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TC Packet 06-11-2024_____________________________________________________________________________________ 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 TUESDAY, June 11, 2024 MEETING BEGINS AT 5:00 PM (ALL START TIMES LISTED IN RED ARE APPROXIMATE) Hybrid meeting; in-person at Avon Town Hall or virtually through Zoom Zoom registration is on the header at Avon.org COUNCIL FIELD TRIP / SITE VISIT OF EAST AVON PRESERVE 3:45 PM AVON LIQUOR LICENSING AUTHORITY MEETING BEGINS AT 5:00 PM (See Agenda on page 3) AVON TOWN COUNCIL PUBLIC MEETING BEGINS AT 5:05 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. Presentation: Castle Peak Senior Life and Rehab Update (Castle Peak Executive Director and Administrator, Shelly Cornish) 5.2. Resolution 24-18: Adopting the Eagle River Community Water Plan (Sustainability Coordinator Sarah Smith Hymes and Eagle River Coalition Executive Director James Dilzell) 5.3. PUBLIC HEARING: First Reading Ordinance 24-09: REZ24001; Rezoning of the East Avon Preserve to Community Housing (Planning Manager Jena Skinner) 5.4. Work Session: Use Tax Voter Polling questions (Chief Financial Officer Paul Redmond) 5.5. PUBLIC HEARING: Second Reading Ordinance 24-10 Elections Code Update (Town Clerk Miguel Jauregui Casanueva) 5.6. First Reading Ordinance 24-11: Amendments to Town Code on Primary Residence RETT Exemptions (Financial Analyst Chase Simmons) 5.7. Work Session: Sun Rd / East Avon Redevelopment Plans (Community Development Director Matt Pielsticker) 5.8. Work Session: Old Town Hall Site Update (Town Manager Eric Heil) 6. CONSENT AGENDA 6.1. Approval of Intergovernmental Agreement with Colorado Department of Transportation for bus lift grant (Mobility Manager James Shoun) 6.2. Approval of Amendment to the Town Manager Employment Agreement (Mayor Amy Phillips) 6.3. Approval of May 28, 2024 Regular Council Meeting Minutes (Town Clerk Miguel Jauregui Casanueva) 7. WRITTEN REPORTS 7.1. Draft May 20 Finance Committee Meeting Minutes (Chief Administrative Officer Ineke de Jong) 7.2. Draft May 21 Health & Recreation Committee Meeting Minutes (Recreation Aquatics Superintendent Kacy Carmichael) _____________________________________________________________________________________ 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. 7.3. Grants Update (Deputy Town Manager Patty McKenny) 7.4. Colorado Creative Industries 2024 Summit Update (CASE Manager Danita Dempsey) 8. MAYOR AND COUNCIL COMMENTS & MEETING UPDATES 9. ADJOURN 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. AVON LIQUOR LICENSING AUTHORITY MEETING AGENDA TUESDAY, JUNE 11, 2024 MEETING BEGINS AT 5:00 PM Hybrid meeting; in-person at Avon Town Hall or virtually through Zoom 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 [AN INITIAL THREE (3) MINUTE LIMIT ALLOWED TO EACH PERSON WISHING TO SPEAK. SPEAKER MAY REQUEST MORE TIME AT THE END OF THE THREE (3) MINUTES, WHICH MAY BE APPROVED BY A MAJORITY OF THE COUNCIL .] 5. PUBLIC HEARING FOR A SPECIAL EVENTS LIQUOR PERMIT 5.1. APPLICANT NAME: WALKING MOUNTAINS SCIENCE CENTER EVENT: A TASTE OF NATURE DATE AND TIME: 5:30 PM – 10:30 PM ON JULY 9, 2024 LOCATION: 318 WALKING MOUNTAINS LANE TYPE: SPECIAL EVENT PERMIT MANAGER: SHERRI HAHN 6. APPROVAL OF THE MINUTES FROM MAY 14, 2024 LIQUOR LICENSING AUTHORITY MEETING (DEPUTY TOWN CLERK BRENDA TORRES) 7. WRITTEN REPORT 7.1. REPORT ON RECENT ADMINISTRATIVE APPROVALS (DEPUTY TOWN CLERK BRENDA TORRES) 7.2. EIN PROSIT FINE BEERS AND SAUSAGES UPDATE (DEPUTY TOWN CLERK BRENDA TORRES) 8. ADJOURNMENT 970-748-4022 btorres@avon.org TO: Avon Liquor Licensing Authority FROM: Brenda Torres, Deputy Town Clerk RE: PUBLIC HEARING for Special Event Permit Application - A Taste of Nature DATE: May 29, 2024 SUMMARY: The Walking Mountains Science Center, as the Applicant, is applying for malt, vinous, spirituous liquor permit to serve/sell beverages at the A Taste of Nature special event on July 9, 2024. The Applicant has submitted materials required by the State of Colorado Liquor Enforcement Division and all materials are in order. Documents are on file in the Town Clerk’s office. The 318 Walking Mountains Lane premises have been posted with notice of the public hearing for this application, and no public comments were received. The event manager will be present to answer questions about the application and the event. The Applicant has adequate proof of commercial liability insurance that meets Town requirements and has obtained any other permit needed for this event. Background checks show no previous failure by the Applicant to comply with Special Event Permit laws and fewer than 15 special event permits issued to the Applicant this calendar year. BACKGROUND: Special events permits are issued by the Local Licensing Authority to allow particular types of organizations, municipalities, and political candidates to sell, serve or distribute alcohol beverages in connection with public events. Avon has adopted the lo cal option whereby applications are made directly to the Avon Local Licensing Authority. Special event permits may only be issued for prescribed hours on a single day. An entity may receive a maximum of 15 special event permits per calendar year. There is no required finding for the issuance of a special event permit. Section 44-5-106, C.R.S., states the grounds for denial of a special event permit application as follows: “The state or local authority may deny the issuance of a special event permit upon the grounds that the issuance would be injurious to the public welfare because of the nature of the special event, its location within the community, or the failure of the applicant in a past special event to conduct the event in compliance with applicable laws.” ACTION BEFORE THE LOCAL LIQUOR LICENSING AUTHORITY: The Town Council, acting as the Local Liquor Licensing Authority, will consider a Special Events Permit Application for the upcoming A Taste of Nature special event. A public hearing is required before final action is taken. Applicant Name: Walking Mountains Science Center Event Name: A Taste of Nature Event Date: July 9, 2024 5:30 p.m. – 10:30 p.m. Location: 318 Walking Mountains Lane Event Manager: Sherri Hahn Permit Type: Special Events Permit -Malt, Vinous & Spirituous Liquor Page 2 of 2 PROPOSED MOTION: “I move to approve (or deny based upon statutory grounds for denial) the Special Events Permit application for the A Taste of Nature special event on July 9, 2024 from 5:30 p.m. to 10:30 p.m.” Thank you, Brenda SPECIAL EVENTS PERMIT APPLICATION ATTACHMENTS: The Applicant for the special event permit has submitted the following materials: ✓ Attachment A: Application for a Special Event Permit (State form DR 8439) ✓ Attachment B: Alcohol Management Plan ✓ Attachment C: Diagram Attachment A Attachment B Attachment C AVON LIQUOR LICENSING AUTHORITY MEETING MINUTES TUESDAY, MAY 14, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL OR VIRTUALLY THROUGH ZOOM Page 1 1. CALL TO ORDER AND ROLL CALL The meeting was hosted in person and virtually, via Zoom.us. Chair Amy Phillips called the Avon Liquor Licensing Authority Meeting to order at 5:00 p.m. A roll call was taken, and Board Members present in person were Rich Carroll, Lindsay Hardy, Board Vice Chair Tamra Underwood, and Chair Amy Phillips. Board members Chico Thuon, RJ Andrade, and Ruth Stanley were absent. Also present in person were Town Manager Eric Heil, Deputy Town Manager Patty McKenny, Erica Romberg in representation of Town Attorney Nina Williams, Chief of Police Greg Daly, Chief Administrative Officer Ineke de Jong, and Deputy Town Clerk Brenda Torres. 2. APPROVAL OF AGENDA Video Start Time: 00:01:04 Chair Phillips initiated the meeting with the agenda approval process. No changes were made to the agenda. Vice Chair Underwood moved to approve the Liquor Licensing Authority Agenda as presented. Board member Hardy seconded the motion. The motion was approved with a 4-0 vote of those present. 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST RELATED TO AGENDA ITEMS Video Start Time: 00:01:21 Chair Phillips asked if there were any conflicts of interest related to the Agenda, and none were disclosed. 4. PUBLIC COMMENT – COMMENTS A RE WELCOME ON ITEMS NOT LISTED ON THE FOLLOWING AGENDA Video Start Time: 00:01:36 Chair Phillips explained that public comments can be made by participating in the meeting in person, via zoom’s video/audio, via telephone, or via email. She clarified that the public comment section is intended for items not listed in the agenda, and participation by members of the public is limited to 3 minutes. She asked if there was any public comment from those present in the room or virtually, and no public comments were made. 5. PUBLIC HEARING FOR A SPECIAL EVENTS LIQUOR PERMIT Video Start Time: 00:01:58 5.1. Applicant Name: Education Foundation of Eagle County Event: Evening of Stars Date and Time: May 31, 2024, 5:00 pm – 9:30 pm Location: 1 Lake Street – Harry A. Nottingham Park/Pavilion Type: Special Event Permit Manager: Tessa Kirchner AVON LIQUOR LICENSING AUTHORITY MEETING MINUTES TUESDAY, MAY 14, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL OR VIRTUALLY THROUGH ZOOM Page 2 The Manager of the event, Tessa Kirchner, was present in person to talk about this application and to respond to any Council questions. She said this is the 35th year they are celebrating educators in our community, and she thanked the Town of Avon for facilitating the venue for the 4th year for all Eagle County School District staff. She mentioned they are doing a raffle to support this event. Deputy Town Clerk Brenda Torres mentioned that the fee for this application has been paid and that public notices were posted, with no public comments received. Chair Phillips opened the public hearing and asked if there was any public comment from those present in the room or virtually. No public comments were made. Vice Chair Underwood asked the applicant how they had controlled uninvited people with no fence barrier showing it is a private event. Wendy responded that everyone is welcome, and that they invite not only the ECSD staff, but also their families and friends. She invited everyone in the room to join them at this fun event. Board Member Carroll moved to approve the Special Events Permit application for the Evening of Stars special event on May 31, 2024 from 5:00 p.m. to 9:30 p.m. Board member Hardy seconded the motion. The motion was approved with a 4-0 vote of those present. 6. PUBLIC HEARING FOR A RETAIL ESTABLISHMENT LIQUOR PERMIT Video Start Time: 00:08:06 6.1. Applicant Name: Vail Valley Art Guild Location: 137 Benchmartk Road #C2 Manager: Melissa Nelson President Melissa Nelson and Vice President Lynn Feiger of the Vail Valley Art Guild were present in person. Melissa mentioned the poster for the public hearing was posted at the premises and talked about the new art gallery. Chair Phillips asked about the process if the applicant would like to add new dates. Deputy Town Clerk Brenda Torres said no more than 24 days in a year are allowed, and only 14 are included in this application; however, if they need to add any date or make any modification on the approved dates, they need to notify the Town Clerk’s office in writing at least 15 days in advance. This can be approved administratively and then sent to the State. Chair Phillips asked the applicant about the management plan. Chair Phillips opened the public hearing and asked if there was any public comment from those present in the room or virtually. No public comments were made. Vice Chair Underwood moved to approve the Retail Establishment Liquor Permit application for the Vail Valley Art Guild for the dates listed in the application. Board member Hardy seconded the motion. The motion was approved with a 4-0 vote of those present. AVON LIQUOR LICENSING AUTHORITY MEETING MINUTES TUESDAY, MAY 14, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL OR VIRTUALLY THROUGH ZOOM Page 3 7. PUBLIC HEARING FOR A NEW (CHANGE OF CLASS) FERMENTED MALT BEVERAGE AND WINE OFF PREMISES (CITY) LIQUOR LICENSE Video Start Time: 00:16:19 7.1. Applicant Name: Maverik, Inc d/b/a Maverik, Inc #689 Location: 240 Wagon Trail Road Type: Fermented Malt Beverage and Wine Off Premises (City) Manager: Jamina Plett Deputy Town Clerk Brenda Torres introduced this item with a PPT presentation with the summary of this application and the process of this reclassification. She explained that the State and the Town Clerk’s office agreed on waiving the 30-day requirement to hold a hearing for a new license, allowing the materials included in the original liquor license application to be reused, and allowing the store to continue the temporary sale of beer and wine until the process of liquor license reclassification is completed. She confirmed that the Report of Findings and all materials previously submitted on the last approval on July 25, 2023, remain unchanged, and said public notices were posted on the premises and the Vail Daily, with no public comments received. Jamina Plett, Manager of the store, was present in person and Utahna Archuleta, Licensing Manager for Maverik Inc, was present via Zoom. Chair Phillips opened the public hearing and asked if there was any public comment from those present in the room or virtually. No public comments were made. Vice Chair Underwood moved to approve Liquor Licensing Authority Resolution 24-01, Approving the application of Maverik, Inc d/b/a Maverik, Inc #689 for a New Colorado Retail Fermented Malt Beverage and Wine (Off-Premises) License Application. Board member Hardy seconded the motion. The motion was approved with a 4-0 vote of those present. 8. APPROVAL OF THE MINUTES FROM APRIL 9, 2024 MEETING Video Start Time: 00:24:05 Board member Carroll moved to approve the Minutes from Tuesday, April 9, 2024, as presented. Board Member Hardy seconded the motion. The motion was approved with a 4-0 vote of those present. 9. WRITTEN REPORT 9.1. REPORT ON RECENT ADMINISTRATIVE APPROVALS (DEPUTY TOWN CLERK BRENDA TORRES) 10. ADJOURNMENT Chair Phillips mentioned that the Town will make sure that liquor establishments in town are in compliance with the displays of their alcohol products. The Avon Liquor Licensing Authority Meeting adjourned at 5:26 p.m. AVON LIQUOR LICENSING AUTHORITY MEETING MINUTES TUESDAY, MAY 14, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL OR VIRTUALLY THROUGH ZOOM Page 4 These minutes are only a summary of the proceedings of the Local Liquor Licensing Authority 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: ____________________________________ Brenda Torres, Deputy Town Clerk APPROVED: Amy Phillips ___________________________________ Tamra Underwood Ruth Stanley Rich Carroll Lindsay Hardy RJ Andrade Chico Thuon (970) 748-4022 btorres@avon.org AVON LIQUOR LICENSING AUTHORITY WRITTEN REPORT To: Avon Liquor Licensing Authority From: Brenda Torres, Deputy Town Clerk Date: May 29, 2024 Topic: REPORT ON RECENT LIQUOR LICENSE ADMINISTRATIVE APPROVALS SUMMARY: The Town’s local liquor licensing regulations allow for administrative review and approval of routine liquor license applications, including: (1) Renewals, (2) Modification of Ownership, (3) Modification of Managers, and (4) Special Event Permits for events already approved by the Town Council. Requirements for administrative approval include that the application is complete, there is no new criminal activity on the background and there are no liquor code violations during the last year. Renewals require notice to be posted for seven days and Special Event Permits for ten days and require the Town Clerk to accept comments and/or requests for a public hearing before the Avon Town Council. In all cases, the Town Clerk has the discretion to refer the application to the Avon Town Council. The Town Clerk is required to report administrative approvals, which is the reason for this written report. Dating back to May 14, 2024, the Town has received 1 Report of Changes -Modification of Premises Application that has met all the requirements for administrative review and approval and was ultimately approved by the Deputy Town Clerk. No comments, complaints, or request for hearings were received. It is as follows: Report of Changes: Applicant: WVO Licensing LLC d/b/a Wyndham Resort at Avon Location: 75 Benchmark Road Type: Resort Complex (City) Manager: Pete Reyes Thanks, Brenda (970) 748-4022 btorres@avon.org AVON LIQUOR LICENSING AUTHORITY WRITTEN REPORT To: Avon Liquor Licensing Authority From: Brenda Torres, Deputy Town Clerk Date: May 29, 2024 Topic: EIN PROSIT FINE BEERS AND SAUSAGES – OPTIONAL PREMISES UPDATE SUMMARY: Below is a summary of the events under which Ein Prosit Fine Beers and Sausages discontinued its process of Optional Premises under Liquor Licensing Authority Resolution 23 -02. Consequently, Resolution 23-02 was cancelled. 1. On July 18, 2023, current licensee Sky and Cloud LLC, d/b/a/ Ein Prosit Fine Beer and Sausages (“Ein Prosit”) applied for an optional premises (the “OP”) to its existing Hotel & Restaurant liquor license and paid to the State the fee associated with that application. 2. After reviewing the application with the Town Attorney, the OP request was presented to the Local Liquor Authority on July 25, 2023, and it was approved under Liquor Licensing Authority Resolution 23-02. 3. On August 11, 2023, the Town Clerk’s Office and Mr. Brian Nolan, representative of Ein Prosit, both received a Letter of Notification from the State of Colorado Liquor Enforcement Division in which they indicated that the OP should be treated as a temporary modification of premises (the “TMP”), and that only the difference in fees between the OP and the TMP ($200) should be paid to be approved. 4. After consideration, Mr. Nolan did not further pursue or complete payment for the TMP. 5. On February 21, 2024, when following up with Mr. Nolan, he advised the Town Clerk’s Office of his intent to formally discontinue the OP as he was no longer interested in pursuing the TMP. The reason he indicated in his correspondence was that he would not need to use the parking lot for his summer series given that the deck had been working well for that purpose. 6. Since Mr. Nolan had completed a payment to the State for the OP, the State issued him a refund and advised they were terminating the OP’s review. No local fee was refunded given that none was applicable nor collected by the Town. 7. Mr. Nolan was advised that if Ein Prosit would like to apply to use the parking lot for his summer series event in the future, he should submit a temporary modification of premises application in the future to comply with the requirement from the State. Thanks, Brenda 970-748-4013 idejong@avon.org TO: Honorable Mayor Phillips and Council Members FROM: Ineke de Jong, Chief Administrative Officer RE: Castle Peak Senior Life and Rehab Update DATE: June 4, 2024 SUMMARY: Shelly Cornish, Executive Director and Administrator of Castle Peak, will attend Tuesday’s meeting to present information about Castle Peak Senior Life and Rehab. Castle Peak opened in 2016 and as they continue serving older adults that helped build the valley, they asked to share some updates with the various towns, businesses and individuals that supported creating Castle Peak. This is an informational update only and no Council action is requested. Thank you, Ineke ATTACHMENTS: Attachment A: Castle Peak Update Castle Peak Update ATTACHMENT A An Essential Service •Since the very beginning, the vision for Castle Peak has been to provide essential senior care and living services to all in need in our community. •This vision was born out of the generosity of local donors, towns, and businesses. We are grateful for your town’s generosity in helping to create Castle Peak. Helping Lifelong Residents Age in Place •The experience, generosity and insights of older generations make our community whole. •As the only senior living community in Eagle County and Summit County, Castle Peak remains a critical resource for these lifelong residents who helped build the valley that we have all come to know and love today. Compassionate Care at Every Level •Since 2016, Castle Peak has been providing compassionate care and services to an average of 140 residents per year. •44 bed skilled nursing facility •22 long-term care •10 transitional care/rehab •12 memory care •20 assisted living apartments National Recognition •Castle Peak recently received the Pinnacle Customer Service award for scoring in the top 15% of senior care in the nation in the following categories. •Overall Satisfaction •Quality of Food •Cleanliness •Individual Needs •Laundry Service •Dignity and Respect •Professional Therapy Services Castle Peak Care & Services Data 0% 10% 20% 30% 40% 50% 60% 70% Medicaid Private Pay Medicare Other Castle Peak: Payer Source Castle Peak Care & Services Data Occupancy Impact: Compassionate and competent employees Supportive residents and families Quality care and strong connections with Vail Health and Valley View Health Systems 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% YE 2019 YE 2020 Current 2023 Castle Peak SNF: Occupancy State Avg (CO) Castle Peak Care & Services Data Castle Peak’s Growing Challenges •While the need for Castle Peak is greater than ever today, the rising cost of living, lack of affordable housing and workforce crisis have immensely increased the cost of providing care in Eagle County. •Government reimbursement programs have not kept pace with the cost of care in the region. The Medicaid gap is approximately $150 per day per Medicaid resident. •Fortunately, we have found some short-term solutions and partners to help us continue providing essential care and services to all older adults in need, including residents utilizing Medicaid. Solutions •Improving operational efficiencies, increasing occupancy and reducing pool labor use is an ongoing focus. •Eagle County has chosen to invest in supporting this important service in the valley for 2023 and 2024. While this level of support does not cover the entire operating gap at Castle Peak, it does bring it within reach so we can work to continue serving all older adults in need, including those individuals utilizing Medicaid. •Seeking other charitable support and partnerships is ongoing. •While the operating environment is challenging, we remain encouraged by the mission of Castle Peak and the committed community members engaged in finding ways to support this important work. Christine and Gary’s Story “They still have their two favorite things: each other and the fresh mountain air, their lifeblood. Two things they never want to be without. And thanks to the generosity of the valley in creating Castle Peak, they won’t ever be without them.” Thank YOU! We remain grateful for your community’s support in making Castle Peak a reality! Questions? Shelly Cornish Castle Peak Executive Director Shelly.Cornish@cassialife.org 970-432-1100 970-471-5370 shymes@avon.org TO: Honorable Mayor Phillips and Council members FROM: Sarah Smith Hymes, Sustainability Coordinator RE: Resolution 24-18 Eagle River Community Water Plan DATE: May 31, 2024 SUMMARY: James Dilzell, the Executive Director of the Eagle River Coalition (formerly known as the Eagle River Watershed Council) will provide an overview of the Eagle River Community Water Plan (the “CWP”). The CWP is the result of a multi-year study by scientists from multiple domains. They have evaluated current and past river conditions on the basis of ten variables related to river health to predict future impacts on water quality and quantity from population growth, water use, reservoir development and climate change. The intent of the CWP is to provide the community and its leaders with the data needed to understand the source and scope of the threat to our water supply and river health, and to provide water management recommendations to guide planning efforts to ensure water security and river system health now and for future generations. As stated in the CWP’s executive summary, “…the overall goal of the Eagle River Community Water Plan is to consider past, present and future human and ecosystem river health values to identify opportunities to correct historical degradation and prevent and mitigate against non-desirable future conditions.” The request to Council is to consider Resolution 24-18 (Attachment B) Adopting the Eagle River Community Water Plan. Adoption of the CWP by the Town of Avon and other partners will enhance funding grant applications by demonstrating community support for its objectives. BACKGROUND: The State of Colorado laid the groundwork for this plan in 2015 with the adoption of the Colorado Water Plan, a grassroots effort to help Colorado meet its water challenges through collaborative, basin-specific or statewide water projects. Its stated goal in 2015 was to have 80 percent of locally prioritized rivers covered by stream management plans by 2030. The Eagle River Coalition took the lead on development of the plan for the Eagle River basin starting in 2017. Funding was provided by the Colorado Water Conservation Board and the following community partners: Homestake Water Project Partners, Eagle Park Reservoir Company, Eagle River Water & Sanitation District, Vail Resorts, Climax Mine (Freeport McMoran), Colorado River District, Eagle County and the towns of Vail, Avon, Gypsum and Minturn. The total project cost was $495K; The Colorado Water Conservation Board provided $330K, with the balance provided by stakeholders with cash and in-kind support of $165K. The Town of Avon contributed $10K. ANALYSIS: The breadth and depth of the analysis of the river conditions in each of 12 reaches of the river allows each locality to focus on its section/s of the river. The stretch of the Eagle River flowing through Avon is covered by two reaches – the Gore Creek to the Avon Wastewater Treatment Plant, and the Wastewater Treatment Plant to Squaw Creek. A report card for each reach is graded for degree of impairment from none to profound. Impacts of population growth, development of new reservoirs in the upper watershed, and three different climate change trajectories were evaluated in ten different model scenarios. The report also includes drivers of future conditions including municipal demand, new reservoirs and trans-mountain diversions, climate change, wildfire and urbanization. FINANCIAL CONSIDERATIONS: Aside from the $10,000 Avon already contributed to the Plan, there are no financial implications to adopting the Plan. 970-471-5370 shymes@avon.org RECOMMENDATION: Given the critical role that the Eagle River plays in Avon - both as a source of our municipal water supply and an economic driver for our outdoor recreation-based economy – I recommend adoption of Resolution 24-18. OPTIONS: Take no action or approve Resolution 24-18 [with or without revisions]. PROPOSED MOTION: “ I move to approve Resolution 24-18 Adopting the Eagle River Community Water Plan.” Thank you, Sarah ATTACHMENT A: Eagle River Coalition Presentation ATTACHMENT B: Resolution 24-18 Adopting the Eagle River Community Water Plan ATTACHMENT A: Eagle River Community Water Plan Eagle River Community Water Plan Town of Avon - June 2024 ATTACHMENT A New name, same mission. Advocate for the health of the Upper Colorado and Eagle River Basins through research, projects and education. Our Watershed Eagle River Watershed970 square miles 50,000+ people in Eagle County depend full-time on a healthy watershed 6,150’ Colorado River confluence in Dotsero 14,005’ Mt. of the Holy Cross The Eagle River contributes about 9% of the Colorado River’s flow at the Utah border. and between 2.5-3% of the total Colorado River Basin annual discharge. 120 natural lakes & 8 reservoirs 1200+ miles of named streams and rivers 9%2.5-3% Consider past, present, and future human and ecosystem river health values to identify opportunities to correct historical degradation and prevent and mitigate against non-desirable future conditions. Community Outreach Workshops and community presentations Booths at local events and recreation centers Web-based community surveys Strategies WILDLIFE AND BIODIVERSITY MUNICIPAL WATER USE ANGLINGRECREATIONAL BOATING AESTHETICS AND VIEWSCAPES SNOWMAKING AGRICULTURE Community Values Water Use Modeling Roughly mirrors CWCB’s models for the Eagle Multiple potential futures for Eagle County Geography: limited to the Eagle River mainstem below the confluence with Homestake Creek, Gore Creek below Black Gore Creek, Brush Creek, and Gypsum Creek. Using ERWSD’s “ER20” Management Strategies Instream habitat restoration Management of instream flows Climate studies/infrastructure Riparian habitat restoration Recreation infrastructure Recreation use limits Turf reduction and landscaping Water rates Education and community outreach Projects | Programs Policies | Studies Implementation - what’s next? Securing a vibrant future. for us, our wildlife, and future generations waterplan.eagleriverco.org Resolution 24-18 Adopting the Eagle River Community Water Plan June 11, 2024 Page 1 of 1 RESOLUTION 24-18 ADOPTING THE EAGLE RIVER COMMUNITY WATER PLAN WHEREAS, The Eagle River Community Water Plan (the “Plan”) is a long-range planning document that considers the past, present, and future ecosystems of the Eagle River watershed and identifies opportunities to correct historical degradation and prevent and mitigate against non-desirable future conditions; and WHEREAS, The Plan was developed with a wide-range of stakeholder and community involvement and input between 2017 and 2022, engaged more than 400 community members over more than 1,615 hours and 59 meetings, and serves as a guidance document that provides insight into watershed-level values and priorities. Through the planning process, stakeholders outlined their objectives and identified strategies to create a foundation for the communities within the Eagle River watershed to mitigate potential future impacts on the values they hold associated with the waterways in the Eagle River watershed; and WHEREAS, The primary planning and modeled area of the Plan is the mainstem Eagle River below its confluence with Homestake Creek, and Gore Creek below its confluence with Black Gore Creek. A less- intensive evaluation and project identification effort was also carried out on Gypsum Creek and Brush Creek; and WHEREAS, The Eagle River is a resource that provides drinking water, recreational access, and economic vitality to more than 50,000 people, and contributes about 9% of the Colorado River’s flow at the Utah/Colorado border, and between 2.5-3% of the Colorado River’s total annual discharge; and WHEREAS, The issues, needs, projects, and processes described in the Plan articulate the goals and objectives of the communities in the Eagle River watershed for collaboratively addressing the region’s water future. The Plan does not supersede or serve as a substitution for any local, state, or federal permitting processes or subvert any existing water rights. Any objective or action identified in the Plan should be considered within the existing legal and regulatory framework; and WHEREAS, The Town of Avon will use the Plan as a guide to develop future priorities, allocate resources, and work to secure a vibrant future for the Eagle River and its tributaries. This will be in conjunction with any relevant and adopted department goals and other formal organizational priorities. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF AVON that the Avon Town Council hereby adopts the Eagle River Community Water Plan, attached hereto as Exhibit A, as a strategic guidance document for the Town of Avon ADOPTED JUNE 11, 2024, by the AVON TOWN COUNCIL By: Attest: ___________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk ATTACHMENT B Eagle River Community Water Plan 2024 EAGLERIVERCO.ORG 970-826-5406 EIN: 20-4448864 EAGLE RIVER COALITION 461 RAILROAD AVENUE, UNIT C PO BOX 1477 | GYPSUM, CO 81631 ATTACHMENT C IN T R O D U C T I O N 2 3 Funding and Partner Support Disclaimer The Eagle River Community Water Plan was made possible by efforts within the Colorado Water Plan adopted in 2015 and subsequent grant programs through the Colorado Water Conservation Board. Additional funding was provided by Homestake Water Project Partners, Eagle Park Reservoir Company, Eagle River Water & Sanitation District, Vail Resorts, Climax Mine (Freeport McMoran), Colorado River District, Eagle County and the towns of Vail, Avon, Gypsum and Minturn. The organizations indicated below regularly participated in the planning process and provided valuable insights, suggestions, and edits. The Eagle County Conservation District provided input on behalf of the agricultural community. Preface The Eagle River Watershed supports diverse uses of water that may be impacted by population growth and increasing municipal demand for water in Eagle County, climate change and volatility, and projects related to the Eagle River Memorandum of Understanding (ERMOU)–an intergovernmental agreement for developing municipal water supplies in the upper Eagle River watershed. Therefore, the overall goal of the Eagle River Community Water Plan is to consider past, present and future human and ecosystem river health values to identify opportunities to correct historical degradation and prevent and mitigate against non-desirable future conditions. Eagle River Coalition, formerly the Eagle River Watershed Council, initiated the Eagle River Community Water Plan in order to develop proactive water management recommendations that anticipate changes to local hydrology and water demand. The State of Colorado laid the groundwork for this plan with the adoption of the Colorado Water Plan in 2015 that set out to have 80 percent of locally prioritized rivers covered by stream management plans by 2030. Through the planning process, we wanted to seek multiple benefits, engage community members and consider a changing environment while balancing all uses and protecting river health. “When you put your hand in a flowing stream, you touch the last that has gone before and the first of what is still to come.” – Leonardo Da Vinci The issues, needs, projects, and processes described here articulate the community’s goals and objectives for collaboratively addressing the region’s water future. The perspectives characterized here reflect outcomes of engagement with community members between 2017 and 2022. The Eagle River Community Water Plan does not supersede or serve as a substitution for any local, state, or federal permitting processes or subvert any existing water rights. Any objective or action identified in the ERCWP should be considered within the existing legal and regulatory framework. Prepared For: Prepared By: With Support From: 461 Railroad Ave, Unit C PO Box 1477 Gypsum, CO 81631 345 Colorado Ave. Unit 104 Carbondale, CO 81623 4 5 The Eagle River Watershed is not an unknown or unstudied resource. Many plans, projects and efforts precede this water plan. However, many of those planning efforts and assessments focus on existing water quality issues and current conditions. In order to mitigate human and environmental demand shortages that are generally undesirable, the Eagle River Community Water Plan placed greater focus on future water quantity and quality issues. This approach was motivated by the growing recognition that the future may bring altered hydrology and increased demand for water. Within the Watershed, there are numerous user types and water uses to account for. Water is removed from the Eagle River and its tributaries in varying amounts at different times of the year to support agriculture, domestic uses, and recreation (e.g., rafting and snow making). Water is also diverted from the headwaters across the Continental Divide through a system of transbasin diversions for use on the Front Range. The water left in rivers and streams supports fishing, boating and other recreational uses, which contribute to residents’ high quality of life and the success of the local economy. The well-being of our communities relies on healthy aquatic ecosystems. The health of streams and river, in turn, is significantly influenced by the amount and timing of streamflows and the degree to which those flows resemble natural conditions. The Eagle River Coalition initiated the Eagle River Community Water Plan with a two-part mission to 1) consider past, present, and future human needs and river health issues to identify opportunities to correct historical degradation and prevent and mitigate against non-desirable future conditions for environmental and recreational water uses; and 2) understand the independent and interactive impacts of population growth, water use, reservoir development, and climate change (air temp. and precipitation patterns) on human and ecosystem water needs. We hope this planning effort can help water managers and policy makers better understand the community’s concerns about the well-being of our streams and rivers. Notably, this effort produced a set of Management Objectives that synthesize what stakeholders and the community want to achieve and represent a shared vision for streams and rivers in Eagle County. Sincerely, James Dilzell Executive Director Eagle River Coalition A Note From the Eagle River Coalition 6 7 Table of Contents Glossary of Terms Introduction…………………………………………………………………..8 Current Conditions…..………………………………………………….16 Potential Drivers………………………………………………………….22 Report Cards……………………………………………………………….28 Values At Risk…..…………………………………………………………54 Strategies……………………………………………………………………66 Implementation…………………………………..………………………68 Appendices: A. Planning Goals and Objectives B. Stakeholder & Community Engagement C. Technical Analysis Summary D. Annotated Bibliography E. Water Rights Administration F. Historical & Future Hydrology G. Hydrological Alteration & Ecosystem Vulnerability H. Environmental Flow Deficits I. Linkages Between Hydrology & Aquatic Habitat Quality J. Lateral Hydrological Connectivity and Riparian Habitat K. Hydrological Controls on Water Quality Below the Eagle Mine L. Hydrological & Atmospheric Controls on Water Temperature M. Streambed Sediment Mobilization Thresholds and Frequencies N. Recreational Water Uses on the Eagle River and Gore Creek O. Report Card Grading Criteria P. Strategy Implementation Work Plan Q. Dissenting Perspectives BIP Basin Implementation Plan BLM Bureau of Land Management CBRT Colorado Basin Roundtable CEC Community Engagement Committee CTG Core/Technical Group CWCB Colorado Water Conservation Board CWP Colorado Water Plan EGS Ecosystem Goods and Services ER20 Eagle River 20 Simulation Model ERC Eagle River Coalition (formally Eagle River Watershed Council) ERCWP Eagle River Community Water Plan ERMOU Eagle River Memorandum of Understanding ERWP Eagle River Watershed Plan IWMP Integrated Water Management Plan SMP Stream Management Plan TMD Transmountain Diversion USFS United States Forest Service USGS United States Geological Service Although the natural flow regime1 of many waterways in the Eagle watershed are much more intact than other Colorado streams and rivers, human settlement and the associated consumptive use and management of water inexorably alters streamflow. Roughly 75% of the average annual flow volume of the Eagle River occurs during the months of May, June and July. The remaining 25% of flow is spread across the rest of the year, supporting aquatic and terrestrial wildlife, numerous recreational uses, and helping to meet community demands for affordable, clean and reliable water supplies (ERWP, 1996). Reservoir storage and transmountain diversions reduce streamflows during snowmelt periods on many headwaters streams, with additional flow impacts rippling downstream. Conversely, these releases augment flows in some reaches during summer and fall low flow periods when water diversions for municipal and agricultural uses would otherwise reduce flows well below natural conditions. A warming climate and increasing demand for agricultural and municipal water in Eagle County and Front Range communities is likely to significantly alter patterns of streamflow in local streams and rivers in the coming decades. The Eagle River flows into the 21st century amidst a host of changing landscapes and climate characteristics. Increasing human populations, shifting values towards water uses, and increasing impacts to streams and rivers from climate change place new pressures on local streams and rivers to satisfy the needs of both human communities and aquatic ecosystems2. These changes may have corresponding impacts on environmental and recreational water uses. 1 A river’s flow regime is the natural pattern of flow over time and can be described by the magnitude, timing, and frequency of high and low flows. In the Rocky Mountains, the natural flow regime typically features high, fast flows in late spring and early summer, declining through summer and early fall until low winter base flows settle into place. 