$500 month but no overnight guests

[ by Mark Reaman ]

Applications are being accepted for people interested in obtaining an affordable rental room in the former Ruby Bed and Breakfast in Crested Butte. The 3,300-square-foot building was purchased by the town of Crested Butte earlier this summer for $2.3 million with the intent of housing some of its seasonal workers. There are six bedrooms in the building and a total of nine available beds.

No rooms are yet leased as the application process is starting in earnest this week and the goal is to get workers in the rooms as quickly as possible. The town has contracted with the Gunnison Valley Regional Housing Authority (GVRHA) to vet the applications and manage the property. The organization is being paid $1,000/month. According to GVRHA executive director Jennifer Kermode, no town employees have submitted an application for a room.

“The space is set and rooms are ready for lease-up,” Kermode said. “The monthly rent will be $500/person/room and includes all utilities and TV. Each room has its own full bath.”

She said the building also has storage space, two living rooms, an outside deck and backyard. Located on Gothic Avenue, it is close to downtown and the Mountain Express bus stop. There is also a washer-dryer facility and large shared kitchen.

“It is a neat, clean, fun, affordable place to call home,” Kermode promised.

Kermode said the configuration is that the Ruby has five one-bed rooms where the GVHRA will allow single person occupancy or two co-habitating persons per room, and one suite style room with four beds with a king bed and three twins in a loft.

Tenants must be employed in Gunnison County. The minimum lease term is three months but could go longer. Pets are not allowed. All utilities including basic Internet are included in a resident’s rent.

According to the Ruby information document, “applicants who do not work for the Town of Crested Butte must provide an application and proof of local employment at a brick-and-mortar business at the north end of the Gunnison Valley. An applicant must show that they are scheduled, or plan to be scheduled an average of 32 hours a week on an annual basis. Residents’ anticipated annual income must also be below 100 percent of Gunnison County Area Median Income (AMI) as listed at GVHRA.org/documents. Since communal living is very close quarters, guests will not be allowed. If any resident has an overnight guest, they will be fined $500 per incident and will receive a three-day notice to vacate after the second incident.”

If interested in submitting an application, email Chris Peterson at cpeterson@gvrha.org.

Everyone will likely be paying something

[ By Mark Reaman ]

Crested Butte voters will be deciding this fall whether to approve two ballot issues containing three tax increases that will generate money earmarked for affordable housing projects. On a 6-1 vote Monday, the council agreed to ballot language to put before town voters asking for the implementation of a new $2,500 ‘Community Housing Tax’ on second homes in town not occupied at least six consecutive months a year along with undeveloped residential lots. That would be on the same ballot question as a .5 percent increase in the town sales tax that would bring the total sales tax in town to 9.9 percent but not apply to groceries. A separate 2.5 percent increase in the vacation rental (short-term rental) tax currently at 5 percent would be on the ballot as well.

Together, that is expected to bring in about $1.6 million annually. The $2,500 fee would go up each year based on the Consumer Price Index (CPI). The November ballot question will ask voters to allow the town to borrow against the projected revenue through a bond issue so it could leverage the new tax for immediate projects related to affordable housing. The three most cited projects the money would go to include the build out of remaining lots in Paradise Park, a workforce housing project at Sixth and Butte and funding for a proposed InDeed program that would purchase deed restrictions on free market homes.

Crested Butte town manager Dara MacDonald told the council that the deadline to submit ballot language to the county was early September. Given their schedule, the August 16 meeting was the last regular meeting for council to make a decision before the deadline.

She said specific details about issues like possible exemptions to the Community Housing Tax would be set out in the so-called enabling ordinance that she recommended the council discuss and agree to in September and October before the actual vote on November 2. She made clear that any future council could change the ordinance if desired, but the ballot language would be set in stone.

Town attorney Barbara Green said the length of the ballot language was limited by state regulation so using an ordinance to drill down on details was not unusual. “It is important for the community to hear the details before the vote,” she emphasized.

Councilmember Jasmine Whelan said she felt the council could accomplish that goal this fall.

Mayor Jim Schmidt said major details were still up in the air and wondered what sort of charitable donation might be cause for an exemption to the tax.

Councilmember Mona Merrill said in the spirit of fairness, that and other details should be decided by the council while voters had a chance to evaluate those issues.

When councilmember Jason MacMillan suggested that putting in a sunset clause to let the tax expire after a given number of years might be more palatable to voters, MacDonald said new numbers would have to be calculated for the ballot language and a special council meeting might be needed.

Councilmember Will Dujardin made the point that by not including a sunset clause, the town had better bonding capability which was a big plus when it came to workforce housing projects.

Green noted that paying off a bond debt was not restricted to the new tax revenue but could come from other town revenue sources under the proposed ballot language.

Public pros and cons
As has been the case for weeks, public comment came down on both sides.

