HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 10/06/2009 - CONSIDERATION AND APPROVAL OF THE MINUTES OF THE S r
ITEM NUMBER: 6
AGENDA ITEM SUMMARY DATE: October 6, 2009
FORT COLLINS CITY COUNCIL STAFF: Wanda Krajicek
SUBJECT
Consideration and Approval of the Minutes of the September 1 and September 15, 2009 Regular
Meetings and the September 8 and September 22, 2009 Adjourned Meetings.
September 1, 2009
COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
Council-Manager Form of Government
Regular Meeting - 6:00 p.m.
A regular meeting of the Council of the City of Fort Collins was held on Tuesday, September 1,
2009, at 6:00 p.m. in the Council Chambers of the City of Fort Collins City Hall. Roll Call was
answered by the following Councilmembers: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy,
and Troxell.
Staff Members Present: Atteberry, Krajicek, Roy.
Citizen Participation
Rick Price, 1925 Wallenberg Drive, expressed concern about bicycle safety and he asked that the
grant funds received from the Colorado Department of Transportation for the "Safe Routes to
Schools"Program be used for bicycle safety and not just for encouraging children to ride their bikes
to school.
Tom Boardman, 1316 Windjammer Drive, Poudre Landmarks Foundation President, stated the
Foundation's concern that the proposed 2010-2011 City budget contains cuts to the City's Landmark
Preservation program.
Chad Moyer, 900 Marshall Street, asked for more bicycle safety programs to be sponsored by the
City.
Stacy Lynne, 221 Park Street, asked for government transparency and answers to her questions
regarding City advertising on a pizza box and other questions she has asked of staff. She stated the
voting record of Councilmember Roy violates individual rights.
Jacqueline Natrasevschi,3608 Jaguar Place,expressed concern about students and bicycle safety and
asked the City to add school zones and pedestrian lights around Fort Collins High School and to
educate the public about bicycle safety.
Jane Hail, 1307 Springwood Drive, Poudre Landmarks Foundation, asked that the City retain its
current Historic Preservation staffing.
Carol Tunner, 1400 Wimbledon Court, urged the City to keep the current staffing level in the
Historic Preservation Program.
Laura Fairley-Richardson, 211 East Lake Street, stated she represented the "Can-Do" program, a
coalition to defeat obesity which aims to create an environment that makes being active and eating
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healthy easy decisions to make. The coalition supports the North College Improvements Project
because it promotes bicycling and pedestrian safety.
Leanne Cline, 816 Whedbee Street, spoke in support of the "Safe Routes to School" program and
asked that the program be expanded to all schools.
Ray Martinez,4121 Stoneridge Court, expressed concern about the increases in utility fees that are
proposed for the 2010-2011 budget and asked for a public hearing concerning the trash district,
utility rates and fees.
Myrne Watrous, 722 West Olive, urged the City to keep the current staffing level in the Historic
Preservation Program.
Al Bacilli, 520 Galaxy, stated the City should not refund vendor fees. He asked how much the City
gives to the Chamber of Commerce for any reason.
Tyne Clifton, 810 West Oak, asked that the grant funds received for the "Safe Routes to School"
program be used strictly for bicycle safety programs.
Scott Slusher,638 Endicott Street,pledged to make this month a"motor-free"month and he will not
set foot in or use a car or any other motorized transport. He invited Council and the public to join
him in this pledge.
Citizen Participation Follow-up
City Manager Atteberry stated one recommendation in the 2010-2011 budget will be to discontinue
the vendor fee rebate program,which currently refunds about$300,000 to businesses. He noted the
City does not pay a Chamber of Commerce dues or fees. The City may pay some minimal costs for
advertising in the Chamber's magazine. He will provide a list of those costs to Mr. Bacilli.
City Manager Atteberry listed the schedule of upcoming Budget work sessions and public hearings
through September and October. The utility rates and fees will be considered by Council at the
October 20 meeting. The 2010-2011 budget has a 7.5%reduction in revenues and the reduction of
an historic planner position is one cut that has been proposed to help balance the budget. Many other
cuts will also be recommended.
Councilmember Ohlson thanked the citizens who spoke concerning community bicycle safety.
Councilmember Troxell stated many questions raised at a recent meeting held by local trash haulers
showed there is much confusion in the community concerning trash rates and the proposed pilot trash
district. The residents within the proposed trash district have not been contacted by the City and they
have many questions and concerns that have not yet been answered. A public meeting should be
held to address the questions and concerns of citizens.
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September 1, 2009
Mayor Hutchinson asked if Council agreed to hold a public hearing on November 17,2009 regarding
the proposed pilot trash district. No vote would be taken at the hearing on November 17, but staff
will know by that time the answers to many questions, such as the cost of trash service within the
district. Council would consider the ordinances relating to the Trash District at the December 1
meeting. The 6,500 households in the pilot trash district will receive notification of the hearing
about 10 days before the hearing.
Councilmember Ohlson stated staff needs to give a presentation on November 17 to present facts
about the pilot trash district. Councilmembers should have a few minutes to speak,but the majority
of the time should be for public input. He did not support a mailing to notify the households within
the trash district because the City does not routinely notify the public of hearings on controversial
issues and it is too expensive to do such a mailing.
Councilmember Manvel supported an additional hearing on the pilot trash district on November 17.
Councilmember Roy supported holding an additional hearing on November 17 but did not support
mailing postcard notification because the mailing would not be effective and too expensive.
Agenda Review
City Manager Atteberry stated there were no changes to the published agenda.
Ray Martinez, 4121 Stoneridge Court, pulled Item#12 First Reading of Ordinance No. 088, 2009,
Adopting Updated Rules and Regulations Governing Grandview and Roselawn Cemeteries to Allow
Green Burials at Roselawn and to Make Minor Language Improvements.
Councilmember Poppaw pulled Item#6 Second Reading of Ordinance No. 082, 2009,Appropriating
Unanticipated Grant Revenue in the Transportation Services Fund to Fund the 2009-2010 Safe
Routes to School Project.
Councilmember Ohlson pulled Item#11 First Reading of Ordinance No. 087, 2009, Appropriating
Prior Years Reserves in the Downtown Development Authority Fund for Expenditure on Projects
in Accordance with the Downtown Plan of Development.
CONSENT CALENDAR
6. Second Reading of Ordinance No. 082, 2009,Appropriating Unanticipated Grant Revenue
in the Transportation Services Fund to Fund the 2009-2010 Safe Routes to School Project.
The City of Fort Collins Transportation Planning Department has received a federal grant
through the Colorado Department of Transportation(CDOT)for the FY 2009-10 Safe Routes
to School (SRTS) Program. This program will target students, parents, and teachers at
Bennett IB World School, Dunn IB World School, McGraw IB World School, Tavelli
Elementary, and Lesher Middle School in a collaborative effort to increase the numbers of
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September 1, 2009
children bicycling and walking to school. This Ordinance, unanimously adopted on First
Reading on August 18, 2009, appropriates the funds from this grant.
7. Second Reading of Ordinance No. 083, 2009, Vacatine a Portion of Right-of-way as
Dedicated on the Plat of Indian Hills Subdivision, First Filing.
This Ordinance, unanimously adopted on First Reading on August 18, 2009, vacates a
portion of right-of-way located in the Indian Hills Subdivision,First Filing, at the southeast
corner of East Stuart Street and Stover Street. A 10.01 foot strip of property, identified on
the plat as a"crosswalk," was dedicated to the City as a right-of-way between Lots 6 and 7,
to connect Indian Hills Park to Cherokee Drive. The City Parks Department has no plans to
construct a sidewalk connection on this narrow strip of land since there is satisfactory access
to the Park and the connection is not necessary.The adjacent property owners have also been
contacted and report no objection to the vacation.
8. Second Reading of Ordinance No. 084, 2009, Authorizing the Acquisition by Eminent
Domain Proceedings of Certain Lands Necessary to Construct Public Improvements Related
to the East Drake Road and South Lemay Avenue Intersection Improvements Project.
The East Drake Road and South Lemay Avenue Improvements Project is scheduled to begin
in 2010. The Project requires the acquisition of various real property interests from two
different properties which are located at the northeast corner of the intersection. Since the
Project will be funded through the Congestion Mitigation and Air Quality(CMAQ)Program,
all aspects of the Project, including property acquisitions, must comply with procedures for
federally funded projects. Given the recommended construction schedule for the Project and
the fact that the acquisitions must be conducted under procedures for federally funded
projects, timely acquisition of the property interests is necessary. This Ordinance,
unanimously adopted on First Reading on August 18, 2009, authorizes the use of eminent
domain for all property acquisitions, if such action is necessary.
9. Postponement of Second Reading of Ordinance No. 085, 2009, Authorizing the Lease of
City-Owned Property at 1506A West Horsetooth Road For Up To Five Years to October 6,
2009.
The City has leased this property since 2003 and desires to continue leasing the property.
This Ordinance, unanimously adopted on First Reading on August 18, 2009, will allow the
City to keep the property rented for up to five years. This item is being postponed to October
6, 2009, to give staff time to work with a neighboring property owner to resolve certain
property and tenant concerns.
10. Second Reading of Ordinance No.086,2009,Authorizing the Lease of City-Owned Property
at 3620 Kechter Road for Up to Five Years.
The City has leased the property located at 3620 Kechter since 2002 and desires to continue
leasing the property. This Ordinance,unanimously adopted on First Reading on August 18,
2009, will allow the City to keep the property rented for up to five years.
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September 1, 2009
11. First Reading of Ordinance No. 087, 2009, Appropriating Prior Years Reserves in the
Downtown Development Authorityy Fund for Expenditure on Projects in Accordance with
the Downtown Plan of Development.
This Ordinance appropriates unanticipated revenue from interest earnings in the amount of
$332,044, from project savings in the amount of$1,555,249; and from the transfer of funds
from projects not currently ready for reimbursement to projects or programs that are ready
in the amount of$1,614,085. The Downtown Development Authority (DDA) Board has
authorized the expenditure on the various projects and programs.
12. First Reading of Ordinance No. 088, 2009, Adopting Updated Rules and Regulations
Governing Grandview and Roselawn Cemeteries to Allow Green Burials at Roselawn and
to Make Minor Language Improvements.
The community interest in green burials is growing. Green burials are burials without
embalming,without a burial vault,using a casket made of non-toxic,biodegradable material
or a biodegradable burial shroud. The surfaces of the graves are unadorned,unirrigated turf
with simple memorial markers. The adoption of this Ordinance changes the Cemetery,Rules
and Regulations to allow green burials at Roselawn Cemetery. Unlike Grandview Cemetery,
Roselawn has land that can be dedicated to green burials. The other changes to the Rules and
Regulations are simple housekeeping measures.The last maj or update was completed in May
2005.
13. First Reading of Ordinance No. 089,2009,Designating the Paramount Cottage Camp. 1544
West Oak Street, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code.
The owners of the property,Maureen Plotnicki and Stephen Weber,are initiating this request
for Fort Collins Landmark designation for the property at 1544 West Oak Street,historically
called the Paramount Cottage Camp. The property has individual significance to Fort Collins
under Landmark Preservation Standard 1, as a locally rare, representative example of the
tourist camp industry in Colorado,utilized to promote tourism and community growth;and
Standard 3,as an intact example of a cottage camp,embodying the distinctive characteristics
of this unique property type. Built in a vernacular architectural style typical of tourist camps,
the two mirror-image cottage camp buildings retain good integrity.
14. Routine Easements.
Easement for construction and maintenance of public utilities from First National Bank, to
replace electric oil switch, located in the parking lot at 316 South Howes. Monetary
consideration: $10.
***END CONSENT***
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September 1, 2009
Ordinances on Second Reading were read by title by City Clerk Krajicek.
6. Second Reading of Ordinance No. 082, 2009, Appropriating Unanticipated Grant Revenue
in the Transportation Services Fund to Fund the 2009-2010 Safe Routes to School Project.
7. Second Reading of Ordinance No. 083, 2009, Vacating a Portion of Right-of-way as
Dedicated on the Plat of Indian Hills Subdivision, First.Filing.
8. Second Reading of Ordinance No. 084, 2009, Authorizing the Acquisition by Eminent
Domain Proceedings of Certain Lands Necessary to Construct Public Improvements Related
to the East Drake Road and South Lemay Avenue Intersection Improvements Project.
10. Second Reading of Ordinance No.086,2009,Authorizing the Lease of City-Owned Property
at 3620 Kechter Road for Up to Five Years.
Ordinances on First Reading were read by title by City Clerk Krajicek.
11. First Reading of Ordinance No. 087, 2009, Appropriating Prior Years Reserves in the
Downtown Development Authority Fund for Expenditure on Projects in Accordance with
the Downtown Plan of Development.
12. First Reading of Ordinance No. 088, 2009, Adopting Updated Rules and Regulations
Governing Grandview and Roselawn Cemeteries to Allow Green Burials at Roselawn and
to Make Minor Language Improvements.
13. First Reading of Ordinance No. 089,2009,Designating the Paramount Cottage Camp, 1544
West Oak Street, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code.
19. First Reading of Ordinance No. 090, 2009, Authorizing the Transfer of Existing
Appropriations Between Capital Projects for the North College Improvements Project.
Councilmember Manvel made a motion,seconded by Councilmember Troxell,to adopt and approve
all items not withdrawn from the Consent Calendar. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson,
Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Staff Reports
City Manager Atteberry recognized Kathy Collier,ClimateWise Program Director,for receiving the
"Women of Influence" recognition from the Northern Colorado Business Report.
City Manager Atteberry noted the community liaison program has been recognized by Leadership
Publication for Student Affairs Administrators in Higher Education,for partnering with CSU for its
party registration program.
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September 1, 2009
Lucinda Smith, Senior Environmental Planner, gave a report on the City's current air quality and
stated the haze in the air for the past few days has been from wildfires burning across the United
States, especially in California, Utah, Colorado, and Canada. Fine particle concentration in Fort
Collins is "moderate," the second-lowest measurement on the scale. The City is not violating any
standards for fine particles or ozone. Citizens can track changes in hourly concentration of fine
particles in the air through tracking available on the City's website.
Councilmember Ohlson asked who sets the standard for fine particles in the air. Smith stated the
Environmental Protection Agency set the range as a uniform standard across the country.
Councilmember Troxell asked who was responsible for the carbon impact and the combustible
accounting from events such as these wildfires. Smith stated the source of fine particles is the
various wildfires, which is different from an industrial source that is tracked and permitted. State
inventories take into account the impacts of wildfires. The carbon particles from the wildfires are
very different from carbon dioxide or methane and other greenhouse gas emissions.
Councilmember Reports
Councilmember Kottwitz thanked the first responders for their quick response to a serious
motorcycle accident that occurred recently.
Mayor Hutchinson stated the Council subcommittee for oversight of the Municipal Judge,comprised
of himself and Councilmember Manvel, met with Judge Lane and discussed budget concerns that
affect the Municipal Court. The Platte River Power Authority Board met to discuss the Windy Gap
Firming Project and he asked that Platte River provide a written report to the Council to address the
issues raised by Council at a work session on the Windy Gap Firming Project and for information
on any alternatives that have been considered.
Items Relating to the North College Improvements Project- Phase II, Adopted
The following is staff s memorandum for this item.
"FINANCIAL IMPACT
The cost estimate to build the full improvements along North College Avenue is approximately$12
to $IS million.
The City currently has approximately S6.2 million in funding available for this project, including
the original Building on Basics (BOB) 114 cent sales tax funding,and federal funding from the
Colorado Department of Transportation and the North Front Range Metropolitan Planning
Organization(MPO). Staff is continuing to seek various local, state, and federal solutions to bridge
this funding gap.
Staff is requesting Council approval to transfer the remaining Truck Route project funding in the
amount of$1,830,944 into the North College Improvements Project Update: Phase II— Vine Drive
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September 1, 2009
to the Hickory/Conifer Intersection. This proposed transfer will allow improvements to extend
further north and to maintain the accelerated project schedule for construction to begin in 2011, as
desired by the North Fort Collins Business Association (NFCBA) and local business/property
owners.
This funding request to transfer the approximately$1.8 million in remaining Truck Route funds is
supported by the Transportation Board and staff from various City departments including,
Transportation Planning, Engineering, Finance, City Manager's office, and City Attorney's office.
EXECUTIVE SUMMARY
A. Resolution 2009-082 Approving the Design and Scheduling of the North College
Improvements Project—Phase 11.
B. First Reading of Ordinance No. 090, 2009, Authorizing the Transfer of Existing
Appropriations Between Capital Projects for the North College Improvements Project.
The City of Fort Collins is in the final stage of the conceptual design phase for the North College
Corridor Improvements Project — Phase 11, from Vine Drive north to the Hickory/Conifer
Intersection. The Project was initiated in accordance with the voter-approved Building on Basics
(BOB)Capital Improvement Program. Additional project funding was secured by the City from the
Colorado Department of Transportation (CDOT) and North Front Range Metropolitan Planning
Organization (MPO).
Staff is seeking Council approval of the North College Improvements Project—Phase II, Vine Drive
to the Hickory/Conifer Intersection Conceptual Design Report, dated September 1, 2009, as well as
the proposed schedule for the Project. The Project Report includes a summary of the conceptual
design phase of the Project, including the preferred conceptual design for the corridor and an
implementation phasing plan.
Staff is also seeking Council approval for the use of the remaining Truck Route funds for the North
College Project in order to further extend the needed improvements along this state highway
corridor and meet the intended construction schedule of 2011, as desired by the North Fort Collins
Business Association (NFCBA) and local business/property owners.
BACKGROUND
In 2005, Fort Collins voters approved a 114 cent sales tax to fund capital projects—Building on
Basics (BOB). One of the transportation projects funded through this package is "North College
Avenue Improvements Phase 2 — Vine Drive to Conifer. " This Project is the next phase of the
improvements that were initially funded through the Building Community Choices (BCC) capital
plan. The prior BCC program funded improvements from Jefferson to Vine Drive (see Attachment
I for a map of the project area).
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September 1, 2009
The 2005 BOB ballot language included the following project description:
"North College Avenue Improvement Phase 2— Vine Drive to Conifer
The project will provide for the re-design of North College Avenue to bring the road
to current arterial standards from Vine Drive to Conifer Street and for the
acquisition of right-of-way needed for construction along North College Avenue.
Construction will include curb, gutter and minor street patching; redefinition and
consolidation of driveway; bike lanes and sidewalks, new streetscape and other
necessary improvements. "
The voter-approved BOB funding provides approximately$4.8 million for this phase of the North
College Project. In addition to the BOB funding, the City secured an additional 5885,000 in federal
funding from CDOT and the North Front Range MPO to help cover costs associated with the
bicycle, pedestrian, streetscape, and safety improvements. The total Project funding previously
secured was approximately$5.6 million dollars. An additional 5600,000 in funding was approved
by the North Front Range MPO Council in August, thus the total budget for the North College
project is approximately$6.2 million. This additional funding will be appropriated into the Project
budget as a separate Council action once contracts are received from CDOT. The updated
engineer's estimate for the total cost of the corridor improvements from Vine to Conifer is between
$12 million and S15 million, depending on the level of improvements. Due to funding limitations,
full build-out of this Project is planned to be done in phases as funding becomes available. The City
continues to seek additional funding.