2 https://dnrweblink.state.co.us/CWCB/0/edoc/217373/ColoradoWaterPlanPublicReviewDraft.pdfIN T R O D U C T I O N 8 9 The Eagle River watershed is home to a network of clear mountain streams and rivers that cover approximately 960 square miles of rugged mountain ridges and verdant river valleys. Elevations in the watershed range from 6,100 feet near Dotsero to 14,003 feet at the summit of Mount of the Holy Cross, supporting a diversity of ecological communities reflective of this dramatic elevation range. Unique among most Colorado watersheds, approximately 98% of the Eagle River basin is located in a single jurisdictional boundary - Eagle County. Nearly 75% of the watershed is on public land managed by two federal agencies, the United States Forest Service (USFS) and the Bureau of Land Management (BLM). Flowing north then west for about 77 miles, the Eagle River originates in steep headwaters catchments above tree-line near Tennessee Pass. It is fed by numerous ephemeral, intermittent and perennial streams, springs and seeps as it descends through montane forests and semi-arid valley bottoms near its confluence with the Colorado River at Dotsero. Water from the mainstem Eagle River and its many tributaries supports a high diversity of ecological and human uses as they traverse Eagle County. Understanding and protecting these uses is the primary interest of the Eagle River Community Water Plan (ERCWP, or the “Plan”). square miles 970 Eagle River Watershed people in Eagle County depend full-time on a healthy watershed 50,000+ 14,005’ Mt. of the Holy Cross 1200+ miles of named streams and rivers120 natural lakes & 8 reservoirs 6,150’ Colorado River confluence The Eagle River contributes about 9% of the Colorado River’s flow at the Utah border. and between 2.5-3% of the total Colorado River Basin annual discharge. 9%2.5- 3% Plan Summary Planning Area The primary geography considered by the Plan’s various technical analyses includes the mainstem Eagle River below the confluence with Homestake Creek and Gore Creek below the Confluence with Black Gore Creek. A less-intensive evaluation and project identification effort was also carried out on Gypsum Creek and Brush Creek. Community values identified in the ERCWP apply more broadly to the entire watershed. IN T R O D U C T I O N 10 11 Planning Goals Eagle River Coalition (ERC) seeks to understand environmental and recreational (E&R) water needs within the Eagle River Basin. Assessing impacts of future water development and climate change on river health and socially valuable aspects of the river is central to this task. This interest led ERC to coordinate the activities of the ERCWP. ERC produced the Plan collaboratively with local stakeholders and Front Range water providers to achieve the following1: • Support the sustainable development of natural and physical resources and the maintenance of ecological processes and biological diversity; • promote the equitable and sustainable use and development of water; • encourage public involvement in resource management and planning; • promote the sharing of responsibility for resource management and planning between the local city and county governments, municipal water providers, out-of-basin water interests, the community, and state and federal government agencies; • provide timely information and forecasts that directly support environmental, social, economic, conservation and resource management policy development and decision- making by local governments, utilities and special districts; • secure a pleasant, safe and desirable working, living, and recreational environment for all residents and visitors to Eagle County; • conserve those areas or other places which are of scientific, aesthetic, or otherwise of special cultural or environmental value; • recognize the significant social and economic benefits resulting from the sustainable use of water resources for the supply of drinking water and commercial activities dependent on local rivers and streams; • maintain healthy, functioning ecosystem processes and high levels of biodiversity in aquatic ecosystems; • provide for the fair, orderly and efficient allocation of water resources to meet the community's needs; • increase the community's understanding of aquatic ecosystems and the need to use and manage water in a sustainable and cost-efficient manner; • provide information supporting procedures for evaluation, implementation, enforcement, and review of water resources management activities; and • consider the multiple uses of water and the ways that each use may be affected differently by climate change, population growth, and other stressors. The Plan promotes sustainable resource use and development. The concept of sustainable development means managing for the use, development and protection of natural and physical resources in a way, or at a rate, that enables communities to provide for their social, economic and cultural well-being and for their health and safety while: 1) sustaining the potential of natural and physical resources to meet the reasonably foreseeable needs of future generations in Eagle County; 2) safeguarding the life-supporting capacity of water and aquatic ecosystems; and 3) avoiding the need to mitigate any adverse effects of human activities on the environment2. The Plan assesses historical hydrological conditions and presents a range of potential water use and management futures to consider how well these futures continue to support the diversity of human and ecosystem needs. The primary output of this plan is a collaboratively prioritized set of management strategies that reflect the goals, needs, and values of the local community. The goals, objectives and strategies developed under the Plan are not, necessarily, restricted to the same geography as that covered by the technical analyses. 1 Informed, in part, by the New South Wales Water Management Act 2000 No. 92, the Tasmania Water Management Act 1995, and the Victoria Environment Protection Act 2017. 2 Tasmania Water Management Act 1999 The two-part mission of the Eagle River Community Water Plan is to: • consider past, present, and future human needs and river health issues to identify opportunities to correct historical degradation and prevent and mitigate against non-desirable future conditions for environmental and recreational water uses; and • understand the independent and interactive impacts of population growth, water use, reservoir development, and climate change (air temperature and precipitation patterns) on human and ecosystem water needs. See Appendix A for a more detailed discussion of the planning goals and objectives. Use of the Plan This Plan provides a road map for community members, local governments and other organizations eager to implement projects that support diverse water needs. Specifically, the Plan provides: 1) a framework for characterizing potential impacts/changes to riverine conditions and/or identifying areas where river health may be most impacted by the interaction between proposed water management activities and other physical and biological components of the ecosystem, 2) an understanding of environmental and recreational needs gaps as they are affected by hydrological variability and increasing demands for water in Eagle County and on the Front Range, and 3) a set of durable planning objectives that may help guide the distribution of funds to support high-priority environmental and/or recreational needs across Eagle County. Importantly, the conformance of goals and objectives identified in the ERCWP and the Colorado River Basin Roundtable (CBRT) Basin Implementation Plan (BIP) should facilitate the procurement of state and federal funding for local project implementation. The ERCWP serves as a guidance document that provides insight into watershed-level values and priorities. Through the planning process, stakeholders outlined objectives and identified strategies to create a foundation for the communities of the Eagle River to mitigate potential future impacts on the values they hold associated with the River. • Stakeholders can use the Plan to better understand community values associated with the Eagle River and leverage the objectives and strategies identified in the plan to apply for grants and other funding opportunities. • Land managers can use the Plan to help decide where and how to allocate resources. • Decision-makers can use the contents of the ERCWP as supporting information to make informed decisions about where and how to align policy and allocation of resources in a manner that reflects stakeholder and community perspectives. IN T R O D U C T I O N 12 13 Planning Context The Colorado Water Plan (CWP) seeks to understand the state’s water needs, identify gaps and promote projects and processes to meet those needs. The CWP recognizes the potential for changes in water supplies necessary to sustain local communities and meet diverse water needs. The state of Colorado encourages local stakeholders to engage in strategic planning efforts that collaboratively address their changing water futures1. Specifically, the Colorado River Basin Roundtable called for Stream Management Plans and Integrated Management Plans in the BIP as a means for filling important data and information gaps2. ERC’s 2013 Eagle River Watershed Plan (ERWP) further promoted stream management planning to aid locally-sustainable water management. “[…] where individual reaches of rivers or streams are identified as impaired or having inadequate flows, craft and implement Streamflow Management Plans that offer creative and cost effective strategies to address ecological, domestic, recreational and agricultural water needs.” (ERWP, 2013) In 2018, ERC and other local stakeholders recognized a general lack of information necessary to understand environmental and recreational water needs in the Eagle River Watershed, and how these needs may be impacted by climate change and/or water development activities. These stakeholders saw opportunity to fill this important data gap and supplement ongoing planning efforts by local municipal water providers focused on meeting future demands under increasingly variable environmental conditions. The ERCWP was conceptualized as an effort to provide a nuanced evaluation of changing environmental conditions and recreational use opportunities on streams and rivers in response to a changing climate, growing population and changing patterns of land use. Community Engagement Process The Eagle River Community Water Plan implemented a structured stakeholder process to elicit feedback from the community regarding water use and management in the planning area (see Appendix B for more information). The planning process promoted sound strategic planning and coordinated action by various government and non-government entities and members by: • providing a venue for discussing the multiple uses of water and the ways that each contributes to the vitality of local communities; • ensuring that the impacts on E&R water uses were considered when contemplating future use and development of water; and • establishing a structured and facilitated dialog among parties for setting objectives and identifying best practices, policies and other recommendations for the use, development and protection of water resources. Engagement with stakeholders via surveys, webinars, and in-person workshop settings featured activities that helped stakeholders contemplate relationships between existing patterns of water use, ecosystem condition, the goods and services that streams and rivers deliver to local communities, and the potential for future impacts to the delivery of those goods and services due to climate change and/or water development activities. At the first ERCWP Stakeholder Group meeting in June 2018, stakeholders formed several groups in order to guide the development of the plan: the ERCWP Stakeholder Group, the Core/Technical Group, and the Community Engagement Committee. Each group had a distinct role in the formation of the ERCWP. 2 https://dnrweblink.state.co.us/cwcbsearch/0/edoc/216708/Colorado_BIP_Volume2_2022.pdf 1 https://dnrweblink.state.co.us/CWCB/0/edoc/217373/ColoradoWaterPlanPublicReviewDraft.pdf ERCWP Stakeholder Group The ERCWP Stakeholder Group consisted of stakeholders from environmental and conservation organizations, local and Front Range water providers, community members, ERMOU signatories, outfitters, conservation districts, regional government entities, local municipalities, Eagle County, and state agencies. The Stakeholder Group had an open membership for anyone interested in providing feedback on the ERCWP. The Stakeholder Group met regularly to conduct peer-to-peer learning about topics significant to the ERCWP, provide updates and input on parallel technical developments and community engagement efforts, and identify additional high-priority planning issues. The ERCWP Stakeholder Group was responsible for developing the ERCWP objectives, strategies, and project list in this plan. The Stakeholder Group was open to anyone interested in the future of the river and committed to regular and active participation in meetings. Core/Technical Group The Core/Technical Group (CTG) focused solely on the technical aspects of the ERCWP. Members of this group self-selected to participate in the group. The CTG consisted of members from state agencies, ERMOU partners, technical consultants, regional governmental entities, Eagle County, and local municipalities. The CTG met monthly until the completion of the technical elements of the plan. The purpose of the CTG was to ensure that those who have ideas or preferences about the technical elements of the ERCWP have the opportunity to provide meaningful feedback and direction to Lotic Hydrological (the technical consultant). Community Engagement Committee The Community Engagement Committee (CEC) focused solely on providing ongoing advice and expertise to the technical consultant and Peak Facilitation Group to help deliver the most effective community engagement possible during the ERCWP process. The Community Engagement Committee was comprised of members from local municipalities, Eagle County, ERMOU partners, state agencies, environmental and conservation organizations, local and Front Range water providers, outfitters, and conservation districts. The Community Engagement Committee designed and provided input on several community engagement strategies, including community meetings and several surveys, and helped interpret results. The ERCWP was created with significant input through the ERCWP Stakeholder Group, Core/ Tech Group and Community Engagement Committee. From 2018 to 2022, the Stakeholder Group, Community Engagement Committee and Technical Advisory Group met 53 times for a total of 1,433 hours. ERC hopes that the voice of the community reflected in this Plan continues to be informative and useful to elected officials and other decision- makers as they endeavor to plan for Eagle County’s water future in a manner consistent with the goals and principles set forth here. 25 424 Technical Group Meetings Total Hours 19 1061 Stakeholder Group Meetings Total Hours Word cloud created by community members during a live survey activity at a community meeting in 2019. Participants were asked to provide words that captured their experiences with local rivers and streams, their personal water uses, or their concerns for the well being of local waterways. IN T R O D U C T I O N 14 15 Throughout the ERCWP planning process, the CEC employed several methods to engage the broader community and solicit feedback on different elements of the ERCWP. The CEC organized community meetings with in-person activities and exercises to gather community perspectives and values. They also set up booths at existing events with similar exercises to reach specific audiences. Some of the engagement opportunities collected demographic data for the purpose of communicating with decision-makers about who was providing input on the ERCWP and whether those providing input on the ERCWP were representative of the population in Eagle Valley. The CEC designed three different surveys to collect community feedback: two conducted in 2019 and another conducted in 2022. Nearly 30 percent of Eagle County identifies as Hispanic, according to US Census results. Therefore, the CEC made deliberate efforts to engage members of the Hispanic and Spanish-speaking community in Eagle County. In 2019, the CEC organized a community meeting with Spanish- speaking facilitator. Eagle County provided Spanish translation services so that one community survey could be distributed in Spanish. Input from Community Members In early 2019, the CEC hosted two community meetings, one down-valley and one up-valley. One of these meetings included a Spanish-speaking facilitator. The purpose of the community meetings was to provide information about the ERCWP planning effort and gather information from community members about their perspectives on the priority water uses on the Eagle River. Meeting participants participated in several activities designed to collect their input. One activity asked community members to indicate on a map of the watershed, locations they had a special attachment to and thought should be prioritized by the ERCWP, and locations that they perceived at particular risk for negative change in the future (see map below). A survey questionnaire was additionally used to collect input about perceived risks to the health of streams and rivers throughout the watershed and community members’ water use priorities for the ERCWP (see opposite page for summarized survey responses). A separate survey was distributed to community members, asking about streamflow preferences on different stream reaches needed to support whitewater boating activities. In total, more than 400 community members provided input to the planning process. Questions asked of the community via surveys, community workshops, and event booths were in the context of the entire Eagle River Watershed. As a result, the feedback provided by community members apply to the broader Eagle River watershed and are not restricted to the same geography as the technical assessment. 15 130 Outreach Meetings Total Hours Right: Community member responses to a survey question asking which water uses should be prioritized by water planning efforts conducted under the ERCWP. Left: Community member responses to a survey question asking participants to indicate their greatest perceived risks to the health of the Eagle River and its tributaries. CU R R E N T C O N D I T I O N S 16 17 Assessment of Current Conditions The ERCWP process began with a comprehensive search of scientific literature, resource studies and reports (Appendix D), and a review of existing policy, water rights (Appendix E), and management actions specific to the Eagle River watershed. This review provided context for understanding the diversity of social and environmental objectives that influence local and regional water use and management, and the array of historical conditions and trends in natural conditions. While numerous works were completed by local parties and agency partners like U.S. Geological Survey (USGS) concerning water quantity, quality, and the condition of aquatic life, fisheries, and riparian health in the watershed, a smaller subset of publications have particular relevance to streamflows and non-consumptive water use and needs for ecosystems and recreation. Sources critical to the development of the ERCWP include: • Colorado Water Plan, 2015 (updated 2023): serves as the foundation of the ERCWP by providing initiatives, connections, and values to meet Colorado’s current and future consumptive, recreational, and environmental water needs. • Technical Update to the Colorado Water Plan (2019): communicates and makes publicly-available the state’s supply and demand projection data, and the methods, analytical tools, and results used to underpin the CWP’s findings and recommendations. • Colorado Basin Roundtable Basin Implementation Plan (2015, updated 2022): identifies stream management plans (SMPs) and Integrated Water Management Plans (IWMPs) as top priorities. The CBRT states that such planning is vital to providing sufficient water for environmental needs among the many competing uses and demands for water, and thereby restoring and protecting ecological processes that connect land and water while ensuring that streams also serve the needs of human populations. • Eagle River Memorandum of Understanding Project Alternatives Study (2016) provides evaluations of some potential project alternatives to develop water storage and conveyance projects in the Eagle River basin for West Slope and East Slope interests. The ERMOU was executed in 1998 by multiple signatories. Various development alternatives are currently being considered. Future permitting will assess impacts on water quantity and quality in the Eagle River. For instance, water diversions and storage can reduce the intensity of spring runoff flows that are important in the maintenance of aquatic habitat. Spring flows flush fine sediments from the channel substrate and provide the high-quality gravel beds needed by aquatic insects and fish for reproduction. High flows also maintain riparian communities through flooding of the banks and riparian zones adjacent to the river. Studies have not been conducted to determine how much of a “flushing” flow is actually needed on the Eagle River to maintain optimal habitat for aquatic life and bank recharge. • Eagle River Watershed Plan (2013): provides information, goals, strategies and action items related to water and land management practices in the Eagle River basin. The 2013 document updates and replaces the 1996 version and includes significant new information, community input plus the vision for watersheds in Eagle County. Several issues and recommendations are discussed which provide relevant background to the development of an IWMP. The ERWP is organized around five water related topics (Quantity, Quality, Land Use, Wildlife and Recreation) all of which provide direction and insights for the ERCWP. • Eagle River Inventory and Assessment (2005): an inclusive, scientific baseline inventory and assessment of the Eagle River with a prioritized list of restoration and conservation projects, including brief descriptions and cost estimates. It also measures public support for various prospective projects and other recommended actions. A comprehensive list of ten watershed restoration principles from scientific literature and case studies to improve the likelihood of success was included for reference and subsequent work plans. • Eagle River Assembly, Assembly Report (1994, updated 2000): convened to find a path through the acrimonious gridlock surrounding Colorado Springs and Aurora’s efforts to develop the Homestake II project. The assembly reported potential strategies that would: 1) improve the condition of the river, and 2) assure adequate water supplies for future needs. The resulting assessment concluded that flows in the Eagle River were inadequate to meet existing environmental and water supply demands in average years and dryer than average years, principally in late summer and winter months. Environmental concerns were based on identified `stream flow deficits' where the amount of water in the stream was not adequate to meet recommended instream flow rights that had been implemented years earlier (CWCB flow rights) for the protection of fish. Work by the Assembly eventually led to the 1998 Eagle River Memorandum of Understanding, which specified conditions for sharing allocated but undeveloped water in joint or individual water projects, and potential priority focus areas for projects. • USGS Assessment of surface-water quantity and quality, Eagle River watershed, Colorado (2007): provides a historical characterization of water quantity and quality, including spatial patterns and trends. Findings from the report helped direct ongoing water quality monitoring activities coordinated by the Eagle River Coalition. This historical body of work provides a rich context for understanding historical and present issues facing water users, water managers, and community members. optimizing water management decisions to support existing uses while, simultaneously, alleviating constraints on the delivery of important ecosystem goods and services (EGS). It is often difficult to quantify EGS value given their nature as non-market common public amenities. Clean water, healthy fisheries, or stunning viewscapes provide intangible benefits that do not easily fit within the economic valuation and cost-benefit frameworks that typically drive resource management decisions. However, when delivery of EGS is acutely constrained, some corresponding impact—direct or indirect—to local economies, livelihoods, or quality-of-life frequently arises, driving the need to identify alternative resource management strategies. The ERCWP considers three primary attributes (the “Attributes”) commonly associated with EGS and frequently affected by water resource management activities: channel dynamics, riparian health, and aquatic habitat. Channel Dynamics Channel dynamics encompass the fluvial and geomorphological processes that interact to control channel form and evolution across a range of spatial and temporal scales. Channel dynamics respond to interactions between patterns of rainfall and runoff, catchment-scale physical attributes (e.g. surficial geology, topography), riparian community structure, and local use practices (e.g. transportation corridor alignment, grazing practices). As a result, human management activities that modify the hydrological regime, alter patterns of erosion, adjust the structure of the channel bed, or modify riparian vegetation may yield fundamental shifts in the geometry and behavior of the stream at the channel (tens of yards) or reach (hundreds of yards) scale. Alteration of sediment supply, channel forming flows, or streambank vegetation may lead to complex interactive effects that result in reduced resiliency of local channel forms. For example, in unconfined alluvial streams, degradation of riparian forests frequently results in diminished bank cohesion, an increased rate of channel avulsion, and a progressive widening and filling of the stream channel itself. These high-dynamic channel states generally provide poor aquatic habitat and present a risk to streamside property and infrastructure. CU R R E N T C O N D I T I O N S 18 19 Riparian Health Riparian areas support a wide variety of physical, biological, and ecological processes. Riparian zones generate important organic inputs for stream ecosystems, support streambank cohesion, perform vital nutrient cycling roles, and lend to the quality of aquatic habitat by providing shade and buffering against temperature extremes. The hydrological regime, sediment and channel dynamics, invasive vegetation, and near-stream land uses frequently impact the functionality of riparian areas. Riparian areas exist in a complex equilibrium state governed by the local geometry of the channel/floodplain system and the inter-annual pattern of flood flows and baseflows. Occasional scouring of overbank areas provides the necessary habitat for germination of many riparian plant species. Following germination, seedlings require a relatively slow reduction in water table height over the progression of the growing year. Rapid water table reduction or late season water table heights that drop below the rooting depth of cottonwoods and other riparian plants stresses vegetation and can leads to mortality. Management activities that alter the magnitude, timing, or frequency of peak flows and baseflows, therefore, may limit riparian recruitment leading to decadent stands with little or no regeneration. Aquatic Habitat Interactions between streambed structure, channel hydraulics, water chemistry, vegetative shading, and organic matter inputs dictate the quality of habitat available for fish, macroinvertebrates, and macrophytes. In alluvial stream systems, high quality habitat typically supports vibrant and productive aquatic ecosystems—the kind of ecosystems that sustain robust trout fisheries. Habitat quality shares a directly proportional relationship to food-chain length in many systems. Ecosystems supporting long food chains tend to display greater resilience to changing external forcing variables like climate. Land and water management activities that affect sediment transport dynamics, streambed complexity, riparian shading, and local hydraulics comprise important primary controls on aquatic habitat quality. Many aquatic species rely on specific and relatively narrow ranges of water depth, velocity and substrate types to perform various feeding/resting behaviors or complete different life stages. Fragmentation or degradation of habitat for aquatic species may, therefore, arise from modification of the hydrological regime, which alters local channel hydraulics and the spatial distribution of water depths and velocities. In a similar fashion, activities that physically alter the structure of the streambed may impact habitat quality by transforming the local hydraulic channel response to a given streamflow. The critical interaction between local structure and hydraulics gives credence to restoration approaches that aim to improve ecosystem function by reconfiguring channel cross-sectional geometry or planform patterns. Functional Assessment Criteria The complex interplay between the human, physical, chemical, and biological components of the riverine systems complicates the task of identifying appropriate management strategies that respond to local concerns about one or more of the Attributes. Each Attribute aggregates a suite of connected processes or characteristics. Therefore, evaluating the functional condition of multiple components of the system represents the first step towards developing a management plan that focuses actions on those components of the system constraining the delivery of highly valued EGS. The existence of complex interactions between Attributes makes it necessary to disaggregate them into a collection of state variables. These variables describe more fundamental ecosystem processes and provide a more straightforward basis for measurement and evaluation. The ERCWP assessed functional condition and identified constraints on the delivery of EGS based on a suite of physiochemical, biologic, geomorphic, hydrologic and hydraulic state variables. These include: streamflows, streambed sediment, water quality, riparian areas, river form, aquatic habitat, and aquatic life. Evaluation of each variable enabled a robust characterization of existing conditions and supported predictive assessments of changes in future state across a range of spatial scales. Streamflows Broad patterns of precipitation and topography largely determine a river’s flow regime. In turn, fluvial ecologists generally treat flow regime as the “master variable” exerting the largest influence on riverine ecosystem form and function. Activities that deplete or augment streamflow have the potential to impact important regime characteristics, including: total annual volume, magnitude and duration of peak and low flows, and variability in timing and rate of change. Changes to total annual volume and peak flows may impact channel stability, riparian vegetation, and floodplain functions. Impacts to base flows frequently alter water quality and the quality and availability of stream habitat. Alterations to natural patterns of flow variability, including the frequency and timing of floods, impact fish, aquatic insects and other biota with life history strategies tied to predictable rates of occurrence or change. Streambed Sediment The production and transport of sediment within a stream system is a crucial determinant of stream form, habitat quality and general long-term stability. Functional condition considers the amount and timing of sediment production from the contributing watershed via surface and channel erosion, and sediment transport to and through the stream channel. Watershed-scale disruptions, such as deforestation, wildfire or reservoir construction/operation, can alter sediment regime characteristics. Water Quality Natural geological weathering and human activities occurring at the scale of the contributing watershed largely dictate the physicochemical properties apparent on a stream reach. Biogeochemical processing by stream organisms may alter local water quality conditions to a small degree. Physical water quality conditions (e.g. water temperature), while somewhat influenced by local patterns of channel form and stream-side vegetation, remain fundamentally rooted in upstream conditions. Riparian Areas Riparian vegetation performs several important functional roles for stream ecosystems. Root systems increase bank stabilization and the vegetative overstory provides detrital input and shading for aquatic species. Riparian forests supply the channel with woody debris, an important determinant in local physical structure. The functional condition of riparian vegetation considers species diversity and the structure of both the woody and herbaceous vegetation communities. Impacts to riparian vegetation include deforestation or habitat degradation resulting from an altered hydrological regime or floodplain disconnections. The frequency, lateral extent, and duration of interactions between the channel and the adjacent floodplain create a characteristic pattern of hydrological connectivity that determines the extent to which the river accesses and hydrates overbank areas. Overbank flows elevate the water table in the alluvial aquifer and produce favorable conditions for riparian vegetation. Typical floodplain connectivity impairments result from watershed-scale impacts to the flow regime or localized geomorphic impacts from artificial levees, ditches, channelization, or channel enlargement. River Form A stream’s morphological patterns reflect the interplay between hydrology, channel hydraulics, sediment supply, beaver activity, and stream-side vegetation. Assessments of stream morphology consider the patterns of channel evolution, planform, cross-sectional dimensions, and channel profile. Impacts to stream morphology may arise from construction of roads and levees, extirpation of beavers, reduction of the active floodplain width, and disruption of sediment supplies due to dam construction. Stream’s exhibiting morphological characteristics inappropriate for local valley forms and sediment regime may display elevated channel instability or a reduction in physical heterogeneity of the streambed. CU R R E N T C O N D I T I O N S 20 21 Aquatic Habitat Physical heterogeneity in the streambed and water column results from the complex interplay between the patterns of erosion, scour, and deposition that shape the streambed. As is the case for stream morphology, biological drivers, such as riparian vegetation, wood, and beavers, may also exert significant control over physical structure. Assessments of physical structure consider the hydraulic structure (water depth and velocity distributions), bed and bank features, and substrate material. Heterogeneity is a critical determinant of habitat quality for many aquatic organisms including macroinvertebrates and fish. Activities that physically alter the structure of the streambed, disrupt the sediment regime, or reduce large woody debris supplies to a reach frequently impact the physical structure and degree of heterogeneity present in the stream channel. Aquatic Life Biotic structure considers the total biomass and species diversity of microbes, macrophytes, macroinvertebrates, fish and amphibians, and other animals. The degree to which a stream can support complex trophic structures when assessed against reference conditions is a prime indicator of overall ecosystem health. The living components of the stream system are the components most frequently recognized for their ties to EGS. The biotic makeup of a stream is impacted by all other ecosystem state variables. As a result, any activity that impairs other processes at the watershed, reach, or channel scale may similarly affect biotic structure. For example, disruptions in the hydrological regime impact the structural complexity of the streambed and water column. This complexity is an important control on habitat quality for fish and macroinvertebrates and, where it is reduced, a corresponding impairment of biotic structure may result. Vail Minturn AvonEdwards Wolcott EagleGypsum Vail Minturn AvonEdwards Wolcott EagleGypsum Vail Minturn AvonEdwards Wolcott EagleGypsum The map below depicts assessed historical changes to 3-day peak streamflows at locations across the planning area resulting from surface water diversions, reservoir storage, and transmountain diversions. The largest reductions in peak flow occurred historically on the Eagle River above Minturn and on Gypsum Creek. Most mainstem Eagle River locations show reductions on the order of 10-20%. See Appendices F & G for more details. The map below depicts assessed historical changes to 7-day minimum streamflows at locations across the planning area resulting from surface water diversions, reservoir storage, and transmountain diversions. The largest reductions in minimum flow occurred historically on Gore Creek during the winter months and on Gypsum Creek during the late summer and fall period. See Appendices F & G for more details. The map above depicts Environmental Flow Deficits (EFDs) at locations across the planning area. EFDs reflect the amount of water in acre-feet (af) that would be needed to meet the Colorado Water Conservation Board Instream Flow (ISF) water right–a flow target meant to provide minimum protections for aquatic life–during a typical year. The largest deficits are evident in the upper Gore Creek watershed and on the Eagle River below Cross Creek. See Appendix H for more details. PO T E N T I A L D R I V E R S 22 23 According to the Colorado State Demographer, Eagle County’s population in 2020 was approximately 55,000 and is expected to exceed 70,000 by 2050. A growing population will increase demands for and use of municipal water supplies. Increasing demand for water will necessitate additional water diversions and/or new reservoir construction. Potential future risks to streams and rivers in the planning area associated with increasing municipal water demand include the following: • Increased municipal diversions needed to satisfy a growing population places increasing pressure on instream flows, water quality (temperature, DO, and nutrients), and habitat connectivity for fish. The possibility exists for development of new water storage and transmountain diversion (TMD) projects in the upper watershed. The ERMOU outlines a plan for further development of the Homestake Reservoir and diversion system that includes 20,000 acre-feet of average annual yield passed under the divide for use by Colorado Springs and Aurora and 10,000 acre-feet of firm dry year yield, stored in the reservoir(s) for West Slope uses. New reservoir storage and TMD projects under the Eagle River MOU will alter patterns of streamflow along the mainstem of the Eagle River. Potential future risks and/or benefits to streams and rivers in the planning area associated with new water development projects include the following: • New TMDs impact annual flow volumes and reduce peak flows on local streams and rivers, decreasing the frequency of streambed sediment mobilization needed to maintain high quality habitat for fish and aquatic macroinvertebrates. Late summer flow reductions increase the frequency and duration of ISF water right shortages, further limiting aquatic habitat quality. • Water releases from new reservoirs help mitigate the impact of a warming climate and new TMDs on late summer baseflows in the upper watershed. Water storage comes at the expense of decreased peak flows necessary for flushing fine sediments from the streambed. Reduced high flow magnitudes and durations impact whitewater boating activities on downstream reaches, an important component of Eagle County’s vibrant recreational economy. • Releases of cool water from reservoirs helps mitigate elevated water temperature events in the late summer on some segments of the Eagle River, improving conditions for aquatic insects and fish. New Reservoirs & TMDs Climate ChangeMunicipal Water Demand Characterization of Future Risks A key focus of the ERCWP was characterizing risks to river health and non-consumptive water uses due to changing hydrology or future water demands (Appendix C). Evaluation of potential future trajectories for Eagle River streamflows (Appendix F), and secondary impacts on aquatic habitat quality (Appendix I), riparian condition (Appendix J), water quality (Appendix K), water temperatures (Appendix L), , sediment mobilization (Appendix M), and recreational use opportunities (Appendix N) relied on inferences drawn from observed conditions, numerous completed trends analyses, and results produced by scientific modeling tools. The use of hydrological simulation modeling results allowed for comparison of potential future streamflow trajectories with current and historical conditions and to consider how streamflow changes may affect various components of river health and the ability of local streams and rivers to support a variety of human uses. Multiple potential futures can be imagined for population growth and water use in Eagle County. Each of these futures may be accompanied by one of several climate change trajectories. Representing the synergistic impacts of growing populations and a changing climate is not a trivial task. Fortunately, the Eagle River Water and Sanitation District worked to provide a detailed water supply planning model (the “ER20” model) for the watershed that was tailored to describe changing streamflow conditions under a variety of potential future scenarios relevant to the planning process. This work roughly mirrored the approach used by Colorado Water Conservation Board to provide similar water planning models as a component of the Colorado Water Plan. The geographic scope of the ER20 model results included in the ERCWP was limited to the Eagle River mainstem below the confluence with Homestake Creek, Gore Creek below Black Gore Creek, Bush Creek, and Gypsum Creek. The impacts of population growth, development of new reservoirs in the upper watershed, and three different climate change trajectories were evaluated in ten different model scenarios. The Colorado State Climatologist indicates that statewide annual average air temperatures increased by +2.3°F between 1980-2022. By 2050 (the 2035-2064 period