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HomeMy WebLinkAbout2022.0621.TCRM.Packet       NOTICE OF MEETING COMBINED REGULAR MEETING/JOINT MEETING FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT BOARD FOUNTAIN HILLS TOWN COUNCIL      Mayor Ginny Dickey Vice Mayor Gerry Friedel Councilmember Sharron Grzybowski Councilmember Alan Magazine Councilmember Peggy McMahon Councilmember Mike Scharnow Councilmember David Spelich    TIME:5:30 P.M. – COMBINED REGULAR MEETING/JOINT MEETING WHEN:TUESDAY, JUNE 21, 2022 WHERE:   FOUNTAIN HILLS COUNCIL CHAMBERS 16705 E. AVENUE OF THE FOUNTAINS, FOUNTAIN HILLS, AZ Councilmembers of the Town of Fountain Hills will attend either in person or by telephone conference call; a quorum of the Town’s various Commission, Committee or Board members may be in attendance at the Council meeting.   Notice is hereby given that pursuant to A.R.S. §1-602.A.9, subject to certain specified statutory exceptions, parents have a right to consent before the State or any of its political subdivisions make a video or audio recording of a minor child. Meetings of the Town Council are audio and/or video recorded and, as a result, proceedings in which children are present may be subject to such recording. Parents, in order to exercise their rights may either file written consent with the Town Clerk to such recording, or take personal action to ensure that their child or children are not present when a recording may be made. If a child is present at the time a recording is made, the Town will assume that the rights afforded parents pursuant to A.R.S. §1-602.A.9 have been waived.    REQUEST TO COMMENT The public is welcome to participate in Council meetings. TO SPEAK TO AN AGENDA ITEM, please complete a Request to Comment card, located in the back of the Council Chambers, and hand it to the Town Clerk prior to discussion of that item, if possible. Include the agenda item on which you wish to comment. Speakers will be allowed three contiguous minutes to address the Council. Verbal comments should be directed through the Presiding Officer and not to individual Councilmembers. TO COMMENT ON AN AGENDA ITEM IN WRITING ONLY, please complete a Request to Comment card, indicating it is a written comment, and check the box on whether you are FOR or AGAINST and agenda item, and hand it to the Town Clerk prior to discussion, if possible. TO COMMENT IN WRITING ONLINE: Please feel free to provide your comments by visiting  https://www.fh.az.gov/publiccomment and SUBMIT a Public Comment Card by 3:00 PM on the day of the meeting. These comments will be shared with the Town Council.             NOTICE OF OPTION TO RECESS INTO EXECUTIVE SESSION Pursuant to A.R.S. §38-431.02, notice is hereby given to the members of the Town Council, and to the general public, that at this meeting, the Town Council may vote to go into executive session, which will not be open to the public, for legal advice and discussion with the Town's attorneys for legal advice on any item listed on the following agenda, pursuant to A.R.S. §38-431.03(A)(3).        1.CALL TO ORDER AND PLEDGE OF ALLEGIANCE – Mayor Dickey     2.MOMENT OF SILENCE     3.ROLL CALL – Mayor Dickey     4.REPORTS BY MAYOR, COUNCILMEMBERS AND TOWN MANAGER     A.PROCLAMATION: July as Park and Recreation Month.    5.SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS     A.PRESENTATION: Monthly Report by Captain Kratzer with Maricopa County Sheriff's Office.    6.CALL TO THE PUBLIC Pursuant to A.R.S. §38-431.01(H), public comment is permitted (not required) on matters NOT listed on the agenda. Any such comment (i) must be within the jurisdiction of the Council, and (ii) is subject to reasonable time, place, and manner restrictions. The Council will not discuss or take legal action on matters raised during Call to the Public unless the matters are properly noticed for discussion and legal action. At the conclusion of the Call to the Public, individual councilmembers may (i) respond to criticism, (ii) ask staff to review a matter, or (iii) ask that the matter be placed on a future Council agenda.     7.CONSENT AGENDA ITEMS All items listed on the Consent Agenda are considered to be routine, noncontroversial matters and will be enacted by one motion of the Council. All motions and subsequent approvals of consent items will include all recommended staff stipulations unless otherwise stated. There will be no separate discussion of these items unless a councilmember or member of the public so requests. If a councilmember or member of the public wishes to discuss an item on the Consent Agenda, he/she may request so prior to the motion to accept the Consent Agenda or with notification to the Town Manager or Mayor prior to the date of the meeting for which the item was scheduled. The items will be removed from the Consent Agenda and considered in its normal sequence on the agenda.     A.CONSIDERATION AND POSSIBLE ACTION: Approval of the minutes of the Regular Meeting of June 7, 2022.     B.CONSIDERATION, AND POSSIBLE ACTION: Approval of a six-month extension to the      Town Council Regular Meeting of June 21, 2022 2 of 4 B.CONSIDERATION, AND POSSIBLE ACTION: Approval of a six-month extension to the approved Special Use Permit  to allow 17 residential units on a 1.62-acre property generally located north of the northeast corner of N. Saguaro Boulevard and E. Shea Boulevard (AKA 9637 N. Saguaro Boulevard; APN#176-10-805) on the C-1 (Neighborhood Commercial) zoning district.     C.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-33, approving Intergovernmental Agreement amendments with the Regional Public Transit Authority relating to the RideChoice Transportation Services program and for bus services on Route 515 in Fountain Hills.     D.CONSIDERATION AND POSSIBLE ACTION: Request to apply and take receipt of Prop 202 Grant Funding from Salt River Pima-Maricopa Indian Community.     8.REGULAR AGENDA     A.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-32 Repealing Resolution 2022-02 Adopting a New Fountain Lighting Policy.     B.DISCUSSION WITH POSSIBLE DIRECTION: Relating to any item included in the League of Arizona Cities and Towns’ weekly Legislative Bulletin(s) or relating to any action proposed or pending before the State Legislature.     9.COUNCIL DISCUSSION/DIRECTION to the TOWN MANAGER Item(s) listed below are related only to the propriety of (i) placing such item(s) on a future agenda for action, or (ii) directing staff to conduct further research and report back to the Council.     10.ADJOURNMENT     JOINT MEETING Immediately following the Regular Town Council Meeting Approximately 6:00 P.M.     1.CALL TO ORDER - Mayor Ginny Dickey and President Nadya Jenkins     2.INTRODUCTION of attending members by Mayor Dickey and President Jenkins     3.DISCUSSION ITEMS of mutual interest:    A.DISCUSSION RELATED TO SAFETY AND SECURITY OF FOUNTAIN HILLS SCHOOLS AND      Town Council Regular Meeting of June 21, 2022 3 of 4 A.DISCUSSION RELATED TO SAFETY AND SECURITY OF FOUNTAIN HILLS SCHOOLS AND CAMPUSES Safe Routes to School - Possible Grant Opportunities Flashing School Crossing Signs Pedestrian Safety & Rules of the Road (Bikes, Skateboards, and Walkers) Other Items of Interest     B.PROPOSED TRANSPORTATION INTERGOVERNMENTAL AGREEMENT     C.DISCUSSION RELATING TO INTERGOVERNMENTAL AGREEMENTS BETWEEN THE TOWN OF FOUNTAIN HILLS AND THE FOUNTAIN HILLS SCHOOL UNIFIED SCHOOL DISTRICT  Resolution 2003-68 - Intergovernmental Agreement relating to Channel 99 Resolution 2007-01 - Intergovernmental Agreement relating to construction, installation, operation, maintenance, and joint use of facilities for recreational and athletic facilities Resolution 2007-26 - Intergovernmental Agreement relating to shared use of District and Town facilities     D.POSSIBLE FUTURE USE OF THE FOUR PEAKS AND MCDOWELL MOUNTAIN SCHOOL SITES BY THE TOWN OF FOUNTAIN HILLS     4.ADJOURNMENT       CERTIFICATE OF POSTING OF NOTICE The undersigned hereby certifies that a copy of the foregoing notice was duly posted in accordance with the statement filed by the Town Council with the Town Clerk. Dated this ______ day of ____________________, 2022. _____________________________________________  Linda G. Mendenhall, MMC, Town Clerk   The Town of Fountain Hills endeavors to make all public meetings accessible to persons with disabilities. Please call 480-816-5199 (voice) or 1-800-367-8939 (TDD) 48 hours prior to the meeting to request a reasonable accommodation to participate in the meeting or to obtain agenda information in large print format. Supporting documentation and staff reports furnished the Council with this agenda are available for review in the Clerk's Office.    Town Council Regular Meeting of June 21, 2022 4 of 4 ITEM 4. A. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Reports                  Submitting Department: Administration Prepared by: Angela Padgett-Espiritu, Executive Assistant to Manager, Mayor/Council Staff Contact Information: Angela Padgett-Espiritu, Executive Assistant to Manager, Mayor/Council Request to Town Council Regular Meeting (Agenda Language):  PROCLAMATION: July as Park and Recreation Month. Staff Summary (Background) Mayor Dickey will be proclaiming July as Park and Recreation Month. Attachments Proclamation - July as Park and Recreation Month  Form Review Inbox Reviewed By Date Finance Director David Pock 05/04/2022 06:58 AM Town Attorney Aaron D. Arnson 05/04/2022 11:15 AM Town Manager Grady E. Miller 05/05/2022 04:15 PM Form Started By: Angela Padgett-Espiritu Started On: 05/03/2022 03:58 PM Final Approval Date: 05/05/2022  ITEM 7. A. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent                  Submitting Department: Administration Prepared by: Linda Mendenhall, Town Clerk Staff Contact Information: Request to Town Council Regular Meeting (Agenda Language):  CONSIDERATION AND POSSIBLE ACTION: Approval of the minutes of the Regular Meeting of June 7, 2022. Staff Summary (Background) The intent of approving meeting minutes is to ensure an accurate account of the discussion and action that took place at the meeting for archival purposes. Approved minutes are placed on the Town's website and maintained as permanent records in compliance with state law. Related Ordinance, Policy or Guiding Principle N/A Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approving the minutes of Combined Special Meeting/Budget Workshop of April 12, 2022; and the Regular Meeting of May 17, 2022.  SUGGESTED MOTION MOVE to approve the minutes of the Combined Special Meeting/Budget Workshop of April 12, 2022; and the Regular Meeting of May 17, 2022. Attachments 2022_06_07 Town Council Meeting Minutes  2022.6.7 Meeting Minutes  Form Review Inbox Reviewed By Date Town Manager Grady E. Miller 06/13/2022 06:03 PM Form Started By: Linda Mendenhall Started On: 06/06/2022 08:30 AM Final Approval Date: 06/13/2022  TOWN OF FOUNTAIN HILLS MINUTES OF THE REGULAR MEETING OF THE FOUNTAIN HILLS TOWN COUNCIL JUNE 7, 2022            1.CALL TO ORDER AND PLEDGE OF ALLEGIANCE – Mayor Dickey    Mayor Dickey called the Regular Meeting of the Fountain Hills Town Council held June 7, 2022, to order at 5:30 p.m. and led the Council and audience in the Pledge of Allegiance.   2.MOMENT OF SILENCE    A Moment of Silence was held.   3.ROLL CALL – Mayor Dickey Present: Mayor Ginny Dickey; Councilmember Mike Scharnow; Councilmember David Spelich; Vice Mayor Gerry Friedel; Councilmember Sharron Grzybowski; Councilmember Peggy McMahon; Councilmember Alan Magazine Staff Present: Town Manager Grady E. Miller; Town Attorney Aaron D. Arnson; Town Clerk (outgoing) Elizabeth A. Klein; Town Clerk (incoming) Linda G. Mendenhall 4.REPORTS BY MAYOR, COUNCILMEMBERS AND TOWN MANAGER   A.RECOGNITION: Stellar Students of the Month of May 2022.   5.SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS   A.PRESENTATION: Monthly Report by Captain Kratzer with Maricopa County Sheriff's Office. Moved to the June 21, 2022, Town Council Meeting.   6.CALL TO THE PUBLIC Pursuant to A.R.S. §38-431.01(H), public comment is permitted (not required) on matters NOT listed on the agenda. Any such comment (i) must be within the jurisdiction of the Council, and (ii) is subject to reasonable time, place, and manner restrictions. The Council will not discuss or take legal action on matters raised during Call to the Public unless the matters are properly noticed for discussion and legal action. At the conclusion of the Call to the Public, individual councilmembers may (i) respond to criticism, (ii) ask staff to review a matter, or (iii) ask that the matter be placed on a future Council agenda.   7.CONSENT AGENDA ITEMS All items listed on the Consent Agenda are considered to be routine, noncontroversial matters and will be enacted by one motion of the Council. All motions and subsequent approvals of consent items will include all recommended staff stipulations unless otherwise stated. There will be no separate discussion of these items unless a councilmember or member of the public so requests. If a councilmember or member of the public wishes to discuss an item on the Consent Agenda, he/she may request so prior to the motion to accept the Consent Agenda or with notification to the Town Manager or Mayor prior to the date of the meeting for which the item was scheduled. The items will be removed from the Consent Agenda and considered in its normal sequence on the agenda.    MOVED BY Councilmember Sharron Grzybowski, SECONDED BY Councilmember Alan Magazine to approve Consent Agenda Items 7-A through 7-I.  Vote: 7 - 0 Passed - Unanimously   A.CONSIDERATION AND POSSIBLE ACTION: Approval of the minutes of the Combined Special Meeting/Budget Workshop of April 12, 2022; and the Regular Meeting of May 3 17, 2022.      B.CONSIDERATION AND POSSIBLE ACTION: Adoption of Ordinance 22-05 Revision of Town Code 9-5, Section 3 General Preserve Regulations      C.CONSIDERATION AND POSSIBLE ACTION: of approving a Special Event Liquor License application submitted by Cherie Koss, representing the River of Time Museum, for a fundraiser to be held at the Fountain Hills Community Center.      D.CONSIDERATION AND POSSIBLE ACTION: approving a Special Event Liquor License application for the Fountain Hills Chamber of Commerce for a beer garden in conjunction with Oktoberfest on September 23 and 24, 2022      E.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-30 - Intergovernmental agreement with Maricopa County Animal Control - Facilities Use Agreement for Sheltering Services.      F.CONSIDERATION AND POSSIBLE ACTION OF approving RESOLUTION 2022-31, adopting the Town of Fountain Hills Government Money Purchase Plan & Trust Adoption Agreements with Mission Square Retirement.      G.CONSIDERATION AND POSSIBLE ACTION: Approval of budget transfer for the General Fund and Capital Project Fund.      H.CONSIDERATION AND POSSIBLE ACTION: annual report on the implementation of the Fountain Hills General Plan 2020.      I.CONSIDERATION AND POSSIBLE ACTION: of approving a Special Event Liquor License application for America's Sheriff, Inc. for a fundraiser to be held in the Grand Ballroom of the Fountain Hills Community Center, 13001 N. La Montana Drive, Fountain Hills, AZ 85268 on June 18, 2022, from 5pm to 9pm.      8.REGULAR AGENDA   A.PUBLIC HEARING, CONSIDERATION AND POSSIBLE ACTION: Approval of two Liquor License Applications for DC Bar & Grill/Desert Canyon Golf Club, located at 10440 N. Indian Wells Dr, Fountain Hills, Arizona, for a Series 12 (Restaurant) and a Series 07 (Beer & Wine) licenses.    Town Council Regular Meeting of June 7, 2022 2 of 5    MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Alan Magazine to approve both series #12 and Series #7 liquor license applications for DC Bar & Grill/Desert Canyon Golf Club.  Vote: 7 - 0 Passed - Unanimously   B.PUBLIC HEARING regarding Resolution 2022-19, approving the Final Budget for the Town of Fountain Hills for the fiscal year beginning July 1, 2022, and ending June 30, 2023. RECESS REGULAR MEETING OPEN SPECIAL MEETING CONSIDERATION of Resolution 2022-19 of the Mayor and Council of the Town of Fountain Hills, Arizona, approving the Final Budget for the Town of Fountain Hills for the fiscal year beginning July 1, 2022, and ending June 30, 2023.       MOVED BY Vice Mayor Gerry Friedel, SECONDED BY Councilmember Sharron Grzybowski to adopt Resolution 2022-19.  Vote: 7 - 0 Passed - Unanimously   CLOSE SPECIAL MEETING RECONVENE REGULAR MEETING   C.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-20 adopting and establishing the FY23 Budget Implementation Policy and approving the Town Organization Charts, the FY23 Pay Plans, the Schedule of Authorized Positions, the updated Employee Job Descriptions, and the FY23 Comprehensive Fee Schedule.       MOVED BY Councilmember Sharron Grzybowski, SECONDED BY Councilmember Peggy McMahon to adopt Resolution 2022-20.  Vote: 7 - 0 Passed - Unanimously   D.CONSIDERATION AND POSSIBLE ACTION on approving the proposed Pumphouse Pilot Art Project.       MOVED BY Councilmember Alan Magazine, SECONDED BY Councilmember Mike Scharnow to approve the The Pumphouse Pilot Art Project.  Vote: 7 - 0 Passed - Unanimously   E.CONSIDERATION AND POSSIBLE ACTION: Adopting Ordinance 22-04 establishing the Historic and Cultural Advisory Commission.       MOVED BY Councilmember Mike Scharnow, SECONDED BY Vice Mayor Gerry Friedel to adopt Ordinance 22-04. Town Council Regular Meeting of June 7, 2022 3 of 5  Vote: 7 - 0 Passed - Unanimously   F.CONSIDERATION OF AND POSSIBLE ACTION: Approval of Custom Holiday Lights Contract 2022-083.       MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Alan Magazine to approve Custom Holiday Lights Contract 2022-83 in an amount not to exceed $35,000.    MOVED BY Councilmember Peggy McMahon, SECONDED BY Councilmember Mike Scharnow to amend the motion for a ceiling of $50,000.  Vote: 4 - 3 Passed  NAY: Councilmember David Spelich  Councilmember Alan Magazine  Vice Mayor Gerry Friedel    MAIN MOTION to approve Custom Holiday Lights Contract 2022-83 in an amount not to exceed $50,000 (as amended)  Vote: 4 - 3 Passed  NAY: Councilmember David Spelich  Councilmember Alan Magazine  Vice Mayor Gerry Friedel   G.CONSIDERATION AND POSSIBLE ACTION: approving the first amendment to Cooperative Purchasing Agreement C2021-046 with Sunrise Engineering, Inc. and any related budget transfers.       MOVED BY Vice Mayor Gerry Friedel, SECONDED BY Councilmember Sharron Grzybowski to approve of the first amendment to Cooperative Purchasing Agreement C2021-046 with Sunrise Engineering, Inc., in the amount of $75,000 annually, and any related budget transfers.  Vote: 7 - 0 Passed - Unanimously   H.CONSIDERATION AND POSSIBLE ACTION: Approval of provisions to include in Use Agreement with the Chamber of Commerce       MOVED BY Councilmember Alan Magazine, SECONDED BY Councilmember David Spelich to direct staff to finalize a Use Agreement with the Chamber of Commerce as proposed.  Vote: 6 - 1 Passed  NAY: Mayor Ginny Dickey   Town Council Regular Meeting of June 7, 2022 4 of 5 J.CONSIDERATION AND POSSIBLE ACTION: Approval of provisions to include in a Use Agreement with the Fountain Hills Cultural and Civic Association.       MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Mike Scharnow to approve the Use Agreement with the FHCCA, increasing the number of hours from 36 to 50, providing the two full weekend ballrooms for the chorus and band, and waive further ballroom fees for the chorus and band for one year.  Vote: 7 - 0 Passed - Unanimously   K.DISCUSSION WITH POSSIBLE DIRECTION: Relating to any item included in the League of Arizona Cities and Towns’ weekly Legislative Bulletin(s) or relating to any action proposed or pending before the State Legislature.      9.COUNCIL DISCUSSION/DIRECTION to the TOWN MANAGER Item(s) listed below are related only to the propriety of (i) placing such item(s) on a future agenda for action, or (ii) directing staff to conduct further research and report back to the Council.   10.ADJOURNMENT    MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Sharron Grzybowski to adjourn.  Vote: 7 - 0 Passed - Unanimously    The Regular Meeting of the Fountain Hills Town Council held June 7, 2022, adjourned at 9:28 p.m.     TOWN OF FOUNTAIN HILLS ____________________________ Ginny Dickey, Mayor ATTEST AND PREPARED BY: ______________________________ Elizabeth A. Klein, Town Clerk CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Regular Meeting held by the Town Council of Fountain Hills in the Town Hall Council Chambers on the 7th day of June, 2022. I further certify that the meeting was duly called and that a quorum was present. DATED this 21st day of June, 2022. _________________________________ Elizabeth A. Klein, Town Clerk Town Council Regular Meeting of June 7, 2022 5 of 5 CITY OF FOUNTAIN HILLS Page 1 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 1 of 103 Post-Production File City of Fountain Hills June 7, 2022 City Council Meeting Transcription Provided By: eScribers, LLC * * * * * Transcription is provided in order to facilitate communication accessibility and may not be a totally verbatim record of the proceedings. * * * * * CITY OF FOUNTAIN HILLS Page 2 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 2 of 103 MAYOR DICKEY: Good evening, everyone. Welcome. We have our Eagle Mountain facilities district first, and then we have Cottonwood, so we’ll get that started a little early. Grady? Sorry. TOWN MANAGER MILLER: Yes. Thank you, Mayor, Mayor, Council. The item before you is going to have a staff report from our finance director for the facilities district. With that, I’ll turn it over to Mr. Pock. MAYOR DICKEY: I guess I forgot the roll call. Sorry. Roll call for this special meeting. TOWN CLERK KLEIN: Chairman Dickey? MAYOR DICKEY: Here. TOWN CLERK KLEIN: Sorry. Vice Chairman Friedel? VICE MAYOR FRIEDEL: Present. TOWN CLERK KLEIN: Board member McMahon? COUNCILMEMBER MCMAHON: Here. TOWN CLERK KLEIN: Board member Scharnow? COUNCILMEMBER SCHARNOW: Here. TOWN CLERK KLEIN: Board member Magazine? [No audible response] TOWN CLERK KLEIN: Board member Spelich? COUNCILMEMBER SPELICH: Present. TOWN CLERK KLEIN: Board Member Gryzbowski? COUNCILMEMBER GRZYBOWSKI: Present. MAYOR DICKEY: Thank you. And I think the first item, we have to approve the minutes from May 3rd. TOWN MANAGER MILLER: Yes. Mayor, you are correct. MAYOR DICKEY: Thank you. Can I get a motion, please? COUNCILMEMBER SPELICH: So, moved. VICE MAYOR FRIEDEL: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. CITY OF FOUNTAIN HILLS Page 3 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 3 of 103 ALL: Aye. MAYOR DICKEY: And now we’ll do the public hearing. Got ahead of myself. All right. DIRECTOR POCK: Good evening, Board, Chair, and Board members. There aren’t any changes to the Eagle Mountain final budget that was actually presented last month in the tentative budget, so it’s $14,200. There isn’t any expectation that that money will be spent next year. But just in case expenditures do come up, that’s what we budgeted for. Are there any questions? MAYOR DICKEY: Anybody have any questions? Do we have any speaker cards on this? No? COUNCILMEMBER SCHARNOW: I have a question. MAYOR DICKEY: Yes, sir. COUNCILMEMBER SCHARNOW: David, so it’s going to be, like, year to year? Is it ever going to go away? Or what’s the final disposition since it’s all basically paid up? I’m just curious. DIRECTOR POCK: Correct. We have spoken with outside legal counsel as far as the CFD goes. It does need to remain in existence for five years past the payoff of the final bonds, and at that time we can make that decision as far as if we’re going to wind it up. MAYOR DICKEY: Thank you. So I’ll close the hearing, and then we’ll take a vote. All right. Anybody want to make a motion, please? COUNCILMEMBER SCHARNOW: Move to approve the final budget for Eagle Mountain CFD. COUNCILMEMBER GRZYBOWSKI: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Thank you very much. We will adjourn and then go into the next one, which is the Cottonwood District. Kind of the same deal. I’ll open that up. I don’t think we need to do roll call again. We will take a motion, please, on approving the minutes. CITY OF FOUNTAIN HILLS Page 4 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 4 of 103 COUNCILMEMBER SPELICH: So moved. VICE MAYOR FRIEDEL: Second. MAYOR DICKEY: All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Thank you. David. TOWN MANAGER MILLER: Thank you, David. DIRECTOR POCK: All right. Kind of the same story here. There aren’t any changes from the tentative budget that we presented last month. The assessment or tax levy will be adopted at the next council session on the 21st. That will send a file to the assessor’s office for -- to collect $149.46 per parcel located within Cottonwoods to cover maintenance and administrative costs for the districts. Any questions? MAYOR DICKEY: Any questions or comment cards for this item? No? VICE MAYOR FRIEDEL: (Indiscernible). COUNCILMEMBER SPELICH: Yes, sir. Vice Mayor? VICE MAYOR FRIEDEL: Thank you, Mayor. I had asked for a report on Cottonwoods. Did we get that? TOWN MANAGER MILLER: It’s underway. In fact, I’ve received information from both the town attorney and the town clerk because I was trying to be thorough and actually have in the report the reasoning behind the founding of the district and also what would be involved in the dissolution of the district. So you should be getting that, I believe, next week. VICE MAYOR FRIEDEL: Great. Thank you. MAYOR DICKEY: Thank you. Would anybody like to make a motion, please? It’s on page 5. VICE MAYOR FRIEDEL: Move to adopt resolution CMD2022-02. COUNCILMEMBER SCHARNOW: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Thank you. Okay. I’m going to call this meeting to order. We will CITY OF FOUNTAIN HILLS Page 5 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 5 of 103 stand and do the pledge, please, and remain standing. [Pledge of Allegiance] MAYOR DICKEY: Thank you. Please remain standing for a moment of silence. Thank you. Roll call, please? TOWN CLERK KLEIN: Mayor Dickey? MAYOR DICKEY: Here. TOWN CLERK KLEIN: Vice Mayor Friedel? VICE MAYOR FRIEDEL: Present. TOWN CLERK KLEIN: Councilmember McMahon. COUNCILMEMBER MCMAHON: Here. TOWN CLERK KLEIN: Councilmember Scharnow? COUNCILMEMBER SCHARNOW: Here. TOWN CLERK KLEIN: Councilmember Magazine? [No audible response.] TOWN CLERK KLEIN: Councilmember Spelich? COUNCILMEMBER SPELICH: Present. TOWN CLERK KLEIN: Councilmember Grzybowski? COUNCILMEMBER GRZYBOWSKI: Present. MAYOR DICKEY: Thank you. As always, our first item is reports by mayor, Council, and town manager. Grady? TOWN MANAGER MILLER: Thank you, Mayor. I have no formal report tonight, but I did want to recognize we have our new town clerk. Linda is with us. Linda Mendenhall has served as deputy city clerk from Avondale, Arizona, and she also worked for several years as the support services manager with Maricopa County flood control district. So she brings with her outstanding experience. And we’re very glad that our current clerk, who is still with us that she is training under, so she’ll learn all the systems in place. But we’re very delighted to have Linda, and we’re also at the same time very sad to see Liz Klein leave. And we’ll be recognizing her as she gets closer to the end of the month. So thank you, Mayor. CITY OF FOUNTAIN HILLS Page 6 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 6 of 103 MAYOR DICKEY: Was that news to you, Liz? [Laughter] COUNCILMEMBER SCHARNOW: What? That she’s leaving? MAYOR DICKEY: No. That she’s having a party, not that she’s -- Councilwoman? COUNCILMEMBER MCMAHON: Good evening, everybody. I just wanted to mention that as an advocate for the homeless, I hooked up with New Leaf Foundation, and there is a men’s facility at the end of the 202 where the 202 meets the Beeline Highway. And Cindy Couture, who’s in the audience, and she’s running for council, Peggy Yurgane (ph.), and I went out, and we toured that facility, and it was amazing. It was amazing that the head of that place has worked there over 20 years. They provide beds. They provide clothes. They provide bicycles that they have to -- the gentlemen have to purchase in order to get to work. They provide food. They provide job counseling and job search help. It is amazing to see firsthand how dedicated they are in helping men get back on their feet. There are other facilities around the valley. We just had time to do that one, but it was – I’m really glad I did it because it made me realize that they aren’t forgotten and they’re being taken care of to the best of New Leaf’s ability. So, it was a great tour. Thank you. VICE MAYOR FRIEDEL: Thanks, Mayor. I had the privilege of helping the Rotary set up flags around our fountain on Memorial Day. It was a great event, and a number of people that thanked us as we were doing that was just overwhelming and really heartfelt. So, and then I was at the memorial service, at the war memorial at 9 o’clock. I think I saw the mayor there and a couple of other people. So that was a very moving ceremony as well. Got kind of hot, though. [Laughter] And then last week I attended the domestic violence meeting, and I’m pleased to announce that Governor Ducey signed into law Bill HB2604 that extended the orders of protection from one to two years for people that are in need of that. And then June 15th is World Elder Abuse Awareness Day. So, want to make sure that people are aware of the fact that that is happening in our society today and there is help out there for those people that have that need. So, thank you, Mayor. MAYOR DICKEY: Thank you, Vice Mayor. COUNCILMEMBER SCHARNOW: I guess the only thing I would add is the dedication or ribbon cutting for the new splash pad. And so that was fun to see that opening and see CITY OF FOUNTAIN HILLS Page 7 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 7 of 103 little kids get wet. And I know it’s been heavily used since then. It’s only going to get hotter this week, so it’s definitely good addition to the town. So that was fun. MAYOR DICKEY: Councilwoman? COUNCILMEMBER GRZYBOWSKI: Thank you, Mayor. I attended the GPEC board of directors meeting, also put on my GPEC Ambassadors Group. I toured the National Guard 150 – 161st air refueling wing, which is located in the same area as Phoenix Sky Harbor. It was really cool. Nobody had any idea that it was there. You see it through your little, tiny window of the airplane, but you’re not really sure what it is, but now you know they actually refuel airplanes in the sky. I also attended GPEC regional report virtual meeting, which was the Arizona Innovation Ecosystem, which was very interesting. They talked about EVs. They talked about autonomous driving, all sorts of really cool nerdy stuff. Today, I attended the league’s Budgets, Finance, and Economic Development Policy Committee. We had one recommended proposal that you guys will get. It was a unanimous vote. It was actually proposed by Goodyear, and it's kind of a no-brainer, and we have to do it today. It’s about closing the meeting and opening the meeting when you go from a regular meeting to a special meeting. So I don’t think you’re going to have any problems with that in your resolutions committee. Also, I wanted to talk about the splash pad. I know Mike attended the grand opening. And I got to tell you it is so cool. We are the envy of the entire valley with that thing. And I want to say kudos to Community Services Department because we gave them kind of a tight budget, and they really were able to pull a rabbit out of the hat and got some really cool stuff. Thank you. MAYOR DICKEY: Thank you very much. We had something that I know, Sharon, if you were in town you would’ve come, which was a tour around the lake with the hip historian Marshall Shore. So he has a show on, and so he went around and talked a lot about the lake and the origin. We had volunteer appreciation. I think that was -- seems like a long time ago, but I think it was between meetings. That was a wonderful event on Memorial Day. I was on the nominating committee for the MAG Executive Committee. And so Avondale mayor Kenn Weise -- and you know him -- he’s going to be the new chair. And then Mayor Gallego moves up CITY OF FOUNTAIN HILLS Page 8 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 8 of 103 to the vice chair. Was kind of a pretty cool week, starting with the splash park. So was, like, a multigenerational week for me because I did the splash park, then I went to morning star, did the high school graduation, and then wrapped it up with a story reading with little kids at the library. So was a pretty good week. When Alan gets here, we can ask him if he had anything going on. I think he’s going to be here in five minutes or so. So thank you. Next, we have our stellar students, last time for the year. I saw you look up here. You know we’re talking about you. So we start -- we always start with McDowell Mountain. And our first student is Emily Civus (ph.). There you are, Emily. Go right up there. So Angela, there’s she got their certificate. So when you come up, go to Angela, and she’ll give it to you, and then we’ll take a picture. Emily is the perfect example of a stellar student. She’s a role model in my class when it comes to working hard, taking risks, and never giving up on a challenge. She has a keen sense of how an engineer thinks and works. Wow. She’s a fearless problem-solver too. She’s always willing to help a friend in need. I can’t wait to see what amazing things Emily will accomplish next. So that’s Emily. Yay, Emily. Also, from McDowell Mountain we have Douce Simon (ph.). Is Douce here? You can stay up there honey. We’re going to take a picture when we’re all done. Is Douce here? Well, I will read about Douce. Douce is a stellar student every day in my class. Not only does he work hard, follow directions, and always do his best in class, he’s a friend to all and is the first one to offer help to anyone who needs it. Douce is extremely gifted in the STEM pursuits, loves engineering challenges, and basically anything technology-related. He’s a joy to have in class, and it’s been a pleasure teaching him this year. So we’ll clap for him even though he’s not here. From the middle school, Carter Blaire (ph.). Is Carter here? No. Okay. Well, I’ll read his. Carter is a superstar and an amazing student to have here at Fountain Hills Middle School. Whether it’s a fist bump, a joke, or just a Carter smile, it’s an impossible to not have a good day when you get to interact with this amazing student. Carter Blaire. Also, Fountain Hills Middle School, Scarlett Grika (ph.). CITY OF FOUNTAIN HILLS Page 9 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 9 of 103 Scarlett, are you here? Yay, come on up. Scarlett is one of those students you dream about having in class. She’s a hard worker and a friend to all. She’s always willing to jump in and help out and makes every day awesome here at Fountain Hills Middle School. Yay, Scarlett. So I know that Jack Erwin (ph.) from the middle school isn’t here, but I will read the teacher comments. Jack does an amazing job here at Fountain Hills Middle School. He’s a great student, a true leader, and represents our school well, both in the classroom and in his athletic pursuits. It’s a joy to teach and interact with Jack each and every day. Jack, wherever you are. High school. Merrick Collins (ph.). Are you here, Merrick? Yay. An inquisitive mind who asks numerous questions about everything and anything. Kind, and caring, honest. He’s someone who will succeed through not only his personality, but his hard work and determination. He aspires to work in music. That’s Merrick. And our last student is also not here, Cambria Van Orden (ph.). She is someone who sets big goals for herself and then breaks them into smaller, more manageable ones that she achieves with hard work and focus and determination. This helps keep her grounded and focused on her goals. Cambria, we appreciate you. Guys, (indiscernible) picture for the paper, if that’s okay. (Indiscernible). No? Okay. (Indiscernible). Thank you, guys. Thanks very much. You probably notice in your agenda that Captain Kratzer will be doing his report at our next meeting on the 21st. So now we have call to the public. Do we have any speaker cards? TOWN CLERK KLEIN: Yes, we do, Mayor. The first is Lori Troller. TROLLER: (Indiscernible) on paper. Hopefully, this goes okay. Good evening, Mayor and councilmembers. My topic this evening is 5G communications, the next advancement in cellphone usage being thrust upon all of us. Most Americans, including our friends in Fountain Hills, don’t know anything about the issues of emissions from 5G, and that’s because it’s being done behind the scenes without the public’s knowledge, reasons for which will be very obvious in just a few seconds. I feel the safety of those in our town is paramount -- of paramount importance. I will be providing you and the newspaper with an email after this meeting with links to studies conducted in the US and CITY OF FOUNTAIN HILLS Page 10 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 10 of 103 abroad proving exposure from radiation emitted by 5G antenna is detrimental to human health, including death. I know many people roll their eyes thinking there’s no way large communication companies would do something that would harm their customers, nor would the federal government allow such a thing. But you’ll see when you read what I’m providing to you that there’s some very good reasons why tens of thousands of communities around the world have prohibited or are actively pursuing the cancellation of 5G rollout in their communities. Not only is it harmful to people, the benefits of increased speed of three milliseconds to email each other is -- won’t be noticed. Please take the time to familiarize yourself with effects of 5G transmission, knowing full well that Fountain Hills can adopt a restrictive 5G small ordinance to protect those in the community. Some of the links I will be providing include a US naval medical research institute report citing 2,300 specific -- or scientific papers showing 127 negative human health effects, including death, associated with 5G emissions. German and Israeli studies showing the risks of developing cancer quadrupled among people living within 1,148 feet of cellphone antenna towers. Dr. Martin Powell from Washington State University with two of his paper entitled Wi-Fi: An Important Threat to Human Health and the 5G Risk Scientific Perspective -- or Scientific Perspective. A published study by Bio-Electric Magnetics in the NIH entitled RF Radiation included changes in the pre-natal development of mice. And the bio initiative report that has an additional 3,600 peer-reviewed medical and scientific studies showing countless negative human health impacts from exposure to non-health wireless radiation. So I hope you read those, and I’ll sum up by saying the U.S. Court of Appeals in 2021 ruled that the FCC failed to consider a non-cancer evidence regarding adverse health effects of wireless technology when it decided that its 25-year-old radio frequency emission guidelines from 1996 is what it’s going to use to protect us in 2022. Petitioners in that case filed 11,000 pages of evidence of human harm from wireless technology, including evidence of already existing widespread sickness. In addition, the court went on to say the FCC completely failed to acknowledge, let alone respond -- I’ll just -- please educate yourselves and show the community that you care for our health. CITY OF FOUNTAIN HILLS Page 11 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 11 of 103 Thank you. TOWN CLERK KLEIN: Next is April McCormick. MCCORMICK: Hi. Good evening. I’m April McCormick. I want to talk about the same issue that Lori addressed. We’ve all seen the 5G upgrades, the existing cell tower antenna sites. They’re all-over social media currently. These sites are now what’s called 5G macro towers, which will work in conjunction with the 5G small cell antennas that are coming. Since we have no streetlights, 5G antennas will be installed on what’s called monopoles wherever there’s a transformer box on the ground in this town. They’ll be installed only 500 feet apart, which is one every three homes, 15 feet away from those homes, and each carrier will need their own antenna. The town has published statements in the Fountain Hills Insider and the Times saying they can do absolutely nothing about this, but that is not true. First, you need the help of an expert telecommunications attorney who has done this before and repeatedly without a legal challenge. Here’s a proposal from Attorney Andrew Benally to help you do just that. Briefly, here’s what you can do. The FCC order and the state law gives you the right to deny 5G antennas based on aesthetic concerns. This town is devoid of all streetlights, so these monopoles are going to stick out like a sore thumb and be a pock mark on the landscape of our beautiful town forever. The 5G order also allows you to dictate the distance between 5G antennas. So instead of only 500 feet apart, you can mandate them being every 1,500 feet apart and only in commercial and retail areas. And while you can consider the avalanche of evidence Lori spoke of, judges have sided with municipalities repeatedly who have asked for environmental assessments from the carriers. Of course, the carriers can’t give you a zero-impact environmental assessment because it’s been known for over 20 years if you put a cellphone next to a beehive, you’ll have total hive collapse in a matter of days. The negative impacts on bees, birds, and aphids, et cetera, is incredibly well established. And according to renowned attorney Julian Gresser, you can require insurance and indemnification from illness and harm, including property damage associated with EMF overexposure. You can require reasonable surety bond on each cell installation for the cumulative effect of cells identification. CITY OF FOUNTAIN HILLS Page 12 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 12 of 103 You can require active and continuous monitoring of cumulative effects of EMF and evidence of compliance. As of 2014, estimates were 20 percent of the population was already electromagnetic hypersensitive. The symptoms are so debilitating the ADA recognizes this disorder, and sufferers are protected under Title II of the ADA technical manual. That means you have a fiduciary duty to protect those individuals and offer them special accommodations. Please go to wirelessradiationwatch.wordpress.com for more information. Thank you. MAYOR DICKEY: Thank you. TOWN CLERK KLEIN: Crystal Cavanaugh. CAVANAUGH: Good evening. Fountain Hills resident, if we’re still having to do that. Since the town manager and the mayor are the ones who set the agenda, I find it interesting that tonight, in the middle of summer, in an election year, you think it’s a good idea to propose adding the burden to the community of a 4 percent pay increase for all town employees, including the various employees who make well over $100,000, and the town manager, who is nearing $200,000. Essentially, it seems like you’re trying to pit the fiscally responsible citizens against our town employees no matter what the costs. This seems to be a common recurring theme, similar to when you favorable skewed the benefits of switching to the Arizona State retirement system without fully explaining the additional costs to many of the employees and costs to the town when compared to the current 401(k) match. There was already a cost of living increase earlier this year for all employees. That was followed by a hefty salary raise for our town manager that passed 5 to 2 after a very limited discussion of why it was warranted, which included that he was likeable guy that you didn’t want to lose, and he answered emails on Sundays. Review the video. Our town employees are very valuable, but considering the devastating citizen street commission information last month, which said your failure to act on maintaining and repairing our streets resulted in quadrupling the costs of repairs to as high as 60 to 80 million dollars, perhaps a pay raise is not the priority at this time. If you had put the money towards streets each year without deferring this, we would not be in such a disastrous situation. I hope the citizens realize that is you who should be held responsible for the unavoidable tax increases resulting from any bonds needed to pay for this. CITY OF FOUNTAIN HILLS Page 13 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 13 of 103 Apparently, funding pie in the sky (indiscernible) roundabout studies and park designs are more glamours to throw our money at instead of addressing the very real priorities such as maintaining our current investments and fixing our streets. There’s a big difference between wants and needs. Quit spending our money like drunken sailors on the wants while ignoring the needs such as streets, and no offense towards actual sailors. Thank you. TOWN CLERK KLEIN: That’s it for speakers. We did have one written comment come in from Claire Sootman, also opposed to the 5G towers. MAYOR