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HomeMy WebLinkAboutMinutes 12/18/07 PUBLIC HEARING December 18,2007 Present: Am Menconi Sara Fisher Peter Runyon Bruce Baumgartner Bryan Treu Robert Morris Kathy Scriver Chairman Commissioner Commissioner County Manager County Attorney Deputy County Attorney Deputy Clerk to the Board This being a scheduled Public Hearing, the following items were presented to the Board of County Commissioners for their consideration: Executive Session There was none. Consent Agenda Chairman Menconi stated the first item before the Board was the Consent Agenda as follows: A. Approval of bill paying for the weeks of December 17, December 24 and December 31,2007 (subject to review by the Finance Director) Finance Department Representative B. Approval of payroll for December 202007 and January 3,2008 (subject to review by the Finance Director) Finance Department Representative C. Approval of the minutes of the Eagle County Board of Commissioners meeting for November 6, 2007 Teak Simonton, Clerk & Recorder D. Resolution 2007-135 Adopting Eagle County Down Payment Assistance Program County Attorney's Office Representative/Housing E. Acceptance of Modification and Ratification of Correction Deed for Blue Ridge Lane Engineering Department Representative F. Resolution 2007-136 Adopting Eagle County Employer Assisted Housing Benefit Employee Home Ownership Program (EHOP) County Attorney's Office Representative/Housing G. Final Settlement of Agreement between Eagle County and Grant Miller County Attorney's Office Representative/Facilities Management H. Eagle County Airport Extension Easement Agreement County Attorney's Office Representative/Facilities Management I. Resolution 2007-137 Final Release of Collateral and Termination of the Warranty Period for the Warranty Period for Front Range Construction Inc. - Road Cut Permit No. 3510 County Attorney's Office Representative/Engineering 1 12/18/07 J. Resolution 2007-138 Conferring Power of Attorney upon Bryan R. Treu, County Attorney; Robert L. Morris, Deputy County Attorney; Christina L. Hooper, Assistant County Attorney and Alex Potente, Assistant County Attorney to act as Attorney in Fact for the County of Eagle, State of Colorado, with respect to Letter of Credit No. NZS574157 in the amount of $298,989.00 for the account of Palmero sa Development County Attorney's Office Representative K. Resolution 2007-139 Conferring Power of Attorney upon Bryan R. Treu, County Attorney; Robert L. Morris, Deputy County Attorney; Christina L. Hooper, Assistant County Attorney and Alex Potente, Assistant County Attorney to act as Attorney in Fact for the County of Eagle, State of Colorado, with respect to Letter of Credit No. 0360214133 in the amount of$195,198.75 for the account of Richard and Luanne Mayne for Siloam Springs Development County Attorney's Office Representative L. Motor Vehicle Lease Agreement between Eagle County and the Eagle Valley Alliance Motor Pool Representative M. Agreement between Eagle County Board of Social Services and The Eagle County Board of Commissioners to provide family services Health & Human Services Representative N. Application for Community Services Block Grant for the Healthy Babies and Families Program Health & Human Services Representative O. Agreement between Eagle County and Carrie Froman for Family Child Care Health & Human Services Representative P. Agreement between Eagle County and John Collins P.C. for legal services for the child support program Health & Human Services Representative Q. Task Order with the Colorado Department of Public Health & Environment for Pandemic Flu Preparedness Health & Human Services Representative R. Annual Renewal of the Eagle County Investment Policy Treasurer's Office Representative S. Resolution 2007-140 concerning the Eagle County Deferred Compensation Plan Human Resources! Attorney Representatives T. Resolution 2007-141 Matter of Amending the Eagle County Land Use Regulations; General Amendment affecting Chapter II, Article 5, Section 5-250 Special Uses (Eagle County File No. LUR-0074) Jena Skinner-Markowitz, Planning Department U. Resolution 2007-142 Approval of the Special Use Permit for the Emergency Services Telecommunications Equipment at the Union Pacific "Blowout" Telecommunications Facility (Eagle County File No. ZS- 00161) Jena Skinner-Markowitz, Planning Department V. Resolution 2007-143 Approval of the Special Use Permit for Colorado Mountain Express, Eagle-Vail Satellite Lot (Eagle County File No. ZX-00162) Jena Skinner-Markowitz, Planning Department W. Resolution 2007-144 Matter of Amending the Eagle County Land Use Regulations for Landscape Irrigation Regulations (Eagle County File No. LUR-0056) Lisa de Graaf, Planning Department 2 12/18/07 X. Minor Type B Subdivision / 400 Shadowrock Drive, EI Jebel (Eagle County File No. 5MB-00429) The intent of this Minor Type B Subdivision is to re-subdivide the Blue Ridge PUD to create individual lots for separate sale of the town home units, limited common elements, general common elements and areas designated for potential future development. Bob Narracci, Planning Department Chairman Menconi asked the Attorney's Office if there were any changes to the Consent Agenda. Bryan Treu, County Attorney stated that he had no comments. Commissioner Runyon moved to approve the Consent Agenda, Items A-X. Commissioner Fisher seconded the motion. The vote was declared unanimous. Citizen Input Eagle Valley Library District Impact Fees, Charlyn Canada Charlyn Canada, Director of the Eagle Valley Library District spoke. She requested that the county approve impact fees on the unincorporated property in Eagle