Opportunity Zone Prospectus FOR THE GREATER PAGOSA SPRINGS AREA Prepared by: OPPORTUNITY ZONE COMMITTEE

Guidance From: Town of Pagosa Springs Archuleta County Community Development Corporation Region 9 of Southwest Pagosa Housing Partners

Contact: MARY JO COULEHAN Pagosa Springs Chamber of Commerce Director 970-264-2360 TABLE OF CONTENTS

LOCATION...... 4 OPPORTUNITY ZONE...... 6 INCENTIVES...... 9 ABOUT THE PAGOSA SPRINGS AREA...... 14 ECONOMIC DEVELOPMENT STRATEGY...... 26 OPPORTUNITY ZONE DISTRICTS...... 30 INVESTMENT PROJECTS...... 44 ASK AND CONTACTS...... 45 4 LOCATION Mountains, Pagosa Springs offers a rich geological majesticSanJuan ofthe heart inthe nestled Located SanJuanNationalForest within the and on agrand you amenities scalewith allthe expect. Movebusiness. to Pagosa Springs enjoy and simplicity Re-energize your Reconnect withfamily friends. and three millionacres ofwilderness nationalforest. and crowds. Restore your sense offunwhileexploring over the your spirit inaplace away from Refresh living. allow you to feel truemeaning the ofmountain Our smalltown atmosphere beauty endless and WELCOME TO PAGOSA SPRINGS. AUTHENTIC REFRESHINGLY Western Continental slope ofthe Divide. New ofthe 35 Mexico miles north border the along and Pagosa Springs islocated Colorado inthe just Sunbelt, themselves. venture into backcountry the experience and itfor a dramatic history thatinvites to localsofallages, rivers,cascading springs hot soothing and reveal peaks, pools, undisturbed alpine magical wilderness, word for “healing waters”. soaring The cliffs, rugged famous springs, hot “Pagosah” Southwestern isthe Ute culturaland history to explore. Known for itsworld-

LOCATION 5 Springs, Colorado your home today! Just Be Here. home today! your Colorado Springs, together to create an unusually mild climate that an unusually mild climate create to together Pagosa Make year-round. be lived-in is begging to This combination of a high-desert plateau and the of a high-desertThis combination plateau work the North of town and East Mountains to Rocky River Watershed. The San Juan River flows through the through flows TheRiver San Juan Watershed. River eventually to on its way Pagosa middle of downtown in Utah. the west to River joining the Colorado Pagosa Springs lies in the San Juan River Basin, an Basin, in the lies San Juan River Springs Pagosa portion of the San Juan up the eastern that makes area 6 LOCATION SOUTHWEST HEART OFTHE LOCATED INTHE LOCATION 7 8 OPPORTUNITY ZONE found atchoosecolorado.com/opportunity-zones. More detailsregarding Zone Opportunity the canbe • • • • • number ofchallenges: new Zones capitalgains.Opportunity address help a of reinvested forgiveness capitalgainsand oftaxon ruraland communities through favorable treatment incentive for investors to invest inlow-income urban ZoneOpportunity (OZ) program provides afederal tax broadestIn the newly sense,the enacted federal many communities across behind. country the recovery persistent and lack ofgrowth thathave left Cuts to JobsAct) and address uneven economic 2017 ofthe enacted taxreform aspart package (Tax ZonesOpportunity Zones –Opportunity (OZ) were HOW ITWORKS assets through capitalimprovement investments Upgrading capability the ofexisting underutilized stateoutside the ofColorado for rapid increases ability the inscaleand to “export” Investing thathave businesses instartup potential economicand growth to population support Funding new infrastructure inventoryand shortages affordable inareas housing prices withescalating Funding development the ofworkforce and pastthe few years that have shared not general inthe prosperity over Promoting economic state ofthe vitality inparts taxes on future gains from the fund if held for ifheld fund the 10years.taxes onfuture gainsfrom original their investment, eliminate and gains from temporarilythen defer reduce and taxes oncapital designatedwithin the Zone. Opportunity Investors can Funds. invest then funds These inprojects located Investors can re-invest capitalgainsinto Opportunity 2 3 1 years for ifheld 10+ is taxfree Fund Opportunity the itself Any Growth value inthe of Permanent Exclusion or 7years (15%) forgains ifheld 5years (10%) oftaxowedReduction on Step-up Basis December 31,2026 FundsOpportunity until capital gainsinvested in in taxable income for A deferral ofinclusion Temporary Deferral OPPORTUNITY ZONE 9 PROJECT project estate real Investable in the or business located Opportunity Zone QUALIFIED ZONE QUALIFIED that has been Tract A Census as an Opportunity designated Zone

OPPORTUNITY FUND OPPORTUNITY to formed vehicle An investment Opportunity capital into deploy projects Zone to reinvest. to TAXPAYER TAXPAYER gain capital an unrealized With CRITICAL COMPONENTS CRITICAL 10 OPPORTUNITY ZONE Assumes capital gains rate of 23.8%, no stateAssumes no capital gainsrate income appreciation tax,7% of23.8%, ofinvestment $10,000Hypothetical investment Fund inanOpportunity vs. astandard investment baseline rate same with the ofreturn • • • • • • BENEFITS OFOPPORTUNITYZONEINVESTMENT Requires a30%investment to orbuilding land inthe improve first withinthe months 36 Most types ofreal estate projects are orbusiness eligible For-Profits are eligible No caponbenefits No income limits Market-Oriented Incentive INCENTIVES LOCAL INCENTIVES incentives in any or every instance, nor does it restrict the governing bodies from providing additional Archuleta County and the Town of Pagosa Springs incentives in unique circumstances. Economic may leverage the Opportunity Zone investment with development incentives may be provided in the sole local incentives. Additionally, there are State incentives discretion of the Town and/or the County, subject offered. When incentives are bundled the fund to the availability of funds. The Policy Statement potential can be maximized. contains specific criteria, guidelines and procedures necessary to effectively and fairly administer economic development incentives.