DICKEY: Thank you very much. Grady, maybe the 5G discussion -- I know that we had some articles in the paper, but some of the stuff that was brought up about the kind of things that we can do -- you know, aesthetics and spacing and such -- maybe we can put something out there. Because I’m not aware of any push, you know, right now to be doing this. So we -- TOWN MANAGER MILLER: Right. We’ll definitely look into the information that we’ve heard tonight. Recently, we had heard from a previous resident probably about six weeks ago, and we did put updated information on our website about the Arizona State law that we’re pretty much under -- we need to comply with. But I’m curious to see the information that you have talked about, and so we will see what we can do about maybe updating what we have on our website based on that information. Thank you. MAYOR DICKEY: Thank you. And then, you know, as -- going forward, if we get efforts -- we see efforts to do this, then we can be prepared. COUNCILMEMBER SPELICH: Definitely. MAYOR DICKEY: Thank you. Next is our consent agenda. Does anybody want to take anything off, or do I get a motion? COUNCILMEMBER GRZYBOWSKI: Move to approve. COUNCILMEMBER SCHARNOW: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Thank you. Our first item on our regular agenda is a public hearing CITY OF FOUNTAIN HILLS Page 14 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 14 of 103 about a liquor license. So, I’ll open the public hearing, and I don’t know if this is something -- Grady, are you doing a liquor license or somebody else? TOWN MANAGER MILLER: Actually, the finance director, his staff -- MAYOR DICKEY: Right. TOWN MANAGER MILLER: -- handles the licensing on this. So, I’ll go ahead and turn it over to him. MAYOR DICKEY: Thank you. DIRECTOR POCK: Good evening again. I think I’ll be here for a while, so sorry. Actually, this is an existing liquor license at DC -- Desert Canyon Golf Club, DC Bar and Grill. They did have a change in one of their members of the LLC that owned the license. So they just had to apply under the new name with the new members. MAYOR DICKEY: Thank you. Do we have any comments from council or any speaker cards? David? COUNCILMEMBER SPELICH: Thank you, Madam Mayor. I rise in approval of this. Sonya and Martin are the owners and great individuals who bend over backwards for the American Legion and the Sons of Legion golf outing as well as the Elks, providing discounted rates and prime season when they can make a lot of money. They’ve also been charitable in other things around the town as far as donating rounds of golf and everything. So I just want to speak on their behalf, and I’m totally for this. MAYOR DICKEY: Thank you. COUNCILMEMBER MAGAZINE: Just curious as to why this is on the regular agenda. MAYOR DICKEY: Well, this is different from, you know, just a special event liquor license, so this has to have a public hearing. COUNCILMEMBER MAGAZINE: Thank you. MAYOR DICKEY: Which I think is over. So, I’ll close it and can get a motion. COUNCILMEMBER SPELICH: Motion approved. COUNCILMEMBER SCHARNOW: Second. MAYOR DICKEY: All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Thank you. CITY OF FOUNTAIN HILLS Page 15 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 15 of 103 Thank you, Dave. Our next item is a public hearing on our final budget. This is our little awkward extra meeting in a meeting. So I’ll open the public hearing, and we’ll hear a report, and we can discuss it, and then -- well, we’ll just do everything in order. So we’ll open the public hearing on the budget. Thank you. DIRECTOR POCK: So here we are. This is the fifth month in a row that you’ve had to listen to me talk about budget. Started way back when -- at the council retreat in February. Then we had a CIP meeting in March, budget workshop where you received the proposed budget in April. Tentative budget was adopted last month, and then here we are with final budget. So as far as an update as far as where we are this year with our TPT, which is our largest segment of income for the general fund, we’re doing really well. As you can see, as far as budgeted amounts, we’re $1 million over where we thought we’d be at this point in the year. May is still not closed. We don’t have those final numbers from DOR. But I did check this morning, and right now we’re about $1.5 million from May, so that’s -- I don’t know if it’ll show up. So, it’s about there. So, we are looking good for this year. TOWN MANAGER MILLER: David, if I may, do you want to just kind of explain the town council’s financial policies and what happens, you know, when you have a surplus at year end and what it does for the budget? DIRECTOR POCK: Sure. So as far as the general fund and our adopted policies for finances, the general fund -- if we have any excess revenues or any unused expenditure authority in the general fund, that excess first goes to maintain our reserves, which is the stabilization fund or rainy-day fund. And then we have a set amount that we keep in unrestricted -- in the general fund for ongoing operations. And then that excess gets transferred to the capital projects fund. So, all right, any questions on this year’s TPT? All right. So as far as year-end estimates, you received some of these during our budget workshop, these -- since we’re getting closer to the end of the year, we’re getting a little bit better at predicting what these are going to end up being. As far as the restricted fund balances, should end up with about $3.6 million overall. Committed fund balance, around $8.6. As you can see at the top line, that’s our rainy-day fund. CITY OF FOUNTAIN HILLS Page 16 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 16 of 103 Then assigned funds, these are all basically restricted by our town policies. That second line item, the $5.9 million, includes the $4.2 million of ARPA savings. Since we used the $4.2 million to pay public safety invoices, the general fund that normally would’ve paid those, those are the savings. They’re in the facility’s reserve because that’s managed by our investment advisors and get a little bit better return. MAYOR DICKEY: So David, the -- DIRECTOR POCK: Yes. MAYOR DICKEY: -- extra 4 million there we decided as a council was mostly going to, obviously, facilities reserve, but streets. Last year there was $2 million more going to streets, and next year there will be close to $4 million more going to streets. And I also wanted to point out that when we had these hearings -- this odd meeting is always in June, correct? That’s when we do the budget? DIRECTOR POCK: Yes. MAYOR DICKEY: Thank you. DIRECTOR POCK: And you’re correct as far as the -- we had $2 million in fiscal year ’22 that was result of savings from the CARES Act, which was a couple years ago. That went to streets. And then for next year we’ve got a suggested budget transfer of 4.2 million. That’ll actually be the savings for fiscal year ’23 for the ARPA savings. And then this $4.2 that’s in the facilities reserve, the following year in ’24 would be transferred out into the streets. And then as far as unassigned, you can see that at the bottom. Last year we had the $2.5 million from the CARES Act there. If you take that out, we’re basically ending the year, this year, the same place we were last year. COUNCILMEMBER MAGAZINE: Which means -- MAYOR DICKEY: Go ahead. COUNCILMEMBER MAGAZINE: Obviously means we’re going back to the future. DIRECTOR POCK: Yes. COUNCILMEMBER MAGAZINE: Once we don’t have the CARES Act money, we go back to around $2 million a year? DIRECTOR POCK: For the streets? COUNCILMEMBER MAGAZINE: Yeah. DIRECTOR POCK: Yes. CITY OF FOUNTAIN HILLS Page 17 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 17 of 103 So then as far as the summary of all funds, you can see there the stability matrix. We’re in a -- you know, we haven’t changed that much from last year. We’ve still got about 50 percent of our general fund revenues, the average for five years in unassigned. And we can go about six months, about half the year. So, we’re doing good there. Any questions on that? It’s kind of the basis, the kickoff for fiscal year ’23. So as far as notes and updates since last month, we did adopt the tentative budget on May 3rd. That set the maximum fiscal year ’23 budget at 46.1 million. Of that amount, $4.4 million is in the general fund as contingency. That’s basically because our revenue expectations are a certain amount. We have to have a balanced general fund budget, so we had to raise expenditures by $4.4 million to make it balanced. Obviously, if we don’t receive those revenues, they can’t be spent. Same situation in the special revenue fund. We added 5 million in contingency there just in case we do get some infrastructure grants from -- COUNCILMEMBER MAGAZINE: Yeah, David, which funds can we legally -- I mean, without violating state law -- move into, for example, using for streets? DIRECTOR POCK: We could move any of the fund money. COUNCILMEMBER MAGAZINE: And that would amount to -- roughly how much money we talking about? DIRECTOR POCK: If we were to clean out all the other funds? COUNCILMEMBER MAGAZINE: Just for the sake of discussion. DIRECTOR POCK: So back to the prior slide, we’ll have a total fund balance of 28.5. 4 million of that’s our rainy-day fund. That’s set by council. That wouldn’t ‘be able to be moved. We have -- COUNCILMEMBER MAGAZINE: It would not be able to be moved? DIRECTOR POCK: Right. COUNCILMEMBER MAGAZINE: Right, right. DIRECTOR POCK: It’s based on -- we have to have our rainy-day fund -- COUNCILMEMBER MAGAZINE: : Right. DIRECTOR POCK: -- as far as council policy goes. Then we also have the unassigned 20 percent that we have to maintain. Obviously, the (indiscernible) monies are already in the streets fund. That’s probably our most restricted fund. I mean, everything else could CITY OF FOUNTAIN HILLS Page 18 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 18 of 103 be put in there. [CROSS TALK] COUNCILMEMBER MAGAZINE: Yeah, I’m not arguing for doing -- [CROSS TALK] DIRECTOR POCK: -- $20 million, so -- COUNCILMEMBER MAGAZINE: I’m not arguing for doing that. I just want to get a sense of where all that is. There is money, but we have it in certain funds for a reason. DIRECTOR POCK: Right. COUNCILMEMBER MAGAZINE: And even the rainy-day fund, we could change the policy if we wanted to. DIRECTOR POCK: Absolutely. COUNCILMEMBER MAGAZINE: Yeah. Thank you. DIRECTOR POCK: The only thing that we cannot change are these restricted funds as far as we can’t use bond money, you know, that’s collected in any of those debt service funds or the development fee funds. We wouldn’t be able to use those, except for the streets development. So all right. So then as far as the tentative budget, we didn’t have any substantive changes that were requested by Council at that time. So this budget, the final budget is 46.1 million. As far as the general fund, which is operating account of the town, if you take out the contingency from last year and this fiscal year ’23 budget, there’s a difference about $700,000 or a 3.6 percent increase. I also -- I don’t have this as a bullet point, but I just want to make the point again. This is strictly budget. Doesn’t mean it’s going to get spent. It’s just we would have the authority to spend it. So as far as the general fund, we got $24.8 million in revenues and $24.8 million in expenditures budgeted. Like I said, $4.4 of that is in contingency. These are the revenues broken down by source. Can see sales tax revenue is by far the largest of these. We did have an increase in the intergov revenue for next year. That was basically due to a couple -- to the income tax, the shared income tax. There were a couple collections during the COVID years, so they had two collections that basically just increased that amount for next year. Any questions on revenues? All right. As far as expenditures, the numbers are the same. There’s any questions? The contingency is in that top line, the CITY OF FOUNTAIN HILLS Page 19 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 19 of 103 general government. Overall, the increase in general fund, 9.4 percent. COUNCILMEMBER MAGAZINE: I think some citizens might ask why an increase of 9.4 percent, which to some people will seem like a lot. What goes into that? DIRECTOR POCK: So, most of that is driven by the contingency. If you take the contingency out of there, it wouldn’t be 9.6 anymore. COUNCILMEMBER MAGAZINE: I’m sorry; couldn’t hear you. DIRECTOR POCK: It wouldn’t be the 9.4 percent increase anymore. I think last year we had just over four -- or $4 million in contingencies, so -- COUNCILMEMBER MAGAZINE: I just think it’s important to clarify that. DIRECTOR POCK: Right. Most of that would be driven because our revenue projections are higher than they were this year. So, we have to raise expenditures with the contingency number to balance it. TOWN MANAGER MILLER: Mayor, I’ll just have David -- You want to just kind of explain contingency and how that works? You know, we use it for grants and things like that just so we have budget authority to expend the money to spend the money if we do receive grants. DIRECTOR POCK: Correct. As far as the -- each fund we do have a contingency number. Most funds, I should say we have contingency in, grants or the special fund being one of them. That’s like the $5 million that we were talking about earlier in case infrastructure grants come through. If you take out our contingency, like I said, I think it was $20.4 million in expenditures budgeted for next year. That would be our base kind of amount if we weren’t -- if we were expecting a really bad year and our revenues weren’t coming in as expected. That’s what we’d need to operate. Now, that being said, our general fund, I went back and looked at it. For last year I think we actually only spent about 70 percent of our general fund budget last year for fiscal year ’21. So you could take $6 million off the 20,000. So, $14 1/2 million is what we’re basically operating at. I’ll also say that if we do need contingency in other funds or if we need it to move budget authority around, we come to council for each of those. DIRECTOR POCK: All right. So then we'll move onto the Streets Fund. Next year, at the moment, we have $5.9 million budgeted for streets next year, with revenues of $4 million. That's not counting the transfers that are recommended. So here, you can CITY OF FOUNTAIN HILLS Page 20 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 20 of 103 actually see the amount with the transfers included. Recommended $4.2, that's basically our savings for next year. MAYOR DICKEY: I want to mention the Streets Citizen Committee because they are advising, and they haven't come up with a final report yet, but it's no secret that the $60 million was actually what we anticipated for ten years back in 2016, '17? I wasn't on the council, but when they went for the property tax at that time, it was with the idea that we would be having to make up that much money into the future. And the Streets Committee was one of the directions that this council took so that we could have fresh eyes on what has been a dilemma since 2000 or so, when the safety -- the Fire District went away and the Road District went away before that, which were both primary property taxes that people like me and Mike, who have been here forever, paid primary property taxes for public safety and for roads in Fountain Hills all these years. So it really was something that was bound to happen once those districts went away. And after repeated attempts to backfill or whatever with different attempts, we did do the road on Saguaro, but the $60 million amount that was brought up at our last budget meeting was not a mystery or a new number, as Alan knows. So we are lucky or fortunate or however you want to say it that we are able to have this right now, this $4 million, and extra from last year and extra from next year, but it doesn't change the fact that the Citizen Committee is still tasked, as we are, with coming up with a longer term solution which has evaded us for decades. So just wanted to mention that. Thanks. COUNCILMEMBER MAGAZINE: Mayor, if I may, I just wanted to add one side note. One of the reasons we want the committee to come back to us with a recommendation is we want to know what to do about our neighborhood streets, which is absolutely critical and that we haven't really been able to address. MAYOR DICKEY: Thank you. Yes, Vice Mayor? VICE MAYOR FRIEDEL: Thank you, Mayor. I hate to be the fly in the ointment, but I can't sit here and listen to discussions like this. The $60 million was anticipated in ten years. We've done nothing for the last four to six years as far as the backlog on these roads in this town. CITY OF FOUNTAIN HILLS Page 21 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 21 of 103 David, you said there's been no real changes for our CIP. I thought we had discussion here previously about pulling some items off that were funded. Where are we at with that? Did those get pulled? Are they still on the budget? If they are, I'm not a no, I'm a loud no on this budget until that's rectified. Because we're heading into unseen times. We've had COVID money to help us out, which has been mentioned here a couple of times. Where do we go in the middle of a recession with $60 plus million worth of backlogged road repair to do, and we've got projects out here that we can never build or fund that we're doing designs and studies for. And I'll say it again, they have to be pulled or I'm a no on this budget. Thank you. [Applause] MAYOR DICKEY: Please, no applause. Any comments on this? Alan? COUNCILMEMBER MAGAZINE: Just that he's not the only fly in the ointment. I'm going to keep him company because we have talked about some of the items that are in the budget that I think are problematic. Whether or not we took them out and they have any real impact on roads is another question. It would depend on what it added up to. I guess I'm not convinced that even if we took out several of the bigger projects, that it would make a big difference. The other problem is, I mean, yes, we could pull some out and do some neighborhood streets. The problem with just doing some neighborhood streets is that the ones you don't do, everybody around them is going to be screaming and yelling. You done their streets. Why aren't you doing our streets? So I'm not in disagreement, I just don't know if we can raise enough money to make a difference. VICE MAYOR FRIEDEL: There are difficult decisions, and we have a responsibility to this town. It's not going to be easy to dig our way our of this. I think we all know that and we all recognize that. So yes, you're right. We could do a few side streets. Would it make a big difference? Maybe. You know, it would show this town that we are actively engaged in getting some of these things, some of this backlog cleaned up. We're not going to have the buffer of future COVID money. We've seen what that's done to our economy right now with inflation running rampant right now. And I'm sure the cost of CITY OF FOUNTAIN HILLS Page 22 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 22 of 103 doing these roads is going up. It's not sitting static either. So again, we've got to address it somehow. MAYOR DICKEY: So, you don't want to wait until the committee comes up with what we've tasked them with, which is to come up with a longer term solution? We're putting $4 million more into roads, and we have added more to roads every year up until this time. It hasn't been $2 million, $2 million. We've done more than that. And especially last year, we put an extra $2 million in. And the other thing about the projects that you're talking about that are, you know, iffy, they're in there because, again, we're applying for some grants for some infrastructure money, especially the access to the park, maybe the roundabout can be like a safety thing, but there are -- especially the water management, are all aspects or have ability to be applied for. So, we are kind of stuck with having that in the budget for the $5 million, extra $5 million. But again, none of those come -- none of those happen automatically. So, whatever, you know, if it's the shade structure or whatever it is that we don't want to do or don't like or whatever, that would be the time. But as I said at the last meeting and the meeting before when I asked about keeping these items in that I could tell that it wasn't a hundred percent against them. So there was not a clear picture that if we voted right then and there, they would have failed anyway. But if -- but keeping them in doesn't do any harm. I guess that's what I'm saying. This is the cap of what we can spend, and nothing will just happen automatically. And if we're not ready with water management or intersections and such, like Palisades or La Montana, then if we do get some of that $5 million, we won't -- we'll be left without a plan in place. So that's why we asked to go on with it in this way, which usually this exercise tonight is usually fairly, you know, uncontroversial because it's usually because we've talked about these things already, so. VICE MAYOR FRIEDEL: I'm not adverse to waiting for the Streets Committee. I think it's brilliant. Those guys have 300 years of experience I don't have. They're the experts, so we need their input, absolutely. But I think it starts right here with pulling some of these items. Any nondiscretionary spending, I think we need to take a hard look at it. And I'm just telling you, tough times are coming and they're going to be here sooner than we realize, and then we're going to be stuck. It's going to be worse than we can imagine. CITY OF FOUNTAIN HILLS Page 23 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 23 of 103 COUNCILMEMBER SCHARNOW: Yes, thank you, Madam Mayor. Where to begin, right? You know, there was a bond package I don't know how many years ago for 30 million for streets because they knew years ago already this was an issue, and that was turned down. The property tax vote was turned down. They did approve the Saguaro; the voters did approve the Saguaro bond proposal. Now we have to spend a million dollars, you know, to maintain Shea Boulevard and Saguaro Boulevard. And putting all the COVID money aside, I mean $2 million just normally per year for streets, you know, isn't chump change. And so, I think we're doing as much as we can. Yeah, you could piecemeal, you know 50 grand here, 50 grand there. I understand that. I can't disagree with that. But on the other hand, you know, the other extreme of that argument is, you know, like the whole Community Services Department, Parks and Rec, that's not a necessity. That's kind of a nice to have, really, all of our parks. You know, I mean, so you could carry that argument to the Nth degree, and it just doesn't make much sense. I mean, people want our community center. We're obviously going to hear about some of that tonight later. People want our parks, and they want all of our different departments. So it's to me, it's just like, yeah, we could do public safety, you know, police and fire and streets and, you know, some planning, zoning, I guess, and that would be it. But that's not what we want. That's not what the citizens want. And I just think you have to think bigger picture, and some of us -- so I remember our first work session four years ago, Councilmen Spelich proposed a street fee. You know, it was, like, kind of based on our environmental fee at the time. And you know, legally, we can't do it. Our hands are tied many, many ways in terms of financing this kind of stuff. There are very limited options. And so environmental fee went away. They've limited -- street fee couldn't happen legally. So, you know, I think we're doing as much as we can, but yet trying to keep the town quality of life, you know, to a point where it's more than just streets too. So some of us raised the sales tax several years ago. That was I think a 5-to-2 vote or 4- to-3, I don't remember, but, you know, thank goodness for that as well. Because yes, you know, if we do go in a recession, obviously the CARES or the COVID money is not going to happen every year. So sales tax is our biggest revenue source, as David just CITY OF FOUNTAIN HILLS Page 24 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 24 of 103 outlined. So, you know, we're trying to do as much as I can, I think. I just tend to disagree with this cherry-picking little things. It's almost, to me, a political ploy to, you know, raise things during election. And I just think that in an off year, that wouldn't be an issue. MAYOR DICKEY: Next, Councilman Spelich. COUNCILMEMBER SPELICH: Thank you, Madam Mayor. I'm not seeking reelection, so this is definitely not a political thing. We sit up here and we talk about it's only $50,000, $25,000, $75,000. I don't know about anybody up here, but five grand's a lot of money to me. So this notion that, well, it's just a little here and a little there, all of this adds up, and no matter how much we put towards this, you know who cares that their street got done? The persons whose street got done. So, I don't care if it's a couple blocks or what it is, but these pie in the sky things that we think that we need, these grand staircases down to the fountain and roundabouts and all of this stuff -- when I came on this council, I tried to find ways that we could make money, find revenue. The court, just everything. So, to me, I don't care what amount of money we save, we save money. And there's not many times that I agree with Councilman Magazine in four years but let me tell you something. I'm on the Magazine bandwagon; I'm on the Friedel bandwagon. This, I don't care what it is -- things that we don't need right now. And here's a newsflash: We're not coming up on a recession. We are in a recession. If you don't see that, then I'm never going to give you a dollar to hold for me. So, I just get aggravated when we say that, well, this is only 50 grand or this is only 25 grand. All of this adds up. And if it's your street that gets done because we saved 100 or 125 thousand, well, then that's good and I'm happy you got your street done. Pull these things that we know are not going to be seen through. And then if the economy picks up or if then things change, then let's address it, but now's not the time. MAYOR DICKEY: Thank you. Councilman? COUNCILMEMBER MAGAZINE: One -- a couple of comments have been made that I'm having a little difficulty with, which is that we can keep some of these things in the budget, in the CIP, for example, and see if we get a grant. Here's the problem: The CITY OF FOUNTAIN HILLS Page 25 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 25 of 103 public doesn't understand that. They don't think that's transparent. If it's in the budget, they're going to assume we're going to spend it. If you got a roundabout in the budget, whatever you got in the budget, people think that's what we're going to do. And I think that's difficult. And I've talked often about communication being the biggest problem we have -- not just us, every city and town in America. But when we say we can leave it in the budget and see what happens, that's not what the people see. They don't see the fine print. They just see those issues, those projects, as part of the budget. And let me just say to my colleague, my good friend colleague, Mike Scharnow, there's no ploy here. And I totally agree; we have to maintain the town. We have to make it as livable as possible. We need to make sure that people enjoy what they have. And there are times when we have to compromise and say yes to some and no to others. And I just think we have to look at it that way. TOWN MANAGER MILLER: Yes. Good discussion, and I think that if the council -- I like what the Vice Mayor had to say. I like what all of you had to say individually. We did agree, when we were in the budget workshop, because there was some concerns about some projects that were identified as maybe nice but not necessary, but still would be good quality of life types of projects in the capital improvement budget, that we would come back before council before we would go proceed with those. And so I think what I'm hearing the Mayor say is she was kind of reminding us about that. There are some truths to this infrastructure bill. What has happened in the past when we've had stimulus money with the last Great Recession, having to design already done on projects made you kind of get to the front of the line for infrastructure projects or infrastructure grants. And we know there's going to be some that we're probably going to qualify for, but you want to make sure that you have, you know, some of these already in design. So what I suggest doing, Council already kind of directed us, but it's good that we're having this discussion because, you know, we're hearing a lot from residents, where our financial realities have changed somewhat from maybe three months ago. So I think what we do is we go forward with the budget as presented, and then we will not necessarily do the capital projects that are in the list that you're going to approve tonight. We'll come back to you and get you to check in before we go through the trouble of CITY OF FOUNTAIN HILLS Page 26 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 26 of 103 doing a request for proposal or spending a lot of staff time and effort to move forward with those. We already know that there were a handful of what I would call those projects that were, you know, not consensus-oriented projects, and then we had some that were definite must haves and have to be done. So we pretty much know which ones. But I think we'll just check back in. We'll probably come back and have a list that you see when we come back after the summer and get you to check in on those and just validate those. And then if there's anything that you don’t agree with -- I think the Vice Mayor indicated that earlier that maybe some of that money can get swept into the Capital Fund. Now, that isn't going to have the impact necessarily that you might think it would be, but it still-- it's maybe making an effort and it's more probably the optics of what you might be able to do and what the public sees. And so I completely understand that. So if the council's okay with that, and we're not yet to the Capital Budget, but I would suggest that that's what we do, that you consider approving the Capital Budget as is, and if you wanted to put something in the motion when you're adopting the budget tonight that we come back on the Capital Budget and get you to check back in on the list, then we'll do that, so. VICE MAYOR FRIEDEL: That's a great idea. I'll go ahead with that. But I also want to just say, Mike, you know, this isn't a Republican or a Democratic issue. This is a town issue. This is the Town of Fountain Hills issue. And anybody that's reasonable and responsible would agree with that statement. And I can list four projects right now that total $1.4 million; it ain't $50,000 here and $50,000 there. But Grady, that's a good suggestion. So as long as we have that in there, I'm good to go, I think. COUNCILMEMBER GRZYBOWSKI: I appreciate that we're discussing leaving the items in there because there are a number of things that we cannot apply for grants for if we don't have the plans laid out. And I know this because that's why we had the Broadband Task Force for the State of Arizona. If we didn't have a roadmap as to where we were going to put the funds and how we were going to do this, then the state wouldn't come and give us the money that they just got from the feds. So, it is very important to me that these items stay in there, and if the grants come CITY OF FOUNTAIN HILLS Page 27 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 27 of 103 through, then at that point, bring it forward and we vote if we want to spend whatever it is to pacify the grants. I think that's very important that it needs to stay in there. I remember at one point Justin was talking about a road that was like -- I want to say it was a mile long. I don't remember the name of the road, but it was the exact situation where all of the neighbors had their little ulterior roads done, and everybody on this really long road was upset because theirs hadn't been done. And the price he gave us at the time was like $800,000 or $850,000 for that one one mile-ish road. And I'm totally pulling out of memory, so don't make me quote anything later. But I just wanted to bring that up that these roads are a big chunk but thank you for leaving that stuff in there. Appreciate that. COUNCILMEMBER SCHARNOW: Yes, thank you, Mayor. And to that point, getting back to the streets, per se, I mean, we do have a comprehensive plan in terms of what streets get what maintenance, what year, and that was adopted in that manner because the former system was a lot more expensive and we were doing this zone work where, yeah, all the streets in one area would get worked on, and then all of a sudden, all these surprises popped up and the money kept going up and the expenses, so. And I understand it's hard for citizens to see that. I mean, I've seen in my own neighborhood as well. But it's just like, you know -- and it's like, we have a plan, and I know people are like, well, it seems like a crazy plan. But it's -- it makes the most sense economically and it's the most efficient. So that's just how it is, you know. MAYOR DICKEY: I want to also say, maybe along those lines, we have short memories, and we did the entire downtown; we did a lot of -- Justin did a ton of work getting streets done in the last two years or so. And to jump to another conversation about how much we care about businesses and how much we care about our downtown, that was a specific plan that the council at the time really wanted to happen, and we made it happen. And so again, there's never going to be enough for everything that needs to be done, which we knew ten years ago. But we're working on it and not only just planning, but putting thousands, millions of dollars into streets every year. And we will continue to do that, and especially over the next couple of years, we will have the opportunity to put some really larger amounts into streets, which, again, that's a decision we made. We got CITY OF FOUNTAIN HILLS Page 28 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 28 of 103 this $4 million. We could have said, and we talked about saying, well, let's just put it all towards the liner, and everybody would be like, oh, it'd be so great because when the liner fails, we'll be all ready to go, but we said no. We want to put it into roads, and that's what we're doing. So I appreciate, Gerry, what you're saying that if we can move forward with this in a way that has a failsafe on it, we will do that. VICE MAYOR FRIEDEL: If we have a check and balance -- and I don't want us waiting forever for grants that may not ever show up. So, we need some kind of an idea as to how long we're going to wait for these grants and that type of thing. And then we pull this project, and we get that money into our streets, because we may never get a grant. If that money dries up, I mean, it may never happen. MAYOR DICKEY: And that, you know -- that's a really good point. Because this is time of the essence. This infrastructure bill is just billions of dollars to Arizona, right? So, we're applying, but again, I don't -- let's just -- I don't even know which project, but there's a -- let's just say the shade structure. I don't think there's majority wanting to pull that. So, I think we need to talk about each of these as they come up. There may be constituencies that want them. There may be constituencies that hate them. And I think that that is something that maybe we would gain some information on at that point, also. And again, roundabout, whether you like them or hate them, it's in the downtown development plan. It's in a general plan that was voter approved to make the median a place for businesses, for walking. So maybe the businesses have the right to weigh in on that if that project does end up coming to us. But we won't move on it until -- you know, until we -- well, you will have plenty of time to have input on it. All of us will. DIRECTOR POCK: All right. To that point, I just wanted to make this one point on the Streets Fund before we do move onto the Capital Fund. As far as the budget that we have before you tonight, we do have $5.9 million budgeted for the Streets Fund at this point. We do have more revenues showing since we do have that extra $4.2 that's going into the fund if that gets approved by council. So, at some point, if we do get close to reaching this $5.9 million limit, we will be coming back to council to move contingency into this fund so that we could use the remaining 2 million. I would like to say, as far as the Vice Mayor's point, we will be having a meeting in CITY OF FOUNTAIN HILLS Page 29 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 29 of 103 November, going over the final numbers and presenting the financial statements in November, so that would be probably a good time to check back on that. And then, or during one of the quarterly financial reviews that we do. All right. What everybody's been waiting for. So as far as the Capital Projects Fund, currently, we have $8.2 million budgeted for capital projects. They are broken up primarily between public works and community services. A list of the public works requests for this year. As you'll notice with the two items with the asterisk next to them, those based on prior discussion at the tentative budget, there wouldn't be any staff work done on those projects until it was approved by council. That is about as clear as I could get on that. MAYOR DICKEY: Can I ask you something about -- so Sidewalk Infill and Design, somebody was asking me a little bit about -- because I know with the big $2 million, we're going to do Saguaro -- let's see -- is it Colony to Palisades to Colony? TOWN MANAGER MILLER: Justin, you want to -- MAYOR DICKEY: Because they asked me specifically between the -- they use the crosswalk and they asked me specifically between the crosswalks. But I don't think the $2 million is going that far down, is it? DIRECTOR WELDY: Madam Mayor, Councilmembers, no, ma'am, you are correct. The $2 million grant will be for sidewalk gap infill on Saguaro from Colony to Fountain Hills Boulevard on both sides, and on Palisades from Saguaro to Fountain Hills Boulevard on the north side. MAYOR DICKEY: Is there a chance any of this $300,000 would be on Saguaro? DIRECTOR WELDY: Madam Mayor, no. That $300,000 is part of a multiyear capital project for gap infill for projects that are identified in the short- and long-term sidewalk infill plan and, more importantly, the newly adopted active transportation plan, with primarily -- and we're going to be discussing this later in this meeting -- we're going to be focusing on the downtown. MAYOR DICKEY: Thank you. DIRECTOR WELDY: Yes, ma'am. DIRECTOR POCK: All right. VICE MAYOR FRIEDEL: David, could I ask you a question? CITY OF FOUNTAIN HILLS Page 30 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 30 of 103 DIRECTOR POCK: Yes. VICE MAYOR FRIEDEL: Refresh my memory. So, when we did the bond for Saguaro Boulevard, do you remember how long that bond was for? DIRECTOR POCK: I think it was five years. VICE MAYOR FRIEDEL: Five years. Okay. All right. Thank you. TOWN MANAGER MILLER: And there were some reasons for five years. It's very unusual for any kind of bonding for a capital asset to be less than 20 years for an asset that has, like, a life of 20 or more years. So, any -- if there is any future bonding, I would highly recommend that it be for at least for the useful asset life of 20 years. VICE MAYOR FRIEDEL: I just don't want to see us get into a situation where we're bonding for 20 years on a road that's only good for 15 and then we still have five years to pay on it. TOWN MANAGER MILLER: No, it's a good point. But our roads, if we do all the preservative treatments and everything in the lifecycle of a road, you'll get more than 20 years out of it. And the other reason why you really want to go 20 years is why have just the residents pay for it that are here today? Why not the residents who are going to use it 15 years past the five-year period? So, it really should be all people that are using it should be paying for it. DIRECTOR POCK: All right. As far as the park requests, you can see there's one project there, the pavilion, that also has the asterisk next to it. Any questions on those? COUNCILMEMBER MAGAZINE: David, the -- what's the Centennial Pavilion? Remind me. VICE MAYOR FRIEDEL: Rachael's umbrella. COUNCILMEMBER MAGAZINE: Oh. That's a euphemism. That's a euphemism for a big umbrella. I get it. DIRECTOR POCK: All right. So then we've talked a little bit along the way as far as the transfers. We do not budget for transfers because that would be against the accounting rules that I have to follow. But we would be moving $4.2 -- or looking for council to approve moving the $4.2 from the General Fund to the Streets Fund. That transfer would most likely happen right after we get the audit complete, all the final fund balances nailed down. CITY OF FOUNTAIN HILLS Page 31 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 31 of 103 And then the facilities reserve, another 1.5, same as last year, with 1 million earmarked for the liner set aside. That's not saying that it has to go towards that. It can be moved just like everything else. And then 500,000 for the environmental fund to keep that alive. Any questions? And that does it for the final budget. MAYOR DICKEY: Thank you. Any further discussion by council? Do we have any speaker cards on the budget? TOWN CLERK KLEIN: No speaker cards, just the two written comments that everyone received a copy of. MAYOR DICKEY: Thank you. Thank you. All right. So I will close the hearing, and we are recessed and going into our special meeting, where I think all we need to do is the resolution. Is that true? Okay. So let me say if -- like say, Gerry, if you wanted to do it, the adoption, you could add, you know, the language to just make it part of the minutes if you'd like. VICE MAYOR FRIEDEL: We're going to recommend approval of adoption of Resolution 2022-19, with language stipulating that any project will come back to the council for our okay. TOWN MANAGER MILLER: What I would do is, with the understanding that a list of projects will come back for council consideration for approval. VICE MAYOR FRIEDEL: Council consideration for discussion and approval. And can we get any kind of a timeline in there for these grants, that we're not going to wait for five years for a grant? What's a reasonable way to handle that? TOWN MANAGER MILLER: We've been waiting, and they just -- because there's so many different agencies that are responsible, it's not like just one grant and you've got, you know, highways and roads and you've got water and wastewater infrastructure. It's -- I don't know what to tell you. I thought it would have been done by now as to what the rules are going to be and what you can apply for. So I don't think there's any -- VICE MAYOR FRIEDEL: With a reasonable amount of time for -- MAYOR DICKEY: It'll expire in a year because it's this budget, so, you know what I mean? TOWN MANAGER MILLER: That's a good point. '23 is supposed to be when the money if it would be available to apply for. CITY OF FOUNTAIN HILLS Page 32 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 32 of 103 VICE MAYOR FRIEDEL: So that's the motion. [LAUGHTER] COUNCILMEMBER GRZYBOWSKI: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Any opposed? Thank you very much. TOWN MANAGER MILLER: This is a true testament to see how sharp and on her feet our new clerk is. MAYOR DICKEY: Yes. Your first one, we have two meetings in one. So, in fact, I will open our regular meeting back up. And let's see. What's our next item? Okay. This is the implementation of our budget. So, you are still up, Dave. DIRECTOR POCK: I think it's my last one, so we can get some fresh blood up here. Okay. So as far as the implementation memo goes, as you're well aware, we do have adopted financial policies that are set by the council. This takes it a little bit further, describes how transfers can be done in between funds, between departments, within departments. Also goes through any changes to personnel authorized positions. The org charts. The comprehensive fee schedule. Basically, takes everything that rolls into the budget and puts it in one spot so that we know what's getting approved each year. I don't have a presentation for it. I did save the attachments in case we have any questions. MAYOR DICKEY: Anybody have any questions or speaker cards on this item? No. Motion, please, on 359? COUNCILMEMBER GRZYBOWSKI: Move to adopt Resolution 2022-20. COUNCILMEMBER MCMAHON: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Any opposed? Thank you very much. The next item is about the Pump House Pilot Art Project. Grady? TOWN MANAGER MILLER: Yes. Mayor and Council, you recall a couple years ago CITY OF FOUNTAIN HILLS Page 33 