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HomeMy WebLinkAboutMINUTES-05/04/2010-RegularMay 4, 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 4, 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 Stacy Lynne, 216 Park Street, stated a sworn affidavit for commencement of recall proceedings against Councilmember Poppaw has been submitted to the City Clerk. Ms. Lynne discussed the City's Climate Action Plan. Eric Sutherland, 3520 Golden Currant, discussed the Smart Grid investment and the Platte River Power Authority rate structure and asked why a vote on the Smart Grid issue is proposed to be postponed. Rudy Zitti, 1626 Fantail Court, expressed discontent with the City's Climatewise Program and bicycle parking in Old Town. Marlene Gruner, 5225 White Willow Drive, expressed discontent with the City's food tax and property taxes. Kathy Feltz, 3025 West Stuart, spoke representing John Carr and expressed discontent regarding parking spaces in Old Town allotted for green cars. William Flinn, 1313 Cape Cod Circle, objected to parkingspaces in Old Town being allotted for "green" cars. Tom Weatherly, 2550 Custer Drive, expressed concern with home energy reports. Citizen Participation Follow-up Mayor Hutchinson noted four of the boardmembers of Platte River Power Authority are the mayors of the four participating municipalities; therefore, members are constantly, rotating. The Climatewise program involves the City giving information and advice, primarily to businesses, regarding saving money through energy efficiencies. 256 May 4, 2010 Councilmember Poppaw asked why the Smart Grid vote is being postponed. Bill Freeman, Utilities Finance and Budget Manager, replied staff has requested postponement of Second Reading until May 18, 2010, to allow bond counsel to review changes relating to Qualified Energy Conservation Bonds from the Internal Revenue Service. Councilmember Roy stated government should play a role in environmental issues, as a part of protecting citizens. Councilmember Troxell asked about downtown parking policies. Randy Hensley, Parking Services Manager, stated the Parking Services mission involves supporting Downtown Fort Collins' economic vitality by encouraging parking space turnover. The three parking spaces allotted for low - emission vehicles do give preferential treatment to drivers of those vehicles as part of the Climate Action Plan and the sign denoting the spaces was installed by Parking Services. Councilmember Troxell expressed concern that some of the issues regarding both low -emission vehicle parking and on -street bike parking have not been thoroughly examined. Councilmember Ohlson stated the attempt. to recall Councilmember Poppaw is not appropriate as recalls typically involve misuse of office rather than philosophical differences. He stated he supports and appreciates Councilmember Poppaw for her contributions. Councilmember Manvel agreed with Councilmember Ohlson and noted the recall process would spend $50,000 in taxpayer money. Bicycle racks have been placed downtown with the support of the Downtown Business Association. Mayor Hutchinson stated recall processes are not meant to resolve differences in opinion or philosophy. Agenda Review City Manager Atteberry stated there are no changes to the published agenda. CONSENT CALENDAR 6. Consideration and Approval of the Minutes of the April 6, 2010, Regular Meeting_ 7. Postponement of 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 to May 18, 2010. Ordinance No. 043,2010, was adopted on First Reading on April 20, 2010, by a vote of 6-1 (Nays: Kottwitz). Postponement of Second Reading until May 18, 2010, is requested in order to ensure that the revenue amounts that are appropriated align with the actual bond costs contained in the Electric Utility Enterprise Ordinance authorizing the issuance of the bonds. Postponement of Second Reading of the Electric Utility Enterprise bond ordinance 257 May 4, 2010 until May 18, 2010, will be requested to allow bond counsel time to review the changes in the regulations from the IRS regarding the use of Qualified Energy Conservation Bonds ("QECBs"). 8. Second Reading of Ordinance No. 044, 2010, Appropriating Unanticipated Revenue in the General Fund for the Restoration and Rehabilitation of Paramount Cottage Camp. This Ordinance, unanimously adopted on First Reading on April 20, 2010, appropriates unanticipated revenue in the amount of $148,000 for the rehabilitation and restoration of 1544 West Oak Street, the historic Paramount Cottage Camp. First Reading of Ordinance No. 048, 2010, Appropriating Grant Funds for the Gardens on Spring Creek. 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. 10. First 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 appropriates grant funds received from the Office of National Drug Control Policy and also transfers $173,381 from the Northern Colorado Drug Task Force forfeiture reserve account to cover unfunded expenses. 11. First Reading of Ordinance No. 050, 2010, Appropriating Unanticipated Grant Revenue in the General Fund for Police Services and Providing for the Transfer of Matching Previously Appropriated in the Police Services Operating Budget. The City has received additional grant funds for Police Services. A grant received from the Colorado Division of Criminal Justice (DCJ), Juvenile Diversion, provides additional funds in the amount of $6,142 for the continuation of Restorative Justice Services. These additional funds were awarded from unspent funds returned to DCJ from other agencies. 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 (JABG), which also funds Restorative Justice Services. This need will be met by appropriating funds from prior program income. 12. First 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 appropriates those funds. 258 May 4, 2010 13. First Reading of Ordinance No. 052, 2010, Appropriating Unanticipated Revenue in the Downtown Alley Enhancement Project. The Downtown Alley Enhancement Project funding for construction of the Old Firehouse and Montezuma Fuller Alley Project needs to be appropriated to the City. The City will be administering the construction contract for the Downtown Development Authority. The DDA funds for the Project will remain in the DDA's account, and will be transferred and spent to pay contractor invoices only as they become due and payable. 