Downtown and the economy

Council member Nicole Speer, a First Congregational Church member, gave an emotional response acknowledging the pain of the parking loss to her own congregation while explaining her yes vote. Taishya Adams cited water supply and energy concerns, including that the 2025 severe water scenarios were not part of the project's estimates, as her reason for voting no.

Nineteen public speakers addressed the Spruce lot sale. About eleven opposed it, mostly tied to First Congregational Church, Trinity Lutheran Church, and the Museum of Boulder, citing lost accessible parking for elderly and disabled visitors and small business customers, while four residents and the developer spoke in favor, citing walkability and downtown vibrancy.

A parking study by Fox Tuttle found the 59 lost Spruce Street spaces could be absorbed by nearby garages, leaving about 180 spare spaces at peak demand even with a 110-room hotel. Council members Tina Marquis and Taishya Adams pressed staff on protecting First Congregational Church access and using the underused Trinity lot as an alternative.

Assistant City Manager Mark Wolf presented the unsolicited $5.8 million offer from developer MA-LR Boulder LLC to build a boutique hotel on the KGID-owned Spruce Street lot, above the appraised market value. The deal includes six 30-year community benefit covenants covering affordable commercial space, public art, public event space, workforce diversity goals, and energy performance 10 percent above code.

Matt Benjamin asked how staff will communicate the ongoing operating cost of the redeveloped park, not just the roughly 18 to 20 million dollar build cost. Parks director Ally Rhodes said early estimates for baseline maintenance are in the low hundreds of thousands of dollars per year and that the opening year budget will need to reflect this cost.

“this isn't just 18 to 20 million, wipe our hands of it”

Matt Benjamin asked staff to disclose the ongoing operating and maintenance cost of the new park and bookend space well before budget season so council can plan trade-offs early. Staff said the base park maintenance cost estimate is in the low hundreds of thousands of dollars per year, with a fuller park management plan still in progress, and confirmed the city is not budgeting a direct capital contribution to the East Bookend, which is meant to generate revenue instead.

Tara Winer raised the Arboretum Path connecting University Hill to the farmers market area as a priority she wants addressed, though staff said it is outside the current phase 2 boundary and unfunded. Rob Kaplan asked whether the city has estimated east bookend property values under sale versus long-term lease scenarios; Mark Wolf said staff has a broker opinion of value but will not publish it before the RFP.

“we're not going to publicize that number per se before the RFP process”

Rob Kaplan asked why the memo did not mention engagement with police, park rangers, or downtown businesses on safety for a year-round evening activation site. Staff said past civic area engagement included police and rangers and that safety planning will continue as the RFP and design move forward.

“the kind of high foot traffic public spaces where both real and perceived safety determines whether the vision actually succeeds”

Rob Kaplan noted the memo listed several boards consulted but no specific safety conversation with police, park rangers, or downtown stakeholders for a year-round evening destination. Staff said safety had been discussed through two years of Phase 2 engagement with police and the safe and managed public spaces team, and that specific safety measures would be shaped by what the RFP responses propose.

Staff said nine teams responded to an earlier request for interest, including full development teams and groups wanting to reprogram single buildings, and staff plan to release the formal RFP in late summer 2026 with partner selection in early 2027.

“we've received nine responses, a mix of full development teams”

Assistant City Manager Mark Wolf and project manager Shihomi Kuryagawa presented the Civic Area East Bookend Development Partnership, a plan to seek a private developer to redevelop city land near the renamed Boulder Creek Park. Goals include a food destination anchored by the Boulder County Farmers Market, recreation ties to the park, and arts and culture uses, with an optional west bookend for sale to fund other projects.

“the city can't get there alone with our own resources”

Assistant City Manager Mark Wolf and project manager Shihomi Kuriyagawa introduced the RFP for the Civic Area East Bookend, which will seek a private partner to redevelop the Atrium and Storage and Transfer buildings into a food, recreation, and arts destination anchored by the Boulder County Farmers Market. A Request for Interest drew nine responses. The optional West Bookend, combining the AgeWell Center site and Arapahoe Court, is aimed mainly at generating sale revenue. The RFP goes out late summer 2026 with partner selection expected in early 2027.

Council split 4-4 on referring the DDA to the ballot. Matt Benjamin, Rob Kaplan, Aaron Brockett, and Tara Winer supported it as the only tool to reverse declining downtown revenue; Ryan Schuchard, Nicole Speer, Taishya Adams, and Tina Marquis opposed it, citing insufficient community engagement, lack of a specific investment plan, and impacts on dedicated funds.

Opponents including Margaret Lamont Pfeiffer, Suzanne Bott, Rachel Peterson, Mike Mills, and Daniel Howard of the Sierra Club argued the DDA would divert sales and property tax growth from open space, transportation, library, and school funding for up to 30 years, with only about 2,200 electors deciding for the whole city.

Boulder Public Library District trustee board president Sylvia Werba and trustee Bonita Duran said the library was not consulted on the DDA until May 2026 and asked for a dedicated library board seat, a required intergovernmental agreement within 100 days of formation, and a guaranteed minimum share of property tax increment.

Downtown Management Commission chair Don Poe, business owners including Andrew Shoemaker, Dakota Sypher, Erica Dahl, and Boulder Chamber president John Tayer testified in support of the DDA, saying downtown sales tax and property values have declined for years and the DDA is the only tool combining dedicated funding and governance.

Nicole Speer asked why the Age Well West Center should be co-located with the North Boulder Rec Center rather than stay at its current site. Staff said the existing building's underground mechanical systems are failing and constant leak repairs make renovation impractical, while co-location supports multigenerational programming.

Matt Benjamin asked whether listing South Boulder Rec Center first among the six bond projects meant it was the top priority for construction sequencing. Staff said all projects are priorities and sequencing will depend on factors like cost escalation, not the order listed.

Economic development manager Regan Brown said the DDA would let downtown and University Hill capture growth in property and sales tax within the district to fund revitalization, citing the Moxy Hotel on the Hill as an example of catalytic investment. Consultant Brad Segal of Progressive Urban Management Associates said no Colorado city council has rejected a DDA in the last 10 to 15 years.

Staff proposed cutting economic vitality grants, county fair funding, and multicultural awards run by the commissioner's office. Loachamin defended the economic vitality grants, citing support from the Latino Chamber of Commerce for small businesses facing new state rules like the Cottage Food Act. The board kept both proposals in the budget for further review.