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 33 of 103 there was a concept for having a new mural that would replace the previous mural that was over at the pump house. The pump house is there on El Lago, and it's a stuccoed wall that faces the street. The Public Art Committee has a different concept that they proposed to staff, and staff is going to go ahead and present a staff report on their request. I think it's kind of an interesting concept, and I'll turn it over to Ms. Goodwin, Community Services Director, who will give the report on this item. DIRECTOR GOODWIN: Mayor and Council, I'm actually just going to introduce the project. I think Grady did a great job giving you some background. The project is proposed to be displayed on -- called the pump house wall, which is where the mural formally was around our pump house system down in Fountain Park. So just so everyone has kind of a visual of where we're talking about. With that, I'm actually going to ask Dori Wittrig -- there you are, Dori -- to come on up with me. She is going to be representing our Public Art Committee this evening, offering some insights. And then the PowerPoint is here for you to use if you'd like to talk about the different -- WITTRIG: Oh, no. I'll let you. DIRECTOR GOODWIN: Okay. WITTRIG: Why don't you go through that first. DIRECTOR GOODWIN: Okay. We can do that. WITTRIG: Thanks. DIRECTOR GOODWIN: Again, this is sort of a visual of what the Public Art Committee has designed for the pump house project. You can see the rendering there of the wall with essentially a gallery wall featuring 4-by-8 commissioned pieces. This is a rendering of what the installation would look like. The committee would put out a call to artists for -- and it would be a national call to artists for 2D art that would essentially be chosen -- all of the applicants would be chosen to be whittled down to eight. They expect over 100 applications. Of the eight finalists, they would be creating 4-by-8 panels to be displayed on the wall. They have a theme to guide the applicants, which is legends and lore of the Valley of the Sun. Each panel would be labelled with the artist's name, title of the piece, and a small CITY OF FOUNTAIN HILLS Page 34 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 34 of 103 description and potentially a sponsor of the piece. These panels would be displayed, again, on the pump house wall with a bracketing system that's been kind of custom designed for this type of project so that it is secure and safe for public interaction. And then all of the costs of the project would be incurred by the Fountain Hills Cultural and Civic Association through the Public Art Committee. So one more rendering. This gives you kind of a close-up to show the bracketing system. Keep in mind that this project is considered a pilot, so a one-year trial would be in place, so to determine the public support of the project and if the committee will continue with this concept. Overall, the benefits bring in new and fresh art on display for the public on a rotating basis annually. So that's kind of the drive behind there. To create continual interest and continual viewing. With that, I'm going to pass it over to Dori. She's got a bit more information for you. WITTRIG: Hello there. Okay. So my name is Dori Wittrig. I'm a past president of FHCCA, but also a past chair of the Public Art Committee. So I'm here tonight on behalf of the Public Art Committee and also Jenny Wiligrad, who's also held those same positions and is the current chair of the committee. Jenny couldn't be here tonight, so you get me. Regarding the pump house pilot project, it's named pilot because there's a charter effort that we will likely need to tweak in the future, and pump house because we're trying both to prime the pump of the interactive community-based public art collection while also covering the backside of the pumphouse wall of our famous fountain, the most visible part of our park that is seen by thousands of visitors to the park each month. The back of the pump house wall, which is eighty feet long and six feet high, is very visible to the public and has for a long time been either a source of great pride, as local groups would create artistic murals, or a great source of frustration, because the masonry medium of the wall and the amount of moisture in the area from the fountain and landscape spray doesn't allow for longevity after so many thousands of hours of volunteer work to create the mural. Several years ago, in a show of public/private partnership, Jenny and I, Rachael, and CITY OF FOUNTAIN HILLS Page 35 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 35 of 103 others on the Public Art Committee undertook an update of the Public Art Masterplan, a section of your town code. One of our goals in doing this was to transition the public art effort from its formative years as being acquisition focused, to a new era when the collection would be matured, strengthened, and become more transitory and interesting showcase of the talent of local and regional artists. Public art can be made more interesting when it is fresh, and we wanted to create a town code mechanism that would welcome visiting or temporary art projects, to retire out of the collection pieces when age, relevancy, and condition deemed it appropriate, and to build the stature and the integrity of the collection. We started the update of the town code in 2018, and this town council fully approved all elements of it in 2020. The Public Art Committee, who works closely each month with town staff to guide the public art process, recently came up with a plan to improve the pumphouse wall, following all the tenets of the new public art masterplan. That plan is what you see in front of you, and Rachael went into very nice detail, so I won't do that unless you have questions. This plan will be funded by the FHCCA. We will do it through a program of financial sponsorship raised from local individuals and businesses, who may then have the opportunity to own the large 4-by-8 piece of art when it is retired after a year. We are even discussing that in future versions of this project, we may have the opportunity to raise funds beyond the cost of the project and be able to direct those funds back into art education for our local youth, one of the areas of our public education that desperately needs support. We feel the program of outreach to artists locally and regionally will help to bring recognition to the program and to Fountain Hills, and the fresh approach to our Fountain Park will give visitors a reason to return. I'm happy to answer any questions, and I had intended to have Bryan Shaer (ph.) here, but you got done so fast with the budget I didn't think I would need him right away. So go right ahead and ask questions if you'd like. MAYOR DICKEY: I thought it took too long. Any questions from the Council? COUNCILMEMBER MCMAHON: I have a question. MAYOR DICKEY: Yes. COUNCILMEMBER MCMAHON: Is the art commission going to completely manage CITY OF FOUNTAIN HILLS Page 36 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 36 of 103 this and put them up and take them off and exchange them, et cetera, and announce to the paper next year that there's another -- the same project is happening, et cetera? WITTRIG: Well, if we do it next year, that answer is probably yes. Again, it is a pilot project, and it will need some tweaking. But to your answer about the current project this year, we've always worked with the town staff when it comes to mounting things on town property. So, the bracketing system was identified by our crew; actually, that was in partnership with the parks and rec people, as well as some of the artists in our group. And it's actually a pretty easy system to install, but the town staff will make sure that it happens correctly. We also have an interesting way of reaching out to artists throughout the region through a website. And excuse me. I'm just getting over COVID, so I didn't want anybody else to have to suffer. And so, we are -- we have a call to artists ready to go out upon your approval with this project, and we're looking forward to a very large response, which we're told we should expect, so. MAYOR DICKEY: Mike? VICE MAYOR FRIEDEL: Yeah. Thank you, Dory. I like the concept. I think it's a creative approach to -- like you said, there's been several murals out there over the years and after a while they all tend to kind of flake off, you know. But -- and that kind of leads -- given it's a pilot, I'm wondering -- I know you said the metal panels in the staff report you think are going to hold up well with the sunlight and the heat and that. You know, you mentioned the water, and I am kind of wondering and I guess we'll see after a year, with the effluent spray and stuff how that's going to hold up against the metal, you know. WITTRIG: We had a lot of discussions with Kevin from parks and rec about that. First of all, they only will be up for a year. It's a very brilliant process, and Alan probably knows a lot more about it than I do. It's going to be stunning once those are up there. And we were also told when we were talking to Kevin about it, that since we're faced away from the fountain, we may not get quite as much. Really, I think a lot of the problem with the past wall was the masonry. I mean, there's just a lot of moisture in and around that whole pump house. CITY OF FOUNTAIN HILLS Page 37 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 37 of 103 MAYOR DICKEY: Okay, Alan. COUNCILMEMBER MAGAZINE: Yeah, I think it's probably an infusion process where they lay the art down and they lay, if it's metal, lay metal over it and it takes on the properties -- I don't know how; it's magic. I've always been told, and maybe it's because of the manufacturer I use, you can't have them in sunlight for very long. I would imagine that you've researched that and found that that would not be a problem. WITTRI: We told them what we were doing with this. As a matter of fact, originally our plans were to leave them up for two years. So, I'll ask the questions, but I believe that the crew has done their work, yeah. COUNCILMEMBER MCMAHON: Yes. Who is going to pay for all the maintenance expenses of this for the year and like if there are graffiti or anything is necessary to repair them? WITTRIG: I'm not sure we've really addressed that. It is part of the parks area. I mean, if there's graffiti, there could be graffiti on the art, there's going to be graffiti on the wall. This is an effort. I don't know how to answer that. VICE MAYOR FRIEDEL: I was just going to ask that question. It looks like a great program, and I was going to ask if there's any security issues down there or any cameras or anything like that, because I could see where somebody would try and maybe lift one of these nice pieces, and it might be a problem. DIRECTOR GOODWIN: Let me address the security side. The -- ideally, these are big. These are 4-by-8 pieces, so it's not going to go unnoticed if someone is trying to move it. But to the point of graffiti or other vandalism, there is that potential as it does occur in our parks. And no, there is no camera orientation in this area, not to encourage that. But that wouldn't be something that we would be able -- ideally, these are secured. They're -- we've devised a system that is as -- what I'll say, is secure as we feel it can be. But we do have vandalism. We do have art stolen on occasion. Even pieces that are in the ground, poured into footers. So, it does happen. I won't say it won't. But we do think that this is, again, a situation where we can test it, see if it works, and we do have insurance on the pieces, which would be carried by FHCCA, just because I know you weren't part of that conversation, because they will be retained as owners if FHCCA will continue to own them as pieces until they are sold or donated. CITY OF FOUNTAIN HILLS Page 38 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 38 of 103 MAYOR DICKEY: Do you have any speaker cards? TOWN CLERK KLEIN: Just DorI. MAYOR DICKEY: I saw the realization. Sharron? COUNCILMEMBER GRZYBOWSKI: Two things. I love rotating art. I think that's brilliant. It's a great way to get people to come back, and I'm all for it. Can I ask a non- pump wall related question, but it is art committee? Is that allowed? We have a project that you are already working on, and I just want to make sure that the Fountain of Light hasn't been dropped. So that's why I wanted to bring it up because I'm almost afraid you guys are taking on two ginormous projects at the same time. DIRECTOR GOODWIN: Actually, Fountain of Light is off and running. We've been very blessed that the folks at Shea Connelly, Bart Shea, has agreed to build it as his cost. He has spent a lot of money recently designing the piece, the base, which took a lot of engineering, a lot of design, and work with his -- they had to build actually custom forms for that piece. And I understand he's going to be starting any time now. It's just -- I don't know if you know anything about the construction industry, but concrete is right up there with gold prices these days, and availability is just about the same. MAYOR DICKEY: Thank you. Any further discussion? Are you going to be suggesting themes or is it just going to be whatever you get? DIRECTOR GOODWIN: Well, this particular year we have -- what was that again? Let me page back a little. MAYOR DICKEY: Oh, was it there? Sorry. DIRECTOR GOODWIN: Legends and lore of the Valley of the Sun. MAYOR DICKEY: Okay. DIRECTOR GOODWIN: We are looking forward to seeing what people from outside of our area come up with, and it's going to be a fun process. We'll let you know how it goes. MAYOR DICKEY: Thank you, perfect. DIRECTOR GOODWIN: Assuming you approve it. MAYOR DICKEY: Appreciate it very much. Do I have a motion? It's on 490. COUNCILMEMBER MAGAZINE: Yes. Mayor, move to approve the Pumphouse Pilot Art Project. MAYOR DICKEY: Say that three times fast. CITY OF FOUNTAIN HILLS Page 39 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 39 of 103 COUNCILMEMBER SCHARNOW: Second. MAYOR DICKEY: All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Any opposed? Thank you. Thanks so much, DorI. Our next item -- I see you're staying up there -- is our Establishing History and Cultural Advisory Commission. Grady, do you want to introduce? TOWN MANAGER MILLER: Just to kick it off. The Council recalls that we had a discussion with the Council recently as the council retreat workshop about establishing this. So, this is basically coming back to -- with consideration and possible action, this -- as Rachael will go into the background, what led up to the recommendation that she's bringing to you tonight. It all had to do with the 50th Anniversary Committee, and with that, I'll turn it over to Ms. Goodwin. DIRECTOR GOODWIN: Thanks, Grady. Correct. As you know, a number of years ago, 2020, it was a memorable year for a lot of reasons, but it was also our 50th anniversary of the installation of our fountain. At that time, we had an ad hoc committee that was put together to help us create a year-long system of celebrations -- large, small, community oriented, business oriented, lots of different things. Unfortunately, COVID did put a damper on the majority of those things. But what came about was this feeling that Fountain Hills is -- it was 50 years old, and we had a lot of history there that wasn't well documented, that wasn't well established. Thankfully, we have a number of community folks that were willing to do the digging. They were willing to put the work in to find some of that neat historical information and photos such as this one. I don't remember those days. I wasn't here yet. But to me, that's really interesting to know that people did use the lake. So, the foundation of this commission would be to advise the Council on matters relating to historic preservation, including making plans and policies to recognize historically or culturally significant aspects of Fountain Hills. The commission would establish those criteria and those procedures. Again, this is new, so we would work with the founding members of the commission to sort of establish that. The one thing I do want to note is that it's intended to be informational and advisory and CITY OF FOUNTAIN HILLS Page 40 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 40 of 103 not an archival collection of physical memorabilia, i.e., we already buried a time capsule. We're not collecting more stuff to put in it. And that is one of those things we will probably need to work towards. We want to archive this information digitally, but we don't have a way to store artifacts. MAYOR DICKEY: Rachael, so would the commission, though -- could it be tasked with coming up with a plan for that? Because that was definitely an issue. You know, the Times has all kinds of stuff, the museum does, and nobody wants to really store those things. But rather than saying they will actually archive it; can that be part of their advice or their information to find out ways for us to do that? DIRECTOR GOODWIN: Most definitely. I think that that would be a fantastic starting point for them, to begin that journey. Absolutely. MAYOR DICKEY: Yes, Grady? TOWN MANAGER MILLER: I just wanted to just comment on that. So good question, Mayor. A lot of these neighboring cities around us and throughout the country have historical societies, and they're usually the ones that are the collectors and keepers of a lot of the artifacts that we're talking about. I love the idea of digitally maintaining an archive of these. Perhaps this would be one of the things that the charge of this group, when they're founded, would be to try to find out how that would be -- how they go about doing that. And I think it's a great idea because I'd hate to see some loss of historic items over time because there just isn't a proper place to store them or maintain them. So, it's a good question, and I think this should definitely be part of the charge of this new commission. MAYOR DICKEY: Thank you. Alan? COUNCILMEMBER MAGAZINE: Just a quick comment. If other cities and towns have similar kinds of commissions, it might be worthwhile for the new members of this to do a survey of what others are doing to get some ideas. DIRECTOR GOODWIN: That's a great suggestion. We did model the concept of this around a commission in Tempe. They're a little more robust than what I think we're looking to take on out of the gate, but I think that that's a great idea. I do have one more bit of information here. So just to be consistent with our other commissions, it is recommended that we have a total of seven members, that they be CITY OF FOUNTAIN HILLS Page 41 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 41 of 103 appointed at staggering terms so that we are never retiring more than three at a time, and that if approved this evening, applications would be posted later in August and would be part of the interviews later this fall to coincide with our other commission interviews. COUNCILMEMBER SCHARNOW: Yeah, I think to piggyback on what Grady said too and what you were saying about, you know, collecting stuff, I mean, we have a historical society out here already. There is a museum. So, I'm just wondering the interaction there. I mean, maybe that's another one of their tasks, is to figure out how to interact with the museum and the existing society or that kind of thing. Is that? DIRECTOR GOODWIN: It sounds like we have the makings of our first agenda. MAYOR DICKEY: And I'll add something else to that too. Maybe they could also make decisions on historical sites or, I think, Grady, we were talking about markers, and that would probably come back to whatever the council is to say if they -- you know, I know over at the high school they have the P bar and everything, so that'd be cool. TOWN MANAGER MILLER: That's a very good point, because a lot of these commissions, that is one of their primary missions is to identify the historic sites and then to go ahead and recommend to the council that a historic marker be placed at that. And usually there's a ceremony, a dedication ceremony for that. It's kind of a neat thing. And I think the time has come as we have just completed our 50th anniversary of the fountain and it --certainly longer than that of the founding of the community, so this is good timing. MAYOR DICKEY: Did we have any speaker cards? You read my mind. Any other discussion? No? Thank you. Could I get a motion? COUNCILMEMBER SCHARNOW: I'll move to adopt ordinance 22-04. VICE MAYOR FRIEDEL: Second. MAYOR DICKEY: All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Any opposed? Thank you. Next item is about holiday lights. You're still there. DIRECTOR GOODWIN: You get me for a little while. Well, I'd like to wish everybody a happy holidays. [LAUGHTER] CITY OF FOUNTAIN HILLS Page 42 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 42 of 103 DIRECTOR GOODWIN: I said that for Jenny’s benefit. I hope she's in the back because she's my Christmas-music-all-year-long buddy. But as we all know; our downtown is decorated every holiday season with significant lighting. We do a lot to sort of ring in the season and put on a very colorful display. If you're not familiar, there's a good visual of what we do. This contract has expired with the last holiday season, so we do need to renew. Staff went out to bid. We received three competitive bids, and before you tonight is the result of that, the recommendation to contract with Custom Holiday Lighting. Custom Holiday Lighting did their homework and recognized that we have traditionally had a budget of about 35,000 for our Christmas décor. They did put together a proposal based on that number, and it hits many of our high points, but it would not be quite as brilliant as what you're seeing here. It does include the 24-foot LED tree that's usually at the end of the avenue in Sharon Morgan Plaza. It would include the installation of the ground displays, or our 2D displays, and a number of trees wrapped, and some canopy lighting, and some other things, as well as all of the supporting power cords, adaptors, timers, lift trucks. It would be a very nice holiday display. It would be a little less than what we have consistently seen the past, but like much -- as Dori just mentioned about concrete, as we've talked about inflation, the cost of things is increasing. So, for the same money, we could do a little bit less of a display. They also provided a budget of not to exceed 50,000. That is what was in the budget earlier today. So, the numbers that you saw in the budget that Director Pock presented did allocate up to 50, not that we have to spend it, as we've mentioned. But they did include other recommendations including additional trees, lots and lots of trees, including garland around our light poles, light sprays, which I had to ask what that was. But essentially, it's overhead displays across the trees. So, it would be more dynamic then we've seen in the past. So, the option tonight is one of the two, or somewhere in between. I'm looking for Council's direction of what budget they're comfortable with in moving forward so that we have our contract in place for this holiday season. MAYOR DICKEY: Thank you. CITY OF FOUNTAIN HILLS Page 43 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 43 of 103 Any questions? Yes, ma'am. COUNCILMEMBER GRZYBOWSKI: I don't want to sound like a grinch. I'm just saying that on the front end. But okay, for the last five years or so, we've spent about $30,000, $35,000 a year, right? DIRECTOR GOODWIN: Actually, that's a really great question, because our base budget has always been $35,000. Keep in mind that when we had COVID and we did not have activities and events, we did bump that budget up in order to, as in an old phrase, when we did this project a while ago, to increase the joy. We added more décor on the avenue because we weren't having holiday activities and events and Stroll in the Glow and things like that. We wanted to give the community a little bit more. So it has fluctuated over time based on Council direction. But generally speaking, our base budget has been 35. COUNCILMEMBER GRZYBOWSKI: 35. Okay. The reason why I mention that is because we get drilled into our heads, we don't want nice to have. We don't want nice to have. We don't want nice to have. My point is, this is nice to have. We all like to see the lights; they're shiny; they're pretty. I have blue hair; of course I want the lights. But this is one of those things where you're like, okay, it's really nice to have, but this is important to have because it draws people into town, and those people will hopefully spend money. So, I'm just pointing out that, yes, this is sparkly and pretty and nice to have, but sometimes nice to have is really important to our businesses. So, I'm a little bit of Scrooge, but I completely support the lights. I'm just pointing that we're all going to get beat up, that this is nice to have, but everybody's probably going to want it anyway. TOWN MANAGER MILLER: I just want to just also explain that this is also warehousing our existing two-dimensional retro items that we have and other personal effe -- or not personal effects, other holiday effects and Christmas ornaments and things that we have. So, it's not just really just the service of installing and maintaining and correcting if we have issues. So, it's much more than that. And the other thing that just want to let you know, so this is going off of a -- is it a six-year agreement or -- DIRECTOR GOODWIN: The previous one was a five-year agreement. TOWN MANAGER MILLER: Five-year agreement. So I just want to let you know, in CITY OF FOUNTAIN HILLS Page 44 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 44 of 103 real dollars, with exception of the bump-up that we had in 2020, this has not gone up in real dollars, inflationary dollars, since we had five years ago, so I -- and our dollars used to buy us more with -- if you remember right, we used to have our buildings wrapped with the lights on top. DIRECTOR GOODWIN: We also used to have the palm trees down the avenue. TOWN MANAGER MILLER: The palm trees. And we scaled those back because we really wanted the enjoyment to be on the avenue. The other thing I also want to let the -- Councilmember Grzybowski brought up a really good point. This is actually being paid for out of the downtown fund; is it not? DIRECTOR GOODWIN: That's where it's budgeted, yes. TOWN MANAGER MILLER: So, the downtown fund is the excise tax. It goes right back into downtown, which supports the businesses downtown, and they're the ones that are also helping to generate that sales tax. So, in a way it's coming back to the ones that are collecting the sales tax from their customers. So, I just -- I -- the staff will go with whatever the council wants, but I just wanted to just make a couple points. One, it's not grown in real dollars, other than the one year we did the big bump-up, and there's a lot more involved, such as the storage of all of our items over the year. So, with that, I'll turn it back to Rachael. MAYOR DICKEY: David? COUNCILMEMBER SPELICH: Thank you, Madam Mayor. I'll be Scrooge, and I don't care how many emails I get. I'll have $35,000 worth of fun, please. I think 35 is plenty to spend. I don't -- the bark-wrapped mini lights and -- I -- I'm not feeling it. So, 35,000, and I'll kick in another 200 if we get the leg lamp from Christmas Story. [Laughter] MAYOR DICKEY: Do we have any speaker cards on this item? No. Any further discussion? Well, yes, Mike. COUNCILMEMBER SCHARNOW: So, you mentioned the five-year contract before, so this is just for one year? DIRECTOR GOODWIN: This is contract will be written in our traditional language that will give us up to -- COUNCILMEMBER SCHARNOW: Up to, okay. CITY OF FOUNTAIN HILLS Page 45 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 45 of 103 DIRECTOR GOODWIN: Up to renewal if we so -- if we agree. If both parties are interested in renewing -- COUNCILMEMBER SCHARNOW: Okay. DIRECTOR GOODWIN: -- we have the option of renewing up to five times. But this is a new company. I'm glad you brought that up, it's not necessarily pertinent, but this is a new lighting company than the company we've contracted with the last five years. MAYOR DICKEY: Well, I could just ask somebody to make a motion, but just to say that I remember back in the old days, Sunset Kwan (ph.) is who used to paint all of the statues and the -- made wood cutouts, and that was what we had, and it was great, but I love what we do now and I'm favor of going with the 50 that's in the budget so that we can have all of this. It's up for a month, and it's the kickoff to a big event and making a lot of memories, so I'm okay with going with the 50, but obviously, it's up to you guys. COUNCILMEMBER SPELICH: I'll make a motion to spend 35 grand on fun, approved custom holiday light contract 2022-083. MAYOR DICKEY: Any further discussion? Peggy? COUNCILMEMBER MCMAHON: How do I make a different motion? MAYOR DICKEY: You can amend it. COUNCILMEMBER MCMAHON: I'd like to amend that motion to go up to top -- to be considerate about it, stay, if you can, around 30, 35 but also have a ceiling on it to 50. UNIDENTIFIED SPEAKER: How do you that? MAYOR DICKEY: Wait. I didn't hear her. COUNCILMEMBER MCMAHON: So making a motion to approve the holiday lights contract for 2022 and '23 and the amount to not exceed $50,000, but do your best to stay closer to the 35 if possible. UNIDENTIFIED SPEAKER: (indiscernible). COUNCILMEMBER MCMAHON: If that makes sense. MAYOR DICKEY: Oh, is there a -- so that amendment is for the $50,000 -- TOWN MANAGER MILLER: Yeah, we would need a second on the amended. MAYOR DICKEY: We need a second on that. Is there a second on that motion? COUNCILMEMBER SCHARNOW: Oh, I'll second it. MAYOR DICKEY: Thank you. CITY OF FOUNTAIN HILLS Page 46 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 46 of 103 TOWN MANAGER MILLER: And now we need to vote on the amendment itself, to see whether -- MAYOR DICKEY: Yes. TOWN MANAGER MILLER: -- the main motion is going to be amended. So -- MAYOR DICKEY: So the -- TOWN MANAGER MILLER: -- we're voting on the amendment. MAYOR DICKEY: -- main -- so right now, voting on the amendment, which is for 50,000, right? COUNCILMEMBER SCHARNOW: Yeah. MAYOR DICKEY: Okay. All -- yes, all in favor of the amended motion for $50,000 for the contract, please say aye. UNIDENTIFIED COUNCILMEMBERS: Aye. MAYOR DICKEY: Do you need a roll call on that? TOWN CLERK KLEIN: Sure. MAYOR DICKEY: Okay. TOWN MANAGER MILLER: This is so Linda can -- UNIDENTIFIED SPEAKER: You're welcome, Linda. TOWN MANAGER MILLER: -- see how we do it. MAYOR DICKEY: Yes, yes. Okay. TOWN CLERK KLEIN: Councilmember Scharnow? COUNCILMEMBER SCHARNOW: Aye. TOWN CLERK KLEIN: Mayor Dickey? MAYOR DICKEY: Aye. TOWN CLERK KLEIN: Vice Mayor Friedel? VICE MAYOR FRIEDEL: Nay. TOWN CLERK KLEIN: Councilmember McMahon? COUNCILMEMBER MCMAHON: Aye. TOWN CLERK KLEIN: Councilmember Magazine? COUNCILMEMBER MAGAZINE: Nay. TOWN CLERK KLEIN: Councilmember Spelich? COUNCILMEMBER SPELICH: Nay. CITY OF FOUNTAIN HILLS Page 47 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 47 of 103 TOWN CLERK KLEIN: Councilmember Grzybowski? COUNCILMEMBER GRZYBOWSKI: Aye. TOWN CLERK KLEIN: Motion passes 4 to 3. Thank you. MAYOR DICKEY: Thanks so much. COUNCILMEMBER SPELICH: What's the amendment? TOWN CLERK KLEIN: Now, we can (indiscernible). MAYOR DICKEY: The amendment passed. TOWN MANAGER MILLER: Now you vote -- so you amended it. Now we vote on the main motion, which is now whether to approve contract 2022-83 in the amount not to exceed $50,000. MAYOR DICKEY: Thank you. TOWN MANAGER MILLER: Yes. MAYOR DICKEY: So, should we do a roll -- TOWN MANAGER MILLER: Why don't we just go -- MAYOR DICKEY: Should we do a roll -- TOWN MANAGER MILLER: Play it again, Sam. MAYOR DICKEY: -- call on that again? TOWN MANAGER MILLER: Yeah, go ahead and do it again. MAYOR DICKEY: Okay. I guess we'll do a roll call again on that. TOWN CLERK KLEIN: I need a motion and second first for -- TOWN MANAGER MILLER: Someone needs to -- yeah. COUNCILMEMBER MCMAHON: I'll make the motion to have the custom holiday lights contract 2020-083 not to exceed $50,000. COUNCILMEMBER GRYZBOWKSI: Second. MAYOR DICKEY: Thank you. Roll call. TOWN CLERK KLEIN: Mayor Dickey? MAYOR DICKEY: Aye. TOWN CLERK KLEIN: Vice Mayor Friedel? VICE MAYOR FRIEDEL: Nay. TOWN CLERK KLEIN: Councilmember McMahon? CITY OF FOUNTAIN HILLS Page 48 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 48 of 103 COUNCILMEMBER MCMAHON: Aye. TOWN CLERK KLEIN: Councilmember Magazine? COUNCILMEMBER MAGAZINE: Nay. TOWN CLERK KLEIN: Councilmember Spelich? COUNCILMEMBER SPELICH Double nay. TOWN CLERK KLEIN: You only get one. MAYOR DICKEY: You only get one vote. COUNCILMEMBER SPELICH: Nay. TOWN CLERK KLEIN: Councilmember Grzybowski? COUNCILMEMBER GRZYBOWSKI: Yes. TOWN CLERK KLEIN: Councilmember Scharnow? COUNCILMEMBER SCHARNOW: Ho, ho, ho. [Laughter] TOWN CLERK KLEIN: Motion passes 4 to 3. MAYOR DICKEY: Thank you. Our next item is about the sidewalks that we were talking about earlier. Grady? TOWN MANAGER MILLER: Yes. I'm going to have the public works director do a brief report on this item. It's important to note too, we previously had a discussion about capital improvement projects, and there is a sidewalk infill for the $300,000. So this is having to do with the engineering and the design of the sidewalks that are in the capital improvement budget that you just approved, but subject to us coming back to. So this is something maybe for your consideration. I do think it's important, probably, since we probably know we're going to be doing sidewalks for improving safety for your consideration. With that, I'll turn it over to Mr. Weldy to brief you on this. DIRECTOR WELDY: Madam Mayor, councilmembers. I think that it's incredibly important that when I'd asked for this to be placed on the agenda, I didn't think that the sidewalk infill would be controversial. So, my apologies if, in fact, that's the way it's taken to the group. It should be noted that for several years the council has approved funding for sidewalk infill. This is separate from the grant opportunities that we seek and currently are working through and have received. CITY OF FOUNTAIN HILLS Page 49 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 49 of 103 In that plan, we have a short term, so that's the five year, and then we have the long-term horizon; that's 10 years and above. We've noted that in that plan, there are several towns -- or several locations in the downtown where we have steep slopes or rock outcroppings or utilities that are going to be challenging to build a sidewalk or in around. Please note that a large percentage of the infill sidewalks that we've done over the last several years -- I'll pick one location, Golden Eagle Boulevard, between Hampstead and -- or excuse me, Palisades, between Hampstead and Golden Eagle, that was an in- house design; all we paid for was construction. Not a lot of challenges there. We have a talented staff, good background. This is just for the challenging ones. You'll note that during the capital projects presentation earlier this year, we showed you a sidewalk that appeared to be hanging in the air next to a very steep slope. That is what this contract is intended to tackle. Please note that the recently adopted active transportation plan includes the five-year horizon and the long-term horizon for sidewalks. Primarily, we are going to be focusing in the downtown area because that is what the active transportation plan indicated was the most important portion according to the surveys and the citizen input and input from the mayor, council, and staff. MAYOR DICKEY: Could you define what you would consider the downtown area? DIRECTOR WELDY: The downtown area is often times, Madame Mayor, referred to as Towne Center. Historically, that was El Lago to Palisades, Saguaro to Fountain Hills Boulevard. We're extending that just slightly to Panorama and the area around the lake because that ties directly to and is very close to the town town (sic). We will still keep the El Lago and we'll still keep the Fountain Hills Boulevard, however, we would also strongly recommend that we push it out to La Montana, where it goes around the back of the old town hall, the medical buildings there, to ensure that that is also a walkable area. We have several single family and multifamily homes in that area directly tying, again, to the downtown. COUNCILMEMBER MAGAZINE: With great hesitation that I ask this question, because my wife may divorce me. She is a big proponent of sidewalks; so am I. But having said that, I just want to ask, have we ever surveyed any of the sidewalks we've done to see about use? DIRECTOR WELDY: Madame Mayor, councilmember, we don't have a ped counter per CITY OF FOUNTAIN HILLS Page 50 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 50 of 103 se, so we have never conducted that study. We are talking internally with the City of Scottsdale who utilizes a counter that not only counts pedestrians but also cyclists. And the reason we're in that conversation is we were counting the number of hikers and cyclists that come out of Scottsdale onto Eagle Ridge Drive with a multiuse path that ties our two communities together. So, we do not have a count. TOWN MANAGER MILLER: Mayor, if I may? We do hear from people, though, when we have done a segment that maybe connects to segments that were, like, sidewalks to nowhere, that they're greatly appreciate that. We've heard a lot of positive things, despite some of the negatives on the Saguaro one that goes over to connect up to Desert Vista Park. Also the key here is we're putting sidewalks in areas that -- where we have right of way and people are walking along uneven surfaces and it's very -- it's ankle twisting. It's not very safe for people to walk in those kinds of conditions. So, I think this is -- this is all really good. And again, as Justin said, we'll tend to use our engineering staff to try do the simple designs that don't require some of the uneven or areas where you need retaining walls or you have utilities or things like that that get a little complicated. Justin, the way I understand this contract too, this is cooperative purchasing agreement. It's for $75,000 a year, correct? DIRECTOR WELDY: The -- TOWN MANAGER MILLER: Up to 75? DIRECTOR WELDY: This is a professional services agreement. TOWN MANAGER MILLER: Okay. DIRECTOR WELDY: So it's not cooperative use on this one. TOWN MANAGER MILLER: Okay. And the point on this is, it's only when necessary that we'll use these contracts. DIRECTOR WELDY: Absolutely. TOWN MANAGER MILLER: Or this contract. DIRECTOR WELDY: This contract utilized, if approved, to begin work in the new year coming up here very shortly, to start looking at some of the downtown areas. The town engineer and I have identified where we know that we need engineering support. It should be noted that this firm was utilized to do the design for the sidewalk on Fountain Hills Boulevard, east side between Segundo and Crystal Ridge, fronting the Church of CITY OF FOUNTAIN HILLS Page 51 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 51 of 103 Ascension. We do have that approved, and it will be in a future sidewalk gap. We're concerned about the current estimate -- engineer's estimate on that, however, so. But they have a strong background in this type of work. With that, if there are any additional questions, I'll do my best to answer them. MAYOR DICKEY: Do we have any speaker cards? No. I think that was the only thing that concerned me was this annually part of it, but we're not committing that we need $75,000 worth of engineering every year, correct? DIRECTOR WELDY: Madam Mayor, we are not. MAYOR DICKEY: Okay. All right. Any further discussion? Motion, please. 