14. First Readins of Ordinance No. 053, 2010, Authorizine the Use of a Portion of Bernard Ranch as Match for a Neotropical Mi rgratory Bird Conservation Act Grant Administered by the U.S. Fish and Wildlife Service. The City has received a Neotropical Migratory Bird Conservation Act Grant, administered by the U.S. Fish and Wildlife Service. The City will use a 660 acre purchase of the Bernard Ranch as match towards the 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. This will be the fourth such match authorized, as the City, in partnership with RMBO. The previous partnership efforts have resulted in a broader understanding of the grasslands bird species that nest on Soapstone Prairie and Meadow Springs and has contributed to the conservation of these species' winter range in Mexico. 15. Items Relating to Sales, Use and Lodging Tax. A. First Reading of Ordinance No. 054, 2010, Amending Chapter 25, Article III of the City Code Concerning Sales and Use Tax. B. First 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 it simplifies tax collection regarding definitions, waivers, and notice. Ordinance No. 055, 2010, will eliminate the ' City's current vendor fee for lodging tax licensees. The proposed modification will result in approximately $25,000 of ongoing additional revenue available for the promotion of convention and visitor activities and for cultural development and programming services. This change will not increase taxes or fees 259 May 4, 2010 charged, but rather eliminate the amount of City lodging taxes that vendors are allowed to retain in exchange for the service they provide in collecting City taxes. Currently, vendors are allowed to retain 3%'of the lodging tax collected. 16. First Reading of Ordinance No. 056, 2010, Authorizing Conveyance of Non -Exclusive Drainage Easement on City Property to Provincetowne. LLC. 17. 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. Staff is requesting City Council approve the conveyance of a new permanent drainage easement reflecting 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. Program. The City has leased space to the Rocky Mountain Innovation Initiative (RMI2) Program and its participating clients since the summer of 2004. Currently, RMI2 leases space at 200 West Mountain Avenue, Suites A and C, 321 Maple Street, and 212 West Mountain Avenue. Until the new RM12 building is complete in late 2010/early 2011, RMI2 clients will continue leasing space from the City. 18. Resolution 2010-025 Authorizing the Lease of a Portion of City -Owned Property Located at 200 West Mountain Avenue, Suite B, For Up to Two Years As Part of the Fort Collins Public Access Network. Fort Collins Public Access' Network (FC-PAN) is the City's designated public access provider. One of its responsibilities, as required by the City, is to provide and operate a Community Media Center. In 2008, City Council approved the leasing of space at 200 West Mountain to FC-PAN for a two-year term. FC-PAN leased the space at no cost. During the second year, FC-PAN paid for utilities only. 19. Resolution 2010-026 Authorizine the Lease of City -Owned Property at 1506B West Horsetooth Road. for Up to Two Years. The City acquired this property as part of the Affordable Housing Land Bank Program ("Land Bank Program") in 2003. Currently, this site has one single-family residence, one building with an efficiency apartment and garage, and horse facilities. The lease for 1506B West Horsetooth Road will be for the efficiency apartment. 260 May 4, 2010 ***END CONSENT*** Ordinances on Second Reading were read by title by City Clerk Krajicek. 8. Second Reading of Ordinance No. 044, 2010, Appropriating Unanticipated Revenue in the General Fund for the Restoration and Rehabilitation of Paramount Cottage Camp. 24. Second Reading of Ordinance No. 042, 2010, Amending Section 57265 of the City Code Relating to Occupancy Disclosure Statements. 25. Items Relating to Medical Marijuana. A. Second Reading of Ordinance No. 045, 2010, Amending the City's Land Use Code by Adding Medical Marijuana Cultivation Facilities as Permitted Uses in Various Zone Districts. (Option 1 or Option 2) B. Second Reading of Ordinance No. 046, 2010, Amending Article XVI, Chapter 15 of the City Code Relating to Medical Marijuana. C. Second Reading of Ordinance No. 047, 2010, Amending Ordinance No. 025, 2010, to Clarify the Application of Chapter 15, Article XVI of the City Code to Existing Medical Marijuana Businesses. Ordinances on First Reading were read by title by City Clerk Krajicek. 9. First Reading of Ordinance No. 048, 2010, Appropriating Grant Funds for the Gardens on Spring Creek. 10. First 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. 11. First 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. 12. First 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. 13. First Reading of Ordinance No. 052, 2010, Appropriating Unanticipated Revenue in the Downtown Alley Enhancement Project. 261 May 4, 2010 14. First 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. 15. Items Relating to Sales, Use and Lodging Tax. A. First Reading of Ordinance No. 054, 2010, Amending Chapter 25, Article III of the City Code Concerning Sales and Use Tax. B. First 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. 16. First Reading of Ordinance No. 056, 2010, Authorizing Conveyance of Non -Exclusive Drainage Easement on City Property to Provincetowne, LLC. Councilmember Manvel made a motion, seconded by Councilmember Poppaw, to adopt and approve all items on the Consent Calendar. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none. THE MOTION CARRIED. Consent Calendar Follow-up Councilmember Troxell discussed Item No. 15, Items Relating to Sales, Use, and Lodging Tax, and noted $25,000 of ongoing additional revenue will be available for the promotion of convention and visitor activities. Additionally, businesses are working on behalf of the City without compensation. Staff Reports David Short, Downtown Business Association Executive Director, discussed changes to the upcoming Colorado Brewer's Festival. The event will be held in Civic Center Park and attendance will be cut to 5,000 people per 3-hour session. Free four -ounce beer samples will be provided, several food vendors will be present, and tickets will be pre -sold. Councilmember Manvel asked how many brewers have committed to participate. Mr. Short replied 30 brewers have committed, with a goal of 45. Councilmember Ohlson noted Council did not want the Brewer's Festival to end, but did want the concerns of downtown businesses addressed. Councilmember Troxell thanked those involved for the effort and changes and asked how much revenue the event is projected to raise for the Downtown Business Association. Mr. Short replied its gross income would be up, should the event sell out. However, with increased costs, net income will likely be similar to previous years. 