Project Coordination
Throughout the development of the North College/US287 design project, the City's Transportation
Planning Department has worked closely with other City departments, including Engineering,
Traffic Operations,Advance Planning, Current Planning, Finance, Stormwater, Utilities, Transfort,
Historic Preservation, Parks,Natural Resources, and Art in Public Places. The City also has worked
with local and regional stakeholders, including the North Fort Collins Business Association
(NFCBA), the North College Urban Renewal Authority(URA), area property/business owners, City
boards and commissions, City Council, CDOT and other interested stakeholders to develop a
recommended design package that meets the many important local and regional needs of this
corridor.
Planned improvements for the corridor include installation of curb and gutter, consolidation of
driveways, improved bicycle and pedestrian facilities, new streetscape design, and other necessary
improvements such as stormwater facilities.
The Project report for the North College Improvements Project is being presented to City Council
for approval. This report includes the conceptual design for the ultimate corridor improvements,
as well as a prioritized list of projects that can be implemented in phases based upon current and
future funding resources. (see Attachment 4)
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September 1, 2009
Public Outreach
The public outreach process during the planningphase of the Project has included three public open
house meetings (April, May, and July) as well as individual property and business owner meetings.
At the request of the NFCBA, a special "hands-on"workshop was held in May to develop possible
conceptual design alternativesfor the corridor. In addition, a right-of-way informational meeting
was held at the request of property owners in June. Project presentations took place in May, June
and July for various City boards and commissions. The second City Council work session for this
project was held July 28.
Conceptual Design and Phasing
The project conceptual design was developed through input from the public, NFCBA, CDOT,
property and business owners, the Commission on Disability, Bicycle Advisory Committee,
Transportation Board, and the Planning and Zoning Board, as well as various City departments.
The conceptual design supports the North College Corridor Plan and City Plan by providing a more
attractive and functional corridor for all modes of transportation. The North College improvements
will helpprovide more safe and direct linkages for motorists, cyclists, transit riders, and pedestrians
to/from downtown and the greater Fort Collins community between North College area businesses,
employment, and residential neighborhoods. In addition, the improvements will help set the stage
for future inf:ll and redevelopment opportunities to foster the City's economic health and
sustainability goals.
The conceptual design includes a reduced-width median, two 12 foot travel lanes, 8-foot on-street
bike lanes on each side, curb and gutter, a 7.5 foot landscaped parkway and an off-street 8-foot
shared use path (in lieu of sidewalk) on each side. Due to funding limitations,full build-out of this
project is planned to be done in phases as funding becomes available.
Preferred Option
Phasing Option I ispreferred. Phasing Option 1 consists ofcomplete edge improvements, including
street and landscaping. The decision was reached by the Project team with input from the public,
boards and commissions,property owners, NFCBA, CDOT, and various City departments.
Completing the Project from south to north with the currently secured funding of$6.2 million will
provide full edge improvements, including consolidated driveways, landscaped parkways, bike lanes,
shared use paths, curb, gutter, and storm water facilities up to approximately Pinon Street. In
addition, the first phase of improvements will include basic safety improvements at the
Hickory/Conifer intersection as required by the CDOT Hazard Elimination Safety funding.
This first phase will not include raised, landscaped medians because these medians need to be
installed in the future when parallel alleys and street connections are available to provide
alternative access for businesses located along the corridor.
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September 1, 2009
Advantages of Phasing Option 1 include:
• Supported by the public, Transportation Board, Planning and Zoning Board,
NFCBA liaison and property owners in the North College area.
• Number of disruptions to businesses is minimized.
• Provides a gateway to the North College area.
• Includes all elements of the BOB ballot language.
• Provides complete visible improvements, demonstrating what improvements
would look like along the corridor further north.
• May help stimulate redevelopment interest in the area, which would helppay for
future additional improvements.
• Finding funding for landscaping alone may be challenging.
Funding Request
The current funding gap to implement the conceptual design for the entire length of the Project is
approximately S6- $9 million, depending on the.level of improvements.
To help address this budget shortfall, the NFCBA has requested that the project team bringforward
to City Council a proposal to consider transferring the$1.8 million in remaining Truck Route funds
into the North College Project. The Project team reviewed the NFCBA 's requests with City
Management, the City Attorney's Office, as well as the Finance Department, Transportation
Planning, and Engineering departments.
Based on this review, staff supports this proposal to transfer the remaining Truck Route funds into
the North College Project budget and respectfully requests City Council approval of this transfer
offunds. Transferring the$1.8 million in funding into the first phase of improvements would extend
full edge improvements to north of Hemlock Street.
Staff and key project stakeholders agree that this is an appropriate use of remaining truck route
funds. The North College corridor is the existing, designated truck route along US287. These funds
would be used to improve the existing truck route and provide safety benefits for all modes of
transportation.
Another benefit of adding the Truck Route funds into the North College Project is that it allows the
Project to meet the accelerated construction schedule desired by the community. The NFCBA 's
request to begin construction in 2011 presents a cash flow challenge to the Project's budget. The
original BOB program provided funding for right-of-way and engineering/design in 2011, leading
to a construction initiation in 2012. This time line was viewed as too long by the community, based
upon the urgency of the necessary safety improvements. To move the Project construction schedule
up to 2011, design/engineering and right-of-way acquisition needs to occur in 2010 to prepare the
Project for construction in 2011. Therefore, the City needs to identify funding for these key project
tasks in 2010 (prior to the availability of 2011 BOB funds). The amount needed to solve this 2010
cash flow challenge would be resolved by the use of the remaining Truck Route funds.
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September 1, 2009
The ability to use the remaining Truck Route finds benefits the North College project in two aspects:
1. It would extend the project improvements further to improve safetyfor all modes
of transportation; and
2. It allows all the proposed improvements to begin construction in 2011, as
desired by the community.
The project team has met with the City's Finance Department to determine if there are other options
to provide funds for the right-of-way and design costs in 200912010. The Finance Department
supports the use of the Truck Route funding for this Project and has indicated there are no other
funding sources that would be appropriate to provide this funding bridge.
Unless additional funds are made available for the project in 200912010 (i.e., Truck Route), only
minor construction can begin in 2011. Construction for a majority of the North College
improvements would then start in 2012,when BOB funds become available. If the additional funds
are not transferred into the Project, the Project team can move forward with a limited construction
project at the Hickory/Conifer intersection with the funds currently secured for design in 2010.
The decision to transfer the Truck Route funds into another transportation capital project located
within the Northeast quadrant of the City falls under the purview of City Council and does not
require a citizen vote. (See Attachment 5 for the Truck Route ballot language.)
Project Schedule
The Project schedule was accelerated in response to requests from the North Fort Collins Business
Association and area property/business owners. The current project schedule is dependent on
funding right-of-way and design costs in 200912010:
2009 Planning, community engagement, visioning, alternatives analysis,
selection of preferred alternative, and development of prioritized
phasing plan for implementation.
200912010 Project engineering and rights-of-way acquisition.
2011 Construction begins.
Staff will continue to work with the Project team, including CDOT, the NFCBA, area
property/business owners, and City Council to advance the Project through the engineering, right-
of-way, and construction phases.
More detailed information regarding the North College Improvement Project is available on-line
at: www.fcgov.com/northcollege. "
Jeff Scheick,Planning,Development and Transportation Director,stated the conceptual design phase
of the North College Improvements Project will be completed with the adoption of the resolution.
The North Fort Collins Business Association and the Colorado Department of Transportation have
been key partners in this Project.
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September I, 2009
Jennifer Petrik,Transportation Planner,stated the current Project area runs along North College from
Vine Drive to the Hickory/Conifer intersection. The conceptual design has been developed with
much input from the community. One Project goal is to create a safe and effective travel corridor
for all users, including large trucks, passenger vehicles, bicycles, pedestrians and transit users.
Another goal is to create an attractive gateway to Fort Collins from the north and upgrade the image
of the North College Corridor. Construction is proposed to begin in 2011. Several public meetings
have been held, as well as many presentations to various boards and commissions. Due to funding
limitations, build-out of the Project is planned to be completed in phases as funding becomes
available. Through the public process,Phasing Option I has been the preferred option and includes
full edge improvements, starting at the south end of the Project area. Existing funding will allow
the Project to be completed to Pinion Street. The additional funding of$1.8 million from the Truck
Route funds will allow the Project to continue to just north of Hemlock Street. An additional $2.7
million in funding will enable the Project to extend to Conifer Street and another$1.55 million will
complete side-by-side left turn lanes, shared-use path, bike lanes and parkways at the
Hickory/Conifer intersection. Another$1.1 million completes the overlay,landscaped medians and
circulator alleyways. This phasing option is preferred by staff, the North Fort Collins Business
Association, the Transportation Board, the Planning and Zoning Board, property and business
owners, and the community.
Staff is also requesting Council approval to use the remaining$1.8 million in Truck Route funds to
fund the Project. In 2006,voters approved the use of the remaining funds for either continued efforts
for truck route relocation or a transportation capital improvement project in the northeast area of Fort
Collins. Using the Truck Route funds will enable the Project to extend farther north and enable the
Project to meet an accelerated schedule desired by the North Fort Collins Business Association and
the community. The Project is currently estimated to cost between $12 and $15 million. With
approval to use the remaining Truck Route funds, there is still a gap in funding of$4 million to $7
million.
Doug Hay, 1912 Welch Street,urged Council to approve the Project design and to use the remaining
Truck Route funds for the Project because the improvements will enhance and encourage further
development in the North College area.
Shane Miller,4325 Mill Creek,asked if more of the proposed future perimeter improvements could
be completed in this phase if the actual center asphalt overlay and median were completed in a later
phase. He requested that sidewalks, curb and gutter, stormwater, and bike lanes be completed for
the length of North College.
Mike Bellow,2309 Sunstone Drive,stated the proposed Project will meet the needs of the North Fort
Collins business community and he urged Council to adopt the resolution and ordinance to help
bridge the funding gap that exists with the Project.
DarleneWong,Vita Sana Project representative, stated the Vita Sana is a Latimer County project to
eliminate racial and ethnic chronic disease disparities by increasing physical activity in the Hispanic
community. The North College Project will increase opportunities for greater physical activity in
the area by improving pedestrian access.
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Councilmember Ohlson asked for the costs of extending the sidewalks from the end of the Project
at the Hickory/Conifer intersection to the College/Willox intersection. Petrik stated the preliminary
cost estimates to complete the street standards between Hickory and Willox are$15-19 million. The
cost of sidewalks, curb and gutter,bike lanes, and stormwater without the street improvements will
be provided to Council.
Councilmember Manvel asked if the medians will be added at a later date. Petrik stated the first
phase of the Project includes complete edge improvements but will not include the median or asphalt
overlay until a later phase. The existing funding provides complete edge improvements, including
curb and gutter, bike lanes, landscaped and streetscaped parkways, and shared-use path. The
repaving of College Avenue would occur when the median was put into place.
Councilmember Ohlson asked for clarification of the improvements included in Phase One of the
Project. Scheick stated Phase One includes complete edge improvements but will not include the
raised median or a finished pavement overlay.
Councilmember Roy asked for the costs to build the edge improvements to the Hickory/Conifer
intersection. Petrik stated another$1.55 million is needed to provide the bike lanes,curb and gutter,
landscaped median and shared-use path.
Councilmember Ohlson noted the funds for Phase One of the Project will be spent for edge
improvements and not for the median or street overlay so there are no funds available to extend the
edge improvements farther north. He asked for the costs to improve pedestrian pathways along all
of North College. Scheik stated staff would provide an estimate to install a sidewalk from the north
end of the Project to Willox.
Councilmember Roy made a motion, seconded by Councilmember Kottwitz, to adopt Resolution
2009-082.
Councilmember Manvel stated the public outreach done for this project has made a big impact on
the design of the Project. It will be quite a challenge to find the funding to complete the entire
project. The Plan will bring North College infrastructure in line with the rest of the city and will
encourage businesses to locate in the North College area. Pedestrian and bike access and safety is
needed, particularly at the Hickory/Conifer intersection.
Councilmember Roy noted the North Fort Collins Business Association has worked hard to give
back to the community and has actively participated in the development of the Plan. It is important
to provide pedestrian and bike access to the area to allow the residents every opportunity to be active.
Councilmember Poppaw stated the Project will allow the residents in the North College area to
safely use alternative modes of transportation.
Councilmember Ohlson stated the North Fort Collins Business Association has been very active in
working with staff to develop the North College area and its participation is a big reason why this
Project has moved forward.
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Councilmember Troxell stated the Project will create a gateway for North Fort Collins and will help
with the development of the north Fort Collins area.
Mayor Hutchinson stated North College has needed this type of improvement for a long time and
the design of the Project is excellent.
The vote on the motion was as follows: Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Councilmember Roy made a motion,seconded by Councilmember Poppaw,to adopt Ordinance No.
090, 2009 on First Reading.
Councilmember Manvel stated the use of the Truck Route funds is important to the Project because
those funds are available now and will allow the Project to start sooner. This Project aligns well
with the intent of the 2006 vote that allowed the funds to be used for projects located in northeast
Fort Collins.
The vote on the motion was as follows:Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
("Secretary's note: The Council took a brief recess at this point in the meeting.)
Resolution 2009-083
Approving the Posting of a Bond in Lieu of Payment of Street
Oversizing Capital Improvement Expansion Fees, Adopted
The following is staff's memorandum for this item.
"FINANCIAL IMPACT
The Resolution will defer the collection of approximately $85,000 in Street Oversizing Capital
Expansion Fees; these fees will be deferred for a period not to exceed 12 months from the issuance
of building permit.
EXECUTIVE SUMMARY
The Fort Collins Brewery has plans to develop a 34,000 square foot (SF) brewery and restaurant.
The project has faced several financial challenges, including below cost appraisals and construction
delays and, as a result, is short of funds. The business owner has asked the City to defer the Street
Oversizing Capital Expansion Fees associated with the proposed project to provide some reliefand
facilitate construction,for a period not to exceed 12 months from the issuance of building permit.
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September 1, 2009
BACKGROUND
Fort Collins Brewery (FCB) is a local craft brewery currently located in Lorimer County. The
brewery is planning a 34,000 square foot (SF) new building for expansion and relocation into the
City. The project includes a 30,000 SF craft brewery and a 4,000 SF restaurant, located at the
northwest corner of Lincoln Avenue and Lemay Avenue, within the Downtown Development
Authority (DDA) boundary. The project has been able to secure the necessary City approvals to
begin construction and anticipates beginning site work before the end of summer. However, the
construction loan provided by FCB's bank has been authorized for an amount lower than the
projected construction costs. As a result, the project is short of funds during the construction
period.
The City, through the Economic Health group, has been working on and off with FCB for the past
four years, to assist them with the development of a new, brewery and restaurant. Previous efforts
included using Private Activity Bonds to finance the project. This attempt failed due to inability of
the business to secure the necessary letter of credit. On February 12, 2009, the DDA approved Tax
Increment Finance (TIF)assistance in the amount of$539,918 ($324,525 for public improvements
in the right-of-way and $215,393 for facade improvements on the Lincoln and Lemay Avenue
facades). These funds provided by the DDA will be available once the City issues a Certificate of
Occupancy(CO) and the County certifies the value of the building. Therefore, these funds are not
available during the crucial construction period.
Tom Peters, President of Fort Collins Brewery, approached the City to discuss ways to assist the
project in overcoming the estimated shortfall, approximately $500,000. City staff recommended
phasing the project by delaying the preparation of a portion of the site for a future expansion
building. This adjustment saved the project approximately$100,000 in up front fees, which will be
collected when the expansion building is constructed in the future.
After much deliberation, the City determined it could also recommend Council consider deferring
the collection of Street Oversizing Capital Expansion Fees if the developer provided a bond as
security in place of the fees. The deferral would allow FCB to avoid paying approximately$85,000
in upfront fees. The deferral will authorize the collection of the fees 12 months from the issuance
of building permit. The developer has indicated that construction cannot be completed without
some relief of development fees.
Staff supports this recommendation for the following reasons:
1. FCB is a member of the Uniquely Fort Collins target industry cluster.
2. The business is moving from the County to City.
3. The business will locate within the "beer triangle" and reinforce this unique destination.
4. The project will add 4 primary jobs to the City (from the brewery expansion) and 20
additional support jobs (from the restaurant).
5. The project will contribute to the DDA by providing additional assessed value.
6. The bond provides a remedy for collecting the fees if the project should fail, making the
recommendation not a typical deferral or waiver of fees.
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September 1, 2009
The remaining portion of the approximately 5500,000 shortfall has been closed through value
engineering the construction of the brewery and restaurant. FCB has carefully considered the DDA
improvement, and also the overall value of the completed building, so as not to adversely impact the
value of the proposed building. The following steps have been taken to reduce construction costs
or value engineer the project:
1. FCB removed the insulated foam metal roof panels in exchange for a banded insulation
package in the pre-engineered portion of the building. NOTE: This type of panel has NOT
been removed from any of the walls.
2. FCB engineered the mechanical and electrical systems to be constructed more efficiently and
has requested additional discounts from the manufacturers of all mechanical and electrical
equipment. So far, most have offered discounts to put their equipment on this higher profile
project.
3. FCB has removed the decorative stone retaining walls on the upper portion of the detention
pond in favor of a poured concrete wall. This provides a better structure and with
decorative inserts installed on the forms, this will provide a very unique exposed concrete
pattern.
4. FCB has further negotiated with all subcontractors for best pricing. All have responded
with acceptance in offering lower prices than originally quoted, due to shortage of work in
these current economic times.
5. FCB is working with a smaller, independent, local contractor to minimize the contractor
operating and prof t numbers. "
Josh Birks,Economic Advisor,stated the City has been working for some time with the Fort Collins
Brewery to assist with its expansion project. The Downtown Development Authority has approved
just over $500,000 in tax increment financing to assist the project. The Brewery has secured the
necessary City approvals to begin construction of the project; however, in the process of securing
financing for the project,the appraisal for the construction loan fell short. The Brewery is requesting
deferral of the street oversizing fees of approximately$85,000 for twelve months. A developer bond
will be provided for$85,000,in case the project is not completed. The Brewery will be able to move
forward to completion, with the deferral of the fees.
Councilmember Manvel asked if street oversizing fees could be collected if the project were not
completed. Birks stated street oversizing fees are collected when a building permit is issued,
whether or not the project moves forward. Freeman stated some development fees are reimbursed
to a developer if the project does not move forward,but street oversizing fees are not reimbursed for
any reason.
Councilmember Manvel asked for the cost of procuring the bond. Birks stated a surety bond will
be issued and will cost a few thousand dollars to secure, but the cost of the bond is not a large part
of the financing fees for the project.
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Councilmember Troxell asked if the Brewery will be able to pay the fees once the project is
completed. Birks stated the company has the track record to prove it can be successful and staff has
researched the financial stability of the company.
