CITY OF BOULDER

CITY COUNCIL AGENDA ITEM

MEETING DATE: July 25, 2017

AGENDA TITLE

Consideration of a motion to authorize the City Manager to prepare ballot

language for an extension of the 0.3 percent sales and use tax, that would not raise

taxes, for the purpose of funding a variety of capital improvement projects.

PRESENTER/S

Jane S. Brautigam, City Manager

Mary Ann Weideman, Deputy City Manager

Tanya Ange, Deputy City Manager

Maureen Rait, Executive Director of Public Works

Cheryl Pattelli, Chief Financial Officer

Kady Doelling, Executive Budget Officer

Joel Wagner, Special Assistant to Finance and City Manager’s Office

Jean Gatza, Senior Planner

Amanda Bevis, Public Works Project Coordinator

EXECUTIVE SUMMARY

The purpose of this memo is to provide an update on and seek council feedback and

direction on the preparation of ballot language for the extension of the 0.3 percent sales

and use tax for capital improvement projects, currently known as Community, Culture,

and Safety.

The City Manager-appointed advisory committee for renewal of the 0.3 percent capital

improvements tax concluded their work and provided a recommendation to the City

Council on June 15, 2017. The committee recommended extending the tax for 5 years to

fund a diverse package of city and community-based projects based on guiding

principles. At council’s request, the committee provided an additional list of projects that

could be considered if council prefers to extend the tax for 7 years. The committee’s

recommendations are presented in Attachment A, and a summary of the projects is

provided in Attachment B. At the request of the advisory committee, staff has performed

additional due diligence on community-based projects, a summary of which is provided

at Attachment C.

The background information for this topic can be found in the study session

memorandum and presentation, both dated Jan. 10, 2017, in the study session summary,

dated Feb. 7, 2017, in the May 9, 2017 study session memorandum and summary and the

June 15, 2017 Information Packet.

QUESTIONS FOR CITY COUNCIL

1. Does council support the advisory committee and staff recommendation to limit

the extension of the tax renewal to five years?

2. Does council have any feedback for staff regarding the recommended projects

prior to staff drafting ballot language?

3. Does city council want staff to prepare ballot language for the option of using

debt financing to add flexibility?

STAFF RECOMMENDATION

Based upon staff review of the projects recommended by the Advisory Committee, the

staff is recommending that the City Council consider placing a 5-year extension of the

0.3 percent temporary sales and use tax on the ballot in November 2017 that would

include the following projects:

City Projects:

Radio Infrastructure - $6.0 million

Library - North Boulder Branch - $6.0 million

Relocate Fire Station #3 - $13.0 million

Scott Carpenter Pool - $6.2 million

Public Art - $1.5 million

Fourmile Canyon Creek Greenways Improvements - $4.25 million

Facilities Maintenance Backlog - $3.2 million

Total City Projects: $40.2 million

Community Projects:

Growing Gardens - $87,000

Community Cycles - $822,500

Meals on Wheels - $1.6 million

Studio Arts Boulder - $1.75 million

Center for Resource Conservation - $1.4 million

Boulder Museum of Contemporary Art - $6.0 million

KGNU – $1.25 million

Total Community Projects: $12.9 million Contingency: $2.0 million

Grand Total: $55.1 million

At the recommendation of City Council, the advisory committee developed a list of

projects to consider, should the council decide to explore a 7-year extension. These

projects are presented in the Analysis section of the memo.

Finally, staff recommends including a question on the ballot that would allow the city to

increase debt to fund city and non-profit capital projects in the City of Boulder.

Suggested Motion Language:

Staff requests council consideration of this matter and action in the form of the

following motions:

Motion to direct the City Manager to proceed with preparing a ballot item for first

reading and City Council consideration on August 1 that would place on the November

ballot a measure that would extend the 0.3% sales and use tax for capital

improvements for five years, which would be used for city and non-profit capital

projects in the City of Boulder.

Motion to direct the City Manager to proceed with preparing a ballot item for first

reading and City Council consideration on August 1 that would, without raising taxes

increase the debt of the city to fund city and non-profit capital projects in the City of

Boulder.

FISCAL IMPACT

The renewal would extend an existing 0.3 percent sales and use tax, not increase taxes.

Three tenths percent sales tax rate for the City of Boulder results in thirty cents on a one

hundred-dollar purchase. Other fiscal impacts to the city are addressed in the background

and analysis sections of this agenda item.

COMMUNITY SUSTAINABILITY ASSESSMENTS AND IMPACTS

Economic:The proposed tax renewal would not raise the current level of city sales tax.

The sales tax would continue to be charged on all retail purchases, and items subject to

use tax for the length of the tax. The revenue collected would provide increased funds for

capital project that can help the economic vitality of the city and address infrastructure

and facility maintenance of city assets. The proposed tax renewal would not raise the

current level of city sales tax. The sales tax would continue to be charged on all retail

purchases, and items subject to use tax for the length of the tax. The revenue collected

would provide increased funds for capital project that can help the economic vitality of

the city and address infrastructure and facility maintenance of city assets. renewal would

not raise the current level of city sales tax. The sales tax would continue to be charged on

all retail purchases, and items subject to use tax for the length of the tax. The revenue

collected would provide increased funds for capital project that can help the economic

vitality of the city and address infrastructure and facility maintenance of city assets.

Environmental: New capital construction inevitably results in use of materials and

increased energy expenditure. At the same time, many of the projects would include

efficient and effective enhancements to infrastructure, or support functions and

organizations which may help address specific environmental goals of the city.

Social: Several of the projects that would be funded with the tax renewal build

community infrastructure, enhance gathering and recreation spaces, serve low-income

and underserved populations, and provide opportunities for everyone to enjoy the

uniqueness and quality of life in Boulder.

OTHER IMPACTS Staff time – The staff time needed to complete the background work for ballot items is

included within the departmental work plans.

BOARD AND COMMISSION FEEDBACK City boards and commissions were encouraged to provide feedback to the Advisory

Committee as well as feedback on the Committee’s recommendations to the City

Council. Several boards and commissions provided feedback throughout the process.

Feedback includes support for the committee’s recommendations and suggestions for

inclusion of other important projects. Board and Commission feedback is summarized

and compiled in Attachment D.

PUBLIC FEEDBACK

The twelve-member Advisory Committee included a broad representation of Boulder

residents. Members were encouraged to obtain feedback from other Boulder residents

which they shared at committee meetings. Community members could send e-mails to

the committee and are compiled and provided on the project website.

BACKGROUND

The background information for this topic can be found in the study session

memorandum and presentation, both dated Jan. 10, 2017, in the study session summary,

dated Feb. 7, 2017, in the May 9, 2017 study session memorandum and summary and the

June 15, 2017 Information Packet.

At the request of City Council, the City Manager formed an advisory committee to make

recommendations about the specific projects and other details of the potential 2017

renewal. Through collaborative efforts, the advisory group was asked to deliver

recommendations including:

• Providing feedback to city staff about how to communicate the issues and options

to the public and the quality of the information.

• Analyzing scenarios for potential renewal of the tax.

• Providing recommendations on projects and funding packages most likely to

garner community support.

• Community outreach materials and process.

The committee includes 12 members representing broad interests and community

perspectives. The City Manager appointed the following participants - Tyler Adams,

Greg Brown, Leslie Durgin, Barbara Gutmann, Davis Hart, Diane Jones, Deborah

Malden, Jim Mapes, Chris Miller, Ann Moss, Manuela Sifuentes, and Tara Winer.

The advisory committee met a total of six times over the course of its work. The

committee received a wealth of information regarding the city’s capital needs. They

developed guiding principles, received project presentations from community groups, and

prioritized projects to develop a recommended package. A summary of the committee’s

work is included below.

Sales Tax Projections for Capital Investments

The extension of the sales tax is expected to generate approximately $9.5 million to $10.5

million annually. At the May 9 Council Study Session, some council members expressed

a preference for a five-year extension, but asked the committee to also present options for

a seven-year renewal. Council also asked the committee for its recommendation

regarding the use of debt financing to fund projects that are ready before sales taxes

would be collected. The following tables were developed to assist council in discussing

the possible options for financing as well as the projected duration for renewal.

Revenue Projections for Renewal of the 0.3 Percent Tax

Duration Total Revenue

5 Years $55M

7 Years $78M

City Projects Considered for Funding

During the capital tax renewal planning list, city staff identified a list of unfunded capital

projects totaling over $800 million. This list of projects was refined using the eligibility

criteria presented to council in the Feb. 24 Information Packet, and was further refined by

departments. A total of 34 city projects were presented to the stakeholder committee

totaling $180 million in unmet needs. See Attachment E for the list of city projects

presented to the committee.

Community Projects Considered for Funding

At council’s request, staff solicited Letters of Intent for community-sponsored projects.

Staff received fourteen applications for a total of $33 million in unfunded need. Twelve

community groups presented their requests for funding to the stakeholder committee,

totaling over $33 million in funding requests. Community group applications and

presentations, please refer to the project website.

Advisory Committee Process

The advisory committee established a sub-committee to determine the process to arrive at

a recommended package that maintained consensus throughout the committee. The

subcommittee drafted a set of five guiding principles and recommended that the

committee score all projects based upon the guiding principles.

Final Guiding Principles:

• Benefits a broad cross-section of the city, including various geographies and

underrepresented groups;

• Aligns well with multiple city master plans or furthers more than one of the city’s key

goals: sustainability, livability, addressing infrastructure deficiencies, and health &

safety;

• Does not create significant additional operating and maintenance expenses or future

capital investments that are not already addressed in the project plan;

• Represents good return on investment in terms of the impact to the community

compared to dollars invested; and

• Has minimized risk by including low risk projects and/or by using funding milestones

and other means to mitigate completion and operating risks.

Prioritization Process

Using the guiding principles discussed above, the advisory committee followed a

prioritization process that enabled informed decision-making and encouraged

collaboration. Please refer to the June 15 Information Packet for a detailed explanation of

the committee’s process.

Project Refinement and Final Questions:

During the prioritization meetings, the committee asked staff to follow up with the city

departments and community groups to “sharpen the pencil” on projects. In addition to

several project-specific questions staff was asked to:

• Determine whether projects could be scaled or phased to reduce the amount of

funding needed.

• Review budget assumptions for accuracy.

• Ask community groups to accept a dollar for dollar match requirement.

• Provide staff analysis on community projects affecting city facilities and planning

processes.

Key Considerations:

As a result of the prioritization process and additional staff due diligence, the committee

discussed the following key considerations:

• Community Group Matching Requirement: The committee expressed interest in

ensuring that community groups were equally invested in their projects.

Subsequently, staff discussed a dollar-for-dollar match requirement with

community groups that had been prioritized for capital tax funding. The

committee affirmed its desire that all community projects include a minimum

one-for-one match requirement.

• Value of Land Donations: Two organizations’ proposals included the value of

land committed by a private developer in their proposed matching funds. City

staff as well as some members of the committee questioned whether the value of

the land should be counted as a match. Correspondingly, staff presented a “scaled

amount” for Meals on Wheels and Studio Arts that reduced the city contribution

to 50% of building value (excluding land). Representatives of Meals on Wheels

responded that they would be open to the reduced match. Representatives of

Studio Arts believed that the value of the land donation should be included. The

committee recommended that the match for these two organizations be limited to

the estimated construction cost of the building. Additional discussion of this

matter is provided below.

• Impacts on City Facilities: Several community projects are located on, or are

proposing expansion to city property. Staff provided the committee with analysis

and considerations for the community projects that affected city property or

operations. This analysis is provided in the June 15 Information Packet.

Final Package Recommendation:

At the committee’s request, staff developed several package options for the committee’s

consideration in its final meeting. The committee members did not choose any of the

draft options as presented. Instead the committee worked to arrive at a set of projects that

they all agreed to include, then focused on understanding each other’s thoughts to fund

other projects based on the guiding principles. There was a high level of agreement on

most projects in included in the recommendation.

Several committee members expressed concern about funding Boulder Museum of

Contemporary Art (BMoCA) in this round of funding. They questioned whether this

project is ready to move forward in light of the on-going discussions regarding the

evolving East Bookend Civic Area Planning, the need to displace city facilities, and the

perceived benefit provided to the full community, but agreed to include it in the final

recommendation.

Recommendation on duration of tax

Committee members briefly discussed an option that would reduce the funding amount or

shorten the time period of the tax, including only the projects with the most committee

support. In the end, they settled on a recommendation for a 5-year extension with the

projects listed below, adding a group of projects that could be included if the council

supports extending the tax to 7 years or if there is additional revenue. In the committee’s

discussion, they noted that a 5-year extension has the benefit of including a wide range of

projects, but also lets future voters decide longer-term priorities.

Recommendation on use of debt

Committee members discussed the use of debt financing to complete projects that are

ready sooner than tax revenues may be available. The committee supports asking the

voters for the ability to bond in order to fund projects sooner rather than waiting to allow

funds to accumulate over time. Should the ballot items pass, considerations of project-

readiness, increasing construction costs, and ability to construct should inform the use of

bonding.

Importance of establishing a permanent source of capital funding

The committee expressed concern that several of the projects proposed for the renewal

appeared to be a result of insufficient funding for critical maintenance or capital

replacement reserves. The committee encourages the city to establish a process for

renewal of city assets. Staff agrees that the city should continue to improve its capital

asset planning with respect to capital maintenance and replacement, and plans to discuss

options with council during the annual Capital Improvement Plan process.

