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TC Packet 03-26-2024_____________________________________________________________________________________ MEETING AGENDAS AND PACKETS ARE FOUND AT: WWW.AVON.ORG MEETING NOTICES ARE POSTED AT AVON TOWN HALL, AVON RECREATION CENTER, AVON ELEMENTARY AND AVON PUBLIC LIBRARY IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING, CALL TOWN CLERK MIGUEL JAUREGUI CASANUEVA AT 970-748-4001 OR EMAIL MJAUREGUI@AVON.ORG WITH ANY SPECIAL REQUESTS. AVON TOWN COUNCIL MEETING AGENDA - Updated 03/25 TUESDAY, March 26, 2024 MEETING BEGINS AT 5:00 PM Hybrid meeting; in-person at Avon Town Hall or virtually through Zoom Zoom registration is on the header at Avon.org AVON TOWN COUNCIL PUBLIC MEETING BEGINS AT 5:00 PM 1.CALL TO ORDER AND ROLL CALL 2.APPROVAL OF AGENDA 3.DISCLOSURE OF ANY CONFLICTS OF INTEREST RELATED TO AGENDA ITEMS 4.PUBLIC COMMENT – COMMENTS ARE WELCOME ON ITEMS NOT LISTED ON THE FOLLOWING AGENDA Public comments are limited to three (3) minutes. The speaker may be given one (1) additional minute subject to Council approval. 5.BUSINESS ITEMS 5.1. Health & Recreation Committee Member Interviews (Recreation Director Michael Labagh) 5.2. Downtown Development Authority Candidate Interviews and Appointment to the DDA Board (Town Manager Eric Heil and Town Clerk Miguel Jauregui Casanueva) 5.3. PUBLIC HEARING: Second Reading of Ordinance 24-04 Slopeside Rezoning Application (REZ23001) (Planning Manager Jena Skinner) 5.4. Resolution 24-10: Adopting Town of Avon Employee Housing Plan Supplement (Long range - Housing Planner Patti Liermann) 5.5. First Reading of Ordinance 24-05 Amending Section 15.08.140 of the Avon Municipal Code Regarding issuance of Grading Permits (Community Development Director Matt Pielsticker) 5.6. First Reading of Ordinance 24-06 Sales Tax Exemption on Hygiene Products (Chief Financial Officer Paul Redmond) 5.7. Work session: Use Tax Ballot Proposal for 2024 Election (Town Manager Eric Heil and Chief Financial Officer Paul Redmond) 5.8. Work session: 2024 Draft Community Survey Policy Questions (Marketing & Communication Manager Elizabeth Wood) 5.9. Resolution 24-12 Authorizing Grant Application for National Endowment of the Arts: Our Town Grant Funding Opportunity (CASE Manager Danita Dempsey) 6.CONSENT AGENDA 6.1. Notice of Award Trails Improvements Project (Public Works Director Eva Wilson) 6.2. Notice of Award Basin 4 Project (Public Works Director Eva Wilson) 6.3. Resolution 24-11 Approving the updated Community Development Fee Schedule (Community Development Director Matt Pielsticker) 6.4. Approval of March 12, 2024 Regular Council Meeting Minutes (Town Clerk Miguel Jauregui Casanueva) 7.WRITTEN REPORTS 7.1. March 11th Planning and Zoning Commission Abstract (Planner II Max Morgan) 7.2. Monthly Financials (Senior Accountant Dean Stockdale) 8.MAYOR AND COUNCIL COMMENTS & MEETING UPDATES 9.ADJOURN _____________________________________________________________________________________ MEETING AGENDAS AND PACKETS ARE FOUND AT: WWW.AVON.ORG MEETING NOTICES ARE POSTED AT AVON TOWN HALL, AVON RECREATION CENTER, AVON ELEMENTARY AND AVON PUBLIC LIBRARY IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING, CALL TOWN CLERK MIGUEL JAUREGUI CASANUEVA AT 970-748-4001 OR EMAIL MJAUREGUI@AVON.ORG WITH ANY SPECIAL REQUESTS. Public Comments: Council agendas shall include a general item labeled “Public Comment” near the beginning of all Council meetings. Members of the public who wish to provide comments to Council greater than three minutes are encouraged to schedule time in advance on the agenda and to provide written comments and other appropriate materials to the Council in advance of the Council meeting. The Mayor shall permit public comments for any action item or work session item and may permit public comment for any other agenda item, and may limit such public comment to three minutes per individual, which limitation may be waived or increased by a majority of the quorum present. Article VI. Public Comments, Avon Town Council Simplified Rules of Order, Adopted by Resolution No. 17-05. 970-748-4446 mlabagh@avon.org Page 1 of 2 TO: Honorable Mayor Phillips and Council members FROM: Michael Labagh, Recreation Director RE: Interviews and Appointments to Health and Recreation Committee DATE: March 15, 2024 SUMMARY: The Ad Hoc Health and Recreation Committee was established by Resolution 19-16 in July 2019. In February 2022, Resolution 22-02 extended the Ad Hoc Health and Recreation Committee for two years, through January 31, 2024. On February 27, 2024, Council adopted Resolution 24-05, which established the Health and Recreation Committee as a permanent advisory board for the Town. The committee is advisory in nature, reviews, researches, and provides guidance on “healthy community” issues, community outreach and the design, programming and estimated cost of recreational facility improvements. Their role is more defined in Attachment B. The Health and Recreation Committee is comprised of five (5) to nine (9) voting members and two (2) non-voting members. Since the original Ad Hoc committee expired in January 2024, there are nine (9) open seats to fill two-year terms. A press release announcing the Town was seeking community members to serve on the Health and Recreation Committee was sent out on February 28, 2024, through the Town website / database, electronic newsletter, and social channels. I received seven (7) applications for nine (9) open seats on the Health and Recreation Committee. Applicant information is provided in Attachment A. QUALIFICATIONS: Resolution 24-05 requires appointed, voting members of the Health and Recreation Committee be residents, property owners, or owners and employees of a business located in the Town of Avon. All applicants’ qualifications have been verified by Recreation Department staff. Appointments shall be made by Council in March 2024, or as soon as thereafter as possible, after posting notice to solicit interested persons. SELECTION PROCESS: The applicants will be brought into the Council meeting, one-by-one, in the order applications were received, as follows: 1.Kevin Hyatt – Owner, Direct First Aid 2.Nancy Tashman - Retired Health and Wellness Professional 3.Patricia Nolan – Eagle County Healthy Aging 4.Lisa Post - Internal Auditor, Senior Analyst, Vail Resorts 5.Courtney Walters Rawson – SOS Outreach, Eagle County Program Manager 6.Kathy Ryan – Retired Recreation Professional 7.Sonia Martinez – Vail Health Radiology Imaging Scheduler After a brief introduction by each applicant and a summary of their interest to serve, Council will have time to ask each applicant questions prior to appointments. Up to 5 minutes per applicant is scheduled. After the seven (7) applicants have had a chance to address the Council, there will be time for Council discussion. Staff will then request that each Council member mark their selected candidates on the provided voting card. These will be provided to Town Clerk, Miguel Jauregui-Casanueva for tallying. The results of each Council member will be read into the record, as well as the final selected candidates. 970-748-4446 mlabagh@avon.org Page 2 of 2 In the alternative, Council can make a motion to appoint all seven (7) candidates since there are nine (9) available seats. This proposed motion is below. RECOMMENDATION: I recommend the appointment of the seven (7) applicants to serve a two-year term as a member of the Health and Recreation Committee so that combined the Health and Recreation Committee overall better represents diversity, equity, and inclusion. PROPOSED MOTION: “I move to appoint Kevin Hyatt, Nancy Tashman, Patricia Nolan, Lisa Post, Courtney Walters Rawson, Kathy Ryan and Sonia Martinez to a two-year term on the Town of Avon Health and Recreation Committee.” Thank you, Michael ATTACHMENTS: Attachment A – Applicant Information Attachment B – Resolution 24-05 Establishing the Health and Recreation Committee as a Permanent Committee ATTACHMENT A ATTACHMENT B 970.748.4001 mjauregui@avon.org TO: Honorable Mayor Amy Phillips and Council Members FROM: Eric Heil, Town Manager Miguel Jauregui Casanueva, Town Clerk RE: DDA Board Appointments, revised. DATE: March 22, 2024 SUMMARY: The purpose of the report is to facilitate Council’s appointment of one (1) board member to fill a vacancy of a seat at the Board of Directors of the Avon Downtown Development Authority (“Avon DDA”). BACKGROUND: On June 27, 2023, Town Council referred the formation of Avon DDA ballot question to eligible voters by approving Ordinance 23-02. On August 29, 2023, a special independent mail ballot election was conducted by the Town Clerk’s office. The final election results included 51 votes in favor of the establishment of the Avon DDA and 13 votes not in favor of the referred question. On September 26, 2023, Town Council held Avon DDA candidate interviews and appointed 11 members to the Avon DDA Board. •On February 1, 2024, Mr. Doug Jimenez resigned to his Board of Directors seat at the Avon DDA, which he held as Landowner, expiring on June 30, 2025. •On March 4, 2024, The Town Clerk’s Office posted a notice soliciting letters of interest to serve on the Avon DDA and sent out a press release. •The deadline for receiving letters of interest and a resume was Tuesday, March 19, 2024. •2 applications were received from Messrs. Jim Telling and Gregg Cooper, and both applicants were eligible under the Landowner category, thus preserving the Board’s composition. •Rules for the formation of the Board of Directors of the Avon DDA include: 1.Its composition will include at least one (1) Councilor and ten (10) Directors. CO Rev Stat § 31- 25-805(1) 2.To be eligible, Directors must reside, be a business lessee, or own real property in the Avon DDA. CO Rev Stat § 31-25-806(1), provided that a majority of Directors must own or reside within the Avon DDA boundaries. CO Rev Stat § 31-25-805(1) INTERVIEW FORMAT: We suggest Councilors interview Messrs. Jim Telling and Gregg Cooper in that order, based on the date their application was received and added to this report under Attachments A and B, and give them two to three minutes to introduce themselves and answer the following two questions: (1) What do you like best about Avon? and (2) What improvements do you think are most important for Avon over the next 5- 10 years? All applicants will remain in the room while the interview process takes place. APPOINTMENT FORMAT: Council will voice the vote for their preferred candidate at the end of the interviews and the Town Clerk will tabulate the vote by each Council member and announce the candidate who received most votes. Council will entertain a motion for the record to appoint the new Director. PROPOSED MOTION: “I move to appoint to the Avon DDA Board of Directors Mr. ___________ for a period to end on June 30, 2025.” Thank you, Miguel. ATTACHMENT A Application Materials Jim Telling ATTACHMENT B Application Materials Gregg Cooper ATTACHMENT A EXPERIENCE JIM TELLING 126 Riverfornt Lane, 5th Floor, Avon, CO 81620 | jtelling@ewpartners.com | (970) 343-0073 East West Partners – Avon, Colorado 1987 – Present Partner •Lead development team and all aspects of real estate development on behalf of East West Partners in the Vail Valley Vail Resorts – Vail, Colorado 1982 – 1987 Manager of Finance •Oversaw cost control of an $8 million food and beverage operation Deloitte Haskins & Sells – Denver, Colorado 1980 – 1982 Staff Accountant & Auditor EDUCATION /ACTIVITIES University of Indiana - Bloomington 1980 BS in Accounting ADDITIONAL INFORMATION •Community Involvement: Volunteer in the GoPro Mountain Games annually, past member of Eagle-Vail Homeowners Association Board of Directors and the Edwards Charter school’s development committee •Previously served on the Colorado Society of CPA’s Real Estate Committee •Interests include: Trail Running, Telemark Skiing, Hiking, Golfing ATTACHMENT A From:8322164710gc@gmail.com To:Miguel Jauregui Casanueva Subject:Avon Downtown Development Authority Letter of Interest and Resume Date:Thursday, March 14, 2024 1:00:01 PM Attachments:Gregg Cooper.pdf Miguel, Good afternoon. Thank you kindly for receiving this Letter of Interest and Resume for the current Board of Directors Avon Downtown Development Authority (“DDA”) opening. I am honored to be part of the process. I offer my time to the Council as they see fit in order to serve the DDA. I would do so with my history for financing as well as support the plan recently adopted in October 2023, which reads very well by the way. If I may repeat a bit from prior, I believe the DDA mechanism and goals are simply perfect. It is a very clever way to bring forward revenue receipts and initiate plans today. If selected, I would offer to assure the financing component is optimized and that any plans executed would support the improvements to the areas within the DDA. I kindly attach my resume and am glad to discuss at your convenience if necessary. Thank you for your consideration. With best regards, Gregg Gregg Cooper ATTACHMENT B Gregg Cooper 126 Riverfront Lane, 216 Mailing: 448 W. 19th Street, 308 Avon, CO 81620 Houston, TX 77008 Mobile: +1 (832) 216-4710 8322164710gc@gmail.com Summary Shareholder representation, company management, economic growth, international M&A, divestitures, and EBITDA improvement. Fifty countries. Languages: Native English, basic Russian, basic Spanish. Achievements Finance Shareholder Representative for Saudi Aramco to Johns Hopkins International Joint Venture (JHAH) Finance Shareholder Representative for Saudi Aramco to Saudi Aramco Aviation Company Saudi Aramco Investment Committee – Finance, presenter of all investments Saudi Aramco Aviation Company Interim CFO (pre-establishment) Saudi Aramco CFO Program Member Interim CEO / CFO for Mexico aviation company; 14% EBITDA improvement and sale of company Interim CEO CFO for Mississippi lease acquirer raising capital and establishing NewCo Interim CFO for a PE firm acquiring a $160mm revenue subsidiary and establishing NewCo Recent Economic Initiatives •Medical •Aviation •Solar •Hydrogen by-product market •Housing •Education •Traffic Professional Affiliations 73R, LLC Board of Directors, 2002 to present , President 2018 to present Energy Capital, Board of Directors, 2024 to present Eagle County Republican Central Committee Board of Directors, 2023 to present Seasons at Avon, Board of Directors, 2021 to 2024 Denver Academy Board of Trustees, 2011 to 2017, (Finance Committee Chair 2012 to 2013) Education Thunderbird, School of Global Management, with honors The American University, Washington, D.C. ATTACHMENT B Gregg Cooper Mobile: (832) 216-4710 E-mail:8322164710gc@gmail.com Page 2 of 3 Experience Retired May 2023 73R, Family Business Transaction with retail gas company in Weld County, CO Saudi Aramco 2014 – 2023 Mergers & Acquisitions Advisory Finance Investment Committee stewarding, four transactions per week, three capital investment decisions. Saudi Aramco Johns Hopkins International JV (JHAH) – Shareholder Representative Steward JV and JV C-Suite on behalf of Shareholder to design and achieve growth •Partner negotiations •Board of Managers redesign including independent directors and Partner ownership changes •15% cost reductions, 45% reduction in access time, safety standards unchanged Saudi Aramco Aviation Company – Finance Shareholder Representative Leading carve-out effort for stand-alone entity. Served briefly as interim CFO. Group Treasury Affiliate Treasury cash optimization and Financial Advisor alignment (Financial Institutions) CBIZ, Financial Advisory Services 2012 – 2014 Head of National Practice Specializing in family-business owning material public holdings •Led National Practice for seventh largest firm •Interim CEO-CFO for a Mississippi lease acquirer raising capital and establishing NewCo •Interim CFO for a PE firm acquiring a $160mm revenue subsidiary. Established NewCo •Facilitated $75mm debt offering Sirius Solutions 2006 – 2012 Director / Practice Lead - Transaction Advisory Service •Interim CEO and CFO for Mexico aviation company leading 14% EBITDA improvement and sale •Transaction advisory practice lead •Twenty-six due diligence and valuation projects in five years •Implemented Lean Six Sigma program yielding $10mm annual EBITDA improvement •Managed quarterly financial reporting process and final Form 10-K/Q reviews for $1B to $80mm revenue public filers; US GAAP, Canadian GAAP and IFRS •Designed $400M revenue CFO organization (carve-out) •Advised oilfield aviation company on US reporting standards in Aberdeen, Lagos, London, and Perth Lyondell Chemical Company 2004 – 2006 Manager •European based – December 2004 to December 2005 •Led European divestiture team evaluating plants and sites to be sold, closed, or those requiring additional capital requirements. Sites included France, The Netherlands, and Brussels. ($4B total assets (2005 values)) ATTACHMENT B Gregg Cooper Mobile: (832) 216-4710 E-mail:8322164710gc@gmail.com Page 3 of 3 Jefferson Wells International 2003 – 2004 Manager •IPO valuation for retail service provider for offering memorandum and public filings •Treasury risk program for a $1B portfolio and refined a risk calculation for a $61B portfolio Enron Corporation 2000 – 2001 Manager •$1.5B hedge book for US / Canada wholesale power, natural gas, coal, weather, and interest rates Exxon Mobil / Exxon Company International 1998 – 2000 MBA Rotational Program •Exxon Sub-Committee member for the ExxonMobil merger, designing US gas marketing strategy •Reviewed operations (>$1B) for Yemen, Angola, Kazakhstan, Russia, California, Guyana, Brazil, Sao Tome, Chad / Cameroon and Nigeria Professional Affiliations 73R, LLC Board of Directors, 2002 to present, President 2018 to present Energy Capital, Board of Directors, 2024 to present GCO Capital, Inc. Board of Directors, 2013 to present Seasons at Avon, Board of Directors, 2021 to 2024 Eagle County Republican Central Committee Board of Directors, 2023 to present Denver Academy Board of Trustees, 2011 to 2017, (Finance Committee Chair 2012 to 2013) Post Oak Community Association Board of Trustees, 2014 Dhahran Tennis Association, Board of Directors 2021 to 2023, Treasurer and League Chair Arabian Kennel Club, Board of Directors, 2015 to 2018, Secretary Education Thunderbird, School of Global Management Masters in International Management Robert D. Foglesong Scholarship Recipient The American University, Washington, D.C. Bachelor of Business Administration, Communications, Law, Economics, and Government, Minor in Soviet Studies Client List Advisory Client List Anadarko Atlas Fluid Controls Bristow Group Cardtronics CITGO Duke Energy Field Services Energy Partners Limited Flotek Global Infrastructure Partners Grant PrideCo Heliservicio Campeche SV Houston Exploration Company Icahn Enterprises Independence Contract Drilling Leap Wireless Marathon Oil Maritime International Merrill Lynch Commodities Microsoft Next Decade, LLC Osyka Oil PSC, LLC PSC Metals Quanex Red Oak RigNet Rockwater Ryan Family Trust Spinnaker Exploration Sterling Construction Washington Mutual WestPoint Home Xtreme Coil Drilling ATTACHMENT B 970-748-4023 jskinner@avon.org TO: Honorable Mayor Amy Phillips and Council Members FROM: Jena Skinner, AICP, Planning Manager RE: Second Reading Ordinance 24-04 REZ23001 Rezoning Application DATE: March 21, 2024 SUMMARY: This report presents to Avon Town Council (“Council”) Second Reading of Ordinance 24-04 for the rezoning of an existing parcel of land owned by the Town of Avon (“Avon”) known as Benchmark At Beaver Creek Tract Y (“Property”). This application changes the existing zoning for the Property from Open Space, Landscaping, and Drainage (“OLD”) to Community Housing High Density-1 (“CHHD-1”). Council provided direction that Community Housing is the top priority and directed Staff to prepare and submit a rezoning application for the Property. Council unanimously approved first reading for this Ordinance on March 12, 2024. Council must conduct a public hearing before taking action on second and final reading of Ordinance 24-04. This application was initially heard by Council in October of 2023 and was tabled with direction provided to Staff to prepare and present new Community Housing zone districts and modifications to the Comprehensive Plan were accomplished. Second Reading of Ordinance 24-01 (Community Housing Zone Districts) was approved at the January 23, 2024, and Second Reading of Ordinance 24-02 (Comprehensive Plan Amendments) was approved February 13, 2024. Both Ordinances support and reinforce planning and zoning of identified Town-owned parcel for Community Housing. The New Community Housing zone district be applied to this application is as follows: (e)Community Housing High Density – 1. The CHHD-1 district is established to accommodate multi- family development in cost effective configuration, construction type and density that permits a high number of residential units with a maximum of four (4) stories of residential or three (3) stories of residential above one (1) level of at grade parking. Table 7.20-7 Community Housing High Density - 1 Dwelling Type Max. Density (units/ acre) Max. Units Per Building Min. Landscape Area Max. Lot Coverage (%) Min. Front Setback (feet) Min. Side Setback (feet) Min. Rear Setback (feet) Max. Building Height (feet) Multi- family / TH 25 du/ acre N/a 10% 80 10 7.5 10 48 This subject “Property” is located between Swift Gulch Road and the I-70, adjacent to the west bound off-ramp at Avon Road, and is adjacent to existing commercial development (7-Eleven). See image, next page. BACKGROUND: The Property is part of the original Benchmark at Beaver Creek Subdivision, and has been zoned for Open Space, Landscaping, Drainage (“OLD”), since at least 1991. The Future Land Use Map in the Avon Comprehensive Plan designates the Property as “Civic/Public Facilities” which indicated some level of anticipated development. Staff was not able to find any information on past ideas about civic or public facility uses that may have been contemplated for this site. Swift Gulch, to the east of the Property, was at one time zoned for 105 units of housing. Subsequently that property was rezoned for public use and a public works/transit/fleet campus. The Property also contains a portion of the pedestrian/bike trail that runs between Avon Road and Post Blvd, and the existing Nottingham Puder Ditch. REZ23001 A Rezoning Application: “Slopeside” Community Housing March 21, 2024 Page 2 of 6 Location of Property PLANNING & ZONING COMMMISSION REVIEW COMMENTS: The proposed rezoning was initially supported by the Planning and Zoning Commission (“PZC”) in 2023. At the meeting held for a second review of the application held on February 6, 2024, the PZC recommended Council approve the proposed rezoning. The PZC felt that using the Community Housing High Density-1 (CHHD-1) instead of Residential High Density (RH), was a more comprehensive option. PROCESS: Rezonings can only be initiated by property owners and Council for Town-owned properties. Council initially directed Staff to submit a rezoning application to PZC, at the June 27, 2023 Council meeting. The PZC unanimously recommended Council approve the (original) rezoning application at its September 19, 2023, public meeting. After being heard at the October 10, 2023 by Council, this application was tabled indefinitely, pending the outcome of subsequent planning applications including a Code Text Amendment for the creation of Community Housing zone districts, and a corresponding Comprehensive Plan Amendment to add Community Housing as a recommended future land use on the Town-owned parcels, including the Slopeside parcel. The application has been updated to reflect its association with the amendments, and as this change is considered substantial, it was reviewed for a second time by the PZC, February 6, 2024. The PZC made a (second) recommendation to Council to approve this application at First Reading, which was achieved March 12, 2024. STAFF ANALYSIS & REPORT PZC PUBLIC HEARING RECOMMENDATION September 19, 2023 February 6, 2024 TOWN COUNCIL 1st Reading ORDINANCE & PUBLIC HEARING October 10, 2023 March 12, 2024 TOWN COUNCIL INITIATION June 27 TOWN COUNCIL 2nd Reading ORDINANCE & PUBLIC HEARING March 26, 2024 REZ23001 A Rezoning Application: “Slopeside” Community Housing March 21, 2024 Page 3 of 6 PUBLIC NOTIFICATION: The Application was publicly notified in the Vail Daily on September, 8, 2023, Janaury 26, 2024, and February 23, 2024. No public comments have been received. OPTIONS: Council has the following options with the Application: • Approval the rezoning application at Second Reading • Approve the rezoning application with revisions • Continue Public Hearing to a Specific Date • Deny the application (or direct Staff to withdraw the application) DISCUSSION: The cost of workforce housing has escalated dramatically over the last three years and is regarded as a crisis across Colorado. Properties owned by Avon which are physically suitable for the development of Community Housing have the financial advantage that Avon does not have to include the cost of land into the overall cost of developing housing. 