Councilmember Ohlson noted the Council Finance Committee supported the deferral of fees for the
Fort Collins Brewery. City Manager Atteberry stated the Brewery will be locating within the City
limits and will be a good addition to the city. The Council Finance Committee was very supportive
of providing assistance for this project.
Mayor Hutchinson asked if requiring the company to provide a bond will provide greater security
to the City than the fees will be paid. Birks answered in the affirmative.
Councilmember Ohlson asked if the steps taken to reduce construction costs will affect the
requirements necessary for the project to receive DDA funds and if the project will still meet the
City's aesthetic standards. Matt Robenalt,Downtown Development Authority Executive Director,
stated the steps taken to reduce construction costs will not affect any improvements the DDA is
funding, such as the facade improvements and the public improvements.
Tom Peters, Fort Collins Brewery owner, stated the steps taken to reduce construction costs for the
project did not sacrifice any aesthetic considerations or requirements from the DDA to receive TIF.
The issue has been that funding for construction has tightened significantly in the past year and
appraisers and financial institutions are being very conservative in their loans. Once the project is
built and the DDA funds are received,the funds to pay the fees will be available. The retaining wall
for stormwater purposes will be heavily landscaped and will be attractive. The retaining wall will
be poured concrete with stamped patterns in the concrete and will eventually be covered with ivy.
Councilmember Roy made a motion, seconded by Councilmember Troxell, to adopt Resolution
2009-083.
Councilmember Manvel stated deferring the City's fees with the protection of a bond is a good way
to allow the project to move forward and to benefit the City.
Mayor Hutchinson noted the City is enabling aproject to move forward that will benefit Fort Collins.
The vote on the motion was as follows: Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Resolution 2009-084
Appointing Two Representatives to the Colorado
Municipal League Policy Committee, Postponed to September 15, 2009
The following is staff s memorandum for this item.
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September 1, 2009
"EXECUTIVE SUMMARY
Appointments to the CML Policy Committee are made each fall and members serve for a one-year
period. Each member municipality of the League is entitled to a representative, and all cities over
100,000 are entitled to designate two representatives.
The Policy Committee is responsible for reviewing legislative proposals and recommending to the
League Executive Board, positions of support, opposition, no position or amendment to a wide
variety of legislation affecting cities and towns. At each annual conference in June, the Policy
Committee proposes to the membership, revisions to the League's policies which guide League
positions on public policy issues affecting municipalities.
The Committee meets three or four times a year, before and during legislative sessions as well as
in May prior to the annual conference.
This Resolution appoints one Councilmember, to be selected at this meeting, and City Manager
Darin Atteberry to represent the City of Fort Collins on the Colorado Municipal League Policy
Committee. "
Eric Sutherland, 631 LaPorte, stated the City Manager, as an appointed City official, should not be
in the position to create legislative policy for Fort Collins. Two Councilmembers should be
appointed to the Policy Committee. An appointed City official,the Utilities Executive Director,also
should not sit on the Platte River Power Authority Board.
Shane Miller,4325 Mill Creek,stated boards or committees composed of elected representatives are
more responsive*to citizens than having an appointed City official on a committee.
Mayor Hutchinson noted the composition of the Platte River Power Authority Board is specified in
the organic contract.
Councilmember Ohlson stated two Councilmembers would like to serve on the Policy Committee
and should be allowed to do so in place of the City Manager serving on the Committee.
City Manager Atteberry stated the Policy Committee has many city managers and legislative affairs
directors from other cities across Colorado.
Mayor Hutchinson asked if there was any requirement that one representative be a city official. City
Manager Atteberry stated there is no requirement that a city be represented by one elected official
and one staff. The City has had one elected official and the city manager as its Policy Committee
representatives for many years. The City Manager is not making policy at the Committee but is
communicating Council's policy to the Committee. It is a good balance to have staff and a
Councilmember on the Committee.
Councilmember Kottwitz asked for a description of the CML Policy Committee functions.
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Councilmember Manvel stated the Policy Committee meets two or three times each year to discuss
legislative issues facing the Colorado Municipal League and whether CML should take a stand on
certain issues. The City Manager is not making policy but is participating in a discussion to state
the City's policies for the Committee.
Councilmember Troxell stated issues that come before the state legislature might impact local
control and CML will work to defeat those issues so cities and municipalities can retain local
decision-making capabilities.
Councilmember Manvel stated the City Manager is better informed in many areas of City policy and
it is valuable to have that knowledge at the CML Policy Committee meetings.
Councilmember Roy asked for the number of elected officials and staff that comprise the Policy
Committee. City Manager Atteberry stated that information will be provided.
Councilmember Roy made a motion, seconded by Councilmember Manvel, to postpone
consideration of Resolution 2009-084 to September 15 to allow time for staff to provide information
about the make-up of the Committee. Yeas: Hutchinson,Kottwitz,Manvel, Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Ordinance No. 082, 2009,
Appropriating Unanticipated Grant Revenue in the Transportation Services Fund
to Fund the 2009-2010 Safe Routes to School Project, Adopted on Second Reading
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
The City of Fort Collins Transportation Planning Department has received a federal grant through
the Colorado Department of Transportation (CDOT)for the FY 2009-10 Safe Routes to School
(SRTS) Program. This program will target students, parents, and teachers at Bennett IB World
School, Dunn IB World School, McGraw IB World School, Tavelli Elementary, and Lesher Middle
School in a collaborative effort to increase the numbers ofchildren bicycling and walking to school.
This Ordinance, unanimously adopted on First Reading on August 18, 2009, appropriates the funds
from this grant. "
Matthew Wempe, Transportation Planner, stated Safe Routes to School is an outreach and
partnership program administered by the City's Transportation Planning Department and is
coordinated with Poudre School District and Traffic Operations, Engineering, FC Bikes and Police
Services. Staff coordinates with the individual schools chosen to be in the program and also works
with the PSD Facilities Department, which has jurisdiction over all improvements to PSD school
sites and with the PSD Transportation Department, which focuses on the crossing guard program,
funded by the City. The federal Safe Routes to School program focuses on kindergarten through
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eighth grade, with the basic goal of making it easier for children to walk and bike to school by
focusing on education, engineering, encouragement, enforcement, and evaluation. Volunteers to
teach the League of American Bicyclists certified curriculum are an essential component of the
program but are difficult to find. Many volunteers from the participating schools and parent
involvement are also necessary for the encouragement portion of the program. Staff is preparing the
grant application for next year's funds and is looking at ways to structure the funds to be used
districtwide and not limited to just a few schools. Staff is also attempting to expand education
partnerships and to hold more classes on bicycle safety. Part of the grant funds will be used for
Bicycle Colorado to work with staff on school site audits at the five schools and provide education
at those schools. Other funding sources could be used for education,but have not yet been allocated
in the 2010 budget.
Jacqueline Natrasevschi, 3608 Jaguar Place, asked if the grant funds could be allocated differently
to ensure children get to school safely. Funds should be spent on more school zone enforcement,
crosswalks,greater media involvement and more education. The funds should not be spent on prizes
for the children. Use of cell phones while driving should be banned.
Rick Price, Bike Fort Collins Boardmember, 1925 Wallenberg Drive, stated the project is only a
beginning to increase bicycling in Fort Collins. Education of students and drivers is essential to
improve bicycling safety.
Eric Sutherland, 631 LaPorte, stated the needs within the City's infrastructure should be addressed
to improve pedestrian and bicycle safety to provide better bike lanes and crosswalks.
Councilmember Roy asked if the contract from CDOT was provided to Council. Wempe stated
CDOT issued a purchase order and did not require a contract this year because the amount of the
grant was under $50,000. The ordinance appropriates the funds that are already authorized at the
state level. The allocation of the funds is subject to terms of the grant application submitted by staff.
Councilmember Roy asked if Poudre School District has provided matching funds for this program.
Wempe stated Poudre School District has not committed any funding to the program but will use
facility funds if any infrastructure changes are identified as a result of this program. The grant does
not have a matching fund requirement for the City or PSD. Kathleen Bracke, Director of
Transportation Planning and Special Projects, stated the $38,500 grant from CDOT did not require
any matching dollars. The City and PSD have committed considerable staff time to the Safe Routes
to School Program. City Manager Atteberry stated he will speak with the PSD Superintendent about
actions that can be taken to help students get to school safely.
Councilmember Roy asked if every school zone had a speed limit of 20 miles per hour. Joe Olson,
City Traffic Engineer, stated all school zones are limited to 20 miles per hour, but not every street
around every school is included in a school zone. City Manager Atteberry stated staff can provide
information about the time and budget requirements needed to do an existing conditions analysis and
to prioritize the improvements needed to provide the next steps to improve traffic safety around
schools. This information could be used to determine if a budget enhancement offer is needed for
the 2010-2011 budget.
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Mayor Hutchinson asked if the City has any flexibility in how the CDOT grant is used. Bracke
stated the grant was written specifically to meet the guidelines for the Safe Routes to School program
and targets the five schools listed. Staff is looking for other funding sources to supplement the
CDOT grant to be able to expand the Safe Routes to School Program to all schools.
Councilmember Poppaw asked what percentage of the grant money will be used for safety education.
Wempe stated approximately$18,000 of the grant will be used by Bicycle Colorado for education,
using the League of American Bicyclists certified curriculum, at each of the five schools. The first
lesson at each school focuses on rules of the road and bike and walking safety. The second lesson
involves hands-on training using bicycles and also teaches walking safety to the schoolchildren.
Councilmember Poppaw asked how many instructors are paid or are volunteers for the safety
education classes. Wempe stated Bicycle Colorado is directing the education program and provides
several certified instructors that are paid with grant funds. Volunteers are not used much because
the volunteer must also be certified as a League of American Bicycle instructor. Bike Fort Collins
is working to expand its number of instructors, but not many volunteers are available. The Bike
Coop contract provides for payment of$400 to an instructor per event to teach education classes.
Councilmember Poppaw asked for details on how the $18,000 will be used'and the use of the
remaining $20,000 in grant funds.
Councilmember Poppaw asked where more school zones will be implemented. Olson stated the City
is making a determination of where school zones should be located as a priority. The analysis will
include pedestrian crossings around the city and will help the City develop guidelines for placement
of pedestrian crossings and school zones. .
Councilmember Poppaw asked for the cost of the lighted crossing near Fort Collins High School and
she noted the addition of the crossing light has made a very positive impact for the area, allowing
students to safely cross the street. Olson stated the cost is from $10,000 to $30,000 to install a
crossing light.
Councilmember Ohlson asked what requirements PSD has for new school construction to address
safety issues. PSD should be responsible for the cost of implementing safety measures at the schools
and the City should not be expected to pay for those costs.
Councilmember Poppaw stated partnership with PSD will be necessary to address the safety issues
raised. The bicycle community should also be engaged in solving the safety issues.
Mayor Hutchinson noted the ordinance appropriates the funds provided by CDOT for the Safe
Routes to School program for the five schools listed in the ordinance.
Councilmember Kottwitz,made a motion,seconded by Councilmember Troxell,to adopt Ordinance
No. 082, 2009 on Second Reading.
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September 1, 2009
Councilmember Ohlson made a friendly amendment to request a work session to discuss traffic
safety, speed limits, school zones, and children's safety to and from school. Councilmember
Kottwitz accepted the friendly amendment.
Councilmember Troxell stated the work session discussion should include ways to encourage bike
riders to obey the rules for their own safety. The Bike Plan will help address some of the safety
issues.
The vote on the motion was as follows:Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Ordinance No. 087, 2009,
Appropriating Prior Years Reserves in the Downtown Development Authority
Fund for Expenditure on Projects in Accordance with the
Downtown Plan of Development, Adopted on First Reading
The following is staff s memorandum for this item.
"FINANCIAL IMPACT
The DDA Board has authorized expenditure on the following projects or programs which will be
funded with this appropriation:
1. Arts and Culture Investments
• Purchase of Warehouse for Use by Lincoln Center Non-profit
Performance Groups $1,800,000
• Bas Bleu Theater Lease 220,000
• Lincoln Center Rental and Tech Fees Underwriting 144,063
2. Mitchell Block Public Improvements 427,502
3. Elks Building Environmental Abatement and Deconstruction 421,000
4. Facade Grant Program—Funding 350,000
5. Fort Collins Housing Authority Project 53,813
6. Relocation of Transcend Sculpture 50,000
7. Holiday Lights Display Contribution for 2009 35,00
$3,501,378
EXECUTIVE SUMMARY
This Ordinance appropriates unanticipated revenue from interest earnings in the amount of
$33Z 044,from project savings in the amount of$1,555,249; and from the transfer of funds from
projects not currently readyfor reimbursement to projects or programs that are ready in the amount
of$1,614,085. The Downtown DevelopmentAuthority(DDA)Board has authorized the expenditure
on the various projects and programs.
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BACKGROUND
The Downtown Development Authority was created in 1981 with the purpose, according to State
statute, of planning and implementing projects and programs within the boundaries of the DDA.
The DDA and City adopted a Plan of Development that specifies the projects and programs the DDA
would undertake. In order to carry out the purposes of the State statute and the Plan of
Development the City, on behalf of the DDA, has issued various notes and tax increment bonds. The
first issuance of tax increment bonds occurred in 1984, with subsequent issues through 2008.
Over the past year,proceeds from DDA tax increment f nancing(TIF) revenues that have not been
spent have accumulated interest earnings. These funds, as well as the project savings, need to be
appropriated for expenditure. The amount of interest earnings is currently 5332,044 and project
savings is $1,555,249. Also, the DDA needs to transfer bond funds from projects that are not yet
ready for reimbursement to those projects that have accelerated schedules and soon ready for
reimbursement. These funds, in the amount of S1,614,085, need to be appropriated for expenditure.
Staff has provided a summary for each projector program. All the projects/programs listed for
funding through this appropriation have been approved by the DDA Board of Directors. All
approvals by the DDA Board are made contingent upon City Council appropriation of these funds
to fulfill the Authority's commitment to the projects. With the exception of those projects or
programs which are purely public in nature, no DDA expenditures are to be made until projects are
completed and have received certificates of occupancy from the City.
1. Arts and Culture Investments
a. Purchase of Warehouse for use by Lincoln Center Non-profit Performance Groups
b. Bas Bleu Theater Lease
c. Lincoln Center Rental and Technical Fees Underwriting
In April 2009, the DDA Board was presented with a proposal and rationale for broadening its
investments in downtown non-profit arts, cultural and scientific organizations. These organizations
contribute to the diversity of experiences available to Fort Collins residents and visitors and to the
cultural and economic vitality essential to preserving a community quality of life and a healthy,
vibrant downtown.
According to Arts and Economic Prosperity III, 2007, a study conducted by the Americans for the
Arts, and funded by the DDA, the local economic impact of the arts was nearly 516,000,000 in 2005.
Audience spending was estimated at 510.6 million, and arts and culture organization spending was
55.3 million, a 2:1 ratio. Nationally, "the arts and culture industry, unlike many industries,
leverages a significant amount of event-related spending by its audiences. Attendance at arts events
generates related commerce for local businesses such as restaurants,parking garages, hotels and
retail stores" (Arts and Economic Prosperity III, 2007).
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The City of Fort Collins Citizen Survey, published in December 2008, indicated that 63% of
respondents thought the "availability and diversity of arts and cultural activities" in Fort Collins
was "very good"or "good " This rating was considered "above average"in comparison to other
communities on a national level, but "similar" in comparison to other Front Range communities.
In one sense, these comparative results on the national level speak to the strengths of our
art/cultural offerings. However, the "similarity"rating with other Front Range communities reveals
that if these activities are not available in Fort Collins, local audiences would not have to travel far
to find comparable activities in another community.
The challenges ofthe current economy have placed several long-standing arts and culture non-profit
groups that drive economic activity in the downtown in a position of having to decide whether to
curtail their performance schedule and/or find locations outside the main venues of the Lincoln
Center to hold their performances. The concern this raises for the DDA is that if destination
activities created by the local arts/culture and scientific non-profit organizations diminish in
diversity and frequency, so likely does the ancillary expenditures on shopping, dining, lodging and
other services.
The DDA investments are intended to continue the development of arts/culture activities that attract
audiences that drive ancillary economic activity in the downtown. The investments were made using
the following rationale:
1. Meets the statutory requirements and limitations of Title 31, Article 25, Part 8 of the
Colorado Revised Statutes, as amended, regarding Downtown Development
Authorities;
2. Demonstrates public benefit in the investment ofDDA funds within the DDA boundary;
and
3. Assists in the inducement of financial viability of non-profit arts/culture and scientific
organizations that produce and/or exhibit their offerings in the downtown to create the
following impacts:
• Effectively promote Downtown Fort Collins as an attractive place to live and
visit
• Provide a positive economic impact on ancillary downtown businesses
(retail, restaurants, and providers of recreational opportunities, attractions
and services)
• Bring external dollars into the Fort Collins community
• Generate overnight stays in lodging properties within the Fort Collins city
limits.
1. Arts and Culture Investments
a. Purchase of a Warehouse for Use by Lincoln Center Non-profit Performance Groups
The DDA is under contract to purchase a warehouse located at 725 East Vine Drive and is
conducting standard due diligence inspections. The closing is scheduled for late September.
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The purpose of this purchase is to provide a permanent facility that would be made available at no
charge to Fort Collins based non profit performance groups that utilize the Lincoln Center's mini-
theater and performance hall. Those groups holding the mostfrequent performances were engaged
by the Lincoln Center staff to develop space utilization ideas.
The warehouse use plan would address: set construction and storage, costume construction and
storage, prop construction and storage, set dressing/furniture storage, staging area, painting
staging area/paint storage, rehearsals, meetingrooms, office%ommonsarea. The warehouse would
not be available for performances: free, ticketed, or other forms of fee-structured activities. The
DDA believes it is imperative to keep all performance activities focused in the venues located in the
central business district where the ancillary economic impact on restaurants, retail stores, and
lodging is greatest.
Originally, the DDA looked at leasing the warehouse for five years, but the current sale price was
slightly less than twice the cost of the five-year lease, so the DDA Board chose to take advantage
of the low sale price and invest in ownership of the facility.
Benefits of the warehouse purchase: The warehouse will provide functional space needed by the
performance and theatrical groups to undertake intensive behind-the-scenes preparation for
performances. These modest, but important savings to individual non profits resulting from the
DDA investments are likely to be invested by the performance groups to create higher quality sets,
costumes, props, and for purchasing the rights to produce a broader range of performances, and
thus offer new and enhanced experiences to local audiences. The success of the non profits will also
gain the ancillary audience expenditures in other downtown entertainment businesses, such as
restaurants and retail stores.
Second, the Lincoln Center staff involvement in the oversight of the warehouse will provide an
opportunity to coordinate with the groups in the design and construction of sets and other major
props. The opportunity for greater coordination will create efficiencies and savings in time and
expense when transporting and assembling the sets at the Lincoln Center.
The performance groups that will use the warehouse mostly operate today from scattered sites such
as private garages and basements, or donated spaces that are available only until such time as a
paying tenant displaces them. Access to this warehouse facility will create a greater sense of
permanence and predictability for the performance groups.
