HomeMy WebLinkAboutOpinion - Ethics Review Board - 12/07/2012 - Opinion No. 2012-3RESOLUTION 2012-122
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ACCEPTING ADVISORY OPINION AND RECOMMENDATION NO. 2012-3
OF THE ETHICS REVIEW BOARD
WHEREAS, the City Council Ethics Review Board is empowered under Section 2-569 of
the City Code to render advisory opinions and recommendations regarding actual or hypothetical
situations of Councilmembers or board and commission members of the City; and
WHEREAS, an alternate Ethics Review Board (the "Board") was appointed by the City
Council by adoption of Resolution 2012-112 to consider inquires submitted by Mayor Karen
Weitkunat and Councilmember Ben Manvel as to whether they have a conflict of interest in
participating in decisions of the City Council pertaining to the possible redevelopment ofthe Link-n-
Greens property by Woodward, Inc.; and
WHEREAS, the Board met on December 7,2012 to consider these inquiries and has issued
an advisory opinion that neitherthe Mayor nor Councilmember Manvel has a conflict of interest;and
WHEREAS, Section 2-569(e) of the City Code provides that all advisory opinions and
recommendations of the Board be placed on the agenda for the next special or regular City Council
meeting, at which time the City Council shall determine whether to adopt such opinions and
recommendation; and
WHEREAS, the City Council has reviewed the opinion and recommendation of the Board
and wishes to adopt the same.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that Opinion No. 2012-3 of the Ethics Review Board, a copy of which is attached hereto
and incorporated herein by this reference as Exhibit"A,"has been submitted to and reviewed by the
City Council, and the Council hereby adopts the opinion and recommendations contained therein.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 18th
day of December A.D. 2012.
y of Fo,QT
r P Tem
ATTEST:
V\' ••••• .'Ct
f
CO
City Clerk ORADO
EXHIBIT "A"
OPINION No. 2012-03 OF THE ETHICS REVIEW BOARD
OF THE CITY COUNCIL OF THE CITY OF FORT COLLINS
December 7, 2012
I. BACKGROUND.
This advisory opinion and recommendation is being provided to the City Council pursuant to
Section 2-569(e) of the City Code in response to inquiries submitted to the Ethics Review
Board (the " Board " ) by Mayor Karen Weitkunat and Councilmember Ben Manvel .
1 .Composition of the Board.
The regular members of the Board are Councilmembers Manvel , Kottwitz and Poppaw , and
the alternative is Mayor Weitkunat . Because the Mayor and Councilmember Manvel would
have a conflict of interest in participating in the Board ' s consideration of this issue , and
because Councilmember Kottwitz is temporarily unavailable for service on the Board , the City
Council has appointed an alternate Board for that purpose consisting of Councilmembers
Poppaw , Horak and Troxell .
2 .Issues .
The questions submitted to the Board are whether either Mayor Weitkunat or Councilmember
Manvel have a conflict of interest in participating in decisions of the City Council related to the
possible redevelopment of a parcel of property currently occupied by Link-n-Greens Golf
Course , in view of the fact that they and their spouses own business properties within the
notice zone " of the redevelopment project , as established in Section 2 . 2 . 6 of the Land Use
Code .
3 .Project .
The possible redevelopment project (the "Project") is being proposed by Woodward, Inc . and
would entail a campus of office, manufacturing, and testing facilities, including buildings and
parking areas served by private drives, with approximately 600,000 square feet of manufacturing
and 200,000 square feet of office, commercial and retail uses. The notice zone for the Project
ranges from 1 , 200 feet to 3 , 600 feet and is shown on Exhibit " A . " The decisions of the
Council related to the Project may include both legislative and quasi-judicial decisions . The
locations of the Project and the two business properties owned by the Weitkunats and Manvels
are shown on Exhibit " B . "
Opinion of the Ethics Review Board
Opinion 12-03
December 7, 2012
Page 2 of 4
4. Weitkunat Property.
The property owned by the Mayor and her spouse (the "Weitkunat Property"), is 2 . 75 net acres
in size and is occupied by a storage facility at which both indoor and outdoor storage is offered
to members of the public.It is located at 1005 E. Laurel Street, approximately 1550 feet from
the closest point of the Project. The Weitkunats have owned the property for approximately 12
years.According to the Mayor, the storage units on the property are typically used by persons
who are moving their residences. The vacancy rate of the units is reportedly low.
5 . Manvel Property.
Councilmember Manvel and his spouse own a duplex at 601 Endicott Street (the "Manvel
Property") .It is 1370 feet from the closest point of the Project. The Manvels have owned the
property for approximately 30 years . Both units of the duplex have reportedly been regularly
occupied by renters over the years.
II. ANALYSIS .
1 . Bottom Line.
For the reasons stated below, the Board does not believe that either the Mayor or Councilmember
Manvel has a conflict of interest in participating in City Council deliberations and decisions
related to the Project.
2 . Discussion .
Under the Charter, if an officer or employee of the City has either a financial or personal interest
in participating in City decisions, then he or she is required to file a conflict of interest disclosure
statement with the City Clerk and refrain from voting on, attempting to influence, or otherwise
participating in those decisions in an official capacity. The Charter definition of a "financial
interest" is "any interest equated with money or its equivalent." Clearly, neither the Mayor' s nor
Councilmember Manvel ' s situation has a financial interest in Council decisions related to the
Project. The closer question is whether either of them has a "personal interest") which, under the
Charter, would exist if, in the judgment of a reasonably prudent person, they would "realize or
experience some direct and substantial benefit or detriment different in kind from that
experienced by the general public" as a result of the development of the Project.
