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TC Packet 08-25-2026_____________________________________________________________________________________ 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 INDIVIDUALS WITH DISABILITIES ARE ENCOURAGED TO PARTICIPATE IN ALL PUBLIC MEETINGS SPONSORED BY THE TOWN OF AVON. IF YOU REQUIRE A DISABILITY ACCOMMODATION, PLEASE CONTACT THE TOWN CLERK, MIGUEL JAUREGUI CASANUEVA, AT 970-748-4001 OR MJAUREGUI@AVON.ORG WITH YOUR REQUEST. REQUESTS SHOULD BE MADE AS SOON AS POSSIBLE BUT NO LATER THAN 72 HOURS BEFORE THE SCHEDULED PUBLIC EVENT. AVON TOWN COUNCIL MEETING AGENDA TUESDAY, August 25, 2026 MEETING BEGINS AT 5:00 PM Hybrid meeting; in-person at Avon Town Hall, 100 Mikaela Way or virtually through Zoom, Zoom registration is on the header at Avon.org AVON LIQUOR LICENSING AUTHORITY MEETING BEGINS AT 5:00 PM (See Agenda on page 3) AVON TOWN COUNCIL PUBLIC MEETING BEGINS AT 5:10 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. CONSENT AGENDA 5.1. Approval of August 11, 2026 Regular Council Meeting Minutes (Town Clerk Miguel Jauregui Casanueva) 5.2. Water Easement Conveyance to Upper Eagle Regional Water Authority for Lettuce Patch Early Learning Center (Director of Engineering Eva Wilson) 5.3. Confluence Metro District First Amendment to the Facilities Operation Agreement (Chief Finance Officer Paul Redmond) 6. BUSINESS ITEMS 6.1. PRESENTATION: Holy Cross Energy Updates: The Grid, Capacity, Reliability and Journey to 100% Renewable Energy (VP of Operations Cody O’Neil) 6.2. RESOLUTION 26-11: Approval of Non-Simultaneous Exchange Agreement with State Land Board to Acquire 71 acres of Vacant Land for Community Housing and River Corridor Preservation (Town Manager Eric Heil) 6.3. PUBLIC HEARING: ORDINANCE 26-07, First Reading: Adoption of 2026 Avon Community Housing Plan (Planning Manager Jena Skinner) 6.4. PUBLIC HEARING: ORDINANCE 26-01, Second Reading: Repealing Section 3.40.100, 'Impact Fee Schedule,' of the Avon Municipal Code" (Chief Finance Officer Paul Redmond) 6.5. PUBLIC HEARING: ORDINANCE 26-11, Second Reading Amendment to Title 15 Buildings and Construction, Chapters 15.12 National Electrical Code and 15.30 Outdoor Lighting Standards (Planner II Claire Perez and Community Development Director Matt Pielsticker) 7. WRITTEN REPORTS 7.1. August 10 Planning & Zoning Commission Meeting Minutes (Development Coordinator Emily Block) 7.2. Monthly Financial report (Senior Accountant Dean Stockdale) 7.3. Federal Name Change from Benchmark Lake Reservoir to Nottingham Lake (Town Clerk Miguel Jauregui Casanueva) 8. MAYOR AND COUNCIL COMMENTS & MEETING UPDATES _____________________________________________________________________________________ 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 INDIVIDUALS WITH DISABILITIES ARE ENCOURAGED TO PARTICIPATE IN ALL PUBLIC MEETINGS SPONSORED BY THE TOWN OF AVON. IF YOU REQUIRE A DISABILITY ACCOMMODATION, PLEASE CONTACT THE TOWN CLERK, MIGUEL JAUREGUI CASANUEVA, AT 970-748-4001 OR MJAUREGUI@AVON.ORG WITH YOUR REQUEST. REQUESTS SHOULD BE MADE AS SOON AS POSSIBLE BUT NO LATER THAN 72 HOURS BEFORE THE SCHEDULED PUBLIC EVENT. 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 during any agenda item and may limit public comment to three minutes per individual, which limitation may be waived or increased by a majority of the quorum present. The timer for public comment shall begin promptly after the speaker states their name and place of residence. Article VIII. Public Comments, Avon Town Council Simplified Rules of Order, Amended and Readopted by Resolution No. 24-17. AVON LIQUOR LICENSING AUTHORITY MEETING AGENDA TUESDAY, AUGUST 25, 2026 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 allotted to each person wishing to speak. Speakers may also request up to one (1) additional minute at the end of the three (3) minutes to complete their public comment , which may be approved by majority of the Authority. 5. PUBLIC HEARING (QUASI-JUDICIAL) FOR A SPECIAL EVENTS LIQUOR PERMITS 5.1. PUBLIC HEARING (QUASI-JUDICIAL) FOR: APPLICANT NAME: TOWN OF AVON EVENT: FREEFALL BLUEGRASS FESTIVAL DATE AND TIME: 2:00 PM – 9:00 PM ON OCTOBER 9, 2026 AND 11:00 AM – 9:00 PM ON OCTOBER 10 & 11, 2026 LOCATION: 1 LAKE STREET TYPE: SPECIAL EVENT PERMIT MANAGER: CHELSEA VAN WINKLE 6. APPROVAL OF THE MINUTES – June 9, 2026 (Authority Secretary Miguel Jauregui Casanueva) 7. WRITTEN REPORT 7.1. Report on Recent Administrative Approvals (Authority Deputy Secretary Brenda Torres) 8. ADJOURNMENT 970-748-4022 btorres@avon.org TO: Avon Liquor Licensing Authority FROM: Brenda Torres, Deputy Town Clerk | Liquor Licensing Authority Deputy Secretary RE: PUBLIC HEARING (Quasi-Judicial) for Special Event Permit Application – FreeFall Bluegrass Festival DATE: August 19, 2026 SUMMARY: The Town of Avon, as the Applicant, is applying for malt, vinous, spirituous liquor permit to serve/sell beverages at the FreeFall Bluegrass Festival special event on October 9, 10, and 11, 2026. Although the Town currently maintains an Optional Premises License, which authorizes the sale and service of alcoholic beverages within approved optional premises areas, the Town is applying for a Special Event Permit for the FreeFall Bluegrass Festival as the alcoholic beverages to be served at the event will be donated and not purchased through the Town's Optional Premises License inventory, making a Special Event Permit the appropriate authorization for this one -time occasion. During the event, the Town's Optional Premises License area will be temporarily deactivated or "turned off," to ensure that all alcohol service is conducted exclusively under the authority and conditions of the Special Event Permit. It is further appropriate to proceed with a Special Event Permit pursuant to Avon Municipal Code § 5.08.170(e) as the event was not previously approved by the Town Council in Resolution 26 -03 Approving 2026 Special Events for administrative approval under the Town's existing event and liquor licensing processes. This approach clearly separates the event's alcohol service from the Town's existing Optional Premises License operations and ensures compliance with both the Colorado Special Event Liquor Permit Code and the Avon Municipal Code. 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 1 Lake Street 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 obtained the written 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 local 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.” Page 2 of 2 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 FreeFall Bluegrass Festival special event. A public hearing is required before final action is taken. Applicant Name: Town of Avon Event Name: FreeFall Bluegrass Festival Event Date: October 9, 2026 2:00 p.m. – 9:00 p.m. October 10 and 11, 2026 11:00 a.m. – 9:00 p.m. Location: 1 Lake Street Event Manager: Chelsea Van Winkle Permit Type: Special Events Permit -Malt, Vinous & Spirituous Liquor PROPOSED MOTION: “I move to approve (or deny based upon statutory grounds for denial) the Special Events Permit application for the FreeFall Bluegrass Festival special event on October 9, 2026 from 2:00 p.m. to 9:00 p.m. and October 10 and 11, 2026 from 11:00 a.m. to 9:00 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 DR 8439 (08/12/24) COLORADO DEPARTMENT OF REVENUE Liquor Enforcement Division PO BOX 17087 Denver CO 80217-0087 (303) 205-2300 Liquor Permit Number (Do Not Fill Out) Application for a Special Events Permit Departmental Use Only In order to qualify for a Special Events Permit, You Must Be a Qualifying Organization Per 44-5-102 C.R.S. and One of the Following (See back for details.) 0 Social O Athletic O Philanthropic Institution 0 Fraternal O Chartered Branch, Lodge or Chapter O Political Candidate 0 Patriotic O National Organization or Society (j) Political O Religious Institution 0 Municipality Owned Arts Facilities 0 Chamber of Commerce LIAB Type of Special Event Applicant is Applying for: 2110 !iii Malt, Vinous And Spirituous Liquor $25.00 Per Day 2170 D Fermented Malt Beverage $10.00 Per Day Name of A Town of Avon 00444845 Mailin Address of Or anization or Political Candidate 100 Mikaela Way City State ZIP Code ........ IA._vo _ n _____________ ___,llcolla1620 Address of Place to Have Special Event I 1 Lake Street City State ZIP Code I__.Av.._o_n _____________ __,llcolla1620 Authorized Re resentative of Quali Or anization or Political Candidate Danita Dempsey � DIYY) Phone Number ___ _____._ _ ____._ ______I ...._l91_0_14_a_4o_6_5 ______ _ Authorized Re resentative's Mailin Address if different than address rovided in Question 2. PO Box 975 City State ZIP Code l...,....A.__vo _ n _____________ ___,llcolla1620 Page 1 of 5 ATTACHMENT A ATTACHMENT B ATTACHMENT C AVON LOCAL LIQUOR LICENSING AUTHORITY MEETING MINUTES TUESDAY, JUNE 09, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL OR VIRTUALLY THROUGH ZOOM Page 1 1. CALL TO ORDER AND ROLL CALL The meeting was held in a hybrid format, with attendance both in person at Avon Town Hall and virtually via Zoom. Chair Tamra N. Underwood called the June 9, 2026, meeting of the Avon Local Liquor Licensing Authority to order at 5:00 p.m. Present were Board Members Chico Thuon, Ruth Stanley, Lindsay Hardy, Kevin Hyatt, Vice - Chair Richard Carroll, and Chair Tamra N. Underwood. Board Member Gary Brooks was ab sent. Also present were Town Manager Eric Heil, Deputy Town Manager Patty McKenny, Chief Administrative Officer Ineke de Jong, Town Attorney Nina Williams, Board Secretary Miguel Jauregui Casanueva, and Board Deputy Secretary Brenda Torres. 2. APPROVAL OF AGENDA Video Start Time: 00:00:25 Chair Underwood opened consideration of the agenda. Board Member Hyatt moved to approve the agenda as presented. Board Member Stanley seconded the motion. The motion passed unanimously, 6 -0. 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST RELATED TO AGENDA ITEMS Video Start Time: 00:00:45 Chair Underwood inquired whether any Board member had a conflict of interest related to any agenda item. None were disclosed. 4. PUBLIC COMMENT – COMMENTS ARE WELCOME ON ITEMS NOT LISTED ON THE F OLLOWING AGENDA Video Start Time: 00:01:05 Chair Underwood explained the public comment process, including the available methods for providing comment and the time limits for speakers. No public comment was received. 5. PUBLIC HEARINGS 5.1. PUBLIC HEARING (QUASI-JUDICIAL) FOR RENEWAL Video Start Time: 00:01:25 Applicant: Bravo! Vail Music Festival Event: Linda and Mitch Hart Soiree Series 2026 Date and Time: 5:00 pm – 8:45 pm on June 26, 2026 Location: 108 Primrose Road Type: Special Event Permit Manager: Amy Lilyquist Board Secretary Miguel Jauregui Casanueva presented the Special Event Permit renewal application and staff findings. Amy Lilyquist, representing Bravo! Vail Music Festival, attended virtually and provided information regarding the event and responded to questions from the Board. Chair Underwood opened the public hearing. No public comment was received, either in person or virtually. Board Member Stanley moved to approve the Special Event Permit application as presented. Board Member Hyatt seconded the motion. The motion passed unanimously, 6-0. 5.2. PUBLIC HEARING (QUASI-JUDICIAL) FOR RENEWAL Video Start Time: 00:06:20 Applicant: Vail Edwards Rotary Club Event: Northside Coffee & Kitchen Wine Tasting Series 2026 Date and Time: 3:00 pm – 6:00 pm on July 2, July 16, July 30, August 13, August 27, and September 17, 2026 Location: 121 Nottingham Road AVON LOCAL LIQUOR LICENSING AUTHORITY MEETING MINUTES TUESDAY, JUNE 09, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL OR VIRTUALLY THROUGH ZOOM Page 2 Type: Special Event Permit Manager: Noah Bender Board Secretary Miguel Jauregui Casanueva presented the Special Event Permit renewal application and staff findings. Linda Hill, representing the Vail Edwards Rotary Club, attended in person, and Noah Bender, representing Northside Coffee & Kitchen, attended virtually. Ms. Hill and Mr. Bender provided information regarding the event and responded to questions from the Board. Chair Underwood opened the public hearing. No public comment was received, either in person or virtually. Board Member Hyatt moved to approve the Special Event Permit application as presented. Board Member Stanley seconded the motion. The motion passed unanimously, 6-0. 6. APPROVAL OF THE MINUTES FROM THE MAY 12, 2026, MEETING Video Start Time: 00:12:35 Board Member Stanley moved to approve the minutes from Tuesday, May 12, 2026, as presented. Board Member Hardy seconded the motion. The motion passed unanimously, 6-0. 7. WRITTEN REPORT 7.1. Report on Recent Administrative Approvals (Deputy Secretary Brenda Torres) The Board acknowledged receipt of the report. 8. ADJOURNMENT There being no further business before the Board, Chair Underwood adjourned the meeting at 5:13 p.m. These minutes are only a summary of the proceedings of the Local Liquor Licensing Authority meeting. They are not intended to be comprehensive, to include each statement or speaker, or to portray the proceedings with complete accuracy. The most accurate records of the meeting are the audio recording permanently maintained in the Town Clerk's Office and the video recording available for a limited time at High Five Access Media at www.highfivemedia.org. RESPECTFULLY SUBMITTED: ____________________________________________ Miguel Jauregui Casanueva, Liquor Authority Secretary APPROVED: Tamra N. Underwood ___________________________________ (970) 748-4022 btorres@avon.org AVON LIQUOR LICENSING AUTHORITY WRITTEN REPORT To: Avon Liquor Licensing Authority From: Brenda Torres, Deputy Town Clerk | Liquor Licensing Authority Deputy Secretary Date: August 19, 2026 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 check 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’s Office to accept comments and/or requests for a public hearing before the Avon Liquor Licensing Authority. In all cases, the Deputy Town Clerk has the discretion to refer the application to the Avon Liquor Licensing Authority. The Deputy Town Clerk | Liquor Licensing Authority Deputy Secretary is required to report administrative approvals, which is the reason for this written report. Dating back to June 9, 2026, the Town has received 4 applications that have met all the requirements for administrative review and approval and were ultimately approved by the Deputy Town Clerk | Liquor Licensing Authority Deputy Secretary. No comments, complaints, or request for hearings were received. They are as follows: Renewals: Applicant: Benchmark Liquors INC d/b/a Beaver Liquors Location: 110 E Beaver Creek Blvd. Type: Liquor Store (City) Manager: David Courtney Applicant: Procured Produced Provisions, LLC d/b/a R Farmer’s Market; R Farmer's Kitchen Location: 51 Beaver Creek Place Units 3 & 4 Type: Hotel & Restaurant (City) Manager: Riley Romanin Applicant: Mezzo, LLC d/b/a Fattoria Location: 48 E Beaver Creek Blvd. units 105-106-107 and 108 Type: Hotel and Restaurant (City) Manager: Stephen Shelman Report of Changes: Applicant: Pazzo’s West INC d/b/a Pazzo’s Pizzeria Location: 82 E Beaver Creek Blvd. Type: Hotel & Restaurant (City) Manager: Mark Andrew Colwell Thanks, Brenda AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 1 1. CALL TO ORDER AND ROLL CALL The meeting was held in a hybrid format, with attendance both in person at Avon Town Hall and virtually via Zoom. Mayor Tamra N. Underwood called the Regular Meeting of the Avon Town Council for August 11, 2026, to order at 5:00 p.m. Present were Councilors Chico Thuon, Ruth Stanley, Gary Brooks, Kevin Hyatt, Mayor Pro Tem Richard Carroll, and Mayor Tamra N. Underwood. Councilor Lindsay Hardy was absent. Also present were Town Manager Eric Heil, Chief Administrative Officer Ineke de Jong, Town Attorney Nina Williams, Town Clerk Miguel Jauregui Casanueva, Chief Financial Officer Paul Redmond, Financial Analyst Chase Simmons, Public Works Director Mike Jackson, Community Development Director Matt Pielsticker, Senior Planner Jena Skinner, Housing Planner Patti Liermann, Building Official Derek Place, Recreation Director Michael Labagh, IT Administrator Andrew Bare, and Police Chief Greg Daly. Deputy Town Manager Patty McKenny was absent. 2. APPROVAL OF AGENDA Video Start Time: 00:00:30 Mayor Underwood opened consideration of the agenda and noted her desire for a brief discussion regarding the written reports. No amendments to the agenda were proposed. Councilor Brooks moved to approve the agenda as presented. Councilor Stanley seconded the motion. The motion passed unanimously, 6-0. 3. DISCLOSURE OF ANY CONFLICTS OF INTEREST RELATED TO AGENDA ITEMS Video Start Time: 00:01:10 Mayor Underwood inquired whether any Council member had a conflict of interest related to any agenda item. None were disclosed. 4. PUBLIC COMMENT Video Start Time: 00:01:20 Mayor Underwood explained the public comment process, including the available methods for providing comment and the time limits for speakers. Maddie Hutchinson, representing the Eagle River Coalition, addressed Council in person and invited community members to participate in the Eagle River Cleanup scheduled for September 12, 2026. She encouraged the Town of Avon to form a cleanup team and invited volunteers to register through the Eagle River Coalition website at www.eagleriverco.org as team leaders or individual participants. Ms. Hutchinson also noted that a post-cleanup celebration would be held at Eagle River Brewing Company. Tim McMahon, an Avon resident, addressed Council in person regarding the now-discontinued paid parking program at Hoffman Properties, which he indicated was discontinued because of actions taken by the Council. He also spoke regarding the Town's use of Flock Safety cameras and expressed concerns about the program. Mr. McMahon referenced reports that the Los Angeles Police Department had allowed its contract with Flock Safety to expire and stated that concerns regarding the use of the cameras would continue to be raised. He encouraged residents to participate in the Town Council nomination petition process to further the cause of removing Flock Safety cameras from Avon. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 2 Tyler Slater, a Beaver Creek resident, addressed Council virtually regarding the Town's use of Flock Safety cameras. Mr. Slater discussed his professional technology background and described research he had conducted related to the Flock camera system, including review of public records, contracts, presentations, correspondence, and technical information. He offered to meet with Town staff and Council to share his findings, answer questions, and provide technical information regarding the system. He stated that he would provide additional information by email. Kathleen Walsh, an Avon resident, addressed Council virtually regarding a recent community housing outreach meeting which impacts her home and neighborhood. Ms. Walsh stated that public notice of the meeting did not provide sufficient advance notice for interested residents to attend and expressed a desire for additional opportunities for neighborhood participation and input regarding community housing proposals affecting her neighborhood. No additional public comment was received at that time, either in person or virtually. Town Manager Eric Heil thanked the speakers for their comments. Regarding Flock Safety cameras, he stated that Council would continue evaluating information and anticipated further discussion of the matter later in the year. He also invited Mr. Slater to contact him directly to discuss the information he wished to share. Regarding community housing outreach, Mr. Heil explained that the referenced meeting was intended as a town-wide outreach meeting, not one specific to Ms. Walsh's neighborhood, and noted that additional opportunities for public comment would be available during future Town Council public hearings on the matter. Mayor Underwood invited Town Clerk Miguel Jauregui Casanueva to remind the public of the ongoing candidate nomination process for the 2026 Avon Municipal Election. Mr. Jauregui Casanueva stated that nomination petitions became available on August 5, 2026, and must be submitted by August 25, 2026. He encouraged interested residents to meet with him to obtain a nomination packet and discuss the process, noting that appointments could be scheduled by email or in person, subject to availability. 5. CONSENT AGENDA Video Start Time: 00:14:30 Mayor Underwood introduced the Consent Agenda, which included: 5.1. ACTION: Approval of July 28, 2026 Regular Council Meeting Minutes (Town Clerk Miguel Jauregui Casanueva) Councilor Stanley moved to approve the Consent Agenda, as presented. Councilor Thuon seconded the motion. The motion passed unanimously, 6-0. 6. BUSINESS ITEMS 6.1. PRESENTATION: Salvation Army Programs & Services Update (Service Extension Director Monica Villalobos) Video Start Time: 00:14:50 Service Extension Director Monica Villalobos from The Salvation Army Vail Extension Center provided an overview of the organization's mission and services. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 3 The presentation highlighted the Center's food pantry, social services, community garden and greenhouse operations, emergency disaster services, youth programs, recovery services, and volunteer opportunities available within the community. As this was a presentation to Council, no public comment was received. During Council discussion, Ms. Villalobos highlighted upcoming fundraising events, including a bowling fundraiser on August 14, 2026, and a golf tournament at Cordillera on September 14, 2026, and directed interested individuals to The Salvation Army's website for additional information at https://vail.salvationarmy.org/. In response to questions from Council, she stated that the organization continues to accept nonperishable food donations and fresh produce. Donations may be delivered to the organization's office on the second floor of the Vail Daily Building, located at 40780 U.S. Highway 6, Avon. Ms. Villalobos further noted that the organization participates in several food rescue partnerships, including programs with Costco and the Vail Farmers' Market. 6.2. PRESENTATION: Regional Housing Authority Community Survey Results (Town Manager Eric Heil) Video Start Time: 00:25:00 Town Manager Eric Heil presented the results of the Eagle River Housing Solutions Regional Housing Survey, which gathered input from residents throughout Eagle County regarding housing affordability and the potential formation of a regional housing authority. The survey results indicated broad concern regarding housing availability and affordability, general support for continued regional collaboration on housing issues, and mixed opinions regarding potential funding mechanisms. Key themes identified by respondents included workforce retention, housing affordability, homeownership opportunities, and concerns regarding taxes, governance, and implementation. Mr. Heil reviewed the survey findings and discussed potential next steps for regional housing initiatives. He noted that survey respondents generally viewed housing as critical community infrastructure, emphasized the need for additional housing opportunities for local workers and families, expressed a preference for homeownership opportunities in addition to rental housing, and identified funding, accountability, and regional coordination as important considerations in addressing housing challenges. He also noted that the Avon Community Housing Plan received a comprehensive update approved by the Planning and Zoning Commission the previous evening and would be presented to Town Council on August 25, 2026. During Council discussion, Mr. Heil stated that additional survey information is available at EagleRiverHousingSolutions.com. In response to questions regarding housing funding, he explained that current dedicated funding sources include the voter-approved 2% short-term rental tax, generating approximately $2 million annually; 10% of the Real Estate Transfer Tax, generating approximately $500,000 annually; a 4% use tax dedicated to community housing, generating approximately $250,000 annually; and approximately 50% of DDA revenues, generating roughly $250,000 annually and anticipated to increase over time. He stated that these dedicated funding sources may be supplemented by additional Town revenues as directed by Council. Mr. Heil further stated that the draft Housing Plan contemplates approximately 750 newly constructed housing units and 250 deed-restricted housing units over the next ten years, with the potential for additional deed restriction acquisitions depending on available funding, for a total of as many as 1,000 deed- restricted housing units. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 4 In response to questions regarding next steps and leadership of regional housing efforts, Mr. Heil stated that Avon would continue working with Beaver Creek and other regional partners. He noted that approximately 25% of the countywide housing need identified in the housing needs assessment is attributable to Avon and stated that the Town would continue focusing on its local housing initiatives. He also noted that Housing Planner Patti Liermann had reactivated the Regional Housing Partners group, which will provide a forum for sharing information, coordinating efforts, and discussing housing initiatives throughout the region. No public comment was received at that time, either in person or virtually. Mayor Pro Tem Carroll commented that the creation of an Eagle County Housing Authority should not be viewed as a foregone conclusion. He noted that the survey was intended to assess community interest in such an entity and that multiple approaches remain available. He further noted that Avon has dedicated approximately $2 million annually toward community housing initiatives and stated that only Avon and Vail currently have dedicated housing funding sources. Mayor Pro Tem Carroll also observed that housing solutions may ultimately be implemented on a project-by-project basis rather than through a single regional approach. 6.3. ORDINANCE 26-01, First Reading: Repealing Section 3.40.100, "Impact Fee Schedule," of the Avon Municipal Code (Chief Financial Officer Paul Redmond) Video Start Time: 00:54:30 Chief Financial Officer Paul Redmond presented Ordinance 26-01 on first reading. Mr. Redmond explained that the ordinance would repeal Section 3.40.100 of the Avon Municipal Code, which contains an outdated fire and emergency services impact fee schedule that no longer reflects current state law. Staff noted that Senate Bill 24-194 transferred authority to impose such fees exclusively to fire protection and ambulance districts. The proposed repeal would align the Municipal Code with current legal requirements while preserving the Town's existing practice of collecting the fees at permit issuance and remitting them to the Eagle River Fire Protection District. Council asked questions regarding the history of the fee and the Town's administration and collection of the fee in recent years. Mayor Underwood opened the public hearing. No public comment was received. After discussion, Councilor Hyatt moved to approve Ordinance 26-01 on first reading. Councilor Brooks seconded the motion. The motion passed unanimously, 6-0. 6.4. PUBLIC HEARING: ORDINANCE 26-06, Second Reading: Construction Noise Regulations (Community Development Director Matt Pielsticker) Video Start Time: 01:00:10 Community Development Director Matt Pielsticker presented Ordinance 26-06 on second reading. He was joined by Building Official Derek Place. Mr. Pielsticker explained that the proposed regulations establish measurable construction noise standards, require noise suppression plans when driven pile systems are utilized, designate the Avon Police Department as the primary enforcement agency with assistance from Community Development staff, and classify violations as civil infractions. Staff also reviewed revisions made from the first reading, including limiting driven pile activities to weekdays between 9:00 a.m. and 5:00 p.m. and requiring noise suppression plans to be posted at locations designated by the Building Official. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 5 Mayor Underwood opened the public hearing to public comment and no public comment was received, either in person or virtually. During Council discussion, Mayor Pro Tem Carroll commented that the proposed ordinance strikes an appropriate balance between supporting development activity and minimizing impacts on nearby residents and thanked staff for their efforts. Mayor Underwood also thanked Mr. Place for his work on the ordinance. Mr. Place noted that, effective following the ordinance's 30-day waiting period, The Summit project would likely be the first project subject to the new driven pile noise regulations, contingent upon issuance of a building permit. After discussion, Councilor Thuon moved to approve Ordinance 26-06 on second reading. Councilor Stanley seconded the motion. The motion passed unanimously, 6-0. 6.5. ORDINANCE 26-11, First Reading: Approving Amendments to Avon Municipal Code Title 15 Building and Construction (Planner II Claire Perez and Community Development Director Matt Pielsticker) Video Start Time: 01:06:15 Planner II Claire Perez and Community Development Director Matt Pielsticker presented Ordinance 26-11 on first reading, proposing amendments to Title 15 of the Avon Municipal Code. The amendments include updates to outdoor lighting regulations to further align with dark-sky principles, adoption of the most current National Electrical Code utilized by the Colorado State Electrical Board, and consideration of a new International Building Code appendix allowing single-stair multifamily building designs under specified safety standards. Staff explained that the changes are intended to improve clarity, reflect current building practices and technology, and maintain consistency with evolving state and national building standards. During Council Questions, Mayor Pro Tem Carroll asked whether the proposed amendments would apply to existing development or only new construction and was advised that the regulations apply to new residential and commercial construction, with enforcement administered jointly by Code Enforcement and the Community Development Department. He also asked questions regarding the prohibition on blinking and flashing holiday lighting within the Town Core, the definition and application of steep-slope standards, and the continued allowance of certain uplighting applications. Staff explained that the lighting provisions are intended to further dark-sky principles and reduce distractions to motorists, that steep-slope determinations are reviewed on a case-by-case basis, and that uplighting remains appropriate in certain circumstances, including flag lighting and existing installations within Town roundabouts. Staff further noted that adoption of the most current National Electrical Code is required because the code is regulated by the State of Colorado. Councilor Thuon asked when existing development would be required to comply, and staff responded that compliance would generally be required when lighting fixtures are replaced. Councilor Brooks asked whether the Village at Avon would be subject to the regulations, whether lighting is reviewed as part of remodels, and how residents may report noncompliant fixtures. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 6 Staff confirmed that the regulations apply to the Village at Avon, that lighting is reviewed in conjunction with remodels, and that complaints may be submitted through the Town's Code Enforcement process. Mayor Underwood asked questions regarding interior lighting impacts on adjacent properties, proposed revisions to the ordinance title, staircase lighting standards, and Fire Marshal review of the amendments. Staff advised that the ordinance had been refined in coordination with fire officials and that additional revisions would clarify the applicability of lighting standards. Mayor Underwood opened the floor to public comment. Tim McMahon, an Avon resident, commented that blinking and flashing lights are commonly associated with Christmas lighting. No additional public comment was received, either in person or virtually. During Council discussion, Mayor Pro Tem Carroll expressed support for allowing blinking decorative lighting and was joined by Councilors Brooks, Stanley, and Thuon. Mayor Underwood directed Staff to return at second reading with revisions that would allow such lighting. Town Manager Heil noted that Staff had also evaluated uplighting, particularly as it relates to flagpoles, and indicated a preference for eliminating uplighting entirely. He suggested allowing twinkling lights while limiting more intense blinking or flashing effects. Councilor Brooks stated that it would be worthwhile to address interior lighting that emanates from buildings and affects neighboring properties, which was supported by Mayor Underwood. Council also discussed revising the title of the ordinance to reflect broader lighting standards rather than only outdoor lighting standards. After discussion, Councilor Stanley moved to approve Ordinance 26-11 on first reading, as generally amended during Council discussion, and schedule second reading for August 25, 2026. Councilor Brooks seconded the motion. The motion passed unanimously, 6-0. 6.6. ACTION: Notice of Award for Avondale Apartments Design Contract (Community Development Director Matt Pielsticker) Video Start Time: 01:41:05 Community Development Director Matt Pielsticker presented a request for Council approval of a Notice of Award with Site Architects for design services related to the Avondale Apartments project. Staff reviewed the proposed development concept, consisting of two all-electric residential buildings on approximately two acres with 40 rental units, parking, storage, and shared amenities. Staff also summarized the proposed design contract, project schedule, and anticipated next steps, including schematic design, review processes, financing evaluation, permitting, and construction planning. Staff recommended moving forward with design services and continuing to evaluate project financing and development opportunities. Erica Golden, Principal and Founder of Site Architects, was present to answer questions. During Council discussion, Town Manager Heil stated that Council members would be invited to future owner's representative meetings and could attend as interested. He noted that the project would return to Council following contractor selection and as financing options are further evaluated. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 7 In response to questions from Councilor Stanley, staff indicated that more refined project cost estimates and financing information are anticipated between October and November. Mr. Heil also discussed the potential use of modular vs. panelized construction methods, noting that while modular construction often does not reduce overall costs, it can shorten construction schedules. Councilor Thuon invited Erica Golden, Principal and Founder of Site Architects, to introduce herself and provide background regarding her firm's experience, qualifications, and perspective on the project. In response to questions regarding construction methods, Ms. Golden stated that modular construction is currently preferred from a cost perspective but that the design team would continue evaluating available options to ensure the most economical approach for the project. Mayor Pro Tem Carroll also asked about the scope of the award, and discussion about costs and savings. Mr. Heill added information related to looking at costs and pricing. Mayor Underwood opened the floor to public comment. No public comment was received, either in person or virtually. Councilor Thuon moved to approve the Notice of Award with Site Architects for the Avondale Apartments Design Contract as presented. Councilor Stanley seconded the motion. The motion passed unanimously, 6-0. 7. WRITTEN REPORTS 7.1. Salute to the USA Post Event Recap (Senior Special Events Coordinator Chelsea Van Winkle) 7.2. Village at Avon Landscaping Regulations (Community Development Director Matt Pielsticker) 7.3. July 23 Upper Eagle Regional Water Authority Summary (Mayor Underwood) Mayor Pro Tem Carroll commented on Written Report Item 7.1 and thanked Town staff for their work. He noted the success of the sustainability and waste diversion efforts, appreciated the inclusion of the Rodeo after-action report, and stated that the report demonstrated the Town's commitment to critically evaluating its events and operations. He also remarked that the absence of fireworks was not missed. Mayor Underwood commented on Written Report Item 7.2 regarding efforts to bring Traer Creek into alignment with the Town's landscape regulations. She noted that the Design Review Board had approved code amendments for The Village at Avon that align with the Town's landscape standards and stated that this represented a major step toward implementing uniform landscape regulations throughout the community. Mayor Underwood thanked The Village at Avon for fulfilling this commitment, which she had previously requested. 8. MAYOR AND COUNCIL COMMENTS & MEETING UPDATES Video Start Time: 02:06:35 Mayor Pro Tem Carroll invited the public to attend the CORE Transit meeting scheduled for August 12, 2026, and noted that the meeting could also be viewed through High Five Access Media. Councilor Brooks invited the public to attend a Lunch with Locals program hosted by the Eagle River Coalition at noon on August 12, 2026, at the Lionshead Welcome Center and encouraged community members to attend if they were not participating in the CORE meeting. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 8 Councilor Brooks also reported on his attendance at the Northwest Colorado Council of Governments (NWCCOG) retreat in Basalt, where discussions focused on improving organizational efficiency and streamlining meeting processes. He noted that NWCCOG provides services that help fill gaps for municipalities that may lack certain capabilities, including economic development. Councilor Brooks also reported that Brian Poole of GPS Consulting had completed a study evaluating mental health resources and needs throughout the NWCCOG region and stated that a report would be forthcoming and shared with Council. Councilor Stanley announced several upcoming community events. She noted that SunsetLIVE would take place on Sunday, August 16, 2026, from 6:00 p.m. to 8:00 p.m. at the Avon Performance Pavilion. She also reminded the public that the final two AvonLIVE concerts of the season were scheduled for August 12 and August 19, 2026. Councilor Stanley encouraged community members to save the date for Cars in the Park on August 22, 2026, and invited the public to visit Discover Avon at discoveravon.org for additional event information and participation opportunities. Councilor Hyatt reported on a recent EGE Air Alliance meeting held in Avon. He noted that United Airlines and American Airlines have added flights to Eagle County Regional Airport in response to the anticipated closure of the Aspen/Pitkin County Airport, with increased service expected to continue through November 2027. Councilor Hyatt also advised that planned construction activities in Glenwood Canyon are expected to result in periodic single-lane closures through the summer of 2027 to mitigate rockslide hazards, which may affect regional traffic patterns. He added that increased airline service at Eagle County Regional Airport is anticipated during this period. 9. EXECUTIVE SESSION Video Start Time: 02:13:00 Mayor Underwood requested a motion to enter Executive Session. Councilor Stanley moved to enter Executive Session for the purpose of: 9.1. receiving legal advice from the Avon Town Attorney on specific legal questions pursuant to CRS 24- 6-402(4)(b) concerning Private Parking Lot Regulatory Authority (Town Attorney Nina Williams); and 9.2. discussing the purchase and acquisition of real estate pursuant to CRS 24-6-402(4)(a) and for the purpose of determining negotiating positions, developing strategy for negotiations, and instructing negotiators pursuant to CRS 24-6-402(4)(e)(i) concerning a potential acquisition of a portion of State Land Board property for Community Housing (Town Manager Eric Heil). Councilor Hyatt seconded the motion. The motion passed unanimously, 6-0. Mayor Underwood recessed the Regular Meeting at 7:14 p.m., and the Executive Session commenced at 7:23 p.m. All Council members were present as previously noted. Also present were Town Manager Eric Heil, Chief Administrative Officer Ineke de Jong, Town Attorney Nina Williams, Community Development Director Matt Pielsticker, and Police Chief Greg Daly. Mr. Pielsticker and Chief Daly left the room at 8:32 p.m., at which time the recording of the Executive Session was discontinued to receive legal advice from the Town Attorney. The Executive Session adjourned at 8:55 p.m., and Council reconvened in open session. Mayor Underwood stated that no action was taken during Executive Session and resumed the Regular Meeting for the purpose of adjournment. AVON REGULAR MEETING MINUTES TUESDAY AUGUST 11, 2026 HYBRID MEETING; IN-PERSON AT AVON TOWN HALL AND VIRTUALLY THROUGH ZOOM 9 10. ADJOURN There being no further business before Council, Mayor Underwood adjourned the Regular Meeting at 8:55 p.m. These minutes are a summary of the proceedings of the meeting and are not intended to be comprehensive or to include each statement, identify each speaker, or reflect the proceedings with complete accuracy. The most accurate record of the meeting is the audio recording maintained in the Town Clerk’s Office and the video recording available for a limited time at High Five Media at www.highfivemedia.org. RESPECTFULLY SUBMITTED: ________________________________ Miguel Jauregui Casanueva, Town Clerk APPROVED: Mayor Underwood ___________________________________ 970-390-2014 ewilson@avon.org Page 1 of 1 TO: Honorable Mayor Underwood and Council members FROM: Eva Wilson, Director of Engineering RE: Water Easement Agreement - Conveyance to UERWA DATE: July 16, 2026 SUMMARY: Staff requests Council approval of a Water Easement Agreement granting an easement to the Upper Eagle Regional Water Authority ("UERWA"). The easement will accommodate water and wastewater infrastructure necessary to serve the Lettuce Patch Childcare Center property. UERWA has provided its standard water easement form, which has been reviewed by the Town Attorney and found acceptable. DISCUSSION: The attached Water Easement Agreement grants UERWA the right to access a portion of Town-owned property for the construction, operation, maintenance, repair, replacement, and improvement of water and wastewater facilities serving the Lettuce Patch Childcare Center. Granting the easement will allow UERWA, as the appropriate regional utility provider, to own, operate, and maintain the infrastructure as part of its water and wastewater system. The easement is necessary to provide utility services to the childcare center and supports UERWA's long- term operation and maintenance of the associated infrastructure . RECOMMENDATION: I recommend Council approve the Water Easement Agreement granting an easement to UERWA for the ownership, operation, and maintenance of water and wastewater infrastructure serving the Lettuce Patch Childcare Center property. PROPOSED MOTION: "I move to approve the Water Easement Agreement granting an easement to the Upper Eagle Regional Water Authority (UERWA) for the ownership, operation, and maintenance of water and wastewater infrastructure serving the Lettuce Patch Childcare Center property.” Thank you, Eva ATTACHMENT A: Water Easement Agreement Water Easement – Upper Eagle Regional Water Authority THIS EASEMENT is made this ___day of ___, 20__, by and between the Town of Avon (hereinafter referred to as “Grantor”), and it’s successors and assigns, and the Upper Eagle Regional Water Authority, a quasi-municipal corporation of the State of Colorado within the County of Eagle, (hereinafter referred to as “Authority”). WITNESSETH, that for and in consideration of the sum of One Dollar ($1.00) and other good and valuable consideration paid by the Authority to Grantor, the receipt of which is hereby acknowledged, the Grantor does hereby grant, convey and transfer unto the Authority, its successors and assigns, a perpetual easement and right to construct, install, remove, replace, add to, maintain, repair, operate, change or alter underground water lines and all underground and surface appurtenances related thereto such as valve boxes, meter vaults and manholes (hereinafter “water lines”), together with any and all water lines situate therein, all necessary rights-of-way for convenient ingress and egress thereto and therefrom, and the right to occupy and use, from time to time, as much of the adjoining land of the Grantor as may be reasonably necessary for any of the aforesaid purposes, over, under and across the following described premises, situate in the County of Eagle, State of Colorado, to-wit: See EXHIBIT A attached hereto and incorporated herein by reference. Grantor warrants that the Grantor has the lawful right to grant and convey such easement, rights-of-way, and water lines. Further, Grantor warrants that the water lines are free and clear of all liens and encumbrances. Grantor will at no time permit, place or construct any structure, building or improvement of any kind, temporary or permanent, on any part of the above -described premises, excluding, unheated parking areas, sidewalks, and landscaping. Any structure, building or improvement located on the above-described premises as of the date of this Easement, may be removed by the Authority without liability for damages arising therefrom except for unheated parking areas and sidewalks Following the completion of the purpose of any entry by the Authority upon such easement for any of the aforesaid objects, the Authority shall restore the premises to substantially the same condition existing at the time of the entry thereon, except for shrubs, plants, heated sidewalks, heated driveways or heated parking areas thereon located or damaged thereby. ATTACHMENT A All provisions of the Easement, including all benefits and burdens, shall run with the land and shall be binding upon and inure to the benefit of the successors and assigns of the parties hereto, subject to the provisions hereof. IN WITNESS WHEREOF, the parties hereto have set their hands and seal the day and year first above written. TOWN OF AVON: BY: ______________________ Title: _____________________ STATE OF COLORADO ) ) ss. COUNTY OF _) The foregoing Easement was subscribed and sworn to before me this________________ day of__________________, 20_____, by ______________________________as ______________of the Town of Avon. WITNESS my hand and official seal. (S E A L) Notary Public My commission expires: ACCEPTED by the Authority this day of____________,20__. By:_______________________ General Manager 970.748.4088 predmond@avon.org TO: Honorable Mayor Underwood and Councilmembers FROM: Paul Redmond, Chief Finance Officer RE: Confluence Metro District First Amendment to the Facilities Operation Agreement DATE: August 8, 2026 SUMMARY: This report is for Council to consideration of the First Amendment to the Facilities Operation Agreement between the Town of Avon and Confluence Metropolitan District. The amendment is being presented because the current Facilities Operation Agreement allows the Town’s annual payment obligation for gondola, public plaza, and restroom operations and maintenance to be reduced based on additional property tax revenues received by Confluence Metropolitan District or Avon Station Metropolitan District, including revenues related to Lot B. The proposed amendment clarifies that the payment reduction mechanism will not be triggered by Lot B-related revenues until both the Avon Urban Renewal Authority and the Avon Downtown Development Authority no longer have the right to retain Lot B tax increment revenue under the related Lot B intergovernmental agreement. BACKGROUND: The Town and Confluence Metropolitan District entered into the Facilities Operation Agreement on March 14, 2006. Under that agreement, the Town is obligated to make annual payments to Confluence Metropolitan District for maintenance and operation of the gondola and the public plaza and restrooms. The agreement also includes a payment reduction mechanism that allows the Town to reduce its annual payment obligation on a dollar-for-dollar, pro-rata basis to reflect certain additional property tax revenues received by Confluence Metropolitan District or Avon Station Metropolitan District. Separately, the Avon Urban Renewal Authority, Confluence Metropolitan District, and Avon Station Metropolitan District are parties to a 2007 intergovernmental agreement concerning incremental taxes. A new Lot B intergovernmental agreement between Avon Station Metropolitan District, the Avon Urban Renewal Authority, and the Avon Downtown Development Authority addresses how Lot B tax increment revenue will be remitted or retained during the remaining life of the URA plan and DDA plan. Because the Lot B agreement allows the URA and later the DDA to retain certain Lot B operations mill levy tax increment revenue until the applicable plan termination dates, the Facilities Operation Agreement must be amended to align the Town’s payment reduction rights with the timing of those revenue flows. PROPOSED CHANGES: The First Amendment (Attachement A) adds a new subparagraph 4.E to Paragraph 4 of the Facilities Operation Agreement (Attachment B). The new language provides that no reduction in the Town’s payment obligation will be calculated, applied, or given effect based on additional property tax revenue or other revenue received by Avon Station Metropolitan District or Confluence Metropolitan District until two conditions have both occurred: first, the URA Plan Termination Date has occurred and the URA no longer has any right to retain Lot B tax increment revenue; and second, the DDA Plan Termination Date has occurred and the DDA no longer has any right to retain Lot B tax increment revenue. After both termination-date conditions are satisfied, the full payment reduction mechanism in Paragraph 4 will apply to revenues and amounts received by Avon Station Metropolitan District and Confluence Page 2 of 2 Metropolitan District, including revenues related to Lot B. Except for this targeted amendment, all other terms and conditions of the Facilities Operation Agreement remain in full force and effect. PROPOSED MOTION: “I move to approve the First Amendment to the Facilities Operations Agreement with Confluence Metro District”. Thank you, Paul ATTACHMENT A: Confluence Metro District First Amendment to the Facilities Operations Agreement ATTACHMENT B: Facilities Operations Agreement Town of Avon and Confluence Metro District 1 0466.4600: DVDFCFTMZRYM-2035370151-11981 ATTACHMENT A FIRST AMENDMENT TO FACILITIES OPERATION AGREEMENT This FIRST AMENDMENT TO FACILITIES OPERATION AGREEMENT (this "Amendment") is entered into as of the _____ day of ______________, 2026, by and between CONFLUENCE METROPOLITAN DISTRICT (“CMD”), a quasi-municipal corporation and political subdivision of the State of Colorado, and the TOWN OF AVON (the “Town”), a municipal corporation and political subdivision of the State of Colorado. CMD and the Town may be referred to herein individually as a “Party” and collectively as the "Parties." RECITALS WHEREAS, the Parties entered into that certain Facilities Operation Agreement, dated the 14th day of March, 2006 (the “Facilities Agreement”); and WHEREAS, CMD, Avon Station Metropolitan District (“ASMD”), and the Avon Urban Renewal Authority (the “URA”) are parties to that certain Intergovernmental Agreement Between Avon Urban Renewal Authority, Confluence Metropolitan District, and Avon Station Metropolitan District Concerning Incremental Taxes, dated October 9, 2007 (the “URA Agreement”), pursuant to which the URA has agreed to remit District Tax Increment Revenues (as defined in the URA Agreement), and associated specific ownership taxes, to CMD and ASMD which the URA would otherwise be entitled to retain related to property within the boundaries of CMD and ASMD, with the exception of Lot B, as described in the URA Agreement; and WHEREAS, ASMD, the URA, and the Downtown Development Authority (the "DDA") are parties to that certain Intergovernmental Agreement Concerning Incremental Tax Revenue (Lot B), dated ______________, 2026 (the "Lot B Agreement"), which sets forth the agreement between ASMD, the URA and the DDA in relation to Lot B Tax Increment Revenue (as defined in the Lot B Agreement; WHEREAS, pursuant to the Lot B Agreement, until the URA Plan Termination Date (as defined in the Lot B Agreement), the URA must remit to ASMD the Lot B Tax Increment Revenue, and associated specific ownership taxes, derived from ASMD’s Debt Service Mill Levy (as defined in the Lot B Agreement, but during the same time period, the URA may retain the Lot B Tax Increment Revenue derived from ASMD’s Operations Mill Levy (as defined in the Lot B Agreement); and WHEREAS, pursuant to the Lot B Agreement, after the URA Plan Termination Date and until the DDA Plan Termination Date, the DDA must remit to ASMD the Lot B Tax Increment Revenue, and associated specific ownership taxes, derived from ASMD’s Debt Service Mill Levy, but during the same time period, the DDA may retain the Lot B Tax Increment Revenue derived from ASMD’s Operations Mill Levy; and WHEREAS, pursuant to the Facilities Agreement, the Town is obligated to make annual payments to CMD for maintenance and operation of the Gondola (as defined in the Facilities Agreement) and the Public Plaza and Restrooms (as defined in the Facilities Agreement); and 2 0466.4600: DVDFCFTMZRYM-2035370151-11981 WHEREAS, the Facilities Agreement allows the Town to decrease the annual payments due to CMD pro-ratably, on a dollar for dollar basis, to reflect additional property tax revenues received by CMD and ASMD due to inclusions of new property into either CMD or ASMD or through new development occurring on Lot B; and WHEREAS, because, pursuant to the Lot B Agreement, ASMD will not be receiving the Lot B Tax Increment Revenue derived from the Operations Mill Levy imposed by ASMD until the DDA Plan Termination Date, the Parties desire to amend the Facilities Agreement to provide that the reduction mechanism set forth in Paragraph 4 of the Agreement shall not be triggered by, or applied to reflect, any revenues or circumstances that arise prior to the date on which both the URA and the DDA no longer have any right to retain the Lot B Tax Increment Revenue under the Lot B Agreement. NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: TERMS AND CONDITIONS 1.Defined Terms. Capitalized terms used but not defined in this Amendment shall have the meanings ascribed to them in the Facilities Agreement or the Lot B Agreement, as applicable. 2.Amendment to Paragraph 4 — Reduction in Payments. Paragraph 4 of the Agreement is hereby amended by adding the following at the end thereof as a new subparagraph 4.E: E.Notwithstanding anything to the contrary in this Paragraph 4 or elsewhere in this Agreement, no reduction in the Payment Obligation shall be calculated, applied, or given effect based on any additional property tax revenue or other revenue received by ASMD and CMD as described in subparagraphs 4.A, 4.B, 4.C, or 4.D above until such time as both of the following conditions have been satisfied: (i)The URA Plan Termination Date (as defined in that certain Intergovernmental Agreement Concerning Incremental Tax Revenue (Lot B), by and among the Avon Urban Renewal Authority, the Avon Downtown Development Authority, and ASMD, dated __________, 2026 (the “Lot B Agreement”)) has occurred, such that the URA no longer has any right to retain any Lot B Tax Increment Revenue under the Lot B Agreement ; and (ii)The DDA Plan Termination Date (as defined in the Lot B Agreement) has occurred, such that the DDA no longer has any right to retain Lot B Tax Increment Revenue under the Lot B Agreement. From and after the date on which both conditions set forth in subparagraphs 4.E(i) and 4.E(ii) above have been satisfied, the full reduction mechanism set forth in this 3 0466.4600: DVDFCFTMZRYM-2035370151-11981 Paragraph 4 shall apply with respect to all revenues and amounts received by ASMD and CMD, including those relating to Lot B, without restriction under this subparagraph 4.E. 3.Ratification. Except as expressly modified by this Amendment, all terms and conditions of the Facilities Agreement shall remain in full force and effect and are hereby ratified and confirmed. In the event of any conflict between the terms of this Amendment and the terms of the Facilities Agreement, the terms of this Amendment shall control. 4.Governing Law; Venue. This Amendment shall be governed by and construed in accordance with the laws of the State of Colorado. Venue for any dispute arising hereunder shall lie exclusively with the District Court in and for Eagle County, Colorado. 5.Counterparts. This Amendment may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument. Executed copies delivered by facsimile or email of a PDF document shall be deemed originals and binding upon the signatories hereto. 6.Authority. Each Party represents and warrants that it has full power and authority to enter into this Amendment and to perform its obligations hereunder, and that this Amendment has been duly authorized by all necessary action of such Party. [SIGNATURE PAGE FOLLOWS] 4 0466.4600: DVDFCFTMZRYM-2035370151-11981 IN WITNESS WHEREOF, the Parties have executed this Amendment as of the date first written above. CONFLUENCE METROPOLITAN DISTRICT By: ______________________________ Name: ____________________________ Title: _____________________________ ATTEST: TOWN OF AVON By: ______________________________ Name: ____________________________ Title: _____________________________ ATTEST: FACILITIES OPERATION AGREEMENT , ~ THIS F AQITIES OPERATION AGREEMENT (this "Agreement") is entered into as of the J::L:'. day of ~c,h___ , 2006, by and between CONFLUENCE METROPOLITAN DISTRICT (the "CMD"), a quasi-municipal and a political subdivision of the State of Colorado (the "State"), and the TOWN OF A VON (the "Town"), a municipal corporation and a political subdivision of the State. CMD and the Town are sometimes herein refened to co11ectively herein as the "Parties." RECITALS WHEREAS, CMD was organized as a special district under the Special District Act, Section 32- 1-101 et seq., C.R.S, for the purposes of providing public infrastructure and services within and without its boundaries and the boundaries of the Avon Station Metropolitan District (together, CMD and the Avon Station Metropolitan District are refened to herein as the "Districts") ; WHEREAS, the property within the Districts lies who11y within the boundaries of the Town, in the County of Eagle, Colorado; WHEREAS, the terms of that certain Consolidated Service Plan for CMD, approved by the Town on September 22, 1998, as amended from time to time (the "Service Plan"), contemplates and authorizes the financing by the Districts, and the construction, operation, maintenance and management by CMD of certain public improvements, including without limitation the construction, operation and maintenance of (a) a gondola from a parcel of real property which has been annexed to the Town, as more particularly described in Exhibit A attached hereto (the "Confluence"), to the area commonly known as the Tames/Beaver Creek Landing commercial hub with a minimum capacity of 1,200 people per hour (the "Gondola"), and (b) a public plaza and related public restrooms (the "Public Plaza and Public Restrooms"), in each case, in accordance with and as further described in an Amended and Restated Development Agreement (the "Development Agreement") entered into by and between the Town and East West Partners, Inc., a Colorado Corporation, and dated ______ , 2006, and the PUD Development Plan (the "Development Plan") recorded at Reception No. ____ , in the Office of the Clerk and Recorder of Eagle County, Colorado (collectively, the "Designated Public Improvements"); NOW, THEREFORE, in consideration of the obligations and undertakings set forth below, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows: l. Construction of Designated Public Improvements -Condition Precedent. The Parties acknowledge and agree that terms and conditions, and the rights and obligations set forth herein shall not be effective unless and until the Commencement Condition has been satisfied as defined and described in Paragraph 5., below. 2. Gondola Operations. CMD sha11 retain ownership of the Gondola. A. The public shall enjoy a perpetual easement ofuse and enjoyment of the Gondola, subject to the reasonable regulations of CMD acceptable to the Town staff. During the term of this Agreement, no fee or other charge for use of the Gondola shall be assessed by CMD or any party managing the Gondola on behalf of CMD although, with the agreement of the Town, fees may be charged during times outside of the periods of operation described in Paragraph 2.B, below. Notwithstanding the foregoing, the Parties acknowledge and agree that the life span of a Gondola is anticipated to be 20-30 years, and that future replacement of these improvements would be necessary to maintain its existence. In the event the Gondola is retired and not replaced, the Town's obligations herein with respect to the Gondola, and the ATTACHMENT B easement to the public provided herein with respect to the Gondola, shall each automatically terminate and be of no further force or effect. CMD shall not close, restrict or limit the Gondola to public use without the pnor written authorization of the Town except as described immediately above regarding the life-span of the Gondola, as described in Paragraph 2.B below regarding operating dates and time, or otherwise if the continued operation of the Gondola would, in the reasonable judgment of CMD, constitute a hazard to the public. In any event of closure, restriction or limitation due to hazards to the public, CMD shall either reopen the Gondola to public use as agreed by the Town and CMD or at the earliest time that the Gondola may, in the reasonable judgment ofCMD, be used safely. B. CMD shall be responsible for the operation and maintenance of the Gondola, although the Town acknowledges and accepts that the Gondola may also be governed by a management agreement pursuant to which The Vail Corporation or an associated entity under the control of the owner of Beaver Creek Resort (the "Vail Entity") shall manage and operate the Gondola on behalf of CMD. In either case, the hours of operation shall be as agreed upon by CMD and the Town staff from time to time, but unless otherwise agreed shall be not less than from December 20 through April 1 of each ski season, with operations beginning at the same time each day as the beginning of operations of the Lower Beaver Creek Express and ending one hour after the close of operations of both the Larkspur Bowl Lift and the Strawberry Park Lift. Notwithstanding the forgoing, the Parties acknowledge and agree that such operations shall be subject to closure due to mechanical or electrical failure, emergency or lift accident, general maintenance, weather conditions, snowrnaking priorities, and any force majeure event. The Gondola shall be operated, maintained and used in a careful, safe, and proper manner and so as to comply with the applicable laws, ordinances, rules, and regulations of any governmental authority, department, agency, board, or body, now in force or hereafter to become effective. C. In consideration of the performance by CMD of its. obligations under this Paragraph 2. subject to the "Commencement Condition" defined below in Paragraph 5., the Town shall make annual payments in an amount up to fifty percent (50%) of CMD's operating and maintenance budget for the Gondola, not to exceed $240,000, due annually on or before November I in each year during which this Agreement 1s in effect, which amount shall be increased or decreased annually, beginning January I, 2006, equal to the percentage change from the prior year average consumer price index for All Urban Consumers for the Denver-Boulder-Greeley metropolitan areas as published semi-annually and appearing in the January and July issues of the CPI Detailed Report published by the Bureau of Labor Statistics. 3. Public Plaza and Public Restrooms. CMD shall retain ownership of the Public Plaza and Public Restrooms. A. The public shall enjoy a perpetual easement of use and enjoyment of the Public Plaza and Public Restrooms, subject to the reasonable regulations of CMD acceptable to the Town staff. During the tem1 of this Agreement, no fee or other charge for use of the Public Plaza and Public Restrooms shall be assessed by CMD. CMD shall not close or restrict or limit the Public Plaza and Public Restrooms to public use, except as otherwise provided in this Paragraph below, without the prior written authorization of the Town. Notwithstanding the foregoing, such may be limited or restricted (i) for regularly scheduled maintenance and repairs, (ii) in accordance with the hours of operation described in subparagraph 3.B, below, (1ii) if the continued operation of the Public Plaza and Public Restrooms would, in the reasonable judgment of CMD, constitute a hazard to the public, or (iv) for the conduct of private or public events, as discussed in subparagraph 3.D below. In the event of such restriction or limitation due to hazards to the public, CMD shall reopen the Public Plaza and Public Restrooms to public use as agreed by the Town and CMD or at the earliest time that the Public Plaza and Public Restrooms may, in the reasonable judgment of CMD, be used safely. 2 B. CMD shall be responsible for the operation and maintenance of the Public Plaza and Public Restrooms. The hours of operation shall be as agreed upon by CMD and the Town from time to time, but unless otherwise agreed shall be not less than three hundred and sixty-five days a year and during the hours of operation for other similarly situated Town-owned public restroom facilities. The Public Plaza and Public Restrooms shall be operated, maintained and used in a careful, safe, sanitary and proper manner and so as to comply with the applicable laws, ordinances, rules, and regulations of any governmental authority, department, agency, board, or body, now in force or hereafter to become effective. Maintenance of the Public Plaza shall include, but not be limited to keeping the same free from snow, ice, debris, other hazards to the traveling public. C. In consideration of the performance by CMD of its obligations under this Paragraph 3., subJect to the "Commencement Condition" defined below in Paragraph 5., the Town shall make annual payments in an amount up to fifty percent (50%) of CMD's operating and maintenance budget for tlie Public Plaza and Restrooms, not to exceed $40,000, due annually on or before November 1 in each year during which this Agreement is in effect, which amount shall be increased or decreased annually, beginning January 1, 2006, equal to the cumulative percentage change from the prior year average consumer price index for All Urban Consumers for the Denver-Boulder-Greeley metropolitan areas as published semi-annually and appearing in tlie January and July issues of tlie CPI Detailed Report published by the Bureau of Labor Statistics. D. CMD and the Town shall cooperate jointly in the use of tlie Public Plaza and Public Restrooms throughout tlie year for the conduct of public events, art shows, craft fairs, concerts, and other uses. All such uses shall be subject to applicable Town permitting approvals. 4. Reduction in Payments. Tlie not-to-exceed annual payments for Gondola operations and maintenance, as identified in Paragraph 2.C hereof, and the not-to-exceed annual payment for Public Plaza and Restroom operations and maintenance, as identified in Paragraph 3.C. hereof, both as adjusted for inflation, (the "Payment Obligation") shall be decreased pro-ratably, on a dollar for dollar basis, to reflect additional property tax revenues received due to inclusions of new property into the Districts subsequent to the effective date of this Agreement, or through new development occurring on Lot B or within the Mountain Vista Metropolitan District subsequent to the effective date of this Agreement. The reduction shall be calculated based on the sum total of the amounts arrived at in subparagraphs 4.A, B, C, below. and at such time as the revenues received by operation of those subparagraphs results in the reduction of the Payment Obligation to zero, Town shall be relieved permanently of the Payment Obligation. A. Operating mill rate for the Districts multiplied by the assessed valuation for the year being levied for each included property not within the Districts as of the date of this Agreement. B. Operating mill rate for the Districts multiplied by the assessed valuation of any new development that has occurred on Lot B subsequent to the date of this agreement. C. Any additional amounts of operating revenues received from Mountain Vista Metropolitan District pursuant to additional development occurring within Mountain Vista Metropolitan District subsequent to the date of this Agreement. D. The Payment Obligation shall also be decreased pro-ratably, on a dollar for dollar basis, to reflect any amounts received or otherwise due to be received subsequent to the date of this Agreement through the contribution by entities other than the Town and CMD by agreement or otherwise, supporting Gondola and/or the Public Plaza and Restrooms operations and maintenance costs. In the event that any revenues described in this subparagraph 4.D, when taken together with other revenues received under subparagraphs 4.A, B, and C, results in the reduction of the Payment Obligation to zero, Town shall be 3 relieved of the Payment Obligation, but only to the extent and so long as such additional operating revenues remain in place and their receipt is required to reduce the Payment Obligation to zero. 5. Commencement Condition. The Payment Obligation shall commence upon the later of (a) November 1. 2007 or (b) November 1 of the year in which (i) the operations of the Gondola and Public Plaza and Public Restrooms start and (ii) a temporary ce11ificate of occupancy is issued by the Town for the Hotel (as defined in the Development Agreement). The Town may, within its discretion, partially fund operations of the Gondola and/or the Public Plaza and Public Restrooms prior to satisfaction of the foregoing commencement conditions upon terms agreed to between the Town and CMD. 6. Budgeting Procedures. No later than September 15 of each year in which the Payment Obligation is in effect, CMD will develop a good faith, detailed plan for operations and estimated budget for the anticipated operating and maintenance expenses with respect to the Designated Public Improvements as described above for the coming operating year (November I -October 3 I) and provide such plan and budget to the Town, together with a reconciliation and budget comparison of the operations and maintenance expenses for the immediately preceding operating year. The Town will liave the right to review and commen1 on such operating plan and budget. During the thirty (30) day period following such delivery of the plan and budget, the Town and CMD will work together and use their best efforts to agree upon a plan and budget. Until a mutually agreed upon good faith plan and budget has been developed, CMD shall continue to operate and maintain the Designated Public Improvements and the Town shall continue to pay its percentage of such costs in accordance with the previously approved budget, adjusted as described in Paragraphs 2.C, 3.C, and 4. above, until a new budget is agreed upon. In the event CMD determines that the approved plan and budget is insufficient to sustain the required standard of operation and maintenance required hereunder, CMD shall notify the Town of the same, and the Town and CMD shall work together and ·use their best efforts to agree upon a revised or restated plan and budget. 7. No Debt or Pecuniary Liability; No Multiple-Fiscal Year Obligation. All payments hereunder and any other financial obligation of the Town herein in any year shall be expressly subject to annual appropriation by the Town; provided, however, that it is the present expectation of the parties that the Town will make the payments contemplated by this Agreement. This Agreement shall never constitute a debt, indebtedness or multiple-fiscal year financial obligation of the Town within the meaning of the Constitution or laws of the State of Colorado. If, based upon an opinion of independent counsel not previously or at the time such opinion is delivered representing CMD and acceptable to the Town, it is detem1med that the activities under this Agreement shall be determined an "enterprise" of the Town for purposes of Article X, Section 20 of the Colorado Constitution, or that transactions of a nature similar to the transactions provided for in this Agreement are not required under the laws of the State to be subject to annual appropriation without regard toapproval of any such transactions by the electors of the Town, this Agreement shall be reformed so as to delete the annual appropriation provision found in this Agreement and establish the annual payments by the Town required hereunder as binding obligations of the Town. 8. Public Improvement Fees. If the Town, in its budget process for any year, fails to appropriate the amounts to fully fund and pay the Payment Obligation, the Town shall use its best efforts to provide C'MD with written notice of such failure by January I of the budget year in question; provided that the failure to provide such notice shall not be a breach of this Agreement and CMD acknowledges and agrees that rt bears the responsibility to monitor the Town's annual public budget process. In the event of nonappropriation by the Town, the following agreements shall apply: A. The Parties acknowledge and agree that the owner/developer of the Confluence has recorded a covenant ("PIF Covenant") binding on the land requiring the co11ection of public improvement fees ("PIF") on all lodging rentals in the Confluence. Such P!Fs sha11 be at the same rates and apply to 4 the same transactions as the existing Town lodging or accommodation tax imposed under Chapter 3.28 of the Municipal Code ("Town Lodging Tax"), and shall be payable at the same time and have the same exemptions and conditions as the Town Lodging Tax. Such P!Fs shall be collected pursuant to the rules and procedures set forth in the PIF Covenant upon written notice to the Town from CMD that the Town has not appropriated all of the funds necessary to pay the Payment Obligation, or the Payment Obligation has been determined by a court of competent jurisdiction to be invalid. Any period of time during which the PIF is being collected shall be referred to herein as a "PIF Collection Period." Each such PIF Collection Period shall continue until the earlier of the collection in full of the Payment Obligation the Town failed to appropriate or was barred from collecting annually or in the aggregate, or the end of the year before the next succeeding budget year for which the Town gives CMD notice that it has appropriated the Payment Obligation for that budget year. B. During each PIF Collection Period, PIF revenue shall be collected by a collecting agent ("PIF Collecting Agent") appointed by CMD pursuant to the PIF Covenants, and the Parties aclrnowledge and agree that, so long as the duties of the PIF Collecting Agent are being performed to the reasonable satisfaction of CMD, CMD shall appoint the Town's Finance Director as PIF Collecting Agent as and when necessary. Any amounts of PIF revenue collected in excess of the unappropriated Payment Obligation, annually or in the aggregate, shall be paid to the Town by the PIF Collecting Agent within 10 business days ofreceipt. C. In consideration of CMD's agreement to operate and maintain the Gondola, the Public Plaza and Restrooms, and other public improvements in the Confluence, the Town will grant a Lodging Tax credit ("Tax Credit") to renters who are subject to and actually pay the PIF to the PIF Collecting Agent during the PIF Collection Period in accordance with the terms and conditions of this Agreement. In order to implement the Town's obligation under this Agreement with respect to the Tax Credit, Town Council will approve an ordinance amending its Municipal Code provisions regarding the Town Lodging Tax within 15 days of the effective date of this Agreement, to provide for and implement the Tax Credit substantially as follows: During each PIF Collection Period, each person or entity otherwise liable to the Town for Town Lodging Tax under the Municipal Code with respect to taxable transactions occurring within the Confluence will receive a Tax Credit against such Town Lodging Tax obligation in an amount equal to the amount of the PIF Revenues collected and received by the PIF Collecting Agent. Such Tax Credit will be automatic and will take effect immediately upon the applicable taxpayer's (as reflected on the taxpayer's periodic tax reports to the Town) remittance to and receipt by the PIF Collecting Agent of the PIF revenues; provided, however, that the transactions and payments supporting the Tax Credit for any given period will nevertheless be subject to audit by the Town to the same extent, for the same limitation periods and in the same manner as the items which are required to be reported on the taxpayer's return relating-to the period in which the transaction occurs.· If Town Council fails to adopt the ordinance contemplated in this subsection 8.C., CMD will be entitled in its sole discretion either to: (i) declare the failure of a condition precedent and terminate this Agreement; or (ii) extend the period for satisfaction of the foregoing contingency to a date certain set forth in a written notice of extension, not to exceed 60 days from the date of the extension notice. D. At the termination of each PIF Collection Period, if there are PIF revenues remaining on deposit with the CMD, CMD shall remit all remaining PIF revenues to the Town for the purpose of the Town satisfying its obligations under this Agreement or, if no further obligations exist at that time, for any lawful purpose. Upon reasonable notice to the other party, the Town will have the right at its own expense to audit CMD's books and records, and CMD will have the right at its own expense to audit the Town's books and records, related to their respective obligations under this Agreement. E. The Town and CMD intend that their respective obligations under this Agreement are such that they do not constitute an invalid multiple fiscal year obligation pursuant to or otherwise be 5 prohibited by Article X, Section 20 of the Colorado Constitution, as amended from time to time, so as to preclude performance of their respective obligations under this Agreement or make such performance subject to annual appropriation. To the extent that implementation of this Agreement through the PIF or Tax Credit is determined by a court of competent jurisdiction be unlawful for any reason so as to preclude performance of their respective obligations under this Agreement or make such performance subject to annual appropriation, the parties will in good faith seek to reform this Agreement in a manner that will best effect their intent. If a party's performance of its obligations is subject to annual appropriation, that party's official or employee charged with the responsibility of formulating the budget proposals is hereby directed to include in the budget proposals for each year sufficient funds to meet the party's obligations under this Agreement. 9. Books and Records. The Parties shall maintain adequate books and records to accurately perform and account for their respective obligations under this Agreement. Representatives thereof shall be granted reasonable access during normal business hours to such books and records in order to determine compliance with the terms of this Agreement or the accuracy of such books and records. Reasonable best efforts shall be used to resolve any issues, discrepancies, or inaccuracies discovered in any review of any entity's books and records. 10. Legal Challenge to Agreement. In the event any agreement contained herein is ever the subject of a legal challenge, the Town shall diligently resist such challenges in cooperation with the CMD as set forth m Paragraph 15. 11. Default by Town. A "breach" or "default" by the Town under this Agreement shall be defined as the Town's failure to fulfill or perform any material obligation of the Town contained in this Agreement, mcluding, without limitation, the timely payment of any monetary obligation hereunder, in each case, a tier the applicable cure period described below; provided that the failure on the part of the Town to make any annual appropriation described hereunder shall not be an event of default, and CMD shall have no claim against the Town for any loss, claim, expense or liability for obligations on the part of CMD to third parties, which CMD expected to pay upon receipt of Town Funds had they been appropriated, and to the extent allowed by law CMD shall indemnify and defend the Town against any and all claims, suits, expense or liabilities by or to such third parties arising as a result of such nonappropriation. 12. Default by CMD. A "breach" or "default" by CMD shall be defined as CMD's failure to fulfill or perform any material obligation of CMD contained in this Agreement following the applicable cure period described below. 13. · --Notices of Default. -In the event·of a default by either partyunder this Agreement, the non- defaulting party shall deliver written notice to the defaulting party of such default, at the address specified in Paragraph 20, and the defaulting party shall have thirty (30) days from and after receipt of such notice to cure such default. If such default is not of a type which can be cured within such thirty (30) day period and the defaulting party gives written notice to the non-defaulting party within such thirty (30) day period that it is actively and diligently pursuing such cure, the defaulting party shall have a reasonable period of tnne given the nature of the default following the end of such thirty (30) day period to cure such default, provided that such defaulting party is at all times within such additional time period actively and diligently pursuing such cure. 14. Remedies. If any default under this Agreement is not cured as described above, the non- defaulting party shall have the right to enforce the defaulting party's obligations hereunder by an action for any equitable remedy, including injunction and/or specific performance, and/or an action to recover damages. Each remedy provided for in this Agreement is cumulative and is in addition to every other remedy provided for in this Agreement or otherwise existing at law, in equity or by statute. 6 15. Cooperation in Defending Legal Challenges. If any legal or equitable action or other proceeding is commenced by a third party challenging the validity of any provision of this Agreement, the Parties agree to cooperate in defending such action or proceeding and to bear their own expenses in connection therewith. Unless the Parties otherwise agree, each party shall select and pay its own legal counsel to represent it in connection with such action or proceeding. 16. Term. This Agreement shall be effective upon execution hereof by the parties and shall represent the valid, binding and legally enforceable obligation of the parties hereto until this Agreement is tenninated by mutual written agreement of the parties; provided that nothing herein shall affect the rights of the Town under Colorado law to initiate or pursue dissolution of the Districts or either of them. 17. No Relationship. This Agreement does not and shall not be construed as creating a joint venture, partnership, or employer-employee relationship between the Parties. It is agreed that the conduct and control of the operation and maintenance of the Designated Public Improvements, and the other vanous functions enumerated herein and authorized by this Agreement shall lie solely with CMD. 18. Insurance. A. CMD shall place and maintain at all times, or shall cause the Vail Entity as CMD's agent with respect to the Gondola and the Gondola Interface Area (as defined below) to carry and maintain, a Commercial general liability ("Primary") insurance in an occurrence format in an amount of $1,000,000 per occurrence, with a deductible to be determined by the Parties from time to time, which shall be consistent with the annual plan and budget and to be paid upon each occurrence, including the following coverages: contractual liability, personal injury, broad form property damage, independent contractors and premises operations. The cost of the Primary insurance policy shall be included in CMD's operating and maintenance budget and shall be subject to Paragraph 2.C. CMD's Primary insurance shall provide primary insurance coverage in the event of any claims, suits, proceedings, actions, causes of action, responsibility, liability, demands, judgment and executions arising out of or related to its operation and management of the Gondola and the Gondola Interface Area and shall cover bodily injury, death and damage to property of others. The Gondola Interface Area shall be defined as beginning at the point a person enters the queue and/or terminal area for embarking the Gondola, or exits the terminal area for disembarking the Gondola. CMD shall also place and maintain at all times, with respect to the Public Plaza and Restrooms, insurance in an appropriate occurrence format and in an appropriate amount per occurrence as Jt reasonably determines from time to time (but at least the amount of the limits of the Colorado Governmental Immunity Act, as they may exist from time to time), which coverage may be mcluded in its master umbrella orpool policy.- B. The Town shall be named as an additional insured on the primary policy carried by the Vail Entity and, if permitted under the terms ofCMD's policies, on any policy carried by CMD. C. Except as otherwise agreed, the Primary insurance policy shall include (i) a clause or endorsement denying the insurer any right of subrogation against the Town; and (ii) a provision requiring the insurer to give the Town thirty (30) days' notice prior to cancellation. D. Prior to this Agreement becoming effective CMD ( or the Vail Entity as appropriate) shall furnish the Town with certificates of insurance or other acceptable evidence that the insurance described in this Paragraph 18 is in force. 19. Persons Interested Herein. shall be construed to confer upon, Nothing expressed or implied in this Agreement is intended or or to give to, any person other than the Parties hereto, any right, 7 remedy, or claim under or by reason of this Agreement or any covenants, terms, conditions, or provisions thereof, and all of the covenants, terms, conditions, and provisions in this Agreement by and on behalf of the Parties shall be for the sole and exclusive benefit of the Parties. 20. Compliance with Law. CMD agrees to comply with all federal, state and local laws, rules and regulations which are now, or in the future may become applicable to the design, financing, construction, operation and maintenance of the Designated Public Improvements. 21. Notices. All notices, demands or other communications required or permitted to be given hereunder shall be in writing and any and all such items shall be deemed to have been duly delivered upon personal delivery; or as of the third business day after mailing by United States mail, certified, return receipt requested, postage prepaid, to the address set forth below; or as of 12:00 Noon on the immediately following business day after deposit with Federal Express or a similar overnight courier service, to the address set forth below; or as of the third business hour (a business hour being one of the hours from 8:00 a.m. to 5:00 p.m. on business days, local time of the recipient) after transmitting by telecopier to the telecopy number set forth below and evidenced by an electronic delivery receipt: Ifto CMD: . -If-to the Town: White, Bear and Ankele Professional Corporation 1805 Shea Center Drive, Suite I 00 Highlands Ranch, CO 80129 Attn: William P. Ankele, Esq. District Counsel Facsimile: (303) 858-1801 with a copy to: Wear, Travers & Perkins, P.C. 1000 South Frontage Road West Suite 200 Vail, Colorado 81657 Attention: Richard D. Travers, Esq. Telephone: (970) 476-7646 Facsimile: (970) 476-7118 Town of Avon PO Box 975 Avon, CO 81620 Attn: John Dunn, Town Attorney Facsimile: (970) 845-7708 Any address or telecopy number fixed pursuant to the foregoing may be changed by the addressee by notice given pursuant to this Paragraph. 22. Governmental Immunity. Nothing contained herein waives or is intended to waive or abrogate any protections that may be applicable to CMD or the Town under the Governmental Immunity Act, Section 24-10-101 et. seq., C.R.S., or any other rights, protections, immunities, defenses or limitations on liability provided by any law or the applicable provisions of the Colorado Constitution. 8 23. Modification. This Agreement may be modified, amended, changed or terminated, except as otherwise provided herein, in whole or in part, only by an agreement in writing duly authorized and executed by each the Parties. No consent of any third party shall be required for the negotiation and execution of any such agreement. 24. Assignment. Neither this Agreement nor the rights and obligations set forth herein may be assigned by either party without the express written consent of the other. Any attempt to assign the same in the absence of such consent shall be null, void and of no force or effect. 25. Entire Agreement. This Agreement contains the entire agreement between the Parties with respect to the matters set forth herein, and no statement, promise or inducement that is not contained in this Agreement shall be valid or binding. 26. Severability. If any portion of this Agreement is declared void or unenforceable by a court of competent jurisdiction, such portion shall be deemed severed from this Agreement, and the balance of this Agreement shall remain in effect. 27. Governing Law. This Agreement shall be construed and enforced in accordance with the laws of the State of Colorado. Venue in any action brought hereunder shall lie exclusively with the D1stnct Court 1n and for Eagle County, Colorado. 28. Counterparts/Facsimile Signatures. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which when taken together will constitute one and the same instrument. Facsimile signatures of any Party shall be considered originals for all purposes hereunder. [remainder of page intentionally blank; signature page follows} 9 above. IN WITNESS WHEREOF the parties have executed this Agreement as of the date first written CONFLUENCE METROPOLITAN DISTRICT Eagle County, Colorado ~;~,~~ TA TE OF COLORADO C c.. 0 EXHIBIT A TO FACILITIES OPERATION AGREEMENT Real Property Description [INSERT PROPERTY DESCRIPTION] 11 EXHIBIT A A PARCEL OF LAND LOCATED IN THE SOUTH ONE-HALF (1/2) OF THE NORTHWEST ONE-QUARTER (1/4) OF SECTION 12, TOWNSHIP 5 SOUTH, RANGE 82 WEST OF THE SIXTH PRINCIPAL MERIDIAN, EAGLE COUNTY, COLORADO, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE CENTER CORNER OF SAID SECTION 12, TOWNSHP 5 SOUTH, RANGE 82 WEST; THENCE N. 02 DEGREES 08 MINUTES 18 SECONDS W. 595.00 FEET TO A POINT ON THE SOUTH RIGHT OF WAY LINE OF THE DENVER AND RIO GRANDE WESTERN RAILROAD AND THE TRUE POINT OF BEGINNING; THENCE N. 65 DEGREES 58 MINUTES 08 SECONDS W. 1762.75 FEET ALONG SAID SOUTH RIGHT OF WAY LINE MORE OR LESS TO A POINT ON THE SOUTH BOUNDARY OF BENCHMARK AT BEAVER CREEK SUBDIVISION, REVISED FINAL PLAT, EAGLE COUNTY, COLORADO, SAID POINT BEING THE SOUTHEAST CORNER OF TRACT "H" OF SAID SUBDIVISION; THENCE S. 89 DEGREES 50 MINUTES 48 SECONDS W. 397.29 FEET ALONG THE SOUTH BOUNDARY OF TRACT "H" OF SAID SUBDIVISION TO A POINT FROM WHICH THE NORTHWEST CORNER OF THE SOUTH ONE-HALF (1/2) OF THE NORTHWEST ONE-QUARTER (1/4) OF SAID SECTION 12 BEARS S. 89 DEGREES 50 MINUTES 48 SECONDS W. 629.76 FEET; THENCE ALONG THE FOLLOWING TEN COURSES OF THE APPROXIMATE CENTERLINE OF THE EAGLE RIVER: 1.) S. 48 DEGREES 46 MINUTES 06 SECONDS E. 132.70 FEET 2.) S. 57 DEGREES 59 MINUTES 37 SECONDS E. 341.00 FEET 3.) S. 50 DEGREES 27 MINUTES 44 SECONDS E. 455.67 FEET 4.) S. 48 DEGREES 24 MINUTES 11 SECONDS E. 293.81 FEET 5.) S. 44 DEGREES 17 MINUTES 20 SECONDS E. 152.41 FEET 6.) S. 50 DEGREES 47 DEGREES 24 SECONDS E. 154.96 FEET 7.) S. 54 DEGREES 19 MINUTES 56 SECONDS E. 187.29 FEET 8.) S. 82 DEGREES 03 MINUTES 45 SECONDS E. 214.88 FEET 9.) N. 85 DEGREES 23 MINUTES 48 SECONDS E. 162.21 FEET 10.) N. 85 DEGREES 58 MINUTES 54 SECONDS E. 225.41 FEET TO A POINT ON THE WESTERLY RIGHT OF WAY OF THE COLORADO STATE HIGHWAY; THENCE ALONG SAID WESTERLY RIGHT OF WAY ON THE FOLLOWING THREE COURSES: 1.) N. 09 DEGREES 23 MINUTES 26 SECONDS E. 93.73 FEET 2.) N. 42 DEGREES 47 MINUTES 36 SECONDS E. 37.43 FEET 3.) N. 10 DEGREES 32 MINUTES 54 SECONDS E. 54.70 FEET TO A POINT OF CURVE; THENCE CONTINUNING ALONG SAID COLORADO STATE HIGHWAY RIGHT OF WAY 181.09 FEET ALONG THE ARC OF A 1101.84 FOOT RADIUS CURVE TO THE LEFT WHOSE CENTRAL ANGLE IS 09 DEGREES 25 MINUTES 00 SECONDS AND WHOSE LONG CORD BEARS N. 05 DEGREES 50 MINUTES 24 SECONDS E. 180.89 FEET TO THE TRUE POINT OF BEGINNING; TOGETHER WITH EASEMENT AS DESCRIBED IN EASEMENT AGREEMENT RECORDED JULY 30, 1993 IN BOOK 615 AT PAGE 169. EXCEPT THE FOLLOWING 3 PARCELS: PARCEL 1: A PARCEL OF LAND NO. TK-10 OF THE TOWN OF AVON, STATE OF COLORADO, SITUATED IN THE SEl/4 OF THE NWl/4 OF SECTION 12, TOWNSHIP 5 SOUTH, RANGE 82 WEST OF THE SIXTH PRINCIPAL MERIDIAN, MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE CENTER QUARTER CORNER OF SAID SECTION: THENCE N. 00 DEGREES 06 MINUTES 14 SECONDS EAST ALONG THE MERIDIONAL CENTERLINE OF SAID SECTION, A DISTANCE OF 449.22 FEET; THENCE N. 89 DEGREES 53 MINUTES 46 SECONDS WEST A DISTANCE OF 35.59 FEET TO THE POINT OF BEGINNING, SAID POINT ALSO BEING A POINT ON CURVE FROM WHENCE THE RADIUS POINT BEARS N. 81 DEGREES 13 MINUTES 35 SECONDS WEST 1095.90 FEET SAID POINT ALSO BEING ON THE WESTERLY RIGHT OF WAY OF AVON ROAD, AND SAID CURVE NOT BEING TANGENT TO THE PREVIOUSLY DESCRIBED COURSE; THENCE ALONG SAID WESTERLY RIGHT OF WAY THE FOLLOWING THREE COURSES: 1. THENCE ALONG SAID CURVE TO THE RIGHT, HAVING A CENTRAL ANGLE OF 01 DEGREES 49 MINUTES 48 SECONDS, A RADIUS OF 1095.90 FEET, AN ARC LENGTH OF 35.00 FEET; 2. THENCE S. 10 DEGREES 36 MINUTES 13 SECONDS WEST A DISTANCE OF 54.70 FEET; 3. THENCE S. 42 DEGREES 36 MINUTES 43 SECONDS WEST A DISTANCE OF 37.70 FEET; THENCE N. 41 DEGREES 09 MINUTES 04 SECONDS WEST A DISTANCE OF 30. 