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HomeMy WebLinkAboutAgenda - City Council - 11/07/2022AGENDA SOUTH BURLINGTON CITY COUNCIL South Burlington City Hall 180 Market Street SOUTH BURLINGTON, VERMONT Participation Options In Person: 180 Market Street - Auditorium - Main Floor Assistive Listening Service Devices Available upon request Electronically: https://meet.goto.com/SouthBurlingtonVT/city-council-11-07-2022 You can also dial in using your phone. +1 (646) 749-3122 Access Code: 995-514-045 Regular Session 6:30 P.M. Monday, November 7, 2022 1.Pledge of Allegiance (6:30 PM) 2.Instructions on exiting building in case of emergency and review of technology options –Jessie Baker, City Manager (6:31 – 6:32 PM) 3.Agenda Review: Additions, deletions or changes in order of agenda items (6:33 – 6:34 PM) 4. Comments and questions from the public not related to the agenda (6:35 – 6:45 PM) 5. Councilors’ Announcements and Reports on Committee assignments and City Manager’s Report (6:45 – 6:55 PM) 6.Consent Agenda: (6:55 – 7:00 PM) A.*** Consider and Sign DisbursementsB.*** Approve minutes from September 19, 2022 CC, September 27, 2022 JM PC andCC, October 3, 2022 CC and October 17,2022 CC MeetingsC.*** Receive the September FinancialsD.*** Approve the ARPA/Housing Trust Fund grant agreement to Summit at O'BrienFarm and authorize the City Manager to executeE.*** Approve the loan documents related to the Vermont Community DevelopmentProgram grant award to Summit at O'Brien Farm and authorize the City Manager tosign all related documentsF.*** Approval of Road Impact Fee credit requests for construction at 303 Market Street and 112 Garden StreetG.*** Approve application for a USDOT “Strengthening Mobility and RevolutionizingTransportation” grant to pilot adaptive technology H.***Authorize City Manager to execute a replacement irrevocable offer of dedicationrelated to O’Brien Farm Road 7.*** Warned for 7:00 PM: Public Hearing: On an ordinance to regulate fuels for heating andhot water in new construction – Colin McNeil, City Attorney (7:00 – 7:30 PM) 8. Potential action on an ordinance to regulate fuels for heating and hot water in new construction – Colin McNeil, City Attorney (7:30 – 7:45 PM) 9. *** First reading of a Land Development Regulation change (#LDR-22-07 & LDR-22-08) to re-align zoning districts along Shelburne Road to enable auto sales in the vicinity of the former Hannaford and the Lowe’s sites and prohibit auto sales in the area between the cemetery and the Lakewood Commons site on the west side of Shelburne Road. The review was initiated by a request from Tesla. And set a Public Hearing for December 5 at 8:30 PM – Paul Conner, Director of Planning and Zoning (7:45 – 8:00PM) 10. *** Presentation of the East-West Crossing (Bike/Ped bridge over I-89) preferred alternative and approval of design in advance of a Town Meeting Day ballot item – Ilona Blanchard, Community Development Director (8:00 – 8:45 PM) 11. *** Receive information on a potential Tax Increment Financing Bond Vote for Town Meeting Day 2023. Consider warning a public hearing for December 5, 2022 at 9:15 PM on Article I regarding TIF District Financing Debt Authorization to fund the design and construction of the following projects: Garden Street Phase II, Williston Road Streetscape, East West Crossing, and City Center Park Phase II – Ilona Blanchard, Community Development Director (8:45 – 9:00 PM) 12. *** Receive the annual presentation from Town Meeting TV including their FY24 budget request – Meghan O'Rourke, Town Meeting TV Channel Director (9:00 – 9:20 PM) 13. *** First reading of a change to the Impact Fee Ordinance and Public & Private Sanitary Sewerage and Stormwater Systems Ordinances, and consideration and approval of an update to the Planning & Zoning Permit Fee Schedule regarding timing of payments of fees for affordable housing projects and set a Public Hearing on the ordinance changes for December 5 at 9:00 PM – Paul Conner, Director of Planning and Zoning (9:20 – 9:35 PM) 14. *** Review and consider approval of draft 2022 Chittenden County Multi-Jurisdictional All-Hazards Mitigation Plan base plan and South Burlington jurisdiction annex – Paul Conner, Director of Planning and Zoning (9:35 – 9:50 PM) 15. Discuss Planning Commission's recent vote to maintain the current number of Planning Commissioners and the Charter Committee's discussion to accept their recommendation and not move this forward. Consider if the Council wants to give additional guidance – Jessie Baker, City Manager (9:50 – 10:00 PM) 16. *** Approval of a lease for 19 Gregory Drive – Colin McNeil, City Attorney (10:00 – 10:20 PM) A. Council may consider entering executive session for the purposes of discussing the negotiation of real estate lease options 17. Other Business (10:20 – 10:30 PM) 18. Adjourn (10:30 PM) Respectfully Submitted: Jessie Baker City Manager *** Attachments Included Champlain Water District Check/Voucher Register - Check Report by Fund From 11/8/2022 Through 11/8/2022 Check Date Check Number Vendor Name Invoice Description Check Amount Invoice Number 11/8/2022 4479 Aldrich & Elliott, PC Project 21001.003 4,004.99 80852 11/8/2022 Aldrich & Elliott, PC Project 21001.004 704.44 80853 11/8/2022 Aldrich & Elliott, PC Project 22025.001 932.43 80889 11/8/2022 4480 FirstLight Fiber Account 101167 21.19 12555671 11/8/2022 4481 Ann & John Irish Refund Overpymt to Acct 4895 138.76 REFUND-101822 11/8/2022 4482 Larkin Properties Refund Overpymt on Acct 4143 88.84 REFUND-101922 11/8/2022 4483 Masterson & Son Excavation, LLC SBWD Invoices 3,655.36 5791-A 11/8/2022 4484 South Burlington Ace, Inc.Step Bit for Curb Stop Repair 34.99 846104/3 11/8/2022 4485 Sunbelt Rentals, Inc.6 inch pump for leak detection at North tunnel behind U-Mall 479.64 130773428-0001 11/8/2022 Sunbelt Rentals, Inc.6 inch pump for U-Mall tunnel 319.76 132015268-0001 11/8/2022 4486 Ti-Sales, Inc.Meter Washers 80.00 INV0148035 11/8/2022 Ti-Sales, Inc.Meter upgrades 10,187.04 INV0149132 11/8/2022 Ti-Sales, Inc.Test Parts 44.70 INV0149460 11/8/2022 4487 USPS SBWD Postage Reimbursement 10,000.00 POSTAGE-110122 Total 70 - South Burlington Water Department 30,692.14 Report Total 30,692.14 70 - South Burlington Water Department SOUTH BURLINGTON CITY COUNCIL Page: 1 CITY COUNCIL 19 SEPTEMBER 2022 The South Burlington City Council held a regular meeting on Monday, 19 September 2022, at 6:30 p.m., in the Auditorium, 180 Market Street, and by Go to Meeting remote participation. MEMBERS PRESENT: H. Riehle, Chair; M. Emery, Acting Chair; T. Barritt, Sen. T. Chittenden, M. Cota ALSO PRESENT: J. Baker, City Manager; A. Bolduc, Deputy City Manager; C. McNeil, City Attorney; P. Conner, Director of Planning and Zoning; T. Francis, Fire Department; Bonnie, G. Nelson, R. Birgisson, E. Goldman, Drew S., K. M. Forlie, R. Greco, A. Janda, R. Gonda, M. Mittag, H. Shen, B. Milizia, L. Smith, C. Martin, K. Epstein, S. Srinivasen, M. Murray, N. Thittgen, G. Farrell, A. Demetrowitz, A. Chalnick, T. Perrin D. Peters, S. Gardner, J. Hemmelgarn, S. Swanson, J. Bossange, M. Biama, N. Hyman, Ms. Mooro, Ms. Chen, M. Gifford, B. Zigmund, C. Snyder, P. Engels, J. Defour, J. Leas, A. Adams, D. Leban, A. Hannaford, C. Martin, Isaac, C. Trombly 1. Instructions on exiting building in case of emergency and review of technology option: Ms. Baker provided instructions on emergency exit from the building and reviewed technology options. 2. Additions, deletions or changes in the order of Agenda items: No changes were made to the Agenda. 3. Comments and questions from the public not related to the agenda: No comments or questions were received. 4. Announcements and City Manager’s Report: Mr. Cota: The Common Area for Dogs Committee is excited about the direction things are heading. They are concerned with the date for fencing which seems to be in December. The dedication of the “gooses” at City Hall Park will take place tomorrow at 5 p.m. The artist will be present. Mr. Barritt: Received a tour of the new Beta building. Also attended the Burlington Net Zero Fair. Sen. Chittenden: Attended the Beta event. CITY COUNCIL 19 SEPTEMBER 2022 PAGE 2 Ms. Emery: Attended the City Charter Committee meeting where there was discussion on the number of members of the Planning Commission. The Commission will discuss this and come back to the Committee with their thoughts. Ms. Baker: The City will be celebrating the 23 years of service of retiring Police Officer Ed Soycheck. Dorset Street repaving is underway. Full street sweeping has also begun. The new timeline for the Dog Park fencing is the end of October/beginning of November. There will be a joint meeting of the City Council and Planning Commission next Tuesday, 7 p.m. 5. Consent Agenda: a. Approve and Sign Disbursements b. Approve Minutes from 1 August, 15 August and 6 September 2022 City Council meetings c. Receive the FY23 August financials d. Authorize the City Manager to negotiate and execute two agreements related to the RAISE grant awarded for the East-West Alternative Transportation Crossing Project (walk bike bridge over I-89 at Exit 14): the US DOT grant agreement Under the Fiscal Year 2021 RAISE Grant Program and a Contract Administration Agreement with VTrans for Federal Award RAIZ001 e. Approve the Clean Water State Revolving Fund Loan Agreement for our 3-acre Stormwater Retrofit Design Project f. Award Engineering Contract for water quality monitoring and testing to Stone Environmental Ms. Emery noted that in the Minutes of 1 August, Page 3, paragraph 2, 3rd line down, the work “now” should be “no.” Also, on p. 8 the date of the special city meeting should be warned for November 8th. Mr. Cota moved to approve the Consent Agenda with the above amendments. Mr. Barritt seconded. Motion passed with all present voting in favor. CITY COUNCIL 19 SEPTEMBER 2022 PAGE 3 6. Opportunity for Councilors and the public to share information and resources on climate change: Ms. Emery noted that in reading through the Climate Action Plan, there are several organizations the city could join. She was inspired to see hundreds of cities working to restore ecosystems. Mr. Cota advised that the end of the month is the end of the time to comment to the Agency of Natural Resources on the zero emission cars movement. Mr. Barritt said that at the BED Net Zero Fair there was a chart regarding “good” and “bad” ways to go to school. Walking was the best. 7. Receive the Chief Sustainability Officer’s Annual Report on the progress the City has made to enact the Climate Action Plan and to integrate climate change impacts into decision making: Mr. Conner noted that the major item on tonight’s agenda is the presentation of the Climate Action Task Force’s Climate Action Plan. He noted there is a government operations portion of that report. There is an opportunity for city departments to comment on proposed actions. 8. (previously #13) FY22 Year End Financials and potential funding action: Mr. Bolduc reported that the fiscal year is closing significantly in the black by about $2,000,000 which is $1,700,000 above projected revenues. Local options taxes returned $600,000 above projections and building and sign permit fees were $200,000 above projections and higher than pre-pandemic numbers. There was also unbudgeted income from FEMA relief ($236,000) and reimbursement ($100,000) from low workers compensation claims. Cost savings from the captive health insurance initiative was over $300,000 in unspent funding. Mr. Bolduc reminded the Council that they have already approve additional funding from the surplus to the Trinity Education Center ($13,000), for fire equipment ($60,000) and spring paving ($200,000). There is still $1,700,000 unappropriated. Recommendations for use of that unappropriated surplus include: CITY COUNCIL 19 SEPTEMBER 2022 PAGE 4 a. Increasing the special reserve fund for captive insurance increases from $140,000 to $175,000 Mr. Barritt asked what the medical insurance increase will be for the coming year. Mr. Bolduc said it will be a 6.4% increase. b. Increasing the Planning Department staffing by 2 members ($150,000). c. Reserve funding for Dorset Street signal project. The city received 2 bids in August which are being evaluated. They are close to projections (close to $1,000,000 if work proceeds this year). The recommendation is to maintain that amount. The city has received on grant for this project which requires a 20% match. d. Setting aside $100,000 for long-term savings for the Pension Plan. This would increase the funded amount by a small amount. Mr. Barritt asked if there is any consideration to paying down the pension plan loan. Mr. Bolduc said it was considered but was not done. e. The remainder to the fund balance savings account which would get the city closer to the recommended target. Mr. Barritt said he would like to consider evaluating the benefit of paying down some of the Pension Plan loan. Mr. Cota said he absolutely supports adding to the Planning staff. He asked about the Zoning Administrator position. Ms. Baker said that position has been filled. There has been a title change with 2 people responsible for that work. Both report to Ms. Keene. The second proposed new hire would be a City Planner. Mr. Barritt moved to approve the additional funding for health care reserve fund, staffing for the Planning Commission and increase to the Pension Fund. Mr. Cota seconded. Motion passed with all present voting in favor. A brief recess followed. CITY COUNCIL 19 SEPTEMBER 2022 PAGE 5 9. Public Hearing: on an Ordinance to regulate fuels for heating and hot water in new construction: Mr. Barritt moved to open the public hearing. Sen. Chittenden seconded. Motion passed with all present voting in favor. Mr. Cota recused himself due to a potential conflict of interest. Ms. Baker noted that tonight’s purpose is to hear from the public. At the Council’s next meeting, the Council will discuss and re warn any changes to the Ordinance. McNeil explained that the Ordinance regulates heating and water systems in new buildings which have not been permitted by 1 January 2024. 85 % of the heating system must be renewable. After speaking with some experts, some amendments have been made to the drafted Ordinance including references to multi-family building energy standards. The word “domestic” has been changed to “serviced water heating systems.” The Ordinance also requires that compliance continues after the initial build. Public comment was then received as follows: Ms. Reale: Read a letter of support from the Energy Committee. Mr. Shatzer: Asked that before the Ordinance is accepted it is amended to include emissions from the Airport. He said that residents of South Burlington are being harmed daily, and the Guard needs to be held accountable. Council members noted that this comment is more appropriate to the discussion of the Climate Action Plan later in the agenda. Mr. Gardner: The Ordinance will make South Burlington a better place to live. He noted that he works for an energy company, and the buildings they work on are net zero or net zero capable, and the technology is there to adopt the Ordinance. He added that it is not true that it is more expensive to use electricity; that belief does not take in the carbon cost. Kai: A Burlington resident noted there is some resistance in Burlington. An increasing number of people using heat pumps realize they made a mistake installing them. They are CITY COUNCIL 19 SEPTEMBER 2022 PAGE 6 paying more after installation and creating more greenhouse gases. He urged caution and the need to consider the age of buildings. (Ms. Emery reminded the public that this Ordinance deals only with new construction.) Mr. Smith: He supported the Ordinance and urged its approval. The transition from fossil fuels needs to happen quickly and equitably. He felt it is easy to achieve in new buildings and encouraged some form of compensation for hardships. Mr. Hemmelgarn: He is a partner in Black River Design and said the Ordinance is achievable. The National Institute of Architects is recommending what South Burlington proposes. The rate of technological advancement continues to increase. He encouraged support of the Ordinance. Mr. Biama: His construction management/development company was asked to provide expertise as they are involved in several net zero projects. He acknowledged they are very expensive (e.g., they require bringing more amperage to properties, and the cost of electricity has increased in recent years). Capacity needs to be increased on the grid side. He also acknowledged that some projects won’t get off the ground because of the cost. He suggested possibly revisiting the ordinance to incentivize rather than require. He also noted that all- electric heating systems suffer in winter in large commercial projects. Mr. Thiltgen: A Burlington resident who works in South Burlington and does energy audits. He felt that what is proposed in the Ordinance will soon be required by code. It is being incentivized by Green Mountain Power and Energy Efficiency. He acknowledged that the impact on existing buildings is significant. It is also easier to achieve in residential buildings than in commercial buildings. There are issues in Burlington involving kitchen ventilation in restaurants and commercial driers for multi-residential buildings. He urged the city to be sure “all bases are covered.” Mr. Swanson: Agreed it is very hard to go back and retrofit older buildings and cited the example of his church and his home. Mr. Gonda: Supports the Ordinance. Mr. Bossange: Need to be sure heat pumps work in multi-family buildings. Did not want the new technology to be absent from affordable housing. Architects he has talked to said heat pumps work well now and will be more efficient in the future. He cited a 4-story building in CITY COUNCIL 19 SEPTEMBER 2022 PAGE 7 Burlington where heat pumps are working. They are individually controlled. Natural gas is still used for hot water heaters there. Each unit has an exhaust system to bring in fresh air. The lines for heat pumps last forever, and there is no leakage. The buildings he visited also have solar which covers common areas and elevators. Natural gas is not clean. He urged approval of the Ordinance. Ms. Greco: Supported the Ordinance and urged its enactment as soon as possible. Has personal experience with heat pumps and they are very efficient. Mr. Hyman: Cited the report of the Energy Action Network with data on heat pumps. He also noted the President’s new bill with extra incentives to reduce installation costs of heat pumps. It is important that the 2 largest municipalities are adopting these regulations. He uses heat pumps in his house and has had no problems. Ms. Demetrowitz: Supported the Ordinance for single family homes and some businesses. She noted that the Vermont Housing Trust has some issues with larger buildings. They have several 70-unit buildings. They are cooled with heat pumps which are not used for heating. They have not heard good things from other building owners regarding heating. It is much more expensive. She supported the inclusion of building inspectors for single family homes. She asked that the condition for electric hot water heaters in multi-family buildings be removed. Ms. Moore: The way some homes were built make some upgrades impossible. It is very hard to get off natural gas and very expensive. To continue to build with natural gas is irresponsible. They were told that in their 2014 home even if they retrofitted they could not get enough heat in winter. Ms. Chen: Had 2 heat pumps installed and the house is very comfortable. The distribution of heat is much better. They would like to install two more but were told that is impossible because they are in a duplex condo. The cost is 5% more, but she wasn’t sure that was a fair comparison. Mr. Gifford: Works for Vermont Gas and welcomes the ongoing dialog. They have 55,000 customers and 130 employees. They want to be part of the solution and are fully committed to the State’s climate goals. He stressed that it is critical to winterize homes. They are now working on hybrid systems and looking at how to eliminate fossil fuels. He noted that their pipes carry different types of fuel. They support a policy that sets clear performance standards. It is also important that income challenged people are considered. CITY COUNCIL 19 SEPTEMBER 2022 PAGE 8 Ms. Zigmund: Urged support of the most robust standards possible. Also supported hiring additional staff, especially for inspection of single family homes. She was concerned that there could be lower standards for multi-family buildings with affordable housing. She also cited the fact that the cost of natural gas went up 27% from July to August this year and will continue to go up due to the financial risk. This could saddle future generations with the cost of retrofitting. They are trying to get their house off gas, but the cost is enormous. She is a lung specialist and cited the issues of children with asthma, particularly in homes using gas in small kitchens. She also said some emissions can cause cancer. She urged support of the Ordinance. Mr. Epstein: They upgraded their home to net zero. He encouraged support of the Ordinance. Mr. Snyder: He is a builder of multi-family buildings and has experience in construction and heating systems. He stressed the need to focus on new buildings. Their building on Dover Place with 43 units is already efficient based on existing codes. He cited the need to focus on exterior wall samples. He also cited additional costs from installation and long-term maintenance. Heat pumps need to be replaced more often. This could improve over time. Regarding ventilation and domestic hot water systems, the products are very limited, and “we are pushing the envelope more than the available technology.” He recommended following Burlington’s exemption for ventilation and hot water and also hiring consultants who can formalize details of a potential future ordinance. A member of an architectural firm noted that his firm has gone all electric with heating in residential and commercial buildings. No one system fits all, and products keep getting better. He acknowledged that hot water is an issue. They are using small hot water heaters in individual units of the buildings they build. Mr. Engels: It is possible to get a full rebate for heat pumps through the inflation reduction act depending on income. This would be significant for low income homeowners. There are also rebates up to $1750 for hot water heaters. State governments will issue rebates for heat pumps after 1 January 2023. Mr. Defour: Agreed with almost everything. We pay now for a better future. Following public comment, Mr. Barritt moved to close the public hearing. Sen. Chittenden seconded. Motion passed 3-0. CITY COUNCIL 19 SEPTEMBER 2022 PAGE 9 Ms. Emery noted that staff will be asked to follow up on some things. There will then be a second public hearing and then a Council decision. 10. Possible direction to staff on an Ordinance to Regulate Fuels for Heating and Hot Water in new construction: Sen. Chittenden said he supports the Burlington Ordinance and felt they were getting close on water heaters. He recommended a temporary (2-year) waiver on hot water heaters for large buildings and multi-family buildings though he was confident “we can get there.” Ms. Emery felt that was reasonable and supported it. She felt the testimony on retrofitting was compelling. Mr. Barritt also shared that concern and would like to get information on cost differences from electric hot water heaters. He had no doubt that non-profit developers would have concerns. Following this item, Mr. Cota rejoined the Council. 11. Climate Action Plan Task Force to present the recommended Climate Action Plan to the Council: Mr. Goldman cited changes in the Vermont climate and the potential impact on what we like to do in winter including the maple syrup industry. He also cited the rise in weather extremes and the fact that global warming is reaching 1.5 degrees centigrade which could increase hazards. He then reviewed the process to produce the Climate Action Plan for the city. He noted that not everyone can attack the problem in the same way and agreed that equity needs to be addressed. Regarding buildings and the thermal sector, Mr. Goldman cited large up-front costs which are a challenge to people with limited income and those who done have the right to alter the places where they live. He said there should be policies to ensure that impacted populations have access to the benefits of renewable energy. Mr. Goldman then reviewed historical emissions and future targets. He noted that about 2/3 of emissions arise from transportation, and the balance is split between residential and commercial buildings. These numbers need to drop significantly. The overall goal is to reduce total emissions by 60% from 1990 levels by 2030. This would put the city on track to reduce CITY COUNCIL 19 SEPTEMBER 2022 PAGE 10 emissions by 80% by 2050. That, he said, is the easier part. It will take more time to do the harder things. The city’s targets for 2030 include replacing 75% of gas vehicles with electric (including hybrids). Only 2% of vehicles meet this target at the present time, but there has been a 50% increase from 2021 to 2022 which would allow getting to 75% by 2030. The question is what kind of support is needed to achieve this (e.g., service technicians for vehicles). Regarding buildings and thermals, weatherization and the use of heat pumps are important. The city needs to do 360 heat pumps a year. The current rate is 100 a year, partly due to a shortage of installers. There are also huge bottlenecks with regard to weatherization. As loads are added for energy, there needs to be a plan for renewable energy including solar. At the present time, less than 20% of energy is solar. This needs to be between 50% and 90% to meet the goals. Mr. Goldman said the City Council can determine which projects to prioritize with regard to city government operations. The city can show leadership. There can be regulatory goals in addition to city building goals. Mr. Goldman then shared the results (156 responses) of a survey conducted by the Task Force. 75% of people are very concerned and cited the need to get people involved. People would support electric vehicles, consolidated trash services, high-density housing, building heating, and other measures. Implementation plans and equity plans are the next areas to be addressed. Strategic planning should incorporate climate planning in every step. Ms. Emery noted that no action would be taken at this meeting. She said there is a memo from the City Manager regarding implementation. Ms. Baker said there is expertise on staff to help. The first thing that is needed is the development of an implementation plan, two parts of which are already funded. Some things can be tackled in the budget process. The current tax rate is 42 cents on the dollar. If the city revolutionizes how it operates around climate change, additional funds will be needed, and there will have to be changes in how funds are allocated. Someone needs to “own” the implementation plan. The next big question is how to resource that. She stressed that it takes CITY COUNCIL 19 SEPTEMBER 2022 PAGE 11 resources to partner, and there is no one on the city'’ team to do that now. The city also has to support the community to access resources that are available. Ms. Emery questioned what the dollar signs on p. 22 of the plan mean. Mr. Goldman said they couldn’t figure out how much each item would cost, not only the city’s cost but also the whole community’s cost. Ms. Emery asked if those are taxpayer dollars. Mr. Goldman said they are. They come from the city budget and however money flows into the budget. Mr. Goldman cited the importance of quantifying benefits in addition to costs including the benefit of good jobs. There has to be consideration of the health and quality of life benefits and the reduced cost of rebounding from weather events. Mr. Barritt asked if Green Mountain Power has a position on the increased demand for power. Mr. Goldman said they are supportive of the plan. The price of electricity will go up, but increasing the demand can reduce that costs. He said the city shouldn’t worry about electric capacity as offshore wind power could be brought in as well. Ms. Riehle, who joined the Council for this report, said people have to remember this is a plan and not to focus on “the weeds.” Costs will be considered in the implementation plan. She also felt they have to consider the investment of city personnel to help go for grants, etc. This can’t happen with current staff. Ms. Adams urged that the report go back to the Task Force because it doesn’t include green gas emissions from the Airport. Without that, it does not represent a data driven report. She stressed that people are dying around the world from a problem they didn’t create. She noted that IAEC gas emissions protocol requires including airport emissions; without that, the report is just propaganda. Mr. Goldman said South Burlington is in the unique position of housing an airport that is owned by another municipality which is responsible for its operations. The Airport is included in Burlington’s climate action plan, and it would double counting to include it in South Burlington’s plan. The city can, however, lobby to encourage other policy makers to act. Ms. Adams said the Airport is not included in Burlington’s plan. Mr. Conner said the Airport is developing a plan which they expect to be completed by the end of the year. CITY COUNCIL 19 SEPTEMBER 2022 PAGE 12 Other public comment was received as follows: Ms. Hannaford: Understands Burlington’s plan will include the Airport. Any emissions not included in Burlington’s plan should be in South Burlington’s plan. We can’t pretend it isn’t there. Mr. Martin: This is Climate Action Week. Neither the state, nor Burlington, nor South Burlington has considered the Airport in its climate action plans. Mr. Leas: Omitting aircraft is a mistake. It emits a huge amount of greenhouse gases and is the only institution that will make its own plan. There should be equal treatment for everyone and a plan for the entire city. He noted the Airport even wants to expand. Mr. Shatzer: The Airport won’t account for military planes in its plan. They are the largest polluters. He asked to include this in the city’s plan. Isaac: Agrees with Ms. Adams. All the Airport plan was doing was ground emissions which is a weak way to address problems. Ms. Basker noted that the Climate Action Plan will be on the 3 October agenda with another update of the plan. 12. FY 24 Budget: council discussion on budget goals: Mr. Bolduc said this will be a very hard budget hear. The leadership team is working on what it will cost to maintain core city services. Mr. Bolduc then enumerated the team’s concerns: a. Tax rate anticipation b. Increased infrastructure maintenance (with the same number of maintenance staff as 15 years ago) c. Expectation for maintenance of roads and parks d. How to fund the Climate Action Plan Mr. Bolduc then enumerated projected additional expenditures for maintain the same services: a. $330,000 for employee salaries b. 6.4% increase in group health plan CITY COUNCIL 19 SEPTEMBER 2022 PAGE 13 c. Inflationary impacts (e.g., paving, fuel) These result in a $1,800,000 increase to maintain current services. The good news is a projected increase in revenues. With that estimate, the cost to maintain services could be reduced to $715,000 which would mean a 3.74% tax increase. Ms. Baker stressed that without the leadership team weighing in yet, there are considerations that staff does not yet know about. They are still looking at the cost of funding the CIP, which is more than what is being funded. Ms. Baker noted that the city was able to use ARPA funds for the new ambulance. The question is whether to continue to leverage ARPA funds for the CIP. Those funds could be targeted to specific CIP services (e.g., parks, sewer/wastewater) which were identified in the public survey. There would have to be at least a 1% increase to maintain the current CIP funding ($330,000). Items to be considered in budgeting include: a. Climate action plan (a potential 1% increase in the general budget) b. Core municipal services c. Strategic planning to meet Fire/EMS services d. Bridging the gap in the inflation shortfall e. Bartlett Bay Treatment Plant capacity f. TIF vote in March To do all of these things would result in a 7% increase to the tax rate. Sen. Chittenden said one thing that Burlington does that South Burlington should do is a rental registry. Those funds could be used to fund enforcement of ordinances. He also suggested factoring into the budget a modest increase in fees. Mr. Bolduc said that will be looked at this year as will enterprise fund items. Ms. Emery cited the need to equip city services to leverage all the opportunities out there, some of which could come from ARPA funds. She asked what is currently underfunded. Mr. Bolduc said park maintenance is high on that list. Ms. Riehle said it is time for the Council to have the conversation regarding how the city has grown and hasn’t kept up with staffing in some areas. They have to consider public CITY COUNCIL 19 SEPTEMBER 2022 PAGE 14 expectations. She would like the leadership team to come back with staffing and funding they need to meet important needs for the community. She stressed that this doesn’t all have to come from tax dollars. There needs to be someone looking at grants so the Council can make policy decisions. The city can’t keep doing more for less. She said she would support some significant increases, even if it means tax increases. Mr. Barritt said he hates tax increases over 3%, but he realizes that with inflation at 8-9% and the CIP things that need to happen and the Climate Action Plan, there will be added funds needed. He liked the idea of using ARPA funds. 13. Other Business: No other business was presented. 14. Consider entering executive session for the purposes of discussing real estate acquisition and negotiation: Mr. Barritt moved that the Council enter into executive session for the purpose of discussing the negotiation or securing of real estate for purchase or lease by the City of South Burlington and inviting into the session Ms. Baker, Mr. Bolduc, Mr. Conner and Mr. McNeil. Sen. Chittenden seconded. Motion passed unanimously. The Council entered executive session at 11:10 P.M. Following the executive session, as there was no further business to come before the Council Mr. Barritt moved to adjourn. Sen. Chittenden seconded. Motion passed unanimously. The meeting was adjourned at 11:25 p.m. _________________________________ Clerk JOINT PLANNING COMMISSION/CITY COUNCIL 27 SEPTEMBER 2022 The South Burlington Planning Commission and City Council held a joint meeting on Tuesday, 27 September 2022, at 7:00 p.m., in the City Hall Auditorium, 180 Market Street, and by Go to Meeting remote participation. PLANNING COMMISSION MEMBERS PRESENT: J. Louisos, Chair; D. MacDonald, T. Riehle, P. Engels, M. Ostby, M. Mittag, A. Chalnick CITY COUNCIL MEMBERS PRESENT: H. Riehle, Chair; M. Emery, T. Barritt, Sen. T. Chittenden ALSO PRESENT: J. Baker, City Manager; A. Bolduc, Deputy City Manager; P. Conner, Director of Planning & Zoning; J. Lukasiak, A. Chalnick, S. Dopp, K. Ryder, B. Zigmund, S. Roberson, H. Shen, L. Murphy, D. Peters 1. Welcome, instructions on exiting the building in the event of an emergency: Ms. Louisos provided instructions for emergency exit from the building. 2. Agenda: additions, deletions or changes in the order of agenda items: Ms. Louisos explained that a short Planning Commission only session will follow the joint meeting. 3. Open to the public for items not related to the agenda: No public comments were made. 4. Announcements and staff report: Ms. Ostby noted is has been almost a years since a young cyclist was struck on Dorset St. She said she talked with the Public Works Director regarding better lighting. He looked at the solar collector and when lights turn on. Ms. Ostby also addressed the concept of the Planning Commission working in a “nimble manner.” She felt they have done that with both Beta and Tesla but did not with a Habitat for Humanity request. She felt there should be a policy in this regard. 5. Commission and Council discussion of 2024 Comprehensive Plan: a. Values, Vision and Goals of the Plan b. Areas of potential competing policy within the Plan JOINT PLANNING COMMISSION-CITY COUNCIL 27 SEPTEMBER 2022 PAGE 2 c. Areas of potential policy discussion within the Plan d. Overview of Committee role Mr. Conner noted the next plan needs to be adopted by 2024, so it must be completed by August 2023. Mr. Conner also noted that the 2016 Plan was a massive effort by the community, so the 2024 Plan is not a “start over” situation. The Planning Commission is looking to go from a “top of the funnel to the bottom” with some room to be nimble. Having the vision outlined will help to from this work. Ms. Baker stressed the importance of remembering that the 2016 Plan is being used by staff to outline the city’s strategies and policies. Ms. Louisos said the first step is an affirmation of the vision and goals. She noted that the intent is to focus more on people and noted the language provided by staff regarding values, visions and goals. She then asked each participant to state what he or she feels strongly about that is or is not in the language provided: Mr. Mittag: Agreed with Mr. Chalnick’s written ideas especially with the addition of the words “fair and just” in the beginning. He stressed that climate change has to set the tone for the whole plan. He felt the city is likely to have more floods and droughts and felt the second bullet should read “climate resilient and food secure.” He would also add language to wetlands protection to protect grasslands, forests, etc. Mr. Mittag said we are consuming and depleting the planet’s resources at an unsustainable rate, and that has to change because the quality of life, public safety and welfare are at stake. Mr. MacDonald: Climate change is an overarching theme, but there are competing goals. There is a huge housing crisis. His business can’t hire people because employees can’t find an affordable place to live. People will be moving here, and he didn’t want the city to become an exclusive enclave. Mr. Chalnick: His guidepost is to be equity-oriented. He lived in Brooklyn where people of all strata lived side by side. It was very vibrant. He wanted to build South Burlington that way. At the same time, there is a need to protect resources. It makes no sense to build $700,000 homes on Spear Meadows. He said he would prefer “community strong” to “human scale.” Mr. Riehle: Agreed with previous speakers. The only way to get affordability is for the city to spend money and buy land for housing. He agreed with the “infill concept”; however, they are JOINT PLANNING COMMISSION/CITY COUNCIL 27 SEPTEMBER 2022 PAGE 3 also talking about maintaining the quality of life and uniqueness of neighborhoods. With infill, there would be more traffic, etc. He stressed the need to be careful with infill. Neighborhoods do have issues. Regarding connectivity of neighborhoods, he was also concerned about building roads through neighborhoods. Ms. Ostby: With talk of affordability, there also has to be consideration of dignity. She questioned what they can do to ensure that every resident has a dignified experience and wants to stay in South Burlington forever. The issue is more than how many bedrooms a place has. Is it close to a park? Can residents get noiseless sleep? Is there food security? She felt if they can articulate this, it will help talk to the community. She noted only one member of the 2 bodies lives in the Transit Overlay District. She also noted that it was a non-resident who struck the child a year ago. There are lots of people not familiar with road in the Transit Overlay District, and that’s where the plan is to put more housing. Mr. Engels: Would like to see citizens really involved in government and believes there is the technology to do this. He would like a community organizing effort around the Comprehensive Plan. He also felt the 2016 Chamberlain neighborhood plan should be included in the city’s Comprehensive Plan. Ms. Louisos: She liked being more broad with “sustainable,” but also being specific about what we can do to prepare for floods and drought. She liked Ms. Ostby’s idea of “dignity.” Mr. Barritt: The Comprehensive Plan is aspirational. He noted current international instability which is driving costs. Disease is also spreading quickly. He questioned whether there is enough water if there is a drought and the city can’t get water from Lake Champlain or Hydro Quebec. He noted there is not a lot of land left to build on, and there can’t be many 3-4 bedroom homes on quarter-acre lots now. Ms. Emery: Noted that her son, who lives in New York City, wants to get out. She wanted to really think about how the city can develop in a way that doesn’t deprive people of a neighborhood where parents can teach their kids to ride a bike. Ms. Riehle: Felt they have been missing how education happens. It represented a large expenditure of taxpayer money, and it is hard to deal with because it is not the responsibility of the Planning Commission or City Council. She stressed the need for the School District to be part of the discussion. Mr. Mittag asked if the School District could do a section on education. Mr. Conner said education is an element that is expected to be in the Comprehensive Plan. He JOINT PLANNING COMMISSION/CITY COUNCIL 27 SEPTEMBER 2022 PAGE 4 said staff has begun to engage Police and Fire people who engage and interface with the community in a different way. Mr. Riehle said that with more housing, there will be more kids in schools. Ms. Riehle added there should be more than just a chapter. Education encompasses issues of housing, a new school, etc. Mr. Engels noted that there are 2 School Board members serving on the City Charter Committee. He felt that was a starting point to bring them into the planning discussion. Ms. Ostby asked if there were population forecasts done in 2016 and whether that can happen now. Since the Comprehensive Plan goes for 8 years, it would be good to know what the city could like then. Ms. Riehle said the city is attempting to work with the schools on that. Ms. Baker added that she and Mr. Conner are working with the Interim School Superintendent to come up with models regarding impacts on schools. They are looking at what is known of development so it can be overlaid with student data and used to model forward what is happening in the community. Mr. Conner said there were population forecasts in 2016, and they have been pretty well borne out. Staff is thinking about what that data means to all areas of the Comprehensive Plan. Ms. Baker cited some emerging themes: a. Safe transportation b. Dignity c. Nuances of infill d. Green fields Mr. Mittag said South Burlington can’t replicate a big city, but he felt they could start be becoming a refugee receiving community. He said that with proper zoning, there could be high- rise buildings. He cited the vital neighborhood being created in Burlington’s Old North End. Ms. Riehle said “human scale” was unclear to her. Mr. Conner said it was an evolution from the word “walkable.” Cars shouldn’t be dominant. They are hearing things should be more oriented to the “human experience.” Infrastructure should serve the people, not the other way around. Mr. Barritt said it also has to do with functional and aesthetic experience. The last thing he wants to see is “cookie-cutter” blocks of 4-story buildings, like a rubber stamp repeated over and over again. Mr. Riehle said people want to be able to grill a steak on a grill. Build parks with grills. Build the amenities first Ms. Ostby noted that the new regulations for civic JOINT PLANNING COMMISSION/CITY COUNCIL 27 SEPTEMBER 2022 PAGE 5 space require being within a quarter mile of a park, but the park has to be on the same side of a 4-lane road. Ms. MacDonald cited the importance of the word “neighborhood.” It is something you belong to. For a lot of people, that is their sense of community. Ms. Riehle said that has to be considered in the LDRs: what kind of buildings do you build so people feel they are part of a community. Mr. Chalnick read from the definition of “livable neighborhoods.” Ms. Ostby also cited the importance of understanding what is cherished in a neighborhood. What is the broader good while creating infill? Mr. Riehle cited the dilemma of putting infill in a neighborhood like Mayfair Park. He stressed that people moved to South Burlington to have some land. Ms. Emery cited the need to be sensitive to topography in neighborhoods. Mr. Engels said they should learn what people want by asking them, not by pontificating from on high. Sen. Chittenden noted that the City of Burlington has Neighborhood Planning Associations. He felt South Burlington could look into that as well. Ms. Ostby asked what happens if a strategy doesn’t support what a neighborhood or the community doesn’t want. Ms. Louisos said adjustments could be made. Ms. Baker said she is hearing a healthy tension around what is best for neighborhoods vs. what is best for the community. She stressed the need to include the region and the State in these considerations. She cited the challenge of including that in the Comprehensive Plan: how intentional should regional concerns be? Ms. Ostby said she was concerned with vagueness such as those previously created by the “fuzzy map” issues. She cited generalized lines about protection of grasslands, etc. She said it wasn’t that they weren’t dealt with. There were reasons they were dealt with in the way they were. Mr. MacDonald said the Commission settled on incentivizing, not regulating. He felt they shouldn’t go back on that decision. Ms. Riehle cited regional and State pressures. The Regional Planning Commission has designated housing goals for South Burlington because this is where the jobs are. The City Council has to deal with that force. She stressed the city is not in this alone; there are very fine lines to walk. More jobs will come to the city, so there will be more pressure. The Comprehensive Plan has to acknowledge that the city is part of a region and the State of JOINT PLANNING COMMISSION/CITY COUNCIL 27 SEPTEMBER 2022 PAGE 6 Vermont. Mr. Conner noted that by law the Comprehensive Plan must take into account the Regional Plan. Mr. Engels cited the importance of addressing inconsistencies in the exiting plan. Mr. Conner noted one of these is the fact that land for business parks is considered “grasslands.” Ms. Riehle questioned whether the Plan should reference the Open Space Report regarding environmentally sensitive areas. If they come up for sale, should the city have a right of first refusal? Ms. Louisos questioned whether specific parcels should be mentioned in the Plan. Mr. Bolduc reminded members that the Environmental Court has ruled that the Comprehensive Plan has no binding effect. It is a policy document. It should not be that “granular” as denoting specific land. Mr. Con ner noted that the city’s committees will be encouraged to have similar discussions. Ms. Baker thanked members for the very thoughtful conversation. She stressed this is “hard stuff.” Ms. Riehle asked the Commission to let the Council know if they need anything more. PLANNING COMMISSION ONLY PORTION OF THE AGENDA: 6. Consider approval of Planning Commission Report and Warning of a Public Hearing for amendment to the Land Development Regulations #LDR-22-07 to modify boundaries of the Commercial 1-Residential 15, Commercial 1 Auto, and Commercial 2 zoning districts in the vicinity of Shelburne Road corridor: Mr. Conner noted there are actually 2 amendments, LDR-22-07 and LDR-22-08. The latter allows municipal uses to remain in the district. Mr. Riehle noted this amendment doesn’t have to be just for electric auto sales. Mr. Conner said it could be any car dealership. Mr. MacDonald moved to warn a public hearing on amendments LDR-22-07 and LDR-22-08 for Tuesday, 25 October as outlined in the meeting packet and to approve the accompanying report. Mr. Chalnick seconded. JOINT PLANNING COMMISSION/CITY COUNCIL 27 SEPTEMBER 2022 PAGE 7 Ms. Ostby noted that they were making it a priority to be sure health and environmental concerns were in place. She also noted that Tesla is currently having legal issues regarding harassment. Public comment was solicited. There was no public comment. In the vote that followed, the motion was passed unanimously. 