HomeMy WebLinkAboutStudy Session Agenda Packet 06-01-20STUDY SESSION AGENDA
CITY COUNCIL CITY OF WHEAT RIDGE, COLORADO
June 1, 2020 6:30 p.m. This meeting will be conducted as a VIRTUAL MEETING. No members of the Council or City staff will be physically present at the Municipal building for this meeting; the public may not attend in person. The public may participate in these ways:
1. Provide comment in advance at www.wheatridgespeaks.org (comment by noon on June 1, 2020) 2. Virtually attend and participate in the meeting through a device or phone:
• Click here to join and provide public comment
• Or call +1-669-900-6833 with Access Code 950 7618 0398 3. View the meeting live or later at www.wheatridgespeaks.org, Channel 8, or YouTube Live at https://www.ci.wheatridge.co.us/view
Individuals with disabilities are encouraged to participate in all public meetings
sponsored by the City of Wheat Ridge. Contact the Public Information Officer at 303-235-2877 or wrpio@ci.wheatridge.co.us with as much notice as possible if you are
interested in participating in a meeting and need inclusion assistance.
Citizen Comment on Agenda Items
1. Artspace Feasibility Study update
2. Parks fee-in-lieu of land dedication requirements
3. Potential land exchange at Stites Park
4. Staff Report(s)
5. Elected Officials’ Report(s)
ADJOURNMENT TO SPECIAL MEETING
Memorandum
TO: Mayor and City Council
THROUGH: Patrick Goff, City Manager
FROM: Marianne Schilling, Assistant to the City Manager
DATE: June 1, 2020
SUBJECT: Artspace Preliminary Feasibility Report
ISSUE: In February 2020, Artspace Consulting arrived in Wheat Ridge for an on-site visit as part of its
research in developing a Preliminary Feasibility Report. This visit included a site tour of Wheat
Ridge, several focus groups and a public meeting. Artspace will be presenting the outcomes of the report as well as potential next steps.
BACKGROUND: Artspace Consulting helps communities identify effective, affordable ways to incorporate the arts
into their civic agendas. They help communities revitalize downtown areas and inner city neighborhoods, reanimate historic properties, develop arts districts, and create and preserve affordable spaces for artists.
At the February 4, 2019 study session, Artspace Consulting, and members of the Cultural
Commission, requested that City Council consider a Preliminary Feasibility Study to provide preliminary feedback about the feasibility of creating live/work, multi-use, or other arts facility development in the City of Wheat Ridge. City Council provided consensus to ask the Cultural Commission to investigate this proposal further with the community to gain additional support
for the project and to report back to City Council at a future meeting.
In May 2019, the Cultural Commission returned to City Council and provided an update regarding community and funding support of an Artspace Preliminary Feasibility Study. The Commission had developed a Core Group to lead the project, and it proposed splitting the cost of
the study with Localworks, with each entity paying $12,500. At that time, City Council provided
consensus to fund half of the study and move forward with the study.
In February 2020, Artspace Consulting arrived in Wheat Ridge for a two-day visit to facilitate focus groups, tour potential sites, hear from the local community, and present at a public
meeting. Based upon the research from the visit, Artspace developed the Preliminary Feasibility
Report summarizing Artspace’s findings and recommended next steps.
Teri Deaver, Vice President of Artspace Consulting, will present an overview of the February 2020 site visit to Wheat Ridge, and discuss the Preliminary Feasibility Report.
Item No. 1
Artspace Preliminary Feasibility Report
Page 2 ATTACHMENTS: 1. Artspace Preliminary Feasibility Report
2. Artspace Presentation
ATTACHMENT 1
Building Better Communities Through the Arts
PFS Findings Report // June 1, 2020
Wheat Ridge, CO
ARTSPACECONSULTING
ATTACHMENT 2
Established in 1979,Artspace is a national nonprofit real estate developer for
the arts.Based in Minneapolis with offices in New York and DC.
