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HomeMy WebLinkAbout2026.0203.TCRS.VERBATIM.TRANSCRIPT.T�WN ❑F FQIJNTAIN HILLS MINIJTES OF THE REGULAR SESSI�N ❑F THE F�UNTAIN HILLS T�WN CDUNCIL FEBRUARY 3, 2425 A Reg�lar 5essian of the Fountain Hills Town Cauncil was canvened at 1 E7a5 E. A�enue of the Fountains in ❑pen and public session at 5:3a p.m. Members Present: Mayar Gerry M. Friedel; Vice Mayar Allen SkillEcarn; Coun�ilmemher Gayle Earle; Councilmember Brenda J. Kalivianakis; Cvuncilmem�er Rick Watts; Counciimember Hannah Larrabee; Councilmember Peggy McMahvn Staff Present: Town Manager Rachael Gaodwin; Town Clerk Beveiyn gend�r, Town Attarney Jennifer Wright ��y�-AI� �l a� f � �� �., s ,, � � � � � � ',, � � z � �� n o. - ; ll , e � r � b • � • � ��l �ha t i s A�'ti�� T�WN �F FQUNFAIN HILLS FE6ltUARY U3, ZU26 REGULAR COLINCIL MEETING MINUTES Post-Produ�tion File Tawn af Fountain Hills Regular Council Meeting Minutes February 03, 2D26 7ranscriptian Pro�ided By: e5�ribers, LLC �*�** 7ranscriptian is pro�ided in flrder tfl facilitate communicatian accessibility and may nvt �e a totally verbatim record ❑f the praceedings. � * � � * Fage 1 af fi2 TaWN �F FQLI{�TAlN HILLS FEBRUARY 03, 242fi REGULAR COUNCIL MEETING MINUTES MAY�R FRIEDEL: I'c� like ta call this meeting ta arder. Waulcf you please rise far the Pledge of Alfegiance? ALL: I pl�dge allegiance to the flag of the Llnited 5tates af America, and ta the republic for which it stands, ❑ne natian, under God, indi�isihle, with liberty and justice far all. MAY�R FREEbEL: And if you chaose to remain standing, we'll take a moment af silen�e. ThanEc you. Town clerk, can we get a rall call, please? 6ENbER: Mayor Friedel. MAYDR FRIE�EL: Present. BEI�dER: Vice Mayor Skilli�orn. 5E{ILLICORN: Here. BENDER: Councilmember Earle. EARL�: Present. BENDER: Counciimember Kali�ianakis. KA�IVIANAKI5: Here. BENaER: Caun�ilmember Watts. WATT5: Here. BENdER: Coun�ilmember Larrabee. LARRABEE: Here. BENOER; Cfluncilmember McMahon. MCMAH�N: Here. BENDER: Mayar� you have a quorum. MAYDR FRIEDEL: Thank yau. And we'll start with aur summary af events. Town Manager, Raehel �aociwin. GDOQWIN: Thank you. Mayor. Vlle ha�e a numk�er of updates that I'm going to go through. I'm going ta try ta move thraugh these pretty quick. But this is a �ery acti�e, k�usy time of year f�ecause it's beautiful here and it's cold and snowy everywhere else in the cauntry. 5� just a few highlights. Dur skateboard classic was held this last weekend, had the Page 2 of 62 T�WN DF FOUNTAIN HILLS FEBRUARY 03, 2026 REGULAR C�UNCIL MEETING MINUTES largest turnout in its four year history with 50 skaters participating. We introduced an eight and under divisian that fifled immediateiy anci was the highiight ❑f the event, alongside truly Olympic caliber campetition. I know the Mayar was there this weekend. A number af folks were out to see it. And as a reminder, if this is sa�ething that's interesting t� you, our skate schoal with Caleb from Brilliant Victory, here in Tawn, resumes February 28th and there are a few spots available. If you'�e ever wanted to take up skate�Ovarding, it's a good time. Also caming this week, the Memorial tiisc Galf Champianship is c�ming t❑ town Thursday thr�ugh 5unday. This is a prafessiar�al ie�el event with Championship 5unday taking piace Iocally this year, Typically it's held in S�ottsdale. Howe�er, their course is under canstructifln, sa the final day will be hefd here in Fountain Hills. You may ha�e already noticed a course set up beginning earlier this week around Fauntain Park, and we encourage park users ta be mindful of flying discs aut there. If you`�e never seen the event, it is really, really awesome to watch, and we'�e been highlighted on ESPN a number of times. 5ome in the disc golf world have let me know that our course is known as the Pebble Beach af disc golf. 5a it's a pretty coal e�ent. Also want to highlight that the Valunteer and Activity Exp❑ is happening tomorrow, February 4th, fram three ta fi�e at the cammunity center. It's a free e�ent that brings the -- brings together aur lacal clubs, arganizations and churches and is a great appartunity for residents to explore new hob6ies and meaningful ways ta give back. Just a rerninder, a part of the �xpo tomorrow will 6e an extended hand faod bar�k collection. They'll be callecting items t❑ support befare and after schoo� programs, and we'll have 6arrels facated at the entrance. �ne ather notable high�ight that's coming down the pike is aur cornhole league. It returns February 24th at Four Peaks Park on Tuesday. It's usuafly super popular and we rarely have room, but we still currently ha�e just a bit af ra�m feft in the program. Sa again, another fun activity to be social and enjoy aur great weather. A farief update on twa upcaming paving projects. I know that's of interest ta our Page 3 of 62 T�WN aF FDUNTAIN H1LE5 FE6RUARY fl3, 2fl26 REGLILAR CflUiVCIL MEETING MINUTES community. Palomino geotechnica! and sur�ey work was completed last week. �uring the week of February 9th, crews will begin pre-lowering manholes and water �alve co�ers, followed by milfing and pa�ing operations set to begin the week ❑f February 16th. 5❑ mark your Galendar. 5hea Baulevard. That's another big one. The pa�ement marking and speed limit redu�tions wit�in the wark zor�e will begin ❑n Friday. And then Glearing and gruf�bing, and some other prep wark is scheduled to 6egin early next week as well, with the full re�onstructian anticipated also to k�egin the week ❑f February 16th. So just a reminder ta use caution thraugh that area. Finally, a reminder abaut some other upcoming e�ents. The Can�ourse in the Hills takes place next Friday -- or excuse rr�e, next 5aturday, February 14th, folfowed by the Festival af Fine Arts and Crafts, February 2�th through the 22nd. 5o mark yaur calendars. Lots of things going on in town. Thank you Mayor. That's my update. MAYOR FRIEDEL: Thank you. Lats -- Iots ❑f stuff going on, Fountain Hills. �kay. Naw we'll start with presentatiflns. And I think the first ane up is Paul, aur finan�e director. Paul? GDOdW1N: CorreGt. Paul is gaing to he joining us t� gi�e us a update ❑n our secand quarter re�enues. Again, that will bring us about halfway through the fis�al year and give you all the highlights. Thanks, Paul. SOL.DIN�ER: If my presentatian will work, A!I right. May�r and Cauncil, tonight I'll be presenting an update an our fiscal year 2�2G se�and quarter revenues. So aur tatal net taxa�le aetivity was 157 million. It was a decrease af seven percent from the prior year. It was a bit of a down quarter for us, but some resilience in a �ouple categories that we'11 ta{k about. A lot of that decrease has to da with our residential rental taxes stiil going away. When we're comparing t❑ last year, that was still a time period that had those taxes. S❑ that's a lat ❑f that, but still a bit af a down quarter. And we'll talk af�out each of the Gategories. Page 4 of 52 70WN flF F�UNTAI{V HILLS FEBRUARY D3, 2026 REGULAR COUNCIL MEETING M1NU7E5 Tatal TP7 was $4.8 millian for the quarter. It was a decrease of four per�ent from the priar year. Again, a lat af that has to d❑ with fhe residential rental taxes not being in that number, but it was 6.2 pereent ak�o�e projections. Remember we talk abaut aur canser�ati�e projections. 5o we're still at a�out se�en percent for the fiscal year so far, abo�e aur projections. It's still a little bit slawer than last year. We did end last year at 15 percent above projectians, but we're still able ta cantinue flperating as a town, and not take any budgetary restrictiQns and place those in place in ac�ordance with aur policies. Retail sales, this is a resilier�t categary. We did see last quarter, had slightly decreased. This quarter, it went up by �.5 per�ent aver t�e priar year at $2.C5 million, and it was x.5 per�ent above projectians. Nflt the best outc�me, but I like that it's shawing some re$ilien�y, not seeing sharp declines at this point. We are seeing same cantra�ted spending, althoug� it looks like we have had a pretty good January so far. So hopefully we see an upswing this next quarter. Retail sales, just looking at retail sales without food sales, just a better look at the loca! shopping trends for retail goods that, as you can see, is almost exactly the same amount at 2.135 millian far the quarter. We brought in 2.13�1 million last year, the same quarter. 5o it's almast the exact same amount. So again, sam� resili�ncy. At least we're nat seeing declines at this point. And that's somet�ing we're continuing to -- to monitar. Remate sellers. 50 onEine sales such as Amazan, Wayfair, things like that. We are still seeing that upti�k in ❑nline sales. We braught in $541,�00 for the quarter in the second quarter, whi�h was �5 percent mare than the same quarter last year. 5o again, while �ur total retail sales withaut food is about the same, more ❑f that shapping is trending anline compared ta the in-stare shapping at this p�int, based ❑n �ur data that we have. Constru�tian, although aur 7D5,�D� for the quarter was fi�e percent belpw the prior year, it's still in a pretty good place. The last three years, three ar�d a half years ar so we've had a higher level ❑f construction sales tax -- of constructian a�ti�ity witFrin the tawn allow that, buoyed lay the in�reased Page 5 of fi2 TOWN OF FaIJNTAIN HILLS FEBRUARY 03, 202fi REGULAR CDUNClL MEETING MINUTES home building that's been going an in the fast few years. Ar�d so with that, although it was down fi�e percent fram the priar year, it's still we�l abo�e our projections by about 20 percent for the quarter. 5a we're stil! doing pretty we�l. We're goir�g ta be talking abvut our prvjecti�ns for next year pretty soan here at the f�udget retreat in a couple weeks, and we'fl talk abaut this categary as well. lJtilities, we're still seeing a similar trend. befinitely something to manitor where our utilities are slightly going down. I knaw we'�e -- I've had questians on this. My guess is that peaple are �peing mare careful ab�ut their utilities, a�though we ha�e seen some recent rate increases with ❑ur electric bills in tawn. 5o we're going to see haw this plays aut thraughout the rest ❑f the year. 6ut with that 45�,000, we brought in just a little bit less than last year. kt was still above aur conser�ati�e prajectians by 7.Z percent. Reaf estate. 5a yau see a huge drop. Again, this has ta do with the long term residential rental taxes still being in the second quarter last year. You'll start to see it be a little bit more c�mparable in the t�ird quarter, when that dropped ❑ff last year. But we did -- in this revenue category, we 6r�ught in $181,QD0. 47. percent belaw the prior year, but this was �ery mu�h expected. As you can see 4�elow, it`s still 15 per�ent aba�e aur canservative prajectians. One thing tfl note is we are seeing in the data a�it af an uptick in our commercial leasing, which is gfling t❑ make up mast of this categary going forward. So we are stariing to see same increases in that data. Restaurants and bars. Although this is one of Qur smaller categories, it's one we fQcused in on a fot because it had �Oeen declining. We had seen some negative trends in this categary the past year or so. Hawever, we had a pretty good quarter for restaurants and bars in our town. You'll see that we brought in 341,000, abaut three percent more than last year. And what was goad, it was well ak�o�e our projections for the quarter, which look at the historical trends at almost ten per�ent above our projections, compared to eight percent belaw our projections for the first quarter. 5a we're seeing kind of an upswing in ❑ur resta�rants in tawn, which is definitely good to see. Page 6 of fi2 TOWN flF FDUNTAIN HILLS FEBRUARY n3, 2Q26 REGULAR COUNCIL MEETING MINUTES 5er�ices. This is our feisure-type category, including hotels, golf, taurs, and �acation rentals in town. 5imiiar to some af the other categories, we are seeing some decreases from the prior year, but stil! well abo�e projections. We brought in $537,��� f�r the quarter, almost four percent #�elaw last year, and actually well below fiscal year'Z4, which had a pretty good year in this categary. But this is one of the categaries we kind of talked about at the -- I believe it was the last budget retreat where -- it flu�tuates a bit more. It has a wider range of outeomes, and it's ❑ne of the ones that's a little bit harder t❑ proje�t. 5o we're a little �Oit extra c�nservative. 5o here y�u see that we did in�rease ❑r outperform our projections by aimost 25 percent. 5a still doing quite well compared t❑ our prajectians. That's it for sales tax. 5� if you ha�e any questions let me know. 5tate shared revenues in our general fund. The San Tan Valiey incorporation that recently happened I belie�e in September, they did start recei�ing some state shared re�enue starting in December. S❑ a month and a�alf aga, about tw❑ months ago. So our -- our shared sales tax and HL1RF re�enues started to be impactec! in Qecemk�er. So you'll se� that we colle�ted $$80,�n� inC� qur general fund f�r state shared sales taxes. �f that amount -- because 5an Tan Valley, they actuafly recei�ed the amount in Decemt�er, but it was for a three month period. 5❑ far the wh�le quarter. 7Fre amount that came out ❑f aur c�lle�tions was abaut $19,00�, So about $5,�flfl a month is the -- about the impact we're probably going t❑ see fram the 5an Tan Valley incorporation. And just as a reminder far state shared revenues, for these revenues, we're in a kind of bucket with all the ather municipalities, ar a pie if you war�t to explain it that way. If you're iooking at a pie chart, we're just a smalf sliver of that pie. We used ta he �.4 percent of the pie of the 9,192 municipalities, and we've reduceti dawr� to about �.38 percent of that pie now, with San Tan Valley coming ❑n board. So with ❑ur state shared incame taxes, that hasn't heen impa�ted yet. The league has tald us that that San Tan Valley will start receiving those re�enues in July. So part of the re�enue prajections we'11 talk about �oming here shartly, that will be impacted by the Page 7 of 62 T�WN �F FOUNFAIN HILLS FEBRUARY 03, 2flZ6 REGULAR CDUNCIL MEETIiVG MINUTES 5ar� Tan Valley incorparation. So we hrought in 1.15 milli�n, very �lase to aur projections. And in the streets fund, the twa state shared re�enues that we talk about a lot, vehicle license tax and HL1RF re�enues. Vehicfe license tax a�tualfy was not -- is nat impacted by that. It's a little bit camplicated to explain, but basicaily the main part af that formula, that sharing formula has ta d❑ with the caunty �ollections. It goes int❑ a state paol, and then Che a�tual distribution of the m�ney is based ❑n ti�e maney �am�ng into the county. And so because San Tan Valley is nat ir, Maricopa Caunty, they're in Pinal county, it doesn't impact aur vehicle li�ense taxes. And we larought in 321,�0�. It was well abv�e projectians. There was a kind of a spike month in there in becember. And then with our -- our HL1RF revenues, t�at is impa�ted because that farmufa is a bit different. It's partially a statewide callection ealculation, partially a �ounty �alculatian. 