3.5 acres in this location with high density residential zoning likely has a fair market value in excess of $7 Million. The property is long, narrow, and has considerable slopes, which makes traditional housing development with surface parking more difficult and limiting. The property is located near the Swift Gulch bus stop and is a convenient three-block walk to Avon Station, where free transit from Vail to Beaver Creek to Edwards is available for users. As an outcome of the recent Code Text and Comprehensive Plan Amendments, this Property is now a “Gateway” area in addition to being identified for Community Housing. New design considerations, an outcome of Ordinance 24-02, will be available as part of the review for subsequent planning applications associated with the Slopeside property. COMMUNITY HOUSING DEVELOPMENT STEPS: The development of Community Housing involves several steps, which are described as follows: (1) Identification of land suitable for a Community Housing Project. (2) Zoning (or Rezoning) (3) Determination of Ownership and Initial Partners (i.e. public or private). (4) Determining whether to proceed as public development project or post Request for Proposal for private developers. (5) Apply for Grant Funding for design, infrastructure and/or construction. (6) Conceptual Design of Housing Project to determine density, layout and feasibility. (7) Determination of specific housing type and goals (rent versus own, unit size, target AMI levels) (8) Establishing development team (architect, owners representative, contract – if a public project, or selecting developer if private project). (9) Securing financing and finalizing development agreements and deed restrictions. (10) Overseeing or administering construction of project. (11) Construction completion and sale or leasing per Avon Community Housing Policies or per terms with private developer. REZ23001 A Rezoning Application: “Slopeside” Community Housing March 21, 2024 Page 4 of 6 Steps 1 through 2 are necessary before the Town can meaningfully engage with potential housing partners or apply for grant funding. For this reason, it is essential to proceed with the first two steps, creating strategic opportunities to continue with the remaining tasks based on partner support and grant funding availability. Updating the Avon Municipal Code by adding Community Housing zone districts and updating the Comp Plan to support rezonings related to Community Housing was an essential foundational action. NEXT STEPS: Actual development of a Community Housing project will involve several steps after rezoning. Staff estimates this process will take at least 1-2 years to get to the Construction Phase or step 6. Several steps will include further review of project design and type of housing development by Council and the Avon Planning and Zoning Commission. This outline presents an approach where the Town conducts a Request for Proposal process for a private developer to design, finance, construct and operate a Community Housing apartment project. This proposed process would be similar to the recent Request for Proposal process for the West Middle Creek apartment project in Vail and the pending Request for Proposal process for Phase 1 of the State Land Board annexation project. The West Middle Creek apartment project terms include municipal bond financing, then ownership of the project by Town of Vail after the bonds have been paid. (1) Development Documents. Staff will order the following information that is basic to any property development project: a Title Commitment, a property survey, necessary geotechnical reports required for construction, water rights service request to Upper Eagle Regional Water Authority, initial analysis of water and sewer infrastructure. (2) Financing. This includes any grants, loans, or bonds, etc. that will be needed for Avon to participate in a development partnership with a builder/developer. (3) Request for Proposals. Staff will prepare a draft Request for Proposal to present to Council for review and approval. The Request for Proposal would offer a land lease to a private developer along with terms for tax and fee waivers, potential municipal bond financing, targeted affordability levels, and other relevant terms. The private developer would be responsible for retaining architectural and engineering services and submiting a development plan for review by Avon Planning and Zoning Commission and Council. (4) Development Agreement. A Development Agreement will be negotiated with the selected private developer which includes definition of roles, design, financing, apartment type and character, targeted affordability levels, and construction. (5) Entitlement. Entitlement includes the private developer submitting a Major Development Plan for review by the Avon Planning and Zoning Commission, per Avon’s Development Code, and by Council, as the property owner. (6) Operating Agreements. The Operating Agreement defines minimum operating obligations, affordability levels and rent caps, any rental priorities, Town’s rights of oversight and enforcement, and potentially deed restrictions. (7) Construction Process. This step includes both the installation of infrastructure (horizontal), and vertical construction. (8) Occupancy. The final step is the issuance of a Certificate of Occupancy and tenant move-in. REZ23001 A Rezoning Application: “Slopeside” Community Housing March 21, 2024 Page 5 of 6 TOWN MANAGER COMMENTS: The Avondale apartment project required a lot of Staff time to administer the hiring of architects, overseeing the due diligence and site design, and will require considerable Staff time to manage the actual construction. The Request for Proposal process for a private developer is more practical and allows a private developer to manage design, financing, construction and operation with a minimal amount of Staff involvement for this project. The Request for Proposal approach is very similar to the Polar Star development of Eagle Bend, Bufflo Ridge I and Kayak Crossing. A land lease is complated with terms that would include the Town taking possession of the building once municipal bonds are paid in full. The Town would have the option to continue with a private management company after recoverying posession. NOTE: Staff will come back to Council at a meeting in May to review status of all Community Housing efforts and request direction on prioritization of various opportunities and projects. REVIEW CRITERIA: Council must consider a set of review criteria when reviewing rezonings. The review criteria is governed by Avon Municipal Code (“AMC”) §7.16.050, Rezonings. Staff has provided responses to each review criteria within the attached Application. FINDINGS: §7.16.050, Rezonings. (1) Evidence of substantial compliance with the purpose of the Development Code has been established within the application; (2) This application is consistent with the Avon Comprehensive Plan as this parcel is slated for Community Housing- recognized as an important use within the Plan; (3) The physical suitability of the land for the proposed development or subdivision is sufficient for the purposes of this rezoning; (4) Compatibility with surrounding land uses is reasonable, as this area is comprised of a mix of residential and neighborhood commercial uses; (5) The proposed rezoning is justified by changed or changing conditions in the character of the area proposed to be rezoned, especially as Community Housing is an established need; (6) There are adequate facilities available to serve development for the type and scope suggested by the proposed zone compared to the existing zoning, that will not affect the existing level of services available currently; (7) The rezoning is consistent with the stated purpose of the proposed zoning district: Community Housing; (8) The rezoning will not result in adverse impacts upon the natural environment, including air, water, noise, stormwater management, wildlife and vegetation, and any impacts will be substantially mitigated through future development applications; (9) The rezoning will not result in significant adverse impacts upon other property in the vicinity of the subject tract; (10) As this rezoning is not within an existing PUD, consistency with a relevant PUD Master Plan is not applicable; and REZ23001 A Rezoning Application: “Slopeside” Community Housing March 21, 2024 Page 6 of 6 (11) Adequate mitigation may be required for future development applications as the rezoning will result in greater intensity of land use or increased demands on public facilities and infrastructure; however, during the next phase of entitlement. And, Conformance with General Review Criteria in AMC §7.16.010(f)(1), General Criteria, which provides criteria that are applicable to all development applications: (1) Review Criteria. The reviewing authority shall be Director when the Director has the authority to administratively approve a development application. The reviewing authority shall be the PZC and/or Town Council for all development applications which are subject to public hearing. The reviewing authority shall review development applications for compliance with all relevant standards and criteria as set forth in the specific procedures for the particular application in this Development Code, as well as the following general criteria which shall apply to all development applications: (i) The development application is complete; (ii) The development application provides sufficient information to allow the reviewing authority to determine that the development application complies with the relevant review criteria; (iii) The development application complies with the goals and policies of the recently updated Avon Comprehensive Plan; and (iv) The demand for public services or infrastructure exceeding current capacity will be mitigated by future development applications. RECOMMENDATION: I recommend approval of Ordinance 24-04 on second and final reading. PROPOSED MOTION: “I move to approve Second Reading of Ordinance 24-04 Rezoning Benchmark at Beaver Creek Tract Y, Avon, Colorado from Open Space, Landscaping, Drainage to Community Housing High Density -1, based on the findings for §7.16.050 Rezonings and §7.16.010(f)(1) General Criteria, as presented and outlined in the Staff report and application.” Thank you, Jena ATTACHMENT A: Ordinance 24-04 ATTACHMENT B: REZ23001 Slopeside Rezoning Application Ord 24-04 Rezoning Slopeside BMBC Sub. TY OLD to RH Zone District March 26, 2024 - FINAL Page 1 of 3 ORDINANCE 24-04 REZONING BENCHMARK AT BEAVER CREEK TRACT Y, AVON, COLORADO, FROM OPEN SPACE, LANDSCAPING, DRAINAGE TO COMMUNITY HOUSING HIGH DENSITY - 1 RECITALS WHEREAS, the Avon Town of Avon (“Applicant”) submitted an application to rezone Benchmark at Beaver Creek Subdivision Tract Y, Avon, Colorado (“Property”) from Open Space, Landscaping, Drainage to Community Housing High Density-1 for the purpose of creating Community Housing. WHEREAS, the Town of Avon Planning & Zoning Commission (“PZC”), after publishing and posting notice as required by law, held public hearings on September 19, 2023 and January 26, 2024, and prior to formulating a recommendation to the Town Council considered all comments, testimony, evidence and Town Staff reports; and then took action to adopt Findings of Fact and a Record of Decision on October 17, 2023, and on February 6, 2024 when the revised application was reheard by the PZC; and in accordance with AMC §7.16.020(f), then took action to adopt a Findings of Fact and a Record of Decision on March 11, 2024, for a final recommendation for the Town Council to approve this Application for Rezoning; WHEREAS, the Town of Avon (“Town”) is a home rule municipal corporation and body politic organized under the laws of the State of Colorado and possessing the maximum powers, authority and privileges to which it is entitled under Colorado law; WHEREAS, pursuant to the home rule powers of the Town, the Avon Town Council (“Council”) has the power to approve ordinances necessary and proper to provide for the safety, preserve the health, promote the comfort, and convenience of its inhabitants; WHEREAS, the Council held Public Hearings on October 10, 2023, and March 12, 2024, after posting notice as required by law, considered all comments, testimony, evidence, Planning and Zoning Commission recommendations, and Staff reports prior to taking action on the Application; WHEREAS, pursuant to AMC §7.16.050(c), Review Criteria and AMC §7.16.010(f)(1), General Criteria, the Town Council has considered the applicable review criteria for rezoning and finds that the criteria are met in accordance with these findings; WHEREAS, the Property is owned by the Town of Avon which is currently zoned Open Space, Landscaping, Drainage and the Property is intended for use as Community Housing; Ord 24-04 Rezoning Slopeside BMBC Sub. TY OLD to RH Zone District March 26, 2024 - FINAL Page 2 of 3 WHEREAS, the Council finds that the rezoning from Open Space, Landscaping, Drainage to Community Housing High Density-1 will promote the Avon Comprehensive Plan and the Avon Community Housing Plan, and will thereby promote the health, safety and welfare of the Avon community; and WHEREAS, approval of this Ordinance on First Reading is intended to confirm Council desires to comply with the requirements of the Avon Home Rule Charter by setting a Public Hearing in order to provide the public an opportunity to present testimony and evidence regarding the application, and that approval of this Ordinance on First Reading does not constitute a representation that Council, or any member of the Council, supports, approves, rejects, or denies this Ordinance. NOW THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO: Section 1. Recitals Incorporated. The above and foregoing recitals are incorporated herein by reference and adopted as findings and determinations of Council. Section 2. Rezoning. Benchmark at Beaver Creek Subdivision, Tract Y, Avon, Colorado, is hereby rezoned from Open Space, Landscaping, Drainage to Community Housing High Density - 1. Section 3. Severability. If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared unconstitutional or invalid. As used in this Section, the term “provision” means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term “application” means and includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 4. Effective Date. This Ordinance shall in no event take effect sooner than thirty (30) days after final adoption in accordance with Section 6.4 of the Avon Home Rule Charter. Section 5. Safety Clause. Council hereby finds, determines and declares this Ordinance is promulgated under the general police power of the Town of Avon, that it is promulgated for the health, safety and welfare of the public and this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 7. Correction of Errors. Town Staff is authorized to insert proper dates, references to recording information and make similar changes, and to correct any typographical, grammatical, Ord 24-04 Rezoning Slopeside BMBC Sub. TY OLD to RH Zone District March 26, 2024 - FINAL Page 3 of 3 cross-reference, or other errors which may be discovered in any documents associated with this Ordinance and documents approved by this Ordinance provided that such corrections do not change the substantive terms and provisions of such documents. Section 8. Publication. The Town Clerk is ordered to publish this Ordinance in accordance with Chapter 1.16 of the Avon Municipal Code. INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING on March 12, 2024, and setting such public hearing for Second reading for March 26, 2024, at the Council Chambers of the Avon Municipal Building, located at One Hundred Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ _____________________________________ Amy Phillips, Mayor Migual Jauregui Casanueva, Town Clerk ADOPTED ON SECOND AND FINAL READING on March 26, 2024. BY: ATTEST: ____________________________ _____________________________________ Amy Phillips, Mayor Migual Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: ___________________________ Nina P. Williams, Town Attorney 970-748-4023 jskinner@avon.org SLOPESIDE COMMUNITY HOUSING PROJECT APPLICATION TYPE: REZONING FILE NUMBER: REZ23001 LOCATION: Benchmark at Beaver Creek Tract Y Parcel No. 210512106003 https://property.eaglecounty.us/assessor/taxweb/account.jsp?accountNum=R017283 APPLICANT/OWNER: Town of Avon REPRESENTATIVE: Jena Skinner, AICP SECTION 1:APPLICATION INFORMATION APPLICATION SUMMARY: In Avon’s goal to increase the number of dedicated workforce housing units along with a secondary goal of diversifying its housing portfolio of unit types, the Town is currently seeking to rezone a parcel of land owned by the Town, to create a unique, Community Housing development that focuses on rentals for seasonal and or transient members of the workforce. This development necessitates the zone district of Community Housing High Density - 1 (“CHHD-1”) to accomplish these goals. The location of the subject parcel is adjacent to an existing commercial development, separated by an existing parking lot. Typically, it is common to find high density developments adjacent to commercial areas, as activity within these types of land uses have similar levels of intensity. Further, as a unique design element, this development purposefully will limit vehicle parking spaces resulting in a complex that is able to fully maximize the parcel for residences. This design mindset works well with this site because of its location. The site’s walkability to neighboring commercial businesses, town center, park, and open spaces, as well as its location already on a local transit/bus route, makes this an ideal parcel for this unique project and for this specific type of workforce. BACKGROUND: The subject parcel has been long overlooked as a location for development for many years. It was part of the original Benchmark at Beaver Creek Subdivision, and has been zoned for Open Space, Landscaping, Drainage (“OLD”), since at least 1991. Understandably, Avon has not experienced the population growth and pressure like we have presently. Avon’s historical placement of high density housing was situated along Hwy 6 near Beaver Creek or the Elementary School, with lower density housing (duplexes and 3 or 4 unit townhomes) along Nottingham Rd. and W Beaver Creek Blvd. towards the Town Core. As Avon becomes built out in residential areas and population and workforce demands increase, looking at all available – and suitable, parcels for development becomes necessary to reassess. It is important to remember that costs are significantly less for Community Housing projects when the Town owns the land. Avon also focused their activities at the Swift Gulch location, further to the east. Given that there is no housing of this nature anywhere in town, having housing for seasonal employees in a resort town becomes very Slopeside/BMBC TY Rezoning Application March 21, 2024 Page 2 of 7 important to support the predominant hospitality services Avon offers, and a fresh look at this parcel for the application of Community Housing is warranted. Adjacent to this parcel is the tail end of the Swift Gulch Addition/subdivision, planned as part of the overall Swift Gulch public facilities property and what was first identified for workforce housing in 2015. The Swift Gulch Addition was originally zoned for an anticipated “105 residential multiple family dwelling units and or commercial as allowed in the SC (Shopping Center) zone district.” Subsequently, that parcel was rezoned for Public Facilities (public use) and a public works/transit/fleet Campus. This parcel also contains a portion of the pedestrian/bike trail that travels to Post Blvd, constructed in 2006, and the Town’s Nottingham Puder Ditch that parallels Swift Gulch Road. Recently, this site was also identified as “Gateway” and future designs for some sort of entry monument or signage will also need to be integrated into this location. As part of the actual development project, these elements will be addressed in some fashion that will allow the site to accommodate all of these components. As part of the outfall of the pandemic, housing discussions and interactions have significantly increased. This is primarily caused by the unforeseen number of people relocating to the mountains coupled with an extreme increase in demand. The outfall: housing prices rose sharply and, in response, a dramatic increase in mortgage rates caused by this inflation. Towns all over the nation are experiencing a workforce housing crisis presently and are still dealing with the employment trends that have also been affected as an additional outcome of the pandemic. Workers quit their jobs in record numbers in 2021, and 2022 as ample job opportunities and higher pay lured them elsewhere. The good news is that the “quits rate” has steadily declined since peaking last year, and in April 2023, this rate fell to its pre-pandemic average in 2019 1. However, with housing scarce or extremely expensive to buy or rent currently- even with jobs available, positions remain difficult to fill without the ability to offer housing especially for those not making 100%+ AMI wages. Towns like Vail have various forms of accommodations available for workers. Unfortunately, Avon does not yet have as extensive a portfolio as Vail. Thinking ahead to diversifying housing projects is a step heading in the best direction. SECTION 2 : REVIEW CRITERIA: The Town Council must consider a set of review criteria when reviewing rezonings. The review criteria is governed by Avon Municipal Code (“AMC”) §7.16.050, Rezonings. (1) Evidence of substantial compliance with the purpose of the Development Code; Applicant Response: This rezoning is a small step to help increase Avon’s Community Housing efforts, and may be considered an essential piece in supporting the Town's economic sustainability and the health, safety, and general welfare of the Avon Community. This rezoning will require a site specific development review to be examined and processed as a next step and once designed, having a property with the appropriate zoning to site a Community Housing project, will improve the Town of Avon’s chances in receiving vital grant funding for this type of Community Housing project. Preparing to create new housing projects with having available land at the ready without finished concept plans is becoming as essential as having full design plans ready moving forward. As mentioned as a “next step”, the Town will engage in obtaining a consultant to create a design for this project. During this process, the Town will ensure that all underlying code requirements for the requested zone district will be met; however, Avon recognizes that flexiblity in in some of the development standards will be necessary to achieve the desired number of units for this project. For instance, departing from the required number of parking spaces as required by Code. As such, they will request flexibility through the Development Bonus process. 