
attached hereto and incorporated herein by this reference;
WHEREAS, pursuant to the Ground Lease dated ____________, 2020, the Town has
leased the Property to Lessee for the purpose of operating a multi-family rental housing
development on the Property (the "Project");
WHEREAS, the Parties have agreed that the use and occupancy of the dwelling units in
the Project will be restricted as provided in this Agreement;
NOW, THEREFORE, in consideration of the promises and covenants hereinafter set forth,
and for other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the Parties hereby declare, covenant and agree as follows:
1. Defined Terms. For purposes of this Deed Restriction, the following terms shall have the
following meanings:
"Principal place of residence" means the dwelling in which one's habitation is fixed and to
which a person, whenever he or she is absent, has a present intention of returning after an absence
therefrom. In determining what is a principal place of residence, the Town, the VLHA and Lessee
may consider, without limitation: location of business pursuits; employment and income sources;
residence for tax purposes; residence of parents, spouse and children, if any; location of personal
property; motor vehicle registration; and voter registration.
"Qualified Household" means one Qualified Resident or a group of persons that contains
at least one Qualified Resident (who must sign the Unit lease as a tenant). A Qualified Household
may have occupants that are not Qualified Residents (and who may also sign the Unit lease as
tenants) as long as at least one occupant who has signed the lease is a Qualified Resident.
"Qualified Resident" means: (a) a natural person who works an average of 30 hours or
more per week at a business in Eagle County, Colorado that holds a valid and current business
license, or pays sales taxes, or is otherwise generally recognized as a legitimate business, and earns
at least 75% of their income from such business; or (b) a retired natural person, 60 years or older,
who previously worked an average of 30 hours or more per week at a business in Eagle County,
Colorado that holds a valid and current business license, or pays sales taxes, or is other wise
May 19, 2020 - Page 36 of 123
14
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
generally recognized as a legitimate business, for a minimum of 5 years prior to retirement, and
during such 5-year period, earned at least 75% of their income from such business.
"Rental Guidelines" means the guidelines attached hereto as Exhibit 2 and incorporated
herein by this reference, as amended.
"Unit" means each of the residential dwelling units on the Property.
2. Binding Effect. This Deed Restriction shall constitute a covenant running with the
Property as a burden thereon, for the benefit of, and enforceable by the Town and the VLHA, and
shall bind Lessee and all occupants of the Units. Each and every occupant of a Unit shall be
personally obligated hereunder for the full and complete performance and observance of all
covenants, conditions and restrictions contained herein that are applicable to such occupant during
such occupant's respective period of occupancy of a Unit. Each and every conveyance of the
Property or a portion thereof, or interest therein, for all purposes, shall be deemed to include and
incorporate by this reference, the covenants contained in this Deed Restriction, even without
reference to this Deed Restriction in any document of conveyance. The Parties acknowledge and
agree that this Deed Restriction replaces the Deed Restriction Agreement recorded with the Eagle
County Clerk and Recorder on January 18, 2002 at No. 783204.
3. Occupancy.
a. A Qualified Resident shall occupy each Unit as their principal place of residence,
and Lessee shall not permit any use or occupancy of a Unit except in compliance with this
Agreement. If other occupants of the Unit are not Qualified Residents, the Unit need not be their
principal place of residence.
b. Each Unit shall be occupied by a Qualified Household, provided that one Unit may
be used by the Property Manager, which Unit shall be exempt from the requirement that the Unit
be occupied by a Qualified Household.
c. Nothing in this Agreement shall prohibit Lessee from leasing any Unit to a business
entity that subleases the Unit to a Qualified Household.
d. Residents (other than the Property Manager, if a resident) shall not engage in any
substantial business activity on or in a Unit.
e. In the rental and occupancy of the Units, Lessee shall not discriminate on the basis
of age, race, creed, color, sex, sexual orientation, disability, religion, national origin, marital status
or affiliation or otherwise violate Federal, state and local fair housing laws.
f. When a Unit becomes vacant, Lessee shall promptly make it available and actively
market the Unit for lease to another Qualified Household in accordance with the Rental Guidelines.
g. In a non-emergency situation, if the Town, the VLHA or Lessee has reasonable
cause to believe that an occupant of a Unit is violating any provision of this Deed Restriction, the
Town, the VLHA or Lessee may inspect the Unit between the hours of 8:00 am and 5:00 pm,
Monday through Friday, after providing the occupant with no less than 24 hours written notice,
May 19, 2020 - Page 37 of 123
15
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
which notice to tenant may be given by posting on the front door of the applicable Unit. Nothing
herein shall preclude the Town, the VLHA or Lessee from accessing a Unit in an emergency
situation where there is an imminent threat to person(s) or property.
4. Unit Leases.
a. No Unit shall be leased or occupied without a Unit lease. Each Unit shall have only
one Unit lease at any one time. Each Unit lease shall include a clear reference to this Deed
Restriction and a brief summary of this Deed Restriction, including the remedies upon a violation
or breach of the terms of this Deed Restriction, and shall incorporate the terms and conditions of
this Deed Restriction.
b. Nothing herein shall prevent the Lessee from terminating the lease of a Qualified
Household, or taking any other legal action against the Qualified Household based upon any
tenant's breach of the terms of the lease; provided that if a tenant misrepresents their status as a
Qualified Resident, Lessee shall terminate the Unit lease in addition to any other available
remedies.
5. Violations.
a. If Lessee discovers a violation of this Deed Restriction by an occupant, or if the
Town or the VLHA notifies Lessee in writing that there is a violation of this Deed Restriction by
an occupant, Lessee shall send a notice of violation to the occupant detailing the nature of the
violation and allowing the occupant 10 days from the date of the notice to cure said violati on to
the reasonable satisfaction of Lessee, the Town and the VLHA. Notice may be given by posting
on the front door of the applicable Unit or by other lawful means. If the violation is not cured
within such time, the violation shall be considered a violation of this Deed Restriction by the Unit
occupant.
b. If the Town or the VLHA discovers a violation of this Deed Restriction by Lessee,
the Town shall send a notice of the violation to Lessee, detailing the nature of the violation and
allowing Lessee 30 days from the date the notice is given to cure said violation to the reasonable
satisfaction of the Town and the VLHA. If a forcible entry and detainer is necessary to resolve
the violation, the forcible entry and detainer shall be commenced within such 30-day period and
diligently prosecuted to completion. If the violation is not cured within such time, the violation
shall be considered a violation of this Deed Restriction by Lessee.
6. Remedies.
a. The Town, the VLHA and Lessee shall have any and all remedies provided by law
and in equity for a violation of this Deed Restriction, including without limitation: (i) damages,
including but not limited to damages resulting from the leasing of a Unit in violation of this Deed
Restriction; (ii) specific performance; and (iii) injunction, including but not limited to an injunction
requiring eviction of the occupant(s) and an injunction to prohibit the occupancy of a Unit in
violation of this Deed Restriction. All remedies shall be cumulative.
b. In addition to any other available remedies, if Lessee is found to be in violation this
Deed Restriction (after expiration of any cure period), Lessee shall be subject to a penalty of $100
May 19, 2020 - Page 38 of 123
16
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
per violation as determined by the Town in each instance. Each occurrence i s hereby deemed to
be a separate violation of this Deed Restriction, and the penalty may be imposed for each and every
day during any portion of which a violation is found to have been committed, continued or
permitted by Lessee. This penalty shall not apply if it is discovered that an occupant provided
false information to Lessee, Lessee reasonably relied on such false information, and the false
information caused the violation.
c. In addition to any other available remedies, if an occupant of a Unit is found to be
in violation of this Deed Restriction (after expiration of any cure period), the occupant shall be
subject to a penalty of $100 per violation. Each occurrence is hereby deemed to be a separate
violation of this Deed Restriction, and the penalty may be imposed for each and every day during
any portion of which a violation is found to have been committed or continued by an occupant.
d. The cost to the Town or the VLHA of any activity taken in response to any violation
of this Deed Restriction by the Lessee, including reasonable attorney fees, shall be paid promptly
by Lessee; provided that, if a court of competent jurisdiction finds that Lessee was not in violation
of this Deed Restriction, Lessee shall not be liable for such payment.
7. Notices. Any notice under this Lease shall be in writing and may be given by United States
Mail, postage prepaid, addressed as set forth herein; or hand-delivery. Notice shall be effective
three days after mailing or immediately upon hand-delivery. The addresses of the Parties shall,
unless changed in writing, be as follows:
The Town: Town Manager, Town of Vail
75 South Frontage Road
Vail, CO 81657
VLHA: Vail Local Housing Authority
75 South Frontage Road
Vail, CO 81657
Lessee: Middle Creek Village, LLC
140 East 19th Avenue, Suite 700
Denver, CO 80203-1035
Attn: Mr. Michael P. Coughlin
With a copy to: J. William Callison
Faegre Drinker
1144 15th Street, Suite 3400
Denver, CO 80202
If to a Unit tenant: To the Unit address.
8. Miscellaneous.
a. Modification. This Deed Restriction may only be modified by subsequent written
agreement of the Parties.
May 19, 2020 - Page 39 of 123
17
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
b. Integration. This Lease and any attached exhibits constitute the entire agreement
between the Parties, superseding all prior oral or written communications.
c. Assignment. Neither this Deed Restriction nor any of the rights or obligations of
the Parties shall be assigned by either Party without the written consent of the other.
d. Severability. If any provision of this Deed Restriction is determined to be void by
a court of competent jurisdiction, such determination shall not affect any other provision hereof,
and all of the other provisions shall remain in full force and effect.
e. Governing Law and Venue. This Deed Restriction shall be governed by the laws
of the State of Colorado, and any legal action concerning the provisions hereof shall be brought in
Eagle County, Colorado.
f. Third Parties. There are no intended third-party beneficiaries to this Deed
Restriction.
g. No Joint Venture. Notwithstanding any provision hereof, the Town shall never be
in a joint venture with Lessee, and the Town shall never be liable or responsible for any debt or
obligation of Lessee.
h. No Indemnity. Nothing herein shall be construed to require the Town or the VLHA
to protect or indemnify Lessee against any losses attributable to the rental of a Unit, nor to require
the Town or the VLHA to locate a Qualified Resident for any Unit.
i. Governmental Immunity. The Town and its officers, attorneys and employees, are
relying on, and do not waive or intend to waive by any provision of this Deed Restriction, the
monetary limitations or any other rights, immunities, and protections provided by the Colorado
Governmental Immunity Act, C.R.S. § 24-10-101, et seq., as amended, or otherwise available to
the Town or its officers, attorneys or employees.
j. Contingency; No Debt. Pursuant to Article X, § 20 of the Colorado Constitution,
any financial obligations of the Town under this Lease are specifically contingent upon annual
appropriation of funds sufficient to perform such obligations. This Lease shall never constitute a
debt or obligation of the Town within any statutory or constitutional provision.
k. Force Majeure. No Party shall be in breach of this Agreement if such Party's failure
to perform any of the duties under this Agreement is due to Force Majeure, which shall be defined
as the inability to undertake or perform any of the duties under this Agreement due to acts of God,
floods, storms, fires, sabotage, terrorist attack, strikes, riots, war, labor disputes, forces of nature,
the authority and orders of government, or pandemics.
May 19, 2020 - Page 40 of 123
18
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
IN WITNESS WHEREOF, the Parties have executed this Deed Restriction on the Effective
Date.
TOWN OF VAIL, COLORADO
____________________________________
Dave Chapin, Mayor
ATTEST:
_________________________________
Tammy Nagel, Town Clerk
VAIL LOCAL HOUSING AUTHORITY
____________________________________
Chair
ATTEST:
______________________________
Secretary
MIDDLE CREEK VILLAGE, LLC, a
Colorado limited liability company
By: _________________________, its manager
STATE OF COLORADO )
) ss.
COUNTY OF _________ )
The foregoing instrument was acknowledged before me this ____ day of __________.
2020, by _________________ as Manager of Middle Creek Village, LLC.
My commission expires:
WITNESS my hand and official seal. _________________________________
Notary Public
May 19, 2020 - Page 41 of 123
19
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
EXHIBIT 1
LEGAL DESCRIPTION
Lot 1, MIDDLE CREEK SUBDIVISION, according to the Plat recorded ________________,
under Reception No. _________________, County of Eagle, State of Colorado.
May 19, 2020 - Page 42 of 123
20
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
EXHIBIT 2
MIDDLE CREEK VILLAGE EMPLOYEE HOUSING RENTAL GUIDELINES
1. Purpose. The purpose of these Rental Guidelines (the "Guidelines") is to set forth the
occupancy eligibility requirements for the employee housing rental units (the "Units") located in
Middle Creek Village pursuant to the Deed Restriction dated _________________.
2. Definitions. All capitalized terms herein shall have the meanings set forth in the Deed
Restriction.
3. Administration. In accordance with the Deed Restriction, Lessee shall administer these
Guidelines, including without limitation making determinations regarding the eligibility of
applicants to rent and occupy a Unit as a Qualified Resident as set forth herein. Prior to leasing or
renewing a lease for a Unit, the occupant must sign an individual acknowledgement of acceptance
of the terms of these Guidelines and the Deed Restriction.
4. Qualified Households and Residents. Except as otherwise provided herein or in the Deed
Restriction, to be eligible for consideration to rent a Unit, the occupants must first be certified as
a Qualified Household. Notwithstanding anything herein to the contrary, Lessee shall not be
obligated to rent any Unit to a tenant that does not meet Lessee's rental guidelines, which rental
guidelines shall be subject to review and approval by the Town and the VLHA, in their reasonable
discretion.
