HomeMy WebLinkAbout10113RESOLUTION NO. 10113
A RESOLUTION AUTHORIZING THE CITY OF PUEBLO TO SUBMIT A CONCEPT PAPER FOR
THE MINNEQUA LAKE PARK AND OPEN SPACE PROJECT TO THE STATE BOARD OF THE
GREAT OUTDOORS COLORADO TRUST FUND, AND AUTHORIZING THE PRESIDENT OF THE
COUNCIL TO EXECUTE SAME
WHEREAS, City Council supports and authorizes the submittal of a concept paper for the
Minnequa Lake Park and Open Space Project for the purposes of the acquisition and development of
a park, open space and regional storm water facility; and
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, that:
SECTION 1
The President of the City Council is hereby authorized to execute and deliver the concept
paper for the Minnequa Lake Park and Open Space Project on behalf of the City of Pueblo, a
Municipal Corporation, to the State Board of the Great Outdoors Colorado Trust Fund, and the City
Clerk shall affix the seal of the City thereto and attest same.
SECTION 2_
The concept paper identifies an estimated budget of $2.6 million for the first phase of the
project that includes the acquisition of land and water rights with $1.8 million provided by GOCO and
$800,000 in local matching funds
SECTION 3_
A copy of the concept paper is attached hereto and is on file at the City of Pueblo's
Department of Planning.
NTRODUCED ADril26.2004
CITY CLERK
Michael Occhiato
Councilperson
PRESI E I
a joo 1 0 101(3
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Background Paper for Proposed
RESOLUTION
AGENDA ITEM # � 9
DATE: APRIL 26, 2004
DEPARTMENT: COMMUNITY DEVELOPMENT /JIM MUNCH
PLANNING DEPARTMENT /CATHY GREEN
TITLE
A RESOLUTION AUTHORIZING THE CITY OF PUEBLO TO SUBMIT A CONCEPT
PAPER FOR THE MINNEQUA LAKE PARK AND OPEN SPACE PROJECT TO THE
STATE BOARD OF THE GREAT OUTDOORS COLORADO TRUST FUND, AND
AUTHORIZING THE PRESIDENT OF THE COUNCIL TO EXECUTE SAME
ISSUE
Should the City Council agree to submit a concept paper to the State Board of the Great
Outdoors Colorado Trust Fund (GOCO) to assist in funding the acquisition of Minnequa
Lake for a park and regional stormwater facility and authorize the President of Council
to execute same?
RECOMMENDATION
Approval of the Resolution.
BACKGROUND
A concept paper for the Minnequa Lake Park and Open Space Project has been
prepared by the City of Pueblo identifying potential funding from GOCO for the
purchase of the Minnequa Lake property and water rights. The budget estimates an
acquisition cost of $2.6 million for land and water rights acquisition with $1.8 million
provided by GOCO and $800,000 in local matching funds. GOCO is requesting concept
papers for projects seeking grant awards in excess of $1 million that can be completed
within a three year time period. The GOCO Board will be assessing the concept papers
in order to determine what level of funding will be provided and what types of projects
will be funded in upcoming years. Following the completion of the assessment, the
GOCO Board will determine the funding level for "Large-Scale Projects" and the
projects that are under consideration for funding. By the end of June, the agencies with
a project under consideration for funding will be invited to submit a full application.
The Minnequa Lake Park And Open Space Project includes of the purchase of
approximately 240 acres of property including Minnequa Lake and associated water
rights to be included in an augmentation plan to cover the evaporative loss of water
from the lake and for the irrigation ditch rights to be used for irrigating developed park
areas on the property. The City currently owns 80 acres along the south boundary of
the lake property that is being considered to be included in an overall park, open space,
and regional stormwater detention and water quality enhancement facility. The
combining of a large park and open space area with a regional storm water facility
allows for the pooling of the City's financial resources in a way that could provide a
significant saving of the community's tax dollars.