average), Colorado statewide annual temperatures are projected to warm by +2.5°F to +5.5°F compared to a 1971-2000 baseline, and +1.0°F to +4.0°F compared to today, under a medium-low emissions scenario (RCP4.5). Rising air temperatures are expected to increase vegetative demands for water, dry out soils, and change patterns of snowmelt in Eagle County. Potential future risks to streams and rivers in the planning area associated with climate change include the following: • Wetter and warmer winters slightly increase peak flow magnitudes and variability due to earlier melt and increased probability of rain-on-snow events. Increased peak flow magnitudes may be accompanied by shorter duration of high flows. • Total streamflow declines due to warming temperatures (increased vegetation ET demand, lower soil moisture, and longer growing/irrigation season) outpace potential gains from precipitation increases, causing overall streamflow declines. • Severity and duration of acute low-flow events increase in summer/fall, negatively impacting abundance of aquatic insects. • Decreased total flow volumes and reduced base flow magnitudes alter total annual sediment transport capacity, degrading habitat quality. • Onset and peak snowmelt shifts earlier in the runoff season, increasing the duration of late season low flow conditions and elevated water temperature conditions. • Declining late summer/early fall flows place make it more difficult to meet and maintain instream flows using reservoir releases. Water quality (temperature, DO, and nutrients), and habitat connectivity for fish degrade. • Baseflow declines reduce stream network connectivity during late summer and fall, restricting refuge seeking movements, seasonal migration, and spawning activities of native and sport fish. Population growth projections provided by the State of Colorado Demographers Office. PO T E N T I A L D R I V E R S 24 25 The graphic below indicates simulated changes in streamflow behavior on the Eagle River near Minturn. Colored overlays indicate key differences in streamflows between the current (Baseline) condition and scenarios representing 1) changed reservoir operations in response to increased local water demand (Demand Growth) and 2) the construction of new TMDs and reservoirs in the upper watershed (New Water Infrastructure). Notably, no significant water diversions for West Slope use exist above this location so the Demand Growth scenario largely reflects impacts of climate change. The top graphic indicates changes under a “Warm & Wet” climate future, the middle graphic indicates changes under an “In Between” climate future. The bottom graphic indicates changes associated with a “Hot and Dry” climate future. In all climate scenarios, spring runoff shifts to earlier in the year and the bulk of snowmelt occurs more quickly than under current conditions. Increasing in-basin water demand reduces late season flows. New TMDs and water storage in new or enlarged reservoirs reduce peak flows. Releases of stored West Slope water can offset some of the low flow impacts associated with climate change. The graphic below indicates simulated changes in streamflow behavior on the Eagle River near Gypsum. Colored overlays and tiled representations of climate change scenarios are identical to the opposing figure. Patterns at this lower watershed location are somewhat different, however. In all climate scenarios, spring runoff shifts to earlier in the year and peak flow magnitudes are reduced. The length of the runoff season is largely unaltered. The Demand Growth scenario at this location reflects increased upstream water diversions to meet growing municipal uses (due to population growth) and agricultural uses (due to increased evaporative demand from crops). The coupled effects of climate change and increasing in-basin water demand reduces late season flows. New TMDs and water storage in new or enlarged reservoirs in the upper watershed lead to a modest reduction in peak flows–a reflection of the mitigating influence of large tributary inflows from Gore Creek, Lake Creek, Brush Creek, and Gypsum Creek. Unlike more upstream locations, no benefit to low flows associated with reservoir releases is observed during the late summer period in the New Water Infrastructure scenario. See Appendix F for a more detailed discussion of historical and potential future hydrology in the planning area. Scenarios: Colored lines indicate median simulated condition. Shaded areas indicate full range of simulated daily flows across a given scenario. Scenarios: Colored lines indicate median simulated condition. Shaded areas indicate full range of simulated daily flows across a given scenario. PO T E N T I A L D R I V E R S 26 27 The Colorado Division of Fire Prevention and Control notes that the 20 largest wildfires in state history occurred since 2001. A warming climate and ongoing impacts from beetle infestations suggest that fire activity will only increase in the future. Burned watersheds often experience significant degradation of water quality and aquatic habitat as streams are inundated by fine sediments. Mudslides and debris flows present a danger to life and property. Flashier streamflow responses to rainfall events can produce floods that damage agricultural water diversions and municipal water treatment infrastructure. A comprehensive discussion of wildfire risks in the planning area is provided in the Eagle County Community Wildfire Protection Plan. Potential future risks to streams and rivers in the planning area associated with wildfire include the following: • Runoff from burn scars degrades physical habitat and degrades water quality for aquatic insects and fish. • Increased sediment fluxes impact channel shaping processes, increasing aggradation rates and altering seasonal sediment transport patterns. • Inputs of fine sediment degrade spawning habitat quality for trout and impacts critical riffle habitat for aquatic macroinvertebrates. • Runoff from burned areas increases dissolved metals loading to streams, potentially further degrading the quality of waters already impacted by discharges from the Eagle Mine. Wildfire Every town in Eagle County is positioned along the mainstem Eagle River or Gore Creek. Historical and ongoing development of residential and commercial areas and transportation corridors in floodplains and other near-stream areas degrades riparian forests, decreases water quality, and, in some cases, directly impacts the structure of stream channels. The addition of 15,000 people in the county by 2050 will necessitate additional development. The 2025 update to the Eagle County Strategic Plan outlines strategies for accommodating a growing population in a manner that is consistent with community values. A growing population will likely increase recreational uses of local streams and rivers. Increased recreational uses of stream and river corridors may degrade the quality of riparian areas. Potential future risks to streams and rivers in the planning area associated with urbanization include the following: • Continued increases to impervious area, increased stormwater volumes, and riparian degradation impact aquatic community structure and limit the presence of sensitive aquatic species. • Stormwater runoff and physical channel modification alter sediment supply and transport regimes, potentially degrading aquatic habitat. • Continued development further alters, degrades, removes, or fragments riparian forest buffers. Urbanization Impacts to river health and opportunities for local communities to use and enjoy local water sources are not only sourced from drivers of hydrological change. Shifts in land use and land cover can drastically alter inputs to the stream environment and degrade the physical and biological condition of floodplains and riparian areas. Wildfire is an ever-present risk to the health of streams and rivers and the ability of human communities to use water for a variety of activities. No modeling work was available to support a quantitative evaluation of wildfire impacts under the ERCWP. However, significant evidence is available from other watersheds that helped inform our characterization of risks associated with wildfire. The impacts of urbanization on floodplains and riparian zones in Eagle County are well-documented. While it was not possible under the ERCWP to predict the exact patterns of future urban development that may impact floodplains and riparian zones, observed historical patterns will likely persist. The impact of historical development on floodplain structure and riparian condition along the river corridor was assessed under the ERCWP. The map below indicates wildfire risk to infrastructure in the Gore Creek watershed as assessed by the Town of Vail Community Wildfire Protection Plan Below: Conceptual development rendering along the Eagle River near Edwards. Critical Infrastructure Risk High Low Vail GIS, Eagle County GIS | TOV Wildfire | County of Eagle, Bureau of Land Management, Esri, HERE, Garmin, USGS, NGA, EPA, USDA, NPS | RE P O R T C A R D S 28 29 Brush Creek Gypsum Creek Variable / Sub-Variable Tigiwon Minturn Avon Edwards Wolcott Eagle Gypsum Dotsero East Vail West Vail Eagle Ranch Town Center Dry Year Base Flow B A A A A B A B B A D F Typical Year Base Flow B B A A A A A A A A C F Moderate Flood Frequency F F D D D D D D A A F F Dry Year Peak Flow D C C B B C C C C C C F Typical Year Peak Flow C C B B B B B B A A B D Dry Year Total Volume D C C C C C C C B B C D Typical Year Total Volume C B B B A B A A A A A C Continuity and Transport A A A B A A A A B A A B Flushing Flows C A B D ? F A A A A ? ? Metals F D A A A A A A A A A A Nutrients A A B C C C C B A C A ? Water Temperature A A A B B C C C A B ? ? Floodplain Physical Condition B B B A C B C B C B C C Riparian Vegetation B C B B B B C B C B B C Channel Structure & Dynamics B B B B A B B A C B B C Habitat Structure B B A A A A A A B A B C Longitudinal Connectivity A A A A A B A A A A B C Aquatic Insects B B C C ? ? ? A D D A ? Fish C C B B A A A A A A B ? Water Quality Riparian Areas River Form Aquatic Life Aquatic Habitat Eagle River Gore Creek Streamflows Streambed Sediment The report card at right summarizes functional assessment scores for stream reaches across the planning area using an academic grading scale (above) to indicate the degree of impairment to a suite of ecological variables and sub-variables. The most severe and widespread impairments are related to alteration of streamflow patterns and degradation of water quality. Similar reach-scale report cards are presented in subsequent pages. Reach-Scale Assessment Results Domain experts completed focused evaluations of the ten state variables and associated sub- variables. State variable assessments evaluated current conditions and characterized the degree of departure from an expected reference state using a weight-of-evidence approach. A variety of assessment methodologies—some rapid and coarse, some focused and intensive—produced evidence that reflects ecosystem processes across a range of spatial scales with varying degrees of objectivity. The coarsest approaches (Level 1) produced qualitative, reconnaissance-level variable assessments that guided more targeted investigations. Rapid assessments (Level 2) focused on specific areas of concern and involved more field-intensive surveys that reinforced expert opinions regarding the presence and magnitude of functional impairment. In some cases, intensive quantitative (Level 3) evaluations sought to explicitly account for the complex interactions between state variables and management activities. All assessment results are summarized in reach- scale “Report Cards” of river health (see pages 30-53) that summarize the functional condition of ecosystem variables and sub-variables using an academic grading scale at right. See Appendix O for details on the assessment criteria used to generate the Report Cards. This approach intends to quickly communicate technical assessment results to a wide variety of audiences. Each report card is accompanied by a location map and a discussion of the primary causes of impairment on the reach. In addition to grades for the existing condition of variables and sub-variables, each report card includes an indication of the potential for drivers of future condition (see discussion on pages 22-27) to influence local conditions. Upper Eagle River RE P O R T C A R D S Rex Flats to the Confluence with Cross Creek Aquatic insect communities near Minturn show increasing levels of stress/impact compared to upstream communities, potentially a result of Eagle Mine discharges and urban runoff from Minturn. Sensitive fish taxa like rainbow trout and sculpin are largely absent from the reach. Metals exceed relevant water quality standards, resulting in a 303(d) listing. This reach is also impacted by historical channel modification and habitat simplification. Flows are altered on this reach by upstream reservoirs and TMDs. The frequency of years where flows are sufficient to mobilized bed sediments declined by approximate 30%. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined more than 80% due to water use and management. Peak flows during typical and dry years declined 31-38% respectively. Total annual flow volumes in dry years declined 38% when compared to natural historic conditions. Current and Historical Drivers of Degradation 30 31 Upper Eagle River RE P O R T C A R D S Cross Creek to Gore Creek Sensitive fish taxa are largely absent due to water quality impacts from the Eagle Mine. Ambient metals concentrations exceed relevant water quality standards, resulting in multiple 303(d) listings and only partial/seasonal attainment of standards.The growth and development of juvenile salmonids is impacted by metals. Flows are altered by upstream TMDs and reservoirs. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined significantly due to water use and management. Peak flows during typical and dry years declined 24-30% respectively. Total annual flow volumes in dry years declined 32% when compared to natural historic conditions. Development in the Town of Minturn results in significant alteration to sediment transport continuity, lateral floodplain extent, and physical habitat structure in the stream channel. Current and Historical Drivers of Degradation 32 33 Middle Eagle River RE P O R T C A R D S Gore Creek to Avon WWTP Although this segment is not listed as an impaired waterway by Colorado’s Water Quality Control Division, macroinvertebrate health indices in Avon hover slightly above the state of Colorado’s impairment threshold and are consistently lower than sites upstream and downstream. Indices of sensitive taxa presence are the lowest of anywhere on the mainstem Eagle River, indicating degraded water quality conditions. Impaired water quality is likely sourced from urban runoff in the vicinity of Avon. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined nearly 60% due to upstream water use and management. Peak flows during dry years declined 21% and total annual volumes declined 22% when compared to natural historic conditions. Current and Historical Drivers of Degradation 34 35 Middle Eagle River RE P O R T C A R D S Avon WWTP to Squaw Creek Although this segment is not listed as an impaired waterway by Colorado’s Water Quality Control Division, macroinvertebrate health indices in Avon hover slightly above the state of Colorado’s impairment threshold and are consistently lower than sites upstream and downstream. Indices of sensitive taxa presence are the lowest of anywhere on the mainstem Eagle River, indicating degraded water quality conditions. Ambient nutrient concentrations do not exceed standards but are regularly within 50% of the standard value. Impaired water quality is likely sourced from urban runoff in the vicinity of Avon. Flows are altered on this reach by upstream water use and management. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined more than 40%. Peak flows during dry years declined 20%. Total annual flow volumes in dry years declined 26% when compared to natural historic conditions. Current and Historical Drivers of Degradation 36 37 Lower Eagle River RE P O R T C A R D S Squaw Creek to Hollingsworth Ditch This section of the Eagle River is impacted by transportation corridors including Hwy 6 and railroad tracks. This infrastructure bisects and fragments pocket floodplains. Legacy floodplain modification (e.g., filling and grading) is apparent in unconfined areas around Wolcott. Flows are altered on this reach by upstream water use and management. The frequency of years achieving bed sediment mobilization near Red Mountain Ranch declined more than 70%. Total annual flow volumes in dry years declined 23% from natural historic conditions. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined more than 35%. Annual 3-day peak flow magnitudes declined 19%. Nutrients are an emerging water quality concern. Ambient nutrient concentrations do not exceed regulatory standards for water quality but regularly exceed 50% of the standard value. Current and Historical Drivers of Degradation 38 39 Lower Eagle River RE P O R T C A R D S Hollingsworth Ditch to Brush Creek This section of the Eagle River flows through Red Canyon. Flows are altered on this reach by upstream water use and management. The frequency of years achieving bed sediment mobilization saw modest declines of up to 10%. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined 44%. Total annual flow volumes in dry years have declined 26% from natural historic conditions. Nutrients are an emerging water quality concern. Ambient nutrient concentrations do not exceed regulatory standards for water quality but regularly exceed 50% of the standard value. Late summer water temperatures in this section of the Eagle River often approach or exceed WQCD and Colorado Parks and Wildlife (CPW) thresholds for impairment of aquatic life. Elevated water temperature conditions impact the sport fishery and opportunities for recreational angling. CPW regularly implements summer fishing closures on this reach. Current and Historical Drivers of Degradation 40 41 Lower Eagle River RE P O R T C A R D S Brush Creek to Gypsum Creek Significant alteration to riparian areas and floodplain structure exist throughout this reach, largely due to I-70 and agricultural land uses that resulted in filling, grading, or riparian deforestation. Flows are altered on this reach by upstream water use and management. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined by 33%. Peak flows during dry years declined 22% from natural historic conditions. Total flow volumes during dry years decreased 22%. Nutrients are an emerging water quality concern. Ambient nutrient concentrations do not exceed regulatory standards for water quality but regularly exceed 50% of the standard value. Water temperatures in this section of the Eagle River often approach or exceed WQCD and Colorado Parks and Wildlife (CPW) thresholds for impairment of aquatic life. Elevated water temperature conditions impact the sport fishery and opportunities for recreational angling. CPW regularly implements summer fishing closures on this reach. Current and Historical Drivers of Degradation 42 43 Lower Eagle River RE P O R T C A R D S Gypsum Creek to Colorado River Historical modification of floodplains for residential and commercial uses resulted in historical filling, grading, and riparian deforestation in the Town of Gypsum limits. Floodplains and river channels downstream of Gypsum exhibit unique morphologies but appear relatively unimpaired by human land use activities. A recent wildfire burned a large cottonwood gallery below Gypsum in recent years. Recovery trajectories for riparian vegetation are uncertain. Flows are somewhat altered on this reach by upstream water use and management. The frequency of peak flows equivalent to the natural 1-in-4 year flood declined by 33%. Peak flows during dry years declined 22% from natural historic conditions. Total annual flow volumes in dry years declined 22%. A trends analysis shows significant declines in late summer streamflows between 1996-2020. Water temperatures in this section of the Eagle River often approach or exceed WQCD and Colorado Parks and Wildlife (CPW) thresholds for impairment of aquatic life. Elevated water temperature conditions impact the sport fishery and opportunities for recreational angling. CPW regularly implements summer fishing closures on this reach. Current and Historical Drivers of Degradation 44 45 Upper Gore Creek RE P O R T C A R D S Black Gore to Vail WWTP The section of Gore Creek above Vail is included on Colorado’s 303(d) list of impaired waterways. Water quality degradation manifests in low aquatic macroinvertebrate heath index scores. Expected sources of degradation include stormwater runoff, riparian degradation, pesticide application, and transportation infrastructure runoff. Significant alteration of stream channels occurred during the development of roads and commercial and residential areas along the creek. Extensive bank armoring, channel straightening, and habitat simplification exist along the Vail Golf Course and through Vail Village. Significant alteration to continuity, lateral extent, and structure of riparian forest communities exists throughout due to town development, residential development, or the golf course. Water storage and operations of Black Lakes produce modest impacts to the flow regime. Peak flows in dry years declined 21% relative to natural conditions. A trends analysis shows significant declines in late summer streamflows between 1996-2020. Current and Historical Drivers of Degradation 46 47 Lower Gore Creek RE P O R T C A R D S Vail WWTP to Eagle River The section of Gore Creek above Vail is included on Colorado’s 303(d) list of impaired waterways. Water quality degradation manifests in low aquatic macroinvertebrate heath index scores. Expected sources of degradation include stormwater runoff, riparian degradation, pesticide application, and transportation infrastructure runoff. This section of Gore Creek is also impacted by discharges from the Vail Wastewater Treatment Plant (WWTP). Elevated nutrient concentrations are evident. Water storage and operations of Black Lakes and water withdrawals for municipal supply produce modest impacts to the flow regime. Winter water withdrawals for snowmaking can impact streamflows but are generally offset by discharges from the WWTP and releases from Black Lakes. Peak flows during typical and dry years declined more than 20%. A trends analysis shows significant declines in late summer streamflows between 1996-2020. Current and Historical Drivers of Degradation 48 49 Brush Creek RE P O R T C A R D S Town Diversion to Eagle River Past or present agricultural activities and recent residential and urban development near the Town of Eagle resulted in extensive floodplain and channel encroachment and modifications or removal of riparian vegetation . Summer baseflows in Aug/Sep of typical and dry years declined between 25-37% when compared to natural historic conditions. High peak flow frequency (the frequency of years with peaks above the natural flow 4-yr recurrence) declined profoundly (> 50%). Agricultural and municipal water uses decrease annual flow volumes by 25% during dry years. Ambient nutrient concentrations do not exceed standards but approach it by exceeding 50% of the standard threshold or having maximum observed concentrations that are above the threshold. Current and Historical Drivers of Degradation 50 51 Gypsum Creek RE P O R T C A R D S USFS Boundary to Eagle River Significant physical channel alteration, including bank armoring, straightening, and simplification, exists throughout the Town of Gypsum. Channel encroachment and high flow capacity reduction appears evident on many ranches and outlying suburbs due to flow losses at large ditches. Extensive encroachment on stream channels and floodplains exist from past or present agricultural uses and recent residential development. Seasonal or permanent barriers to aquatic organism passage exist at low flows at specific locations on the reach. Significant alteration to continuity, lateral extent, and structure or riparian communities exists due to town development and agricultural land uses. These changes significantly degrade stream and floodplain habitat. Agricultural and municipal water uses alter the streamflow regime. High peak flow frequency declined profoundly (~90%). Peak flows during typical and dry years declined by 37- 60% compared to natural historic conditions. Summer baseflows during Aug/Sep in average and dry years declined by 50-80% relative to natural conditions. Total annual flow volumes in dry years declined 37%. Current and Historical Drivers of Degradation 52 53 VA L U E S A T R I S K 54 55 Identifying At-Risk Values Water resources are highly valued by the local community. Streams and rivers provide municipal water supply, enhance natural beauty of the landscape, support the local tourism economy and provide numerous cultural, social and intrinsic functions. The ERCWP seeks to identify how these values may be at risk in a changing and uncertain world. A shared understanding of system behavior is a crucial foundation for conversations regarding the potential impact of alternative water management approaches on ecosystem function or recreational use opportunity. The technical information discussed in the sections above intends to support the development of that shared understanding. Understanding how to weigh the relative importance of the numerous values at risk can be a difficult exercise for both the public and water managers. A useful framework is to consider risks through the lens of ‘how likely is this event or outcome to occur?’ and ‘how impactful will it be if it does?’. Values at Risk can then be differentiated by the likelihood of a negative impact on a value or issue of concern, and the severity of the consequence associated with that impact. Dividing the risk space into four quadrants yields risk ratings and treatment pathways where: Risk Rating 1: High priority. Corresponds to impacts that are both likely and are expected to produce significant negative consequences. These high-priority risks require sufficient allocation of resources and proactive treatment to reduce likelihood and/or the consequences associated with an event. Risk Rating 2: Medium priority. Corresponds to impacts that are likely but are expected to be manageable and/or not produce significant negative consequences. These medium-priority risks should be managed strategically over the long-term. Risk Rating 3: Medium priority. Corresponds to impacts that are rare or difficult to plan for but are expected to produce significant negative consequences if/when they do occur. These medium-priority risks compel additional investigation into the event triggers and response pathways in order to be better prepared for reactive management of an event. Risk Rating 4: Low priority. Corresponds to impacts that occur regularly but are of relatively minor consequence to the issue or value of interest. These low-priority risks entail periodic monitoring or assessment of conditions to alter stakeholders to changing event likelihood or consequence severity. Potential future risks to the values derived from local streams and rivers were explored and identified through a process of stakeholder elicitation and workshops. Community workshop activities included causal chain diagramming, small group discussion, and multi-voting. Outcomes of these stakeholder processes were reviewed and summarized into two categories: • Environmental and Recreational Uses • Consumptive and Municipal Uses The relatively high ranking of environment and recreation water uses by community members, coupled with the relative surplus of existing planning activity and information conducted in other venues for municipal and agricultural water uses, provides a rational basis for focusing on these uses in future decision-making processes regarding water resource use and development. The following pages summarize the Values at Risk identified through the ERCWP process. A more detailed discussion of the Values at Risk is provided in Appendix C. Extreme High High Severe Severe Severe Very High High High High Severe Severe High Significant Significant High High High Medium Moderate Moderate Significant Significant Significant Low Negligible Negligible Moderate Moderate Significant Rare Unlikely Even Chance Likely Almost Certain Likelihood of Nega�ve Impact to Value or A�ribute of Concern Co n s e q u e n c e Ne g a � v e I m p a c t t o V a l u e o r A � r i b u t e 3 Understand Risk Pathways (Reactive - Medium Priority)1Treat Risk Pathways (Proactive – High Priority) 4 Monitor Conditions Periodically (Reactive – Low Priority)2Adaptively Manage Risk (Proactive – Medium Priority) Impacts are rare and/or difficult to plan for. Build understanding of event triggers and response pathways to be better prepared. Impacts are likely and will cause significant negative effects. Allocate sufficient resources and reduce risks proactively. Business as usual. Impacts occur regularly but do not have disastrous consequences. Treat risks strategically. Impacts occur regularly but are of little consequence. Monitor conditions periodically for changing likelihood or consequence of impacts. The figure above is a conceptualized risk space relating 1) the likelihood of some negative impact to a value or attribute of concern and 2) the consequence of that impact. Varying degrees of likelihoods and consequences are indicated in the gray boxes. The associated level of risk to the value or attribute of concern is indicated in the colored boxes. The risk space is divided into four quadrants that suggest different strategies and priorities for responding to risk. Values at Risk identified during the ERCWP are assigned to these four risk quadrants on the following pages. VA L U E S A T R I S K 56 57 • Elevated summer and fall water temperatures driven by changes in water use and climate lead to more fishing closures and reduced fishery quality; the largest impacts are expected below Edwards. Angling • Instream flow deficits limited in most areas of the watershed but are more prevalent in upper reaches of Gore Creek and on the Eagle River near Avon. Deficits may become more severe on the mainstem Eagle River and on Gore Creek near Vail, especially during dry years, due to growing water demands and a changing climate. Wildlife and Biodiversity RISK RATING High priority. Corresponds to impacts that are both likely and are expected to produce significant negative consequences. These high-priority risks require sufficient allocation of resources and proactive treatment to reduce likelihood and/or the consequences associated with an event.1 • Growing populations and warming air temperatures increase demand for municipal water supply in systems throughout the watershed. • Increases to in-basin municipal diversions and/or storage of surface water due to the combined effects of climate change and population growth may alter patterns of streamflow in a manner that negatively impacts riverine ecosystems along the Eagle River below Cross Creek, Gore Creek, Brush Creek and Gypsum Creek. • Increases to transmountain diversions due to increasing water demand on the Front Range may alter patterns of streamflow in a manner that negatively impacts riverine ecosystems on the Eagle River. Municipal Water Supply • Altered streamflow on the Eagle River due to changes in water use and climate may reduce the frequency and duration of suitable conditions for a variety of whitewater boating activities and shift a greater number of those suitable conditions to the early spring period. Recreational Boating • Development in floodplains and placement of infrastructure within the river corridor degrades the aesthetic quality of the landscape, particularly on Gore Creek; similar potential for future degradation exists along the Eagle River between Wolcott and Gypsum. Aesthetics and Viewscapes • Warming winter air temperatures may lead to an inability for local ski resorts to make snow in the early winter months, which may reduce the total available skier days. • Warming climate and shifting precipitation patterns may mean that snowmaking is required for a longer period in any given year; increasing the duration of the impact of snowmaking activities on streamflows, particularly in Gore Creek. Snowmaking VA L U E S A T R I S K 58 59 • Altered streamflow on the Eagle River below Edwards due to changes in water use and climate may reduce the frequency and duration of suitable conditions for float fishing and shift a greater number of those suitable conditions to the late winter/ early spring period. Angling • Warm stream temperatures degrade the health of the cold-water fishery in the middle and lower watershed. • Sedimentation impacts from large wildfires may produce acute fish-kill or macroinvertebrate loss events. Downstream aquatic habitat conditions may be degraded and require several years to recover. Impacts may occur broadly across the watershed. • Continued water quality impacts from Eagle Mine impact fishery structure on the Eagle River near Minturn. • Combined effects of climate change and upstream water development may exacerbate water quality impacts from Eagle Mine on the fishery near Minturn. • Climate change and future municipal water demands may deplete streamflows on Gypsum Creek, disconnecting headwaters reaches from the mainstem Eagle River. • Traction sand and road salts sourced from the I-70 corridor over Vail Pass may impact aquatic habitat quality on Gore Creek. Road expansion is likely to increase the quantity of both making it into the creek in the future. • Native cutthroat trout populations that exist in small tributary streams at high elevations may be at risk for fire, hybridization with non-native species, or future fragmentation of habitat due to infrastructure development. • Continued urbanization is expected to disproportionately impact riparian areas along the Eagle River mainstem below Wolcott, on Gore Creek and along tributaries like Brush Creek and Gypsum Creek. • Ongoing agricultural activities on select parcels in the river corridor near Edwards and between Eagle and Gypsum suppress recovery of native riparian plant communities. • Recovery trajectories are uncertain for recently burned areas of riparian forest along the Eagle River near Gypsum; ongoing climate change and development pressures may limit natural recovery potential. • Development in floodplains and placement of infrastructure within the river corridor fragments terrestrial wildlife habitats on streams and rivers throughout the watershed. Wildlife and Biodiversity Aesthetics and Viewscapes • Growing populations and increasing urban/suburban development pressure leads to conversion of agricultural lands and a loss of open, green spaces in upland areas buffering communities or along river corridors. Agriculture • Aging water supply infrastructure may increase operation and maintenance costs for some agricultural producers, eroding the economic viability of local farming/ranching enterprises. Inefficiencies in water delivery infrastructure may also limit agricultural users’ ability to adapt and respond to climate change. • Water use by phreatophytes along open ditches increases consumptive use. RISK RATING Medium priority. Corresponds to impacts that are likely but are expected to be manageable and/or not produce significant negative consequences. These medium-priority risks should be managed strategically over the long- term.2 • Out-of-basin augmentation of local municipal water use fails to mitigate impacts of that use on local ecosystems. • Loading of metals from historical and ongoing mining activities negatively impacts drinking water supply quality on the Eagle River above Avon. Municipal Water Supply VA L U E S A T R I S K 60 61 • Changes to streamflow, water quality and/or fishing pressures may alter the status of the Gold medal fishery on lower Gore Creek and the candidate Gold Medal reaches on the Eagle River near Avon and Gypsum. • Increasing likelihood of fishing closures on some subset of stream/river reaches may increase angling pressures on other reaches, degrading the fishing experience and the quality of the sport fishery. Angling • Future water temperature increases driven by changes in climate may lead to the complete loss of the cold-water fishery and a shift in species composition to a warm-water fishery in the lower watershed. • Existing high-quality riparian areas along the mainstem Eagle River near Edwards and between Wolcott and Gypsum appear at greatest risk for change due to altered peak flow hydrology under various climate change and water use scenarios. RISK RATING Medium Priority. Corresponds to impacts that are rare or difficult to plan for but are expected to produce significant negative consequences if/when they do occur. These medium-priority risks compel additional investigation into the event triggers and response pathways to be better prepared for reactive management of an event. 