Artspace Consulting has helped cities,artists,nonprofits,and creative businesses
with their own space-based initiatives in over 200 communities across the nation
53 projects in operation or development in 38 cities and 23 states
Artspace Loveland Lofts // Loveland, CO2 Mesa Artspace Lofts // Mesa, AZArtspace Uptown Lofts // Michigan City, IN
1.Objective: Assess need and
opportunities to advance
affordable creative spaces
2.Six areas of focus
THE PRELIMINARY FEASIBILITY STUDY
3
OUR WORK IN WHEAT RIDGE
1.Core Group of stakeholders
2.Document Review
3.Potential Sites and Community Tour
4.Three Focus Groups/Public Meeting
The Visit: Feb 5 -7
4
Photo Source: City of Wheat Ridge
OUR PROCESS IN WHEAT RIDGE
FINDINGS CLOSE UP:
THE ARTS MARKET &
COMMUNITY GOAL ALIGNMENT
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ARTS MARKET:
Who are the artists/creatives? and …..
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•Broadly defined sector
ARTS MARKET:
….What do they need?
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What Does Affordability Mean?
•Commercial space $1.00 -$1.25 sq.ft.
•$16.00 -$20.00 hr. (rehearsals, etc.)
•Current Market Rate Housing Rentals:
$1200 -$1800/mo. (one-bedroom)
Prioritized Affordable Space:
•Performance/Event space
•Creatives’ workforce housing
•Gallery/Exhibition space
•Makerspace-incubator/multi-
media space
Other Themes
-Concern over rising costs
-Opportunity to attract and retain creatives
-Raise visibility
COMMUNITY GOAL ALIGNMENT
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Focus group participants prioritized their goals for new space:
FINDINGS CLOSE UP:
SITES & FUNDING
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POTENTIAL SITES and FUNDING
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Sites
•Prioritize URA and NRS corridor sites
44th Ave. = Jumpstart Revitalization
38th Ave. = Raise visibility quickly
•Timely private development opportunities
•Creative District opportunity
Funding and Financing Tools
•Public/Private Partnerships
•Leverage private capital investment
•Mix and match funding opportunities by Project Concept
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RECOMMENDED PROJECT CONCEPTS
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•Project Concept 1: Local creative initiatives the
Core Group can advance in the near term
•Project Concept 2:Path to an Artspace mixed-
use development
•Project Concept 3: Pursue the Colorado State
Certified Creative District designation
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PROJECT CONCEPT 1 –NEXT STEP EXAMPLE
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Asset Mapping
•Promotional directory of creative
businesses/nonprofits
•Identify existing activity clusters and trends for a
future creative district
•Identify underutilized spaces
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PROJECT CONCEPT 1 –NEXT STEP CASE STUDY
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Highlighting Local Talen t
•Raise visibility of ”hidden” creatives
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PROJECT CONCEPT 2 –NEXT STEP EXAMPLE
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Arts Market Study
•Test PFS findings against a regional market
•Quantify demand for Wheat Ridge
•Help local developers refine project concepts
•Raise profile of Wheat Ridge among creatives
•And Next step in an API project….
