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HomeMy WebLinkAbout2026.0616.TCRS.MINUTES.APPROVEDit�I'�►1�[�7���17P►���i'l:lt�� MINUTES �F THE R�GLJLAR SESSIaN �F THE FDUNTAIN HILLS TOWN C�IJNCIL June 16, 202fi A Regu�ar Meeting af the Fvuntain Hills Town Council was can�ened at 5:28 p.m. Members Present: Mayflr Gerry M. Friedel: Vice Mayor Gayle Ear1e; Cvuncilmember Ri�k Watts; CounGilmem�er Peggy McMahon; Councilmember 6renda J. Kalivianakis; Counciimember Alien 5killi�orn Councilmember Hanr�ah Larrabee attend�d by telephone c�nference call. Staff Present: Tawr� 1111anager Rachael Gavciwin; Town Attarney Jennifer J. Wrighf; T�wn Clerk Be�elyn J. Bender ��T A�� �1 o ��.� w�� � ,� o � + �` 1 ' z � �) � � . � � �. n, : � � e .� . � �!f �ha t �s Ar�ti�� T�WN DF FaUNTAIN HILl.S JUNE 1b, z026 COUNCIL MEETIIVG Post-Productian File Town of Fauntain Hills Councik Meeting June 1Fi, 20Z5 Transcription Pro�ided By: e5cribers, LLC * � * � * Transcriptian is pra�ided in ❑rder to faCilitate �ommuni�ation a�cessibility and may not be a totalfy verbatim record of the proceedings. � * � � * Page k of 105 TOV11iV C1f F�L1N'fAl�l HILLS JUNE 1E':, ZD26 CQUNCIL MEETING MAY�R FRIEQEL: 7hank you. ❑kay. We wifl r�aw move an to aur regular tawn cauncil meeting. Would yau alf please rise for the Pledge af Aliegiance? ALL: � pledge allegiance ta the flag o� the United 5tates of America. And to the Republi� for which it stands. One nation under God, indi�isible, with liberty and justice far all. MAY�R FRIEpEL: And if you chflose to, we'll ha�e a moment of silence in place of an inva�atian tonight. Thank you. T�wn Clerk, cauld I get a roll call, please? BEN�ER: Mayor Friedel. MAYOR FRIEbEL: Present. 6ENQER: Vice mayar Earle. EARL�: Present. BENDER: Council Member Kali�ianakis. KALIVIANAKIS: Here. BENDER: Council Member Watts. WATfS: Present. BEN�ER: Council Member Larat�ee. LARRABEE: Present. BEN�ER: Council Member McMahon. MCMAHnN: Here. MCMAH�N: And Council Memi�er SEcilli��rn. SKILLIC�RN: Here. BENDER: Mayar, yau have a quarum. MAY�R FRIE�Et: Thank yau. Anci we'!I mo�e ❑n now ta ❑ur surnmary of current events by Tawn Mat�ager, Rachael. GODOWIN: i�hank you, Mayor. I have a little list tonight, s❑ please bear with me. A caupfe ❑f pertinent updates fflr the cammunity. First, I war�t ta thank all the teens who participated in our vir�eo game tournament last week. Registratian was full with more Page 2 af 1�5 �:����n� ar r-o��Nr�airr N���s JUN� ].+i, �p26 CUUN�IL NlfEl'iNG than 30 kids com�eting in twa age groups far bragging rights and cash pri2es in both Maria Kart and 5uper Smash Brothers. It was great to see such str�ng participation in one ❑f our summer teen programs. It's als❑ really fun to see the staff getting ready for it as they work on their skills. It's a-- that's a fun day. I also want to recognize our finance team for a recent n�tificatian fram the Gavernment Finance Dfficers Association. We just recei�ed a notice that th� tawn was awarded the Triple Crawn award for alf three of our FY 2024 financial reports. This is a significant achie�ement, and Fauntain Hills is anly ane �f 440 governments ta recei�e this award. Anc! that is for ��10 natianwide. It's -- I want ta say it's fewer than a dozen ar so in Arizona. So it's a pretty big deal. So cangratulatians t❑ our finance team and everyone in�ol�ed in maintaining the town's high standards far financial reporting and transparency. La�king ahead, we have our annual Fourth at the Fauntain celebratian taking place an 5aturday, July 4th at Fountain Park. The e�ent begins at 6:30 and is free and open to the community. This year's celebration will feature Rager Clyne and the Pea�emakers, which is a really a very, very fun act and he will be taking the stage araund 7:3Q, faflowed by fireworks o�er Fountain Lake beginning at 9. We are also expecting a flya�er from Luke Air For�e Base and their 56th Fighter Wing, featuring faur F-35s at approximately 7:3a. But of course, that timing is a little suhject to -- you know, to flight operatians and weather. We encourage everyone to come out, �Oring chairs and blankets, and enjoy the e�ening. Shifting gears a littie bit, EPCOR will be halding an in-person meeting regarding its rate increase applicatian next Wednesday, June 24th at 5:3� at the Community Center. I encaurage the public to, if not attend, at ieast read up ❑n what EPCaR's requests are. Residents who are interested in learning more about the application or praviding input are welcame to attend. 5o again, that's 5:3� next Wednesday. Separately, residents should also be on the laokout for infQrmation about a public educatian session later this summer, where EPCOR will share infarmation and answer questions rekated ta water usage in Arizona and how those broader issues affeGt us here Page 3 of 105 TDWN OF FOIiNTAtM H1�I5 IUNE 16, 2026 COUHCIL MEETING in Fauntain Hills. Water is ob�iously a very real and �ery in-demand resource, and it's a �ery important t�pic far many in our �ommunity, and this will be a good apportunity for residents as well as aur cauncil, yau guys are alsa in�ited t❑ attend, to learn more, ask questions, and f�etter understand the issues affecting our region. Dicay, one more. I aiso wanted t❑ remind e�eryone that Electi�n pay is July 21st. MarEc yaur calendars. Residents are enc�uraged to make a plan to �ote and watch for official electian informatfon fram Maricopa �ounty. I knaw our town website is maintained and updated with t�e �roper links as well as election information can -- is alsa available at Be Ballat Ready dot �ote. So finally, following tonight's meeting, the cauncif wifl begin its sumrr�er recess. 5a tonight's council meeting will be the last, and we will resume our regular meeting schedule ❑n Tuesday, 5eptemk�er 1st. We will be posting any special meetings that may be happening over the summer, but this is our last regularly scheduled meeting. Mayor, with that, I think those are all my updates. MAY(�R FRIEbEL: A lot going ❑n. Thank you. Naw we'll move on t❑ presentations. Rachael? GQqdWIN: All right. 5orry abaut that. All right. �onight we ha�e aur economic development and taurism actually specific to our tourism update fr�m Amanda Jacobs. She's going to be gi�ing us a fourth quarter update. JACD85: Gaod e�ening, Mr. Mayar, members af council. So we're doing things a little bit different today. Usually it's an economic develapment update with just a few slides regarding tourism, but we try to encourage aursel�es to toot ❑ur horn sometimes and there's been some record-breaking numbers. S❑ we wanted ta switch gears esp�cially as we enter the summer manths to pro�ide an update. 5� highlights. Our occupancy from January to May 1$th, and so here you're going to see where it kind of fluctuates by dates. But the 15th is that's when I had ta start putting together my staff report and P�werPoint. We don't just do it taday. And during that period too, there was 15,�00 new unique visitors to the website. We'll get into this a little bit later, k�ut one of our record breaking was 1.� million Facebook �iews, a 14 Page d af la5 i61l�1N QF FDUIVTAil11 4iILL5 7UNF �6, 2G26 ��UNCI� MEF.TlNti million Wildjoy campaign impressians, we produced ten professional �ideos. And then you'll see o�er 1��,�00 with our fauntain li�e feed and earth cam. So sometimes if aur visitars can't make it t❑ Fauntain Hills, they'll reach out ta us if the camera is dirty. As they're chilling in Montana to say you need to clean this up. I lo�e looking at the fountain. And sa we'll get some of those calls to experience Fountain Hills. Dur �iewership. So again, I'll point out, sometimes people are confused, but the left column is the top five in Arizona that are coming to t�e Experience Fountain Hills website and the top five nationally. You'll see, hasn't �hanged since the pre�ious quarter. And then what helps with this too, e�en though this is tourism, is sometimes this also ties into business attraction and w}�at the Greater Phoenix Econorr�ic cauncil is daing and is in alignment with as we try to attraci businesses not just to Fountain Hills, �ut the region and the state. All right. S❑ we cvuld be here all night but wanted to highlight. Dne thing that we wanted t❑ do this fiscal year is we really needed to update and freshen up the content on our website. So you`II see -- you may need to put readers an, but the left side you`II see that we highlighted with ph�t�s our hotels, and there was a brief paragraph. And so what's next t� it is we've cornpletely re�amped it. I encourage p�opl� to go to ❑ur hotel and resarts page and naw it's expanded. It adds Google re�iews, what amenities are offered. And then there's alsa a buttan calfed make a reser�atian. 5o a call to action that was launched in December. And then yflu wili see there was an 81 per�ent increase. And so what we �an gather from that as well as aur CF�, we sometimes tease each other internally. But last monti� he told you we were seeing some great numbers when it �ame to bed tax and Qur sales tax. And so sometimes he jokes, maybe it's the economic development �fforts. And I say mayb�, h�re are the numk�ers. But there could be a carrelatian. And again, selfishly, we priaritized s�mething like hotels and resorts because selfishfy, we don't ha�e a local primary property tax and we r��y heavify on sales and bed tax. And then recard breaking. This is a screenshot because we have dash3��ards. But ❑ur Page 5 of 105 TOWfV �F FUUNTAI�I1 HIf.iS IUNE �6, 2026 C��JIVClL h'IEETfiVG town strategic plan, you knaw, as well as aur �ammunity economi� de�elopment strategy, calls out that we want t❑ attract younger famifies. And sa the last three months again this is t�re first snapsh�t, hut you'll see the last three fufl manths. We are targeting people in the 25 tv 34 age. 5v what we're claing is working. And part af that again later on is our tagline is naturally, Fa�ntain Hills. We're naturally fun. We're naturally ad�enturous. We're naturally innovative. And so what we've be�n doing is making sure that we have fresh content. That we're not doing stock phatography, that people are seeing their neigh4�ors, their business people, and that it's �ery authentic and naturally, Fountain Hills. And then yau'll see ta aur Faceboak, we hit aver a millian Facehook views rea��ing people from a�ross Arizona. And we're seeing too in ❑ur stats, Canada, Mexico, the United Kingdam. And we mentioned this previausly. This is -- these are goad targets as we look ta open the �ark Sky Disco�ery Center. 5ame hrief updates an our Prop ZZ �rants. 5o this �urrent fiscal year, which will end June 30th, earlier this year we did appEy for Fflrt McDaweil Yavapai Natian grants. We did nat recei�e any funding. We ha�e submitted a request far $2d,QQa for marketing efforts. We should know by July ar August if that will be awarded. 5alt River Pima- Maricopa Indian �ommunity, th� fast few years they've increased the ask from 3�,�aD ta 5�,00� and so that is benefiting our music fest. And so that's a photo of just this year. And then with the 5alt Ri�er they actually will in�ite the tawn to apply. S❑ it's nat open Cfl e�erybody, it's just specific to the tawn. And so we're waiting far that in�itation. And Gila Ri�er Indian Community, last year we attempted this. The tawn as far as economi� de�elopment and tourism was nat awarded, but the Fountain Hills Chamk�er of Commerce was. And so we're ser�ing this year and the next two years as a pass through. And this year, economic devel�pment chase not to appiy. Aga�n, sametimes it's a stret�� when it's not your neighbor. gut our fire department did a{�ply and hopefully w�'ll hear Eater in th� summer. Dur Prop 302 grants tl�is year, we secured o�er $76,�00 and the estimate -- and it's always an estimate. We'll see haw things trend and the 5tate will report baGk ta us, buC Page fi of 105 70WI�i r3F �plJIIFTAIN HILi.S 3UNE �6, 2026 CQl1NCl! M�kTING we're anticipating to get nver $9D,�0�. And ther� it's �ery stringent an what we �an apply for. 5a again print advertising, our visitor's guide, �ide❑ praduction, et cetera. And then s� we wanted to {�ighlight this and I want to give a shout out. A couple of years ag❑ aur recreation pragram coordinator 5kylar Thomas said, Amanda, we have aur internal marketing team, but it's like we really need to get in tauch with a social media influencer. And sa I asked her if she wanted ta help with that. And then so she did a little bit af research and then we reached out, se�era! years ago to see if Lacey Kane �ph.), the founder, wanted ta worit with us, and through grant funding, we've been able ta woric with LaGey and Lacey's in-laws happen to be F�untain Hills residents. 