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TC Packet 02-26-2019    TOWN OF AVON , COLORADO  TOWN OF AVON MEETINGS FOR TUESDAY, FEBRUARY 26, 2019  AVON TOWN HALL, 100 MIKAELA WAY    AVON LIQUOR AUTHORITY MEETING BEGINS AT 5:00 PM  AVON TOWN COUNCIL PUBLIC MEETING BEGINS AT 5:05 PM  _______________________________________________________________________________  MEETING AGENDAS & PACKETS ARE FOUND AT:  HTTP://WWW.AVON.ORG   AGENDAS ARE POSTED AT AVON TOWN HALL, RECREATION CENTER, AVON PUBLIC LIBRARY & AVON ELEMENTARY SCHOOL    IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING,   CALL ACTING TOWN CLERK BRENDA TORRES AT 970‐748‐4022 OR EMAIL BTORRES@AVON.ORG WITH ANY SPECIAL REQUESTS.  1  COUNCIL CLOSED EXECUTIVE SESSION BEGINS AT 4:00 PM (SEE AGENDA BELOW)  AVON LIQUOR AUTHORITY MEETING BEGINS AT 5:00 PM (SEE SEPARATE AGENDA PAGE 3)  AVON TOWN COUNCIL PUBLIC MEETING BEGINS AT 5:05 PM (SEE AGENDA BELOW)    1. CALL TO ORDER AND ROLL CALL 4:00    2. EXECUTIVE SESSION FOR A CONFERENCE WITH THE TOWN ATTORNEY FOR THE PURPOSE OF RECEIVING LEGAL ADVICE ON  THE VILLAGE (AT AVON) DEVELOPMENT AGREEMENT AND 2012 SETTLEMENT UNDER CRS §24‐6‐402(2)(B)   (50 MINUTES) 4:00     3. ACTION TO CONTINUE THE REGULAR MEETING IN ORDER TO CALL TO ORDER THE AVON LIQUOR AUTHORITY MEETING  (MAYOR SMITH HYMES) 5:00     4. ACTION TO RESUME THE COUNCIL PUBLIC MEETING (MAYOR SMITH HYMES) 5:05    5. APPROVAL OF AGENDA    6.  PUBLIC COMMENT – COMMENTS ARE WELCOME ON ITEMS NOT LISTED ON THE FOLLOWING AGENDA 5:10  * AN INITIAL THREE (3) MINUTE LIMIT ALLOWED TO EACH PERSON WISHING TO SPEAK.  SPEAKER MAY REQUEST MORE  TIME AT THE END OF THE THREE (3) MINUTES, WHICH MAY BE APPROVED BY A MAJORITY OF THE COUNCIL.    7. PRESENTATIONS  7.1. NORTHWEST COLORADO SMALL BUSINESS DEVELOPMENT CENTER   (LYNDSEY BROZYNA, NORTHWEST SBDC REGIONAL DIRECTOR) (20 MINUTES) 5:15  7.2. COLORADO CITY & COUNTY MANAGEMENT ASSOCIATION 2018 ASSISTANT OF THE YEAR AWARD   (TIM GAGEN, CCCMA SENIOR ADVISOR) (10 MINUTES) 5:35  7.3. SWEARING IN OF PATROL OFFICER ALAN HERNANDEZ (POLICE CHIEF GREG DALY) (10 MINUTES) 5:45    8. WORK SESSION  8.1. OVERVIEW OF COUNCIL PROCEDURES (TOWN ATTORNEY ERIC HEIL) (15 MINUTES) 5:55    9. ACTION ITEMS  9.1. PUBLIC HEARING MAJOR DEVELOPMENT PLAN FOR TWO DUPLEXES ON LOT 5, RIVERFRONT SUBDIVISION   (PLANNING DIRECTOR MATT PIELSTICKER) (30 MINUTES) 6:10  9.2. FIRST READING ORDINANCE 19‐01 AMENDING THE AVON MUNICIPAL CODE TO AUTHORIZE FEE WAIVERS AND TAX  EXEMPTIONS FOR AFFORDABLE HOUSING PROJECTS (TOWN ATTORNEY ERIC HEIL) (45 MINUTES) 6:40      TOWN OF AVON, COLORADO  TOWN OF AVON MEETINGS FOR TUESDAY, FEBRUARY 26, 2019  AVON TOWN HALL, 100 MIKAELA WAY    AVON LIQUOR AUTHORITY MEETING BEGINS AT 5:00 PM  AVON TOWN COUNCIL PUBLIC MEETING BEGINS AT 5:10 PM  _______________________________________________________________________________  MEETING AGENDAS & PACKETS ARE FOUND AT:  HTTP://WWW.AVON.ORG  AGENDAS ARE POSTED AT AVON TOWN HALL, RECREATION CENTER, & AVON PUBLIC LIBRARY    IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING,   CALL ACTING TOWN CLERK BRENDA TORRES AT 970‐748‐4022 OR EMAIL BTORRES@AVON.ORG WITH ANY SPECIAL REQUESTS.  2    9.3. RESOLUTION 19‐05 APPROVING A CULTURAL, ARTS AND SPECIAL EVENTS COMMITTEE   (ACTING TOWN MANAGER PRESTON NEILL) (10 MINUTES) 7:25  9.4. FIRST READING ORDINANCE 19‐02 AMENDING CHAPTER 3.08 SALES TAX AND ENACTING CHAPTER 3.10  CIGARETTE EXCISE TAX (TOWN ATTORNEY ERIC HEIL) (10 MINUTES) 7:35  9.5. APPROVAL OF MINUTES FROM FEBRUARY 12, 2019 REGULAR COUNCIL MEETING   (ACTING TOWN CLERK BRENDA TORRES) (5 MINUTES) 7:45  9.6. APPROVAL OF MINUTES FORM FEBRUARY 19, 2019 SPECIAL COUNCIL MEETING  (ACTING TOWN MANAGER PRESTON NEILL) (5 MINUTES) 7:50    10. WRITTEN REPORTS  10.1. UPDATE ON PHASE I HAHNEWALD BARN PROJECT (TOWN STAFF)  10.2. POLICE DEPARTMENT DISPOSITION ON FORFEITED PROPERTIES FOR 2018 (POLICE CHIEF GREG DALY)  10.3. UPDATE ON BEAVER CREEK BOULEVARD STREETSCAPE PROJECT (TOWN ENGINEER JUSTIN HILDRETH)  10.4. MONTHLY FINANCIALS REPORT (SENIOR ACCOUNTANT NELLY BURNS)  10.5. DISCLOSURE OF POTENTIAL CONFLICT OF INTEREST RELATED TO AVON PERFORMANCE PAVILION   (TOWN ATTORNEY ERIC HEIL)  10.6. TOWN OF AVON NEWSLETTER (ACTING TOWN MANAGER PRESTON NEILL)  10.7. ABSTRACT FROM FEBRUARY 19, 2019 PLANNING AND ZONING COMMISSION MEETING   (PLANNING DIRECTOR MATT PIELSTICKER)    11. MAYOR & COUNCIL COMMENTS & MEETING UPDATES (15 MINUTES) 7:55    12. ADJOURNMENT 8:10    _________________________________________________________________________________________________________________________________________________________________________________________________________   *Public Comments:  Council agendas shall include a general item labeled “Public Comment” near the beginning of all Council meetings.   Members of the public who wish to provide comments to Council greater than three minutes are encouraged to schedule time in  advance on the agenda and to provide written comments and other appropriate materials to the Council in advance of the Council  meeting.  The Mayor shall permit public comments for any action item or work session item, and may permit public comment for any  other agenda item, and may limit such public comment to three minutes per individual, which limitation may be waived or increased by a  majority of the quorum present. Article VI.  Public Comments, Avon Town Council Simplified Rules of Order, Adopted by Resolution No.  17‐05.     TOWN OF AVON, COLORADO  TOWN OF AVON MEETINGS FOR TUESDAY, FEBRUARY 26, 2019  AVON LIQUOR AUTHORITY MEETING BEGINS AT 5:00 PM  AVON TOWN HALL, 100 MIKAELA WAY  _______________________________________________________________________________  MEETING AGENDAS & PACKETS ARE FOUND AT:  HTTP://WWW.AVON.ORG  AGENDAS ARE POSTED AT AVON TOWN HALL, RECREATION CENTER, & AVON PUBLIC LIBRARY    IF YOU HAVE ANY SPECIAL ACCOMMODATION NEEDS, PLEASE, IN ADVANCE OF THE MEETING,   CALL ACTING TOWN CLERK BRENDA TORRES AT 970‐748‐4022 OR EMAIL BTORRES@AVON.ORG WITH ANY SPECIAL REQUESTS.  3      1. CALL TO ORDER AND ROLL CALL    2. APPROVAL OF AGENDA     3. PUBLIC COMMENT – COMMENTS ARE WELCOME ON ITEMS NOT LISTED ON THE FOLLOWING AGENDA    4. RENEWAL OF LIQUOR LICENSES  4.1. APPLICANT: MILLERS BOTTLE SHOP LLC D/B/A JOE’S LIQUORS       LOCATION: 1060 W. BEAVER CREEK BLVD. #1B     TYPE:  LIQUOR STORE LICENSE     MANAGER:  BILL HOLM    5. APPROVAL OF THE MINUTES FROM FEBRUARY 12, 2019 MEETING     6. ADJOURNMENT                                    AVON LIQUOR LICENSING AUTHORITY REPORT  To: Avon Liquor Licensing Authority (“Authority”) From: Brenda Torres, Liquor Licensing Authority Secretary Meeting Date: February 26, 2019 Topic: Renewal Application – Joe’s Liquors ACTION BEFORE THE AUTHORITY: A Liquor License Renewal Application (“Renewal Application”) is presented to the Authority as described below. This Renewal Application is presented to the Authority because there was a violation in the last year, §5.08.140.(f), Avon Municipal Code. Proper state and local fees accompanied the Renewal Application. The owner/manager has been invited to attend the Liquor Licensing Authority meeting. Application: Liquor License Renewal Applicant: Millers Bottle Shop LLC d/b/a Joe’s Liquors Location: 1060 W. Beaver Creek Blvd. #1B, Avon, CO Type: Liquor Store License Manager: Bill Holm SAMPLE MOTION: “I move to approve the Renewal Application for Millers Bottle Shop LLC d/b/a Joe’s Liquors.” Alternatively, the Authority can move to continue the public hearing for additional information, testimony and/or evidence or may move to deny the Renewal Application if it finds there is “good cause” for denial (see Hearing Procedures below). BACKGROUND: The Acting Town Clerk, Special Counsel Pierce-Durance and Police Department have reviewed the Application submitted and referenced above and the application is complete and the materials are in order. The Police Report, which is on file with the Acting Town Clerk, indicates one violation of the Colorado Liquor Code in the past year which is described as follows: Miller Bottle Shop, LLC d/b/a Joe’s Liquors: Joe’s Liquors has been the subject of an investigation conducted by the Colorado Department of Revenue Liquor Enforcement Division. Agents of the Division allege violations of the Colorado Liquor Code, §12-47-901(1)(a.5)(I), C.R.S (underage serving). On February 16, 2018, this Licensee, through its employee/agent Tyler Abbett, permitted the selling, serving, giving, or procuring of an alcoholic beverage (Mike’s Hard Lemonade, brand malt liquor) to a nineteen-year-old Liquor Enforcement Division underage purchaser. Employee Tyler Abbett failed to verify that the consumer was at least twenty-one years of age by requiring the consumer to present a valid identification and who appeared to be under the age of fifty. INCIDENTS OVER LAST FIVE YEARS: There are no other violations over the last five years. PENALTIES FOR VIOLATIONS: The Authority previously adopted a policy that it defers to the Colorado Liquor Enforcement Division on imposing penalties for liquor license violations that arise from State enforcement. The State follows State Liquor Code Regulation 47-604 when setting the terms and conditions of state Stipulated Order for suspension and fines in lieu of suspensions. Therefore, the licensee will be subject to a fine and/or suspension as determined by the State Liquor Enforcement Division for the violation. HEARING PROCEDURES AND REVIEW AUTHORITY: The Authority’s action is limited to either approval or denial of the Renewal Application and the Authority may not place conditions on an approval of the renewal application. “The [Authority] may refuse to renew any license for good cause, subject to judicial review.” CRS §12-47-302(1). “In a renewal hearing there shall be no presumption or burden of proof, unless and until such time as some unfavorable testimony or exhibit is received, at which point the burden shall become that of the licensee to demonstrate by a preponderance of the evidence that the license should be renewed.” 5.08.070(b), Avon Municipal Code. ATTACHMENT: State of Colorado Renewal Application Form for Joe’s Liquor   TOWN OF AVON, COLORADO  AVON LIQUOR LICENSING AUTHORITY MEETING MINUTES FOR TUESDAY, FEBRUARY 12, 2019  AVON TOWN HALL, 100 MIKAELA WAY    Page 1  1. CALL TO ORDER AND ROLL CALL  Chairwoman Smith Hymes called the meeting to order at 5:03 p.m.  A roll call was taken and Board  members present were Amy Phillips, Scott Prince, Jennie Fancher, Chico Thuon, Tamra N. Underwood, and   Jake Wolf. Also present were Town Attorney Eric Heil, Police Chief Greg Daly, Planning Director Matt  Pielsticker, Recreation Director John Curutchet, Town Engineer Justin Hildret, Acting Town Manager  Preston Neill and Secretary Brenda Torres.  2. APPROVAL OF AGENDA   There were no changes to the agenda.     3. PUBLIC COMMENT – COMMENTS ARE WELCOME ON TOPICS NOT ON THE AGENDA     No public comments were made.    4. Renewal of Liquor Licenses  4.1. Applicant: Millers Bottle Shop LLC d/b/a Joe’s Liquors           Location: 1060 W. Beaver Creek Blvd. #1B         Type:  Liquor Store License         Manager:  Bill Holm     Board member Phillips moved to continue the application for Joe’s Liquors to February 26, 2019. Board  member Underwood seconded the motion and it passed unanimously by those present.      5. MINUTES FROM JANUARY 22, 2019  Board member Underwood moved to approve the minutes from January 22, 2019, Liquor Authority  meeting. Board member Phillips seconded the motion and it passed unanimously by those present.       6. Written Report  6.1. Report on Recent Administrative Approvals (Liquor Licensing Authority Secretary Brenda Torres)    Board member Underwood asked if any comments or request for public hearing were received for these  administrative approvals. Secretary Torres responded there were none.      7. ADJOURNMENT   There being no further business to come before the Board, Board member Underwood moved to adjourn  the liquor meeting. Board member Phillips seconded the motion and it passed unanimously by Board  members present.  The time was 5:05 p.m.                   TOWN OF AVON, COLORADO  AVON LIQUOR LICENSING AUTHORITY MEETING MINUTES FOR TUESDAY, FEBRUARY 12, 2019  AVON TOWN HALL, 100 MIKAELA WAY    Page 2  RESPECTFULLY SUBMITTED:                          ____________________________________          Brenda Torres, Secretary    APPROVED:  Sarah Smith Hymes ___________________________________    Amy Phillips  ___________________________________    Jake Wolf  ________________________________    Chico Thuon  ________________________________    Jennie Fancher   ________________________________    Scott Prince  ________________________________    Tamra Underwood ________________________________        TOWN COUNCIL REPORT  To:   Honorable Mayor Smith Hymes and Town Council  From:    Preston Neill, Acting Town Manager  Date:    February 26, 2019  Topic:    NORTHWEST COLORADO SMALL BUSINESS DEVELOPMENT CENTER    SUMMARY  Lyndsey Brozyna, Acting Regional Director of the Northwest Colorado Small Business Development Center  (Northwest SBDC), will attend Tuesday’s Council meeting to deliver a presentation about Northwest SBDC.  Northwest SBDC is an organization that offers business consulting and training and aims to help emerging  and existing entrepreneurs gain control of their business operations. They provide free local guidance and  consulting in all aspects of funding and developing small business.    ATTACHMENT  Northwest SBDC PowerPoint Presentation  Northwest Colorado Small Business Development Center Avon Town Council Meeting February 26, 2019 Our Mission The Northwest SBDC is dedicated to developing new and existing entrepreneurs resulting in an established future of work for our communities. Our Mission Image Credit: Innovation Collaborative Confidential, 1:1 Consulting Expert-Led Workshops Specialty Programs WE ARE HERE TO HELP SMALL BUSINESSES START, GROW, AND PROSPER SBDC Resources: Consulting Areas Image Credit: Small Business Center for Excellence SBDC Resources: Expert-Led Workshops University Certificate Programs Women in Entrepreneurship: Growth Hacking University of Colorado Certificate Course May 2-3, 2019 | Vail, CO Course Objective: This workshop explores how business owners can strengthen their message to target customers through brand clarification and growth hacking techniques. Participants will learn how to implement creative and strategic tools to better define value propositions, leading to greater customer acquisition and retention. Program Impact, Testimonials, and Observations “I really appreciated all the opportunities for networking and collaboration. It was great to hear perspectives from individuals outside of the Valley. [The CU Professors] put on a fantastic program! Thank you for making this affordable!” –Establishing Brand Clarity Participant (Vail) “The opportunity to learn from such quality professors alongside like-minded entrepreneurs has equipped my business with the tools I need to grow.” –Demystifying Entrepreneurship Participant (Carbondale) “I never thought my business could be scalable. I now have much greater clarity as to handle our growth and potentially scale.” –StartUp to ScaleUp Participant (Eagle) Leading Edge Connect 2Dot Tech SourceSME Cyber CYA MBOHealth + Wellness SBDC Resources: Specialty Programs Champion Market Model SBA OEDIT Northwest SBDC Host Garfield County City of Glenwood Springs City of Rifle Town of New Castle Eagle County Town of Vail Town of Avon Town of Gypsum Moffat County Champion Market Model Symbiotic SupportConsulting Programming Operations Marketing Impact Advisory Capacity Champion Market Model ✓CPAs ✓Attorneys ✓Government Contracting ✓Dispute Resolution ✓Grant Writing ✓Technology and Funding ✓VC/Angel/Equity Specialist ✓Natural Resources/Ag ✓Manufacturing ✓Lean Specialist ✓SBIR/Commercialization ✓Exporting/International Trade ✓Energy Specialists ✓Aerospace ✓Intellectual Property ✓E-Business, Social Media ✓Patents ✓Medical Devices ✓Business Specialists/Coaches ✓Natural Food Product ✓Retail Specialists ✓Human Resources ✓Marketing/Strategy SBDCs Provide Champion Markets… Dedicated to helping new and existing businesses grow and prosper! We Make an Impact Regional Economic Impact Progress 2018 2017 Clients Served 145 114 Business Starts 9 4 Jobs Created 65 24 Jobs Retained 114 114 Capital Formed $1,425,800 $274,950 Sales Growth $2,439,500 $729,627 Increased Contracts $3,135,000 $410,200 For every dollar invested in SBDC services in 2018, Northwest Colorado communities reaped $53.84 in economic impact. 2019 Champion Market Proposal 2019 Northwest SBDC Avon Resources Consulting $2,500 Workshop Facilitation $1,250 Marketing $1,000 Program F+B $250 Total Expenses $5,000 “No one can whistle a symphony; it takes an entire orchestra to play it.” -H.E. Luccock We’re Here to Help! START GROW PROSPER www.northwestsbdc.org lyndsey@northwestsbdc.org 970-977-9573 @NWCOSBDC THANK YOU!     TOWN COUNCIL REPORT  To:   Honorable Mayor Smith Hymes and Town Council  From:    Preston Neill, Acting Town Manager  Date:    February 26, 2019  Topic:    COLORADO CITY & COUNTY MANAGEMENT ASSOCIATION 2018 ASSISTANT OF THE YEAR AWARD    Tim Gagen, CCCMA Senior Advisor, will attend Tuesday’s Council meeting to present the CCCMA 2018  Assistant of the Year Award.         TOWN COUNCIL REPORT  To:    Honorable Mayor Sarah Smith Hymes and Avon Town Council  From:    Greg Daly, Chief of Police   Date:    February 26, 2019  Agenda Topic:   SWEARING IN AND BADGE PINNING CEREMONY FOR OFFICER ALAN HERNANDEZ‐ MARTINEZ       Swearing In and Badge Pinning Ceremony     Tonight, we will join Alan Hernandez‐Martinez and his wife Maria as he takes his oath as Avon’s  newest Police Officer and receive his badge.      Officer Hernandez‐Martinez participated in a robust, challenging and comprehensive testing in  April 2018.    Officer Hernandez‐Martinez previously worked for the Town of Avon as a part‐time summer  community response officer. Officer Hernandez‐Martinez recently worked for the Vail Police  Department as a code enforcement officer. Officer Hernandez‐Martinez graduated from Battle  Mountain High School, completed his Associate’s degree at Colorado Mountain College, Edwards  campus, and then graduated with a Bachelor’s Degree in Criminal Justice from Colorado Mesa  University.     It is a long‐standing tradition in the First Responder Community that a Badging Ceremony is held  upon completion of Police or Fire Academy, and then upon subsequent promotions.  The badges  are the visible signs of his or her role, responsibilities, authority and trust with our community.    Mayor Smith Hymes will preside over the swearing‐in. The Oath of Office will be administered by  Acting Town Clerk Brenda Torres.      Officer Hernandez‐Martinez’s wife, Maria, will pin his badge.    Congratulations to Officer Hernandez‐Martinez.             Heil Law & Planning, LLC E-Mail: ericheillaw@gmail.com HEIL LAW & PLANNING, LLC MEMORANDUM TO: Honorable Mayor Smith Hymes and Town Council members FROM: Eric J. Heil, Town Attorney RE: Overview of Council Procedures: Simplified Rules of Procedures and the Avon Charter DATE: February 21, 2019 SUMMARY: This memorandum provides an overview of Council procedures, including the Avon Home Rule Charter and the Avon Town Council Simplified Rules of Order. I would like to give a quick 10 minute walk through of the Council procedures. AVON HOME RULE CHARTER: Avon’s Charter sets forth the basic requirements for Council procedures. Quorum: Council quorum is four Council members (Charter Section 5.4). Attendance: Council members are generally expected to attend Council meetings. “The Council shall meet regularly at times to be fixed by the rules of the Council.” (Charter Section 5.1). If a Council member cannot attend a meeting, the Town Clerk or Mayor should be notified. Required Votes: The concurring vote of four Council members is required for the adoption of an ordinance, resolution, appropriation, approval of contract or approval of intergovernmental agreement (Charter Section 5.5(b)); however, the concurring vote of five (5) Council members is required for any intergovernmental agreement for the joint use of property or for services that exceeds ten (10) years in duration. (Charter Section 16.2). A simple majority of the quorum present is required for other matters. A tie vote results in no action taken. Mayor’s Vote: Prior to 2011, the Mayor was only permitted to vote in the event of a tie. The Charter was amended in 2011 to allow the Mayor to vote on all matters, but states, “The Mayor shall not vote until after all other Council members present at a meeting who are eligible to vote have had a reasonable opportunity to vote.” (Charter Section 5.5(b)). Required Voting: “Every Council member who is present must vote upon all voting matters unless excused by the Town Code of Ethics, this Charter, or rules and procedures for Council meetings adopted by ordinance.” (Charter Section 5.5(b)). Adoption of Minutes: “Only Council members present at a Council meeting may vote on the adoption of meeting minutes for such Council meeting and Council members absent from a meeting shall be excused form voting on the adoption of such meeting minutes.” (Charter Section 5.5(c)). Adding to Agenda: Generally, Council may add action items to regular meeting agendas, both at the beginning of a meeting and during the meeting, provided that any requirement for prior notice is met. Special meetings are treated differently. “No business shall be transacted at any special meeting of the Council unless the same has been stated in the notice of such meeting.” (Charter Section 5.3). Avon Town Council RE: Overview of Council Procedures Date: February 21, 2019 Page 2 of 2 AVON TOWN COUNCIL SIMPLIFIED RULES OF ORDER: “The Council shall determine the rules of procedure governing meetings.” (Charter Section 5.1). The Avon Town Council adopted Simplified Rules of Order in 2014. The Simplified Rules include: I Standards of Conduct for Avon Town Meetings II The Mayors Role III Agenda IV Motions V Meeting Conduct VI Public Comments VII Public Hearings VIII Executive Sessions The Simplified Rules of Order are attached to this memorandum. I would like to quickly review these procedures with Council at the Council meeting REQUESTED ACTION: No action is requested by Council. Thank you, Eric ATTACHMENT A: Avon Town Council Simplified Rules of Order Adopted January 28, 2014 by Resolution No. 14-03 Amended and Re-Adopted on July 26, 2016 by Resolution No. 16-20 Amended and Re-Adopted April 11, 2017 by Resolution No. 17-05 Page 1 of 4 Avon Town Council Simplified Rules of Order These Simplified Rules of Order establish rules and procedures for Avon Town Council meetings. The intent is to set forth simplified rules which are readily accessible and usable by the Avon Town Council members and understandable by the general public. The provisions of the Home Rule Charter, the Avon Municipal Code, or any ordinance adopted by the Avon Town Council shall govern and apply in the event there is any conflict with these Simplified Rules of Order. Unless otherwise indicated, any reference to “Mayor” shall also mean the “Mayor Pro-Tem” or “Acting Mayor” in the absence of the Mayor, as set forth in the Avon Home Rule Charter. I.Standards of Conduct for Avon Town Meetings: The Avon Town Council finds that the foundation of municipal democracy rests on open, respectful and informed discussion and debate balanced with the necessary efficiency required to take action in the public interest.Reasonable persons will often disagree on many public matters which arise before elected andappointed officials. The process of discussion and debate is essential to the ability of elected and appointed officials to render the best decisions possible for the Avon community. The following standards of conduct are considered the minimum standards for elected and appointed officials. A.Elected and appointed officials shall conduct themselves in a mature manner that isbecoming of public officials, shall respect one another and shall respect members of thepublic. B.Elected and appointed officials shall refrain from profanity, rude behavior or personal attacks and shall promptly apologize to both the board and the recipient of any such behavior in the event of a temporary lapse of appropriate behavior. C.The Mayor shall be responsible for maintaining civility, decorum and order throughout themeeting. D.Members of the Avon Town Council shall not communicate between or amongst themselves by text message, e-mails or other forms of electronic communication during a Council meeting. E.Members of the Avon Town Council shall promptly disclose and announce the sending orreceipt by a Council member of a text message, e-mail or other form of electronic communication during a Town Council meeting, to or from any person, for any such communication that concerns a matter on the Town Council agenda for that meeting. II.Mayor: Every meeting of the Avon Town Council shall be presided over by the Mayor.If the Mayor is absent the Mayor Pro-Tem shall preside over the meeting. If the Mayor has aconflict of interest on a matter then the Mayor Pro-Tem shall preside over the meeting for such matter. If the Mayor and Mayor Pro-Tem are absent, or if they both have conflict of interest on a matter, then a quorum of Council members shall appoint an Acting Mayor by motion who shall then preside over the meeting or shall preside over such matter for which the Mayor and Mayor Pro-Tem have conflict of interest. The Mayor shall strive to moderate Council meetings withimpartiality, shall strive to allow input from all other Council members on matters before expressing his or her opinion, and shall refrain from making a motion or seconding a motion until it is apparent that no other member of the Council will do so. III.Agendas: The following rules and procedures shall apply to agendas: ATTACHMENT A: Simplified Rules of Order Adopted January 28, 2014 by Resolution No. 14-03 Amended and Re-Adopted on July 26, 2016 by Resolution No. 16-20 Amended and Re-Adopted April 11, 2017 by Resolution No. 17-05 Page 2 of 4 A. The Mayor shall determine the agenda in consultation with the Town Manager. The Town Council may direct items to be included on an agenda. Individual Council members may contact the Mayor to request inclusion of a matter on an agenda. The Mayor shall consult with the Town Manager and exercise discretion to determine if the matter should be included on the agenda as a discussion item or an action item. B. After roll call, the Council shall approve the agenda by motion by a majority of the quorum present with any additions or deletions Council deems appropriate. C. The Council may take action by motion at any time during a meeting to schedule discussion or action items on a future agenda which shall be scheduled by Town Staff. D. Noticing for action items and public hearings shall be in accordance with applicable law. IV. Motions: All official Town Council actions are initiated by motion. These following rules and procedures apply to motions. There are two basic motions: action motions and procedural motions. Only one action motion may be on the floor at a time. A procedural motion may be proposed, discussed and acted upon when an action motion is on the floor or at any other time. A. Basic Motion: The basic motion to take action is stated as, “I move to . . . .” Every motion requires a second. Once a motion is made no further discussion can continue until a second is made to support the motion. B. Discussion: All Council members have the right to discuss the motion on the floor. Discussion cannot be concluded unless (1) all Council members present consent or (2) a majority of Council members present approve a procedural motion to “Call the Question” and end debate. C. Withdraw a Motion: The maker of a motion may choose to withdraw the motion at any time prior to the vote on the motion and may interrupt a speaker to withdraw the motion and consent of the Council member who seconded the motion is not required. The motion is immediately withdrawn; however, the Mayor