ELIGIBLE PROJECTS

Economic development incentives may be available to any new or expanding business that meets all of the following criteria:

• For development projects, incentives may be available for commercial development only. • For mixed-use projects, the residential component shall be prorated based on the commercial value.

The Town of Pagosa Springs and Archuleta County will consider projects that also meet the following criteria: Archuleta County and Town of Pagosa Springs ECONOMIC DEVELOPMENT INCENTIVES • Capital investment parameters and value of the POLICY STATEMENT project in conjunction with the goals of the Town and County. PURPOSE The Town of Pagosa Springs and Archuleta County will This Economic Development Incentives Policy also consider the following incentives: Statement (“Policy”) is adopted to guide the use of incentives to encourage the creation and retention • Property tax reimbursements, sales tax of jobs within Archuleta County and/or the Town of reimbursements, fee reimbursements, and Pagosa Springs that pay at or above a livable wage, and infrastructure improvements to help attract and retain primary job employers within the Town and County. The goal is to stimulate the Complete details of the project criteria can be found at local economy by providing additional employment www.pagosasprings.co.gov. opportunities and expanding the tax base required to provide public services. This policy statement does not Archuleta County is also a Rural Jumpstart Community. commit the County or Town to providing economic Learn more at www.choosecolorado.com/rjs. 11 INCENTIVES

12

INCENTIVES 13

in Pagosa Springs, contact: Springs, in Pagosa

STATE TAX CREDITS TAX STATE To learn more about Business Incentives To Mary Jo Coulehan, 970-264-2360 REGIONAL & LOCAL INCENTIVES Property Tax Reimbursements Tax Property Reimbursements Sales Tax Fee Reimbursements Improvements Infrastructure Services County and Town Fast Track Grant Job Creation complete incentive details see page 10. For New Enhanced Rural Areas Job Tax Credit - Credit Job Tax Areas New Enhanced Rural $2,000 per job: Archuleta County’s job locatedAdditional credit per new in Zone. Enhanced Rural Enterprise - Credit Insurance Tax New Employer Health Employee: $1,000 per Covered 2 years for each employeequalified employer- insured under a program. sponsored health insurance Investment Tax Credit of Equipment Purchases - Purchases of Equipment Credit Investment Tax Cost: 3% of Equipment Purchases & forward 12 years. Excess credits may be carried back 3 years - 1.5% of Credit Tax Investment Vehicle Commercial Purchases Qualifying Vehicle Job Training Tax Credit - Credit Tax Job Training Costs: 12% of Eligible Training Employers who carry out a qualified job training program for their enterprise zone employees.

OEDIT* CREDITS FOR COMING TO FOR COMING incentives are subject to government approvals incentives are subject to government and successful applications. PAGOSA SPRINGS PAGOSA All *Colorado Office of Economic Development & International Trade Development & International *Colorado Office of Economic BUSINESS INCENTIVES INCENTIVES BUSINESS Exemption from State & use tax on purchases of sales machine tools & parts manufacturing machinery, Incentive - Colorado First Job Training $1,200 per Full-time Employee: companies that are relocating or expanding in Colorado & For provide funds only to net new hires. Credit: Incentive - Tax Job Growth Provides state job income tax credit to businesses involved in creation projects. Up to $10,000 Cash Job Incentive creation: Up to $10,000 Cash Job Incentive Cash payments per net new job created and maintained for one Up to $5,000 from the Strategic Fund / up to $5,000 from the year. Springs. of Pagosa Town BOTH Business and 8 year exemption from Employee State income taxes: relief for companies & The Rural Jump-Start program provides tax their employees relocating or expanding. and Use Tax: Manufacturing Exemptions for Sales

ZONE

AREA

DESIGNATION OPPORTUNITY OPPORTUNITY

PAGOSA PAGOSA SPRINGS investment with an 8% annualized with an 8% annualized investment return.* | EIG.org Group Economic Innovation * Source: For investments within the zone, within the zone, For investments to an alternative when compared equipment, and real property (both property real and equipment, estate or infrastructure).* real 36% HIGHER RETURNS: For an investment held for 10 years held for 10 years For an investment include Investments within the Zone. businesses, those made for operating NO LONG TERM TAXES: GAINS CAPITAL US Department of the Treasury. US Department of the Treasury. This federally-approved designation allows for: The project is approved as an is approved The project Opportunity Zone by the official TAX CREDITS TAX as Archuleta County approved zone in First 9744 Tract part of US Census FEDERAL 14 ABOUT PAGOSA SPRINGS known for abundance. itsfishing community they amenities, Lake manage Capote, Pagosa Springs. other and withapopular casino Along townthe ofIgnacio, CO, approximately 58milesfrom tribal members. tribal The headquarters islocated in on 1,064 square hasapproximately milesand 1,400 Caputa. Thisreservation insouthwestern Colorado sits tribe iscomposed oftwo Mouche bands: the the and into town. anup-and-coming new adventurers, aswell asretirees looking to settle recreation makes Pagosa Springs ideal for attracting attract more than500,000 visitors peryear. Outdoor flowing and rivers.desert, natural The hot springs valleys,and towering deepcanyons, mesas, high area isvery diverse includes and peaks highmountain Creek Ski Area. topography The Pagosa ofthe Springs to Continental the Divide,means prime skiing atWolf southwest county. ofthe part Justtwenty-five miles Southernthe Ute Reservation, located Indian inthe town ofPagosa Springs into the Reservoir on northeasternthe county edgeofthe through the to live, workfrom play. and SanJuanRiver The flows ABOUT THEPAGOSASPRINGSAREA being discoveredbeing Pagosa isquickly it’s wonder no that trove ofdiscovery, so area isatreasure The of Colorado. The oldest residents ofthe up some tribewhose makes Reservation Indian is the Near Pagosa Springs as agreat place Pagosa Springs Southern UteSouthern ,