5a that is a nice connection, but we had to receive a r�port since this is tied to Prop 3�2 funding. And then she fet us know there was aver 12 million impressians, so actuaEly o�er 14 miflion impressions. And this is the largest. And s❑ I was like toot- toot far ❑MO. 5❑ ❑M� is a destinatifln marketing arganizatian. Sn think of Visit Ph�enix, Visit Mesa, where some of those giants, they're nat cflnnected ta a town government. They are a separate con��ntion �isitors bureau. And s� again, we made a record, so the largest campaign in histary. And then just want ta point ❑ut tao, we are always laoking at the data. How do we �hange? Is what we're d�ing warking? And so you'll see two based off af TikTok. And it's her TikTak again, the town daes not ha�e a TikTok. 5o ta have that ❑n record and her Enstagram again, she is also hitting that 25-to-35-year-olds, where again, they're looking at Fountain HiEls. And so this past year we did stuff again an the fauntain, us being number three in the world as the tallest. We alsa did, did you knaw, about same af our restaurants and that there's nat just American foad, there's Cuban fQ�d, there's Mexican food. And then hecause she likes us, she'll do some fun things to alsa baast things and add other �ideos. And so we just faund ❑ut, too, w�'ll get some mare grant funding to work with her next year. And then again, w�'re talking about tourism. But again, with economic development e�erything is interconnected. And so you'll see, too, that we were able ta produce ten professional vide�s. Those are sliGed up and put up an aur Experience Fauntain Hills Page 7 of ia5 T'pW�l DF F�UNTA11! HILL.S �UIVE 15, 2U26 COLINCIi. M�E"€ Il'J� social media. It's also located on our video gallery under Experience Fauntain Hills. And so ❑ur businesses appre�iate it be�ause all they ha�e t❑ do is say yes and be ready. And then we ha�e a contract with �ayLite Films, sa Andrew Day, who is a loca! business and resident. And then you'Ik see too, i naticed when I started here aur photographs needed some help. They were outdated. And so we've foeen reaily trying to get fresh conter�t and sa we've been also doing that for the businesses. After we do the initial launch, we als❑ share some af thase photograpf�s. And s� again, in the 'tnterest of time, I won't read everything to you. And then want to give a shout out to fVight Sky Tflurist. 5❑ again, that is Vicky �erksen, who is a resident. Again when I started, it has been aver four years, can you believe it? We were �eing �ery reactive, yet we had this International bark 5ky designation. And so far the fast two years, she has helped for free to put together the internatianal Observe the Moan night in partnership with Experience Fauntain Hi<<s, as we�l as the Geminid meteor shower watch party. 5he alsa has a partnership with ADER� between October, May-ish when again, it's not so toasty outside. And then you'll see here she also does pri�ate e�ents and then you can see SO percent she gathers are visitors that are coming ta Fauntain Hills and she ga�e her last hike report. And then you'll see -- so she specificalEy asked we'd had a recent meeting of just where are yau coming from? Where are you hearing about this? And so these falks had direetly noticed the infarmation on our Ex{�erience Fountain Hi�ls website and can see that they ar� �isitors. 5o there's that Montana again, they're ha�ing a girls' weekend here in Fountain Hills. And then want t❑ call ❑ut some af our conferences. We've b�en trying ta work really hard with our community �enter, as w�ll as event organizers that if you were ha�ing a �anference in Fountain Hills, you need ta coordinate with the Experience Fountain Hills, because if you don't ha�e a rao�n block, we have na idea that you ar� tied tg that ever�t. It just seems like you're a leisure tra�eler. Or if you select business, it's just business and there's no ather data. And so we coardinated months back with the Museum Associati�n of Arizona. They had 87 peaple registered and then we helped secure room Page 8 of 105 TfiiWN [)F F�U,'V'iAiIV HILlS IUfVE I�, Z[��6 CQUNCI� MEE71H� blacks with twa of our hatels. The awner did say of 5park by Hilton. Unfartunately no one stayed there, but at least twa at Fountait� Park. And then want to put in a pEug with our Madam Clet`k. So the Arizona Municipai Clerks Conference, they ha�e been hosting that conference here in Fountain HilEs for actually 15 years. And we've struggled the last few years, but you all know our Madam Clerk, Be�. She knew who to speak to, tfl try ta a�tualky get a raom b1oGk. AdER� stepped up at a w�nderful rate ❑f $144. 5o you can't beat that. And then alsa just cammuni�ating with th� clerks be�ause they like to stay in Fauntain Hills. They were a bit confused tao, wit�► the -- the 5cottsdale name. And s❑ I said it's a branding thing. They do -- aGtually they are lo�ated in Fountain Hills, we �allect that sales tax. So once we know more numbers, we'll repart back in the fall. And then this is just again some advertising that we're doing in maga�ines. 5ometimes our residents say I don't see any ad�ertising. And then I always tell them na, because I'm not targeting you. You're already here. So some key takeaways is again, we'�e reached recard audiences. Also, things don't happen, change doesn't happen overnight. So I appreciate e�eryone's patience. It takes time to -- to build up aur marketing. Again, t�e �idea, the photography, the grants ha�e help�d, but d❑ want ta say Che A�T Prop 3a2 sunsets in 2031. 1've already told the CFO and tawn manager we'll be thinking ahead already af next year af making sure that we're not losing certain funding. 5o far example, our annual visitar`s guide that e�eryone [o�es, that is 100 percent paid by Prop 302. 5o starting to think ahead and do want t❑ say this �ouncil and �auncils past, yau guys have been �ery supportive of appro�ing budget requests for rnarketing. So thank you; I appreciate Chat. And then just looking ahead, we're going to continue what we've been planning t❑ da. And then just one hat off the press. Earlier this calendar year in lanuary I met with Jae Bill and G�off Yazzetta of the internatiana! Dark Sky Dis�overy Center and said, ❑kay, guys, we need to start gearing up. What is our messaging ta the domestic and international travelers? Rnd they looked at me and said, Amanda, we're trying to open the building. And so I'm like, I understand. And so a couple weeks aga in very rapid Page 9 of 105 T�7WN OF FDUAfTAIN HlLi,S JUNE 16, 2a2fs COUNCIL MEETifVG order, I said, woufd you be okay? Can we partner together? We feel like it's a win-win. If we put in for a$15,000 grant to have a third-party work with us on that ex�rcise, because in shart order, we are gaing t� need that. 5❑ again, we're nat being reactive. We are strategically positioning oursel�es. And s� we were awarded $�.S,�OD t� da that. Sa super ex�ited and sa we will let y�u knaw the outcome of those efforts. And with that, Mr. Mayor, happy to answer any questions. MCMAHON: Thank you. Amanda, I don't mean ta put you on the spat, but if we can g❑ ba�k to the reGard-hrealcing performan�e and that's an sacial media, Facebaak and Instagram, is there any like one or two speciaf things that they're clicking fln that that is making it a record-breaking performance, ❑r is it just mostly all the pictures ❑r whate�er is being posted? JAC065: It's mostly all of it, but you'll see, we'�e been targeting a lot of what does extremefy well is, of course, just the fountain and then the events. That is -- like the top thr�e ❑f people getting super ex�ited. And then aur last car show with Concours in the Hilfs also reaching out to legitimate �ideographers ❑f hey, can we share yaur -- your drone footage? And some of that is just -- it just skyrackets. MCMAH�N: 5❑ basically it's al! the foouquet ❑f events that we have and the attendance, et cetera, that you guys are posting and attraciing more �isitors and looking to, you know, a younger media age medium, right? JACDBS: Correct. Yes. MCMAH�N: Okay. Thank you very much. JACOB5: Yes. Yau're welcame. SKILLIC�RN: Mr. Mayar, ❑irector Jacobs. So Mr. Mayor, Directar Jacobs, what tools are you lacking? I mean, is there anything that we can pravide ta you? Are there ev�nts that you need ta happen? What more do you need? JAC�BS: Mr. Mayor, Caun�il Memher Skillicarn. We just adopted the budget. 5a right now I would -- say we dan't need anything just yet. 6ut came this fall, maybe we will -- maybe we'll reach �ut. Part of it to you guys recei�ed the mema. i'm operating sola in my department. 5o some of it then is resources that, yau know, you could dedicate Page 1d of 3Q5 l'�lh1�V DF FCUNT;�IN H!! LS JU�fE 16, 2�2uCDU�JCIL MEETENG maney, but if you don't ha�e the human capital behind it, that becomes a challenge. 5a I appreciate the quest+�n. We'll give it some thought, but in the immediate we have the toals. And again I'll say from council memhers past and then this body, yau guys have appro�ed se�era! hundred thousand dollars tawards marketing. SKILLICORN: And Mr. Mayor, Director, and I'm kind of spe�ifi�. I mean, would you ap�reciate more events? You know, currently i'm not sure. It sounds ta me like, yau know, like Mike Pelton is �ery helpful, laut you €cnow, is -- do you have enough taals to do what you need in hause? �r I Ecnow you, there are same peaple that are gaing out, but yau know, what mare do we want? �AC�BS: Mr. May�r, Caur�cil Memk�er 5killicorn. One item, but again, we've sort of -- pun intended. Che�k, please. We have in our community ecanamic de�elapment strategy to work with the nationa! e�ent pramater. We'll say toa 6ecause there are sa many e�ents and sv not just put on by our community services department, but other third parties. Then it becames tao is their availability and the staff resaurces ta suppart it. But we're always worlting with the tawn manager as well as the community services direGtor t❑ -- e�aluate certain projects. 5a last year we were considering someth�ng. But again, their window didn't match with us t�ecause things were boaked. SKILLIC�RN: And Mr. Mayor, Director last fallaw-up, I promise. JAC�65: Think he's going ta ask me again. What should I say, Council Member Skillicarn? SKILLI�ORN: No, you -- reminded me because i know we've talked abaut, yau know, same sort of IEke autsource outside e�ent planner coming t❑ us and daing an e�ent. 5o it sounds like you'r� ❑pen to that. Dfl they ha�e the tools? I mean, that Chey can contact you? �a they know that we're open for business? That's reaily the question. I mean, if you wanted to ha�e an event here, let's say you wanted to da yaur community e�ent or you know, ❑r yau just want to get a permit ar�d rent aut tFre park and d❑ same big e�ent that the town would henetit from. Are we tafking the right people? Are we -- are the peaple are aware that we're open for busirress? JAC065: And sa Mr. Mayor, Council Member 5killicorn, the answer is yes. And they'�e Page 11 nf 1Q5 i OWIV {JF FOiJ{l1TRIld HiLIS JUNE 15, 2aL6 ��IJNr�� pAEEtiN� heen willing participants ta came to the table. 5KIL.L.ICORN: Thank you. KALIViANAKlS: Thanic you. Mr. May�r. Thanks far the repart. JACOBS: You're welcome. KALIViANAKIS: When we see record-hreaking performance, Instagram breaking 30-day records. Well, this doesn't happen in a �a�uum. This is a lat af hard work. And I know you'�e been putting in long hours, and so I want tfl thank y�u far this great report. I alsa want to thank you for c��ering tourism tonight and expandir�g your narmal report, because as we know that small business is the e�onomi� engi�e of Fauntain Hills and taurism dri�e small business. And s❑ I encourage yau to continue with the taurism, keep updating us ❑n what's going on there, and keeping innovati�e in your techniques, hecause I'm really thrilled to see these numbers. Lastly, and t�is isn't the town deal. It's a Dark Sky deal, b�t my number one question is when are they going to open those doors? And you mentioned the 6ills are like, yeah, we're trying ta get the doors open. Can you gi�e us an estimate on when that's going ta happen? JAC�BS: 5o Mr. Mayor. Council Member Kalivianakis, the last re�art they gave us in their newsletter was January 2026. As of last week, I spof�e with our building official. We have not recei�ed their plans for the next phase. 5� again, as soon as we receive thase, we'll get rocking and rolling and hope ta appra�e those. KALIVIANAKIS: 7hank you. JACOBS: You're welcome. GDODWIN: Thank yau, Mayor. Amanda, I just wanted ta say I have a unique perspective in that I get ta work with you every day. I afs�, previausly in different r�les, ha�e had a little toe in tourism and what you've done has been really fantastic. 