may then ask the Council member who seconded the withdrawn motion and any other Council member if such Council member wishes to make the motion. D. Amendment to Motion: Any Council member may request an amendment to a pending motion. The maker of the pending motion and Council member who seconded the motion must consent to the proposed amendment. Any Council member may also propose a substitute motion to a pending motion which also requires consent of the maker of the pending motion and the Council member who seconded the pending motion. E. Procedural Motion: A procedural motion may be made at any time and may impose or modify any procedural rule provided that such procedure is not in conflict with the Avon Home Rule Charter, any ordinance adopted by the Town, or any applicable state law. Procedural motions require a majority vote of the quorum present. F. Motion to Call the Question or End the Discussion: A motion to “call the question” (also known as a motion to end the discussion) is a procedural motion to end debate and discussion. A motion to call the question cannot be made until each Council member has had at least one reasonable opportunity to ask questions and express his or her opinion on the matter. Once a motion to call the question is made and seconded, it shall be the Mayor’s discretion to allow any further discussion on such procedural motion for the ATTACHMENT A: Simplified Rules of Order Adopted January 28, 2014 by Resolution No. 14-03 Amended and Re-Adopted on July 26, 2016 by Resolution No. 16-20 Amended and Re-Adopted April 11, 2017 by Resolution No. 17-05 Page 3 of 4 purpose of clarifying any technical, procedural or legal issue related to the procedural motion. A motion to call the question requires a majority vote of the quorum present. Once a motion to call the question is approved, the pending action motion on the floor must be voted upon promptly or, if no action motion is pending, the Mayor shall proceed to the next agenda item. G. Motion to Continue: A motion to continue an agenda item must include a specific future Council meeting date, time and place for the continued matter to be considered again without re-noticing a required public hearing. H. Motion to Table: A motion to table places the agenda item on hold and does not require a specific time for the return of the agenda item. I. Motion to Suspend Rules: A motion to suspend rules may allow suspension of any rule in this Simplified Rule of Order. Such motion may be made and requires a supermajority vote of a majority of the quorum present plus one for approval. A motion to suspend rules may not supersede the procedural requirements of the Avon Home Rule Charter, any ordinance adopted by the Town, or any applicable state law. J. A Motion to Reconsider: A Motion to Reconsider allows the Council to reconsider a vote on a matter. A Motion to Reconsider may only be made and considered if made and acted upon less than twenty-eight (28) days after the date of the Council action to be reconsidered and may be made only by a member of Council who voted in the majority on the motion which is proposed for reconsideration. V. Meeting Conduct A. Point of Privilege: A Council member may interrupt the speaker to raise a matter related to the comfort of the meeting, such as room temperature, distractions, or ability to hear speaker. B. Point of Order: A Council member may raise a Point of Order at any time that the Mayor permits meeting conduct which does not follow these Simplified Rules of Order or otherwise fails to maintain civility and decorum by the Council and the general public. C. Appeal: A Council member may move to appeal the ruling of the Mayor on any procedural matter or other decision related to the conduct of the meeting. If the motion is seconded and, after debate, it such motion passes by a simple majority vote of the quorum present, then the ruling or conduct of the Mayor shall be overruled and reversed. D. Call for Orders of the Day: A Council member may call for Orders of the Day when such Council member believes that Council discussion has strayed from the agenda. No second or vote is required. If the Mayor does not return to the agenda, then such ruling may be appealed. E. Adjournment: The Mayor may announce the meeting adjourned when there are no further items on the agenda which have not been addressed. The Council may adjourn a meeting at any time by motion, second and approval by a majority of the quorum present. VI. Public Comments: Council agendas shall include a general item labeled “Public Comment” near the beginning of all Council meetings. Members of the public who wish to provide comments to Council greater than three minutes are encouraged to schedule time in advance on the agenda and to provide written comments and other appropriate materials to the Council in advance of the Council meeting. The Mayor shall permit public comments for any ATTACHMENT A: Simplified Rules of Order Adopted January 28, 2014 by Resolution No. 14-03 Amended and Re-Adopted on July 26, 2016 by Resolution No. 16-20 Amended and Re-Adopted April 11, 2017 by Resolution No. 17-05 Page 4 of 4 action item or work session item, and may permit public comment for any other agenda item, and may limit such public comment to three minutes per individual, which limitation may be waived or increased by a majority of the quorum present. VII. Public Hearing: The following general rules shall apply to the order and conduct of public hearings. These rules may be modified or suspended by Motion to Suspend Rules. A. The Mayor shall open the public hearing by announcing the topic of the agenda item. The Mayor shall at all times during public hearings strive to maintain civility, decorum and order. B. The Mayor and/or appropriate Town Staff person shall introduce the topic, explain the applicable procedures and laws, and provide any presentation by the Town. C. The applicant, licensee or appellant shall have the opportunity to present information, provide testimony, or respond to any comments or details in the Town’s presentation. D. The Council shall have the opportunity to ask technical questions of the appropriate Town staff, Town officials and the applicant, licensee or appellant but Council members shall not express opinions on the matter prior to opening the public hearing for public comment. E. The Mayor shall officially open the public hearing for public comment and shall allow for members of the public to provide comment to the Council. The Council may approve a time limitation not less than 3 minutes for individual public comment and may approve sign-up sheets or other public comment procedures to promote order and efficiency by a majority vote of the quorum present provided that individuals shall be permitted to yield his or her public comment time to another speaker. After all public comments are received, or if the Council determines that the volume of public comments requires additional time and moves to continue the public hearing, the Mayor shall close the public comment portion of the public hearing. F. The Council may discuss the merits of the topic of the public hearing and take such action as deemed appropriate after the public comment portion of the public hearing is concluded. If the volume of public comments requires a continuation, if additional information is required to consider the public hearing matter, or if the Council determines that additional time is warranted to consider the matter of the public hearing, the Council may continue the public hearing to a later date and may re-open the public comment portion of the public hearing at any continued public hearing. VIII. Executive Sessions: Council may convene into executive session at any time by the affirmative vote of 2/3rds of the quorum present and by announcing the specific statutory citation and purpose of the executive session in accordance with the Colorado Open Meetings Law, CRS §24-6-402(4). The Council is not permitted to take official, final action on any matter in executive session. ATTACHMENT A: Simplified Rules of Order TOWN COUNCIL REPORT To: Honorable Mayor Sarah Smith Hymes and Avon Town Council From: David Williams, AICP, Town Planner Thru: Matt Pielsticker, AICP, Planning Director Meeting Date: February 26, 2019 Agenda Topic: PUBLIC HEARING ON MAJOR DEVELOPMENT PLAN APPLICATION FOR LOT 5, RIVERFRONT SUBDIVISION ACTION BEFORE COUNCIL Action on a Major Development Plan Land Use Application for two duplexes on Lot 5, Riverfront Subdivision. PROPOSED MOTION “I move to approve the Major Development Plan Application for two duplexes on Lot 5, Riverfront Subdivision, with the findings and conditions listed in staff’s memo dated February 26, 2019.” SUMMARY The Avon Development Code requires final review of Major Development Plan applications, when located in the Town Core, by the Town Council. Before Council is action on a Major Development Plan Application that includes two duplex buildings in the Riverfront Subdivision. The application was reviewed by the Planning and Zoning Commission (PZC) on February 5, 2019; the Planning and Zoning Commission provided a unanimous (6-0) recommendation for approval. Attached to this report are the application materials, as presented to the Planning and Zoning Commission. Note that the PZC’s motion included a condition to verify existing easements and lot lines on a site plan before a building permit will be issued. This task was completed by staff and is no longer a recommended condition of approval to the application. Also, the staff report and record of decision lists the property in question as Lot 4. Staff made an error and the corrected lot number (Lot 5) is included on all updated information. TRAIL EASEMENT In December 2017 the Town Council approved a PUD amendment for the Riverfront Subdivision. The amendment provided more flexibility in building massing and footprints on the collective parcels, ultimately reducing the overall bulk of development. The PUD amendment was conditioned upon providing an easement to connect Riverfront Lane to the Eagle Valley Trail. Now, the easement has been dedicated and a design for the trail is an open application that planning staff is reviewing. This project is budgeted and scheduled for completion in 2019. AVAILABLE ACTIONS • Approve Application with staff recommended motion • Continue Public Hearing to March 12, 2019 Meeting (or any other hearing within 65 days) • Deny Application STAFF RECOMMENDATION Staff is recommending that the Town Council approve the attached Findings of Fact and Record of Decision, thereby taking the Planning and Zoning Commission’s recommendation for approval, with the same findings and conditions. ATTACHMENTS PZC Materials: Decision, Staff Report, Application, and Design & Development Plan Drawings Draft Town Council Record of Decision February 5, 2019 PZC Meeting – Riverfront Property 1 Staff Report – Major Development Plan February 5, 2019 Planning and Zoning Commission Meeting Case #MJR19001 Staff Report Overview This staff report contains one application for consideration by the Planning and Zoning Commission (PZC): Major Development Plan with Design Review for two (2) new duplex houses. The Planning and Zoning Commission will make a recommendation on the application to the Town Council for final action since the property is in the “Town Core.” All Major Development Plans on this site require final action by Town Council, which is currently scheduled for February 26. Summary of Request Jim Telling (the Applicant) with East West Resort Development proposes a new development on Lot 4. This application presets the third phase of a four-phase project. Phase one is currently under construction. The buildings within this phase are located between the new one-way driveway and the Eagle river. The two buildings are identical in design. The buildings are one-story on the driveway side and two-story on the river side. Each unit is 2,819 net square feet and include an attached one car garage. The buildings mainly feature shed roofs. Note that the farthest north-east duplex is sometimes illustrated in the plan set as part of phase three, but this unit has already received design approval. Public Notice Notice of the public hearing was published in the January 25 edition of the Vail Daily in accordance with Sec. 7.16.020(d) of the Avon Development Code (AMC), and noticed for multiple meeting dates. Mailed notice is not required for this application type. Property Description Lot 4 is 1.3 acres located along Riverfront Lane, directly west of the recently approved Lodge building. It is zoned PUD and accommodates the duplex development, per the PUD standards. The property primarily borders the Eagle River and large commercial-residential buildings. The Riverfront PUD includes overall dwelling unit and site Project type Major Development Plan Public Hearing Required Legal Description Lot 4 Riverfront Subdivision Zoning Planned Unit Development (PUD) Address 0254 Riverfront Lane Prepared By David McWilliams, Town Planner February 5, 2019 PZC Meeting – Riverfront Property 2 coverage requirements that span the entire PUD; the following table demonstrates continued compliance. The applicant incorporated all townhome units in Lot 5 calculations even though some are on Lot 4. PUD Tracker Demonstrating Remaining Rights on the Property Planning Analysis Setbacks: Lot 4 has the following building envelope and easements: Front - 10’ Side – 0’, Back (Eagle River) - 75’ Per the PUD Design Standards, the property is permitted, “limited minor encroachments as allowed in the development plan,” on the river setback. The landscape plan proposes buyer-option patios in the setback area. This is consistent with the previously approved duplexes immediately to the west of the application. Distance Between Buildings Per AMC section 7.28.090(d)(2), “Building Separation. The minimum separation between residential buildings, including accessory buildings, is fifteen (15) feet. Architectural projections, such as decks, bay windows and roof overhangs, may project into the separation area, but may not encroach into required setbacks.” The intent of the regulation is to limit a feeling of over- density in an area, and to allow viewsheds. The site plan (Attachment A, page 3) places the foundations fifteen (15) feet or further from each other and the building is cantilevered over, thus decreasing the separation. However, compared to the originally approved Riverfront PUD, this project’s limited density is conducive to defining the included overhangs under the “architectural projection” umbrella thus allowing the design, as was decided in the first phase of this project. Building Height: The maximum building height permitted for this property is fifty-five feet (55’) for “townhome” buildings, which staff interprets using duplex and townhome standards as applicable. The applicant is proposing two story buildings, which will be well below the permitted maximum building height. Design Standards Analysis The PUD has its own Design Standards, which are elaborated on when applicable. In cases where the PUD is silent, AMC standards preside. Parking: The development requires four (4) parking spaces, and the applicant proposes eight (8) spaces, which are provided in garages and the spaces in front of them. The applicant included bike LODGE ONLY ALL TOWNHOMES Lot 1 Lot 2 Lot 3 Lot 4 Lot 5 TOTAL PUD REMAINDER Maximum Commercial GLFA - 26,088 5,340 - - 31,428 40,000 8,572 Minimum Commercial GLFA - 26,088 5,340 - - 31,428 20,000 11,428 Dwelling Units - 132 52 36 19 239 456 217 Meeting Space Minimum - 4,328 - - - 4,328 3,000 1,328 Site Coverage (acres) - 1.26 0.441 0.446 0.460 2.61 4.73 2.12 Site Coverage (% of whole 18.9-acre site) 0% 6.70% 2.3% 2.4% 2.4% 13.8% 25.0% 11.2% February 5, 2019 PZC Meeting – Riverfront Property 3 parking racks in phase one. Landscaping & Irrigation: The total landscape area proposed is 9,408 square feet, or 54% of the total area of the Phase three footprint. 188 landscape units are required and 234 units are proposed, primarily of pine, spruce, several deciduous and coniferous shrub species, native grasses, and mulch areas (attachment B, Sheet 2). The applicant has not proposed an irrigation plan, and hydrozones are not expressly demarcated. 100% of the landscape area will be drip irrigated. The applicant states that the landscape plan has been prepared to meet the LEED Gold standard, therefore anticipates an intense focus on water conservation practices. The stormwater treatment appears insufficient given the proximity to the river. Staff suggests that the application can be approved with the condition that a satisfactory irrigation plan and water treatment plan is presented to staff. The application proposes the removal of native or established landscaping. A stand of trees exists on the site, particularly on the west duplex pad and needs to be removed. The AMC states that removal and replacement protocols may be at the discretion of the Director. In this case, staff feels that the overall improvement to the property and the replacement with several appropriate tree species makes up for the loss. Building Design, Building Materials and Colors: The primary exterior building materials are cedar siding (stained brown), stone tiles, cementitious stucco, and cement panels (Attachment B, Sheet 6). Materials and colors were reviewed for conformance with the PUD Development Plan and determined to comply with the design standards. All materials are of high quality and compliment Avon’s built landscape. Retaining Walls: Two retaining walls are proposed between the buildings as boulder walls. They are each roughly four (4’) feet tall. Roof Material and Pitch: The applicant is proposing primarily 2:12 roof pitches, which conforms with the PUD Development Standards. Materials are proposed to be asphalt shingles and standing seam metal, painted black. Exterior Lighting: The proposed exterior building lighting (Attachment B, sheet 7) appear to be compliant with AMC, but staff would like to confirm this. February 5, 2019 PZC Meeting – Riverfront Property 4 Unified Design: The proposal is for an identical design type for the two duplexes and incorporates a level of syntropy in design when placed next to each other. AMC sec. 7.28.090(d) states, “Duplex, townhome and multi-family developments shall be designed in a manner that creates a single unified structure and site plan. Unified design shall include, but not be limited to, the use of compatible building materials, architectural style, scale, massing, detail, roof forms and landscaping. While "mirror image" units are not supported, the design intent should be one that creates a unified structure with enough variety and architectural interest to distinguish a duplex, townhome or multi-family structure from a single-family home.” Staff is satisfied with the level of detailing incorporated in this project. Major Development Plan & Design Review - Review Criteria § 7.16.080(f), Development Plan 1. Evidence of substantial compliance with the purpose of the Development Code as specified in §7.04.030, Purposes; Staff Response: The Application is in compliance with the applicable purposes outlined in the Development Code. Purpose (f) states, “Provide a planned and orderly use of land, protection of the environment and preservation of viability, all to conserve the value of the investments of the people of the Avon community and encourage a high quality of life and the most appropriate use of land throughout the municipality” 2. Evidence of substantial compliance with §7.16.090, Design Review; Staff Response: This Major Design and Development Plan Application should be assessed in part with the Design Review criteria of the Development Code. The Design Review section seeks quality development and structures that are visually harmonious with the site and the surrounding vicinity. Conformance with this code section is discussed below and in Staff Analysis. 2. Consistency with the Avon Comprehensive Plan; February 5, 2019 PZC Meeting – Riverfront Property 5 Staff Response: The site is located in the Riverfront District (District 2 in the Comprehensive Plan), which states, “Visibility from U.S. Highway 6, protection and enhancement of the riparian environment along the Eagle River, and appropriate public access along the river should be taken into consideration with all development.” Select district principles are elaborated below, with staff responses: • Seek easements where appropriate for river access. – An easement to access the river from Riverfront Lane was provided during the 2017 PUD amendment as a condition of approval. • Orient buildings to capitalize on the Eagle River as an amenity. Use sensitive site planning, architectural detailing, articulation, and appropriate setbacks, color, screening, and scale of structure to preserve the character of the river and its associated natural habitat. – The scale and design detail of the buildings do not appear over-dominant and are in scale with the river setting. Additional rain gardens will aid in the site planning sensitivity. • Limit building height to a scale that is subordinate to Town Center and compatible with the river environment. Buildings should be designed to step down in height as they near the river and in response to the natural topography. – The building height is subordinate to Town Center and complimentary with the natural sloping topography. • Minimize the loss of trees and impact to the riparian area while achieving urban design goals. – The urban design component outweighs the loss in trees. Other general Goals and Policies are listed below: Goal A.1: Promote a compact community form. Goal B.2: Ensure that Avon continues to develop as a community of safe, interactive, and cohesive neighborhoods that contribute to the Town’s overall character and image. Goal C.1: Ensure that development is compatible with existing and planned adjacent development and contributes to Avon’s community image and character. Goal E.1: Achieve a diverse range of housing densities, styles, and types, including rental and for sale, to serve all segments of the population. Response: Staff finds substantial consistency with the form, cohesion, compatibility, and housing types offered in this project. 3. Consistency with any previously approved and not revoked subdivision plat, planned development, or any other precedent plan or land use approval for the property as applicable; Staff Response: The application was reviewed for the requirements that accompany the PUD Development Plan and the Avon Development Code and found to be consistent with them. 4. Compliance with all applicable development and design standards set forth in this Code, including but not limited to the provisions in Chapter 7.20, Zone Districts and Official Zoning Map, Chapter 7.24, Use Regulations, and Chapter 7.28, Development Standards; and Staff Response: The analysis contained in this staff report addresses all applicable Development Code standards. 5. That the development can be adequately served by city services including but not limited to roads, water, wastewater, fire protection, and emergency medical services. February 5, 2019 PZC Meeting – Riverfront Property 6 Staff Response: Staff referred the proposal to the Eagle River Water and Sanitation District for compliance with the property’s’ water allocation and did not hear a response. All other special services are well established in the subdivision. §7.16.090(f), Design Review Criteria 1. The design relates the development to the character of the surrounding community; or, where redevelopment is anticipated, relates the development to the character of Avon as a whole; Staff Response: The design relates to the character of the surrounding community. 2. The design meets the development and design standards established in this Development Code; and Staff Response: Staff finds the application in compliance with the development and design standards contained in the Development Code. 3. The design reflects the long- range goals and design criteria from the Avon Comprehensive Plan and other applicable, adopted plan documents. Staff Response: Applicable adopted plans include the Avon Comprehensive Plan, provisions of the Development Code, and the PUD Design Standards. The design has been evaluated for conformance with these plans and staff has determined the proposed design meets the requirements as proposed. Staff Recommendation for MJR19001 Major Design & Development Plan: Staff recommends a motion to recommend approval to the Avon Town Council Lot 4 Riverfront Subdivision Major Design and Development Plan with the following Findings and Conditions: Findings: 1. The proposed application was reviewed pursuant to §7.16.080(f), Development Plan, §7.16.090(f), Design Review. The design meets the development and design standards established in the Avon Development Code and the PUD Design Standards; 2. The application is complete; 3. The application provides sufficient information to allow the PZC to determine that the application complies with the relevant review criteria; 4. The application complies with the goals and policies of the Avon Comprehensive Plan; and 5. The design relates the development to the character of the surrounding community. Conditions: 1. Temporary irrigation systems must be removed upon sufficient vegetation establishment, which shall not exceed one (1) year for ground cover, two (2) years for shrubs or three (3) years for trees; 2. A satisfactory irrigation plan that achieves silver or better LEED standards, and demonstrates square footage coverage and hydrozones shall be presented to staff and approved prior to a building permit; 3. A stormwater quality plan will be approved by staff before issuing a building permit; 4. No trees beyond those indicated on the landscape plan will be removed without the approval of the Town, and special efforts will be made to preserve existing vegetation; and February 5, 2019 PZC Meeting – Riverfront Property 7 5. A lighting spec sheet is required for confirmation of AMC requirements. Motion to Recommend Approve the Application: “I move to recommend Avon Town Council approval of Case #MJR19001, an application for Major Design and Development Plan for Lot 4 Riverfront Subdivision, together with the Findings and Conditions as recommended by staff.” Attachments A. Application Narrative B. Design & Development Plans Riverfront Lodge and Townhomes Riverfront Village Lot 5 Major Development Application Phase 3 Major Development Application Submitted: Lot 5| Riverfront Village PUD January 14, 2019 Application Narrative Attachment A A. INTRODUCTION The applicant and owner East West Resorts Development XIV, L.P., L.L.L.P., a Delaware limited partnership registered as a limited liability partnership (“EWRD”) is hereby submitting a Major Development Application for a third phase of development of Lot 4 of the Riverfront Subdivision. This narrative accompanies the Development Plan Submittal drawings submitted under separate cover. Drawings include in progress coordinated architectural, site civil, and landscape plans for Phase Three. This development application is submitted per the most recent amendment of the Riverside PUD, and is consistent with the amended PUD guide including the density reduction for Lot 5 and the design guidelines and site development standards of the PUD. This application is for the third phase of development of Lot 5 that includes (4) Townhomes. An additional phase will follow to develop (3) single family residences on the western end of the site at full build out. This application focuses on the particulars of phase three. This phase is the final phase of the Townhomes and represents full build out of Lot 5. Sheet 1 of the Development Plan Submittal – Overall Illustrative Plan with Phase 3 boundary indicated (red dash line). Attachment A B. PROJECT OVERVIEW Project Layout The overall project consists of a 4 story (36) unit condominium lodge at the eastern end of the site connected to an enclave of (19) townhomes immediately to its west. Primary access to the site is provided by Riverfront Lane. A 16’ wide