City Council Meetings

CITY COUNCIL REGULAR MEETING TUESDAY, NOVEMBER 10, 2015 1. The meeting was called to order at 7:30 p.m., and was opened with the Pledge of Allegiance. Councilmembers present were Mayor Karen Sheek, Mayor Pro-tem Ty Keel, Bob Archibeque, Tom Butler, Orly Lucero, Shawna McLaughlin, and Jim Price. Staff members present were Director of Planning and Building Sam Proffer, City Planner Tracie Hughes, Grants and Special Projects Chris Burkett, Airport Manager Russ Machen, Director of General Services Rick Smith, Detective Lieutenant Ryan Loyd, Director of Parks and Recreation Dean Palmquist, City Clerk Linda Smith, City Attorney Mike Green, and City Manager Shane Hale. There were 11 people present in the audience. 2. The Consent Agenda items acted upon by Council were as follows: a. Approval of the Worksession and Regular Meeting Minutes of October 27, 2015. b. Approval of the payment of the Expenditure Vouchers of November 10, 2015. c. Approval of a Renewal Tavern Liquor License for Cortez Conference Center LLC, DBA Destination Grill, located at 2121 East Main Street, Cortez. Councilmember Lucero moved that Council approve the Consent Agenda, with the additional expenditure list totaling $496,884.22. Councilmember Price seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes 3. PRESENTATION a. Community Champion Award. Director of Parks and Recreation Palmquist stated Cathy Metz, Director of the Durango Parks and Recreation Department, was going to make the presentation for Mr. Adams; however, due to the weather she was not able to make it. He stated that Paul Adams was recently chosen for the Community Champion Award from the Colorado Parks and Recreation Association. He stated that one Community Champion Award is given each year and that Mr. Adams was chosen for his service to the Cortez Parks, Recreation, and Forestry Advisory Board and for his work on the Geer Natural Area. Council thanked Mr. Adams for his commitment to the development of the bike/hiking trails at the Geer Natural Area. Mr. Adams thanked everyone for the award and stated that he was riding his bike on the Geer Natural Area trails the other day and was watching from the high point and noticed there were many people out walking/riding on the trails. He stated it was a good feeling to know the area is being used. b. Bridge Shelter Update. Laurie Knutson gave an update on the Bridge Shelter which just recently opened for the season. She stated that as wages have stagnated and housing costs have CITY COUNCIL REGULAR MEETING NOVEMBER 10, 2015 PAGE 2 gone up, there are more people that are homeless. She stated that in 2014 there were 282 different people that used the shelter which is a 27% increase over the previous year. She stated that the shelter has not been open quite a month and there have been 91 different people that have stayed at the shelter already this year. She spoke about the need to have a place for families to stay as there currently is not a place for them. She stated that the Day Labor program was moved to the shelter so there would be more visibility and she noted that since July 1, 2015, there has been a connection of approximately 3,277 hours. She spoke about the kitchen facility which is now available at the shelter and commented that those that are not working are helping with cooking the food. She stated that a person from the Pinon Project is coming in one night a week to help people get signed up for Medicaid or Medicare and a person from Axis Health is coming one night a week to help people set up medical and mental health appointments. She stated that internal groups have been set up to help people with life skills such as budgeting, how to resolve conflict, cooking and shopping ideas, etc., so that people’s lives can be as normal as possible which helps them get their lives back in order. She stated there is hope and that the homeless are worthwhile Americans and have a lot to offer the community they live in. Mayor Pro-tem Keel thanked Ms. Knutson for what she does for the community and noted that she is appreciated as well as the many volunteers that work at the shelter. c. Boy Scout Troop 529. Kaleb Gropp, member of Boy Scout Troup 529, stated that he and two of his troop members were in attendance to earn their communication merit badge. He introduced Scout Masters Kyle Gropp and Brad Mustoe and Merit Badge Counselor Michelle Watman who were also in attendance. 4. CITIZEN PARTICIPATION a. Letter from Ted and Michelle Neergaard Regarding an Exception for a Liquor Store Operation. Ted and Michelle, Neergaard, 7657 Road 37, Mancos, stated that they were interested in opening a liquor store at 2503 East Main Street. He stated that the property is the location of the old Circle S Grocery/Liquor Store and they were informed that since the building has been vacant for some time that they would need to receive an exception for a liquor store to be located at that location as the property is about 320 feet from the High Desert Headstart. He stated that the building is in dis- repair and they would like to fix up the property. Discussion was held on the request and City Attorney Green noted that the City had eliminated the 500-foot restriction between schools and Hotel and Restaurant Liquor Licensees. Staff was directed to look into whether the headstart program would be considered a school, and if so, to bring back this issue to Council for possible further action. 