00 FEET; THENCE N. 11 DEGREES 30 MINUTES 40 SECONDS EAST A DISTANCE OF 86.00 FEET; THENCE N. 78 DEGREES 15 MINUTES 47 SECONDS EAST A DISTANCE OF 45.00 FEET TO THE POINT OF BEGINNING. PARCEL 2: A PARCEL OF LAND NO. PE-10 OF THE TOWN OF AVON, SATE OF COLORADO, SITUATED IN THE SEl/4 OF THE NWl/4 OF SECTION 12, TOWNSHIP 5 SOUTH, RANGE 82 WEST OF THE SIXTH PRINCIPAL MERIDIAN, MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE CENTER QUARTER CORNER OF SAID SECTION; THENCE N. 00 DEGREES 06 MINUTES 14 SECONDS EAST ALONG THE MERIDIONAL CENTERLINE OF SAID SECTION, A DISTANCE OF 449.22 FEET; THENCE N. 89 DEGREES 53 MINUTES 46 SECONDS WEST A DISTANCE OF 35.59 FEET TO THE POINT OF BEGINNING, SAID POINT ALSO BEING ON THE WESTERLY RIGHT OF WAY OF AVON ROAD; THENCE S. 78 DEGREES 15 MINUTES 47 SECONDS WEST A DISTANCE OF 45.00 FEET; THENCE N. 20 DEGREES 40 MINUTES 24 SECONDS EAST A DISTANCE OF 52.00 FEET; THENCE N. 3 DEGREES 53 MINUTES 04 SECONDS EAST A DISTANCE OF 119.79 FEET TO A POINT ON THE SOUTHERLY RIGHT OF WAY OF THE DENVER AND RIO GRANDE WESTERN RAILROAD; THENCE S. 65 DEGREES 58 MINUTES 08 SECONDS EAST ALONG SAID SOUTHERLY RIGHT OF WAY, A DISTANCE OF 33.06 FEET TO A POINT ON THE WESTERLY RIGHT OF WAY OF AVON ROAD, SAID POINT ALSO BEING A POINT ON CURVE FROM WHENCE THE RADIUS POINT BEARS N. 88 DEGREES 52 MINUTES 13 SECONDS WEST A DISTANCE OF 1095.90 FEET, SAID CURVE ALSO BEING NOT TANGENT TO THE PREVIOUSLY DESCRIBED COURSE; THENCE ALONG SAID WESTERLY RIGHT OF WAY AND ALONG SAID CURVE TO THE RIGHT, HAVING A CENTRAL ANGLE OF 07 DEGREES 38 MINUTES 38 SECONDS, A RADIUS OF 1095.90 FEET, AN ARC LENGTH OF 146.20 FEET TO THE POINT OF BEGINNING. PARCEL 3: A PARCEL OF LAND NO. TK-10-A OF THE TOWN OF AVON, STATE OF COLORADO, SITUATED IN THE SEl/4 OF NWl/4 OF SECTION 12, TOWNSHIP 5 SOUTH, RANGE 82 WEST OF THE SIXTH PRINCIPAL MERIDIAN, COMMENCING AT THE CENTER QUARTER CORNER OF SAID SECTION; THENCE N. 00 DEGREES 06 MINUTES 14 SECONDS EAST ALONG THE MERIDIONAL CENTERLINE OF SAID SECTION, A DISTANCE OF 333.13 FEET; THENCE N. 89 DEGREES 53 MINUTES 46 SECONDS WEST A DISTANCE OF 76.86 FEET TO THE POINT OF BEGINNING, SAID POINT ALSO BEING ON THE WESTERLY RIGHT OF WAY OF AVON ROAD; THENCE S. 09 DEGREES 28 MINUTES 13 SECONDS WEST ALONG SAID WESTERLY RIGHT OF WAY A DISTANCE OF 94.50 FEET TO A POINT ON THE CENTERLINE OF THE EAGLE RIVER; THENCE S. 85 DEGREES 58 MINUTES 54 SECONDS WEST ALONG SAID CENTERLINE A DISTANCE OF 28.16 FEET; THENCE N. 11 DEGREES 28 MINUTES 18 SECONDS EAST A DISTANCE OF 120.18 FEET; THENCE S. 41 DEGREES 09 MINUTES 04 SECONDS EAST A DISTANCE OF 30.00 FEET TO THE POINT OF BEGINNING. Capacity Assessment Town of Avon August 25th, 2026 About Holy Cross Energy 280 MW Peak Demand 3,130 Miles Distribution Lines 120 Miles Transmission Lines 175 Employees Founded in 1939, we serve more than 46,500 members in scenic Western Colorado with: In 2025, 85% of our power supply came from wind, solar, and hydro; more than double the amount provided to members in 2017. Holy Cross Energy (HCE) provides safe, reliable, affordable, and sustainable energy and services that improve the quality of life for our members and their communities. 2 Our Journey to 100% Clean Energy Cleaner Wholesale Power Local Clean Energy Resources Distributed Energy Resources Smart Electrification Continue our existing agreements for energy from local solar and hydro projects. Incorporate new, clean, dispatchable resources into HCE’s power supply mix. Support installation new solar systems with energy storage on homes and businesses. Encourage the expanded use of electricity for transportation, building heating and cooling, and industrial processes. Energy Efficiency Obtain additional reduction of electric sales from existing uses where cost- effective to do so. In 2019, HCE’s Board of Directors established a goal of: in a way that does not sacrifice affordability, safety, or reliability for the sake of sustainability. •100% carbon-free power supply by 2030 •Carbon-neutral or better across the enterprise by 2035 3 Our Progress Simultaneously providing Safe Reliable Affordable and Sustainable energy and services that improve the quality of life for our members and communities. SAFE RELIABLE AFFORDABLE SUSTAINABLE Avon Substation Current Substation Status •Transmission Feed: Vail Valley 115kV Loop •Substation Transformers: 1 •Substation Transformer Capacity: 28 MW •Miles of Distribution: 93 •Number of Meters: 5891 •Nameplate Distributed Generation: 0.7 MW •Nameplate Distributed Storage: 0.4 MW •Historical Peak Load: 23.9 MW •Forecasted peak Load 2035: 29.0 MW Avon Substation Capacity •10 year peak forecast exceeds substation transformer nameplate capacity by 1 MW •Substation transformer can accommodate this level of temporary overload, especially during cold weather that coincides with peak load •Circuit reconductor and construction of additional tie with Vail Substation is planned for early 2030s to allow shifting load to Vail Substation feeders if needed •We will continue to monitor load growth and update load forecasts from this substation Smart Electrification Can Manage Impacts •Solar + Storage:Through our Power+ program, HCE incentivizes home batteries to store excess solar power, effectively creating a "virtual power plant" to meet peak demand •Grid Orchestration:To manage fluctuating renewable supply, HCE partners with Virtual Peaker to deploy a cloud-based platform that coordinates distributed resources like home batteries and EV chargers •Smart Electric Rebates:HCE offer a variety of energy efficiency and smart electrification rebates to help our members invest in high- efficiency equipment such as heat pumps, smart panels, induction cooktops and more •EV Charging: Whether charging at home, work or in the community, HCE offers programs and rebates to help offset some of the cost of EV charger installations.HCE has a preferred installer list to make the process easier, and can assist with State grant applications HCE is actively managing the increased electricity demand from commercial and municipal buildings and heating electrification, electric vehicles,and residential heat pumps. Smart Rate Design Can Manage Impacts •Residential Services – Small & General Services - Small (commercial) rate classes: new demand charge of $1.00/kW •Residential Services - Large rate class: increased demand charge to $5.51/kW •General Services - Large & Irrigation (commercial) rate class: increasing demand charge to $6.38/kW Real World Example: The Power of Staggering. •Running several appliances at once increases a user's demand, increases the strain on the grid, and can lead to a higher bill •Staggering appliance usage throughout the day can lead to a lower demand, will lessen the strain on the grid, and can lead to bill savings. Your community. Your co-op. Your choice. Thank You Page 1 of 2 TO: Honorable Mayor Tamra N. Underwood and Council members FROM: Eric Heil, Town Manager RE: Purchase Agreement for State Land Board Property DATE: August 20, 2026 SUMMARY: This report presents to Council for Council’s approve the purchase agreement for to acquire approximately 76 acres of land from the State Land Board. The title of this purchase agreement is the Agreement to Non-Simultaneous Exchange of Real Property. Avon’s typical real estate acquisition process is to negotiate the terms of a purchase agreement and have it executed by the seller prior to bringing the agreement to Council. The terms of the purchase agreement state that it is subject to and conditioned upon approval by Avon Town Council. The proposed action is adoption of a Resolution which approves the purchase agreement with the State Land Board. PLANNED USES: The planned uses for the property include development of Community Housing on Parcel 1, preservation of the River Corridor parcel via Town of Avon zoning and a conservation easement with Eagle County Open Space, and future Community Housing on the River North parcel. Parcel 1 is situated on US Highway 6 and has utilities to the lot line and across the property, so Parcel 1 is ready for development and does not require significant infrastructure improvement or extension costs. The River North parcel cannot be developed until vehicle access and public utilities are extended to the north side of the Eagle River and north side of the Union Pacific Rail Road grade. The cost of this improvement is very substantial ($30M+) and is not expected to occur for many years. These planned uses are in accordance with the Avon 3 Mile Plan as recently updated by Council in 2026. PURCHASE PRICE: The purchase price is based on a negotiated price per acre along with a reimbursement of site costs previously incurred by the State Land Board. The total purchase price of $5,861,293.28 is itemized below. Exchange Payment: Parcel Acreage Price/Acre Price Parcel I 4.626 $1,054,152.00 $4,876,507.15 River Corridor 18.423 $6,085.69 $ 112,116.67 River North 53.067 $5,532.00 $ 293,566.64 Total Acres 76.116 Subtotal $5,282,190.46 Site Cost Reimbursement $579,102.82 TOTAL $5,861,293.28 DATES AND TERMS: • $140,000 Earnest Money has been wired to the title company. • Due Diligence deadline – December 18, 2026 (aka “Inspection Period”) Avon may terminate in its sole discretion if Avon determines that there are unresolvable concerns with the property. Page 2 of 2 • Financing – January 29, 2027 (aka “Financing Objection”) Avon may terminate in its sole discretion prior to this date if Avon determines that adequate grant and partner funds are not available or committed by this date. • Closing – February 26, 2027 PROP 123 LAND BANKING APPLICATION: A Prop 123 Land Banking grant application was submitted by the Town of Avon last may requesting $2.9M in funding support. The Colorado Housing and Financing Authority said they would provide notice of grant awards by the end of August. EAGLE COUNTY OPEN SPACE APPLICATION: Staff is preparing a funding request to Eagle County Open Space (“ECOS”) for the River Corridor portion of the property in the amount of $112,116.67. The proposal is that Avon would execute a conservation easement with ECOS to protect the River Corridor and provide public access to the river and Town of Avon would retain fee title ownership. FINANCIAL IMPACTS/PARTNERSHIPS: Discussions with potential funding partners are continuing. Council has until January 29, 2027 to terminate the purchase agreement and receive back its earnest money deposit if it finds that Avon has not secured adequate partnership funds and/or grant funds. PROPOSED MOTION: “I move to approve Resolution 26-11 Approving an Agreement to Non- Simultaneous Exchange of Real Property with State Land Board.” Thank you, Eric ATTACHMENT A: Resolution 26-11 Approving an Agreement to Non-Simultaneous Exchange of Real Property with State Land Board Resolution 26-11 August 25, 2026 RESOLUTION 26-11 APPROVING AN AGREEMENT TO NON-SIMULTANEOUS EXCHANGE OF REAL PROPERTY WITH STATE LAND BOARD WHEREAS, the Avon Town Council (“Council”) has identified a goal to achieve a diverse range of housing as stated in the Avon Comprehensive Plan and the Avon Community Housing Plan, including rental and for-sale housing across a range of densities, styles, and types to serve all segments of the population; and WHEREAS, the Town of Avon and the State Land Board have engaged in significant negotiations regarding potential Community Housing projects to be developed on property owned by the State Land Board west of Dowd Junction and including the east end of the Eagle-Vail commercial area on U.S. Highway 6; WHEREAS, the Town of Avon is authorized by Section 2.1(a) of the Avon Home Rule Charter and Title 31 generally of the Colorado Revised Statutes to purchase real estate; WHEREAS, the Agreement to Non-Simultaneous Exchange of Real Property (“Agreement”) attached as EXHIBIT A sets forth terms and conditions for the purchase and sale of approximately 76 acres of land (“Property”) to be acquired by Avon for the primary purpose of developing Community Housing and provide recreational and open space lands for use and access by the general public; and WHEREAS, the Avon Town Council finds that the purchase of the State Land Board property clearly supports the vision and goal of creating more Community Housing by providing land to develop a regional housing project which will promote the health, safety and general welfare of the Avon community. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF AVON by the Avon Town Council the following: 1.The Agreement to Non-Simultaneous Exchange of Real Property as set forth in EXHIBIT A is hereby approved by Council. 2.The Mayor, Town Attorney, and Town Manager are authorized to execute the Agreement and documents related to closing and conveyance of the Property. 3.The Mayor, Town Attorney and Town Manager are authorized to assign this Agreement to the Avon Housing Authority or other governmental entities or non-profit corporations controlled by the Town of Avon. ADOPTED AUGUST 25, 2026 BY THE AVON TOWN COUNCIL By: Attest:___________________________ Tamra N. Underwood, Mayor Miguel Jauregui Casanueva, Town Clerk ATTACHMENT A Page 1 of 21 AGREEMENT TO NON-SIMULTANEOUS EXCHANGEOF REAL PROPERTY This Agreement to Non-Simultaneous Exchange of Real Property ("Agreement”) is entered into pursuant to Article IX, Section 9 (7) of the Colorado Constitution and Title 36 of the Colorado Revised Statutes on , 2026, ("Effective Date") between the STATE OF COLORADO, acting by and through the STATE BOARD OF LAND COMMISSIONERS, or its representatives or agents ("Board"), whose address is 1127 Sherman Street, Suite 300, Denver, CO 80203-2206, and the TOWN OF AVON, a home rule municipal corporation of the State of Colorado ("Transferee"), whose address is 100 Mikaela Way, Avon, CO 801620. RECITALS WHEREAS, Transferee desires to own, and has offered to obtain by exchange, land currently owned by the State of Colorado, which is located in Eagle County, Colorado, legally described on Exhibit A ("State Property") containing 76.116 gross acres, more or less; and WHEREAS, The Board desires to exchange the State Property for certain other real property to be identified by the Board at a later date ("Replacement Property"), pursuant to Article IX, Sections 9 and 10 of the Colorado Constitution and Title 36 of the Colorado Revised Statutes subject to the terms and conditions of this Agreement. NOW THEREFORE, in consideration of the foregoing and the various terms, covenants and conditions set forth herein, and other good and valuable consideration the receipt and sufficiency of which are hereby acknowledged, the parties incorporate the recitals above and agree as follows: 1. Agreement to Exchange. a. Subject to the terms and conditions set forth in this Agreement, the Board agrees to convey and deliver all of the Board’s right, title and interests in the State Property, except those rights and interests expressly reserved or excepted herein, to Transferee by Patent and Transferee agrees to accept and take all of the Board’s rights, title, and interests herein conveyed by Patent and to deposit funds with the State Treasurer for the future acquisition of other property by the Board, pursuant to Article IX, Section 9 (7) of the Colorado Constitution, and pursuant to C.R.S. §§ 36-1-124.3 and 36-1-124.5. b. The Patent shall be subject to any and all covenants, restrictions, easements or rights-of-way, whether or not of record, including without limitation those shown on Exhibit B, and those exceptions listed on Schedule B Part II of the Title Commitment or shown on the ALTA Survey, as both areas later herein defined, Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 August 5 Page 2 of 21 and shall reserve to the Board title and all rights to any and all surface and sub- surface pore space, minerals, ores, and metals, of any kind and character, and all coal, asphaltum, oil, gas, or other like substances, and all geothermal resources in, on, or under the State Property (such retained estate referred to as the “Mineral Estate” or “Minerals”) and rights of ingress and egress in, on, under, over, across and through the State Property for the purposes of exploration, production, mining, extraction, storage, sequestration, and removal of or access to such substances and resources, together with enough of the surface as may be necessary for the proper and convenient working of such substances and resources, and the right to cross Grantee’s land adjoining the State Property, if any, to access the Mineral Estate reserved. For the avoidance of any doubt, the Mineral Estate hereby reserved to the State of Colorado expressly includes (i) all industrial minerals and rock products, such as sand, gravel, clay, and crushed stone, located on or under the State Property; and (ii) all surface and mineral rights necessary for the proper and convenient working of reserved pore space for any lawful purpose; including, without limitation, in connection with exploration of pore space, injection into pore space, use of pore space for storage or sequestration, and monitoring pore space and any resource(s) stored therein. c. The Patent shall reserve all water and water rights, including tributary and nontributary groundwater, found in association with reserved geothermal resources or otherwise necessary or convenient for the proper and convenient working of such reserved geothermal resources; d. The Patent shall reserve all historical, prehistorical, and archaeological resources in, on, or under the State Property and any and all rights under C.R.S. §§ 24-80-401 through 411 (“Archaeological Resources”), together with the right to cross the State Property and Grantee’s land adjoining the State Property from a maintained public road for the purpose of accessing, exploring, protecting, preserving, interpreting, and enhancing the Archaeological Resources. Grantee understands and acknowledges the requirements of C.R.S. §§ 24-80-1301 through 1305. e. The Patent shall require that Transferee, its heirs, successors and assigns shall provide actual and posted notice of non-liability pursuant to C.R.S. § 38- 22-105 notifying all persons who might claim a mechanic’s lien relating to any work on, materials provided for or improvements to the State Property initiated by or conducted for the benefit of Transferee, its heirs, successors, and assigns that the Board’s interests are not subject to such liens. Transferee, its heirs, successors and assigns shall indemnify, defend, and hold the Board harmless against any claims for mechanic’s liens relating to any work on, materials provided for or improvements to the State Property initiated by or conducted for the benefit of Transferee, its heirs, Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 3 of 21 successors, and assigns. This obligation shall run with the land and survive the Closing. f. The Patent shall include the following provisions to restrict development and use of the State Property to deed restricted residential workforce housing and accessory uses as are defined in the Town of Avon’s applicable Community Housing zone district designation (“Community Housing”) and parks, open space and recreation uses. The form of the Patent shall be subject to mutual review and approval of Board and Transferee on or before December 18, 2026. In the event that either Board or Transferee do not agree to the form of the Patent in writing by December 18, 2026, then this Agreement shall automatically terminate all things of value received shall be returned, including Transferee’s Earnest Money Deposit. (1) Restrictive Use Covenant. The Patent shall include a covenant that restricts the development and use of the State Property to Community Housing, parks, recreation and open space and designates the Board as a beneficiary of such covenant. (2) Right to Profits. The Board shall be entitled to 100% of net profits which occur from any private commercial development, use or operation on the State Property except home occupations which occur as an accessory use to residential use. (3) Right of First Refusal. The Board shall be granted a right of first refusal, and the ability to buy any part of the State Property back at the original price (i.e., the Exchange Price as later defined), should Transferee, or its successor(s) attempt to sell or transfer any portion of the State Property without developing the State Property for Community Housing, except for transfers to local government housing authority. (4) Reversionary Clause. In the event any part of the State Property is developed for a use other than Community Housing or public park, recreation or open space uses, the Board may elect to have the State Property revert to ownership by the Board (the “Reverter”) by providing a written notice to the Transferee or successor of such election to exercise the right of Reverter and stating the specific reasons or conditions that warrant the right of Reverter and the Transferee shall have ninety (90) days from the date of receipt of such written notice to cure. If the Transferee does not cure within such time period, then upon the demand of the Board, the Transferee or its successor will execute a bargain and sale deed to the State Property in form and substance acceptable to the Board, evidencing the Reverter Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 4 of 21 of the State Property without any Community Housing deed restriction. The Reverter shall expire and be of no further force and effect on portions of the State Property which have been developed as Community Housing, park, or recreation uses or restricted as open space. Thereafter, and upon written request by Transferee, the Board and Transferee shall record a document with the Eagle County Clerk and Recorder terminating and releasing the Reverter for the applicable portion of State Property. g. At Closing (as defined below), the Parties agree to enter into a No-Surface Occupancy agreement covering the State Property in substantially the form of Exhibit D attached to this Agreement (“NSO Agreement”) for the purpose of preventing the occupancy of the surface of the State Property in the development or extraction of the reserved Mineral Estate. 2. Exchange Payment. a. For the purpose of constituting a basis on which this non- simultaneous exchange may be made, the Exchange Payment for the State Property shall total $5,861,293.28 ("the Exchange Payment") subject to credits and charges as provided herein. The Exchange Payment will be allocated as follows: Parcel Acreage Price/Acre Price Parcel I 4.626 $1,054,152.00 $4,876,507.15 River Corridor 18.423 $6,085.69 $ 112,116.67 River North 53.067 $5,532.00 $ 293,566.64 Total Acres 76.116 Subtotal $5,282,190.46 Site Cost Reimbursement $579,102.82 TOTAL $5,861,293.28 If any acreage is adjusted based on the ALTA Survey provided for in Paragraph 10.b. of this Agreement, the Exchange Price shall be adjusted based on the per acre price for the corresponding adjusted parcels in this Paragraph 2.a. b. Transferee shall wire the Exchange Payment in the form of wire transfer at Closing (as hereinafter defined). The Exchange Payment shall be credited to a separate account in the Non-simultaneous State Trust Land Exchange Cash Fund pursuant to C.R.S. § 36-1-124.5(2). 3. Earnest Money; Liquidated Damages. The amount of $140,000.00 in the form of a wire transfer shall be tendered by Transferee to be held in escrow by Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 5 of 21 the Avon office of Land Title Guarantee Company (“Title Company”) within three (3) business days after the Effective Date of this Agreement, as earnest money ("Earnest Money"). The Earnest Money shall be held by the Title Company in a non-interest bearing account subject to the provisions of this Agreement. The Earnest Money shall be applied to the Exchange Payment at Closing. IF THE EXCHANGE IS NOT CONSUMMATED DUE TO ANY DEFAULT BY TRANSFEREE HEREUNDER, THEN THE BOARD SHALL HAVE THE RIGHT TO ELECT TO RETAIN THE EARNEST MONEY AS LIQUIDATED DAMAGES, WHICH RETENTION SHALL OPERATE TO TERMINATE THIS AGREEMENT. THE PARTIES HAVE AGREED THAT THE BOARD’S ACTUAL DAMAGES, IN THE EVENT OF A FAILURE TO CONSUMMATE THIS TRANSACTION DUE TO TRANSFEREE’S DEFAULT, WOULD BE EXTREMELY DIFFICULT OR IMPRACTICABLE TO DETERMINE. AFTER NEGOTIATION, THE PARTIES HAVE AGREED THAT, CONSIDERING ALL THE CIRCUMSTANCES EXISTING ON THE DATE OF THIS AGREEMENT, THE AMOUNT OF THE DEPOSIT IS A REASONABLE ESTIMATE OF THE DAMAGES THAT THE BOARD WOULD INCUR IN SUCH EVENT. EACH SPECIFICALLY CONFIRMS THE ACCURACY OF THE STATEMENTS MADE ABOVE AND EACH PARTY HAS HAD THE OPPORTUNITY TO BE REPRESENTED BY COUNSEL TO EXPLAIN, AT THE TIME THIS AGREEMENT WAS MADE, THE CONSEQUENCES OF THIS LIQUIDATED DAMAGES PROVISION. THE PARTIES REPRESENT THAT THEY HAVE EITHER RETAINED LEGAL COUNSEL, OR HAVE DECLINED TO DO SO. 4. Encumbrances and/or Transfers. a. Existing State Leases. The Board surface leases are listed on Exhibit C. The surface leases shall be either terminated at Closing or assigned to the Transferee as shown on Exhibit C. The Board shall obtain an estoppel certificate from the Lessees of State Lease Lease No. 117726 for the benefit of the Transferee which shall certify that the Board is not in default of State Lease Lease No. 117726. The Board shall provide the estoppel certificate to Transferee as a condition of Closing. b. Limitations on Transfers and Encumbrances. Between the date of this Agreement and the date of Closing or termination of this Agreement, the Board shall not otherwise sell, convey, option, lease, or grant any easement, right-of-way or otherwise encumber the State Property except for leases of geothermal resources, mineral substances, and water resources being reserved to the Board, without the written consent of Transferee. c. Evidence of Title. Transferee shall obtain a commitment of title insurance for this property (“Title Commitment”), the cost of such a commitment shall be at the Transferee’s sole cost and expense. 5. Due Diligence, Inspection, and Condition of Property. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 6 of 21 a. Provided this Agreement is not terminated, the Board shall transfer and Transferee shall accept and take the State Property at Closing “AS IS, WHERE IS, WITH ALL FAULTS” including any preexisting conditions, and shall bear all risk of loss or damage to the State Property occurring after the date of this Agreement. Notwithstanding anything to the contrary in this Agreement, no present or latent defect in the condition of the Exchange Property, whether or not known or discovered, shall give rise to any claim or cause of action against the Board. b. Transferee acknowledges and agrees that the Board has not made, does not make, and specifically negates and disclaims any representations, warranties, promises, covenants, agreements, or guaranties of any kind or character whatsoever, whether express or implied, verbal or written, past, present, or future, of, as to, concerning or with respect to the State Property including, but not limited to: (i) the value, nature, quality, or condition of the State Property, including, without limitation, the water, soil, and geology; (ii) the income to be derived from the State Property; (iii) the suitability of the State Property for any and all activities and uses which Transferee may conduct thereon; (iv) the compliance of or by the State Property or its operation with any laws, rules, ordinances, or regulations of any applicable governmental authority or body; (v) the habitability, merchantability, marketability, profitability, or fitness for a particular purpose of the State Property; or (vi) any other matter with respect to the State Property. Transferee specifically disclaims any representations regarding compliance with any environmental protection, pollution, or land use laws, rules, regulations, orders, or requirements, including solid waste, or the disposal or existence, in or on the State Property, of asbestos or any hazardous substance. c. Transferee shall have until December 18, 2026 to complete any and all investigations and inspections of the Exchange Property (“Inspection Period”). Transferee may elect to end and waive any time remaining in the Inspection Period by delivering written notice to the Board, which notice shall operate to reduce the Inspection Period as provided in such notice. During the Inspection Period, if Transferee determines that the Exchange Property is not suitable or desirable for the Transferee’s use for any reason, Transferee may elect to terminate the Agreement by notifying the Board in writing, at which time this Agreement shall terminate and the Earnest Money shall be refunded to the Transferee. Notwithstanding the preceding sentence, Transferee may not terminate this Agreement pursuant to this Section 5.c. if Transferee is in default under this Agreement. Termination of this Agreement by Transferee pursuant to this Section 5.c. shall not relieve Transferee of any obligation arising under the Agreement on or prior to the date of termination, and Transferee shall continue to be bound by any and all obligations owed but not performed as of the date of termination. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 7 of 21 d. Transferee further acknowledges and agrees that it has been given the opportunity to inspect the State Property and that Transferee is relying solely on Transferee's own investigation of the State Property and not on any information provided or to be provided by the Board other than as is stated in this Agreement. Transferee acknowledges that Transferee may incur substantial costs and expenses in the inspection of the property and in connection with the transaction contemplated herein. Transferee further acknowledges and agrees that all such costs and expenses are at Transferee’s sole risk and expense and that the Board shall have no obligation, liability, or responsibility to Transferee for such costs and expenses. Transferee further acknowledges and agrees that any information provided or to be provided by or on behalf of the Board with respect to the State Property was obtained from a variety of sources and that the Board has not made any independent investigation or verification of such information and makes no representations as to the accuracy or completeness of such information. The Board is not liable or bound in any manner by any verbal or written statements, representations, or information pertaining to the State Property, or the operation thereof, furnished by any real estate broker, agent, employee, servant, or other person. Transferee further acknowledges and agrees that to the maximum extent permitted by law, the exchange of the State Property as provided for herein is made on an “AS IS, WHERE IS, WITH ALL FAULTS” condition and basis. e. Transferee and anyone claiming by, through or under Transferee hereby fully and irrevocably releases the Board, the Board's employees, representatives, and agents, from any and all claims that Transferee may now have or hereafter acquire against the Board, the Board's employees, representatives, and agents for any cost, loss liability, damage, expense, demand, action, or cause of action arising from or related to any defects, errors, omissions, or other conditions, including environmental matters, affecting the State Property, or any portion thereof. f. It is understood and agreed that the Exchange Price reflects that all of the State Property is transferred by the Board and received by Transferee subject to this Paragraph 5. 6. Damage, Liens and Indemnity. Transferee, except as otherwise provided in this Agreement, is responsible for payment for all inspections, tests, surveys, engineering reports, or any other work performed at Transferee’s request (“Work”) and shall pay for any damage which occurs to the State Property as a result of such Work. Transferee shall not permit claims or liens of any kind against the State Property for Work performed on the Property at Transferee’s request. To the extent permitted by law, Transferee agrees to indemnify, protect and hold the Board harmless from and against any liability, damage, cost or expense incurred by Board and caused by any such Work, claims, or lien. The provisions of this section shall survive the termination of this Agreement. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 8 of 21 7. Special District Disclosure. SPECIAL TAXING DISTRICTS MAY BE SUBJECT TO GENERAL OBLIGATION INDEBTEDNESS THAT IS PAID BY REVENUES PRODUCED FROM ANNUAL TAX LEVIES ON THE TAXABLE PROPERTY WITHIN SUCH DISTRICTS. PROPERTY OWNERS IN SUCH DISTRICTS MAY BE PLACED AT RISK FOR INCREASED MILL LEVIES AND EXCESSIVE TAX BURDENS TO SUPPORT THE SERVICING OF SUCH DEBT WHERE CIRCUMSTANCES ARISE RESULTING IN THE INABILITY OF SUCH A DISTRICT TO DISCHARGE SUCH INDEBTEDNESS WITHOUT SUCH AN INCREASE IN MILL LEVIES. TRANSFEREE SHOULD INVESTIGATE THE DEBT FINANCING REQUIREMENTS OF THE AUTHORIZED GENERAL OBLIGATION INDEBTEDNESS OF SUCH DISTRICTS, EXISTING MILL LEVIES OF SUCH DISTRICT SERVICING SUCH INDEBTEDNESS, AND THE POTENTIAL FOR AN INCREASE IN SUCH MILL LEVIES. 8. Governor’s Signature. The Board shall present the Patent to the Governor for signature and all parties shall utilize their best effort to obtain the Governor’s signature provided, however, that nothing herein shall limit the extent, if any, to which the Governor is otherwise obligated by law to sign the Patent. If the Governor shall refuse to sign the Patent the Board shall advise Transferee of such fact, the Earnest Money, if previously paid, shall be returned to Transferee, and this Agreement shall terminate without closing without any costs or recourse against the Board. 9. Closing. a. The consummation of the exchange of the State Property ("Closing") shall take place at the Title Company as soon as reasonably possible after the Patent is signed by the Governor, at a time and place mutually agreed upon by the parties (“Closing Date”), but no later than February 26, 2027, unless an extension is mutually agreed to by the parties in writing. b. Transferee shall pay the Exchange Payment. c. All documents necessary for the consummation of this transaction shall be executed and delivered on or before the Closing Date. d. Upon verification of receipt of the Exchange Payment by the Title Company, the Board shall deliver, at its expense, a Patent or Deed for the State Property in recordable form executed on behalf of the Board, conveying the State Property to Transferee. e. The Board shall deliver possession of the State Property to Transferee on the Closing Date. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 9 of 21 f. Transferee shall pay all closing and recording fees. g. Prorations will be handled on an actual/365 basis. h. If the Closing is delayed for any reason beyond one year from the Effective Date, the Board shall have the right to obtain a new appraisal of the State Property and amend the Exchange Payment to equal the value established by the new appraisal. Transferee shall have the right to review and object to the new appraisal within forty-five (45) days after the day of receipt. If Transferee’s objection is not resolved with thirty (30) days after Transferee’ objection of the new appraisal then this Agreement shall be automatically terminated and all payments and things of value received under this Agreement shall be returned, including full return of the Earnest Money Deposit to Transferee. Otherwise, Transferee shall treat this Agreement as being in full force and effect and Transferee shall pay the amended Exchange Payment as established by the new appraisal. In no event will Transferee be able to claim offset or credit, or recover for improvements made to the State Property. Transferee will have no other remedy at law or in equity and Transferee expressly waives the remedy of damages. 10. Conditions to Closing. The obligation of the Board or Transferee to consummate the transaction contemplated by this Agreement is subject to the satisfaction, at or before Closing of the following conditions: a. The Board and Transferee shall have performed, satisfied and complied with all the covenants, agreements and conditions required by this Agreement to be performed or complied with by the Board and Transferee on or before the Closing Date. b. Transferee must, at its sole expense, obtain and provide to the Board a signed ALTA survey (“ALTA Survey”) and written legal description prepared by a registered surveyor describing the State Property not less than 30 days prior to the Closing Date. The survey must include Table A item 4: Gross Land Area. The Board shall have no fewer than 10 business days to review and affirmatively approve said survey and legal description. c. The Board approves this transaction at a public board meeting of the State Board of Land Commissioners at or before its regularly scheduled October 2026 board meeting. If the Board does not approve this transaction this Agreement shall terminate and become null and void, and the Earnest Money shall be returned to the Transferee. d. The Transferee approves this transaction by approval of a resolution by the Avon Town Council which would be completed on or before October Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 10 of 21 16, 2026. If the Transferee does not approve this transaction this Agreement shall terminate and become null and void, and the Earnest Money shall be returned to the Transferee. e. The Board or Transferee may waive any or all of these conditions in writing, in whole or in part, without prior notice; provided, however, that no such waiver of a condition shall constitute a waiver of either party’s other rights or remedies if the other party shall be in default of any of the covenants under this Agreement. 11. Failure to Close. a. Transferee’s Default. If Transferee, without the right to do so and in default of its obligations under this Agreement, fails to make the Exchange Payment contemplated by this Agreement, or fails to satisfy any other obligation under this Agreement, the Board may elect to treat this Agreement as being in full force and effect and the Board may elect to treat this Agreement as terminated and retain the Earnest Money as liquidated damages as provided in Paragraph 3 of this Agreement (Earnest Money; Liquidated Damages). In no event will Transferee be able to claim offset or credit, or recover for improvements made to the State Property. b. The Board's Default. Except as provided in Paragraph 8 of this Agreement (Governor’s Signature), if the Board, without the right to do so and in default of its obligations under this Agreement, fails to convey the Patent contemplated by this Agreement, Transferee may elect to treat this Agreement as being in full force and effect and the Transferee shall have the right to obtain specific performance of obligations under this Agreement, or Transferee may elect to treat this Agreement as terminated and any Earnest Money paid shall be returned to Transferee. In no event will Transferee be able to claim offset or credit, or recover for improvements made to the State Property. Transferee will have no other remedy at law or in equity for such failure and Transferee expressly waives the remedy of damages. c. Notice That Time of Essence. Time is of the essence. Failure of Transferee to make any payment required under this Agreement, may, at the option of the Board, be determined to be a default. The Board may, but is not required to, allow Transferee to cure such non-payment within ten (10) business days of written notice from the Board of such default. Failure of either party to perform any other obligation required by this Agreement may, at the option of the other party, be determined to be a default; provided, however, that the party deemed in default shall be given ten (10) days written notice of the default and shall be allowed ten (10) days to cure the default. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 11 of 21 d. Force Majeure. Neither party shall be liable to the other for damages for any failure or delay in performance under this Agreement caused directly or indirectly by any person, authority, event or circumstance beyond such party’s reasonable control and without such party’s fault or negligence, including without limitation, fire, casualty, strike, lockout, government control and shortages resulting therefrom, or act of God. 12. Miscellaneous. a. Parties in Interest. All of the terms and provisions of this Agreement will be binding upon, and inure to the benefit of, and be enforceable by the heirs, successors and permitted assigns of the respective parties. Nothing in this Agreement express or implied is intended to confer upon any other person any rights or remedies under or by reason of this Agreement, nor is anything herein intended to create any third party beneficiary status in any other party, except as herein clearly and expressly stated. b. Entire Agreement. There are and were no binding verbal or written representations, warranties, understandings, stipulations, agreements, or promises pertaining to the subject matter of this Agreement made by either party or any agent, employee, or other representative of either party not incorporated in writing in this Agreement or its Exhibits, and neither this Agreement nor any of the Exhibits, terms, provisions, conditions, representations, warranties, or covenants contained in this Agreement can be modified, changed, terminated, amended, superseded, waived, or extended except by an appropriate written instrument duly executed by the parties. c. Disputes. If a dispute arises relating to this Agreement, and is not resolved, the parties shall first proceed in good faith to submit the matter to mediation. The parties will jointly appoint an acceptable mediator and will share equally in the cost of such mediation. In the event the entire dispute is not resolved within thirty (30) calendar days from the date notice requesting mediation is sent by one party to the other, the mediation, unless otherwise agreed, shall terminate. This section shall not alter any date in this Agreement, unless otherwise agreed. d. No Assumption of Liabilities. Transferee has not assumed and does not agree to assume any of the Board’s liabilities or obligations, except as specifically provided in this Agreement. e. Capacity. Transferee has the capacity and authority to enter into this Agreement and to consummate the transaction described herein without the joinder or consent of any other party, subject to approval of this Agreement by Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 12 of 21 adoption of resolution by the Avon Town Council as described in Section 10.d above and subject to other limitations stated in this Agreement. f. Statutory References. Any reference to any statutes or laws or regulations thereunder will include all amendments, modifications, or replacements of the specific sections and provisions concerned. g. Time. In the event the last day permitted for the performance of any act required or permitted under this Agreement falls on a Saturday, Sunday, or holiday, the time for such performance will be extended to the next succeeding business day. Time periods under this Agreement will exclude the first day and include the last day of such time period. All periods of time specified in this Agreement shall be counted in calendar days unless otherwise expressly stated. h. Section and Other Headings. The section and other headings contained in this Agreement are for reference purposes only and will not in any way affect the meaning or interpretation of the text of this Agreement. i. Notice. All notices required or permitted hereunder shall be in writing and shall be served on the parties at the following address: Any Notice to the Transferee shall be addressed: Town of Avon Eric Heil, Town Manager 100 Mikaela Way Avon, CO 801620 with a copy to: Nina Williams Wilson Williams Fellman Dittman 1314 Main Street, Suite 101 Louisville, CO 80027 Any Notice to the Board shall be addressed: Matt LaFontaine 1127 Sherman St, Suite 300 Denver, CO 80203 with a copy to: Ed Hamrick Office of the Attorney General 1300 Broadway, 10th Floor Denver, CO 80202 Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 13 of 21 Any such notices shall be either (i) sent postage prepaid by certified U.S. mail, return receipt requested, in which case notice shall be deemed delivered on the first day that delivery was attempted as shown on the return receipt; (ii) sent by a nationally recognized overnight courier, in which case it shall be deemed delivered one business day after deposit with such courier; (iii) email with read receipt requested; or (iv) personally delivered in which case notice shall be deemed delivered on the same day such notice is so delivered. The above addresses may be changed by written notice to the other party; provided however, that no notice of a change of address shall be effective until actual receipt of such notice by the other party. Copies of notices are for informational purposes only, and a failure to give or receive copies of any notice shall not be deemed a failure to give notice. j. Assignment of Agreement. This Agreement may not be assigned without the consent of the Board, which consent shall be at the Board's sole discretion. k. Survival of Agreement Provisions. To the extent that the provisions herein set forth require performance to be completed subsequent to the Closing, such provisions shall survive the Closing and be binding upon the parties hereto, and shall not merge into the Patent to be delivered in accordance with this Agreement. All agreements and covenants by the parties, which the party to whom performance is owed could reasonably expect to be intended to survive Closing, shall survive Closing and not merge with the Patent. l. Commissions. The Board states that no agents, brokers, or commissions are involved in this transaction. Any commissions or fees for any agents, brokers, or otherwise incurred by Transferee related to this transaction shall be the responsibility of Transferee and not the Board. m. Execution. By signing this document, the Board and Transferee acknowledge that this Agreement has important legal consequences and each has consulted with legal counsel before signing this Agreement. n. Counterparts and Facsimile Signatures. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same Agreement. Signatures may be delivered by facsimile or electronic copy. Facsimile or electronic signatures shall be binding on the parties as if they were originals. o. Full and Accurate Disclosure. No representation or warranty by Seller or the Board made in this Agreement, or in connection with the transaction contemplated, contains or will contain any untrue statement of material fact or omits Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 14 of 21 or will omit to state a material fact necessary to make the standards contained therein not misleading. 13. Special Provisions. a. FUND AVAILABILITY. CRS §24-30-202(5.5). Financial obligations of the State or Transferee payable after the current fiscal year are contingent upon funds for that purpose being appropriated, budgeted, and otherwise made available. b. GOVERNMENTAL IMMUNITY. Liability for claims for injuries to persons or property arising from the negligence of either the State or Transferee, or their respective departments, boards, commissions committees, bureaus, offices, employees and officials shall be controlled and limited by the provisions of the Colorado Governmental Immunity Act, §24-10-101, et seq., C.R.S.; the Federal Tort Claims Act, 28 U.S.C. Pt. VI, Ch. 171 and 28 U.S.C. 1346(b), and the State’s risk management statutes, §§24-30-1501, et seq. C.R.S. No term or condition of this Agreement shall be construed or interpreted as a waiver, express or implied, of any of the immunities, rights, benefits, protections, or other provisions, contained in these statutes. No term or condition of this Agreement shall be construed or interpreted as a waiver, express or implied, of any of the immunities, rights, benefits, protections, or other provisions, of the Colorado Governmental Immunity Act, CRS §24-10-101 et seq., or the Federal Tort Claims Act, 28 U.S.C. §§1346(b) and 2671 et seq., as applicable now or hereafter amended. c. COMPLIANCE WITH LAW. Transferee shall strictly comply with all applicable federal and State laws, rules, and regulations in effect or hereafter established, including, without limitation, laws applicable to discrimination and unfair employment practices. d. CHOICE OF LAW, JURISDICTION, AND VENUE. Colorado law, and rules and regulations issued pursuant thereto, shall be applied in the interpretation, execution, and enforcement of this Agreement. Any provision included or incorporated herein by reference which conflicts with said laws, rules, and regulations shall be null and void. All suits or actions related to this Agreement shall be filed and proceedings held in the State of Colorado and exclusive venue shall be in the City and County of Denver. e. PROHIBITED TERMS. Any term included in this Agreement that requires the State to indemnify or hold Transferee harmless; requires the State to agree to binding arbitration; limits Transferee’s liability for damages resulting from death, bodily injury, or damage to tangible property; or that conflicts with this provision in any way shall be void ab initio. Nothing in this Agreement shall be construed as a waiver of any provision of §24-106-109 C.R.S. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 15 of 21 f. EMPLOYEE FINANCIAL INTEREST/CONFLICT OF INTEREST. CRS §§24-18-201 and 24-50-507. The signatories aver that to their knowledge, no employee of the State has any personal or beneficial interest whatsoever in the service or property described in this Agreement. Transferee has no interest and shall not acquire any interest, direct or indirect, that would conflict in any manner or degree with the performance of Transferee’s services and Transferee shall not employ any person having such known interests. 14. [intentionally deleted]. 15. Legal Counsel. THIS AGREEMENT IS A LEGAL INSTRUMENT. IF NOT UNDERSTOOD, LEGAL, TAX OR OTHER COUNSEL SHOULD BE CONSULTED BEFORE SIGNING. EACH PARTY HAS HAD THE OPPORTUNITY TO BE REPRESENTED BY COUNSEL TO EXPLAIN, AT THE TIME THIS AGREEMENT WAS MADE, THE CONSEQUENCES OF THIS AGREEMENT. THE PARTIES REPRESENT THAT THEY HAVE EITHER RETAINED LEGAL COUNSEL, OR HAVE DECLINED TO DO SO. 16. Additional Conditions. a. This Agreement shall be subject to, and conditioned upon, Transferee obtaining various funding sources which are anticipated to contribute towards the necessary Exchange Payment by January 29, 2027 (“Financing Contingency Date”). These anticipated funding sources include Prop 123 Land Banking Grant funds, and potential funding contribution from Eagle County, Town of Vail, and/or Habitat for Humanity. If Transferee does not obtain adequate financing and funding contributions as determined in Transferee’s sole discretion, then Transferee may provide a Notice of Financing Objection by January 29, 2027 and this Agreement shall automatically terminate and all things of value received shall be returned including the full return of the Earnest Money to the Transferee. b. Transferee represents that this transaction is exempt from Avon’s two percent (2%) Real Estate Transfer Tax. (Signatures on following page) Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 16 of 21 IN WITNESS WHEREOF, the parties executed this Agreement as of the date first written. Town of Avon Signature: Eric Heil, Avon Town Manager State of Colorado County of Eagle The foregoing instrument was acknowledged before me this day of , 20 , by the of the Town of Avon. Witness my hand and official seal. Notary Public My commission expires: Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 17 of 21 STATE OF COLORADO ACTING BY AND THROUGH THE STATE BOARD OF LAND COMMISSIONERS By: Title: _________________________, Colorado State Board of Land Commissioners Signature: State of Colorado City & County of Denver The foregoing instrument was acknowledged before me this day of , 20 , by ______________________, as _______________________, Colorado State Board of Land Commissioners. Witness my hand and official seal. Notary Public My commission expires: Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Assistant Director of Sustainability and Working Lands Eliot Hoyt Page 18 of 21 EXHIBIT A Legal Description A portion of Section 16, Township 5 South, Range 81 West, North of Interstate 70 in Eagle County, Colorado totaling 76.116 gross acres, more or less; as depicted on the map below. A legal description based on the ALTA Survey provided under Paragraph 10.b. of this Agreement will be substituted when complete. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 19 of 21 EXHIBIT B Covenants, Easements, Restrictions, Rights of Ways, Other Encumbrances in Board’s ATLAS Asset Management Database 102943 DENVER & RIO GRANDE WSTN RR CO [54147-8528] 103203 CDOT DENVER [53924-8326] 103295 C W SMITH [55476-9803] 104146 HOLY CROSS ELECTRIC ASSN INC [54557-8907] 104160 CDOT DENVER [53924-8326] 104187 MTN STATES TEL & TEL CO/DENVER [51531-6199] 104222 CDOT DENVER [53924-8326] 104223 HOLY CROSS ELECTRIC ASSN INC [54557-8907] 104224 HOLY CROSS ELECTRIC ASSN INC [54557-8907] 104236 UPPER EAGLE VLY SANITATION DIST 104241 SCHOOL DIST RE-503/EAG [54571-8920] 104250 JACK OLESON 104258 COLORADO-UTE ELEC ASSN 104311 HOLY CROSS ELEC ASSN INC/GLEN [51015-5693] 104318 SCHOOL DISTRE-50J/EAG [54621-8966] 104353 PUBLIC SERVICE CO COLO 104383 MTN STATES TEL & TEL CO/DENVER [51531-6199] 104538 HOLY CROSS ELEC ASSN INC/GLEN [51015-5693] 104542 MTN STATES TEL & TEL CO/DENVER [51531-6199] 104560 EAGLE COUNTY [54766-54766] 104584 HOLY CROSS ELECTRIC ASSN INC [54557-8907] 104612 UPPER EAGLE VLY SANITATION DIST Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 20 of 21 EXHIBIT B cont. 105120 VAIL VALLEY CONSOLIDATED WATER [57609-11832] 105121 UPPER EAGLE VLY CONSOL SAN DIS [56395-10689] 105199 PUBLIC SERVICE COMPANY OF COLORADO RIGHTS OF WAY & PERMITS 105271 EAGLE RIVER WATER &SANITATION [61139-14338] 105287 EAGLE COUNTY GOVERNMENT [63450-63450] 105295 HOLY CROSS ENERGY [93819-93819] 105354 EAGLE COUNTY [54766-54766] 105463 PUBLIC SERVICE COMPANY OF COLORADO RIGHTS OF WAY & PERMITS 112173 HOLY CROSS ELECTRIC ASSN INC [54557-8907 *The above items shall be removed from the Patent only upon confirmation by surveyor that they do not encumber the State Property. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 21 of 21 EXHIBIT C State Surface Leases State Lease No. Type of Lease Lessee Terminate or Assign? Payments owed and by whom 117726 Ground Lease VAIL HOME PARTNERS CORPORATION Assign Prepaid rents credited to Transferee 111021 Timber Management Colorado State Forest Service amended to remove State Property none 115930 Hunting and Fishing Access Colorado Parks and Wildlife amended to remove State Property none Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 1 of 8 STATE OF COLORADO STATE BOARD OF LAND COMMISSIONERS NO SURFACE OCCUPANCY AGREEMENT Agreement No. «NLTRANID» THIS NO SURFACE OCCUPANCY AGREEMENT (the “Agreement”), dated February __, 2027 (“Effective Date”), is made and entered into by and between the STATE OF COLORADO, acting by and through the STATE BOARD OF LAND COMMISSIONERS (“Board”), located at 1127 Sherman Street, Denver, CO 80203 and the TOWN OF AVON, a home rule municipal corporation of the State of Colorado (“Avon”), whose address is 100 Mikaela Way, Avon, CO 801620. The Board and Avon are referred to in this Agreement individually as a “Party” and collectively as the “Parties”. RECITALS WHEREAS, the Board and Avon entered into that certain Agreement to Non- Simultaneous Exchange of Real Property, effective as of [date] (“NSE Agreement”); WHEREAS, pursuant to the NSE Agreement, the Board conveyed to Avon the real property described in Patent No. [X], effective as of the Effective Date (“Patent”) subject to the reservations and exclusions set forth therein (“Patent Property”); WHEREAS, among the reservations to the Board in the Patent, the Board reserved title and all rights to any and all surface and sub-surface pore space, minerals, ores, and metals, of any kind and character, and all coal, asphaltum, oil, gas, or other like substances, and all geothermal resources in, on, or under the Patent Property (such retained estate referred to as the “Reserved Mineral Estate”) and rights of ingress and egress in, on, under, over, across and through the Patent Property for the purposes of exploration, production, mining, extraction, storage, sequestration, and removal of or access to such substances and resources, together with enough of the surface as may be necessary for the proper and convenient working of such substances and resources, and the right to cross Avon’s land adjoining the Patent Property, if any, to access the Reserved Mineral Estate; WHEREAS, on property adjacent to the Patent Property, the Board owns certain surface and sub-surface pore space, minerals, ores, and metals, of any kind and character, and all coal, asphaltum, oil, gas, or other like substances, and all geothermal resources in, on, or under the adjacent property (“Adjacent Mineral Estate”); and WHEREAS, the surface property subject to this Agreement is set forth and described on Exhibit A attached hereto and made a part hereof, which is the same as the Patent Property; NOW, THEREFORE, for good and valuable consideration, including the Consideration set forth in the NSE Agreement, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 2 of 8 AGREEMENT 1. TERM – The term of the Agreement shall be ninety-nine (99) years until February ##, 2126 (“Term”), and subject to renewal at the written election of the Board, acting in its sole discretion. Renewal may be subject to new terms and conditions (including requiring additional consideration) as determined by the Board in its sole and absolute discretion and consistent with the then-current policies, procedures, rules, regulations, and laws applicable to the Board. 2. CONSIDERATION – At Closing of the transactions contemplated by the NSE Agreement, Avon agreed to restrict development and use of the Patent Property to deed restricted residential workforce housing and accessory uses as are defined in the Town of Avon’s applicable Community Housing zone district designation (“Community Housing”) and parks, open space and recreation uses with a right to profits, right of first refusal, and reversionary clause as provided in the NSE Agreement as consideration (“Consideration”) for the Board’s entry into this Agreement. 3. PERMITTED PRODUCTION - The Board, and any of its duly-authorized contractors, agents, permittees, lessees, licensees, or representatives of any kind (collectively, “Board Representatives”), may exercise any and all rights they have to the Reserved Mineral Estate, which include without limitation, the right to drill, inject into, sequester, excavate, dredge, mine, extract, explore for or otherwise develop, or cause such development, and/or lease for such development any pore space, mineral resources and hydrocarbons located in, on, under or below the surface of the Patent Property provided that such exercise will not occupy, or permit a third party to occupy, the surface of the Patent Property, and further provided that (i) the Board shall require that any third party operator shall comply with any and all applicable laws and regulations, including those related to the structural integrity of the surface of the Patent Property, and (ii) any instrument granting the exercise of such rights to a third party shall require the third party to act as a reasonably prudent operator with respect to protecting the overlying surface of the Patent Property. When developing any mineral resources, pore space, and hydrocarbons under the Patent Property the Board and the Board Representatives shall comply with the rules and regulations of the Colorado Energy and Carbon Management Commission (ECMC), the Department of Reclamation, Mining and Safety (DRMS), the Colorado Department of Public Health and the Environment (CDPHE), Eagle County, Avon, and any other governmental agency with authority to regulate such activities. It is understood by the Parties that this Agreement and restrictions of Section 3 pertain only to the use of the surface of the Patent Property, exclusive of pore space, in connection with development of the Reserved Mineral Estate. This Agreement is not intended to and shall not restrict, prohibit or limit in any way (i) the use of the Board’s surface estate, Adjacent Mineral Estate or other property rights, privately-owned or otherwise, adjacent to or surrounding the Patent Property, (ii) any rights to or use of the Reserved Mineral Estate owned by the Board, except as expressly set forth in this Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 3 of 8 Section 3; (iii) any rights the Board may have to access and/or develop its other rights reserved in Patent No. [X], including without limitation any water rights or rights to cultural resources; and (iv) any rights of the Board to use pore space underlying the Patent Property. 4. TRANSFER AND ASSIGNMENT – The Board and Avon agree and acknowledge that this Agreement, including any provision herein, shall not create any (i) covenant, (ii) right or obligation which shall run with the land, or (iii) any type of perpetual right or obligation. The Parties expressly intend that this Agreement and the mutual promises contained herein are personal to the Parties and shall not be assignable or delegable and shall not bind or be enforceable by subsequent owners of all or a portion of the surface of the Patent Property or Reserved Mineral Estate. Avon may transfer or assign this Agreement to subsequent owners of the surface of the Patent Property only with the prior, written consent of the Board, which consent the Board may withhold, condition or delay in its sole and absolute discretion. Any assignment or transfer of this Agreement contrary to this Section 4 shall be void ab initio and shall give the Board the option to terminate this Agreement upon written notice to Avon. Any assignments approved pursuant to this Section will be subject to the assignment fee set by the Board in effect at the time assignment approval is requested. 5. NO SURFACE OWNER RIGHT TO MINERAL ESTATE OR TO DEVELOP MINERALS – Avon agrees and acknowledges that this Agreement does not provide any right for Avon to engage in any extraction, exploration, development, or other activity in connection with the development, of the Reserved Mineral Estate. Avon must obtain a mineral lease or other authorization from the Board in connection with any such activity, and such activity will be subject to all terms and conditions of such agreement. In the event Avon, without written agreement or other written authorization from the Board, engages or permits any extraction, exploration, development, or other activity in connection with the development, of the Reserved Mineral Estate, the Board may pursue any and all claims available at law or equity and may terminate this Agreement upon written notice to Avon. 6. SURRENDER AND TERMINATION – a. Avon may at any time surrender and cancel this Agreement insofar as the same covers all or any portion of the Patent Property, provided that this surrender clause shall become inoperative immediately and concurrently with the institution of any suit in any court of law by Avon, the Board, or any assignee of the Board to enforce this Agreement or any of its terms, express or implied. b. This Agreement shall terminate if the Patent Property reverts to the Board. c. If this Agreement is cancelled, surrendered, or terminated for any reason, the Consideration shall be forfeited and the Board shall not make any refunds to Avon, and Avon expressly waives any right it may have to repayment of the Consideration. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 4 of 8 7. UNIT AGREEMENTS - The Board may permit the Reserved Mineral Estate to be unitized or pooled with other lands, provided that such unit agreement requires any operator of a unitized or pooled area that includes any portion of the Reserved Mineral Rights to be subject to the terms, conditions and limitations of this Agreement. 8. COMPLIANCE WITH LAW - Nothing in this Agreement shall be construed as a waiver by the Board of any right or remedy given to it by law for the administration of Board owned minerals or other property rights. 9. FALSE STATEMENTS AND NONCOMPLIANCE – Any material misrepresentation or false statement by Avon, or failure to comply with any of the conditions set out in this Agreement or in the No Surface Occupancy Application, which shall be incorporated herein and made a part hereof, may, at the discretion of the Board, result in cumulative remedies which include penalties, immediate termination of this Agreement, or an action for damages. 10. CONDEMNATION - If the Board's Reserved Mineral Estate shall be taken in any condemnation proceeding, this Agreement shall automatically terminate as of the date of taking. If only a portion of the Reserved Mineral Estate is taken by condemnation, only that portion of the Agreement relating to the Patent Property overlying the Reserved Mineral Estate so taken shall terminate. Any award for condemnation of the Board’s Reserved Mineral Estate shall be paid to, and wholly retained by, the Board. 11. ENTIRE AGREEMENT AND AMENDMENTS - This Agreement and all documents incorporated herein by reference represent the entire agreement between the Parties hereto. Prior or contemporaneous additions, deletions, or other changes to this Agreement will not have any force or effect whatsoever, unless written in this Agreement. No oral agreement shall be held to vary the provisions hereof. This Agreement shall not be amended or ratified except by written document executed by the Parties hereto. 12. GOVERNING LAW, JURISDICTION, AND VENUE - This Agreement shall be governed by and construed in accordance with the laws of the State of Colorado. The exclusive jurisdiction for all suits, actions, or proceedings related to this Agreement will be in the State of Colorado and the exclusive venue will be in the City and County of Denver. 13. NO JOINT VENTURE – The Board is not and will not be construed to be a partner, joint venturer or associate of Avon in the conduct of the business of Avon. The Board shall not be liable for any debts incurred by Avon in the conduct of Avon’s business. 14. NO THIRD PARTY BENEFICIARY - Nothing in this Agreement is intended, nor will be deemed, to confer rights or remedies upon any person or legal entity not a party to this Agreement including without limitation any party to whom Avon conveys all or a portion of the Patent Property. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 5 of 8 15. RIGHT TO ENFORCE – If Avon conveys all or a portion of the Patent Property, Avon shall retain the right to enforce this Agreement for the duration of the Term for all the Patent Property including any portion conveyed. 16. CONSTRUCTION AGAINST THE DRAFTER - In the event of an ambiguity in this Agreement the rule of construction that ambiguities will be construed against the drafter does not apply and the parties hereto will be treated as equals and no party will be treated with favor or disfavor. 17. GOVERNMENTAL IMMUNITY – Liability for claims or injuries to persons or property arising from the negligence of the State of Colorado, its departments, institutions, agencies, boards, officials, and employees is controlled and limited by the provisions of the Governmental Immunity Act, C.R.S. § 24-10-101 et seq., and the risk management statues, C.R.S. § 24-30-1501 et seq., as amended. Avon represents that its liability for claims or injuries to persons or property arising from the negligence of Avon, its directors, officials, and employees is controlled and limited by the provisions of the Governmental Immunity Act, C.R.S. § 24-10-101 et seq. No term or condition of this Agreement will be construed or interpreted as a waiver, express or implied, of any of the immunities, rights, benefits, protections, or other provisions, of the Governmental Immunity Act as applicable now or hereafter amended. 18. COLORADO OPEN RECORDS ACT (“CORA”) DISCLOSURE – To the extent not prohibited by federal law, this Agreement and the performance measures if any, are subject to release through CORA, C.R.S. § 24-72-200.0 et seq. 19. COUNTERPARTS – This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all of which taken together shall constitute one and the same agreement. 20. SIGNATURES - Signatures required in this Agreement shall be either original “wet” handwritten signatures or digital signatures in accordance with the Colorado State Controller Contract, Grant and Purchase Order Policies regarding the use of digital signatures issued under the State Fiscal Rules. If any signatory signs this Agreement using a digital signature in accordance with the Colorado State Controller Contract, Grant and Purchase Order Policies regarding the use of digital signatures issued under the State Fiscal Rules, then any agreement or consent to use digital signatures within the electronic system through which that signatory signed shall be incorporated into this Agreement by reference. 21. AUTHORITY - If Avon is an entity other than an individual, each individual executing this Agreement on behalf of said entity represents and warrants that he or she is duly authorized to execute and deliver this Agreement on behalf of said entity and that this Agreement is binding upon said entity in accordance with its terms. Each person or entity signing the Agreement on behalf of the Board has the full and unrestricted authority to execute and deliver this Agreement and to grant the rights granted herein. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 6 of 8 22. NO WAIVER – The failure of either Party to insist, in any one or more instances, upon a strict performance of any of the obligations, covenants, or agreements contained within this Agreement shall not be construed to constitute a waiver, relinquishment, or release of such obligations, covenants, or agreements. 23. SUBJECT TO EXISTING ENCUMBRANCES – This Agreement is subject to any and all covenants, restrictions, easements or rights-of-way, whether or not visible on the ground and whether or not of record. 24. NO RECORDING - Neither Party may record this Agreement in any real property records. Recordation of this Agreement will be grounds for termination at either Party’s option, effective upon written notice to the other Party. If this Agreement is recorded in breach of this Section, both Parties agree to take such action, and cause such things to be done, to evidence the relinquishment and termination of this Agreement in the appropriate county records within five (5) business days of the termination of this Agreement. [signature page follows] Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 7 of 8 IN WITNESS WHEREOF, the Board and the Avon, by their signatures below, agree to the terms of this Agreement, effective as of the Effective Date: TOWN OF AVON: By: ____________________________________ ______________________ Eric Heil, Avon Town Manager Date Attest:__________________________________ ______________________ Miguel Jauregui Casanueva Date Approved As to Form:______________________________ ______________________ Nina Williams, Town Attorney Date STATE OF COLORADO BY THE STATE BOARD OF LAND COMMISSIONERS By: _________________________________ Benjamin Teschner, Solid Minerals Manager Date Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 Page 8 of 8 EXHIBIT A A portion of Section 16, Township 5 South, Range 81 West, North of Interstate 70 in Eagle County, Colorado totaling 76.116 gross acres, more or less; as depicted on the map below. A legal description based on the ALTA Survey provided under Paragraph 10.b. of Non-Simultaneous Exchange Agreement between the Parties will be substituted when complete. Docusign Envelope ID: 7911FFA3-5D59-8ADE-8252-78767A774086 970-748-4023 jskinner@avon.org Page 1 of 8 TO: Honorable Mayor Tamra N. Underwood and Council members FROM: Jena Skinner, AICP, Planning Manager RE: FIRST READING ORDINANCE 26-07 | 2026 Avon Community Housing Plan PUBLIC HEARING: CPA26-001 Comprehensive Plan Amendment DATE: August 21, 2026 SUMMARY: This report presents to the Avon Town Council (“Council”) First reading of Ordinance 26-07 (“Attachment A”), a Comprehensive Plan Amendment (“CPA”) application to update the 2021 Avon Community Housing Plan (“Plan”). The Plan (“Exhibit B”) is a supplemental document to the Town of Avon Comprehensive Plan. Staff is proposing to replace the existing 2021 Plan document with the 2026 Plan document in its entirety. As such, a redline of the changes is not proposed as there is too much being affected. The Avon Planning and Zoning Commission (“PZC”) conducted public hearings and reviewed this Plan on June 8, 2026, June 22, 2026, July 13, 2026, and August 10, 2026 and then took formal action to recommend Council approve the 2026 Avon Community Housing Plan. Versions of the previous Staff Reports and Draft Plan iterations can be found as links on the last page of this report. PRESENTATION: Staff conducted a community open house to review the 2026 Avon Community Housing Plan on Monday, July 20, 2026. The presentation is attached as Attachment E: Community Open House Housing Presentation. Here is a link to the video of the presentation LINK. BACKGROUND: Council adopted the Avon Community Housing Plan by Ordinance 18-07 on August 28, 2018, and later approved amendments to the (current) plan in 2021 with Ordinance 21-13. Since then, the Council has established several housing-related policies, programs, regulations, and financial tools through resolutions, ordinances, or voter approval. Many goals and recommendations from the original plan have been accomplished. Jurisdictions in Eagle County periodically participate in Housing Needs Assessments (also called an analysis) (“HNA”), with the most recent version completed in 2025. The HNA identifies current demand and future housing needs in the Eagle River Valley at each Area Median Income (“AMI”) level. It guides policies, programs, partnerships, preservation, new development, and funding to meet housing goals. Future grant funding and discounted financing, including Prop123, rely on HNA data and findings. This Plan incorporates key HNA data to support the Town’s community housing goals and strategies. The data in this recent plan makes this proposed Plan amendment timely and provides a contemporary context for Avon’s housing situation in 2026. The proposed Plan updates the existing Goals and Objectives, Demand, Housing Costs and Area Median Income (“AMI”), Strengths and Assets, and Tools and Strategies, currently in the 2021 Plan. Appendices regarding Definitions, AMI Tables, and Implemented Housing Strategies are also preexisting, with new sections and appendices added as detailed in the table below. As Avon’s housing data becomes more readily available, regular updates to the Plan are recommended. Since 2021, Community Housing has become the premier concern for Avon. Moving forward, amending the Plan more frequently to continually reflect Town accomplishments, upcoming initiatives, and shifts in policy direction, will be useful for several reasons including use of this plan as a basis for achieving State funding. AMENDMENTS: The 2026 Avon Community Housing Plan presents a significant rewrite from the 2021 Community Housing Plan document which is due to the amount of progress realized in the last five years, a more detailed focused on projects and programs, and incorporation of the Regional Housing Needs Assessment and inclusionary goals and strategies. The 2026 Avon Community Housing Plan document CPA26-001 – 2026 Avon Housing Plan August 25, 2026 Page 2 of 8 shall replace the existing 2021 Avon Community Housing Plan in its entirety. A redline comparison is not provided due to the substantial revisions and updates in language throughout the document. Updates to the Housing Plan include: 1. Incorporation of the Eagle County Regional Housing Needs Analysis data and unit allocation for the Town; 2. Elements of Colorado Department of Local Affair’s (“DOLA”) Housing Action Plan, the action document that complements the Housing Needs Analysis; 3. Policies outlining Inclusionary Zoning and Employee Mitigation, for consideration; 4. Addition of language acknowledging sustainability intentions and equity as they relate to housing; 5. Recognition of the valuable Aspens Community; 6. More robust introduction with the intention to provide more context surrounding the Plan in general. This is consistent in how we are writing newer plans; 7. Additions of informational sidebars, footnotes, and illustrations that help support the text; 8. Introduction of Avon Community Housing projects; Community Development intends to update Plan data more frequently to ensure it remains relevant and consistent with the approach taken in the Avon Community Housing Policies. The attached Ordinance reflects this intention more directly. Plan Framework: EXISTING PLAN - 2021 PROPOSED PLAN - 2026 Introduction Introduction Goals & Objectives Goals Demand Objectives Housing Costs & Area Median Income (AMI) Demand Strengths & Assets Housing Cost & Area Median Income (AMI) Tools & Strategies Strengths & Assets Appendix 1: Definitions & Best Practices Strategies Appendix 2: Area Median Income for Eagle County 2021 Investment Guidelines Appendix 3: Implemented Community Housing Strategies The Aspens: Community Preservation Appendix A: Housing Projects Appendix B: Implemented Community Housing Strategies Appendix C: Incomes Appendix D: Definitions & Best Practices Appendix E: Housing Needs Assessment CPA26-001 – 2026 Avon Housing Plan August 25, 2026 Page 3 of 8 DISCUSSION: Since the 2021 Plan, several significant changes have occurred, including the introduction of Short Term Rental licensing tiers and requirements, a nationally recognized housing crisis, and a shift from a resort-based population to more permanent residents due to COVID. In 2026, with an updated HNA and with the State advancing or mandating Prop 123 to fund new housing, the next step is to review Avon’s housing goals and programs. This review by Staff and the Planning and Zoning Commission assesses their effectiveness and determines whether additional solutions, such as Inclusionary Housing Mitigation regulations, are useful in procuring new Community Housing units. Inclusionary Mitigation, implemented in several other jurisdictions, requires developers to reserve a set percentage of new residential units for low- to moderate-income households. This approach fosters mixed- income communities and addresses exclusionary housing practices, such as building only luxury condos. Unlike Avon’s current Employee Mitigation program, which captures dedicated housing for new employees generated as an outcome of new development, Inclusionary Mitigation would apply to residential and mixed- use projects to capture Community Housing as a general element. Determining the appropriate percentage for these mitigation tools for Avon is challenging; a rate set too low yields few units, while a rate set too high may discourage development. Staff currently feels that the Employee Mitigation section and requirements need to be clarified and the calculation and or mitigation requirement to be updated to reflect the direction of development and the realities of our current job market as it relates to housing. Staff also is supportive of researching and engaging in steps to incorporate Inclusionary Mitigation, as redevelopment of areas like East Town Center is anticipated, and much of it has zoning already in place for multi-story mixed use. PZC RECOMMENDATION: The PZC thoughtfully reviewed the key discussion points presented by Staff regarding Inclusionary Mitigation, Employee Mitigation, and Short Term Rentals. Ultimately, in recommending Council approve the proposed plan, this action also recommends Council consider incorporating or modifying these tools into our “Community Housing toolbox”. The following statements reflect these discussions: Inclusionary Zoning Mitigation: Staff presented an example of how an Inclusionary Mitigation program could be implemented in Avon. Instead of a simple percentage for inclusion, Staff demonstrated various programming including the sliding scale as shown right, which suggests a possibility for a range of required units to a max of 50% based on the potential mix of restricted housing unit types. This innovative example would give Avon the ability to work with developers to achieve a unique outcome of housing. Staff provided the PZC the same list of Inclusionary Mitigation programs from peer jurisdictions, as attached to this report as Attachment D. Employee Mitigation: The current employee mitigation rate is 20% for this existing provision found HERE. Somewhat hard to understand when calculating this program, the PZC is in agreement with Staff that it is appropriate to revamp this section to be clearer and easier to understand, and in increasing the percentage from 20% to a greater number. Short Term Rentals (STR): Staff did not propose or recommend additional analysis or review of STR regulations because Staff believes the current regulations in the old Avon area are working appropriately and that Council recently took action to clarify and define STRs in the Village (at Avon). Specifically, Staff finds that STR licenses and STR tax revenue have stabilized and declined slightly since the last STR COMMUNITY HOUSING REQUIREMENT EXAMPLE CPA26-001 – 2026 Avon Housing Plan August 25, 2026 Page 4 of 8 regulations were adopted in 2023. Staff conducted a building by building review of properties that allow unlimited STR licenses, which demonstrates that the number of STR licenses for these properties average have 30-40% of the total units. This information supports the finding that STRs are stabilized and not proliferating. To ensure the 2026 Community Housing Plan is updated accurately, Staff engaged the PZC in conversations about STRs, as the 2021 Plan recommended certain STR considerations (Page 9), such as tiered licensing and a cap on licenses. Avon PZC was specifically asked if they had any additional STR concerns or priorities to address. The following was discussed by the PZC: Short Term Rentals (for a period fewer than 30 days) in Avon are subject to a 10% Avon tax (4% Sales, 4% Accommodations, 2% STR) plus State, Eagle County Tax, and Eagle River Fire Protection District, on the gross rental price. Avon’s STR tax was effective January 1, 2022. Avon’s STR tax is low compared to the STR tax in other communities, but the total tax on lodging in Avon is above the average and median compared to our peer communities. Avon PZC felt it may be appropriate to consider a future increase of 2% for this tax to assist in the gap of funding for Community Housing. The PZC discussed the potential in decreasing the existing STR percentage for capped properties from 15% to 10%, in response to the market conditions, and discussed exploring a future increase to the STR tax (to (e.g., 4%) to help fund more Community Housing projects and programs. PZC reached a general consensus that by raising the STR tax to 4%, it would capture the deficit between lodging, and the accommodation tax and Avon would still have a tax rate that is within the upper mid-range of peer communities. PZC also recognized that commercial lodging properties pay property tax at nearly four times the rate of residential properties and that an increased STR tax would move towards equalizing the cost of commercial hotels with private residential available for short term rental. PZC agreed that increasing the STR tax may increase interest in renting residences for the long-term rather than short term while at the same time recognizing that new construction free market residential properties had too high of a cost for any potential affordable long-term rental opportunities. Ultimately, PZC did not recommend any additional language concerning STRs then what was presented in the Plan by Staff. See Attachment C, Tax Information for STR tax increase scenarios and other information, presented to the PZC. The General Plan: Staff made several updates throughout the meetings, ensuring that the PZC had a solid foundational knowledge of housing and why Avon is approaching this update in the way they are. The Plan in this packet reflects the recommended suggestions PZC members made to Staff between the four (4) meetings. This includes the addition of visual aids to support the text as presented to foster a greater understanding of the housing plan to all readers, not just to developers or housing industry people. This allows the Plan to remain at “30,000 feet in the air” but still provide actionable and informative information. During these meetings, Staff also refined the plan to align with DOLA’s required information for Proposition 123, instead of creating a separate Housing Action Plan ("HAP"). Footnotes highlight key points from DOLA’s HAP requirements for clarity. These actions support Avon’s efforts to secure Proposition 123 funding for various projects and assistance, and during presentations, Staff took the time to educate the PZC in Avon’s ongoing housing efforts, including the difficulties in creating housing for lower AMI levels. As a result, the PZC ensured that Staff include language with, “consideration of social, environmental, and climate equity in the development of Community Housing projects, programs and policies that recognize that lower income and often marginalized sections of communities often suffer disproportionately with existing housing conditions, cost burdens, and other impacts”. This topical language was then inserted throughout the document to create consistency with the objectives of the document and the priorities of the PZC in recognizing all AMI and income levels and the needs of all our community members. CPA26-001 – 2026 Avon Housing Plan August 25, 2026 Page 5 of 8 PZC MOTION: “I recommend Council approve the proposed Avon Community Housing Plan update based on the findings presented in Staff’s report, and language as amended/edited by the PZC.” PROCESS: Public notification for adoption of a Comprehensive Plan Amendment is subject to the Avon Development Code (“Code”) requirements. The Housing Plan is considered an extension of the “Comprehensive Plan” by definition, and subject to the notification and approval process per Code. Published notification was provided in the Vail Daily. PLANNING ANALYSIS: The following section includes the applicable commentary and analysis for CPA26-001 (Comprehensive Plan Amendment). REVIEW CRITERIA. Council shall use the following review criteria as found in AMC §7.16.030 as the basis for recommendations and decisions on applications to amend the Avon Community Housing Plan, an extension of the Avon Comprehensive Plan: (1) The land use as proposed in the Plan amendment is compatible with the surrounding area; Staff Response: This Plan (amendment) does not affect any specific property outside of what is slated for Community Housing projects as identified in the Plan, or, if private entities are seeking guidance with independent projects in Avon. Importantly, Avon has a clear and unwavering priority for Community Housing, which is decidedly an essential public benefit throughout the Town boundary. (2) Transportation services and infrastructure have adequate current capacity or planned capacity, to serve potential traffic demands of the land use proposed in the plan amendment, if applicable; Staff Response: Not applicable. This Plan does not affect infrastructure; rather, it acknowledges the goals, policies, and actions needed in creating and supporting Community Housing projects. Specific details concerning development impacts will be subject to this analysis once a project has determination. More specifically, land use applications for potential redevelopment opportunities or expansion of Town boundaries would be reviewed on a case-by-case basis and only considered if mutually agreed upon by an Applicant and the Avon Town Council. Water availability in particular is reviewed in the greater context of the region by the Upper Eagle River Regional Water Authority. In some cases, water may be allocated by the Town or other members of the Water Authority for Community Housing efforts, should the Town be approached for inclusion by a property owner seeking annexation for a residential project for workforce housing and/or other uses. (3) Public services and facilities have adequate current capacity or planned capacity to serve the land use proposed in the plan amendment; PUBLIC NOTICE ANALYSIS & STAFF REPORT PZC PUBLIC HEARING RECOMMENDATION June 8, 2026 June 22, 2026 July 13, 2026 August 10, 2026 TOWN COUNCIL PUBLIC HEARING 1st Reading August 25, 2026 2nd Reading Sept. 8, 2026 CPA26-001 – 2026 Avon Housing Plan August 25, 2026 Page 6 of 8 Staff Response: The Housing Plan itself does not provide specific or general information regarding public services, utilities, land use, or infrastructure capacity, and this amendment does not seek analysis of a specific development application at this time. The Comprehensive Plan offers more detail to this effect, and through active development plan applications, detailed development reviews will determine any potential impacts and or mitigation. (4) The proposed land use in the plan amendment will result in a better location or form of development for the Town, even if the current plan designation is still considered appropriate; Staff Response: This Housing Plan update does not propose any amendments pertaining to any specific developments, outside of projects already slated for Community Housing. .Many of these project locations have already been assessed for the appropriateness of its location. (5) Strict adherence to the current plan would result in a situation neither intended nor in keeping with other key elements and policies of the plan and current planning and community trends; Staff Response: This update intends to increase its relevancy with current housing trends and the Community Housing goals and policies evolving since the Plan’s last update in 2021. It is appropriate to update this plan in 2026, as Avon is focused on increasing Community Housing. (6) The proposed plan amendment aligns or is in conformance with the applicable purposes stated in this Development Code; Staff Response: The Plan supports, compliments, and expands the Comprehensive Plan by focusing specifically on housing, whereas the Comprehensive Plan is more generic and captures guidance for a variety of goals and objectives for the larger Town. Updating the Comp Plan in this manner supports and allows both documents to correspond with each other, strengthening the planning process and review of pending development resulting in achieving assets that Avon desires. (7) The proposed plan amendment will consistently promote the health, safety or welfare of the Avon Community and the general goals and policies of the Avon Comprehensive Plan. Staff Response: This amendment updates and clarifies the current goals and policies of the Town of Avon, complete with Community Housing project opportunities identified. The Plan promotes the health, safety, and welfare of the community by appropriately anticipating the potential impacts potentially affecting Avon’s future. (8) The amendment proposes a land use that offers an essential or effective public benefit; Staff Response: Not applicable. Although housing is a public benefit, this amendment is not affiliated with a specific development project. (9) The proposed land use is more suitable in the proposed location than elsewhere in Avon. Staff Response: Not applicable. Community Housing is permitted in all areas of Avon; however, no land use is affiliated with this amendment. CPA26-001 – 2026 Avon Housing Plan August 25, 2026 Page 7 of 8 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. Staff Response: This Comp Plan Amendment is complete. Staff believes sufficient information exists to allow Council to review this application with the applicable review criteria. This Comp Plan Amendment application will not create impact demands for public services or infrastructure as a recommending document, as it is not a development application. All impacts of redevelopment will come forward as projects develop, seeking inclusion into Avon. Specific to (iv), the General Review Criteria provisions are geared towards development applications, to ensure that a new development plan will not injure or cause major disruptions for existing development, or ensure that impacts will be mitigated appropriately. RECOMMENDED FINDINGS: GENERAL CRITERIA FINDINGS: 1. The development application is complete. 