number ofvisitors to area. the Area in2012 asaNational Monument hasincreased the Chimney designationof the The Rock Archaeological major Lunar occurring Standstill, onlyevery 18½years. gain notoriety for itsdedicationto authenticity the and skies, Chimney Rock continues National Monument to offered. From walking ruinsto the exploring night the varietywith the programs hands-on ofeducationaland Springs, thistreasure willtantalize any inquisitive mind of Chaco Pagosa Canyon. Located only20 milesfrom many Pagosa residents. Pagosa Springs, isaweekend respite for 300,000 visitors ayear. Located only40milesfrom viewing, accommodates and camping and over 2,100-acre park offers trails, boating, fishing, wildlife extendsMountains and 20 miles into . The culturethe ofthe devoted to exploring 1,000 years ago, is overabandoned having been National Monument Chimney Rock Colorado’s SanJuan Juan River beginsin reservoir San onthe to , this as Colorado’s answer Navajo Lake. Touted shore of north on the Navajo State Park is , ABOUT PAGOSA SPRINGS 15 BIOMASS & SOLAR GREEN ENERGY: GEOTHERMAL, GREEN ENERGY: Forest Health Timber Products (Bio Char Project) Products Timber Health Forest (Geothermal) Verde Pagosa (geothermally Partnership Greenhouse Geothermal domes) growing fed Dobson Solar District Heating Geothermal Downtown County Airport County country ski cross riding, horseback hiking, Biking, trails and snowmobile Fly fishing, camping,hunting Multiple Park and Trail Systems and Trail Multiple Park BLM Lands Public to Access Park State Lake Navajo Theater Live Events Community Numerous San Juan River 3 • • • • • • • • • • • • • •

Outside Online

ATMOSPHERE PLAY WORK, LIVE,

STRONG TOURISM AND HIGH GROWTH HIGH AND TOURISM STRONG 27 Hole Golf Course 27 2 Disc Golf Courses Area Ski Creek Wolf the last 10 years. the last 10 years. 107% increase in Town lodging tax collections and lodging tax collections in Town increase 107% over lodging tax collections in County increase 165%

2 • • • opportunities are unparalleled.” opportunities unparalleled.” are Colorado… Jobs are concentrated in tourism in tourism concentrated Jobs are Colorado… annual visitors...Recreation 500,000 attracting U.S. by of authentic Springs is a microcosm “Pagosa Voted #9 in 2015 Best Towns to Live in the in Live to Best Towns #9 in 2015 Voted •

WHY INVEST IN ARCHULETA COUNTY? ARCHULETA IN INVEST WHY 1 16 ABOUT PAGOSA SPRINGS 6 4 5 • • • • • • WATCHTO City Market Natural Grocers Walmart Visionary Communications Growing Spaces Voormi ABILITY TO BUNDLEINCENTIVES GROWTH COMPANY ATTRACTION THREE COLORADO COMPANIES ENTREPRENEURIAL ENVIRONMENT

7 hotspots...long renowned among the powder renowned the hotspots...long among ofColorado’s“One unheralded outdoor most United States by NationalGeographic 2014 Voted bestski towns ofthe asone inthe cognoscenti for having the bestsnowcognoscenti state.” the inthe for having AND MANUFACTURING PRIME RETAIL MARKETFOR HOUSING, ABOUT PAGOSA SPRINGS 17 3.9% 3.4% 2.8% 2018 3.0% 2.8% 2017 4.4%

2040 2035

3.3% 3.3% 6.7% 2016 2030 2025 5.3% 3.2% 2015 4.0% Archuleta Population 2020 Archuleta Population Archuleta 2015 2010 0

5,000 25,000 20,000 15,000 10,000 Location Unemployment Rates 2015-1018 Rates Unemployment Archuleta Colorado USA Colorado Labor Market CDLE-LMI Labor Market Colorado In 2018, county unemployment rates (3.4%) were higher than the state (2.8%), and lower than the (3.9%). nation and lower (2.8%), higher than the state were (3.4%) rates unemployment In 2018, county Colorado State Demography Office 2018 Office Demography State Colorado AND INCOME WORKFORCE These population figures reflect permanent residents. residents. reflectpermanent These population figures not included. are homeowners and second visitors Seasonal POPULATION DEMOGRAPHICS 18 ABOUT PAGOSA SPRINGS also from La PlataCounty La (7.5%).also from for jobswere to going PlataCounty La (9.6%). workers Mostofthe commuting into Archuleta County for jobsare byemployment, whether place ofwork orby residence. In2015, workers ofthe most commuting county outofthe People commute to where jobsare, the buttake paychecks their Thisinfluences home. how we evaluate COMMUTING All Other CountiesAll Other CountyAlamosa PlataCountyLa Archuleta County Total AllJobs In Commuters Who worksWho inArchuleta County? Count 2,273 3,218 218 261 56 Share 100% 20% 71% 7% 2% All Other CountiesAll Other San Juan County, NM PlataCountyLa Archuleta County Total AllJobs Out Commuters Where doArchuleta Residentswork? Count 2,273 3,732 448 896 115 Share 100% 24% 61% 12% 3% ABOUT PAGOSA SPRINGS 19 $8,772 $42,112 $18,732 $29,143 $18,762 $55,981 $26,154 $55,755 $37,703 $38,801 $27,543 $65,322 $48,917 $56,524 $28,329 $42,929 $25,494 $33,944 $79,007 $50,900 $100,551 * Avg. ann. wage ann. * Avg. 1% 1% 1% 1% 1% 5% 2% 2% 2% 6% 7% 7% 4% 0% 11% 13% 13% 14% 10% 0.1% 100% % of Jobs 6 27 59 59 62 43 50 152 139 128 357 263 739 367 636 457 847 883 454 904 6,632 # of Jobs Total Other Services, except Public Administration Other Services, except Government Arts, Entertainment, and Recreation and Food Accommodation Private Education Private Services Health Professional & Business Services Professional and Enterprises Management of Companies Management and Waste Administration Finance Activities Finance Estate Real Transportation & Warehousing Transportation Information Wholesale Trade Retail Trade Construction Manufacturing Mining Utilities Archuleta County 2017 Total Employment Total 2017 County Archuleta Agriculture services. Retail trade (14%) and Government (13%) were strong employment sectors in 2017. in 2017. sectors employment strong were (13%) and Government (14%) trade services. Retail 33% is through proprietors. The service sector (highlighted) employs about 50% of workers in the county. The service sector is composed is composed The service sector in the county. about 50% of workers employs (highlighted) The service sector proprietors. is through 33% and food in accommodation are County of the service jobs in Archuleta Many scales. wage of jobs, and very different types of many Office Demography State Colorado Source: (QCEW). & Wages of Employment Census *Quarterly while earners, wage is by employment of total 67% Approximately (owners). as proprietors as well earners wage includes This table LOCAL ECONOMIC DRIVERS ECONOMIC LOCAL 20 ABOUT PAGOSA SPRINGS ANCHOR EMPLOYERS BASE ANALYSIS Town ofPagosa Springs Pine Ridge Extended Care Center LLC Wyndham Pagosa LTDSprings Resort City Market Archuleta County Visiting Southwest ofthe Angels Walmart Archuleta County 50JT School Dist. Pagosa Springs Medical Center Archuleta County 2018 Top Employers - Total Indirect Unassigned Households Tourism Regional Services Government Manufacturing Mining Agribusiness (2017)Base Industries Archuleta County