County for the betterment of library capital facilities. She introduced some of the district's associates. Michael Brown, Trustee for the Eagle Valley District spoke. He stated that the district covers both incorporated and unincorporated area in Eagle County except for Vail. The district operates the Eagle regional library, a smaller satellite library in Gypsum and regional library in Avon. The district is an active community partner. He spoke about fees to fund capital expansion. The library district runs several different child programs ranging from programs for infants to young adult programs. In 2006, the attendance through all age ranges was approximately 21,000. Tom Pippin, Economist with BBC research spoke. His company performs economic analysis for local governments. He presented the impact fee study prepared for the Eagle Valley Library District. He stated that impact fees are designed to maintain the current level of service as growth occurs. For libraries, it's common to denominate the level of service in square footage per dwelling unit. They determined that in the library district there is 1.65 square feet of library space per dwelling unit. The study took a 20-year look ahead. Based on the data acquired it was determined that there would be almost 10,800 new single-family residential growth expected in the district. To maintain the current level of service the district would need 7.6 million in new capital construction. This includes an 8,000 square foot addition in Eagle and a 10,000 square foot addition at the Avon library. In order for the library to collect that fee of $703 per unit, they need the help of local governments in their jurisdiction. The library district has met with the town of Avon and the town of Minturn. Chairman Menconi asked if Mr. Pippin was suggesting that the county commissioners institute a library impact fee on new building. He asked if the same amount would be requested of everyone. Mr. Pippin stated that the district is requesting the same amount from every jurisdiction. Chairman Menconi wondered how the library district's impact fees compared to fire district's impact fees or road impact fees. Mr. Pippin stated that he had done over 80 impact fees studies in Colorado over the last 17 years and library fees seems to the lowest. If all the fees were collected, it would allow the district to pay for the 7.6 million dollar expansions in Eagle and Avon without burdening existing taxpayers. Commissioner Runyon asked about the impact fees and their impact on second home ownership. Mr. Brown stated that those homes that are second homes could eventually become occupied longer or they could become full-time residents in the future. The impact fee is designed to make sure the library district has a readiness to serve regardless of how those units are occupied. Commissioner Runyon wondered how the 1.65 square feet of library space per dwelling unit figure compares to other communities around the state. Mr. Pippin stated that the number was significantly lower. Stan Bernstein, the district's fmancial advisor spoke. He stated that 99-100 percent of the library revenues rely on impact fees. If property values were to go down then the libraries revenues would go down. 3 12/18/07 Ms. Canada spoke about the timing of the expansions. Groundbreaking is expected in March for the Eagle library. The expansion will include a new teen and children center and the fiction collection will be housed on the upper . story of the new wing. The Avon expansion may happen in two years. Chairman Menconi stated that he would like to defer conversation for a later day in order to examine the proposal. Commissioner Fisher asked if the impact fee would affect what would be done at the Eagle library. Mr. Bernstein stated that the Library District had accumulated a cash surplus of about 5 million dollars since 1993. The board of directors has decided to use this money for the Eagle library expansion. If the impact fees were to go forward, they will be used to reimburse the general fund. Commissioner Fisher asked about the affordable housing unit calculation. She wondered if they had considered reducing the fees for affordable housing. Mr. Bernstein stated they had not reduced the fees for affordable housing. Mr. Pippin stated that they had not reduced the amount of the impact fee for affordable housing but it is very common in Colorado to do this type of reduction. They welcome feedback from the board as well as city councils as to whether there should be a complete or partial waiver for affordable housing. Chairman Menconi asked the board if they would support going to the next stage to allow staff to begin discussion regarding the impact fees. Commissioner Runyon and Commissioner Fisher stated their approval. Commissioner Fisher moved to adjourn as the Board of County Commissioners and re-convene as the Eagle County Liquor Licensing Authority. Commissioner Runyon seconded the motion. The vote was declared unanimous. Eagle County Liquor License Authority Kathy Scriver, Clerk and Recorder's Office Consent Agenda A. Eagle-Vail Metropolitan District d/b/a Mulligan's at Eagle-Vail This is a renewal for a Hotel and Restaurant License with 4 Optional Premises in Eagle-Vail. There have been no complaints or disturbances in the past year. All the necessary fees have been paid. An Alcohol Management Plan is on file in the Clerk's Office and proof of server training has been provided. B. Alpine Investors d/b/a Beaver Creek General Store This is a renewal for a 3.2% Beer Retail License (off premises) in Beaver Creek Plaza. There have been no complaints or disturbances in the past year. All