3 • Warming air temperatures may decrease the overall effectiveness of outdoor water conservation programs/projects. • Consolidation of water supply to a smaller number of diversion points following low-frequency/high-impact events (e.g., hazardous material spill on Vail Pass, catastrophic wildfire) may lead to increasingly altered streamflows on some reaches of stream. • Large wildfires may significantly degrade the quality of drinking supply for smaller municipal systems (e.g., on Brush Creek and Gypsum Creek). Municipal Water Supply Wildlife and Biodiversity • Water quality degradation from urbanization may degrade macroinvertebrate communities and qualifying conditions for Gold medal fishery status on lower Gore Creek and on the Eagle River near Avon and near Gypsum. • Aquatic biology on the Eagle River and Gore Creek is supported by a high degree of hydrological connectivity among reaches and between mainstem channels and various tributaries in the middle and upper watershed. Warming air and water temperatures under climate change may induce some thermal barriers to fish movement in the middle and lower watershed. • Structural/physical habitat degradation caused by legacy agricultural activities and infrastructure placement occurs sporadically along the Eagle River mainstem below Town of Eagle and along Gore Creek in the vicinity of the public golf course. • Growing resident and visitor populations may increase nutrient loading from wastewater treatment plants and stormwater runoff while changing streamflows under climate change may reduce the diluent capacity of receiving waters during some times of year, creating problematic conditions for aquatic life. Wildlife and Biodiversity Agriculture • Changing economic and social pressures may lead to a progressive reduction in the number of productive agricultural operations. RISK RATING Low Priority. Corresponds to impacts that occur regularly but are of relatively minor consequence to the issue or value of interest. These low-priority risks entail periodic monitoring or assessment of conditions to alter stakeholders to changing event likelihood or consequence severity.4 • Questions regarding the impact of arsenic on water supply quality remain due to uncertainty in the regulatory environment. Municipal Water Supply VA L U E S A T R I S K 62 63 Translating Values at Risk to Management Objectives Stakeholders to the ERCWP reflected on the Values at Risk (pages 54-61) and identified a set of durable Management Objectives (Appendix A) that can be used to guide policy development and project implementation in the Eagle River watershed. Stakeholders worked to ensure that identified objectives are measurable, operable, meaningful and motivational: Measurable means that progress toward meeting the objective can be quantified over time Operable means that the community does not expect that meeting the objective will require broad participation of governments, organizations or individuals not represented in the planning process or who reside outside of Eagle County; or require an infinite time horizon Meaningful means the objective is issue-based and relevant to the ERCWP planning goals Motivational means that local organizations, governments or individuals whose participation is required for the objective to be successful should, generally, be inspired or have the political will to act to meet the objective. Management Objectives are issue-based statements that respond directly to the issues that the community expects the ERCWP to address. A summary of the ERCWP objectives is presented in the graphic at right. Identified objectives are presented in greater detail elsewhere. Detailed objectives reference specific geographies and timeframes over which they apply and can be assessed. They are also accompanied by clear and measurable targets for success; and a set of proposed performance indicators or metrics that can be used to evaluate objective success over time (Note: the selected metrics may change over time as new information and assessment techniques come available). The Management Objectives included in the ERCWP are aspirational in nature and should not be misconstrued as enforceable policy statements. They should also not be interpreted as consensus statements or as the maximum necessary standard for meeting the goals of the ERCWP. Management objectives identified through the ERCWP process. Issue of Concern Objective Protect riparian and wetland ecosystem condition and function Support viability of native and sport fish populations Maintain or enhance surface water quality for aquatic biota Meet projected municipal water demands of expected population growth in Eagle County given the uncertainty of a changing climate Improve municipal water system efficiency Strengthen connections between land use planning and water use Limit negative impacts of municipal water use on the natural environment Maintain or enhance surface water and groundwater supply quality Reduce water consumption for outdoor amenities (ponds, fountains, golf courses, parks, turf fields, etc.) Limit water quality impacts of water use by outdoor amenities Maintain Gold Medal trout fishery eligibility on Gore Creek and the Eagle River Protect riparian ecosystems at fishing access points Maintain opportunities for float fishing on the Eagle River Enhance user knowledge of river ethics, parking at public access points, maximum user capacity of a give reach for enjoyment, etc. Promote conditions conducive to fishery health Provide for adequate recreational boating access to the Eagle River and Gore Creek Maintain opportunities for recreational boating on the Eagle River and Gore Creek Enhance user knowledge of river ethics, parking at public access points, maximum user capacity of a give reach for enjoyment, etc. Maintain green spaces and terrestrial habitat provided by productive irrigated agriculture Improve efficiency of existing irrigation water delivery and irrigation systems Aesthetics and Viewscapes Recognize the importance of maintaining the aesthetic qualities of healthy functioning stream and river corridors Snowmaking Minimize negative environmental impacts associated with water demands for snowmaking Wildlife and Biodiversity Municipal Water Supply Angling Recreational Boating Agriculture ST R A T E G I E S 64 65 Support for Ongoing Identification and Prioritization of Management Strategies The Management Objectives (Appendix A) represent a critical primary deliverable from the ERCWP. They provide a framework for ongoing efforts to identify projects, policies, and other actions that support the goals of the Plan. In this way, the ERCWP is envisioned as a dynamic process that does not end with the publication of this document or associated planning outputs. The Eagle River Coalition intends to continue engagement with local stakeholders to identify, fund, and implement critical actions that further the goals and mission of the Plan. Initial Strategy List The final steps in the ERCWP planning process involved identification of an initial set of alternative actions that support he identified Management Objectives. Stakeholders to the ERCWP participated in several workshops to evaluate the outcomes from various technical assessments, consider the values at risk and management priorities expressed through the Management Objectives. The outcome of these workshops was a draft set of 92 projects, policies, and other managements actions subjected to further evaluation. The planning team assessed the list of ideas against the Management Objectives and performed a cursory feasibility analysis to reduce the list to 30 potential Strategies that can help mitigate future risks to the values and benefits the local community derives from streams and rivers. Those Strategies were organized into 9 broad categories: • Instream habitat restoration • Management of instream flows • Climate studies/infrastructure • Riparian habitat restoration • Recreation infrastructure • Recreation use limits • Turf reduction and landscaping • Water rates • Education and community outreach Each remaining Strategy was evaluated against the perceived constraints, or challenges that might limit the ability of the community to actually implement the action. Strategies were also assessed by identifying the number of Management Objectives they respond to. These outcomes of these evaluations were captured as a pair of dimensionless indices that allow for relative comparisons among the Strategies. The first step in computing the Responsiveness to Objectives Index involved answering a series of questions exploring the degree to which each Strategy related to each Management Objective. Those questions are provided below. Initial set of project and policy Strategies identified through the ERCWP process. Each Strategy is accompanied by a pair of dimensionless indices that describe their respective responsiveness to the Management Objectives and the number and type of limiting factors that may complicate implementation of the Strategy. Strategy ID Description Responsiveness to Objectives Perceived Limiting Factors HAB-1 Partner with local conservation district to construct fish passage structures around select agricultural water diversions on Gypsum Creek and Brush Creek 2.9 1 HAB-2 Partner with USFS and CPW to install Aquatic Organism Passage (AOP) Projects on tributaries holding native trout 1.8 0 HAB-3 Implement aquatic and riparian habitat restoration project on the Eagle River below Gypsum impacted by wildfire 2.5 2 HAB-4 Reroute Wearyman Road (connector of Shrine Pass and Red Cliff) to reduce sedimentation 1.0 1 HAB-5 Conduct post-project monitoring for instream habitat restoration projects to quantify effectiveness 0.8 3 Q-1 Construct modeling tools to evaluate feasibility of mitigating water temperature impacts on lower Eagle River through reservoir releases 3.5 5 Q-2 Pilot Water Temperature Reduction Project 7.0 2 Q-3 Support the Colorado River District's efforts to secure the Shoshone Power Plant water rights in Glenwood Canyon 7.0 1 CSI-1 Support the Central Colorado Mountains River Basin Weather Modifica�on Program 1.2 2 CSI-2 Incentivize installation and use of smart irrigation controls on residential dwellings 3.2 1 RIP-1 Continue to pursue riparian/wetland restoration opportunities identified in the Eagle River Inventory and Assessment that fall outside the ERCWP planning area 3.2 2 RIP-2 Use riparian condition mapping produced by the ERCWP to plan and implement riparian habitat restoration with private landowners in Edwards near the confluence with Lake Creek and between Eagle and Gypsum 8.3 2 RIP-3 Plan and implement riparian habitat restoration projects with public land entities on upper Brush Creek and Gypsum Creek.7.6 1 RIP-4 Increase river canopy shading along the lower Eagle River with large trees to address increasing river temperatures 6.6 1 RIP-5 Utilize conservation easements to protect riparian habitat, wetlands, and floodplains, especially near Edwards, Wolcott, and between Eagle and Gypsum 3.9 3 RIP-6 Develop recommendations for complementary riparian setbacks in Eagle County and the towns of Eagle County 7.5 2 REC-1 Inventory and upgrade existing boat ramp infrastructure (e.g., hard and soft), river access points, and nearby recreational areas 6.2 2 REC-2 Improve efficiency of existing irrigation water delivery and irrigation systems for parks, golf courses, and ball fields 0.6 3 USE-1 Study the impacts of recreational boating and angling on aquatic species, especially during elevated temperature events 0.6 1 USE-2 Study user pay systems for river use, including the effectiveness, feasibility and equity of such regulations 0.6 1 TRF-1 Implement turf replacement and stormwater demonstration projects throughout the county 6.8 3 TRF-2 Organize an education and outreach program to promote water-wise landscaping throughout the county 6.8 0 TRF-3 Establish a local source/nursery for native drought-tolerant and/or riparian vegetation 3.2 1 TRF-4 Establish landscape guidelines for turf reduction for new developments or rebuilds 6.8 1 TRF-5 Develop an incentive program for community members to re-landscape their properties and reduce turf 6.8 2 TRF-6 Establish policies to reduce water use on existing properties 7.2 1 RTE-1 Promote use of Eagle River Water and Sanitation District’s tiered water rate cost structure in other jurisdictions 7.0 1 RTE-2 Establish water budgets for residential and commercial properties throughout Eagle County 3.5 1 EDU-1 Establish a long-term stakeholder coalition to prioritize, fund, and implement projects 0.0 1 EDU-2 Engage with homeowners by bringing information to their homes to reduce excessive water use 3.6 1 Water Rates Education and Community Outreach Riparian Habitat Restoration Climate Studies/ Infrastructure Management of Instream Flows Scaled Evaluation Indices Recreation Use Limits Recreation Infrastructure Turf reduction and Landscaping Instream Habitat Restoration Management Objective Responsiveness Questions • How strongly does this Strategy respond to a Management Objective? • Does it respond to more than one? • Do you think this Strategy can achieve the desired result without completing other Strategies first? • How would you measure/determine that this Strategy had the intended effect on the Management Objective? ST R A T E G I E S 66 67 Those Strategies deemed most responsive to the Management Objectives and presenting few issues or constraints for implementation may be prioritized for implementation on shorter timelines. Other Strategies remain important priorities for the community, but additional roadmapping and groundwork is likely required before implementation can proceed. Over time, community members will identify additional Strategies for responding to the Management Objectives. Evaluating the opportunities presented by new Strategies relative to those stated here may benefit from a structured process like a Multi-Criteria Decision Analysis (MCDA). The approach outlined above provides ERC and its partners with a template for MCDA implementation. The Limiting Factors Index was assessed for each Strategy by considering a series of questions related to the potential challenges posed by various factors. The questions contemplated by the project team are provided below, organized by limiting factor category. Weights were assigned to each Strategy corresponding to each of the potential limiting factors using the rating system described below. The limiting factor scores were then summed for each Strategy area. This summed value was used as the index score. The dominant limiting factors identified across the full set of Strategies were Costs and Implicated Stakeholders. Limiting Factors Questions Secondary Effects • What are potential adverse or unintended consequences (e.g. environmental or socioeconomic) produced by the Strategy; how might these be addressed Implicated Stakeholders • Is there a local champion individual or organization for this Strategy ? • Who are the decision-making bodies or individuals implicated by this Strategy (e.g. local governments, federal resource management agencies)? • Who are the key constituencies who must be influenced/agree to participate in order to successfully implement the Strategy (who has something to gain; who has something to lose)? What motivates them (e.g., $$$, fear, ease, peers)? Why will they support/oppose the strategy? What’s the process required to engage or address them? Underlying Factors • Is there an underlying factor that acts as a critical driver or barrier that must be addressed to implement this Strategy or that may limit its effectiveness after it is implemented (e.g. climate change may decrease water supply and constrain efforts to manage water creatively for other uses)? • Is it feasible for us, or someone else within the community, to fully address this factor successfully on a reasonable time scale? If not, to what extent can the factor be addressed locally? Scope and Scale • What degree of legal interest/work is required to implement the Strategy (e.g., water rights, conservation easements, management agreements)? • What degree, frequency or level of management is required (e.g. one-time effort, bi-annual, monthly, etc.)? • To what degree will the Strategy require local, state, or federal permits and how difficult will it be to secure those? Costs • What’s the estimated order of magnitude cost to implement the Strategy (e.g., tens of thousands of dollars, hundreds of thousands, millions)? • Is funding available locally? If not, what are the other likely sources of funding? How much match funding (as a percentage of the total expected cost) can be expected to come from the local community? Limiting Factor Weights 0 - Not Applicable: This issue is not relevant to the action or was previously overcome. 1 - Some Concern: This issue presents some barriers for action implementation/success but it can be easily resolved by continued efforts of local stakeholders in the near-term. 2 - Significant Concern: This issue is expected prohibit implementation or severely limit success of the action in the near term. Significant work/attention are likely required resolve it. 3 - Deal breaker: This issue seems insurmountable but is critical to the success of the action. It is not clear how it can be resolved now or in the future. Water Use Ranking Weights 7 - Wildlife and Biodiversity 6 - Municipal Use 5 - Agriculture 4 - Recreational Boating 3 - Angling 2 - Aesthetics 1 - Snowmaking Responsiveness Scores 3 - Strongly Responsive 2 - Moderately Responsive 1 - Somewhat Responsive 0 - Not Applicable Index ScoreX∑(X ) =Value At Risk Weights 4 - Treat Risk Pathways 3 - Adaptively Manage Risk 2 - Understand Risk Pathways 1 - Monitor Conditions Index values were computed by summing weighted responsiveness scores for each Strategy. Weights reflected a Strategy’s correspondence to the prioritization of water uses expressed by community members and the Value at Risk ratings associated with each Management Objective that the Strategy responds to. The scoring approach is outlined below. IM P L E M E N T A T I O N 68 69 Updates to the Plan The long-term success and relevance of the Eagle River Community Water Plan hinges on periodic review of the Values at Risk, stated Monitoring Objectives, and Strategies by those individuals and organizations charged with the Plan’s implementation. Specific activities that should occur in the future to ensure the lasting relevancy and utility of the ERCWP to the local community include: Many of the Community Values identified by the ERCWP apply broadly across the Eagle River Watershed. However, the technical assessment of local conditions was geographically limited. Accordingly, future updates to the ERCWP may benefit from an extension of the technical assessment to include a wider geographical area. Throughout the planning process, some community members emphasized the need to extend the technical assessment approaches used under the ERCWP to evaluate the existing and potential future conditions of the upper Eagle River and Homestake Creek, especially as those waterways may be impacted by projects completed under the Eagle River MOU. More focused analysis and planning work on Lake Creek, Brush Creek and Gypsum Creek may also identify additional planning needs and opportunities. (a) Regular consideration of Monitoring Objectives and associated performance measures relative to the current state of knowledge and assumptions underlying the Values at Risk; (b) annual stakeholder review of implementation successes and other achievements relative to the recommended Strategies and development of a work-plan for activities in the upcoming year; (c) comprehensive assessments conducted on relevant ecological or social timeframes that collate new data and provide new analyses to identify emergent hydrological, ecological and human conditions and trends; (d) major updates to the Eagle River Community Water Plan conducted every ten years based on most recent comprehensive assessment results and input from the community; (e) ongoing monetary support of projects, programs, and policy initiatives that work to further the achievement of the Monitoring Objectives; and (f) annual targeted updates on Eagle River Community Water Plan activities provided to local government, community groups, and/or other stakeholder organizations. Implementation of the Strategies The list of Management Objectives (Appendix A) and Strategies (Appendix P) provided by the Plan (and updated in coming years by the community) intends to function as a roadmap for activities that preserve and enhance the ability of streams and rivers in the Eagle River Watershed to meet human and ecosystem needs. Identified lists of Limiting Factors can be used as a “punch list” of tasks that require completion prior to pursuit of a Strategy. Implementation of individual Strategies will be most effective when and where local stakeholders and an identified project champion partner to secure necessary funding, conduct outreach to the community, and oversee the implementation of projects or policies. Implementation of the Strategies outlined in the ERCWP, and additional Strategies identified by ERC and its partners in the future, will only be successful with collaboration and cooperation among affected stakeholders, elected officials, and resource managers. The collection of entities implicated by the Strategies are varied and diverse. While ERC expects to play a central coordination role for implementation of the Plan, there is no single entity expected to carry the torch for implementation of the full set of Strategies. The rationale for the actions embodied in the Plan’s list of Strategies is expected to support requests for and receipt of funding from local, regional, state, and federal sources. A non- exclusive list of potential funding sources for Strategy implementation includes the following: Eagle River Fund Colorado River District Community Funding Partnership Colorado Basin Roundtable Water Supply Reserve Fund Colorado Water Conservation Board Watershed Restoration Grants Colorado Water Conservation Board Colorado Water Plan Grants Colorado Water Conservation Board Turf Replacement Program U.S. Bureau of Reclamation Water Smart Grants The wealth of technical material provided by the ERCWP should support grant application development and provide a pathway for long-term assessment of project outcomes. Characterizing project success or failure will be critical to ongoing efforts to update the Plan through addition, modification, or removal of Management Objectives and the identification of new Strategies. 970-748-4023 jskinner@avon.org TO: Honorable Mayor Amy Phillips and Council Members FROM: Jena Skinner, AICP, Planning Manager RE: PUBLIC HEARING FIRST READING Ordinance 24-09 REZ24001 Rezoning East Avon Preserve DATE: June 6, 2024 SUMMARY: This report presents to the Avon Town Council (“Council”) First Reading of Ordinance 24-09 an application for the rezoning of an existing parcel of land owned by the Town of Avon (“Avon”) known as the East Avon Preserve (“Property”). This application changes the existing zoning for the Property from Public Facilities (“PF”) to Community Housing Medium Density (“CHMD”) and Open Space, Landscaping, and Drainage (“OLD”). Council provided direction that Community Housing is the top priority and directed Staff to prepare and submit a rezoning application for the Property in the fall of 2023. A work session prior to this application was initially heard by Council in October of 2023. At this meeting Council directed Staff to prepare and present new Community Housing zone districts and modifications to the Comprehensive Plan, prior to seeking an application for a rezoning on this property. Ordinance 24-01 (Community Housing Zone Districts) was approved January 23, 2024, and Ordinance 24-02 (Comprehensive Plan Amendments) was approved February 13, 2024. Both Ordinances support and reinforce planning and zoning (or rezoning) several Town-owned parcels for Community Housing, including the East Avon Preserve. The New Community Housing zone district be applied to this application is as follows: Community Housing Medium Density [Section 7.20.075(d)] (d) Community Housing Medium Density. The CHMD district is established to accommodate small single-family, duplex and townhome development as either single neighborhoods of similar units or in a neighborhood with a mix of unit types. The CHMD district should be located along a local road. Table 7.20-6 Community Housing Medium Density 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) Du / Multi- family / TH 10 du/ acre N/a 10% 80 10 7.5 10 35 This subject “Site” is limited to 6.5 acres of Community Housing development on a 37.4 acre parcel and located adjacent to the Village at Avon Tract J with I-70 to the south. See image, next page. BACKGROUND: The East Avon Preserve Parcel ("East Avon Preserve") in its entirety is 85.99 acres. The Town acquired the East Avon Preserve in 2013 from the United States Government as part of the Multi- Party Land Exchange agreement involving several parcels and parties (see Attachment A, Exhibit B). The East Avon Preserve may contain an area up to 6.5 acres for what was known at the time as “affordable” housing with the balance of the East Avon Preserve, 79.49 acres, to be used for vehicular and trail access to reach private development to the east, as well as the development of (general) public trails. The Town of Avon and the County of Eagle entered into an Intergovernmental Agreement in 2013, (which REZ24001 A Rezoning Application: EAP Community Housing June 7, 2024 Page 2 of 6 referred to the East Avon Preserve Parcel as the "Village Parcel"), which states in part that after the boundaries of the reserved area for “affordable housing” and community facilities, and when the road and trails alignments are determined, the Town of Avon is committed to granting a conservation easement to a land trust mutually acceptable to the Town and Eagle County. Not knowing what exactly would be built at this location, the zoning that was applied was Public Facilities (“PF”) for what was a potential developable area, as the initial target area for housing is within the “upper northeast corner.” After procuring a slope analysis for the site in 2022, Staff has identified a more specific and superior development area, with substantially improved accessibility to Wagon Trail Road (see proposed zoning image, next page) on acceptable slopes of between 0-30% (see next page). Location of Property: East Avon Preserve PLANNING & ZONING COMMMISSION REVIEW COMMENTS: The proposed rezoning was unanimously supported by the Planning and Zoning Commission (“PZC”) on April 22, 2024, and the PZC recommended Council approve the proposed rezoning. The PZC felt that using the Community Housing Medium Density (CHMD) instead of the existing Public Facilities (PF), was a logical and comprehensive option. PROCESS: Rezonings can only be initiated by property owners and the Avon Town Council (“Council”). With direction to proceed with a rezoning application Staff will provide the necessary public notification before hearings with the PZC. PZC will then review the rezoning application and provide a recommendation to Council. Council then approves rezonings by adoption of an ordinance. REZ24001 A Rezoning Application: EAP Community Housing June 7, 2024 Page 3 of 6 PUBLIC NOTIFICATION: The Application was publicly notified in the Vail Daily on April 12, 2024 and again on April 26, 2024. No public comments have been received. DISCUSSION: The Town continually strives to increase the numbers of Community Housing units within Avon. 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. 6 acres in this location implementing a mix of duplexes, townhomes, or multifamily units likely has a fair market value in the millions. The property is sizeable; however, it contains considerable slopes, which makes high-density housing development difficult on this location. Application of the CHMD zone district is appropriate for this reason, with goals including the implementation of a choice mix of potentially less sizeable residential forms, assisting in increasing “missing middle” inventory in Avon that work well with the topography. Town Council also has the option to increase the potential for housing at this location by implementing the “next” level of zone districts, Community Housing High Density-1. This would allow buildings to be a bit taller, allowing more effective design like terraced structures that step up hillsides. The CHHD-1 would also increase maximum densities from 65 units max using CHMD (10 units per acre) to a max of 162.5 units (at 25 units per acre using CHHD-1). The property is located near the Planning Area J (mixed-use/neighborhood commercial) area of the Village (at Avon) PUD, and P3, a property the Town will be developing for park purposes. Future development of Area J will compatibly support the residential development of the East Avon Preserve. Proposed Zoning STAFF ANALYSIS & REPORT PZC PUBLIC HEARING RECOMMENDATION 4/22/24 TOWN COUNCIL ORDINANCE & PUBLIC HEARING 6/11/24 – 1st Reading TOWN COUNCIL INITIATION TBD REZ24001 A Rezoning Application: EAP Community Housing June 7, 2024 Page 4 of 6 The planning and development of the East Avon Preserve is not as critically time sensitive as the recent Slopeside project, as water service is a current outlier for development at this location. A water storage tank to serve properties in this vicinity will be a necessary first step prior to the onset of the residential construction. Changing the zoning to CHMD is an advantage in 2024, as this places the Town of Avon in a position to seek funding for infrastructure improvements that will support future housing at this location. 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. 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 after securing water service and related infrastructre. Several steps will include further review of project design and type of housing development by Council and the Avon Planning and Zoning Commission, in the interim. 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. REZ24001 A Rezoning Application: EAP Community Housing June 7, 2024 Page 5 of 6 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, and will be further evaluated in subsequent entitlement applications; (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 Avon area as Community Housing is an established need; (6) There are adequate facilities that will be available to serve development for the type and scope suggested by the proposed zone compared to the existing zoning, which the Town will ensure not to 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 (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 future phases of entitlement. And, Conformance with General Review Criteria in AMC §7.16.020(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 REZ24001 A Rezoning Application: EAP Community Housing June 7, 2024 Page 6 of 6 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. TOWN MANAGER COMMENTS: Council asked questions about the 2013 Intergovernmental Agreement with Eagle County to adopt a Conservation Easement on a portion of the East Avon Preserve. Per the 2013 Intergovernmental Agreement the Town of Avon is not obligated to consider or adopt a conservation until (1) the area for housing is identified AND (2) the construction of a road and recreation trail across the property is completed. The 2013 Intergovernmental Agreement states the area for housing development should be no more than 6.5 acres unless a larger area is approved by Eagle County. I have contacted Eagle County officials to inquire into amending the 2013 Intergovernmental Agreement to change the 6.5 acres to 8.5 or 9 acres, to which they indicated they would likely support that change. Due to the process for Eagle County Board of County Commissioners to consider this change the ordinances is presented with 2nd reading and public hearing to be scheduled for August 12 to allow time to prepare and present an amendment to the 2013 Intergovernmental Agreement. RECOMMENDATION: I recommend approval of the rezoning of the East Avon Preserve. PROPOSED MOTION: “I move to approve First Reading of Ordinance 24-09 the Rezoning of the East Avon Preserve to Community Housing Medium Density and Open Space, Landscaping, and Drainage, based on the findings for §7.16.050 Rezonings and §7.16.020(f)(1) General Criteria, as presented and outlined in the Staff report and application.” Thank you, Jena ATTACHMENT A: REZ23001 East Avon Rezoning Application Ord 24-09 Rezoning EAP to CHMD and OLD June 7, 2024 Page 1 of 3 ORDINANCE 24-09 REZONING THE EAST AVON PRESERVE (SECTION: 8 TOWNSHIP: 5 RANGE: 81 LOT 1) AVON, COLORADO, FROM PUBLIC FACILITIES TO COMMUNITY HOUSING MEDIUM DENSITY AND OPEN SPACE, LANDSCAPING, AND DRAINAGE RECITALS WHEREAS, the Avon Town of Avon (“Applicant”) submitted an application to rezone a portion of the East Avon Preserve parcel (Lot 1), Avon, Colorado (“Property”) from Public Facilities, to Community Housing Medium Density with the remaining area Open Space, Landscaping, and Drainage 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 April 22, 2024, and prior to formulating a recommendation to the Town Council considered all comments, testimony, evidence and Town Staff reports; and in accordance with AMC §7.16.020(f), then took action to adopt a Findings of Fact and a Record of Decision, 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 May 13, 2024, and June 11, 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 intended for use as Community Housing and open space; WHEREAS, the Council finds that the rezoning from Public Facilities to Community Housing Medium Density and Open Space, Landscaping, Drainage 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 Ord 24-09 Rezoning EAP to CHMD and OLD June 7, 2024 Page 2 of 3 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 Public Facilities to Community Housing Medium Density with the remaining area Open Space, Landscaping, Drainage. 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, 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. Ord 24-09 Rezoning EAP to CHMD and OLD June 7, 2024 Page 3 of 3 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 June 11, 2024, and setting such public hearing for Second reading for August 13, 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 August 13, 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 EAST AVON PRESERVE COMMUNITY HOUSING PROJECT APPLICATION TYPE: REZONING FILE NUMBER: REZ24001 LOCATION: Adjacent to the Village (at Avon) PA J; Section: 8 Township: 5 Range: 81 LOT 1 Parcel No. 210308300007 https://property.eaglecounty.us/assessor/taxweb/account.jsp?accountNum=R065214 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. This development necessitates the zone district of Community Housing Medium Density (“CHMD”) to accomplish these goals, which is suitable for this location: the East Avon Preserve. The location of the subject parcel is adjacent to a future mixed-use neighborhood commercial development, recognized as Area J of the Village (at Avon). The site’s walkability to future neighboring commercial businesses, , park, and open spaces, is convenient. Additionally, this location is near an existing transit/bus route, making this site a unique project for our workforce. This subject “Site” is limited to 6.5 acres of Community Housing development on a 37.4 acre parcel and located adjacent to the Village at Avon Tract J with I-70 to the south. The remaining, undeveloped area is required to be placed into a conservation easement, which will occur when the precise development area is determined at a future date. In the interim, Staff is suggesting that the remaining parcel be rezoned to Open Space, Landscaping, and Drainage or (“OLD”) in the interim. Subject Property East Avon Preserve Rezoning Application June 6, 2024 Page 2 of 8 The subject site is large but topographically challenging. The proposed CHMD zone district represents the most suitable area for development based on a slope assessment. With this area, Staff estimates there will be approximately 4+ acres of developable land (slopes of 0-40%) plus lands for roads, trails, parking, and landscaping/drainage. Staff also identified a secondary site to the east (see image below). A sizable gully separates these two areas. As infrastructure costs rise in rugged terrain, Staff is not pursuing a zone change in the secondary area because of the gully. Additionally, the stipulations in the IGA with Eagle County require community housing in the subject property's “upper northwest area.” To modify this stipulation, Avon must return to Eagle County for an agreement modification. Due to the development limitations, Council could consider a different zoning instead of the proposed CHMD, as this district is limited to 65 dwelling units at ten du/ac on 6.5 acres. Using Community Housing High Density-1 (“CHHD-1”), for example, would open the possibility of increasing the number of units to a maximum of 162.5 residences at 25 du/ac. That does not mean we need to maximize the zoning, but it would allow the project's design to have flexibility in utilizing the site efficiently and help lower construction costs in having more dwelling units. BACKGROUND: The subject parcels (Lots 1 and 2 - known collectively as the “East Avon Preserve,” total 85.99 acres (see image below). The Town acquired the East Avon Preserve in 2013 from the United States government as part of the Multi-Party Land Exchange agreement involving several parcels and parties. The East Avon Preserve may contain an area of up to 6.5 acres for what was known at the time as “affordable” housing, with the balance of the East Avon Preserve, 79.49 acres, captured in a future conservation easement slated for vehicular and trail access to East Avon Preserve Rezoning Application June 6, 2024 Page 3 of 8 reach private development to the east, as well as the development of public trails. It was in 2013 when the Town acquired the Property through a deal involving the USFS and Eagle County (which originally referred to the East Avon Parcel as the “Village Parcel”), which requires in part that after the boundaries of the reserved area for “affordable housing” and community facilities, and when the road and trails alignments are determined, the Town of Avon is committed to granting a conservation easement to a land trust mutually acceptable to the Town and Eagle County. Not knowing what design would work for this location, the zoning applied was Public Facilities (“PF”) for the potential developable area. The Swift Gulch facility parcel was also zoned Public Facilities to reserve this area for Town purposes, including government employee housing and other uses. Recently, Avon rezoned the Slopeside parcel (neighboring parcel to Swift Gulch) to the more appropriate Community Housing High Density-1. Housing discussions and interactions have significantly increased due to the pandemic’s outfall. This was due to the unforeseen migration of people relocating to the mountains and an extreme demand increase. The outfall: housing prices rose sharply, and, in response, mortgage rates dramatically increased due to this inflation. Towns all over the nation are currently experiencing a workforce housing crisis. They 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 accommodations available for workers. Unfortunately, Avon does not yet have a portfolio as extensive as Vail's. Thinking ahead to diversify housing projects is a step in the best direction, and contemplating creating housing for employees. [1] U.S. Bureau of Labor Statistics JOLTS report, May 2023 SECTION 2 : REVIEW CRITERIA: The Planning and Zoning Commission and 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 investigate preliminary engineering designs for this project. During this process, the Town will ensure that all underlying code requirements for the requested zone district will be met, as this assessment proceeds. (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: East Avon Preserve Rezoning Application June 6, 2024 Page 4 of 8 • 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. Most likely, housing at this location would be in alignment with income targets of 120-140% of AMI or greater, given the potential infrastructure improvements needed. Having this parcel rezoned with a Community Housing zone district, allows the Town to find and apply for housing grants to help offset these significant costs. 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. Town Council recently added a new section of the Comp Plan (“District 12”), specific to the East Avon Parcel. Within this section it states that, “The East Avon District will be a Community Housing neighborhood connected to Wagon Trail Road and a multi-use path. The district enjoys extensive views and ample south-facing orientation for passive-solar-designed buildings. The district is also highly visible from I-70 and across the Eagle River Valley. The architectural design of Community Housing on this site should be elevated to demonstrate a strong example of Avon’s residential design standards and goals.” Further, “The East Avon District will be connected to and integrated with a trail system on the adjacent District 8 trail system. Development may include a variety of Community Housing types for local workers.” 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. East Avon Preserve Rezoning Application June 6, 2024 Page 5 of 8 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 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 significant grade changes the property is suitable for development where slopes are identified less 40% (see images next page and Exhibit A). A scenic property, I- 70 noise will be a factor when considering the overall site layout and structure orientation. Staff anticipates that in working with both the terrain and other factors like noise and visual impacts, a very considerate development overall will be the result that creates a very desirable neighborhood for workers. Infrastructure including roads and utilities, will need to be installed for this property. Initial design preliminaries have been evaluated, as Staff knows that the existing Wagon Trail Road will need to be extended through and or adjacent to the preserve as the Village (at Avon) plans to use this road to serve portions of the VAA to the north and east of the subject property; this road may also one day connect to the proposed State Land Board development in Eagle Vail. Currently, water and sewer is available in Wagon Trail Road, and generally, Wagon Trail Road is suffcieint for the main access road leading to this development area. The most significant piece of the development puzzle is the needed water storage tank for this area. The Town is in discussions with the Village (at Avon) regarding this aspect of the project. This site does not contain any significant wildlife habitat; however, it is used by mule deer as general summer and winter range, as well as a general migration corridor stretching from Gypsum to Dowd Junction. East Avon Preserve Rezoning Application June 6, 2024 Page 6 of 8 Image: Looking East from Wagon Trail Road 2023 Image: Looking West from Wagon Trail Road 2023 (4) Compatibility with surrounding land uses; Applicant Response: The rezoning of this property to Community Housing Medium Density is appropriate given that this property is within walking distance to future mixed-use neighborhood residential uses and commercial offerings like restaurants, transit, healthcare, and other services slated for Village (at Avon) Area J. The (future) P3 recreation area is also within walking distance. Further, using the medium density housing types will result in a more thoughtful design that may integrate into the topography better than using large structures that require more significant grading Development on this site will not have an adverse effect- or any impact, to neighboring properties as there are no directly adjacent developments to this location given the expectations of the slope analysis (there is a small buffer between this property and neighboring Area J). Development on this site will not impede views from any other existing developments, 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; East Avon Preserve Rezoning Application June 6, 2024 Page 7 of 8 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 currently. (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 in the entitlement process. (7) Whether the rezoning is consistent with the stated purpose of the proposed zoning district; Applicant Response: The purpose of the Community Housing Medium Density (CHHD) is to accommodate a workforce neighborhood development in a cost effective configuration, with a construction type and density that permits a number of residential units with a maximum of three (3) stories of residential on sloped lands. 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 or result in significant site disturbance – especially a parcel like the East Avon Preserve, which is a highly-visual site as you approach 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: As mentioned previously, this site deserves a very thoughtful approach in its design to create a project respectful to the property’s slopes and drainage, and its high visibility. This will be accomplished by designing in accordance with the topography. As mentioned in the finding for property suitability, there are no significant impacts anticipated to vegetation, wildlife, or to the natural environment, if we use the slopes to our advantage. In regard to air quality, best practices will be used at all times for dust control, as is required by the State of Colorado. 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 – especially if landscaping acts as a buffer between the residences and the interstate. (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 decades; 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, and the Village (at Avon) has approvals for development on three sides of this parcel. Public transit is already accommodated near 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. East Avon Preserve Rezoning Application June 6, 2024 Page 8 of 8 (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 in proximity to this location within a developed roadway is helpful. 