Jobs Number of 1,544 1,628 5,145 520 473 761 126 58 35 # ofJobs Jobs Percent of 100% 30% 32% 280 10% 15% 275 100 190 150 132 9% 2% 151 50 42 1% 1% 75 base employment industries are tourism economy. InArchuleta County, largest the outside dollars to circulate local withinthe bring change.and in activities These industries are responsible for overall growth Base analysis employers include localgovernments aswell asprivate provided by state Employers agencies. past years,information or collected from employer ifavailable, estimated based on each numbersThese were collected from based numbers onthe ofpeopleemployed. Top employers www.scan.org/uploads/Base_Analysis.pdf base industries inArchuleta isavailable at elsewhere (i.e. retirees). More information on money thatspend households earnedand distinguishes which distinguishes –Employers are ranked ABOUT PAGOSA SPRINGS 21 1% 77% 23% 47% 30% 106% 100% 100% $65,458 Colorado % of USA % of Total Margin of Error: ± $317 of Error: Margin $3,607 $159,477 $122,842 $535,465 $249,539 PCI 2017 $51,640 $54,646 $39,944 is the sum of all income paid to residents of Archuleta County from County of Archuleta residents to paid is the income of all sum

of Archuleta County is 77% of the National PCI and 73% of Colorado’s PCI. Per PCI. Per Colorado’s of is 77%the of National PCI and 73% County of Archuleta 5 Year Median Household Income (2013-2017) 5 Year 2017 Total Personal Income ($000) Personal Total 2017 2017 Per Capita Income Capita Per 2017 is where half of the homes in the area earn more and half earn less. It’s used instead of used instead less. It’s and half earn more earn half of the homes in the area is where Employment Earnings Employment Adjustment Residency Dividends, Interest & Rent Dividends, Interest Transfer Payments Transfer TPI Estimated USA Colorado Archuleta Archuleta County Archuleta $48,016 ± $5,197 of Error: Margin status. MEDIAN INCOME (MI) MEDIAN INCOME actual economic of an area’s picture accurate a more it can give because household income or mean the average total population. These figures do not include second homeowners. second do not include population. These figures total PER CAPITA INCOME (PCI) INCOME CAPITA PER by income total dividing the areas by calculated It is person. per income the average measures Income Capita TOTAL PERSONAL INCOME (TPI) INCOME PERSONAL TOTAL from up payments, transfer through of TPI in 2015. 15% (16%) million in $87 (60+) brought Retirees sources. various 22 ABOUT PAGOSA SPRINGS Commercial Properties are averaging $167/square foot over last24 the months. LOCAL HOMEMARKETINARCHULETA COUNTY More detailedinformation regarding Archuleta County isavailable atwww.scan.org regional under data. price home median The inArchuleta County is$361,700 requiring anincome of$100,000. assumption. It isdetermined thatrental exceed not utilitiesshould and 30%ofincome. Figures below are based onthis COST OFRENTAL HOUSINGINARCHULETA COUNTY Southwest_Colorado_2019-2.pdf onLivable Afullreport bedroom Wages apartment. isavailable https://scan.org/uploads/Livable_Wages_in_ A minimumof$25,572 annuallyprovided alivable wage inArchuleta County, for person asingle renting aone- LIVABLE WAGES Average SalePrice Median SalePrice Towhuse/Condo Average SalePrice Median SalePrice FamilySingle Home Archuleta County 3 Bedroom 2 Bedroom 1 Bedroom Units Archuleta County $205,162 $210,000 2018 $407,546 $354,500 2018 June $1,375 $1,250 $850 Rent $207,050 $170,750 2019 $531,783 $379,000 2019 $55,000 $50,000 $34,000 RequiredIncome %Change %Change +30.5% -18.7% +0.9% +6.9% $1,242 $913 $708 Rent Fair Market $233,382 $166,500 2018 $410,343 $350,000 2018 Year to Date $215,331 $197,500 2019 $448,514 $365,000 2019 $49,500 $37,000 $28,000 RequiredIncome

%Change %Change +18.6% +4.3% +9.3% -7.7% ABOUT PAGOSA SPRINGS 23 – The area is served by CenturyLink, Zito Media, Visionary Media, Visionary CenturyLink, Zito is served by – The area – Residential and commercial solid waste collection is provided by At Your Disposal, Disposal, Your At by is provided collection solid waste – Residential and commercial - Most of the area is served by the Pagosa Area Water and Sanitation District and Sanitation District Water Area the Pagosa by is served - Most of the area -The area is served by Black Hills and various propane distributors. propane Hills and various Black is served by area -The

- The entire county is served by La Plata Electric Association. Association. La Plata Electric by is served county - The entire - Most of the area is served by the Pagosa Area Water and Sanitation District (PAWSD) or (PAWSD) and Sanitation District Water Area the Pagosa by is served - Most of the area