“I disagree in general about this given the division it creates in the community with second homeowners, but you all have done a good job settling on the $2,500 fee,” said Brennan Reilly. “That is a reasonable amount. I agree with John Spencer’s idea that this is like a homestead tax that many of us get in our home states. I also like pairing it with a sales tax that everyone has to pay.” He suggested not including the CPI adjustment.

Marco White said that as a board member of a local non-profit organization his concern was that despite coming to agreement over the $2,500 it would still be a “slap in the face” to some second homeowners who might then curtail donations to local non-profits.
Ian Billick said that bringing the fee down to $2,500 was a big step as was linking it to a sales tax increase. “The affordable housing problem will not get easier down the road so I would not want to sunset it. I have been a skeptic of this but think you have done a good job of making this ‘sausage’ and I support it as presented.”

Jim Day said he still found the idea unpalatable. “It still feels too rushed and while the idea may be good, the plan is not developed,” he said. “I wish the council had more collaborative outreach to the second homeowners. This could use a lot more research and discussion. The goal is a good one but it rubs me the wrong way to say second homeowners can afford to pay this but they can’t vote on it.”

Margot Levy said the package had many revenue tools which was a good thing. “The CPI provision just ties it to reality,” she said. “The only reason to include a sunset is if you think the need for affordable housing will be less in the future. And that’s not likely.”
John Spencer disagreed and said including a CPI index “compounds the feeling of unfairness. There is no hedge for the second homeowners. If inflation takes the $2,500 to zero then revote.” He also wanted to guarantee the council planned to take any rent revenue generated from housing projects and use it for housing. He said that hadn’t been discussed by the town and it could be millions of dollars over time so it shouldn’t be used for other town endeavors.

Beth Goldstone said she was excited for the issue to go to local voters. “The $2,500 sounds very reasonable especially given the amount of property tax paid here compared to other places,” she said.

Anna Fenerty said she understood the unfairness being felt by second homeowners, but as a person born in Crested Butte, she was grappling with the busyness of the place she hasn’t been able to enjoy this summer. “That too feels unfair, so there is unfairness on both sides,” she said.

Haden Spencer said the feedback she is hearing is that the decision is being rushed. “There is still a lot of tension over this,” she told the council. “The CPI sends a message that the pockets of second homeowners are so deep it doesn’t matter.”

Laura Yale said she felt the division in the community wasn’t over this discussion but rather about the increasing wealth inequality in Crested Butte.

Jerry Baker said he rents his accessory dwelling unit so he understands the issue, but wanted a more concrete plan on where the money would eventually go.

Odyssey said the fact that there are no bus drivers for students and restaurants are compromised by short staffs was reason to move forward with the ballot issue. “It is a right now issue,” he said.

Kyleena Falzone said second homeowners who choose to make a charitable contribution instead of pay the fee should be able to choose which project their money goes toward.

Glo Cunningham was not a fan of the tax proposal. “Affordable housing is in a state of crisis and getting money quickly is important,” she said. “But many old-timer families are sad this is happening and have said they might have to sell their family home and leave after generations. I still believe in a commission made up of locals and second homeowners who work together to raise money for housing. I think it would work. And I think any donation that merits an exemption must go to affordable housing.”

Council comments
Councilwoman Mallika Magner said the affordable housing issue has been in Crested Butte a long time and it won’t go away any time soon. She spoke in favor of using the CPI index to adjust the Community Housing Tax annually. She also spoke against a sunset clause so that bonding could be more easily utilized. “I don’t think this tax will incentivize any new long-term rentals but it does provide an income stream. Combining the sales tax with the Community Housing Tax shows that locals are willing to share the pain and put skin in the game. That is important.”

Whelan said it was important to bring the issue to the voters. “As for divisiveness, the community is splintering already because of the lack of affordable housing. The workers are being forced to move. It is tragic.” She said having a regular income stream would help everyone that is part of the Crested Butte community. She also emphasized the importance of fleshing out and communicating the details of the issue in the next couple of months.

Saying the proposal was a good compromise, Merrill agreed the continuing conversation about details was important and encouraged the continued involvement of all the public.

Dujardin said he was excited over the progress made the last couple of weeks and felt using the CPI to adjust the fee annually was equitable and fair. “Seeing the continued displacement of friends and family is hard on all of us. Tying this to a sales tax increase shows the community coalition. It’s part of coming together. We’re investing in our community’s future and the community gets to make the decision. This process has not been pretty at times but is has been good community coalition.”

MacMillan said the new taxes would make a real difference. “I hope it helps stabilize the community and helps save what is left,” he said. “It has been messy at times but been a good process to have so many people participate. This is a way to use all the tools in the tool belt. It can make a big dent in the problem.”