7. Minutes of 13 September 2022: The minutes of 13 September will be considered at the next meeting. As there was no further business to come before the Commission, the meeting was adjourned by common consent at 9:22 p.m. ______________________ ___________________________ City Council Clerk Planning Commission Clerk CITY COUNCIL 03 October 2022 The South Burlington City Council held a regular meeting on Monday, 03 October 2022, at 6:30 p.m., in the Auditorium, 180 Market Street, and by Go to Meeting remote participation. MEMBERS PRESENT: H. Riehle, Chair; M. Emery, T. Barritt, Sen. T. Chittenden ALSO PRESENT: J. Baker, City Manager; A. Bolduc, Deputy City Manager; C. McNeil, City Attorney; P. Conner, Director of Planning & Zoning; T. DiPietro, Public Works Director; A. Cote, J. Oster, B. Fisher, J. Riley, G. Nelson, A. Janda, B. Milizia, M. J. Reale, E. Krasnow, C. Palopoli, A. Moore, R. Thomas, K. Ryder, L. Bresee, M. Murray, S. Crowley, D. Leban, E. Goldman, J. Leas, A. Adams, D. Peters, S. Srivivasen, Isaac, M. Needle, S. Dopp, D. Castrigano, J. Decker, C. Martin, B. Heiser, K. M. Forlie, M. Ostby 1. Instructions on exiting building in case of emergency and review of technology option: Ms. Baker provided instructions on emergency exit from the building and reviewed technology options. 2. Additions, deletions or changes in the order of Agenda items: No changes were made to the Agenda. 3. Comments and questions from the public not related to the agenda: Ms. Ostby spoke to the need to make the streets near the Middle and High School safer for students. She noted that State Statute allows school boards to have jurisdiction over speed limits in the school areas, but this is not allowed in South Burlington. Public Works people told her that since no studies have been done regarding safety near school streets, only the Council could make that a priority. She also noted that it has been just about a year since a student was severely injured, and she hoped the Council could make that a priority before that year is up. Ms. Emery noted that what got attention on White Street near Chamberlain School was a letter from the Principal which got it put on CCRPC’s agenda. Ms. Moore, the mother of the young man who was injured. She said her son is now minimally conscious and still requires full assistance and a feeding tube. Her son had been leaving a school event on his bicycle in an area where children cross the road all the time. She felt that better lighting could have prevented the accident and said the city should do everything in its power to keep children safe. CITY COUNCIL 3 OCTOBER 2022 PAGE 2 4. Announcements, Reports on Committee Assignments, and City Manager’s Report: Members reported on meetings and events they had attended. Ms. Baker: A suspect in last night’s homicide is in custody. The city is playing an active role in the new Violence Task Force. Mr. Goldman has offered to give a presentation of the Climate Action Plan to the leadership team. The Wheeler Park fence will be installed on 24 October. Public Works will then place stone at the entrance. Dorset Street paving will begin on 10 October. There will be public outreach explaining this work. The developer is adding a turn lane to the Hillside development midblock between Kimball Avenue and Hinesburg Road. The intersection will be signalized in the future. The Water Department is looking into the leak under UMall. The final design for the bike/ped bridge will be presented on 13 October, 6 p.m. at City Hall. The winners of the Halloween decoration contest will be announced on 28 October. The final design for City Center Park will be presented on 27 October. 5. Consent Agenda: a. Approve and Sign Disbursements b. Designate an Attorney to assist with any required tax sales c. Authorization of an expenditure of $9,915 from the Open Space Conservation Fund to support the conservation of 500 Cheesefactory Road d. Approve the Housing Trust Fund Committee’s recommendation to allocate $50,000 of Trust Fund dollars to the Summit at O’Brien Farm Apartments e. Approve an Impact Fee credit for 108 Williston Road CITY COUNCIL 3 OCTOBER 2022 PAGE 3 Ms. Emery moved to approve the Consent Agenda as presented. Mr. Barritt seconded. Motion passed 4-0. 6. Receive a presentation from the Department of Public Works and Hoyle Tanner on upgrades needed to the Bartlett Bay Wastewater Treatment Plant and consider a Town Meeting Day bond vote: Mr. DiPietro said the recommendation is for a $34,000,000 upgrade consisting of 3 components: a. Upgrade of the facility b. Upgrade of wastewater infrastructure c. Upgrade of pump stations Ms. Oster then explained that Hoyle Tanner has been working with the plant for decades. She reviewed the history of the facility through the major upgrade in 1999 and showed a map indicating the service area of the plant. Equipment is now 23 years old, and upgrades are needed to meet new regulations. A 20-year evaluation was done in 2019, and that work was then expanded to a preliminary engineering study and recommended project. Ms. Oster showed a chart of the anticipated remaining life of existing equipment. Most are in the 2-5 year range. One component is already experiencing failure. She also showed photos of age-related needs and indicated corrosion, ceiling leakage and the poor condition of the sludge storage tank. She also showed pictures of the “headworks” which she said was an obsolete design. Screening is ineffective, and solids are making their way through and creating issues throughout the process. The UV disinfection system (1999) is no longer being supported by the manufacturer, and part replacement is at risk. Ms. Oster showed an existing site plan and indicated some structures that have been abandoned. She then showed the proposed site plan with a new headworks building and a section of outfall that would be replaced. There would also be a new sludge storage facility, paving, and a new fence. Ms. Riehle asked what will happen to the abandoned buildings. Ms. Oster said they will be properly demolished with the possibility of some reclaiming. CITY COUNCIL 3 OCTOBER 2022 PAGE 4 Mr. Barritt asked if there will be a cooker tank similar to Airport Parkway. Mr. DiPietro said it will not. Materials will be brought to Airport Parkway. Mr. Barritt noted that the fans there are very noisy. Ms. Oster said they will be sound enclosed with lower noise. Ms. Oster then reviewed the history of the Airport Parkway facility and noted that the last upgrade was in 2011. She explained how sludge is handled there after being trucked from Bartlett Bay. The city is being required to document a plan for volatile solids reduction. She showed that plan for solids handling improvement in the primary clarifier. She noted that all 3 tanks are needed for that process, so they will have to add a 4th clarifier which will not be in service unless one of the other 3 needs maintenance. Regarding pump stations, Ms. Oster said the city has 32 pump stations, 23 of which are in the Airport Parkway area and 9 in the Bartlett Bay area. She showed a map of those in the Bartlett Bay area and indicated the need for refurbishing. There have been failures at these facilities as they have exceeded their anticipated useful life. This creates a risk to a spill into Lake Champlain. They are looking to possibly combine 2 of the pump stations which would result in a cost savings. Ms. Oster then presented the anticipated costs as follows: Bartlett Bay Construction $21,151,000 Bartlett Bay solids 1,823,000 4 pump stations 4,456,000 Legal/administrative/permitting 132,000 TOTAL ………. $33,833,000 Available funding includes: a CWSRF planning loan of 50% of engineering services up to $100,000 per project per year; pollution control grants up to 10% of the project total cost, and reapplying for Congressional Directed Spending of up to $350,000. There are no ARPA funds for this project. Mr. DiPietro bond payments would begin a year after the project is complete. They are working on a rate study. $1,900,000 would result in a 6.75% rate increase for 4 years, about $71 a year for a rate payer. He showed a chart of local sewer fees, indicating that South Burlington is the lowest in the area. CITY COUNCIL 3 OCTOBER 2022 PAGE 5 Mr. DiPietro then reviewed the next steps including bond documents, public education/information, a March bond vote, construction in 2024-2026. Mr. DiPietro noted that having a bond vote helps with the securing of grants. Mr. Barritt asked what percentage of homes in the city is not served by the sewer system. Mr. Bolduc said about 100 homes. 7. Approve the Dorset Street Signals Contract and financing: Mr. DiPietro said the project involves the replacement and/or rehabilitation of 9 traffic signals on Dorset Street. He then reviewed the complexity of the bid structure as the bid included 11 alternative options (he showed the list of these). Sen. Chittenden noted there are other options including preemption for emergency vehicles which can also be used for buses. Mr. Barritt asked if signals will be coordinated. Mr. DiPietro said that is the eventual goal, to make them as coordinated as possible. Mr. DiPietro then showed the financial overview. There is a bid of $1,700,000. All alternatives would be $992,000. The city has a VTrans grant of $1,000,000 plus an allocation from the FY22 surplus. The bid must be awarded by 14 November 2022. Mr. DiPietro said they would like to award the contract with all the alternatives (Option 2). The City Council would have to allocate $1,228,595 of the FY22 surplus. The remainder would fall in the FY24 CIP for the San Remo/Aspen and Blue Mall intersection alternate additives. Mr. Barritt said the worst intersection is at Trader Joe’s. Market/Dorset is also problematic, even when there is no traffic. He liked Option 2. Sen. Chittenden agreed and noted that Dorset Street/Williston Road is the busiest intersection in the State. Ms. Ostby noted that people speed up when they have gotten past San Remo into the “dark” area between San Remo and Kennedy. Mr. DiPietro said lighting is not part of this scope of work. Ms. Emery asked if the Regional Planning Commission could take that on. Mr. Conner explained that each November the city gets a packet from the RPC asking for requests for the coming year. They then fund as much as they can. This year they are dealing with lighting on Kennedy Drive. Ms. Ostby asked they can just add some flashing cautionary lights. Mr. DiPietro said they can look into it. Mr. Barritt said he would like to see an analysis of that stretch of road to see where the problems are. CITY COUNCIL 3 OCTOBER 2022 PAGE 6 Ms. Emery then moved to approve the Dorset Street Signals Contract and financing with Alternative 2, as presented. Mr. Barritt seconded. Motion passed 4-0. 8. Approve Resolution #2022-9A, an update to the “Resolution Establishing Speed Limits on Public Streets and Highways in the City of South Burlington” in order to create a School Zone on White Street: Mr. DiPietro explained that the creation of a “school zone” allows a lower speed limit and a means to enforce it. A study by the RPC found that the 85 percentile speed in the Chamberlain School area was 34 mph in the 25 mph zone. The resolution would reduce the speed limit to 20 mph during school delivery and pickup. It would include flashing lights on a timer. Equipment purchase would be in the FY24 CIP ($13,000) and would be installed by Public Works. There would also be new painting on the roadway. Ms. Riehle asked if the city were to get the High School and Middle School areas on the RPC list, would the recommendation be a lot different from this proposal. Mr. DiPietro said there should be an engineering study before that decision is made. Ms. Baker added that Dorset Street is very different from White Street, and decisions need to be made on appropriate studies. Mr. DiPietro said he was hoping to come back at budget time regarding such studies. Ms. Ostby asked if the $13,000 can be spent now as a temporary measure and then reuse the materials once the study is done. She felt this would be meaningful, if not perfect. Ms. Baker suggested putting it on a future agenda and look at the options. Ms. Emery moved to approve Resolution #2022-9A updating the “Resolution Establishing Speed Limits on Public Streets and Highways in the City of South Burlington.” Mr. Barritt seconded. Motion passed 4-0. 9. Discuss an ordinance to regulate fuels for heating and hot water in new construction and possibly warning a Public Hearing for 7 November at 7:00 p.m.: Mr. McNeill reviewed some changes to the draft the Council saw at the last meeting. These include extending the date of implementation, amending the definition of “multi-family,” accepting the suggestion of a 2-year waiver for multi-family and commercial construction, and removing the word “large” adding “industrial” to the 2-year waiver. CITY COUNCIL 3 OCTOBER 2022 PAGE 7 Mr. Barritt noted that today you can pay more for other fuels (e.g., methane) added to Vermont Gas. He asked if that would be an exemption. Mr. Conner said yes, that is a way of complying. Mr. Barritt then asked if people could pay the fee and still keep the gas heater because with so many people, the amount would be so small. He also wanted to know the percentage of renewable gas being used and whether the city can ask Vermont Gas to report when someone stops paying for renewable gas. Public comment was then solicited. Isaac questioned whether renewable natural gas is a good thing for the state. He felt it should be removed. Ms. Riehle said that could happen following the public hearing. Mr. McNeill said the Council needs to decide when this goes into effect. Members agreed on 15 February 2023. Mr. Barritt added an end date for the 2-year period of 14 February 2025. Ms. Emery moved to warn a public hearing on 7 November at 7:00 p.m. on the ordinance to regulate fuels for heating and hot water in new construction as amended at this meeting. Mr. Barritt seconded. Motion passed 4-0. 10. Further discussion and possible adoption of the Climate Action Plan as recommended by the Climate Action Plan Task Force: Mr. Conner reviewed updates since the last presentation including improved graphic design. He noted that they “dug” a little into the Airport issue and communicated with the City of Burlington and the new Airport Manager Nick Longo. The Airport is doing a sustainability master plan regarding some direct and some indirect emissions. They are interested in collaborating with the city on this. Ms. Riehle noted that a number of people have expressed concern regarding Airport emissions and wanted the Council to delay adopting the Plan so they can make a case that commercial and military aircraft emissions should be part of the Plan. They also felt there was a lack of public engagement in the preparation of the Plan. Ms. Riehle noted the Task Force would like to have the plan adopted with the changes outlined by Mr. Conner. Ms. Emery said she tends to agree and feels the urgency to take action. She didn’t see it as a final step and felt the public should remain engaged. Mr. Mittag concurred and said they need approval so they can move to the implementation phase. CITY COUNCIL 3 OCTOBER 2022 PAGE 8 Mr. Leas felt implementation should happen but the plan shouldn’t be approved until the Airport is included. He said there hasn’t been a public hearing, and the public should have a chance to weigh in. He noted that other businesses in the city are owned by people who live out of town. Mr. Conner explained that the regulations regarding buildings apply to all buildings in South Burlington, including Airport buildings. It is only aviation that is not included. A vehicle that remains on private property is not accounted for. Isaac felt aviation emissions should be included in the inventory. He was also concerned with the targets being those from 2018 and said that the problem is now much worse than what the city is planning for. He felt they should not be working with old data. Mr. Goldman said that regarding the Airport, measurement is a challenge. He didn’t feel the scale is what has been cited. He agreed they should continue to look at this. Ms. Adams felt the new language makes things worse and is ignoring the largest green gas emitter. She said the Airport should be required to provide data regarding emissions. She felt the language lets the Airport off the hook. Sen. Chittenden supported the language. He noted there is an island in Lake Champlain that belongs to South Burlington, but they are not capturing emissions from that island. Ms. Decker was concerned that the Council was minimizing the concerns of the public regarding the Airport. She also felt the plan should be updated to have targets for 2030, not 2050. Ms. Riehle noted the report includes targets for both years. She was concerned that if the city delays in order to get something “perfect,” nothing will get done. She stressed that this will be a living document which can be changed over time as new ways to reach goals are developed. She also stressed that there was a public hearing, and it was attended by very few people. Ms. Emery said they have to look at what can collectively be done, and she felt this plan does that. She stressed that this is not the end point but an important first step. Ms. Riehle moved to adopt the plan with the additional language presented at this meeting. Mr. Barritt seconded. The motion passed 4-0. CITY COUNCIL 3 OCTOBER 2022 PAGE 9 11. Receive an update on the Conservation Easement at Wheeler Park and provide direction to staff: Mr. McNeill said the city has been working through the MOU and documents. Some issues have arisen. What has been indicated as “homestead area” has increased to 11.5 acres. The 21-acre “leg” acquired from JAM Golf should be included in the easement. There is concern with encroachments onto that land, and the question is whether additional steps should be taken to mark the boundary line. Mr. Heiser said the Land Trust wanted a title search because of the number of abutters on the east side. They don’t want to wade into future issues. They feel the need to mark the boundary to be sure it is accurate. Ms. Emery asked about the cost. Mr. Bolduc said Elsom Parkway was in the $15,000-20,000 range. What is asked for here would be on top of the $40,000 already known. Ms. Emery asked if it could be done in stages. Mr. Heiser said it would be more cost effective to do it all at once. They could try to find cost savings with whoever did the original survey. Mr. Mittag suggested that JAM Golf must have surveyed the land when they gave it to the city. Ms. Riehle said it was surveyed, but there are no markers which is what the Land Trust needs. Ms. Baker said it makes sense for the Council to vote on the additional acreage and the intent to mark the boundaries. Mr. McNeill said they can come back with a cost estimate on those 2 things. Members agreed with the added acreage. Sen. Chittenden asked if there are different kinds of easements that might work here. Mr. Heiser said the Land Trust needs to feel comfortable they can enforce an easement there. Ms. Dopp asked if there are encroachments by homeowners now. Mr. McNeill said that when they walked the property, there were 2 or 3 obvious encroachments (i.e., mowed lawns, fire pits) but no structures. 12. Other business: Members agreed on a schedule for the Councilors column in the other paper as follows: October: Mr. Cota November: Ms. Riehle December: Mr. Barritt CITY COUNCIL 3 OCTOBER 2022 PAGE 10 January: Sen. Chittenden February: Ms. Emery Mr. Barritt noted that his son has successfully defended his PhD thesis. As there was no further business to come before the Council Mr. Barritt moved to adjourn. Ms. Emery seconded. Motion passed 4-0. The meeting was adjourned at 10:16 p.m. _________________________________ Clerk CITY COUNCIL 17 OCTOBER 2022 The South Burlington City Council held a regular meeting on Monday, 17 October 2022, at 6:30 p.m., in the Auditorium, 180 Market Street, and by Go to Meeting remote participation. MEMBERS PRESENT: T. Barritt, Acting Chair; M. Emery, M. Cota ALSO PRESENT: J. Baker, City Manager; A. Bolduc, Deputy City Manager; P. Conner, Director of Planning & Zoning; V. Nichols, Acting Superintendent of Schools; D. Catalano, J. Slason, K. Ryder, K. Boozan, M. Ostby, L. Bailey, C. Trombly, G. Nelson, G. Silverstein 1. Instructions on exiting building in case of emergency and review of technology option: Ms. Baker provided instructions on emergency exit from the building and reviewed technology options. 2. Additions, deletions or changes in the order of Agenda items: Members agreed to postpone items #11 through #14 as only 3 Council members were present. 3. Comments and questions from the public not related to the agenda: No comments or questions were presented. 4. Announcements and City Manager’s Report: Councilors reported on meetings and events they had attended. Ms. Baker: The final design for the bike/ped bridge will come to the Council on 7 November. The city has been selected to be part of the State Ideal cohort which is looking to do equity work across the state. The next City Center project is in the final stages of an amendment approval. It will include 120 residential units, a childcare facility and a coffee shop. They hope to break ground this winter. Permits are being sought for the Garden Street project. The very ambitious goal is to start in early spring. CITY COUNCIL 17 OCTOBER 2022 PAGE 2 Registration for youth basketball can be done on line. The winner of the Halloween decoration contest will be announced on 28 October. The Halloween walk in Goose Park will take place the next evening. The fencing for the Dog Park is expected to arrive on 24 October. The second tax installment is due on 15 November. Those in need of a payment plan can reach out to the Assessor’s office. The next public meeting regarding City Center Park will be on 27 October, 6 p.m. Mr. Barritt noted that the ballot for the Waste District bond vote must be requested separately. It can be dropped off at City Hall. There is no pre-paid postage for this ballot. Mr. Cota said voters who choose to vote at the polls on Election Day should bring the ballot they received in the mail. If that ballot was lost or not received, people can still vote but will have to sign an affidavit regarding the missing ballot. 5. Consent Agenda: a. Approve and Sign Disbursements Mr. Cota moved to approve the Consent Agenda as presented. Ms. Emery seconded. Motion passed 3-0. 6. Opportunity for Councilors and the public to share information and resources on Climate Change: Mr. Barritt said the Energy Committee had a good discussion regarding Wheeler House and its old steam heating system and a possible alternative. 7. Public Hearing on amendments to the Land Development Regulations on expanding the Transferable Development Rights: Mr. Conner explained the function of the TDR program. The proposed amendments don’t change where rights can be sold from but expands where they can be transferred to (including CITY COUNCIL 17 OCTOBER 2022 PAGE 3 Shelburne Road, Williston Road, Swift Street). Developers could buy additional density in those areas. Mr. Conner noted that there is a change being recommended based on a letter received from the Vermont Land Trust. The concern was with the Conservation PUD. They are considering conserving more than 70% of a parcel and were concerned that they might have to conserve an additional 70% of the remaining 30%, if they ever chose to develop that piece. Mr. Conner showed the language which makes it clear that this would not happen. Mr. Conner also noted that this change will require a second public hearing which is recommended to be on 21 Novembers, 7 p.m. Mr. Cota moved to open the public hearing. Ms. Emery seconded. Motion passed 3-0. Mr. Conner noted receipt of one written comment from the Vermont Land Trust as noted above. Mr. Mittag, commented as a member of the public not representing the Planning Commission or TDR Interim Zoning Committee on which he served. He felt the proposed amendment is a vast improvement but is flawed as there are still receiving areas in the Southeast Quadrant. He felt all open space should be conserved. Ms. Bailey was concerned that since TDRs are forever, this could tie the hands of future generations. She suggested a 30-year revisiting of the regulations to determine whether it is still in the city’s best interest to conserve that land. As there was no further public comment, Mr. Cota moved to close the public hearing. Ms. Emery seconded. Motion passed 3-0. 8. Potential action on amendments to the Land Development Regulations on expanding the Transferable Development Rights: Mr. Cota moved to schedule a second public hearing for 21 Novembers 2022, at 7 p.m. on proposed amendments to the Land Development Regulations regarding expanding Transferable Development Right to include the proposed amendment previously described. Ms. Emery seconded. Motion passed 3-0. CITY COUNCIL 17 OCTOBER 2022 PAGE 4 9. Receive a proposal from the School Board on implementing school impact fees and provide direction to staff in advance of considering an ordinance update: Ms. Baker reviewed the history and noted that staff has considered what school impact fees could look like. The stressed the need to invest in school infrastructure as the community continues to grow. What is being proposed is a phased approach. Issues to be addressed include the proposed impact fee amount, a possibly exemption for affordable housing, and a time line. When these issues have been resolved, staff will draft an ordinance. Supt. Nichols said the School District has been working with many people on the issue of overcrowding in schools. Both Orchard and Marcotte schools are over capacity. Phase One of the plan to address this includes the use of Zero Energy Modules (ZEMs) which would be attached to the schools. They would be asking for a bond vote in March. Ms. Nichols said that in order to continue to support city growth, these impact fees are essential; otherwise she cannot attest that the schools can accommodate more students. Mr. Slason of RSG noted that the impact fee amount is a legally maximum fee that has to be justified in terms of the cost of the ZEMs. Mr. Barritt asked for a bottom line impact fee cost. Mr. Slason outlined the following: 1-bedroom unit …………………… $550 ` 2-bedroom unit …………………… $3,577 ` 3-bedroom unit …………………… $11,280 He noted that alternatively, there could be a $4,331 fee for all housing equally. Mr. Cota felt the phased approach was prudent because there are projects already approved with secured funding. Mr. Slason explained how the phased approach would work. Mr. Barritt asked if there has been feedback from developers. Ms. Baker said there has been no public hearing as yet, though there would be with an ordinance update. CITY COUNCIL 17 OCTOBER 2022 PAGE 5 Mr. Barritt said he would like to see a number for a 4th bedroom. Mr. Cota agreed. Ms. Emery said she liked the near-term weighted average as it assures the impact is spread out and the goals of the schools are met. Mr. Barritt suggested possibly talking about a percentage of the fee for affordable housing. He noted this housing will generate children in the schools, and he felt they should be responsible for some of that cost. Mr. Silverstein expressed concern with a double jeopardy situation for the homeowners. Mr. Slason said there is a law which protects people from paying twice for the same benefit. There will be no double jeopardy situation. Mr. Silverstein asked about the student teacher ratio in the crowded schools. Ms. Nichols said they do not exceed the designated student teacher ratio because they have had to hire additional teachers to meet the overages. Mr. Slason then showed a table of recommended square feet per student and indicated there is a 24 square foot deficiency per student in the 2 pre-K schools. Ms. Ostby asked if there were impact fees in the past. Mr. Conner said there were, but they were removed in 2009 when all the projects those fees were collected for were completed. Ms. Ostby felt it seems appropriate and reasonable and she supported the idea. Ms. Nichols noted there will still be a need for High School and Middle School projects in the future, and separate impact fees would be calculated for those projects. Phase 1 is just for the significant over-enrollments in the elementary schools. Ms. Emery asked if the fee structure can be amended within the 6-year life of the fees. Mr. Slason said it can and would have to come back to the City Council. There would be some compensation if the fees were to be reduced. Mr. Silverstein felt a decision should be delayed until contract negotiations are settled. He felt big salary increases could stress the State Education fund and that might have to be mitigated with a reduction in yield. CITY COUNCIL 17 OCTOBER 2022 PAGE 6 Mr. Trombly of the Affordable Housing Committee said he fully supports impact fees for the ZEMs as it is directly related to growth. He was concerned with future fees and housing affordability. Ms. Emery said the school system is key to the health of the community. She cited the need to think long-term. Ms. Nichols noted that action has been put off for many years which is why they are in this situation now. There are no undesignated funds in the budget to account for inflation. She also noted South Burlington ranks near the bottom for education spending. She stressed that unbudgeted costs can’t be put off any longer. Ms. Baker said that the School could issue a bond vote ballot item for March. The impact fees would then be a revenue stream to pay the debt service on the bond. If revenues come in sooner, the school would borrow less money. Bond money could not be accessed until July, 2023. Ms. Baker said staff may present several possibly ordinances in November and can pick one for a public hearing. Mr. Slason said he will try to provide a 4-bedroom column. Ms. Ostby questioned whether moving 5th graders to the Middle School is still an option. Ms. Nichols said at this is on the agenda for the next School Board meeting. She added that the ZEMs will buy them time to consider that possible move and also consider retrofitting and future building. As there was no further business to come before the Council Mr. Cota moved to adjourn. Ms. Emery seconded. Motion passed 3-0. The meeting was adjourned at 8:12 p.m. _________________________________ Clerk   Quarterly Financial Reporting From: Andrew Bolduc, Deputy City Manager Martha Machar, Finance Officer To: City Council Subjects: Analysis of FY23, Quarter Ended September 30, 2022 Date: November 4, 2022 FY23 financial reports for the period ending September 30, 2022 are attached. Only summary reports for general fund budget are included. Detail reports can be found in the Council box. Overall, the general fund expenses and revenues through the end of the first quarter are on target. Expenses are at 17.43% which is consistent with prior year’s spending. Revenues are at 33.21%, this is also consistent with past fiscal years. While some revenue lines are still below budget others are above and in the aggregate are balancing each other out. Find below the financial narratives from department managers for the first quarter ending 9/30/2022. CLERK DEPARTMENT Overall Summary (provide a brief summary of how your department ended the quarter/year compared to budget projections): The recording fees we expect to collect for FY23 will be down from what we budgeted due mainly to the rise in interest rates. We expect to be on budget for expenses. Key Highlights (showcase any highlights on major projects/accomplishments your department has done during the quarter/year, particularly those included in the year’s budget presentation to Council): With 3 elections this fiscal year the main focus of the clerk’s office is the running of these elections.   We have now preserved the land records books back to book 1 which has been one of my projects that I wanted to complete under my term as clerk. We are hoping to put the land records on-line within the next few months but for a fee to users. Individual Budget lines - Revenues and Expenses (consider which surpluses and overages might “jump off the page” for a reader, please provide a brief narrative/explanation for each): The overtime for staff will increase with the 3 elections as staff are working the polls on election day manning the Election Day Voter Registration Table. They are offered comp time or overtime pay and with the office as busy as it is, they have opted for pay instead. This is not an easy item to budget as it is unpredictable which they will take. Photocopier Lease Principle is over budget and will be for the year as we opted to buy out the old photocopier as a backup in case the current copies is unavailable to researchers. Dues and Subscriptions is overbudget due to the timing of due dates and will be on budget at the end of the year. PLANNING AND ZONNING DEPARTMENT Overall Summary (provide a brief summary of how your department ended the quarter/year compared to budget projections): Through the first quarter of the year, expenditures are at 14% of budget, principally to the salary line. With a vacancy in the ZA position over the summer, that budget line was underspent. We expect other aspects of the expenditure side to begin to come in in Q2. Revenues through the first quarter of the year are broadly on track with budget at 26% of revenue, though the revenues sources are somewhat unbalanced. Zoning permit fees have been the bulk of the revenue, while development review fees (site plans & DRB applications) have been small. Fluctuations from quarter to quarter and year to year in this area are normal, but we will keep an eye on this figure as the yar progresses. Key Highlights (showcase any highlights on major projects/accomplishments your department has done during the quarter/year, particularly those included in the year’s budget presentation to Council): On the Planning side, several amendments to the Land Development Regulations have been advanced in CY 2022, including two in FY 23, for expansion of the TDR program and a re-   alignment of zoning districts along the Shelburne Road corridor. Work on the 2024 Comprehensive Plan is underway as well. On the development review side, much of the work has been on projects that had begun their review work in FY 22 and are ongoing, including O’Brien Eastview neighborhood, UVM Medical Center, and others. Permitting for previously-approved projects remains robust including projects in City Center and elsewhere. Individual Budget lines - Revenues and Expenses (consider which surpluses and overages might “jump off the page” for a reader, please provide a brief narrative/explanation for each): As noted above, development review fees are very small through the first quarter, but these can ebb and flow through a year. Typically, the fall and winter is busier for project submittals. LIBRARY DEPARTMENT Overall Summary (provide a brief summary of how your department ended the year compared to budget projections): Through the first quarter of the year, spending is down on collections overall, programs, and various subscriptions. Revenues are on track. Key Highlights (showcase any highlights on major projects/accomplishments your department has done during the year, particularly those included in the year’s budget presentation to Council): If you visit the 2nd floor the varied new books are on display and ready to check out – from history to cookbooks and memoirs. Community programs have primarily focused on special programs for kids, plus a writing series for adults. The Drag Queen Storytime was one of the family programs and was happily attended by over 40 participants. We had little push back from community members. We continue to work on filling vacancies which will allow us to maintain a safe level of staffing and hopefully open for the additional hours we committed to. We have worked internally and with other departments to process the law enforcement arrest that took place during open hours and are working on an internal document that emphasizes safe procedures and practices that we will share with others. Individual Budget lines - Revenues and Expenses (consider which surpluses and overages might “jump off the page” for a reader, please provide a brief narrative/explanation for each):   spending was down on adult materials because the focus was on spending ARPA funds to diversify our non-fiction collection. Young Adult purchases will resume once we have a new Specialist in place; it has been very difficult to fill this part time position. Many of the other expenses are billed annually and those invoices may be reflected here or may come in later in the year. Revenue lines look good; conference room rental continues to be low, but the rooms are well used for the two hour free sessions and by city employees. RECREATION AND PARKS DEPARTMENT Overall Summary (provide a brief summary of how your department ended the quarter compared to budget projections): Revenues: Revenues are tracking as we would expect them to. We look forward to working specifically to solicit donations and rentals for the Senior Center as well as program for evening and weekend adult engagement in the space. Revenues for adult programming have been impacted by our inability to fully utilize our school resources, so having a program space to use in the Senior Centers off hours will be helpful. Expenses: Expenses are tracking as we would expect. Some seasonal fluctuations that we always anticipated with seasonal park openings and access as well as some larger revenue programs such as Drivers Ed and Skiing which come in the second quarter. No surprises with expenses; we are ever mindful of the value of the taxpayer dollar when we plan for and execute programs and events. Most events are free to the public, though we still charge for those that we need to cover expenses for such as the Valentine Dance. Key Highlights (showcase any highlights on major projects/accomplishments your department has done during the year, particularly those included in the year’s budget presentation to Council): Senior Center: The Senior Center celebrated its 1year birthday in October! Court Rehabilitation at Szymanski: The basketball courts were completely refurbished to include new surfacing, painting and full hoop replacement. Additionally, four pickleball courts were installed at the park and the remaining tennis court was full restored and resurfaced. *CIP Project Dog Park: Wheeler Dog Park will be ready for soft opening by the first week of November with temporary signage. A larger grand scale opening will happen in the spring when all the additional elements are installed. * Impact Fee Project   Jaycee Park Softball Field: The Jaycee Park softball field has now been renovated to be a softball only skinned field. This has been a long-desired project that local players and leagues have requested. We are still awaiting invoicing for this completed project. * CIP Project Veteran’s Memorial Pitching Mound Rehabilitation: The three pitching mounds and home plates at Veteran’s Memorial have been completed renovated by a professional field contractor. Additionally seasonal covers for mounds and home plate have been purchased for the protection of this investment. South Burlington Little League has been instrumental in advocating for this improvement, and we will continue to work with them to promote healthy use of the fields to promote safety of their players and protection of city assets. Awaiting billing for this completed work. * CIP Project Veteran’s Memorial Bathrooms: The Veteran’s Memorial Bathroom project is at 75% completion. The intent is to finish the plumbing installation this fall but wait to turn on the system in the spring ahead of disconnecting and gutting the old bathroom facility, which will be used for onsite park storage needs. * Impact Fee Project Individual Budget lines - Revenues and Expenses (consider which surpluses and overages might “jump off the page” for a reader, please provide a brief narrative/explanation for each): Revenues: Revenues are tracking as we would expect them for Special Activities and Recreation. The Senior Center Revenues are tracking behind in both Rental expectations and Donations as our primary focus has been program development for this space. The Senior Center celebrated its 1- year birthday in October, which allows the focus to now shift a bit and with a consistent schedule of programs intentional marketing for rentals and solicitation of donations can begin. We do not anticipate hitting these targets by year end. Expenses: Overtime: Overtime expense overages are due to heavy summer event season; though Recreation Staff are required to flex their schedules to accommodate needed weekend and evening coverage to the best of their ability. SoBu Nite Out: Weekly community event in July and August which represents the high rate of expenditure. There is money left in that line item intentionally to begin this next year's season in mid-June per community feedback. Red Rocks Salaries: Red Rocks Park Rangers work from June- August, so there is need for money to remain in this line item for the start up in June. Facilities Improvements: This line item is traditionally used in the spring as we clean up and spruce up the parks for the heavy spring and summer use. * Facility Capital projects are completed but we are still awaiting the billing.   Senior Center Custodial: This is to be transferred quarterly to the facilities department staff line item. Senior Center Contracted Services: These are held for the holiday events inclusive of Senior Holiday Meal and the Senior Holiday Lights Tour which are free opportunities to South Burlington Seniors. POLICE DEPARTMENT Individual Budget lines - Revenues and Expenses (consider which surpluses and overages might “jump off the page” for a reader, please provide a brief narrative/explanation for each): Revenue – In general, the revenue lines are consistent with normal operations. It is important to note that our drug task force position is currently vacant, the candidate has been identified and we aim to fill the position in December. Additionally, the alarm registration process occurs in April of each year, the revenue on that line will not begin to populate until Q4. Expenses – There are eight lines which deserve context: 1. Overtime – In May of 2022 the organization engaged in a collaborative process with the South Burlington Police Officers Association to pivot from a 10-hour patrol schedule to a 12-hour patrol schedule. The 10-hour patrol schedule was predicated on having 21 total officers for assignment. In May of 2022 we had 16 officers available for assignment to patrol. Subsequently, we have sustained 24/7 police service operations through Q1 with 16, now 18 officers assigned to patrol. The 12-hour schedule necessitates two things related to overtime – officers must attend training to maintain certification on an overtime basis, eight hours per month, and officers work a total of 84 hours in a pay period which inherently creates four hours of overtime per pay period. As officers matriculate from field training and return from light duty the parties plan to discuss which patrol schedule to move forward with. 2. Fitness – The organization has run the first of the biannual fitness assessments. Based on VCJC standards the organization adopted a row physical assessment test, the row assessment is easier than the former “Cooper Standard” test (1.5-mile run, push-ups, sit- ups, bench press). This transition has seen increases in both participation and success which is fantastic in promoting a healthy work force. This is also a collective bargaining benefit. 