the necessary fees have been paid. An Alcohol Management Plan is on file in the Clerk's Office and proof of server training has been provided. C. Enterprise Hotels of Colorado, Inc d/b/a Rocks Modem Grill This is a renewal for a Hotel and Restaurant License in Beaver Creek. There have been no complaints or disturbances in the past year. All the necessary fees have been paid. An Alcohol Management Plan is on file in the Clerk's Office and proof of server training has been provided. Other Consent D. Beaver Creek Food Services, Inc. d/b/a Toscanini This is a Manager's Registration for Toscanini in Beaver Creek. Beaver Creek Food Services wishes to change the manager from the current register manager, Collin Baugh to Lana Gordon-Stieber. Ms. Gordon-Stieber is reported to be of good moral character, based upon background reports from the Eagle County Sheriff's Office and CBI. The application is complete and the necessary fees have been paid. Commissioner Runyon moved that the Board approve the Liquor Consent Agenda for December 18,2007, consisting ofItems A-C. Commissioner Fisher seconded the motion. The vote was declared unanimous. 4 12/18/07 Commissioner Fisher moved that the Board approve Item D, manager registration for Beaver Creek Food Services, Inc. d/b/a Toscanini. Commissioner Runyon seconded the motion. The vote was declared unanimous. Commissioner Runyon moved to adjourn as the Eagle County Liquor Licensing Authority and re-convene as the Board of Social Services. Commissioner Fisher seconded the motion. The vote was declared unanimous. Eagle County Board of Social Services - Agreement between Eagle County Board of Social Services and The Eagle County Board of Commissioners to provide family services Health & Human Services Representative Mr. Treu stated that that it would appropriate to move to approve the agreement. Commissioner Fisher moved to approve the Agreement between Eagle County Board of Social Services and The Eagle County Board of Commissioners to provide family services Commissioner Runyon seconded the motion. The vote was declared unanimous. Commissioner Runyon moved to adjourn as the Board of Social Services and re-convene as the Board of County Commissioners. Commissioner Fisher seconded the motion. The vote was declared unanimous. Public Hearing - Set Mill Levy and Adopt 2008 Budget John Lewis, Finance Mr. Lewis stated that the budget process involved taking goals and objective of the commissioners and making sure there was an alignment with department goals and objectives. The County Manager, Bruce Baumgartner was great about making sure any areas of non-alignment were discussed and reviewed. The process used was a modified zero based budget. They continued with the same salary structure and looked at line items within each budget. Staffwas asked to explain any increases over 3% and to look at what it really would take to run their department. He thanked the department heads for their cooperation. The departmental budgets and general fund alone was reduced by 6% from the 2007 budget. There is now an excess of revenue over expenditures of $569,867. Money was found for the justice center, which has been set aside in the capital improvements fund. Additional dollars were found for housing, transportation needs, and additional staffmg to match service level needs. The critical staffing committee looked at what it would take to maintain the same service level. The funding is adequate for most department's goals and objectives. He presented some statistics and stated that many don't affect us locally. Things are happening in Eagle County in a different mode than the way they are happening in other areas of Colorado. According to a recent newspaper article, the county has a windfall of revenue. However, in the general fund the revenue only increased about 10%. Without the decreases of 6% by the department heads, they would have had to cut staff and decrease levels of service. He stated that the county has adjusting rate obligations. The affordable housing goal has not been met. The justice center is not in compliance. The microwave maintenance system is out dated. There are many issues related to transportation. There are a number of needs in Human services to maintain our middle class. There are new facilities planned with the hope of future growth. There are many other obligations and staff is the number one infrastructure. They have recommended a 5% cost of living increase. The budget objectives included a balanced budget, maintaining reserves, providing at least 1 million dollars for anticipated supplemental requests, and setting money aside for the justice center. In 2007, there was more revenue than expenditures; much of that revenue was restricted to areas such as the airport, ECO bus and landfill. A positive surplus is expected in 2008. Through 2011, they anticipate continued growth in expenditures but more than enough revenue to match it. Overall, in looking at some of the recent changes to the motor pool and revised operations, there is a total savings of 2.8 million. They will continue 5 12/18/07 to report upcoming changes to future needs through 2011. He thanked everyone for their support and hard work and Mr. Baumgartner for his direction and ideas. Chairman Menconi thanked Mr. Lewis for his hard work and effort. This is the best budget that he's seen in his 7 years. He asked if Mr. Baumgartner had any comments regarding his letter about the budget. Mr. Baumgartner stated that he believes the budget is consistent with the board's initial objectives. He believes it is a positive budget through out all funds. All of the initial budget objectives have been met