Additionally, an opportunity for cross-collaboration in many of the theatrical production steps will
likely grow from the clustering of staff and volunteer talents. Other communities that have created
this type of shared production facility often see the emergence of idea and resource sharing that
leads to discussions and partnerships that enrich the skill sets of other groups. It is possible one
group that has a great production department could share ideas and services with another group
that is very experienced and efficient in advertising and marketing. By discussing operations,
comparing notes, and making some resources available to other performance groups, it is likely that
all the groups will become more equipped to make quick innovations and more efficient utilization
of their financial resources.
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September 1, 2009
Looking further into the future, it is possible that small businesses that support theatrical and
performance activities in this facility might emerge from the cross-collaboration efforts and
entrepreneurial endeavors of those involved.
b. Bas Bleu Theatre Lease
The DDA Board approved a lease agreement with Bas Bleu Theater for a term of l0 years to provide
time and access,free of charge, to user groups that desire to utilize either the lobby space or theater
hall. The lease agreement provides for:
1. The DDA's lease payment of$220,000 (one-time) will be guaranteed by a promissory note
and secured by a deed of trust.
2. Use of a graduated payment schedule that pays the DDA back through "time and use"of the
building on an annual basis and is equivalent to approximately $22,000 per year.
3. Assumption of$8.00 per square foot remains the basis of the lease rate, as this is the lower
end of market lease rates for space in the River District.
4. Amount of space in the building available for use by other groups is 2,400 square feet
(lobby) and 4,380 square feet (theatre) for a total of 6,780 square feet.
5. Time available for use of the lobby and theatre:
a. Theatre. The theatre shall be available for a minimum of 130 days per master calendar
year (August 1 through July 31).
1. Full Use of Stage Full use of the theatre stage must be possible on 21 of the.
130 Theatre Days. Such 21 days shall be divided into three (3) blocks of
seven (7) consecutive days on the master calendar. During these days the
theatre stage shall be completely vacant, such to allow a full theatrical
performance thereon.
ii. Partial Use of Stage: Partial use of the theatre stage must be possible for the
remaining 109 of the 130 Theatre Days.
b. Lobby. The Lobby shall be available for a minimum of 173 days per master calendar
year.
c. Hours of Availability. Generally, the lease provides for access during the following
hours: (1) Theatre Days: 2:00 P.M. to 11:00 P.M; and(2) Lobby Days: 8:00 A.M. to
5:00 P.M. These hours of availability are minimum requirements; Bas Bleu is free to
permit additional hours of use at its discretion.
6. Provides for an escrow period that requires Bas Bleu to hold back$10,000 of DDA lease
payment for of up.to 12 months to make any necessary Americans with Disabilities Act
improvements to the facility.
7. Outlines minimum obligations of Bas Bleu for:
a. Title Commitment and Title Insurance
b. Insurance requirements
c. Scheduling the space
d. Maintaining leased space in good condition
e. Ensuring DDA and other users have access to the space during scheduled times
f. Providing a minimum level of lobby furniture and trash receptacles
g. Providing basic utilities and climate control for users
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September 1, 2009
h. Requiring a user to sign a User Agreement,provide a security deposit, and insurance
for users of the theatre space when necessary.
I. Access to limited theatre equipment and bathrooms
j. Charging fees for technical services when users require the use of theatrical lights and
sound system, box office services, and other voluntary services that Bas Bleu agrees
upon with the user.
8. Establishes a buy-out option for Bas Bleu, effective in 2015, and a formula for determining
the remaining value of the DDA's payment.
9. Establishes reporting requirements of Bas Bleu for keeping DDA informed of its master
calendar schedule.
10. Establishes posting requirement on Bas Bleu website announcing availability of leased
spaces.
11. Establishes Right of First Offer/First Refusal
12. Defines when parties are in default of lease agreement.
Benefits of Lease: Bas Bleu Theatre is the second largest performance venue in the downtown and
activity at the facility contributes to ancillary economic impact in other downtown businesses such
as retail shops and restaurants through audience spending. DDA investment in the facility through
this lease will make the space available to a broader group of users, and increase the number of
days the facility is in operation, thereby increasing the positive economic impact on other downtown
businesses.
Several user groups have contacted Bas Bleu staff or DDA staff in anticipation of the space
becoming available through this lease agreement. The groups expressing interest include a local
dance company, magician group, Colorado Contemporary Music College, Beet Street, Sandbox
Stories Theatre Performances, KLIK Student Radio, and Tri-Media Film Festival. This is a great
start considering there has been no active marketing to advertise availability of the space.
C. Lincoln Center Rental and Technical Fees Underwriting
The DDA Board has approved a program that will underwrite the rental and technical fees at the
Lincoln Center for Fort Collins-based non profit users of the Performance Hall and the Mini
Theatre for the remainder of the 2009 season, and three additional performance seasons: 2010-11,
2011-12, and 2012-13. Lincoln Center will invoice the DDA for rental and tech fees charged to
eligible user groups. The amount of$144,063 will cover the 2009 season.
The DDA and Lincoln Center staff jointly developed guidelines and criteria for an
intergovernmental agreement related to the underwriting of rental and technical fees. Specifically
these are:
• eligibility criteria
• application submittal requirements
• user guidelines,
• accounting and reporting logistics
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September 1, 2009
2. The Mitchell Block Project
The Bohemian Companies, LLC is constructing a 35,754 square foot office building, known as the
Mitchell Block. The DDA Board committed funding to enhanced improvements in the public right-
of-way, such as paver sidewalks, anew plaza and seating area at the corner of East Mountain and
Walnut Street, and an enhanced public "alleyway" that is complementary to the DDA 's alley
enhancement program and for facade improvements to the EDAW/Food Co-Op building.
3. Elks Building Abatement and Deconstruction
In 2008, the DDA Board purchased the Elks Building for its site redevelopment potential in
conjunction with the Corporex Hotel project. The Corporex Hotel project is no longer moving
ahead as a result of the developer's inability to obtain financing, but the DDA Board did not want
to allow the Elks building to sit vacant and as an eyesore to the downtown despite the loss of the
hotel development project.
After completing an extensive evaluation of the building to determine the cost ofplacing it back into
use for gatherings, such as general community meetings spaces, it was determined there was
approximately$1 million in deferred maintenance that would need to be addressed just to put the
building back into use for a period of 5 years. The Board decided that deconstruction of building,
and utilization of the land for interim surface parking was the most logical use until such time the
site is identified for use in another DDA redevelopment project or sold for private development.
The abatement and deconstruction funding provide for remediation and authorized disposal of
known environmental hazards in the building and for deconstruction of the building, resulting in a
very high level of reuse and recycling of building materials.
4. Facade Grant Program Funding
In 2006, the DDA Board established the Facade Grant Program, which offers grants of up to 50%
of facade improvement expenses to owners of buildings who have not participated in previous tax
increment facade improvement projects. The original grant program funds are nearly depleted and
have positively affected the private sector investment in 10 buildings for a total of 16 facade
enhancements.
This funding reestablishes a fund balance and provides for the second generation of this program.
5. Fort Collins Housing Authority Project
The DDA Board committed funds to the Fort Collins Housing Authority facade improvements at its
qualified affordable housing facility, located at 366 East Mountain Avenue.
6. Relocation of Transcend Sculpture
On behalf of the City of Fort Collins, the City Council recently accepted the gift of the sculpture,
titled Transcend, from the David and Sharon Neenan's family foundation. The DDA Board has
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September 1, 2009
approved funding to pay for the costs associated with relocation of the sculpture from Old Town
Square to its new location at 215 North Mason.
7. Holiday Lights Display Contribution for 2009
The Downtown Development Authority partners with the City of Fort Collins and the Downtown
Business Association, through a contract with Swingle Tree &Landscape, to install the Downtown
holiday light display. This amount will cover the DDA 's contribution for the 2009 holiday display
season.
Councilmember Ohlson noted the DDA is purchasing a warehouse for use by non-profit performance
groups at no cost to the groups and he asked if this policy of"no charge"to the non-profit groups
will be a permanent arrangement. Matt Robenalt, Downtown Development Authority Executive
Director, stated the DDA originally intended to lease the warehouse for five years to provide space
to various local, non-profit performance groups, but Board decided to purchase the building as an
investment. Several of the user groups that will be housed in the building are interested in discussing
the possibility of purchasing space within the building. The DDA does not intend to offer free space
to the various groups for an indefinite period of time.
Councilmember Ohlson asked if the use of the warehouse space will be limited to local non-profit
performance groups that currently utilize the Lincoln Center facilities. Robenalt stated 24 non-profit
groups currently use the Lincoln Center for performances. Approximately six of those groups have
intensive production activities that will use the warehouse space. Other performance groups will
have the ability to access the warehouse for short-term use. The Lincoln Center will assist in
management of the warehouse space.
Councilmember Manvel asked if the Raptor Center will continue to use part of the building.
Robenalt stated the Raptor Center is an existing tenant in the warehouse space and will continue to
rent space in the building.
Councilmember Troxell asked why additional funding was being allocated to the deconstruction of
the Elks Building when funds were previously appropriated for the removal of the building from the
site. Kathy Cardona,Downtown Development Authority Financial Coordinator,stated the original
purchase price included a brief survey of the costs to deconstruct the building. The actual cost of
abatement and deconstruction were not appropriated at that time. Robenalt stated the purchase price
of the property was $2.8 million.
Councilmember Roy made a motion,seconded by Councilmember Poppaw,to adopt Ordinance No.
087, 2009 on First Reading.
Councilmember Manvel stated the purchase of the warehouse is an excellent investment and is a
wise use of DDA funds.
Councilmember Troxell asked for clarification of the use of the funds provided for the purchase of
the Elks Building.
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September 1, 2609
The vote on the motion was as follows:Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Ordinance No. 088, 2009,
Adopting Updated Rules and Regulations Governing Grandview and Roselawn
Cemeteries to Allow Green Burials at Roselawn and
to Make Minor Language Improvements, Adopted on First Reading
The following is staffs memorandum for this item.
"EXECUTIVE SUMMARY
The community interest in green burials is growing. Green burials are burials without embalming,
without burial vault, using casket made ofnon-toxic, biodegradable material or a biodegradable
burial shroud. The surfaces of the graves are unadorned, unirrigated turf with simple memorial
markers. The adoption of this Ordinance changes the Cemetery Rules and Regulations to allow
green burials at Roselawn Cemetery. Unlike Grandview Cemetery, Roselawn has land that can be
dedicated to green burials. The other changes to the Rules and Regulations are simple housekeeping
measures. The last major update was completed in May 2005.
BACKGROUND
There has been increasing interest in the community for green burials. Two funeral homes in the
community are certified Green Funeral Homes. The Cemetery will develop a new Garden of
Harmony at Roselawn for green burials. Green burials will be allowed at Roselawn Cemetery in
the Garden of Harmony section only. Green burials are described as burials without embalming,
without a burial vault, using a casket made ofnon-toxic, biodegradable material or a biodegradable
burial shroud. The requesting party must waive any right of disinterment of the remains. The grave
size will be 6ft. by 10 ft., memorials will be flat(grass marker)not larger than 2 ft. by I ft. by 4-inch
granite only. No floral vases will be allowed. The section will not be irrigated and maintenance
will be minimal. No plantings of any kind will be allowed.
Additional changes to the Cemetery Rules and Regulations are proposed.-
Amend the definition of"disinterment. "
• Add a definition of"green burials. "
• Change CLRS to CPRE, Culture, Parks, Recreation and Environment.
• Provide that the City Manager establishes rates,fees and charges(instead of City Council)
and directs their expenditure.
• Add the words "except green burial" in the burial receptacle requirements.
• Change the shape of the insignia on the crypt shutters.
• Omit the word "bonded" when referring to monument dealers.
• Add the name of"Harmony" to the list of sections that have flat monuments.
• Give future sections at Roselawn names instead of numbers.
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September 1, 2009
• Omit 14.3.11 (dealing with the type of memorials and monuments allowed in burial Section
6) as it is addressed in a previous rule.
• Change the word "lot" to "burial space" in section 14.3.15.
• State that the Garden of Harmony will have no concrete used in the setting of memorials.
• Amend Sections 11.24, 12.2, 12.3, 12.6, and 12.7 to clarify requirement for interment and
disinterment of cremated remains. "
City Manager Atteberry stated Mr. Martinez pulled Item#12,First Reading of Ordinance No. 088,
2009, Adopting Updated Rules and Regulations Governing Grandview and Roselawn Cemeteries
to Allow Green Burials at Roselawn and to Make Minor Language Improvements, but has had his
questions answered.
Councilmember Roy made a motion,seconded by Councilmember Manvel,to adopt Ordinance No.
088, 2009 on First Reading. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and
Troxell. Nays: none.
THE MOTION CARRIED.
Other Business
Councilmember Poppaw asked for information about the Amtrak Pioneer Service and the rerouting
of the BNSF railroad. Several Front Range cities have sent letters of support to Amtrak for this
service. City Manager Atteberry stated staff will provide information.
Councilmember Poppaw stated the Platte River Power Authority has sent a letter to Representative
Markey, urging her to vote "no" on the American Clean Energy and Security Act of 2009. Brian
Moeck,Platte River General Manager,has indicated to Councilmember Poppaw that the Platte River
Board did not specifically authorize the letter to Representative Markey. She asked what measure
of control do member cities and the Platte River Board have over political positions taken by Platte
River.
Mayor Hutchinson noted he is Vice-Director of the Platte River Board and the Board did discuss the
letter. Much of the language in the letter was technical observations of difficulties in the bill and
suggestions to correct those difficulties. The letter did request Representative Markey vote"no"on
the bill. He suggested Council have a work session to discuss the governance model of Platte River.
Councilmember Poppaw stated the City of Fort Collins did not support the position taken in the letter
sent by Platte River. She noted Mr.Moeck also sent a letter to the staff of Senators Udall and Bennet
that delineates concerns that do not agree with the position held by the City of Fort Collins.
Councilmember Ohlson supported sending a letter to Representative Markey indicating that the City
of Fort Collins did not support the position taken by Platte River and has not taken an official
position on the bill.
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September I, 2009
Mayor Hutchinson noted Representative Markey has already voted on the bill. A work session will
clarify the governance model of Platte River.
Councilmembers Roy and Poppaw supported sending a letter to Representative Markey,stating this
Council did not support the position taken by Platte River.
Mayor Hutchinson stated holding a work session to discuss the Platte River governance model would
be more beneficial than sending a letter to Representative Markey.
Suspension of Rules
Councilmember Manvel made a motion,seconded by Councilmember Roy,to suspend the rules and
extend the meeting past 10:30 p.m. Yeas: Hutchinson,Manvel,Ohlson,Poppaw, and Roy. Nays:
Kottwitz, Troxell.
THE MOTION CARRIED.
Executive Session Authorized
Councilmember Ohlson made a motion, seconded by Councilmember Roy, to go into Executive
Session, as permitted by Section 2-31(a)(2) of the City Code for the purpose of meeting with the
attorneys of the City and affected members of City staff to discuss potential litigation. Yeas:
Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
("Secretary's note: The Council went into executive session at this point in the meeting.)
Adjournment
Councilmember Roy made a motion, seconded by Councilmember Manvel, to adjourn the meeting
to 6:00 p.m., Tuesday, September 8, 2009.
The meeting adjourned at 11:45 p.m.
Mayor
ATTEST:
City Clerk
342
September 8, 2009
COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
Council-Manager Form of Government
Adjourned Meeting- 6:00 p.m.
An adjourned meeting of the Council of the City of Fort Collins was held on Tuesday, September
8, 2009, at 6:00 p.m. in the Council Chambers of the City of Fort Collins City Hall. Roll Call was
answered by the following Councilmembers: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell.
Staff Members Present: Atteberry, Krajicek, Daggett.
Mayor Hutchinson presented the keys to the City to a visiting delegation from San Cristobal de las
Casas, Chiapas, Mexico.
Resolution 2009-085
Setting the Dates of the Public Hearings on the 2010 and 2011 Proposed
City of Fort Collins Biennial Budget, Adopted
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
The City will be adopting a biennial budget for the years 2010 and 2011. The City Charter requires
that the City Council set a date for a public.hearing on the proposed budget. This Resolution sets
that hearing date for the Council meeting of September 15, 2009. In an effort to receive further
public input, this Resolution sets an additional hearing date for the October 6, 2009 regular Council
meeting."
Councilmember Roy made a motion, seconded by Councilmember Manvel, to adopt Resolution
2009-085. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Other Business
Councilmember Poppaw asked if a letter will be sent to Representative Markey and Senators Udall
and Bennet,stating the views of Platte River Power Authority expressed in an earlier letter regarding
the American Clean Energy and Security Act of 2009 did not represent the views of the Fort Collins
Council.
Mayor Hutchinson noted a work session will be held to examine and define the governance model
of Platte River. Brian Moeck, Platte River General Manager, will meet with the Mayor and City
343
Manager Atteberry on Thursday to discuss the details of such a letter. The result of the meeting will
be given to Council at next Tuesday's Council meeting. .
Adjournment
The meeting adjourned at 6:20 p.m.
a
Mayor
ATTEST:
City Clerk
344
September 15, 2009
COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
Council-Manager Form of Government
Regular Meeting- 6:00 p.m.
A regular meeting of the Council of the City of Fort Collins was held on Tuesday, September 15,
2009, at 6:00 p.m. in the Council Chambers of the City of Fort Collins City Hall. Roll Call was
answered by the following Councilmembers: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy,
and Troxell.
Staff Members Present: Atteberry, Krajicek, Eckman.
Citizen Participation
Pam Shaddock,Regional Director for Senator Mark Udall, stated the Senator would like to involve
Council in discussions related to federal matters. Staff or Council should contact her to provide
information to Senator Udall. She asked for a work session with Council to discuss federal issues
that impact Fort Collins.
Mike Devereaux, 2150 Maid Marian Court, thanked Council and City staff for developing an
ordinance that will allow wheelchairs in bike lanes.
Sue Radford, 2732 Wakonda, stated Platte River Power Authority General Manager Brian Moeck
should not have written a letter to Representative Markey, urging her to vote against the Waxman-
Markey Climate Bill. The opinion expressed by Mr. Moeck in the letter did not represent the views
of Fort Collins.
Chris Guillan,Fort Collins Board of Realtors,thanked Council for working with the Board on issues
such as exterior property maintenance standards, rental housing standards and the unrecorded
dwelling units process.
Clint Skutchan,719 Great Plains Court,Fort Collins Board of Realtors,thanked Council and the City
for proclaiming the evening as "Realtor Education Night at the Council." He thanked the City and
Council for providing ways the Board could provide input on several issues.
Cheryl Distaso, 135 South Sunset, stated Council will consider an ordinance allowing wheelchairs
in bike lanes on October 6. She asked if this item could be considered as the first discussion item
to allow those who must use Dial-A-Ride to attend.
Doug Ernest, 1625 West Elizabeth, urged Council not to eliminate an historic preservation planner
position because Fort Collins needs to continue its efforts to preserve historic landmarks.
