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HomeMy WebLinkAboutPACKET Town Board Study SessionInformal discussion among Trustees and staff concerning agenda items or other Town matters may occur before this meeting at approximately 4:00 p.m. Town Board of Trustees Study Session Tuesday, July 14, 2026, from 4:15 p.m. – 6:45 p.m. Town Hall Board Room, 170 MacGregor Ave, Estes Park Accessibility Statement The Town of Estes Park is committed to providing equitable access to our services. Contact us if you need any assistance accessing material at 970-577-4777 or townclerk@estes.org. Meeting Participation This meeting will be streamed live and available on the Town YouTube page. Click on the following link for more information on Digital Accessibility. Public Comment Public comments are not typically heard at Study Sessions, but may be allowed by the Mayor with agreement of a majority of the Board. Agenda 4:15 p.m. Water Rate Study Presented by Director Bergsten 4:55 p.m. Housing Definitions and Density Bonuses in the Development Code Presented by Manager Speedlin 5:55 p.m. Break for Dinner 6:00 p.m. Draft Code Amendment for Neighborhood Meetings Presented by Director Careccia 6:35 p.m. Trustee and Administrator Comments and Questions 6:40 p.m. Future Study Session Agenda Items 6:45 p.m. Adjourn for the Town Board Meeting The Town of Estes Park is committed to providing equitable access to our services. Contact us if you need any assistance accessing material at 970-577-4777 or townclerk@estes.org. Report To: Honorable Mayor Hall & Board of Trustees Through: Town Administrator Machalek From: Reuben Bergsten, Director; Jacqueline Wesley, P.E., Project Manager; and Jason Fredricks, Water Superintendent Department: Utilities Date: July 14, 2026 Subject: Water Rate Study Update Objective: The Staff objective is to provide preliminary rate study findings to the Board and receive initial feedback regarding the water rate structure and public engagement plan. New rates will be proposed at a future Town Board meeting. Present Situation: The Town’s last water rate study was completed in 2019/2020 and our last water rate increase was in 2022. Typically, rate studies are completed every three years or at major changes in capital planning. Our "tap fees", aka system development and water rights fees, have not been reviewed or adjusted since 2016. Adjustments to our tap fees are include in the second phase of the rate study. The Water Master Plan identified the need for significant capital investment to support updating and replacing our aging water infrastructure. The Town contracted with AE2S (Resolution 88-25) to complete a multi-phase water rate study and update our water rates for consideration by the Board. AE2S is using the Master Plan's prioritized projects and estimated cost to determine water rate impacts to our customers. The rate study includes future capital project financing to fund the recommended improvements within the water system. Proposal: Staff propose obtaining Board feedback on our public outreach, public hearings, prior to staff's proposed water rate changes to be presented at a future Board meeting. Advantages: • Early feedback from the Board will help guide staff and our consultant in finalizing the rate model and implementing public outreach. • Staff and our consultant can inform the Board and public of future proposed rates and adjust the approach depending on Board input. Disadvantages: • Rate information may change from this report to the final rate study; however, the changes are not expected to be significant and will address Board and potential customer questions prior to the public hearings. Action Recommended: Staff seek input from the Board regarding the rate model, recommended rate adjustments, and public information/input plan. Finance/Resource Impact: Not applicable Level of Public Interest: Moderate, expected to increase with rate implementation Attachments: 1. Presentation Water Rate Study –Phase 1 Town Board Study Session Town of Estes Park July 14, 2026 Attachment 1 2 Today’s Discussion ▪Background and Needs ▪Expenses o Operating Budget o Capital Improvement Plan (CIP) o Water Treatment Plant (WTP) ▪Revenues ▪Rate Projections ▪Regional Comparisons ▪Preliminary Considerations ▪Next Steps 3 Previous Work ▪Foundational Work o 2019 Rate Study o 2020-2022 Rate Schedule o 2016 Tap Fee Schedule o YMCA Agreement o Water Master Plan ▪Future Challenges Exist o Inflation and Cost-Escalation o Deferred Maintenance o Major System Improvements o Limited Growth Projections o Rollback of State/Federal Funding 4 Study Objectives (the Why) Ensure Reliable Utility Operation Sustainable Utility Financial Plan Water Master Plan Implementation Set Fair and Equitable Rates 5 The Why…. “Town eyes major water system overhaul that could lead to rate increases” - Estes Valley Voice – June 22, 2026 Master Plan Implementation Range: $110M (Low) to $150M (High) 6 Study Scope (the How) ▪Current Phase 1: Multi-Year Revenue Adequacy o Review and Analyze Data o Complete Revenue Adequacy Evaluation o Develop Rate Revenue Adjustment Recommendations o Town Board Coordination and Input ▪Future Phase 2: Optimize Internal Revenue Sources o Tap Fees, Rate Structure, Cost of Service, Alt. Revenue Sources ▪Future Phase 3: Pursue External Funding o Detailed Assessment of WTP Project Co-Funding Strategy 7 Building the Study – Planning Scenarios ▪What is known: ▪Rate increases have not been implemented since 2022 ▪Capital needs are significant ▪Planning for revenue increase needs is imminent ▪Planning must account for potential variability ▪What is Unknown: ▪Detailed design and final recommendations on facility sizing, timing, and expected costs are not certain at this time ▪Exact implementation plans and final costs are yet to be developed 8 Building the Study – Planning Scenarios ▪How do we address uncertainty? ▪Flexible model has been built to evaluate potential range of revenue increases necessary ▪Evaluation has included “High/Low” future Master Plan implementation scenarios ▪We have been working with Town staff to plan for the higher costs, but be able to adapt to better circumstances should they be realized 9 ▪Scenario Construction: ▪$40M to $50M of capital cost variability has been estimated to date for the proposed Master Plan implementation ▪Range of $110M to $150M in capital needs in the next 10-years ▪Rate revenue increases are needed regardless of the “High” or “Low” scenario ▪Building revenue increase strategy that can be “backed off” if better scenario can be realized Building