· Resolution #54, 2007 - Termination of Puppy Smith COWOP. 4

· Council Appointments: 4

RESOLUTION #55, 2007 – Lease 517 East Hopkins. 4

ORDINANCE #29, SERIES OF 2007 – 307 S. Spring (Wienerstube) Subdivision. 5

ORDINANCE #24, SERIES OF 2007 – Dean Street Vacation. 6

RESOLUTION #53, SERIES OF 2007 – Smuggler Racquet Affordable Housing Conceptual Review 8

ORDINANCE #27, SERIES OF 2007 – 308 East Hopkins Subdivision. 12

ORDINANCE #25, SERIES OF 2007 – Jerome Professional Building. 16

ORDINANCE #30, SERIES OF 2007 – Amending Land Use Code Historic Preservation. 16

Mayor Ireland called the meeting to order at 5 p.m. with Councilmembers Johnson, Skadron, Romero and DeVilbiss present.

CITIZEN PARTICIPATION

1. Toni Kronberg noted last week Council had a work session about the recycle center and the skateboard park. Ms. Kronberg suggested Council look at the skateboard park during the morning hours to see how crowded it is. Ms. Kronberg said the city encourages affordable housing on site and if developers put as much on site, it is not a win/win situation with larger, taller buildings at higher costs. Ms. Kronberg suggested developers be required to pay cash-in-lieu and have more units built at Burlingame.

2. Bert Myrin presented a card from the parking department printed on neon cardstock and noted this is not accepted at the recycle center. Myrin suggested the city not send out information on paper that cannot go to the recovery center.

COUNCILMEMBER COMMENTS

1. Councilman Romero thanked the Aspen Historic Society and the community for the picnic July 1^st. Over 600 people attended and got re-introduced to the Wheeler Stallard house. Councilman Romero said he hopes this becomes an annual event.

2. Councilman Skadron noted he ran a marathon in Leadville and when he crossed the finish line, Mayor Ireland, who had ridden his bicycle over, was there.

3. Councilman Skadron said the Wall Street Journal had a story about the difference between how fractional properties treat their owners versus how they treat guests. Councilman Skadron said he will make this available to all Council.

4. Councilman DeVilbiss stated the motorcycles were not the loudest component of the 4^th of July parade. Councilman DeVilbiss said there is a handout available from the police department which cites the noise ordinance. Councilman DeVilbiss said he is satisfied with the steps the city has taken and nothing further needs to be done.

5. Councilman DeVilbiss said there is an application in front of the Pitkin County community development department to put a track hoe in the Roaring Fork river east of town and dredge the middle of the river. Councilman DeVilbiss said Mr. Bass, the Aspen Valley Land Trust, and ACES are co-applicants to dredge the river. This is supported by the Corps of Engineers and the Colorado Division of Wildlife. Councilman DeVilbiss said purportedly the dredging is to benefit the river. Councilman DeVilbiss told Council the East of Aspen caucus signed a letter in opposition. It is suggested if Mr. Bass wants to benefit the river he can buy water rights to keep water on the western slope rather than have water go to the eastern slope. Councilman DeVilbiss said he wrote a letter in opposition asking why the river cannot be left alone. It is a pristine stretch of river and can be left as is. Councilman DeVilbiss noted the decision of the county community development department director can be appealed to the BOCC. Councilman DeVilbiss said if the decision is adverse, he may appeal it. Councilman Johnson stated he would support that.

6. Councilman Johnson proposed to add an ordinance to the end of the agenda, which ordinance proposes changes to the historic preservation code section and would prevent demolition of structures 30 years or older unless reviewed for potential designation and approved by community development department.

Councilman DeVilbiss moved to add Ordinance #30, Series of 2007, to the agenda; seconded by Councilman Skadron. All in favor with the exception of Councilman Romero, motion carried.

7. Mayor Ireland said he attended the Live Earth concert by jumbatron at the Silver Circle ice rink. Mayor Ireland thanked the Hyatt, Jonathan Lewis and the city’s canary team for the event.

8. Mayor Ireland stated he was in the 4^th of July parade handing out information about the fireworks, transportation to them and the parking at the golf course. Mayor Ireland said the fireworks at the golf course were successful and there was no illegal parking.

9. Mayor Ireland thanked people for watching Council meetings on Grassroots and for forwarding comments to Council.

10. Mayor Ireland presented a letter to Mark Udall signed by the Chair of the BOCC, with copies to Senator Ken Salazar and Representative John Salazar. The letter relates to the preferred storage option plan, which plan directly affects the flows in the Roaring Fork river. Mayor Ireland noted the Roaring Fork river has become shallow, the water is warmer, algae grow, and fishing is depleted. The river no longer has surges to deepen the channel. Mayor Ireland said the preferred storage option plan threatened that trickle of water in the Roaring Fork river. Mayor Ireland said this letter asks Pitkin County’s congressional delegation to include the west slope in the conversations about storage options. Twin Lakes reservoir is filled by diverting water from this side of the continental divide and there are claims for more water into Twin Lake to serve the front range.