3. Traffic Unit Supplies – We are awaiting an annual equipment grant from the Governor’s Highway Safety Program to offset expenses on this line.   4. K-9 Supplies – Health insurance payment for veterinarian expense incurred in FY 22, revenue to the expense line. 5. Dues and Subscriptions – The lion share of our dues and subscriptions have simply been paid for this fiscal year. 6. Office Equipment Contract – Biannual payment (contract)for the copier. 7. Recruiting &Testing – The organization is still actively recruiting and screening applicants for one vacant dispatcher position and six vacant police officer positions. 8. Taser Replacement – This line is actually our Axon contract; Taser, Body Worn Camera, Cruiser Camera, and digital evidence storage. The organization paid the first installment of the annual contract in Q1. FIRE & AMBULANCE SERVICES DEPARTMENT Overall Summary (provide a brief summary of how your department ended the quarter/year compared to budget projections): The first quarter is going as expected for the Department. We knew due to staffing issues, there would be high overtime needed to maintain minimum staffing. Overall revenues strong and expenditures in line with expectations. Key Highlights (showcase any highlights on major projects/accomplishments your department has done during the quarter/year, particularly those included in the year’s budget presentation to Council): Maintained minimum staffing 24 x 7 for the entire first quarter even though members worked over 4,000 hours of overtime. During the entire FY 22, 6,000 hours of overtime were used, so this was a tremendous burden on the staff. Individual Budget lines - Revenues and Expenses (consider which surpluses and overages might “jump off the page” for a reader, please provide a brief narrative/explanation for each): Expenses Overtime – The reasons stated above tell the story. Diesel Fuel – The price of fuel has increased, and units are busy.   Vehicle Repair – Had to spend 16k repairing Engine 1, a 2008 truck. This was most of the maintenance overage. Recruiting & Testing – Small amount of money, but have had several new employees. Revenues All revenues are exceeding current projections. Several large projects have been submitted to the Prevention Division and ambulance transports have been increasing. PUBLIC WORK DEPARTMENT Overall Summary (provide a brief summary of how your department ended the quarter/year compared to budget projections): Water Quality The first quarter overall expenses are at 11%, which is below what would be expected for a single quarter (i.e. 25%). This value is below the average historic rate (FY19 12.96%, FY20 34.16%), but anticipated as many consumable items are bought in bulk. Inflation and related material price hikes have caused an increase in costs, while supply chain issues are causing some delay in delivery. Additionally, the water quality department has stopped discretionary spending in anticipation of high inflationary cost increases. The division remains focused on maintaining current assets. First quarter revenue is at 21.28%. This is at or above the average historic rate for the first quarter as payments often are delayed (FY19 11.25%, FY20 23.14%). Highway At 12.8%, the Highway budget is on target with anticipated expenses for the first quarter. Staff anticipates continued price increases in fuel, oil, and hard goods as the year progresses. Stormwater Overall expenditures for stormwater were 5.65% of the total budget at the close of the first quarter. This is largely due to the status of capital projects, staffing vacancies, and the timing of vehicle purchases and fund transfer to Administrative Services. See the Individual Budget Lines section for additional detail. Overall revenues are at 13% of total revenue, which is largely due to the timing of grant reimbursements. These will occur later in the fiscal year. Stormwater Utility Fee revenues are on track at 21.4% of the budget amount.   Drinking Water Water expenses for the first quarter are on track. Water purchases are slightly ahead of projections, which is attributable to a warm summer and increased water use. Water revenues for the first quarter are on track for budget projections. Connection fee revenue is slightly ahead of our projection for a single quarter. Payment penalties are also slightly ahead for the quarter. This is associated with past-due billing notices and water disconnection processes that have been initiated again after a temporary pause during COVID-19. Penny for Paths Penny for Paths projects continue to make progress. We spent just over $8,000 this quarter. This quarter’s expenses went mostly to continuing design on the Spear Street shared use path. Key Highlights (showcase any highlights on major projects/accomplishments your department has done during the quarter/year, particularly those included in the year’s budget presentation to Council): Water Quality  The Airport Parkway and Bartlett Bay facilities both were awarded the National Association of Clean Water Agencies (NACWA) Gold Award.  A transfer switch at the Bartlett Bay Facility was repaired. Damage occurred in the Spring 2022 when the facility experienced a power “surge”. It took months for the parts necessary for repair to be obtained. The city filed an insurance claim to cover these costs.  Both facilities maintained very low phosphorus discharge and stayed well below State permit limits.  The City’s wastewater pump station at Vermont National is being reconditioned. New valves have been installed. An older pump from the Hinesburg Road pumpstation that was retained and refurbished after that upgrade is being installed in the Vermont National pump station to replace a failed pump.  Working with Hoyle Tanner and Associates (HTA) the Bartlett Bay Facility upgrade plans were finalized and presented to the City Council. Highway  Pickleball and Basketball courts at Szymanski Park were renovated and opened for use in the first quarter of FY23.  A new dog park near Veteran’s Memorial Park had its initial build in the first quarter. Follow up work will be completed in the second quarter and the park opened to the public.    Two highly damaged sections of shared use path were repaired at Stonehedge Drive and Nowland Farm Road. These two projects were advocated for by the Bicycle and Pedestrian Committee. Stormwater  The Stormwater Department has two stormwater treatment practices under construction. The Burlington Country Club Gravel Wetland project is currently being constructed using $375,000 in grant funding from the Lake Champlain Basin Program and a State Design Implementation Block Grant. The Lindenwood Drive Stormwater project is currently being constructed using $303,574 in grant funding from the Vermont Agency of Transportation. Drinking Water  The SBWD continues to upgrade aging water meters and convert water meters to the Neptune Radio Read AMR system. Over the summer (FY 22 and 23) the SBWD was able to upgrade and replace all of the water meters in the system larger than 2”. This will improve water accountability and reading/data log abilities. Penny for Paths  The crosswalk project at Kennedy Drive and W Twin Oaks Terrace was completed and a reimbursement of $75,000 was made from VTrans to the Penny for Paths account to close out our construction grant. Individual Budget lines - Revenues and Expenses (consider which surpluses and overages might “jump off the page” for a reader, please provide a brief narrative/explanation for each): Water Quality  Pumping Station Supplies: $25,000 budget, $13,938 expenditure, 56% spent. $11,863 Annual software fee for Mission System Pumpstation monitoring. The cost of the Mission pumpstation software will be evaluated and appropriately included in the FY24 budget. Due to these costs, we expect this line item to be overspent in FY23.  Alum: $180,000 budget, $55,787 expenditure, 31% spent. Alum is used to maintain low phosphorus outputs from both facilities. The City’s FY23 cost for alum (bid through the Chittenden Consortium) increased by 51%. PAC (another Alum product) used at the Bartlett Bay Facility has not increased, but our vendor has signaled an impeding price increase. We anticipate that this line item will be overspent in FY23.  Gas-Diesel Fuel-Oil: $12,000 budget, $5,483 expenditure, 46% spent. Increased oil and fuel costs.    Soil Sludge Management: $135,000 budget, $51,562 expenditure, 38% spent. Increased fuel costs passed on from our vendor account for some of the overspending in this line item. However, during the first quarter of FY23 the 2PAD system at the Airport Parkway Facility required repair. During this repair, solids were sent to the City of Burlington for processing and the fee for this service was $29,008. This was not an anticipated cost.  Pump Repairs: $40,000 budget, $19,050 expenditure, 48% spent. Costs include: Bartlett Bay Facility mixer repair $7,270, two pump repairs at Airport Parkway Facility $4,226 and $4,637, and a pump repair at the Bartlett Bay Facility $2,917. Highway  Oil: This line item is already overspent in FY23, due to a significant increase in the price of oil and the fact that the City purchased two bulk orders of oil this quarter.  Office Equipment Maintenance: This line item is already overspent by ~$345. This line item is used for both office equipment maintenance as well as small building maintenance costs. The “Building Maintenance” line item previously used for these costs was transferred entirely to Facilities in FY23, but not all building maintenance items fall under their scope of work. Stormwater  Capital projects have only incurred $92K in expenses, out of the total FY23 budget of $2.5M. Construction will pick up in the second quarter with the start of the Lindenwood Drive Stormwater Project on October 31st and will continue to increase next spring and early summer.  Salaries (and associated personnel costs) are currently underspend due to three vacancies within the stormwater department. Spending on salaries will increase with the start of two new employees in mid-November 2022.  There has been no Vehicles/Equipment spending within FY23, out of the approved $421K expenditure budget. Spending in this line item will increase with the purchase of replacement vehicles.  Administrative Services account for $102K of total expenditures from the Stormwater budget. This transfer payment to the general fund has not yet occurred in FY23.  As a percent of budget spent, Office Supplies and Office Furniture/Equipment are currently at 101% and 132% respectively - however, total spending for these line items combined is only $2,339 and is primarily being used for new office equipment associated with adding window shades for the two cubicles in the former conference room and modifying a former office into a new smaller conference room.  Diesel Fuel expenditures are currently at 71% of the budgeted amount due to the increase in fuel price over the past 12 months.   Drinking Water  No individual budget line items are noteworthy at this time. The Department recognizes supply chain issue with many water distribution materials, and increased material costs. We continue to monitor our inventories and purchase ahead in case there are delivery delays. Penny for Paths  The largest expense in Penny for Paths was for the Spear Street Shared Use Path project. During this quarter, work continued on conceptual design and a final determination on path alignment was made. Preliminary design can now get underway.  While not a Penny for Path related cost, the highway department’s Bike/Ped Maintenance Budget Line was utilized to rehabilitate a section of path off of Stonehedge Drive. The project will utilize nearly all of the available funds for this line item ($30,000). This repair was done in conjunction with stormwater work already underway in that area, which reduced the overall project cost. Other repairs in this line item include a tree root removal and standard path repairs. No additional funds are available in this line item for FY23. Penny for Paths funds can’t be used for maintenance. City of South Burlington General Ledger                                        Expenditure Report ‐ GENERAL FUND                                         Current Year Period 3 September % Budget Unencumbered FY‐22/23 MTD Account Budget Expenditures Expended Balance Pd  3 Sep GENERAL GOVERNMENT EXP. CITY COUNCIL 149,798.00$                  64,654.00$            43.16% 85,144.00$            ‐$                        ADMINISTRATIVE INSURANCE 6,032,914.38$               844,949.17$         14.01% 5,187,965.21$      143,347.32$         CITY MANAGER 472,491.78$                  104,702.30$         22.16% 367,789.48$         31,012.90$            LEGAL/ACCOUNTING  ACTUARY 348,960.87$                  56,553.92$            16.21% 292,406.95$         18,048.55$            ADMINISTRATIVE SERVICES 990,075.74$                  97,565.90$            9.85% 892,509.84$         24,843.24$            INFORMATION TECHNOLOGY 397,768.47$                  76,698.04$            19.27% 321,132.08$         24,891.12$            CITY CLERK 285,901.23$                  64,935.17$            22.71% 220,966.06$         19,953.53$            GENERAL LEDGER/PAYROLL 434,004.36$                  101,736.58$         23.44% 332,267.78$         55,311.45$            ASSESSING/TAX/FINANCE 403,043.52$                  89,294.50$            22.16% 313,749.02$         26,437.70$            PLANNING/DESIGN REVIEW 563,713.28$                  79,594.39$            14.12% 484,118.89$         31,867.31$            OPERATING TRANSFERS OUT 808,200.00$                  ‐$                        0.00% 808,200.00$         ‐$                        Total GENERAL GOVERNMENT EXP. 10,886,871.63$            1,580,683.97$     14.52% 9,306,249.31$     375,713.12$         PUBLIC SAFETY FIRE DEPARTMENT 3,698,663.25$               901,380.44$         24.37% 2,797,282.81$      304,737.66$         AMBULANCE 522,650.00$                  24,247.40$            4.64% 498,402.60$         6,717.73$              POLICE DEPARTMENT 5,760,136.24$               1,069,047.64$      18.56% 4,691,088.60$      354,720.84$         OPERATING TRANSFERS OUT ‐$                                 (0.52)$                    100.00% 0.52$                      ‐$                        Total PUBLIC SAFETY 9,981,449.49$               1,994,674.96$     19.98% 7,986,774.53$     666,176.23$         STREETS & HIGHWAYS HIGHWAY DEPARTMENT 3,346,938.68$               428,433.16$         12.80% 2,918,505.52$      208,348.81$         Total STREETS & HIGHWAYS 3,346,938.68$               428,433.16$         12.80% 2,918,505.52$     208,348.81$         CULTURE AND RECREATION RECREATION ADMINISTRATION 359,516.74$                  70,718.10$            19.67% 288,798.64$         24,986.08$            PROGRAMS 50,000.00$                     26,330.58$            52.66% 23,669.42$            2,187.69$              RED ROCKS PARK 14,924.80$                     8,311.84$              55.69% 6,612.96$              45.42$                    FACILITIES 139,150.00$                  6,204.11$              4.46% 132,945.89$         2,244.25$              SENIOR PROGRAMS 33,311.57$                     2,861.82$              8.59% 30,449.75$            1,644.36$              SPECIAL ACTIVITIES 101,500.00$                  17,091.72$            16.84% 84,408.28$            13,588.77$            PUBLIC LIBRARY 866,629.70$                  151,775.09$         17.51% 714,854.61$         51,712.87$            CAPITAL/PARK MAINTENANCE 399,642.54$                  103,927.21$         26.01% 295,715.33$         35,914.47$            Total CULTURE AND RECREATION 1,964,675.35$               384,103.39$         19.55% 1,580,571.96$     132,416.12$         OTHER ENTITIES OTHER OPERATING ENTITIES 791,250.11$                  364,770.84$         46.10% 426,479.27$         ‐$                        Total OTHER ENTITIES 791,250.11$                  364,770.84$         46.10% 426,479.27$         ‐$                        CURRENT PRINCIPAL  BONDS 1,211,203.30$               190,000.00$         15.69% 1,021,203.30$     190,000.00$         CURRENT INTEREST  BONDS 279,090.00$                  18,284.77$           6.55% 260,805.23$         18,284.77$           Total GENERAL FUND 28,461,478.56$            4,960,951.09$     17.43% 23,500,589.12$   1,590,939.05$     City of South Burlington General Ledger                                      Expenditure Report ‐ ENTERPRISE FUND/W.P.C.                                   Current Year Period 3 September % Budget Unencumbered FY‐22/23 MTD Account Budget Expenditures Expended Balance Pd  3 Sep W/POLLUTION CONTROL EXPS. Salaries‐Permanent 672,300.45$          137,123.00$         20.40% 535,177.45$         49,937.55$           Payment to Highway‐wages 250,000.00$          ‐$                       0.00% 250,000.00$         ‐$                       Leave Time Turn‐In 7,000.00$               ‐$                       0.00% 7,000.00$             ‐$                       Salaries‐Overtime 50,000.00$            15,188.02$           30.38% 34,811.98$           6,101.30$             Payment to Sick Bank Fund 6,677.02$               ‐$                       0.00% 6,677.02$             ‐$                       Payroll Service 1,796.41$               ‐$                       0.00% 1,796.41$             ‐$                       PAFO Certification 29,065.71$            2,455.26$             8.45% 26,610.45$           876.88$                 Sick Bank Payouts 10,000.00$            ‐$                       0.00% 10,000.00$           ‐$                       Fringe Benefits 4,135.00$               600.00$                 14.51% 3,535.00$             ‐$                       FICA/Medicare 58,780.01$            12,085.57$           20.56% 46,694.44$           4,441.40$             Payment to Highway‐FICA/M 33,420.18$            ‐$                       0.00% 33,420.18$           ‐$                       Vision Plan 2,829.21$               170.25$                 6.02% 2,658.96$             ‐$                       Disability Insurance 2,175.17$               677.14$                 31.13% 1,498.03$             ‐$                       Long Term Disability Insu 4,148.39$               ‐$                       0.00% 4,148.39$             ‐$                       Group Health Insurance 196,366.10$          16,088.93$           8.19% 180,277.17$         3,282.70$             Group Life Insurance 2,829.21$               90.75$                   3.21% 2,738.46$             ‐$                       Group Dental Insurance 7,893.29$               1,518.87$             19.24% 6,374.42$             ‐$                       Pension 85,733.42$            ‐$                       0.00% 85,733.42$           ‐$                       ICMA Match 29,065.71$            5,087.93$             17.50% 23,977.78$           1,810.26$             Pension Note Payment 39,075.00$            ‐$                       0.00% 39,075.00$           ‐$                       Office Supplies 2,000.00$               32.18$                   1.61% 1,967.82$             ‐$                       Plant Supplies 120,000.00$          21,824.23$           18.19% 98,175.77$           6,992.81$             Polymer 100,000.00$          1,902.00$             1.90% 98,098.00$           ‐$                       Sewer Line Maint/Supplies 25,000.00$            1,297.49$             5.19% 23,702.51$           1,004.99$             Pumping Station Supplies 25,000.00$            13,937.84$           55.75% 11,062.16$           6,044.78$             Laboratory Supplies 13,000.00$            2,753.57$             21.18% 10,246.43$           390.91$                 Caustic Soda and Lime 120,000.00$          24,077.48$           20.06% 95,922.52$           12,035.00$           Alum 180,000.00$          55,787.28$           30.99% 124,212.72$         15,498.58$           Water‐Airport‐B/B‐Pump 1,600.00$               233.59$                 14.60% 1,366.41$             ‐$                       Generator Preventive Main 10,000.00$            2,651.07$             26.51% 7,348.93$             ‐$                       Clothing Supplies 4,250.00$               846.10$                 19.91% 3,403.90$             507.23$                 Truck Parts 12,500.00$            2,208.59$             17.67% 10,291.41$           198.31$                 Gas ‐ Diesel Fuel ‐ Oil 12,000.00$            5,482.76$             45.69% 6,517.24$             1,578.68$             Fuel ‐ Airport Parkway 60,000.00$            8,313.17$             13.86% 51,686.83$           ‐$                       Fuel ‐ Bartlett Bay 6,000.00$               90.58$                   1.51% 5,909.42$             ‐$                       Telephone and Alarms 6,500.00$               912.62$                 14.04% 5,587.38$             349.24$                 Memberships/Dues 20,000.00$            204.25$                 1.02% 19,795.75$           ‐$                       Discharge Permits 15,000.00$            3,750.00$             25.00% 11,250.00$           ‐$                       Workers Comp Insurance 22,127.75$            9,027.05$             40.80% 13,100.70$           ‐$                       Property Insurance 70,040.34$            21,313.88$           30.43% 48,726.46$           ‐$                       Unemployment Insurance 902.00$                  ‐$                       0.00% 902.00$                 ‐$                       Safety 5,000.00$               6,007.65$             20.15% (1,007.65)$            400.20$                 Billing Payment to CWD 69,342.00$            ‐$                       0.00% 69,342.00$           ‐$                       Soil/Sludge Management 135,000.00$          51,562.14$           38.19% 83,437.86$           34,141.54$           Landfill Fees 1,000.00$               ‐$                       0.00% 1,000.00$             ‐$                       HVAC Maintenance 35,000.00$            324.38$                 0.93% 34,675.62$           324.38$                 Auditing 4,246.55$               ‐$                       0.00% 4,246.55$             ‐$                       Engineering/Consulting 15,000.00$            4,359.50$             29.06% 10,640.50$           ‐$                       Landfill Engineering 17,500.00$            20,000.00$           14.29% (2,500.00)$            ‐$                       Administrative Services 149,344.05$          ‐$                       0.00% 149,344.05$         ‐$                       Burlington Sewer Lines 5,000.00$               459.42$                 9.19% 4,540.58$             459.42$                 Travel & Training 6,000.00$               15.00$                   0.25% 5,985.00$             ‐$                       Utilities‐Pumping Station 105,000.00$          13,467.32$           12.83% 91,532.68$           6,557.28$             Electric‐Airport Parkway 200,000.00$          42,956.81$           21.48% 157,043.19$         24,436.49$           Electric‐Bartlett Bay 145,000.00$          23,579.34$           16.26% 121,420.66$         12,367.88$           Replacement‐Vehicles 220,000.00$          ‐$                       0.00% 220,000.00$         ‐$                       Building Improvements 2,500.00$               874.10$                 34.96% 1,625.90$             ‐$                       Pumps Replacements 50,000.00$            ‐$                       0.00% 50,000.00$           ‐$                       Pump Repairs 40,000.00$            19,049.80$           47.62% 20,950.20$           ‐$                       PMT to SW for Hadley Loan 73,000.00$            ‐$                       0.00% 73,000.00$           ‐$                       Bartlett Bay Upgrades 400,000.00$          10,386.50$           2.60% 389,613.50$         ‐$                       Hadley Sewer Project 111,786.54$          ‐$                       0.00% 111,786.54$         ‐$                       Loan for Airport Parkway 965,647.23$          ‐$                       0.00% 965,647.23$         ‐$                       Capital Improvements‐CIP ‐$                        1,291.95$             00.00% (1,291.95)$            1,291.95$             Total W/POLLUTION CONTROL EXPS. 5,074,576.74$       562,065.36$         11.08% 4,512,511.38$     191,029.76$         City of South Burlington General Ledger                                      Expenditure Report ‐ STORM WATER UTILITIES                                     Current Year Period 3 September % Budget Unencumbered FY‐22/23 MTD Account Budget Expenditures Expended Balance Pd  3 Sep S/WATER UTILITIES EXPS Salaries‐Permanent 545,117.10$                81,963.73$            15.04% 463,153.37$         24,427.53$            Payment to Highway‐Wages 78,215.00$                   ‐$                        0.00% 78,215.00$            ‐$                        Salaries‐Overtime 23,000.00$                   897.03$                 3.90% 22,102.97$            220.36$                 Payment to Sick Bank Fund 5,392.16$                     ‐$                        0.00% 5,392.16$              ‐$                        Payroll Service 1,347.31$                     ‐$                        0.00% 1,347.31$              ‐$                        Fringe Benefits 7,238.00$                     ‐$                        0.00% 7,238.00$              ‐$                        FICA/Medicare 43,460.96$                   6,694.74$              15.40% 36,766.22$            1,981.02$              Vision Plan 582.94$                        93.69$                    16.07% 489.25$                 ‐$                        Disability Income Insuran 4,878.93$                     595.23$                 12.20% 4,283.70$              ‐$                        Group Health Insurance 153,953.83$                14,139.02$            9.18% 139,814.81$         2,636.55$              Health Insurance FICA 2,080.03$                     ‐$                        0.00% 2,080.03$              ‐$                        Group Life Insurance 2,360.28$                     79.75$                    3.38% 2,280.53$              ‐$                        Group Dental Insurance 5,930.59$                     966.34$                 16.29% 4,964.25$              ‐$                        Pension 93,238.50$                   ‐$                        0.00% 93,238.50$            ‐$                        ICMA Match 27,189.96$                   4,457.00$              16.39% 22,732.96$            1,404.18$              Pension Note Payment 26,910.00$                   ‐$                        0.00% 26,910.00$            ‐$                        Office Supplies 1,000.00$                     1,012.08$              101.21% (12.08)$                  59.45$                    Small Equipment/Tools 2,000.00$                     597.94$                 29.90% 1,402.06$              86.32$                    Uniforms/Supplies 6,500.00$                     1,282.24$              19.73% 5,217.76$              428.91$                 Gasoline 2,250.00$                     1,021.92$              45.42% 1,228.08$              296.30$                 Oil 250.00$                        63.75$                    25.50% 186.25$                 51.00$                    Diesel Fuel 4,500.00$                     3,199.51$              71.10% 1,300.49$              916.94$                 Permit Requirement‐Educat 7,000.00$                     ‐$                        0.00% 7,000.00$              ‐$                        Telephone 2,000.00$                     407.90$                 20.40% 1,592.10$              92.95$                    Membership/Dues 300.00$                        ‐$                        0.00% 300.00$                 ‐$                        Discharge Permits Renewal 18,000.00$                   654.40$                 3.64% 17,345.60$            ‐$                        Workers Comp Insurance 19,554.75$                   5,838.58$              29.86% 13,716.17$            ‐$                        Property Insurance 16,197.44$                   4,929.04$              30.43% 11,268.40$            ‐$                        Unemployment Insurance 902.00$                        ‐$                        0.00% 902.00$                 ‐$                        GIS‐Fees/Software 50,000.00$                   6,875.80$              13.75% 43,124.20$            2,989.00$              Sediment & Depris Disposa 200.00$                        ‐$                        0.00% 200.00$                 ‐$                        Water Quality Monitoring 15,000.00$                   3,091.60$              20.61% 11,908.40$            ‐$                        Building/Grounds Maint 200.00$                        ‐$                        0.00% 200.00$                 ‐$                        Vehicle Maintenance 5,000.00$                     2,819.97$              56.40% 2,180.03$              864.38$                 Storm System Maint Materi 55,000.00$                   14,150.35$            25.73% 40,849.65$            3,109.39$              Printing 100.00$                        ‐$                        0.00% 100.00$                 ‐$                        Legal Services 20,000.00$                   183.13$                 0.92% 19,816.87$            ‐$                        To GF‐Audit and Actuary 6,180.66$                     ‐$                        0.00% 6,180.66$              ‐$                        Engineering‐Watershed 40,000.00$                   ‐$                        0.00% 40,000.00$            ‐$                        Billing Payment CWD 69,342.00$                   ‐$                        0.00% 69,342.00$            ‐$                        Office Equipment Maintena 2,500.00$                     308.48$                 12.34% 2,191.52$              ‐$                        Equipment Rental 250.00$                        ‐$                        0.00% 250.00$                 ‐$                        Administrative Services 102,103.95$                ‐$                        0.00% 102,103.95$         ‐$                        Conference/Training Expen 8,000.00$                     23.00$                    0.29% 7,977.00$              ‐$                        S/W Bldg Utilities 3,250.00$                     267.95$                 8.24% 2,982.05$              ‐$                        Stormwater Pumps Electric 300.00$                        42.22$                    14.07% 257.78$                 21.11$                    Vehicles/Equipment 421,000.00$                ‐$                        0.00% 421,000.00$         ‐$                        Stormwater Capital Projec 2,481,000.00$             91,954.27$            3.71% 2,389,045.73$      7,453.77$              Office Furniture/Equipmen 1,000.00$                     1,327.19$              132.72% (327.19)$                ‐$                        Flow Restoration Plan Ana 5,000.00$                     ‐$                        0.00% 5,000.00$              ‐$                        Reim to Highway‐Benefit 33,420.18$                   ‐$                        0.00% 33,420.18$            ‐$                        Total STORM WATER UTILITIES 4,420,196.57$             249,937.85$         5.65% 4,170,258.72$     47,039.16$           City of South Burlington General Ledger                                         Revenue Report ‐ GENERAL FUND                                          Current Year Period 3 September Estimated Received % Budget Uncollected FY‐22/23 MTD Account Revenue To Date Received Balance Pd  3 Sep TAX REVENUE TAX REVENUE 18,202,812.57$      (7,616,342.34)$    41.84% 10,586,470.23$   (56,786.57)$          LOCAL OPTION TAXES 4,033,388.90$        (494,878.11)$        12.27% 3,538,510.79$      ‐$                       Total TAX REVENUE 22,236,201.47$      (8,111,220.45)$    36.48% 14,124,981.02$   (56,786.57)$         INTEREST/PENALTY ON TAX 379,000.00$           (94,446.23)$          24.92% 284,553.77$         (7,876.89)$            Other Health Services 247,346.40$           (70,335.98)$          28.44% 177,010.42$         (15,667.74)$          CITY MANAGER 1,463,078.08$        (110,123.21)$        7.53% 1,352,954.87$      (43,288.62)$          CITY CLERK 383,100.00$           (67,365.10)$          17.58% 315,734.90$         (12,984.50)$          PLANNING 383,100.00$           (102,777.44)$        26.83% 280,322.56$         (10,229.88)$          FIRE DEPARTMENT 489,000.00$           (275,840.14)$        56.41% 213,159.86$         (27,895.76)$          ELECTRICAL INSPECTION 65,000.00$              (104,572.74)$        60.88% (39,572.74)$          (2,095.00)$            AMBULANCE 721,000.00$           (241,968.74)$        33.56% 479,031.26$         (82,926.26)$          POLICE DEPARTMENT 517,997.24$           (49,393.92)$          9.54% 468,603.32$         (24,274.12)$          HIGHWAY DEPARTMENT 1,394,855.38$        (163,187.73)$        11.70% 1,231,667.65$      (5,910.00)$            RECREATION 171,500.00$           (58,402.20)$          34.05% 113,097.80$         (4,013.00)$            Senior Programs 26,500.00$              (3,686.00)$            13.91% 22,814.00$           (1,023.00)$            SPECIAL ACTIVITIES 145,000.00$           (54,716.20)$          37.74% 90,283.80$           (2,990.00)$            PUBLIC LIBRARY 10,300.00$              (2,695.51)$            26.17% 7,604.49$             (682.89)$               TOTAL DEPARTMENTS 6,396,777.10$        (1,399,511.14)$    21.92% 4,997,265.96$     (241,857.66)$       Total GENERAL FUND 28,461,478.57$      (9,452,329.39)$    33.21% 19,009,149.18$   (294,631.23)$       City of South Burlington General Ledger                                        Revenue Report ‐ ENTERPRISE FUND/W.P.C.                                       Current Year Period 3 September Estimated Received % Budget Uncollected FY‐22/23 MTD Account Revenue To Date Received Balance Pd  3 Sep OPERATING TRANSFERS IN CHARGES FOR SERVICES W.P.C. User Fees 3,783,418.00$                    (972,077.91)$        25.69% 2,811,340.09$      (737,479.14)$        Sewer  Septage Revenue 25,000.00$                          ‐$                       0.00% 25,000.00$           ‐$                       Connection Fees 500,000.00$                        (95,423.08)$          19.08% 404,576.92$         (9,459.79)$            Enviromental Impact ‐$                                      (11,738.00)$          00.00% (11,738.00)$          ‐$                       Total CHARGES FOR SERVICES 4,308,418.00$                    (1,079,238.99)$    25.05% 3,229,179.01$     (746,938.93)$       BOND AND LOAN PROCEEDS Colchester A/P Pkwy Pm 742,310.00$                        ‐$                       0.00% 742,310.00$         ‐$                       GF Note Repay‐Solar 12,004.68$                          ‐$                       0.00% 12,004.68$           ‐$                       Total BOND AND LOAN PROCEEDS 754,314.68$                       ‐$                       0.00% 754,314.68$         ‐$                       MISCELLANEOUS Miscellaneous Rev.‐W.P 10,000.00$                          ‐$                       0.00% 10,000.00$           ‐$                       Total MISCELLANEOUS 10,000.00$                          ‐$                       0.00% 10,000.00$           ‐$                       Total ENTERPRISE FUND/W.P.C. 5,072,732.68$                    (1,079,238.99)$    21.28% 3,993,493.69$     (746,938.93)$       City of South Burlington General Ledger                                       Revenue Report ‐ STORM WATER UTILITIES                                      Current Year Period 3 September Estimated Received % Budget Uncollected FY‐22/23 MTD Account Revenue To Date Received Balance Pd  3 Sep S/WATER UTILITIES REVENUE Intergovernmental Revenue 826,506.98$                      ‐$                        0.00% 826,506.98$         ‐$                        S/W User Fees ‐ Water Bil 2,707,767.59$                   (578,619.01)$        21.37% 2,129,148.58$      (422,612.92)$        Pmts from other towns 40,000.00$                        ‐$                        0.00% 40,000.00$            ‐$                        Land Owner Payments 100,000.00$                      ‐$                        0.00% 100,000.00$         ‐$                        Stormwater  Miscellaneous 30,000.00$                        ‐$                        0.00% 30,000.00$            ‐$                        Hadley Sewer Proj‐Sewer f 73,000.00$                        ‐$                        0.00% 73,000.00$            ‐$                        Reserve Transfer In 635,778.00$                      ‐$                        0.00% 635,778.00$         ‐$                        Total STORM WATER UTILITIES 4,413,052.57$                  (578,619.01)$        13.11% 3,834,433.56$      (422,612.92)$        SUBGRANT AGREEMENT This Subgrant Agreement (the “Agreement”) is made by and between the CITY OF SOUTH BURLINGTON, a municipality in the County of Chittenden, Vermont (“Grantee”) and ASCEND HOUSING ALLIES INCORPORATED, a Vermont nonprofit corporation with its principal place of business in South Burlington, Vermont (“Subgrantee”). Background 1. The Grantee is the recipient and/or issuer of ARPA funds in the amount of Three Hundred Thousand and 00/100 Dollars ($300,000) and a Housing Trust Fund award in the amount of Fifty Thousand and 00/100 Dollars ($50,000.00), comprising a total amount of Three Hundred Fifty Thousand and 00/100 Dollars ($350,000.00) (the “Award”). 2. The Grantee has made a subgrant of the Award (the “Subgrant”) to the Subgrantee pursuant to the terms and conditions of this Agreement. 3. The Subgrantee intends to lend the proceeds of the Subgrant to Summit Lot 10, LP, a Vermont limited partnership (the “Partnership”) and the developer of forty-seven (47) mixed-income apartments to be located in the buildings with an address of 418 O’Brien Drive (Lot 10) in South Burlington, Vermont (the “Property”). N O W , T H E R E F O R E , In consideration of the foregoing and the mutual covenants and agreements herein set forth, the parties hereby agree as follows: Section 1. Definitions. (a) As used in this document, the words and phrases set forth below shall have the following meanings: “Award” has the meaning set forth in the Background. “City Objective” means: (a) The construction on Lot 10 of 8 market-rate and 39 perpetually affordable housing units. The affordable apartments will include 12 units designated for those who are homeless or at risk of homelessness, and affordable for individuals and families earning less than 30% of Area Median Income (“AMI”), supported with project-based vouchers awarded by the Burlington Housing Authority. These units will provide supportive services for the homeless and at-risk through a partnership with COTS. The remaining 27 income-restricted units will be affordable to low-income families and individuals earning less than 60% of AMI, pursuant to the requirements of a perpetual VHCB Housing Subsidy Covenant dated of or about even date herewith and to be recorded in the City of South Burlington Land Records (the “Lot 10 HSC”). (b) Confirmation that a perpetual VHCB Housing Subsidy Covenant dated of or about even date herewith has been recorded in the City of South - 2 - Burlington Land Records on adjacent Lot 11 (the “Lot 11 HSC”) requiring the separate limited partnership owner of Lot 11, Summit Lot 11, LP, to construct 15 market-rate and 32 perpetually affordable housing units. The affordable apartments will include 8 units designated for those who are homeless or at risk of homelessness, and affordable to individuals and families earning less than 30% of AMI, supported with project-based vouchers awarded by the Burlington Housing Authority. These units will provide supportive services for the homeless and at-risk through a partnership with COTS. The remaining 24 income-restricted units will be affordable to low-income families earning less than 60% of AMI. “Completion Date” means December 31, 2024. “Partnership” means Summit Lot 10, LP, a Vermont limited partnership and the developer of the Project. “Property” means the building with the address of 418 O’Brien Drive (Lot 10) in South Burlington, Vermont. “Subgrant” has the meaning set forth in the Background. “Subgrant Agreement” means this Agreement between Grantee and Subgrantee. Section 2. Consideration and Incorporation of Grant Agreement. Grantee makes this subgrant to Subgrantee pursuant to, and as consideration for Subgrantee’s activities as set forth in this Agreement, a copy of which Subgrantee and Grantee maintain in their respective files. Section 3. Survival of this Subgrant Agreement. This Subgrant Agreement shall survive any closing contemplated hereunder. All obligations pursuant to this Agreement shall continue until the City has determined that the City Objective has been achieved. Section 4. Purpose of the Subgrant. The purpose of this Subgrant shall be to support the Project and the achievement of the City Objective. The proceeds of the Award shall be used solely for Subgrantee’s specific activities in connection with the Subgrant, including, without limitation, making a loan of the proceeds of the Subgrant to the Partnership for the purpose of acquiring and constructing the Property. Section 5. Terms of the Subgrant. (a) This Subgrant is in the amount of Three Hundred Fifty Thousand and 00/100 Dollars ($350,000.00). (b) The Subgrantee, as agent of the Grantee, must satisfy all of the federal and state laws, regulations and procedures that apply to the Grantee. (c) If the Grantee determines and informs Subgrantee in writing that the Partnership has not achieved the City Objective, that the Grantee has determined that Partnership is unlikely to do so, Grantee may require reimbursement of all or a portion of the Subgrant funds from Subgrantee. - 3 - (d) The Subgrant funds will be delivered to the Partnership upon confirmation that both the Lot 10 HSC and Lot 11 HSC have been recorded in the City of South Burlington Land Records. Section 6. Subgrantee’s Representations. As of the date of this Agreement: (a) Subgrantee represents and warrants that it is a nonprofit corporation incorporated in the State of Vermont in good standing. (b) Subgrantee hereby certifies that Subgrantee has provided to Grantee documentation of firm commitments of the “Other Resources” identified in the Project Budget, including the purpose for which they are to be used and any conditions attached to their expenditure. (c) Subgrantee is in good standing with respect to, or in full compliance with a plan to pay, any and all federal, state and local taxes, to the extent Subgrantee is subject to taxation, if at all. (d) Subgrantee is current on or is in full compliance with a plan to pay, any and all financial obligations. (e) There are no liens, judgments or other encumbrances on the Property involved in the Project, other than those of record, or disclosed to the Grantee prior to the execution of this Subgrant Agreement. (f) Subgrantee’s representations with respect to the financial and operational aspects of the business in the written documents previously provided to the Grantee remain accurate in all material respects. (g) Subgrantee is not listed in the Exclusions portion of Performance Information in the System for Award Management (“SAM”) at www.sam.gov; nor named on the State of Vermont’s debarment list at http://bgs.vermont.gov/purchasing-contracting/debarment. (h) Subgrantee has submitted a plan setting forth its compliance with the requirements of the Uniform Relocation Act (the “URA Plan”), if applicable. Section 7. Subgrantee’s Covenants. (a) City Objective. Subgrantee commits to achieve the City Objective of the Project and shall cause the Partnership to commit to the same, and to maintain documentation as may be required by the Grantee and otherwise necessary to clearly demonstrate that Subgrantee has achieved the City Objective. (b) Insurance. For a period beginning with the execution of this Subgrant Agreement and continuing for at least 5 years after the Completion Date, Subgrantee shall cause the Partnership to take out, pay for and keep in full force, insurance on the Collateral against such risks, in such amounts, with such insurance carrier, and with such loss payable clause as shall be satisfactory to Grantee, and shall furnish Grantee with the satisfactory evidence of such insurance. (c) Notice of Change. For a period of five years from the Completion Date, Subgrantee and its successors and assigns shall provide notice of any of the following (a “Change of Use”): - 4 - (i) any proposed sale or transfer of all or any part of the Project to any person or entity who will use it for any purpose other than the provision of affordable housing; (ii) the discontinuation by the Partnership of the use or operation of all or part of the Project; or (iii) any material alteration or expansion of the Project and its purpose. The parties acknowledge and agree that a Change of Use shall constitute an event of default under this Agreement and, in the event of such default, Grantee shall have all options available at law as may be required to protect or recapture the funds made available through the Award. (d) Permits. Subgrantee shall cause the Partnership to secure all federal, state and local permits that are necessary, and shall comply with any conditions related to the disbursement of funds imposed by agencies requiring them. Subgrantee represents and warrants that the Partnership has identified all permits necessary for the project, and has secured those necessary to commence activities. (e) Reports. Subgrantee shall submit financial and operational reports to Grantee as Grantee may reasonably request, and Grantee shall have access to the records of the Subgrantee during normal business hours or as arranged in advance. Subgrantee’s failure to provide such information