554. VICE MAYOR FRIEDEL: Move to approve purchasing agreement C2021-046 with Sunrise Engineering in the amount of $75,000. MAYOR DICKEY: Thank you. COUNCILMEMBER GRYZBOWSKI: Second. MAYOR DICKEY: Thanks. All in favor, please say aye. ALL: Aye MAYOR DICKEY: Any opposed? Thanks, Justin. DIRECTOR WELDY: You're welcome. MAYOR DICKEY: Thanks for the explanation. Our next item is about our user agreement with the Chamber of Commerce. Hi. DIRECTOR GOODWIN: Hi. I'm back. All right. Tonight, is the very last leg of our efforts to refine and update our sponsorships and our few waiver policies. I know we've been talking about this. I happened to do a little bit of research, and we've been at this for about 18 months now. So, it has been a big lift, not only for staff, but also for our council, so the two items tonight are big. They're very sensitive, and they've been sort of the last piece, because we know that they're a difficult conversation. So, what my goal is tonight is to go through a presentation, answer questions, and then there is a proposed use agreement in your packet. I'd like to get your feedback of what items in that use agreement you'd like to keep, what items you'd like to change, so that staff can be then directed to go and execute the agreement based on your feedback tonight. CITY OF FOUNTAIN HILLS Page 52 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 52 of 103 First up is our Chamber of Commerce. I've had some conversations with Betsy and other members of the Chamber of Commerce, so I've tried to keep them up to date as we've made progress on this. I know there's a few members here tonight. So let's jump in. Often, we get the question of how much does the town waive on behalf of the Chamber. This is a brief snapshot. This kind of gives you the overview. This is the two fairs, the value of the Thanksgiving Day Parade, Oktoberfest, Stroll in the Glow, and the Fountain Hills Days that was introduced this spring. If it was charged at full freight, it would be 45,000. Because of the fee policy that we passed at our last meeting that said local-based nonprofits would get half off, that would reduce to 22,500. MAYOR DICKEY: Can I ask you a question, please? The idea of the other town's support, that would be no matter what. That's how we come up with the fee, right? So to look at, say -- let's just say the Thanksgiving parade, $5,000 to use the avenue includes the knowledge that we need town support, correct? DIRECTOR GOODWIN: I would say, not exactly. MAYOR DICKEY: Okay. DIRECTOR GOODWIN: We often have staff on call to react to physical issues or items downtown. If there was something -- I'm going to just say, an electric outlet doesn't work or something goes haywire, especially during the fairs, I'll say the two fairs are usually our biggest call for staff assistance and other things like that. The road closure review. So when they do -- when we set up the road closures for any of the events, staff has to sit down and go through it with MCSO. We go through it, where do the barricades need to be, where do traffic control elements have to be placed. So, there's a lot of behind the scenes work that goes into that other town support. MAYOR DICKEY: Sorry. I get it. I wasn't clear. DIRECTOR GOODWIN: That's okay. MAYOR DICKEY: I guess what I meant was, I understand that that is extra as far as some possible resources that would be used from the town, but if you were just renting it to anybody, they would still only pay -- they would only still have to pay the $5,000 and the rest is given. We don't say, okay, it'll be $5,000 for ABC Company to rent and then -- but we have staff on and whatever. So, I think sometimes that looks like it's more -- you know, like we're waiving more, but we really aren't, we are strictly waiving the amount to CITY OF FOUNTAIN HILLS Page 53 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 53 of 103 rent that spot because the given is what goes along with that. You know what I mean? DIRECTOR GOODWIN: I do. MAYOR DICKEY: Okay. DIRECTOR GOODWIN: I do. MAYOR DICKEY: Thanks. DIRECTOR GOODWIN: Thank you for stopping me when you have a question. Feel free to stop me at any point, because this is complicated, and it is -- it's got a lot of moving pieces. This information here was provided by the Chamber of Commerce. They estimate that they bring annually about $30,000 in business licenses -- business license fees to the town. They help provide about $100,000 in civic group fundraising through their beer gardens and their food booths and things like that. They do offer complimentary booth space for a number of our community groups, including our town tourism as well McDowell Mountain Preservation Commission, but also a lot of our other nonprofit groups. They do partner with us in tourism promotion. They help increase visibility of our community outside of Fountain Hills. And based on their independent study conducted in the late 1990s, there's an estimated $2 million in economic impact. Again, this was all provided. I don't have a copy of that study, but I imagine Betsy may. MAYOR DICKEY: Thank you. Question about the first one, the $30,000, to just be clear, those would be business licenses, so they take the overlap into account of the two fairs, correct? Or if somebody already had a business license in Fountain Hills? Is this strictly from the fairs? That's -- when we did this originally, with Sharon and such, that was the understanding. DIRECTOR GOODWIN: Gotcha. I don't know that answer, but I imagine if we worked with our finance department, we could probably get a pretty good number based on that information, whether it's a renewal, whether it's a new license, whether it's a license of a business that's already here in town that would have had a business license regardless of the fairs. I think that's what you're asking. MAYOR DICKEY: Yeah. Because I think they had said if there were -- and I don't remember the number -- if there were 750, they were only counting 500 of them because they're out of town and such, so they basically wouldn't be here. Sharon? CITY OF FOUNTAIN HILLS Page 54 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 54 of 103 COUNCILMEMBER GRZYBOWSKI: One of the things I want to remind is any business license fee that comes in, the initial fee, I want to say, is 50 bucks and the renew is 35 after that. Much of that is actually admin costs behind the paperwork that's involved in it. So yes, there's 30,000 coming in. You're right. Based off of -- that number should be based off of just the people coming in as opposed to the existing businesses. But a lot of that also goes to admin fees. DIRECTOR GOODWIN: Okay. So, to start us off in this conversation, the town of Fountain Hill is in partnership with the Chamber would provide following in our suggested starting point for our agreement. We start with complimentary use of the avenue, Linear Park for two art fairs, which is consistent with what we do. The Thanksgiving parade in collaboration with the town's Turkey Trot. Stroll in the Glow in collaboration with the town's role in the Glow Event. Fountain Park for Oktoberfest and the community center for town partnered candidate or mayoral forums and debates as needed. So that's assuming -- and I did make a note here that standard dates and the event scope stay the same, i.e., Oktoberfest is always on the -- what is that on -- the last weekend of September. The fairs are traditionally set weekends in November and February. So again, assuming that everything stays the same with their events, we would suggest complimentary use of the town spaces. In exchange, the Chamber of Commerce would be responsible for hosting the candidate and mayoral debates in accordance with local election efforts, again, as needed. Fiscal obligations for the payment of fees outside of rental spaces. So that's applications, the permits, any equipment rental, any additional -- I'll say excessive staff time, if there's anything that goes haywire, that type of thing. I harken back to the days when the Oktoberfest was flooded, and we were picking up hot dog buns in the park. So -- and then repayment or coverage of any direct costs that are incurred by the town or -- actually, this still says FHCCA. You can see that that's -- should be a Chamber program. Any damages, spills, et cetera. I'll give you an example. We have a lot of businesses that come in. We have a lot of food vendors that come in for the fairs. Sometimes they don't dispose of their grease properly; they don't dispose of their trash properly; they leave a mess behind on occasion. CITY OF FOUNTAIN HILLS Page 55 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 55 of 103 It's not usual, and it's not the Chamber's fault. It's vendor specific. But if that happens and we have to do clean-up efforts, there is usually a fee associated with that. And then, of course, adherence to any other town policies, including our special event procedure, business license, insurance requirements, all of that. They'd still need to follow the procedures. This is simply just a waiver of the fees for the rental spaces. Moving on? The Chamber would also provide the town the following: Feature the town on the Chamber marketing materials as a recognized partner. This is something that Betsy and I have had a chance to discuss, that the town isn't really named in their marketing efforts, and if we're going to be partners, that seems like a fair ask. Provide complimentary booth space to the town for all events. Feature town event information on the Chamber's website and on social media sites. You may note that a number of our programs partner with their programs. For instance, we do Turkey Trot before the Thanksgiving parade. It would be nice if there was some co-marketing through all of that. And then again, the cross-promotion of all of our other events that we do, again, to help generate that excitement and that interest in the events. Booth space question. Yes, ma'am? COUNCILMEMBER GRYZBOWSSKI: You say the give your tourism -- basically, how many booths do you say you have? DIRECTOR GOODWIN: We, the town, usually hosts one where we give out dining guides and we give out information about future events and we answer questions about where things are. And so that's a general space that we use. Nonprofit groups and other groups are -- they do make space available, and our MMPC commission and partnership with the conservancy hosts a booth down in that section to talk about our trails and our hiking system here. COUNCILMEMBER GRYZBOWSKI: As I understand it, the -- that last booth you were talking about, it's actually a Sonoran Conservancy booth, and because many of the MMPC people are in the conservancy or just whether they're on the board of the conservancy or just tied in, they show up to help support. So, I don't understand it to be a MMPC booth, that is actually a Sonoran Conservancy booth. DIRECTOR GOODWIN: You very well could be right. I know they allow -- most all of CITY OF FOUNTAIN HILLS Page 56 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 56 of 103 them wear both hats, so right. Yes. COUNCILMEMBER GRYZBOWSKI: There is a little thing going on between the two groups for sure. My question is, why are we taking a free booth from them? Essentially, I hear one booth for the town. I think booth space is $500. Don't quote me on that, but that's what I remember for some reason. Why are we including that in our numbers when we really only need one booth from them? Because we have a nonprofit -- the Sonoran Conservancy isn't tied into us. DIRECTOR GOODWIN: Correct. Ideally, we have developed the -- actually, the Chamber has worked with us to have a booth, particularly at the two fairs. Being at Oktoberfest has been sort of -- they've just now taken it over, so that's a new one for them. We don't participate in the parade because we've just put on Turkey Trot. So the two fairs are really the two places that we generally have a booth at their offer to, again, promote tourism, things that they aren't able to do during the fair because they're busy putting on the fair. Now, if it makes more sense to keep -- for us to pay that fee to have that booth, we can certainly work with our tourism division to do that. COUNCILMEMBER GRYZBOWSKI: I just don't want that to be used against you. That's all. DIRECTOR GOODWIN: Fair enough. COUNCILMEMBER GRYZBOWSKI: Because I know you've got a lot on your plate and I'm just trying to help you out. DIRECTOR GOODWIN: I appreciate that. Thank you. So that is the gist of the proposal on the table. The last additional considerations would be that if the Chamber needed anything else, if they wanted to expand an event, they needed more space, they wanted to do more programs, new things, that they would be subject to the guidelines and fee structure of the town fee waiver policy, i.e., they would be assessed with the fees at the 50 percent rate. Suggestion of an annual contribution from the Chamber to the town in the amount $4,500. And then an annual review of the agreement by both parties, which seems fair, so that we can all come to the table. And then upon mutual agreement, administratively renew. So this would be annually reviewed by both groups. With that, I'll take any questions, discussions, final directions. CITY OF FOUNTAIN HILLS Page 57 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 57 of 103 COUNCILMEMBER GRYZBOWSKI: Sorry, me again. When you say at the 50 percent rate, you mean at the 50 percent nonprofit rate, not at the 50 percent commercial rate? DIRECTOR GOODWIN: Correct. Okay. DIRECTOR GOODWIN: So we have a nonprofit rate. The Chamber, any other resources that they need, would pay half of the 50 -- of the published nonprofit rates. COUNCILMEMBER GRYZBOWSKI: Nonprofit. DIRECTOR GOODWIN: Yes, ma'am. MAYOR DICKEY: Because they're local and nonprofit. DIRECTOR GOODWIN: Yes, correct. MAYOR DICKEY: So they would be able to get the lower rate, and then they are -- they can apply for the 50 percent off. DIRECTOR GOODWIN: Correct. MAYOR DICKEY: Correct. Discussion. UNIDENTIFIED SPEAKER: Do you want to speaker cards first or do you want to (indiscernible)? MAYOR DICKEY: Whichever you'd like. We can do speaker cards first. Sure. TOWN CLERK KLEIN: First is Scott Sommer. SCOTT SOMMER: Hi. How are you? UNIDENTIFIED SPEAKER: Good. SOMMER: Good. Good evening, Mayor, council, staff. Thank you for your continued service to our community. My name is Scott Sommer, a long-time resident of Fountain Hills and, much like all of you, a servant at heart and proponents of all things Fountain Hills. I serve as the incoming chair of the Fountain Hills Chamber of Commerce among other civic roles here in town. I come to you to highlight a very important perspective as it relates to the fee reduction and waiver policy before you. The position of the Chamber is one of partnership with the town. The Chamber enjoys and looks forward to perpetual annual events that brings hundreds of thousands of people from all around the world to Fountain Hills. These participants visit our town; they eat at our restaurants, purchase goods and services, fuel their vehicles, return home to share the experience of all that is Fountain Hills. Any type of fee imposed to -- excuse me, any type of fee imposed on the Chamber affects CITY OF FOUNTAIN HILLS Page 58 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 58 of 103 our ability to keep our membership dues low to our local business community. Our local businesses enjoy the same -- some of the lowest dues and sponsorship opportunities of any Chamber within the valley, which in turn allows them to invest in other areas, such as, sponsoring a Little League team, simply investing in their own business, or possibly sponsoring a band. Chamber leadership is extremely mindful of monitoring excessive expenditures. Maintaining such a low operating expense allows us to continue delivering such amenities as Stroll in the Glow, the Thanksgiving Day Parade, our turkey drive, the mayoral and council candidate forums, two art fairs, and Fountain Hills Day with reasonable to no expense to the participants. All of these events are much more than what they appear on the surface. They are events that allow our local businesses to be affordably out and visible to create awareness of their brand. Excuse me. But most importantly, it falls in line with our mission of promoting and supporting the success of not only our members but the greater Fountain Hills business community. Imposing any sort of fees to the Chambers for these events is something that will undoubtably need to be passed on to our participants. Our Chamber has experienced, much like all of us, significant rising expenses from our vendors. Our CEO, under our direction, continues to evaluate every budget line item to make sure that these rising expenses and -- excuse me -- to make up these rising expenses and maintain a balanced and equitable budget. The simple answer for us would be to simply pass along these town imposed fees to our event participants. But that is not in line with our mission, nor is it fair to our business community, particularly these events which bring such economic value to the town in excess of $2 million annually. I ask that each of you partner with the Chamber of Commerce in continuing these community-enriching activities that we all enjoy at an extremely low cost of operation. Continuing the fee waiver with all events with no annual payment will best illustrate commitment to our partnership to benefit Fountain Hills and the continued success of our local businesses. It's been a pleasure. MAYOR DICKEY: Can I ask you a question? SOMMER: Of course. MAYOR DICKEY: So is -- with everything, the only thing that you're objecting to is the $4,500, right? CITY OF FOUNTAIN HILLS Page 59 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 59 of 103 SOMMER: That is correct. We -- MAYOR DICKEY: All the other stuff is -- SOMMER: Absolutely. Yeah, for sure. We would be concerned about any additional fee, whether it's 4,500 or any other number, to be honest with you, Madam. Does that answer your question? MAYOR DICKEY: Yeah. SOMMER: Okay. UNIDENTIFIED SPEAKER: Yeah. MAYOR DICKEY: Questions. Yes? COUNCILMEMBER MAGAZINE: Yeah. Hi, Scott. SOMMER: Hey. COUNCILMEMBER MAGAZINE: Welcome. SOMMER: Thank you. COUNCILMEMBER MAGAZINE: I have no idea if this accurate. We all got a long email from someone, and he says that the profits for the Chamber annually, the profits, the balance sheet, is between $318,000, $454,000. Does that ring any bells? SOMMER: It does not. Do we -- do you have that information handy? COUNCILMEMBER MAGAZINE: It's on the tax return. SOMMER: Okay. TAMMY BELL: (Indiscernible) on the website on our 990s, but that is not an accurate -- SOMMER: Okay. I'm relaying information from our senior staff that's here in the room. That is an inaccurate number. The correct number can be referenced on the 990s, which are on our website. COUNCILMEMBER MAGAZINE: Say that again? SOMMER: The correct information can be referenced on our 990s, which are on our website. COUNCILMEMBER MAGAZINE: Okay. Okay. Thank you. SOMMER: You're welcome. You're quite welcome. Thank you for having me. TOWN CLERK KLEIN: Tammy Bell. BELL: Good evening, Mayor, Vice Mayor, councilmembers and staff. My name is Tammy Bell. I'm a resident of Fountain Hills the last 17 years and vice president of the CITY OF FOUNTAIN HILLS Page 60 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 60 of 103 Chamber of Commerce. I am thankful for your consideration for this user agreement. I hope that it states we all agree that our Chamber events and our partnership with our town council and staff is valued and creates a significant impact to our business community, tourism, and the quality of life for our residents. It has been because of this partnership over the years that we've been able to build up these legacy events -- they used to be called. And this is what I wanted to bring up, two specific things about the waiver. One, in the cost, you saw that Fountain Hills Day was considered part of the full cost, but it is a new event and is not included in the waiver. So I just wanted to bring that your attention. We have dreams of making Fountain Hills Day a tremendous success to celebrate all that is Fountain Hills. We would like to have another year or two under our belt to see if we can make this happen and, in agreement with the town staff, discover if it's something that will be a significant impact to the economic development in addition to the other events. So I hope that that would be considered. Also, I just wanted to point out that our commitment as a staff that is also -- that Rachael shared -- does come to the value of $13,700 annually. It was the only data that was not -- the number wasn't provided to you earlier. So giving them a membership that makes them a sponsor for every event, partnering and marketing with them all adds up to -- and especially the two free booths for the fairs, those are $1,800 per fair because they're a non-artisan booth. But that equals $13,700 that we are more than happy to and have been sharing with the town in our partnership. So I just wanted to point out those two things. If you have any questions, I'm happy to answer. MAYOR DICKEY: I do. Just as far as membership goes, we've been -- I had asked for some research on what some of the other cities and towns and such, and so we don't pay for our membership, correct? BELL: Correct. MAYOR DICKEY: The town. But that would be fairly minimal, but I don't think that that was brought up, that -- BELL: A membership -- MAYOR DICKEY: -- we get the membership. CITY OF FOUNTAIN HILLS Page 61 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 61 of 103 BELL: A membership equivalent to what we give the town as far as the booths and the advertising -- MAYOR DICKEY: Well, just if we were, like, normally just wanted to be a member of the Chamber, what would that -- BELL: Well, that could be -- as a nonprofit, that could be $150. MAYOR DICKEY: Yeah, so -- BELL: As a significant membership -- MAYOR DICKEY: I just wanted to bring it up, because I didn't think it was accounted for that we were getting that membership. And I noticed -- BELL: Yeah. MAYOR DICKEY: -- that another -- the City of Chandler pays, like, $9,000 for their membership -- BELL: Right. MAYOR DICKEY: -- to their Chamber, so I wanted to -- BELL: Yeah, there's a -- MAYOR DICKEY: -- point that out. BELL: Sure. And with the bullet points that Rachael provided too, we included that to be a larger than a nonprofit, because there's so much marketing and sponsorship involved in that. COUNCILMEMBER SCHARNOW: So Tammy, the 13,700, that includes the membership, then, you're saying? BELL: That's equivalent to a membership that would sponsor all of our events. Does that make sense? Because the bullet points -- I wish I could go back to your slide -- DIRECTOR GOODWIN: Yeah, you can. Sure. BELL: -- that shows what the Chamber is contributing is equivalent to the at membership as -- there we go. No. DIRECTOR GOODWIN: This one? BELL: Yes. COUNCILMEMBER MAGAZINE: So you're saying the booths and everything add up to the 13,700? BELL: Yes. This slide right here would add up to that 13,700. No, this is still not the CITY OF FOUNTAIN HILLS Page 62 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 62 of 103 right one. UNIDENTIFIED SPEAKER: (Indiscernible). BELL: Can I? Sorry. COUNCILMEMBER MAGAZINE: That's okay. BELL: There we go, this one. Have any other questions? COUNCILMEMBER MAGAZINE: No, thanks. BELL: Okay. Thank you. TOWN CLERK KLEIN: That's all the speaker cards on this item. We did have four written comments come in, which you were provided a copy of. MAYOR DICKEY: Thank you. COUNCILMEMBER MAGAZINE: Mayor? MAYOR DICKEY: Councilman. COUNCILMEMBER MAGAZINE: I alluded to a long email that all of us received about this issue and he says, some of you have some association with the Chamber either by owning a business that is a member of the Chamber, by working for a business that is a member of the Chamber, or by participating as a vendor in a Chamber event. And he's saying, this could be conflict of interest and we should ask our attorney whether or not we should vote on this. I am a vendor. I pay the Chamber $1,000 for each of two shows. I'm trying to figure out how that's a conflict of interest. TOWN MANAGER MILLER: Well, Mayor and council, the best way to answer these questions is, of course, to have a little bit of -- to be able to analyze all the facts. But that being -- UNIDENTIFIED SPEAKER: No, we don't need those. TOWN MANAGER MILLER: Well, yeah. But that being said, usually the analysis is whether there's a substantial interest, meaning you have some sort of property or proprietary interest, financial interest in the outcome of the decision. So it's ultimately up to each councilmember whether you think, after talking with the town attorney, which you're entitled to rely on my opinion in writing on good faith, which preferably will come -- I can't give you a written opinion right now. So should you have a question about that, I'm happy to discuss it but it is ultimately going to be up to you whether you have to recuse or not. I can't tell you on these facts that you do or don't have a conflict of CITY OF FOUNTAIN HILLS Page 63 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 63 of 103 interest. COUNCILMEMBER MAGAZINE: Well, I'll say it makes absolutely no sense to me. I'll take my chances in court. TOWN MANAGER MILLER: Okay. MAYOR DICKEY: Yes. Vice Mayor? VICE MAYOR FRIEDEL: Mayor, I had conversations with Betsy about a like kind contribution to the town. We have banners that run up and down the Avenue of the fountain, and her and I had come to some kind of an informal agreement about the Chamber possibly providing those to the town. I don't know what happened to that, but that would have taken care of this $4,500 issue because we would have gotten the benefit of having those banners replaced or new ones put in and whatever by the Chamber. And I thought that that was a good way to have a resolution to this, so it wouldn't be an issue for anybody. And I don't know where it is or what happened to it. And then I heard that it's an issue for the town to be putting up and taking down the banners. And I notice that banners are up along the Fountain -- Avenue of the Fountain right now. Who put those up and are they ours? TOWN MANAGER MILLER: These are ours. These are seasonal. We've been doing this for many years. It's public works that puts these up. VICE MAYOR FRIEDEL: So, then it's not an issue of putting and taking down banners. I mean, and if you're doing it already and somebody wants to pay for it, I'm not seeing the problem. TOWN MANAGER MILLER: Well -- UNIDENTIFIED SPEAKER: Who said it was problem? MAYOR DICKEY: But where would that come from that it was an issue to put them up and down? Is that -- TOWN MANAGER MILLER: So what I was trying to explain is there's a cost impact for the staff to be diverted to go do the hanging of it. But the other thing was, what was relayed to me, Vice Mayor, was that they would be doing the banners that would be promoting Chamber events. Well, the thing is, Chamber events really have a huge number of people that come here, and I'm not seeing the value from what I was hearing. So it wasn't that it was a bad idea, but the way it was described, when I went back and CITY OF FOUNTAIN HILLS Page 64 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 64 of 103 talked to the staff about it, it did not seem like that was one that -- there was the value in it like it sounds like on the surface. However, I did work with the Chamber director on a grant application for the Gila River Indian community for an electronic board, and I do think, if we were to get that, I think that would be something to council to look upon very favorably. So, I mean, that was a partnership in the same kind of light. I see that as actually having more of an ongoing benefit to the community and the town. And it was going to be an electronic board that would be located at one of the plazas on Avenue of the Fountains, so. But we looked at this and I didn't see the value of a banner program, just because the net impact of that wasn't going to have the desired effect because, again, they draw a lot of people for their events. It's also my staff; I believe we have to rent the equipment to be able to put up the banners as well. So, there's cost impacts on staff. VICE MAYOR FRIEDEL: Okay. So, there could be something worked out, I think, with the kiosk type of approach. And I'll just say this, if we collect any money from the Chamber, I think there should be strings attached to it for specific use for the downtown fund improvements and it shouldn't just go into the general fund. But I'm all for getting it in trade from the Chamber. If it's easier for them to work that way, I think we should try and find a way to do that. That's just my two cents. MAYOR DICKEY: David. COUNCILMEMBER SPELICH: Thank you, Madam Mayor. I've prepared a statement, and it's going to cover both the agenda item with the Chamber as well as the FHCCA. The agreements that are brought forward are predicated on the idea that we, the town, recognize the value and contribution of these two groups. However, we have just passed a fee reduction policy last meeting that offers half off our already reduced pricing for all local nonprofits, which these two groups fit under. Now we are drawing up deals to further reduce the cost for two chosen groups. How many more local groups will request the same treatment? In the fall of 2020, I began this discussion because the town was waiving almost $200,000 in fees. Let that sink in. $200,000 of your taxpayers' money have been waived in fees. I and many other local residents believe this is way too much If we are going to continue to waive costs, why are we even going through this exercise? If the cost the CITY OF FOUNTAIN HILLS Page 65 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 65 of 103 staff and the council more than 18 months of work to continue to go nowhere. The Chamber uses the towns as a means to produce their many events, which we welcome. However, when they charge fees for hundreds of booths, recruit sponsorships, and leverage other financial gains while not supporting the town as a partner, then balk at a contributing a nominal fee, that shows a lack of respect and appreciation for a long- standing partnership that we've had. It feels very one-sided to say the least. I do not think the nominal contribution from the Chamber is unreasonable, especially when we waive more than 40,000 in fees. The FHCCA has ballooned over time, and we have more than generous -- we have been more than generous during that growth, such as offering a dollar annual rental fee for the community garden. I do not think asking the FHCCA to contribute is unreasonable. We are willing to waive substantial amounts of their cost as well. However, the unrestricted use of the community center is not reasonable. The council recently reviewed a few emails related to the Fountain Hills Community Choir and Band. The email suggested a full fee waiver for these groups. This current proposal offers the FHCCA two full weekends a year free of charge. I suggest that the choir and the band ask the FHCCA for one of those weekends. It is also important to note that the rental rate for the ballroom is 37.50 per hour, which is a 50 percent discount. The idea the FHCCA and its affiliated groups helped fundraise for the original community center is great. It shows that if there was a big interest in creating the facility like this but fundraising for a building 20 years ago does not translate into a continual free pass. The operation and upkeep of this building takes dollars. Turn on the lights, operate the air conditioning, set up chairs, clean the bathrooms, and all that require funding. By asking for a free usage, a double negative is created because not only are the groups using it for free, they prevent paid events or rentals for having access for a particular week or weekend. I'm not asking everyone to pay their full share. I recognize both groups offer substantial community benefits, but an unrestricted blank check is not the answer. We have asked staff to find ways to be more fiscally responsible, and as a council, we must do the same. We cannot sit here, not take action to correct these free passes. They CITY OF FOUNTAIN HILLS Page 66 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 66 of 103 represent financial gifts that this town and the residents cannot afford to give anymore. And I just wanted to add, that's the end of my statement, but I wanted to add that I think it's very, very ludicrous to even think that if the Chamber of Commerce pays the $4,500 we're asking, it's going to have a huge impact on membership fees and everything. I find that very disingenuous. And also, we got an email from a resident who pulled your tax returns, so the tax returns clearly show that the last time it was -- the email says, that there was over $400,000 net profit. So if it's not correct, then I got to say your tax returns aren't correct and that might be an issue. So let me close by saying that I'm not against the Chamber of Commerce. If you remember, I'm very pro-business because I was one of the few councilmembers that voted against the sign ordinance, what I thought restricted your businesses. So don't sit back there and say I'm anti Chamber of Commerce or I'm anti FHCCA. I'm not that at all. And apparently, my common use of skin in the game has irritated some people because they keep bringing that up in emails. I stand behind that. Have skin in the game. No free lunch. Thank you. COUNCILMEMBER SCHARNOW: Rachael, where did the $4,500 figure -- how did that get arrived at? DIRECTOR GOODWIN: Great question. It sort of came from two different points of view. If you notice that 45,000 is the value of full payment, so this is 10 percent. It also echoes what the Chamber donated in January of '21 to commemorate our 50th anniversary. I believe it was the 45th anniversary of the fairs at the same time. So they made a donation to the town at the time of 4,500. So we felt that that was somewhat consistent. It is just a starting point for that conversation. TOWN MANAGER MILLER: Mayor, do you mind if I ask David a question? MAYOR DICKEY: Of course. TOWN MANAGER MILLER: Are you in favor of the staff proposal as is or no waivers at all or are you proposing something or -- COUNCILMEMBER SPELICH: I am completely okay with the staff's proposal, 4,500. Like I said, like Rachael just explained what the 4,500 is from. And I truly cannot believe that anybody representing the Chamber of Commerce could possibly say that that would have a negative impact on this fair when you're talking hundreds of thousands of CITY OF FOUNTAIN HILLS Page 67 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 67 of 103 dollars. So, I'm happy with the way it's written. I wasn't, I can tell you that, at the beginning of all this. You all know, sitting up here and hearing me, I thought that half was more than generous; paying half the fee, I thought was more -- 11 grand -- was it 11,000 and it's supposed to be 22; is that correct? MAYOR DICKEY: Something like that, yeah. COUNCILMEMBER SPELICH: Yeah. So, I came down from 11 to 45. But to me, and I'm just speaking for myself, zero is not an option. MAYOR DICKEY: I have a couple comments. And Dave, I totally understand what you're saying and I know that when we did this fee change -- one point I do want to make is that this fee change shouldn't have been a surprise to anybody. We started in 2019 with many, many meetings, October '20, January '21, September of '21, 11/21, February this year, March this year, and then we actually, I think, wrapped it up at our last meeting. And I bring this up because it wasn't just -- I didn't have to do a minute search for this; I did a times search. So these were articles in the paper. So just getting that out there. I know that this aspect of it is new, but the fees were not new. And the other item was that was pretty clear was that these new fees, I think especially for community services, are a cost recovery of about 26 or 27 percent, so they're not really cost recovery. So that goes along with what you're saying, but I have issues on when it comes to the Chamber, which is recognition of a couple of these, especially these events. Oktoberfest, Oktoberfest and Stroll in Glow and the parade, those three are events that, I think, we want to happen and that if we made them happen, the expense would be a lot more. So we're not in the business of making money. We've talked about this all the time; we have parks that are free. We spend a lot of money on things, and we don't get return for those. But it's hard for me to look at these events and count the use of -- for the parade or for the Oktoberfest or the Stroll in the Glow, it's hard to look at those as giving them something when these are really not money making -- the parade, the Stroll in the Glow are not money-making events for the Chamber. They're events for -- at least, not in the way of the fairs. So I have a hard time looking at those and counting them as something to say, well, you owe us for putting the Oktoberfest on. I mean, that's just something I have a little bit of a problem with. And then I'm glad that you mentioned the thing about the business licenses, because I CITY OF FOUNTAIN HILLS Page 68 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 68 of 103 know that Sharon in those days said it was $39,000 they were bringing in, and I think that that should be taken into account. It may not be. I mean, there are some administrative costs associated with that, but it is -- if those fairs didn't exist, then that wouldn't exist. But to your point also, to say giving the town $4,500 a year would affect whether the fairs can go forward or the dues and such, that is a little bit harder to really visualize. And the last thing I want to mention is that, looking at other cities, and I know that doesn't always enamor myself with people, but they -- a lot of these cities actually contribute to their Chambers. So I just want to put that out there. Including 40,000, 45,000 from smaller towns, Cottonwood and such. And they're not their visitors bureaus or their economic development. So it's not like a contract, because we used to do a contract that was, like, $110,000. So these are all the things that are in my mind. And they're all valid, and so I just want to put that out there so you all hear my thought process. But if you want to make the motion for this particular resolution or if you have other comments, then go ahead. But those are the thoughts that were running through my mind, particularly the events that we appreciate and like. And I don't know that we would be able to afford or put them on ourselves. Sharon looks like she wants to say something. COUNCILMEMBER GRZYBOWSKI: So what are you proposing? What are you suggesting that might happen? MAYOR DICKEY: I think everything's fine except the 4,500. COUNCILMEMBER GRZYBOWSKI: So you're at zero? MAYOR DICKEY: I don' t think they should have to pay -- I don't think that the Chamber should have to pay, because it's based on renting facilities for events that we want to happen and that we would probably have to take on ourselves, which would be a lot bigger of an expense. COUNCILMEMBER MAGAZINE: Mayor? MAYOR DICKEY: Yes. COUNCILMEMBER MAGAZINE: You mentioned a motion. I'm going to make a motion, which obviously can be amended, but I'm going to move to direct staff to finalize a use agreement with the Chamber of Commerce. And in saying that, I'm assuming it's CITY OF FOUNTAIN HILLS Page 69 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 69 of 103 the one that's been put before us. MAYOR DICKEY: Yes, as proposed. UNIDENTIFIED SPEAKER: Yeah. COUNCILMEMBER MAGAZINE: If I could -- no, I'm going to vote yes on that, because I think this is a compromise. I mean, it's -- the Mayor says zero, and I'm sure that the Chamber would want zero. And as David was saying earlier, the number started much higher in terms of what he wanted to get back from the Chamber. So I think this kind of middle of the road, and I don't think either side gets a complete what they want. So to me, that's a good compromise. MAYOR DICKEY: Did we get a second? COUNCILMEMBER SPELICH: Yeah, I seconded. MAYOR DICKEY: Okay. Okay. TOWN CLERK KLEIN: Councilmember Magazine? COUNCILMEMBER MAGAZINE: Aye. TOWN CLERK KLEIN: Councilmember McMahon? COUNCILMEMBER MCMAHON: Aye. TOWN CLERK KLEIN: Vice Mayor Friedel? VICE MAYOR FRIEDEL: Aye. TOWN CLERK KLEIN: Councilmember Spelich? COUNCILMEMBER SPELICH: Aye. TOWN CLERK KLEIN: Councilmember Grzybowski? COUNCILMEMBER GRZYBOWSKI: Aye. TOWN CLERK KLEIN: Councilmember Scharnow? COUNCILMEMBER SCHARNOW: Aye. TOWN CLERK KLEIN: Mayor Dickey? MAYOR DICKEY: Nay. TOWN CLERK KLEIN: Motion passes 6 to 1. MAYOR DICKEY: Thank you, everyone. Our next is along the same lines, FHCCA. Rachael. DIRECTOR GOODWIN: Promise this is my last one for tonight. So yes, along the same lines, we have a use agreement before you that is specific to the Fountain Hills CITY OF FOUNTAIN HILLS Page 70 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 70 of 103 Civic and Cultural Association. This is a little bit different, because this is specific to our community center and the use of the space there. As I've started most of our meetings, and I'd like to reiterate now, we have a lot of groups in our community that make up the fabric of our town. And they are all very worthy, and they all bring a sense of joy and participation. So this is something that we have worked, rolled around a lot of different ways to try to make something very equitable and hopefully something that's very fair. I want to thank Tammy for her insight and her sharing. We've had quite a few emails in the public about this. So once again, this a proposal. This is open for adjustment and your feedback so that we can create this use agreement as well. With that, it also very sticky and complicated. Please stop and ask me questions at any point. Okay. First question is generally, what do we waive? How much is currently waived on average? And I did put averages because sometimes meetings end early, sometimes meetings go late. Sometimes I need an extra week; sometimes I don't. Sometimes we cancel for holidays; sometimes we don't. So we took an average. And you can kind of see them outlined there. So the total, on average, of our ballrooms only, so just the ballroom space, the big rooms over there that total, if paid at our new local nonprofit, so that's half off, come out to roughly $25,500. This does not account for anything that we do, including staging, sound, settings up chairs, tearing down chairs. Again, a lot of that is standard to our events. I would argue is probably not -- staging is a pretty extensive effort that takes a lot of time, and those pieces are heavy. Same thing with our dance floor. Our dance floor is pretty big and pretty cumbersome. But for the most part, it's valued at 25,5-. So, when we look at our classroom space. So, a number of you have been to meetings and whatnot in our classrooms or our meeting rooms. Again, on average, here's what is used. And at our new local nonprofit rates it comes out to about $4,300. This is an annual look, once again, on average. So, looking at all of this and all of the different things we have in our community center and all of the different contributions that the groups within the FHCCA contribute, this is what we have proposed. We start with full fee waivers for partner programs and events as noted, which totals 19,7- in value. First, it would be the weekly Bingo program. It CITY OF FOUNTAIN HILLS Page 71 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 71 of 103 doesn't always use two ballrooms, but we have two ballrooms available if they need to overflow. That's a very active group. There's a lot of folks that play Bingo. Maybe some of you guys will someday too. Who knows? [LAUGHTER] DIRECTOR GOODWIN: We have Encore presentations. Again, Encore is a good partner with us. They bring presentations in generally on a quarterly basis. The Dark Sky Festival, which is a Saturday event at the community center and Centennial Circle -- we recognize that as a partner program with us. The Leadership Academy, space is needed. We anticipate the opening reception, maybe a couple of their classroom spaces, and their graduation. Again, another program that learns about the town and helps develop civic leaders. Our Munch and Music program has four performances seasonally. They are very well attended. Our program, we pack the house with those, so we do recommend a full fee waiver for that program as well as the Time for You Technology, which is a time where our seniors can come with maybe a new iPad or a laptop or a phone that says, how do I use this, how do I use it to Facetime, how do I use it to do social media? So, there is some training for technology. MAYOR DICKEY: Rachael. DIRECTOR GOODWIN: Yes, ma'am. MAYOR DICKEY: I was asked how, just overall, you came up or we came up with the idea that these were partners as opposed -- because this is kind of the gist of the whole thing. So if you could -- and I know you just went through one by one, but was it basically Encore with Senior Services and Dark Sky is part of something that we're contributing to, so that would almost be like charging ourself for something, so I just wondered -- DIRECTOR GOODWIN: Yes. MAYOR DICKEY: -- if you could, overall, address that? DIRECTOR GOODWIN: Yeah, I can. Let me give you some philosophy behind why these are listed, sure. Bingo serves a really, really vulnerable population. It serves a really specific demographic. A lot of our users are 80, 90 -- we celebrate 90-something birthdays in there a lot. It's a really, again, specific, and I'll say one about -- this is a CITY OF FOUNTAIN HILLS Page 72 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 72 of 103 group that that's what they do. And so we feel like that is a service to a part of our population that doesn't have a lot of services geared for them. Encore has been a good, again, partner with us. They reach out to our -- again, to that same population, our senior population, and they generally bring in presentations that are of value to them, whether it's about -- I'm going to use our last presentation -- whether about Alzheimer's or whether it's about Alzheimer's care or dementia, they bring in a lot of valuable information in those presentations. Dark Sky, much to your point, we are a Dark Sky community. It makes sense for us to partner with this group to celebrate that status. Leadership Academy, as I mentioned, is creating the next generation, if you will, of civic leaders. A lot of our leaders in our commissions, a lot of our leadership in other civic groups here in town go through the Leadership Academy. And it does teach them about the town and what we do and to a depth and level that we can't do on a regular basis. Kind of bopping back to our senior perspective, Munch and Music really does serve that senior population. It's a social time for them. They enjoy that project, and again, it's really, really well attended. We have upwards of 300 people when that program happens every spring. Time For You, again, is a service to our community and our seniors to understand how to use technology safely. TOWN MANAGER MILLER: I just wanted to just bring up that it's a good question you asked, Mayor. A lot of these items you would see in other communities, that these are actually programs that are actually put on by a community center staff. So, this is cost avoidance for the town, because these are typically -- I'll give you an example. Leadership Academy, a lot of the other valley cities all have their own leadership program that they put on themselves. So, these are really great programs, and these are all things that -- we call them partnerships because these are literally things that we would do ourselves if we had either thought of them first or we had the staff to do it. MAYOR DICKEY: Thank you. Making my point for me about the Chamber, though. And this is why this whole thing is difficult, because what are services that we would be providing? And then we end up sounding like we're making value judgements again, so it's a tough one. DIRECTOR GOODWIN: It is. And once again, standard for all the programs, when we CITY OF FOUNTAIN HILLS Page 73 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 73 of 103 need to account for set up and break down times, it's subject to availability. If they need additional space, the program grows, the program wants to accommodate more people, wants to go more weeks, it would be subject to the fee waiver policy, and then any additional fees for, again, I said the staging, the dance floor and the large logistic items that take a substantial amount of time for our staff to set up. AV, sound, that type of stuff is all part of the rental. We wouldn't add that in. Or the waiver in this case, I should say. In addition to these programs specifically, the proposal allocates or suggests an additional use, the grand ballroom use for two full weekends, that's a Friday through Sunday, annually. And that can be used at FHCCA's discretion. The leadership of FHCCA can decide who uses that, whether it's the band, whether it's the choir, whether it's another program I'm not thinking about. Again, the value of that is about $7,200, and it would be subject to all the same things, availability, space, et cetera. We're also proposing the complimentary 36 hours of classroom use to be used between 2 and 8 p.m. Monday through Thursday. Why? Because that's when we have it available. Mornings are really busy at community center. That's when a majority of our other programs go on, whether that's poker, whether that's our fitness classes, whether that's our yoga, whether that's our -- whatever it is, we're really busy up till roughly 2:00. And then we have more space to accommodate community groups. So 2 to 8, Monday through Thursday. That's a value of about $450. Same kind of concept with that it would be subject to availability. I think it goes without saying, but I'm going to put it out there, that all of this does include any type of set up, any tables, chairs. You want it in a square, you want it in conference room style, you want round tables because you want to be able to have breakout