11. Steve Barwick, city manager, requested an executive session be added to the end of the agenda.

12. Councilman Skadron told Council he attended the Colorado Association of Ski towns meeting in Snowmass in June and had the opportunity to meet Councilmembers from Colorado resort towns. Councilman Skadron said other resort towns are dealing with the same issues and it is interesting to hear their experiences.

13. Mayor Ireland reported he will be attending the Governor’s blue ribbon panel on transportation. They are looking into a pricing means by which cities try and cut down the traffic flows by charging for use of certain roads during certain time periods.

CONSENT CALENDAR

Councilman Romero requested the lease for 517 East Hopkins be removed.

Councilman DeVilbiss moved to approve the consent calendar as amended; seconded by Councilman Johnson. The consent calendar is:

· Minutes – June 25, 2007

· Resolution #54, 2007 - Termination of Puppy Smith COWOP

· Council Appointments:

Mayor Pro Tem J. E. DeVilbiss

CAST Steve Skadron/Jack Johnson

RFTA J. E. DeVilbiss

RFTA alternate Dwayne Romero

DRGW Covenant Enforcement Jack Johnson

NWC Council of Governments Dwayne Romero/Steve Skadron

Aspen Chamber Resort Assn. Mick Ireland/J. E. DeVilbiss

Arts Council Jack Johnson/Mick Ireland

Ruedi Water & Power Authority J. E. DeVilbiss/Jack Johnson

CORE Board J. E. DeVilbiss

Sister Cities Steve Skadron/J. E. DeVilbiss

Healthy Mountain Communities Randy Ready

Rocky Mountain Rail Assn

Burlingame Housing Inc. J. E. DeVilbiss

CML Policy Advisory Board Mick Ireland

Nordic Council Steve Skadron/Dwayne Romero

ASC Advisory Committee Dwayne Romero

RESOLUTION #55, 2007 – Lease 517 East Hopkins

Councilman Romero told Council he supports the lease and has suggested changes to staff and wants to make sure they are contained in the approved document. Bentley Henderson, assistant city manager, told Council there have been additions to staff and it is clear more space is needed. Henderson noted this space is across the street from city hall. Staff and the owner negotiated and Councilman Romero’s comments are on target on things that should be addressed. Councilman Romero said the likes getting the deal approved. His comments were who does what and the mechanisms on the limit of liability and limit of financial exposure if the city has to take on additional improvements.

Councilman Skadron asked the rate of this lease. Henderson said it is $30/square foot for 5,000 square feet. The rent will increase in subsequent years up to $43/square foot in 2008. Councilman Skadron asked if this is competitive with other rents. Henderson said it is cheaper than space the city is currently paying for in another location. Mayor Ireland suggested rather than use the Denver/Boulder cpi, staff use all cities, all consumers, which is more universal. Councilman Johnson asked from where the funds will come. Henderson said building revenues and the general fund.

Councilman Romero moved to approve Resolution #55, Series of 2007, Lease of 517 E. Hopkins with the amendments; seconded by Councilman Skadron. All in favor, motion carried.

ORDINANCE #29, SERIES OF 2007 – 307 S. Spring (Wienerstube) Subdivision

Councilman DeVilbiss stated he was recused previously on this and will continue to be recused. Councilman Skadron stated he reviewed and voted on this at P&Z and needs to be recused.

Councilman Johnson moved to read ordinance #29, Series of 2007; seconded by Councilman Romero. All in favor, motion carried.

ORDINANCE N0. 29

(SERIES OF 2007)

AN ORDINANCE OF THE CITY OF ASPEN CITY COUNCIL APPROVING WITH CONDITIONS A SUBDIVISION REVIEW FOR THE CONSTRUCTION OF A MIXED-USE BUILDING AT 307 S. SPRING STREET AND 625 E. HYMAN AVE, LOTS D-I, BLOCK 100, City and Townsite of Aspen, Pitkin County, cOLORADO

Joyce Allgaier, community development department, told Council this application has been in front of P&Z for subdivision and growth management review. This application was before Council last year; however, the applicants made changes, went back to P&Z for revision to their growth management approval. This project is 6 free market residences, 12 affordable housing units, 18,000 square feet of net leaseable commercial and office. This is a mixed use development and requires Council approval for subdivision. There are 47 parking spaces proposed on two levels. Councilman Romero asked how many condominiums associations there will be. Stan Clauson, representing the applicant, told Council there will be one for the free market units and one for the affordable housing units so they can represent their interests individually. Councilman Johnson asked if the application outlines the changes since the previous presentation before Council. Clauson said the cover letter indicates what is proposed. Councilman Johnson requested for second reading a bullet point comparison. Councilman Johnson said there was disagreement during Council meetings regarding the architectural form of the corner. Councilman Johnson said he prefers the original proposal for the corner detail. Clauson said the form reverts to substantially the first presentation.

Councilman Johnson asked for an explanation of the difference between procedural and technical subdivision. Ms. Allgaier said the inclusion of multi-family units within a building requires subdivision. Ms. Allgaier said the common idea of subdivision is an actual subdivision of land, creating parcels. This is creating individual units. Councilman Johnson said there is a footnote that defines what subdivision is relative to the land use code. Councilman Johnson said it is important to include this footnote in all future subdivision memos. Councilman Johnson said the definition states that subdivision is defined as the process, the act or the result of dividing land into two or more lots, parcels or other units of land or separate legal interest. Councilman Johnson said this seems to be the building rather than an act of demarcation.