as requested, and/or the provision of information that appears to be inaccurate or incomplete, unless remedied within fifteen (15) days, shall constitute an event of default. (f) No Material Changes. As a condition of lending the Subgrant funds to the Partnership, Subgrantee shall require that the Partnership covenant that it shall not make any material change in the financial or operational aspects of its business, specifically including but not limited to the borrowing of additional money (except as described in the Project Budget), the granting of additional liens significantly altering the plan for capital expenditures, salaries of partners or employees, or Subgrantee’s product or service, without the prior written consent of Grantee, except as otherwise provided for in this Subgrant Agreement. (g) Other Liens and Encumbrances. Subgrantee shall use no proceeds of this Subgrant to discharge any lien or other encumbrance. (h) Refinancing. Subgrantee shall not use the Subgrant as collateral for any other debt without the prior written approval of Grantee or use such funds to restructure debt in any way, except where the project involves the use of such to convert temporary bridge or construction financing to permanent financing. (i) Title Insurance. Promptly after the closing Subgrantee shall provide Grantee with proof that Subgrantee has a policy for title insurance in no less than the sum of the full amount of this Subgrant and the amounts of all mortgages, liens and other encumbrances having a higher priority than this Subgrant. (j) Uniform Relocation Act Compliance. Subgrantee shall provide documentation demonstrating compliance with the Uniform Relocation Act and the URA Plan upon request of the Grantee and if applicable. (k) Program Management. Subgrantee shall perform or oversee all program management activities as many be necessary or appropriate for the Project, which shall include, without limitation, any necessary environmental reviews, clerk of the works services, compliance with the Davis-Bacon Act, if required, and any applicable permits, and engineering, architectural, legal and other professional services. - 5 - (l) Project Budget. Subgrantee covenants and agrees that any additional funds required to complete the Project shall be the responsibility of Subgrantee and its partners and affiliates, and not be the responsibility of Grantee. Section 8. Pass Through Provisions. In addition to binding Subgrantee, the following provisions shall be included in all contracts between Subgrantee and any other contractor related to the Project, and shall bind all such other contractors: (a) Conflicts of Interest. Subgrantee agrees to comply with the following requirements (i) In order to avoid a conflict of interest or the appearance of undue influence, if any officer of Subgrantee or a member of Subgrantee’s Board of Directors is employed by Grantee or holds an elective or appointive municipal office in Grantee, such person shall not participate in any discussions regarding, attend any public hearing concerning, vote upon or take any action with respect to any matter involving this Agreement or the Project for the longer period of: (A) From the date of execution of this Agreement until five years after the Completion Date; or (B) During a person’s tenure with Grantee and for one year thereafter. (ii) No person described in paragraph (i) of this section, nor any person with whom such a person has family or business ties, may participate in a decision-making process or gain inside information with regard to the activities funded by Grantee, obtain a financial interest in or benefit from the activity, or have an interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, for the applicable time period set forth in paragraph (i). (iii) A loan may be made by Subgrantee to an officer, director or employee of Grantee, Subgrantee, or a sub-recipient of the Subgrant, but only if the prospective borrower is one of the low or moderate income persons intended to be the beneficiaries of the assisted activity, providing the loan will permit such prospective borrower to receive generally the same interest or benefit being made available or provided to the intended beneficiaries, and the prospective borrower engages in no activities prohibited by paragraph (i), above, with respect to the prospective borrower’s loan. (b) Retention of and Access to Records. Subgrantee shall comply with the following requirements: (i) Financial records, supporting documents, statistical records, and all other records pertinent to the Project shall be retained in accordance with standard. (ii) Authorized representatives of the Grantee shall have access to all books, accounts, records, reports, files, papers, things, or property belonging to, or in use by, the Grantee, Subgrantee or any sub-recipient of the Subgrant pertaining to the receipt and administration of Award funds, as may be necessary to make audits, examinations, excerpts, and transcripts. (c) Labor and Equal Opportunity. To the extent applicable, Subgrantee will administer and enforce the Davis-Bacon Act [40 USC 276a et seq.]; the Federal Fair Labor Standards Act - 6 - [29 USC 201 et seq.]; and the Contract Work Hours and Safety Standards Act [40 USC 327-333]. Subgrantee will comply with the Copeland Anti-kickback Act of 1934, [18 USC 874 and 40 USC 276c]; Executive Order 11246 (Equal Employment Opportunities) as amended by Executive Orders 11375 and 12086 and the regulations issued pursuant thereto [ 41 CFR 60]; and Section 3 of the Housing and Urban Development Act of 1968 [12 USC 1701u] as amended, (equal employment and business opportunities) and the regulations at 24 CFR 135. Subgrantee will also comply with the requirements of Title 21, V.S.A. Chapter 5, Subchapter 6, (495-495h), relating to fair employment practices, and Title 9 V.S.A Chapter 139, Sections 4503 and 4504, relating to fair housing practices. (d) Environmental. Subgrantee will comply with the Clean Air Act (42 U.S.C. 7401-7671q and the Federal Water Pollution Contract Act (33 U.S.C. 1251-1387), as amended. Violations shall be reported to the Federal awarding agency and the Regional Office of the Environmental Protection Agency (EPA). (e) Lobbying. Subgrantee shall not use Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or any other award covered by 31 U.S.C. 1352 (Byrd Anti-Lobbying Amendment). (f) All Other Matters. Subgrantee covenants and agrees that to the extent that the Grant Agreement sets forth obligations of Subgrantee, as recipient of the Award, not otherwise expressly set forth in this Agreement, Subgrantee shall comply with all such obligations and shall undertake any reporting, management or administrative obligations required thereunder. Section 9. Default and Remedies. (a) Default. If any of the following events of default shall occur without being cured within thirty (30) days from the date that written notice of such default is received by Subgrantee from Grantee, Grantee, in its sole discretion, may exercise its rights under a certain Assignment of Loan Documents between Grantee and Subgrantee dated of near or even date herewith and convert this Subgrant into a Loan. (b) An “Event of Default” shall be deemed to occur under this Agreement in the event that any of the following occurs and the Subgrantee fails to cure such event within thirty (30) days’ of Notice from the Grantee: (i) The Grantee’s determination that Subgrantee or the Partnership has failed to achieve the City Objective; (ii) The Grantee’s determination that Subgrantee has failed to comply with all applicable provisions of this Subgrant Agreement; (iii) Grantee’s determination that Subgrantee has failed to perform any of Subgrantee’s obligations under this Subgrant Agreement; (iv) Grantee’s determination that the Partnership has failed to perform any of the Partnership’s obligations under the Loan Documents, including violation of any - 7 - term, condition or representation contained in the Subgrant Agreement, the Note, the Mortgage or any other document delivered to Grantee by Subgrantee. (c) Repayment. In the Event of Default, Grantee may demand repayment of all or a portion of the Award or invoke any other remedy allowed by this Subgrant Agreement, or any other document related to this Subgrant, or by law. Section 10. Miscellaneous Provisions. (a) Revisions and Amendments. All amendments to this Subgrant Agreement shall be reduced to writing and shall be executed by all parties to the document. Subgrantee acknowledges that the Grantee may require an amendment to this Agreement to ensure, or enhance the possibility of, Subgrantee’s achieving the City Objective. A copy of any amendment to this document shall be submitted to the Grantee for its approval prior to execution of the amendment. Any amendment to this Agreement shall survive the closing with respect thereto. (b) Paragraph Titles. The titles to the paragraphs of this Agreement are used solely for purposes of identification, and are not to be construed as affecting the meaning of the language of the paragraphs. (c) No Waiver. The waiver by the Grantee of a breach of any term, covenant or condition herein contained shall not be deemed to be a waiver of such term, covenant or condition, or of any subsequent breach of the same or any other term, covenant or condition. No covenant, term or condition of this Agreement shall be deemed to have been waived or modified by the Grantee, unless such waiver or modification is in writing and executed on behalf of the Grantee against whom such waiver or modification is to be enforced. (d) Remedies. All remedies provided in this agreement are distinct and cumulative to any other right or remedy under this agreement, or otherwise available by law, and may be exercised concurrently, independently or successively. IN WITNESS WHEREOF, the parties, as evidenced by the signatures of their Duly Authorized Agents, do hereby execute this Subgrant Agreement as of the ____ day of ______________, 2022. CITY OF SOUTH BURLINGTON By: Duly Authorized Agent [Additional Signature Follows] [City ARPA/HTF Subgrant Agreement] ASCEND HOUSING ALLIES INCORPORATED By: Duly Authorized Agent <1813963v1/RHR> SUBGRANT AGREEMENT This Subgrant Agreement (the “Agreement”) is made by and between the CITY OF SOUTH BURLINGTON, a municipality in the County of Chittenden, Vermont (“Grantee”) and ASCEND HOUSING ALLIES INCORPORATED, a Vermont nonprofit corporation with its principal place of business in South Burlington, Vermont (“Subgrantee”). Background 1. The Grantee is the recipient of an award of Vermont Community Development Program funds in the amount of One Million and 00/100 Dollars ($1,000,000.00) (the “Award”) from the Vermont Agency of Commerce and Community Development (the “Agency”). The Award is subject to certain terms and conditions set forth in the Grant Agreement 07110-IG-2021-SBurlingtonC-22 by and between the Grantee and the Agency dated June 16, 2022 (the “VCDP Grant Agreement”). 2. The Grantee has made a subgrant of the Award (the “Subgrant”) to the Subgrantee pursuant to the terms and conditions of this Agreement and the VCDP Grant Agreement. 3. The Subgrantee intends to lend the proceeds of the Subgrant to Summit Lot 11, LP, a Vermont limited partnership (the “Partnership”) and the developer of forty-seven (47) mixed-income apartments to be located in the buildings with an address of 442 O’Brien Drive (Lot 11) in South Burlington, Vermont (the “Property”). N O W, T H E R E F O R E , In consideration of the foregoing and the mutual covenants and agreements herein set forth, the parties hereby agree as follows: Section 1. Definitions. (a) As used in this document, the words and phrases set forth below shall have the following meanings: “Agency” has the meaning set forth in the Background. “Agency Procedures” means the procedures of the Agency described as Agency procedures for the Vermont Community Development Program, as they may be amended from time to time, as set forth at the following website: http://accd.vermont.gov/community- development/funding-incentives/vcdp/grants-management-guide. “Award” has the meaning set forth in the Background. “Completion Date” means the “Award End Date” set forth in the VCDP Grant Agreement, or December 31, 2024. “HUD” means the U.S. Department of Housing and Urban Development. “National Objective” means the construction of forty-seven (47) units of new rental housing, of which thirty-two (32) will be made available for households of low and moderate income housing earning at or below 80% of area median income as described in Attachment A to the VCDP Grant Agreement. - 2 - “Partnership” means Summit Lot 11, LP, a Vermont limited partnership and the developer of the Project. “Project” means the development of forty-seven (47) mixed-income apartments to be located in the building with an address of 442 O’Brien Drive (Lot 11) in South Burlington, Vermont as described in Paragraph B of Attachment A of the VCDP Grant Agreement. “Project Budget” means the project budget set forth in Attachment B of the VCDP Grant Agreement. “Property” means the building with the address of 442 O’Brien Drive (Lot 11) in South Burlington, Vermont. “Secretary” means the Secretary of the Agency. “Subgrant” has the meaning set forth in the Background. “Subgrant Agreement” means this Agreement between Grantee and Subgrantee. “Subgrantee” has the meaning set forth in the Background. “VCDP” means the Vermont Community Development Program. “VCDP Grant Agreement” has the meaning set forth in the Background. Section 2. Consideration and Incorporation of Grant Agreement. Grantee makes this subgrant to Subgrantee pursuant to, and as consideration for Subgrantee’s activities as set forth in the Grant Agreement, which is incorporated herein by reference, and a copy of which Subgrantee and Grantee maintain in their respective files. Section 3. Survival of this Subgrant Agreement. This Subgrant Agreement shall survive any closing contemplated hereunder. All obligations pursuant to this Agreement shall continue until the Agency has determined that the National Objective has been achieved. Section 4. Purpose of the Subgrant. The purpose of this Subgrant shall be to support the Project and the achievement of the National Objective, as described in Attachment A of the Grant Agreement. The proceeds of the Award shall be used solely for Subgrantee’s specific activities in connection with the Subgrant, including, without limitation, making a loan of the proceeds of the Subgrant to the Partnership for the purpose of acquiring the Property. Section 5. Terms of the Subgrant. (a) This Subgrant is in the amount of One Million and 00/100 Dollars ($1,000,000.00). (b) The Subgrantee, as agent of the Grantee, must satisfy all of the federal and state laws, regulations and procedures that apply to the Grantee. (c) If the Agency determines and informs Grantee in writing that the Partnership has not achieved the National Objective, that the Agency has determined that Partnership is unlikely to do so, and that therefore Grantee may be required to reimburse the Agency for - 3 - all or a portion of the Grant funds, Grantee may require reimbursement of all or a portion of the Subgrant funds from Subgrantee. Section 6. Subgrantee’s Representations. As of the date of this Agreement: (a) Subgrantee represents and warrants that it is a nonprofit corporation incorporated in the State of Vermont in good standing. (b) Subgrantee hereby certifies that Subgrantee has provided to Grantee documentation of firm commitments of the “Other Resources” identified in the Project Budget, including the purpose for which they are to be used and any conditions attached to their expenditure. (c) Subgrantee is in good standing with respect to, or in full compliance with a plan to pay, any and all federal, state and local taxes, to the extent Subgrantee is subject to taxation, if at all. (d) Subgrantee is current on or is in full compliance with a plan to pay, any and all financial obligations. (e) There are no liens, judgments or other encumbrances on the Property involved in the Project, other than those of record, or disclosed to the Agency prior to the execution of the Grant Agreement, or disclosed no later than at the execution of this Subgrant Agreement. (f) Subgrantee’s representations with respect to the financial and operational aspects of the business in the written documents previously provided to the Grantee remain accurate in all material respects. (g) Subgrantee has obtained a Unique Entity Identification (UEI) number from the SAM.gov UEI Request Service at https://sam.gov/content/entity-registration, has registered the System for Award Management (“SAM”) at www.sam.gov, is not listed in the Exclusions portion of Performance Information in the System for Award Management (“SAM”) at www.sam.gov; nor named on the State of Vermont’s debarment list at http://bgs.vermont.gov/purchasing-contracting/debarment. (h) Subgrantee has submitted a plan setting forth its compliance with the requirements of the Uniform Relocation Act (the “URA Plan”). Section 7. Subgrantee’s Covenants. (a) National Objective. Subgrantee commits to achieve the National Objective of the Project and shall cause the Partnership to commit to the same, and to maintain documentation as may be required by the Grant Agreement and otherwise necessary to clearly demonstrate that Subgrantee has achieved the National Objective. (b) Insurance. For a period beginning with the execution of this Subgrant Agreement and continuing for at least 5 years after the Completion Date, Subgrantee shall cause the Partnership to take out, pay for and keep in full force, insurance on the Collateral against such risks, in such amounts, with such insurance carrier, and with such loss payable clause as shall be satisfactory to Grantee, and shall furnish Grantee with the satisfactory evidence of such insurance. - 4 - (c) Notice of Change. For a period of five years from the Completion Date, Subgrantee and its successors and assigns shall provide notice of any of the following (a “Change of Use”): (i) any proposed sale or transfer of all or any part of the Project to any person or entity who will use it for any purpose other than the provision of affordable housing; (ii) the discontinuation by the Partnership of the use or operation of all or part of the Project; or (iii) any material alteration or expansion of the Project and its purpose. The parties acknowledge and agree that a Change of Use shall constitute an event of default under this Agreement and, in the event of such default, Grantee shall have all options available at law as may be required to protect or recapture the funds made available through the VCDP. (d) Environmental Review. Subgrantee shall cause the Partnership to comply with all conditions set forth in the Environmental Review Release letter for the Project, and shall maintain and/or upload documentation demonstrating compliance, as required by the Grant Agreement. (e) Permits. Subgrantee shall cause the Partnership to secure all federal, state and local permits that are necessary, and shall comply with any conditions related to the disbursement of funds imposed by agencies requiring them. Subgrantee represents and warrants that the Partnership has identified all permits necessary for the project, and has secured those necessary to commence activities. (f) Closeout Agreement. At the completion of the Project, Subgrantee shall enter into and comply with the terms of a Closeout Agreement. (g) Reports. Subgrantee shall submit financial and operational reports to Grantee as Grantee may reasonably request, and Grantee shall have access to the records of the Subgrantee during normal business hours or as arranged in advance. Subgrantee’s failure to provide such information as requested, and/or the provision of information that appears to be inaccurate or incomplete, unless remedied within fifteen (15) days, shall constitute an event of default. (h) No Material Changes. As a condition of lending the Subgrant funds to the Partnership, Subgrantee shall require that Partnership covenant that it shall not make any material change in the financial or operational aspects of its business, specifically including but not limited to the borrowing of additional money (except as described in the Project Budget), the granting of additional liens significantly altering the plan for capital expenditures, salaries of partners or employees, or Subgrantee’s product or service, without the prior written consent of Grantee, except as otherwise provided for in this Subgrant Agreement. (i) Other Liens and Encumbrances. Subgrantee shall use no proceeds of this Subgrant to discharge any lien or other encumbrance. (j) Refinancing. Subgrantee shall not use the Subgrant as collateral for any other debt without the prior written approval of Grantee. VCDP funds shall not be used to restructure debt in any way, except where the project involves the use of VCDP funds to convert temporary bridge or construction financing to permanent financing. (k) Title Insurance. Promptly after the closing Subgrantee shall provide Grantee with proof that Subgrantee has a policy for title insurance in no less than the sum of the full amount of this Subgrant and the amounts of all mortgages, liens and other encumbrances having a higher priority than this Subgrant. - 5 - (l) Uniform Relocation Act Compliance. Subgrantee shall provide documentation demonstrating compliance with the Uniform Relocation Act and the URA Plan upon request of the Grantee and if applicable. (m) Program Management. Subgrantee shall perform or oversee all program management activities as many be necessary or appropriate for the Project, which shall include, without limitation, any necessary environmental reviews, clerk of the works services, compliance with the Davis-Bacon Act and any applicable permits, and engineering, architectural, legal and other professional services, including General Administration (Activity #5013) and Program Management (Activity #3013) of the Grant set forth in a Subgrant and Administrative Services Program Management Agreement.. (n) Project Budget. Subgrantee covenants and agrees that any additional funds required to complete the Project shall be the responsibility of Subgrantee and its partners and affiliates, and not be the responsibility of Grantee. Section 8. Pass Through Provisions. In addition to binding Subgrantee, the following provisions shall be included in all contracts between Subgrantee and any other contractor related to the Project, and shall bind all such other contractors: (a) Conflicts of Interest. Subgrantee agrees to comply with the requirements of Section VII(B) of Attachment D to the VCDP Grant Agreement, and Agency Procedures, Chapter 9 and Chapter 10, Section 10.3. (i) In addition, in order to avoid a conflict of interest or the appearance of undue influence, if any officer of Subgrantee or a member of Subgrantee’s Board of Directors is employed by Grantee or holds an elective or appointive municipal office in Grantee, such person shall not participate in any discussions regarding, attend any public hearing concerning, vote upon or take any action with respect to any matter involving this Agreement or the Project for the longer period of: (A) From the date of execution of this Agreement until five years after the Completion Date; or (B) During a person’s tenure with Grantee and for one year thereafter. (ii) No person described in paragraph (i) of this section, nor any person with whom such a person has family or business ties, may participate in a decision-making process or gain inside information with regard to the activities funded by VCDP, obtain a financial interest in or benefit from the activity, or have an interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, for the applicable time period set forth in paragraph (i). (iii) A loan may be made by Subgrantee to an officer, director or employee of Grantee, Subgrantee, or a sub-recipient of the Subgrant, but only if the prospective borrower is one of the low or moderate income persons intended to be the beneficiaries of the assisted activity, providing the loan will permit such prospective borrower to receive generally the same interest or benefit being made available or provided to the intended beneficiaries, and the prospective borrower engages in no activities prohibited by paragraph (i), above, with respect to the prospective borrower’s loan. - 6 - (b) Retention of and Access to Records. Subgrantee shall comply with the requirements of Section XIV of Attachment D to the VCDP Grant Agreement and Agency Procedures, Chapter 3: (i) Financial records, supporting documents, statistical records, and all other records pertinent to the Project shall be retained in accordance with Agency Procedures, Chapter 3 including completion of a Subgrantee Financial Monitoring Worksheet that complies with Subrecipient Monitoring per the Uniform Guidance and upload documentation to GEARS. (ii) Authorized representatives of the Secretary of the Agency, the Secretary of HUD, the Inspector General of the United States, or the U.S. General Accounting Office shall have access to all books, accounts, records, reports, files, papers, things, or property belonging to, or in use by, the Grantee, Subgrantee or any sub-recipient of the Subgrant pertaining to the receipt and administration of Vermont Community Development Program funds, as may be necessary to make audits, examinations, excerpts, and transcripts. (c) Labor and Equal Opportunity. To the extent applicable, Subgrantee will administer and comply with the reporting requirements of the Davis-Bacon Act [40 USC 276a et seq.]; the Federal Fair Labor Standards Act [29 USC 201 et seq.]; and the Contract Work Hours and Safety Standards Act [40 USC 327-333]. Subgrantee will comply with the Copeland Anti-kickback Act of 1934, [18 USC 874 and 40 USC 276c]; Executive Order 11246 (Equal Employment Opportunities) as amended by Executive Orders 11375 and 12086 and the regulations issued pursuant thereto [ 41 CFR 60]; and Section 3 of the Housing and Urban Development Act of 1968 [12 USC 1701u] as amended, (equal employment and business opportunities) and the regulations at 24 CFR 135. Subgrantee will also comply with the requirements of Section X of Attachment D to the Grant Agreement, and the requirements of Title 21, V.S.A. Chapter 5, Subchapter 6, (495-495h), relating to fair employment practices, Title 9 V.S.A Chapter 139, Sections 4503 and 4504, relating to fair housing practices and Section 3 requirements set forth in 24 CFR 75, Subpart C to provide economic opportunities in connection with this project, to the greatest extent feasible, to low and very low-income persons residing within the area in which the project is located— Section 3 requirements shall be included in bid documents and attached to all contracts executed in connection with the project. (d) Environmental. Subgrantee will comply with the Clean Air Act (42 U.S.C. 7401-7671q and the Federal Water Pollution Contract Act (33 U.S.C. 1251-1387), as amended. Violations shall be reported to the Federal awarding agency and the Regional Office of the Environmental Protection Agency (EPA). (e) Lobbying. Subgrantee shall not use Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or any other award covered by 31 U.S.C. 1352 (Byrd Anti-Lobbying Amendment). (f) All Other Matters. Subgrantee covenants and agrees that to the extent that the Grant Agreement sets forth obligations of Subgrantee, as recipient of the Award, not otherwise expressly set forth in this Agreement, Subgrantee shall comply with all such obligations - 7 - and shall undertake any reporting, management or administrative obligations required thereunder. Section 9. Default and Remedies. (a) Default. If any of the following events of default shall occur without being cured within thirty (30) days from the date that written notice of such default is received by Subgrantee from Grantee, Grantee, in its sole discretion, may exercise its rights under a certain Assignment of Loan Documents between Grantee and Subgrantee dated of near or even date herewith and convert this Subgrant into a Loan. The Assignment of Loan Documents includes the Mortgage Deed from the Partnership to Subgrantee, which will be uploaded to the Agency’s on-line grants management (GEARS) system. (b) An “Event of Default” shall be deemed to occur under this Agreement in the event that any of the following occurs and the Subgrantee fails to cure such event within thirty (30) days’ of Notice from the Grantee: (i) The Agency’s determination that Subgrantee or the Partnership has failed to achieve the National Objective; (ii) The Agency’s determination that Subgrantee has failed to comply with all applicable provisions of the Grant Agreement; (iii) Grantee’s determination that Subgrantee has failed to perform any of Subgrantee’s obligations under this Subgrant Agreement; (iv) Grantee’s determination that the Partnership has failed to perform any of the Partnership’s obligations under the Loan Documents, including violation of any term, condition or representation contained in the Grant Agreement, the Note, the Mortgage or any other document delivered to Grantee by Subgrantee. (c) Repayment. In the Event of Default, Grantee may demand repayment of all or a portion of the Grant or invoke any other remedy allowed by the Grant Agreement, this Subgrant Agreement, or any other document related to this Subgrant, or by law. Section 10. Miscellaneous Provisions. (a) Revisions and Amendments. All amendments to this Subgrant Agreement shall be reduced to writing and shall be executed by all parties to the document. Subgrantee acknowledges that the Agency may require an amendment to this Agreement to ensure, or enhance the possibility of, Subgrantee’s achieving the National Objective. A copy of any amendment to this document shall be submitted to the Agency for its approval prior to execution of the amendment. Any amendment to this Agreement shall survive the closing with respect thereto. (b) Environmental Review. Pursuant to Subsection III (C) of Attachment D to the Grant Agreement, there shall be no reimbursement using VCDP funds for any expenses incurred for activities commenced prior to the date the Agency issues the Notice of Release of Funds. - 8 - (c) Paragraph Titles. The titles to the paragraphs of this Agreement are used solely for purposes of identification, and are not to be construed as affecting the meaning of the language of the paragraphs. (d) No Waiver. The waiver by the Lender of a breach of any term, covenant or condition herein contained shall not be deemed to be a waiver of such term, covenant or condition, or of any subsequent breach of the same or any other term, covenant or condition. No covenant, term or condition of this Agreement shall be deemed to have been waived or modified by the Lender, unless such waiver or modification is in writing and executed on behalf of the Lender against whom such waiver or modification is to be enforced. (e) Remedies. All remedies provided in this agreement are distinct and cumulative to any other right or remedy under this agreement, or otherwise available by law, and may be exercised concurrently, independently or successively. IN WITNESS WHEREOF, the parties, as evidenced by the signatures of their Duly Authorized Agents, do hereby execute this Subgrant Agreement as of the ____ day of ______________, 2022. CITY OF SOUTH BURLINGTON By: Duly Authorized Agent [Additional Signature Follows] [VCDP Subgrant Agreement] ASCEND HOUSING ALLIES INCORPORATED By: Duly Authorized Agent <1812600v1/RHR> 180 Market Street South Burlington, VT 05403 tel 802.846.4106 fax 802.846.4101 www.sbvt.gov MEMORANDUM TO: Jessie Baker, City Manager South Burlington City Council FROM: Paul Conner, Director of Planning & Zoning & Acting Administrative Officer SUBJECT: Road Impact Fee In-Kind Credit requests for 303 Market Street (SP-21-036A) and 112 Garden Street (SP-22-050) DATE: November 7, 2022 City Council meeting Chris Snyder and Tim McKenzie recently submitted the attached request for issuance of an in-kind credit for Road Impact Fees ascribed to two buildings who primary vehicular entrances are on Garden Street: a 61-unit residential building at 303 Market Street (SP-21-036A) and a 120-unit mixed use building with 6,800 s.f. of non- residential space at 112 Garden Street (SP-22-050). They are seeking credit in the amount of $174,689.06. This figure represents the Road Impact Fee that would otherwise be owed by these two buildings. Eligibility: The City’s Impact Fee Ordinance authorizes the City Council to issue credit as follows: Section 8. Credits for "In-Kind" Contributions. A. "In-Kind" contribution shall mean provision, by a person subject to payment of an impact fee, of land or equipment or construction of facilities that are included in the impact fee analyses and computations, and which are included in or consistent with the City's Comprehensive Plan. B. Upon recommendation of the Development Review Board or Administrative Officer, the City Council may approve a credit against any impact fee levied under this ordinance for the value of "In-Kind" contributions. The amount of credit for an "In-Kind" contribution shall be based on the actual cost to the person requesting the credit of providing or creating the facilities. The Development Review Board or Administrative Officer shall indicate the basis on which the amount of credit is determined. The amount of credit for an "In-Kind" contribution shall not exceed the total amount of the impact fee for that type of facility which would otherwise be levied on the proposed development. Details of request: Applicant has previously received credit for construction of the north segment of Garden Street for projects at 303 Market Street and 324 Garden Street. Applicant is seeking credit for construction of the south section of Garden Street for two buildings, 303 Market Street (presently under construction) and 112 Garden Street. The Administrative Officer in both instances has recommended approval of the credit in the respective Site Plan decision. 2 Impact Fee Balance The Impact Fee ordinance contemplates total expenditures of $3,189,000 from Impact Fees for eligible City Center Road Network Projects. To Date, direct expenditures have been approximately $1,547,195; and credits have been issued in the amount of $253,435. With issuance of the requested credits of $174,689.06, the remaining balance would be $1,104,431. Recommendation Upon review of the letter provided by Messrs. Snyder and McKenzie and the findings of SP-21-036A and SP-22- 050, the Administrative Officer find the request to be consistent with the Ordinance and recommends issuance of a credit of $174,689.06. This recommendation applies only to the development approved by SP-21-036A and SP-22-050. MEMO TO:Jesse Baker, City ManagerPaul Conner, Director of Planning & Zoning FROM:Chris Snyder – Snyder-Braverman Development Company, LLCTim McKenzie – South Burlington City Center, LLC DATE:November 3, 2022 RE:Proposed multi-family building – 112 Garden StreetProposed multi-family building – 303 Market Street Credit for in-kind contributionRoad Improvement Impact Fee In accordance with Section 8 of the South Burlington Impact Fee Ordinance, we are requestingCity Council approval of an in-kind contribution for the construction of Garden Street, thereby eliminating the Road Improvement Impact Fee for the building under construction at 303 MarketStreet, and the building to be constructed at 112 Garden Street – both within City Center. The zoning permit for the building under construction at 303 Market Street noted that theapplicant had requested a credit against the Road Improvement Impact Fee and that it waspending City Council review. We were unable to locate the Council’s approval of this request ina review of the agenda and minutes from this time period. The approval of Site Plan Application #SP-22-050 (112 Garden Street) included arecommendation from the Administrative Officer that the City Council approve a credit againstthe Road Improvement Impact Fee. The following summarizes the projects where in-kind contributions were previously approved, along with the subdivision of the Garden Street right of way.  Site Plan application #SP-20-030 for the construction of a 43 unit residential building tobe constructed at 324 Garden Street was approved by the Administrative Officer onNovember 2, 2020. o Decision #16 states that the Administrative Officer estimates that the building willgenerate twenty (20) vehicle trip ends during the P.M. peak hour.  Site Plan application #SP-18-18 for the construction of a 60 unit residential buildingconstructed at 310 Market Street was approved by the Administrative Officer on August 10, 2018. o The findings note that Garden Street will be constructed in phases as approvedin decision #SD-18-23. The application must post a bond for the estimatedconstruction cost of the segment of Garden Street north of Market Street, plus a15% contingency (excluding street trees). The estimated construction cost wasapproved by the Director of Public Works in an email dated June 25, 2018. o Decision #4 states that prior to issuance of a zoning permit, the applicant mustpost a bond for the construction of each phase of Garden Street (north segment)as indicated below:  Phase 1 $473,800  Phase 2 $387,550  Phase 3 $103,500 o Decision #13 states that the Administrative Officer estimates that the building will generate twenty seven (27) vehicle trip ends during the P.M. peak hour. o Construction of Garden Street (north segment) is substantially complete,although all components of phase 3 are not yet finished.  Garden Street – north segment: Preliminary and Final Plat application #SD-18-13 was approved by the Development Review Board on June 7, 2018. The applicationconsisted of subdividing a parcel into 5 lots, and adjusting a boundary line between apreviously conveyed right of way and a pre-existing sixth lot. o Garden Street is a planned street as shown on the Official City Map o Decision 16 outlined the approved phased construction of Garden Street, north ofMarket Street. o Decision 18 required that a bond be posted for the construction of Garden Street,in accordance with the phased construction, plus a 15% contingency.  Garden Street – south segment: Preliminary and Final Plat application #SD-19-24 wasapproved by the Development Review Board on October 28, 2019. The application consisted of subdividing a parcel into 6 lots, including the right of way for Garden Streetsouth of Market Street. o Garden Street is a planned street as shown on the Official City Map o Decision 11 & 12 outlines the phased construction of Garden Street, south ofMarket Street. o In accordance with Decision 11.e. a bond having a value of $1,748,000($1,520,000 construction cost plus 15% contingency) was provided for theconstruction of Garden Street, south of Market Street.  Site Plan application #SP-21-036A for the construction of a 61 unit residential building tobe constructed at 303 Market Street was approved by the Administrative Officer onJanuary 31, 2022. o Decision 19 states that the Administrative Officer estimates that the building will generate twenty eight (28) vehicle trip ends during the P.M. peak hour. The following summarizes the projects that are the subject of the proposed in-kind contributioncredit request.  Site Plan application #SP-21-036A for the construction of a 61 unit residential building tobe constructed at 303 Market Street was approved by the Administrative Officer on January 31, 2022. o Decision 19 states that the Administrative Officer estimates that the building willgenerate twenty eight (28) vehicle trip ends during the P.M. peak hour. Zoning Permit #ZP-22-085 was issued on April 1, 2022 with a note that the applicant hadrequested a credit for the Road Improvement Impact Fee and that it was pending CityCouncil review.  Site Plan application #SP-22-050 for the construction of a mixed use building (120 unitresidential units, 1,800 SF fast casual restaurant & 5,000 SF day care) to be constructedat 112 Garden Street was approved by the Administrative Officer on October 24, 2022. o Decision #23 states that the Administrative Officer estimates that the building willgenerate one hundred fifteen (115) vehicle trip ends during the P.M. peak hour.Note that this estimate reflects the reduction for pass-by trips associated with daycare uses allowed by the Impact Fee Ordinance. o A zoning permit application will soon be submitted for this mixed use building andrelated sitework. The total credit for the in-kind contribution, as well as the previously approved and proposedRoad Improvement Impact Fee reductions are summarized below: Total in-kind contribution credit Garden Street (north segment)$ 964,850.00 Garden Street (south segment)$ 1,520,000.00 Total in-kind contribution credit $ 2,484,850.00 GARDEN STREET (NORTH)Road Improvement Impact Fee Reductions Total in-kind contribution credit $ 964,850.00 #SP-18-18 / 310 Market Street60 unit multi-family buildingImpact fee = $602.36 per MF unit ($ 36,141.60) #SP-20-030 / 324 Garden Street 43 unit multi-family buildingImpact fee = $623.23 per MF unit ($ 26,798.89) Total Road Improvement Impact Fee Reductions ($ 62,940.49) Unused in-kind contribution credit $ 901,909.51 GARDEN STREET (SOUTH)Road Improvement Impact Fee Reductions Total in-kind contribution credit $ 1,520,000.00 #SP-21-036A / 303 Market Street61 unit multi-family buildingImpact fee = $629.62 per MF unit ($ 34,406.82) #SP-22-050 / 112 Garden Street Mixed use buildingImpact fee = $635.76 per MF unit (120 units)Impact fee = $24,996.50 for 1,800 sf restaurant ($999.86/trip x 25 peak hour trips)Impact fee = $38,994.54 for 5,000 sf day care ($999.86/trip x 39 peak hour trips) ($ 140,282.24) Total Road Improvement Impact Fee Reductions ($ 174,689.06) Unused in-kind contribution credit $ 1,345,310.94 We reserve the right to request approval to apply the unused in-kind contribution against RoadImprovement Impact Fees for future development in City Center. https://www.transportation.gov/grants/SMART 180 Market Street, South Burlington, VT 05403 tel. 802.846.4107 www.southburlingtonvt.gov MEMORANDUM TO:South Burlington City Council Jessie Baker,City Manager FROM:Amanda S. E. Lafferty, Deputy City Attorney SUBJECT:Amended Irrevocable Offer of Dedication for roads within Hillside at O’Brien Farm project FOR:November 7,2022,meeting As required by a 2017 subdivision approval, the landowners offered to dedicate the roads depicted on the plat to the City for public roadway purposes. One of these roads, O’Brien Farm Road, ended in a hammerhead turn-around. a copy of the 2017 plat with the hammerhead terminus shaded pink, attached. In March 2022, the Development Review Board approved a plat that removed the hammerhead terminus, reapportioned some of the land previously included in the hammerhead to development lots and extended O’Brien Farm Road to a new intersection with Old Farm Road. a copy of the 2022 plat, with the new road layout shaded pink, attached. For these reasons, the applicant has provided a “replacement” irrevocable offer of dedication, draft copy attached, that incorporates the changes to O’Brien Farm Road. Upon recording this Amended Irrevocable Offer of Dedication, the Irrevocable Offer of Dedication dated September 22, 2017, will terminate and be of no further force and effect. City Council is not accepting any of these roads at this time. However, by recording the Amended Irrevocable Offer of Dedication, the City gives up the 2017 offer of dedication, which is within City Council’s authority. Staff recommends that City Council authorize the City Manager to execute the Amended Irrevocable Offer of Dedication for recording in the South Burlington Land Records. AMENDED IRREVOCABLE OFFER OF DEDICATION This Amended Irrevocable Offer of Dedication (the “Irrevocable Offer”), dated as of the date the last Party signs below, is by and between O’BRIEN FARM ROAD, LLC, a Vermont limited liability company with its principal place of business in South Burlington, Vermont (“O’Brien”) and the CITY OF SOUTH BURLINGTON, a municipality located in the County of Chittenden and State of Vermont (the “City”). Background 1. O’Brien owns several parcels of land off of Kennedy Drive, Eldredge Street and Old Farm Road in South Burlington, Vermont (the “Property”) as shown on the plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL-1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022 and recorded in Map Slide 651 at Page 4 of the City of South Burlington Land Records (the “Plat”). 2. The City’s Development Review Board (the “Board”) has approved O’Brien’s Master Plan Application MP-16-03 as amended by Master Plan applications MP-17-01, MP-20-01 and MP-22-01, for an approved master plan of up to 458 dwelling units plus allowable offset units and up to 6,000 square feet of limited neighborhood commercial space and Final Plat applications SD-16-13, SD-17-08, SD-17-17, SD-19-14, SD-21-25 and SD-22-05. 3. In connection with Final Plat Application #SD-17-17, O’Brien and the City executed an Irrevocable Offer of Dedication dated September 22, 2017 and recorded in Volume 1392 at Page 311 of the City of South Burlington Land Records (the “2017 Offer of Dedication”) for the following roadways and associated improvements over the lands owned and controlled by O’Brien: Two Brothers Drive (Phase I and Phase II), Laurentide Lane, Ledge Way, Split Rock Court and O’Brien Farm Road (Phase I and Phase II) (the “2017 Roadways”), all as shown on an earlier version of the Plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL -1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised August 30, 2017 and recorded in Map Slide 611 of the City of South Burlington Land Records (the “2017 Plat”). The 2017 Plat depicted the northeastern terminus of O’Brien Farm Road as a hammerhead between Lots 11, Lot 13, 16 and 17(as those Lots are depicted on the 2017 Plat), and the 2017 Offer of Dedication dedicated the 2017 Roadways, including O’Brien Farm Road, to the City. 4. The Board granted Final Plat Approval #SD-21-25 dated March 8, 2022, for the construction of “two (2) four story multi-family residential buildings on Lots 10 and 11 with a total of 94 dwelling units, of which up to 79 are proposed inclusionary units, and two city streets” (the “2022 Project”). 