Telecommunications and Hughes Net. BacaTec, Communications, Solid Waste Solid Waste Disposal, and the Your At Elite, by provided services are Recycling Management, and Elite. Waste in the main landfill is located Station. The community’s and Transfer Recycling County Archuleta county Wastewater have or districts water rural by served are others Sanitation (TOPS); of Pagosa or the Town (PAWSD) system. septic their own Water wells. their own have or districts water rural served by are others Sanitation (TOPS); of Pagosa Town Natural Gas Natural Electric INFRASTRUCTURE 24 ABOUT PAGOSA SPRINGS crafts, religious. and is avariety theater, camps including summer ofother sports, 5 to 12 featuring classes, crafts outdoor and There activities. Town ofPagosa Springs offers “Kick’n ItKids Camp” for ages Child Care Availability Wingsbuilt Preschool scheduled to openinfall of2019. of Learning withnationalNAEYC accreditation newly the and construction industry. Preschool educationincludes: Seeds to teaching highschool students trade skills for the community. “BuildPagosa” isaprogram dedicated Savior Lutheran School (K-5), aswell asanactive homeschool PagosaK –12, Peak OpenSchool (K-5), Goal Academy, Our County Education Center. Archuleta County District 50JT; Educational Facilities Officethe statutory has designated responsibilityfire Sheriff’s stations.The forwildland fires. Office. Most ofthe County fire protection is providedthe by Pagosa Fire Protection District thathas seven rural Police &Fire Departments SERVICES - In the summer months, the the months, summer -Inthe - Opportunities include: Archuleta- Opportunities -Pagosa Springs isserved by County and amunicipal police department Sheriff’s Center emergency as isarural services with24/7 hospital Medical Facilities fuel availability. shower facilities catering. and alsooffers airport The 24/7 offers excellent facilities including private rooms, meeting at Stevens Field is8100x100 FBOrunby The feet. AVjet beautifulmost inAmerica. runway longest The airports locatedAirport, atStevens Field, istouted ofthe asone Archuleta County Airport tosupport elderly. the Care Facility has60bedsproviding complete medical Group offers acute Pine services. medical RidgeExtended health, counseling, Pagosa diagnostics. and Medical providesand integrated health including mental services cancer treatment. Axis Health System hasalocaloffice well surgical asahealth clinic, center, infusionand and - The Pagosa -The Springs Medical - The Archuleta -The County ABOUT PAGOSA SPRINGS 25

Pagosa Springs and Archuleta Parks and Recreation Departments have a myriad of a myriad Departments have and Recreation Parks and Archuleta Springs Pagosa - Beehive Homes, Casa De Los Arcos, Socorro, and Archuleta Housing Inc. provide apartments Housing Inc. and Archuleta provide Socorro, Arcos, Los De Homes, Casa - Beehive

27-Hole Golf Course 27-Hole Area Ski Creek Wolf Community center that supports recreational activities for all ages activities for that supports recreational center Community Senior center 2 Miles of accessible river to enjoy rafting, tubing, river play, and fly fishing play, tubing, river rafting, enjoy to river 2 Miles of accessible centers work-out Two wall Indoor climbing 3 Public hot springs facilities 3 Public hot springs downtown and 6 public parks trails town 3 Miles of walkable

• • • • • • • • • facilities serving all age ranges in the community including: 2 lighted baseball fields, 4 soccer fields, 2 fishing fields, 4 soccer baseball 2 lighted including: servingfacilities in the community all age ranges as trails, and snowmobile tracks country ski of cross and an array rink, 2 disc golf courses, skating ponds, seasonal and a summer venues. concert biking hiking, used for in the heart of downtown, Park, Mountain as a 160 acre well Recreation Facilities: Recreation WORLD’S DEEPEST HOT SPRINGS, WOLF CREEK SKI AREA, LIVE THEATER, CREEK SKI AREA, THEATER, SPRINGS, WOLF HOT LIVE DEEPEST WORLD’S DANCE, AND CONCERTS AMENITIES options are based on a sliding income scale. Visiting Angels provides home care assistance services. assistance home care Angels provides scale. Visiting a sliding on income based are options Senior LivingSenior Some housing from ranging the elderly. and rooms for setting a communal in rooms independent living to 26 ECONOMIC DEVELOPMENT STRATEGY under-served areas core. business the and planto connections toa business implementing start was justcompleted by Pagosa the Springs CDCwith backbone. Anew regional broadband project planning its anchor institutions were connected to afiber Access Network (SCAN) Project inwhich of some County participated 2010 inthe Southwest Colorado County’s economic educationalgrowth. and Archuleta of broadband Archuleta iscrucialfor furthering Due to terrain distance and challenges, expansion the STRATEGIC CHALLENGES • • • • • include: have identifiedanumberofstrategic priorities. These Archuleta County Town the and ofPagosa Springs Springs Community Development Corporation. Pagosa the –Economic missionfrom visionand sustainability.” inorderbusinesses to maximize profitability their and Corporation (PSCDC)willwork closely withexisting Pagosathe Springs Community Development community. Inaddition, creating friendly abusiness jobs; encouraging new capital investment; and Pagosa Springs Archuleta and County by creating is to quality enhance the oflife for citizens the of encourage adiverse economic base.Ourmission grow ourlocal and businesses, support and qualityand oflife for ourresidents. We willretain, “Archuleta County willpromote community values Diversification economic ofthe base. Springs area, and Increasing vitality the downtown ofthe Pagosa Availability ofaffordable housing programs Early childcare educationfacilities and and Expansion ofbroadband capacity