2. The development application provides sufficient information to allow the reviewing authority to determine that the development applications comply with the relevant review criteria. 3. The development application complies with the goals and policies of the Avon Comprehensive Plan; and 4. The demand for public services or infrastructure exceeding current capacity does not require mitigation at this time as there is no development application accompanying this Comprehensive Plan Amendment that results in a physical project that utilizes public services or infrastructure. CPA26-001 – 2026 Avon Housing Plan August 25, 2026 Page 8 of 8 COMPREHENSIVE PLAN FINDINGS: 1. The proposed Plan amendment is compatible with the goals and policies of the entirety of the Avon Comprehensive Plan while recognizing that Avon’s unique housing goals, policies, and community housing needs have evolved, requiring this update. 2. This amendment complies with the Review Criteria outlined in Section §7.16.030(c) of the Development Code and offers increased support for Community Housing efforts and good planning by the Town of Avon. 3. The proposed Plan provides guidance for planned and orderly use of land and in encouraging a high quality of place for the community; and 4. The proposed amendment promotes the health, safety, and welfare of the Avon Community by supporting coordinated development using a tool like the Housing Plan for its long term vision. OPTIONS: Council has the following options with the Application: • Approve First Reading of Ordinance 26-07 and Plan, as drafted • Approve First Reading of Ordinance 26-07 and Plan, with changes • Continue First Reading of Ordinance 26-07, to a specific date STAFF RECOMMENDATION: I recommend Council approve First Reading of Ordinance 26-07 Adopting the 2026 Avon Community Housing Plan. RECOMMENDED MOTION: “I move to approve Ordinance 26-07 Adopting the 2026 Avon Community Housing Plan on First Reading.” Thank you, Jena ATTACHMENT A: Town Manager Report ATTACHMENT B: Ordinance 26-07 Exhibit A: Draft Record of Decision Exhibit B: Proposed Avon Community Housing Plan Update ATTACHMENT C: Tax Information ATTACHMENT D: Inclusionary Information ATTACHMENT E: Community Housing Plan Open House Presentation LINKS: EXISTING AVON COMMUNITY HOUSING PLAN AVON COMMUNITY HOUSING WEBSITE REGIONAL HOUSING NEEDS ASSESSMENT AVON MUNICIPAL CODE TITLE 7 PZC: AUGUST 10, 2026, REPORT PZC: JULY 13, 2026, REPORT PZC: JUNE 22, 2026, REPORT PZC: JUNE 8, 2026, REPORT 970.748.4004 eric@avon.org TO: Honorable Mayor Tamra N. Underwood and Council members FROM: Eric Heil, Town Manager RE: Avon Community Housing Plan Update DATE: August 20, 2026 SUMMARY: This report is supplement report to Council regarding proposed updates to the Avon Community Housing Plan. STRATEGIES: A prominent feature of the 2026 updates to the Avon Community Housing Plan is the Strategies section which lists particular Projects and Appendix A which describes each project in more detail. This list includes six properties the Town of Avon currently owns, one property that is under contract (State Land Board) and one property that is partially owned for a potential public-private partnership (15 Sun Road in the Sun Road Redevelopment Project). This list is the result of several years of exploring potential properties and opportunities for Community Housing projects. The creation of this Projects list has the specific following intended benefits: •Transparency: The Avon community can easily see the future Community Housing projects contemplated in Avon, including location, parcel size and potential density. •Staff Direction and Planning. The Project list gives staff clear direction on projects to pursue, which include varying levels of planning, zoning, grant applications, entitlement work, and voter approval. •Entitlement. The list allows Avon to proceed with perfecting and completing entitlement work where appropriate. This helps to accomplish the initial steps for a Community Housing project which can often require two to four years of process and neighborhood involvement. •Partnership Solicitation. The list of tangible projects in an official plan document adopted by Council facilitates Avon’s ability to solicit partnership interest by other local governments, non-profits, employers, and the development community. •Grant Applications. The list of projects facilitates Avon’s ability to apply for grant funding and other financial assistance. TIMING: The timing of actual development of these projects will depend upon the availability of funding. Avon’s current level of funding is not sufficient to development this list of projects in ten years. Many grant funding sources heavily favor “shovel ready” projects. Projects owned by Avon that are entitled will increase the eligibility and competitiveness of Avon’s grant funding applications. FLEXIBILITY: The project list is not exclusive nor rigid in sequence or detail. Avon may chose to develop projects that serve a higher mix of low-income households. The ability to serve more low-income households may occur once construction of a project construction proceeds and there is more partnership interest to additionally subsidize units to serve a lower household income level. Other funding partners often want to see the specific residential project to be developed, with firm pricing and firm schedule for delivery before committing their funds. Each project has significant financial challenges; therefore, it is difficult to plan in advance the cost, available financial resources, and the end mix of household income levels that a new project would serve. RECOMMENDATION: I recommend adoption of the Avon Community Housing Plan. Thank you, Eric ATTACHMENT A Ord 26-07 Adopting 2026 Avon Community Housing Plan Page 1 of 3 ORDINANCE 26-07 ADOPTING THE 2026 AVON COMMUNITY HOUSING PLAN 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; and WHEREAS, the Avon Town Council (“Council”) has the authority to adopt planning documents as described in Section 7.04.010 of the Avon Development Code; and WHEREAS, updates, revisions and amendments to the 2021 Avon Community Housing Plan, and extension of the Avon Comprehensive Plan, were presented to the Avon Planning and Zoning Commission (“Avon PZC”) in accordance with the procedures set forth in Section 7.16.030 – Comprehensive Plan Amendment; and WHEREAS, Avon PZC held public hearings on June 8, 2026, June 22, 2026, and July 13, 2026, after publishing and posting notice as required by law, and considered all comments, testimony, evidence, and Town Staff reports prior to formulating a recommendation to Council and then took action to adopt Findings of Fact and made a recommendation to Council to approve the Application; and WHEREAS, Council held public hearings on August 25, 2026, and September 8, 2026, after publishing and posting notice as required by law, and considered all comments, testimony, evidence, and Town Staff reports prior to taking final action; and then took action by approving this Ordinance 26-07 on September 8, 2026; and WHEREAS, Council finds the adoption of this ordinance will promote the health, safety, and welfare of the citizens of the Avon community; and WHEREAS, Council adopted the Findings of Fact and Record of Decision which set forth the basis for the adoption of the 2026 Avon Community Housing Plan; and WHEREAS, approval of this Ordinance on First Reading is intended only to confirm the Town Council desires to comply with the requirements of the Avon Home Rule Charter by setting a Public Hearing 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 the Town Council, or any member of the Town Council, supports, approves, rejects, or denies this Ordinance prior to any final action prior to concluding the public hearing on second reading. ATTACHMENT B Ord 26-07 Adopting 2026 Avon Community Housing Plan Page 2 of 3 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 the Town Council. Section 2. Comprehensive Plan Amendments. Council hereby adopts the Findings of Fact and Record of Decision (“EXHIBIT A – FINDINGS OF FACT AND RECORD OF DECISION”) and Council hereby adopts the 2026 Avon Community Housing Plan as depicted in “EXHIBIT B – 2026 AVON COMMUNITY HOUSING PLAN”, which shall replace in its entirety earlier versions of the Avon Community Housing Plan. Section 3. Severability. If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. The Town Council hereby declares that it has passed this Ordinance and each provision thereof, even though any one of the provisions might be declared unconstitutional or invalid. As used in this Section, the term “provision” means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term “application” means and includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 4. Effective Date. This Ordinance shall take effect thirty (30) days after final adoption in accordance with Section 6.4 of the Avon Home Rule Charter. Section 5. Safety Clause. The Town 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. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 6. 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. Ord 26-07 Adopting 2026 Avon Community Housing Plan Page 3 of 3 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. 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 by the Avon Town Council on HEARING by the Avon Town Council on August 25, 2026, and setting such public hearing for 5:00 pm, or as soon thereafter as possible, at the Council Chambers of the Avon Municipal Building, located at One Hundred Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ ________________________________________ Tamra N. Underwood, Mayor Miguel Jauregui Casanueva, Town Clerk ADOPTED ON SECOND AND FINAL READING by the Avon Town Council on September 8, 2026. BY: ATTEST: Tamra N. Underwood, Mayor Miguel Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: Nina P. Williams, Town Attorney 2026 Avon Community Housing Plan Findings of Fact and Record of Decision: CPA26-001 Page 1 of 2 TOWN COUNCIL FINDINGS OF FACT AND RECORD OF DECISION 2026 AVON COMMUNITY HOUSING PLAN DATE OF DECISION: September 8, 2026 APPLICATIONS: Comprehensive Plan Amendment | File CPA26-001 APPLICANT: Town of Avon The Avon Town Council (“Council”) conducted public hearings and reviewed the application for replacement of the Avon Community Housing Plan on August 25, 2026, and September 8, 2026, and considered all public comments and information provided at such public hearings. Based on consideration of public comments, information provided and the applicable review criteria Council hereby APPROVES the 2026 Avon Community Housing Plan in accordance with the Avon Municipal Code (“AMC”) §7.16.020(f) based on the Findings of Fact stated herein and hereby ADOPTS THIS RECORD OF DECISION. All Avon Staff reports and materials concerning the Application, any third party materials received concerning the Application, all public comments, all statements made at the Public Hearings, and all Avon Development Code and other regulations applicable to review of the Application are collectively adopted as part of the official Record of Decision. COMPREHENSIVE PLAN AMENDMENT FINDINGS: Pursuant to §7.16.030, Comprehensive Plan The following criteria shall be considered as the basis for recommendations and decisions on applications to amend the Avon Community Housing Plan, an extension of the Avon Comprehensive Plan: GENERAL CRITERIA FINDINGS: 1. The development application is complete. 2. The development application provides sufficient information to allow the reviewing authority to determine that the development applications comply with the relevant review criteria. 3. The development application complies with the goals and policies of the Avon Comprehensive Plan; and 4. The demand for public services or infrastructure exceeding current capacity does not require mitigation at this time as there is no development application accompanying this Comprehensive Plan Amendment that results in a physical project that utilizes public services or infrastructure. EXHIBIT A 2026 Avon Community Housing Plan Findings of Fact and Record of Decision: CPA26-001 Page 2 of 2 COMPREHENSIVE PLAN FINDINGS: 1. The proposed Plan amendment is compatible with the goals and policies of the entirety of the Avon Comprehensive Plan while recognizing that Avon’s unique housing goals, policies, and community housing needs have evolved, requiring this update. 2. This amendment complies with the Review Criteria outlined in Section §7.16.030(c) of the Development Code and offers increased support for Community Housing efforts and good planning by the Town of Avon. 3.The proposed Plan provides guidance for planned and orderly use of land and in encouraging a high quality of place for the community; and 4. The proposed amendment promotes the health, safety, and welfare of the Avon Community by supporting coordinated development using a tool like the Housing Plan for its long term vision. APPROVED BY MOTION on September 8, 2026 AVON TOWN COUNCIL BY: ATTEST: ____________________________ ___________________________________ Tamra N. Underwood, Mayor Miguel Jauregui Casanueva, Town Clerk EXHIBIT B Table of Contents Table of Contents ........................................................................................................................................................... 2 Introduction .................................................................................................................................................................... 1 Goals .............................................................................................................................................................................. 2 Objectives ...................................................................................................................................................................... 2 Demand ......................................................................................................................................................................... 4 Housing Cost & .............................................................................................................................................................. 6 Area Median Income (AMI) ............................................................................................................................................ 6 Strengths & Assets......................................................................................................................................................... 8 Strategies ....................................................................................................................................................................... 9 Projects ................................................................................................................................................................. 10 Avon Housing Programs ....................................................................................................................................... 10 Policies ................................................................................................................................................................. 11 Ten Year Community Housing Goal ..................................................................................................................... 13 Future Community Housing Projection ................................................................................................................. 13 Investment Guidelines.................................................................................................................................................. 14 THE ASPENS: COMMUNITY PRESERVATION ......................................................................................................... 15 APPENDIX A: HOUSING PROJECTS ......................................................................................................................... 17 APPENDIX B: IMPLEMENTED COMMUNITY HOUSING STRATEGIES ................................................................... 29 APPENDIX C: INCOMES ............................................................................................................................................. 31 APPENDIX D: Definitions & Best Practices ................................................................................................................ 32 APPENDIX E: HOUSING NEEDS ANALYSIS ............................................................................................................. 34 Approved by Town Council Ordinance [INSERT NO] Page 1 of 34 Introduction The Avon Town Council recognizes the severe lack of affordable housing opportunities in the Eagle River Valley. Reasonably attainable and available housing opportunities are critical for Avon to maintain its authentic town character and to support the current and next generation’s participation in the Avon community. Workforce housing is necessary to support the many businesses located in Avon that create Avon’s vibrant character. A variety of Community Housing types to meet residents at a variety of life stages and income levels is necessary to retain a sense of community. The Avon Community Housing Plan is an extension of the Avon Comprehensive Plan. It provides a high level overview of the housing supply and demand conditions in Avon, at a point in time, and defines goals and strategies to address the needs and demands contained within. The Eagle River Valley Housing Needs Analysis (“HNA”), a comprehensive report also conducted periodically, provides in-depth, detailed information on the economic and social factors comprising those housing conditions in Eagle County. The Avon Community Housing Plan uses information from the HNA to form its goals and strategies. This 2026 Avon Community Housing Plan updates the prior 2021 Plan by recognizing the successes and accomplishments over the last five years while acknowledging the ongoing challenge of meeting the housing needs of the Avon Community. This 2026 Plan defines the Community Housing goals, objectives, plans, and strategies for the Town of Avon over the next several years. “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.” -TOWN OF AVON COMPREHENSIVE PLAN Page 2 of 34 The potential community benefits of increasing Community Housing efforts include: ♦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; ♦More housing choices; ♦Increase the supply of Community Housing for job recruitment and retention purposes; ♦Create Community Housing in closer proximity to job centers with pedestrian connections and transit, in alignment with the Climate Action Plan goals; and ♦More full-time residents to sustain arts, culture, social, and recreational activities. ♦Community retention with the alleviation of housing insecurity, housing cost burden, and displacement. Goals Avon has identified the following goals: Goal 1: Achieve a diverse range of housing densities, styles, and types, including rental and for sale, to serve all segments of the population. Goal 2: Coordinate with neighboring communities to provide and financially support an attainable housing program that incorporates both rental and ownership opportunities, affordable for local households. Goal 3: Provide and support Avon’s share of Community Housing units as identified in the 2025 Eagle County Regional Housing Needs Analysis by 2035. Objectives Avon has identified the following objectives: 1.Maintain or increase the percentage of year-round residents; currently 56% of all dwelling units in Avon are occupied by year-round residents. 2.Provide affordable housing for the lower income household tiers (up to 80% AMI) in proportion to the housing needs for various income levels identified in the Housing Needs Analysis. 3.Prioritize available Community Housing funds annually based on funding and partnership opportunities, cost of projects and programs, assessment of specific unmet housing needs, consideration of other residential projects in the Eagle River Valley, and assessment of Avon’s capacity to efficiently manage projects and programs. 4.Explore opportunities for additional dedicated funding sources to sustain the Community Housing Fund, particularly through regional partnerships and the formation of a regional housing authority. Page 3 of 34 5.Increase deed restricted homeownership opportunities with a priority for households making equivalent of 140% or less of the Area Median Income (“AMI”) through the Mi Casa Avon, Good Deeds Avon, and other housing programs and regulations. For example, a two-income household earning 140% AMI ($155,000) may be able to afford a home price of $620,000 in 2026. 6.Grow the inventory of homeownership and “missing middle” inventory, in place of additional rental housing stock, to create a more balanced portfolio with a long-term goal of more home ownership opportunities. 7.Prioritize price point, focusing on the 80-140% AMI level, as well as finish quality and amenities that are attractive to right-sizing households, when considering new rental development. This includes growing households upsizing their housing and seniors downsizing their housing. 8.Maintain or increase the percentage of Qualified Employees residing in Avon. 9.Partner with other communities, non-profit entities (i.e. Habitat for Humanity, Town of Vail, Eagle County), Private Affordable Housing Developers, and Private employers to financially support new Community Housing projects and programs. 10.Aggressively pursue available grant funding to support Community Housing projects and programs, including public infrastructure improvements that benefit or support Community Housing projects. 11.Consider social, environmental, and climate equity in the development of Community Housing projects, programs and policies that recognize that lower income and often marginalized sections of communities often suffer disproportionately with existing housing conditions, cost burdens, and other impacts. 12.Ensure Avon participates and supports with the updating of the Housing Needs Analysis every 6 years. Page 4 of 34 Demand Free market real estate values and rents have escalated faster than wage growth over the last 15 years, especially during the COVID-19 pandemic, resulting in a severe shortage of reasonably attainable and available housing. ♦ As of 2025–2026, a significant shortage of affordable housing persists as housing costs have substantially outpaced local wages. Renters and low- to median-income households are frequently cost-burdened or severely cost-burdened, with many spending more than 50% of their income on housing. ♦ Across numerous regions, median rents and home prices have increased at a rate surpassing that of average incomes. In Eagle County, survey and focus group participants reported that rents were consistently between $1,500-$2,000 per bedroom. That translates over 3 median wages needed to rent a 3 bedroom unit priced at $4,500 or more. ♦ Wages: Eagle County’s 2026 Area Median (Household) Income is $111,000, while the per capita income is just over $62,0001. ♦ Surging Home Prices: The median home sales price in Eagle County (excluding resort areas) was $1,060,863 by YE 2025. Avon alone experienced a median sales price of $1,110,000 during that same time period. ♦ Extreme Affordability Gap: The Affordability gap compares the mortgage an average household can afford with the median home price. As of 2026, the average 2-income household can afford approximately a $444,000 home, compared with the YE 2025 median- priced home in Eagle County at $1,060,863. This leaves an Affordability Gap of $616,863. ♦ High Costs vs. Low Wages: In this resort community, the majority of the county’s largest volume of professions (including hospitality, retail and food service) offer salaries below $40,000 per year. ♦ Rental Market Distress: Rental rates increased by 48% between 2007 and 2023, with studios (700-900 sq ft) costing up to $2,500 by YE 2025. ♦ Displacement Risk: The 2025 Housing Needs Analysis identifies displacement risk factor and its prevalence among Avon’s residents ♦ Supply Shortage: The 2025 Eagle County Regional Housing Needs Analysis identified a need for 6,375 affordable housing units across Eagle County, within 10 years to meet the current demand. Avon’s share of that shortage is 1,458 units. The Housing Needs Analysis includes a breakdown of the shortage by AMI level. 1 AMI is the accepted metric and does not always accurately reflect true wages of local workers. There is no alternative metric that removes part-time resident income from AMI. Page 5 of 34 Factors Driving the Housing Crisis: ♦Second Home Market: Over 31% of housing units in the county are used by part-time residents or are vacant. In Avon, 44% of housing units are vacant or used by part-time residents. ♦Desirability: The high quality of life attracts remote workers, second homeowners and relocating retirees who can afford prices higher than what local service-based workers can afford, increasing the competition and demand for the limited housing stock available. ♦Geography & Land Limits: Limited buildable land restricts the supply, further driving up costs. Couple that with a lack of Town-owned land and topographically challenging sites, the results for new construction rely on market price land costs with extremely expensive construction costs, adding to the cost gap between building new units and their affordability to locals, without extreme subsidy. The Lack of Community Housing is Creating The Following Challenges: ♦Employers struggle with unfilled positions, increased turnover, higher training costs, and lost productivity, especially with long-term management positions; ♦Continued increase in home prices that are well beyond the financial means of most local residents; ♦Loss of historically affordable purchase options or long term rental availability due to short term rental (STR) use, second home use, and retirees relocating to Eagle County; ♦Often low vacancies in rental markets result in limited choices and rising costs for renters; ♦Negative socio-economic impacts on individuals and families, who are spending a disproportionate amount of their income on housing, commuting long distances, and living in locations or situations that are not sustainable for the long term; ♦Lack of opportunities for returning local family offspring who grew up in Eagle County to secure housing in the place they consider home. ♦Lack of opportunities are forcing many renters who wish to buy a home, or persons with expanding families, to move away from the area to find more affordable options. ♦Increased risk of high energy costs and vulnerability to climate change for residents living in homes that may be older, inefficient, poorly insulated, and/or less resilient to extreme weather. ♦Lack of opportunities for returning local family offspring who grew up in Eagle County to secure housing in the place they consider home. ♦Displacement is caused by a lack of opportunities, from forcing many renters who wish to buy a home, or persons with expanding families, to move away from the area to find more affordable options, to homelessness. ♦Lack of efficient, resilient, transit-oriented, and net-zero Community Housing will undermine the achievement of local and regional climate goals. “Housing Continuum” Illustration for Eagle County (Generally) Page 6 of 34 Housing Cost & Area Median Income (AMI) 2025 Median Wage: $52,900 | 2025 Median Home Price: $1,110,000 FY 2026 Income Limits Summary – Eagle County (HUD) It is important to review the availability of properties that are attainable through the Vail MLS for local residents and evaluate the percentage of homes purchased for primary residency in these neighborhoods. There were 91 sales in 2025, the median price for all dwelling units sold in the Town of Avon (excluding Mountain Star) was $1,110,000. Of those 91 sales, 48% were purchased with cash, an indicator that those homes were purchased as second homes, investment properties, relocating retirees, or for use as short term rentals. Condominiums accounted for 78% of these sales, with a median price of $864,000. The median price for single family dwellings, duplexes, and townhomes was $2,150,000. A household earning 2 average weekly wages makes approximately $105,800 per year. This income cannot support mortgage payments for any median priced dwelling units in Avon. The rental market is similarly challenging for local residents. Between 2007 and 2021, the average rental rates rose 48% across the Eagle River Valley. Vacancy rates have approached zero, and recent rental projects have experienced an accelerated cost as compared to increases in the consumer price index. Market rate rental projects in Avon have advertised rental rates up to $2,509 for a studio, $3,992 for a 2-bedroom unit, and over $5,397 per month for a 3-bedroom unit, by year-end 2025. With a per bedroom median price of around $1,900, overcrowding and in-commuting are increasingly common. To meet the needs of local employees in the Eagle River Valley, the 2025 Eagle County Regional Housing Needs Analysis estimates that 6,375 additional dwelling units will be required by 2035. In the “mid-valley”, which includes EagleVail, Avon, and Edwards, 2,586 dwelling units will be needed to accommodate the net loss of affordable housing units and projected population and job growth. In Avon alone, that need is 1,458 units, or about 25% of the regional need. It is anticipated that subsidies or public/Private partnerships will be required to make it financially feasible to construct or preserve a majority of these dwelling units. AMI is used by other local entities as well. For instance, Avon partners and contributes to the Walking Mountains Science Center, and through supporting this non-profit’s energy programming, they have “income and community priority qualifications” for certain rebates and incentives for households up to 150% AMI! Learn More at To ensure housing availability for our workforce, Avon relies on the rent and income limits that are established annually by HUD when considering developments taking part in Avon's Community Housing programs. Looking for more information on AMI? Visit the CHFA Website Page 7 of 34 Avon and the rest of the “mid-valley” are highly desired locations for local residents. The community survey of Eagle River Valley households, conducted along with the Eagle County Regional Housing Needs Analysis, found that 53% of renters and 42% of owners selected “mid-valley” as their first choice for place to live. The concentration of employment and job centers in the upper-valley and mid-valley areas of the county poses specific challenges. The narrow valley floor surrounded by federally protected lands has been developed for the most part. The remaining parcels identified for new development have challenging terrain (sloped, narrow, asymmetric). Avon is also identifying areas for redevelopment and strategizing which of its parcels to reclassify for housing redevelopment. Both options add considerable cost to construction and are factors in the higher AMI limits suggested for Eagle County, especially for Avon without significant partnerships and funding from the State. About 12 Percent of Eagle County Jobs Are Filled by In-Commuters. The most common locations of in-commuters were Garfield, Lake, and Summit counties, making up eight (8)percent of Eagle County employees in 2021. Other in-commuters include long-distance commuters who travel to Eagle County from farther places in Colorado and remote workers living outside Eagle County but employed by an Eagle County business. Job Centers Map – Housing Needs Analysis Page 8 of 34 Strengths & Assets Avon can build upon existing assets and previous housing initiatives, including: ♦Implementation of the Mi Casa Avon Resident Occupied deed restriction purchase program, with 56 units added between 2020 and 2025. ♦Partnership with Eagle County for Good Deeds Avon Price Capped deed restriction purchase program, with 10 units added since its inception in 2025. ♦Updates to the Avon Community Housing Policies to stay current with industry best practices and changing market conditions. ♦Several large-scale Town-sponsored rental projects in the 1990s and 2000s, resulting in an inventory of 544 income restricted or price capped units, ♦63 deed restricted for sale units that were a result of successful PUD negotiations; ♦Establishment of a Community Housing Fund with dedicated revenue sources; ♦Employee Housing Mitigation requirements for new development; ♦Continued planning, zoning and land acquisition efforts to create more opportunities for new Community Housing development; ♦History of regional collaboration with public sector, non-profit and Private sector on housing issues; ♦Adopted Community Housing tax and fee waiver incentives; ♦Adopted a restricted Short Term Rental Overlay District; ♦The commitment to building Community Housing that meets Climate Action initiatives; ♦Amended the Commercial-Industrial Zone District to allow deed restricted Community Housing; and ♦Adopted Comprehensive Plan, which sets housing as a top policy priority. Page 9 of 34 Strategies Avon seeks to provide over 1,000 new Community Housing units by 2036 through a combination of construction of new Community Housing projects, continuation of successful Community Housing programs and implementation of targeted Community Housing policies. The summary of opportunities indicates the potential to provide 1,000+ new Community Housing units if new revenue sources and financial partnerships can support and accelerate construction projects, and support and expand deed restriction purchase programs. Avon’s Community Housing strategies are intended to constitute and implement a “Housing Action Plan” as required by the Department of Local Affairs. Projects, Policies and Programs are each discussed separately below. This Community Housing strategy is heavily weighted towards increasing ownership opportunities. Avon has an anticipated target to attain a range of new Community Housing comprised of 65-75% ownership opportunities and 25-35% rental opportunities. The preference is to provide the maximum amount of 80-100% AMI rental opportunities and 100-140% AMI ownership opportunities; however, the actual Community Housing AMIs will depend upon available financial resources and the economics of each project. New Community Housing rental projects are expected to be at or below 110% AMI, while new Community Housing ownership projects may have a greater mix of Resident Occupied units without an appreciation cap on resale. Housing Needs by Household Incomes The overall mix of Community Housing projects, programs, and policies should provide housing across the household income spectrum in proportion to the housing needs identified in the HNA. Particular attention must be given to the housing needs of lower-income households, who are more vulnerable and are often underrepresented. Evaluation and reporting on the different household income levels served by new Community Housing, compared with the needs stated in the HNA, should occur annually. Consideration should be given to other affordable housing projects in the Eagle River Valley that may serve households at a variety of income levels. Environmental and Climate Equity 1 When developing Community Housing projects, programs, and policies, Avon should evaluate and seek address the potential for or existing disproportionate environmental burdens and impacts on low-income households and marginalized areas or developments that may result from or be exacerbated by a lack of affordable housing. Evaluation should include energy and water efficiency, access to weatherization programs and clean energy; indoor environmental quality; resilience to extreme weather; proximity to grocery stores and neighborhood commercial; inclusion in and integration with existing and adjacent neighborhoods; and the incorporation of inclusive processes designed to increase participation by underrepresented communities. 1 Environmental and climate equity in Community Housing ensures that marginalized, low-income owners are not disproportionately burdened by climate change impacts. It involves creating safe, permanently affordable, and climate-resilient housing that reduces carbon footprints while actively improving public health. Page 10 of 34 Projects Constructing affordable housing for households at or below 80% Area Median Income (AMI) is an exceptionally steep mountain to climb for a small Colorado municipality like Avon. While the State of Colorado has introduced legislative tools like Proposition 123 to fast-track approvals, localized economic, geographic, and construction barriers create a structural mismatch between the cost to build and the revenue these units can generate. Avon has made extensive strides to bring flexibility to the development process through Community Housing incentives and waivers. However, much like the free market understands in our resort community, flat land is at a premium and materials and labor in the mountains, an affordable deficit. The following table lists Community Housing projects over the next ten years. Projects that are shown as “RO” or “Resident Occupied” may include some mix of price-capped units offered for sale at a lower price point meeting the 100-140% AMI demand, depending upon the availability of funds. The stated AMI for projects below is only intended to indicate which projects may be more appropriate for price-capped development and is not intended to be a limit on providing new housing that may serve lower AMI households. The details of each project may evolve based on available financial resources and Community Housing demands. Each project is discussed in more detail in Appendix A. Appendix A may be updated when appropriate. Pending/New Construction Community Housing Projects R = Rental, O = Ownership, PC = Price Capped, RO = Resident Occupied (no price cap) Project Name Units Type AMI Developer Land Ownership Hidden Valley Estates 54 O-RO N/a Private Private CH2: Avondale Apartments 40 R-PC 110% Public TOA CH1: Lot 8-PA-E 24 O-PC 120% Public TOA State Land Board: Parcel 1 104 R-PC 100% Public/Private Public 91 Beaver Creek Place 20 O-RO N/a TBD TOA Slopeside 106 R-PC 100% Public TOA Wildwood Annex 12 O-PC 120% Public TOA Sun Road Redevelopment 100 O-RO N/a Public/Private Public/Private East Avon Preserve 100 O-TBD N/a TBD TOA Village Community Housing 80 O-RO N/a Private Private Village Community Housing 110 TBD 120-140%TBD Private TOTAL 750 Total New Rental 250 Total New Ownership 500 GO TO APPENDIX A: HOUSING PROJECTS Avon Housing Programs Click on link above for Program Definitions Page 11 of 34 Programs Deed Restriction purchase programs have significant advantages because they do not require new land and construction, which can be polarizing. They also do not require the cost, complexity and timeframe of new construction projects. They provide significant flexibility in allowing a home buyer to shop and choose the home that best meets their needs and preferences. Deed Restriction purchase programs provide a significant financial contribution to assist a home buyer with the purchase of an existing home and requires the execution of a Deed Restriction which permanently restricts the use of the resident to full-time residents working in Eagle County. Avon currently supports three deed restriction purchase programs to assist new home buyers, including: ¡Mi Casa Avon! provides a 12% match up to a maximum of $150,000 for a Resident Occupied Deed Restriction, which does not have an appreciation cap on the resale price. Goods Deeds Avon provides a 30% match in partnership with Eagle County up to a maximum of $375,000 for a Price Capped Deed Restriction, which limits the price appreciation on resale. This is contingent upon annual appropriations from Eagle County. MEHOP or Municipal Employee Housing Ownership Program provides a 30% match to Town of Avon employees up to $375,000 for a Price Capped Deed Restriction, which limits the price appreciation on resale and requires the resale to be to a Town of Avon employee or to the Town of Avon. Programs (Deed Restriction Purchases) Annual 10 Years Mi Casa Avon 8 80 Good Deeds 16 160 MEHOP 2.5 25 TOTAL 27 265 Policies Policies include regulations in the Avon Municipal Code that establish requirements to provide Community Housing, such as employee housing mitigation and inclusionary zoning, and incentives to provide Community Housing, such as Development Bonuses and tax and fee waivers. Policies also include existing and new dedicated revenue sources to support Community Housing. Existing Development Policies: The following Development Policies address planning, land use and development and are currently adopted and in effect: Mi Casa Avon Good Deeds MEHOP Page 11 of 34 1.Allowing Community Housing in all zone districts.1 2.Expediting and prioritizing review of Community Housing development applications.1 3.Employee Housing Mitigation to mitigate 20% of the employee housing demand created by a new development. 4.Tax and Fee waivers for Community Housing projects.1 5.Short Term Rental regulations that limit or prohibit short term rental licenses in designated areas of Avon. Short Term Rental use is monitored throughout Avon and is periodically assessed.1 6.Development Bonus process to allow greater building height, greater site coverage, reduced parking and reduced setbacks for Community Housing.1 7.3-Mile plan that identifies the State Land Board property as eligible for annexation and planned for 100% of residential units to be zoned and developed for Community Housing.1 8.Seek collaboration and partnership with Eagle County, Town of Vail, Habitat for Humanity and other local government, non-profit and private sector regional partners. Based on existing Development Policies the following projection is provided for new Community Housing units that would result from new development: Policies Annual 10 Years Employee Mitigation/Dev Bonus/Inclusionary 5* 50 TOTAL 5 50 *Average Existing Revenue and Funding Policies: The following revenue and funding policies are currently adopted and in effect. 1.2% Short Term Rental Excise Tax is dedicated to the Community Housing Fund.1 2.10% of Avon’s 2% Real Estate Transfer Tax is dedicated to the Community Housing Fund.1 3.4% Use Tax on Construction Materials is dedicated to the Community Housing Fund, subject to the prior agreements in the Village (at Avon) to remit the Use Tax revenue to Traer Creek Metropolitan District until such time as the Town of Avon has satisfied its tax credit obligations.1 4.Avon Downtown Development Authority is required to spend at least 50% of tax increment revenue on Community Housing.1 5.Council may consider and approve expenditures from the unrestricted General Fund reserve balance to support land acquisition and construction of Community Housing projects.1 6.Avon has “Opted-In” to Colorado’s Proposition 123 program, which makes Avon potentially eligible for state grants. Avon has applied for a waiver to allow Proposition 123 funding to be applied toward projects that serve up to 110% AMI.1 New Development Code and Planning Policies to Promote Community Housing: 1Meets DOLA’s Housing Action Plan Standard Affordability Strategies, Long Term Affordability Strategies, and/or Displacement Mitigation Strategies. 1 Meets DOLA’s Housing Action Plan Standard Affordability Strategies, Long Term Affordability Strategies, and/or Displacement Mitigation Strategies Page 12 of 34 New policies described below are not formally adopted by this Avon Community Housing Plan; rather, these policies are identified as appropriate for research and analysis by Council, appropriate citizen committees, the development community, and the general public through work sessions and public hearings. These policies for new residential development seek to maximize the percentage of Community Housing in new residential development to the extent economically and legally feasible. The Village (at Avon) Planned Unit Development has vested property rights which limit the applicability of new development policies that require increased Community Housing. 1. Employee Housing Mitigation: Consider increasing the required mitigation from 20% to 30% and reduce the maximum rent or sales price from 120% to 100% AMI. The purpose of this policy is to increase the number of Employee Housing Mitigation Units required by new development and to require such units to be more affordable. Clarify the Employee Housing Mitigation regulations to state that Community Housing units are not included in the Employee Housing Mitigation calculation. 2. Inclusionary Zoning2*: Consider adopting an Inclusionary Zoning requirement for the Town Core which requires up to 50% of new residential units to be Community Housing. Employee Housing Mitigation units that are required would be credited towards the required Community Housing allotment. The purpose of this policy is to increase Community Housing units in the mixed-use center of Avon where water rights exist to support increased density and increased density can be most efficiently served with existing public infrastructure. 3. 3-Mile Plan Annexations: Consider revisions to the 3-Mile Plan to include language which identifies the desired and appropriate percentage of Community Housing units with new annexations that include residential development. The purpose of this policy is to maximize the percentage of new residential units associated with annexations in the 3-Mile Plan to the extent economically feasible. New Revenue Policies for Consideration: 1. Seek potential new funding sources through the adoption of a Regional Housing Authority. Such revenues sources may include a Sales Tax, Use Tax, Property Tax and/or other revenue sources.1 2. Explore an increase to the Short Term Rental Tax based on review of peer communities. 3. Support uniformity of dedicated taxes for Community Housing across different local government jurisdictions in Eagle County.