1. Healthcare

February 3, 2015 City Council Meeting Packet
Page 1 of 72
ME
EETING OF
F THE CIT
TY COUNC
CIL
City Co
ouncil Cham
mbers
448 East 1st Street, R
Room 190
City off Salida, Collorado
Tuesday,
T
Feb
bruary 3, 20015 7:00 p.m
m.
The Cityy Council may
m take actiion on any of
o the follow
wing agendaa items as pr
presented or
modified
d prior to orr during the meeting, an
nd items neecessary or cconvenient tto effectuatee the
agenda items.
i
I. REGUL
LAR MEETIING CALLE
ED TO ORD
DER
II. PLEDG
GE OF ALLE
EGIANCE – Led by Mayo
or Jim Dicksonn
IIII. ROLL CALL
IIV. CITIZE
EN PARTIC
CIPATION – 3 minute tim
me limit. Citizenn participation is for items not oon the agenda annd for
agenda ittems that are nott scheduled publiic hearings.
V. PRESE
ENTATION
V
VI. NEW BUSINESS
B
V
VII. OLD BUSINESS
B
VIIII. SCHED
DULED ITE
EMS
1. Conseent Agenda (Christian
(
Sam
mora)

Approval of
o Agenda

Approval of
o Minutes: Jan
nuary 20, 2015
nance Creatin
ng an Audit Committee
C
– 2nd Reading
g & Public H
Hearing (Item
m will be conttinued
2. Ordin
to a fu
uture meetin
ng) (Jan Schmidt)
Ordin
nance 2015-01 Replacing Arrticle XV and creating a new
w Article XVII in Chapter 2 of the Salida
Municcipal Code in order to estab
blish an Audit Committee
3. Ordin
nance Propossing an Alterrnate Ballot Measure
M
– 2ndd Reading & Public Hearring (Item wiill be
contin
nued to a futture meeting)) (Jan Schmid
dt)
Ordin
nance 2015-022 To provide for
f a change in
n disposition oof the sales taxx fund capitall spending, andd
submiitting this ordiinance for app
proval of the registered
r
voteers of the Cityy of Salida at a special electiion on
March
h 24, 2015
1
Agenda February 3, 2015
The ordeer of agenda items
i
listed above
a
are app
proximate annd intended aas a guidelin
ne for the
City Cou
uncil. Indiv
ividuals with
h disabilitiess needing aauxiliary aid
d(s) may req
equest assisttance by
contactin
ng the City Clerk,
C
448 E. 1st Street, Ste
te. 112, Salidaa, CO 81201, 719-530-2630
30 at least 48 hours in
advance.
February 3, 2015 City Council Meeting Packet
Page 2 of 72
4. Setting of Ballot Language for March 24th Special Election (Betty Schwitzer/Christian Samora)
Resolution 2015-12 certifying ballot language for a special election to be held on March 24, 2015, regarding
the 2A Initiative and an additional measure being submitted by the City Council to the electors of Salida
5. Agreement with Chaffee County (Betty Schwitzer/Christian Samora)
Resolution 2015-13 approving a contract between the City of Salida and Chaffee County for assistance and
administration of an election to be held on March 24, 2015
6. Termination of Property Maintenance Agreement with NRCDC (Dara MacDonald)
Resolution 2015-14 terminating the Property Management and Financial Services Agreement with the Salida
Natural Resource Center Development Corporation
7. Madison House Presents Use Agreement (Dara MacDonald)
Resolution 2015-15 approving a facilities use agreement with Madison House Presents, LLC for a music
festival and concert event at the Vandaveer Ranch
8. Administrator/City Attorney/Deputy City Clerk
a.
City Administrator Report – Dara MacDonald
b.
City Attorney Report – Karp, Neu, Hanlon, PC
c.
Deputy City Clerk Report – Christian Samora
9. Elected Official Reports

City Treasurer – Cheryl Brown-Kovacic

City Clerk – Betty Schwitzer

Mayor – Jim Dickson

City Council- Keith Baker, Michael Bowers, Melodee Hallett, Eileen Rogers, Hal Brown and
Tom Yerkey.
IX. EXECUTIVE SESSION –
For a conference with the City/Town Attorney for the purpose of receiving legal advice on specific legal
questions under C.R.S. Section 24-6-402(4)(b);
For the purpose of determining positions relative to matters that may be subject to negotiations, developing
strategy for negotiations, and/or instructing negotiators, under C.R.S. Section 24-6-402(4)(e).
AND THE FOLLOWING ADDITIONAL DETAILS ARE PROVIDED FOR IDENTIFICATION
PURPOSES: Attorney Review and Case Update
X. REPORT/ACTION ON EXECUTIVE SESSION MATTERS
XI. ADJOURN –
[SEAL]
____________________________
Mayor
______________________________
City Clerk
2
Agenda February 3, 2015
The order of agenda items listed above are approximate and intended as a guideline for the
City Council. Individuals with disabilities needing auxiliary aid(s) may request assistance by
contacting the City Clerk, 448 E. 1st Street, Ste. 112, Salida, CO 81201, 719-530-2630 at least 48 hours in
advance.
February 3, 2015 City Council Meeting Packet
Page 3 of 72
MEETIN
NG MINUT
TES OF TH
HE CITY CO
OUNCIL
City Co
ouncil Cham
mbers
448 East 1st Street, R
Room 190
City off Salida, Collorado
Tuesday,
T
Jan
nuary 20, 2015 6:00 p.m.
I. REGUL
LAR MEETIING CALLE
ED TO ORD
DER
II. PLEDG
GE OF ALLE
EGIANCE – Led by Mayo
or Jim Dicksonn
IIII. ROLL CALL
Present at roll call were Mayor Jim Dickson, Couuncil Memberrs Keith Bakerr, Tom Yerkeyy, Eileen Rogeers, Mike
B
Also present
p
were C
City Treasurer Cheryl Brown
n-Kovacic, Ciity Clerk
Bowers,, Melodee Halllett and Hal Brown.
Betty Scchwitzer, City Administrator Dara MacDonald, City Atttorney Karl H
Hanlon and D
Deputy City Cllerk
Christian
n Samora.
IIV. CITIZE
EN PARTIC
CIPATION – 3 minute tim
me limit. Citizenn participation is for items not oon the agenda annd for
agenda ittems that are nott scheduled publiic hearings.
Laura Piintane of Salid
da stated that she learned att a recent Schoool Board Meeeting the dog park will be cclosed if
locks aree not installed
d on the gates.. Pintane stateed that the Citty and the schhool’s adminisstration shouldd require
evidencee before makiing a change. She requested that the Cityy place the $11,000 back in
n the budget fo
or
locking gates at the do
og park. She thanked the City
C council foor the considerration.
V. PRESE
ENTATION
1. Williams Ap
ppreciation – Annual Chriistmas Dinneer
Mayor Dicksson read a letteer of appreciaation from thee Salida City C
Council and prresented the W
Williams
with a plaquee in appreciation of their serrvice to the Saalida communnity.
2. Introduction
n of New Community Deevelopment IIntern - Jamiee Hartig (Daan Osborn)
Osborn intro
oduced Jamie Hartig
H
to the City Council aand gave a briief backgroun
nd.
V
VI. NEW BUSINESS
B
Hallett motioned to
o have a resollution for thee termination
n of the agreeement passed
d by Resolutiion
da and the NRCDC.
N
Broown seconded
d the motion
n.
2013-200 between thee City of Salid
Rogers felt
f that it wass appropriate to
t discuss it.
In a 5-11 vote, THE MOTION
M
CARRIED.
C
Yerkey
Y
had th
he dissenting
g vote.
V
VII. OLD BUSINESS
B
Bowers stated that hee relinquished the gift that he
h received froom an anonym
mous source to
o the Deputy City
Clerk.
VIIII. SCHED
DULED ITE
EMS
Meeting Minutes
M
Janu
nuary 20, 20155
1
February 3, 2015 City Council Meeting Packet
Page 4 of 72
1. Consent Agenda (Christian Samora)

Approval of Agenda

Approval of Minutes: January 6, 2015

Elks Lodge Special Event Liquor Permit
Brown motioned to move #5 to follow #2 on the agenda. Yerkey seconded the motion. With all in
consensus, THE MOTION CARRIED.
Yerkey motioned to combine and approve the items on the consent agenda. Brown seconded the
motion. With all in consensus, THE MOTION CARRIED.
2. Ordinance Creating an Audit Committee – 1st Reading (Jan Schmidt)
Ordinance 2015-01 Replacing Article XV and creating a new Article XVI in Chapter 2 of the Salida
Municipal Code in order to establish an Audit Committee
Schmidt introduced the ordinance and gave a brief background of how the idea of an audit committee
originated.
Yerkey motioned to adopt Ordinance 2015-01, an ordinance of the City Council of the City of Salida,
Colorado Replacing Article XV and creating a new Article XVI in Chapter 2 of the Salida Municipal
Code in order to establish an Audit Committee. Rogers seconded the motion.
Brown did not agree with the language requiring the Treasurer to be on the committee. He felt that it
should open to the entire council.
Hanlon proposed that there should be a change and read what the proposed change could be. He stated
that 2-15-30(b) could read “The minimum membership of the committee shall be three elected officials of
the City of Salida, one of whom should be the City Treasurer unless the City Treasurer chooses not to
serve.”. He continued to state that 2-15-50 could read “The Audit Committee shall submit a proposed
budget and work plan to the full Council by October 1 each year for consideration as part of the annual
budget process. Adequate funding for the Audit Committee to successfully perform the powers and duties
enumerated above shall be approved and appropriated each year during the annual budget”.
Rogers felt that it would be beneficial because it would define the expectation of duties for the City
Treasurer unless the City Treasurer chooses not to serve.
Hallett asked why it was pulled out of the initiative. Yerkey stated that it was to clean it up.
Hanlon stated that the Council was in general agreement that it would be best to do it sooner in a standalone
ordinance.
Yerkey accepted Hanlon’s language as a friendly amendment to his motion.
Jeff Auxier of Salida stated that his understanding of Government Finance is that no member of the
administration should be on the committee. He felt that the City Treasurer is well defined in 31-4-111.
Monika Griesenbeck of Salida stated that she considered running for the City Treasurer but did not after she
realized the responsibilities. She did not feel that the Treasurer has the distance to have objectivity.
Billie Carlisle of Salida felt that it was an excellent idea and hoped it would be a successful committee. It’s a
good beginning, but in the future, he felt that maybe citizens should be involved as well. He felt that maybe
it was a way to let the citizens see a bonafide audit.
With all in consensus, THE MOTION CARRIED.
Schmidt stated that she was not aware that there was a perception that the city does not have a bonafide
audit. She stated that current year information is more readily available for open records requests, but it
requires a lot more time to retrieve information from previous years.
Hallett felt that a lot of duplicate information has been provided in sizable open records requests. Schmidt
stated that there are duplicates when there is an open records request for every single email between various
Meeting Minutes January 20, 2015
2
February 3, 2015 City Council Meeting Packet
Page 5 of 72
members of City staff.
3. Streets Overhead and Maintenance Tracking Policy (Jan Schmidt)
Resolution 2015-10 establishing a policy for streets maintenance and operations tracking
Schmidt gave a brief background on the Resolution.
Baker asked if there was additional cost to accomplish this.
Schmidt stated that there are quite a few hours involved in the setup, but there would not be any out-of
pocket cost in adopting this policy.
Hallett felt the extra detail would be helpful to staff as well as the public.
Rogers motioned to approve Resolution 2015-10, a resolution of the City Council of the City of
Salida establishing a policy for streets maintenance and operations tracking. Baker seconded the
motion.
Jeff Auxier of Salida felt that the initiative and the proposed ordinance deal with capital funds. He felt that
people want to see an accounting of capital and did not feel that anyone was concerned with this level of
detail in operations.
Baker felt that there was a tremendous job done in the last four years and he agreed that at the end of the
year it should be reported as to what was completed.
Billie Carlisle of Salida stated that the definition of streets is very broad in the original 2A ordinance.
With all in consensus, THE MOTION CARRIED.
4. Ordinance Proposing an Alternate Ballot Measure – 1st Reading (Jan Schmidt)
Ordinance 2015-02 To provide for a change in disposition of the sales tax fund capital spending, and
submitting this ordinance for approval of the registered voters of the City of Salida at a special election on
March 24, 2015
Schmidt introduced the ordinance and provided background on the Ordinance and the reasons for it.
Hallett asked for clarification on if both measures are passed.
Hanlon stated that because the alternative language covers all of the 2A funds, there really is not a way that
the two different measures would agree and it would be one or the other.
Baker motioned to adopt Ordinance 2015-02, an ordinance of the City Council of the City of Salida,
Colorado to provide for a change in the disposition of the sales tax to fund capital spending, and
submitting this ordinance for approval of the registered voters in the City of Salida at a special
election on March 24, 2015, ordering the ordinance be published in full and setting a public hearing
date of February 3, 2015. Rogers seconded the motion.
Brown stated that when the Council started talking, he felt it was a good idea if the alternative was used as an
opportunity to clean up the 2% and 1% revenues. He continued to state that he felt it would need to satisfy
the wants of the people who signed the petition.
Yerkey felt that the measure addressed the concerns and it guaranteed $1,000,000 in street improvements
every year.
Rogers stated that she has appreciated the give and take as the City Council worked through this.
Baker stated that he never totally disagreed with what Billy and Rod were after, but at the time of the original
2A there was a recession. He continued to state that the economic situation has changed and is now on the
upswing, but it does allow for expansion in the community. Without expansion the jobs will not be created
because a town that is not expanding dies.
Brown stated that all of his major concerns were addressed in the Ordinance and felt it should be up to the
voters as to whether or not it is passed.
In a 4-2 vote, THE MOTION CARRIED. Hallett and Bowers had the dissenting votes.
5. Aquatic Center Locker-room Project Architect (Theresa Casey)
Meeting Minutes January 20, 2015
3
February 3, 2015 City Council Meeting Packet
Page 6 of 72
Resolution 2015-09 Approving the award of a professional services agreement for architectural services and
authorizing the City Administrator to enter into a professional services agreement between the City of Salida
and Sarah F. Whittington, P.C. for architectural services for the Salida Hot Springs Aquatic Center LockerRoom Project 2015
Casey introduced the resolution and provided background information on the 2014 Pool Project.
Hallett asked why Ron and Bob did not submit a bid. Casey states that she had received a call from Ron
that he did not intend to bid.
Yerkey motioned approve Resolution 2015-09, a resolution of the City Council, City of Salida,
Colorado approving the award of a professional services agreement for architectural services and
authorizing the City Administrator to enter into a professional services agreement between the City
of Salida and Sarah F. Whittington, P.C. for architectural services for the Salida Hot Springs
Aquatic Center Locker-Room Project 2015. Baker seconded the motion.
Brown stated that this is a project that he was opposed to when the budget was approved. Brown
felt that completing the project would create a deficit and felt the amount for the locker room was
excessive.
Baker stated that the pool blew up because of lack of maintenance and the city wouldn’t be in this situation
had it been maintained properly.