the Study – Planning Scenarios Re v e n u e In c r e a s e s Time Initial Increase Strategy 10 Model Build - Expenses Overview Revenue Requirement Total revenue required each year to meet your unique goals Operation and Administration Reserve Contributions = + Cash Capital and Debt Service + 11 Expenses – Operation and Administration ▪$7.0M to $10.0M by 2035 ▪Accounts for Rising Costs o Unique Escalation Factors ▪25% Future Purification Increase for new WTP ▪No Significant Fleet Needs Staff w/ Benefits - $3.0M Utilities - $260k Chemicals - $240k Facility Allocation - $184k Repair Materials - $170k 2026 Top Operating Expenses 12 Expenses – Operation and Administration Category 2026 (Budget) 2027 (Projected) 2028 (Projected) 2029 (Projected) 2030 (Projected) 2031 (Projected) 2032 (Projected) 2033 (Projected) 2034 (Projected) 2035 (Projected) Water Purification1 $1.7M $1.8M $1.9M $2.0M $2.0M $2.1M $2.2M $2.2M $2.8M $2.9M Water Distribution $3.1M $3.3M $3.4M $3.5M $3.6M $3.7M $3.8M $3.9M $4.0M $4.2M Customer Accounts $0.4M $0.4M $0.4M $0.5M $0.5M $0.5M $0.5M $0.5M $0.5M $0.5M Administration and General $1.6M $1.6M $1.7M $1.7M $1.8M $1.8M $1.9M $1.9M $2.0M $2.1M Source of Supply $0.2M $0.2M $0.2M $0.2M $0.2M $0.2M $0.2M $0.2M $0.2M $0.2M Total:$7.0M $7.3M $7.5M $7.8M $8.0M $8.3M $8.5M $8.8M $9.6M $9.9M Prior Year %: -3%3%3%3%3%3%3%9%3% 1 Increase in 2034 Assumes Operation of New WTP 13 Expenses – Water Treatment Improvements ▪Cost Challenges Exist o Generational Projects, Early Stages o Unknown Future Grant/PF Availability o Federal Cost Escalation (BABA) o Low Growth Rates o No Dedicated Savings ▪Water Treatment Improvements Debt Service Assumptions o Loan Terms: 30-Year w/ 3.5% Interest o 120% Debt Service Coverage Ratio o Five-year Disbursement (Starting in 2030) o P&I Peaking at $8.7 Million in 2034 ($150M Master Plan) 14 Expenses – Cash Capital and Debt Service $150M Master Plan Implementation Category 2027 2028 2029 2030 2031 2032 2033 2034 2035 Mall Road Pipe Replacements Mary’s Lake WTP Improvements $11M Thunder Mountain Tank Project $3.2M Fall River Pump Station & PRV $5.5M New Water Treatment Plant $0.5M $0.5M $21.0M $20.0M $20.0M $20.0M $20.0M Big T Tank Project $5.6M Glacier Creek Improvements $1.6M Miscellaneous/Pipe Improvement Projects $0.1M $0.1M $0.1M $1.6M $2.1M $2.1M $2.1M $2.1M $2.5M Total:$3.8M $13.2M $32.2M $21.6M $22.1M $22.1M $22.1M $2.1M $2.5M Primarily Debt-Funded 10-Year CIP Total: $147 Million 15 Expenses – Ten Year Projection $150M Master Plan Implementation 16 Revenues – Overview ▪2026 Budget o $8.2M in Revenue o 85% is Rate Revenue o Fixed and Volumetric Charges ▪Growth Projections o .5% for Residential Classes o 1.5% for Non-Residential Classes o 0% for Bulk Water o 0% for YMCA 17 Revenues – Future Rate Revenue Needs $150M Master Plan Implementation Category 2027 (Projected) 2028 (Projected) 2029 (Projected) 2030 (Projected) 2031 (Projected) 2032 (Projected) 2033 (Projected) 2034 (Projected) 2035 (Projected) % Rate Revenue Increase (including growth): 16%16%16%16%16%13%13%11%6% % Increase (Misc. Revenue): 1%1%1%1%1%1%1%1%1% Expenses -$8.9M -$10.6M -$16.1M -$14.1M -$15.9M -$17.3M -$18.6M -$20.5M -$21.2M Revenues $9.6M $11.8M $13.5M $15.5M $17.8M $19.6M $20.1M $20.5M $20.9M Total:$0.7M $1.2M -$2.6M $1.4M $1.9M $2.3M $1.5M $0.0M -$0.3M 18 Rate Revenue Increase Projection $150M Master Plan Implementation 0.9% 16%16%16%16%16%13%13%11%6%2% 102% 191% 392% 267% 112%120%124%129%127%137%137% 0.0% 50.0% 100.0% 150.0% 200.0% 250.0% 300.0% 350.0% 400.0% 450.0% $- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 Projected Water Fund Balances Total Projected Fund Balance O&M Reserve Obligation Aggregate Rate Revene Increase Calculated Debt Service Coverage Ratio (including growth) 19 Rate Sensitivity $150M Master Plan Implementation Category 2026 (Projected) 2027 (Projected) 2028 (Projected) 2029 (Projected) 2030 (Projected) 2031 (Projected) 2032 (Projected) 2033 (Projected) 2034 (Projected) 2035 (Projected) Median Household Income1 $75,512 $77,778 $80,111 $82,514 $84,990 $87,540 $90,166 $92,871 $95,657 $98,527 % Increase -15%15%15%15%15%12%12%10%5% Residential Water Rate2 $80 $92 $105 $121 $139 $160 $180 $201 $221 $232 % of MHI 1.3%1.4%1.6%1.8%2.0%2.2%2.4%2.6%2.8%2.8% EPA Benchmark3 1.5-2.5%1.5-2.5%1.5-2.5%1.5-2.5%1.5-2.5%1.5-2.5%1.5-2.5%1.5-2.5%1.5-2.5%1.5-2.5% 1 https://gis.dola.colorado.gov/disadvantaged_communities/, Income is assumed to escalate at 3%/Year 2 Assumes 4,500 gallons of monthly usage 3 https://www.usbr.gov/tsc/techreferences/economics/EstimatingHouseholdATPForMunicipalWaterServices_11 -2022Updated02-2023_508.pdf 20 Rate Revenue Increase Projection $110M Master Plan Implementation 0.9% 16%16%16%11%11%11%6%6%6%2% 102% 191% 392% 267% 137%144%152%147% 135% 147%145% 0.0% 50.0% 100.0% 150.0% 200.0% 250.0% 300.0% 350.0% 400.0% 450.0% $- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 Projected Water Fund Balances Total Projected Fund Balance O&M Reserve Obligation Aggregate Rate Revenue Increase Calculated Debt Service Coverage Ratio (including growth) 21 Rate Revenue Increase Projections $110M vs. $150M Master Plan Implementation Ra t e R e v e n u e I n c r e a s e s Primary Implementation Secondary Implementation Long-term Implementation 15%15% 12% 15%15%15% 10%10%10% 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 $150M Implementation Scenario $110M Implementation Scenario 22 Water Rate Comparisons Steamboat Springs, CO Telluride, CO Estes Park, CO Typical SFR Rate: $82/Month* Proposed (2027) Typical SFR Rate: $65/Month (2026) Typical SFR Rate: $92/Month Proposed (2027) Note: Rates based on a residential class using 4,500 gallons per month w/ 5% increases through 2028 Pinewood Springs, CO Typical SFR Rate: $249/Month (2026) 23 Regional Perspective ▪Upper Thompson WRF o GMP Exceeded Budget, Redesign o 10.5% Rate Increase for 2025 and 2026 ▪Snake River Water District o Master Plan Identified Issues o $30M Bond Issue o 12% Annual Increase for Decade ▪Windsor WRF o Scope Reduction 6.3 to 4.2 MGD o Cost Inflation $50M to $150M o 26% Stepped Rate Increase 24 ▪Primary Implementation: o Get started by increasing revenue across all rate classes - “Don’t let Perfect be the Enemy of Good” o Continue evaluation of Master Plan Implementation to further solidify costs and further necessary revenue increases o Begin Phase 2 Rate Study to evaluate the optimization of internal rate revenues (i.e. cost of service by class, Tap Fees, etc.) ▪Secondary Implementation o Finalize evaluation of Master Plan costs o Implement internal revenue increases by source