FINANCIAL IMPACT
This is not a formal grant application to GOCO. City funds have not been budgeted and
appropriated for the Minnequa Lake Park and Open Space Project, since Great
Outdoors Colorado has not determined what level of funding will be provided and what
types of projects will be funded in upcoming years. If GOCO approves this concept
paper and invites the City to submit a full grant application, the City could potentially
provide matching funds through a variety of funding sources including a possible federal
appropriation, private and other federal grants, Conservation Trust Funds, Historic
Preservation Funds, water conservancy district funding and Stormwater Utility Funds
(portion of value related to temporary storage of water in lake).
If the City does not acquire Minnequa Lake soon there is strong possibility that the
property will be sold in a piecemeal fashion by the CF &I resulting in a potential lost
opportunity for the City to acquire the property for use as a stormwater/water quality
facility and a park and open space area. The Lake Minnequa Master Storm Drainage
and Financing Plan completed by Sellards & Griggs, Inc. in June, 1975 identifies the
cost for the construction of the Freeway Outfall which is the stormwater system from
Minnequa Lake to the outfall into the Arkansas River. The financing plan identifies an
estimated cost of $13,019,000 (converted from 1975 figures to 2003 figures) for the
Freeway Outfall stormwater system which utilizes a large stormwater pipe system that
would not utilize Minnequa Lake for additional water storage. The study identifies a
graduated cost savings for each additional foot of stormwater storage, if Minnequa Lake
was used to capture the stormwater and gradually release the water through a smaller
pipe system. The estimated costs savings of utilizing Minnequa Lake for detention
storage is shown in the table below.
Cost Saving Reserve Available, Ft. Reserve in Acre -Ft.
$2,091,000 2 Ft. 260
$2,917,000 3 Ft. 390
$4,778,000 4 Ft. 520
$6,627,000 5 Ft. 650
Concept Paper for the
Minnequa Lake Park & Open Space Project
Submitted By
City of Pueblo, CO
A
Concept Paper for the
Minnequa Lake Park & Open Space Project
1. Executive Summary
The Minnequa Lake Park & Open Space Project includes the acquisition of the 243 -acre Minnequa
Lake property and the associated water rights from Rocky Mountain Steel Mills that will be
incorporated into a 330 -acre regional park, open space, and storm water facility. The City of
Pueblo currently own 80 -acres that will be combined with the Steel Mill property to preserve the most
significant open space area within the City's corporate boundary.
A unique part of the project is the integration of a regional storm water and water quality treatment
facility with the primary use of the property as a park and open space area A large park/open space
area and regional storm water facility are both identified needs in South Pueblo.
Lake Minnequa was established in 1873 to supply water to the residents of the new town of South
Pueblo. Following the establishment of the Colorado Coal and Iron Company (CF &I) the lake
provided the water for making steel. The original intent of the company may not have been to open
the reservoir for recreational purposes, but immediately after the lake was completed the
townspeople started using the place to swim, fish, boat or ice skate in the winter season. Pueblo,
and the Southern Colorado region had no other park at that time. For over 75 years, between 1874
and the early 1950's, Lake Minnequa was described as "quite a resort" that over the years included
a lakeshore dance pavilion, a carriage run around the lake, a boathouse on the lake, and an
amusement park featuring roller- coaster rides, a Ferris wheel, a 1,200 -seat theater, a baseball park
and grandstand, and a carousel. The developed sites were along the north and east sides of the
reservoir, while the remainder of the two miles of shoreline was retained in a natural condition that
provided excellent Lakeshore habitat for mammals and birds.
Even though the lake served as Pueblo's premier gathering place, the property was never placed
into public ownership. In 1976 CF &I closed the lake to any and all types of public use. Since the
closure five community plans have pointed out that since the closing of Lake Minnequa there is no
longer a district -sized or what today might be called a "regional park" in South Pueblo, an area
composed primarily of low to moderate level income households. All of the plans have advocated
the acquisition and reopening of Lake Minnequa as a public park and open space area to address the
needs of the South side residents and to protect one of Pueblo's premier open space property within
City limits.
An important component of the project is the protection of the lake and surrounding environs that
provides for the preservation of the scenic, natural and cultural qualities of the lake, and shoreline
areas, along with the redevelopment of recreation amenities on the property in locations that do not
impact the property's conservation values. The project envisions the development of recreation
facilities on approximately 15% of the property (50 acres) and the remaining 85% of the property
(280 acres) will be managed as an open space and lake area. The developed areas will contain
regional recreation facilities that address the needs of Southern Colorado, as well as the residents of
the predominately low and moderate- income households in South Pueblo.