5o the statewide part of that calculation slightly impacts our revenues. But it was only about, I think, six to $7��0 that was taken from our distributians ta -- to go ta 5an Tan Va I ley. S❑ with that, we were just below prajections, t�ut it was pretty ckase ta that amount. And sa with that, that's my re�enue update far th� quarter. Any questions from the Council? ❑kay. MAYDR FRIEQEL: Councilman Watts. WRTTS: Easy question Paul. S�LDINGER: ❑k2�y. WATTS: The retail versus internet sales. Ha�e you been getting any feedback from any of the retailers fln the A�enue, Tama, the ancillary streets as welf? And if so what are we doing? It looks like we're doing a lat of marketing for the t�wn. Can we inciude some of the retailers in that, or are we going to trip that gift clause tax again, or gift clause issue? 5Di.bING�R: S❑ Mayar, Councilmember, I dan't want to pull s�meone up. I think the best person -- Page 8 of 62 TOWN OF FflUNTAIN HILLS FEBRUARY 03, 202fi REGULAR COUNCIL MEETING MINUTES WATTS: Amanda might be able to answer that. 50LDINGER: Yes, that's correct. WATTS: I`m just saying. S�LQINGER: Would y�u like to respond to that? 1AC065: �Indiscernible}, WATTS: Ha�e you had any feedback about the retail sales �ersus the internet sales, and haw there's been a decline in retail safes attributable t❑ internet? So if there has f�een cancerns expressed by some ❑f the businesses in town, are we in�iuding them in some o� the ad�ertising we're doing for the town as a whale, ❑r can we inelude them? What can we dQ to help them, is really what it �omes down to? JACQ65: 5o Mayor, Councilmember Watts, we have not recei�ed any feedback. It has not come up during any business retention site visits. 5o we haven't actively asked, nar ha�e we been contacted of -- af not being asked. So hapefully that answers that pari of the -- the question. And I guess I'm not understanding t�en, about including them in exactly what. GODQWkN: Amanda, if 1 �an jump in. JACOBS: Uh-i�uh. G���WIN: I think ❑ne good example af what we do t❑ help aur dflwntawn is. For 11�5t817Cer { know Amanda partners with the Chamber of Commerce throughout the summer, parti�ularly tfl encaurage shapping lo�al, highlighting ❑ur different -- aur different types af shopping autlets. 5� I knaw yau'�e been dfling same downtawn- specific mar€ceting, especially on social media. 5❑ I would say we certainly have made an in�estment in trying to highlight all �f the ways that people can stay lo�al and shap lacal ❑ver and af�ove online purchases. Is that -- am I missing anything there? Anything yau �an add to that? JAC�BS: No, I don't think so. So we'�e been targeting mostly summer campaigns. And t�+en about twa years aga we did d❑ a holiday campaign ❑f, again, just dri�ing the importance of shapping loeally. WATTS: 5❑ I think if we continue that emphasis regardless of the seasonality of it, ar�d Page 9 of bZ T�WN DF FOUNTAIN HILLS FE6Rl1ARY �3, zD�fi REGULAR C�[JHCIL MEETING MINUTES include alf ❑f the businesses and emphasize their, it may be one of those things that -- the -- the retailers in town really haven't become aware of it yet, and we may be ahead ❑f understanding the dynamics af it. 5o whate�er we can dfl t� be ahead is what I JACOBS: Right. WATTS: -- ask for. JAC�65: And then I think, too, is we're trying to be mare engaged on fihe ecanomic de�elapment front with twa mig�ty full time employees. But as we're ha�ing, for instance, the Irish Fest, the America 250, we're doing outreaeh. 5ome af it has been very slow of just -- what if you affer a special? What if you have an America 250 fioat that -- if yau're cioing some of that, let us know. And then for free as part of economic c{e�elopment, the business retentian, the attractian, the tourism front, there is no charge to you. Just let us know and we're happy to push that on the Experience Fountain Hills -- plug, if yau're not fallowing us, the d�wntown Fountain Hills so�ial media, as well as just putting it together as a pa�kage. We'll take, far instance -- see, you f�rought me up. 5❑ now I could potentially be long winded. WATTS: 1'm stuck, right? JAC065: gut think of to the Thanksgiving ❑ay Parade, the Turkey Trot. Last year, what we started in partnership with Cammunity 5ervices, was reaching ❑ut ta the businesses and saying, who's apen on Thanksgiving? We know you want to he with your family, but some of you have decided t❑ be open. Mountain View Kitehen. This year we found ❑ut 5nowbird, Qutch Bros, et cetera. We then put tagether a flier based off of that �ontent on the tawn's dime. And it's ineluded in the Cauncil -- not the Council, but the packet pickup for the runners. WATT5: Thank you. JAC0B5: You're welcome. MAYDR FRIEQEL: Thank yau Paul. Well done. And Rachel, we ha�e anather update. Page 1D of 62 TDWN �F FQIJIVTAIN HILLS FEBRUARY 03, 2�26 REGULAR C�UNCIL MEETING MINUTES G�O�WIN: We c#a. We have aur public works director here. He`s going to be sharing some -- some historical information and some uptiates about our road management, our pa�ement management. And really what that is gaing tv mean as we look for -- Ioak towards next budget year, I da want ta highlight that this �onversation and this presentation is really specific to the particular topic. it is not related to our other itemized ar agendized item in regards to Thistle. 5o this is a separate topic. 5o they will be kind of handled separately. ❑oes that saund right, dire�tor? WELDY: That is carrect. GDODWIN: All right. Take it ❑ver. WEL�Y: Mr. Mayor, Vice Mayor, Cauncilmembers. You may ar may not ha�e heard me say this in the past, but the road to successfui pavem�nt management is pa�ed with goad intentians. I'm on the one back, and it's paved with humifity. �n 5eptember the 25th of last year, I staod right here and presented to the Mayor and Cauncil, a series ❑f exhibits that indicated where we would �e working with appro�al and the budget. As part of that, the map that you're looking at in frant of you was presented. It was also nated during that presentation, that the map indicating the n�rthwest and nort�east, and the black lines in particular, were nQt sele�ted by ti�e B055 system or aur software, but rather prepragramed for work that would have been completed ha�k in ZQ15-15, After appravai fram the Council to pra�eed, staff went to these focations ta do some �erificatian and some looking, and discovered t�at all af the areas that you see there in black and listed to the right, in fact, had not recei�ed any treatment f�ack in '15-'16 due t❑ buclget shortfalls, and aur records were not updated. Therefore, we have not returned. We attempted ta get this back to the Cauncil as soon as possible while addressing all af the ather appro�ed areas and warking on some other special assignments. 1'm {�ere tonight t❑ let yau knaw, these raads will not receive any type of pavement rnanagement this year. Historically -- and this doesn't ha�pen �ery often -- when we come up on ane Page 11 of 62 TDWN aF F�LINTAIfV HILLS FE6RUARY 03, 2fl26 REGULAR CDUNCIL MEETIfVG MINLJTES of these scenarias, we put tagether all the necessary paperwork t❑ gather an estimate so we can be prepared. We have done t{�at for this project, and our strong recommendation woul� be to put this on ti�e schedule for the first thing next year, after the �udget is appra�ed. Having said that, the amount of money allocated far this, f�ased on ❑ur estimates, will not be placed into the BOSS software. So when we're running scenarios, depending on what that budget is, it will be less this amaunt, which is approximately $3 million for these lacal roads. That's what i have to say. If there are any questions, I will certainly da my best to answer them, and pro�ide any clarificatian if necessary. MAY�R FRIEDEL: Councilwoman Earle. EARLE: Thank you Mayor. When you say next year, you're talking ahout fiscal year 2�27, whi�h would he -- WELDY: Mayor, Councilmember -- EARLE: -- 5eptember? WELbY: That is �orre�t. S❑ it would be after July 1st -- EARL�: ❑kay. WELDY: -- of'27. EARLE: Or --you mean '26 or -- JACOBS: It's ZQ27 because -- SKILLICQRN: Whi�h is afterJuly'26? WELdY: Yes. EARLE: It's �ery confusing. WEL�Y: Calendars and fiscals. EARLE: And so for those of us doing regular calendar, it's sti11 in 2D26? WEL�Y: The calendar year, yes. EARLE: Thank you. Calendar year. Thank you. WEL�Y: Theoretically. EARLE: Thank you. Fage 12 of 5Z T�WN �F FOUNTAIN HILLS FEBRLIARY U3, Z02fi REGULAR CaUNCIL MEETiNG MIfVUTES MAY�R FRIEDEL: Councilwoman McMahar�. MCMAH�N: ihank you. 5o how is this going to factor in, in the sense of what the money we have now and projecting three million for that? I'm trying to figure that ❑ut. ❑vr+'t we need to, like, take this inta consideration when deciding on any additional streets t❑ do right now ar nat? Because we dan't Ecnaw. I mean, we cio ha�e -- we have put extra money in the streets by a few million dollars. And so I'm w�ndering -- and I'm nat stating it correctly -- how is that gaing t❑ balance out? I mean, you know, loaking farward because this is an additional $3 million that has never been anticipated in any ❑f the discussions. WEL�Y: Mayor, Cauncilmember, and as part af my earli�r conversatian, sa these rvads will nat receive any trEatment this fis�al year. MCMAHON: Right. WE�DY: S❑ between naw and June 3�th, Qur rec�mmendation f�r next year is just that. When we Came back to the Council with the appro�ed budget and we've run t�e scenari�s, we would have subtracted this amount ❑f money, knawing what that is. If the direction fram the Council at that time is to run another scenari❑ and change the scape of work on this exhibit, we ean eertainly d❑ that. But far right now, we're nat certain of what the budget will be for FY'27, so we'll take all of that into consideratian and accaunt far it as part of our budgeting process. MCMAHON: 5o are you saying -- and I'm not putting words in your mouth, I'm asking, are you saying these ha�e priority because there were forgotten since 2015? Dr ar� yau just saying we're bringing them into the system and it`s gaing to be decided as the streets -- the street repairs get decided? WELDY: They ha�� become a priority, simply based on the fact that they`ve nat recei��d any treatment prior to 2n14, '15, `16 -- EARLE: �kay. WELDY: And we made a cammitment to this Mayor, and Caun�il, and the residents that they represent, that we were going to acldress them this year. MCMAHON: ❑kay. Page 13 of Gz TOWN flF FOUNTAIN HILLS FEBRIJARY 03, 2026 REGULAR C�LJi1tCIL MEETIIVG MINUTES WEL�Y: We are simply attempting ta bring that to fulfillment in a timely manner, and the soonest we cauld accflmplish that would be next fiscal year. MCMAH�N: ❑kay. ThanEc you. WELDY: You're welcome. MAY�R FRIEDEL: �ouncilman Watts. WATTS: Anr� that $3 million estimate is projected for 20 -- or 2�27. It's -- it's not 2026 dollars, it is �D�7 dollars? WELaY: Mayor, Councilmember, that is corr�ct. WATT5: And nane ❑f them are in such dire need that they have t� be done now, that there are ot}�er le�ers that we could pull t❑ accommodate that? WEL�Y: All ❑f these raads are in �ery poor condition. Pre-incflrporatian. Yhey fall into what we would have scheduled for this year, if we i�ad allowed the B�SS ta seEect it, but they weren't included in that -- ir� the $cenariv. 5❑ they're ali in very poor condition and need ta be rebuilt. WATTS: So again, without putting words in your mouth, as we progress through the year, depending upon the candition of these streets, and if we find additianal funds a�ailable, we wauld make -- make these a priarity, or could make them a priority? WELDY: Councilmem�er, we eauld certainly �isit that, but for right now, all af the funding �or this year is allocated, and we ha�e a small cushian to be able ta address a few things that may or may not arise. WATTS: Thank you. WEL�Y: Yau're welcome. MAY�R FRIEQEL: Vice Mayor. SKILLIC�RN: Thank you, Mr. Mayar. And Qirector, you did mentian these are all pre- incorporation and they need t❑ be completely rebuilt. And y�u did use the $3 million figure. Y�u're assuming that's an accurate number ta rebuild this list here from your -- your exp�rtise� WELQY: Mayor, Councilmember, Vi�e Mayor, that is corre�t. SKILLIC�RN: Okay. 50 -- and you think that's a-- �onservative? Yau think that that is Page 14 of fi2 TflWN �F FOl1NTAIN HIl.LS FE6RUARY 03, 2D2fi REGULAR CallNCll. MEETiNG MINl1TE5 nat enough? WEL�Y: This is a �onservati�e number witi� an inflatianary factor af about 15 percent included, simply be�ause we are -- we are nat certain. 5KILLICORN: �kay. Yeah, Mr. Mayar, I'm just concerned that it could actually be a little mare. You know, nane af these are really lang, iong streets. But you know, the setup, rebuild is significant. You know, this is labor intensive. It's a lat ❑f work. It's a-- you know, it's a serious, you know, thing that -- I'm glad we're aware ❑f it. But it's something that we must address. And you know, ob�iously, going into the budgeting season, this will be my -- my mind also hased on other, you know, prajects that we do, 6ecause this will ha�e to be a priority. Thank you. MAYOR FRIEDEL: Cauncilperson Kali�ianakis. KALIVIANAKIS: Thank yau, Mr. Mayor. Yeah. Thank yQu far -- for your report. And I know it's sometimes nat easy to come in with bad news ar -- flr a�ersights. And sa we appreciate the update and letting the people in those raads knvw that help's on the way. And I guess my �nly statement would f�e ta you and the Cauncil, is t�,at I �ertainly do hope that when this comes baek before the Couneil in FY'27, that we da place a priarity an -- an fixing what shauld have k�een done, and eommitting to whate�er we need t❑ do out af the roads fund t❑ -- to make goad an -- on these streets. 5o I just hope we remember that. MAY�R FRIEaEL: Justin, thanks for your honesty and bringing this forward to us. We really appreciate that. And I think we probably ha�e heard enough that this will -- this will be a priority for FY'27. We have to get it dane. We'll mo�e on now to the cansent agenda, and we have one item on there. Can I get a mation on t�at? KALIVIANAKlS: Mo�e to apprave the consent agenda. EARLE: k'll secand that. MAYOR FRIEDEL: Thank you. Vlle ha�e a mation and a second. Can we get a rofl -- roll cail, please, T�wn �lerk? BEN�ER: Councilmember Wat'ts. Page 15 of 5� TQWN �F FOUNFAIN HILL5 FEBRLIARY 03, 2UZ6 REGULAR CflL1NCIL MEETING MINU7E5 WATTS: Aye. BEI�bER: Coun�ifinemf�er McMahon. MCMAHON: Aye. BEN�ER: Councilmember Kali�ianakis. KALIVIANAKIS: Aye. BEN�ER: Councilmember Earle. EARLE: Aye. BEN�ER: Councilmember Larrabee. LARRABEE: Aye. BENDER: Vice Mayor 5killi�arn. SKILLICORN: Aye. BENbER: Mayor Friedel. MAYQR FRIEdEL: Aye. BENDER: Mayar, se�en-zero. MAY�R FRIEDEL: Thank yau. We'll mave on to our regufar agcnda items now, and we'li start with consideration, passible action regarding pa�ement management aptians for Thistle Drive and the funding allocations. Rachel? GODflWIN: All right. Back to roads. This time we're gaing to welcome back Jeff, ❑ur street superintendent. He's been here a couple ❑f tim�s speaking about roads and as requested by Council. S❑ back in Qecemloer, I think there was a request put in to e�aluate Thistle, t❑ identify -- and identify casts. 