“There is a lot more to do,” added councilmember Chris Haver. “I have wanted this to be as fair and inclusive as possible. I wasn’t for a dark house tax but pairing it with the sales tax made it better. The money is needed and action is needed.”

Schmidt again stated he felt an empty house tax was not fair. “To single out second homeowners isn’t fair,” he said. “Using a flat tax is not fair. It will chase out the poorest of the second homeowners who have been here for many years and are a part of the community. A mill levy would have been more equitable. I think many people will find a way around this with the exemptions. But I can see the writing on the wall.”

He did indeed as the council voted 6-1 to send the proposed language to the November ballot. Schmidt was the lone vote against the action.

Details still being worked out

[ by Mark Reaman ]

A group of Crested Butte area second homeowners have stepped up to address the affordable housing situation in Crested Butte. The investment group has put the former Crested Butte Hostel under contract with the intent to house local workers.

While details have not yet been ironed out, the group has partnered with local businessperson Kyleena Falzone and the purpose is to quickly house local employees at reasonable rental rates by next ski season. It was emphasized that the deal is not yet finalized and a lot of pieces still have to fall into place.

Located at 615 Teocalli Avenue, the building is currently owned by Eleven Experience and holds 14 dormitory style rooms and two two-bedroom apartments.

The building includes a large common living area and a big kitchen that would be shared. The CB Laundromat is also located in the building and there are no plans to stop running it.

While excited that the building is under contract, details of how it would accommodate workforce housing are not yet worked out. The deal is not complete until the transaction is closed later this fall. The investor group members want to remain anonymous at this time.

Board members of the Gunnison Valley Regional Housing Authority said this week that they plan to meet with the investor group to determine how the organization can possibly help facilitate the plan to house workers. Falzone said meetings between the investors and with local housing officials will be taking place in the next couple of weeks. In the meantime, Falzone is seeking input from other local businesses on how best to utilize the space.
Stay tuned….

Working with Cattlemen’s Days, other groups to maintain use of spaces

[ By Katherine Nettles ]

The Gunnison County fairgrounds sits on 24 acres on the south end of the city of Gunnison, and is home to rodeo grounds and indoor facilities that host rodeo, roping, horse show, 4H club and myriad other events and community gatherings. That location may soon be host to yet another game in town—affordable housing. During their August 3 meeting, county commissioners discussed developing affordable housing there and ultimately gave direction to staff to pursue a housing project on a 1.9 acre parcel of land within the fairgrounds. County officials met with a group of stakeholders last week who would be impacted by developing part of the fairgrounds, and said Tuesday that everyone could have something to gain from the potential project without any uses being lost.

Gunnison County sustainability coordinator John Cattles gave a brief presentation to commissioners on Tuesday highlighting the county-owned 24 acre-space that contains the fairgrounds. He explained that producing up to 42 housing units on 1.9 acres there would be a relatively quick turnaround because the site is flat and already has utilities and zoning in place. “It would be a fraction of the process that we’ve gone through with our other projects.” …this is an opportunity to try and address the housing economic crisis as quickly as possible.” Cattles said it would be ambitious, but construction could potentially begin as early as next year.

Commissioner chairperson Jonathan Houck said looking at all the county-owned property north and south, a project at the fairgrounds would be a quicker project, which has an appeal. Addressing the current fairground’s many uses, Cattles said the county has hired a landscape architect to review the entire use of the fairgrounds.

Officials also held a meeting with representatives from the 4H Club, Cattlemen’s Days, the CSU Extension office, the roping club and various other users to consider what accommodations they would need to make or how to reposition the site so the current uses can continue.

Houck said some of the conversation focused on how developing the area around the fairgrounds might bridge community involvement in the events there, especially regarding 4H and other youth programming.

“The group was optimistic that we could make this work and even make improvements to what it there,” said Cattles.
Mike Dawson, who is the current president of Cattlemen’s Days, was also at the meeting.

Dawson said he had concerns about bringing in residential uses to an area that sees a flurry of commercial activity and public use from early spring through late fall, often late into the night. He noted that the grounds are used for everything from weddings and quinceaneras to committee meetings and HOA conferences. Dawson said he uses the facilities at the fairgrounds for a variety of his own activities such as roping and horse shows as well.

“Our position was you need to be conscious about what happens when there are new homeowners or renters and think of that existing commercial use. We also suggested they look into some fencing,” he said, to provide a barrier between housing and the public areas.
As for making improvements, Dawson said a fairgrounds improvement master plan already exists but hasn’t gained traction. “We’ve had this plan for over a decade,” he said.

“And the county said they would plan for a location for the carnival, but until we see an actual plan for it, it’s hard to say,” he said of his general impression.

Commissioners passed a resolution indicating their support and directed staff to work toward getting a Request for Proposals (RFP) out. They agreed to take an approach of asking the private sector to present a vision for the space and to take it from there. They also authorized county manager Matthew Birnie to sign documents on behalf of the board to that end.

