City Council Meetings

CITY COUNCIL REGULAR MEETING TUESDAY, OCTOBER 22, 2019 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 Orly Lucero, Sue Betts, Jill Carlson, Ty Keel, and Gary Noyes. Councilmember Mike Lavey was absent. Staff members present were Associate Planner Neva Connolly, City Planner Tracie Hughes, Director of Public Works Phil Johnson, Human Resources Director Matt Cashner, City Clerk Linda Smith, and City Attorney Mike Green. There were 16 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 8, 2019. b. Approval of the payment of the Expenditure Vouchers of October 22, 2019. Mayor Pro-tem Lucero moved that the Consent Agenda be approved with the additional expenditure vouchers of $4,834.29. Councilmember Keel seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek Yes Yes Yes absent Yes Yes Yes 3. PRESENTATIONS – None. 4. CITIZEN PARTICIPATION a. Community Christmas Dinner. Sharon King, 225 North Washington, presented Council with an information letter on the Community Christmas Dinner which she is coordinating. She stated that the dinner is held on Christmas Day and everyone is invited. She stated that this is the 29th year for the dinner and noted that there is an average of 500 residents of all walks of life that attend. She stated that Special Events Coordinator Jon Brooks has pledged $500 towards the event on behalf of the City. She stated that funds are always welcome to purchase ingredients and tableware for the traditional meal and this year there is more need for contributions as the equipment that has been used for previous dinners has gone missing from the warehouse where it was stored. She stated that Montezuma County allows the use of the County Annex kitchen and building for the dinner and she stated that people who would like to volunteer should contact the Cortez Cultural Center or they can just show up. b. Concerns for Crosswalks. Rachel Medina, 411 East 1st Street, spoke about her concern of several areas in the community that are in need of crosswalk/crosswalk signs for safety reasons. She stated that she had brought up the need for a crosswalk and blinking crosswalk sign at the location of the new Bridge Shelter at Park Street and Empire at the Planning and Zoning meeting held in June 2018. She stated that her comments were not included in the information that Council CITY COUNCIL REGULAR MEETING OCTOBER 22, 2019 PAGE 2 reviewed when the final approval was made on the Bridge Shelter proposal. She stated that blinking crosswalk signs are needed at Main Street and Elm as it is a busy intersection on both sides of the street. She stated that she has concerns regarding the one-way area on Beech Street from First Street to Main Street as people are always driving the wrong direction and she asked that two signs be placed in the area to help people understand the street is one-way only. She stated that she has served on the Planning and Zoning Commission and the Parks, Recreation, and Forestry Advisory Board for several years and announced that she plans to run for City Council in 2020. Mayor Sheek stated that she meets with citizens during Mayor’s Hours on the second and fourth Tuesday of each month at noon at City Hall and noted that Council and staff work hard to listen and help citizens with their concerns. She stated that the concerns Ms. Medina brought up will be reviewed. c. Information on Greenlight a Vet. Mayor Sheek stated that Lynette Candelaria-Mitchell was not able to attend the meeting but sent an email regarding support for Greenlight A Vet. Mayor Sheek stated that the program emphasizes placing a green light in a window or on a porch in support of America’s veterans. She asked that the community consider supporting the program. 5. PUBLIC HEARINGS a. Resolution No. 24, Series 2019. Associate Planner Connolly stated that Resolution No. 24, Series 2019, approves a Conditional Use Permit to establish a hemp extraction facility at 1480 Industrial Road, as submitted by Zenun Labs, LLC. She stated that the applicants, Zenun Labs, LLC proposes to extract CBD from hemp using carbon dioxide (CO2) extraction. She stated that this type of use is considered a manufacturing use and requires a Conditional Use Permit. She stated that the applicant proposes to use the Apex Supercritical CO2 extraction system which has received engineering review and meets the International Fire Code and ASME Boiler and Pressure Vessel Code Standards. She stated that Planning and Zoning reviewed the proposal on October 1, 2019, and recommended approval. She spoke about off-street parking requirements noting that the property has ten parking spaces and a loading dock which meets the Land Use Code requirements. She reviewed the seven criteria from Land Use Code Section 6.10(f) regarding the conditions of approval of a Conditional Use Permit and commented that the Colorado Department of Transportation (CDOT) does not have a concern with highway