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PACKET Town Board Special Meeting 2009-06-15
..1.Prepared6/11/091OWNoiESTESPARTçTheMissionoftheTownofEstesParkistoprovidereliable,high-valueservicesforthebenefitofourcitizens,visitors,andemployees,whilebeinggoodstewardsofpublicresourcesandournaturalsetting.BOARDOFTRUSTEES-TOWNOFESTESPARKSPECIALMEETINGMonday,June15,20095:00p.m.AGENDA1.REQUESTTOENTEREXECUTIVESESSION:24-6-402(4)(e)CR5.—Forthepurposeofdeterminingpositionsrelativetomattersthatmaybesubjecttonegotiations,developingstrategyfornegotiations,and/orinstructingnegotiatorsregardingEstesParkLocalMarketingDistrictProposal.Motion:ImovetheTownBoardgointoExecutiveSession—Forthepurposeofdeterminingpositionsrelativetomattersthatmaybesubjecttonegotiations,developingstrategyfornegotiations,and/orinstructingnegotiatorsregardingEstesParkLocalMarketingDistrictProposal,underC.R.S.Section24-6-402(4)(E).2.ADJOURN.NOTE:TheTownBoardreservestherighttoconsiderotherappropriateitemsnotavailableatthetimetheagendawasprepared. JackieWilliamsonFrom:EPAdministration[ic3045@estes.org]Sent:Thursday,June11,20099:25AMTo:JackieWilliamsonSubject:JobDoneNotice(Send)***JobDoneNotice(Send)‘“‘JOBNO.1622ST.TIME@6/11@9:18PGS.1SENDDOCUMENTNAMETX/RXINCOMPLETETRANSACTIONOK6672527GregWhite5869561KEPL5869532TrailGazette5861691Channel86353677ReporterHerald2247899Coloradoan5771590EPNewsERROR1 CONVENTION &VISITORS BUREAU Organizational Chart CVB BUDGETED EXPENDITURES -2009 Visitors Visitors Group Special Conf TOTAL Advertising Center Guide Sales Events Center 222 2000 2600 2700 2800 5500 5800 Personnel $1,038,634 $154,559 $372,364 $0 $105,751 $405,960 $0 Operations and Maintenance 1,968,809 829,892 196,679 180,318 40,142 608,304 113,474 Capital 5,000 0 0 0 0 0 5,000 $3,012,443 $984,451 $569,043 $180,318 $145,893 $1,014,264 $118,474 Total Personnel ÷ Benefits for Peter Marsh,Suzy Blackhurst,Peggy Campbell,Julie Nikolai,and Ten Salerno =$384,804 CVB BUDGETED REVENUES -2009 Visitors Visitors Group Special Conf Non-dept Advertising Center Guide Sales Events Center 222 2000 2600 2700 2800 5500 5800 Transfer from General Fund 1,870,000 Interest 5,000 Stakeholder services 250,000 Retail (counter sales)52,763 Miscellaneous (Pepsi sales)3,000 Visitor Guide proceeds 180,318 Miscellaneous (room night fees)11,000 Charges for services 484,579 Current (buildings,donations)24,000 Misc (other,sponsorships,sales,prpa)50,500 Conference Center Lease 21,000 $2,952,160 $1,870,000 $5,000 $305,763 $180,318 $11,000 $559,079 $21,000 LOCALMARKETINGDISTRICTPetitionProcessFAQ’s1.Whatisalocalmarketingdistrict?Alocalmarketingdistrict(LMD)isanorganizationformedforthepurposeofadvertising,marketingandpromotingtourismwithinitsservicearea.2.WhydoweneedaLMD?TheEstesParkareacurrentlydoesnothaveadedicatedfundingsourceforadvertisingandtourismpromotion.EachyeartheTownBoarddecidesiftheyaregoingtobudgetfundsforadvertising.Iffundsarebudgeted,theycomefromtheTown’sGeneralFund.TheGeneralFundalsopaysforpolice,fire,publicworks,parks,planning,Townadministration,SpecialEvents,andotherTownfunctions.DemandforfundingoftheseservicescontinuestogrowfasterthanGeneralfundrevenues.IfforsomereasontheTownBoardwastochangeitsopinionofadvertisingortheGeneralfundsuffersashortfall,thentheTownBoardmayelecttosignificantlyreducefundingforadvertising.AlocalmarketingdistrictguaranteesthatadedicatedfundingsourcewillbeavailabletopromotetheEstesParkarea.3.HowdoyougoaboutstartingaLM])?Firstapetitionneedstobesignedbyownersof50%ofthecommercialrealpropertylocatedwithintheproposedLMDarea.Afterreceiptofasignedpetition,theTownBoardandLarimerCountyCommissionerswillthenenterintoanIntergovernmentalAgreementdescribingtheorganizationoftheLMD.PriortoapprovingthisIntergovernmentalAgreement,twopublichearingsmustbeheldbyboththeTownBoardandtheBoardofCountyCommissioners.IftheIntergovernmentalAgreementisapprovedbytheTownBoardandtheCountyCommissioners,theDistrictmayonlybeformedbytheapprovaloftheregisteredelectorsresidingwithintheareaoftheLMDatanelection.4.WhatwilltheDistrictboundariesbe?TheEstesParkLMDwillincludetheTownofEstesParkandthesurroundingarea.TheLMI)willnotincludeBouldercountyoranyFrontRangecommunities. 5.WhoisgoingtoruntheLMD?UndertheStateStatute,theTownBoardandLarimerCountyCommissionersareresponsiblefororganizingtheLMD.TheTownBoardandCountyCommissionerswillappointalocalBoardofDirectorstoruntheLMD.6.HowwilltheLMDbefunded?ThepetitionfortheformationoftheDistrictstatesthatfundingoftheLMDwillcomefromanadditional2%salestaxonthepurchasepricepaidorchargedtopersonsforroomsoraccommodationswithintheareaoftheLMD.This2%additionalsalestaxwillonlybecollectedwithintheserviceareaoftheLMI)afterapprovalatanelectionbytheregisteredelectorsresidingwithintheserviceareaoftheLM]).TheformationoftheDistrictandthemarketingandpromotiontax(2%)shallbevotedonatthesameelection.ThetaxwillbecollectedbytheStateofColorado’sDepartmentofRevenueasallsalestaxesarenowcollected,andfollowingcollection,betransferredtotheLMI).ThesetaxmonieswillnotgototheTownorLanmerCounty.7.Whenandhowisthenewlodgingtaxmoneygoingtobespent?IfvotersintheLMDapprovetheformationoftheDistrictandthe2%marketingandpromotiontax,itisestimatedthatapproximately$1milliondollarswillbecollectedinitsfirstyear.ifapprovedattheNovember2008election,thenewtaxwillbeginbeingcollectedinJanuaryof2009.TheTownBoardwillcontinuetofundthe2009advertisingcampaignfromtheTown’sGeneralFundwhilethenewLMDBoardisappointedandbeginsworkingonitsOperatingPlan.Underthestatestatute,theLMDBoardwillhaveuntilSeptember30,2009tosubmitItsOperatingPlanfor2010totheTownBoardandCountyCommissioners.TheBoardswillhavethirty(30)daystoapprovetheOperatingPlan,orreturnitforrevisions.Basedonthetimeofyearthatouradvertisingneedstobeplaced,thecurrentmarketingcommitteewillcontinuetoplananddirectthemarketingprogramthrough2009.ThenewLMDBoardwillbeappointedinearly2009andbeginitsplanningfortheSeptemberdeadlineforthenewOperatingPlan.ThiswillensureaseamlesstransitionfromtheoldcommitteetothenewBoard.Theplanistohaveoneyear’srevenueintheLMDcoffersandthentoalwaysbeworkingwithmoniesthathavebeencollectedtheyearbefore.ThiswillgivetheLMDasolidbudgetforeachyearregardlessofeconomicupsanddowns.8.Whathappenstotheoldmoney?TheTownBoardhascommittedtoincreaseup-gradingtrailsandimprovementsinthecommunity.Asthecurrentmarketingmoniesisreplacedwiththemarketingandpromotiontaxmoniesforadvertising,theTownBoardwillstepupitsspendingoncapitalimprovementprojectsandreinvestinginthecommunity. 9.Whatisthetimingifwegoforward?TheprocessforcollectingsignaturesonthePetitionisstarting.ThePetitionisattached.Afterownersof50%ofthecommercialrealestateintheLMI)havesigned,thentheTownandCountyClerkswillverifythosesignatures.TheTownandLarimerCountywillputtheformationoftheDistrictandthemarketingandpromotiontaxonthe200$GeneralElectionballotonNovember4,2008.IfvotersapprovetheformationoftheDistrictandthemarketingandpromotiontax,thenthetaxwillstartinJanuary2009.ThenewLM])Boardwillbeseatedinearly2009andwillassumemarketingresponsibilitiesbyimplementingtheOperatingPlanfortheLMDin2010.10.WheredoestheEstesParkConvention&VisitorsBureau(CVB)fitin?TheEstesParkConvention&VisitorsBureauisthedestinationmarketingorganizationresponsiblefortheoverallsuccessofthemarketingoftheregion.TheCVBrunsfive(5)departmentsaswellasfour(4)facilities,allfundedbytheTown’sGeneralfund.Thiswillstaythesame.ThereisacurrentmarketingcommitteeaspartoftheCVBoperation.ThiscommitteewillbereplacedbytheLMDBoard.Thisistheonlychange.TheCVBwillberepresentedontheLMDBoardandthetwowillcommunicateandworkcloselytopromotetheregion.TheCVBisaTowndepartmentandisgovernedbyaseven(7)memberadvisorycommitteeappointedbytheMayor.TheTownBoardhascommittedtocontinuetooperateandfundtheCVBensuringthateverydollarcollectedfromthemarketingandpromotiontaxgoestowardadvertisingandmarketing.TheCVBisthedestinationmarketingorganizationfortheregion.Itwillcontinuetoprovidevisitorsservices,fulfillment,groupsalesandmarketingaswellasrunevents.TheCVBwillbethestaffsupportinassistingtheLMD.TheTownwillcontinuetofundtheCVBanditsdepartments.ThiswillkeepfromduplicatingeffortsorstaffThepiechartattachedwillexplaintheroletheTownplaysandhowtheadvertisingwillsupporttheTown’sCVBdepartment. RECORDOFPROCEEDINGSTownofEstesPark,LarimerCounty,Colorado,March28,2007MinutesofaRegularmeetingoftheTOWNBOARDSTUDYSESSIONoftheTownofEstesPark,LarimerCounty,Colorado.MeetingheldatMuseumMeetingRoominsaidTownofEstesParkonthe28thdayofMarch,2007.Committee:MayorBaudek,TrusteesBlackhurst,Eisenlauer,Homeier,Levine,NewsomandPinkhamAttending:AllAlsoAttending:TownAttorneyWhite,AdministratorRepola,DirectorPickering,DirectorJoseph,ClerkWilliamsonAbsent:NoneMayorBaudekcalledthemeetingtoorderat12:00p.m.CMLUPDATESamMameUCMLExecutiveDirectorreviewedcurrentissuesincludingCMLseminars/conferences,lodgingtaxofotherColoradoMunicipalities,fundingoftransportation,Amendment41,andeminentdomainforUrbanRenewalAuthorities.MARKETINGDISTRICTSenatorSteveJohnsonandRepresentativeDonMarosticacarriedtheLocalMarketingDistrict(LMD)Amendment,SenateBill111,throughtheStateSenateandHouserespectively.TheTownisawaitingGovernorRitter’ssignatureandasigningceremonyhasbeenrequestedbySenatorJohnson.Intheeventthebillissigned,staffhaspreparedthefollowingdraftscheduleforimplementingamarketingdistrict:•Reviewoftheformation/organizationofLMD(May)•Conductaphonesurvey(May/June)•Town/Countytoassesstheformation/organizationoftheLMD(May/June)•Draftaproposedcontract(IGA)betweentheTownandCounty(June)•Obtainsignedpetitionof51%(valuation)ofcommercialpropertyowners-(July/Dec)•Formapoliticalactioncommittee(Jan/Feb2008)•Jointpublichearing(March2008)•Secondjointpublichearing(May2008)•Adoptcontractandorderelection(June2008)•CommitteetocampaignforLMD(July/Nov2008)•Election(Nov2008)•Lodgingtaxbegins(Jan2009)•Newmarketingcommitteebeginswork(July2009)•LMDfundsbegin(Jan2010)TheTrusteesrequestedstaffprovideadditionalinformationonthesurveyincludingquestionstobeaskedandlengthofthesurvey.ThemarketingdistrictwouldbeaseparategovernmentalentitywithaBoardthatwouldcollectsalestaxonthefurnishingoflodgingaccommodations.ThisBoardcouldbeappointedbytheTownBoard.StaffwillreviewtheVailmarketingdistricttodeterminehowitwasformedandhasdevelopedovertime.VACATIONHOMESAdministratorRepolareviewedtherecentcomplaintsreceivedforonespecificvacationhomerental,ACelticLady’sMountainRetreat,andtheneedtoaddressissuesrelated