and are consistent with the economic indicators and shows a reasonable relationship to other economic indicators that are changing. It provides for a number of additional FTE's and he believes the revenue assumptions are conservative. The capital expenditure items do not spend all of the funds leaving a cushion. He stated that overall budgets represent people's best estimates of what next year is going to look like both from income and expense and what is needed by departments in order to function. There will be the need for some changes and in an effort to plan for those changes there is 1 million that is budgeted as a line item for next year as those changes and unanticipated events are brought forward. Chairman Menconi opened public comment. Sherriff Joe Hoy spoke. He stated that he had the opportunity to review the final budget before the start of the session. He stated that he was not happy. The figures that had been adopted did not address the needs of the Sheriff's Office or the safety of the citizens of this community. He understands that things are still in negotiations and he appreciates the fact that staff has worked closely together with his staff to fmd some common ground. He feels that public safety is paramount to the growth of any community. Commissioner Runyon stated that the board shares his concerns for public safety. He believes there is room for change and they have 60 days to make any last minute changes. He believes a consultant may be the best way to allow for an impartial decision. Commissioner Fisher stated that there had been challenges with the budget this year. Theier primary goal is to maintain or exceed the level of standards we have set countywide. She stated that there is an uncertainty for future needs as the county continues to grow. She encouraged Mr. Hoy and his staff to work closely with Mr. Lewis and Mr. Baumgartner. She would like to set a benchmark that is reasonable and acceptable and she hopes that the Sheriff would work with the board to make this happen. Chairman Menconi stated that he is a little surprised to hear that Mr. Hoy is surprised today. They have been working with the Finance Department, County Manager and the Sherriff's Office staff for the last 2 months. Mr. Hoy stated that he is surprised with the final numbers that were presented today. He did not have the opportunity to see the final product before this meeting. Chairman Menconi stated that they have been aggressive in trying to being as transparent as possible with the overall budget. This is the fourth meeting. Mr. Hoy stated that there have been a lot of meetings and negotiations between his staff, the staff from the finance department and Mr. Baumgartner. The final numbers had not been made available to him until this morning. Chairman Menconi stated that he has been committed to spending as much time as was necessary in order to work on this budget specifically to address his issues. Mr. Lewis stated that he believes it was the hope of Sheriff Hoy that they would have made some changes. They have not been able to devote enough time completing their research to make these changes. He is committed to working with SheriffHoy and continuing the necessary research to see if there are some additional changes that should be made and included in a supplemental budget. Chairman Menconi stated that the board had always been the judge and jury with regards to the budget recommendations from the Finance Director and County Manager. The county commissioners had extended an offer to pay a consultant to look at the Sheriff's budget in order to understand the comparison to other governmental jurisdictions. The difference between the recommended overtime that the Sheriff's Office has asked for is a $285,000 difference between what is in today's budget. The reason for that is that the justification presented was a scheduling justification rather than for emergency or public safety. The perception thus far is that the overtime is being used to augment salaries. He asked Mr. Lewis about the money requested by the Sheriff's Office for training. Mr. Lewis stated that from the benchmark comparables that they've obtained from a few other counties and municipalities, is the training average for each deputy is $500-$600. $500 is what he used in the budget. He believes the training cost of$101,OOO should be severely looked at because it is quite a bit more per person than some of the benchmarks he's seen. He believes it's important to look at what is really needed. 6 12/18/07 Chairman Menconi asked Mr. Lewis about the Sheriff's Office uniform and motor pool costs. He wondered if there had been any conversations regarding these matters. Mr. Lewis stated that they are still collecting data but it appears that the average per deputy for uniforms is higher than the benchmark they are fmding. He would like to give the Sheriff and his staff an opportunity to come back and talk about it. Chairman Menconi understands that there is also an ongoing debate with regards to motor pool. Jeff Layman stated that the original budget was for nine vehicles and Mr. Lewis budgeted for three. Chairman Menconi stated that he believes that the new Finance Director is doing a phenomenal job maintaining fiscal responsibility for the taxpayers. There are a lot of items that are new and different to this budget than previous budgets. He is committed to working on this budget but there has to be better comparison to average with regards to others. The last document that he read was based on why overtime is a scheduling issue. SheriffHoy stated that not all ofthe overtime has to do with scheduling. Chairman Menconi stated that