Mayor Ireland said the mitigation for affordable housing is for 25.9 FTEs and how does that number relate to the total employment generated by the project. Clauson said 25.9 are generated by the commercial square footage. Clauson said the requirement for residential is generated on a difference basis, which is 30% of the overall square footage. Mayor Ireland asked where people will be housed from the other jobs that are generated by this project. Mayor Ireland said this project will leave a housing shortfall that the community is not capable of dealing with. Mayor Ireland stated he does not favor developer’s choice for the affordable housing units as the impact is felt by the entire community. Clauson said this is the largest block of affordable housing to be built in the commercial core. Councilman Johnson said he agrees generally; however, in previous presentations the Wienerstube made a request for some units as they need someone on site early in the morning and it is a benefit for the Wienerstube as well as the community to allow them some units. Mayor Ireland said this application seems predicated on the Wienerstube as a tenant and does the city have any assurances this will continue.

Councilman Romero moved to adopt ordinance #29, Series of 2007, on first reading; seconded by Councilman Johnson. Roll call vote; Councilmembers Romero, yes; Johnson, yes; Mayor Ireland, yes. Motion carried.

ORDINANCE #24, SERIES OF 2007 – Dean Street Vacation

John Worcester, city attorney, noted 3 members of City Council have indicated they have a conflict of interest on Ordinance #24 and Resolution #53. At the previous Council meeting this was discussed and Council invoked the rule of necessity in order to have a quorum to hear these applications. Worcester referred to the record made at the June 25^th meeting so that all 5 members will be voting.

Joyce Allgaier, community development department, said this is a request to vacate a portion of Dean street. Ms. Allgaier pointed out a map indicated the portion subject to this request, a portion that was previously vacated. Ms. Allgaier noted the Lodge at Aspen mountain applicants request all components of their development be considered together. The Lodge at Aspen Mountain has worked closely with the Timberridge condominiums, located adjacent to the proposed vacation, to provide the proposed vacated area for parking for Timberridge. Ms. Allgaier told Council Timberridge has historically used this area for parking. Ms. Allgaier reminded Council in vacating rights-of-way, half the right-of-way goes to each adjoining property. Ms. Allgaier said the applicants of the Lodge at Aspen Mountain will deed over to Timberridge all of the right-of-way so that Timberridge residents can continue to use this parking. Ms. Allgaier noted there are 3 components to the Lodge at Aspen Mountain, the lodge proposal itself, Dean street vacation, and the affordable housing at Smuggler. Council has agreed all 3 of these should be reviewed simultaneously.

Councilman Johnson asked if the Lift One building was built in the public right-of-way. Ms. Allgaier said she does not know the sequence of events but it is built in what was once a public right-of-way. Sunny Vann, representing the applicant, told Council there was a civil action in 1969 regarding this portion of the Midland right-of-way. Councilman Johnson asked if this were to be approved, do the development rights of Timberridge increase. Ms. Allgaier said they would not.

John Sarpa, applicant for Lodge at Aspen Mountain, reminded Council the city recently vacated the eastern portion of Dean street for Lift one condominiums to facilitate some improvements for Lift One. Vann said if the lodge project does not get approved, the residential project uses a portion of the right-of-way to access the affordable component and this will not be vacated. That is why this component should be in concert with the lodge. Vann said the Lodge at Aspen Mountain requested the vacation of the remainder of the street, which was a condition of P&Z approval in order to help solve parking problems of the neighborhood.

Vann said there are no public utilities in the area proposed to be vacated and the city could reserve an easement; however, there is no easement across the other vacated portions. Councilman Skadron asked the impact of the lost parking spaces on the other neighbors. Vann said there has been an objection about this loss of parking by residents of Trainor’s Landing, who have periodically used this space as overflow parking. Vann noted one side of Garmisch is signed “no parking”; the east side of the street does not have curb and gutter. The applicants propose to dedicate additional right-of-way in order to add curb and gutter. There will not be enough room for on street parking, at the city’s request. The applicant is working to put some parking back on Juan street. Vann told Council the housing at Trainor’s Landing has parking for two cars.

Councilman Johnson asked if there are other considerations. Timberridge cites considerations like preservation of view planes, a site plan that provides for no east/west overlap between the multi-story portion of the lodge and the Timberridge building, and vacation of Dean street right-of-way. Sarpa said the vacation of Dean street is a key component of the lodge project. Councilman Johnson noted Denis Murray, Trainor’s Landing, is requesting an improved intersection at the corner of Durant and Garmisch. Vann said this intersection has been discussed with the city; however, it is a city improvement and the applicants are willing to cooperate.

Mayor Ireland opened the public hearing.