*3 4. Explore options to allow voter approval of new taxes dedicated to Community Housing through the state legislative process.1 5. Strive to increase the portfolio of affordable rental properties that generate positive cash flow which can then financially support each other and provide financial leverage to support future development of additional affordable rental properties.1 6. Discontinue the annual transfer of 10% of Avon’s 2% Real Estate Transfer Tax (RETT) revenues when new dedicated revenues for Community Housing are established. Avon’s anticipated capital improvements needs to maintain and construct public infrastructure for the next decade and beyond exceeds available RETT revenue. 2 Inclusionary zoning is a municipal or county regulatory policy that requires or encourages real estate developers to set aside a specific percentage of newly constructed residential units for low- to moderate-income households. It is designed to create mixed- income communities and counteract exclusionary housing practices. 3 Meets DOLA’s Housing Action Plan Standard Affordability Strategies, Long Term Affordability Strategies, and/or Displacement Mitigation Strategies Page 13 of 34 Projects Programs Policies TOTAL Ten Year Community Housing Goal The total Community Housing goal for the next ten years is summarized below. Fully implementing the projects and programs identified in this Plan will require additional financial resources. Future Community Housing Projection Future Community Housing beyond ten years is more speculative for planning purposes. The following potential opportunities are identified below. Additional Community Housing opportunities may arise through land acquisitions and public-Private partnerships. FUTURE - Long Range 10-20 years Project Name Units Type AMI Developer East Town Center Redevelopment 240 O-RO N/A TBD North River Parcel 200 O-RO N/A TBD State Land Board Parcels 396 TBD TBD TBD Forest Service (adjacent to North River) 100 O-RO NA TBD TOTAL 936 SUMMARY next 10 years Projects 750 Programs 265 Policies 50 TOTAL 1065 Page 14 of 34 Investment Guidelines Avon must invest limited financial resources wisely to meet the goals of this Community Housing Plan. The Town recognizes that Community Housing development opportunities are often specific and unique to an available property, potential partnerships, and financial parameters set by state and federal agencies; therefore, differences are expected between creating ideal projects that clearly meet all frameworks with the construction cost realities surrounding possible projects. This reality results in Community Housing programs and projects that may not be able to meet all the goals (next page). Rather, the following is intended to assist with the evaluation of proposed programs and projects. This list is not intended to be exhaustive, and additional considerations may be relevant. ♦ Ensure that all Community Housing programs, policies, or projects align with the goals and objectives of the Comprehensive Plan and the Community Housing Plan. ♦ Use Town of Avon investment in projects to bridge the financial gap between free market conditions and Community Housing economics, enabling programs or projects to move forward. ♦ Encourage or incorporate resource conservation, energy efficiency, sustainable development, and climate action goals in programs or projects, as financially feasible. ♦ Select locations for programs or projects that offer reasonable access to public services and amenities supporting full-time residential use, such as schools, parks, trails, transit, multi-modal transportation, job centers, neighborhood businesses, and other public services. ♦ Attract and utilize financial participation from partners, including local governments, state and federal sources, non-profits, and Private investors, for each program or project. ♦ Ensure that each program or project positively leverages the Town of Avon’s financial investment. Partnerships, Programs, and Strategies According to the 2025 Eagle County Regional Housing Needs Analysis, Eagle County’s existing Community Housing programs are not sufficient to address all the needs on the housing continuum (illustration, page 5). This is, in part, because the provision of extremely low-income, very low-income, low-income, and supportive housing is not typically supported by the private sector and requires a unique, often regional approach that includes leveraging partnerships, federal programs and funding, and regional strategies. As such, Avon participates in and/or supports partnerships, programs, and strategies aiming to provide housing for the lowest income brackets. Avon is supporting Community Housing through a combination of financing methods, including tax and fee waivers, the use of tax increment revenues from entities like the Avon URA and DDA, and active participation in State grant programs such as Prop 123. Avon has also (historically) employed unique financing tools like Private Activity Bonds (PABs) for certain projects (Buffalo Ridge and Kayak Crossing) where traditional municipal bonds may have been unavailable. Overall, Avon utilizes a variety of financial strategies, adapting to the various, changing circumstances and guidelines that support Community Housing initiatives. Page 15 of 34 THE ASPENS: COMMUNITY PRESERVATION Avon recognizes the importance of manufactured home communities, which offer a rare combination of density and affordability essential to Avon. Manufactured home communities (MHCs) provide residents with relatively affordable housing in the valley, and Avon is committed to preserving this option and supporting its residents. However, this is challenging because the land is privately owned and lacks protective covenants to ensure long-term preservation. Manufactured homes typically last 30 to 50 years. Without regular maintenance and energy efficiency upgrades, these homes are less resilient to extreme weather and consume more energy. According to the 2025 Eagle County Regional Housing Needs Analysis, manufactured home residents in Eagle County reported experiencing housing insecurity as a result of not owning the land beneath their homes, rising lot rents, high utility bills (particularly heating), and lack of access to programs and resources available to other homeowners (e.g., financial aid for home repairs).Replacing older units is costly and technically challenging. Avon needs programs to preserve this vital affordable housing, starting by acknowledging the significance of the Aspens community, and the need for its preservation. Preserving manufactured home parks in Colorado usually involves a combination of legislative protections and local government action to address rising land values and private equity redevelopment. Since mobile homes are often permanent structures on rented land, these communities are vulnerable to displacement and predatory rent increases. As land becomes scarcer, affordable sites risk being converted into luxury developments. The City of Boulder mobilizes resources to preserve mobile home parks (MHPs) as vital affordable housing. Key efforts prioritize resident ownership, public-private partnerships, and infrastructure stabilization to combat displacement and address water safety concern. READ MORE Preserving Affordable Housing: How Boulder Supports Manufactured Home Communities – Article 2024 Page 16 of 34 POSSIBLE PROTECTIVE PATHWAYS 1.Encourage The Aspens to Form a Resident-Owned Cooperative Avon should encourage the Aspens to consider becoming a Resident-Owned Cooperative (ROC) which transitions a park into a Resident-Owned Community – a priority standard for long-term preservation. Colorado law grants residents the "right of first refusal," requiring park owners to give homeowners notice of a pending sale and an opportunity to match third-party corporate offers. Non- profits like Thistle Communities and ROC USA step in to help communities organize, navigate multi- million dollar real estate transactions, and secure low-interest financing. Avon could require by code that park owners must provide ample public notice (e.g., 90 to 180 days) to residents and local municipalities before putting the park on the market. 2.Public Purchase Under Colorado state law, park residents can assign their statutory right of first refusal to a local housing authority, non-profit housing provider, or land trust. Avon has a Housing Authority that could be used for this purpose. Avon could also codify the right for local housing authorities, municipalities, or resident-owned cooperatives to match offers to purchase the land, preventing sudden sell-offs to corporate developers. Local housing authorities occasionally purchase parks outright to assume immediate management, stabilize rents, and absorb the initial infrastructure risks before eventually transitioning control back to the residents. 3.Regulatory Protections – Avon Municipal Code With State mandates requiring landlords who plan to close or rezone a park for redevelopment to financially compensate displaced tenants for their relocation costs, Avon could also require the loss of density and affordability be a condition of rezoning any zone district. This can be done by creating a zoning overlay that restricts the land from being turned into luxury or traditional apartment complexes without mitigation, or a new anti-displacement of Community Housing provision where any loss of Community Housing shall require replacement of the units lost, maintaining the same AMI levels as was in place prior to redevelopment. Outside of the Avon Community Housing Plan, the foundational Comprehensive Plan can be updated to create a specific district for the Aspens that goes beyond its affordable housing values to recognize and memorialize it as a distinct planning area. This new district may include design aspirations and future planning goals as they relate to maintenance, preservation and general land use. Page 17 of 34 APPENDIX A: HOUSING PROJECTS Community Housing Projects Appendix A – This appendix describes specific, new construction opportunities slated for Avon Community Housing projects. These projects have been contemplated and evaluated by Avon over several years and are the most likely to come to fruition once potential funding and investment opportunities become tangible. Each potential project is described on its own page which includes a basic description of the property, project goals, infrastructure and entitlements. Page 18 of 34 AVON NORTH Wildwood Annex Legal Description: WILDRIDGE SUBDIVISION Tract: N Wildwood Road Area in yellow is the developable portion of Tract N Property Size 1.0 Acre Zoning Wildridge PUD – Public Facility Designation Ownership Town of Avon Project Goals 12 three-bedroom condominiums, Ownership Infrastructure Extension of water and sewer to serve this property is required for development. Entitlement Development approval requires an amendment to the Wildridge Planned Unit Development to change the PUD Public Facility designation to an appropriate Community Housing zone district designation, subdivision to create the specific development parcel, and Avon voter approval to authorize the sale of the Community Housing units. Above: Basic Concept Evaluation Existing Site and Conditions Page 19 of 34 AVON NORTH Hidden Valley Estates HIDDEN VALLEY ESTATES Legal Description: HIDDEN VALLEY ESTATES SUBDIVISION Metcalf Road Property Size 7.2 Acres Industrial, with permitted use of Community Housing Zoning Light Industrial & Commercial Ownership Private Project Goals Development of a mix of 54 deed restricted townhomes/duplexes Infrastructure Infrastructure to support development has been installed Entitlements Avon approved a Development Agreement for the site Above Photo: 2026 Page 20 of 34 AVON TOWN CENTER The Sun Road Redevelopment Area The Sun Road Redevelopment Plan ("Sun Road Plan") is a sub-area plan that establishes planning goals and investment strategies to promote redevelopment of an approximate 8- acre area centrally located in the Town Core on the southwest corner of the I- 70/Avon Road Interchange. The Sun Road Plan area is substantially underdeveloped under the Town Center zoning, which allows high-density mixed-use development. The central location, proximity to Harry A. Nottingham Park, and convenient access to Avon Road and the I- 70 interchange present a unique opportunity for a high-quality redevelopment project that incorporates residential density into the Town Core. 91 Beaver Creek Place is located in the East Town Center subarea. This plan is currently being updated. This East Town Center Plan establishes a community based plan and vision for the redevelopment of the Plan area which best supports Avon’s Comprehensive Plan goals, the Avon Community Housing Plan, the West Town Center Investment Plan, the Sun Road Redevelopment Plan, and the Avon Downtown Authority Development Plan. Existing development in the Plan area is substantially underutilized compared to development allowed under the Town Center zoning, and redevelopment of this area presents a unique opportunity to guide and support high density development to achieve many community goals. Slopeside, is not within either plan. However, its juxtaposition in the area of these two subareas is complimentary in that Slopeside will be a walkable neighborhood, slated as workforce housing. Page 21 of 34 1.Sun Road Redevelopment Area Legal Description: SUN ROAD REDEVELOPMENT AREA Sun Road/West Beaver Creek Blvd Property Size 5.4 Acres Zoning Town Center Ownership Mixed Private and Town of Avon Project Goals A mixed-use, transit-oriented redevelopment project with 70,000+ sq.ft. of ground floor commercial space and 150-300 deed restricted Community Housing units Infrastructure Infrastructure to support development is available Entitlements Development will require review of a Development Plan and a potential Density Bonus application. Sun Road Redevelopment Area The Sun Road Plan area is substantially underdeveloped under the Town Center zoning, which allows high-density mixed-use development. The central location, proximity to Harry A. Nottingham Park, and convenient access to Avon Road and the I-70 interchange present a unique opportunity for a high-quality redevelopment project that incorporates residential density into the Town Core. READ THE FULL PLAN - LINK Page 22 of 34 2.91 Beaver Creek Place (North Court) Legal Description: 91 BEAVER CREEK PLACE – BENCHMARK AT BEAVER CREEK LOT Beaver Creek Plaza Property Size 0.57 acres or 24,829.2 sq. ft Acres Zoning 91 Beaver Creek Point: Shopping Center (Retired) (Sc) Ownership Town of Avon Project Goals A mixed-use, 3-4 story building with ground level commercial and ~20-30 deed restricted housing units above Infrastructure Infrastructure to support development is available Entitlements Development will require a zone change to Community Housing, Mixed-use 91 Beaver Creek Place The 0.57-acre property is located in the East Town Center area. The property currently has a small commercial building, with opportunities for local businesses to lease until redevelopment occurs. Acquisition of this property presents a significant opportunity for future Community Housing units. The East Town Center District Plan anticipates redevelopment efforts that would increase residential density within the area. The Town of Avon possesses adequate water rights to support higher-density development in the Town Core and currently provides this property with access to Avon’s complimentary transit services. The building itself is not in adequate condition for reuse, offering future owners the opportunity for newly constructed deed-restricted residences. Page 23 of 34 3.Slopeside Community Housing Legal Description: SLOPESIDE COMMUNITY HOUSING SITE – BENCHMARK AT BEAVER CREEK TRACT Y & SWIFT GULCH ADDITION LOT 2 Swift Gulch Road Property Size 3.41 ac and 1.43 ac. Totals: 4.8 ac or 210,830.4 sq. ft Zoning Community Housing High Density (CHHD-1) and allocated Public Facilities (East parcel) Ownership Town of Avon Project Goals Residential rental project of 106 units targeted at 80-100% AMI Infrastructure Infrastructure to support development is available Entitlements Development will require a zone change on the east parcel from to CHHD-1 (same as the west parcel); consolidation of the two parcels into one parcel through a Subdivision Amendment Slopeside The Future Land Use Map in the Avon Comprehensive Plan highlights these properties as both a gateway into Avon and a cornerstone property for Community Housing. Once envisioned for 105 homes, the site was later transformed—its west parcel preserved for open space, landscaping, and drainage (”OLD”), while the east parcel was set aside for public use (Civic/Public Facility within the Swift Gulch Addition PUD). Today, these parcels offer more than just land: they feature a key stretch of the pedestrian and bike trail connecting Avon Road to Post Blvd, alongside the historic Nottingham Puder Ditch. Now, Slopeside is poised to shape the community’s future with a bold proposal for a 106-unit Community Housing development that will reinvigorate this walkable area and address critical housing needs. Page 24 of 34 Village (At Avon) PUD Proposed Community Housing Sites 2026 The Village (at Avon) area presents valuable housing opportunities for both rental and ownership projects. CH1 and CH2 are both flat properties that contain all necessary unitalities in close proximity. With zoning secured for these sites via a PUD amendment in 2026, the design of projects can commence. Development of the East Avon Preserve is dependent on significant coordination for access and water service by future water tank(s) above the property. The timeframe for developing the East Avon Preserve is dependent on adjacent development, which triggers the implementation of a new water tank, making the timeframe much longer than CH1 and CH2. However, this site may open up the availability for the construction of a housing type no slated for any other Avon project. That being, possible duplex and or single family units (or a mix thereof). Page 25 of 34 1.Village (at Avon) – CH1 Community Housing Site Legal Description: CH1 – Lot 8, VILLAGE (AT AVON ) PUD East Beaver Creek Blvd. Property Size Approximately 1 acre * See Entitlement Needs below Zoning CH1 – Community Housing Per PUD Ownership Town of Avon Project Goals Within the Village (at Avon) and adjacent within the East Avon Preserve, create a variety of dedicated Community Housing Units with ownership and rental opportunities Infrastructure Infrastructure to support development is available Entitlements This development will need an amended plat to define this property and separate it from the neighboring Childcare Center property. Design Review approval by Village (at Avon) DRB Village (at Avon) 2026 – CH1/Lot 8, Future Community Housing Formally Lot 8, Planning Area F, this property has been conveyed to the Town of Avon by the Village (at Avon) as a condition of a joint PUD amendment application. The amendment changed the allocation of Lot 8 from PA-F (the same uses as permitted on the Piedmont parcel) to CH1 (Community Housing). Avon anticipates approximately 24 condominium units are possible for this property (see very basic analysis above), although an in depth site analysis has not been explored for development on this property. Staff performed a ‘fit’ exercise to show a 80’x180’ footprint (14,400 sq.ft.) condominium building that could serve units on two sides of a central corridor or drive path. Further design work and conceptual designs are required to confirm general layout and programming. The design plans will ultimately be reviewed by the Village (at Avon) Design Review Board. Page 26 of 34 3.Village (at Avon) – CH2 Community Housing Site: “Avondale” Legal Description: CH2 – Lot 5, VILLAGE (AT AVON ) PUD Yoder Avenue Property Size Approximately 3 acres * See Entitlement Needs below Zoning CH1 – Community Housing Per PUD Ownership Town of Avon Project Goals Within the Village (at Avon) and adjacent within the East Avon Preserve, create a variety of dedicated Community Housing Units with ownership and rental opportunities Infrastructure Infrastructure to support development is available Entitlements This development will need an amended plat to define this property and separate it from the neighboring Childcare Center property. Design Review approval by Village (at Avon) DRB Village (at Avon) 2026 – CH2/Lot 5, Avondale Apartments Community Housing Council provided direction in early 2023 to proceed with due diligence for a Community Housing project on this property owned by Avon. This resulted in the creation of the “Avondale Apartments” community housing project, on Lot 5, a Town-owned property previously designated for Public Facilities within the Village (at Avon) PUD. Adjacent to Home Depot at the end of Yoder Ave. Much like the amendment for Lot 8 to CH1, Avon proposed updating Lot 5’s designation to reflect its intended primary use as Community Housing, replacing the Public Facilities language but still permitting other public uses. Lot 5 is designated as Community Housing (CH2) within the PUD, providing clear guidance for this use. The zoning for CH2 now permits up to 40 units and up to a 60’ building height. Design plans will be developed for this rental project, and presented to the Village (at Avon) Design Review Board for approval. Page 27 of 34 2.East Avon Preserve EAST AVON PRESERVE - Unplatted Wagon Trail Road Property Size 37.357 acres with 7-15 Acres (of potential development area) Zoning Public Facilities Ownership Town of Avon Project Goals Development of 100+ Community Housing units Infrastructure Construction of new water storage tank is required Entitlements Rezoning appropriate portions of the property to Community Housing, subdivision/platting The East Avon Preserve Parcel ("EAP") totals 85.99 acres and consists of two parcels. Avon acquired the EAP in 2013 from the United States Government through a Multi-Party Land Exchange agreement. Avon and Eagle County entered into an Intergovernmental Agreement, referring to the East Avon Preserve Parcel as the "Village Parcel." The agreement states that once the boundaries for “affordable housing” and community facilities are set and the road and trail alignments are determined, Avon will grant a conservation easement to a mutually acceptable land trust on the remaining acreage. The area was zoned Public Facilities (“PF”) when it was acquired. Avon’s plans identified the upper northeast corner as an area for potential housing. A slope analysis was conducted in 2022 slope analysis and a more refined potential development areas were identified (shown in the image above). Additional planning analysis is required to determine if additional area may be potentially developed for Community Housing and if wastewater infrastructure can serve additional density. Potential Housing Site Potential Housing Site Page 28 of 34 State Land Board Legal Description: UNPLATTED; DOWD JUNCTION Highway 6, Eagle-Vail Property Size 71 Acres Zoning General Commercial and Resource per Eagle County land use code Ownership State Land Board Project Goals 300 Community Housing units, developed in phases with an early phase of 100 units between US6 and the Eagle River and future phase of 200 units on the north side of the Eagle River Infrastructure Infrastructure exists on the south side of Eagle River for first phase. Significant infrastructure is required to extend utilities and vehicle access to the north side of the Eagle River. Entitlement Needs Annexation into the Town of Avon, zoning, and subdivision Page 29 of 34 APPENDIX B: IMPLEMENTED COMMUNITY HOUSING STRATEGIES History of Accomplishments ♦Ordinance 2019-01, Community Housing Incentives for Sales Tax and Fee Waivers ♦Ordinance 2019-03, Inclusionary Housing regulations to include mitigation for new multi-family and commercial developments. ♦Ordinance 2019-06, Industrial Commercial Zone District Amendments to permit Community Housing as a Use by Right. ♦2 Deed Restricted for sale units constructed at One Waterfront Way. ♦Council Resolution 2020-25, Approving Fee Waivers and Deed Restrictions for 9 Rental Units at 77 Metcalf. ♦1 Resident Occupied Deed Restricted for sale unit at Riverfront Lodge. ♦Resolution 20-15, implementing the Mi Casa Avon Deed Restriction program. There have been 57 Mi Casa Avon deed restrictions recorded on free market units. ♦2 Resident Occupied Deed Restricted Units at Frontgate. ♦Council Resolution 2021-08, Approving Fee Waivers for Capital Improvement Project at 1011 West Wildwood Road. ♦Ordinance 21-13 Amending the Avon Community Housing Plan. ♦Council Resolution 2021-20, Approving Short-Term Rental Tax Ballot Question for Community Housing funding. ♦Purchase of Metcalf Lofts G20 for use as Employee Housing. ♦2023, created a full-time Housing Planner position. ♦Ordinance 23-18, adopting All Electric, Net Zero Energy Use Policy for Community Housing Projects. ♦Ordinance 23-30, The Avon Community Housing Policies (circa 1990/1991) were replaced in their entirety in 2023. ♦4% Use Tax on construction and building materials passed by voters in November 2024, funding Community Housing. ♦Ordinance 24-01, creating Community Housing Zone District. ♦Ordinance 24-04, Rezoned Tract Y from OLD to Community Housing High Density-1. ♦Resolution 24-10, Employee Housing Plan implemented. ♦Downtown Development Authority formed with a portion of funds allocated to Community Housing. ♦2024, Recipient of DOLA’s Local Capacity Planning Grant in the amount of $160,000 to investigate the feasibility of a Multijurisdictional Housing Authority. Page 30 of 34 ♦One (1) Resident Occupied Deed Restricted Unit constructed at Kestrel. ♦Ordinance 25-01, The Avon Community Housing Policies updated. ♦Purchase of 3008 Wildridge Rd 1A for use as Employee Housing. ♦Resolution 25-13, approving the purchase of 15 Sun Rd for eventual redevelopment, inclusive of Community Housing. ♦2025: Replacement Price Capped Deed Restriction is available for units with old deed restrictions that do not reflect current practices, policies, and provisions. The new version offers updated Permitted Capital Improvements for owners as a predominant upgrade. ♦Eagle County Regional Housing Needs Analysis was completed in 2025. ♦Partnership with Eagle County for Good Deeds Avon, offering buyers a 30% cash payment in exchange for recording a Price Capped Deed Restriction on a free market home at closing. ♦10 Good Deeds Avon Price Capped Deed Restricted Units in Avon in 2025. ♦Resolution 26-01, approving the purchase of 91 Beaver Creek Place for eventual redevelopment, inclusive of Community Housing ♦Ordinance 26-02, approving Village (at Avon) PUD Amendment, permitting Community Housing on CH1 and CH2 including the conveyance of CH1 to the Town of Avon. Page 31 of 34 APPENDIX C: INCOMES Area Median Income for Eagle County in 2026 Affordable Home Calculation by AMI, 2026 Affordable purchase prices were calculated assuming that a household would have 10% for a down payment and would qualify for a loan at 30% of their monthly income. HOA, property taxes and insurance of 20% were included in Mortgage Amount. The Maximum Mortgage assumes an interest rate of 6.51%, which is Freddie Mac's historical average over the past 30 years for a 30-year fixed rate mortgage. Interest rates have risen since 2023, adversely impacting affordability. Household Size 1 2 3 4 5 6 AMI Classifications 30% AMI (Extremely Low)29,130$ 33,300$ 37,470$ 41,610$ 44,940$ 48,270$ 50% AMI (Very Low)48,550$ 55,500$ 62,450$ 69,350$ 74,900$ 80,450$ 60% AMI (LIHTC Maximum)58,260$ 66,600$ 74,940$ 83,220$ 89,880$ 96,540$ 80% AMI (Low)77,680$ 88,800$ 99,920$ 110,960$ 119,840$ 128,720$ 100% AMI (Median)97,100$ 111,000$ 124,900$ 138,700$ 149,800$ 160,900$ 120% AMI 116,520$ 133,200$ 149,880$ 166,440$ 179,760$ 193,080$ 140% AMI (Moderate)135,940$ 155,400$ 174,860$ 194,180$ 209,720$ 225,260$ AMI%30% 60% 80% 100% 120% 140% Household Income - 2 persons 33,300$ 66,600$ 88,800$ 111,000$ 143,880$ 155,400$ Affordable Monthly Payment (30%)833$ 1,665$ 2,220$ 2,775$ 3,597$ 3,885$ HOA, taxes, insurance (20% of pmt)167$ 333$ 444$ 555$ 719$ 777$ Maximum Mortgage Payment 666$ 1,332$ 1,776$ 2,220$ 2,878$ 3,108$ Maximum Mortgage Amount 122,765$ 245,530$ 327,373$ 409,217$ 530,433$ 572,903$ Less: Closing Costs 1.5%(1,841)$ (3,683)$ (4,911)$ (6,138)$ (7,956)$ (8,594)$ Plus: Down Payment 10%12,276$ 24,553$ 32,737$ 40,922$ 53,043$ 57,290$ Maximum Purchase Price 133,200$ 266,400$ 355,200$ 444,000$ 575,520$ 621,600$ Freddie Mac 30 year historical average 6.51%6.51% interest rate 5/21/2026 Affordable Rent 833$ 1,665$ 2,220$ 2,775$ 3,597$ 3,885$ Page 32 of 34 APPENDIX D: Definitions & Best Practices Topic Process, Method, or Frequency Definition Jurisdiction Inclusionary Housing Either Recommended (e.g., Eagle County) or Required ( e.g., Eagle) A percentage of residential units in new subdivisions/ PUDs are restricted for workforce housing. Carbondale, Eagle, Eagle County, San Miguel County, Eagle, Crested Butte Employee Linkage/ Mitigation Typically Required in Codes New residential and/or commercial development to contribute to workforce housing relative to demand generated by the new construction. For residential, mitigation rate often increases based on square footage, and deed restricted units are typically exempt. Fees in lieu provide revenue stream that fluctuates with building activity. Documented relationship between fee and impact required. Avon, Telluride, Aspen, Mt. Crested Butte, Vail Fee Waivers Available – Development Specific Water/sewer tap fees, building permit or other fees waived in part or whole to reduce cost to build affordable housing. General funds or other source need to cover cost of fees waived. Avon, Breckenridge, Crested Butte, Eagle County, Vail Dedicated Funding Source Varies Funding is a core component of building housing and running successful housing programs. Few programs begin with funding; rather, finding funding is an incremental process that goes hand in hand with creating goals and objectives, developing policies, securing appropriate land for housing, and moving forward with public/Private partnerships. Dedicated funding sources take many forms including grants, fee in lieu payments, taxes, voluntary assessments, proceeds from rents or sales. Avon, Summit County, Steamboat Springs, Crested Butte, Aspen, Telluride Public/Private Partnerships Common Partnering with developers to build attainable units, typically on publicly owned sites, or using other public resources such as property tax exemption. RFQ/RFP process effective for selecting development partners. Ownership of land can be retained with long-term land leases to operators. Avon, Eagle County, Vail, Breckenridge, Boulder Qualified Employee / Eligible Household Typically Required and Vetted by Jurisdiction An individual who is 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; or a person who derives income from self-employment whose Avon, Vail, Eagle, Eagle County Page 33 of 34 Additional Terms and Definitions can be found in the Avon Comprehensive Plan and Avon Community Housing Policies. Click on LINKED IMAGES right for documents Community Housing Programs: ¡Mi Casa Avon! is a program to incentivize prospective homebuyers to place a deed restriction on their property to ensure more permanent residents have an opportunity to purchase homes within Avon. There is no price appreciation cap on a ¡Mi Casa Avon! Deed Restriction. This deed restriction is an agreement between you, the new homebuyer, and the Town of Avon that limits the use of your property. In this case, the deed restriction limits Eagle County employees' ownership and use of the property. In exchange for the deed restriction, the Town of Avon pays you a lump sum through the ¡Mi Casa Avon! Program to help offset the purchase price. Good Deeds Avon is the first partnership launched under Housing Eagle County’s Community Partner Program, co- designed with the Town of Avon to set a new standard for regional collaboration. Avon’s investment is matched one- to-one by the Eagle County Housing and Development Authority (ECHDA), providing up to a 30% buy-down of the purchase price on eligible open-market homes within Avon’s jurisdictional boundary. Municipal Employee Home Ownership Program ("MEHOP") is a payment assistance program for Avon Employees to support home ownership whereby the Town will provide up to 30% of the purchase price of a home in exchange for recording a price capped deed restriction on an open market property. Avon Council adopted the Town of Avon Municipal Employee Housing Plan in 2024 setting goals to provide more housing and approved a deed restriction purchase program to help Town of Avon Employees purchase an affordable home. Topic Process, Method, or Frequency Definition Jurisdiction business is situated in Eagle County; or a person who works for an employer outside Eagle County if that person can demonstrate that the residence subject to this deed restriction is the primary residence for that person Buy Down of Market Homes Usually involves buying down units with public funds through deed restrictions imposed for permanent affordability. Avon, Eagle County, Eagle, Vail, Breckenridge, Whitefish MT, Telluride No Net Loss Policy Typically Required in Code Requiring replacement of housing occupied by the workforce when redevelopment occurs. Similarly priced units should be replaced on site, or another site, or a fee-in-lieu of replacement could be allowed. Boulder, Basalt Page 34 of 34 APPENDIX E: HOUSING NEEDS ANALYSIS 2025 Eagle County Regional Housing Needs Analysis 7 7 Pathway https://www.avon.org/DocumentCenter/View/25670/2025-EC-Regional-Housing-Needs-Assessment---Final?bidId= ATTACHMENT C – INCLUSIONARY HOUSING PROGRAMS Mandatory Inclusionary Housing Programs in Colorado: Rural Resort CO Communities Name Title Year Adopted / Updated Geography Ownership vs. rental Project minimum Affordability requirement Compliance options Affordability term AMI Level Incentives Carbondale Community Housing Inclusionary Requirements 2001 / 2016 Entire jurisdiction Ownership and rental 5 units 20% of units (15% of bedrooms) On-site units, off-site units, buy down units, fee in-lieu In perpetuity Mix of 80-150% AMI Fee reduction/waiver Eagle County Affordable Housing Guidelines 2004 / 2014 Entire jurisdiction Ownership and rental 4 units 25% of units, or 15% of total square footage, or 45% of new employees On-site units, off-site units, rehab regulated units, renovate unregulated units, in-lieu fee, donate land, other In perpetuity 80-100% Rental 100- 140% Ownership Discretionary incentives: fee in lieu, land in lieu, density/height bonus Town of Eagle Inclusionary residential requirements for local employee residency 2002 / 2023 Entire jurisdiction Ownership and rental 10 units 15% PC / 35% RO On-site units, off-site units, redevelopment In perpetuity 80% or less for Rental, 140% or less for Ownership Fee in lieu, land in lieu, zoning, density, height, fee waiver Glenwood Springs Affordable and Workforce Housing 2021 Entire jurisdiction Ownership and rental 10 units 10% of units On-site units, land donation 30 years 100% AMI Density bonus, site design flexibility, public-private partnerships, tax rebate Mt. Crested Butte Inclusionary Zoning 2003 Entire jurisdiction Ownership and rental Single family less than 2,700 sq. ft. 15% of units On-site units, off-site units, in-lieu fee In perpetuity 120% AMI None Salida Inclusionary Housing 2018 / 2022 Certain zones, neighborhoods, or districts Ownership and rental 5 units 16.7% of units On-site units, off-site units, in-lieu fee, donate land In perpetuity 80% AMI rental 120-160% AMI ownership Density bonus, reduced parking requirements, concessions Telluride Affordable Housing Mitigation 2007 Entire jurisdiction Ownership and rental N/A Calculated based on square footage On-site units, in-lieu fee, other In perpetuity Tier based on square footage required Target: 70-150 AMI Limit: 120%-220% AMI Fee reduction/waiver including water fees Aspen Affordable Housing Mitigation 1977 / ? Entire jurisdiction Ownership and rental unknown Calculated based on square footage On-site units, off-site units, rehab regulated units, renovate unregulated units, in-lieu fee 30 years 0-240% AMI None Basalt Residential Inclusionary Requirements 1999 / 2015 / 2024 Entire jurisdiction Ownership and rental 2 units 20% of new units or 25% of square footage On-site units, off-site units, in-lieu fee, other In perpetuity 100% AMI rental, 120% AMI ownership, allows averaging Fee reduction/waiver, other Durango Fair Share Housing 2009 / 2014 Entire jurisdiction Ownership 4 units 16% of all units On-site units, fee in lieu, land donation In perpetuity 80%-125% AMI Fee refunds and waivers Source: Jurisdiction Municipal Codes and Grounded Solutions IZ database ATTACHMENT D – SALES, ACCOMMODATIONS, SHORT-TERM RENTAL TAX INFORMATION Town Of Avon Tax Breakdown 2026 Short-Term Rental Tax Accommodations Tax Town of Avon (Sales Tax) 4.00% Town of Avon (Sales Tax) 4.00% Eagle County (Sales Tax) 1.50% Eagle County (Sales Tax) 1.50% State of Colorado ( Sales Tax) 2.90% State of Colorado ( Sales Tax) 2.90% Eagle River Fire Protection (Sales Tax) 0.79% Eagle River Fire Protection (Sales Tax) 0.79% CORE Region Transit Authority (Sales Tax) 0.50% CORE Region Transit Authority (Sales Tax) 0.50% Town of Avon (Accommodations Tax) 4.00% Town of Avon (Accommodations Tax) 4.00% Town of Avon (Short Term Rental Tax) 2.00% TOTAL 13.69% TOTAL 15.69% Short-Term Rental Tax Total Sales 2% 3% 4% 5% 56,132,948.50 2022 $1,122,659 $1,683,988 $2,245,318 $2,806,647 51,909,644.50 2023 $1,038,193 $1,557,289 $2,076,386 $2,595,482 50,005,862.50 2024 $1,000,117 $1,500,176 $2,000,235 $2,500,293 52,068,794.50 2025 $1,041,376 $1,562,064 $2,082,752 $2,603,440 47,906,750.00 2026 $958,135 $1,437,203 $1,916,270 $2,395,338 $5,160,480 $7,740,720 $10,320,960 $12,901,200 Total difference vs 2% (2022–2026) $0 $2,580,240 $5,160,480 $7,740,720 Yearly Difference vs 2% Rate Year 2% 3% 4% 5% 2022 $0 $561,329 $1,122,659 $1,683,988 2023 $0 $519,096 $1,038,193 $1,557,289 2024 $0 $500,059 $1,000,117 $1,500,176 2025 $0 $520,688 $1,041,376 $1,562,064 2026 $0 $479,068 $958,135 $1,437,203 Total $0 $2,580,240 $5,160,480 $7,740,720 ATTACHMENT D– SALES, ACCOMMODATIONS, SHORT-TERM RENTAL TAX INFORMATION $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 2022 2023 2024 2025 2026 (Projected) Ta x R e v e n u e ( $ ) Year Short-Term Rental Tax by Rate (2022–2026) 2%3%4%5% $0 $561,329 $519,096 $500,059 $520,688 $479,068 $0 $1,122,659 $1,038,193 $1,000,117 $1,041,376 $958,135 $0 $1,683,988 $1,557,289 $1,500,176 $1,562,064 $1,437,203 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 2022 2023 2024 2025 2026 (Projected) Di f f e r e n c e v s 2 % ( $ ) Year Additional Tax Revenue vs 2% Rate by Year Series1 Series2 Series3 $2,494,461 $2,317,647 $2,205,128 $2,265,726 $2,089,148 $1,850,000 $1,900,000 $1,950,000 $2,000,000 $2,050,000 $2,100,000 $2,150,000 $2,200,000 $2,250,000 $2,300,000 $2,350,000 $2,400,000 $2,450,000 $2,500,000 $2,550,000 2022 2023 2024 2025 2026 Ta x R e v e n u e Year 4% Accommodations Tax by Year ATTACHMENT D – SALES, ACCOMMODATIONS, SHORT-TERM RENTAL TAX INFORMATION Colorado Ski Resort Tax Comparison Ski Resort Total Sales Tax/Fee Total Lodging Tax/Fee Combined Total Aspen 9.30% 12.00% 21.30% Avon 9.69% 6.00% 15.69% Avon (Village) 10.44% 6.00% 16.44% Beaver Creek 10.25% 4.96% 15.21% Breckenridge 8.88% 3.40% 12.28% Copper 10.38% 6.00% 16.38% Crested Butte 13.40% 7.50% 20.90% Keystone 6.375% 8.375% 14.75% Mountain Village 9.47% 4.00% 13.47% Snowmass 10.40% 2.40% 12.80% Steamboat Springs 9.90% 10.00% 19.90% Telluride 9.47% 7.75% 17.22% Vail 9.40% 1.40% 10.80% Winter Park 10.20% 3.00% 13.20% General - Overall STR License by Type 6/5/2026 Front Desk Managed Properties (Outside of Capped Overlay Area) Name Available Bedrooms Per Complex # of Bedrooms # of Units Under FD License Beaver Creek West 140 176 70 Christie Lodge 335 275 335 The Ascent 136 40 13 Falcon Pointe Condos 80 79 54 Frontgate Avon 211 51 20 One Riverfront 143 Riverfront Lodge and Townhomes 83 78 31 Full STR License Count 93 Full STR License: 0-1 Bedroom Count 30 Full STR License: 2 Bedrooms Count 100 Full STR License: 3 Bedrooms Count 75 Full STR License: 4+ Bedrooms Count 14 Limited STR License Count 15 Resident Occupied STR License Count 10 Grand Count 337 ATTACHMENT D– SALES, ACCOMMODATIONS, SHORT-TERM RENTAL TAX INFORMATION Riverfront Village Hotel LLC 191 252 170 Wyndham 107 107 107 Avon Center 163 29 11 Sheraton Mtn. Vista & Lakeside Terrace 229 181 Westin Riverfront Mountain Villas 68 68 Totals 1886 1336 811 Avon Community Housing Plan –Open House July 20, 2026 OPEN HOUSE –2026 HOUSING PLAN July 20, 2026 AVON STAFF Eric Heil, Town Manager Matt Pielsticker, Community Development Director Patti Liermann, Housing Planner Jena Skinner, Planning Manager Eva Wilson, Engineering Director Paul Redmond, Chief Financial Officer ATTACHMENT E - PRESENTATION Avon Community Housing Plan –Open House July 20, 2026 PROCESS •Avon Planning and Zoning Commission reviews, conducts public hearings and makes recommendation to Council. Public Hearings held on June 8, June 22, July 13. Next Aug 10 •Avon Town Council adopts by Ordinance, requires two readings and conducting public hearings. •Avon Community Housing Plan is part of Avon’s Comprehensive Plan and provides direction on implementation Avon Community Housing Plan –Open House July 20, 2026 HISTORY OF AVON COMMUNITY HOUSING PLANNING before 2018 •Avon served as workforce housing for Vail and Beaver Creek from mid-1970s through mid-2010s •63 deed restricted units by Planned Unit Development Approval •Constructed 17 Wildwood Townhomes in 1992 •1998 Village (at Avon) PUD required 500 Affordable Housing Units •Buffalo Ridge (244); Eagle Bend (294); Kayak Crossing (50) = 588 •Employee Housing Mitigation 20% (2010 Code) Avon Community Housing Plan –Open House July 20, 2026 HISTORY OF AVON COMMUNITY HOUSING PLANNING •1st Avon Community Housing Plan in 2018 •Avon Community Housing Plan update in 2021 •Avon Community Housing Policies in 2025 •Avon Community Housing Plan Update -2026 Avon Community Housing Plan –Open House July 20, 2026 AVON’S REGIONAL HOUSING COLLABORATION •On-Going Water Supply Analysis –2019-2025 •Regional Land Inventory -2022 •Regional Housing Needs Assessment –2025 •Good Deeds Avon -2025 •Regional Housing Solutions –2025 Avon successfully applied for planning grants and served as project administrator Avon Community Housing Plan –Open House July 20, 2026 2021 Mountain Migration Report •Documented migration from urban areas to Colorado mountain communities in response to Covid pandemic •Colorado mountain communities experience 3-4 years of hyper-inflation in residential property values, which dramatically intensified the housing crisis Avon Community Housing Plan –Open House July 20, 2026 2018 Avon Community Housing Plan Adopted Tax and Fee Waivers Revised Commercial Industrial Zone District to add Community Housing Adopted Community Housing Zone Districts Launched Mi Casa Avon; Good Deeds Avon Dedicated Funding Rezoned Lots Purchased Property Actively pursued State Land Board propose to develop Community Housing Rezoned Slopeside and completed Conceptual Design Several other projects to discuss Avon Community Housing Plan –Open House July 20, 2026 Avon Community Housing Plan –Open House July 20, 2026 COMMUNITY HOUSING FUND 2% Short Term Rental Tax $1,000,000 10% Transfer of 2% RETT $ 500,000 4% Use Tax $ 250,000 50% Avon DDA tax increment $ 250,000 TOTAL $2,000,000 Expenditures •Mi Casa Avon/Good Deeds •Design Fees •Property Investigations •Acquisition of Property •(future) Construction •Planning Grant Local Match •Administration Avon Community Housing Plan –Open House July 20, 2026 OTHER FUNDING SOURCES Proposition 123 –In 2022 Colorado voters approved dedicating 0.1% of State income tax to affordable housing, $300M per year. Avon has applied for waiver to support up to 100% AMI Rental projects and 140% AMI Ownership projects. Housing Development Grants -Grants or low interest loans <120% AMI (limited statewide funding, i.e. $20M total per year) LIHTC –Low-Income Housing Tax Credits <60% AMI MIHTC – Middle-Income Housing Tax Credits 80-140% AMI Tax Exempt Bonds –1.5% to 2.0% less than private financing Regional Housing Needs Assessment 2025 CURRENT NEED: 2,600 more units 10 YEAR NEED: 3,700 more units TOTAL 10 YEAR:6,300 more units Jurisdiction Allocation Units Vail 26%1,638 Avon 25%1,575 Eagle County 24%1,512 Eagle 16%1,008 Gypsum 8%504 Minturn 1%63 Avon Community Housing Plan –Open House July 20, 2026 Government Housing Goal CURRENT NEED: 2,600 more units 10 YEAR NEED: 3,700 more units TOTAL 10 YEAR:6,300 more units Jurisdiction Allocation Units Vail 26%1,638 Avon 25%1,575 Eagle County 24%1,512 Eagle 16%1,008 Gypsum 8%504 Minturn 1%63 •Assume local government must provide at least 50% of housing need •Avon’s share would be 788 •Average subsidy is $150,000 •Financial need is $118,200,000 Avon Community Housing Plan –Open House July 20, 2026 REGIONAL HOUSING SOLUTIONS: Research Existing Housing Authorities •Aspen/Pitkin County Housing Authority (1978) •San Miguel Regional Housing Authority (1991) •Vail Local Housing Authority (2001) •Yampa Valley Housing Authority (2003) •Summit Combined Housing Authority (2006) •Eagle County Housing & Development Authority (2008) •Gunnison Valley Regional Housing Authority (2012) •Chaffee Housing Authority (2020) •Fraser River Valley Housing Partnership (2022) •Silverton County Multijurisdictional Housing Authority (2023) •Clear Creek Regional Housing Authority (2024) Avon Community Housing Plan –Open House July 20, 2026 Avon Community Housing Plan –Open House July 20, 2026 Avon Community Housing Plan –Open House July 20, 2026 Avon Community Housing Plan –Open House July 20, 2026 Avon Community Housing Plan –Open House July 20, 2026 Avon Community Housing Plan –Open House July 20, 2026 NOTE: 1,000 residences exceeds the 788 number stated as a target from the Regional Housing Needs Assessment. Avon can host more potential housing than its share. Avon does not have the financial means to achieve this quantity of housing, which will necessarily depend upon regional partnerships. Additional residential development MAY create net costs for Town of Avon, which is being analyzed by the Avon Finance Committee. Avon Community Housing Plan –Open House July 20, 2026 PROJECTS PROGRAMS POLICIES 750 –70% 265 –25%50 –5% Avon Community Housing Plan –Open House July 20, 2026 PROJECTS PROGRAMS POLICIES 750 67% Ownership 33% Rental 265 –100% Ownership 50 TBD Avon Community Housing Plan –Open House July 20, 2026 POLICIES Existing: •20% Employee Housing Mitigation •Tax & Fee Waivers •Development Bonus Limited Impact Proposed: •30% Employee Housing Mitigation @ 100% AMI •Up to 50% Inclusionary Zoning in Town Core •Annexations should maximize Community Housing Still Limited Impact Avon Community Housing Plan –Open House July 20, 2026 Deed Restriction Purchase programs are very flexible and can be increased with additional funding. These programs do not require the complexity of zoning, entitlements, and construction. PROGRAMS Avon Community Housing Plan –Open House July 20, 2026 PROJECTS This list of new construction projects is the result of development approvals by the Town of Avon, rezoning or planning designation of existing Town of Avon properties, and direct land acquisitions by the Town of Avon. Actual development timing, type, AMI and other details will depend upon a variety of factors. Developer proposal indicated that the required capital investment by Avon to achieve 100% AMI average would be $17.5M, with the potential for Avon to be repaid in 11 years with increasing cash flows and refinancing to cash out equity. $165k per unit investment $63M to $65M total cost $613k cost per unit average CAPITAL STACK •Bonds (Rent Revenues) •Prop 123 Equity •Developer Equity •MIHTC -Middle Income Housing Tax Credits •Avon Subsidy Avon Community Housing Plan –Open House July 20, 2026 PROCESS •Avon Planning and Zoning Commission reviews, conducts public hearings and makes recommendation to Council. Public Hearings held on June 8, June 22, July 13. •Avon Town Council adopts by Ordinance, requires two readings and conducting public hearings. •Avon Community Housing Plan is part of Avon’s Comprehensive Plan. Submit Comments to Housing@Avon.Org Questions? Comments? Matt Pielsticker Matt@Avon.org Eric Heil Eric@Avon.org Avon Community Housing Plan –Open House July 20, 2026 970.748.4088 predmond@avon.org TO: Honorable Mayor Underwood and Councilmembers FROM: Paul Redmond, Chief Finance Officer Nina Williams, Town Attorney RE: Ordinance 26-01: Updates to Chapter 3: Impact Fee Schedule DATE: July 8, 2026 SUMMARY: This report presents Ordinance 26-01, repealing Avon Municipal Code (“Code”), Section 3.40.100, concerning the Impact Fee Schedule. The repeal provides clarity and corrects the Code by no longer having inaccurate information regarding impact fees that are assessed exclusively by fire districts. The first reading of Ordinance 26-01 passed by Council on August 11, 2026. BACKGROUND: Pursuant to Senate Bill 24-194, Colorado Revised Statute 32-1-1002 was amended to allow fire protection districts to impose impact fees on the construction of new buildings, structures, facilities, and improvements. Colorado Revised Statute 29-20-104.5 was also amended to remove the authority of a local government to impose an impact fee for fire and emergency services. Following these legislative updates, the Town of Avon (“Town”) and Eagle River Fire Protection District (“ERFPD”) executed an Amended Intergovernmental Agreement concerning the collection, payment, and use of Fire District Impact Fees by ERFPD, rather than the Town. However, Section 3.40.100 of the Code still reflects the Town’s assessment of impact fees for fire protection and emergency medical services. Repealing this section will remove inaccuracies about the authority to assess these impact fees from the Code. In March 2025, ERFPD approved a resolution authorizing Eagle River Fire Protection District to impose its own impact fees. The Town of Avon, Red Cliff, Minturn, and Eagle County had previously calculated fire impact fees based on the water meter size of new developments. Based on ERFPD’s 2024 Impact Fee Study, the district determined that calculating fees based on the square footage of a development, rather than water meter size, is a better practice. The Town of Avon does collect the impact fee on behalf of ERFPD at the time of the building permit. The fees are wired to ERFPD on a quarterly basis.. Additionally, the Consolidated and Restated Development Agreement with the Village (at Avon) used to waive the Fire District fees in lieu of the 1-acre parcel that was dedicated to ERFPD but this limitation on imposing fees was only effective against the Town of Avon and did not apply to or restrict ERFPD. Presently, the impact fees may be assessed independently by ERFPD since the statutory change and ERFPD not being a party to the Agreement. PROPOSED CHANGES: The proposed change to Section 3.40.100 is to entirely repeal this section. RECOMMENDATION: I recommend that Council adopt Ordinance 26-01 on second reading. PROPOSED MOTION: “I move to approve Second Reading of Ordinance 26-01, Repealing Section 3.40.100, “Impact Fee Schedule,” of the Avon Municipal Code.” Thank you, Paul ATTACHMENT A: Ordinance No. 26-01 Ord 26-01 Repeal Impact Fee Schedule July 7, 2026 Page 1 of 4 + ORDINANCE 26-01 REPEALING SECTION 3.40.100, “IMPACT FEE SCHEDULE,” OF THE AVON MUNICIPAL CODE 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 (“Avon”), the Avon Town Council (“Council”) has the power to make and publish ordinances necessary and proper to provide for the safety, preserve the health, promote the prosperity, and improve the morals, order, comfort, and convenience of its inhabitants; and WHEREAS, pursuant to such authority, the Town has previously adopted Title 3, Chapter 3.40 of the Avon Municipal Code (“Code”), regarding Impact Fees and, more specifically, Section 3.40.100, concerning the impact fee schedule for fire protection and emergency medical services within the Town of Avon; and WHEREAS, in 2024, pursuant to Senate Bill 24-194, C.R.S. 29-20-104.5 and 32-1-1002, concerning the authority to impose an impact fee to fund fire protection and emergency services, was amended to grant such authority exclusively to fire protection districts and ambulance districts; and WHEREAS, in May of 2025, the Town entered into an Amended Intergovernmental Agreement with Eagle River Fire Protection District (“ERFPD”) “to incorporate the Fire Impact Fees, incorporate changes based on Senate Bill 24-194, and to provide for an automatic annual increase beginning January 1, 2026, based on the percentage increases in the Consumer Price Index.”; WHEREAS, Council now wishes to repeal Section 3.4.100 of Title 3 to simplify the Code since ERFPD has the established and exclusive authority to directly impose impact fees on the construction of new buildings, structures, facilities, and improvements; and WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the Town Council desires to comply with the requirement of Section 6.5(d) of the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence and that approval of this Ordinance on first reading does not constitute a representation that the Town Council, or any member of the Town Council, has determined to take final action on this Ordinance prior to concluding the public hearing on second reading. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO, the following: Section 1. Recitals Incorporated. The above and foregoing recitals are incorporated herein ATTACHMENT A by reference and adopted as findings and determinations of the Town Council. Ord 26-01 Repeal Impact Fee Schedule July 7, 2026 Page 2 of 4 Section 2. Repealing Section 3.40.100 of the Avon Municipal Code. Section 3.40.100 of the Avon Municipal Code is hereby repealed in its entirety as follows: 3.40.100 - Impact fee schedule. (a) The following impact fees for fire protection and emergency medical services are established and imposed. The impact fee amounts and rates are deemed to fairly, equitably and proportionately mitigate the impacts on capital facilities for fire protection and emergency medical services created by development within the Town. Any impact fee for fire protection and emergency medical services hereby imposed shall be imposed and applied on a uniform and nondiscriminatory basis throughout the Town to any lot, tract or parcel or expansion for which no building permit has yet been issued. (b)For residential, commercial (including lodging) or industrial development, impact fees imposed for fire protection and emergency medical services shall be based on the size of the water meter required for development. Size of Water Meter Impact Fee ¾ Inch $1,701 1 Inch $2,892 1 ½ Inch $5,614 2 Inch $9,016 3 Inch $18,713 4 Inch $28,290 6 Inch $56,140 Section 3. Severability. If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. The Town Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared unconstitutional or invalid. As used in this Section, the term “provision” means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term “application” means and includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 4. Effective Date. This Ordinance shall take effect thirty days after the date of final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Ord 26-01 Repeal Impact Fee Schedule July 7, 2026 Page 3 of 4 Section 5. Safety Clause. The Town Council hereby finds, determines and declares that this Ordinance is promulgated under the general police power of the Town of Avon, that it is promulgated for the health, safety and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 6. 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 7. 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 8. Publication. The Town Clerk is ordered to publish this Ordinance in accordance with Chapter 1.16 of the Avon Municipal Code. Ord 26-01 Repeal Impact Fee Schedule July 7, 2026 Page 4 of 4 INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING by the Avon Town Council on August 11, 2026 and setting such public hearing for August 25, 2026 at the Council Chambers of the Avon Municipal Building, located at One Hundred Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ ___________________________________ Tamra N. Underwood, Mayor Miguel Jauregui Casanueva, Town Clerk ADOPTED ON SECOND AND FINAL READING by the Avon Town Council on August 25, 2026. BY: ATTEST: ____________________________ ___________________________________ Tamra N. Underwood, Mayor Miguel Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: ____________________________ Nina Williams, Town Attorney 970-748-4413 matt@avon.org TO: Honorable Mayor Underwood and Council members FROM: Matt Pielsticker, AICP, Community Development Director Claire Perez, Planner II RE: PUBLIC HEARING & SECOND READING: Ordinance 26-11 Title 15 Building and Construction Code Amendments DATE: August 21, 2026 SUMMARY: The Avon Town Council (“Council”) authorized proceeding with various amendments to Avon Municipal Code (“AMC”) Title 15: Buildings and Construction (“Building Code”) at the February 24, 2026 meeting. Ordinance 26-11 includes the following amendments: (1) Lighting, (2) Single stairway, and (3) National Electric Code. For second and final reading, additional changes to the code language are indicated with blue text. LIGHTING: The Town’s lighting standards were slightly modified in 2022, however, they have been largely untouched since original adoption in 2014. Recent developments and best practices for lighting continue to evolve. Proposed updates are intended to clarify existing standards, reflect current lighting technology and development patterns, and further reduce light pollution while maintaining public safety and functionality. The lighting standards codified in the Building Code do not apply to development in the Village (at Avon). These updates also align the Town’s lighting standards more closely with the Dark Sky International Organization’s principles for responsible outdoor lighting and ensure they remain relevant to current and anticipated redevelopment patterns in Avon, including lighting associated with canopies, stairwells, rooftops, and other building features that may contribute to exterior lighting impacts. The Town is not eligible for Dark Sky Community designation, primarily due to total site lumen allowance (e.g. lumen budget) standards. Proposed changes include: • Amending the intent and purpose section to align with Dark Sky International principles • Establishing height limits for pole-mounted fixtures and deck/balcony lighting • Requiring exterior fixtures to use a warm 2700–3000 Kelvin color temperature • Regulating rooftop lighting to minimize light spill onto neighboring properties • Expanding standards to additional areas, including interior and exterior stairwells, canopy lighting, and electric vehicle ports • Updating definitions and visual aids for acceptable and unacceptable fixtures • Creating a general provision addressing excessive lighting, as determined by the Community Development Director • NEW- Holiday lighting modified based on Council feedback. • NEW- Chapter title no longer ‘Outdoor’ lighting, and other references removed where appropriate. • NEW- Uplighting allowance reduced in scope NATIONAL ELECTRIC CODE: Council approved Ordinance 22-16 on December 3, 2022, adopting the latest building codes including the 2020 edition of National Electrical Code (“NEC”). On August 1, 2023 the Colorado State Electric Board required the adoption of the 2023 NEC edition. Pursuant to CRS §12-115- 107(2)(a), municipalities must adhere to the minimum standards of the adopted code. The adoption section of the Avon Municipal Code will be modified to automatically adopt the most recent copy of the NEC that the State adopts, therefore future updates will be not be necessary and Avon will be in line with the most recent NEC. Page 2 of 2 SINGLE STAIRWELL DESIGN: Colorado HB25-1273 requires municipalities over 100,000 residents to amend building codes by the end of 2027 to allow multifamily buildings with single stairway designs under certain conditions. Although HB-25-1273 mandates compliance for jurisdictions over 100,000, it does not prohibit smaller municipalities from adopting the same or similar provisions voluntarily. Avon is home rule with ample authority to regulate building and fire codes under Article XX of the Colorado Constitution. The bill aims to offer designers/builders with more flexibility in building design, and ultimately cost savings for more affordable housing construction alternatives. Adding a second stairway to an apartment building can increase building costs by 6 to 13 percent. While Avon has below 100,000 residents, there is local interest in adding the ability to design with a single stairway in certain circumstances to lower building costs. The bill requires coordination with local fire districts. Staff have coordinated, and plans to continue coordinating with the ERFPD staff. The Chairperson of Avon PZC has advanced the topic at the local level. RECOMMENDATION: I recommend Council approve second reading of the Ordinance, advancing Lighting, NEC, and Single Stairway modifications to Chapter 15 of the Avon Municipal Code. RECOMMENDED MOTION: “I move to approve second reading of Ordinance 26-11, approving amendments to Avon Municipal Code Title 15, Buildings and Construction.” Thank you, Matt ATTACHMENT A: Ordinance 26-11 ATTACHMENT A ORDINANCE 26-11 APPROVING AMENDMENTS TO AVON MUNICIPAL CODE TITLE 15 BUILDING AND CONSTRUCTION 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 (“Avon”), the Avon Town Council (“Council”) has the power to make and publish ordinances necessary and proper to provide for the safety, preserve the health, promote the prosperity, and improve the morals, order, comfort, and convenience of its inhabitants; and WHEREAS, Council wishes to amend Chapter 15.30 of Title 15 of the Code to update Avon’s Outdoor Lighting standards with additional best practices and safeguards to maintain a dark sky experience for residents and guests; and WHEREAS, Pursuant to C.R.S. §12-115-107(2)(a) the Town will automatically adopt the most recent version of the National Electric Code adopted by the Colorado State Electric Code; and WHEREAS, Council desires to add new single exit standards for multi-family construction projects in order to allow design flexibility and reduce the cost of construction; and WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the Council desires to comply with the requirement of Section 6.5(d) of the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence and that approval of this Ordinance on first reading does not constitute a representation that Council, or any member of 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 Council. Section 2. Lighting Standards. Council hereby amends Chapter 15.30, Title 15 of the Avon Municipal Code, as outlined in Exhibit A. Section 3. National Electric Code. Council hereby adopts the following modifications to Chapter 15.12 of the Avon Municipal Code - National Electric Code: Section 15.12.010 – Adoption. “The Town adopts the 2020 most current edition of the National Electrical Code which has been adopted by the Colorado State Electrical Board, except as amended in this Chapter. The 2020 National Electrical Code is published by the National Fire Protection Association, 1 Second Reading Ord 26-11 Amending Chapter 15 of the Municipal Code Page 1 of 4 ATTACHMENT A Second Reading Ord 26-11 Amending Chapter 15 of the Municipal Code Page 2 of 4 Batterymarch Park, Quincy, MA 02269. A copy of the 2020 adopted National Electrical Code is on file in the Town Clerk's office and is available for inspection during regular office hours. Adoption of this code cycle is mandated by DORA (Department of Regulatory Agencies.” 15.12.030 - Violation. The following clause concerning violations is set forth in full and adopted with reference to the 2020 National Electrical Code named in the title of this Chapter. "It is unlawful for any person, firm or corporation to erect, construct, alter, move, demolish, repair, use and occupy any building or structure and building service equipment, or maintain any building or structure in the Town or cause or permit the same to be done, contrary to or in violation of any of the provisions of any of the codes or standards named in the title of this Chapter." 15.12.040 - Penalty. Any person violating any of the provisions of this Chapter or of the provisions of the 2020 National Electrical Code named in the title of this Chapter, as adopted and modified herein, shall be deemed to have committed a civil infraction for each and every day or portion thereof during which any infraction of any of the provisions of any of the codes and standards named in the title of this Chapter is committed, continued or permitted and shall be subject to the penalties contained in Chapter 1.09 of this Code. 15.12.060 - Validity. If any section, subsection, sentence, clause or phrase of the 2020 National Electrical Code named in the title of this Chapter is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining provisions of this Chapter. The Town declares that it would have passed the ordinance codified in this Chapter, and each section, subsection, clause or phrase hereof, irrespective of the fact that any one (1) or more sections, subsections, sentences, clauses and phrases be declared invalid. Section 4. Single Stairway. Council hereby adopts amendments to Chapter 15.08 of the Avon Municipal Code, adding Amended exit design parameters for Multi-family Construction as outlined in Exhibit B. Section 5. 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 Avon. ATTACHMENT A Second Reading Ord 26-11 Amending Chapter 15 of the Municipal Code Page 3 of 4 Section 6. Effective Date. This Ordinance shall take effect thirty days after the date of final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Section 7. 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 8. 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 9. 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 10. 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 August 11, 2026, and setting such public hearing for August 25, 2026 at the Council Chambers of the Avon Municipal Building, located at One Hundred Mikaela Way, Avon, Colorado. ADOPTED ON SECOND AND FINAL READING by the Avon Town Council on August 25, 2026. ATTACHMENT A Second Reading Ord 26-11 Amending Chapter 15 of the Municipal Code Page 4 of 4 BY: ATTEST: ________________________________ _________________________________________ Tamra N. Underwood, Mayor Miguel Jauregui Casanueva, Town Clerk APPROVED AS TO FORM: ____________________________ Nina Williams, Town Attorney EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 1 of 8 This section is being amended to increase its clarity and understanding, with modernization of the terms and images as it has become outdated. Underlined red text is new proposed language. Bold strikethrough text is proposed deleted language. Blue text is revised language for second reading. CHAPTER 15.30 Outdoor Lighting Standards 15.30.010 Intent and Purpose. (a)The purpose of this Chapter is to reduce offensive lighting sources and unnecessary lighting and reduce eliminate light trespass beyond property lines. including unnecessary upward lighting. TheTown Avon is experiencing a significant increase in the use of exterior illumination lighting and the Town intends to facilitate responsible lighting practice. Town residents and guests value small town character and the qualities associated with this character, including the ability to view the stars against a dark sky. They recognize that inappropriate and poorly designed or installed outdoor exterior lighting causes unsafe and unpleasant conditions and limits their ability to enjoy the nighttime sky. (b)This Chapter is intended to help maintain the health, safety and welfare of the residents of the Town through the regulation of exterior lighting in order to: (1)Promote adequate light for safety and security; (1)Ensure all existing and future installed lighting has a clear purpose, is directed only where necessary, and is used only when it is functional. (2)Prevent inappropriate and poorly designed or installed outdoor lighting; (3)Reduce glare; (4)Reduce nighttime light pollution and protect and reclaim the ability to view the night sky by restricting the unnecessary upward projection of light; and (5)Phase out existing nonconforming fixtures that violate this Chapter, including those owned by the Town. (6)Ensure installed lighting is not brighter than necessary. (7)All lighting must be complaint with HB23-1161, which reduces mercury pollution and energy use and encourages LED lighting. 15.30.020 Definitions For the purposes of this Chapter, the following definitions shall apply: Canopy lighting. Exterior lighting installed on or under an exterior overhang Exterior lighting. Temporary or permanent lighting that is installed, located or used in such a manner to cause light rays to shine outdoors. Luminaires Light sources that are indoors that are intended to light something but provide light outside are considered exterior lighting. Fixture. A device containing one or more light sources, typically attached to a wall or ceiling. Fixture height. The vertical distance from the ground directly below the centerline of the fixture to the lowest direct light emitting part of the fixture. EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 2 of 8 Floodlight. A powerful installed light used for lighting outside areas, such as sports fields or buildings. Full cut-off fixture. A fixture designed and installed where no direct light (as opposed to scattered light) is emitted at or above a horizontal plane running through the lowest point on the fixture. Fully shielded. The luminaire incorporates a solid opaque barrier (the shield), which permits no light to escape through the barrier. Glare. Stray, unshielded (including reflected) light striking the eye that may result in (a) nuisance or annoyance glare such as light shining into a window; (b) discomfort glare such as bright light causing squinting of the eyes; (c) disabling glare such as bright light reducing the ability of the eyes to see into shadows; or (d) reduction of visual performance. Holiday (seasonal) lighting. Temporary festive lighting intended to celebrate the winter season and the Thanksgiving, Christmas and New Year's holidays typically occurring during November through February. Installed lighting. Any light or light source, including glare, that is not naturally occurring. Light pollution. Any manmade light installed lighting that diminishes the ability to view the night sky. Light source. The source of the light emitted by the fixture. Also referred to as bulb. Light trespass. Light falling on the property of another or the public right-of-way when it is not required to do so. Lighting. A supply of illumination or the apparatus or device providing light. Luminaire. A device that provides light that is not naturally occurring. Naturally occurring light. Light that occurs without the involvement of humans. Uplighting. A lighting effect created by directing lighting and fixtures upward. 15.30.030 Applicability The lighting standards of this Chapter shall be applicable to all exterior lighting within the Town. All exterior lighting installed after the effective date of the ordinance codified herein shall conform to the standards established by this Chapter. All existing lighting installed before the effective date of the ordinance codified herein shall conform with this Chapter. 15.30.040 General Outdoor Lighting Standards. The following lighting standards shall apply to all properties located within municipal boundaries: (1)The style, color and design of the fixtures shall be compatible with the overall design concept and use of materials for the building and site area of the lighting plan. (2)All lighting shall be shielded such that the light source of illumination (filament, frosted bulb or the reflection of those from a shiny surface) is not visible from beyond the limits of the property line, thereby reducing glare and interference with boundary streets and adjacent properties. Light fixtures near adjacent property may require special shielding devices to prevent light trespass. EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 3 of 8 (3)All lighting (including, but not limited to lighting for interior / exterior stairwells, hallways and corridors, patios, decks, balconies, parking structures and garages, street, parking lot, security, walkway and building) shall conform with the definition for full cut-off fixtures with the light source downcast and fully shielded, with the following exceptions: a.For the Town Core Throughout the Town, holiday lighting from shall be permitted from November 15 through the closing date of Beaver Creek Resort’s winter season. For all other areas, holiday lighting from November 15th to March 1. No holiday lights shall be illuminated between the hours of midnight and 6:00am. Holiday lights shall not blink or flash be mostly continuous lighting which may incorporate limited random and intermittent individual lights that flicker, shimmer, pulse or twinkle, but shall not include multiple lights that simultaneously flash or blink. b.Sensor activated luminaries, provided that: 1.It is located in such a manner as to prevent glare and lighting onto properties of others or into the public right-of-way. 2.The luminaire is set to only go on when activated and to go off within five (5) minutes after activation has ceased. 3.The luminaire shall not be triggered by activity off the property. c.All temporary emergency lighting needed by the Fire and Police Departments, or other emergency agencies. d.Floodlights with external shielding can be deflected up to twenty-five (25) degrees from a vertical plane as measured through the central axis of the light beam from the luminaire, only if the luminaire does not cause glare or light to shine on adjacent property or public rights-of-way. Compliant floodlight angle EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 4 of 8 Levels of Shielding e.Uplighting shall be limited for flags, address markers, trees, architectural features and low-voltage landscape lighting, and art installations provided that the luminaire is located, aimed and fully shielded so that direct illumination is focused exclusively on the object and away from adjoining properties and the public street right- of-way. Architectural features may be illuminated by uplighting, provided that the light is effectively contained by the structure. In all cases, uplighting must not cause glare or light trespass. f.For Lluminaires (light fixtures) that have a maximum output of one thousand (1,000) lumens per fixture (equal to one [1] sixty-watt incandescent light), regardless of the number of lamps, provided: 1.The bulb of the fixture is not visible; 2.The fixture utilizes frosted, opalescent, clear textured or iridescent glass; 3.The fixture has an opaque top or is under an opaque portion of the building structure; 4.If the fixture utilizes clear glass, the output of the fixture must be shielded by the architecture of the structure; and 5.All fixtures must not cause glare or light trespass beyond the property; and 6.All fixtures must have a correlated color temperature (CCT) between 2,700 and 3,000 Kelvin (K) g.Temporary (two [2] days or less) high intensity discharge floodlighting may be used for sports lighting and Town-sponsored permitted events, provided that the lighting be turned off no later than one (1) hour after the event is concluded. The fixtures must be aimed so that their beams are directed and fall within the primary playing or performance area and equipped with glare-control packages (louvers, shields or similar devices) if necessary. h.All permanent sports and event lighting shall be equipped with a glare-control package (louvers, shields or similar devices) and the fixtures must be aimed so that beams are directed and fall within the primary playing area and light trespass is minimized. (4)Maximum Fixture Height 1.Pole mounted lighting within non-residential parking lots is allowed up to twenty (20) feet from finished grade. EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 5 of 8 2.Pole-mounted lighting in parking lots for residential or multi-family buildings may be installed at a maximum height of twelve (12) feet above finished grade. 3.For residential or multi-family buildings on steep slopes, or buildings with more than two stories that have balconies, lighting on decks or balconies is limited to a maximum height of forty-two (42) inches. (5)Recessed cans in eaves or similar must be diffused so bulbs are imperceptible. (6)Roof top lighting 1.For commercial uses, all rooftop lighting shall not be highly visible from the right-of-way (e.g, rooftop deck screened on a minimum of two (2) sides by wall, adjacent buildings, etc.) and must be set back a minimum of five (5) feet from the rooftop edge. (7)All canopy lighting shall be recessed sufficiently to ensure that no light source is visible from or causes glare, no less than (10) feet from canopy edge where canopy is near public rights of way or adjacent property. 1.Canopy lighting shall not exceed 20 lumens per square foot under canopies. 2.All fixtures mounted on the lower surface of canopies must be fully shielded in and of themselves; the canopy edges alone do not qualify as shielding. 3.Canopy lighting at gas stations or service areas located on slopes or elevated terrain that may increase glare or light spill onto adjacent properties may be required to provide additional shielding, adjust fixture angles, reduce light levels, or use other mitigation measures as necessary to prevent nuisance glare. The reviewing authority may require a lighting plan demonstrating compliance under actual site conditions. (8)Roundabout and Light Post Lighting Fixtures in roundabouts and/or light posts shall be designed and located to maintain safe sightlines for drivers, avoiding distracting flashing patterns or low- hanging elements that block traffic sign visibility (9)Properties shall not install lighting, either permanent or temporary, deemed to be excessive or unnecessary, as determined by the Community Development Director. (10) Prohibited Lighting: 1.Lights that flash, move, revolve, rotate, scintillate, blink, flicker, vary in intensity or color, or use intermittent electrical pulsation, except permitted twinkling holiday lighting under subsection (3)a; 2.Lights affixed to the top of the roof of a structure; 3.Neon, or similar gas filled, lights; 4.Laser source lights; 5.Searchlights; 6.Lights attached to vegetation, except decorative holiday lights; and 7.Any lighting that could interfere with the public health, safety, or welfare. 8.Unshielded flood lights including motion sensor lights (11)Exemptions. EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 6 of 8 1.The standards of this section shall not apply to lighting owned and maintained by the Town of Avon, installed for the benefit of public health, safety and welfare. 15.30.050 Lighting Plan (a)An outdoor exterior lighting plan shall accompany all design development plan and building permit applications unless this requirement is waived, in writing, by the Community Development Director, and shall be submitted separately from other drawing information. All lighting plans (except single- family and duplex applications, whose lighting fixtures and locations are reviewed under the Design Review Guidelines) shall be subject to approval through the Town’s design review process by the Planning and Zoning Commission. A user's guide with examples of compliant light fixtures is available in the Community Development office. (b)Those projects not requiring design review by the Town shall be required to submit a lighting plan that conforms to the standards outlined herein at the time of building permit for new construction. The lighting plan and/or specifications shall show: (1)The type and luminous intensity of each light source and wattage (e.g., incandescent, halogen, high- pressure sodium); (2)The type of fixture (e.g., floodlight, full-cutoff, lantern, coach light); (3)Fixture location and height above all proposed and existing light fixtures; (4)Shielding and all mounting details; (5)Manufacturer cut-sheet and/or specification materials with scaled drawings or photographs including: initial lumen rating, color rendering index and wattage of each lamp; (6)Any other information deemed necessary by the Community Development Director Inspector to document compliance with the provisions of this Chapter. 15.30.060 Violations (a)It is unlawful for any person to violate any provision or to fail to comply with any of the requirements of this Chapter. If the Community Development Director Inspector finds that any provision of this Chapter is being violated, the Community Development Director Inspector shall give notice by certified mail, return receipt requested, of such violation to the owner and/or to the occupant of such premises, requesting that the violation be abated within thirty (30) days of the date of mailing of the notice. (b)The Community Development Department staff shall be available to assist in working with the violator to correct said violation. If the violation is not abated within the thirty (30) sixty day period, the violator shall be punished by a fine of not more than one hundred dollars ($100.00) for each and every day during which the violation of any provision for any single fixture of this Chapter is committed, continued or permitted. (c)Any person violating any of the provisions of this Chapter shall be deemed to have committed a civil infraction for each and every day or portion thereof during which any infraction of any of the provisions of any of the codes and standards named in the title of this Chapter is committed, continued or permitted and shall be subject to the penalties contained in Chapter 1.09 of this Code. EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 7 of 8 15.30.070 Figures and Diagrams The following figures illustrate examples of acceptable and unacceptable types of outdoor exterior lighting fixtures. Note that even those types of fixtures shown as "acceptable" must be installed and aimed properly to comply with this Chapter. Unacceptable Acceptable EXHIBIT A to ORDINANCE 26-11 Title 15: Lighting Standards Page 8 of 8 EXHIBIT B to ORDINANCE 26-11 Title 15: Single Staircase Page 1 of 2 CHAPTER 15.08 International Building Code 15.08.020 Additions or modifications. The 2021 International Building Code is amended and changed as described below. 15.08.150 Appendix P – Amended Stairway Modifications for Multi-Family Construction In alignment with Colorado HB 25-1273, the Town of Avon allows a single exit design for Multi-Family structures, with local amendments as follows: (a)Is constructed of materials that satisfy International Building Code (IBC) Type I, Type II, or Type IV construction standards; (b)Is protected throughout, including at each landing of the exit stairway, with an automatic sprinkler system in accordance with the IBC; (c)Has no more than four stories above grade. (d)Does not have a floor with a square footage greater than 5,000 and has an exit stairway whose width is equal to or greater than 54-inches; (e)Has no more than 20-feet of travel to the exit stairway from the exit or entry door of any dwelling unit; (f)Has no more than 125-feet of travel to the exit stairway from any point in a dwelling unit; (g)Has no more than four dwelling units per story; (h)Only has openings to the exit stairway enclosure that allow exit access from normally occupied spaces, exit access from the exit stairway enclosure to another protected exit component, and access to the exterior from the exit stairway enclosure; (i)Is fully protected in all common areas with smoke detection in accordance with the National Fire Protection Association's standard 72, known as the "National Fire Alarm and Signaling Code", and the International Fire Code (IFC); (j)Does not have electrical receptacles in an exit stairway enclosure; (k)Does not have publicly accessible electrical receptacles in corridors between dwelling units and the exit stairway; (l)Has, in accordance with the IBC, an emergency escape and rescue opening on every floor; (m)Has an exit stairway that is constructed in accordance with the IBC; (n)Has a fire-resistant box that contains keys to access the building and dwelling units, is accessible to firefighters, and is accompanied by a sign indicating that the building is only served by a single exit stairway; (o)Has an exit stairway that is protected with two-hour fire-rated stair construction regardless of construction type; (p)Has passive and active fire protection features in occupiable spaces throughout the building, including individual dwelling units, that are periodically inspected and maintained by a third party approved by local fire district; (q)Has corridors that all have a minimum of one hour of fire resistance, in accordance with the IBC; (r)If more than 3 stories, has elevator and exit stairway enclosures that all have smoke control systems, in accordance with the IFC; (s)If more than 3 stories, has elevators that are all within two-hour shaft enclosures, in accordance with the IBC; (t)Does not allow storage, including the storage of deliveries, trash, and recycling, within the space between dwelling unit doors and the exit stairway; and; EXHIBIT B to ORDINANCE 26-11 Title 15: Single Staircase Page 2 of 2 (u) Does not have more than one story below grade plane. 15.08.150160 Violation. The following clause concerning violations is set forth in full and adopted with reference to the 2021 International Building Code named in the title of this Chapter: It is unlawful for any person, firm or corporation to erect, construct, alter, move, demolish, repair, use and occupy any building or structure in the Town, or cause or permit the same to be done, contrary to or in violation of any of the adopted or modified provisions of any of the codes or standards named in the title of this Chapter. 15.08.160170 Penalty. Any person violating any of the provisions of this Chapter or of the provisions of the 2021 International Building Code named in the title of this Chapter, as adopted and modified herein, shall be deemed to have committed a civil infraction for each and every day or portion thereof during which any infraction of any of the provisions of any of the codes and standards named in the title of this Chapter is committed, continued or permitted and shall be subject to the penalties contained in Chapter 1.09 of this Code 15.08.170180 Repeal. The repeal or the repeal and reenactment of any provision of the code of the Town as provided in this Chapter shall not affect any right which has accrued, any duty imposed, violation that occurred prior to the effective date hereof, any prosecution commenced, or any other action or proceeding as commenced under or by virtue of the provision repealed or repealed and reenacted. The repeal of any provision shall not revive any provision of any ordinance previously repealed or superseded unless expressly stated in this Chapter. 15.08.180190 Validity. If any section, subsection, sentence, clause or phrase of the 2021 International Building Code named in the title of this Chapter is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining provisions of this Chapter. The Town declares that it would have passed the ordinance codified in this Chapter, and each section, subsection, clause or phrase hereof, irrespective of the fact that any one (1) or more sections, subsections, sentences, clauses and phrases be declared unconstitutional 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 INDIVIDUALS WITH DISABILITIES ARE ENCOURAGED TO PARTICIPATE IN ALL PUBLIC MEETINGS SPONSORED BY THE TOWN OF AVON. IF YOU REQUIRE A DISABILITY ACCOMMODATION, PLEASE CONTACT THE COMMUNITY DEVELOPMENT DIRECTOR, MATT PIELSTICKER, AT (970) 748-4413 OR MATT @AVON.ORG WITH YOUR REQUEST. REQUESTS SHOULD BE MADE AS SOON AS POSSIBLE BUT NO LATER THAN 72 HOURS BEFORE THE SCHEDULED PUBLIC EVENT. AVON PLANNING & ZONING COMMISSION Meeting Minutes (DRAFT) Monday, August 10, 2026 Public Meeting Begins at 5:30 PM TEAMS LINK: https://teams.microsoft.com/meet/240853380295912?p=HHV4SWKKx5pEP5QQic To join meeting via phone, dial (945) 468-5504 and enter conference ID: 477 057 969# 1. Call to Order and Roll Call (Chairperson) – 5:30 PM Meeting commenced at 5:30 PM. A rollcall was taken, and Planning Commissioners Carly Hansen, Brad Christianson, Brian Sipes, Rick Sudekum, Elizabeth Waters, Nancy Tashman and Nicole Murad were present. Also present were Planning Manager Jena Skinner, Community Development Coordinator Emily Block, Housing Planner Patti Liermann, Community Development Director Matt Pielsticker, Town Attorney Nina Williams, and Town Manager Eric Heil. 2. Approval of Agenda ACTION: Commissioner Sudekum made a motion to approve the agenda. Commissioner Hansen seconded the motion, and the motion passed unanimously 7-0. 3. Disclosure of any Conflicts of Interest or Ex-Parte Communication Related to Agenda Items Commissioner Sipes disclosed that he and Commissioner Waters had spoken via phone regarding the Housing Plan and comments that she wanted to discuss at tonight’s meeting. 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 Planning and Zoning Commission approval. 5. Public Hearing 5.1. CPA26-001 Community Housing Plan Updates (continued from July 13 meeting) – Jena Skinner, Planning Manager ACTION: Commissioner Waters made a motion to recommend approval of CPA26-001 based on findings presented in staff’s report, and as amended with edits by the Planning and Zoning Commission. Commissioner Tashman seconded the motion, and the motion passed unanimously 7-0. 6. Consent Agenda 6.1. July 13, 2026 Planning and Zoning Commission Meeting Minutes 6.2. Record of Decision: MNR26-010 Exterior Remodel at 5580 Coyote Ridge 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 INDIVIDUALS WITH DISABILITIES ARE ENCOURAGED TO PARTICIPATE IN ALL PUBLIC MEETINGS SPONSORED BY THE TOWN OF AVON. IF YOU REQUIRE A DISABILITY ACCOMMODATION, PLEASE CONTACT THE COMMUNITY DEVELOPMENT DIRECTOR, MATT PIELSTICKER, AT (970) 748-4413 OR MATT @AVON.ORG WITH YOUR REQUEST. REQUESTS SHOULD BE MADE AS SOON AS POSSIBLE BUT NO LATER THAN 72 HOURS BEFORE THE SCHEDULED PUBLIC EVENT. ACTION: Commissioner Christianson made a motion to approve the consent agenda. Commissioner Sudekum seconded the motion, and the motion passed unanimously 7-0. 7. Future Meetings 7.1. August 24, 2026 – Joint PZC/DDA Meeting 7.2. September 21, 2026 – Planning and Zoning Commissioners decided to move this meeting to Tuesday, September 15th in observance of Yom Kippur on the originally scheduled date of September 21st. 8. Recently Approved Applications 9. Staff Updates 10. Adjourn The meeting was adjourned at 7:16 PM APPROVED: CHAIRPERSON 970-748-4044 dstockdale@avon.org TO: Honorable Mayor Tamra N. Underwood and Council Members FROM: Dean Stockdale, Senior Accountant RE: Financial Report – June 2026 & July 2026 data DATE: August 14th, 2026 SUMMARY: This report presents the revenues for sales, accommodations, nicotine and cigarette, and short-term rental tax for June 2026 and the recreation fees, real estate transfer tax, and use tax for CH revenues for July 2026. BACKGROUND: The percentage variance, or comparative change is reflected in the analysis portion of this report in respect to each individual section for June and July 2026 revenues. Tax revenues are not budgeted on a monthly basis; however, for purposes of analysis, monthly budget variances are based on a 3-year average of actual revenues. GENERAL FUND REVENUE SUMMARY: Tax Revenue Comparison – 2025 v 2026: Sales tax, Accommodations tax, and Cigarette tax are unfavorable for 2026 compared to 2025. While Nicotine tax, Rec Admissions, and Rec Program Fees are favorable to 2025. Below is a table which reflects the dollar change and percentage variance. Total revenue for 2026 is reflecting an unfavorable variance to 2025. 