262 May 4, 2010 Joe Olson, Traffic Engineer, discussed traffic signal timing in Fort Collins and stated the primary goal is to reduce stops along the main streets and improve progression, which will enable lower emissions. Side street delays tend to feel excessive when traffic volumes are low; therefore, improvements have been made to change traffic signal delays at those times. Pedestrian use in Old Town has also been considered. Olson discussed the benefits of improving signal timing, including time and fuel consumption savings. Councilmember Ohlson asked if this information could be widely broadcast as it is one of the main concerns of citizens. Olson replied open houses may be held by Traffic Operations to inform residents of the challenges and improvements relating to traffic signal timing. Councilmember Reports Councilmember Troxell stated former Mayor Ray Martinez wrote an article in the Denver Post Lifestyle Section. Councilmember Roy discussed the "Resourcing Our Future" meetings held with citizens. Councilmember Poppaw thanked the Human Relations Commission for its volunteer recognition breakfast and discussed a meeting she attended with the Senior Advisory Board. Mayor Hutchinson stated long-term strategy and the Climate Action Plan were discussed at the last Platte River Power Authority Board meeting. Resolution No. 2010-023 Approving the North College Infrastructure Funding Plan, Adopted The following is staff s memorandum for this item. . "EXECUTIVE SUMMARY The proposed Funding Plan consists of a prioritized list of infrastructure projects needed in the North College Avenue corridor area, along with corresponding potential funding sources to pursue. It contains no new policy decisions, nor any obligations or commitments. Rather, it is an aid to implementation of previously adopted plans. Council approval of the Funding Plan would establish a useful framework to guide work efforts and decision making on funding for infrastructure projects over time. The term "infrastructure projects " generally. refers to construction projects that would build up a more complete system of streets and utilities in the area. These are basic public facilities needed to support long-term revitalization as envisioned. 263 May 4, 2010 BA C%GRO UND/DISCUSSION Initiative for the Funding Plan This Funding Plan was prompted by a joint work session of the Urban Renewal Authority (URA) Board of Commissioners and the North College Citizen Advisory Group (CAG) in July 2008. At the meeting, the Board, the CAG, and staff agreed on the need for this Plan. The need is to help plan for the use of tax incrementfinancing (TIF) revenues under the North College Urban Renewal Plan and identify additional funding mechanisms to complement those currently in place. The Board directed staff to prepare the needed Plan. In March 2009, staff began the process to develop the Funding Plan. In July 2009, at the second annual joint work session, staffpresented draft material to the URA Board and received direction and support to complete the Plan and bring it forward for approval. Council Questions About the Funding Plan At the February 2, 2010 City Council meeting, staff presented the Plan for Council approval. Council action was postponed to allow more time to explore and respond to three specific questions from Council, shown below with staff responses. 1. In the Project Summary Table, why aren't developers listed in the "Potential Funding Sources" column for North College Avenue improvementprojects that list developers in the `Benefits and Responsibilities" column? Staff Response: The Project Summary Table has been revised in response to the question. Developers have been added into the "Potential Funding Sources " column for these projects: Developers would typically be responsible for the local street portion of street edge improvements needed to bring the street up to standard along their frontage, under City Code. These developer contributions are likely to be minor in the context of the projects listed; but they are a potential funding source and adding them for these projects is an improvement to the document. 2. In the Project Summary Table, why isn't Environmental Sustainability listed as one of the "Objectives Met" by projects? Staff Response: This question involves the purpose of the "Objectives Met" column, as well as the overall purpose of the Funding Plan. The purpose of the Plan is to list, organize, and prioritize the projects into a working framework. The purpose of this column was to guide discussion of priorities and logical 264 May 4, 2010 sequencing among very closely related infrastructure projects, to determine which should be pursued soonest. The primary aspect of sustainability related to this Funding Plan is the cumulative effect that the infrastructure projects will have, upon revitalization of the area. In other words, sustainability is a larger objective to be promoted by overall revitalization of the area, but is not a clear objective to identify priorities among the individual projects listed. In this sense, all of the projects affect sustainability in the same way — by contributing a step toward efficient urban infill and redevelopment of a more livable, walkable city. Nevertheless, individual projects will present opportunities for sustainable environmental design including but not limited to material selection, wetland protection, and use of bestpractices, as they move forward to design and construction. It is premature for this Funding Plan to explore these detailed design aspects of each project; that was not within the purpose and scope of the Plan. 3. In the Project Summary Table, why is Street Oversizing listed as a "Potential Funding Sources" on some arterial and collector street projects, but not on the North College Avenue improvementprojects? Staff Response: The Project Summary Table has been revised in response to this question. Street Oversizing is a potential funding mechanism for. the North College projects. However, the