5. As part of the 2022 Project, O’Brien Farm Road was reconfigured and extended (as shown on the Plat), and Lot 11 and Lot 13 at the Property have been configured to include portions of the former terminus of O’Brien Farm Road, as depicted on the 2017 Plat. 6. O’Brien now proposes to dedicate to the City, free and clear of all encumbrances, Two Brothers Drive (Phase I and Phase II), Laurentide Lane, Ledge Way, Split Rock Court and O’Brien Farm Road (Phase I and Phase II) (the “Public Roadways”), as depicted on the Plat and as more particularly described in Exhibit A and Exhibit E, attached hereto, subject to the terms and conditions set forth herein. The Parties also enter into the Irrevocable Offer to terminate the 2017 Offer of Dedication. N O W , T H E R E F O R E , In consideration of the final approval of the Board and for other good and valuable consideration, it is covenanted and agreed as follows: Section 1. O’Brien herewith delivers to the City a Warranty Deed for each of the Public Roadways, the description of which is set forth as Exhibit A, Exhibit B, Exhibit C, Exhibit D, Exhibit E, Exhibit F and Exhibit G attached hereto, said delivery constituting a formal irrevocable offer of dedication to the City of the Public Roadways, to be held by the City until the acceptance or rejection of such irrevocable offer of dedication by the City. Section 2. O’Brien agrees that this Irrevocable Offer is irrevocable and that each Warranty Deed may be accepted or rejected by the City in whole or in part at any time. Section 3. This Irrevocable Offer shall run with the land and be binding upon O’Brien and its respective successors and assigns. Section 4. This Irrevocable Offer shall serve as notice to any and all utility companies that the City has an interest in the Public Roadways, which interest shall be first and superior to any easements granted to said utility companies, and all work within the area of the Public Roadways shall be in accordance with the City’s public works standards as they may be amended from time to time. Section 5. O’Brien Home Farm, LLC joins in this Amended Irrevocable Offer of Dedication for the purpose of conveying the public roadway set forth in Exhibit G. Section 5. By executing and recording the Irrevocable Offer, O’Brien and City hereby agree that the Irrevocable Offer shall replace the 2017 Offer, and the 2017 Offer is hereby terminated and of no further force and effect. IN WITNESS WHEREOF, the parties hereby execute this Irrevocable Offer as of the _____ day of November 2022. IN PRESENCE OF: O’BRIEN FARM ROAD, LLC __________________________________ By: ___________________________________ Witness Duly Authorized Agent O’BRIEN HOME FARM, LLC __________________________________ By: ___________________________________ Witness Duly Authorized Agent CITY OF SOUTH BURLINGTON __________________________________ By: ___________________________________ Witness City Manager and Duly Authorized Agent STATE OF VERMONT COUNTY OF CHITTENDEN, SS. On this _____ day of _____________, 2022, personally appeared __________________________, Duly Authorized Agent of O’BRIEN FARM ROAD, LLC, to me known to be the person who executed the foregoing instrument, and he acknowledged this instrument, by him signed, to be his free act and deed and the free act and deed of O’BRIEN FARM ROAD, LLC. Notary Public – State of Vermont Printed Name: Commission No.: Commission Expires: 1/31/23 STATE OF VERMONT COUNTY OF CHITTENDEN, SS. On this _____ day of _____________, 2022, personally appeared __________________________, Duly Authorized Agent of O’BRIEN HOME FARM, LLC, to me known to be the person who executed the foregoing instrument, and he acknowledged this instrument, by him signed, to be his free act and deed and the free act and deed of O’BRIEN HOME FARM, LLC. Notary Public – State of Vermont Printed Name: Commission No.: Commission Expires: 1/31/23 STATE OF VERMONT COUNTY OF CHITTENDEN, SS. On this _____ day of ________________, 2022, personally appeared Jessie Baker, City Manager and Duly Authorized Agent of the CITY OF SOUTH BURLINGTON, to me known to be the person who executed the foregoing instrument, and she acknowledged this instrument, by her signed, to be her free act and deed and the free act and deed of the CITY OF SOUTH BURLINGTON. Notary Public – State of Vermont Printed Name: Commission No.: Commission Expires: 1/31/23 Exhibit A PROPERTY DESCRIPTION FOR IRREVOCABLE OFFER OF DEDICATION TWO BROTHERS DRIVE- PHASE I Being a parcel of land for public roadway and related utility purposes over a sixty-foot (60’) wide strip with wider tapered curbs depicted as “Two Brothers Drive” (the “Future City ROW”) as shown on a plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL-1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022, and recorded in Map Slide ___ of the City of South Burlington Land Records (the “Plat”) from the intersection of Eldredge Street and O’Brien Farm Road (existing Eldredge Street) at the “Outside boundary line” to the northwestern limit of the intersection of Two Brothers Drive and O’Brien Farm Road as shown on the Plat. Said strip of land is a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’ Brien Family Limited Liability Company dated June 14, 2017, and recorded in Volume 1376 at Page 214 of the City of South Burlington Land Records and also a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’Brien Home Farm, LLC dated June 14, 2017, and recorded in Volume 1376 at Page 222 of the City of South Burlington Land Records. The Premises are subject to: (a) all rights-of-way, easements, conditions and covenants of record or as depicted on the Plat, not meaning to reinstate any claims barred by operation of the Vermont Marketable Record Title Act, 27 V.S.A. §§ 601-611, both inclusive; and (b) the provisions of municipal ordinances, public laws, and special acts. This Warranty Deed shall serve as a Bill of Sale and does hereby convey all improvements located on, over and under the Future City ROW, including but not limited to all roadway improvements, sidewalks, sewer and water mains and appurtenances, and stormwater pipes, catch basins, and appurtenances. Reference is hereby made to the above-mentioned plan and deeds and the records thereof, and the references therein made all in further aid of this description. Exhibit B PROPERTY DESCRIPTION FOR IRREVOCABLE OFFER OF DEDICATION LAURENTIDE LANE Being a parcel of land for public roadway and related utility purposes over a fifty-foot (50’) wide strip with wider tapered curbs depicted as “Laurentide Lane” (the “Future City ROW”) as shown on a plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL-1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022, and recorded in Map Slide ___ of the City of South Burlington Land Records (the “Plat”). Said strip of land is a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’Brien Family Limited Liability Company dated June 14, 2017, and recorded in Volume 1376 at Page 214 of the City of South Burlington Land Records. The Premises are subject to: (a) all rights-of-way, easements, conditions and covenants of record or as depicted on the Plat, not meaning to reinstate any claims barred by operation of the Vermont Marketable Record Title Act, 27 V.S.A. §§ 601-611, both inclusive; and (b) the provisions of municipal ordinances, public laws, and special acts. This Warranty Deed shall serve as a Bill of Sale and does hereby convey all improvements located on, over and under the Future City ROW, including but not limited to all roadway improvements, sidewalks, sewer and water mains and appurtenances, and stormwater pipes, catch basins, and appurtenances. Reference is hereby made to the above-mentioned plan and deeds and the records thereof, and the references therein made all in further aid of this description. Exhibit C PROPERTY DESCRIPTION FOR IRREVOCABLE OFFER OF DEDICATION LEDGE WAY Being a parcel of land for public roadway and related utility purposes over a fifty-foot (50’) wide strip with wider tapered curbs depicted as “Ledge Way” (the “Future City ROW”) as shown on a plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL-1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022, and recorded in Map Slide ___ of the City of South Burlington Land Records (the “Plat”). Said strip of land is a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’Brien Family Limited Liability Company dated June 14, 2017, and recorded in Volume 1376 at Page 214 of the City of South Burlington Land Records. The Premises are subject to: (a) all rights-of-way, easements, conditions and covenants of record or as depicted on the Plat, not meaning to reinstate any claims barred by operation of the Vermont Marketable Record Title Act, 27 V.S.A. §§ 601-611, both inclusive; and (b) the provisions of municipal ordinances, public laws, and special acts. This Warranty Deed shall serve as a Bill of Sale and does hereby convey all improvements located on, over and under the Future City ROW, including but not limited to all roadway improvements, sidewalks, sewer and water mains and appurtenances, and stormwater pipes, catch basins, and appurtenances. Reference is hereby made to the above-mentioned plan and deeds and the records thereof, and the references therein made all in further aid of this description. Exhibit D PROPERTY DESCRIPTION FOR IRREVOCABLE OFFER OF DEDICATION SPLIT ROCK COURT Being a parcel of land for public roadway and related utility purposes over a fifty-foot (50’) wide strip with wider tapered curbs depicted as “Split Rock Court” (the “Future City ROW”) as shown on a plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL-1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022 and recorded in Map Slide ___ of the City of South Burlington Land Records (the “Plat”). Said strip of land is a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’Brien Family Limited Liability Company dated June 14, 2017, and recorded in Volume 1376 at Page 214 of the City of South Burlington Land Records. The Premises are subject to: (a) all rights-of-way, easements, conditions and covenants of record or as depicted on the Plat, not meaning to reinstate any claims barred by operation of the Vermont Marketable Record Title Act, 27 V.S.A. §§ 601-611, both inclusive; and (b) the provisions of municipal ordinances, public laws, and special acts. This Warranty Deed shall serve as a Bill of Sale and does hereby convey all improvements located on, over and under the Future City ROW, including but not limited to all roadway improvements, sidewalks, sewer and water mains and appurtenances, and stormwater pipes, catch basins, and appurtenances. Reference is hereby made to the above-mentioned plan and deeds and the records thereof, and the references therein made all in further aid of this description. Exhibit E PROPERTY DESCRIPTION FOR IRREVOCABLE OFFER OF DEDICATION O’BRIEN FARM ROAD- PHASE I Being a parcel of land for public roadway and related utility purposes over a sixty-foot (60’) wide strip with wider tapered curbs depicted as “O’Brien Farm Road” (the “Future City ROW”) as shown on a plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL-1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022, and recorded in Map Slide ___ of the City of South Burlington Land Records (the “Plat”) from the intersection with Eldredge Street at the “Outside boundary line” to a line extending from the northwestern corner of “Revised Lot 11, Area = 1.2 ac” across such roadway at a bearing of S33° 44’ 47 E Sixty (60) feet to the northeastern corner of “Revised Lot 13 Area = 2.1 ac”, as shown on the Plat. Said strip of land is a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’Brien Family Limited Liability Company dated June 14, 2017, and recorded in Volume 1376 at Page 214 of the City of South Burlington Land Records and also a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’Brien Home Farm, LLC dated June 14, 2017, and recorded in Volume 1376 at Page 222 of the City of South Burlington Land Records. The Premises are subject to: (a) all rights-of-way, easements, conditions and covenants of record or as depicted on the Plat, not meaning to reinstate any claims barred by operation of the Vermont Marketable Record Title Act, 27 V.S.A. §§ 601-611, both inclusive; and (b) the provisions of municipal ordinances, public laws, and special acts. This Warranty Deed shall serve as a Bill of Sale and does hereby convey all improvements located on, over and under the Future City ROW, including but not limited to all roadway improvements, sidewalks, sewer and water mains and appurtenances, and stormwater pipes, catch basins, and appurtenances. Reference is hereby made to the above-mentioned plan and deeds and the records thereof, and the references therein made all in further aid of this description. Exhibit F PROPERTY DESCRIPTION FOR IRREVOCABLE OFFER OF DEDICATION TWO BROTHERS DRIVE- PHASE II Being a parcel of land for public roadway and related utility purposes over a sixty-foot (60’) wide strip with wider tapered curbs depicted as “Two Brothers Drive” (the “Future City ROW”) as shown on a plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheets PL-1 through PL-4, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022, and recorded in Map Slide ___ of the City of South Burlington Land Records (the “Plat”) from the northwestern limit of the intersection of O’Brien Farm Road and Two Brothers Drive to the intersection with Kennedy Drive. Said strip of land is a portion of the lands and premises conveyed to O’Brien Farm Road, LLC by Warranty Deed of O’Brien Home Farm, LLC dated June 14, 2017, and recorded in Volume 1376 at Page 222 of the City of South Burlington Land Records. The Premises are subject to: (a) all rights-of-way, easements, conditions and covenants of record or as depicted on the Plat, not meaning to reinstate any claims barred by operation of the Vermont Marketable Record Title Act, 27 V.S.A. §§ 601-611, both inclusive; and (b) the provisions of municipal ordinances, public laws, and special acts. This Warranty Deed shall serve as a Bill of Sale and does hereby convey all improvements located on, over and under the Future City ROW, including but not limited to all roadway improvements, sidewalks, sewer and water mains and appurtenances, and stormwater pipes, catch basins, and appurtenances. Reference is hereby made to the above-mentioned plan and deeds and the records thereof, and the references therein made all in further aid of this description. Exhibit G PROPERTY DESCRIPTION FOR IRREVOCABLE OFFER OF DEDICATION O’BRIEN FARM ROAD- PHASE II Being a parcel of land for public roadway and related utility purposes over a sixty-foot (60’) wide strip with wider tapered curbs depicted as “O’BrienFarm Road” (the “Future City ROW”) as shown on a plat entitled: “Final Plat, Hillside at O’Brien Farm, O’Brien Farm Road, LLC, Old Farm Road & Kennedy Drive, South Burlington, Vermont,” Sheet PL-1, prepared by Krebs & Lansing Consulting Engineers, Inc., dated June 1, 2017, last revised June 30, 2022, and recorded in Map Slide ___ of the City of South Burlington Land Records (the “Plat”) from a line extending from the northwestern corner of “Revised Lot 11, Area = 1.2 ac” across such roadway at a bearing of S33° 44’ 47 E Sixty (60) feet to the northeastern corner of “Revised Lot 13 Area = 2.1 ac” to Old Farm Road. Said strip of land is a portion of the lands and premises conveyed to O’Brien Home Farm, LLC by Warranty Deed of Forest Park Realty Corporation dated May 13, 2002, and recorded in Volume 551 at Page 69 of the City of South Burlington Land Records. The Premises are subject to: (a) all rights-of-way, easements, conditions and covenants of record or as depicted on the Plat, not meaning to reinstate any claims barred by operation of the Vermont Marketable Record Title Act, 27 V.S.A. §§ 601-611, both inclusive; and (b) the provisions of municipal ordinances, public laws, and special acts. This Warranty Deed shall serve as a Bill of Sale and does hereby convey all improvements located on, over and under the Future City ROW, including but not limited to all roadway improvements, sidewalks, sewer and water mains and appurtenances, and stormwater pipes, catch basins, and appurtenances. Reference is hereby made to the above-mentioned plan and deeds and the records thereof, and the references therein made all in further aid of this description. <1809696v1/JOP> WARNING City of South Burlington November 7, 2022, 7:00 PM Public Hearing The legal voters of the City of South Burlington are hereby notified and warned that a public hearing will be held at the South Burlington City Hall, 180 Market Street, South Burlington, Vermont on Monday, November 7, 2022 at 7:00 P.M. for a second reading and potential final passage of a proposed new City ordinance regulating heating systems and service water heating systems in new buildings. The ordinance will require that all new buildings in the City of South Burlington utilize a renewable primary heating system and a renewable service water heating system. The objective is to achieve a high degree of conservation of energy and, where possible, reduce emissions of greenhouse gasses. This will be achieved by requiring the heating and service water heating systems in all new buildings to meet specified energy efficiency performance standards and maximum allowable heat loss standards. Specifically, the proposed ordinance: • Requires that all new buildings in the City of South Burlington utilize a renewable primary heating system and a renewable service water heating system. • Defines new buildings as all new construction of residential, commercial, or industrial buildings with a heating source and/or a service water heating source. • Includes a two-year exemption period from the renewable service water heating system requirement for multi-family, commercial and industrial new buildings. • Defines renewable primary heating system as a heating system that meets at least eighty- five percent (85%) of the building’s design heating load calculated per the applicable Vermont Building Energy Standards energy codes and is fueled by electricity, wood pellets or wood chips, or other renewable fuel. • Defines renewable service water heating system as a service water heating system that is fueled by electricity, wood pellets or woodchips, other renewable fuel, or solar thermal energy. The proposed ordinance also includes a process for obtaining a waiver from the requirements of the ordinance and mandates the appointment of a building inspector. A copy of the proposed ordinance is available at www.sbvt.gov or upon request at the City Clerk’s office, South Burlington City Hall, 180 Market Street during regular office hours. CITY OF SOUTH BURLINGTON An Ordinance Relating to Building and Building Construction – Regulation of Heating and Service Water Heating Systems in new buildings It is hereby Ordained by the City Council of the City of South Burlington as follows: HEATING AND SERVICE WATER HEATING SYSTEMS I. Purpose and Authority (a) Purpose. It is in the public interest and in the interest of public health and safety to achieve a high degree of conservation of energy and, where possible, reduce emissions of greenhouse gasses by requiring buildings to meet specified energy efficiency performance standards and maximum allowable heat loss standards. (b) Authority. All provisions in this article relating to heating systems and service water heating systems are adopted pursuant to the authority and powers granted by the Vermont Legislature in 24 V.S.A. Chapter 83 (Building Inspectors and Regulation of Building: Bylaws and ordinances; penalties), as reasonably necessary to improve the health, safety, and welfare of the public from fuel leaks and explosions, and from air pollution, including that which is causing climate change and thereby threatens the city and its inhabitants. II. Definitions (a) A “renewable primary heating system” shall mean a heating system that meets at least eighty-five percent (85%) of the building’s design heating load calculated for commercial buildings per the Vermont Commercial Building Energy Standards (CBES) energy code (Section C403.1), for residential buildings per the Vermont Residential Building Energy Standards (RBES) energy code (Section 2.4c), for mixed-use buildings per the CBES and RBES, and for multi-family buildings per the RBES or Vermont Multi-Family Building Energy Standards (if implemented and applicable)(MFBES) and is fueled by: i. Electricity (with exception of electric resistance units prohibited by the Vermont Commercial Energy Standards (CBES) energy code (Section C403.2.3); or ii. Wood pellets or woodchips; or iii. Other renewable fuel used by conventional primary heating systems, including renewable gas, biodiesel, and renewable district heating, if the building owner provides a contract demonstrating that the fuel required by the conventional primary heating system is fully sourced from such other renewable fuels for the life of that conventional heating system. “Renewable gas” shall mean methane produced by the organic material and sourced from landfills, wastewater treatment facilities, and farms as offered under a tariff or supply contract from a utility such as Vermont Gas Systems. (b) A “renewable service water heating system” shall mean a service water heating system as defined by the CBES for commercial buildings, by the RBES for residential buildings, by the CBES and RBES for mixed-use buildings (as applicable), and by the RBES or MFBES for multi-family buildings (if implemented and applicable) and is fueled by: i. Electricity, provided that: 1. The requirements of Section C404 and minimum efficiency requirements of Table C404.2 of the CBES are satisfied for commercial buildings; and 2. the circulation loop requirements of the RBES and efficiency requirements set by the U.S. Department of Energy are satisfied for residential buildings; or ii. Wood pellets or woodchips; or iii. Solar thermal energy; or iv. Other renewable fuel used by conventional water heating systems, including renewable gas, biodiesel, and renewable district heating, if the building owner provides a contract demonstrating that the fuel required by the conventional primary water heating system is fully sourced from such other renewable fuels for the life of that conventional water heating system. “Renewable gas” shall mean methane produced by the organic material and sourced from landfills, wastewater treatment facilities, and farms as offered under a tariff or supply contract from a utility such as Vermont Gas Systems. (c) A “non-primary heating system” shall include back-up heating system or ventilation/air tempering system. (d) “New Building” shall mean all new construction of residential, commercial, or industrial buildings with a heating source and/or service water heating source where either: i. a complete application package for a construction permit submitted pursuant to the City of South Burlington Fire Prevention and Safety Ordinance is stamped received by the City of South Burlington Fire Marshal on or after February 15, 2023; or ii. for owner-occupied single family residential buildings only, a complete zoning permit application submitted pursuant to the City of South Burlington Land Development Regulations is received by the City of South Burlington Department of Planning and Zoning on or after February 15, 2023. (e) A “residential building” shall be as defined by the RBES. (f) A “commercial building” shall be as defined by the CBES. (g) A “mixed-use building” shall be as defined by the CBES. (h) A “multi-family building” shall be as defined by the CBES unless and until the MFBES is implemented and is applicable, at which point the MFBES definition shall apply. III. Applicability All New Buildings shall utilize a Renewable Primary Heating System and a Renewable Service Water Heating System. Non-Primary Heating Systems that use non-renewable fuels may also be installed and utilized. IV. Waiver The Building Inspector may issue a Certificate of Compliance where an applicant certifies that a waiver to the requirements of Section III of this Ordinance is warranted on the grounds that utilizing a renewable primary heating system or a renewable service water heating system in a new building would be uneconomical. To be deemed uneconomical, the 25-year capital and operational cost of the least expensive renewable primary heating system or renewable service water heating system, including any available incentives from their Utility Provider, Efficiency Vermont, or other state or federal entities, must be more than the 25-year capital and operational costs of a non-renewable primary hating system or non-renewable service water heating system, including the cost of externalities calculated by a building carbon price of $100 per ton for the life of the non-renewable primary heating system or non-renewable service water heating system. The building carbon price of $100 per ton shall be annually adjusted by the program administrator equivalent to 100% of the annual change in the Consumer Price Index For All Urban Consumers (CPI-U) in the Northeast Region, to go into effect January 1 of every ensuing year. Renewable service water heating system two-year waiver period for Multi-Family Residential and Commercial/Industrial New Buildings. Beginning on February 15, 2023 and ending on February 14, 2025, applicants who certify that their New Building is a multi-family building as defined by the CBES, a mixed-use multi-family building as defined by the CBES, or a commercial/industrial building defined by the CBES shall be exempt from the Renewable Service Water Heating System requirements of Section III. All other requirements of Section III shall remain applicable. Upon receipt of such Certification, the Building Inspector shall issue a Certificate of Compliance provided all other requirements of Section III and this Ordinance are met. Following the expiration of this two (2) year waiver period from the renewable service water heating system requirements, all new residential, commercial, and industrial construction for which a complete application for a construction permit is stamped received by the City of South Burlington Fire Marshal on or after February 15, 2025, shall comply with all requirements of this Ordinance. V. Appointment of a Building Inspector Upon the recommendation of the City Manager, the South Burlington City Council shall appoint a Building Inspector who shall be a disinterested and competent person with experience in the construction of various types of buildings. VI. Powers and Duties of the Building Inspector The Building Inspector shall have all powers necessary to ensure compliance with this Ordinance, including, but not limited to, receiving Applications, collecting Certifications, and issuing Certificates of Compliance, and shall report on such actions to the Fire Marshal and Director of Planning and Zoning. VII. Revocation of Appointment Upon the recommendation of the City Manager, the South Burlington City Council may remove the Appointed Building Inspector, at any time. VIII. Application; Certificate of Compliance; Condition Precedent (a) Application. For all New Buildings, an Application (“Application”) for a Certificate of Compliance with the requirements of this Ordinance shall be submitted to the Building Inspector. The Building Inspector will develop and make available to the public an application form that shall be utilized by any applicant. (b) Certificate of Compliance. The Building Inspector shall issue a Certificate of Compliance upon receipt of an Application and a complete Certification submitted in accordance with Section IX, below. (c) Condition Precedent. Issuance of a Certificate of Compliance by the Building Inspector shall be a condition precedent to: i. Occupancy of a New Building ii. If applicable, issuance by the City of South Burlington Fire Marshal acting under 20 V.S.A. §2736 of any final occupancy/construction permit for a New Building in accordance with the City of South Burlington Fire Prevention and Safety Ordinance. iii. If applicable, issuance by the City of South Burlington Zoning Administrator of a certificate of occupancy for a New Building in accordance with the City of South Burlington Land Development Regulations. IX. Certification (a) For all New Buildings, a certification (“Certification”) shall be submitted to the Building Inspector that either: 1) certifies that the New Building meets the requirements of this Ordinance; or 2) certifies that the New Building is entitled to a waiver in accordance with the requirements of Section IV of this Ordinance. A Certification may be completed by a builder, a licensed professional engineer, a licensed professional plumber, a licensed professional electrician, a licensed architect, or an accredited home energy rating organization. The Building Inspector will develop and make available to the public a certificate form that lists the key features of this Ordinance. Any person submitting a Certification shall use this certificate form to certify compliance with this Ordinance or certify waiver entitlement. To complete Certification, a copy of the completed Certification shall also be permanently affixed to the outside of the heating equipment and/or domestic water heater, to the electrical service panel located inside the building, or in a visible location in the vicinity of one of these three areas. A builder may contract with a licensed professional engineer, a licensed professional plumber, a licensed professional electrician, a licensed architect, or an accredited home energy rating organization to issue certification and to indemnify the builder from any liability to the owner of the New Building caused by noncompliance with this Ordinance. A Certification may be filed contemporaneously with the Application for a Certificate of Compliance. (b) All New Buildings shall always remain in compliance with their submitted Certification and this Ordinance. Following the submission of a Certification and receipt of a Certificate of Compliance, if the renewable primary heating system or renewable service water heating system in a New Building is replaced or a new fuel source is utilized, a new application must be submitted to the Building Inspector who will issue a new Certificate of Compliance upon receipt of a complete application and Certification. X. Enforcement Any person who violates a provision of this Ordinance shall be subject to a civil penalty of up to $800 per day for each day that such violation continues. Firefighters and police officers of the City of South Burlington shall be authorized to act as Issuing Municipal Officials to issue and pursue before the Judicial Bureau or other appropriate judicial body a municipal complaint. A municipal complaint may, at the discretion of the Issuing Municipal Official, be dismissed upon the successful completion of a restorative justice program before the South Burlington Community Justice Center. XI. Civil Penalty; Waiver Fee An issuing Municipal Official is authorized to recover civil penalties in the following amounts for each violation: (a) Civil Penalties: First Offense: $200 Second Offense: $400 Third Offense: $600 Forth and subsequent offenses $800 (b) Waiver Fees – An issuing Municipal Official is authorized to recover a waiver fee, in lieu of a civil penalty, in the following amount, for any person who declines to contest a municipal complaint and pays the waiver fee: First Offense: $100 Second Offense: $200 Third Offense: $300 Forth and subsequent offenses $400 XII. Other Relief In addition to the recovery of civil penalties provided for above, the City may seek to enforce this Ordinance by an appropriate action for injunctive relief. Further, nothing herein shall be construed to limit other rights, remedies, or penalties available by law, including under Chapter 83 of Title 24, V.S.A. XIII. Severability If any portion of this Ordinance is held to be invalid by a court of competent jurisdiction, such finding shall not invalidate any other part of this Ordinance. [THIS SPACE INTENTIONALLY LEFT BLANK] Adopted at South Burlington, Vermont this ____ day of ___________________, 2022, and to be effective upon adoption. SOUTH BURLINGTON CITY COUNCIL ________________________ ________________________ Helen Riehle, Chair Matt Cota ________________________ ________________________ Meaghan Emery, Vice Chair Thomas Chittenden ________________________ Tim Barritt, Clerk Received and Recorded this ____ day of ________________, 2022. ________________________ Donna Kinville, City Clerk 2 MEMORANDUM TO: Jessie Baker, City Manager South Burlington City Council FROM: Paul Conner, Director of Planning & Zoning SUBJECT: First reading of LDR Amendments #LDR-22-07 & LDR-22-08 DATE: November 7, 2022 City Council meeting Late last month, the Planning Commission approved a pair of amendments to the Land Development Regulations that would re-align zoning districts within the Shelburne Road corridor and adjust allowed uses within the affected districts. Following their public hearing on October 25, the Commission approved the amendments 5-0. This will be the Council’s receipt and first reading of the proposed amendments. The two amendments consist of the following: A. LDR-22-07: Modify the Zoning Map in a manner generally described as follows and depicted on the map on the following page: 1) Redesignate land immediately north of Holmes Road from Commercial 1-Auto to Commercial 2 2) Redesignate land north and south of Fayette Road, immediately west of Shelburne Road, from Commercial 1-Auto to Commercial 1-Residential 15 3) Redesignate land beginning ~75’ west of Fayette Road and ~280’ west of Fayette Road’s planned extension, north of Old Orchard Park and south of the Chittenden County Humane Society, from Commercial 1-Residential 15 to Commercial 1-Auto B. LDR-22-08 Allow Municipal Uses in the Commercial 2 District and allow the following uses within Commercial 1 Auto District: Congregate Care, Assisted Living, Continuum of Care; Educational Facility; Educational Support Facilities; Hospice; Municipal Facility; Skilled Nursing; Social Services, as shown on the table on the following page. Also enclosed is the Planning Commission’s Report, approved on October 25th, which includes a description of the amendments themselves as well as an assessment of their consistency with the Comprehensive Plan as required under State Law. Possible Council Action: “I move to hold a public hearing on proposed amendments to the Land Development Regulations #LDR-22-07 and #LDR-22-08 on Monday, December 5, 2022, at _______ pm” 3 LDR-22-07: Zoning District Re-alignment Key to Maps: • Commercial 1-Residential 15 (RED); • Commercial 1-Auto (BLUE); • Commercial 2 (PURPLE) Map 1: Current Zoning Map 2: Proposed Zoning C1-R15 C1-R15 C1-Auto C1-Auto Commercial 2 Commercial 2 4 LDR-22-08: Proposed changes to Table of Uses Key to Changes: • Red Underlined: Proposed Addition • Red Strikethrough: Proposed Deletion Commercial 1 Heavy Commercial- Industrial NON-RESIDENTIAL ZONING DISTRICTS C1 R15 C1- AUTO C2 Residential Uses Single-family dwelling Two-family dwelling Multi-family dwelling P PUD P P Accessory residential units See Section 3.10 Group home or Residential Care Home Agricultural Uses Exempt from local regulation in all districts Public & Quasi-Public Uses Cemeteries Conditional in all districts Community center P P P Congregate care, assisted living, or continuum of care facility C C C Cultural facility P P Educational facility P P C Educational support facilities P(5) P(5) Food Hub P(6) P(6) P(7) Funeral homes, mortuaries, and crematoriums C C C Hospice P P P Municipal facility P P P Parks Permitted in all districts Personal instruction facility P P P Place of worship P P P Recreation paths Permitted in all districts Skilled nursing facility C C C Social services C C C Commercial & Industrial Uses Adult use Agriculture & construction equipment sales, service & rental P Airport Uses Animal shelter C Artist production studio P P P Auto & motorcycle sales P P Auto & motorcycle service & repair P P Auto rental, with private accessory car wash & fueling P Bank or Credit Union with drive-through P P P 5 Bed & breakfast Cannabis dispensary (dispensing only) P P P Cannabis dispensary (cultivation only) Car wash P Child care facility, licensed non-residential P P P Commercial greenhouse P Commercial kennel, veterinary hospital and pet day care C P Commercial or public parking facility C C C Contractor or building trade facility P Distribution and related storage, with >15% of GFA in office or other principal permitted use by same tenant P Equipment service, repair & rental P Family child care home, registered or licensed Financial institution P P P Flight instruction Hotel P P C Hotel, extended stay P C Indoor theater P P Indoor vehicle storage, maximum 10,000 square feet Junk yard Light manufacturing P Lumber and contractor’s yard P Manufacturing & assembly from previously prepared materials & components P P P Mobile home, RV and boat sales, repair & service P Motor freight terminal Office, general P P P Office, medical P P P Personal or business service P P P Pet grooming P P P Photocopy & printing shops, with accessory retail P P P Printing & binding production facilities P Private providers of public services, including vehicle storage and maintenance P Processing and storage P Radio & television studio P P P Recreation facility, indoor P P P Recreation facility, outdoor C C C Research facility or laboratory P P P Restaurant, short order P P P Restaurant, standard P P P Retail sales P P P (9) Retail warehouse outlet P Sale, rental & repair of aircraft & related parts Seasonal Mobile Food Unit P P P 6 Self-storage P Service station C Shopping center C Taverns, night clubs & private clubs P P P Transportation services P Warehousing & distribution Wholesale establishments P Key and Notes to the Table above: P = Permitted PUD = Allowable within a Planned Unit Development TO = Allowable only in the Transit Overlay District C = Conditional Use ACC = Allowable as an accessory use 180 Market Street South Burlington, VT 05403 tel 802.846.4106 fax 802.846.4101 www.sbvt.gov South Burlington Planning Commission Proposed Land Development Regulations Amendment & Adoption Report In accordance with 24 V.S.A. §4441, the South Burlington Planning Commission has prepared the following report regarding the proposed amendments and adoption of the City’s Land Development Regulations. Outline of the Proposed Overall Amendments The South Burlington Planning Commission held a public hearing on Tuesday, October 25, 2022 at 7:00 pm, in person and via electronic platform, to consider the following amendments to the South Burlington Land Development Regulations: A. LDR-22-07: Modify the Zoning Map in a manner generally described as follows: 1) Redesignate land immediately north of Holmes Road from Commercial 1-Auto to Commercial 2 2) Redesignate land north and south of Fayette Road, immediately west of Shelburne Road, from Commercial 1-Auto to Commercial 1-Residential 15 3) Redesignate land beginning ~75’ west of Fayette Road and ~280’ west of Fayette Road’s planned extension, north of Old Orchard Park and south of the Chittenden County Humane Society, from Commercial 1-Residential 15 to Commercial 1-Auto B. LDR-22-08 Allow Municipal Uses in the Commercial 2 District and allow the following uses within Commercial 1 Auto District: Congregate Care, Assisted Living, Continuum of Care; Educational Facility; Educational Support Facilities; Hospice; Municipal Facility; Skilled Nursing; Social Services Brief Description and Findings Concerning the Proposed Amendments The proposed amendments have been considered by the Planning Commission for their consistency with the text, goals, and objectives of the City of South Burlington’s Comprehensive Plan, adopted February 1, 2016. For each of the amendments, the Commission has addressed the following as enumerated under 24 VSA 4441(c): “…The report shall provide a brief explanation of the proposed bylaw, amendment, or repeal and shall include a statement of purpose as required for notice under section 4444 of this title, and shall include findings regarding how the proposal: 2 (1) Conforms with or furthers the goals and policies contained in the municipal plan, including the effect of the proposal on the availability of safe and affordable housing. (2) Is compatible with the proposed future land uses and densities of the municipal plan. (3) Carries out, as applicable, any specific proposals for any planned community facilities.” A. LDR-22-07: Modify the Zoning Map in a manner generally described as follows: Area 1: Redesignate land immediately north of Holmes Road from Commercial 1-Auto to Commercial 2 Area 2: Redesignate land north and south of Fayette Road, immediately west of Shelburne Road, from Commercial 1-Auto to Commercial 1-Residential 15 Area 3: Redesignate land beginning ~75’ west of Fayette Road and ~280’ west of Fayette Road’s planned extension, north of Old Orchard Park and south of the Chittenden County Humane Society, from Commercial 1-Residential 15 to Commercial 1-Auto Brief explanation of the proposed amendment: This amendment would modify the boundaries of three zoning districts on the west side of Shelburne Road as described above and shown on the draft Map. Specifically: In Area (1), allowed uses would be modified and residential base densities reduced on the subject properties. Lot and building coverages and setbacks would not be affected. Two of the three involved properties are presently approved for auto sales in the C1-Auto district; this use is allowed in the Commercial 2 district as well. The third property is a municipal fire station. LDR-22-08 would continue to permit that use. In Area (2), auto sales would no longer allowed following a change from C1-Auto and C1-R15. No auto sales uses are presently approved in the affected area. In Area (3), auto sales would be newly allowed following a change from C1-R15 to C1-Auto. No auto sales uses are presently approved in the affected area, but would become eligible. Findings Concerning the Proposed Amendments (1) Conforms with or furthers the goals and policies contained in the municipal plan, including the effect of the proposal on the availability of safe and affordable housing. The change would facilitate the re-use of properties presently laid out as large format retail spaces to allow re-use or re-development for auto sales in an area removed from the primary transportation network, Shelburne Road, disallow new auto sales in a portion of land immediately west of Shelburne Road where mixed residential-commercial redevelopment is ongoing. The proposed changes are generally neutral to the availability of safe and affordable housing, with both the C1-R15 and C1-Auto districts allowing a base residential density of 15 dwelling units per acre. The re-alignment of these two districts would modify where auto sales are 3 permitted, away from Shelburne Road, to west of Fayette Road. Shelburne Road is served by transit. Parcels proposed to move from C1-Auto to C2 would have a reduced base residential density, however two are currently auto sales and the third is a municipal fire station. The 2016 Comprehensive Plan includes several goals and policies, described in the Plan as objectives and strategies: Comprehensive Plan Goals, Objectives & Strategies: • Goal: Opportunity Oriented. Being a supportive and engaged member of the larger regional and statewide community. • Sub-Goal: Prioritize development that occurs within the community into the higher intensity areas identified within this Plan; • Objective 9: Be a good partner with business in helping them locate in South Burlington or continue to grow here. • Objective 39: The majority of all new development will occur within the Shelburne Road, Williston Road, and Kennedy Drive Corridors, and other areas within the Transit service area. • Objective 54. Promote higher-density, mixed use development and redevelopment along Shelburne Road and foster effective transitions to adjacent residential areas. • Objective 55: Maintain Shelburne Road as a roadway for both regional and local circulation. • Strategy 124: Review the city’s Land Development Regulations in key transition areas: between the Southwest and Southeast Quadrants; between Swift Street and adjacent areas; between Allen Road and adjacent areas. (2) Is compatible with the proposed future land uses and densities of the municipal plan. The proposed amendments would re-align zoning districts along the Shelburne Road corridor. The amendments better align proposed future land uses with existing and planned infrastructure, such as transit services, by re-locating allowable area for future auto sales and repair, which tend to be land intensive, to areas further removed from Shelburne Road. Base residential densities are affected on three parcels as noted above, however maximum density through the use of TDRs (presently before City Council) and Inclusionary Zoning are unaffected. (3) Carries out, as applicable, any specific proposals for any planned community facilities. This proposed amendment does not relate directly to any planned community facilities. B. LDR-22-08 Allow Municipal Uses in the Commercial 2 District and allow the following uses within Commercial 1 Auto District: Congregate Care, Assisted Living, Continuum of Care; Educational Facility; Educational Support Facilities; Hospice; Municipal Facility; Skilled Nursing; Social Services Brief explanation of the proposed amendment: 4 The proposed amendment would allow Municipal Facilities within the Commercial 2 district, located in the southern half of the Shelburne Road corridor, a portion of Dorset Street north of Kennedy Drive, and a portion of Patchen Road near Landfill Road. The proposed amendment would allow several additional uses within the Commercial 1-Auto District, located along a portion of Shelburne Road, in the same manner as they are permitted within the adjacent Commercial 1-Residential 15 Zoning District. Findings Concerning the Proposed Amendments (1) Conforms with or furthers the goals and policies contained in the municipal plan, including the effect of the proposal on the availability of safe and affordable housing. The proposed changes would provide additional opportunities for congregate care facilities in the Shelburne Road corridor, an area served by transit and services. The amendment will also ensure that existing municipal facilities along Shelburne Road implicated in LDR-22-07 remain allowed uses. (2) Is compatible with the proposed future land uses and densities of the municipal plan. The proposed changes would enable new uses, including municipal facilities, within the Commercial 2 and C1-Auto Districts District. The majority of the Commercial 2 District, and all of the C1-Auto District, is well served by public transit and infrastructure, while the one area not served by transit is located adjacent to the existing public work facility. The proposed allowed uses are already allowed in adjacent districts along Shelburne Road. (3) Carries out, as applicable, any specific proposals for any planned community facilities.” The proposed changes do not implicate any specific proposals for planned community facilities. 