HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 06/15/2010 - CONSIDERATION AND APPROVAL OF THE MINUTES OF THE M DATE: June 15, 2010 AGENDA ITEM SUMMARY
STAFF: Wanda Krajicek FORT COLLINS •
Consideration and Approval of the Minutes of the May 18 and June 1, 2010, Regular Meetings.
May 18, 2010
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, May 18, 2010,
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, Manvel, Ohlson, Poppaw, Roy, and Troxell.
Councilmembers Absent: Kottwitz
Staff Members Present: Atteberry, Krajicek, Roy.
Citizen Participation
David May,Fort Collins Chamber of Commerce President,encouraged inclusion of communitywide
economic development efforts in Plan Fort Collins.
Maya Jaram, Human Relations Commission Chair, thanked Council for its support of the Human
Relations Commission.
Ann Wilseck, 3200 Azalea, opposed the current recall process and expressed support for
Councilmember Poppaw.
Jason Thiel, 801 Bitterbrush Lane, expressed support for Councilmember Poppaw and opposed
recall efforts.
Bruce Lockhart, 2500 East Harmony Road, opposed green building codes in Fort Collins and
opposed block voting among Councilmembers.
Stacy Lynne, 216 Park Street, opposed Fort Collins' participation in the International Council for
Local Environmental Initiatives and asked that bicycle parking racks be removed from car parking
spaces in Old Town. She opposed the use of the LETA system to publicize a community meeting
with Councilmember Poppaw.
Dan Shaner, 3201 Terry Ridge Road, expressed appreciation to Council.
Citizen Participation Follow-up
Mayor Hutchinson thanked Mr.May for Chamber of Commerce ideas and participation in Plan Fort
Collins.
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Diane Jones, Deputy City Manager, stated staff worked with the Downtown Business Association
and Downtown Development Authority regarding placement of bicycle racks in Old Town. The
racks were installed to relieve congestion on sidewalks and are supported by downtown merchants.
Councilmember Manvel stated the Climate Action Plan was approved by a unanimous vote of the
previous Council and block voting does not occur on a majority of issues.
Mayor Hutchinson stated the Climate Action Plan was formed as an update of a 1999 plan with a
great deal of citizen involvement. The ClimateWise Program encourages efficiencies,and therefore
cost reductions, for Fort Collins businesses.
Councilmember Poppaw asked about using the LETA system for communication with the
community. City Manager Atteberry replied Councilmember Poppaw had asked for a more
environmentally-friendly way to announce her district community meeting. Communications
Director Kelly DiMartino suggested the LETA non-emergency system and this was a pilot test for
using the system. Fort Collins did not have policies regarding the use of that system at the time;
however, those policies have since been established and the use of the system for the meeting
announcement was deemed appropriate.
Councilmember Roy noted the times of service of each of the Councilmembers in response to Mr.
Lockhart's comments regarding block voting.
Agenda Review
City Manager Atteberry stated there were no changes to the published agenda.
CONSENT CALENDAR
6. Consideration and Approval of the Minutes of the April 20, 2010, Regular Meeting.
7. Second Reading of Ordinance No. 048, 2010, Appropriating Grant Funds for the Gardens
on SpringCreek.
reek.
The Gardens on Spring Creek has received a total of$41,375 in grant funding for two part-
time, hourly positions, a Community Garden and Outreach Coordinator and a Fund-raising
Coordinator. This Ordinance, unanimously adopted on First Reading on May 4, 2010,
appropriates the grant funds.
8. Second Reading:of Ordinance No. 049, 2010, Appropriating Unanticipated Grant Revenue
and Transferring Prior Year Reserves in the Northern Colorado Drug Task Force Reserve
to the General Fund for the Northern Colorado Drug Task Force.
This Ordinance,unanimously adopted on First Reading on May 4, 2010, appropriates grant
funds received from the Office of National Drug Control Policy and also transfers$173,381
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from the Northern Colorado Drug Task Force forfeiture reserve account to cover unfunded
expenses.
9. Second Reading of Ordinance No. 050, 2010, Appropriating Unanticipated'Grant Revenue
in the General Fund for Police Services and Providing for the Transfer of Matching Funds
Previously Appropriated in the Police Services OperatingBudget.
udget.
This Ordinance, unanimously adopted on First Reading on May 4,2010, appropriates grant
funds received from the Colorado Division of Criminal Justice, Juvenile Diversion, in the
amount of$6,142 for Restorative Justice Services. An in-kind match of$2,047 is required
and has been met by donated administrative support from the 8th Judicial District Probation
Department. Additional funds of$1,965 are needed to meet expenditure requirements of
the Division of Criminal Justice Juvenile Accountability Incentive Block Grant,which also
funds Restorative Justice Services. This need will be met by appropriating funds from prior
program income.
10. Second Reading of Ordinance No. 051, 2010, Appropriating Unanticipated Revenue in the
General Fund for the Purchase, Training and On-going Maintenance of the E911 and
Emergency Dispatch Systems at Fort Collins Police Services Dispatch Center.
Larimer Emergency Telephone Authority(LETA)provides funds to the Fort Collins Police
Services to be used for equipment and training to process E911 calls. This Ordinance,
unanimously adopted on First Reading on May 4, 2010, appropriates those funds.
11. Items Relating to the Downtown Alley Project.
A. Second Reading of Ordinance No.052,2010,Appropriating Unanticipated Revenue
in the Downtown Alley Enhancement Project.
B. Resolution 2010-027 Authorizing an Intergovernmental Agreement with the
Downtown Development Authority Regarding the Renovation and Redevelopment
of Certain Downtown Alleys.
Ordinance No. 052, 2010, adopted unanimously on First Reading on May 4, 2010,
appropriates the Downtown Alley Enhancement Project funding for construction of the Old
Firehouse and Montezuma Fuller Alley Project. The City will be administering the
construction contract for the Downtown Development Authority.
Resolution 2010-027 authorizes an Intergovernmental Agreement that City staff has
negotiated with the DDA to provide for cooperative management of the Downtown Alleys
Enhancements Project for the renovation of the Montezuma Fuller Alley and the Old
Firehouse Alley. The Intergovernmental Agreement also provides for ongoing DDA
maintenance of the alley improvements, to be carried out on a contractual basis by the City
at DDA expense for the initial two years after completion. After award of the construction
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contract in early June, the project will proceed to completion during the summer of 2010.
Arrangements for work in additional alleys in the future will be addressed in subsequent
arrangements between the City and the DDA.
12: Second Reading of Ordinance No. 053, 2010, Authorizing the Use of a Portion of Bernard
Ranch as Match for a Neotropical Migratory Bird Conservation Act Grant Administered by
the U.S. Fish and Wildlife Service.
This Ordinance,unanimously adopted on First Reading on May 4,2010, authorizes the City
to use a 660 acre purchase of the Bernard Ranch as match toward a Neotropical Migratory
Bird Conservation Act Grant, as well as management funds currently obligated in the
Natural Areas budget. Using the funds already spent as match towards this grant is a great
secondary benefit for the City. The $240,026 grant will fund Rocky Mountain Bird
Observatory's (RMBO) critical research and monitoring work to inform conservation
strategies and management for 30 high priority grassland birds within the Laramie Foothills
Mountains to Plains Project, the Shortgrass Prairie Bird Conservation Region and in the
Chihuahuan Desert of Mexico.
13. Items Relating to Sales, Use and Lodging Tax.
A. Second Reading of Ordinance No. 054, 2010, Amending Chapter 25, Article III of
the City Code Concerning Sales and Use Tax.
B. Second Reading of Ordinance No. 055,2010,Amending Section 25-252 of the City
Code Relating to the Vendor Fee for Collecting and Remitting Lodging Tax.
Ordinance No. 054, 2010, modifies City Code to allow for use of a certified electronic
address database for determining whether or not a customer is in the City,and simplifies tax
collection regarding definitions, waivers, and notice. Ordinance No. 055, 2010, eliminates
the City's current vendor fee for lodging tax licensees. Both Ordinances were unanimously
adopted on First Reading on May 4, 2010.
14. Second Reading of Ordinance No. 056, 2010, Authorizing Conveyance of Non-Exclusive
Drainage Easement on City Property to Provincetowne, LLC.
In 2006, the City of Fort Collins conveyed a permanent drainage easement to KB Home
Colorado on City property. This City-owned property is a future neighborhood park for the
benefit of the Provincetowne P.U.D. Filing Three Development(the"Development"). The
City of Fort Collins Park Planning and Development Department is ready to develop the
park, now known as Water's Way Neighborhood Park. The design,of the Park requires the
alignment of the easement granted in 2006 to move farther south and cross a portion of
Pelican Marsh Natural Area. This Ordinance, unanimously adopted on First Reading on
May 4, 2010, authorizes the conveyance of a new permanent drainage easement reflecting
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the new alignment to the owner of the Development, which is now Provincetowne, LLC.
The 2006 easement will be terminated when the new easement is granted.
15. First Reading of Ordinance No. 057, 2010, Appropriating Unanticipated Grant Revenue in
the General Fund for the Restoration of the Coca-Cola and Angell's Delicatessen Sign
Located on Mountain Avenue.
This request is for appropriating unanticipated revenue in the amount of$44,694 for the
restoration of the Coca-Cola and Angell's Delicatessen sign on the J. L. Hohnstein Block,
220 East Mountain Avenue.The City of Fort Collins was awarded a$22,200 State Historical
Fund (SHF) grant in 2009 by the Colorado Historical Society to restore the deteriorating
historic 1958 sign. Matching funds in the amount of $22,494 will be provided by the
Downtown Development Authority, the City of Fort Collins, the building's owner,
Progressive Old Town Square,LLC,and the Fort Collins Historical Society.The City of Fort
Collins will be responsible for managing the project and receiving and administering the
grant and cash match funds.
16. First Reading of Ordinance No. 058, 2010, Appropriating $200,000 From Prior Year
Reserves in the General Fund to Be Contributed to the Town of Tinmath, Colorado for
Improvements to the Boxelder Overflow Project.
Ordinance No. 012, 2009, adopted on January 20, 2009, appropriated $1.2 million in the
Stormwater Fund and Self-Insurance Fund and irrevocably pledged$800,000 in the General
Fund to be contributed to the Town of Timnath,Colorado for improvements to the Boxelder
Overflow Project. Ordinance No. 012,2009 states that the City will make four payments of
$200,000 from the General Fund each year, starting in 2010. This Ordinance appropriates
the first payment of $200,000 for fiscal year 2010. Subsequent payments will be
appropriated in each of the next three years.
17. First Reading of Ordinance No. 059, 2010, Amending Chapter 23 of the City Code
Pertaining to Excavations, Obstructions and Encroachments.
This Ordinance will accomplish three things:
1. Sec.23-20 of the Code will be amended to require anyone with an excavation permit
to restore an excavated area to its original condition when the excavation is
complete.
2. Sections 23-61 through 23-67 of the Code pertaining to the obstruction permit will
be amended to allow the permit to be issued for non-construction-related purposes.
3. A housekeeping change to Sec. 23-81 of the Code clarifies the circumstances for
issuance of the special event permit, the obstruction permit, and the encroachment
permit.
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18. First Reading of Ordinance No. 060, 2010, Extending the Contracts of the City's Medical
Service and Benefits Consulting Providers for Employee Benefits Programs.