RECORDOFPROCEEDINGSCommunityDevelopment—December6,2007—Page3currentlybudgetedfortheEPMF&FMuseumAdvisoryCommittee,butmayberequestedinthefuture.AdministratorRepolastatedthattheprocedurerequiredtodisbandtheadvisoryboardissimilartotheprocessthatwasfollowedin1996whendisbandingtheSeniorCenterAdvisoryBoardandtheStanleyHallAdvisoryBoard.HestatedthatissuesrelatedtotheMuseumwillcontinuetobeheardbytheCommunityDevelopmentCommitteeandpresentedtotheTownBoardwhennecessary.MartiCasey/EPMF&FPresidentstatedthattheFriendsboardhasbeenmadeawareofthisproposalandwillapprovethechangeattheirJanuaryretreatandthateducationalcosts,ifandwhentheyoccur,willnotbeanissueforindividualboardmembers.TheCommitteerecommendstheadoptionofanordinancetodisbandtheMuseumAdvisoryBoardbesubmittedasanactionitemtotheTownBoardattheDecember11,2007meeting.MuseumAdvisoryBoardmemberswillberecognizedfortheireffortsbytheMayoratafutureTownBoardmeeting.MUSEUMPOLICYMANUALUPDATE—REQUESTAPPROVAL.InconjunctionwiththedissolutionoftheMayoral-appointedAdvisoryBoardinfavorofanEstesParkMuseumFriends&FoundationMuseumAdvisoryCommittee,theMuseum’spolicymanualrequiresupdating.Theproposedmanualrevisionsarehousekeepingchangesreflectingtheneworganizationalstructure,andtheMuseum’s2004namechangefromEstesParkAreaHistoricalMuseum”to“EstesParkMuseum.”FuturechangestoMuseumpolicieswillbereviewedbythenewMuseumAdvisoryCommitteepriortocomingbeforetheCommunityDevelopmentCommitteeforapproval.TheCommitteerecommendsapprovalofthechangestotheMuseumPolicyManualasoutlinedbystaff.REPORTS.Reportsprovidedforinformationalpurposesandmadeapartoftheproceedings.•MuseumMonthlyReport•SeniorCenterGeneralReportChairPinkhaminquiredabouttheusageoftheSeniorCentervan.Mgr.MitchellstatedthatthevancanonlybedrivenbyTownemployeesandusedbyTowndepartmentsandisprimarilyusedbytheSeniorCenter,andstatedthatusageofthevanhasbeenlowerthanoriginallyanticipated.CONVENTION&VISITORSBUREAU.LOCALMARKETINGDISTRICTFAQsANDPETITION-REQUESTAPPROVAL.AsasteptowardstheformationofaLocalMarketingDistrict,apetitionprocessisrequiredtoobtainthesignaturesofcommercialrealpropertyownersrepresenting50%oftheassessedpropertyvaluewithinthedistrictboundaries.Toaidinthepetitionprocess,acompilationofFrequentlyAskedQuestions(FAQ)wasproducedandwillbeincludedwithinformationthatwillbedistributedtocommercialpropertyownersbypetitionrepresentativesLyneffeLoff,KenLarson,andBillPinkham,aswellasDep.AdministratorHalburntandDir.Pickering.ThepetitionprocessisthefirststepinbringingthisissuetoaNovembervoteandstaffrequestsapprovaloftheFAQswhichwillbedistributedtopropertyowners.TheCommitteerecommendsapprovaloftheFAQsassubmitted.CONFERENCECENTER/FOREVERRESORTSSERVICE&FOODANDBEVERAGECONTRACTS-REQUESTAPPROVAL.TheoriginalcontractfortheEstesParkConferenceCenterbetweentheTownofEstesParkandForeverResortsprovidesfora5-yearserviceagreementcoveringthe TownofEstesPark,LarimerCounty,Colorado,June5,2008MinutesofaSpecialJointmeetingoftheBoardofTrusteesoftheTownofEstesParkandtheCountyCommissioners,LarimerCounty,Colorado.MeetingheldintheTownHallinsaidTownofEstesParkonthe5thdayofJune,2008.MeetingcalledtoorderbyCommissionerGibson.Present:WilliamC.Pinkham,MayorChuckLevine,MayorProTemTrusteesEricBlackhurstDorIaEisenlauerJohnEricsonRichardHomeierJerryMillerCommissionersGlenGibsonRandyEubanksKathayRennelsAlsoPresent:AttorneyGregWhiteJacquieHalburnt,TownAdministratorLowellRichardson,DeputyTownAdministratorFrankLancaster,CountyManagerJackieWilliamson,TownClerkCynthiaClay,CountyDeputyClerkGaelCookman,CountyDeputyClerkAbsent:TrusteeChuckLevineCommissionerGibsoncalledthemeetingtoorderat3:05p.m.MayorPinkhamprovidedabriefhistoryoftheprojectthatbeganinthefallof2007withtheGovernorsigningSenateBill07-111allowingstatutorymunicipalitiestoformLocalMarketingDistricts.Thepetitionprocessrequiredthesignaturesofcommercialpropertyownerstotaling50%ofthetotalcommercialassessedvalueoftheproposeddistrict.LOCALMARKETINGDISTRICTPETITIONCERTIFICATION.TownClerkWilliamsonreviewedthecertificationofthepetitionswhichtotaled$45.5millionofthe$84millionassessedcommercialvalueforallcommercialpropertywithintheproposeddistrict.AttorneyWhitereviewedtheprocessfortheapprovalandformationoftheLocalMarketingDistrict(LMD)bytheelectorateandtheproposed2%lodgingtax.TheTownandtheCountywouldhavetoenterintoanIntergovernmentalAgreement(IGA)todefinetheformationoftheLMD,itsroleandthelodgingtaxpercentage.TheboundariesofthedistrictarethoseoftheEstesValleyParks&RecreationalDistrictboundariesminustheareawithinBoulderCounty.Itwasmovedandseconded(TrusteeMiller/TrusteeBlackhurst)thepetitionfortheformationoftheEstesValleyLocalMarketingDistrictmeetstherequirementsofSection29-25-105(2)C.R.S.,anditpassedunanimously.CommissionerEubanksmovedthattheBoardofCountyCommissionersfindthepetitionfortheformationoftheEstesValleyLocalMarketingDistrictmeetstherequirementsofSection29-25-105(2)CR5.,anditpassedunanimously. BoardofTrustees/CountyCommissioners—June5,2008—Page2FORMATIONANDOPERATIONOFTHELOCALMARKETINGDISTRICT.TownAdministratorHalburntreviewedthelegislationallowingtheformationofaLMDbyastatutorymunicipality.Shestatedlodgingtaxesarenotuncommoninhomerulemunicipalitieswithapproximately30-40inexistencewithinColoradorangingfrom.9%to6%.Thetaxesarebeneficialtocommunitieshaveaninfluxoftouristusingthefacilitiesandservicesofthemunicipality.TheformationofthedistrictwouldbeaccomplishedthroughanIGAbetweentheTownandtheCounty.TheIGAand2%lodgingtaxwouldbevotedonbytheelectorateresidingwithinthedistrictboundaries.Thetaxwouldonlybecollectedonnightlyrentalsofaccommodationunitsandwouldnotbecollectedongoodsorgroceries.Thetaxisestimatedtogenerate$1milliontobecollectedbytheDepartmentofRevenueandtransferreddirectlytotheLMD.Thetaxcollectedcouldonlybeusedtoorganize,promote,marketandmanagepublicevents;activitiesinsupportofbusinessrecruitment,managementanddevelopment;andcoordinatingtourismpromotionactivities.Ifapproved,collectionofthetaxwouldbegininJanuary2009;therefore,theTownwouldfundmarketingeffortsfor2009.CVBDirectorPickeringstatedamarketingdistrictisneededinEstesvalleytoprovideadedicatedfundingsourcetopromoteandmarkettourismunderanyconditions;toeliminatein-townversusout-townconcernsbybusinessowners;toplacemarketingdecisionsinthehandsofthecommunityandbusinessesofEstes;andabalancedapproachtofundingtheinfrastructureandmarketing.TheLMDBoardwouldbeappointedbytheTownTrusteesandtheCountyCommissioners.IfapprovedinNovember,thetaxcollectedandtherevenuesearnedbytheCVB($250,000)wouldgodirectlytotheLMD.ThenewBoardwouldbeseatedlate2008orearly2009,andwoulddevelopanoperatingplanfor2010.TheplanwouldbepresentedtotheTownandtheCountyforapprovalpriortoSeptember30,2009.The$800,000earmarkedfromtheGeneralFundformarketingwouldbeusedinthefutureforcapitalimprovementprojects.ItisanticipatedtheLMDwoulddirecttheCVBstaffregardingmarketing,advertisingandpromotionalprograms;however,theTownwouldcontinuetofundspecialevents,theconferencecenter,PerformancePark,andportionsoftheCVB.PUBLICCOMMENTDavidHabecker/AppenzellInnquestionedwhetherornottheYMCA,ataxexemptentity,wouldbeincludedinthedistrict.HealsoquestionedtheroleoftheCVBinthefuturewiththeapprovaloftheLMD.Hewouldencouragethedevelopmentofaformalcomplaintprocesstoensurebusinesseshavetheabilitytoregistergrievancesifthedistrictdoesnotperformornegativelyimpactsabusiness.JimTawney/PonderosaLodgeforeseesthedistrictfailingunlesstheelectoratecanbeassuredthat100%ofthemoneyraisedfromthelodgingtaxwouldbeusedsolelybytheLMDformarketing.TheLMD’sroleshouldbedefinednarrowlyandfundingshouldbeusedsolelyformarketing.HealsorequestedTownfundscurrentlybudgetedformarketingcontinuetobebudgetedforwiththeapprovaloftheLMD.HestatedifmoneyisusedforpersonnelcostthelodgingestablishmentwouldnotsupporttheLMD.WarrenClinton/CastleMountainLodgeagreedwithearliercommentsandsuggestedthe$800,000budgetedformarketingshouldcontinuetogrowovertheyears.Ifthemoneysupplantedbythelodgingtaxisusedforinfrastructure,itshouldbeusedfortourismortourismrelatedfacilities.Thedollarsraisedshouldbeusedsolelyformarketing.RobinEldridge/ParadiseRVParkspokeinfavoroftheLMD.Hesuggestedthedistrictshouldbediagramedtohelpexplainittothegeneralpublic.Hequestionedifallaccommodationbusiness,in-town/out-townwouldbeincludedasamemberoftheCVBifthenewdistrictispassed.Healsoquestionedwhatwouldhappenwithadownturnintheeconomytomakeupthedifferenceinrevenue,i.e.wouldtheTownsetasidefundstomakeupthedifference. BoardofTrusteeslCountyCommissioners—June5,2008—