one-way driveway with traffic flowing east to west internal to the project reduces the amount of paving on the site and serves as the organizing element of the site plan. An entrance and exit on Riverfront Lane is proposed for the drop-off and check-in area in front of the future lodge. The one-way drive originates at the lodge drop-off and provides access to the condominium garage below grade and to the townhomes to the west. (9) uphill townhomes and (10) downhill townhomes are located along the one-way driveway as it winds through the center of site. Uphill and downhill units have been carefully designed to maximize the views from the site to Beaver Creek and the Eagle River to and minimize conflicts between each other. (2) parking spaces per unit are provided including a one car garage and a parking space in the driveway. The project is specifically laid out to respect the 75’ river setback and creates a buffer of landscape between the proposed buildings, the recreation path and river. The project also respects the 10’ setback along Riverfront Lane and creates a landscape buffer between private residences and the public sidewalk. The project has a strong pedestrian orientation based on close proximity and very good pedestrian connectivity to the Westin Riverfront, to the Gondola, to the transit center, to the Main Street Mall, and to Nottingham Park. Attachment A Pedestrian routes for the project include the sidewalk along Riverfront Lane to the north and the regional recreation trail long the Eagle River to the south. Internal to the site an at-grade paver sidewalk along the south shoulder of the one-way drive will connect the site east to west. Two crusher fine pervious pathways wind through the property in the north south direction to connect the townhomes to the regional path below. The existing pathway next to Timeshare West connecting Riverfront Lane to the recreation path below is left intact as part of the development. Perhaps most important, a new trail easement is created by the project. As part of Phase 3, the Downhill B Townhomes would also like to have narrow stepping stone path connection from the rear terraces to the regional trail as a buyer option. A shared trail easement between East West Partners and Eagle River Water and Sanitation District at the western-most point of Lot 7 has been dedicated to the Town of Avon to connect Nottingham Park and Lake Street to the regional recreation path along the River, fulfilling a long-term connectivity objective of the Town and fulfilling the owner’s obligation to the town in the Phase 1 project approval. Attachment A Above grade decks and at grade terraces are proposed along the south side of the Downhill B unit types to maximize the view and solar relationships of the site. Landscaping, with emphasis on adaptable and drought tolerant plant species, is proposed strategically in keeping with the Town standards to add interest and complement the architecture, soften the internal road and driveways, screen and create privacy, and serve as drainage and snow storage areas. Attachment A C. DEVELOPMENT SUMMARY Site Development Calculations: The total area of Lot 5 is: 75,435 sf. The total area proposed in Phase Three is 17,300 sf or 23% of the total Lot 5 area. Phase Three includes (4) downhill townhomes along the south side of the one- way drive through the site. The site calculations submitted with this application are generated based on the total area included in Phase Three. The following are the major site coverage areas associated with Phase One: Total Lot 5 Area: 75,435 SF / 100% Lot Area Phase 3 Site Area: 17,300 SF / 23% of Lot 5 Total Area Phase 3 Building Footprint Area: 5,753 SF (33.3% of Phase 3 Site Area) Phase 3 Paved Areas: 2,139 SF (12.4% of Phase 3 Site Area) Phase 3 Landscape Area: 9,408 SF (54% of Phase 3 Site Area) Phase 3 Snow Storage Area: 782 SF (36% of Phase 3 Paved Area Following is a Development Summary for Phase Three real estate development: Attachment A Attachment A Attachment A Attachment A Attachment A Attachment A Attachment A Attachment A Attachment A Attachment A © 2019 Zehren and Associates, Inc. east west partners 01.14.2019Riverfront Lodge and Townhomes 1 LODGE BUILDING River f r o n t L a n e Existi n g R a i l r o a d T r a c k s Existing Timeshare West Condos Entry Exit Exit Ea g l e R i v e r Ex i s t i n g E c o - T r a i l TH C TH B TH B TH C TH C FUTURE RESIDENCE TRI-PLEX A Prop o s e d D r i v e w a y Existing PathScale: 1” = 30’ 0 30’15’60’ TH A FUTURE RESIDENCES TH A TH A Phase 3 Site Area (17,300 sf) Total Lot 5 Area (75,435 sf) Note: Phase 3 site Area is 22.93% of Total Lot 5 Area LEGEND Bldg Type Unit Type Unit Qty. Total SF Townhome B (2) Duplex 4 11,276 PHASE 3 DEVELOPMENT SUMMARY OVERALL ILLUSTRATIVE PLAN DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Attachment A © 2019 Zehren and Associates, Inc. east west partners 01.14.2019Riverfront Lodge and Townhomes 2Scale: 1” = 10’ 0 10’5’20’ LANDSCAPE PLAN DEVELOPMENT PLAN SUBMITTAL | PHASE 03 NOTES: 1. ALL TREE AND SHRUB PLANT BEDS ARE TO RECEIVE A MINIMUM OF 3" DEPTH OF BARK MULCH. 2. ALL DISTURBED OR RE-GRADED AREAS TO BE RE-VEGETATED WITH A NATIVE WILDFLOWER AND GRASS SEED MIX. 3. IRRIGATION SYSTEM TO BE MOISTURE SENSOR AUTOMATED AND TIME CLOCK OPERATED. SHRUBS, TREES, AND PERENNIALS TO BE DRIP OR MICRO SPRAY TYPE IRRIGATION. 4. TREES AND SHRUBS WITHIN THE NATIVE SEED AREAS SHALL HAVE PERMANENT DRIP IRRIGATION. 5. SILT FENCE OR HAY BALES ARE TO BE PLACED AT THE LIMIT OF CONSTRUCTION AS NEEDED TO PREVENT EROSION AND SEDIMENTATION. A CONSTRUCTION FENCE WILL BE PLACED AT THE LIMIT OF DISTURBANCE WHERE THE SILT FENCE OR HAY BALES ARE NOT USED.GRAND TOTAL PHASE 3 LANDSCAPE UNITS = 234 TOTAL REQUIRED LANDSCAPE UNITS PER CODE = 188 Note: Native Seed Areas to have temporary irrigation for establishment (Native Seed Areas not Included in Irrigation Calculations) Landscape Area Provided 9,408 SF 54.4% Phase 3 Site Area Total Irrigated Area (Permanent) 1,878 SF 19.9% of Landscape Area Spray Area (Temp Rotors) 0 SF - Permanent / 3,221 SF (Temp) 0.0% of Total Irrigated Area Drip Area (Trees / Shrubs / Perennials) 1,878 SF 100.0% of Total Irrigated Area IRRIGATION AREA CALCULATIONS Note: Total Irrigated Area is calculated on a per plant basis using the following areas: • 20 SF per Tree • 7 SF per Shrub • 2.25 SF per Grass • Total area of Perennials Attachment A © 2019 Zehren and Associates, Inc. east west partners 01.14.2019Riverfront Lodge and Townhomes 3 SITE CALCULATIONS: Total Lot 5 Area = 75,435 SF Phase 3 Site Area: 17,300 SF Phase 3 Total Building Footprint Area: 5,753 SF (33.25% of Phase 3 Site Area) Phase 3 Paved Areas (Impervious): 2,139 SF (12.4% of Phase 3 Site Area) Phase 3 Landscape Area: 9,408 SF (54.4% of Phase 3 Site Area) Phase 3 Snow Storage Area: 782 SF (36.5% of Phase 3 Paved Area) BUILDING TYPE UNITS PARKING CALCULATONS (2) DUPLEX 4 Units 2 Per Unit = 8 Off Street Spaces 4 Total Units 8 Total Off Street Spaces NOTES: 1. NO SNOWMELT IS PROPOSED IN THE PHASE 3 AREA 2. TRASH CONTAINERS SHALL BE STORED WITHIN EACH UNIT. (NO EXTERIOR ENCLOSURES PROPOSED) 3. REFERENCE ARCH ELEVATIONS FOR BLDG HEIGHT AND ROOF LINE RIDGE ELEVATIONS SITE PLAN DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Phase 3 Site Area (17,300 sf) LEGEND Scale: 1” = 10’ 0 10’5’20’ Attachment A © 2019 Zehren and Associates, Inc. east west partners 01.14.2019Riverfront Lodge and Townhomes 4 Site Section Key Plan NTS River f r o n t L a n e Ea g l e R i v e r Lodge Timeshare West Section Site Section Scale: 1” = 10’-0” 0 10’5’20’ SITE SECTION DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Attachment A © 2019 Zehren and Associates, Inc. east west partners 01.14.2019Riverfront Lodge and Townhomes 5 LODGE BUILDING RIVE R F R O N T L A N E Ea g l e R i v e r Exis t i n g E c o - T r a i l TH C TH B TH B TH C TRI-PLEX A TH C FUTURE TH A TH A TH A Bollard Light - Qty. (6) Bollard Light LEGEND Submitting Agency:Description:3120 42 LED WHT53K MVOLT FT PL DSPFGProject:AVON ROAD STATUE & PED MALL - PEDESTRIAN MALLNotes: Type:LF-B ©2014 Acuity Brands Lighting, Inc. 7/11/143120_LED 9144 Deering Avenue, Second Floor • Chatsworth, CA 91311 • www.hydrel.com Phone: 866.533.9901 • Fax: 866.533.5291 ORDERING INFORMATION EXAMPLE: 3120 36 LED WHT53K MVOLT SYM BL DESCRIPTIONThe 3120 BOLLARD is a low level area lighting luminaire that combines visual appeal with superior performance and unequalled quality. It is designed to work in building perimeter areas and public spaces completing a wide variety of architectural styles. Superior performance extends to the detailed finish of the louvers. Matte black finish of top surface provides IES cut off performance while gloss white on bottom extends reflective light to economize on spacing of fixtures. Custom finish available on top louver surface. CATALOG NUMBER NOTES TYPE NOTE: Hydrel Reserves The Right To Modify Specification Without Notice. Any dimension on this sheet is to be assumed as a reference dimension: “Used for information purposes only. It does not govern manufacturing or inspection requirements.” (ANSI Y14.5-1973) 3120 LEDRound LouverBollard Flat 3120 36 LED WHT53K Model Height LED Array Color 3120 36 42 LED WHT30K 3000ºK Color Temp WHT53K 5300ºK Color Temp MVOLT SYM BL Voltage Distribution Options4 Finish 1202 2772 347 MVOLT Internal FT5 Forward Throw, 180º SYM Symmetric, 360º BLS6 Bi-Level Switching (Motion Activated) GFCI3 Receptacle ELN6 Emergency Battery Backup (1000 lumen output) BL Black BZ Bronze DDB Dark Bronze DNA Natural Aluminum GN Green GR Gray SND Sand STG Steel Gray TVG Terra Verde Green WH White CF Custom __Z7 Zinc Undercoat (i.e. BLZ) Optional Louvers Painted1 ___/PL Louvers painted to match fixture (top only) The 3120 BOLLARD offers a patented impact resistant mounting and leveling design ensuring life long performance. Four leveling pads within the base mounting plate are easily accessible through the access panel. The leveling pads provide full contact with the concrete pad, providing a high degree of stability. The base mounting plate is fully welded to the bollard post, providing complete structural support from all directions, giving the bollard superior vandal resistance. Motion Sensing Bi-Level Switching (BLS option) is now possible through the use of a fixture-integrated microwave occupancy sensor. Mounted in the head of the fixture, within the sealed light engine compartment, the sensor is protected from moisture damage, as well as potential damage due to vandalism. The sensor provides up to 20’ of motion coverage in the 360 deg area around the bollard (see diagram on the next page). When motion is detected bollard will illuminate at full output (60 Watts). After approx 5 min, bollard will drop to 1/4 full output (15 Watts). MATERIAL: Copper-free Aluminum, A360. LED ARRAY: 60.3W (total system input wattage) Lumen maintenance of individual light sources have been independently tested to IESNA LM-80 standards. VOLTAGE: MVOLT 50/60Hz DISTRIBUTION: SYM Symmetric, FT Forward Throw. LENS: Frosted Borosilicate Glass. BALLAST: Integrally mounted LED driver with operating temperature of -30° to 60°C. FASTENERS: Stainless Steel. FINISH: See ordering guide. LISTING: CSAUS, CSA FEATURES & SPECIFICATIONS Specifications L:8” 203 mm W:9” Dia. 229 mm H:40” or 34” 1016 mm or 864 mm Notes:1 Louvers will be black unless otherwise specified (top only). 2 Only valid with ELN or BLS. 3 Only valid with 120 Volt. 4 Options not valid with 50Hz. 5 FT not available with BLS. 6 ELN and BLS require 120 or 277 voltage, not MVOLT or 347. Choose only one.7 Add Zinc undercoat for harsh environments. Top 6" 8" 9" Dia. 40"34" 8" 36"LCL30"LCL 9" Top 6" 8" 9" Dia. 40"34" 8" 36"LCL30"LCL 9" Top 6" 8" 9" Dia. 40"34" 8" 36"LCL30"LCL 9" THE LIGHTING AGENCY TYPE CATALOG NUMBER NOTES THE LIGHTING AGENCY TYPE CATALOG NUMBER NOTES CONTRACTOR TO VERIFY: Voltage: Colors/ Finishes: Ceiling Type: Specific Dimming Ballasts (if required): Row Information: Switching Options: Suspension Lengths: Other: DSPFG DSPFG -RUST Scale: 1” = 16’ 0 16’8’32’ SITE LIGHTING PLAN DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Phase 3 Site Area (17,300 sf) LED Strip Lighting (Integrated into Handrails) Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 61/8” = 1’-0” LOWER LEVEL FLOOR PLAN 1/8” = 1’-0” MAIN LEVEL FLOOR PLAN 1/8” = 1’-0” ENTRY ELEVATION 1/8” = 1’-0” SIDE ELEVATION Exposed Timber Structure Channel Rustic Cedar Siding Metal and Wood Guardrail Adhered Thinstone (“Oklahoma Drystack”) Fiber Cement Panel (Nichiha) Cementitious Stucco (Integral Color) Exposed Timber Structure Channel Rustic Cedar Siding Fiber Cement Panel (Nichiha) Wood-Metal Clad Windows (Andersen) Cementitious Stucco (Integral Color) 1,122 SF (SALEABLE) TOTAL | 2,409 SF 1,287 SF (SALEABLE) Wood-Metal Clad Windows (Andersen) Standing Seam Metal Roof Wood-Metal Clad Windows (Andersen) DOWNHILL TOWNHOME B | 3BR UNIT DEVELOPMENT PLAN SUBMITTAL | PHASE 03 1/8” = 1’-0” ROOF PLAN1/8” = 1’-0” REAR ELEVATION Westin-Style Chimney Caps Westin-Style Chimney Caps Proposed Grade +89-0” +100-0” Adhered Thinstone (“Oklahoma Drystack”) Fiber Cement Panel (Nichiha “ ArchitecturalBlock™”) Channel Rustic Cedar Siding (Stained) Metal Corner Trim (XtremeTrim) Cementitious Stucco (Integral Color) Composite Shingles (Timberline HD) Standing Seam Metal Roof (Berridge) Wood-Metal Clad Windows (Andersen “Mallard Green”) Proposed Grade 11’-0”Sconce +100-0” +100’-0” DATUM = 7420.0’ ABOVE SEA LEVEL Adhered Thinstone (“Oklahoma Drystack”) Channel Rustic Cedar Siding Composite Shingles (Timberline HD) Sconce ~118’-6”~18’-6”33’-7” BUILDING HTExisting Grade Proposed Grade Existing Grade Existing Grade Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 7 NTS SOUTHEAST VIEW NTS NORTHWEST VIEW NTS NORTHEAST VIEW 1/8” = 1’-0” BUILDING SECTION NTS PROPOSED EXTERIOR FIXTURE DOWNHILL TOWNHOME B | 3BR UNIT DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Proposed GradeExisting Grade Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 8 AERIAL VIEW FROM NORTHEAST Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 9 AERIAL VIEW FROM SOUTHWEST Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 10 AERIAL VIEW FROM NORTHWEST Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 11 AERIAL VIEW FROM SOUTHEAST Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 12WALL AND ROOF DETAILS DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 13WINDOW DETAILS DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Attachment A © 2019 Zehren and Associates, Inc. 01.14.2019Riverfront Lodge and Townhomeseast west partners 14DECK GUARDRAIL AND CHIMNEY CAP DETAILS DEVELOPMENT PLAN SUBMITTAL | PHASE 03 Attachment A Lot 5 Riverfront Subdivision Findings of Fact and Record of Decision: #MJR19001 Page 1 of 1 AVON TOWN COUNCIL FINDINGS OF FACT AND RECORD OF DECISION ON MAJOR DEVELOPMENT PLAN APPLICATION FOR TWO DUPLEXES ON LOT 5, RIVERFRONT SUBDIVISION DATE OF DECISION: APPLICATION TYPE: FILE NUMBER: PROPERTY LOCATION: APPLICANT/OWNER: February 26, 2019 Major Development Plan #MJR19001 Lot 5 Riverfront Subdivision East West Resort Development XIV, L.P., L.L.L.P. These findings of fact and record of decision for the Major Development Plan application ("Application") is made in accordance with the Avon Development Code ("Development Code") §7.16.020(f): MAJOR DEVELOPMENT PLAN: The Avon Town Council hereby approves the Application for Lot 5 Riverfront Subdivision ("Property"), with the following Findings and Conditions: FINDINGS: 1. The proposed application was reviewed pursuant to §7.16.080(f), Development Plan, §7.16.090(f), Design Review. The design meets the development and design standards established in the Avon Development Code and the Riverfront PUD Design Standards; 2. The application is complete and qualifies for a Major Development Plan; 3. The Town Council conducted a public hearing on February 26, 2019 and considered staff reports, public comments, and the Planning and Zoning Commission’s recommendation. 3. The application provides sufficient information to allow the Council to determine that the application complies with the relevant review criteria; 4. The application complies with the goals and policies of the Avon Comprehensive Plan; and 5. The design relates the development to the character of the surrounding community. CONDITIONS: Approval of the Application is subject to performance, satisfaction and completion of the following conditions: 1. Temporary irrigation systems must be removed upon sufficient vegetation establishment, which shall not exceed one (1) year for ground cover, two (2) years for shrubs or three (3) years for trees; 2. A satisfactory irrigation plan that achieves silver or better LEED standards, and demonstrates square footage coverage and hydrozones shall be presented to staff and approved prior to a building permit; 3. A stormwater quality plan will be approved by staff before issuing a building permit; 4. No trees beyond those indicated on the landscape plan will be removed without the approval of the Town, and special efforts will be made to preserve existing vegetation; and 5. A lighting spec sheet is required for confirmation of AMC requirements. APPROVED BY MOTION on February 26, 2019. AVON TOWN COUNCIL By: Attest: Sarah Smith-Hymes, Mayor Brenda Torres, Town Clerk Heil Law & Planning, LLC E-Mail: ericheillaw@gmail.com HEIL LAW & PLANNING, LLC MEMORANDUM TO: FROM: RE: DATE: Honorable Mayor Smith Hymes and Town Council members Eric J. Heil, Town Attorney Ordinance No. 19-01 Community Housing Incentives February 26, 2019 SUMMARY: Council adopted the Town of Avon Community Housing Plan on December 13, 2018 (“Housing Plan”). The Housing Plan recommended that Avon formalize a fee waiver program for worker housing. Council had previously expressed interest in revisiting the Real Property Transfer Tax (“RETT”) exemption and considering an increase in the exemption for primary residences for the purpose of promoting community housing. The tax and fee credits, exemptions and waivers (“Community Housing Incentives”) are discussed first, then proposed amendments and options to the primary residence RETT exemption are discussed. REQUESTED COUNCIL ACTION: Ordinance No. 19-01 is presented for consideration on first reading; however, the ordinance presents many technical financial concepts and budget implications. Currently, there are no known pending or imminent housing projects. Council may desire to treat this action item as a work session for initial discussion and then continue first reading to the next Council meeting to allow additional time for consideration, language amendments, or gathering additional information. COMMUNITY HOUSING INCENTIVES: Council has general authority to provide a credit, exemption or waiver of taxes and fees upon the finding of a public benefit. Such action is similar to an appropriation, which is a legislative act. The Colorado Constitution prohibits making “gifts” to corporations or individuals; therefore, any appropriation or other action to provide a financial benefit to a person or entity must include a finding of “public benefit”. Credits, exemptions and waivers for community housing projects are a form of financial subsidy which impacts the Town’s budget like an appropriation or expenditure of existing funds. New Chapter 3.14 – Community Housing Incentives. In order to “formalize” and appropriately implement tax and fee credits, exemptions and waivers, a new Chapter 3.14 is proposed in the Avon Municipal Code (“AMC”). The Finance Department strongly prefers to avoid rebates, refunds and reimbursements due to the additional administrative and accounting work, therefore, the form of financial subsidy is proposed as a tax “credit” for sales tax, a tax “exemption” for real property transfer taxes, and “waivers” for development code fees, tap fees, and building permit fees. Development Code applications may require a “refund” due to the timing because applications fees must be submitted as part of a complete application and Council would not likely consider and approve a resolution to grant Community Housing Incentives until a community housing project was completely approved. The following key elements are included in AMC Chapter 3.14: “Community Housing” is defined to mean housing restricted to (1) long-term residential use, (2) as a primary residence, (3) by qualified persons, (4) that is subject to a deed restriction approved by Town, and (5) is enforceable by the Town. Approval by Resolution: Council approval of Community Housing Incentives by resolution is required because each housing project is unique. A resolution only requires one meeting to approve and takes effect immediately. AMC Section 3.14.030 lists the minimum elements of such a resolution as follows: Avon Town Council RE: Ord. 19-01 Community Housing Tax and Fee Credits, Exemptions and Waivers Date: February 7, 2019 Page 2 of 7 (1) The Community Housing project shall be defined by location, type of residential units, and quantity of residential units; (2) The taxes and/or fees that are subject to a credit, exemption and/or waiver shall be defined, and may be apportioned for a development project that includes both community housing and non-community housing elements; (3) The form of the deed restriction that shall protect and maintain such Community Housing for the benefit of the Town shall be included with the resolution and the resolution shall accept or authorize the acceptance and execution of deed restriction; (4) The resolution shall include a finding that the tax and/or fee credits, exemptions and/or waivers are necessary to promote community housing that meets a current or projected housing need for the Avon community; and, (5) The resolution shall include a finding of public benefit for providing such tax and/or fee credit, exemption and/or waiver. AMC Chapter 3.14 allows for credits, exemptions and waivers of (1) sales tax on building materials and fixtures, (2) real property transfer taxes, (3) development code plan review fees, (4) Avon water tap fees, and (5) building permit fees. Each of these taxes and fees are discussed as follows: Sales Tax: The Town charges 4% on any building materials which are delivered in Town and on fixtures which are purchased outside of Town and installed in buildings. AMC Chapter 3.08 – Sales Tax would be amended by Ordinance 19-01 to enact the following new section: “3.08.036 – Tax credit for community housing. Notwithstanding any other provision of this Chapter, there shall be granted a sales tax credit to each person owing tax on the sale of building materials and fixtures used in a community housing project provided that such sales tax credit is approved by Council by resolution in accordance with Chapter 3.14. Neither the ability of the Town to grant this tax credit nor the repeal or termination of this tax credit shall constitute a tax increase, the imposition of a new tax or a tax policy change.” Real Property Transfer Tax: AMC Chapter 3.12 currently includes an exemption that allows the Town Manager to provide an exemption for RETT for “low and moderate income persons;” see AMC Section 3.12.060(14). Town Manager approval of a RETT exemption for new projects is likely not appropriate because “low and moderate income persons” is not defined and approval of any agreements, deed restrictions, covenants or declarations for the benefit of Town and to be enforceable by Town should be approved by Council. Ordinance 19-01 would revise this exemption to require Council to approve a RETT exemption for a new Community Housing project and would cross reference the procedure and requirements in AMC Chapter 3.14. The revisions are shown as follows: 3.12.060 - Exemptions. Unless the method of transfer is contrived for the purpose of evading the real property transfer tax imposed by this Chapter, the real property transfer tax shall not apply to the situations described below: Avon Town Council RE: Ord. 19-01 Community Housing Tax and Fee Credits, Exemptions and Waivers Date: February 7, 2019 Page 3 of 7 (14) Any sale or conveyance of real property or improvements for the purpose of constructing or providing low or moderately priced housing units for sale or lease to low or moderate income personsor otherwise providing Community Housing as defined in Chapter 3.14; provided, that the parties to the transaction shall apply to the Town Manager Council for the exemption prior to the occurrence of the transaction from which exemption is sought in accordance with Chapter 3.14 Community Housing Incentives and that the property shall be subject to a deed restriction that protects and maintains the Community Housing for the benefit of the Town, and the parties shall agree to appropriately restrict the future use of the property to low and moderately priced housing units by recorded agreement, deed restriction, covenants, declarations or similar instruments as may be required by the Town Manager; Development Code Application Fees: Ordinance 19-01 authorizes a waiver or refund of Development Code application fees. These fees would likely involve site plan and design review at a minimum or could include applications for subdivision, re-zoning or planned unit development depending upon the project. This is the only fee that contemplates a possible refund due to the timing that Development Application review fees must be paid when submitting a complete Development Application. Depending upon the nature of the Community Housing project, this fee waiver could range from $1,000 to $10,000. Proposed AMC Section 3.14.060 specifically provides that the cost for third party consultants and professionals, studies and reports are not included in the Development Application review fees that can be waived, refunded or reimbursed under AMC Chapter 3.14. Avon Water Tap Fees: Avon imposes a water tap fee on new residential construction in the amount of $4,000 per residence in AMC Chapter 13.08, Appendix 13-A of the Avon Municipal Code. Proposed AMC Section 3.14.060 allows for water taps fees to be credited towards the cost of water line upgrades and extensions that may be required for the project and which would typically be paid for by the developer. The waiver of all water tap fees, deferment of water tap fee payments and a combination of credit, waivers and deferment is also allowed. Additional research is continuing with regard to the waiver of water tap fees because many communities are reluctant to waive these fees. Building Permit Fees: Proposed Section 3.14.080 would allow a waiver of plan review and building permit fees. Fire District and Emergency Services Impact Fee, School Site Dedications, and Park Land Dedications: Ordinance 19-01 does not propose including waivers for the following: Fire District Impact Fees: Chapter 3.40 – Impact Fees, which are required to be transferred to the Eagle River Fire Protection District. School Site Dedications: Section 7.32.080 – cash-in-lieu is held by Town in a separate School Facility Capital Improvements Fund and the use is limited to capital improvements of educational facilities or acquisition of school site lands that serve the Avon community. Parkland dedications: Section 7.32.090 - cash-in-lieu is held by Town in a separate Parks Capital Improvements Funds and and the use is limited to capital improvements of parks or acquisition of park lands that serve the Avon community Avon Town Council RE: Ord. 19-01 Community Housing Tax and Fee Credits, Exemptions and Waivers Date: February 7, 2019 Page 4 of 7 EXAMPLE OF TAX AND FEE RELIEF FOR COMMUNITY HOUSING: The following example is presented to illustrate the tax and fee relief and is based on a 10 unit townhome project, each unit is 2 bedrooms and 1,000 square feet, total square footage is 10,000 square feet, and construction on a 1 acre vacant land parcel purchased for $2,000,000. Sales Tax (Based on $300 per sq.ft. construction cost and estimate that 50% of construction cost materials and 50% is labor. 