Casey stated that the benefit of building new locker-rooms is that the existing locker rooms would not need
to be closed during construction
Rogers stated that the plumbing could fail tomorrow.
Bowers felt that for years and years that the City put money into the pool, he felt that holding off for a while
would be good. He felt that maybe the construction of a new pool would be a good idea as well.
Bob Grether of Salida pointed out that the City does not have a hot springs pool because the water is not
hot enough, it is indoors, and it is chlorinated. He felt that the new configuration will serve both the indoor
and the outdoor pools well.
Jeff Auxier of Salida stated that he agreed with some of Grether’s comments that we don’t really have a hot
springs pool. He felt it was throwing money without a great plan. Auxier felt that there have been constant
problems with the pool. He felt it would be nice to have the ADA compliance, but private hot springs offer
that.
In a 4-3 vote, THE MOTION CARRIED. Bowers, Brown and Hallett had the dissenting votes.
6. Natural Resource Center Bylaw Change (Dara MacDonald)
Resolution 2015-07 approving an amendment to the bylaws of the Salida Natural Resource Center
Development Corporation
Baker stated that with this bylaw change, the NRCDC was looking to have financial audits every three years,
but they are looking into ways to defray the yearly cost instead.
Baker motioned to table the item indefinitely. Rogers seconded the motion. With all in favor,
THE MOTION CARRIED.
7. Natural Resource Board Member Appointments (Dara MacDonald)
Resolution 2015-11 Appointing members to serve on the Board of Directors of the Salida Natural Resource
Center Development Corporation.
MacDonald introduced the item and gave background.
Baker stated that the NRCDC Board was in favor of the appointments because the members are doing a
good job.
Rogers made a motioned to approve Resolution 2015-11, a resolution of the City Council, City of
Salida, Colorado appointing members to serve on the Board of Directors of the Salida Natural
Resource Center Development Corporation. Baker seconded the motion.
Meeting Minutes January 20, 2015
4
February 3, 2015 City Council Meeting Packet
Page 7 of 72
Bowers felt it should be tabled and advertised to see if other people were interested.
Rogers stated that it was advertised.
Bowers motioned to table Resolution and to re-advertise the member seats. Brown seconded the
motion. In a 4-3 vote, THE MOTION FAILED. Rogers, Baker, Yerkey, and Dickson had the
dissenting votes.
Monika Griesenbeck of Salida objected to Tim Glenn and Jim Miller being on the Board because they do
not live within the City Limits. She felt it was offensive that two members vote on NRCDC and City
Council matters.
Jeff Auxier of Salida stated that a member of a governing body shall disclose such interest to the governing
body. He felt that two of the members have a financial interest in the NRCDC.
Yerkey asked Hanlon to address whether or not there is a conflict of interest. Hanlon stated that he has
already provided an analysis in a confidential memo to Council.
Auxier felt that the memo should be public record. He did not believe that it would be attorney client
privilege.
Billie Carlisle of Salida asked if it is the Council’s decision, he felt the Council should make the decision as to
whether Baker and Yerkey recuse themselves. Carlisle stated that there has been a long discussion about
whether people outside of the City could be on the NRCDC Board.
Baker motioned to postpone consideration of Resolution 2015-11 and to extend the appointments on
the NRCDC Board until a decision is made by the City Council. In a 5-1 vote, THE MOTION
CARRIED. Bowers had the dissenting vote.
8. Administrator/City Attorney/Deputy City Clerk
a.
City Administrator Report – Dara MacDonald
MacDonald provided information in her memo that explained the edge treatment on H Street.
There was s discussion in regard to services provided by SGM.
Vern Davis of Salida stated that SGM did not complete the project at the Dominick property
correctly.
MacDonald provided information about Loyal Duke Dog Park and explained that the School
District is requesting the locks to be installed on the gates.
Bowers didn’t feel like it needed the locks and to have people call when there are issues at the
dog park.
Hallett stated that people visiting Salida will not necessarily know that dogs are not allowed in
the City parks.
Brown stated that he would like to see a budget amendment to include the locks at the Dog
Park.
William Mills stated that he was at the School Board Meeting. He stated that the School Board
would not renew the lease without the locks being installed.
Brown motioned to prepare budget amendment to restore the amount for the locks at
the dog park and to remove the funds form the community funding line item. Baker
seconded the motion. WITH ALL IN FAVOR, THE MOTION CARRIED.
b.
c.
City Attorney Report – Karp, Neu, Hanlon, PC
No report.
Deputy City Clerk Report – Christian Samora
No report.
9. Elected Official Reports

City Treasurer – Cheryl Brown-Kovacic
Brown-Kovacic presented the sales tax report.

City Clerk – Betty Schwitzer
Schwitzer gave a report in regard to the Chaffee County IGA for election.
Meeting Minutes January 20, 2015
5
February 3, 2015 City Council Meeting Packet
Page 8 of 72


Mayor – Jim Dickson
City Council- Keith Baker, Michael Bowers, Melodee Hallett, Eileen Rogers, Hal Brown and
Tom Yerkey.
Bowers said that there are people who are very concerned about the monthly billing.
MacDonald stated that January late fees will be waived.
Brown asked if MacDonald could provide a lease for the Dog Park.
Hallett asked if the City Council will be legally responsible for the actions of the City
Administrator.
Rogers stated that #77 of the New England Patriots is from Buena Vista.
IX. ADJOURN –
Brown motioned to adjourn at 10:42. Bowers seconded the motion. With all in consensus,
THE MOTION CARRIED.
____________________________
Mayor
[SEAL]
______________________________
City Clerk
Meeting Minutes January 20, 2015
6
February 3, 2015 City Council Meeting Packet
Page 9 of 72
________
__________
_____CITY COUNCIL
C
AGENDA ITEM_____
___________________
MEETIN
NG DATE:
Feb
bruary 3, 20115
AGEND
DA ITEM TIT
TLE:
Orrdinance Creaating an Auddit Committeee and Publicc Hearing
PRESEN
NTED BY:
Jan
n Schmidt
AGEND
DA SECTION
N:
Sch
heduled Item
ms
REQUESST:
To appro
ove an ordinaance to createe an Audit Committee annd amend Chhapter 2 of th
he Salida
Municipaal Code (the Code).
C
It waas approved on
o first readiing at the Jannuary 20, 20114 meeting.
BACKGR
ROUND RE
EVIEW:
Councilm
man Hal Brow
wn requested
d that the Cityy Council creeate an auditt committee aas part of
alternativve ballot languuage he draft
fted to change the allocatiion of sales ttax revenue. D
During the
council work
w
session on January 5,
5 2015, the council indicaated support for addressin
ng Councilm
man
Brown’s request
r
to crreate an auditt committee separately froom the balloot language th
hat will be
presented
d to voters in
n a special eleection.
The City Council is auuthorized to take this actiion by amendding Chapterr 2 of the Sallida Municipaal
Code. Ch
hapter 2 curreently outliness the purposee, membershhip and organnization, term
ms of office,
powers an
nd duties forr other Board
ds and Comm
missions of thhe City of Saalida (Plannin
ng Commissiion,
Board of Adjustment,, Board of Appeals,
A
Histo
oric Preservaation Commiission, Tree B
Board,
SteamPlaant Commissiion, and Recreation Adviisory Board)..
Slight revvisions were made
m
to the wording
w
of sections
s
2-155-30(b) and 22-15-50 by co
ouncil when iit was
approved
d on first read
ding on January 20, 2015..
ACTION
N:
A councill member sh
hould make a motion “to adopt Ordinnance 2015-01, an ordinan
nce of the Ciity
Council of
o the City off Salida, Colo
orado replaciing Article XV and creatinng a new Artticle XVI in
Chapter 2 of the Salid
da Municipal Code in ord
der to establissh an audit coommittee an
nd ordering th
he
ordinancee be publisheed by title on
nly.”
Followed
d by a second
d and a roll caall vote.
February 3, 2015 City Council Meeting Packet
Page 10 of 72
CITY OF SALIDA, COLORADO
ORDINANCE NO. 1
(Series of 2015)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SALIDA, COLORADO,
REPLACING ARTICLE XV AND CREATING A NEW ARTICLE XVI IN CHAPTER 2
OF THE SALIDA MUNICIPAL CODE IN ORDER TO ESTABLISH AN AUDIT
COMMITTEE.
WHEREAS, Government Accounting Standards Board (GASB) Concepts Statement No.
1 has identified three groups as the primary users of external state and local governmental
financial reports: (1) the citizenry, (2) legislative and oversight bodies, and (3) investors and
creditors; and
WHEREAS, GASB Concepts Statement No. 1 states that Financial Reporting should
assist in fulfilling government's duty to be publicly accountable and should enable users to assess
that accountability; and
WHEREAS, GASB Concepts Statement No. 1 states that Financial reporting should
assist users in evaluating the operating results of the governmental entity for the year; and
WHEREAS, GASB Concepts Statement No. 1 states that Financial reporting should
assist users in assessing the level of services that can be provided by the governmental entity and
its ability to meet its obligations as they become due; and
WHEREAS, The Government Finance Officers Association (GFOA) states that the
existence of an audit committee ensures and facilitates regular, direct communication between
the independent auditors and the governing body, which is essential to the effectiveness of the
audit process; and
WHEREAS, GFOA urges every governing body, no matter how small the government, to
establish an audit committee as a practical means to meet its basic oversight responsibilities for
internal control and financial reporting; and
WHEREAS, the City of Salida desires to conform to accepted “Best Practices” in regard
to financial accounting and reporting, and is continuing to improve financial reporting beyond
the minimum requirements necessary to be in conformity with Generally Accepted Accounting
Principles (GAAP); and
WHEREAS, the City Council of the City of Salida is authorized to establish boards and
commissions for the purpose of advising the City Council, various departments and department
heads, or for the purpose of operating City enterprises or representing the interests of the City in
various private enterprises and such boards and commissions shall be considered parts of the
City government.
February 3, 2015 City Council Meeting Packet
Page 11 of 72
NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
SALIDA, COLORADO:
Section 1.
Section 2.
The aforementioned recitals are hereby fully incorporated herein.
A new Section 2, Article XV shall be created as stated below.
Article XV
Audit Committee
2-15-10.
Establishment.
There is hereby created and established an Audit Committee, which shall perform those
duties and exercise those powers and responsibilities as set forth in this Article.
2-15-20.
Purpose.
The Audit Committee is created for the following purposes:
(1) To provide independent review of the government’s financial reporting
processes, internal controls, and independent auditors.
(2) To provide a forum separate from management in which auditors and other
interested parties can candidly discuss concerns.
(3) To ensure that management properly develops and adheres to a sound system
of internal controls, that procedures are in place to objectively assess management’s
practices, and that the independent auditors, through their own review, objectively assess
the government’s financial reporting practices.
2-15-30.
Membership and organization.
(a) Members of the Audit Committee shall be elected officials of the City of Salida. To
ensure the committee’s independence and effectiveness, no elected official who
exercises managerial responsibilities that fall within the scope of any audit will serve
as a member of the Audit Committee;
(b) The minimum membership of the committee shall be three members, one of whom
should be the City Treasurer unless the City Treasurer chooses not to serve;
(c) Members of the Audit Committee shall be educated regarding the role of the Audit
Committee, standard audit procedures, internal controls, best practices in financial
accounting and reporting, and the personal responsibility of members, including their
duty to exercise an appropriate degree of professional skepticism;
(d) Once appointed, members will remain on the Audit Committee for the duration of
their term of office unless they resign or are removed by the City Council.
February 3, 2015 City Council Meeting Packet
Page 12 of 72
2-15-40.
Powers and duties.
(a) The Audit Committee shall be guided in the performance of its duties by the
Government Finance Officers Association (GFOA) Best Practices for Audit
Committees.
(b) Accordingly, the Audit Committee shall be directly responsible for the appointment,
compensation, retention, and oversight of the work of any independent accountants
engaged for the purpose of preparing or issuing an independent audit report or
performing other independent audit, review, or attest services.
(c) The Audit Committee shall present annually to the full City Council a written report
of how it has discharged its duties and met its responsibilities. This report will be
made public.
(d) The Audit Committee shall establish procedures for the receipt, retention, and
treatment of complaints regarding accounting, internal accounting controls, or
auditing matters. Such procedures should specifically provide for the confidential,
anonymous submission by employees of the City of concerns regarding questionable
accounting or auditing matters.
(e) The Audit Committee also should monitor controls performed directly by senior
management, as well as controls designed to prevent or detect senior management
override of other controls.
(f) The Audit Committee shall be authorized to engage the services of financial experts,
forensic auditors, legal counsel, and other appropriate specialists, as necessary to
fulfill its responsibilities.
2-15-50.
Funding.
The Audit Committee shall submit a proposed budget and work plan to the full Council
by October 1 each year for consideration as part of the annual budget process. Adequate
funding for the Audit Committee to successfully perform the powers and duties
enumerated above shall be approved and appropriated each year during the annual budget
cycle.
Section 3.
The existing Chapter 2, Article XV, Civil Emergencies, shall become a
new Article XVI with no change from the existing language.
INTRODUCED ON FIRST READING, on January 20, 2015, ADOPTED and
ORDERED PUBLISHED IN FULL in a newspaper of general circulation in the City of Salida
by the City Council on the 20th day of January 2015 and set for second reading and public
hearing on the 3rd day of February 2015.
INTRODUCED ON SECOND READING, FINALLY ADOPTED and ORDERED
PUBLISHED IN FULL, by the City Council on the 3rd day of February 2015.
February 3, 2015 City Council Meeting Packet
Page 13 of 72
CITY OF SALIDA, COLORADO
___________________________
Mayor
[SEAL]
ATTEST:
___________________________
City Clerk/Deputy Clerk
PUBLISHED IN FULL in the Mountain Mail after First Reading on the ____ day of
January 2015, and BY TITLE ONLY, after final adoption on the ____day of __________ 2015.
___________________________
City Clerk/Deputy City Clerk
February 3, 2015 City Council Meeting Packet
Page 14 of 72
_____________________CITY COUNCIL AGENDA ITEM_____________________
MEETING DATE:
February 3, 2015
AGENDA ITEM TITLE:
Proposing an Alternative Ballot Measure and Public Hearing
PRESENTED BY:
Jan Schmidt
AGENDA SECTION:
Scheduled Items
REQUEST:
To approve the language for an alternative ballot measure concerning the allocation of sales tax
revenue for the 2015 special election being held in response to a citizen petition regarding this
matter.
BACKGROUND REVIEW:
Proponents Billy Carlisle and Rodney Farney circulated an initiative petition to submit a proposed
ordinance to the City Council for consideration, which would change the way the 2A funds are
allocated. Deputy City Clerk Christian Samora provided the city council with information about the
process for considering the initiative petition in his cover memo for proposed Ordinance 2014-28 at
the November 18 meeting. As he stated, Article 11 of Title 31 in the Colorado Revised Statutes
allows for any proposed ordinance to be submitted to the legislative body for consideration by filing
written notice of the proposed ordinance with the clerk.