5. Application. To become a Qualified Resident, a person must first provide the following
information on an application to be provided by Lessee, and applications and all accompanying
documentation shall become the property of the Lessee and will not be returned to the applicant:
a. Verification (e.g., wage stubs, employer name, address, telephone number and
other appropriate documentation as requested by Lessee) of applicant's current employment with
a business in Eagle County that holds a valid and current business license, or pays sales taxes, or
is otherwise generally recognized as a legitimate business;
b. Evidence that the applicant has worked, or will work, an average of 30 hours per
week or more per year for one or more of such businesses and that such level of employment is
expected to be maintained for as long as the applicant lives in the Restricted Unit;
c. A valid form of identification, such as a driver's license, state-issued identification,
passport or military identification.
d. Any other documentation which the Lessee deems necessary to make a
determination of eligibility; and
e. A signed statement certifying and acknowledging: that all information submitted
in such application is true to applicant's best knowledge; that the applicant understands that he/she
may not sublet the Restricted Unit; that the applicant authorizes Lessee to verify any and all past
or present employment and residency information and all other information submitted by an
applicant; and that applicant understands that, as set forth in the Deed Restriction, the Lessee
May 19, 2020 - Page 43 of 123
21
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
reserves the right to review any applications and take any appropriate action regarding such
application.
6. Lease Term. The Units shall be leased to Qualified Households for initial lease terms that
are not less than 6 months in duration.
7. Interpretation. In evaluating a potential application to lease a Restricted Unit, the Lessee
shall be guided by the following:
a. An applicant's physical place of employment is controlling, not the mailing address
of such place.
b. Claims of employment by an applicant that are unable to be verified by Lessee will
not be utilized in determining an applicant's eligibility.
c. Seasonal work and part time work alone may not be adequate to meet the minimum
30 hours per week average annual requirement, but may augment other employment to meet the
minimum eligibility requirements.
8. Leasing of Units to Non-Qualified Households.
a. If there are no eligible Qualified Households available to rent a particular Unit,
Lessee may rent such Unit to occupants other than a Qualified Household. However, at Lessee
shall thereafter use commercially reasonable efforts to lease the Unit to a Qualified Household.
b. In no event may Lessee lease a Restricted Unit to a Qualified Resident who will not
occupy the Restricted Unit as their principal place of residence, unless first expressly approved in
writing by the Town after making findings that extraordinary circumstances and hardship exist to
justify such arrangement. Such tenancy shall be on a month-to-month basis only.
c. As set forth in the Deed Restriction, one Unit may be occupied by the Property
Manager without the Property Manager being certified as a Qualified Household or Qualified
Resident.
9. Misrepresentation. Any misrepresentation by an applicant in any submittal shall disqualify
such applicant from being eligible to lease a Unit, and shall be grounds for eviction if such
misrepresentation is revealed after such applicant's occupancy.
10. Inspection of Documents. The Town and the VLHA may inspect any documents submitted
with any application for Qualified Resident status at any time during normal business hours, upon
reasonable notice. In addition, upon inspection, if the Town or the VLHA reasonably determines
that additional documents are necessary to verify Qualified Resident or Qualified Household
status, the Town or the VLHA may request additional documents. Notwithstanding the foregoing,
Lessee shall not be required to retain any documents submitted by applicants who do not sign
leases with Lessee.
May 19, 2020 - Page 44 of 123
22
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
EXHIBIT C
ESTOPPEL CERTIFICATE
July __, 2020
PROPERTY NAME: Middle Creek Village
PROPERTY ADDRESS: 145 N. Frontage Road W, Vail, Colorado 81657 (the "Property")
GROUND LEASE DATE: July ___, 2020
GROUND LESSOR: Town of Vail, a Colorado home rule municipality (the "Town")
GROUND LESSEE: Middle Creek Village, LLC, a Colorado limited liability company
("Lessee")
The Town acknowledges that (a) CBRE Multifamily Capital, Inc., a Delaware
corporation (together with its successors and assigns, "Lender") has agreed, subject to the
satisfaction of certain terms and conditions, to make a loan (the "Loan") to Lessee, which Loan is
or will be secured by a lien on Lessee's leasehold interest in the Property (the "Leasehold
Estate"), and (b) Lender is requiring this Estoppel Certificate (the "Certificate") as a condition to
its making the Loan. Accordingly, the Town hereby certifies, confirms, covenants and agrees to
Lender and its transferees, successors and assigns, as follows:
1. A true, complete and correct copy of the ground lease between the Town, the Vail
Local Housing Authority (the "VLHA") and Lessee with respect to the Property is attached hereto
as Schedule I (the "Lease"). The Lease has not been modified, changed, altered, assigned,
supplemented or amended in any respect. The Lease is not in default and is valid and in full force
and effect on the date hereof. The Lease represents the entire agreement between the Town, the
VLHA and Lessee with respect to the Property.
2. Capitalized terms used but not otherwise defined herein shall have the meanings
given to them in the Lease.
3. The Town hereby consents to the Loan secured by a lien as to the Leasehold Estate,
and to the encumbrance of a security lien against the Leasehold Estate as security for repayment
of the Loan, it being expressly understood and agreed that Lender intends to assign the Loan to
Fannie Mae, and that Fannie Mae, its successors and assigns, may specifically rely on the
provisions of this Certificate.
4. All rent and other charges due under the Lease through the date hereof has been
fully paid by Lessee.
5. Lessee has no option or right of first refusal to purchase the Property or any part
thereof.
6. Lessee owns all improvements located on the Property.
May 19, 2020 - Page 45 of 123
23
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
7. The Town has not and shall not subject its interest in the Property or the Lease to
any mortgage, deed of trust or other lien. The Town has not assigned, mortgaged, conveyed,
transferred, encumbered, hypothecated or granted to any party any interest in the Lease other than
to Lessee, or granted to any party any right or option to purchase any interest of the Town in the
Lease.
8. The Town shall give notice of any alleged non-performance on the part of Lessee
to Lender simultaneously with the default notice delivered to Lessee; and the Town agrees that
Lender shall have a separate, consecutive reasonable cure period of no less than 30 days following
Lessee's cure period, during which Lender may, but need not, cure any non-performance by Lessee.
9. If the Town initiates any litigation or other dispute resolution proceeding affecting
the Lease, then the Town shall notify Lender, and Lender will have the right to participate in such
proceeding.
10. Lender may foreclose on the Leasehold Estate without the consent of the Town,
provided that Lender shall use commercially reasonable efforts to provide the Town at least 30
days' prior written notice of Lender's intent to commence a foreclosure proceeding. The Leasehold
Estate may be sold, assigned, or transferred without the Town's consent (a) pursuant to any
foreclosure proceedings or a transfer by deed (or other instrument of conveyance) in lieu of any
such foreclosure to Lender, its affiliate or a third person, or (b) thereafter, by such Lender or its
affiliate to a third party.
11. Lender, simply by virtue of its lien on the Leasehold Estate or by taking any action
to cure any default by Lessee, shall not be deemed to have assumed any of the obligations or
liabilities of Lessee under the Lease or to be a mortgagee in possession, unless Lender elects in
writing to become a mortgagee in possession. Notwithstanding the foregoing, if Lender takes title
to the Leasehold Estate, Lender shall be responsible for the performance of Lessee's obligations
under the Lease.
12. In the event of any casualty or condemnation affecting the Property, Lender shall
be entitled to any insurance proceeds or condemnation awards to which Lessee is entitled pursuant
to the applicable court order (which in the case of a condemnation, shall be subject only to any
condemnation award to which the Town is entitled for any fee interest in the Property considered
as unimproved).
13. While the Loan encumbers the Leasehold Estate, no surrender (voluntary or
otherwise), termination or cancellation of the Lease shall be effective unti l after such time as
Lender is afforded the opportunity to exercise Lessee's cure rights under the Lease.
14. Lender will rely on the covenants and agreements made by the Town herein in
connection with Lender's agreement to make the Loan, and the Town agrees that Lender may so
rely on such representations and agreements.
May 19, 2020 - Page 46 of 123
24
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
IN WITNESS WHEREOF, the undersigned has signed and delivered this Certificate on
the ______ day of ________________, 2020.
TOWN OF VAIL, COLORADO
__________________________________
Scott Robson, Town Manager
ATTEST:
______________________________
Tammy Nagel, Town Clerk
May 19, 2020 - Page 47 of 123
25
5/13/2020
Q:\USERS\VAIL\MIDDLE CREEK\AGR\GROUND LEASE-A051320.DOCX
SCHEDULE I TO GROUND LESSOR ESTOPPEL CERTIFICATE
(Copy of Lease)
May 19, 2020 - Page 48 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Public Health Crisis Updates
May 19, 2020 - Page 49 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Update on illegal trail building on Meadow Creek Conservation E asement
May 19, 2020 - Page 50 of 123
VA I L TO W N CO UNC I L A GE ND A ME MO
IT E M /T OP IC : Vail Health C O V I D 19 Update
PRE S E NT E R(S): Chris L indley, W ill Cook, Vail Health
BACK GRO UND:
The presentation from Vail Health can be viewed via the link below. T he information is being updated as new information becomes
available.
https://docs.google.com/presentation/d/1PK Br05cL P2ogSR SgI xf W X Bh5oD4W 81VqR E tqZ nL zbN8/edit#slide=id.g6eb22723d9_2_78
ATTAC HME N T S:
Description
Vail Health CO VID Update as of 5-15-2020
May 19, 2020 - Page 51 of 123
1
COVID-19 Update
May 15, 2020
May 19, 2020 - Page 52 of 123
Overview
•Our healthcare system and testing capacity are ready to handle a
significant increase in COVID-19 patients.
–We have prepared and staged facilities, providers and a robust
stockpile of PPE.
•COVID-19 is a serious threat, we all have a role to play in protecting the
most vulnerable.
•Without a vaccine, we will continue to see the spread of COVID-19 in
this community. We must learn to live with it.
•Second order consequences have become a serious concern. (Financial
stability and Behavioral Health of our residents)
–Economic destruction and isolation is leading to additional crises that
will have long-term consequences.
2
May 19, 2020 - Page 53 of 123
Key Performance Indicators Decision Matrix
3
COVID Patient
Volume
Concerning:
Additional
Measures Needed
Cautious:
Maintain Current
Restrictions
Comfortable:
Support Reducing
Restrictions
Current Status
Inpatient
Hospitalization
Over 12 patients
at one time
8-12 patient at
one time
Under 8 patients
at one time Comfortable
Outpatient:
Colorado Mtn
Medical & Urgent
Care
Over 100 patients
per day
50-100 patients
per day
Under 50 patients
per day Comfortable
Sick Hospital
Clinicians
Over 10 clinicians
out at one time
6-10 clinicians out
at one time
Under 6 clinicians
out at one time Comfortable
May 19, 2020 - Page 54 of 123
Diagnostic Testing
•Genetic test using RT-PCR (Quest Labs)
–Identifies the virus, no cross reactivity
–If present at the FDA’s detection level, 95% of the time the test will be
positive. This is a very accurate test.
•We have substantial testing capacity
–Tested more than any other town/city in U.S. per capita (~7% of
population)
–Receiving test results within 24-48 hours
–Point of care tests (45 mins) available in the hospital
–Testing Valley-wide - all communities, all abilities to pay
•The percent returning positive continues to stay below 10% (Over 30 days
and counting)
4
May 19, 2020 - Page 55 of 123
Diagnostic Testing - Vail Valley Specific
5
May 19, 2020 - Page 56 of 123
Diagnostic % Positive Tracking - VH/CMM Data
6
May 19, 2020 - Page 57 of 123
Antibody Testing
•Identifies the antibodies for COVID-19 (Quest Labs)
–Testing at 15 days or more from onset of symptoms (takes time to
develop antibodies)
–If antibodies are present then 90-100% of the test will be positive
•It is true positive 99% of the time
•Does NOT tell us if patient currently has COVID-19, if patient is infectious, or
if patient has long-term immunity
–Scientists are still studying the the long-term immunity to SARS-COV-2
•We have substantial testing capacity
–Testing offered at all Colorado Mountain Medical (CMM) offices, and
walk up testing offered at Avon CMM office
7
May 19, 2020 - Page 58 of 123
Summary Testing Data
8
Testing Data Across Vail Health and Colorado Mountain Medical
Total Diagnostic (Genetic) Tests Performed 3,207
Pending 54
Negative 2,584
Invalid/Test Not Performed 21
Positive 2019-nCoV 548
% of population tested (est. 45K Eagle River Valley)7.13%
Total Antibody (Serology) Tests Performed 3850
Pending 1
Negative 3511
Positive SARS-COV-2 Antibody 428
% of tests Positive 10.87%
% of population tested (est. 45K Eagle River Valley)8.56%
May 19, 2020 - Page 59 of 123
Testing Data Insights
•In this Valley testing is not and has never been a barrier, rather it is
one of our strengths.
•Rate of COVID-19 transmissions (spread) has been decreasing
since the end of March.
•We estimate that ~ 11% of our population has contracted
COVID-19 which means ~ 89% of our population is still
susceptible.