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PROJECT CONCEPT 2: CASE STUDY EXAMPLE
EXAMPLE: Artspace Loveland Arts Campus //
Loveland, CO
§Total area: 49,700 Square Feet
§Live/work units: 30
§Commercial/community space: 12,000 Square
Feet
§Local and regional donors: Colorado State
Historic Fund, Hach Family Fund, Erion
Foundation, ArtPlace/CFNC, Paul & Teresa
Mueller, Loveland Community Fund/CFNC, Earl
& Lis Sethre, Linda & Tom Lignon, Jan & Mel
Schockner, Linda Aranow
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SOURCE AMOUNT PERCENT
Public Sources
Low-Income Housing Tax Credits (9%)$5,598,880 68%
CO State Housing Trust Fund / HOME Funds $300,000 4%
Loveland City Contract $413,674 5%
Loveland City Loan $300,000 4%
HACOL -Sponsor Loan $50,000 1%
Private Sources
Residential First Mortgage $912,000 11%
Private Sector (Philanthropic Gifts)$619,584 8%
TOTAL $8,194,138 100%
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PROJECT CONCEPT 3 –NEXT STEP EXAMPLE
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Creative District
•Connect with State of Colorado Creative
Industries
•Follow the DIY process
•Use asset mapping to inform geographical
boundaries
•Plan for long-term affordability
WHERE TO START? LEADERSHIP
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•Formalize an expanded working group to advance initiatives
•Ensure group diversity (e.g. race, ethnicity, age, cross sector
expertise, art form/career phase)
•An ongoing role for Localworks, City, Commission…and
they are up for the task
The Initial Core Group
•City of Wheat Ridge
•Cultural Commission
•Localworks
•Community Volunteers
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POTENTIAL TIMELINES
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Memorandum
TO: Mayor and City Council
THROUGH: Patrick Goff, City Manager
FROM: Kenneth Johnstone, Community Development Director
DATE: May 22, 2020 (June 1, 2020 Study Session)
SUBJECT: Parkland Fees – City Council Discussion
ISSUE:
In 2014, City Council adopted Ordinance 1547 and Resolution 34, Series 2014 which revised the City’s subdivision regulations to set forth consistent and defensible parkland dedication requirements and to establish fees in lieu. The ordinance requires payment to be made at the time a plat is recorded for new subdivisions. Subdivisions are often times established far before
development occurs, and fees may not be reflective of the current market at time of development.
Having implemented the parkland dedication requirements for over five years now, staff has reviewed the fee structure and procedure and is recommending minor updates.
PRIOR ACTIONS: On April 28, 2014, City Council adopted Ordinance 1547, an ordinance repealing and reenacting
the City’s subdivision regulations, as contained in Chapter 26, Article IV to simplify the subdivision review process and establish consistent and defensible parkland dedication requirements. The section pertaining to public dedications, including parkland, was rewritten and restructured, and Resolution 34, Series 2014 was adopted by City Council on June 9, 2014
establishing fees in lieu based on a market study of land values.
FINANCIAL IMPACT: Parkland fees apply to all residential development, excluding nursing homes and similar uses. A parkland dedication requirement and fee in lieu are common amongst other municipalities and
are based on the premise that additional residents create additional demand on parks, trails, and
open space. The fee generates revenue that is used to offset the costs the city incurs to acquire, develop and maintain its parks and recreation properties and facilities. It can only be used for those purposes. The parkland fee is calculated based on a formula that determines the amount of land required for dedication:
[(number of proposed dwelling units) x (density factor) x (7.5 acres)] / 1000 people
This formula was based on research gathered throughout the Denver Metro Area. The formula falls on the lighter side of the spectrum relative to fees charged by other communities. This is
reflective of the fact that the City’s parkland system is largely built out and therefore the City is
more focused on ongoing maintenance and periodic capital investments. Additionally, the City
Item No. 2
has attempted to create a business and regulatory environment that attracts new investment and
development into the City.
Based on an external professional analysis of the market conducted in 2014, which suggested a median residential land price of $3.64/SF, the resulting parkland dedication fees are as shown in the following table. Density factors were based on household size from Census data.
Type of Residential Density Factor Land Value* Per Unit Fee Single and Multi-Family 2.1 $3.64 $2,497.29
Urban Renewal Area 1.7 $3.64 $2,021.62
Mixed Use Development 1.7 $3.64 $2,021.62
Within ½ mile of transit station 1.7 $3.64 $2,021.62
Senior Housing 1.5 $3.64 $1,783.78
* As determined by City Council Resolution 34, Series 2014 BACKGROUND: As noted above, the intent of the subdivision code rewrite in 2014 was in large part to align the
City code with the reality that Wheat Ridge is a largely built-out community focused on redevelopment and infill projects. The subdivision regulations are intended to be streamlined, well organized, predictable, consistent and equitable.
In doing the research that resulted in the ordinance and resolution that were adopted in 2014, one
area of focus was on staff’s approach to determining park land dedications and associated fees in lieu, as well as form and timing of payment. Most often, a fee is paid in lieu of land dedication. Staff believes the process is reasonable and predictable; however, the timing of fee payment for new subdivisions does not always align with the time of construction and has been difficult to
track.