that was the way the document was written. As a public official to hear comment that this is the way it's always been and this is way it's been for 20 years is no longer acceptable. They will work to put priorities in place that Eagle County is the number one community in the state of Colorado and all services and staff are getting what they need to do a first class job. He encouraged SheriffHoy to come to meetings be present and listen to the dialog between the Finance Director and the County Manager with the questions and comments that they've been receiving so they can get the job done in the next 30 days. SheriffHoy stated that they have been working closely with staff arl are committed to doing so. He is also clear on the issues that need to be addressed. Chairman Menconi stated that when they get the documentation that SheriffHoy says he's working on they will continue to do the right thing for the citizens of Eagle County. Commissioner Fisher thanked the County Manager and Finance Director and the entire organization for stepping up to the plate. She believes there have been some great strides forward. Commissioner Runyon added his thanks and he believes that because of the adjustable rate obligations, they went to staff and staff responded admirably. Not only did staff cut 6% they gave a 5% cost of living increase to their employees. Chairman Menconi thanked Mr. Lewis, the elected officials and directors for their work on the budget. The board of county commissioners also set aside 5 million dollars to bring workforce housing to the community. This is the first zero based budget they have done. He believes that some of the new software and budget information will be better for future elected officials. Commissioner Fisher moved to approve Resolution 2007-145, adopting the 2008 Fiscal Budget Mill Levy Commissioner Runyon seconded the motion. The vote was declared unanimous. Commissioner Fisher moved to approve Resolution 2007-146, adopting the Budget and the Making of Appropriations for the County of Eagle, State of Colorado, for Fiscal Year 2008 Commissioner Runyon seconded the motion. The vote was declared unanimous. Work Session - EI Jebel Road & Bridge Facility Recorded Planning Files ZS-00156 Salt CreeklFrost Creek PUD. Equestrian Facility Lisa de Graaf, Planning Department NOTE: Tabled from 7/31/07,9/4/07 & 10/30/07. To be tabled to 1/8/08 ACTION: The purpose of this Special Use Permit is to construct an equestrian facility and support structures. LOCATION: Situated on either side of Brush Creek Road, approximately 6 miles southeast from the Town of Eagle. 7 12/18/07 Commissioner Fisher moved to table File No. ZS-OOI56 Salt Creek/Frost Creek PUD, Equestrian Facility until January 8, 2008. Commissioner Runyon seconded the motion. The vote was declared unanimous. Public Hearing - Eagle River Fire Protection District proposed impact fee schedule Charlie Moore, ERFPD Charles Moore, General Manager, and Fire Chief for Eagle River Fire District spoke. He spoke about the request for the proposed impact fee. The goal is to maintain the level of service to what it is today. Growth will dilute this service level if they do not plan ahead. They currently serve an area from the middle of Wolcott to the top of Tennessee Pass. Beaver Creek is serviced by way of an intergovernmental agreement. They would like to provide service within 5 minutes of 90% of their constituents. They are seeing simultaneous calls that are very critical at the same time and more and more real emergencies occurring. There plan to meet future demands into the next decade and beyond by way of impact fees and asking growth to help pay for some of the capital needs going forward. The report outlined 'hat they believe they are going to need. Tom Pippin, BBC research presented the report. He stated that impact fees could not be used to increase the level of service. If the district were seeking a faster response time, it would have to use mill levy or grants. As indicated in the reports they believe that the district is going to experience growth of approxima,tely 72,000 SFE's or single family equivalent units between now and 2026. It is common in Colorado that fire impact fees are assessed not only to residential units but to commercial units as well. Commercial growth has been included in the 72,000 figure. The impact fees are also based on the district's capital needs. He indicated that the district will need over 12 million dollars between now and 2026 to maintain their current level of service. The full cost recovery fee or the amount designed to pay for the growth is $1,671 per SFE. Commissioner Runyon asked how they planned to allocate the funds. Mr. Moore stated that the funds would be used towards salaries because they are having a difficult time competing with the Front Range for fIrefighters. They ordered a new ladder truck and there are some smaller capital items as well but the bulk of the increase will go towards personnel services. Commissioner Runyon asked about the Gypsum impact fees. Mr. Narracci stated that the Gypsum Fire Protection District fees range from the most increase for $601- 647 dollars for a single home. Commissioner Runyon asked why they based the fees on water meter size rather than square footage. Mr. Pippin stated that his fIrm is very conservative and gives their clients the most conservative advice. In the 1990s he prepared some impact fees in Colorado and throughout the west that were based on square footage of commercial buildings and residential units. He was convinced that large homes did have more infrastructure demand. His firm researched this and found that water meters would