Page3DirectorPickeringstatedCVBmembershipwouldbedeterminedbythenewLMDBoard.HewouldrecommendtothenewLMDBoardthatthecurrentfeestructureremaininplace.DaveRanglos/GlacierLodgespokeinfavoroftheLMD.HestatedconcernwithpotentialoverlapinservicelevelsbetweentheCVBandtheLMD.HequestionedtheneedtoformaseparateBoardfortheoversightofthefundswhentheCVBalreadyhasastaffofprofessionals.BOARDANDCOMMISSIONERCOMMENTSTrustee/Commissionercommentsaresummarized:theoperatingplanshouldbeopentothepublicfordiscussioninordertobeastransparentaspossible;concernswereraisedastohowtheCVBwouldtransitiontotheLMD;wouldthelodgingtaxfundsbeusedtopayforpersonnel;theTownwouldcontinuetofundtheoperationsoftheCVBbudgetedat$2.8millionfor2008andonly$800,000wouldbesupplantedbythenewlodgingtax;anIGAmayneedtobedevelopedbetweentheTownandtheLMDformarketingofTownfacilities,i.e.StanleyFairgrounds;theGeneralFunddollarssavedwouldbeusedfortangiblebenefitsforthetouristandresidentstoremainapremiermountainresort;thisisamechanismtoraisemarketingdollarsandfindmoremoneyforcapitalimprovements:whatfeedbackhastheTownreceivedontheformationoftheLMD;thecommunityissupportivebutconcernedwiththemanagementofthedistrict;conceptuallytherearealotofquestionsthatneedtobeansweredwithregardtothemechanicsofthedistrict;theaccountabilityofthedistrictneedstobeclearandtransparent;thepublicandthebusinesscommunityshouldhavetheopportunitytoapplyasamemberofthenewBoard;thedistrictisvitalforthefutureofthetown;thedistrictwouldprovidesamechanismtocollectmarketingfundsandprovideasetamounttobeusedeachyear;needtoprovidemoteinformationtothepublicontheissue.Therebeingnofurtherbusiness,CommissionerGibsonadjournedthemeetingat4:40p.m.JackieWilliamson,TownClerk RECORDOFPROCEEDINGSTownofEstesPark,LarimerCounty,Colorado,June10,2008MinutesofaRegularmeetingoftheTOWNBOARDSTUDYSESSIONoftheTownofEstesPark,LarimerCounty,Colorado.MeetingheldatTownHallinRooms201/202/203insaidTownofEstesParkonthe10thdayofJune,2008.Board:MayorPinkham,TrusteesBlackhurst,Eisenlauer,Ericson,Homeier,LevineandMillerAttending:MayorPinkham,TrusteesBlackhurst,Eisenlauer,Ericson,HomeierandMiller.AlsoAttending:TownAdministratorHalburnt,DeputyTownAdministratorRichardson,TownAttorneyWhiteandTownClerkWilliamsonAbsent:TrusteeLevineMayorPinkhamcalledthemeetingtoorderat5:00p.m.REVIEWPETITIONPROCESSANDFREQUENTLYASKEDQUESTIONS(FAQS).WHATWASPRESENTEDTOBUSINESSES.AdministratorHalburntreviewedtheFrequentlyAskedQuestions(FAQ5)thatwerepresentedtothepetitionersandapprovedbytheCommunityDevelopmentCommitteeinDecember2007.Afterreviewofthequestions,AttorneyWhitehasstatedtheyarenotlegallybinding.FAQ#8statestheTownwouldcontinuetofundthesalariesoftheCVBstaffiftheLMDispassed.AdministratorHalburntwouldliketodiscusstheissuefurtherwiththeBoardanddeterminewhetherornottherewouldbeapointintimetheLMDwouldtakeovercompensationforstaff.TrusteeEisenlauerandBlackhurststatedthemoneyraisedbytheLMDshouldbeusedforthecostofmarketingandadvertising,andwasneverintendedtosupplantsalariesoftheCVBstaff.TheLMDshouldincreasetheTown’sadvertisingbudgetandGeneralFundmoneysavedshouldbeusedforcapitalimprovements.TrusteeMilleragreedtheTownshouldcontinuetopayforstaffsalariesfortheinitialfiveyeartermoftheproposedIntergovernmentalAgreementandthenreevaluate.DiscussionfollowedregardingthestaffingoftheLMDandwhetherornottheCVBstaffwouldworkfortheTownorfortheLMD.ItwassuggestedtheLMDcouldhiretheCVBstafftoperformthenecessaryworkrelatedtomarketingandadvertising.QuestionswereraisedastowhowouldhaveoversightoftheCVBstaff;whathappensifthestaffdoesnotperformtothesatisfactionoftheLMD;andhowwoulditbeaddressed.AdministratorHalburntexpressedconcerntheLMDwouldhavemoneybutnostafftooperate,andiftheCVBstaffanswerstomorethanoneboardthelinesofauthoritycouldbeunclear.AttorneyWhitestatedthedraftIGAwaswritteninJulyof2007atthebeginningoftheprocessandenvisionedasevenmemberboardwiththreemembersappointedbytheTown,threeappointedbytheCountyandoneappointedjointlybytheTownandtheCounty.However,itisestimatedthat80%oftherevenuewouldcomefrompropertieswithintownlimits,andthenumberofboardappointmentsfromtheTowncouldbeincreased.Inaddition,aTownTrusteecouldbeappointedtotheboard.TrusteeEricsonquestionediftheDepartmentofRevenuehadbeencontactedtoincludetheLMDonformsfor2009ifpassed.AttorneyWhitewouldcontacttheDepartment.HealsoquestionedhowtheLMDwouldbepromotedtothecommunity.AttorneyWhiteinformedtheBoardthatoncetheballotquestionsarecertifiednopublic RECORDOFPROCEEDINGSTownBoardStudySession—June10,2008—Page2moneycanbeusedtopromotetheissue.However,theBoardmemberscanpromotetheissueaslongaspublicmoneyisnotused.StaffwouldprepareaplanandtalkingpointstopromotetheLMDthatwouldstressthedifferencebetweenalodgingtaxandsalestax.StaffwouldalsoprepareatimelinefortheLMDelection.TrusteeHomeierstatedinordertoselltheLMDtothecommunityaprojectortwoshouldbechosentoearmarkthemoneysupplantedbythelodgingtax.Thisstrategywouldaidingaininglocalsupportfortheissue.DiscussionfollowedregardingthetimingandcontentoftheLMDOperatingPlan.TheplanmustbecompletedandapprovedbytheTownandtheCountypriortothelevyingofanytax.TheLMDplancouldincludetheabilitytohirestaff/consultantstocompletethemarketingandadvertising.TheTownBoardcouldrequiretheLMDtohiretheCVBstaff.TrusteeMillersuggestedaseparateIGAbedraftedbetweentheTown,CountyandtheLMDastohowtheLMDwilloperateandincludetheuseoftheCVBstaff.INTERGOVERNMENTALAGREEMENT(IGA)ANDSTATUTORYREQUIREMENTS.AdministratorHalburntreviewedthedraftIGA.•Llection-Thecostoftheelectionhasbeenestimatedat$20,000andtheentitiesresponsibleforthecosthavenotbeendetermined.TheTownanticipatespayingfortheelectionandbeingreimbursedbytheLMDifpassed.•BoardofDirectors—DiscussionwasheardregardingthenumberoftermsaBoardmembershouldserveandthemakeupoftheBoard.ThedraftIGAlimitsthetermtoonetermoffouryears.ItwasproposedtheIGAshouldbechangedtotwoterms.TrusteeBlackhurstexpressedaconcernwithtermlimits.Itwasproposedthat80%oftheBoardbeTownappointmentsand20%fromtheCounty.ItwasalsosuggestedthesplitcouldbedeterminedbythenumberofroomsintheTownversustheCountyandtheanticipatedlodgingtaxthatwouldbecollectedbyeach.Staffwillresearchtheissuefurther.TheChairandtheViceChairshouldbeselectedbytheBoardforaoneyearterm,withthepotentialforre-electionfornomorethan2consecutiveterms,andcannotbere-electedtothesamepositionfortwoyearsafterserving2consecutiveterms.•TheorderofsectionsVIIandVIIIshouldbeswitched.•Distribution—Thedivisionofassetsshouldbedoneproportionallybasedonrevenues.•Term—Therecouldbeconflictswiththeterminationoftheagreementinthemiddleofthefinalyearduetopreviousadvertisingcommitments.Itwassuggestedthefollowingsentenceberemoved:However,theDistrictshallnotenterintoanycontractsoragreementswhichextendbeyondDecember31ofthecalendaryearinwhichanoticeofterminationhasbeengiven.•OtherProvisions:oTransition—TheBoardquestionedwhowouldbetheadministratorfortheLMDduringthefirstyear.OtherissuesthatneedtobeaddressedincludedwhatwouldhappentotheCVBstaffandwhowouldpayfortheTownattorney’stime.oAmendment—AnyamendmentswouldbeaddressedbytheTownandtheCountyandwouldnotneedtobevotedonbytheelectorate.MISCELLANEOUSDeputyAdministratorRichardsonadvisedtheBoardtheadditionofagasbustothecampgroundroutewilladd$9,000to$10,000totheshuttlecostsfor2008.TheBoardexpressedthebuswouldcreatelessnoise,smellandbecheapertooperate,andtherefore,theTownshouldmoveforward.Therebeingnofurtherbusiness,MayorPinkhamadjournedthemeetingat6:50p.m.JackieWilliamson,TownClerk TownofEstesPark,LarimerCounty,Colorado,June26,2008MinutesofaSpecialJointmeetingoftheBoardofTrusteesoftheTownofEstesParkandtheCountyCommissioners,LarimerCounty,Colorado.MeetingheldintheTownHallinsaidTownofEstesParkonthe26thdayofJune,2008.MeetingcalledtoorderbyCommissionerGibson.Present:WilliamC.Pinkham,MayorTrusteesEricBlackhurstDoriaEisenlauerJohnEricsonJerryMillerCommissionersGlenGibsonRandyEubanksAlsoPresent:AttorneyGregWhiteJacquieHalburnt,TownAdministratorLowellRichardson,DeputyTownAdministratorFrankLancaster,CountyManagerJackieWilliamson,TownClerkAbsent:TrusteeChuckLevineTrusteeRichardHomeierCountyCommissionerKathayRennelsCommissionerGibsoncalledthemeetingtoorderat7:00p.m.FORMATIONANDOPERATIONOFTHELOCALMARKETINGDISTRICT(LMD).TownAdministratorHalburntstatedapetitionwascertifiedbytheLarimerCountyCommissionersandEstesParkBoardofTrusteesatthefirstpublichearingheldonJune5,2008.ShereviewedthelegislationallowingtheformationofaLMDbyastatutorymunicipality,andtheprocessforapprovingthenewdistrictandthenew2%lodgingtaxtobecollectedonnightlyaccommodationsonly.ThenextstepintheformationofthedistrictwouldbeanIntergovernmentalAgreement(IGA)betweentheCountyandtheTown.IfapprovedbythevotersattheNovemberelection,anoperationsplanwouldneedtobeapprovedbyNovember15,2008inordertobegincollectingthetaxonJanuary1,2009.TheTownwouldfundalladvertisingandmarketingeffortsthroughtheConventionandVisitorsBureau(CVB)in2009,whilethenewdistrictcollectsthelodgingtaxin2009tobeallocatedtowards2010expenses.TheTownagreestopayforsalariesoftheCVBforthefirstfiveyearsasoutlinedinthedraftIGA.CVBDirectorPickeringreviewedtheneedsforamarketingdistrictintheEstesValley,themake-upofthenewBoard,approvaloftheoperatingplanbytheCountyandtheTown,andthe$800,000currentlyearmarkedfromtheGeneralFundformarketingwouldbeusedinthefutureforcapitalimprovementprojects.ItisanticipatedtheLMDwoulddirecttheCVBstaffregardingmarketing,advertisingandpromotionalprograms;however,theTownwouldcontinuetofundspecialevents,theconferencecenter,PerformancePark,andportionsoftheCVB.INTERGOVERNMENTALAGREEMENT-DISCUSSION.AttorneyWhitepresentedthedraftIGAfordiscussion.Theagreementestablishesthedistrictonlyanddoesnotincludetheoperationsofthenewdistrict.TheMarketingDistrictwouldberesponsibleforpreparinganoperationsplanandabudgettobeapprovedannuallybybothgoverningbodies.Anoperationsplanmustbeadoptedinordertocollectthetax.ThefollowingIGAitemswerereviewed: BoardofTrusteeslCountyCommissioners—June26,2008—Page2•DistrictServiceArea—TheserviceareawouldbetheEstesValleyParkandRecreationalareaminusBoulderCounty.