and class 186% Increase Rate Revenue Increases Implementation Considerations 25 ▪Incorporate Town Board Feedback ▪Finalize Primary Rate Revenue Increase Recommendations ▪Completion of Phase 1 Rate Study Report ▪Phase 2 Rate Study Scope Development Next Steps 26 Questions and Discussion The Town of Estes Park is committed to providing equitable access to our services. Contact us if you need any assistance accessing material at 970-577-4777 or townclerk@estes.org. Report To: Honorable Mayor Hall & Board of Trustees Through: Town Administrator Machalek From: Carlie Speedlin, Housing and Childcare Manager Scott Moulton, Executive Director of Estes Park Housing Authority Department: Town Administration Date: July 14, 2026 Subject: Housing Definitions and Density Bonuses in the Code Purpose of Study Session Item: The purpose of this Study Session is to seek the Town Board’s direction regarding potential updates to the housing definitions in Section 11.4 of the Development Code. This is aligned with two items in the 2026 Strategic Plan: • Consider an update to Section 11.4 of the Development Code, including reconsideration of appropriate definitions and density bonus amounts. • Consider updating Town policies defining workforce or attainable housing for the purposes of Town funding. Town Board Direction Requested: Staff seeks Town Board feedback regarding potential updates to housing definitions and density bonus provisions within Section 11.4 of the current Development Code. In addition to the Strategic Plan items listed above, this is also a component of the ongoing comprehensive Development Code update process. Specifically, staff requests feedback related to affordability targets, zoning applicability, development feasibility, and appropriate incentive structures to support workforce and attainable housing development. Key Questions: 1. What level of density is acceptable to incentivize development at lower AMI levels (particularly below 60% AMI)? 2. Should density bonuses be expanded to additional zoning districts, including A (Accommodations)-zoned areas? 3. What level of development incentive (in the form of a density bonus) is appropriate to improve project feasibility given current land, infrastructure, and construction costs? 4. Should density bonuses be paired with additional incentives or flexible development standards (such as setbacks and parking) to support deeper affordability? Should this be applicable only to certain zoning districts? Present Situation: The Town of Estes Park has utilized density bonuses as a tool to support attainable and workforce housing since the early 2000s. Early versions of the program saw limited success. Between 2013 and 2017, no housing units were developed utilizing the density bonus framework, possibly due to insufficient levels at the time. In response, the Town increased the maximum allowable density bonus to 200% of base density and expanded the definition of attainable housing to include households earning up to 150% of the Larimer County Area Median Income (“AMI”), reflecting the realities of a high-cost, resort-based economy. Height bonuses were also introduced as part of the program. While these changes expanded development incentives, Estes Park continues to maintain relatively low underlying residential densities compared to many Colorado communities and mountain resort towns. Today, comparable Colorado mountain towns to Estes Park, with density bonus programs for workforce housing, average 28 units per acre in multifamily zoned areas, compared to 8 units per acre in Estes Park (median is 20 acres per acre). In November 2017, the Town Board amended the code to restrict density bonus eligibility to RM (Multi-Family Residential) zoning districts only, removing applicability from most residential zones. This decision reflected concerns about neighborhood compatibility, growth, and the tool's effectiveness. Since 2017, the density bonus program has contributed to the development of approximately 188 workforce or attainable housing units in the Estes Valley, including projects such as Peak View Apartments, Prospector Apartments, Wildfire Neighborhood, and Grand Estates. The development of Prospector Apartments was also influenced by the property’s location within a federally designated Opportunity Zone census tract. Opportunity Zone designation was a significant factor in attracting private investment to this project. The State of Colorado is currently updating Opportunity Zone designations for the next ten- year period, and no Estes Park census tracts are currently anticipated to qualify. This may reduce the Town’s ability to attract similar private-sector affordable housing developments in the future. Despite prior code amendments, while much progress has been made with the advent of 6E, the current framework has not resulted in housing at the scale or affordability levels necessary to meet local workforce demand. Utilization of the density bonus program remains limited, likely due to several factors, including: • Limited relationship between affordability levels and development incentives • Uncertainty in the development review process • High land, infrastructure, and construction costs • Limited availability of developable RM-zoned land • The need to rezone properties to pursue attainable housing projects Few remaining vacant RM-zoned parcels in Estes Park are realistically available for workforce housing development. The limited supply of RM-zoned land may constrain future attainable housing opportunities unless additional zoning districts are considered. Public outreach completed as part of the Development Code update process has included significant feedback related to housing. While community sentiment has generally been opposed to substantial building height increases, outreach efforts indicated broader support for “missing middle” housing types and strategies that increase attainable housing opportunities while maintaining compatibility with the neighborhood character. Demand for workforce housing continues to exceed supply across all AMI levels. While the Town and EPHA have implemented additional housing tools through 6E Lodging Tax revenues and linkage fees, significant gaps remain, particularly for lower-income households. Approximately 75% of income-restricted units managed by Estes Park Housing Authority are occupied by members of the workforce. Proposal: That the Town Board consider the current housing definitions and density bonuses in Section 11.4 of the Development Code, consistent with the adopted 2026 Strategic