be a defensible way to vary residential fee because there is a relationship to water pressure if a larger residential structure requires more water pressure. When they advised the district to vary its fees according to meter size, it was based on their conservative judgment. Commissioner Runyon stated that his vision is consolidation of the various fire districts. Eagle County has over 53 special districts. He believes it is important to eliminate barriers. The other districts impact fees are within dollars of each other. Going from zero impact fees to $1671 seems dramatic by comparison. He understands that there are other factors to consider but the increase concerns him. Mr. Moore stated that the difference in service level is that some of the homes in the area are the size of a small hotel and some of the hotels are the largest structures on western slope of Colorado. That requires a significant response. He believes the barriers are more emotional than they are financial. If the community ever wanted to consider a full consolidation, he doesn't think the impact fees would be a barrier. Stan Bernstein stated that if the districts were consolidated it would be possible to have zonal impact fees. This would allow the impact fees to stay in tact for the different areas at different rates. Commissioner Runyon asked about exemptions for deed-restricted housing. Mr. Moore stated that that the Town of Avon asked for something similar. They have tried to keep the tax levy as low as possible but are trying to plan for the future. Chairman Menconi wondered if it would be possible to continue the conversation at a later date. 8 12/18/07 Mr. Moore stated that he would be in favor of tabling the file however; they would like some consideration before spring. Chairman Menconi asked what they are basing their assumptions on and whether it was the 12 million in terms of capital projection. Mr. Bernstein stated that the report identifies 26 million of future capital improvements for the district. The 12 million is the portion that would be funded by impact fees. Mr. Moore stated that impact fees were approved for Holland Creek and Red Sky, and they have accumulated some fees, which will be applied to the Wolcott station. Chairman Menconi wondered about the recent tax increases Mr. Moore stated that there had been two increases. One was at the formation of the district in 2000. When the district was formed they inherited some junk, the ftre stations and trucks were aging and outdated. They did the best they could with the 3.8 mill levy. When they asked the voters for 5.55 they didn't project the need for a station in Wolcott and Avon. He believes it is fair to everyone that all future development chip in to the new capital needs that will be necessary in the next 10-20 years. Chairman Menconi asked if the recommendation had full board support. Mr. Moore stated that it did. Bruce Mielke, Chairman, Eagle River Fire Protection stated that the board of directors had not embarked on this mission lightly. They have studied it for a number of years and because some of the things that are happening now they feel the need to request the impact fee. He was actively evolved in the formation of the district in 2000. The facilities, the rolling stock, and the organizations they inherited from the various districts including the Town of Avon have left a lot to be desired. They have explored options with CMC to have a station on their campus. Wolcott is the next area of growth. Chairman Menconi stated that he is in favor of further discussion. He believes growth should pay for its way. He would like to examine the dollar amount. Commissioner Fisher stated that she agrees with Chairman Menconi. She asked if there was any consideration to adjust the impact fee based on square feet for smaller homes. She would like to have a better understanding of some of the additional demands. She understood that the district had been given a piece of land in Wolcott. Mr. Moore stated that the land had been given to several districts. Mr. Pippin stated that is their intent that larger homes pay a greater impact fee but rather than varying that fee by square footage, they advised their client to vary the impact fee according to meter size. Mr. Moore stated that he sees the ftre risk increasing not decreasing. The greatest threat is from wild ftre. They would like to build a fire agency that can respond in a reasonable way to wild fires and everything else as quickly as they possibly can so that people's property and their quality of life are preserved. Chairman Menconi asked if the Minturn and the Town of Avon were on board. Mr. Moore stated that they are considering it. They will be going to Red Cliff in January. Chairman Menconi asked the board if they were in consensus. Commissioner Fisher and Commissioner Runyon stated they were. Chairman Menconi asked if they looked at a "plan B" that rather than a 90% response within the 5 miles that perhaps it's an 85% response with a 6 mile radius. Mr. Moore stated that the insurance agencies drive it to a degree. Policies consider the distance from one's home to a fire station. Chairman Menconi stated that he is not opposed to a frre and science station at the CMC site but CMC is not the decision maker. He sees some opportunities ifthe commissioners and the school district could have a better understanding so there are appropriate public services in the section ofthe community that has the highest population. Mr. Mielke requested that discussion continue at the end of January. Commissioner Runyon stated that he is in favor of this idea of growth paying its way but he is concerned with the fee structure and how it will impact the deed restricted properties and modest free market. Chairman Menconi opened and closed public comment, as there was none. Commissioner Runyon moved to table the file to a date uncertain. Commissioner Fisher seconded the motion. The vote was declared unanimous. 