groups. Whatever that is, we work with the groups to create a set up that they need. Again, in partnership with the town, I'd suggested that the FHCCA be responsible for any additional room use, events dates, or programs that they would need. They would follow the guidelines and the fee structure in the town fee waiver policy, which again, as we all know is half off the nonprofit rates. Adherence to our reservation policy standards, including a timely request, cancellation notices, et cetera. We're looking for a working relationship that says, if you need a room, we needed some heads-up. Walking in and saying, well, I needed one today, I forgot to tell you, probably isn't going to work. And I CITY OF FOUNTAIN HILLS Page 74 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 74 of 103 think that's, again, standard. I think it goes without saying, but we did want to put it out there because it's more about cancellation. If you're going to cancel a meeting or you didn't get a quorum, or, I don't know, heaven forbid, somebody has COVID and we need to cancel, notice is appreciated. Fiscal obligations for payments of fees, including applications, permits, whatever else, would be the obligation of FHCCA. The same thing as we talked about, repayment or coverage of any direct costs incurred by the town, including any damages, spills, things like that. Adherence to our town policies, including our special event procedures. So for instance, the Dark Skies, if this goes through and we waive their event, they still need to go through the event process. It doesn't absolve them from going through process and procedure, business license, insurance requirements, all of that good stuff. Alcohol permits. And then once again, an annual review by both parties. And then upon mutual agreement, administratively renewed so we're not back here. Additional considerations, I wanted to put it out there, I did total -- because there's a lot of numbers out on those slides -- the total fee waiver value as proposed is $27,350. Again, these are just reviews that anything else that they'd like to use, anything addition above the 36 hours of classroom use, above the two weekends of ballroom use would be subject to the fee waiver policy. At that point, I'd be happy to answer any questions, discussions. I imagine there's a number of speaker cards, so I'll turn it over. COUNCILMEMBER MAGAZINE: Yeah, quick -- I'm probably a little confused. The $27,350 represents what? DIRECTOR GOODWIN: If we approve the fee waiver as I just talked about, so we waive all of those groups and their programs, plus two free weekends in the ballrooms, plus 36 hours of classroom space, it adds up to 27,350. COUNCILMEMBER MAGAZINE: Got it. Thank you. COUNCILMEMBER MCMAHON: I have a question. DIRECTOR GOODWIN: Yes, ma'am. COUNCILMEMBER MCMAHON: I'm a little confused. I apologize. On the page, it says, meeting room used waived on average. There's almost like 100 hours on there CITY OF FOUNTAIN HILLS Page 75 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 75 of 103 unless I'm adding it wrong. DIRECTOR GOODWIN: (Indiscernible) -- COUNCILMEMBER MCMAHON: How did you come up to 36 -- I guess my question is this. Is this going to stay plus the 36 hours or is this what you're cutting out? DIRECTOR GOODWIN: We're saying 36 hours as FHCCA would like to use them. And if they would like to allocate them to these groups, that's fine. Note that Encore is one of the free -- I'll say, waived, programs. So that first bullet is already taken care of. The second bullet, computer/tech time, is already taken care of, because that's one of the programs we listed as being a partner program and then a future slide. COUNCILMEMBER MCMAHON: So the community chorus, the band, the general board meeting for FHCCA, that's all going to be within 36 hours? DIRECTOR GOODWIN: As they would like to use them. If they go over 36, they would be charged the rental rate, which is $12.50 an hour. COUNCILMEMBER MCMAHON: I'm having difficulty with that, because it's the community chorus, the community band, it's the community garden, things like that. Yes, I know, but the practice and things that they need and knowing that they don't have a budget, I think that's really going to be difficult for them to even participate. DIRECTOR GOODWIN: If you'd like to increase that number of hours, that's certainly up for discussion. We started at 36 hours as a suggested starting point. That's -- again, we figure, okay, if there's a 10 months a year that they use it, because generally the groups don't meet over the summertime or during holidays or whatnot, it kind of breaks down to roughly three meetings a month, give or take. And then anything in addition to, currently, as proposed, would be at the $12.50 an hour rate. COUNCILMEMBER MCMAHON: Okay. COUNCILMEMBER MAGAZINE: Just to follow up on that. I see the chorus; what about the band? DIRECTOR GOODWIN: The band does not use a meeting room. The band uses our ballrooms. The community band concert uses four ballrooms, two weekends, an average of 36 hours. UNIDENTIFED SPEAKER: Three weekends? COUNCILMEMBER MAGAZINE: Community chorus, band, 5,400. That's 5,400 for CITY OF FOUNTAIN HILLS Page 76 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 76 of 103 band. MAYOR DICKEY: Vice Mayor, if you want to talk and then we'll take some cards. VICE MAYOR FRIEDEL: I was just going to make a comment. I was going to say can we look at maybe doing 48 hours for that? DIRECTOR GOODWIN: That's certainly -- VICE MAYOR FRIEDEL: I mean, that might help the chorus and some of these other groups that we got a lot of emails from. MAYOR DICKEY: Councilmember. COUNCILMEMBER SCHARNOW: Yeah, I was going to throw out 52, just one a week. But, you know. MAYOR DICKEY: Yeah. UNIDENTIFIED SPEAKER: (Indiscernible). MAYOR DICKEY: Yes, sir? COUNCILMEMBER SPELICH: Thank you, Mayor. I'm going to pick your brain. Can you tell me when you first started in your position how many organizations fell under FHCCA? DIRECTOR GOODWIN: I can't tell you that. I don't know. I know that a number have been added under my time here. I know that Encore was a standalone and I believe was folded under FHCCA. And I'm going to add that if I'm wrong or I'm incorrect, I'm going off of memory. Encore; the community garden was added; Dark Skies was added; Leadership Academy was added. Those are the ones that are jumping out right now. COUNCILMEMBER SPELICH: Well, where I'm going with this is it's mission creep. It's more groups, more groups, more groups. I want to be under this. I want to be under this. I want to be under this. Where do we stop? Where does the number stop? Where do we say, FHCCA, sorry, you've -- I mean, that's what this is about. That's what this whole policy is about. This whole policy is to stop mission creep, stop people from calling you, continuously saying, oh, I want this. I want this. I'm this, I'm that. So I mean, I'm not against the band. I love the band. I was in band. I'm not against the choir. I was in the choir. I mean, I'm not against any of this stuff. But what I'm saying is, is at what point -- I mean, I could go along with 50 hours, I mean, if the councilmembers are -- I mean, I think 36 is more than generous, but if the fellow CITY OF FOUNTAIN HILLS Page 77 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 77 of 103 councilmembers believe 50 is better, but there has to be a point where we stop letting everybody jump on and everybody being a part of this FHCCA. I mean, there has to be rules and regulations that we follow or we're never going to have anything but these organizations in these rooms. VICE MAYOR FRIEDEL: You know, I did a little research. The founding fathers, if you will, of the community center, Walt Franklin, Ken (ph.) and Evelyn Riding (ph.), Jerry Miles, and that group, they originally set up that community center to attract corporations for retreats and those outside classrooms were to be used for breakout sessions. And the rest of the clubs were to pay for the use; that's how they were going to finance paying off the original bond for this project. So to Councilman Spelich's point, it has crept. I wouldn't be against 50 hours either to give some leeway and try and find a middle ground, if you will. MAYOR DICKEY: If you don't mind, will you listen to some cards now, and then we can further discuss. TOWN CLERK KLEIN: First is Gene Mikolijczyk-- MIKOLIJCZYK: Close enough. Mikolijczyk. TOWN CLERK KLEIN: Mikolijczyk. Okay. MIKOLIJCZYK. Good evening, Madam Mayor, councilmembers. My name is Gene Mikolijczyk. I'm a resident of Fountain Hills. My comments relate to the use agreement that is part of agenda 8-J. Part of that use agreement is the agreement between the town and the FHCCA regarding fees for the use of the community center. The use agreement will have serious and adverse consequences on two organizations that are under the umbrella of the FHCCA, the Fountain Hills community band and the Fountain Hills chorus. I'm here to address those significant impacts on those organizations and their members. The band and chorus currently use the community center five, not four, five weekends a year, two for the chorus, three for the band concerts. The band and chorus concerts generate sizable, enthusiastic crowds. The concerts create and project a positive cultural and artistic image for our town. Agenda item 8-J reduces the use to two weekends a year. The other three concerts would have to be paid for at a total cost of over $4,500. It's a little tough to calculate. And that's at the reduced local nonprofit rate. The band and CITY OF FOUNTAIN HILLS Page 78 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 78 of 103 chorus are self-funded. Members pay dues to perform. Let me repeat that. Members pay dues to perform. The dues pay for professional leadership, music licensing fees, and performance fees that have to be paid by the band and the chorus for every concert song that they perform or sing at the concert. Many members are on fixed incomes. The members include many from the senior citizen category. Participation in these organizations provides important social, physical, and mental health benefits for its members. I can guarantee you that many members will cease to participate if they're required to cover an additional $4,500 in expenses. Band and chorus members do more than put on concerts. Chorus members perform at retirement communities, especially at the holidays. Band members perform at many town functions and support other town organizations. The Stroll in the Glow, various veteran events at Memorial Park, and the Thanksgiving Day Parade are but some of those events. What is the value of these benefits to the town? The town derives important social, cultural, and public relations benefits from having performance organizations that carry and promote the name of the town. It is ironic that we are here tonight because the Fountain Hills community band and the Fountain Hills community chorus are being priced out of the Fountain Hills community center. One might ask what is the community center for? Is it to generate money for the town from wedding receptions, business banquets, and private party get togethers? Isn't that just the business of the resorts, hotels, and numerous golf course venues? The community center was built by the taxpayers for their use, despite what Mr. Friedel says. Community groups are now being pushed out of the town -- are now being pushed out so the town can use the community center as a revenue generator. Depriving the band and chorus of community access for three concerts a year will have consequences that appear not to have been considered. Please amend the use agreement to provide a waiver of fees for the five concert weekends a year that have become the tradition in this town. Thank you very much. MAYOR DICKEY: Gene, hold on. Do you -- I think we have a question. COUNCILMEMBER MAGAZINE: Gene. Don't go away, Gene. How are you? CITY OF FOUNTAIN HILLS Page 79 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 79 of 103 MIKOLIJCZYK: Good. (Indiscernible) time? COUNCILMEMBER MAGAZINE: I love it. Gene, have the band or chorus ever considered an entry fee, like $5 just to -- and I got an email that says there are about 1,000 people who go to these things. MIKOLIJCZYK: There are. They’re very popular. COUNCILMEMBER MAGAZINE: That’s $5,000. UNIDENTIFIED VOICE: Okay. MIKOLIJCZYK: We’ve tried having buckets of contributions out at our concerts. The last concert that we had we raised $772 in contributions. If we were to take and have to rent that venue -- let me see if I do a quick calculation -- if we would’ve had to rent that venue for the event, I think it would’ve been $1,200 to rent it under the reduced fee. And we collected $772. Plus, I got to tell you we pay to buy the music -- to get the music, and then we have to fill out a form after every concert reporting to an organization. These are the songs that we performed. Oh, here’s the money that we owe you for performance fees. These all come with licensing fees, and they’re all paid for by dues by the band members. The chorus does sell tickets. And I can’t speak to how much they go or break even, but I will tell you we provide the service for the band because we have a lot of older members. And believe me, this is a great benefit for these people who show up and perform and keep their mind active then engaged in this type of activity. We could charge a fee, but there are logistic issues with it. COUNCILMEMBER MAGAZINE: Gene, I guess I was maybe uninformed. Mayor says they -- MAYOR DICKEY: Oh, no, I’m talking about the chorus. COUNCILMEMBER MAGAZINE: Oh, the chorus. So you have to buy tickets for the chorus, correct? MIKOLIJCZYK: I’m sorry? COUNCILMEMBER MAGAZINE: You have to buy tickets for the chorus? MIKOLIJCZYK: Yes, that is correct. COUNCILMEMBER MAGAZINE: But not the band? MIKOLIJCZYK: That is correct. CITY OF FOUNTAIN HILLS Page 80 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 80 of 103 COUNCILMEMBER MAGAZINE: Any idea what the fee is for the chorus? MIKOLIJCZYK: Yeah. The chorus fees are, I think, $15 if you buy in advance and $17 if you buy the day of. There’s someone near and dear to my heart who may be speaking after me who’s president of the chorus, and she can answer those questions. COUNCILMEMBER MAGAZINE: And how many -- how much of an audience do you get for the band? MIKOLIJCZYK: We do one concert a -- the chorus does Friday and Saturday or Saturday and Sunday. We do Sunday. And we get -- pre-COVID we were getting 250, 300. I think at the concert we did back in late April -- I’m in the band, and I’m trying to judge looking out over the audience, so I may not get the best perspective. We might’ve had 125, 150. COUNCILMEMBER MAGAZINE: I’m just looking for -- DICKEY: Yeah. COUNCILMEMBER MAGAZINE: -- possible ways to defray the costs to both the band and the chorus. That’s all. MIKOLIJCZYK: Bigger buckets and more people being aggressive twisting arms I think might work out okay. COUNCILMEMBER MAGAZINE: Thank you. MAYOR DICKEY: Gene, you just said something that caught my attention. You do Sunday concerts? So, do you just do one day a week -- a weekend? MIKOLIJCZYK: The band does one concert at a time, correct. We do Sunday concerts. MAYOR DICKEY: So, this has you at two for two days, right? So this has two weekends, Saturday, Sunday, but you really only do Sunday? DIRECTOR GOODWIN: (Indiscernible) practice and get set up. MIKOLIJCZYK: Yeah. Saturday is setup. We set up the microphones. MAYOR DICKEY: Oh. MIKOLIJCZYK: Kind of get set up. Well, I actually, no, we show up and do a dress rehearsal at about 2 o’clock on Sunday afternoon and then perform at 4 on Sunday afternoon. DIRECTOR GOODWIN: My understanding is Saturday is all set up. And I’m not going to vouch for it. I’m -- CITY OF FOUNTAIN HILLS Page 81 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 81 of 103 MIKOLIJCZYK: Yeah, Saturday probably is set up by your organization, by your staff because there are risers. That does take some time. I doubt if you can do that all on Sunday. DIRECTOR GOODWIN: Right. So -- MIKOLIJCZYK: But we don’t show up and do anything on Saturday. DIRECTOR GOODWIN: And I appreciate your feedback because I’m not as familiar with the band and the chorus and whatnot setup. What I will say is that this goes back to the conversation about including the full process of we can’t -- we can set up for the band on Saturday in anticipation of their Sunday concert, but I can’t have something else in there. So, it’s occupied, lack of better word. MIKOLIJCZYK: Yeah, I understand. MAYOR DICKEY: So, is that the case with the chorus also that they don’t really have a Friday? They just have a Saturday, Sunday, but we charge for the day before? So, if you have a concert and you come -- and come to do the dress rehearsal at -- MIKOLIJCZYK: About 2 o’clock. MAYOR DICKEY: -- 2, then we can’t fill -- we can’t set it up on Sunday? We have to set it up on -- MIKOLIJCZYK: I can’t answer that, but looking at the logistics, I doubt if the staff could do it. I can’t speak for the staff, but I sure wouldn’t want to be doing it. COUNCILMEMBER MAGAZINE: Mayor. MIKOLIJCZYK: And I will say the chorus performs on Saturday and Sunday, but their setup is a bit more complex. They have risers. They have their own type speaker system because they have a lot more soloists who perform. So, and then they also, I believe, do a dress rehearsal on Friday night, and then they perform on Saturday and Sunday. MAYOR DICKEY: Yes. I’m just saying I’m looking for ways to take some of these hours off of this -- of the days that you perform. And I know I’m going back forever, but when we would do the theater, you know, we had Friday night, Saturday night, Sunday. We brought everything over to McDowell Mountain, set it up on the day of the show. So we didn’t have to do anything the day before. So, I just trying to see if there’s a solution here to get some less hours anyway. COUNCILMEMBER MAGAZINE: Yeah. What I’m wrestling with -- and I don’t know CITY OF FOUNTAIN HILLS Page 82 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 82 of 103 if anybody has the answer to this, but I’d love it if, you know, could waive the fees for the band and the chorus and so on. But what criteria do we use when we got so many other organizations that have to pay the 50 percent fee? I mean, that presents a real problem for us. MIKOLIJCZYK: You know, I heard discussion earlier about trying to do a branding mechanism with the Chamber of Commerce. There was a whole chart of these are the things that the chamber does, but the town’s name doesn’t appear with it. This town name appears with us. We are the Fountain Hills Community Band and the Fountain Hills Community Chorus. We actually have people who come from other towns to play with us because they heard about us. We have a good reputation. And we think that good reputation kind of helps spread the good name of the town. COUNCILMEMBER MCMAHON: Gene, how many weekends do you need a year? MIKOLIJCZYK: We perform three times. We do a Christmas concert, a concert in December. This year we also did a concert in February and then another one in April. COUNCILMEMBER MCMAHON: Okay. And so you say you need three weekends, and with the FHCCA you get four weekends? MIKOLIJCZYK: No, they get two. COUNCILMEMBER MCMAHON: You get two, and then -- MIKOLIJCZYK: I’m sorry. I’m sorry. Yeah, I’m jumping ahead. I’m sorry. COUNCILMEMBER MCMAHON: That’s okay. MIKOLIJCZYK: Yeah, the FHCCA, this compromise gives the FHCAA two weekends to allocate as they want to. COUNCILMEMBER MCMAHON: Okay. MIKOLIJCZYK: And quite frankly, the FHCCA may decide that they want to use it for something else. We’re presuming they’re going to let the band and choir use those two weekends. It’s the other three that we traditionally had that are now being cut out. COUNCILMEMBER MCMAHON: So how can we fix that? MIKOLIJCZYK: Make it five. COUNCILMEMBER MCMAHON: For the band? DIRECTOR GOODWIN: One band and choir together. MIKOLIJCZYK: No. Band and choir together make 5. CITY OF FOUNTAIN HILLS Page 83 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 83 of 103 COUNCILMEMBER MCMAHON: Band and choir together. Okay. Thank you. MAYOR DICKEY: Have another speaker? TOWN CLERK KLEIN: I got so engrossed in the – Sharie Mikolijczyk. MIKOLIJCZYK: Good evening. My name is Sharie Mikolijczyk. I am, in fact, the president of the community chorus, and I’m confused. The price fee that I was given did not indicate that the $25 per any meeting room would be cut in half to 1250. This was the first I’ve heard of that. DIRECTOR GOODWIN: That is based on the fee waiver that the council passed two -- three weeks ago. MIKOLIJCZYK: Okay. We could handle the rehearsals at 1250, and I would be happy to handle the room costs for that. We cannot handle the concert costs for the ballrooms. That will take us under, and we will cease to exist. We do provide a great service. We have the elderly population that shows up at our concerts just like bingo. We are half of what bingo is, what you’re allotting for bingo. I don’t understand that. We’ve been in Fountain Hills for -- I think we’re coming up on 30 years. We have a huge history with the town, and we hope to have a further history with the town, but at this point I don’t see us surviving this. We had a concert in 2022 in April. We had a huge response. We were coming off COVID. Our last concert before that was April of 2020. We cancelled three weeks before the concert, incurred all the expenses of a concert and none of the income. It hit us hard, really hard. To be hit with costs now that you’re proposing for the concerts in the ballrooms, we can’t do it. Our members can’t afford to pay more. We don’t want to try to charge our audiences more because they too are struggling. When we had our April 2020 concert, it had a terrific response. We had at least 300 people each night. The chorus has two concerts. We usually have Saturday and Sunday one session and Sunday and Monday during the holidays because we’re not allowed to have both holiday weekend nights. I can’t tell you exactly how much we made, but we probably made at least $10,000 on our concert that rejuvenated our budget. We’re happy to work with the costs, but just keep in mind the concert costs would take us under. Thanks for your consideration. COUNCILMEMBER MAGAZINE: I have a question. CITY OF FOUNTAIN HILLS Page 84 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 84 of 103 MAYOR DICKEY: I think we have a question. MIKOLIJCZYK: Oh, sure. COUNCILMEMBER MAGAZINE: Just curious. What’s your annual income? What’s your annual budget? MIKOLIJCZYK: Our annual budget is probably around $5,000 at this point, and that’s optimistic. If this waiver goes through, we will be operating at a $5,000 deficit. COUNCILMEMBER MAGAZINE: İs that pre-COVİD, or is that typical? MIKOLIJCZYK: Yeah, no. Pre-COVID, we did -- we are normally self-sufficient with the waivers of the rooms. COUNCILMEMBER MAGAZINE: So you typically take in how much? MIKOLIJCZYK: That’s a good question. Probably the 10,000 that we made in that April concert is unusual even -- and that was for the two nights because we had a huge turnout. COUNCILMEMBER MAGAZINE: Yeah. I’m not questioning you other than to try to figure the math out. What are your expenses? MIKOLIJCZYK: Well, we have the music. One thing we have that most groups don’t have -- and I’m not sure if Gene mentioned that -- we as a professional group or semi- professional -- we try to be professional -- we have hired staff. We hire our directors and our pianist. So that’s the biggest part of our budget right there. We have music expenses, which can be thousands, not hundreds, of dollars when you’re talking about 100 people in the chorus. And we usually have somewhere between 70 to 100. So we have a large group. COUNCILMEMBER MAGAZINE: So, you take in X, but your bottom line after all expenses in your budget is approximately $5,000? MIKOLIJCZYK: At this point, we’d be lucky to have that. Yeah. COUNCILMEMBER MAGAZINE: And what do you do with that $5,000? MIKOLIJCZYK: Well, we also have to buy things for the concert. We bought t-shirts last year, the tie-dye t-shirts. We have decorations. We have a room that we have to pay rental fees for all the storage of our music because the music store, it piles up quite fast. And so we have a storage room. COUNCILMEMBER MAGAZINE: All right. Thank you. CITY OF FOUNTAIN HILLS Page 85 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 85 of 103 MIKOLIJCZYK: Yeah. VICE MAYOR FRIEDEL: Do you have -- MIKOLIJCZYK: It’s hard to think. I know we’ve got a ton of stuff, but it’s hard for me to think right now. VICE MAYOR FRIEDEL: Do you have any other fundraisers other than the concerts themselves? MIKOLIJCZYK: Not at this time, no. VICE MAYOR FRIEDEL: Did you ever? MIKOLIJCZYK: I believe in years past, when I was reading through some of the old paperwork from the chorus, they at one time would hold singing camps, things like that, go out and sell things to other groups. It wasn’t a pleasant experience. I think the singing camps might’ve been fun, but, you know, the same time of thing -- type of thing that the theater is trying to do -- excuse me -- to do and everybody else. Sorry. Everybody’s out there asking for those donated dollars, and it doesn’t come easily . And we always have a line on our registration form, do you want to donate extra money? And it rarely gets figured. COUNCILMEMBER SCHARNOW: Yes. Thank you. Well, this is probably more for Tammy. I’m sure she’s on the list or somebody higher up in the, you know, FHCCA. But so each group has its own kind of line item underneath, and they’re all kind of responsible for their making their own budget item. You know, I’m just wondering if the board has ever considered pooling their resources a little bit more and subsidizing one over another. If another one’s making more money versus the other, this might be one way to kind of counteract some of this, because I know the chorus is feeling singled out, and the band. And that obviously wasn’t our intention in terms of pinpointing various groups. But yet we did waive others like the bingo. And, you know, we have our justification for those. And you know, I kind of heard from one person, like, well, why won’t you include the chorus or the band in that waiver? You know, so this puts us in a difficult situation, and I’m just wondering if there’s some other alternative ways of pooling these resources in terms of, you know, one group versus 15 different ones that are -- have to make their own -- anyway. CITY OF FOUNTAIN HILLS Page 86 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 86 of 103 MIKOLIJCZYK: I think Mark might have a problem with that. It would be a bookkeeping nightmare to do that. At this point we all have our own little individual accounts. And we sent -- we have money taken out when -- oh, one of the other things I was going to say that we also do is the choir is responsible for keeping the pianos tuned. So twice a year we have the baby grand tuned, and once a year we have the rehearsal piano tuned. COUNCILMEMBER SCHARNOW: Yeah, and I don’t want to burden Mr. Dalton anymore. That’s for sure, but -- MIKOLIJCZYK: He might have something to say about that. COUNCILMEMBER SCHARNOW: -- you know, the town has a lot of different departments and their own budgets, and some, you know, make money and some lose or whatever versus what their costs. So, I’m just saying there’s other solutions here, possibly. MAYOR DICKEY: I’m glad you brought up that idea of making money, though, because I think it was brought up earlier that we make revenue on stuff, and we’re not allowed to. Like I said, this -- if we were to, you know, put in every single one of our fees that we just approved, it would still be 26 percent cost recovery. So it’s not about making money. You know what I’m saying? Do we have more speaker cards? Oh, okay, we’ll move on with that. Thank you. TOWN CLERK KLEIN: Next is Debbie Fisher. FISHER: Hello. Thank you for listening. I am Debbie Fisher. I am the president of the Fountain Hills Community Band, and I am a board member of the FHCCA, which I just greatly appreciate. Thank you for all you do. You have taken many groups into your fold and helped us. And with someone such as Mark Dalton, who is able to keep us on track with all those silly things that some of us don’t really think about as far as money goes. We are a wonderful group of musicians from our town, and yes, we also bring in musicians from other parts of the valley specifically to come out here. They come out to be with our directors that we have top-notch directors. We have never failed in that area. We have top-notch players, and we have been able to go from the small group that we started 13 years ago, I guess, and we were playing in churches, and CITY OF FOUNTAIN HILLS Page 87 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 87 of 103 all of a sudden, FHCCA said, guess what? You can have -- you can use the community center for free, because we could not afford it before. And so now we have built our choir -- I mean -- choir -- our band into a wonderful group that can fill that sound in the ballroom, and I just want to thank you for that. That was just the best gift. You’re right about a gift. And so I appreciate it, and that’s why I’m here is just to let you know that we have had a chance to create music in that, you know, grand ballroom. And you know how loud that ballroom is when people are talking. And when you create a music the background of silence, it is amazing. It’s an impact. And we go from Stars and Stripes Forever to, you know, White Christmas. We are there at Christmastime, and it is so much fun. So I just thank you so much for considering anything that you are doing for us. Because we only do it on Sundays, and we do not charge -- that is, to get in, but we do put the buckets up when you’re trying to get out. So and sometimes it’s a wadded up $5 bill, and sometimes it’s a check for 500 bucks. It depends on -- you know, on the people, but I have to say thank you so much for considering anything that you’re doing for any of the arts of this wonderful town. I just appreciate it so much. And if you have any questions -- oh, oh, and -- never mind. And our -- we do give a $1,000 scholarship for students from Fountain Hills High School. We do that because we do have high school kids that can come in and play with some of our fabulous players, and that’s it. Thank you so much. COUNCILMEMBER SPELICH: Ms. Fisher, ma’am, I have a question for you. Do you have playbills that you put out for the band, you know, for the performance? FISHER: To let the know -- COUNCILMEMBER SPELICH: What songs are coming up. FISHER: Yes, we do. We do. COUNCILMEMBER SPELICH: Okay. Do you sell advertising on those playbills? FISHER: No. But you know what? Since all this has come about, oh, my, we have lots of thoughts of what to do because we are spoiled. The grand ballroom is a blast to play music in. And so we are -- we just have to find out what’s going to be happening. We’re already booked for this year for our three performances in the community center. And so we’re just kind of waiting to see what’s going on. And so that’s what I know. CITY OF FOUNTAIN HILLS Page 88 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 88 of 103 COUNCILMEMBER SPELICH: Just an idea. I think a playbill in what you sell advertising -- I mean, any time I’ve -- FISHER: I know. COUNCILMEMBER SPELICH: -- been forced to go to the theater with my wife at gunpoint -- [Laughter] COUNCILMEMBER SPELICH: -- and we go there, you know, and you get the playbill. You get, you know, all the restaurants around the theater that you go to and all that. So I think that -- I think business would be more than happy for a spot on a playbill to donate money to your organization. I’m just trying to brainstorm and, you know. FISHER: I appreciate the brainstorming because that’s where we’re at. So thank you so much. COUNCILMEMBER SPELICH: Thank you. FISHER: Okay. COUNCILMEMBER MAGAZINE: Are you the -- aren’t you the person who played taps at the Veterans Day? FISHER: I am. I almost started singing. COUNCILMEMBER MAGAZINE: I thought you looked familiar. Thank you very much. FISHER: Thank you. TOWN CLERK KLEIN: Next is Lyn Trayte, is it? TRAYTE: I thought I’d add a few more things to what was said in the past. We did send letters out. A few things that Shari did not tell you about what we spend money on. We do do playbills for performances. We have tried selling ads in the past. We found out that it made the printing of the playbills as expensive as what we collected sometimes in these ads, so it didn’t always work for that. We also have printing of tickets. We have a website that we have built so that we can try to get people interested in our organization. And we have tried to sell tickets on that. It didn’t work quite as well. So we have Eventbrite that we use for that. So we have -- we pay for things like that. Our treasurer unfortunately passed away right during COVID, and so he did not give us all of his books. So we don’t have a lot of our back expenses, so we have to try to CITY OF FOUNTAIN HILLS Page 89 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 89 of 103 recreate some of these things in our mind, which is why we weren’t able to give you some of these costs that we have had in the past. It is my memory that we start -- I’m kind of the communications manager for the chorus, and I also do all of the emails and do the website and everything. So it is my memory that we kind of start the year with about $3,000. And by the time -- and our Christmas performances never bring in as many as we do in the spring. We had so many people there this past spring because of what our theme was. We did the '60s, and that was a huge draw. We don’t normally have that many people, but I tell you the number of people that came up after us and said, thank you for bringing music back to our town. It is such an uplifting thing, and I would hate to see that go away. I think, you know, in our thoughts if we would be able to have the concert rooms taken care of, we wouldn’t even mind paying the $25 for the rehearsal, you know, if that would compensate a little bit. It’s just those -- that thousands and thousands of dollars just would put us under, and I don’t want to see our group go away. I’ve been singing there for 17 years, and it is -- I missed it so much during COVID, and I would really miss doing it again. As membership chair, I see a lot of people coming from other towns joining our chorus. I also see those people, because I enter names into our database -- I see people coming from out of town to our chorus. I saw people at our restaurants after our performances. So I know that it is a draw, and I know you understand that. You’ve supported us in the past, and we hope that you will again. We feel we are just as important as bingo. We have just as many old people as bingo has sometimes. We have people sitting down during our performances because they can’t stand. But thank you very much. I appreciate it. VICE MAYOR FRIEDEL: I had a question for her. Do you charge a membership fee? TRAYTE: We do. We charge $15 -- we charge $25 --$40. $40 is our membership fee. Sorry. I’m sorry. I got mixed up. [Laughter] I’m bidding. I get mixed up between our tickets. Yes, we have a $40 membership fee. Uh-huh. VICE MAYOR FRIEDEL: (Indiscernible) for each (indiscernible)? TRAYTE: No, no. For each person that is singing with us. That helps cover our music expenses and our fees for paying our directors. Yes, I think raising that would be an CITY OF FOUNTAIN HILLS Page 90 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 90 of 103 issue. VICE MAYOR FRIEDEL: That’s per session. MIKOLJICZYK: That’s per session. TRAYTE: That’s per session. MIKOLJICZYK: So it’s $80 a year. TRAYTE: Yes. $40 per session. We have a session during the fall that starts after Labor Day and ends with our concerts, which is the first weekend after Thanksgiving. And then we have our spring session, which starts right after Christmas and ends in the first part of April, when we have our concerts. And then we are not around during the summer, so we don’t need 52 months -- or 52 weeks of practice sessions. We only have about 25. Thank you. TOWN CLERK KLEIN: The last -- well, no, it isn’t the last one. Sorry. Tiffany, your last name is cut off, so I’m not sure what it is. MCVIEG: Tiffany McVieg. And in lieu of time, I’m going to be so fast because I just want to share my supports. But Mayor Dickey, Vice Mayor, council members, and staff, thank you all for all that you do for the community. My name’s Tiffany McVieg. I’m the new director of the Munch & Music Program, and I’m here to primarily -- and I’ll just say I’m a local resident in favor of agenda item HA, approval of provisions to include a use agreement with the Fountain Hills Cultural and Civic Association as is and as you want to propose. And we are grateful for that program. The one thing that I would like to -- I guess I’ll clarify a little bit about FHCCA. Now that I sit on their board, I came from Seattle, Washington, as a microeconomic development teacher/facilitator. I’ve worked for cities, towns, small cities as a SB women’s business center director. No other place I’ve ever been has an organization like FHCAA that’s been serving this community for 38 years. And yes, it expands and grows because it was designed to do that. What it does is it takes in all those little, tiny groups like mine that can’t afford to be a non-profit. We don’t have the corporate structure to be a non-profit. We’re not designed to be profitable. We’re not designed to be a non-profit. We do a community event. We try to raise the funds to make it happen, and we’re grateful for all the support that this use agreement provides. Thank you very much. TOWN CLERK KLEIN: Tammy Bell. CITY OF FOUNTAIN HILLS Page 91 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 91 of 103 BELL: Me again. Thanks, Mayor, Vice Mayor, councilmembers, and staff. I am also -- you know, I’m Tammy Bell, resident of Fountain Hills and also the current president of FHCCA. Y’all received a packet, and I hope I was able to answer some of your questions. I threw out my statement for today just to address things that have been asked in the last 15, 20 minutes. FHCCA programs are not all using the community center. I want to make sure that that’s really clear. Currently, we have the in-home concerts vision Fountain Hills non-profit network AED program, Poinsettia Project, FHCCA board, the garden, and public art that do not use the community center. So the ones that we are speaking to today are the ones mostly that Rachael has addressed. To Grady’s point, the amount of money potentially saved by the town not doing the programs that are using the community center -- I have come to an estimate, and I think this is a minimal estimate, of our FHCCA program volunteers doing 7,000 hours a year to program these programs and to implement them. And at the lowest amount of your customer representative rate that’s on the website, that would be equal to $115,000 in payroll. So 7,000 hours, $115,000 in payroll is what the town is saving by having -- allowing volunteers and supporting the volunteers to do some of these programs in the community center. The chorus, just to -- I’ve heard numbers of moving maybe up to 50. The chorus requires 56 hours. Just throwing that out there. That’s what they’re using right now for practice. So if you were to consider increasing the meeting space, then 56 hours would accommodate for the chorus practices. Yes, we’ve been given a couple weekends to share, and I would like to request from the council that you do consider the band's three -- those full weekends are kind of we say is kind of the chorus because they’re the ones who require the full weekend. The band is more of a Saturday/Sunday, and that is a different expense. And so we’re just asking that you do consider adding those. If for any reason you just can’t add all five of our concerts onto this waiver, might I please suggest that you consider giving us one year to help the band and the choir figure out how they’re going to do this for future years? If you could just give them one more year to plan, knowing now what the fees are going to be and what the waiver looks like, maybe we can help them with the sponsorships, with the playbill advertisements, with whatever else, ideas we want to run up with. We just need the time to help them with CITY OF FOUNTAIN HILLS Page 92 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 92 of 103 that. Changing our accounting might be a huge task, so maybe want to give two years to see if we could combine all of our programs and figure that out. I do want to stress that members come to FHCCA to be under a 501(c)(3). They need a way to raise money, and we provide that structure for them. That is the number one reason members come and programs come under us, and we will continue to grow that as much as we can to support our community. MAYOR DICKEY: Thank you. BELL: Thank you. MAYOR DICKEY: May I ask you something? BELL: Uh-huh. MAYOR DICKEY: When we did the non-profit $5,000 grants, did -- they didn’t apply and not get it or anything like that, right? Because I know that four FHCCA -- well, FHCCA itself and then Munch & Music, Encore -- so they got the $5,000. Did anybody apply for that week? Did we have to turn anybody down at all? TOWN MANAGER MILLER: No. Everyone that was breathing and was a 501(c)(3) or other 501 received it. And I’m sorry for joking. It’s just late. BELL: Yeah. TOWN MANAGER MILLER: Tammy, to her credit, she asked when the rules came out on it, and it made it appear that only, like, one organization could qualify for the 5,000. I made a determination, since there were all these subgroups, that really in my opinion they were very different from one another, that they could individually apply. And so that’s what they did. BELL: Okay. And that’s -- TOWN MANAGER MILLER: And not everybody, obviously, applied if there were only four that were awarded. MAYOR DICKEY: Okay. BELL: Yeah, we encourage them all. And that’s why FHCCA as a program did not apply until the date was extended. I wanted to make sure all of our programs were considered first. MAYOR DICKEY: Okay. I’m going back to the -- what you were -- you talked about the ballrooms and such. And so the offer actually is -- for us is the three days. So you’re CITY OF FOUNTAIN HILLS Page 93 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 93 of 103 really talking 5,400 between everybody to have to find time. If that money -- if that goes to the chorus, that’s the $7,200, then the band is the one. So even if we did two -- you know, an extra -- or one or two extra -- VICE MAYOR FRIEDEL: (Indiscernible). MAYOR DICKEY: Pardon me? VICE MAYOR FRIEDEL: What if you gave each of them an extra weekend? MAYOR DICKEY: Well, so the one, though, only needs the two days. Right? The band only puts one show on. UNIDENTIFIED VOICE: Oh, yeah. MAYOR DICKEY: So but that would -- you know, that would help us out. BELL: Three concerts. The chorus too. COUNCILMEMBER GRZYBOWSKI: But she means they need it for a two-day weekend because the only put one show on for the weekend. MAYOR DICKEY: Yeah. COUNCILMEMBER GRZYBOWSKI: I think that’s what the Mayor is saying. MAYOR DICKEY: Yeah, yeah, not like -- it’s not two. The other one has the two days. And then I think you mentioned how many members were in each of these. And I know that they pay membership fee, but I wonder -- like, I’ve been to meetings where, you know, we pay -- we just come and put -- it isn't a bucket, but -- you know, put money in a bucket to pay for the room that we’re using. So I appreciate the offer as far as the rooms go. I -- did we have another speaker? TOWN CLERK KLEIN: Yes. MAYOR DICKEY: We do? Okay. I’ll wait, then. Any other questions for Tammy? Thank you. BELL: Okay. Thank you. TOWN CLERK KLEIN: Roger Riggert. RIGGERT: Madam Mayor, Council, I’m going to try to not be too repetitive from everything that’s preceded me here this evening, but I’m really approaching it from a little different angle, little bit from a historical. And by the way, I’m talking about the community chorus only. So, I’m a citizen of this town for about the past 26 years. I’m the past president of the Fountain Hill Civic Association, which was a predecessor of the CITY OF FOUNTAIN HILLS Page 94 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 94 of 103 FHCCA. And also, past president of the chorus. And I’m still on both of their boards. The chorus is one of the older organizations in this town. It preceded -- well preceded the town incorporation, and it goes way back. When I first joined the chorus, we were rehearsing in the old community center, which now has a theater. And we did our concerts in the various churches in town. We were thrilled when the community center was completed that we would have a place to rehearse and present our concerts. I didn’t have a lot of time to look at the fee schedule. I know that it -- and I probably misinterpreted some of it, but particularly the four-hour minimum. And I saw