10,000 sq.ft. times $300 per sq.ft. x 50% x 4% sales tax.) $60,000.00 Real Property Transfer Tax (Based on $2 million vacant land purchase price times 2% RETT) $40,000.00 Development Application Fees (estimated, design review only) $1,500.00 Avon Water Tap Fees (2 inch, per Appendix 13-A) $41,300.00 Building Permit Fees (plan review and permit) $39,280.00 TOTAL TAX AND FEE RELIEF: $182,080.00 TAX AND FEE RELIEF PER UNIT: $18,208.00 PRIMARY RESIDENCE RETT EXEMPTION: Several options and concepts are provided for Council’s consideration with regard to any change to the RETT exemption for purchasers of a primary residence. Section 3.12.020 – Definitions of the Real Property Transfer Tax Chapter defines Eagle County Employee and Primary Residence as follows: Eagle County employee means an employee working in Eagle County who works an average of at least thirty (30) hours per week on an annual basis or earns seventy-five percent (75%) of his or her income and earnings by working in Eagle County; or a retired individual, sixty (60) years or older, who has worked a minimum of five (5) years in Eagle County for an average of at least thirty (30) hours per week on an annual basis. Avon Town Council RE: Ord. 19-01 Community Housing Tax and Fee Credits, Exemptions and Waivers Date: February 7, 2019 Page 5 of 7 Primary residence means the occupation and use of a residence as the primary residence, which shall be determined by the Town Manager by taking into account the following circumstances: voter registration in Avon, Colorado (or signing an affidavit stating that the applicant is not registered to vote in any other place); stated address on Colorado driver's license or Colorado identification card; stated address on motor vehicle registration; ownership or use of other residences not situated in Avon, Colorado; and stated residence for income and tax purposes. Occupation and use of a residence as a primary residence must occur within thirty (30) days of transfer of the real property, provided that the Town Manager may grant an extension of an additional ninety (90) days if extenuating circumstances are found to exist in the Town Manager's discretion and provided that such extension request is included with the applicant's application for exemption. The Town of Avon receives and approves approximately 65 RETT exemptions applications for primary residence. [2016 = 70; 2017 = 74; 2018 = 51]. The primary residence exemption is for the first $160,000 in consideration paid which translates into $3,200 in RETT relief for the buyer. On average, this exemption results in $208,000 in RETT annually that is exempted for primary residence purchases. Council previously adopted AMC Section 3.12.060(15) in 2002 by Ordinance No. 02-14, which provided a one-time exemption of $160,000 for the first purchase of a primary residence in Avon. Then Council adopted AMC Section 3.12.060(16) in 2007 by Ordinance No. 07-17 to allow an exemption for primary residence for subsequent purchases in Avon with the limitation that this subsequent exemption was only available to a person who met the definition of an “Eagle County Employee”. This change was intended to support working full-time residents who currently owned a primary residence in Avon but desired to purchase a larger residence to reflect residential needs and preferences during various life stages. Options for Primary Residence RETT Exemption Changes: 1. Increase the $160,000 primary residence exemption in AMC Sections 3.12.060(15) and (16). This is a simple option that is very easy to adopt and administer. This exemption would be available to all primary residence purchasers regardless of the sales prices of the residence. If Council desires this option, then Ordinance No. 19-01 can be amended to simply amend AMC Sections 3.12.060(15) and (16) to increase the $160,000 exemption amount. 2. Increase the $160,000 primary residence exemption but (1) limit eligibility for the additional exemption to residences that do not exceed a maximum affordable prices based on the Area Median Income for Eagle County (e.g. residences that do not exceed $640,000 to $960,000), and (2) limit the total RETT exemption for primary residence to one half (50%) of the sales price for the residence. The existing RETT exemptions for primary residence state that the exemption only applies to the portion paid by a buyer and nearly all transactions split the RETT 50/50 between buyer and seller. 3. Do not increase the primary residence exemption and in the alternative amend AMC Section 3.12.110 – Allocation of Revenue to pledge a portion of annual RETT revenues to the Avon Community Housing Fund. This option would advance a goal in the Housing Plan to identify and implement a dedicated funding source for community housing. Avon Town Council RE: Ord. 19-01 Community Housing Tax and Fee Credits, Exemptions and Waivers Date: February 7, 2019 Page 6 of 7 Pros and Cons of Options: Options 1 and 2 would directly reduce the costs for buyer to purchase a residence in Avon as a primary residence. The real estate transfer tax is split 50/50 between buyer and seller for a strong majority of real estate transfers (anecdotally 95% of transactions). The buyer is required to pay the buyer’s portion of the RETT at closing in addition to the down payment and other closing costs. An increase in the primary residence exemption would directly reduce the buyer’s required cash at closing which will improve buyer’s ability to purchase a residence. An increase of the primary residence exemption from $160K to $320K would save a buyer a total of $6,400 at closing. An increase of the primary residence exemption from $160K to $480K would save a buyer a total $9,600 at closing. Option 2 proposes a limitation on an increased, additional primary residence RETT exemption to those more in need and would exclude purchases of residences greater than ($640,000 to $960,000) on the basis that the purchase of a residence in that price range does not warrant a public subsidy to promote Community Housing. In addition, Option 2 limits the total exemption to one half of the consideration paid for a residence because the existing primary residence exemptions contemplate that the exemption should only apply to the RETT paid by buyer and the obligation to pay RETT is split 50/50 on most transactions. Option 3 contemplates that the amount of subsidy associated with increasing the primary residence exemption may be more impactful and beneficial to Avon’s community housing efforts if it were dedicated to a housing fund. Other Options: Council may desire other options, or hybrid options. For example, increasing the primary residence exemption from $160K to $320K up to a maximum residential sales prices of $640K and dedicating a small percentage (e.g. 7%) or set amount (e.g. $100K) per year of RETT to the Avon Housing Fund, or dedicating only a portion of RETT to community housing when it exceeds a minimum amount in any given year. The downside of a hybrid approach is that the impact may be diluted across several housing efforts. Impacts to RETT and Capital Improvements: The RETT generates an average of $3.1 million in revenues per year. An increase in the primary residence RETT exemption from $160,000 to $320,000 can be expected to reduce RETT revenues by $208,000 per year. An increase from $160,000 to $480,000 can be expected to reduce RETT revenues by $416,000 per year. In the alternative, Council could amend AMC Section 3.12.110 – Allocation of Revenue to dedicate a certain percentage or dedicate a specific dollar amount to the Avon Community Housing Fund. A 5% dedication would result in approximately $155,000 per year in revenues for Community Housing. A 10% dedication would result in approximately $310,000 per year in revenues for Community Housing. Any increase to the primary residence RETT exemption or any dedication to the Avon Housing Fund will have an impact on the available RETT revenues and capital improvements project planning in the future. EXEMPTION FOR DEED RESTRICTED UNITS: Ordinance 19-01 includes a clean-up to expressly allow an exemption for transfers of deed restricted housing units with a new Section 3.12.060(19). This has been the policy and practice of Avon for a long time and has been approved under 3.12.060(14) which authorizes the Town Manager to provide an exemption for the purpose of providing low or moderately priced housing units. Section 3.12.060(19) would read: Avon Town Council RE: Ord. 19-01 Community Housing Tax and Fee Credits, Exemptions and Waivers Date: February 7, 2019 Page 7 of 7 “3.12.060(19) Transfers of Community Housing to qualified purchasers provided that the deed restriction that protections and maintains such Community Housing for the benefit of the Town is in compliance with all terms and conditions.” SAMPLE MOTIONS: [continuance] “I move to continue consideration of first reading of Ordinance No. 19-01 and provide direction to staff to [make changes, research more information]” [approval on first reading] “I move to approve first reading of Ordinance No. 19-01 Amending Chapter 3.12 Real Propery Transfer Tax and Enacting Chapter 3.14 Community Housing Tax and Fee Credits, Exemptions and Waivers.” Thank you, Eric ATTACHMENT A: Ordinance No. 19-01 ATTACHMENT B: Appendix C – Area Median Income for Eagle County 2018 Ord. 19-01 February 26, 2019 FIRST READING Page 1 of 8 TOWN OF AVON, COLORADO ORDINANCE NO. 19-01 AMENDING CHAPTER 3.08 SALES TAX; CHAPTER 3.12 REAL PROPERTY TRANSFER TAX; ENACTING CHAPTER 3.14 COMMUNITY HOUSING INCENTIVES; AND AMENDING CHAPTER 13.08 PUBLIC SERVICES OF THE AVON MUNICIPAL CODE WHEREAS, the Town of Avon, Colorado (the “Town”) is a home rule municipality and political subdivision of the State of Colorado (the “State”) organized and existing under a home rule charter (the “Charter”) pursuant to Article XX of the Constitution of the State; and WHEREAS, pursuant to C.R.S. §31-15-103 and §31-15-104, and pursuant to the home rule powers of the Town of Avon (“Town”), the Town Council has the power to make and publish ordinances necessary and proper to provide for the safety, preserve the health, promote the prosperity, and improve the morals, order, comfort, and convenience of its inhabitants; and WHEREAS, Council adopted the Town of Avon Community Housing Plan on December 13, 2018, which included a policy to “formalize a fee waiver/reimbursement process” and which included an Appendix A: Avon Community Housing Plan – Work Plan that contemplated formalizing a Fee Waiver Program; and WHEREAS, Council adopted the Town of Avon Comprehensive Plan which includes Policy E.1.3: which states in part, “Provide attainable housing through alternative means, including . . . waiver of development and building fees, . . .”; and WHEREAS, the Avon Town Council finds that amendments to the Avon Municipal Code will promote the health, safety and general welfare of the Avon community; and WHEREAS, approval of this Ordinance on First Reading is intended only to confirm that the Town Council desires to comply the requirements of the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence regarding the application and that approval of this Ordinance on First Reading does not constitute a representation that the Town Council, or any member of the Town Council, supports, approves, rejects, or denies this ordinance. BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO: ATTACHMENT A: Ordinance No. 19-01 Ord. 19-01 February 26, 2019 FIRST READING Page 2 of 8 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. Enactment of Section 3.08.036 – Tax credit for community housing. A new Section 3.08.036 of the Avon Municipal Code is hereby enacted to read as follows: “3.08.036 – Tax credit for community housing. Notwithstanding any other provision of this Chapter, there shall be granted a sales tax credit to each person owing tax on the sale of building materials and fixtures used in a community housing project provided that such sales tax credit is approved by Council by resolution in accordance with Chapter 3.14. Neither the ability of the Town to grant this tax credit nor the repeal or termination of this tax credit shall constitute a tax increase, the imposition of a new tax or a tax policy change.” Section 3. Amendment of Section 3.12.060 – Exemptions. Section 3.12.060 of the Avon Municipal Code is hereby amended to recodify Section 3.12.060(17) as Section 3.12.060(14); to recodify and amend Section 3.12.060(14) to Section 3.12.060(15) to read as set forth in this section; to recodify Section 3.12.060(15) to Section 3.12.060 (17); to recodify Section 3.12.060(16) to Section 3.12.060(18); to enact a new Section 3.12.060(16); and to enact a new Section 3.12.060(19); such that Sections 3.12.060(14) through (19) shall read as follows: “3.12.060 (14) The subsequent transfer of a residence involved in a "tax free" or "tax deferred" trade under the Internal Revenue Code wherein the interim owner acquires property for the sole purpose of reselling that property as part of a qualified exchange and the property is resold within twenty-four (24) months after the first transfer. In these cases, the first transfer of title is subject to the real property transfer tax and the subsequent transfer will only be exempt as long as a transfer tax has been paid in connection with the first transfer of such residence in such exchange. In the event the consideration for the subsequent transfer is greater than the consideration for the first transfer, transfer tax shall be due on such increased amount of consideration. (15) Any sale or conveyance of real property or improvements for the purpose of constructing or otherwise providing Community Housing as defined in Chapter 3.14; provided, that the parties to the transaction shall apply to the Town Council for the exemption prior to the occurrence of the transaction from which exemption is sought in accordance with Chapter 3.14 Community Housing Incentives and that the property shall be subject to a deed restriction that protects and maintains the Community Housing for the benefit of the Town; (16) Transfers of Community Housing subject to a deed restriction to qualified purchasers provided that the deed restriction that protects and maintains such Community Housing for the benefit of the Town is in compliance with all terms and conditions. (17) The first one hundred sixty thousand dollars ($160,000.00) of the consideration for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided the following conditions are met: a.The same applicant has not previously received an exemption pursuant to this subsection; ATTACHMENT A: Ordinance No. 19-01 Ord. 19-01 February 26, 2019 FIRST READING Page 3 of 8 b.An application for exemption is filed with the Town Manager or his or her designee, which application is accompanied by: 1.An affidavit that the real property is being purchased for use as a primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and 2.A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence within one (1) year after closing and granting to the Town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record. c.The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction. (18) The first one hundred sixty thousand dollars ($160,000.00) of the consideration for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided that the following conditions are met: a.The applicant previously received a primary residence exemption pursuant to Section 3.12.060(17) and the applicant has satisfied the conditions of subsection (17)b.1. and 2. of Section 3.12.060; and b.An application for exemption is filed with the Town Manager or his or her designee, which application is accompanied by: 1.An affidavit that the applicant's current primary residence used to satisfy the requirements of Section 3.12.060(17) is within the town; that the applicant meets the definition of an Eagle County employee; that the real property is being purchased for use as a new primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and 2.A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event that the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence or shall cease to meet the definition of an Eagle County employee within one (1) year after closing and granting to the town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record; and ATTACHMENT A: Ordinance No. 19-01 Ord. 19-01 February 26, 2019 FIRST READING Page 4 of 8 c.The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction. (19) The next [one hundred sixty thousand dollars ($160,000.00) or three hundred twenty thousand dollars ($320,000.00)] of the consideration paid after the first one hundred and sixty thousand dollars paid that is exempt pursuant to either Section 3.12.060(17) or (18) above for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided the following conditions are met: a.An application for exemption is filed with the Finance Department, which application is accompanied by: 1.An affidavit that the applicant meets the definition of Eagle County employee; that the real property is being purchased for use as a primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and 2.A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence within one (1) year after closing and granting to the Town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record; and 3.The total consideration paid for the residence does not exceed [six hundred forty thousand dollars ($640,000.00) or nine hundred sixty thousand dollars ($960,000.00)]; and, 4.The total additional consideration that is exempt pursuant to this Section 3.12.060(19) and either Section 3.12.060(17) or (18) does not exceed one half of the entire consideration paid for the transfer. b.The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction.” Section 4. Enactment of Section 3.14 – Community Housing Incentives. Section 3.14 of the Avon Municipal Code is hereby enacted to read as follows: “3.14 Community Housing Incentives. 3.14.010. Purpose. Council may elect to promote Community Housing through the use of Community Housing Incentives, including the credit, exemption or waiver of taxes or fees otherwise applicable to residential development. 3.14.020. Definitions ATTACHMENT A: Ordinance No. 19-01 Ord. 19-01 February 26, 2019 FIRST READING Page 5 of 8 Community Housing means residential housing which is subject to a deed restriction that limits use to long-term residential use as a primary residence by qualified persons and which deed restriction may impose other restrictions and limitations and may include terms deemed appropriate in the Town’s discretion, including but not limited to controls on the resale price of such residential property, and which deed restriction is enforceable by the Town. Community Housing Incentive means a tax and/or fee credit, exemption, waiver or refund approved in accordance with this Chapter 3.14. 3.14.030. Approval by Resolution. Any credit, exemption or waiver of taxes or fees shall be approved by Council by resolution. The resolution shall include the following minimum elements: (1) The Community Housing project shall be defined by location, type of residential units, and quantity of residential units; (2) The taxes and/or fees that are subject to a credit, exemption and/or waiver shall be defined, and may be apportioned for development project that includes both community housing and non-community housing elements; (3) The form of the deed restriction that shall protect and maintain such Community Housing for the benefit of the Town shall be included with the resolution and the resolution shall accept or authorize the acceptance and execution of deed restriction; (4) The resolution shall include a finding that the tax and/or fee credits, exemptions and/or waivers are necessary to promote community housing that meets a current or projected housing need for the Aovn community; and, (5) The resolution shall include a finding of public benefit for providing such tax and/or fee credit, exemption and/or waiver. 3.14.040. Sales Tax. Council may provide a tax credit for the amount of sales tax imposed upon building materials and fixtures delivered, installed and/or consumed in Community Housing projects. Council may determine to provide a partial tax credit as determined appropriate by Council for buildings with mixed Community Housing and commercial uses and/or residential projects with mixed Community Housing and free-market dwelling units. Neither the ability of the Town to grant the this tax credit nor the termination of this tax credit shall constitute a tax increase, the imposition of a new tax or a tax policy change. 3.14.050. Real Property Transfer Tax. Council may provide an exemption for the real property transfer tax on property that is conveyed to construct or otherwise provide a Community Housing project. Council may determine to provide a partial tax credit as determined appropriate by Council for buildings with mixed Community Housing and commercial uses and/or residential projects with mixed Community Housing and free-market dwelling units. ATTACHMENT A: Ordinance No. 19-01 Ord. 19-01 February 26, 2019 FIRST READING Page 6 of 8 3.14.060. Development Code Fees. Council may provide a waiver, refund or reimbursement of Development Application review fees that are required pursuant to Title 7 Avon Development Code. The cost for third party consultants and professionals, studies and reports are not included in the Development Application review fees that can be waived, refunded or reimbursed under this Chapter 3.14. 3.14.070. Avon Water Tap Fees. Council may allow the tap fees to be credited towards the cost of required water line upgrades or extensions, may allow a waiver of tap fees, may allow deferment of water tap fee payment, or may allow a combination of credit, waiver and/or deferment of tap fees that are required pursuant to Chapter 13.08 – Rates and Charges of Title 13 – Public Services. 3.14.080. Building Permit fees. Council may provide a waiver of Plan Review and Building Permit fees that are required pursuant to Title 15 Building Code.” Section 5. Amendment of Section 13.08.030 – Classification of customers. Section 13.08.030 of the Avon Municipal Code is hereby amended to enact a new sub-section (4) to read as follows: “(4) Community Housing. Residential use which meets the definition of community housing set forth in Section 3.14.020.” Section 6. Enactment of Section 13.08.045 – Tap fee waiver for Community Housing. A new Section 13.08.045 of the Avon Municipal Code is hereby enacted to read as follows: “13.08.045 – Tap fee waiver for community housing. Town Council may waive tap fees for residential units in a community housing project pursuant to the procedures set forth in Chapter 3.14.” Section 7. Codification Amendments. The codifier of the Town’s Municipal Code, Colorado Code Publishing, is hereby authorized to make such numerical and formatting changes as may be necessary to incorporate the provisions of this Ordinance within the Avon Municipal Code. The Town Clerk is authorized to correct, or approve the correction by the codifier, of any typographical error in the enacted regulations, provided that such correction shall not substantively change any provision of the regulations adopted in this Ordinance. Such corrections may include spelling, reference, citation, enumeration, and grammatical errors. Section 8. Interpretation. This Ordinance shall be interpreted and applied to comply in all respects with Article X, Section 20, of the Colorado Constitution, in its application to any person or circumstance and no part of this Ordinance shall be interpreted or applied to constitute a tax policy change that would require voter approval. Section 9. Non-Severability. If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid or held to be in conflict with Article X, Section 20, of the Colorado Constitution, such invalidity or conflict shall invalidate this Ordinance in its entirety. The Town Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared ATTACHMENT A: Ordinance No. 19-01 Ord. 19-01 February 26, 2019 FIRST READING Page 7 of 8 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 10. Effective Date. This Ordinance shall take effect thirty (30) days after the date of final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Section 11. 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 12. 