revision to the document actually removes the reference to Street Oversizing from the "Potential Funding Sources " column entirely, because it is only a mechanism and not a source of funding. This makes the overall document internally consistent, because Street Oversizing is not listed separately as a funding source in Table 2, which summarizes various funding sources on the reverse side of the Project Summary Table. Rather, Street Oversizing falls under the heading of "Developers " as the source. Developers were added to the 'Potential Funding Sources" column in response to both this question and question I above. Street Oversizing would likely play a very minor role in any instances where it would be involved. It is typically, used in conjunction with new development to mitigate impacts of growth, and is restricted from being used to correct existing deficiencies. Purpose of the Funding Plan The purpose of this Funding Plan is to place all of the area's key infrastructure needs into an overall framework to guide work and decisions by the URA, the City, and others with an interest,in North College area infrastructure. 265 May 4, 2010 Previously Adopted Plans The Funding Plan is a tool to help implement the vision, goals, policies, and objectives ofpreviously adopted plans, including: • The 2007 North College Corridor Plan • The 2004 North College Avenue Urban Renewal Plan • The 2000 US287/SH14 Access Management Report All of these plans address infrastructure needs and issues in the North College corridor area. All are consistent with the City's overall. Comprehensive Plan known as City Plan. Related to these adopted plans, Fort Collins Utilities and Engineering staff have performed engineering design work on drainage and sewer facilities, and also on the proposed new arterial street known as "Realigned Vine ". In addition, a voter -approved capital project to improve North College Avenue between Vine Drive and Conifer Street has been in its design phase during preparation of this Funding Plan. It is known as the Building on Basics, or BOB project. All of this work has contributed to the information in this Funding Plan. Summary of Plan The primary component of the Funding Plan is the Project Summary Table, which lists needed infrastructure projects, designates priorities, and notes potential funding sources. The remainder of the Plan includes additional explanation of the projects and funding sources. Implications of Council Approval If approved, staff will use the Funding Plan to seek funding for projects, and develop recommendations for use of TIF. Also, the Plan will be used for coordination and input on- other important capital project lists and budgets used by City departments and the Colorado Department of Transportation. Finally, approval would signify general support for exploring and pursuing special assessment or improvement districts, or other cooperative measures amongproperty owners, developers, and other stakeholders. Approval of the Plan would not create any funding commitments or obligations. Rather, it would support ongoing work and discussion which would lead to funding commitments by appropriate sources over time. Any City capital projects that move forward'to build infrastructure would be administered in accordance with the City's Capital Projects Procedures Manual. " Clark Mapes, City Planner, discussed changes made to the North College Infrastructure Funding Plan in response to Council questions raised at the February 2, 2010 Council meeting. The Plan involves a list of street and drainage projects needed in the North College area and information relating to funding for infrastructure projects. Developers have been added as a potential, though likely minor, funding source for North College Avenue projects as most of the area is already developed. Street Oversizing fees are part of development so they are not included as a funding e May 4, 2010 source. Sustainability was not previously listed as one of the objectives for the projects because the purpose of the Plan is to list, organize, and prioritize projects into a working framework. While sustainability pertains to revitalization of the entire North College area, it does not seem feasible to include it when examining project priority. Specific projects on the list will present opportunities for.sustainable environmental design. Mayor Hutchinson clarified this item is a plan rather than a budget. Mapes added it contains no new policies or obligations or commitments for funding. Councilmember Manvel thanked staff for its work on the item. Councilmember Roy made a motion, seconded by Councilmember Troxell, to adopt Resolution No. 2010-023. Councilmember Roy stated he is encouraged by signs of improvements in the North College area. Councilmember Ohlson noted City policies have evolved which have led to infrastructure. improvements in the southern part of Fort Collins, and now will move toward the northern areas. The vote on the motion was as follows: Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none. THE MOTION CARRIED. Ordinance No. 042, 2010, Amending Section 5-265 of the City Code Relating to Occupancy Disclosure Statements, Adopted on Second Reading The following is staff s memorandum for this item. "EXECUTIVE SUMIYIARY The current occupancy regulations should be amended to ensure that they meet Council 's original intent for limiting the occupancy of dwelling units. This Ordinance, adopted on First Reading on April 6, 2010, by a vote of 5-2 (Nays: Kottwitz, Troxell) revises the disclosure statement requirement related to occupancy limits to ensure that the statement is truthful, is provided by the property owner or manager to the tenants at the time of lease signing, and is readily available when requested by the City. The Ordinance has been revised for Second Reading and now requires that the occupancy ordinance disclosure statement be signed by the property owner or manager and all tenants at the time of lease signing with the execution date verified by'electronic means or have all signatures on the statement notarized by a Notary Public. A copy of the disclosure statement shall be retained at the leased property and shall be made available to the City immediately upon request. In the case of a multi- 267. May 4, 2010 family unit with an on -site manager, the disclosure statement may be kept on file in the on -site office as long as it is available