1 U.S. Bureau of Labor Statistics JOLTS report, May 2023 Slopeside/BMBC TY Rezoning Application March 21, 2024 Page 3 of 7 (2) Consistency with the Avon Comprehensive Plan; Applicant Response: On the first page of the Avon Community Housing Plan it quotes the recently updated Avon Comprehensive Plan where, “Avon’s vision is to provide a high quality of life, today and in the future, for a diverse population; and to promote their ability to live, work, visit, and recreate in the community.” It goes on to state, “The Potential community benefits of increasing Community Housing efforts include: • More housing choices; • Increased economic stability and a more active year-round economy for local residents and businesses; • Greater ability to retain individuals and families throughout life and career phases, strengthening the sense of community, opportunity, and quality of life; • Increase Community Housing supply for job recruitment purposes; • Create Community Housing in closer proximity to job centers with pedestrian connections and availability of transit, in alignment with the Climate Action Plan goals.” Goal 1 of this same plan is to, “Achieve a diverse range of housing densities, styles, and types, including rental and for sale, to serve all segments of the population.” This rezoning offers the Town a parcel of land that is set up and ready to invest in, for projects like the one that would be an asset at this location. A project that fills in an income and lifestyle gap for a workforce needed to support the economics of our community, and by filling a need for businesses in having housing that could be used for much-needed resort-oriented workers. In Section E. Housing, two other policies reflect the goals of the Town for this project: Policy E.1.6: Actively plan for Community Housing developments on Town-owned lands, and, Policy E.1.7: Encourage Community Housing development on non-Town-owned lands as primary developments, or as a significant component within developments, whenever practicable. The Future Land Use Plan establishes preferred development patterns by designating land use categories for specific geographical locations. While land use designations depicted on the land use map do not supersede the Town’s zoning districts and regulations, they display general land use categories as a visual guide for the community based on the goals, objectives, and policies presented within this document. Currently, the Comprehensive Plan is being amended to have the site designated as Community Housing, as shown in the image, right. Updating land use regulations with new development tools is also supported by the Avon Comprehensive Plan Policy C.1.1, which recommends to: Regularly update and enhance the Avon land use regulations and District Master Plans for innovative design approaches and positive development outcomes. The Comprehensive Plan is approaching a complete update (potentially 2025); however, the approved update with Ordinance 24-02 centered on Community Housing works in harmony with this proposed zone change. Recently, the Town adopted the addition of five (5) new Community Housing zone districts within the Avon Municipal Code to ensure this regulatory element is up to date concerning density maximums and definitive design “minimums.” If these zone districts are not quite “enough” to capture desired Slopeside/BMBC TY Rezoning Application March 21, 2024 Page 4 of 7 design alternatives, the Development Bonus process is available to help with projects on a case-by- case basis. The Community Housing Plan supports this action by encouraging “…incentives and regulations to create a policy environment that is favorable for local housing.” Effectively, having several Community Housing tools available to assist with potential projects, including design flexibility, ensures that targeted areas for Community Housing align with the Town’s housing goals, which is the first step in thinking ahead, adequately planning housing policies, and obtaining funding. To encourage new development and redevelopment, Avon has to have various appropriate tools to support projects that are best for the community and help attract project partners. In this case, preparing town-owned lands to receive housing projects, as advocated by the Comprehensive and Avon Community Housing plans, while being open to expanding on what kinds of housing programs are needed to support these efforts, is the first step in responding to the housing crisis. (3) Physical suitability of the land for the proposed development or subdivision; Applicant Response: Although this property has a significant grade change from Swift Gulch Road to the pedestrian path, the property is suitable for development as slopes do not exceed 40% (see image, next page. In calculating the slope it appears to be approximately 21% overall). Completely walkable currently, this site hosts the Nottingham Puder Ditch along the northern boundary, and the pedestrian trail at the tow of the slope. Due to the condition of the Ditich, several large cottonwood trees have been removed in the last year, and largely, the site is comprised of typcial, high-country /native grass cover and vegetation. The Town realizes that the Ditch and pedestrian trail may have to be modified in order for the site to maximize its potential. Options identified at this point include modifiying the ditch from being open to being piped underground. As the ditch exits the Slopeside parcel, it currently goes underground at the western boundary, under the parking lot and beyond, and to extend this pipe would be resonable through this location as well. As far as the pedestrian path goes, the potential to move it closer/abutting or within the CDOT right-of-way adjacent to the southern property line of the site could be persued as well. In recognizing these limited constraints early in the design process, will be effective in designing the residential structure. Water and sewer is accessible to this site, and Swift Gulch Road is wide and offers excellent site distance for wherever the access is determined to be located. This site does not contain any significant wildlife habitat or wildlife migration corridors. Image: 2023 Slopeside/BMBC TY Rezoning Application March 21, 2024 Page 5 of 7 Image showing Width and Elevation (4) Compatibility with surrounding land uses; Applicant Response: The rezoning of this property to Community Housing High Density - 1 is appropriate given that this property is within walking distance to commercial offerings like restaurants, transit, healthcare, and other services within the Town Core. Development on this site will not have an adverse effect- or any impact, to neighboring properties as there are no adjacent developments to this location outside of the adjacent parking lot and commercial uses to the west. Development on this site will not impede views, nor detract from the viability of the surrounding land uses. (5) Whether the proposed rezoning is justified by changed or changing conditions in the character of the area proposed to be rezoned; Applicant Response: This rezoning is being sought directly in response changed conditions or housing crisis Avon is experiencing and as mentioned earlier within this report. Namely, responding to the need to invest in a diverse number of housing projects needed to support Avon’s economy, and in offering options for Community Housing unlike any project within the Town of Avon. (6) Whether there are adequate facilities available to serve development for the type and scope suggested by the proposed zone compared to the existing zoning, while maintaining adequate levels of service to existing development; Applicant Response: This site is in excellent proximity to all necessary infrastructure without jeopardizing any existing development, including the availability of water and sewer. The Town will seek these services from the Eagle River Water and Sanitation District as a next step. Slopeside/BMBC TY Rezoning Application March 21, 2024 Page 6 of 7 (7) Whether the rezoning is consistent with the stated purpose of the proposed zoning district; Applicant Response: The purpose of the Community Housing High Density - 1 (CHHD-1) is to accommodate multi-family development in cost effective configuration, construction type and density that permits a high number of residential units with a maximum of four (4) stories of residential or three (3) stories of residential above one (1) level of at grade parking. The recent Comprehensive Plan Amendment purposefully did not add suggested zone districts to the Future Land Use Map so that individual projects would apply which Community Housing zone would best suit a particular site, given its location and compatibility with neighboring developments. While it is imperative to maximize density when designing a project for genuinely affordable housing units, it is also necessary to find balance in developing a project that is not only within walking distance of amenities, services, and transit but that a project should not overwhelm a parcel – especially a parcel like Slopeside, which is a highly-visual site or gateway into Avon. (8) That, compared to the existing zoning, the rezoning is not likely to result in adverse impacts upon the natural environment, including air, water, noise, stormwater management, wildlife and vegetation, or such impacts will be substantially mitigated; Applicant Response: The Town (so far and without a design), would like to possibly create a project with respect to the property’s slopes and drainage, by avoiding developing where the onsite ditch is located, etc. This will be accomplished by minimizing hardscapes and by not having an onsite parking lot and significant landscaping. As mentioned in the Finding for property suitability, there are no significant impacts anticipated to vegetation, wildlife, or to the natural environment. In regard to air quality, by having almost no parking and by the residents not being dependent upon individual/personal vehicles, there will be no impact on this particular element. Where noise is concerned, this area has existing vehicle noise due to I-70. Largely generated during working hours, situating a residential development on this site should not be an issue after typical working hours, as travel dissipates on I-70. (9) That, compared to the existing zoning, the rezoning is not likely to result in significant adverse impacts upon other property in the vicinity of the subject tract; Applicant Response: Development of this site in the future will change the “feel” of the area in having a residential development on a parcel that has been largely vacant for decade; however, that argument could be made for any long-standing vacant parcel. In this case, it will not have any adverse impacts to the neighboring properties. The project is also anticipated to not accommodate vehicles and as such, will not add traffic to Avon’s road system. Public transit is already accommodated at this location, and this site is highly walkable to neighboring restaurants, parks, and other amenities. (10) For rezoning within an existing PUD, consistency with the relevant PUD Master Plan as reflected in the approval of the applicable PUD; and Applicant Response: Not applicable. (11) Adequate mitigation is required for rezoning applications which result in greater intensity of land use or increased demands on public facilities and infrastructure. Applicant Response: The Town will thoughtfully and thoroughly design a project that is properly mitigated in changing its current use to residential. This will include any infrastructure modifications or expansions. As previously mentioned, having existing water and sewer and public transit immediate to this location will be a significant cost savings in servicing this development. GENERAL REVIEW CRITERIA: Conformance with General Review Criteria in AMC §7.16.010(f)(1), General Criteria, which provides criteria that are applicable to all development applications: Slopeside/BMBC TY Rezoning Application March 21, 2024 Page 7 of 7 (1) Review Criteria. The reviewing authority shall be Director when the Director has the authority to administratively approve a development application. The reviewing authority shall be the PZC and/or Town Council for all development applications which are subject to public hearing. The reviewing authority shall review development applications for compliance with all relevant standards and criteria as set forth in the specific procedures for the particular application in this Development Code, as well as the following general criteria which shall apply to all development applications: (i) The development application is complete; (ii) The development application provides sufficient information to allow the reviewing authority to determine that the development application complies with the relevant review criteria; (iii) The development application complies with the goals and policies of the Avon Comprehensive Plan; and (iv) The demand for public services or infrastructure exceeding current capacity is mitigated by the development application. Applicant Response: This rezoning application is complete. Applicant believes sufficient information exists to allow Council to review this application with the review criteria. Further, the recently approved code text amendment application directly reflects the amendment to the Avon Comprehensive Plan. This rezoning application will not impact demands for public services or infrastructure because it is not a true development application; instead, it simply a rezoning for a Town-owned property slated for a future Community Housing project. CONCLUSION: If the Town is successful in achieving this rezoning, the following development generalized “next steps” or actions will occur: • Producing an RFP for design services; • Pursuing development and housing grants for this project; • Obtaining consultants to produce geotechnical reports; • Pursuing potential community development partners; • Creating a concept plan to be examined by the Planning and Zoning Commission and Town Council. This rezoning is an excellent first step in setting up the Town to pursue funding and in implementing a 100%, deed restricted Community Housing project for Avon. Doing entitlement work in 2024 even before having any design plans, positions the Town to more effectively plan for growth and in looking at the economic viability moving forward. Importantly, in increasing our housing portfolio and in recognizing our essential workforce needs, Avon becomes an even greater community. Town of Avon Employee Housing Plan - Adopted by Resolution 24-10 March 22, 2024 Page 1 of 3 TO: Honorable Mayor Amy Phillips and Council members FROM: Patti Liermann, Housing Planner RE: Housing Programs Work Session DATE: March 26, 2024 SUMMARY: This report presents to the Avon Town Council (“Council”) a Town of Avon Employee Housing Plan (“Employee Housing Plan”) Council consideration. Council expressed a desire to develop and adopt a policy plan document for employee housing in conjunction with the acquisition of a Metcalf Lofts condominium unit. Staff conducted a review of other local government employee housing assets and plans, conducted an internal employee survey to determine housing needs and preferences, held a Director’s Retreat to discuss current and future housing needs and goals, and gathered relevant data on Town of Avon’s employee wages, Area Median Income (“AMI”) for Eagle County, and fair market value of available residences in Avon. The Employee Housing Plan is presented as a supplement to the Avon Community Housing Plan and would establish policies, goals, and strategies for investment in housing for Town of Avon employees. The Town of Avon provides essential health and safety public services. The ability of the Town of Avon to provide these public services is dependent upon the Town of Avon’s ability to recruit and retain employees. The lack of affordable housing has been both a significant reason for resignations of current employees as well as a barrier to recruitment of new employees. BACKGROUND: Many employers are investing in housing for their employees as a necessity to fill vacancies. The Town of Vail, Eagle River Water & Sanitation District, Eagle County Government, Eagle County School District, and Eagle Valley Transit Authority (formerly ECOTransit) have a history of providing housing programs to their employees. In recent years, they have begun expanding their offerings, including purchasing and building new rental units, and evolving Down Payment Assistance programs. The following table describes the employee housing policies and investments for other public and private employers in Eagle County. *Other smaller local employers have purchased units for their employees (Sonnenalp, Juniper Restaurant, The Bookworm). We are unsure how many of these exist throughout the valley. POLICY GOALS: The attached Employee Housing Plan includes a lot of information explaining the purpose, need, affordability, data, goals, and strategies. A summary of goals and strategies includes: 1. Adopt a 20 year goal to provide affordable housing for 50% to 80% of full-time Town employees. Program TOA ECG TOV ERWSD EVTA/ECO ECPS ECSD VH COA # Full Time Employees 100 505 275 137 67 88 300 1468 360 % of Full Time Employees in Programs 5%4%33%100%42%6%8%33%22% Owned Rental Units 4 13 87 48 2 44 87 (UC)72 Master Leased Rental Units 2 19 16 89 Housing Stipend Y Y Down Payment Assistance Y 22 Y Y Y Y Cash Purchase/Buy Down Y Employee Purchase/Lottery Program Y 3 Town of Avon Employee Housing Plan - Adopted by Resolution 24-10 March 22, 2024 Page 2 of 3 2. Adopt a near term (5 year) goal to build employee rental housing at Lot 5, Village (at Avon) [Avondale Apartments – 26 or more units] and at Wildwood Annex [3-6 townhomes] 3. Adopt a near term (5 year) goal to support at least ten ownership opportunities for Town employees, which would be subject to a deed restriction with a price-cap and Town right to repurchase. POLICY CONSIDERATIONS: The following policy considerations are highlighted for Council consideration: 1. Does Council support offering an enhanced іMi Casa Avon! program for Town employees which would offer up to 24% contribution towards purchase price (maximum of $200,000) but would then impose a price cap on resale and would include a Town right to repurchase? 2. Does Council support Staff seeking to acquire residential properties between $600,000 and $1,000,000 to resell at a 30% discount to Town of Avon Employees subject to a price cap on resale and a Town right to repurchase? 3. Does Council support the stated near term and long term goals for securing housing for Town employees? 4. Should Avon limit its investment in employee housing to the Town of Avon or consider investing in residential properties outside of Avon but in the immediate vicinity (i.e. Edwards, Eagle-Vail, Minturn)? 5. Staff would like to present a budget amendment based on approval of this resolution, at the May 14, 2024 Council meeting. RECOMMENDATION: Staff recommends Council approve Resolution 24-10. TOWN MANAGER COMMENTS: We know that housing is critical for recruitment and retention of employees. I recommend that Council support offering an enhanced ¡Mi Casa Avon! program to Town of Avon employees, which can be implemented almost immediately. I also recommend authorizing Staff to pursue acquisition of for sale residential units in the $600,000 to $1,000,000 range to be resold to Town employees at a 30% discount subject to a deed restriction with a price cap and Town right of repurchase. I do not recommend investing in housing outside the Town of Avon because our available funds for housing are limited, which I recommend are invested in the Town of Avon. I would suggest increasing the ownership goal in the near term from 10 residences to 15 or 20 due to the current acute demand for housing and the stated preference for ownership opportunities in Avon. I would like to determine the eligibility and selection process for any ownership opportunities for Town employees with the Department Directors, Housing Planner and Chief Financial Officer. I do lean heavily towards a straight seniority process which is fair and not subjective. An enhanced іMi Casa Avon! program for Town employees would be initiated by individual employees. Finally, any employee housing program is expected to evolve. Employee housing demands and the housing market will evolve, as will opportunities and strategies. PROPOSED MOTION: “I move to approve Resolution 24-10 Adopting the Town of Avon Employee Housing Plan.” Thank you, Patti Town of Avon Employee Housing Plan - Adopted by Resolution 24-10 March 22, 2024 Page 3 of 3 APPENDIX A: Resolution 24-10 Adopting the Town of Avon Employee Housing Plan Resolution 24-10 Adopting the Town of Avon Employee Housing Plan March 26, 2024 Page 1 of 1 RESOLUTION 24-10 ADOPTING THE TOWN OF AVON EMPLOYEE HOUSING PLAN WHEREAS, the Avon Town Council (“Council”) adopted the Avon Community Housing Plan, which recognizes the severe shortage of affordable housing; WHEREAS, Council finds that the availability of affordable housing is critical for recruitment and retention of Town of Avon employees; and WHEREAS, Council finds that the delivery of high quality public services in Avon is directly dependent upon maintaining high staffing levels and minimizing turn-over; and WHEREAS, Council finds it is important and appropriate to establish policies, goals and strategies for the development of housing for Town of Avon employees; and WHEREAS, Council finds that the adoption and implementation of a plan for Town of Avon Employee Housing will promote the health, safety and general welfare of the Avon community. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF AVON that the Avon Town Council hereby adopts the Town of Avon Employee Housing Plan, attached hereto as Exhibit A, which shall be a supplement to the Avon Community Housing Plan. ADOPTED MARCH 26, 2024 by the AVON TOWN COUNCIL By: Attest:___________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk Page 1 A. INTRODUCTION. The Town of Avon (“Town”) recognizes the severe need for attainable housing for Town employees. Recruiting and retaining employees has become very challenging. Nearly one third of employees that have resigned from the Town over the last two years moved out of Eagle County to other areas where housing is more affordable. The Town’s success rate in recruiting any new employees who do not already live in, or near, Eagle County, is extremely low with the high cost of housing in Eagle County presenting the primary barrier. The Town invests significantly in new and existing employees, which creates a high cost for turnover. The Town has also experienced long timeframes of 10 to 18 months to fill vacant positions. The Town must provide housing for employees in order to improve recruitment and to maintain a stable, high quality Staff that delivers excellent public services. B. GOALS: This Town of Avon Employee Housing Plan (“Employee Housing Plan”) sets forth appropriate targets for increasing the Town’s inventory of housing for Town employees and identifies appropriate strategies for providing housing opportunities while balancing Town’s investment in employee housing with its investment in Community Housing for the general public. Both near-term goals (5 years) and long-term goals (20 years), targets and strategies are discussed in this Employee Housing Plan. C. ADOPTION AND AMENDMENTS. The Employee Housing Plan should be updated every six years to incorporate changing market conditions and employee housing needs. The Employee Housing Plan is adopted by Avon Town Council by Resolution. Subsequent updates and amendments shall be adopted by Resolution. INTRODUCTION Page 2 A. DEMAND. Current Demand: The Town currently employs 118 full-time employees and 131 part- time/seasonal employees. Full time employees are eligible for housing programs. The Town currently has 4% of full-time Staff housed. Future Demand: The Town has potential to develop commercial and residential areas including: (1) redevelopment of East and West town center areas, (2) development of Village at Avon, (3) State Land Board annexation, and (4) other smaller annexations and infill redevelopment. As a result, these developments could increase the total number of residential units in the Town by 50% or more. Recognizing that growth may not result in a linear increase in the Town’s Staffing needs, it is reasonable to contemplate that the total number of employees may increase by 40% in twenty years. Present Employees in 2024 and in 20 Years EMPLOYEES 2024 2045 Full time 118 165 Part time 131 183 B.   HOUSING AND AFFORDABILITY • 37% of Town full-time employees earn under 100% of Area Median Income (“AMI”) while 63% of full-time employees earn 100% or above AMI. • Free Market Stats for 2023 Median & Average Sales Price, all locations in Eagle County • Median SFH/DPX $1,760,345, TH/Condo $1,385,000 • Average SFH/DPX $2,626,367, TH/Condo $2,032,452 • Affordability for 100% AMI is $452,006 while TH/Condo Median price is $1,385,000 • Less than 10% of full-time employees at the Town can afford a Median or Average priced free market unit in Eagle County as of January 2024. • Currently 118 FTE at the Town with a 40% increase projected over 20 years. • There are 131 PTE at the Town however, they are not counted in the wage data because their total income is difficult to ascertain; however, we expect the total wages for part-time employees are likely to be under 100% AMI. • The Town will need a variety of unit types and attributes as well as a mix of rental and ownership opportunities to effectively support housing. EMPLOYEE HOUSING NEEDS Page 3 Housing Affordability Table C. EMPLOYEE HOUSING PREFERENCES. A survey of all Town full-time employees was conducted in October of 2023 to ask a variety of questions about housing. The response rate was very high with 113 total respondents, evidencing a strong interest in affordable housing. The Department Directors conducted a retreat on October 25, 2023 to review the results of the employee housing survey and discuss employee housing needs and goals. The results of the survey included the following highlights: • 94% of employees prefer to own a home while only 52% currently do. • 81% of respondents said “Price” was the #1 barrier to living in their most desired locations of: Avon, Eagle-Vail, and Edwards. • 59% are paying more than 30% of their gross income on housing and 40% use roommates to offset those expenses. • 73% said they would consider moving to Avon if an affordable housing option was offered and 64% said they would consider purchasing a price-capped deed restricted unit if it was affordable. • 64% of respondents said they would consider working for the Town longer if they were able to live closer to work. CONCLUSIONS: • Most employees stated that they prefer to live in Avon, prefer to own their home, and would like work longer for Avon if affordable housing was available. • There is demand for price capped for-sale housing in Avon. • There is demand for affordably priced rental housing in Avon. • There is a desire for Staff to have access to additional housing resources. • The variety of housing types and traits factors heavily into location. Page 4 A. PERCENTAGE OF HOUSING FOR EMPLOYEES: Housing affordability is expected to present a long-term, permanent challenge for recruitment and retention. Although Town was an affordable housing option for Vail and Beaver Creek for many years, extreme escalation in housing prices since 2020 have resulted in no free market affordable housing options. The escalation of free market housing prices has consistently outpaced increases in local wages for several decades and is expected to continue for decades to come. The City of Aspen is generally recognized as the earliest ski resort town to develop in Colorado and is also recognized as having the oldest housing program. No affordable free market housing opportunities existing in or near the City of Aspen today, resulting in a very high dependency on affordable housing programs. The Town can expect to experience a similar trajectory of increases in housing prices continuing to outpace increases in local wages, with the result that dependency on affordable housing inventory will continue to increase. The goal of providing affordable housing inventory and opportunities for Town employees ranges from a minimum of 50% to as high as 80%. It is not anticipated at this time that every employee will need, or want, affordable housing assistance in 20 years. It is important to note that Town employees are eligible to participate in other Community Housing efforts including Vail InDeed, ¡Mi Casa Avon!, Good Deeds, and Eagle County Loan Fund. The Town Employee housing goals focus on full-time employees. Additional housing inventory for part-time employees would serve as an effective and competitive recruitment amenity. If the Town secures an inventory of employee housing that exceeds employee demands at any time the Town may lease available units to other essential workers, government employees or persons who meet the general eligibility requirements of living and working Eagle County. B. TOWN EMPLOYEE HOUSING GOALS. Year Goal Rental Ownership Total FTEs % FTEs Housed 2030 5 Year 26 10 36 125 29% 2035 10 Year 15 15 30 135 49% 2040 15 Year 15 15 30 150 64% 2045 20 Year 15 15 30 165 76% Total 71 55 126 C. STRATEGIES: Several strategies are identified for investment in employee housing, which are described as follows: 1. Construct new housing units either directly or through public-private partnerships (e.g., Avondale Apartments, Wildwood Annex, Slope Side, East Avon Preserve) 2. Purchase existing housing stock for ownership by Town to add to available rental inventory (e.g. Sherwood Meadows Unit, Old Wildridge Fire Station, Metcalf Lofts unit) 3. Purchase, buydown, and resell existing housing stock to Avon Employees through lottery system GOALS & STRATEGIES Page 5 4. Continue ¡Mi Casa Avon! 5. Offer enhanced ¡Mi Casa Avon! program for Town employees that includes price capped deed restrictions and Town right of repurchase on sale. 6. Purchase units in new construction in Avon (e.g., Hidden Valley Estates, State Land Board) D. FUNDING SOURCES: Funding sources to support Town employee housing are described as follows: 1. Short Term Rental Tax 2. 