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September 15, 2009
Kevin Cross, 300 Peterson, Fort Collins Sustainability Group, stated the Group is concerned about
the letter Brian Moeck, Platte River Power Authority General Manager, sent to Representative
Markey. Mr.Moeck did not express the viewpoint of Fort Collins and he was not authorized to write
such a letter.
Stacy Lynne, 216 Park Street, stated the City has ignored scientific evidence that shows climate
change is not on a path to imminent destruction. The City's overall agenda is to control citizens and
receive millions of dollars from the government at the expense of the citizens' rights and freedoms.
Citizen Participation Follow-up
Mayor Hutchinson stated Council has raised issues concerning the letter written by Mr. Moeck. He
spoke with Mr. Moeck about the concerns of Council and Mr. Moeck has sent a letter to
Representative Markey, stating he did not speak for the elected officials of the communities served
by Platte River. Council will conduct a work session to discuss the governance model of Platte
River on December 8.
Councilmember Manvel asked that the Platte River Board also discuss the issue of Platte River
taking a stance on legislative matters without guidance from the four member cities.
Councilmember Roy asked for a determination if Mr. Moeck has the authority to write the types of
letters that have been discussed. City Manager Atteberry stated the City Attorney's Office will
review the Platte River contracts.
Mayor Hutchinson noted the work session on December 8 will address the Platte River governance
model.
Councilmember Roy asked for the issue of wheelchairs in the bike lanes can be discussed first at the
October 6 meeting.
AEenda Review
City Manager Atteberry stated Item#7 Second Reading of Ordinance No. 087, 2009,Appropriating
Prior Years Reserves in the Downtown Development Authority Fund for Expenditure on Projects
in Accordance with the Downtown Plan of Development,has been revised to limit the period of time
the warehouse can be used, free of charge, by non-profit arts/cultural performance groups and
scientific non-profits to five years. Deputy City Attorney Eckman read the changes to Ordinance No.
087, 2009 into the record.
City Manager Atteberry stated Item #17 Second Reading of Ordinance No. 088, 2009, Adopting
Updated Rules and Regulations Governing Grandview and Roselawn Cemeteries to Allow Green
Burials at Roselawn and to Make Minor Language Improvements has a revision to the exhibit to the
ordinance.
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September 15, 2009
CONSENT CALENDAR
6. Consideration and Approval of the Minutes of the August 18, 2009 Regular Meeting_
7. Second Reading of Ordinance No. 087, 2009, Appropriating Prior Years Reserves in the
Downtown Development Authority Fund for Expenditure on Projects in Accordance with
the Downtown Plan of Development.
This Ordinance,unanimously adopted on First Reading on September 1,2009,appropriates
unanticipated revenue from interest earnings in the amount of$332,044,from project savings
in the amount of$1,555,249;and from the transfer of funds from projects not currently ready
for reimbursement to projects or programs that are ready in the amount of$1,614,085. The
Downtown Development Authority (DDA) Board has authorized the expenditure on the
various projects and programs.
8. Second Reading of Ordinance No. 089, 2009, Designating the Paramount Cottage Camp,
1544 West Oak Street, as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code.
Ordinance No. 089, 2009, unanimously adopted on First Reading on September 1, 2009,
designates the Paramount Cottage Camp, 1544 West Oak Street,as a Fort Collins Landmark.
The owners of the property, Maureen Plotnicki and Stephen Weber, are initiating this
request.
9. Second Reading of Ordinance No. 090, 2009, Authorizing the Transfer of Existing
Appropriations Between Capital Projects for the North College Improvements Project.
This Ordinance, unanimously adopted on First Reading on September 1, 2009, authorizes
the use of the remaining Truck Route funds for the North College Project in order to further
extend the needed improvements along North College, from Vine Drive north to the
Hickory/Conifer Intersection, and to meet the intended construction schedule of 2011, as
desired by the North Fort Collins Business Association(NFCBA)and local business/property
owners.
10. First Reading of Ordinance No. 091, 2009, Appropriating Unanticipated Grant Revenue in
the Cultural Services Fund to Be Used for Moving the Archive and Artifact Collections to
the New Museum Facility.
On December 2, 2008, the Fort Collins Museum received written notice that it had been
awarded a $5,711 Preservation Assistance Grant from the National Endowment for the
Humanities. This grant enables the Museum to hire consultants to assist in the development
of a preliminary collections move plan,highlighting the current artifacts and archives in the
collection and strategies for the relocation to the new facility. This is a one-year grant and
will be completed in November 2009.
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September 15, 2009
On July 10, 2009,the Museum received written notice that it had been awarded a$149,672
Museum for America Grant from the Institute of Museums and Library Services. This grant
enables the Museum to establish a Collection Move Team, prepare artifacts, and move
archival materials and artifacts to the new museum facility. The$149,672 will be disbursed
on a reimbursement basis over a two-year period.
The Museum is requesting that Council appropriate the $155,383 into the Museum's
Collections grant project for use during the grant cycle of August 2009 through August 2011.
11. First Reading of Ordinance No. 092, 2009 Amending Chapter 23 of the City Code to
Authorize the City Manager to Grant Certain Permits and Licenses to Enter on Real Property.
The existing language in the City Code specifies that any disposition of real property,
including temporary use and revocable permits, must be approved by City Council. This
proposed amendment will authorize the City Manager to grant certain permits or licenses to
enter on City property.
12. First Reading of Ordinance No. 093,2009,Vacating a Portion of Right-of-way for Redwood
Street as Dedicated at Reception#2006-0034597 of the Latimer County Records.
The right-of-way at Reception #2006-0034597 was dedicated in 2006 by the developer of
Old Town North, in order to complete the construction of Redwood Street, from the
development to Vine Drive. Additional land was needed to provide a second point of access
into the development. The parcel dedicated was originally a small tract in the Evergreen
Park Subdivision that the developer of Old Town North was able to obtain and dedicate to
the City in order to construct Redwood Street. Some of the parcel that was dedicated is not
needed for street purposes and the developer of Old Town North Sunterrace Townhomes has
requested the vacation of a portion of the right-of-way to accommodate the setbacks needed
for the proposed twnhomes.
***END CONSENT***
Ordinances on Second Reading were read by title by City Clerk Krajicek.
7. Second Reading of Ordinance No. 087, 2009, Appropriating Prior Years Reserves in the
Downtown Development Authority Fund for Expenditure on Projects in Accordance with
the Downtown Plan of Development.
8. Second Reading of Ordinance No. 089, 2009, Designating the Paramount Cottage Camp,
1544 West Oak Street,as a Fort Collins Landmark Pursuant to Chapter 14 of the City Code.
9. Second Reading of Ordinance No. 090, 2009, Authorizing the Transfer of Existing
Appropriations Between Capital Projects for the North College Improvements Project.
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September 15, 2009
17. Second Reading of Ordinance No. 088, 2009, Adopting Updated Rules and Regulations
Governing Grandview and Roselawn Cemeteries to Allow Green Burials at Roselawn and
to Make Minor Language Improvements.
Ordinances on First Reading were read by title by City Clerk Krajicek.
10. First Reading of Ordinance No. 091, 2009, Appropriating Unanticipated Grant Revenue in
the Cultural Services Fund to Be Used for Moving the Archive and Artifact Collections to
the New Museum Facility.
11. First Reading of Ordinance No. 092, 2009 Amending Chapter 23 of the City Code to
Authorize the City Manager to Grant Certain Permits and Licenses to Enter on Real Property.
12. First Reading of Ordinance No. 093,2009,Vacating a Portion of Right-of-way for Redwood
Street as Dedicated at Reception #2006-0034597 of the Larimer County Records.
Councilmember Manvell made a motion, seconded by Councilmember Roy to adopt and approve
all items on the Consent Calendar, including the revision to Item #7.
Councilmember Ohlson asked if the DDA could choose to shorten the time it offers rent-free
services at the warehouse it is purchasing. Deputy City Attorney Eckman stated the DDA is not
required to offer free services for five years but can choose to shorten the time it offers those
services.
Councilmember Troxell asked if the purchase price of the Elks Building by the DDA included the
deconstruction costs of the building. Matt Robenalt,Downtown Development Authority Executive
Director,stated the original purchase price of$2.8 million did not include the cost of environmental
abatement and deconstruction. The DDA did receive estimates to deconstruct the building at the
time of purchase, but no funds have been appropriated to do the deconstruction.
The vote on the motion was as follows: Yeas:Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Consent Calendar Follow-up
Councilmember Manvel asked for a revision to Ordinance No. 092, 2009 Amending Chapter 23 of
the City Code to Authorize the City Manager to Grant Certain Permits and Licenses to Enter on
Real Property prior to Second Reading to state that Council must be notified when such permission
is to be granted.
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Councilmember Reports
Councilmember Troxell stated he attended a CSU-City Liaison Committee meeting that discussed
the ASCSU"good neighbor"program. Ram Ride,a program that offers students over 100,000 safe
rides home rides each year,is run by students,is funded by students and has a positive impact on the
community. Two roundtable discussions with ASCSU are scheduled to discuss issues between the
students and the community.
Councilmember Poppaw stated she attended a Fort Collins Housing Authority Board retreat. She
also attended a Beet Street Finance Committee meeting and she noted Beet Street is moving forward
with its new leader.
Councilmember Manvel met with the Poudre Heritage Alliance that has worked for many years to
have the Poudre River designated as a National Heritage Area.
Public Hearing on the 2010-2011 Recommended Biennial Budget
for the City of Fort Collins, Hearing was Held
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
This is the first official public hearing on the City Manager's 2010-2011 Recommended Biennial
Budget for the City of Fort Collins. The purpose,of this public hearing is to gather public input on
the 2010-2011 budget.
In an effort to receive further public input, a second public hearing is scheduled for the October 6,
2009 Council meeting. Public input will also be taken during the budget adoption meetings on
Tuesday, October 20 and Tuesday, November 3, 2009 at 6:00 p.m. in the Council Chambers.
The City Manager's 2010-2011 Recommended Budget can be reviewed at the Main Library, the
Harmony Branch Library, Council Tree Library, or the City Clerk's Office. The recommended
budget can also be viewed on the internet at www.fcgov.com/budget."
City Manager Atteberry stated the budget allocates funds to the General Fund,Utilities funds, other
Enterprise funds, defines reserve balances and makes assumptions about future revenues. The
General Fund budget is approximately$100 million and the total budget is$507.6 million for 2010,
with minimal changes for 2011. Council will consider an ordinance next year to change the two-year
budget schedule. He noted the funding for Dial-A-Ride service for those grandfathered into the
City's area of service had inadvertently been cut from the 2010 budget. Staff will correct that
oversight and make cuts elsewhere so the Dial-A-Ride service will continue.
One major community priority is to maintain funding levels for police and fire services. Keeping
funding for police and fire at current levels makes up about 50% of the General Fund budget and
staff recommends keeping funding at the current levels for police and fire. The General Fund has
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been reduced 7.5%, with $50 million designated for police and fire. Current funding is also
maintained for environmental health and economic health programs. The recommendation is to
continue funding programs to continue to improve traffic flow and traffic congestion.
The budget is a very conservative budget with no assumptions of growth. Reductions have been
taken and many offers are reduced or eliminated. The budget assumes conditions will not worsen
in the local economy, with only marginal increases in economic activity for 2010 and 2011. The
pavement management program has been significantly reduced as it relates to neighborhood, non-
arterial roadways. Support for recreation and parks is being reduced. The budget does not include
merit employee pay increases and staffing levels have been reduced, in addition to the staffing
reductions that occurred in 2006 and 2007.
Electric rates will increase 9.5%, water rates will increase approximately 3% and wastewater rates
will increase 10%. The average impact per household is estimated at$10 per month. No increases
are recommended for the stormwater fund. The utility rates cannot be-used to fund police, fire, or
other General Fund services. The rate increases are intended to cover pass-through rate increases
from Platte River Power Authority,the new Mulberry Wastewater Plant,and to increase the reserve
balances.
The budget does not address significant community needs, such as $5 million for Police Services,
that are needed to sustain a safe community. Poudre Fire Authority needs $2 million to $3 million
to maintain fire services. Pavement Management needs $6 million to be fully funded. The budget
does not fund any expansion of transit and only maintains the status quo. Parks maintenance is also
underfunded to keep the parks at a level consistent with the community expectations.
Eric Sutherland, 631 LaPorte, stated a portion of the electric and water revenues are designated as
General Fund revenues in the form of payments in lieu of taxes (PILOTS). The City is
undercollecting PILOTS for the electric utility as compared to other Front Range cities. Article XII,
Section 6 of the City Charter states the utilities cannot spend funds out of their revenue funds for
anything beside the historic mission of providing electrical energy services to the ratepayers of Fort
Collins, unless approved by Council. Purchase of renewable energy credits does not meet this
requirement of the Charter.
Steve Yurash,2920 Waterstone, stated the 9.5%rate increase for the Light and Power budget is too
large and will adversely affect household and commercial customers. The increase includes a 1.8%
increase each of the next two years for energy services to meet the Energy Policy goals, which are
very aggressive goals. The automatic metering infrastructure program(AMI)will help reduce carbon
footprint but should be deferred to a later date because the program requires a large portion of the
proposed rate increase.
Lloyd Walker, 1756 Concord Drive, requested additional resources for code enforcement for
neighborhood livability. Code enforcement in neighborhoods will help maintain public order and
safety.
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Stacy Lynne, 216 Park Street, asked for the source of Art in Public Places funds and for the cost of
the Fort Collins Bike Library and the Fort Collins Bike Coop. She asked how the decrease of
$200,000 in affordable housing funds will affect people in Fort Collins. She asked for a summary
of the positions that have been cut. Mayor Hutchinson stated the Art in Public Places program is
funded from 1%of cost of major projects. Councilmember Manvel stated the Bike Library is funded
by federal grants. City Manager Atteberry stated responses to questions about the budget are
provided on the City's website.
Doug Ernest, 1625 West Elizabeth, urged Council not to eliminate an historic preservation planner
position because Fort Collins needs to continue its efforts to preserve historic landmarks.
Sondra Carson, 511 South Whitcomb, requested the position of historic preservation planner be
restored in the 2010-2011 budget to continue the efforts to save many historic buildings in Fort
Collins.
Shane Miller, 4325 Mill Creek, thanked the City Manager and Council for the reinstatement of the
funding for Dial-A-Ride. He asked if City employees have been asked for ways to make cuts that
would preserve jobs. He asked if pavement management could be considered as a bonding issue to
pay for the program.
Nancy York, 130 South Whitcomb, stated her concerns with the electric utility increase. She
supported increased energy audits for homes to help lower rates. The AMI program should not be
initiated at this time because of increased rates. The landscaping budget for the downtown area
should be reduced. The pavement management program should not be reduced.
Cheryl Distaso, 135 South Sunset,stated much confusion was caused by the omission of funding for
Dial-A-Ride in the budget.
Councilmember Ohlson stated the funding for Dial-A-Ride night service was not recommended in
the budget, but the omission was inadvertent. City Manager Atteberry stated the budget is a $507
million budget and over 250 people worked to put the budget together. The funding will be provided
for night service and those riders who were grandfathered in during the 2007 budget process.
Mayor Hutchinson noted creating the budget is a complex process that requires hundreds of staff
hours to compile. The budget is not finalized until Council votes to adopt it. Council has been clear
that the Dial-A-Ride funding will be included in the budget.
City Manager Atteberry stated he would bring $155,000 in budget reductions to Council to offset
the Dial-A-Ride funding.
Councilmember Poppaw asked for the percentage of utility rate increases that will be used to meet
City policies,such as the Energy Policy,and the percentage of rate increases that will cover the pass-
through costs from Platte River to meet state requirements. City Manager Atteberry stated 2% of
the 9.5% rate increase will be used for the AMI project. A smaller percentage is dedicated to
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environmental-related services and programs in the electric utility. The major part of the rate
increase is for Platte River pass-through costs because its costs have risen.
Councilmember Roy asked how the answers to the public's questions will be provided. City
Manager Atteberry stated the answers will be posted on the City's website. Staff will also respond
to individual questions.
Councilmember Manvel asked if employees have been encouraged to submit cost savings
suggestions to preserve jobs. City Manager Atteberry stated employees have had the opportunity to
provide comments throughout the budget process. The Budgeting for Outcomes process has many
employees engaged in the process of developing the budget in making offers and as part of a Results
Team.
Ordinance No. 088, 2009,
Adopting Updated Rules and Regulations Governing Grandview and Roselawn
Cemeteries to Allow Green Burials at Roselawn and
to Make Minor Language Improvements. Adopted on Second Reading
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
This Ordinance, unanimously adopted on First Reading on September 1, 2009, changes the
Cemetery Rules and Regulations to allow green burials at Roselawn Cemetery. Unlike Grandview
Cemetery, Roselawn has land that can be dedicated to green burials. The other changes to the Rules
and Regulations are simple housekeeping measures. The last major update was completed in May
2005.11
J. R. Schnelzer, Director of Parks, stated the green burial area will be at Roselawn Cemetery. The
Ordinance modifies the Cemetery Rules and Regulations to allow green burials.
Stacy Lynne, 216 Park Street, asked for the number of people who have asked for green burials and
who brought this issue to the City for consideration. She asked why Grandview Cemetery is not
considered for green burials and she requested information about any costs to Fort Collins residents,
the risks to the environment, and the reasoning for allowing the City Manager to set the rates, fees
and charges, instead of Council.
Schnelzer stated a Green Burial is a movement that is developing nationwide. A green burial has
a positive impact on the environment because no embalming is involved and renewable resources
are used on the surface. The plots at Grandview are not large enough to accommodate the larger
opening required by green burials. Roselawn is a newer cemetery and has an area that will better suit
green burials. There is no direct cost to the City other than some rehabilitation work to be done on
the one-acre area at Roselawn to add prairie grasses and wildflowers. Phil Carpenter, Cemetery
Supervisor, stated some area funeral directors that have been certified by the Green Burial Council
have requested the service and residents have also requested the service.
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Deputy City Attorney Eckman noted the Charter prohibits the City from placing a burden upon or
limiting the use of private property unless done by Council. An internment right is considered to be
a private property right so the City Manager cannot set the fees for internment. He read changes
made to the Rules and Regulations between First and Second Reading.
Councilmember Kottwitz asked why a section of the Cemetery has to be set aside for green burials.
Schnelzer stated a larger hole must be dug for a green burial without a casket or vault. There will
be more settling on the top of the grave,which will require a higher maintenance fee. The area will
be a natural setting,not groomed,and will not contain above-ground headstones. That type of setting
will not fit with the look of Grandview Cemetery, which is already plotted with smaller plot sizes
and has a groomed, maintained appearance with above-ground headstones. Having one area at
Roselawn dedicated for green burials will be easier to maintain.
Councilmember Kottwitz asked if not embalming bodies for green burials will create any issues.
Carpenter stated a body does not have to be embalmed. The only requirement for embalming is
when a body is to be placed in the mausoleum.
Councilmember Ohlson asked why monument dealers will no longer be required to be bonded.