50 thank yau for what you dQ each day, e�en with a very, very, very small team. Sa yau've really dane a lot. Thank you. JAC0B5: No �lapping. ❑on't get me in tr�uble. WATTS: I keep hitting the wrong button, sorry. Qo yau keep metrics an the �arious Page 12 of 1U5 TGiNiV OF r=�1U{Vi�?1fU FilLl..S JiJIVE xfi. 2D2E CO�NClL �J!�ETiNG events as far as restaurants, hotels? I see do the hotel thing, but da you keep the metrics? So kind of liice what Councilmemher Skilli�orn was saying, it would guide us in a Gertain direction. Maybe kite flying is not quite as producti�e as irish Fest. And I don't mean to pick on those two, but dg you keep those type of inetrics as weRl? 5o to heRp us next time maybe to help you? JACOBS: Mr. Mayor, Coun�il Member Watts, that is a little harder, specifically with the restaurants. �ne, the sales tax again, is proprietary, s❑ e�en to me. 5❑ a lot af people think that I have that, that is just the CFD. I don't get to see thase numt�ers. What we will da and a few months prior, Council Member Larrabee joined me on a business retention site visit. And s❑ s�me Qf those site visits were hearing dire�tly with some ❑f the businesses. And I'il say depending or� the restaurant ❑r the retailer, it's very mixed ❑f we love this. And then some peaple are like, well, peaple ha�e issues with parking, and so they receive na benefit. Sa it's really hit Qr miss. We're starting. 5o for instance, just thinking ahead and what Cauncil Member Kali�ianakis says, we'�e been pushing again with some of the restaurants. So during ti�e summer, people like to reduce their hours, they like to take a week or two off, to let us knaw sa that we're not sending people, and then they're closed. Working with them too, we'�e made observatians where they did cantact us and t}�ey're like, we lo�e your help. And then we're monitoring, okay, you let us know, but you haven't Ghanged �t on your website or Google Maps. That we �an't do anything about. We can educate them, hut then it's up to them. And so some of it's through site visits, if again so the {�re�ious month our CFO acknowledged just seeing that sales tax in�rease. 5a with the restaurants is a bit harder, Council Memb�r Watts. WATTS: Okay. Well, thank you for that. It does IoaEc like we're gaing in the right direction, s❑ nice jab. Thanks. JACOBS: Thank you. EARI.E: 5ince e�eryone asks -- everybody asked sa many questions already and we ha�e a full night tonight, I just want to say thank you. JACOBS: You're welcome. Page 13 of 1US TUWN UF FtiL1i�7AiN HELLS JLlNi lfi, Z02fi CC]�1HZIL MEETlNG SKILLICORN: Thank you, Mr. Mayor. And there has been some great questions. And it actually led me ta my next one. And I kind af wonder ahout the econamic development, working with finance a little bit. And I know that I assume at least that the sales Cax infarmation is not immediate. We don't know, a week iater, ah, �ook, tF�at weeltend was really strong, right? it's de�ay�d, but I kind af wonder when we do get that inf�rmatian and then if it's possible ta see it by date ❑r weekend or something. Anci then the hack date and what happened then. And I really think that wouid be a very valuable thing, hecause ultimately we are doing these e�ents becaus� we lave the tawn and we're pro�iding something far our citizens. 6ut we also know that sales tax is a �rucial part ❑f our budget, and successful events and sales leads ta r�icer t�ings. 5o that's -- I just want to make sure we're working together and we dar�'t need an answer right now. But just something to think a�out going forward is the back date and go. hey, that was a very successful time for us. What else was going on in the town? And maybe there's alsa some things that we put a lot af energy inta that don't provide a Iot of those resources. And I'm nat saying we don't da it because we still lo�e community e�ents, but we just -- the metrics are important, and it's impartant that we are loaking at something and we actually can ma€ce those decisions. Thank you. It's been a great discussion. MAYOR FRIE�EL: Thank you for your efforts. Yau can see th� results and all th� hard work that you put in there. I'il throw out a fittie teaser. Can yau use some ca�ered parEcing? JACDgS: That's a separate agenda item, Mr. Mayor. Thank yau. MAYOR �RIEpEL: �kay. Now we`If move an t❑ our proclamation. Dur Vice Mayor is gaing to handle the proclamatian far July as Park and Recreation Month. Vice Mayor? EARLE: Thank you, Mayor. Whereas the town of Fountain Hills is committed to enhancing the quality of life for residents through ex�eptional parks, trails, recreational programs, and open space. And whereas parks and recreation pramote health and wellness, pra�ide oppartunities for acti�e lifestyles, strengthen community connections, and enGourage residents of all ages to enjoy the natura! beauty of Fauntain Hills. And Page 14 of 105 TUW�! DF FOL'NZAIIti HliIS JiJNE 16, 20?5 CQUHC!L [IrE�TIN�i Wi1E1'Ea5 pal'ICS anCi fECfEatlOfl 521`VIC�S QI' SQ1'VIC� -- Y�a�l, ser�ices contribute to the en�ironmenta[, social, and economic vitality �f aur cammunity and help make Fountain Hills a ciesirabie place Ca IivQ, work, anc! �isit. And whereas -- and now, therefare, Mayor Gerry Friedel, together with the town cvuncil of the town af Fauntain Hills, Ariiona, do hereby prociaim July 20ZG as Parks and Recreation Month and en�ourage all residents to recagnize and celebrate the impartant role that parks, recreatian facilities, programs, �olunteers, and staff pkay ❑r play in making Fauntain Hills a �ibrant and healthy cammunity. MAYDR FRIEQ�L: Ke�in. Ke�in, �ome ❑n up. A�d now we'll mo�e on wit}� the Mayar's business spotli�ht and t�night it's Graze Craze. This month, it's my pleasure t❑ recagnize Graze Crate as ❑ur mayor's busir�ess spatlight, a business that has became a wonderful additian to Fountain Hills, the Fountain Hills cammunity. Graze Craze specializes in �eautifullycrafted charcuterie baards and grazing boxes that �ring pe�ple together for cefebratians, k�usiness gatherings, and e�eryday occasions. Their philasvphy is simple; e�ery moment is warth celebrating, and great foads help create meaningful connections. Each hoard is thaughtfully arranged with fresh, high-quality ingredients and designed to deli�er the waw factor while making entertainment easy and stress fr�e. Whether y�u're hosting a �ommunity e�ent, busin�ss meeting, clier�t appreciatian gathering, family celebration, or simply treating yourse�f, Gra�e Craze ❑ffers a convenient and memorable catering -- experience. The town has had the op�artunity on many occasians t❑ enjoy Graze Craze offerings at se�eral council and cammunity events, where they ha�e cansistently delivered ex�eptianal quality, preservation, presentation, and service. While Grate Craze is a part of an international brand with locatians a�ross the United 5tates, Canada, France, and Australia, aur Fountain Hills location is praudly owned and operated by 5teve Weberman. 5teve's cnmmitment to c�stomer ser�i�� and community invol�ement has helpec! make Graze Craze a �alued member of our local business community. We appreciate 5teve's in�estment in Fountain Hills and his dedication ta providing a unique dining and catering experience for residents, businesses, and �isitors alike. On behalf of Page 15 of 1a5 TaWN DF FQUNTAiN 'siI�LS JUNE 16� 2U26 CaUNCII ML•ETiNG the Town af Fountain Hills, congratulatians t❑ Graze Craze an heing recagnized as this manth's Mayar's 6usiness SpotEight. Steve, if yau're here, come ❑n down, please. WE6ERMAN: Hi. Ni, e�eryane. If you ha�en't had aur board, piease order one. If you'�e had one, I'�e hoped you enjoyed it. We're doing really well. We'�e -- actually, because ❑f aur F�untain Hills success, we've apened up locations in Desert Ridge and Deer Valley Air Park. So we're doing quite well. And you know, we appreciate everything. We celek�rate everything. And came on, stap in. We'�e got art in ❑ur place, too. We'�e gat a charcuterie manufacturer that's put stuff in our place, actual boards. Not just the food and meat like we do, but aiso we ha�e a lo�al artist that's putting stuff in our place as well. 5❑ stap in and say hello and say hi t❑ Susan. MAYDR FRIE�EL: Thank yau. Dkay. And now we'll mave on witi� ❑ur cansent agenda. Can I get a motion? EARLE: Motion to accept the consent agenda. SKILLICORN: 5e�ond. MAYDR FRIEDEL: We have a motion and a second. Can I get a roll call please, 7awn Clerk? BENDER: Councii Member 5killicorn. SKILLICORN: Yes. 6EN�ER: Council Mem�er McMahon. MCMAHOf�: Aye. BEN�ER: CounciE Member Kali�ianakis. KAI.lVIANAKlS: Aye. BENQER: Councii Member Watts. WA�TS: Yes. BENDER: Cauncil Member Larrahee. LARRAgEE: Yes. BENDER: And Vice Mayor. EARLE: Aye. Page 1fi af 105 Yavrn� a� Fc,u� rn3�r a����5 lIJNE �b, 2Q2o C�UNL'IL h9fETIN� gENDER: And Mayor Friedel. MAYOR �RIEDEL: Aye. BE�i D�R: Mayor, se�en zera. MAY�R FRIEQEL: �hank you. We'il mo�e an to aur regular agenda item a, which is considerah�e -- consideration and possible action regarding the tawn's dire�t rep�rt, employment contra�t amenciments and updated agreements, as applicable for th� town manager, tawn attorney, town prosecutar and presiding judge, town magistrate. And authori2irrg the mayar, towr� manager, attorney, and town clerk to take all actions n�cessary t❑ carry aut the intent with Town Manager. LINIDENTIFIE� SPEAKER: Mayar, just to be brief, these positions repart directly to the tawn �ouncil. Therefare, any directian regarding these need ta came from this �ntire body, which is why they are on the agencia tonight. Spe�ifically, the dire�ti�n was t� bring these caniracts forward to update and align them with the fis�al year. 5n any further questions? We do ha�e staff here if we -- if there's any discussian. With that, I'il turn it o�er to you. SKILLIC�RN: Thank yau, Mr. Mayor. I da have some thoughts and comments an this and -- ❑n this particular one. And I think there are other peraple ha�e questions also, but specifically there's a few items. One is or a couple ❑f them are the attorney -- sflrry, the prosecutor and the judge. And this, even though this is just a-- more of a we're giving re�iews to these individuals, we're nat changing the cantract. But I just want to point out -- MAY�R FRIEaEL: bo you have a specific questian, Councilman? SKILLICQRN: Not this time. 6ut I mean, € ha�e comments on it. MAY�R FRIEdEL: Town attarney? 11NIDENTIFIED 5PEA1{ER: We take questions first, and then we g� to �omment cards and then we ha�e discussion. MAYOR FRIEQEL: Do you have any questi�ns? MCMAH�N: Yes, I do. I noti�e in this agenda item there are a!I four indi�idual employment contracts are grfluped inta one. I think -- persanally I think that these are Page 17 of ].U5 row�v oF �ou�vra�n� �iz� JUNE 1fi, ZU2fi �QU�lCIL �EETING �ery, �ery impartant. Y�u know, ane fnr the proseGutor, one for the judge, one for Rachael, the town attorney, and one for the law firm. And I t�ink that we -- they're distin�t enaugh that we should �ote separately on each one of them, even though they're one agenda item. So I'd like to make a motion that we do thai if a motian is necessary. KALIVIAIVAKIS: Yeah, I wauld -- secand that. I think a �ote an each individual item would f�e preferable to an all ar nothing. O�, thank you. I just want to secand the mati�n. MAY�R FRIE�EL: So we ha�e a motion and a secand. Can we get a roll call vote an that to separate these items? UNfDENTIFiE❑ SPEAKER: It would be -- well, technically it would be faur separate motions ta then I guess the mati�n is -- I think the m�tion is aut ❑f order. I mean, it's not -- it n�eds t❑ be rephrased, so the motion wauld be ta apprave each individually, but n�t necessarily �reak them apart. MCMAH�N: Why is it flut of order? UNI�ENTIFIED SPEAKER: I'm sorry, it's not praperiy worded. I mean, yau can't hreak apart an agenda item in the way that you've asked for it to be brolcen up, but yau can -- MCMAHON: Tell me haw to da it, please. L1NIbENTIFIE� SPEAICER: Yeah. 5o you can make a motion ta approve one agenda item, but we still haven't gone ta discussiar� yet ar camment cards. But you can make that motion, and you can then make another mation to appro�e a different part of the -- different contract. 