The current high costs of construction will be an issue, said Birnie, and the project would need to be subsidized beyond the county’s land subsidy. All agreed it would be mostly deed restricted whether for sale or rent.

“The only way we will move forward is if it is affordable housing,” said Birnie. That may include some market rate units, but only to achieve the affordability goal, he said.

Cattles said he will also be applying for DOLA (Department of Local Affairs) grant funding to offset energy efficiency costs.
Gunnison Valley Regional Housing Authority executive director Jennifer Kermode said condo lending is becoming available again after a period where it was generally not available, and recommended having both rentals and for sale units there.

Conversation shift from “you need to help us” to “we need your help”

[ By Kendra Walker ]

About 60 members of the Crested Butte community showed up last week to Butte Bagels to express their concerns with the current local housing crisis and brainstorm ideas for how to help solve the problem. The takeaways: show up to the conversation and be a part of the solution.

Butte Bagels owners Cole Thomas and Eric Rankin, who had spoken up at a recent council meeting expressing their concerns about housing and hinting at organizing a possible Fourth of July Elk Avenue business strike, hosted the May 26 community meeting.

Both Thomas and Rankin noted that over the past couple weeks since, they’d had the opportunity to learn about what the town and regional partners across the county are currently working on regarding affordable housing (see Crested Butte News article “The affordable housing conundrum: What’s out there and what’s coming soon in the Gunnison Valley” from May 28 issue).
“We got totally schooled. The town is working super hard,” said Thomas, who emphasized that a Fourth of July strike was no longer on the table. But he pointed out that folks have to show up to town meetings to advocate for change, “This turnout [tonight] is way bigger than a council meeting,” said Thomas.

Rankin agreed, “We as a town have to come to council meetings and present these ideas,” he said. ”We all want the same thing. We all want to live here.”

Several members of Crested Butte town staff, town council and Mt. Crested Butte town council attended the meeting and helped provide information and answer questions about what’s happening in the valley to create more affordable housing. They also encouraged folks to continue the conversation at upcoming events, including the Town Picnic on June 4 at Rainbow Park, the next town council meeting on June 7 through Zoom and a Gunnison Valley Community Forum focusing on the housing crisis on June 9 at the CB Center for the Arts.

Shifting the conversation
Attendees agreed that the conversation needs to shift from complaining about the issue to working together to find solutions. Additionally, folks agreed the community mentality around affordable housing needs to be more inclusive to all Crested Buttians – local workers, business owners, part-time residents, second homeowners, etc. Solving the housing crisis is in everyone’s best interest, someone pointed out, as finding a solution that allows local employees to live here will help our local businesses thrive and will also allow for visitors and second homeowners to enjoy this place to its fullest (and for property values and short-term rental revenues to stay at desirable levels).

Many in the crowd also emphasized that second homeowners are not the enemy; many go out of their way to rent their homes long-term to locals, regularly patronize local establishments and donate to local non-profits. Rather than pointing fingers, educating them would be more productive. Many restaurant employees talked about putting up signs or banners explaining the reason for short staffing, longer waits and decreased business hours was due to lack of housing, and encouraging donations to the Valley Housing Fund.

“If we say, ‘We need your help vs. you need to help us,’ that’s calling on them, that’s giving them a choice,” said Thomas. “We need your help to preserve this beautiful community, therefore we need a little bit of money each year to help protect your investment. You’ve invested in this valley, you’ve invested in every restaurant by owning property here. Every single thing that you’ve put into the valley you’re going to get out of it.”

Many in the crowd supported the idea of coordinating a “business spirit week” and fundraising event this summer to help educate visiting part-time homeowners and visitors, and raise awareness and funds for affordable housing.

Brainstorming solutions
Other suggestions that came up included temporarily lifting restrictions on homeowners renting their yards or driveways so locals being pushed out of housing had a place to camp, or designating a space in town for locals to temporarily camp as they search for housing. Some attendees expressed concerns about the new designated camping rules that will make it more difficult for locals that typically rely on camping for housing during the summer.

Short-term rentals (STR) were a popular topic as well, and folks suggested lowering the cap on STRs in town, offering tax incentives to homeowners who rent to locals, putting a moratorium on STRs or even prohibiting STRs altogether. Another idea was to update STR licenses to require that homeowners rent certain months of the year to locals; for example, rent to locals for nine months of the year and utilize the other three months for short-term rentals.

Mt. Crested Butte council member Lauren Koelliker suggested that folks reach out to homeowners with STRs to see what it would take for them to house a local and switch their STR to a long-term rental.