•EligibleElectors—OnlythoseelectorsthatareregisteredwithinLarimerCountyandresidewithintheserviceareaofthedistrictwouldbeeligibletovoteontheissueandthetax.TheMarketingDistrictisnotaspecialdistrict.•ElectionCost—Thecosts($20,000)wouldbesplitbytheCountyandtheTown.TheTownClerkwouldbetheelectionofficial.•BoardofDirectors—TheBoardwouldconsistofsevenmemberswithfivefromtheTownandtwofromtheCountybasedonthepercentageoftaxthatwouldbecollectedfrompropertieswithinTownlimits.Thefouryeartermswouldbestaggeredandmemberswouldbelimitedtotwofullterms.•Term—TheagreementshallbeforfiveyearsbeginningwiththeestablishmentoftheDistrict,canbeterminatedbyeitherpartyandrenewedautomaticallyforanadditionalfiveyearterm.•AutomaticTermination—TheagreementshallterminateautomaticallyiftheissuefailsattheGeneralelection;however,theagreementwouldbeenforcediftheissuepassedandthelodgingtaxfails.CommentsanddiscussionwereheardfromtheCommissionersandtheTrustees:couldbeusefultohavetheMarketingBoardmembersselectedpriortotheelectiontodeveloptheoperationsplanandtoprovidealevelofcomfortfortheelectorate;eliminatetermlimitsfortheBoardmembers;aprovisionshouldbeaddedtoallowreappointmentofatermlimitedmemberifnootherpotentialcandidatesapply;seatsonthenewBoardshouldbeadvertisedandstructuredinterviewsheldtoidentifythebestqualifiedcandidate;andvaluableresourcesandexpertisemaybelostontheBoardiftermlimitsareimposed.PUBLICCOMMENT.LynetteLottlVallahaResortandPresidentofEstesLodgingAssociation(ELA)statedthemajorityoftheELAmemberssupporttheformationoftheLMD;however,numerousquestionshavearisenfromtheorganization,includingthefollowing:•HasanIGAbeencreated?•ItisunderstoodbyELAthatthecurrentCVBstaffwouldworkundertheLMDBoard.ClarifywhytheLMDBoardwouldneedsixtoeightstaffmembers?WhatwouldbetheroleoftheCVBstaffinthefuture?•WouldtheCVBstakeholderfeesbediverted?•Howwastheprojectedlodgingtaxrevenueof$1.2milliondetermined?•IftheCountyandtheTowndonotagreeontheoperationsplan,wouldthelodgingtaxbeusedfortheoperationsoftheCVB?Staffrespondedtothequestions:AdraftIGAhasbeendeveloped;theLMDwouldhiretheCVBstaffinitscurrentcapacityandwouldoverseetheproductdevelopedbytheCVBstaff;whetherornottheCVBstaffwouldbecomeemployeesoftheLMDinthefuturehasnotbeendetermined;theapproximately$250,000instakeholderfeescollectedwouldgodirectlytotheLMD;theestimatedlodgingtaxtobecollectedwasdeterminedusing2007salestaxrevenuecollectedbylodgingbusinesseswithinEstesPark;andthethreebodieswouldhavetoworktogetherandagreetocompromise.ELAwouldrecommendtheMarketingBoardmemberscompleteanapplication;thepositionswouldbepublishedinbothlocalpapers;applicationswouldbereviewedbyacommitteethatwouldcompriseofoneEstesParkofficial,twoLocalLodgingmembersandoneLarimerCountyofficial;andrecommendtheLMDBoardmembershavelodgingorbusinessexperience,twoofthemembershaveatleast5yearsresidencewithinthedistrict,marketingorPRexperience,threemembersfromthelodgingindustry,oneretailorrestaurant,onefinancialandtwobasedonexperience.ThemostqualifiedshouldbeappointedandnotwhetherornottherepresenttheTownortheCounty.Allmembersshouldlivewithinthedistrict.Themembersshouldnotbe BoardofTrusteeslCountyCommissioners—June26,2008—Page3governmentofficialsoremployeesofthegoverningbodies.ELAwouldadvocatefornotermlimits.DavidHabecker!AppenzellInnspokeinfavorofthedistrict.Hestatedanadditionalquestionshouldbeaddedtotheballottobond$8to$9milliontobuildtheneededinfrastructureandusethe$800,000forbondpayments.HewouldadvocatedfortheformaldevelopmentoftheoperationsplantoaddresstheformationandrelationshipsbetweenthenewdistrictandtheCVBpriortotheelection.HealsosuggestedanIGAbedevelopedbetweentheLMDandtheTownwithregardtotheCVB.ThevotersneedsomereassuranceonhowtheLMDwilloperatepriortotheelection.KenLarsen/RiverstoneManagementexpressedconcernwiththeLMDpossiblyabsorbingthecostoftheCVBstaffaftertheinitialfiveyearterm.Hestatedthatwoulddecreasethedollarsavailableformarketing.JimTawney/PonderosaLodgereiteratedhisconcernwiththeremovalofthe$800,000budgetedbytheTownformarketing.HesuggestedtheTowncontinuetobudgetfundsformarketing.ThenewLMDBoardshoulddeterminewhetherornotthereisarelationshipwiththeCVB.DaveRanglos/GlacierLodgespokeinfavorofthedistrict.ThenewBoardshouldbeopentootherorganizations,grantopportunitiesormarketingopportunitiesthatmaynotbeutilizedorconductedbythecurrentCVB.KenArnold/DeercrestResortstatedlodgingestablishmentsarefindingitdifficulttoraisethenightlyratesenoughtocovertheincreaseinpropertytax.Theadditionofalodgingtaxwouldcompoundtheissue.HeencouragedtheBoardstoappointthenewLMDBoardpriortotheelection.BOARDANDCOMMISSIONERCOMMENTS.Commentsaresummarized:aclauseshouldbeaddedtotheTermsforBoardmemberstoallowthereappointmentofamemberthatistermlimited;appointtheLMDBoardpriortotheelection;investigatethepotentialofabondforneededinfrastructureimprovements;appointmentoftheLMDBoardcouldhelpalleviatetheuncertaintyraisedbytheelectorate;abondshouldbeconsideredlateroncerevenueshavebeendetermined;thefundingoftheCVBsalariesbytheTownforthefirstfiveyearsonlyshouldbere-evaluated;andthenewlodgingtaxshouldbeusedsolelyformarketingandnotsalaries.APPROVALOFTHEINTERGOVERNMENTALAGREEMENT.BothgoverningbodieswouldreviewtheGAfurtheranddiscusspotentialchanges.TheGAwouldbeapprovedbytheindividualgoverningbodiesattheirrespectivemeetingsinthenearfuture.Therebeingnofurtherbusiness,CommissionerGibsonadjournedthemeetingat8:25p.m.JackieWilliamson,TownClerk RECORDOFPR0CEEDNGSTownBoardStudySession—August8,2008—Page3LOCALMARKETINGDISTRICT(LMD)TrusteeHomeierstatedtherelationshipbetweentheLMDandtheCVBshouldbekeptseparate.AnypresentationbytheTownBoardshouldrelatetothebenefitsofanLMDandnottherole/relationshipoftheCVBandtheLMD.TheLMDBoardwoulddeterminetherelationshipwiththeCVBandnottheTown.TheTownshouldnotconnecttheCVBtotheLMDbecauseitproposestoomanyquestionsthatcannotbeanswered.ThepetitionersaretheonesthatowntheLMDandareaskingfortheformationoftheLMDandthelodgingtax.TrusteeBlackhurststatedtheTowninitiatedthepetition;andtherefore,theTownisresponsiblefortheissue.QuestionshavearisenwithregardtotherelationshipwiththeCVBandneedtobeaddressed.TheCVBfundingisaseparateissue;however,theTownwillcontinuetofundthedepartment.TheintentoftheLMDandthetaxistoreplacetheapproximately$800,000theTownspendsonmarketingandusethosefundsforinfrastructureimprovements.TheBoardneedstocontinuetomarkettheLMDasithasbeenpresented.TheBoardwasinagreementwithcommentsmadebyTrusteeBlackhurst.TrusteeHomeierleftthemeetingat10:00am.andDirectorSmitharrived.AdministratorHalburntstatediftheLMDpassesthisNovembertheTownwillreinvestmoneyspentonmarketingoninfrastructureimprovementsandfundingoftheCVBforthenextfiveyearswouldnotbeincludedintheIntergovenmentalAgreementwiththeCountyfortheformationoftheLMD.GREENESTESPARKDirectorGoehringpresentedoptionsfortheBoardtoconsiderduringtheupcomingbudgettobeagreenerorganization.TheTowncouldpurchaseenoughwindenergytoplaceallTownGeneralFundfacilitiesonwindenergyatacostofapproximately$30,000,L&Pfor$3,300andWaterfor$8,500;however,thepurchasewouldbea20yearcommitmentandwouldlikelydoubleby2010.TheL&Pdepartmenthasalsodevelopedastatic-clingstickertobedisplayedbycurrentandfuturerenewableenergyuserstodisplayintheirhomes,carsorbusinesses.HesuggestedtheTownplacea1,000wattwindturbineanda1,000wattsolardisplayatthehydroplantatacostof$25,000toprovidethecitizensandvisitorsademonstrationofwhatthetwosystemsmightyieldinthevalley.HestatedtheholidaylightsplacedalongElkhornAvenuecouldbereplacedwithLEDlightsforacostof$40,000andcouldbeleftupyear-round.AdministratorHalburntstatedthisisoneoftheTownBoardgoalsandwouldalsobeagoodwaytocommunicatetothecommunityandvisitorsthatEstesParkisagreentown.Discussionfollowed:TrusteeLevineisinfavorofgreenalternatives,statingtherewouldbeacost;TrusteeMillerstatedapolicyshouldbedevelopedtobuildnewTownfacilitiestoLEEDstandardsinthefuture;MayorPinkhamstatedasoneofthefourownersofPRPA,acoalburningutility,greeneroptionswouldsendtherightmessageandaddressfutureneeds;concernwasraisedonthetwodemonstrationmethodsmeetingtheDevelopmentCodeandthelocationshouldbemorepublic(Museum);theLEDlightsarenotworththeadditionalcosttohavelightingyear-round;year-roundlightingonsheepislandwouldbepreferredifonecoloroflightcouldbeused.POTENTIALREVENUESOURCESAdministratorHalburntreviewedpotentialrevenuesourcesincludingatemporarytaxtoprovidefundingfordeferredinfrastructureimprovements,impactfees,chargingfordispatchservices,stormwaterfeeandahighermillevyforsecondhomeowners.TemporaryTax—theBoardexpressedtheneedtofocusontheLMDpriortoconsideringanadditionaltax.EPURAhastheabilitytobondforlongrangeprojectsandshouldbeutilizedwhenpossible.Staffshouldinvestigateothermechanismor