Plan with an eye toward addressing ongoing housing challenges and better align incentives with current market conditions, workforce needs, and development feasibility. Any future proposed amendments would be developed collaboratively between the Town, Estes Park Housing Authority, and Design Workshop to ensure consistency with the broader Development Code rewrite currently underway. Staff seeks guidance on the following points to inform potential updates to the Code: 1. AMI-Scaled Density Bonus Structure The current Development Code establishes density bonuses tied to attainable housing requirements but does not create a clear relationship between deeper affordability levels and increased development incentives. The Town Board may want to consider a more predictable, AMI-scaled density bonus structure in which projects providing greater numbers of deed-restricted units at lower AMI levels would be eligible for higher density bonuses. Under this framework, projects serving households below 60% AMI could qualify for greater incentives than projects serving higher-income households. For example, a one-acre RM-zoned property with a base density of 8 units per acre could achieve up to 16 units using the current density bonus. However, the Town Board could consider increasing the number of units permitted under the condition that deeper affordability thresholds are met. This framework intends to establish a clearer relationship between affordability and development incentives while improving project feasibility and supporting deeper levels of affordability. 2. Expanded Applicability Across Zoning Districts The current code limits density bonus eligibility to RM zoning districts only. The Town Board may want to consider evaluating whether eligibility should be expanded to additional zoning districts, including A-Accommodation zoned properties, planned unit developments (PUDs), mixed-use districts, and selected commercial areas where workforce housing may be appropriate. Given the limited availability of vacant RM-zoned land remaining in Estes Park, expanding applicability beyond RM zoning may improve the Town’s ability to support future workforce housing development opportunities while reducing the need for rezoning requests. Any expanded applicability would continue to include compatibility standards and design requirements to ensure integration with surrounding neighborhoods and development patterns. 3. Feasibility and Market Alignment Density bonuses alone may not fully address current funding gaps for attainable housing development. However, the framework could be updated to better align with current market conditions and development realities. Potential strategies for consideration include: • Providing greater certainty earlier in the development review process • Increasing unit yield to offset higher development costs • Aligning incentives more directly with financial feasibility • Exploring flexibility in site design standards while maintaining neighborhood compatibility • Pairing density bonuses with additional housing tools or incentives where appropriate The overall goal of these potential updates is to create a more effective, predictable, and financially viable framework for workforce and attainable housing development in Estes Park. Advantages: • Higher utilization of bonus density program • More affordable workforce housing Disadvantages: • Increased density may impact neighborhood character Finance/Resource Impact: None, at this time. Level of Public Interest: High. Attachments: 1. Presentation Slides Housing Definitions & Density Bonuses in the Code Town Board Study Session July 14, 2026 CARLIE SPEEDLIN HOUSING AND CHILDCARE MANAGER Attachment 1 Purpose HOUSING AND CHILDCARE Consider updates to the housing definitions in Section 11.4 of the Development Code, in alignment with two 2026 Strategic Plan objectives: -Consider an update to Section 11.4 of the Development Code, including reconsideration of appropriate definitions and density bonus amounts -Consider updating Town policies defining workforce or attainable housing for the purpose of Town funding Direction Requested HOUSING AND CHILDCARE Staff requests feedback related to affordability targets, zoning applicability, development feasibility, and appropriate incentive structures to support workforce and attainable housing development. These discussions provide a framework for housing definitions that will exist with the Development Code and Housing Policy for the Town. Key Questions: What level of density is acceptable to incentivize development at lower AMI levels (particularly below 60% AMI)? Should density bonuses be expanded to additional zoning districts, including A-(Accommodations)- zoned areas? What level of development incentive (in the form of a density bonus) is appropriate to improve project feasibility, given current land, infrastructure, and construction costs? Should density bonuses be paired with additional incentives or flexible development standards (such as setbacks or parking) to support deeper affordability? Should this be applicable only to certain zoning districts? HOUSING AND CHILDCARE HOUSING AND CHILDCARE Present Situation The Town of Estes Park has utilized density bonuses since the early 2000s. Between 2013 and 2017, no housing units were developed utilizing the density bonus framework. Since 2017, density bonuses have contributed to the development of workforce housing but are still falling short. Utilization remains limited, likely due to several factors, including: •Limited relationship between affordability levels and development incentives •Uncertainty in the development review process •High land, infrastructure, and construction costs •Limited availability of developable RM-(Multifamily Residential)-zoned land •The need to rezone properties to pursue attainable housing projects HOUSING AND CHILDCARE HOUSING AND CHILDCARE Proposal Staff seeks guidance on the following points to inform potential updates to the Code: 1.AMI-Scaled Density Bonus Structure 2.Expanded Applicability Across Zoning Districts 3.Feasibility and Market Alignment Policy Direction: Is additional incentive needed? HOUSING AND CHILDCARE Policy Direction: Is additional incentive needed? What affordability levels should we prioritize? How much density is appropriate? HOUSING AND CHILDCARE HOUSING AND CHILDCARE 1. AMI-Scaled Density Bonus Structure •Create a clear affordability-to-incentive relationship •Higher density incentives tied to lower AMI thresholds •Projects serving households below 60% AMI qualify for the