The council chose not to adopt the proposed ordinance at their regular meeting held on November
18. Accordingly, it will be referred to the registered electors of the City of Salida at a special election
that has now been scheduled on March 24, 2015. The proposed ordinance will not take effect unless
a majority of the registered electors voting on the measure at the election vote in favor of the
measure. An alternative ordinance may be submitted at the same election.
If both measures are approved by the people, the one that receives the greatest number of
affirmative votes will be adopted in all particulars as to which there is a conflict.
The council has discussed implications of the proposed ordinance during work sessions this fall and
held a special work session on December 2 to consider language for an alternative ordinance
regarding this matter. During the work session, Councilman Baker provided percentages and
discussed a minimal dollar amount he would like for the council to commit toward capital
improvements of streets and related infrastructure. Staff took direction to draft an ordinance with
that alternative language for consideration.
On December 10, Councilman Brown submitted to the rest of the council a different proposed
February 3, 2015 City Council Meeting Packet
Page 15 of 72
ordinance related to the allocation of sales tax revenue along with a proposed ordinance for the
creation of an audit committee..
During a work session on January 5, 2015, the council discussed the different versions and made
suggestions for revising the language. Staff has made the recommended changes and council further
discussed the language prior to approving it on first reading during the January 20, 2015 regular
meeting.
ACTION:
A council member should make a motion “to adopt Ordinance 2015-02, an ordinance of the City
Council of the City of Salida, Colorado to provide for a change in the disposition of the sales tax to
fund the current and future capital spending for streets, alleys and sidewalks, and submitting this
ordinance for approval of the registered voters on the City of Salida at a special election on March
24, 2015 and ordering the ordinance be published by title only. ”
Followed by a second and a roll call vote.
February 3, 2015 City Council Meeting Packet
Page 16 of 72
CITY OF SALIDA, COLORADO
ORDINANCE NO. 2
SERIES OF 2015
AN ORDINANCE OF THE CITY OF SALIDA, COLORADO, TO PROVIDE FOR A CHANGE
IN DISPOSITION OF THE SALES TAX TO FUND THE CURRENT AND FUTURE CAPITAL
SPENDING FOR STREETS, ALLEYS AND SIDEWALKS, AND SUBMITTING THIS
ORDINANCE FOR APPROVAL OF THE REGISTERED VOTERS OF THE CITY OF
SALIDA AT SPECIAL ELECTION ON MARCH 24, 2015.
WHEREAS, qualified electors of the City of Salida, Colorado, have previously approved
in total a three percent (3.0%) retail sales tax; and
WHEREAS, of the three percent (3.0%) approved sales tax the one percent (1.0%)
imposed by Ordinance No. 34, Series of 2008 is used for funding construction, operation,
maintenance, and repair of roads and other public infrastructure of the City; and
WHEREAS, the disposition of sales tax proceeds is further codified within Chapter IV,
Article 3, Section 4-3-50 of the Salida Municipal Code (the “SMC”), wherein it is referred to as
“Disposition of Revenue”; and
WHEREAS, a citizen initiative has proposed changes to the disposition of sales tax
codified within Chapter IV, Article 3, §4-3-50; and
WHEREAS, City Council wishes to provide an alternative to the citizen initiative to be
placed on the ballot for the March 24, 2015 special election; and
WHEREAS, in order to provide for those purposes, the Council has determined that it is
necessary to submit to the registered voters of the City of Salida the question of whether to amend
the SMC to change the disposition of sales tax for current and future capital spending for streets,
alleys and sidewalks, which question will be submitted to the registered voters at the general
election to be held on March 24, 2015.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
SALIDA, COLORADO, THAT:
1.
The foregoing recitals are incorporated herein as if set forth in full.
2.
Purpose. The purpose of this Ordinance is to amend the present Salida Municipal
Code regarding the disposition of Sales Tax, and to provide for current and future capital spending
for streets, alleys and sidewalks.
3.
Subject to registered voter approval, the first clause of Section 4-3-50 of the SMC
relating to the disposition of sales tax imposed on the transactions set forth therein is hereby
repealed and re-enacted as follows:
February 3, 2015 City Council Meeting Packet
Page 17 of 72
City of Salida, Colorado
Ordinance No. 2, Series of 2015
Page 2 of 3
4-3-50.
Disposition of revenue.
(a)
Thirty five percent (35.0%) of proceeds received from the
three-percent sales tax imposed by the City shall be restricted for capital spending as
defined below in 4-3-50(d).
(b)
Annually, at least sixty percent (60.0%) or $1,000,000, whichever is
greater, of the proceeds identified in 4-3-50(a) received between January 1, 2015 and
December 31, 2022 shall be used for capital spending for streets, alleys and sidewalks
and must be spent within two years of collection.
(c)
Any proceeds from the sales tax for restricted capital spending
received and not spent within the same fiscal year shall be held in a restricted capital
reserve account until appropriated for capital spending in a future year.
(d)
Capital spending is defined as expenditures for real, personal and/or
intangible property with a cost of $5,000 or greater and a useful life longer than 3
years including by way of example machinery, equipment, vehicles, facilities and
public improvements.
(e)
The City Administrator shall report quarterly to the City Council
identifying all year to date capital spending including the amount, vendor and
project. These reports shall be made readily available to the public for review
through the City’s website and at City Hall.
4.
Effective Date. If approved as hereinafter set forth, this Ordinance and the
changes in disposition of the Sales Tax shall become effective for all sales which occur from and
after April 1, 2015.
5.
Submission to Voters. This ordinance shall be submitted to, and must receive the
approval of a majority, of the registered voters of the City of Salida voting on the question of
approving the foregoing amendment to the SMC regarding a change in the SMC regarding the
disposition of the sales tax at the special election which shall be held on Tuesday, March 24, 2015.
As near as practical, this election shall be held in compliance with the Colorado Municipal
Election Code, as amended.
INTRODUCED ON FIRST READING, on January 20, 2015, ADOPTED and ORDERED
PUBLISHED IN FULL in a newspaper of general circulation in the City of Salida by the City
Council on the 20th day of January 2015 and set for second reading and public hearing on the 3rd
day of February 2015.
INTRODUCED ON SECOND READING, FINALLY ADOPTED and ORDERED
PUBLISHED IN FULL, by the City Council on the 3rd day of February 2015.
February 3, 2015 City Council Meeting Packet
Page 18 of 72
City of Salida, Colorado
Ordinance No. 2, Series of 2015
Page 3 of 3
CITY OF SALIDA, COLORADO
Mayor
[SEAL]
ATTEST:
City Clerk/Deputy Clerk
PUBLISHED IN FULL in the Mountain Mail after First Reading on the 27th day of
January 2015, and BY TITLE ONLY, after final adoption on the ____day of __________ 2015.
City Clerk/Deputy City Clerk
February 3, 2015 City Council Meeting Packet
Page 19 of 72
Sales Tax Allocation Scenarios
2015 Sales Tax Revenue Budget
Current Capital Restrictions
$
4,468,600
Proposed Carlisle/Farney Petition
Expected City Sales Tax Revenue $
2% of Total Sales Tax $
% Required for "Capital Improvements"
$ Required for "Capital Improvements" $
4,468,600
66.67%
2,979,216
35.00%
1,042,725
% Required for "Capital Expenditures"
$ Required for "Capital Expenditures" $
9.00%
268,129
Total Capital Spending Requirement $
1,310,855
Current Capital Practice
Allocation of "2A" for Capital:
Current Capital Budget for Infrastructure $
40.00%
595,813
Total Current Capital Spending
Total Sales Tax Allocated to Capital $
% of Total Sales Tax Allocated to Capital
Council Proposal for Alternate Capital Commitment
Expected City Sales Tax Revenue $
$ Required for Capital $
"2A" Portion of Total City Sales Tax
$
% Required for "Streets"
$ Required for "Streets" $
4,468,600
2,428,004
33.33%
1,489,532
75.00%
1,117,149
% Restricted for Capital
% Required for "Streets"
$ Required for "Streets" $
Minimum Amount for "Streets" $
Street Related
Streets
Debt Payments
1,148,252
229,798
420,250
227,147
326,827
456,315
682,741
841,195
1,163,900
1,260,700
-
35.00%
60.00%
938,406
1,000,000
Current Practice compared to Council Proposal
Total Sales Tax Allocated to Capital $
1,906,668
Total Sales Tax Allocated to Capital $
1,906,668
Carlisle / Farney Proposal $
2,428,004
Council Proposal $
1,564,010
Difference $
% of Sales Tax Restricted for Capital
521,336
54.3%
Difference $
% of Sales Tax Restricted for Capital
(342,658)
35.0%
Historical Capital Spending
Calendar Year
2009
2010
2011
2012
2013
2014 (Budget)
2015 (Budget)
4,468,600
1,564,010
NOTE:
The Carlisle / Farney proposal does not affect the current
capital restrictions on the first 2% of the City's total 3%
sales tax. The current capital restrictions outlined in the
previous column would remain in place.
Current Practice compared to Carlisle / Farney Proposal
1,906,668
42.7%
Expected City Sales Tax Revenue $
$ Required for Capital $
Other
2,449,330
847,875
1,304,251
650,888
1,192,938
946,600
1,046,100
Subtotal
City Funds
3,597,582
1,268,125
1,631,078
1,333,629
2,034,133
2,110,500
2,306,800
Note
* Grants include additional spending for street improvements, primarily the Highway 50 Enhancement project.
Grants *
1,846,416
698,500
133,601
837,764
321,766
537,500
910,100
Total
Spending
5,443,998
1,966,625
1,764,679
2,171,393
2,355,899
2,648,000
3,216,900
February 3, 2015 City Council Meeting Packet
Page 20 of 72
General Government Services
Adopted 2015 Budget
Department:
Costs and Cost Recovery for
Government Services
Personnel - salaries/wages, taxes, medical
insurance, retirement, workers
compensation
Liquor, marijuana &
arborists licensing, birth
& death certificates,
municipal court, public
communication,
intergovernmental facility
management, payroll,
accounts payable,
accounts receivable,
budgeting, financial
reporting, human
resources, legal, cash
management / treasury,
insurance, records
management, task force
& public meeting
coordination and other
general government and
administrative services
$
Contracted services - legal, IT,
engineering services, municipal judge,
prosecutor, physician advisor, audits, etc.
Supplies and materials - consumable
items for operations, including for internal
repair & maintenance of city property
Utilities - electricity (including street lights),
natural gas, water, sewer, telephone,
broadband
Other operating costs - property
insurance, printing legal notices, parking lot
leases, repairs & maintenance, fireworks,
election costs, etc.
Total department operating costs
Direct operating revenue
Cost Recovery Percentage
Net Cost
$
$
Percentage of Total Net Cost
399,400
Land use and zoning
administration and
enforcement,
administrative review
of development
plans, subdivision
exemptions, building
permits & sign
permits, long range
and current planning,
historic preservation;
works with Planning
Commission, Historic
Preservation
Commission &
Regional Planning
Commission
$
$
$
184,200
Public Safety
24/7 police
protection, vehicle,
bicycle and foot
patrol, crime
prevention and law
enforcement, vehicle
identification number
inspections, special
event support,
school safety
programs, DUI
awareness program,
drug task force,
regional
preparedness, E911
board representation
$
1,288,200
24/7 professional fire
response (structural
and wildland),
emergency medical
services, hazardous
material response,
technical rescue (ice,
swift water, confined
space, high and low
angles), installation of
smoke detectors,
inspections and plans
reviews, code
enforcement, Fire
prevention and CPR
classes, fireworks
shows, regional
preparedness, SAFPD
coordination
$
Pool & Recreation
Public Works
843,700
Operation,
maintenance and
improvement of
streets,
walkways, public
buildings,
parking lots,
storm sewer
system,
regulatory
signage, street
lights, and other
public
infrastructure;
works with Tree
Board
$
472,300
Operation,
maintenance and
improvement of
parks, public
restrooms,
playground
equipment, park
structures, trails
and open space;
works with Tree
Board and
budgets for tree
plantings,
maintenance and
removals, as
needed.
$
183,500
Swimming pool,
lessons, fitness &
recreation
programs, activities
and special events
for community
members of all
ages, manage
capital projects,
serve as community
liaison with outside
organizations
(chamber of
commerce, small
business
association, etc.)
and Recreation
Advisory Board
$
423,500
Total General
Fund
Other
Community
funding grant
program, airport
operating
subsidy, Creative All departments
District,
have substantial
municipal
involvement with
prosecutor,
public
municipal judge, communication,
hot springs water council meetings,
source and other
special task
city owned
forces, website
property not
updates, grant
currently in use
writing and
for basic
administration, as
municipal
well as special
purposes
community events
$
-
$
3,794,800
SteamPlant Fund
The hub of
Salida's Creative
District, this event
facility is used for
a wide variety of
visual and
performing arts,
conferences,
training sessions
and private event.
The SteamPlant
Event Center
recovers approx
75% of its costs
through rental
charges and other
sales. The
General Fund
subsidizes the
remainder.
$
246,900
179,000
16,400
196,000
37,400
16,800
2,300
22,500
40,400
510,800
3,600
7,500
2,100
59,800
32,700
54,100
19,000
47,300
-
222,500
39,000
24,900
100
28,800
3,800
131,000
49,500
71,900
12,000
322,000
32,100
180,700
791,500
$
38,000
5%
753,500 $
16%
5%
Cost Recovery Percentage
Full-time Equivalents
Avg budened personnel cost per FTE
Net services cost per FTE
Community
Development
Administration
5.20
76,808
110,481
14,700
217,500
$
26,000
12%
191,500 $
4%
12%
$
$
3.00
61,400
63,833
31,200
1,604,000
$
75,000
5%
1,529,000 $
33%
5%
$
$
17.00
75,776
89,941
37,900
955,500
$
85,000
9%
870,500 $
19%
68,000
742,200
38,000
5%
704,200 $
15%
9%
$
$
11.00
76,700
79,136
$
5%
$
$
7.20
65,597
97,806
Notes:
100% of legal legal services and property / casualty insurance for the general fund is reflected in the administration department.
Full-time equivalent employees are based on a annual work schedule of 2,080 hours for all employees except firefighters who work 2,904 hours.
SMC 4-3-50(b) - "The proceeds of the one percent (1.0%) increase in sales tax imposed by Ordinance No. 34, Series of 2008 shall be used for funding
construction, operation, maintenance, and repair of roads and other public infrastructure of the City."