The vendors providing medical coverage and benefits consulting services for City employee
have serviced the City of Fort Collins for many years. This Ordinance will approve an
extension of the current agreements with those vendors, Great-West and Mercer, for an
additional year to allow for sufficient time and resources for a competitive process to be
completed in 2011.
19. Resolution 2010-028 Adopting the Recommendations of the Cultural Resources Board
Regarding Fort Fund Disbursements.
The Cultural Development and Programming and Tourism Programming accounts (Fort
Fund) provide grants to fund community events. This Resolution adopts the
recommendations from the Cultural Resources Board to disburse these funds.
20. Routine Deed of Dedication.
Deed of Dedication from Lafarge West, Inc., for a deed of dedication for street right-of-way
at Harmony Road and Strauss Cabin Road. Monetary consideration: $0.
***END CONSENT***
Ordinances on Second Reading were read by title by City Clerk Krajicek.
7. Second Reading of Ordinance No. 048, 2010, Appropriating Grant Funds for the Gardens
on Spring Creek.
8. Second Reading of Ordinance No. 049, 2010, Appropriating Unanticipated Grant Revenue
and Transferring Prior Year Reserves in the Northern Colorado Drug Task Force Reserve
to the General Fund for the Northern Colorado Drug Task Force.
9. Second Reading of Ordinance No. 050, 2010, Appropriating Unanticipated Grant Revenue
in the General Fund for Police Services and Providing for the Transfer of Matching Funds
Previously Appropriated in the Police Services Operating Budget.
10. Second Reading of Ordinance No. 051, 2010, Appropriating Unanticipated Revenue in the
General Fund for the Purchase, Training and On-going Maintenance of the E911 and
Emergency Dispatch Systems at Fort Collins Police Services Dispatch Center.
11. Second Reading of Ordinance No. 052, 2010, Appropriating Unanticipated Revenue in the
Downtown Alley Enhancement Project.
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12. Second Reading of Ordinance No. 053, 2010, Authorizing the Use of a Portion of Bernard
Ranch as Match for a Neotropical Migratory Bird Conservation Act Grant Administered by
the U.S. Fish and Wildlife Service.
13. Items Relating to Sales, Use and Lodging Tax.
A. Second Reading of Ordinance No. 054, 2010, Amending Chapter 25, Article III of
the City Code Concerning Sales and Use Tax.
B. Second Reading of Ordinance No. 055,2010,Amending Section 25-252 of the City
Code Relating to the Vendor Fee for Collecting and Remitting Lodging Tax.
14. Second Reading of Ordinance No. 056, 2010, Authorizing Conveyance of Non-Exclusive
Drainage Easement on City Property to Provincetowne, LLC.
26. Second Reading of Ordinance No. 043, 2010, Appropriating Unanticipated Revenue and
Electric Revenue Bond Proceeds for the Smart Grid Investment Grant Project in the Light
and Power Fund and for Bond Issuance Costs.
Ordinances on First Reading were read by title by City Clerk Krajicek.
15. First Reading of Ordinance No. 057, 2010, Appropriating Unanticipated Grant Revenue in
the General Fund for the Restoration of the Coca-Cola and Angell's Delicatessen Sign
Located on Mountain Avenue.
16. First Reading of Ordinance No. 058, 2010, Appropriating $200,000 From Prior Year
Reserves in the General Fund to Be Contributed to the Town of Tinmath, Colorado for
Improvements to the Boxelder Overflow Project.
17. First Reading of Ordinance No. 059, 2010, Amending Chapter 23 of the City Code
Pertaining to Excavations, Obstructions and Encroachments.
18. First Reading of Ordinance No. 060, 2010, Extending the Contracts of the City's Medical
Service and Benefits Consulting Providers for Employee Benefits Programs.
25. Items Relating to the Platte River Power Authority Contracts.
A. First Reading of Ordinance No. 061, 2010, Authorizing an Amended and Restated
Organic Contract for Platte River Power Authority.
B. First Reading of Ordinance No. 062, 2010, Authorizing an Amended and Restated
Contract with Platte River Power Authority For the Supply of Electric Power and
Energy.
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Bruce Lockhart,2500 East Harmony Road,pulled Item No. 15,First Reading of Ordinance No. 057,
2010, Appropriating Unanticipated Grant Revenue in the General Fund for the Restoration of the
Coca-Cola and Angell's Delicatessen Sign Located on Mountain Avenue, from the Consent
Calendar.
Councilmember Roy pulled Item No. 17, First Reading of Ordinance No. 059, 2010, Amending
Chapter 23 of the City Code Pertaining to Excavations, Obstructions and Encroachments,from the
Consent Calendar.
Councilmember Manvel made a motion, Seconded by Councilmember Roy, to adopt and approve
all items not withdrawn from the Consent Calendar. Yeas: Hutchinson, Manvel, Ohlson, Poppaw,
Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Consent Calendar Follow-up
Councilmember Troxell noted Item No. 16, First Reading of Ordinance No. 058, 2010,
Appropriating$200,000 From Prior Year Reserves in the General Fund to Be Contributed to the
Town of Tinmath, Colorado for Improvements to the Boxelder Overflow Project, is part of the
settlement with Timnath regarding the gateway aspect of 1-25 and Harmony Road.
Staff Reports
John Stokes, Natural Resources Director, discussed a grant received by the Rocky Mountain Bird
Observatory which has been conducting research at Soapstone Natural Area.
Councilmember Reports
Councilmember Poppaw stated she attended the Community Foundation Celebration of
Philanthropy.
Councilmember Manvel stated he attended a meeting of the Campus Community Coalition which
discussed issues in the downtown area after dark.
Resolution 2010-029
Approving an Agreement Between the City and
Hewlett Packard Company to Provide
Business Investment Assistance for the Building 6 Annex Expansion, Adopted
The following is staffs memorandum for this item.
"EXECUTIVE SUMMARY
The Hewlett-Packard Company is expanding operations at its Harmony Road facility. The
expansion plan includes constructing an Engineering Focused Lab by retrofitting 40,000 square feet
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of the Building 6 Annex. The additional operations will create over 100 jobs, with an annual
average wages of$90,000. The expansion will include two phases totaling $64.4 million in
construction and equipment investment. The City proposes offering a Business Investment
Agreement, including two performance based investments: (1)a one-time use tax rebate on the lab
equipment purchased at installation, and (2) a personal property tax rebate on the same lab
equipment for ten years. Both investments relate to revenues the City would not otherwise collect
if the expansion did not occur. The total investment package has a value of$1.6 million over ten
years. During the same time period, the City will receive $2.0 million in revenues, net of the
investments made.
BA CKGR O UND/DIS C USSION
In 2005, the Economic Action Plan was adopted to provide staff focus and direction regarding
efforts to enhance the local economy. The Action Plan contains four key strategies: (])job creation
through business retention, expansion, incubation, and attraction,'(2) be proactive on economic
issues, (3) build partnerships, and (4) diversify the economy. Furthermore, Council has given
consistent and clear direction that all investment agreements be performance based.
The Business Investment Agreement being offered to the Hewlett-Packard Company (HP) is
consistent with both the Action Plan strategies and City Council direction.
Performance Based Agreement
• Council has consistently requested performance based business investment agreements. The
proposed Business Investment Agreement relates to revenues generated by the project;
without the project these revenues would not be received by the City. The level of investment
corresponds to the level of investment made by HP with maximum amounts set for both use
and personal property tax rebates. Therefore, the City expends revenue out of the General
Fund that is directly generated by the project only.
Business Retention and Expansion
• The Economic Action Plan identifies-both business retention and expansion as the two
primary goals for the City's job creation efforts over business attraction. Attraction efforts
were recommended to be focused on identified Target Industry Clusters.
• The proposed expansion of HP supports this goal and recommendation by focusing
investments on existing business expansion.
Diversify the Economy
• The Economic Action Plan called for the completion of a Target Industry Cluster study. The
study identified six key target clusters. HP is a strong member of the mature Chip Design
cluster.
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• The Targetlndustry Clusterstudy recommended supporting the Chip Design cluster through
retention efforts and to encourage expansion when possible.
• The proposed expansion of HP with the additional Engineering Focused Laboratory
supports this goal and recommendation.
PROJECT DESCRIPTION
HP plans to expand operations at the Harmony Road facility located at 3404 East Harmony Road,
shown in Attachment]. The expansion plan includes constructing an Engineering Focused Lab by
retrofitting 40,000 square feet of the Building 6 Annex, as shown in Attachment 2. The project will
develop in two phases including:
• Phase 1 - $34.4 million in retrofit of the existing building
• Phase 2 - $30.0 million in equipment.
As a result of the expansion, the HPproperty will require additional water and power above existing
usage. This additional usage includes:
• 8.0 million gallons in annual water use
• 10.67 megawatts of electric capacity.
The retrofit project will create several key aspects, including:
A 40,000 square foot Engineering Focused Laboratory
• A "sustainable data center"for technology testing
• Energy Efficiency improvements
• Office space for researchers.
The proposed expansion will add over 100 jobs to the community, with approximately 50 percent
relocated from out-of-state, earning an average wage of$90,000.
BUSINESS INVESTMENT AGREEMENT
The City of Fort Collins uses a variety of customized investments to assist primary employers with
expansion efforts. The City does not employ a "one size fits all'approach to developing investment
packages. Instead, the City chooses to work collaboratively with each primary employer and build
a package that is specific to the individual needs. This approach typically results in a better
outcome for all parties. The Business Investment Agreement contains two aspects contingent upon
City Council approval including: (1)a one-time use tax rebate on the lab equipment purchased at
installation and(2) a personal property tax rebate on the same lab equipment for ten years. Both
investments relate to revenues the City would not otherwise collect if the expansion did not occur.
The complete Business Investment Agreement includes the following items:
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Items That Require City Council Approval
• A maximum of$600,000 in the form of a one-time eligible equipment use tax rebate on the
initial lab equipment purchased at installation of the project; and
• A maximum of$L 0 million in personal property tax rebate on the same lab equipment over
a 10 year period.
Available without City Council Approval
• $400,000 in Colorado FIRST Customized Job Training Funds; and
• Expedited review and commitment by City staff to HP's desired timeline.
When compared against forecast City revenues for a ten-year period, the value of the expansion
exceeds the cost of the proposed investment package, generating net revenue to the City of
approximately $2.0 million. "
Councilmember Poppaw withdrew from the discussion of Resolution 2010-029 Approving an
Agreement Between the City and Hewlett Packard Company to Provide Business Investment
Assistance for the Building 6 Annex Expansion due to a conflict of interest.
City Manager Atteberry stated this is a good news item which will encourage primary job growth.
Josh Birks, Economic Advisor, stated this investment package will encourage job retention through
business expansion and will help diversify the economy. The agreement is performance-based in
that the pledged revenues would not otherwise exist unless the project occurred. The use tax rebate
and personal property tax rebate are directly associated with the amount and level of investment in
the project. The project is a 40,000 square foot retrofit of an existing building to include a
sustainable data center and energy efficiency improvements. The maximum investment is about
S1.6 million. Revenues would not exist at all without the project moving forward. Birks discussed
the social, economic, and environmental benefits of the project.
Glen Colton, 625 Hinsdale Drive, asked about the rationale for financial assistance.
Carrie Gillis, 2213 Timber Creek Drive, supported the business investment agreement and noted
Hewlett Packard and its employees play a large role in the community.