The primary partners that will be committing funding, property, and expertise to the project
includes entities such as the Pueblo Natural Resources and Environmental Education Council,
Bessemer Association for Neighborhood Development, Recreation and Leisure Task Force of the
2010 Commission, Pueblo School District No. 60, Colorado Division of Wildlife, Arkansas Valley
Audubon Society, and St. Mary- Corwin Hospital - Centura Health.
The Minnequa Lake project will meet four out of the six LOCO objectives.
Protecting Wildlife and Habitats
The project will acquire and protect the Minnequa Lake property which contains valuable habitat
for wildlife and will be managed in cooperation with the Colorado Division of Wildlife to protect
wildlife. The 330 -acre area provides water -based habitat that equals Pueblo Arkansas River and
Fountain Creek riparian corridors.
Protecting Open Space Corridors and Greenbelts
The property is the largest area (243 acres) in the southern portion of the City that is currently a
private "open space" area. The site will play an important role in providing an opportunity to
connect the Arkansas River corridor with the St. Charles River corridor.
Providing Land and Facilities for Outdoor Recreation
The project will provide land and facilities on a regional scale for outdoor recreation. The
recreation facilities will be located in a manner that does not impact the conservation values of the
lake and shoreline.
Providing Opportunities to Engage Youth in Outdoor Activities
Due to the number of unique environmental settings (aquatic, wetland, riparian, and upland) that
will work in concert with the water quality and storm water management there are significant
opportunities for area schools and environmental groups to utilize the property for educational
purposes.
The Pueblo City Council has adopted new storm water fees and the revenue generated from these
fees provides a unique opportunity to fund the acquisition of the property for a park and open space
area that could be designed to serve as a regional storm water facility. The City anticipates the
storm water fees should generate approximately $3 million per year that will be earmarked for
citywide storm water improvements. These funds will be part of a viable funding strategy to assist
in the acquisition of property. The project is being undertaken at a time when development is
beginning to encroach into the project area along the southwest side of the lake.
The City currently owns 50 acres adjacent to the south edge of the Lake and has received several
inquiries about selling its property for private development. Although the Steel Mill is interested in
selling the property to the City, the corporation has received several other offers to sell property
along the eastern side for medical and office buildings, as well as along the southwest side for
residential development. If the City of Pueblo does not secure the Lake Minnequa property within
the next two years, the Steel Mills' corporate officials in Oregon could decide to dispose of the
property in a piecemeal fashion. Pueblo's residents in the areas north and east of Minnequa Lake
have worked with the City to complete the Bessemer Neighborhood Plan and are ready to move
onto implementing the actions recommended in the plan. The Bessemer Association for
Neighborhood Development (BAND) has committed to assist the City with the acquisition and
development funding for Minnequa Lake.
2. Impact
The end product of the project will be the acquisition of the most significant open space area within
the City's corporate boundary. The project will also developed public park facilities for activities
and/or trails that do not significantly conflict or impact the property's natural values open space
areas. The development of the park facilities addresses the current park deficiencies on the South
side of Pueblo which is an area composed of predominately low and moderate - income households.
As a secondary use, the project will integrate the use of Minnequa Lake to also function as a
regional storm water and water quality facility that will complement the vision of the park and open
space area.
The project will bring into public ownership, Pueblo's first park area established in 1874. The park
will contain regional recreation facilities that will also address the needs of Southern Colorado
region. These improvements will likely include sports fields, as well as shoreline vegetation, trails
and pathways along the outer perimeter of the lake shoreline for passive recreational uses.
The combining of a large park and open space area with a regional storm water facility allows for
the pooling of the City's financial resources in a way that provides a significant saving of the
community's tax dollars. The development of this type of multiple use facility will be a model for
other communities within the Southern Colorado region, as well as statewide. Since issues tied to
water rights, especially within the Arkansas River Basin, are an important part of nearly all park
and open space projects today, the project will include the purchase of water rights. These water
rights will allow for the storage of water in the lake, and the use of the irrigation rights to water the
developed portions of the park and the augmentation plan to cover the evaporative loss of water in
the lake.
