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At a Fateful Crossroads In the Battle to Preserve The Valley Floor


December brought a blockbuster announcement from the Telluride Town Council. Contrary to most expectations, court-ordered mediation had produced a possible settlement with the San Miguel Valley Corp. in the town’s ambitious bid to acquire the company’s Valley Floor property by means of condemnation.

Even before all of the terms of the proposed settlement were released at a special council meeting in the Palm Theatre on Dec. 14, skepticism was voiced, setting up what is likely to be a hard-fought campaign for and against the deal leading up to a special town election in February. At stake in the minds of many as we approach this crossroads is nothing less than the future of Telluride.

One road leads to court with a continuation of the town’s condemnation action. Down that road, which council has postponed to February 2007 – if the alternative is not chosen – is the requirement by the town to pay whatever it may cost to purchase the 560 acre portion of the Valley Floor south of the Hwy. 145 Spur, thereby securing the ability to preserve it as open space. The problem is that nobody knows what that ultimate cost will be. It could range anywhere between the $26 million that the town appraised the property for to the $51 million that SMVC appraised it for, plus millions more in legal costs. Some fear that the private donations needed to supplement the $20 million or so that the town can contribute simply can’t be raised, in which case the entire battle could be lost. Others fear the battle might be won, but at a cost of soaking up all of the town’s money for a generation or more.

But proponents of condemnation see equal risks in settling with SMVC along the lines sketched out by Mayor John Pryor at the Dec. 14 meeting. The settlement would give up 47 acres of the south side of the Valley Floor to the development of up to 22 single-family homes, plus caretaker units, in exchange for preserving the remaining 513 acres through conservation easements. The settlement also seeks to resolve the future of SMVC’s property north of the Hwy. 145 Spur and in the vicinity of Society Turn by resolving the type and amount of development that will be permitted in those locations – a combination of free-market homes and limited commercial development, affordable housing, open space, and public benefits including a site for a school. SMVC also agreed as one of the essential and non-negotiable terms of the proposed settlement to annex its property to the town. Many details remain to be negotiated, however, and that is precisely what has concerned some members of the public. Moreover, some have said that securing only 91 percent of the south side of the Valley Floor – even at no expense to taxpayers – is still unacceptable.

The fate of the open space at Telluride’s doorstep is easily the top local news story of the last decade, as SMVC and the town and the other two local governments – the Town of Mountain Village and San Miguel County – have engaged in failed joint planning efforts, charges and countercharges of bad faith, development proposals made and rejected, court battles won and lost, and, finally, the town’s costly condemnation bid. The “War for the Floor” could continue into 2007 and beyond if Telluride voters reject the settlement proposal. Or, just possibly, there could be a new style of engagement between the parties: cooperation. If that were to happen, the Valley Floor would surely be the top news story of next year. After that, though, it could finally end its long reign atop the list of the major local news stories of the year.



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