5. PUBLIC HEARINGS – None. 6. UNFINISHED BUSINESS – None. 7. NEW BUSINESS a. Renewal of Airport Lease with Cortez Flying Service for Fixed Based Operations. Airport Manager Machen stated that the City of Cortez is currently operating under a lease with Cortez Flying Service to provided Fixed Based Operator services at the Cortez Municipal Airport. He CITY COUNCIL REGULAR MEETING NOVEMBER 10, 2015 PAGE 3 stated that the lease is set to expire December 31, 2015. He stated that he has met with the staff of Cortez Flying Service on several occasions and discussed changes that need to be made to the current lease agreement. He stated that a plan of action was finalized on October 9, 2015, and is outlined in the new lease agreement under Section VI. B. He stated that failure to perform the action points will result in a penalty of $25.00 per incident per month. He stated that Cortez Flying Service will pay $300.00 a month base lease rent, an increase from the prior rent of $275.00, as factored using the published inflation rate for the prior five-year period. He stated that the inflation factoring will adjust the rent annually throughout the next five-year period. He stated that in addition, Cortez Flying Service will pay $.12 per gallon fuel fee. He stated that the Cortez Flying Service represents approximately 12.3% of the Airport’s annual operating revenue, excluding grants. He stated that staff recommends approval of the five-year lease with Cortez Flying Service. He spoke about the new landing fee which was instituted at the Airport about a year ago and noted that there have been more corporate jets landing at the Airport which has helped in fuel sales as well as increased revenue from the landing fees. In answer to a question from City Manager Hale, Airport Manager Machen stated that the Airport landing fees are posted on the City’s web site. Councilmember Lucero moved that Council approve the renewal of the Airport Lease with Cortez Flying Services for Fixed Base Operation at the Airport for a five-year lease. Mayor Pro-tem Keel seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes b. Renewal of Airport Car Rental Contracts with Hertz Corporation and Budget Rent a Car of Cortez. Airport Manager Machen stated that the Airport on-site car rental contracts expire January 31, 2016. He stated that the Airport solicited bids from regional car rental providers for car rental services for the next three year contract period of February 1, 2016 to January 31, 2019. He stated that two car rental counter locations exist within the Cortez Airport terminal building, along with 21 parking spaces designated for car rental use. He stated two bids were received, one from Budget at $1,675.00 per month minimum payment and the second bid was from Hertz at $1,550.00 per month minimum payment. He stated that the new bids represent a decrease of $675.00 per month below the current rates; however, the amount may increase in some months due to the 10% of gross factoring which will make the amount paid higher than the minimum. He stated that historically, car rental revenues have been the number one revenue source at the Airport. He stated that both Hertz and Budget have good records of operation and payment of commissions and recommended that the City approve the Car Rental Provider Contracts with Hertz Corporation and Budget Rent a Car of Cortez, for a three year contract at the Cortez Municipal Airport. In answer to a question from Mayor Pro-tem Keel, Airport Manager Machen stated that the industry standard sets the minimum for the car rental agencies; however, because of the decrease in Airline volume over the last year the current minimum was based on the last three year period. Councilmember Archibeque moved that Council approve the car rental provider contracts with Hertz Corporation and Budget Rent a Car of Cortez, for the Cortez Municipal Airport, for the next three contract period, February 1, 2016 to January 31, 2019. Councilmember Lucero seconded the motion, and the vote was as follows: CITY COUNCIL REGULAR MEETING NOVEMBER 10, 2015 PAGE 4 Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes c. Cash-in-Lieu Option to Grant Property for Public Land Dedication. City Planner Hughes stated that Land Use Code Section 4.05 outlines the public land dedication requirements that must be reviewed when a new subdivision is proposed within the City of Cortez. She stated that the purpose of the requirement is to insure there will be adequate facilities such as schools and parks for additional residents in the future. She stated that in some instances, rather than requiring a land dedication, the City will require payment of a cash-in-lieu fee that will go towards maintenance of the existing parks. She reviewed the methodology for calculating the cash-in-lieu fee which is based on the current fair market value for raw lands adjacent to the City of Cortez, utilizing an average per-acre value calculated over the previous five years. She stated that Planning and Zoning reviewed the cash-in-lieu fee at their November 3, 2015, meeting and recommended that the per- acre value of $11,000 be used for 2016, setting the per-acre fee at $550. Mayor Pro-tem Keel moved that Council adopt the value of $11,000 per-acre valuation for the cash- in-lieu fee option to grant property for public land dedication, equating to a $550 per-acre fee. Councilmember Archibeque seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes d. Resolution No. 19, Series 2015. Grants and Special Projects Burkett stated that the Cortez Historic Preservation Board was established in 1996 and is an advisory board to City Council. He stated that the since 2011, the City has received four Certified Local Government (CLG) grants