9
May 19, 2020 - Page 60 of 123
COVID-19/ Suspected Inpatient Volumes Decreasing
10
May 19, 2020 - Page 61 of 123
COVID-19 Outpatient Visits Decreasing
11
May 19, 2020 - Page 62 of 123
COVID-19 is a Serious Disease
●Number of COVID inpatients since March: ~35
○5-10 times as many inpatient COVID’s over a few
months vs. Influenza over an entire season
●Length of stay for COVID is at least twice as long
○Average COVID length of stay: 4 days
○Average flu length of stay: 1-2 days
●>15 ICU COVID patients since March; vs. No ICU flu
patients in several years
12
May 19, 2020 - Page 63 of 123
What we know: Early March vs. Today
13
Early March Today
●Did not know Ro (Rate of transmissibility)
●Did not know Case Fatality Rate
●Did not have comprehensive testing
capability
●Staff had not seen it
●Our system capacity had not been tested
●Community exposure was not known
●Co-circulating Influenza
●100K visitors & seasonal workers
●Case Fatality Rate much lower than thought
●Tremendous testing capacity
●Staff trained and experienced
●Ability to surge/add 30 additional beds
●Can surge an addl. 20 negative pressure
rooms
●PPE Stockpile
○8 weeks of surge PPE on hand
●Trained and practiced public on personal
hygiene and physical separation
●The extent of the Economic and Behavioral
Health impact on the Valley
May 19, 2020 - Page 64 of 123
Our Underlying Health is Better
14
Eagle County has one of
the lowest levels of obesity
in America.
May 19, 2020 - Page 65 of 123
Projections - Estimated Impacts on Eagle County
15
Est. prevalence of Antibodies in the community 10.87%
COVID-19 Deaths in the County 8
Est. population of the County 55,000
Est. number who have had COVID-19 5,976.14
Est. COVID-19 CFR 0.13%
CFR Per 1,000 individuals infected with COVID-19 1.34
Est. total COVID-19 deaths over 18-24 month period if 70% of our residents
contract COVID-19 51.54
Est. number of additional deaths we could see in Eagle County 43.54
May 19, 2020 - Page 66 of 123
COVID-19 Vaccine Development
•Many companies and countries around the world are working on a
vaccine.
•BEST estimates, a validated, tested, and deployable vaccine
still 18-24 months out.
•It is not certain that a vaccine will ever be developed.
–There are many diseases for which a vaccine has never
been successful developed
•HIV
•Common Cold (also a Coronavirus)
•Malaria
•Dengue16
May 19, 2020 - Page 67 of 123
You can’t shelter in place if you don’t have shelter
17
●The majority of our Valley’s population cannot afford to stay
locked down for the next 18-24 months.
●COVID-19 is endemic, it is not going away.
●60-70% of the population will likely contract COVID-19 over
the next 18-24 months before population immunity and or a
vaccine is readily available.
●We must learn to live with COVID-19 as we have other
infectious diseases of the past.
May 19, 2020 - Page 68 of 123
Balancing Economic with Health Impacts
18
●Spread the cases out over time, at a manageable level.
○Do not want a few cases this summer then a large surge in the winter. (1918
influenza pandemic).
●Now is the time to stress test our healthcare system. Otherwise we can not say if
we are prepared for a winter surge in visitors.
●We support all visitors and 2nd homeowners visiting the Eagle River
Valley
○Given the restrictions in air travel, economic limitations and fear of the
population we know we will see a fraction of the visitors we would
normally expect.
●Vail Health is prepared and expecting an increase in cases.
May 19, 2020 - Page 69 of 123
Eagle River Valley Community Survey - Economy
•82% ‘strongly agree’ or ‘agree’ that they are concerned the pandemic will have long lasting
negative consequences for Eagle County’s economy
•66% ‘strongly agree’ or ‘agree’ that they are anxious about the financial implications of
missing work
–1 week increase of 12%
•48% ‘strongly agree’ or ‘agree’ that they are anxious about lifting restrictions
–1 week decrease of 11%
19
May 19, 2020 - Page 70 of 123
Eagle Valley Community Survey - Behavioral Health
20
In one week: Decrease in people feeling hopeful & increase in people feeling anxious/frustrated due to COVID-19
More people are concerned about economic impact/loss of income than are concerned about the spread of virus
May 19, 2020 - Page 71 of 123
Behavioral Health Emergency
•More people are becoming poor than are getting
sick from COVID-19 in this Valley
–Week after week increase for BH services
–Providers reporting increased substance
use/abuse concerns
–Nonprofits are seeing increased BH concerns
across all ages, including young elementary school
students
21
May 19, 2020 - Page 72 of 123
Behavioral Health Visits Increasing
22
May 19, 2020 - Page 73 of 123
COVID-19 Is Here to Stay
23
●Until there is a vaccine readily available and or we achieve population
immunity we will continue to see cases and deaths from COVID-19 in this
Valley
●Moving forward- Personal Responsibility
○Frequent hand washing
○Stay home when sick
○Get tested rapidly when sick, follow Public Health guidance
○Invest in your personal health/wellness
●We must balance the Health Risks with the Economic and Behavioral
Health Risks.
May 19, 2020 - Page 74 of 123
Personal Preparedness
We cannot neglect our overall physical and mental
health while we are battling COVID – that means getting
in for annual wellness checkups, prevention screenings like
mammograms and colonoscopies, cardiology visits, etc.
Don’t let COVID be the reason something more serious
goes undiscovered, like changes in blood work, heart
issues, cancer detection or behavioral health needs.
24
May 19, 2020 - Page 75 of 123
Q&A
25
May 19, 2020 - Page 76 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Vail E conomic Recovery E fforts in Response to the Public Health Crisis
P RE S E NT E R(S ): Mia Vlaar, E conomic Development Director
B AC K G RO UND: Town Council has identified economic recovery as a top priority in response to
the C O V I D 19 pandemic. T he newly formed Vail Economic Recovery Team, a task force of the
Vail Economic Advisory Council, includes representatives from retail, restaurants, lodging, health,
and nonprofit organizations as well Vail Valley Partnership and Vail Chamber and B usiness
A ssociation, has met twice and formulated recommendations to support the Vail business
community. The team is building on the work of E agle County’s economic recovery efforts and the
work of the Vail Valley F oundation’s industry task forces. The team has developed tactics to
support local businesses including lodging, restaurants and retail to move toward a swift and
safe reopening of our economy. T he intent is to provide relief and support to our business
community while respecting and operating within the public health orders from Eagle County and
the state of Colorado. S pecific recommendations for council’s consideration are outlined in this
memo. T he tactics recommended below are intended in the context of the Town manager’s
emergency order and will be in effect for a temporary period of time. They are not intended to
permanently change the way we operate in Vail but rather improve prospects for businesses and
positively impact sales tax revenue during the public health crisis in a safe, productive and
temporary way.
AT TAC H ME N TS:
Description
Economic Recovery Staff Memo
Letter to the Town Council from Johannes Faessler
May 19, 2020 - Page 77 of 123
To: Mayor and Town Council
From: Economic Development Department
Date: May 19, 2020
Subject: Vail Economic Recovery Efforts in response to the Public Health Crisis
I. PURPOSE
The purpose of this memo is to summarize the efforts recommended to support Vail’s
economic recovery in response to the Public Health Crisis.
II. BACKGROUND
Town Council has identified economic recovery as a top priority in response to the
COVID 19 pandemic. The newly formed Vail Economic Recovery Team, a task force of
the Vail Economic Advisory Council, includes representatives from retail, restaurants,
lodging, health, and nonprofit organizations as well Vail Valley Partnership and Vail
Chamber and Business Association, has met twice and formulated recommendations to
support the Vail business community. The team is building on the work of Eagle
County’s economic recovery efforts and the work of the Vail Valley
Foundation’s industry task forces. The team has developed tactics to support local
businesses including lodging, restaurants and retail to move toward a swift and
safe reopening of our economy. The intent is to provide relief and support to our
business community while respecting and operating within the public health orders from
Eagle County and the state of Colorado. Specific recommendations for council’s
consideration are outlined in this memo.
The tactics recommended below are intended in the context of the Town manager’s
emergency order and will be in effect for a temporary period of time. They are not
intended to permanently change the way we operate in Vail but rather improve
prospects for businesses and positively impact sales tax revenue during the
public health crisis in a safe, productive and temporary way.
III. ECONOMIC RECOVERY LEVERS
RESTAURANTS TEMPORARY EXPANSION OF PREMISE
Restaurants can apply for a modification of premise of their liquor licensed outdoor
seating area in order to allow for an expansion of their existing licensed
May 19, 2020 - Page 78 of 123
Town of Vail Page 2
area. This current option under state law will allow a restaurant owner additional space
outside to help with social distancing requirements. The new footprint must be adjacent
to their premise and may extend into the public right of way. The Town will enter into
revocable license agreements with licensed establishments if public right of way is
needed. This licensing does require approval from the State Liquor Enforcement
Division and the Town Clerk’s Office will help in expediting these applications as quickly
as possible.
RETAIL TEMPORARY EXPANSION OF PREMISE
Similar to restaurants, retail stores can apply for a modification of premise of their
footprint in order to allow for an expansion to create more outdoor space for retail sales.
The new option will grant a retailer additional space to help with social distancing
requirements. The new footprint must be adjacent to their premise and may extend into
the public right of way. The Town will enter into revocable license agreements with
retail owners if public right of way is needed. The Town will process these applications.
ALLOWING CONSUMPTION OF ALCOHOLIC BEVERAGES IN DESIGNATED
PUBLIC PLACES
The restaurants and bar community seeks ways to provide food and beverage to a
greater number of customers than can be accommodated within their interior and
exterior licensed premise due to the public health crisis and related social distancing
protocols. The community has requested the Town allow for the consumption of
alcoholic beverages in designated public places. This would require formal action by
the Town council, and, if passed would allow restaurants to do substantially more carry-
out business in the villages. This effort would help the restaurant community
accommodate more patrons than would be allowed in their establishments. An
emergency ordinance has been drafted for Town council consideration which addresses
allowing for consumption of alcoholic beverages in designated public places
throughout Vail Village and Lionshead during this emergency situation.
PPE, SOCIAL DISTANCING AND HAND WASHING STATIONS
Businesses are struggling to secure the required PPE, including masks and
hand sanitizer required by the public health order. The Town is looking into procuring
a bulk quantity of these items in order to pass along to businesses so they can meet
public health requirements. In addition, it is proposed these supplies would also
be provided to guests and residents, as needed, through their businesses. The Town is
also researching the costs of hand washing stations as it is proposed these stations
could be placed throughout the villages to provide guests and residents with an
exceptional and safe experience in Vail with easy access to wash hands frequently
while enjoying the outdoors.
May 19, 2020 - Page 79 of 123
Town of Vail Page 3
RENTAL RELIEF PROGRAM
The business community has requested the Town review offering a rental relief program
for commercial business owners. The program would be funded and facilitated by
the Town. While the Payroll Protection Program has provided short term relief,
businesses are struggling to ensure their continued viability throughout 20 20 and
beyond. Aspen has created a robust and effective rental relief program that provides
grants over a three month period with rental costs being equally shared by landlord,
tenant, and the Town. While the details of the program have not been finalized, key
components of the proposed model are outlined below:
Rent relief (grants) for small businesses that provide one -third the monthly rent for
up to three months, with a yet to be determined maximum grant per business.
Requirements of eligible business applicants for the Aspen program include:
• Business is currently closed or has had business seriously curtailed
and cannot operate remotely due to the public health order.
• Business employs 35 or fewer full time equivalent employees.
• Must have a physical location in the Town of Vail and a Vail business
license.
• Must have a rent payment for the time period of June 1, 2020-
September 1, 2020 due to a landlord to whom the business has no
ownership interest.
• Be current on all payments to the Town of Vail.
• Was open for business in Vail on March 1, 2020; and have been in
business for the 2019-20 winter season. Startup businesses in recent
months will be considered on a case-by-case-basis.
• Be open at least 32 weeks a year.
• Further businesses that are traditionally office in nature, such as
accounting, law firms, property management, real estate professionals,
etc. do not qualify.
• Documentation including proof of application for Paycheck Protection
Program, current lease, Colorado Secretary of State confirmation of
certificate of good standing, most recent federal business tax return,
and written confirmation from landlord confirming an aggregate rent
reduction for a minimum of three months equivalent to a minimum of
one-third of the monthly rent, and waiving any future claims of a lease
violation.
Staff is researching the Aspen program and will come back to council with
specific recommendation once the requirements, process and budget are determined.
SPECIAL EVENTS
Economic Development staff continues to work directly with event producers
to reimagine their event plans, striving to create a win-win scenario and with a priority
that the Town’s mission for special events stay somewhat preserved. Since this has
May 19, 2020 - Page 80 of 123
Town of Vail Page 4
been a moving target based on the public health orders, once plans are finalized (or at a
place where it can be reviewed) updates will be presented to Town council
or Commission on Special Events for a final funding decision. The following two events
are planned for late June and early July; event promoters are working diligently with
the Town on modifying their programming to remain in compliance with public health
orders. Messaging and communication about personal responsibility and public health
orders will become a requirement and key component of and integrated into all events.
America Days
Vail on the 4th of July holds a special place in the hearts of residents and guests
alike. Our intent is to continue with the tradition of fireworks and parade-
style animation in 2020.
Parade: Due to the current public health concerns around COVID-19, the parade
has been reimagined by Highline Sports and Entertainment, which has proposed the
following modifications to the event (these plans have already been vetted through
the Event Review Committee). Instead of a parade of floats moving through guests
and residents lining the streets, Highline proposes stationary floats that guests and
residents can tour during a set daytime period on July 4th. The floats will be
designed as art installations rather than moving displays and will be placed
around Town between Golden Peak and Lionshead. Guests will be invited to move
throughout Town at their own pace and convenience on the 4th to check out all of the
“floats” while practicing safe social distancing. This will allow our
community groups who have traditionally built floats to still be engaged in the 4th of
July celebration and will allow guests and residents to experience the “parade” in
their own family groups.