Eric Sutherland, 3520 Golden Currant, asked about a lack of input from the Economic Advisory
Commission.
Bruce Lockhart, 2500 East Harmony, opposed the business investment agreement.
Nancy York, 130 South Whitcomb, questioned the business investment agreement and whether
Hewlett Packard would actually leave the community without the investment.
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Gordon Thibedeau,Larimer County United Way President,thanked Hewlett Packard for its support
of United Way and noted half of the "Make a Difference Day" volunteer hours were provided by
Hewlett Packard employees.
Bill Tucker, 2409 Marquette Street, stated Hewlett Packard should contribute on a smaller, more
local level to the community.
David May, Fort Collins Chamber of Commerce President, stated the types of jobs provided by
Hewlett Packard are difficult to attract and he supported the business investment agreement .
Mayor Hutchinson clarified$1.6 million of the$3.6 million that would be paid to the City over the
next ten years will be rebated; therefore the City will still receive$2 million as part of this project.
City Manager Atteberry confirmed that information and stated this investment by Hewlett Packard
could have taken place in a number of locations. Information shared in negotiations for locations
is often proprietary; therefore, it is not recommended that a citizen group be given the opportunity
to review these types of proposals.
Councilmember Manvel thanked the citizens who spoke regarding the item and asked about the
scale of use tax and building permit fee revenue. Birks replied the use tax from construction is
expected to be$620,000. Real property tax is approximately$88,000 and personal property tax is
about $200,000. Half of will go to the City and half to Hewlett Packard as part of the business
investment agreement. There is no rebate of use tax on subsequent investments, such as future
equipment replacement.
Councilmember Roy asked for a real life estimate of 8 million gallons of water. Brian Janonis,
Utilities Executive Director,replied it is about 22,000 gallons per day and about 1/10 of one percent
of the City's overall demand.
Councilmember Manvel asked about the retrofit cost of the building,which he estimated to be about
$10,000 per square foot. Birks replied the retrofit will include construction of the space for the data
center. The mechanical and energy components are likely the largest piece of the investment.
Councilmember Roy asked about the 6.2 million kilowatt hours figure presented by staff. Steve
Catanach,Light and Power Director,replied 6.2 million kilowatt hours will be,which is a relatively
small amount compared to the amount of energy used by Hewlett Packard each year. Hewlett
Packard is anticipating an increase of 10.6 megawatts in its demand for electricity, due to the server
farm. Platte River Power Authority would not need to add additional generation for that amount.
Councilmember Ohlson asked for a timeframe regarding the 6.2 million kilowatt hours of savings.
Birks replied the savings is an annual energy efficiency amount.
Councilmember Ohlson asked if additional capacity would be needed. Catanach replied no
additional capacity improvements are needed.
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Councilmember Ohlson asked if the project has started through the City development review
process,and if construction has begun. Birks replied some initial retrofit on the building has begun.
A building permit has been pulled.
Councilmember Ohlson asked how staff plans on tracking, monitoring, and reporting how many
current residents obtain the anticipated jobs. Birks replied approximately half of the roughly 100
jobs expected to be created are planned to be hired locally, with the remaining jobs requiring
specific skill sets that may not be available here. It is extremely difficult, if not impossible, to
specifically audit or track job creation.
Mayor Hutchinson noted it is quite expensive, in terms of relocation costs, for any company to hire
individuals from outside the community.
Councilmember Troxell asked how this expansion project fits into the City's innovation economy
model. Birks replied it meets the City's goal of keeping and growing local companies.
Councilmember Troxell made a motion, seconded by Councilmember Manvel to adopt Resolution
2010-029.
Councilmember Ohlson stated he would not support the motion as the project may happen regardless
of the business investment agreement. He thanked Hewlett Packard for its contribution to the
community.
Councilmember Manvel stated he would support the motion as the agreement is a small incentive
for a major benefit.
Councilmember Troxell stated he would support the motion as the incentives are performance-based
and offer a net benefit to the community.
Councilmember Roy stated he would support the motion but noted it is difficult to be certain the
incentives would actually secure the project for Fort Collins.
Councilmember Ohlson stated Fort Collins provides incentives to locate here in terms of quality of
life, reliability and quality of water and electricity, and quality of workforce.
Mayor Hutchinson discussed the importance of these types of incentives for the economic health
of Fort Collins.
The vote on the motion was as follows: Yeas:Hutchinson,Manvel,Roy and Troxell. Nays: Ohlson.
THE MOTION CARRIED.
("Secretary's note: The Council took a brief recess at this point in the meeting.)
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Items Relating to the Platte River Power Authority Contracts, Adopted on First Reading
The following is staffs memorandum for this item.
"EXECUTIVE SUMMARY
The staff of Platte River and the Municipalities initiated an effort to revise and extend the Organic
Contract and the power supply agreements between Platte River and the Municipalities in late 2007.
The goals of this process included: (1) extending the term of the Organic Contract and the power
supply agreements through 2050; (2) the elimination of the Facilities Agreements between Platte
River and each of the Municipalities and the incorporation of the relevant provisions into the new
power supply agreements;(3) the creation of a limited exception to the all-requirements nature of
the power supply agreements so that the Municipalities could pursue local energy generation
options; and(4)general editorial updating.
BA CKGR O UND/D IS C USSION
Estes Park and Longmont approved the updated agreements during July and September of 2008.
Fort Collins held a work session on the updated agreements during October of 2008, which led to
the inclusion of additional language addressing Platte River's environmental commitment. The
updated agreements with language added by Fort Collins were adopted by the Fort Collins Council
in March 2009.
The Loveland Utility Commission expressed concerns about ambiguity in the language added by
Fort Collins and recommended approval of the updated agreements in the form previously approved
by Estes Park and Longmont. Loveland approved the updated agreements without the Fort Collins
revisions during June of 2009.
During the December,8, 2009 Work Session, Fort Collins Councilmembers indicated that the
language that had initially been suggested for the organic and power supply contracts might be
further simplified. Alternative language was suggested and the City Attorney's office was asked
to work with PRPA staff to make the proposed revisions prior to the Platte River Board meeting on
December 10, 2009, so the Mayor could get feedback from Longmont, Loveland and Estes Park.
After the direction from the December Work Session indicating that simplified language would be
acceptable, the Loveland Utilities Commission proposed further revisions. These revisions
eliminated some of the environmental language proposed by Fort Collins, but preserved the central
concept that the powerprovided by Platte River must be reliable, cost-effective and environmentally
responsible in the Purposes section of the Organic Contract. The Loveland Utilities Commission
also accepted the language that requires Platte River to meet to discuss additional generation if the
one percent threshold is met as well as the net metering language added by Fort Collins.
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May 18, 2010
The proposed revisions were reviewed and recommended for approval by the Electric Board on
March 10, 2010. The Agreements were scheduled for review by the Fort Collins City Council on
April 6, 2010, but were pulled from the agenda due to concerns about the changes suggested by the
Loveland Utilities Commission.
On April 20, 2010, representatives of Fort Collins and Loveland met to discuss compromise
language. The language contained in the agreements beingpresented was the result ofthis meeting.
All of the language added by Fort Collins after the December 2009 study session is contained in the
present drafts. The only language change resulting from the April 20 meeting involved removal of
the phrase "demand side resources"and the substitution of more descriptive language. "
Brian Janonis, Utilities Executive Director, stated Platte River Power Authority (PRPA) is,the
wholesale power provider to Fort Collins and the power supply agreement is between Fort Collins
and PRPA and the Organic Contract is between the four cities involved: Fort Collins, Longmont,
Loveland, and Estes Park .
Brian Moeck, Platte River Power Authority General Manager, discussed changes made to the
contracts since late 2007. PRPA is not a party to the Organic Contract,as it is between the four
municipalities; the power supply agreement is between Fort Collins and PRPA.
Eric Sutherland,3520 Golden Currant,discussed the importance of intergovernmental relationships
with other municipalities and expressed concern that Fort Collins may have been at fault for the
contract process taking as long as it did.
Bruce Lockhart, 2500 East Harmony Road, expressed concern that renewable resources may be
unreliable and disagreed with the contract length.
Councilmember Roy asked if allowing Directors to participate in any meeting through electronic
teleconferencing would interfere with the spirit of the laws. City Attorney Roy replied Fort Collins
operates under open meeting laws in City Code and the PRPA Board operates under the state statute.
Joe Wilson, Platte River Power Authority General Counsel, replied there is a state statute allowing
entities such as PRPA to conduct meetings at which attendees may participate via conference call.
Specifically it deals with the issuance of revenue bonds and generally addresses a situation in which
there may be time sensitivity. There are no regulations which would prohibit teleconferencing in
other instances.
Councilmember Roy asked what the timeframe might be in the case of bond issues. Mr. Wilson
replied there have been two instances of calling special meetings to authorize bond issuances with
approximately a 48-hour notice.
Councilmember Ohlson asked ifthe teleconferencing provision could be narrowed in scope between
First and Second Reading to prevent abuse in the future. Mr. Moeck replied all meetings still
require public notification and the building is still open for the public to attend.
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Councilmember Poppaw asked if meeting minutes note when a member has participated via
teleconference. Mr. Moeck replied in the affirmative.
Councilmember Troxell asked why Sections d,f,and g were added to the Power Supply Agreement.
Mr. Wilson replied the language, primarily dealing with planning, was originally part of the
Transmission Facilities Agreement, which will no longer be in effect. The Transmission Facilities
Agreements date back to the 1970s. When Platte River Power Authority was founded, it did not
have any assets, so it relied on some of the municipal transmission assets. PRPA has since
developed many of its own transmission facilities making many of the facilities aspects of the
agreements irrelevant. The planning function sections referenced have now been'included in the
Power Supply Agreement.
Councilmember Troxell asked if the agreement allows for transmission to be provided to the City
of Fort Collins by an entity other than PRPA. Mr. Moeck replied PRPA does not own the entire
transmission grid serving the municipalities. PRPA is not required to be the sole constructor of the
transmission line. PRPA will provide the City with transmission and generation services.
Councilmember Troxell asked if the agreement allows for Fort Collins Utilities to provide for
ancillary services back to PRPA. Mr. Moeck replied ancillary services are currently purchased by
PRPA and could be purchased from Fort Collins, or other municipalities.
Councilmember Troxell asked about rate scheduling. Mr. Moeck replied PRPA has one wholesale
tariff now,but several other tariffs have developed over the years. The agreement does not preclude
additional tariffs to be developed in cooperation with the City.
Councilmember Troxell asked what would be required to change the agreement,if necessary,in the
future. Mr.Wilson replied the agreements have historically been modified every ten years but there
is nothing preventing Council from requesting a modification at any time. An amended Power
Supply Agreement would require approval by both City Council and the PRPA Board of Directors.
Councilmember Roy made a motion,seconded by Councilmember Poppaw,to adopt Ordinance No.
061, 2010, on First Reading.
Councilmember Manvel asked if Fort Collins was the first of the four municipalities involved to
approve the agreement. Mr. Moeck replied in the affirmative.
Councilmember Ohlson stated he would support the motion and asked if PRPA would be reporting
to Council on a regular basis regarding progress with the Climate Action Plan.
Councilmember Roy stated he would support the motion and noted the language inclusions
regarding environmental and sustainability policies.
