HomeMy WebLinkAbout2005-07-19 Town Council Minutes• Vail Town Council Evening Meeting Minutes
Tuesday, July 19, 2005
6:00 P.M.
Vail Town Council Chambers
The regular meeting of the Vail Town Council convened at approximately 6:00 p.m.
on Tuesday, July 19, 2005.
Council Members present: food Slifer, Mayor
Dick Cleveland, Mayor Pro-Tem
Diana Donovan
Kent Logan
Kim Ruotolo
Not Present: Farrow Hitt
Greg Moffet
Staff Members Present: Stan Zemler, Town Manager
Matt Mire, Town Attorney
The first item on the agenda is Citizen Input. Rick Sackbauer, representing the Vail
Valley Exchange, thanked Council for its continued support of the exchange program.
He stated a local group, including Councilwoman Ruotolo, would be embarking to
Australia very soon. He then reported he was working with the ski club in Mansfield,
Australia, to develop an exchange with Ski Club Vail.
Brian Nolan, representing the Vail Valley Chamber and Tourism Bureau (VVCTB),
announced a board meeting of the organization would be held in the near future. He
then asked if Council preferred to support the message "Vail only" in regards to potential
marketing. Donovan emphasized the message "Vail first," and stated it was illegal to
spend local marketing dollars supporting activity outside of town limits. Logan suggested
the WCTB review its organizational structure to better accommodate a Vail -only or Vail -
first approach.
Kaye Ferry announced the outdoor film screening of "E.T." at Crossroads on Meadow
Drive was a success with approximately 300 attendees. Ferry asked for the town's help
in cleaning the parking lot in preparation for the second show.
The second item on the agenda was a Construction Update. During an update on
construction, Public Works Director Greg Hall announced work continues with
installation of a new water line on East Gore Creek Drive, while Sundial plaza in
LionsHead would be paved shortly. The West Vail interchange will be open to two way
traffic very soon and the Vail Plaza Hotel is starting on temporary storm sewer work on
the Frontage Road. Zemler then stated there would be potholing on Vail Road as part of
the Four Seasons project.
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The third item on the agenda was a Timber Ridge Affordable Housing Corporation
. (TRAHC) update. The TRAHC provided Council with financial and operating information
based on reporting requirements. Council also requested updates concerning progress
toward mold remediation and sale or redevelopment of the property (Timber Ridge). This
update, by TRAHC Chairman Zemler included an overview of a potential agreement
between Council and TRAHC. This agreement is recommended by legal counsel. The
agreement would have TRAHC employ the town as its agent to solicit proposals for
redevelopment. The Request For Proposals (RFP) for Timber Ridge will be issued by
the town and the town's recommendation would then be forwarded to TRAHC, who upon
payment of their debt would make the property available for redevelopment. Logan
inquired about the financial reporting of the $700,000 loan recently made by the town to
the TRAHC as well as accounting for the depletion of the replacement reserve held by
US Bank, as required by the bond documents. Housing Coordinator Nina Timm said the
financial reports provided were through May, 2005; the loan was not funded until July,
2005. Camp will follow up with the auditors regarding accounting for the depletion of the
replacement reserve. Bill Jewitt asked about what he perceived was the potential
structuring of an endless loop between Council and the TRAHC Board. Mire stated the
TRAHC Board was merely divesting its authority to Council to determine the appropriate
use of the property. Jim Lamont, representing the Vail Village Homeowners Association,
confirmed the RFP has been posted on the town's web site at www.vailgov.com. He also
asked if any non -deed restricted residential units were proposed for the property so as
not to create a ghetto. Housing Coordinator Nina Timm responded the property as it
currently exists is a special development district with no underlying zoning.
The fourth item on the agenda was Local Licensing Authority (the "LLA") Appointment.
There was one vacancy on the LLA. The town received one application for the vacancy.