David Ellis, president of Timberridge condominiums and a resident at Timberridge since 1971, told Council there was no physical street prior to construction of Timberridge, at which time the developer bulldozed a strip, which is now used for parking. Ellis told Council in the last 35 years, Timberridge has paid for all maintenance, snow removal, gravel, grading, trash pickup in this area since their residents use this area. The city has never plowed this area. Ellis said this area is used almost exclusively by Timberridge residents. Ellis stated the Timberridge and Lift One are both non-conforming in terms of density and parking. The Timberridge has 21 units and has room on their property for 10 cars. Ellis said the object of this vacation would be to approach one space/unit by gaining control of the space they have historically used. The vacation of Dean street would be a benefit to Timberridge. Ellis pointed out with the townhouse approval, all parking disappears because that right-of-way is an access and a fire lane.

Tammy Solonz, Timberridge, agreed the intersection at Garmish and Durant needs to be addressed; there is no signage. Ms. Solonz said she supports the vacation. Ms. Solonz noted Trainor’s Landing has two spaces/unit and does not need to park in this area.

Mayor Ireland continued the public hearing.

Councilman Johnson asked if the support for the Lodge at Aspen Mountain will disappear if this vacation is not approved. Ellis stated their support will not go away as they prefer the lodge proposal over the townhouses. Mayor Ireland said the city is being asked to vacate city property to the benefit of Timberridge for their parking. Ellis told Council Timberridge has not previously requested vacation because under state statutes, half of the property goes to each abutting property owner. The prior owners have not been willing to dedicate their half of the vacated property to Timberridge. Ellis said if it is not vacated, the city must consider how to maintain it.

Councilman Johnson said he understands how this vacation would benefit the Timberridge association; however, he cannot understand how the public benefits and in order to support it, there would have to be more public benefit to outweigh the city vacating this right-of-way. Mayor Ireland said it is difficult to consider any of these pieces independent from another. Councilman Romero said although this is city property, it must not have too great a value as the city has not taken care of it at all. Councilman Romero said this should be a component of a larger project.

Councilman DeVilbiss moved to continue Ordinance #24, Series of 2007, to July 23; seconded by Councilman Romero. All in favor, motion carried.

RESOLUTION #53, SERIES OF 2007 – Smuggler Racquet Affordable Housing Conceptual Review

Mayor Ireland entered into the record communications from Vince Gallucio, Bob Nevins and Stephanie Costello. Joyce Allgaier, community development department, told Council this is a 4-step review and is a complex project. This project has had conceptual review and approval at P&Z. The applicant is the Aspen Land Fund. Ms. Allgaier showed where the subject property is, including the existing Smuggler Racquet Club. The property is 4.6 acres, zoned in the county R-15. Ms. Allgaier noted it was annexed in the 1950’s; however, staff always though this site was in the county and it never received city zoning. There is a historic cabin off Park Circle and the entrance to the racquet club off Matchless Drive. The site is divided into 2 benches, one of which receives access off Matchless and the upper bench with some property between that bench and Park Circle. Ms. Allgaier pointed out a parcel located between the racquet and the mobile home park which the applicant is in negotiations to purchase. Ms. Allgaier pointed out a mine shaft air vent on the upper bench which cannot be built upon but can accommodate access.

Ms. Allgaier told Council the cabin received historic designation from HPC in January and the applicants have agreed to the designation. P&Z recommended conceptual PUD approval with modifications to allow more parking on site. P&Z asked HPC to consider allowing the historic cabin to be moved for better site planning. The development proposes 28 affordable housing units. At the last review of the Lodge at Aspen Mountain, one Councilmember suggested increasing the density on this site. At final review, other approvals will be rezoning to rural residential for the racquet club and AH/PUD for the upper bench. Subdivision review and approval, growth management for the racquet club, design review standards and final PUD will all have to be accomplished.

Ms. Allgaier said this will be divided into 2 or 3 parcels; lot 1 for affordable housing, lot 2 for the racquet club and possibly lot 3 for the historic cabins. The original proposal was for 33 units and 35 parking spaces, which staff supported. P&Z requested more parking. P&Z and staff requested more variation in the buildings to break up the mass, larger windows and a street alignment to reinforce a pattern of units along the street. The approved proposal contains 28 units and 44 parking spaces. The mass has been broken up building by building rather than separate pods. This allows for more parking. There will be a play area incorporated in the proposal. The setbacks are 10’ on the east side; 15’ on the west side and 5’ on the front and rear of lot 1.

The racquet club, lot 2 which is 2.9 acres, currently has 7 outdoor courts and a clubhouse. The proposal is for 5 outdoor courts and 2 indoor courts with a clubhouse facility and 1 affordable housing unit. The setback at the rear is 20’. Ms. Allgaier pointed out a notch in the property which is owned by another party. There is no building allowed on that piece. The height of the club house is 22.5’ to the midpoint and 32.5’ to the ridge. The clubhouse is proposed to be 15,280 square feet. P&Z did not request any changes to that portion of the application. Ms. Allgaier said staff feels the site design for the racquet club is functional.

Ms. Allgaier noted conditions from P&Z are that there needs to be a rehabilitation plan for the cabin; final PUD application must contain detailed landscaping; address a possibility of a bus stop; details of the mine shaft condition; construction management plan; work with the parks department on street trees to reinforce the pedestrian way along Park; comply with the Smuggler Mine remediation requirements; the affordable housing units on lot 1 will be for sale and the 1 affordable housing unit on lot 2 will be rental.