5o with that, Jeff, I'll let yau take it from there. PIERCE: Thank y�u �ery much. G��i7WIN: Thank yau. PIERCE: Mayor, Vice Mayor, Council, I stand before y�u tonight with some further quates as directed, ta see cast alternative ways f�r Thistle Qrive. These are the same kind of quotes that we brought forth for Richwaod during that meeting. Thistle Page 15 0# 62 T�WN QF FOUNTAfN HILLS FE6RUARY p3, 2p2fi REGULAR COUNCIL MEETING MINUTES currently sits hetween Palisades and just east ❑f mountainside, t�ward dead ends. �he first cost in the packet wauld be the chipseal with a cape, that we have dane in the pasC on a numf�er of roads here that was also k�raught forth in regards to the Richwood, where we do a couple af ciifferent treatments to it where we remo�e and replace asphalt. We cia some micra milling. We alsa do crack sealing anci patch patchwark at that. That came in at roughly $9D7,�00. That has a�.5 percent buffer allowance in it, to assume far unforeseen instances that come up ❑r areas that we do not know about because they surprise us. The second quote that was secured was far a fufl reconstruction af �histle Dri�e from end to end. Currently that cost projection wauld be at $1.6 miflion. That includes just o�er a quarter million doilars' worth of cancrete repair, passibly, anc{ at 1.3 cost estimate for t�e rec�nstruction for new asphalt. As for 7histle, it fal�s in the same �ategary as Ridgewoad brive. The fanger it deteriorates, the more it's going ta cast. Costing in a higher investment later ❑n. STAFF rec�mmends -- ❑r I recommend in STAFF that we do the full recanstruetian cost, as it will last longer than the projected se�en to ten years of a chip seal and cape. If y�u ha�e any questions, I'd be happy ta ask -- answer them. MAYOR FRIEDEL: Councilwoman McMahon. MCMAH�N: Thank you. is t�is another direct sefect? Because I don't recall seeing this ane on fhe list. PIERCE: This would be a ciirect seiect, yes. MCMAH�N: And wha's asking for it? PIERCE: It was provid�d direction from Mayor, and Town �ouncil. MCMAHON: nkay. S❑ I'm ha�ing issue with the fact that we're -- e�en t�ough there are, you know, some funds in the street fund a�ailable, given what I just learned from Justin, it might be mare prudent t� use that rnoney to address at least its half of what is estimated, these streets. In addition, rny concern is we know -- we'�e recei�ed a petition for resurfacing ❑f Morningside. 5a this is setting a precedent of, you ltnaw, selecting streets out af order, Page 17 of &2 TOWN DF FaUNTAIN H1LL5 FEBRUARY 03, 2026 REGULAR COUNCIL MEETING MINUTES for lack ❑f a better term. And n�w we have petitians from our residents who want their street done. S❑ I think ta be transparent and neutral, I think that we ought to stay with what we'�e afready decided to do, and keep the funcis a�ailable now that I'�e learned about all these streets that need funding t❑ do. And maylae if we can start daing some ❑f thase streets instead. 5❑ I'm nat going t� -- before this !-- I don't think that, you knaw, that we should be daing direct select at all. We've paid thousands of d�llars for the B05S system. We'�e spent a lot af time talking ab�ut streets, putting extra maney in it -- in the fund, and selecting the streets, and this ane was n�t on Chat list. Thank you. MAYDR FRIEbEL: Councilperson Kalivianakis. KALEVEANAKIS: Thank yau, Mr. Mayor. Yeah, I'm -- I also share Councilmember's cancerns about direet sefect versus data driven. Anybady can Gaogle, and I have it on my phone here, 2023 Pavement Management #ieport. A lot of time, a lat af effort went inta this. You know, they took lasers. They examined every street in the tawn, and went to a saftware program. This was backed by the 5treets Committee. at was backed by Public Works and the engineers. And it was a way ta address the worst first, ar�d then the rest when -- when they're when they're on a iist. I`m uncomfortable wit� what we're daing here. Like Cauncilmember poi�ted out, you knaw, we're getting other -- ather peaple, other -- other residential neighborhoods, you know, belaw the signatures. We'�e been living here. ❑ur roads ha�e been bad far a decade. They're unacceptable. They're falling apart. And so -- and then they had a bunch af signatures with pictures. Yau knflw, I have other letters. And t�en I have ather constituents that are, yflu know, addressing, you know, when's mine going ta get fixed if -- if we're ❑n this -- this way. What is the criteria for me ta get on the street if I dan't wait my turn in line? And yau know, all k can tel{ them is, well, what ❑ther canstituents have done is put petitions tagether and brir,g it ta the Cauncif's attentian. Send us emails, ❑r came to the �all of the public, and give your reasons why yflur street shauld be next. Page 18 of 6Z TOWN n� FaUNTAIN HILLS F�BRUARY U3, Z026 REGULAR COUNCIL MEETING MINilTES There's -- there shvuld be sflme kind af an analyti�al reason instead of just, you knaw, we tQak a dri�e down there, we talked to the residents, and it looked bad ta me, when we have ali t�is data. �ar years, the Fountain Hills has followed a clear, respor�sible, data dri�en approach to street repairs. 5treets are prioritized based �n needs, safety, and larrg term planning, not on whim or palitics. That system built trust. It ensured fairness. It showed residents that every dallar was heing spent wiseiy, and every decision was made with their best interests in mind. We have been cantinuin� ta follow the recommer�datians af the experts. We're at risk daing that t�night, and in future Caun�il meetings with t�is direct select. Because we're ahandoning what we'�e done, which is try to Eceep it out of the paliti�al realm, and try to keep it data driven and let the experts determine the next roads that should -- that should be fixed based on data, based on reports that we paic! a lot of money for. Let me put it like this. When you have a 40 ta �6� million ba�klog and streets repair, there's a lat ❑f streets aut there, and sa why are we singling aut these? I would analogize it to-- if you were -- if you were going to take 4� t❑ $60 million and invest it, would you do it on your own, or would you hire a financial ad�isor to help you in�est that kind of money? You ftnow, I wouldn't trust myself to invest that lcind af money. I would hire somebody. And actualiy, I have a financial pianner because that makes me feel gaod. 5o would I urge my colleagu�s tanight, is let us remain cammitted to t�e data, the assessments, public warks department, the transparer�t pracess that has guided us well for years. Let us pro�e t❑ ❑ur residents in Fountain Hills that we �alue responsibility, fairness, and integrity, over convenien�e. That's haw we honor the people who iive here, wha pay taxes, and entrust us with the stewardship of �ur community. Thank y�u. MAY�R FRiEQEL: Cauncilwoman Earle. EAR��; ❑h, Thank y�u. There we ga. Thank you. Mayor. I'll keep it brief, l wauld like to ask Justin t❑ -- can you -- if you don't mind explaining t❑ us, hecause I had a meeting Page 19 of f 2 TOWN O� FOUNTAIN H1LLS FEBRUA�Y D3, ZOZ6 REGULAR COUNCIL MEETING MINUTES with you -- orjust talk to you at�aut the 6�55 system. And it's not just the BOSS system that we use. It is -- then Comeback, if I am saying it carrectly, and then staff re�iews it and makes the choices. Is that �orrect? Can you explain that t❑ us? WELDY: Mr. Mayor, Councilmember. After the budget is appra�ed, we take the manies allocated for pavemenC management. We subtract a little bit a�aut �.5 percent af that tatal, so we Gan at�dress broken �oncrete and things like that. We then ha�e aur cansultant put that into the saftware, and run an unconstrained model, meaning all of the different types flf pa�ement management and-or treatments that we would use are rur� through that model. When that modeling is finishing, they send us a series of exhibits. We go through those exhibits and kind ❑f sort through them. Here's a good example of what we wauld do. They spit ❑ut a small section of Fountain Hills Baule�ard a few hundred feet on either side of saguaro, which is a small segment. We decicled to measure that distance and take it and put it somew�ere else, where ihey had also done samething similar but a little bit longer, that wauld aflow us to camplete a super scgm�nt, s❑ we ha�e a Ionger section af the raad. We -- when I say we, the staff sarts through that for literally weeks as part af this pfanning process until we get ta where we want, and each time we make �hanges, we also put a little bit ❑f restraint in regards t❑ the type af treatment. And that inf�rmation is put �ack in, recalculated, and sent to us. By the time that we come here t❑ present to you, we've prohably spent -- pro�ahly three and a half weeks ❑r sa, a few hours a week reviewing, and calculating, and checking an stuff. Sa the initial model that is put aut is not what we hring t❑ you, simply because we are using our best management practices, and guidanCe, and our knowledge ❑f the area, and what's best. EARLE: Thank you, Justin. W EL�Y: You're wel�orne. MAYnR FRIEaEL; Vi�e Mayor. SKILLICQRN: Thanl� you, Mr. Mayar and 5upervisor Pierce. Just to kind of recap a little bit, if it's chip and seal, it looks like it's just over $900,40�. Expected life expectancy is Page ZO of 62 TaWN �F FDUNTAIN HILLS FEBRUARY 03, ZU26 REGULAR COUNCIL MEETING MINLITES seven to ten years. That's correGt? PIERCE: Yes. SfCILLICORN: And then I see the reeonstruction costs at�out 1.6 miilion. What is the expeeted lifetime far that total reconstruction? PIERCE: With the right preser�ation methads, a roaci cauid last up t❑ 30 years. SKILLIC�RN: ❑kay. S❑ I just did the rough math, ten years, the most, you know, mast generous situation, yau knaw, that �omes at amartized cast, about $90,DOD a year. If we go for the total reconstruction, that amortized cost drops dawn to $53,��0 a year. It seems like it makes sense t❑ me, Make a mation t❑ approve as drafted for the total reconstru�tion. LARRABEE: 5ecand. MAYDR FRIEbEL: Councilman Watts. WATTS: J�stin, a point of c�arification. if I'm not mistaken, this came up last -- I think the last meeting specifically related to Thistle. And your statement was that Thistle was on next year's list, and it was a priarity on next year's list. And the second component is, the two systems you use are 8�55 and software ta analyze the boss data. There are two different systems, aren't they? WELDY: Mr. Mayor, Councilmember. First, a li#tle bit of clarification. 5a all of the raads that are re�orded by the analysis are in the system. I da not recall having said that Thistle would be in next year, because we ha�e not run that analysis. What we have in the analysis is the PCI, the str�ss �anditions, anci the averall conditian af the raad. 50 we don't ha�e a two, three, four ar fi�e year horizon that we loak at. We laok at a one and a half to tw❑ year horizan. And I`m not sure where ❑n that hat'izan Thistle falls. 5o if I said it was in next year, I was mistaken because we da nat have that modeling done. 1NATiS: I cauld equally he mistaken abaut hearing what I thought I heard, but the condition ❑f Thistie compared to the roads that wer� not addressed since 2014 ta 2�16, how d❑ those twa c�mpare? WEL�Y: They're about equal, as Mr. Pier�e just whispered, they're -- they're in �ery page 2i nf 62 TdWN �F F�UNTAIN HILLS FE6RUARY 03, ZflZ6 REGULAR COUNCIL MEETING MINUTES poor candition. And it's not just the few that we showed you on the presentation, or the exhibit tonight, or Thistle. The majority ❑f the community, especialiy the local r�ads, are in this �ery similar ar worse candition. WATTS: ❑itay. And then cfarity again, the B055 system analyzes the rvads, your software system, whatever that may be, analyzes the data based upfln a number of factors? WELDY: Carre�t. WAiiS: Dkay. I think that's it. Thanks. WELbY: You're wel�ame. MAY�a FRIEbEL: So I want ta make a statement. First af all, this road work is really impartant t❑ every resident. The roads that we're talking ak�out daing, there's probably abaut 650 residents that li�e on these roads. It's not a whim. And it -- and it's not polities. It shoulcln't be political, and it shouldn't be party dri�en. And it isn't. There's na politics when it eomes to fixing roads in the tawn af Fountain Hills. Period. We're -- residents -- yes, we ha�e the data, but the data doesn't say if y�u ��me irr under budget, don't do any more road work. We're going to do as much road work in this town as pflssible to get caught up ❑n these roads and get this problem taken care af. 5a with the extra money that we came in under budget, we're �ettir�g a cauple af mare roads done, and there`s no problem with that. Thcre's a lot of r'aad work, there's na questian. Am I right, Jeff? No kidding. PIERCE: Yeah. MAY�R FRIEbEL: Sa we knaw what ❑ur priority is gair�g C❑ 6e for next year. We've already discussed that with the puhlic works directar. This is not political, and there's na cronyism g�ing ❑n with this. There's a lot ❑f residents that requested that these roads be fixed, and that's what we're addressing. And I'm gEad that this Council -- we have a m�tion and a second to get this done. D�r. Da we ha�e any speaker cards an this? BENDER: Mayflr, we have one. Catherine Myrick. Page 22 of 6Z 70WN �F FDUNTAIN MILLS FEBRUARY d3, 202G REGULAR COUNCIL MEETING MiNUTES MYRICK: Hi. Gaod evening. I'm Catherine Myrick, Fountain Hills resident, and I just ha�e a couple quick comments about this item. First of all, it's a great prablem to have that our public works direetar anci staff were abfe to deliver contracts an these roads that came in under budget, and we ha�e money to spend. And I think th� Council did a great job ❑f saying we should spend this money on roads, because that makes sense. But my question that I'm cflnfused about is how we chose this street, Thistle, and alsa Ridgewoad, which you guys talked abaut a cauple weeks ago. How did they mo�e to the top ❑f the list? And some people will say, well, have you driven those roads? And yes, I have, and yes, they're ba�, but so are a lot of other streets in t�wn. The publi� wflrks director was just up here saying that his staff spent three and a half weeks putting toget�er the list of roads that we should prioritize, and yet these two were chasen by the Mayor and Council, and you guys are great, but what is your professional experience in public works? That should come from our staff. In the last fi�e years, the tawn has spent public funds to study all 166 miles of streets, and they'�� been categorized into the priority list of the ones we need to repair first, t❑ spenci our limited tax funds most efficiently. If we want t❑ get the most bang far our buck, that's the list we shauld be looking at. What I would lifce t❑ knaw, and I`m sure many other taxpayers would like the same information, is why were Thistle and Richwoad chosen ahead af the ones that had been scientifi�ally prioritized to benefit all citizens ❑f Fountain Hills. Fiscal r�spansibility is a major job of the Council, and I think ��eryone is looking for transparency, and this decisian daesn't seem to take either of those intv acc�unt. 7hanks. KALfVIANAKlS: Mr. Mayor, I've had my light an for like fi�e minutes. MAYQR FRIED�L: We just finished with a with a publi� s�eaker. KALIVIANAKIS: Right. MAY�R FRIEpEL: �kay. Did you have samet�ing you needed ta say? KA�IVIANAI{IS: lust briefly. Just -- just sa pe�ple aren't putting words in my m�uth. If -- if we da have extra money, found money fram �ther prajects that came in under page 23 of 62 7DWN OF FDUN7AIN HI�LS FEBRUARY a3, 2026 REGULAR CDUNCIL MEETING MINUTES budget, my contentior� is that instead of us pi�king the next road, or two, or three, or street, t�at we just g❑ ba�k to the data dri�en list. And so I think e�erybody in the Coun�if is aware of the road situation we ha�e here. We have a 40 to $60 million backlog, and we dri�e on these raads oursel�es. 5o my contention is I don't think that we should be pi�king them. I think, like the speaker said, we should let the experts pick them. And if we have extra money, then !et's go back ta the data dri�en list. And I talked ta aa�id Yano�er about this taday. And the ❑ther bene�its to going tfl the data driven list, is you can actually sa�e maney. I think, Justin, I've had this cfln�ersation with you. It's a complicated issue. I don't war�t to g� taa far in the weeds, but when -- when managing r�ads, y�u knaw, same -- same of the ones that are really falling off the �liff, if you pay a little bit af attentian to them, which are pro�ably the ❑nes on the iist, you save money in the long term because atherwise they're going to become money pits. But anyway. So yeah, no wards in my mouth, I want ta I want to talce the o�erages, and I want t❑ apply them t❑ the list. And Justin, if you ha�e some rcmarks an that, I'd appreciate it. WEL�Y: I-- ! think it's important, Mayor and Councilmembers, that that I bring a couple of things up. Ea�h time w� corne before you and we get approval for either a sEgment ar a super segment of road, it starts th� clocic for us ta get that work dane. Part af that process is we need t❑ notify all af the utility companies that work is going ta be taking place, and A, B, ❑r C, and allgw them an opportunity to respor�d. It's not uncommon for the sanitary district ❑r any other pravider to say, we are going ta be doing this. Before you do tFrat, can yau give us a littie tirr�e? Absolutely. We`ve gi�en up to a year far cable replacement for electri�ity. The rQa�s that yau have already ap�ro�ed and are sele�ted, ex�luding the ❑nes I shawed you earlier, that shat �lack is underway. With -- if there is approval tonig�t far Thistle, the cl�ck for that starts al1 �ver. An� th� reasan I bring this up, is when we have unsper�t fund balan�e, we Iook forward to using Page 24 of 6Z TDWN OF FflUAiTAIN HIL�S FEBRUARY �3, ZflZ6 REGULAR C�UNCIL MEETING MINUTES that in a leap year if we can, because we've nat notified those utility campanies of any work that's going to be happening. 