20,500
274,800
$
0%
274,800 $
6%
0%
$
$
3.90
47,051
70,462
69,600
634,800
$
435,600
69%
199,200 $
4%
69%
$
$
12.00
35,292
16,600
91,000
143,400
$
0%
143,400 $
3%
0%
-
$
$
Transfer from operations to capital if "2A" petition passes $
Percentage of current net operating budget
# of full-time equivalent employees at average burdened cost
Potential headcount loss
Percentage of current general fund staff
697,600
13%
4,666,100
100%
$
$
13%
$
513,600
5,363,700
59.30
63,993
78,686
521,325
11.2%
8.1
8 to 12 FTEs
13% to 20%
27,800
349,400
261,000
75%
88,400
2%
75%
$
$
5.62
43,932
15,730
February 3, 2015 City Council Meeting Packet
Page 21 of 72
General Fund Operating Expenditures
SteamPlant, net,
$88,400
Other, $513,600
Utilities, $322,000
Supplies & Materials,
$222,500
Other Contracted
Services, $510,800
Personnel, $3,794,800
Election, $9,000
Postage, bank chrgs,
mtgs, events, travel…,
$87,500
Copier
Leases,
$10,300
Creative District,
$10,000
Legal
Notices,
Fireworks,
$25,000
$12,000
General Fund Operating Expenditures Excluding Personnel Costs
SteamPlant, net, Dispatch Services,
$88,400
$144,000
Legal / Lawsuits,
$150,000
Parking Lots, $21,000
Community Funding,
$30,000
Training, $36,100
Information
Technology, $54,800
Municipal Judge,
Prosecutor, $35,400
Subscriptions, Dues,
$28,900
Airport, $40,000
County Records Clerk,
$40,000
Repairs &
Maintenance,
$109,900
Other Contracted
Services, $86,600
Insurance, $84,900
Supplies & Materials,
$222,500
Utilities, $322,000
February 3, 2015 City Council Meeting Packet
Page 22 of 72
Personnel Costs by Department
SteamPlant, $246,900
Pool & Recreation ,
$423,500
Administration,
$399,400
Community
Development,
$184,200
Parks & Trails
Maintenance,
$183,500
Public Works,
$472,300
Police, $1,288,200
Fire, $843,700
Personnel Costs Net of Cost Recovery
Pool & Recreation ,
$131,285
Parks & Trails
Maintenance,
$183,500
SteamPlant, $61,725
Administration,
$379,430
Community
Development,
$162,096
Public Works,
$448,685
Police, $1,223,790
Fire, $767,767
February 3, 2015 City Council Meeting Packet
Page 23 of 72
General Fund
Salida ‐ 2015 Adopted Budget
Current Capital Expenditures, 36.7%
Operating Expenditures, 61.4%
Based on the following comparative data, as a percentage
of total spending Salida invests between 2.5 and 3.4 times
as much as other Colorado municipalities on capital
purchases and improvements. Without grants, this figure
is 1.7 to 2.3 times as much. The proposed petition would
require a greater amount of capital spending from the
existing evenue.
Colorado Cities and Towns with Populations between 4,000 and 7,000
Current Capital Expenditures, 10.8%
Financing Obligations, 1.9%
Salida ‐ 2015 Adopted Budget Excluding Grants
Financing Obligations, 1.7%
Current Capital Expenditures, 25.2%
Operating Expenditures, 89.2%
Financing Obligations, 2.1%
Operating Expenditures, 72.7%
Salida ‐ After Petition
Excluding Grants
Current Capital Expenditures, 32.0%
Financing Obligations, 2.1%
Operating Expenditures, 65.9%
Colorado Municipalities in RubinBrown Public Sector Report
Current Capital Expenditures, 14.5%
Financing Obligations, 6.5%
Operating Expenditures, 79.0%
February 3, 2015 City Council Meeting Packet
Page 24 of 72
CITY COUNCIL AGENDA ITEM
MEETING DATE:
February 3, 2015
AGENDA ITEM TITLE:
Certifying Ballot Language for March 24, 2015 Special Municipal
Election
PRESENTED BY:
Betty Schwitzer, City Clerk and Christian Samora, Deputy City Clerk
REQUEST:
The request is for the City Council to approve ballot language for the March 24, 2015 Special
Municipal Election.
BACKGROUND:
Salida City Council approved the special municipal election regarding the 2A initiative that was
submitted by proponents, Billy Carlisle and Rodney Farney (Ordinance 2014-28). Additionally, the
City Council also chose to submit an alternative measure to be included on the ballot for the
upcoming March 24, 2015 Special Election (Ordinance 2015-02).
Ballot language is governed by C.R.S. § 31-11-111 of the Municipal Election Code.
RECOMMENDED MOTION:
A Council person should make a motion “to approve Resolution 2015-12, a resolution of the City
Council of the City of Salida, Colorado certifying ballot language for a special election to be held on
March 24, 2015, regarding the 2A initiative and an additional measure being submitted by the City
Council to the electors of Salida”
Followed by a second and then roll call vote.
Certifying Ballot Language
Page 1 of 1
February 3, 2015 City Council Meeting Packet
Page 25 of 72
CITY OF SALIDA, COLORADO
RESOLUTION NO. 12
(Series of 2015)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALIDA, COLORADO
CERTIFYING BALLOT LANGUAGE FOR A SPECIAL ELECTION TO BE HELD ON
MARCH 24, 2015, REGARDING THE 2A INITIATIVE AND AN ADDITIONAL
MEASURE BEING SUBMITTED BY THE CITY COUNCIL TO THE ELECTORS OF
SALIDA
WHEREAS, the City of Salida (the “City”) has received an initiative petition determined
to be sufficient by the City Clerk ; and
WHEREAS, the City desires to put this initiative before the Salida electors for
consideration at a Special Election to be held on March 24, 2015; and
WHEREAS, the purpose of the Election is to allow voters of the City of Salida to
consider the approval of an ordinance submitted to the governing body through the initiative
process and an additional measure submitted by the Salida City Council; and
WHEREAS, the City desires to certify and approve ballot language regarding both the
initiative and an additional measure submitted to the electors by the Salida City Council.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SALIDA, COLORADO THAT:
1.
The Salida City Council incorporates the foregoing recitals as its conclusions,
facts, determinations, and findings.
2.
The City Council hereby appoints the City Clerk to serve as Designated Election
Official.
3.
The City Council orders Both Ordinance 2014-28 and Ordinance 2015-02 to be
published in full.
4.
The City Council approves the following ballot questions, their form and
language, to be placed on the ballot at a Special Election to be held on March 24,
2015:
Shall the City of Salida adopt Ordinance 2014-28, amending Section 4-350(b) of the Salida Municipal Code concerning the disposition of revenue to
read as follows, effective January 1, 2015?
4-3-50. Disposition of Revenue.
…
(b) Commencing with fiscal year 2015, the proceeds of the one percent (1.0%)
increase in sales tax imposed by Ordinance No. 24, Series of 2008 (hereinafter “2A
funds”) shall be used as follows:
February 3, 2015 City Council Meeting Packet
Page 26 of 72
(1) At least seventy-five percent (75%) of 2A funds shall be budgeted,
allocated and expended solely to:
(A) Replace, repair or improve streets and the water or sewer lines
underlying or running along those streets;
(B) Replace, repair, improve or newly construct sidewalks, street
curbs, gutters, or storm drainage systems underlying or running along
those streets.
(2) The remainder, if any, of 2A funds not spent pursuant to Sec. 4-350(b)(1) shall be budgeted, allocated and expended solely for maintenance,
routine repair, and upkeep of the city’s streets, sidewalks, curbs, gutters, water
lines, sewer lines and storm drainage systems.
(3) Any and all expenditures made pursuant to Sec. 4-3-50(b)(1) shall
be capital expenditures. “Streets” as used in Sec. 4-3-50(b)(1) are defined as
existing dedicated public roads within the City of Salida that provide lawful
motor vehicle access to adjacent properties.
(4) At the end of each fiscal year, any excess 2A funds shall be held in
trust for future use for the same purposes at the same allocations stated in
Section 4-3-50(b)(1) and (2) above.
(5) With respect to 2A funds spent on projects listed in Sec. 4-350(b)(1), each annual budget prepared and adopted pursuant to C.R.S. §§ 29-1103, -105 and -108 shall identify:
(A) Each project to be replaced, repaired, improved, installed or
constructed in the upcoming fiscal year, with a specific accounting by
project of estimated costs;
(B) Each project undertaken during the present fiscal year, with a
specific accounting by project of all sums spent to date.
(C) Each project undertaken in the prior fiscal year, with a specific
accounting by project of all sums spent that year.
(6) “Specific accounting by project” is defined as, at a minimum, a
statement of the sparate cost for each and every specific portion of work (i.e. –
curb and gutter, storm drainage system, water line, sewer line, sidewalk and / or
nature and type of street work) for each and every project, and the street along
which such work is done.
(7) No portion of Sec. 4-3-50(b)(1) expenditures shall be used to install
or construct sidewalks, water lines, sewer lines, street curbs, gutters and / or
storm drainage systems primarily serving the “Vandaveer Ranch”, said Ranch
including any parcel of land described in “Exhibit A” of the deed recorded
September 1, 2004 in the offices of the Clerk and Recorder of Chaffee County,
Reception Np. 346022.
(8) Any and all Sec. 4-3-50(b)(1) expenditures shall be made through,
and accounted for within, capital expenditures of the City’s General Fund.
___ YES
___ NO
February 3, 2015 City Council Meeting Packet
Page 27 of 72
Shall the City of Salida adopt Ordinance 2015-02, amending Section 4-3-50
of the Salida Municipal Code concerning the disposition of revenue to read
as follows, effective April 1, 2015?
4-3-50. Disposition of Revenue.
(a) Thirty five percent (35.0%) of proceeds received from the three-percent
sales tax imposed by the City shall be restricted for capital spending as defined
below in 4-3-50(d).
(b) Annually, at least sixty percent (60.0%) or $1,000,000, whichever is
greater, of the proceeds identified in 4-3-50(a) received between January 1, 2015 and
December 31, 2022 shall be used for capital spending for streets, alleys and
sidewalks and must be spent within two years of collection.
(c) Any proceeds from the sales tax for restricted capital spending received
and not spent within the same fiscal year shall be held in a restricted capital reserve
account until appropriated for capital spending in a future year.
(d) Capital spending is defined as expenditures for real, personal and/or
intangible property with a cost of $5,000 or greater and a useful life longer than 3
years including by way of example machinery, equipment, vehicles, facilities and
public improvements.
(e) The City Administrator shall report quarterly to the City Council
identifying all year to date capital spending including the amount, vendor and
project. These reports shall be made readily available to the public for review
through the City’s website and at City Hall?
___ YES
___ NO
RESOLVED, APPROVED, AND ADOPTED this 3rd day of February, 2015.
CITY OF SALIDA, COLORADO
By
[SEAL]
ATTEST:
________________________________
City Clerk/ Deputy City Clerk
____________________________________
Mayor
February 3, 2015 City Council Meeting Packet
Page 28 of 72
_____
__________
________CIT
TY COUNC
CIL AGEND
DA ITEM__
______________________
__
MEE
ETING DAT
TE:
February 3,, 2015
AGE
ENDA ITEM
M TITLE:
Chaffee Co
ounty Assistannce and Adm
ministration C
Contract
PRESSENTED BY
Y:
Betty Schw
witzer, City Cllerk / Christiian R. Samorra, Deputy
City Clerk
AGE
ENDA SECT
TION:
Scheduled Items
I
REQUEST:
The requestt is to authorrize the Mayoor to executee a contract
with Chaffeee County foor assistance aand administtration in thee
upcoming March
M
24, 20015 Special E
Election.
BACK
KGROUND
D REVIEW:
At the January 6, 2015 City Co
ouncil Meetin
ng, the City C
Clerk asked tthe City Coun
ncil if there
would
d be objectio
on in pursuin
ng assistance from Chaffeee County in the upcomin
ng Special
Electiion. Since th
hat meeting the
t City has worked
w
with the Chaffee County Clerrk to draft an
n
agreement for assistance and administratio
a
on in the upcooming speciaal election.
Enclo
osed is a reso
olution autho
orizing the Mayor
M
to exec ute a contracct with Chafffee County
for asssistance and
d administratiion in the up
pcoming Marrch 24, 2015 Special Electtion. The
cost to
t enter into this contractt is $10,900, which
w
includdes all costs aassociated wiith assisting
with the
t upcomin
ng special elecction includin
ng ballot dessign, distributtion of ballotts, training,
countting of ballotts, etc.
ACTIION:
A Co
ouncil person
n should maake a motion
n “to approvve Resolutionn 2015-13, a resolution o
of
the City
C Council of the City of
o Salida, Co
olorado, apprroving a conntract betweeen the City o
of
Salidaa and Chaffeee County fo
or assistancee and adminiistration of aan election tto be held o
on
March
h 24, 2015 an
nd authorizin
ng the Mayorr to execute tthe contract””
Followed by a seccond and voice vote.
February 3, 2015 City Council Meeting Packet
Page 29 of 72
CITY OF SALIDA, COLORADO
RESOLUTION NO. 13
(Series of 2015)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALIDA, COLORADO,
APPROVING A CONTRACT BETWEEN THE CITY OF SALIDA AND CHAFFEE
COUNTY FOR ASSISTANCE AND ADMINISTRATION OF AN ELECTION TO BE
HELD ON MARCH 24, 2015
WHEREAS, the City of Salida (the “City”) has received an initiative petition determined
to be sufficient by the City Clerk and desires to put the initiative before the Salida electors for
consideration at a Special Election; and
WHEREAS, the purpose of the Election is to allow voters of the City of Salida to
consider the approval of an ordinance submitted to the governing body through the initiative
process and an additional measure submitted by the Salida City Council; and
WHEREAS, the total cost of entering into a contract with Chaffee County for assistance
and administration in a special election to be held on March 24, 2015 is $10,900; and
WHEREAS, the City of Salida City Council believes it to be in the best interest of the
City to utilize the assistance and administration provided by Chaffee County in a special election
to be held on March 24, 2015.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SALIDA, COLORADO THAT:
1.
The foregoing recitals are incorporated herein as findings.
2.
The City Council of the City of Salida hereby approves the Assistance and
Administration contract and authorizes the Mayor to execute the contract.
RESOLVED, APPROVED, AND ADOPTED this 3rd day of February, 2015.
CITY OF SALIDA, COLORADO
By: ____________________________________
Mayor
[SEAL]
ATTEST:
________________________________
City Clerk
February 3, 2015 City Council Meeting Packet
Page 30 of 72
A CONTRACT REGARDING ASSISTANCE WITH THE CONDUCT AND
ADMINISTRATION OF AN ELECTION TO BE HELD ________________
This Contract is made and entered into as of _______________, 2015, by
and between the City of Salida (“Local Government”), and the Chaffee County
Clerk and Recorder (“County Clerk”).
RECITALS AND PURPOSES
A. Pursuant to section 18(2)(a) of Article XIV of the Colorado Constitution and
section 29-1-203, C.R.S., the County Clerk (acting with authority from the
Chaffee County Board of Commissioners, pursuant to the County’s Policy for
the Purchasing of Goods and Services and Contracting) and the Local
Government may cooperate or contract with each other to provide any
function, service or facility lawfully authorized to each, and any such contract
may provide for the sharing of costs, the imposition of taxes, and incurring of
debt.
B. The Local Government has called a special election to be held on March 24,
2015 (“Election”).
C. The governing board of a political subdivision may contract with the County
Clerk to perform all or part of the required duties in conducting the Election
pursuant to section 1-1-111(2), C.R.S. (see also section 1-7.5-104, C.R.S.).