9 12/18/07 Public Hearing - Housing Guidelines Alex Potente, Interim Housing Director Chairman Menconi stated that this is the first of two public hearings for the housing guidelines. The first today and the second after the planning commission had an opportunity to review the file. Mr. Potente stated that the process began about 10 months ago. The existing guidelines did not generate the amount and spectrum of housing needed based on the most recent 2007 needs assessment. With this in mind, they set out to try to make the guidelines accomplish both workability and generation of housing. The process included speaking to a number of developers, realtor representatives, and planners. He met with both Planning Commissions as well. Melanie Reese of Reese Consulting was retained to perform the needs assessment. He received legal council to review and analyze the defensibility of the guidelines. The guidelines have two primary components. The first is a residential inclusionary requirement. He stated that inclusionary housing is not mitigation. They are not attempting to mitigate the jobs that are being generated by the creation of residential housing. The new inclusionary requirement is 30%; this is based on square footage. He believes square footage is a better measure than units are because you could play to many games with units. What makes this workable is the fact that the area medium income (AMI) has considerably increased. It used to be that 80% AMI was the maximum sales price for these units. This was increased to a base of 105% AMI or 115% if the developer is building a high cost structure, which has to deal with structured parking. This will provide the developer with an incentive to get the parking off the surface. Traditionally the developer uses the free market portion of the development to subsidize the affordable component. He has received a lot of push back from the affordable housing camp that developers should not make a profit on affordable housing. There is a debate as to whether a developer should be permitted to recover a 5% development fee and 5% profit. The consultant believes this is unnecessary and bad policy to allow developers to recover any profit on the affordable portion of the development. The second primary component is commercial linkage. This is mitigation and an attempt to provide housing in conjunction with those types of developments. He believes the affordable component of these developments is much easier to pre sell. The revised guideline would require all new commercial development to provide 100% of the housing needs created by jobs paying less than 140% AMI. It is assumed that people below 140% AMI cannot make it into the market and people above 140% are taken care of by they market. The new guidelines would require that for every 1000 square feet of commercial space built would require a square foot of affordable units or price cap rentals at 80% AMI. The second option would be about a .8 ratio, which would mean for every 1000 square feet of commercial you would have to build 800 square feet of price cap deed restricted affordable units or price cap rentals at 80% AMI. The final portion of the guidelines was added based on the board's comments. This is the residence occupancy requirement. This requires 20% of a total square footage in a residential development to be resident occupied 240 days out of the year. This requirement is designed to keep the ratio of second homeowners to primary homeowners consistent. The consultant recommended that an additional area be added. She suggested that for the properties that were already platted the county would impose a fee per square foot for the right to built or a voluntary transfer assessment of 1 %, which would be paid at the time of sale. These fees would then be applied to affordable housing projects. Commissioner Runyon wondered if the money could be used towards transportation. Mr. Potente stated that he would have to refer to the county's legal offices as to whether those funds could be allocated to other sources. He added that the consultant made some further recommendations. She recommended that there be asset and income requirements to qualify for affordable housing. He believes this would shrink the pool of potential purchasers and makes sale of these units a bit tricky. He believes there may be a compromise solution. Another suggestion was to eliminate the floor of service of 80% and have the ability to service some people who are making less than 80% AMI. He presented examples using the proposed guidelines. Chairman Menconi opened public comment. He asked that comments be brief and stated that there would be two meetings and the board may not answer questions at this time. Jay Leavitt, Roaring Fork Planning Commission member spoke. He believes this issue is of utmost concern not only in Eagle County but also in the entire 1-70 corridor and Roaring Fork Valley corridor from Glenwood Springs to Aspen. He believes these guidelines should be made part ofthe land use regulations because 10 12/18/07 they are so complicated and have complicated formulas. He believes that the use of the net square footage is misleading and confusing. He thinks that the ability to determine housing based on need is way more important than to establish long complicated formulas. He does not believe that cost of recovery and