The letter from the committee outlining the draft package and their rationale is included

in Attachment A.

ANALYSIS

Projects Recommended by the Advisory Committee

The project descriptions included in Attachment B include a brief description of the

purpose, scope and estimated capital and new operating costs for the projects as well as

potential risk or other planning considerations that should be evaluated as these projects

move forward for consideration by Boulder voters. While the committee did not

specifically rank projects in the final selection, the order represents the general level of

committee agreement throughout the prioritization and selection process.

City Projects Department

Estimated

Project

Cost

Unfunded

Need

% of

Total

Radio Infrastructure Public Safety-Police $6,000,000 $6,000,000 11.3%

Library-North Boulder

Branch

Library $8,000,000 $6,000,000 11.3%

Relocate Fire Station #3 Public Safety - Fire $13,000,000 $13,000,000 24.5%

Scott Carpenter Pool

Replacement

Parks and

Recreation

$14,200,000 $6,200,000 11.7%

Public Art Arts and Culture $1,500,000 $1,500,000 2.8%

Fourmile Canyon Creek

Improvements

Greenways $12,100,000 $4,250,000 8.0%

City Projects Department

Estimated

Project

Cost

Unfunded

Need

% of

Total

Facilities Maintenance

Backlog

City Service

Facilities

$4,800,000 $3,200,000 6.0%

Total City Projects: $40,150,000 75.7%

Community Projects

Community

Priority Area

Estimated

Project

Cost

Recommended

Funding

% of

Total

Growing Gardens Local Food $714,000 $87,000 0.2%

Community Cycles Alternative

Transportation

$2,250,000 $822,500 1.6%

Meals on Wheels Senior Services $5,100,000 $1,600,000 3.0%

Studio Arts Boulder Arts and Culture $5,000,000 $1,750,000 3.3%

Center for ReSource

Conservation

Zero Waste $2,800,000 $1,400,000 2.6%

Boulder Museum of

Contemporary Art

Arts and Culture $12,000,000 $6,000,000 11.3%

KGNU Arts and Culture $2,500,000 $1,250,000 2.4%

Total Community

Projects: $12,909,500 24.3%

Total Five-Year Package $53,059,500 100.0%

In addition, the committee listed the following projects for council’s consideration if

council desires to pursue a seven-year renewal. The projects in this list were not

prioritized by the committee and are presented in alphabetical order. Several of the

projects in this list have scopes of work that can be easily scaled if less than the full

project cost is available. For example, the Civic Area Phase 2 proposal includes several

discrete projects that can be funded in $500,000 and $1 million increments.

City Projects Department

Estimated

Project Cost

Unfunded

Need

Boulder Reservoir South Shore

Improvements Parks and Recreation $11,600,000 $7,600,000

Civic Area Phase 2 Civic Area $8,000,000 $8,000,000

Fleet facility Repairs and

Upgrades City Service Facilities $1,400,000 $1,400,000

Hill Commercial Area Pedestrian

Lighting Replacement Community Vitality $225,000 $225,000

Hop Conversion to Clean Vehicles Transportation $9,500,000 $750,000

Railroad Quiet Zone

Improvements Transportation $2,800,000 $1,500,000

Valmont City Park Phase 2 Parks and Recreation $8,450,000 $4,450,000

Violet Park Parks and Recreation $2,400,000 $2,400,000

Total City Projects: $26,325,000

Community Projects

Community Priority

Area Total Project

Recommended

Funding

Downtown Boulder Partnership Arts and Culture $4,000,000 $2,000,000

Total Community Projects: $2,000,000

Question #1

Does council support the advisory committee and staff recommendation to limit the

extension of the tax renewal to five years?

City Council Feedback and Direction on Duration of Tax

During the January 10 Study Session regarding potential renewal of the 0.3 percent sales

tax, staff presented several scenarios, ranging from three years to 20 or more years.

Council supported the idea of either a five-year or seven-year renewal and asked for a

recommendation from the advisory committee. During the May 9 Study Session update

on the renewal process, several council members generally supported the idea of a five-

year renewal, indicating that community needs change over time, so a shorter duration

allows greater flexibility to meet future needs.

Advisory Committee Perspectives

During the initial advisory committee meetings and in the committee’s operating

agreement, the participants’ role was clear to make a recommendation to city staff and

city council on the duration of the renewal and project package(s). The advisory

committee spent the majority of time discussing a 5-year project package, while

interested, consumed significantly less time discussing a 7-year package. The

recommendation to council, as written in the Committee’s Letter to Council (received in

the June 15th Information Packet), recommends putting a 5-year extension on the 2017

ballot. The letter also includes projects to consider if revenues exceed projections or if the

tax is extended to 7-years, noting that the decision to extend beyond 5-years is “a

prerogative of the City Council”.

During its meetings, the advisory committee discussed the duration of renewal in several

occasions. The committee’s recommendation to proceed with a five-year renewal was

based on several reasons:

• A shorter term allows future voters decide future community priorities.

• A longer term (i.e. seven years) felt less like an extension of the tax and more like

a move toward permanence.

• While the committee had a high degree of consensus around the five-year

projects’ alignment with the guiding principles, there was less alignment around

the seven-year list.

Question #2

Does council have any feedback for staff regarding the recommended projects prior

to staff drafting ballot language?

Prior to drafting the ballot language, staff is seeking feedback from council regarding the

proposed projects, including those that were not recommended for funding. Additionally,

staff has provided additional due diligence and considerations for various projects. That

analysis is provided below.

Additional Due Diligence on Community Projects

The committee outlined expectations for community-based projects and requested

additional assessment and due diligence around a number of key factors including the

organizations’ ability to build and operating the facility; likelihood of voter support for

the investment; and ability of the organization to raise sufficient matching funds.

In the weeks following the advisory committee’s recommendation, city staff has met with

representatives of each group and has performed additional due diligence for the

community groups recommended for funding. Using financial statements and other

information provided by the nonprofits, staff reviewed trends and ratios to assess

financial capacity of the organizations and is generally satisfied with the financial

sustainability of these organizations other than a few specific considerations identified in

the summary of community-based nonprofits analysis in Attachment C and summarized

below:

Studio Arts and Meals on Wheels

Studio Arts Boulder has objected to the exclusion of donated land as part of matching

funding (see Studio Arts’ letter to council included in Attachment F). The organization’s

representatives have raised concern about the fairness of the exclusion of the land

donation from match and have indicated that a reduced funding amount may affect their

ability to raise the full matching funds for construction of the building. While Studio Arts

was founded in 2009, it has only been operating the Pottery lab since 2015, with

substantial financial and in-kind support from the City of Boulder. The effect of

removing the value of land as match is an increase in the organization’s fundraising target

from $1 million to $1.75 million. Staff agrees with Studio Arts’ assessment that this

increase could pose difficulties for the organization. Further discussion and analysis is

included in Attachment C.

With regard to land donation exclusion, Meals on Wheels was treated in the same way as

Studio Arts in excluding the value of land donation as matching funds. The committee

recommended that the groups should be addressed the same in this regard. The effect of

removing the value of land as match is an increase in the organization’s fundraising target

from $800,000 to $1.6 million.

Should the council decide to change the package and increase funding for these groups,

an additional $1.5 million would be needed; and in order to stay within the projected

revenues for the tax, funding for other projects would need to be decreased.

Boulder Museum of Contemporary Art (BMoCA)

In the weeks following the advisory committee’s recommendation, several personnel

issues became public through local and national newspapers. Staff met with several board

members and the Executive Director to discuss BMoCA’s ability to sustain a major

capital campaign amid significant staff turnover and public controversy. The group

provided information about the organization’s work to fill staff positions, address

organizational stability, and plan for the future citing continued support from major

donors and trustees. (See BMoCA Board statement in Attachment G). Staff has reviewed

BMoCA’s employee manual and board member responsibilities. The employee manual

includes anti-harassment and open-door policies, and the board responsibilities and

expectations charge the board with “guaranteeing that organizational policies, conduct

and practices are met with the highest legal standards.”

Advisory Committee Reactions

Members of the advisory committee have expressed concern about the personnel matters

raised in the media in days after the committee made its recommendation. The committee

has not formally met to change their recommendation nor is there consensus on the

following reactions expressed by individuals on the committee:

• Concern about BMoCA’s organizational ability to successfully fund-raise and

execute a museum expansion and that this information may have resulted in a

different recommendation had it been available when the recommendation was

finalized.

• Concern expressed that the controversy may jeopardize passage of the renewal if

this project is included.

• Suggestion that if council decides to change the projects in the 5-year package,

they should first look to the excellent projects on committee’s recommended list

of projects recommended ‘if the council chooses a 7-year extension or if there is

additional revenue.

• Suggestion that a reduced tax size and scope makes more sense than filling in the

5-year package with the 7-year projects that the committee viewed as lower

priority. If projects drop out of the process due to unforeseen issues, adding the

projects that were more contentious with the committee could increase the risk of

the overall tax renewal being passed.

Additional considerations regarding projects

Civic Area/East Bookend Subarea planning

The Civic Area Master Plan (adopted by City Council in 2015) divided the Civic Area

into three sections, and generally identified the character of each:

• “Park at the Core.” This area is under construction, funded through the 2014

Community Culture Safety Tax.

• “The East End: Food and Innovation” (now known as the East Bookend). The

East Bookend (for re-development purposes) consists of the area bound by

Canyon Boulevard on the north, Arapahoe Avenue on the south, Broadway on the

west, and 14th Street on the east. BMoCA’s current facilities are in the East

Bookend.

• “The West End: Arts and Culture” (now known as the West Bookend).

The next step of planning for the area is the east bookend. That planning work is being

initiated now. Staff expressed some concern about the timing of the BMoCA expansion

to the committee. There are potential opportunity costs related to funding expansion of

one facility located in the east bookend prior to the completion of the planning process

for all the uses identified in the Civic Area Master Plan for the east end. Additional

analysis can be found in Attachment B.

Homelessness & Public Engagement Implementation

Addressing homelessness and enhancing public engagement are high priorities for the

council and community. Several of the smaller projects within the Civic Area Phase 2

project were presented to the Advisory Committee as a part of the committee’s request

for scaled funding options, and could be initiated separately to support these citywide

goals, including:

• Enhance Atrium component to accommodate community-driven “pop-ups”

($1M)

Enhance the proposed investment in the initial proposal such that the Atrium

improvements might be capable of accommodating “pop-up” coordinated

programming offered by, for example, the Multicultural Center proponents, the

Boulder County Farmer’s Market and other such entities. Such programming

might take the form of community cultural nights, a BCFM petite winter market,

an educational series on local foods and cooking demonstrations, a “local

distillers display”, regular Boulder Brewer’s seasonal showcase nights, an

educational series on urban espalier gardening, a Boulder youth photography

exhibit co-hosted by BMoCA or cultural exhibits. Funding would be utilized to

purchase basic building furnishings/seating and lighting, a mobile kitchen unit

and petite vending stands. Audio Visual investments would be installed to

accommodate series, public meetings/gatherings and support rentals of the space

during festivals or when other programming is not scheduled.

• Add two additional public restrooms in the Civic Area ($500,000)

Staff is currently conducting a pilot utilizing temporary public restroom units in

the Civic Area. The most frequently utilized units are those closest to the

Boulder Main Library and near 13th street where many of the community’s

outdoor events are hosted. Additional funding of $500,000 would allow for the

purchase and installation of semi-permanent infrastructure that is more

financially efficient to maintain, less susceptible to vandalism and more

aesthetically pleasing. Such units would be placed in locations compliant with

Boulder Flood regulations and could be considered part of the footprint of

visiting festivals and events reducing their logistics costs. To that extent, they

make third-party produced events more appealing and could draw more activity

to the Civic Area in direct relation to the Master Plan’s suggested “year-round,

day-to-night” vibrancy goals.

Additional information on these projects can be found in Attachment B.

Projects that Leverage Existing Investments or Ongoing Initiatives

Many of the projects on the unfunded project list for the committee’s consideration

would leverage prior investments in programs, neighborhoods, or regional initiatives.

While the advisory committee did not feel that the projects below were the best fit for

their guiding principles, staff wants to highlight these projects as worthy of council’s

consideration for future funding.

• Bathroom Renovation at the Main Library ($650,000) – This project fulfills the

need for updated, ADA compliant, and gender-neutral bathroom facilities at the

main library and remains a high priority for the department and Library

Commission. The Commission approved the concept plan for the main library

renovation over a year ago. Given the new facilities soon to be completed with

the reactivated Civic Area, there is urgency to provide safe and welcoming

bathroom space. This need is heightened based on complaints the city has

received on the condition of the creek and creek path, as well as the ongoing

issues around main library bathrooms. (Please also refer to the Library

Commission letter in Attachment D).

• Hill Commercial District Pedestrian Lighting ($225,000) and Hill Connector

Alley ($840,000) – These two projects build on prior investments on University

Hill from the 2014 Community, Culture, and Safety Tax (Hill Pedestrian

Lighting, Hill Irrigation and Tree Replacement, and Hill Event Street) and align

well with other major city investments on University Hill (Pleasant Street

Parking Garage and Hotel and CU Event Center) to help achieve the University

Hill Reinvestment Strategy. (Please also refer to UHCAMC letter in Attachment

D).