2025 v 2026 YTD REVENUE COMPARISON 2025 2026 Dollar Variance Percentage Variance Sales Tax $6,752,040.65 $6,510,677.29 ($241,363.36) (3.57%) Acc. Tax $1,300,808.33 $1,127,722.26 ($173,086.07) (13.31%) Nicotine Tax $162,283.89 $174,436.09 $12,152.20 7.49% Cigarette Tax $103,008.00 $94,404.00 ($8,604.00) (8.35%) Rec Admissions $736,449.06 $787,921.10 $51,472.04 6.99% Rec Program Fees $289,373.16 $292,291.35 $2,918.19 1.01% TOTAL $9,343,963.09 $8,987,452.09 ($356,511.00) (3.82%) Page 2 of 11 Adopted Budget 2026 v Actual 2026: All taxes reflect an unfavorable variance over the 2026 budget. Rec Center Admissions and Rec Program Fees revenue is favorable compared to the 2026 budget. Total revenue for 2026 is reflecting an unfavorable variance to the 2026 budget. Below is a table which reflects the dollar change and percentage variance. COMMUNITY HOUSING REVENUE SUMMARY: 2026 REVENUE COMPARISON – BUDGET V ACTUAL Budget Actual Dollar Variance Percentage Variance Sales Tax $6,876,155.23 $6,510,677.29 ($365,477.94) (5.32%) Acc. Tax $1,409,461.50 $1,127,722.26 ($281,739.24) (19.99%) Nicotine Tax $176,095.89 $174,436.09 ($1,659.80) (0.94%) Cigarette Tax $115,487.88 $94,404.00 ($21,083.88) (18.26%) Rec Admissions $709,079.19 $787,921.10 $78,841.91 11.12% Rec Program Fees $272,843.63 $292,291.35 $19,447.72 7.13% TOTAL $9,559,123.32 $8,987,452.09 ($571,671.23) (5.98%) 2025 v 2026 YTD REVENUE COMPARISON 2025 2026 Dollar Variance Percentage Variance STR Tax for CH $600,766.98 $531,573.97 ($69,193.01) (11.52%) Use Tax for CH $185,754.27 $286,765.17 $101,010.90 54.38% TOTAL $786,521.25 $818,339.14 $31,817.89 4.05% 2026 REVENUE COMPARISON – BUDGET V ACTUAL Budget 2026 Dollar Variance Percentage Variance STR Tax for CH $578,152.14 $531,573.97 ($46,578.17) (8.06%) Use Tax for CH $291,666.67 $286,765.17 ($4901.50) (1.68%) TOTAL $869,818.81 $818,339.14 ($51,479.67) (5.92%) Page 3 of 11 REVENUE ANALYSIS: Sales Tax: Revenues – June 2026: June sales tax revenues totaled $1,328,212. This is an increase of $9,808 or 0.74% compared to June 2025 sales tax revenue of $1,318,403. JUNE 2025 v JUNE 2026 SALES TAX COMPARISON BY INDUSTRY June 2025 June 2026 Increase/Decrease Home/Garden $139,133.81 $172,187.67 $33,053.86 Grocery/Specialty/Health $185,884.17 $186,022.35 $138.18 Sporting Goods Retail/Rental $52,349.64 $40,227.69 ($12,121.95) Miscellaneous Retail $74,981.46 $72,210.58 ($2,770.88) Accommodations $119,990.61 $120,101.18 $110.57 Restaurants/Bars $166,076.28 $162,871.53 ($3,204.75) Other $46,633.11 $32,824.07 ($13,809.04) Service Related $74,392.56 $98,985.49 $24,592.93 Liquor Stores $19,639.04 $19,049.09 ($589.95) E-Commerce Retail $112,570.31 $127,201.13 $14,630.82 Manufacturing/Wholesale $60,840.43 $77,372.01 $16,531.58 Construction Related Services $219,729.01 $173,424.19 ($46,304.82) Digital Media Suppliers/Sellers $23,231.74 $20,308.83 ($2,922.91) Commercial/Industrial Equipment $21,606.58 $24,847.33 $3,240.75 Special Events $1,344.95 $579.14 ($765.81) TOTAL $1,318,403.70 $1,328,212.28 $9,808.58 Sales Tax: June 2026 Budget v Actual Collections: June 2026 sales tax revenues totaled $1,328,212. This is an increase of $31,243 over the June 2026 estimate of $1,296,968. This is 2.41% above the adopted 2026 budget (based on a 3-year average). JUNE 2026 BUDGET v ACTUAL COLLECTIONS - SALES TAX 2026 Budget 2026 Actual Dollar Variance Percentage Variance June $1,296,968.96 $1,328,212.28 $31,243.32 2.41% Page 4 of 11 Accommodation Tax: Revenues – June 2026: Accommodation tax revenues totaled $124,545 for the month of June. This is an increase of $3,043 or 2.51% compared to June 2025 accommodation tax revenues, which totaled $121,501. Accommodation tax collections by industry type for June 2026 compared to June 2025 reported a decrease to Hotels and Time Shares with an increase to Vacation Rental. JUNE 2025 v JUNE 2026 ACCOMMODATION TAX COMPARISON BY INDUSTRY June 2025 June 2026 Increase/(Decrease) Timeshares $16,264.68 $12,968.66 ($3,296.02) Hotels $57,818.00 $55,377.61 ($2,440.42) Vacation Rentals $47,418.61 $56,199.03 $8,780.42 TOTAL $121,501.32 $124,545.30 $3,043.98 1,116,755.98 1,336,733.62 1,169,041.63 1,318,403.70 $1,328,212.28 19.70% -12.54% 12.78%0.74% $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 $900,000 $1,000,000 $1,100,000 $1,200,000 $1,300,000 $1,400,000 $1,500,000 2022 2023 2024 2025 2026 2022-2026 June Sales Tax Revenue Trend Page 5 of 11 June 2026 Budget v Actual Collections: June 2026 accommodation tax revenues totaled $124,545. This is a decrease of $7,019 compared to the June 2026 estimates of $131,564. This is 5.34% below the adopted 2026 budget (based on a 3-year average). JUNE 2026 BUDGET v ACTUAL COLLECTIONS - ACCOMMODATIONS TAX 2026 Budget 2026 Actual Dollar Variance Percentage Variance June $131,564.82 $124,545.30 ($7,019.52) (5.34%) Short Term Rental Tax for CH: Revenues – June 2026: STR Tax for Community Housing totaled $54,809 for the month of June. This is an increase of $1,334 or 4.11% compared to June 2025. The Westin Hotel is classified as a hotel in our MuniRevs system, although they are zoned as residential. JUNE 2025 v JUNE 2026 STR TAX FOR CH COMPARISON BY INDUSTRY June 2025 June 2026 Increase/(Decrease) Timeshares $8,132.34 $6,484.33 ($1,648.01) Hotels $22,950.68 $22,323.00 ($627.68) Vacation Rentals $22,391.81 $26,002.22 $3,610.41 TOTAL $53,474.83 $54,809.55 $1,334.72 142,677 128,340 113,440 121,501 124,545 -10.05% -11.61% 7.11%2.51% $0 $50,000 $100,000 $150,000 2022 2023 2024 2025 2026 2022-2026 June Accommodation Tax Revenue Trend Page 6 of 11 Nicotine & Cigarette Tax: Revenues – June 2026: Nicotine tax revenues totaled $28,757 and cigarette tax revenues totaled $17,061 for June 2026. Compared to June 2025 revenues, this is an increase of $742 for nicotine tax revenues, which totaled $28,014 and a decrease of $879 for cigarette tax revenues, which totaled $17,940. Vapes and all other miscellaneous tobacco and nicotine products are included in the nicotine tax and are subject to the 40% tax rate. 27,785 31,877 24,580 28,015 28,757 14.73% -22.89% 13.97%2.65% - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 2021 2022 2023 2024 2025 2022-2026 June Nicotine Tax Revenue Trend 20,889 20,604 20,193 17,940 17,061 -1.36%-1.99% -11.16%-4.90% - 5,000 10,000 15,000 20,000 25,000 2021 2022 2023 2024 2025 2022-2026 June Cigarette Excise Tax Revenue Trend Page 7 of 11 June 2026 Adopted Budget v Actual Collections: June 2026 nicotine and cigarette tax revenues totaled $28,757 and $17,061, respectively. This is a decrease of $468 over the June 2026 budget for nicotine tax, which is $29,225 and a decrease of $3,282 over the June 2026 budget for cigarette tax estimates, which is $20,343 which is based on a 3-year average. JUNE 2026 BUDGET v ACTUAL COLLECTIONS – NICOTINE AND CIGARETTE TAX REVENUES 2026 Budget 2026 Actual Dollar Variance Percentage Variance Nicotine $29,225.39 $28,757.31 ($468.08) (1.60%) Cigarettes $20,343.43 $17,061.00 ($3,282.43) (16.14%) Total ($3,750.51) Use Tax for Community Housing: Revenues – July 2026: The use tax for community housing collected in the month of July 2026 was $60,000. Compared to July 2026 estimate of $41,666, this is an increase of $18,333. JULY 2026 BUDGET v ACTUAL COLLECTIONS – USE TAX REVENUES 2026 Budget 2026 Actual Dollar Variance Percentage Variance Use Tax for CH $41,666.67 $60,000.00 $18,333.33 44.00% Real Estate Transfer Tax: Revenues – July 2026: July 2026 real estate transfer tax totaled $389,141. Compared to July 2025, which totaled $273,400, this is an increase of $115,740. This is an increase of $169,844 over the July 2026 budget which was based on a 3-year average. 2026 BUDGET v ACTUAL COLLECTIONS – REAL ESTATE TRANSFER TAX REVENUES 2026 Budget 2026 Actual Dollar Variance Percentage Variance Real Estate Transfer Tax $219,297.19 $389,141.38 $169,844.19 77.45% Page 8 of 11 Real Estate Transfer Tax: Revenues 2026: 2026 real estate transfer tax totals 2,573,912. Compared to 2025, which total $2,340,456, this is an increase of $233,456. This is an increase of $198,004 compared to the 2026 budget which was based on a 3-year average. 2026 BUDGET/PRIOR YEAR v ACTUAL COLLECTIONS – REAL ESTATE TRANSFER TAX REVENUES 2026 Budget 2026 Actual Dollar Variance Percentage Variance Real Estate Transfer Tax $2,375,908.21 $2,573,912.66 $198,004.45 19.35% 2025 Actual 2026 Actual Dollar Variance Percentage Variance Real Estate Transfer Tax $2,340,456.63 $2,573,912.66 $233,456.03 24.52% $453,491 $268,804 $282,467 $273,401 $389,141 -40.73% 5.08% -3.21% 42.33% $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 2022 2023 2024 2025 2026 Real Estate Transfer Tax July Revenue Trends Page 9 of 11 Recreation Center Fees: Revenues – July 2026 Admissions & Program Fees: Recreation admission revenues for July 2026 totaled $119,454 is an increase of $2,259 compared to July 2025 which totaled $117,195. This is $7,185 above the adopted 2026 budget estimates of $112,269. Recreation program fee revenues for July 2026 totaled $50,403. This is an increase of $501 compared to 2025, which totaled $49,901. This is $1,810 above the adopted 2026 budget estimates of $48,592, which is calculated based on a 3-year average. 79,235 114,966 114,656 117,196 119,455 45.09% -0.27% 2.21%1.93% - 20,000 40,000 60,000 80,000 100,000 120,000 140,000 2022 2023 2024 2025 2026 Recreation Admissions July Revenue Trends $26,704 $45,925 $49,880 $49,901 $50,403 71.98%8.61%0.04%1.01% $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 2022 2023 2024 2025 2026 Recreation Program Fees July Revenue Trends Page 10 of 11 New and Renewed Business and STR Licenses – 2025 v 2026: The total number of 2026 business licenses issued thru July was 511. This was down 125 licenses or 19.7% for the year to date. The total number of STR licenses issued through July was 125, which was unfavorable by 3 licenses or 2.3% compared to 2025. - 50.00 100.00 150.00 200.00 250.00 300.00 350.00 400.00 450.00 500.00 Business License - Vendor Business License - Fixed Location Business License - Home Occupation Business License - Special Event Business Licenses Issued 1/1 -7/31 2024 2025 2026 2025 v 2026 – BUSINESS AND STR LICENSES – YEAR TO DATE 2025 2026 License Variance Percentage Variance Business License - Vendor 464 330 (134) (28.9%) Business License – Fixed Location 119 122 3 2.5% Business License – Home Occupation 30 28 (2) (6.7%) Business License – Special Event 23 31 8 34.8% TOTAL BUSINESS LICENSES 636 511 (125) (19.7%) STR License 128 125 (3) (2.3%) Page 11 of 11 EXPENDITURES: June 2026 General Fund YTD Actuals v 2026 Budget: General Fund expenditures through July 2026 total $14,819,610 which is 54.62% of the total adopted budget. These expenditures include all wages, health benefits, events, computer services, operating cost, legal services, and utilities. Mobility Fund YTD Actuals v 2026 Budget: Mobility Fund expenditures through July 2026 total $2,457,792 which is 83.97% of the total adopted budget. These expenditures include the cost for wages, health benefits, consulting services, and utilities. Fleet Maintenance YTD Actuals v 2026 Budget: Fleet Maintenance expenditures through July 2026 total $1,599,831 which is 65.36% of the total adopted budget. These expenditures include wages, health benefits, fuel, vehicle maintenance, utilities, equipment, and operating supplies. Capital Projects Fund YTD Actuals v 2026 Budget: The Capital Improvement expenditures through July 2026 total $3,859,526 which is 20.12% of the total adopted budget. These expenditures were primarily made up from the public works garage, Avon Rd cross walk improvements, and Hwy 6 improvements. Thank you, Dean 95 100 105 110 115 120 125 130 STR License STR Licenses Issued 1/1 -7/31 2024 2025 2026 © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. West Region Mountain Market Briefing Summary and Insights: August, 2026 Data as of July 31, 2026 STRONG SUMMER SEASON HOLDS STEADY, WHILE A FUNDAMENTAL SHIFT IS CHANGING WHEN AND WHERE CONSUMERS ARE STAYING THE KEYS • Booking Pace was up 3.1% in July, but lower-priced months dominated bookings – again. • All three primary metrics were almost unchanged between June 30 and July 31. But overall, seasonal occupancy is up 2.7% (2.8% last month), ADR is up 5.7 percent (5.6% last month), and RevPAR remains strong, up 8.6% (8.5% last month). • 4th of July was strong, but the rest of the month didn’t play out as hoped. • New tariff threats dampened bookings and increased cancellations from Canada. • Affluence stress: Luxury properties gave up occupancy to Moderates as consumers trade down the price scale; lower priced months are dominating booking pace and length of stay, December deals are being snatched up. INTRODUCTION It’s the summer halftime report for mountain resorts, and there’s a distinct lack of drama, which isn’t a bad thing. Wildfires and smoke--while definitely a problem and not without consequence on a lot of levels-– haven’t been the significant issue directly for ski resorts through July except some booking suppression due to smoke. And the economy is a mixed bag, with inflation making folks edgy but equally soaring stock markets also making them a little richer. All this win/lose means that things are actually not just stable but strong from a pure performance basis, with occupancy, ADR, and RevPAR all in a good place as of July 31 and largely unchanged from last month. But under the surface there are widening cracks showing up in the more affluent consumer that makes up the mountain traveler. Price pressure that we’ve seen over the last eight months as evident in less expensive arrival dates and shorter length of stay is now also clearly visible in the choice of product. Yes, luxury properties continue to dominate occupancy, ADR, and revenue performance, but over the last few months there’s a discernable shift down the price ladder to more affordable products, which is having a trickle-down effect right to the Economy properties level. If sustained, these patterns may prove to be strategically and tactically important as we move into the pricier winter season, where luxury rate tolerance is critical to the bottom line. And as we see in this month’s report, those patterns aren’t limited to price tier but are playing out across the back-end of the data. And with that, let’s dig into the July 31 look at mountain destination travel. © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. 1A: JULY HISTORIC ACTUAL Compared to last year: Occupancy during July was up 1.8 percent in a year-over-year (YOY) comparison to July 2025, at 63.4 percent occupancy. The Average Daily Rate (ADR) for the same period was up 6.0 percent, at $497. The gains in both occupancy and rate resulted in a considerable 7.9 percent gain in RevPAR at $315. 1B: SUMMER 2026 (MAY - OCTOBER) Compared to last year: Summer occupancy as of July 31 was up a solid 2.7 percent compared to Summer 2025, with an occupancy rate of 41.8 percent. All summer months are showing improvements, led by a 7.4 percent gain for September. Summer ADR on-the-books is up a solid 5.7 percent at $442 and is currently up in all summer months. May recorded the strongest gain, up 8.3 percent YOY, followed by September, which is currently up 7.6 percent. Modest occupancy gains are combining with the strong uptick in rate to drive a revenue win of 8.6 percent for the season, with RevPAR at $185. RevPAR is gaining in all summer months with May and September showing double-digit increases, while the peak months of July and August are up 7.9 and 6.7 percent respectively as of July 31. <INTENTIONALLY BLANK> © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. 1C: SUMMER SEASON 2026 YEAR-OVER-YEAR ABSOLUTE ROOM NIGHTS BOOKED AND REVENUE AS OF JULY 31 Compared to last year: Room nights in-the-bank (actual room nights for May - July) for Summer 2026 currently represent 52.3 percent of the total actual room nights that were booked for the entire summer season last year. An additional 36.3 percent of last year’s total nights are already on-the-books for arrival in August through October. Overall, 88.6 percent of the total room nights booked for Summer 2025 are now either banked or booked for Summer 2026. This is somewhat higher than the 85.5 percent of all room nights booked for last summer at this same time. Room revenue in-the-bank as of July 31 represents 56.5 percent of the total revenue booked for Summer 2025, and an additional 40.7 percent of last year’s total revenue is already on-the- books for arrival in August through October. Overall, 97.2 percent of all revenue booked in Summer 2025 has already been banked or booked this year, significantly more than this same time last year (88.7 percent). 1D: BOOKINGS MADE IN JULY FOR ARRIVALS IN JULY THROUGH DECEMBER Bookings made in July 2026 for arrival in July through December 2026 resulted in a 5.9 percentage point gain in absolute occupancy for the period (Incremental Occupancy Fill). Bookings made in July 2025 for arrival in the corresponding months last year generated a 5.7 percentage point gain in Incremental Occupancy Fill. This YOY gain in incremental occupancy fill this July versus last year translates to a modest 3.1 percent gain in Occupancy Booking Pace. Bookings made in July for arrival in July and November declined by -7.3 and -6.1 percent, respectively. In contrast, July bookings for September, October, and © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. December arrivals posted solid double-digit gains of 12.2, 18.5, and 12.1 percent, respectively while bookings for August increased a modest 4.9 percent YOY. 2. THE ECONOMY The Dow Jones Industrial Average (DJIA) was close to flat in July, adding just 0.3 percent over the course of the month, or 165.83 points. This is the weakest month for the Dow since the war-inspired -5.4 percent decline in March. But a gain’s a gain, and the DJIA finished the month at another all-time high monthly close of 52,485.03 points. This is the fourth consecutive record close for the market. Despite the uptick, gaining and declining days were almost split, 12 & 10 respectively with Wall Street not entirely sure which way to go. Traders were cheering strong earnings in July while bemoaning energy instability, still-too-high inflation, and consumers that are clearly stuck in the doldrums. And while strong financial markets create wealth for invested consumers, there are signs that higher-end travel consumers are starting to feel the same pinch that economy and moderate level travelers have been experiencing for the better part of the last year. The Consumer Confidence Index (CCI) and Consumer Sentiment Index (CSI) went in different directions in July, with the CCI losing some ground from already stagnant levels, while the CSI jumped up into ‘less-bad’ territory after a few months near record lows. The Conference Board’s Consumer Confidence Index dropped a moderate - 1.4 points from an upwardly adjusted June reading of 92.2 points. This is the nineteenth YOY decline in the CCI going back to January 2025, and the index has been below 100 points since then, occupying a narrow band between 90 and 93.5 points through 2026. Consumers’ feelings about current conditions declined in July and their outlook for the next six months was unchanged in weak territory, with both outlooks reflecting concerns about inflation and jobs. Confidence is highest among Gen Z and Millennials, with both groups around 105 points. But consumers with discretionary income--Gen X, Boomers, and the Silent Generation--are all reporting confidence right around the 80-point mark. Meanwhile, the Consumer Sentiment Index (CSI) increased for the second month in a row, adding 5.7 points to last month’s 49.5 to bring it to 55.2. And while the increase is good news, the index is still far below its historic average. But unlike the CCI, gains were reported © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. across all age, income, and political groups, although pocketbook issues remain at the forefront. Both confidence and sentiment have remained sharply below historical averages since early 2025, and the negative mood of consumers has been reflected in rate and revenue challenges, which first appeared at Economy properties, but which have since spread to Moderate and most recently some Luxury properties. Job Creation and the National Unemployment Rate were both down in July, with job creation well short of estimates and unemployment easing a bit. The economy shed 23,000 positions during the month, a net difference of -103,000 jobs from the original 80,000 gain that was forecast. Equally concerning is the adjustment to May and June numbers, with May adjusted down 66,000 and June by 37,000. Meanwhile, the unemployment rate was essentially unchanged, dropping slightly to 4.1 percent from 4.2 last month, with the lower number stemming from job seekers and workers leaving the workforce. Job creation has been a consistent theme in the weak consumer confidence and sentiment reports for much of the last year, pairing with inflation worries to put price pressures on higher end discretionary purchases like luxury travel, while also keeping lower-end consumers on the sidelines (see Tercile data, below). Specific to travel, the Accommodations and Food Services subsector also lost jobs last month, with Accommodations bleeding 23,500 positions, while Food Services added a modest 2,600. National Inflation Rate and the Consumer Price Index (CPI) rose a slight 0.1 percent in July from June, and the national inflation rate remained high at 3.4 percent. This is the fifth consecutive month that inflation has been above three percent, but it’s retreated from the 4.2 percent rate recorded in May. Key to the slight drop in inflation in July was an easing of energy prices, with gasoline down -2.1 percent from June, good news for the travel industry. But despite the decline, those same gas prices remain up a dramatic 24.6 percent from July 2025, so the slight month-over- month easing is really a drop in the bucket (pun intended). Also, on the ‘directly related to travel’ front, airfares were up 2.2 percent from last month, continuing their upward trend, and are currently up 25.5 percent YOY. Perhaps most concerning is the continued inversion of annual wage gains and inflation, with consumer prices increasing faster than wages for three of the last four months. This is a de-facto wage cut for consumers, putting pressure on rates, and is materializing in our data as we watch even luxury consumers pull back, while economy consumers remain very tentative. © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. 3. COMMENTARY AND ANALYSIS Midway through the summer season we’re essentially looking at a region that is almost exactly where it was last month. In aggregate, year-over-year booking pace was a little stronger than last month, but not by much, and occupancy, ADR, and RevPAR are essentially unchanged from June. The upshot? The strong summer numbers we reported in June are holding up here at halftime. But dig in a little bit and there’s more going on than meets the eye. Economy properties, off the top of the podium for a long time now, were the only tercile to see positive fill for arrival in July, while moderate properties appeared to pick up some of the luxury travel market and luxury, long (and still) the champion of the industry, saw its third straight month-over-month easing. But given how confidence is playing out, this isn’t a resurgence of the economy traveler so much as it is consumers trading down. Luxury travelers are shopping moderate properties. Moderate properties, spotting the opportunity, are upping their rates a bit to meet that consumer partway, and moderate travelers are looking at the economy product as a viable alternative, given the circumstances. Sound confusing? Sum it up to ‘trading down’ a bit. But make no mistake, luxury stays are still dominating performance; we’re just seeing moderate properties increasingly driving some of these gains as luxury travelers feel some of the same pinch that less-affluent guests do. So, with that tee-up, let’s dig into the details of this month’s report. Wildfire & Smoke Likely Playing a Role in July Activity: Wildfire was an issue throughout parts of the West in July, with significant fires in Colorado, Utah, Oregon, and Washington, while the Northern Rockies were largely spared, as was the Northeast. You can hardly say the same when it comes to smoke, especially if you live anywhere east of the Mississippi River, where red and even purple warnings were in effect as smoke coming south from Canada was enough to trigger a geopolitical event. Of particular note in the West are the Cottonwood fire in Utah, the Willow fire in Colorado, and at the end of the month the Grasshopper fire in Oregon. Bookings made in July for arrival in July, both through our DestiMetrics partners and our Commerce booking engine, show a drop in booking pace for the Pacific Northwest, Colorado, and Utah, while clearer areas such as the northern Rockies, the high Sierra, and Southeast paced positively versus last year. Meanwhile the Northeast, which had no fires but all of that Canadian smoke to deal with, was nearly flat for bookings in July but saw about a six percent decline in the average booking value for the month. And of course, our intent isn’t to dismiss fires as just a negative for travel. They’re life-changing events that derail lives, economies and ecosystems; our analysis of their impact on bookings isn’t intended to minimize or ignore their devastating impact on people and their communities. © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. Weak Booking Pace is Best in Months: Occupancy booking pace, the difference between incremental fill booked this month and last month, was positive for the second month in a row and the third month in the last four. But the slight 3.1 percent YOY gain was also just the third gain in the last 10 months and only the fourth in the last year. On the brighter side of the spectrum, the consecutive gains are the first since June and July last year and the first real signs of life for summer bookings this year. Of course, we have to recognize that a big part of the negative trend of the past 10 months was the winter season, so we may be slightly disingenuous in our characterization of the last 120 days. After all, occupancy, ADR, and RevPAR are all performing well this season, but speaking out of the other side of our mouth things are essentially unchanged this month from last, and much of the summer’s current success is down to early summer bookings that were made in February and April. And that brings us to the monthly details of pace…… Monthly Pace is a Mixed Bag: A dive into the pace data by month shows that bookings in July were a mix of good and bad news. Critically, incremental occupancy fill for July was 8.9 percentage points (ppts) this year, below the 9.6 ppts gain last July, resulting in a -7.3 percent YOY drop in booking pace for one of the two peak revenue months of the summer. On a more positive note, bookings made for August, which typically commands the second- highest room rate and revenue of the season, saw the greatest bump in incremental fill and picked up 4.9 percent more bookings this year compared to last, helping to offset July’s loss. Meanwhile the shoulder months of September and October both saw very strong jumps in pace, 12.2 and 18.5 percent, respectively. Lastly, as we try to assess how winter bookings are going to shape up after last year’s tough season, we’re happy to see a 12.1 percent bump in pace for December arrivals booked in July. But it’s early days for the winter months, and we won’t really know whether that gain is pent-up demand from last winter, a shift in school breaks around the holidays, or folks taking advantage of a -6.5 percent decline in ADR for that month (see “What’s Winter Doing?” below), until we’ve more intel to go on. The Dollars and Cents of Summer Pace: Specific to the remaining summer arrival months (bookings in July for July through October arrival) there were 192,580 nights booked last month. This is 3,932 more nights than the 188,648 nights booked in July last year, a moderate 2.1 percent YOY gain. The moderate demand gain is accompanied by a strong increase in the ADR value of those bookings. At $379.73, room rate is $21.95 higher than the $357.77 last year. That extra $21.95 per booking balloons summer revenue gains compared to the modest demand gain, and summer revenue booked in July is up 8.3 percent YOY-- or $5.6 million--compared to last year’s July activity. The upshot? Weak pace for July was offset by August through October strength, and © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. while summer demand didn’t pick up a lot last month, room rate strength combined for a much higher value guest in terms of revenue per night being generated. So--What’s Winter 26/27 Doing? Though it’s still early to be talking about Winter 26/27, we’re as curious as anyone as to whether the bad snow year last season is going to trigger early, pent-up demand bookings for the winter ahead or if consumers are going to be cautious and give us a “snow hangover.” And the positive 12.1 percent gain in pace of bookings in July for December arrival is a good start, so our interest is piqued. But it’s still early days, and we’re approaching the data cautiously at this point. Looking at the early DestiMetrics data for arrival Nov. 1 to Jan. 31, occupancy is currently about flat, down 0.2 percent YOY, while ADR is down 5.9 percent, and RevPAR is down -6.1 percent. As noted earlier, December ADR on-the-books is -6.5 percent below last December as of July 31, which is probably playing a role in the 12.1 percent booking pace jump. Looking a little further afield using our Inntopia Commerce bookings, and refining to focus on Dec. 15 through March 31, bookings are down -12.1 percent, which aligns closely with season pass sales from Vail Resorts according to their Q3 report issued on June 8. July Occupancy Closes Up Despite Pace; No Tectonic Shifts: While July booking pace was down -7.3 percent YOY, the month had enough momentum going in to close out on a positive note, though not by much. YOY occupancy for the month finished up 1.8 percent, a 1.6 ppt drop from the 3.4 percent YOY gain recorded on June 30. Meanwhile, all other summer months picked up YOY strength, with August increasing from a nearly flat 0.4 percent YOY gain as of June 30 to a still low, but better 1.3 percent gain as of July 31. September also added a bit of strength, up 0.8 ppts to 7.4 percent, the strongest gain of the season despite being a shoulder month. Meanwhile, October’s month-leading 18.5 percent gain in pace (see above) flipped it from a loss of -1.3 percent YOY as of June 30 to a slight 1.5 percent gain as of July 31. But in the end, the pace gains for arrival in August through October fell just shy of offsetting the drop for July, and seasonal occupancy went almost nowhere, now at 2.7 percent as of July 31, 0.1 ppts softer than the 2.8 percent YOY gain as of June 30. One Season, 2 Inventory Stories: It’s always important to keep an eye on inventory; gains or declines in available units can have a big impact on how occupancy and RevPAR perform, since room nights available (RNA) are used in calculating both of those metrics. As of July 31, we’re seeing two different seasons as far as RNA is concerned. For May through July, we’ve recorded increases in RNA (lighter grey bars), while RNA for © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. August through October is very nearly flat. The result is that demand for the first three months is doing better than occupancy would indicate, while demand for the second half is about even with occupancy. Here’s the nitty gritty: • At 48.1 percent occupancy, May through July is up 2.0 percent YOY compared to last year at this time. However, because there were 30,518 more room nights available for those three months, actual demand is stronger, up 3.9 percent YOY • With just 148 more nights available for August through October, we have to add some decimal places to find any difference between demand and occupancy. At a 35.1 percent occupancy rate, the second half of the season is up 3.386 percent compared to last year at this time, while demand is up 3.396 percent. • When we look at this seasonally, we come to a middle ground. Overall, seasonal occupancy is up 2.7 percent, but an RNA increase of one percent means that demand is actually up 3.7 percent YOY, with 48,424 more nights booked for Summer ’26 than ’25. 4th of July a Bright Spot in an Otherwise Blah Month: A final wrap up of the 4th of July weekend finds it stands out, but only as an island of positive in an otherwise unremarkable month. Occupancy for the holiday was 76.4 percent, a 9.4 percent YOY gain from last year, and the strongest YOY performance of the month. July 3, the Friday before the actual holiday is perhaps the brightest spot, with the 76.5 percent occupancy rate for that day--and actually beating last year’s occupancy on Friday the 4th, up a slight 0.7 percent YOY. And Sunday the 5th was also a win, with the quieter 54.0 percent occupancy coming in 3.5 percent higher than the same Sunday last year. July was otherwise an unremarkable month, with the biggest swing up or down coming on Thursday, July 30, with a modest 3.7 percent gain (not shown). Tariffs Put a Halt to Canadian Travel Surge: Bookings through the Inntopia Commerce Engine for travel to US mountain resorts by Canadian travelers (top chart) was building earlier this summer (blue line) until a fresh round of tariff threats put a hard brake on the recovery. In fact, bookings in May, most of June, and early July largely outpaced 2025 (orange line) with a late July surge. But Canadian consumers have pulled back sharply in response to new tariff threats. © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. On the other side of the transaction, cancellations--which were already elevated (bottom chart)--spiked in response to the announcement reaching their highest point since the early days of the trade war in March last year. And while cancellations have settled to more traditional levels, those reservations are unlikely to return to the books and a return to growth from north of the border is likely to be harder to accomplish now amid renewed calls for a boycott of all things U.S. Because of the sheer volume of Canadian inbound compared to other markets, the buildup of bookings from Canada earlier in the summer was largely responsible for an improvement in overall international inbound summer bookings. However, the recent drop in Canadian business, combined with steadily softer numbers from other key markets is bringing those modest overall gains down. Overall, international inbound from the four major markets is up 9.0 percent YOY, 2.2 points below the 11.2 percent YOY gain recorded at the beginning of July. Reservations for the summer season from Canada are up 16.6 percent compared to last summer. This is softer than the 20.1 percent gain recorded at the beginning of the month (see Canadian detail, above). Meanwhile, bookings from Mexico are down -23.9 percent YOY, a dip from the - 18.6 percent decline at the beginning of July, while Western Europe is also trending softer, down -9.3 percent compared to -7.5 percent a month ago. Oceania has also dipped since July 1 and is currently off by -15.6 percent for this summer. Length of Stay up for Advance Bookings--adds Big Bucks: At 2.50 nights, Length of Stay (LOS) for all summer bookings made through the Inntopia Commerce engine are down a very slight 0.02 nights compared to the 2.52 night LOS last year at this same time. The 2.50 nights is 0.2 nights shorter than seasonal LOS reported as of June 30. The pattern to LOS this month is very much as it was last month, with months that have © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. ‘closed’ (May through July) very close to flat, while months on-the-books (August through October) are sharply up. This is a typical pattern, and we usually expect gains in future months to come down as shorter bookings take over the closer we get to the arrival date. But gains for each of the three remaining months of the season are very big, with August gaining a very strong 0.42 nights, while September stays are 0.46 nights longer, and October stays a dramatic 0.57 nights. These fractional numbers are real money when we extrapolate it out, with DestiMetrics properties getting an additional $20.4 million for August, $13.7 for September, and $6.3 million for October. Factor in the cost savings of turning rooms around less often, and there are gains at both ends of the balance sheet that may make it worth watching that rate/LOS balance closely for shorter lead bookings. Lead Times Extend Further as Consumers Look to Upcoming Fall : Booking lead time, the gap between when a reservation is made and arrival date, extended in July as consumers turned some amount of focus to the fall and early winter months (see Booking Pace, above). With a fair number of bookings made in July arriving 60, 90, and even 120 days out, lead times are continuing to extend quite a bit further out this year compared to any time in the past. Lead times for bookings in July were 51.1 days, about six days longer than last year, and 18 days longer than in 2019. Lead time has been up since January, when consumers were punting winter bookings in a hopeful search for later-season snow, then as attention turned to early summer bookings in February as that snow failed to materialize. Now, with some summer price pressure driving a shift towards fall bookings (see Booking Pace, ADR, and Tercile sections) and visitors are jumping on winter rate opportunities as resorts look to get ahead of a snow hangover. On the positive side of things, the earlier revenue is booked the more likely it is to materialize, helping lay a good foundation for fall and winter. On the negative, any shift away from high-rate July or August can have a big impact on summer and annual revenue, especially given that many destinations find themselves on the financial back foot following the tough winter. © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. Summer ADR Adds a Little Strength: ADR for the summer season added a little strength in July, combining with the moderate gain in booking pace to add some solid bottom-line value to the summer. As of July 31, ADR for all months May through October is up 5.7 percent YOY. This is a 0.1 ppt uptick from the 5.6 percent YOY gain recorded as of June 30. ADRs have been remarkably steady through the season and got off to a very good start all the way back in February, when consumers turned their attention to the warmer months early as the winter season failed to materialize as hoped in parts of the West. Digging into summer ADR by month, rates were essentially stable month-over-month between June 30 and July 31. YOY Rates for July were unchanged from our June 30 report as suppliers looked to attract wary consumers to the most expensive month of the season. Despite the effort, as we stated earlier, July occupancy lost ground, down -1.6 ppts from the data as of June 30. Meanwhile, ADR on-the-books for August ticked up 0.4 ppts and was accompanied by a 0.9 ppts strengthening of YOY occupancy, while September and October also added both rate and occupancy strength--0.2 ppts each in ADR, with September also increasing occupancy by 0.8 ppts. RevPAR and Revenue Change Little from Last Month; Pricing Power Remains: Relatively unchanged occupancy and a nearly flat rate compared to last month translates to only a slight shift in summer RevPAR performance between June 30 and July 31. Now at 8.6 percent YOY, RevPAR is up 0.1 ppts from the June 30 report. This ongoing strength is a continuing reflection of the rate strength that’s been residing with suppliers this summer, with the wins not coming at the expense of either rate or demand strength (see chart below). And speaking of demand, if we take the increase in inventory out of the mix (see “One Season, Two Inventory Stories,” above) revenue is looking even better, up 9.6 percent, a slight 0.2 ppts weaker than the 9.8 percent revenue gain © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. at the end of June. RevPAR and revenue are the shining stars of the season following a challenging winter, with both strongly outpacing inflation and padding the bottom line. But it’s important to note that this win is largely on the backs of rate rather than occupancy gains, and higher priced properties, with Luxury lodging contributing to double-digit wins, while Moderate properties are just above flat and Economy properties are struggling to keep up with last year (see Terciles, below). Pricing Power is Stronger at Off-Peak Times: As we look at the full season by month, it’s clear that ADR gains are the key to the strong RevPAR numbers, but we can’t ignore the moderate occupancy growth. This combination is a clear sign of pricing power in the hands of suppliers, despite the pullback in luxury properties and a blasé consumer mood. But it’s also telling that the lower-priced months that abut the peak of the season, specifically May and September, are the months with the highest YOY occupancy gains while the peak months of June through August are seeing the smallest increase in YOY occupancy--not to mention weaker (but still strong) rate gains. They’re also the months with the biggest RevPAR and revenue (not shown) wins. This suggests that consumers are looking to do their summer travel but are going slightly off-season to take advantage of lower absolute rates despite the strong ADR gains. It’s yet another example of price pressures hiding in the data and it will be interesting to see how August and September close out. The Dollars and Cents of Summer Revenue: Focusing on bookings for summer (July 1 to Oct. 31 arrival), there was $73.1 million in revenue booked in July for summer arrival, a very significant 8.3 percent--or $5.6 million--increase in revenue booked compared to last July for the same period. That $73.1 million in bookings brings the current total for summer revenue up to $598.0 million at DestiMetrics participating properties, an impressive $52.6 million more than last year’s $545.4 million as of July 31. As noted above, bookings made in July came in at an ADR of $379.73, a full 6.1 percent--or $21.95--higher than the $357.99 ADR booked last July. Price Terciles: Luxury Still Dominates, Even as Guests Trade Down: Luxury properties--anything priced higher than $400 per night during the summer--continue to lead the overall seasonal performance, with a very strong 11.5 percent YOY gain in RevPAR, the result of balanced occupancy and ADR strength. (chart at right). And with gains in both occupancy and ADR as of July 31, Moderate properties, priced between $251 and $400 per night, are sharing in the pricing power. While the middle and top of the market are thriving relative to the © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. wealth of their client base, Economy properties reflect the struggles at the less-affluent end of the consumer spectrum. But there’s definitely something happening at the top end of the market. While dominating their less-expensive counterparts in overall performance, Luxury properties are giving up some of that occupancy strength, while economy properties have slightly reversed their slide and Moderates are picking up considerable occupancy strength (top chart). And it’s not just occupancy. While rate is essentially steady across all price tiers (not shown), the changes in occupancy are translating to changes in where revenue is landing as well (bottom chart). With some Luxury consumers moving to more moderately-priced properties, Moderates are the only tier picking up RevPAR strength, while Luxury gave up some and Economy properties held still. Whether traditionally moderate-priced consumers are trading down the price scale to economy properties remains to be seen. Lastly, we should point out that this is summer data, and the summer traveler is generally less affluent than their winter counterparts. That may mean that they’re more susceptible to the recent spikes in inflation that we’re sure are driving this trend than winter travelers; and then there’s the passion of skiers, which often offsets economic forces when the snow is good. So we’ll watch this closely as we start seeing winter volume building to see if the middle and lower side of the market might be catching a break at last. 4. CONCLUSION Halfway into the summer season and things are looking pretty good from a performance perspective. Despite stubbornly high inflation and consumers that simply can’t get to the confidence end of the scale, occupancy, ADR and RevPAR are looking good, even great, both compared to last year and overall. And while drought and wildfires remain issues across the West, it’s been better than it might have been given the extreme lack of precipitation over the last—well--year almost. But hiding in the data are signs that our reliable higher-end consumer is feeling the pinch. Bookings for the peak-priced month of July were weaker this year than last, while more affordable September and October were on the positive side of the booking spectrum. And while it’s good to see December get a jump on booking pace, that may also reflect price sensitivity, with ADRs for the early winter down considerably. Then there’s the migration down from the top of the price ladder, with Luxury properties giving up some of their dominant strength to the less-pricey Moderate options, while Economy properties may be getting the benefit of a similar shift down from the Moderate tier. © 2026 Sterling Valley Systems, Inc. All rights reserved. No parts of this work may be reproduced in any form or by any means, graphic, electronic or mechanical, including photocopying, recording, taping or information storage and retrieval systems - without the written permission of the copyright holder. It all goes to the point we usually make, which is that it’s never boring. We expect the current trend towards fall and discounted winter bookings will continue, especially as gasoline and airfare prices take available dollars away from lodging, but summer is definitely strong and on course to help offset some of the losses of the winter season. Lastly, we remind you that this report is based on regional aggregated data, and that your own destination and/or property data may differ appreciably. For that reason, we urge you to ensure you're getting actionable and relevant data for your property and destination by logging into your DestiMetrics web portal. 970-748-4004 eheil@avon.org Page 1 of 1 TO: Honorable Mayor N. Underwood and Council Members FROM: Miguel Jauregui Casanueva, Town Clerk RE: Federal name change from Benchmark Lake Reservoir to Nottingham Lake DATE: August 25, 2026 SUMMARY: The lake in Harry A. Nottingham Park is now officially named Nottingham Lake in federal records. The U.S. Board on Geographic Names approved the change on May 14, 2026, replacing the federal name Benchmark Lake Reservoir. This written report provides an informational update for the public record. BACKGROUND: Most residents and visitors already know the lake as Nottingham Lake. Federal records, however, had listed the feature as Benchmark Lake Reservoir. The Town of Avon, through the Town Clerk’s Office, worked with the Colorado Department of Natural Resources, the Colorado Geographic Naming Advisory Board, and the U.S. Board on Geographic Names to align the federal name with the name used locally. CURRENT STATUS: On May 14, 2026, the U.S. Board on Geographic Names approved the request to rename Benchmark Lake Reservoir to Nottingham Lake, completing the renaming process. The name has been updated in the Geographic Names Information System, and future updates to federal maps and publications will reflect the change. NEXT STEPS: Staff will update Town website content, maps, and other public information to reflect the official name and will review internal documents, records, and signage for consistency, as appropriate. FINANCIAL IMPACT: There is no direct financial impact from the federal name change. Signage, maps, and other materials can be updated as part of normal maintenance or replacement schedules. RECOMMENDATION: This report provides Council information only. No formal action is requested. Thank you, Miguel