Earlier this year, the Board rendered Opinion 2012-02 . In arriving at its opinion and
recommendation in Opinion 2012-02 , the Board recommended that, if a Councilmember owns
property within the notice zone of a proposed development, such proximity should automatically
call for Board review of the situation, and each such situation should be considered on a case-by-
case basis, applying the following factors :
Opinion of the Ethics Review Board
Opinion 12-03
December 7, 2012
Page 3 of 4
Earlier this year , the Board rendered Opinion 2012-02 . In arriving at its opinion and
recommendation in Opinion 2012 -02, the Board recommended that, if a Councilmember owns
property within the notice zone of a proposed development, such proximity should automatically
call for Board review of the situation, and each such situation should be considered on a case-by-
case basis, applying the following factors :
the size of the group that will likely be affected in the same way and to the
same extent as the Councilmember who is the subject of the inquiry;
the magnitude of the potential financial or personal impact that the
Councilmember may experience;
how close the connection is between the upcoming decision(s) and the
potential impact on the Councilmember; and
the need for the Councilmember to participate in the upcoming decision(s)
as an elected representative.
In applying these factors , it seems evident to the Board that neither the Mayor nor
Councilmember Manvel has a conflict . The notice zone for this project has been expanded
from the 1 , 000 foot minimum established in Land Use Code Section 2 . 2 . 6 primarily because
the size of the Project and the resulting increase in traffic on Lemay Avenue may have a
significant impact on the residential neighborhoods north of East Lincoln Avenue .There is no
indication that the Project will have similar traffic impacts on the Weitkunat and Manvel
Properties , both of which are located on the opposite side of two major arterials , East
Mulberry Street and Riverside Avenue . Nor is there any indication that the construction of the
Project would increase or decrease the revenue potential or the property values of either the
Weitkunats ' storage business or the Manvels ' duplex .See the summary of City ' s staff' s
research regarding property values , attached as Exhibit Q .
Thus , the Board believes that the Project will have no greater effect on the financial and
personal interests of the Mayor and Councilmember Manvel than it will have on the general
public ; that there is a strong need for both the Mayor and Councilmember Manvel to be able to
represent their respective constituents by participating in Council decisions related to the
Project ; and that neither would experience any direct or substantial benefit from their
participation in such decisions .
I Additional Recommendation.
The Board believes that it would be helpful for the regular Ethics Review Boart to meet and
develop guidelines for board and commission members who are faced with these kinds of
Opinion of the Ethics Review Board
Opinion 12-03
December 7, 2012
Page 4 of 4
and for distribution to the City clerk to be maintained in the permanent file of opinions of the
Board .
Dated the 7°' day of December, 2012 ,
Stephen J . Roy
City Attorney
Bpi C = _ _ !
ate-
REiRLopPa
Illir
lull
moillllli _ = I=
uIS
MEMO
III p IUI I
e _ = III = — = p Inllul
0000000 mopni
oil
VA
u life 1
Mi
1-1 . I Ilnl III
IIII - - _ - IIII o f---L
now
illlllll lily pp
long
IN too
mom
t ttltttt IIIIIIII 111111 I II t
IIII rl: : 1
a• , ' ',
IIIIIIIII II i i 1' ' 1 '
IIIIIIIII II- j i i
IIII QQ 1 ttl t
IIII: i
1
1111 11M E
1 0
Ethics Review Board Meeting
December 7, 2012
Opinions of Impact from Appraisers and Broker
I talked to two of our contract appraisers who were available and who were the most familiar with the
City and the location of Link- N -Greens . Their comments were very similar and are summarized together
below :
The development and the privately owned parcels are divided by two major arterials (Mulberry and
Riverside) which create distinction between the properties to the north and to the south. Impacts to
properties are minimized because of this division.
One appraiser felt it was impossible to measure any impact on the rental property and that there might
be a future speculative improvement (definitely not immediate impact) on the storage space site. This
would probably be a redevelopment of the property.
The second appraiser felt that these properties were too far removed physically from the Woodward site
to realize any specific benefit to their properties that would not apply to the community at large — more
jobs, higher taxes, etc. If these properties were closer in proximity, those owners would be more likely to
benefit by redeveloping their property for housing.
I talked to a local broker for her opinion, which I have summarized below :
A project of this magnitude will have positive impacts on rental properties for beyond these geographical
boundaries. The area of impact would probably be at least from Prospect to Vine and College to
Summitview. The most logical renter in the Endicott property is probably connected with the University
and that probably will not change due to this project.
For the commercial property which is 2. 7 acres and has one point of access on Laurel Street, any
potential impacts to property would be far in the future and would probably involve creating
assemblages and attempts to improve access.
Bottom line: As the crow flies, these properties may be within the notice boundaries and seem to be
impacted by project; however, there are too many physical filters that affect these impacts (both
negative and positive). The negative could be traffic and congestion and the positive could be increased
property values or increased business.Economic impacts to residential properties inclose proximity to
project could have good and bad impacts that are hard to quantify.
Exhibit " C"