Councilman Skadron asked why staff recommended RR, rural residential. No adjacent property has that zoning designation. Ms. Allgaier said the RR zoning allows the racquet club to be a conditional use so it is the closest fit to what exists. Only lot 2 will be RR. Councilman Skadron asked if conceptual approval should be given separately for lots1 and 2. Ms. Allgaier noted this is currently under one ownership. Ms. Allgaier said staff feels this parcel should be looked at comprehensively, including the relationship to the adjacent property owners. Councilman Skadron asked about the relationship between the number of units and the number of parking spaces. P&Z recommended more parking, which seems to be contradictory to the principles of the AACP and the proximity to the bus. Ms. Allgaier said P&Z asked the applicants to look at the parking ratio, which is now in accordance with the land use code.

Councilman Johnson asked the size and height of the existing clubhouse. Kim Weil, architect, said it is 1300 square feet and about 16’ tall. Councilman DeVilbiss asked who owns the notch parcel on the west of this parcel. John Moore, Smuggler racquet club, said it is owned by Maxim Corporation from Texas. Mayor Ireland noted staff has stated this project is part of the Lodge at Aspen and staff supports the Lodge. Ms. Allgaier said staff feels this is an appropriate location for affordable housing. Ms. Allgaier noted with the site constraints, like the mine shaft and the need for parking, there are not a lot of different ways to locate the units,. Councilman DeVilbiss said he would like to know all the property owners on the north, east and south sides.

John Sarpa, representing the applicants, told Council they began this project in August 2005 and there is a contractual relationship as well as obligations between the applicants and the Smuggler Racquet Club. Sarpa told Council there have been many reviews with staff and with city boards. The applicants started with the Aspen Pitkin County Housing authority, who liked the original plan. Staff did not like the plan with 6 buildings and requested the plan conform more to the residential design standards. The plan was changed and then the applicant went to HPC as they volunteered to designate the cabin on the site and make it a livable unit. HPC stated they did not want the cabin moved. The applicants went to P&Z who made some changes in the density and the parking. P&Z requested the applicants go back to HPC to get permission to move the cabin, which was granted. Sarpa stated the applicants have looked at many options for this site.

Sarpa told Council they hired Tom Dunlop to understand the requirements of the Smuggler superfund site. EPA had to review the project and to sign off on it. Sarpa said part of their contractual obligation with the racquet club is to process their application, which is one reason it is being reviewed together. Sarpa said they feel this site is a good site on which to maximize affordable housing. Sarpa noted there is no free market residential associated with this application.

John Moore, representing the Smuggler Racquet Club, told Council the racquet club was started in 1972 by McCullough Corporation. No one knows why the notch was taken out of this property. Moore said there are 105 members, mostly locals. There is a social aspect to the club besides playing tennis. The existing facility is a 1972 trailer and the boards underneath are rotting. The building needs to be replaced and this is an opportunity to replace the clubhouse as well as the tennis courts. Moore said the buy in fee is reasonable, and they are trying to encourage younger members. Moore told Council they would like to put the indoor courts 12’ down to keep it within the height requirements as well as keeping the area cool in the summer.

Kim Weil, architect, reminded Council everyone originally thought this property was in the county and the application was prepared with county rules in mind. The design has to keep in mind the air shaft from the old mine, which leaves a portion right in the center of the site unbuildable. The city requests a design to meet the new urbanism standards. This along with the historic cabin and the air shaft pushed the buildings together on the site. The proposal is for 13 one-bedroom, 8 two-bedrooms, 6 three-bedrooms and the cabin as a studio.

Weil said the clubhouse is actually about 2,000 square feet not including the indoor courts, which takes up the rest of the 16,000 square feet. The design is to keep the clubhouse simple for costs reasons and so that it does not overwhelm the area. Vann sated they did not care about the zoning designation as long as it accommodates the use of a tennis court and affordable housing. The dimensional requirements are established by the PUD.

Councilman Skadron asked why the necessity of 5 courts with only 105 members and why not use the space for a higher use. Moore said the courts are used almost constantly in the morning and evening hours. Councilman Romero asked if there are other pieces of the contractual agreement the applicants can share with council. Sarpa said they are limited on the amount of density. Sarpa told Council the applicants made a presentation to the racquet club’s members on what the development would look like. Sarpa said the view corridor to the north was important to the members. Sarpa said the proposal shown to the members was 32 units and 70 residents; they are now at 28 units and 60 residents.

Moore told Council the club has a review of any proposals and they will not withhold reasonable approval. Councilman DeVilbiss asked if there is a maximum number of units the club could approval. Moore said the contract states 56 bedrooms is allowed and anything over that will require board approval. The applicants can go to 36,000 square feet with a 10% window. Councilman DeVilbiss asked if there is a proscription against underground parking. Sarpa said there is not; however, the concern is the underground water from the mines.