Fireworks: The plan is to move forward with fireworks barring any fire
restrictions. An alternate location for launch as well as shell size and show design
are being evaluated to allow people to see the show from more areas
around Town. This would allow smaller groups to gather in more areas spread
across Town as opposed to centralizing the gathering around Golden Peak. Town
would work with lodging to provide and communicate numerous locations for viewing
the show. This plan hopes to achieve compliance with social distancing
requirements and create a safe venue for a July 4th celebration.
Farmers Market
The Vail Farmers Market is being reimagined pending the announcement by Eagle
County of the next phase of the Transition Trail Map. Staff is working with the event
producer to explore recommendations from the economic recovery team
including having a market that focuses on the sale of produce, and spreading the
market out throughout Vail Village and Lionshead, and working with local businesses
to enhance the market by integrating them with the market. Vendors will be
placed strategically to meet social distancing requirements, handwashing stations
and sanitation areas will be added, and fewer vendors overall will be on site.
May 19, 2020 - Page 81 of 123
Town of Vail Page 5
Ford Park and Social Distanced Events
Several key event producers have expressed an interest in creating a temporary drive -
in venue at the east end of the Ford Park parking lot. Staff is working with the Vail
Recreation District and other stakeholders to determine the feasibility of creating and
using this location as an event venue this summer.
May 19, 2020 - Page 82 of 123
May 13, 2020
Vail Town Council
Ref.: Requirement for a successful opening of businesses in Vail for Summer 2020
Dear Vail Town Council:
Following my letter from May 10th and numerous meetings with business leaders from the hotel, restaurant, and
retail sector it appears that a concrete open plan is being proposed for approval by the state. From the perspective
of Sonnenalp – and I believe other hotels, short term rental p roperties, restaurant and retailer would agree – the
following are critical elements for a successful opening:
1. Move to “blue” no later than May 25th
a. 50% capacity for hotels
b. 50% capacity for restaurants plus unlimited outdoor seating subject to distancing c riteria
c. Groups of up to 50 person and multiple groups of 50 subject to distancing of at least 20 feet
between groups. Events that can fall within this 50-person rule.
d. Open hotel spa facilities and allow currently permitted treatments by DORA(i.e. hair, mani-cure,
etc.)
e. Open hotel swimming pools subject to occupancy - limitations.
f. IMPORTANT! Welcome guest from outside our county and state!
g. IMPORTANT! Announce plan to move to ‘black’ on June 22nd.
h. Allow hotels to launch a thoughtful campaign to message the opening of Vail including an
emphasis on our focus as a community and individual businesses on keeping everybody safe.
i. Allow accepting on-line bookings
2. Move to “black” no later than June 22nd.
a. 100% capacity for hotels
b. 100% capacity for restaurant plus unlimited outdoor seating subject to distancing criteria
c. Groups of up to 250 person and multiple groups of 250 subject to distancing of at least 20 feet
between groups. Events that can fall within this 250-person rule.
d. Spa – additional services offered – subject to DORA rules
e. Open on-mountain activities
From the Sonnenalp Perspective the announcement of this opening plan would need to come within the next
week. We would open the hotel and our outlets in steps as we believe it will take to about the middle of June until
our opening message will result in booking anywhere close to the 50% limit. It will take some time to restore
staffing levels to train staff for all the new procedures. We would be ready for full operations by the end of June
and believe that a summer season of approximately 50% revenue volume compared to 2019 would be possible. I f
this could be achieved, I would consider this a ‘huge win’ and a promising outlook for the winter season.
Thank you for your support and consideration.
Johannes Faessler
May 19, 2020 - Page 83 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Reconsideration of the P ublic Works S hop Yard E xpansion Retaining Wall and
Utilities P roject Award
P RE S E NT E R(S ): Greg Hall, Public Works Director
AC T IO N RE Q UE S T E D O F C O UNC I L: A fter hearing presentation, reconfirm, reconsider and
provide direction on the project.
B AC K G RO UND: P ublic Works Director will present additional information about project options
for the Public Works Shop Yard expansion related to the retaining wall and utilities. Council
approved an agreement with Hyder Construction for $4.6 M on May 5. W ith some
additional information to be presented about the project, Town Council will be asked to reconfirm,
reconsider and provide direction on the project in light of this information.
AT TAC H ME N TS:
Description
Memo Public W orks Shop Project
May 19, 2020 - Page 84 of 123
To: Vail Town Council
From: Public Works Department
Date: May 19, 2020
Subject: Public Works Shop Yard Expansion Retaining Wall and Utilities Project Award
Reconsideration
I. PURPOSE
The purpose of this item is to:
• Provide the Town Council the opportunity to reconsider the Public Works Shop
Project Award and provide additional information on Project Options
• Receive Town Council direction regarding the project award
II. BACKGROUND
At the April 4, 2020, the town staff provided an update on the project and received
direction from the Town Council to solicit bids through Hyder Construction for the Public
Works Shop Yard Expansion Retaining Wall and Utility project. The town received the
final project proposal from Hyder Construction after sub-contractor bid solicitation based
on 100 % construction documents which included final Design Review Board approved
plans. The contractor proposal was within the project budget provided to Town Council
on April 4. The project will not only construct the wall but will place an additional 15,000
CY of material at the Bald Mountain berm.
On May 5, 2020 the Vail Town Council voted 6-0 to authorize the Town Manager to
enter into an agreement, in a form approved by the Town Attorney, with Hyder
Construction to construct the Public Works Shop Yard Expansion Retaining Wall and
Utility Project in the amount of, and not to exceed, $4,629,652.
The goal of the first phase of the Public Works Shop Master Plan project was to create
a more efficient Streets Building which is over-crowded as well as crowding out other
functions of the shop complex. The wall is required on the west end of the project to
provide access into the new streets building once complete. Due to a portion of the wall
being required for the first phase, completing the whole wall was a more cost-effective
solution overall, which not only benefited the streets building but opened up room for
town of vail operations into the future. Specifically, space was allocated for special
event staging over the long term as the Civic project (charter bus lot) would be lost as a
staging site once it was developed.
May 19, 2020 - Page 85 of 123
Town of Vail Page 2
The project also cleared up room on the far east side of the wall project to
accommodate the equipment needs for the electric bus electrification project.
Due to the continuing updated financial implications regarding the COVID-19 pandemic
and the impacts to the Town of Vail finance s. Concern was expressed to revisit the
decision to move forward at this time with the project.
III. CAPITAL PROJECT BUDGET DISCUSSION
The adjustments to the Capital Projects after the first supplemental fund left an ending
fund balance of $20,401,941, $15,200,000 of projects were deferred to at least 2021.
The relationship between the capital projects bund and the general fund is through the
amount of sales tax allocated to each fund. The capital projects are funded by balancing
the cost of the projects against the available funds to finance the projects. When
revenues decrease, projects are prioritized and can be deferred to rebalance the
budget.
IV. PROJECT CONSTRUCTION OPTIONS
Retaining Wall and Utilities Project Awarded
The retaining wall is approximately 950’ long and up to 22 feet high. The space gained
from building the wall provides nearly an acre of additional yard space.
One item required as part of the PEC process was for a rock fall berm to protect the
entire site. The rockfall berm is above the retaining wall which requires it to be
constructed first as construction access is significantly hindered once the wall is
constructed
Utility upgrades are a major improvement required either as part of the first phase. The
utility upgrades include:
• A 1,250 feet water line extension and 3 additional fire hydrants looping along the
entire back of the shop building. This design has been reviewed by the Eagle
River Water & Sanitation District, Vail Fire and Vail Public Works and priced.
• Drainage improvements to protect the retaining wall from above and additional
improvements below the wall to collect and treat the water from the new surface
yard areas created by the wall construction are included. These improvements
have been designed, staff reviewed and priced.
• Public works shop electric service modifications. This is not related to the bus
charging electric service but the town shop only. The service will be modified as
the wall interferes with the current location. This has been priced.
The project has a one-year Design Review Board approval and a two-year Planning and
Environmental Commission approval.
May 19, 2020 - Page 86 of 123
Town of Vail Page 3
Bald Mountain Berm
The Town of Vail and the Colorado Department of Transportation have an agreement
regarding the Bald Mountain berm which is set to expire at the end of 2021. This
agreement has been extended one five-year term and this is the second extension of
time for completion of the project. The agreement allocates both parties to a quantity of
material which can be placed at the berm. The town of Vail has met its obligation per
the contract. CDOT has a remaining 28,000 CY to be placed. CDOT will not be able to
meet its obligation, however, has agreed to allow the town the ability to place an
additional 15,000 CY is in exchange for a future site providing the equivalent volume to
CDOT. An amendment to the IGA with CDOT is forthcoming. The town would have the
next two construction season to take advantage of the site and complete the berm for
the neighborhood. The Retaining Wall Project produces the 15,000 CY to meet the
obligation currently at a built-in savings to the project of $135,000.
Hyder Construction Project Costs to date
Expenditures to date are minimal regarding the retaining wall project and will be paid to
the contractor as previously agreed to.
Preconstruction Fee $ 10,000
Retaining Wall Shop Drawing Design Fee $ 5,800
Contractor Time Since award $ 5,000
The project team identified additional savings which may be pursued of $157,000 if the
project moves forward.
Options to implement
The staff and contractor analyzed three options moving forward, award the contract and
construct the full retaining wall and utility project, delay a portion of the project and
construct a smaller portion of the project, delay the whole project. The pros and cons of
each option are presented below.
Option 1
Proceeding with the current project award. This path provides the most sequential
steps, as it allows the most time and flexibility regarding the project.
PROS
• The project team and subcontractors are ready to go.
• Building Permit is applied for and nearing approval
• Public Works Shop yard has been prepared for the contractor to begin
• Town of Vail meets the Bald Mountain Berm obligation and realizes the cost
savings
• Town gains use of land now, if Streets Building is delayed in the future
• Site would be prepped to construct the Streets Building in the future
May 19, 2020 - Page 87 of 123
Town of Vail Page 4
• Biggest risk of unknown site conditions the wall construction and utility work is
performed in a season not affecting the occupancy of the streets building.
• Keeps the potential to take advantage of reduced construction costs due to a
recession on the largest portion of the project the Streets Building
• Provides over $ 4.6M of economic activity of which over $ 2.4M would directly
benefit local firms.
• Staff was comfortable with this project moving forward with the budgets
presented on 5/5.
• Town of Vail economic impacts due to funding shortages in the future can be
secured through other capital project deferrals, mainly the Streets Building
project at $12.7M
CONS
• Significant expenditure which in the future, funds may be needed
• Expenditure is not a direct community benefit but a behind the scenes benefit to
community services
• Less fiscal conservative option than others
• Operations/town staff could be impacted due to lack of available funding in the
future
Option 2
Delay the wall portion of the project for one year and construct the wall and drainage
improvements during the future Streets Building Phase. The waterline and electric utility
work and rockfall berm are items of work which could move forward this year and
provide a better schedule regarding setting the streets building and wall portion of the
project up for success. The Staff would come back to the council with the project award
for this work.
PROS
• Project still stays on schedule
• A reduced expenditure of funds used now around $1M
• Some portion of the work is executed
• Town still in a position to take advantage of any construction cost reduction due
to the recession on the combined project in late 2020 early 2021.
• There may be some cost savings on the project with a larger project if combined
with the Streets Building
• Some Economic activity to the local Economy.
CONS
• Risk of the not completing the second phase creates the following:
o No gain in land to the town shop for town uses as well as
for Special Event Staging to facilitate Civic area plan development
o Bald Mountain Berm agreement is not met and loose the opportunity of
savings
May 19, 2020 - Page 88 of 123
Town of Vail Page 5
• Adds additional costs to the overall project if the only the utility and berm and
then the wall and Streets Building are built sometime in the future. More impact
on Public Works operations during construction with a larger project in one
season
Option 3
The last option is to combine the two projects and hope to move forward in 2021 or
further into the future.
PROS
• Puts the town in the best overall cash reserve position going forward
• Save significant dollars now regarding an unknown future
• There may be some savings due to economic conditions in the future
• Could still allow the same sequence as Option 1 but is delayed one year or later
CONS
• Best opportunity to take advantage of economic downturn on a major
construction expenditure for the Town would be pricing late 2020 early 2021 f or a
spring construction project, waiting until a 2022 construction season maybe too
late
• For one year the delay significantly hampers the town’s operations if all activity
happens in one construction season which may not work logistically.
• Could jeopardize the town’s ability to finish the Bald Mountain Berm
• If constructed together, puts the project at more risk of not finishing on time and
not being able to occupy the building due to other construction restraints on the
project schedule. The project construction is not allowed to just extend into the
winter if the schedule is delayed. The last items to be constructed are the
waterline, drainage improvements and paving. These items are at a higher risk
of not being completed in the limited time due to the PEC restriction on work
outside of the building past November, this places risk on the ability to occupy
the building on time.
• No construction economic activity is generated now
V. ACTION REQUESTED
Staff requests Town Council input and direction on the following items.
• Reconsider the award of May 5th for the Public Works Shop Project and to Hyder
Construction
• Reconfirm, reconsider and provide direction on the project options as presented.
VI. STAFF RECOMMENDATION
Staff recommends Option #1.