3. Financial Partnerships Q.everagiwj
The City of Pueblo is submitting a concept paper for the acquisition of the Minnequa Lake property
and water rights totaling $2.6 million. GOCO's share is projected to be $1,800,000 and the
City /partner matching funds is estimated to $800,000. The City anticipates utilizing a variety of
funding sources to provide the matching funds including a possible federal appropriation, private
and other federal grants, Conservation Trust Funds, Historic Preservation Funds, water conservancy
district funding and Stormwater Utility Funds. Through the City's newly adopted storm water fees
a source of revenue could be available to assist in funding the acquisition of the property, as well as
the increase in the capacity of the lake and the restoration of vegetation along the shoreline of the
lake. The City intent is to secure an option to purchase the Nlinnequa Lake property from Colorado
Fuel & Iron at a fixed price based on appraisals of the property and water rights. The option
agreement will a 1 -2 year period for the City to secure the remaining funding necessary for the
purchase of the property.
A second phase of the project is anticipated in the future that will provide modifications to the
capacity of the lake, enhancement of the shoreline vegetation, and the development of active and
passive recreation areas. The park improvement budget is estimated to be $2,500,000. GOCO's
share would be $1,180,000 and the City /partner share would be $1,320,000.
Another potential funding partner is the Pueblo Board of Water Works. The Board of Water Works
has committed to work with the City of Pueblo to assist in the acquisition of the water rights for the
project, as well as review the potential for the use of the lake for Board of Water Works purposes.
If the lake can become a part of their operations, they would consider contributing funding for the
project.
In addition, the City is actively soliciting funding a funding request of $1 million through a U.S.
Department of Housing and Urban Development's Economic Development Initiative Special
Project Grant that targets low to moderate income areas. In 2002, the City of Pueblo received a
$405,000 grant through the EDI program for the Historic Arkansas Riverwalk Project — Phase 3.
Another possible funding opportunity is the Urban Park and Recreation Recovery ( UPARR)
program administered by the National Park Service. These funds, when appropriated by Congress,
are made available for the development of new park and recreation facilities or the renovation of
parks in low to moderate income communities with a population over 100,000 residents. Pueblo
has successfully secured UPARR funds in the past with the most recent grant of $200,000 in 2002.
Other potential funding sources for the acquisition of N innequa Lake include various non -profit
foundations with funding being secured through the Bessemer Association for Neighborhood
Development (BAND).
SOURCE OF FUNDS
DATE
SECURED
DATE
GOCO
APPLICANT &
TOTAL
SECURED
GRANT
PARTNER
'04 —`07
0
$350,000
$350,000
REQUEST
MATCH
1 $990,000
$810,000
1 $1,800,000
CASH
$1
$800
$2,600
TOTAL SOURCES
$1 9 800,000
$800,000
$2,600
OF FUNDS — PHASE 1
USE OF FUNDS — PHASE 1
DATE TO
GOCO
APPLICANT
TOTAL
BE SPENT
FUNDS
FUNDS
1. ACQUISITION -
Property Acquisition
'04 —`07
$1
$500,000
A$2,60%000
Water is Purchase
'04 —`07
$700
$300,000
TOTAL AC UISITION COSTS
$1,800,000
$800
FUTURE PARK IMPROVEMENTS
PHASE
DATE
SECURED
GOCO
FUNDS
APPLICANT
FUNDS
TOTAL
2. PARK EMPROVEMENTS
Increase Storm Water Capacity
& Lake Habitat
'04 —`07
0
$350,000
$350,000
Active Park Improvments (ie. sports
1 '04 — 1 07
1 $990,000
$810,000
1 $1,800,000
4. Non - financial sup cp �rt
The following list of organizations and agencies have pledged to committed their membership and
staff time to assist as stakeholders in the development of the Minnequa Lake Park and Open Space
Master Plan (see attached letters):
• Bessemer Association for Neighborhood Development
• Pueblo School District No. 60
• Pueblo Natural Resources and Environmental Education Council
• Recreation and Leisure Task Force of the 2010 Commission
• Arkansas Valley Audubon Society
• St. Mary- Corwin Hospital - Centura Health
In 1997 the Pueblo Natural Resources Environmental Education Council (PNREEC) worked with
over 75 representatives from community organizations and citizens completed a plan that
inventoried and identified significant natural resource and recreation opportunities within Pueblo
County. An important component of the PNREEC Plan was the completion of questionnaires,
interviews, surveys, and public meetings to determine the community interest and the need for
protection of natural resources and incorporating environmental education as a key part of the
conservation effort. The PNREEC Plan resulted in the identification of 16 pilot projects throughout
Pueblo County (see attached planning documents and letter). One of the highest priorities listed in
the pilot projects was the acquisition of Minnequa Lake for open space and recreation. The
PNREEC plan documents the need to provide for a balance of the types of pilot projects that can be
completed and provide the greatest value to the Pueblo region.