formative years willincrease highschool graduation that early childhood educationinachild’s most filled to capacity withlong lists. Datasupports waiting entire the facilities community, serving are those rangeage There in2016. are alsoonlythree preschool range,age withanestimated 553 children inthat only 223licensed child care slotsavailable for 0-5 the for demand The childcare outweighs supplywith the increases invacation rentals by owners decreases and familiestheir to live. rents, Rising simultaneous employees because there place isno for and them growth diversity and recruit cannot businesses when lackThe ofworkforce stymies housing economic creating 40slots. anadditional new Wings Preschool scheduled to openinfall of2019 on thisissueare underway ofthe addition withthe stabilizehelp family their economically. to Efforts work also allows for parents to reenter workforce the and students before formal schooling begins. Childcare achievement gapbetween low high-income and education alsopreemptively closes educational the children placed inspecialeducation.Early childhood reduceand bothgrade repetition numberof the and rates, improve performance onstandardized tests, ECONOMIC DEVELOPMENT STRATEGY 27 NEXT STEPS NEXT SMART GROWTH AMERICA GROWTH SMART Invest in broadband access in broadband Invest affordable increase opportunities for to Look downtown to housing within and connected services and County Town coordinate to Work possible wherever Focus on downtown OZ site that recognizes that recognizes site OZ on downtown Focus as the heart of the community downtown on development mixed-use a walkable Create (non-OZ) in downtown site Partners Springs • • • and extended living services. and extended the influx the area, to visitors new welcomes tourism As service level lower-income, many the need for creates non- longer-term, providing industry jobs. However, are and job skills higher jobs, with wages seasonal of our community. strength the overall for challenges • • as well as middle –income, aging visitors wanting to to wanting aging visitors –income, middle as as well land costs the lower Additionally, here. retire ultimately relatively cities metropolitan large with compared in second increase a large created have nearby, in invest to and individuals wanting homeowners age of The overall rentals. vacation homes used for of the older than state is 10 years County Archuleta health additional planning for thus requiring Colorado, The increase in tourism has driven the growth of our the growth has driven in tourism The increase adventurers outdoor young attracting town, river/ski biochar by-product manufacturing. by-product biochar jobs accounted for 2% of total employment. More More employment. 2% for total of jobs accounted opportunities presented have risks wildfire recently, and source energy use of biomass as an alternative for $7.4 million in earnings. Over the next 20 years years 20 the next Over in earnings. million $7.4 the to due primarily jobs decreased, manufacturing manufacturing In 2015 of the timber industry. decline Archuleta county up to the mid - to - late 1970s. In 1970, In 1970, 1970s. - late the mid - to up to county Archuleta provided products) wood (primarily manufacturing and generated income work total 30% of the county’s resources (such as ranching, mineral production, production, mineral as ranching, (such resources supported attractions), lumber and recreational Diversification of the economic base is an overarching overarching base is an of the economic Diversification of natural The extraction County. in Archuleta goal area and hub of events for both tourists and locals will both tourists for and hub of events area and as a tourist of downtown the desirability increase shopping destination. will revive and reinvigorate the downtown core and core the downtown and reinvigorate will revive supporting businesses. Maximizing the San Juan as a recreation parks, and associated area, Riverwalk Improving the Pagosa Springs downtown downtown Springs the Pagosa Improving infrastructure, and mix of businesses streetscape, development of the “Roadmap to Affordable Housing” Affordable of the to “Roadmap development plan. jobs in Archuleta County are in accommodation and in accommodation are County jobs in Archuleta project in a LIHTC invested services. The County food in the invested and the Town in the works currently than one-third on housing of their costs. income dependent highly on are and employment Wages of the jobs. Many service sector paying lower generally contributing to a housing crisis. Housing experts a housing crisis. to contributing should not spend more a family that ideally agree in long-term rentals, a lack of low price housing price of low a lack rentals, in long-term factors as identified been have wages and low stock, 28 ECONOMIC DEVELOPMENT STRATEGY and reinforcedand positive the direction Town the ofPagosa Springs hasembarked on. In2017businesses. Pagosa Springs received Growth America aSmart grant which alsogave suggested next steps creating thatseekto guidelines enhance community’s the stability, vibrancy way and oflife for itsresidents and Archuleta County Pagosa and Springs have each addressed current the economic development challenges by ARCHULETA COUNTY &PAGOSA SPRINGS PLANS FOR THEFUTURE PAGOSA SPRINGSFORWARD ARCHULETA COUNTY COMMUNITY ACTION PLAN EARLY CHILDHOODCARE &EDUCATION PLAN ROADMAP TO AFFORDABLE HOUSINGPLAN TOWN COMPREHENSIVE PLAN PLANNING DOCUMENT (CDAP adopted 2018) (Adopted 2018) • • • • • • • • • • DOCUMENT GOALS &RECOMMENDATIONS needs. Adoptedneeds. in2017 Assessed Early Childcare educationcommunity and Adopted in 2019 Focused programs onhousing targeted and areas. lakes trail safety, improve healthcare facility, improve town to economic development organization (CDC),school Archuleta County residents including sustaining projects toIdentify improve “quality oflife” for Expand outdoor recreation availability Childcare expansion, Vocational training, Housing development: Biomass utilization,Broadband, Early “HighPriority”Identify projects related to OZ improvement, River Walk trails and expansion Develop downtown area through infrastructure Explore TIFdevelopment Layer tools incentives and regulations create public/private evaluate partnerships, zoning through appropriatehousing identifying locations, Create adevelopment environment thatfacilitates alternativetransportation, energy use,education, infrastructure, land housing, Addresses topics including community identity, ECONOMIC DEVELOPMENT STRATEGY 29 30 OPPORTUNITY ZONE DISTRICTS OPPORTUNITY ZONE DISTRICTS 31 1. MOUNTAIN CROSSING 1. MOUNTAIN 2. GATE RIVER’S 3. DOWNTOWN 4. HILL PUTT EAGLE 5. PIEDRA PARK INDUSTRIAL 6. CLOMAN 32 OPPORTUNITY ZONE DISTRICTS MOUNTAIN CROSSING 0 Web Print: 08/01/2019 Co. Springs, District-Pagosa OZ Crossings Mountain 000000000 752 1,504.66 000000 1. 1,505 Feet This map is a user generated static output from an Internet mapping site and is for reference only. Data layers that appear on this map may or may not be accurate, current, or otherwise reliable. ©2019 Sidwell. Allrights reserved. OPPORTUNITY ZONE DISTRICTS 33

Intersection of Hwy 160 (east/west) and 160 (east/west) of Hwy Intersection 84 (south) Hwy rights Water 3-phase electric and sanitation water PAWSD gas Natural the intersection services to 1 gig broadband granted has been Subdivision approval in 2019 improvement Road Lodging Housing Retail approval with re-zoning Light Manufacturing (Similar industry nearby) Center Regional Transportation INFRASTRUCTURE: • • • • • • • • OPTIONS: POSSIBLE DEVELOPMENT • • • • •