May 19, 2020 - Page 89 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Ordinance No. 6, S eries of 2020, A n Emergency Ordinance A mending Chapter 2
of Title 4 of the Vail Town Code by the Addition of a New S ection 4-2-7, A llowing Consumption of
A lcoholic Beverages in Designated Public Places
P RE S E NT E R(S ): Matt Mire, Town Attorney
AT TAC H ME N TS:
Description
Ordinance No. 6, Series of 2020
May 19, 2020 - Page 90 of 123
Ordinance No. 6, Series of 2020
ORDINANCE NO. 6
SERIES 2020
AN EMERGENCY ORDINANCE AMENDING CHAPTER 2 OF TITLE 4 OF
THE VAIL TOWN CODE BY THE ADDITION OF A NEW SECTION 4-2-7,
ALLOWING CONSUMPTION OF ALCOHOLIC BEVERAGES IN
DESIGNATED PUBLIC PLACES
WHEREAS, on March 10, 2020, the Governor of the State of Colorado recognized
the COVID-19 pandemic and declared a state of emergency;
WHEREAS, on March 13, 2020, the Town Manager declared a disaster
emergency in and for the Town of Vail, Colorado, pursuant to the Colorado Disaster
Emergency Act, C.R.S. § 24-33.5-701, et seq. (the "Act"), and Section 13.5 of the Town's
Home Rule Charter, which declaration was thereafter continued by the Town Council;
WHEREAS, the emergency conditions caused by the COVID-19 pandemic, as
defined by C.R.S. § 24-33.5-702 and the Charter, persist and require additional and
sustained action by the Town;
WHEREAS, pursuant to C.R.S. § 44-3-901(1)(i)(VII), the Town Council may, by
ordinance, allow for consumption of alcoholic beverages in any public place other than a
public right-of-way; and
WHEREAS, allowing consumption of alcoholic beverages in designated public
places in the Town would provide relief to restaurants and other liquor-licensed
establishments impacted by the COVID-19 pandemic.
NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE
TOWN OF VAIL, COLORADO, THAT:
Section 1. Chapter 2 of Title 4 of the Vail Town Code is hereby amended by the
addition of the following new Section 4-2-7:
4-2-7: CONSUMPTION OF ALCOHOL IN PUBLIC PLACES:
The consumption of alcoholic beverages shall be permitted in those public
places in the Town designated in writing by the Town Manager from time to
time, other than public rights-of-way. The Town Manager shall cause
appropriate signage to be erected in such public places.
Section 2. If any part, section, subsection, sentence, clause or phrase of this
ordinance is for any reason held to be invalid, such decision shall not affect the validity of
the remaining portions of this ordinance; and the Town Council hereby declares it would
have passed this ordinance, and each part, section, subsection, sentence, clause or
phrase thereof, regardless of the fact that any one or more parts, sections, subsections,
sentences, clauses or phrases be declared invalid.
May 19, 2020 - Page 91 of 123
2
5/14/2020
\\FILESERVER2019\REDIRECTED$\TNAGEL\DESKTOP\ORDINANCE NO. 6, SERIES OF 2020.DOCX
Section 3. The amendment of any provision of the Vail Town Code in this
ordinance shall not affect any right which has accrued, any duty imposed, any violation
that occurred prior to the effective date hereof, any prosecution commenced, nor any
other action or proceeding as commenced under or by virtue of the provision amended.
The amendment of any provision hereby shall not revive any provision or ordinance
previously repealed or superseded unless expressly stated herein.
Section 4. All bylaws, orders, resolutions and ordinances, or parts thereof,
inconsistent herewith are repealed to the extent only of such inconsistency. This repealer
shall not be construed to revise any bylaw, order, resolution or ordinance, or part thereof,
theretofore repealed.
Section 5. Pursuant to § 4.11 of the Vail Town Charter, the Town Council
hereby finds and declares that this ordinance is necessary for the immediate preservation
of the public health, safety and welfare, to ameliorate the negative effects of the COVID-
19 pandemic on restaurants and other liquor-licensed establishments in the Town.
Section 6. This ordinance shall be effective immediately upon adoption.
INTRODUCED, READ, APPROVED, AND ORDERED PUBLISHED ONCE IN
FULL this 19th day of May, 2020.
_____________________________
Dave Chapin, Mayor
ATTEST:
____________________________
Tammy Nagel, Town Clerk
May 19, 2020 - Page 92 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Resolution No. 17, S eries 2020, A Resolution Concerning the Vail Reinvestment
A uthority and its Taxable Tax I ncrement Revenue B onds (Direct Build A merica B onds, S eries
2010B ; Authorizing and Directing A ctions by the Town Manager with Respect to the Preparation of
Requests to the Town Council for A ppropriation of Moneys to Fund any Deficiencies in the
Revenues P ledged to the P ayment of such Bonds; and A uthorizing the 2020 Cooperation
A greement.
P RE S E NT E R(S ): K athleen Halloran, F inance Director
AC T IO N RE Q UE S T E D O F C O UNC I L: A pprove or approve with amendments Resolution No.
17, S eries 2020
B AC K G RO UND: P lease see attached memorandum.
S TAF F RE C O M M E ND AT IO N: A pprove or approve with amendments Resolution No. 17,
S eries 2020.
AT TAC H ME N TS:
Description
Res 17
May 19, 2020 - Page 93 of 123
TO: Vail Reinvestment Authority
Town Council
FROM: Finance Department
DATE: May 19, 2020
SUBJECT: Vail Reinvestment Authority (VRA) Bond Refunding
I. SUMMARY
The purpose of this memo is to request approval of Resolution No. 2, Series 2020, a
resolution authorizing staff to move forward with a refunding of the Vail Reinvestment
Authority (VRA) Tax Increment Bonds Series 2010B.
Later in the evening Town Council meeting, staff will be requesting approval of the town
Resolution No. 17, Series 2020, a resolution authorizing the town to enter into a moral
obligation and cooperation agreement with the VRA relating to the bond refunding.
II. BACKGROUND
In November of 2010 the VRA issued $3,670,000 of tax-exempt tax increment revenue
bonds “Series 2010A” along with $8,270,000 of taxable tax increment revenue bonds
“Series 2010B”. The bond proceeds were used to finance the construction of the
Lionshead Transit Center, the Lionshead Welcome Center and Grand View, Lionshead
portal entries, as well as major renovations at the Vail Public Library. These bonds are
special limited obligations of the VRA, secured and funded by pledged incremental
property tax revenues in the district.
The Series 2010A bonds were paid off as of June 1, 2018.
The Series 2010B bonds have a current principal amount of $7,715,000, with an annual
interest rate ranging from 5.269% to 6.659%. The Series 2010B bonds are “Build
America Bonds”, which provided a federal subsidy known as the “BAB Credit” equal to
35% of corresponding interest as provided under the American Recovery and
Reinvestment Act of 2009. This “BAB Credit” has decreased annually since 2013 due
to federal budget reductions.
Due to a favorable municipal bond market, staff put out a Request for Quotes from three
underwriting firms in April 2019. Shortly thereafter, the Town Manager agreed to wait
May 19, 2020 - Page 94 of 123
- 2 -
until additional information was gathered regarding plans for a potential “new issue” of
bonds relating to Civic Area project(s) with the idea that a combined refinance and new
issue would result in bond issuance cost savings. In February 2020 staff returned to
Council to request going forward with a refinancing of the current bonds given that Civic
Area project(s) were now unlikely within the next year and a favorable bond market
environment. In March 2020 the municipal bond market was in turmoil and
oversaturated, however since then it has stabilized and continues to present an
opportunity for interest savings estimated at over $700,000.
A team has been selected and assembled to facilitate the refunding process consisting
of Jonathan Heroux, of Piper-Sandler (placement agent) and Dee Wisor of Butler Snow
LLP (bond counsel), Scott Robson, Town Manager, Matt Mire, Town Attorney and
Kathleen Halloran, Finance Director.
III. DISCUSSION
Below is an outline of proposed actions to facilitate the refinancing:
Town Council, sitting as the board of the Vail Reinvestment Authority, approve
VRA Resolution No. 2, Series 2020, a resolution authorizing staff to move
forward with a refunding of the Vail Reinvestment Authority (VRA) Tax Increment
Bonds Series 2010B. The resolution authorizes staff to work through an RFP
process for bank placement, select a preferred lender, and approve rates and
terms of a loan agreement with the lender. It also authorizes staff to execute a
“cooperation agreement” between the town and VRA relating to the town’s
morale obligation, as explained below.
Town Council to approve Town of Vail Resolution No. 17, a resolution authorizing
the town to enter into a moral obligation and cooperation agreement with the
VRA relating to the bond refunding. A “moral obligation” is not a legally-binding
commitment, but means that the town agrees to cover debt service payments
should the VRA be unable to do so from the pledged property tax revenues. A
benefit of the town agreeing to a moral obligation allows the VRA to use the
current debt service reserves ($827K) to pay down the principal amount of debt,
which will result in less interest expense over the life of the repayment.
Coinciding with the moral obligation would be the execution of a “cooperation
agreement” between the town and VRA, which provides terms of repayment to
the town should the town have to cover any debt service payments as a condition
of the “moral obligation” agreed to by Town Council.
IV. NEXT STEPS
Staff is recommending that Town Council approve both the VRA Resolution No. 2,
Series 2020, and approve Town of Vail Resolution No. 17, Series 2020, authorizing the
financing team to move forward with a refunding of the VRA Series 2010B bonds.
May 19, 2020 - Page 95 of 123
- 3 -
Next steps include the financing team working to distribute requests for proposals,
reviewing the bids, selecting the winning bidder and then drafting legal documents to
finalize the transaction. The documents will include a loan agreement between the VRA
and the selected financial institution, as well as the cooperation agreement between the
VRA and Town of Vail.
Staff will return to Council on June 16th with an update on the refinancing activities prior
to an estimated closing date of June 30th.
May 19, 2020 - Page 96 of 123
A-1
RESOLUTION NO. 17
SERIES 2020
A RESOLUTION CONCERNING THE VAIL
REINVESTMENT AUTHORITY AND ITS TAXABLE TAX
INCREMENT REVENUE BONDS (DIRECT PAY BUILD
AMERICA BONDS), SERIES 2010B; AUTHORIZING AND
DIRECTING ACTIONS BY THE TOWN MANAGER WITH
RESPECT TO THE PREPARATION OF REQUESTS TO
THE TOWN COUNCIL FOR APPROPRIATION OF
MONEYS TO FUND ANY DEFICIENCIES IN THE
REVENUES PLEDGED TO THE PAYMENT OF SUCH
BONDS; AND AUTHORIZING THE 2020 COOPERATION
AGREEMENT.
WHEREAS, the Town Council (the “Town Council”) of the Town of Vail,
Colorado (the “Town”), by resolution adopted November 4, 2003, created the Vail Reinvestment
Authority of (the “Authority”); and
WHEREAS, the Town Council has previously approved the LionsHead Public
Facilities Development Plan, as amended (the “Plan”) pursuant to the Colorado Urban Renewal
Law (the “URA Law”); and
WHEREAS, Authority has previously issued its Vail Reinvestment Authority,
Taxable Tax Increment Revenue Bonds (Direct Pay Build America Bonds), Series 2010B in the
aggregate original principal amount of $8,270,000 (the “2010B Bonds”); and; and
WHEREAS, the Town and the Authority have previously executed and delivered a
Cooperation Agreement (the “2003 Cooperation Agreement”); and
WHEREAS, the Authority intends to issue, pursuant to a certain Loan Agreement
(the “2020 Loan Agreement”), its Tax Increment Revenue Refunding Note, Series 2020, with a
lender hereafter determined by the Authority (the “Lender”) to obtain a loan in the principal
amount of not to exceed $7,250,000 (the “Loan”) in order to finance the costs of refunding the
2010B Bonds (the “Refunding Project”); and
WHEREAS, all capitalized terms used herein and not otherwise defined shall have
the meanings set forth in the 2020 Loan Agreement; and
WHEREAS, in order to assist the Authority in obtaining the most economical terms
from the Lender, the Town and Authority wish to enter into a 2020 Cooperation Agreement (the
“2020 Cooperation Agreement”) between the Town and the Authority, pursuant to which the Town
will agree, subject to conditions specified in the 2020 Cooperation Agreement, to loan funds to the
Authority in the event Pledged Revenues are insufficient to pay the debt service due in connection
with the Loan, as follows: The Loan Agreement contemplates that if, in any month, there are
insufficient moneys on deposit in the Revenue Fund to make the payments into the Loan Payment
Fund in the amounts required by the Loan Agreement, or if the Executive Director anticipates that
May 19, 2020 - Page 97 of 123
2
there will be a deficiency in moneys on deposit in the Revenue Fund to make any such deposit in
any given month, then the Executive Director shall immediately notify the Town Manager of any
such insufficiency, and the Town Manager shall notify the Town Council of any such insufficiency
in the Revenue Fund and request an appropriation or supplemental appropriation in an amount
sufficient to make up any such insufficiency; and
WHEREAS, the Town Council wishes to make a non-binding statement of its
present intent to appropriate funds in an amount sufficient to make deposits to the Loan Payment
Fund in an amount equal to any such deficiency in the Revenue Fund and to authorize and direct
the Town Manager to take certain actions for the purpose of causing requests for such
appropriations to be presented to the Town Council for consideration; and
WHEREAS, the form of the 2020 Cooperation Agreement is on file with the Town
Clerk.