BoardofTrustees—August12,2008—Page22.Bills.3.CommitteeMinutes:A.PublicSafety,July17,2008.B.PublicWorks,July24,2008.Itwasmovedandseconded(Levine/Miller)theConsentAgendabeapproved,anditpassedunanimously.2.REPORTSANDDISCUSSIONITEMS:InitiatedOrdinancePetitionsforEstesParkUrbanRenewalAuthority(EPURA)—Report.AttorneyWhitestatedapetitionwasfiledbypetitionersWilliamVanHornandLarryPesseswiththeTownClerkonJuly7,2008torequirevoterapprovalataregularorspecialelectionforthecreationandviabilityoftheexitingEPURAandanynewURAorDowntownDevelopmentAuthorityinthefuture.HereviewedtheInitiatedOrdinanceprocedureincludingtheformofthepetition.TheTownClerkrejectedthepetitionbecausethecreationofanURAorDowntownDevelopmentAuthorityisgovernedbyC.R.S.31-25-101,anyexistingURAisaseparateentityandnotapropersubjectofmunicipallegislationandtheproposedballotInitiativeOrdinanceaddressedmultiplesubjects.OnJuly20th,twoseparatepetitionswerereceivedbytheTownClerk.Thefirstpetitioncontainedthesameprovisionsassetforthintheinitialpetitionrequestingavoteofthepeople.ThesecondpetitionaddressedtheabolishmentofEPURAunderC.R.S.31-11-106(1).TheTownClerkrejectedthefirstpetitionforthesamereasonsasstatedpreviously.Uponthecompletionandsubmittalofafirstprinter’sproofofthesecondpetitiontheTownClerkwouldapprovethepetitionforcirculation.TheTownClerk’sofficehasnotreceivedfurthercorrespondence.TheEstesParkCitizensforResponsibleGovernmentandWilliamVanHornfiledforDeclaratoryJudgment;however,theTownwasnotserveduntilAugust5,2008.ThePlaintiffshaverequestedthecourtsscheduleaspeedyhearingandfindtheproposedOrdinancesaremunicipallegislation.ThePlaintiffsmustfileanopeningbriefbyAugust19ththeTownhasuntilAugust29tu1tofileabriefandthePlaintiffhasuntilSeptember2rtoreplytothebrief.TheTownistryingtomoveforwardasquicklyaspossible.3.ACTIONITEMS:1.RE-APPOINTMENT:ADVERTISINGCOMMITTEE.DirectorPickeringrequestedthere-appointmentoftheAdvertisingCommittee(CVBMarketingCommittee)whichexpiredinApril2008.TheappointmentswouldexpireDecember31,2008.Itwasmovedandseconded(Blackhurst/Eisenlauer)toapprovethere-appointmentofCoryBlackman,KylePatterson,RobPieper,TomPickering,PeterMarsh,SuzyBlackhurst,BoWinslowandJulieNikolaitotheAdvertingCommitteeasoutlinedabove,anditpassedunanimously.2.INTERGOVERNMENTALAGREEMENT(IGA)BETWEENTHETOWNOFESTESPARKANDLARIMERCOUNTYFORTHEESTESPARKLOCALMARKETINGDISTRICT.AttorneyWhitereviewedthechangestothefifthdraftoftheIGAbetweentheTownofEstesParkandtheLarimerCountyCommissionersfortheestablishmentoftheEstesParkLocalMarketingDistrict.TheresidencyrequirementwasamendedtorequireaBoardmembertoresidewithintheserviceareaofthedistrictwithfiveappointmentsbytheTownandtwoappointmentsbytheCounty.TermlimitsforBoardmembercanbewaivedby BoardofTrustees—August12,2008—Page3eithertheTownortheCountyiftherearenoqualifiedapplicantstofillavacancyontheBoard.TheestablishmentoftheLMDandtheauthorizationtolevya2%marketingandpromotiontaxwouldbesubjecttovoterapprovalattheNovember4,2008GeneralElection.TheIGAdesignatestheTownClerkastheelectionofficial.TheTownwouldberesponsibleforitspro-ratashareoftheelectioncostsdeterminedbythenumberotelectorsoftheTownandtheCountyeligibletovoteinthedistrictelection.TheLMD,ifestablished,anduponreceiptoftaxrevenuewouldreimbursetheTownandtheCountyforthecostoftheelection.DavidHabecker/TownCitizenexpressedgreatconcernthatallLMDBoardmemberscouldhaveresidencyoutsideofTownlimits.BusinessesintownlimitsmaynothaverepresentationontheBoard.TheTownBoardemphasizedthelodgingtaxwouldbecollectedbytheStateandtransferreddirectlytothenewLMDBoard.TheTownandtheCountywouldnotdictatehowthemoneyisspentexceptthroughtheapprovalofayearlyoperatingplan.FundscurrentlyusedformarketingbytheTownwouldbeusedforinfrastructureandcapitalimprovementsforthecitizensandtouristofourcommunity.Afterfurtherdiscussion,itwasmovedandseconded(Levine/Homeier)toapprovetheIntergovernmentalAgreementbetweentheTownofEstesParkandtheLarimerCountyBoardofCommissionerfortheformationoftheEstesParkLocalMarketingDistrict,anditpassedunanimously.TheMayorthankedallfortheireffortsinbringingthisissueforward.3.INTERGOVERNMENTALAGREEMENT(IGA)BETWEENTHETOWNOFESTESPARKANDLARIMERCOUNTYELECTIONSOFFICEFORTHE2008COORDINATEDELECTION-LOCALMARKETINGDISTRICT.TownClerkWilliamsonstatedpursuanttoC.R.S.1-7-116(2),anIGAwouldberequiredbetweenapoliticalsubdivisionandtheCountyClerkandRecordertoparticipateintheupcomingcoordinatedelection.TheagreementplacesallelectionresponsibilitiesontheCountyforthepreparationandconductofthecoordinatedelectionandprovidesfortheappropriatecoststobepaidpursuanttotheIGAbetweentheTownandtheCountyfortheLMD.Theestimatedcostoftheelectionis$20,000to$33,000.Itwasmovedandseconded(Eisenlauer/Ericson)toapprovetheIntergovernmentalAgreementbetweentheTownofEstesParkandtheLarimerCountyClerkandRecorderfortheCoordinatedelectiontobeheldonNovember4,2008anditpassedunanimously.4.WAPITICROSSINGDEVELOPMENTPLAN07-13APPEALOFTHEPLANNINGCOMMISSIONAPPROVALOFDEVELOPMENTPLAN07-13,WapitiCrossing,Lot22,SouthSaintVramAddition.AttorneyWhitestatedtheappellants,adjacentpropertyowners,areassertingtheEstesValleyPlanningCommission(EVPC)didnotcorrectlyapplySection7.8oftheEstesValleyDevelopmentCode(EVDC)duringthereviewandsubsequentapprovalofthedevelopment.PlannerShirkreviewedthehistoryoftheproposeddevelopmentincludingapreviousdenialofthedevelopmentinNovember2007bytheEVPCbasedonasignificantimpacttowildlife.InJanuary2008,thedeveloperappealedtheEVPC’sdecisiontotheTownBoardandtheBoardremandedthedevelopmentplantotheEVPCtoreviewaWildlifeConservationPlan.TheplanwaspreparedbyaStaffapprovedcertifiedwildlifebiologist,forwardedtotheColoradoDivisionofWildlife(CDOW)forreviewandtheEVPCfounditcompliedwiththerequirementssetforthinSection7.8.H.AfterpreparationoftheConservationPlan,theapplicantrevisedthedevelopmentplantoreflect TownofEstesPark,LatimerCounty,Colorado,November17,2008MinutesofaSpecialmeetingoftheBoardofTrusteesoftheTownofEstesPark,LarirnerCounty,Colorado.MeetingheldintheTownHallinsaidTownofEstesParkonthe17thdayofNovember,2008.MeetingcalledtoorderbyMayorPinkham.Present:WilliamC.Pinkham,MayorMayorProTernChuckLevineTrusteesEricBlackhurstDoriaEisenlauerJohnEricsonRichardHomeierJerryMillerAlsoPresent:GregWhite,TownAttorneyJacquieHalburnt,TownAdministratorLowellRichardson,DeputyTownAdministratorJackieWilliamson,TownClerkAbsent:None1.ACTIONITEMS:1.LOCALMARKETINGDISTRICT.MayorPinkhamstatedthismeetingshouldclarifytheTown’sroleasitrelatestotheLocalMarketingDistrict(LMD).TheLMDwillbeofficiallysworninonNovember18,2008duringtheirfirstofficialmeeting.HeremindedtheBoardthattheTownBoardandtheLMDaretwodistinctboardsanditisimperativethemembersactasBoardsandnotasindividuals.AttorneyWhitestatedtheLMDisaseparatepoliticalbodywithmembersappointedbytheTownBoardandtheBoardofCountyCommissioners.TheLMDBoardhastheobligationtofulfilltheirdutiesasoutlinedinthestatestatutes.TheLMDmustdevelopanOperatingPlanandbudgetinordertolevythe2%lodgingtaxbyJanuary1,2009.ThetaxcollectedwouldremainwiththeLMDtofundmarketingandadvertisingofEstesPark.Thedistrictisoperatingundertheassumptionthetaxhaspassed;however,officialresultsarenotexpecteduntilNovember21,2008.Ifthetaxfails,anadditionalelectionwouldbeheldinNovember2009.AdministratorHalburntreviewedtheIntergovernmentalAgreement(IGA)regardingthetransitionperiod,whichstatestheTownshallprovideastaffmembertoactasadministratoroftheDistrict.TheTownhasappointedTownAdministratorHalburntandDirectorPickeringtoactinthisrole.TheIGAalsostatedtheTownAttorneywouldprovidelegalservicestotheLMDBoard.TownClerkWilliamsonwouldcreateagendas,packetsandmaintainofficialrecords.AmemberoftheCVBwillactastherecordingsecretary.FinanceOfficerMcFarlandwouldprovidesupportrelatedtobudget,auditandbanking.TownstaffwouldaidtheLMDBoardincreatingby-laws.DirectorPickeringhascreatedadrafttransitionplanthatwouldallowtheLMDBoardtoreviewtheCVBoperationsoverthenextyearpriortodevelopinganOperatingPlanfor2010.StaffproposesallowingtheLMDBoardtodevelopandoperatedwithnopredeterminedboundaries.TheTownBoardhasagreedtofundCVBsalariesfortheinitialtermoftheIGA. BoardofTrustees—November17,2008—Page2TrusteeBlackhurststatedtherearethreekeyissuesthathavenotbeaddressed:1)WilltheLMDmanagetheVisitorCenterorotherCVBfunctionsotherthanmarketingandadvertising;2)LMDwouldhaveaccesstofundsotherthanthe2%lodgingtax,i.e.stakeholderfees;3)WhatCVBstaffmemberswouldworkwiththeLMD?HestatedtheseissueshavenotbeenresolvedandarenecessaryfortheLMDtodevelopanOperatingPlan.HecommentedtheapprovedIGAbetweentheTownandtheCountydoesnotincludepaymentoftheCVBsalariesfortheinitialfiveyearterm.Hevoiceconcernwithtransferringstakeholderfeesofapproximately$250,000totheLMD,becauseitwouldincreasethetransferfromtheGeneralFundtotheCVBforoperationsandnegateaportionofthe$850,000forinfrastructureimprovements.Boarddiscussionfollowed:LMDshouldfocusonmarketingandadvertisingoverthenextfiveyearsandleavesales,customerserviceandthevisitorserviceswiththeCVB;LMDshouldtakeoverthefunctionsofthecurrentMarketingCommittee;theBoardshouldnotoverdefinethefunctionsoftheLMDBoardandprovidetheLMDwithlatitudetodevelopaplantoincludethefunctionsandstaffneededtocompletethetask;LMDBoardshouldnotbeburdenedwithemployees;andcurrentoperationsattheCVBshouldbediscussedduringthereviewoftheOperatingPlan.KenLarson/LMDMembercommentedtheBoarddoesnothaveapointofvieworadirection.TheBoardwouldliketohavetheopportunitytodevelopaplantomarkettheTown.TheBoardhasexpressednointerestinmanagingstaff.ThenewlyestablishedBoard’smaingoalin2009wouldbetheestablishmentofanoperatingplan,budgetanddeterminingtheresourcesneededtocompletetheplanin2010.HestateditistooearlierintheprocessfortheBoardtodetermineifadditionalfundswouldbeneededandwhatsignificantstepscouldbeaccomplishedwithadditionalfunding.Mr.LarsonrecommendedthetwoBoardsmeetduringthedevelopmentoftheOperatingPlantoensuretheLMDhasbuyinfromtheTownBoardpriortoNovember.TrusteeBlackhurststatedtheBoardneverapprovedtransferringtheapproximately$250,000instakeholderfeestotheLMD.HecommentedthevisitorsguidecontinuestobeaselfsupportingdocumentthatshouldnotbeanexpenseoftheLMD.TheTownshouldreinvesttheapproximately$850,000spentonmarketingoninfrastructure.TheBoardagreedtoallowtheLMDBoardtodevelopanOperatingPlanandabudgetwithoutoverburdeningtheBoardwithrestrictionsandprovidingthemabroadscopetoworkwithin.TheTownwouldcontinuetoprovidesupportforthefirstyearandperhapslongerifneededandpaythesalariesoftheCVBstaff.AdministratorHalburntquestionedwhetherornottheLMDBoardwouldretainrevenuesfromservicesrendered.TheBoardstatedthequestionwasprematureandshouldbediscussedlater.2.ADJOURN.WhereuponMayorPinkhamadjournedthemeetingat6:25p.m.WilliamC.Pinkham,MayorJackieWilliamson,TownClerk