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 13. Publication. The Town Clerk is ordered to publish this Ordinance in accordance with Chapter 1.16 of the Avon Municipal Code. [SIGNATURE PAGE FOLLOWS] ATTACHMENT A: Ordinance No. 19-01 Ord. 19-01 February 12, 2019 FIRST READING Page 8 of 8 INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING on February 26, 2019 and setting such public hearing for March 12, 2019 at the Council Chambers of the Avon Town Hall, located at 100 Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ ___________________________ Sarah Smith Hymes, Mayor Brenda Torres, Deputy Town Clerk ADOPTED ON SECOND AND FINAL READING on March 12, 2019. BY: ATTEST: ____________________________ ____________________________ Sarah Smith Hymes, Mayor Brenda Torres, Town Clerk APPROVED AS TO FORM: ____________________________ Eric J. Heil, Town Attorney ATTACHMENT A: Ordinance No. 19-01 APPENDIX C - Area Median Income for Eagle County 2018 Area Median Income for Eagle County, 2018 Household Size 1 2 3 4 5 6 AMI Classifications Extremely Low (30% AMI) $18,270 $20,880 $23,490 $26,070 $28,170 $30,270 Very Low (50% AMI) $30,450 $34,800 $39,150 $43,450 $46,950 $50,450 60% AMI (LIHTC max) $36,540 $41,760 $46,980 $52,140 $56,340 $60,540 Low (80% AMI) $48,720 $55,680 $62,640 $69,520 $75,120 $80,720 Median (100% AMI) $60,900 $69,600 $78,300 $86,900 $93,900 $100,900 Moderate/Middle (140% AMI) $85,260 $97,440 $109,620 $121,660 $131,460 $141,260 Upper (200% AMI) $121,800 $139,200 $156,600 $173,800 $187,800 $201,800 Source: CHFA Affordable Home Price Calculation by AMI, 2018 AMI % 30% 60% 100% 140% 200% Household Income – 3 persons $23,490 $46,980 $78,300 $109,620 $156,600 Affordable Purchase price Affordable monthly payment (30%) $587 $1,175 $1,958 $2,741 $3,915 Principal & interest (80% of pmt) $470 $940 $1,566 $2,192 $3,132 HOA, taxes, insurance (20% of pmt) $117 $235 $392 $548 $783 Mortgage Interest rate 5.00% 5.00% 5.00% 5.00% 5.00% Max mortgage $47,515 $175,030 $291,717 $408,404 $583,434 Max Affordable Price -5% down $92,000 $184,00 0 $307,00 0 $430,000 $614,000 Affordable Rent $587 $1,175 $1,958 $2,741 $3,915 Affordable purchase prices were calculated assuming that a household would have 5% 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 loan amount. The maximum mortgage assumes an interest rate of 5%, which is about half point higher than prevailing rates for 30-year fixed rate mortgages. Interest rates are rising, however, and will have a profound impact on housing affordability. A one-point increase in the rate, as occurred in 2013, would drop the affordable purchase price for a median income household by $30,000 to $35,000. ATTACHMENT B: Appendix C (14)The subsequent transfer of a residence involved in a "tax free" or "tax deferred" trade under the Internal Revenue Code wherein the interim owner acquires property for the sole purpose of reselling that property as part of a qualified exchange and the property is resold within twenty-four (24) months after the first transfer. In these cases, the first transfer of title is subject to the real property transfer tax and the subsequent transfer will only be exempt as long as a transfer tax has been paid in connection with the first transfer of such residence in such exchange. In the event the consideration for the subsequent transfer is greater than the consideration for the first transfer, transfer tax shall be due on such increased amount of consideration. (14(15) Any sale or conveyance of real property or improvements for the purpose of constructing or otherwise providing low or moderately priced housing units for sale or lease to low or moderate income personsCommunity Housing as defined in Chapter 3.14; provided, that the parties to the transaction shall apply to the Town ManagerCouncil for the exemption prior to the occurrence of the transaction from which exemption is sought, in accordance with Chapter 3.14 Community Housing Incentives and that the partiesproperty shall agreebe subject to appropriately restrict the future use of the property to low and moderately priced housing units by recorded agreement,a deed restriction, covenants, declarations or similar instruments as may be required by that protects and maintains the Community Housing for the benefit of the Town Manager; ; (15)(16) Transfers of Community Housing subject to a deed restriction to qualified purchasers provided that the deed restriction that protects and maintains such Community Housing for the benefit of the Town is in compliance with all terms and conditions. (17)The first one hundred sixty thousand dollars ($160,000.00) of the consideration for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided the following conditions are met: a.The same applicant has not previously received an exemption pursuant to this subsection; b.An application for exemption is filed with the Town Manager or his or her designee, which application is accompanied by: 1.An affidavit that the real property is being purchased for use as a primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and 2.A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence within one (1) year after closing and granting to the Town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record. ATTACHMENT C: REDLINE of Code Amendments c.The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction. (1618) The first one hundred sixty thousand dollars ($160,000.00) of the consideration for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided that the following conditions are met: a.The applicant previously received a primary residence exemption pursuant to Section 3.12.060(1517) and the applicant has satisfied the conditions of subsection (1517)b.1. and 2. of Section 3.12.060; and b.An application for exemption is filed with the Town Manager or his or her designee, which application is accompanied by: 1.An affidavit that the applicant's current primary residence used to satisfy the requirements of Section 3.12.060(1517) is within the town; that the applicant meets the definition of an Eagle County employee; that the real property is being purchased for use as a new primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and 2.A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event that the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence or shall cease to meet the definition of an Eagle County employee within one (1) year after closing and granting to the town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record; and c.The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction. (17)(19) The next [one hundred sixty thousand dollars ($160,000.00) or three hundred twenty thousand dollars ($320,000.00)] of the consideration paid after the first one hundred and sixty thousand dollars paid that is exempt pursuant to either Section 3.12.060(17) or (18)above for any sale or conveyance of real property and completed improvements for occupancy as a primary residence, provided the following conditions are met: a.An application for exemption is filed with the Finance Department, which application is accompanied by: 1.An affidavit that the applicant meets the definition of Eagle County employee; that the real property is being purchased for use as a primary residence and not for investment or resale (provided that a co-signor shall not disqualify the exemption for the applicant where the co-signor is signing for the sole purpose of facilitating the financing qualifications of the applicant/primary resident and signs an affidavit that the co-signor is not a co-purchaser for investment or resale purposes); and ATTACHMENT C: REDLINE of Code Amendments 2.A promissory note in the amount of the tax otherwise owing, together with interest accruing at the rate hereinafter provided, providing that the tax and the promissory note including accrued interest shall be due and payable in full in the event the applicant shall fail to occupy and use the property as a primary residence within the timeframe established under the definition of primary residence found in Section 3.12.020 or shall cease to use the property as his or her primary residence within one (1) year after closing and granting to the Town a lien securing such indebtedness, which lien shall be subordinate to any first mortgage or deed of trust of record; and 3.The total consideration paid for the residence does not exceed [six hundred forty thousand dollars ($640,000.00) or nine hundred sixty thousand dollars ($960,000.00)]; and, 4.The total additional consideration that is exempt pursuant to this Section 3.12.060(19) and either Section 3.12.060(17) or (18) does not exceed one half of the entire consideration paid for the transfer. b.The exemption applies only to the portion of the transfer tax actually paid by the buyer and will not reduce any portion of the transfer tax that the seller agrees to pay in the transaction.” The subsequent transfer of a residence involved in a "tax free" or "tax deferred" trade under the Internal Revenue Code wherein the interim owner acquires property for the sole purpose of reselling that property as part of a qualified exchange and the property is resold within twenty-four (24) months after the first transfer. In these cases, the first transfer of title is subject to the real property transfer tax and the subsequent transfer will only be exempt as long as a transfer tax has been paid in connection with the first transfer of such residence in such exchange. In the event the consideration for the subsequent transfer is greater than the consideration for the first transfer, transfer tax shall be due on such increased amount of consideration. ATTACHMENT C: REDLINE of Code Amendments     TOWN COUNCIL REPORT  To:   Honorable Mayor Smith Hymes and Town Council  From:    Preston Neill, Acting Town Manager  Date:    February 26, 2019  Topic:    RESOLUTION 19‐05 APPROVING A CULTURAL, ARTS AND SPECIAL EVENTS COMMITTEE    ACTION BEFORE COUNCIL:  Council is asked to take action on Resolution 19‐05 approving a Cultural, Arts and Special Events  Committee.    PROPOSED MOTION:  “I move to approve [with or without modifications] Resolution 19‐05 approving a Cultural, Arts and  Special Events Committee.”    SUMMARY:  This item was continued from the February 12, 2019 Council meeting to tonight’s meeting to allow time  for staff to make various corrections to Resolution 19‐05. Those corrections have been made and  Resolution 19‐05 is ready for Council review and action.      At the Town Council work session held on September 21, 2016, direction was given to create an Ad Hoc  Special Events Committee (AHSEC). After a lengthy solicitation period, initial appointment of committee  membership took place on January 10, 2017. In November 2017, the AHSEC made a formal  recommendation to the Town Council that the AHSEC remain an Ad Hoc Committee for the 2018 calendar  year, with not less than seven members, and transition to a standing committee in February 2019. On  January 9, 2018, Council, by motion and vote, appointed the following persons to the AHSEC for an  appointment term of February 1, 2018 through January 31, 2019: Bobby Bank, Tom Butz, Pedro Campos,  Chris Cofelice, Mac Garnsey, Derek George, Timothy Haley, Lisa Mattis, Kathy Ryan and Ruth Stanley.  Subsequently, Mac Garnsey and Derek George resigned from the Committee, bringing current  membership to eight.     Resolution 19‐05, which is attached for Council’s review and consideration, has been prepared to follow‐ through on direction from the Council Retreat held on January 30, 2019. At that meeting, Council  expressed interest in putting in place an advisory Cultural, Arts and Special Events Committee to take the  place of the Ad Hoc Special Events Committee. If approved, staff plans to post a solicitation for interested  persons in late February. Interviews and appointments would be scheduled for the first or second  meeting in April.     Based on how Resolution 19‐05 is currently written, the Cultural, Arts and Special Events Committed shall  be composed of seven (7) voting members and two (2) ex‐officio non‐voting Council members appointed  by Council. It is Council’s prerogative to increase or decrease membership.    The attached resolution identifies that the term of office for each member shall be two years on an  overlapping tenure. During initial appointment of the Cultural, Arts and Special Events Committee  membership, it will be necessary for Council to appoint staggered terms. More specifically, initial  appointment of membership will include appointment of four members to two‐year terms and three  members for one‐year terms. In addition, the resolution details the following purposes and duties of the  Cultural, Arts and Special Events Committee:   To provide advice concerning the implementation of the Cultural Plan for the Town of Avon, as  may be amended from time to time;   To review, research and provide guidance and advice on event programming in the Town of Avon;   To review applications for Town funding allocated for events and provide recommendations to  the Avon Town Council, and to develop applications forms and procedures and review criteria  related to such funding applications;   To conduct surveys and prepare reports related to special events as appropriate and as directed  by Council;   To attend joint meetings with the Avon Town Council to review past, present and future events,  review and evaluate implementation of the Cultural Plan, review annual appropriations to  support events, and to review policies, procedures and practices for events and the CASE; and,    To perform such other tasks related to special events in or near Avon as the Avon Town Council  may direct.      ATTACHMENT:  Resolution 19‐05      RESOLUTION 19-05 APPROVING A CULTURAL, ARTS AND SPECIAL EVENTS COMMITTEE WHEREAS, the Town of Avon, Colorado (the “Town”) is a home rule municipality and political subdivision of the State of Colorado (the “State”) organized and existing under a home rule charter (the “Charter”) pursuant to Article XX of the Constitution of the State; and WHEREAS, the Town Council finds that the Ad Hoc Special Events Committee has provided valuable and important review, research and advisory functions with regard to special event planning and programming for the Avon community and desires to create a permanent standing advisory committee to continue with these efforts; and WHEREAS, Section 11.2 of the Charter states that Council may create any boards or commissions including an advisory committee; and WHEREAS, the Avon Town Council finds that special events promote the local community and character of Avon as well as promote the local economy and that the establishment of a permanent Cultural, Arts and Special Events Committee will promote the health, safety and general welfare of the Avon community; and NOW THEREFORE, the Avon Town Council, hereby RESOLVES to create the Cultural, Arts and Special Events Committee as set forth in Exhibit A: Cultural, Arts and Special Events Committee Authority and Procedures, attached hereto. ADOPTED February 26, 2019 by the AVON TOWN COUNCIL By:_______________________________ Attest:_________________________________ Sarah Smith Hymes, Mayor Brenda Torres, Acting Town Clerk Cultural, Arts and Special Events Committee Adopted February 26, 2019 Page 1 of 3 EXHIBIT A: CULTURAL, ARTS AND SPECIAL EVENTS COMMITTEE AUTHORITY AND PROCEDURES 1. Establishment, Purpose and Duties. There is hereby established the Cultural, Arts and Special Events Committee (“CASE”) of the Town. The purposes and duties of CASE are as follows: (a) To provide advice concerning the implementation of the Cultural Plan for the Town of Avon, as may be amended from time to time; (b) To review, research and provide guidance and advice on culture, arts and special event programming in the Town of Avon; (c) To review applications for Town funding allocated for special events and provide recommendations to the Avon Town Council, and to develop applications forms and procedures and review criteria related to such funding applications; (d) To conduct surveys and prepare reports related to special events as appropriate and as directed by Council; (e) To attend joint meetings with the Avon Town Council to review past, present and future special events, review and evaluate implementation of the Cultural Plan, review annual appropriations to support culture, arts and special events, and to review policies, procedures and practices for culture, arts and special events and CASE; and, (f) To perform such other tasks related to culture, arts and special events in or near Avon as the Avon Town Council may direct. 2. Membership. CASE shall be composed of seven (7) Voting Members and two (2) Ex-Officio Non- Voting Council members appointed by Council. 3. Qualification of Voting Members. Registered electors residing in Eagle County shall be eligible for appointment as Voting Members, provided that at least four (4) Voting Members shall be registered electors of the Town or owners or representatives of an existing business with a physical location and address in the Town of Avon at the time of their appointment to CASE. Persons having experience with special events, event site planning and design, culture, arts or local business which is of particular value to CASE should be preferred over persons who do not. Appointments shall be made by Council in February, or as soon as thereafter as possible, after posting notice to solicit interested persons. Council shall appoint four (4) persons in odd numbered years and three (3) persons in even numbered years to fill Case seats. 4. Qualification of Ex-Officio Non-Voting Members. Council members shall be eligible for appointment to the two (2) Ex-Officio Non-Voting seats. Appointments shall be made by Council in January of odd numbered years after the election and seating of Council members, or as soon thereafter as possible, and shall be made at the same time as appointments of Council members to other committees. The term of office for Ex-Officio Non-Voting Members shall be two (2) years until the bi-annual appointment of Council members to committees. Ex-Officio Non-Voting Members shall Cultural, Arts and Special Events Committee Adopted February 26, 2019 Page 2 of 3 have the equal right to participate at CASE meetings and equal right to receive all CASE materials and notices of CASE meetings, but shall not have any right to vote on recommendations, advisory matters, or other actions of CASE. 5. Quorum. Four (4) Voting Members of CASE shall constitute a quorum for the transaction of business, but in the absence of a quorum, a lesser number may adjourn any meeting to a later time or date. In the absence of all Voting Members, any staff member may adjourn any meeting to a later time or date. 6. Term. The term of office for a Voting Member shall be two (2) years on an overlapping tenure. A Voting Member of CASE who ceases to possess the qualifications for office that the Voting Member possessed at the time of appointment may be permitted by the Council to serve until the end of the appointed term, provided that the CASE member continues to reside in Eagle County. A member of CASE may be removed by Council pursuant to Section 8 Removal from Office, below. 7. Vacancies. A vacancy on CASE shall occur whenever a member of CASE is removed by the Council, dies, becomes incapacitated and unable to perform the required duties for a period of ninety (90) days, resigns, ceases to meet the qualifications of CASE and is not permitted by Council to serve until the end of the existing term or is convicted of a felony. In the event a vacancy occurs, the Council shall appoint a successor to fill the vacancy who shall serve the remainder of the term of the former member after posting notice of such vacancy to solicit interest from qualified persons. 8. Removal from Office. Any member of CASE may be removed for just cause at the pleasure of the Town Council by a majority vote of the entire Council in office at the time the vote is taken. Just cause shall include misconduct, conduct unbecoming of a Town official, violation of the Town Code of Ethics, inefficiency or more than two (2) unexcused absences within a twelve-month period. Prior to removal, Council shall conduct a hearing and shall provide written notice to the CASE member stating the grounds for removal at least three (3) days prior to the hearing. 9. Officers. CASE shall select its own Chairperson and Vice-Chairperson. The Chair or, in the absence of the Chair, the Vice-Chair, shall be the presiding officer of its meetings. In the absence of both the Chair and the Vice-Chair from a meeting, the Voting Members present shall appoint a Voting Member to serve as Acting Chair at the meeting. 10. Compensation. All members of CASE shall serve with compensation and benefits, if any, as may be established by the Council and shall be reimbursed for all authorized personal expenses incurred while performing duties as a CASE member. 11. Staff. The Town Manager shall designate Town staff to serve as the staff of CASE and shall provide for the service of a recording secretary who shall act in the capacity of secretary for CASE. 12. Rules and Regulations. CASE shall operate in accordance with its own rules of procedure; provided, however, that CASE shall submit its proposed rules or any amendment to the rules to the Council, which by motion shall approve the rules or amendment and direct their adoption by CASE or disapprove the proposal with directions for revision and resubmission. The rules shall incorporate and comply with the Colorado Open Meetings Law, Colorado Open Records Act, and the Colorado Municipal Records Retention Schedule as such are adopted and implemented by the Town of Avon. The rules shall be filed with the Town Clerk and maintained in the records of the Town and shall be Cultural, Arts and Special Events Committee Adopted February 26, 2019 Page 3 of 3 subject to public inspection. CASE may provide for certain variances, exceptions and exemptions from the requirements of its rules and regulations. 13. Meetings. CASE shall meet in accordance with the rules of procedure governing CASE and otherwise upon the call of the Chairperson or, in the absence of the Chair, by the Vice-Chairperson. All meetings shall be held at the offices of the Town, unless otherwise specified, with adequate notice given to all interested parties. 14. Appropriation Authority. CASE shall not have authority to appropriate or spend Town of Avon funds. CASE may provide recommendations to the Events Manager, Town Manager and/or Avon Town Council with regard to any annual budget for special events, expenditures related to the annual applications in response to the special events request for proposal, Town staff support for special events and capital improvements related to events. 15. Council Amendments. Council reserves the right to amend, increase, reduce or change any or all of the powers, duties and procedures of CASE. Heil Law & Planning, LLC E-Mail: ericheillaw@gmail.com HEIL LAW & PLANNING, LLC MEMORANDUM TO: Honorable Mayor Smith Hymes and Town Council members FROM: Eric J. Heil, Town Attorney RE: Ordinance No. 19-02 Tobacco and Cigarette Tax DATE: February 21, 2019 SUMMARY: Ordinance No. 19-02 is presented to Council for consideration on first reading. Ordinance No. 19-02 would implement the Avon tobacco and cigarette tax passed by the voters last November by adopting the various rules and procedures. The 40% tax on the sale of tobacco products is a sales tax; therefore, it can easily be included in Chapter 3.08 Sales Tax. The $3 per pack tax on cigarettes is an “excise tax” and not a sales tax; therefore, it requires its own chapter with procedures and regulations for filing tax returns, inspections and enforcement. A new Chapter 3.10 Cigarette excise tax is proposed that is very similar to Chapter 3.08 Sales Tax with regard to procedures for administering the tax. The tax approved by the voters last November is currently enforceable because the Tobacco Licensing regulations requires payment of local taxes as a condition to holding a tobacco retailer license. PROPOSED MOTION: “I move to approve on first reading Ordinance No. 19-02 Amending Chapter 3.08 Sales Tax and Enacting Chapter 3.10 Cigarette Excise Tax.” Thank you, Eric ATTACHMENT A: Ordinance No. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 1 of 12 TOWN OF AVON, COLORADO ORDINANCE NO. 19-02 AMENDING CHAPTER 3.08 SALES TAX AND ENACTING CHAPTER 3.10 CIGARETTE EXCISE TAX WHEREAS, the Town of Avon, Colorado (the “Town”) is a home rule municipality and political subdivision of the State of Colorado (the “State”) organized and existing under a home rule charter (the “Charter”) pursuant to Article XX of the Constitution of the State; and WHEREAS, pursuant to C.R.S. §31-15-103 and §31-15-104, and pursuant to the home rule powers of the Town of Avon (“Town”), the Town Council has the power to make and publish ordinances necessary and proper to provide for the safety, preserve the health, promote the prosperity, and improve the morals, order, comfort, and convenience of its inhabitants; and WHEREAS, Avon Town Council referred a ballot measure entitled Tax Increase on the Sale of Tobacco and Nicotine Products to the November 6, 2018 election by Resolution No. 18-12, which was passed by the Avon voters; and WHEREAS, the Avon Town Council finds that amendments to the Avon Municipal Code will implement the sales tax on tobacco products and the excise tax on cigarettes and will thereby promote the health, safety and general welfare of the Avon community; and WHEREAS, approval of this Ordinance on First Reading is intended only to confirm that the Town Council desires to comply the requirements of the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence regarding the application and that approval of this Ordinance on First Reading does not constitute a representation that the Town Council, or any member of the Town Council, supports, approves, rejects, or denies this ordinance. BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO: Section 1. Recitals Incorporated. The above and foregoing recitals are incorporated herein by reference and adopted as findings and determinations of the Town Council. Section 2. Enactment of Section 3.08.020(4). A new Section 3.08.020(4) of the Avon Municipal Code is hereby enacted to read as follows: ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 2 of 12 “3.08.020(4) Upon the purchase price paid or charged upon all retail sales and purchases of tobacco products as defined Section 5.10.030.” Section 3. Enactment of Section 3.08.030(a). Section 3.08.030(a) of the Avon Municipal Code is hereby amended by adding language so that it reads in its entirety as follows: “There is imposed upon all sales of all items specified in Section 3.08.020 within the boundaries of the Town a tax equal to four percent (4%) of gross receipts derived from sales of tangible personal property and services pursuant to this Chapter except that the sales tax imposed on tobacco products shall be forty percent (40%).” Section 4. Enactment of Chapter 3.10 – Cigarette Excise Tax. The Avon Municipal Code is hereby amended by enacting a new Chapter 3.10 – Cigarette Excise Tax, to read as follows: “3.10.010 - Words and phrases defined. Cigarette shall mean cigarette as is defined in Section 5.10.030. 3.10.020 – Cigarette excise tax. (a) There is imposed upon all sales of all cigarettes a cigarette excise tax in the amount of fifteen cents per cigarette or three dollars per pack of twenty cigarettes. 3.10.030 - Unlawful to advertise absorption of tax. It is unlawful for any retailer to advertise, to hold out to state to the public or to any consumer, directly or indirectly, that the tax or any part thereof imposed by this Chapter will be assumed or absorbed by the retailer, or that it will not be added to the selling price of the property sold; or if added, that any part thereof will be refunded. 3.10.040 - License for retailer. It is unlawful for any person to engage in the business of making cigarette sales without first having obtained a tobacco retailer license in accordance with Chapter 5.10, which license shall be granted and issued by the Director of Finance, and shall be in force and effect until suspended or revoked. 3.10.050 - Duty to keep books and records. It shall be the duty of every person required by the provisions of Chapter 5.10 to obtain a tobacco retailer license, to keep and preserve suitable records of all sales made by him or her, and such other books or accounts as may be necessary to determine the amount of tax for the collection of which he or she is liable hereunder. It shall be the duty of every such person to keep and preserve for a period of three (3) years all invoices of goods and merchandise purchased for resale, and all such books, invoices and other records shall be open for examination at any time by the Director of Finance or his or her duly authorized agents. 3.10.060 – Cigarette excise tax return. (a) Every person, partnership or corporation required to obtain a tobacco retailer license pursuant to the provisions of Chapter 5.10 shall file a cigarette excise tax return, upon forms approved by the Director of Finance, on or before the twentieth day of each calendar month for the sales activities of the preceding calendar month; providing, however, that, if the accounting methods regularly employed by the licensed retailer in the transaction of his or her business, or other conditions, are such that reports of sales made on a calendar-monthly basis will impose unnecessary hardship, the Director may, upon request of such retailer, accept reports at such intervals ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 3 of 12 as will, in his or her opinion, better suit the convenience of the taxpayer, and will not jeopardize the collection of the tax; and provided further, that a retailer doing business in two (2) or more places or locations may file one (1) return covering all such business activities in the Town. (b) The returns so filed shall contain such information as may enable the Director to accurately determine the amount of tax collected by the person, partnership or corporation filing the return, but, in all cases, shall contain the following information: (1) The amount of gross taxable cigarette sales made for which the return is filed; (2) The total quantity of cigarettes returned by the purchaser as a result of a return of goods sold by the retailer, provided the original sale was a taxable transaction; (3) The total, fair market value of any property received by the retailer as a result of an exchange of property, provided the property so received is held by the retailer to be sold or leased to a user or consumer in the regular course of his or her business; (4) The total quantity of cigarettes sold on credit, the obligation for which is not secured by a conditional sales contract, chattel mortgage or other security instrument entitling the retailer to repossess the item sold, which are found to be worthless and which may be deducted as bad debts on the retailer's federal income tax return. (c) The return shall be accompanied by an amount equal to the cigarette excise tax required to be collected by the tobacco retailers but which, in no case, shall be less than the amount actually collected, nor less than fifteen cents per cigarette sold. (d) All other persons, partnerships and corporations shall pay to the Director the amount of any tax due under the provisions of Section 3.10.020 not less than fifteen (15) days after the date that the tax becomes due. 3.10.070 - Examinations of returns—refunds—deficiencies—notice of appeal. (a) As soon as practicable after any tax return is filed, the Director of Finance shall examine it, and if it then appears that the correct amount of tax to be remitted is greater or less than that shown in the return, the tax shall be recomputed. (b) If the amount paid exceeds that which is due, the excess shall be refunded or credited against any subsequent remittance from the same taxpayer. (c) If the amount paid is less than the amount due, or if the Director of Finance determines that any amount of cigarette excise tax is due and unpaid, for any reason, the difference between the amount paid and the amount owed to the Town, together with interest thereon at the rate of one and one-half percent (1½%) per month from the time the return was due (unless provided otherwise herein), shall be paid by the vendor within fifteen (15) days after written notice and demand to him or her from the Director of Finance. (d) An appeal of a notice of assessment, or demand issued to a vendor or taxpayer for failure to file a return, underpayment of tax owed or as a result of an audit shall be submitted in writing to the Finance Director within twenty (20) calendar days from the date of the notice of assessment or demand. Any such appeal shall identify the amount of tax disputed and the basis for the appeal. 