The vote on the motion was as follows: Yeas: Hutchinson, Manvel, Ohlson, Poppaw, Roy and
Troxell. Nays: none.
THE MOTION CARRIED.
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Councilmember Roy made a motion,seconded by Councilmember Poppaw,to adopt Ordinance No.
0627 2010, on First Reading.
Councilmember Troxell suggested a scheduled review time for the contract. Mr. Moeck noted the
City's Electric Board will be reviewing the contract on an annual basis and will be able to make
recommendations to Council.
The vote on the motion was as follows: Yeas: Hutchinson, Manvel, Ohlson, Poppaw, Roy and
Troxell. Nays: none.
THE MOTION CARRIED.
Items Relating to the Smart Grid Investment Project, Adopted on Second Reading
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
A. Second Reading of Ordinance No. 043, 2010, Appropriating Unanticipated Revenue and
Electric Revenue Bond Proceeds for the Smart Grid Investment Grant Project in the Light
and Power Fund and for Bond Issuance Costs.
B. Resolution 2010-030 Authorizing a Grant Agreement with the U.S. Department of Energy
and Intergovernmental Project Agreements with Cities of Longmont, Loveland, and
Fountain to Receive Grant Funds forinstallation and Deployment ofSmart Grid Technology
Through the Smart Grid Investment Grant program.
Fort Collins Utilities(FCU)has been selected by the Department of Energy(DOE)for a Smart Grid
Investment Grant (SGIG) award. The proposal and award included participation from the Cities
of Loveland, Longmont and Fountain for a total award of$36,202,527. The collaboration with the
other cities was done to improve the chances of being selected by DOE as FCU was advised DOE
wanted collaborative projects that included larger geographic areas and integrated funding.
Ordinance No. 043, 2010, adopted on First Reading on April 20, 2010 by a vote of 6-1 (Nays:
Kottwitz)appropriates $18,101,264 in unanticipated grant revenues and$16,788,863 in proceeds
from the sale of Electric Revenue Bonds proposed to be issued in Ordinance No.--001 of the Board
of the Electric Utility Enterprise,for the purpose of funding the Smart Grid project. Any funds not
utilized by the project, will be applied to debt service on the bonds. This ordinance also
appropriates$211,137for bond issuance costs. These appropriations are all in the Light and Power
Fund.
Resolution 2010-030 authorizes the City Manager to execute the agreement with the Department
of Energy and enter into intergovernmental agreements with the Cities of Longmont, Loveland and
Fountain. The DOE grant provides Fort Collins Utilities with an opportunity to install an AMI
system, accelerate the implementation of its long range IT needs and to begin the modernization of
its electrical distribution system.
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BA CKGR O UND/DISC USSION
The project applicant and grant administrator is the City of Fort Collins. The City of Fort Collins
project focus is in four primary areas.
• Advanced Metering Infrastructure (AMI) and Meter Data Management System
• Grid Automation
• Cyber Security
• Enhanced Demand Response Programs and Customer Engagement.
The City of Fountain is pursuing a citywide Advanced Metering Infrastructure system; the City of
Longmont is installing upgraded relaying in some of its substations; and the City of Loveland is
piloting Advanced Metering.
The intergovernmental agreements establish a cooperative agreement between the Cities that
ensures that the other Cities agree to comply with the requirement detailed with the grant agreement
between the City of Fort Collins and the Department of Energy. "
Steve Catanach, Light and Power Director,discussed the changes made to the Ordinance since First
Reading and noted ratepayers will see benefits from the Advanced Metering Infrastructure (AMI)
System, including improved reliability.
Eric Sutherland, 3520 Golden Currant, stated this technology does not make it any easier to save
energy, but rather makes it more expensive.
Councilmember Ohlson asked about benefits of the project for ratepayers. Catanach replied the
system will provide for more efficient utility operation, including labor cost reductions, and an
increased ability to detect outages.
Councilmember Ohlson asked how much of the project is being funded by a federal grant. Catanach
replied the grant is paying$15.7 million, or half of the cost of the project.
Councilmember Troxell made a motion,seconded by Councilmember Poppaw,to adopt Ordinance
No. 043, 2010, on Second Reading.
Councilmember Roy stated he would support the motion.
Councilmember Manvel thanked staff and noted real-time feedback regarding electrical use should
have an impact on usage reduction.
Councilmember Troxell stated he would support the motion.
Catanach noted any information collected via the meters will go only to the customer.
Mayor Hutchinson noted security issues will be closely regulated.
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The vote on the motion was as follows: Yeas: Hutchinson, Manvel, Ohlson, Poppaw, Roy and
Troxell. Nays: none.
THE MOTION CARRIED.
Councilmember Roy made a motion, seconded by Councilmember Poppaw, to adopt Resolution
2010-030. Yeas: Hutchinson, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Ordinance No. 057, 2010,
Appropriating Unanticipated Grant Revenue in the General Fund
for the Restoration of the Coca-Cola and Angell's Delicatessen
Sign Located on Mountain Avenue. Adopted on First Reading
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
This Ordinance will appropriate unanticipated revenue in the amount of$44,694 for the restoration
of the Coca-Cola and Angell's Delicatessen sign on the J. L. Hohnstein Block, 220 East Mountain
Avenue. The City of Fort Collins was awarded a$22,200 State Historical Fund(SHF)grant in.2009
by the Colorado Historical Society to restore the deteriorating historic 1958 sign. Matching funds
in the amount of$22,494 will be provided by the Downtown DevelopmentAuthority, the City of Fort
Collins, the building's owner, Progressive Old Town Square, LLC, and the Fort Collins Historical
Society. The City of Fort Collins will be responsible for managing the project and receiving and
administering the grant and cash match funds.
BACKGROUND/DISCUSSION
In September 2009, Carol Tunner, a former City Preservation Planner, was asked to be a consultant
on the project and secured the remaining cash match funds. The sole-source contractors are
Evergreene Painting Studios, Inc. of New York/Chicago and Empire Carpentry of Fort Collins.
These experienced contractors come highly recommended by the State Historical Fund. The
detailed scope of work includes documentation, surface preparation and consolidation, paint
analysis, mortar analysis, mortar repointing, repainting the sign, a railingprotection, outreach and
education activities, interpretive signage, and a maintenance plan.
State Historical Fund grants are available to private entities if a public entity serves as the
applicant for their projects. This project will have a significant impact on the historical character
of the surrounding Historic Old Town Fort Collins neighborhood. Therefore, the City agreed to be
the applicant for the grant, and the building owner was the co-applicant. "
Bruce Lockhart, 2500 East Harmony Road, expressed concern that the sign may violate the Sign
Code and promote a still existing company.
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Councilmember Ohlson expressed concern that making the sign look brand new would not
accurately preserve history. Karen McWilliams, Historic Preservation Planner,replied the amount
of degradation of the sign,even in the last five years,is dramatic. If left untreated,it will disappear.
The decision to either repaint the sign to make it look new or repaint the sign to make it look older
has not been made. The decision will be made by the property owners, Downtown Development
Authority, City officials, and Coca-Cola, as it has'the original color palette.
Councilmember Ohlson asked that Council consider postponing the item to work through some of
the concerns.
Mayor Hutchinson expressed concern regarding repainting the sign to make it appear new.
Councilmember Troxell asked about the historical significance of the sign. McWilliams replied the
sign is on the national, state, and local landmark registries. Part of reconstructing the sign will
involve reconstructing the building wall.
Councilmember Troxell asked if Coca-Cola has made any financial contribution for the project.
McWilliams replied the City has applied for grants from Coca-Cola but has not yet received
confirmation regarding financial commitments.
Mayor Hutchinson asked that options be prepared for Second Reading.
Councilmember Manvel supported the idea of clear coating over the existing painting.
Councilmember Roy asked about the possibility this sign violates the Sign Code. Steve Dush,
Current Planning Director, replied the Sign Code provides exemptions for signs with landmark
designations.
Councilmember Roy made a motion,seconded by Councilmember Manvel,to adopt Ordinance No.
057, 2010, on First Reading.
McWilliams stated the Landmark Preservation Commission,State Historic Fund,and National Park
Service should provide input.
City Manager Atteberry suggested postponing Second Reading until June 15,2010. The suggestion
was incorporated as an amendment to the original motion by Councilmembers Roy and Manvel.
Councilmember Roy stated the sign should be preserved.
Councilmember Ohlson stated he would support the motion but would be unlikely to support
anything other than protecting the sign as is.
City Manager Atteberry noted staff does not recommend restoring the sign to appear new.
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Councilmember Poppaw stated she would support preserving the sign as is.
The vote on the motion was as follows: Hutchinson, Manvel, Ohlson, Poppaw, Roy and Troxell.
Nays: none.
THE MOTION CARRIED.
Ordinance No. 059, 2010,
Amending Chapter 23 of the City Code Pertaining to
Excavations, Obstructions and Encroachments, Adopted on First Reading
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
This Ordinance will accomplishthree things:
1. Section 23-20 of the Code will be amended to require anyone with an excavation permit to
restore an excavated area to its original condition when the excavation is complete.
2. Sections 23-61 through 23-67 of the Code pertaining to the obstruction permit will be
amended to allow the permit to be issued for non-construction-related purposes.
3. A housekeeping change to Section 23-81 ofthe Code clarifies the circumstances for issuance
of the special event permit, the obstruction permit, and the encroachment permit.
BACKGROUND/DISCUSSION
1. Excavations-Section 23-20 J
This amendment to the Code was requested by the Downtown Development Authority (DDA). The
DDA is implementing an alley improvementproject in the Downtown area that will add signiftcant
improvement to the Montezuma Fuller Alley and the Old Firehouse Alley. Other alleys have been
improved in the past and other alleys maybe improved in the future. These improvements make the
alleys more attractive, safe, inviting, pedestrian friendly, and usable. The improvements involve
enhanced infrastructure, and includes improvements such as pavers,flagstone, lighting, art-work,
flower beds or planters, canopies, and similar elements. This amendment to the Code is needed to
ensure these improvements are replaced or restored with the same kind,quality, color,serviceability
and material composition in the event the improvements are damaged or disturbed in the future by
a contractor or developer, unless the City expressly agrees otherwise in writing.
2. Obstruction permits-Section 23-61 through Section 23-67
In the current City Code, the obstruction permit allows the permit holder to use an on-streetparking
space (or spaces) in the public right-of-way for construction-related activity, such as staging
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equipment, materials, tools, dumpsters, or other items needed to construct, remodel or otherwise
improve a building. Currently, the obstruction permit may not be used for non-construction-related
activities, but there is an occasional need to do so (examples are given below) This ordinance
amends the Code to define the conditions and process under which staff may issue a permit for the
use of on-street parking spaces for non-construction-related activities, and clarifies the conditions
and process of issuing a permit for use of on-street parking spaces for construction-related
purposes.
Many of these activities have a public benefit and help to create the unique character of the
downtown area. Examples of when a non-construction-related permit might be needed are listed
here (note -- some of these are actual requests that have not been accommodated due to current
limitations in the Code):
• The Health Services District requests up to four spaces to place a lengthy medical services
vehicle at the curb to offer flu shoots, medical exams, or other medical services.
• The Downtown Business Association needs to use a space in excess ofthe allowed time limits
to park a support vehicle for Santa Claus during the holiday season.
• A downtown restaurant wants to use four spaces to offer temporary valet parking services
to visiting national journalists who are writing articles about Fort Collins.