• HOP Conversion to Clean Vehicles ($8.25 million) – The city-owned HOP fleet

is at the end of its useful life and replacement of these vehicles are a priority. The

Transportation Department has recently received a $1.5 million grant to replace

two of the existing busses. Replacement of the entire fleet would help advance

the city’s Climate and Transit goals as well as reducing noise pollution

downtown.

• Railroad Quiet Zone Improvements ($1.5 million) – There are six railroad

crossings within Boulder city limits. Due to a recent Federal Railroad

Administration regulation change, train horn noise has increased significantly in

the past several years, which effects nearly half of the city’s residents. Through

grant and CIP funds, transportation has funding to begin improvements to quiet

zones in the city core. The remaining funds would allow Transportation to

complete improvements on the entire corridor within the City of Boulder.

Question #3

Does city council want staff to prepare ballot language for the option of using debt

financing to add flexibility?

Considerations to PAYG

As discussed in previous memos to council, there can be challenges with pay-as-you-go

financing (PAYG):

• Inflation cost increases are a concern when using this pay-as-you-go (PAYG)

financing methodology. The longer that projects extend into the future, the higher

the risk of inflation costs eroding the scope and results of the projects. Therefore,

it is beneficial to lock-in contract prices as soon as the appropriate amount of

work is completed to prepare final accurate bid documents.

• The City of Boulder Charter requires that before a contract can be finalized, all

funds for the full contract must be appropriated. Since the actual tax amounts will

be collected over a five-year period, all funds for all phases of all projects will not

be available in 2018, if the tax is approved. This requires structuring projects as

phases and bidding work and entering into contracts as funds are available.

The use of short-term notes or bonds could help mitigate the planning challenges related

to PAYG financing. A portion of the annual revenue could be applied to debt service

associated with a bond issue. This type of funding provides a larger amount of money up

front to facilitate the completion of larger, more expensive projects.

Considerations to Debt Financing

The city would be able to finance up to the projected revenue for the duration of the tax

(including debt service payments), and the final maturity of the notes or bonds is limited

by the length of the tax, because there must be a stream of cash flow to make the annual

debt payments. The decision to finance via debt options should consider:

• Timeliness – A benefit of debt financing is to utilize flexibility by receiving

needed funds up front and dedicating it to projects that are ready. However, if the

city borrows funds and projects take longer than expected in public or review

processes, the city would find itself in the unenviable position of paying interest

on money that it cannot spend.

• Cost of Borrowing – The city would need to consider the inclusion of debt service

payments, which adds cost and could affect available funding and contingency

planning for projects.

• Time Value of Money - Due to overwhelming regional demand for contractors,

city staff have been experiencing annual increases in construction costs often

exceeding ten percent. Debt financing would add the flexibility to start projects

sooner (assuming project readiness and staff capacity exist), avoiding potentially

years of inflationary pressure on construction costs.

Table 1: Distribution of Estimated Project Readiness for Five-Year Package with Surplus

and Gaps

(Note: as mentioned above, the chart demonstrates estimates based on best available

information to date and there are factors that may influence actual expenditure timing

including approval processes, resource availability, and project phasing.)

The PAYG financing structure was a concern in the 2014 Community, Culture, and

Safety planning process, however it wasn’t a limiting factor in the implementation,

because project readiness and phasing “smoothed” over time in alignment with incoming

revenue. The “smoothing” occurred because:

• While city project managers set aggressive project timelines and delivery (as

displayed in Table 1), they are committed to an inclusive public process to ensure

that the community’s needs and expectations are met. This often results in a

longer planning and design process than originally anticipated.

• Staff was able to phase design, planning, and construction in a way to ensure that

projects were not unnecessarily delayed while waiting for appropriations.

Given the success of PAYG financing for the Community, Culture, and Safety Tax,

projects in the proposed 2017 tax renewal could mimic processes established in the

originating tax.

Having the authority to issue debt could provide planning flexibility. An authorization

does not require the city to issue debt, but provides the flexibility to do so in the case one

or more projects are ready on an accelerated timeline.

NEXT STEPS

Staff will take council’s input and recommendations and prepare draft ballot language for

council’s first reading at the August 1 council meeting. Second reading of the ballot

language is scheduled for August 15th. The latest date that ballot language can be adopted

is September 5th.

-

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

One Year 1-3 Years 4 Plus

Expenses Revenues

STAFF RECOMMENDATION

Based upon staff review of the projects recommended by the Advisory Committee, staff

is recommending that the City Council consider placing a 5-year extension of the 0.3

percent temporary sales and use tax on the ballot in November 2017 that would include

the following projects:

City Projects:

Radio Infrastructure - $6.0 million

Library - North Boulder Branch - $6.0 million

Relocate Fire Station #3 - $13.0 million

Scott Carpenter Pool - $6.2 million

Public Art - $1.5 million

Fourmile Canyon Creek Greenways Improvements - $4.25 million

Facilities Maintenance Backlog - $3.2 million

Total City Projects: $40.2 million

Community Projects:

Growing Gardens - $87,000

Community Cycles - $822,500

Meals on Wheels - $1.6 million

Studio Arts Boulder - $1.75 million

Center for Resource Conservation - $1.4 million

Boulder Museum of Contemporary Art - $6.0 million

KGNU – $1.25 million

Total Community Projects: $12.9 million

Contingency: $2.0 million

Grand Total: $55.1 million

Finally, staff recommends including a question on the ballot that would allow the city to

increase debt to fund city and non-profit capital projects in the City of Boulder.

ATTACHMENTS A. Committee Recommendation

B. Project Descriptions

C. Community-Based Projects Analysis

D. Advisory Board and Commission Feedback

E. City Unfunded Projects List

F. Studio Arts Boulder’s letter to City Council

G. BMoCA Board of Directors’ Statement

ATTACHMENT A – Committee Letter

June 8, 2017

Mayor Jones

Members of the Boulder City Council P.O. Box 791 Boulder, CO 80306

Re: Capital Improvement Sales Tax Renewal Recommendation for 2017

Dear Mayor Jones and Members of the Boulder City Council:

The Capital Improvement Tax Renewal Committee appreciates the opportunity to provide City Council

with its recommendations for a capital investment ballot item. The committee has been working since

March to evaluate projects, timing and voter appeal of a potential renewal of the 0.3% sales tax that

funded the Community, Culture and Safety package of community investment. The 2015 Community,

Culture, and Safety Capital Investment Tax included a range of projects that provide significant benefit

to the community. This Committee’s recommendation aims to ensure that a tax renewal in 2017

provides similar, if not more benefit, and is a proposal that voters will support.

The committee also wishes to express deep appreciation to staff for their expertise, incredibly hard

work, consistent professionalism, and ability to facilitate vigorous yet respectful discussion. They helped

drive our diverse group toward a consensus recommendation that we believe provides a strong

foundation for Council’s deliberations.

The committee recommends putting a 5-year extension on the 2017 ballot that includes the city and

community projects listed below. We also provide a list of projects we would prioritize to be funded

either with an extension to 7 years or if the revenue from the tax is higher than estimated. This

recommendation is based on the guiding principles and considerations listed below.

Information with the list of projects and committee work around ranking is attached. In several cases,

some of the guiding principles and considerations have not yet been met and additional due diligence is

recommended. Nevertheless, we believe that staff has the skills and expertise to appropriately structure

the funding to mitigate tax payer risk and ensure close alignment with the overarching principles and

considerations.

Recommended 5-year sales tax extension to include the following projects ($53M):

Radio Infrastructure - $6 million

Growing Gardens - $87,000

Community Cycles - $822,500

Library – North Boulder Branch - $6 million

Relocate Fire Station #3 - $13 million

Scott Carpenter Pool - $6.2 million

Studio Arts Boulder - $1.75 million

Facilities Maintenance Backlog - $3.2 million

ATTACHMENT A – Committee Letter

Meals on Wheels - $1.6 million

KGNU – $1.25 million

Center for Resource Conservation - $1.4 million

Fourmile Canyon Creek Greenways Improvements - $4.25 million

Boulder Museum of Contemporary Art - $6 million

Public Art - $1.5 million

Projects for additional 2-year extension (estimated at $28M) or as potential to fund if revenues exceed

projections.

These are not in priority order. The committee views the decision to extend beyond 5 years as a

prerogative of the City Council.

Fleet Facility Repairs and Upgrades - $1.5 million

Hill Pedestrian Lighting - $225,000

Valmont City Park, Phase 2 - $4.45 million

Railroad Quiet Zones - $1.5 million

Violet Park piece of Fourmile Creek - $2.4 million

Boulder Reservoir South Shore - $7.6 million

Downtown Boulder Partnership - $2 million

HOP Conversion - $750,000

Civic Area Phase 2, Central Park and East Bookend - $8 million

Guiding Principles

The committee developed guiding principles to guide our recommendation; working to develop a

package of projects that:

1. Benefits a broad cross-section of the city, including various geographies and underrepresented

groups;

2. Aligns well with multiple city master plans or furthers more than one of the city’s key goals:

sustainability, livability, addressing infrastructure deficiencies, and health & safety;

3. Does not create significant additional operating and maintenance expenses or future capital

investments that are not already addressed in the project plan;

4. Represents good return on investment in terms of the impact to the community compared to

dollars invested; and

5. Has minimized risk by including low risk projects and/or by using funding milestones and other

means to mitigate completion and operating risks.

The committee recognizes the importance of including seven community-based projects in the 5-year

package, with 23.6% of the funding ear-marked for these needs. We considered the following factors in

selecting these projects:

1. Does the project address a need that can’t be met through the private sector alone and without

a new facility/capital investment?

ATTACHMENT A – Committee Letter

2. Does the new facility/expansion build upon the organization’s mission and core competencies?

3. Does the organization appear to have the organizational and financial ability to build and

operate the facility?

4. Would this investment improve the likelihood of voter support for the tax extension?

5. Does this investment adequately and optimally leverage public dollars?

6. What matching funds are available or needed to proceed? Is there demonstrated community

financial support?

7. What is the project readiness? Many community projects not recommended for funding have

merit but the timing, completeness of public process and planning and design were not

appropriate for this time and funding source.

Other considerations that informed the recommended package include:

A high degree of committee agreement on including a rich mixture of projects that addresscritical deficiencies, improve infrastructure, enhance Boulder being “Boulder”, support active-living, improve community spaces and support community groups.

Funding facility maintenance backlog is funding well-spent now since these necessaryimprovements will likely cost more down the line.

The need to balance maintaining and enhancing infrastructure of existing city or communityfacilities with expanding the scope of what’s available in the city.

Some terms we suggest for describing the recommended package include: safe, diverse, culture,active, unique, invigorating, well-rounded, responsible, and FUN.

Bond Considerations At the beginning of the project, staff discussed the pros and cons of using debt financing to construct capital projects. If staff determines that it is in the best interest of the city, the committee supports asking the voters for the ability to bond in order to fund projects sooner rather than waiting to allow funds to accumulate over time. Should the ballot items pass, considerations of project-readiness, increasing construction costs, and ability to construct should inform the use of bonding.

Looking Forward Regardless of any ballot initiative approved by Council, the Committee wants to express its concern about the fact that several seemingly critical infrastructure maintenance projects have been deferred by the City. Committee members were shocked when we learned of shortfalls in funding for facilities maintenance, police and fire radio infrastructure, and fire station relocation. This put the committee in an awkward position of deciding whether to recommend inclusion of these projects in the Capital Investment Tax Renewal, because either (A) doing so could send the message and set a precedent that we are comfortable using this short-term, expiring tax to fund such critical projects, or (B) not including them could lead to continued shortfalls and lack of investment. We note that Appendix A: Unfunded Projects of the 2017-2023 CIP describes a lack of continuous process for renewal of all city capital assets and believe that the City and Council needs to rapidly address this situation.

ATTACHMENT A – Committee Letter

Sincerely, The Capital Improvement Sales Tax Renewal Committee

Tyler Adams

Greg Brown

Leslie Durgin

Barbara Gutmann

Davis Hart

Diane Jones

Deborah Malden

Jim Mapes

Chris Miller

Ann Moss

Manuela Sifuentes

Tara Winer

Attachment B: Project Descriptions

5-Year City Projects

Fire Station #3 Relocation Ready in 2018-2020

Total Cost: $13,000,000 Unfunded Need: $13,000,000

Description: Fire Station 3, located at 1585 30th St., is outdated, inefficient, undersized and located in the 100-year flood plain. Relocation will allow for better service delivery to a significant part of the city that is not currently within a four-minute response time (industry standard) of any of our fire stations. This station is consistently identified as a high priority unfunded project due to its location in the flood plain, high energy use, and limited capacity. Relocation to a new facility will significantly help the city achieve and maintain energy goals. Learn more: www-static.bouldercolorado.gov/docs/fire-master-plan-1-201306031433.pdf Population served: Serves approximately 32,000 Boulder residents.

Planning: The Fire Department Master Plan specifically addresses the need to relocate Station 3 out of the floodplain. This planning effort will be similar to other commercial developments; preliminary planning, design, and cost estimation is already complete.

Operating cost impacts: The relocation of Fire Station 3 will reduce facility maintenance and energy costs. In addition, the new station will allow for community and shared meeting space that could be used by other departments in the city, increasing shared space usage.

