The URL can be used to link to this page

Home My WebLink About2001-11-20 Town Council MinutesVAIL TOWN COUNCIL EVENING MEETING TUESDAY, NOVEMBER 20, 2001 7:00 P.M. TOV COUNCIL CHAMBERS The regular meeting of the Vail Town Council commenced at approximately 7:00 P.M. in the Town of Vail Council Chambers. Members Present: Ludwig Kurz, Mayor Rod Slifer, Mayor Pro -Tern Dick Cleveland Diana Donovan Bill Jewitt Greg Moffet Chuck Ogilby Staff Members Present: Pam Brandmeyer, Assistant Town Manager Matt Mire, Town Attorney SThe first item on the agenda was Citizen Participation. "Dicki Pete" Peterson, a resident of Chamonix Road in West Vail, presented an idea for the Donovan Park pavilion project. Calling the current design too expensive and not as environmentally sensitive as it could be with its 34 feet high windows and two cooling systems, Peterson suggested a ,complete redesign of the building that would be more in keeping with the community's environmental needs. His idea is to work with Vail Resorts and the U.S. Forest Service to use pine beetle kill trees in the building's construction. In addition, Peterson said an adopt -a -log program could be implemented similar to the adopt -a -brick program at Ford Park to help fund the facility. Also, Peterson suggested the need for an on -site caretaker unit within the building to reduce the threat of vandalism and enhance the safety of various users. Mayor Kurz referred the matter to staff. The second item on the agenda was the second reading of Ordinance No. 31, Series of 2001, an ordinance amending Title 11, (Sign Regulations), Title 12 (Zoning Regulations), Title 13 (Subdivision Regulations), and Title 14 (Development Standards), Vail Town Code, To Allow for Corrections and/or Updates To The Vail Town Code, And Setting Forth Details In Regard Thereto. With a motion by Greg Moffet and second by Diana Donovan, the Council voted 7-0 to approve Ordinance No. 31, Series of 2001, on second reading, i The third item on the agenda was the first Reading of Ordinance 32, an ordinance amending special Development District No. 6, Vail Village Inn, Phase IV, to allow for the conversion of accommodation units into Type III Employee Housing Units; and setting forth details in regard thereto. The amendment allows for the conversion of accommodation units into 56 employee housing units with the ordinance expiring on June 1, 2002. In voting to approve the ordinance, Councilmembers said they would rather see the property be redeveloped as it was approved in 2000. But ail admitted it is better to have the property occupied this winter than sitting empty. During public discussion, Kaye Ferry of the Vail Chamber and Business Association, expressed support for the conversion, calling it a "fabulous" use of the property that would otherwise be empty. She said the units sold out quickly, a testimony to the dire need for more housing in Vail. She also called it a great test run for the Mountain Bell housing project. Although immediate occupancy has been approved, the property owners have been given 30 days by the Fire Department to address a list of safety issues. With a motion by Greg Moffet and second by Diana Donovan, the Council voted 7-0 to approve first reading of Ordinance #32, Series of 2001. The motion passed unanimously, 7-0. Council was concerned the expiration would remain the same, as well as the requirement that if this were to be a use for a second season, an additional conditional use permit would have to be granted, thus giving Council review opportunities. Council believes the proposed amendment would facilitate the location of employee housing units within the Town of Vail, which is a high Council priority, at an • existing infill location; and affordable employee housing is essential for the provision of services that both residents and visitors expect. However, Council did not believe this to be an acceptable long-term use for this property. In so noting, Moffet included Goals 3.1, 3.2, 3.3, and 3.4 from the Vail Land Use Plan, stating until these goals outweigh the obstacles for employee housing at this location, and Council's support would be in tact. As well, Moffet added to his motion that although the conversion of any accommodation unit within Vail's core areas should be highly discouraged, Council believes the subject property may be an appropriate location for employee housing for a temporary and defined time period. Although the applicant has an approval in place to redevelop the property, the construction has been temporarily postponed due to the pending lawsuit. The temporary conversion of these accommodation units to Type III employee housing units will allow the property owner to use the property, to the benefit of the owner and the town, until construction can commence, thus citing additional goals 5.1, 5.3, 5.4, and 5.5 from the Vail land Use Plan. In summation, Council believes this proposal furthers the above -listed goals by providing additional opportunities for locals/employee housing within the town limits at an existing infill location (Goal 6.1, Vail Land Use Plan). The fourth item on the agenda was the discussion of Refinancing Town of Vail Debt. After hearing from the town's investment banker, Steve Jeffers of George K. Baum & Company, who explained several refinancing opportunities, the Council directed staff to continue moving forward with his suggestions. The first would involve selling • approximately $500,000 in mortgage loans from a 1979 Pitkin Creek Bond Issue, which would address an equity issue involving a foregiveness clause which is contained in a 1992 refinancing action. According to Jeffers, the sale of loans on the open market would generate approximately $200,000 to the town, given today's attractive interest rates. The Council directed Town Attorney Matt Mire to work with the town's bond attorney to determine if the authorization should be presented to the council in resolution form or ordinance form. In a second action, the Council directed Jeffers to begin a refinancing process known as "forward refunding" which involves locking in a buyer for bonds well ahead of the call date. In this case, the sale commitment would occur in January for a transaction that wouldn't be consummated until September 2002. With interest rates at their current low levels, Jeffers estimated the town could receive a net savings of $380,000 in today's dollars on $8A million of debt. In moving ahead with the forward refunding approach, the Council will review the numbers again for a go -no go decision in mid to late January. Council was further assured that if the "deals" didn't make sense closer to the transaction time, the town did not have to pull the trigger, thus there is no "downside." During his presentation, Jeffers also indicated it is considered a good refinancing (by the GFOA) if up to a 3% savings on current bonds is accrued, while in the case of the forward refunding, the town should appreciate a 5% savings. Bill Jewitt indicated this was in alignment with Council's "new fiscal path." There was also discussion revolving around the "cost" to the town for these transactions, with figures shared regarding the surety bond, underwriter's discount of 1 %, bond insurance premium, and the overall cost of issuance. • The fifth item on the agenda was the Town Manager's Report. Mayor Ludwig Kurz used the opportunity during the Town Manager's Report to announce a new meeting schedule for the Town Council, one of several outcomes of a Council retreat on November 14 and 15. Afternoon work sessions have been cut in half and will take place on the first and third Tuesday of the month to coincide with the regular evening meeting schedule. As there was no further business, the meeting was adjourned at 8:35 P.M. Respectfully submitted, SF.p+t' Ludwig Kurz, ayor ATTEST: CQO_L0 � 1 `Lorel i Donaldson, Town Clerk Minutes taken by Pamela A. Brandmeyer