payment in lieu should be a developer's option. The policy for the county and elected officials should be to provide and to establish policy and not be in the developer's pocket book. This makes it very complex to determine how much recovery there is and that issue becomes contentious as the process goes along. He believes that part of the calculations in these guidelines are based on information, surveys and reports that are old and not current. He believes a bold step forward is needed to meet future demands. Keith Fernandez, President of Vail Resorts Development Company spoke. He stated that Vail Resorts take their housing obligation very seriously. He likes the fact that the county is offering alternatives to developers. He fears that in the county's efforts to increase affordable housing may have an unintended consequence, which may be a slow down development. There needs to be a return and the examples shown do not provide a good enough profit. Diane Mauriello, Assistant General Council of real estate for Vail Resorts spoke. She stated that the company welcomes the opportunity to have a full discussion on the issues. One of the things she hopes to understand is whether there is a current study on employee generation and whether the consultant will speak or present this information. She believes that the law requires that when a local government is going to impose requirements or an exaction such as the housing guidelines they be related to the nature of and roughly proportional to the impacts of the development. They want to make sure that the percentages and guidelines will meet that basic legal requirement and foundation. They welcome the process and look forward to participating. Tom Boni, Knight Planning Services spoke. The one part of the program that he believes should be amended is to provide incentives for the production of affordable housing rather than simply leaving it to an exaction from commercial or other residential development. He wondered if there would be any benefit to developers trying to contribute to the affordable housing. Rick Mueller, President ofRemonov & Co spoke. He stated that there should be some incentiv~ for developers. He sees no incentives with the proposed guidelines. The proposal would only generate more traffic and increase the number of people in the community. He doesn't understand the benefit. He stated that Mr. Potente had not provided the opportunity for people to come in and talk. He would like to offer his suggestions in a workshop setting. Mr. Potente stated that he has invited Mr. Mueller repeatedly to share his information and he had declined to do so. Chairman Menconi stated that they would provide a working document with the correct figures so there is more accuracy. As Mr. Potente has stated they would like to keep it as much as an open door policy as possible. Mr. Mueller stated that the Urban Land Institute has repeatedly stated that this type of program by itself will not work. He believes this type of program will run people out of town. Commissioner Runyon stated that this board is not looking solely at the development community to solve the affordable housing problem. They are working on a half dozen other fronts throughout the valley from Gypsum all the way to the east because they acknowledge that no one segment can solve the problem. They take the Urban Land Institute report very much to heart. It is a very important document that is guiding a lot of decisions they are making. Mr. Mueller stated that the county should present an entire package. The community deserves the right to see all of this information in a comprehensive plan versus bits and pieces here and there. Chairman Menconi closed public comment. Commissioner Fisher thanked everyone for joining the meeting. She stated that there are still some big unknowns. The board is looking at public/private partnerships. She views this as a component to try to address a bigger issue. The board is trying to look at additional subsidized housing and opportunities to maximize opportunities for workforce housing. The commitment is to present this proposal to the public and have as much public dialog and input as possible. Commissioner Runyon stated that in the 70s and 80s there was a certain balance and the free market was able to provide affordable housing. However, over the years there has been an imbalance. There are more hotels, second homes, and shopping centers all requiring employees. This is merely an effort to address growth and have new growth accommodate the housing issues. He believes it is critical that we not look at affordable housing as a give away but as an important part of our infrastructure. Happy employees will make economic success. . 11 12/18/07 Chairman Menconi requested more information regarding Mr. Leavitt's questions and comments in terms of what he sees as problems. He would also like more information regarding current studies and the legal requirements as spoke of by Ms. Mauriello. The guidelines are not asking future developers to pay for past issues that have gone on uncorrected. The number one issue of concern to the citizens of Eagle County is limiting growth and number two is creating more affordable homes. These are great concerns to the Eagle County Commissioners. They are looking at these guidelines as a cost recovery system. They are trying to work towards maintaining housing for working class families. Commissioner Runyon moved that the board continue the housing guideline discussion to January 14, 2008. Commissioner Fisher seconded the motion. The vote was declared unanimous. Attest: There being no further business befi 8, 2007. 12 12/18/07