3.10.080 - Penalty—disregard for rules. If any part of the deficiency is due to negligence or intentional disregard of authorized rules and regulations with knowledge thereof, but without intent to defraud, there shall be added ten percent (10%) of the total amount of the deficiency; and in such case, interest shall be collected at the rate of one and one-half percent (1½%) per month on the amount of the deficiency from the time the return was due, from the person required to file the return, which interest and addition shall become due and payable within fifteen (15) days after written notice and demand by the Director of Finance. ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 4 of 12 3.10.090 - Penalty—fraud. If any part of the deficiency is due to fraud with the intent to evade the tax, then there shall be added fifty percent (50%) of the total amount of the deficiency, and in such case the whole amount of the tax unpaid, including the additions, shall become due and payable fifteen (15) days after written notice and demand by the Director of Finance, and an additional one and one-half percent (1½%) per month on said amounts shall be added from the date the return was due until paid. 3.10.100 - Service charge—returned checks. If a check in payment of any cigarette excise tax is returned unpaid, a processing charge of five dollars ($5.00) will be added to any amount due and owing. 3.10.110 - Investigation of retailer's books. For the purpose of ascertaining the correctness of a return, or for the purpose of determining the amount of tax due from any taxpayer, the Director of Finance may hold investigations and hearings concerning any matters covered by this Chapter, and may examine any relevant books, papers, records, or memoranda of any such person, requiring the attendance of such taxpayer, or any officer or employee of such taxpayer, or of any person having knowledge of such sales, and taking such testimony and proof as may be necessary to properly ascertain any tax liability. The Director shall have power to administer oaths to any person in the course of such investigations or hearings. Production of documents and attendance of witnesses shall be requested by the Director on his or her own motion or on motion of any party; any request for production or attendance shall inform persons that compliance is voluntary but that, if the request is not complied with, the Director may apply to the Municipal Judge for issuance of a subpoena. 3.10.120 - Judge compels attendance. The Municipal Judge of the Town, upon the application of the Director of Finance, may compel the attendance of witnesses, the production of books, papers, records or memoranda, and the giving of testimony before the Director of Finance or any of his or her duly authorized agents, by the issuance and enforcement of subpoenas, in the same manner as production of evidence may be compelled before the court. 3.10.130 – Cigarette excise tax information confidential. (a) Except in accordance with judicial order, or as otherwise herein provided, the Town shall not divulge any information gained from any return filed or as a result of any investigation or hearing held pursuant to the provisions of this Chapter. (b) Nothing contained in this subsection shall be construed to prohibit: (1) The delivery to a person, or to his or her duly authorized representative, of a copy of any return filed in connection with his or her tax; (2) The publication of statistics so classified as to prevent the identification of particular reports or returns and the items thereof; (3) The inspection by the Town Attorney, or any other legal representative of the Town, of the return or other information relating to any taxpayer who may become involved in litigation with the Town in which the said information may become material. (c) Reports and returns shall be preserved for three years, and thereafter until the Director of Finance, with the approval of the Town Manager, shall order them destroyed. 3.10.140 - Estimated taxes and assessment thereof. ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 5 of 12 (a) If any person neglects or refuses to make a return for, or payment of any of the taxes levied by this Chapter when the same become due, the Director of Finance shall, at some date subsequent to five (5) days after the date for the making of such return or the payment of such taxes, give written notice to the person responsible for making the return or paying the taxes or the lack of the filing of such return or payment of said taxes, which notice shall notify the taxpayer, or other person responsible for the return of the tax, that the same must be paid within five (5) days from the date of the receipt of said notice. (b) If the return is not filed, or the taxes are not paid, within five (5) days after receipt of such notice, the Director may make an estimate, based upon such information as may be available to him or her, of the amount of taxes due for the period or periods for which taxpayer is delinquent and shall add thereto a penalty in an amount equal to ten percent (10%) of the estimated tax, together with interest on the estimated tax at the rate of one and one-half percent (1½%) per month from the due date thereof, and may assess said amount against the delinquent taxpayer by giving the taxpayer written notice thereof, which notice shall require the taxpayer either to pay the amount assessed by the Director of Finance or to petition him or her for a correction of the estimate within a period of ten (10) days thereafter. Any such petition for correction shall be in writing, and any facts or figures in support thereof shall be submitted upon the oath of the taxpayer. The Director shall consider the matters submitted by the taxpayer, and shall make a decision as to the proper amount of taxes, penalty and interest due, which decision shall be final and binding. 3.10.150 - Unpaid tax a prior lien. (a) The taxes imposed by Section 3.10.020 shall be a first and prior lien upon the goods and business fixtures owned or used by any tobacco retailer required by the provisions of Section 3.10.060 to submit a return and make payment of the taxes collected, except the stock of goods held for sale in the ordinary course of business, until said taxes are paid in full. (b) The lien created by subsection (a) above shall be construed to be liens and encumbrances upon the specific items of personal property therein enumerated, and shall take precedence over all other liens, encumbrances or claims of whatsoever nature, and shall immediately attach to such items without the necessity of the filing of any notice of lien thereof. 3.10.160 - Sale of stock or quitting business. (a) Any retailer who sells out his or her business or stock of goods or who quits business, shall be required to prepare and file a cigarette excise tax return as provided in this Chapter within fifteen (15) days subsequent to the date of the completion of said sale or the quitting of business, and the purchaser thereof, if any, shall be required to withhold sufficient of the purchase money to cover the amount of the tax due and unpaid, until such time as the retailer shall produce a receipt from the Director of Finance showing that all such taxes have been paid and that no further taxes are due. (b) If the purchaser of a business or stock of goods shall fail to withhold the purchase money as above provided, and the tax shall be due and unpaid after the fifteen-day period allowed, such purchaser shall be personally liable for the payment of the taxes unpaid by the former owner, and the liens created by Section 3.10.150 shall immediately attach to the personal property so purchased; provided, however, that the retailer so selling or quitting business shall not be relieved in any manner of his or her liability for payment of any of said taxes due. 3.10.170 - Enforcement of taxes and foreclosure of liens. (a) If any taxes, penalty or interest imposed by this Chapter and shown due by returns filed by the taxpayer, or as shown by assessment duly made as provided herein, are not paid within fifteen (15) days after the same are due, the Director of Finance shall issue a warrant under his or her official seal directed to any duly authorized revenue collector, or to the sheriff of any county in this State commanding him or her to levy upon, seize and sell sufficient ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 6 of 12 personal property of the tax debtor which is subject to the liens created by Section 3.10.150 found within his or her county for the payment of the amount due, together with interest, penalties and costs. (b) Simultaneously with the issuance of said warrant, the Director shall issue a notice of tax lien, setting forth the name of the taxpayer, the amount of the tax, penalties, interest and costs, the date of the accrual thereof, and that the Town claims a first and prior lien therefor on the tangible personal property of the taxpayer subject to said liens. (c) Such notice shall be on forms prepared by the Director, shall be verified by him or her, and shall be filed in the office of the clerk and recorder of any county in this State in which the taxpayer owns tangible personal property subject to said liens. (d) Upon the filing of said notice of lien, the effective date of the lien shall relate back to the date of the first transaction for which any tax is due. 3.10.180 - Refunds—procedure. (a) A refund shall be made or credit allowed for any tax paid under protest by any purchaser who has or claims to have an exemption as in this Chapter provided. Such refund shall be made by the Director of Finance after compliance with the following conditions precedent: (1) Application. Applications for refund must be made within ninety (90) days after the purchase or use of cigarettes on which the exemption is claimed, and must be supported by the affidavit of the purchaser, accompanied by the original paid invoice or sales receipt and a certificate issued by the seller, together with such further information as may be requested by the Director. (2) Decisions. Upon receipt of such application and accompanying information, the Director shall examine the same with all due speed and shall give notice to the applicant by an order in writing of his or her decision thereon. (3) Hearing. An aggrieved applicant may, within twenty (20) days after such decision is mailed to him or her, petition the Director for a hearing on the claim. Such petition shall be in writing and shall identify the amount of the refund requested and the basis for the request. The Director shall, upon due notice to the applicant, hold a hearing upon such petition, taking such information or evidence as may be material, and shall thereafter render his or her final decision upon such application, which decision shall be final. (b) Any person claiming to have paid a tax for the purchase or use of cigarettes in excess of the rates established by this Chapter may apply for a refund of the excess in the manner prescribed above. (c) An appeal of a final decision of the Finance Director in a hearing held pursuant to this Section shall be commenced within thirty (30) days of such decision. 3.10.190 - Refund not assignable. The right of any person to a refund under this Chapter shall not be assignable, and application for refund must be made by the same person who purchased or used the goods and who paid the tax thereon, as shown by the invoice of the sale thereof or other appropriate document. 3.10.200 - Notices sent by mail. All notices required to be given to the retailer or vendor under the provisions of this Chapter shall be in writing and, if mailed, to him or her at his or her last known address shall be sufficient for the purpose of this Chapter. 3.10.210 - License and tax in addition to all other taxes. The license and tax imposed by this Chapter shall be in addition to all other licenses and taxes imposed by law, except as herein otherwise provided. ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 7 of 12 3.10.220 - Administration. The administration of all the provisions of this Chapter is vested in the Director of Finance, who may, with the approval of the Town Manager, prescribe forms and reasonable rules and regulations in conformity with this Chapter for the making of returns, for the ascertainment, assessment and collection of the taxes imposed hereunder, and for the proper administration and enforcement hereof, a copy of which forms, rules and regulations shall be made available to the public. 3.10.230 - Unlawful acts. It is unlawful for any person to fail to perform any affirmative duty required by this Chapter, or to willfully make, prepare or submit a tax return or other document containing any false statement, or to willfully make a false statement in any investigation or hearing, which may affect the tax liability of any person. 3.10.240 - Penalties. Any person, firm or corporation violating any of the provisions of this Chapter shall be deemed guilty of a violation of this Chapter, and any such person, firm or corporation shall be punished in accordance with the provisions of Section 1.08.010 of this Code. 3.10.250 – Cigarette excise tax—collection—limitation of actions. (1) No cigarette excise tax, or interest thereon or penalties with respect thereto, shall be assessed, nor shall any notice of lien be filed, or distraint warrant issued, or suit for collection be instituted, nor any other action to collect the same be commenced more than three (3) years after the date on which the tax was or is payable; nor shall any lien continue after such period, except for taxes assessed before the expiration of such period, except for taxes assessed before the expiration of such period, notice of lien with respect to which has been filed prior to the expiration of such period, in which cases such lien shall continue only for one (1) year after the filing of notice thereof. In the case of a false or fraudulent return with intent to evade tax, the tax together with interest and penalties thereon, may be assessed, or proceedings for the collection of such taxes may be begun at any time. Before the expiration of such period of limitation, the taxpayer and the Director of Finance may agree in writing to an extension thereof, and the period so agreed on may be extended by subsequent agreements in writing. (2) In the case of failure to file a return, the cigarette excise tax may be assessed and collected at any time. 3.10.260 – Cigarette excise tax—refunds—limitation of actions. (1) An application for refund of tax moneys paid in error or by mistake shall be made within three (3) years after the date of purchase of the cigarettes for which the refund is claimed. 3.10.270 – Cigarette excise tax—interest on underpayment, nonpayment, or extensions of time for payment of tax. (a) If any amount of cigarette excise tax is not paid on or before the last date prescribed for payment, interest on such amount at the rate imposed under Section 3.10.300 shall be paid for the period from such last date to the date paid. The last date prescribed for payment shall be determined without regard to any extension of time for payment and shall be determined without regard to any notice and demand for payment issued, by reason of jeopardy, prior to the last date otherwise prescribed for such payment. In the case of a tax in which the last date for payment is not otherwise prescribed, the last date for payment shall be deemed to be the date the liability for the tax arises, and in no event shall it be later than the date notice and demand for the tax is made by the Director of Finance. ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 8 of 12 (b) Interest prescribed under Sections 3.10.270 through 3.10.290 shall be paid upon notice and demand and shall be assessed, collected and paid in the same manner as the tax to which it is applicable. (c) If any portion of a tax is satisfied by credit of an overpayment, then no interest shall be imposed under this Section on the portion of the tax so satisfied for any period during which, if the credit had not been made, interest would have been allowed with respect to such overpayment. (d) Interest prescribed under Sections 3.10.270 through 3.10.290 on any cigarette excise tax may be assessed and collected at any time during the period within which the tax to which such interest relates may be assessed and collected. 3.10.280 – Cigarette excise tax—deficiency due to negligence. If any part of the deficiency in payment of the cigarette excise tax is due to negligence or intentional disregard of the ordinances or of authorized rules and regulations of the Town with knowledge thereof, but without intent to defraud, there shall be added ten percent (10%) of the total amount of the deficiency, and interest in such case shall be collected at the rate imposed under Section 3.10.300, in addition to the interest provided by Section 3.10.290, on the amount of such deficiency from the time the return was due, from the person required to file the return, which interest and addition shall become due and payable ten (10) days after written notice and demand to him or her by the Director of Finance. If any part of the deficiency is due to fraud with the intent to evade the tax, then there shall be added one hundred percent (100%) of the total amount of the deficiency and in such case, the whole amount of the deficiency and in such case, the whole amount of the tax unpaid, including the additions, shall become due and payable ten (10) days after written notice and demand by the Director of Finance and an additional three percent (3%) per month on said amount shall be added from the date the return was due until paid. 3.10.290 – Cigarette excise tax—neglect or refusal to make return or to pay. If a person neglects or refuses to make a return in payment of the cigarette excise tax or to pay any sales tax as required, the Director of Finance shall make an estimate, based upon such information as may be available, of the amount of taxes due for the period for which the taxpayer is delinquent and shall add thereto a penalty equal to the sum of fifteen dollars ($15.00) for such failure or ten percent (10%) thereof and interest on such delinquent taxes at the rate imposed under Section 3.08.353 plus one-half percent (0.5%) per month from the date when due, not exceeding eighteen percent (18%) in the aggregate. 3.10.300 - Rate of interest. When interest is required or permitted to be charged under any provisions of Sections 3.10.270 through 3.10.290, the annual rate of interest shall be that established by the state commissioner of banking pursuant to Section 39.21.110.5, C.R.S. 3.10.310 - Other remedies. Nothing in Sections 3.10.270 through 3.10.300 shall preclude the Town from utilizing any other applicable penalties or remedies for the collection or enforcement of cigarette excise taxes. 3.10.320 – Cigarette excise tax—final decision of Town—appeals—posting of bonds. (1) Within fifteen (15) days after filing a notice of appeal as provided in Section 3.08.130, the taxpayer shall file with the district court a surety bond in twice the amount of taxes, interest and other charges stated in the final decision by the Director of Finance which are contested on appeal. The taxpayer may, at his or her option, satisfy the surety bond requirement by a savings account or deposit in or a certificate of deposit issued by a state or national bank or by a state or federal savings and loan association, in accordance with the provisions of Section 11.35-101(1), C.R.S., equal to twice the amount of the taxes, interest and other charges stated in the final decision by the Director of Finance. ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 9 of 12 (2) The taxpayer may, at his or her option, deposit the disputed amount with the Director of Finance in lieu of posting a surety bond. If such amount is so deposited, no further interest shall accrue on the deficiency contested during the pendency of the action. At the conclusion of the action, after appeal to the Supreme Court or the court of appeals or after the time for such appeal has expired, the funds deposited shall be, at the direction of the court, either retained by the Director of Finance and applied against the deficiency or returned in whole or in part to the taxpayer with interest at the rate imposed pursuant to Section 3.08.353. No claim for refund of amounts deposited with the Director of Finance need be made by the taxpayer in order for such amounts to be repaid in accordance with the direction of the court. 3.10.330 – Cigarette excise tax—final decision of Town—appeals—posting of bonds. For transactions consummated on or after January 1, 1986: (1) Within fifteen (15) days after filing a notice of appeal as provided in Section 3.10.070, the taxpayer shall file with the district court a surety bond in twice the amount of taxes, interest and other charges stated in the final decision by the Director of Finance which are contested on appeal. The taxpayer may, at his or her option, satisfy the surety bond requirement by a savings account or deposit in or a certificate of deposit issued by a state or national bank or by a state or federal savings and loan association, in accordance with the provisions of Section 11.35-101(1), C.R.S., equal to twice the amount of the taxes, interest and other charges stated in the final decision by the Director of Finance. (2) The taxpayer may, at his or her option, deposit the disputed amount with the Director of Finance in lieu of posting a surety bond. If such amount is so deposited, no further interest shall accrue on the deficiency contested during the pendency of the action. At the conclusion of the action, after appeal to the Supreme Court or the court of appeals or after the time for such appeal has expired, the funds deposited shall be, at the direction of the court, either retained by the Director of Finance and applied against the deficiency or returned in whole or in part to the taxpayer with interest at the rate imposed pursuant to Section 3.10.300. No claim for refund of amounts deposited with the Director of Finance need be made by the taxpayer in order for such amounts to be repaid in accordance with the direction of the court. 3.10.340 – Cigarette excise tax—collection—map of municipal boundaries. The Director of Finance shall make available to any requesting vendor a map showing the boundaries of the Town. No penalty shall be imposed or action for deficiency maintained against such a vendor who in good faith complies with the most recent map available to it. 3.10.350 - Cigarette tax—alternative dispute resolution procedure—deficiency notice or claim for refund. For transactions consummated on or after January 1, 1986, in lieu of the procedure provided for in Section 3.10.320, the taxpayer may elect a hearing on the Director of Finance's final decision on a deficiency notice or claim for refund pursuant to procedure set forth in this Section. (1) As used in this Section, state hearing means a hearing before the Executive Director of the Department of Revenue or delegate thereof as provided in Section 29-2-106.1(3), C.R.S. (2) When the Town asserts that sales or use taxes are due in an amount greater than the amount paid by a taxpayer, the Town shall mail a deficiency notice to the taxpayer by certified mail. The deficiency notice shall state the additional sales and use taxes due. The deficiency notice shall contain notification, in clear and conspicuous type, that the taxpayer has the right to elect a state hearing on the deficiency pursuant to Section 29-2-106.1(3), C.R.S. The taxpayer shall also have the right to elect a state hearing on the Town's denial of such taxpayer's claim for a refund of sales tax paid. (3) The taxpayer shall request the state hearing within thirty (30) days after the taxpayer's exhaustion of local remedies. The taxpayer shall have no right to such hearing if he or she has not exhausted local remedies ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 10 of 12 or if he or she fails to request such hearing within the time period provided for in this subsection. For purposes of this subsection, exhaustion of local remedies means: a. The taxpayer has timely requested in writing a hearing before the Town and such Town has held such hearing and issued a final decision thereon. Such hearing shall be informal and no transcript, rules of evidence or filing of briefs shall be required; but the taxpayer may elect to submit a brief, in which case the Town may submit a brief. The Town shall hold such hearing and issue the final decision thereon within ninety (90) days after the Town's receipt of the taxpayer's written request therefor, except the Town may extend such period if the delay in holding the hearing or issuing the decision thereon was occasioned by the taxpayer, but, in any such event, the Town shall hold such hearing and issue the decision thereon within one hundred eighty (180) days of the taxpayer's request in writing therefor; or b. The taxpayer has timely requested in writing a hearing before the Town and the Town has failed to hold such hearing or has failed to issue a final decision thereon within the time periods provided in Subparagraph a above. (4) If a taxpayer has exhausted his or her local remedies as provided in subsection (3) above, the taxpayer may request a state hearing on such deficiency notice or claim for refund, and such request shall be made and such hearing shall be conducted in the same manner as provided in Section 29-2-106.1(3) through (7), C.R.S. (5) If the deficiency notice or claim for refund involves only the Town, in lieu of requesting a state hearing, the taxpayer may appeal such deficiency or denial of a claim for refund to the district court of the County of Eagle as provided in Section 29-2-106.1(8), C.R.S., provided the taxpayer complies with the procedures set forth in subsection (3) of this section. (6) Nothing in this Section shall prohibit the taxpayer from pursuing judicial review of a final decision of the Town as otherwise provided in Section 3.10.320. (7) If the Town reasonably finds that the collection of sales tax will be jeopardized by delay, the Town may utilize the procedures set forth in Section 39-21-111, C.R.S. (8) An appeal of a final decision of the Finance Director in a hearing held pursuant to this Section shall be commenced within thirty (30) days of such decision. Section 5. Codification Amendments. The codifier of the Town’s Municipal Code, Colorado Code Publishing, is hereby authorized to make such numerical and formatting changes as may be necessary to incorporate the provisions of this Ordinance within the Avon Municipal Code. The Town Clerk is authorized to correct, or approve the correction by the codifier, of any typographical error in the enacted regulations, provided that such correction shall not substantively change any provision of the regulations adopted in this Ordinance. Such corrections may include spelling, reference, citation, enumeration, and grammatical errors. Section 6. Interpretation. This Ordinance shall be interpreted and applied to comply in all respects with Article X, Section 20, of the Colorado Constitution, in its application to any person or circumstance and no part of this Ordinance shall be interpreted or applied to constitute a tax policy change that would require voter approval. Section 7. Non-Severability. If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid or held to be in conflict with Article X, Section 20, of the Colorado Constitution, such invalidity or conflict shall invalidate this Ordinance in its entirety. The Town Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 11 of 12 unconstitutional or invalid. As used in this Section, the term “provision” means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term “application” means and includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 8. Effective Date. This Ordinance shall take effect thirty (30) days after the date of final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Section 9. Safety Clause. The Town Council hereby finds, determines and declares that this Ordinance is promulgated under the general police power of the Town of Avon, that it is promulgated for the health, safety and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 10. No Existing Violation Affected. Nothing in this Ordinance shall be construed to release, extinguish, alter, modify, or change in whole or in part any penalty, liability or right or affect any audit, suit, or proceeding pending in any court, or any rights acquired, or liability incurred, or any cause or causes of action acquired or existing which may have been incurred or obtained under any ordinance or provision hereby repealed or amended by this Ordinance. Any such ordinance or provision thereof so amended, repealed, or superseded by this Ordinance shall be treated and held as remaining in force for the purpose of sustaining any and all proper actions, suits, proceedings and prosecutions, for the enforcement of such penalty, liability, or right, and for the purpose of sustaining any judgment, decree or order which can or may be rendered, entered, or made in such actions, suits or proceedings, or prosecutions imposing, inflicting, or declaring such penalty or liability or enforcing such right, and shall be treated and held as remaining in force for the purpose of sustaining any and all proceedings, actions, hearings, and appeals pending before any court or administrative tribunal. Section 11. Publication. The Town Clerk is ordered to publish this Ordinance in accordance with Chapter 1.16 of the Avon Municipal Code. [SIGNATURE PAGE FOLLOWS] ATTACHMENT A: ORD NO. 19-02 Ord. 19-02 February 26, 2019 FIRST READING Page 12 of 12 INTRODUCED AND ADOPTED ON FIRST READING AND REFERRED TO PUBLIC HEARING on February 26, 2019 and setting such public hearing for March 12, 2019 at the Council Chambers of the Avon Town Hall, located at 100 Mikaela Way, Avon, Colorado. BY: ATTEST: ____________________________ ___________________________ Sarah Smith Hymes, Mayor Brenda Torres, Deputy Town Clerk ADOPTED ON SECOND AND FINAL READING on March 12, 2019. BY: ATTEST: ____________________________ ____________________________ Sarah Smith Hymes, Mayor Brenda Torres, Town Clerk APPROVED AS TO FORM: ____________________________ Eric J. Heil, Town Attorney ATTACHMENT A: ORD NO. 19-02   TOWN OF AVON, COLORADO  AVON REGULAR MEETING MINUTES FOR TUESDAY, FEBRUARY 12, 2019  AVON TOWN HALL, 100 MIKAELA WAY  Page 1    1. CALL TO ORDER AND ROLL CALL   Mayor Smith Hymes called the meeting to order at 5:12 p.m. A roll call was taken, and Council members  present were Amy Phillips, Scott Prince, Jennie Fancher, Chico Thuon, Tamra N. Underwood and Jake Wolf.  