Cleveland moved and Ruotolo seconded a motion to appoint Robert McKown. The
motion passed unanimously, 5-0. All LLA members must be citizens of the United
States, qualified electors of the town, and have resided in the town for not less than two
years preceding appointment, and shall have no direct financial interest in any license to
sell alcoholic beverages or any location having any such license. Duties of the five -
member board include reviewing town liquor license applications. Slifer thanked
outgoing LLA member Rob Rothenberg for his three years of service on the board.
The fifth item on the agenda was a Vail Conference Center Update. Community
Development Director Russ Forrest announced on June 7, the Council authorized
additional funds to continue working on the conference center. As part of that
authorization, $30,000 was budgeted for additional operational studies. He then said the
Conference Center Oversight Committee would like to retain a qualified professional to
evaluate price sensitivity for a proposed increase in the lodging tax and its impact on
lodging. The Committee requested Council authorization to spend up to $10,000 to
evaluate this question. He then reported July 13, the Committee met and reviewed the
current conference center ballot language. The lodging representatives on the
Committee requested two issues be discussed with the Town Council:
1. Complete an analysis of price sensitivity in the resort lodging market place to
increases in lodging tax. Specifically the lodging community would like to know if
raising lodging tax will negatively impact lodging business or if there is a threshold
which should be recognized. Currently a guest checking out of a Vail lodging
property pays an 11.8% tax (sales and lodging tax).
• 2. Request to Council to discuss sun setting the lodging tax. The Lodging community
would be very interested in sun setting all or a portion of the tax. This matter could be
considered more fully once a final tax increase is determined based on a guaranteed
maximum price from Mortenson Construction which will be available in August.
Cleveland stated conference center funds were not intended to provide sensitivity tests.
Donovan stated she did not believe there was any value in it. Ruotolo stated she did not
believe the lodging community supported an additional lodging tax. Logan stated he did
not believe there was any elasticity for the percentage increase of lodging tax increase
being discussed. Council agreed suggesting a sales tax was unacceptable.
The sixth item on the agenda was the First Reading of Ordinance No. #1, Series of 2005,
an Ordinance establishing Special Development District No. #39, Crossroads. The
Community Development Department recommended Council table the First Reading of
Ordinance No. #1, Series of 2005. Cleveland moved and Logan seconded a motion to table.
The motion passed unanimously, 5-0.
The seventh item on the agenda was consideration of an Intergovernmental Agreement
("IGA") between Vail Square Metropolitan Districts 1, 2 and 3 (the "Districts) and the
Town of Vail regarding operation and maintenance of the On -Site Streetscape
Improvements and the LionsHead Place Improvements. The IGA was approved as to
form, as Exhibit D, to the Consolidated Service Plan for Vail Square Metropolitan
Districts 1, 2 and 3, which was approved by the Town Council via Resolution No. 8,
2005, on May 3, 2005. It was represented at that time that a final version of the IGA
would be brought back to Council for review and approval prior to its execution. No
substantive changes were made to the IGA since Council last reviewed it on May 3,
2005. Logan moved and Cleveland seconded a motion approve. The motion passed
unanimously, 5-0.