10% RETT revenue 3. Avon Urban Renewal Authority 4. Avon Downtown Development Authority 5. General Fund reserves 6. Potential for Use Tax 7. Potential State and Federal Grant Funding sources E. INVESTMENT PRIORITY: Staff will pursue all strategies while seeking to maximize the value on investment as opportunities arise. The quantity of housing for Town employees is roughly projected to be 5-10% of the overall Community Housing that the Town plans to support over the next 20 years. Staff will pursue construction of new rental housing by the Town while monitoring opportunities to acquire existing residential properties. Acquisition of existing residential property can be for the purpose to resell at a reduced price to Town employees with a price-cap on resale, offered through either a lottery or by seniority, and subject to Town’s right to repurchase for future resale to another Town employee, or can be for ownership by Town and offered for rent at affordable prices. The near term five year goal is to construct Avondale Apartments with at least 26 units for rent, construct the Wildwood Annex Townhomes with 3 to 6 units, acquire at least 10 deed restricted price-capped residentials units either through direct acquisition and resale to Town employees at a reduced price, with a price cap, offered through a lottery or by seniority, and subject to Town’s right to repurchase, or through an enhanced ¡Mi Casa Avon! program for employees (offering up to 24% of purchase price with price cap). Acquisition of residential units for resale to Town employees is expected to be in the price range of $600,000 to $1,000,000 and would be resold with a 30% price reduction for affordability ($420,000 to $700,00), thus requiring expenditures between $180,000 to $300,000 per unit, or $360,000 to $600,000 to acquire two units per year over the next five years. Page 6 A. Housing programs by local employers B. Town of Avon Wages and Housing Affordability Program TOA ECG TOV ERWSD EVTA/ECO ECPS ECSD VH COA # Full Time Employees 100 505 275 137 67 88 300 1468 360 % of Full Time Employees in Programs 5%4%33%100%42%6%8%33%22% Owned Rental Units 4 13 87 48 2 44 87 (UC)72 Master Leased Rental Units 2 19 16 89 Housing Stipend Y Y Down Payment Assistance Y 22 Y Y Y Y Cash Purchase/Buy Down Y Employee Purchase/Lottery Program Y 3 APPENDICES Page 7 Page 8 C. Mi Casa Avon Year End Data Unit Count Available Contribution Contribution Spent Average Contribution Average Sales Price 2020 8 $ 650,000 $ 464,760 $ 58,095 $ 493,500 2021 13 $ 900,000 $ 847,222 $ 65,171 $ 547,142 2022 16 $1,200,000 $1,164,260 $ 72,766 $ 615,344 2023 3 $1,500,000 $ 199,200 $ 66,400 $ 563,333 Total 40 $2,675,442 $ 66,886 $ 564,909 Page 9 D. Employee Survey Results Page 10 Page 11 Page 12 970.748.4012 eblock@avon.org TO: Honorable Mayor Phillips and Council members FROM: Emily Block, Development Coordinator RE: FIRST READING: Ordinance 24-05 Grading Permits DATE: March 14, 2024 SUMMARY: This memo provides an overview of Ordinance 24-05 (“Attachment A”), drafted to approve the re-instatement of grading permit provisions. These provisions were inadvertently removed from the Avon Municipal Code when the Town Council adopted the 2021 International Building Codes in December of 2022. BACKGROUND: In June of 2022, Avon Town Council approved Ordinance 22-03, adopting additions to grading permit requirements (namely, prohibiting the issuance of a grading permit without the contemporaneous issuance of a building permit). When the Avon Town Council adopted the 2021 International Building Codes later in 2022, due to an error in numbering, this paragraph regarding grading permit requirements was inadvertently removed from our Municipal Code. Ordinance 24-05 would add back the one paragraph that had existed previously: “Except as provided herein no grading permit shall be issued unless: (1) a Public Improvement Agreement or Security Agreement is approved by Town Council; or (2) less than 100-cubic yards of material is excavated. Grading permits may be issued administratively for the Village at Avon Planning Areas A, B, C, D, E, F and J which are designated Administrative Subdivision Areas in the Village at Avon PUD Guide provided a Grading Permit and Security Agreement is approved by the Town Engineer. All Grading Permits issued pursuant to this provision shall comply with this Appendix J as amended and such other requirements of general applicability as may be adopted by the Town.” RECOMMENDATION: My recommendation is to move forward with the Ordinance to formally adopt the proposed change, which would add back a section that had previously existed in the Avon Municipal Code.. OPTIONS: •Approve First Reading as drafted, and set Public Hearing for April 9, 2024 •Approve First Reading, with amendments, and set Public Hearing for April 9, 2024 •Continue to a future meeting. •No action RECOMMENDED MOTION: “I move to approve Ordinance 24-05 Amending Section 15.08.140 of the Avon Municipal Code Regarding Issuance of Grading Permits.” Thank you, Emily ATTACHMENT A: Ordinance 24-05 Ord 24-05 Amending Grading Permits March 12, 2024 Page 1 of 2 ORDINANCE NO. 24-05 AMENDING SECTION 15.08.140 OF THE AVON MUNICIPAL CODE REGARDING ISSUANCE OF GRADING PERMITS WHEREAS, pursuant to C.R.S. §31-15-103 and §31-15-104, and pursuant to the home rule powers of the Town of Avon (“Town”), the Avon Town Council (“Council”) has the power to make and publish ordinances necessary and proper to provide for the safety, preserve the health, promote the prosperity, and improve the morals, order, comfort, and convenience of its inhabitants; and WHEREAS, pursuant to such authority, the Town has previously adopted Title 15 of the Town of Avon Municipal Code (“Code”), regarding Buildings and Construction WHEREAS, a local amendment codified at Avon Municipal Code § 15.08.140 provides for the regulation and permitting of grading permits; and WHEREAS, in certain circumstances some property owners have obtained grading permits without subsequently obtaining a building permit thus creating blighted and incomplete construction sites; and WHEREAS, the Town Council of the Town of Avon has determined that it is in the best interest of the Town of Avon to adopt an ordinance amending § 15.08.140 to prohibit the issuance of a grading permit without the contemporaneous issuance of a building permit; and WHEREAS, Council finds that amendments to grading permits will promote the health, safety, and general welfare of the Avon Community; and WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the Town Council desires to comply with the requirement of Section 6.5(d) of the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence and that approval of this Ordinance on first reading does not constitute a representation that the Town Council, or any member of the Town Council, has determined to take final action on this Ordinance prior to concluding the public hearing on second reading. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO the following: Section 1. Recitals Incorporated. The above and foregoing recitals are incorporated herein by reference and adopted as findings and determinations of the Town Council. ATTACHMENT A Ord 24-05 Amending Grading Permits March 12, 2024 Page 2 of 2 Section 2. Amendment to Chapter 15.08.140. Section 15.08.140 is hereby amended to add the following section to the existing language: J102.1, Permits Required, is added: “Except as provided herein no grading permit shall be issued unless: (1) a Public Improvement Agreement or Security Agreement is approved by Town Council; or (2) less than 100-cubic yards of material is excavated. Grading permits may be issued administratively for the Village at Avon Planning Areas A, B, C, D, E, F and J which are designated Administrative Subdivision Areas in the Village at Avon PUD Guide provided a Grading Permit and Security Agreement is approved by the Town Engineer. All Grading Permits issued pursuant to this provision shall comply with this Appendix J as amended and such other requirements of general applicability as may be adopted by the Town.” Section 3. Severability. If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. The Town Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared unconstitutional or invalid. As used in this Section, the term “provision” means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term “application” means and includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 4. Effective Date. This Ordinance shall take effect thirty days after the date of final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Section 5. Safety Clause. The Town Council hereby finds, determines and declares that this Ordinance is promulgated under the general police power of the Town of Avon, that it is promulgated for the health, safety and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 6. Codification of Amendments. The codifier of the Town’s Municipal Code, Colorado Code Publishing, is hereby authorized to make such numerical and formatting changes as may be necessary to incorporate the provisions of this Ordinance within the Avon Municipal Code. The Town Clerk is authorized to correct, or approve the correction by the codifier, of any typographical error in the enacted regulations, provided that such correction shall not substantively change any provision of the regulations adopted in this Ordinance. Such corrections may include spelling, reference, citation, enumeration, and grammatical errors. Section 7. Publication by Posting. The Town Clerk is ordered to publish this Ordinance in accordance with Chapter 1.16 of the Avon Municipal Code. Ord 24-05 Amending Grading Permits March 26, 2024 Page 3 of 3 INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING by the Avon Town Council on March 26, 2024 and setting such public hearing for April 9, 2024 at the Council Chambers of the Avon Municipal Building, located at One Hundred Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ ___________________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk ADOPTED ON SECOND AND FINAL READING by the Avon Town Council on April 9, 2024. BY: ATTEST: ____________________________ ___________________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: ____________________________ Nina Williams, Interim Town Attorney 970.748.4004 eric@avon.org TO: Honorable Mayor Amy Phillips and Town Council members FROM: Eric Heil, Town Manager Paul Redmond, Chief Finance Officer RE: Sales Tax Exemption for Hygiene Products DATE: March 26, 2024 SUMMARY: This report presents Ordinance 24-06 (“Attachment A”) to Avon Town Council (“Council”) for first reading. Ordinance 24-06 will establish a sales tax exemption on hygiene products as was adopted by the State of Colorado with HB 22-1055. BACKGROUND: Effective January 1, 2023, Colorado enacted House Bill 22-1055, a state-level sales and use tax exemption on the sale, storage, use or consumption of incontinence products, diapers, and period products. The bill also recommended local governments adopt the same exemptions. The Town would need to amend Chapter 3.08.010 and 3.08.050 of the Town’s Municipal Code to include period products and incontinence products and diapers. ANALYSIS: The assumptions are based on the Final Fiscal Notes for HB 22-1055 and the Avon, CO Census Report in 2022. Period products mean consumer products used to manage menstruation. The analysis assumes regular use of these products for women and girl ages 12 to 51 based on the average age of first menstruation to menopause. In Avon, it assumed there are 1,803 individuals between the age of 12 to 51. The average use of 4 products per day and an average cost $0.35 per product, would result in $151,529 in local revenue. Overall, the decrease in revenue from a sales tax exemption on period products for the Town is estimated to be $6,061. Incontinence Products and Diapers means absorbent cloth or disposable products worn by humans who are incapable of, or have difficulty, controlling their bladder or bowel movements. Diaper use for the infant and child population for the Town of Avon was based on the 2022 census data. It is assumed the Town has a population of 330 children between the ages of 0 to 5. It is assumed a child will use an average of 8 products per day with an average price of $0.40 per product. The local revenue generated from diaper sales would be estimated at $385,685 per year. Overall, the decrease in revenue from the sale tax exemption on children’s diapers would be $15,427. It is assumed that 35% of the adult population over the age of 50 would use adult incontinence products. The average person would spend $1400 a year on these expenses. The estimated revenue from the sales tax exemption for adult incontinence products is $11,985.04. RECOMMENDED MOTION: “I move to approve First Reading of Ordinance 24-06, to amend Chapter 3.08.010 and 3.08.050 of the Town’s Municipal Code to include incontinence products, diapers and menstrual care products as exempt from sales tax.” Thank you, Eric and Paul ATTACHMENT A – Ordinance 24-06 ATTACHMENT B – House Bill 22-1055 ATTACHMENT C – Final Fiscal Note HB 22-1055 Ord 24-06 – AMENDMENT TO EXEMPT LOCAL TAXATION OF CERTAIN ITEMS Draft – February 28, 2024 Page 1 of 4 ORDINANCE NO. 24-06 AMENDING SECTIONS 3.08.010 AND 3.08.050 OF THE AVON MUNICIPAL CODE TO EXEMPT INCONTENENCES, DIAPERS AND MENSTRUAL CARE PRODUCTS FROM SALES TAX WHEREAS, pursuant to C.R.S. §31-15-103 and §31-15-104, and pursuant to the home rule powers of the Town of Avon (“Town”), the Town Council has the power to make and publish ordinances necessary and proper to provide for the safety, preserve the health, promote the prosperity, and improve the morals, order, comfort, and convenience of its inhabitants; and WHEREAS, pursuant to Article XX, Section 6 of the Colorado Constitution, the Town, as a home rule municipality, has authority over local taxation matters; and WHEREAS, pursuant to C.R.S. §29-2-105, the Town of Avon has the power to exempt incontinence products, diapers, and menstrual care products from its local tax by the express inclusion of the exemption by amendment to its Municipal Code; and WHEREAS, in recognition of the essential nature of such products, the purpose of this Ordinance is to provide tax relief for individuals that utilize incontinence products, diapers, and menstrual care products, to increase the affordability of the same, and to redress the inequitable burden that the imposition of sales tax places on users of such products; and WHEREAS, the Town Council finds that adopting the foregoing amendments to the Town’s Municipal Code §§3.08.010 and 3.08.050 will promote the health, safety, and general welfare of the Avon community; and WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the Town Council desires to comply with the requirement of Section 6.5(d) of the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence and that approval of this Ordinance on first reading does not constitute a representation that the Town Council, or any member of the Town Council, has determined to take final action on this Ordinance prior to concluding the public hearing on second reading. Ord 24-06 – AMENDMENT TO EXEMPT LOCAL TAXATION OF CERTAIN ITEMS Draft – February 28, 2024 Page 2 of 4 NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO the following: Section 1. Recitals Incorporated. The above and foregoing recitals are incorporated herein by reference and adopted as findings and determinations of the Town Council. Section 2. Amendment to Chapter 3.08.010 – Sales Tax - Words and Phrases Defined. Section 03.08.010 is hereby amended to read as follows with strike-out indicating language to be deleted and underline indicating language to be adopted in alphabetical order within words and phrases defined: Incontinence products and diapers means absorbent cloth or disposable products worn by humans who are incapable of, or have difficulty, controlling their bladder or bowel movements. Menstrual care products means products that are designed to absorb or contain menstrual flow. Menstrual care products include, but are not limited to, tampons, menstrual pads, sanitary napkins, panty liners, menstrual sponges, menstrual under garments, and menstrual cups. Section 3. Amendment to Chapter 3.08.050 – Sales Tax – Exempt Items. Section 03.08.050 is hereby amended to read as follows with strike-out indicating language to be deleted and underline indicating language to be adopted: (7) Commercial packaging materials; and (8) Newspapers as defined in Section 3.08.010; (9) Incontinence products and diapers; and (10) Menstrual care products. Section 4. Severability. If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. The Town Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared unconstitutional or invalid. As used in this Section, the term “provision” means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term “application” means and ATTACHMENT A Ord 24-06 – AMENDMENT TO EXEMPT LOCAL TAXATION OF CERTAIN ITEMS Draft – February 28, 2024 Page 3 of 4 includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 5. Effective Date. This Ordinance shall take effect thirty days after the date of final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Section 6. Safety Clause. The Town Council hereby finds, determines, and declares that this Ordinance is promulgated under the general police power of the Town of Avon, that it is promulgated for the health, safety, and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 7. No Existing Violation Affected. Nothing in this Ordinance shall be construed to release, extinguish, alter, modify, or change in whole or in part any penalty, liability, or right or affect any audit, suit, or proceeding pending in any court, or any rights acquired, or liability incurred, or any cause or causes of action acquired or existing which may have been incurred or obtained under any ordinance or provision hereby repealed or amended by this Ordinance. Any such ordinance or provision thereof so amended, repealed, or superseded by this Ordinance shall be treated and held as remaining in force for the purpose of sustaining any and all proper actions, suits, proceedings and prosecutions, for the enforcement of such penalty, liability, or right, and for the purpose of sustaining any judgment, decree, or order which can or may be rendered, entered, or made in such actions, suits, or proceedings, or prosecutions imposing, inflicting, or declaring such penalty or liability or enforcing such right, and shall be treated and held as remaining in force for the purpose of sustaining any and all proceedings, actions, hearings, and appeals pending before any court or administrative tribunal. Section 8. Codification of Amendments. The codifier of the Town’s Municipal Code, Colorado Code Publishing, is hereby authorized to make such numerical and formatting changes as may be necessary to incorporate the provisions of this Ordinance within the Avon Municipal Code. The Town Clerk is authorized to correct, or approve the correction by the codifier, of any typographical error in the enacted regulations, provided that such correction shall not substantively change any provision of the regulations adopted in this Ordinance. Such corrections may include spelling, reference, citation, enumeration, and grammatical errors. Section 9. Publication. The Town Clerk is ordered to publish this Ordinance in accordance with Chapter 1.16 of the Avon Municipal Code. [SIGNATURE PAGE FOLLOWS] ATTACHMENT A Ord 24-06 – AMENDMENT TO EXEMPT LOCAL TAXATION OF CERTAIN ITEMS Draft – February 28, 2024 Page 4 of 4 INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING by the Avon Town Council on March 26, 2024 and setting such public hearing for April 9, 2024 at the Council Chambers of the Avon Municipal Building, located at One Hundred Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ ___________________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk ADOPTED ON SECOND AND FINAL READING by the Avon Town Council on April 9, 2024. BY: ATTEST: ____________________________ ___________________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: ____________________________ Nina Williams, Interim Town Attorney ATTACHMENT A HOUSE BILL 22-1055 BY REPRESENTATIVE(S) Lontine and Herod, Bacon, Bernett, Cutter, Duran, Esgar, Froelich, Hooton, Jodeh, Kipp, McLachlan, Michaelson Jenet, Sirota, Titone, Young, Amabile, Bird, Boesenecker, Caraveo, Daugherty, Exum, Gonzales-Gutierrez, Gray, Kennedy, Lindsay, McCormick, Mullica, Ricks, Roberts, Sullivan, Tipper, Valdez A., Valdez D., Weissman, Woodrow, Garnett; also SENATOR(S) Jaquez Lewis and Winter, Buckner, Gonzales, Story, Bridges, Coleman, Danielson, Donovan, Fields, Hansen, Hinrichsen, Kolker, Lee, Moreno, Pettersen, Priola, Rodriguez, Fenberg. CONCERNING A SALES AND USE TAX EXEMPTION FOR ESSENTIAL HYGIENE PRODUCTS. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, 39-26-717, amend (2)(k) and (2)(1); and add (1)(a.5), (1)(b.5), (2)(m), and (2)(n) as follows: 39-26-717. Drugs and medical and therapeutic devices - legislative declaration - definitions - repeal. (1) As used in this section, unless the context otherwise requires: Capital letters or bold & italic numbers indicate new material added to existing law; dashes through words or numbers indicate deletions from existing law and such material is not part of the act. ATTACHMENT B (a.5) "INCONTINENCE PRODUCTS AND DIAPERS" MEANS ABSORBENT CLOTH OR DISPOSABLE PRODUCTS WORN BY HUMANS WHO ARE INCAPABLE OF, OR HAVE DIFFICULTY, CONTROLLING THEIR BLADDER OR BOWEL MOVEMENTS. (b.5) "PERIOD PRODUCTS" MEANS CONSUMER PRODUCTS USED TO MANAGE MENSTRUATION. (2) The following are exempt from taxation under part 1 of this article 26: (k) All sales of nonprescription drugs or materials when furnished by a practitioner as part of professional services provided to a patient; and (I) All sales of corrective eyeglasses, contact lenses, or hearing aids; AND (m) (I) ALL SALES OF PERIOD PRODUCTS PURCHASED ON AND AFTER JANUARY 1, 2023. (II) IN ACCORDANCE WITH SECTION 39-21-304 (1), WHICH REQUIRES EACH BILL THAT CREATES A NEW TAX EXPENDITURE TO INCLUDE A TAX PREFERENCE PERFORMANCE STATEMENT AS PART OF A STATUTORY LEGISLATIVE DECLARATION, THE GENERAL ASSEMBLY HEREBY FINDS AND DECLARES THAT: (A) THE GENERAL LEGISLATIVE PURPOSE OF THE EXEMPTION ALLOWED BY THIS SUBSECTION (2)(m) IS TO PROVIDE TAX RELIEF FOR CERTAIN INDIVIDUALS; (B) THE SPECIFIC LEGISLATIVE PURPOSE OF THE EXEMPTION ALLOWED BY THIS SUBSECTION (2)(m) IS TO INCREASE THE AFFORDABILITY OF PERIOD PRODUCTS AND TO REDRESS THE INEQUITABLE BURDEN THAT THE IMPOSITION OF SALES TAX PLACES ON MILLIONS OF WOMEN IN COLORADO FOR WHOM SUCH PRODUCTS ARE ESSENTIAL; AND (C) IN ORDER TO ALLOW THE GENERAL ASSEMBLY AND THE STATE AUDITOR TO MEASURE THE EFFECTIVENESS OF THE EXEMPTION, THE STATE AUDITOR SHALL IDENTIFY AVAILABLE DATA SOURCES AND ESTIMATE THE SAVINGS THAT THE EXEMPTION PROVIDES TO TAXPAYERS IN COLORADO FOR PAGE 2-HOUSE BILL 22-1055 ATTACHMENT B WHOM PERIOD PRODUCTS ARE ESSENTIAL DURING THE STATE AUDITOR'S EVALUATION OF THE EXEMPTION PURSUANT TO SECTION 39-21-305. (III) NOTWITHSTANDING SECTION 39-21-304 (4), THE EXEMPTION IN THIS SUBSECTION (2)(m) CONTINUES INDEFINITELY. (n) (I) ALL SALES OF INCONTINENCE PRODUCTS AND DIAPERS PURCHASED ON AND AFTER JANUARY 1, 2023. (II) IN ACCORDANCE WITH SECTION 39-21-304 (1), WHICH REQUIRES EACH BILL THAT CREATES A NEW TAX EXPENDITURE TO INCLUDE A TAX PREFERENCE PERFORMANCE STATEMENT AS PART OF A STATUTORY LEGISLATIVE DECLARATION, THE GENERAL ASSEMBLY HEREBY FINDS AND DECLARES THAT: (A) THE GENERAL LEGISLATIVE PURPOSE OF THE EXEMPTION ALLOWED BY THIS SUBSECTION (2)(n) IS TO PROVIDE TAX RELIEF FOR CERTAIN INDIVIDUALS; (B) THE SPECIFIC LEGISLATIVE PURPOSE OF THE EXEMPTION ALLOWED BY THIS SUBSECTION (2)(n) IS TO INCREASE THE AFFORDABILITY OF INCONTINENCE PRODUCTS AND DIAPERS AND TO REDRESS THE INEQUITABLE BURDEN THAT THE IMPOSITION OF SALES TAX PLACES ON MILLIONS OF PARENTS, INDIVIDUALS CARING FOR INFANTS AND YOUNG CHILDREN, AND OTHER USERS OF INCONTINENCE PRODUCTS IN COLORADO FOR WHOM SUCH PRODUCTS ARE ESSENTIAL; AND (C) IN ORDER TO ALLOW THE GENERAL ASSEMBLY AND THE STATE AUDITOR TO MEASURE THE EFFECTIVENESS OF THE CREDIT, THE STATE AUDITOR SHALL IDENTIFY AVAILABLE DATA SOURCES AND ESTIMATE THE SAVINGS THE EXEMPTION PROVIDES TO TAXPAYERS IN COLORADO FOR WHOM INCONTINENCE PRODUCTS AND DIAPERS ARE ESSENTIAL DURING THE STATE AUDITOR'S EVALUATION OF THE EXEMPTION PURSUANT TO SECTION 39-21-305. (III) NOTWITHSTANDING SECTION 39-21-304 (4), THE EXEMPTION IN THIS SUBSECTION (2)(n) CONTINUES INDEFINITELY. SECTION 2. In Colorado Revised Statutes, 29-2-105, add (1)(d)(I)(Q) and (1)(d)(I)(R) as follows: PAGE 3-HOUSE BILL 22-1055 ATTACHMENT B 29-2-105. Contents of sales tax ordinances and proposals. (1) The sales tax ordinance or proposal of any incorporated town, city, or county adopted pursuant to this article 2 shall be imposed on the sale of tangible personal property at retail or the furnishing of services, as provided in subsection (1)(d) of this section. Any countywide or incorporated town or city sales tax ordinance or proposal shall include the following provisions: (d) (I) A provision that the sale of tangible personal property and services taxable pursuant to this article 2 shall be the same as the sale of tangible personal property and services taxable pursuant to section 39-26-104, except as otherwise provided in this subsection (1)(d). The sale of tangible personal property and services taxable pursuant to this article 2 shall be subject to the same sales tax exemptions as those specified in part 7 of article 26 of title 39; except that the sale of the following may be exempted from a town, city, or county sales tax only by the express inclusion of the exemption either at the time of adoption of the initial sales tax ordinance or resolution or by amendment thereto: (Q) THE EXEMPTION FOR SALES OF PERIOD PRODUCTS AS SPECIFIED IN SECTION 39-26-717 (2)(m). (R) THE EXEMPTION FOR SALES OF INCONTINENCE PRODUCTS AND DIAPERS AS SPECIFIED IN SECTION 39-26-717 (2)(n). SECTION 3. Act subject to petition - effective date. This act takes effect at 12:01 a.m. on the day following the expiration of the ninety-day period after final adjournment of the general assembly; except that, if a referendum petition is filed pursuant to section 1 (3) of article V of the state constitution against this act or an item, section, or part of this act within such period, then the act, item, section, or part will not take effect unless approved by the people at the general election to be held in PAGE 4-HOUSE BILL 22-1055 ATTACHMENT B November 2022 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor. Alec Garnett SPEAKER OF THE HOUSE OF REPRESENTATIVES Steve Fenberg PRESIDENT OF THE SENATE e44de .0( ileatkoat. obin ones Cindi L. Markwell CHIEF CLERK OF THE USE SECRETARY OF OF REPRESENTATIVES THE SENATE APPROVED Tu44.t 604,-- I 1,1 (Date and Time) Jarel P lis DOVE' OR OF TATE OF COLORADO PAGE 5-HOUSE BILL 22-1055 ATTACHMENT B Page 1 August 30, 2022 HB 22-1055 Legislative Council Staff Nonpartisan Services for Colorado’s Legislature Final Fiscal Note Drafting Number: Prime Sponsors: LLS 22-0024 Rep. Lontine; Herod Sen. Jaquez Lewis; Winter Date: Bill Status: Fiscal Analyst: August 30, 2022 Signed into Law David Hansen | 303-866-2633 David.Hansen@state.co.us Bill Topic: SALES TAX EXEMPTION ESSENTIAL HYGIENE PRODUCTS Summary of Fiscal Impact: ☒State Revenue ☒State Expenditure ☐State Transfer ☒TABOR Refund ☒Local Government ☐Statutory Public Entity The bill exempts period products and incontinence products from sales and use taxes beginning January 1, 2023. The bill decreases state revenue on an ongoing basis, will minimally increase state workload during implementation, and will decrease ongoing local government revenue for those that conform to the state tax base. Appropriation Summary: No appropriation is required. Fiscal Note Status: The fiscal note reflects the enacted bill, and was updated to reflect additional information. Table 1 State Fiscal Impacts Under HB 22-1055 Budget Year FY 2022-23 Out Year FY 2023-24 Revenue General Fund ($6.2 million) ($13.0 million) Expenditures - - Transfers - - Other Budget Impacts TABOR Refund ($6.2 million) ($13.0 million) ATTACHMENT C Page 2 August 30, 2022 HB 22-1055 Summary of Legislation The bill exempts purchases of period products and incontinence products from state sales and use tax beginning January 1, 2023. State Revenue The bill is estimated to decrease General Fund revenue by $6.2 million in FY 2022-23 and by $13.0 million in FY 2023-24, with ongoing impacts in subsequent years that will grow with population growth and inflation. The impact in FY 2022-23 represents a half-year impact. Sales and use tax revenue is subject to TABOR. Data and Assumptions Period products. The analysis was based on estimated use of the bill’s exempted products for impacted demographic groups. For period products, the analysis assumes regular use of these products for women and girls ages 12 to 51 based on the average age of first menstruation to menopause from National Institutes of Health data. In Colorado, the State Demographer projects there will be between 1,598,426 and 1,615,701 women and girls ages 12 to 51 from FY 2022-23 to FY 2023-24. The demand among users of these products was adjusted downward to exclude those who are expected to not be menstruating during pregnancy or nursing based on projected births in the state. Based on this adjusted population, there will be an estimated 88.0 million to 88.9 million likely menstrual days each year during the analysis period.1 Assuming 40.4 percent of users of period products use tampons and 59.6 percent use pads or sanitary napkins, and average use of 4.0 products per day, there will be demand for about 143.0 million tampons and 211.0 million pads in the state each year. Lastly the revenue impact assumes an average inflation-adjusted price of about $0.24 per tampon and $0.22 per pad during the analysis period. Overall, the decrease in revenue from period products is $1.1 million in FY 2022-23 and $2.3 million in FY 2023-24. The degree that actual use of period products differs from the above assumptions could increase or decrease the estimated revenue impact. For instance, the analysis does not factor in the use of sponges, cups, or other products that are included in the bill, or the use of period products for other reasons than menstruation, both factors that could increase the revenue impact. On the downside, the analysis does not factor in reduced menstruation or use of period products from causes other than pregnancy, such as surgical procedures, health conditions, or other means. Infant and child diaper use. Diaper use for the infant and child population was based on the state’s projected population of children ages 0 to 5 years from the Colorado State Demography Office. Assuming a projected average of 208,300 children less than 27 months through FY 2023-24 utilize about 8.0 diapers per day, and that 95.5 percent of children use disposable diapers, the demand for disposable diapers will be about 581 million each year during the analysis period. The remaining children are assumed to use cloth diapers. For the projected 174,700 children ages 27 months to 5 years, it is assumed about 8.0 percent use an average of one disposable diaper each day based on rates of night-time only use in older children, or an average of 5.1 million disposable diapers each year during the analysis period. Assuming an average inflation-adjusted unit cost of $0.32 per disposable 1 Menstrual days was calculated assuming an average cycle length of 28 days and 4.5 days per period based on National Institutes of Health data. ATTACHMENT C Page 3 August 30, 2022 HB 22-1055 diaper, and an average one-time cloth diaper cost of about $410, the bill will decrease revenue from these products by an estimated $2.6 million in FY 2022-23 and $5.5 million in FY 2023-24. The degree that actual infant and child diaper use differs from the assumptions used in this analysis could increase or decrease the estimated revenue impact. For instance, the use of diapers for reasons other than infant and child care, or for those older than age 5 could increase the revenue impact. Alternatively, if caretakers reduce diaper use significantly before 27 months, or that children over this age require fewer diapers at night, the revenue impact could be lower. Incontinence products. A study on the direct cost of urinary incontinence in the U.S. found the cost in 1995 was $16.3 billion.2 Further, an analysis of the cost of urinary incontinence among women estimated that diaper purchases and incontinence pads comprised about 40 percent of the annual cost of routine products and care, costs the researchers noted accounted for 50 percent to 75 percent of the above cited direct costs.3 Inflating the per capita cost for the adult population of urinary incontinence using the Consumer Price Index, based on projections in the December 2021 Legislative Council Staff Forecast, assuming 60 percent of the total cost of urinary incontinence is spent on routine care products, and applying the estimated cost of incontinence products to the projected adult population in Colorado, the bill will decrease revenue in FY 2022-23 by an estimated $2.5 million and by $5.2 million in FY 2023-24. The degree that actual incontinence product use differs from the assumptions used in this analysis could increase or decrease the estimated revenue impact. State Expenditures The bill will minimally increase workload for the Department of Revenue to update sales and use tax guidance and forms. The bill also increases workload in the Office of the State Auditor to review this tax expenditure. The fiscal note assumes that workload impacts can be met with existing resources. Other Budget Impacts TABOR refunds. The bill is expected to decrease the amount of state revenue required to be refunded to taxpayers by the amounts shown in the State Revenue section above. This estimate assumes the March 2022 Legislative Council Staff revenue forecast. A forecast of state revenue subject to TABOR is not available beyond FY 2023-24. Because TABOR refunds are paid from the General Fund, decreased General Fund revenue will lower the TABOR refund obligation, but result in no net change to the amount of General Fund otherwise available to spend or save. 2 Wilson, Leslie, Brown, Jeanette S., Shin, Grace P., Luc, Kim-Oanh, and Subak, Leslee L., Annual Direct Cost of Urinary Incontinence, National Institutes of Health, PubMed, 2001. https://pubmed.ncbi.nlm.nih.gov/11530119/ 3 Subak, Leslee L. et al. High Costs of Urinary Incontinence Among Women Electing Surgery to Treat Stress Incontinence, National Institutes of Health, PubMed, 2008. https://www.ncbi.nlm.nih.gov/pmc/articles/PMC2593129/#R1 ATTACHMENT C Page 4 August 30, 2022 HB 22-1055 Local Government The bill will decrease sales and use tax revenue for state-collected local governments and special districts that incorporate the exemption and conform to the state tax base. The bill includes each exemption among other optional sales and use tax exemptions for state-collected city and county governments. The impact to cities and counties cannot be estimated due to data availability. The bill will decrease revenue for state-collected special districts that conform to the state tax base. Among the largest special districts are the Regional Transportation District (RTD) and the Scientific and Cultural Facilities District (SCFD). Based on the size of each district’s tax base compared with the state tax base, decreased revenue is estimated as follows: RTD – The bill will reduce revenue to RTD by an estimated $1.2 million in FY 2022-23 (half-year impact) and by $2.4 million in FY 2023-24. SCFD – The bill will reduce revenue to SCFD by an estimated $116,800 in FY 2022-23 (half-year impact) and by $244,300 in FY 2023-24. The bill will decrease revenue for other special districts across the state, but the impact cannot be estimated due to data availability. Effective Date The bill was signed into law by the Governor on June 3, 2022, and it took effect on August 9, 2022, except the sales and use tax exemptions take effect January 1, 2023. State and Local Government Contacts Counties Information Technology Legislative Council Staff Municipalities Office of Legislative Legal Services Revenue Regional Transportation District Special Districts State Auditor The revenue and expenditure impacts in this fiscal note represent changes from current law under the bill for each fiscal year. For additional information about fiscal notes, please visit: leg.colorado.gov/fiscalnotes. ATTACHMENT C 970.748.4088 predmond@avon.org TO: Honorable Mayor Phillips and Council Members FROM: Paul Redmond, Chief Financial Officer RE: Work session: Use Tax Ballot Proposal for 2024 Election DATE: March 26, 2024 SUMMARY: The Town Council is asked to consider referring a revised ballot question about the collection of Use Tax on Construction Materials on projects greater than $50,000 to the November 5, 2024 Coordinated Election. The Use Tax question presented in November, 2023 failed to receive voter support. There was virtually no outreach conducted in 2023, the voter turn-out was low, and the ballot question did not propose a specific use for the Use Tax. Staff is proposing for Council consideration a revised Ballot Question that would dedicate the Use Tax revenues to Community Housing. Please note that Use Tax collection in the Village (at Avon) would be remitted to Traer Creek Metropolitan District for repayment of infrastructure debts in accordance with the Town’s existing tax credit obligations in the Village (at Avon) Development Agreement. Engaging the voter community early to share information and receive input is essential to determining consensus for a successful tax ballot question. Staff is requesting direction on whether to pursue next steps to work with the Avon voter community. The steps are described as follows: (1) April: Engage services to conduct voter polling in June (estimated cost $10K) (2) April and May: Commence voter outreach through direct mailer, Zen City platform on Avon website, and other Town means for sharing information. (estimated cost for direct mailer is $3K) (3) June: Include the potential Use Tax Ballot Question as policy questions on the Avon Community Survey (4) August: present polling results, Community Survey results and feedback on voter outreach to Council and determine whether to refer ballot question to November election through adoption of an Ordinance. BACKGROUND: Town Council has reviewed use tax proposals from 2021 to 2023. Voter polling in June 2022 showed support for the use tax, but the focus turned to the ballot measure and formation of the Regional Transportation Authority. The Town Council then referred the measure to the 2023 November election, but the question failed with almost 62% (691 votes) opposed and 38% (424 votes) in support. Per the 2023 ballot question, the revenues generated from the tax were to be spent for any municipal purpose since there were no restrictions to use of the revenues. The lack of Community Housing has been identified at a “crisis level” in the Eagle County region. The Town Council was presented with a list of potential sites for development of community housing on January 23, 2024, some sites owned by the Town and some by private ownership. With lack of community housing inventory and shortfalls of funding for community housing initiatives, this proposed use tax measure would help to reduce that gap. In addition, the current collection of the town’s sales tax is cumbersome, and the town remains at a disadvantage by not getting on the same playing field with adjacent communities who currently collect a use tax. There are many challenges in developing local community housing opportunities, but this proposal helps solve one of those with a permanent and dedicated funding source. CURRENT METHODOLOGY FOR THE COLLECTION OF SALES TAX ON BUILDING MATERIALS: The Town of Avon imposes a sales tax on building materials. However, the administrative burden of collection is extremely high and very ineffective. Most of the current collections of sales tax on construction materials is generated and remitted by local Avon and Eagle County retailers such as Home Depot, and Edwards 970-748-4088 predmond@avon.org Building Supply due to the fact they have established physical nexus with the Town of Avon. For example, when a purchase is made from Edwards Building Supply and the materials are to be delivered into Avon, the retailer will collect and remit Avon sales tax. The administrative burden (and headache for contractors and developers) comes from projects whereby the materials are purchased from outside Eagle County, or the State of Colorado Sales tax is not typically collected on these materials by the vendor. In these instances, sales tax would be due to the Town by either a general contractor or sub-contractor at the time the materials are delivered to the job site. However, tax is not typically remitted to the Town and Town staff has little or no knowledge of the transactions taking place to follow-up with the contractor. Even if staff have the information, it is difficult to track down out-of-town contractors or have of leverage to require them to remit the taxes due. CONSTRUCTION MATERIALS USE TAX: A construction use tax is a form of use tax levied on building materials. The use tax is collected at the time a building permit is issued. The use tax amount is determined by multiplying the use tax rate by the cost of the building materials using a predetermined formula. A common method is to determine that the cost of building materials to be fifty percent (50%) of the total valuation of the construction project. The builder then provides the building permit to the materials supplier to prove that use tax has already been paid, and then is exempt from paying a corresponding municipal sales tax in other locations. The administrative burden of collection under a use tax methodology is greatly reduced. In addition, the Town could reconcile the final cost of a project versus the initial value placed on the project for permit purposes. VILLAGE AT AVON (TRAER CREEK METRO DISTRICT): The Consolidated Amended and Restated Annexation and Development Agreement (“CARADA”) specifically contemplates that the Town may, at some point, impose a use tax. In the event a use tax is imposed, a corresponding “use tax credit” will automatically be applied to any transaction subject to the use tax. The CARADA also contemplates that Traer Creek may impose a building materials fee if the Town imposes a use tax. The CARADA is silent as to whether the building materials fee must be used for the same purposes as the use tax. CARADA does provide the Town must coordinate with Traer Creek regarding the implementation of any use tax, so the Town will need to further explore the building materials fee with Traer Creek. Based on 1,835 remaining residential dwelling units (at 1,500 sq. ft. each) and 470,017 remaining commercial square footage left to be developed. At $500 per sq. ft. construction cost the total taxable value (50% of total construction value) is $805,629,250. Therefore, the potential use tax revenue generation in the Village (at Avon) is estimated to be in excess of $32 million using a 4% tax rate. Given the existing outstanding debt balance is approximately $76 million and the remaining Credit PIF Cap of $14 million, the additional use tax revenues would accelerate satisfaction of Town’s tax credit obligations. FINANCIAL CONSIDERATIONS: The timing of the remittance of a use tax versus what was actually collected in sales tax on construction materials makes it difficult to compare fiscal years. However, an average of the past 5 years indicates that the Town collected an average of $612,098 per year with 2023 collections at $920,902 representing almost 7% of total sales tax collections. Below is a chart comparing the sales tax collected on construction materials from the last 5 years compared to a use tax during the construction of Frontgate, One Riverfront, Dual Brand Hotel, Maverik and McGrady Acres. The chart shows if Avon had a Use Tax on construction materials the Town would have generated $1.4 million in additional tax revenue, or a 50% increase in revenue. The additional revenue 970-748-4088 predmond@avon.org generated from the Use Tax on construction materials would be used to fund Community Housing projects, including the ¡Mi Casa Avon! program. NOTE: The Sales Tax on construction materials for projects in the Village (at Avon) was remitted to Traer Creek Metropolitan District in accordance with the terms of the Village (at Avon) Development Agreement and Town’s tax credit obligations. The financial impact (i.e. decrease) to the Town of Avon General Fund is estimated to be approximately $300,000 per year. Roughly half of the revenue has been generated in the Village (at Avon) and therefore subject to the tax credit obligations. The contributions towards Community Housing with the Use Tax is very roughly estimated to be $450,000 per year on average (50% increase). TOWN MANAGER RECOMMENDATION: I recommend directing Staff to proceed with voter outreach on a potential Use Tax Ballot Question that is revised to dedicate the revenues to Community Housing. Each dedicated revenue source for Community Housing is important and essential to establish the financial resources to bring more Community Housing on-line faster. The portion of the Use Tax which would be applicable in the Village (at Avon) will require new development to contribute towards public infrastructure improvements as contemplated in the original Village (at Avon) Development Agreement and will accelerate the ultimate satisfaction of the Town’s tax credit obligations. 2023 was a low turn-out for Avon voters. 