Also present were Acting Town Manager Preston Neill, Town Attorney Eric Heil, Police Chief Greg Daly,  Planning Director Matt Pielsticker, Recreation Director John Curutchet, Town Engineer Justin Hildreth and  Acting Town Clerk Brenda Torres.    2. APPROVAL OF AGENDA  Mayor Pro Tem Phillips requested for item 6.3 to be pulled from the agenda and reviewed at a future  meeting. Councilor Underwood asked for items 6.7.1 and 6.7.4 to be pulled from Consent for individual  review and consideration by Council. Mayor Smith Hymes said she would like to discuss Written Report 7.1.  Councilor Underwood moved to approve the agenda with the requested changes. Mayor Pro Tem Phillips  seconded the motion and the motion passed on a vote of 6 to 1. Councilor Wolf voted no.    3. PUBLIC COMMENT   No comments were made    4. ACTION ITEMS  4.1. REVIEW AND ACTION ON HAHNEWALD BARN OPTIONS (PLANNING DIRECTOR MATT PIELSTICKER)  Kristi Ferarro, Kim Nottingham, Pam Warren, Alan Nottingham, Robert Fath, Peter Warren, Celeste  Nottingham and Robert Materis commented. Kim Nottingham read a letter from Brett Baca.     Councilor Underwood moved to proceed with only Phase 1 of Scheme B as presented to Council at the  January 22, 2019 Regular Council meeting by Anderson Hallas Architects, including directing staff to  proceed with permit applications, contract preparations and negotiations to move the Hahnewald Barn,  prepare and issue a Request for Proposal for the demolition of the old Town Hall, and proceed with the  other things necessary to commence and implement only Phase 1 of Scheme B, and with further  direction to staff that each and every cost economy is to be taken and all grant opportunities are to be  pursued. Councilor Fancher seconded the motion and the motion passed on a vote of 4 to 3. Councilor  Wolf, Councilor Thuon, and Councilor Prince voted no.    5. WORK SESSION  5.1. JOINT WORK SESSION WITH THE AD HOC SPECIAL EVENTS COMMITTEE  Council met with members of the Ad Hoc Special Events Committee in a joint work session. Direction  was provided on various items.    6. ACTION ITEMS  6.1. PUBLIC HEARING SECOND READING OF ORDINANCE 18‐20, A ENACTING CHAPTER 2.40 – EVENTS COMMISSION OF  TITLE 2 OF THE AVON MUNICIPAL CODE (ACTING TOWN MANAGER PRESTON NEILL)  No motion was made.      TOWN OF AVON, COLORADO  AVON REGULAR MEETING MINUTES FOR TUESDAY, FEBRUARY 12, 2019  AVON TOWN HALL, 100 MIKAELA WAY  Page 2    6.2. RESOLUTION 19‐05 APPROVING A CULTURAL, ARTS AND SPECIAL EVENTS COMMITTEE   (ACTING TOWN MANAGER PRESTON NEILL)  Councilor Underwood provided various edits to Resolution 19‐05. Councilor Wolf made a motion to  continue Resolution 19‐05 to the February 26th Council meeting. Mayor Pro Tem Phillips seconded the  motion and the motion passed unanimously. Staff was directed to proceed with posting a solicitation  for interested persons to join the CASE committee.      6.3. FIRST READING ORDINANCE 19‐01 AMENDING THE AVON MUNICIPAL CODE TO AUTHORIZE FEE WAIVERS AND TAX  EXEMPTIONS FOR AFFORDABLE HOUSING PROJECTS (TOWN ATTORNEY ERIC HEIL)     6.4. ACTION ON NOTICE OF AWARD FOR AVON PERFORMANCE PAVILION DOOR SYSTEM AND STAGE REPAIR   (TOWN ENGINEER JUSTIN HILDRETH)  Councilor Wolf and Councilor Thuon left the meeting at 9:02 p.m.     Councilor Fancher moved to approve Notice of Award to Evans Chaffee Construction Group to repair  leaks and add a door system to the H.A. Nottingham Park Pavilion and amend the project budget from  $200,000 to $290,700. Councilor Prince seconded the motion and the motion passed on a vote of 4 to  1. Councilor Underwood voted no. Councilor Wolf and Councilor Thuon were absent.      6.5. NOTICE OF AWARD UPRR WALKWAY AT GRADE CROSSING PROJECT (TOWN ENGINEER JUSTIN HILDRETH)   Councilor Prince moved to approve issuance of Notice of Award for the UPRR Walkway at Grade  Crossing Project contract to the low bidder, United Companies, Inc in the amount of $92,751 for the  east side of the road, including funding for geotechnical testing services and contingency, as approved  in the Town of Avon 2019 Capital Projects Fund. The motion did not receive a second, therefore the  motion failed. Councilor Underwood moved to approve issuance of Notice of Award for the UPRR  Walkway at Grade Crossing Project contract to the low bidder, United Companies, Inc in the amount of  $174,842 as approved in the Town of Avon 2019 Capital Projects Fund. Councilor Fancher seconded the  motion and the motion passed on a vote of 4 to 1. Councilor Prince voted no. Councilor Wolf and  Councilor Thuon were absent.    6.6. REVIEW AND DIRECTION ON AUDIO VISUAL SYSTEM IMPROVEMENTS FOR TOWN COUNCIL CHAMBERS   (TOWN ENGINEER JUSTIN HILDRETH)  Council provided direction for staff to look into smaller monitors for the Council dais and for test  monitors to be presented to Council. Additional direction was provided to look into rolling  monitors for the back of the room instead of fixed, wall‐mounted monitors. Council expressed  interest in upgrading the AV system to allow for 12 microphones to be on at the same time.  Councilor Prince made a motion to approve $25,000 from the General Fund Contingency line item  to fund audio visual system improvements for Council Chambers. Councilor Fancher seconded the  motion and the motion passed unanimously by Council members present. Councilor Wolf and  Councilor Thuon were absent.      TOWN OF AVON, COLORADO  AVON REGULAR MEETING MINUTES FOR TUESDAY, FEBRUARY 12, 2019  AVON TOWN HALL, 100 MIKAELA WAY  Page 3    6.7. CONSENT AGENDA  6.7.1. APPROVAL OF 2018 AUDIT ENGAGEMENT LETTER (ASSISTANT TOWN MANAGER SCOTT WRIGHT)  This item was pulled from the Consent Agenda. After discussion, Councilor Underwood  moved to approve the Audit Engagement Letter with McMahan and Associates for the 2018  calendar year independent audit. Mayor Pro Tem Phillips seconded the motion and the  motion carried unanimously by Council members present. Councilor Wolf and Councilor  Thuon were absent.    6.7.2. APPROVAL OF WAIVER OF CONFLICT WITH KISSINGER & FELLMAN, P.C. (TOWN ATTORNEY ERIC HEIL)    6.7.3. APPROVAL OF RESOLUTION 19‐06 DESIGNATING THE LOCATIONS FOR POSTING THE NOTICES OF PUBLIC  MEETINGS (ACTING TOWN MANAGER PRESTON NEILL)    6.7.4. APPROVAL OF MINUTES FROM JANUARY 22, 2019 REGULAR COUNCIL MEETING   (ACTING TOWN CLERK BRENDA TORRES)   This item was pulled from the Consent Agenda. Councilor Underwood provided an edit to the  minutes. Councilor Fancher moved to approve the January 22, 2019 meeting minutes with the  changes provided. Mayor Pro Tem Phillips seconded the motion and the motion passed on a  vote of 5 to 0. Councilor Wolf and Councilor Thuon were absent.    6.7.5. APPROVAL OF MINUTES FORM JANUARY 30, 2019 COUNCIL RETREAT   (ACTING TOWN MANAGER PRESTON NEILL)  Councilor Underwood moved to approve all remaining items on the Consent Agenda (6.7.2,  6.7.3, and 6.7.5). Mayor Pro Tem Phillips seconded the motion and the motion passed  unanimously by Council members present. Councilor Wolf and Councilor Thuon were  absent.      7. WRITTEN REPORTS  7.1. WEST BEAVER CREEK BOULEVARD CONTRUCTION IMPACT TO BUSINESSES   (ASSISTANT TOWN MANAGER SCOTT WRIGHT)  Scott Wright, Assistant Town Manager/Finance Director, answered several questions from Council  about this report.    7.2. COMMUNITY DEVELOPMENT 2018 YEAR END REPORT (PLANNING DIRECTOR MATT PIELSTICKER)    7.3. UPDATE ON TOWN BIKE SHARE PROGRAM (MOBILITY DIRECTOR EVA WILSON)  Councilor Fancher expressed her interest in having a Zagster bike‐share station placed at the Elk  Lot bus stop. She asked for a conversation to be had with the Beaver Creek Metro District.          TOWN OF AVON, COLORADO  AVON REGULAR MEETING MINUTES FOR TUESDAY, FEBRUARY 12, 2019  AVON TOWN HALL, 100 MIKAELA WAY  Page 4    7.4. UPPER EAGLE REGIONAL WATER AUTHORITY JANUARY 24, 2019 MEETING SUMMARY (MAYOR SMITH HYMES)      7.5. ABSTRACT FROM FEBRUARY 5, 2019 PLANNING AND ZONING COMMISSION MEETING   (PLANNING DIRECTOR MATT PIELSTICKER)    8. MAYOR & COUNCIL COMMENTS & MEETING UPDATES   Mayor Pro Tem Phillips reported on ECO Transit. Mayor Smith Hymes said she recently met with Will  Cook, the new CEO of Vail Health.    9. ADJOURNMENT   There being no further business to come before the Council, Councilor Fancher moved to adjourn the  regular meeting. Mayor Pro Tem Phillips seconded the motion and the motion passed unanimously by  Council members present. Councilor Wolf and Councilor Thuon were absent.  The time was 9:57 p.m.      These minutes are only a summary of the proceedings of the meeting. They are not intended to be comprehensive or to  include each statement, person speaking or to portray with complete accuracy. The most accurate records of the  meeting are the audio of the meeting, which is housed in the Town Clerk' s office, and the video of the meeting, which is  available at www.highfivemedia.org.           RESPECTFULLY SUBMITTED:                                                       ________________________________                                                   Brenda Torres, Acting Town Clerk    APPROVED:  Sarah Smith Hymes ___________________________________    Amy Phillips  ___________________________________    Jake Wolf  ________________________________    Chico Thuon  ________________________________    Jennie Fancher   ________________________________    Scott Prince  ________________________________    Tamra N. Underwood ________________________________    TOWN OF AVON, COLORADO  SPECIAL MEETING MINUTES FOR TUESDAY, FEBRUARY 19, 2019  AVON TOWN HALL, 100 MIKAELA WAY, AVON, CO 81620  Special Meeting Minutes 2/19/2019  Page 1    1. CALL TO ORDER & ROLL CALL  Mayor Smith Hymes called the meeting to order at 10:03 a.m. A roll call was taken and Council  members present were Amy Phillips, Jennie Fancher and Jake Wolf. Scott Prince, Chico Thuon and  Tamra Nottingham Underwood were absent. Also present were Acting Town Manager Preston Neill,  Human Resources Director Lance Richards, and Human Resources Assistant Kate Franklin.     2. APPROVAL OF AGENDA   No changes were made to the agenda.     3. PUBLIC COMMENT  No comments were made    4. EXECUTIVE SESSION FOR THE PURPOSE OF DETERMINING POSITIONS RELATIVE TO MATTERS THAT MAY BE SUBJECT TO  NEGOTIATIONS, DEVELOPING STRATEGY FOR NEGOTIATIONS, AND/OR INSTRUCTING NEGOTIATORS, UNDER C.R.S. §24‐6‐ 402(2)(E) CONCERNING TOWN MANAGER CANDIDATES.  Mayor Smith Hymes made a motion to convene into Executive Session for the purpose of determining  positions relative to matters that may be subject to negotiations, developing strategy for negotiations,  and/or instructing negotiators, under C.R.S. §24‐6‐402(2)(e) concerning Town Manager candidates. Mayor  Pro Tem Phillips seconded the motion and the motion passed unanimously by Council members present.  Councilor Prince, Councilor Thuon, and Councilor Underwood were absent. The time was 10:04 a.m.    Councilor Prince arrived at 10:05 a.m.    Executive Session ended at 11:17 a.m.    5. ADJOURNMENT  There being no further business to come before the Council, Mayor Pro Tem Phillips made a motion to  adjourn the meeting. Councilor Wolf seconded the motion and the motion passed unanimously by Council  members present. Councilor Thuon and Councilor Underwood were absent. The time was 11:18 a.m.                            TOWN OF AVON, COLORADO  SPECIAL MEETING MINUTES FOR TUESDAY, FEBRUARY 19, 2019  AVON TOWN HALL, 100 MIKAELA WAY, AVON, CO 81620  Special Meeting Minutes 2/19/2019  Page 2      RESPECTFULLY SUBMITTED:          _________________________________        Preston Neill, Acting Town Manager    APPROVED:    Sarah Smith Hymes  ________________________________    Amy Phillips  ________________________________    Jake Wolf    ________________________________    Chico Thuon  ________________________________    Tamra N. Underwood ________________________________    Scott Prince    ________________________________    Jennie Fancher  ________________________________      WRITTEN REPORT  To:   Honorable Mayor Smith Hymes and Town Council  From:    Preston Neill, Acting Town Manager     Eric Heil, Town Attorney     Matt Pielsticker, Planning Director     Justin Hildreth, Town Engineer  Date:    February 26, 2019  Topic:    UPDATE ON PHASE I HAHNEWALD BARN PROJECT    SUMMARY  The purpose of this memorandum is to update Council on all aspects of Phase I of the Hahnewald Barn  Project. Town staff is working diligently to sort through all of the project elements, including determining  actual project costs.    Barn Moving:  1. Request for Proposals:  Staff does not intend to conduct a Requests for Proposals for the moving  company. Town Council is not required to conduct a Request for Proposals by the Procurement  Code because there are no state or federal funds involved. The moving company is required to  submit an application to Union Pacific Railroad (UPRR) to use the rail road right‐of‐way. UPRR has  stated that the permit application process takes about 60 days, therefore, the Town asked  Mammoth Movers to submit the permit application. Staff does not believe we can ask Mammoth  Movers to submit for a permit application while at the same time conduct a bid process to  consider other moving companies. Mammoth Movers was the recommended moving company  and consultant proposed by Anderson Hallas Architects, which was part of the schematic design,  option analysis and cost estimating work that the Town retained. Due to the specialized nature of  companies that can move large structures, potential companies that have been identified include:   Northwest Structural Moving in Scappoose, OR; Wolfe Housing & Building Movers, LLC in  Bernville, PA; Dingey Movers in Zaneville, OH; Anderson Building Movers in Paynesville, MN;  Marcus Building Movers in Raymond, MN; and S&W Building Movers in Swartz Creek, MI. None of  these other companies are close to Colorado while, Mammoth Movers is based in Parker, CO.     2. Contract Review: A contract from Mammoth Movers is currently under review by the Town  Attorney.  Allocation of risk, insurance and guarantees for delivery of the structure are important  terms that will be addressed in the contract.    3. Move Process:  We understand that the work to prepare the structure for moving will likely begin  as soon as the contract is approved at the March 12, 2019 Regular Council meeting.  The actual  move is expected to take a minimum of two weeks but could be longer due to weather or other  factors. The anticipated move date is between May 10 and May 31, 2019.    4. Undergrounding Powerlines: An agreement with Holy Cross Energy is in negotiations and new  easements will be required from the Town and the Eagle River Water and Sanitation District. The  work is budgeted at $80,000 and will be bid out to local contractors in accordance with the  Town’s procurement rules.    5. Union Pacific Railroad Permit Process:  Permit application to be submitted by moving company  (Mammoth Movers). UPRR recommends submitting the permit application 60 days prior to the  move. The application will be submitted once Mammoth Movers is under contract. Permit  approval is expected by the end of April.    6. Structural Investigation:  Staff is reaching out to other professional engineers who may have  inspected the structure to determine if there are any structural concerns of which we are not  aware.    7. Phase 1 Environmental Audit: Staff is soliciting a Phase 1 Environmental Inspection of the  structure.  This is a standard process for the acquisition of any property or structure that has any  non‐residential use. This work should be completed by May 1, 2019.  Environmental issues are not  anticipated; however, any environmental issues or hazardous materials will not be discovered  until six weeks after Mammoth Movers is hired, and nearly half of its scope of work is completed.     8. Conveyance: Staff has contacted the Eagle River Water and Sanitation District to discuss official  approvals and paperwork for conveyance of the structure to the Town of Avon. We anticipate  that the Town will be required to accept the building “as is” and will be required to indemnify the  District from any claims if there are any environmental issues that are discovered.     9. Extension of June 1, 2019 Deadline to Move Structure: The Eagle River Water and Sanitation  District has indicated that they will begin some preliminary work this summer to prepare the site  for their waste water plant expansion. Some extension of the deadline date may be possible;  however, the District has not indicated to what extent any extension beyond June 1, 2019 may be  granted. Staff does not intend to request any extension until we have a better idea of the timing  of permits and scheduling of other required work.     Phase I Design Work:   1. Anderson Hallas Architects: Staff is discussing the scope of the Phase 1 Design Work with  Anderson Hallas Architects and anticipates bring a contract with scope of work to the March 12,  2019 Regular Council meeting. The Scope of Design Work will be focused on determining the  specific site for the foundation, foundation design as appropriate today to accomplish Phase 1  and as may be efficient for potential future improvements, relocation of public utilities, and  limited landscaping and site restoration. A Request for Proposals is not planned for this additional  design work because the original Request for Proposals for architectural and design services  contemplated subsequent design work if Council desired to proceed with the project.    Demolition of Old Town Hall:    1. Estimated Cost: Currently, $600,00 is budgeted in 2020 for demolition of the old Town Hall.  The  demolition and asbestos abatement were priced at $369,467 and the remaining funds are to  replace utilities and restore the site.     2. Request for Proposals Process: There is value to grouping demolition and asbestos mitigation with  overall site grading and utility work under a single general contractor. If building demolition and  asbestos mitigation work is to be contracted separately, at minimum a site plan must be  developed, and earthwork quantities calculated prior to bidding in order to define how the site is  graded and how existing utilities are to be terminated.     Construction Manager:  1. Request for Proposals Process:  Staff will issue a Request for Proposals for a Construction Manager  by April 15, 2019. Staff recommends selecting a Construction Manager early in the design process  to promote greater accuracy in cost estimating as well as to incorporate advice from the  Construction Manager regarding design and where cost savings may be realized.  This is a similar  process that was used for the Avon Regional Transit Facility and Public Safety Facility.  It will take  approximately 60 days to advertise, interview and select a Construction Manager.      Historic Preservation Advisory Committee:   1. The Historic Preservation Advisory Board was created by Resolution No. 16‐26 and expired with  the end of the term of Mayor Fancher. Staff believes that the appointment of five members to the  Historic Preservation Advisory Committee, as set forth in the Avon Development Code, is more  appropriate. A solicitation for interest will be advertised and appointments included on the March  12, 2019 Regular Council meeting agenda.     Staff believes that the Historic Preservation Advisory Committee should commence the process to  designate the Hahnewald Barn as a historic and cultural landmark and should commence the  process to approve the relocation of a historic and cultural landmark, as contemplated in Chapter  7.50 of the Avon Development Code. Local historic and cultural landmark designation will be  important for various grant applications.    History Channel:  1. Matt Pielsticker, Planning Director, has reached out to Mary Davis from Mammoth Movers and  has not heard back regarding her contact at The History Channel. Liz Wood, Communications  Manager, reached out to The History Channel directly and was told that, as is customary  throughout the entertainment industry, The History Channel does not accept or review any  unsolicited materials received from individuals or organizations who are not represented by  agents, attorneys or productions companies know to The History Channel. Staff will continue  working to reach a representative of The History Channel to discuss this project. According to the  Nielsen ratings, total History Channel viewership in 2017 was 1,326,000.     Grant Funding:  1. Staff is currently exploring all available grant opportunities for this project, including the ones  depicted in the February 12, 2019 Council packet, as well as grant opportunities through the  National Endowment for the Humanities.     Supplemental Appropriation:  1. Based on the direction received during the February 12, 2019 Council meeting and to carryover  unexpended project budgets from 2018 to 2019, staff is currently working to prepare a budget  amendment for the Capital Projects Fund Budget. It is slated for Council review and action at the  March 12, 2019 Council meeting.       1 | Page       WRITTEN REPORT    To: Mayor Sarah Smith Hymes & Avon Town Council  From: Greg Daly, Chief of Police  Date: February 26, 2019  Topic: POLICE DEPARTMENT DISPOSITION ON FORFEITED PROPERTIES FOR 2018      In accordance with Avon Town Resolution 2000‐12, “Section 4. The committee shall, each year, submit a  written report to the Town Council concerning forfeited moneys or property received during the year  and an accounting of how such monies were expended during the year.”    The forfeited monies in the Forfeiture Account can only be used for law enforcement training or  equipment expenditures only. These monies accrue from adjudicated criminal cases or through civil  forfeiture processes.    The opening balance for 2018 was $6,051.02. There were no expenditures to this account in 2018. There  were seven additions totaling $35.92 from multiple old cases that were dispositioned by the District  Attorney’s Office. The closing balance for 2018 was $6,086.94.    Respectfully Submitted,       Greg Daly  Chief of Police        TOWN COUNCIL REPORT  To:   Honorable Mayor Sarah Smith Hymes and Avon Town Council  From:    Justin Hildreth, Town Engineer     Meeting Date: February 26, 2019  Topic:   BEAVER CREEK BOULEVARD STREETSCAPE IMPROVEMENTS PROJECT UPDATE        Construction of the Beaver Creek Blvd Streetscape Improvements Project will resume on April 15, 2019 with  landscaping and irrigation work on the west side of Avon Road and demolition to the east. Staff has  met with the contractor, Hudspeth & Associates, Inc., and completion by late summer is anticipated.   The Project will periodically restrict access and require temporary lane closures or one‐way traffic on  East Beaver Creek Boulevard during construction. Outreach to citizens, businesses, and emergency  services will be coordinated by Staff and the Contractor.                   