which have been used to inventory properties within the Original Townsite. He stated that as a result of the first three grants, 116 individual properties within the City have been inventoried with 71 properties determined eligible for the City Register of Historic Sites, and 11 were potentially eligible for the National Register of Historic Places. He stated that the fourth grant included the inventory of properties on the north side of Main Street from Ash Street to Linden Street. He stated that History Colorado is once again offering CLG grants and the City’s Historic Preservation Board has recommended that the City apply for another CLG grant to continue the inventory of properties on the south side of Main Street within the Original Townsite. He stated that the grant request is for $13,595 which would be used towards the inventory of 24 properties on Main Street between Ash and Linden Streets. He stated that the grant does not require any matching funds from the City. Councilmember McLaughlin moved that Council approve Resolution No. 19, Series 2015, supporting an application for a grant between the City of Cortez and History Colorado for a Phase 2 historic property survey of Main Street Cortez Downtown Area. Councilmember Lucero seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes e. Nomination of Montezuma Park to the City Historic Register. City Planner Hughes stated that CITY COUNCIL REGULAR MEETING NOVEMBER 10, 2015 PAGE 5 the Historic Preservation Board would like to prepare an application nominating Montezuma Park to the City Historic Register. She stated that the City owns the property, and the Historic Preservation Board would like the City to support the proposal. She reviewed Land Use Code Section 6.19(e) which sets the procedures for designation of historic structures. She stated that Montezuma Park is the original City park and has historic significance. Mayor Pro-tem Keel stated that the park makes the Original Townsite have continuity. Discussion was held about the restrictions on the property should it be designated historic. City Planner Hughes stated that she understands that if the City wanted to put a play structure on the property, it would be a non- permanent structure and it would not be an issue with the designation. Discussion was also held on the upgrade of the bathrooms which may be done in the future and how that would affect the historic designation. It was agreed that staff would research the requirements on the historic designation and be sure that it would not be an issue for the City to complete an upgrade on the bathrooms. In response to a question, City Manager Hale stated that the Kiva School did not receive a high recommendation for their grant request for a play structure at Montezuma Park due to the fact that they would not be located at their current school location more than a few years. Mayor Pro-tem Keel moved that Council authorize the Historic Preservation Board to nominate Montezuma Park for Historic Designation, and to allow the Board to prepare the application for Historic Designation. Councilmember Lucero seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes f. Department of Local Affairs (DOLA) Planning Grant. City Manager Hale stated that the Department of Local Affairs has a small administrative grant for up to $25,000 that is available for technical assistance for planning projects. He stated that the City utilized the money previously when the City Hall needs assessment was completed in 2013. He stated that the City needs to hire an architect to design the remodel of the Cortez Journal for the new City Hall building and though the grant would not be used for construction drawings, it could be used for preliminary design and schematics, etc. He stated that staff discussed the applicability with Ken Charles of DOLA and ultimately submitted a letter requesting the assistance and the request was funded. He stated that the City needed to execute and return the contract documents to DOLA, as the City could not sign a contract with an architect until the contract form the State was in hand; therefore, each Councilmember was contacted, except for Councilmember Archibeque who was out-of-town, and everyone understood the urgency as well as the need to break the normal protocol for having the Mayor execute the contract prior to Council’s vote. He stated that contract has been signed; however, the motion would place the approval on the record. Councilmember Lucero moved that Council enter into a contract with the Department of Local Affairs for EIAF #9040-Cortez City Hall Design and authorize the Mayor to sign the same. Mayor Pro-tem Keel seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes g. Award of Architectural Services for New City Hall. Director of General Services Smith stated CITY COUNCIL REGULAR MEETING NOVEMBER 10, 2015 PAGE 6 that the City is in the process of purchasing the Cortez Journal building located at 123 Roger Smith Avenue for the new City Hall facility. He stated that the property is approximately 27,000 square feet and will require architectural and engineering services to convert the building into usable space for City Hall functions. He stated that approximately 14,000 square feet is open undeveloped warehouse space and 12,600 square feet is current office space. He stated that six firms submitted Request for Qualifications and staff narrowed the firms down to four for formal interviews. He stated that one firm decided to withdraw their proposal prior to the interviews; therefore, three firms were interviewed and staff is recommending that