D. The County Clerk and the Local Government have determined that it is in the
best interests of the Local Government and its inhabitants to cooperate and
contract for certain services in connection with the Election as outlined below.
Although the Local Government will run the Election, the County Clerk will
assist with ballot preparation, judge training, and ballot tallying using Chaffee
County’s central count voting software and scanner, as outlined below.
E. All parties shall adhere to all applicable provisions of applicable law which are
necessary or appropriate to the performance of the below duties.
COVENANTS AND PROMISES
In consideration of the mutual promises and covenants set out in this
Contract, the sufficiency of which is acknowledged, the parties agree as follows:
1. Effective Date, Term and Application. This Contract is expressly written for
the March 24, 2015 Election and is effective from the date of the last party’s
execution through April 30, 2015.
2. Election Officials. Pursuant to the Municipal Election Code, the Local
Government shall be responsible for designating its Election Officials and
Page 1 of 6
February 3, 2015 City Council Meeting Packet
Page 31 of 72
ensuring that the election is held according to Colorado statute. County
officials shall not be present at the polling places. The County contracts for
election IT assistance and the Local Government shall be obligated to
contract for and retain its own IT assistance.
3. County Clerk Duties. The County Clerk shall perform the following duties for
the Election. Unless expressly specified below, the County Clerk shall have
no responsibilities with respect to the Election.
3.1. Prepare and coordinate the printing of the ballot packets on State
certified hardware and software. (The Local Government shall separately
contract with a qualified print vendor to print and mail the ballot packets.)
3.2. Provide the necessary voting equipment and coordinate the programming
of the voting equipment and setup the election in SCORE.
3.3. Provide and charge the Local Government for all costs associated with
mobile ballot boxes (“MBBs”).
3.4. Refer inquiries concerning the substance of ballot issue(s) and ballot
question(s) or the operations of the Local Government to the Local
Government’s Designated Election Official.
3.5. Assist the Local Government in the training of election judges and staff,
including training staff to register voters and issue ballots and
replacement ballots.
3.6. Verify the registration status of election judges.
3.7. Invoice the Local Government for all applicable charges and expenses
(see the attached Exhibit A).
4. Local Government Duties. The election shall be conducted by the Local
Government. Thus, the Local Government shall have all other electionrelated duties not specified above. Without limiting the foregoing the Local
Government’s tasks and activities shall include the following and the costs
associated with such tasks and activities shall be the responsibility of the
Local Government:
4.1. Appoint and compensate election judges, assist with the training of the
judges and provide appropriate staffing for the election office and
counting center.
4.2. Designate drop box locations.
Page 2 of 6
February 3, 2015 City Council Meeting Packet
Page 32 of 72
4.3. Develop security procedures for retrieving ballots and transferring ballots
to the counting morning through Election Day. The County Courthouse
shall be designated as the official counting center. All signature
verification, tallying and mail ballot processing shall be performed at the
official counting center.
4.4. Procure all miscellaneous election supplies not otherwise specified in this
Agreement.
4.5. Provide the County Clerk with a certified copy of the ordinance or
resolution authorizing the presiding officer of the Local Government or
other designated person to execute this Contract.
4.6. Post and/or publish any legal notices of the Local Government’s election
as required by law.
4.7. No later than February 19, 2015 at 5:00 pm., certify the ballot title and
text and certify the order in which ballot content will appear by email
attachment (with receipt confirmed by the County Clerk or County
Election Deputy) or on CD in this format: Microsoft Word 2003 or higher,
Arial 10 pt. font, left justification, 0.5 inch margins, Booklet format (8 ½ x
11). The certified ballot text shall be final and the County Clerk will not be
responsible for making any changes after the certification, except those
prescribed by statute. The Local Government’s authorized Election
Official shall sign the certification.
4.8. No later than February 19, 2015 at 5:00 pm., provide to the County Clerk
the instruction sheet that goes in the Mail Ballot Packet.
4.9. Review, proofread, and approve the layout, format, and text of the official
ballot no later than February 25, 2015 and provide written notice
acknowledging the layout and text of the sample and official ballots within
one business day of receipt of the ballot proofs from the County County
Clerk.
4.10.
Select and oversee the conduct of the Board of Canvassers and
the Testing Board, if necessary. The Board of Canvassers will prepare
the canvass of votes and the completion of the abstract.
4.11.
Prepare and run the Logic and Accuracy Tests (LAT) if required
and contract for an election IT professional to assist with the LAT.
4.12.
Develop seal and chain of custody logs as necessary.
4.13.
Use the County's electronic/mechanical vote counting equipment to
process the counting of ballots.
Page 3 of 6
February 3, 2015 City Council Meeting Packet
Page 33 of 72
4.14.
Allow poll watchers in accordance with applicable law.
4.15.
Defend and resolve all election challenges and costs associated
with a recount.
4.16.
Pick-up election materials from the Courthouse following the
Election, and securely store all election materials as required by
applicable law, including but not limited to unissued, voted returned and
returned unvoted ballots for the period of time required by law.
4.17.
Pay all election costs outlined in this Agreement and the attached
Exhibit within 30 days of receipt of a statement from the County Clerk and
promptly pay all other election costs including miscellaneous election
supplies, mailing ballot envelopes, secrecy sleeves, etc.
5. Cancellation of Election by the Local Government. If the Local
Government resolves not to hold its election, then notice of such resolution
shall be provided to the County Clerk immediately. The Local Government
shall promptly pay the County Clerk the full actual costs of the activities of the
County Clerk relating to the Election incurred before and after the County
Clerk's receipt of such notice. The Local Government shall publish notice of
such cancellation or withdrawal of ballot questions in accordance with
Colorado Revised Statutes.
6. Charges Cost. The County’s equipment and services of the County Clerk
shall be charged as set forth in the attached Exhibit A. The Local
Government shall reimburse the County Clerk for any expenses incurred by
the County Clerk in connection with the Election, including without limitation
the cost of responding to any open records requests.
7. Notices. Any and all notices required to be given by this Contract are
deemed to have been received and to be effective: (1) three days after the
same shall have been mailed; or (2) immediately upon hand delivery. Notices
shall be provided as follows:
County Clerk:
Chaffee County County Clerk & Recorder
Attention: Lori Mitchell
104 Crestone Avenue
P.O.Box 699
Salida, CO 81201
Local Government:
Attention:
_______________________
_______________________
Salida, CO 81201
8. Limit of Liability. In the event a court of competent jurisdiction finds the
election for the Local Government was void or otherwise fatally defective as a
Page 4 of 6
February 3, 2015 City Council Meeting Packet
Page 34 of 72
result of the sole breach or failure of the County Clerk to perform in
accordance with this Contract or laws applicable to the Election, the Local
Government shall be entitled to recover expenses or losses caused by such
breach or failure up to the maximum amount paid by the Local Government to
the County Clerk under this Contract. The County Clerk shall in no event be
liable for any expenses, damages or losses in excess of the amounts the
Local Government paid under this Contract. This remedy shall be the sole
and exclusive remedy for the breach available to the Local Government under
this Contract.
9. Timeframes. Time is of the essence under this Contract. The statutory time
frames or requirements of applicable law shall apply to the completion of any
duties or tasks required under this Contract.
10. Amendment. This Contract may be amended only in writing signed by the
parties.
11. Integration. The parties acknowledge that this Contract constitutes the sole
agreement between them relating to the subject matter hereof and that no
party is relying upon any oral representation made by another part or
employee, agent or officer of that party. Any prior agreements, promises,
negotiations, or representations not expressly set forth in this Contract are of
no force and effect. This Contract fully supersedes any previous
“Intergovernmental Agreement” between the parties.
12. Conflicts of this Contract with the Law, Impairment. In the event that any
provision in this Contract conflicts with the law, this Contract shall be modified
to conform to such law or resolution.
13. Third Party Beneficiary. The enforcement of the terms and conditions of this
Contract and all rights of action relating to such enforcement, shall be strictly
reserved to the County Clerk and the Local Government, and nothing
contained in this Contract shall give or allow any claim or right of action
whatsoever by any other or third person. It is the express intent of the parties
to this Contract that any person receiving services or benefits under this
Contract shall be deemed an incidental beneficiary only.
14. No Waiver. No waiver of any of the provisions of this Contract shall be
deemed to constitute a waiver of any other of the provisions of this Contract,
nor shall such waiver constitute a continuing waiver, unless otherwise
expressly provided herein, nor shall the waiver of any default hereunder be
deemed a waiver of any subsequent default hereunder.
15. Appropriation. The Parties’ obligations under this Contract outside the
current fiscal year are conditioned on the prior appropriation of good and
sufficient funds for such purpose, pursuant to section 29-1-110, C.R.S. The
Page 5 of 6
February 3, 2015 City Council Meeting Packet
Page 35 of 72
Parties affirmatively assert that each has budgeted sufficient funds for its
obligations under this Contract for the year it was executed.
County Clerk:
Local Government:
________________________
Lori Mitchell
Chaffee County Clerk and Recorder
Tele #: 719-530-5600
By:_________________________
Name (printed):_______________
Title:________________________
Tele # ______________________
Page 6 of 6
February 3, 2015 City Council Meeting Packet
Page 36 of 72
EXHIBIT A TO CONTRACT
City of Salida-Election Costs
Description
Costs Payable to Chaffee County:
Central Scanner
MBBs (cards for voting machines)
CBI Checks for staff and judges
Test Ballots
County Staff time (ballot design, prepjudge training, election day help)
Miscellaneous (signage, manuals, etc)
misc.
Outside Costs:
IT Staff (Salida will need to contract with
IT contractor)
Election Judges (approx 6 - 2 to verify
signatures, 2 for MB processing and 2
for scanning)
Ballots and mail ballot packets (printing
all components including instructions,
secrecy cleeve, inside and outside
envelopes) (Salida will need to contract
with the printer)
Postage (Salida will need to contract
with the printer)
GRAND TOTAL
Cost per
Hour or
Unit
$ 250.00
$ 66.00
$
7.00
$
0.40
3486 ACTIVE VOTERS CITY OF SALIDA
Total (Actual may
very based on
Hours or
actual hours and
units
equipment
(ESTIMATE)
needed)
$
10 $
10 $
50 $
250.00
660.00
70.00
20.00
$
25.00
8 $
$
200.00
250.00
$
75.00
17 $
1,275.00
$
12.00
20 $
1,440.00
$
1.20
3600 $
4,320.00
$
0.69
3500 $
2,415.00
$
10,900.00
February 3, 2015 City Council Meeting Packet
Page 37 of 72
_____
__________
________CIT
TY COUNC
CIL AGEND
DA ITEM__
______________________
__
MEE
ETING DAT
TE:
February 3,, 2015
AGE
ENDA ITEM
M TITLE:
Consideratiion of Repeaal of Propertyy Managemen
nt and
Financial Seervices Agreeement with tthe SNRCDC
C
PRESSENTED BY
Y:
Dara MacD
Donald, City A
Administratoor
AGE
ENDA SECT
TION:
Scheduled Items
I
REQUEST:
The requestt is to eliminnate the property managem
ment
agreement between
b
the City of Salidda and the Saalida Natural
Resources Center
C
Deveelopment Corrporation to oversee
managemen
nt and operattions of the U
U.S. Forest SService
(“USFS”) facility.
fa
BACK
KGROUND
D REVIEW:
Durin
ng the regulaar Council meeeting on Jan
nuary 20th Coouncil member Hallett pro
oposed that
the Council
C
consider terminatiion of the prroperty manaagement agreeement betweeen the City
and th
he NRCDC. The Counccil voted to co
onsider the pproposal on ttheir Februarry 3rd agendaa.
The Council
C
apprroved the pro
operty mainteenance agreeement in Marrch of 2013 w
with
Resollution 2013-220. As discussed during development
d
t of the City’s 2013 budgeet, the
Build
dings & Grouunds Supervissor is expected to manage
ge maintenancce and operaations of the
USFSS facility. For that servicee the City recceives the $122,000 designnated for “Maanagement”
in thee NRCDC buudget. This amount
a
is set to increase annually by 1%.
The City
C took on the building in a propertyy maintenancce role such that all bills and expenses
for th
he facility aree handled by the City. Th
he $12,000 is a set fee (inccreasing 1% annually) andd
otherr costs such as
a utilities, cleeaning servicces, supplies, etc. are invooiced to the SSNRCDC
montthly. A copy of a typical monthly
m
repo
ort of transacctions to the NRCDC is attached for
refereence as is thee current agreeement.
Since this propertty will revert to the City once
o
all debt has been reppaid, this arraangement
allow
ws the City to maintain clo
ose oversightt of the facilitty to ensure iit is kept in ggood workingg
orderr.
Coun
ncilmember Hallett
H
stated
d in her requeest that the C
Council consiider this agen
nda item thatt
it wouuld, “bring much
m
needed time to the Salida
S
staff aand transpareency to the public”. In
respo
onse to previo
ous commen
nts by staff th
hat detailed tiime tracking of staff hours would takke
February 3, 2015 City Council Meeting Packet
Page 38 of 72
added time and that other City work would suffer if staff were directed to provide such
detailed tracking, Hallett stated she had, “found roughly 300 hours of staff time that could
be utilized to compile the necessary detailed reports”. I sent an email to Councilmember
Hallett on January 21st requesting the information she had referred to about where savings
could be realized in the amount of 300 hours. Councilmember Hallett responded that,
“Since Jan had concerns about the staff being taxed to their limits for projects and time, I
looked at the $12,000 maintenance agreement with the NRCDC and took a number of $40
per hour and divided it into this amount and came up with 300 hours”.
ACTION:
A Council person should make a motion “to approve Resolution 2015-14, a resolution of
the City Council of the City of Salida, Colorado, terminating the property maintenance
agreement with the SNRCDC.”
Followed by a second and then voice vote.
February 3, 2015 City Council Meeting Packet
Page 39 of 72
CITY OF SALIDA, COLORADO
RESOLUTION NO. 14
(Series of 2015)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALIDA, COLORADO,
TERMINATING THE PROPERTY MANAGEMENT AND FINANCIAL SERVICES
AGREEMENT
WITH
THE
SALIDA
NATURAL
RESOURCE
CENTER
DEVELOPMENT CORPORATION
WHEREAS, the City and the Salida Natural Resource Center Development Corporation
(“SNRCDC”) entered into a Property Management and Financial Services Agreement
(“Agreement”) following City Council approval of Resolution 2013-20 on March 19, 2013; and
WHEREAS, the City no longer desires to provide certain financial and property
management services pursuant to the terms and conditions provided for in that Agreement; and
WHEREAS, the City Council finds it to be in the best interest of the City to terminate
the Agreement.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SALIDA, COLORADO THAT:
1.
The Salida City Council incorporates the foregoing recitals as its conclusions,
facts, determinations, and findings.
2.
The City Council approves termination of the Agreement and authorizes the City
Administrator to take such steps as may be necessary to effectuate termination of the Agreement.
RESOLVED, APPROVED and ADOPTED this 3rd day of February, 2015.