TOWN COUNCIL REPORT To: Honorable Mayor Sarah Smith Hymes and Avon Town Council From: Nelly Burns, Senior Accountant Meeting Date: February 26, 2019 Agenda Topic: Fiscal Year 2018 Financial Report –December 2018 SUMMARY Revenues SALES TAX • Sales tax revenue for the month of December totaled $1,264,626.23, a 6.84% increase from the previous year and a 1.40% negative variance over the original cumulative monthly budgets, which is based on the average of the relative monthly percentages of taxes collected over a 5-year period. • Monthly sales tax collections by industry compared to one year ago have increased $36,476.22 for home/garden, $28,262.26 for grocery/specialty/health, $835.15 for liquor stores, $18,477.86 for sporting goods retail/rental and $8,568.64 for restaurants and bars and $58,961.05 for other businesses. Monthly sales tax collections have decreased ($5,722.53) for miscellaneous retail, ($6,068.88) for accommodations, and ($52,730.13) for service related businesses. • Year-to-date sales tax revenues through December have increased 4.65% over the previous year, which is $374,353.05 over the previous year and $206,813 over original budget estimates. - 50,000.00 100,000.00 150,000.00 200,000.00 250,000.00 300,000.00 350,000.00 400,000.00 Sales Tax Comparison by Industry Dec-17 Dec-18 New and Renewed Business, Contractor & Sales Tax Licenses December Business License - Fixed Location 26 Business License - Home Occupation 5 Business License - Short Term Accommodation 23 Business License - Vendor 72 Contractor License 14 Liquor License 2 Sales Tax License 39 Grand Total 181 ACCOMMODATIONS TAX • Accommodations tax revenue for month of December totaled $185,008.67, a 2.37% decrease from the previous year and a 10.07% negative variance from the original cumulative monthly budgets, which is based on the average of the relative monthly percentages of taxes collected over a 5-year period. • Monthly accommodations tax collections increased $957.83 for time shares and increased $4,040.73 for vacation rentals, and collections decreased $9,495.57 for hotels compared to December 2017. • Year-to-date accommodation tax revenues through December have increased .03% from the previous year and is a positive variance compared to original budget estimates. REAL ESTATE TRANSFER TAX • Real estate transfer tax collections for the month of December totaled $196,105.45, a decrease of 13.96% from the previous year and a negative variance of 62.70% over the original cumulative - 20,000.00 40,000.00 60,000.00 80,000.00 100,000.00 120,000.00 Time Shares Hotels Vacation Rentals Accommodation Tax by Type Dec-17 Dec-18 monthly budgets, which is based on average of the relative monthly percentages of taxes collected over a 5-year period. Real Estate Transfer Tax (RETT) Transactions December RETT transactions without Exemptions 9 RETT Exemptions - Residential 1 RETT Exemptions - Full 10 Grand Total 20 • Year-to-date RETT collections are $3,360,176.46 which is over the year-to-date estimated revenues by 12.01%. RECREATION CENTER ADMISSIONS • December’s admission fees totaled $186,941.10 a 10.02% increase from the previous year which was largely due to a promoted one-day 23rd Anniversary sale in which punch cards were sold at the 1995 pricing. This is a 40.59% positive variance compared to the monthly budget, which is based on average of the relative monthly percentages of taxes collected over a 5-year period. • Year-to-date admission collections totaled $985,756.54 which is the best year since 2007 and an increase of 2.35% from the previous year. Expenditures • General Fund expenditures through December 2018 total 98.32% of the 2018 revised budget. These expenditures include insurance premiums, computer services, events, community grants, equipment replacement, contract services, janitorial and legal services. • Fleet expenditures through December are at 105.46% of the total budget. These costs include expenditures of stock parts, fleet maintenance, debt service interest, and insurance premiums. • Mobility funds are 98.11% expended as of December compared to the annual budget. These expenditures include costs of diesel, fleet maintenance, equipment replacement, capital lease payments, and insurance premiums. TOWN OF AVONSALES TAX 2018 Actual vs. Budget Budget YTD Collections Budget % of change2013 2014 2015 2016 2017 2018 2018 Variance from 2017January 677,943.78$ 638,863.27$ 765,195.68$ 743,689.78$ 792,562.03$ 800,993.89 825,816.08$ 24,822.19$ 4.20%February 636,702.27 673,722.03 788,999.06 774,754.00 798,923.33 813,135.50 785,412.03 (27,723.47) -1.69%March 720,267.31 793,301.96 875,499.53 945,795.71 918,657.55 941,626.72 1,014,399.70 72,772.98 10.42%April 307,407.13 381,839.56 403,560.42 438,198.18 425,727.85 433,173.31 394,986.15 (38,187.16) -7.22%May 309,938.72 340,332.28 353,840.11 404,872.55 394,689.30 399,289.49 418,628.58 19,339.09 6.07%June 490,329.18 538,517.31 570,424.51 693,675.00 650,794.65 651,672.85 757,498.52 105,825.67 16.40%July 537,479.66 570,959.86 601,516.82 690,342.23 682,024.81 682,351.71 696,374.00 14,022.29 2.10%August 504,332.25 547,085.80 572,647.57 593,398.26 618,515.44 627,817.11 639,569.12 11,752.01 3.40%September 475,362.88 546,016.59 595,235.68 667,949.51 690,883.92 658,692.22 680,720.64 22,028.42 -1.47%October 356,925.96 417,921.46 423,701.53 451,303.71 458,645.68 466,770.44 490,977.90 24,207.46 7.05%November 362,460.94 397,935.36 438,315.55 445,336.04 435,975.05 460,466.68 456,409.92 (4,056.76) 4.69%December981,917.79 1,221,263.98 1,159,160.45 1,247,832.82 1,183,666.21 1,282,616.07 1,264,626.23 (17,989.84) 6.84% Total6,361,067.87$ 7,067,759.46$ 7,548,096.91$ 8,097,147.79$ 8,051,065.82$ 8,218,606$ 8,425,418.87$ 206,812.87$ 4.65%Actual Collections$1,100,000$1,120,000$1,140,000$1,160,000$1,180,000$1,200,000$1,220,000$1,240,000$1,260,000$1,280,0002014 2015 2016 2017 2018YearSales Tax Collections for December TOWN OF AVONACCOMMODATIONS TAX 2018 Actual vs. Budget Budget YTD Collections Budget % change % change 2013 2014 2015 2016 2017 2018 2018 Variance 2017 to budgetJanuary 108,508.43$ 129,851.78$ 164,361.04$ 168,424.63$ 190,207.82$ 176,321$ 181,588.99$ 5,268.45$ -4.53% 2.99%February 137,503.61 150,317.06 175,056.31 185,370.53 194,804.88 195,241 186,147.24 (9,093.75) -4.44% -4.66%March 153,208.80 168,597.39 183,650.29 217,387.54 201,008.55 213,953 206,783.36 (7,170.00) 2.87% -3.35%April 26,494.49 31,626.02 34,825.13 60,916.55 38,340.02 44,512 33,275.27 (11,236.49) -13.21% -25.24%May 24,527.17 21,961.97 28,002.56 37,357.48 39,961.98 35,158 42,618.10 7,460.43 6.65% 21.22%June 66,578.91 54,232.23 53,397.46 73,591.08 83,723.31 76,777 94,803.78 18,026.97 13.23% 23.48%July 73,008.92 81,083.01 86,301.22 107,595.18 119,300.76 108,219 119,458.02 11,239.38 0.13% 10.39%August 67,688.07 71,044.33 75,107.71 87,674.05 100,628.23 93,131 98,193.15 5,061.72 -2.42% 5.44%September 44,661.37 50,840.16 60,417.74 68,139.11 81,837.60 70,842 85,257.82 14,415.92 4.18% 20.35%October 27,154.53 34,977.59 38,706.72 45,738.23 48,223.10 45,113 53,236.86 8,123.44 10.40% 18.01%November 28,171.04 32,064.02 34,328.47 37,570.50 46,397.08 41,346 47,934.88 6,589.18 3.31% 15.94%December 131,361.43 168,944.85 198,421.26 200,114.56 189,505.28 205,731 185,008.67 (20,722.10) -2.37% -10.07% Total888,866.77$ 995,540.41$ 1,132,575.91$ 1,289,879.44$ 1,333,938.61$ 1,306,343$ 1,334,306.14$ 27,963.14$ 0.03%2.14%Actual Collections $150,000 $155,000 $160,000 $165,000 $170,000 $175,000 $180,000 $185,000 $190,000 $195,000 $200,000 $205,0002014 2015 2016 2017 2018Accommodations Tax Collections for December Town of Avon Real Estate Transfer Tax 2018 Actual vs. Budget Budget YTD Collections $ Change % of Change % change 2013 2014 2015 2016 2017 2018 2018 2017 2017 to budget 22,535.00$ 85,126.74$ 48,640.40$ 64,422.00$ 107,390.00$ 63,333.95$ 264,063.20$ 156,673.20$ 145.89%316.94% 55,872.69 562,219.70 85,479.08 200,850.86 270,815.26 226,849.22 269,578.51 (1,236.75) -0.46%18.84% 125,927.64 50,375.06 168,744.22 265,061.65 254,737.53 166,936.17 344,556.74 89,819.21 35.26%106.40% 144,437.80 197,656.36 125,266.30 159,046.06 249,938.93 169,155.82 122,312.21 (127,626.72) -51.06%-27.69% 121,784.12 183,745.60 237,971.08 184,987.10 377,490.82 213,480.58 351,236.93 (26,253.89) -6.95%64.53% 90,309.74 220,009.15 294,434.84 307,127.24 703,419.85 311,792.04 343,140.71 (360,279.14) -51.22%10.05% 386,434.78 141,051.52 396,838.68 259,977.94 219,208.74 270,911.62 272,420.41 53,211.67 24.27%0.56% 97,579.70 154,032.32 152,380.93 186,483.40 592,467.49 228,336.71 343,249.80 (249,217.69) -42.06%50.33% 157,010.67 267,886.92 291,223.61 321,957.68 423,013.80 282,026.15 311,022.50 (111,991.30) -26.47%10.28% 169,839.80 178,044.24 172,855.22 641,688.59 497,642.58 320,433.66 330,671.24 (166,971.34) -33.55%3.19% 112,491.82 122,582.66 169,328.38 315,109.37 425,402.80 220,996.23 211,818.76 (213,584.04) -50.21%-4.15% 83,382.60 1,598,062.92 225,862.90 588,514.66 227,918.50 525,747.86 196,105.45 (31,813.05) -13.96%-62.70% 1,567,606.36$ 3,760,793.19$ 2,369,025.64$ 3,495,226.55$ 4,349,446.30$ 3,000,000$ 3,360,176.46$ (989,269.84)$ -22.74%12.01% Budget 3,000,000.00 Variance, Favorable (Unfavorable)360,176.46$ Actual Collections $- $500,000.00 $1,000,000.00 $1,500,000.00 $2,000,000.00 $2,500,000.00 $3,000,000.00 $3,500,000.00 $4,000,000.00 $4,500,000.00 $5,000,000.00 2014 2015 2016 2017 2018 Real Estate Transfer Tax Collections TOWN OF AVON RECREATION CENTER ADMISSION FEES 2018 Actual vs. Budget Budget YTD Collections Budget % of change % change 2013 2014 2015 2016 2017 2018 2018 Variance from 2017 from Budget January 70,039.90$ 62,607.00$ 64,723.00$ 74,674.00$ 74,674.20$ 77,079.24$ 88,582.09$ 11,502.85$ 18.62%14.92% February 68,578.10 63,838.00 68,506.00 86,342.00 93,365.80 84,618.21 75,952.60 (8,665.61) -18.65%-10.24% March 72,616.10 77,902.00 81,664.00 76,023.00 84,085.80 87,210.57 79,071.20 (8,139.37) -5.96%-9.33% April 64,370.00 61,760.00 55,452.00 67,398.00 62,435.00 69,230.97 61,817.56 (7,413.41) -0.99%-10.71% May 35,063.70 43,119.00 50,067.40 54,337.00 61,441.70 54,250.28 50,252.60 (3,997.68) -18.21%-7.37% June 46,194.30 55,052.00 58,430.50 58,044.00 63,459.20 62,509.40 62,135.02 (374.38) -2.09%-0.60% July 71,491.30 61,472.00 66,399.80 65,873.60 82,539.70 77,314.51 72,441.00 (4,873.51) -12.23%-6.30% August 57,328.80 63,233.00 66,388.60 76,558.30 66,543.40 73,374.21 75,573.10 2,198.89 13.57%3.00% September 43,829.00 36,846.00 44,719.00 49,017.70 48,278.60 49,506.50 49,315.70 (190.80) 2.15%-0.39% October 48,803.00 75,818.00 61,167.00 51,833.00 59,233.83 65,994.09 56,692.77 (9,301.32) -4.29%-14.09% November 93,822.00 29,570.00 71,384.00 72,114.00 97,193.40 80,939.74 126,981.80 46,042.06 30.65%56.88% December 69,258.00 77,672.00 112,201.00 169,092.78 169,912.58 132,972.28 186,941.10 53,968.82 10.02%40.59% Total 741,394.20$ 708,889.00$ 801,102.30$ 901,307.38$ 963,163.21$ 915,000$ 985,756.54$ 70,756.54$ 2.35%7.73% Actual Collections $- $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 $140,000 $160,000 $180,000 $200,000 2014 2015 2016 2017 2018 Recreation Center Admissions -December Dept./Div.2018 Encumbrances Year To Date Available Number Description Budget Outstanding Expenditures Balance YTD/Budget General Government: 111 Mayor and Town Council 232,288$ -$ 222,654$ 9,634$ 95.85% 112 Boards and Commissions 16,049 - 16,135 (86) 100.54% 113 Town Attorney 132,000 - 140,170 (8,170) 106.19% 115 Town Clerk 118,313 - 112,350 5,963 94.96% 121 Municipal Court 148,899 - 153,491 (4,592) 103.08% 131 Town Manager 363,558 - 343,343 20,215 94.44% 133 Community Relations 196,416 - 200,016 (3,600) 101.83% Total General Government 1,207,523 - 1,188,159 19,364 98.40% Human Resources Department: 132 Human Resources 461,613 - 466,664 (5,051) 101.09% Finance & IT Department: 141 Finance 960,219 - 946,697 13,522 98.59% 143 Information Systems 387,291 - 389,677 (2,386) 100.62% 149 Nondepartmental 601,347 - 603,310 (1,963) 100.33% Total Finance & IT 1,948,857 - 1,939,684 9,173 99.53% Total General Gov't Departments 3,617,993 - 3,594,507 23,486 99.35% Community Development: 212 Planning 296,038 - 285,212 10,826 96.34% 213 Building Inspection 150,591 - 150,211 380 99.75% 215 Town Produced Events 274,579 - 232,629 41,950 84.72% 216 Signature Event Seed Funding 366,620 - 402,928 (36,308) 109.90% 217 Community Grants 200,034 - 188,902 11,132 94.43% 218 Salute to the USA 97,000 - 78,762 18,238 81.20% Total Community Development 1,384,862 - 1,338,644 46,218 96.66% Police Department: 311 Administration 795,442 - 762,561 32,881 95.87% 312 Patrol 2,648,142 - 2,639,021 9,121 99.66% 313 Investigations 296,762 - 291,620 5,142 98.27% Total Police 3,740,346 - 3,693,202 47,144 98.74% Public Works: 412 Engineering 249,063 - 241,357 7,706 96.91% 413 Roads and Bridges 2,246,203 - 2,136,894 109,309 95.13% 415 Parks 648,067 - 562,595 85,472 86.81% 418 Buildings & Facilities 1,212,135 - 1,168,000 44,135 96.36% Total Public Works 4,355,468 - 4,108,846 246,622 94.34% Recreation Department: 514 Administration 227,560 - 231,068 (3,508) 101.54% 515 Adult Programs 61,393 - 61,690 (297) 100.48% 516 Aquatics 509,851 - 594,022 (84,171) 116.51% 518 Fitness 140,387 - 156,099 (15,712) 111.19% 519 Guest Services 319,070 - 330,845 (11,775) 103.69% 521 Youth Programs 149,034 - 165,806 (16,772) 111.25% 523 Community Swim Program 57,319 - 43,371 13,948 75.67% Total Recreation 1,464,614 - 1,582,902 (118,288) 108.08% TOTAL OPERATING EXPENDITURES 14,563,283$ -$ 14,318,101$ 245,182 98.32% Department Expenditure Summaries General Fund December 2018 Expenditures to Date Dept./Div.2018 Encumbrances Year To Date Available Number Description Budget Outstanding Expenditures Balance YTD/Budget EXPENDITURES Public Works: 434 Fleet Maintenance 1,723,855$ -$ 1,817,925$ (94,070)$ 105.46% Total Operating Expenditures 1,723,855 - 1,817,925 (94,070) 105.46% TOTAL EXPENDITURES 1,723,855$ -$ 1,817,925$ (94,070)$ 105.46% Expenditure Summary Fleet Maintenance Enterprise Fund December 2018 Expenditures to Date Dept./Div.2018 Encumbrances Year To Date Available Number Description Budget Outstanding Expenditures Balance YTD/Budget EXPENDITURES 431 Transit Administration 277,084$ -$ 264,848$ 12,236$ 95.58% 432 Transit Operations 1,319,418 - 1,313,456 5,962 99.55% 436 Wash Bay 1,774,242 - 1,728,869 45,373 97.44% Total Operating Expenditures 3,370,744 - 3,307,173 63,571 98.11% TOTAL EXPENDITURES 3,370,744$ -$ 3,307,173$ 63,571$ 98.11% Expenditure Summary Mobility Enterprise Fund December 2018 Expenditures to Date Heil Law & Planning, LLC E-Mail: ericheillaw@gmail.com HEIL LAW & PLANNING, LLC MEMORANDUM TO: Honorable Mayor Smith Hymes and Town Council members FROM: Eric J. Heil, Town Attorney RE: Disclosure of Potential Conflict of Interest Question DATE: February 22, 2019 SUMMARY: Council member Amy Phillips contacted me to ask if there were any conflict of interest issues associated with her renting the Avon Performance Pavilion (“Pavilion”) from the Town of Avon. I do not believe any direct conflict of interest issues exist for the reasons described below. Under the Avon Town Code of Ethics, a conflict of interest determination is made by Council and any Council member can raise a potential conflict of interest issue for discussion. Avon’s Town Code of Ethics is more stringent that other municipal codes of ethics and Avon’s practice has been to disclose any potential conflict of interest. This memorandum is presented as a written report to Council. If any Council member desires to discuss this memorandum or a potential conflict of interest, then the appropriate action would be to request to pull this item from written reports and add this as a discussion item at the time of approving the Council agenda. CONFLICT OF INTEREST ANALYSIS: Council member Phillips asked whether there was a conflict of interest issue in the Town Code of Ethics concerning her renting the Pavilion for a private event as part of her private event management business. I don't believe there is a conflict of interest with the act of a Council member renting the Pavilion in the course of private business. AMC 2.30.120 Public Contracts prohibits all contracts without exception between Town Officers (including elected officials) when the Town Officer is receiving compensation for the provision of goods or services to the Town, and prohibits vendor permit or privilege to conduct commercial business on Town property to a Town Officer. I do not interpret this prohibition as applying to the rental of the Pavilion or other Town property by a Council member because such rental does not involve a Council member receiving compensation from Town, the Council member is not providing a service to the Town, the Council member is not receiving a vendor permit, and the "conduct of commercial business on Town property" is only tangential (i.e. the Council member is not conducting a commercial business on Town property open to the general public, like, for example, renting Town property to rent paddle boards or sell food to patrons in the Park). There are other considerations. The general guidance for any matter concerning potential Conflicts of Interest is to start with disclosure to the Avon Town Council. In addition to the question of renting the Avon Performance Pavilion as part of a private event management business, Councilor Phillips also operates a booth at the Avon Lake Street Farmer's Market (for which I have previously said there is not a conflict of interest because Derek George is contracting with the Town, not Councilor Phillips). Councilor Phillips has two roles which may raise other considerations, including voting on Council on any matters related to the Avon Performance Pavilion and/or the Lake Street Market, and Councilor Phillips anticipated continued participation on the CASE committee. AMC 2.30.060(2) defines a conflict of interest as "Engage in a substantial financial transaction for his or her private business purposes with a person whom such officer inspects or supervises in the course of his or her official duties." Technically, the CASE Committee is advisory, so Councilor Phillips is not "inspecting or supervising" the events staff as a CASE Committee member. The Avon Council and I have previously recognized that Council members have the right to work with staff in the normal course of a Council member's business, which has come up most commonly with building permits and development applications for construction and development projects and finance department with regard to short term rentals and business licensing. Lastly, there is the catch-all AMC 2.30.060(8) that Town Officers shall not, "Perform any official act under circumstances which give rise to Avon Town Council RE: Potential Conflict of Interest re: Pavilion Rental February 22, 2019 Page 2 of 2 appearance of impropriety on the part of the officer." Councilor Phillips is not performing an official act by renting the Pavilion or conducting a booth at Lake Street Market. Rather, this consideration would only arise when acting as Council member on matters concerning the Pavilion or Lake Street Market. AMC 2.30.120 Public Contracts is re-printed as follows: 2.30.120 - Public contracts. (a) The Town shall not enter into any contract with a Town Officer (including spouse or minor children of the Town Officer) to provide any compensation from the Town for the provision of goods or services and shall not approve any vendor permit or privilege to conduct commercial business on Town property during such officer's term, appointment or employment with the Town; provided that this restriction shall not apply to compensation provided to any Town Officer for performance of official duties for the Town. This section shall not operate to restrict the Town from entering into contracts or approving vendor permits and privileges to an organization which employs a Town Officer if such Town Officer is not an owner or controlling officer of such organization that receives such compensation, permits or privileges and such Town Officer declares a conflict of interest in accordance with Section 2.30.060(3) and does not participate in any Town decision related to such public contract. For the purposes of this section, ownership in an organization shall include any ownership interest that is greater than one percent (1%). (b) The provisions of Subsection (a) above shall not apply to: (1) Investments or deposits in financial institutions which are in the business of loaning or receiving money; or, (2) With respect to which the Town Officer has voted therein in accordance with Section 2.30.100. (3) Contracts with, or compensation provided to, members of advisory commissions, committees and boards if the subject matter of such contract or compensation does not relate to the subject matter or advisory role of the commission, committee or board. (c) It shall be a violation of this Chapter for any Town Officer to enter into a contract with the Town or receive compensation or receive vendor permits or privileges from the Town in violation of this section. (d) Any contract approved by the Town or vendor permit or privilege granted by the Town in violation of this section shall be unenforceable against the Town. REQUESTED COUNCIL ACTION: No Council action is requested; however, pursuant the Avon Town Code of Ethics, any Council member may request discussion of this matter and may request a determination of whether a conflict of interest exists. Thank you, Eric     WRITTEN REPORT  To:   Honorable Mayor Smith Hymes and Town Council  From:    Preston Neill, Acting Town Manager  Date:    February 26, 2019  Topic:    TOWN OF AVON NEWSLETTER    SUMMARY  Mayor Sarah Smith Hymes has expressed interest in seeing the Town of Avon produce a regular Town  newsletter. The newsletter would provide updates on Town programs, projects, initiatives and  happenings. Options for publication frequency include quarterly, bi‐monthly or monthly. If there is any  interest in furthering the conversation about this topic, please raise it for discussion during the Council  meeting.     1 PZC Abstract – February 19, 2019     Planning & Zoning Commission  Meeting Abstract   Tuesday, February 19, 2019      I. Call to Order – The meeting was called to order at 5:00pm.    II. Roll Call – All commissioners were present except for Commissioner Dammeyer.    III. Additions & Amendments to the Agenda – There were no additions or amendments to the agenda.    IV. Conflicts of Interest – No conflicts of interest were disclosed.     V. Major Design Plans and Alternative Equivalent Compliance –2177 Saddle Ridge Loop ‐ PUBLIC HEARINGS    A. North Home  File:     MJR19002 and AEC19001         Applicant:     Jeff Manley, Martin Manley Architects    Property:  Lot 22A, Block 1, Wildridge Subdivision  Owner:    2177 Saddle ridge Loop LLC, Brandt Marott   Summary:   Application for a new single‐family home.  An AEC was required for the roof pitch.   Action:  Commissioner Howell motioned approve AEC19001 with the following Findings:   1. The proposed application was reviewed pursuant to §7.16.080(f), Development Plan,  §7.16.090(f), Design Review, and §7.16.120 Alternative Equivalent Compliance;  2. The AEC achieves the intent of the roof design standard to the same or better degree  than the subject standard;  3. The AEC achieves the goals and policies of the Avon Comprehensive Plan to the same  or better degree than the roof design standards, including Policy A.1.5;  4. The AEC results in benefits to the community that are equivalent to compliance with  the roof design standards; and  5. By limiting the height of the building, the AEC imposes no greater impacts on  adjacent properties than would occur through compliance with the specific  requirements of the Avon Development Code.     Commissioner Golembiewski seconded the motion and it carried 4‐2.  Action: Commissioner Howell motioned to approve MJR19002 with the following Findings  and Conditions:  Findings:   1. The proposed application was reviewed pursuant to §7.16.080(f), Development Plan,   §7.16.090(f), Design Review. The design meets the development and design  standards established in the Avon Municipal Code;  2. The application is complete;  3. The application provides sufficient information to allow the PZC to determine that  the application complies with the relevant review criteria;  4. The application complies with the goals and policies of the Avon Comprehensive  Plan;  5. The demand for public services or infrastructure exceeding current capacity is  mitigated by the application; and  6. The design relates the development to the character of the surrounding community.   Conditions:    2 PZC Abstract – February 19, 2019   1. Any irrigated area located on the north side of the property shall be reseeded with  native seed and removed from permanent irrigation; and  2. The spruce tree shall be installed so the crown does not come within ten (10) feet of  the house.       Commissioner Golembiewski seconded the motion and it carried 5‐1.      B. South Home  File:     MJR19003 and AEC19002         Applicant:     Jeff Manley, Martin Manley Architects    Property:  Lot 22B, Block 1, Wildridge Subdivision  Owner:    2177 Saddle ridge Loop LLC, Brandt Marott   Summary:   Application for a new single‐family home.  An AEC was required for the roof pitch.    Action:  Commissioner Barnes motioned approve AEC19002 with the following Findings:   1. The proposed application was reviewed pursuant to §7.16.080(f), Development Plan,  §7.16.090(f), Design Review, and §7.16.120 Alternative Equivalent Compliance;  2. The AEC achieves the intent of the roof design standard to the same or better degree  than the subject standard;  3. The AEC achieves the goals and policies of the Avon Comprehensive Plan to the same  or better degree than the roof design standards, including Policy A.1.5;  4. The AEC results in benefits to the community that are equivalent to compliance with  the roof design standards; and  5. By limiting the height of the building, the AEC imposes no greater impacts on  adjacent properties than would occur through compliance with the specific  requirements of the Avon Development Code.     Commissioner Howell seconded the motion and it carried 5‐1.  Action: Commissioner Barnes motioned to approve MJR19003 with the following Findings  and Conditions:  Findings:   1. The proposed application was reviewed pursuant to §7.16.080(f), Development Plan,  §7.16.090(f), Design Review.  The design meets the development and design  standards established in the Avon Development Code;  2. The application is complete;  3. The application provides sufficient information to allow the PZC to determine that  the application complies with the relevant review criteria;  4. The application complies with the goals and policies of the Avon Comprehensive  Plan;  5. The demand for public services or infrastructure exceeding current capacity is  mitigated by the application; and  6. The design relates the development to the character of the surrounding community.  Conditions:  1. The spruce tree shall be installed so the crown does not come within ten (10) feet of  the house; and  2. Windows that are approved by town staff may be added to the north elevation  above the kitchen cabinet area.       Commissioner Howell seconded the motion and it carried 5‐1.    VI. Code Text Amendments – CONTINUED PUBLIC HEARING   3 PZC Abstract – February 19, 2019   File:      CTA19001   Applicant:     Town of Avon   Summary:   Code amendments are proposed for the following items: Alternative Design  (formerly Alternative Equivalent Compliance); Inclusionary Zoning; Development  Bonus; Short‐term Rentals; Roof Design; and Wildfire Mitigation.    Public Comment: Ruth Bourne commented on the application.    Action: Commissioner Barnes motioned to approve the application with the following  Findings and Condition:  Findings:   1. The application is complete;   2. The application provides sufficient information to allow the reviewing authority to  determine that the development application complies with the relevant review  criteria;   3. The text amendments were reviewed with the criteria listed in Avon Municipal Code  Section 7.16.040(c), Review Criteria, and are found to be in substantial compliance as  outlined in the staff report for the February 5 and 19, 2019 public hearings;  4. The text amendments promote the health, safety, and general welfare of the Avon  Community;  5. The text amendments promote and implement the goals and policies of the Avon  Comprehensive Plan;  6. The text amendments implement the Avon Community Housing Plan by providing  inclusionary housing requirements for new development;  7. The text amendments promote and implement the purposes stated in the  Development Code, including Section 7.04.030 (n), by achieving a diverse range of  attainable housing types and price points to serve a diverse and stable full‐time  residential community;   8. The Lot C, Avon Center at Beaver Creek property provided twenty (20) perpetually  deed‐restricted dwelling units on the property at the initial stage of development, as  required by the original PUD and before a rezoning took place; and   9. The text amendments are necessary and desirable to respond to changed conditions  and new planning concepts.     Condition:  1. Town staff and the Lot C owners will work together to recognize and offset deed  restricted dwelling units in the ordinance.      The motion carried unanimously 6‐0.   VII. Consent Agenda  A – February 5, 2018 Meeting Minutes  B – MJR19001 – Major Design and Development Plan Record of Decision    Action: Commissioner Golembiewski motioned to approve the Consent Agenda.   Commissioner Howell seconded the motion and it carried 5‐0 with Commissioner  Hardy abstaining.             VIII. Adjourn ‐ The meeting was adjourned at 6:40.