Reynolds Ash and Associates be awarded the Architectural Services Contract at a maximum fee of $170,000. He stated that the fees are required to provide architectural, structural, mechanical, and electrical components as well as conceptual design and cost estimates, design development, construction documents, construction administration, LEED certification and DOLA reporting. City Manager Hale stated that the interview committee consisted of himself, Director of General Services Rick Smith, Director of Planning and Building Sam Proffer, Director of Public Works Phil Johnson, and Grants and Special Projects Chris Burkett. He noted that all the firms were top quality firms and after staff completed background and reference checks, the Committee recommended that the award be made to Reynolds Ash and Associates out of Durango. Director of General Services Smith stated that Tracy Reynolds was involved in the City’s remodel of the Library and has completed projects for the Alamosa City Hall/Library and the Durango Police substation. Discussion was held on the cost of the LEED Certification and it was noted that the fee for the Architectural Services was based on a two million dollar project. Discussion was held on the proposed fee for the services and how the fee may change depending upon the cost of the project. Councilmember Archibeque moved that Council approve the award of the Architectural Services for the new City Hall to Reynolds Ash and Associates of $170,000 as proposed by the project budget. Councilmember Price seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes h. Grant Application to DOLA for New City Hall Remodel. Grants and Special Projects Burkett stated that the City is seeking a grant from the Department of Local Affairs (DOLA) for an Energy Impact Assistance Fund Grant (EIAF). He stated that the City will seek approximately $2,000,000 from DOLA to assist with the proposed remodel of the new Cortez City Hall. He stated that architects will be providing final estimates which will be included in the overall plan and that the grant is estimated to provide 50% of the cost of the remodel project. He stated that the DOLA grant application requires that the governing body approve the grant application and if the grant is approved, staff will bring the grant to Council for final approval and signature. Mayor Pro-tem Keel moved that Council request City staff to apply for a DOLA Energy Impact Assistance Fund (EIAF) grant for approximately $2,000,000, to be used towards the new City Hall remodel. Councilmember Archibeque seconded the motion, and the vote was as follows: Archibeque Butler Keel Lucero McLaughlin Price Sheek Yes Yes Yes Yes Yes Yes Yes CITY COUNCIL REGULAR MEETING NOVEMBER 10, 2015 PAGE 7 8. DRAFT ORDINANCES/RESOLUTIONS – None. 9. ADDITIONAL CITIZEN PARTICIPATION – None. 10. OTHER ITEMS OF BUSINESS – None. 11. CITY ATTORNEY’S REPORT – None. 12. CITY MANAGER’S REPORT a. Paradise Village Construction/Veterans Day Parade. City Manager Hale stated that the contractor in Paradise Village paved the north half of Brookside Drive, and noted that Brookside Drive is almost complete. He stated that the City has authorized the contractor to continue working on the project on Saturdays and Sundays as long as the weather permits. In answer to a question from Mayor Pro-tem Keel, City Manager Hale stated that the City is referencing the Colorado Department of Transportation (CDOT) specifications for laying the asphalt in the cooler weather. City Manager Hale also stated that the Veterans Day Parade will be held on Montezuma Avenue at 1:00 p.m. and all City facilities will be closed except the Recreation Center for the holiday. 13. CITY COUNCIL COMMITTEE REPORTS a. Mayor’s Report on Workshop. Mayor Sheek stated that new employees, Associate Planner Neva Connolly, Part-time Court Clerk Dena Thomason, and Mechanic Randy Curtis were introduced during the workshop. She stated that Council also reviewed the following departments 2016 Budget proposed budget: Mesa Verde Country, Airport, Library, City Clerk, Finance, City Manager, City Council, and Grant Administration. She stated that due to the time taken for review of the proposed 2016 Budget, the Bridge Shelter presentation was moved to the City Council regular meeting (3b). b. Historical Preservation Board Meeting. Mayor Pro-tem Keel stated that he was not able to make the board meeting; however, discussion was held on the flume which has received grant money to help with its restoration. City Manager Hale noted that he has spoken with the board about have some historic pieces being located in display cases throughout the new City Hall. c. Montezuma Community Economic Development Association (MCEDA). Councilmember McLaughlin stated that a contract has been completed with Chelsea Jones to begin work on the MCEDA web site and four interviews will be held on Thursday, November 12, 2015, to replace Economic Development Specialist Chris Burkett. She stated that a presentation was made to the Montezuma County Commissioners on the support of MCEDA, and it was felt that it was well received and the County will continue support. She stated that Southwest Memorial Hospital became a member of MCEDA and discussion was held on solar energy. City Manager Hale stated that he would be participating in the interviews of the Economic Development Specialist position. The regular meeting was adjourned at 8:50 p.m. ________________________________ Karen W. Sheek, Mayor CITY COUNCIL REGULAR MEETING NOVEMBER 10, 2015 PAGE 8 ATTEST: ________________________________ Linda L. Smith, City Clerk