2024 is expected to be a high, if not highest, voter turnout for Avon. Tax questions typically do better with a high voter turnout and if the use of funds is specified for an important public purpose. REQUESTED DIRECTION: Staff seeks direction on whether to take next steps with community outreach, Community Survey questions and voter polling to determine community support for a revised Ballot Question proposing a Use Tax on Construction Materials. Thank you, Paul 46.66% - 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000 4,500,000 Construction Sales Tax Use Tax 2019-2023 Potential Use Tax on Construction Materials (970) 748-4087 ewood@avon.org TO: Honorable Mayor Amy Phillips and Council members FROM: Elizabeth Wood, Communications & Marketing Manager RE: Community Survey DATE: March 13, 2024 SUMMARY: This report provides an update on the 2024 Avon Community Survey and requests Town Council input and direction on the policy questions (questions 4 – 12) therein. The questions were developed through collaboration with Town staff and are designed to gauge citizen and business opinion regarding services, activities and direction of the Town. The 2024 Community Survey is a General Government department goal. The results will be presented to Council this fall. A draft of the 2024 Avon Community Survey questions can be found in Attachment A. BACKGROUND: A community survey is critical to understanding the needs and concerns of residents, guests and workforce who spend time in Avon regularly. The survey is a citizen engagement tool for gathering perspectives to enable informed decision-making. The Town of Avon conducts a Community Survey every three years. The 2021 Community Survey results are regularly referenced and have helped guide Town staff and elected officials through valuable insights into the areas of public service, infrastructure, environmental initiatives, resource allocation and strategic planning efforts. Several questions were removed from the 2021 Community Survey and can be found as Attachment B. Feedback from the previous survey indicated the survey was too long , and Town staff found these questions were either duplicitous or did not glean useful direction for the Town. The 2021 Community Survey was 57 questions, including open comment questions. The goal is to limit the 2024 survey to 30 questions, designed to be completed in 15-20 minutes. The goal of the survey process is to empower the community to shape Avon’s future and to enhance transparency between the public and elected officials, ultimately improving the quality of life for everyone in Avon. SCHEDULE: A timeline for completion of the 2024 Town of Avon Community Survey is provided below: • March 26, 2024 Work Session with Council: Review Policy Questions • April 19, 2024 Final Draft of survey to Insight Intercept for programming & translation • June 1, 2024 Launch 2024 Avon Community Survey • July 15, 2024 Close Survey • August 13, 2024 Use Tax Survey Question Results to Council • September 10, 2024 Present Survey Results to Council SURVEY INSTRUMENT: A draft of the 2024 Community Survey is included as Attachment A. The survey asks different types of questions including “rate the level of satisfaction” with many Town services and departments. Each section also includes the opportunity for open -ended responses. Staff developed the themes and essential questions for the survey based on previous years. DISTRIBUTION METHOD: The Town will partner with Intercept Insight to design and issue the survey. The survey link will be available publicly. The link will be advertised through the Vail Daily, digital marketing, Town newsletters and website, press releases, radio advertisements, online interviews and social media promotion. The online survey will allow participants to choose their preferred language at the onset of the Page 2 of 2 survey experience. Respondents can complete the survey from any device: computer, tablet or mobile phone. FINANCIAL CONSIDERATIONS: Town staff have budgeted $20,000 for the 2024 Community Survey, including all marketing, mailers, prizes and incentives. TOWN MANAGER COMMENTS: ATTACHMENT A: 2024 Community Survey 3.20.24 DRAFT ATTACHMENT B: 2021 Community Survey Questions Removed from 2024 Survey Thank you, Liz 2024 Town of Avon Community Survey Questions – DRAFT 3.19.24 Page 1 of 7 2024 Community Survey Questions - DRAFT Greetings and welcome to the 2024 Town of Avon Community Survey! Your participation in this survey is invaluable as we strive to enhance our community through your feedback on Town services, programs, and policies. The compiled results will be shared on the Town of Avon’s website. It should only take around 20 minutes to complete. As a token of appreciation, upon finishing the survey, you'll have the chance to enter a draw to win exciting prizes such as an e-bike, gift certificates, and more! DEMOGRAPHIC QUESTIONS 1.Please describe your relationship with the Town of Avon (check all that apply) (1) Full time resident (11 months or more per year) (goes to Q2) (2) Part time resident (goes to Q2) (3) Employed in Avon (4) Owner of business/commercial property (5) Live/work in Eagle County (6) Visitor/Guest (7) Landlord/Rental property owner 2.In which neighborhood do you reside or own property? (for Q1 answers 1 & 2) (1) East Avon (valley floor east of Avon Road – Chapel Square, Piedmont) (2) Town Core (between Avon Road and Nottingham Park) (3) Nottingham Park/Lake area (4) West Avon (valley floor west of Avon Elementary – Sunridge/Aspens/Liftview) (5) Hurd Lane/Eaglebend (6) Village at Avon: Piedmont/Buffalo Ridge (7) Mountain Star (8) Wildridge/Wildwood (9) Nottingham Road 3.Do you own or rent your residence? (1) Own (2) Rent POLICY QUESTIONS ATTACHMENT A 2024 Town of Avon Community Survey Questions – DRAFT 3.19.24 Page 2 of 7 A series of policy questions are asked next. Your input will be very valuable for Council’s consideration of potential projects and implementation strategies for important community issues. COMMUNITY HOUSING: Development of Community Housing is extremely expensive due to the high costs of construction and high land costs. The Town is exploring additional dedicated revenue sources to increase the available funding for Community Housing, including a 4% Use Tax on Construction Materials. The 4% Use Tax would apply to new construction; however, construction projects under $50,000 and Community Housing projects would be exempt from this 4% Use Tax. 4.Would you support a 4% Use Tax on construction materials to raise revenues for Community Housing? (1) Yes (2) No CLIMATE CHANGE: Climate change poses health risks, from events like wildfires, mudslides, and floods, to increased extreme heat days that affect our cardiovascular, respiratory, and nervous systems and exacerbate air pollution. Climate change may also cause mental health challenges, including stress, anxiety, and depression. 5.How concerned are you about the effects of climate change on public health in our community? VERY CONCERNED SOMEWHAT CONCERNED SLIGHTLY CONCERNED NOT CONCERNED 6.Do you support Avon’s investments to implement the Eagle County Climate Action Plan? 1.Yes 2.No CAR SHARING: Car sharing offers an affordable and convenient alternative to car ownership, providing 24/7 access to rental vehicles with the added benefits of reducing environmental impact. Avon plans to pilot a car share program featuring two electric vehicles. 7.Would you consider using the car share program for your transportation needs? 1.Definitely will use 2.Probably will use it 3.Probably will not use it 4.Definitely will not use 8.If you were to use the car share program, how often do you anticipate using this service? 1.Daily 2.Several times a week 3.Once a week 2024 Town of Avon Community Survey Questions – DRAFT 3.19.24 Page 3 of 7 4. A few times a month 5. Rarely 9. For what distance would you typically use the car share service? 1. Less than 5 miles 2. 5-10 miles 3. 11-20 miles 4. More than 20 miles COMPOSTING: Decomposition of food waste in the Eagle County landfill generates methane, which is 28 times more potent than carbon dioxide. Reduction of food waste through composting is an important climate action strategy to meet greenhouse gas emission reduction goals. 10. Are you interested in participating in a Residential Composting Pilot Program? 1. Very interested 2. Somewhat interested 3. Slightly interested 4. Not interested at all 11. Do you think you will conduct an energy audit or electrification/weatherization remodel in the next five years? 1. Yes 2. No 12. Are you interested in learning more about energy rebates? If so, please provide your email and we will send you information about energy audits and electrification options. 1. Yes (Goes to open question to get email) 2. No [OPEN COMMENT] Please provide any comments regarding Sustainability in Avon. SPECIAL EVENTS 13. Which Avon events do you attend? (check all that apply) 1. Winter Fireworks 2. Avon Egg Hunt 3. Town Clean Up & Sustainability Fair 4. Salute to the USA 5. AvonLIVE! 6. SunsetLIVE! 7. Pride in the Park 8. Vail Lacrosse Tournament 9. Lakeside Cinema 2024 Town of Avon Community Survey Questions – DRAFT 3.19.24 Page 4 of 7 10. Dancing in the Park 11. Avon Arts Celebration 12. Trible Bypass 13. Open Water Swim Championship 14. Vail Valley Brew’Au 15. Paddle Battles 16. Community Picnic 17. Vail Valley Soccer Tournament 18. I did not attend any Avon events 14. How do you typically learn about Town events? (check all that apply) (1) Town Website (2) Social Media (3) Word of Mouth (4) Local Radio (5) Town E-Newsletter (6) Posters and Banners (7) Vail Daily (8) Word of Mouth (9) Other [allow text entry] [OPEN COMMENT] Please provide any comments regarding Town of Avon Special Events. COMMUNICATION 15. Please rate your level of satisfaction with Town of Avon communications. 1. Often Satisfied 2. Sometimes Satisfied 3. No Opinion 4. Sometimes Dissatisfied 5. Often Dissatisfied 16. Do you prefer to receive information in English or Spanish? 17. What are your top sources for news and information about the Town of Avon? (check all that apply) 1. E-Services (e-Newsletter, news releases, agendas) 2. Avon.org 3. Social Media 4. Digital signs around Town 5. Railroad Bridge Sign on Avon Road 6. Attend or watch meetings 7. Vail Daily 8. Local Radio 9. Posters and Banners 2024 Town of Avon Community Survey Questions – DRAFT 3.19.24 Page 5 of 7 10. Other: FILL IN BLANK 18. Are you currently registered for the Avon Heartbeat newsletter? If you are not registered for the Avon Heartbeat newsletter, please give us your email. 1. Yes 2. No (Option to provide email to subscribe) POLICE 19. Please rate your level of satisfaction with the Avon Police Department in the following areas: PROFESSIONALISM TRAFFIC SAFETY COMMUNITY ENGAGEMENT 20. Do you feel safer or less safe in Avon over the past three years? MUCH SAFER SOMEWHAT SAFER ABOUT THE SAME LESS SAFE MUCH LESS SAFE [OPEN COMMENT] Please provide any comments regarding Avon Police Department services. PUBLIC WORKS 21. Please rate your level of satisfaction with services and/or maintenance in the following areas: SNOW REMOVAL ROAD/STREETS (Asphalt Overlay, Potholes) PATHS & TRAILS MOWING CINDER CLEAN UP/STREET SWEEPING [OPEN COMMENT] Please provide any comments regarding Avon Public Works services and/or maintenance. RECREATION The Town of Avon will commence a planning project in 2024 for future development of a regional park on the north side of the Post Boulevard interchange. Please let us know the types of recreational uses you desire that are not provided elsewhere in Avon, including both passive recreation improvements and recreation facilities. 22. [OPEN COMMENT] Please provide any comments regarding future Recreation in Avon. HARRY A. NOTTINGHAM PARK 23. Describe how you feel about the use of Nottingham Lake and the beach last summer (2023). 1. Never felt too crowded 2024 Town of Avon Community Survey Questions – DRAFT 3.19.24 Page 6 of 7 2.Sometimes at capacity, but rarely too crowded 3.Often at capacity 4.Sometimes too crowded and often at capacity 5.Often too crowded and always at capacity 6.No opinion [OPEN COMMENT] Please provide any comments regarding Harry A. Nottingham Park and/or Avon’s Pocket Parks. COMMUNITY DEVELOPMENT A lot of new construction occurred in Avon over the last three years. This construction occurred in accordance with the Town of Avon’s adopted Comprehensive Plan, existing zoning, and development review process. 24.Describe what you like about new development in Avon over the last three years [Open Comment] 25.Describe what you do not like about new development in Avon over the last three years [open comment] 26.Describe specific areas in Town or development issues that you feel require more planning and community engagement or development regulations. [open comment] MOBILITY 27.Do you use the free Town bus? IF YES: Please rate your level of satisfaction in the following areas: i.IF YES: Do you ride in the winter/summer/both? CLEANLINESS CLEANLINESS OF BUS STOPS EASE OF ACCESSING OF TRANSIT ROUTE AND SCHEDULE INFORMATION FRIENDLINESS OF STAFF FREQUENCY OF RED/BLUE ROUTES FREQUENCY OF SKIER EXPRESS SHUTTLE ROUTES MAKE SENSE IF NO: Why don’t you use the free Town bus? (1) Routes aren’t convenient (2) I need my car for work (3) Layover is too long (4) Insufficient frequency (5) Not available in my neighborhood (6) I bike or carpool to work 2024 Town of Avon Community Survey Questions – DRAFT 3.19.24 Page 7 of 7 28.Avon strives to be a pedestrian friendly community. Please rate your satisfaction with pedestrian safety in Avon in the following areas: (1) Overall pedestrian safety (2) Safety on roads (3) Safety in/near roundabouts 29.Avon strives to be a bike friendly community. How would you rate your level of satisfaction with bike safety in Avon? (1) Overall bike safety (2) Safety on roads (3) Safety in/near roundabouts [OPEN COMMENT] Please provide any comments regarding mobility, transit and/or parking in Avon. FINAL QUESTIONS 30.[OPEN COMMENT] What do you like best about Avon? 31.[OPEN COMMENT] What do you think is the single most important aspect for Avon to improve? 32.[OPEN COMMENT] Please provide any final comments regarding the Town of Avon. CONGRATULATIONS - YOU MADE IT TO THE END! Thank you for completing this survey! Results will be presented to Council and posted in August. PRIZES, PRIZES, PRIZES! Please register to win a prize. [Enter name, email, and physical property address] NOTE: Prizes are limited to Avon residents and property owners. 2021 Survey Questions Removed from 2024 Survey Why did you choose to rent or buy in Avon? Rate your satisfaction with Avon in the following areas: o COMMUNITY ENGAGEMENT o BUSINESS SUPPORT AND ECONOMIC DEVELOPMENT o COUNCIL PROCESS o COVID RESPONSE Do you feel Avon needs a dedicated dog park on the valley floor? What type of retail businesses would you like to see in Avon? Would you support the Town providing financial incentives for residents to purchase electric vehicles and/or electric bicycles? Do you feel there are sufficient housing opportunities in Avon? Should the Town of Avon prioritize investment in community housing opportunities? What is your preferred use of the Union Pacific Railroad Line? Would you support a modest sales tax or property tax increase to support passenger rail service in Eagle County? Do you think there is too much, too little, or just the right amount of police presence in the Town core? Do you think there is too much, too little, or just the right amount of Community Resource Officer presence in Harry A. Nottingham Park during the summer? The Town of Avon offers a variety of special events through the spring, summer & fall. How often do you attend events in Avon? o 1-10 DAYS PER YEAR o 1-4 DAYS PER MONTH o 2-4 DAYS PER WEEK o I DO NOT ATTEND TOWN EVENTS [OPEN COMMENT] Please describe why you do not attend Town events. Rate your satisfaction with the Town of Avon events program. Please describe why you do not attend Town events? (check all that apply) o RECENTLY MOVED/NEW IN TOWN o PARKING TOO DIFFICULT o I DON’T HAVE TIME TO ATTEND o I DON’T ENJOY THE EVENTS OFFERED o I ATTEND EVENTS IN OTHER TOWNS o OTHER ATTACHMENT B HARRY A. NOTTINGHAM PARK Describe the recreational activities you enjoy in Harry A. Nottingham Park (check all that apply) Walking Walking Dog Running Biking Slackline Outdoor Fit Court Basketball Pickleball Tennis Soccer Frisbee Swimming Stand Up Paddle Boards Kayak Peddle Boats Fishing Beach Volleyball Sitting/relaxing at beach Sitting/relaxing anywhere in Park Picnic/Grill Playground Ice Skating Sledding In-line skating Long boarding/skateboarding Indicate the top five improvements or facilities you desire, if any, in Harry A. Nottingham Park. (check all that apply) Expanded beach area More food and beverage opportunities at the Park during the summer Full-service restrooms in North Nottingham Park to serve the beach area Improved parking and pedestrian safety on West Beaver Creek Blvd to serve the beach area Full-service restrooms in West Nottingham Park to serve the courts and lower soccer field area Additional full-service restrooms in East Nottingham Park to serve special events More playground equipment or areas Additional grills, picnic tables, or picnic shelters More recycling containers Additional formal landscaping (i.e. flower beds and gardens) Skatepark More quiet, passive, unprogrammed spaces Other Please provide any comments or suggestions regarding Pocket Parks (O’Neal Spur, Eaglebend, Wildridge) in Avon. Indicate which statement best describes your opinion on portable toilets in Harry A. Nottingham Park. Indicate which statement best describes your opinion on open container and public alcohol consumption in Harry A. Nottingham Park. How often do you visit the West Avon Preserve? How do you use the West Avon Preserve? Are you familiar with the Eagle County Climate Action Plan? 970-748-4065 ddempsey@avon.org TO: Honorable Mayor Amy Phillips and Council members FROM: Danita Dempsey, CASE Manager RE: Resolution 24-12 Authorizing and supporting a National Endowment of the Arts (NEA) Our Town grant application for the cultural and arts activation project DATE: March 15, 2024 SUMMARY: Resolution 24-12 is presented for the Council’s consideration which supports a grant application for culture and arts planning. This Resolution is required to submit a grant application to the National Endowment of the Arts (“NEA”) Our Town grant program for a Cultural & Arts Activation Project. This project will provide financial support to hire a consultant that would assist with stakeholder outreach, community input and preparing a community-based culture and arts plan document. See ATTACHMENT A: Briefing Sheet for more information on the grant proposal. BACKGROUND: The Department Goals for 2024 includes: Research Cultural Plans: Gather cultural plans and information from peer communities, conduct networking and site visits. Facilitate discussions with CASE regarding what is appropriate and feasible for Avon without creating redundancy with current cultural offerings in the Vail Valley. Staff is conducting this work in-house in 2024. We expect to be in a position in 2025 to hire a consultant to assist with stakeholder outreach, community input, and development of Cultural and Arts Plan document that includes goals and strategies. Staff identified NEA as a source for grant awards to support this effort. The eligible uses for the funding include cultural planning, cultural district planning, creative asset mapping and public art planning. The NEA grant requires a 50% local match. Staff is proposing that Council support this grant application for $50,000 and the Town’s local match contribution of $50,000 in 2025, for a $100,000 planning project. The Our Town Grant also requires the local government entity to partner with a nonprofit arts organization. We have designated the Vail Valley Art Guild (“VVAG”). VVAG supports this grant application and proposed planning project. FINANCIAL CONSIDERATIONS: The Our Town grants range from $25,000 up to $150,000 and require a 1:1 nonfederal match. Staff has researched recent cultural and arts planning projects in other communities and believes $100,000 is an appropriate budget. The grant application would be submitted this summer, and the notice of grant awards is in the spring of 2025. A consultant would be selected through Request for Proposal process. The actual planning project is expected to commence in fall of 2025 and run through summer of 2026. The grant match of $50,000 would be included in the 2025 Budget so no budget amendment is required at this time. TOWN MANAGER RECOMMENDATION: I recommend approving Resolution 24-12. This NEA grant would provide additional funding for development of a culture and arts plan. PROPOSED MOTION: “I move to approve Resolution No. 24-12, authorizing and supporting the National. Endowment of the Arts (NEA) Our Town Gran application for the Cultural & Arts Activation Project” Thank you, Danita ATTACHMENT A - Briefing Sheet ATTACHMENT B - Resolution No. 24-12 ATTACHMENT A Avon Cultural & Arts Activation Project Avon and the Vail Valley Art Guild to Create a Cultural and Arts Strategic Plan Avon, Colorado, and the Vail Valley Art Guild (VVAG) seek $50,000 in NEA Our Town funding with a $50,000 local match to create Avon’s Cultural and Arts Strategic Plan, to nurture and grow Avon’s burgeoning arts community. The Cultural & Arts Activation Project will help guide Avon with planning and decision-making regarding cultural and arts initiatives to improve creative placemaking, quality of life and support local economic development. The Cultural and Arts Strategic Plan will focus and bolster Avon’s efforts to provide arts and culture-related infrastructure, services, funding, and programming. A diverse group of stakeholders including residents, businesses, artists and arts organizations will be invited to participate in the planning process and future implementation of projects. Avon, known as the Heart of the Valley, is flanked by world-renown ski resorts, in Vail and Beaver Creek. The Avon resident community of 6,500+ and visitor population of 3,500+ enjoys access to outstanding concerts, festivals and a newly developed and inspiring public art program. The artistic area of Avon’s cultural and arts activity is located between the Town’s civic center and commercial core and is connected to parks and recreation amenities via the pedestrian mall. The Avon Performance Pavilion, located in the center of Harry A. Nottingham Park, is the community’s main entertainment venue for concerts, cultural events, and public gatherings. Community members can delight in an array of dynamic and diverse events such as the AvonLIVE! Concert Series, the Avon Arts Celebration, Town Clean Up & Sustainability Fair, Salute to the USA, Dancing in the Park or Pride in the Park. The Town has created a digital Art Around Avon Walking Map displaying almost 50 original sculptures along the pedestrian mall and commercial core. While Avon offers a variety of artistic and cultural amenities, there is no overarching artistic vision document identifying the creative placemaking, connecting the venues or integrating the existing programming into the community. There is a desire from the town and VVAG and need for a strategic plan to define an integrative and diverse culture and arts program that will help strengthen the community with economic, physical, and social outcomes for Avon. The Partnership Avon’s vision for culture and arts includes further supporting local artists, expanding art offerings throughout the community, becoming certified as a Colorado Creative District, and offering an energetic artistic center. The Town is aware that a robust arts program needs a non-profit organization dedicated to the local arts. Therefore, Avon initiated discussions with VVAG in 2023 to relocate the non-profit to Avon. The VVAG is a 501(c)(3) formed in 2014 to create opportunities for the participation, promotion, and appreciation of the visual arts by the community in Eagle County, Colorado. In January 2024, Avon enacted the partnership and VVAG's main administrative office is now in Avon. Through Town subsidies, the art organization will increase its efforts to expand, enhance and enrich Avon's local and visiting artistic community. As this partnership blooms, the VVAG and the Town will collaborate with cultural leaders and the artistic community, to create vibrancy. This partnership will foster additional art activations, programs, and installations; attract and retain artists; engage the public; and define Avon as an appealing, unique, and inviting artistic center creating conversations and opportunities to gather. The Project To create this vision, the Town has partnered with VVAG to produce Avon’s Cultural and Arts Strategic Plan. With NEA’s support, the project team will intertwine expanding public art and cultural activities. The proposed artistic center will be filled with vibrant local and regional creative activations and leverage our shared core values which includes sustainability. The Town and VVAG will form a multi-stakeholder Ad Hoc Committee comprising of artists, community organizations, and members of the Town’s Cultural, Arts and Special Events (CASE) Committee. This group will guide and oversee the strategic planning process and ensure a robust bi-lingual civic engagement in its creation and implementation of the plan. Collaborating with the Ad Hoc Committee and VVAG, the Town will hire an experienced cultural and arts planning firm to engage with the community on key designs and plans. The selected firm(s) shall specialize in creating cultural and arts districts, artistic hubs, district branding and marketing, and bi-lingual community engagement. This firm, or team of firms, will conduct a civic design process with the Town, VVAG, and members of the Ad Hoc Committee to create a written and web-based cultural and arts strategic plan. This plan will include an asset map, regional tourism assessment, a wayfinding signage plan, branding, leveraging, and an action plan for creating and implementing Avon’s Cultural and Arts Strategic Plan. The plan will also include strategies for strengthening the VVAG and expanding its local professional and volunteer capacity, allowing it to support the arts well into the future. Through these creative placemaking activities, Avon hopes to animate public and private spaces, improve local business viability, and bring diverse people together to celebrate, inspire, and be inspired, resulting in a vibrant destination for local citizens and visitors alike. Avon and the VVAG will integrate culture and art into the fabric of the community but need NEA support to turn this vision into a reality. Please contact Danita Dempsey, Cultural, Arts, and Special Events Manager, Town of Avon, at ddempsey@avon.org or 970-748-4065. Resolution No. 24-12 March 26, 2024 Page 1 of 1 RESOLUTION 24-12 AUTHORIZING AND SUPPORTING A NATIONAL ENDOWEMENT OF THE ARTS (NEA) OUR TOWN GRANT APPLICATION FOR THE CULTURAL AND ARTS ACTIVATION PROJECT WHEREAS, the Town of Avon (“Town”) is a political subdivision of the State of Colorado, and therefore an eligible applicant for the Our Town grant program offered by the National Endowment of the Arts (“NEA”); and WHEREAS NEA invests in arts, culture, and design projects that address health or well-being, transportation or infrastructure, or climate-related challenges with a community; and WHEREAS the Town will partner with the Vail Valley Art Guild (“VVAG”) to engage the arts community to help create an Avon’s Cultural and Arts Strategic Plan, to develop and foster additional art activations; programs and installations; attract and retain artists; engage the public, and define Avon as an appealing, unique, and inviting artistic center; and WHEREAS the Town is highly committed through cultural and arts offerings, to creative placemaking, animated public and private spaces, improving locals and business viability and bringing a diverse people together to celebrate, inspire and be inspired resulting in a vibrant destination for the Avon residents and visitor alike; and WHEREAS the Town will submit an Our Town Grant Application to request a total of $50K in NEA funding with a Town of Avon cash match of $50K for the Cultural and Arts Activation Project; and WHEREAS the Avon Town Council finds that the expansion of cultural and arts offerings will promote the health and well-being of the Avon community. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF AVON, COLORADO, THAT: Section 1. The above recitals are hereby incorporated as findings by the Town. Section 2. The Town Council of the Town of Avon supports the Our Town Grant Application and will authorize the expenditure of funds necessary to meet the terms and obligations of any grant awarded pursuant to a Grant Agreement with NEA. Section 3. If a grant is awarded, the Town of Avon hereby authorizes the Mayor or Mayor Pro Tem to sign a Grant Agreement with the NEA. ADOPTED MARCH 26, 2024, BY THE AVON TOWN COUNCIL By: ___________________________ Attest: ___________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk ATTACHMENT B 970-390-2014 ewilson@avon.org TO: Honorable Mayor Phillips and Council Members FROM: Eva Wilson, Public Works Director RE: Notice of Award – Recreation Trail Improvements DATE: March 19, 2024 SUMMARY: Staff requests Council authorization to issue a Notice of Award for the construction and repair of Avon Recreation Trails as approved in the Town of Avon 2024 Capital Projects Fund. The project will construct a new trail connector and repair trail pavement on Avon recreation trails and Eagle Valley Trails . Construction is estimated to begin on April 15, 2024, and be completed by September 2024. DISCUSSION: The project consists of the following four (4) Areas: Project Sites: 1. The first project area is in the southwest corner of Nottingham Park and will be reconstructing the trail to improve pavement conditions and accessibility. The project will extend a new leg of the recreation path west to W. Beaver Creek Blvd. along the railroad right of Way. The project includes landscaping, utility relocations, and drainage improvements. a. Schedule: Begin April 15, 2024, and completed by 1 June 2024 Project Area 1 Page 2 of 4 The remaining three project areas are asphalt repair and maintenance along existing recreation trails within the Town of Avon. The Asphalt Patching areas are located within the segments shown in blue on the map and the approximate patching locations are schematically shown with red pins. Construction Schedule and detours are to be determined. 2. Hurd Lane Rec Path: This section extends along Hurd Lane from Avon Road to Stonebridge Dr. Project Area 2 3. Eagle Valley Trail (West): This section extends from the Town Boundary to W. Beaver Creek Blvd. Project Area 3 Page 3 of 4 4. Eagle Valley Trail (Central): This section extends from W. Beaver Creek Blvd to Avon Road. Figure 1Project Area 4 The project was advertised for four weeks on Bidnetdirect.com. The Solicitation was closed on February 2nd, 2024. Two bids were received; the X-Fields bid was $902,315, Nakupuna Solutions bid was $970,503. X-Fields successfully completed Avon’s Nottingham-Puder Ditch Lining project in 2023. FINANCIAL CONSIDERATIONS: The construction contract for the Project will be funded from the 2024 Capital Projects Fund. Available CIP Project Budget $1,396,000 Construction Cost $ 902,315 Design $ 66,995 Geotechnical Testing Services $ 4,000 Construction Observations $ 5,000 Contingency (10 %) $ 90,000 Total $1,043,290 Page 4 of 4 RECOMMENDATION: Staff requests Council authorization to award the construction of the Recreation Trail Improvements Project to X-Fields in the amount of $902,315. PROPOSED MOTION: “I move to authorize the issuance of a Notice of Award for the construction of the Recreation Trail Improvements Project to X-Fields in the amount of $902,315 as approved in the Town of Avon 2024 Capital Projects Fund.” Thank you, Eva 970-390-2014 ewilson@avon.org TO: Honorable Mayor Phillips and Council Members FROM: Eva Wilson, Public Works Director RE: Notice of Award – Nottingham Rd Basin 4 Drainage Improvements DATE: March 19, 2024 SUMMARY: Staff requests Council authorization to issue a Notice of Award for the Nottingham Rd Basin 4 Drainage Improvements project as approved in the Town of Avon 2024 Capital Projects Fund. The project includes clearing and grubbing, erosion control, channel and sediment pond grading, excess material haul- off, flexamat installation, concrete weir installation, soil preparation, seeding, and asphalt driveway replacement within the project area. Construction is estimated to begin on April 15, 2024, and be completed by the end of May 2024. DISCUSSION: Nottingham Road extends along the base of a bluff and intercepts a series of nine drainage basins ranging in size from approximately 7 to 2,900 acres. The nine basins are numbered from 1 to 9 from west to east. The soils in the basins are very erodible, particularly on the steep fans of the smaller basins immediately above Nottingham Road. Road and building construction along the base of some of the fans has confined sediment-laden flows to channels resulting in channel incision, slope instability, and increased sediment transport rates within channels. Page 2 of 4 During thunderstorm events, runoff causes sediment deposition on Nottingham Road. On July 22, 2021 , a large thunderstorm produced significant flooding and erosion from the nine basins along Nottingham Road causing road closures of Nottingham Road, Interstate 70, and flooding several residences and areas around the Town of Avon. Specifically, sediment from Basin 4 conveyed across Interstate 70 resulting in closure for about 2 hours. Sediment-filled Nottingham Rd Basin 4 Page 3 of 4 Project Site: Project Site - Nottingham Rd Basin 4 Drainage Improvements The project was advertised for four weeks on Bidnetdirect.com. The Solicitation was closed on February 15, 2024. Five bids were received; the H&L Concrete bid was $349,610, Nakupuna Solutions bid was $497,929, Meridium Partners bid was $606,807, X-Fields bid was $614,218, and TRC Construction bid was $742,727. H&L Concrete has successfully completed similar projects throughout Colorado including the Town of Breckenridge. Page 4 of 4 FINANCIAL CONSIDERATIONS: The construction contract for the Project will be funded from the 2024 Capital Projects Fund. Available CIP Project Budget $400,000 Construction Cost $ 349,610 Engineering Support $ 30,000 Contingency (5 %) $ 18,000 Total $ 397,610 RECOMMENDATION: Staff requests Council authorization to award the construction of the Nottingham Road Basin 4 Drainage Improvements to H&L Concrete in the amount of $349,610. PROPOSED MOTION: “I move to authorize the issuance of a Notice of Award for the construction of the Nottingham Road Basin 4 Drainage Improvements to H&L Concrete in the amount of $349,610 as approved in the Town of Avon 2024 Capital Projects Fund.” Thank you, Eva 970.748.4021 jskinner@avon.org TO: Honorable Mayor Phillips and Council members FROM: Jena Skinner, Planning Manager RE: Community Development Fee Schedule Revisions DATE: March 26, 2024 SUMMARY: This report provides an overview of Resolution 24-11 (“Attachment A”) drafted to update the Town of Avon’s Community Development fee schedule. Last updated in December 2020, the new fee schedule reflects both fee increases and decreases to better align with current costs, as well as adjusting certain fees from a flat fee to a pass-through fee and vice versa. The new fee schedule also includes updated verbiage to provide more clarity and transparency to applicants. FEE UPDATES: Changes from the current (2020) fee schedule include: • Planning: • Increase in fee for Sign Programs, Minor Development Plans, Minor Subdivision, Temporary Use • Move Subdivision Exemption and Variance from pass-through to flat fee • Move Final Planned Unit Development (PUD) and Rezoning from pass-through to flat fee, decrease fee • Move Special Review Use from pass-through to flat fee, increase fee • Separation (and fee increase) of Major Development Plan within Town Core versus outside of Town Core, rather than separating based on number of units • Addition of Development Bonus, Landscaping, Zoning Determination fees • Addition and separation of condominium Subdivision pass-through fee to reflect cost of outside surveyor • Increase and simplification of appeal fees to remove separate fee for Town Clerk • Decrease in deposit required for Code Text Amendment • Added verbiage regarding pass-through fees • Building: • Add verbiage for Plumbing and Mechanical plan review fees when part of a larger building permit • Add verbiage to include possibility of planning review fees for building permits (when prior planning application is not necessarily required) • Staff Hourly Rates: • All Staff hourly rates have been updated to more accurately reflect the total cost for Staff time. PROCESS: Section 7.04.100 of the Avon Municipal Code, Fees, states that fees sufficient to cover the costs of administration, peer review by professionals, publication of notice and similar matters will be charged to applicants. According to Section 7.04.100, the Town Council may amend and update a Community Development Fee Schedule March 22, 2024 Page 2 of 2 schedule of fees by resolution. Chapter 15 of the Avon Municipal Code, Building and Construction, includes several references to fees being established by resolution of the Town Council. RECOMMENDATION: I recommend approving Resolution 24-11 to update the Community Development Fee Schedule. Thank you, Jena ATTACHMENT A: Resolution 24-12 Adopting an Updated Community Development Fee Schedule EXHIBIT A: Updated Community Development Fee Schedule ATTACHMENT B: 2020 Community Development Fee Schedule Resolution Form – 2024 March 26, 2024 Page 1 of 1 RESOLUTION 24-11 APPROVING THE UPDATED COMMUNITY DEVELOPMENT FEE SCHEDULE WHEREAS, the Avon Town Council (“Council”) may enact and update fee schedules involved with all application processes as stipulated in Chapter 7 and Chapter 15 of the Avon Municipal Code; and, WHEREAS, Council has determined that a revised fee schedule is necessary so that the fees more accurately the actual cost incurred by the Town of Avon for various Development applications adopt fees that reflect the cost of labor and fee practices of the Community Development Department; and, WHEREAS, the fee schedule was last adopted by Council by Resolution 20-35 Community Development Fee Schedule; and WHEREAS, Council finds that the adoption of a fee schedule which more accurately reflects the actual costs incurred by the Town for development application review under the Avon Development Code will promote the health, safety and general welfare of the Town of Avon. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF AVON that the Avon Town Council adopts the updated Community Development Fee Schedule attached hereto as Exhibit A, which shall supersede in its entirety the Community Development Fee Schedule adopted by Resolution 20-35. ADOPTED March 26, 2024, by the AVON TOWN COUNCIL By: Attest:___________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk 1 Exhibit A to Resolution 24-11 Community Development Department 100 Mikaela Way PO Box 975 Avon, Colorado 81620 Community Development Fee Schedule – Last Updated March 26, 2024 Planning Division Fees: Flat Fee Applications* Planning Application Type Flat Fee Development Plan Review Fees Minor Development Plan $250 Major Development Plan (outside of Town Core) $750 Sign Fees Sign – Minor Plan $100 Master Sign Program: Minor Amendment $250 Master Sign Program $500 Subdivision Fees Minor Subdivision (i.e. duplex split, lot consolidation, etc.) $500 Minor Subdivision – Condominium $500* - *Plus outside/3rd party surveyor fees Subdivision Exemption $500 Miscellaneous Planning Application Fees Pre-Application Review No Charge Alternative Equivalent Compliance $250 Development Bonus (Stand-Alone Application) $750 Development Bonus (if combined with another application) $325 Landscaping $100 (waived if substantial water reduction) Rezoning $1,500 Special Review Use $750 Temporary Use $250 Variance $1,000 Zoning Determination $100 *Extension to a development plan approval shall incur a fee of ½ of the development plan review fee 2 Planning Division Fees: Pass-Through Applications (per Avon Municipal Code 7.04.100) Planning Application Type Deposit Required* Development Plan Review Major Development Plan (within town core) $1,500 PUD Amendment (Minor) $650 PUD – Major $1,350 Subdivision Major Subdivision – Preliminary $1,350 Major Subdivision – Final $1,350 Miscellaneous 1041 Permit Annexation $5,000 Annexation $3,500 Appeal $500 Code Text Amendment $1,000 Comprehensive Plan Amendment $2,000 Location, Character, Extent $1,000 Vested Property Rights $2,500 *Per Section 7.04.100 of Avon Municipal Code, pass-through accounts are estimates. Unused balances will be returned, and in some cases additional fees may be incurred. Final fees are based on the hourly rate of the Staff member working on the application (see table below). Development approval will be considered void if fees are not paid in a timely manner. STAFF HOURLY RATES Director/Town Engineer $140/hour Building Official $120/hour Senior Planner/Planning Manager/Project Engineer $120/hour Planner II/Engineer II $100/hour Planner I/Engineer I $90/hour GIS Analyst $80/hour Permit Technician $60/hour Miscellaneous Administrative Fee $25/hour Town Attorney $260/hour (direct invoicing) NOTES: - Public Notification rates for newspaper and mailing (if applicable) will be at cost to Town. - Legal invoices will be routed directly to Applicants 3 BUILDING DIVISION FEES Building, Plumbing, and Mechanical Permit Fees* Total Valuation* Permit Fee $1.00 - $500 $50.00 $501 - $2,000 $50.00 for the first $500 plus $3.40 for each additional $100 or fraction thereof, to and including $2,000 $2,001 - $25,000 $76.25 for the first $2,000 plus $15.50 for each additional $1,000 or fraction thereof, to and including $25,000 $25,001 - $50,000 $391.75 for the first $25,000 plus $11.15 for each additional $1,000 or fraction thereof, to and including $50,000 $50,001 - $100,000 $710 for the first $50,000 plus $7.75 for each additional $1,000 or fraction thereof, to and including $100,000 $100,001 - $500,000 $1095 for the first $100,000 plus $6.20 for each additional $1,000 or fraction thereof, to and including $500,000 $500,001 - $1,000,000 $3,560 for the first $50,000 plus $5.25 for each additional $1,000 or fraction thereof, to and including $1,000,000 $1,000,001 and up $6,170 for the first $1,000,000 plus $4.05 for each additional $1,000 or fraction thereof *Valuation means total labor and materials cost. Building Permit Fees Continued* Building Plan Review** 65% of Building Permit Fee Plumbing Permit (with Building Permit) 15% of Building Permit Fee Mechanical Permit (with Building Permit) 15% of Building Permit Fee Plumbing or Mechanical Plan Review (with Building Permit)** 65% of Plumbing or Mechanical Permit Fee Solar PV Fee Flat fee of $500 for Residential, $1,000 for Commercial Re-Inspection Fee $100 After the fact Permit Fee 2X Total Permit Fee Plan Review Fee at Submittal** May be due at time of application submittal at the discretion of the Building Official Planning Department Review May be due at time of application submittal at the 4 discretion of the Building Official Water Tap Fee Per Avon Municipal Code section 13.08.040 Eagle River Fire Protection District Emergency Impact Fee Per Avon Municipal Code Section 3.40.100 Exterior Energy Offset Fees Per Avon Municipal Code Section 15.27 *The Building Official approves all final fee determinations. Some fees may be waived depending on the scope of work. **All plan review fees are non-refundable regardless of whether or not a permit is issued or withdrawn *** Electrical Permits and Fees are administered by the Colorado Department of Regulatory Agencies 1 Exhibit A Avon Town Council Resolution 20-35 Community Development Department 100 Mikaela Way PO Box 975 Avon, Colorado 81620 Community Development Fee Schedule – Last Updated December 8, 2020 PLANNING DIVISION FEES Planning Application Type Flat Fees Pre-Application Review No Charge Alternative Equivalent Compliance $250 Extension to Final Development Plan ½ Development Plan Review Fee Sign – Minor Plan $100 Sign - Master Sign Program (Minor) $150 Sign - Master Sign Program (Major) $300 Minor Development Plan (Residential) $75 Minor Development Plan (Commercial) $250 Major Development Plan (1-3 DUs) $425 Minor PUD Amendment $650 Administrative/Minor Subdivision $250 Temporary Use $150 Planning Application Type Pass-through Deposit Fees* PUD – Preliminary/Final $1,500 Subdivision – Exemption $500 Subdivision – Preliminary/Final $1,350 Special Review Use $500 Code Text Amendment $2,000 Comprehensive Plan Amendment $2,000 Location, Character, Extent $1,000 Major Development Plan (4+ Units) $1,500 Rezoning $2,500 Annexation $3,500 1041 Permit $5,000 Variance $1,000 Vested Property Rights $2,500 Appeal $250 + $50 to Town Clerk *Per Section 7.04.100 of Avon Municipal Code, pass-through accounts are estimates. Unused balances will be returned, and in some cases additional fees may be incurred. NOTES: - Public Notification rates for newspaper and mailing (if applicable) will be at cost to Town. - Legal invoices will be routed directly to Applicants 2 BUILDING DIVISION FEES Building, Plumbing, and Mechanical Permits Total Valuation* Permit Fee $1.00 - $500 $50.00 $501 - $2,000 $50.00 for the first $500 plus $3.40 for each additional $100 or fraction thereof, to and including $2,000 $2,001 - $25,000 $76.25 for the first $2,000 plus $15.50 for each additional $1,000 or fraction thereof, to and including $25,000 $25,001 - $50,000 $391.75 for the first $25,000 plus $11.15 for each additional $1,000 or fraction thereof, to and including $50,000 $50,001 - $100,000 $710 for the first $50,000 plus $7.75 for each additional $1,000 or fraction thereof, to and including $100,000 $100,001 - $500,000 $1095 for the first $100,000 plus $6.20 for each additional $1,000 or fraction thereof, to and including $500,000 $500,001 - $1,000,000 $3,560 for the first $50,000 plus $5.25 for each additional $1,000 or fraction thereof, to and including $1,000,000 $1,000,001 and up $6,170 for the first $1,000,000 plus $4.05 for each additional $1,000 or fraction thereof *Valuation means total labor and materials cost. Building Plan Review 65% of Permit Fee Plumbing Permit 15% of Permit Fee Mechanical Permit 15% of Permit Fee NOTES: - The Building Official approves all final fee determinations. Some fees may be waived depending on the permit type. - Re-Inspection Fee: $100 - After the fact Permit: 2x Permit Fee - Plan Review Fee at Submittal: May be due at application submittal at discretion of Building Official - Water Tap Fee: Per Avon Municipal Code Section 13.08.040 - Fire Protection/Emergency Impact Fee: Per Avon Municipal Code Section 3.40.100 - Exterior Energy Offset Fees: Per Avon Municipal Code Section 15.27 - Solar PV: $500 Max for Residential / $1,000 Max for Comm. - Electrical Permits and Fees: Administered by State of Colorado (DORA) 3 STAFF HOURLY RATES Director/Town Engineer $99/hour Building Official $82/hour Senior Planner/Project Engineer $74/hour Planner II/Engineer II $58/hour Planner I/Engineer I $52/hour GIS Analyst $65/hour Permit Technician $44/hour Town Attorney $260/hour (direct invoicing) AVON REGULAR MEETING MINUTES TUESDAY MARCH 12, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 1 1. CALL TO ORDER AND ROLL CALL The meeting was hosted in a hybrid format, in-person at Avon Town Hall and virtually via Zoom.us. Mayor Amy Phillips called the March 12, 2024, Council regular meeting to order at 5:38 p.m. A roll call was taken, and Councilors present in person were Chico Thuon, Rich Carroll, RJ Andrade, Lindsay Hardy, Ruth Stanley, Mayor Pro Tem Tamra Underwood, and Mayor Amy Phillips. They were joined by Town Manager Eric Heil, Deputy Town Manager Patty McKenny, General Government Manager Ineke de Jong, Town Attorney Nina P. Williams, Town Clerk Miguel Jauregui Casanueva, Finance Director Paul Redmond, Community Development Director Matt Pielsticker, Public Works Director Eva Wilson, Planning Manager Jena Skinner, Chief Building Official Derek Place, and Avon Police Chief Greg Daly. 2. APPROVAL OF AGENDA Video Start Time: 00:38:33 Mayor Phillips initiated the meeting with the Agenda approval process. Without further discussion, Mayor Pro Tem Underwood motioned to approve the Agenda, as presented. Councilor Stanley seconded the motion. It was approved unanimously with a 7-0 vote. 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST RELATED TO AGENDA ITEMS Video Start Time: 00:38:49 Mayor Phillips asked if there were any conflicts of interest related to the Agenda, and none were disclosed. 4. PUBLIC COMMENT Video Start Time: 00:39:03 Mayor Phillips explained that public comment can be made by participating in the meeting in person, via zoom’s video/audio, via telephone, or via email. She then clarified that the public comment section is intended for items traditionally not listed in the Agenda, and participation by members of the public is limited to 3 minutes. She added that due to a time constraint from some members of the public, she will allow for public comment related to Business Item 5.9. (Resolution 24-08: Adopting a Flag Policy) to also take place during Public Comment. She asked if there was any public comment from those present in the room or virtually and Seth Levy, resident of Gypsum, took the podium in person, both personally and on behalf of the Jewish Community Relations Council of Colorado, to state his endorsement of Option 1 in Business Item 5.9. Tim McMahon, resident of Avon, took the podium in person to speak of the Avondale residential project, continuing issues with Hoffman parking signage, asking what the town is doing to prevent pedestrian deaths on US HWY 6 and asking for the Town to work with CDOT for better regulations that improve pedestrian safety. No other public comment was made in person nor virtually. AVON REGULAR MEETING MINUTES TUESDAY MARCH 12, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 2 5. BUSINESS ITEMS 5.1. Proclamation: One Book One Valley (OBOV) 2024 (Lori A. Barnes, Director of Library Services for Town of Vail) Video Start Time: 00:42:33 Lori A. Barnes, Director of Library Services for Town of Vail, delivered a presentation related to the One Book One Valley 2024 Proclamation for the book Calling for a Blanket Dance by Oscar Hokeah. She was joined at the podium by Abigail Brezinska, Library Associate II and Programmer with the Vail Public Library. After exchanging comments on the book, Mayor Phillips read the proclamation into the record with the unanimous support of her fellow Councilors. A picture of Councilors and Library staff was captured to memorialize the event. 