Councilman Johnson asked the degree of public access by the community to the courts. Moore said there is an approval process for new members. The by-laws state a maximum of 15 members/court. Moore told Council several years ago a suggestion was made to increase that number, which was turned down by the members. Moore said this is an equity club so if the number of members is increased, the equity is reduced. There are 38 parking spaces for the tennis club. Weil told Council there are no new amenities for this court except the 2 indoor courts and a small exercise room. Councilman Johnson asked the cost of the new facility to the club. Weil said it is $4.5 to 5 million. Councilman Johnson asked how the approvals of the club are tied to the affordable housing. Sarpa said they need both projects approved or the applicants cannot buy the land for the affordable housing.

Councilman Johnson asked who the owners are. Sarpa said Aspen Land Fund II, which is owned by Centurion partners and the major investors are Scott Madsen and Mike Smith and John Sarpa. There are small investors besides the above. Mayor Ireland said the number of parking spaces at the racquet seems to be large for a club with 105 members. Moore said there are social functions that fill up the parking. Currently there is a dirt lot which holds up to 40 cars. Mayor Ireland said the representation of building A from the west makes the project look extremely autocentric with the living arrangements either looking at a street or at a parking lot.

Mayor Ireland opened the public hearing.

Vince Gallucio, 325 Oak adjacent to building A, stated his objections are the housing units are not situated in a way to maximize views of Aspen mountain or southern exposure for light and heat. Building A is 175’ long and is a massive structure. Gallucio illustrated the berm between this property and Smuggler mobile home park and how tall the buildings will be. Gallucio said the buildings are too close and too tall. Gallucio suggested the affordable housing buildings be smaller and face Aspen mountain. Gallucio said he was told the Smuggler racquet club members do not want to look at any affordable housing, which is why the buildings are all pushed to the sides of the property. Gallucio said he favors affordable housing and the lodge proposal. Gallucio said concessions were given to adjacent property owners next to the lodge but here have been none toward Smuggler mobile home park.

Murray Cunningham, president of the Smuggler mobile home park, asked that the developers do what they can to mitigate the view plane from Smuggler looking east. The building could be broken up or lowered and anything like that would help.

Mayor Ireland continued the public hearing.

Councilman Johnson moved to continue Resolution #53, Series of 2007, to July 23; seconded by Councilman DeVilbiss. All in favor, motion carried.

Councilman Johnson moved to suspend the rules and extend the meeting to 10 p.m.; seconded by Councilman DeVilbiss. All in favor, motion carried.

ORDINANCE #27, SERIES OF 2007 – 308 East Hopkins Subdivision

Councilman Skadron recused himself as he reviewed this project at P&Z.

Sara Adams, community development department, told Council P&Z and HPC approved

a mixed use development to replace the existing 1.5 story building, located in the CC historic district. The applicant has worked with HPC to design a building to fit in with the CC historic district, to meet the commercial design standards as well as meet the goals of the AACP. Ms. Adams noted this proposal meets the design guidelines used by HPC in the commercial core historic district. The design is a contemporary interpretation of a traditional historic building. There is a setback on the east to showoff the historic building. There are 30’ modules to break up the mass on this 6,000 square foot lot. There is a horizontal emphasis through the window repetition.

Ms. Adams said the proposal is to replace the existing commercial space at the ground level; two free market residential units on the 2^nd and 3^rd floors and three category 4 affordable housing rental units. :P&Z granted growth management allotment to the affordable and the free market units. Ms. Adams noted the affordable housing exceeds the minimum requirement generated by the free market units. The requirement would be 4.5 employees and they are providing for 4.67 employees. There are 3 on-site parking spaces being provided; no parking is required for this type of building.

Ms. Adams said the project provides pedestrian vitality; it adds affordable housing units in the downtown mix, and fits in with the historic context. Ms. Adams told Council the building intrudes 3’3” into the Main street view plane originating from the Hotel Jerome. Ms. Adams said from the original proposal, HPC requested the applicant lower the plate height, which they did, and pull the 3^rd story back, which they did. The original intrusion into the view plane was over 8’. HPC felt the 3’3” impact was negligible. The applicant requested relief from the 25% pedestrian amenity requirement. HPC found the 8% outdoor seating was appropriate for the historic context and also adds vitality. HPC approved a cash-in-lieu fee for the remaining 17%. Staff and P&Z found the subdivision criteria were met and recommend approval.

Mayor Ireland asked why these are category 4 affordable housing units. Ms. Adams said this is the recommendation of the housing board. Ms. Adams noted the commercial portion of this proposed project is using existing credits so they did not need to mitigate for affordable housing. The proposed commercial space is slightly smaller than the existing one. There is potential to use space in the basement; however, the applicant will have to apply through growth management. Mayor Ireland said he does not think the same amount of employees will be generated for a high end restaurant as for the previous restaurant.

Sunny Vann, representing the applicants, told Council the initial consideration before HPC was March 2006. The proposal was designed under the infill regulations which encourages additional development. During the HPC process, the project was revised due to concerns including the overall bulk and mass, the view plan intrusion and the relationship to the adjacent historic building to the east. The building’s maximum height was reduced; the upper floors were setback from the street and alley; the relationship with adjacent historic structure was improved. HPC granted view plane approval; granted commercial design review; approved a reduction in pedestrian amenity space. HPC wanted the building to abut the sidewalk; therefore, the pedestrian amenity cannot be provided on site.

