HomeMy WebLinkAbout11/20/2025 - Water Commission - SUPPLEMENTAL DOCUMENTS - (CORRECTED on 11/20/2025 2:30 PM)
Memorandum
Date: November 11, 2025 (CORRECTED on 11/20/2025 2:30 PM)
To: Water Commissioners
Through: Nicole Poncelet-Johnson, One Water Executive Director
Matt Fater, Senior Director, Infrastructure Engineering
Ken Sampley, Director, Stormwater Engineering and Development Review
From: Taryn Tigges, Floodplain Manager
Subject: Advanced Energy Substantial Improvement Floodplain Variance Request –
1625 Sharp Point Dr.
Variance Request Description
The attached application (Attachment A) for a Floodplain Variance has been submitted for your
consideration and action.
The application requests a variance to certain requirements in City Code as cited below:
10-76(3)a. - Remodeling or repair of a structure is allowed, provided that, after completion of
any cumulative substantial improvement, all applicable requirements, including, but not limited
to, the requirements of 10-37, are met.
10-37 – Requirement to Elevate
10-76(9) and 10-48 – Emergency Response and Preparedness Plan
Variance Request
• Approve a variance from the requirements to elevate a cumulative substantial
improvement that is to be constructed at 1625 Sharp Point Drive in the Zone AE area of
the FEMA Flood Insurance Rate Map (Poudre River 100-year floodplain).
• Approve a variance from the requirement to develop an Emergency Response and
Preparedness Plan (ERPP) for a cumulative substantial improvement that is to be
constructed at 1625 Sharp Point Drive in the Zone AE area of the FEMA Flood
Insurance Rate Map (Poudre River 100-year floodplain).
(CORRECTED on 11/20/2025 2:30 PM)
Notice of this hearing has been given in accordance with City Code Section 10-28.
Project Proposal
The project is located at 1625 Sharp Point Dr. The owner of the building is CS1031 Colorado
Power, DST and is leased by Advanced Energy Industries, Inc. ("Advanced Energy”). The
applicant, Advanced Energy, is proposing a cumulative substantial improvement and is
requesting a variance from the requirements in Chapter 10 of City Code to elevate and to
develop an Emergency Response and Preparedness Plan.
There have been multiple previous remodels that have been permitted for this property (Table
1). Because the Poudre River floodplain has a cumulative substantial improvement requirement
over the life of the structure, all remodels are added together to compare with the value of the
structure to determine substantial improvement.
Once a structure meets the substantial improvement threshold (City Code 10-76(3)(a)), the
structure is required to be elevated 2 ft. above the 100-year flood elevation (City Code 10-37).
and an Emergency Response and Preparedness Plan (City Code 10-76(9) and 10-48) is also
required to be developed. As a substitute for the elevation requirement, floodproofing is allowed
for non-residential structures (City Code 10-38).
Based on the latest appraisal of the property, the value of the structure is $9,893,700.
Floodplain Use Permits #11884, #11926, and #11941 reference a previous variance granted on
July 21, 2022. Advanced Energy expects additional remodel work, as part of this application, to
be $1,579,439.
(CORRECTED on 11/20/2025 2:30 PM)
Table 1. List of remodel permits and value of improvements.
Floodplain Use Permit # Building
Permit #
Permit #10928 B1006112 10/7/2010 $19,000
Permit #11062 B1111072 12/31/2011 $48,522
Permit #11820 B2108322 1/26/2022 $4,490,483
Permit #11884 B2202567 8/29/2022 $3,200,000
Permit #11926 B2206052 2/23/2023 $1,610,000
Permit #11941 B2310938 4/14/2023 $750,000
Pending B2503313 - $1,579,439
$11,697,444
FEMA RiskMAP Floodplain Information
The Colorado Water Conservation Board (CWCB) and FEMA have been working since 2012 to
update the Poudre River floodplain mapping through the Risk Mapping, Assessment, and
Planning (RiskMAP) program. Preliminary maps were released on October 16, 2023; however,
the project has since experienced delays.
CWCB is coordinating with FEMA to issue the Letter of Final Determination (LFD). The LFD was
expected to be issued on November 12, 2025. That date has since been delayed and CWCB
has not provided a new estimated issuance date. Once issued, the new maps will become
effective six months later.
Under the current effective floodplain mapping, the property is located within the Poudre River
100-year floodplain (Zone AE). The updated RiskMAP data, however, shows the property at
1625 Sharp Point as being outside both the 100-year and 500-year floodplains. The preliminary
RiskMAP mapping is therefore less restrictive than the effective mapping (see Attachment B).
(CORRECTED on 11/20/2025 2:30 PM)
FEMA Guidance on Utilizing Less Restrictive Data
Pages 8-9 of FEMA Policy #104-008-2 (Attachment C), regarding the Use of Available Flood
Hazard Data, reference the use of less restrictive data and specifically advises not utilizing this
data until all appeals have been resolved and FEMA has issued the LFD. Therefore, the staff
recommendation includes a condition that any variance approval shall not take effect until
FEMA issues the LFD. However, Advanced Energy would not be required to wait for the
effective date of new floodplain maps, six months after issuance of the LFD.