highest density •Improve project feasibility while incentivizing affordable housing at lower income levels HOUSING AND CHILDCARE Density Bonus Incentive Current Bonus Incentive Current Base Density Current Base Density in RM-zoned area: 8 units per acre Workforce/Attainable Housing Density Bonus: 16 units per acre Projects that are deed restricted to the workforce or attainable housing HOUSING AND CHILDCARE Mountain Wood Townhomes 14 units per acre 8 units on 0.56 acres Existing Density Examples HOUSING AND CHILDCARE South Saint Vrain Apartments 12 units per acre 24 units on 1.94 acres Existing Density Examples HOUSING AND CHILDCARE Eagle’s Landing Condominiums 17 units per acre 45 units on 2.65 acres Existing Density Examples HOUSING AND CHILDCARE Existing Density Examples Fall River Village 19.46 units per acre 65 units on 3.34 acres HOUSING AND CHILDCARE Density Bonus Incentive Current Bonus Incentive AMI-Scaled Bonus Incentive Current Base Density Current Base Density in RM-zoned area: 8 units per acre Workforce/Attainable Housing Density Bonus: 16 units per acre AMI-Scaled Density Bonus: 16+ units per acre Projects that are deed restricted to “affordable” workforce (60% AMI or lower) Projects that are deed restricted to the workforce or attainable housing HOUSING AND CHILDCARE Maximum Base Density Zoning Comparisons Town Zoning Density (units/acre) Grand Lake MDH- High Density Residential 20 Granby R-3 Multiple- Family Residential High Density 25 Fraser HDMF- High Density Multi-family Residential District 20 Salida R-3 Multiple-Family Residential High Density 18- 20.7 Gunnison HR- High Density 14- 80 Buena Vista R-3 High Density Residential 29 Nederland HDR- High Density Residential 11 Leadville R-2 Traditional Residential District 20 Estes Park RM- Multifamily Residential 8 Housing Incentives to Consider These peer communities did not rely solely on density bonuses. Successful affordable housing programs typically combine additional development flexibility with long-term affordability requirements to improve financial feasibility while also achieving community housing goals. HOUSING AND CHILDCARE Existing Density Example- Nederland, CO Tungsten Village 30.5 units per acre 26 units on 0.85 acres •20-60% AMI •Zoned High-Density Residential with a PUD allowing variance for density, building footprint, parking, and setbacks in exchange for permanent affordability. Policy Direction: Is additional incentive needed? What affordability levels should we prioritize? Where should expanded density bonuses apply? How much density is appropriate? HOUSING AND CHILDCARE HOUSING AND CHILDCARE 2. Expanded Applicability Across Zoning Districts •Consider extending eligibility to include non-residential zoning districts appropriate for workforce housing, such as A-Accommodations districts and select commercial areas appropriate for workforce housing •Reduce the need for rezoning requests •Any expansion would still require design standards, compatibility requirements, and integration with surrounding neighborhoods and development patterns Policy Direction: Is additional incentive needed? What affordability levels should we prioritize? Where should expanded density bonuses apply? How much density is appropriate? HOUSING AND CHILDCARE Should density bonuses be paired with additional incentives? HOUSING AND CHILDCARE 3. Feasibility and Market Alignment Consider additional improvement strategies that reflect current construction costs and development conditions, such as: •Provide greater certainty earlier in the review process •Increase allowable unit yield •Align incentives with project financial feasibility •Allow flexibility in site design standards •Pair density bonuses with additional housing tools or incentives HOUSING AND CHILDCARE Create a more effective, predictable, and financially viable framework for workforce and attainable housing development in Estes Park. Goal Key Questions: What level of density is acceptable to incentivize development at lower AMI levels (particularly below 60% AMI)? Should density bonuses be expanded to additional zoning districts, including A-(Accommodations)- zoned areas? What level of development incentive (in the form of a density bonus) is appropriate to improve project feasibility, given current land, infrastructure, and construction costs? Should density bonuses be paired with additional incentives or flexible development standards (such as setbacks or parking) to support deeper affordability? Should this be applicable only to certain zoning districts? HOUSING AND CHILDCARE Direction Requested HOUSING AND CHILDCARE Staff requests feedback related to affordability targets, zoning applicability, development feasibility, and appropriate incentive structures to support workforce and attainable housing development. HOUSING AND CHILDCARE Who are we trying to serve? What do we mean by workforce housing? Which AMI levels should receive the greatest support? Housing Definitions HOUSING AND CHILDCARE Existing Density Example- Gunnison, CO Sawtooth Townhomes and Apartments 25 units per acre 50 units on ~2 acres 80-120% AMI Infill project West Thorn* 18-20 units per acre 450-500 units on 25 acres 80-120% AMI *Approved preliminary plat and PUD submittal 8 units per acre 48 units on 5.5 acres Falcon Ridge 2 units per acre 44 units on 20 acres Talons Pointe HOUSING AND CHILDCARE AMI-Scaled Density Bonuses Affordability Level Potential Density Bonus Units per Acres 100% AMI Standard Bonus 80% AMI Increased Bonus 60% AMI Highest Bonus Town Clerk <townclerk@estes.org> Study Session 7-14-26 topic: Housing and density bonuses. 