Opportunities, challenges, and considerations: A new station will significantly improve response coverage to a rapidly growing portion of the city. In addition, the station will allow for existing fire response resources to be repositioned and increase the efficiency of department operations while allowing for a potentially increased scope of emergency medical service (EMS) delivery.

Facilities Maintenance Backlog Ready by 2018

Total Cost: $4,800,000 Unfunded Need: $3,200,000

Description: Maintenance backlog of 164 items identified in facilities assessment in the following areas: roof maintenance, fire protection systems, building envelope repairs, interior finishes, and miscellaneous repairs.

Planning: These projects are in the 2016 facilities assessment and 2017 outdoor lighting assessment. Most projects require little design work and can be phased throughout the duration of the tax.

Operating cost impacts: The maintenance backlog will repair and replace building systems which are beyond their service life. A complete replacement of these systems will reduce ongoing minor repairs needed to maintain functionality.

Opportunities, challenges, and considerations: Per the advisory committee’s recommendation, staff will be looking for sustainable strategies to fund ongoing maintenance and replacement of facilities during the budget process.

Attachment B: Project Descriptions

Fourmile Canyon Creek Improvements: 19th Street to Broadway

Ready in 2021

Total Cost: $12,100,000 Unfunded Need: $4,250,000

Description: Construction of a multi-use path connection between 19th Street and Broadway and the replacement of two structurally deficient bridges at Violet Avenue and Upland Avenue with bicycle/pedestrian underpasses that also serve a flood benefit. The project provides a missing link in the path system, with safer access to Crest View Elementary School for pedestrians and bicyclists. It also provides improved vehicular access on 19th Street, which is an emergency access route, during a major storm event. Capital tax funding is for non-flood improvements. This project’s service area affects approximately 21,000 residents. More info: www.bouldercolorado.gov/flood/fourmile-canyon-creek-greenways-improvements Population served: 21,200 people in 2014

Planning: Concept level design is complete, and Community & Environmental Assessment Process Report completed in June 2016, including public outreach. Significant engineering design and project planning will be required, including flood and wetland permits.

Operating cost impacts: Approximately $10,000/year for snow plowing, trash and graffiti removal and channel maintenance, to be likely funded through transportation and utilities.

Opportunities, challenges, and considerations: This project achieves multiple objectives and is shown in the Transportation Master Plan, Greenways Master Plan and Fourmile Canyon Creek Flood Mitigation Plan. It provides infrastructure to two mobile home parks.

Library- North Boulder Branch Ready in 2021-2024

Total Cost: $8,000,000 Unfunded Need: $6,000,000

Description: The North Boulder Library Branch will be a new full-service branch library with community meeting space, room for partner organizations, and connections to draw the community together. Population served: 45,000 visitors in 2016 which represents capacity for small corner library.

Planning: The 2007 Boulder Public Library Master Plan update is scheduled for completion in winter 2017, which will likely address future branch recommendations. Complete design will be required for the new branch.

Operating cost impacts: Ongoing operations of the North Boulder Library Branch is estimated to be an increased operating expense of approximately $350K. New operating costs will likely be addressed in 2019 or 2020 budgets.

Opportunities, challenges, and considerations: The 21st century library is an anchor for community gatherings, as well as a place for books and programs. It fulfills a goal to increase outreach to underserved populations through its proximity some of Boulder’s most diverse neighborhoods.

Attachment B: Project Descriptions

Public Art Ready now

Total Cost: $1,500,000 Unfunded Need: $1,500,000

Description: This project will develop and install a series of public art projects throughout the city. Final projects will be reviewed in the 2018-19 Public Art Implementation Plan and will likely include a mix of small and large works in various public spaces across the city. A mix of locations will be considered, including: a) sites associated with other projects funded by this tax renewal, b) artwork associated with capital projects funded in other ways, and c) independently sited artworks that address areas that are comparatively lacking in public art.

Planning: This project is in alignment with Community Cultural Plan and Public Art Policy goals, specifically, the Community Cultural Plan’s priority to “focus on the expression of culture and creativity in the public realm through public art, the urban landscape, culture in neighborhoods, and serendipitous encounters with the arts.” As a part of the 2018-19 Public Art Implementation Plan, details will include final details on site, budget, technical review, and selection process. The coordination of selection, construction, and maintenance will be governed by the Public Art Policy. If a project is integrated into a CIP project, project readiness and schedule will vary based on the “parent project” timeline.

Operating cost impacts: The Office of Arts and Culture will coordinate maintenance and other ongoing costs. This cost will be established during the selection and design processes.

Opportunities, challenges, and considerations: This funding will continue to set the foundation for an established art program that is line with similar communities.

Radio Infrastructure Ready in 2018

Total Cost: $6,000,000 Unfunded Need: $6,000,000

Description: This system is critical for Police and Fire and will also benefit other departments that are dependent upon the city’s radio infrastructure: Open Space & Mountain Parks (OSMP), Parks & Recreation, and Public Works. The current radio infrastructure has begun to experience issues with performance such as coverage, quality of the communications, and equipment reliability. The existing system is over thirty years old, and many components are beyond recommended lifecycle and are no longer available. Implementing a modern system will increase the city’s ability to communicate cross-departmentally and with other county, state, and mutual aid agencies, as well as make necessary improvements to infrastructure and process.

Planning: Radio Infrastructure Assessment was completed December 2016 and procurement efforts are currently ready to be finalized if funding is approved.

Operating cost impacts: A new system will reduce near-term equipment and site maintenance costs and consolidate tower sites. Additionally, the city has an opportunity to lease decommissioned towers to other providers and generate revenues for the city.

Opportunities, challenges, and considerations: A new system will improve operability and close many significant gaps in coverage. Gaps will continue to grow as the current infrastructure ages.

Attachment B: Project Descriptions

Scott Carpenter Pool Replacement Ready in 2018

Total Cost: $14,200,000 Unfunded Need: $6,200,000

Description: This premier project provides a new bath house, lap pool, family leisure pool, water slides, shade structures, parking expansion, and various park other improvements. With over 30,000 visits per year, this is a unique, accessible asset for Boulder as its only 50-meter outdoor pool and provides an affordable option for families and elite athletes alike. The pool is in critical condition and at risk of failing due to its age and deficiencies. As a central destination, Scott Carpenter Park contributes to community health and wellness. It builds neighbor relationships and economic vitality, as well as contributes to sustainability measures due to a variety of facilities, programs and events. Learn more: www.bouldercolorado.gov/parks-rec/scott-carpenter-pool-replacement Population served: 30,000 visits per year

Planning: The Scott Carpenter Pool has been a top priority for many years in the community, as evidenced in the 2015 Aquatics Feasibility Plan. This project is well planned and only lacks additional funding to become reality. The land is city-owned, the concept plan is complete and final design is underway with construction pending final approval. This project aligns with the Boulder Parks and Recreation Master Plan to “Take Care of What We Have.”

Operating cost impacts: New facilities added to the site will require an increase of approximately $300K in operations and maintenance (O&M) if continued as a seasonal pool facility open from May to September, and staff have identified opportunities to fund this increase. However, if the pool is enclosed and becomes year-round, the O&M implications could increase to around $1.7M. Staff have not yet identified opportunities to fund the increase for the year round option.

Opportunities, challenges, and considerations: If funding is secured, construction will begin in the fall of 2018. However, if an enclosure is desired for year-round use, in addition to securing the O&M funding required, a variety of factors will impact the design and construction schedule. This could include code compliance, site constraints, constructability and additional public involvement.

Attachment B: Project Descriptions

5-Year Community Projects

Boulder Museum of Contemporary Art Ready in 2020

Total Cost: $12,000,000 Funding Recommendation: $6,000,000

Description: This funding will enable an expansion of the current facility, which is necessary for the organization to sustain its current levels of growth and provide the best service for the community. The expansion project includes the addition of a new structure south of BMOCA’s current building which will provide education and exhibition spaces enabling BMoCA to serve over 85,000 visitors each year, almost double its 47,000 visitors in 2016. The project also includes upgrades to the interior of the current building that will honor its history and architectural significance. The expanded facilities will enable BMoCA to expand community uses and education programs, while concurrently improving and expanding its exhibit space. Learn more: www.bmoca.org Population served: 47,000 visitors in 2016

Planning: BMoCA’s vision is to expand its facilities to the adjacent lot of roughly 12,000 square feet south of the current location, up to the alley and to the center of the block that stretches from 13th to 14th Streets. BMoCA has a conceptual plan for the site, but will work closely with the City of Boulder though the Civic Area planning process to ensure that the expansion is consistent with the goals of the Civic Area plan.

Operating cost impacts: BMoCA is committed to providing affordable access to the arts for all members of our community and subsidizes entry fees through fundraising efforts. Increased exhibit space will allow BMoCA to provide more consistent year-round programming, better utilizing the space and increasing revenues.

Opportunities, challenges, and considerations: The city is planning the “East Bookend” of the Civic Area (where BMoCA is located) as part of the implementation of the Civic Area Master Plan. BMoCA has indicated its willingness to participate in that planning, during which issues such as establishing a Public Market Hall, accommodating city facilities, parking (including parking for BMoCA), and flood issues will be addressed. These issues are interrelated to BMoCA’s plans. The city owns the land and building at 1720 13th Street, which is the site onto which BMoCA proposes to expand. If BMoCA were to occupy that site, the city likely would incur operating costs (and potentially capital costs) to relocate the city functions currently in that building.

Attachment B: Project Descriptions

Center for Resource Conservation Ready to break ground in 2019

Total Cost: $2,800,000 Funding Amount: $1,400,000

Description: The ‘Zero Waste Community Center’ is based on an approved Site Review (“Phase II” of 6400 Arapahoe) that provides recycling and reuse services in collaboration with 3 nonprofit partners: Center for Resource Conservation, Eco-Cycle, and Blue Star Recyclers. The current site design includes three new structures: a covered retail area, warehouse with offices, a lumber de-nailing area, and improved drop-off areas. This capital tax will help fund these buildings that will provide expanded office, warehouse, and community space for ReSource, Eco-Cycle, and Blue Star Recyclers. It also represents a foundation for future “Phase III” development on the site, that will include a creative reuse center, workshop and gallery space for arts re-use activities, retail space for low-cost upgraded computers, and small business incubator space for reprocessed waste materials. Ultimately, this site will cater to an expanded list of underserved populations including special needs adults, youth, low-income families, the arts and creative communities. Currently, CRC serves roughly 80,000 program participants annually, this funding would help CRC achieve its goal of doubling the number of visitors by 2022. Learn more: www.conservationcenter.org Population served: 80,000 program participants per year

Planning: With an approved Site Plan already in place, breaking ground would occur in 2019. City staff will facilitate a Letter of Intent between the city, Boulder County, and the existing and future nonprofit tenants to cover joint planning and funding.

Operating cost impacts: Additional facility space will increase the nonprofits’ operating and staffing costs, which will be offset by additional revenues. City Trash Tax funds will be available to uphold the city’s obligations for long term facility repair and replacement as per the city standard for nonprofit leases on city-owned property.

Opportunities, challenges, and considerations: The current land and facilities are city-owned, and these improvements are aligned with the city’s ultimate vision for the site as described in the Strategic Development at 6400 Arapahoe Memo to Council on May 31 2016. For Phases II and III to be successful, all involved nonprofit organizations will need to raise funds, and City Council will be asked to approve longer term leases to support their investments.

Attachment B: Project Descriptions

Community Cycles Ready in 2018

Total Cost: $2,250,000 Funding Recommendation: $822,500

Description: The requested funds will contribute to a new facility, which will triple the amount of space available to Community Cycles and better serve the Boulder community. The organization currently implements a broad range of education and outreach programs, including the Earn A Bike program for low-income people (including the homeless and people recently released from county jail), Kids’ Holiday Bike Giveaway (400 bikes per year to low-income children), Transitions bike apprenticeship program for disabled youth, workshops, safety education at all levels, and a Do-It-Yourself bike maintenance and repair shop. All programs are highly used and desired by the community. Community Cycles’ daily work helps implement 30 goals and objectives from 6 community-adopted city plans related to transportation, recycling, social services, and sustainability.

The organization has outgrown its existing space and faces severe scheduling and logistical challenges in implementing current operations. It is unable to expand existing programs to meet demand, or implement new programs. This new space will increase retail operations (sales of recycled bicycles), and expand its safety, education and outreach services by having the ability to run concurrent programming and events. All programs -- bike shop, community outreach, and advocacy -- benefit both cyclists and the broader community. The programs reflect important community values, including inclusivity, and support for struggling and low-income people in the community in the form of reliable, inexpensive transportation as well as job training.

Learn more: www.communitycycles.org Population served: 3,000 program participants per year

Planning: The organization will purchase a ground-floor retail space in a multi-use building in the S*PARK development in Boulder Junction, with affordable housing units on the two floors above. Construction of the development that will house the new facility is under way at the former Sutherlands Lumber Yard location in the Boulder Junction at 3390 Valmont Road, Boulder.

Operating cost impacts: Community Cycles leases its current space at market rates, due to the high demand for light industrial/ warehouse space. The new facility will be owned without a mortgage, resulting in significant monthly savings. The organization currently pays utilities; however, with S*PARK’s LEED-Platinum design, a utilities increase is not expected despite the additional square footage.