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE
TOWN OF VAIL, COLORADO:
Section 1. Appropriations to the Loan Payment Fund. In each year the Note is
outstanding, and as provided in the Loan Agreement, if, in any month, there are insufficient
moneys on deposit in the Revenue Fund to make the transfers into the Loan Payment Fund in the
amounts required by the Loan Agreement, or if the Executive Director anticipates that there will
be a deficiency in moneys on deposit in the Revenue Fund to make any such transfers in any given
month, then the Executive Director is required to immediately notify the Town Manager of any
such insufficiency. Upon the receipt of any such notice from the Executive Director, the Town
Manager shall prepare and submit to the Town Council a request for an appropriation of an amount
equal to any such insufficiency, to be deposited in the Loan Payment Account. It is the present
intention and expectation of the Town Council to appropriate such funds as requested, within the
limits of available funds and revenues, but this declaration of intent shall not be binding upon the
Town Council or any future Town Council in any future fiscal year. The Town Council may
determine in its sole discretion, but shall never be required, to make the appropriations so
requested. All sums appropriated by the Town Council for such purpose shall be deposited by or
on behalf of the Authority into the Loan Payment Fund. Nothing provided in this Section 1 shall
create or constitute a debt, liability or multiple fiscal year financial obligation of the Town.
Section 2. Repayment of Amounts Appropriated. In the event that the Town
Council appropriates funds as contemplated by Section 1 hereof, any amounts actually advanced
shall be treated as a loan from the Town to the Authority under the 2020 Cooperation Agreement
and shall be repaid by the Authority from and to the extent of Pledged Revenues available for the
payment of subordinate obligations in accordance with the Loan Agreement.
Section 3. Limitation to Loan. Unless otherwise expressly provided by a
subsequent resolution of the Town Council, the provisions of this Resolution shall apply only to
the funding of the Loan Payment Account originally established in connection with the Loan and
shall not apply to any other additional obligations.
May 19, 2020 - Page 98 of 123
3
Section 4. Approval and Authorization of the 2020 Cooperation Agreement.
The form of the 2020 Cooperation Agreement is hereby approved. The Town shall enter into and
perform its obligations under the 2020 Cooperation Agreement, in substantially the form of such
document as is on file with the Town Clerk, provided that such document may be completed,
corrected or revised as deemed necessary by the parties thereto in order to carry out the purposes
of this Resolution, the execution thereof being deemed conclusive approval of any such changes
by the Town. The Mayor is hereby authorized and directed to execute the 2020 Cooperation
Agreement on behalf of the Town and the Town Clerk is hereby authorized to attest to the 2020
Cooperation Agreement.
Section 5. General Repealer. All prior resolutions, or parts thereof,
inconsistent herewith are hereby repealed to the extent of such inconsistency.
Section 6. Effectiveness. This Resolution shall take effect immediately upon
its passage.
PASSED, ADOPTED, AND APPROVED May 19, 2020.
TOWN OF VAIL, COLORADO
Dave Chapin, Mayor
ATTEST:
Tammy Nagel, Town Clerk
May 19, 2020 - Page 99 of 123
4
STATE OF COLORADO )
) SS.
TOWN OF VAIL )
I, Tammy Nagel, the Town Clerk of the Town of Vail, Colorado, do hereby certify
that:
1. The foregoing pages are a true and correct copy of a resolution (the
“Resolution”) passed and adopted by the Town Council (the “Council”) at a regular meeting held
on May 19, 2020.
2. The Resolution was duly moved and seconded and the Resolution was
adopted at the meeting of May 19, 2020, by an affirmative vote of a majority of the members of
the Council as follows:
Councilmember Voting
“Yes”
Voting “No” Absent Abstaining
Dave Chapin, Mayor
Kim Langmaid
Jenn Bruno
Travis Coggin
Kevin Foley
Jen Mason
Brian Stockmar
3. The members of the Council were present at such meetings and voted on
the passage of such Resolution as set forth above.
4. The Resolution was approved and authenticated by the signature of the
Mayor of the Town, sealed with the Town seal, attested by the Town Clerk and recorded in the
minutes of the Council.
5. There are no bylaws, rules or regulations of the Council which might
prohibit the adoption of said Resolution.
6. Notice of the meeting of May 19, 2020 was posted at the Vail Town Hall
and the Town’s website, not less than twenty-four (24) hours prior to the meeting in accordance
with law.
May 19, 2020 - Page 100 of 123
5
WITNESS my hand and the seal of the Town affixed May 19, 2020.
____________________________________
Town Clerk
(SEAL)
May 19, 2020 - Page 101 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Permission to Proceed through the Development Review P rocess for use of
Town of Vail owned property for the placement of air conditioning units and associated screening in
the vicinity of 292 East Meadow Drive.
P RE S E NT E R(S ): E rik Gates, P lanner
AC T IO N RE Q UE S T E D O F C O UNC I L: T he Town Council is asked to review a request to
submit a development review applications (Design Review Board) for use Town of Vail property for
the placement of air conditioning units and associated screening on Town owned property and
public rights of way.
S TAF F RE C O M M E ND AT IO N: T he Vail Town Council instructs Town Staff to sign the
development application on behalf of the property owner and permit the project to proceed through
the development review process for the proposed improvements.
AT TAC H ME N TS:
Description
Staff Memorandum
[Attachment A] Applicant Narrative
[Attachment B] Letter from the Mountain Haus H O A
[Attachment C] Project Plans
May 19, 2020 - Page 102 of 123
TO: Vail Town Council
FROM: Community Development Department
DATE: May 19, 2020
SUBJECT: Air Conditioning Units in the Vicinity of 292 East Meadow Drive (Mountain Haus),
Permission to Proceed
I. DESCRIPTION OF REQUEST
The owner of the Mountain House, located at 292 East Meadow Drive, represented
by K.H. Webb Architects, requests permission to proceed through the Design Review
process for air conditioning (A/C) units servicing the building that are located partially
on Town of Vail property with landscaping screening on Town of Vail Stream Tract.
The applicant requests permission to proceed through the Design Review Board
processes and, if approved, enter into a lease agreement with the Town of Vail for the
improvements.
It should be noted that the Vail Town Council is not being asked to approve the
improvements, their location or design, but rather to authorize the applicant to move
forward with a planning application that utilizes town-owned property for private uses.
II. BACKGROUND/PROPOSAL
The Mountain Haus Building was constructed in 1970. The property line for this
building was drawn very close to the outline of the building itself, with Town of Vail
Right-of-Way boarding to the North, Town of Vail Stream Tract bordering to the West
and South, and the Vail Mountain Lodge bordering to the East. The applicant is
requesting use of Town of Vail property in order to install and distribute A/C units
around the building.
The applicant attempted to receive a previous permission to proceed for A/C units on
April 7, 2020. The Town Council denied this application for a number of reasons
including concerns over noise generation, clean energy use for these improvements,
and the need for use of town-owned property. The applicant has returned with an
updated application that includes new proposed locations for some A/C units and a
letter from the Mountain Haus Condominium Homeowner’s Association (Attachment
May 19, 2020 - Page 103 of 123
Town of Vail Page 2
B) addressing issues brought up during the previous permission to proceed
application.
All A/C units would be placed adjacent to the building. In the current proposal, two
A/C units are proposed on the North side of the building adjacent to the pool
enclosure along East Meadow Drive. These two units are proposed to be screened by
fencing to match existing fencing around the pool enclosure. The A/C units proposed
for the South side of the building are proposed within Mountain House property,
however, screening will need to be placed on town Stream Tract. Screening here is
proposed to be vegetated screening. There will also be additional A/C units and
screening being proposed on the east side of the building, subject to an agreement
between the owners of Mountain Haus and Vail Mountain Lodge. All other
improvements occur entirely within private property.
The applicant has explored the possibility of adding these A/C units onto the roof of
Mountain Haus, however the older building does not have the weight capacity to hold
the units. Adding the units onto the roof would also add at least 8 additional feet to the
overall building height, which would not be supported by Town Staff.
Please see the applicant’s narrative (Attachment A), letter from the Mountain Haus
Condominium HOA (Attachment B), and proposed plans (Attachment C).
III. APPLICABLE PLANNING DOCUMENTS
While there are no criteria for the review of a permission to proceed request, staff
finds that the following provisions are relevant to this proposal.
VAIL 20/20 (in part)
Environmental Sustainability
Goal #2 Energy Management in Buildings and Transportation: Reduce the
town’s 2007 baseline green house gas emissions.
• Partner with Holy Cross and other utility companies to promote and
educate consumers about energy efficiency.
• Encourage adoption of green building strategies and practices.
VAIL VILLAGE MASTER PLAN (in part)
Objective 1.2: Encourage the upgrading and redevelopment of residential and
commercial facilities.
May 19, 2020 - Page 104 of 123
Town of Vail Page 3
Policy 1.2.2: Development and improvement projects shall be
coordinated to minimize the unintended negative consequences
associated with construction activity in a pedestrianized commercial
area. For instance, the noise abatement project completion guarantees,
temporary parking, traffic control, etc.
Objective 2.5: Encourage the continued upgrading, renovation and
maintenance of existing lodging and commercial facilities to better serve the
needs of our guests.
Goal #3: To recognize as a top priority the enhancement of the walking
experience throughout the village.
Policy 3.4.4: Encroachment of private improvements on the town-
owned Gore Creek stream tract shall be prohibited.
VAIL TOWN CODE (in part)
Title 5 – Public Health and Safety, Chapter 1: Public Nuisances
5-7-1: Noise Prohibited:
A. Prohibited Act: The making and creating of an excessive or an unusually
loud noise at any location within the town heard and measured in a
manner hereinafter set forth, shall be unlawful, except when made under
and in compliance with a permit issued pursuant to subsection E of this
section.
B. Definition: an "excessive or unusually loud noise" shall be defined as
follows:
1. Noise of any duration which exceeds the allowable noise limit for the
zone in which the noise source is located by fifteen (15) decibels.
2. A noise, one minute or more in duration out of any ten (10) minute
period, which exceeds the allowable noise limit for the zone in which
the noise source is located by ten (10) decibels.
3. A noise of five (5) minutes in duration and a total of five (5) minutes out
of any ten (10) minute period, which exceeds the allowable noise limit
for the zone in which the noise source is located by three (3) decibels.
D. Allowable Limits: The following shall be the allowable noise limits for the
time periods and zones specified:
May 19, 2020 - Page 105 of 123
Town of Vail Page 4
IV. ACTION REQUESTED
The Community Development Department requests that the Town Council evaluate the
proposal to utilize Town of Vail property and Stream Tract for the addition of air
conditioning units and screening servicing the Mountain Haus building. This utilization of
Town of Vail property would be subject to the terms of a license agreement and could
be discontinued and removed if required to do so.
V. ATTACHMENTS
A. Applicant’s narrative
B. Letter from the Mountain Haus Condominium Homeowner’s Association
C. Proposed plans
Zoning Designation
Of Property On
Which Source Of
Noise Is Located
Maximum Number Of
Decibels Permitted
From
7:00 A.M. To 11:00
P.M.
Maximum Number Of
Decibels Permitted
From
11:00 P.M. To 7:00
A.M.
All residential zones
excepting HDMF
55 decibels 50 decibels
Commercial plus
HDMF
65 decibels 60 decibels
Industrial service
zones
80 decibels 75 decibels
May 19, 2020 - Page 106 of 123
710 West Lionshead Circle, Suite A, Vail, Colorado 81657
contact@khwebb.com | 970.477.2990
5.13.20 Revised Re-submittal
Town Council of Town of Vail
75 S. Frontage Road
Vail, Colorado 81657
Re: Easement Request for Mt Haus Condominiums AC Project
Dear Town Council Members,
Thank you for your assistance in these matters and we appreciate your consideration of
this request to assist in adding Air Conditioning to the Mt Haus Condominium in Vail
Village!
Updating our previous submittal and request, we are looking for creative and functional
solutions to locate condensors for the proposed system around the building. It has been a
substantial challenge as the Mt Haus’s property line is drawn virtualy at the perimeter of
the building as constructed leaving almost no groundspace whatsoever. We began this
exercise by trying to locate the units on the roof of the building, but have found the roof
and structure to not comply with todays Building Codes. We do not have the weight
capacity to fit the units on the roof top and this would also make the building 8’ to 9’ taller,
which has be deemed undesirable.
As you can see from the attached updated plan, we have distributed the units around the
building as our Mechanical Engineer has required to make the system function and cannot
realistically keep all of the units and their screening entirely on the Mt Haus property. On
the South side of the Building along the Stream Tract, the Council has preliminarily granted
permission to plant screening vegetation on Town property in lieu of putting fencing
screens in these locations. We have further consolidated and reconsidered in the pool
area and now request to create one “mechanical well” adjacent to the Mt Haus pool on the
North side and matching its screen fence. The screening would not exceed the height of
the existing pool fence so it would be very minimal visual impact to an area already filled
with utility pedestals. The condensor units on the East side are in an existing easement
with Vail Mountain Lodge and not part of this request.
Also attached to this request is a letter from the Mt Haus Management team, further
addressing the above matters and questions noted by the Council previously. We hope
this package further clarifies this easement request and the understandings of the Council.
Again, we hope you will look favorably on this request so we may continue forward in an
expeditious manner to complete this project this summer.
May 19, 2020 - Page 107 of 123
710 West Lionshead Circle, Suite A, Vail, Colorado 81657
contact@khwebb.com | 970.477.2990
We look forward to your assistance!
Sincerely,
KHW
Kyle H. Webb, AIA
K.H. WEBB ARCHITECTS P.C.