• A downtown business would like three spaces in front of its store for a two or three-day
promotional event.
• Beet Street would like to use a few spaces for a "special event launch. "
• The Greek Festival needs four spaces for,a refrigerated truck.
• A charter school wants to use some spaces in connection with a fund-raiser.
• A bicycle race committee wants to stage a kiosk and judging platform in some on-street
parking spaces next to Old Town Square.
• A wedding party wants to park a limo in front of a reception hall.
In many respects, the justification for allowingpermit applicants to use on-streetparking spaces for
activities like those listed above is the same as the justification for allowing restaurants to use
portions of the sidewalkfor extra seating during the summer season. The genesis for both uses is
a private business occupyingpublic space fora business purpose that adds character, ambiance and
"atmosphere"to the downtown area in a way that contributes to the qualities that make downtown
unique and attractive. The public benefit of making this Code change is the contribution it makes
toward keeping downtown as the crown jewel of Fort Collins, the "heart and soul"of the City that
can be enjoyed by every citizen and their guests and visitors.
In order to ensure that this proposed new use of an obstruction permit is reasonable and in the
public interest,several new regulatory elements are beingproposed for the non-construction-related
permit as part of this ordinance. NOTE: The existing regulatory elements that apply to the
construction-related permit will remain in place. The bullets below are changes that apply to the
non-construction-related permit.
• Handicap spaces cannot be obstructed.
A permit cannot be issued for more than four days.
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• An applicant may only receive two permits per year, and they may not be for consecutive
time periods (in other words, they cannot be issued "back-to-back.)
• The obstruction cannot be "overnight. "
• The parking space that is to be obstructed must be adjacent to (i.e., in front oJ) the property
of the applicant, or the adjacent property owner's consent must be obtained.
• The City will retain the final authority to increase or decrease the number ofspaces that can
be used, and ensure that the use is in the public interest, and may do so even in situations
where an adjacent property owner may not grant consent.
• Proof of insurance will be required to limit the City's liability.
• Fees for the permit will be determined by the City Manager, and will include an application
fee, and a daily use fee. The fees will recover the City's costs to administer the permit and
provide an incentive to return the parking spaces to service. Staff recommends the following
fee structure:
a Application fee $25 (includes one day of use for first space)
a Use fee for additional days for first space $25/day
o Use fee for 2nd or more spaces $10/day
o NOTE: The fees above also apply to a construction-related permit for the first four
days. Beginning on day five, the use fee for construction-related spaces is$2/space/day for
the remaining term of the permit.)
o Fees may be waived or reduced for governmental entities or if the City Manager or
his designee determines that it is in the public interest to do-so.
• Permits may be denied or revoked if the terms of the permit are not met.
• Permit holders must clean up after themselves and return the parking space to its original
condition when the use of the permit is completed.
3. Encroachment permits-Section 23-81
These amendments to the Code are minor housekeeping amendments. In the past, there has been
confusion about the use of three differentpermits--the special eventpermit, the obstruction permit,
and the encroachment permit. This Code change makes the following distinctions:
• The special event permit will be used for large events that involves street closures, like New
West Fest or a parade.
• The obstruction permit will be used when the applicant wants to use parking spaces in the
public right-of-way.
• The encroachment permit will be used when the applicant wants to use public property for
any purpose not covered by the special event permit or the obstruction permit. For example,
if a restaurant wants to use a portion of the sidewalk in front of its business for expanded
seating, an encroachment permit would be required. "
Councilmember Roy asked if downtown parking spaces were valued at$300,000 per space,in terms
of revenue generation. City Manager Atteberry confirmed the figure.
Councilmember Roy expressed concern that the proposed fee structure for renting spaces for special
events is not accurate.
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City Attorney Roy stated the value issue can be addressed between First and Second Reading but
the primary reason for the item is to clarify confusion regarding permit types.
Councilmember Ohlson noted the issues regarding parking spaces for construction seem valid;
however, allotting parking spaces for other activities may need further consideration.
Councilmember Troxell stated Council and staff need to have a comprehensive understanding of the
parking policy and possible variances.
Councilmember Manvel made a motion, seconded by Councilmember Ohlson, to adopt Ordinance
No. 059, 2010, on First Reading.
City Attorney Roy asked for clarification regarding specific issues which need to be addressed prior
to Second Reading, including the rate structure and more detail regarding potential uses for parking
spaces other than construction.
Councilmember Manvel asked for clarification regarding the issue of recovering costs for the City.
Councilmember Troxell stated he would not support the motion as there is a lack of a comprehensive
parking policy.
City Manager Atteberry stated the parking policy would be part of a work session agenda in late
summer. He noted the eco-friendly vehicle parking space sign has been removed from downtown.
Mayor Hutchinson asked for inclusion of overall parking policy discussions in Plan Fort Collins.
The vote on the motion was as follows: Hutchinson, Manvel, Ohlson and Poppaw. Nays: Roy and
Troxell.
THE MOTION CARRIED.
Motion to Adjourn
Councilmember Ohlson made a motion, seconded by Councilmember Roy, to adjourn until the
conclusion of the Urban Renewal Authority meeting and then reconvene for the purpose of
considering a motion to go into Executive Session.
Councilmember Roy asked for clarification regarding returning to Electric Utility Enterprise and
Urban Renewal Authority business following Executive Sessions. City Attorney Roy replied
Council's Rules of Procedure, adopted by Resolution, do not apply to meetings of Boards of the
other Authorities and Entities. Those Boards could adopt similar Rules of Procedure,but have not.
Adequate notice of the meetings has occurred and meetings are appropriately open to the public.
The vote on the motion was as follows: Hutchinson, Manvel, Ohlson, Poppaw, Roy and Troxell.
Nays: none.
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THE MOTION CARRIED.
("Council adjourned until the end of the Urban Renewal Authority Meeting and reconvened at
11:25 p.m.)
Councilmember Manvel made a motion, seconded by Councilmember Roy, to extend the meeting
past 10:30 p.m. Yeas: Hutchinson, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Adjournment
The meeting adjourned at 11:30 p.m.
Mayor
ATTEST:
City Clerk
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June 1, 2010
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, June 1, 2010, 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
Holly Carroll, Poudre River Public Library District Director, 201 Peterson Street,thanked Council
and the City of Fort Collins for its support and partnership.
Stacy Lynne, 216 Park Street, discussed Plan Fort Collins and opposed Fort Collins' participation
in the International Council for Local Environmental Initiatives (ICLEI). She opposed the City's
decision to cut funding for water play areas in two of the City's parks.
Vicki Lutz, 1644 Foxbrook Way, thanked Council for its support of Crossroads Safehouse.
Kevin Cross, Fort Collins Sustainability Group, 300 Peterson Street, supported the Climate Action
Plan and noted it was accepted by unanimous Council vote. He opposed the recall proceedings of
Councilmember Poppaw.
Eric Sutherland, 3520 Golden Currant, discussed abuses of TIF awards and specifically opposed
their use in funding the RMI2 building.
Cheryl Distaso, Center for Justice, Peace, and the Environment, 135 South Sunset, supported the
Climate Action Plan.
Marlene Gruner, 5225 White Willow Drive, discussed state and local sales tax.
Citizen Participation Follow-up
City Manager Atteberry stated two administrative budget reductions early in 2010 were funding for
the fountains at Fossil Park and Spring Canyon Park.
Marty Heffernan, Director of Culture, Parks, Recreation, and Environment, discussed Parks and
Recreation budget reductions which include keeping the two fountains turned off.
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City Manager Atteberry noted the cuts were not tied to Resourcing Our Future. The Oak Street
Plaza fountains were not shut down due to the high volume of visitors to downtown. He noted no
major safety incidents have been reported at the Oak Street Plaza fountains.
Councilmember Kottwitz expressed concern regarding the lack of City water features operating on
the south side of town and asked about the possibility of turning on one of the south park water
features as opposed to the Oak Street Plaza fountain. City Manager Atteberry replied that is a
possibility and noted the Courthouse and Old Town fountains are funded by the County and
Downtown Development Authority, respectively.
Councilmember Kottwitz asked that the item be brought before Council for further discussion.
Councilmember Troxell agreed with Councilmember Kottwitz and stated efficiencies in other areas
could possibly increase funding for these types of desired facilities. He stated there is no effective
mechanism to prioritize programs within the City organization.
Councilmember Manvel noted the Parks and Recreation Board recently reviewed the decision and
unanimously supported it and stated Council should not micromanage the City budget.
Councilmember Ohlson discussed the large extent of future budget cuts. He discussed ICLEI and
communities with memberships thereof.
Councilmember Roy thanked Ms. Lutz and Crossroads Safehouse for services provided to the
community.
Councilmember Poppaw thanked Ms. Lutz and Crossroads Safehouse.
Mayor Hutchinson noted the Budgeting for Outcomes process is outlined and discussed on the
City's web page.
Agenda Review
City Manager Atteberry rescheduled Item No. 14, First Reading of Ordinance No. 068, 2010,
Making Various Amendments to the City of Fort Collins Land Use Code.
CONSENT CALENDAR
6. Consideration and Approval of the Minutes of the May 4, 2010, Regular Meeting,
7. Second Reading of Ordinance No. 058, 2010, Appropriating $200,000 from Prior Year
Reserves in the General Fund for the City's Contribution for the Boxelder Overflow Project.
Ordinance No. 012, 2009, adopted on January 20, 2009, appropriated $1.2 million in the
Stormwater Fund and Self-Insurance Fund and irrevocably pledged$800,000 in the General
Fund to be contributed to the Town of Timnath,Colorado for improvements to the Boxelder
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Overflow Project. Ordinance No. 012, 2009 states that the City will make four payments of
$200,000 from the General Fund each year, starting in 2010. Ordinance No. 058, 2010,
unanimously adopted on First Reading on May 18, 2010, appropriates the first payment of
$200,000 for fiscal year 2010. Subsequent payments will be appropriated in each of the next
three years.
8. Second Reading of Ordinance No. 060,2010,Extending the Contracts of the City's Medical
Service and Benefits Consulting Providers for Employee Benefits Programs.
The vendors providing medical coverage and benefits consulting services for City employee
have serviced the City of Fort Collins for many years. This Ordinance,unanimously adopted
on First Reading on May 18, 2010, approves an extension of the current agreements with
those vendors,Great-West and Mercer,for an additional year to allow for sufficient time and
resources for a competitive process to be completed in 2011.
9. Items Relating to the Platte River Power Authority Contracts.
A. Second Reading of Ordinance No.061,2010,Authorizing an Amended and Restated
Organic Contract for Platte River Power Authority.
B. Second Reading of Ordinance No.062,2010,Authorizing an Amended and Restated
Contract with Platte River Power Authority For the Supply of Electric Power and
Energy.
The staff of Platte River and the Municipalities initiated an effort to revise and extend the
Organic Contract and the power supply agreements between Platte River and the
Municipalities in late 2007. The goals of this process included:(1)extending the term of the
Organic Contract and the power supply agreements through 2050; (2)the elimination of the
Facilities Agreements between Platte River and each of the Municipalities and the
incorporation of the relevant provisions into the new power supply agreements;( 3) the
creation of a limited exception to the all-requirements nature of the power supply agreements
so that the Municipalities could pursue local energy generation options; and (4) general
editorial updating. These Ordinances were unanimously adopted on First Reading on May
18, 2010.