5a it's difficuft to just ru� out and do a section of road. The last thing we want is ta spend money f�ased on the Mayor and Council's recommendation, and then ha�e someone have to came in and trench far any one af the utilities that service that area. MAYDR FRIEDEL: Thank you. And I'd also IiEce t❑ point out that we don't pay a primary pr�perty tax far road work in this town. 5a when I hear peaple say we pay taxes, yes, sales tax, we use sales tax, TPT, Herf money, b�t we don't have a primary property tax t❑ fund ❑ur road work. lf we did, that would be a whole different stary, and maybe we'd be talking abaut doing 20 or $30 million a year in road work. We just don't ha�e that ❑ppQrtunity right now. Councilman Watts. WATTS: Our street superintend�nt was pretty emphatic abaut supporting the recanstruction of that road, if I'm not mistaken. Is that �orrect? PIERCE: Yes, sir. WATTS: 5a I'm gving ta ask �ustin, put you on the spot, again. Are yau supparting dfling Thistle? Is it -- is it in your list of streets samewhere along the line t❑ do? Qaes it need it in your estimati�n? WELDY: Mr. Mayor, Councilmember, Thistle -- again, a!I of the roads are in the data. And does it need it? Absolutely. And do I support a full depth recanstruction �ased �n his expertise? Absolutely. WATTS: 5❑ it's not on a whim. There's a need there. WELDY: Yes, there -- there indeed is a need to provide maintenance and -- or reconstruction to a lot of the roads within ti�e eommunity. This is one ❑f them. WATTS: Thistle being high up on the list? WEL�Y: I wouldn't eategorize it as higher on the list than any other ones that are deCeriaraCed ta that le�el. WATTS: I'm nat sure I understand deteriorated to that level. WEL.bY: Very paor candition. 5o we have a lang list af very paar condition. Page 25 of fi2 TOWN OF FDUNTAIN NIl.LS FEBRUARY 03, 202fi REGUtAR C�l1NCll MEETING MINlJTES WATTS: But it`s in that list? WELDY: It's in that list of very poor conditions. WATTS: Thank y�u. WELDY: You're welcome. MAY�a FR�E�EL: Town Clerk, we have a motion and a second. Can we get a rall call, please? BENDER: Councilmember Earle. EARLE: Aye. BENDER: Councilmember Larrabee. I.ARRABEE: Aye. 6ENDER: Councilmember McMahon. MCMA�iON: �iay. BEN�ER: Councilmember Kali�ianakis. kCALIVlAIVAKi5: I will be �flting nay, but I d❑ support the work heing done. It's just a protest vate t❑ say that we should be using the data driven and not the dire�t seEect. BENDER: Crauncilmem4�er Watts. WATTS: Aye. BEND�R: Vi�e Mayar SkiGlicorn. SKILLICORN: Yes. BENQ�F�: Ancf Mayar Friedel, MAYDR FRIEDEL: Aye. BENdER: Mayor, Five-Two. MAYQR FRIE�EL: Thank yo�. Okay. Item B is consideration for a possible action regarding a request for cut and fill waiver. Ra�hel. GDObWIN: birector Wesley is here to talk about twa different CLIT�FILL waivers we ha�e back to k�ack on our agenda. We's gaing to be sharing the details of each. With that, I will turn it o�er to you, John. I need t❑ f�uy yau a few more minutes. Here. Hang Page 2fi of 62 TOWN Of FOUN7AIN HILLS FEBRUARY 03, 2026 REGULAR COI,lNCIL MEETING MINUTES OII. WESLEY: iVa. I'm ready. GOQbWIN: All right. Now you're gaod. WESLEY: Mayor and Councii. Good to t�e with you this e�ening. As mentianed, I ha�e two CUT�FILL waivers that have come forward fot' yaur dis�ussion tanight. The first �ne being at 1632a North Borreg❑ Trail. Still nat sure I say that right. 5o just quickly, one more time. You'�e seen this se�eral times, but section 5.fl3 ❑f the subdivision ordinan�e sets farth the limitations on cut and fill, and allaws a maximum of ten faot of either, but does allow the property owner�de�eloper ta request a wai�er from the town Coun�il if they ha�e areas that exceed that. We ha�e a new house being designed at this address, and does have cut and fill af more than ten feet. I ha�e requested the wai�er. So you ean see ❑n the map here, the lot in question here and near the end af t�e street up in EagEe's Nest in the norti�west part af town. $o ❑�erall, the slapes on this property are about 13 p�rcent or sa for Fauntain Hills. That's not real significant, but there are areas, particularly along the sauthern side ❑f the property here, where there's a bit of a ravine, wh�re the slopes are mu�h steeper. The house has been placed to the middle ❑f the lot, trying to take care -- take ad�rantage of this relatively flatter partion af the property as much as pflssible. But they did end up with an area in front of excess fill and an area in back. Actualiy, tw�, there's a real tiny ane right th�re, of excess cut. 5a this is a little bit more of a�lose up then particularly of ti�is, of the larger excess cut area at the rear of the property. And yau can see from the backside here a�tually, you know, this is the hill. 5❑ from -- from the side, nabody really sees that excess cut. T�e onEy piace it's really going to be seen is fram inside the house and their -- arounc{ their paol area. 5❑ no real impact ❑n that ane. 5a you know, there'd be some aptions there t❑ reduce the amaunt of private space that they have behind the poal, to not have so muCh of a cut. gut again, that wouldn't really impact anybady but the owner. Page 27 vf 6Z TQWN �F FOl1NTAIN HILLS FEBRUARY 03, 2Q2b REGULAR COUNCIL MEETING MIIVUTES The front part of the property is the area with a more significant change, with the excess fill that`s needed in this corner of the hause, almost 14�t at its highest point. And looking from the front to the appraximate area where that excess fill takes place. And again, that section is thraugh this partion af -- of the building. And la�king at this in cantext of the neighborhood, you've got a vacant properties, still, tQ the south and the east, and a track immediately adjacent. The house across from here is lacated, a bit away from the area that would be able to see that excess fill. 5a a Gouple of other shats of that, that corner where that excess fill takes place. You can see the plan t❑ generously pro�i�fe landseaping in there to help soften the walls, that wifl be there. Again, this shows how they'�e worked to try to put the building in, a little bit more the flatter portian of the lat, but it does ha�e the slopes that ha�e made it chaflenge, and create that area far the ex�ess fill. 5o staff does support the fill and cut on this property as requested. Any questions you ha�e ❑f ine? MAYDR FRIE�EL; Vice Mayar. SKILLICORN: Thank you, Mr. Mayar. Lo�king at the -- the drawings, lo�king at the map w�ere it's Iflcated, I mean, it's a heautiful area. It looks like it's going to be a laeautiful hame, I think this will be a fine additian to Fountain Hills, and I'd like ta make a motion tv appro�e as drafted. LARRABEE: 5ecand. MAYQR FRIEDEL: Are there any Gomment cards on this? BENDER: Mayar, we have two. The applicant, Ke�in Morgan, and his archite�t, Ben Shear �ph.). MORGAN: I think �ohn did a great job, but I'll �e f�rief. Real brief. Yeah, we tried to keep away from, as much as possible, the slaping, and sa we even added an extra retaining wall ta keep it smaller. 5❑ that's really what we tried to da overall. And what you'il see is on that side there is a wash and dents in, sa there is no way to stay away from it. And then thrvugh the center ❑f the property also is a ravine. Sa there's no way Page 28 af 62 T�WfV dF FOUNTAIN HILtS FEBRUARY 03, ZD2fi REGULAR C�UNC[L MEETING MINUTES ta stay away from thase tw❑ things. But that's it. Thank yau. MAYDR FRIEDEL: We have a mation and a se�and. Can I get a roll call, please? ❑h, John, dn yau have something else y�u want? No. BENDER: ❑id the architect -- did the architect want t� talk? Dh. SHEAR: �indiseernible]. MAYOR FRIE�EL: Okay. Thank you. Can we get a roll call, please? BEN�ER: Councilmember Watts. WATTS: Yeah, aye. BENDER: Councilmember Kalivianakis. KALIVIANAKIS: Aye. BENDER: Councifinember Larrabee. LARRABEE: Aye. BENQER: Councilmember M�MahQn. MCMAH�N: Aye. BEN�ER: CounCiimemk�er Earle. EARLE: Aye. BENdER: Vice Mayor 5killicarn. SICILLICORN: Yes. BENDER: And Mayor Friedell. MAYOR FRIEDEL: Aye. BENDER: Mayar, 5even-2era. MAYDR FRIE�EL: Thank you. WESLEY: 5❑ Mayor, if you're ready? MAYDR FRIEpEL: I'm ready. You're an deck. WEStEY: 5a t�e next one is at 15�5� piamandback Court, which is just across the ridgeline from the last one that w� looked at. So again cut ancf fill waivers for excess af over ten feet. The app�icant here working wit� their -- their slopes really does desire a main ie�e1 where they can age in place. And that impactec{ the design to same degree. But there is, again, some area of excess fill an this one. Page 29 of 62 T�WN aF FQUNTAIN HILLS FEBRUARY D3, zUzfi REGULAR CQU�1CIl. MEETING MINUTES Again, just to put it in perspecti�e, the last one you looked at is this lot right here. 5❑ we've gone ❑ver this rid�efine to this ane here on Diamondback. And so this has an area in the ba�k of the i�t that has the -- the excess cut that takes place. They've pushed the prvperty as far forward as they can, to the setback line ta a�oid as much as that steep sfape as they can. And you can see the slopes are relatively flatter here across this front part, but there is a steep drop off to the ba�k towards the ravine in the back portion. You can see that again ❑n -- on this side of the -- of the siapes. Again, relati�ely flat here, but there's a drainage area through the back that creates that extra steep slope a little bit closer look at where that is. 5ome of it is under the t�ouse and same af it under an outside patio area. And looking at it from the side here facing the neighbor, that wauld be adjacent, and the back is where you'd see the most ❑f it. But that's directed back towards the Mcaawell Preserve area. A section through the house shawing that ta the highest paint, about 15ft af excess fill, and als❑ a little bit t❑ the side there. So again, putting it in -- in context of t�e property, this lo't. 5o the clasest house that anyhady would ha�e a view of that is this one immediately to the east. That particular h�use is set dawn the hill and reaily backs into the side. They have no autdoor space or only ane windaw that I naticed that would e�en look out t�at way up an the second floor. S❑ really nat �isif�le to anybody. Again, the ridgeline through here. Everything gets huilt here is like�y ta be to the ather side of that ridgeline. So na significani impact. 5o again, they lowered some options here. Yau know that they maybe could have dane -- reduce -- lawer the finished floor level a little bit to take away some of that need for that excess fill. That creates problems in the front sid�, because now they'�e gat to adjust thos� grades in front and have same tall retaining walls ❑ut facing the street. You know, they could mayb� step t�e house dawn instead af having one flaor. But as many people these days are looking for that main floor ta have na st�ps. 5o as you age in place, you dan't ha�e to deal with those. The second flaor they da ha�e, is primarily Page 30 of fi2 TOWN �F F�UNTAIN HILLS FEBRUARY U3, 2�26 REGULAR COUNCIL MEETING MINUTES for guests and entertainment areas. It laaks like I didn't ever came back and change my last sfide here, so farget what that one says. And but staff does recommend appro�al of the -- this fill wai�er. MAY�R FRIEbEL: Vice May�r. SKI�LIC�RN: Thank you, Mr. Mayar. You know, again, it laaks fike a�eautifu� property, beautiful part time. It is ironic that their, you know, their neighbor just �ehind them is the ather praperty. 5o that is quite ironfc. And I think the same thing. They're not g�ing ta be a61e to see each ather. There's nat anyane that's really gaing to be able to see it. I think it's gaing t❑ be a wanderful addition to ❑ur wonderful town. So I'll make a mvtian t� apprave as drafted. EARLE: I seeond it. MAY�R FRi�DEL: Councilman Watts. WATTS: John, is the paol an the -- kind of the east side ❑f that hous�? Is there a pool there, ❑r no? WESLEY: How do I do that, see which one's the best ane t❑ shaw it? The poal area -- WATTS: It loaks iike it's dawn bel�w. WESLEY: it's right in here. WATTS: Right. I just cauldn't see that -- the lahel there. ❑kay. I just want ta make sure it was included loecause it w�ufd be unusual not ta, so thank you. MAYDR FR�EbEL: 7owr� clerk. ❑o we ha�e any comment cards? BEIVbER: Mayar, we have the appiicant and the ar�hitect. Sa it's 5hannon Perry �ph.y, and the ar�hitect is Ben Shear. pERRY: Hi Mayor. Hi Mayor and CounGilmemk�ers. I just wantec! t❑ see if anyone had any questions or �oncerns for us in the design of this �ome, and pasitioning on the Iot. Na. Dkay. Thank you for your time an�{ consideration, and for the staff's time and thoughtful re�iew of aur -- our fill waiver. Thank you. MAYOR FRIE�EL: �kay. We ha�e a motion and a se�ond. Can we get a roll call, please? 6EN�ER: Cauncilmemher McMahon. MCMAHQN: Aye. Page 31 of 62 T�WN OF FQLINTAIN HILLS FEBRLIARY U3, 2�26 REGULAR COLINCIL MEETI�iG MINUTES BENDER: Councilmember Larrabee. LARRABEE: Aye. BENpER: Cauncilmember Earle. EARLE: Aye. BENDER: Couneifinember Kalivianakis. KALIViANAKlS: Aye. 6ENDER: Councilmember Watts. W ATTS : Aye . 