during business hours immediately upon request of the City. " City Attorney Steve Roy introduced Steve Mason, Assistant City Attorney. Beth Sowder, Neighborhood Services Manager, stated meetings had been held with the Fort Collins Board of Realtors and interested property managers relating to occupancy disclosure statements. The proposed recommendation includes requiring notarization or electronic verification of the disclosure statement in order to verify the date of its execution and requiring the form to be available at the property or on -site office in the case of multi -family units. A new disclosure form would not be required at the time of lease renewal if all parties involved have remained the same. Steve Mason, Assistant City Attorney, stated electronic verification can provide evidence of both the execution of the disclosure statement and the date it was signed. From an enforcement perspective, requiring the disclosure statement as an addendum to the lease agreement does not seem reasonable. Marie Edwards, 702 West Drake, Fort Collins realtor, opposed the notary requirement and any discussion of rental licensing. She expressed concern that any cost increases will negatively affect affordable housing. Carrie Gillis, 2213 Timber Creek Drive, supported a requirement that disclosure statements be addendums to lease agreements. Anna Barton, 1620 Remington Street, property manager, opposed the notary requirement and asked about potential penalties for renters not being able to produce the disclosure statement at the property. Michelle Jacobs, Fort Collins Board of Realtors, thanked staff and encouraged requiring the disclosure statement as an addendum to a lease agreement. Sean Dougherty, President -Elect Fort Collins Board of Realtors, thanked staff for meeting with the Board of Realtors and encouraged requiring the disclosure statement as an addendum to a lease agreement. Chris Hardy, Fort Collins realtor, noted the importance of Fort Collins' rental market and opposed the notary requirement. He asked that existing requirements be enforced. Brandon Bidwell, 2919 Worthington, Fort Collins Board of Realtors Director, thanked staff for meeting with the Board of Realtors and noted there is a precedent for enforcing important policies through lease addendums, such as the lead -based paint disclosure. Chris Guillan, Fort Collins Board of Realtors Government Affairs Committee Chair, stated the Board of Realtors supports the date requirement for the disclosure statement but asked that the dated disclosure form be allowed as an addendum to the lease agreement. OM May 4, 2010 Cindy Szponder, Fort Collins resident, asked about potential penalties for renters not being able to produce the disclosure statement at the property and encouraged reasonable regulations. Tom Tucker, 2301 Valley Forge Court, property manager, asked what would trigger a request for the disclosure statement at a property and what penalties would be for renters not being able to produce the disclosure statement. Ty Youle, 3307 South College 9209, property manager, encouraged allowing the disclosure statement to be an addendum to a lease agreement. Ken Anderson, 2814 Fleet Drive, asked what types of enforcement and penalties would occur. Mike Edwards, Fort Collins realtor, opposed the additional regulations. Sarah Bennett, Fort Collins Board of Realtors President, thanked staff and encouraged allowing the disclosure statement to be an addendum to the lease agreement. ' Clint Skutchan, Executive Vice President Fort Collins Board ofRealtors, encouraged comprehensive accountability via shared responsibility and stated the preferred alternative of the Board is to require disclosure statements as addendums to lease agreements. Doug Brobst, 1625 Independence Road, asked if an addendum to a lease agreement would be able to take the place of a notary requirement for the disclosure statement and encouraged the notary requirement. Shane Miller, 4325 Mill Creek, expressed concernthat enforcement officers may not all have similar discretion and opposed the regulations. ("Secretary's note: The Council took a brief recess at this point in the meeting.) Mayor Hutchinson asked staff to review the reasons behind the proposed requirements. Sowder replied disclosure statements are frequently provided without a date or appear to be forged. Disclosure statements are meant to make tenants aware of the occupancy ordinance, which limits the number of unrelated individuals living in a dwelling. Dale Wood, Compliance Inspector, stated many disclosure statements have inaccurate or missing information. He stated, of the 22 disclosure statements he has requested since January 1, 2010, 68% were not correct, were not available, or not on the City form. Sowder stated an investigation begins once a complaint is received, at which time a disclosure statement may be requested. Councilmember Manvel asked about potential consequences for not having a disclosure statement on site at a property. Wood replied the proposed Ordinance would call for a $100 fine for a first offense and $300 fine for a second offense. However, compliance on a voluntary level would be the first course of action. ► O May 4, 2010 Councilmember Manvel asked how many of the 22 requested disclosure statements were never provided. Wood replied seven or eight were never executed at all. Councilmember Troxell asked about the process of the investigation. Wood replied the process begins with research in terms of owner, parties responsible for paying utility bills, and driving by the property. If evidence seems to show a dwelling is over -occupied, an investigative notice will be sent to the owner or property manager which demands the disclosure statement. If the property is found to be occupied by a family, the case is closed. Councilmember Troxell asked if staff believed that 68% of all rental contracts in Fort Collins are missing or contain inaccurate disclosure statements . Wood replied in the affirmative, noting the proposed Ordinance will require the disclosure statement to be a stand-alone document. Currently, it is common for the disclosure statement to be executed at the time it is requested. Sowder clarified the 68% figure relates to those cases Which have been investigated, not the entire population of rental units. Councilmember Troxell asked how the occupancy disclosure statement is different from other mandated documents that