1 message Rebecca Urquhart <rebecca.l.urquhart@gmail.com>Mon, Jul 13, 2026 at 3:17 PM To: Town Clerk <townclerk@estes.org> Cc: Carlie Bangs <cbangs@estes.org> FOR THE TRUSTEES: Revising the code to allow higher density for affordable or attainable housing is premature, but should be done as part of the comprehensive rewrite of the Development Code. Doing so will allow consideration of the proposals by both the Town Board and the public in the context of the changing definitions and text of the new Code and will avoid inconsistencies. For example some of this may be addressed in defining "Mixed use corridors," and "Suburban Estate" and other zoning districts described in the aspirational Comp Plan, which have not yet been established, Furthermore, expanding high density into A-1 could have a significant impact near residential areas. F or example, the Hwy 66 and Fall River corridors could greatly change the character with higher density. PUD districts , which were approved in areas beyond those shown in the new Comp Plan, also may have effects on residential characteristics. If the Board directs Staff development of any Code action to be taken outside of the complete rewrite (which will have its own citizen review process), it would appear to be inappropriate decision-making without adequate citizen input. Such a code change will likely reduce subsequent decisions to a simple up/down vote rather than a broader consideration of alternatives. A perfect example of this was the Elkhorn II Lodge zoning. Opposition was 99%, but the alternative of A-1, which was acceptable to many, was not formally presented as an option. The high density A zoning that was ultimately granted was presented for an up or down vote as if it was the only option. In short, while the need for Housing is always pitched as an emergency, this puts the cart before the horse. The zoning districts and Comp Plan need to be reviewed as a whole with the EPDC revisions. Board of Directors, Estes Valley Residents Association Public Comment Received 2026-07-13 The Town of Estes Park is committed to providing equitable access to our services. Contact us if you need any assistance accessing material at 970-577-4777 or townclerk@estes.org. Report To: Honorable Mayor Hall & Board of Trustees Through: Town Administrator Machalek From: Steve Careccia, Community Development Director Department: Community Development Date: July 14, 2026 Subject: Draft Code Amendment to Requirements for Neighborhood Meetings Purpose of Study Session Item: Provide the Town Board with an overview of the neighborhood meeting process as established in the Estes Park Development Code and present draft neighborhood meeting language. Town Board Direction Requested: Town Board direction is sought on the attached draft neighborhood meeting language. Present Situation: For development applications that require a public hearing before the Town Board, the Development Code, Section 3.2.B (Step 2: Neighborhood and Community Meeting), requires that a neighborhood and community meeting be held. A description and overview of the current process is as follows: ● Purpose is to provide an opportunity for informal communication between a proposed applicant for development application (applicant), surrounding property owners, and the general public. ● Meetings are required to be held prior to the submittal of any applicable development application. ● Meetings must be held in a location that is generally accessible to surrounding property owners and residents. ● Meetings must be held after 5 PM on weekdays or any time on a weekend. ● The applicant is responsible for sending out notice of the meeting. Notice includes a legal advertisement in a local newspaper, a mailing to surrounding property owners within 500 feet of the subject property, and with a sign posted on the subject property. Notice must occur at least 15 days prior to the meeting. Staff confirms that notice requirements have been met. ● The meeting is moderated by the applicant. ● Staff attendance is optional, but if attending, they do not serve as facilitators nor become involved in any negotiations. ● The applicant is responsible for providing staff with a written summary of the meeting, including a list of who attended the meeting, the issues discussed, and comments by those in attendance. The summary must be included with the submittal of the formal development application. ● Meeting attendees may submit additional summary items to the staff. ● Staff provides a neighborhood meeting overview in the Planning Commission and Town Board staff reports. To help provide context, staff conducted a small survey of nearby jurisdictions and their neighborhood meeting processes. From that survey, it was found that the Town has a very similar neighborhood meeting process compared to Larimer County, Ft. Collins, Longmont, and Loveland. However, some noted differences include: ● Larimer County – The Director may waive the requirement to hold a neighborhood meeting based on prior neighborhood feedback. Staff also attends the meeting but does not facilitate the meeting nor provide project specific information. ● Ft. Collins – Staff is responsible for scheduling, coordinating, and attending the neighborhood meeting, and for completing the written meeting summary. The Director also has the discretion to waive the neighborhood meeting requirement if it is determined that the proposed development would not have a significant neighborhood impact. ● Longmont – The Director may waive the requirement to hold a neighborhood meeting or may require additional meetings, depending on the context of the proposed development. The applicant is also required to specifically state in their written meeting summary how they intend to address, or not address, comments and questions raised at the meeting. ● Loveland - Staff is responsible for sending out the meeting notice and attending the neighborhood meeting. The applicant is also required to specifically state in their written meeting summary how they intend to address, or not address, comments and questions raised at the meeting. At a study session held on May 26, 2026, the Town Board reviewed the neighborhood meeting process, as presented then and as provided again herein, and directed staff to bring back draft code language for Board consideration. Proposal: As directed, draft neighborhood meeting language is presented for review by the Town Board. Advantages: ● Potential to increase neighborhood and community involvement in the development process Disadvantages: ● Potential to add uncertainty, cost, and/or processing time to potential development projects ● Potential to introduce false or misleading expectations on how new development is processed, evaluated, and decided Finance/Resource Impact: None at this time. Level of Public Interest: Public Interest is expected to be low to moderate. Attachments: 1. Draft Neighborhood Meeting Language (Redline Version) 2. Draft Neighborhood Meeting Language (Clean Version) Created: 2025-10-20 16:51:48 [EST] (Supp. No. 23) Page 1 of 3 § 3.2 Standard Development Review Procedure B.Step 2: Neighborhood and Community Meeting. 