Ski Area and highway intersection and highway Area Ski Existing public transportation service could easily be public transportation easily service could Existing extended Creek Wolf between transportation center Central Expand light manufacturing and/or with existing with existing and/or light manufacturing Expand company Watch Colorado space with green space live/work great Create Large-scale projects housing, retail and grow and grow housing, retail projects Large-scale opportunities

Wolf Creek Ski Area, and rodeo grounds and rodeo Area, Ski Creek Wolf downtown Pagosa Springs Pagosa downtown San Juan River, walk, river amenities including Outdoor PROXIMITY ADVANTAGES: PROXIMITY shopping, and 1 mile from Restaurants, Exiting • • • • • OPPORTUNITIES: Located at the intersection of two major highways, highways, major of two at the intersection Located of a wide range the developer offers Mountain Crossing 110 acres size options. Parcel DISTRICT 1: MOUNTAIN CROSSING 1: MOUNTAIN DISTRICT 34 OPPORTUNITY ZONE DISTRICTS RIVER’S GATE 0 Web Print: 07/29/2019 District OZ Gate River's 000000000 752 1,504.66 000000 1. 1,505 Feet This map is a user generated static output from an Internet mapping site and is for reference only. Data layers that appear on this map may or may not be accurate, current, or otherwise reliable. ©2019 Sidwell. Allrights reserved. OPPORTUNITY ZONE DISTRICTS 35

Lodging Retail Restaurant dwelling units dwelling along San Juan River Commercial Mixed-Use ■ ■ ■ walk, hot springs, Reservoir Hill Recreation Park. Park. Hill Recreation Reservoir hot springs, walk, District flank of the Downtown on the east Located a create to district in this OZ located Multiple parcels options of development variety with some District Water Area the Pagosa Within boundaries. district lines entering water Sanitation Springs the Pagosa into Inclusion (PSSGID) District needed Improvement General vicinity Gas in near Natural vicinity in near Electric service availability Internet the with Rights Agreement has a Vested Property county at 482 proposed Residential – previously Close to amenities: restaurants, retail, lodging, river lodging, river retail, amenities: restaurants, Close to • PROXIMITY ADVANTAGES: PROXIMITY • • INFRASTRUCTURE: • • • • • • OPTIONS: POSSIBLE DEVELOPMENT • OPPORTUNITIES: •

the intersection of U.S.the 160 and intersection U.S. Hwy 84. Hwy Most mountain views. incredible have properties would the downtown area are poised to reap the rewards. the rewards. reap poised to are area the downtown and north sits acres of 412 is approximately The area in the upcoming years. With the potential expansion expansion the potential With years. in the upcoming Resort of The Springs and the and improvements in the parcels downtown, visitors of growth continued The hub of the community, downtown Pagosa Pagosa downtown The hub of the community, opportunities growth see many to is slated Springs opportunity of the San Juan along the northern banks River. variety of types including: small cottages, single family, single family, small cottages, including: of types variety units. and mixed-use condominiums townhomes, development commercial is also a potential There agreement includes an extension provision. provision. an extension includes agreement with a proposed units were of 484 residential A total vested rights (VR) for the Planned Unit Development, the Planned Unit Development, for (VR) rights vested the economic during in 2010 being approved however, The VR ground. broke never the project downturn The development had previously been granted 10-year 10-year been granted had previously The development development with its proximity to all that Downtown all that Downtown to with its proximity development shopping, dining, services, offer: San Juan River, has to and more. facilities and recreation parks along the northern banks of the San Juan River. of the Juan River. San along the northern banks of the flank on the eastern is located The District residential a for ideal is District, which Downtown River’s Gate is a previously proposed residential residential proposed is a previously River’s Gate opportunities with some commercial community DISTRICT 2: RIVER’S GATE RIVER’S 2: DISTRICT 36 OPPORTUNITY ZONE DISTRICTS DOWNTOWN PAGOSA/TOWNCENTER 0 Web Print: 08/01/2019 Co. Springs, District-Pagosa OZ Downtown 1,505 000000000 3,009.33 000000 1. 3,009 Feet This map is a user generated static output from an Internet mapping site and is for reference only. Data layers that appear on this map may or may not be accurate, current, or otherwise reliable. ©2019 Sidwell. Allrights reserved. OPPORTUNITY ZONE DISTRICTS 37

Pagosa Water and Sanitation System Water Pagosa Access Geothermal Service 1 gig Broadband Gas Natural 3-phase Electric Route Public Transportation Existing Retail Lodging/condos Apartment Housing Restaurant Facility Hot Springs Space Office Work/ INFRASTRUCTURE: • • • • • • OPTIONS: POSSIBLE DEVELOPMENT • • • • • •

Tourism Heart of downtown hot springs walk, shopping, river Restaurants, Art work space Art work Office space space Office Housing /Lodging Downtown retail development retail Downtown

• • • • ADVANTAGES: PROXIMITY • • OPPORTUNITIES: • incentives. The main parcel is .78 acres and sits at the acres is .78 The parcel main incentives. 160 and Lewis of Hwy intersection other available pieces of land. While not all parcels of land. While not all parcels pieces other available in the Enterprise are they in the Opportunity Zone, are local with attractive and be combined can still Zone in the downtown area are poised to reap the rewards. the rewards. reap poised to are area in the downtown with can be combined they smaller, are While parcels is slated to see many growth opportunities growth in the many see to is slated of improvements the potential With years. upcoming the parcels ResortThe Springs property, and adjacent DISTRICT 3: DOWNTOWN PAGOSA SPRINGS/TOWN CENTER SPRINGS/TOWN PAGOSA 3: DOWNTOWN DISTRICT Springs Pagosa downtown The hub of the community, 38 OPPORTUNITY ZONE DISTRICTS PUTT HILL 0 Web Print: 07/29/2019 Putt Hill OZ District 000000000 752 1,504.66 000000 1. 1,505 Feet This map is a user generated static output from an Internet mapping site and is for reference only. Data layers that appear on this map may or may not be accurate, current, or otherwise reliable. ©2019 Sidwell. Allrights reserved. OPPORTUNITY ZONE DISTRICTS 39 PAWSD water and sanitation water PAWSD Gas Natural Broadband Route Transportation Public On Existing Use Mixed Space Live/Work Housing INFRASTRUCTURE: • • • • OPTIONS: POSSIBLE DEVELOPMENT • • •