Opportunities, challenges, and considerations: Community Cycles’ programming, mission, and daily work strongly align with several city plans, including the Transportation Master Plan (TMP), TMP Action Plan, Zero Waste Strategic Plan, Human Services Social Sustainability Plan, and the city’s recently approved Climate Commitment.

Attachment B: Project Descriptions

Growing Gardens Ready in 2018

Total Cost: $714,000 Funding Recommendation: $87,000

Description: Growing Gardens is requesting funds to help complete its Pollinator Pavilion, which will house administrative offices, a workshop, conditioned meeting space, restrooms, and a central covered area for harvesting and processing of produce. This funding would enable them to complete the construction of the building, build a professional quality kitchen with exhaust hood and outdoor shed with walk in cooler, and have solar panels on the roof ($14,300 has been granted by the City of Boulder’s Solar Energy program) to help Growing Gardens continue to grow the local organic food system and ensure that low-income families have access to fresh, healthy food. Growing Gardens counts over 24,000 involved community members, including 6,900 children and 250 teens.

Learn more: www.growinggardens.org Population served: 24,000 community members per year

Planning: Planning for the project is complete. Over $600,000 has been raised to date, and major construction is expected to be completed in January 2018. Additional improvements will be made as funding is available, so this funding could be utilized anytime between January and December 2018.

Operating cost impacts: This space will allow Growing Gardens to eliminate current rental and facility costs, shelter rentals, and sanitary facility rentals. It will also increase revenues as it will free up additional growing space in their greenhouses, resulting in increased revenues from the annual plant sale.

Opportunities, challenges, and considerations: The proposed project aligns with several components of the Boulder Valley Comprehensive Plan’s strategy for Agriculture and Food, including: Local Food Production, Sustainable Agriculture, Urban Gardening and Food Production, and Access to Locally Produced Food.

Attachment B: Project Descriptions

KGNU Ready in 2019-2020

Total Cost: $2,500,000 Funding Recommendation: $1,250,000

Description: Expand and modernize the current KGNU facility, located at 4700 Walnut Street in Boulder, into a 21st century, energy efficient, permanent media training and multicultural Community Media Center. To achieve KGNU’s vision to provide a more adequate space that attends the growing needs of an increasingly young and diverse community to actively engage in the production and dissemination of information, the organization will add a second floor to the existing structure, offering a permanent media makers training space. The expanded, modernized and energy efficient building will include an economically accessible 75-100 person auditorium for community and multicultural events, live performances, public debate, and live broadcast. The updated building will be handicap-accessible and include: family-friendly and gender-neutral bathrooms, a designated lactation expression space, bicycle friendly access, ample parking, car charging ports, and a mobile

studio for remote community media trainings, events and community coverage. KGNU has over 240,000 monthly listeners on-air and via digital streaming, and over 80,000 + web and mobile visitors each month. Learn more: www.kgnu.org/ht/aboutus.html Population served: 240,000+ monthly listeners on-air and via digital streaming

Planning: Red Pencil Architecture, a licensed Architect Firm in Boulder County drafted an initial concept design for KGNU. Paul Liscom Construction, who supervised the original 2000 building renovation for KGNU, based the cost estimate on the vision to become LEED certified, considering the engineering and foundation analysis, geological investigation, the insulation and possible siding upgrades that would need to be incorporated to achieve LEED within the overall expansion and modernization of the current facility. KGNU will begin site review and LEED certification work once the ballot measure has been approved.

Operating cost impacts: The increased space will not result in a major increase in operating costs. Studio, performance space and membership fees will help contribute to maintenance reserves. Tiered training fees will generate revenue required to stipend trainers, a community space coordinator and create a diversity scholarship fund. The transition to a LEED-certified building will reduce overall utility costs. The digital upgrade will be increasingly plug and play, lowering monthly engineering costs required to maintain an aged analog installation.

Opportunities, challenges, and considerations: The Community Cultural Plan indicates that new venues may address the gaps and issues of accessibility that face artists and presenters. In addition, the Cultural Plan recommends strategies to supporting the creative workforce and youth in industries such as broadcast, production, and music.

Attachment B: Project Descriptions

Meals on Wheels Ready in 2018

Total Cost: $5,100,000 Funding Recommendation: $1,600,000

Description: The purpose of this project is to build a new facility for Meals on Wheels of Boulder that will be an asset to the community and an investment in Boulder’s future. Land valued at $1.8-$2M has been donated in the Mackenzie Junction development located at 0 Diagonal. The current facility in the West Boulder Senior Center is at capacity and continuing operation there is not part of the new Civic Area Plan. This new facility will allow for expanded meal delivery services to more Boulder area adults as the population ages, as well as more offerings on-site, such as a CSA program, classes and opportunities to share space with other organizations. At its current facility, Meals on Wheels prepared over 77,000 meals, serving over 2,000 Boulder residents.

Learn more: www.mowboulder.org Population served: 2000+ people and 77,112 meals

Planning: Meals on Wheels has been working with capital campaign consultants since 2015 to prepare to launch a capital campaign for this project. The organization has been working with the developer and contractors since mid-2016 to develop the concept and plan for the facility. The entire Diagonal Crossing Project site review was approved in April, 2017, and special ordinance for the commercial kitchen was approved in June, 2017. Coburn Architects is working on final design, costs and timeline for construction.

Operating cost impacts: The new facility will result in increased costs. However, increased revenues will be provided by additional services that the current kitchen cannot presently offer. There will be opportunities to grow additional sources of income diversification through shared use of office space, commercial kitchen space and catering opportunities.

Opportunities, challenges, and considerations: This expansion is preparation for the coming “Silver Tsunami” as the community’s Baby Boomers age. Meals on Wheels provides a single source service to the community which is aligned with the city’s Human Services Strategy under the following goal: Health and Well Being - Residents can access resources to optimizetheir physical, mental and social well-being.When and if MOW moves from the West SeniorCenter, it would enable the city to integrate allHS programs at the West Center to providemore comprehensive services at a singlelocation.

Attachment B: Project Descriptions

Studio Arts Boulder Ready in 2020

Total Cost: $5,000,000 Funding Recommendation: $1,750,000

Description: Studio Arts Boulder’s mission is to cultivate the artist in each of us by inviting creative collaboration in the study, practice, and advancement of the studio arts. The “studio arts” require equipment, facilities, safety precautions, and instruction which are beyond the means of most individuals. Studio Arts Boulder has an opportunity to build an approximately 11,000 square foot custom-made facility dedicated to community studio art education. This building is part of the proposed Diagonal Crossing development (Lot 7, 3600 State Hwy 119, Boulder) at the intersection of 47th Street and Independence Road. The new facility will include studios for expanded media, including: ceramics (in addition to programs at the Pottery Lab), woodworking, printmaking, and some flexible studio space to incorporate metal arts, fiber arts, glass, and technology arts. In 2016 Studio Arts provided over 22,000 hours of programming to over 1,600 program participants. Learn more: www.studioartsboulder.org Population served: 1676 program participants in 2016

Planning: The Studio Arts Boulder building is to be located on Lot 7 of the Diagonal Crossing Project. The entire Diagonal Crossing Project site plan was approved on April 20, 2017. The architectural concept plan for the building is in development. Construction documents will be submitted in 2018.

Operating cost impacts: Operating costs for the new facility will be covered through a combination of class fees and fundraising. As a nonprofit organization, Studio Arts subsidizes fees through grants and donations to ensure wide access to affordable classes.

Opportunities, challenges, and considerations: This new facility would enable Studio Arts to expand its offerings while maintaining operations at the very popular pottery lab. The Community Cultural Plan recognizes the value of strong community participation in arts enrichment. Studio Arts will have to ensure that it works with local artists to ensure that its programs are supplementing, rather than competing with current arts enrichment and education classes in the community.

Attachment B: Project Descriptions

City Projects for 7 Years or If Additional Revenues Are Available

Boulder Reservoir South Shore Enhancements Ready in 2018

Total Cost: $11,600,000 Unfunded Need: $7,600,000

Description: These enhancements will address the backlog of maintenance that exists within the South Shore Management Area-related visitor amenities. A new visitor services center will be provided, as well as enhancing boating amenities and improved shade features, ADA accessibility, beach area, play areas, and concession area. Key path connections for recreation and commuters along 51st Street and through the South Shore area will be added. With over 300,000 visitors annually, the site hosts several special events that are signature to Boulder tourism.

Learn more: https://bouldercolorado.gov/parks-rec/south-shore-site-management-plan Population served: 300,000 visitors per year

Planning: The land is city-owned; the concept Plan is complete and can transition immediately into final design and construction. This is a top priority for the community in the BPR Master Plan, Boulder Reservoir Master Plan, and through PRAB approval of the Visitor Center Concept Plan.

Operating cost impacts: South Shore Enhancements will reduce a significant backlog of deferred maintenance and associated costs. While operating costs are likely to increase to support new and improved facilities, upgraded facilities are anticipated to provide enhanced opportunities for cost recovery and revenue generation through new vendor and partnership opportunities, as well as more efficient use of facilities across a longer season.

Opportunities, challenges, and considerations: South Shore Enhancements will modernize the Boulder Reservoir Regional Park, securing its reputation as the region’s premier location for water-based recreation. Enhancements are aimed at providing the highest level of service and amenities across the entire spectrum of the city’s demographic. Careful planning will aim to ensure that new operational costs are offset by revenue and cost sharing opportunities.

Attachment B: Project Descriptions

Civic Area Phase 2- Central Park and East Bookend Development

Ready between 2018-2020

Total Cost: $8,000,000 Unfunded Need: $8,000,000

Description: This next phase of Civic Area implementation will develop the community-supported Public Market by renovating the existing Atrium building at 13th and Canyon. To compliment this phase, the adjacent Central Park will be renovated and improved to better support an active market, events and programs within the East Bookend. Additionally, this phase will provide a public restroom, enhancements to 13th Street, and opportunities for a variety of public/private partnerships.

Learn more: www.bouldercolorado.gov/civic-area

Planning: The planning for this phase would be moderately complex and involve parking studies, city staff relocations, ditch company coordination, floodplain analysis, and engineering and architectural design. Conceptual plans have been developed for all the park areas, as well as the East Bookend. A more detailed study is complete for the Atrium Building based on engineering and architectural study.

Operating cost impacts: This will be determined upon final design. A moderate increase above current O&M is anticipated due to new amenities and a higher level of care. A variety of city departments will contribute to fund the O&M similar to current phase one improvements west of Broadway.

Opportunities, challenges, and considerations: Given the ability to scale the scope of the project, staff have provided options for proposed projects. In response to several of the community-driven proposals submitted to the committee and to reflect the ongoing collaborations exploring a future Public Market Hall, the Civic Area team proposed:

• Enhance Atrium component to accommodate community-driven “pop-ups” (approximately $1,000,000)

• Add two additional public restrooms in the Civic Area (approximately $500,000)

Attachment B: Project Descriptions

Fleet Facility Repairs and Upgrades Ready by 2018

Total Cost: $1,400,000 Unfunded Need: $1,400,000

Description: This project addresses critical maintenance backlog at the city's fleet facility, as well as upgrades to promote the use of alternative fuels, prolong the life of fleet vehicles and share costs with external agencies. The fleet facility is now 28 years old and is in need of major repairs, replacements, and upgrades.

Learn more: www.bouldercolorado.gov/public-works/fleet-services

Planning: This project is identified in facilities assessment and 2010/2015 parking lot assessment inventory. Little to no planning or design required. Design for repairs and replacements would be minimal.

Operating cost impacts: Fleet is an internal service fund, and it generates all its revenue to cover all its costs. These repairs and upgrades would lower Fleet’s costs for services to the rest of the city departments; thereby, having an impact city-wide in lowering operating costs.

Opportunities, challenges, and considerations: Facility upgrades will promote the use of alternative fuels, reduce Greenhouse Gas emissions of Fleet services, provide equipment to mechanics that’s safer and much less prone to breakdowns, and create a safer working environment.

Hill Commercial Area Pedestrian Lighting Replacement Ready now

Total Cost: $225,000 Unfunded Need: $225,000

Description: Replacement of 20-year-old fixtures to improve the night-time safety and the attractiveness of the commercial district, namely 13th Street and College Ave. Improved lighting for safety is called out as a priority in the 2016 Public Perception Survey. The Community, Culture & Safety tax paid for installation of pedestrian lighting in key residential corridors. This project would extend the lighting improvements into the Hill Commercial District.

Learn more: www.bouldercolorado.gov/commercial-districts/university-hill

Planning: Both the light pole footings and electrical access are already in place. Possible electrical improvements may be necessary to meet standards for updated LED fixtures. Project approvals have already been received.

Operating cost impacts: This project should reduce operating costs; replacement parts for existing fixtures must be custom manufactured at great expense. Modern fixtures are more energy efficient and reduce energy costs.

Opportunities, challenges, and considerations: This project supports the goals of the University Hill Reinvestment Strategy and would be simple to implement. This is a relatively inexpensive means to improve the safety and attractiveness of one of the city’s oldest commercial areas. Prior to the 2014 Community, Culture, and Safety tax, no significant capital investments had been made to the commercial district since the Hill Sketch Plan was adopted in the 1990s.