P&Z awarded the growth management allotments for the free market residential units. After P&Z approval, the project went back to HPC for final approval. This approval is subdivision for condominiumization of the units. Vann said this application was reviewed pursuant to the regulations in effect at time of submittal. These regulations allowed an overall floor area of 3:1 and a free market residential area of 1:1 and a maximum building height of 42’ which could be increased to 46’. This current proposal has an overall floor area of 2:1; a free market residential area of 1:1 and a maximum height of 35’ at the tallest portion. A significant portion of the building is only 28’. The project complies with the affordable housing requirements in place at time of submittal, which require the provision of housing equal to 30% of the free market residential floor area. This proposal exceeds that requirement. The minimum requirement would be 1800 square feet and this project provides 2600 square feet for 4.67 employees. Vann told Council when they started the process, there was not sufficient growth management quota available to use the basement. The basement is currently labeled as storage; however, the applicants intend to use that for additional commercial space. The applicants will go through growth management application, which would trigger additional housing mitigation. Vann pointed out originally Syzygy was going to re relocated to this building; however, now a new restaurant being considered.

Vann reminded Council the land use code has been amended again. The current commercial core requirement is 2.75 FAR; this project is 2:1. The residential allowable floor area was decreased to .5:1, increasable to .75:1 through TDRs. This project is 1:1 for affordable housing. The maximum height was decreased to 38’ and this project complies with that requirement. The affordable housing mitigation requirement remains at 30% of the free market square footage. Vann said under the most recent regulations, the proposal meets those requirements. Vann noted the new code amendment requires a maximum size of free market units of 2,000 square feet. This proposal has a unit of 1400 square feet and one unit of 3500 square feet.

Walt Harris, applicant, told Council the applicants worked with the neighborhood to try and come up with something that will be fun and vibrant. Harris pointed out the bar will come out to the sidewalk; there will be a lot of glass for transparency. Harris told Council he hopes to have a menu that works with a less formal atmosphere. Charles Cunniffee, architect, presented a rendering and told Council this complies in general with the commercial design guidelines for the commercial core district. One will be able to see through the restaurant to the patio beyond. The top floor is stepped back. The second floor is staggered because one of the regulations in the CC is to have vertical separation between elements of the building.

Councilman Johnson asked if a restaurant is required in this space. Harris said the genesis of the project was a restaurant; however, a restaurant is not required. Councilman Johnson asked who owns this property. Harris said JW Ventures owns the property, Walt Harris, John Provine, John Elmore, and Jim Paul. Councilman Johnson said the nightclub space sounds intriguing. Councilman Johnson asked where the affordable housing would be mitigated. Vann said the first competition is in August and the applicants do not know if they can meet that deadline. Vann noted the nightclub will have a separate entrance. Councilman Johnson asked if there are other buildings on this block that abut the street front. Ms. Adams said this is a design guideline for the commercial core.

Mayor Ireland noted many employees cannot afford and do not fit into category 4 affordable housing units. Mayor Ireland asked if there is criterion where one could determine that 3’3” intrusion into the view plane is minimal and 8’ is too much. Bendon said the criterion in the view plane review do not prescribe a certain amount which is an acceptable intrusion. The code section requires the reviewing board to make a determination whether the intrusion is a big or little deal. Mayor Ireland said he would prefer to see these for sale units rather than rental and having to wait a year before any enforcement actions can take place. Bendon said the code requires the units be for sale unless there is a system to insure affordability approved by the city attorney. Mayor Ireland noted the applicant has requested rental category 4 units.

Mayor Ireland stated it seems like rental units can be vacant for a year. Vann told Council that condition came from the housing authority which they put on all rental projects. Vann said housing associated with hotels or commercial uses where owners may want to house their own employees should be rental. Vann said these units will be used by the restaurant employees and the units will be owned by owners of the commercial space and there is no incentive to have them unoccupied. Vann said there have been problems with units in residential projects where the homeowners association was lax in renting the units. This condition would allow the housing office to enforce the condition and make sure the units are rented. The developer has the right of first refusal on rental units.

Councilman DeVilbiss asked if the applicant would voluntarily deed restrict the units to category 3. The applicants answered yes. Councilman Johnson asked if the applicants could come up with a plan to keep the units rental and primarily for the employees of this commercial building. Vann said they could do a right of first refusal to the employees. Vann noted these will have to be rented so if there are no employees who qualify, it will have to be rented pursuant to the guidelines.

Mayor Ireland opened the public hearing.

Charles Cunniffe entered a letter from Rob Ittner into the record about how he would like to see the property treated during construction with directional signs to other restaurants so as not to shut off on going businesses. Ms. Adams entered into the record correspondence from George Hart stating he favors the project.

Mayor Ireland closed the public hearing

Councilman DeVilbiss moved to adopt Ordinance #27, Series of 2007, on second reading with the amendment that the applicant voluntarily agrees to make the deed restricted units category 3 and to direct staff to administratively change the growth management approvals for the affordable housing; seconded by Councilman Romero. Roll call vote; Councilmembers Johnson, yes; DeVilbiss, yes; Romero, yes; Mayor Ireland, yes. Motion carried.