Section 26-414.A.4.e of the City code reads as follows: Form and timing of cash-in-lieu payment. Cash-in-lieu payments shall be paid to the city
by certified check and deposited in the city account to be used solely for the acquisition,
development, or improvement of parks, open space, bicycle and pedestrian trails, and related facilities. For subdivisions, payment shall be made at the time the plat is recorded. For development, payment shall be made prior to building permit issuance.
Staff has found that subdivisions are often times established far before development occurs, and it is better correlated at time of building permit. Thus, staff is seeking affirmation from Council to proceed with amending the subdivision regulations to require payment to be made prior to building permit issuance for all development, including new subdivisions. The new language
could be edited to read as follows:
Form and timing of cash-in-lieu payment. Cash-in-lieu payments shall be paid to the city by certified check and deposited in the city account to be used solely for the acquisition, development, or improvement of parks, open space, bicycle and pedestrian trails, and
related facilities. For development and subdivisions, payment shall be made prior to
building permit issuance.
If City Council agrees that it is in the best interest of the city to require fees in lieu to be paid at time of building permit rather than at time of subdivision recording, staff will proceed with drafting an ordinance for your review per the revised language above or as recommended by Council.
Additionally, it should be noted that staff has begun analyzing the applicability of the City’s base data for calculating parkland fees in lieu. Back in 2014, the fee was established based on a land valuation study conducted at that time. The study analyzed residential land transactions in Wheat Ridge and the surrounding area. During that time, post-recession, there were very few local real
estate comparables. The conclusion of that study reflected the median land value of $3.64/SF,
which was applied to the formula and adopted as part of Resolution 34, Series 2014 establishing fees. With many more comps and a different market, it has come to the attention of staff that land
value has increased rather substantially since 2014, and the formula that is applied today may
need to be re-evaluated. A residential land valuation analysis with many more recent Wheat Ridge comparables (“comps”) is included for reference. It is also possible that the density factor may need to be adjusted to reflect current Census population data. Once the 2020 Census data is released, this may be an appropriate topic for discussion.
RECOMMENDATIONS: Staff is seeking affirmation from Council to proceed with amending the subdivision regulations to require payment of fees in lieu of parkland dedication to be made prior to building permit issuance for all development, including new subdivisions. Secondarily, staff is seeking direction
from City Council whether they would like to consider at some point in the future a City Council
resolution that would update the figure used for residential land valuation, based on more recent “comps.” ATTACHMENTS: 1. Ordinance 1547 (Parkland Dedication Excerpt)
2. Resolution 34, Series 2014 3. Residential Land Valuation Analysis
Ordinance 1547, Series 2014
(Parkland Dedication Excerpt)
ATTACHMENT 1
CITY OF WHEAT RIDGE, COLORADO
RESOLUTION NO. 34
Series of 2014
TITLE: A RESOLUTION ESTABLISHING A SCHEDULE FOR FEES IN LIEU
OF PARKLAND DEDICATION AS REQUIRED BY CHAPTER 26,
ARTICLE IV OF THE WHEAT RIDGE MUNICIPAL CODE
WHEREAS, the City Council adopted Ordinance 1547, Series 2014 on April 28,
2014, with the stated intent of simplifying the subdivision review process and establishing
consistent and defensible dedication and public improvement requirements ; and
WHEREAS, Ordinance 1547 provides that City Council shall take action by
resolution to adopt a residential land valuation to be used in calculating the parkland fee in
lieu of land dedication; and
WHEREAS, the ordinance further states that "the developer/owner. .. shall...pay to
the City a sum of money based on a per acre fee adopted by resolution of the City Council.