Attachment B: Project Descriptions

HOP Conversion to Clean Vehicles Ready by 2018-2020

Total Cost: $2.25 million to $9.5 million Unfunded Need: $750,000 to $8 million

Description: This capital expense is scalable in increments of $750,000 for electric (or other clean fuel technology) vehicles. HOP vehicle replacement is a high priority and immediate need. The HOP is a high profile and frequent service transit route that serves a high number of citizens. Electrifying the fleet meets both greenhouse gas (GHG) reduction goals and Transportation Master Plan (TMP) goals. The City of Boulder has received a $1.5 million grant for two electric busses.

Learn more: www.bouldercolorado.gov/transportation/alternatively-fueled-vehicles-public-bus-fleet

Planning: Little to no planning/design effort is required. Project approvals have already been received.

Operating cost impacts: Operation and maintenance costs for the electric busses are expected to be similar to diesel fuel type busses that are in operation today.

Opportunities, challenges, and considerations This project is consistent with Climate Action and Transportation Master Plan Goals. HOP is the signature local branded bus route and will continue to provide for community mobility for the future.

Railroad Quiet Zone Improvements Ready by 2018-2020

Total Cost: $2,800,000 Unfunded Need: $1,500,000

Description: The objective is to address train horn noise impacting communities in and around Boulder. This funding request is for crossings located within the city jurisdiction. This project is consistent with the investment priorities of Transportation Master Plan (TMP) and one that is being highly and frequently requested by members of the community. It is causing disruption to the quality of lives of citizens due to train noise occurring so frequently and severely during the night hours.

Learn more: www.bouldercolorado.gov/transportation/rrqz

Planning: 50% of the effort is already underway with extensive stakeholder coordination and public engagement, PUC Approval, BNSF Approval, and FRA Approval. It is expected that another year will be needed to obtain approvals. However, construction will not difficult or time consuming. A preliminary design level of engineering and cost estimates has already been received.

Operating cost impacts: Staff expect that there will be minimal to no increase in operating costs to implement the Quiet Zone Improvements.

Opportunities, challenges, and considerations: Funding is already approved for “city core” crossings. This funding would allow the city to complete the remaining crossings located within city limits.

Attachment B: Project Descriptions

Valmont City Park Development Phase 2 (South of Valmont Road)

Ready between 2018-2020

Total Cost: $8,450,000 Unfunded Need: $4,450,000

Description: This next phase of development is critical to continue delivering on the community's expectations for Valmont City Park which began in the 1990's. This phase includes opportunities for local food cultivation and demonstration, innovative adventure play features, a variety of family amenities, additional parking, multi-purpose fields, disc golf and flexible recreation areas for events and community engagement. Valmont serves all of Boulder and more importantly, due to the many regional paths connecting the park, provides many new neighborhoods with direct access to a variety of park amenities.

Planning: This project is a top priority for the community and is in the BPR Master Plan. The Valmont Concept Plan has received PRAB approval. Planning is straightforward and will engage the community to gauge their preference and gather feedback. Some Prairie Dog passive relocation will likely need to occur. Land is already city-owned, Concept Plan is complete and can transition immediately into final design and construction.

Operating cost impacts: Current O&M costs for Valmont City Park are approximately $7,700 per acre, and Phase 2 would develop approximately 10 acres for a total O&M increase of $77K per year. This will be funded through the .25 cent sales tax fund.

Opportunities, challenges, and considerations: This project is highly supported by the community. A variety of user groups and partners will share in leveraged funding opportunities and volunteerism similar to the initial phase at the bike park pending development.

Violet Park Ready in 2018

Total Cost: $2,400,000 Unfunded Need: $2,400,000

Description: Violet Park is a planned neighborhood park on city-owned park land that is currently undeveloped. Several adjacent neighbors, including the mobile-home community to the north, would benefit from access to park amenities which are not currently present. This would include a children’s play area, multi-use fields, amenities for teens, and passive recreation areas for picnics and community gatherings.

Population Served: 21,168 people in 2014

Planning: Initial concept plans have been developed and final design will be completed with extensive neighborhood involvement to determine park design and amenities.

Operating cost impacts: O&M costs for neighborhood parks are typically $3,200 per acre. Based on the total acreage that is developed, O&M will be approximately $20K and funded through the .25 cent sales tax fund.

Opportunities, challenges, and considerations Given the proximity to the creek, certain areas within the floodplain would remain undeveloped as flood mitigation. Staff will work closely with flood engineers to provide a sensitive design that maximizes the park experience.

Attachment B: Project Descriptions

Community Projects for 7 Years or If Additional Revenues Are Available

Downtown Boulder Partnership/Foundation Ready by 2018

Total Cost: $4,000,000 Funding Amount: $2,000,000

Description: This project is a downtown art cinema with four screens, as well as a restaurant and bar. Each auditorium will seat about 50 patrons (200 in total seating). The location is the recently completed Pearl West project at 11th and Pearl Streets which was constructed with a 12,000 square foot cinema space. The Downtown Boulder Foundation will sign a lease as the tenant for the space and enter a management contract with Violet Crown Cinema (VCC), the nation’s leading operator of small art theaters. Violet Crown operates cinemas in Austin, Santa Fe, and Charlottesville, VA. Under the management contract, they will manage the venue and split profits with the Foundation. The Foundation’s share of profits will be committed to funding future arts, cultural and community programming in the downtown district.

Planning: Since the recently completed concrete shell was designed to house a cinema, the organization has already secured a space-fit analysis and completed a preliminary schematic design. Full architectural design and engineering work will begin immediately if the project is recommended for funding. Four sources have committed a total of $100,000 to begin advance design work upon approval by City Council.

Operating cost impacts: Due to their original commitment to house an art cinema and the Downtown Boulder Foundation’s status as a 501(c)(3), the landlord has agreed to a lease rate of 8% of gross revenues which is extremely low for the downtown district. The favorable lease terms along with the capital tax funding will enable DBF to avoid debt, control operating costs, and sustain a positive cash flow. VCC has extensive experience managing art cinema venues and, based on analysis of the Boulder market, they are confident in the success of this location and have guaranteed a “floor” rent of $70,000 per year. The Foundation is not exposed to the risk of any long-term lease guarantee.

Opportunities, challenges, and considerations In the Cultural Plan, cinema is described as an important component of the creative economy by the Creative Vitality Index from the Cultural Plan. Film and cinema festivals are an important part of the mix of cultural tourism. These festivals, especially the Boulder International Film Festival, were identified by residents and visitors as important destinations.

Attachment C – Community-Based Projects Analysis

Attachment C

Community-Based Projects Analysis

While recognizing the importance of including community based projects in the renewal

package, the committee outlined the following expectations regarding community- based

projects and the requested additional assessment and due diligence:

1. Does the project address a need that can’t be met through the private sector alone and

without a new facility/capital investment?

2. Does the new facility/expansion build upon the organization’s mission and core

competencies?

3. Does the organization appear to have the organizational and financial ability to build and

operate the facility?

4. Would this investment improve the likelihood of voter support for the tax extension?

5. Does this investment adequately and optimally leverage public dollars?

6. What matching funds are available or needed to proceed? Is there demonstrated

community financial support?

7. What is the project readiness? Many community projects not recommended for funding

have merit but the timing, completeness of public process and planning and design were

not appropriate for this time and funding source.

For many nonprofit organizations, owning a building is considered a key to financial

sustainability. However, owning a building can lead to a host of financial challenges related to

ongoing maintenance and replacement, if organizations do not possess the financial capacity to

budget and plan for the burdens of asset ownership. In the weeks following the advisory

committee’s recommendation, city staff has been performing additional due diligence on

community groups recommended for funding. Staff has reviewed financial statements for the

most recent three years of operations and has met with all community groups to discuss general

terms and conditions of the funding agreements. A summary of due diligence activities and

discussion of specific areas of concern are presented below.

Financial Review and Due Diligence

Using financial statements provided by nonprofits (including audited financial statements and

organizational tax returns) staff reviewed trends and ratios to assess financial capacity of the

organizations. Generally, staff reviewed income and expense trends and ratios, revenue

diversification, and balance sheet (i.e. asset and liability) trends and ratios. Other than the

specific considerations described below, staff has not seen any trends that have raised significant

concerns over the financial sustainability of these organizations.

City staff met with staff and board members from each of the eight organizations to discuss next

steps, timelines, and conceptual terms of possible funding agreements, if projects are included in

the final ballot language. Staff shared a list of conceptual terms for funding based upon the 2014

Community, Culture, and Safety funding agreements, modified for staff and advisory committee

input and lessons learned. General feedback on conceptual terms was positive, and most

comments and questions can be addressed during negotiations if the renewal is approved.

Attachment C – Community-Based Projects Analysis

Studio Arts Boulder Matching

The committee recommended funding Studio Arts Boulder at $1.75M - half of their $3.5M total

estimated development costs. Studio Arts Boulder has objected to the advisory committee

recommendation that the value of donated land ($1.5M) be excluded from consideration in the

dollar for dollar match requirement. Studio Arts (along with Meals on Wheels) is the recipient of

a land donation from the developers of Mackenzie Junction. Members of staff and members of

the advisory committee felt that there needs to be equally demonstrated community financial

support for these projects. Many committee members viewed the developer’s donation less as a

demonstration of support for the organizations, but more as a strategy to ensure that its site

review was approved by the city. Therefore, the committee requested a dollar for dollar match on

“cash” gifts and pledges. Excluding the value of donated land from the match requirement results

in an increased match and a reduced amount of city funding. The difference between the

requested amount and the committee’s recommendation is $750,000.

Studio Arts has sent a letter to council (included as Attachment F) questioning the fairness of

excluding the value of land as match. Studio Arts representatives have also communicated that

funding at less than the requested amount of $2.5 million would likely result in either an

extended duration of the capital campaign or the need to reduce the scope of the proposed

facility.

Review of Studio Arts’ financial statements shows a growing organization which has achieved

financial stability in the past two years. However, the majority of Studio Arts’ revenue comes

from program services, in-kind rent, and a financial subsidy from the City of Boulder which ends

in 2017. As a result, the organization’s fundraising track-record is unproven, so nearly doubling

a major capital campaign from $1 million to $1.75 million could prove extremely difficult.

Meals on Wheels Matching

The committee recommended to fund Meals on Wheels at $1.6M, which is half of their

estimated $3.2-$3.4M development costs. Similar to Studio Arts Boulder, Meals on Wheels is

the recipient of a land donation at Mackenzie Junction and the committee recommended treating

these two organizations in a similar way due to their similar circumstances. Meals on Wheels

committed to raising up to $1 million, leaving a net funding request of $2.4 million (their

original request assumed land costs would be included in the organization match). Similar to

Studio Arts Boulder, excluding the value of the land would result in an increased match and

fundraising requirement. If council considers increasing the funding for Studio Arts, staff

recommends treating Meals on Wheels equally, which would result in an $800,000 increase in

the match amount.

Boulder Museum of Contemporary Art Staffing Issue

In the weeks following the Advisory Committee’s recommendation, several employees of the

Boulder Museum of Contemporary Art (BMoCA) resigned, alleging that the Executive Director

“defrauded museum donors, violated labor laws, and behaved badly toward staff.” One former

staff member sent a copy of the resignation letter to the New York Times, which resulted in

articles in several other newspapers and publications. The BMoCA Board of Directors shared

their public statement with staff (see Attachment G) and several members of the board met with

Attachment C – Community-Based Projects Analysis

city staff to discuss BMoCA’s ability to sustain a major capital campaign amid significant staff

turnover. Below is a summary of BMoCA’s responses:

• Three of the five vacated positions have been filled. The two open positions have been

revamped; one of which has been upgraded to a Deputy Director position to take on more

responsibility of ongoing operating activities.

• Board members have increased their participation in operations on a volunteer basis, and

have had an increased presence in BMoCA’s offices during the transition.

• The board has hired an external Human Resources firm to provide professional HR

support.

• The board is in the process of hiring a consultant to review board policies and procedures

to ensure that the board is following industry best practices around dispute resolution and

employment practices.

• Several major funders have expressed their continuing support for the organization.

Staff has reviewed BMoCA’s employee manual and board member responsibilities. The

employee manual includes anti-harassment and open-door policies, and the board responsibilities

and expectations charge the board with “guaranteeing that organizational policies, conduct and

practices are met with the highest legal standards.” While there is room for improvement in their

policies and procedures (e.g. establishing a specific whistleblower policy and/or board contact

for complaints) the BMoCA board has indicated that it is taking steps to improve their policies.

Although there was one recent news article regarding a collector pulling her exhibit following

the recent headlines, staff also contacted several of BMoCA’s trustees and funders, who have all

expressed continued support for BMoCA.

Attachment C – Community-Based Projects Analysis

Staff Assessments of Alignment with City Goals and Plans

Boulder Museum of Contemporary Art

The Cultural Plan survey findings indicate that residents and visitors identify BMoCA as an

important cultural destination. Strategic recommendations in the Cultural Plan reference

BMoCA, particularly regarding gaps in visual arts venues, the value of cultural tourism, and the

potential for the Civic Area. Also, the Arts and Economic Prosperity 5 study (AEP5) indicates

that cultural nonprofits like BMoCA have significant returns in both economic impact and tax

revenue.

Please refer to:

• Community Cultural Plan, pages 14, 62–65, and 104–117

• AEP5, page 4

BMoCA’s proposal comes at a time when city staff and community stakeholders are

embarking on detailed planning of the Civic Area’s “East Bookend.” As BMoCA noted in its

submittal, planning for a BMoCA expansion would need to coordinate with overall planning

for the East Bookend. Staff’s full assessment of impacts to city facilities can be found in the

June 15 Information Packet. A brief summary is provided below:

The Civic Area Master Plan (adopted by City Council in 2015) divided the Civic Area into

three sections, and generally identified the character of each:

• “Park at the Core.”