Schnelzer stated a grave monument is owned by the family and the City does not have any
relationship with the monument company other than to work with the company. in delivery and
setting the stone.
Councilmember Ohlson asked why granite is the chosen material for the grave markers because
granite is an extracted material and the process harms the environment. Concrete would be a better
material to use for the environment. Schnelzer stated the intent was to use a material that will be
long-lasting. Granite is a natural occurring material used by the industry and markings added to
granite are well-preserved.
Councilmember Roy made a motion,seconded by Councilmember Poppaw,to adopt Ordinance No.
088,2009 on Second Reading,as amended. Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,
Roy and Troxell. Nays: none.
THE MOTION CARRIED.
("Secretary's note: The Council took a brief recess at this point in the meeting.)
Items Relating to the Adoption of the 2009 Update
to the Mountain Vista Subarea Plan, Adopted
The following is staff s memorandum for this item.
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"FINANCIAL IMPACT
No direct financial impacts exist as a result of adopting the 2009 update to the Mountain Vita
Subarea Plan (2009 Plan). However, the Plan identifies short and long-term public infrastructure
improvements and potential funding sources for this subarea.
EXECUTIVE SUMMARY
A. Resolution 2009-086 Adopting the 2009 Update of the Mountain Vista Subarea Plan.
Several related items are being proposed, concurrent with consideration for adoption of the 2009
.Plan, including:
B. Resolution 2009-087 Amending the City Structure Plan Map to Comport with the 2009
Update of the Mountain Vista Subarea Plan.
C. Resolution 2009-088 Amending the North College Corridor Plan to Comport with the 2009
Update of the Mountain Vista Subarea Plan.
D. Resolution 2009-089 Amending the Northside Neighborhoods Plan to Comport with the
2009 Update of the Mountain Vista Subarea Plan.
E. Resolution 2009-090 Amending the City's Master Street Plan to Comport with the 2009
Update of the Mountain Vista Subarea Plan.
The Mountain Vista Subarea Plan, an element of City Plan, is projected to accommodate a
significant portion of the City's future growth with approximately ],500 acres of vacant land. The
Mountain Vista Subarea Plan, originally adopted on March 16, 1999, laid a frameworkfor a large,
primarily undeveloped area of northeast Fort Collins. Over the past ten years, staff has responded
to numerous requests for changes to this plan.
The Plan update process, started in March 2008, addresses identified issues based on new
information. The Plan update refines the adopted vision, framework plan map, policies, and
implementation actions identified to achieve the Plan in the future. This update is also responsive
to the ideas and concerns of the many stakeholders, including area property owners, residents,
boards and commissions, City Council and the broader community.
A follow-up action to consider an ordinance to amend the City of Fort Collins Zoning map is
scheduled for November 3, 2009.
BACKGROUND
A. Resolution 2009-086 Adopting the 2009 Update of tl:e Mountain Vista Subarea Plan.
Overview of the proposed 2009 Update to the Mountain Vista Subarea Plan
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The 1999 Mountain Vista Subarea Plan, originally adopted on March 16, 1999, laid the framework
for a large, primarily undeveloped area of northeast Fort Collins. This Plan area is projected to
accommodate a significant portion of the City's future growth, with approximately 1,500 acres of
vacant land. Over the past ten years, staff has responded to numerous requests for changes to this
plan. The Plan update process started in March 2008.
The purpose of the update process was to determine potential refinements to land use, streets,
drainage ways,parks, open lands and trails. The updated 2009 Plan refines the vision, Framework
Plan, and principles and policies in the original document, based on new information. In addition,
this process included a reassessment of the implementation actions identified to achieve the Plan
in the future. This update is also responsive to the ideas and concerns of the many stakeholders,
including area property owners, residents, boards and commissions, City Council and the broader
community.
The 2009 Plan itself is divided into chapters covering the following topics:
Executive Summary
Chapter I - Plan Foundations
Chapter 2 - Existing Conditions and Analysis
Chapter 3 - Vision
Chapter 4 -Principles and Policies
Chapter 5 - Framework Plan
Chapter 6—Implementation Recommendations
Appendix—Summaries and Technical Reports
Presented below is a brief summary of each chapter.
Chapter I —Plan Foundations
Chapter I sets the context for the Mountain Vista Subarea Plan. It describes the purpose of the Plan
Update, description of the public input and review process, and a review of related planning
documents.
Chapter 2—Existing Conditions and Issues
Chapter 2 provides an updated summary of existing conditions within the subarea related to land
use, transportation system, open lands, and utilities. This chapter also identifies factors that may
inf uence future development and contains a summary of the latest consultant analysis of the major
issues.
Chapter 3— Vision
Chapter 3 describes a vision for the Plan area, including neighborhoods, commercial center,
employment and industrial uses, transportation system, natural areas, and community appearance.
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Chapter 4—Principles and Policies
Chapter 4 identifies principles and policies specific to the subarea, while building from the
established community-wide City Plan policies. The Principles categories include land use,
transportation, community appearance and design, economic sustainability and development,
natural areas, and open lands.
Chapter S—Framework Plan
Chapters 4 and 5 are intended to organize, guide, and stimulate efforts to implement the vision and
address the identified issues.
The centerpiece ofthe Mountain Vista Subarea Plan is the Framework Plan. This Framework Plan
represents an integrated pattern of existing and future land use, transportation system, and network
of open lands. Key building blocks include existing and new residential neighborhoods, schools,
parks, commercial centers, a business center, and a network of open lands. These destinations will
be linked by a transportation system that provides a high level of connectivity, internally and to
other destinations throughout the community, serving vehicular, transit, bicycle and pedestrian
travel.
This chapter is organized into three main sections, including land use, transportation and open
lands. The chapter also includes a comparison of the 1999 and 2009 Framework Plans.
Chapter 6—Implementation Recommendations
Chapter 6 highlights the key implementation actions needed to achieve the Plan. This chapter
includes a detailed listing of projects and improvements needed to support this subarea's
development, including transportation improvements,parks and trails, natural areas, stormwater
drainage, andpublicfacilities. In addition, this chapter includes an analysis ofselect infrastructure
projects needed to alleviate Adequate Public Facilities (APF) issues.
Public Process
The Plan update process started in March 2008. The public process has included extensive public
involvement from property owners within the project area, including Anheuser-Busch Inbev,
residents and neighborhood groups, Poudre School District and other service providers, multiple
City departments, City boards and commissions, and direction from City Council.
The project team included stafffrom various City departments,EDA WIAECOM(urbanplanning and
design), Economic and Planning Systems, Inc. (market analysis), LSA Associates, Inc.
(transportation modeling/air quality analysis), and Felsburg Holt & Ullevig (transportation
engineering and noise analysis).
The planning process was divided into three main phases. The primary tasks of the first phase
(March 2008—August 2008) included identifying background information associated with project
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start-up. The second phase (August 2008-December 2008) included a focus on design and
alternative analysis. Finally, the third phase (January 2009 August 2009) included selecting a
preferred framework plan and updating the Plan document.
B. Resolution 2009-08 7 Amending the City Structure Plan Map to Comport with the 2009
Update of the Mountain Vista Subarea Plan.
Based on the 2009 Plan recommendations, amendments to the City Structure Plan map are needed
to change the land use designations within the subarea, including Industrial, Employment,
Community Commercial, Open Lands, Parks and Stream Corridors, Low Density Mixed-Use
Neighborhoods, and Medium Density Mixed-Use Neighborhoods. The City Structure Plan will also
reflect changes to the Master Street Plan and the Enhanced Travel Corridor designation.
C. Resolution 2009-088 Amending the North College Corridor Plan to Comport with the
2009 Update of the Mountain Vista Subarea Plan.
The 2009 Plan recommends an amendment to the North College Corridor Plan to change the
location of the Enhanced Travel Corridor from Conifer Street to realigned Vine Drive. The North
Fort Collins Business Association has submitted a letter in support of this change. (Attachment 7)
D. Resolution 2009-089 Amending the Northside Neighborhoods Plan to Comport with the
2009 Update of the Mountain Vista Subarea Plan.
The 2009 Plan recommends an amendment to the Northside Neighborhoods Plan, which overlaps
a small portion of the Mountain Vista Subarea Plan. The amendment will reflect additional Medium
Density Mixed-Use Neighborhoods land use designation near the intersection of realigned Vine
Drive and Lemay Avenue. The updated Land Demand Analysis supported higher-density housing
adjacent to the Enhanced Travel Corridor.
E. Resolution 2009-090 Amending the City's Master Street Plan to Comport with the 2009
Update of the Mountain Vista Subarea Plan.
The 2009 Plan recommends changes to the Master Street Plan including:
1. A refined street network, particularly fewer collector streets;
2. The extension of realigned Vine Drive from Lemay to Timberline;
3. Elimination of the extension of Turnberry Road south of its current terminus at Mountain
Vista Drive; and
4. Several minor alignment changes to streets as shown in the 1999 Mountain Vista Subarea
Plan.
BOARDS AND COMMISSIONS RECOMMENDATIONS
On August 19, 2009, the Transportation Board voted(7-2) to support a recommendation to City
Council to adopt the update to the Mountain Vista Subarea Plan, and related amendments to the
Master Street Plan. The Board also provided additional comments including:
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1. Adding specific language in the Plan stating that the realigned Vine will not become a de-
facto truck bypass;
2. Clarifying future enforcement and monitoring of through truck traffic in subarea;
3. Maintain high priority for resolving existing street deficiencies at the existing Lemay/Vine
intersection and future grade separated crossing in this area before implementing realigned
Vine; and
4. The overall reduction in carbon dioxide from the 1999 Plan to the 2009 Plan is minimal, and
further review is needed to monitor environmental impacts.
On August 20, 2009, the Planning and Zoning Board voted(4-1) to support a recommendation to
City Council to adopt the update to the Mountain Vista Subarea Plan, and related amendments to
the City Structure Plan,North College Corridor Plan,Northside Neighborhoods Plan, and rezoning.
The Board also outlined additional comments including:
L Provide language in Plan to ensure monitoring ofpotential truck through traffic in subarea;
and
2. Forwarding a recommendation not supporting the Moore requests as part of this update
process; instead, the density issue should be addressed later as part of the City Plan update
process.
On July 20, 2009, the Air Quality Advisory Board voted unanimously to support a recommendation
to City Council to adopt the update to the Mountain Vista Subarea Plan.
On July 8, 2009, the Land Conservation and Stewardship Board voted unanimously to support a
recommendation to City Council to adopt the update to the Mountain Vista Subarea Plan.
On June 8, 2009, the Bicycle Advisory Committee forwarded a list of thoughts and concerns on the
update to the Mountain Vista Subarea Plan to the Transportation Board.
On May 27, 2009, the Parks and Recreation Board voted(7— 1) to support a recommendation to
City Council to adopt the update to the Mountain Vista Subarea Plan.
On May 7, 2009, the Affordable Housing Board voted unanimously to support a recommendation
to City Council to adopt the update to the Mountain Vista Subarea Plan. "
Jeff Scheick,Planning,Development and Transportation Director,stated the original Mountain Vista
Plan was adopted in 1999. The Plan covers 3,000 acres with over 1,500 acres available for future
development. The update includes compact land use design and appropriate level of transportation
infrastructure.
Pete Wray, Senior City Planner, stated the purpose of the Plan update process was to respond to
identified issues and to reassess updated land use and transportation analysis and other new
information for potential adjustments to the Plan. Adjustments to the Plan include modest shifts in
land use designations and an updated street network. The update process included extensive public
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outreach. The Framework Map is the primary element of the Plan. The proposed changes to the
Framework Map are supported by the latest transportation and land use market analysis and are
based on public input and direction from Council. Land use designations have been adjusted and
the future enhanced travel corridor is relocated to the proposed realigned Vine Drive.
Matt Wempe, Transportation Planner, stated the updated Plan has a reduction in the number of
collector-level streets and an extension of the Vine Drive realignment that will serve as an enhanced
travel corridor. Development is currently limited in the Mountain Vista Subarea due to issues with
adequate public facilities, largely related to the existing Vine and Lemay intersection. Staff has
identified infrastructure projects that can be done,both short term and medium-term,that will delay
the need for grade-separated crossings. The realignment of Vine between College and Lemay would
be the first construction, concurrent with the Northeast College Corridor Outfall project,which will
help address existing system deficiencies at Vine and Lemay and provide additional capacity for the
Mountain Vista Subarea for development. Phase Two would be construction of realigned Vine
Drive between Lemay and Timberline and,either petitioning for at-grade railroad crossings with the
Colorado Public Utilities Commission or constructing three grade-separated crossings.
Funding for the construction projects would be provided by a combination of City capital
improvement funds,development impact fees,and street oversizing impact fees. The Lemay grade-
separated crossing would be included in the rail capital improvements plan within the Transportation
Master Plan, other capital funding requests such as Building on Basics, or grant funding, if it were
able to be secured for the project. The City and developers could also work together to issue bonds
for the infrastructure costs that would be covered by impact development fees to allow a shorter time
period for collection.
Wray stated the City Structure Plan Map will be amended to include adjustments to the land uses,
the open lands designation and the new location for the future enhanced travel corridor. The North
College Corridor Plan will be amended to relocate the enhanced travel corridor from Conifer to the
proposed extension of realigned Vine Drive. The Northside Neighborhoods Plan will be amended
to show additional medium-density mixed-use neighborhoods in the area that overlaps the Mountain
Vista Subarea Plan. The Master Street Plan will be amended to show the overall refined street
network and the extension of realigned Vine Drive.
Wempe stated future implementation actions include developing the I-25/Mountain Vista Drive
Gateway Standards, with input from Anheuser-Busch In-Bev; developing the North
College/Mountain Vista enhanced travel corridor plan; and developing an infrastructure projects
funding plan. The realigned Vine Drive will include design and enforcement options to prevent the
realigned Vine Drive from becoming a de facto truck route.
Shane Miller,4325 Mill Creek, stated the Plan has the same COZ emission standards as the original
Plan and he asked if COZ emissions will be measured with the change in design of the Plan. He
asked why Turnberry Street will not be extended because extending Turnberry will enhance the
future grid plan for the City's transit system.
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Kandace Majoros, 1405 Linden Lake Road, stated her concerns with the realigned Vine becoming
a de facto truck route because it will bean efficient route from I-25 to US Highway 287. The Plan
needs to contain a stronger statement that the City does not intend for Vine Drive to be a truck route.
There is no formalized review process to measure the effects of the realigned Vine corridor. The
enforcement proposed to keep trucks off of Vine does not seem to be sufficient to deter truckers from
using Vine as a quick route from 1-25 to US Highway 287.
Hunter Harms,Richards Lake area resident,asked why Turnberry Street will not be extended to Vine
Drive. He requested 1-25 access from Vine Drive.
John Jacobi, 1305 Linden Lake Road, stated his concerns with the realignment of Vine Drive that
would allow Vine to become a de facto truck route.
Tom Moore, 1230 Country Club Road,K&M Company representative,stated the proposed amounts
of commercial,MMN and employment zoning are too large and the density requirement of not less
than 5 dwelling units per acre for the LMN is not conducive to the quality of housing Fort Collins
needs. He asked Council not to adopt the Plan until the issue of zoning is resolved.
Ron Dean, 1521 Linden Lake Road, stated the Plan should specifically state all the measures put
forward to keep Vine Drive from becoming a de facto truck route. Grade separated crossings should
be built at the same time that Vine Drive is realigned. Conifer Street should not be extended to
Timberline Road.
Cheryl Distaso, 135 Sunset,stated the Alta Vista neighborhood is concerned the realignment of Vine
will increase truck traffic on Vine. The measures proposed by the'Transportation Planning
Department will not be successful in discouraging truck traffic on Vine. Turnberry Street should be
extended. Consideration should be given to including low income housing in the Plan.
Vivian Armendariz, 820 Merganser Drive, stated many truck drivers currently use Vine Drive as a
truck route and the realignment of Vine will encourage even more trucks to use Vine Drive.
Councilmember Roy asked why Turnberry Street will not be extended. Wempe stated Turnberry
terminates currently at Mountain Vista Drive. Analysis of the street plan determined extending
Turnberry south to Vine Drive did not mesh well with the proposed land uses and did not fit with
projected traffic volumes. A north-south collector street is proposed to the east of Turnberry that
will carry future traffic to Vine. Country Club Road is proposed to be extended to Giddings to add
additional east-west connectivity. Other local streets will be built as development occurs. The
Transit Strategic Plan focuses on the enhanced travel corridor on the extension of Vine Drive as part
of its future grid system.
Councilmember Ohlson asked if staff had decided not to extend Turnberry based on the negative
public input received. Wempe stated public input received was one component in the decision not
to extend Turnberry,but the transportation modeling and analysis done concluded the proposed street
plan will better serve the area.
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Councilmember Manvel stated Country Club Road west to Long Pond will make a poor travel
corridor and he asked why Country Club Road is proposed to be extended east to Giddings. Wempe
stated Country Club Road is not suited as a through road. Connecting Country Club to Giddings will
remove the bend in the road from Turnberry to Mountain Vista and will provide a better east-west
route choice.
Councilmember Ohlson asked how many people attended the public outreach meeting and expressed
concern about extending Turnberry south to Vine. Wempe stated over 30 people attended meetings
and did not want Turnberry extended south. About the same number of citizens wanted Tumberry
extended to Vine. Public input was not the only factor in the decision not to extend Turnberry.
Scheick stated the 1999 Plan showed Turnberry connecting to Vine. A transportation grid is needed
to properly serve the area and to support the proposed land uses in the Plan Update. Modeling of
the proposed street plan indicates the Plan does work. A natural area is located next to the location
of the proposed extension of Turnberry and staff did not want to place a collector street close to a
natural area.
Councilmember Ohlson asked what will be done if Vine Drive does become a de facto truck route.
Wempe stated the street design and enforcement options outlined in the Plan will be important to
help prevent Vine from becoming a truck route.
Councilmember Ohlson asked if an I-25Nine Drive interchange is not proposed. Wempe stated staff
is not aware of any promises made that excludes an interchange at Vine Drive and I-25 in the future.
Kathleen Bracke, Director of Transportation Planning and Special Projects, stated the Vine Drive
interchange at I-25 is still shown on the City's Master Street Plan and would be considered a long-
term improvement option. A new interchange would be extremely expensive.
Councilmember Roy asked how Vine could be designed to discourage truck traffic from using it as
a de facto truck route. Wempe stated designing the street with narrower traveling widths,installing
intersection controls such as signalizing intersections or using roundabouts, designing the street to
use lower speeds with lower posted speed limits, and using an educational campaign to direct truck
drivers to the truck route on US Highway 287 and vehicle weight limit signage are some of the
methods available to staff.
Councilmember Poppaw asked if the Plan included fewer acres devoted to natural areas and open
space. Wray stated the 1999 Plan showed 229 acres for natural areas,ditch corridors,and streams.