575 Dorset Street South Burlington, VT 05403 tel 802.846.4107 fax 802.846.4101 www.sburl.com TO: Jessie Baker, City Manager FROM: Ilona Blanchard, Community Development Director SUBJECT: Consideration and possible adoption of a resolution approving the recommended preferred alternative design concept for the East- West Crossing Walk Bike Bridge over I-89 at Williston Road DATE: November 3, 2022 BACKGROUND: In October of 2022, the project team presented a proposed conceptual design for the East-West Crossing Project a walk bike bridge over I-89 at Williston Road with connections to adjoining properties. This concept is the result of significant public input, including three workshops, many targeted focus groups and meetings with stakeholder groups regarding the interests of the community. The team sought feedback from under-represented voices, professional and walking and biking groups, the Bicycle and Pedestrian Committee and the Public Art Committee. The team considered this input, future needs, cost constraints, design requirements, and sustainability as set out in the purpose and need statement. The concept also seeks to balance priorities and capacities of the City and budget. The design team led by VHB has been closely engaged in developing the concept in response to these many priorities and in October, a final concept recommendation was preliminarily made and presented to the public. This concept, with some refinements and caveats will be presented for concurrence by the City Council as the preferred alternative. The budget for the project is $14,555,970. Of this, $9,768,834 is to be funded with a federal RAISE grant. The City also has approval to use TIF District Financing for 30% of the project cost. The City has identified an approximately $500,000 gap for which funding will be sought during the process, and for which, if secured, additional federal funding may be used. Background, Continued, Page 2 A preliminary cost estimate has been developed for this concept by a construction company included in the design team for this purpose. Very rough estimates had been developed several times before, but this is the first one with specific quantities related to this concept. It is currently higher than the budgeted amount. This cost estimate does have large allowances for several items for the concept has not fleshed out or resolved. Most materials have not been fully specified or selected. Based on the cost estimate that has been developed, the team believes that it would be prudent at this time to reduce the scope of the project. This would occur now, prior to developing the construction document to keep the concept within the budgeted amount. Due to a variety of factors, such as fluctuations in pricing in materials and labor, inflation, components for which only a lump sum estimate is available, overall complexity of the project, and a potentially elevated demand for contractors providing similar services leading to price increases, City Staff and VTrans are recommending the following steps be explored: Continue material research and exploration Reduce the width of the bridge currently 30 feet at the widest redesign the University Mall connection look for opportunities with grading to use existing slopes Simplify design of pause places Additional features will be explored that do not conflict with the overall concept. The following requirement priorities will be used to guide this process: Functionality with respect to ADA, Bicyclists, 24-7 and all season access Comfortable user experience/attractive to users Retain the overall bridge form Retain the path Retain the greenery and predominant wind shielding Low maintenance This process is not expected to reduce the overall impact or general appearance of the project, but will place the City in a better position to begin development of construction documents. Background, Continued, Page 3 ATTACHMENTS: Resolution VHB Design Team Recommendation East-West Crossing Additional Information Purpose and Need Statement approved by the Planning Commission RECOMMENDATION: Listen to the presentation and review the resolution; consider approving. ADDITIONAL CONSIDERATION The RAISE grant stipulates that all awards must be obligated in 2024. This means that a complete set of construction documents must be ready to bid and all land rights obtained by June of 2024 (an extraordinarily tight timeframe). R-2022 - RESOLUTION A RESOLUTION APPROVING A PREFERRED ALTERNATIVE DESIGN CONCEPT FOR THE EAST WEST CROSSING WALK BIKE BRIDGE OVER I-89 WHEREAS, I-89 and Exit 14 on Williston Road have long been identified as a barrier to walking and bicycling in the City and region; and, WHEREAS, the adopted Climate Action Plan calls for an annual reduction in vehicle miles traveled of 2.5% and walking and biking is a strategy to meet this goal; and WHEREAS, the City has a Preferred Alignment for a walk bike bridge project located south of Exit 14 connected to Williston Road by shared-use paths, the East-West Crossing ; and WHEREAS, the City has received a RAISE grant - South Burlington RAIZ(1) - in the amount of $9.8 million dollars to fund the construction of the East-West Crossing and tax increment financing has been identified as a match source; and WHEREAS, the project design team has conducted substantial community and user outreach including public workshops, numerous focus groups to hear from underrepresented populations, meetings with property owners and other stakeholders, and provided presentations to the Bicycle and Pedestrian and Public Art committees in order to gather ideas, needs, desires and to inform the development of three alternative design concepts and a draft recommended design concept; and WHEREAS, the recommended preferred alternative design concept (as presented to the public in draft form on October 13, 2022) includes a sinuous pathway and bridge for pedestrians and bicycles, on-bridge and adjacent site landscaping, on-bridge wind protection, lighting, public art, benches, and an iconic appearance; and, WHEREAS, this concept meets the Purpose and Need Statement approved by the Planning Commission on January 10, 2017: to create a safe, visible, comfortable, convenient, direct and attractive year-round crossing for pedestrian and bicycle travel across I-89 in the vicinity of the Exit 14 interchange while maintaining safe and efficient vehicular conditions on the I-89 mainline; support healthy and sustainable lifestyles; promote compact growth and economic development in enhance capacity of the US Route 2 corridor in a cost-effective manner; and reconnect neighborhoods within South Burlington that have been split apart by regional and national transportation corridors. and, NOW, THEREFORE, BE IT RESOLVED that the South Burlington City Council hereby adopts and endorses the recommended Preferred Alternative Design Concept for the East-West Crossing. APPROVED this _____ day of ____________ 2022. SOUTH BURLINGTON CITY COUNCIL __________________________________ ________________________________ Helen Riehle, Chair Meaghan Emery, Vice Chair __________________________________ ________________________________ Tim Barritt, Clerk Tom Chittenden __________________________________ Matt Cota \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 To: Ilona Blanchard, AICP South Burlington Project Manager Date:November 4, 2022 Project #:58794.00 From:Aaron Guyette, PE, Project Manager Re:South Burlington RAIZ(1) - East-West Crossing Project Concept Recommendation Recommendation The VHB East-West Crossing project team recommends that the City of South Burlington endorse the following preferred alternative to carry forward into design, permitting, and construction: Two-span curved bridge A sinuous approach pathway connecting to Staples Plaza, Quarry Hill, University Mall, and the shared use path in front of the Homewood Suites property supported by retaining walls Architectural panels that create some wind shielding and an iconic appearance Amenities to increase access, create a comfortable experience, and draw choice users to the bridge including lighting, benches, landscaping Guided by the CCRPC’s study, the current East-West Crossing project development team initiated the design concept definition phase of the project in June of 2022. With a robust public engagement program concluding in October of 2022 that reached across the entire community, the project team listened to the public in order to develop three competing concepts and refine them into one final recommended concept incorporating best practices for bicycle and pedestrian facilities. The final concept is described in greater detail below. Background The Chittenden Country Regional Planning Commission (CCRPC) completed a study for the East-West crossing project which concluded in 2019. The CCRPC study determined the preferred alignment for the shared use pathway and bridge crossing over the interstate and developed the Purpose and Need Statements for the project. The I-89 Exit 14 Alternative Transportation Crossing Study was undertaken in 2016 by the Chittenden County Regional Planning Commission (CCRPC) in partnership with the City of South Burlington to study alternatives for improving the pedestrian and bicycle access across the interstate in the area of the Exit 14 interchange. As part of the CCRPC study, a purpose and need statement was developed and adopted by the Planning Commission and a set of alternatives were developed and evaluated. The study phase of the project also included a public process to gain input from stakeholders, abutting property owners, and the general public. The CCRPC Study concluded with the recommendation of an alignment for a new pathway and bridge. The recommended pathway connects to the Williston Road Sidewalk on either side of the interchange and extends along From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 2 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 the entrance and exit ramps on the south side of the interchange connected by a new bridge at the southern extent of the ramps. The recommended alignment is depicted by a red dashed line in the figure below. In 2018, the City of South Burlington City Council endorsed the recommended alignment and made it their preferred alignment. Based on the results of the study, the City completed a benefit-cost analysis for the preferred alignment along with the delineation and mapping of wetlands; researching and mapping rights-of-way, property boundaries, easements, and offers of dedication; researching and mapping utilities; completing a topographic survey; summarizing permit requirements; and assessing cultural resources. With the project alignment defined along with the supporting information further documented by the CCRPC, the City of South Burlington applied for and was successful in securing a USDOT RAISE Grant in 2021. The grant is administered by the Federal Highway Administration, Vermont Divisional Office with assistance from the Vermont Agency of Transportation Municipal Assistance Section. City of South Burlington East-West Crossing Project Preferred Alignment From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 3 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 Purpose and Need Statement The purpose and need for the project has been adopted by the Planning Commission and is as follows: Purpose: The purpose of this project is to create a safe, visible, comfortable, convenient, direct and attractive year-round crossing for pedestrian and bicycle travel across I-89 in the vicinity of the Exit 14 interchange while maintaining safe and efficient vehicular conditions on the I-89 mainline; support healthy and sustainable lifestyles; promote compact growth and economic development in City Center; create attractive public spaces in support of the region’s identity; enhance capacity of the US Route 2 corridor in a cost-effective manner; and reconnect neighborhoods within South Burlington that have been split apart by regional and national transportation corridors. Need: 1. Build an inviting travel corridor that reinforces the City’s and Region’s goals for pedestrian and bicycle mobility. 2. Build attractive public spaces and a distinctive identity for City Center and Chittenden County. 3. Facilitate use by all age groups, experience levels, and purposes of trips. 4. Remove a barrier in the regional network. This location has been identified as a principal barrier to within the regional bicycle and pedestrian network. 5. Increase the regional transportation capacity. 6. Create a safe, comfortable, user-friendly, desirable year-round bicycle and pedestrian connection across Exit 14. 7. Maintain Interstate 89 safety and efficiency. Design Criteria The pedestrian and bicycle facilities include at-grade and on structure facilities along U.S. Route 2, I-89 interchange ramps, and across I-89 as well as connections to destinations – present and future – along Quarry Hill Road and Dorset Street. The project includes the design of new shared-Use path segments connecting to existing sidewalks/bike lanes along Williston Road, as well as the new pathway connections to adjacent properties. Design references used in the Share-Use pathway design including the following: American Association of State Highway and Transportation Officials (AASHTO) Guide for the Development of Bicycle Facilities, 2012 (AASHTO Bike Guide) Americans with Disabilities Act Standards for Accessible Design (ADA) From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 4 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 (Proposed) Public Rights-of-Way Accessibility Guidelines (PROWAG) Advanced Notice of Proposed Rulemaking on Accessibility Guidelines for Shared-Use Paths (ANPRM) Relevant Vermont Agency of Transportation (VTrans) Standard Drawings In addition to the Shared-Use pathway design, there are a number of design and geometric considerations that need to be accounted for in the design. Design references used for Interstate 89 include the following: Vermont State Standards, dated October 22, 1997 (VSS) AASHTO’s A Policy on Geometric Design of Highways and Streets, 7th Edition (AASHTO Green Book), 2018 AASHTO’s Roadside Design Guide, 4th Edition, 2011 VTrans Structures Design Manual, Fifth Edition, 2010 (VTrans SDM) Concept Development and Public Engagement Public engagement for this project has been ongoing through the concept definition phase and has been essential in developing concept alternatives and ultimately in defining the recommended Final Concept. Public engagement has been structured around three phases of concept definition: A blank canvas – The project team started with the results of the CCRPC Study, which included the general project alignment for the project. The team set out to get input from the community, project stakeholders, and local bicycle and pedestrian professionals to help define three competing concepts for consideration. Outreach efforts at this stage included meeting with abutting property owners, key stakeholder interviews, and a public workshop on the evening of June 16, 2022. The public workshop included breakout sessions to focus discussions on the pathway, bridge, and sustainability aspects of the project. The purpose of public engagement at this stage of the concept definition was to gain a perspective on the values of the community, what elements were important to consider for the project, how the new shared use pathway and bridge was intended to be used, and to gather ideas for the pathway and bridge form and function. As part of the public engagement, the team compiled examples of bicycle and pedestrian facilities (bridges, Existing Conditions Photograph Public Workshop 1 Breakout Group From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 5 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 pathways, retaining walls) showing different geometries, materials, textures, lighting, and landscaping. The examples were shown during the publics engagement to spark ideas, build excitement, and foster a discussion about each person’s view regarding the proposed project. Using the information gathered from public engagement sessions, the project team worked to define three different and competing concepts for consideration: the land bridge, the Vermonty Bridge, and the Modern Bridge. Three concepts – The second phase of the concept definition included development of plans and visualizations and presentation of the three different and competing design concepts to project stakeholders, abutting property owners, city committees, emergency services, underrepresented community focus groups, and the general public. The second public workshop event was held during the evening of August 31, 2022. In addition to general feedback, as each of the three concepts was presented our team asked two basic questions: What do you like about the concept? What would you change about the concept? As part of public workshop 2, the team had structured breakout stations where team members were stationed around images of the bridge, pathway approaches, and public art ideas. The public was asked to engage with the team to discuss what they liked about the concepts and what they would change and then to ultimately document their thoughts in sticky notes that were applied to the appropriate image boards. Land Bridge Concept Vermonty Bridge Concept Modern Bridge Concept Public Comments From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 6 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 Using the input from each of the engagement groups the project team eliminated the Vermonty (truss) Bridge option from further consideration. Reactions to the Land Bridge and the Modern Bridge revealed that there was a lot of support for the elements of the land bridge that brought softness to the concept including plantings on the bridge, benches, separate areas for pedestrians on the bridge, openness and sight lines. Input for the modern bridge was that the public liked the width, artistic nature, shape, simplicity, and shielding from cars and weather. It became clear that the strengths on the Land Bridge were the weaknesses of the Modern Bridge and the same is true about the strengths of the Modern Bridge being the weaknesses of the Land Bridge. Elements of the Land Bridge were combined with the form of the Modern Bridge to develop a new design concept. Final Concept – The third phase of the concept definition included development of the final concept by combining elements of the Land Bridge with elements of the Modern Bridge and further defining elements that include pause places, landscaping, bicycle and pedestrian design, project lighting, and public art. This draft final concept was presented to abutting property owners, city committees, and the general public. The final concept is a combination of the most loved aspects of both the Land Bridge Concept and the Modern Bridge Concept. The third public workshop was held during the evening of October 13, 2022, and was comprised of a presentation and Final Concept Visualization – Looking North From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 7 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 breakout stations. Similar to Public Workshop No. 2, the project team asked the public what they liked and what they would change about the final concept and to then record those thoughts on sticky notes applied to project visualization boards. While there are concerns related to ongoing bridge maintenance (snow removal and landscaping), the feedback was generally positive for the form and function of the final concept for the pathway and bridge. Final Concept Definition The final concept includes separated pathway typical of 10 feet with a two-foot clearance on either side of the path. Grades will not exceed 4.5%. A rest bench is planned a minimum of every 500 feet. The two-span bridge superstructure is comprised of two curved steel box girders supporting a bridge deck which varies in width from 18-feet at the beginning and end to a maximum of 30-feet at the central pier location. In accordance with the VTrans Structures Manual, the bridge will provide a minimum vertical clearance of 16’-6” above the interstate lanes below. The user experience on the bridge includes a main 14-foot wide shared use path with built in landscape planting boxes and benches to the south of the main path and an 8 foot paved area along the southern bridge railing. Railings on top of a concrete curb will protect users on the bridge. The bridge also includes brightly colored architectural panels which serve as a key artistic element of the project, but which also play a key role in shielding the bridge users from the interstate below and from the predominant southerly wind. The southern architectural panels are intended to extend up to 10-feet above the bridge deck while the north side panels will be no higher than the railing height. The architectural panels will be perforated so that bridge users will be able to see out to the surroundings of the bridge while on the bridge deck. The perforations are also planned to be part of the artistic element of the bridge as sunlight filters through and onto the bridge deck. Proposed Bridge Configuration From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 8 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 Elevated pathways extends approximately 500-feet to the north from the bridge along each side of the interchange ramps. These elevated 14-foot wide paved pathway will be supported by retaining walls on either side. In accordance with the Americans with Disabilities Act (ADA) the grade of the pathway approaches is designed to be a maximum of 4.5% to create a project that is accessible to all. In addition to the shallow grade of the approaches, the design of the approach pathway includes pause places to provide pathway users an area to pause and rest if needed. The grade of the pause places is reduced to 1.5% and also includes benches and space for wheelchairs. Consistent with the bridge railing, railing will be installed on top of a concrete curb to protect bicyclist and pedestrian users on the elevated pathway. The project also includes a planned path ramp connection to the University Mall Property. At grade, the pathway will continue north toward US Route 2 (Williston Road) as a 10-foot wide shared use pathway with 2-foot shoulders on either side of the pavement. The at-grade portion of the shared-use pathway will be separated from the interstate ramps with a 6-foot high barrier between the facility and I-89 vehicular areas. On the western side of the exit 14 interchange, the at-grade pathway will connect to the existing US Route 2 sidewalk. On the eastern side of the exit 14 interchange, the project will extend the 10-ft wide shared use pathway east along US Route 2 and around the corner south onto Dorset Street, terminating at the CVS/Homewood Suites driveway providing an important connection to the existing Dorset Street shared use path. The design will also accommodate connections to the Quarry Hill Development and to the Comfort Inn property directly north of the University Mall. Final Concept Visualization – Looking South From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 9 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 Both the elevated and at-grade pathway approaches are planned to be accompanied by landscape plantings including a mix of deciduous trees, shrubs, and ground cover. Final Concept Layout From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 10 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 The entire pathway and bridge will be accompanied by LED lighting to provide security for the pathway users and an aesthetically pleasing effect at night. Lighting design will account for lighting the pathway surface and also providing enough light so that users can see each other’s faces while approaching and passing. Lighting design will also take into account concerns related to light pollution and will provide for low impact lighting. Final Concept Evening Visualization From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 11 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 Public Art – Permanent Interactive Art Installation The vision for the art installation along the pathway and bridge includes working with the Audubon Society to develop a list of up to fifty native bird species that are found in Vermont. Those bird species will be constructed as life sized bronze figures and placed throughout the project in life-like scenarios – for example, Rock Doves (pigeons) might be placed under a bench. The art installation will be accompanied by signs contained in the pathway approaches that list the bird species present along the pathway and bridge areas creating an informal scavenger hunt to identify all of the species. Public Art Integration Concept From: Aaron Guyette, PE, Project Manager Ref: 58794.00 November 4, 2022 Page 12 \\vhb\gbl\proj\SBurlington\58794.00 Exit 14 Ped Bridge\docs\memos\Concept Development\2022-11-04 South Burlington RAIZ(1) - Concept Development Memo.docx 40 IDX Drive Building 100, Suite 200 South Burlington, VT 05403-7771 P 802.497.6100 Project Sustainability Sustainability has been at the center of the design process from the beginning of the project and continues to be a guiding principle for the project development team. In addition to making project decisions that contribute to a sustainable natural world, the project team has a focus on making the elements of this project low impact from an ongoing operations and maintenance standpoint. As part of the concept definition phase of the project the team participated in a sustainability workshop to explore social, economic, and environmental aspects of sustainability and to brainstorm actions items specific to the East-West Crossing Project. The result of the workshop includes a number of action items to carry forward into the design of the project including topics such as material selection decisions, stormwater management, selection of landscape planting materials, low impact LED lighting, and continual engagement with the community. In addition to action items coming out of the sustainability workshop, the project team will be completing an embodied energy calculation for the final concept and using this calculation to help inform material selection during the design process helping to reduce the project’s overall impact on greenhouse gas emissions. Conclusion and Recommendation The concept definition phase of the project has advanced from June 2022 through October 2022 with a robust public engagement program and an engaged project development team with significant experience in pedestrian and bicycle bridge and facility design. Elements of the design concept development have been developed through the public process with technical input from the architectural, artistic, environmental, and engineering disciplines. The public process led the project development team to develop three distinct alternative concepts for consideration and through additional public engagement the final concept was derived from elements that were contained within two of the initial concepts. The final concept has been further refined to define the form and function of the bridge and shared use pathway. The project development team recommends that the City of South Burlington confirm the final concept described in this memorandum as their preferred alternative to move forward into design, permitting, and ultimately construction. 180 Market Street South Burlington, VT 05403 tel 802.846.4107 fax 802.846.4101 www.SouthBurlingtonVT.gov TO: Jessie Baker, City Manager FROM: Ilona Blanchard, Community Development Director SUBJECT: Potential Ballot Question re: TIF District Financing for the 2023 Town Meeting DATE: November 4, 2022 BACKGROUND: The City has until March 31, 2024 to issue TIF District financed debt for the remaining approved TIF District projects. Five TIF District projects remain to be built, and four still require voter authorization to issue debt: Garden Street Phase II (Williston Road intersections) Williston Road Streetscape (Dorset to Midas, south side) East West Crossing Walk Bike Bridge over I-89 City Center Park Phase II Boardwalk Connection March 8, 2023 is the last regularly scheduled election during which South Burlington residents may vote on authorizing debt prior to March 31, 2024 in time for debt issuance to occur. Voter debt authorization does not obligate the City to incur debt on the full amount. Proposed for Town Meeting Day Ballot Each of these projects have had extensive public outreach to develop a design concept and have various levels of funding as follows. Estimates are for all costs, including design, construction and inspection. The Garden Street Project, referred to as Street A in the TIF District Plan, has been in design since 2014. Phase II includes the White Street/Midas Drive to Hinesburg Road/Patchen Road portion of Williston Road. The plans are at the 60% level and includes plans to realign the White St/Midas Dr intersection, address pedestrian and bicycle improvements at Hinesburg Background, Continued, Page 2 Road/Patchen Road and rebuild Williston Road in between to improve bicycle and pedestrian circulation. The Garden Street project is 100% eligible for TIF District financing. The estimate for Phase II is $8.27 million dollars and this is the amount for which TIF District financing is sought. This project is at 60% design and slated for construction in 2024. The Williston Road Streetscape Project will construct a streetscape between Dorset Street and Midas Drive on the south side of Williston Road. This includes a shared-use path for bicycles and pedestrians in lieu of the existing sidewalk and where available adequate room between the new path and curb for snow storage, landscaping (trees) and pedestrian-oriented lighting. This project is at 60% design and slated for construction in 2024. The estimate for this project is $2,596,776. It is 50% eligible for TIF District Financing and thus the amount sought for TIF debt authorization for this work is $1,298,388. The City has a federal- aid grant for $800,000 of the required TIF match, and has programmed in the Capital Improvement Project Plan (CIP) to use Reserve funds to finance, either directly or through debt, the remainder of the match. The East-West Crossing Project will build a walk bike bridge over I-89 with connecting shared-use paths on the south side of the Exit 14 interchange. It is designed as a24-7, 365 days a year facility that will be comfortable for users and contribute to the appeal of South Burlington and City Center This project has a preferred alignment and has a recommended design concept. It is slated for construction in 2025. The budgeted cost for this project is $14,555,970. The City has secured a federal-aid grant for $9,768,834 (67% of the project). This project is 30% TIF District financing eligible. An additional 3% of the project cost will need to be secured that is not TIF District financing, and the City is exploring a variety of funding sources to make up this difference, including an additional federal-aid grant. The City Center Park Phase II Project Boardwalk Connection will create a paved shared-use path between Barrett Street, Garden Street and Market Street with a boardwalk over the Background, Continued, Page 3 wetland. This project will also include amenities such as park signage, benches, bicycle racks and lighting. As a result of this project, the Market Street stormwater pond recreation area will become a main entrance to City Center Park. This project is at 50% design and is slated for construction 2023- 2024. The estimate for this phase of the project is $1,148,082. While the project is 95% TIF District financing eligible, 100% of this cost estimate may be funded with TIF District financing as the 5% of the total cost of the City Center Park non-TIF revenues were expended during an earlier phase of the project. The draft total TIF district financing authorization sought is estimated to be as follows: Garden Street Phase II $8,272,560 Williston Road Streetscape $1,298,388 East West Crossing $4,367,400 City Center Park Phase II $1,148,082 Total: $15,086,430 Once a debt authorization is approved, the Council still must vote to authorize all, if any, debt issued. Voters will also be advised that should the City issue debt, and the development that occurs is insufficient to generate the revenue required to service the debt over the life of the TIF District, the City will still need to service the debt from other City funds. While the City models that there will be sufficient increment to service the debt, any bonds or loans will be general obligation debt (backed by the full faith and credit of the City). Overall Strategies for the TIF District Although sufficient increment is projected to be generated by the TIF District, these are strategies the City will pursue in order to reduce risk: An important strategy will be to work with prospective City Center developers. As public projects are constructed, City Center becomes more attractive to developers. Direct interactions are still very important to investors and to increase knowledge of the area. With these public projects completed, staff will have Background, Continued, Page 4 more time to focus on undeveloped and under-used properties. Over the next year, the City will seek additional funding in order to reduce the amount of TIF District financing debt required to be issued to fund the projects. Garden Street Phase II, the East- West Crossing and Williston Road Streetscape are eligible for federal aid. Prior to issuing debt, design and estimates for projects will be refined which may lower the funds required to complete the projects. The City will also seek to optimize the debt structure. For instance, the model shows the debt with level payments (similar to a home mortgage) which reduces annual negative balances, but at the time of debt issuance, the City could consider level principal payments, which would lower the overall total interest paid. Lenders will also be explored to ensure that the rates are the most favorable. TIF District Financing Modeling A spreadsheet has been attached which contains three sets of projections (titled Preliminary Model for 2023 Town Meeting): TIF Fund shows income (City Center TIF District increment) and expenditures (debt payments related to issued or proposed). Income shown has two projections: a) All projected development for City Center with income from the most likely development and redevelopment sites through 2037 shown in teal, and b) Existing development and development in the pipeline (all Snyder-Braverman/SBCC, LLC projected development). Reserve Fund - this fund is used to pay for City share of TIF District costs but importantly, acts as a cushion to provide the City with cash solvency as the TIF District builds out. The debt is modeled is an 4 year term at 4.26% interest with five year delayed principle payments and level payments through the completion of the term (graduated principal payments). Background, Continued, Page 5 Debt Authorization The draft ballot question (see Article I, attached) authorizes general obligation debt against the full faith and credit of the City for TIF District financing in the amount of $15,086,430. Any debt secured under this authorization is not projected to raise the tax rate. TIF district financing increment is the primary source that would service this debt authorization. The Council will most likely be asked to make a decision regarding issuing debt during the summer 2023 or winter 2023-24 bond pool. Debt would most likely be one bond issuance or loan serviced by City Center TIF district financing. Bond anticipation notes may be used if they are fiscally advantageous. The requested authorization number is a ceiling of total debt but could be issued as a direct payment (not a bond) from the TIF District Increment Fund should the fund balance allow. City Center CIP Reserve Fund The City Center CIP Reserve Fund would be used absorb the effect of negative balances so that it does not affect the overall City cash balance. It provides a cushion for TIF District Fund as development projects in the TIF District are built and go onto the Grand List. Proposed Schedule Public Hearing to Put Question on the Ballot December 5 Approve putting the question on the ballot December/January Public Information Hearings/Meetings January/February Public Informational/Public Hearing Pre-Town Meeting March 6. ATTACHMENT: Draft Public Notice Article I - Draft Preliminary Model for 2023 Town Meeting with the estimated Debt Service Schedule (includes projected income and expenditures for the TIF increment fund and Reserve fund annually and cumulatively) Additional information on proposed projects (on City website): Garden Street Phase II Background, Continued, Page 6 Williston Road Streetscape East West Crossing City Center Park Phase II RECOMMENDATION: Consider warning a public hearing on Article I regarding TIF District Financing Debt Authorization to fund the design and construction of the following projects on December 5, 2022 meeting at 9:15 PM: Garden Street Phase II, Williston Road Streetscape, East West Crossing, and City Center Park Phase II. 180 Market Street South Burlington, VT 05403 tel 802.846.4107 fax 802.846.4101 www. southburlingtonvt.gov Public Hearing South Burlington City Council Monday, December 5, 2022, 9:15 P.M PLEASE TAKE NOTICE THAT the South Burlington City Council will hold a public hearing in the South Burlington City Hall, 180 Market Street, South Burlington, Vermont on Monday, December 5, at 9:15 P.M. to present information and to hear public comments concerning issuance by the City of general obligation debt and the pledging of support of capital improvements within the City Center Tax Increment Financing District (TIF District) and related costs. The specific improvements expected to be constructed with the bond proceeds are City Center Park Phase II (the boardwalk connection), Garden Street Phase II (Williston Road intersections), Williston Road Streetscape (Dorset to Midas, south side), and the East-West Crossing (a walk bike bridge over I- 89), all of which are within or serving the TIF District. The ballot question to be considered by the City Council, if approved, is expected to be presented for a public vote on Tuesday, March 7, 2023. ARTICLE 1 Shall the City Council be authorized to pledge the credit of the City to secure indebtedness, to borrow, or to make direct payments of TIF increment for the purpose of funding one or more public infrastructure or capital improvements and related costs attributable to projects serving the City Center Tax Increment Financing (TIF) District, specifically: (a) City Center Park Phase II (boardwalk connection): (construction of new paved pathways and elevated boardwalk between Barret Street, Market Street and Garden Street) to include shared use paths and related amenities including installing lighting, benches, bicycle parking, landscaping, wetland protection, and signage; (b) Garden Street Phase II (Williston Road intersection improvements): realignment of the Williston Road, White Street and Midas Drive intersection and improvements to the Hinesburg Road, Patchen Road and Williston Road intersection, and the area in between to include roadway, shared-use paths, crosswalks and sidewalks, stormwater treatment, utility, lighting and transportation upgrades; (c) Williston Road Streetscape installation of a shared-use path on the south side of Williston Road between Dorset Street and Midas Drive, to include stormwater treatment, utility relocation, landscaping, lighting and transportation upgrades; (d) East-West Crossing (a walk bike bridge over I-89 at Exit 14), a bridge, associated elevated and at grade shared-use paths, lighting, benches, stormwater treatment, signage and landscaping. in a total principal amount not to exceed Fifteen Million, Eighty-Six Thousand, Four Hundred and Thirty Dollars ($15,086,430) (to date, the total City Center TIF tax increment financing debt approved is $29,402,000 of which only $14,430,062 has or is eligible to be issued as TIF District financed debt), and to make direct payments, issue bond anticipation notes, bonds, notes or make interfund loans for such purposes with the understanding that tax increment from the properties within the City Center TIF District shall be pledged and appropriated in the approved portion for the payment of such indebtedness or direct costs of the improvements? 