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: (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, that now recognizes this area specifically whereas previously, no guidance for this area existed (in the Comp Plan). This rezoning application will not impact demands for public services or infrastructure because it is not a true development application; instead, it is simply a rezoning for a Town-owned property slated for the future planning surrounding a potential Community Housing project. CONCLUSION: If the Town is successful in achieving this rezoning, the following development generalized “next steps” or actions will occur: • Pursuing development/infrastructure and housing grants for this project; • Obtaining consultants to produce geotechnical reports; • Producing an RFP for potential design services; • 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. EXHIBIT A – East Avon Parcel Mapping Exhibit EXHIBIT B – IGA Between Avon and EC EXHIBIT A East Avon Preserve Community Housing POTENTIAL ACCESS ALIGNMENTS (Option 1 preferred) POTENTIAL DEVELOPMENT AREA POTENTIAL REZONING INTERGOVERNMENTAL AGREEMENT BETWEEN THE COUNTY OF EAGLE AND THE TOWN OF A VON This Intergovernmental Agreement ("Agreement") is made this C\ � day of , 2013, by and between the County of Eagle, State of Colorado, a body corporate�� and politic ("County") and the Town of Avon, a Colorado home rule municipal corporation ("Town"), (individually referred to as "Party" and collectively as "Parties"). WITNESS ETH WHEREAS, the White River National Forest - Eagle/Holy Cross Ranger District initiated a multi-party land exchange involving Eagle County, the Colorado State Board of Land Commissioners, the Upper Eagle Regional Water Authority, and the United States Forest Service ("Land Exchange"); WHEREAS, the Town has acquired two parcels of land from the United States government as a result of the Land Exchange, dated � ct, )-Q2i by and among the State of Colorado State Board of Land Commissioners, the Upp�l� River Water Authority, Eagle County, and the United States of America Forest Service, which parcels are described as: the West Avon Parcel containing approximately 478.09 acres and located within the Town of Avon; and, the Village Parcel, containing approximately 85.99 acres and located within in Eagle County; WHEREAS, the Village Parcel is bounded on three sides by the Village (at Avon) PUD project area and the Village Parcel is situated such that road and trail access across the Village Parcel may be the best alignment for com1ection to the lower and eastern most portions of the Village (at Avon) PUD project area; WHEREAS, the Town adopted Resolution No. 11-12 A RESOLUTION REPEALING RESOLUTION 11-09 AND APPROVING A NEW RESOLUTION BY THE AVON TOWN COUNCIL SUPPORTING A MULTI-PARTY LAND EXCHANGE LOCATED IN THE WHITE RIVER FOREST IN EAGLE COUNTY AND RECOMMENDING EXCEPTIONS TO THE CONSERVATION EASEMENTS ON THE WEST AVON PARCEL AND THE VILLAGE PARCEL which stated the policy to reserve from any conservation easement recreational trails, approximately 6 acres of land for affordable housing and community facilities on the Village Parcel, and a potential future easement or easements for a road and trail connecting Plam1ing Area RMF-1 to Plam1ing Area M (as defined in the 1998 Village (at Avon) PUD map) on the Village Parcel; WHEREAS, the Town is not able to determine the specific alignment and location of such uses to be reserved from a conservation easement at this time but Town desires .to make a commitment to the County that a conservation easement will be granted for the Village Parcel in the future and further desires to cooperate effectively with the County to promote the efficient Engle County-Town of Avon 2013 !GA Village Parcel Conservation Easement Page 1 of 4 Jan. 22, 2013 FINAL EXHIBIT B IGA EC-TOA EAST AVON PRESERVE 1 achievement of important community goals for Eagle County residents, including but not limited to residents of the Town of Avon; and, WHEREAS, this Intergovernmental Agreement is authorized pursuant to §29 -1 -201 and 30 -11 -101, Colorado Revised Statutes, as amended; Article XIV, Section 18, of the Colorado Constitution; and Section 16.2 of the Avon Home Rule Charter. AGREEMENT NOW, THEREFORE, in consideration of the mutual covenants, conditions and promises contained herein, the Parties agree as follows: 1. Future Conservation Easement. The Town agrees that Town will grant to Eagle Valley Land Trust, or other appropriate organization mutually acceptable to Town and County, a conservation easement ( "Future Conservation Easement ") on the portion of the Village Parcel remaining after the determination of the location and alignment of roadways and trails and after determining the boundaries of a reserved area for affordable housing and community facilities. The Future Conservation Easement shall restrict and protect the remaining portion of the Village Parcel as open space in its natural state, shall allow passive recreation activities, and shall generally include such other terms as are included in the conservation easement on the West Avon Parcel or shall include such terns as Town and County mutually agree. The Town agrees that the area for affordable housing and community facilities shall be no greater than 6.5 acres without approval by the County and that the location shall be generally on the northwest conger of the Village Parcel as depicted in Resolution No. 11 -12 of the Town of Avon, attached hereto as Exhibit "A" and incorporated herein. 2. Cooperation on Affordable Housing. Town agrees to actively explore cooperative or partnership efforts with County to promote cost effective, energy efficient, environmentally and architecturally appropriate, affordable housing projects on the portion of the Village Parcel reserved for such purpose. 3. Future Maintenance Agreement. Simultaneously with the conveyance of the Future Conservation Easement, Town and County agree to enter into a maintenance agreement to set forth the Town's obligations with respect to the use and maintenance of the Village Parcel the "Future Maintenance Agreement "). The Future Maintenance Agreement will provide for inspections of trail conditions, fencing, if any, status and condition of signage and other improvements, and a review of maintenance levels. The Town and County shall cooperatively and mutually detennine what additional maintenance, if any, may be necessary or desired, for the Village Parcel. The Town and County may update or revise the Future Maintenance Agreement as may be mutually determined. 4. Costs. Town shall be responsible for and shall bear all costs and liabilities of any kind related to the ownership, operation, upkeep, and maintenance of the Village Parcel, and any improvements or trails thereon. 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Eagle County shall not be responsible for any such costs or liabilities associated with the Village Parcel. 5. Term. This Agreement is effective from this day forward, until the earlier of (a) the date which the Town grants a conservation easement on the Village Parcel in accordance with the terms in this Agreement or (b) December 31, 2037. Notices. All notices, requests, consents, approvals, written instructions, reports or other communication by the Town and the County, under this Agreement, shall be in writing and shall be deemed to have given or served, if delivered or if mailed by certified mail, postage prepaid or hand delivered to the Parties as follows: Town of Avon: Town of Avon One Lake Street PO Box 975 Avon, CO 81620 Attn: Town Manager County of Eagle: Eagle County Attorney P.O. Box 850 Eagle, CO 81631 Either Party may change the address to which notices, requests, consents, approvals, written instructions, reports or other communications are to be given by a notice of change of address given in the mamler set forth in this section. 7. Third Party Beneficiary. This Agreement does not and shall not be deemed to confer upon or grant to any third party any right to claim damages or to bring any lawsuit, action or other proceedings against either the Town or the County because of any breach hereof or because of any terms, covenants, agreements or conditions contained herein. 8. Amendments. No modification or waiver of this Agreement or of any covenant, condition, or provision herein contained shall be valid unless in writing and duly executed by the Party to be charged therewith. 9. Entire Agreement. This written Agreement embodies the whole agreement between the Parties hereto and there are no inducements, promises, terms, conditions, or obligations made or entered into either by the County or the Town other than those contained herein. 10. Assignment. This Agreement shall be binding upon the respective Parties hereto, their successors or assigns and may not be assigned by anyone without the prior written consent of the other respective Party hereto. Such approval shall not be unreasonably withheld, but any unapproved assignment is void. 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All agreements and covenants herein are severable, and in the event that any of them shall be held invalid by a court of competent jurisdiction, this Agreement shall be interpreted as if such invalid agreement or covenant were not contained herein. 12. Authority. The Town has represented to the County and, likewise, the County has represented to the Town, that each possesses the legal ability to enter into this Agreement. In the event that a court of competent jurisdiction determines that either of the Parties hereto did not possess the legal ability to enter into this Agreement, this Agreement shall be considered null and void as of the date of such Court detem1ination. 13. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Colorado. The Parties agree that venue for any dispute regarding this Agreement shall be proper in Eagle County, Colorado. IN WITNESS WHEREOF, the Paiiies hereto have executed this Agreement the day and year first above written. ATTEST: By: ------------Clerk to the Board of County Commissioners ATTEST: COUNTY OF EAGLE, STA TE OF COLORADO, by and through its BOA F COUNTY MMISSIONERS TOWN OF AVON y: ____________ _ Rich Can-oll, Mayor Eagle County-Town of Avon 2013 IGA Village Parcel Conservation Easement Page 4 of 4 Jan. 22, 2013 FINAL 4   970.748.4088 predmond@avon.org TO: Honorable Mayor Amy Phillips and Council Members FROM: Paul Redmond, Chief Financial Officer RE: Work session: Use Tax Ballot Proposal for 2024 Election DATE: UPDATED Report from March 26, 2024 SUMMARY: This report provides an update on the 4% Use Tax on New Construction Survey and requests Council’s input and direction on the policy questions (questions 5 – 14) therein. Magellan Strategies was retained to conduct voter polling to determine potential voter support for a Use Tax on New Construction. The questions were developed through collaboration between Staff and Magellan Strategies. The results will be presented to Council in July. A draft of the survey questions is included ATTACHMENT A. SURVEY INSTRUMENT/DISTRIBUTION METHOD: The Town has partnered with Magellan Strategies to design and issue the survey, ATTACHMENT B. The survey educates the Voter while asking for their level of approval on voting for a potential use tax on construction materials. 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 and interviews, social media promotion and a mailed postcard. The online survey will allow participants to choose their preferred language at the onset of the survey experience. Respondents can complete the survey from any device: computer, tablet or mobile phone. Our updated timeline can be found in ATTACHMENT C. BACKGROUND: 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. The 2023 ballot question did not earmark the revenues generated from the tax for any specific purpose. The revenues would have gone to the Town’s General Fund and could be uses for any municipal purpose. 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: Avon currently 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 are generated and remitted by local Avon and Eagle County retailers such as Home Depot, and Edwards 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. 970-748-4088 predmond@avon.org However, sales tax is not typically remitted to the Town and 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 use tax on new construction 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, enact 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. Another complexity is that the tax credits in the Village (at Avon) are for the purpose of building public infrastructure and the Village (at Avon) Planned Unit Development guide requires the developer to build another 256 units of affordable housing. Therefore, even with the obligation to remit Use Tax revenue generated within the Village (at Avon) to Traer Creek Metropolitan District, this revenue may assist with installation of public infrastructure which is required to serve additional affordable housing. Once Avon’s tax credit obligations under the CARADA are fully satisfied, then the Use Tax revenues in the Village (at Avon) would go directly to Avon’s Community Housing fund. FINANCIAL CONSIDERATIONS: The timing of the remittance of a use tax versus actual sales tax collections on construction materials makes it difficult to compare fiscal years. However, an analysis of the past 5 years indicates 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, and voter polling to determine community support for a revised Ballot Question proposing a Use Tax on Construction Materials. Thank you, Paul ATTACHMENT A: 2024 Use Tax Survey 6.6.2024 DRAFT ATTACHMENT B: Use tax Ballot Proposal Implementation Timeline 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 Town of Avon 2024 Ballot Measure Survey MAGELLAN ID: COAVON-042224 Interview Goal = 300+n Field Dates: TBD +/- 4.08% MoE Hello, the Town of Avon invites you to participate in an important survey regarding a potential ballot measure this November. Please make your voice heard by sharing your thoughts and opinions. Your answers are strictly confidential, and the survey will only take 8 minutes to complete. Any questions about this survey can be directed to Mary Smith in the Town Communications Office at 970-479-2100 or by email at MSmith@avon.org. T1. To get started, could you please verify that you are registered to vote in the Town of Avon, Colorado? Yes-1 No-2 IF T1=2 “I am sorry, but this survey is only for the registered voters in the Town of Avon. Thank you for your time and have a good day.” T2. How likely are you to vote in the November 2024 election for President, Congress, the state legislature, and state and local ballot measures? Extremely Likely to Vote-1 Very Likely to Vote -2 Somewhat Likely to Vote -3 Unlikely to Vote-4 T3. Do you approve or disapprove of the job the Town of Avon is doing providing services to residents? Strongly Approve;-1 Somewhat Approve;-2 Somewhat Disapprove;-3 Strongly Disapprove;-4 Unsure/No Opinion;-5 T4. Do you agree or disagree with the following statement? “The Town of Avon is fiscally responsible and spends taxpayer money wisely.” Strongly Agree;-1 Somewhat Agree;-2 Somewhat Disagree;-3 Strongly Disagree;-4 No Opinion;-5 Before we continue, it is important to understand that no decisions have been made by the Town of Avon to put any ballot measures before voters for any purpose this November. Your participation in this survey and sharing your honest opinions will influence those decisions. Let’s continue… Magellan ID#: COAVON-042224 Town of AVON 2024 Ballot Measure Voter Opinion Survey Field Dates: TBD, Interview Goal: 300n, +/- 4.0% MoE Magellan Strategies | 4800 Aspen Creek Dr. | Broomfield, CO 80023 www.MagellanStrategies.com | 303-861-8585 2 T5. The following is language for a potential ballot measure that would replace the current 4% sales tax on construction materials with a 4% use tax. After reading it, please indicate if you would vote yes and approve it or vote no and reject it. 4% USE TAX ON NEW CONSTRUCTION FOR COMMUNITY HOUSING SHALL TOWN OF AVON TAXES BE INCREASED BY TWO MILLION DOLLARS ($2,000,000) ANNUALLY IN 2025, AND BY WHATEVER ADDITIONAL AMOUNTS ARE RAISED ANNUALLY THEREAFTER, BY THE IMPOSITION OF A FOUR PERCENT (4%) USE TAX FOR THE PRIVILEGE OF USING OR CONSUMING IN THE TOWN ANY CONSTRUCTION MATERIALS; AND SHALL SUCH USE TAX REVENUES BE APPROPRIATED FOR COMMUNITY HOUSING; AND SHALL CONSTRUCTION PROJECTS EQUAL TO OR LESS THAN $50,000 IN A CALENDAR YEAR BE EXEMPT FROM PAYING THE USE TAX; ALL IN ACCORDANCE WITH, AND FURTHER DEFINED BY, TOWN OF AVON ORDINANCE NO. 24-00; AND SHALL THE REVENUES COLLECTED FROM SUCH TAX AND ANY EARNINGS FROM THE INVESTMENT OF SUCH REVENUES BE COLLECTED AND SPENT AS A VOTER APPROVED REVENUE CHANGE AND AN EXCEPTION TO THE LIMITS WHICH WOULD OTHERWISE APPLY UNDER ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION OR ANY OTHER LAW. If an election were held today, would you vote yes and approve a 4% Use Tax on construction materials, or would you vote no and reject it? Definitely Vote Yes, Approve-1 Probably Vote Yes, Approve -2 Probably Vote No, Reject-3 Definitely Vote No, Reject-4 Undecided-5 Below is some information on why the Town of Avon is considering a ballot measure to create a 4% use tax. After reading the information, please indicate if you are more likely to vote yes and approve the creation of a 4.0% use tax or if you are more likely to vote no and reject it. Let’s get started: [SAME ANSWERS FOR T6 THROUGH T13] T6. The Town of Avon currently has a 4% sales tax on new construction materials. A 4% use tax would replace the current sales tax and is expected to collect approximately 50% more compared to the existing sales tax on construction materials for large projects. Knowing this, are you: Much More Likely to Vote Yes and Approve the Ballot Measure;-1 Somewhat More Likely to Vote Yes and Approve the Ballot Measure;-2 Somewhat More Likely to Vote No and Reject the Ballot Measure;-3 Much More Likely to Vote No and Reject the Ballot Measure;-4 Unsure/No Opinion;-5 Magellan ID#: COAVON-042224 Town of AVON 2024 Ballot Measure Voter Opinion Survey Field Dates: TBD, Interview Goal: 300n, +/- 4.0% MoE Magellan Strategies | 4800 Aspen Creek Dr. | Broomfield, CO 80023 www.MagellanStrategies.com | 303-861-8585 3 T7. Other towns in Eagle County already have a similar use tax on construction materials. Knowing this, are you: T8. As you may know there have been several large projects recently built in Avon, including: Frontgate, Piedmont Apartments, One Riverfront, and the Dual Brand Hotel at the Post Blvd/I-70 interchange. Avon expects more large projects as the Village (at Avon) and redevelopment in the Town core occurs. Knowing this, are you: T9. As you may know, there is a severe lack of workforce housing in Eagle County. The Avon Town Council is exploring other potential revenue sources to supplement the Town of Avon’s investment in Community Housing. The Town of Avon defines Community Housing as housing for people that live and work in Eagle County at all income levels. If the ballot measure were to pass, the revenues from the use tax would go towards Community Housing. Knowing this, are you: T10. The Town of Avon currently exempts Community Housing Projects from the payment of taxes and fees to reduce the cost of developing Community Housing and would exempt future Community Housing projects from paying the potential use tax. Knowing this, are you: T11. This ballot measure exempts construction projects up to $50,000 in a calendar year so that the use tax does not apply to small home remodel projects. Knowing this, are you: T12. Thank you for reading more information about why the Town of Avon is considering a ballot measure that would replace the Town’s current 4% sales tax on construction materials with a 4% Use Tax. As a reminder the potential ballot language is below, after reading the language again, please indicate if you would vote yes and approve it or if you would vote no and reject it. INSERT BALLOT LANGUAGE If an election were held today, would you vote yes and approve a 4% Use Tax on construction materials, or would you vote no and reject it? Definitely Vote Yes, Approve-1 Probably Vote Yes, Approve -2 Probably Vote No, Reject-3 Definitely Vote No, Reject-4 Undecided-5 IF T12 = 1, 2 ASK T13 IF T12 = 3, 4 ASK T14 IF T12 = 5 ASK T15 T13. Please describe the reasons why you would vote yes and approve the ballot measure to create a 4% use tax on construction materials. Magellan ID#: COAVON-042224 Town of AVON 2024 Ballot Measure Voter Opinion Survey Field Dates: TBD, Interview Goal: 300n, +/- 4.0% MoE Magellan Strategies | 4800 Aspen Creek Dr. | Broomfield, CO 80023 www.MagellanStrategies.com | 303-861-8585 4 TEXT BOX, SKIP TO T15 T14. Please describe the reasons why you would vote no and reject the ballot measure to create a 4% use tax on construction materials. TEXT BOX And now I have a few questions for statistical purposes only. T15. Are you: Male-1 Female-2 Identify Differently;-3 T16. Are you between the ages of: 18 to 34-1 35 to 44-2 45 to 54-3 55 to 64-4 65 or Older-5 T17. For statistical and weighting purposes only, are you registered to vote as an Unaffiliated voter, a Democrat, a Republican, are you registered with another party. Unaffiliated-1 Democrat-2 Republican-3 Other Party-4 T18. Do you have a 4-year college degree? Yes;-1 No;-2 T19. What is your current housing situation? Rent-1 Own-2 Other-3 Prefer Not to Say;-4 T20. Which race or ethnicity do you most identify with? White;-1 Hispanic;-2 Black or African American;-3 Magellan ID#: COAVON-042224 Town of AVON 2024 Ballot Measure Voter Opinion Survey Field Dates: TBD, Interview Goal: 300n, +/- 4.0% MoE Magellan Strategies | 4800 Aspen Creek Dr. | Broomfield, CO 80023 www.MagellanStrategies.com | 303-861-8585 5 Asian or Asian American;-4 Other;-5 T21. Where do you live? Buffalo Ridge Piedmont Eagle Bend Drive/Hurd Lane Town Core West Beaver Creek Boulevard Nottingham Road/Metcalf Road Wildridge/Wildwood/Mountain Star Thank you for participating in this survey! We appreciate your input.  ATTACHMENT C Use Tax Ballot Proposal - Implementation Timeline SUBJECT TO CHANGES   6/7/2024 Page 1 Deliverables Staff Timeline Status Finalize Postcard for Mailing and send to Gypsum Printer for Mailing to Avon Voter List Eric & Liz June 3 – 7 Completed Draft Town Council Report that includes reviewing final Polling Questions for Town Survey Eric & Team Due packet June 6 Completed Outline Social Media & Marketing Campaign including release of survey and arranging for radio interview Eric & Team June 3 – 7 Team currently discussing dates and content. Implement Social Marketing Campaign: 1) Postcards with general information about use tax & Engage Avon webpage link mailed to Avon Voter List 2) Sponsored Content in Vail Daily (voter survey) on several days thru the summer 3) Radio Ads Begin (promoting use tax survey) 4) Mobile Signs around town 5) Email to Business License List with Use Tax Ballot Proposal Info 6) Radio Interview with Town Manager Liz & Team June July August Working with Magellan Strategies to finalize polling questions and release date. Identify platforms and stakeholders to assist with educational and marketing efforts (meet w/ VVP, etc.) Voter Survey Deadline Magellan June 28 Last day to take the town survey (Magellan Strategies). Prepare Report to Finance Committee with Polling Results and Resolution Paul July 12 - 15 Finance Committee Meeting July 15 Review Polling Results with Town Council Eric & Team July 23 Town Council Meeting Contact Eagle County Clerk about Town’s participation in the Coordinated Election and if there will be an Avon Ballot Question Patty & Town Clerk July 26 Confirm with Eagle County whether a ballot measure will be considered.  ATTACHMENT C Use Tax Ballot Proposal - Implementation Timeline SUBJECT TO CHANGES   6/7/2024 Page 2 Town Council Consideration of Ordinance for Ballot Measure Team August 13 First reading of ordinance Last Day to return IGA to Eagle County Clerk for election participation Town Clerk August 27 Requires Town Council Action Town Council Consideration of Ordinance for Ballot Measure Team August 27 Second reading of ordinance Certify Ballot Content to Eagle County Clerk (if Ordinance is approved & with names of municipal candidates) Town Clerk Sept. 6 Must be submitted week of Sept. 2nd Last Day to File Pro/Con Summary to Eagle County Clerk September. 20 Ballots Mailed by Eagle County Clerk October 11 Mail Use Tax Fact Sheet to Voter List Election Day November 5   970.748.4001 mjauregui@avon.org 970.748.4021 pmckenny@avon.org TO: Honorable Mayor Phillips and Council members FROM: Miguel Jauregui Casanueva, Town Clerk and Patty McKenny, Deputy Town Manager RE: Ordinance 24-10 Amending Write-In Candidate Regulations DATE: June 7, 2024 SUMMARY: This report provides information about an Avon Code Amendment addressing municipal elections administered as a coordinated election with the Eagle County Clerk’s Office and as an uncoordinated recall election. The Town Council is asked to consider changing the timeframe for filing an “affidavit of intent as a write-in candidate” in both scenarios. Formal Council action would be required with two readings of an ordinance to make this change. BACKGROUND: The Elections Division of the Eagle County Clerk and Recorder’s Office has requested the Town of Avon adopt the same write-in candidate timeline of filing affidavits that the County observes to facilitate an orderly coordinated election. This legislative action addresses the timeframe by adjusting the deadline date of the required affidavit filing. There have been many municipal election code changes made over the years to accommodate the transition for Municipal Clerks administering elections in a coordinated effort with County Clerks. During first reading of the Ordinance in May 21st, 2024, Mayor Pro Tem Underwood directed staff to also include write-in candidate regulations for recall elections. ANALYSIS: The current Code states that no write-in vote for the office of Council Member shall be counted unless an affidavit of intent has been filed with the Town Clerk by the person whose name is written in prior to five (5) days before the day of the election indicating that such person desires the office and is qualified to assume the duties of that office if elected. This timeline creates challenges with the “counting” of the Avon ballots by the Elections Division as they are required to wait for this deadline before they can sort and begin counting Avon ballots. After discussion between the Eagle County Clerk and the Town Clerk’s Office, it is suggested to amend the Avon Town Code §2.28.010, by repealing and re-enacting language in its entirety. The Town Attorney provides the following amendment to the Code to read: “A person who wishes to be a write-in candidate for an office in an election shall file an affidavit of intent stating that he or she desires the office and is qualified to assume its duties if elected. The affidavit of intent for a regular or special Council vacancy election shall be filed by the close of business on the sixty-fourth day before the election. If the election is to be coordinated by the county clerk and recorder, the designated election official shall forward a copy of the affidavit of intent to the coordinated election official.” It is noted that nominating deadlines were backed up a few years ago to accommodate the 55 days out coordinated election deadline to certify local ballot content over to the county clerk, as well as the need to get ballots out early to UOCAVA voters and finalize ballot counting. This ordinance also conforms the Avon Code to C.R.S. 31-10-306, in the Municipal Election Code, which includes the “prior to” the 64th day affidavit deadline for write-in candidates. After additional consultations between the Town Attorney and the Town Clerk’s Office, it is also recommended to amend the Avon Town Code §2.29.030(b) to read: “Nominations on recall. Anyone desiring to become a candidate at the recall election shall do so by nominating petition as required in Article in accordance with Chapter III of the Charter. The deadline for filing a nominating petition for a recall election shall be as established by ordinance of the Council. A person who wishes to be a write-in candidate in a recall election shall file an affidavit of intent stating that he or she desires the office and is qualified to assume its duties if elected. The affidavit of intent must be filed by the deadline for filing nominating petitions established by Council pursuant to this subsection. If more than one (1) officer is sought to be recalled, then the nominating petition must specify which incumbent officer affected by the recall the candidate seeks to succeed. The name of the person against whom the recall petition was filed shall not appear on the ballot as a candidate for that office.” Page 2 of 2 FINANCIAL CONSIDERATIONS: There is no financial impact to making this adjustment to the election process as it is really an effort to support the Eagle County Clerk’s Office in finalizing the ballot count efficiently. RECOMMENDATION: The Town Clerk recommends adopting these changes into the Avon Municipal Code. PROPOSED MOTION: “I move to approve the Second Reading of Ordinance 24-10 Amending the Electoral Code of the Town of Avon’s Write-In Candidate Regulations”. Thank you, Miguel & Patty ATTACHMENT A: Ordinance 24-10 Amending the Electoral Code of the Town of Avon’s Write-In Candidate Regulations Ord 24-10 Amending Write-In Candidate Regulations Page 1 of 4 ATTACHMENT A ORDINANCE NO. 24-10 AMENDING THE ELECTORAL CODE OF THE TOWN OF AVON’S WRITE-IN CANDIDATE REGULATIONS 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, Avon Town Code §2.28.010 sets forth that “no write-in vote for the office of Council Member shall be counted unless an affidavit of intent has been filed with the Town Clerk by the person whose name is written in prior to five (5) days before the day of the election indicating that such person desires the office and is qualified to assume the duties of that office if elected”; and WHEREAS, the Avon Town Clerk has had a standing practice of collaborating with the Elections Division of the Eagle County Clerk and Recorder’s office on providing voter services and accurately administering coordinated elections; and WHEREAS, Colorado Revised Statute §1-4-1101 establishes that “A person who wishes to be a write-in candidate for an office in an election shall file an affidavit of intent stating that he or she desires the office and is qualified to assume its duties if elected.” and Colorado Revised Statute §1-4-1102(1) establishes that “Time of filing affidavit: (1) Except as provided in subsection (2) of this section, the affidavit of intent shall be filed by the close of business on the sixty-seventh day before a primary election and by the close of business on the one hundred tenth day before any other election. (2) In a nonpartisan election, the affidavit of intent shall be filed by the close of business on the sixty-fourth day before the election. If the election is to be coordinated by the county clerk and recorder, the designated election official shall forward a copy of the affidavit of intent to the coordinated election official.”; and WHEREAS, the Elections Division of the Eagle County Clerk and Recorder’s has requested that the Town of Avon adopt the same write-in candidate timeline of filing affidavits that the County observes to facilitate an orderly coordinated election; and WHEREAS, the Town Council finds that an orderly coordinated election 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 Ord 24-10 Amending Write-In Candidate Regulations Page 2 of 4 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. Section 2. Repeal and Reenact. Avon Town Code §2.28.010 is repealed and re-enacted in its entirety to read: A person who wishes to be a write-in candidate for an office in an election shall file an affidavit of intent stating that he or she desires the office and is qualified to assume its duties if elected. The affidavit of intent for a regular or special Council vacancy shall be filed by the close of business on the sixty-fourth day before the election. If the election is to be coordinated by the county clerk and recorder, the designated election official shall forward a copy of the affidavit of intent to the coordinated election official. Section 3. Amendment. Avon Town Code §2.29.030(b) is amended in its entirety to read: Nominations on recall. Anyone desiring to become a candidate at the recall election shall do so by nominating petition as required in Article in accordance with Chapter III of the Charter. The deadline for filing a nominating petition for a recall election shall be as established by ordinance of the Council. A person who wishes to be a write-in candidate in a recall election shall file an affidavit of intent stating that he or she desires the office and is qualified to assume its duties if elected. The affidavit of intent must be filed by the deadline for filing nominating petitions established by Council pursuant to this subsection. If more than one (1) officer is sought to be recalled, then the nominating petition must specify which incumbent officer affected by the recall the candidate seeks to succeed. The name of the person against whom the recall petition was filed shall not appear on the ballot as a candidate for that office. 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 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. Ord 24-10 Amending Write-In Candidate Regulations Page 3 of 4 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. INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING by the Avon Town Council on May 28, 2024 and setting such public hearing for June 11, 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 Ord 24-10 Amending Write-In Candidate Regulations Page 4 of 4 ADOPTED ON SECOND AND FINAL READING by the Avon Town Council on June 11, 2024. BY: ATTEST: ____________________________ ___________________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: ___________________________________ Nina Williams, Interim Town Attorney 1 TO: Honorable Mayor Phillips and Council Members FROM: Chase Simmons, Financial Analyst RE: Real Estate Transfer Tax Exemption Increases DATE: June 11, 2024 SUMMARY: This report was originally presented at the May 14, 2024 Council meeting and provides Council information on the Town’s Real Estate Transfer Tax (“RETT”) Exemption for Primary Residences along with options for revising to increase the exemption. The Primary Residence Exemptions are set forth in Avon Municipal Code (“AMC”) sections 3.12.060.(17), (18) and (19). Since the last revisions to the Primary Residence RETT Exemptions, real estate prices have increased dramatically. Council provided direction to Staff to prepare options for Council consideration. Staff presents the following revisions to increase the RETT exemption for primary residence purchasers. 1. Increase Section (17) and (18) exemptions from $160,000 to $320,000. This equates to a maximum tax exemption increase from $3,200 to $6,400. 2. Increase Section (19) exemption from $240,000 to $500,000. This equates to a maximum tax exemption increase from $4,800 to $10,000. 3. Increase the maximum sales price qualifying for a Section (19) exemption from $700,000 to $1,200,000. BACKGROUND: Council previously adopted AMC Section 3.12.060(15) in 2002 by Ordinance No. 02-14, which provided a one-time exemption of $160,000 for the first purchase of a primary residence in Avon. Then Council adopted AMC Section 3.12.060(16) in 2007 by Ordinance No. 07-17 to allow an exemption for primary residence for subsequent purchases in Avon with the limitation that this subsequent exemption was only available to a person who met the definition of an “Eagle County Employee”. This change was intended to support working full-time residents who currently owned a primary residence in Avon but desired to purchase a larger residence to reflect residential needs and preferences during various life stages. In 2019, Council adopted AMC Section 3.12.060(19) by Ordinance 19-05 establishing a third primary residence exemption in the amount of $240,000. Ordinance 19-05 also renumbered the Primary Residence Exemptions to (17), (18) and (19). The section (19) exemption requires the purchaser to commit to using the property as a primary residence for three years, as opposed to the one year primary residence requirement for Section (17) and (18) exemptions. Section (19) also caps the purchase price of the home at $700,000. Since 2018, the Town has approved 190 primary residence exemptions. However, this number is trending down on a year over year basis. [2018 = 54; 2019=46; 2020=22; 2021=33; 2022=25; 2023=10]. Only 11 of the approved exemptions elected the Section (19) exemption since it was adopted in 2019. Section 3.12.020 – Definitions of the Real Property Transfer Tax Chapter defines Eagle County Employee and Primary Residence as follows: Eagle County employee means an employee working in Eagle County who works an average of at least thirty (30) hours per week on an annual basis or earns seventy-five percent (75%) of his or her income and earnings by working in Eagle County; or a retired individual, sixty (60) years or older, who has worked a minimum of five (5) years in Eagle County for an average of at least thirty (30) hours per week on an annual basis. Primary residence means the occupation and use of a residence as the primary residence, which shall be determined by the Town Manager by taking into account the following circumstances: voter registration in Avon, Colorado (or signing an affidavit stating that the applicant is not registered to vote in any other place); 2 stated address on Colorado driver's license or Colorado identification card; stated address on motor vehicle registration; ownership or use of other residences not situated in Avon, Colorado; and stated residence for income and tax purposes. Occupation and use of a residence as a primary residence must occur within thirty (30) days of transfer of the real property, provided that the Town Manager may grant an extension of an additional ninety (90) days if extenuating circumstances are found to exist in the Town Manager's discretion and provided that such extension request is included with the applicant's application for exemption. TABOR IMPLICATIONS: The Tax Payor Bill of Rights (TABOR) amended the Colorado Constitution in 1992 and prohibited any new or increased real estate transfer tax. Any increase of the primary residence exemption would become permanent and could not be repealed or diminished by Council at a later date. It is possible to draft an increased exemption for primary residences as a “temporary tax credit”; however, that would make the wording even more complicated and is not suggested. FINANCIAL CONSIDERATIONS: The RETT has generated an average of $6.45 million annually since 2020. In 2023, RETT revenue and tax exemption were $6.53 million and $33,600, respectively. The proposed revisions would have decreased revenue by $34,000 or 0.5% over that period. $170,052 $144,337 $81,200 $108,650 $80,300 $33,600 $340,104 $288,674 $166,000 $218,100 $161,000 $67,600 $- $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 2018 2019 2020 2021 2022 2023 Actual vs Proposed Primary RETT Exemption Actual Exemption Amount Proposed Exemption Amount 3 RECOMMENDED MOTION: “I move to approve First Reading of Ordinance 24-11, to amend Chapter 3.12.060.(17), (18), and (19) of the Town’s Municipal Code to increase the Primary Residence Exemptions.” ATTACHMENT A: Ordinance No. 24-11 Thank you, Chase $2,957,996 $4,998,293 $5,976,990 $7,348,714 $5,943,400 $6,529,287 $- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 2018 2019 2020 2021 2022 2023 Total RETT Revenue Ord. 24-11 June 11, 2024 Page 1 of 5 TOWN OF AVON, COLORADO ORDINANCE NO. 24-11 AMENDING CHAPTER 3.12.060 REAL PROPERTY TRANSFER TAX TO INCREASE THE PRIMARY RESIDENCE EXEMPTION WHEREAS, the Town of Avon, Colorado (“Town”) is a home rule municipality and political subdivision of the State of Colorado (“State”) organized and existing under a home rule charter (“Charter”) pursuant to Article XX of the Constitution of the State; and WHEREAS, pursuant to C.R.S. §31-15-103 and §31-15-104, and pursuant to the home rule powers of the 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, Town Council adopted the Town of Avon Community Housing Plan on December 13, 2018, which included a policy to “formalize a fee waiver/reimbursement process” and which included an Appendix A: Avon Community Housing Plan – Work Plan that contemplated formalizing a Fee Waiver Program; and WHEREAS, the Town Council finds that amendments to the Avon Municipal Code 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 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 Ordinance 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, supports, approves, rejects, or denies this Ordinance. 