During the past nine months the City along with the Bessemer Association for Neighborhood
Development (BAND) have worked to complete the Bessemer Neighborhood Plan that establishes
a coordinated vision for the neighborhood's future. The Plan also establishes long -range goals and
objectives for the development and stabilization of the neighborhood. As one of Pueblo's oldest
neighborhoods Bessemer borders the northeast side of Lake Minnequa. The park and recreation
initiative in the plan encourages the City to acquire the Lake Minnequa property and to have
BAND participate in the developing a plan for Lake Minnequa to serve as a district level park and
make up for some of the park deficiencies in the Bessemer Neighborhood (see attached planning
documents and letters).
The list of planning documents identifying the need to acquire Lake Minnequa includes:
Bessemer Neighborhood Plan (scheduled for adoption by City Council in March, 2004)
Pueblo Natural Resources and Environmental Education Strategic Plan (1997)
Updated Urban Park and Recreation Recovery Program Plan (1992 -1997)
Urban Park and Recreation Recovery Program Plan (1980 -1985)
Pueblo Parks and Recreation Master Plan (19 76)
5. Ability to Implement
The City of Pueblo has an excellent track record for the development, support, implementation,
and completion of major community projects in the Pueblo region. Pueblo is known statewide,
as well as nationally, as a city that gets things done. The Arkansas River Corridor Legacy
Project, an $8.75 million combination of river habitat and recreation projects, is currently being
constructed. The Historic Arkansas Riverwalk Project (HARP) was one of the first projects in
Colorado to receive a GOCO Legacy Project grant. LOCO contributed $1 million towards the
$15 million dollar riverwalk project. Project was completed in a timely and efficient manner.
The project features, funded in part with over $1 million dollars from GOCO, have been
completed in a timely and efficient manner.
Summary of some similar projects that have been completed by the City of Pueblo:
• 2003 Arkansas River Legacy Project — Pueblo Zoo River Otter Exhibit, 3 miles of River Trail
construction (GOCO funded)
• 2001 Honor Farm Land Trade and Purchase — 2,353 acres (GOCO funded)
• 2000 Pueblo Arkansas River Legacy Project Implementation Plan (GOCO funded)
• 2000 Big Hill Open Space Acquisition (GOCO funded)
• 2000 Pueblo Skateboard Park, Phase 2 (GOCO funded)
• 1999 Historic Arkansas Riverwalk Project — Legacy Project (GOCO funded)
• 1999 Historic Arkansas River Project - Lake Elizabeth Urban Park (GOCO funded)
• 1999 Historic Arkansas River Project - Family Interactive Area (GOCO funded)
• 1998 Tennis Court Renovation Project (GOCO funded)
• 1996 Phase I of the Langoni Sports Complex - 22 acres of youth soccer fields
• 1989 the five mile Fountain Creek Flood Protection Project (U.S. Corps of Engineers funded)
• 1975 to 1989 the 25 -mile multi -use river trail system along the Arkansas River and Fountain
Creek
• Construction of numerous "Fishing Is Fun" improvements along the Arkansas River and at
Runyon Lake including in- stream habitat
6. Attachments
Please see the Minnequa Lake Park and Open Space Project Area Map.
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