[bouldercouncilhotline] Hotline: Questions regarding Item 3D UHGID and Del Mar MOU

[cmosupport at bouldercolorado.gov]

Sender: Winter, Molly



Dear Mary,
Thank you for sending your questions.  I have provided answers below.  The item before Council is a non-binding letter of intent to further explore and analyze a public private partnership for a mixed use
 development on a UHGID parking lot.  During the next phase we can fully review the concepts you have outlined below.  As background, our parking districts, CAGID in the downtown and UHGID on the hill, and Boulder Junction, provide an efficient and cost effective
 approach to providing multi-modal access to our historic commercial centers that have been a model for the rest of the city for reduced parking demand through shared, managed and paid parking.   The districts balance the community values of providing access
 to all members of our community and visitors, advancing our environmental goals and ensuring the economic health of our commercial areas.  Please let me know if you have further questions. 

 

1.     
We currently do not have any kind of plan for how and in what way we would like to see the Hill evolve. I would like to understand how this project would affect the area given this situation.
There have been a number of different analyses, workshops, charrettes and studies regarding the Hill commercial area over the last number of years accompanied by much discussion and debate.  I think it
 is fair to say that there is not a common communitywide vision for the hill.  Due to its proximity to the university and student housing, the market forces strongly reinforce providing convenient services oriented toward students. While there are some notable
 exceptions, much of the hill serves this purpose within  walking distance to its market.  
However, there has been a clear desire from many, including students, to diversify the mix offerings on the Hill to include uses attractive to a broader cross section of the community:  permanent residents
 of the Hill, citywide residents, CU faculty and staff, and alumni while also serving the underlying student market. Retail that is attractive to a broader audience than just students, (such as Café Aion, the Sink and Innisfree Poetry and professional office
 space such as Spark, the student-focused co-working space and the advertising firm, Grenadier). If the market for the hill is to attract others than those within walking distance in the neighborhood, a variety of multi-modal options including additional parking
 opportunities, and pedestrian, transit, and bike resources, will need to be part of the infrastructure to support these new types of uses.

The Council reference notebook contains an item regarding the Hill Reinvestment Strategy which is proposed for 2014. This strategy acknowledges the conflicting attitudes about the Hill and proposes to
 focus on a comprehensive approach to broadening the Hill’s strength and work on a sustainable framework for the future.  Exploration of an Innovation District is one of the exciting options.


2.     
Did the parking analysis take into consideration our climate action goals?
The parking analysis presented in the packet was conducted prior to the current climate action goals discussed by City Council this summer. The specific work to understand the impacts on transportation
 and parking has not yet been developed.  How the current goals fit into overall transportation and parking policies and plans will be addressed as a part of the Transportation Master Plan Update, the AMPS project and as well as other policy consideration. 
3.     
Did the parking analysis take into consideration our transportation goals?
 
Yes.  The historic  parking districts established in the 1970’s – Central Area General Improvement District (CAGID), and the University Hill General Improvement District (UHGID) – are a key tool in managing parking
 to achieve the SUMP principles of shared, unbundled, managed and paid, and provide a model for the rest of the city of how to maximize utilization of the parking resources and the role of travel demand management programs.  Minimizing parking supply is a goal
 balanced by maintaining and enhancing the accessibility of the Hill to all and supporting the area’s economic vitality. These districts were the model for the most recent TOD district in Boulder Junction. 

 

4.     
Did the parking analysis take into consideration that students are discouraged from bringing cars to campus and that those that do are encouraged to "store" their cars off site?

The analysis did not specifically consider this particular CU parking policy.  However, any district parking at this site is and would be paid which provides a significant parking management strategy
 to discourage students bringing their cars to the vicinity of campus. 

5.     
Did the parking analysis consider driving trends in general?

http://www.uspirg.org/sites/pirg/files/reports/A%20New%20Direction%20vUS.pdf
Thank you for sending this report.  While this report was not consulted, we definitely see this trend in the high utilization of our TDM programs.  As we move forward with these discussions we will incorporate
 the information in this report into our future planning.
6.  Since we are essentially providing the land for the housing, will we have a say in the type of housing we'd like to see?
The final agreement will be negotiated with Del Mar Interests.  The city can explore with the developer various options available, including working with CU on the potential of
 graduate student, faculty and staff housing as mentioned in the Council memo.  In the end, however, the developer will need to assess the financial feasibility and marketability of the housing options in order to proceed with the project.  City Council, acting
 as the board of directors of UHGID,  will approval the final agreement.  
7. I understand that the city will eventually collect property taxes and revenues from the parking, but I would like to fully understand how beyond that, this presents a good deal for the city.

The purpose for considering this proposal has multiple benefits for the city and the Hill commercial and residential areas:  economic, financial, social and neighborhood livability. 