• “The East End: Food and Innovation” (now known as the East Bookend). The East

Bookend (for re-development purposes) consists of the area bound by Canyon

Boulevard on the north, Arapahoe Avenue on the south, Broadway on the west, and

14th Street on the east. BMoCA’s current facilities are in the East Bookend.

• “The West End: Arts and Culture” (now known as the West Bookend).

The City of Boulder’s current construction, design, and planning efforts are all part of

implementation of the Master Plan. The Master Plan provides policy guidance, but is flexible

in terms of the direction it sets.

The recommendation to include BMoCA in the funding package for a five-year renewal

removes a degree of flexibility from the planning process, potentially resulting in opportunity

costs, as any space devoted to a BMoCA expansion would be removed as a possible site for

other elements that could contribute to implementation of the Civic Area Master Plan.

Further, BMoCA’s expansion into a parcel currently used to house city offices could increase

city operating costs if relocation of city facilities results in the need for a short-term lease.

Proceeding with BMoCA’s proposal would require further consideration of how their

expansion might address and impact other goals of the Civic Area, expediting the need for

additional studies and the like. City involvement with regard to design and spatial planning

should be expected as the building and land are city owned. It should also be noted that

BMoCA currently pays the City $1 per year for the land and building of its current facility.

BMoCA and the city would need to negotiate the terms of BMoCA’s use of additional city

land.

Regardless of council’s recommendation, BMoCA is one of many key partners whose needs

and desires will be considered as part of the Civic Area/East Bookend planning process.

Attachment C – Community-Based Projects Analysis

Center for Resource Conservation

The proposed site vision addresses many community vision and values, as expressed in the

following adopted plans:

• City of Boulder Zero Waste Strategic Plan (increase waste diversion, give preference to

source reduction, decrease greenhouse gas emissions, increase the number and diversity

of participation in zero waste programs and services)

• City of Boulder Art and Culture Master Plan strategies (create & enhance venues;

enhance vitality of the creative economy; new public art; engage youth; advance civic

dialogue and awareness)

• City of Boulder Social Sustainability Strategic Plan (promote community and city

engagement, address the needs of children and youth, partner with schools, improve

neighborhood and community livability)

• Boulder Valley Comprehensive Plan (eastern gateway and East Arapahoe Plan)

• Economic Sustainability Strategy (start-ups based on recycled materials; jobs creation

with zero turnover, 100% satisfaction, etc. through Blue Star Recyclers)

• Serves intergovernmental relations with BVSD and Boulder County

The property is owned by the City of Boulder, so the investment is permanent regardless of

the future of the nonprofits on site. Additionally, trash tax funding may be available to cover

the city’s incremental costs related to facilities maintenance reserves and replacement.

The proposed project is one step further in helping the city achieve its ultimate vision to

broaden the impact of the current site to serve a diverse cross-section of the community,

including:

• Artists

• Entrepreneurs testing new businesses made from scrap materials

• Students of Arapahoe Ridge High School Boulder Career Technical Ed programs

• Children who attend after school and summer camps through ArtParts

• Adults with autism spectrum disorders who work at Blue Star Recyclers

• Low-income families and nonprofits who purchase low-cost upgraded computers

• Residents choosing to repair broken electronics, tools, clothes, appliances and toys

through expanded fix-it clinics

Community Cycles

The proposed Community Bicycle Center will carry out a number of the city’s goals stated in

several adopted plans. Community Cycles’ mission, programming, and daily work are

strongly aligned with the following plans:

• Transportation Master Plan (TMP) (expand fiscally viable transportation options for

all Boulder residents, increase transportation alternatives commensurate with the rate

of employee growth, reduce daily vehicle miles traveled (VMT))

• TMP Action Plan (build and operate a Boulder Junction Bike Center, increase access

to eco-pass, host and evaluate events that will create a utilitarian cycling and walk

friendly community, improve first and final mile multimodal access, offer bicycle

skills and safety education training opportunities.)

• Zero Waste Strategic Plan (prevent waste, recycle/compost materials, ensure efficient

Attachment C – Community-Based Projects Analysis

use of resources, reduce pollution)

• Human Services Social Sustainability Strategic Plan (improve neighborhood and

community livability by creating more pathways between areas and neighborhoods;

expand recreation opportunities for all residents, including diverse and underserved

residents; increase transportation opportunities for youth; subsidize increased

transportation options for seniors)

• Climate Commitment (reduce carbon emissions, reduce VMT, reduce greenhouse gas

emissions, integrate mixed-use development close to neighborhoods to provide

walkable destinations for daily needs, create multiple mobility options).

Downtown Boulder Partnership

In the Cultural Plan, cinema is described as an important component of the creative economy by

the Creative Vitality Index from the Cultural Plan. However, cinema venues are not specifically

addressed. What is clear is the fact that film and cinema festivals are an important part of the

mix of cultural tourism. These festivals, especially the Boulder International Film Festival, were

identified by residents and visitors as important destinations. Also, AEP5 indicates that cultural

tourism to destinations such as this has many economic benefits, amounting to 1.3 million visits

and $34 million in spending in 2016.

• Community Cultural Plan, pages 14, 19–20, 104–117

• AEP5, pages 8– 9

Growing Gardens

The proposed project aligns with several components of the Boulder Valley Comprehensive

Plan’s chapter on Agriculture and Food:

• 9.02 Local Food Production - The city and county will encourage and support local food

production to improve the availability and accessibility of healthy foods and to provide

other educational, economic and social benefits.

• 9.03 Sustainable Agriculture Practices - The city and county will promote sustainable

agricultural practices on publicly owned lands and will encourage them on private lands

• 9.05 Urban Gardening and Food Production - The city will encourage community and

private gardens to be integrated in the city.

• 9.06 Access to Locally Produced Food - The city will support cooperative efforts to

establish community markets throughout the community and region.

KGNU

As mentioned above, the Cultural Plan indicates that new venues may address the gaps and

issues of accessibility that face artists and presenters. In addition, the Cultural Plan recommends

strategies to supporting the creative workforce and youth in industries such as broadcast,

production, and music.

• Community Cultural Plan, pages 14, 25–26, 34–35, 40–41, 62–65, 75–77, and 84–86

Attachment C – Community-Based Projects Analysis

Meals on Wheels

1. Meals on Wheels provides a single source service to the community which is aligned with

our Human Service Strategy under the following goal:

Health and Well Being: Residents can access resources to optimize their physical, mental

and social well-being.

Strategy 3 – Support access to nutritious food and programs that reduce health risk factors.

Examples of strategies and programs include:

• programs that improve food security and provide healthy food options for children,

families and older adults; and

• programs that help children, families and older adults remain healthy.

2. The Strategy also anticipates the West Senior Center become an integrated facility (with

other Human Services Programs from other locations) to facilitate a "one-stop shop" model

for the community. In this vision, we would not anticipate a continued co-location

partnership with MOW into the future. We have been working with them for a couple of

years to help identify another community based location that they can move to when the

West Senior Center is either redeveloped as part of the West End Civic Area planning or

moved to the Balsam/Alpine site. In either event, we do not anticipate MOW continuing the

shared space arrangement.

When and if MOW moves from the West Senior Center, we would move ahead with

integrating all HS programs at the West Center as a first step for the one stop shop model,

until such time the Civic Area and Balsam/Alpine planning is completed.

3. MOW Strategic Plan also anticipates expanding into other areas of service for which they

would need space for. There is not space available at the WSC. In addition, staff space and

program space for seniors at the WSC is very constrained and if MOW vacated,

programming for seniors can be expanded at West Center consistent with the HS Strategy.

Studio Arts Boulder

Though Studio Arts Boulder is mentioned in the Cultural Plan as a potential partner because

of their concept to build facilities for industrial-scale mediums such as bronze casting, staff

finds that this proposal for the CITR is different: a proposal for a studio to teach fine art

classes for the community such as pottery, woodworking, and printmaking. This is not a

critique of the idea; there exists a healthy marketplace for art enrichment with hundreds of

art classes in Boulder offered by dozens of businesses, nonprofits, and city departments.

However, the Cultural Plan does not contain any recommendations about the concept of

municipal funding as a means to subsidize space for art classes as described. What can be

found are general references and evidence that this type of program is valuable. The

Cultural Plan recognizes the very strong community participation in art enrichment. And,

the NEA Creativity Connects report explains that arts enrichment and education can be an

important part of supplemental income of practicing artists.

• Community Cultural Plan, pages 14, 25–26, 34–35, 62–65, and 104–117.

• Creativity Connects, pages 7–14

Attachment D: Summary of Board and Commission Feedback

City advisory boards were provided with the Advisory Committee’s recommendation and

encouraged to discuss the recommendation and provide feedback to City Council. The following

summarizes key themes from the boards that elected to provide feedback. Correspondence

received directly from the board or commission are attached in the following pages. Advisory

Board feedback to the committee to inform their work was compiled and included in the May 9,

2017 Study Session memo and can be found here (starting on page 17).

Arts Commission (5/19/17) (see attached letter)

Previously the Arts Commission provided feedback to the committee indicating:

• Support for inclusion of community-based projects.

• Some wish to prioritize the civic core, University Hill, and North Boulder.

• Others think projects in neighborhoods and parks are additionally important.

• Funding public art is recommended.

The commission will meet on July 19 and may provide comments directly to City Council at that

time.

Boulder Junction Access District (BJAD) (6/21/17)

The Access District Board’s consensus feedback includes:

• Tighten up the budgets for some of the community arts/culture projects or otherwise

reduce some of the funding recommended for the community arts/culture projects in

order to find $1.5 million to fund the quiet zone improvements that currently are on the

seven-year list. The quiet zones are one of the only projects with direct economic impact

and they affect many people. It was sensed that the $1 to $1 cash match requirement may

serve to tighten/reduce some budgets or could even eliminate one or more projects.

• Ensure geographic dispersal of projects.

Previous board feedback included specific support for the Community Cycles project because it

is geographically supportive and mission-aligned with BJAD, is the only transportation project

and directly supports the Transportation Master Plan, it has real estate confirmed, substantial

matching funds confirmed and serves significant numbers of community members.

Library Commission (7/15/2017) (see attached letter)

In their letter to City Council, the Library Commission reiterated their support for Main Library

restroom renovations, as well as planning efforts to provide new public bathrooms within the

Atrium and Municipal buildings.

While not included in their letter, discussion by the commission at their retreat included

unanimous support for the North Boulder Branch Library’s inclusion in the package of projects

for funding with a renewed capital improvements tax.

Attachment D - Board and Commission Feedback

Parks and Recreation Advisory Board (6/26/2017) (see attached letter)

The Parks and Recreation Advisory Board highlighted the value of funding the Scott Carpenter

Pool replacement, indicating that the project furthers community goals for expanded aquatics

facilities, makes careful use of the existing space, will serve many community members and

creates safe, healthy recreation spaces.

Also, the board commended the improvements in the Civic Area that were funded by CCS and

encourage City Council to consider including funding for additional public restrooms to support

the increased utilization of the Civic Area space.

Transportation Advisory Board (7/10/17):

The Transportation Advisory Board discussed their desire to have seen some Capital Tax

funding support the Neighborhood Traffic Mitigation Program (NTMP). Note: Funding for this

project was not included in the list of projects the committee considered because development of

the NTMP wasn’t mature enough to be able to include it at the time the list of projects for

consideration was finalized.

The board would like to see more funding for HOP Transit Vehicles included in the package

indicating one bus is insufficient. Funding for HOP Transit Vehicles is included in the 7-year

recommendation or if there are additional revenues.

University Hill Commercial Area Management Commission (UHCAMC) (6/28/17): (see

attached letter)

The Management Commission expressed support for:

• Renewal of the capital improvements sales tax;

• A five-year renewal, finding that seven years is too long to delay improvements not

included for consideration in this funding cycle; and

• Requesting inclusion of both the Hill Lighting Replacement project and, more

importantly funding for the Hill Alley Connector project.

The commission expressed concern about losing momentum on Hill reinvestment and highlights

the additional projects importance in supporting a diversity of uses and visitors on the Hill.

Attachment D - Board and Commission Feedback

Attachment D - Board and Commission Feedback

July 17,2017To: City CouncilFrom: Boulder Library Commission

The Library Commission is pleased to see that additional departments around the city recognize the need for updated, ADA compliant, and gender neutral bathroom facilities. We reiterate our request to Council for support and funding of our Main Library restroom renovations. Additionally, we support planning to provide new public bathrooms within the Atrium and Municipal buildings.

Over the past year, staff responded to our request to develop ADA compliant and gender neutral bathrooms by surveying best practices, analyzing opportunities at Main, and developing bathroom designs applicable to all city properties (see: Feb 2017 Library Commission packet for the FAM design that we unanimously and enthusiastically embraced). Our efforts with FAM should be leveraged and enhanced by other groups looking to modernize critical infrastructure. The broader implications of supporting these progressive requests move beyond capital improvements and speak directly to the City’s Community Perception Assessment - Safe And Welcoming Community Work Plan.