CWCB Support
State floodplain development regulations specify that preliminary mapping may only be used if it
is more restrictive than the effective mapping:
“In the event that a Community is aware of and has access to better available information on a
previously designated flooding source, then the CWCB allows for that undesignated information
to be used for regulatory purposes if …. the revised Floodplain mapping is more restrictive.”
Because the Preliminary RiskMAP mapping for 1625 Sharp Point Drive is less restrictive, City
staff consulted with CWCB regarding the applicability of this rule and the proposed variance.
On October 31, 2025, City staff met with CWCB staff to discuss the variance request for
Advanced Energy. CWCB indicated their support for the proposed variance, noting that the
community has exercised due diligence, is acting in good faith, and that the proposal aligns with
the intent of the State’s floodplain development regulations.
Applicant Information
The applicant prepared a variance submittal (Attachment A) including a memo summarizing the
reasons the applicant is requesting the variance and the variance application form.
Hardship Requirement
This variance request would have to meet the hardship requirement of Sec. 10-29(f)(2) because
the substantial improvement provision is a minimum federal and state standard.
(CORRECTED on 11/20/2025 2:30 PM)
Notification to Applicant Regarding Flood Insurance
It should be noted that the cost of flood insurance could be significantly higher for a structure
that has undergone a substantial improvement and has not been protected to the freeboard
level. Flood insurance would use the map that is in effect at the time and is not based on a
future map such as the RiskMAP until that new map becomes effective (six months after the
LFD is issued). Therefore, it is the applicant’s risk in pursuing this variance and the City of Fort
Collins is not responsible for any additional costs associated with flood insurance based on any
action taken as part of this variance request.
Variance Options
In the hearing, the Water Commission will need to hear the evidence and apply the facts to the
requirements and standards in City Code. Depending on the Water Commission’s findings and
determinations, Water Commission could conceivably approve or deny the floodplain variance
for Advanced Energy located at 1625 Sharp Point Dr. requesting a variance from the
requirements of City Code Sections 10-76(3)(a), 10-37, 10-76(9) and 10-48 which would allow
construction of a cumulative substantial improvement without being elevated and without
developing an Emergency Response and Preparedness Plan in the Zone AE area of the FEMA
Flood Insurance Rate Map (Poudre River 100-year floodplain).
Possible conditions the Water Commission may consider are, but are not limited to:
1. The floodplain use permit and building permit shall not be approved until the RiskMAP
Letter of Final Determination (LFD) has been issued.
Staff Recommendation
Staff recommends approval of the variance with the condition that the floodplain use permit and
building permit shall not be approved until the LFD has been issued for RiskMAP.
The reasons for staff’s recommendation for approval of the variance are:
1. The Preliminary RiskMAP mapping shows the site to be out of the 100-year floodplain
and once the maps are approved, the site will no longer be required to comply with
floodplain regulations; and
(CORRECTED on 11/20/2025 2:30 PM)
2. The staff recommendation is specifically based on the timing of the LFD being issued.
When the mapping reaches this stage, it is far enough along in the process to have
confidence that the mapping likely will not change; and
3. FEMA Policy #104-008-2, is related to the use of less restrictive data and this variance, if
the condition is added, would be in compliance with this policy document; and
4. Staff’s discussion with CWCB indicated that CWCB would support the granting of the
variance; and
5. Not granting the variance would lead to an exceptional hardship for the applicant due to
the uncertainty in timing of approval of the RiskMAP maps. The maps have already been
delayed numerous times.
Suggested Motion for the Variance
Staff has prepared the following draft motion for the Water Commission’s consideration to
facilitate its consideration and decision of the request.
I move to approve or deny the floodplain variance for Advanced Energy located at 1625 Sharp
Point Dr., requesting a variance from the requirements of City Code Sections 10-76(3)a, 10-37,
10-76(9) and 10-48 which would allow construction of a cumulative substantial improvement
without being elevated and without developing an Emergency Response and Preparedness
Plan in the Zone AE area of the FEMA Flood Insurance Rate Map (Poudre River 100-year
floodplain).
Possible conditions the Board may consider are, but are not limited to, the following:
• The floodplain use permit and building permit shall not be approved until the LFD is
issued for RiskMAP.
I make this motion based on the evidence in the record showing that the relevant factors and
standards set forth in Article III, Chapter 10 of the City Code have or have not been met and as
required in City Code Section 10-29, the determination that 1) the variance is the minimum
necessary, considering the flood hazard, to afford relief; and 2) that there is good and sufficient
cause for the variance to be granted; and 3) that failure to grant the variance would result in
exceptional hardship to the applicant; and 4) that the granting of the variance will not result in
(CORRECTED on 11/20/2025 2:30 PM)
any increased flood heights, any additional threat to public safety or to public or private property,
any extraordinary public expense, any nuisance or trespass, any fraud on or victimization of the
public, or any conflict with existing local laws or ordinances.
I further note the following in support of this motion of approval or denial:
1. ___________________
2. ___________________
Attachments
1. Attachment A: Floodplain Variance Application
2. Attachment B: Effective Floodplain and Preliminary RiskMAP Floodplain
3. Attachment C: FEMA Policy #104-008-2 Use of Available Flood Hazard Data
CC: Eric Potyondy, Senior Assistant City Attorney