LOCALMARKETINGDISTRICTPetitionProcessFAQ’s1.Whatisalocalmarketingdistrict?Alocalmarketingdistrict(LMD)isanorganizationformedforthepurposeofadvertising,marketingandpromotingtourismwithinitsservicearea.2.WhydoweneedaLMD?TheEstesParkareacurrentlydoesnothaveadedicatedfundingsourceforadvertisingandtourismpromotion.EachyeartheTownBoarddecidesifitisgoingtobudgetfundsforadvertising.Iffundsarebudgeted,theycomefromtheTown’sGeneralfund.TheGeneralfundalsopaysforpolice,fire,publicworks,parks,planning,Townadministration,specialevents,andotherTownfunctions.DemandforfundingofalltheseservicescontinuestogrowfasterthanGeneralfundrevenues.IfforsomereasontheTownBoardwastochangeitsopinionofadvertisingortheGeneralfundsuffersashortfall,thentheTownBoardmayelecttosignificantlyreducefundingforadvertising.Alocalmarketingdistrictguaranteesthatadedicatedfundingsourcewillbeavailabletoadvertise,promote,andmarkettheEstesParkarea.3.howdoyougoaboutstartingaLMD?Firstapetitionneedstobesignedbyownersof50%ofthecommercialrealpropertylocatedwithintheproposedLMDarea.Afterreceiptofasignedpetition,theTownBoardandLarimerCountyCommissionerswillthenholdtwopublichearingstoreceivepublicinputontheformationoftheLIvIDasrequestedbythePetition.followingthetwopublichearings,iftheTownBoardandtheLarimerCountyCommissionersdecidetoformtheLMD,theTownandtheCountywillenterintoanIntergovernmentalAgreementorganizingtheLMDformationoftheLMDbytheIntergovernmentalAgreementthenisrequiredtobeapprovedbyavoteoftheregisteredelectorsresidingwithintheareaoftheLMD4.WhatwilltheDistrictboundariesbe?TheEstesParkLMDwillincludetheTownofEstesParkandthesurroundingarea.TheLMT)willnotincludeBoulderCountyoranyFrontRangecommunities. 5.WhoisgoingtoruntheLMD?UndertheStateStatutethatallowsLMDs,theTownBoardandLarimerCountyCommissionersareresponsiblefororganizingtheLMD.TheTownBoardandCountyCommissionerswillappointalocalBoardofDirectorswithrepresentativesfromboththeincorporatedandunincorporatedareastooperatetheLMD.6.HowwilltheLMDbefunded?ThepetitionfortheformationoftheDistrictstatesthatfundingoftheLMDwillbecollectedfromanadditional2%salestaxonthepurchasepricepaidorchargedtopersonsforroomsoraccommodationswithintheareaoftheLMD.This2%additionalsalestaxwillonlybecollectedwithintheserviceareaoftheLMDafterapprovalatanelectionbytheregisteredelectorsresidingwithintheserviceareaoftheLMD.TheformationoftheDistrictandthemarketingandpromotiontax(2%)shallbevotedonatthesameelection.ThetaxwillbecollectedbytheStateofColorado’sDepartmentofRevenueasallsalestaxesarenowcollected,andfollowingcollection,betransferreddirectlytotheLMD.ThesetaxmonieswillnotgototheTownorLañmerCounty.7.WhenandhowisthenewLodgingtaxmoneygoingtobespent?IfvotersintheLMDapprovetheformationoftheDistrictandthe2%marketingandpromotiontax,itisestimatedthatapproximately$1milliondollarswillbecollectedinitsfirstyear.IfapprovedattheNovember200$election,thenewtaxwillbeginbeingcollectedinJanuaryof2009.TheTownBoardwillcontinuetofundthe2009advertisingcampaignfromtheTown’sGeneralFundwhilethenewLMDBoardisappointedandbeginsworkingonitsOperatingPlan.tJnderthestatestatute,theLMDBoardwillhaveuntilSeptember30,2009tosubmititsOperatingPlanfor2010totheTownBoardandCountyCommissioners.TheBoardswillhavethirty(30)daystoapprovetheOperatingPlan,orreturnitforrevisions.Basedonthetimeofyearthatouradvertisingneedstobeplaced,thecurrentadvertisingcommitteewillcontinuetoplananddirecttheadvertisingprogramthrough2009.ThenewLMDBoardofDirectorswillbeappointedinearly2009andbeginitsplanningfortheSeptemberdeadlineforthenewOperatingPlan.ThiswillensureaseamlesstransitionfromtheoldcommitteetothenewBoard.Theplanistohaveoneyear’srevenueintheLMDcoffersandthentoalwaysbeworkingwithmoniesthathavebeencollectedtheyearbefore.ThiswillgivetheLMDasolidbudgetforeachyearregardlessofeconomicupsanddowns.8.Whathappenstotheoldmoney?TheTownisnotgoingaway.TheTownwillcontinuetofundthefairgrounds,Events,ConferenceCenter,PerformanceParkandtheSalariesfortheCVB.ThiswillensurethateverydollarcollectedfromthenewlodgingtaxwillbespentonmarketingtheEstesParkLocal MarketingDistrict.TheTownBoardhascommittedtotakethemoneysthatarecurrentlyearmarkedforadvertisingthatwillbereplacedbytheLMDfundsandinvestintheinfrastructureofthecommunity.ProjectsthatarecurrentlyprojectedtoreceivetheadditionalfundingincludeimprovingthefairgroundsatStanleyParktoayeararoundentertainmentandeventfacility,expandingandimprovingtheshuttlesystem,andadditionalimprovementstotheregionaltrailssystem.9.Whatisthetimingifwegoforward?TheprocessforcollectingsignaturesonthePetitionisstarting.ThePetitionisattached.Afterownersof50%ofthecommercialrealestateintheLMDhavesigned,thentheTownandCountyClerkswillverifythosesignatures.followingtherequiredpublichearingsandadoptionoftheIntergovernmentalAgreementorganizingtheLMD,theformationoftheLMDandthemarketingandpromotiontaxwillappearonthe2008GeneralElectionballotonNovember4,200$.IfvotersapprovetheformationoftheLMDandthemarketingandpromotiontax,thencollectionswillbegininJanuary2009.ThenewLMDBoardwillbeseatedinearly2009andwillassumemarketingresponsibilitiesbyimplementingtheOperatingPlanfortheLIvIDin2010.10.WhatrolewilltheConvention&VisitorsBureauprovide?TheConvention&VisitorsBureauwascreatedbytheTownBoardin2003toprovideanintegrated,comprehensiveadvertisingprogram.CVBstaffwithofficesattheVisitorsCenterhandleallcommunicationfunctions(printandelectronicadvertising,publicrelations),visitorservices,groupsales,andstakeholderservices.TwobusinessadvisorycommitteesoverseeoperationsconductedbystaffattheVisitorsCenterwhoareresponsibleforthoseactivities.AfterformationofthenewLocalMarketingDistrict,theTownBoardwilldeterminetheroleoftheCVBadvisoryBoardandstaffcurrentlyworkingfromofficeslocatedintheVisitorsCenterfacility.ItisanticipatedthattheTownBoardwillnotwanttoduplicateeffortsundertakenbytheLMD,althoughitwillworktoensurethatthecommunityretainsanintegrated,comprehensiveadvertisingprogram.TheTownBoardwillworkcloselywiththeLocalMarketingDistrictBoardtodefineeachorganization’srole.11.WhatrolewillTheChamberofCommerceprovide?TheChamberofCommerceisamember-basedbusinesstobusinessorganizationthatcreatesprogramsandofferstrainingtosupportitsmembers.ItishopedthattheChamberwillcontinuetodevelopmembershipthroughstrongbusinessleadershipandworkwiththeLMDtopromoteEstesPark. INTERGOVERNMENTALAGREEMENTCt21IfTHISINTERGOVERNMENTALAGREEMENTeffectivethisC.4Väayof_________2008,byandbetweentheTOWNOFESTESPARK,COLORAI)O,(the“Town”),andtheBOARDOFCOUNTYCOMMISSIONERS,LARIMERCOUNTY,(the“County”).RECITALSWHEREAS,theLocalMarketingDistrictAct,Section29-25-101etseq.,C.R.S.providesfortheorganizationoflocalmarketingdistricts(“theAct”);andWHEREAS,theActallowsformationofalocalmarketingdistrictwithintheTownofEstesParkandunincorporatedLarimerCounty;andWHEREAS,theTownandtheCountyherebyagreetoformalocalmarketingdistrictpursuanttothetermsandconditionsoftheActforpropertieslocatedwithintheTownandunincorporatedareasofLarimerCounty;andWHEREAS,Section29-25-105(3)C.R.S.oftheActprovidesthattheTownandtheCounty,bycontract,maycreatealocalmarketingdistricttoexercisethefunctionsauthorizedbytheActfollowingreceiptofapetitionfortheorganizationofalocalmarketingdistrictfromtherequisitenumberofownersofcommercialrealpropertyintheproposedservicearea;andWHEREAS,apetitionhasbeenfiledwiththeTownClerkandtheClerkoftheBoardofCountyCommissionersmeetingtherequirementssetforthinSection29-25-105(2)C.R.S.oftheAct;andWHEREAS,theTownandtheCountydesiretoestablishtheEstesParkLocalMarketingDistrictpursuanttothetermsandconditionsofthisIntergovernmentalAgreement;andWHEREAS,Section29-25-105CR5.providesthatthequestionofestablishingalocalmarketingdistrictshallbesubmittedtotheregisteredelectorsresidingwithintheDistrictatageneralelection;andWHEREAS,thePetitionstatesthattheDistrictshallbefundedbythelevyingofatwopercent(2%)marketingandpromotiontaxpursuanttotheprovisionsofSection29-25-112C.R.S.;andWHEREAS,approvalbytheregisteredelectorsresidingwithintheserviceareaoftheproposedlocalmarketingdistrictoftheestablishmentofthelocalmarketingdistrictandtheauthorizationforthelevyingofatwopercent(2%)marketingandpromotiontaxtofundtheservicesofthelocalmarketingdistrictisaprerequisitetotheimplementationofthisIntergovernmentalAgreement;and1 