on some of the charts some of the -- Rachael, some of the rehearsals were three -- you had three hours up that, yet on the fee schedule you say a four-hour minimum. DIRECTOR GOODWIN: For the ballrooms there’s a four-hour, not for the classrooms. RIGGERT: But that wasn’t fear in the fee schedule. DIRECTOR GOODWIN: Got you. RIGGERT: So anyway, so of course, we’ve been outlined all the other expenses that we have. And in the short term I believe that raising ticket prices is not an option. And the discretionary purchases for chorus tickets, particularly for seniors, will not be part of their budget in light of the current inflationary climate. So I think I’m not going to be repetitive from everything that we said before, but I urge the council to consider a modification of the fee to protect this historic organization because we are basically historic organization in town where we’re the oldest one, really, as far as the cultural aspect. I looked at the fee waiver, and I’m not sure there’s a level playing field there. That’s just my take. Okay? Any questions? MAYOR DICKEY: Thank you, Roger. Any other comments or suggestions? I want to get some credit for the Arts Council because FHCCA is actually a charter member of the Arts Council from ages okay. So -- TOWN CLERK KLEIN: I had a speaker come in. (Indiscernible). MAYOR DICKEY: Oh, I thought we said the last one. [CROSS TALK] UNIDENTIFIED VOICE: She said she (indiscernible) after (indiscernible). MAYOR DICKEY: Oh, but then she -- CITY OF FOUNTAIN HILLS Page 95 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 95 of 103 TOWN CLERK KLEIN: Dori Wittrig. WITTRIG: Am I last? TOWN CLERK KLEIN: No. WITTRIG: Okay. Okay. Hello again. As I mentioned earlier, I’m the past president of FHCCA. So I want to take just a moment to make sure because it doesn’t sound like you are all familiar with our organization. We are only an organization of various groups coming together at a board table every month. We have a volunteer -- they are all volunteers, by the way. We have a volunteer who’s a treasurer, and all of these people that you’ve heard from tonight and all of their representatives that they -- the people that they represent are all volunteers. And you heard them say they pay to do this. They pay to do this to provide a service to the community of Fountain Hills. The organizations that put on the performing arts, they serve hundreds and, through the years, thousands of people. And those people all pay taxes to attend that community center. You’re the stewards of our budget. You’re the stewards of our buildings, but these taxes are paid by these residents. And we are not talking about folks who really, frankly, have the budget to do much more than what they’re doing, and you ask them to do more and to raise more. You’ve heard the point made several times here tonight that the organizations that we support in this organization in other communities are paid for by the municipality. They aren’t here. These are people who do it out of love. And these people are going to go on, and there’ll be a different crew in a few years. And the evolution and the stretching and the growing, that’s because we need to have it happen. A few years ago we needed a leadership academy because people were tired of serving on boards for 10 and 15 years. We needed something new. We came up with it. The community garden, we took an ugly piece of not even parking lot and made something beautiful out of it. And that’s the thing about this whole organization. They make something great out of nothing, and they do it all on volunteer hours. And they provide only a service to the other residents of Fountain Hills, all who pay taxes to come to the community center. I just ask you to consider that when you’re asking us to think about who we need to cut out of this budget, because it’s not going to come from them. Thank you. CITY OF FOUNTAIN HILLS Page 96 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 96 of 103 TOWN CLERK KLEIN: Brenda Kalavianakis. KALAVIANAKIS: Good evening. Hi, Ms. Mayor, Vice Mayor, town council, staff. I’ll make this very brief. It’s getting late. I just want to offer my unconditional support to the speakers you just heard tonight for music in Fountain Hills. I support the Fountain Hills Community Band. I support the Fountain Hills Choir unconditionally. The letter -- I didn’t prepare a statement, but the letter that Gene and Sherry wrote tonight I agree with 100 percent. Julie [sic] Fisher, what she -- her statement, I agree with that too. Erin (ph.), to address my conflicts of interests, I have been asked to play in the Fountain Hills Community Band. I have played the saxophone with Gene, and last Memorial Day I was with Julie [sic] Fisher. We played for Taps Across America last Monday. And so I’m very much invested in this. I want to tell you I’m very much invested in this, and I’m just hoping that you’ll accommodate them and work with them to keep the music in Fountain Hills. Thank you. VICE MAYOR FRIEDEL: I was just wondering what taxes were you talking about that people paid? KALAVIANAKIS: Everyone in this room, everyone in this community pays taxes and supports -- VICE MAYOR FRIEDEL: What tax? I’m sorry. Maybe I don’t understand. Sales tax, yes. We don’t have a primary property tax, though. KALVIANAKIS: I understand that. We’ve all fought that battle too. I get that. VICE MAYOR FRIEDEL: Okay. All right. KALAVIANAKIS: But this community building, these community buildings are paid for by all of us. MAYOR DICKEY: So just to that point, all the taxpayers in the entire town are our responsibility. So when we look at trying to have cost recovery, I mean, this is the dilemma of this whole thing. You know, I mean, we have responsibilities to all of them. And so that’s why we’re trying to navigate our way through this as best as possible. Yes, sir? COUNCILMEMBER SPELICH: In light of how late it’s getting and everything, I’ll just throw a proposal out that we increase it from 36 to 50, leave FHCCA to have the two full weekend ballrooms, and waive what would be the fee of -- as requested by them for a CITY OF FOUNTAIN HILLS Page 97 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 97 of 103 year for them to get their financial house in order. (Indiscernible) both for the chorus and the band for one year -- not two, one year. That gives them one year, even though this fee structure has been talked about ad nauseum, and everybody knew the fees were coming. But give them the benefit of the doubt. Give them a year to do the stage builds or whatever type of fundraising that they want to do, sponsorship by a business or something, but give them one year. But raise it to 50, but leave it at full two weekends. That’s what I propose. MAYOR DICKEY: Any discussion on that? Any thoughts? COUNCILMEMBER SCHARNOW: I’m just wondering the mechanics of that, though. So we’re going to give them two free weekends, but we’re still going to charge for the other three, or we’re going to wait a year. That’s -- COUNCILMEMBER SPELICH: Waive. UNIDENTIFIED VOICE: Waive. COUNCILMEMBER SPELICH: Waive it for a year. But according to one of the speakers that came up here, they’ve already booked, correct? UNIDENTIFIED VOICE: They have dates on reserve. Uh-huh. COUNCILMEMBER SPELICH: Okay. So those dates that they would have on reserve, that particular date would be waived for this year -- UNIDENTIFIED VOICE: Uh-huh. COUNCILMEMBER SPELICH: -- for this fiscal year. Raise it from 36 to 50 and then leave it at two free weekends. I mean, I think that’s a great compromise. COUCILMEMBER SCHARNOW: I’ll second that if that was a motion. MAYOR DICKEY: I don’t know. I have some -- oh, okay, we can have more discussion. DIRECTOR GOODWIN: Can I offer one just clarifying question? So we would start their agreement, let’s say, July 1 and consistent with the fiscal year. So just so I have my notes right -- because I want to make sure because it’s late, and I’ve looked at this a lot. The proposal is -- would up the number of hours for use of the meeting space to 50 annually and then anything over and above. And then two full weekends as proposed, and then anything over and above after July 1 next year would be assessed. So they have, again, a full year to sort of get -- CITY OF FOUNTAIN HILLS Page 98 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 98 of 103 [CROSS TALK] MAYOR DICKEY: -- get their things together. DIRECTOR GOODWIN: Okay. I just want to make sure I have my notes right. Thank you. COUNCILMEMBER MAGAZINE: Mayor. MAYOR DICKEY: Yes, Councilman. No. COUNCILMEMBER MAGAZINE: A year seems like a long time. I can go along with it. And I won't be here, but I really think there should be a progress report at least after six months to see how it’s going. MAYOR DICKEY: One thing I wanted to say was when you were talking about how there are members that will keep joining -- and possibly they will. And I think that offering non-profit or an ability to get to be a non-profit is a great thing that FHCCA does, but I think this will stop it from starting to include -- in other words, this agreement is with FHCCA, and this is how it is. So this would go forth and would prevent, I think, what you were talking about. And then after a year I still would want to -- you know, we would have the opportunity to reevaluate, but I think that is a good way to start. I think one of the things that we could help with is -- So FHCCA has -- you know, this agreement is with FHCCA. So maybe internally they can make some changes, but I also think that if it’s not crazy for you to look at one day less for each of these, I don’t really see why you have to set up on a Friday -- on a Saturday to do a 2 o’clock rehearsal. DIRECTOR GOODWIN: It’s significant. And I mean that in the truest sense. It’s multiple hours of set up to set up the staging and the risers and the chairs and the every -- TOWN MANAGER MILLER: I would agree. I think what you’re saying sounds logical, Mayor, but the deal is we may have an event on Friday night, and we have to take that down because it’s completely a different setup. And so we really need, in a way, just the time to be able to do it properly. Logically, I think what you’re saying makes sense, but I don’t think it works in practice. MAYOR DICKEY: Okay. Well, then the other thing is this year goes by, that maybe instead of the two, they can only -- they only have the one, or maybe there are other options that we can do going forward. But I think that sounds like a very good CITY OF FOUNTAIN HILLS Page 99 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 99 of 103 compromise. COUNCILMEMBER SPELICH: Let me clarify my -- what I said. I don’t want or am I promoting that no one joins FHCCA. I hope you get 100 members, 200 members. What we’re trying to limit as a council is all of these people joining and then wanting all these free room spaces. That’s all. I’m not trying to say that you should limit the amount of people that you let come under your 501(c)(3) umbrella. That’s fine. Have 100 people join you. But I think what this council is tasked with is being good stewards of that particular building that we just dumped $900,000 into. And we all pay taxes. So the choir members, the band members, we all up here pay taxes. If I wanted to rent the room, I would pay full boat. That’s just it. So, you know, I don’t mean to limit or minimize FHCCA, and I didn’t mean to minimize the Chamber of Commerce. And it’s very important to note, and everybody needs to know this, the monies that we’re asking in no way is going to compensate or reimburse the town for the amount of money that goes out. So it’s just something. So I stand by my proposal of -- do you need me to repeat it? Somebody else? You want to talk? Sorry, I just saw it was 9:20. COUNCILMEMBER GRZYBOWSKI: Somebody waved at me and said, shut David up. COUNCILMEMBER SPELICH: Oh, okay. COUNCILMEMBER GRZYBOWSKI: No, I’m kidding. I want to make a couple of points. First of all, it is hard to get and qualify and keep a non-profit status. I think the FHCCA concept is brilliant. I love it. I appreciate that they came up with it, so I know they won’t stop growing because the concept is absolutely brilliant. It’s really hard to do. Same thing Councilmen Spelich just said. We are not asking for cost recovery. If we would, this would be a for-profit business, and we understand that it’s not. I think it is very important that we make the decision today. I do not want Rachael to have to come back next year and do the same dog and pony show for us to try to make -- okay, those of that are still here -- to try to make the decision next year. I feel like we need to book it. It needs to be made. If it’s waiving a year worth of fees, then that’s what it is. And then beginning July 1st, 2023, this is what it is. TOWN MANAGER MILLER: Mayor, if I may. It’s a good question, Councilwoman. So what I think I heard with the motion is that it would be the two free weekends, plus 50 CITY OF FOUNTAIN HILLS Page 100 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 100 of 103 hours for meetings. That’s what the agreement will be. The fee waiver will be administrative, meaning for next year the staff and I will be able to do the administrative waiver based on the motion tonight. So that’s how we’re going to do it. So then we don’t have to come back with a new agreement next year. We’ll have the agreement approved tonight, and it should stand. And then they have an opportunity to try to see what they can do financially, and they can report back to us. COUNCILMEMBER SPELICH: Right, I never -- in the motion. TOWN MANAGER MILLER: I know you didn’t. COUNCILMEMBER SPELICH: Oh. TOWN MANAGER MILLER: I’m trying to clarify how it would work for the councilwoman. COUNCILMEMBER GRZYBOWSKI: I just kind of felt like I was getting that vibe from elsewhere. I totally got what you were saying, but I kind of felt like I just -- we need to say that so that people don’t assume Rachael’s coming back next year. COUNCILMEMBER SPELICH: No, no, no, no. It’s lick them, stamp, no changies. That’s it. COUNCILMEMBER GRZYBOWSKI: Lick them, stamp, no changies. COUNCILMEMBER SPELICH: That’s what it is. Next year everybody will -- it’ll -- the agreement will stay exactly as written. MAYOR DICKEY: Okay. I can go along with that. DIRECTOR GOODWIN: One more clarification question. I’m sorry. And this is really because I think I’m all tired. And again, so the only part that we’re delaying until July 1 of next year is the fees for the additional concert weekends? UNIDENTIFIED VOICE: Correct. DIRECTOR GOODWIN: Everything else would go into effect as of the signing of this agreement, so room usage and everything else as -- UNIDENTIFIED VOICE: Right (indiscernible). DIRECTOR GOODWIN: Uh-huh. And the 50 hours, and then anything over and above this 50 hours through this fiscal year would be on the clock. Just making sure that we’re not delaying the whole agreement until as of next year. Okay. Just wanted to make sure. Thank you. CITY OF FOUNTAIN HILLS Page 101 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 101 of 103 TOWN MANAGER MILLER: So Rachael, just for clarity, it’s the staff recommendation as presented; instead of 36 hours, it’s going to be 50 hours for meetings. DIRECTOR GOODWIN: Correct. TOWN MANAGER MILLER: It’s going to still be two ballroom weekends, two weekends of ballroom -- of use. DIRECTOR GOODWIN: Two three-day -- TOWN MANAGER MILLER: Yes. DIRECTOR GOODWIN: -- two full weekends? TOWN MANAGER MILLER: Right, right. And that’s going to be what the agreement’s going to consist of. FHCCA has a full year to try to figure out financially how they’re going to try to make this work. So, and then they can report back to us, but the thing is they don’t want to have to deal with this next year, another agreement. They want to be done tonight. DIRECTOR GOODWIN: Right, I second that. MAYOR DICKEY: She’s like, duh, duh. Okay. So what is a second? UNIDENTIFIED VOICE: There’s a second by Councilman Scharnow. MAYOR DICKEY: Okay. UNIDENTIFIED VOICE: You want to do a roll call, or do you want to do just -- MAYOR DICKEY: I think it’ll be all in favor. All in favor say aye? ALL: Aye. MAYOR DICKEY: Any opposed? Thank you. Thanks very much. COUNCILMEMBER MAGAZINE: Mayor, Mayor. MAYOR DICKEY: Yes, sir. COUNCILMEMBER MAGAZINE: You know, we have an outstanding staff. And I hesitate to single out anybody, but Rachael, you’ve done an extraordinary job on this. It’s been, what, a year and a half, and dealing with different organizations, and dealing with this council. And I just want to pay tribute to you for dealing with such a complex issue and bringing us to this point. DIRECTOR GOODWIN: I appreciate that. Thank you very much. MAYOR DICKEY: Thank you. Our next item is a legislative agenda. Again, no action. We’ve had no calls, so I don’t CITY OF FOUNTAIN HILLS Page 102 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 102 of 103 really have anything to say. COUNCILMEMBER SPELICH: I just want to make sure we didn’t miss anything. Was it pulled, the 4-percent raise? Has that been pulled from the agenda, or how come we didn’t talk about that? MAYOR DICKEY: It was in our budget, right? UNIDENTIFIED VOICE: Yeah. UNIDENTIFIED VOICE: Yeah. COUNCILMEMBER MAGAZINE: Part of the budget. TOWN MANAGER MILLER: Part of the budget that you adopted tentative. VICE MAYOR FRIEDEL: Let it go. COUNCILMEMBER SPELICH: No. No, I’m not going to let it go. So there was -- so I don’t get it. We didn’t discuss this at all, but it was just a part of the budget? It was assumed that it was -- MAYOR DICKEY: Well, it was in the budget, right? TOWN MANAGER MILLER: David, you want to just explain it? It was programmed in the budget. When you saw the tentative budget, it was in that budget last month. And it was in tonight. POCK: So the 4-percent raise has been -- was in the proposed budget that was presented during the workshop. We called it out specifically in the tentative budget last month as a bullet item, saying that it was in there. And then it was also in the implementation memo that was passed tonight. The numbers were the same in the budget, but it also had it in the implementation memo. COUNCILMEMBER SPELICH: Okay. Well, I mean, we can’t -- I know we’re not going to go back and relitigate a vote and everything, but I’ll be on the record for vehemently being opposed to the 4-percent pay increase, and especially the 4-percent that will be given to the Town Manager on top of the 21,000 he’s just been given. So -- TOWN MANAGER MILLER: Excuse me, Mr. Spelich. I will voluntarily decline that, so -- COUNCILMEMBER SPELICH: Okay. TOWN MANAGER MILLER: So I’m on record tonight to give direction to staff to not give myself -- because I did appreciate the market adjustment that council did back in CITY OF FOUNTAIN HILLS Page 103 of 103 JUNE 7, 2022 CITY COUNCIL MEETING Page 103 of 103 January, but I don’t want that to be a distraction from the budget, and I did have a nice, generous raise in relationship to the market, but I am going to withdraw and ask that that not be given to myself. COUNCILMEMBER SPELICH: Okay. TOWN MANAGER MILLER: So I don’t want to be a distraction. COUNCILMEMBER SPELICH: Thank you. MAYOR DICKEY: I don’t know how we handle that administratively or if any us agree or disagree, but we’ll just move forward right now to council discussion direction to Town Manager. Anything? No? Motion to adjourn? COUNCILMEMBER SPELICH: So moved. COUNCILMEMBER GRYZBOWSKI: Seconded. MAYOR DICKEY: All in favor? ALL: Aye. MAYOR DICKEY: Aye. Thanks. ITEM 7. B. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Development Services Prepared by: Farhad Tavassoli, Senior Planner Staff Contact Information: Farhad Tavassoli, Senior Planner Request to Town Council Regular Meeting (Agenda Language):  CONSIDERATION, AND POSSIBLE ACTION: Approval of a six-month extension to the approved Special Use Permit  to allow 17 residential units on a 1.62-acre property generally located north of the northeast corner of N. Saguaro Boulevard and E. Shea Boulevard (AKA 9637 N. Saguaro Boulevard; APN#176-10-805) on the C-1 (Neighborhood Commercial) zoning district. Staff Summary (Background) The subject Special Use Permit was approved on December 7, 2021. Staff received a letter from the applicant on May 23, 2022, requesting a six-month extension, 15 days shy of the expiration date. The agenda item is to review a request from the applicant for that extension, from the date of expiration. If approved, the permit will be valid until December 7, 2022. The 1.62-acre subject property, located north of the northeast corner of Saguaro and Shea Blvd., is vacant and zoned C-1 (Neighborhood Commercial and Professional). This zoning is established to provide a location for modest, well-designed commercial enterprises to serve the surrounding neighborhood, such as medical offices, banks, food establishments and retail. The subject property is part of the Redrock Business Center, which was originally platted in 1972 and re-platted in its current configuration in 1997. Currently, among other things, the center houses indoor car showroom, a fraternal order, a butcher shop and a wellness center.  The Monterro condominium neighborhood is adjacent to the north, and the former MCO realty office is to the south. The applicant is proposing a small development with 5 townhome-style buildings consisting of a total of 17, three-story residential units. The bottom floors of each unit will contain a two-car garage, while the second floor contains the majority of the living area and balcony. The purpose for the special use permit request is to allow a residential use in a commercial district, as required by the zoning ordinance. The alternative would be to rezone the property to an appropriate multiple-family zoning district.  The applicant has chosen the Special Use Permit option due to this lot being part of the larger business center. The biggest concern with the review and consideration of the SUP was the potential for traffic impacts on Saguaro.  The Council approval included a requirement for submission of a traffic impact summary with the site plan.  While not specifically stated in the attached letter requesting the extension, the applicant has informed staff that part of the delay is due to the challenge of getting this traffic statement prepared. A copy of the previous staff report is attached for further detail on the project and analysis.  The ordinance provision setting the time limit on approval of a SUP and the allowance for an extension is contained in Section 2.02 F of the Zoning Ordinance.  This section states:    The Council may establish a time limitation for special use permits. A building permit for the construction of any improvements allowed by any special use permit issued by the Town Council shall be secured within six (6) months from the date of approval. Any lapsing of the building permit prior to completion of the improvements will cause the special use permit to become null and void. Prior to the termination of this time limit, the applicant may make a written request to the Town Council and the Council may reconsider said use permit to determine if the permit should be reissued for an additional time period or be terminated. There shall be no use permit fee for this extension request. The main purpose for establishing the time limit on SUP's is to limit speculative use of this tool.  Staff fully believes the applicant intends to develop the property as soon as possible; market demands have impacted the availability of engineers to perform the traffic study needed to move this project forward.  Further, there have been no significant changes to the area that would warrant a change to the previous Council action. Related Ordinance, Policy or Guiding Principle Zoning Ordinance Section 2.02 - Special Use Permits Zoning Ordinance Section 12.03 - Uses Subject to Special Use Permits in the C-1, C-C, C-2, and C-3 Zoning Districts General Plan 2020, Section II: Thriving Neighborhoods General Plan 2020 Character Areas, Table 1 Character Area Plan Risk Analysis If the request for an extension is approved, the applicant is granted an additional six months from the original date of approval to submit obtain a building permit to make the necessary improvements to the building as presented. If the request for an extension is denied, the applicant will not be able to make the necessary improvements as presented. Additionally, Chapter 2 of the Zoning Ordinance states, "No person shall reapply for the same or substantially the same use permit on the same or substantially the same plot, lot, or parcel of land within a period of one (1) year from the date of denial of said use permit."  Recommendation(s) by Board(s) or Commission(s) At the regular meeting on November 8, 2021, the Planning and Zoning Commission expressed concern about the proposed driveway access at Saguaro Blvd., particularly with regard to left turns onto Saguaro, and questioned if there was a traffic study performed with the SUP request. Staff stated that there is no traffic study currently available, but may be required with the site plan submittal, should the Commission move to recommend approval. Subsequently, the Commission moved to recommend approval of the SUP request with a 7-0 vote, with the added stipulation that a traffic impact statement be included for review by the Town Engineer, who would be expected to determine if any traffic control measures are needed to accommodate safe access to and from the development. The Planning and Zoning Commission is not involved in the extension of a SUP. At the December 7, 2021, Town Council meeting, Council voted (5-2) to approve the Special Use Permit as presented, with the following stipulations:  Applicant shall provide a traffic impact statement (TIS) with the site plan submittal. The TIS shall be prepared by a registered professional engineer, and shall demonstrate safe ingress and egress at the site and any if mitigation measures shall be taken to ensure traffic safety. 1. The site plan shall incorporate any recommendations for traffic mitigation as determined by the Town Engineer based on the review and approval of the TIS. 2. Staff Recommendation(s) There have been no significant changes to the area that impact the previous approval.  Therefore, staff supports extension of this Special Use Permit subject to the same conditions as the initial approval. SUGGESTED MOTION MOVE to approve a six-month extension to the Special Use Permit to allow residential uses at 9637 N. Saguaro Blvd for a maximum of 17 dwelling units, subject to the stipulations approved by Council on December 7, 2021. Attachments Vicinity map  Applicant Extension Request  12_7_21 Staff Report  Site Plan and Elevations  Narrative  Form Review Inbox Reviewed By Date Development Services Director John Wesley 06/08/2022 10:23 AM Town Manager Grady E. Miller 06/14/2022 07:29 AM Form Started By: Farhad Tavassoli Started On: 06/08/2022 08:38 AM Final Approval Date: 06/14/2022  Vicinity CASE: SU2021-05 SITE / ADDRESS: 9637 N Saguaro Blvd APN#176-10-805 REQUEST: A Special Use Permit to allow a development of a residential community. All that is Ariz on a FO U N TAIN HIL L S TOWN OF INC. 1989 MCDOWELL MOUNTAIN REGIONAL PARK SALT RIVER PIMA - MARICOPA INDIAN COMMUNITY FO R T M C D O W E L L Y A V A P A I N A T I O N SC O T T S D A L E S H E A B L V D SAG U A R O B L V D Site Location Vicinity MapMap ::SU2021-05SU2021-05 CaseCase DetailsDetails ITEM 8. E. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 12/07/2021 Meeting Type: Town Council Combined Regular Meeting/Work Session Agenda Type: Regular Agenda Submitting Department: Development Services Prepared by: Farhad Tavassoli, Senior Planner Staff Contact Information: Farhad Tavassoli, Senior Planner Request to Town Council Combined Regular Meeting/Work Session (Agenda Language):   PUBLIC HEARING, CONSIDERATION, AND POSSIBLE ACTION: SPECIAL USE PERMIT to allow 17 residential units on a 1.62-acre property generally located north of the northeast corner of N. Saguaro Boulevard and E. Shea Boulevard (AKA 9637 N. Saguaro Boulevard; APN#176-10-805) on the C-1 (Neighborhood Commercial) zoning district. Staff Summary (Background) The 1.62-acre subject property, located north of the northeast corner of Saguaro and Shea Blvd., is vacant and zoned C-1 (Neighborhood Commercial and Professional). This zoning is established to provide a location for modest, well-designed commercial enterprises to serve the surrounding neighborhood, such as medical offices, banks, food establishments and retail. The subject property is part of the Redrock Business Center, which was originally platted in 1972 and re-platted in its current configuration in 1997. Currently, among other things, the center houses indoor car showroom, a fraternal order, a butcher shop and a wellness center.  The Monterro condominium neighborhood is adjacent to the north, and the former MCO realty office is to the south. The applicant is proposing a small development with 5 townhome-style buildings consisting of a total of 17, three-story residential units. The bottom floors of each unit will contain a two-car garage, while the second floor contains the majority of the living area and balcony. The purpose for the special use permit request is to allow a residential use in a commercial district, as required by the zoning ordinance. The alternative would be to rezone the property to an appropriate multiple-family zoning district.  The applicant has chosen the Special Use Permit option due to this lot being part of the larger business center.   The primary ingress/egress will be off of Saguaro Blvd, with limited access from the interior of the Redrock Business Center. The applicant will maintain a 20-foot building setback from the Monterro condominiums to the north, which is the required building setback to a residentially zoned property, and will contain a landscaped open area. The applicant has provided building elevations to show facade treatment, wall articulation, and other modern architectural elements.  Section II of the Fountain Hills General Plan 2020 discusses the elements that help create thriving neighborhoods.  One of the items listed is having a variety of housing types.  This section includes policies to encourage a broad range of housing types affordable to all income ranges and a range of housing types and densities consistent with the character area.  Section III of the General Plan includes the information on the Character Areas in the Town.  This small commercial parcel was included as part of the Shea Corridor and a Secondary Gateway to the Town.  More specifically, the Shea Corridor character area anticipates increasing the mix of uses which will include some multi-residential uses and an integrated environment.  This area is to focus on infill and redevelopment and “invite residents and visitors to explore the Town.”  Allowing the proposed residential use would be consistent with the intent of the Plan for this area by accommodating new residents and thus inviting new clientele for existing and future businesses. The zoning ordinance Section 12.03 allows consideration of residential uses in all commercial zoning districts with the approval of a Special Use Permit (SUP).  Section 2.02 of the zoning ordinance establishes the process and criteria for consideration of a SUP.  With regards to the review and recommendation by the Planning and Zoning Commission, Section 2.02 D. 5. of the Zoning Ordinance states:  5. In order to recommend approval of any use permit, the findings of the Commission must be that the establishment, maintenance, or operation of the use or building applied for will not be detrimental to the public health, safety, peace, comfort, and general welfare of persons residing or working in the neighborhood of such proposed use, nor shall it be detrimental or injurious to property and improvements in the neighborhood or to the general welfare of the Town.  This area has been zoned and platted prior to incorporation of the Town for commercial uses.  It is still the desire of the Town that the Redrock Business Center continue to be successful.  The Planning and Zoning Commission must determine if the introduction of residential uses to this area of the Redrock Business Center would be detrimental to the desired commercial activity and whether the residential use would be detrimental to the public health, safety, peace, or comfort of the neighborhood.   A review of this property shows that over its almost 50-year history it has not fully developed and has been considerably underutilized.  The property was the subject of another recent special use permit request for a 67-room hotel in March 2020. There was significant opposition to the project, and request was recommended for denial by a unanimous vote by the Commission. The applicant withdrew the application before moving forward to the Town Council hearing.  Should the Town Council approve the Special Use Permit, staff will continue to work with the applicant on details related to the site plan, grading and drainage plan, and required landscaping before filing for a building permit. Related Ordinance, Policy or Guiding Principle Zoning Ordinance Section 2.02 - Special Use Permits Zoning Ordinance Section 12.03 - Uses Subject to Special Use Permits in the C-1, C-C, C-2, and C-3 Zoning Districts General Plan 2020, Section II: Thriving Neighborhoods General Plan 2020 Character Areas, Table 1 Character Area Plan Risk Analysis N/A N/A Recommendation(s) by Board(s) or Commission(s) At the regular meeting on November 8, 2021, the Planning and Zoning Commission expressed concern about the proposed driveway access at Saguaro Blvd., particularly with regard to left turns onto Saguaro, and questioned if there was a traffic study performed with the SUP request. Staff stated that there is no traffic study currently available, but may be required with the site plan submittal, should the Commission move to recommend approval. Subsequently, the Commission moved to recommend approval of the SUP request with a 7-0 vote, with the added stipulation that a traffic impact statement be included for review by the Town Engineer, who would be expected to determine if any traffic control measures are needed to accommodate safe access to and from the development. Staff Recommendation(s) Staff supports a recommendation for approval of this Special Use Permit.  Based on the Planning and Zoning Commission discussion and recommendation, staff recommends including the following stipulations:  Applicant shall provide a traffic impact statement (TIS) with the site plan submittal. The TIS shall be prepared by a registered professional engineer, and shall demonstrate safe ingress and egress at the site and any if mitigation measures shall be taken to ensure traffic safety. 1. The site plan shall incorporate any recommendations for traffic mitigation as determined by the Town Engineer based on the review and approval of the TIS. 2. SUGGESTED MOTION MOVE to approve the Special Use Permit to allow residential uses at 9637 N. Saguaro Blvd for a maximum of 17 dwelling units, subject to the stipulations as recommended by staff and the Planning and Zoning Commission. Attachments Vicinity map  Site Plan and Elevations  Narrative  Form Review Inbox Reviewed By Date Development Services Director John Wesley 11/17/2021 01:58 PM Form Started By: Farhad Tavassoli Started On: 11/16/2021 04:10 PM Final Approval Date: 11/17/2021  ITEM 7. C. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Administration Prepared by: David Trimble, Deputy Town Manager/Admin. Serv. Dir. Staff Contact Information: David Trimble, Deputy Town Manager/Admin. Serv. Dir. Request to Town Council Regular Meeting (Agenda Language):  CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-33, approving Intergovernmental Agreement amendments with the Regional Public Transit Authority relating to the RideChoice Transportation Services program and for bus services on Route 515 in Fountain Hills. Staff Summary (background) The Town has two transit options, both are provided through intergovernmental agreements (IGAs) with the Regional Public Transportation Authority (RPTA); and funded using regionally allocated public transportation funds. One of the two transit options is the Express Bus route service (#515) which travels twice in the morning and twice in the afternoon between the park and ride bus stop at the library by Town Hall and the Gilbert Road & McDowell Rd/Route 202 park and ride. The other transit option is the RideChoice program. RideChoice is an on-demand discounted transportation service including Uber, taxicabs, and other wheelchair-accessible vehicles. It is available to disabled residents and all age 65+. Both programs are currently funded with two regional sources that can only be used for public transportation purposes. First, the Town receives funding through the countywide .5% sales tax fund (Prop 400 / Public Transportation Fund). The second source is the Arizona Lottery Fund. The expenses for both the Express Bus service and the RideChoice programs are currently projected to be fully funded with these two existing funding sources (Prop 400 and the Arizona Lottery Fund), and therefore no Town general fund monies are projected to be spent for these programs. The annual Intergovernmental Agreements (IGAs) proposed, one for the current fiscal year and one for the upcoming fiscal year are a continuation of current services that have generally been in place since FY 2014-15, and do not represent any changes at this time.   Background of #515 Express Bus Service  Began October of 2021 as a three-year pilot program, based on RPTA’s recommendation. Town cost not dependent on ridership, as most costs are fixed. Replaced the #514 Scottsdale Express in order to allow riders quicker options to connect with the existing network of bus and light rail options throughout the region. #515 Express leaves at 6:04 & 7:04 AM from Fountain Hills. #515 Express arrives in Fountain Hills at 5:27 & 6:41 PM. Yearly cost approximately $93,000 (currently paid with regional public transportation allocation – no general fund monies). Initial cost estimates were higher due to three trips per day expected; however with only two trips per day the #515 Express cost appears to be sustainable with current regional funding. Ridership has been lower than expected. RPTA’s study showed as many as 36 daily riders, however only one rider has consistently utilized the service so far. Background of RideChoice  Town cost of the RideChoice program is dependent on ridership. Yearly cost is estimated to be approximately $34,000. Town cost of RideChoice per ride: currently about $22 per ride (currently paid with regional public transportation allocation – no general fund monies). Ridership has increase recently as more residents understand the more affordable, monthly “Mileage Option” that has been in place since the beginning of 2020. RideChoice “Mileage Option”: Riders pay $3 each way. (50 mile limit per ride; 400 mile limit per month)   Estimates are for approximately 1,500 total rides for the fiscal year.  If ridership continues to increase, the Town may need to subsidize the program with general fund monies, or look at other funding options. Background of Public Transportation Funds (PTF)  Allocated based on population. Town allocation is approximately $70k per year. Does not require a yearly application / financial reporting other than listing in the IGA. Utilized as an offset to charges incurred, so no check is distributed. Must be allocated toward public transportation projects that meet Americans with Disabilities Act (ADA) requirements. Background of Arizona Lottery Fund (formerly LTAF II)  Town allocation has averaged approximately $60k per year; based on population. Must submit financial reports and application yearly. Use or Lose (must pay back if not used in three years - no new monies will be distributed if all previous monies have not been spent). Must be spent on public transportation. Not required to be spent on ADA accessible projects. Background of Regional Public Transportation Authority RPTA is the regional transit agency for Maricopa County. Created in 1985 with the passage of Proposition 300, RPTA is a political subdivision of Arizona overseen by a 19-member board of elected officials. Membership is open to all municipalities in Maricopa County and to the County government. The current Valley Metro RPTA Board comprises Avondale, Buckeye, Chandler, El Mirage, Fountain Hills, Gilbert, Glendale, Goodyear, Maricopa County, Mesa, Peoria, Phoenix, Queen Creek, Scottsdale, Surprise, Tempe, Tolleson, Wickenburg, and Youngtown. With the passage of Proposition 400 in November 2004, RPTA is the recipient of the transit portion of the twenty-year countywide 0.5% sales tax fund commencing in 2006 and running through 2025. The Fountain Hills Town Council voted for the Town to become a member of RPTA in December of 2017. Since then, the Town has had a seat on the RPTA Board of Directors. There is no fee to be a member municipality in RPTA. Related Ordinance, Policy or Guiding Principle Transit services Risk Analysis NA Recommendation(s) by Board(s) or Commission(s) Staff Recommendation(s) Approve. SUGGESTED MOTION MOVE to adopt Resolution 2022-33. Fiscal Impact Fiscal Impact:$0 Budget Reference:60 Funding Source:Regional Public Transportation Funds If Multiple Funds utilized, list here:Prop 400 Regional Funds, Arizona Lottery Fund Budgeted: if No, attach Budget Adjustment Form:Yes Attachments Resolution  2021-22 IGA  2022-23 IGA  Form Review Inbox Reviewed By Date Finance Director David Pock 05/31/2022 04:33 PM Town Attorney Aaron D. Arnson 06/08/2022 04:37 PM Town Manager Grady E. Miller 06/13/2022 06:05 PM Form Started By: David Trimble Started On: 05/27/2022 10:43 AM Final Approval Date: 06/13/2022  RESOLUTION 2022-33 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, APPROVING AMENDMENTS TO THE INTERGOVERNMENTAL AGREEEMENTS WITH THE REGIONAL PUBLIC TRANSPORTATION AUTHORITY RELATING TO TRANSIT SERVICES. BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS as follows: SECTION 1. The Amendments to the Intergovernmental Agreements with the Regional Public Transportation Authority relating to transit services (the “Amendments”) are hereby approved in substantially the form and substance attached hereto as Exhibit A and incorporated herein by reference. SECTION 2. The Mayor, the Town Manager, the Town Clerk and the Town Attorney are hereby authorized and directed to cause the execution of the Amendments and to take all steps necessary to carry out the purpose and intent of this Resolution. PASSED AND ADOPTED by the Mayor and Council of the Town of Fountain Hills, Arizona, June 21, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: __________________________________ ________________________________ MAYOR TOWN CLERK REVIEWED BY: APPROVED AS TO FORM: __________________________________ ________________________________ Town Manager Town Attorney PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills, Arizona, June 7, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: 1 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2022 TRANSIT SERVICES AMENDMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND THE REGIONAL PUBLIC TRANSPORTATION AUTHORITY CONTRACT # 124-75-2022 THIS AMENDMENT dated this 1st day of July, 2021, amends the following items of the Transit Service Agreement Contract # 124-75-2019 entered into between the Town of Fountain Hills and the Regional Public Transportation Authority, dated the 1st day of July 2014 as amended July 1, 2015, July 1, 2017, and July 1, 2018 and July 1, 2019. The following Schedules amend those Schedules of the agreement entered into July 1, 2019. The attached Schedule D amends Schedule D entered into July 1, 2019. The attached Schedule E amends Schedule E entered into July 1, 2019. The following Schedules are added to the agreement entered into July 1, 2014, as amended: The attached Schedule A The attached Schedule B All other terms of the Parties Transit Services Agreement dated July 1, 2014, remain unchanged and in full force and effect. 2 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2022 IN WITNESS WHEREOF, the Parties have each executed this Agreement as of the date first set forth above. REGIONAL PUBLIC TRANSPORTATION AUTHORITY (RPTA) By: _______________________________________ Jessica Mefford-Miller, Chief Executive Officer APPROVED AS TO FORM: By: ________________________________________________ Regional Public Transportation Authority, General Counsel TOWN OF FOUNTAIN HILLS (MEMBER) By: __________________________________________ Grady E. Miller, Town Manager By: Elizabeth Klein, Town Clerk APPROVED AS TO FORM: By: __________________________________________ Aaron D. Arnson, Town Attorney 3 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2022 SCHEDULE “A” REGIONALLY FUNDED FIXED ROUTE BUS SERVICE FY2021 - 2022 Regionally Funded Fixed Route Bus Service $0.00 (including express) The above line represents the value of transit service paid for by Proposition 400 funds to the benefit of the Town of Fountain Hills The calculation to derive this figure is daily revenue miles of service x number of service days x cost per revenue mile of service. 