may be part of a lease and why it may not work as an addendum. Mason replied an addendum is deemed to be a part of the lease; however, the objective is to prevent falsifying documents. City Attorney Roy noted notarization or electronic verification is the only means to absolutely assure the signatures and date on the form are accurate. If that is overkill, it is Council's prerogative to allow it to be an addendum. The notarized disclosure statements are required in all sale or lease property transactions and must be attached to a lease and kept on the premises, should a lease be involved. The attachment requirement may not encourage simultaneous signing as much as an addendum would. Councilmember Kottwitz asked how many disclosure statements are falsified. Wood replied he did not have specific data for numbers of statements that have been falsified, but it is common to have no document executed, or a document with no date or a date which differs from the date of lease signing. Mayor Hutchinson asked what notarization or electronic verification would involve for a property manager or owner who may have a number of rentals turning over at the same time. Sowder replied the disclosure statements would be signed at the time of lease signing, as is required now. Additionally, that form would need to be notarized as it is signed or be verified electronically immediately after it is executed. This verification could be done by scanning the document and sending it via e-mail or fax to the tenants and owner, or by using an online document date verification. Councilmember Roy made a motion, seconded by Councilmember Poppaw, to adopt Ordinance No. 042, 2010, on Second Reading. Councilmember Manvel noted the electronic signature verifications are not as difficult as once thought. Should the parties involved wish to forge a document, the lease and disclosure statement could be rewritten at the time of request, if the disclosure statement is simply an addendum. The 270 May 4, 2010 Three -unrelated Ordinance needs to be enforceable, and date verification of the statement seems to be the only way to do that. I - Councilmember Kottwitz made a motion, seconded by Councilmember Troxell, to amend Ordinance No. 042, 2010 to add the ability to make the disclosure statement an addendum to a lease as an alternative to notarization or electronic verification in Section 5-265(c). Councilmember Kottwitz stated this option would allow those trying to comply to do so in a reasonable manner. Mayor Hutchinson asked for staff opinion regarding enforcement with this option. Wood replied this option may not help in getting the document signed at the time of lease. Councilmember Ohlson stated he would not support the amendment as staff does not agree the option would allow for better enforcement. The other electronic verifications, such as e-mail or fax, are the compromise. Mayor Hutchinson noted the disclosure statement, unlike other addenda to lease agreements, is time - sensitive and the new electronic verification options assist with enforcement. The vote on the motion to amend was as follows: Yeas: Kottwitz and Troxell. Nays: Hutchinson, Manvel, Ohlson, Poppaw and Roy. THE MOTION FAILED. Councilmember Kottwitz stated she would not support the motion as it is an example of Council over -reaching its bounds. Councilmember Troxell stated he would not support the motion as the Three -unrelated Ordinance is already poor legislation and this will inevitably drive up costs for the community. Councilmember Ohlson stated the Three -unrelated Ordinance is a good ordinance that has had a great deal of positive influence across the City. He stated he would support the motion. Councilmember Roy stated he would support the motion. Councilmember Manvel supported the electronic verification options and stated citizen comments have relating to neighborhoods have improved since putting the Three -unrelated Ordinance into effect. Councilmember Poppaw thanked staff for its work on the item and stated this tool will allow for easier enforcement. Mayor Hutchinson thanked property managers and realtors for.their participation and input and stated the electronic verification options have provided a compromise. 271 May 4, 2010 The vote on the motion was as follows: Yeas: Hutchinson, Manvel, Ohlson, Poppaw and Roy. Nays: Kottwitz and Troxell. I THE MOTION CARRIED. Items Relating to Medical Marijuana, Adopted on Second Reading The following is staff's memorandum for this item. "EXECUTIVE SUMMARY A. Second Reading of Ordinance No. 045, 2010, Amending the City's Land Use Code by Adding Medical Marijuana Cultivation Facilities as Permitted Uses in Various Zone Districts. (Option 1 or Option 2) B. Second Reading of Ordinance No. 046, 2010, Amending Article XVI, Chapter 15 of the City Code Relating to Medical Marijuana. C. SecondReadingofOrdinanceNo. 047, 2010, Amending Ordinance No. 025, 2010, to Clarify the Application of Chapter 15, Article AW of the City Code to Existing Medical Marijuana Businesses. Ordinance No. 045, 2010, adopted on First Reading on April 20, 2010 by a vote of 6-1 (nays: Troxell), amends the Land Use Code to allow additional zones for marijuana cultivation facilities. Ordinance No. 046, 2010, adopted on First Reading on April 20, 2010 by a vote of 6-1 (nays: Troxell), amends Article XVI, Chapter 15 of the City Code to allow for the co -location of dispensaries and cultivation facilities in certain zones, to allow medical marijuana businesses (MMBs) to acquire 4 ounces of medical marijuana per 7-day period from other licensed MMBs, and to regulate collective growing by persons otherwise exempt from licensing. Ordinance No, 047, 2010, adopted on First Reading on April 20, 2010 by a vote of 7-0, amends Article XVI, Chapter 15 of the City Code to clarify existing businesses and to authorize the issuance of a non provisional license to businesses that meet all requirements. f11i�11i I I ��iCl�`IT/fi Following the adoption of Ordinance No. 025, 2010, regulating medical marijuana businesses, staff continued to work in response to Council direction and public input to consider additional zoning options for cultivation facilities, to address operational changes, and to clarify existing businesses for the upcoming licensing process. On Second Reading, staff is providing, at Council's request, additional information 'regarding allowing cultivation in the E-Employment zone. The scenarios evaluated included: (1) only E zone within 700 feet of Airway Avenue (the Airpark Village hangers); (2) all E zone north of Mulberry; and (3) all E zone citywide. 