The 1999 Plan also showed a future park site adjacent to the private natural areas northwest of Vine
and Timberline and a future school site. Those properties were included in the overall acres
designated for natural areas and existing wetlands. The Plan update shows fewer acres for natural
areas to clarify the separate categories. The update contains a more accurate mapping delineation
for the ditch corridors and the existing wetlands and natural areas. The update has 101 acres for
natural areas. No existing natural area resources will be lost in the update.
Councilmember Manvel asked why a true truck bypass is not constructed. Mark Jackson,
Transportation Group Director, stated a truck route does exist along State Highway 14 to US
Highway 287. Several investigations and analyses have been done since the 1960s to investigate
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ways to move through-truck trips from the current route. As directed by the 1999 truck-route ballot
issue, the City examined the possibility of moving the truck route to the north outside of the City's
GMA. Vine Drive has been examined as a possible truck route,but the cost to turn Vine into a truck
route is prohibitive and it would be deleterious to the neighborhoods located near Vine. No option
has been presented that is an acceptable alternative to the current truck route.
Councilmember Manvel asked why the issue of providing better north-south connectivity was not
addressed. Matt Baker, Street Oversizing Program Manager, stated most of the major traffic routes
in Fort Collins run north-south. Future traffic in the Mountain Vista area is projected to be
predominately east-west. Current travel patterns are more north-south. Extending Vine as a major
arterial to North College Avenue will provide major through-traffic movement without major impact
on other areas.
Mayor Hutchinson asked if a formal review process to measure the effect of Vine Drive realiagnment
should be included in the Plan. Wempe stated the Transportation Board recommended including
such a review. Staff will review traffic patterns in the area on a periodic basis. The implementation
action plan can include a specific direction to review traffic, but the review would not occur until
portions of realigned Vine Drive are constructed. Scheick stated the time to include a review process
is when the realignment of Vine is ready to be designed and decisions must be made about specific
traffic calming devices, design of the street and other tools to discourage truck traffic on Vine.
Councilmember Troxell asked if the Plan contains an explicit statement that Vine Drive will not be
a truck route. Wempe noted the Plan states "the City will consider a variety of street design and
enforcement methods to ensure realigned Vine Drive does not become a truck route,either intended
or unintended."
Councilmember Troxell noted the views of Fort Collins from the Mountain Vista area are sweeping
vistas. Wray stated the original Plan aligned streets toward mountain views to maximize view
corridors with future streets. The update includes an improved connection between Timberline and
Mountain Vista Drive that aligns directly with Longs Peak. The bend in Mountain Vista was
established to allow room for a community park. The update contains language to maximize the
view corridors in the commercial center and other parallel streets.
Councilmember Manvel asked for clarification of the zoning in the area. Wray stated 30 acres will
be zoned for the Community Commercial district. The intent of the zoning is to support the district
with more neighborhood oriented retail mix. Future development will determine the ultimate mix
and design of the district. The 30 acres of Community Commercial zoning is the only area in Fort
Collins that will be developed from the ground up to implement the vision of City Plan. The Moore
family has requested this district be reduced to 20 acres. Staff believes reducing the district to 20
acres will compromise or preclude the full implementation of the City Plan vision and does not
support the request from the Moore family.
Councilmember Manvel asked if Industrial zoning was included in the area. Wray stated the Moore
family has also requested a portion of their property be designated as Employment, which would
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expand the Employment zoning outside of the Anheuser-Busch property. Market analysis supported
the request to expand the Employment zoning.
Councilmember Manvel asked if the proposed land use designations could be changed to
accommodate future uses. Wray stated the land use delineations on the Framework Plan map and
the Structure Plan map are not as specific as the zoning maps. The Land Use Code does contain
provisions to amend zoning.
Mayor Hutchinson asked if the zoning requested for the Moore property should be amended to allow
lower density for housing as requested by the Moore family. Wray stated the Moore family has
requested a reduction in Community Commercial from 30 to 20 acres, the amount of MMN from
40 to 15 acres and the amount of Employment to 15 acres for the zoning of their property. Staff has
supported a reduction in amount Community Commercial as designated in the 1999 Plan, but does
not support any further reduction. The Moore family originally requested 70 acres of Employment
designation but only very recently has requested a large reduction to 15 acres. The request to reduce
the amount of Employment was received too late in the Plan process to consider the change. The
request for reduced residential density does not fit with the future vision of the area. A commercial
center is proposed that will serve the greater northeast area and the need exists for higher density
neighborhoods. The multi-family (MMN and LMN) designation called for by City Plan is the
appropriate residential mix to support the future high-frequency transit corridors, the large
employment district and the commercial center.
Councilmember Ohlson noted the land use framework plan is designed to give predictability to
neighbors, residents and developers.
Councilmember Roy asked if the City's formal land use plans have a schedule for regular review.
Joe Frank, Advance Planning Director, stated City Plan is the only planning document that has a
regularly scheduled update every five years. The other plans are updated as needed, depending on
the land use in the Plan area and changes or issues that are occurring.
Councilmember Manvel asked for clarification of the plan for a future Lemay pedestrian underpass
at the connection of Lemay with Vine Drive. Wempe stated the Northside Neighborhoods Plan
recommends a pedestrian underpass at that intersection for the grade separated crossing.
Councilmember Troxell made a motion, seconded by Councilmember Roy, to adopt Resolution
2009-086.
Mayor Hutchinson noted the Plan update includes much public input, board and commission
recommendations and Council work sessions.
The vote on the motion was as follows:Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
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Councilmember Troxell made a motion, seconded by Councilmember Roy, to adopt Resolution
2009-087. Yeas: Hutchinson,Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Councilmember Troxell made a motion, seconded by Councilmember Roy, to adopt Resolution
2009-088. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson,Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Councilmember Troxell made a motion, seconded by Councilmember Roy, to adopt Resolution
2009-089. Yeas: Hutchinson, Kottwitz,Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Councilmember Troxell made a motion, seconded by Councilmember Roy, to adopt Resolution
2009-090. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Resolution 2009-091
Directing the City Manager to Submit a Request Letter to Platte River
Power Authority Modifying the Composition of Renewable Energy Resources
Acquired for Delivery to the City, Defeated
The following is staffs memorandum for this item.
"FINANCIAL IMPACT
The Utility previously submitted a request letter to Platte River Power Authority (`Platte River')
to purchase 96,000 megawatt hours("MWh')ofrenewable energy in 2010 and 2011. Platte River's
current forecasted blend for this same period is approximately 58%renewable energy certificates
and 42%delivered renewable energy. The resolution authorizes the submission of a request letter
to Platte River modifying the composition of the renewable energy purchases acquired for delivery
to the City so that it is differentfrom the other member municipalities. Specifically, the request letter
will specify that of the 96,000 MWh purchased in 2010 and 2011, Platte River should purchase an
additional 30,700 MWh of delivered wind energy. Platte River will in turn attempt to sell the
equivalent of 30,700 MWh of the renewable energy credits (RECs)for delivery to the City. The
additional projected cost is$],]00,000 per year. The blended premium cost for renewables would
increase from the 2010 rate of$0.019 per kWh to $0.031. The projected cost is contingent on
existing RECs being sold for the contract purchase price of about $7/MWh. The change would
increase electric monthly rates approximately 1.3%for a total projected 2010 rate increase of
10.8%. Any modifications would be incorporated into the electric rates proposed to Council in
October 2009, effective January 1, 2010.
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EXECUTIVE SUMMARY
The Utilitypreviously submitted a request letter to Platte River Power Authority to purchase 96,000
MWh ofrenewables in 2010 and 2011. The forecasted blend ofrenewable energy resources for each
of the member municipalities is a delivered wind energy component of approximately 42%and 58%
composed of supply from renewable energy certificates (RECs). The renewable energy purchases
support the City's Electric Energy Policy Goals and the Colorado renewable energy standard.
Replacing existing RECs with 30,700 MWh of delivered wind energy would change the City's
renewable mix to 79%delivered renewable energy(including the associated RECs)and 21%RECs.
If the request letter submitted to Platte River is consistent with the resolution, the effect will be to
increase the 2010 electric rate from 9.5%as proposed in the City Manager's recommended 2010
budget to 10.8%. This would also increase the renewable energy premium charge for voluntary
customers in the Green Energy Program from the proposed 2010 rate of$0.019 to$0.031 per kWh.
The City and Platte River became aware of this opportunity very recently and the availability of the
delivered wind energy is time sensitive. Platte River has requested a commitment from the City by
September 21, 2009.
BACKGROUND
Platte River has identified an opportunity to purchase the energy and environmental attributes from
10 megawatts(MW)ofwind generation that would amount to approximately 30,700 megawatt-hours
(MWh) of energy. Council has indicated to staff at work sessions and in other discussions that its
goal is to eliminate RECs from the City's green energy portfolio. Council has also instructed staff
to honor the existing REC contracts and not to purchase additional RECs. The next REC contract
expires in 2012. The price for this 30,700 MWh of wind energy is in line with other existing wind
energy contracts held by Platte River. Additionally, an equivalent level of RECs will be sold. The
market value of the existing RECs is unknown, but the goal will be to sell the RECs at or near their
approximate purchase cost of S7/MWh. The price of the energy, coupled with the opportunity to
support Council's goal of eliminating RECs from the City's portfolio,provides an opportunity that
should be considered,
What is a REC?
A Renewable Energy Certificate, or REC, is a uniquely identified certificate that comes into being
each time a qualified renewable energyfacilitygenerates a megawatt-hour(MWh)ofoutput. A REC
represents the legal right to the environmental benefits associated with the displacement ofone MWh
of undifferentiated energy on the grid (most of which comes from coal and gas in the Rocky
Mountain region) with one MWh of renewable energy. In REC tracking systems, each certificate
is tagged with an identifying number that is used to track ownership throughout its life. Certificates
may remain attached to their MWh of energy, in which case the energy and the certificate are sold
together (bundled) as renewable energy, or they may be detached from the energy and sold
separately. Once the certificate has been detached from the energy with which it originated, that
energy can no longer be sold as renewable energy. It becomes conventional, commodity energy, and
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must be traded as such. The REC can then be separately sold either on its own or in combination
with conventional grid energy as a renewable energy product.
As a strategy, Platte River has chosen to balance its renewable source portfolio by including both
delivered renewable energy and RECs. Platte River's current forecasted blend for 2010 and 2011
is approximately 58%RECs and 42%deliveredrenewable energy. Renewable energy sources(such
as a new windplant)provide electricity, but are more costly, require transmission, impact efficiency
of existing plants and incur additional operational costs associated with backing up the wind.
Since the adoption of the Electric Energy Supply Policy in 2003 and the subsequent update in 2009,
Utilities and Platte River Power Authority staffs have worked together to assure progress on
achieving the renewable energy goals set in the Policy. Platte River has identified an opportunity
topurchase energyfrom an additional 10 Megawatts ofwindgeneration. Platte River haspresented
this opportunity to the City as an option for increasing wind energy supply to the City. The source
of the energy is wind turbines located in the northeast part of Colorado, with transmission and
delivery provided by Xcel Energy. The 10 MW plant is estimated to produce approximately 30,700
MWh of wind energy (including the associated RECs)per year. It is estimated that this energy can
be purchased for 2010 and 2011 at an additional cost of Sl.I million per year.
The current recommended 2010 and 2011 Light and Power Fund budget includes the renewable mix
price of 50.019 per kWh bringing the Utilities'expense for 96,000 MWh to SI,824,000.
The additional S1.1 million would require 2010 electric rates to increase an additional 1.3%above
the 9.5%proposed in the City Manager's recommended 2010 budget, resulting in a total increase
of 10.8%. The increased cost of the new blend of delivered wind in the renewable portfolio would
also be reflected in the voluntary Green Energy Program, increasing that rate to SO.031 per kWh.
Since this is a voluntary program, it is expected there may be attrition in the Green Energy Program
as a result of the rate increase. "
Steve Catanach, Light and Power Operations Manager, stated the City was presented with an
opportunity three weeks ago from Platte River Power Authority to purchase 10 MWh of additional
wind energy from a new plant being built in far northeast Colorado. The purchase would entail
approximately 30,000 MWh of generation per year. Staff proposes the purchase to be used to replace
renewable energy credits (RECs) in the current portfolio from Platte River with the wind generated
energy. Council has indicated a desire to replace RECs with generated energy. The offer is for a
two-year contract. The purchase will require an additional $1.1 million in expenditure per year to
purchase the energy and would require a 1.3%rate increase. Currently, the City's energy portfolio
is composed of 80%RECs with 20%as generated energy with the associated RECs. In 2010,Platte
River has obtained an additional 12 MWh for the overall portfolio, which changes the City's mix
to 58% RECs and 42% RECs plus generated energy. The purchase will increase the cost of
renewable energy from 1 cent per kilowatt/hour to 1.9 cents per kilowatt/hour. The purchase
provides the opportunity to change the portfolio mix to 21% RECs and 79% generated renewable
energy, but does create an additional rate increase of 1.3%.
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The purchase will help the City achieve Council's stated goal of moving to 100%generated energy
in the future and remove RECs from the portfolio. The production is local and the cost of the energy
is comparable to the Utility's Silver Sage commitment that comes online in 2010. The purchase does
present a rate increase to the ratepayers and is short-term, with only a two-year contract. The City
does have the option to renew the contract, but the price would be renegotiated at that time. The
timing of the purchase is not optimal because it comes at the same time as a 9.5% utility rate is
proposed for the 2010-2011 budget. The rate increase could also affect the voluntary Green Program
where customers opt to purchase a certain percentage of renewables. The rate for the Green Program
would increase from the current rate of$.Ol per kilowatt/hour to $.031 per kilowatt/hour.
Steve Yurash, 2920 Waterstone, Electric Board member, stated the Electric Board adopted a
resolution urging the Council not to approve the proposed purchase because of the short-term nature
of the contract. A longer-term contract would be a better proposal for the Council to consider. The
Board also does not want the City to dispose of its RECs too quickly because pending federal
legislation could make the RECs more valuable. The Electric Board would like to discuss what type
of renewable energy opportunities would be more attractive for the City.
Shane Miller,4325 Mill Creek,noted the difficulty in providing citizen input on issues when citizens
have many questions to be answered, but no opportunity to provide further input after the answers
are provided. Citizen input into items should be expanded at Council meetings to include another
block of time after the staff presentation and an opportunity for the public to ask questions,to allow
the public more opportunity to voice an opinion or to clarify statements that might have been
misunderstood. He asked if acquiring a two-year contract for wind energy and selling RECs would
result in a net benefit in terms of renewable energy. He expressed concern with the effect of
increased rates on the Green Program.
Eric Sutherland, 631 LaPorte, stated a REC is not energy but is a compliance tool for renewable
portfolio standards. Purchase of RECs is subsidizing distant renewable energy generation sources
and does not help Fort Collins.
Councilmember Poppaw asked how the change from RECs to generated energy moves the City
towards the goals in the Climate Action Plan and the Energy Policy. Brian Janonis, Utilities
Executive Director,stated the proposal before Council is in response to a Council request look at the
financial effect of replacing RECs with delivered energy.
Councilmember Poppaw stated the issue of RECs compared to generated energy needs further
discussion with the Council and the Electric Board. The proposed purchase will cost ratepayers an
additional $1.3 million and does not move the City any closer to its stated goals contained in the
Climate Action Plan and the Energy Policy. City Manager Atteberry stated the proposed contract
was discussed at the Platte River Board meeting and was intended to be helpful to Fort Collins.
Mayor Hutchinson stated the opportunity is time-sensitive and was brought to the Platte River Board
at its meeting three weeks ago. As members of the Board, he and Janonis agreed that Fort Collins
should consider this opportunity to remove some RECs from its portfolio. Council has been adamant
that RECs should be removed. The purchase contract is for two years with an option to renew,
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which is not an unusual arrangement for energy contracts. The purchase seemed to fit the desires
of Council to purchase more generated renewable energy.
Councilmember Roy asked if the other Platte River member communities will see the same rate
increase as a result of this project. Janonis stated the other member cities will not see a rate increase
because they are satisfied with Platte River's policy on RECs.
Councilmember Roy asked if the other member communities have brought forward any green
initiatives with Platte River that Fort Collins has not agreed to participate in. City Manager
Atteberry stated Platte River does watch how costs are distributed to the four member cities. Fort
Collins has had natural area projects that have required undergrounding lines at a greater cost.
Council has a work session scheduled in December with Brian Moeck, General Manager of Platte
River, and can discuss equity of costs at that time.
Mayor Hutchinson asked who will pay for the energy if the contract is approved. Janonis stated Fort
Collins will pay for the energy and will receive the energy. The other member communities are most
interested in the lowest cost of power, are not under a renewable energy requirement, and do not
have any greenhouse gas reduction goal. There is a conflict in community values between Fort
Collins and the other member communities.
Councilmember Troxell made a motion,seconded by Councilmember Poppaw,to defeat Resolution
2009-091.
Councilmember Roy stated a reduction in the amount of coal that is burned is an essential
component to lessening greenhouse gas emissions. Efforts need to be focused on increasing
conservation, increasing renewables and creating an energy economy.
Councilmember Troxell stated the contract should not be approved by Council. The proposal is in
line with the direction Council has given to invest in renewable energy and not in RECs. The
proposal increases costs, is not a long-term solution and is not in the context of the direction the
Utility is taking. FortZed and the AMI project are investments in Fort Collins' future. The solution
for the future is not to simply replace RECs with generated energy, as this proposal does, but
integrating renewables within the distribution system in different forms.
Councilmember Ohlson stated Platte River and staff have done exactly what Council has asked by
bringing this proposal forward. He asked for public input for specifics that Council could consider
to accomplish the Climate Action Plan and the Energy Policy goals.
Mayor Hutchinson noted the proposal fits the position and policies of Council but shows that a better
definition of goals is needed. The proposal also highlights the challenges of increasing the amount
of generated renewables in the portfolio. He did not support the proposal because of the cost that
would be added to the proposed increases in rates. Renewable energy is costly and further discussion
is necessary to decide the next steps.
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The vote on the motion to defeat the Resolution was as follows: Yeas: Hutchinson, Kottwitz,
Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED AND THE RESOLUTION WAS DEFEATED.
Suspension of Rules
Councilmember Manvel made a motion,seconded by Councilmember Roy,to suspend the rules and
extend the meeting past 10:30 p.m. Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy and
Troxell. Nays: none.
THE MOTION CARRIED.
Mayor Hutchinson noted Item#21 Resolution 2009-093 Adopting the Airport Business Plan for the
Fort Collins-Loveland Municipal Airport and Item #22 Resolution 2009-084 Appointing Two
Representatives to the Colorado Municipal League Policy Committee will be postponed to October
6, 2009.
("Secretary's note: The Council took a brief recess at this point in the meeting.)
Resolution 2009-092
Approving the Harmony Technology Park Metropolitan District
Nos. 1 through 3 Consolidated Service Plan, Adopted
The following is staff s memorandum for this item.
"FINANCIAL IMPACT
Title 32 Districts ("Special Districts'), such as the proposed Harmony Technology Park
Metropolitan District Nos. 1 through 3 (the "Districts'), are independent, quasi-municipal
corporations and political subdivisions of the state. As such, the debt contemplated by the proposed
Districts will have no impact on the financial situation of the City of Fort Collins (the "City').