1.Purpose. The purpose of the neighborhood and community meeting is to educate occupants and owners of nearby lands about the proposed development and application, receive comments, address concerns about the development proposal, and resolve conflicts differences and outstanding issues, where possible. a.Favored Practice. Neighborhood and community meetings are encouraged as opportunitiesintended for informal communication between owners and occupants of nearby lands, applicants, and other residents who may be affected by development proposals. b.Applicability. Except as provided otherwise in §3.2.G (Summary Table-Standard Development Review Process by Application Type),A neighborhood and community meetings shall be mandatory required for zoning and planning projectsdevelopment applications that require a public hearing as specified in this Code. Except as provide otherwise in as established in §3.2.G (Summary Table-Standard Development Review Process by Application Type), neighborhood and community meetings shall be voluntary for zoning and planning projects that do not require a public hearing as specified in this Code. The Director may require additional neighborhood meetings, or waive the neighborhood meeting requirement, based on the proposed development’s impact on surrounding properties, mix of uses, density, complexity, or likelihood of adverse impacts. c.Procedure. If a neighborhood and community meeting is held by the applicantrequired, it shall generally comply with the following procedures: (1)Time and Place. The neighborhood and community meeting shall be held at a place open to the public that is generally accessible to neighbors that own and/or reside in the notification area to the land subject to the application. It shall be scheduled after 5:00 p.m. on a weekday or at any time on a weekend day. (2)Written Notification. The applicant shall provide notification of the neighborhood and community meeting a minimum of fifteen (15) days in advance of the meeting by placing notice in a newspaper or display advertising of general circulation in the Estes Valley and by mailing notice to all owners and occupants within the notification boundary500 feet of the land subject to the application. The list of owners within the notification area of the affected property shall be obtained by the applicant from the most recent version of the property owners of record providedshall be provided by the Town of Estes ParkDepartment. The notification shall state the date, time, and place of the meeting, purpose of the meeting, description of the proposed project, and contact information for the applicant. (Ord. 16-24, §1(Exh. A)) (3)Posted Notices of Neighborhood and Community Meetings. Required posted notice requirementsThe property posting shall be on a standard sign with format and material as determined established by the Planning Department. The following additional requirements shall apply to posted notices pursuant to this Section: a)Any posted notice shall be legible from a public street or public right-of-way in clear weather conditions. "Legible" is defined as meeting the legibility requirements in the Estes Park Municipal Code Chapter 17.66 (Signs). Attachment #1 Created: 2025-10-20 16:51:48 [EST] (Supp. No. 23) Page 2 of 3 b) Projects abutting more than one public street or public right-of-way shall be required to post one (1) additional sign for each abutting public street or public right-of-way. c) Posting of all notice(s) required by this Section shall take place no later than fifteen (15) days prior to any given neighborhood and community meeting for which the posting is required, and the posted signage shall remain until the close of any such neighborhood and community meeting, including the closing dates of any neighborhood and community meeting that may be continued or postponed. (Ord. 16-24, §1(Exh. A)) d) Proof that the required signage was posted in accord with this Section shall be provided to the Planning Department prior to the opening of any neighborhood and community meeting. A date-stamped photograph of the posted notice in context shall be deemed adequate proof for purposes of this Section. e) Removal, obstruction, damage or destruction of a properly posted notice by weather or other natural occurrence shall not be construed as failure to comply with the public notice provisions of this Code. (Ord. 16-24, §1(Exh. A)) (4) Conduct of Meetings. At the neighborhood and community meeting, the applicant shall explain the development proposal and application, inform attendees of the character and nature of the process for review, and respond to comments and questions neighbors may have about the application, and propose ways to resolve conflictspromote neighborhood compatibility. (5) Staff Attendance. Staff attendance at neighborhood meetings is optional. However, if attending, Town staff may attend the neighborhood and community meeting for the purpose of advisingadvise the attendees regarding applicable provisions of the Development Code, but shall will not serve as facilitators or become involved in negotiations at the neighborhood meeting. (6) Written Summary of Neighborhood and Community Record of Meeting. The applicant shall provide the Planning Department with a written summary of the neighborhood and community meeting. The written summary shall include a list of those in attendance, a summary of the issues related to the development proposal discussed, comments by those in attendance about the development proposal, and any other information the applicant deems appropriate. The written summary shall also include a detailed description of how the applicant intends to address, or not address, the comments and questions discussed at the neighborhood meeting. The written summary of the neighborhood and community meeting shall be included submitted with the application materials, and staff shall make the summary be made available to the public for inspection. (7) Response to Summary. Any party in attendance at the neighborhood and community meeting may submit an additional written summary indicating their understanding of the issues related to the development proposal discussed, comments by those in attendance about the development proposal, a response to the applicant’s written summary, and any other information they deem appropriate. This written summary may include a response to the applicant's written summary of the neighborhood meeting. (8) Upon review of the written summary and any responses, the Director may require a follow - up neighborhood meeting(s) should the submitted materials indicate outstanding issues remain that could benefit from additional discussion. Created: 2025-10-20 16:51:48 [EST] (Supp. No. 23) Page 3 of 3 Neighborhood and community meetings are optional for any other applications not requiring a public hearing. (Ord. 15-18 §1(Exh. A); Ord. 11-19 §1(Exh. A); Ord. 16-24, §1(Exh. A)) Created: 2025-10-20 16:51:48 [EST] (Supp. No. 23) Page 1 of 2 § 3.2 Standard Development Review Procedure B.Step 2: Neighborhood Meeting. 