6ENDER: Vice Mayor 5killicorn. SKILLICORN: Yes. BEND�R: And Mayar Fiedel. MAYDR FRIEQEL: Aye. 6ENaER: Mayor, seven-zera. MAY�R �RIEbEI.: 7hank you. We'll move �n to item b, whi�h is regarding res�lutian Z�2G-�2, Fauntain Hills Town Council Rules of Pro�edure, Amended and Restated February 3rd, 202G. Restoring the caEl t❑ the public. Rachel. GOODWIN: Mayor, I'm gaing to lay this one o�er ta aur town attorney, who's taken the lead ❑n this item. WRI�NT: Thank you, Mayor and Co�ncil. As you recalE, on No�ember 18th ❑f 2�25, the Coun�il �oted ta remave the call to the public based off of recommendations I had made in response ta sorrie -- a notice of claim. At that meeting, the se�eral of the Cauncilmembers who had �oted in fa�or of removing the call ta the pubfic asked that I review the rules ❑f procedure so that we could restare the call af the public a�ter we ha�e made some adjustments to the rules af decarum, and ensured that the First Amendment rights of our canstituents were maintained in whate�er the rules of decorum and call the public were vised. On January 2flth, 2026, we had a work session where we went over in detail all of the different rules that were ehanged. And we amended the -- in those ru�es that were Page 32 of 62 TDWN OF FOUN7AEN HILLS FEBRUARY fl3, 2026 REGl1LAR COUNCIL MEETING MINUTES changed, we mflved the call the publiC to the end of the agenda. We alsa limited the maximum amount af time to 30 minutes. And although we've -- we'�e now made it sa that there's no maximum on the number of patential speakers in that 30 minutes, but each speaker is limited to a maximum af three minutes. S❑ if they ha�e, you know -- can say what their �oncerns are in less time, then you �an ha�e more people ga through in that 3� minutes. 5o it allows patentially m�re opportunity for people t� speak. Ar�d we also just t❑ alsa make sure that everyane in the public knows that there are s�me new rules requiring that the request ta speak be turned in before the Council meeting starts. In part, that's because during the agenda items, we'�� alsa made it so that w}�en -- when there's an agen�a item up, that we rotate between those that are for ar�d a�ainst an agenda item, That way there's kir�d ❑f a balan�ed approach to the -- to the speakers. That's somethir�g that some of the Councilmembers had seen at ather meetings, with great success, and they liked the balanced approach ta hearing speakers on bath sides af the tapic. 5o it wasn't frontlaaded. 5❑ anyway -- so we did add in a r�quirement that the request ta sp�ak cards be submitted to the town clerk prior to the start of the meeting, and I just wanted ta make sure everyone heard that, because I know that's going ta be a adjustment and change for our -- for our constituents. And then many af the changes to the rules af -- the rul�s of decorum were adopted in part from rui�s of decorum that are used by the �ity of Scottsdale. 5o I was -- we w�re not making up things ❑n the fly. And -- ah, and then fallowing the work session last week, there was some concerns r�garding the way it was warded, regarding the use �f professional audi❑ and video equipment. That rule was amended after Qur discussion so that it says, first of all, anyone using professinnal equipment, not just the media, needs tfl notify the town. Rea41y, it's a nfltificatian process. It's sa that the town can make sure that there's appropriate space. I know we had a pr�fessional camera and some professional audia equipment in the past, and this isn't far general cell phane use. 7his is if there's prafessional equipment Page 33 of 62 TDWfV OF FOUNTAIN HILLS FEBRUARY 03, 2U26 REGLlLAR COLfNCIL MEETING MINLl�fES and if there's multiple requests, it's so that we �an accammodate all of the media -- any media requests that come in, so. A lat ❑f towns do these kinds of things where you ha�e to pro�ide ad�ance notice. It's not it's not meant to restrict the ability to ha�e these. it's just so that we can make appropriate accommodatians because we want t❑ make sure that there's room for bath the media and for constituents. 5o ir� this set af �hanges, there were no significant substantive �hanges ta ather areas of the rules of pracedure. Those might -- there might be some areas that need ta be addressed in the future. But the facus fflr this set af rule changes was ta restore call t� the public and to clarify procedures for conducting the meeting, including rules af decorum. MAYDR FRIEbEL: Thank y�u. Vice Mayar, yaur light's on. SECILLiCORN: Thank you, Mr. Mayor. You know, reading t}�rough this, this all �aoEcs workable. And it looks like a nice way ta proceed and bring back public comment, especially in the spirit af fr�e speech and the First Amendment. So I would like to make a motian to apprave with ane, just really minor change. Section 4.2B, number three, it says town manager and town attorney, �olon, town manager or town attorney may place an item ❑n t�e agenda, et cetera, et cetera. I just want ta add in Mayar. 5o town manager, Mayar or town attorney may place an item on the agenda. That's the motian I'd lik� t❑ make. EARLE: I'll second that. LARRA6EE: Can I get a paint of clarificati�n? I'm sorry. For the attorney. Thank you, Mayar. J�n, I might be mistaken, but I thought we had removed -- ❑h, wait, it was member of the public. It was through the town manager adding an agenda. I am confused. Never mind. 5cratch all af that. MAYDR FRIEDEL: C�uncilwoman McMahon. MCMAHON: I have a couple �omments to make �n different sections. 5a can I make -- do you want me t❑ make them all at ❑nce, or do yau want me ta take them one at a Page 34 of fi2 TflWN QF FOUNTAIN HILLS FE6RlJARY Q3, 2026 REGUI.AR CQl1NCIL MEETING MINl1TE5 time ar what? ❑kay. Because it's going to take a couple of minutes to d❑ sa. You �hanged ❑pen call ta the public t❑ be prafessionally recorded. 7o me, that's weasel warding it. It clearly is stiEl interfering with freedom of the press recording a meeting, in �iaiation ❑f the First Amendment, which states that there shall be n❑ law abridging the freedam of speech or of the press, ensuring that go�ernment can't control the media, enabling it to infarm the public and hold power accountable. What's professionally? Is it defined in the rules? if someone brings in a �idea recorder, is that considered professio�al? Is a phane consiclered professional? Because a lat of media people and the public out there use their phanes. Is that now considered a professional equipment? Sa you're requiring samething that has no definition. And so t❑ me, I dan't think that -- that -- that you can enact that. Ta me, it's another broader restricti�e form of reduced transparency and an attempt to control the narrative on a k�roader scale. And t❑ me, it raises serious concerns under the First Amendment, freedom ❑f speech, and freed�m of the press. And I think constitutionaliy and stat�torily, hath the public and the press ha�e a right t� re�ord public meetings. There is na statement in the statute that says that it's anything ta do with professianal equipment is required to record that. I think it's a douhle standard, I still think it singles aut the press, and is designed to prevent the public and press fram recording ❑pen meetings against open meeting Arizona law. 5o I think that the final sentence con�erning notiee of re�ording should be removed. I don't thin[� it`s enfarceak�le. 5o part of rny motion, and it would -- my motion would be ta remave this, the word professionally and to not have it k�ecause it's not defined. So how can you fallaw it? As far as regular meetings, why are we moving call ta the put�lic to the end af the meeting? Moving comment to t�e end af the meeting has a predictable effect of discouraging participation by forcing members af the public ta sit thraugh the entire agenda in order t❑ sp�ak. That undermines meaningful pubfic engagement. As elected afficials, we represent the community. T�e publi� has a Canstitutional right ta address Page 3S of 62 F�WN DF FDUNTAIN HILLS FEBRUARY 03, 2026 REGLJLAR COUNCIL MEfTING MINUTES its ga�erning f�ody and t❑ hold us a��ountable, and I hope they da as they have for the last five years that ['�e ser�ed on Council. Poiicies that deter pubfic comment, canflict with that responsibility, and with the principles ❑f transparency and accountability required by state law. I recei�ed many calis and c�mments obje�ting to moving call ta the public to the end. Many ❑f our residents are offended by Council trying to silence them. This Ghange ser�es no legitimate governmental purpose. 4 can't help but think it's dane on purpase t❑ reduce public participation on matters before Cauncil. Again, !'m going t❑ make a mation to nat mo�e it to the end and to keep it, call to the public before the -- the regular agenda. And I don't understand also why we're ha�ing the tawn Clerk spend time going for and against, you know, balanced approach or not. I mean, comment cards or camment cards. We've ne�er had that done f�efare. The end result is the end result. And without repeating my comments at the January 2�th m�eting, I continue to object to these some ❑f these rules, the changes presented. I think these changes undermine aur transparency, ❑ur accountability, and meaningful participatian, ar local go�ernm�nt. And for that reason, I will oppose them. And specifically, I disagree with the pro�ision lirniting councilmember dis�ussion ta two minutes. I think that's a hindrance. I don't iillflk 1i�5 j7�51tIV�, We routinely require more than two minutes ta explain our reasoning during an agenda, discussion and debate. Meaningful deliberation is essential ta transparen�y and to informing the pulalic ab�ut how and why de�isiflr�s affecting the town are made. This limitation, t❑ me, unnecessarily restricts us from fully stating ❑ur position, and undermines our duty ta conduct its business openly, and thaughtfully. A rule that curtails this deliberation w�rks against the very purpose for whieh we are elected. Fflr these reasons, I oppose this limitation, an�{ I urge Council to remo�e it or re�ise it. Also you knaw, you brought up again, it says that Coun�ilmembers have to refrain fr�m making comments that are adverse to the tawn. Well, again, you're trying ta contrnl aur speech. We have a right ta free spee�h. We Page 3fi vf 62 TOWN OF F�UNTAfN HILLS FEBRUARY U3, 2026 REGULAR COUNCIL MEETING M4iVUTES have a right to deliberate. We debate up here. 5ome af the words we use in debate mtght be ad�erse t❑ the town. What's ad�erse ta the town? Have you clefined it? I don't see it in the rules. It's undefined and it's inherently suk�jecti�e. There is na standard for qualified. What is ad�erse to the town speech. It's ambiguity in�ites ar#�itrary enfarcement. It's unclear whether adverse is determined by ti�e tflwn attorney, lay pre�ailing, you know, legal opinions, or polit�cal disagreement. 5uch dis�retion is incampatible with constitutianal free speech requirements. Disagreement, dehate and dissent are fundamental t❑ aur democratic go�ernance. A rule that penalizes speech, based ❑n whether it conflicts with an undefinec! tawn InCerest is un�onstitutiflnally �ague, �iewpoint basec#, and unenfor�eable. And for these reasans, I ok�ject to this pro�ision, and I urge its remaval, and mo�e for its remo�al. Again, we're looking at decorum. Have yau loakec! at some of the words that �onstitutes decorum? They're a!s❑ undefined. They're personal attacks, and decorous language, and imputing motives are unconstitutionally vague. These terms a�'e undefined. And again they're subje�t and grant urrbridled discussion -- discretion to those enforcing these rules. 7he ban an imputing motives is also �iewpaint discriminatian. Praise of afficials intentions is permitted, while criticism ❑f officials mativatians is punished. This asymmetry is unconstitutional, even in a limited public f�rum. Criticizing why publi� afficials act is care political speech. These rules are aver�road, sweeping, and protected speech that may be sharp, �ritical, ar uncomforta�aie, but is r�ot disrupti�e. The Cauncil may regulate actual disruption of ineetings, but it may not regulate speech based on tone, civility, ar pereeEved intent. And I think that yau know that. Prohibitifln is imputing motives, and others stated in these rules are inc{efensi�ke. Who's going t❑ determine what they are? wai�wr: rne body. MCMAHQN: Well, again, they're unconstitutionally �ague. They're �iewpoint discriminatian, and they're ❑�erbroad. The Ninth Cireuit, which of -- which we are in, Page 37 of fi2 TOWN OF FaUIVTAIN HILLS FEBRUARY U3, ZQ26 REGULAR CQUNCfI MEETIIVG MINl1TE5 ruled against these, specifically. There's a cauple cases on -- EARLE: Paints of arder. MCMAHDN: -- it. Yes. They have, and the laws are still in effect. EARLE: Point of arder. MCMAHON: And I'll provide you with the statute, with the cases. I think that -- MAYDR FRIEDEL: We have a point of order. EARL�: I just -- I-- I'm sarry to interrupt you, Councilmember McMahan, but you keep looking at the attarney as though she wrote all this herself. This was three of us that got togeCher and then we had t�e -- MCMAH�N: That's right, three of you. EARL.E: Then we had a session. A work session where we went all o�er this togeth�r. 5he's not the ane who wrate all this. I just want to make that clear. MCMAHOIV: I know, but she`s the one that's addressing ii. 5o I'm addressing her and I'm really addressing e�erybody. �ARLE: Well I-- I-- I take offense to you loaking at her. MAYDR FRIEDEL: 7hank. Thank you. All right. Will you car�tinue with your comments? LARRABEE: I alsa ha�e a pflint of order, Sorry. MAY�R FRIEDEL: Go ahead. LARRA6EE: Cauncilmemk�er M�Mahon needs to be speaking through the chair -- chairman. MCMAHON: Is what? LARRABEE: Mayflr, Cvuncilmemloer McMa�on needs ta foe speaking through the chair, whi�h is the Mayor. MAY�R FRIEDEL: Correct. Go ahead. MCMAHON: Really? MAY�R FRIE�EL: Councilwoman McMahon, will you finis� your comments? MCMAHON: ThanEc yau. Again, f don't think that this is going t❑ pass Constitutional muster. I really, really don't. And the reason I'm talking to e�erybody and the town attarney about it, is she drafted same of these as we11. Rage 38 af fi2 TflWN QF FOUNTAIN HILLS FEBRLIARY 43, 2pZfi REGLJLAR COUNCIL MEETING MINUTES So it's not a personal attacEc on her at all. This is a legal document. !t's �onsidered legal ad�i�e t�a. And I think that the de�orum section is -- I d�n't think it's enforceabEe. E thinEc it is o�erbr�ad and vague. It -- it's you know what's disruption? ❑isruption to ❑ne person is nat disruption to another. You know. I-- I don`t think that this is going ta hold up. I think it's going t❑ subject us to lawsuits. And I wouldn't be surprised if one gets -- ❑ne gets filed. And I will send you the -- the case law that spe�ifically states that these are �verbraad, �ague, and basically unenforceable. And they haven't been enfarceci in California. Thank you. MAYDR FRIEQE�: �ouncilwoman Larrabee. LARRASEE: Thank you. Well, I wanted ta make a mention ❑f one ❑f our neighbors. The City of Mesa, i was able t❑ visit th�m for one of their city Council sessions. Just s❑ that everyone's aware how they handle their call to the public is very different, e�en fram this. There's three people that are -- it's annaunced wha's gaing t❑ speak at the �ery beginning of the meeting, but it's happens at the very end of the meeting. But there's only fhree, and I belie�e they ha�e to register hefore the meeting has started. T�at felt ❑verly -- haw da I say that? Restrietive, o�erly restricti�e. We then nave 5cottsdale, which actually is fairly similar in a lot of these different rules. We're not rewriting, we're not recreating the wheel here. These are ru4es that are already established in many other municipalities. Actually, most other municipalities ha�e diffierent rules such as this. Second af all, the cancerns regarding language and decorum, most of -- most of the language there already existed beforehand. It's just mo�ed to the same area now, to make everything clear. Beeause we ha�e had arguments in the past, and i think we can a!I remember from maybe abaut a year aga, maybe twa years ag❑ that would say, }��y, this is samething that's in the rules, but somebody els� is looking at a different paragraph t❑ say, no, this is what`s in th� ruaes. Both ❑f those people are right, l�hey were in totally different areas of the rules. 