CITY OF SALIDA, COLORADO
By
[SEAL]
ATTEST:
____________________________
City Clerk/Deputy City Clerk
___________________________
Mayor
February 3, 2015 City Council Meeting Packet
Page 40 of 72
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Page 41 of 72
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Page 42 of 72
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Page 43 of 72
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Page 44 of 72
February 3, 2015 City Council Meeting Packet
Page 45 of 72
NRCDC Monthly Status Activity Summary
Current Account Balances
Operations and Maintenance
Revenue and Payment
Surplus
Outstanding Invoices
City of Salida
Atmos Energy
Xcel Energy
Waste Management
Monthly management fee
Salida utilities
Michael Scott ‐ legal services
Stotler & Young ‐ accounting
Janitorial
Impresco ‐ janitorial supplies
26‐Jan‐15
$ 5,058.94
$ 64,532.98
$ 140,018.76
Amount
$ 2,856.13
Invoice #
201501232149
$ 547.92
$ 645.66
$ 174.17
$ 1,010.00
$ 24.11
$ ‐
$ ‐
$ 429.99
$ 24.28
Bill Date
1/23/2015
Paid
1/28/2015
Receivables
Jon White
Deposited
$ 212.50
Monthly lease payment
Monthly loan payment
$ 33,294.60 received around the 25th
$ (27,959.60)
pd on the 4th
Current loan balance
Original loan balance in August 2013
Loan balance on January 1, 2015
Principal paid in 2015
$ 4,598,328.54
$ 4,722,000.00
$ 4,605,594.51
$ 7,265.97
1/26/2015 1:13 PM
February 3, 2015 City Council Meeting Packet
Page 46 of 72
_____
__________
________CIT
TY COUNC
CIL AGEND
DA ITEM__
______________________
__
MEE
ETING DAT
TE:
February 3,, 2015
AGE
ENDA ITEM
M TITLE:
Vandaveer Ranch Faciliities Use Agrreement for a Music
Festival
PRESSENTED BY
Y:
Donald, City A
Administratoor
Dara MacD
AGE
ENDA SECT
TION:
Scheduled Items
I
REQUEST:
The requestt is to enter iinto a Facilitiies Use Agreeement with
Anschutz Entertainmen
E
nt Group forr a music festtival to be
held on thee Vandaveer R
Ranch.
BACK
KGROUND
D REVIEW:
The City
C Council approved a facility
f
use aggreement witth Madison H
House Presen
nts (“MHP”))
on January 6, 2015 with Resolution 2015-004. The apprroval was subbject to two cconditions.
One of
o those con
nditions was to
t direct thatt MHP eitherr install a peddestrian bridgge across thee
South
h Arkansas River
R
or pay the
t City $40,0000 towards permanent rrecreation im
mprovements
on th
he Vandaveerr Ranch.
MHP
P has embraced the effortt to install a pedestrian
p
brridge in advannce of the co
oncert,
howeever, they do not want to be responsib
ble for the acctual construcction of the b
bridge. The
follow
wing is propo
osed languagge to include in Section 3. 02 of the agrreement:
The
T Parties agree that as
a additionaal considerattion materiaal to inducinng the
City
C to enterr into this Agreement,
A
MHP
M
will coontribute up to $40,000 to the
City
C for the construction
n of a pedesttrian bridge and trail forr use by atteendees
at
a the Event (“MHP Brid
dge Contribu
ution”) whicch shall exteend over the South
Arkansas
A
River, also known
k
as th
he Little Arrkansas Rivver, adjoininng the
Vandaveer
V
Property
P
witth the City to the northh of the Vanndaveer Prooperty.
The
T
MHP Bridge Co
ontribution may includde design, engineeringg and
permitting
p
costs for the bridge and trail
t
design aand bidding in addition to the
actual
a
constrruction of th
he project inccluding site ppreparation,, trail construuction
from
f
Hwy 50 to the crossing,
c
ab
butments annd any otherr constructiion as
necessary
n
to complete th
he project. MHP
M
agreess to assist wiith the contracting
for
f design, engineering,
e
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HP Bridge C
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February 3, 2015 City Council Meeting Packet
Page 47 of 72
Both MHP and the City shall mutually agree to the design prior to award of
the bid. Both Parties agree that they will work together to have the project
out to bid by April 13, 2015. The City may decline to continue with the
pedestrian bridge project at any time prior to the award of bids and in such
case MHP will not be responsible for paying the MHP Bridge Contribution.
The bid for construction of the project should be awarded no later than June
2, 2015 to ensure completion prior to the festival.
The Council should consider whether they are comfortable taking on the construction
project and if so, whether they feel this language addresses any concerns.
The second change that was directed by the Council upon approval of the contract was
regarding a security deposit to cover the cost of reseeding the property. The City Attorney
draft the following language which MHP has agreed to in Section 3.04:
MHP agrees to deliver to the City, as a security deposit, the greater of (a) the
sum of $10,000.00 or (b) the good faith estimate set forth in the Event Plan
of the cost of reseeding the Vandaveer Property, which the Event Plan must
specifically address using the opinion or estimate of a qualified professional,
skilled to render such an opinion. The security deposit may be applied to pay
any amounts due and owing to the City under this Agreement 90 calendar
days after the expiration of the Term or to secure the performance of MHP of
any other non-monetary obligation to the Owner Parties. If there are no
amounts due and owing to the Owner Parties and MHP is otherwise current
on all other obligations to the Owner Parties under this Agreement, the City
will return any remaining security deposit funds at settlement which in no
event shall be later than thirty (30) days after the 2015 Event.
One additional Section was added by the City Attorney in Section 5.03, Governmental
Immunity. This was inadvertently left out of the version that was put before Council for
approval. This standard language is acceptable to both parties:
Nothing in this Agreement may be construed to waive, limit, or otherwise
modify any governmental immunity that may be available to the State of
Colorado, the City, its city council and its officers, employees, agents and
representatives, and the SNRCDC and its officers, employees, agents and
representatives under the Colorado Governmental Immunity Act, Colorado
Revised Statutes § 24-10-101, et seq.
The City Attorney also took a fresh overall look at the agreement and made a couple of
additional changes. Originally, a number of dates and deadlines were based on the
expiration of the “Term,” which, as originally defined, was a date certain. As the
word Term has come to be defined, it is not possible to calculate the termination of the Term
on a date certain, at least not prospectively. Accordingly, Term is replaced in this draft in a
number of places with the phrase Premises Occupation Period, which, under this revised
draft, has been limited so that it’s possible to calculate a date certain when MHP will
February 3, 2015 City Council Meeting Packet
Page 48 of 72
complete its occupation of the premises. There is still a great deal of flexibility for MHP to
define and adjust the Premises Occupation Period. The City Attorney also clarified that
refunds on various deposits in the agreement won’t be issued until all obligations of MHP
are completed and there is no money due and owing to the City, which is standard in any
residential or commercial lease.
Aside from a few typos there are no other changes to the agreement since the Council
approved it on January 3rd. Due to the extent of the changes, staff would recommend that
the Council adopt the revised version since the version adopted on January 3rd has not been
executed.
ACTION:
A Council person should make a motion “to approve Resolution 2015-15, a resolution of
the City Council of the City of Salida, Colorado, approving a facilities use agreement with
Madison House Presents, LLC, for a music festival and concert event at the Vandaveer
Ranch.”
Followed by a second and then voice vote.
February 3, 2015 City Council Meeting Packet
Page 49 of 72
CITY OF SALIDA, COLORADO
RESOLUTION NO. 15
SERIES OF 2015
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALIDA, COLORADO,
APPROVING A FACILITIES USE AGREEMENT WITH MADISON HOUSE
PRESENTS, LLC FOR A MUSIC FESTIVAL AND CONCERT EVENT AT THE
VANDAVEER RANCH
WHEREAS, the City and Madison House Presents, LLC (the “Lessee”) wish to enter
into a Facility Use Agreement, attached hereto and incorporated herein as Exhibit A; and
WHEREAS, the Salida City Council finds the best interests of the citizens of Salida will
be served by entering into this Facilities Use Agreement.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SALIDA, COLORADO THAT:
1.
The City incorporates the foregoing recitals as findings by the City Council.
2.
The City Council hereby approves the Facilities Use Agreement attached hereto
as Exhibit A and authorizes the Mayor to execute the Agreement on behalf of the City.
RESOLVED, APPROVED and ADOPTED this 3rd day of February, 2015.
CITY OF SALIDA, COLORADO
By
[SEAL]
ATTEST:
____________________________
City Clerk/Deputy City Clerk
___________________________
Mayor
February 3, 2015 City Council Meeting Packet
Page 50 of 72
Facilities Use Agreement
This Facilities Use Agreement (“Facilities Agreement”) is made by and between the City of
Salida (the “City”), the Salida Natural Resources Center Development Corporation (the
“SNRCDC”) (together, the “Owner Parties”) and Madison House Presents, LLC, a limited
liability company (“MHP”) (all together, the “Parties”), for itself, for the use of certain Owner
Party real property, rights and licenses, and rights of way, all as more particularly described in
this Agreement.
Article One - Introduction
The SNRCDC, a nonprofit corporation established and affiliated with City has jurisdiction over a
parcel of land commonly known as the Vandaveer Ranch, legally described below, which land is
within the territory and jurisdiction of the City and upon which MHP desires to conduct a music
festival and concert event.
To that end, in consideration of the mutual covenants, promises and agreements and other good
and valuable consideration, including the consideration to be paid, the adequacy and receipt of
which are acknowledged, the Parties agree as provided in this Agreement.
Article Two - Premises and Event Description
Section 2.01
Use Agreement and Premises Description.
By this instrument, the Owner Parties extend to MHP, the right to rent, lease, and use, as
provided and subject to the provisions of this this Agreement, the following described premises:
SEE EXHIBIT “A,” ATTACHED HERETO AND
INCORPORATED HEREIN BY REFERENCE,
which shall include a downtown venue to be mutually agreed to by the parties in the Event Plan
(“Downtown Property”) and the mutually agreed to space at the Vandaveer Ranch property
located in Salida, Chaffee County, Colorado (“Vandaveer Property”) (collectively the
“Premises”).
Section 2.02
Term
The term of the lease and use will commence as of the Effective Date and shall terminate upon
the fulfillment of the obligations related to the Event (the “Term”). MHP may occupy the
Premises from August 8, 2015 at 12:01 a.m. through and including August 28, 2015 at 11:59
p.m. (“Premises Occupation Period”). During the Premises Occupation Period, MHP will
produce on the Premises an event referred to as Salida MHP 2015 (or the “Event”), which Event
shall commence on August 20, 2015 and shall conclude on August 22, 2015.
February 3, 2015 City Council Meeting Packet
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Section 2.03
Site Plan and Logistical Work Plan
The Parties agree that on or before May 4, 2015 MHP will submit to the City a site plan or map
and a logistical work plan or description (the “Event Plan”) that addresses all material matters
relating to the preparation, conduct, and takedown of the event. Such matters will include, but
not necessarily be limited to, ticketing, camping, backstage/restricted areas, residential
accommodations, tenting (which may or may not be subject to applicable municipal code
compliance review), offices, staging, crowd control, public address systems, parking, alcoholic
beverage services, food services, ingress and egress (including the safe and efficient flow of
bicycle, pedestrian, and automotive traffic on and across Highway 50 and between the Event and
the City downtown areas), transportation, utilities connections, emergency services, and
pedestrian, bicycle and automotive traffic flow.
The Event Plan will designate the restricted entry area for viewing of entertainment taking place
at the Vandaveer Property (the “Ticketed Music Area”)
The Event Plan will provide detailed specifications regarding the location of roads and pathways
to be constructed on the Premises and other permanent modifications, (the “Permanent Premises
Modifications”). The Parties agree that the Parties will convene to discuss the location of roads
and pathways and negotiate Permanent Premises Modifications during preparation of the Event
Plan and prior to submission of the Event Plan.
The Event Plan is subject to review and approval of the City and SNRCDC, which initial review
will be completed within 20 days of submission and which final review and approval will be
completed no later than 15 days thereafter (“Final Approval”). The Owner Parties reserve the
unqualified right to reject the Event Plan if it provides for Permanent Premises Modifications for
which no agreement has be reached among the Parties. In the event of a rejection of the Event
Plan by the Owner Parties, or a failure of the Parties to agree to the Event Plan, including the
Permanent Premises Modifications, MHP shall have the option to terminate this Agreement
immediately upon notice to the Owner Parties.
The Owner Parties reserve the right to conduct other permitting, licensing, or public approval
processes ordinarily and customarily conducted in connection with large venue outdoor festivals
on municipal land provided that all such matters shall be considered final as of the date of the
Final Approval and any cost associated with such permitting, licensing or public approval shall
be set forth in the Event Plan.
Article Three – Payments and Considerations
Section 3.01
Base Fee, Daily Rate and Variable Charge
For the lease and use of the Premises as provided in this Agreement, MHP will pay to the City a
daily rate of Five Hundred Dollars ($500.00) (the “Daily Fee”) for each day of the Premises
Occupation Period. The total fee payable by MHP shall be based on the Daily Fee multiplied by
the Premises Occupation Period (“Base Fee”) a reasonable estimate for which shall be set forth
in the Event Plan and will be paid to the City in advance of the Event and no later than 20 days
after Final Approval. MHP reserves the right to increase the number of days of the Premises
Occupation Period from 20 by up to 15 days, in accordance with the provisions of Section 3.03,
February 3, 2015 City Council Meeting Packet
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provided that the Premises Occupation Period may not be extended by MHP under this Section
beyond September 4, 2015. The fee for any premises occupation greater than 35 days or for each
day after September 4, 2015, as the case may be, will be calculated as provided in Section 3.03.
MHP will further pay the sum of $1.00 for each Event ticket sold to the City (the “Variable
Charge), which shall be contributed by the City to an IRS 501(c)(3) selected at the discretion of
the City and approved by members of the headlining band and their management.
Section 3.02
Pedestrian Bridge
The Parties agree that as additional consideration material to inducing the City to enter into this
Agreement, MHP will contribute up to $40,000 to the City for the construction of a pedestrian
bridge and trail for use by attendees at the Event (“MHP Bridge Contribution”) which shall
extend over the South Arkansas River, also known as the Little Arkansas River, adjoining the
Vandaveer Property with the City to the north of the Vandaveer Property. The MHP Bridge
Contribution may include design, engineering and permitting costs for the bridge and trail design
and bidding in addition to the actual construction of the project including site preparation, trail
construction from Hwy 50 to the crossing, abutments and any other construction as necessary to
complete the project. MHP agrees to assist with the contracting for design, engineering,
permitting and preparation of bid documents and that associated costs will be deducted from the
MHP Bridge Contribution. The City agrees to take the project out to bid, award the contract,
oversee construction of the project and pay project expenses in excess of $40,000. Both MHP
and the City shall mutually agree to the design prior to award of the bid. Both Parties agree that
they will work together to have the project out to bid by April 13, 2015. The City may decline to
continue with the pedestrian bridge project at any time prior to the award of bids and in such case
MHP will not be responsible for paying the MHP Bridge Contribution. The bid for construction
of the project should be awarded no later than June 2, 2015 to ensure completion prior to the
festival.