As far as possible taxes, prior to the pandemic the Crested Butte town council had discussed the possibility of an empty house tax or “Community Preservation Fee,” which would charge a tax on STRs or houses that sit empty most of the year in which the funds would go toward the town’s affordable housing fund. Others thought a fund similar to 1% for Open Space could be started, with the revenue going to affordable housing opportunities.

“What Eric and Cole have done is super impressive. There’s so much money and effort going into this, but there’s a lot of context,” said CB town council member Will Dujardin. “I encourage everyone to continue these conversations.”

The housing crisis forum is on June 9, from 6 to 8 p.m. at the Center for the Arts, and the community is invited to come with thoughts, concerns and questions about upcoming affordable housing projects and developments.

Aggressive timeline includes “sketch plan-ready concept” by end of the year

[ By Katherine Nettles ]

A new county-driven affordable housing opportunity is in the works at the north end of the valley, and county officials spoke publicly about preliminary plans for the 13-acre Whetstone parcel for the first time during a county commissioner work session on Tuesday, May 25. The focus is on getting extensive public engagement on the front side of the planning, and to quickly move toward a sketch plan before putting out a request for proposals from experienced local builders. The project could have a sketch plan in place as early as November or December of this year.

The county purchased the Whetstone parcel in 2019 for $1.8 million, and it is located just north of the Riverland Industrial Park across Highway 135 from Brush Creek Road.

Gunnison County community development director Cathie Pagano said the county made this purchase with “the intent of developing a neighborhood for local community members,” to build on the county’s other recent affordable housing projects that are either finished or underway. These include eight units at Buckhorn and two larger projects in Gunnison, the 76-unit Paintbrush and 36-unit GardenWalk developments.

Pagano said the county wants to make another meaningful contribution to the valley’s housing needs, recognizing that those needs are “urgent and pressing” and worse than ever this year. “The step we are launching today is to explore finance and design options to accomplish that goal.”

The county has contracted Willa Williford, an affordable and community housing consultant based in Crested Butte, and Trestle Strategy Group, a real estate consulting firm in Boulder that specializes in community building projects. Williford appeared in person before commissioners to present a starting vision for the process and introduced several members of the Trestle team via Zoom.

“I work across the mountain west focusing on rural and resort communities, and I really love working here in my home valley,” said Williford. She said she has worked with Trestle on and off for more than a decade, “and they felt like a really good fit for this project.”

Trestle’s founder Danica Powell and several of her team members, as well as consulting engineers and the architect from both Paintbrush and the Lazy K project in Gunnison will be a part of the Whetstone project kick-off.

“We know it’s a complex site and there’s a lot of technical things to sort out as we go hand in hand with community engagement,” said Williford. “Our end product is a sketch plan-ready concept by the end of the year.”

Williford said community engagement would be the hub of sorting out the technical elements and engineering constraints of the site, and she said it would be a valley-wide outreach to make it very attractive and well-defined for a developer further in the process.

Community engagement early and often
“One of the major guiding principles for us is we want to hear from all affected stakeholders,” said Williford. “And we know that often that involves going to the community rather than inviting the community to come to you.”

Williford said that includes Riverland business owners, current affordable housing residents, immigrant and Latinx communities, students, healthcare and tourism workers and developers.

“Since 2016, in the valley, public private partnerships have delivered more than 200 deed restricted units. So we actually have a really nice stable of developers to go to right now who have practical hands-on experience,” she said. “We very much see them being collaborators and partners to inform if we are on track with our feasibility and the approaches we’re taking.”

She asked if one or two of the commissioners would join a process committee to keep up with the team over the next six months. “It’s not to talk policy,” she emphasized, but to talk process.

Gunnison County sustainability coordinator John Cattles said it would be different from the Brush Creek approach, because the sketch plan would happen before a Request for Proposals and a developer was selected.

“Noticing that difference is important,” said commissioner chairperson Jonathan Houck.

Powell, Trestle’s principle, said diversity, equity and inclusion would be a part of this process and spoke of “windows of engagement” that are best in the beginning to help everyone with the visioning and big ideas. She said it is important to be very clear with the community about what stage the planning process is in and informing people what happens in that stage to set realistic expectations. “We want to work together in a very transparent way,” she said.

An example of that, explained Williford, is that it is always exciting for people to have a drawing down on paper, and her team can do that very loosely so people have something to look at, but understand it can and will change.

Houck reflected that having been involved with the Brush Creek project that didn’t work out, he wanted to know how to make input more a part of the process on the front end rather than at the end. “No matter how much input, how much outreach, how much connectivity, there are going to be people opposed to denser development or new ways of thinking about addressing these issues,” he said. “A lot of folks will stay out of the process…and then they show up at the end and that’s when the bomb-dropping happens.”

“We can’t inoculate a process completely against that,” said Williford. But she said there are ways to include people and let them be heard, and Powell added that it is important to elevate the positions of people either directly affected by housing or who really care about it.