5o indecorus, that was a-- that specific word was aiready in ❑ur rules ❑f pra�edure. We actually had an entire can�ersation abaut it when we had our little meeting of whether Page 39 of 62 T�WN QF FaUNTAIN HILLS FE6Rl1ARY U3, Za26 REGULAR CQ[JNCIL MEETING MIfVUTES ar not we s�rould �hange that word, in case people don't know. I wanted ta keep it because I like that it means ❑utside of decorum, which is what the rules are regarding. But I'm -- if we want to change it, that's fine. Persanal attac€cs, als❑ already in the rules. As far as town interests, speaking flutside af town interest, this is regarding legal interests. This is saying if we are in a legal kerfuffle, if we are in a legal situatipn as a Councilmember, we ha�e somewhat af a duty to not say things that g❑ right outside af our legal argument that we're already taking. E�en if yau disagreed with the majority vote of the Council, you need ta respe�t the majarity of the �ote of the Cauncil. That's something that they tald me my first week as a Councilmember, and the little training that the town attorney does. And fast but not least, the twa minutes. Frankly, I wanted it ta be one. But I knaw I blah tao and I get it. It`s �ery easy ta want ta say all of the things that come ta aur mind abaut an issue. I'm doing that right now. The point being, we should be very respectful ❑f the public's time, espe�ially if we are moving call to the public toward th� end af the meeting. And when we limit us to twa minutes af 5aying, hey, everybady should get the �han�e ta speak, two minutes at a time, by the way, it doesn't mean that yau can't speak again if you need to respond to something. This is showing you respect as the publi� that you're not sitting here for faur hours waiting for your turn ta talk. And then also that we're getting less time than the public. This is showing you respect, not whatever was just implied. MAY�R FRIE�EL: Cauncilperson Kalivianakis. ECALIVIANAKIS: Thank you, Mr. Mayor. Yeah. This is kind af being soft sold tonight as just a small departure from business as usual, and nothing to see here. That is not true. This is a radical departure from tt�e way things have been for the history of this town Cauncil, and th�y're trying to tefl you there's no big deal here. ihere is a big deal here. To say t�at we're gaing ta follow the 5cottsdale model. Has anybady read the paper on the 5cottsdale madel that is a more dysfunetianal Cauncil than this one is? And we`re going ta use their model ta come k�ring to F�untain Hills. Page 4U vf 62 TOWN �F FOUfVTAIN HlLLS FEBRUARY fl3, ZQ2fi REGULAR COUNCIL MEE7ING MINU7E5 Bad idea. This is just an elimination of rights -- of Coun�il rights, and af residents rights. They'�e eliminated Council reports. They're limiting us to twa rninute soundbites to taik about million dollar deals. How do you make an argument in two minutes? Tell -- tel� that to an attorney. Yau got two minutes to maEce your case. Limit eail ❑f the pubiic to 30 minutes. Put it at the end of the meeting. Nat a gooci idea. ❑ne, it's once again limiting the press. Oh, well, yau ha�e t❑ register. You ha�e to show us you're �oming. You ha�e to register yaur equipment. Why is this Council s❑ afraid of the press? It's -- it's -- late camment cards. We had people filing late comment cards tanight. Why can't pe�pfe file comman cards when they ��me in late? Why do th�y have t❑ be here at 5:15, when there's going to be an item that's going to be discussed at 8 o'clo�k? It's not right. If we pass this tonight, this Council majority is quite literally putting the residents of this town last. The majority moved ta eliminate t�+e long standing tradition af allowing residents to speak on nan agendized items at the beginning ❑f our meeting$, a tradition that helped define our small tawn ci�araeter for decades. And the pre�ious meeting, Cauncilmember McMahon, who did a goad job on a bill of particulars of what she disagrees with. So I'm nat going to go inta that, e�en thaugh I was prepared to. We spoke forcefully about the importance af hearing from ❑ur residents, and we were joined by dozens of citizens whg took the time ta submit thaughtful common cards about their cancerns abaut this, tao. In the past, the Council has listened resp�ctfully ta th� pubiic input and weig�ed those perspecti�es before -- before casting �otes. That practice built in trust. Unfortunately, that has been abandoned. The claim that these so-called changes to call the pubfic will still somehow restore and expand publi� acCess is �ot true. Moving th� call to the public at the end ❑f the meeting does not enhan�e participatian. It restricts it. Most residents �an't stay late �n a Tuesday night For a�rief apportunity to speak. The de�ision that we're making tonight dispr�portionately excludes senior citizens, individuals with health �hallenges, students with schoolwork, parents balancing family responsibilities, business awners who must get up in the morning to open up their Page 41 of fi2 T�WN DF F�UNTAI{V HILLS FEBRUARY�3, 2026 RfGtJLAR CflUNCIL MEETING MINUTES shops. Members of this council will remain until the adjournment of the agenda arder. 5❑ I ask, why should we not extend the same prafessionaf courtesy ta aur residents, that every cauncil since has incorporated? 7he same caurtesy we �autinely exte�d ta thase recei�ing awards like the Mayor's Awards, the proclamations that came at the beginning. Why aren't why aren't we treating e�erybady fairly and letting that ga first? Refusing to allow residents ta speak early and lea�e if they choose not ta is not about efficiency ar order. It reflects a troubling disregarcf far the public that we were elected to serve. Ending the �all of the public and replacing it with a deliberately incon�enient alternative will nat restore corrfidence in this council, nor wili it repair Fountain Hills damaged reputation throughaut this community. The Council that refuses ta listen to its resirients forfeits the mora! authority t❑ govern them. ! implare this Council, abandon t�is radical agenda, vote it dawn, and let's ga back to just doing the people's business. MAYDR FRIEpEL: I think I'd like to make a statement here. Dur main �bjective here is to ��nduct our town business. The call t❑ the puhli� is not a ri�ht, but a privilege. It's in the State statutes. 5o we want to �ondu�t our tawn business first. We are nat restri�ting the right t❑ speak, but we've put an ❑hjecti�e iimit, if there are ten or more people who request t❑ speak on an item, and yau ean adjust the time around each person wha gets to speak. I'll remind this Cvun�il that our awn school haard, if you're nat there when the meeting starts ta fill out a �all to the public sheet, you don't get to da it any ❑ther time. 5❑ aur ❑wn school c{istrict does it that way. Also, the twa minutes for �ouncilmembers t❑ respond. That's the initial twa minutes. That doesn't mean you can't have anather two minutes. And I dan't think -- V don't thi�k anywhere in this re�ised palicy that it says that the press has ta register their -- their equipment. That was a comment that was made. Sa we'�e -- we'�e always had the power ta limit the number of speak�rs. VIIe'�e always }�ad the a�aility to clear the room. Creating objecti�e standards on limiting debate and Page 42 of 62 TOWN DF F�UNTAIN HILLS FEBRLJARY fl3, 2�26 REGULAR CaUNCII MEETING MINUTES spelling aut the Gonsequences for disrupting meetings is good, transparent go�ernment. We have town business we need to conduct, and we need to get that dane first, and foremost. The call to the pubEic had been weaponized in the past for p�litical reasons. And again, I repeat, it's not a right. It's a priviiege t❑ have the call to the pu3�lic. It's in the statutes. And with that, I will ask Councilwoman Earle if she has something ta say. EARLE: Thank you. Mayor. Through you, I want to ask the tawn clerk or just mention, the reason we are having items given ta l�er early an is so that she car� organize everything as we've requested her t❑ do, And it -- it makes it difficult far her when people gi�e her stuff later. Is that �arrect? BENDER: It helps us to foe organizeti -- EARE.E: ❑kay. BENbER: -- so that we can proceed with the business. EARLE: Okay. Thank you. And my secand thing. Through you, Mayar, is may I address the attarney? MAYDR FRIEQEL: 5ure. EARLE: Oltay. And this is -- do you know where that statement is in the rules abaut the -- the -- what is it? The -- oi�, my gosh, Rick, I got yaur thing. The when the -- the about -- about registerin� your cameras ❑r whatn�t. 7he -- WRIGHT: Yes. 5a it's not registering t�e cameras. It's actuallyjust notify an hour be�ore the meeting -- EARLE: �kay. WRIGHT: -- if y�u're gaing ta be brir�ging in prafessianal equipment. Just a notifi�atifln. It`s in section -- is that what you're askir�g, where it is? EARLE: Yeah, where it is. I'd like to read that. WRIGHT: I just I had it up a second ago, and where did I see it? . EARLE: �he press. There's the word, ihe press. What section is it? MCMAHDN: 3.7A. EARLE: ❑kay. �age 43 vf 52 TflWN QF FOLJiIlTAIN HILLS FfBRUARY 03, 2QZfi REGULAR CDUf1iCIL MEETING MINUTES MCMAHDN: Meetings to he public. It's page eight. WRIGHT: S� I'm �aoking an page Z59 ❑f the meeting packet. It's in page eight of the Rules of Pro�edure. I'm laoking at the -- the finished �ersion rather t�an the -- EARLE: �kay. WRIGH�: So that's where I`m at. Page 259. EARLE: And where is that exactly that the point -- WRIGHT: S❑ it's the under A and it says members af the pubfic wishing to re�ord meetings using professional audio or �ide❑ equipment must pro�ide written notification to the town manager or designee at least ane hour before the meeting before setting up any prafessional equipment. EARLE: Okay. Thank you �ery much. WRIGHT: And it's just again, it's just a notification. It's nat a registration, and it's not a g�tting a license. It's just a natification. MAY�R FRIEdEL I'd alsa like to point out that we're not restricting the public's access tfl thi5 Town Coun�il. You can email us, you can calf us, you can text us. We get hundreds af emails e�ery week. There are agenda items that the publi� is allowed ta speak on. We're not restri�ting any comments on any agenda items. We're just redoing this section because we want to get the business done first. Councilwoman McMahon. MCMAHON: Thank you. When you're requiring them to pro�ide written notification ahead ❑f time, in essence, it is registering in ad�ance. S❑ again, I don't -- what if -- what if a reparter comes in the room with some prafessianal equipment and he ar she is 15 or 20 minutes late? Are you going to refuse them? You can't. Yau can't. You �an't refuse thern. Especially if they're nat interfering with anything. They have a right to record meetings. It's in the State statute, you know. And I'm n�t gaing to respand t❑ Larrabee because there are too many things that she mentioned that t❑ me, yau knaw, I-- just be to❑ much ta go through. 6ut again, for the reasans that I stated, I dan't -- I thir�k that these changes are way too restricti�e, and I think ti�at they are preventing transparency and Page 44 of 6Z TOWN �F FDUNTAIN HfLLS FEBRUARY d3, 2Q2fi REGLILAR CDUNCIL MEETING MINLJTES t�ey are pre�enting the public fram redressing their government, which they ha�e a right to do. And I do think many ❑f these are uncanstitutional, and I am cancerned that there is going to be a lawsuit. Thank you. MAYDR FRIED�L: Thank you, thank you. Councilwoman Larrak�ee. LARRA6EE: Just -- thank you, Mayor. Just regarding the pr4fessiona] equipment again, the member af the media is welcame at the meeting. They're welcame to record on their cell phone. They're welcome ta use the video recording that we past on the very puk�lic YouTube. Yau can laok at your meeting minutes. The media is welcome at our meetings. 1Nhat we are asking is that if yau're settir�g up prafessional equipment, that you let some�ne kr�aw an haur befarehand, this is a �ery normal thing ta ask, I pramise you. Ypu can ask ❑ther town Coun�ils, other Mayars, state legislature. This is a very normal thing to request, because if someone's lugging in a bunch of equipment, ane if we dan't know what that is, there's a slight safety concern, right? 5a for example, we clid have a member of the media a c�uple af ineetings ago. Totally fine. He had -- he �ad asked staff beforehand. We, as the Council didn't quite Ecnow yet. 5❑ I was a little jumpy, I guess, when they came u� to the dais during a break and started hooking t�ings to the mi�rophone, and we're walking right by the councilrt-�embers. There's also a security factor to keep in mind here. And that's just my tw❑ cents on that. But as far as the prafessianal equipment goes, the professianal equipment does not have �onstitutional rights. The member of the media daes. MAYDR FRIEDEL: Town Clerk, da we have any publi� comment cards? BENDER: Yes, Mayor, we do. We did recei�e seven anline cards, and they were all against changes. We ha�e -- n❑ -- eight speaker cards. And we'll start with Renee Marion, Beth Culp, and then Crystal Cavanaugh. YARIAN: Good evening, Mayar and Councilmembers. My name is Renee Yarian {ph.}, and I'm a iong term F�untain Hills resider�t. The call to the puhli� is a fundamental companent of Town Council's effect in the lives ❑f its citizens. The call to the public Page 45 of 52 T�WN DF F�LINTAIN HILLS FE6RUARY �3, 2U26 REGULAR CDUf�CIL MEETING MINU7E5 gi�es people a chance to speak directly to those wh❑ represent them. It also provides trans�arency and a��ountability when afficials hear their concerns publicly. It's hard to ignore issues when they`re raised on the record in frant of neighbars and the press. Allawing public input k�uilds trust and legitimacy e�en when t#�e Council doesn't agree, ❑r act immediateiy. Citizens are r-nore likely to accept the �utcomes if they feel heard and involved. Hearing from citizens car� help with early problem salving and the cail to the public flags issues early on, before the lawsuits, protests, and ❑r crises. Finally, it provides ci�ic engagement, rnaking people feei that they're truly involved in lo�al affairs, which strengthens the community and leads to a better long term relatianship between Council and the town papulatton. Maving camments to the end of the meeting seems unreasanable, as it will limit the number of citizens who can participate. It penalizes families and working people. It makes iittle sense t❑ put more obstacles in the way. Ta allow comments at the time that particu�ar agenda item is being discussed only seems logical. Limiting t�e comment time to 30 minutes alsa limits participation for impartant topics. That seems very, �ery unfair. lt discourages citizen input. Meaningful discussion is �ital for aur community. It's also unreasonable t❑ require commenters to arrive by 5:15. Again, f�eeause it penalizes peapke wh❑ work. It's just another means far you to take away what Hannah referred to as aur tay. These new rufes expose us to litigatian regarding our Constitutianal rights. I'm angry ai�out not being able to address nor� agenda items. 