Furthermore, Colorado State Statute (11-59-101, et seq., C.R.S.)places certain limits on debt and
general obligation bonds of a Special District.
EXECUTIVE SUMMARY
AM Development Company has submitted a Consolidated Service Plan for Harmony Technology
Park Metropolitan District Nos I through 3. The Districts will be used to fund the planning, design,
acquisition, construction, installation, relocation, redevelopment, maintenance, and financing of
public improvements to include water, sanitary sewer, storm water, streets, and parks and trails.
The Districts estimate the total cost of these improvements at$15,562,108 and plan to issue debt in
the total amount of$14,800,000 to facilitate construction of the improvements.
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BACKGROUND
Project Description
Harmony Technology Park(the "Project') consists of approximately 122 acres in southwest Fort
Collins. The site was acquired by Harmony Tech Parr LLC (the "Owner') a Colorado limited
liability company, in February 2007. The Owner is managed by MA Development Company (the
"Developer'), a Michigan corporation.
The Developer's master plan and vision for the Project is to create a first-class business and
technology campus supporting small and large businesses. This will be accomplished through the
construction ofmulti-tenant rental office and office/f ex buildings, sale of individual sites to business
users for purposes of constructing individual buildings, and construction of commercial retail
buildings to support the Project's businesses. The Project will offer amenities to all of its users
including pedestrian pathways, outdoor seating/plaza areas, and a regional storm water detention
system with native Colorado landscaping features. The Developer has strict Design Guidelines for
the Project to ensure consistent, high-quality site improvements and architecture, including
standards of site signage, landscaping, site lighting, building design and construction materials.
The Developer's goal is to create a business park unequaled in quality and appeal in Northern
Colorado.
The Project requires significant infrastructure (e.g., roads and utilities) to prepare the site for
business users. Installation of this infrastructure will remove the final barrier to actively marketing
the site as "shovel ready. "
City Metropolitan District Policy
On July 9, 2008, Council adopted a Policy for Reviewing Proposed Service Plans for Title 32
Metropolitan Districts(the "City Policy')settingforth criteria to be considered when a service plan
is submittedfor consideration. As the City Policy states, it is "intended as a guide only ... [and shall
not] be construed to limit the discretion of City Council". Therefore, the City Council can at its
discretion approve a service plan that serves a purpose not anticipated by the City Policy.
The Developer has submitted a Consolidated Service Plan for Harmony Technology Park
Metropolitan District Nos 1 through 3 (the "Service Plan'). The City Policy contains several key
criteria for evaluating services plans. These criteria are outlined with a discussion of the proposed
Districts conformance to each:
• Provide public improvements resulting in enhanced benefits to existing or future
businesses. The construction of the public improvements identified in the Districts'Service
Plan will provide a high-quality setting for the construction of Office and Office/Flex
buildings to meet business user needs. The parks and trail facilities will provide pedestrian
access within and through the site. In addition, the natural landscaping of the storm water
system will provide an authentic native Colorado experience.
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• Primarily commercial use. The Project will be entirely commercial including a mixture of
employment and retail uses.
• Enhance the quality of development in the City. The Service Plan does not explicitly call
out design guidelines that require a specific quality of development. However, the
construction of the public improvements including in the Service Plan do allow the project
to move forward. As one of the last remaining large development opportunities along
Harmony Road, accelerating the development of the Project will significantly improve the
quality of the area through enhanced business and commercial activity.
• Max Mill Levy. The City Policy clearly states that the maximum mill levy allowed for a
Special District is forty (40) mills. The Service Plan limits the mill levy to forty (40) mills
with five (5) mills dedicated for on-going maintenance.
• Debt and Financial Projections. The Service Plan includes debt and operating financial
projections that have been prepared by a representative of George K. Baum, a financial firm
listed on the Bond Buyers Marketplace. The analysis also meets the other stipulations of the
City Policy.
• Multiple-District Structure. The City Policy states that Multiple-District structures maybe
proposed when "the projected absorption of the project and the public improvements to be
financed are reasonably projected to occur over an extended period of time. " The projected
absorption of the Districts will occur over an extended period of time. Therefore, the
proposed Multiple-District structure complies with the City Policy.
Economic Health Case to Approve
The Economic Health team recommends that City Council support the proposed Service Plan. This
recommendation is based upon several arguments:
• Support of the community-wide Economic Health Strategy. In2007, the City identifiedfive
Target Industry Clusters (Chip Design, Software, Bioscience, Clean Energy/Technology,
and Uniquely Fort Collins). These Target Industry Clusters are intended to provide the
Economic Health Strategy focus. The Advanced Planning Department has recently
undertaken a study of the available land for location and expansion of businesses within
these clusters. The preliminary findings of that report, which will be completed later this
year, indicate that the available property to meet the needs of Bioscience and Clean
Energy/Technology is a precious commodity. The Project is included in the land available
for these two clusters. Therefore, anything that can be done to assist in the development of
Office and Office/Flex space suitable for these businesses will help to promote the overall
Economic Health Strategy of the City.
• Elevate the Project to "Shovel Ready"Status. City Council has recently discussed the need
to provide "shovel ready"sites for business users that fit within the City's Target Industry
Clusters. The Project is located along the Harmony Road Corridor, which has been clearly
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identified as a major employment growth opportunity in the City. By approving the
proposed Service Plan, City Council will be assisting in one of the last remaining projects
achieve "shovel ready" status.
• Increase the Project's competitiveness in the region. The Project has struggled to move
forward due in part to economic conditions but more importantly the project has lost several
prospects to competitors in the region. The primary reason for these losses is the lack of
existing infrastructure or the cost to construct the required infrastructure. The proposed
Districts allow the costs of the infrastructure to be amortized over a period of time reducing
the up front impact. This allows, the Developer to market his property as "shovel ready"
and reduce the up front cost thereby making the property more competitive in the larger
region.
Josh Birks, Economic Advisor, stated the Council Finance Committee has heard a presentation on
this item and was generally supportive of the formation of the metropolitan districts. The districts
would be formed for the purpose of collecting taxes to fund design, construction and installation of
public improvements. The metro districts would be formed primarily to fund construction of water,
sewer,stormwater,streets and trails in the district area. The cost of these improvements is estimated
at$15.6 million. The request is to allow the districts to issue debt in the amount of$14.8 million.
The service plan limits the total amount of debt that can be?issued without returning to Council to
$14.8 million.
The vision for the project is to design a first-class business and technology park that supports both
small and large businesses. The developer has strict guidelines that adhere to the Harmony Corridor
standards. The proposed metro districts comply with the policy adopted by Council in 2008. The
project is entirely commercial in nature, with either retail or employment uses.
Rob Aldrich,President of MAV Development Company,owners of the Harmony Technology Park
site,thanked Council for its consideration of the metro districts. The company has been in existence
for over 20 years and has an office and land development focus. The project vision will be
accomplished by building speculative office and office-flex buildings and selling sites to users for
site-specific development. Design and architectural standards have been established. The potential
build-out is over one million square feet,$150 million in investment and 2,000 jobs. The formation
of the metro districts will accelerate the development of the infrastructure needed for the project
which improves the appearance and marketability of the site and will attract quality employment
users to the site.
Shane Miller, 4325 Mill Creek, asked if the formation of the metro districts is strictly a financing
mechanism where the developer has the power to tax, limited by the mill levy restriction and how
much independence a metro district has, as a quasi-municipal body, from the City Council.
• Mayor Hutchinson noted Fort Collins is very careful in the incentives it offers to encourage
development and he asked for a description of the use of a metro district as a tool to help with the
economic health of the city. Birks stated metro districts are a method of public finance,called"land-
secured financing,"by leveraging the value of the land that is developed in order to achieve certain
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ends. There is very minimal risk to the City with the formation of metro districts. The risk is taken
by the quasi-municipal district that assumes the debt. Metro districts will enable the project to move
forward and help the City achieve its economic development goals without the City putting funds
directly into the project. Formation of the metro districts will allow the site to become "shovel
ready."
Councilmember Roy asked how a metro district is governed. Birks stated a metro district is a quasi-
municipal district that has taxing ability. The Service Plan limits any additional powers that might
come with the formation of a metro district, such as the power of eminent domain. The mill levy
is capped to limit the amount of taxes the district can collect. Metro districts located in other areas
may*have more independence because their service plans do not contain the limits included in this
Service Plan. Mike Freeman,Chief Financial Officer,stated the districts only exist to finance public
infrastructure that are explicitly listed in the development plan associated with the Service Plan.
Council approval is necessary to add any additional public improvement that is not currently listed
in the Service Plan.
Councilmember Roy asked for the value of the taxable area and how that value enables bonding to
occur. Birks stated the current estimate of the cost of improvements is about $15.6 million. The
metro districts will be given the ability to issue debt in the amount of$14.8 million. The developers
will be using their own funds to fully fund the cost of the public improvements. The amount of
bonding is based on the value of the improvements to the property because the value-increases over
time as the development is built. The projections of the timeline to build the structures influences
how much debt the metro districts can issue. The property is currently assessed at $10,000 by
Latimer County and zoned as agricultural.
Councilmember Poppaw asked if other financing tools were considered. Freeman stated no other
financing options were considered. Urban renewal tax increment financing is the only other tool that
would be available for the site and, because the project is located on the Harmony Corridor, it does
not qualify as an urban renewal project. The property owner specifically inquired about metro
districts. Other developments along I-25 that have Class-A office space similar to this project,have
used metro districts as the primary tool to finance public infrastructure. Other sites along the I-25
corridor are much farther.along and have sites ready for companies to build,which gives those sites
a competitive edge in attracting employers. The Harmony site ranks very high in the site selection
project, but one consistent feedback the City has received is that other sites are much farther along
in terms of being "shovel ready." One project has been developed on the site, with the help of
private activity bonds issued with the City's help. Private activity bonds are a limited financing tool
that benefit individual companies and not the larger development. Use of metro districts as a
financing tool seems to be the best option for this development.
Councilmember Poppaw asked if other types of special districts were available to provide similar
financing and if other communities along the Front Range have chosen not to allow metro districts.
Freeman stated Boulder is the only city in Colorado that does not use metro districts for commercial
development because Boulder is already built out and does not have the raw land available for
development. A metro district is a more appropriate tool for"green field"development. All major
communities along the Front Range allow metro districts. The metro district policy adopted by Fort
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Collins is very specific as to the types of developments that could use this financing tool. The main
criteria of the policy is that the project must be a commercial project, which greatly limits the
number of requests for use of a metro district as a financing tool. The only raw, undeveloped,
strategically located land around Fort Collins that would be available to use metro districts is around
Anheuser-Busch,possibly one or two corners of the Mulberry/I-25 intersection, two corners of the
Prospect/1-25 intersection, the Harmony/I-25 intersection and the site chosen for the Harmony
Technology Park. These sites are strategic employment centers that have been identified in City Plan
and will be consistent with the land use patterns that have been adopted.
Mayor Hutchinson noted the project is 100% commercial and does not contain any residential.
Councilmember Poppaw stated the metro districts will be used as a financing tool and are not an
economic health tool. Metro districts are not an appropriate tool to be used by the City. This is a
great project, but Fort Collins should not be using metro districts as a financing scheme. City
Manager Atteberry stated metro districts can be an important tool in allowing Fort Collins to
compete for development. Metro districts are in use along the Front Range. The City has made a
conscious decision not to use an urban renewal authority along the Harmony Corridor area. Other
communities are willing to use urban renewal authorities to create tax increment financing, which
gives those communities a significant edge in attracting development that is consistent with the
economic vision along the I-25 corridor. The applicant does quality work and has a vision for the
project that agrees with the City's economic health vision and development standards.
Councilmember Poppaw stated giving a private corporation governmental status is not good
governance on the part of Fort Collins.
Councilmember Ohlson asked why the property was valued at only$10,000. Birks stated he would
contact the Larimer County Assessor's Office to determine why the property received that valuation.
Councilmember Ohlson asked for clarification of the design standards that will be used for the
development. Mr. Aldrich stated when his company acquired the property, it had a declaration that
included design standards that act as an encumbrance on the property. The declaration lists the
criteria required for development in the Park and establishes a design review board to monitor the
adherence to the design standards. The declaration includes requirements and encouragements to
stay within a range of design criteria. Encouragements were used to give flexibility to meet the
requirements of the different companies that will move into the Park.
Councilmember Ohlson asked if a company that decides to move into the Park will have the option
of not following the design guidelines. Freeman stated the design guidelines are not part of the
Service Plan. Mr. Aldrich stated the City has design standards for development and MAV
Development also has standards it imposes over and above the City standards to create a consistency
in terms of design. The design standards are intended to create a sense of cohesiveness among the
various buildings that do not relate to one another and yet allow flexibility in the individual design
of those buildings to meet various companies' needs. The design standards are site improvements,
in terms of lighting,signage,standards regarding fencing,outdoor storage,and certain standards for
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building architecture, including types of materials,color schemes. The design standards encourage
compliance with designs that meet LEED standards.
Councilmember Ohlson requested a discussion concerning City incentives to require green building
standards above and beyond City standards.
Freeman stated the design standards are not included with the Service Plan because they are not
considered public improvements. The intent of the Service Plan is to limit the improvements that
can be financed with public money. The Service Plan follows state statute and provides Council
assurance that the taxes collected can only be used for the specified public improvements. Any
requirement, such as meeting LEED standards, would come under the private side, once the
development took place.
Councilmember Poppaw asked what oversight the Council has,once a metro district is established.
Freeman stated the Service Plan limits the activity of the metro district. The district does not have
the ability to do projects or financing outside of the specific projects listed in the Plan without
Council approval. It is limited in the amount of total taxes that can be collected and the Plan cannot
be changed without Council approval. The developer will appoint a board to oversee the limited
functions of the district. The board is required to report to Council annually on the activities of the
district.
Councilmember Ohlson stated the use of a quasi-municipal district such as a metro district is a tool
that is useful and transparent, when the district is properly designed and used. The use of a metro
district is much better than using an urban renewal authority and declaring agricultural land as
"blighted" when it is obviously not. He asked staff not to include any value statements in the
information provided to Council. The metro district policy adopted by Council was clear that no
residential projects would be approved for metro districts. He asked if the project had any aspect that
does not meet the City's metro policy. Freeman stated when Council discussed the adoption of the
metro district policy,much ofthe discussion centered around normal infrastructure requirements that
should be funded by the developer versus extraordinary infrastructure requirements that need public
financing. The Metro District Policy does contain language that allows Council, at its discretion,
to approve a service plan that serves a purpose not anticipated by the City Policy. This proposal does
not have extraordinary or unusual infrastructure requirements but the other aspects of the proposal
make the project an excellent candidate for metro districts.
Suspension of Rules
Councilmember Roy made a motion,seconded by Councilmember Poppaw,to suspend the rules and
extend the meeting past 12:00 a.m. Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy and
Troxell. Nays: none.
THE MOTION CARRIED.
Councilmember Ohlson asked if staff has recommended approval of metro districts because of the
company's track record,even though the funding will be used for normal infrastructure requirements.
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Freeman stated staff had many discussions with MAV Development Company to ensure the project
met the objectives of the City's Metro District Policy. There are other mitigating factors in this case
that Council should consider. The site is a very critical employment site and it has been very
difficult for the developer to move ahead with securing funding to build the infrastructure needed
to allow development of the site to occur.
Councilmember Roy asked why MAV Development Company is asking for financial assistance from
the City when it owns 3 million square feet of office space and has over$500 million in assets. Mr.
Aldrich stated MAV Development Company does have significant capital resources available to
develop its projects. The Company does have a large amount of office space under development,
but the Company does not own all that office space. The capital markets are in total disarray and a
void exists that makes ordinary development extraordinarily hard to develop. Formation of a metro
district is one way to fill that void in financing and allow the project to move forward. A year has
passed and no activity has occurred on the site because of lack of financing. Metro districts are a
financing tool to allow MAV Development Company to access capital at a lower rate for a longer
term and will aid in the success of the project and will be a benefit to the community, as well.
Councilmember Troxell made a motion, seconded by Councilmember Ohlson,to adopt Resolution
2009-092.
Councilmember Troxell stated the project is a proper use of a metro district as a financing tool. The
project will provide opportunities to Fort Collins and for its targeted industries and will allow the
site to be made "shovel ready" to be more competitive with the regional market.
Councilmember Roy did not support the resolution because he did not believe different
governmental entities such as a metro district should be created.
Councilmember Poppaw did not support the formation of a metro district because granting a private
corporation governmental status to issue tax-exempt bonds to pay for infrastructure is not a step
Council should take.
Councilmember Manvel stated metro districts are a financing tool that allows the company to tax
itself and forming metro districts will allow the project to move forward. Many safeguards are in
place to ensure the funds are spent on specific public improvements.
Councilmember Kottwitz stated the formation of metro districts is low risk to the City and the
project will greatly benefit the community.
Councilmember Ohlson stated the project is completely commercial and all the buildings in the
project will be required to meet the City's Land Use regulations. This project is a good use of metro
districts as a financing tool.
Mayor Hutchinson stated the Service Plan for the metro district has been tailored to meet the needs
of Fort Collins.
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The vote on the motion was as follows: Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,and Troxell.
Nays: Poppaw, Roy.
THE MOTION CARRIED.
Adjournment
Councilmember Ohlson made a motion, seconded by Councilmember Roy,to adjourn the meeting
to 6:00 p.m., Tuesday, September 22, 2009 to consider a possible executive session. Yeas:
Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
The meeting adjourned at 12:20 a.m.
Mayor
ATTEST:
City Clerk
378
September 22, 2009
COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
Council-Manager Form of Government
Adjourned Meeting- 6:00 p.m.
An adjourned meeting of the Council of the City of Fort Collins was held on Tuesday, September
22, 2009,at 6:00 p.m. in the Council Chambers of the City of Fort Collins City Hall. Roll Call was
answered by the following Councilmembers: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell.
Staff Members Present: Atteberry, Krajicek, Roy.
Councilmember Manvel made a motion, seconded by Councilmember Ohlson, to continue the
adjourned meeting until the conclusion of the work session. Yeas: Hutchinson, Kottwitz, Manvel,
Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
("Secretary's note: The Council conducted the work session at this point in the meeting and
reconvened at 10:50 p.m.)
Suspension of Rules
Councilmember Manvel made a motion,seconded by Councilmember Poppaw,to suspend the rules
and extend the meeting past 10:30 p.m. Yeas: Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Executive Session Authorized
Councilmember Ohlson made a motion,seconded by Councilmember Poppaw,to go into executive
session for the following purposes: (1)to meet with the City Attorney and affected members of City
staff regarding litigation and related legal issues,as permitted by Section 2-31(a)(2)of the City Code;
and (2) to consider and discuss strategy matters relating to pending contract negotiations with the
Fraternal Order of Police, as permitted by Section 2-31(a)(1)(d) of the City Code. Yeas:
Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
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Adjournment
The meeting adjourned at 11:35 p.m.
Mayor
ATTEST:
City Clerk
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