“People need to know how to use their voice,” she said. “And people who don’t want development next to them exist in every community…I can’t promise you that we won’t have opposition, but we will do a good process. And hopefully that helps you at the end to make decisions.”

Houck added that the opportunity to work on a project of this size is important, echoing the trouble that people and businesses are having finding secure housing. He also said he believes in people living near where they work so they can participate in the community and feel connected to it.

Commissioner Roland Mason said he wanted to incorporate a larger vision for the whole area, including the Brush Creek parcel across the highway.

“That is on our radar,” said county manager Matthew Birnie. “It will need a unified look.”

Williford agreed that the surrounding areas would be considered and included, “This is not being designed in isolation.”

“We don’t just see this as a project. We see it as a movement; it’s happening everywhere,” said Powell of the outlined approach.

Town council votes to cover solar PV and HRV systems costs

[ By Kendra Walker ]

In an effort to help ensure affordable housing homeowners have the lowest energy costs, the Mt. Crested Butte town council voted 6-1 on Tuesday, May 18 to install solar PV and Heat Recover Ventilation (HRV) systems in all 22 Homestead affordable housing units under construction. The cost is $191,664, which will be paid out of the town’s affordable housing fund.

Council member Michael Bacani voted against the action, using the logic that the town should only be covering the systems for the two town-owned units and not all 22 units. “If you install it for all 22 units, then if I owned a deed restricted unit in the town of Mt. Crested Butte I would turn around and ask where’s mine? If I was a deed restricted homeowner that’s not in Homestead I would probably want to be next up to get this,” he said.

Town manager Isa Reeb explained that the situation couldn’t be compared apples to apples with other deed restricted units already established in town. “This is a very unique opportunity here because of the way the builder is working with us on the tax credits,” she said.

“We’ve already donated the land. We’ve been part of making this project more affordable and less expensive,” said council member Roman Kolodziej. “We’re already committed to making this a cheaper project for people to live in and this investment is aligned with the values that we’re starting to put forth with renewable energy and responsible energy.”

“I do think this aligns with our goals we’ve identified through our strategic plan,” said council member Lauren Koelliker.
“I like Michael’s aggressive approach here in offering this to everybody,” said council member Steve Morris. “I think it’s worth looking into how we could offer this to everybody. I wouldn’t be opposed to extending that, let’s look at the costs. I’d love to look into this for a future discussion.”

In addition to the 22 Homestead units, there are approximately 75 deed restricted units in Mt. Crested Butte.

The solar and HRV systems will be installed during construction, which is currently underway.

According to community development director Carlos Velado, there have been some delays with supply availability and some concerns with rising costs in the Homestead project, but the developer is working to get through those. Velado says the project still remains on schedule at this time, with the project scheduled for completion by the end of the year.

Hundreds of units under deed restrictions at both ends of the valley

[ By Mark Reaman ]

While a general community vibe should not be ascertained strictly by social media comments, the social media vibe around local affordable housing and what local governments have or haven’t done has recently been pretty aggressive and negative. So we asked officials from the local municipalities and county what has been done recently and what is expected to come online in terms of tangible affordable housing. While there may never be enough to “solve” the housing problem, it is nevertheless significant and more units will be coming online very soon.

Town of Crested Butte
The town of Crested Butte, which seems to get the most heat in the online rants, has probably done the most over the years in terms of supplying housing for workers and locals. It started addressing the issue 32 years ago when it required that accessory dwelling units had to be long-term rentals.

Town planner Mel Yemma said the town currently has 305 deed-restricted units in town accounting for 25 percent of the town’s total housing stock being deed restricted for locals. The goal was to have 25 percent of the housing in Crested Butte be deed restricted by 2023.

“Most recently, in July of last year, the Town finished constructing and selling more than 30 new affordable units in Paradise Park to local residents and employers that rent units to their employees,” said Yemma. “The Town is currently planning to build out the remaining lots in Paradise Park (about 15 units) in 2022-2023.

Yemma said this June, the town is launching the Slate River Housing Study for Town Parcels 3 and 5 in the new Slate River subdivision near the new sledding hill. “There is potential for between 60-70 affordable housing units in this area. The study will help determine important development factors including the type of development, density, mass and scale, housing targets and more,” she explained. “The result of the housing study will be a master plan for the site, as well as a request for proposals that will be released to developers to develop the site, where portions of the site could begin construction as early as 2022.

“Additionally in 2021, the Town of Crested Butte is partnering with the Town of Mt. Crested Butte, Gunnison County, the Gunnison Valley Regional Housing Authority and the Valley Housing Fund to develop a deed restriction purchase program to ensure that more of our existing housing stock is lived in by local workers,” Yemma continued. “The program will be developed during 2021, with an anticipated launch in the fall of 2021.”