1.Purpose. The purpose of the neighborhood meeting is to educate occupants and owners of nearby lands about the proposed development and application, receive comments, address concerns about the development proposal, and resolve differences and outstanding issues, where possible. a.Favored Practice. Neighborhood meetings are intended for informal communication between owners and occupants of nearby lands, applicants , and other residents who may be affected by development proposals. b.Applicability. A neighborhood meeting shall be required for development applications as established in §3.2.G (Summary Table-Standard Development Review Process by Application Type). The Director may require additional neighborhood meetings, or waive the neighborhood meeting requirement, based on the proposed development’s impact on surrounding properties, mix of uses, density, complexity, or likelihood of adverse impacts. c.Procedure. If a neighborhood meeting is required, it shall generally comply with the following procedures: (1)Time and Place. The neighborhood meeting shall be held at a place open to the public that is generally accessible to neighbors that own and/or reside in the notification area to the land subject to the application. It shall be scheduled after 5:00 p.m. on a weekday or at any time on a weekend day. (2)Written Notification. The applicant shall provide notification of the neighborhood meeting a minimum of fifteen (15) days in advance of the meeting by placing notice in a newspaper of general circulation in the Estes Valley and by mailing notice to all owners and occupants within 500 feet of the land subject to the application. The list of owners within the notification area shall be provided by the Department. The notification shall state the date, time, and place of the meeting, purpose of the meeting, description of the proposed project, and contact information for the applicant. (Ord. 16-24, §1(Exh. A)) (3)Posted Notices of Neighborhood Meetings. The property posting shall be on a standard sign with format and material as established by the Department. The following additional requirements apply to posted notices pursuant to this Section: a)Any posted notice shall be legible from a public street or public right-of-way in clear weather conditions. b)Projects abutting more than one public street or public right-of-way shall be required to post one (1) additional sign for each abutting public street or public right-of-way. c)Posting of all notice(s) required by this Section shall take place no later than fifteen (15) days prior to any given neighborhood meeting for which the posting is required, and the posted signage shall remain until the close of any such neighborhood meeting, including the closing dates of any neighborhood meeting that may be continued or postponed. (Ord. 16-24, §1(Exh. A)) d)Proof that the required signage was posted in accord with this Section shall be provided to the Department prior to the opening of any neighborhood meeting. A date-stamped photograph of the posted notice in context shall be deemed adequate proof for purposes of this Section. Attachment #2 Created: 2025-10-20 16:51:48 [EST] (Supp. No. 23) Page 2 of 2 e) Removal, obstruction, damage or destruction of a properly posted notice by weather or other natural occurrence shall not be construed as failure to comply with the public notice provisions of this Code. (Ord. 16-24, §1(Exh. A)) (4) Conduct of Meetings. At the neighborhood meeting, the applicant shall explain the development proposal and application, inform attendees of the character and nature of the process for review, respond to comments and questions neighbors may have about the application, and propose ways to promote neighborhood compatibility. (5) Staff Attendance. Staff attendance at neighborhood meetings is optional. However, if attending, staff may advise the attendees regarding applicable provisions of the Development Code, but will not serve as facilitators or become involved in negotiations at the neighborhood meeting. (6) Written Summary of Neighborhood Meeting. The applicant shall provide the Department with a written summary of the neighborhood meeting. The written summary shall include a list of those in attendance, a summary of the issues related to the development proposal discussed, comments by those in attendance about the development proposal, and any other information the applicant deems appropriate. The written summary shall also include a detailed description of how the applicant intends to address, or not address, the comments and questions discussed at the neighborhood meeting. The written summary of the neighborhood meeting shall be submitted with the application materials, and staff shall make the summary available to the public. (7) Response to Summary. Any party in attendance at the neighborhood meeting may submit an additional written summary indicating their understanding of the issues related to the development proposal discussed, comments by those in attendance about the development proposal, a response to the applicant’s written summary, and any other information they deem appropriate. (8) Upon review of the written summary and any responses, the Director may require a follow - up neighborhood meeting(s) should the submitted materials indicate outstanding issues remain that could benefit from additional discussion. (Ord. 15-18 §1(Exh. A); Ord. 11-19 §1(Exh. A); Ord. 16-24, §1(Exh. A)) The Town of Estes Park is committed to providing equitable access to our services. Contact us if you need any assistance accessing material at 970-577-4777 or townclerk@estes.org. Future Study Session Items July 28, 2026 • Development Code Update 50% Draft Review • Police Department Facility Financing August 11, 2026 • Visit Estes Park Dark Sky Ordinance • Administrative Regulations Enforcement Process • Policy 102 (Town Committees) Liaison Review • Policy 102 (Town Committees) Focus Groups Draft August 25, 2026 • Micromobility Overview • Downtown Plan Approach • Annexation of Enclaves Follow Up September 8, 2026 • Winter Event Strategy Proposal • Seasonal Housing Issues Items Approved - Unscheduled • Black Canyon Treatment Plant Property • Growth Management Areas Overview • Structure of Potential Development Agreement with Whimsadoodle and the Estes Park Housing Authority for Cleave Street Development • Liquor License Process • Parking License Plate Recognition Policy Items for Town Board Consideration • None