5a you make them as four separate motions on each one. MCMAHDN: So when is that happening? W�en can I do that? iJNIbENTIFIED SPEAKER: You �an make that motian now, but we would still need dis�ussian before you would �ate an it. MCMANON: Well, then I make the motion four different times. I make the motian to laok at the -- L1NIbENTIFIEd SQEAKER: ❑ne motion at a time. MCMAH�N: I make a matian ta look at each contract individually. The proseeutor's Page 1$ of lU5 7'ilWhf fJF F�UN3'AIlV HILLS JL1NE ?6, z426CpUNCII MEETfIVG indi�idualfy, the judge's indi�idually, the town manager's individually, and the town att�rney's individually. IJfVID�NTIFIEa SPEAKER: That's the -- the mation's still -- I saici four separate motions ta pro�e each cantract indi�idually. Like say sa a motion to appro�e the town prasecutar's -- MCMAH�N: So maved. Yeah (indiscerniblej. Qa you want me t❑ wait to da it? I will. UNIDENTIFIED SPEAKER: Yeah. MCMAH�N: ihank you. MAY�R FRIE�EL: Do we have any camment cards? BENQER: Yes, Mayar. We do. We have seven that will be speaking. We did receive six cards online. Five wanted to let you know that there will not be speaking, fi�e wanted to let you know they were far it, and one wanted to let you know they were against. First speaker will be �iz Gildersleeve {ph,�, followed by �inda 5amo [ph.}, Shelby 8lecher �ph.}, and 5usan ❑eGennaro. GILDERSLEEVE: Good e�ening. Liz Gilderslee�e, Fountain Hills resident. I am in fa�or of appraving the �ontractual amerrdment for the town attorney for a number af reasflns. First, since I'�e li�ed in Fauntain Hills, Jen Wright is the first town attorney who's actually been committed to pratecting the town. That's heen refreshing. For example, she pra�ided the saund legal ad�ice and protections to strengthen the ordinance for group homes, als❑ known as sober homes. The added protections of insurance requirements and inspections was something residents demanded four years ago. Instead, four years ago, we got a watered-down �ersion and weak legal ad�ice fram our last tawn attarney. But Ms. Wright, t❑ her credit, figured aut a legal way ta strengt}�en the ardinance, which c�nsequently pro�ided neighborhoods and homeowners with better protection and mare reCourse. 5o thank you. 5econd, Ms. Wright has had to manage the daily barrage of petty lawsuits and archestrated complaints fram sarne af our most litigious residents. Their �fear gaal has f�een ta weaken her resolve and cause continued chaas in aur tawn, while at the same time preaching ci�ility and caliabaratian. Finally, and most recently, Ms. Wright has had Page 19 of 1�5 TOWN �F FUUNTAlN HILLS JUf1iE 1E, 1.e72f COUNCIL �IIIEETiyG to pratect the town's logo from misuse and �opyright infringement. lt required the town to hire outside cauncil who, by the way, agreed with Ms. Wright's legal opinian and use af a cease and desist fetter that was sent to all political candidates, ad�ising them that the use �f the town ��ga wauld be inap�rapriate on p�litical materials. 5eems self-explanatory ta most. E�eryane complied except one mayoral candidate. Unfortunately, now Fountain Hills taxpayers are on the hook. Excuse me, are on the hook t❑ pay the unne�essary $18,��� legal bill of that outside attorney. 5a bottam line, I w�uld prefer that you appra�e the amendment for the town attorney for another year. Ree�aluate next year, as you should, for all employment contraets and move an. Thank yau. MAY�R FRI�DEL: Next speaker. SOMO: Thank you, Mr. Mayar, Tawn council. My name is Linda 5amo and I am a Fauntain Hills resident. I'm not against the item itself, but I would support you separating out the �arious ❑ffices because I am again�t gi�ing an exarbitant increase ta one mem�er, and that is the town attorney. I ha�e seen nathing that she has dar�e that would warrant an 11 percent increase ❑n her current salary. Which is seven and a F�alf ar 7.5°/a ov�r and abo�e the 3.3% that has k�een recommended for other town employees. I don't know whai she has dane that would warrant that type ❑f increase. Plus, when she came to this positian, she lacked experience in tawn law and I don't know that she's gained any since then, at least I haven't seen it e�ident in yflur tflwn meetings. And the pre�ious speaker menti�ned that she, yau know, has had ta deal with lawsuits. Well, part �f that is because she advised the town cauncil to da away with the ability for town members to file an ethics viflfation. If they had not dane away with that, many of the lawsuits that ha�e been filed would n�t have heen necessary. And plus, she warks for a firm that a�tually sued the town twice and lost both times. 5o I don't see -- you know, s�e has -- at least the firm she works for has caused taxpayers maney in the past. 5o I would ask yau to separate that out from the others and t❑ reconsider an 11 per�ent increase for the town attorney. Thank you. Page 2U of lU5 �nu���� �F �auntr,�itv titt�.� lL1Plf� i.fi, 1t]2fi C7UNCiL MEC�-I(VG BELCHER: Good evening, Mr. Mayor, Cauncil. 5hel6y Bl��her, Fountain Hills tawn resident. With a tight job market, as we've seen when another state hires away town staff, retaining quality staff is a real challenge. The town manager position is one of thvse highly competiti�e jobs that require a sEciil set that can filE a wareh�use. We ha�e that person here in Fountain Hills, and I, far one, think she's worth her weight in gold. Please keep Rachael Goodwin's pay campetitive with ❑ther Maricopa C�unty cities our size anti appra�e her raise. As for the town attarney, Jen Wright, and her firm's �ontract, I feel equally the same regarding her �alue to the town. What are troubling t❑ me are comments online ancf Facebook trying to devalue her worth. And by who? It's the same people w�o are trying to bury her in law fair paperwark, ridiculous nati�e of claims, and more. The misinfarmation fed tv t�e puhlic is maddening. Case in point, there's two Facebo�k accounts chatting. �he question, "f]idn't they fire our pre�iaus attorney, who had served us far many years far supposedly o�ercharging?" That was a qu�te. But isn't it general knowledge that Arnson, the former town attorney, quit? 5a there's the question. But in reality, a question is a misleading stat�ment when it's framed as an inquiry but actually contains an unproven assumptian designed to manipulate the listener or force a specific narrati�e. Known as a loaded question, this tactic nudges the respandent into an answer that inad�ertently canfirms something false or negati�e. It �ertainly pre�ents the poster from being charged with defamatian, but the damage is done. Mission accomplished. When the very next day, a different account ❑n Faceboak speaks ta a friend saying this could all have been avaided if we had retained our pre�ious tawn attorney. The poster is referring to Arnsan again, the guy wha quit. This is the type of nansense aur tawn attorney has ta deal with and spend some ❑f her time on. How many extra hours does she take? I don't kn�w, but what I do knaw is that it's shameful t� �ee haw many people putting up signs asking to k�ring �ack civifity do exactly the oppasite every chance they get, while ais❑ encouraging ane anather to f�ury the t�wn in FDIAs and legal maneu�ering while claiming First Amendment rights. I feel Page 21 of 1�5 T�WIV aF F�UHTAIN NlL�.S JLiNE 15, 2025 CaL1NCll MEETING if they cared about the tawn so m�ch, they would a�tually act �ivil and stop the wasted time and fawfare. Please apprave the raise for aur town councii's employment contract. 5he deser�es e�ery penny. Thank you. �EGENNAR�: Gooti e�ening. You Gan hear me ❑kay? S�rry, i ha�e to ma�e this be�ause I'm short. Mayor, council members. I`m Susan DeGennaro, candidate for town c�uncil and seven-year resident. I regularly eome ta council meetings, and part ❑f that is preppir�g by reading the agenda, reading the staff reports and, gaoc{ness, some of them are lang but well worth it. This one is just missing a little samething i wanted to address. Each ❑f the salary increases has a text that says why and what the raise is that is befare the council. There is text about the town prosecutor and the presiding judge that they are under cantracts and are cantractually due the same 3.8 increase given t� the staff. There is information about trying t❑ siandardize the tawn manager's salary, and ! suspect, as 5helby painted out, it's t� try to stap her fram shapping elsewhere. I applaud this. There is e�en informatian afaaut the goal af standardizing the timing of these �ontracts, to standardize the re�iew process, and in�rease the efficien�y far the �oun�il, which again, I applaud. But there's n❑ information in the aCtual staff repart about the town attarney increase ❑ver the 3.3 CPI. I am nat suggesting that the t�wn attorney d�esn't deserve a raise. I dan't know; there wa$ no information in there. The difference that we are talking ab�ut is a$7,��0 a year raise versus a$24,000 a year raise, an additional $16,�00 a year's increase. 5❑ of �aurse, I went loaking for support for this because I wanted to fir�d it and I �ouldn't. Sa correct me if I'm wrong, hut the c�uncii is ❑n record as saying that they want to sa�e money. They want ta pinch pennies. The last attorney left being paid 234,OOQ, and now you're looking at an increase of additional S,O�fl an top af that. And to quote a Republi�an Senator []irksen of Illinois, "a billion here, a billian there, pretty soon you're talking about real money." Well, we don`t ha�e $1 billion and we need ta watch every dollar. 5❑ all I'm askin� is some justificatian as to why it's aba�e the 3.3°/Q, ❑rjust stick wi'th the 3.3%. Lastly, the ❑nly thing I don't knaw if you're all aware af this, but we ran out of comment Page Zz of i05 iL}+N� C?F fUUhETAiP� H:! I_a ll3RIE 1G, 2G25 CailNCIL �4'It�7iNG cards before the meeting started and the meeting started early, sa I'm not sure you got comments from everybody. And I knaw that you all want ta hear from the tawn, so thank you. gEN�FR: Larry Myers {ph.}, Beth Culp �ph.j, and Da�e Long [ph.}. MYERS: Mayar, Cauncil. Larry Myers. And the next time you meet, it will be 45 years. 5a I'd iike to see these all separated out as well, ane -- ane by one. I couldn't e�en speak ta the judge and tFre prasecutor. ! don't -- I don't know haw many peaple they judge and haw many peapfe they prase�ute. So that's your business. What I will speak to is the town manager, who's d�ne a fine jab stepping in from samef�ody who was not daing such a fine jof�, who resigned, than�C goodness. And the town attorney wha resigned, wasn't fired. Sa the ather residents stated all of the misgivings of Mr. Arnson an his way to the exit door. It wasn't mentioned the 5G, which he told us we'd be sued ❑n that, t�+at we're working on now. And then he hid the ihird-party attorney`s work from not anly the residents, but his own planning and zoning commission. 5o where -- dfl you g❑ from the battom? Wefl, you only ga up. So let's re�iew the numbers sa we're not blurting out falsehoods. Mr. Arnson left at 234K a year. He was due a raise, had he been here, to 240 hy his �ontract. The Current town attorney came in at $218,fl00 a year, sa�ing the town 7.16%, 15K for th� first year. 5a by raising her to where Mr. Arnson would be demanding to be �ia his cantract at 24�, she's actua��y getting a ten percent raise. That`s what she's gettin�, ten percent. And she saved us 7.7.6°/o in the first year of her tenure, Sa aEong with that, it appears with all the normal wark that sh� does, she may be ❑verwarked and underpaid. I dan't knaw how many hours she puts in, hut I do know there's an inordinate amount of F�IAs now with the left lawfare, the lawsuits, the n�tice af claims, the AG complair�t fiiings, anci so afl of that stuff whi�h never existed far Mr. Arnson be�ause there was a different administration sitting an the dais back then. And we don't da that stuff except when it's absolutely representing the people, all of the peapfe. So I would say separating them all aut, it's yaur business. The town manager seems t❑ be deserving of a raise; it's in her contract. Judge and prosecut��', c�uldn't speak to Page 23 of 105 TOWN 6F FflIJlVTAI�! HiLl.S JUfNE 1fi, ID2b CDUNCIL MEEfiH.r, them. Town attorney, I think, has done a fine jab handling all of this. And for the amount of the raise doesn't seem e�en abnormal to me since she came in and sa�ed the tawn maney in the first year of her tenure. And that's all I ha�ie to say. Thank you �ery much. Appro�e at will. BENDER: Beth Culp anti then �ave Long. CL1LP: This discussian has foeen very illuminating because I think it really puts us where we are right now, where we are s❑ palari2ed, and it's the leftists and it's iawfare there this and it's reinventing history ab�ut I Gan't -- there were so many ethics complaints filed against Brenda and Ginny and Peggy that it was incredible. I want ta talk just real frankly abaut this whole issue with our town attorney. First af all, she came in inexperien�ed. She did not -- Aaran Arnsan had at least a decade's worth of experience in municipal law; she had xero. She had zer�. In the time that she has been here, I feel like you're blaming the �ictim when we file lawsuits and apen meeting complaints be�ause �pen meeting iaws have I�een �ia�ated. Clearly, they have been �iolated. Now, are th�y �ery slow in getting the resalutions t� us? Yes. daes it take a long time far natices of claim ta turn into lawsuits? Yes. But the fact is that ther� is n❑ question that ultimately it will be determined that there had been open meeting law �iolations time after time. Civil rights were �iolated when we were -- the whole group was evicted from the town hall. The new rules of procedure are rife with uncanstitutianal pra�isians. And most recently, Jennifer Wright did, I think, the most egregious thing that I ha�e e�er seen a town attarney do. She sent a private �itizen a cease and desist letter for having ❑n her Facebaok page maybe a tenth of an ineh, a quarter af an inch. If yau look closely, you might see Brenda's supposedly infringing logo that is prote�ted politiCal speech. IVot only was it nat a �ialation of the Lanham Act, it was -- she's nat a �ampetitar. 