4 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2022 SCHEDULE “B” – TOWN FUNDED FIXED ROUTE BUS SERVICE FY2021 - 2022 For the period July 1, 2021 to June 30, 2022 the Town of Fountain Hills will pay the Regional Public Transportation Authority $69,117.00 for bus service on Route 515 in Fountain Hills. Payments made by the TOWN to RPTA for operation of Bus Routes depicted in Schedule B shall consist of four (4) monthly installments of $17,279.25 commencing July 1, 2021 and shall become due within thirty (30) days of receiving an invoice from the RPTA. 5 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2022 SCHEDULE “D” – RIDE CHOICE FY2021 - 2022 The Town of Fountain Hills agrees to participate and financially support the RideChoice Transportation Services program for Fiscal Year 2021-2022. The Town of Fountain Hills shall fund this project in the amount of $31,143.00 for the period July 1, 2021 to June 30, 2022. The Town of Fountain Hills will pay the RPTA for the project in twelve (12) monthly installments of $2,595.25. Payment of invoices shall become due within thirty (30) calendar days after the receipt of an invoice from RPTA. FY22 RideChoice Service Funded by Town of Fountain Hills RideChoice Trips: Ride Choice Trips 1,109 Total Trips 1,109 Cost: Contractor Transportation Cost $32,865 RPTA Salaries, Fringes & OHD $1,454 Total Gross Program Cost $34,319 Total Fare Revenue ($3,176) Total Net Program Cost $31,143 Member City Contributions: RideChoice Costs $31,143 Total Member City Contribution $31,143 6 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2022 SCHEDULE “E” – AMERICANS WITH DISABILITIES ACT (ACT) – PUBLIC TRANSPORTATION FUNDS (PTF) AVAILABILITY FY 2021-22 For the period July 1, 2021, to June 30, 2022, the maximum amount of Public Transportation Funds (PTF) available for the Town of Fountain Hills is $0.00. The PTF will pay actual costs for ADA trips and other requests for Paratransit service made by ADA certified Riders up to the maximum amount. A final reconciliation at fiscal year-end will be performed and adjustments, if necessary, will be made using actual ADA eligible costs. Any remaining ADA PTF funds not used up to the maximum reimbursements may be requested by Town for other ADA certified rider eligible expenses, and certified by the Town’s chief financial officer or designee. RPTA will reimburse Town within thirty (30) business days based upon availability of funds. Town may request that reimbursements be made electronically. Wire transfers must be pre-arranged through the RPTA Finance Department. Maximum amount FY 2021-22 $0.00 1 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2023 TRANSIT SERVICES AMENDMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND THE REGIONAL PUBLIC TRANSPORTATION AUTHORITY CONTRACT # 124-75-2023 THIS AMENDMENT dated this 1st day of July, 2022, amends the following items of the Transit Service Agreement Contract # 124-75-2021 entered into between the Town of Fountain Hills and the Regional Public Transportation Authority, dated the 1st day of July 2014 as amended July 1, 2015, July 1, 2017, and July 1, 2018 , July 1, 2019, and July 1, 2021. The following Schedules amend those Schedules of the agreement entered into July 1, 2021. The attached Schedule A amends Schedule A entered into July 1, 2021. The attached Schedule B amends Schedule B entered into July 1, 2021 The attached Schedule D amends Schedule D entered into July 1, 2021. The attached Schedule E amends Schedule E entered into July 1, 2021. All other terms of the Parties Transit Services Agreement dated July 1, 2014, remain unchanged and in full force and effect. 2 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2023 IN WITNESS WHEREOF, the Parties have each executed this Agreement as of the date first set forth above. REGIONAL PUBLIC TRANSPORTATION AUTHORITY (RPTA) By: _______________________________________ Jessica Mefford-Miller, Chief Executive Officer APPROVED AS TO FORM: By: ________________________________________________ Regional Public Transportation Authority, General Counsel TOWN OF FOUNTAIN HILLS (MEMBER) By: __________________________________________ Grady E. Miller, Town Manager By: Elizabeth Klein, Town Clerk APPROVED AS TO FORM: By: __________________________________________ Aaron D. Arnson, Town Attorney 3 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2023 SCHEDULE “A” REGIONALLY FUNDED FIXED ROUTE BUS SERVICE FY2022 - 2023 Regionally Funded Fixed Route Bus Service $0.00 (including express) The above line represents the value of transit service paid for by Proposition 400 funds to the benefit of the Town of Fountain Hills The calculation to derive this figure is daily revenue miles of service x number of service days x cost per revenue mile of service. 4 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2023 SCHEDULE “B” – TOWN FUNDED FIXED ROUTE BUS SERVICE FY2022 - 2023 For the period July 1, 2022 to June 30, 2023 the Town of Fountain Hills will pay the Regional Public Transportation Authority $93,088.00 for bus service on Route 515 in Fountain Hills. Payments made by the TOWN to RPTA for operation of Bus Routes depicted in Schedule B shall consist of twelve (12) monthly installments of $7,757,33 commencing July 1, 2022 and shall become due within thirty (30) days of receiving an invoice from the RPTA. 5 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2023 SCHEDULE “D” – RIDE CHOICE FY2022 - 2023 The Town of Fountain Hills agrees to participate and financially support the RideChoice Transportation Services program for Fiscal Year 2022-2023. The Town of Fountain Hills shall fund this project in the amount of $34,189.00 for the period July 1, 2022 to June 30, 2023. The Town of Fountain Hills will pay the RPTA for the project in twelve (12) monthly installments of $2,849.08. Payment of invoices shall become due within thirty (30) calendar days after the receipt of an invoice from RPTA. FY23 RideChoice Service Funded by Town of Fountain Hills RideChoice Trips: Ride Choice Trips 1,500 Total Trips 1,500 Cost: Contractor Transportation Cost 36,646$ RPTA Salaries, Fringes & OHD $2,346 Total Gross Program Cost 38,992$ Total Fare Revenue (4,803)$ Total Net Program Cost before PTF 34,189$ Member City Contributions: RideChoice Costs 34,189$ Total Member City Contribution 34,189$ 6 FOUNTAIN HILLS TRANSIT SERVICES IGA FY 2023 SCHEDULE “E” – AMERICANS WITH DISABILITIES ACT (ACT) – PUBLIC TRANSPORTATION FUNDS (PTF) AVAILABILITY FY 2022-23 For the period July 1, 2022, to June 30, 2023, the maximum amount of Public Transportation Funds (PTF) available for the Town of Fountain Hills is $0.00. The PTF will pay actual costs for ADA trips and other requests for Paratransit service made by ADA certified Riders up to the maximum amount. A final reconciliation at fiscal year-end will be performed and adjustments, if necessary, will be made using actual ADA eligible costs. Any remaining ADA PTF funds not used up to the maximum reimbursements may be requested by Town for other ADA certified rider eligible expenses, and certified by the Town’s chief financial officer or designee. RPTA will reimburse Town within thirty (30) business days based upon availability of funds. Town may request that reimbursements be made electronically. Wire transfers must be pre-arranged through the RPTA Finance Department. Maximum amount FY 2022-23 $0.00 ITEM 7. D. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent                  Submitting Department: Administration Prepared by: Amanda Jacobs, Economic Development Director Staff Contact Information: Request to Town Council Regular Meeting (Agenda Language):  CONSIDERATION AND POSSIBLE ACTION: Request to apply and take receipt of Prop 202 Grant Funding from Salt River Pima-Maricopa Indian Community. Staff Summary (Background) In order to market and promote the community, the Economic Development Department depends heavily upon grant funding from the Arizona Office of Tourism (Proposition 302), Fort McDowell Yavapai Nation, and the Salt River Pima-Maricopa Indian Community (Proposition 202). Staff is seeking approval to apply for Prop 202 Grant Funding from the Salt River Pima-Maricopa Community in the amount of $50,000 for FY2022/23.The Economic Development and Community Services Departments have undertaken significant marketing and advertising efforts to encourage visitors to come to the Town. Previous marketing efforts include scoreboard advertisements during spring training and in the past year the grant funding assisted in the expansion of the Music Fest from a one-day event to a two-day event. If awarded the grant funding this year, the funds would support efforts to expand our special events and the Town's arts and cultural offerings.   Related Ordinance, Policy or Guiding Principle 2022 Town of Fountain Hills Strategic Plan Priorities: Targeted Collaborative Economic Development and Promote the Long-Term Financial Sustainability of Town Infrastructure, Environmental and Social Resources. Risk Analysis Grants provide funding to support economic development and tourism initiatives for the Town of Fountain Hills. Failure to receive funding will result in less funding available for marketing and promotion of the community, which may impact the number of visitors to Fountain Hills resulting in a loss of bed and sales tax revenue.  Recommendation(s) by Board(s) or Commission(s) N/A  Staff Recommendation(s) Staff recommends approval. SUGGESTED MOTION MOVE to approve staff to apply and take receipt of Prop 202 grant funding from the Salt River Pima-Maricopa Indian Community to support the Town's economic development and tourism efforts. Form Review Inbox Reviewed By Date Finance Director David Pock 06/14/2022 08:12 AM Town Attorney Aaron D. Arnson 06/14/2022 08:46 AM Town Manager Grady E. Miller 06/14/2022 09:49 AM Form Started By: Amanda Jacobs Started On: 06/13/2022 05:23 PM Final Approval Date: 06/14/2022  ITEM 8. A. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda                  Submitting Department: Community Services Prepared by: Patti Lopuszanski, Executive Assistant Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language):  CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-32 Repealing Resolution 2022-02 Adopting a New Fountain Lighting Policy. Staff Summary (Background) Fountain Hills Town Council adopted Resolution 2022-02 on January 4, 2022, approving the Fountain Lighting Policy. The policy provided, among other things, for consideration of lighting requests from the public under limited circumstances.   Since the approval of the policy, the U.S. Supreme Court released its opinion in Shurtleff v. City of Boston. The Shurtleff case involved the City of Boston’s denial of a private group’s application to fly its flag on one of three City-owned flagpoles in front of City Hall. The central issue, in that case, was whether the City had sufficiently limited its messaging, such that the flags flown on the flagpole were “government speech” that the City could control, or whether the City had effectively relinquished control, such that the flags flown on the flagpole amounted to private speech that the City could no longer control. After undertaking a “holistic inquiry” of several factors, including the degree to which the City “actively shaped or controlled the expression,” the Court found that the flags flown on this flagpole were not government speech, and therefore the group’s request could not be rejected. In effect, the City had lost the ability to control the messaging on its own property.   Shurtleff directly affects the Town’s recently adopted policy, in that it puts the Town at risk of inadvertently relinquishing control over its messaging in lighting the Fountain. It puts a heavy burden on staff to make determinations as to which messages will be permitted and which will not, and it subjects the Town to the Court’s less-defined holistic inquiry in the event of a legal challenge.   In light of Shurtleff, staff recommends that the Council amend the policy to eliminate the option for public requests for lighting of the Fountain. This option allows the Town to retain exclusive control over the lighting of the Fountain. It is simple for staff to apply, easy to enforce, and effectively eliminates legal risk of challenge. Staff recommends the adoption of the Resolution as presented. Based on this new case law, it is necessary to repeal Resolution 2022-02 and replace it with Resolution 2022-32.  Related Ordinance, Policy or Guiding Principle Fountain Lighting Policy Risk Analysis If the policy is not repealed or amended, the Town is vulnerable to potential legal action or litigation as outlined in the precedent set by Shurtleff v. City of Boston. Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approval of Resolution 2022-32 Repealing Resolution 2022-02 and Adopting a New Fountain Lighting Policy. SUGGESTED MOTION MOVE to approve Resolution 2022-32 as presented Attachments Lighting Policy presentation  Resolution 2022-32 - Fountain Lighting Policy Revised  Resolution 2022-02 Approved by Council 01.05.22  Form Review Inbox Reviewed By Date Community Services Director Rachael Goodwin 06/08/2022 02:55 PM Finance Director David Pock 06/08/2022 04:02 PM Town Attorney Aaron D. Arnson 06/08/2022 04:37 PM Town Manager Grady E. Miller 06/13/2022 06:06 PM Form Started By: Patti Lopuszanski Started On: 05/23/2022 11:29 AM Final Approval Date: 06/13/2022  TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV Fountain Lighting Policy Revision Rachael Goodwin, Community Services Director WWW.FOUNTAINHILLSAZ.GOV U.S Supreme Court Opinion Shurtleff v. City of Boston •Following the January approval of the Fountain Lighting Policy, the U.S. Supreme Court released its opinion in Shurtleff v. City of Boston. •The Shurtleff case involved the City of Boston’s denial of a private group’s application to fly its flag on one of three City-owned flagpoles in front of City Hall. •The Court found that the flags flown on this flagpole were not government speech, and therefore the group’s request could not be rejected. •In effect, the City had lost the ability to control the messaging on its own property. WWW.FOUNTAINHILLSAZ.GOV Shurtleff directly affects the Town’s recently adopted policy, in that it: •Puts the Town at risk of inadvertently relinquishing control over its messaging in lighting the Fountain. •Puts a heavy burden on staff to make determinations as to which messages will be permitted and which will not, and •Subjects the Town to the Court’s less-defined holistic inquiry in the event of a legal challenge. Therefore, updated Policy language includes: •“In some instances, with the authorization of the Town Manager, local events, happenings or celebrations may be added to the fountain color lighting calendar, in the sole discretion of the Town Manager or his/her designee.” •“Public requests for fountain lighting will not be accepted.” RESOLUTION 2022-32 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, ADOPTING THE REVISED FOUNTAIN PARK FOUNTAIN LIGHTING POLICY ENACTMENTS: BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF FOUNTAIN HILLS, as follows: SECTION 1. The Fountain Park Fountain Lighting Policy is hereby revised, as substantially set forth in Exhibit A attached hereto, and will repeal Resolution 2022-02 dated January 4, 2022. SECTION 2. The Mayor, the Town Manager, the Town Clerk, and the Town Attorney are hereby authorized and directed to take all steps necessary to carry out the purpose and intent of this Resolution. PASSED AND ADOPTED by the Mayor and Council of the Town of Fountain Hills, Arizona, this 21st day of June, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Pierce Coleman PLLC Town Attorney RESOLUTION NO. 2022-32 PAGE 2 EXHIBIT ‘A’ REVISED FOUNTAIN PARK FOUNTAIN LIGHTING POLICY Policy: Establish an internal operating procedure for the fountain lighting options at Fountain Park. Background: The fountain lights require manual programming, generally overseen by Parks staff. When display colors are changed, staff time and presence are required to begin and end the display period. Visibility of the lights is limited to evening hours, therefore viewing times will vary seasonally. Colors are not detectable during daytime hours. The Fountain controller has the capability of displaying in two basic modes:  Static Color Mode: one color, to be continuously displayed throughout the duration of the fountain run time.  Variable Color Mode: multiple colors that change throughout the fountain run time. It is recognized that lighting the fountain in various colors is a special and unique occasion. In order to preserve the distinct and exceptional nature of these events, lighting will be kept to a minimum. Lighting for any occasion requires the approval of the Town Manager or his/her designee. Standard Operation: Staff, at the direction of the Town Council and/or Town Manager, will plan to utilize the fountain lighting system for annual holidays and observances. Appropriate color choices will be used to highlight the significance and show support, advocacy, or celebration of the occasion. In some instances, with the authorization of the Town Manager, local events, happenings, or celebrations may be added to the fountain color lighting calendar, at the sole discretion of the Town Manager or his/her designee. Public Requests: Public requests for fountain lighting will not be accepted. RESOLUTION 2022-02 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, ADOPTING THE FOUNTAIN PARK FOUNTAIN LIGHTING POLICY ENACTMENTS: BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF FOUNTAIN HILLS, as follows: SECTION 1. The Fountain Park Fountain Lighting Policy is hereby adopted, as substantially set forth in Exhibit A attached hereto. SECTION 2. The Mayor, the Town Manager, the Town Clerk, and the Town Attorney are hereby authorized and directed to take all steps necessary to carry out the purpose and intent of this Resolution. PASSED AND ADOPTED by the Mayor and Council of the Town of Fountain Hills, Arizona, this 7th day of December, 2021. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Pierce Coleman PLLC Town Attorney RESOLUTION NO. 2022-02 PAGE 2 EXHIBIT ‘A’ FOUNTAIN PARK FOUNTAIN LIGHTING POLICY Policy: Establish an internal operating procedure for the fountain lighting options at Fountain Park. Background: The fountain lights require manual programming, generally overseen by Parks staff. When display colors are changed, staff time and presence are required to begin and end the display period. Visibility of the lights is limited to evening hours, therefore viewing times will vary seasonally. Colors are not detectable during daytime hours. The Fountain controller has the capability of displaying in two basic modes:  Static Color Mode: one color, to be continuously displayed throughout the duration of the fountain run time.  Variable Color Mode: multiple colors that change throughout the fountain run time. It is recognized that lighting the fountain in various colors is a special and unique occasion. In order to preserve the distinct and exceptional nature of these events, lightings will be kept to a minimum and require Town Manager, or designee, approval. Standard Operation: Staff, at the direction of the Town Council and/or Town Manager, will plan to utilize the fountain lighting system for annual holidays and observances. Appropriate color choices will be used to highlight significance and show support, advocacy, or celebration of the occasion. In some instances, with the authorization of the Town Manager, local events, happenings or celebrations may be added to the fountain color lighting calendar. Public Requests: Public requests for fountain lighting will be accepted on an extremely limited basis. These requests may not be for personal or professional use, and must adhere to the following process:  Requests for Special Color Displays must be submitted in writing to the Community Services Department, no less than four weeks and no more than one year in advance of the date requested.  Upon review by Town staff, applicants will be notified of the approval or denial of the request within 10 days of submission.  Approved applications must meet one of the following criteria: o The lighting request is intended to educate or enlighten the public about a significant health or safety issue or emphasize a recognized awareness campaign. (Examples include: Domestic Violence Awareness, Cancer Awareness, etc.) o The lighting request is intended to draw public attention to an activity or event held by or partnered with the Town of Fountain Hills. o The lighting promotes a local, state, or national holiday or day of remembrance not already recognized. RESOLUTION NO. 2022-02 PAGE 3 Other Standard Guidelines: The following guidelines will also be in effect for any approved public lighting requests:  No more than four (4), Fountain Color Displays will be allowed within any calendar month.  Each fountain lighting request will be permitted to last up to four nights, with the exception of national holidays and national health observations, which may be extended at the discretion of the Community Services Director. A weekday block, (Monday through Thursday) or weekend block (Friday through Sunday) will be used.  Approvals will not be granted for multiple years, nor will they be automatically approved for successive years.  Every attempt will be made to meet the color choice request, however the Town cannot guarantee all colors will be precise. Color choices, or combinations thereof include: Red, Blue, Teal, Yellow, White, Green, Orange, Pink and Purple.  The fountain operates daily from 9:00 am to 9:00 pm and is subject to wind and other natural factors. Lighting requests will not be rescheduled or amended if the fountain operations are altered due to wind.  All display approvals are contingent upon equipment operation and maintenance. No lighting request approval is guaranteed for any reason ITEM 8. B. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda                  Submitting Department: Administration Prepared by: Linda Mendenhall, Town Clerk Staff Contact Information: Request to Town Council Regular Meeting (Agenda Language):  DISCUSSION WITH POSSIBLE DIRECTION: Relating to any item included in the League of Arizona Cities and Towns’ weekly Legislative Bulletin(s) or relating to any action proposed or pending before the State Legislature. Staff Summary (Background) This is a regularly recurring agenda item on the Town Council agenda during the legislative session.  The goal of this agenda item is to obtain consensus from the Mayor and Council on legislative bills and to provide direction, if any, to staff to communicate the Town's position on the bills.  Each Council meeting the Legislative Bulletin will be attached to the Town Council agenda which will include legislative analyses of the bills and their impacts on municipalities.  The Mayor and Council will have an opportunity to review the bills that are under consideration in the Arizona State Legislature and provide direction on supporting or opposing the bills.  The Mayor and Council may also bring up other bills of interest to the Town of Fountain Hills for discussion that are not listed in the Legislative Bulletin.   Last November the Town Council approved the 2022 Legislative Policy Agenda which identified the major legislative priorities of the Town Council. The 2022 Legislative Policy Agenda document and the most recent Legislative Bulletins will also be included during the 2022 Legislative Session. Related Ordinance, Policy or Guiding Principle Council adopted 2022 Legislative Policy Agenda Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) N/A SUGGESTED MOTION MOVE to provide staff direction on one or more bills being considered by the State Legislature. Attachments 2022 Legislative Policy Agenda  Bulletin_20  Bulletin_21  Bulletin_22  Form Review Inbox Reviewed By Date Town Manager Grady E. Miller 06/13/2022 06:03 PM Form Started By: Linda Mendenhall Started On: 06/06/2022 08:10 AM Final Approval Date: 06/14/2022  1 2022 State Legislative Agenda The Town Council of Fountain Hills Prepared by Jack W Lunsford The Lunsford Group 2 Mission To enrich and provide an active quality of life for all residents and visitors through proactive community engagement, resolute stewardship of amenities and open spaces, and the enhancement of the overall health and well-being of our town. Strategic Priorities The Fountain Hills Strategic Plan is based on the following key goals or strategic priorities: Maximizing Economic Development Opportunities in Fountain Hills o Ensuring that Infrastructure in Fountain Hills is Well-Maintained and Safe o Attracting Families and Working Professionals o Ensuring that Fountain Hills Finances are Stable and Sustainable o Focusing on Strengthening the Community and Improving the Town’s Quality of Life 2022 Legislative Resolutions League of Arizona Cities and Towns (Endorsed and Supported)  AMEND state statute to specify a period when cities and towns may prohibit the use of permissible fireworks and modify definitions of illegal and permissible fireworks.  AMEND statute to allow cities and towns to amend their budgets after the initial budget has passes while following notice and hearing statutes and with strong oversight and approval requirements.  SEEK legislative and/or non-legislative solutions, working with housing and homeless advocates, the Department of Housing, and state legislators, to provide local governments, regional partners, and continuum of care providers additional resources to combat street homelessness in our communities.  SIMPLIFY the statutory mechanisms to dissolve water and wastewater districts once an area incorporates or gets annexed to relieve the tax burden on the citizens, if the town or town provides the same service that had been performed by the district, or the district service is no longer needed. 3 Town of Fountain Hills 2022 State Legislative Agenda CORE PRINCIPLES Preserve Local Funding PROTECT State-Shared Revenues – Arizona voters have prohibited municipalities from collecting a local income tax and luxury taxes and, in exchange, have authorized the establishment of an urban revenue-sharing distribution of state income taxes to municipal governments. Currently that percentage is 15%, however in 2021 the Legislature passed SB1828 which increased revenue-share percentage to 18%, effective in fiscal year 2023-2024. SB1828 is now on hold pending a final ruling from the Arizona Supreme Court as to the constitutionality of this and other 2021 legislative actions and, depending on the outcome, this could put pressure on the Arizona Legislature to revisit the provisions of the new law. Preserve Local Control OPPOSE Preemption of Local Authority – The Town strives to preserve local control so that its citizens can self-govern in their best interest. Every legislative session legislation is proposed that creates unfunded mandates on cities and towns and/or preempts the ability of municipal councils to set policy through ordinances and regulations at the local level which are in the best interest of their citizens and taxpayers. Often times this is a “one-size-fits-all” legislative approach that doesn’t consider the differences in municipalities or the priorities of the residents. Such efforts should be opposed. 2021 Key Positions  PRESERVE the current minimum urban revenue sharing percentage for cities and towns at 15%.  OPPOSE legislation to modify or expand legislative authority to seek SB1487 investigations by legislators pertinent to municipal authorities and to expand any applicable penalties.  SUPPORT legislation addressing the negative impacts short-term rental properties can have on adjacent properties and neighborhoods.  SUPPORT legislation that at a minimum will prohibit, on all days, the use of permissible consumer fireworks between the hours of 10:00 PM and 8:00 AM. 4 LEGISLATIVE POLICY STATEMENTS LOCAL GOVERNMENT  OPPOSE legislation to modify or expand legislative authority to seek SB1487 investigations by legislators pertinent to municipal authority and to expand any penalties.  SUPPORT legislation that further limits SB1487 provisions.  OPPOSE legislation that creates unfunded mandates for municipalities.  SUPPORT legislation on political signs to comply with Reed v. Town of Gilbert U.S. Supreme Court decision. LOCAL GOVERNMENT FINANCE  OPPOSE legislation that reduces or negatively impacts the collection of transaction privilege tax (TPT), State Shared Revenues, or other local revenues.  OPPOSE changing the imposition of construction sales taxes to “materials only” or other methods that do not equitably return those revenues to where the construction activity occurs. NEIGHBORHOODS and QUALITY OF LIFE ISSUES  SUPPORT legislation providing additional tools and remedies for municipalities to regulate short-term rentals in their communities.  OPPOSE legislation that would limit or curtail the Town’s current zoning authority, particularly in residential areas.  OPPOSE legislation that would prohibit or eliminate the transaction privilege tax on the renting or leasing of real property for residential purposes.  OPPOSE legislation that preempts a city or town from establishing or enforcing its ordinances regulating tobacco, vapor, or alternative nicotine products. 5 PUBLIC SAFETY  OPPOSE legislation that negatively impacts the Town’s Fire Code or its ability to enforce its Fire Code provisions.  OPPOSE legalizing additional fireworks or other changes that would increase the risk of fires to businesses, neighborhoods, residents and the McDowell Mountain Preserve.  PRESERVE local control authority that allows cities and towns to regulate the use and discharge of firearms within municipal boundaries. TRANSPORTATION  SUPPORT extension of ½-cent sales tax to support regional transportation projects in Maricopa County.  SUPPORT the continued viability of Highway Users Revenue Fund (HURF) funding to cities and towns. AZ League Legislative Bulletin: Issue 20 - May 27, 2022 Legislative Update: Today is the 138th day of the legislative session. Lawmakers acted on 40 bills this week. The House operated on a modified schedule, only gaveling in on Tuesday and Wednesday. Both chambers adjourned for the Memorial Day weekend following floor sessions on Wednesday and are set to return on Tuesday, May 31. The governor has signed 253 bills into law, and no measures have been vetoed. There are 19 measures pending action from the executive. 30 House bills are ready for consideration in the Senate Committee of the Whole (COW), while 29 Senate bills are ready for House COW. There are ten measures pending Third Read in both chambers combined. In the wake of the recent school shooting in Texas, some lawmakers have expressed a desire to address gun safety measures while they are still in session. On Thursday, House Speaker Rusty Bowers (R-Mesa) announced appointments to the Ad Hoc Committee on Teen Mental Health, with additional appointments to be made soon. The committee will examine substance abuse, depression, and suicide. Democratic lawmakers are also looking to revive measures that did not receive committee hearings, including an effort to refer to the voters the question of mandatory background checks for all gun sales, sponsored by Rep. Jennifer Longdon (D-Phoenix). Democratic lawmakers have indicated they would support a previous effort led by Governor Ducey to give family members, law enforcement, and school administrators the ability to seek a court order to keep individuals that are a danger to themselves or others from purchasing or possessing weapons. The effort passed the Senate in 2018 but was ultimately not considered in the House. Earlier this week, the governor's office indicated to capitol reporters that they believe the previous effort is still good policy and remain committed to measures to increase school safety. SB 1333 autonomous vehicles This week the legislature gave final approval to SB 1333 neighborhood occupantless electric vehicles. The bill awaits the governor's signature. If signed, the bill would provide fully autonomous vehicles without a human passenger designed to make deliveries to consumers authority to access arterial streets with a speed limit of up to 45 mph under certain conditions. The bill's proponents, Nuro, have an existing fleet of autonomous delivery vehicles in Scottsdale that provide grocery delivery in partnership with Fry's. Federal regulations restrict the speed of these vehicles to 25 mph, and they are only allowed on streets with speeds up to 35 mph. Because of these regulations, their delivery footprint is minimal, making it challenging to access some neighborhoods. SB1333 would change this. Among the restrictions included in the bill, the vehicles will be required to contain signs notifying drivers that it is a slow-moving vehicle. They can only operate in the right-hand travel lane and are required to pull to the side of the road to allow faster traffic to pass. The vehicles must also avoid streets with minimum speed requirements above 25 mph as determined by the city or town. Budget Outlook There are 35 days before the start of the new fiscal year (on July 1). As the deadline looms closer, lawmakers have yet to agree on a budget package. While discussions are taking place behind the scenes, many wonder whether a bipartisan budget is feasible given the partisan nature of this year's session. Recent heated floor debates amongst lawmakers over election-related reforms, the school shooting in Uvalde, Texas, and statements made on Twitter have further divided the caucuses. Bulletin No. 21 Legislative Update: Today is the 145th day of the legislative session. Following a brief hiatus in anticipation of the Memorial Day holiday, lawmakers gaveled back in on Tuesday, only to adjourn for the week on Wednesday. The chambers collectively took action on 27 measures this week. The governor has signed 267 bills into law and issued one veto. Lawmakers have sent the governor 19 measures that await his consideration. 31 House bills are pending Committee of the Whole (COW) in the Senate, while 26 Senate bills are awaiting House COW. There are nine bills ready for Third Read in both chambers. On Tuesday, Democratic lawmakers in the Senate used a procedural vote to force a vote on legislation requiring background checks for firearm purchases. The effort comes a week after the elementary school shooting in Uvalde, Texas. The procedural move led to a divisive debate on the floor and ultimately failed on a party-line vote. State Budget With 29 days before the start of the new fiscal year, the clock is ticking for lawmakers to pass a state budget. The Senate President indicated to capitol reporters that the Senate hopes to have a budget draft next week. However, contentious items such as education and water have been sticking points in reaching consensus. Affordable Housing This week, the Arizona Department of Housing provided a record dollar amount in awards for affordable housing projects through the federal and state Low- Income Housing Tax Credit (LIHTC) programs. On Wednesday, the agency announced awards for 16 affordable housing projects, 7 of which are in rural communities. These awarded dollars will create 1,142 additional housing units in the state. In 2021, the legislature passed SB 1124, which established a state-level LIHTC program mirroring the federal LIHTC program. Federal LIHTC has been the most impactful program in creating affordable housing, paving the path for constructing 45,000 affordable units in Arizona. The 2021 legislation included a $4 million annual appropriation for the newly created state program for four years. State LIHTC dollars were awarded to projects in Globe and Prescott Valley to construct 136 units in this latest round of funding. Additional information on awarded funds and the location of projects is available here. League Policy Committees The second round of policy committee meetings will take place next week. Policy committee members received meeting details and materials earlier this week. Meetings will be hybrid this year, with the opportunity to attend via Zoom or in person at the League's building. Next week's meeting schedule and additional information can be found here. 2022 Session Timeline Every session has deadlines pertaining to bill submissions and hearings. This year, the schedule is as follows: January 1/10 – First day of session 1/13 – House 7-bill Introduction Limit Begins (5 p.m.) 1/31 - Senate bill introduction deadline (5 p.m.) February 2/7 – House Bill Introduction Deadline (5 p.m.) 2/14 - 2/18 – Last week to hear bills in the chamber of origin March 3/21 – 3/25 – Last week to hear bills in the opposing chamber April 4/15 – Last Day for Conference Committees 4/19 – 100th Day of Session Today is the 152nd day of the legislative session. The Legislature began the week intending to gavel in every day and potentially move budget bills through committee. However, as the week progressed, the likelihood of consensus on a budget became bleak. Lawmakers took action on 35 bills, and sent 19 measures to the governor. At this point, the governor has signed 305 bills into law. 76 House bills are awaiting the Senate Rules Committee, and 61 Senate bills are awaiting the House Rules Committee. The House has 22 Senate bills ready for Committee of the Whole(COW), and the Senate has 27 bills pending COW. A total of 7 bills are ready forThird Read in both chambers combined. Municipal Residential Tax On Monday, the House Rules Committee considered SB 1116 and moved it forward to the next step in the legislative process. As amended by the House Ways & Means Committee, the measure prohibits municipalities from levying a municipal tax on residential rentals. SB 1116 had been stalled in the Rules Committee for the past few months and has only recently gained traction again. The League strongly opposes the measure as it would impact 71 cities and towns currently levying a municipal tax on residential rentals. Joint LegislativeBudget Committee staff estimate the bill will reduce municipal tax revenues by $202 million by 2024. Contrary to proponents’ arguments, the average residential tax rate is 2% and serves to support municipal services that benefit residents. Eliminating this tax will not keep cost-burdened renters in their homes and will only increase the public’s tax burden when they participate in other sectors of the economy. The League respectfully asks lawmakers to oppose SB1116.  State Budget A leaked budget spreadsheet outlining legislative leadership’s agreement withthe governor on an FY 23 budget surfaced this week. Though the document is intended to be a tentative agreement, expected to be revised, the document illustrates where negotiations are headed and likely includes line items that will be part of a final budget. The draft proposal outlines a $15.1 billion spending plan that invests $1 billion into water infrastructure, pays down $1 billion in debt and pension liability, and allocates $425 million to the state’s rainy day fund. The $15.1 billion proposal includes $12.5 billion of ongoing spending. The plan provides new funding forother priorities, including $566 million for border security, $1 billion for transportation and infrastructure projects, and includes a $1.3 billion tax cut over the next three years. Legislative Update: Bulletin No. 22 Legislative leadership held small-group meetings this week to gauge members’ support and seek feedback on the proposal. Some Republican lawmakers have already publicly made their opposition to the draft budget known. Senator PaulBoyer (R-Glendale) expressed to capitol reporters that he is a definite no on the budget due to insufficient funding for K-12 and higher education. Senator Michelle Ugenti-Rita (R-Scottsdale) called the budget proposal “garbage” because it does not provide sufficient tax relief to Arizonans. Senate Democratic Minority Leader Rebecca Rios (D-Phoenix) called the proposal a nonstarter for Democrats. With 21 days until July 1 and several lawmakers out of town forvarious reasons, the state could face a government shutdown if a budget is notapproved by the end of the month. League Policy Committees Thank you to all mayors, councilmembers, and municipal staff for participating in the League’s policy committee meetings this past week. Proposals that moved forward as resolutions will be considered at the Resolutions committee scheduled for August 30 at 1 pm. The 2022 annual conference will be held at The Renaissance in Glendale. We look forward to seeing you there. 2022 Session Timeline Every session has deadlines pertaining to bill submissions and hearings. This year, the schedule is as follows: January 1/10 – First day of session 1/13 – House 7-bill Introduction Limit Begins (5 p.m.) 1/31 - Senate bill introduction deadline (5 p.m.) February 2/7 – House Bill Introduction Deadline (5 p.m.) 2/14 - 2/18 – Last week to hear bills in the chamber of origin March 3/21 – 3/25 – Last week to hear bills in the opposing chamber April 4/15 – Last Day for Conference Committees 4/19 – 100th Day of Session ITEM 2. 