10. First Reading of Ordinance No. 063, 2010, Appropriating Prior Year Reserves in the
Cultural Services Fund for Transfer to the Capital Projects Fund and Appropriating
Unanticipated Revenue in the Capital Projects Fund for the Building on Basics Lincoln
Center Renovation Project.
The Lincoln Center Renovation project is funded primarily through the Building on Basics
capital tax renewal approved by voters in 2005. Unanticipated grant revenue and prior year
reserves in the Cultural Services Fund will be used to complete the full scope of the $7.3
million project. Approximately $5.5 million has been appropriated from the Building on
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Basics tax and this ordinance appropriates an additional $1.4 million from unanticipated
grant revenue and prior year reserves in the Cultural Services Fund. The remaining
$400,000 needed will be raised through fund-raising with the Building on Basics dollars
being leveraged to complete the full scope of the capital project.
II. Items Relating to the Poudre River Public Library District.
A. First Reading of Ordinance No. 064, 2010, Amending Chapter 7.5, Article II and
Chapter 8, Article III of the City Code to Discontinue the Library Capital
Improvement Expansion Fee.
B. First Reading of Ordinance No. 065,2010,Repealing Chapter 23,Article VII of the
City Code Regarding the Care and Custody of the Library.
Since 1996, the City has imposed an impact fee on residential building permits as a means
of funding the increased demand for library services that comes with a growing community.
In 2006, voters approved the formation of a new Library District funded primarily by
property taxes and a portion of the Building on Basics sales tax. The Intergovernmental
Agreement between the City, Larimer County, and the Poudre River Public Library District
notes that following the opening of Council Tree Library,the Fort Collins City Council will
consider whether to continue imposing a library impact fee.
The Council Tree Library opened in March 2009. Since that time,both Larimer County and
the Town of Timnath have chosen not to impose an impact fee for library services.
Ordinance No. 064, 2010, will discontinue the current library expansion fee imposed on
residential properties in Fort Collins, and eliminate the library capital improvement
expansion account within the capital improvement expansion,fund.
Ordinance No. 065, 2010 repeals the last remaining City Code reference to the library,
dealing with the care and custody of the library,which now belongs to the Library District.
12. First Reading of Ordinance No. 066, 2010 Amending Section 1-15 (g) of the City Code
Regarding General Penalty and Surcharges for Misdemeanor Offenses,Traffic Offenses and
Traffic and Civil Infractions.
On January 5, 2010, Council adopted the traffic calming surcharge to include bicycle
violations that would be added to citations. The traffic calming surcharge is to be assessed
to what would be considered a violation where one(1)or more points would be assessed to
a motorist. The original ordinance could be interpreted to require the surcharge on all
bicycle violations. This is an effort to ensure the surcharge is applied to any moving
violation where at least one point is assessed.
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June 1, 2010
13. First Reading of Ordinance No. 067, 2010, Amending Section 26-279 of the City Code to
Allow Additional Means of Determining Wastewater Volume as the Basis for Wastewater
Service Fees and Charges.
This proposed Code amendment allows Utilities to establish an alternate means for
determining wastewater volume for typical applications used in manufacturing processes by
some of the City's industrial and large commercial customers. Examples include cooling
towers and other equipment or processes where a measurable reduction in wastewater
discharge can be determined and metered. The reduction would generally be established for
a specific process rather than facility as a whole.
15. First Reading of Ordinance No.069,2010,Amending Section 4 of Ordinance No.025,2010,
to Change the Meaning of the "Same Ownership" Requirement as Applied to Existing
Medical Marijuana Businesses That Wish to Apply for Licensing under Chapter 15,Article
XVI of the City Code.
The purpose of this Ordinance is to clarify the licensing process existing for medical
marijuana businesses.This Ordinance states that existing businesses applying for a Medical
Marijuana Business License must list at least one original name from the City Sales Tax
License on the application.
16. First Reading of Ordinance No.070,2010,Vacating a Portion of Right-of-way as Dedicated
on the Plat Richard's Lake PUD, Filing One.
This site is located south of Douglas Road and west of Turnberry Lane. Prior development
proposals dedicated street networks on Hearthfire PUD, First Filing and Richard's Lake
PUD,Filing One. A Planning and Zoning Board hearing was held on January 18,2007, for
a development proposal entitled Water's Edge that shows a different street layout than was
originally platted. Therefore, a portion of the previously dedicated right-of-way for the
streets is no longer necessary and is proposed for vacation at this time. The right-of-way
vacation on Hearthfire PUD, First Filing is proposed under a separate ordinance.
17. First Reading of Ordinance No. 071,2010,Vacating a Portion of Right-of-way as Dedicated
on the Plat Hearthfire PUD, First Filing.
This site is located south of Douglas Road and west of Tumberry Lane. Prior development
proposals dedicated street networks on Hearthfire PUD, First Filing and Richard's Lake
PUD, Filing One. Since that time a development proposal, Water's Edge, for which a
Planning and Zoning Board hearing was held on January 18, 2007, was submitted which
shows a different street layout than was originally platted. Therefore, a portion of the
previously dedicated right-of-way for the streets are no longer necessary and are proposed
for vacation at this time.
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June 1, 2010
8. Resolution 2010-031 Adopting the Northern Colorado Regional Hazard Mitigation Plan.
This Resolution will adopt the updated and revised All Hazard Mitigation Plan, as required
by the Federal Emergency Management Agency(FEMA).
19. Routine Easements.
A. Easement for Construction and Maintenance of Public Utilities from Functional
Forms, LLC, to install secondary electric vault at 720 Maple Street. Monetary
consideration: $10
B. Deed of Easement and'Temporary Construction Easements for the Downtown Alley
Improvement Project - Montezuma Fuller Alley. From:
Kissock `91 Partnership, monetary consideration: donation.
Gerald W. and Barbara R. Jackson, monetary consideration: $1,164.
Walter J. Frick, monetary consideration: $89.
Downtown Development Authority, monetary consideration: donation.
K&M Company, LLLP, monetary consideration: $102.
John F. Arnolfo (2), monetary consideration: $325 (each)
Marilyn Roberts and Mitchell A. Busteed, monetary consideration: $305
Wallace J. Walberg, monetary consideration: $305.
K. Douglas Genetten, monetary consideration: $185.
John D. And Mary Anne Motte, monetary consideration: $138.
Dorothy I. Asmus, monetary consideration: donation.
***END CONSENT***
Ordinances on Second Reading were read by title by City Clerk Krajicek.
7. Second Reading of Ordinance No. 058, 2010, Appropriating $200,000 from Prior Year
Reserves in the General Fund for the City's Contribution for the Boxelder Overflow Project.
8. Second Reading of Ordinance No.060,2010,Extending the Contracts of the City's Medical
Service and Benefits Consulting Providers for Employee Benefits Programs.
9. Items Relating to the Platte River Power Authority Contracts.
A. Second Reading of Ordinance No.061,2010,Authorizing an Amended and Restated
Organic Contract for Platte River Power Authority.
B. Second Reading of Ordinance No.062,2010,Authorizing an Amended and Restated
Contract with Platte River Power Authority For the Supply of Electric Power and
Energy.
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25. Second Reading of Ordinance No. 059, 2010, Amending Chapter 23 of the City Code
Pertaining to Excavations, Obstructions and Encroachments.
Ordinances on First Reading were read by title by City Clerk Krajicek.
10. First Reading of Ordinance No. 063, 2010, Appropriating Prior Year Reserves in the
Cultural Services Fund for Transfer to the Capital Projects Fund and Appropriating
Unanticipated Revenue in the Capital Projects Fund for the Building on Basics Lincoln
Center Renovation Project.
11. Items Relating to the Poudre River Public Library District.
A. First Reading of Ordinance No. 064, 2010, Amending Chapter 7.5, Article II and
Chapter 8, Article III of the City Code to Discontinue the Library Capital
Improvement Expansion Fee.
B. First Reading of Ordinance No. 065,2010, Repealing Chapter 23,Article VII of the
City Code Regarding the Care and Custody of the Library.
12. First Reading of Ordinance No. 066, 2010 Amending Section 1-15 (g) of the City Code
Regarding General Penalty and Surcharges for Misdemeanor Offenses,Traffic Offenses and
Traffic and Civil Infractions.
13. First Reading of Ordinance No. 067, 2010, Amending Section 26-279 of the City Code to
Allow Additional Means of Determining Wastewater Volume as the Basis for Wastewater
Service Fees and Charges.
15. First Reading of Ordinance No.069,2010,Amending Section 4 of Ordinance No.025,2010,
to Change the Meaning of the "Same Ownership" Requirement as Applied to Existing
Medical Marijuana Businesses That Wish to Apply for Licensing under Chapter 15,Article
XVI of the City Code.
16. First Reading of Ordinance No. 070,2010,Vacating a Portion of Right-of-way as Dedicated
on the Plat Richard's Lake PUD, Filing One.
17. First Reading of Ordinance No. 071,2010,Vacating a Portion of Right-of-way as Dedicated.
on the Plat Hearthfire PUD, First Filing.
24. First Reading of Ordinance No. 072, 2010, Rescinding the Designation of the Henry
Jessup/Cal Johnson Farm Buildings, 2902 Rigden Parkway, Fort Collins, Colorado, as a
Historic Landmark Pursuant to Chapter 14 of the City Code.
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Councilmember Manvel made a motion, seconded by Councilmember Poppaw, to adopt and
approve the Consent Calendar as amended. Yeas:Hutchinson,Kottwitz,Manvel,Ohlson,Poppaw,
Roy and Troxell. Nays: none.
THE MOTION CARRIED.
Consent Calendar Follow-up
Councilmember Ohlson stated he would like Platte River Power Authority (PRPA) to broaden its
memberships beyond the organizations that are continually lobbying against all appropriate
environmental regulations being proposed on a variety of levels. He requested a progress report to
the PRPA Board and the participating City Councils regarding Climate Action Plan progress and
a follow-up to a chart regarding plant pollution. Mayor Hutchinson noted the chart does reference
a"per unit of energy produced"measurement.
Councilmember Ohlson asked if PRPA Board meetings were going to be televised. Mayor
Hutchinson replied the topic has been broached with PRPA's General Manager.
Councilmember Ohlson noted the impact fee for library services for the Poudre River Public Library
District has been discontinued as Larimer County and the Town of Timnath have chosen not to
impose their own impact fees, thereby eliminating the regional aspect of the Library District. He
requested follow-up regarding TIF financing in Timnath.
Councilmember Troxell thanked staff for including comments relating to Fort Zed in the discussion
of the Organic Agreement with Platte River Power Authority.
Councilmember Reports
Councilmember Manvel stated he attended the Convention and Visitor's Bureau (CVB) annual
awards luncheon and Councilmember Ohlson received the Founder's Award for his participation
regarding the CVB and Lodging Tax.
Councilmember Ohlson discussed the Old Town Square 25th Anniversary celebration.
Resolution 2010-032
Declaring the Intent of the City of Fort Collins, Colorado to Issue
Economic Development Revenue Bonds to Provide Financing for a
Manufacturing Facility for Palladius, Inc. DB/A Integware, Inc.;
Prescribing Certain Terms and Conditions of Such Bonds; and
Containing Other Provisions Relating to the Proposed Issuance of Such Bonds, Adopted
The following is staff s memorandum for this item.