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 the Town Council. Section 2. Amendment of Section 3.12.060 – Exemptions. Section 3.12.060 of the Avon Municipal Code is hereby amended to enact a new Section 3.12.060(17) to read as follows: “3.12.060 (17) The first three hundred and twenty thousand dollars ($320,000.00) of the consideration for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided the following conditions are met: a. The same applicant has not previously received an exemption pursuant to this subsection; b. An application for exemption is filed with the Town Manager or his or her designee, which application is accompanied by: ATTACHMENT A Ord. 24-11 June 11, 2024 Page 2 of 5 1. An affidavit that the real property is being purchased for use as a primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and 2.A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence within one (1) year after closing and granting to the Town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record. c. The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction. Section 3. Amendment of Section 3.12.060 – Exemptions. Section 3.12.060 of the Avon Municipal Code is hereby amended to enact a new Section 3.12.060(18) to read as follows: “3.12.060 (18) The three hundred and twenty thousand dollars ($320,000.00) of the consideration for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided that the following conditions are met: a. The applicant previously received a primary residence exemption pursuant to Section 3.12.060(17) and the applicant has satisfied the conditions of subsection (17)b.1. and 2. of Section 3.12.060; and b. An application for exemption is filed with the Town Manager or his or her designee, which application is accompanied by: 1. An affidavit that the applicant's current primary residence used to satisfy the requirements of Section 3.12.060(17) is within the Town; that the applicant meets the definition of an Eagle County employee; that the real property is being purchased for use as a new primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and 2. A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event that the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence or shall cease to meet the definition of an Eagle County employee within one (1)year after closing and granting to the Town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record; and c. The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction. Section 4. Amendment of Section 3.12.060 – Exemptions. Section 3.12.060 of the Avon Municipal Code is Ord. 24-11 June 11, 2024 Page 3 of 5 hereby amended to enact a new Section 3.12.060(19) to read as follows: “3.12.060 (19) In the alternative to the exemption in sub-sections (17) and (18) of this Section 3.12.060, a buyer may exempt FIVE HUNDRED THOUSAND DOLLARS ($500,000.00)] of the consideration paid for any sale or conveyance of residence for occupancy as a primary residence (including both the first purchase in Avon and subsequent purchases), provided the following conditions are met: a.The total consideration paid for the residence does not exceed ONE MILLION TWO HUNDRED THOUSAND DOLLARS [$1,200,000.00]; b.The residence is used and occupied by the buyer as primary residence for a period of three (3) years or until sold by buyer, whichever occurs first; c.The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction; d.An application for exemption is filed with the Finance Department, which application is accompanied by: 1.Verification that the total consideration paid for the residence in the conveyance does not exceed ONE MILLION TWO HUNDRED THOUSAND DOLLARS [$1,200,000.00]; 2.An affidavit that the real property is being purchased for use as a primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the buyer and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); 3.A promissory note with the following minimum provisions: i.The promissory note shall be in the amount of the total exempted tax otherwise owing together with interest at the rate of one and one-half percent (1½%) per month (eighteen percent [18%] per annum, compounded annually); and, ii.The promissory note shall state that the exempted tax and accrued interest shall be due and payable in full in the event that the buyer: A.shall fail to occupy and use the property as a primary residence within the timeframe established for initial occupancy under the definition of primary residence found in Section 3.12.020; or B.shall cease to use the property as the buyer’s primary residence at any time after establishing initial occupancy until the three (3) year period after conveyance or sale of the residence, whichever is sooner. 4.A lien granted to Town securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record, and which lien shall be released if the residence has been occupied and used by the buyer in compliance with this sub-section (19) for a period of three years after conveyance or until sale of the residence, whichever is sooner; and, Ord. 24-11 June 11, 2024 Page 4 of 5 5.Verification of the amount of the real estate transfer tax actually paid by buyer, or the portion of the real estate transfer tax that buyer is responsible to pay, in the closing statement or other written document signed by buyer and seller.” Section 5. Codification 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 6. Interpretation. This Ordinance shall be interpreted and applied to comply in all respects with Article X, Section 20, of the Colorado Constitution, in its application to any person or circumstance and no part of this Ordinance shall be interpreted or applied to constitute a tax policy change that would require voter approval. Section 7. Non-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 or held to be in conflict with Article X, Section 20, of the Colorado Constitution, such invalidity or conflict shall invalidate this Ordinance in its entirety. 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 8. Effective Date. This Ordinance shall take effect thirty (30) days after the date of final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Section 9. 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 10. 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 11. Publication. The Town Clerk is ordered to publish this Ordinance in accordance with Chapter 1.16 of the Avon Municipal Code. Ord. 24-11 June 11, 2024 Page 5 of 5 INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING on April 9, 2024 and setting such public hearing for June 11, 2024 at the Council Chambers of the Avon Town Hall, located at 100 Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ ___________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk ADOPTED ON SECOND AND FINAL READING on July 9, 2024. BY: ATTEST: ____________________________ ____________________________ Amy Phillips, Mayor Miguel Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: ____________________________ Nina Williams, Town Attorney (970) 748-4413 matt@avon.org TO: Honorable Mayor Amy Phillips and Council Members FROM: Matt Pielsticker, AICP, Community Development Director RE: Sun Road and East Town Center Subarea Master Plans DATE: June 5, 2024 SUMMARY: A work session will take place to review background and initial redevelopment framework plans for the Sun Road and East Town Center subareas. No action by the Avon Town Council is requested or necessary at this stage in the planning process. The outcome of this process will be draft subarea master plans, public hearings, and plan adoption process. Draft subarea plans are expected to be complete in July. The Downtown Development Authority (“DDA”) has taken the lead with plan development. Avon’s Planning and Zoning Commission (“PZC”) reviewed these initial concepts in a joint meeting with the DDA. After draft plans are completed, the public hearing process will commence. 2024 GOAL: One of Community Development’s 2024 stated goals is: ‘Sun Road & East Avon Redevelopment Plan: Complete long range sub area plan for redevelopment of four properties and Sun Road and East Town Center.’ BACKGROUND: Creating subarea, or “district” master plans, is a common approach for long-range planning a defined geographic area that contains multiple properties. The development and adoption of a subarea plan follows the same process as the Town’s overarching Town of Avon Comprehensive Plan. Page 2 of 4 In fact, adoption of a new subarea plan by Council will become part of the Town of Avon Comprehensive Plan by definition. The plans become a guiding document, outlining a vision for potential redevelopment scenarios. Subarea master plans communicate a vision to our policy makers (PZC and Council), as well as staff members, investors, and the public. Typical components of subarea plans include but are not limited to preferred land uses, building form and orientation, unique features and design considerations, parcel adjustments, road (re)alignments, and open space provisions. In 2007, the East Town Center (“ETC”) District plan was adopted. The ETC Plan envisions roadway realignments, mixed-use development, a central public square, and redevelopment of several parcels. While no redevelopment has taken place since the plan’s adoption, there are elements from this plan that are still relevant and being carried forward with the new subarea plan. The Sun Road subarea has never been identified formally for redevelopment potential until this planning effort. PROCESS TO DATE: The Town contracted with DTJ Design at the end of 2023. DTJ is a planning and architectural firm who is well-versed with public and private redevelopment and planning to assist with the creation of subarea plans. The DDA was identified as the primary stakeholder group to development initial concepts. So far, this process has included: February 5, 2024 DDA | Visioning April 1, 2024 DDA | Summary of Visioning and Initial concept review April 22, 2024 DDA/PZC | Work Session May 15, 2024 DDA | Work Session PROJECT GOALS: Before the first meeting with the DDA, the following goals for the project were established by Staff:: Primary Goals: 1. Maximize the amount of Community Housing in both redevelopment sub-areas with a strong goal that a minimum of 50% of residential development in these sub-areas are Community Housing. 2. Describe and depict a road realignment for East Town Center that creates a “main street boulevard” between Roundabout 4 and the Chapel Place road access to Village (at Avon) Planning Area A, which includes bike lanes, on-street parking, general pedestrian sidewalks that support street level restaurants and retail, convenient transit stops, attractive landscaping and opportunities for public art, and which best serves the future traffic demands generated by redevelopment of East Avon Town Center and by full build-out of the Village (at Avon) Planning Areas A, B, C, D, E, and F. 3. Determine the capacity, location and optimum traffic access for the Avon branch of the United States Post Office, which may include one centralized facility or potential branch facilities. 4. Recognize the potential impacts of redevelopment on existing businesses, including but not limited to displacement, disruption and relocation of business operations, and identify Page 3 of 4 strategies to minimize negative impacts to existing Avon businesses who may be affected by redevelopment. Secondary Goals: 5. Analyze existing zoning and identify any changes or improvements to existing zoning to facilitate redevelopment. 6. Explore concepts to develop public parking structures to serve customers of commercial uses within the sub-areas to reduce the parking burden of future commercial uses and to provide more convenient parking opportunities for commercial patrons. 7. Identify options for financial support and partnerships to incentivize redevelopment, including but not limited to the Avon DDA. 8. Develop clear graphics and metrics that articulate the vision for both subareas. 9. Emphasize safe pedestrian access to and through subareas. 10. Emphasize the integration of efficient and convenient transit to serve the subareas. 11. Articulate best urban design principles which incorporate ground level activation with convenient and comfortable residential development above. 12. Integrate attractive public plaza or pocket park spaces which enhance the attractiveness and livability of the sub-area where possible. 13. Encourage a mix of interesting secondary streets, alleys and pedestrian areas to compliment the main street boulevard for the East Town Center sub-area. CURRENT FRAMEWORK CONCEPTS: Three framework concepts were produced for Sun Road, and two were produced for East Town Center. After further review by DDA and PZC, the concepts were refined further. The current framework concepts are summarized below: Sun Road • Elimination, or significant Reformatting, of Sun Road Right-of-Way • 4-6 Story Massing • Pedestrian Connections • Vertically mixed-use Multi-Family Community Housing • Shared Use Parking Structure • Ground Level Commercial with at least same Sq. Ft. as existing • Civic Green Space Page 4 of 4 East Town Center • Main Street with on-street parking • Large increase in residential in Mixed-use developments • Ground floor Commercial • Wide sidewalks • Gateway/Placemaking including central plaza • Shared parking facilities Thank you, Matt 970.748.4004 eric@avon.org TO: Honorable Mayor Amy Phillips and Council members FROM: Eric Heil, Town Manager RE: East Nottingham Park Project DATE: June 7, 2024 SUMMARY: This report provides an update on the East Nottingham Park project to construct restrooms, plaza, and skate park. Most impactful to this project is that we learned at the end of April that the Colorado Health Foundation reversed its approval of grant funding for the skate park and notified the Avon Skate Coalition that would not providing any funding for the skate park portion of the project. We understand that there was a change in the board of directors and change in funding direction such that the Colorado Health Foundation is not funding capital improvement projects at this time. Zehren is proceeding with all other aspects of the project, including the restrooms and plaza, site work and utility relocation, reconstruction of the seating wall, and reconfiguration of the park area. The Town is actively exploring alternative grant funding. The direction for design and bidding at this time is to leave the footprint of the skate park area in its current condition while the town explores alternate grant funding. Options on how to proceed are presented below in this report. PROJECT COMPONENTS: There are three components to this East Nottingham Park Project, including (1) bids for modular restrooms; (2) construction of site work, utilities, plaza, seating wall, landscaping, drainage, exterior siding for the restrooms and installation of a rain canopy over a portion of the plaza, and (3) construction of the skate park. The rough estimate for items (1) and (2) is $2M and the estimate for the skate park is $1.6M. We discussed internally with Zehren Associates how to leave the footprint area for the skate park. The area can be rough graded and reseeded for the least cost which will not require additional design, irrigation, or removal/import of soils. Improving the site to install sod would require additional grading, import of suitable soils, and irrigation. This work would then be demolished and removed when the Town proceeds with construction of a skate park. GRANT FUNDING FOR SKATE PARK: Efforts to identify and apply for grant funding are described below. It is expected that the timeframes to apply for alternative grant funding will require a year or more, with the consequence that funding for construction of the skate plaza would be available in 2026 or 2027 in the best case scenario. I also expect that grant funding for the skate park construction is unlikely to amount to 100% of the cost. Efforts spearheaded by Town of Avon (with support from Amy Lewis, Avon Skate Coalition):  Great Outdoors Colorado (“GOCO”): GOCO’s policy is wait until an existing project with GOCO grant funding is completed before considering an additional funding award. Avon was awarded grant funding for the Eaglebend Park, therefore Avon may be required to wait until early to mid-2025 before submitting a grant application to GOCO. Potential grant funding through GOCO could be in the $500K to $750K range.  Department of Local Affairs (“DOLA”) Energy Impact Assistance Grant Funding: Avon has already received a $1,000,000 grant from DOLA. DOLA may consider awarding additional funding to Page 2 of 3 complete a project if there is a demonstration of financial need. We believe the earliest that we could submit for additional funding would be the fall cycle after we have received bids and pricing for the project and commence construction. I updated our DOLA representative that we are proceeding with the portions of the project that are funded, that is the Project Components (1) and (2), and that we are seeking alternate grant funding for the skate park portion of the project. This approach does not affect the current award of $1M from DOLA. Potential grant funding through GOCO could be in the $500K to $750K range. Efforts spearheaded by Amy Lewis, Avon Skate Coalition:  Skatepark Project (Tony Hawk Foundation): Submitted $25,000 (max amt.) request Mar 3. Waiting for response  Gates Family Foundation: Submitted $30,000 (max amt.) request Mar 15. Site visit with grantor April 25. Awards in June  El Pomar: Submitted $100,000 (max amt.) request Mar 26. Board review July 26. Award notifications July 29  Epic Promise: Submitted May 30 for in-kind fundraising support (raffle/silent auction) for GoFundMe local fundraising effort. Raffle prizes for Avon LIVE booth donations and Avon Rec Center fitness challenge idea.  March 2025 winter/spring fundraising event with silent auction ASC Fundraising (GoFundMe): $535 raised toward goal of $80,000. SCHEDULE FOR DESIGN AND BIDS: Modular Restroom Request for Qualifications (RFQ) Solicitation: • Opened on: May 22 • Closes on: June 17 • Shortlist: June 18 • Interviews: June 20 • Notice to Proceed: Tuesday, July 9 (tentative) Site and Infrastructure Construction Document Set for Invitation to Bid: • Check Set: June 5 • Bid Start Date: June 21* • Bid Closing Date: July 19 • Bid Evaluation & Interviews: Monday, July 22 to Friday, August 2 • Notice to proceed tentatively: Tuesday, August 13 (tentative) * Pre Construction General Contractor needs about 1.5 weeks to pull together a cost estimate (tomorrow through June 14) Page 3 of 3 SCOPE OF WORK & FEE UTILIZATION: The design fee for the site work and modular restorms is $196,500. $56,381.50 of $196,500, or 28.7% of the overall fee, was spent through April 30. This includes New Line Skate Parks through Design Development who invoiced $17,500 of $25,000 through end of April. We anticipate that approximately 55 to 60% fee will be charged at end of May, due to the big push with all consultants. OPTIONS: The following options are presented for Council consideration: 1. Proceed with the funded components of the Project and diligently pursue grant funding for the Skate Park. 2. Proceed with the entire Project and fund the short fall for the Skate Park out of the Town’s Capital Improvements Fund. [NOTE: A variation of this approach would be to proceed with the skate park construction but remove the bowl feature, would reduce the cost by $200K to $300K] 3. Option 1 with the variation that sod is installed in the skate park footprint area. 4. Proceed with Components 1 and 2, abandon the skate park and revert to the park design, which included primarily sod, a path, trees and picnic tables. Additional design work would be required to expand the prior design further to the east (i.e. to the sidewalk on Lake St.). Verification with DOLA on the impact of their $1M grant award is required with this Option. RECOMMENDATION: I recommend that the Town proceed with Option 1 and then re-evaluate the Project in late 2024 when we have a better idea of potential grant funding that may be possible to defray the cost of the skate park. This would represent a good faith effort by the Town to pursue the project as presented to DOLA and has a reasonable chance of securing grant funds that would justify the extra time and effort. REQUESTED DIRECTION: Council direction is requested to confirm the approach we are pursuing, i.e. Option 1, or to provide alternate direction. Thank you, Eric 970-748-4113 jshoun@avon.org TO: Honorable Mayor Amy Phillips and Council Members FROM: Jim Shoun, Mobility Manager RE: CDOT Bus Lift Grant IGA DATE: June 3, 2024 SUMMARY: A State of Colorado Grant is presented to council. Town Council is asked to authorize Town Manager, Eric Heil, to sign this Inter-governmental Agreement (IGA) between the Town of Avon and the Colorado Department of Transportation (CDOT) for replacing two bus lifts in Avon’s fleet department. The total project cost is $320,000.00. The grant and IGA will provide $256,000.00 (80%) in funding from CDOT. Avon will provide local funds of $64,000.00 (20%). This is a standard CDOT contract and no changes can be made by the Town of Avon. BACKGROUND: The Town of Avon’s Fleet building was built in 1999 and the bus lifts are original to the building. Fleet is replacing 2 lifts with these funds • Wash Bay Scissor Lift: o This lift allows mechanics to raise a bus in the wash bay in order to examine and clean the bottom of the buses and other heavy equipment. It has not been operational for at least 7 years. The cost for this lift, including installation and freight is $270,000.00. • Mobile Column Lift: o This is a set of 4 lifts that work in tandem and will replace the current out of useful life system currently in place. They are portable, meaning that mechanics can move them around the shop floor to any bay. They are wireless, battery powered and together can lift up to a 56,000 pound vehicle. The cost for these lifts, including freight is $50,000.00. This grant was applied for and awarded in 2023 and the funding is in the current 2024 budget. PROPOSED MOTION: “I move to approve the Intergovernmental Agreement between Colorado Department of Transprtation and Town of Avon, and authorize Town Manager, Eric Heil to sign the contract” Thank you, Jim ATTACHMENT A: Visual of new lifts ATTACHMENT A: VISUAL OF LIFTS 970.748.4004 eric@avon.org TO: Honorable Mayor Amy Phillips and Council members FROM: Eric Heil, Town Manager RE: Town Manager Employment Agreement DATE: 6.6.24 SUMMARY: Town Council conducted my annual performance review in May this spring. Compensation adjustments are presented as following the Town of Avon Employee Policies for all employees. The Town conducts a biennial review of salary ranges to remain competitive with our peer communities. When new salary ranges are adopted there is an automatic adjustment of salaries in accordance with the Town’s Employee Policies. Every year merit increases are determined by the end of the year and then effective for the first payroll in the new year. SALARY CHANGES: The Town Manager’s base salary under the current Employment Agreement is $229,000. Council provided direction to award a 3% base salary increase in consideration of salaries and total compensation for town managers in peer communities, effective in the first pay roll for July. A 3% increase will raise the base salary to $236,700 (the Town’s policy is to round salaries up to one hundred dollar increments). Council provided direction to award merit increase of 4% of base salary effective for the first payroll in the new year. A 4% increase will raise the base salary to $246,200. OUTSIDE EMPLOYMENT: I proposed to Council the opportunity to teach one political science class at Colorado Mountain College next year. These classes include State and Local Government in the fall and Current Political Issues in the spring. Council expressed willingness to allow teaching these courses with the condition that this outside employment would be reviewed as part of the 2025 annual performance review to determine if this outside commitment negatively impacted or interfered with my full-time commitment to the Town of Avon. The attached revised Employment Agreement includes these revisions and is presented to Council for adoption on the Consent Agenda. Thank you, Eric ATTACHMENT A: Revised Town Manager Employment Agreement Town Manager Employment Agreement June 27, 202311, 2024 Page 1 of 16 TOWN OF AVON TOWN MANAGER AMENDED AND RESTATED EMPLOYMENT AGREEMENT THIS TOWN MANAGER AMENDED AND RESTATED EMPLOYMENT AGREEMENT (the “Agreement”) is originally effective April 9, 2019 and amended and restated as of June 27, 2023 11, 2024 by and between Eric J. Heil, (the “Manager”) and the Town of Avon, Colorado (the “Town”), a Home Rule municipality in the State of Colorado (individually, a “Party” and collectively, the “Parties”), and is made to set forth the terms and conditions of Manager’s employment with the Town. WHEREAS, this Agreement shall replace and supersede the prior Agreement, dated April 9, 2019 and all other prior agreements regarding employment prior to this Agreement. NOW, THEREFORE, in consideration of the mutual promises and payments herein contained, the Parties agree to the following terms and conditions: 1.0 EMPLOYMENT. Manager is employed as Town Manager of the Town for an indefinite period as an at-will employee, subject to: the terms and conditions of this Agreement; the Town of Avon Employee Policies, effective June 22, 2023 and the Avon Home Rule Charter, as each and all may be amended from time to time. 2.0 DUTIES. Manager is employed as Town Manager in a full-time capacity, with such duties and functions as are specified in the Town of Avon Home Rule Charter, as may be specified by ordinance or in the Avon Municipal Code, and as may be directed by the Town Council. 3.0 COMPENSATION. 3.1 BASE SALARY. The Town agrees to pay Manager a base annual salary (“Base Salary”) of TWO HUNDRED TWELVETHIRTY SIX THOUSAND SEVEN HUNDRED DOLLARS ($212236,700.00), which shall be paid on and from MayJuly 1, 20232024, through December 31, 20232024, and then shall be increased to TWO HUNDRED TWENTY NINEFORTY SIX THOUSAND EIGHTTWO HUNDRED DOLLARS ($229,800246,200.00) on January 1, 20242025. Payment of the Base Salary under this Agreement shall be made in equal installments on a biweekly basis during the term of this Agreement. The Base Salary shall be prorated for any calendar year in which the Manager is employed for fewer than 12 months. 3.2 AUTOMOBILE ALLOWANCE. Manager shall receive FIVE HUNDRED SEVENTY-FIVE DOLLARS ($575.00) per month, effective July 1, 2023, as additional, taxable compensation in return for his use of his own, owned automobile in conducting ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 2 of 16 Town business, which shall be paid on and from July 1, 2023. The Manager shall be expected to use his personal vehicle for travel to and from business meetings and on trips related to performance of Town Manager duties. The Manager shall, therefore, not be eligible for mileage reimbursement. 3.3 HOUSING ALLOWANCE. Manager shall receive ONE THOUSAND FIVE HUNDRED DOLLARS ($1,500.00) per month, effective July 1, 2023, as additional, taxable compensation to defray the costs of maintaining a primary residence in Avon, Colorado. 3.4 RETIREMENT. Beginning on the Commencement Date, the Town shall contribute an amount into the Town of Avon Public Employees Money Purchase Pension Plan (the “401(a) Plan”) equal to that amount the Manager defers into the 401(a) Plan. As of the Commencement Date, that amount is eleven percent (11%) of the Manager’s Base Salary. The Town’s matching contribution shall be paid into the 401(a) Plan in biweekly installments. In addition to the 401(a) Plan, the Manager shall be eligible to participate in the Town’s Section 457 Deferred Compensation Retirement Plan in accordance with the terms and conditions of that plan, and to the extent that the Town maintains that plan. 3.5 INSURANCE BENEFITS. The Town shall provide and pay that portion of the premiums for health, dental, vision, and term life insurance for Manager and his dependents that it pays on behalf of other full-time employees of the Town in accordance with Town of Avon Compensation & Benefits Programs, effective January 1, 2016, as may be amended from time to time (the “Insurance Benefits”). 3.6 PAID TIME OFF. The Manager shall be entitled to paid time off (“Paid Time Off”) at the rate of an employee with ten (10) years of employment with the Town as of commencing on October 1, 2020. 3.7 BONUS. Manager shall receive a one-time bonus in the amount of $1,800.00 which was provided to full-time Avon employees in December, 2022. Manager shall receive a one-time increase of Personal Time Off in the amount of 60 hours in recognition of work performed on the Eagle Valley Transportation Authority. 3.8 OTHER BENEFITS. Manager shall be entitled to participate in any other benefits that are provided by the Town to other full-time, executive employees in accordance with the applicable participation requirements. 3.9 COMPENSATION ADJUSTMENT. The Compensation of the Manager may be adjusted based upon the Manager’s annual performance evaluation, as set forth in Section 4 below, by the Town Council, subject to the Town Council’s sole discretion. Any change in Compensation shall be effective on such date as Council may determine in its sole discretion. Compensation adjustments shall be made by motion and vote and do not require amendment of this Agreement. ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 3 of 16 4.0 PERFORMANCE REVIEW. The Town Council shall strive to complete the annual performance review of the Manager in March of each calendar year, unless the Town Council determines a different month during which to complete an annual performance review. The Town Council also may require a performance evaluation at any time a majority of the Council deems a review is necessary. The Town Council shall inform the Manager as to the Town Council’s opinion and expectations regarding his performance as Town Manager based upon such performance criteria as the Town Council may utilize in its sole discretion. 5.0 COMMENCEMENT OF EMPLOYMENT AS TOWN MANAGER. The Effective Date of the Agreement is April 9, 2019, irrespective of the date or dates upon which the Parties execute it. Manager shall commence his duties as Town Manager on Monday, April 29, 2019, (“Commencement Date”). 6.0 FACILITIES. The Town shall furnish office facilities and assistance for Manager as the Town Council deems appropriate for the performance of Manager’s duties. 7.0 LIMITATION ON EXTERNAL PROFESSIONAL ACTIVITIES. Manager shall not engage in any non-Town employment activities for compensation without the express written consent of the Town Council. It is the intent of the Parties that Manager’s employment will require his full-time commitment. The following matters constitute written consent of Council for limited outside employment activities for compensation: 7.1 7.1 Notwithstanding Section 7.0, theThe Manager shall be permitted to pursue his occasional efforts as a professional musician, so long as they do not interfere with the performance of his Town duties. While the Manager may accept payment for musical engagements, he may not accept payment with respect to any engagement that the Town funds, directly or indirectly, in whole or in part. 7.2 The Manager shall be permitted to teach one political science course per semester at Colorado Mountain College, which shall be reviewed during the 2025 annual performance review to determine if this outside employment activity negatively impacts Managers full-time commitment to the Town of Avon. 8.0 PARTICIPATION IN PROFESSIONAL ORGANIZATIONS. Participation in professional organizations and voluntary programs is encouraged, provided they are consistent with the responsibilities of the Town Manager and with the interests of the Town. The Town shall pay Manager’s membership fees and reasonable costs of participation in the International City Manager’s Association; the Colorado Bar Association; the American Planning Association; the Colorado Chapter of the American Planning Association; and other memberships and professional development activities the Town Council determines are consistent with his employment. The Town shall also pay those attorney registration fees and reasonable continuing legal education costs required for the Manager to maintain an active license to practice law in the State of ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 4 of 16 Colorado. 9.0 CONFERENCE ATTENDANCE. The Town shall pay for all reasonable expenses related to Manager’s attendance at: the International City Manager’s Association annual conference; all Colorado Association of Ski Town monthly meetings; the Colorado Association of Ski Towns annual conference; the Colorado Municipal League annual conference; and at least one other out-of-state conference to be selected at the reasonable discretion of the Manager. Manager may propose additional job-related training, education, and professional memberships and participation, which shall be subject to review and approval by the Town Council. . 10.0 TERMINATION WITH SEVERANCE. This Agreement may be terminated, and the Manager shall receive the below-defined Severance, in the event of the following: 10.1 The Town may terminate Manager’s employment without Cause (“Cause,” as defined below in Section 12), at any time, upon the vote of the majority of the Town Council, and nothing contained in this Agreement shall restrict any Town Council member from making a motion or voting to terminate Manager’s employment without Cause at any regular or special meeting. 10.2 The Manager may terminate his employment by resigning the position of Town Manager for Good Reason. As used in this provision, “Good Reason” shall mean: 10.2.1 Upon receiving the recommendation that he resign from the Town Council, as represented by a majority of its members; or 10.2.2 Upon the Town’s breach of any material provision of Section 3.0 that remains uncured for forty-five (45) consecutive days after Manager provides the Town Council written notice of the alleged breach and demand for cure. 11.0 SEVERANCE. 11.1 The Town shall provide the Manager a severance payment (“Severance,” as defined below), if Manager’s employment is terminated by the Town without Cause, or by the Manager for Good Reason, so long as the Manager executes the Severance, Waiver, and Release of Claims Agreement described below. 11.2 The Town shall not be obligated to pay Severance if Manager’s employment is terminated for Cause, defined below in Section 12, or in the case that Manager resigns voluntarily without Good Reason, as set forth in Section 13. 11.3 The Severance payment shall equal four (4) months’ Base Salary, at the Manager’s then-current rate of pay, and the cost of Insurance Benefits as described in Section 3.5, above, for the same four-month period. ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 5 of 16 11.3.1 Severance payments shall be subject to and conditioned upon the Manager’s execution of a Severance, Waiver, and Release of Claims Agreement, in a form substantially similar to that attached to this Agreement as Exhibit One. 11.3.2 The Severance payment shall be paid in a lump sum within twenty (20) days after the expiration of all applicable consideration and revocation periods provided for in the Severance, Waiver, and Release of Claims Agreement. 11.3.3 The Severance payment shall be reduced by all taxes and other withholdings required by law, and by the outstanding balance of any amount due and owing from the Manager to the Town. 11.3.4 Severance shall include reimbursement to Manager for his payment of premiums necessary to maintain Insurance Benefits through COBRA or other applicable laws or regulations providing continuation of coverage for four (4) months following the termination of his employment by the Town without Cause, or by the Manager for Good Reason. 12.0 TERMINATION FOR CAUSE WITHOUT SEVERANCE. This agreement may be terminated for Cause, at any time, upon the vote of the majority of the Town Council. 12.1 For the purpose of this Agreement, “Cause” shall consist of: 12.1.1 Conduct by Manager which is fraudulent or dishonest, including the Manager’s intentional failure to provide known information to the Town Council that is material to Town Council actions; or 12.1.2 Manager’s conduct that, if proven, would constitute a criminal offense evidencing poor character or judgment, or moral turpitude, where Town Council finds that there is reason to believe that such conduct occurred; or 12.1.3 Negligence, malfeasance, misfeasance, or nonfeasance in office; intentional or negligent violation of state or federal civil rights; or sexual harassment; or 12.1.4 Excessive use of alcohol or drugs, which renders Manager unfit or unable to perform his duties, as determined by the Town Council. 12.2 If the Town Council intends to consider termination of Manager’s employment for Cause, the Town Council, at any time, upon the vote of the majority of such Council, shall give Manager written notification stating the Cause for termination (“Notice of Termination for Cause”). If the Manager desires to question whether the matters stated in the Notice of Termination for Cause are accurate, or whether they constitute Cause, Manager shall have the right to do so on written notice (“Notice of Appeal”) to the Town Council given within ten (10) days after his receipt of the Notice of Termination for Cause. ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 6 of 16 Upon receiving the Manager’s Notice of Appeal, the Town Council shall provide the Manager a hearing before the Council within 15 business days. Such hearing shall be conducted in accordance with rules of procedure reasonably established by the Town Council. The Town Council’s determination, which shall be delivered to the Manager within five (5) business days of the Manager’s appeal hearing, shall be final and shall not be subject to further review. 12.3 If the Manager resigns upon notice from the Town Council that it is considering terminating the Manager’s employment for Cause, Town Council, in its sole discretion, may elect to treat such resignation as a termination for Good Reason, with Severance, in accordance with Section 10.2, above, or may elect to treat such resignation as a resignation without Good Reason in accordance with Section 13.0 below, in which case such resignation shall be effective immediately and Manager shall not be entitled to Severance. 13.0 RESIGNATION. As an at-will employee, if Manager voluntarily resigns Manager’s position with the Town in a manner not contemplated by Section 10, Manager shall strive to provide a minimum of forty-five (45) days written notice, unless the Parties otherwise agree. Upon the effective date of resignation, Manager shall be entitled to no further compensation or benefits under this Agreement or otherwise, but will be compensated for accrued, but unused, Paid Time Off in accordance with the Town of Avon Compensation and Benefits Programs, effective January 1, 2016, as may be amended from time to time. 14.0 ARBITRATION. Whenever a dispute arises with respect to this Agreement, or as to any aspect of the Manager’s employment or the termination thereof, that the Parties are unable to resolve through negotiation or other informal process, then, upon written demand of either Party, such dispute shall be submitted to binding arbitration conducted by the Judicial Arbiter Group, Inc. of Denver, Colorado, or its successor, or by such other arbitrator as the Parties may mutually select, pursuant to the rules and procedures determined by agreement of the Parties or, failing such agreement, by the arbitrator. The arbitration hearing shall be held within sixty (60) days of appointment of the arbitrator unless otherwise agreed by both Parties. Furthermore, each Party shall be entitled to one deposition. The Colorado Rules of Evidence shall not apply unless otherwise agreed by the Parties or determined by the arbitrator. Further, the arbitrator shall have discretion to determine whether any proffered evidence is sufficiently reliable and probative to be admitted. The determination of the arbitrator shall be final and absolute. The award of the arbitrator may be entered as a judgment in any court in the State of Colorado or elsewhere. If the Parties are unable to mutually agree on the selection of an arbitrator, then each Party shall select an arbitrator and the two arbitrators shall select a third arbitrator who shall make the determination, render final decisions, and issue an award. The Town shall bear the costs of any arbitration proceeding, however the Town and the Manager shall each bear their own attorney’s fees. The Parties intend this arbitration agreement to be a full and complete waiver of their rights to seek redress in any dispute between them related to the Manager’s Town employment from a court or before a jury. ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 7 of 16 15.0 INDEMNIFICATION. The Town shall defend, save harmless, and indemnify Manager against any and all losses, damages, judgments, interest, settlements, fines, court costs, and other liabilities incurred by, imposed upon, or suffered by Manager in connection with or resulting from any claim, action, suit, or proceeding, actual or threatened, arising out of an alleged act or omission in the performance of Manager’s duties as Town Manager or resulting from the Manager’s exercise of judgment or discretion in connection with his proper performance of duties or responsibilities on behalf of the Town, except to the extent the act, omission, or exercise involves the Manager’s reckless, willful, or wanton conduct; intentional misconduct; or, an act, omission or exercise that meets the definition of Cause. Manager may request the Town to provide independent legal representation acceptable to Manager at the Town’s reasonable expense and the Town shall not unreasonably withhold approval. Legal representation provided by the Town for Manager shall extend until a final determination of the legal action including any appeals brought by either party. Any settlement of any claim must be made with prior approval of the Town in order for indemnification as provided in this Section to be available. 