ADD Rivergate Planned Development Lot 4 RFQ 2025_1.pdf

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City of Durango 949 E 2nd Avenue

Durango CO 81301

ADDENDUM #1

To Request for Proposals

Rivergate Planned Development Lot 4 RFQ Addendum Date – June 24, 2025

The following shall become as fully a part of the above-named Invitation for Bids as if therein included and shall take complete preference over anything therein contained to the contrary.

Acknowledgment: Each Bidder shall acknowledge receipt of this Addendum in their Bid package.

Every firm, contractor, or subcontractor shall be responsible for reading every item in this Addendum to ascertain to what extent and in what manner it affects the work in which they are interested.

Modifications/Additions to the Contract Documents: The following information includes changes, clarifications, and additions to the Request for Proposals. This information shall supersede any information included in the original Bid Documents.

Question 1: PD Process 1.Will the RFP winner have to go through a standard PD process? ● What does the project review look like with planning and engineering? ● When do you anticipate this project starting? ● Can it be phased - will you issue CO's and allow sales to take place prior to completing 100% of the project?

Answer 1 : All plans for the different phases of the project shall be processed through the Preliminary Plan and Final Plan stages of the Planned Development review prior to final approval of those development plans. Conceptual Plan stage was completed for the entire Rivergate Planned Development in 2003. Major Site Plan review might be required depending on the specifications of the proposed development plan.

Phased development is allowed, and Certificates of Occupancy (COs) and unit sales may occur by phase, contingent on infrastructure completion and City approvals. Applicants should describe their preference or approach to phasing in their proposal.

Applicants should propose an anticipated timeline in their proposal. The City’s preference is to being Development Agreement negotiations shortly after a Notice of Award is issued.

Question 2: Engineering Requirements. 2. When will ALL the engineering requirements be exposed to us? ● Are there ANY off-site improvements that will be additional to this project?

Sawmill, storm sewer, sidewalks, etc

Answer 2: The 2003 Planned Development and Annexation Agreement states that developers are responsible for public improvements, but that certain improvements may be phased along with development of adjoining lots. Applicants are encouraged to read the

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Planned Development and Annexation Agreement in their entirety. Engineering requirements will be those found in the current Land Use and Development Code. It is likely that a traffic study will be required.

Question 3: Completion Time Limit. 3. Is there a time limit to complete? If so, what is it?

Answer 3: A detailed timeline and milestones will be negotiated in the Development Agreement.

Question 4: AMI Units / Homesfund. 4. For the AMI units, will the HomesFund be identifying and qualifying buyers?

Answer 4: Yes, Homes Fund is the City’s current designee to assist with buyer qualification and mortgage readiness for income-restricted for-sale units. Their involvement ensures compliance with AMI targeting and long-term affordability goals.

Question 5: Lot 5 Cost. 5. What is the price of lot 5? Also $1.25M?

Answer 5: Lot 5 is privately owned. Respondents to the RFQ are encouraged to contact the owner directly for pricing if pursuing Lot 5 acquisition.

Question 6: Neighborhood Aesthetics. 6. Are there specific community character traits or design elements (e.g., architectural styles, sustainability features) that the City prioritizes for this project to ensure it complements the Rivergate Planned Development and surrounding neighborhood?

Answer 6: The 2003 Planned Development and Annexation Agreement requires that structures and site designs have architectural and design consistency throughout the entire development. Such features include building scale, mass and height, landscaping, roof pitches, building materials, etc. Applicants are encouraged to read the 2003 PD Agreement in its entirety.

Question 7: Mixed-Use Opportunities. 7. How does the City weigh the importance of incorporating commercial uses versus maximizing residential units, given the allowable mixed-use zoning?

Answer 7: The City supports a mix of uses but prioritizes housing due to the local need for workforce housing. Inclusion of neighborhood-serving commercial (e.g., daycare) will be considered a benefit, but maximizing attainable and workforce housing remains the primary goal.

Question 8: Performance Milestones. 8. Can the City elaborate on the performance milestones that will be tied to the donation of Lot 4, and what specific criteria will trigger the reversion clause if milestones are not met?