Section 3.03
Holdover
No failure to release the Premises to the Owner Parties at the expiration of the Premises
Occupation Period and as provided in this Agreement will result in a renewal or extension of the
Premises Occupation Period or the Term, except for reasons caused by a Force Majeure or the
Owner Parties default. MHP will have the option to extend the Premises Occupation Period by
no more than 15 days by providing written notice to the Owner Parties before the expiration of
the Premises Occupation Period. The charge for an extension within the 15-day limit will be the
product of the number of days extended and the Daily Rate, as provided in Section 2.02 above.
If MHP fails or refuses to return the Premises upon expiration of the Premises Occupation
Period, except for reasons caused by a Force Majeure or the Owner Parties default, the Owner
Parties reserve the right to claim additional compensation in the amount of 1.5 times the Daily
Rate.
Further, any equipment or material left upon expiration of the Premises Occupation Period,
except for reasons caused by a Force Majeure or the Owner Parties default, will become property
of the City and may be removed and disposed of at City’s discretion. In such a circumstance, all
costs of removal and/or disposition incurred by the Owner Parties shall be added to the City’s
clean-up costs and billed to MHP following the Event. Notwithstanding the foregoing, the
Owner Parties shall notify MHP of any equipment or articles inadvertently left at the Premises
February 3, 2015 City Council Meeting Packet
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by MHP and provide MHP with a reasonable opportunity to remove same prior to removal or
disposal by the Owner Parties.
In the event of a force majeure, the Owner Parties will extend the Premises Occupation Period
and the Term as may be reasonably necessary under the circumstances to enable MHP to comply
with its obligations upon surrender of the premises upon expiration of the Premises Occupation
Period and the Term.
Section 3.04
Security Deposit
MHP agrees to deliver to the City, as a security deposit, the greater of (a) the sum of $10,000.00
or (b) the good faith estimate set forth in the Event Plan of the cost of reseeding the Vandaveer
Property, which the Event Plan must specifically address using the opinion or estimate of a
qualified professional, skilled to render such an opinion. The security deposit may be applied to
pay any amounts due and owing to the City under this Agreement 90 calendar days after the
expiration of the Premises Occupation Period or to secure the performance of MHP of any other
non-monetary obligation to the Owner Parties. If there are no amounts due and owing to the
Owner Parties and MHP is otherwise current on all other obligations to the Owner Parties under
this Agreement, the City will return any remaining security deposit funds at settlement, which
final settlement will occur no later than the later of 30 days after (i) the Event or (ii) the date at
which all other amounts due and owing to the City from MHP and all obligations of MHP under
this Agreement under other provisions of this Agreement are paid or performed.
Section 3.05
Condition of the Premises; Restoration
MHP has not inspected the Premises but is satisfied with the Owner Parties representation that
the Premises are safe and suitable for the Event in its present condition on the commencement of
the Term, with the exception of any modifications to or improvements constructed upon the
Premises, including Permanent Premises Modifications. MHP shall keep and maintain the
Premises in good, sound condition, order and repair; and shall undertake, at MHP’s cost and
expense, all such repairs necessary to return the Premises, at the expiration of the Term, in the
same condition as existed at the commencement of the Term, or better, normal wear and tear
excepted (“returnable condition”).
In particular, MHP agrees to ensure that the Tenassee Ditch, which runs through or adjacent to
the Premises, will be not be disturbed and will be fenced to prevent public access or damage
during the Event.
The Parties agree that a thorough walk-through of the Premises will be conducted upon
expiration of the Premises Occupation Period. All Parties will be entitled to participate in this
walk-through. Within 21 calendar days of the walk-through, the City will deliver to MHP an
itemized description of the work needed to restore the property to returnable condition.
MHP will have the initial right to undertake restoration work during the period ending 60 days
after expiration of the Premises Occupation Period. Prior to undertaking any repair work, MHP
will submit a description of the work, an estimate of the cost, and other relevant details, for
review and approval by the Owner Parties, which approval must be timely reviewed and may not
be unreasonably withheld. The work shall be completed by MHP, at its own cost and expense, to
the Owner Parties’ reasonable satisfaction, with 60 calendar days after expiration of the Premises
Occupation Period. If MHP fails to restore the property to returnable condition within this time
February 3, 2015 City Council Meeting Packet
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period, the City will provide notice to MHP of its determination that the property is not in
returnable condition and a description of the work that the City has determined remains to be
completed and provide MHP the opportunity to remedy the restoration. If after thirty days MHP
has not completed such restoration, the City may undertake the restoration work and provide
MHP with a detailed invoice, which invoice shall be due and payable, in full, to the City, within
thirty days after delivery of the invoice. Available security deposit funds may be applied to pay
for restoration work undertaken by the City.
Section 3.06
Estimated Service Charges
It is anticipated that the City will provide certain services in connection with the Event,
including, but not limited to, police, fire and other emergency services, City inspections and code
enforcement. The City will also seek to hire a temporary or contract employee in advance of the
festival to assist with coordinating with MHP and helping the community prepare for the Event.
MHP will contribute to the cost of these services in accordance with Exhibit B (the “Services
Charge”) as mutually agreed upon. The Parties estimated Service Charge is $63,420.00, as
described more fully in Exhibit B, which is attached to and incorporated. MHP will deposit with
the City this estimated Service Charge no later than June 15, 2015. If the final Service Charges
exceeds the estimated Service Charge paid to the City, or vice versa, an itemized description in
the form set forth on Exhibit B will be delivered by the City to MHP within 10 business days
after expiration of the Premises Occupation Period. The final Service Charge shall not be in
excess of 10% greater than the estimated Service Change unless agreed to in writing by MHP in
advance of the Event. Additional payment from MHP or a refund from the City must be paid
within thirty days of demand and no later than 60 days after expiration of the Premises
Occupation Period, provided that there are no amounts are due and owing to the City from MHP
or other obligations of MHP under other provisions of this Agreement.
Article Four – Conditions of Use of and Access to the Premises
MHP will have use of the Premises during the Premises Occupation Period, subject to its
compliance with the provisions of this Article. In addition, the City will permit MHP access to
the premises prior to the Premises Occupation Period to perform or facilitate any deliverable of
MHP as further addressed under Section 2.03 above or any Event Plan, license, or permit issued
by the City or other governmental entity with jurisdiction over the Event or activities associated
with the Event.
Section 4.01
Sidewalks, paths, and roads
During the Event, pedestrian and wheelchair access within the Premises must be and remain
clear at all times. The adequacy of all pedestrian, bicycle and vehicular ingress and egress to,
from, and on the Premises must be approved by the City’s Public Works Director and Fire Chief.
MHP shall make reasonable efforts to encourage safe, adequate transportation options for
pedestrians and bicycles from the festival to Downtown Salida during the Event. Such measures
shall include, at a minimum regular bus service from the festival to Downtown Salida and
controlled, non-motorized access to allow pedestrian crossing of Highway 50 at designated
area(s).
February 3, 2015 City Council Meeting Packet
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Downtown Salida shall mean within 3 blocks of the intersection of F Street and S.H. 291/1st
Street.
Section 4.02
Tents and Temporary Structures
All tents located on the Premises will be anchored by use of weights, such as sand bags and
jersey barriers, and shall be approved by the Chaffee County Building Official. No concrete
foundations or permanent fixtures or alterations may be installed or made without the approval of
the City. Tents may be subject to the City’s Fire Code and Building Code.
Section 4.03
Alcoholic Beverages
A beverage services area for sales of alcoholic beverages will be permitted at the Premises,
subject to any applicable license application, permit, or other public approvals. MHP or its
concessionaire shall use commercially reasonable efforts to ensure that identification is checked
and verified and must provide wrist bands to individuals for access to beverage services areas.
MHP staff shall secure the Premises to prohibit the removal of alcoholic beverages from the
permitted area.
Section 4.04
Camping and Parking
The Owner Parties acknowledge that MHP intends to utilize the Premises, in connection with the
Event, as campground with unimproved or tent camping sites. In addition to camping, the
campground portion of the Premises, hereinafter the “Campground,” will contain parking,
portable restroom and shower facilities, concessions, and support facilities. The Owner Parties
acknowledge that MHP intends to utilize the premises for parking, food, crafts and exhibit areas.
Section 4.05
Event Logistics
Event activities will occur on the Premises and in the City’s downtown areas. Colorado State
Highway 50, which is subject to the jurisdiction of certain Colorado State governmental
authorities, bisects the Premises and runs between the Premises and the City’s downtown areas.
Accordingly, MHP agrees to obtain all necessary permits, licenses, and approvals and to
coordinate with the governmental authorities with jurisdiction over Highway 50 necessary to
safely and efficiently conduct the Event.
MHP agrees to make plans and accommodations likely to encourage the safe ingress and egress
to and from the Event and travel between and among various Event sites, including between and
among the parking, camping, and festival areas within the premises and connecting those areas
with the City’s downtown areas. MHP agrees to run at its own cost and expense, busses or other
automotive transit between the Vandaveer Property and the Downtown Property as mutually
agreed by the parties in light of the Event schedule.
MHP acknowledges that certain members of the community and those travelling on Highway 50
will not participate or directly benefit from the Event. To that effect, MHP, in preparing its
Event Plan, will make reasonable efforts to minimize disruption to those participating in the
event. In particular, MHP will use reasonable efforts to assist with facilities to enhance cellular
and broadband services during the event so that the City community will not experience
diminished qualify of existing information services.
February 3, 2015 City Council Meeting Packet
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Section 4.06
Restroom Facilities and Waste Disposal
MHP must provide portable toilets, including disabled accessible toilets, hand washing stations
and portable holding tanks sufficient to accommodate the maximum number of attendance, for
the duration of the Event and the nature of food and other services to be made available at the
event. MHP must comply with public health, sewage treatment, solid and liquid waste disposal
provisions of the City, Chaffee County, and State of Colorado.
Section 4.07
Sustainable Waste Disposal
MHP will provide or retain facilities and services for sustainable waste disposal, including
facilities for the recycling of metals and plastics and composting of compostable waste. It will
further require from its food vendors that they use compostable or recyclable plates, utensils, and
cups. This is a material consideration intended to, among other things, reduce impact on the
local landfill.
Section 4.08
Amplified Sound
Any and all public announcement and other speakers or amplifiers used to amplify music or
other sound shall be maintained at a decibel level not to exceed 105 dBA at the mix position
(approximately 105 feet from the stage). Speakers for the Event shall be placed and configured
by MHP, its contractor and the City to focus volume on the Premises and its immediate
environment. MHP and the City expressly agree that all amplified performance will cease no
later than 11 p.m. on August 21 and 22 and to abide by the decibel level limitations under this
Agreement, the City’s municipal code, and any public permitting relating to the Event.
Section 4.09
Utility Connections
The Parties acknowledge that the Premises is not currently served by sufficient utilities
connections to conduct the Event. Arrangements for such utility connections will be the
responsibility of MHP, who must abide by all municipal, county, or other governmental
approvals, licensing, or permitting processes.
Section 4.10
Event Capacity
Public admission to the Ticketed Music Area shall be limited to one person per 10 square feet.
MHP shall ensure compliance through the use of appropriate means which will provide an
accurate accounting of all persons entering the Ticketed Music Area.
Section 4.11
Security and Life Safety Personnel
MHP must supply security and life safety personnel at the level required by an evaluation
prepared by the City and its Police & Fire Chiefs. The City Administrator, with the approval of
MHP, reserves the right at any time to increase the personnel and resources to be contributed by
the City (i.e., police, firefighters and firefighter/EMT personnel) deemed necessary to protect
public safety. MHP agrees to pay for the reasonable cost of any such necessary additional
resources agreed to by MHP at the City’s applicable rates.
In particular, MHP shall provide an adequately sized climate controlled tent to be used
exclusively for basic emergency and triage clinic to treat conditions such as dehydration and
intoxication and to provide basic first aid services. The clinic shall be staffed by personnel from
February 3, 2015 City Council Meeting Packet
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Heart of the Rockies Regional Medical Center. The cost of the clinic will be paid by MHP in
accordance with a budget provided by the City and approved by MHP in advance of the Event.
Section 4.12
Fireworks and Open Flames
MHP shall not, without permit, stage or promote any act or performance which involves the use
of pyrotechnics, explosives or displays of open flames, or fire arms.
Section 4.13
Auto and Pedestrian Traffic; ADA Compliance
MHP agrees to maintain all exits at all times and to ensure that any item or other impediment be
moved from an exit per request of the City or SNRCDC. MHP shall not render nor allow any of
its exhibitors, contractors, agents, invitees or other persons it permits on the Premises to render
the Premises or any part thereof inaccessible to disabled persons.
MHP shall pay and save the Owner Parties harmless from any and all damages, loss or liability
of any kind whatsoever resulting from its actions or those of its exhibitors, contractors or agents
it permits on the Premises, in rendering the Premises, or any part thereof, inaccessible to disabled
persons, except where such damage, loss or liability arises out of the negligent acts or omissions
of an Owner Party. The Parties agree that the Event will comply in all material respects to the
Americans with Disabilities Act of 1990.
City staff, with proper credentials, reserves the right to enter all areas of the Premises at any time
for any reason or no reason at all. Notwithstanding the foregoing, MHP shall maintain reasonable
control of all stage and dressing room access, unless safety becomes an issue.
The Parties understand that MHP will be requesting that certain County roadways be closed or
have limited access during the event. The conditions of such closures will be subject to Chaffee
County approval as further contemplated by Section 4.15, below and approval will not be
unreasonably withheld. MHP agrees that it will work with Chaffee County to comply with
County codes applicable to any roadways constructed by MHP.
Section 4.14
City to Retain its Police Powers
With proper advance notice to MHP and sufficient time provided to MHP to remedy incidents
and issues (which notice and opportunity to remediate will not apply in the case of an
emergency), the City reserves the right to close the Event to the public, including to ticket
holders, at any time to protect public safety to address overcrowding in exits or entrances or to
address attendance counts in excess of the total number of attendees authorized prior to the
Event. For the purposes of this paragraph, “attendees” shall mean all ticket holders, security
staff, police officers, fire safety personnel, life safety personnel, performers, vendors, solid waste
personnel and any other persons located inside the perimeter of the Premises.