access. She also reviewed the comments received from affected agencies and utility providers noting that the applicant must comply with Cortez Sanitation District requirements regarding disposal of cleaning solvents. She noted that the hemp will be required to be stored on the first floor in an environmental controlled atmosphere. She stated that hemp is regulated by the State of Colorado and THC concentration found within the extract shall be less than or equal to 0.3%. She noted that the proposal meets several policies of the Comprehensive Plan and staff recommends approval. Discussion was held on the difference between hemp and marijuana and City Attorney Green stated that hemp is not regulated by the City as it does not contain the same amount of THC as marijuana. Councilmember Carlson spoke about a request received a few years ago regarding the production of marijuana in the Industrial Park area and Council turned down the request due to possible odor issues and lack of law enforcement. City Attorney Green stated that hemp is different and does not have any regulations with the City. Discussion was held on possible odor issues with the hemp product and if there were possible ways to ventilate the smell problem. Discussion was also held on the extraction process and Associate Planner Connolly stated that the Fire Inspector for the City has reviewed the CITY COUNCIL REGULAR MEETING OCTOBER 22, 2019 PAGE 3 proposal and feels the extractions would be completed correctly with the proposed process. In answer to a question from Councilmember Keel, Associate Planner Connolly stated that nothing is required by the City for security and the road is adequate for trucks to drive on. In answer to a question from Councilmember Carlson, Victor Nunez, 624 Lois Lane, stated that they would do what is required for odor remediation. Mr. Nunez stated that his family will work together with their sister (Marlene) who understands the process of extraction. He stated that they would like to offer the extraction process to the local farmers as well as conducting the process for their own product. Beny Nunez, 534 Geralds Way, spoke about their proposal and commented that they would do whatever the City required. Associate Planner Connolly stated that the hemp plants would be stored inside the warehouse building and she does not feel that odor would be an issue as only 10% of the CO2 gas would be released. Mayor Sheek opened the public hearing. Lana Waters, 16145 CR 21.4, stated that she is concerned as a neighbor for possible odor issues and noted that the property does border Carpenter and Geer Natural Areas. She spoke about the requirements that would be placed on the property for landscaping/buffering due to the location of the property. Discussion was held on requirements for landscaping of the property and Associate Planner Connolly stated that there is not any proposed expansion of the building and therefore no landscaping/buffering would be required. Dave Waters, 16145 CR 21.4, stated that staff is wrong and they should read Section 1.01.04 which says the proposal would be subject to the new Land Use Code requirements. He asked that Council ask the applicants if they can afford an extra $40,000 in expenses for landscaping/buffering in order to open their business. Associate Planner Connolly stated that the application is being reviewed under the current Land Use Code, not the new Land Use Code. Mr. Nunez stated that they understand that the property is not theirs; however, they would comply with whatever requirements the City would have for them regarding the property. Councilmember Carlson read Section 1.01.04(A)(1) from the proposed Land Use Code and noted that the same section references different information in the current code. Mayor Sheek closed the public hearing. Councilmember Keel moved that Council approve Resolution No. 24, Series 2019, approving a Conditional Use Permit to establish a hemp extraction facility at 1480 Industrial Road, in the Industrial Road in the Industrial (I) zoning district, as submitted by Zenun Labs, LLC., representative for owner Douglas Yearout, with two conditions. Councilmember Betts seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek No No Yes absent No Yes Yes Vote was 3 – 3, motion failed. Councilmember Carlson stated that she would like more information on how the odor could be remedied. Mr. Nunez stated that the product would be vacuum sealed and stored inside. He stated that they would do whatever would be required to handle any odor issues. In answer to a question from Mayor Sheek, City Attorney Green stated that the applicants could re- apply and possibly the odor issued could be further reviewed. He stated that the City does not have anything to compare the process to as there is not an extraction process in Cortez at the present time. Councilmember Keel suggested that the applicants get information on the process from