11/2022 - PRELIMINARY MODEL FOR 2023 TOWN MEETING July 1 2017 - June 30 20182018 (FY) 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 TOTALS:DEADLINE TO INCUR DEBT: MARCH 31, 20241 (Year of TIF Revenue) 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 TIF DISTRICT FUND PROJECTION (PRELIMINARY - FALL 2022) ANNUAL INCOME: PROJECTED TIF DISTRICT INCREMENT REVENUE Total: ALL PROJECTED DEVELOPMENT 72,939.84$ 84,928.06$ 158,868.78$ 264,380.07$ 413,448.15$ 471,315.28$ 631,241.87$ 1,225,278.01$ 1,912,533.16$ 2,436,412.65$ 2,806,669.10$ 2,978,371.14$ 3,070,926.58$ 3,318,117$ 3,500,287$ 4,027,719$ 4,402,352$ 4,718,530$ 5,312,617$ 5,922,110$ (High)47,729,044$ EXISTING DEVELOPMENT AND PIPELINE (SBCC, LLC - SNYDER-BRAVERMAN) 72,939.84$ 84,928.06$ 158,868.78$ 264,380.07$ 413,448.15$ 471,315.28$ 631,241.87$ 1,225,278.01$ 1,546,425.69$ 1,801,731.91$ 2,125,825.79$ 2,283,954.89$ 2,362,638.02$ 2,415,093$ 2,468,763$ 2,523,679$ 2,783,144$ 2,845,223$ 3,014,381$ 3,081,327$ (Low)32,574,586$ YEAR OVER YEAR PROJECTED INCREMENT GROWTH FY 2018-FY2022 is ACTUAL REVENUE (INCREMENT) ALL PROJECTED DEVELOPMENT 72,939.84$ 11,988.21$ 73,940.72$ 105,511.29$ 149,068.08$ 57,867.13$ 159,926.58$ 594,036.14$ 687,255.15$ 523,879.49$ 370,256.44$ 171,702.04$ 92,555.44$ 247,190$ 182,170$ 527,432$ 374,633$ 316,178$ 594,087$ 609,493$ EXISTING DEVELOPMENT AND PIPELINE 72,939.84$ 11,988.21$ 73,940.72$ 105,511.29$ 149,068.08$ 57,867.13$ 159,926.58$ 594,036.14$ 321,147.68$ 255,306.23$ 324,093.87$ 158,129.11$ 78,683.12$ 52,455$ 53,670$ 54,916$ 259,465$ 62,079$ 169,159$ 66,946$ INCREMENT TOTAL ALL PROJECTED DEVELOPMENT 47,729,044.03$ EXISTING DEVELOPMENT AND PIPELINE 32,574,585.51$ ANNUAL EXPENDITURES - TIF FUND 2018 (FY) 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 TIF FINANCING BOND PAYMENT SHEDULES (amt, purpose, term, interest)All TIF Debt has 5 Year Delayed Principle Payments BOND PAYMENT TOTAL:2017 Market St & City Center Park ($5M, 20 YR, 3.39%)voted 2016 134,660.75$ 162,133.34$ 162,133.34$ 162,133.34$ 162,133.34$ 162,133.34$ 491,383.39$ 482,933.34$ 473,983.34$ 464,533.34$ 454,583.34$ 444,250.01$ 433,566.68$ 422,567$ 411,300$ 399,783$ 388,050$ 376,117$ 364,017$ 351,800$ 339,500$ -$ 7,243,694$ 2020 180 Market Street ($5M, 17 YR, 1.90%)voted 2018 71,373.60$ 87,099.98$ 87,099.98$ 87,099.98$ 87,099.98$ 502,412.81$ 499,433.64$ 495,912.81$ 491,041.97$ 484,239.88$ 475,954$ 466,936$ 457,398$ 448,088$ 439,332$ 430,384$ 425,855$ -$ -$ 6,036,760$ 2022 TIF Bond Payment ($0.43M, 15 YR, 2.03%)voted 2018 4,693.30$ 5,613.25$ 5,613.25$ 5,613.25$ 5,613.25$ 50,582.46$ 50,296.98$ 49,963.69$ 49,582.60$ 49,154$ 48,677$ 48,099$ 47,380$ 46,539$ 45,596$ -$ 513,017$ Estimated 2022 Garden St Phase I ($3.52M, 14 YR,4.26%)voted 2021 100,467.84$ 149,952.00$ 149,952.00$ 149,952.00$ 149,952.00$ 479,040.60$ 479,040.60$ 479,041$ 479,041$ 479,041$ 479,041$ 479,041$ 479,041$ 479,041$ 5,011,641$ Estimated 2023 Garden Street Phase II ($8.27M, 14 YR, 4.26%)vote 2023 236,115.41$ 352,411.06$ 352,411.06$ 352,411.06$ 352,411.06$ 1,125,821.62$ 1,125,821.62$ 1,125,822$ 1,125,822$ 1,125,822$ 1,125,822$ 1,125,822$ 1,125,822$ 1,125,822$ 11,778,154$ Estimated 2023 Williston Road Streetscape ($1.23M, 14 YR, 4.26%)vote 2023 37,058.59$ 55,311.33$ 55,311.33$ 55,311.33$ 55,311.33$ 176,699.02$ 176,699.02$ 176,699$ 176,699$ 176,699$ 176,699$ 176,699$ 176,699$ 176,699$ 1,848,595$ Estimated 2024 City Center Park Boardwalk ($1.15M, 14 YR, 4.26%)vote 2023 32,768.56$ 48,908.29$ 48,908.29$ 48,908.29$ 48,908.29$ 156,243.72$ 156,243.72$ 156,244$ 156,244$ 156,244$ 156,244$ 156,244$ 156,244$ 156,244$ 1,634,595$ Estimated 2024 Ped/Bike Bridge over I-89 ($4.37M, 16 YR, 4.26%)vote 2023 124,654.33$ 186,051.24$ 186,051.24$ 186,051.24$ 186,051.24$ 594,364.18$ 594,364.18$ 594,364$ 594,364$ 594,364$ 594,364$ 594,364$ 594,364$ 594,364$ 6,218,137$ RELATED COSTS - DIRECT REIMBURSEMENT DIRECT REIMBURSEMENT$480,100 voted 2021 364,400$ 5,100$ 5,100$ 5,100$ 5,100$ 5,100$ 5,100$ 85,100$ 480,100$ Subtotal TIF BOND SERVICE:40,284,594.18$ Total TIF FUND EXPENDITURES:40,764,694.18$ (with direct reimbursement) FUND BALANCE - TIF INCREMENT 2018 (FY) 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 ANNUAL BALANCE - PROJECTED ALL PROJECTED DEVELOPMENT (61,721)$ (77,205)$ (3,265)$ 30,873$ 159,522$ 216,469$ (483,919)$ (143,002)$ 137,890$ 629,229$ 1,013,242$ (539,054)$ (428,632)$ (161,727)$ (323,195)$ 585,169$ 981,565$ 1,319,273$ 1,935,352$ 2,607,186$ (344,600)$ (85,100)$ EXISTING DEVELOPMENT AND PIPELINE (61,721)$ (77,205)$ (3,265)$ 30,873$ 159,522$ 216,469$ (483,919)$ (143,002)$ (228,218)$ (5,451)$ 332,399$ (1,233,470)$ (1,136,920)$ (1,064,751)$ (1,354,719)$ (918,871)$ (637,643)$ (554,034)$ (362,884)$ (233,596)$ (344,600)$ (85,100)$ CUMULATIVE BALANCE - PROJECTED ALL PROJECTED DEVELOPMENT (61,721)$ (138,926)$ (142,191)$ (111,318)$ 48,204$ 264,673$ (219,247)$ (362,249)$ (224,360)$ 404,870$ 1,418,112$ 879,058$ 450,426$ 288,699$ (34,495)$ 550,674$ 1,532,239$ 2,851,512$ 4,786,864$ 7,394,050$ 7,049,450$ 6,964,350$ EXISTING DEVELOPMENT AND PIPELINE (61,721)$ (138,926)$ (142,191)$ (111,318)$ 48,204$ 264,673$ (219,247)$ (362,249)$ (590,467)$ (595,918)$ (263,520)$ (1,496,990)$ (2,633,910)$ (3,698,661)$ (5,053,380)$ (5,972,251)$ (6,609,894)$ (7,163,928)$ (7,526,812)$ (7,760,409)$ (8,105,009)$ (8,190,109)$ FINAL YEAR (2037) TIF INCREMENT FUND BALANCE ALL PROJECTED DEVELOPMENT 6,964,350$ EXISTING DEVELOPMENT AND PIPELINE (8,190,109)$ July 1 2017 - June 30 2018 2018 (FY) 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039RESERVE FUND PROJECTION ANNUAL INCOME TRANSFERS FROM GENERAL FUND Annual Transfer to City Center Reserve Fund 750,000$ 860,000$ 750,000$ 860,000$ 800,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000$ 860,000.00$ 860,000.00$ 860,000$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ 860,000.00$ ANNUAL EXPENDITURES - RESERVE FUND CITY SHARE OF PROJECT COSTS - DEBT PAYMENTS Payment on 180 Market Street Bond - ($14M, 30 YR) 583,452$ 926,056$ 917,423$ 908,626$ 899,596$ 890,239$ 877,532$ 867,452$ 859,308$ 846,624$ 832,620$ 817,496$ 801,487$ 784,733$ 767,387$ 749,850$ 732,140$ 714,299$ 696,449.00$ 678,394.00$ 660,695$ 643,102.00$ 625,159.00$ 607,215.00$ 589,272.00$ 571,329.00$ 552,788.00$ 533,650.00$ 514,512.00$ 495,374.00$ 476,226.00$ 572,359.00$ 2022 Bond - 180 Market St (.97M, 30 YR, 2.03%) 5,306$ 58,100$ 57,312$ 56,525$ 55,737$ 54,949$ 54,162$ 53,374$ 52,586$ 51,798$ 51,011$ 50,223$ 49,435$ 48,648$ 47,860$ 47,072$ 46,284.72$ 45,497.04$ 44,709$ 43,921.68$ 43,134.00$ 42,346.32$ 41,558.64$ 40,770.96$ 39,983.28$ 39,183.72$ Est. 2024 Bond - Williston Rd Stscape - (0.4M, 20 YR, 4.31%) 3,238$ 29,271$ 28,585$ 27,899$ 27,214$ 26,528$ 25,842$ 25,157$ 24,471$ 23,785$ 23,100$ 22,414$ 21,728$ 21,043$ 20,356.95$ 19,671.26$ 18,986$ 18,299.90$ 17,614.21$ 16,928.53$ 16,242.84$ 47,990.93$ RESERVE FUND BALANCE Cumulative City Center Reserve Fund Balance:2,700,000$ 3,450,000$ 3,726,548$ 3,158,000$ 3,095,271$ 2,928,545$ 2,828,399$ 2,712,365$ 2,610,511$ 2,520,210$ 2,439,527$ 2,373,001$ 2,321,952$ 2,287,501$ 2,270,532$ 2,271,790$ 2,291,868$ 2,330,957$ 2,389,228$ 2,466,814$ 2,563,723.49$ 2,680,161.19$ 2,815,771$ 2,970,447.67$ 3,144,540.46$ 3,338,050.61$ 3,550,977.13$ 3,750,886.24$ 4,018,114.96$ 4,305,281.24$ 4,650,769.24$ 5,015,395.24$ 5,399,169.24$ 5,686,810.24$ Accounts for non-debt payment debits to fund July 1 2017 - June 30 2018 2018 (FY) 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 CASH CUSHION: Annual Reserve Balance PLUS TIF Increment MINUS TIF and City Share Debt Service ALL PROJECTED DEVELOPMENT 2,638,279$ 3,311,074$ 3,584,357$ 3,046,682$ 3,143,475$ 3,193,218$ 2,609,152$ 2,350,115$ 2,386,151$ 2,925,080$ 3,857,638$ 3,252,059$ 2,772,378$ 2,576,200$ 2,236,037$ 2,822,464$ 3,824,108$ 5,182,469$ 7,176,092$ 9,860,864$ EXISTING DEVELOPMENT AND PIPELINE 2,638,279$ 3,311,074$ 3,584,357$ 3,046,682$ 3,143,475$ 3,193,218$ 2,609,152$ 2,350,115$ 2,020,044$ 1,924,291$ 2,176,007$ 876,011$ (311,958)$ (1,411,160)$ (2,782,848)$ (3,700,461)$ (4,318,026)$ (4,832,972)$ (5,137,584)$ (5,293,595)$ Potential Increase in Transfer to Reserve: None Required at this time Total voter authorized TIF Debt to date* 14,430,062$ Estimated Proposed Potential Future Debt TIF Debt: 15,086,430$ Total:29,516,492.00$ The 2018 Debt approved by the voters for the public library, city hall and senior center was authorized as $20,400,000 in TIF District Financing, but only $5,429,962 was eligible and issued as TIF District Financed debt. October 3, 2022 MEMO TO:City of South Burlington, President Helen Riehle & City Manager Jessie Baker FROM:Meghan O’Rourke, Channel Director,morourke@cctv.org RE:Town Meeting TV FY22 Update and FY23/City’’s FY24 Budget Request Town Meeting TV submits this report in advance of our visit with the City of South Burlington. The purpose of the presentation is to brief the City Council on Town Meeting TV operations, to hear from the community on how Town Meeting TV might better serve your needs, and to request an annual municipal contribution in the amount of $22,050 for general Town Meeting TV operations. Introduction:Town Meeting Television was launched by its member communities in September 1990. Town Meeting TV is operated by CCTV Center for Media & Democracy on behalf of the Chittenden County Government Access Channel Trust. The City of South Burlington is currently represented by your council president, Helen Riehle. We appreciate Helen sharing her time and expertise with us on behalf of the city of South Burlington. Between 10/1/21 and 9/30/22, Town Meeting TV produced and supported 1313 programs for our member communities; 397 were categorized as municipal coverage. During the period of 10/1/2021 - 9/30/2022 Town Meeting TV live streamed, recorded, produced, and archived 56 City Council and Development Review Board meetings for the City of South Burlington. In addition, coverage and service includes other general TV programs recorded in and about South Burlington, election programs, legislative updates, and municipal updates. Town Meeting TV studios and internships remain open to all community members. The contract stipulates production of 5 meetings/month and at least one South Burlington specific general program.South Burlington officials and residents are Town Meeting TV Update & Budget Request for 7/1/23 - page 1 invited to inform us of more community based programming for potential coverage. We are requesting an FY24 City of South Burlington municipal contribution of $22,050 to help meet continued revenue shortfalls from declining cable contributions. This is outlined in the 5 year projection chart below. At this point, we expect municipal contributions to increase along with the rates of inflation or at 5%. In addition, we are offering municipalities the opportunity to add meeting coverage and/or meeting archiving by CCTV productions at the municipal rate. The current municipal rate for meeting production, including pre-production, field production, live streaming & titling, post-production, and archiving is estimated to be 7 hours per meeting at the municipal rate of $95/hour or $665 per meeting. Costs for titling, aring, and archiving recorded meetings conducted without Town Meeting TV operators can also be calculated on a case by case basis. Municipal Funding Request:The City of South Burlington contribution is part of the municipal supplement to the Town Meeting TV annual budget. We have projected that Town Meeting TV’s municipal members will contribute $108,000, or %19.5, to the operating revenue, toward streaming, airing, marketing, distributing and archiving. Municipalities may opt to add additional meeting coverage at the current municipal production rate of $95/hour. See below for the chart of projected municipal support requests. PROJECTIONS FY19 (7/19) FY20 (7/20) FY21 (7/21) FY22 (7/22) FY23 (8/23) FY24 (8/24) FY25 (8/25) 50%0%5%5%5%5%5 years Burlington $12,000 $24,000 $24,000 $25,200 $26,460 $27,783 $29,172 $156,615 South Burlington $10,000 $20,000 $20,000 $21,000 $22,050 $23,152 $24,310 $130,512 Winooski $6,000 $7,000 $8,000 $9,000 $10,000 $11,000 $12,000 $57,000 Essex $6,000 $12,000 $12,000 $12,600 $13,230 $13,891 $14,586 $78,307 Essex Jct $6,000 $12,000 $12,000 $12,600 $13,230 $13,891 $14,586 $78,307 Williston $6,000 $12,000 $12,000 $12,600 $13,230 $13,891 $14,586 $78,307 Increase $46,000 $87,000 $88,000 $93,000 $98,200 $103,610 $109,240 $579,050 Town Meeting TV Update & Budget Request for 7/1/23 - page 2 Town Meeting TV FY22 Report Town Meeting TV supports public officials who seek to engage their constituents in the work of local government. We connect community members to local government so they are able to take action on community and public issues. Revenue Sources:Town Meeting TV is funded, in large part, by the cable subscribers of Comcast and Burlington Telecom. In addition to their requirement to set aside channels and “cable capacity”, regional cable subscribers are assessed 5% of their bills for PEG operating and 1.5% for capital costs. This revenue, locally, is shared by Town Meeting Television and The Media Factory. In Town Meeting TV’s FY23 Budget, approved by the municipal Trustees, cable revenue accounts for 80%of the FY23 budget revenue,estimated to be $555K, detailed in the budget narrative, below. Services:With your partnership, Town Meeting TV produces,live streams, records, titles, distributes and archives gavel-to-gavel coverage of municipal meetings, regional events, and educational programs designed to help open the doors of local government, civic life, and promote public awareness and participation. Town Meeting TV is part of a network of community access media centers that provide an essential community service that has expanded to meet the needs of remote participation in public meetings, public health communications, more extensive election coverage, and community producer requests for services. During this year our services included: Live streaming of gavel-to-gavel coverage of municipal and regional meetings in Burlington, South Burlington, Winooski, Essex, Essex Junction, Williston and Colchester. These meetings are streamed live, aired on TV, and archived. Town Meeting TV content is available on Comcast channel 1087, BT channel 217 and 17, BT channel 317, online at ch17.tv (with clickable agendas) and at youtube.com/TownMeetingTV (with transcripts.) Town Meeting TV continues to work with communities to make that experience productive while retaining high video and audio quality for TV distribution and archiving. Town Meeting TV Update & Budget Request for 7/1/23 - page 3 Hybrid Meeting support -During the pandemic Town Meeting TV worked with municipalities to install and support high quality hybrid meeting systems. In many cases these systems were purchased by the municipalities and the expected technical life was 3 years from installation. In the next year we will be reevaluating the functional life and best practices on a case by case basis with each municipality. Redundant and reliable archiving of community based video content, including meetings and public events is a unique service of Town Meeting TV. This content is available on YouTube and also searchable at www.cctv.org a/k/a ch17.tv. During this past year the Town Meeting TV archivist worked with the Northeast Document Conservation Center (NEDCC) to shore up the redundancy and efficacy of our archival systems. We are working not only to digitize all of our current physical media, but to ensure easy, permanent, secure, and public access to all community media content past, present and future. This work with the NEDCC will also position CCTV and Town Meeting TV to secure archival grant funding. In-depth election programming - Town Meeting TV produces televised local forums featuring all candidates, municipal budgets and ballot presentations during Town Meeting, Primary and General elections. Town Meeting TV also partners with state level organizations such as AARP, League of Women Voters and media outlets such as VTDigger.org to bring election information to a wider audience. In most cases Town Meeting TV is the only forum for all registered candidates to appear in front of voters in a fair, congenial, and high quality format. Community based programs - Democracy begins in dialogue.Community access TV is the site of many interesting and provocative conversations. From shows on addiction recovery and prevention, education reform, national politics, local issues, the Town Meeting TV studio (both in person and online) provides citizens a space to express and workshop ideas with their community. In FY22 our studios have reopened to many new and old community producers. On average we are hosting 2-3 studio programs a week. Marketing and Outreach - Opening the doors to democracy also means connecting community members in a nonpartisan manner, to a variety of ideas and content. Our marketing efforts include supporting internships and experimentation with various tools and platforms for expanding our reach. We excerpt and share meeting highlights such as Mayor or City Council updates, connect local journalists Town Meeting TV Update & Budget Request for 7/1/23 - page 4 to source material, and help the public make sense of the content that is recorded and archived by the Town Meeting TV field crew. Media Education for school groups (e.g., CCV, UVM,Champlain, local high schools) is a crucial part of the Town Meeting TV civic work. Helping students understand what is behind the creation of media and engaging them with local civic leaders through internships and volunteering are foundation to the work of community media. Not only are we developing the next generation of field producers and editors, but we are also introducing young people to how local government functions and why it is important. This year Town Meeting TV is in year two of the Neighbrohood Media Internship project supported by grant funding from the VT Community Foundation. Maintaining a Public Web Presence.Town Meeting TV’s website is home to more than 50,000 pieces of archival content. We envision this as a gateway to community content both present and historic. We are continuing on the process of upgrading the Town Meeting TV website to a new platform and that municipalities will be able to more easily embed municipal content on their own home pages. Legal and Advocacy Matters:Town Meeting TV has worked closely with its colleagues in the Vermont Access Network (VAN) to advocate for the replacement of declining cable revenue. The Legislature recognized our work as an “essential service” during the COVID emergency period and awarded CRF funds to subsidize COVID related communications and funded a comprehensive study (The PEG Study) to assess what authority the state has to restructure how PEG is funded. This work leads us to a short term statewide legislative request for FY23 of $900K. The legislators will look to the municipalities to support this proposal, and we are happy to discuss this in more detail with you. CCTV Center for Media and Democracy continues to administer the services of Town Meeting TV on behalf of the Trustees. This unique relationship allows Town Meeting TV to be housed alongside other community based projects such as the CCTV Archives, The VT Language Justice Project and CCTV Productions. These relationships allow us to share expertise, community connections, and carry the work we do together, farther. Town Meeting TV cable channels reach 25-30,000 cable subscribers within Chittenden County. The archive of all content is available at Ch17.tv. Applicable content is distributed statewide as well as nationwide. The Town Meeting TV Town Meeting TV Update & Budget Request for 7/1/23 - page 5 website averages about 1000 hits per month, and the Town Meeting TV youtube channel maintains about 3,250 subscribers. People watch meetings and events, share them, and most importantly report that they can find them when needed. Thank you for your support. We are happy to respond to any questions, comments, and are always open to ways that we can serve you better. The Town Meeting TV Budget Narrative for FY22 follows. Town Meeting TV/ Town Meeting TelevisionBUDGET NARRATIVE FY23 October 1, 2022 – September 30, 2023 1. OVERVIEW Town Meeting Television operates channels on Comcast 1087 and Burlington Telecom 17 & 217 and on Burlington Telecom, Channel 317. Programming is available on ch17.tv and on YouTube Channel 17/Town Meeting Television. The primary mission is to cover public meetings and events for Burlington, South Burlington, Essex, Essex Junction, Winooski, Williston, and Colchester. We offer free training and equipment upon request. We will also air public issues programs submitted by the public. This work is funded primarily through franchise fees paid by local cable subscribers, as a percentage of their cable TV bills and in recent years, by local government contributions and fundraising efforts. The State of Vermont requires public access channels and franchise fees from cable operators in exchange for those company’s use of the public rights of way. Cable operators choose to pass these fees on to their cable subscribers. The state’s authority to require channels and fees is based on Cable Communications Policy Act of 1984. Since 1984, the State of Vermont (through the Vermont Public Utility Commission) has required Vermont cable operators to provide public, educational, and government (PEG) access channels by levying a PEG fee of 5% of cable subscriber revenue to be used for operating these channels through access management organizations (also known as community media centers; and, .5% to be set aside for capital purchases for channel playback hardware, studios, cameras and the materials needed to record, produce and distribute community content. Town Meeting TV Update & Budget Request for 7/1/23 - page 6 As a result of Vermont Government’s firm commitment to PEG access, Vermonters benefit from a thriving network of 24 access management organizations that put $8.7 million of cable subscriber dollars to work, producing more than 18,000 hours of original local programs each year--many of which are government meetings which are streamed live--and employing 78 full time and 101 part time staff. Town Meeting TV operates as a project of CCTV Center For Media and Democracy.CCTV is responsible for making sure Town Meeting TV obligations are met to the Municipal Town Meeting TV Board of Trustee. 2. REVENUE SUMMARY FY23 revenue is projected to be $690,697.91.Expenses are projected to be$741,120.88.A budget shortfall of (50,422.97)is expected and will be covered byCCTV grant raising and philanthropic fundraising. ●The estimated revenue received from Comcast is projected to be $382,459for operating and $138,238 for capital. ●Burlington Telecom’s total contribution has come in at $30.5K for operatingand capital in FY22. ●Municipal revenue is projected at 108,000. ●Interest/ Capital Gains is estimated conservatively to be $2,500+/-. 3. EXPENSE SUMMARY The total FY23 expenses are projected to be $741,120. Operating Expense is estimated to be $597,050. Operating expenses include theCCTVcontractfor Town Meeting TV operations at $564,900 alongside other Trustee’s expenses. This is an increase of 10K over last year. We expect CapitalExpensesto be $144,070.Those expenses are detailed below. A.OPERATING EXPENSES Town Meeting TV operating expenses are estimated to be $597,050.Theseinclude: CCTV Base Contract of $564,900.The CCTV base-line services include site costoverhead and staff labor for Administration,Field Production,ProductionCoordination, Post Production, Scheduling, Internships, Marketing, andArchiving.approximately 18K yearly hours and 8.7 FTE. CCTV Base Contract Expenses: Town Meeting TV Update & Budget Request for 7/1/23 - page 7 a.Wages and Benefits total $383,379 This includes: ●Payroll,Health/Dental/Vision Insurance, Unemployment,WorkersCompensation and Payroll taxes for 8.7 FTE employees. b.Non-Wage Costs: $51,152 include the following ●Site Costs: Rent, Utilities, Offsite Storage:$30,188 ●Communications (Cell, Local, Long Distance, Postage,Internet):$2217 (purchased a new phone system with BT). ●Office Expenses (Copying, Printing, Supplies): $1043 ●Computer Expenses $1876.55 ●Professional Development:Includes training dues and expenses, conference, Alliance for Community Media events which are expected to bevirtual for the next year.Total: $6245 ●CCTV Management & Overhead: Total $100,266 -includes businessmanagement, advocacy, fundraising support, archival and technical support for Town Meeting TV as one of the projects. This number has been reducedfrom the previous year due to onboarding of new projects (VLJP) b. Trustees Expenses ●Legal:$3500 - We do not anticipate legal issues,but carry this as a matter ofgood business practice. ●Investment Fees:$1250 .8% on our Vermont Community Foundation Fund ●Accounting Services:$4,000 ●Audit:$8300 ●Advertising:$5000 -To support outreach around municipal content. ●Comcast Advertising $4000 -Pass through funds from Comcast ●Directors Insurance:$600 -Reduced by half due to a new carrier. ●Membership Dues:$5,200 -Trade Organizations that work on behalf ofcommunity media: VAN and Alliance for Community Media B. CAPITAL EXPENSES Town Meeting TV’s annual Capital budget is based on priority areas recommendedby Staff and approved by the Trustees. The FY23 Capital recommendations, estimated to be $144,070 include hardware, supplies and contractors. Town Meeting TV continues to contract with third party technical services(Clearbearing) to monitor and support our technical operations, including at the Tech Core, shared with the Media Factory in the South End. This is the largest itemin our capital budget and it ensures ongoing seamless support for our workinginfrastructure and archival assets. Town Meeting TV Update & Budget Request for 7/1/23 - page 8 This year’s capital budget is larger than the past two previous years, in part due to pandemic related delayed and deferred maintenance on field and studioequipment. Equipment Total: $32,087 Estimated equipment costs largely reflect the annual replacement of cameras, computers and equipment due to extended use. Thisincludes: ●Production:Purchase of additional field production and remote meeting gear, and equipment for live titling in the field. ●Post Production:Editing Workstation, VHS decks, archival encoder ●Office:Replacement staff computers ●IT/ Network/ Tech Core Equipment:For Tech core improvements and videostorage options. Capital Support Total: $111,983 Capital Support constitutes the bulk of the capitalbudget, as most technical solutions are software and consultant supported. TheFY23 budget includes: ●Web Development:Continued work on moving to new web platform ●Repair and Maintenance:Includes Clearbearing Tech Support. ●Service Contracts:Tech Core Rental, Clearbearing Assistance on projects, Phone, Internet. ●Dues and Subscriptions:for interactive program guide (Gracenote), AdobeCreative Cloud, podcast subscription, Slack, Dropbox to improve remoteworkflow systems Town Meeting TV Update & Budget Request for 7/1/23 - page 9 Legislative Update In FY21, the Vermont Legislature identified public, educational and government (PEG) access as an “essential service” for Vermont through its continuing coverage of public health messages, ongoing access to public meetings, connecting communities and preserving local identity. In recognition, the Legislature provided financial support for pandemic operations and funded a PEG Study to help plan for the future of community media. Community Media is an Essential Service The PEG Study, released in January 2021, confirms the inevitable decline of cable revenue in Vermont (PEG’s primary funding source) and increasing costs necessary to meet increasing demand for public meeting coverage and community communications. The PEG Study recommended that the Legislature use its authority to restructure Vermont’s telecommunications taxes and take a new look at how public benefits, like PEG, will be funded. During recent meetings with key legislators, VAN was encouraged to develop short-term funding requests while continuing to work toward the longer-term policy goal. VAN’s three year funding request provides short term relief to meet community communications needs in all corners of the state, and lays the groundwork for broader policy change in Vermont’s telecommunications tax structure. The request: VA N ’ s L e g i s l at ive R e q u e s t FY23 - $900,000 FY24 - $1 Million FY25 - $1.5 Million Vermont Access Network vermontaccess.net info@vermontaccess.net For more information: Lauren-Glenn Davitian, CCTV, 802.777.7542 davitian@cctv.org MEMORANDUM TO: South Burlington City Council FROM: Andrew Bolduc, Deputy City Manager Colin McNeil, City Attorney Paul Conner, Director of Planning and Zoning DATE: November 4, 2022 RE: Receipt of Certain City Fees Associated with Affordable Housing Development ______________________________________________________________________________ Background A little over a month ago, the City received a question from Summit, the developers developing affordable housing at O’Brien Farm, whether the City had any flexibility in when it requires receipt of certain impact and permitting fees. For this project, Summit will pay $597,823.72 in City fees for which they will need to take out a construction loan for this amount for approximately 15 months before the building is constructed and revenue is generated. With interest rates in the current economic climate, they would pay approximately $45,000 in interest for the city fee portion of the construction loan over the 15-month period. Therefore, if required to pay these fees prior to construction, 90 percent of the $50,000 the City has contributed from its Housing Trust Fund will go to fund bank interest. To be nimble to this present economic reality and ensure the intended purpose of trust fund dollars supported by the taxpayers is fully realized, attached in your packets please find three draft amendments to City regulations that would allow for a postponement of the receipt of impact and permitting fees. As drafted, fees for affordable housing projects for which the City is a financial party will now be due prior to the issuance of a certificate of occupancy rather than at the start of construction. The full texts of both the Impact Fee Ordinance and the Ordinance Regulating the Use of Public & Private Sanitary Sewerage and Stromwater Systems can be found on the City website by following the link below: https://www.southburlingtonvt.gov/government/city_regulations_and_ordinances/existing_ordinanc es.php The full text of the permitting fee schedule can be found here: https://www.southburlingtonvt.gov/departments/planning_and_zoning/application_forms_and_fees. php Possible Action Please consider these three amendments. If Council desires to move these amendments forward the recommended motion is: Move that the Council amend the zoning permitting fee schedule and warn a public hearing and second reading of amendments to the Impact Fee Ordinance and the Ordinance Regulating the Use of Public & Private Sanitary Sewerage and Stormwater Systems for the December 5th regular council meeting at 9 PM. Proposed ordinance amendments: Impact Fee Ordinance: Section 4. Payment of Fees Except as provided for under subsection (A) below, impact fees levied under this ordinance shall be paid to the City Treasurer prior to the issuance of any permits under the Zoning Regulations of the City of South Burlington for the construction of any development subject to the payment of impact fees. The Zoning Administrator shall not issue any zoning permit for the construction of such developments without first receiving proof of payment of the required impact fees from the City Treasurer. A. Perpetually Affordable Housing to which the City is a Financial Contributor. Payment of impact fees levied under this ordinance may be paid to the City Treasurer after the issuance of any permits under the Zoning Regulations of the City of South Burlington for construction and development but prior to the issuance of a Certificate of Occupancy provided the following two criteria are met: 1) The project is for the development of housing that is no less than 50% of the dwelling units perpetually affordable, with “affordable” being defined by the City’s Land Development Regulations; and 2) The City has made some prior financial contribution to the development in the form of a grant from the City’s general or housing trust fund or by means of a Vermont Community Development Fund/Community Development Block Grant or other such State or Federal grants or loans in which the City is a transactional party. Ordinance Regulating the Use of Public and Private Sanitary Sewerage and Stormwater Systems Section 3.5 Final Capacity Allocation (A) An Applicant for development involving a single use or unit shall pay one hundred (100%) percent of all connection fees prior to grant of a final allocation. If the development involves multiple uses and/or units that will connect to the SEWER, the applicant shall pay fifty (50%) of all connection fees prior to grant of final allocation and the remaining fifty percent (50%) will be prorated based on the development flow for each use or unit. The prorated payment for a use or unit shall be payable upon issuance of a zoning permit for construction of improvements for the use or unit. If the development is an Affordable Housing project, one hundred percent (100%) of all connection fees will be prorated based on the number of uses and/or units. Except as provided for under subsection (i), the prorated portion for a use or unit shall be payable upon issuance of a zoning permit for construction of improvements for the use or unit. If the development does not require issuance of a zoning permit, applicant shall pay one hundred percent (100%) of all connection fees prior to grant of a final allocation. (i) Payment of connection fees may be paid after the issuance of any permits under the Zoning Regulations of the City of South Burlington for construction and development but prior to the issuance of a Certificate of Occupancy provided the following two criteria are met: (I) The project is for the development of housing that is no less than 50% of the dwelling units perpetually affordable, with “affordable” being defined by the City’s Land Development Regulations; and, (II) The City has made some prior financial contribution to the development in the form of a grant from the City’s general or housing trust fund or by means of a Vermont Community Development Fund/Community Development Block Grant or other such State or Federal grants or loans in which the City is a transactional party. Planning & Zoning Permit Fee Schedule 13 Payment of Fees. No application for land development shall be considered complete prior to receipt of all required fees, as reduced, modified, or postponed pursuant to this schedule. 14. Postponement of Fees. Payment of fees may be paid after the issuance of any permits under the Zoning Regulations of the City of South Burlington for construction and development but prior to the issuance of a Certificate of Occupancy provided the following two criteria are met: 1) The project is for the development of housing that is no less than 50% of the dwelling units perpetually affordable, with “affordable” being defined by the City’s Land Development Regulations; and 2) The City has made some prior financial contribution to the development in the form of a grant from the City’s general or housing trust fund or by means of a Vermont Community Development Fund/Community Development Block Grant or other such State or Federal grants or loans in which the City is a transactional party 180 Market Street, South Burlington, Vermont 05403 | 802-846-4106 | www.southburlingtonvt.gov MEMORANDUM TO: Jessie Baker, City Manager; South Burlington City Council FROM: Paul Conner, Director of Planning and Zoning Steve Locke, Fire Chief and Emergency Management Director Tom DiPietro, Public Works Director Shawn Burke, Chief of Police SUBJECT: 2022 Draft Multi-Jurisdictional All-Hazards Mitigation Plan DATE: November 7, 2022 City Council meeting Enclosed with your packet please a draft resolution adopting the 2022 draft Chittenden County All Hazards Multi-Jurisdictional Mitigation Plan and associated South Burlington Annex. As was the case with the current (2017) Plan, nearly all municipalities in Chittenden County elected to work together to prepare a single base plan assessing hazard risk on a county-wide basis and a local annex addressing issues, facilities, and strategies specific to the local community. Links to draft Plan: • 2022 Draft Chittenden County All Hazards Multi-Jurisdictional Mitigation Plan • 2022 Draft South Burlington local Annex Over the past two (2) years, City staff from the Fire Department, Police Department, Public Works, and Planning & Zoning worked with the consultant selected by Vermont Emergency Management, IEM, and the Chittenden County Regional Planning Commission to update the Plan for 2022. The purpose of a hazard mitigation plan is to reduce future loss of life and property damage through thoughtful assessment of hazard risk and planning to reduce the severity of future incidents. Adoption of an All-Hazards Hazard Mitigation Plan gives communities with access to Federal Hazard Mitigation grants funds. The 2022 Plan discusses nine primary natural hazards of concern and other technological and societal hazards. Discussion of hazards includes the adverse consequences resulting from a hazard occurrence, as well as information about the impacts of climate change. The risk and vulnerability assessments for all natural hazards were updated using the best available data and a more robust risk assessment platform. The 18 participating communities in Chittenden County are coordinating to submit the draft Plan to Vermont Emergency Management this month. Possible Action: The Council is invited to approve the enclosed resolution approving the 2022 All Hazard Multi-Jurisdictional Mitigation Plan and the accompanying South Burlington Annex. 180 Market Street, South Burlington, Vermont 05403 | 802-846-4106 | www.southburlingtonvt.gov CERTIFICATE OF ADOPTION: NOVEMBER 7, 2022 CITY OF SOUTH BURLINGTON, Vermont City Council A RESOLUTION ADOPTING THE 2022 Chittenden County, Vermont Multi-Jurisdictional Hazard Mitigation Plan WHEREAS, the City of South Burlington has historically experienced severe damage from natural hazards and it continues to be vulnerable to the effects of the hazards profiled in the 2022 Chittenden County, Vermont Multi-Jurisdictional Hazard Mitigation Plan, which result in loss of property and life, economic hardship, and threats to public health and safety; and WHEREAS, the City of South Burlington has developed and received conditional approval from Vermont Emergency Management (VEM) for its 2022 Chittenden County, Vermont Multi-Jurisdictional Hazard Mitigation Plan (Plan) under the requirements of 44 CFR 201.6; and WHEREAS, the Plan specifically addresses hazard mitigation strategies, and Plan maintenance procedures for the City of South Burlington; and WHEREAS, the Plan recommends several hazard mitigation actions (projects) that will provide mitigation for specific natural hazards that impact the City of South Burlington with the effect of protecting people and property from loss associated with those hazards; and WHEREAS, adoption of this Plan will make the City of South Burlington eligible for funding to alleviate the impacts of future hazards; now therefore be it RESOLVED by City of South Burlington City Council: 1. The 2022 South Burlington, Vermont Local Hazard Mitigation Plan is hereby adopted as an official plan of the City of South Burlington; 2. The respective officials identified in the mitigation action plan of the Plan are hereby directed to pursue implementation of the recommended actions assigned to them; 3. Future revisions and Plan maintenance required by 44 CFR 201.6 and FEMA are hereby adopted as part of this resolution for a period of five (5) years from the date of this resolution; and 4. An annual report on the process of the implementation elements of the Plan will be presented to the City Council by the Emergency Management Director or Coordinator. IN WITNESS WHEREOF, the undersigned have affixed their signature and the corporate seal of the City of South Burlington this 7th day of November 2022. Council Resolution #2022-18 2 ________________________ Helen Riehle, Chair ________________________ Meaghan Emery, Vice-Chair ________________________ Tim Barritt, Clerk ________________________ Tom Chittenden, Councilor ________________________ Matt Cota, Councilor ______________________ Donna Kinville City Clerk Council Resolution #2022-18 CONFIDENTIAL MEMORANDUM TO: South Burlington City Council FROM: Deputy City Manager Andrew Bolduc and City Attorney Colin McNeil RE: Lease of 19 Gregory Drive DATE: November 7, 2022 The City has been engaged in talks with the Chittenden Solid Waste District (“CSWD”) regarding the lease of approximately 6,680 square feet of office space on the second floor of the City-owned 19 Gregory Drive. This is a portion of the space that was previously leased and vacated by EPS, Inc., and managed by the prior property owner, R.E.M. Development Co. When the Miller family donated the 19 Gregory Drive property at the end of 2020, the City assumed this lease and associated revenues. Those revenues were an unbudgeted surplus in FY21 and FY22. Prior to receiving notice that EPS, Inc. would not be renewing their lease, the City budgeted approximately $115,000 in expected revenue in FY23. Were payment under the draft lease with CSWD to commence as anticipated on February 1, 2023, this will mitigate that shortfall by $41,750. Because the market for this grade of office space is not as robust as when EPS Inc. originally signed its lease with R.E.M. Development Co., the FY24 anticipated revenue will be around $13,000 lower than with EPS. However, the CCPSA Dispatch Center will also provide additional lease revenue when the center begins to occupy its anticipated lease area also on the second floor. Depending on timing and the terms of the lease, it may provide additional mitigation for FY23 and an increase in revenues for FY24. Michael Simoneau represented the City as its broker in marketing the property and finding CSWD. The general terms of the lease agreement are as follows: 1) Term: Initial term of five years with an option for a renewal term of an additional five years 2) Rent: $15.00/square feet with an annual increase of 2.5%. 3) Fit up: Prior to initiation of the five-year initial term (and CSWD’s commencement of paying rent), CSWD will have three months to fit up the space at its own expense. This fit up will consist of adding interior walls, renovating the kitchen, and setting up its own data and wiring. City will be responsible for installing new carpeting, painting the walls, separate data service, and provide tenant with a secure data closet/server room. 4) Deposit: Upon execution of the lease, CSWD will make a deposit of one-month’s rent. 5) Early Termination: With 120 days advance notice, CSWD may terminate the lease at the end of the initial five-year term and at the end of the seventh year of the lease agreement. 6) Utilities: CSWD will pay its own Natural Gas, Electric, and Interior Janitorial. 7) Taxes, Insurance, and Other Expenses: All property taxes, building insurance costs, exterior maintenance costs, and other utilities will be paid for by the City. The draft lease agreement has been approved by the CSWD Board at their October 26, 2022 meeting. It is the goal of the parties to have CSWD begin fit up of the space as soon as possible with a potential move in date of early February. If the Council approves the lease and authorizes its execution, we can finalize the dates that fit up will begin and rent will commence. Recommended Motion: Move to approve the lease agreement negotiated between the City and CSWD as presented, authorize the City’s Administration to negotiate and settle the Lease Agreement’s final details, such as the dates fit up will begin and rent and occupancy will commence, and authorize the City Manager to execute the Lease Agreement on behalf of the City. 1 LEASE AGREEMENT THIS LEASE AGREEMENT, made this __ of _________, 2022, by and between the City of South Burlington (“City”), a Vermont municipality chartered under the laws of the State of Vermont with a principal place of business at 180 Market Street, South Burlington, County of Chittenden, State of Vermont (“Landlord”) and Chittenden Solid Waste District (“CSWD”), a Vermont municipality with a place of business at 1021 Redmond Road, Williston, VT 05495, County of Chittenden, State of Vermont (“Tenant”). WITNESSETH: SECTION 1. Demise, Description of Leased Premises. (a) Landlord does hereby lease, demise and let unto Tenant, upon the terms and conditions hereinafter set forth, and for the rent hereinafter provided to be paid, six thousand six hundred and eighty (6,680) gross square feet of interior building space on the second floor in that building known as 19 Gregory Drive, South Burlington, Vermont, together with all appurtenances pertaining thereto. The demised Leased Premises are located at 19 Gregory Drive, in the City of South Burlington, Vermont, all as outlined in Exhibit A attached hereto and made a part hereof (the “Leased Premises”). As to the interior portion of the Leased Premises, the Leased Premises are rented in their current “AS IS” condition subject to the Landlord’s obligations expressly stated herein. Included in the Leased Premises is the exclusive access point to the second-floor space located on the south side of 19 Gregory Drive and consisting of a locked and alarm security door, foyer, and stairwell to the second floor space. (b) Common Area Access. In addition to the exclusive access point included in the Leased Premises, Tenant may also access the Leased Premises by means of the 19 Gregory Drive Americans with Disabilities-compliant double-door common entrance, foyer, and second-floor hallway (“Common Area”). This common entrance provides access to an elevator and an enclosed stairwell, both leading to a second-floor common hallway from which the Leased Premises may be accessed through an Americans with Disabilities-compliant exclusive entrance. The Common Area is shared with other tenants of 19 Gregory Drive and is not included in the Leased Premises. Included in the Common Area is full access to the two Americans with Disabilities-compliant bathroom facilities as depicted on Exhibit A. (c) The Landlord represents and warrants that (i) the Leased Premises, its use and operation are in compliance with all applicable covenants and State of Vermont and City of South Burlington permits, including without limitation subdivision permits, approvals, laws, rules, and regulations (as applicable), and that Landlord has no knowledge of any alleged violation of any governmental regulation or notice from any insurer of any condition in the Leased Premises that would render the Leased Premises or any portion thereof uninsurable, (ii) Landlord has no knowledge of any pending or threatened condemnation proceedings or other proceedings in the nature of eminent domain in connection with the Leased Premises; (iii) there are no litigation proceedings pending, or to Landlord’s knowledge threatened, against or relating to the Leased Premises, and (iv) the Landlord has good and marketable title to Landlord’s Property described in Exhibit A and the Leased Premises, free of any liens or other security interests, and 2 the Leased Premises are subject only to covenants, restrictions and easements of record in the South Burlington Land Records, or as otherwise stated herein, none of which unreasonably or materially limit the use of the Leased Premises for Tenant’s intended and permitted uses. SECTION 2. Initial Term of Lease. This Lease is for a term of five (5) years and three (3) months commencing November 1, 2022 (the “Commencement Date”) and expiring midnight on January 31, 2028 (“Initial Term”), unless sooner terminated or otherwise extended as hereinafter provided. The Initial Term together with any extensions or renewals term, shall be the “Term.” SECTION 3. Fit Up; Occupancy Date. (a) Tenant’s Work. Following execution of this Lease, Tenant shall have a period of three (3) months (November 1, 2022 to January 31, 2023) to perform and complete fit up of the Leased Premises at its own cost and expense (“Fit Up”). Tenant’s Fit Up shall consist of the following: Tenant shall be responsible for paying for its own data and wiring; Tenant shall add three new walls to divide the existing larger offices into individual office suites, renovate the kitchenette, and add three new offices against the windows in the existing break room; and any other work deemed necessary by Tenant with prior approval of Landlord. Rent shall not be charged to Tenant during this three-month Tenant Fit Up period. Tenant shall be the applicant and obtain and pay for all required municipal and state permits and inspection fees for the Fit Up. Landlord, if necessary, agrees to be co-applicant on all such applications. In the event the Tenant does not obtain such municipal and state permits in a timely manner and without undue burdensome conditions, the Tenant may terminate this Lease upon 15 days’ notice to the Landlord. (b) Occupancy Date. Tenant shall commence paying rent and may begin occupancy of the Leased Premises on February 1, 2023 (“Occupancy Date”). If fit up is complete and Tenant is in compliance with all other requirements of this Lease, Tenant may occupy the Leased Premises prior to the Occupancy Date without the obligation of paying additional Rent. (c) Landlord’s Work. Prior to the Occupancy Date, Landlord shall install new carpeting, paint the walls, perform existing window and blind cleaning, and separate data service and provide tenant with a secure data closet/server room. SECTION 4. Base Rent; Adjustments; Deposit. (a) Tenant agrees to pay the Landlord rent in the amount of $15.00/gross square feet per year for a total annual rental of $100,200 (“Rent”). Rent shall be paid in monthly installments, commencing on the Occupancy Date, with the first monthly payment due on the Occupancy Date (February 1, 2023). No Common Area Maintenance (“CAM”) shall be added to the Rent as the Rent amount is intended to include CAM. i. Manner of Payment. Base Annual Rent and all other sums payable under this Lease shall be paid without notice or demand, and the obligations and 3 liabilities of Tenant under this Lease shall in no way be released, discharged or otherwise affected (except as otherwise expressly provided in this Lease herein or by operation of Vermont law) by reason of any occurrence whatsoever. Each installment of Rent shall be due and payable in advance, on the first of each month, time being of the essence. Rent for any period of less than a full month shall be equitably prorated. Rent shall be delivered to Landlord at the address set forth in Section 32 of this Lease. ii. Late Payment. If Tenant shall fail to pay Rent when Rent is due and payable, such failure may be cause for an Event of Default in accordance with this Lease. Further, if Tenant shall fail to pay Rent within ten (10) days from the date due, such unpaid amounts shall bear interest from the due date to the date of payment at the rate of three percent (3%) per annum. iii. No Accord and Satisfaction. No payment by Tenant or receipt by Landlord of a lesser amount than any rents or sums herein stipulated shall be deemed to be other than an account of the earliest stipulated rents or sums, nor shall any endorsement or statement on any check or any letter accompanying any check or payment as rent or any sums be deemed an accord and satisfaction, and Landlord may accept such check or payment without prejudice to Landlord's right to recover the balance of such rent or pursue any other remedy in this Lease provided. (b) The Rent set forth in Section 4(a) above shall be increased by two and one-half percent (2.5%) as of January 1, 2024, and annually by an additional two and one-half percent (2.5%) on every January 1 thereafter during the Initial Term hereof and any additional term. Rent shall not be increased on the January 1 immediately prior to termination of this Lease. For example, if this Lease is to terminate on January 31, 2028, Rent will not be increased by 2.5% on January 1, 2028. (c) Security Deposit. Concurrently with Tenant’s execution of this Lease, Tenant shall deposit with Landlord the sum of eight thousand three hundred and fifty dollars ($8,350) (one month’s Rent), to be held by Landlord as security for the full and faithful performance by Tenant of the terms, covenants, and conditions of this Lease (“Security Deposit”). Tenant agrees that Landlord may, without waiving any of Landlord’s other rights and remedies under this Lease upon the occurrence of any of the Events of Default described in Article 18 hereof, apply the Security Deposit; (a): to remedy any failure by Tenant to repair or maintain the Leased Premises or to perform any other terms, covenants or conditions contained herein, or (b) to compensate Landlord for damages incurred, or to reimburse Landlord as provided herein, in connection with any such Event of Default. Upon any breach of the foregoing obligations by Tenant, Landlord may apply all or part of the Security Deposit as full or partial compensation. Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on the Security Deposit. In no event may Tenant utilize all or any portion of the Security Deposit as a payment toward any rental sum due under this Lease. Any unapplied balance of the Security Deposit shall be returned to Tenant, or at 4 Landlord’s option, to the last assignee of Tenant’s interest in this Lease, within thirty (30) days following termination of this Lease and Tenant’s vacation of the Leased Premises. SECTION 5. Taxes; Utilities. As of the Commencement Date, the Landlord and Tenant shall be responsible for and pay the following: (a) Taxes: Landlord shall pay all real property taxes levied against the Leased Premises, if any, as well as any other municipal charges from time to time levied against the Leased Premises. Tenant shall pay any and all income taxes levied against Tenant as well as personal property taxes levied against the personal property of Tenant. (b) Utilities: Tenant shall pay its own Natural Gas, Electric, telephone, and internet costs and Tenant shall ensure that such utilities used by or supplied to the Leased Premises are in Tenant’s name. Tenant shall pay Tenant's pro rata share of actual costs of trash removal. (c) Operating Expenses: Tenant shall furnish and pay all costs for internal janitorial services within the Leased Premises. SECTION 6. Use of the Property. Tenant shall use the Leased Premises for offices and for lawful purposes related thereto. Landlord represents and warrants that the Leased Premises are properly zoned and permitted for office use. If the Tenant changes its initial use of the Leased Premises in a manner that necessitates application for zoning or planning approval or compliance with other municipal or state regulations, or installation of additional or new fixtures, systems or improvements at any time during the term of this Lease or any renewals thereof, Tenant will prosecute and bear the cost of such applications, installation and/or changes necessary to obtain compliance and approval and Landlord will cooperate and join in such proceedings as owner thereof. The Leased Premises shall not be used for any illegal purpose, nor in violation of any valid regulation of any governmental body, nor in any manner to create nuisance or trespass, nor in any manner to invalidate the insurance. SECTION 7. Representations and Warranties. Each signatory to this Lease warrants and represents that he or she has been duly authorized to execute this Lease on behalf of the party, that all required notices, votes and actions were taken by the party to enter into this Lease, and that this Lease is a valid and binding obligation of the party. SECTION 8. Insurance. 5 (a) Tenant shall Pay for and maintain a policy or policies of general liability insurance issued by companies licensed in Vermont, indemnifying Landlord, Tenant, mortgagee or mortgage guarantor as their interests may appear, against all claims or demands for personal injuries to or death of any person, and damage to or destruction or loss of property, which may or may be claimed to have occurred on the Leased Premises or in the vicinity of same, such policies to be in such amounts as Landlord may from time to time reasonably request based on coverage maintained on comparable properties in Vermont, but in any event, in an amount not less than $1,000,000.00 per occurrence for injury to or death of any one or more persons in any single accident and for damage to or destruction of property with at least a $2,000,000 aggregate limit. Tenant shall deliver a certificate evidencing that such insurance coverage is in full force and effect upon demand by Landlord. Said policy or policies shall provide that there will be no termination without at least thirty (30) days' advance written notice to Landlord of the intent to terminate. Should Tenant's use and occupancy of the Leased Premises make it prudent in the Landlord's reasonable judgment to require special insurance coverage, Landlord may notify Tenant of the additional insurance requirements and Tenant shall promptly obtain such policies. Tenant shall add Landlord as an Additional Insured on a Primary and Non-Contributory basis for this coverage. Tenant may obtain such insurance through PACIF, as operated by the Vermont League of Cities and Towns. (b) Tenant shall be responsible for maintaining any and all insurance upon Tenant’s property in and upon the Leased Premises and the value of any Tenant improvements to the Leased Premises, and Landlord shall not be held responsible for any damage thereto except as provided under this Lease. (c) Landlord shall insure the Leased Premises for loss, damage or destruction by fire and other casualty, including fire, vandalism, malicious mischief, flood, sprinkler leakage and all other matters covered by a standard extended coverage endorsement for one hundred percent (100%) of full insurable replacements costs. (d) To the extent permitted by such policies and without voiding the insurance provided thereby, the Tenant hereby waive their rights of subrogation. This paragraph shall not, however, in any manner limit the liability of the Tenant or the Landlord for damage to property or persons as a result of the negligence on the part of either party. If the Tenant is deemed negligent resulting in a property loss, the City shall be eligible for loss of rental income while the building is being rebuilt. Tenant shall furnish to Landlord upon request the policy or policies required by this Lease. (e) All insurance policies required by this Section 8 shall be obtained on or before the Commencement Date and kept enforced during the Initial Term or any renewal term: SECTION 9. Option to Extend; Termination. So long as Tenant is not in default hereunder, Tenant shall have the option to extend the Initial Term for five (5) additional years under all the same conditions as set forth herein, subject to Section 4(b) above, by notice given in writing to Landlord at least one hundred twenty (120) days prior to the expiration of the Initial Term of this Lease. 6 If Tenant exercises its options to extend the term of this Lease, Tenant shall have the option to terminate this Lease upon the date of expiration of the seventh year after the Occupancy Date (January 31, 2030) upon written notice to Landlord at least one hundred twenty (120) days prior to the expiration of such date. SECTION 10. Repairs, Maintenance, and Alteration. (a) Landlord's Obligations. Landlord covenants and agrees, during the Initial Term and any extension, if this Lease is extended, to perform necessary repairs and replacement to the roof, building foundation and structural walls of buildings, as well as the plumbing, fire protection, HVAC and mechanical systems which comprise the Leased Premises or in which the Leased Premises are located at its cost and expense, to the quality and class at least equal to the original work properly executed. Landlord shall not be required to make any such repairs where same were caused or occasioned by an act or omission or negligence of Tenant, any sub-Tenant or their employees, agents, invitees, licensees, visitors or contractors. Except for Landlord's negligence and/or intentional acts or those of its agents, servants, assigns, invitees or employees in the performance of Landlord's obligations as set forth in this Section, Landlord shall not be liable for interruption in or cessation of any service rendered to the Leased Premises due to any cause beyond the Landlord's control including, but not limited to: any accident; the making of repairs, alterations, or improvements; labor difficulties; fuel and electric supplies or shortages. (b) Tenant's Obligations. Except for maintenance and repair to be performed by Landlord pursuant to Section 10(a) hereof, Tenant shall, at its own cost and expense: (1) keep and maintain in good order, condition and repair, the Leased Premises, and each and every part thereof, excluding HVAC and Mechanical Systems and repairs, for which the Landlord is responsible under Section 10; (2) Tenant shall make all repairs and replacements to the Leased Premises made necessary as a result of its negligence and shall make all non-structural repairs and replacements to the Leased Premises that are reasonably required to keep and maintain the Leased Premises in good order and repair; (3) Tenant shall not install, operate or maintain any electrical equipment which will overload the electrical system, or any part thereof, beyond its reasonable capacity for safe and proper operation as determined by the Landlord, or which does not bear underwriter's approval; Tenant shall not perform, or permit to be performed, any act or carry on any practice which may damage, mar or deface the Leased Premises; (4) Tenant shall not store materials or equipment outside the buildings on the Leased Premises if such outside storage is prohibited by applicable permits; and (5) Tenant shall place all trash in receptacles in areas designated by Landlord. 7 Upon the default of Tenant in making such repairs and replacements, the Landlord may, but shall not be required to, make such repairs and replacements for the Tenant's account and the expenses thereof shall be collectable against Tenant as additional rent. If the Landlord desires to make any such repairs and replacements, the Landlord shall obtain the prior consent of the Tenant before making such repairs and replacements, unless an emergency exists that makes Tenant's prior consent impracticable. SECTION 11. Force Majeure. During the Term, Landlord or Tenant shall not be required to perform any term, condition, or covenant in this Lease so long as such performance is delayed or prevented by force majeure, which shall mean acts of God, epidemics, cyclones, floods, drought, or by reason of war, declared or undeclared revolution, civil commotion or strife, acts of public enemies, blockade or embargo, or by reason of any new law, proclamation, regulation, ordinance or demand by any government authority, and any other cause not reasonably within the control of Landlord or Tenant and which, by the exercise of due diligence, Landlord or Tenant is unable, wholly or in part, to prevent or overcome. SECTION 12. Reserved Access Rights of Landlord. Landlord reserves the right to enter the Leased Premises upon reasonable notice to Tenant during Tenant's regular business hours to make reasonable inspections, to make such repairs, alterations or additions as may be required or permitted under the provisions of this Lease; to exhibit reasonably the Leased Premises to prospective purchasers or to perform any act related to the safety, protection or preservation of the Leased Premises; and during the three month period prior to the end of the Term, for the purposes of exhibiting reasonably the Leased Premises to prospective Tenants. Landlord shall exercise these reserved rights of access in a manner that minimizes the disruption of Tenant's business operations. In emergency situations, Landlord may enter the Premises with little or no notice to Tenant at all hours to perform the maintenance required or permitted under the provisions of this Lease to abate the emergency. SECTION 13. Quiet Enjoyment. Landlord covenants that the Tenant upon paying the rent and complying with the provisions of this Lease, shall peaceably and quietly have, hold and enjoy the Leased Premises for the Term of this Lease. SECTION 14. Alterations, Improvements, and Additions. With exception of the Tenant’s Fit Up outlined in Section 3(a) of this Lease, no alterations, improvements or additions to the Leased Premises shall be made by Tenant without the prior written consent of Landlord which shall not be unreasonably withheld or delayed. With exception of Tenant’s Fit Up outlined in Section 3(a) of this Lease, all fixtures installed in the Leased Premises by Tenant shall remain the property of Tenant and may be removed upon the expiration or termination of this Lease; provided, however, that Tenant shall not cause damage to the Leased Premises in connection with such removal. Tenant shall also be entitled to remove the 8 following from the Leased Premises, which shall not be considered fixtures and shall remain at all times the personal property of Tenant: all personal property and all trade fixtures, machinery, office, racks and shelving. SECTION 15. Hazardous Materials. (a) Tenant shall not use, transport, store, dispose of or in any manner deal with hazardous materials on the Leased Premises or any adjacent lands and Leased Premises of Landlord (collectively the "Property"), except in compliance with all applicable federal, state and local laws, ordinances, rules and regulations. The term "hazardous materials" as used in this Lease shall include, without limitation, gasoline, petroleum products, explosives, radioactive materials, or any other substances or materials defined as a hazardous or toxic substance or material by any federal, state or local law, ordinance, rule or regulation. (b) Except as provided in Section 15(c), Tenant unconditionally and irrevocably indemnifies and agrees to defend and hold harmless Landlord and its officers, employees, agents, contractors and those claiming by, through or under Landlord, from and against all loss, cost and expense (including attorneys' fees) of whatever nature suffered or incurred by Landlord on account of the existence at or on the Property, or the release or discharge at, on, from or to the Property, during the Lease Term, of any hazardous material, including any claims, costs, losses, liabilities and expenses arising from the violation (or claimed violation) of any law, rule, regulation or ordinance or the institution of any action by any party against Tenant, Landlord or the Property based upon nuisance, negligence or other tort theory alleging liability due to the improper generation, storage, disposal, removal, transportation or treatment of any hazardous material or the imposition of a lien on any part of the Property under any law pursuant to which a lien or liability may be imposed on Landlord due to the existence of any hazardous material. Tenant unconditionally and irrevocably guarantees the payment of any fees and expenses incurred by Landlord in enforcing the liability of Tenant and this indemnification should Landlord prevail in such action. If any remedial work is required because of, or in connection with, any occurrence or event covered by the indemnity set forth in this Section 15(b), Tenant shall either perform or cause to be performed the remedial work in compliance with the applicable law, regulation, order or agreement, or shall promptly reimburse Landlord for the cost of such remedial work. If Tenant elects to perform the remedial work, all remedial work shall be performed by one or more contractors selected by Tenant and approved in advance in writing by Landlord and under the supervision of a consulting engineer, selected by Tenant and approved in advance in writing by Landlord. Otherwise, Landlord shall select the contractor(s) and the consulting engineer. All costs and expenses of such remedial work shall be paid either directly, or in the form of reimbursement to Landlord, by Tenant including without limitation, the charges of such contractor(s) and the consulting engineer, and Landlord's reasonable attorneys' fees and costs incurred in connection with monitoring or review of such remedial work. If Tenant shall fail to timely commence, or cause to be commenced, or fail to diligently prosecute to completion, such remedial work, Landlord may cause such remedial work to be performed, and all costs and expenses thereof, or incurred in connection therewith, shall be covered by the indemnity set forth in this Section 15(b). All such costs and expenses shall be due and payable upon demand therefor by Landlord. 9 (c) Landlord unconditionally and irrevocably indemnifies and agrees to defend and hold harmless Tenant and its officers, employees, agents, contractors and those claiming by, through or under Tenant, from and against all loss, cost and expense (including attorneys' fees) of whatever nature suffered or incurred by Tenant on account of the existence at or on the Property, or the release or discharge at, on, from or to the Property, prior to the Commencement Date or thereafter if such release or discharge is caused by the Landlord, its officers, employees, agents or contractors, of any hazardous material, including any claims, costs, losses, liabilities and expenses arising from the violation (or claimed violation) of any law, rule, regulation or ordinance or the institution of any action by any party against Tenant, Landlord or the Property based upon nuisance, negligence or other tort theory alleging liability due to the improper generation, storage, disposal, removal, transportation or treatment of any hazardous material or the imposition of a lien on any part of the Property under any law pursuant to which a lien or liability may be imposed on Tenant due to the existence of any hazardous material. Landlord unconditionally and irrevocably guarantees the payment of any fees and expenses incurred by Tenant in enforcing the liability of Landlord and this indemnification should Tenant prevail in such action. If any remedial work is required because of, or in connection with, any occurrence or event covered by the indemnity set forth in this Section 15(c), Landlord shall perform or cause to be performed the remedial work in compliance with the applicable law, regulation, order or agreement. If Landlord elects to perform the remedial work, all remedial work shall be performed by one or more contractors selected by Landlord and approved in advance in writing by Tenant and under the supervision of a consulting engineer, selected by Landlord and approved in advance in writing by Tenant. Otherwise, Tenant shall select the contractor(s) and the consulting engineer. All costs and expenses of such remedial work shall be paid either directly, or in the form of reimbursement to Tenant, by Landlord including without limitation, the charges of such contractor(s) and the consulting engineer, and Tenant's reasonable attorneys' fees and costs incurred in connection with monitoring or review of such remedial work. If Landlord shall fail to timely commence, or cause to be commenced, or fail to diligently prosecute to completion, such remedial work, Tenant may cause such remedial work to be performed, and all costs and expenses thereof, or incurred in connection therewith, shall be covered by the indemnity set forth in this Section 15(c). All such costs and expenses shall be due and payable upon demand therefor by Tenant. (d) The obligations of Landlord and Tenant under this Section 15 shall survive the termination of this Agreement. SECTION 16. Fire and Other Casualty. (a) If the Leased Premises or any portion thereof is damaged by fire or any other casualty and is unable to be occupied by Tenant, a proportionate part of the Rent shall be abated and suspended until the Leased Premises can again be fully occupied and have been restored to their former condition by Landlord, and this Lease shall remain in full force and effect. In the alternative, Landlord may, at its sole discretion, but not later than sixty (60) days following the damage, give Tenant notice of Landlord's election to terminate this Lease. If the Landlord does not terminate the Lease as aforesaid, Landlord shall commence restoration or repair of the Leased Premises within ninety (90) days after the date of the damage and shall complete restoration or repair in a diligent manner, but in no event more than one hundred fifty (150) days 10 after the date of the damage, unless Tenant has agreed, in writing, to a longer period of time. In the event that Landlord fails to repair or restore the Leased Premises in the manner set forth herein or otherwise fails to pursue such restoration or repairs in a diligent manner, the Tenant may terminate this Lease thirty (30) days after Tenant notifies Landlord in writing of such default and Landlord fails to make or complete said repairs or restoration within said thirty (30) day period. (b) Termination of this Lease in accordance with the foregoing provisions shall not prejudice the rights and remedies of Landlord and Tenant under this agreement prior to such termination, and any rent owing shall be paid up to such date and any payments of rent made by Tenant which were on account of any period subsequent to such date shall be returned to Tenant. SECTION 17. Eminent Domain. During the term of this Lease, if the whole of the Leased Premises or such portion which materially adversely affect the Tenant's use and enjoyment of the Leased Premises is taken in a condemnation proceeding or by any right of eminent domain, this Lease, at the option of Tenant, shall terminate on the date of such taking, and the rent and any additional Rent reserved herein shall be apportioned and paid to the date of such taking. The Tenant shall have no interest in any damages awarded the Landlord in compensation for any taking in condemnation or eminent domain with respect to the value of the Property and the Leased Premises. The Tenant may maintain a separate action for any damages sustained by Tenant by reason of said condemnation or proceeding for the taking of Tenant's leasehold estate, including personal property, trade fixtures and business loss. In the event of a partial taking that does not materially adversely affect Tenant's use and enjoyment of the Leased Premises, Landlord shall diligently restore the Leased Premises to the extent feasible and the Rent and any additional rent shall be adjusted in an equitable manner. SECTION 18. Default after Occupancy. If any one or more of the following events ("Events of Default") shall occur: (a) if the Tenant shall fail to pay any Rent, or other sum payable hereunder as the same becomes due and payable within ten (10) days after written notice from Landlord; or (b) if the Tenant shall fail to perform or comply with any terms of this Lease other than those referred to in subparagraph (a) above or with any term of any other agreement between the parties, and such failure shall continue for more than thirty (30) days after the Tenant receives written notice from Landlord or knowledge of such failure; provided, however, that if such default cannot reasonably be cured within said thirty (30) days period, no Event of Default shall occur if Tenant commences to cure within said thirty (30) day period and diligently pursues such cure; or (c) if the Tenant shall make a general assignment for the benefit of creditors or shall admit in writing its inability to pay its debts as they become due, or shall file a petition in bankruptcy, or shall be adjudicated a bankrupt or insolvent, or shall file a petition seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar relief 11 under any present or future statute, law or regulation, or shall file an answer admitting or not contesting the material allegations of a petition filed against it in any such proceeding, or shall seek or consent to or acquiesce in the appointment of any trustee, receiver or liquidator of the Tenant or any material part of its properties; or (d) if, within ninety (90) days after the commencement of any proceeding against the Tenant seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar relief under any present or future statute, law or regulation, such proceeding shall not have been dismissed or stayed (or within ninety (90) days after the expiration of any such stay such proceeding shall not have been dismissed), or if, within ninety (90) days after the appointment without the consent or acquiescence of the Tenant of any trustee, receiver or liquidator of the Tenant or of any material part of its properties, such appointment shall not have been vacated or stayed (or within ninety (90) days after the expiration of any such stay such appointment shall not have been vacated). Then and in such event, regardless of the pendency of any proceeding which has or might have the effect of preventing the Tenant from complying with the terms of this Lease, the Landlord may at any time thereafter, during the continuance of any such default, give a written termination notice to the Tenant specifying the Event of Default and a date (not less than ten days from the date of giving such notice) on which this Lease shall terminate, and on such date, subject to the provisions of this Lease relating to the survival of Tenant's obligations, the term of this Lease shall terminate by limitation and all rights of the Tenant under this Lease shall cease. Upon an Event of Default and subsequent termination of this Lease, Tenant shall immediately vacate the Leased Premises and surrender the same to Landlord in good condition, reasonable wear and tear excepted. Thereafter, Landlord shall use commercially reasonable efforts to relet the Leased Premises and Tenant shall pay to Landlord on the last day of each month, an amount equal to the average monthly rental due from Tenant for the twelve (12) months immediately prior to such termination, less the sum of the net receipts, if any to Landlord from the reletting of the Leased Premises (such net receipts to be computed by deducting from the gross receipts such expenses of Landlord in connection with putting the Leased Premises in good order and repair and with reletting the same, including all legal, brokerage and other costs incurred in connection therewith and/or on account of Tenant's default). Tenant's obligation to continue to pay Rent shall continue until the last day of the Term of this Lease as if this Lease had not in fact been terminated. If, after an Event of Default and termination, Tenant fails to vacate and surrender the Leased Premises, Tenant shall pay all costs reasonably incurred by Landlord in requiring Tenant to vacate, including reasonable attorneys' fees and disbursements. SECTION 19. Liability and Indemnification. (a) Tenant shall indemnify Landlord and save Landlord harmless from suits, actions, damages, liability and expense in connection with loss of life, bodily or personal injury or property damage arising from or out of the use or occupancy of the Leased Premises or any part thereof, except those arising from or out of any act or omission of Landlord, or its agents, 12 contractors, employees, servants, invitees, licensees, or concessionaires or a breach by Landlord of its obligations under this Lease Agreement, or occasioned wholly or in part by any act or omission of Tenant, its agents, contractors, employees, servants, invitees, licensees, or concessionaires, and Tenant shall indemnify Landlord and save Landlord harmless from such suits, actions, damages, liability and expense arising out of or caused by such breach, act or omission. Landlord shall be named an Additional Insured on a Primary and Non-Contributory basis for the Liability, Auto Liability, and Workers Compensation policies. (b) Tenant shall give prompt notice to Landlord in case of fire or accidents on the Leased Premises or of defects therein or in any fixtures or equipment. (c) Landlord shall indemnify Tenant and save Tenant harmless from suits, actions, damages, liability and expense in connection with loss of life, bodily or personal injury or property damage arising from any act or omission of Landlord, its agents, contractors, employees, servants, invitees, licensees, or concessionaires, or a breach by Landlord of its obligations under this Lease Agreement and Landlord shall indemnify Tenant and save Tenant harmless from such suits, actions, damages, liability and expense arising out of or caused by such breach, act or omission. SECTION 20. Accord and Satisfaction. No payment by Tenant or receipt by Landlord of a less amount than the monthly Rent herein stipulated shall be deemed to be other than on account of the earliest stipulated rent, nor shall an endorsement or statement on any check or any letter accompanying any check or payment as rent be deemed an accord and satisfaction and Landlord may accept such check or payment without prejudice to Landlord's right to recover the balance of such Rent or pursue any other remedy in the Lease provided. Partial payment shall only be construed as an accord and satisfaction if specifically set forth in a separate instrument signed by Landlord. SECTION 21. Subordination, Attornment and Collateral Assignment. (a) At the option of Landlord or any mortgagee, this Lease Agreement and the Tenant's interest hereunder, shall be subject and subordinate, upon terms and conditions consistent with this Lease, to any mortgage, deed of trust, or any method of financing or refinancing now or hereafter placed against the Leased Premises and to all renewals, modifications, replacements, consolidations and extensions thereof, provided that no subordination or subjecting of this Lease Agreement and Tenant's interest shall be effective until Landlord has obtained and delivered to Tenant a fully executed non-disturbance agreement in form satisfactory to Tenant, providing that so long as the Tenant performs all of its obligations hereunder and agrees to attorn to such mortgagee or beneficiary of deed of trust, then Tenant's right to possession under this Lease Agreement shall remain in full force and effect for the full term hereof, as extended, and further assurances from said mortgagee that it will claim no interest in Tenant's personal property of any kind or nature. (b) If the holder of record of a first mortgage of Landlord's interest in the Leased Premises shall have given prior written notice to Tenant that it is the holder of said mortgage and that such notice includes the address at which notices to such mortgagee are to be sent, then 13 Tenant agrees to give notice to the holder of record of such first mortgage, simultaneously with any notice given to Landlord to correct any default of Landlord as hereinabove provided, and shall permit the holder of record and such first mortgage to, within thirty (30) days after receipt of said notice, correct or remedy such default before Tenant may take any action under this Lease by reason of such default. (c) Tenant shall, in the event of the sale or assignment of Landlord's interest in the Leased Premises, or in the event of the issuance of a certificate of non-redemption in any proceedings brought for the foreclosure of a mortgage of Landlord's interest in the Leased Premises, or in the event of exercise of the power of sale under any mortgage made by Landlord covering the Leased Premises, attorn to the purchaser or foreclosing mortgagee and recognize such purchaser or foreclosing mortgagee as Landlord under this Lease, provided that any defaults are cured as provided in Section 18 above. (d) Notwithstanding any provision elsewhere in this Lease Agreement, the Tenant shall have the right to mortgage, grant a security interest in, or assign its interest in this Lease Agreement as collateral for loans (including renewals, modifications, replacements, consolidations and extensions thereof) from time to time without Landlord's prior consent or the prior consent of any mortgagee holding a mortgage on the Demised Leased Premises, provided that no such mortgage, security interest or assignment shall extend to or affect the fee, the reversionary interest, or the estate of the Landlord or any mortgagee in and to the fee to the Leased Premises. SECTION 22. Estoppel Certificates. Either party, upon written request of the other, shall furnish to the other party, a statement duly executed and acknowledged, to any mortgagee or purchaser, or any other person or entity specified in such request: (a) as to whether this Lease has been amended and the substance of such amendment; (b) as to the validity and force and effect of this Lease; (c) as to the existence of any default hereunder; (d) as to the existence of any offsets, counterclaims or defenses hereto on the part of the party executing the certification; and (e) as to any other matters as may reasonably be so requested, so long as any requested provisions do not alter the provisions of this Lease Agreement. This statement must be furnished within ten (10) days after receipt of the request and the contents thereof shall be binding upon the party executing the certification. SECTION 23. Surrender of Leased Premises; Holding Over. 14 (a) At the expiration of the Lease Term or any extension term, Tenant shall surrender the Leased Premises in the same condition in which they were upon the Occupancy Date, reasonable wear and tear excepted, and shall deliver all keys and combinations to locks to Landlord. Before surrendering said Leased Premises, Tenant shall remove all personal property including all trade fixtures, and shall repair any damage caused thereby as provided in Section 10(b). Tenant's obligation to perform this provision shall survive the Lease Term. If Tenant fails to remove its property upon the expiration of the Lease Term, Landlord may, among other remedies, cause such properties to be removed and disposed of with the costs of such removal and disposal to be borne by the Tenant. (b) Any holding over after the expiration of the Lease Term or any renewal term shall be construed to be a tenancy at will, and shall be on the terms herein so far as is applicable, except that Landlord reserves the right to increase the Rent upon thirty (30) days' advance written notice to Tenant, and such tenancy shall be terminated upon thirty (30) days' advanced written notice by either party. SECTION 24. Successors and Assigns. All rights and liabilities herein given to, or imposed upon, the respective parties hereto shall extend to and bind the several respective heirs, executors, administrators, successors and assigns of the said parties; and if there shall be more than one Tenant, they shall all be bound jointly and severally by the terms, covenants and agreements herein. No rights, however, shall inure to the benefit of any assignee of the Tenant unless the assignment to such assignee has been approved by Landlord in writing, as provided in Section 25 hereof, except as may be permitted under Section 21(d) hereof. SECTION 25. Assignment, Subletting. Except as provided in Section 21(d) hereof, the Tenant shall not assign this Lease, or sublet the Leased Premises nor any part thereof without the written consent of the Landlord; provided, however, that such consent shall not be unreasonably withheld or delayed upon the Landlord having been provided adequate information to make an informed judgment that any assignee or subtenant has the financial ability to carry out the terms and obligations of this Lease, or the terms of the proposed sublease, and upon securing written confirmation from Tenant that it shall remain fully liable for the performance of this Lease. SECTION 26. Signs. With the prior written consent of Landlord for each installation or display, Tenant may install or display signs, logos or advertising medium on the outside of the Premises or other portions of the Property or the building thereon; after obtaining Landlord’s consent to Tenant’s sign design, Tenant must obtain all necessary permits and approvals for the proposed sign, display or advertising medium from all government authorities and agencies with or claiming jurisdiction over the Premises prior to installation or display. SECTION 27. Broker Commissions. 15 Landlord and Tenant each warrant to the other that, in connection with the Lease of the Premises, other than Ryan Nick of J.L. Davis Realty, and Michael Simoneau of Geri Reilly Real Estate, neither party had dealt with any real estate broker or agent. Each party shall pay their own broker per a separate agreement with their broker. Neither party shall have an obligation to pay any real estate commissions to any agents or brokers claiming by or through the other, and each party agrees, to the extent permitted by law, to indemnify and hold harmless the other for all claims or demands of any other real estate agent or broker claiming by, through, or under such party. This indemnification shall also include payment of costs and attorneys’ fees incurred by a party in defense of a claim for such real estate commissions or fees. SECTION 28. Non-Waiver. (a) No agreement to accept a surrender of the Leased Premises prior to the expiration of the Lease Term shall be valid unless in writing and signed by an authorized representative of Landlord. The delivery of keys by or on behalf of Tenant for any part of the Leased Premises to any employee or partner of Landlord or to Landlord's agent or any employee of such agent shall not operate as a termination of this Lease or as a surrender of the Leased Premises. (b) The failure of Landlord or Tenant to seek redress for violation or breach of, or to insist on the strict performance of, any covenant of this Lease whether by express waiver or otherwise, shall not be construed as a waiver of any subsequent violation or breach or the same covenants. (c) The receipt by Landlord of rent with knowledge of the breach of any covenant of this Lease shall not be deemed a waiver of such breach. (d) The failure of Landlord to enforce any of the rules and regulations against Tenant or any other tenant in the Property shall not be deemed a waiver of any such rule or regulation. (e) Landlord's consent to, or approval of, any act by Tenant requiring Landlord's consent or approval shall not be deemed to waive or render unnecessary Landlord's consent to or approval of any subsequent similar act by Tenant. SECTION 29. Severability. It is the intention of the parties hereto that if any provision of this Agreement is capable of two constructions, one of which would render the provision valid, then the provision shall have the meaning which renders it valid. If any term or provision or any portion thereof of this Lease, or the application thereof to any person or circumstances, shall, to any extent, be invalid or unenforceable, the remainder of this Lease, or the application of such term or provision to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby and each term and provision of this Lease shall be valid and be enforced to the fullest extent permitted by law. SECTION 30. Entire Agreement, Applicable Law. 16 This Lease with any exhibits and riders attached hereto contains the entire agreement of the parties and no representations, inducements, promises or agreements not embodied herein shall be of any force or affect, unless the same are in writing and signed by or on behalf of the party to be charged. The captions of particular sections are inserted as a matter of convenience and in no way affect or define the scope or intent of this Lease or any provision thereof. This Agreement shall be governed by and interpreted in accordance with the laws of the State of Vermont. SECTION 31. Captions. The captions and numbers appearing herein are inserted only as a matter of convenience and are not intended to define, limit, construe, or describe the scope or intent of any section or paragraph, nor in any way affect this Lease. SECTION 32. Notices. Any notice required to be given by the terms of this Lease shall be in writing, and if mailed, deemed received three (3) days after deposit in the United States mail, or if transmitted by facsimile, deemed received on the date of such facsimile. If to Landlord: City Manager City of South Burlington 180 Market Street South Burlington, VT 05403 If to Tenant: Chittenden Solid Waste District 1021 Redmond Road Williston, VT 05495 Attn: Executive Director SECTION 33. Unwanted Pests. The Tenant shall be responsible for the control and removal of unwanted pests from the Leased Premises, including but not limited to rodents, insects and reptiles, and will protect the Leased Premises from infestation of same. SECTION 34. Recording. Landlord and Tenant agree that this Agreement shall not be recorded. Recordation of this Lease in a public record shall automatically terminate this Lease and it shall be null, void, and of no further force and effect unless Landlord specifically nullifies the automatic termination in writing. At Tenant's option and expense, a memorandum of lease may be recorded in accordance with 27 V.S.A. § 341(c). SECTION 35. Waiver of Jury Trial. 17 In the event the Landlord shall commence any summary proceedings or action for nonpayment of Rent or additional rent hereunder, Tenant shall not interpose any counterclaim of any nature or description in such proceeding or action, except for mandatory counterclaims, but shall advance any claim which it may have in and independent proceeding. The parties hereto waive a trial by jury on any and all issues arising in connection therewith, or the Tenant's use or occupancy of the Leased Premises. In the event Tenant shall commence any action against Landlord for failure to perform any of the covenants or agreements herein contained to be kept and fulfilled on the part of the Landlord, the parties hereto waive a jury trial on any and all issues arising in connection therewith. [This Space Intentionally Left Blank. Signature Page to Follow] 18 IN WITNESS WHEREOF, the parties hereto have executed this Lease Agreement, as of the date first above-written. IN PRESENCE OF: CITY OF SOUTH BURLINGTON, Landlord _____________________________ By: _____________________________________ Witness Its Duly Authorized Agent CHITTENDEN SOLID WASTE DISTRICT, Tenant _____________________________ By: ______________________________________ Witness Its Duly Authorized Agent STATE OF VERMONT COUNTY OF _________________________________, SS. At ___________________________ in said County and State, this ___ day of __________________, 2022, personally appeared Jessie Baker, Duly Authorized Agent of the CITY OF SOUTH BURLINGTON, and she acknowledged the foregoing instrument, by her subscribed, to be her free act and deed and the free act and deed of the CITY OF SOUTH BURLINGTON. Before me, ____________________________ Notary Public Commission Number: My Commission Expires: STATE OF VERMONT COUNTY OF _________________________________, SS. At ___________________________ in said County and State, this ___ day of __________________, 2022, personally appeared _________________, Duly Authorized Agent of the CHITTENDEN SOLID WASTE DISTRICT, and he/she acknowledged the foregoing instrument, 19 by him/her subscribed, to be his/her free act and deed and the free act and deed of the CHITTENDEN SOLID WASTE DISTRICT. Before me, ____________________________ Notary Public Commission Number: My Commission Expires: 8709000_1:04341-00002