Economics:
As mentioned above, a commonly held desire for the hill is to expand its offerings beyond basic student services to destination uses.  Providing for some amount of additional parking
 is an important component to broadening the types of uses on the hill to attract visitors and community members.  And additional housing will provide additional customers for hill businesses. 

Financial:
UHGID has two parking resources – the two parking lots, in addition to the on-street parking.  As the district grows and uses diversify these are the two resources available to
 fulfill  future demand.  
The small size and low property tax valuation of the UHGID district makes it very challenging, if impossible, for UHGID to self finance any future parking garages.  Partnering
 with Del Mar Interests enables the district to fulfill its mandate to provide for the future access needs of the commercial area. The developer will assume all the costs and risks of designing and constructing the UHGID parking.   Since it is managed, the
 amount of parking is minimized in comparison to each individual use in the district being required to accommodate parking on-site.  Staff will work with the developer to understand how the facility will be right-sized for the district needs both now and into
 the future.  Staff, the University Hill Commercial Area Management Commission and the Hill businesses and stakeholders will be committed to finding that right balance between providing the resources for a vital and successful hill and minimizing financial
 costs and risk to the district.  
Similar approaches have been used in developing parking downtown. The  St. Julien Hotel and garage and the Randolph Center are both cases of public private partnerships between
 private developers and the CAGID parking district. In both cases public and private properties were combined.  In neither case did the developer directly compensate the district for air rights or use of the land.  With the St. Julien Hotel, the district self-financed
 the garage and tax increment revenues to CAGID provided compensation for the additional expenses of building and operating an underground garage.  The Randolph Center example is most similar to this proposed partnership; in the 1970’s the nascent district
 did not self finance the garage portion – the developer paid for the entire structure and the district repaid the developer with lease payments.  Both examples are Condominium Associations – preserving the long term ownership of both parties. 

Social:
Many in the community miss the “old” hill that was a community gathering place and shopping area.  While the past will never be recreated on the hill, there is a desire in the
 community for the hill to be more of a neighborhood attracting a variety of people, rather than a totally student-dominated area.  I often hear “I wish I had a reason to go to the hill.”   Expanding options and providing for access would be a step towards
 creating this greater diversity of experience.
Environmental:
As mentioned above, the parking district concept is a proven  mechanism to manage parking and integrate multi-modal access.  By providing for parking needs within an overall access
 framework at the district scale rather than for each individual property, and managing the parking (all spaces shared, paid, managed) the district is able to reduce the overall land area dedicated to parking and have a coordinated multimodal access strategy.
 Through the AMPS project we will continually evolve our strategies and programs to support our sustainability framework and climate commitment goals.

Neighborhood Livability:
An asset in partnering with Del Mar Interests in the project is proximity of property ownership.  DMI owns the property to the north of the  14th Street lot and has
 options on property to the west and south.  The plan for the project includes a parking entrance from 13th Street which would greatly minimize traffic circulation through the neighborhood – providing direct access from the commercial district. 
 The adjacency to the other properties provides for expanded operational circulation.   
8. What are the contingency plans if the revenues from the parking don't materialize?
The next phase of analysis will address this very important concern.  More in depth analysis will examine the parking demand and revenue projections to ensure that UHGID is financially secure and minimizes
 financial risk to the district.  Also the analysis will assess the benefits to the developer as well as the risks.  Negotiations will be focused on fairness and meeting the goals of the City and UHGID.
 
Best, 
Molly
 


From: Young, Mary

Sent: Monday, December 16, 2013 4:52 PM
To: HOTLINE
Subject: Questions regarding Item 3D UHGID and Del Mar MOU


 
Hi Molly,


Thank you for following up on my email to the Council Agenda Committee. 
Here are my questions regarding Item 3D UHGID and Del Mar MOU:


1. We currently do not have any kind of plan for how and in what way we would like to see the Hill evolve. I would like to understand how this project would affect the area given this situation.


2. Did the parking analysis take into consideration our climate action goals?


3. Did the parking analysis take into consideration our transportation goals?


 


4. Did the parking analysis take into consideration that students are discouraged from bringing cars to campus and that those that do are encouraged to "store" their cars off site?



5. Did the parking analysis consider driving trends in general?

http://www.uspirg.org/sites/pirg/files/reports/A%20New%20Direction%20vUS.pdf


6. Since we are essentially providing the land for the housing, will we have a say in the type of housing we'd like to see?


7. I understand that the city will eventually collect property taxes and revenues from the parking, but I would like to fully understand how beyond that, this presents a good deal for the city.



8. What are the contingency plans if the revenues from the parking don't materialize?


Thank you again.


 



Mary Dolores Young


Boulder City Council


youngm at bouldercolorado.gov


303-501-2439