other communities to see how they may be handling the odor. CITY COUNCIL REGULAR MEETING OCTOBER 22, 2019 PAGE 4 b. Resolution No. 25, Series 2019. Mayor Sheek stated that Resolution No. 25, Series 2019, approves a Site Development Plan for the development of a car sales lot to be located at 401 West Main Street. Associate Planner Connolly stated that John Hager, representing Glenn Leighton, has applied for a site plan to install a 12’ by 56’ mobile office for a pre-owned car sales lot to be located at 401 West Main Street. She stated that the lot is 0.61 acres and is currently used throughout the week as a swap meet/flea market. She stated that the Land Use Code requires a site plan for any new development. She stated that the site has an existing water tap, and sewer, fiber, and power are located in the alley just south of the property. She stated that the property is entirely paved and has curb and sidewalk installed on both Main and Maple Streets. She stated that the applicant proposes to use an existing in-ground planting area and portable planters to meet the Land Use Code’s 10% landscaping requirements. She stated that access to the property will be from Maple Street, which conforms to the Colorado Department of Transportation’s restrictions. She stated that the Planning and Zoning Commission recommended approval of the proposal on October 1, 2019. She noted that the mobile office is 672 square feet and will require three parking spaces which are provided on the site plan. She stated that the applicant will provide an irrevocable letter of credit to ensure the landscaping will be installed in the spring of 2020. She stated that staff recommends approval of Resolution No. 25, Series 2019, with three conditions. Discussion was held on the school buses that use the alleyway behind the lot; however, Associate Planner Connolly noted that the alley will remain and there should be no issues for the buses. Mayor Sheek opened the public hearing; however, no one spoke and the hearing was closed. Councilmember Keel moved that Council approve Resolution No. 25, Series 2019, approving a Site Development Plan for the development of a car sales lot to be located at 401 West Main Street. Councilmember Carlson seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek Yes Yes Yes absent Yes Yes Yes 6. UNFINISHED BUSINESS a. Emergency Ordinance No. 1270, Series 2019. City Attorney Green stated that Emergency Ordinance No. 1270, Series 2019, accepts the offer of $225,000 from Montezuma County for the purchase of the property located at 25306 County Road L, formerly known as the 4 Corners Office Building. He stated that the ordinance is being presented as an emergency ordinance and will require a public hearing. He stated the ordinance will become effective following passage and noted that closing on the property will be held on Wednesday, October 23, 2019, with the Mayor being authorized to sign the deed and the paperwork required for the sale of the property to Montezuma County. Discussion was held on the amended date that was completed on the Change of Status Transaction Brokerage Disclosure form. Jim Candelaria stated that the date change was required with the Seller’s Agent (Ken Williamson) becoming a Transaction Broker for the City to be able to sell the property. Mayor Sheek opened the public hearing. Mr. Candelaria thanked the City for selling the property to the County noting that it will serve the County’s needs well. He stated that the City and County serve the same constituents and the sale benefits both. No one else spoke and Mayor Sheek closed the public hearing. Councilmember Carlson moved that Council approve Emergency Ordinance No. 1270, Series 2019, CITY COUNCIL REGULAR MEETING OCTOBER 22, 2019 PAGE 5 accepting the offer of $225,000 from Montezuma County for the purchase of the property located at 25306 County Road L (4 Corners Office Building) Cortez, with the proceeds from the sale of the property to be segregated from other funds for future development of the Industrial Park property. Councilmember Betts seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek Yes Yes Yes absent Yes Yes Yes 7. NEW BUSINESS a. Resolution No. 23, Series 2019. Human Resources Director Cashner stated that Resolution No. 23, Series 2019, approves the changes to the City’s Employee Handbook. He stated that the new handbook has been reviewed by Employer’s Council and the City Attorney and was previously discussed by Council at their worksession held on September 24, 2019. He stated that a few pages that were sent out with the packet had the wrong date of 2019 on them and were updated to note that the handbook would be effective January 1, 2020. Mayor Pro-tem Lucero moved that Council approve Resolution No. 23, Series 2019, approving the changes to the City’s Employee Handbook, effective January 1, 2020. Councilmember Carlson seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek Yes Yes Yes absent Yes Yes Yes b. Ordinance No. 1269, Series 2019. City Planner Hughes stated that Ordinance No. 1269, Series 2019, approves an alley vacation between Tracts C and D of the Montview Subdivision. She stated that Rosie Carter, 50 East Carpenter Street, would like to vacate an alley between Tracts C and D as the alley does not connect to any other Right-of-Way (ROW) on the east and the applicant owns the parcels on the north and south. She stated that the alley vacation plat will consolidate all the subject properties and the alley into one parcel. She stated that there was no opposition received to the request from any of the utility providers. She reviewed the criteria from Land Use Code Section 6.25, Vacation of Rights-of-Way and Easements noting that the applicant has satisfied all of the submittal requirements and the vacation does not conflict with any policies or plans. She stated that the vacation of the ally will not create a land-locked parcel of land as the lot fronts a public right-of- way. She stated that no negative comments have been received from the adjacent land owners to date. She stated that staff recommends approval of the ordinance on first reading. Councilmember Keel moved that Council approve on first reading Ordinance No. 1269, Series 2019, approving on first reading Ordinance No. 1269, Series 2019, an alley vacation between tracts C and D of the Montview Subdivision, as requested by Rosie Carter, and set for public hearing on November 12, 2019. Mayor Pro-tem Lucero seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek Yes Yes Yes absent Yes Yes Yes c. QUASI-JUDICIAL ITEM – Set Public Hearing Date for a New Retail Marijuana Cultivation CITY COUNCIL REGULAR MEETING OCTOBER 22, 2019 PAGE 6 License for Mountain Annie’s LLC. Mayor Sheek stated that the request from Mountain Annie’s LLC is a Quasi-Judicial item and she asked if anyone had any conversation or contact regarding the application; however, no one spoke. City Attorney Green stated that Mountain Annie’s LLC, DBA The Medicine Man, has submitted an application for a Retail Marijuana Cultivation license for their premises located at 310 East Main Street. He stated that the approval would be for a State license and he asked that a public hearing date be set for November 12, 2019, to consider the request. Councilmember Carlson moved that a public hearing date of November 12, 2019, be set for review of a new Retail Cultivation License for Mountain Annie’s LLC, DBA The Medicine Man, located at 310 East Main Street, Cortez. Councilmember Keel seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek Yes Yes Yes absent Yes Yes Yes d. Letter of Support for Montezuma County Requesting a GOCO Grant. Mayor Sheek stated that Montezuma County is applying for a GOCO Grant to complete improvements at McPhee Reservoir and has asked if the City would supply a Letter of Support for their grant request. James Dietrich, Natural Resources Department Director for Montezuma County, spoke to Council about a breakwater project he has been working on for some time. He stated that in 2015 they were able to complete 300 feet of breakwater and there is a need to complete more length on the breakwater to provide for a safer launch area. He stated that research has been done on the product that would be used in Phase 2 of the project and the County has applied for a $350,000 grant from GOCO to be used towards 600 additional feet of breakwater. He stated that the County would match the grant with $138,000 for the project. He stated that the County would appreciate a Letter of Support from the City for the project. Councilmember Betts moved that Council approve a Letter of Support for Montezuma County to apply for a GOCO Grant to complete improvements at McPhee Reservoir. Councilmember Noyes seconded the motion, and the vote was as follows: Betts Carlson Keel Lavey Lucero Noyes Sheek Yes Yes Yes absent Yes Yes Yes 9. OTHER ITEMS OF BUSINESS – None. 10. ADDITIONAL CITIZEN PARTICIPATION – None. 11. CITY ATTORNEY’S REPORT – None. 12. CITY MANAGER’S REPORT – None. 13. CITY COUNCIL COMMITTEE REPORTS a. Mayor’s Report on Workshop. Mayor Sheek stated that Council reviewed the Community Support Grant requests during Council Worksession and awarded a total of $17,970 towards the CITY COUNCIL REGULAR MEETING OCTOBER 22, 2019 PAGE 7 applicants for 2020. b. Golf Advisory Board. Councilmember Keel stated that he would be attending the last Golf Advisory Board meeting on Wednesday, October 23, 2019, and report at the next Council meeting. c. Greenlight A Vet. Council agreed to support a proclamation for Greenlight a Vet and the Mayor stated that she would send a copy out for each Councilmember to read prior to taking a copy to the newspaper. The regular meeting was adjourned at 8:45 p.m. ________________________________ Karen W. Sheek, Mayor ATTEST: ___________________________ Linda L. Smith, City Clerk