16.0 NOTICES. All written notifications contemplated in this Agreement shall be sent to the following addresses via U.S. Mail or nationally recognized overnight courier, provided that the Manager may amend the address for notification by providing written notice of such address change: If to the Town: If to Manager: Mayor Town of Avon 100 Mikaela Way P.O. Box 975 Avon, CO 81620 Eric J. Heil P.O. Box 7436 Avon, CO 81620 With Copy to: Town Attorney 100 Mikaela Way P.O. Box 975 Avon, CO 81620 _______________________________ _______________________________ _______________________________ _______________________________ 17.0 ENTIRE AGREEMENT. This Agreement constitutes the entire agreement of the Parties as to the subject matter hereof and may not be changed orally, but only by written agreement signed by both Parties. 18.0 BINDING EFFECT. The Agreement shall be binding upon the Town and Manager and, as applicable, upon their heirs, personal representatives, successors, and authorized assigns. 19.0 ASSIGNMENT. The rights and obligations of this Agreement are personal in nature and shall not be assigned or otherwise conveyed by a Party without the prior written consent of the other Party. 20.0 NO THIRD PARTY BENEFICIARY. It is expressly understood and agreed that ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 8 of 16 enforcement of the terms and conditions of this Agreement, and all rights of action relating to such enforcement, shall be strictly reserved to the Town and Manager, and nothing contained in this Agreement shall give or allow any such claim or right of action by any third person to this Agreement. It is the expressed intention of the Town and Manager that any person other than the Town or Manager receiving services or benefits under this Agreement shall be deemed to be an incidental beneficiary only. 21.0 SEVERABILITY. The validity or partial invalidity of any provision of this Agreement will not affect the validity of any other provision. In the event that any provision of this Agreement is held to be invalid, the Parties shall negotiate and diligently seek to reach agreement regarding the intent of the Parties concerning any such invalid provision. Accordingly, if any provision of this Agreement is held to be invalid, the remaining provisions shall be deemed to remain in full force and effect. 22.0 INDEPENDENT LEGAL ADVICE. The Manager acknowledges that the Town has advised him to obtain independent legal advice with respect to entering into this Agreement, and that he has obtained such independent legal advice to the extent he deemed appropriate. Manager further acknowledges that he is entering into this Agreement with full knowledge of the contents hereof, of the Manager’s own free will, and with full capacity and authority to do so. 23.0 ARTICLE X, SECTION 20/TABOR. The Parties acknowledge that the Town is subject to Article X, § 20 of the Colorado Constitution (“TABOR”). The Parties do not intend to violate the terms and requirements of TABOR by the execution of this Agreement. It is understood and agreed that this Agreement does not create a multi-fiscal year direct or indirect debt or obligation within the meaning of TABOR and, therefore, notwithstanding anything in this Agreement to the contrary, all payment obligations of the Town are expressly dependent and conditioned upon the continuing availability of funds beyond the term of the Town's current fiscal period ending upon the next succeeding December 31. Financial obligations of the Town payable after the current fiscal year are contingent upon funds for that purpose being appropriated, budgeted, and otherwise made available in accordance with the rules, regulations, and resolutions of the Town of Avon, and other applicable law. Upon the Town’s failure to appropriate such funds, this Agreement shall be deemed terminated and the Manager shall be deemed terminated without Cause, unless such action is the result of a prior termination for Cause pursuant to Section 12. 24.0 COUNTERPART EXECUTION. This Agreement may be executed by the Parties in counterparts, which, together, shall form a single document. Signature Page Follows The Town of Avon, evidenced by the signature of its authorized representative, has read and considered this Town Manager Employment Agreement, understands its terms and conditions, and hereby agrees to employ Eric J. Heil as Avon Town Manager on the terms and conditions set forth herein. ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 9 of 16 TOWN OF AVON, COLORADO BY:_____________________________________ _________________ Amy Phillips, Mayor Date ATTEST:________________________________ _________________ Miguel Jauregui Casanueva, Town Clerk Date APPROVED AS TO FORM: ________________________________________ Karl Hanlon Eric J. Heil, as evidenced by his signature below, has read and considered this Town Manager Employment Agreement, understands its terms and conditions, and hereby agrees to serve as Avon Town Manager on the terms and conditions set forth herein. Signature Date ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 10 of 16 TOWN OF AVON TOWN MANAGER EMPLOYMENT AGREEMENT EXHIBIT ONE: Form of Severance, Waiver, and Release of Claims Agreement ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 11 of 16 TOWN of AVON, COLORADO SEVERANCE, WAIVER & RELEASE OF CLAIMS AGREEMENT THIS DOCUMENT IS INTENDED AS AN EXAMPLE ONLY AND DOES NOT CONSTITUTE A CURRENT OFFER OF SEVERANCE FROM THE TOWN OF AVON TO THE TOWN MANAGER. This Severance, Waiver, and Release of Claims Agreement (the “Agreement”) is entered into by and between the undersigned Town Manager, Eric J. Heil (“You”) and the Town of Avon, Colorado, and its respective elected officials, employees, agents, representatives, attorneys, and insurers (collectively the “Town”). You and the Town will be referred to collectively as the “Parties.” 1. Your employment with the Town will conclude on , 20 (the “Separation Date”), irrespective of the date upon which You execute this Agreement. 2. By your signature below, You acknowledge and agree that, as of the Separation Date, You were paid all wages or salary, all accrued unused vacation time, characterized by the Town as Paid Time Off, and any other compensation due and owing to You through the Separation Date, less the applicable tax or other deductions required by law, or deductions authorized by You in writing. 3. By your signature below, You agree that You have returned or, within seven (7) days of the Separation Date, will return all the Town property, including all copies of Town documents, which You have had in Your possession, custody, or control at any time through the end of Your employment. Town property includes, but is not limited to, Town files, notes, records, financial information, computer hardware, cellular phones, credit cards, entry cards, identification badges, keys, and any tangible property or materials of any kind that contain any Town proprietary or confidential information. You further agree to return all relevant proprietary information related to the Town that is currently loaded on any hard drive, flash drive, lap top, compact disc, or other electronic medium in your control and You shall not maintain copies of such information after returning it to the Town. 4. If You execute this Agreement, and do not revoke it, the Town agrees to pay the “Separation Benefit,” consisting of: (a) A single, lump sum payment in the amount of Dollars ($ ), which is equivalent to four (4) months’ compensation at your regular rate of pay, less all applicable deductions and local, state, and federal taxes. If You execute this Agreement and do ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 12 of 16 not revoke your execution, this amount will be paid to You within twenty (20) days after the expiration of the revocation period provided for in this Agreement. (b) Reimbursement of amounts You pay to continue your Insurance Benefits for a period of four (4) months following the Separation Date. The Town will issue this reimbursement to You within thirty (30) days of receiving reasonable evidence that You paid the required monthly premium. 5. Should You make a claim for unemployment insurance benefits, the Town will not contest or oppose any award of such benefits, but will accurately respond to inquiries submitted to the Town by the Colorado Department of Labor and Employment. 6. Other than the continuation of health insurance benefits under COBRA, as of the Separation Date, You shall not be eligible to participate in any of the Town’s health benefit plans, including, but not limited to, any plans or programs of medical, dental, or vision insurance. Likewise, as of your Separation Date, You shall not be eligible to participate in the Town’s other employee benefit plans. Nothing in this Section shall prevent You from participating in a COBRA continuation coverage program or any similar state medical and dental insurance continuation coverage program (“COBRA continuation coverage”). 7. YOU SHALL BE RESPONSIBLE FOR TIMELY ELECTION OF COBRA CONTINUATION COVERAGE AND FOR ALL COBRA CONTINUATION COVERAGE PAYMENTS. YOUR FAILURE TO TIMELY ELECT COBRA CONTINUATION COVERAGE OR TO TIMELY REMIT COBRA CONTINUATION COVERAGE PREMIUMS SHALL CAUSE AN IMMEDIATE LOSS OF YOUR COBRA CONTINUATION COVERAGE WITHOUT FURTHER NOTICE. 8. You agree that You desire to receive the Separation Benefit, and that the amount offered to You is above and beyond that to which You would otherwise be entitled. You further acknowledge that: your decision to release the Town is entirely voluntary; You have not been pressured into accepting the Separation Benefit; and You have enough information about the Separation Benefit to decide whether to execute this Agreement. If, for any reason, You believe that your acceptance of the Separation Benefit is not entirely voluntary, or if You believe that You do not have enough information, then You should not execute this Agreement. 9. You acknowledge that You have read and that You understand this Agreement. 10. You agree that, to the maximum extent permitted by applicable law, by executing this Agreement, You hereby covenant not to institute any legal or administrative proceeding against the Town and are fully, finally and forever releasing any and all claims that You have or may have against the Town, to the maximum extent permitted by law, as follows: (a) You agree that by executing this Agreement, You intend to release and forever discharge, and in fact release and forever discharge, the Town and its past and present ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 13 of 16 trustees, officers, agents, insurers, attorneys, assigns, and other representatives of any kind (collectively the “Released Parties”) from any and all claims, demands, rights, liabilities, and causes of action of any kind or nature, known or unknown, arising prior to or through the date that You execute this Agreement; and (b) You agree that your release includes, but is not limited to any and all claims, demands, rights, liabilities and causes of action arising or having arisen out of or in connection with your employment or termination of employment with the Town; and (c) With the exception of claims for the Separation Benefit payable to You and claims for any unemployment benefits to which You may be entitled, by your signature below, You intend to and do release and waive any claim or right to further compensation, benefits, damages, penalties, attorneys' fees, costs, or expenses of any kind from the Town; and (d) This release specifically includes, but is not limited to, a release of any and all claims pursuant to: (i) state or federal wage payment laws; (ii) the Colorado Anti-Discrimination Act; (iii) Title VII of the Civil Rights Act of 1964; (iv) the Rehabilitation Act of 1973; (v) the Reconstruction Era Civil Rights Acts, 42 U.S.C. §§ 1981-1988; (vi) the Civil Rights Act of 1991; (vii) the Americans with Disabilities Act & the Americans with Disabilities Amendments Act of 2008; (viii) Executive Order 11246; (ix) the Family Medical Leave Act of 1993 and any other state or federal family and/or medical leave acts; (x) the Consolidated Omnibus Budget Reconciliation Act of 1985; (xi) the Uniformed Services Employment and Reemployment Rights Act; (xii) the Genetic Information Nondiscrimination Act of 2008; (xiii) the Employee Retirement Income Security Act of 1974; and ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 14 of 16 (xiv) any other federal, state or local laws or regulations of any kind, whether statutory or decisional. This release also includes, but is not limited to, a release of any claims for wrongful termination, personal injury, breach of contract, defamation, misrepresentation, violation of public policy or invasion of privacy, and tortious interference with contract. This release covers claims that You know about as well as those You may not know about; and (e) To the extent allowed by applicable statutory and regulatory law, the release contained in the preceding paragraph includes a waiver of rights and claims which You may have arising under the federal Age Discrimination in Employment Act of 1967 (Title 29, United States Code, 621 et seq.) (the “ADEA”). Pursuant to the Older Workers Benefit Protection Act (Public Law 101-433; 1990 S. 1511), You acknowledge that this release is intended to apply to, and You expressly agree that it shall be effective as a waiver of, rights and claims arising under the ADEA; and (f) This release does not include any claims that cannot be released or waived by law. Nothing in this Agreement is intended to limit, restrict or interfere with your right to engage in any protected activity under the National Labor Relations Act. Further, by executing this Agreement, You do not waive rights and claims that may arise subsequent to the execution of this Agreement. Execution of this Agreement does not affect your ability to participate in an investigation or proceeding conducted by the Equal Employment Opportunity Commission, the Colorado Civil Rights Division, or a comparable local agency. However, notwithstanding the foregoing, You agree to waive your right to recover monetary damages in any amount awarded in any charge, complaint, or lawsuit filed by You or by anyone else on your behalf; and (g) You agree that this Agreement is intended to be interpreted in the broadest possible manner in favor of the Town, to include all actual or potential legal claims that You may have against the Town, except as specifically provided otherwise in this Agreement; and (h) You further agree that You have not experienced any illness, injury, or disability compensable or recoverable under the worker’s compensation laws of the State of Colorado that You have not reported to the Town and You agree that You will not file a worker’s compensation claim asserting the existence of any such illness, injury, or disability; and (i) You agree that You have been and are hereby advised by The Town to consult with an attorney prior to executing this Agreement. 11. You agree that the Separation Benefit that You are accepting by signing this Agreement has value to you. You agree that You would not be entitled to the Separation Benefit without signing this Agreement. You acknowledge that You will receive the Separation Benefit in exchange for the benefit You are providing to the Town and the Released Parties by signing this ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 15 of 16 Agreement. You also acknowledge and agree that the Town will withhold from the Separation Benefit all applicable deductions and federal, state and local taxes. 12. You agree that the Separation Benefit is the only benefit You are to receive by signing this Agreement, and that in signing this Agreement You did not rely on any information, oral or written, from anyone, including your supervisor, other than the information contained in this Agreement. 13. You represent that You have not previously assigned or transferred any of the legal rights and claims that You have waived by signing this Agreement. You agree that this Agreement also binds all persons who might assert a legal right or claim on your behalf, such as your heirs, personal representatives, and assigns. 14. You agree not to disparage the Town, its trustees, officers, employees, agents, or reputation. 15. This Agreement may be executed in multiple counterparts, each of which shall be an original, but all of which shall be deemed to constitute one instrument. 16. You agree that: (a) this Agreement constitutes the entire agreement between You and the Town regarding its subject matter, without regard to any other oral or written information that You may have received about this Agreement; (b) if any part of this Agreement is declared to be unenforceable, all other provisions of this Agreement shall remain enforceable; and (c) this Agreement shall be governed by federal law and by the laws of the State of Colorado, irrespective of the choice of law rules of any jurisdiction. 17. You also agree that to the extent You are bound by a proprietary information agreement or confidentiality agreement, those agreements are not released hereby. 18. You have up to twenty-one (21) days after You receive this Agreement to consider whether to execute this Agreement (the “Deliberation Period”). During the Deliberation Period, You should consult with an attorney of your choosing and consider whether You wish to sign this Agreement. You agree that, after You have signed and delivered this Agreement to the Town, this Agreement will not be effective or enforceable until the end of a seven (7) day revocation period beginning the day that You deliver this Agreement to the Town (the “Revocation Period”). You understand that You will not receive the Separation Benefit as applicable until the Revocation Period has expired. During the Revocation Period, You may revoke this Agreement without condition and in your sole judgment, but You may do so only by delivering a written statement of revocation to the Town. If the Town does not receive a written revocation notice by the end of the Revocation Period, this Agreement will become legally enforceable and You may not thereafter revoke this Agreement. Remainder of page intentionally blank; signature page follows ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON Town Manager Employment Agreement June 27, 202311, 2024 Page 16 of 16 By signing below You: (a) acknowledge that You have read and understand this Agreement; (b) understand that it is a legally binding document that may affect your legal rights; and (c) have been advised to consult a lawyer of your choosing before signing this Agreement and have had an opportunity to do so to the extent you deem appropriate. ERIC J. HEIL Signature: Date: The Town of Avon, evidenced by the signature of its authorized representative, has read and considered this Town Manager Severance, Waiver, and Release of Claims Agreement, understands its terms and conditions, and hereby agrees to these terms and conditions with respect to the departure from employment of Eric J. Heil as Avon Town Manager on the terms and conditions set forth herein. TOWN OF AVON, COLORADO BY: , Mayor Date ATTEST: , Town Clerk Date ATTACHMENT A: 2024 Heil Employment Agreement COMPARISON AVON REGULAR MEETING MINUTES TUESDAY MAY 28, 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 May 28, 2024, Council regular meeting to order at 5:00 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. Councilor Thuon left the meeting in person at 5:58 p.m. and rejoined the meeting virtually at 6:11 p.m., and rejoined the meeting in person at 7:53 p.m. 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, Community Development Director Matt Pielsticker, Planner II Max Morgan, Public Works Director Eva Wilson, and Avon Police Chief Greg Daly. 2. APPROVAL OF AGENDA Video Start Time: 00:01:47 Before the approval of the Agenda, Councilor Carroll offered remarks related to the symbolism of Memorial Day, asking those present for a moment of silence in remembrance of the fallen service members in the Military. 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 Carroll 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: 00:02:07 Mayor Phillips asked if there were any conflicts of interest related to the Agenda, and none were disclosed. 4. PUBLIC COMMENT Video Start Time: 00:02:23 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 added that the public comment section is intended for items not listed in the Agenda, and participation by members of the public is limited to 3 minutes. She asked if there was any public comment from those present in the room or virtually and no public comment was made in person nor virtually. 5. BUSINESS ITEMS 5.1. Swearing In And Pinning Ceremony And Police Presentations (Chief Of Police Greg Daly) Video Start Time: 00:03:35 Chief of Police Greg Daly covered the topics of: (i) the swearing-in and pinning ceremony for Officer Trevor Roszczewski, (ii) the CALEA reaccreditation certificate presentation by Colonel Matthew Packard, Chief of the Colorado State Patrol, (iii) a presentation of the Avon Police Department Annual Awards, and (iv) the Avon Police Department 2023 Annual report. No public comment was made in person nor virtually. AVON REGULAR MEETING MINUTES TUESDAY MAY 28, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 2 Councilor Thuon left the meeting in person at 5:58 p.m. and advised Town Staff that he would rejoin the meeting virtually later. Councilor Thuon rejoined the meeting virtually at 6:11 p.m. and in person at 7:53 p.m. Town Attorney Nina P. Williams advised Council and Councilor Thuon that because he was unable to be present for the totality of the public hearing under Business Item 5.2., he should abstain from voting on that Business Item. 5.2. PUBLIC HEARING: Resolution 24-15 Approving a Wildridge Lot Split Planned Unit Development Amendment for Lot 66, Block 1, Wildridge (Planner II Max Morgan) Video Start Time: 00:58:17 Planner II Max Morgan introduced the topic of Resolution 24-15 which seeks to approve a Wildridge Lot Split Planned Unit Development Amendment for Lot 66, Block 1 in Wildridge. He also delivered a staff presentation related to the lot split. He was joined by Architect Bobby Ladd who delivered a presentation to Council on behalf of the Applicant requesting the Lot Split. Councilor Andrade asked if the lot split allows for a future duplex and was advised it does not and precludes any future duplex. Mayor Pro Tem Underwood asked questions related to Planner Morgan’s presentation on Section 7.16.060(e)(4) review criteria and asked Town Attorney Williams to confirm which romanettes can be disregarded from the slides and criteria and which romanettes need to be used in the analysis. Councilor Carroll asked clarifying questions on maximum height of the structures. Councilor Hardy asked for historical lot splits approved since 2015 and was advised there have been 8 or 9 and all have been approved in the past. Mayor Phillips opened the floor to the public hearing comment and Jenny Wahrer, resident of Wildridge, took the podium in person and stated that she resides west of the proposed lot split and believes that there should be a duplex built under existing rules, but she does not support a lot split. She added she believes splitting the lot will impede transit of wildlife on the lot further than a single duplex structure would, which she favors. She added she doesn’t believe that there are any savings accomplished by building under a lot split as opposed to building a duplex on the site. Robert Pfaff, resident of Wildridge, took the podium in person to ask if the property boundaries of these lots will be staked to indicate which trees belong to whom in the hope that accidental tree felling of neighbors will be prevented. Jim Yager, resident of Wildridge, took the podium in person to speak of his concern for the Aspen Grove located on Fox Ln and its potential for endangerment with the projected lot split and tree felling. Jodie Edders, resident of Wildridge, took the podium in person to speak of her belief that this lot split will have a negative effect on the neighborhood and highlighted that her home’s views would be most impacted by the proposed lot split. AVON REGULAR MEETING MINUTES TUESDAY MAY 28, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 3 Mike Chadwell, resident of Wildridge, took the podium in person to state his belief that building these types of homes does not alleviate the housing deficit in Avon. He indicated that there are also some discrepancies in square footage indicated in the packet and asked questions related to the width of the utility and drainage easement on the properties. Nicole Garnsey, resident of Avon and owner of the lot under consideration for a split, took the podium in person to state they are very excited for the potential of building their forever home on- site and understands that any change to a large vacant lot will have an impact on the neighborhood and she stands behind the belief that the lot split and two separate smaller homes are better for the neighborhood than a large duplex structure which would take up more room and views. Bobby Ladd, on behalf of the development group, asked for the best opportunity for them to speak and reply to some of the concerns raised during the public hearing. No other public comment was made in person nor virtually. Mr. Ladd took the podium to clarify and rebut some of the negative feedback given and was joined by Sean Reynolds as a part of the development group who stated that they the project will not fell any tree that is not essential to allow for the construction, and added that cutting down one Aspen tree is considered like branch pruning for the Aspen Grove and does not destroy the entirety of the Aspen Grove or endangers it. He added that any home built will help alleviate the housing shortage in Avon and disputed any statement to the contrary. Mr. Ladd added that there will be a construction fence put up to alleviate any concern over property boundary issues and tree felling. They were also joined by Steve McDonald who is part of the developing Team and added that they are all residents of Wildridge and that a lot split does indeed alleviate wildlife traffic as compared to a much larger duplex by adding an additional corridor for wildlife travel. Town Attorney Williams and Mayor Phillips and Mayor Pro Tem Underwood clarified which PUD review criteria will apply to their analysis under Town Code Section 7.16.060(e)(4). Councilor Hardy stated that she believes this Resolution for a Lot Split meets the statutory eligibility criteria and she agrees with the conclusions contained in the Report. She added that smaller structures do allow for more wildlife flow, and the precedent of 8 favorable lot splits makes it consistent with others in the neighborhood. She added that she is not factoring in cost of development as part of her analysis as it is not required for the review criteria. Mayor Pro Tem Underwood asked Town Attorney Williams and Town Staff for guidance on the best way to draft conditions to ensure that the project does not deviate from what was presented at the meeting, particularly as it refers to grading and height of the ceiling, which she received from Town Manager Heil. Councilor Carroll noted he is in favor of the lot split with the conditions being discussed by Council. Councilor Andrade agreed that the lot split would be more beneficial in the long term, including AVON REGULAR MEETING MINUTES TUESDAY MAY 28, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 4 preserving views and wildlife corridors. Councilor Stanley added that the developer hit every mark as far as PZC is concerned and meets the statutory requirements. She acknowledged the hopes and desires of the neighbors and noted that the lot split does appear more favorable by all accounts. However, she stated that she feels compelled to stand with the neighbors and will not support the lot split because of their concerns. Mayor Pro Tem Underwood stated that she would support the lot split with the conditions that she would include during her motion. Mayor Phillips stated that she understands a feeling of nostalgia from looking at an old vacant lot in the old neighborhood but also needs to balance it with the fact that this lot split is important to developing this property in more cohesive way with the neighborhood. She noted it is hard to appreciate the value of the lot split if you don’t want to see anything built on that lot and commended the developer for their work on this project. After deliberations, Mayor Pro Tem Underwood motioned to approve Resolution 24-15 with the conditions that: (i) there be an access and maintenance agreement for the shared driveway and storage area to be recorded prior to signature of the minor subdivision plat; (ii) the limits of disturbance are assigned to the north portion of the lot or restricted envelope and designated on the plat prior to signature and recording; (iii) the findings and minutes of the PZC meeting of May 13, 2023, are approved as presented; (iv) the structure’s design as presented in this public hearing will not exceed the represented heights; and, (v) the plat will contain a note prior to signing and recording that there will only be one curb cut allowed for the lot split on Fox Lane. Councilor Hardy seconded the motion. It was approved with a 5-1 vote, with Councilor Stanley voting nay and Councilor Thuon abstaining due to his partial absence from the public hearing. Mayor Phillips declared a 4-minute recess at 8 pm and reconvened the meeting with a 5-minute delay at 8:09 p.m. 5.3. FIRST READING: Ordinance 24-10 Elections Code Update (Deputy Town Manager Patty McKenny and Town Clerk Miguel Jauregui Casanueva) Video Start Time: 02:59:20 Town Clerk Miguel Jauregui Casanueva delivered a presentation related to the need for an Elections Code Update in Avon to align write-in candidate deadlines and make them uniform with the County. Mayor Phillips opened the floor to the public hearing and no public comment was made in person nor virtually. Mayor Pro Tem Underwood asked that this Code Amendment apply to coordinated elections but exempt recall elections and keep in the write-in candidate opportunity as stated in the old code but for Recall elections specifically. After brief deliberations, Mayor Pro Tem Underwood motioned to approve the first reading of Ordinance 24-10 with the condition that the Second Reading of the Ordinance be amended to contemplate write-in candidates in recall elections. Councilor Hardy seconded the motion. It was approved unanimously with a 7-0 vote. AVON REGULAR MEETING MINUTES TUESDAY MAY 28, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 5 5.4. Notice of Award: Public Works Garage (Public Works Director Eva Wilson) Video Start Time: 03:03:10 Public Works Director Eva Wilson delivered a presentation related to the Notice of Award for the Public Works Garage. Town Manager Eric Heil added information related to the project’s costs with gas vs. all electric boilers. Mayor Pro Tem Underwood deliberated on the pros and cons of a gas vs electric boilers. Councilor Hardy asked if this is an essential facility for public works to house vehicles, and Town Manager Eric Heil noted that it is a high priority structure overdue by several years. She noted she needs to be convinced of the justification of this elevated cost. Public Works Director Eva Wilson noted that construction costs remain high, even though this is a custom prefab structure designed to save as much as possible on construction costs. She added the most efficient form of heating for the structure is radiant concrete heated floors. Councilor Carroll asked questions on the solar panels included in this structure. Town Manager Heil noted that the photovoltaic offset included in the structure is hard to quantify and he would appreciate the direction from Council to contract a specialist to prepare a study on that topic and the benefits of a larger electric storage facility to satisfy energy needs of the Public Works Garage and other adjacent public structures. Councilor Carroll wondered if the Town should ‘walk the walk’ relative to choosing electric solutions by choosing the costlier electric boilers. Town Manager Eric Heil noted that this is an industrial structure and residential all-electric heating alternatives are ineffective. Councilor Stanley noted that she better understands why gas is more convenient than electric for this project. Councilor Andrade stated he feels uncomfortable with the pivot to gas for this project given that electric is an imposition made to other stakeholders in Avon. Councilor Thuon said this pivot to gas over electric seems a little hypocritical. Councilor Stanley stated that the money spent on this project is from the community for the community and cost efficiency in gas boilers are passed along but she is torn on the decision as well. No public comment was made in person nor virtually. After deliberations, Councilor Thuon motioned to authorize the issuance of a Notice of Award for the construction of the Public Works Garage in the amount of $3,964.038 and fund the project budget of $4,164,038 with $1,600,000 ARPA funds and $2,564,038 Reserve funds. Mayor Pro Tem Underwood seconded the motion. It was approved unanimously with a 7-0 vote. 5.5. Work Session: Council Rules of Procedure and Group Expectations (Town Attorney Nina Williams) Video Start Time: 03:35:33 Town Attorney Nina Williams introduced the topic of the Work Session related to Council Rules of Procedure and Group Expectations. There were ample deliberations on the issues of mandatory attendance, remote attendance allowable absences in a calendar year, and removal from office. Councilors asked for a specific proposal on these topics to be brought forth in a future meeting. On the topic of Public Conduct of Council Members, Council supported the preparation and adoption of a Council Handbook by Resolution. As this was a work session, staff received feedback and no motion was requested. AVON REGULAR MEETING MINUTES TUESDAY MAY 28, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 6 6. CONSENT AGENDA Video Start Time: 04:23:27 Mayor Phillips introduced the approval of the Consent Agenda to include the following: 6.1 Resolution 24-16 Supporting Grant Application to Department of Local Affairs (Town Manager Eric Heil) 6.2 Approval of Intergovernmental Agreement with Eagle River Fire Protection District Wildfire Mitigation for Wildland Fire Mitigation (Public Operations Manager Gary Padilla) 6.3 Approval of May 14, 2024 Regular Council Meeting Minutes (Deputy Town Clerk Brenda Torres) Mayor Phillips opened the floor to public comment and no public comment was made in person nor virtually. 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. 7. WRITTEN REPORTS 7.1. May 13th Planning and Zoning Commission Abstract (Planner II Max Morgan) 7.2. Monthly Financials (Senior Accountant Dean Stockdale) 7.3. School Mural Project Update (Special Events Coordinator Chelsea Van Winkle and Michael Pasquarella, Special Events Coordinator) 7.4. Draft April 18 Culture, Arts & Special Events Committee Meeting Minutes (Michael Pasquarella, Special Events Coordinator) ** Indicates topic will be discussed at future agenda’s 8. MAYOR AND COUNCIL COMMENTS & MEETING UPDATES Video Start Time: 04:24:01 Councilor Thuon asked for the next generation of Avon stakeholders to involve themselves in the politics of municipal government. Councilor Hardy reminded the public of the Pride in the Park event taking place this Saturday, June 1st, 2024. Councilor Stanley reminded the public of the Art Guild Grand Opening on June 14th, 2024, and added that Sunset Live Series has kicked-off in Avon. She also asked for a report from staff updating Council on budget cuts to special events that were reallocated for special event marketing. Mayor Pro Tem Underwood reminded the public that tomorrow, May 29th, 2024, from 6 to 8 p.m. is the Eagle River Valley State of the River Talk with free food starting at 5:15 at Colorado Mountain College in Edwards. AVON REGULAR MEETING MINUTES TUESDAY MAY 28, 2024 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 7 9. ADJOURN There being no further business before Council, Mayor Phillips moved to adjourn the regular meeting. The time was 9:37 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 APPROVED: Mayor Amy Phillips ___________________________________ Tamra Underwood Ruth Stanley Lindsay Hardy RJ Andrade Rich Carroll Chico Thuon FINANCE COMMITTEE MEETING MONDAY, MAY 20, 2024 HYBRID MEETING; IN-PERSON AND ON TEAMS Finance Committee Meeting, May 20, 2024 1 | 2 1. ROLL CALL The meeting began at 5:10 p.m. PRESENT- Finance Committee: Lisa Post (virtually), Craig Ferraro (virtually), John Widerman and Steve Coyer. Town Council: Councilor Rich Carroll Town Staff: Town Manager Eric Heil, Chief Financial Officer Paul Redmond and Chief Administrative Officer Ineke de Jong, as Secretary. ABSENT- Finance Committee: Clark Rogers and Markian Fedeschuk Town Council: Councilor Tamra Underwood Town Manager Eric Heil kicked off the meeting by thanking all committee members for their patience during the long pause in meetings as we started up the Avon Downtown Development Authority (DDA) Board which has taken up a lot of staff time in the last 12 months. Eric expressed staff was happily surprised by the enthusiasm and interest from everyone to continue to serve on the committee and tackle a list of finance topics. 2. APPROVAL OF JUNE 19TH, 2023 MINUTES Steve Coyer moved to approve the minutes from the June 19th, 2023 meeting and John Widerman seconded the motion. The motion passed unanimously by those present. 3. PUBLIC COMMENT There was no public comment. 4. GENERAL UPDATE ON 2024 FINANCIALS (CHIEF FINANCIAL OFFICER PAUL REDMOND) Chief Financial Officer Paul Redmond delivered his presentation on the financial results year to date. Overall Sales tax is flat and accommodations tax is down, which is different from what we’ve seen the last few years). There was discussion on rec center usage, lodging tax and occupancy in town. STR licensing going from 104 in 2023 to 83 in 2024 and Paul explained his accounts receivable staff is collecting more info/background on that. Eric said one of the 2024 staff goals is researching whether it’s worthwhile to rejoin DestiMetrics. Staff will study whether it will be worthwhile to rejoin it if we can pass an ordinance that makes reporting mandatory in 2025 as we only had 3 or 4 properties report in the past. Paul expressed his team is happy to take suggestions on edits/changes in the formatting for reporting of monthly financials. Committee member Lisa Post expressed that seeing bigger picture / more background data to see “trends” would be helpful. Eric said he likes the idea of looking at the bigger picture and make sure we are being strategic and make financially sustainable decisions. 5. USE TAX (CHIEF FINANCIAL OFFICER PAUL REDMOND) Chief Financial Officer Paul Redmond delivered his presentation on Use Tax. Council referred a use tax question to the ballot in 2023 and it failed. Council is exploring bringing this back to the ballot in November and hoping for success with more education to the voters and a higher voter turnout at the 2024 election and dedicating all funds to the housing fund. He spoke about the timeline to poll and educate the voters this summer. The committee discussed that in the Village at Avon the funds would contribute to the Town’s tax credit obligations and get it paid off sooner. Staff FINANCE COMMITTEE MEETING MONDAY, MAY 20, 2024 HYBRID MEETING; IN-PERSON AND ON TEAMS Finance Committee Meeting, May 20, 2024 2 | 2 struggles with what point at which we are educating versus confusing the public. The committee agreed that the higher voter turnout during a presidential election and perhaps naming it a “new construction tax” might help clarify things. The committee suggested taking a straw poll of council and suggested it would be received better by the public if it was referred unanimous by the Council. 6. VILLAGE (AT AVON) (CHIEF FINANCIAL OFFICER PAUL REDMOND) Chief Financial Officer Paul Redmond introduced the topic of the Village at Avon and presented the overall recap showing a total of $14.6 Million in debt remaining to be issued. We’ve issued approximately $86 Million in credits and rebates since 2002. Craig Ferraro suggested that the 2002 bonds that were refinanced in 2020 with 2020 bonds are counted “once” but should be counted “twice” for the original 2002 principal amount paid off. Staff agreed that makes sense and they will go back and look at that. 7. AVON DDA (CHIEF FINANCIAL OFFICER PAUL REDMOND) Chief Financial Officer Paul Redmond delivered his slides on the Avon DDA and expressed the DDA passed last August by the eligible Avon voters and there is an overlay with the Urban Renewal Authority. Discussions included the projected 2024 tax increment revenues are appx $52,000, spending of Tax Increment Financing funds inside the DDA boundary a nd that the Town is unique in having the URA and the DDA operate in the same area. 8. AVON HOUSING AUTHORITY (CHIEF FINANCIAL OFFICER PAUL REDMOND & TOWN MANAGER ERIC HEIL) Chief Financial Officer Paul Redmond explained this separate legal entity was established many years ago in 1989 and hasn’t been very active. It can be put to use for anything the Town is going to build which includes 3 possible housing projects (1) the Avondale Apartments on Lot 5 past Home Depot and (2) the slopeside parcel and (3) townhomes on the Wildridge/Avon Annex. Or a private developer asking for Town support with municipal tax-exempt bond financing which will mean strict oversight. Another possible issue before this authority is the State Land Board Phase I. Eric explained we’re active with looking at a regional housing authority which can become the vehicle to assist private developers with these types of municipal tax-exempt bond financing, instead of the Town of Avon. Craig Ferraro expressed Penrose development can provide insight on government help with kickstarting development and filling gaps. He can make an introduction to Paul & Eric. Steve Coyer expressed that Graham Frank is another developer that has expertise and capital and Eric said he has met with Graham. 