Close to downtown downtown Close to Multiple parcels available available Multiple parcels downtown Close to range the of east Stunningviews Housing Retail

• • • • PROXIMITY ADVANTAGES: PROXIMITY • • OPPORTUNITIES: multiple smaller housing projects. Perfect for for Perfect multiple housing smaller projects. and smaller square multiplexes, townhomes, units. footage This area of Pagosa Springs is well designed for designed for is well Springs of Pagosa This area DISTRICT 4: PUTT HILL DISTRICT 40 OPPORTUNITY ZONE DISTRICTS PIEDRA EAGLE 0 Web Print: 07/29/2019 Enter MapTitle... 000000000 752 1,504.66 000000 1. 1,505 Feet This map is a user generated static output from an Internet mapping site and is for reference only. Data layers that appear on this map may or may not be accurate, current, or otherwise reliable. ©2019 Sidwell. Allrights reserved. OPPORTUNITY ZONE DISTRICTS 41 Live/Work Space Live/Work Located in Art District Located Businesses Multiple Neighboring Restaurants 3- Phase Electric Gas Natural Broadband and System Sanitation Water PAWSD Retail Lodging Gallery/Theater/Studios Restaurant • PROXIMITY ADVANTAGES: PROXIMITY • • • INFRASTRUCTURE: • • • • OPTIONS: POSSIBLE DEVELOPMENT • • • •

Retail Arts Live/Work Create a mix of attractive public facilities public a mix of attractive Create

• • • development options. options. development OPPORTUNITIES: for the Arts is an attractive draw. It is also a short drive It is also a short drive draw. the Artsfor is an attractive Multiple and breweries. restaurants numerous to of a variety create district in this OZ located parcels to locate a business or continue the development of the development a business or continue locate to the live galleries, the Arts Along with several culture. Center Springs in the Pagosa Mountains” “Broadway end of the Opportunity Zone census tract, this area tract, area this census end of the Opportunity Zone section of the town and is a great located is centrally DISTRICT 5: PIEDRA EAGLE DISTRICT and the west downtown between midway Located 42 OPPORTUNITY ZONE DISTRICTS

CLOMAN PARK 0 Web Print: 07/29/2019 District OZ Park Indutsrial Cloman 1,505 000000000 1,504.66 000000 Feet 1. This map is a user generated static output from an Internet mapping site and is for reference only. Data layers that appear on this map may or may not be accurate, current, or otherwise reliable. ©2019 Sidwell. Allrights reserved. OPPORTUNITY ZONE DISTRICTS 43

3-Phase Electric and Sanitation Water with fiber available Broadband Wireless build-out planned sites Multiple industrial divide into or parcels larger develop to Ability smaller parcels Center Data or Call Airport Hangers Manufacturing InfrastructureAdditional Build Out Improvement Road INFRASTRUCTURE: • • • OPTIONS: DEVELOPMENT POSSIBLE • • • • • • •

Close to Public Transportation Close to InfrastructureMost Industrial the Park Within Location to Outdoor Activities Outdoor to Location Biochar project – a clean energy, marketable marketable energy, a clean – project Biochar product. Accommodate large or mid-size manufacturing or mid-size large Accommodate

• • PROXIMITY ADVANTAGES: PROXIMITY • • • Project. Project. OPPORTUNITIES: including biking, hiking, cross country skiing, disc golf country skiing, cross hiking, biking, including project and Another a dog park. Opportunity Zone Biochar Health Forest Park, in Cloman is also located looking to provide a great work environment for for environment work great a provide to looking outdoor year-round the myriad will enjoy employees Cloman Park in and near opportunities located buildable lots. Another prime parcel is 114 acres and is 114 acres parcel Anotherbuildable lots. prime in part or in whole. Companies can be developed Archuleta County Airport and has several large parcels parcels large Airport and has several County Archuleta One parcel development. for ready of landare that 29 divided into and is already of 30 acres is just shy Cloman Park is the only industrially zoned area area zoned is the only industrially Cloman Park from throw It is a stone’s the Springs. in Pagosa DISTRICT 6: CLOMAN PARK CLOMAN 6: DISTRICT 44 INVESTMENT PROJECTS • • MANUFACTURING • • • LODGING/RETAIL • • • • HOUSING call centers Cloman Park (P42): Lightorheavy manufacturing, centertransportation greenhouses, lightindustrial, regional Mountain Crossing (P32): Lightmanufacturing, work space Piedra Eagle (P40): center, galleries, shops, art live/ space, springs hot facility Downtown (P36): boutiquehotel, shops, live/work stores franchised Mountain Crossing (P32): hotel/motel, strip center, units Piedra Eagle (P40): live/work space, multi-housing units, condos,smaller multi-housing live/work space Putt Hill(P38): smallerparcels to accommodate small cluster housing Downtown (P36):smallerprojects for condos or for affordable orattainable live/work housing, space Mountain Crossing (P32): larger scaledevelopment ASK AND CONTACT 45 970-264-2360 CONTACT: JO COULEHAN MARY Director of Commerce Chamber Springs Pagosa to attracting and supporting attracting high-impact investments to community. our that will benefit and grow Opportunity Zone real estate and business projects. and business projects. estate real Opportunity Zone committed are County and Archuleta Springs Pagosa With the 6 key districts located within the zone, we we within the zone, located districts the 6 key With and profitable investable with well-positioned are Pagosa Springs a great place to start a a business, raise to place a great Springs Pagosa provides economy tourism The strong or retire. family population and job growth. expanded The Pagosa Springs area is prime for Opportunity for is prime area Springs The Pagosa makes community Our livable Investment. Zone