5he wasn't a candidate. 5he wasn't offering anything for sale. And she was sent a cease and desist letter. She has a� absalute constitutional right to put canciidate signs up and that is not an infringement. 5a increase in apen meeting law �omplaints, increase in lawsuits. She was right in the Page 24 of 105 7C�xJN �F FQUIVTAiIV HiLiS lUiVE ].fi, 2�72fi CDUIVCIL MEET 4iliG middle, ri�ht in the middle ❑f the $9.25 million notice of claim that the developer had. 5he was accused pf getting invalved in secret meetings. And I�a�e ta loak as a lawyer. I looked at that and I thaught, what was she t�inking? 5he is inexperienced. 5F�� is very, �ery palitically aligned with the majority on this cauncil and the majority who are speafcing in fa�or. All you have to do is ga laok at her ?C page and more importantly, recently, and I think this is an abaminatifln. She ghvst-wrote a letter for our mayor that was sent ta the Maricopa County Baard af 5uper�isors that supported Justin Heap's battle against the Maricopa County B�ard of 5upervisors. And it's full of misinformation, and I dan't think any�ady on this council e�en knew that Mayor Friedel wrote that letter. Anybady knaw? This is another open meetir�g law vialatian, and it's going ta show up. And if you want tfl call that lawfare, I call it trying to enfarce aur rights and aur laws. Thank yau. MAYOR FRIEDE�.: Next speaker? Motion ta appro�e is drafted. EARLE: 5econd. MCMAH�N: What's the motion, please? UNIbENTIFIE❑ SPEAKER: A motian t❑ appro�e is drafted. MCMAH�N: We talked before that I was gaing to make mations, and I would like the opportunity ta make thase motions. UNIdENTIFIE� SPEAKER: You can ask him to amend the motian or you can ask him to remave the motion. MCMAHON: I think he's doing it ❑n purpose, which is a misuse. UNIDENTIFIE� SPEAKER: These are the Rabert's Rufes ❑f �rder, ma'am. MCMAH�N: We don't falfow Robert's Rules of �rder. We follow aur own rules af arder, the State and the State legislatures, anci Robert`s Rules comes like fourth or samething. UNIdEN71FIEb SPEAKER: It's in the parliamentary procedure. MCMAHON: It's e�en in yaur writing. UNI�ENTIFIED SPEAICER: It's also in the parliamentary -- Page 25 of 105 T�W�t rJF FC��lhITRIN HI� t5 �t,�lV� 16, ��Z6 COUlVCIL MEEiING MCMAHQN: It's e�en the dacuments that you sent to us. IJIViaEIVTIFIED SPEAKER: We ha�e to deal with the motion that`s on the table, but I think there's allowed for discussian. MCMAHON: Well, then, is it time for dis�ussion, Mayar? Thank you. I woufd fike the opportunity ta speak, please. Thank you �ery much. I w�uld like these items separated, but I sincerely doubt that Cnuncil Member Skillicarn will be graciaus enaugh to do that, e�en thaugh he talked some about the prosecutor and the judge. Because if they're together, then we're f�rced to v�te ane way or another. S❑ I can vote no far e�erybody if I disagree with an� person getting a raise, or we �an separate them. 5� are you willing t❑ amend yaut- nfl question stanGe? {indiscernible} MCMAHON: See, I knew you would da that f�ecause it's typical. I support the raises for the people that ha�e earned them. I dan't belie�e that the law firm, based on my experience and my interactions and the -- work product and what I'�e seen, I don't belie�e that the La Sota law firm deser�es an 11.5% raise or a raise period. I ha�en't seen the evidence. After mare than a year af service, I haven't seen sufficient pragress in knowledge af municipal law. 5he put on the agenda to take away your right to talk to the publi�, change the ethics rules. So now, instead ❑f filing ethics complaints against us and holding us ac�ountable, we're now seeing a plethara of lawsuits. That's the ❑nly way you �an hald us accauntable and that's costing the town literally thousands ❑f dollars. I just cannot support without going into more detail, in addition t❑ what Beth and Linda and a eouple ❑ther people ha�e said. I d�n't support a raise, and I don't think it's deserved. Aaran Arnson n��er asked for a raise and he wasn`t going to ask far a raise. So accordingly, my �ate, I want it ta reflect that I don't su�part her raise. MAYDR FRIEQEL: Time. SKILLICQRN: Thank you, Mr. Mayor. I do want to thank the Vice Mayor for putting together the re�iews. It is a step that, unfortunately, yau know, the, you know, pre�ious �ouncils ciidn't do. 5o really that inittative is really appreciated and is impartant. And Page 26 af T05 'f�VJ�'! OF FOUNTAfP! Fl�.i S 1UNF Ib, iL12fi COIJNCIL liiEEiIN� it's really gaad feedback for e�eryone invol�ed to -- you know, actually ha�e something to go to. N�w specificafly i'm going to talk about the prosecutor ancf the judge. And yau know, sadly, I get a �ot of inessages from my canstituents. And it really saunds like Fauntain Hills is developing this reputation af being really soft an crime. And realiy and what it really specifically comes t❑ is 1 get numerous, numeraus cQmplaints af�out vagrancy and �iolations of our urban eamping ordinanc�. And you know, we re�amped our urban Gamping ordinance a few years ago. And you know, I want to say that it -- I don't remernf�er if it passed unanimously, but t�ere was a second one that did not pass. It failed three, f�ur ar�d s�me af the peaple on this dais �oted for it and some an t}�e dais �oted against it. But the sad thing is, is that even the ane that's on the books is not being enfar�ed. You know, when I laok inta the recards of proceedings, I'm seeing that we have individuals with doiens and dozens of campEaints and serious compEaints, including assaulting a shertff's deputies, and they are not being enforced. And this is a serious concern. I mean, I've got residents that complain about this, and residents senci me messages abaut hameless people yelling and berating them. WeEl, if I was the att�rney ❑r the prosecutor and the judge, that is not a work praduct that I would be proud af. I get messages from my constituents of hameless people running around naked an public property. If I was the prosecutar orjudge, that wauld nat be a work product that I would be -- I wauld �e praud of. I get messages from canstituents with humar� fe�es on the street from homeless people. If I was the prose�utar and }udge, that is not a work product that I wauld be praud of. And if k cauld vote t❑ leave those, get rid raf thase people, I woulci, but this is all tied tagether. UNIbENTIFIED SPEAKER: Time. SKILLICORN: I`m sorry. 5a tell me I was ov�r time. MAYDR FRIEDEL: Vi�e Mayor. EARLE: Thank you, Mayor. I just wanted to set the record straight that when Aaron started with our town, it was 180,000 for that first year, not 234. 5a aft�r 11 months af Page 27 of 105 iOWN OF F�iJNTAIN HILL5 JIJNE Ifi, z�2fi COIINCIL MEETI�IG being with us, the cauncil voted ta increase his manthly pay $4,50�. That's more than double what we're asking for here. Alsa, I waufd liice to ask our town attorney about your municipa! experience. Chair, may I ask her that? MAY�R FRIEDEL: You may. WRIGHT: Yes. 5o I ha�e previously worked for the Rose Law Graup. I've wvrked for t�e Institute for justice, I've worked for the Goldwater Institute, al! af which specialize in municipal law and also in my elections law experience is municipally -- includes municipal law. MAY�R FRIEaEL: Th�nk you far that. Carrection. That was a mistake before. And then alsa, mayb� I'm not remembering this correctly, but I believe we dealt with the ethics camplaint when Aaran was here k�e�ause there was a complaint against Peggy and Brenda, and we undid same ❑thers and didn't away with the ethics complaints u�der Aaron? Thank yau. WATTS: Thank you, Mr. Mayor. I'11 try to keep it under tw❑ minutes. Yea�, I just think ance again, what we're a!I seeing here tonight is bad ga�ernment and bad pubfic pali�y k�eing set. We ha�e a number of empfoyees that we would gi�e raises to. ln this case, it's ane size fits all, There's four peaple. That's not just cost of li�ing raises. If they were, that would be a pretty easy decision. I'd say sure, give them al! cost of li�ing raises. Thaf would be na problem to me. 8ut I want to gi�e Rachael �er raise, I don't want to gi�e Jen her raise, and it's for a very simple reas�n. My eoncern is that the proposal ta raise the tawn attorney's comp�nsation is just toa soon. 5he hasn't e�en been with us �or a year. Unlike the pre�ious firm, that we had a cansistent six-year term and we had no raises. It was a six-year term, fiat-fee contract, and this ser�ed us very well. This firm has been, like I said, with under us far a year. This cauncik shauld be prudent and maintain the ❑riginal terms. T�ey filled ❑ut the RFP. They Inoked at the workload. They knew what they were getting into. And within a year, naw they're all af a sudden saying that we're not getting paid �nough money and they're going to get more than had we kept the original attarney. ihis part af this was Page Z8 of 1�5 1'C1WN DF �a111�TAiN H!L!5 J[1�FE 16, 2026 COUIVCIL MEETI�iG sold as cost savings, like Larry Meyer said. Well, within less than a year, there's no �ast savings. It's going t❑ #�e more exp�nsive. This council shvuld aim �or long-term stability and fair treatment, {7Ut �F115 15 CDO SQQI�. And lastly, in my 30 secands, I'd iike ta gi�e is I'�e recei�ed a number of cards, cammer�ts, emails and they say t�e same thing that Ms. ❑eGennaro said. Yau know, everything else in the contract pa�kage, there were reasons and justifications for why we're dr�ing what we're doing with the town attorney. It was just, let's just gi�e her mare m�ney. Let's gi�e the La Sota law firm more money. There was no justification. Let's just gi�e them more maney. I dan't know why we have to gi�e them more money. rhey applied for the job, they ha�e the job, tney're doing the job. I thinlc it's too early for a raise. Y�u know, we're talking about roads first and fixing the roads. Why don't we pinch pennies here and just say, you know, stick to your original contra�i terms. If it's unsat+sfactory, then -- you knaw, you can g❑ elsewhere and we'll put another RFP ❑ut. MAYOR FRIEDEL: Time, thank you. WATTS: Thank you, Mayor. Maybe I imagincd it, but we went through extensive re�iew, number of haurs analyzing the data that was relevant ta the town. Town attarney, the town prasecutar, the town manager, and th� town attarney. S❑ f don't -- maybe -- it wasn't in the same meeting. But the validation we looked at, we went through it and cleariy we didn't share envu�h of it with y�u, but that doesn't mean it isn't justified. And how we can apprave ❑ne significant raise for the t�wn manager that exceeds the 3.3% CPI and complain abnut a different rate for the town -- the tawr� attorney makes na sense t❑ me. You're talking out of both sides. Makes no sense whatsoe�er. Sa we go all ihe way back to the way back when we asked far quotes from a variety of legal firms. These -- wet'e some af the most �ost competiti�e rates that we started with, with a basis af the �ours that Pierce Coleman pro�ided that turned aut t❑ be erroneous. They weren't -- they were incomplete. They didn't keep good re�ords of what they were daing. Maybe they should have. 5o I fully -- initially I was against the raises. I'm t��w in Page 29 af 105 �OWN �7F FflUfVTAIN HlL15 IUfVE 1S, ZOtfi C�UMCI! MEE7tNG support ❑f the raises, because sometimes you ha�e to make it market justifications, market adjustments in order ta get the quality of work that yau want to get done. ihe ❑rder af magnitude that you want to get the wark done. 5o now I'm far it. And that's w�at my �ote is going to be. 51CILL!CORN: Thank you, Mr. Mayor. And Cour�cilmar� Watts made a g�od point about, yau know, maybe we didn't cammunicate with the public. But I do point out, because af Ariiana law, w� -- yau knaw, we're nat