Gunnison County
Gunnison County has prioritized affordable housing in the last few years and several projects spearheaded by the county are ready to come online this summer. Gunnison County Community and Economic Development director Cathie Pagano said planning for an affordable housing project on a big parcel just south of Crested Butte is kicking off this week. Located near Riverland, the so-called Whetstone Parcel was purchased by the county in 2019 for $1.8 million with the intention to locate workforce housing on the 13-acre property. Public input is being solicited to determine how many and what kind of units would work best on the site.
“We currently have eight townhomes located in the Stallion Park-Buckhorn subdivision that were completed in 2020 and they are completely occupied,” Pagano said. “Gardenwalk is a 36-unit LIHTC (Low Income Housing Tax Credit) project located in the city of Gunnison that is now open. The Paintbrush housing project near the Gunnison Rec Center contains 76 units and is currently under construction. Sixty of the units are expected to be online and ready for occupancy by this July with the remaining 16 anticipated to be available in the fall. Our staff spent a year working with the neighbors and city staff to develop a plan that fit with the neighborhood and mitigated infrastructure challenges within the city. The county contributed $150,000 to the project in addition to staff time. I believe the county purchased the land in the early 2000s and contributed the land as part of the deal to reduce costs of housing at the development.”

Pagano also pointed out the Corner at Brush Creek parcel is still available for housing. That lot south of Crested Butte was approved by the county planning commission for 180 units but the original developer, Gatesco Inc., was not able to obtain consent from the Towns of Crested Butte and Mt. Crested Butte to move forward to the Preliminary Plan application.

City of Gunnison
Gunnison city planner Anton Sinkewich also noted the several housing projects like Paintbrush and Gardenwalk located within the city boundaries and pointed to the potential for Gunnison Rising annexation property east of the city along Highway 50. Gunnison Rising is a major subdivision of the city that this summer will begin to install infrastructure. Sinkewich said that, “the annexation area has the potential for 1,700 units of housing. Land dedications exist within this annexation for 200 units of affordable housing,” he explained.

Sinkewich also noted the Lazy K project that has 44 affordable units and 21 market rate units. He said that project would be constructed in phases, beginning this summer.

Mt. CB
The Mt. Crested Butte planning department did not have time to compile the most recent data requested but based on conversations last week concerning the Homestead affordable housing project, it appears the town is currently constructing 22 units in that project that will include solar panels. Community development director Carlos Velado noted that the town has another 75 deed-restricted units in town. The town voters also recently approved a tax on short-term rentals that is dedicated to affordable housing.

So while there is definitely a housing shortage that is impacting local businesses that can’t find employees, local government officials are all working on the issue. Monthly meetings between the planners are taking place and coordination for grants and priorities are being determined. An affordable housing forum is scheduled for June 9. The public is encouraged to come with their stories and ideas on the topic. It will take place at the Crested Butte Center for the Arts between 6 and 8 p.m.

The elephant in the Zoom

[ By Kendra Walker ]

While not an official agenda item for Monday’s town council meeting, the topic of housing in Crested Butte was a prominent theme throughout the evening. Recent community discussions on Facebook have focused on a lack of housing options in Crested Butte, with families desperate for a place to live, long-time locals being forced out of their rentals as they get bought up, and even Gunnison housing pricing people out. Social media and around-town discussions implied there would be a big turnout for the May 17 council meeting to discuss the issue, and 75 members of the public tuned in via Zoom. Whether to hear what council had to say about affordable housing, the RV Dump, parking, development in the Slate River, or a little bit of everything, several community members spoke out about the need and urgency for more affordable housing in Crested Butte.

“On housing, the town has put together a lot of public housing over the years, but there’s not enough. None of the ski areas have enough,” said mayor Jim Schmidt. “Everybody on the council is well aware.”

He noted there is a public meeting scheduled for the second week of June focused on housing that will be held at the Center for the Arts, in partnership with the Gunnison Valley Regional Housing Authority. Staff is still finalizing the date and time and plans to communicate the details once finalized.

The Mt. Crested Butte council also addressed affordable housing at the end of their meeting on Tuesday, May 18. Council member Roman Kolodziej said, “It’s pretty tight out there, there’s a lot of people having trouble finding a place. We’ve made good progress, Homestead for example, but I just wanted to throw it out there to see when we can start the next step to a next project.”

“I agree with you,” said Mt. Crested Butte town manager Isa Reeb. She explained that regional housing partners are currently discussing the issue and that she’s planning to align the development of Mt. Crested Butte’s Master Plan with the town of Crested Butte’s Community Compass. “We’re having intense staff discussions about that to make sure we’re getting all our ducks in a row first,” she said, explaining that the towns want to work together to support and prioritize each other’s projects coming down the pipeline over the next few years. “Absolutely it’s on our radar.”