272 r May 4, 2010 The inclusion of the E zone is shown on the attached maps (Attachment IA -ID). Also, the scenario where cultivation could occur in the E zone, but only within 700 feet of Airway Avenue, is included as a second option ordinance for consideration. However, staff is not recommending approval of expanding cultivation in any E zoned property. The Planning and Zoning Board discussed the E zone option at its March 15, 2010 meeting and did not recommend adding the 700 foot option. The purpose of the Employment District is to provide high levels of basic primaryjobs in a campus business park setting reflecting quality, attractive design compatible with and inclose proximity to supporting residential neighborhoods. Simply stated, adding cultivation to the Ezone does not meet the purpose of the district and may prevent the intended uses from being established and supported. Staff has provided the following City Plan Policies that support the recommendation to not allow cultivation in the E zone. City Plan Employment Policies: Principle ED-P Employment Districts will be major employment centers in the community, with a variety of complementary uses to meet the needs of employees. Their attractive appearance should allow them to locate adjacent to residential neighborhoods and along primary entryways. Policy ED4. 6 District Design. Developments will form a coherent, attractive business park setting. The organizing element of a District will either be a clear, unifying network of streets and sidewalks, or a system of campus -like outdoor spaces with connecting walkway spines. • Policy ED-1.8 Site Design. The design character of employment facilities should be reflective of a business park or campus setting, compatible with adjoining uses, with full landscaping of parking, perimeter and building edges to buffer the impacts of large facilities. Recreation, parks and open space areas should be incorporated into the design, as well as pedestrian linkages to City trails. Staff finds that permitting cultivation in the E zone is contrary to the purpose of the district and to stated City Plan policies. In 2005, City Council approved the initial annexation and Employment zoning oftheAirpark Village property based on a request by the applicant. The requestfor zoning ofEmployment required a plan amendment of both the City Structure Plan map and East Mulberry Corridor Plan, which showed an Industrial land use designation. At that time, staff supported this amendment based on the proposed project conceptual plan by the applicant for a major employment project. An Overall Development Plan (ODP) for the concept was approved and, to date, the project has not materialized. A rezoning of the Airpark Village propertyfrom Employment back to Industrial zoning is an option and would require an amendment of the City Structure Plan and East Mulberry CorridorPlan maps, 273 May 4, 2010 as well as an amendment to the approved ODP. This option is more preferable, although not necessarily supported by staff without further evaluation. The purpose of Industrial Districts is to provide a location for a variety of work processes such as manufacturing, machine shops, warehouses, distribution, outdoor storage yards, and other uses of similar character. Because of the types of uses and the community need for lower cost economic opportunities, the design features are not as extensive as Employment Districts. Therefore, Industrial Districts will be located away from, or adequately buffered from, residential neighborhoods. City Plan Policies for Industrial District: PRINCIPLE ID-1: Industrial Districts will provide places for a wide range of industrial and commercial uses that do not need or are not suited to high public visibility. Policy ID-1.4 Design Character and Image. Buildings and site improvements in Industrial Districts may be simple, practical, and more vehicle -oriented than in other districts and may lack a uniform design theme or character. Development standards should allow for metal buildings, tilt -up buildings, andsimilar large -span construction, and aprons ofpavementfor work and storage. Parking lots and outside storage will be screened from streets and other public spaces with fencing and/or landscaping. Outdoor spaces and amenities for pedestrians may be relatively simple, to meet the practical needs of workers. Staff has made changes to Ordinance No. 046 and Ordinance No. 047, 2010 as follows: In Ordinance No. 046, 2010, Sec. 15-469 Prohibited Acts, has been expanded to include legal sales or distribution to other licensees or licensed MMBs within the State and to clarify the intention to allow 4 ounces of sales within a 7-day period between licensed MMBs. In Ordinance No. 047, 2010, Section 3, wording has been added that would expand the $5000 expenditure of an existing business to include a commitment of that amount in the form of a contract such as a lease. " Ginny Sawyer, Neighborhood Administrator, discussed the Ordinances relating to medical marijuana. Ordinance No. 046, 2010 would allow sales of four ounces per seven day period between licensed dispensaries in Colorado. Two ounces would still be the limit for patients and primary caregivers. Should growers exempt from licensing wish to come together to form a communal grow operation, they would need to be licensed. Ordinance No. 047, 2010 would allow existing medical marijuana businesses which held a sales tax license prior to the moratorium and have made sales or financial commitments of at least $5000, to submit an application. Applications need to be in the same owner name as the original sales tax license. Any existing businesses that meet all licensing requirements and apply by June 30, 2010 will be issued a regular license. Ordinance No. 045, 2010 would add additional zones for the purpose of cultivation. Three of the zones would allow dispensaries and cultivation; therefore dispensaries would be allowed to have on -site cultivation in 274 May 4. 