Answer 8: Milestones will be outlined and negotiated in the Development Agreement and may include entitlement approvals, permit submittals, infrastructure installation, and unit delivery benchmarks. Failure to meet these within the agreed upon timeframes may trigger a reversion of Lot 4 to the City.

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Question 9: Public-Private Partnerships. 9. Are there examples of successful public-private partnerships in Durango or similar communities that the City views as models for this project?

Answer 9: Successful examples of Public-Private Partnerships in Durango include the Residences at Durango, Animas City Park Overlook, and the Westside Mobile Home Park Preservation. These projects demonstrate how public resources or funding can be leveraged alongside private or nonprofit development capacity to achieve shared housing goals.

Question 10: Collaboration. 10. What level of City involvement or support (e.g., staff resources, expedited reviews, community engagement) can proposers expect during the planning, entitlement, and construction phases of the public-private partnership?

Answer 10: Prosperity Office will be sponsoring the project, alongside Community Development. City anticipates assisting with and co-sponsoring community engagement with the applicant. City will also participate in grant opportunities as identified. Project may be eligible for fee waivers as consistent with Section 5-4 of the Land Use and Development Code.

Question 11: 2018, 2024 Plans. 11. Are there specific elements of the 2024 Strategic Plan or 2018 Housing Plan that the Selection Committee will prioritize when scoring proposals under the “alignment with City goals” criterion?

Answer 11: The Strategic Plan overlaps with the objectives of this RFQ to create approachable and workforce housing.

Question 12: Selection Committee Engagement. 12. Will the Selection Committee provide feedback or opportunities for clarification on proposals before final scoring, or is the interview process the only opportunity for direct engagement?

Answer 12: The interview phase process.

Question 13: Sample Standard Form of Agreement (by Front Desk)

13. Does the Sample Standard Form of Agreement or the anticipated final contract include a force majeure clause that would allow the developer to modify or terminate their obligations in the event of catastrophic events (e.g., natural disasters, unforeseen economic crises)? If not, are there any provisions for addressing such extraordinary circumstances?”

Answer 13: The City is amenable to including a force majeure clause. The purpose is to inform companies placing proposals that the City would consider including such a clause.

Assuming this would allow the City to consider, down the road, what are reasonable events that would excuse the performance. The city may only want to include natural disasters and not economic/political events in the clause. To determine what we would consider a force majeure for the contract, the city will have a conversation considering the details of the specific project and the company the City awards the contract.

Question 14: Rivergate Questions. 1. Are you able to share existing documents and drawings that show the site (including plat), easements, topography and nearby utilities as well as access to the

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PD material? 2. What is the City's preference for rental units vs. for-sale units? 3. What community outreach has occurred regarding the site?

Answer 14: The Planned Development and Annexation Agreement was linked in the RFQ.

The Rivergate Planned Development Plat Map was recorded May 1, 2003 at Reception #855774 in the Office of the Clerk and Recorder of La Plata County. City encourages and prioritizes for sale, owner-occupied housing opportunities that target income levels ranging from 70% to 120% Area Median Income (AMI). The City has held one Rivergate Neighborhood Meeting with residents of the Rivergate Lofts. The City will hold a follow up meeting once a development partner has been selected.

Question 15: LIHTC Development. We understand that the City of Durango is encouraging for-sale development targeting 100% AMI. Would a for-rental LIHTC development with units ranging from 50-80% AMI units score competitively? Our company has extensive experience in the LIHTC space and believe this is a viable option to meet the City's affordable housing goals.

Answer 15: City encourages and prioritizes for sale, owner-occupied housing opportunities that target income levels ranging from 70% to 120% Area Median Income (AMI). The City is open to other development concepts that help meet the City’s housing goals.

Question 16: Additional Question. Are there any specific green/sustainability / clean energy features that the community would prefer a project to have? It was not listed among the evaluation criteria, but we wanted to confirm.

Answer 16: Green/sustainable/clean energy features are not listed in the evaluation criteria.

The City anticipates that neighborhood and community feedback may include questions or suggestions for sustainable features.

End of Addendum #1