HomeMy WebLinkAboutTB Study Session 2015-01-27
Town of Estes Park, Larimer County, Colorado January 27, 2015
Minutes of a Study Session meeting of the TOWN BOARD of the Town of
Estes Park, Larimer County, Colorado. Meeting held at Town Hall in the
Board Room in said Town of Estes Park on the 27th day of January, 2015.
Board: Mayor Pinkham, Mayor Pro Tem Koenig, Trustees Ericson,
Holcomb, Nelson, Norris and Phipps
Attending: All
Also Attending: Town Administrator Lancaster, Town Attorney White and
Town Clerk Williamson
Absent: None.
Mayor Pinkham called the meeting to order at 4:05 p.m.
TRUSTEE COMMENTS & QUESTIONS.
The Board agreed to discuss the status of the Pride Awards at the next study session
and schedule formal action at the Board meeting on February 24, 2015.
Administrator Lancaster stated an offer was made and accepted for the Assistant Town
Administrator position. Travis Machalek would start on April 20, 2015.
Administrative Service Director Williamson confirmed with the Board that Administrator
Lancaster’s annual review would be performed using the same Mountain States
Employers Council process in 2014. Staff would contact MSEC to prepare the survey
for the Board in late February to be completed by the Board and Lancaster by mid
March. A final review would be held during the first Board meeting in April.
Trustee Ericson commented the Community Development/Community Services
Committee was informed the Event Advisory Group had suggested the possibility of
downtown performers during the summer season. He questioned the status. Director
Winslow stated staff continues to review the possibility.
Trustee Norris stated the Scott pond meeting was well attended and staff provided an
excellent overview of the situation, corrected misunderstanding, and provide options for
the citizens to consider. It was noted the River Coalitions developed the River Master
Plan and any changes to Town property would have to be approved by the Town.
The Rocky Mountain Conservancy has begun a campaign to raise money to purchase
property for the Rocky Mountain National Park. The mayor has been asked to join the
effort and requested the Board’s approval to help fundraising efforts as a citizen and not
as mayor. The Board approved of the mayor joining the effort.
FUTURE STUDY SESSION AGENDA ITEMS.
Trustee Ericson requested the Board discuss the possibility of forming a Downtown
Development Authority. Trustee Nelson agreed and requested education on the use
and benefits of an Authority.
WATER TAP FEES FOR FALCON RIDGE HOUSING AUTHORITY PROJECT.
The Estes Park Housing Authority has requested the Town waive water tap fees for the
Falcon Ridge attainable housing project to begin construction in 2015. The fees are a
major cost of the project with 49 taps estimated at a cost of $396,000. Housing has
been identified as a major issue within the community and the Town could support the
Town Board Study Session – January 27, 2015 – Page 2
effort by waiving or reducing the fees. The General fund does not have funds available
to fully fund the request at this time due to flood recovery costs; however, $44,000
repaid by the Authority and a loan from the Light and Power Enterprise fund could be
used to fund the water tap fees. The General fund would pay the loan back over time to
the Light and Power fund.
Board discussion was heard and summarized: questioned if the waiver of the tap fees
would affect the rental rates; a policy should be developed to address future requested
from developers of low income and workforce housing; suggested the Town utilize the
additional $325,000 from the sale of Lot 4 due in April 2016 to pay back a loan from the
Light and Power fund and use the $44,000 from the General fund; and questioned if the
Light and Power loan would affect the bond ratio or the rate study.
Staff commented a policy could be developed once the Town has defined what is
considered attainable, affordable, etc. The CAST report and EDC report on housing
would provide additional information in the formation of a policy. The Authority has
applied for building permits, requiring the water taps to be paid before the permits can
be issued. In order to avoid delays related to wildlife impact, the construction must
begin by April. Staff confirmed the bond ratio and rate study would not be impacted by
a loan from the Light and Power fund.
Matthew Heiser/EPHA Board member stated the rental rates are determined by the
CHAFA tax credit and the debt the Authority has on the project. The more debit the
higher the rental rates would be to help pay back the debt. The Authority would need at
least $200,000 to lower the debit ratio and keep rental rates down. The waiver of the
fees would provide the Authority the ability to develop additional housing projects.