“It’s not just about finding the money to build affordable housing,” said councilmember Lauren Koelliker, noting that there’s no cap on short-term rental (STR) licenses, and properties are being bought up for short-term rentals that could otherwise be used as long-term rentals.

Reeb noted that Mt. CB staff has been preparing a STR rules and regulations discussion for an upcoming council meeting.
Butte Bagels owners Cole Thomas and Eric Rankin voiced their concerns during public comment at Crested Butte’s meeting on Monday night. “There is a housing crisis going on right now. We are having trouble finding employees as business owners. We see every single day on Facebook people getting pushed out of their homes. We’ve got to come up with a solution,” said Thomas.
Rankin said they are speaking with other community members in town and they are proposing that every business closes the week of July 4 in protest. “To set the tone of what it’s going to look like in a few years,” said Rankin. “We’ll be at the next few meetings talking about these issues. There’s a good chance on July 4 no one will be open.”

Thomas and Rankin have also announced through Facebook that they’ll be holding a housing protest meeting on May 26 at 6 p.m. to discuss solutions to the housing crisis. “This will not be a rant fest. We know the issues already. It’s time to talk about a plan to solve these problems; where to allocate our tax dollars; how to stop unnecessary spending and development; reallocation of developable lands to the hands of the town, etc.”

During his council report and doing his best to hold back his emotions, councilmember Will Dujardin informed the council of his own housing situation. “I’m also one of the people looking for housing and I wanted to put on your radar that right now I don’t know where I’m going to be living after June 30,” he said. “I’m certainly trying my best to stay in town and don’t know if I’ll be able to do that. Please keep your ears open for anything on the market.”

Monday’s meeting was also councilmember Laura Mitchell’s last meeting, who had to resign due to moving to Gunnison.
Community member Jill Voyles spoke at the end of the meeting, expressing her concerns not only for her family but also for all locals working in the service industry.

“I know there are so many people here waiting to speak about this and we are in a housing crisis and if we want this town to thrive and survive then we need to actually figure out what is the best way to keep our families here, keep our community members here that are actually working on Elk. There’s five people in my family; my husband manages a restaurant, I’m working in body work and movement in town and there’s no housing for us, that’s a problem…Why are we letting all of our homes become hotels? That’s a problem. Can we think about our community, about the people that are actually working in town? We can’t push them to Gunnison anymore because there’s no housing in Gunnison.”

Referencing the town’s new parking management plan, she said, “You won’t have an issue with the cars in town because you’re not going to have enough employees working in town. There is a huge class separation. You’re going to watch businesses only open four or five days a week because they don’t have enough staff. I have three little children that are thriving in this community but as of July 6 we will not have housing.”

She continued, “It’s beautiful to see people that have different jobs online be able to relocate here but the service workers are the people who keep you thriving. We give you food, we give you body work, we do so many things. Don’t let that go away. That’s a problem you’ll have to deal with in a year when you’re wondering why the buildings are closed. I would love to take that woman’s (Laura Mitchell) spot who had to go out of town… Some people are here to serve, to serve humans and that’s our passion and if you can’t see them, you’re going to miss them.”

The Crested Butte town council also held an executive session following the regular meeting, for the purpose of determining positions relative to matters that may be subject to negotiations regarding a possible affordable housing acquisition.

The public housing meeting will take place the second week of June at the Center for the Arts, with more information to come.

Would lease the units to Alpine Express

[ By Katherine Nettles ]

The RTA is ready to take a step forward in securing affordable housing, and the board of directors voted on Friday, May 7 to pursue buying four condominiums in Gunnison’s upcoming Lazy K housing development. RTA executive director Scott Truex has been looking into affordable options valley-wide and told the RTA board the Lazy K, a collaboration between the city of Gunnison and local builder John Stock, looks very promising for Alpine Express employee housing. Truex said he would also be looking for additional affordable housing units for other RTA employees.

The development will have four units available, each with two bedrooms and 1.5 baths, deed restricted to those earning 120 percent of Area Median Income (AMI). The cost would be $354,000 per unit, which is $100,000 less than the open market price.

“Alpine Express thought it would be beneficial to our service,” he said. RTA would purchase the units and then lease them to Alpine on a master lease. Given the RTA’s general fund is better than ever, said Truex, this would be a good time to make the investment. Financially, the organization is projected to end the year with $2.5 million more than budgeted.

“We think it would be a pretty good opportunity to secure some long-term housing and secure the stability of the RTA going forward,” said Truex.

Board members approved of Truex pursuing a contract for all four available units. “The condos won’t be finished until next spring (2022),” he said. “But I imagine we could get under contract sooner than that.”

Truex would bring a contract back to the board for approval before signing with the developer. He advised that the purchase would affect both this year’s and next year’s budget, “but I think it’s a really good move.”