Section 4.15
Chaffee County Permitting Requirements
MHP acknowledges that because of the impact of the event on Chaffee County roads and
services, the Event is contingent upon MHP obtaining a special event permit from Chaffee
County, Colorado. Accordingly, MHP will promptly apply for a special event permit from
Chaffee County (the “County Permit”) (the County Permit application should include the Event
Plan) and MHP understands that such application must be in compliance with all standards of
operation contained in Section 4.2.7 of the Chaffee County Land Use Code. Provided a County
February 3, 2015 City Council Meeting Packet
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Permit is granted, MHP understands that the issuance of such County Permit is subject to certain
bonding requirements and other financial guarantees that may be made a condition of the County
Permit, including deposits for traffic, parking and crowd control, environmental health,
emergency management and EMS personnel. Given the projected size of the event, MHP
acknowledges that such financial guarantees and deposits may include amounts necessary for
mutual aid with other agencies. Currently, Chaffee County is estimating such deposits to be in
excess of $50,000.00 (such amount may be higher or lower, depending on Chaffee County’s
evaluation of the permit application). Such amounts are in addition to the amounts designated by
the City set forth in Article Three of this Facilities Use Agreement. If granted, the County Permit
may contain additional costs and conditions not contained in this Agreement. In no event shall
this section be interpreted to be advance approval of any County Permit application. If MHP
determines in its sole discretion that the costs associated with a County Permit make it
undesirable to put on the Event, MHP may terminate this Agreement immediately on notice to
the Owner Parties.
Section 4.16
Responsibility to Prepare the Premises
Neither Owner Party has any responsibility for the Premises site preparation, modification, setup, removal or security of Event equipment at any time. MHP will be responsible for removal of
all equipment and for site cleanup at the end of the Event.
Section 4.17
Limitation on the Sale or Consumption of Alcoholic Beverages
The time for the sale and consumption of alcoholic beverages shall begin no earlier than the time
the Event starts and shall end no later than thirty minutes prior to the end of the Event on Friday,
August 21, 2015 and on Saturday, August 22, 2015.
Section 4.18
Nondiscrimination
No person shall be denied admission to the Event on the basis of race, color, creed, national
origin, sex, disability or sexual orientation.
Section 4.19
Fire and Safety Codes
MHP agrees to comply with all applicable federal, state, county and local laws in its use of the
Premises, including but not limited to, all applicable fire and life safety codes. MHP agrees to
consult with City’s Fire Chief prior to any operations under this Agreement to determine fire
safety requirements.
Section 4.20
City’s Access to the Event
MHP shall provide no fewer than 50 complimentary Event tickets and a certain number of all
access Event passes as mutually agreed upon in advance to the Owner Parties.
MHP shall provide to the City statistics and records, including basic Event financial information,
sufficient for the City to prepare an economic impact and other studies relating to the event.
MHP shall provide, at no cost to the City, a prime 20’ by 20’ Event branded tent within the
vender area of the Premises for the City to setup and staff an informational display from the
Salida Chamber of Commerce or the Chafee County Visitor’s Bureau, or both of them.
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Section 4.21
Licenses and Permits
MHP must obtain and maintain at its own cost and expense all licenses and permits, including,
including but not limited to, licenses and permits from the City, Chaffee County, and the State of
Colorado related to for the sale and consumption of alcoholic beverages, licenses necessary and
required for the safe conduct of the Event activities by MHP or its vendors on the Premises, road
permits, environmental permits and inspections, and emergency medical services.
MHP shall at its own cost and expense, obtain all permits necessary or related to the safe control
of traffic on Highway 50 during the Term and during the Event.
Section 4.22
Vendor Compliance
MHP shall endeavor to cause all vendors at the Event to have complied with appropriate license
requirements, including sales tax, food service, sale of alcohol and concert licenses. In
particular, all vendors that have cooking equipment will be required to pass a fire inspection.
Article Five – Insurance and Indemnification
Section 5.01
(a)
Insurance
Commercial general liability insurance
MHP shall procure and maintain commercial general liability insurance, contractual insurance,
for MHP’s negligent acts or omissions during the time that the parties have rights under this
Agreement against liability for claims arising out of its negligent acts or omissions in the use of
the Premises, including $1,000,000.00 combined single limit commercial general liability,
including contractual liability, and $5,000,000.00 aggregate liability. MHP shall endeavor to
cause establishments and vendors providing sales, service and consumption of alcoholic
beverages toprovide liquor liability insurance naming the City and the SNRCDC as Additional
Insured with respect to the negligent acts or omissions of said establishments and vendors. A
copy of the certificates of insurance shall be provided to City. The City and the SNRCDC shall
be named as an Additional Insured in all such policies with respect to these policies of
insurance..
(b)
Workers compensation insurance
MHP will provide evidence of Workers’ Compensation Insurance to the extent required by
Colorado law covering any MHP employees working on any of the Premises.
(c)
Proof of insurance
MHP will furnish certificates of insurance and photocopies of related endorsements or riders
indicating that it has provided the coverage required under this Agreement prior to the start of the
Premises Occupation Period. The Owner Parties may refuse to rent the Premises and cancel the
Event if MHP does not purchase the required insurance or if the certificates of insurance with
riders or endorsements are not timely received.
(d)
General insurance requirements
All policies of insurance required by this Agreement must
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-
Provide that they may not be canceled without thirty days prior written notice to the
Owner Parties;
-
Be obtained from insurers licensed to do business in the State of Colorado and
acceptable to the Owner Parties. Such acceptance shall not be unreasonably withheld;
and
-
With respect to the Owner Parties, shall be primary and noncontributory.
Additionally, if MHP provides the insurance required herein by means of a “claims made,” rather
than an “occurrence” policy, the insurer shall provide the City and SNRCDC with the retroactive
date of the policy, which may not be later than the first day MHP commences use of the
Premises, as well as an “extended reporting period endorsement” or “tail coverage” endorsement
which must extend the time within which claims may be submitted to a period ending four years
from the last date of use of the Premises by MHP.
(e)
Contractors, suppliers, and vendors
MHP shall use commercially reasonable efforts to cause its subcontractors to provide general
liability insurance in an amount of not less than $1,000,000.00 combined single limit for bodily
injury and $400,000.00 property damage per incident, naming the Owner Parties as an additional
insured with respect to the vendor or subcontractors’ negligent acts or omissions and workers’
compensation insurance.
Section 5.02
Indemnification
To the fullest extent permitted by law, MHP must defend, indemnify and hold harmless the City,
the SNRCDC, and their officers, employees, agents, and attorneys from and against (i) any and
all claims, damages, penalties, losses, expenses or judgments arising from injury or death to any
person, property or environmental damage arising from any negligent or intentional act or
omission of MHP, its officers, agents, servants or employees, except to the extent that such
injury, death, property or environmental damage results from the negligent or intentional acts or
omissions of the City, the SNRCDC, or their officers, agents, contractors, subcontractors and
employees and (ii) with respect to any matter for which the City or the SNRCDC would have an
enforceable claim under insurance naming the City or the SNRCDC as an additional insured that
MHP is required, but failed, to obtain.
To the fullest extent of the law, the City and SNRCDC shall defend, indemnify and hold
harmless MHP, and its officers, employees, agents, and attorneys from and against (i) any and all
claims, damages, penalties, losses, expenses or judgments arising from injury or death to any
person, property or environmental damage arising from any negligent or intentional act or
omission of City or SNRCDC, its officers, agents, servants or employees, except to the extent
that such injury, death, property or environmental damage results from the negligent or
intentional acts or omissions of MHP or its officers, agents, contractors, subcontractors and
employees and (ii) with respect to any matter for which MHP would have an enforceable claim
under insurance naming the City or SNRCDC as an additional insured that City or SNRCDC is
required, but failed, to obtain.
This Indemnification provision shall survive the expiration or termination of this
Agreement.
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Section 5.03
Governmental Immunity
Nothing in this Agreement may be construed to waive, limit, or otherwise modify any
governmental immunity that may be available to the State of Colorado, the City, its city council
and its officers, employees, agents and representatives, and the SNRCDC and its officers,
employees, agents and representatives under the Colorado Governmental Immunity Act,
Colorado Revised Statutes § 24-10-101, et seq.
Article Six – General Provisions
Section 6.01
Force Majeure
The Parties will not be liable to one another for any failure to perform under this Agreement if
failure is due to any force majeure, including acts of God, natural disaster, terrorism, rebellion,
insurrection, war, military action, death or illness of any artist or member of artist, disaster,
strikes or threats of strikes, civil disorder, curtailment of transportation facilities, or any other
emergency making it inadvisable, illegal or impossible to provide the Venue or to hold the
Event, or any governmental regulation or other government action or inaction including the
failure of the state, City, county or other municipal body to grant approval to MHP for any aspect
of the Event Plan, any license, permit, or other approval required for MHP to hold the Event
including the County Permit, any liquor permit or license, or any other permit, license or
approval for which the failure to obtain makes it undesirable to hold the Event in the sole
discretion of MHP, or an event, act, or incident otherwise beyond the Parties’ reasonable
anticipation or control.
Section 6.02
Other Financial Obligations
MHP shall be responsible for payment of any State or Federal taxes or any other governmental
assessment which may be made in connection with the Event.
MHP acknowledges and agrees that it will be solely responsible for all royalties related to music
licenses resulting from the Event. MHP warrants to the City that such royalties or charges have
been paid or will be paid promptly in accordance with law. MHP further agrees to hold the
Owner Parties harmless and indemnify it for all its costs or losses, just or unjust, including
attorney’s fees in defense of claims, relating to payment of any royalty, charge or fee for the use
of material by MHP during the Event.
Section 6.03
Termination
Either party may terminate this Agreement with prior notice to under the following conditions:
-
A good faith determination that the other Party has failed to comply with any of the
material terms or conditions of this Agreement which such failure has not been
remedied within thirty (30) days from the date notice is received.
Section 6.04
Termination by MHP
MHP may terminate this Agreement by written notice delivered no later than June 15, 2015. If
MHP terminates this Agreement for reasons other than a Force Majeure, the Owner Party's
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default, or other specific right to terminate otherwise provided in the Agreement, the City shall
retain or collect from MHP 25% of the Base Fee (“Termination Fee”).
Except for the
Termination Fee where such is due and payable to the Owner Parties, all sums paid by MHP to
the Owner Parties, including any Security Deposit and any money contributed pursuant to
Section 3.02, shall be refunded no later than ten (10) days from the date of Termination.
Section 6.05 Amendment
Purported amendments, extension, or modifications to this Agreement will be enforceable only if
and to the extent it is memorialized in a writing signed by a duly authorized agent of the party
against whom enforcement is sought.
Section 6.05
Waiver
The failure of an Owner Party to insist upon a strict performance of any of the terms and
conditions hereof shall be deemed a waiver of the rights or remedies that it may have regarding
that specific instance only and shall not be deemed to be a waiver of any subsequent breach or
default in any terms and conditions.
Section 6.06
Headings of Articles, Sections, and Subsections
The headings of Articles, Sections, and subsections used within this Agreement are included
solely for the convenience and reference of the reader. They have no significance in the
interpretation or construction of this Agreement.
Section 6.07
Assignment
MHP may not assign any right granted by this Agreement, except to a parent or affiliate
company under common control, without the prior written consent of the City Administrator
provided, however, that MHP may engage subcontractors or hire individuals to perform services
or provide supplies related to the Event.
Section 6.09
Attorney’s Fees
Should this Agreement become the subject of litigation between the City and MHP, the
prevailing party shall be entitled to recovery of all reasonable actual costs in connection
therewith, including but not limited to reasonable attorneys’ fees and expert witness fees as
determined by the Court. All rights concerning remedies and/or attorneys’ fees shall survive any
termination of this Agreement.
Section 6.08
Choice of Law; Venue
This Agreement shall be interpreted according to the laws of the State of Colorado, and venue
for any action regarding this Agreement shall lie in the District Court located in Chaffee County,
Colorado. The parties waiving their right to trial by jury, waiving any right to appeal, and with
the decision of the trial court being final and binding.
Section 6.09
No Rights Acquired
No rights will be acquired under this Agreement until the following have been provided to City
in forms acceptable to it:
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(a)
An original of this Agreement executed by MHP.
(b)
Certificates of insurance and proof of security deposits.
(c)
Proof of payment of all fees which are required to be paid in advance.
Section 6.10
Entire Agreement
This Agreement and its Exhibits constitute an entire and integrated agreement and supersede all
the terms and conditions of any prior agreement, negotiations or representations, written or oral,
between the parties. This Agreement may not be modified, except in writing, signed by the
parties. The Parties agree and represent that each party has had an opportunity to review this
Agreement and otherwise obtain independent representation with respect to the review and
negotiation of this Agreement. Accordingly, the Parties waive any presumption or inference
under law in favor or for the benefit of a non-drafting.
Section 6.11
Effective Date
The Effective Date of this Agreement is the date the Agreement is executed by the last party to
do so.
Section 6.12
Exceptions to Termination
The terms and provisions contained in this Agreement that by their sense and context are
intended to survive the performance or termination of this Agreement will survive the
completion of performance and termination of this Agreement, including without limitation the
making of any and all payments due hereunder; any provision of this Agreement pertaining to
insurance, indemnification, compensation, governing law and venue, and warranties and
representations.
Section 6.13
Tabor Savings Clause
If and to the extent this Agreement constitutes a multiple fiscal year debt or financial obligation
of the City, it will be subject to annual appropriation pursuant to the legal authority governing
each of the Parties and pursuant to Article X, Section 20 of the Colorado Constitution. The
Parties will have no obligation to continue the portions of this Agreement affected by this
provision in any fiscal year in which no such appropriation is made.
Signature page follows immediately
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IN WITNESS WEREOF, the parties have caused this Agreement to be executed by their duly
authorized officers, and their corporate seals to be hereunto fixed this ___ day of ____________,
20__.
City of Salida, Colorado
By:
________________________________
Jim Dickson, its Mayor
ATTEST:
____________________________
Christian Samora, its Deputy City Clerk
Salida Natural Resource Center Development Corp
By:
Keith Baker, its President
ATTEST:
Dara MacDonald, its Secretary
Madison House Presents, LLC
By:
____________________________________
Name: ____________________________________
Title: ____________________________________
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HWY 291
HWY 50
Exhibit A -- Vandaveer Ranch
µ
Base parcel information provided
by the Chaffee County Assessor.
This map is not intended to be used
for survey purposes or to supersede
information provided by licensed surveyors.
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Exhibit B to Facilities Use Agreement
Service Charges
This document is an exhibit incorporated into the Facilities Use Agreement dated ____________
(the “Agreement”). Reference is made to the Agreement for additional terms and provisions
including the meaning of terms capitalized in this Document.
Reimbursable expenditures of the City in accordance with Section 3.05 of the Agreement
The Parties agree that the City will provide certain services and supplemental staffing in advance
of and during the Event to support the basic functions of the City, as follows:
Item:
Unit/Hours
Rate
Budget
City Event Coordinator
400*
25.00
10,000.00
*Total hours not to exceed 400 without prior written approval from MHP. Any hours in
excess of 400 without the prior written approval of MHP shall be the sole cost of the City.
Fire
Captain
24
33.00
792.00
Sr. Firefighter
24
26.00
624.00
Firefighter
24
21.00
504.00
Res. FF at event
24
19.00
456.00
Res. FF on shift
96
10.00
960.00
Engine 11 at event
54
71.00
3,834.00
Total for Fire
7,170.00
Police
30 Additional Officers
990
40.00
39,600.00
Lodging for added Police
61
109.00
6,650.00
Total for Police
46,250.00
Total Estimated Reimbursable Expenditures
63,420.00