After further discussion, the Board consensus was to bring the item forward to the
February 10, 2015 meeting for Board consideration.
VACATION HOME REGULATIONS.
Staff has reviewed the issue of vacation homes, the impact on the neighboring
properties, the conversion of long term rentals to vacation homes and the impact on
workforce housing, possible solutions and recommendations for the Board’s
consideration. A white paper on the issue was prepared and presented to the Board.
Staff requested direction from the Board on next steps. In addition, the Town needs to
address the growing Air B&Bs within Town. This use is not allowed per Town codes,
not licensed and not regulated.
The majority of vacation homes are operated with little to no impact on the neighboring
properties; however, a small percentage of homes have negatively impacted the
neighborhoods. A number of issues were identified by staff, including the current
regulations are difficult to enforce, property owners or property managers are not
available when issues arise, creating an even playing field for all types of
accommodations, collection of lodging tax by vacation homes, collection of sales tax,
paying commercial utility rates, septic tank limitations for homes built for residential use,
wells not able to support more than a single family home, fire code issues, residential
homeowners insurance in lieu of commercial insurance and the property owners do not
pay commercial property taxes.
Staff has received feedback from property owners and property managers that have
larger homes on larger lots. They would like the regulations to accommodate more
individuals for such homes. A recommendation would be to establish an occupancy
limit that is a function of the house size, lot size and/or zoning district. The Town would
need to establish how to define a person, i.e. a small child may not be counted toward
the individual limitation. Example would be 2 individuals per bedroom plus 2, or no
more than 10 individuals if the home is less than 500 feet from another home in the RE
or RE-1 zoning districts.
Town Board Study Session – January 27, 2015 – Page 3
Staff would recommend consideration of raising the annual business license fee for
vacation homes to fund a part-time position to manage vacation homes, ensure they are
licensed, collecting the appropriate fees and ensure regulations are met. The proposed
fees would be $150/1 bedroom, $300/2-4 bedroom and $400/5+ bedroom. The Town
would work with the county to implement the same fee structure for county properties.
Enforcement has been difficult due to the short term nature of the rentals and the lack of
property owners onsite or even residing within Estes Park. Staff would recommend the
Board consider strengthening the code compliance process through the following: 1st
violation within a year – written warning; second violation – suspension of license for 30
days; and third violation – suspension of license for a year. Discussion has been heard
on the use of a fine rather than a suspension; however, it was noted by Attorney White
the Town does not have jurisdiction over property owners that do not reside within Town
limits. Staff would suggest fines be handled administratively rather than through a land
use hearing or Municipal Court.
It was recommended that all vacation homes have a local property manager that could
be reached 24/7 and has the authority to address complaints. Currently there are no
minimum qualifications for a property manager and no penalties for a property manager
that does not respond to complaints. Staff would recommend a set of qualifications be
established such as a local office, contact information, license, etc. A property manager
would be mandatory for any property owner that does not live within the Estes valley.
Board comments were summarized: clear language regarding public safety issues
should be addressed, and new regulations would not increase the impact to the
residential neighborhoods; questioned the limit to the RE and RE-1 zoning districts with
regard to occupancy; it was noted vacation homes managed by local property
management companies have little complaints versus those vacation homes managed
by out of state property owners; questioned the need to for a cap on the number of
guests; staff recommendation should move forward with staff identifying pros and cons
for each; a public forum should be held to address concerns and hear ideas from the
public on how to address the issues; and trash can be a significant issue and should be
addressed through containment and the property manager.
After further discussion, staff would move forward with engaging the public on the issue
and a newspaper article on the topic. Staff would also have further discussions with the
county on their position and input on the topic.
TOWN FINANCIAL REPORT.
Finance Officer McFarland provided the Board with an overview of a monthly financial
report, including an over of the flood related costs and reimbursements, General fund
balance of 17% with a target of 25%, review of CRF, and moving the Community
Service funds to the General fund. The Board discussed the frequency in which the
financial report should be reviewed. The consensus of the Board was to have quarterly
reports focusing on expenditures rather than sales tax unless something unusual
occurs.
There being no further business, Mayor Pinkham adjourned the meeting at 6:50 p.m.
Jackie Williamson, Town Clerk