ORDINANCE #25, SERIES OF 2007 – Jerome Professional Building

Councilman Romero moved to continue Ordinance #25, Series of 2007, to September 24^th; seconded by Councilman DeVilbiss. All in favor, motion carried.

ORDINANCE #30, SERIES OF 2007 – Amending Land Use Code Historic Preservation

Councilman DeVilbiss moved to read Ordinance #30, Series of 2007; seconded by Councilman Johnson. All in favor, motion carried.

ORDINANCE N0. 30

(SERIES OF 2007)

AN EMERGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, AMENDING CHAPTER 26.415 OF THE ASPEN MUNICIPAL CODE, DEVELOPMENT INVOLVING THE ASPEN INVENTORY OF HISTORIC LANDMARK SITES AND STRUCTURES OR DEVELOPMENT IN AN “H,” HISTORIC OVERLAY DISTRICT; AND, DECLARING AN EMERGENCY

Amy Guthrie, community development department, told Council this ordinance was developed based on discussions of post World War II properties, some of which are deserving of historic landmark status. Ms. Guthrie said this ordinance affects a mandatory demolition review beginning with an evaluation by the community development director using the same criteria as used for landmark designation. The community development director determines whether the property has merit for landmark status. If so, this is sent on to HPC and then to Council for agreement. HPC and Council can call up staff’s decision and hold a landmark hearing.

Ms. Guthrie noted there is language discussing how this will be communicated with the public, what actions will not be allowed while a structure is under review, such as demolition or removal of exterior features.

Mayor Ireland asked how long it will take staff to inventory the buildings that ought to be protected and what buildings can be ruled out. Ms. Guthrie said some surveys have been conducted since 2000 outlining potential historic resources. Staff continues to do field work and research on properties. Ms. Guthrie said there is a sense of where the properties are that are of most concern to Council. Mayor Ireland said he would like a provision in the ordinance that once a decision is made not to designate a property that the decision is good for a fixed period, like 5 years. Mayor Ireland asked how long it will take staff to outline what is eligible for designation. Chris Bendon, community development department, told Council staff will be better able to answer that at the second reading of this ordinance. Mayor Ireland said his issues are giving property owners certainty for a period of years. Also structures do become historic over time. Mayor Ireland said he would like a rapid process to give property owners that assurance whether their property is eligible for consideration or not.

Councilman Johnson stated he likes the demolition review procedures because every property is treated the same; no property is on a list until a property owner applies for demolition. Councilman DeVilbiss agreed he would like a property owner to have as much certainty as possible so they could get on with their plans; however, he would like to err on the side of preservation. Councilman Johnson noted when a property is designated historic, there are benefits that no other property owners have access to. Councilman Johnson said the city has talked to both real estate agents and the tax assessor’s office and no one makes a determination that a historic property is of less value or it is discounted.

Councilman DeVilbiss moved to suspend the rules and extend the meeting to 10:30 p.m.; seconded by Councilman Johnson. All in favor, motion carried.

Councilman Romero said he favors historic preservation, especially as a board member of the Aspen Historic Society. Councilman Romero stated his concern is with process and this does not meet the standards of an emergency ordinance. Councilman Romero said there has been information and a list being worked on since 2000. Councilman Romero said this is not an issue of life, health or safety for the general public. Councilman Romero said he feels this will introduce unwarranted uncertainties for property owners. Councilman Romero stated this should go through the public participation process.

Councilman Johnson said there will be a public process before this is adopted. Councilman Johnson stated his concern is with this type of legislation, if Council does not act within the Charter provisions, there will be property owners asking for demolitions and the city will lose buildings they may want to see designated. Councilman Skadron said he wants to be certain that adequate protections are in place to prevent the demolition of historic structures and that the city’s process prioritizes preservation over demolition. Councilman Skadron said he would like to know how this ordinance accomplishes those two goals.

Councilman Johnson moved to adopt Ordinance #30, Series of 2007, on first reading; seconded by Councilman DeVilbiss. Roll call vote; Councilmembers Skadron, yes; DeVilbiss, yes; Romero, no; Johnson, yes; Mayor Ireland, yes. Motion carried.

Councilman Romero moved to go into executive session at 10:10 p.m. pursuant to C.R.S. 24-6-402(4)(a) the purchase, acquisition, lease, transfer, or sale of any real, personal, or other property interest; seconded by Councilman DeVilbiss. All in favor, motion carried. Also at the executive session were John Worcester, city attorney, Steve Barwick, city manager, and Chris Bendon, community development department.

Councilman DeVilbiss moved to suspend the rules and extend the meeting until 10:45 p.m..; seconded by Councilman Johnson. All in favor, motion carried.

Councilman DeVilbiss moved to come out of executive session at 10:37 p.m.; seconded by Councilman Romero. All in favor, motion carried.

Councilman DeVilbiss moved to adjourn at 10:37 p.m.; seconded by Councilman Johnson. All in favor, motion carried.

Kathryn S. Koch, City Clerk