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"EXECUTIVE SUMMARY
The primary reason for the City adopting an inducement resolution for this project is found in
federal tax law. If a municipal borrower or private activity bond beneficiary (e.g., Integware, Inc)
desires the ability to reimburse itself out of the tax exempt bond proceeds for expenditures that
accrue before the issuance of the bonds, the Internal Revenue Service Code will permit such
reimbursement,provided that thepublic issueradopts an inducement resolution and the expenditure
is accrued no earlier than 60 days prior to the date such resolution was adopted. Accordingly,
inducement resolutions are often adopted very early in the bond process to maximize the project
costs to which the tax exempt proceeds can be applied. However, as made clear in the resolution,
adoption does not create an obligation on the part of the City to authorize the bonds.
BACKGROUND
Palladius, Inc., doing business as Integware Inc., has requested that the City help in expanding its
business in Fort Collins and facilitating the construction of a new headquarters facility at the
Harmony Technology Park on Harmony Road.
The recommendation is to allocate the City's 2010 Private Activity Bond(PAB)allocation(just over
$6 million) along with Larimer County's allocation (just over $4 million) to help facilitate the
expansion of this important business in the community. The total project cost is around$10 million
for a 60,000 to 70,000 square foot headquarters building. The firm currently employs 128 people.
The company expects to add employees and have 185 staff by 2013 (two years post construction).
The construction milestones are as follows:
Vacant Land Purchase and Sale Agreement Execution: April 2010
Project Design/Entitlement Start: May 2010
Project Construction Start: October 2010
Project Certificate of Occupancy: September 2011
The action tonight begins the overall process of allocating and issuing the Private Activity Bonds.
The Action recommended does not, at this time, commit the City to issue the bonds. "
Mike Freeman,Chief Financial Officer,stated this Resolution declares the intent of the City to issue
Private Activity Bonds in the name of Integware, Inc., for the purpose of expanding the software
company. Integware, Inc. has recently opted to purchase property at Harmony Technology Park.
The recommendation is to allocate the City's 2010 Private Activity Bond (PAB) allocation of just
over $6 million, along with Larimer County's allocation of just over $4 million, to help facilitate
the expansion of this business. The item will go before the Economic Advisory Commission and
Council Finance Committee as well.
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Mayor Hutchinson noted this Resolution declares intent and asked for clarification regarding the
remaining parts of the process. Freeman replied the first action regarding Private Activity Bonds
is the inducement resolution, which declares intent. The decision to issue the bonds will come in
July or August and will require formal action by Council at that time. The bonds will be issued in
the City of Fort Collins' name although there is no obligation to repay the debt.
Mayor Hutchinson asked how long ago the City last used Private Activity Bonds. Freeman replied
the last project using these bonds for employment projects was two years ago for Custom Blending,
a manufacturing company which recently moved to Harmony Technology Park, as well.
Councilmember Roy asked how frequently Private Activity Bonds are allocated. Freeman replied
this project would account for the City's entire allocation for fiscal year 2010. The State of
Colorado retains 50%of the total Private Activity Bond allocation so other qualified projects could
go through the state to receive financing.
Councilmember Ohlson asked how much this project specifically, and the Private Activity Bond
program in general, is costing the Federal Treasury. Freeman replied debt issued privately would
have a higher interest rate and the bondholder will benefit from the bonds being tax-exempt. Private
Activity Bonds fund many affordable housing projects and manufacturing businesses throughout
the country. Software companies qualify through the end of 2010. Demand for these bonds in Fort
Collins is low due to the lack of a core manufacturing community and the level of difficulty in
qualifying. Private financing is also involved in these projects.
Councilmember Roy asked if the City's bond rating would be affected, should the bonds go into
default. Freeman replied in the negative and noted the bondholder is aware the City is under no
obligation to repay the debt.
Councilmember Troxell asked for information regarding Integware and its history in Fort Collins.
Chris Kay, Integware Chief Executive Officer, stated the company began in 1993 and currently
focuses on assisting medical device manufacturers with FDA regulatory compliance. The company
has added 35 employees as of this year and intends to remain in Fort Collins.
Councilmember Ohlson made a motion,seconded by Councilmember Poppaw,to adopt Resolution
2010-032.
Mayor Hutchinson stated the City can work as a catalyst for encouraging successful business
expansion.
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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Ordinance No. 072, 2010,
Rescinding the Designation of the Henry Jessup/Cal Johnson Farm Buildings,
2902 Rigden Parkway, Fort Collins, Colorado, as a
Historic Landmark Pursuant to Chapter 14 of the City Code, Defeated on First Reading
The following is staffs memorandum for this item.
"EXECUTIVE SUMMARY
At its May 12, 2010 Regular Hearing, the Landmark Preservation Commission considered a request
for removal of the Henry Jessup/Cal Johnson Farm,a Fort Collins landmarkproperty,from the Fort
Collins landmark list. The Landmark Preservation Commission considered testimony from the
applicants, the public and staff, and unanimously recommends that Council deny the application for
removal of 2902 Rigden Parkway from the Landmark List.
BACKGROUND
1. Previous Decisions/Actions
On May 12, 1999, the Landmark Preservation Commission determined that the farm structures
associated with Jessup/Johnson farm property would be eligible, as per Chapter 14 of the City Code,
as local landmarks, even when relocated to the middle of the new subdivision at the Rigden Farm
community center.
A notarized application requesting landmark designation, dated September 6, 2000, and signed by
Felix Rojas as owners'representative, was filed with the City.
On September 13, 2000, upon finding compliance with Chapter 14 of the City Code, the Landmark
Preservation Commission passed Resolution 10, 2000, recommending to City Council local
landmark designation of the Henry Jessup/Cal Johnson Farm Buildings at their new location-2902
Rigden Parkway.
i
On October 17, 2000, City Council unanimously adopted on First Reading Ordinance No. 141,2000
designating the Henry Jessup/Cal Johnson Farm Buildings, 2902 Rigden Parkway, as a Historic
Landmark Pursuant to Chapter 14 of the City Code.
On November 7, 2000, City Council unanimously adopted on Second Reading Ordinance No. 141,
2000, designating the Jessup/Johnson Farm Buildings as a landmark, in recognition of the
buildings'architectural importance to our community. The ordinance was recorded with the County
on November 30, 2000.
2. Background
Established in 1919,Henry and EdnaJessup's historicfarm consists ofa distinctive Craftsman-style
masonry farmhouse, a large gambrel roof barn, a historic garage, a wood chicken coop, and a bunk
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house. The property was owned and occupied by the Jessups through 1961. Calvin and Lois
Johnson purchased the farm in that year.
Calvin,and his brother Glen Johnson, operated the farm under the name Spring Creek Farms,LLC.
Their local business consisted of alfalfa and feed corn crops along with a cattle operation.
In 1999, Calvin sold the farm to Rigden Farm LLC. The farm and the outbuildings were moved to
2902 Rigden Parkway in the spring of 2000, to make way for the widening of Timberline Road,
Drake Road, and their intersection.
Timberline Road is designated on the City's Master Street Plan as a major arterial(six lanes)and
Drake Road is designated as a standard arterial (four lanes). Since the Rigden Farm subdivision
adjoined these two section line roads, and since new development would add a significant number
of traff c to the roads, it was the obligation of the Rigden Farm LLC to improve these roadways to
their full designation and payfor their local streetportion. Without these improvements, the Rigden
Farm development would have failed to comply with the City's Land Use Code requiring that
adequate public facilities be constructed to mitigate the impact of new growth on the edge of the
urban area where existing infrastructure is not fully improved.
On May 12, 1999, the Landmark Preservation Commission determined that the farm structures
associated with the Jessup/Johnson farm property would be eligible, as per Chapter 14 of the City
Code, as a local landmark, even when relocated to the middle of the new subdivision at the Rigden
Farm community center. The Commission agreed that the original setting of the farm at the
Timberline and Drake intersection would be gone, regardless of whether the farm buildings were
relocated or not, due to the road and intersection widening.
After May 12, 1999, the farmhouse and surrounding outbuildings were moved and placed in their
same orientation and relative configuration at the center of the Rigden Farm development.
A notarized application requesting landmark designation, dated September 6, 2000, and signed by
Felix Rojas as owners'representative, was filed with the City.
On September 13, 2000, upon finding compliance with Chapter 14 of the City Code, the Landmark
Preservation Commission passed Resolution 10, 2000, recommending to City Council local
landmark designation of the Henry Jessup/Cal Johnson Farm Buildings at the new location-2902
Rigden Parkway.
On October 17, 2000, City Council unanimously adopted on FirstReading Ordinance No. 141, 2000
designating the Henry Jessup/Cal Johnson Farm Buildings, 2902 Rigden Parkway, as a Historic
Landmark Pursuant to Chapter 14 of the City Code.
On November 7, 2000, City Council unanimously adopted, on Second Reading, Ordinance No. 141,
2000, and the ordinance was recorded with the Larimer County Clerk and Recorded on November
30, 2000.
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3. Applicant's Request for Delisting and Staff Response
The applicant has provided three reasons for the de-listing of 2902 Rigden Parkway from the
landmark list (see attached). The applicant's points are summarized and are followed by Staffs
response:
l
A. On September 6, 2000, the application for Local Landmark Designation Nomination Form
for designating 2902 Rigden Parkway was signed by Mr. Felix Rojas who was not a
representative of Rigden Farm LLC. Felix Rojas did not have the authority to sign for
Rigden Farm LLC, the owner of the property.
In response, staff notes that Mr. Felix Rojas did indeed sign the application, dated September 6,
2000, and further, under his signature, Mr. Rojas stated that he was doing so as "Owners
Representative. " (See attached.) Staff can only assume that Mr. Rojas was acting properly, was
duly authorized, and was not committing fraud by misrepresenting his association with the owner.
Staff further notes that at the Landmark Preservation Commission meeting of May 12, 1999, the
public record indicates that the owners were represented by Mr. Scott Griffin.
In addition, at the September 13, 2000 Landmark Preservation Commission public hearing,
Resolution 10, 2000 of the Landmark Preservation Commission (see attached) states:
"WHEREAS, the owner of the property has consented to such landmark
designation. "
Staff also notes that at City Council First Reading of Ordinance No. 141, 2000, the Agenda Item
Summary—Executive Summary states:
"The owner of the property, Rigden Farm, LLC, is initiating this request for Fort
Collins Landmark designation for the Henry Jessup/Cal Johnson Farm Buildings. "
At the December 9, 2009 Landmark Preservation Commission public hearing, the Rigden Farm
Masters Owners Association was represented by Mr. Mike Schwab.
The application for removal ofdesignated property from the landmark list, dated May 12, 2010, was
signed by Mike Schwab; Manager, Rigden Farm Master Owners Association.
Rigden Farm LLC is on record as being represented by Mr. Scott Griffin and Mr. Felix Rojas, and
the Rigden Farm Master Owners Association as being represented by Mr. Mike Schwab.
At no time in the ten-year period between May 12, 1999 and March 2, 2010 was the issue of an
improper representation or an improper signature ever raised.
B. Rigden Farm LLC was forced to accept this designation in order to move ahead with this
development. The development was held up for apx. (sic) 18 months while Rigden Farm
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LLC and the City fought over what to do the buildings. Rigden Farm LLC risked losing the
main anchor King Soopers if an agreement was not reached. In addition at this same time,
something had to be done with the house as it stood in the way of the widening of Timberline.