Attachments: Mt Haus Site Plan, Letter from Mt Haus
CC: Steve Hawkins, GM Mt Haus Condominiums
May 19, 2020 - Page 108 of 123
Mountain Haus
292 East Meadow Drive, Vail, Colorado 81657 * 970/476-2434 * 970/476-3007
www.mountainhaus.com * e mail: info@mountainhaus.com * For Reservations:
800/237-0922
April 21, 2020
Dear Vail Town Council,
The Mountain Haus Condominium Home Owners Association (Mtn Haus) would like to address
the various concerns and comments that were raised in the Council's April 7th meeting regarding
the Mtn Haus’ request for an air conditioning installation for the Association's building at 292
East Meadow Drive.
In no specific order, we understand the Town Council has the following questions/concerns.
Noise. The A/C units, as currently designed for this project, are the most efficient and quietest
units currently available on the worldwide market. They produce noise levels between zero and
65 dB, and as designed, are expected to rarely operate at levels north of 50% of capacity in our
mountain environment. This maximum rate of 65dB is technically defined as "45-65 dB is
considered 'average' noise. If you are walking down the street in a small town, this is about the
decibel level of the sound you would hear from a regular conversation, the sound of a bubbling
stream, and the meow of your cat might generate sound that falls in the 45-65 decibel range."
This is considered 'quiet' in a quiet neighborhood, and this noise level is only applicable when the
system is running full-on, and a vast majority of the time the system is expected to operate in the
10% FTE (full-time equivalent) range. The Slifer Square fountain itself is nosier then 65 dB, the
buses are yet again noisier, not to mention the late-night bar traffic. This system as designed is
expected to run at well below the current street noise in the area.
Environmental Impact. Holy Cross has reviewed, approved, and encouraged our design. The
Mtn Haus' Common space is already 100% wind supported. The Mtn Haus is currently one of the
most efficient buildings in Vail with 100% LED lighting, advanced boiler systems, variable speed
equipment, pumps and motors throughout, and has been an early adapter and leader with
environmental initiatives decades ago, long before such actions were fashionable. This
particular A/C system was designed with that leadership in mind. The system has two-stage
cooling, varying up and down on a curve based on demand. This increases efficiency and
eliminates fan noise at all but the highest rates. The system also has a night-mode which
reduces fan noise to a maximum of 30 dB. The Mtn Haus' first design version (2018) ground-
based VRF systems (v1) were 19% more efficient than the mini-splits (individual balcony
compressors) systems that were considered, and the current version (2020) of the ground-based
VRF (v2) is another 15% more efficient then v1. The Mtn Haus’ direction to our engineers has
required the system to be designed to the best-of-the-best most efficient and state-of-the-art
equipment.
This is a necessary/needed upgrade at significant cost/investment to the Mtn Haus. The
system the Mtn Haus is proposing will be the single most costly Capital Investment the
May 19, 2020 - Page 109 of 123
2
Association has made since original construction in 1970. The system directly addresses guest
needs including customer/guest complaints about internal heat buildup and issues due to guests
having to keep windows normally closed at night due to Bridge Street and East Meadow Drive
late-night bar traffic, disturbances, smoking, bus transportation noise, as well as the generally
warming climate throughout our region. The Mtn Haus finds it increasingly difficult to operate
hotel facilities with the aforementioned street noise, windows closed, and subsequent internal
heat buildup. The noted exterior noise and interior heat buildup remain the single biggest guest
complaint within our Condotel operations. The Mtn Haus must upgrade to A/C to service our
guest and business needs to compete with newer buildings throughout the community that were
purpose-build with A/C systems. This is not a luxury item to our owners as much as a necessity
to our community's rental guests.
No Easy Option for Equipment Placement. The Mountain Haus has been working with engineers
for several years to determine the most efficient and effective method of addressing the need for
A/C throughout the building. There are no easy options with the building's structure that would
allow other alternatives. Exterior equipment can certainly be moved a few feet to one side or
another, or around the corner, but the current plan reflects the most consistent placement and
distribution around the building for maximum efficiency and access to the various locations
throughout the structure.
Land Use. Revocable easements are normal and commonplace tools for such situations
throughout our community. The Mtn Haus already has easements on our North and West
entrances which have served TOV and Mtn Haus positively through many decades. Easements
are needed for only two of the seven (7) total exterior locations, including the NW pool area and
the South middle area. The East area placements require no TOV involvement but will include an
easement for approximately 12 inches of space between the Mtn Haus and the VML&S. That
easement has already been vetted by VML&S management and is currently being discussed
between the Associations. Additionally, the VML&S and the Mtn Haus already have another
easement that has served both properties positively for several decades with a history of inter-
building cooperation.
Trees and Landscaping. The project includes the addition of trees and landscaping in all
locations, although the project will need to relocate/replace vegetation in one or two locations.
Landscaping adjustments and additions are a net ++ for the TOV, the Mtn Haus, and the overall
outdoor environment in all regards.
Please feel free to contact either me or the project's Architect, Mr. Kyle Webb, if you have any
questions or concerns as needed.
Thank you for taking the time and efforts to consider our needs.
Regards,
Steve Hawkins
General Manager
May 19, 2020 - Page 110 of 123
May 19, 2020 - Page 111 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Stephens P ark P lay Area Renovation Update and Direction
P RE S E NT E R(S ): Gregg B arrie, Senior L andscape Architect
AC T IO N RE Q UE S T E D O F C O UNC I L: L isten to presentation and direct staff on next steps.
B AC K G RO UND: Construction of the Stephens P ark P lay Area Renovation project was put on
hold in February due to high construction costs and limited contractor availability. C O V I D-19
related changes to contractor schedules have resulted in an opportunity to construct the project at a
significantly reduced cost. S ee attached staff memorandum for detailed information.
AT TAC H ME N TS:
Description
Stephens Park memorandom
May 19, 2020 - Page 112 of 123
To: Vail Town Council
From: Department of Public Works
Date: May 19, 2020
Subject: Stephens Park Play Area Renovation
I. PURPOSE
Construction of the Stephens Park Play Area Renovation project was put on hold in
February due to high construction costs and limited contractor availability. COVID-19
related changes to contractor schedules have resulted in an opportunity to construct the
project at a significantly reduced cost. The purpose of this Memorandum is to request
direction from the Council as to whether to move the Stephens Park project forward
based on this new opportunity.
II. BACKGROUND
The Concept Plan for the Stephens Park Play Area Renovation was approved by the
Town Council in June of 2019. A full description of the project concept and components
are provided as Appendix A.
The project was released for public bid in January of 2020. R.A. Nelson, a local
contractor who has constructed numerous projects for the Town of Vail, was the sole
bidder. The bid, combined with other project components, significantly exceeded the
project’s $300,000 budget. Staff was working with R.A. Nelson to reduce the cost when
the first Stay-at-Home orders were issued in March.
Over the past two months, some of R.A. Nelson’s private projects have been postponed
or canceled, creating openings in their schedule. They have re-evaluated their original
Stephens Park bid, resulting in significant cost reductions. In addition, town staff has
found opportunities to reduce the scope of the project resulting in further savings.
III. PROJECT REVISIONS
The following is a list of reductions and alterations that would allow the town to take
advantage of reduced construction costs to renovate the Stephens Park play area during
2020. It would require increasing the project budget by re-appropriating funds from an
existing RETT project budget.
May 19, 2020 - Page 113 of 123
Town of Vail Page 2
Project Reductions
•General cost reductions due to open schedule and available subcontractors
•Elimination of concrete sidewalks (leave existing pea gravel walks)
•Elimination of roof on 2-5 structure
•Elimination of two planter areas and several site boulders
•Construct tot swing from existing wood beams instead of new steel
•Reuse more existing play equipment (original design had several add’l new pieces)
•TOV crews to perform some parts of the work (surfacing installation, steel fabrication
and placement of climbing feature)
Postponement
•Delay the installation of the artwork until 2021. The artist is supportive of this
approach due to ongoing commitments. The concrete footings for the art would be
installed now to simplify installation at the appropriate time. Funding is included in the
budget adjustment shown below.
•Delay the replacement of shingles on 5-12 structure
IV.BUDGET AND FUNDING
Item February Bid Revised Cost Savings
R.A. Nelson bid $ 469,700 $ 286,000 $ 183,700
Purchased Play Equipment $ 57,000 $ 35,000 $ 22,000
Custom Climbing Feature $ 64,000 $ 62,000 $ 2,000
Artistic element – “Horsetails” $ 30,000 $ 30,000 $ 0
Town of Vail performed work $ 0 $ 17,000 <$ 17,000>
Contingency (5%) $ 31,000 $ 21,000 $ 10,000
Project Total $ 651,700 $ 451,000 $ 200,700
Even with a savings of $200,000, the revised cost is still over-budget. To move forward,
the project budget of $300,000 will need to be increased by $161,000, although $30,000
would be spent in 2021 for fabrication and installation of the art elements.
Staff suggests re-allocating savings from the East Vail Interchange Landscape project to
provide adequate funding. Funds for the East Vail project were held to ensure that the
new project “over-wintered” well. The most pressing costs for that project will be
replacement/ addition of trees, ensuring erosion control is adequate as vegetation grows
in, reseeding as needed and irrigation adjustments. Those enhancements are underway,
and there will be adequate funding to ensure the project’s success.
East Vail Interchange Landscape
$ 449,000 2020 East Vail Landscape budget
- $ 161,000 Transfer to Stephens Park
$ 288,000 remaining East Vail Landscape budget to ensure completion
Recommended Stephens Park Funding
$ 290,000 Current remaining budget (approx. $10K spent on design/engineering)
+$ 161,000 East Vail Interchange Landscape
$ 451,000 Revised 2020 Budget
May 19, 2020 - Page 114 of 123
Town of Vail Page 3
V. PROJECT BENEFIT
The Town of Vail has always designed and installed unique and whimsical play areas for
residents and guests. Artistic elements have been included in play area renovations in
the form of individual play components, as site elements and even as entire play areas
such as at Pirateship, Red Sandstone and Sunbird Parks.
For the Stephens Park renovation, designers took the approach to reuse as much of the
existing play area as possible while still updating worn-out equipment, improving play
value and bringing the play area into compliance with current playground safety
guidelines. During the design process it was thought that reusing existing components
would reduce project costs.
While reusing components reduces cost, and waste, it did not produce the savings
anticipated. That said, the revised cost to renovate Stephens Park is comparable to
other recent Town of Vail playground projects. Three most recent play area projects
have ranged in cost from about $375,000 in 2012 to $490,000 in 2016.
Staff suggests that performing the work now would have several benefits:
1. Availability of contractors: benefit from the opportunity that contractors are available.
During the original bid process, R.A. Nelson was unable to find subcontractors for
some parts of the work, resulting in high bid numbers for many tasks.
2. Economic boost: R.A. Nelson is a local company that employs local labor. Much of
their work would be “self-performed” for this project, meaning it would put locals to
work who are otherwise furloughed. R.A. Nelson has successfully completed
numerous projects for the Town of Vail and has always performed high-caliber work
with the best interest of the town in mind. And, they submitted a bid for this work
when others did not.
3. Re-appropriated funding: the project can be completed with 2020 fund savings
4. Project completion: this is a necessary project that can now be completed at a more
reasonable cost. Scope reductions are to the site work while retaining the improved
play value envisioned in the design.
VI. SCHEDULE
If approved, work on this project could begin as soon as June 1, 2020. The bulk of the
project could be competed in 8 weeks. The custom climbing feature would be installed in
late fall or early next spring. The art would be installed in 2021.
VII. STAFF RECOMMENDATIONS
Staff suggests that this is a good opportunity to complete a necessary project at a
reduced cost while simultaneously providing stimulus to the local labor force. If the
Council is supportive of moving forward with the project, staff recommends the following:
1) Re-allocate funds as noted in Section IV to fund the project.
2) Authorize the Town Manager to enter into a contract with R.A. Nelson in an
amount not to exceed $ 286,000
May 19, 2020 - Page 115 of 123
Town of Vail Page 4
3) Authorize the Town Manager to enter into a contract with ID Sculpture in an
amount not to exceed $ 61,000.
VIII. ACTION REQUESTED BY COUNCIL
Staff requests that the Council:
1) Re-allocate funds as noted in Section IV to fund the project.
2) Authorize the Town Manager to enter into a contract with R.A. Nelson in an
amount not to exceed $ 286,000
3) Authorize the Town Manager to enter into a contract with ID Sculpture in an
amount not to exceed $ 61,000.
Attachments:
Appendix A Project Components and Concept
Appendix B Concept Site Plan
May 19, 2020 - Page 116 of 123
Town of Vail Page 5
Appendix A
Project Components and Concept
BACKGROUND
The play area in Stephens Park consists of two wooden play structures and a set of
swings. One structure and half the swing set are designed for ages 2-5 (Tot) and the
larger structure and other half of swing set are designed for ages 5-12 (School-age),
consistent with current playground safety guidelines.
The components were constructed by Town of Vail crews in the mid-1990’s after a fire
destroyed the original structures. They are typical of Vail’s 1970-90’s custom play areas
in that they are wooden, post and platform structures with steel/plastic climbers and
slides purchased from a catalog. The structures were retrofitted in 2004 to generally
meet current playground safety guidelines. However, the structures and play area are
deficient in several areas:
• The play area does not meet ADA standards
• There is limited play value to the structures and equipment
• At nearly 25 years old, the slides and climbers are reaching the end of their useful life
and should be replaced
Additionally, over the past 20 years, the town has worked to integrate art into its
playgrounds. This program has resulted in unique, whimsical play areas that have
become the signature of Vail’s parks. The Stephens Park plat area does not currently
include artistic elements.