5.2. Resolution 24-09: Adopting 35 Miles per Hour Speed Limit Policy for Highway 6 (Town Manager Eric Heil) Video Start Time: 00:53:03 At the start of addressing this business item, Mayor Phillips spoke of the recent passing of pedestrian John ‘Jack’ Ladesic of Pennsylvania who was visiting Avon when he was a pedestrian struck in a hit-and-run accident on US HWY 6 in Avon. Town Manager Eric Heil introduced the topic of approving Resolution 24-09 related to the adoption of a 35 MPH speed limit policy for Highway 6 in Avon given it would allow the installation of pedestrian cross walks and the Town has actively sought to install pedestrian crosswalks on Highway 6 to allow residents in this area to safety cross Highway 6 to reach bus stops. He was joined at the podium by Public Works Director Eva Wilson who delivered a presentation related to budget items related to US HWY 6 safety and mobility improvements at Avon. Town Manager Eric Heil then responded to selected public comment relative to what Town Staff is doing to address the issue of pedestrian safety on US HWY 6 in Avon. He updated Council on his meetings with State Legislators on this issue and added they were very responsive, which has led to scheduling a meeting with CDOT to discuss Resolution 24-09 on March 13, 2024. Councilor Thuon spoke of years of pushback from CDOT and underscored that public safety should be the highest priority. He added that 35 MPH on US HWY 6 is paramount and wants it done, no matter what it takes. Councilor Andrade added that the timeline presented is appreciated but the stop light included in Ms. Wilson’s presentation will not slow down speeds on US HWY 6. Mayor Phillips highlighted the recommendation of Town Manager Heil that there needs to be a letter writing campaign to local legislators to update the mission and vision of CDOT to include the health and safety of pedestrians. She added the change in speeds on US HWY 6 takes place at the State House. Councilor Hardy also raised the concern that there are no sidewalks in key areas on US HWY 6, and asked that this issue also be brought up, as it relates to the Eagle Vail and Avon neighborhood. AVON REGULAR MEETING MINUTES TUESDAY MARCH 12, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 3 Councilor Thuon spoke in support of a 35 MPH Resolution, including the roundabout and coming up with the means to pay for it. Councilors Stanley and Hardy joined this position. Councilor Carroll spoke in support of the 35 MPH resolution, regardless of roundabout or crosswalks. Councilor Andrade joined him and suggested the possibility of just keeping it at 35 MPH and not adding a crosswalk and stoplight or a roundabout to be cost conscious. Councilor Stanley asked for an update on the status of the Roundabout and was advised the project will be bidding in October of 2024. Mayor Phillips opened the floor to public comment and Tim McMahon, resident of Avon, took the podium in person to ask if Council knows Governor Polis’s personal address in Vail and could share it with the public, and if 35 MPH is all that is needed for the addition of pedestrian crosswalks. No other public comment was made in person nor virtually. After deliberations, Councilor Carroll motioned to approve Resolution 24-09, with the following corrections: (i) the second Whereas to state Prater Road and not Prater Lane; (ii) the third Whereas to state residential neighborhood and not residential development; (iii) Paragraph 1. to state Prater Road and not Prater Lane, and (iv) the correction of the date of adoption to March 12, 2024. Councilor Hardy seconded the motion. It was approved unanimously with a 7- 0 vote. 5.3. Discussion of Letter regarding change in scope of the West Vail Pass Project (Town Manager Eric Heil) Video Start Time: 01:33:12 Town Manager Eric Heil introduced the topic of approving the signing of a Letter regarding change in scope of the West Vail Pass Project. Councilor Andrade noted that a 60-million-dollar shortfall is a lot of money and he wondered if to cover this shortfall, it might impact police service or the school budgets. He cautioned to be careful what you ask for with this. Councilor Carroll asked what this item might represent in CDOT’s budget, and added the letter is a good start. Additional deliberations from Councilors reflected on the importance of the West Vail Pass Project to the mountain communities and ski towns. Mayor Phillips opened the floor to public comment and no public comment was made in person nor virtually. After deliberations, Mayor Pro Tem Underwood motioned to approve the Letter. Councilor Stanley seconded the motion. It was approved with a 6-1 vote with Councilor Andrade voting nay. 5.4. PUBLIC HEARING: First Reading of Ordinance 24-04 Slopeside Rezoning Application (REZ23001) (Planning Manager Jena Skinner) Video Start Time: 01:42:06 Planning Manager Jena Skinner delivered a presentation related to Ordinance 24-04. A conversation among Councilors and staff ensued on rezoning in general. At the prompt of Mayor Pro Tem Underwood, Town Manager Heil spoke of the need to approve this ordinance to get water rights earmarked and secured for this redevelopment. After brief deliberations, AVON REGULAR MEETING MINUTES TUESDAY MARCH 12, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 4 Mayor Phillips opened the floor to the public hearing, and no public comment was made in person nor virtually. Councilors thanked staff for having the issue of community housing at top of mind in Avon, as evidenced by Ordinance 24-04. After deliberations, Councilor Thuon motioned to approve the first reading of Ordinance 24-04. Councilor Hardy seconded the motion. It was approved unanimously with a 7-0 vote. 5.5. PUBLIC HEARING: Second Reading of Ordinance 24-03 Amending the International Building Code to Require High Efficiency Gas Boilers (Building Official Derek Place) Video Start Time: 01:54:29 Building Official Derek Place delivered his presentation related to the approval of the second reading of Ordinance 24-03. After brief deliberations, Mayor Phillips opened the floor to the public hearing, and no public comment was made in person nor virtually. After brief deliberations, Councilor Thuon motioned to approve the second reading of Ordinance 24-03. Councilor Stanley seconded the motion. It was approved unanimously with a 7-0 vote. 5.6. Work Session: Sales Tax Exemption on Hygiene Products (Chief Financial Officer Paul Redmond) Video Start Time: 01:57:00 Chief Financial Officer Paul Redmond introduced the work session related to a Sales Tax Exemption on Hygiene Products. Unanimous consensus from Council had directed staff to move forward with this legislation to approve a sales tax exemption on hygiene products. Mayor Pro Tem Underwood asked that the Town go further and include in the 2025 budget funds to offer free hygiene products in the Town’s public facilities. Councilor Hardy thanked Tim McMahon in public attendance for bringing this issue to the forefront for Council’s attention, which she noted was a good example of collaboration between elected officials, town staff and members of the public. 5.7. Approval of Intergovernmental Agreement between the Avon DDA, Avon Station Confluence and Village Metro Districts (Town Manager Eric Heil) Video Start Time: 02:00:39 Town Manager Eric Heil introduced the topic of approving the Intergovernmental Agreement between the Avon DDA, Avon Station Confluence and Village Metro Districts. Mayor Phillips opened the floor to public comment and no public comment was made in person nor virtually. After deliberations, Councilor Thuon motioned to approve the Intergovernmental Agreement between the Avon DDA, Avon Station Confluence and Village Metro Districts. Councilor Hardy seconded the motion. It was approved unanimously with a 7-0 vote. 5.8. Work session: Website Analytics (Marketing & Communication Manager Elizabeth Wood) Video Start Time: 02:03:17 Marketing & Communication Manager Elizabeth Wood introduced the work session related to the Town’s Website Analytics. Council had no questions or comments other than asking to make the Town’s Bus Schedule more accessible to the public on the homepage. Mayor Phillips AVON REGULAR MEETING MINUTES TUESDAY MARCH 12, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 5 opened the floor to public comment and no public comment was made in person nor virtually. As this was a work session, staff received feedback and no motion was requested. 5.9. Resolution 24-08: Adopting a Flag Policy (Town Attorney Nina Williams) Video Start Time: 02:10:25 Town Attorney Nina Williams introduced the topic of approving Resolution 24-08 related to the adoption of a Flag Policy, including Options 1 and 2. Councilor Andrade noted that he was always against flying anything on Town flagpoles other than the 3 flags listed in the policy, and when he voted against the LGBTQ flag, he received a lot of negative feedback and attacks that he felt were unfair as he is a supporter of the LGBTQ community. Councilor Hardy added that it was she who first raised the issue of raising the LGBTQ flag and added that she feels bad that about the situation surrounding Israeli flag after the terrorist attack they suffered. She added she is comfortable not putting the Town in this position again, since it distracts from Town business with unnecessary flag debates. Councilor Thuon apologized to his fellow Councilors for his earlier remarks when he asked for the Israeli flag to be flown with support from his fellow Councilors. He added he felt it at the time and hopes they accept his apology, since 3 flags are great, and the Town should focus on Town business. Mayor Phillips opened the floor to public comment and Rabbi Joel D. Neuman, representing the B’Nai Vail Congregation, took the podium in person to state that they supports the 3 flag alternative proposed to avoiding future distractions with unnecessary flag debates. Tim McMahon, resident of Avon, took the podium in person to support the 3 flag alternative. No other public comment was made in person nor virtually. After deliberations, Councilor Thuon motioned to approve Resolution 24-08 with Option 1 (3 flag alternative). Councilor Hardy seconded the motion. It was approved unanimously with a 7-0 vote. 6. CONSENT AGENDA Video Start Time: 02:18:59 Mayor Phillips introduced the approval of the Consent Agenda to include the following: 6.1. Approval of Talent Agreement for 2024 AvonLIVE! Concert Series (CASE Manager Danita Dempsey) 6.2. Approval of February 27 2024, Regular Council Meeting Minutes (Town Clerk Miguel Jauregui Casanueva) 6.3. Letter of Support for Colorado Local Climate Action Accelerator Program (Town Manager Eric Heil) Without further deliberations, Councilor Thuon presented a motion to approve the Consent Agenda. Councilor Stanley seconded the motion. It was approved unanimously with a 7-0 vote. At the conclusion, Mayor Pro Tem Underwood reminded her fellow Councilors that if ever they would like to discuss an Item of the Consent Agenda, the Agenda must be amended at the beginning of the Meeting to vote on that change to the Consent Agenda. AVON REGULAR MEETING MINUTES TUESDAY MARCH 12, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 6 7. WRITTEN REPORTS 7.1. Ice Rink Update (Recreation Director Michael Labagh) ** Indicates topic will be discussed at future agenda’s 8. MAYOR AND COUNCIL COMMENTS & MEETING UPDATES Video Start Time: 02:21:00 Mayor Phillips asked Nina P. Williams to provide an update on her engagement that will include PZC and Council. Ms. Williams noted PZC will be moved to the 2nd and 4th Mondays of the month so that it takes place the evening prior to Council, and she can attend both. She added that Town is working to recruit more members to the PZC, and she and staff are now training the existing 5 members and hoping to increase members to 7. Councilor Thuon remarked the loss of local John Dinmore, national and international ski icon in the ski industry, who was in his 60s, and passed away today, and his passing reminded him to live every day to the fullest. Councilor Stanley stated she attended the Art Guild Meeting the day prior on March 11, 2024. She indicated that a sign is needed for their new space in Avon and she wants to bring it to the attention of Staff and Council. She mentioned the Art Guild at Avon would be a good option. Town Manager Eric Heil suggested Art from the Heart, which received unanimous support from Council. Mayor Phillips mentioned that tomorrow, March 13, 2024, Avon Town Hall will host the Eagle Valley Transit Authority Meeting. She invited the public to attend and mentioned they will be discussing fair free transit on US HWY 6 among other topics. 9. ADJOURN There being no further business before Council, Mayor Phillips moved to adjourn the regular meeting. The time was 7:26 p.m. These minutes are only a summary of the proceedings of the meeting. They are not intended to be comprehensive or to include each statement, person speaking or to portray with complete accuracy. The most accurate records of the meeting are the audio of the meeting, which is housed in the Town Clerk' s office, and the video of the meeting, which is available at www.highfivemedia.org. RESPECTFULLY SUBMITTED: ________________________________ Miguel Jauregui Casanueva, Town Clerk AVON REGULAR MEETING MINUTES TUESDAY MARCH 12, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 7 APPROVED: Mayor Amy Phillips ___________________________________ Tamra Underwood Ruth Stanley Lindsay Hardy RJ Andrade Rich Carroll Chico Thuon AVON PLANNING & ZONING COMMISSION MEETING ABSTRACT TUESDAY, FEBRUARY 6, 2024 PZC TRAINING: 5:00 PM PLANNING COMMISSION TRAINING AND INTRODUCTORY WORKSHOP (TOWN ATTORNEY NINA P. WILLIAMS) PUBLIC MEETING: 6:00 PM 1. CALL TO ORDER AND ROLL CALL ACTION: THE REGULAR MEETING WAS CALLED TO ORDER AT 6:06 PM BY CHAIRPERSON SEKINGER. A ROLLCALL WAS TAKEN, AND PLANNING COMMISSIONERS BRAD CHRISTIANSON, OLIVIA COOK, BILL GLANER, AND ANTHONY SEKINGER WERE PRESENT. ALSO PRESENT WERE COMMUNITY DEVELOPMENT DIRECTOR MATT PIELSTICKER, AICP, PLANNING MANAGER JENA SKINNER, AICP, TOWN ATTORNEY NINA WILLIAMS, AND TOWN MANAGER ERIC HEIL. COMMISSIONERS TOM SCHAEFER AND KEVIN HYATT WERE NOT IN ATTENDANCE. 2. APPROVAL OF AGENDA ACTION: COMMISSIONER CHRISTIANSON MADE A MOTION TO APPROVE THE AGENDA. COMMISSIONER COOK SECONDED THE MOTION, AND THE MOTION PASSED UNANIMOUSLY, 4-0. 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST OR EX PARTE COMMUNICATION RELATED TO AGENDA ITEMS NONE 4. PUBLIC HEARINGS 4.1. NONE 5. CONSENT AGENDA ACTION: COMMISSIONER GLANER MADE A MOTION TO APPROVE THE CONSENT AGENDA. COMMISSIONER CHRISTIANSON SECONDED THE MOTION, AND THE MOTION PASSED UNANIMOUSLY, 4-0. 5.1. FEBRUARY 6, 2024, PLANNING AND ZONING C OMMISSION MEETING MINUTES 5.2. RECORD OF DECISION TMP24001 5.3. RECORD OF DECISION REZ23001 6. FUTURE MEETINGS 6.1. MARCH 25, 2024 (MONDAY) 6.2. APRIL 8, 2024 (MONDAY) 7. STAFF UPDATES 7.1. CPA23001 COMP PLAN AMENDMENT 7.2. EAGLEBEND POCKET PARK UPDATE 7.3. AVON SKATE PLAZA UPDATE 7.4. PZC BOARD – POSITIONS (REMINDER) 8. ADJOURN ACTION: THE MEETING WAS ADJOURNED AT 6:18PM ___________________________________________________________________________________ THESE MEETING NOTES ARE ONLY A SUMMARY OF THE PROCEEDINGS OF THE MEETING. THEY ARE NOT INTENDED TO BE COMPREHENSIVE OR TO INCLUDE EACH STATEMENT, PERSON SPEAKING OR TO PORTRAY WITH COMPLETE ACCURACY. THE MOST ACCURATE RECORDS OF THE MEETING ARE THE AUDIO RECORDING OF THE MEETING, WHICH CAN BE OBTAINED FROM THE TOWN CLERK’S OFFICE BY SUBMITTING A PUBLIC INFORMATION REQUEST. RESPECTFULLY SUBMITTED: Matt Pielsticker 970-748-4044 dstockdale@avon.org TO: Honorable Mayor Amy Philips and Council Members FROM: Dean Stockdale, Senior Accountant RE: Financial Report – February & January 2024 data DATE: March 14th, 2024 SUMMARY: This report presents the revenues for sales, accommodations, tobacco and cigarette, and short-term rental tax for January 2024 and the recreation fees and real estate transfer tax revenues for February 2024. BACKGROUND: The percentage variance, or comparative change is reflected in the analysis portion of this report in respect to each individual section for January revenues in 2024 and February 2024. Tax revenues are not budgeted on a monthly basis; however, for purposes of analysis, monthly budget variances are based on a 3-year average of actual revenues. REVENUE ANALYSIS: Sales Tax: Revenues – January 2024: January sales tax revenues totaled $1,277,672. This is a decrease of $9,150 or 0.71% compared to January 2023 sales tax revenue of $1,286,822. JANUARY 2023 v JANUARY 2024 SALES TAX COMPARISON BY INDUSTRY January 2023 January 2024 Increase/Decrease Home/Garden $57,354.20 $67,420.99 $10,066.79 Grocery/Specialty/Health $225,827.11 $278,123.96 $52,296.85 Sporting Goods Retail/Rental $167,187.58 $164,508.71 ($2,678.87) Miscellaneous Retail $27,022.34 $29,846.36 $2,824.02 Accommodations $329,800.40 $292,306.49 ($37,493.91) Restaurants/Bars $236,711.49 $246,569.43 $9,857.94 Other $7,997.56 $9,760.85 $1,763.29 Service Related $23,350.56 $26,008.01 $2,657.45 Liquor Stores $41,068.20 $29,532.69 ($11,535.51) E-Commerce Retail $96,708.31 $78,335.87 ($18,372.44) Manufacturing/Wholesale $22,262.23 $12,437.07 ($9,825.16) Construction Related Services $43,655.71 $34,521.62 ($9,134.09) Digital Media Suppliers/Sellers $6,333.38 $7,291.77 $958.39 Commercial/Industrial Equipment $1,156.79 $1,008.22 ($148.57) Special Events $386.96 $0.00 ($386.96) TOTAL $1,286,822.82 $1,277,672.04 ($9,150.78) Page 2 of 11 Sales Tax: January 2024 Budget v Actual Collections: January 2024 sales tax revenues totaled $1,277,672. This is an increase of $15,127 over the January 2024 estimates of $1,262,544. This is 1.20% below the adopted 2024 budget (based on a 3-year average). JAUARY 2024 BUDGET v ACTUAL COLLECTIONS - SALES TAX 2024 Budget 2024 Actual Dollar Variance Percentage Variance January $1,262,544.95 $1,277,672.04 $15,127.09 1.20% 841,459.85 920,624.77 1,171,213.65 1,286,822.82 $1,277,672.04 9.41% 27.22% 9.87% -0.71% $300,000 $500,000 $700,000 $900,000 $1,100,000 $1,300,000 $1,500,000 $1,700,000 $1,900,000 $2,100,000 2020 2021 2022 2023 2024 2020-2024 January Sales Tax Revenue Trend Page 3 of 11 Accommodation Tax: Revenues – January 2024: Accommodation tax revenues totaled $283,259 for the month of January. This is a decrease of $65,136 or 18.70% compared to January 2023 accommodation tax revenues, which totaled $348,396. Accommodation tax collections by industry type for January 2024 compared to January 2023 reported a decrease for Hotels, Vacation Rentals and Timeshares. JANUARY 2023 v JANUARY 2024 ACCOMMODATION TAX COMPARISON BY INDUSTRY January 2023 January 2024 Increase/(Decrease) Timeshares $46,890.89 $45,811.48 ($1,079.41) Hotels $144,902.21 $101,297.98 ($43,604.23) Vacation Rentals $156,603.27 $136,150.28 ($20,452.99) TOTAL $348,396.37 $283,259.74 ($65,136.63) January 2024 Budget v Actual Collections: January 2024 accommodation tax revenues totaled $283,259. This is a decrease of $13,140 over the January 2024 estimates of $296,400. This is 4.43% below the adopted 2024 budget (based on a 3-year average). JANUARY 2024 BUDGET v ACTUAL COLLECTIONS - ACCOMMODATIONS TAX 2024 Budget 2024 Actual Dollar Variance Percentage Variance January $296,400.14 $283,259.74 ($13,140.40) (4.43%) 188,669 143,214 322,277 348,396 283,260 -24.09% 125.03% 8.10% -18.70% $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 2020 2021 2022 2023 2024 2020-2024 January Accommodation Tax Revenue Trend Page 4 of 11 Short Term Rental Tax for CH: Revenues – January 2024: STR Tax for Community Housing totaled $138,363 for the month of January. This is a decrease of $21,393 or 13.4% compared to January 2023. The Westin Hotel is classified as a hotel in our MuniRevs system, although they are zoned as residential. JANUARY 2023 v JANUARY 2024 STR TAX FOR CH COMPARISON BY INDUSTRY January 2023 January 2024 Increase/(Decrease) Timeshares $23,445.45 $22,905.74 ($539.71) Hotels $60,995.60 $50,648.99 ($10,346.61) Vacation Rentals $75,315.62 $64,808.67 ($10,506.95) TOTAL $159,756.67 $138,363.40 ($21,393.27) Tobacco & Cigarette Tax: Revenues – January 2024: Tobacco tax revenues totaled $35,463 and cigarette tax revenues totaled $20,187 for January 2024. Compared to January 2023 revenues, this is an increase of $2,271 for tobacco tax revenues, which totaled $33,191 and a decrease of $35 for cigarette tax revenues, which totaled $20,221. 12,926 31,289 31,099 33,192 35,463 142.05%-0.61%6.73% 6.84% - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 2020 2021 2022 2023 2024 2020-2024 January Tobacco Tax Revenue Trend Page 5 of 11 January 2024 Adopted Budget v Actual Collections: January 2024 tobacco and cigarette tax revenues totaled $35,463 and $20,187, respectively. This is an increase of $1,883, over the January 2024 budget for tobacco tax, which is $33,579 and an increase of $1,220 over the January 2024 budget for cigarette tax estimates, which is $18,966 which is based on a 3-year average. JANUARY 2024 BUDGET v ACTUAL COLLECTIONS - TOBACCO AND CIGARETTE TAX REVENUES 2024 Budget 2024 Actual Dollar Variance Percentage Variance Tobacco $33,579.68 $35,463.06 $2,271.17 5.61% Cigarettes $18,966.89 $20,187.00 $1,220.11 6.43% Total $3,491.28 17,253 20,706 18,039 20,222 20,187 20.01% -12.88% 12.10% -0.17% - 5,000 10,000 15,000 20,000 25,000 2020 2021 2022 2023 2024 2020-2024 January Cigarette Excise Tax Revenue Trend Page 6 of 11 Real Estate Transfer Tax: Revenues – February 2024: February 2024 real estate transfer tax totaled $1,098,868. Compared to February 2023, which totaled $496,871, this is an increase of $601,996. This is an increase of $307,309 over the February 2024 budget which was based on a 3-year average. The favorable real estate transfer tax was primarily due to sales from the Frontgate project. FEBRUARY 2024 BUDGET v ACTUAL COLLECTIONS – REAL ESTATE TRANSFER TAX REVENUES 2024 Budget 2024 Actual Dollar Variance Percentage Variance Real Estate Transfer Tax $791,559.19 $1,098,868.28 $307,309.09 38.82% $388,026 $362,428 $887,387 $496,871 $1,098,868 -6.60% 144.84% -44.01% 121.16% $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 2020 2021 2022 2023 2024 Real Estate Transfer Tax February Revenue Trends Page 7 of 11 Recreation Center Fees: Revenues – February 2024 Admissions & Program Fees: Recreation admission revenues for February 2024 totaled $109,125 is an increase of $12,150 compared to February 2023 which totaled $96,974. This is $37,710 above the adopted 2024 budget estimates of $71,414. Recreation program fee revenues for February 2024 totaled $28,983. This is an increase of $3,822 compared to 2023, which totaled $25,160 This is $8,009 above the adopted 2024 budget estimates, which is $20,973 which is calculated based on a 3-year average. $25,526 $18,774 $16,643 $25,161 $28,983 -26.45%-11.35% 51.18% 15.19% $0 $5,000 $10,000 $15,000 $20,000 $25,000 $30,000 $35,000 2020 2021 2022 2023 2024 Recreation Program Fees February Revenue Trends 70,588 29,929 75,174 96,975 109,125 -57.60% 151.18% 29.00% 12.53% - 20,000 40,000 60,000 80,000 100,000 120,000 2020 2021 2022 2023 2024 Recreation Admissions February Revenue Trends Page 8 of 11 Tax Revenue Comparison – 2023 v 2024: All revenues except for Accommodations Tax and STR Tax for CH are reporting an increase for 2023 compared to 2022. Below is a table which reflects the dollar change and percentage variance. Adopted Budget 2023 v Actual 2024: All revenues except for Accommodations Tax reflect a positive variance over the 2024 budget. Below is a table which reflects the dollar change and percentage variance. 2023 v 2024 Annual Revenue Comparison 2023 2024 Dollar Variance Percentage Variance Sales Tax $1,286,822.82 $1,277,672.04 ($9,150.78) (0.71%) Acc. Tax $348,396.37 $283,259.74 ($65,136.63) (18.70%) STR Tax for CH $159,756.67 $138,363.40 ($21,393.27) (13.39%) Tobacco Tax $33,191.89 $34,463.06 $2,271.17 6.84% Cigarette Tax $20,221.50 $20,187.00 ($34.50) (0.17%) Rec Admissions $200,305.75 $225,672.40 $25,366.65 12.66% Rec Program Fees $61,463.93 $54,294.54 ($7,169.39) (11.66%) TOTAL $2,110,158.93 $2,033,912.18 ($76,246.75) (3.61%) 2024 Revenue Comparison – Budget v Actual Budget Actual Dollar Variance Percentage Variance Sales Tax $1,262,544.95 $1,277,672.04 $15,127.09 1.20% Acc. Tax $296,400.14 $283,259.74 ($13,140.40) (4.43%) STR Tax for CH $151,235.96 $138,363.40 ($12,872.56) (8.51%) Tobacco Tax $33,579.68 $35,463.06 $1,883.38 5.61% Cigarette Tax $18,966.89 $20,187.00 $1,220.11 6.43% Rec Admissions $144,995.26 $225,672.40 $80,677.14 55.64% Rec Program Fees $47,673.07 $54,294.54 $6,621.47 13.89% TOTAL $1,824,895.95 $2,033,912.18 $209,016.23 11.45% Page 9 of 11 Real Estate Transfer Tax: Revenues YTD 2024 BUDGET/PRIOR YEAR v ACTUAL COLLECTIONS – REAL ESTATE TRANSFER TAX REVENUES 2024 Budget 2024 Actual Dollar Variance Percentage Variance Real Estate Transfer Tax $1,019,922.12 $1,475,129.13 $455,207.01 44.63% 2023 Actual 2024 Actual Dollar Variance Percentage Variance Real Estate Transfer Tax $628,518.36 $1,475,129.13 $846,610.77 134.70% New and Renewed Business and STR Licenses – 2023 v 2024: The total number of 2024 business licenses issued through February was 185. This was down 11 licenses or 5.6% from February 2023. The total number of STR licenses issued through February 72. Compared to February 2023 the STR licenses were down 27 licenses or 27.3%. 2024 v 2023 – Business and STR Licenses Period 1/1 – 2/29 2024 2023 License Variance Percentage Variance Business License - Vendor 136 151 (15) (9.9%) Business License – Fixed Location 36 33 3 9.1% Business License – Home Occupation 12 11 1 9.1% Business License – Special Event 0 0 0 0 TOTAL BUSINESS LICENSES 184 195 (11) (5.6%) STR License 72 99 (27) (27.3%) Page 10 of 11 - 20.00 40.00 60.00 80.00 100.00 120.00 140.00 160.00 Business License - Vendor Business License - Fixed Location Business License - Home Occupation Business License - Special Event Business Licenses Issued 1/1 -2/29 2022 2023 2024 0 20 40 60 80 100 120 STR License STR Licenses Issued 1/1 -2/29 2022 2023 2024 Page 11 of 11 EXPENDITURES: FEBRUARY 2024 General Fund YTD Actuals v 2024 Budget: General Fund expenditures through February 2024 total $3,177,724 which is 12.20% of the total adopted budget. These expenditures include all wages, health benefits, events, computer services, operating cost, legal services, and utilities. Mobility Fund YTD Actuals v 2024 Budget: Mobility Fund expenditures through February 2024 total $267,492 which is 6.96% of the total adopted budget. These expenditures include the cost for wages, health benefits, consulting services, utilities, and bike share program. Fleet Maintenance YTD Actuals v 2024 Budget: Fleet Maintenance expenditures through February 2024 total $213,343 which is 9.78% of the total adopted budget. These expenditures include wages, health benefit, fuel, vehicle maintenance, utilities, equipment, and operating supplies. Capital Projects Fund YTD Actuals v 2024 Budget: The Capital Improvement expenditures through February 2024 total $319,609 which is 3.25% of the total adopted budget. These expenditures were made up of primarily West BC Blvd. street improvements project. Thank you, Dean