A fee in lieu schedule shall be established with consideration for the per acre costs of
acquiring and improving park land; and
WHEREAS, the City has commissioned a land valuation study from a firm with
expertise in residential real estate transactions; and
WHEREAS, the study analyzed 11 recent land transactions in the greater Wheat
Ridge area and determined the median sales price for residential development land to be
$3.64/square foot of land.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Wheat
Ridge, Colorado, as follows:
For the purposes of ca lculating the City's parkland fee in lieu of land dedication, City
Council hereby determines the residential land valuation to be $3.64/square foot of
land.
The following table is illustrative of the impact of that land valuation on actual fees to
be paid .
Type of Residential Density Factor Land Value* Per Unit Fee
Single and Multi-Family 2.1 $3.64 $2,497.29
Urban Renewal Area 1.7 $3.64 $2,021.62
Mixed Use Development 1.7 $3.64 $2,021 .62
Within Yz mile of transit 1.7 $3.64 $2,021 .62
station
Senior Housing 1.5 $3.64 $1 ,783.78
ATTACHMENT 2
DONE AND RESOLVED this 9th day of June 2014.
ATIEST:
nelle Shaver, C1ty Clerk
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3
Memorandum
TO: City Council and Mayor
THROUGH: Ken Johnstone, Community Development Director
Karen O’Donnell, Parks and Recreation Director
Patrick Goff, City Manager
FROM: Lauren Mikulak, Planning Manager
DATE: May 22, 2020 (for June 1, 2020 Study Session)
SUBJECT: Potential Land Exchange at Stites Park
Stites Park is located at the northwest corner of W. 29th Avenue and Newland Street. The adjacent property at 6675 W. 29th Avenue contains two parcels under one ownership in a flag lot configuration: the majority of the lot is located to the west of Stites Park and a narrow 15-foot wide pole portion extends to Newland Street. This lot configuration is shown in the attached Exhibit 1.
The property at 6675 W. 29th Avenue previously contained a single family home which was removed from the site through a demolition permit issued in November 2017. The property has been vacant since then. Stites Park contains a playground, basketball court, and a children’s baseball field.
The previous owner partnership recently dissolved, and the owner of the private property at 6675 W. 29
th Avenue has been in touch with Community Development staff to discuss the possibilityof development under the existing residential zoning. Prior to any development, however, thereis an opportunity for a land exchange between the City and the land owner to correct the shared
lot lines.
At the north end of the park, the playground and basketball court were built on the 15-foot sliver of private property. On the west side of the park, the divisional fence is located several feet into the park property. (The fence was replaced in 2018, but the condition was the same with the
previous fence also located inside the park property instead of along the property line. This appears to be due in part because of the location of mature trees.) These two areas are shown as Tracts A and B in the attached Exhibit 2.
The lot lines could be corrected if the property owner deeds the northern Tract A to the City, and
the City deeds the western Tract B to the adjacent owners. The process for this exchange would require a series of discrete actions:
Item No. 3
2
1. Council would need to approve disposition of parkland for Tract B by ordinance and
pursuant to Section 16.5 of the Municipal Code;
2. A subdivision plat would need to be processed, at the private property owner’s expense to disconnect the tracts from current ownership; and 3. Deeds would be exchanged between both parties.
Staff will also confirm whether any Jefferson County open space funds are associated with this
parcel, and, if so, what approval may be needed from Jefferson County. There is no proposal to exchange funds in association with the land exchange. Rather, in this case, the dedication of Tract A to the City could fulfill all or a portion of the parkland dedication
requirement if the owner pursues development of new residential units at 6675 W. 29th Avenue.
The land exchange would result in a net increase of park land of approximately 2,000 square feet. The purpose of the June 1 study session is to seek Council consensus on whether to move
forward with the process for a land exchange of Tracts A and B. If consensus is found, staff will
return to Council with an ordinance for Council action consideration. (Exhibits on next page.)
3
Exhibit 1 shows in blue the property lines of Stites Park and the adjacent private property at
6075 W. 29th Avenue; it also shows that park improvements encroach into private property.
Exhibit 2 shows the tracts proposed to be exchanged. Tract A shown in green is currently under
private ownership and would become part of Stites Park. Tract B shown in orange is a narrow sliver that is currently under City ownership but located on the west side of the fence line.