Uc.WHEREAS,pursuanttotheapplicablestatutesoftheStateofColorado,theTownandtheCountyareauthorizedtoenterintothisIntergovernmentalAgreement.NOW,THEREFORE,INCONSIDERATIONOFTHERECITALSSETFORTHABOVEWHICHAREINCORPORATEDHEREIN,ANDTHECOVENANTSANDCONDITIONSCONTAINEDHEREIN,THEPARTIESAGREEASFOLLOWS:I.NameandPurpose.ThenameoftheDistrictistheEstesParkLocalMarketingDistrict(the“District”).ThepurposeoftheDistrictistoprovidetheservicessetforthinSection29-25-111(1)(e)(I)(A),(B)and(C)C.R.S.II.DistrictServiceArea.TheDistrictServiceArea(the“ServiceArea”)isdepictedonExhibitAattachedheretoandincorporatedhereinbythisreference.III.EligibleElectors.AneligibleelectororregisteredelectoroftheDistrictmeansanelectorasdefinedinSection1-1-104C.R.S.whohascompliedwiththeregistrationprovisionsoftheUniformElectionCodeof1992inLarimerCounty,andresideswithintheServiceAreaoftheDistrict.IV.Elections.AnelectionshallbeheldpursuanttoSection29-25-105(6)C.R.S.forthepurposeofestablishingtheDistrictpursuanttothetermsandconditionsofthisIntergovernmentalAgreement.AnelectionshallbeheldpursuanttoSection29-25-112(1)a)C.R.S.forthepurposeofauthorizingthelevyingofat\vopercent(2%)marketingandpromotiontaxonthepurchasepricepaidorchargedtopersonsforroomsoraccommodationslocatedwithintheDistrict.AllDistrictelectionswillbeconductedasprovidedinSection29-25-105(6)C.R.S.TheTownandtheCountyagreethatthequestionofapprovalofthisIntergovernmentalAgreementfortheestablishmentoftheDistrictandauthorizationforatwopercent(2%)marketingandpromotiontaxshallbeplacedupontheGeneralElectionballotofNovember4,2008.EachentityshallberesponsibleforitsshareofthecostofsaidelectionbaseduponthenumberofregisteredelectorsfromeachentityeligibletovoteinDistrictelectionsandtheformulaforpaymentassetforthintheCountyClerkandRecorder’scoordinatedelectionagreement.IftheDistrictisestablished,theDistrictshallberesponsibleforreimbursingtheTownandtheCountyforallcostsincurredbyeachentityforsaidelectionuponreceiptofmarketingandpromotiontaxrevenue.TheCountydelegatestotheTowntheauthoritytoenterintotheAgreementConcerningElectionServiceswiththeLarimerCountyClerkandRecorderforthepurposeofconductingtheelectionaspartofthecoordinatedGeneralElection.TheTownClerkoftheTownshallbetheDesignatedElectionOfficialfortheelectionandshallberesponsibleforthewordingoftheballotissuesandcertifyingtheballotissuestotheClerkandRecorderofLarimerCounty,Colorado.V.EffectiveDate.ThisAgreementshallautomaticallytakeeffectuponcertificationoftheClerkandRecorderofLarimerCounty,Colorado,thatamajorityoftheregisteredelectorsvotingattheNovember4,2008GeneralElectionhasapprovedtheestablishmentoftheDistrict.2 VI.BoardofDirectors.TheBoardofDirectorsoftheDistrictshallhavealllegislativepoweroftheDistrict.TheBoardofDirectorsshallbecomposedandappointedasfollows:A.Number.ThenumberofDirectorsshallbeseven(7).Five(5)membersshallbeappointedbytheTown.Two(2)membersshallbeappointedbytheCounty.Eachmembershallserveafour(4yearterm.Thetermsshallbestaggeredsothattwo(2)membersareappointedeachyearandone(1)memberinthefourthyear.AllDirectorsshallserveuntiltheirsuccessorisappointedbytherespectiveentity.Membersmayserveformorethanone(1)termbutnomorethantwo(2)consecutivefouryearterms.B.Residency.AllappointeesshallberesidentsoftheServiceAreoftheDistrictforatleastoneyearpriortotheappointmentandshallcontinuetoberesidentsoftheServiceAreaduringtheirentireterm.C.Officers.ThereshallbeaChairandaVice-Chair.Eachshallserveone(1)yearterms,beginningwiththefirstmeetinginJanuaryofeachyear.TheChairandVice-Chairmayservefortwo(2)consecutiveterms.TheChairandVice-ChairshallbechosenbythemembersoftheBoard.TheVice-ChairshallserveastheChairinabsenceoftheChair.D.Attendance.Allmembersshallattendallmeetings,includingspecialmeetings,ifpossible.Intheeventanymembermissesthree(3)consecutiveregularmeetingsoratotaloffour(4regularmeetingsinacalendaryear,theTownortheCountymayremoveitsappointedmemberforneglectofdutyanddesignateanewmembertofillthevacancy.E.Vacancy.AnyvacancyoccurringontheCommissionshallbefilledassoonaspracticalbyappointmentbyeithertheTownorCounty.F.Meetings.RegularmeetingsoftheBoardofDirectorsoftheDistrictshallbeonceamonth.Specialmeetingsmaybecalledasnecessary.G.Powers.TheBoardofDirectorsshallhaveallthepowerssetforthintheAct.H.Quorum.ThemajorityoftheBoardofDirectorsshallconstituteaquorum.AvoteofmajorityofthosepresentatameetingshallbenecessaryforactionbytheBoard.I.WaiverofTermLimits.TheTownortheCountymaywaivethetermlimitsetforthinsubparagraphA.aboveintheeventthateitherparty,initssolediscretion,determinesthattherearenoqualifiedapplicantsforavacantDirectorpositionandatermlimitedDirector\vishestoserveanotherterm.VII.Term.ThetermoftheDistrictshallbeforaninitialtermoffiveyearsbeginningontheapprovaloftheestablishmentoftheDistrictbyanelection(seeSectionW),andcontinuinguntilDecember31,2013.Thetermshallautomaticallyextendforadditionalfive(5)year3 periodsunlessonorbeforeJuly1ofanycalendaryearpriortotheendofanyfive(5)yearperiod,eitherpartygiveswrittennoticetotheotherpartyterminatingthisAgreement.Insaidevent,theDistrictshallautomaticallyterminateonDecember31ofsaidcalendaryear.BetweenthedateofgivingthenoticeofterminationandDecember31,theDistrictshallcontinuetobeinexistenceandhaveallpowersassetforthherein.ThisAgreementnortheDistrictmaynotbeterminated,repealedorrescindedsolongastheDistricthasanyoutstandingfinancialobligations.VIII.DistributionandDivisionoftheAssetsoftheDistrict.IntheeventofterminationoftheDistricteitherbyactionoftheTownandCountyasmorefullysetforthhereinorbyorderofanycourthavingjurisdictionthereofallassetsoftheDistrictshallbedividedbetweentheTownandtheCountybaseduponthepercentageofmarketingandpromotiontaxcollectedfromtheTownandunincorporatedLarimerCountyinthepreviouscalendaryeartotheextentfeasible.IX.OtherProvisions.A.Transition.DuringtheperiodoftimebetweentheelectionestablishingtheDistrictandJanuary1,2010(“thetransitionperiod”),theTownshallprovideastaffmembertoactasadministratoroftheDistrict.Also,theTownshallprovidenecessaryofficespaceandsupporttosaidstaffmemberforadministrationoftheDistrict.Inthetransitionperiod,theTownAttorneyshallprovidelegalservicestotheDistrictBoard.TheTownAttorneyshallconsultwiththeCountyAttorneyinanymattersaffectingtheunincorporatedportionsofLarimerCountywithintheServiceArea.B.AutomaticTermination.ThepartiesunderstandandagreethatintheeventtheregisteredelectorsoftheDistrictfailtoapprovetheformationoftheDistrictattheGeneralElectionheldforsaidpurposeonNovember4,2008,thisAgreementshallautomaticallyterminateandbeofnofurtherforceandeffect.C.Enforcement.ItistheintentofboththeTownandCountythatthisAgreementisbindinguponboththeTownandCounty,andthateitherpartyheretoshallbepermittedtospecificallyenforceanyprovisionsofthisAgreementinacourtofcompetentjurisdiction.D.Amendment.ThisAgreementmaybeamendedinwritingatanytimebymutualagreementoftheparties.E.Notices.Allnotices,demandsorotherdocumentsrequiredordesiredtobegiven,madeorsenttothepartiesunderthisAgreementshallbemadeinwriting,shallbedeemedeffectiveuponmailingorpersonaldelivery.Ifmailed,saidnoticeshallbemailed,byregularmail,postageprepaid(unlessthisAgreementspecificallyrequirescertifiedmail)addressedasfollo\vs:4 TOWNOFESTESPARKAttn.TownAdministratorPostOfficeBox1200EstesPark,CO80517LARIMERCOUNTYBOARDOFCOUNTYCOMMISSIONERSAtm:ChairPostOfficeBox1190FortCollins,CO80522F.GovernmentalImmunity.Thepartiesagreeandunderstandthatbothpartiesarerelyingonanddonotwaive,byanyprovisionofthisAgreement,themonetarylimitationsorterms(presentlyOneHundredfiftyThousandand00/100Dollars($150,000)perpersonandSixHundredThousandand00/100($600,000)peroccurrence)oranotherrights,immunities,andprotectionsprovidedbytheColoradoGovernmentalImmunityAct,Section24-10-101,C.R.S.,asfromtimetotimeamended,orotherwiseavailabletothepartiesoranyoftheirofficers,agentsoremployees.G.CurrentYearObligations.Thepartiesacknowledgeandagreethatanypaymentsprovidedforhereunderorrequirementsforfutureappropriationsshallconstituteonlycurrentlybudgetedexpendituresoftheparties.Theparties’obligationsunderthisAgreementaresubjecttoeachindividualparty’sannualrighttobudgetandappropriatethesumsnecessarytoprovidetheservicessetforthherein.NoprovisionofthisAgreementshallconstituteamandatorychargeorrequirementinanyensuingfiscalyearbeyondthethencurrentfiscalyearofeachindividualparty.NoprovisionsofthisAgreementshallbeconstruedorinterpretedascreatingamultiplefiscalyear,directorindirectdebtorotherfinancialobligationofeitherorbothpartieswithinthemeaningofanyconstitutionalorstatutorydebtlimitation.ThisAgreementshallnotdirectlyorindirectlyobligateeitherpartytomakeanypaymentsbeyondthoseappropriatedforeachparty’sthencurrentfiscalyear.NoprovisionofthisAgreementshallbeconstruedtopledgeorcreatealienonanyclassorsourceofeitherparty’smonies,norshallanyprovisionofthisAgreementrestrictthefutureissuanceofeitherparty’sbondsoranyobligationspayablefromanyclassorsourceofeachindividualparty’smoney.H.OperatingPlan.PriortothelevyingofaMarketingandPromotionTaxorprovisionofservices,theTownandtheCountyshallapproveanOperatingPlanfortheDistrict.TheDistrictBoardshallfilewitheachentitynolaterthanSeptember30ofeachyear,anOperatingPlanspecificallyidentifyingservicestobeprovidedbytheDistrict,anyMarketingandPromotionTaxtobeimposedbytheDistrict,andsuchadditionalinformationasrequiredtoinformeachentityastotheactivities,services,andfundingoftheDistrictintheupcomingyear.TheOperatingPlanshallincludeaproposedbudgetforthenextfiscalyear.EithertheTownortheCountyorbothmayrequiretheDistricttosupplementtheOperatingPlanorbudgetwhere5 