allowed ta ha�e discussions about emplayment matters in an apen meeting. They have t❑ be in executive sessian. And t}�is was discussed and th�se were de�ated. And t�is -- you know, spending more money, I mean, what we're, you know, pressing ni�kels together and trying ta sa�e e�erything we car�, that's something that we discussed. Ar�d unfortunately, the pubEi� is nat privy to that information, but that is not the fault of anyone at the ciais. �hat's, you know, it's typically employment -- mat'ters are pri�ate thing until we ha�e to �ote on them. And that's just why -- just the fa�t that it is, I don't think that there is anything to raise salaries or anything like that. It was just something had ta be discussed in executive session because of law. And I just want ta point that out, and I think that our employees and the people working for us present a �alue. And you know, frankly, I-- not only sl�ould this be a great place to work, but the peoplE should be fairly compensated. KALIVIANAKIS: Thank you, Mr. Mayor. Yeah. It's funny that we all of a sudden we found consensus tonight, and I'm just thrilled abaut that. And it seems like everyk�ady up here seems at least a cauple of the players ha�e said that we didn't do a good job, and we weren't transparent. And we w�uld have dane better t� communicate with the people in this town, the people that are paying the salaries, why this was warranted. And so there's a realiy simple, easy fix to this. Let's vote on three. Let's vote on the judge, the prosecutor, and the town manager, and let's bump the vote far the town attorney off to the first session in the fall. I mean, there's na harm done. We can put a new package tagether and we can tell you, the people, why? Why this is warranted and then you can decide. And then we can have another council, we can have anather Page 30 nf 105 TG1rVN �F F�UPSTA!Ai fi�LLS Jl}i�� 16; 202fi CQU�lClL M�ET�fVG session, we can have another Gall to the public. And we can determine was the salary for the town attorney warranted or not? And s❑ it seems t❑ me that since mar�y af the players here said that this was not done in transparency, you knvw, let's just fix it tanight and let's �ote on three. And then let's put the ather one off and fet's get -- let`s dig into it and get more information as ta why Chis is justified. MCMAHQIV: Sorry ta have to repeat myself, but some people apparently dan't hear what I said earlier. The first attorney, Aaron Arnsan, was here far 11 months when we raised him $4,5D� a month from 18D,000 to 234,000. 5o yes, there was a raise. And if any ❑f yau didn't hear that or want ta know the facts on that, aur CF� verified that for me �r yau can F�IA that to know that is the truth. He did get a raise and it was quite a significant raise. And our attorney will -- this attorney now wiil he here for a year in 15 days. 5o saying she hasn't been here a year, that's kind of i�aloney. And the raise will happen when she's here a year. MAY�R FRIEDEL: I thinEc everybady's ha� a chance to weigh in, s� I'm going to weigh in now, too. I don't think it's bad public pali�y or bad pr�cedure. I think we're sitting here today be�ause of what happened with the former attorney, and there's a couple of cauncil members ❑n this dais right now that drove him literally aut of this town. He resigned. He wasn't fired, and that's the result. We're dealing with that right now. And when the �FP was done far a new attorney, i don't think that it was included in that jflh description was 12S FOiA requests and dozens of lawsuits and natice of claim. That takes a lot of extra work, a lot of extra time, a lot of extra preparation. !'m also going ta repeat something that I saic! at the Mayor's Forum. This town is one of the most efficient towns in the East Valley. And you want to know why? It's beca�se we -- it`s because of the joint wark between �ur finance team, ❑ur tawn manager, and our town attorney. ❑ur town attorney now has unco�ered stuff an certain projects in this town and e�erybody sitting up here ❑n this dais knows wi�at I'm talking abaut. So to say she's not qualified and she hasn't done her job is a f�ig, big misnomer. And yau can shake yaur head all you want; it's the truth. S❑ I'm in favor of this. Page 31 of lU5 ?LiWill s�F FOlJ�1TAIf�i HiLLS SI�NF. 3fi, 2[1'26 CDUPlCIL MEE�lP�G There's a mation and a second on the table rigi�t naw. Can I get a roll call vote, please? BEN�ER: Mayor, can you confirm for me who was the second? MAYDR FRIEDEL; Vi�e Mayor. BENpER: Vice Mayor. 7hank y�u. Council Member McMahon. MCMAHON: I vote for Rachael's. I �ote for the prosecutor's and the judge's and I dan't vote for the tawn attarr�ey's; since they're bunched t�get�er, I have to say yes. BENDER: Council Member Watts. WATTS: Aye. BENQEft: Council Member 5killicarn. SKILLICORN: Yes. BENDER: Council Member Kali�ianakis. KALIViANAKiS: Nay. BENaER: Council Memk�er Larrabee. LAR�A6EE: Aye. BENQER: Vi�e Mayor Earle. EARLE: Aye. BENQER: And Mayor Friedel. MAYQR FRIEDEL: Aye. MCMAHON: I'm going t❑ change my �ote t❑ nay. Than€c you. �ENDER: Mayor, five two. MAYQR FRIEbE�: Thank you. Vice Mayor, will you turn your mic aff? Thank ygu. �eggy, will you turn your mic off? Peggy, turn your mi� off. MCMAHQN: Thank you. MAYDR FRIEQEL: �hank you. ❑kay. We'll mo�e ❑n ta item number B, consideratian and possible a�tion regarding the propased energy sa�ings capital project for parking shade structure and solar panels far Town Hall campus. Rachael? GDODWIN: Mayflr, thank you. This is a-- this is an unusual item tonight, but this iiem is Page 3Z af 1U5 1�WI11 OF F[)i.1�i7���J HiLL� JLIivE tF, ��26 ��UN�I� PA� FTlI�G �rought be�ause staff ha�e been e�aluating options to reduce lan�-term utility casts for town faciEities and ta pro�ide greater predictabifity as energy �osts contir�ue tfl increase. T�e propased project would instali salar co�ered parking structures on the civie cam{�us, and is structured thraug� a guaranteed energy sa�ings agreement. Tonight's presentation will f�Gus ❑n the project scope, the financial structure, the guaranteed savings camponent, and the a�ailable federaf rebate opportunity. Because the rebate opportunity is time sensiti�e, staff is bringing this item forward now so that cauncil can determine whether if it wishes to authori�e the project and preser�e the town's eligibility f�r that savings. I sent out s�rt of a pre�iew of that late last week. Representatives from Veregy, including Alyce Neal and Qee 5mith, are here this evening ta present the praposal, answer council questions, and we also ha�e staff a�ailable to pro�ide additional information as needed. With that, I'm going t❑ ask Alyce to take it away. NEAL: Thank you, Manager Gaodwin. And good evening, Mr. Mayar and courrcil members. I'm Alyce Neal, and ❑n behalf of Veregy, we're �ery happy tv be here tonight to present this praject to you. SMITH: Yes, Mr. Mayar, cauncil memhers, my name is ❑ee 5mith. We're also joined with our de�eloper, Rob Coy, for tonight. Ar�d yeah, we just thank you �ery much for being here. We alsa just wanted tQ say haw mu�h of a pleasure it was to work with Town Manager Goadwin, your CFO. We worEc with facilities, parl�s, and your maintenance team, and we just really appreciate the apportunity to get us here this e�ening to present this. 5o with that, thi� evening, we are coming to yau as current partners to the town of Fountain Hills seeking approval far the tawn's dual purpose salar �arport projeGt la�ated here at Town Hill and the community center. This praject would save the town $5.2 millian aver the next 35 years. It pro�ides 128 covered parking spots in the parking lat, and it alsa affsets 54 perc�nt of the tawn utilities. 5a I kn�w we've als❑ had some council members bring up they're looking for long-term loudget staloilizatian and this project here affers the ability to do just that. Page 33 of 1U5 TOWIV OF FDU�VTAIN HILLS JUI�E 15, 202f CDUNCIL MEETING KALIVIANAKIS: Can you repeat that figure? I'm svrry, I didn't hear the last one you said. SMIThi: 5.2 million, 128 parking spots, �4 percent utility offset. KALIViANAKIS: Thank you. SMITH: And yes, as Manager Goodwin said here tonight, your appro�al is necessary to meet �riti�al timelines for the town to receive a 40 percent direct pay rebate, which wauld equal just over $956,OQ0 to the praject. 5o we'If talk a little btt abaut the problem, why this project warks for you folks, why Veregy, and then why now? As we all are aware, rising utility costs are a problem around the state, around the nation. The town af Fountain Hills currently spends about $193,Ofl0 annually on your utility spends, and the �hart that you're seeing here is just a conser�ative 4.5% escalation rate. 5o by the year 2040, high possibility you guys can pay over $370,��� in utilities. NEAL: Thank yau. And thanks far that. Ad�itionaily, this proje�t is fundamentally a hudget and infrastructure item, not just solar. I just want ta make that �ery �lear. It also reduces and stabi�izes your ��st, impra�es your budget predictab�lity, and it also le�erages the federa! tax investment incentives that are currently available to yau. As Dee mentioned, it daes provide co�ered parking for Fountain Hills residents, your visitors at the tawn hall, also at the community center, and at the puhli� lihrary. And so your action here tonight is really about advancing a project that lowers operating costs while current -- while maximizing the current a�ailable federal incentives. So the path ta savings and where we've been. So as aee mentiane�, we �id meet with Manager Goodwin and your CFD and other indi�iduals. We started a preliminary energy audit k�ack in February. FrQm there, we moved int❑ an investment grade audit. And here we're now asking far your appro�al far the contract to mave forward inta the design. If we do get appro�al tonight, the project ma�es inta design immediately and we cantinue that throu�h April af ZQZ7. We will start canstru�tion in Aprii af 2�27, and then we should be complete by August af 2027. The projeet will continue to 4�ring sa�ings to t�e town over the caurse af 35 years, and that wiH k�e guaranteed savings to the town. A littie �it about the praject, aee mentior�ed a couple of highli�ht -- highlighted points. Page 34 of �U5 TL�WH L'F F[}UNTAIIti HI� L5 lUNE 16, 2U2t� CUUNCIL [VIt�Ti�IG Just want to also make sure that yau a!! understand that we ha�e designed this project. We have nat overdesigned ❑r under-designed based on the town's data that we re�ei�ed fram yaur utility. We`re also taking into consideration two inter�annecCion paints. We'�e also taken into consideration A�A requirements. b�erall, it's a 597 kilowatt proj�ct. Again, tying into the town hall and inta the community �enter, we ha�e 128 co�ered paricing spaces, 64 p�r�ent energy ❑ffset, and y�u're gaing ta re�eive $956,�00. That is fram the ciirect incenti�e from the IRA. And that is tax law and s❑ it's currently in effect right now, 4�ut it is going ta expire. And we'll talk a little foit more about that in just a few minutes. We also menti�ned that this is a lifetime savings of $5,263,296. And this is just a larger ❑�er�iew of the -- and as you �an see, it's a tremendous amount �f ca�ered parking. It is an a 1� degree tilt, s❑ it should avoid any glare should that be a prablem. Yes. Yes, Councilmember? MCMAHOlV: I just have a question since the siide is up and it shows the parking structu�'e, but there's a partion in the bottam right hand corner that isn't going t❑ be co�ered. Is there a reason for that, please? NEAL: Yes. Councilmember McMahon, is that you're talking about over to the right where the library -- ah, the A�A. Yes, yes. So the reason that we are avoiding t}�at area it's just -- it's very -- nat �ery cost eff�cti�e to design. You'd ha�e to really wrap thE steel. Also, the tw❑ points of interconnection are at different sides, but we ha�e taken into accaunt far the ApA parking that is required. 5o yau will be -- that will be campliant. MCMAHON: Thank you. NEAL: You're welcome. �ARLE: Can I ask samething f�ecause we're loaking at thase right now like she did? The first time I saw this photo ! cfidn't see that many parking spaces, but I was ta4d unless I need t❑ be carre�ted here in the campus parking is 349 spa�es, but you're taliting about 128. So what am I missing here? 5o that would ha�e been 221 that are not -- that are unca�ered, 4�ut what are we not co�ering? Page 35 ot 1U5 rraw�v oF �c�uuT��N �i�zs lUNE �6, 202fiC�iliV�iL N3EEikNG SMITH: Yau have your -- yeah. Your ather side that gaes down towards the library and Dark S€cies 6uilding. And then also to the north there, where the palice �ehicles park. There's no covered parking. EARLE: 5o that's part vf what the campus was before. Okay. Is there any plan to eventually cover e�erywhere? If that's not a questian to you? fVEAL: No. ThanEc you, Cauncilmember. Right now, the answer is no. Part of t�e reason is beca�se we are sizing this to your energy capacity. 