Given the increasing urgency around facilities in the soon to be (re)activated Civic Area, Phase II ‘bookend’ considerations, and related 2A tax extension initiatives, there is urgency to provide safe and welcoming bathroom spaces. The Library Commission believes that renovation at Main and new public bathrooms in the the Atrium, and Municipal buildings must be a high priority for this fall’s ballot measure.

As work on the Civic Area moves forward, we will remind you that Main Library’s facilities are the ‘Go-To Place’ when you have to go. In the ordinary course of capital planning, renovating Main’s bathrooms could conceivably be undertaken in the 2019 or2020 budget years. If Council chooses not to include library and Civic Area bathrooms on this fall’s ballot, It is the opinion of the Library Commission that these renovations ought to be approved and funded under the 2018 budget. We hope that Council will concur.

Thank you,

Alicia GibbBoulder Public Library Commission Chair

Attachment D - Board and Commission Feedback

University Hill Commercial Area Management Commission (UHCAMC) Input to City Council re: Recommendations by CITR Working Group

On June 28, 2017, UHCAMC considered the recommendations of the Capital Improvement Tax Renewal Working Group and unanimously approved the following motion as input for City Council consideration:

The University Hill Commercial Area Management Commission (UHCAMC) supports:

1. Renewal of the capital improvements sales tax;2. A five-year time span for the tax renewal, finding that seven years is too long to delay

improvements not included for consideration in this funding cycle; and,3. Amending the recommended project list to include both the Hill Lighting Replacement

project ($222,250) currently included on the Working Group’s seven-year list AND, moreimportantly, funding for the Hill Alley Connector project ($839,063) that was notselected for inclusion by the Working Group.

The commission bases its recommendation on the following key considerations.

Risk of losing Hill Reinvestment momentum: Of the $2.7 million in “Community-Culture-Safety” sales tax funding dedicated to Hill improvements in 2014, less than half of that amount went toward capital improvements in the Hill Commercial Area. This was the first significant capital investment in the Hill Commercial Area since 1994, when the city funded streetscape improvements related to the Hill Sketch Plan. In 2014, the City Council prioritized promoting year-round economic vitality through the Hill Community Development program. Significant momentum is building toward that goal. The current pace of progress should not be put at risk by excluding this geographic area from the current round of capital improvements funding.

Missed opportunity to leverage other city investments: The city is partnering with multiple stakeholder entities to fund projects and activities that will ‘move the needle’ toward a diversity of uses and visitors on the Hill. The commission strongly supports the $839,063 investment to create a multi-use pathway connecting the proposed CU conference center/hotel, the proposed Pleasant Street hotel/garage, and the University Hill Event street currently under construction to provide a safe and attractive gateway to the district to maximize the positive impact of those investments.

UHCAMC wishes to express its sincere gratitude to the City Council for its support of the Hill Community Development efforts. The commission hopes that the request for two relatively modest capital investments over the next five years will be approved. Continued support from the City Council and Boulder voters will reinforce current efforts of Hill stakeholders and maintain the positive momentum that has been achieved since the last capital improvement sales tax was adopted.

Attachment D - Board and Commission Feedback

Attachment E: City Unfunded Projects List

Attachment E: City Unfunded Needs Project List

Summary of Projects Presented to Advisory Committee

1. Public Safety: Radio Infrastructure ($6 million) – replace and outdated system that

inadequately supports police, fire, rangers, public works, and many other city users

2. Incident Command Vehicle ($570,000) – replace an aging vehicle that supports

emergency response activities (e.g. fire, flood, active shooter) and public events

3. Rescue Vehicle ($330,280) – replace 30-year old vehicle that is undersized and under-

armored for modern threats. Also, supports response for natural disasters (high ground

clearance, high water, etc.)

4. Fire Station 3 ($12 million) – relocate 50-year-old building located in 100-year

floodplain. Current station is undersized and has several health and safety deficiencies.

Improve safety and critical response times.

5. Fire Station 2 and 4 ($14.2 million) – relocate/replace 60 and 40-year-old stations that

are undersized and have several life and safety deficiencies. Improve service and critical

response times.

6. Fire Rescue Warehouse ($2 million) – build a central conditioned space for reserve

vehicles and equipment

7. Facilities Maintenance Backlog ($3.24 million) – fund high priority maintenance

backlog items at 9 buildings, including key exterior and safety needs.

8. Outdoor Lighting Compliance ($7.1 million) – meet upcoming code requirements for

light pollution, energy conservation, and safety and security

9. Facilities & Fleet: Repairs ($1.4 million) – fund repairs and upgrades to city fleet

facility, addresses key safety concerns and helps expand alternative fueling tank.

10. Facilities & Fleet: Large Vehicle Washrack ($950,000) – protect existing and future

investments, and allow vehicles to remain in service for their full lifetime

11. Public Art ($1.5 million) – Art as an investment, statement of community values, and

enhance public spaces

12. Fourmile Canyon Creek Improvements – Greenways, Transportation, and Parks and

Recreation ($8.5 million) multi-use path connections, underpasses and development of

Violet Park.

13. Hill Commercial Area Pedestrian Lighting Replacement – ($220,000) – Replace

deteriorating 20-year old fixtures to improve the night-time safety and attractiveness of

the district.

14. Hill “Connector” Alley Project ($800,000) – multi-modal access, connector between

key points, improvements for vibrant, inviting spaces.

15. Kittredge / Broadway Underpass ($2 million) – Improve safety at highly used

underpass by widening entrance and increasing visibility.

16. Railroad Quiet Zone Improvements ($1.5 million – addresses horn noise impacting

communities throughout Boulder.

17. HOP Conversion to Clean Vehicles ($3-12 million) Conversion of HOP vehicles to

electric (or other clean fuel technology) vehicles.

Attachment E: City Unfunded Projects List

18. Multi-use Path Connection Enhancements ($500,000 - $6 million) completing missing

links, upgrading sidewalks and completing key parts of the system.

19. Mobility Hub / Transit Stop Enhancements ($3 million) Develop multimodal hubs and

improve transit stops (shelters, seating, info displays, bike parking, and pedestrian

improvements).

20. US36 Multi-Use Path 4-mile to Violet ($4.2 million) Construct detached multi-use path

on west side of 36, implement safety and accessibility improvements.

21. Junction Place Bridge / underpass at Boulder Slough ($4 million) Construct a bridge

over Boulder Slough, connect Junction Place to Prairie and 34th Street improving

mobility in the area.

22. Scott Carpenter Pool Redevelopment ($6.2 million) new and different amenities,

enhanced parking and access; leverages current funding to include enhanced design and

amenities.

23. Boulder Reservoir Enhancements (7.6 million) Replace critical facilities including

bathhouse and administration building.

24. Valmont City Park Development Phase 2 ($4.5 million) Develop portion of southern

park to serve community, provide additional amenities.

25. Recreation Centers and Indoor Pools Enhancements and Maintenance (8.5 million)

Addresses existing backlog of maintenance and desired enhancements.

26. Neighborhood and community park enhancements ($12 million) enhances funding to

current CIP to implement planned improvements and address current deficiencies.

27. New Neighborhood Park Develop ($7.2 million) Facilitates park development at Eaton

Park, Violet Park where parks are currently not developed.

28. Civic Area Phase 2 – Central Park and East Bookend Development ($8.2 million)

29. Boulder Slough Multi-Use Path, Tea House to Goss-Grove ($1.5 million) – Extend

Multi-use path from the Tea House to bike lane on 15th.

30. Canyon Boulevard Implementation ($15 million) Improvements for “people” to

connect with key areas, improve bicycling and pedestrian.

31. Municipal Building Community Spaces ($2.4 million) Renovate building for

community spaces and public restrooms; complements current improvements to park.

32. Library All-Gender Restrooms ($650,000) Equity access improvements and needed

facility maintenance.

33. North Boulder Library ($6 million) Build new full-service library in North Boulder on

land donated in 1994, community gathering space.

A more detailed list is available for review at the project website.

Attachment F: Studio Arts Boulder's Letter to City Council

Attachment F: Studio Arts Boulder's Letter to City Council

Statement of the Board of Directors of BMoCA

In early January 2017, the staff members of the Boulder Museum of Contemporary Art (BMoCA) provided input on the performance evaluation of the Executive Director that the Board of Directors (Board) of BMoCA was in the process of conducting. For the most part, the staff evaluation of the Executive Director was very positive. One staff member commented that the Executive Director’s “leadership over the last year in particular has been incredible.”

On mid-February 2017, the Executive Director sought the advice of an outside human resources consultant concerning the job performance of a particular staff member whose performance had been problematic. The human resources consultant recommended that the staff member be discharged. Despite this recommendation, the Executive Director did not terminate the employment of the staff member. Instead, he placed the staff member on a performance improvement plan in the hope that the staff member’s performance would improve.

In early March 2017, the Executive Director, on his own initiative, engaged the services of an organizational development specialist to lead the staff in a team building session in the hope of creating a more efficient, productive and happy staff.

On March 11, 2017, the Board received a letter from an attorney for five BMoCA staff members outlining complaints and concerns regarding the Museum’s Executive Director, including allegations of: 1) improper financial practices, 2) violations of labor laws, and 3) a pattern of abusive behavior towards the BMoCA staff. Prior to receiving this letter, no member of the Board had been approached by any of the five staff members regarding any of the complaints and concerns raised in the letter. In fact, the allegations came as a complete surprise and shock to the Board.

Upon receipt of the March 11, 2017 letter, the Executive Committee (EC) of the Board retained outside counsel to provide advice to the Board regarding the handling of the complaints and concerns enumerated in the letter. In addition, the EC immediately arranged flexible work schedules for the five staff members so that they would not have to work in the same physical environment as the Executive Director until the Board had completed its investigation of the allegations and decided upon a plan forward.

In addition, the EC took undertook a number of initiatives to better understand and address the concerns raised in the letter. For example, on March 28th the EC met with the complaining staff members, their attorney and a mediator in an effort to better understand the basis for their concerns. Despite this effort, the staff members continued to demand that the Board terminate the Executive Director’s employment. In addition, the five staff members were encouraged to meet one-on-one with individual Board members of their choice so that the entire Board would have a better understanding of their individual concerns. The staff members declined this invitation and continued to insist that the Board terminate the Executive Director’s employment.

Ultimately, the Board decided to retain former Boulder District Court Judge Gwyneth Whalen (now a lawyer with the Boulder law firm Caplan and Earnest LLC) to independently investigate the staff’s claims regarding alleged violations of labor laws and abusive behavior. In addition, the Board hired Kurtz-Fargo LLP, a certified public accounting firm, to review a grant specifically identified in the letter. Further, the Board reviewed the Museum’s 2014, 2015 and 2016 annual audits, and discussed the staff’s allegations concerning improper financial practices with the auditors and with other individuals with expertise in the area of nonprofit grant administration.

Attachment G: BMoCA Board of Directors' Statement

The Board received an extensive written report from Ms. Whalen on June 6, 2017, in which she determined “that there is no basis to the allegations concerning labor law violations and mistreatment of staff.” Ms. Whalen noted in her report that she conducted her investigation independently with no input from the Board regarding who should be interviewed and which documents should be reviewed. Indeed, Ms. Whalen stated in her report that “I determined which witnesses to interview based on my assessment of their potential to have relevant information.” Based upon her independent investigation, Ms. Whalen made the following findings:

• “I did not obtain any credible information that would support the allegations of violations labor laws and mistreatment of BMoCA hourly employees.”

• “I did not obtain any credible information that would support the allegations of gender discrimination.”

• “I did not obtain any credible evidence that [the Executive Director] engaged in a pattern of abusive behavior toward staff and members of the BMoCA community.”

On June 8, 2017, Kurtz-Fargo briefed the EC on its work, noting no material departures to general terms and guidelines of the grant in question. Other financial concerns raised in the letter were determined by the EC and ultimately by the Board, consulting with advisors, to lack merit. With this information in hand, the Board unanimously decided to retain the Executive Director, and to encourage the five staff members to remain in their positions with the Museum with some improvements to the Museum’s organizational structure. The information was communicated to the attorney for the five staff members on Monday afternoon, June 12, 2017. In addition, on June 12th, the EC sent an e-mail message to the five staff members asking them to attend a staff meeting the following morning, June 13, to answer any questions they might have regarding the investigation conducted by Ms. Whalen and Kurtz-Fargo and to discuss a plan for moving forward with all of the current staff and the Executive Director working together. However, on the night of June 12th, an individual or individuals entered the locked Museum after hours, removed files, documents and artwork, and destroyed certain of BMoCA’s electronic records (including email files for the five employees). The following morning, June 13, 2017, the attorney for the five individuals informed BMoCA’s attorney that four of the staff members had decided to resign their positions with the Museum. Upon inquiry and demand from BMoCA’s attorney, materials taken from BMoCA, including files, notebooks, documents and artwork, were returned to BMoCA’s attorney by the four former staff members who had resigned their positions the previous day. On June 16, 2017, the five former staff members sent an e-mail message to several artists, art collectors, and art galleries, in an attempt to disrupt the ongoing operations of the Museum. In light of these developments, the Board has decided to realign the personnel structure of the Museum to more effectively support and enhance the significant growth and development that the Museum has experienced under its current Executive Director over the past seven years. Among other things, BMoCA will be adding two new positions, Deputy Director and Senior Director of Education and Community Programs.

Attachment G: BMoCA Board of Directors' Statement