PROJECT COMPONENTS
School-age structure
• Renovate the School-age structure to improve play value, access and circulation
• Improve structural integrity of the structure
• Reuse existing structure components to the extent possible (posts, roof, etc)
• Replace all most play components (slides, climbers, etc)
• Reuse some climbers and stand alone features
• Ensure ADA accessibility
• Add ground-level play components to the School-age area
Tot structure
• Ensure structural integrity of the existing structure
• Reuse existing slides, purchase one new climber
• Rebuild tot-swing using existing wood swing parts
• Evaluate potential for improved play function
• Ensure ADA accessibility
• Add ground-level play components to the Tot area
May 19, 2020 - Page 117 of 123
Town of Vail Page 6
Site Work
• Improve circulation routes to ensure ADA accessibility
• Enlarge play area “use zones”
• Reuse about ½ the surfacing, replace decomposed surfacing
• Minor landscaping/irrigation and some site furnishings.
STEPHENS PARK RENOVATION CONCEPT
Healthy riparian corridors perform many functions. They provide habitat, filter pollutants,
reduce erosion and slow storm runoff. And, they can be a lot of fun to explore. Crawling
though vegetation, climbing over fallen logs and finding evidence of the critters that
inhabit the area can be a fun way to spend a day.
With this in mind, the design incorporates elements found along a stream corridor to
create a jumbo-sized play environment complete with a large spruce stump climbing
feature, bug-shaped spring animals, a log balance beam and new slides, climbers and a
rope bridge to tie it all together.
The main art component is envisioned as a forest of up to twenty oversized “horsetails”
(also knows as Equisetum), a prehistoric plant found along waterways throughout
Colorado. While the real plants are typically less than 24” in height, the artistic version
for Stephens Park will be 12 to 16 feet tall, where park users can wander through the
plants as they enter the play area.
The existing wooden play structures for both the tot and school-aged areas will be
renovated and largely reused. Parts that are slated for removal will be repurposed to the
extent possible as stairs, decks and posts required to provide ADA access.
The size of the proposed play area will be approximately 1/3 larger than the current play
area. The increased space allows for the separation of the bucket swings and belt
swings, which currently do not meet playground safety “use-zone” requirements. The
space also provides for the addition of surface-level play components, which is a
requirement of the ADA standards. Overall, there is improved age-group separation
throughout the play area.
May 19, 2020 - Page 118 of 123
DATE
DRAWN BY
SHEET
TOV JOB NO.
FILE NAME
SCALE
Department of Public Works
1309 Elkhorn Drive
Vail, CO 81657
ph. 970-479-2158
www.vailgov.com
CONCEPTUAL PLAY AREA PLAN GB
BASE
4/16/19
RPI013
1"= 5'
1 of 1STEPHENS PARK PLAYGROUND RENOVATION PROJECTNorth5'0 5'10'15'20'
RENOVATE/REUSE BOTH
EXISTING PLAY STRUCTURES,
SCHOOL-AGED PLAY
AGES 5-12
TOT PLAY AREA
AGES 2-5
NEW ROTATING
PLAY EQUIPMENT
FOR ALL AGES
AND ABILITIES
NEW BELT OR
DISC SWINGS
CUSTOM SPRUCE
STUMP CLIMBING
FEATURE
NEW BUCKET
SWINGS
NEW SPRING
RIDERS
ARTISTIC "HORSETAIL"
PLAY ELEMENTS
PROJECT PRIORITIES
·IMPROVE PLAY VALUE AND UPDATE WORN OUT FEATURES
·ENSURE COMPLIANCE WITH PLAYGROUND SAFETY GUIDELINES
·MEET ADA STANDARDS - ALSO KNOWN AS "INCLUSIVE PLAY"
·ART-INSPIRED PLAY - PLAY FEATURES AND SITE ELEMENTS
ROPE BRIDGE
NEW SLIDES &
CLIMBERS
IMPROVE SITE ACCESS
TO ALL AREAS
TO GORE CREEK,
RESTROOM AND
PARKING LOT
TO
K
I
N
N
I
C
K
I
N
N
I
C
K
R
D
RENOVATE/REUSE BOTH
EXISTING PLAY STRUCTURES,
SCHOOL-AGED PLAY
AGES 5-12
TOT PLAY AREA
AGES 2-5
NEW ROTATING
PLAY EQUIPMENT
FOR ALL AGES
AND ABILITIES
NEW BELT OR
DISC SWINGS
CUSTOM SPRUCE
STUMP CLIMBING
FEATURE
NEW BUCKET
SWINGS
NEW SPRING
RIDERS
ARTISTIC "HORSETAIL"
PLAY ELEMENTS
PROJECT PRIORITIES
·IMPROVE PLAY VALUE AND UPDATE WORN OUT FEATURES
·ENSURE COMPLIANCE WITH PLAYGROUND SAFETY GUIDELINES
·MEET ADA STANDARDS - ALSO KNOWN AS "INCLUSIVE PLAY"
·ART-INSPIRED PLAY - PLAY FEATURES AND SITE ELEMENTS
ROPE BRIDGE
NEW SLIDES &
CLIMBERS
IMPROVE SITE ACCESS
TO ALL AREAS
TO GORE CREEK,
RESTROOM AND
PARKING LOT
TO
K
I
N
N
I
C
K
I
N
N
I
C
K
R
D
RENOVATE/REUSE BOTH
EXISTING PLAY STRUCTURES,
SCHOOL-AGED PLAY
AGES 5-12
TOT PLAY AREA
AGES 2-5
NEW ROTATING
PLAY EQUIPMENT
FOR ALL AGES
AND ABILITIES
NEW BELT OR
DISC SWINGS
CUSTOM SPRUCE
STUMP CLIMBING
FEATURE
NEW BUCKET
SWINGS
NEW SPRING
RIDERS
ARTISTIC "HORSETAIL"
PLAY ELEMENTS
PROJECT PRIORITIES
·IMPROVE PLAY VALUE AND UPDATE WORN OUT FEATURES
·ENSURE COMPLIANCE WITH PLAYGROUND SAFETY GUIDELINES
·MEET ADA STAMDARDS - ALSO KNOWN AS "INCLUSIVE PLAY"
·ART-INSPIRED PLAY - PLAY FEATURES AND SITE ELEMENTS
ROPE BRIDGE
NEW SLIDES &
CLIMBERS
IMPROVE SITE ACCESS
TO ALL AREAS
TO GORE CREEK,
RESTROOM AND
PARKING LOT
TO
K
I
N
N
I
C
K
I
N
N
I
C
K
R
D
RENOVATE/REUSE BOTH
EXISTING PLAY STRUCTURES,
SCHOOL-AGED PLAY
AGES 5-12
TOT PLAY AREA
AGES 2-5
NEW ROTATING
PLAY EQUIPMENT
FOR ALL AGES
AND ABILITIES
NEW BELT OR
DISC SWINGS
CUSTOM SPRUCE
STUMP CLIMBING
FEATURE
NEW BUCKET
SWINGS
NEW SPRING
RIDERS
ARTISTIC "HORSETAIL"
PLAY ELEMENTS
PROJECT PRIORITIES
·IMPROVE PLAY VALUE AND UPDATE WORN OUT FEATURES
·ENSURE COMPLIANCE WITH PLAYGROUND SAFETY GUIDELINES
·MEET ADA STANDARDS - ALSO KNOWN AS "INCLUSIVE PLAY"
·ART-INSPIRED PLAY - PLAY FEATURES AND SITE ELEMENTS
ROPE BRIDGE
NEW SLIDES &
CLIMBERS
IMPROVE SITE ACCESS
TO ALL AREAS
TO GORE CREEK,
RESTROOM AND
PARKING LOT
TO
K
I
N
N
I
C
K
I
N
N
I
C
K
R
D
RENOVATE/REUSE BOTH
EXISTING PLAY STRUCTURES,
SCHOOL-AGED PLAY
AGES 5-12
TOT PLAY AREA
AGES 2-5
NEW ROTATING
PLAY EQUIPMENT
FOR ALL AGES
AND ABILITIES
NEW BELT OR
DISC SWINGS
CUSTOM SPRUCE
STUMP CLIMBING
FEATURE
NEW BUCKET
SWINGS
NEW SPRING
RIDERS
ARTISTIC "HORSETAIL"
PLAY ELEMENTS
PROJECT PRIORITIES
·IMPROVE PLAY VALUE AND UPDATE WORN OUT FEATURES
·ENSURE COMPLIANCE WITH PLAYGROUND SAFETY GUIDELINES
·MEET ADA STANDARDS - ALSO KNOWN AS "INCLUSIVE PLAY"
·ART-INSPIRED PLAY - PLAY FEATURES AND SITE ELEMENTS
ROPE BRIDGE
NEW SLIDES &
CLIMBERS
IMPROVE SITE ACCESS
TO ALL AREAS
TO GORE CREEK,
RESTROOM AND
PARKING LOT
TO
K
I
N
N
I
C
K
I
N
N
I
C
K
R
D
May 19, 2020 - Page 119 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: Ordinance No. 5, S eries of 2020, Second Reading, A n Ordinance Reducing the
Numbers of Board Members Required to Serve on the Town of Vail A rts B oard
P RE S E NT E R(S ): Matt Mire, Town Attorney
AC T IO N RE Q UE S T E D O F C O UNC I L: A pprove, approve with amendments or deny
Ordinance No. 5, Series of 2020 upon second reading
B AC K G RO UND: The Vail Town Council wishes to reduce the number of board members
required to serve on the Town of Vail Arts Board from seven members to five members.
S TAF F RE C O M M E ND AT IO N: A pprove, approve with amendments or deny Ordinance No. 5,
S eries of 2020 upon second reading.
AT TAC H ME N TS:
Description
Ordinance No. 5, Series of 2020
May 19, 2020 - Page 120 of 123
Ordinance No. 5, Series of 2020
ORDINANCE NO. 5
SERIES 2020
AN ORDINANCE REDUCING THE NUMBER OF BOARD MEMBERS
REQUIRED TO SERVE ON THE TOWN OF VAIL ARTS BOARD
WHEREAS, the Council wishes to reduce the number of board members required
to serve on the Town of Vail Arts Board from seven members to five members.
NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE
TOWN OF VAIL, COLORADO, THAT:
Section 1. Sections 3-3-2 and 3-3-3 of the Vail Town Code are hereby amended
to read as follows:
3-3-2: APPOINTMENT:
The town council hereby appoints the Vail arts board composed of five (5) seven
(7) members who shall act in accordance with the charter, this chapter, the
direction of the town council, the ordinances of the town and shall be appointed
and serve as provided in this chapter.
3-3-3: MEMBERSHIP; TERMS:
The arts board shall consist of five (5) seven (7) members appointed by the town
council. In addition, the arts board may consist of honorary advisory members who
shall not have the power to vote on issues which come before the board. The
number and term of such advisory members shall be at the discretion of the town
council. All members of the arts board shall be individuals who have demonstrated
interest or expertise in architecture, art criticism, art education, art history, foreign
arts, graphic arts, interior design, landscape architecture, town planning, or other
art and design related fields, or who have demonstrated a strong interest in the
visual arts and civic improvement. All members shall either be residents of the
town, or own property within the town. The terms of the members of the arts board
shall be two (2) years on an overlapping basis and shall expire on March 31 of the
year of termination.
Section 2. If any part, section, subsection, sentence, clause or phrase of this
ordinance is for any reason held to be invalid, such decision shall not affect the validity of
the remaining portions of this ordinance; and the Town Council hereby declares it would
have passed this ordinance, and each part, section, subsection, sentence, clause or
phrase thereof, regardless of the fact that any one or more parts, sections, subsections,
sentences, clauses or phrases be declared invalid.
Section 3. The amendment of any provision of the Vail Town Code in this
ordinance shall not affect any right which has accrued, any duty imposed, any violation
that occurred prior to the effective date hereof, any prosecution commenced, nor any
other action or proceeding as commenced under or by virtue of the provision amended.
May 19, 2020 - Page 121 of 123
2
Ordinance no. __ 2020
The amendment of any provision hereby shall not revive any provision or ordinance
previously repealed or superseded unless expressly stated herein.
Section 4. All bylaws, orders, resolutions and ordinances, or parts thereof,
inconsistent herewith are repealed to the extent only of such inconsistency. This repealer
shall not be construed to revise any bylaw, order, resolution or ordinance, or part thereof,
theretofore repealed.
INTRODUCED, READ ON FIRST READING, APPROVED, AND ORDERED
PUBLISHED ONCE IN FULL ON FIRST READING this 5th day of May, 2020 and a public
hearing for second reading of this Ordinance is set for the 19th day of May, 2020, in the
Council Chambers of the Vail Municipal Building, Vail, Colorado.
_____________________________
Dave Chapin, Mayor
ATTEST:
____________________________
Tammy Nagel, Town Clerk
READ AND APPROVED ON SECOND READING AND ORDERED PUBLISHED
this 19th day of May, 2020.
_____________________________
Dave Chapin, Mayor
ATTEST:
____________________________
Tammy Nagel, Town Clerk
May 19, 2020 - Page 122 of 123
VA I L TO W N C O UNC I L A G E ND A ME MO
I T E M /T O P I C: A djournment 8:30 pm (estimate)
May 19, 2020 - Page 123 of 123