1t's disingenuous and harmful to our cammunity. I ohject to t�ese changes and suggest that it would be more helpful to citizens, and better for Fountain Hills �verall tfl revert back ta the IQng standing rules we had befare this debacle started. 7hank you. CULP: Goad evening, Mayor Council. My name is Beth Culp, and I am a resident af Fountain Hills. While I was sitting here, I heard something that really shociced me. Couneilmember Earle indicated that these rules were written by a committee. That's fine for a committee ta write drafts, but then the implication was that the rules had nat Page A6 of 6Z TOWN �F FOUNTAIN HILLS FEBRUARY 03, Z026 REGULAR C�UNCIL MEETING MINUTES been t`eviewed by your town attorney for their constitutionality. That is inexcusable negle�t. i strongly, strongly advise yau to, before you enact these pro�isions, you ha�� this document re�iewed hy a�awyer who practices Constitutional law and submit some af the mare contraversial provisions, specifically the right t❑ eje�t e�eryane from the �ouncif cF�ambers ta the attorney General, They will d� ❑pinions far yau. Because I Gan guarantee yau that if ya� enact that, there are priar restraints in here. There is a pravisian and I'll read it to you. It basically says under abjection, the Mayor has the right to clear the �oun�il chambers and restrict access ta the Council, employees, appficants, and presenters. It daesn't even mention the media. That is first year law student knawledge. You cannat ever ex�lude the media and have that in there. And but that's something a Constitutional law lawyer would pick up. 5o please, before you take any actian on this, have it reviewed by a Canstitutional iawyer -- a Constitutianal law lawyer, and alsa su�mit far Attorney General's opinion request on the right of -- af the Mayor t❑ ki�k e�erybody out of the raam, because that is a valid lawsuit that's going t❑ be filed. Based on what happened in No�ember, that was unconstitutional. Yau cannot inject [sic] all of the people from a meeting because ❑f the �onduct of one person, and particularly not becaus� there`s a spat between the Mayor and another Counciimember. That was wrong. �on't make the same mistake twice. Befare con�luding, I just want t❑ read back ❑n sam�thing fram a June 18th, ZaZ4 meeting. The speaker during �all to the public said, I'm here this e�ening ta express my extrem� frustration with t�re camments and arrogan�e af certain cauncilmer� during the Town Council meeting of June 4th. It was inex�usable. It was flippant. And it was -- get that w�rd -- impertinent. Unt{er these rules, the persfln wh❑ sai� that who's sitting pn the dais n�w would }�a�e been eje�ted ❑r could ha�e been eje�ted. That's how far this goes. Please reconsider. CAVAlVAUGH: Good e�ening. Crystal Ca�anaugh, resident of Fountain Hi11s. ! want ta say I agree with the two minutes per �oun�ilmember. That does aalaw ❑ther Page 47 of bZ TpWN QF FOLlN7'AIN HIELS FEBRl1ARY U3, 2�2$ REGULAR CpUNCIL MEETING MIiVl1TE5 Councilmemfaers tfl jump in and gi�e their input. And like it was stated, additional minutes can ther� be added. 5o it's n�t just a final numher. It does stap a few filibusters, and that will make a shorter meeting for the public to get ta the end for their call to puf�lic. And I totally agree with bringing 6acEc call to public, and I agree with pla�ing it at the end of the regular session, so as not to interfere with the compietion of other town i�usiness. I can agree ta requiring all speaker cards being submitted priar t❑ the start af a meeting, but I think an alternate submission method should be allawed far agenda iterns. I understand yau must be in p�rson far call to pub�ic. My cancern is that if yau cannot submit a request t❑ speak before arriving at the meeting, like if I did it the day b�fore yesterday, it's actually disenfranchising in persan participatian. And far Chase wh❑ actually want to speak in person, if you're fallowing me, same laaks canfused. 6ut when I'm anline befare, I could always fill out a written comment. I never noticed if it was there, that said, i'd like ta speak tomarrow at the meeting, far example. I ne�er saw that. And today, actually, when I went on, I couldn't e�en find the request to comment card, to tell you the truth. So I'm not sure if things are �hanging or if it wasn't an my mabile. But it definitely needs to be easily found on a mobife, because usualiy, I might be alerting you guys that I want to request ta speak, but I'm not going to make it by the beginnir�g of the meeting, for example. S❑ I might da it earlier in the day. And so I'�e kind af been aff. �ufi it has k�een a practice to call the speakers in the orcier that they submitt�d their cards. And so I'm not sure haw it wauld be handled, for example, if oniine requests to speak ar� allowed and then others wha want to submit in persan. Is t#�ere a problem if perhaps somebody loads up the speaker cards, far example, and afready has ten or 2� in the queue t� talk on a �ertairr item by, you know, by design, for example. Sa I'm not really sure how that`s going t❑ work. There's some things to wark out, I think. And alsa, if you're coming in persan, the in-person call t❑ public speaker, would they need t❑ be the one to turn in their awn card? Or can you turn in yaur friends �ards and Page AS af fi2 T�Wi� �F FOLJNTAfN HILLS FEBRUARY U3, 2a26 REGULAR COUNCIL MEETING MIIVUTES then they shaw up later? 5a I've understood the abuses that ha�e !ed up ta this. I just d�n't want this t❑ turn int❑ something more complicated than it needs to, than simply m�ving the call to puhli� to the end, holding firm to conduct, and sticking ta town related business �n three-minute segments. Thanks. BENbEf�: Mayor. The next three speakers, Benjamin Larrabee, 5helby Bfecker, and Gene Szlapka (ph.}. LARRABEE: �ood e�ening e�eryone. Mayar. Councilmembers, I want to rise and express my support for returning �all to the pubiic as proposed here tonight. I am a free speech a6solutist. We shauld embrace the right guaranteed by the founders ❑f our republic to petitian our gavernment with our grie�ances. What we do not ha�e a rig�t to do is ta physically intimidat� members af the pubiic who disagree with you. The night when we first debated this, multipEe men fram the bemocrati� Party aCcosted wamen to the paint wher`e the police had to escort them out to their �ars for their own safety. We are better than Chis. The reasan I belie�e in free speech is beca�se when we stop talking to ane another, bad things always fQllow like we saw that night. This is why we need rules of de�arum. 5peak to your ele�ted officials. Debate the mations. Talk ab�ut the roads. But da nat ailow partizans to turn town hall into a UFC actagon. So thank y�u, Gerry, f�r returning call to t�e public and enforcing deeorum. And then please, let's pass this and then �et hack to work. BLEClCER: Good evening, Mr. Mayar. Councilmembers, my name is 5helby Bleclter, t�wn resident. It's a hit concerning that our Town Coun�il rules had so many procedural errors, Ra4�ert's Rules of Drder iss�es, parliamentary issues that hadn't been addressed hy prior administrations. 5o I'm glaci to see haw our new Mayar and tawn Council, along with our tawn attorney, ha�e worked to clarify and fix these issues. Hapefully, our town Councif ineetings will now run more smoothly and efficient4y. And I do unc{erstand that a lot ❑f things can be challenged. Lawsuits will come and go, and anybady can file a lawsuit against anybady, Page 49 of fi2 TDWN �F FpUNTAIN HIl.LS FE6RUARY fl3, 2026 REGULAR CDUNCIL M�E71NG MINUTES sa the �hallenges will prevail. As far the restoration, for the �all t❑ public, let's get to the crux of the matter and talk abaut the guardrails that we put up. Why do we need guardrails far call to the public? I think the answer to that is now ob�ious. And if it's nvt, let me mention a few reasans. One. Persanal attacks on the Mayars and the Coun�ilmembers are n�t pradu�tive. Twa. Members of the dais should be allowed to grie�e publicly o�er the loss of a relati�e, a friend, and especial�y in the extraordinary circumstan�e af an assassinatian, i.e. Chariie Kirk. That's not proselytizing. It's grie�ing. 5hould we nat say a prayer and hope for a positive ❑utcame to the tragic abduction of Nancy Guthrie, a fell�w Arizana resident, t�at maybe someone woufd like our town to camment ❑n? 5hould those who wish t❑ mentian Renee Good nat be aliawed ta mentian God, or how their faith is holding them together? Members of the public should be allowed to do the same withaut judgment firom the peanut galiery in attendance. I feel these three reasons are at ti�e core ❑f why call ta the public was taken away a few months ago. Peaple wanted and needed to grieve, and members vf the public disagreed laudly, strongly in the case of the No�ember meeting, shamefully. Our town resident, one town r�sident felt the need ta file a friv�lous lawsuit against the tflwn t❑ appease her narrow minded sense ❑f justice. Maybe we should alsa be reminded of the disrespectful and disgraceful actions. Maybe not. No need to be reminded, and no need to rehash ❑r relitigate. We'll just move forward. 5o naw we ha�e guardrails, and I'm strongly in agreement with each and every one af them. Put on thE guardrails and let's allow publi� to once again parti�ipate in the town Cauncil meetings. Many of us ha�e something t❑ say, and regardless if you agree with us or not, we shoulc! be allowed to be heard with the guardrails, demanding decorum, and restricting the use of insults, accusations, that we have all witnessed in the past. I ha�e had to frame my con�ersations in two minutes at variaus meetings, many, many Page 5� of fi2 T�WIV DF FDUNTAIfV HILLS FEBRLIARY fl3, Z02fi REGULAR COUNCIL MEETING MINUTES times. kt's nat to❑ hard to dv. I alsfl wauid like yau to think abaut the ather side of the coin, where penple can't make it here on time t❑ make camments. End ❑f the meeting is great. BENDER: Mayor, the last two speakers are Katherine Myrick and Larry Myers. No, I didn't forget you, Gene. S2LAPKA: Mayar, Cauncilmembers, I'm a 3n-year resident of Fountain Hills. I'm just -- �annot understand why this Council, most �fi it fears free speech, the First Amendrnent. Creating ❑f�structions ta free speech, as this proposal clearly daes, will enrage a lot more town residents. There is n❑ reasan t� shut dawn their voices ather thar+ t❑ make sure, perhaps only special interests ar� heard. As a 3D-year resident, I've seen a number ❑f cauncil meeting disruptians by angry residents. I've seen a num6er of council meeting disruptions �y many resicients, but I ha�e never seen such a poor handling of them by the presiding officer. Why punish all residents that wish to participate in the democratic process? �r is that the o#�jecti�e? First this Council removed our ability to challenge ethieal misbehavior. H�w con�enient. Naw this. 5amething smefls here. Let's da the right thing and return the procedures to what has worked for decades. �ne mare thing. You even took the table away from the journalists. You're prejudice against the press. If any changes are needed, perhaps the c�angcs needed t❑ be made in how hest ta de-escaiate instead ❑f denying aur rights. I would say that there's been c�mments about doing the town business. Vllell, we shauld be doing the town's business. We talked about part af it tonight, the raads. 50 let`s get and d❑ ❑ur tawn business, and stop with this crazy stuff. Thank yau. MYRIClC: Hi, Katherine Myriclt, Fountain Fiills residents, thank you for -- thank y�u far listening to me again. I spoke t❑ this item when the Council reparts and cal! t❑ the public were removed back in No�ember. And while I appre�iate that the CounCil is working towards bringing back calf to the publi�, th� edits that have been made seem t❑ f�ring back the apportunity for camment, but in a way that makes it very diffi�ult for the pu�lic. Page 51 of 62 TDWN �F FQUNTAIN HILLS FEBRUARY U3, 2�2fi REGULAR COUNCIL MEETiNG MINUTES It raises the question ❑f whether you a�tually want to hear fram the puhlic, ❑r y�u just feel like it's something you ha�e to d�, 7he requirement that cvmment cards on agenda items and �all to the public will have to be submitted hefare the start of the meeting is not necessary and is certainly not welcoming. 5o if somevne's trying to get from a jab t❑ a counct! meeting ta participate, they need to be here before 5:30, before the start of the meeting to put in their carc#, and then they might ha�e to wait twa ar three hours before they can actually speak. It means that someone has t❑ de�ote thei�' entire e�ening to a three minute camment. I'm alsa worried about how these changes restrict the speech of the councilmembers themselves. There's been no camments about reinstating coun�ilmember reports. I think thase are really important. 5o the public knaws all af the many things you guys are doing to support the tawn. Also, councilmember comments during discussions being time limited to two minutes. Fiow is ❑ur Cauncil supposed t❑ make decisi�ns in a canstructive, collaborati�e way if you're restri�ting the -- the spee�h ❑f yourselves? These upda'ted proeedures dan't bring -- they bring back eall to the puhlie, but in a �ery restricti�e way. They make commenting ❑n agenda items more restri�tive. They don't reinstate cauncilmember reports, and they restriet the speech of �auneilmembers themselves. These are nat rules that seem ta �alue public engagement in flur town husiness. And as aur Mayor said, we ha�e town {�usiness we need to �anciuct. And I would ha�e thought that listening ta your eonstituents would have been part of that. Thank you. MEYERS: Mayor, Cauncil. Larry Meyers tph.j, 44-y�ar resident, Fauntain Hilis. My experience with this �ouncil predates the Cauncil, so let's just get one thing �lear. Z022 was the watersh�d mam�nt where actions by certain citizens in this town were disrupti�e anci unseemly. Call the public existed, as it did for all of the pre�ious time, and there was never an instance like we had which precipitated this particular action that you're irying t❑ take. I support bringing the call to the puk�lic back, and I dan't care where you put it, because I Page 52 of f 2 7OWN OF F�UNTAIN HILL5 FEBRUARY 03, ZOZ6 REGULAR C4L1fVCIL MEETING MINUTES sit here and try and suck in a lot �f towr� business, so I don't care if I ha�e to wait to the end. I da think call the public is reafly important for town business. It helps ta educate you on things you don't know about. I would ha�e appreciated speaking to AR59-596 scope of local auth�rity with regard to the 5{Gj issue tonight, but I can't, because we don't have a call ta the public tonight. Wi�y dan't we ha�e a call ta the public tanight? Because certain citizens disrupted the meeting. We had heen using -- there are peaple on the dais right n�w wh� know that this is true. We disagreed in the past, but it never got to the p�int where a small group af people disrupted the �ouncil meeting. There's a mayor- sitting in tt�e back �f the room that ser�ed far a lang period ❑f time, and we had fats af disagreements and gQt t❑ use the call of the pu�li� and educate everybody and get things an the record. It went on fram the time we were -- �all to the pu�lic, was the same from the time we became a town. So let's try and rememher what precipitateri this, while you're trying to -- to put down a!I the rules and regulatians that ha�e sort of been writt�n. They were written in there because peaple didn't ha�e any respect. You don't find m� hooting and hollering in the back af the room. And I disagree a lot with a lat of you on a lot of issues. And I agr�e on others, but there's a certain decorum. You wrote sam� ruies. Do I like them? Ah, yau know what? Call to th� public is back. Please put it back in. And I don't care about your rules. I'll li�e with them, and I'll continue to come up here and speak as I have since 1989. Thank you. MAY�R FRIEDEL: Thank you. l-- i think we had a mation, didn't we? And a second? EARL�: We did. WRIGHT: May�r, may I ask for clarificati�n ❑n that matian before we -- MAYQR FRI�bEL: Sure. WRIGHT: -- before you vote an it. 5a the request was ta amend four point -- it was the -- the mfltion was ta appro�e the new rules and add in -- in 4.2b, add in the Mayor. And when ! look at 4.2B, did you want me ta als❑ change 4.2 -- and 1 need t❑ go to that section. And I apalagize for not ha�ing it up. The ane before that and mo�ed the Mayor Page 53 vf fi2 TQWN DF FOUNTAIN HILLS FE6Rl1ARY p3, 2p2fi REGLILAR C011NCIL MEETING MINUTES to just 4.2 and remo�e it -- hold ❑n. What number? Page numher. Let me �� back ta tFrat. I just want t❑ know sa that when we -- I think we're going to have to amend it and refile it if -- if this is passed as is. 5a I just want to make sure I get it correct. Okay. So 4.2b2 says mayor and councilmemhers. Were you requesting that i mo�e the Mayor to number three, so it's mayor, tawn manager and town attarn�y? Was that it? 51{ILLICORN: The clarification would be that the Mayar has the authority t❑ produce agenda ar to praduce agenda items. 