3. C. TOWN OF FOUNTAIN HILLS STAFF REPORT    Meeting Date: 06/21/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda                  Submitting Department: Administration Prepared by: Linda Mendenhall, Town Clerk Staff Contact Information: Grady E. Miller, Town Manager Request to Town Council Regular Meeting (Agenda Language):  DISCUSSION RELATING TO INTERGOVERNMENTAL AGREEMENTS BETWEEN THE TOWN OF FOUNTAIN HILLS AND THE FOUNTAIN HILLS SCHOOL UNIFIED SCHOOL DISTRICT  Resolution 2003-68 - Intergovernmental Agreement relating to Channel 99 Resolution 2007-01 - Intergovernmental Agreement relating to construction, installation, operation, maintenance, and joint use of facilities for recreational and athletic facilities Resolution 2007-26 - Intergovernmental Agreement relating to shared use of District and Town facilities Attachments Res_2007-01  Res_2007-26  Res_2003-69  Form Review Inbox Reviewed By Date Finance Director Linda Mendenhall 06/14/2022 10:59 AM Form Started By: Linda Mendenhall Started On: 06/14/2022 10:33 AM Final Approval Date: 06/14/2022  L RESOLUTION NO. 2007-01 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, APPROVING AN INTERGOVERNMENTAL AGREEMENT WITH FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT NO. 98 FOR SHARED FACILITY USE. BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS as follows: SECTION 1. That the Intergovernmental Agreement between the Town of Fountain Hills (the "Town") and Fountain Hills Unified School District No. 98 (the "District"), relating to the construction, installation, operation, maintenance and joint use of recreational and athletic facilities (the "Agreement") is hereby approved in the form attached hereto as Exhibit A and incorporated herein by reference. SECTION 2. That the Mayor, the Town Manager, the Town Clerk and the Town Attorney are hereby authorized and directed to take all steps necessary to cause the execution of the Agreement. PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills, Arizona, February , 2007. FOR THE TO OF FOUNTAIN HILLS: ATTESTED TO: ILAAJRiAir 7 J.Nic i ols, Mayor Bevelyn J. Be er, wn Clerk REVIEWED BY: APPROVED AS TO FORM: 4 Timothy . Pickering, Town Manager Andrew J. McGuire, Town Attorney L 706218.1 INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND THE FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT NO. 98 FOR THE CONSTRUCTION,INSTALLATION,OPERATION, MAINTENANCE AND JOINT USE OF RECREATIONAL AND ATHLETIC.FACILITIES THIS INTERGOVERNMENTAL AGREEMENT (this "Agreement”) is entered into 2007, between the Town of Fountain Hills, an Arizona municipal corporation ( e "Town"), and the Fountain Hills Unified School District No. 98, a political subdivision of the State of Arizona (the "District"). The Town and the District are collectively referred to herein as the "Parties" and individually as a"Party." RECITALS A. ARIz. REV. STAT. §§ 11-951 and 11-952 authorize intergovernmental agreements by and between political subdivisions and political agencies such as the District and the Town. Further, the District is authorized by ARIz. REV. STAT. §§ 15-342.13 and the Town is authorized by Town Code § 2-1-2 to enter into intergovernmental Agreements; and B. The Town and the District have identified a need to enhance recreational and physical development programs and activities within the Town by creating two recreational facilities (collectively, the "Facilities") on real property owned by the District (collectively, the Project Sites"), as more particularly described and depicted on Exhibit A, attached hereto and incorporated herein by reference; and C. The Town and the District previously entered into an intergovernmental agreement on April 7, 2005, for the purpose of establishing procedures for joint use of Town and District Facilities (the "Joint Use IGA"). D. The Parties desire to enter into this Agreement to provide for the construction, installation, operation, maintenance and joint use of the Facilities for recreational and physical development programs and activities. The Town and the District intend to amend the Joint Use IGA to include the Facilities, upon completion. AGREEMENT NOW, THEREFORE, in consideration of the foregoing recitals, which are incorporated herein by reference, and the mutual promises and agreements set forth herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto state, confirm and agree as follows: Low 696039.5 1.Development of the Facilities. a.Ownership of the Property and Facilities. The District shall retain ownership of the Project Sites. No course of conduct or actions by the Town will entitle the Town to any ownership, title or interest in any of the real property associated with the Project Sites. Upon completion, the Town shall dedicate the Facilities to the District in consideration of the District's (i) grant of perpetual license set forth in subsection 1(b) below and (ii) promise to operate, maintain and repair the Facilities as set forth in Section 3 below. b.Grant of Perpetual Licenses. The District hereby grants to the Town, its employees, agents, guests, customers, invitees and licensees, a perpetual license in, on, over, and across the Project Sites and the District property adjacent to the Facilities, for design and construction of the Facilities and thereafter the use of it by the Town, and its employees, agents, guests, customers, invitees and licensees, in accordance with and subject to the terms of this Agreement. c.Document Review Procedures. The Parties shall jointly prepare the master development plan for the Facilities. The Town shall be responsible for (1) the selection of the design and engineering firms and (2) providing the design of the Facilities. The plans, specifications and other construction documents for the Facilities shall be subject to joint review and approval by the Parties. The Town shall provide the District the opportunity to comment on all items that affect the design of the Facilities. Coordination shall include meetings and information exchanges between corresponding personnel at all levels. The Parties shall jointly review and comment on all engineering studies, technical data and specifications provided for the design and construction of the Facilities under a schedule determined by the Parties to ensure timely progress on and completion of improvements in accordance with the terms herein. If the Town receives no comments on construction drawings and specifications, including all modifications and changes thereto, within 30 days following delivery to the District, the District will be deemed to have approved the construction drawings and specifications (such approved construction drawings and specifications are referred to herein as the "Construction Plans"). d.Contractor Selection. The work and improvements within the Facilities shall be completed in accordance with applicable law. The Town shall administer the construction contract(s) necessary for the Facilities. The Town shall have the usual rights of the owner of a public construction contract, including the authority to approve changes (subject to the District's reasonable approval, and subject to the document review procedures set forth above, with respect to the Facilities) and make payments. The Town shall enter into all construction, supply and other contracts for the work to be performed and materials to be supplied in connection with the Facilities. e.Construction. The Facilities shall be constructed by the Town in substantial conformity with the Construction Plans; provided, however that the total cost of the Facilities shall not exceed the amount mutually agreed upon by the Town and the District prior to award of a contract for construction of same (the "Maximum Cost"), which mutual agreement cow shall be evidenced in writing, signed by persons authorized to bind each party. If the cost of construction based on the Town's Construction Plans exceeds the Maximum Cost, and if the 696039.5 2 Town none-the-less proceeds with construction of the Facilities, the Town shall be solely responsible for those additional costs. The District shall have the right to require and pay for enhancements and upgrades to the Facilities. If reasonably feasible, any such enhancements and/or upgrades required by the District shall be constructed or installed as "add-ons" or "change orders" to existing contracts for the Facilities. The Town shall furnish a representative to perform the usual and customary functions of a project manager. f.Inspection and Acceptance of Facilities. The Town shall be responsible for conducting all mandated inspections of the Facilities. 2.Facility Use. The Town, the District and the public shall be entitled to use the Facilities in accordance with the Joint Use IGA. 3.Operation, Maintenance and Repair. a.Facilities Inspection, Repairs and Planned Maintenance Needs. The District shall bear all costs necessary for preventative maintenance, required maintenance and repairs to the Facilities. The District shall, not less than quarterly, and more often as needed, review planned maintenance, conduct inspections of the Facilities and develop preventative maintenance plans, as well as identify any maintenance needs, repairs and associated costs. All work associated with any and all repairs and maintenance needs for the Facilities shall be completed and/or coordinated by the District, through its usual and customary procurement 416, process. In the event that the District fails to meet its maintenance obligations as set forth herein, the Town may, in its sole discretion, complete, or cause to be completed, such maintenance and repairs, the cost of which shall be reimbursed to the Town by the District within 30 days of notice thereof from the Town. If the Facilities are damaged in the course of such maintenance or repair, and the District believes that the damage is due to the negligence of the Town or its contractors, the District shall provide prompt written notice to the Town. The Parties shall meet within five working days of the date of the notice to discuss liability and repair issues. If the Parties are unable to agree on those issues, and it is determined through an administrative or judicial proceeding that the damage was caused by the acts or omissions of the Town or its employees, officials, officers, officials, agents or contractors, the Town shall reimburse the District for the reasonable costs of repairs or reconstruction of the Facilities. b.Custodial Services. The District shall bear all costs necessary for custodial services needed for the Facilities. In the event that the District fails to meet its maintenance obligations as set forth herein, the Town may, in its sole discretion, complete, or cause to be completed, such maintenance and repairs, the cost of which shall be reimbursed to the Town by the District within 30 days of notice thereof from the Town. c.Utilities. The District shall bear all costs necessary for all utility services for the Facilities including, but not limited to, electrical, gas, water and phone services, as applicable. Lir 696039.5 3 4.Indemnification and Insurance. a.Indemnification. To the extent permitted by law, each Party shall defend, indemnify and hold harmless the other Party and its departments, officers, employees and agents from all losses, damages, claims, liabilities and expenses (including reasonable attorneys' fees) for damages to property or for injury to or death of persons which relate to the performance of this Agreement and which result from any negligent act or intentional misconduct of the indemnifying Party or its departments, officers, employees or agents. b.Insurance. The Town shall require, as a part of any contract for construction of the Facilities, that builder's risk insurance is maintained in the amount of 100% of the replacement cost of the Facilities at all times during the construction thereof. Thereafter, the District shall maintain in full force and effect for the entire term of this Agreement such policies of insurance as necessary to cover the full replacement cost of the Facilities and both Parties shall maintain in full force and effect for the entire term of this Agreement commercial liability insurance, naming the other party as an additional insured, from a reliable insurance company authorized to transact business in Arizona in the amount of not less than $1,000,000 per occurrence for bodily injury or death. 5.Posting Information. The Parties agree that it is in the best interests of both that the exchange and distribution of materials with information for the public regarding respective programs, classes, athletic events and other activities at the Facilities should occur. Therefore, both agree to the posting and/or distribution of information to students and/or the public be provided by either party as may be requested. 6.Term. The term of this Agreement shall be 20 years (commencing on the date hereof), unless it is sooner terminated (i) in accordance with Sections 7 or 9 below, or (ii) by mutual written consent of the Parties. This Agreement shall thereafter automatically renew for successive one-year terms, unless either Party gives notice to the other not less than 30 days prior to the end of the then-current term that it does not wish to renew this Agreement. 7.Termination; Cancellation. a.Default. In addition to any lawfully available remedies for breach of this Agreement, this Agreement may be terminated by either Party for material cause 60 days after written notice is given to the defaulting Party specifying the cause of the breach if such default is either not cured within said 60-day period or the cure thereof is not commenced within such 60- day period and thereafter continuously and diligently pursued to conclusion. In no event shall such cure period extend longer than 120 days. b.Cancellation. Each Party reserves all rights that it may have to cancel this Agreement for possible conflicts of interest under ARIz. REV. STAT. § 38-511, as amended. 8.Disposition of Facilities Upon Termination of Agreement. In the event this Agreement is terminated or cancelled pursuant to Section 7 above or Section 9 below after construction of the Facilities has commenced, the District shall purchase the Facilities from the Town not less than one year after the date of such termination or cancellation. The purchase 696039.5 4 price of the Facilities shall be the fair market value of the Facilities on the date of termination of cancellation, as determined by an appraisal method as follows. Each Party shall choose a qualified appraiser, who then jointly shall select a third, who shall conduct the appraisal. In the event the Parties' appraisers are unable or unwilling to appoint a third, the Parties shall each submit a list of three qualified appraisers to the Presiding Judge of the Arizona Superior Court, Maricopa County, who shall select a qualified appraiser who shall conduct the appraisal. 9.Continuation Subject to Appropriation. The performance by each Party of its obligations under this Agreement is subject to actual availability of funds appropriated by each Party for such purposes. Each Party shall be the sole judge and authority in determining the availability of funds under this Agreement and each Party shall keep the other Party fully informed as to the availability of funds for its obligations. The obligation of either Party to fund any obligation pursuant to this Agreement is a current expense of such Party, payable exclusively from such annual appropriations, and is not a general obligation or indebtedness of the Party. If the town Council or the District Board fails to appropriate money sufficient to meet its obligations as set forth in this Agreement during any immediately succeeding fiscal year, this Agreement shall terminate at the end of then-current fiscal year and the Parties shall thereafter be relieved of any subsequent obligation under this Agreement. 10. Miscellaneous. a.Assignment. Neither Party may assign, sublet, mortgage or encumber any right or interest under this Agreement without the prior written consent of the other Party, which consent may be withheld by the other Party in its absolute and sole discretion. b.Notices and Requests. Any notice or other communication required or permitted to be given under this Agreement shall be in writing and shall be deemed to have been duly given if (1) delivered to the Party at the address set forth below, (2) deposited in the U.S. Mail, registered or certified, return receipt requested, to the address set forth below, (3) given to a recognized and reputable overnight delivery service, to the address set forth below or (4) delivered by facsimile transmission to the number set forth below: If to the Town: Town of Fountain Hills 16836 East Palisades Boulevard Fountain Hills, Arizona 85268 Facsimile: 480-837-3145 Attn: Timothy Pickering, Town Manager With copy to: GUST ROSENFELD, P.L.C. 201 East Washington, Suite 800 Phoenix, Arizona 85004-2327 Facsimile: 602-340-1538 Attn: Andrew J. McGuire, Esq. L 696039.5 5 If to the District: or at such other address, and to the attention of such other person or officer, as any party may designate in writing by notice duly given pursuant to this Section. Notices shall be deemed received (1) when delivered to the party, (2) three business days after being placed in the U.S. Mail, properly addressed, with sufficient postage, (3) the following business day after being given to a recognized overnight delivery service, with the person giving the notice paying all required charges and instructing the delivery service to deliver on the following business day, or 4) when received by facsimile transmission during the normal business hours of the recipient. If a copy of a notice is also given to a Party's counsel or other recipient, the provisions above governing the date on which a notice is deemed to have been received by a Party shall mean and refer to the date on which the Party, and not its counsel or other recipient to which a copy of the notice may be sent, is deemed to have received the notice. c.Approvals. With respect to any provision of this Agreement requiring the consent or approval of either Party as to any matter, unless specifically provided to the contrary in the particular provision requiring such consent or approval, that consent or approval shall not be unreasonably withheld or unreasonably delayed by the Party whose consent or approval is required. d.Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Arizona. e.Attorneys' Fees. In the event of any litigation or arbitration arising out of this Agreement, the substantially prevailing Party in such litigation or arbitration shall be entitled to recover its attorneys' fees, expert witness fees and other costs of litigation. f.Severability. The provisions of this Agreement are severable to the extent that any provision or application held to be invalid by a Court of competent jurisdiction shall not affect any other provision or application of the Agreement which may remain in effect without the invalid provision or application. g.Entire Agreement. This Agreement contains the entire understanding between the Parties with respect to the subjects hereof and supersedes all prior negotiations and agreements. h.Amendments. This Agreement may be amended only by an instrument in writing, approved by the governing body of each Party and signed by the Parties. i.Waiver. The waiver of any breach of this Agreement shall not be deemed to amend this Agreement and shall not constitute a waiver of any other subsequent breach. 696039.5 6 A- Lj.Headings. Headings of this Agreement are for convenience only and shall not affect the interpretation of this Agreement. k.Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which shall constitute one and the same instrument. 1.Recordation of Agreement: Effective Date. This Agreement shall be filed with the Maricopa County Recorder pursuant to ARIz. REV. STAT. § 11-952(G) upon its execution. Notwithstanding the date of recordation, this Agreement shall be effective as of the date first set forth above. m. Time of Essence. Time is of the essence with respect to the performance of each and every term, condition, and obligation of this Agreement n.Further Acts. Each of the Parties hereto shall execute and deliver all such documents and perform all such acts as reasonably necessary, from time to time, to carry out the matters contemplated by this Agreement. o.Nondiscrimination. Neither Party shall illegally discriminate in either the provision of services to any person or in the employment of any person because of sex, race, disability, national origin, veteran's status, sexual preference or religion. Each Party agrees to comply with all applicable federal and state laws, rules, regulations, and executive orders relating to non-discrimination, affirmative action and equal employment opportunity. IN WITNESS WHEREOF, the parties hereto have executed this instrument as of the date and year first set forth above. Town" District" TOWN OF FO TAIN HILLS, an Arizona FOUNTAIN HILLS UNIFIED SCHOOL municipal co ation DISTRICT NO. 98, a political subdivision of the State of Arizona By: Wallace . Ni ho n Manager Name: / //1 4 Le-e y Title: A r;171,41 < 7, Pe 7` si den ATTEST: ATTEST: Bevelyn J. Be er,own Clerk ecr tary of the chool Board 696039.5 7 REVIE REVIEWED BY: e 44;41,ciininizel , Timothy G. Pickering,Town Manage Dr arian K. Hermi,e, Superintendent PURSUANT TO the provisions of Aiuz. REV. STAT. § 11-952.D., this Agreement has been submitted to and approved by the attorney for each of the public agencies who certify that, with respect to their respective clients only, this Agreement is in proper form and it is within the powers and authorities granted under the laws of this State to the District and Town. C) 44/4"eueot.Z Andrew J. uire,Town Attorney J /4' it- TWO / Attorney for District 4p F€ F6 L F f f 696039.5 8 ta i EXHIBIT A TO INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND THE FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT NO. 98 FOR THE CONSTRUCTION, INSTALLATION, OPERATION, MAINTENANCE AND JOINT USE OF RECREATIONAL AND ATHLETIC FACILITIES Project Sites] See following pages. L Mr 696039.5 L Nii.. 11,4„1- 0111 4,-'- I'lkW tv,::711111111":;,00 7..,-;,T,-,-...„ 2-.:4,--,._..•-' \ .,;.„.f&•-,%.-.....---7:1 ''-,,,:: Nok.... 444i. --.4:n1040d101,1%......, 4,........."411, ,,i 16.4104 411 y / N,,,'',,.,,,,:.,,„N. 1, e,,-.e",_"..%.„,. t 4. 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',...,',',.,':',..•:',-- - -'-', ' ii,, r,,,,,,,,,,-,..„.,..,--4-em ss.l'-,°°' Z.,.,,, ,---",• '• , Ii •1-1..,..,,.--,,,,,,t,...„.. , 4-.'-',..'-'..-''' ..,'-'rlAe '-, 1::`,":, -.• , 1:_ j•412-'•''''''' S; '• /I v".!: , ' - e,,,a` .; l ' I'. °-°'"••• ' 't"''-'4, ''''4:....,,,c"--,,--4.1, 'I V., 41$ - - , ,,..- - A't VIIK 1 / I 4 , , •%,,--...:-.,„.-. sysytm 0 FUGHT DATE:.9-20-91 r ._:/, --`,. .., 7.-4,--„.., ,40,,,,i!,;-. ' 7....'..::' ' .'t!'i 1,,,, i i, pf1/... :t.....4.,,,,,, TOPO FUGHT DATE. 2°°4iv, .,, , - • 4, u ICAL/AERIAL 5:.'...,.4... : . . : . . :;%e4:\-v...':'1;':1i,-,.,', '''''', ,'., :,"4:t.:., ii. /., lir '-; e-4. THIS TOPOGRAPlil BLEA FOR 2. i.,:e_'-::„.'...._:',,. --" L',1' --'i...2',,',..-...:, I `.';....'.r:'•','".4-',:',I. ::,,:,....:: IA, ..1:L.,.' 1,.:I.: '...;',:..-Ii:, ''*Ii„, MAPPING IkANNING NOT 5,....•—; :, GENERALT SHOULD I'-'4.:'.;.'''::* ''';: :. ' l'4.2.:4:' ''' vII;::1, , * ' N... '„ -,,f1----PURPOSES'- 0 ';',7.,-- 7:-- -i,, Iv ..' •-' .1*';‘.-',v;! 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C• 1* r M+s YW tt 4 m 54. r n , t: ',.....,..,.. iiti.,,,,,isv. : r e... 4:::td j .'lit s+q y` ,dY w,'r j.,' i 'tp.T xl{'r' T x a 1' st, w;V F ri 9 1fFly aF -' .,2T 'A ,1k'°>r'# AA, s t, ' . r:'.'''" r I, \.il 441t.ytl- d qy- 7 k' c GCS A 1 L* ` rY Y4 ' ?* j . .F 2r yr.9' x 3 V aS g;kli RI¢, x y 4.y,t J' .. zicTle I..IOD' I.,,;,..,•........ ''''''-' 1. '..r... 1.111.:. L.,.......v,da,.ff3;yv- o y" a-a s t :Ae FOUNTJN U.S.O..OATIJM T wa,,. p F ',- . ti y SYSTEM LOCAI-COORDINATEtom e r f I I .t 8 :•' $3 a i :' , i- i AERIAL FLIGHT DATER 20049 N`s{ MIS TOPOGRAPHICALIAERIAL MAPPING IS SUITABLE FOR jik. e!fv 0g, • ^• ... . - y GENERAL PIANNINC s" ._ Ye7fE .. 1 ,. A ,+Y,, ® ti. r BE USED FOR DESIGN. LD NOT RESOLUTION NO. 2007-26 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, APPROVING AN INTERGOVERNMENTAL AGREEMENT WITH FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT NO. 98 FOR SHARED FACILITY USE. BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS as follows: SECTION 1. That the Intergovernmental Agreement between the Town of Fountain Hills (the "Town") and Fountain Hills Unified School District No. 98 (the "District"), relating to shared use of District and Town facilities (the "Agreement") is hereby approved in the form attached hereto as Exhibit A and incorporated herein by reference. SECTION 2. That the Mayor, the Town Manager, the Town Clerk and the Town Attorney are hereby authorized and directed to cause the execution of the Agreement and to take all steps necessary to carry out the purpose and intent of this Resolution. PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills, Arizona, June 7, 2007. FOR TH OWN OF FOUNTAIN HILLS:ATTESTED TO: W. J.Ni s, r Bevelyn J. B de own Clerk REVIEWE APPROVED AS TO FORM: c i 1 J Timothy G. 'ckering, Town nager Andrew J. cGuire, Town Attorney 735852.1 f 1111111111111111111111Whenrecorded, please return to: I Town of Fountain Hills OFFICIAL RECORDS OF 16705 E. Avenue of the Fountains I MAR 1 COPA COUNTY RECORDERHELENPURCELLFountainHills, AZ 85268 I 2007-0703902 06/19/07 12:49 PMI1OF6 Attn: Planning & Zoning I GASTELUfP CAPTION HEADING: Intergovernmental Agreement with Fountain Hills Unified School District No. 98 for Shared Facility Use. This is part of the official document. TAIN. te a 3 4q AST 1989 4 tbat is A 4`a' Copies Routed To: Administration Engineering Planning and Zoning Parks &Recreation ASSOCIATED MYLAR MCR# Magistrate Court BOOK OF MAPS ON PAGE EXHIBIT A TO RESOLUTION NO. 2007-26 Agreement] 735852.1 AMENDED AND RESTATED INTERGOVERNMENTAL AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND THE FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT NO. 98 THIS INTERGOVERNMENTAL AGREEMENT(this "Agreement")is made as of p,....ete 2007, by and between the Fountain Hills Unified School District No. 98, apolitical7subdivisionoftheStateofArizona (the "District") and the Town of Fountain Hills, an Arizona municipal corporation (the "Town"). RECITALS A. ARIz. REV. STAT. §§ 11-951 and 11-952 authorize intergovernmental agreements by and between political subdivisions and political agencies such as the District and the Town. Further, the District is authorized by ARiz. REV. STAT. §§ 15-342.13 and the Town is authorized by Town Code § 2-1-2 to enter into intergovernmental Agreements. B. The Town, from time to time, wishes to utilize District facilities for public meetings and recreational and physical development programs and activities and the District wishes to utilize facilities of the Town for the conduct of public meetings and recreational and physical development programs and activities. sod C. The parties hereto desire to make their respective facilities available for such use by each other as permitted by law and under terms and conditions set forth herein. D. The Town and the District have previously entered into the following intergovernmental agreements with respect to shared use of facilities: (i) September 11, 1994 dealing with general use of facilities); (ii) November 2, 1995 (dealing with the Four Peaks Elementary School Athletic Field); (iii) October 23, 1996 (dealing with the Palisades Basketball Courts); and (iv) July 24, 2000 (merging of preexisting IGA's)(collectively, the aforementioned intergovernmental agreements are referred to herein as the "Prior Intergovernmental Agreements"). On April 7, 2005, the parties merged and superceded those Prior Intergovernmental Agreements into a single agreement(the "Merged Agreement"). E. The parties now desire to amend and restate the terms of the Merged Agreement and provide for automatic renewal thereof. AGREEMENT NOW, THEREFORE, in consideration of the foregoing recitals, which are incorporated herein by reference, and the promises and covenants set forth below, the parties hereby agree as follows: 735117.2 1. Term; Termination. This Agreement shall be effective pursuant to ARIz. REV. STAT. § 11-952(G) on the date it is recorded in the office of the Maricopa County Recorder and shall remain in full force and effect for a period of two years. This Agreement shall thereafter be automatically renewed for additional two-year periods unless it is terminated by either party for any reason and without the statement of cause simply upon delivery of written notice of intention to terminate delivered to the other party 180 days prior to the actual date of termination. This Agreement is subject to cancellation pursuant to AIuz. REV. STAT. § 38-511. 2. Applicability. The Town property subject to this Agreement includes certain facilities located at the following: Parcel "A" of the Four Peaks Elementary School site, as depicted on the survey completed by Project Engineering Consultants, Ltd., dated May 30, 1997(the "Parcel A"), Four Peaks Neighborhood Park, Desert Vista Park, Golden Eagle Park, Fountain Park and the Fountain Hills Community Center (collectively referred to herein as the Town Facilities"). The District property subject to this Agreement includes certain facilities located at the following: Four Peaks Elementary, McDowell Mountain Elementary, and Fountain Hills High School and Middle School, commonly known as multipurpose rooms, gymnasiums, football, baseball, softball, and soccer fields, lecture halls, team rooms, libraries and exterior basketball courts (collectively referred to herein as the"District Facilities"). 3. Joint Use of Facilities. The Town wishes to make the Town Facilities available to the District and the District wishes to make the District Facilities available to the Town, including space upon and within existing properties and buildings as well as that involving new facilities, for reciprocal use for various public purposes including, but not limited to recreational programs, public meetings of councils, boards and commissions, and similar public functions and educational programs. By way of example, the School District wishes to make certain physical facilities at Four Peaks Elementary, McDowell Mountain Elementary, and Fountain Hills High School and Middle School known as multipurpose rooms, gymnasiums, football, baseball, softball, and soccer fields, lecture halls, team rooms, libraries and exterior basketball courts, available to the residents of the Town for use during after-school hours, District recesses, District holidays, District vacation days, and on weekends. Similarly, the Town wishes to make certain physical facilities located at Four Peaks Neighborhood Park, Desert Vista Park, Golden Eagle Park, Fountain Park and Fountain Hills Community Center available to the use of the School District, such as a lighted baseball, softball and soccer fields, control buildings with restrooms, ramadas, bleachers, a span bridge (pedestrian footbridge) and botanical walkways, meeting rooms, ball rooms and kitchen facilities. In addition to the foregoing, the parties hereby agree to such additional facility use as set forth below: a.Community Center. Rooms at the Fountain Hills Community Center may be reserved by either the High School Athletic Director or District Office personnel without fee for up to 15 events per school year; provided, however, that the Town shall have priority in scheduling the Community Center Facilities. b. Palisades Basketball Courts. The Town shall be responsible for the scheduling and use of the basketball courts at all times during evenings, District recesses, vacation days and weekends. The School District shall have exclusive rights of use at other times, and shall have priority for school-related functions at any time. The School District acknowledges and understands that the Town may, in fact, charge an incidental fee to users of 735117.2 2 the facility for the use of the lights, but that the fee is not a rental for the use of the School property. The Town shall be solely responsible for all costs associated with installation, operation, and maintenance of the lights during the term of this Agreement. The Town shall retain ownership of the lights for the term of the Agreement, and if the Agreement is either terminated or not renewed for any reason, then the Town shall have 180 days from the date of such termination within which to remove the lights from the campus. Should the Town elect not to remove the lights from the campus within said 180 days, then the lights shall become the property of the School District. The School District shall make available to the Town and maintain its parking facilities during the after-school, evening and vacation days upon which the basketball courts are being used by the Town at no additional charge to the Town. The School District shall be solely responsible for the maintenance, cleanliness and safety of the court surface, poles, rims, and netting, and shall maintain them in a manner to ensure that the courts will be useable for nighttime activity. The maintenance of the courts shall be equal to that which is provided by the Town at Golden Eagle Park Courts. c. Four Peaks Elementary School Athletics Field. The School District will retain rights of use without payment of fees of the Four Peaks Athletic Field during school hours between 8:00 A.M. and 3:30 P.M. d. Parcel A. With respect to the lighted soccer field and other facilities on Parcel A, the School District shall have a right to use the property and any improvements thereon during all school days and for scheduled after-school activities, as approved and scheduled by the Town, without payment of fees to the Town. The Town shall be solely responsible for all costs associated with the installation, operation and maintenance of the soccer field lights and other utilities applicable to Parcel A during the existence of this Agreement. The Town shall be responsible for the schedule and use of the field at all times. The Town shall be totally responsible for the maintenance of the soccer field and shall maintain it in the standard and to such a degree that the field will be useable for nighttime activity. The maintenance of the field shall be equal to that being provided by the Town at Golden Eagle Park. 4. Facility Use; Scheduling. Except as otherwise specifically provided herein, usage of each party's facilities will occur with the mutual consent and agreement of the Town and School District; the terms and conditions of such usage may include times, dates, areas and/or buildings to be used, along with specific provisions for the allocation of responsibility for fees, oversight, maintenance, operation and other issues incident to the use of the facilities. The School District will submit its one hundred eighty (180) day schedule (District calendar) to Town as soon as reasonably practicable to aid in advance coordination of facility use. However, nothing herein shall be construed to bar the submission of a scheduling request upon shorter notice. The Town will provide to the School District its schedule for facilities covered by this Agreement to aid in achieving timely coordination of events scheduled by the Town. The usage schedules for each party's facilities are controlled and/or approved by the Town Manager and the District Superintendent. The Manager and Superintendent will work together to resolve any issues specific to these responsibilities or procedures. 5. Supervision. The Town and the School District will provide adequate adult supervision for any program or activity one party conducts on the other party's premises. The 735117.2 3 party conducting the activity shall have the sole responsibility for the conduct and control of the program or activity being conducted on the other parry's premises. 6. Field Lighting. The Town understands and acknowledges that it shall be responsible for, and use its best efforts to correct, any complaints or problems that may arise from neighbors or surrounding property occupants concerning the use of lights on athletic fields during evening hours. The Town also agrees to indemnify and defend any and all claims or litigation that may arise as a result of complaints or problems filed by neighbors or surrounding property occupants, or otherwise arising from the use of athletic fields or facilities scheduled by the Town during the term of this Agreement. 7. Maintenance. Any facility used by either the Town or the School District shall be left in an orderly and clean condition at the conclusion of the activity by the party using the facility. Any damage, other than the normal wear and tear, done to any building or other facility shall be repaired and/or replaced, as appropriate,by the party responsible for the damage. 8. Insurance. The parties hereto agree to secure and maintain insurance coverage for any risks which may arise out of the terms, obligations, operation and actions provided in this Agreement. The parties to this Agreement shall provide to each other a Certificate of Insurance or a Declaration of Self Insurance indicating as a minimum the following coverage: a.Comprehensive general liability coverage including, but not limited to, personal injury liability and broad form property damage. The minimum amount for such coverage shall be $1,000,000.00 combined single limit. b. As to the employees of each of the parties a Certificate or other evidence indicating that the employees are covered for claims arising out of Workers Compensation as required by the law of the State of Arizona. c. The Certificate of Insurance or Memorandum of Self Insurance shall indicate that the other party is named as "additionally insured" pursuant to the provisions of this Agreement. 9. Indemnity. In addition to the insurance provisions set forth above, each party hereby also agrees to indemnify and hold harmless the other, including elected officials, officers, administrators or employees from any and all liability resulting from personal injury or death or damage to property of third parties arising out of the use of the facilities, for claims alleging the negligence or intentional acts of the elected officials, officers, administrators or employees of the party which did not sponsor or schedule the event as to which such claims are made and as to which the indemnifying party was the sponsor or scheduling entity. 10. Annual Budgets. The parties agree and acknowledge that each party has fiscal responsibilities in connection with this Agreement. The governing bodies shall, pursuant to the budget laws of the State of Arizona, make every effort to annually include in their operating budgets sufficient funds for the performance of their mutual obligations contained herein. 735117.2 4 11. Dispute Resolution. The parties agree that if there is a dispute as to the terms and conditions of this Agreement, or a dispute as to the terms and conditions or the relative equity of the operation and use of a facility or athletic field, the Superintendent of the School District and the Town Manager shall meet and attempt to resolve any disputes or concerns prior to the matter coming before the Governing Board or Council of the respective bodies. 12. Posting Information. The parties agree that it's in the best interests of both that the exchange and distribution of materials with information for the public regarding respective programs, classes, athletic events, etc. should occur. Therefore, both agree to the posting and/or distribution of information to students and/or the public be provided by either party as may be requested. TOWN OF F i UNTAIN HILLS FOUNTAIN HILLS UNIFIED SCIJIOOL DISTRICT N%). 98 1# 0 W. J. N. h• s, Mayor I lelen Howaid;President Fountain Hills School Board ATTEST: ATTEST: L_ Bevelyn J. n ,...Town.-CL rk e retary of the S hool Board RpEWED REVIEWED BY: of,e 7/7Z i wxy Timothy . Pickering, Town anager D arian K. Hermie, Superintendent PURSUANT TO the provisions of Aiuz. REV. STAT. § 11-952.D., this Agreement has been submitted to and approved by the attorney for each of the public agencies who certify that, with respect to their respective clients only, the Agreement is in proper form and it is within the powers and authorities granted under the laws of this State to the School District and Town. Ofik c 1110/ 4e4e(lk,a44,e.Z Andrew J. McGuire, Town Attorney aJ 4/ Attorney for District 735117.1 5 C fc^/ RESOLUTION NO.2003-68 A RESOLUTION OFTHE MAYOR AND COUNCIL OFTHETOWNOF FOUNTAIN HILLS,ARIZONA,APPROVING AN INTERGOVERNMENTAL AGREEMENT WITHTHEFOUNTAINHILLSUNIFIEDSCHOOLDISTRICTNO.98 RELATING TO CHANNEL 99. BEIT RESOLVED BYTHEMAYORANDCOUNCILOFTHETOWNOF FOUNTAIN HILLS,ARIZONA,as follows: SECTION 1.Thatthe Intergovernmental Agreement betweentheTownof Fountain Hillsand the Fountain Hills Unified School District No.98 relating to Channel 99 (the "Agreement")is hereby approved in the form attached hereto as Exhibit A and incorporated herein by reference. SECTION 2.That the Mayor,the Town Manager,the Town Clerk and the Town Attorney are hereby authorized and directed to take all steps necessary tocause the execution of the Agreement. PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills,Arizona, December 18,2003. W.J.Nichols,Mayor REVIEWED BY: A////,-t't^-/i.Sllsl/I {tU-tt TimG.Pickering,TownManager, 9196.001V A2003-68 FHUSD IGA res.doc 12-12-03-1 ATTESTED TO: BevelynJ.Bender,^own Clerk y APPROVED AS TO FORM: AndrewJ.McGuire,TownAttorney INTERGOVERNMENTAL AGREEMENT BETWEEN THE FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT AND THE TOWN OF FOUNTAIN HILLS THIS INTERGOVERNMENTAL AGREEMENT (this "Agreement")is entered into as of l&L /%2003,between theTownof Fountain Hills,an Arizona municipal corporation the"Town")andtheFountainHillsUnifiedSchoolDistrict,anArizonaschooldistrict(the District"). RECITALS A.TheTownenteredintoacablelicenseagreementwithCox Communications on April6,1995 (the"LicenseAgreement")forthepurpose of permittingCoxaccesstotheTown's streetsandinfrastructureforthepurpose of providingcableservicestoresidents of theTown of Fountain Hills. B.Aspart of theLicenseAgreementtheTownhasaccesstoCoxCableChannel99 forpurposes of educationalprograms. C.The District has constructed facilities from which it desires to create v^programming tobeplacedonChannel99. D.TheTowndesirestopermittheDistrictto control all aspects of programming for Channel 99. E.The District is authorized toenterintothis Agreement pursuant to Ariz.Rev. Stat.§15-342. F.The Town is authorized to enter intothis Agreement pursuant to Ariz.Rev. Stat.§11-952. AGREEMENT NOW,THEREFORE,inconsiderationofthe foregoing andthepromisesandcovenants setforthbelow,thepartiesherebyagreeas follows: 1.Term:Termination.ThisAgreementshallcommenceuponthedatesetforth aboveandshallremaininfullforceandeffectforaperiod of oneyearthereafter.This Agreement shall automatically renew for successive one-year periods unless,not less than thirty days prior to the end of the initial term or any extension thereof either party shall give notice to theotherofitsintentnottorenewthis Agreement onthe anniversary date thereof.Eitherparty may terminate this Agreement on thirty days written notice to the other party at the addresses indicated below. 9196 004\FHUSD IGA doc 12-10-03-1 X^jX Nsjgjjjjp/ 2.Town's Obligations.TheTownshallprovidetheDistrictwithaccesstoChannel 99andwithlimitedtechnicalassistancetotheDistrictoritsstudentswith production assistance forprogrammingtobeplacedonChannel99. 3.District Obligations.The District shall: a.Channel99contents.TheDistrictshallberesponsibleforanyandall determinations astothe content of programming tobe placed on Channel 99.In making such determinations,the District hereby agrees thatitshallfully comply withany restrictionsuponsuchprogrammingcreatedbyanyapplicablefederal,stateorlocallaw, includingbutnotlimitedtotheFederalCableAct. b.Production Responsibilities.The District shallbe solely responsible for presentingtottheTownvideomaterialinaformreadyforbroadcastsuchthatno significantTown staff timeisrequiredtopreparesuchmaterialforbroadcastonChannel 99. c.Indemnity.Tothefullestextentpermittedbylaw,theDistrictshall defend,indemnifyandholdharmlesstheTown,itsagents,representatives,officers, directors,officialsandemployeesfor,fromandagainstallclaims,damages,lossesand expenses(includingbutnotlimitedtoattorneys'fees,courtcostsandthecostof appellate proceedings)relatingto,arisingoutof,orallegedtohaveresultedfromtheacts, errors,mistakes,omissions,workor services of the District,its employees,agents,orany tier of subcontractorsintheperformance of thisAgreement.District's dutytodefend, holdharmlessandindemnifytheTown,itsagents,representatives,officers,directors, officialsandemployeesshallariseinconnectionwithanyclaim,damage,lossorexpense thatis attributable tobodilyinjury,sickness,disease,death,orinjuryto,impairmentor destruction of property,includinglossofuseresultingtherefrom,causedbyanyacts, errors,mistakes,omissions,workorservicesinthe performance of this Agreement of any employee oftheDistrictoranytierof subcontractor oranyotherpersonforwhoseacts, errors,mistakes,omissions,workorservicestheDistrictmaybelegallyliable.The amount andtypeof insurance coverage requirements set forth belowwillinnowaybe construedaslimitingthescope oftheindemnityinthisSection. 4.NoticesandRequest.Anynoticeorother communication requiredorpermitted tobe given underthis Agreement shall bein writing and shall be deemed to have been duly given if(i)delivered tothe party atthe address set forth below,(ii)deposited inthe U.S.Mail, registered or certified.Return receipt requested,tothe address set forth below (iii)given toa recognized and reputable overnight delivery service,tothe address set forth below or (iv) deliveredbyfacsimiletransmissiontothenumbersetforthbelow: Ifto the Town:Town of Fountain Hills 16836 E.Palisades Boulevard Fountain Hills,Arizona 85269 Facsimile:480-837-3145 Attn:Tim Pickering,Town Manager 9196 004\FHUSD 1GA doc 12-10-03-1 With copy to:Jorden,Bischoff,McGuire &Rose,p.l.c. 7272 E.Indian School Road,Suite 205 Scottsdale,Arizona 85251 Facsimile:480-505-3901 Attn:Andrew J.McGuire,Esq. Ifto the District:f'aurt/cL/s)/J//h t//?i<Add'^&6to/U&6- With acopy to:*Je/i/)//)£5 \^7Jm>c/3^4-^&A97<?s7 /fx.£?. A!0/&uA43^sn£>S7~^£. oratsuch other address,andtothe attention of such other person or officer,asanypartymay designate in writing by notice duly given pursuant tothis Section.Notices shall be deemed received (i)when delivered tothe party,(ii)three business days after being placed inthe U.S. Mail,properly addressed,with sufficient postage,(iii)the following business day after being given to a recognized overnight delivery service,with the person giving the notice paying all required charges and instructing the delivery service to deliver onthe following business day,or iv)when received by facsimile transmission during the normal business hours ofthe recipient.If a copy ofa notice is also given toaparty's counsel or other recipient,the provisions above governing the date on which a notice is deemed to have been received bya party shall mean and refer tothedateon which the party,andnotits counsel orother recipient to which a copy ofthe notice maybesent,is deemed tohave received the notice. 5.SeverabilityandSavings.Ifanypart of thisAgreementisheldtobeinvalidor unenforceable,such holding will not affect the validity or enforceability ofany other partof this Agreement so long as the remainder of the Agreement is reasonably capable of completion withoutinequitytotheparty(ies). 6.Entire Agreement.ThisAgreementcomprisestheentireagreementoftheparties and supersedes any and all other agreements or understandings,oral and written,whether previous tothe execution hereofor contemporaneous herewith. 7.Applicable Law.This Agreement shall be governed by and construed in accordance with the laws ofthe State ofArizona. 8.Cancellation.The parties hereto acknowledge that this Agreement is subject to cancellation pursuanttoAriz.Rev.Stat.§38-511. 9196.004\FHUSD IGAdoc 12-10-03-1 IN WITNESS WHEREOF,the Town of FountainHillsandtheFountainHillsUnified SchoolDistricthave executed this Agreement as ofthedatefirstsetforthabove. Town" TOWN OF FOUNTAIN HILLS,an Arizona, municipal corporation By:MM./^ W.J.NicholSj^Mayor ATTEST: u Bevelyn J.Bender,/Town Clerk District" FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT NO.98,an Arizona school district By:no^yoe^ r.Marian K.Hermie Superintendent of Schools In accordance withthe requirements of Ariz.Rev.Stat.§11-952(D),the undersigned attorneys acknowledge that(i)theyhave reviewed the above Agreementonbehalf of their respective clients and(ii)astotheirrespectiveclientsonly,eachattorneyhas determined thatthis Agreement isin proper form and is within the powers and authority grant€3\ufrcteHhe laws of the State of Arizona. 9196.004\FHUSD IGAdoc 12-11-03-1 GaryL.-Lassen Attorney fortheDistrict Jennings,Strouss &/Salmon,P.L.C. j i .or AndrewJ.McGuire,Fountain HillsTownAttorney