In response, staff notes that,there is no evidence in the public record to indicate that the landmark
designation was nonconsensual. Further, there is no evidence in the record with regard to the status
of securing King Soopers as an anchor tenant. At the May 12, 2010 Landmark Preservation
Commission hearing,Mr. Schwab stated that they did make an error in the Application for Removal
from the Landmark List, regarding King Soopers. After Mr. Schwab met with the developer again,
the developer noted that King Soopers had not signed a contract with them at the time to buy that
property, but that they were in negotiations.
C. In designating the structures, the City and LPC ignored national criteria on historic
landmarks. The main decision to add these structures was based on a compromised(sic)
reached between the developer and the city. The decision did not take into consideration the
actual national historic standards that the landmark listing should be based. The only factor
that the LPC could cite in their decision was the architectural significance. In doing so, they
ignored a plethora of other factors that should have been considered.
In response, staff notes that the public record indicates that the merits of eligibility pursuant to
Chapter 14 ofthe`City Code were thoroughly discussed at the May 12, 1999LandmarkPreservation
Commission public hearing. At this hearing, the Commission determined that the buildings and
structures associated with the Jessup/Johnson farm have sufficient architectural significance and
that they would retain their eligibility for designation as a Fort Collins Landmark, even if they were
moved to their new location at the center of the Rigden Farm development. Further, the City's
standards for landmark designation mirror the national standards, so the National Park Service
Standards were indeed considered. While there are, in fact,four different standards for determining
eligibility for designation, only one of the four is needed for a proper designation.
At the September 13, 2000 LPC public hearing, the Commission found that after the buildings were
moved, the arrangement of the buildings, the surrounding open space, and, with minimal damage
from the move, the buildings retained their eligibility for Landmark status.
Consequently,at the September 13, 2000 public hearing, the LPC determined that the farm buildings
have architectural importance to the City in sufficient compliance with Section 14-5 of the City
Code.
4. Staff Findings
In consideration of an Application for Removal of the Henry Jessup/Cal Johnson Farm Buildings,
at 2902 Rigden Parkway,from the Landmark List, staff makes the following findings:
A. Stafffinds that the public record indicates that the owners,Rigden Farm LLC, were properly
represented by individuals who indicated they were acting as bona fide owner's
representatives.
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B. There is no evidence in the record that designation as a Landmark was improper, coerced
or nonconsensual.
C. In designating the Jessup/Johnsonfarmbuildings, the LPC and City Council actedproperly
in accordance with Section 14 of the City Code.
D. Stafffinds that delisting the farm buildings would violate the provisions of Section 14 of the
City Code and thus jeopardize the protected status of the buildings.
ACTION OF THE LANDMARK PRESERVATION COMMISSION
1. Findings of Fact and Conclusions
At the May 12, 2010 regular meeting of the Landmark Preservation Commission, the Commission
heard the Application for Removal of the Henry Jessup/Cal Johnson Farm Buildings, at 2902
Rigden Parkway, from the Landmark List. After considering testimony from the applicants, the
public and staff, the Commission made the following findings of fact and conclusions:
In regards to the applicant's first point, that on September 6, 2000, the application for Local
Landmark Designation Nomination Form for designating 2902 Rigden Parkway was signed by Mr.
Felix Rojas who was not a representative of Rigden Farm LLC. Felix Rojas did not have the
authority to sign for Rigden Farm LLC, the owner of the property:
Mr.Sladek moved that whether or not Felix Rojas had authority to act on behalf ofRigden Farm
LLC,it does appear that Rigden Farm LLC knew about the designation of the property for a long
enough period of time that it had an opportunity to object to that designation. Mr. Albright
seconded the motion. Motion approved unanimously, 5-0.
In regards to the applicant's second point, that Rigden Farm LLC was forced to accept this
designation in order to move ahead with this development. The development was held up for apx.
(sic) 18 months while Rigden Farm LLC and the City fought over what to do the buildings. Rigden
Farm LLC risked losing the main anchor King Soopers if an agreement was not reached. In
addition at this same time, something had to be done with the house as it stood in the way of the
widening of Timberline:
Mr. Albright moved that the Commission find that Rigden Farm LLC was not coerced, but
discussed and compromised on this designation and that there was no coercion involved Mr.
Sladek seconded the motion. Motion approved unanimously, 5-0.
In regards to the applicant's third point, that in designating the structures the City and LPC ignored
national criteria on historic landmarks. The main decision to add these structures was based on a
compromised (sic) reached between the developer and the city. The decision did not take into
consideration the actual national historic standards that the landmark listing should be based. The
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only factor that the LPC could cite in their decision was the architectural significance. In doing so,
they ignored a plethora of other factors that should have been considered:
Mr.Albright moved that the Commission find that the criteria for designation was adequately and
properly addressed, and so found by the Board in 1999. Ms. Hummel seconded the motion.
Motion approved unanimously, 5-0.
2. Recommendation of the Landmark Preservation Commission to City Council
In regards to the Application for Removal of the Henry Jessup/Cal Johnson Farm Buildings, at 2902
Rigden Parkway,from the Landmark List, the landmark preservation made the following motion:
Mr. Albright moved that the Commission recommend that the Council not approve the request
for delisting that has been made for the Jessup/Johnson buildings at 2902 Rigden Parkway. Mr.
Sladek seconded the motion. Motion approved unanimously, 5-0."
Karen McWilliams, Historic Preservation Planner, discussed the Henry Jessup/Cal Johnson Farm
buildings and stated the buildings were moved and adapted as amenities for the Rigden Farm
subdivision. In September 2000, an application was submitted to the City requesting landmark
designation of the five farm buildings. The Landmark Preservation Commission found the farm
structures would still be eligible as local landmarks when relocated as proposed. Council
unanimously adopted the Ordinance designating the Henry Jessup/Cal Johnson Farm buildings as
an historic landmark in November 2000. A request was made in March 2010 to have the buildings
removed for the landmark designation list. The Historic Preservation Commission recommended
Council not approve the request for delisting the buildings at its May 12, 2010 regular meeting.
Mike Schwab,Rigden Farm HOA manager and owner's representative,stated the original document
requesting landmark designation was not signed by a representative of Rigden Farm, LLC and
Rigden Farm, LLC was unaware of the landmark designation until recently.
Councilmember Kottwitz asked if the historical designation is part of the HOA contract. Steve
Dush,Current Planning Director,replied the document declaring historical designation was recorded
with Larimer County in November 2000 and would have been noted with any property conveyance.
Councilmember Poppaw asked how long Mr. Schwab had been the Rigden Farm HOA manager.
Mr. Schwab replied he has been the manager for three years.
Councilmember Roy made a motion,seconded by Councilmember Manvel,to adopt Ordinance No.
0725 2010, on First Reading.
Councilmember Manvel stated he would not support the motion as it appears the historical
designation process was followed legitimately.
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Mayor Hutchinson asked what types of City Code violations would occur should the property be
delisted. Dush replied delisting the structure would keep it from being subject to any requirements
that would preserve the integrity of the buildings.
Councilmember Ohlson stated he would not support the motion.
Councilmember Troxell stated he would not support the motion as there is no justification for
delisting the property.
The vote on the motion was as follows: Yeas: none. Nays: Hutchinson, Kottwitz, Manvel, Ohlson,
Poppaw, Roy and Troxell.
THE MOTION FAILED.
("Secretary's note: The Council took a brief recess at this point in the meeting.)
Ordinance No. 059, 2010,
Amending Chapter 23 of the City Code Pertaining to
Excavations, Obstructions and Encroachments,Adopted on Second Reading
The following is staff s memorandum for this item.
"EXECUTIVE SUMMARY
This Ordinance, adopted on First Reading on May 18, 2010, by a vote of 4-2 (Nays: Roy, Troxell)
amends City Code to require anyone with an excavation permit to restore an excavated area to its
original condition when the excavation is complete. The Ordinance clarifies the circumstances for
issuance of the special event permit, the obstruction permit, and the encroachment permit. It also
amends the Code pertaining to the obstruction permit to allow the permit to be issued for non-
construction-related purposes. "
Randy Hensley,Parking Services Manager,stated the current Code allows parking spaces to be used
for construction activities and for special events for which roads have been closed and a special
event permit has been pulled. The Code currently does not have any mechanism to allow the use
of parking spaces for reasons other than construction. Proposed fees for the use of parking spaces
for non-construction related activities are limited by City Code, which directs fees to be based on
cost. Rather than focus on making a list of all possible acceptable uses, staff has opted to focus on
controls such as safety and environmental soundness,to make certain requested uses are appropriate.
Consent of adjacent business owners is also required.
Councilmember Roy asked how priority would be given to multiple requests for use of parking
spaces. Hensley replied most businesses would not want to use a parking space in front of their
business as it would eliminate a space for customer parking and he has yet to receive multiple
requests for a certain day.
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Councilmember Manvel asked why parking spaces would not be allowed to be obstructed overnight.
Councilmember Poppaw asked for the definition of overnight. Hensley replied the overnight
restriction does not apply to the construction related permit but does apply to the non-construction
related permit as staff does not want any semi-permanent structures to be erected on a parking space.
Overnight begins when the business closes; therefore, the parking space permit would conclude at
that time.
Mayor Hutchinson asked for a characterization of the opinions of downtown businesses. Hensley
replied he receives many requests per year for this service which, up to this point, have had to be
denied. Formally, the proposal went before the Downtown Business Association Board,
Transportation Board, and General Membership Board of the Downtown Business Association and
received overall support.
Councilmember Poppaw made a motion,seconded by Councilmember Roy,to adopt Ordinance No.
,059, 2010, on Second Reading.
Councilmember Roy expressed concern relating to the disparity between the economic value of a
parking space and its value based on cost. He stated he would support the motion.
Councilmember Ohlson stated he would. support the motion as it has the support of downtown
businesses. He noted the parking statistics are available for the Downtown Business Association
both including and excluding the shopping center at the northeast corner of Mulberry and Lemay,
which is also part of the Downtown Business Association.
Councilmember Troxell stated he would support the motion but expressed concern regarding the
lack of a comprehensive downtown parking policy. City Manager Atteberry replied Council will
receive information regarding the policy and staff will schedule a work session should questions
remain.
The vote on the motion was as follows:Yeas: Hutchinson,Kottwitz,Manvel,Ohl son,Poppaw,Roy
and Troxell. Nays: none.
THE MOTION CARRIED.
Executive Session Authorized
Councilmember Ohlson made a motion, seconded by Councilmember Roy, to go into Executive
Session as permitted under Section 2-31(2)of the City Code, to meet with attorneys for the City,as
well as the City Manager, and other affected members of City staff, regarding potential litigation
involving the City,which has to do with the handling of certain water storage projects and the effect
that such projects may have on the City's water supply and other areas of interest and concern to the
City. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
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June 1, 2010
Adjournment
Councilmember Ohlson made a motion,seconded by Councilmember Poppaw,to adjourn until June
8,2010, at 6:00 P.M. so that the Council may then consider going into Executive Session to review
and discuss the performance of the City Manager, City Attorney and Municipal Judge. Yeas:
Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none.
THE MOTION CARRIED.
The meeting adjourned at 8:50 p.m.
Mayor
ATTEST:
City Clerk
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