The eighth item on the agenda was Resolution No. #12, Series 2005, A resolution
approving the amendment to core site development agreement (the "Amendment")
among the Town of Vail (the "Town"), Vail Reinvestment Authority (the "Authority"), and
the Vail Corporation, d/b/a Vail Associates, Inc., a Colorado corporation ("Vail
Associates"), which amendment pertains to certain respective rights and responsibilities
of the Town, the Authority and Vail Associates in relation to the core site development
proposed to be undertaken by Vail Associates and affiliates. The topic was an
amendment to the Core Site Development Agreement ("DIA"). Because the original
DIA was negotiated and adopted prior to final design approvals, there were several
housekeeping matters that needed to be amended in order to comply with certain
conditions adopted by the PEC. The main items are as follows: 1) The town is agreeing
to various easement dedications subject to final review by the town staff. These were
anticipated by the original DIA and the Amendment sets them out with specificity. 2) The
town is agreeing to designate Vail Associates and its designees (contractors and utility
companies) to install the off -site improvements. The original DIA mandated Vail
Associates do the work. This amendment authorizes and enables Vail Associates to do
the work. 3) The town and Vail Associates are agreeing as to the areas of responsibility
on an ongoing basis for utilities and off -site improvements. The original DIA did not
specify in detail these areas. 4) The town is agreeing to give Vail Associates a license
agreement for various encroachments for footings, etc. The original DIA called for
0 transfer of ownership of the property. 5) The town is agreeing to transfer the $4,300,000
obligation for additional parking to the Core Site. The Original DIA tied the obligation to
. the Gore Creek Town homes. This was an accounting issue which served to properly
allocate the money to the Core Site. The condition, as before, is a personal obligation of
Vail Associates and was not conditioned upon the building of the Core Site. The
amendment does not limit the effect of any condition to closing under the original DIA
which presently remains unsatisfied. The amended agreement will update the original
Core Site Development Agreement based upon all current approvals as set forth above.
Due to a pre -determined conflict of interest, Slifer recused himself from the item. Ruotolo
moved with Logan seconding a motion to approve. The motion passed, 4-0.
The ninth item on the agenda was Resolution No. #13, Series of 2005, a Resolution
approving the parking capital investment agreement between the Town of Vail (The
"Town") and the Vail Corporation, D/B/A Vail Associates, Inc., A Colorado Corporation
(Vail Associates") which agreement relates to the Arrabelle at Vail Square Development
by Vail Associates. Resolution No. #13, Series 2005, operates to amend the original
Parking Capital Investment Agreement. The amended agreement will transfer the
$4,300,000 obligation for additional parking to the Core Site. The obligation was
originally tied to the Gore Creek Town homes. This was an accounting issue which
served to properly allocate the money to the Core Site. The condition, as before, is a
personal obligation of Vail Associates and is not conditioned upon the building of the
Core Site. Ruotolo moved with Logan seconding a motion to approve. The motion
passed 5-0.
The tenth item on the agenda was Resolution No. #14, Series 2005, a Resolution
approving the adoption and confirming the effect of the intergovernmental agreement by
and among the Authority, The Vail Square Metropolitan District No.'s 1, 2, and 3, and the
Vail Corporation, D/B/A Vail Associates. Resolution #14, Series 2005, is simply an
acknowledgement by the Town Council that the condition of approval for the
Consolidated Service Plan for Vail Square Metropolitan Districts 1, 2 and 3 (the
"Districts") has been satisfied. Cleveland moved with Ruotolo seconding. The motion
passed unanimously, 5-0.
The eleventh item on the agenda was the Town Manager's Report.
Zemler stated House Bill 1177, commonly known as the 'Interbasin Compact' or the
'Colorado Water for the 21' Century Act. He then reported the bill created nine basin
roundtables covering geographic areas in Colorado. These roundtables would serve the
primary bodies for on -going discussions related to needs within each basin and the
basins' interaction with each other. Caroline Bradford, Eagle River Watershed Council,
coordinated a meeting of the municipalities on July 11. At this meeting, the following
towns were represented: Basalt, Gypsum, Eagle, Avon, Minturn and Vail. Consensus on
the municipalities' single appointment was required by July 15, 2005. The county will
also be allowed to appoint one candidate. Unanimously, the six towns agreed to
nominate Chuck Ogilby as their collective representative.
The twelfth item on the agenda was Adjournment. Logan moved with Ruotolo
seconding a motion to adjourn at approximately 6:45 p.m. The motion passed
unanimously, 5-0.
Respectfully Submitted,
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SEAL
Rodney E. Slifer, Mayor
ATTEST: ••C�LOF'QO
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Lorelei Donaldson, Town Clerk
Minutes provided by Corey Swisher.
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