5o we want to make sure that it's n�t oversize or undersized. So right now, your current energy capacity is warranting this design. MAY�R FRIEDEL: Keep gaing. SMITH: 5o if you guys da nothing, dan't pass t�is, yaur utility expenditure will stay th� same. Your maney is going t❑ go ta the utility campany. Partnering with Veregy and this partnership here, you guys will see the utility usage drop and again the 65 per�ent energy offset by instaliing the solar. The tatal project �ast for this praject is $2,390,9Q0, with a rebate af $955,384. 5tarting in year ane, Veregy is guaranteeing a minimum savings af $81,989. That wil! grow as utilities continue to grow. But that's our first guaranteed year, a�O�ut $2,000, as Alyce said, o�er the 35 year lifetime expectancy af this solution, you guys should see $5,263,295 saved with an R�l of 1S years an the capital investment there. IVEAL: 5o again, also, we just want ta be Cransparent about the R�I. This is the �apital investment forthis. We understand that there are additional life-term costs associated. That w�uld lae some af the maintenance and also -- yeah, additional cost. Sa that could loring the ROI to about 17 years, but the capital in�estment, what w�`re bringing tonight, is 15 years. SMITH: Okay. 5a why parCner with Veregy? Like I said, we are a local ta Arizona here. We were founded in Arizona. We are the largest energy services company in Arizona, and we d❑ 9� percent ❑f our wor�C in-house, that's what ma�es us different than our competitors in this world, is we are ❑ne point of eontact to yau and a11 the praise, if there's anything negative, there's flrre pflint of contact to the town. Page 35 of 105 � OWN :lf �OL'tJ7Aihl FIiLiS JUN� Z5, �fl26 CDlJNC41, ME�TlNG We are �urrent -- like I said, current partners with the town of �a�ntain Hills. Yau guys ha�e beautiful gold medal winning parks. We have been able to partner an the relights far those installing th�e MUSCO at your Gofden Eagle Park, at the Desert Vista s�tate park and Mini-Pitch. We also currently hold a ser�ice agreement through our workmanship. Your facilities team thought we did a good en�ugh jab t�at we signed a service agreement as current partners, anci we're also great �ommunity partners as well. In ZD22, we co-sponsored the Parks and Rec trade show sacial e�ent at your �esert Vista Park with Musco. NEAL: Thank you. We're also working for ather municipalities across the state and actually across the country. We really like 6ringing this type af project, this cost savings, to help you become stewards ❑f your taxpayers' dollars. We've worked with the smalGer municipalities since the �eginning af aur company 35 years ago. We alsa ha�e some af the bigg�r on�s. We're warking with City �f phaenix, pima County. 6ut as you can see, we are working with City of Coolidge, City of Efoy. And we're also warking with the Arizpna ❑epartmer�t af Emergency Affairs a�ross all of their projects across the state. �kay. Sa there was a questi�n about what is performance-hased contracting. And I know most of yau prahahiy ha�e heard the term design build, design, bid, build. This is design build. 7he difference is there are no change orders and there will be no engineer. There's all the engineering is up frant. Yes, there's no �alue engineering in this proje�t. It is baGked hy Arizana Re�ised Statutes, Title 34, 3G-455. And agafn, it's design build. The great thing about it is that there is a savings component and that savings is guaranteed by Veregy. Shauld we not produce th� energy that we say in the contract, then we a�tually ha�e ta write you a check for whate�er that difference is. And so why now? And so as you all know, there is an in�estment tax �redit that's gaing to expire on July 4th, 2Q26. And sa time is of the esser�ce to get the contract signed. And this is tax law. It's federal law. If we d❑ not�ing, you're still paying the money bac� to your utility. If you take ad�antage of this praject and yo� take ad�antage af the tax credit, yau get almast $1 million bac€c t❑ help fund the project. Page 37 af lU5 raw�v or F�ilNTAl�d HIi.LS lllNE lb. 2U�b CQLiNCl� MEETIfJG There are a�ouple of things that really make this tax investment, I think, good for the �ountry. Some af that is the fiat compliancy and the domestic cantent. 5a we will be required to make sure that all af the materiaEs and that it's manufactured in the Llnited States for this project. MAY�R FRIEQEL: We ha�e some questions now, sa we'li cue it up. S�CILLICURN: Thank you, Mr. Mayor. I hear that the lifetime is supposed to �Oe 35 years. What's the warranty? SMITH: 30 years. Mr. Mayor, Caun�ilmember Skillicorn, we had a 3D-year warranty on the -- salar panels, the produ�tion far the solar panels. SKILLICDRN: And Mr. Mayor, what about the electroni�s? Like if there's a lightning strike and one of the VFps pflps? What's the warranty for what's inside the ele�trical panel? 5MfTFl: We da a tw�-year workmanship warranty that would co�er. As far as the anything else coverage, Rob, inverters -- �ouncii members, we're going t❑ bring up our developer, Roh Coy, far this here. CaY: Thank yau, Mr. Mayor, Mr. Couneiiman. Yeah, something like a lightning strike would be an act of god. No warranty would caver that just to be quite frank. SKI�LICQRN: And Mr. Mayor, what is our current cost per kilawatt for electriciiy? CDY: $4 per -- well, $4 per watt is what the cost �f the salar is. Yaur current cost per kilowatt is around $0.11. SKILLIC�RN: Yeah, that's -- a pretty big difference there. S❑ Mr. Mayar, just daing a little bit of math here. I don't knaw if the CF❑ sti11 -- here's Cf�. If you wauldn't mind shout what he gets a return on in�estment far funds? SOLDINGER: Mayor, Councilmember, what was the �uestion? SKILLIC�RN: Far funds that you're not using, what kind ❑f ret�rn on in�estment do you get on an annual basis? SO�DINGER: Yes. Mayor, Councilmemk�er 5killicorn, right now we're blended about 3.8 to � percent if you were using that as a discaunt rate. SKILLICORN: If you don't mind, I'll use four. Page 38 of 105 iC}WN �F FOJI�TklPr HiLlS Jlf1VE lfi, 2pi5 CQ!lNCIL IVI�EI iM1i� SOLDINGER: And while I'm up here, ICe�in says I lo�e the mi�. I do want ta �larify ane ihing. The -- num�per that they presented in the f�eginning, the 193,ODD, that's just far the town hall campus, the community center, town hall, and the iibrary, around 200,QD0. That`s -- that amaunt. We actually pay about $4$�,�QD as a tvwn in tvtal far electricity at this paint. So that was just one clarification I wanted to make ta make sure that was clear. SKILLICORN: Mr. Mayor, what was that? And -- P�ul, was it 484,pQQ a year? 50L�INGER: Yes. Fiscal year'2S we spent 481,000. SKILLICORN: Thank you sa much, Mr. Mayar. When f see there is one ❑f the praje�tions ❑f sa�e $81,�CiD a year for the first year, when I look at this total ❑utlay of 2.3, 9D and -- and $900 you know, a4most $2.4 million, just quiCkly looking at four percent return, 15 years, that's $4.3 million. And you know, that is more than we spend an electricity a�er those years, and it's more than the potential sa�ings. If we just in�ested this money, we'd he better aff. I mean, this is more expensive than the electricity. The electricity is sa inexpensi�e that this isn't efficient far the town. !t doesn't make sense, the math doesn't add up. And frankly, in 15 years, if we go -- well, 3� years, you know, it's going ta -- t�Es is going to be triple that. I don't see the �alue ta this. So we're going to spend mare money -- now if you want to spend more maney on co�er�d parking that they ha�e that discussion, right? But if we're gaing to have -- we're going to have co�ered parking, why don't we have co�ered parking on A�enue ❑f Fountains sa that retail shappers can use it? I just don't see the math here. I mean, when we -- when yau look at what it wauld cost t❑ da with the opportunity cost, it's gaing ta cast significantly more than the cast of electricity. MAYDR FRIEDEL: When I look at this, i see -- this, I see cavered parking, almost $1 million rebate. The millian dollars to me co�ers the safar panels, and we still have covered paricing that will last far l dan't knaw, 50 years, 75 years. If you lo�k at APS right now, they're looking far a 1fi percent increase. If you loak at Epcor, 17 percent in�rease. Their 4.5% that they're building in I think is really law. I don't see these -- these rates staying that low. There's a big -- there's a big vacuum right now sucking up Page 39 af 105 TDWN OF F�U^JTAlN Filli..S JUiVE lfi, ��26 CrJUNCIL ME�TING energy. Y�u'�e gat data centers working all o�er. You`�e got -- we'�e been talking with CAP and the water t�p at Lake Pawell. That energy is going to be missing as well because there's no water to produc� it. 5fl I think these are �ery �onser�ati�e estimates. I see this as 2.3, $2.4 million, $1 mill�on rebate back. Thase are the real numbers that I look at. And then we've got covered parking that people can still use and still go to the art fairs. Sa that's how I look at it. So I understand your numbers, but I think if we're being realistic ahout the r�umbers, we have to look at what the percentages really are gaing ta be. Ar�d I know that they built in 4.5%fl. Is that what your guarantee is based on? SMITH: Yes, it is. MAYOR FRIEDEL: YeS. 5MITH: And SRP in the last four years has averaged 5.15% increase if yau take just the last faur years alone. Yeah, it's going up. MAY�R FRIE�EL: Anyway, I'll fet somebody else -- MCMAHON: Thank you. Thank you �ery much for your presentation. I do belie�e it's g�ing to save us a lot of money. I think it's necessary, especially given what's caming up with the increases in costs for energy, et cetera. But I d❑ have a questian if ynu don't mind. Maybe you can help me understand this better. Under the long-term operational cansiderations, it`s 4,OD� -- about $4,50fl a year. So what you guys d❑ is yau ga in and �heck each of the solar -- the salar paneis to make sure that they're praducing what ya�'re saying that they`re going to produce, the savings, et cetera. if the maintenance is -- if there's maintenance or anything required ❑n them, da yau perform th� maintenance? Does samebody else? I mean, how daes that wark? Or ts this just a contract ta come back in and make sure that they're producing what yau promised ti�ey praduce? COY: Okay. I'll tak� that one. Mr. Mayor, Councilmember. Sa we do include a twa-year �&M agreement with this. 5o for the two years after permission ta aperate, we would ser�ice that annually, do thorough inspectians, tharaugh calculations ❑n it, make sure e�erything's still torqued. Vlle also pro�ide NVH measurement and �erification Page 40 of 105 Towni �� fau^rr,v��v H���s JUNE i6, 2a25 CaLiNCIL MEf7iA!G throughoufi the term af the contract, which would be 15 years is what we're guaranteeing the term far. So with that, we put Lig�tLe�el ❑n it. It's a reai tim� energy monitoring saftware, sa it gives alerts if anything were t❑ happen. We monitor that daily. We ha�e a team that monitars that throughout the United States. WATTS: �Intiis�ernihlej and I am used to it. My questions are more technical, but I'm gging ta start with ❑ne. You menti�ned IRA. Is it 1R5 that we're getting the tax refund fram, not I RA? NEAL: I'm sarry, yes. WATTS: Okay. NEAL: My mistake. Yes, Inflatian Reduction Act. WATiS: Right, that's different. NEAL: Yes. �rom the IRS, sir. WATTS: Okay. NEAL• Ves, �ouncilmember. VIJATTS: And we pay haw much in taxes a year, roughly? Where's Paul? SOL�INGER: 5o Mayor, Councilmember. This particular rebate from th� f�deral go�ernment, it da�sn't require you tfl pay federal income t�xes ar anything like that. 50 e�en thaugh the town is -- WATTS: It was a IoaciEd question -- SOLDINGER: Yes, yes. WATT5: -- hecause we don't pay taxes, right? SOLpINGER: That's wher� I was going. WATTS: Okay. S� I want to make sure the requirement was that we -- it wasn't a r�quirement that we had to pay taxes because municipalities cion't pay taxes. SOLDINGER: Exactly. WATT5: And the IR5 is really where we get the money. Is the reason that -- you're free to go. S�LQINGER: ❑kay. WATTS: Thanks. Page 41 of 105 T�WPi flf F(1'JNTAIAI HILL5 JUlVF 15, 2�2o Ci7UNCIL MEETlNG SKILLICORN: Don't go far. WATTS: Yeah, don't go far. Yeah. Is th� reason yvu picked 64 per�ent as your design limits? 