5a frankly, two would be moat. WRIGHT: Correct. That's why I'm -- so I wauld remove mayor from -- tv add Mayor t❑ number three. SKILLIC�RN: Yes. MAY�R FRIED�L: You're goad -- you're good with that then? Okay. 5o we have a matior� and a secand. Rofl call. Vote, pEease. BEN[7ER: Councilmemher McMahon. MCMAHON: Nay. BENDER: Councilmemher Larrabee. LARRABEE: Aye. BENDER: Councilmember �arle. EARLE: Aye. BEN�ER: Councilmember Kalivianakis. KALIVIANAKIS: Nay. BENC7ER: Caun�ilmember Watts. WATTS: Aye. BENDER: Vice Mayor 5kiliicarn. SKILLIC�RN: Mr. Mayor. P�rmission tfl explain my vote. MAYDR FRIE�EL: Proceed. SKILLIC�RN: Thank you. 5o I just want to paint out to the public Chat a yes �ate restares the call ta the public. It restores the ability for the public to comment on non-agenda Page 54 vf fi2 TQWN pF FOUNTAIN HILLS FEBRl1ARY �3, 2fl2fi REGULAR COLINCIL MEETING MINU7E5 items. A na vate is t❑ n�t allow call to pu6lic. A no �ote is a �ate ta nat allaw the public t❑ camment on nan-agenda items. I �ote yes t❑ restore the call to public. BENDER: And Mayor Friedel. MAYQR FRIEQEL: Aye. gEN�ER: Mayor, five-two. MAYDR FRIEDEL: Thank you. Agenda item E is discussian and possible direction -- directing the town manager t❑ send the gavernor a letter of suppart f�r tax conformity. Rachel, d❑ you want to start fln that ar should we just turn that tv -- GOO�WIN: I'm going to -- MAYflR FRIEQEL: -- Vice Mayar? G�DOWIN: I was gaing ta say, I think I'm going t❑ turn this ane ❑�er ta the Vi�e Mayor. It was his requested item for diseussion and agendas. MCMA�f�N: �idn't the go�ernar �eto this? GQC]bWIN: Correct. MCMAHON: 5o why are we discussing it? Gq�bWIN: It was requested and suppgrted by three councilmembers. MAYOR �RIEDEL: And I believe the -- the, the league said that at some point this is going t❑ eome back in same form. 5❑ we have to be prepared for that. MCMAHON: Yeah. But in some farm it's going to be -- ha�e t❑ be a different farm -- MAY�R �RIEQEL� Yeah. MCMAHON: -- because the go�ernment vetoed it. MAYDR FRIEDEL: Yeah. MCMAHDN: 5o I dan't understand why we're gaing ta, in my opinion, waste time tonight discussing this -- MAYDR FRIEDEL: ❑kay. MCMAHON: -- when we can Iook at it, when it c�mes back. MAYOR FRIEDEL: Okay. Nated. Thank you. Viee Mayor. Page 55 of b2 TflWN aF FOUNTAIfd HILLS FE6RUARY p3, 202fi REGLJLAR COUfVCIt MEETING MINUTES SECILLlCORN: Yeah. This is actually a pretty big issue. 7..1 milfion Arizanans will see a tax increase if this daesn't get taken care of. And frankly, the Arizona ❑e�artment ❑f Re�enue forms right now in -- are -- are submitted t❑ all the tax preparatian services, CPAs, accountants, you know, TurboTax, all that. Assuming that Ariiona will canform to the one beautiful bifl language. And if samething like this does not pass, people will end up doing their taxes more than ance and �ould actually se� hefty income tax increases. 5� this actually really hurts middle class. It hurts -- it hurts people that are tipped workers. It hurts peaple that have overtime appartunities. It's samething that is a bi� deal. There's quite a few peaple in Arizona that will suffer if this daesn't get done. And the mechanism that this could be done, I don't think we can dictate whi�h is -- whic#� is fine. The legislature could pass the same bills again, The legislature is als❑ working an anoth�r that would basically put Arizona into confarmance -- �ompliance with the Qepartment af Re�enue forrns. That's probably less than idea� l�ecause senior citizens w�uld see a tax inerease in that case. gut there is a scenario that would alGow that. 5a i think it's reafly important that -- that ❑ur coun�il cauld lead on this and actually give the governor a hand, and let the governor knaw that Arizonans want to camply. We want to be abl� to file our taxes. I mean, I'm getting my tax�s ready right now, t�ut frankly, i'm just going to put them in a folder be�ause I can't do anything until I know what the taxes are, which is a tremendaus incon�enience, and someone -- I'm tired of procrastinating. I like t� do my taxes, and I'd like ta get this done. And just kind af giv� you an id�a. This that vet❑ means that there's an additional tax an the elderiy. There's an additional tax on ti�s, there's a tax ❑n overtime. And you know, that's just not inappropriate. I think that this this council can weigh in an this, and you knaw, shed some light and some good advi�e to the g�vernor. MAYOR FRlEC7EL: �ouncilwaman McMahon. MCMAHDN: ihank you. Based upon wi�at I've read, a I�t of what yau said is incorrect. This is rushed legislation. There are r�❑ tax cuts for the middle class in this. I know Page 56 nf 62 TOWfV QF FOUNTAI{V HILtS FEBRUARY Q3, 2p2fi REGl1LAR CQUNCIL MEETING MINi1TES Govern�r Habbs is �urrently working on tax cut legislation with the legislators t❑ �ut tax for the middle class. N�t -- n�t favor the wealthy. And it alsa signifi�antly reduces federal re�enue ta the states, I understand I'm not for supporting this. f again state that it's been �etoed, and I don't think that this is appropriate to send a letter to the governor about a matter that's already been �etoed. MAY�R Ff21EDEL: Councilwoman Larrabee. LARRABEE: Given that this bill is regarding �anformity with recent federal tax c�anges, I'm in suppart of us writing a letter to -- if nothing else, to encourage the govern�r and the legislature t❑ came up with a sofution h�re. We should be canforming with what is the standard fed�raily. Dur Arizanans are going to be paying their federal taxes �ery, �ery soon. And in doing sa we, let's say, salve this later on and then people have t� reda them. That is a cast that affects the middle class and the lower class, because yau're having ta get your taxes dane again. That is what we're referring to. Sa yes, I thfnk that we can argue partisanship, we can argue the party palitics be}�ind different tax cuts ar the effectiveness of �arious tax cuts. That's an entirely different can�ersation. This is just regarding eanformity. S❑ I'm all for �t. MAYOR FRIE�EL: Cauncilperson Kali�ianakis. KALIVIANAKIS: Thank yau, Mr. Mayar. Yeah, this is another exercise in futility, and I don't even knaw why we're talking about this sinee it was vetoed by the Mayar -- i�y the gavernor. Vice Mayor 5killieorn, and Councilperson Larrabee, and Councilperson Earle ill-ad�isecily requested the tawn manager write a letter to the gavernor in support of a vetoeci bill. ihe t�ill was put forth far tax eonformity with recent federal tax changes, and it was �etoed -- yes -- �etoed by the Go�ernar on January 16th, 2n26. My query is, what shauld the town manager write ta the governar? Would ynu pretty pkease r�cansicier your veto? i'm not sure what we would !�e writing. It's been �etoed. Ifi's going back to the legisfature. It's done. Spending �aluable Council time on tri�ial or nonessential issues is bad public policy because it diverts attenti�n, resources and puk�lic trust away from work that actually matters. It diverts aur town staff to doing Page 57 of fiz 7�WN OF FOUNTAIN HILLS FEBRUARY 03, 20Z6 REGULAR C�UNCIL MEETING MIlVUTES meaningless tasks. The Town Coun�il exists ta address �are respansibilities, public safety, infrastructure, fis�ai stewardship, water, roads, long term planning. When meeting time is consumed by symbolic gestures, manufactured cantro�ersies, ar issues that da nat materially impro�e the residents quality of life, these core issues are negle�ted ar delayed. Inefficient agendas aks❑ come at a real cast. Council time and staff time is taxpayer funded time. Every e�ening we spend debating low impact issues and directing staff to waste valuable time is not spent solving real prablems. Responding ta residents' concerns Qr pr�viding thoughtful insight of aur tawn operations. I'm a n❑ ❑n this one. MAY�R FRIEDEL: Councilperson Earle. EARI.E: Thank you, Mayar. 7hanlc yau Mayor. I would like to ask Coun�ilman Skillicorn to explain what he would like the letter to k�e this time. MAY�R FRIE�EL: Vi�e Mayor. SKILLICORN: ThanEc yo�, Mr. Mayor and Councilman. If the Council so directs, what I envisian is to ask the governor to -- ta t�asically affirm compliance -- tax campliance. As€c the go�ernor ta assess, you know, if the �eto is really necessary and -- and going forward to work with the legislature to mov� Arizana t❑ campliance as soon as possible, for the sake af the Peaple of Fountain Hills and Arizonans. EARLE: May I ask? MAYDR FRIEOEL: Go ahead. EARLE: 5o is this just a discussion, ar are we voting an this? G���WIN: It's agendized for �oting. EARLE: ❑kay. 5s� I-- I still support it. Thank you. MAYOR FRIEDEL: Cau�cifman Watts. WATTS: I have a question fflr the tawn att�rney. Is there any harm in sending a letter that we're asking far reconsideration for her ta find a way with legislature to aiign with federal statutes? WRIGHi: There's -- yes, that would he 4kay t❑ da that. WATT5: S❑ kind of much like the call ta the publi�, when they dvn't g+ve up? Same kind Page 58 of 62 70WN Df FDUNTAIN HILL5 FESRUARY 03, 202& REGIJLAR C�UNCIL MEETING MINUTES ❑f thing. 5o I'm in support af it. WRI�HT: �itay. WATTS: Thank you. MCMAHflN: Are we �oting on it or just dir�cting? MAYDR FRIE�EL: This is an agenda item, s❑ we wiil be �oting on it. But I want t❑ see if there's any -- are there any public comment cards? BENDER: Na, Mayor, MAY�R FRIEDEL: No. ❑h, I'm sorry. It is directing the town manager to send the letter. MCMAHON: !f the Caun�il is -- if the majority directs, please do not include my name on the letter. Thank you. MAYO� Fa�EaEL: I think the way +t wauld go is the majflrity af the Council, am I carrect? GQ�bWIN: Correct. And what I'm sensing is we d❑ ha�e a majority here tonight. MAYOR FRIEbEL: ❑kay. Item F is cansideratian passible a�tion related to any item ineluded in the Ari2ona City and Town's legislati�e bulletin. KALIVIANAKIS: Point of order. ❑on't we hav� ta vote? MAYOR FRIEQEL: No. It says direction. kCALIVIANAKIS: No �ate? MAYDR FRIEQEL: No �ot�. KALIVIANAKIS: �kay. MAYDR FRIEDEL: ❑irection. Thank you. MAYOR FRIE�EL: Sorry, E was interrupted. S❑ item -- the next item is related to any Arizona cities and towns, legislative bulletins. aaes anybody have anything they want to �ring up? G�DDWIN: Mayor, I do. MAYQR FRIEbEL: G❑ ahead. G�ObWIN: I'd like to actually -- actually, I'd like to ask the �lerk t❑ give a quick update on 56Z�22, f believe, which is affecting our eiection dates. It will affect numerous folks here an the dais as wefl as aur candidates. 5a if -- Be�, d❑ yau mind gi�ing a quick update on that ❑ne? Page 59 of 62 TdWN OF FDUNTAfN HILLS FEBRUARY 43, 2D2fi REGULAR C�UNCIL MEETI�VG MINt1TE5 BEN�ER: No, we anticipated that there was going ta be a one week change as they did in 2024, I believe. But it's laoking like there are two competing bills right r�ow. Qne in the House, �ne ir� the 5enate. And what they were wanting to do is ta change it for two weeks, which would mean our new election date would be �uly 21st. So we still need ta wait and see, because the go�ernor does ha�e to sign this -- the bill ance it is finalized. MAYDR FRIE�EL: And I belie�e there was an amendment to that bill, the one bill, by Calladin saying that any forms that are dated August 4th will be acceptable. BEN�ER: T�at is correct. The farms that are being circulated naw are -- MAYDft FRl£QEL: Yeah. BEN�ER: -- being used. MAY�R FRIEDEL: Yeah. Okay. BENQER: But there will be also a change t❑ the campaign finance farms for the pre and the post-electian reports. 5o stay tuned. l�here'll be a few more changes. G�DDWIN: For clarificativn, just for anybady that might he wat�hing from home ❑r taking nates out there, the tw❑ items are HB2022 and SB14Z5. Those are the two cnmpeting ones, and arguably the proposed date would be July 21st far electians? BENdER: That is the date we have been told by the County-- GOQbWIN: ❑kay. BEN[7ER: -- is what they're targeting, and that's what they're supporting. Meaning the caunties are. G�QdWIN: Okay. BENDER: 5a we`II see what happens. GOODWIN: Thank you. MAYaR FRIE{]EL: ThanEt you. Beth. Vice Mayor. SfCILLICfl�iIV: Thank yau, Mr. Mayor. Yeah, I think the clerk really summed that ❑ne up. Reaily, there's realiy nothing to add there. There might be a trailer bill with that, though, to actually enact the farms -- the date compliance and the forms, which would 6e seamless for us. But it's -- it`s all more wark for you. Page 6D of fi2 TflWN OF F�UNTAIN HILL5 FEBR[JARY 03, 2flZ6 REGULAR COLINCIL MEETING MINUTES But I think all risk that's -- in general, there's a few things that the legislature likes to c4o to take away la�al �ontrol. 1 don't kn�w if there's anything we need ta act on, but I think this is -- as session continues, this is something to take a laok at. I dan't Eike the idea af punishing the -- the retailers when sorneone steals a shopping �art, though. I think that's a-- the -- what -- what same municipalities are doing is nat a-- not a nice thing to do to their -- to their retailers. 5v I-- that ane I actually differ Wltil tilE ����Up� 5D. MAYOR FRIEDEL: Dkay. Any cauncil discussian ❑r direction to the tawn manager? Future agenda items? Can I get a motion for adjournment? KALIVIANAKI5: Motion t❑ adjourn, please. MAY�R FRIEaEL: Second. Anyone? WATYS: 5e�and. MAYDR FRIEbEL: All in fa�or? ALL: Aye. MAYD�i FRIEDEL: Thank yau. Page 61 of 62 TQWN OF FQLJNTAIN HiLLS FEBRUARY 03, 2U2b REGULAR CaUNCII MEETING MINUTES HAVING NO FURTHER BU51NE55, MAYOR GERRY M. FRIEQEL A�JDURNED THE REGLJLAR 5ES5lQN QF T�iE FDUN�AIN HILLS TOWN C�UNCIL HEL❑ ON FE6RLIARY 3, 202fi, AT 7:4� P.M. APPRQVED: �����j �.C.�.+� J GERRY M. FRIE�EL, MAYDR ATTEST: BEVELYN J. ENDER CERTIFICATI�N I HEREBY CERTIFY THAT �HE FOREG�ING MINUTES ARE A 7RUE ANd CORRECT COPY �F THE MINLITES ❑F THE REGLILAR CITY CDUNC4L. MEE7ING OF THE CITY C�LINCIL, FDUNTAIfV HILLS, ARIZ�NA HELD ON FEBRUARY 3, 2�25. I FIJRTHER CERTIFY THATTHE MEETING WAS aULY CALLEQ ANQ HEL❑ ANI7 THA7 A QL1QRlJM WA5 PR�SENT. �� SEVELYN J. gENDER Page 62 of 62