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HomeMy WebLinkAbout20051116smuggermtMEETING DATE: November 16, 2005 AGENDA ITEM TITLE: AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF PITKIN COUNTY, COLORADO AUTHORIZING THE PURCHASE, ACCEPTANCE AND ACQUISITION OF SMUGGLER MOUNTAIN PROPERTIES STAFF RESPONSIBLE FOR ITEM: John M. Ely, County Attomey DESCRIPTION OF ISSUE: This is the second reading and public hearing of an ordinance authorizing the purchase, acceptance and acquisition of Smuggler Mountain properties from George M. Wilkinson. The Smuggler Mountain area, east of Aspen, in Pitkin County has remained largely undeveloped during the growth of the resort community. As an open space area, the citizens of Pitkin County have long enjoyed the public land associated with Smuggler Mountain as well as the Smuggler Mountain county road, for their recreational opportunities and open vistas. Though the area's open space qualities have long been appreciated, efforts to negotiate acquisition of these properties has only been contemplated in recent years since the establishment of the Pitkin County Open Space and Trails program and fund. Several property interests in the Smuggler Mountain area have already been acquired through the use of Pitkin County Open and Space and Trails funds to preserve some of this area as open space and to greater insure the recreational opportunities of the citizens of Pitkin County. Approximately five years ago, Pitkin County attempted to negotiate the sale and purchase of the majority of land in private ownership on Smuggler Mountain with Mr. George M. Wilkinson. These early negotiations produced no result. The Board of County Commissioners and Open and Space and Trails Board have not been willing to engage in any condemnation actions to acquire open space on Smuggler Mountain from private property owners, with the result being the potential for development of this open area within Pitkin County and adjacent to the City of Aspen. Following the establishment of its open space fund, the City of Aspen also attempted to acquire property on Smuggler Mountain to be preserved as open space. This effort likewise yielded no result. At this time, Mr. Wilkinson desires to work with Pitkin County and the City of Aspen to preserve his property as open space for the benefit of the community through the sale of his assets and the assets of corporations controlled by him on Smuggler Mountain. A contract has been negotiated with Mr. Wilkinson wherein he and his corporate interests will receive $15,000,000.00 from both Pitkin County and the City of Aspen in equal measure and all of his interests on Smuggler Mountain, including water rights and mineral interests shall be conveyed to the two participating governmental entities for preservation of open space. The contract negotiated with Mr. Wilkinson has several contingencies. The contract provides for a standard title inspection and physical inspection of the property including an environmental assessment, is contingent upon the review and recommendation for acquisition by the County's Open Space and Trails Board, and is contingent upon the participation of the City of Aspen in one half (1/2) of the costs of this acquisition. Due to Mr. Wilkinson's current state of health, it is anticipated and hoped that this contract, after ratification, may be closed before the end of this calendar year. RECOMMENDATION: Adopt ordinance. ATTACHMENTS: Proposed Ordinance AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF PITKIN COUNTY, COLORADO AUTHORIZING THE PURCHASE, ACCEPTANCE AND ACQUISITION OF SMUGGLER MOUNTAIN PROPERTIES ORDINANCE # -2005 Recitals 1. The greater Smuggler Mountain area, located east of the City of Aspen in Pitkin County, has remained largely vacant and undeveloped during the growth of the resort community. 2. The public land areas around Smuggler Mountain as well as the Smuggler Mountain county road have become heavily utilized recreational amenities for the residents of Pitkin County. This area of Pitkin County stands in dramatic contrast to other areas of private land surrounding the City of Aspen, which have been subject to intense development densities over the years. 3. Recently, since the inception of the voter-authorized Open Space and Trails program and fund, Pitkin County has been able to acquire some property interests in the Smuggler Mountain area. These properties have been acquired in order to maintain open space and recreational amenities for Pitkin County residents. However, the majority of land on Smuggler Mountain has continued to be held in private ownership with a development potential that could dramatically change the character of the mountain and the surrounding community. 4. The majority of the property on Smuggler Mountain is owned or controlled by George M. Wilkinson. Negotiations between Pitkin County and Mr. Wilkinson have presented an opportunity to acquire his properties for their open space and recreational benefits to the community while compensating Mr. Wilkinson for their value. NOW, THEREFORE, BE IT ORDAiNED, that the Board of County Commissioners approves the purchase of real property on Smuggler Mountain particularly the mining claims known as: Tiger, USMS 3937; Snowstorm and Rainstorm, USMS 6270; Rainstorm No. 2, USMS 6318; Regent, USMS 3936; Park, USMS 3935; Lizzie, USMS 4702; Alpine and Bushwacker, USMS 6642; North Star, USMS 6145, Jay Gould, USMS 1794; Cascade No. 2, Joplin No. 2 and Iowa No. 2, USMS 6948; Ballarat, USMS 4438; General Jackson, USMS 3941; J.C. Johnson, USMS 1436; Robert Emmet, USMS 6044 and Pride of Aspen, USMS 7883, along with associated mineral and water interests from George M. Wilkinson, Echo Films and Fidelity Trust Building, Inc. This acquisition shall be for a total price of $15,000,000.00, contingent upon contribution and participation by the City of Aspen of one-half (½) of the total purchase price and costs to accept these properties with Pitkin County. It is further ordained that the Chair or Chair's designee is authorized to execute all OP, mNA~CE # -2005 PAGE 2 contracts, documents, settlements, warrants and all other instruments, in the form approved by the County Attorney, to effectuate the acquisition and the purchase of all real estate, water rights and mineral interests owned or controlled by Mr. Wilkinson, Echo Films and Fidelity Building Trust, Inc., located on or near Smuggler Mountain in unincorporated Pitkin County. The Board of County Commissioners finds that adoption of this ordinance is necessary for the immediate preservation of the public health, safety and welfare of the citizens of Pitkin County and therefore declares this ordinance and legislation to be effective immediately. INTRODUCED, FIRST READ AND SET FOR PUBLIC HEARING ON THE 2sD DAY OF NOVEMBER 2005. NOTICE OF PUBLIC HEARING PUBLISHED 1N THE ASPEN TIMES WEEKLY ON THE 6m DAY OF NOVEMBER 2005. APPROVED UPON SECOND READ1NG AND PUBLIC HEARING ON THE 16m DAY OF NOVEMBER 2005. PUBLISHED AFTER ADOPTION IN THE ASPEN TIMES WEEKLY ON THE DAY OF ,2005. THIS ORDINANCE SHALL BECOME EFFECTIVE IMMEDIATELY AFTER FINAL ADOPTION BY THE BOARD OF COUNTY COMMISSIONERS. ATTEST: BOARD OF COUNTY COMMISSIONERS OF PITKIN COUNTY, COLORADO Jeanette Jones, Deputy Clerk Patti-Kay Clapper, Chair County Manager: Approved as to Form: Hilary Fletcher Smith John M. Ely, County Attorney