necessary.TheTownandtheCountyshallapproveordisapprovetheOperatingPlanincludingtheproposedbudgetwithinthirty(30)daysafterreceiptoftheOperatingPlan,theproposedbudget,andalladditionaldocumentationrequestedbyeitherentitybutnolaterthanDecember5oftheyearinwhichsuchdocumentsarefiled.TheservicesandfinancialarrangementsoftheDistrictshallconformsofaraspracticaltotheapprovedOperatingPlan.TheOperatingPlanmay,fromtimetotime,beamendedbytheDistrictwiththeapprovaloftheTownandCounty.I.DisputeResolution.EithertheTownortheCountymayrequestmediationofanydisputepursuanttothetermsandconditionsofthisIntergovernmentalAgreement.Therequestfordisputeresolutionshallbesubmittedinwritingtotheotherparty.TheTownandtheCountyshallparticipateinadisputeresolutionprocessingoodfaith.Thedisputeresolutionprocessshallbeconcludedwithinsixty(60)daysoffilingoftherequestfordisputeresolution.Ifthedisputeisnotresolvedbythisprocess,eitherorbothpartiesmayenforcethetermsandconditionsofthisAgreementasprovidedinParagraphIX(C)above.TOWNOFESESPARK-MayorBOARDOFCOUNTYCOMMISSIONERSOFTHECOUNTYOFLARIMER.By:r--bP/4/c)6 PinewoodSpringstTownBoundaryRoadsEstesValleyLocalMarketingDistrict______IIMarketingDistrictVrterESTESPARKCObRA00WE01234MilesMeekerParkPreparedbyTownotEteaParkOldServioesddJune11th2008 IONVI”IEstesParkLocalMarketingDistrict6/9/09TheBeginningTheLMDwasapprovedandfundedbylodgingtarevenues.7AppointeeswereselectedtoleadtheLMD.ReadytogoForwardInthebeginningweaskedforanopenmind,allowablankslatefoundationtobepresentedbyyourappointees,andweregrantedsuch.OCurrentStateThetraveleconomyisslumping.1stQuarterlodgingsalestaxrevenuesaredownforthesecondconsecutiveyear.(Down155Y0) Mission&oreValues•AttractvisitorstotheDistrictthrougheffectiveandefficientmarketinginordertodriveyear-roundeconomicgrowth.•CoreValues:—Accountable-Ethical—Proactive—Respectful-ResponsiveTransparentVision&Sakeholders•Tobeayear-roundtourismandgrouptlestinationthatsupportsourhealthymountaincommunitywithahalanceoffinancialsuccess,memorableexperiencesforvisitorsandqualityoflifeforourresidentsandemployees.•Stakeholders:-CommunityMembers-Customers/Visitors-CVBStaff—LocalBusinesses-LocalgovernmentalagenciesSignificantACComplishmentsAssistedinpassingtaxCVBAssessment&reconimendationsbyanoutsideconsultantAssociationsGroupLeadershipWinterFestivalstartupDowntownMerchantsGroupFormedLodging120dayForecastIncreasedparticipationintheExistingRockyMountainLodgingReportGroupsRoundTableDiscussions RepayTownandCountyforelection$14,000PayConsultant$22,000PayforLodging120DayForecast$4500Miscellaneousexpenses$500Total$51,000II....DirectionTheLMDBoardvotedto:Seektranslerofthefollowingnaarketingfunctions:AdvertisingCPublicRelationsWebsire-0roxpSales.rt’isjtc,reGuideVisitorsCenterOperations:sc,.r.n,,2,.,:CSnakrbolderSrrsiresNottoinclude‘TEnCyltsbada:sildlikesindiscussarracnu’h.sriegrl.nrhiovermssnrarnsntgtSrs’TsswssSponsoredEventi,bvsirslylan,operatingcostss,frise\‘jsirs,tr(rnrcrol,ile.,lIooi:sghrroostSnakelssddrnSorv:sc.rcrts:sreroInu.sdforscrEening.Direction&ClarificationDrpartnisentrselectedandapprovedreporttntaworking”Leader/DirectorwhssrrpssrtsdirectlytotheLMD.Allpay.hrnelitsandHRisprovidedbytheTown.Keepseniorityandpensionsintack.IlieTownispaying5positionsfor5yearswithnormalincreasesregardlessofrvlsotheyreportto.(Youapprovewhotheyreporttin)Fillingopenpenitioosivincluded.Thetsswnispayinglisttine.Building,repairs,maintenanceandutilitiesFurniture,Computers(replacedolsenrequired),ITSupport,Phones,Irunks&LU,Copiers,FAX&Su1npliesCallConter2employees&seasonalhelpCurrentExpenses “I,,.ProjectedExpensesnCommunicationsEenses.$1,000KrConsultantsRecommendationsS192KnCurrent-outofpocket2008S51KCTotal51,243KCNote:Townpresentation:Projectedannualincomeofover$1millionreplacescurrenttownfundingformarketing&advertising($825,500in2008).FinarciaIsQILodgingtaxrevenueof$66,141.Anticipatedannualnumber$850Kto$1.InTherefore:nThePlanandpriorititationofitwillheallectedbytaarevenuereceived.nContinuedlownparticipationmaybeneededtokeepthespending“statusquo”ottomeettheconsultantsrcconsniendations.CThisiswhatwaspromisedItontdayoneoltherstspaienprocess.CThisiswhatthetownresidentsandhosinessrsenprct.Additionalthatshouldpayforit’sselfwithin2years?GroupsidentifiedaseasiesttoimpactareaRequiresgreaterfocusonGroupSalesandthereforemoreofJulie’stime.WouldneedtobackfillConventioninvolvement! ProposedOrganizationChartStakeholderSales:-Membership-WebListings-RackCards-GroupLeads-VisitorGuideLMDBoardWorking/DirectorTownofEstesPark:-HRSupporttoinclude:-compensation-benefits-ofapprovedpositionsCommunications:-Advertising-PRGroupSales:VisitorServices:-CallCenter-fulfillment-RetailVolunteers Introduction:EstesParkLocalMarketingDistrictAPartnershipforMarketingTheEP-LMDexiststhroughaStateStatuteandLodgingTaxthattheLMDDistrictvotersapproved,andgovernedbyanIGAbetweentheTownofEstesParkandLarimerCounty.tisrunbya7memberboardappointedbytheTownandLarimerCty.ItsannualOperatingPlanmustbesubmittedforTownandCountyapprovaleachyearbySeptember30thThesevenBoardMemberswereselectedthroughaninterviewprocess.Wearevolunteers.WehaveworkedtogethersinceOctoberof2008tohelpgetbothballotissuespassedandwehavemetregularly(weekly)sincetheelectiontodiscussoptionsandformulateaplanthatwebelievebestinsurestheproperdirectionfortheMarketingoftheLocalMarketingDistrictandtheproperandlegalspendingoftheLodgingTaxDollarscollected.Inaddition,wewouldliketopartnerwiththeTownfortheproperandlegaluseoftheTownDollarsstillcommittedtosupporttheMarketingEfforts.WeweregivenablankslatealongwiththeresponsibilityofresearchingthewholeconceptandsubmittingaplanthatwebelievebestsupportstheCVBandtheTown’smarketing&advertisingprograms.TheLMDBoardwaschosenbasedonourexperienceandabilitytoresearchthisprocessandcomeupwiththebestplanthatinsuressuccess.“Partner”isakeyword-thatinvolvescommunication,trust,supportandaccountabilityinordertokeepaunifiedoverallMarketingApproach.Anysplitinaunifiedapproachisnotacceptableandhasaprovenhistoryofunsatisfactoryperformance.TheEP—LMDBoardsincerelywantsaworkingpartnershipinthismatter1Nowthematterofforgingtheboundariesofthatpartnershipisuponus.InourjointStudySessionweoutlinedourplanforthatpartnershipthatinvolved:-Usingtherecommendationsofanindependentconsultantastheblueprintforourplan,inordertoremovebiasedopinions.-BelievingthatthebasicpriorityfortheLodgingTaxDollarsistobespentonmarketingandadvertising,andfurtherbelievingthatthelodgingtaxwillallowanincreaseinmarketingandadvertisingtotakeplacewhileatthesametimeitfreessomeofthebudgetburdenontheTown’sGeneralFund. We,asaBoard,believethatkeepingtheCVBunifiedwithoutseparationofreportingisakeyandbasicfundamentaltoinsureaproperongoingandsuccessfuloperation.TheAssessmentreportsaystheCVBisnotbroken!Yes,wewouldlovetohaveafulltimeDirector.Whowouldpayforthisposition?Therefore,webelieveaworkingDirectororperhapsandextendedhandofftotheworkingDirectorfromTomP.istheproperinitialcourseofaction.If“transition”and“bitingoffmorethanwecanhandle,”isaconcernoftheTrustees,thenwecancertainlyputinplaceaprogramwherethenewlyappointeddirectorworksWITHTomP.foraslongasneedbetoinsureastableandsmoothtransition.Additionally,wesupporttheindependenceandtheimportanceoftheAmbassadors!Theyareavaluableasset.WealsobelievetheCallCenterisakeyandcriticalpieceoftheMarketingofthisDistrict.ItinvolvessalestoprospectivetouristsANDsellingtothemwhentheyarrivetoinsureareturnvisit..Howwouldweseparatethesefunctionsinagoaltohaveaunifiedreportingstructure,astheyarebothpartoftheVisitorServices?ThatiswhythecontroversialtopicoftheAmbassadorsisinthisdiscussion,period.Weagreethatthistopichasalotofemotioninvolved;however,withtheCVBstaffstayinginplace,andoneoftheexistingstaffhopefullyfillingtheWorking!Directorposition,webelievetheseconcernswouldbeabsolutelyminimized.Ourconsultanthasmadehisrecommendationsandtheyarepublic.Thisisourblueprint.Weonlystruggledwithseparatingreporting;andinasplitvote,wevotedtoincludetheAmbassadors,butthisisnotthekeypartofourgoforwardpartneringstrategy.BudgetDollarsnowandforthenext5yearsseemtobeontheforefrontofeveryone’smind.OnequestionIponder,andaskyoutoreview.IftheLMDonlyisgranteddirectionoftheCommunicationsDepartmentwithPeterM.andSuzyB.,andtheLodgingTaxdollarssimplyreplacethatpartofthebudget($833Kin2009),withtheTownstillpayingforbothemployeeshowisthatspendinglessofyourbudgetdollarswhencomparedtoourrecommendation.TheTownstillwouldhavealloverhead,allotheremployees(includingfuturepayandbenefitincreases)andallotherdepartmentbudgetsandexpenses!Keyclarificationquestions:1.WhatistheTowncommitmentforexistingemployeeand/orpositionscompensationandbenefits,includingtimeframe?2.IstheTownwillingtoaccept(afterproperreview)anIGAfortheWorking/DirectortoreportdirectlytotheLMDandtheHRfunctionsofcompensationandbenefitstobehandledbytheTown.Thiskeepspensionsandotherimportantemployeebenefitsintact.PerformanceobjectivesandreviewswillbetheresponsibilityoftheLMD.3.IstheTown(ifthetransferoftheStakeholdersServicesPositionisapproved)willingtorevenuesharethedollarsasproposed.TheVisitorServicesoverheadandcostsneedtobecoveredfirst.RemainingdollarscouldthenbeusedforMarketingandAdvertisingattheLMDdirection.4.IntheFall,aswegetabetterhandleonourrevenue,istheTownwillingtoconsidercontributingtowardintellectualinfrastructureforfirstyear/one-timeexpenses(newwebsite,etc....),thatwillassistinthesuccessoftheLMDandthus“payback”throughincreasedsalestaxrevenuesinthefuture?