9. GOALS AND ROLES OF THE FINANCE COMMITTEE (TOWN MANAGER ERIC HEIL) Town Manager Eric Heil expressed this was a general overview and re-introduction of a range of finance topics and staff would like to hear from the committee what we can bring back for more discussion. Otherwise we will focus on the Village at Avon and the State Land Board Annexation. The State Land Board Annexation will come with a lot of demand and little taxes, but the tenants will still pay sales taxes when they go shopping in Avon. It will not be a money maker but an increase in demand on services. It will be interesting to look into that with the committee. FINANCE COMMITTEE MEETING MONDAY, MAY 20, 2024 HYBRID MEETING; IN-PERSON AND ON TEAMS Finance Committee Meeting, May 20, 2024 3 | 2 Councilor Carroll echoed Eric’s comments that the committee can bring ideas on their goals and roles etc and please send them to staff. John Widerman said the committee can be guardians of the questions that staff would put to the general public and maybe provide general feedback before things go to Council or the public, for instance the use tax so it can have ‘Avon Finance Committee Endorsement’ on it. Staff said they’ll bring opportunities to the committee. Eric said staff will forward the fiscal peer community comparison study for the committee to review. It will be updated soon as we aim to update it about every 3 years. 10. NEXT COMMITTEE MEETING DATE After deliberations, consensus among Finance Committee Members was to schedule meetings bi- monthly on the 3rd Monday of the month. The next meeting is Monday July 15, 2024 at 5:00 p.m. at the Mount Holy Cross meeting room at Avon Town Hall. Staff expressed that by then we should have the results back on the Use Tax Voter Polling. We might also be able to discuss the Village at Avon PUD Amendment and possibly extending their vested rights. Craig Ferraro asked to look at projections from the Village at Avon on when debt will be paid off. Paul confirmed the debt schedule shows it as paid off in 2049. 11. ADJOURNMENT Craig Ferraro motioned to adjourn the meeting, the time was 6:32 p.m. Respectfully Submitted by: Ineke de Jong, Chief Administrative Officer. HEALTH AND RECREATION COMMITTEE MEETING MINUTES TUESDAY, MAY 21, 2024 HYBRID FORMAT IN PERSON AT AVON TOWN HALL AND VIA ZOOM HEALTH AND RECREATION COMMITTEE MEETING MINUTES, MAY 21, 2024 PAGE 1 | 6 1. ROLL CALL Present- Committee Members: Committee Chairman Kevin Hyatt, Committee Vice Chairman Nancy Tashman and Committee Members Pat Nolan, Sonia Martinez, Kathy Ryan, and Courtney Walters Rawson Staff: Recreation Director Michael Labagh, Aquatics Superintendent Kacy Carmichael, Recreation Services Superintendent Jerrica Miller, Swim Program Supervisor Meghan Hershey, and Programs Supervisor Luke Herron Town Council: Mayor Amy Phillips Absent- Committee Members: Lisa Post Committee Chairman Kevin Hyatt opened the meeting at 12:04 p.m. 2. APPROVAL OF THE AGENDA Committee Vice Chair Nancy Tashman made a motion to approve the agenda, Committee Member Pat Nolan seconded to approve the agenda. Committee Chairman Kevin Hyatt declared the agenda approved. 3. APPROVAL OF THE APRIL 2024 MEETING MINUTES Committee Member Kathy Ryan made a motion to approve the minutes from the April 9, 2024 meeting, Committee Member Pat Nolan seconded the motion and Committee Chairman Kevin Hyatt declared the minutes approved. 4. PUBLIC COMMENT No public comments were made. 5. BUSINESS ITEMS 5.1 Recreation Department Update Recreation Director Michael Labagh thanked everyone for coming and explained how the daily and monthly visitation numbers are accumulated. Then he provided a general update and details about the maintenance shutdown. The department hosted our first All Staff Meeting with about 45 staff in attendance, which is impressive when considering all the different time commitments our staff have. We collected Mission, Vision and Values input from the staff. The maintenance closure includes a new ADA swim lift, aquatics climbing wall replacement, waterslide stairs refurbished, partial replacement of the pool lights, painted the cardio fitness area, plumbing repairs and replacement, updated shower infrastructure such as mixing valves, weight room mirrors adjusted, removal of the bouldering wall that was underutilized and replaced with a TV, snack vending machine and furniture. The Committee and Attendees commented/inquired: A. Committee Member Pat Nolan stated excitement about the ADA chair. B. Mayor Amy Phillips asked how many hours was the All-Staff Training, did we feed them lunch and how much notice did we give the staff? HEALTH AND RECREATION COMMITTEE MEETING MINUTES TUESDAY, MAY 21, 2024 HYBRID FORMAT IN PERSON AT AVON TOWN HALL AND VIA ZOOM HEALTH AND RECREATION COMMITTEE MEETING MINUTES, MAY 21, 2024 PAGE 2 | 6 a. Recreation Direction Michael Labagh replied the training was held from 9:30am-3:30pm for all staff and the Aquatics staff stayed until 5:30pm for additional training. C. Mayor Amy Phillips inquired if the ADA swim lift comes all the way out of the water instead of blocking the swim lane? a. Aquatics Superintendent Kacy Carmichael confirmed, and Recreation Director Michael Labagh explained that this has been requested by patrons and a great upgrade. D. Committee Member Kathy Ryan inquired what code we are following for the pool area lights? a. Recreation Director Michael Labagh explained that the department follows the State of Colorado swimming pool regulations as well as industry standard recommendations that are included in the Model Aquatic Health Code (MAHC). E. Committee Member Kathy Ryan inquired if the big steel pipe in the cardio room was eliminated? a. Recreation Director Michael Labagh replied that silver pipe is the HVAC ventilation and it remains in place. F. Committee Member Nancy Tashman commented that the weight room benches look good, no more ripped leather. G. Mayor Amy Phillips inquired what snacks are offered in the vending machine? a. Recreation Director Michael Labagh explained that he has requested healthy snacks to be included. H. Committee Member Pat Nolan commented the Recreation Center looks amazing! I. Committee Member Kathy Ryan inquired about the status of the Jacuzzi? a. Recreation Director Michael Labagh explained that the hot tub will be revisited for repair and improvement in 2025 when the pool deck project is underway. J. Mayor Amy Phillips requested a timeline for the hot tub be posted near the hot tub. a. Recreation Director Michael Labagh explained all the places that this information is communicated. Recreation Director Michael Labagh provided an update on the spring and summer programming plans and Recreation Services Superintendent Jerrica Miller gave a brief update on summer day camp plans including purchasing a new 15 passenger van to take the kids on field trips. A. Mayor Amy Phillips inquired if the van would have all wheel drive? a. Recreation Services Superintendent Jerrica Miller responded yes. B. Committee Member Pat Nolan inquired if the vans are used year-round or just for the summer? a. Recreation Services Superintendent Jerrica Miller explained that the vans were used during the school year for the Afterschool and School’s Out Camps. C. Committee Member Sonia Martinez inquired what ages can attend day camp? a. Recreation Services Superintendent Jerrica Miller replied ages 5 -11years old. D. Committee Member Nancy Tashman inquired about the lobby furniture, are there any tables for playing games? a. Recreation Director Michael Labagh replied yes, there are a few tables and a chess table, but staff will monitor the usage to try and provide furniture that people want to use. Staff were not sure what was behind the wall or under the mat, so staff made some educated guesses on what furniture would work for the new area. Recreation Director Michael Labagh continued the Recreation Center update and explained the 3-part annual planning cycle; Winter/Spring, Summer and Fall/Winter. He then gave a tutorial on how to find program registration starting from the Avon.org website. A. Committee Member Nancy Tashman inquired if you could register and pay online for programs ? HEALTH AND RECREATION COMMITTEE MEETING MINUTES TUESDAY, MAY 21, 2024 HYBRID FORMAT IN PERSON AT AVON TOWN HALL AND VIA ZOOM HEALTH AND RECREATION COMMITTEE MEETING MINUTES, MAY 21, 2024 PAGE 3 | 6 i. Recreation Director Michael Labagh confirmed. B. Committee Member Sonia Martinez inquired if SmartRec is a different program from Amilia a. Recreation Director Michael Labagh replied that Amilia is the software company, but they are re-branding to be called SmartRec C. Committee Member Sonia Martinez inquired if families will have to start over to transition to SmartRec from Amilia a. Recreation Director Michael Labagh explained that no, it is the same software. The front desk staff are available to help people get registered. D. Committee Member Pat Nolan asked Luke Herron about the Vail Health Active Aging Expo and what he was there to promote? Will seniors be able to start playing Rummikub at the Recreation Center? a. Programs Supervisor Luke Herron explained which programs he was there to promote and said he has a few games he can set up for seniors to play. b. Recreation Services Superintendent Jerrica Miller offered to send Pat Nolan the dates and times so she can share the information with her network through Eagle County Healthy Aging. 5.2 Community Swim Program Review Swim Program Supervisor Meghan Hershey welcomed the committee to the month of May which is Water Safety Month and provided statistics about the number of drownings among children nationwide. Recreation Director Michael Labagh shared the website resources for these statistics as well including the American Red Cross water safety resources website. He shared information about Longfellow’s WHALE tales and explained that we will eventually reintroduce this curriculum to our afterschool program. Swim Program Supervisor Meghan Hershey provided more details about the daytime school swim lessons from Avon Elementary and Berry Creek Middle Schools. She then explained the structure for USA Swimming zones, sectionals and futures swim meets, and what accolades our swim team has accomplished. She also explained how these various levels of competitive swimming compare to the path to the Olympics. She shared that 170 children have received swim lessons in 2024 so far. The Committee and Attendees commented/inquired: A. The entire committee applauded the success of the team and their accomplishments. B. Mayor Amy Phillips inquired if Homestake Peak is one of the schools we would do swim lessons with? a. Recreation Director Michael Labagh explained they have had limitations with transportation, but we will revisit offering swim lessons to their school. C. Committee Member Pat Nolan inquired about Personal Floatation Devices (PFDs). a. Aquatics Superintendent Kacy Carmichael shared that there are US Coast Guard approved lifejackets (PFDs) in all sizes available and free to borrow in the pool area. D. Committee Member Kathy Ryan inquired where children are allowed in the pool if they are wearing a PFD? Are they allowed in the deep end and if so, why? a. Aquatics Superintendent Kacy Carmichael replied yes anyone in a PFD is permitted in deep water. b. Recreation Director Labagh explained that anyone wearing a PFD must be within arm’s reach of a parent or guardian. HEALTH AND RECREATION COMMITTEE MEETING MINUTES TUESDAY, MAY 21, 2024 HYBRID FORMAT IN PERSON AT AVON TOWN HALL AND VIA ZOOM HEALTH AND RECREATION COMMITTEE MEETING MINUTES, MAY 21, 2024 PAGE 4 | 6 c. Aquatics Superintendent Kacy Carmichael clarified that PFDs are not permitted to be worn while using the waterslide. E. Committee Member Kathy Ryan inquired if the children’s Dunk-N-Dash race is a continuation of the same program? F. Committee Member Courtney Walters Rawson inquired how old people need to be to become lifeguards? a. Aquatics Superintendent Kacy Carmichael replied 15 years old. G. Committee Member Kathy Ryan inquired if 15-year-olds are making $20 per hour a. Recreation Director Labagh replied, yes, most part-time staff start at $20 per hour. H. Mayor Amy Phillips inquired what qualifies us as a “small team” a. Swim Program Supervisor Meghan Hershey explained that 70 kids on a team or less is considered a small team. I. Committee Vice Chair Nancy Tashman inquired if people move here for the swim team? a. Swim Program Supervisor Meghan Hershey explained that yes, some have and more have said they are interested in joining the team. J. Committee Vice Chair Nancy Tashman expressed she is impressed that our swim team is on par with teams from Boulder. K. Mayor Amy Phillips inquired how many participants are on the Vail Ski and Snowboard Academy (VSSA) team? a. Swim Program Supervisor Meghan Hershey replied, 14, and that sports teams are not allowed to actively recruit for the VSSA program due to school limitations. L. Mayor Amy Phillips commented that VSSA is an alternative school for athletes and it’s great we have these unique resources in the community. 5.3 Recreation Department Capital Improvement Project Review Recreation Director Michael Labagh shared the plan for assets and upgrades using the Capital Equipment Replacement Fund (CERF) and the Capital Improvement Project Plan (CIP). The Committee and Attendees commented/inquired: A. Committee Member Kathy Ryan inquired where the park falls into these funds? a. Recreation Director Michael Labagh explained that there is a maintenance plan for large replacement costs like new sand for the beach, roads, paths and curbs. B. Mayor Amy Phillips inquired if the sand at the beach will need to be replaced again. a. Recreation Director Michael Labagh replied that yes, sand needs to be replaced for sanitation purposes. C. Committee Vice Chair Nancy Tashman inquired if the liner for the lake is set up for replacement? a. Recreation Director Michael Labagh confirmed that yes, he believes it is on a 20-year replacement schedule. b. Mayor Amy Phillips offered that we must take care of the stuff we have before buying new stuff. Recreation Director Michael Labagh shared information about the Pool Deck project budgeted for $800 ,000. He shared that the timeline will be during the summer while there are other pools open in the community. A. Mayor Amy Phillips inquired if the Pool Deck project would lead to a hot tub with bubbles? a. Recreation Director Michael Labagh confirmed. HEALTH AND RECREATION COMMITTEE MEETING MINUTES TUESDAY, MAY 21, 2024 HYBRID FORMAT IN PERSON AT AVON TOWN HALL AND VIA ZOOM HEALTH AND RECREATION COMMITTEE MEETING MINUTES, MAY 21, 2024 PAGE 5 | 6 Recreation Director Michael Labagh provided an overview of the Nottingham Lake Swim Area Anchor replacement project that took place May 20, 2024. Next, he shared information about the addition of new landmark monument signs for the pocket parks and recreation center. Then he took the Committee through the Skate Plaza and Park Restrooms project which has had some changes with funding sources originally coordinated by the Avon Skate Coalition. A. Committee Member Pat Nolan inquired about shade structures at the Skate Plaza . a. Mayor Amy Phillips explained that they are not that far into the planning process. b. Recreation Director Labagh stated that yes, the site will have some shade from the building and from the landscaping. B. Mayor Amy Phillips inquired if the restrooms for the park will be completed this year. a. Recreation Director Michael Labagh stated that the project is tentatively scheduled to begin construction in the fall but realistically will be completed in the spring. Recreation Director Michael Labagh continued his presentation and shared information about the redevelopment of the Eaglebend Pocket Park and the construction on the recreation trails in Harry A. Nottingham Park and the Eagle Valley regional trail. A. Committee Vice Chair Nancy Tashman inquired about construction on Herd Road in front of Canyon Run. What’s the plan? Some areas are just mulch with no landscaping. a. Recreation Director Michael Labagh offered to follow up with Committee Vice Chair Nanc y Tashman later after he inquires with the engineering department. Recreation Director Michael Labagh talked about the delay on replacing drinking fountains per lack of contractor interest and continued to provide an update about other funded projects including upgrades to Audio Visual/Wi-Fi infrastructure, building key card access, additional security cameras, loading ramp service access, Fitness Court removal/addition of a picnic shelter. The Committee and Attendees commented/inquired: A. Committee Member Kathy Ryan inquired what will happen to the fitness court equipment? a. Recreation Director Michael Labagh confirmed that the Town considered relocating the Fitness Court originally but he will likely look for another agency to acquire it. B. Committee Vice Chair Nancy Tashman inquired if the fitness court could be stored? a. Recreation Director Michael Labagh said maybe but there’s not a lot of storage available throughout Town. C. Committee Vice Chair Nancy Tashman inquired about shade for pickleball and increased parking for pickleball? a. Recreation Director Michael Labagh said that the shade elements were not prioritized in this year’s budget and that he’s working with the Avon Police Department to monitor parking at Avon Elementary School. D. Committee Vice Chair Nancy Tashman inquired about on-street parking on Beaver Creek Blvd. a. Recreation Director Labagh shared that adding parking to Beaver Creek Blvd. was discussed and HEALTH AND RECREATION COMMITTEE MEETING MINUTES TUESDAY, MAY 21, 2024 HYBRID FORMAT IN PERSON AT AVON TOWN HALL AND VIA ZOOM HEALTH AND RECREATION COMMITTEE MEETING MINUTES, MAY 21, 2024 PAGE 6 | 6 the Town determined that due to safety concerns and area resident concerns, the addition of parking was not pursued further. b. Mayor Amy Phillips explained that there is nowhere to park on the street safely, there’s a bike lane, a bus stop, train tracks and a school slow zone in that area. E. Committee Member Kathy Ryan inquired what is managed parking and where is it implemented? a. Mayor Amy Phillips explained that managed parking is found throughout the town for 3 hours free. b. Recreation Services Superintendent Jerrica Miller explained that registering your car is required and can be done by scanning a QR code. F. Committee Vice Chair Nancy Tashman commented that the wayfinding survey was hard to navigate. a. Recreation Director Michael Labagh said that the Town collaborated on the survey with a capstone student from CU Denver and thanked Nancy for her feedback. 6. OTHER BUSINESS AND COMMITTEE MEMBER COMMENTS A. Committee Member Kathy Ryan inquired about the plan for bikes and motorized vehicles on the Harry A. Nottingham Park paved path? a. Recreation Director Michael Labagh explained that the summer dismount zone will be in effect again on the north park path. Class 1 and 2 electric bikes are allowed in the park, and other vehicles that fall within those parameters will also be allowed such as one wheels, scooters, etc. B. Committee Vice Chair Nancy Tashman inquired if the Town patrols the Eagle River Trail? a. Recreation Director Michael Labagh explained that the enforcement is challenging but the regional trail has the same rules for e-bikes as Nottingham Park. b. Mayor Amy Phillips said it’s been a discussion to add lines and signage to the Eagle River Trail to help with mixed use by cyclists and pedestrians. c. Committee Member Kathy Ryan suggested a gate or physical barrier to designate the start and end of the dismount zone. C. Committee Member Kathy Ryan inquired if the dog park could be extended to the stage area. a. Recreation Director Michael Labagh explained that the off -leash dog area is still the same size. 7. ADJOURNMENT Committee Chairman Kevin Hyatt asked if there was a motion to adjourn the meeting, and Committee Vice Chairman Nancy Tashman made the motion and Committee Member Kathy Ryan seconded the motion. Committee Chairman Kevin Hyatt declared the meeting adjourned at 1:34 p.m. Respectfully Submitted by Kacy Carmichael Aquatics Superintendent 970-748-4021 pmckenny@comcast.net TO: Honorable Mayor Phillips and Council members FROM: Patty McKenny, Deputy Town Manager RE: Grants Program Update DATE: June 6, 2024 SUMMARY: The purpose of the written report is to provide an update about the town’s active grant program applications for 2024. A number of departments have been working on several federal, state, and private grant opportunities that are summarized in Attachment A. Sustainable Strategies DC, grant consultant and advocate, has provided invaluable assistance with Avon’s program providing frequent updates about federal and state funding that might be applicable to the town’s projects and programs. This is submitted as a written report and no action by Council is requested. BACKGROUND: The Town Manager’s Office has prioritized developing and implementing a more formal program for grant administration that would seek to obtain federal, state, and local funding for town wide projects. Town of Avon contracts with Sustainable Strategies (S2), a government affairs and strategic consulting firm based in Washington, DC, and Denver, CO, for grant searching and administration services (full-service grant writing). The consulting firm helps local governments secure resources for community projects that will revitalize, sustain, and keep communities resilient. Town staff meets monthly, and on an as needed basis, with S2 representatives to review grant opportunities and determine which ones to pursue based on Town priorities and ability to compete. The last grant update to Town Council was provided at the end of December. GRANT HIGHLIGHTS: Please see Attachment A for the Town’s active grant applications. Town staff and S2 continue to explore other opportunities for grant funding, some are listed below:  DOLA Transportation Plan Update  Colorado Water Conservation Board and Recourse Central: Transformative Landscape Change (turf conversion)  Colorado Energy Office: Public EV/Hybrid Carshare program  Land and Water Conservation Funds (irrigation improvements) It should be noted that the Avon Skate Park Coalition did not receive funding from the Colorado Health Foundation, which was surprising and disappointing since there had been support from the CHF early in the application process. However, Amy Lewis, the Town and S2 continue to be very active in reaching out to both public and private organizations for potential support with grant monies for the construction of the skate park. FINANCIAL CONSIDERATIONS: The 2024 budget includes monies for the retainer to continue supporting the arrangement with S2 for their advocacy and grant writing services. Project teams for grant submittals and administration typically include the point of contact from the department, the town manager’s office, and a finance staff member. There are also GFOA requirements related to reporting of federal and state grant awards, identified as a Schedule of Expenditures of Federal Awards (SEFA). The grant applications typically require matching funds that would be included in a supplemental budget request if funds are awarded. TOWN MANAGER RECOMMENDATION OR COMMENTS: PROPOSED MOTION: No motion is required as this is a written report only. Thank you, Patty ATTACHMENT A: Summary of 2024 Active Grant Opportunities Attachment A 2024 Active Grant Opportunities Town of Avon Grants List Page 1 The list below reflects a number of grants Town of Avon staff and S2 consultants have been working on in 2024: Grant Name Purpose Funding Request National Endowment of the Arts | Our Town Program | Federal Funding For Avon Cultural & Arts Activation Project Funds arts, culture & design projects that help advance local outcomes & improve integration of the arts. Requires partnership between local government entity and nonprofit cultural or arts organization. Town of Avon & Vail Valley Art Guild (“VVAG”) have partnered 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. $50,000 Grant $50,000 Match Due August 1 Congressionally Directed Spending (Earmarks) Community Project Funding, Transportation, Housing & Urban Development (THUD) Economic Development Initiative (Federal Funding) For Avon Childcare Center Earmark funding supports local government projects and programs that serve the public interest and are submitted through congressional office (Representative Neguse and Senator Hickenlooper offices). Fund Avon Childcare Center to support a 12K sq. ft. educational center serving infants & children up to 5 years of age. (175 est. enrollment). Vail Valley Foundation & Town of Avon Partners in the application. $1,500,000 Grant $7,500,000 Match Applications have support from Neguse & Hickenlooper’s Offices to proceed through the committee decision pipelines. Decision expected later this year or early next year. Various Funding Opportunities  State of Colorado GOCO Grant Funding | Working with GOCO officials to determine timing and best course of action  State of Colorado DOLA Energy Impact Assistance Grant Funding Contacting Regional DOLA rep to review project and determine level of interest  Tony Hawk Foundation  Gates Family Foundation Fund construction of Skate Park & Plaza at Harry A. Nottingham Park Avon Skate Coalition & Town of Avon Partnering on various application opportunities. Summary:  GOCO | Amount TBD  DOLA | Amount TBD  Tony Hawk Foundation | $25,000  Gates Family Foundation | $30,000  El Pomar | $100,000  ASC Fundraising (GoFundMe) Decisions pending Submittal of grant applications for DOLA funds will occur in fall 2024. Attachment A 2024 Active Grant Opportunities Town of Avon Grants List Page 2  El Pomar  Epic Promise  ASC Fundraising (GoFundMe) For Avon Skate Park & Plaza DOLA Local Planning Capacity Grant Program (State Funding) Established by State Affordable Housing Fund (created by Proposition 123) For Study on Formation of Regional Housing Authority for Eagle River Valley Funds local government programs that support efforts to address affordable housing. Avon seeks $160,000 from the Local Planning Capacity (LPC) program with a $40,000 local match to partner with Eagle County to lead a comprehensive planning process to form a regional housing authority. Avon, acting as lead fiscal agent, will hire a qualified consulting firm that will facilitate the creation of a regional housing authority, which may eventually include additional jurisdictions in the region. The Project will compile existing housing authority information in Eagle County, conduct bi-lingual stakeholder outreach, explore existing housing authority models, analyze and model potential revenue streams, and gauge potential voter support for potential tax ballot questions. $160,000 Grant Requires $40,000 Local Match Avon Match $20,000 Eagle County Match $20,000 Applications due June 3 Decision date pending. 970-748-4037 mpasquarella@avon.org TO: Honorable Mayor Phillips and Council members FROM: Mike Pasquarella, Special Events Coordinator RE: Colorado Creative Industries Summit Summary DATE: June 3, 2024 SUMMARY: This report provides a summary of the Colorado Creative Industries (“CCI”) Summit and includes feedback from the 13 attendees including members of Town Council, CASE Committee, and Town Staff. These individuals attended the CCI Summit to learn more about the Pueblo community and their Colorado Creative District designation, and to attend sessions relevant to the enhancement of the Town’s Culture and Arts initiatives. This is submitted as a written report and no action by Council is requested. BACKGROUND: CCI is a division of the state of Colorado Office of Economic Development & International Trade. Each year in the month of May, CCI holds a two-day summit / conference. The conference hosts creative entrepreneurs, artists and creatives, municipal and non-profit cultural workers, and creative district leaders. Topics and sessions address practical approaches to creative business and provide a framework on how to collaborate with creatives, municipalities, and businesses. The mission of CCI is to promote, support and expand the creative industries to drive Colorado’s economy, grow jobs and enhance our quality of life. CCI offers grants, awards and resources to support creative organizations in Colorado. The 11th annual Colorado Creative Industries Summit was held on May 9th and 10th in Pueblo, Colorado. ATTENDEES: An enthusiastic group of 13 individuals attended the conference on Avon’s behalf. 1. Amy Phillips – Mayor 2. Eric Heil – Town Manager 3. Ruth Stanley – Town Council Member 4. Ineke de Jong – Town Chief Administrative Officer 5. Danita Dempsey – Town Culture, Arts & Special Events Manager 6. Chelsea Van Winkle – Town Special Events Coordinator 7. Mike Pasquarella – Town Special Events Coordinator 8. Justin Chesney – CASE Committee Chair 9. Kerri Thelen – CASE Committee Member 10. Thomas Walsh – CASE Committee Member 11. Danielle McNair – CASE Committee Member 12. Tara Novak – Vail Valley Art Guild Board Member 13. Melissa Macdonald – Vail Valley Art Guild Board President SESSIONS & CONTENT: The CCI Summit offers three to seven concurrent sessions (30 total) and/or tours (6 total) each day over the course of two days. Additionally, there are several booths/vendors offering information materials and interactive experiences. Below is a list of sessions Avon representatives attended paired with a summary of the session content taken directly from the CCI materials. 1. Colorado’s Evolving Arts & Culture Philanthropy: A Continuing Conversation to Share Progress, Ongoing Community Needs and Opportunities – First offered at the 2021 CCI Summit, this ongoing conversation between arts and culture creators, administrators and funders provides an open forum to reflect on the impact of changing times on the creative sector, the role of arts in meeting evolving needs and how arts philanthropy must change to support the sector. 2. Healing Community Through Cross Cultural Collaboration – Storytellers of the Ancestral Red Road (SOAR) is a Southern Colorado Collective of traditional Indigenous teachers and allies, sharing cultural wisdom in multi-generational educational settings and practicing well-being and community-focused healing through creative expression. This session featured a presentation of Page 2 of 4 the cross-cultural collaborations the organization has facilitated over the past two years, and an experimental community-building component. 3. Demystifying the Public Art Process – This session featured a conversation between two longtime public art administrators alongside two practicing public artists, who will shed light on the public art process. Topics covered included applying, preparing proposals, contracting, working with fabricators and subcontractors, navigating challenges and more. The session allowed ample time for questions with the goal of making artists feel more comfortable with the entire process of public art commissions. 4. From Groundwater Flows to Air Pollution: A Multimodal Dialogue among Artists, Scientists, and Communities – This session featured The Colorado Art Science Environment (CASE) exhibition, a program of the Office for Outreach and Engagement in collaboration with the Institute for Arctic and Alpine Research and Boulder County Arts Alliance aiming to move public audiences beyond debates about climate change by amplifying the connection all Coloradans have to the state’s natural landscape and, through this connection to place, to one another. CASE Fellow Artists will engage participants in learning about this multimodal, university community partnership among scientists, artists and communities across urban and rural Colorado. They will share case studies of how they developed their artwork for the CASE exhibition, with a focus on how they collaborated to make invisible processes, such as groundwater flows, air pollution and beetle infestation knowable, visible and visceral. 5. Lights, Camera, Community: Resource Mapping and Networking for Creatives – This interactive session brought together creatives, organizations, and arts advocates to dive into community building, networking, and resource sharing. This session aimed to teach how to cultivate a thriving community of support, identify essential resources through a mapping exercise and to forge meaningful connections. 6. Building Welcoming Community Spaces – This session examined three unique models for creating community infrastructure: The long-standing Launchpad in Carbondale, the newly constructed Decker Community Room in Ridgway; and a current initiative of activating vacant, temporary space in Grand Junction. Panelists shared about the need for such spaces; how their particular spaces came about; current operating models and engagement strategies; and the impact – both now and in the future. 7. Art, Transportation & The Experience Economy – This talk-show-style discussion explored how artist-driven experiences intersect with transportation. This session highlighted Colorado projects that utilize art and culture to mitigate road work disruptions, slow traffic, increase pedestrian safety, and create increased community identity. 8. Weaving Lived Experience, Dance and Dialog to craft Spaces of Belonging – Presenters shared how they co-create spaces of belonging centered in their own and their participants’ lived experiences, identities and aspirations. Artist and educator Helenius Wilkins shared from "The Conversation Series: Stitching the Geopolitical Quilt to Re-Body Belonging", an ongoing project that celebrates and confronts heritage, resilience, justice and hope with communities across Colorado. Co-founders of Mi Chantli, “my home” movement and arts sanctuary, discussed how their Mexican/Chicano owned studio provides a space for culturally and socially sustaining practice for BIPOC communities and more in Boulder, Colorado. Dancer, activist and community artists Karla Trujillo discussed how she approaches dance as a critical component of belonging, collective creativity and a resource for healing. 9. Revitalizing Communities Through Public Art: A Journey of 30 years - Through our public art installations, workshops, and collaborative projects, we have witnessed the positive impact on the community. Crime rates have decreased, businesses have thrived, and a renewed sense of pride Page 3 of 4 has emerged among the residents. Our art has become a catalyst for social change, igniting a sense of ownership and responsibility among community members. The transformation of once- neglected spaces into vibrant art installations has spurred conversations, encouraged unity, and sparked a sense of belonging. 10. Communicating Your Vision: Grant Writing in the Creative Sector – Grant writing is tough and it’s common for artists to feel overwhelmed by the process. You know what you want to create but how do you ensure that you are communicating that vision in a one-page grant proposal? In this workshop we will use the Arts in Society letter of intent as a template for honing your grant writing skills. This will be a hands-on session where you will have the opportunity to workshop a grant proposal while learning about grant writing best practices. KEY TAKEAWAYS: 1. “There are so many success stories, and each community approach is authentic and there’s no cookie cutter approach that works for everyone.” 2. “The challenge of expectations management and we cannot make this ‘all things to all people.’” 3. “It was inspirational to see the towns that have ‘come before us’ share their stories of success and losses, and how they use those teachings to better their missions.” 4. “Government funding is being passed along to assist with the growth of culture, arts, and special events activations in Colorado communities. This shows that the ‘powers that be’ are listening to the creative sector on the needs and wants of their own communities.” 5. “As we start to provide more events/arts to the community it is important to remember that it will not happen overnight, and it is a continuous effort that needs to be nurtured. Do not just try something and set it aside as a failure – keep growing/evolving it based on the feedback we receive from the community.” 6. “It is worth noting that the Town is already excelling in several areas, like murals, sculptures, and painting projects in place. Continuing these programs while adding diversity and community engagement will elevate our cultural offerings to the next level.” 7. “Success will reply in part to the funding policies approved through Council, strong non-profit partners, successful grant applications, engaged business and resident community. Success will breed success.” 8. “The best outcomes seem to be when there is support and collaboration from the Town/City, private donors, grants, and arts non-profits involved in the creation and sustainability aspects of these projects. It takes a village to make a happy vibrant village.” 9. “The opportunities other communities have enjoyed at the intersection of art and transportation is amazing. This makes me think of the railroad and what Avon could create in and alongside the tracks.” 10. “Pueblo started their creative journey in the 70’s through private individuals who had a passion for the arts. It’s taken over 60 years to get where they are today.” 11. “My overall take away from the conference was the importance in translating intellectual curiosity into critical thinking skills and how intellectual curiosity can be inspired through art.” 12. “From the grant writing session, my takeaway was that you do not have to apply for everything as some grants will not reflect what your organization stands for or needs. A lot of organizations will bend the types of programming or activations to meet the needs of the grants vs. ensuring the needs of the community are being met.” 13. “My primary takeaway is that we are underutilizing current opportunities and spaces that could support art and culture.” Page 4 of 4 14. “The state of Colorado while having made huge strides, is 46th in the nation for the amount of funds spent in the creative space.” 15. “Initiating and funding arts and culture programs for our students is essential.” 16. “There are numerous spaces in Avon that could host arts and culture programming for adults and children, such as the library, rec center, local businesses, and Nottingham Park.” 17. “By defining a clear mission statement for our arts and culture programs, we can better educate and enrich our community.” 18. “I would like to see more diversity in our programming to reach and resonate with a broader audience. By incorporating multicultural festivals, international film screenings, and diverse culinary events we can celebrate the rich tapestry of cultures within our community.” 19. “Another area of focus should be on the healing arts, which our community desperately needs. I encourage the Town to be bold in promoting the healing arts, creating a supportive environment where all community members can benefit from these holistic practices.” 20. “We have an opportunity to use art in the round-abouts to assist in public safety.” 21. “Our free buses are also an art opportunity to encourage public transportation and enhance our cultural identity.” 22. “If we want to be an art community, we have to facilitate a space for artists and use the old fire station as a makers space/space to create.” 23. “The fire station needs to be revamped into a makers space by all the committees: CASE (first & foremost), PZC as it relates to zoning, DDA as it is in the DDA boundary and H&R as art can be therapeutic and a form of health/healing etc.” 24. “I liked that Ridgway started with a ‘needs assessment.’” 25. “How can we support the traditions and culture in our community?” 26. “Do all populations have a voice in our arts and culture development?” ECONOMIC ACTIVITY STUDY: Another key takeaway and important to mention, is the Economic Impact Study done by the Colorado Business Committee for the Arts (“CBCA”) briefly outlined and discussed during the opening “Coffee Chat with the CCI Director”. During this discussion, they offered analytics about economic activity generated by the cultural sector in the Metro Denver area. Featured below are several highlights from that report. 1. The state of Colorado employed 13,551 more people in the cultural sector in 2022. This is a 39.9% increase from 2020. 2. Denver Metro area cultural events saw 12.9 million attendees in 2022. This was a 65% increase over 2020 but has not yet fully recovered to pre-pandemic levels. 3. Philanthropic giving to the arts, culture and scientific organizations saw a 30.6% increase over 2020 that brought $294 million to organizations throughout the state. 4. Arts education reached 3.8 million students in 2022, a 65.6% increase over 2020. 5. $654 million dollars impacted the cultural tourism economy in 2022, a 143.5% increase from 2020. 6. Colorado ranks 46th out of 50 states in per capita spending on arts and culture despite having significantly higher rates of attendance at arts and culture events in comparison to the rest of the nation. We learned that we need to act and advocate for the arts through legislative sessions and through partnerships and philanthropy. 7. As of 2021, Colorado’s Arts and Culture sector is a $16.9 billion dollar industry representing 3.9% of the state’s GDP. The sector includes 102,383 jobs accounting for 3.6% of Colorado’s workforce. 8. Arts and cultural economic activity accounts for 4.3% of the nation's GDP. Thank you, Mike.