2010 those zones. Staff also examined allowing cultivation in the E — Employment zone, specifically in the Airpark Village area. Eric Sutherland, 3520 Golden Currant, commented on the electric requirements of indoor medical marijuana growing operations. He stated there are negative effects of drugs and noted education and treatment have not been a part of the medical marijuana discussion. He encouraged taxing medical marijuana to fund substance abuse education and treatment. Troy Jones, MTA Planning and Architecture, 238 Walnut Street, Suite 200, stated the purpose statement for the E — Employment zone from the Land Use Code is similar to that of other zones being considered for cultivation facilities. He stated there is a willing landlord in Airpark Village for a cooperative growing operation. Ed Rowe, 2300 West County Road 38E, stated there is little land available for cultivation facilities when considering only the zones proposed by staff. The Airpark Village land owner is willing to provide the land and facilities for three dozen or so of the major growers in Northern Colorado. Richard (no last name given), supported the Airpark Village cooperative growing proposal. He stated this proposal would allow for increased security and inspection, and would provide a remote location away from schools and neighborhoods. Ryan Weans, Fort Collins resident, stated he operates a medical marijuana delivery service and does hold a sales tax license. He asked that licensed dispensaries be allowed to sell up to one pound of medical marijuana per month to other dispensaries rather than four ounces per week. P.J. DiPentino, 119 Greenwood Drive, supported the Airpark Village proposal and stated there are three dozen committed growers who are interested in a co-op arrangement. Shane Miller, 4325 Mill Creek, stated the regulations have disregarded the will of Colorado voters. He encouraged Council to loosen requirements and lower the $5,000 investment requirement. Councilmember Ohlson asked why staff does not believe the E — Employment zone is appropriate for cultivation facilities and for details of the zoning change process. Steve Dush, Current Planning Director, replied the use is similar to light industrial uses, though it is not classified as such. From the staff perspective, cultivation sites are not supportable in the E.— Employment zone because of the ancillary uses, such as hotels, restaurants, shopping, childcare, and housing, that could help forward the primary purpose of a zone district. Applicants could apply for a zone change and Structure Plan change to I — Industrial for the property; however, staff is currently unsure it would support that change. Councilmember Ohlson asked about the potential timeline for a rezoning. Dush replied it would likely be four months. The property owner could request a zone and Structure Plan and modify his Overall Development Plan. 275 May 4, 2010 Councilmember Ohlson asked why it would not make sense for the co-op cultivation facility to be located on the Airpark Village property, assuming zoning was not an issue. Jerry Schiager, Police Services, replied there are some safety concerns with having that large of a cultivation facility in one location but there is some value in having a single location that can be properly secured. Mayor Hutchinson noted there are two options for Ordinance No. 045, 2010. Option 1 would not allow the coop cultivation facility at the Airpark Village location as it is currently zoned and Option 2 would allow cultivation at that facility. Councilmember Roy made a motion, seconded by Councilmember Manvel to adopt Ordinance No. 045, 2010, Option 1, on Second Reading. Councilmember Ohlson asked for an explanation as to why outdoor grows would not be allowed. Schiager replied fencing requirements would not accommodate sufficient security. Additionally, minors accessing the crop is a major concern. Councilmember Manvel asked if the Airpark Village property owner would consider going through the rezoning process. Mr. Jones replied the ultimate plan for the Airpark Village property is consistent with its Overall Development Plan, a $65 million hotel, shopping, and residence project. It is not likely the Airpark Village, LLC manager would apply for rezoning as another rezoning would need to be requested when funding for the ultimate project becomes available. Councilmember Roy stated, though there is some merit to the Airpark Village proposal, it is not advisable to "cherry -pick" when dealing with zoning. Councilmember Kottwitz expressed concern about temporarily changing zoning for the Airpark Village location. Councilmember Poppaw stated the rezoning process is available for the Airpark Village owner Councilmember Troxell stated he would not support the motion as the I — Industrial zone should provide enough available land for cultivation facilities. Mayor Hutchinson stated he would support the motion. The vote on the motion was as follows: Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw and Roy. Nays: Troxell. THE MOTION CARRIED. Councilmember Roy made a motion, seconded by Councilmember Manvel, to adopt Ordinance No. 046, 2010, on Second Reading. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw and Roy. Nays: Troxell. THE MOTION CARRIED. 276 May 4, 2010 Councilmember Roy made a motion, seconded by Councilmember Manvel, to adopt Ordinance No. 047, 2010, on Second Reading. Councilmember Troxell stated he would support the motion. The vote on the motion was as follows: Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none. THE MOTION CARRIED. Other Business Councilmember Manvel made a motion, seconded by Councilmember Kottwitz, to adjourn until the conclusion of the Urban Renewal Authority meeting, at which time Council will reconvene and adjourn into Executive Session. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none. THE MOTION CARRIED. Extension of the Meeting Councilmember Manvel made a motion, seconded by Councilmember Roy, to extend the meeting past 10:30 p.m. Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none. THE MOTION CARRIED. ("Council adjourned to the end of the Urban Renewal Authority meeting and reconvened at 11:30 P.M.) Executive Session Authorized Councilmember Ohlson made a motion, seconded by Councilmember Roy, to go into Executive Session to meet with the City Attorney, City Manager, and other affected members of City staff to discuss potential and current litigation and related legal issues as permitted under City Code Section 2-31(a)(2). Yeas: Hutchinson, Kottwitz, Manvel, Ohlson, Poppaw, Roy and Troxell. Nays: none. THE MOTION CARRIED. 277 The meeting adjourned at 11:55 p.m. ATTEST: - City Clerk Adjournment May 4, 2010 278