8ecause we dfln't have a pragram with SRP, mu�h like residentia� does for a buyback? C�Y: Yes. Yeah. So the buyback with 5RP is oniy z.7 cents when you sell back to SRP. 5o it's peanuts �ompared to AP5 where AP5 we could size it a little bit bigger and you get a ane-for-or�e credit. We're also sizing it k�ased off the utility usage. We knaw there's a LEa proje�t c�ming here that you guys are looking at new air handlers ❑ver at the community center. 5o we take all that into a��ount he�ause we don't want to just build the biggest system that supparts what it is naw, when you ga do some more et�ergy conser�ation measures, and then it's aversize and then it becomes a diminished return on investment. WATTS: 6ut yau ha�e the same thing in the panels, the panel you said 15 years on your guarantee on the panel, but performan�e far the panel starts falling aff year twa and cantinues ta degrade at ❑ne, two, or three per�ent per year unti! end ❑f life? C�Y: 0.55%a on th�s� panels. WATTS: And ti�ey ha�e a 25-year life, or they ha�e a 3�-year life? C�Y: They have a 25-year producti�n warranty nn tF�em. WA775: 7hat tfl 8� percent, is that where yau're going to get ta the -- at 25 years? 8a p�rcent capa�ity? C�Y: Right. Yes, sir. WATTS: 7he selection �f the angie of the panels that I guess is what you've calculated a maximi2e -- I'm not as caneerned about reflection as ! am about maximi2ing effieiency af the panels; is that carrect as well? CDY: Yes. Carrect. WATTS: Okay. And is there a reason we're using covered park�ng instead of a much cast -- costlier praduct, putting it ❑n raaftops with flats? C�Y: TyptGally most peapfe are liking the solar panels for the �ommunity and everything else. A lat of times wher� we're puttir�g on the raof, that could also void roof warranties, Page 42 of 105 TdWti c�F r'��J!VTAlP: HlF.f.S liJN� 1�, 2026 iDLI�lCIL N1EETlhlv so -- WATTS: We don't have a problem with that �ecause it leaks like a sie�e. CDY: Yeah. WATTS: 5orry, Ke�in. C�Y: 5o that is a reason a lot af cammercial and munieipalities like ta a�oid anything ❑n their rooftops. 1NATT5: Okay. Is the system expandable shauld we want ta add more pane�s at some time? CDY: Yes, �i]SnIU�2I]I. WATTS: Okay. The in�erters are the panels, and we can always put more panels up. 6ut as long as you -- COY: Yeah, more panels, but you'd ha�e to accompany it with another in�erter, depending on t�e number of panels. WATTS: Got you. I think that does it for me. Thank you. COY: O kay. EARLE: Thank yau. Mayor. As Ri�k's the technical guy, I'm the numbers gaG. 5a I have some questions whi�h Paul is aware of be�ause I�id share these with him be�arehand, so no surprises here. Except yau said samething f�efore that I ciidn't ha�e in here. Yau said we only spent about $��4,�flfl ❑n electri�ity for the town hall area, 4a� and samething but that`s throughout the community. So we're just talking about savings on the 2��,00a; is that -- did I not understand that? C�Y: tlndiscernible] Yes. 5❑ Mayar, Vice Mayar. Yeah, that's the idea, is the -- proppsed prafe�t considered the town hall �ampus and the best use and the best project for the town hall campus. S❑ the sa�ings w�uld be experienced tawn wide, but really, it would impact those meters. 5o I did include a breakdown of expenditures in yaur packet. 5o I ha�en't really thought thra�gh this -- EARLE: ❑kay. 50LplNGER: -- kind of an the sp�t, but that w�uld impact the meters in questian, which would be the town hall, cammunity center meter, and the library museum building you Page 43 of 1U5 TC3WN L�F Ff]tJNTAIA! H!L�5 JUhiE 15, 202.b ��L1NCiL tL1E�TING wauld see a reductian. Actually, ❑ne goad example that I'm somewhat familiar with is the Golden EagEe Park, and Dee had mentioned that they heEped us retrofit new LE� lighting at that park. You kind of -- E mean, when I loak at the numbers, I kind af see that there's a carrelation because our exp�nditures reduced frvm tn fiscal year'23 at Galden Eag�e Park from 30,60� to abvut 22,S�Q the next year, even though that year our averall town electri�ity went up quite a bit from abaut 415,000 to 475,OOD. 5a there is same evidence that same of the energy efficiency measures that Veregy has helped us with have helped the town fram a cast perspecti�e, EAfiLE: Okay. So fallowing up with what I shared with you earlier, I'd like to ga ❑ver those numk�ers. The praject contract is 2,390,900? SQLdfNGER: Yes. EARLE: The guaranteed electric savings for 15 years, but then I heard today, maybe 17 years was 1,604,173, correct? 50LQ1NGER: YeS. EARLE: S❑ that lea�es us at a net cost or energy savings aver the 15 years minus the -- never mind, forget that one. The ather thing that's not calcu�ated in here is going to be the insurance, �eCause we're going t� be doing an increased insurance. And ❑�er the period of 15 years, that adds $57,50�? 5�LDINGER: Yeah, approximately. Yes. EARLE: Okay. And then the measures and verificatian is on � sliding scale. Et starts out at 4,a�� -- almost 4,50D. But by year 15 it's 7,Z7.�., carrect? 5o that's a tatal �f 86,49D t�rat we will be paying tfl Veregy ta �erify their own guarant��d sa�ings. That seems like a conflict ❑f interest to me. Then the panel �leaning that's ir�cluded in the first two years, but year 3 t❑ 15 when we talked, that's a$14,�a�-per-year cieaning. That's 182,�ti� -- �182,4��. Then the rebate application. ! didn't ha�e that in there before, but we talked. We're talking a�out spending $7.2,ODa to get help with that rebate application. 5❑ w� add $12,��0 ta that. So then if we add afl that -- that's extra expenses. Sa if we d❑ not get the rebate, which is not guaranteed, nobady's telling us here that's guaranteed. 5❑ if we d❑ not get the guaranteed, ar we do not get the rebate Page 44 of 1fl5 �ra�rrN oF FouNr���v �i��; ���N� z�, 20�6 CtiLl;�CiL �AEF�!#VC in 15 years, it will cost us 1,134,717, even though we saved on it in electricity. If we da get the rebate af 955,360, we are out a cost of 178,357. 5o there's really nn savings n�er the 1.5 years. Maybe it's 17 years. 5o then that's the -- what d� yvu call it? The rate of return rate of -- right? S�LQINGER: R01, yes. EARE.E: Return of investment. S�L�INGER: Uh-huh. EARLE: 5o we're looking at not saving anything for 1�5 to 17 years. Sa then my ❑ther question is g�ing to he we're going t❑ borraw this money, right? Or do we ha�e the 2�2,fl�a,390? �❑ we have it? Are we ��ing ta borrow it? And then there's going to be expense an the borrowing it. 5a this doesn't seem -- numbers wise, doesn't work for rne. did I say anything wrong there? 50LDINGER: Mayar, Vice Mayor, yau're pretty an point with your numbers. We did discuss them. I would like to add a couple cfarifications. Like, far example, the measurement �erification fee, that is electi�e. We could choose if we are achieving the sa�ings e�ery year and they -- th�y d❑ do that measurement. We want to da that measurement at least for a few years to make sure we're exceeding what th�y projected. That is samething we could d�cide to remove, s� that's just a �aveat to that. As far as borrowing money, we ha�e the sufficient funding in ❑ur capital. That was ane af the options that was initially discussed as a pQtential, but that wouEd actually reduce t�e rebate ability. Like the rebate would go down if we were to choflse that aption. So because we have sufficient funding ir� the Capital Projects Fund, this proposed praje�t would use t�e Capital Projects existing fund balance and budget. 8ut far the mast part, yes. W�at yau state is correct; the numbers we went over, they are correct. 5❑ the whole id�a I know from Veregy's perspective is that on�e that point hits where we hit that ROI in 15 to 17, maybe it's 18 years. That's wh�n the town will benefit -- EAR�E: But if. Page 45 of 105 Tz]WN t7F FGUNTAliV Hli.LS 7[1�lE 2G� 20Zn COUNCii ME�TIiVG SOLQINGER: --financially. EARLE: If we apt out of the M and V or you knaw, the �erification, then they won't guarantee us. SOLDINGER: You're right. Absolutely. EAR�E: 5o then we wauldn't get the check far if we didn't actualfy get the sa�ings, 6ut we still will ha�e expenses, the insurance, the �leaning, whate�er. InsuranGe, �leaning, other items ❑n that -- ❑n that after the year 7.5, 16, 17, what we're talking ahout, it keeps growing be�ause when I first heard abaut it, it was an eight year thing. 5o my -- thoughts are going cfown on this. So when we, if we ha�e a warranty on it. 5o you say it loses efficien�y aver each year. 5o there's a warranty. Is it 144 per�ent replacement or is there gaing to be a big deductible? Is there a warranty on the cavered parEcing as wel�, the steel co�ered parking? SOLDINGER: Dn the structure? EARLE: The structure. Thank yau. SDLDINGER: Tf�at would be a twa-year warranty for the warkmanship warranty. EARLE: �kay. 5o we laok like we could have expense there. 5a again, �an you tell me if we ha�e a warranty up to you said 25 years? Someone else said 30 years, but now it's actualiy 25 years. S❑ is that a 1�� percent ar da we have a deductible? Is it prorat�d? Is the warranty maybe only 5� percent at ZO years? S�LDINGER: It's warranty on the pradu�tion of it -- flf the modules. EARLE: �kay. Explain that to me. 5o it will cost us money? You produ�e it, but we would still, if we had a prablem with the panel, it would still -- we wauld have an out�ay of more money than? It's what -- it's �ut of my -- what am I understanding? 50L�INGER: Yes. After the initial warranty period, the panels itself ha�e a 12-year warranty panel like warranty that c�vers 10� percent. If something was defe�tive ❑r a panel failed, they would replace that. We wauld replace that far the 12 years that that warranty is in. EARLE: 5a we're only at 12 years with the warranty? Page 46 vf 105 3UWN QF FOUNiAiN F31LL5 lUiVE 1fi, ��26COL1NCI�NfEErING S�LDINGER: Yeah, with the actual product warranty. �ARLE: What's between 12 and 2S years, then? Just the praduction, but we still pay -- S�LDINGER: Just the productian. EARL.E: So what does the panel cost from year 12 to 25? 50L�iNGER: What's that? I'm sorry. EARLE: What wauld the panel cost after the 12 years, then? I'm sorry if it's a trick questian, but it's probably not cheap. S�L�fNGER: Yeah, no. I mean, a panel is probably 4 ta 500 bucks and that's all it -- so. EARLE: If they're only -- and you're charging us 2,000,390, if they're only 4 to 5�D? 50L�INGER: You ha�e --the -- EARLE: The numbers. I'm now -- naw I'm like spinning her� with these numi�ers. 50LDINGER: You have the construction, you ha�e the steel, you have alf the underground, the wiring, the electric runs, the meters, the new tie ins t❑ the SESs. There's a lot more to it than just the panels. EARL�: 5ure. {]k�y. Okay. But we would pay -- you say production. We'd pay for the panel. We'd pay for the labor t❑ install ❑ne after the 1Z years? SOLdINGER: Carrect. EARLE: S❑ it's nat really a warranty �overage for the 25 years, 1�0 percent? Thank you. KALIViANAKIS: Thank yau, Mr. Mayor. Yeah. Thank you far your presentation. Very impressi�e. I know Veregy works with a!ot af larger muni�ipalities, a lot of largerjabs, and this is a pretty small jab for you, but I think it's going to bring a lat af benefit to Fountain Hills. My questian, the first ane would be to the town manager, which was on the li€ce -- since the caunt -- sin�e the staff is recommending this, did you calculate th� likelihaod of getting the rebate and yaur recammendation for this praject? 5ure. G��bWIN: Okay. Thank you for the question. So ta be fair, the -- they showed a timeline of �ow long we'�e been warking on this, and we have pulled a lot of staff and resaur�es toget�rer to see if this is really the right fit far us. It went through quite a dogged re�iew multiple times to -- e�e� through iegal to make sure that we had a sound footirrg to bring this farward tanight if it made sense. Page 47 of 1�5 rraw� oF FouNra��v r�i��s lu�� ��� ?U2"v COUNCIL MEEiII'lt; Part af that was the rebate be�ause ❑f course, yau knaw, that is really the dri�ing piece of tonight's con�ersation, is that 4� percent rebate. We knew that there was -- that there were qualifications. We wanted to ensure that Paul reaily spearheaded that research and wvrked with bat}� Dee and Aiyce to get �erifications, all of the �er-ifications we needed through the manufacturers, as well as worked with an outside cansultant to review the language and to ensure that we were reading it, interpretin� it, anti applying it corre�tly. So while there is no guarantee, I want ta -- I want ta make that very elear. 7here is no guarantee that the rebate will apply. We are about as confident as possible until we actually apply for it because it is federal. It does ha�e -- you know, it does have some language, but we have done e�ery piece of due diligence that we can short of actually submitting �or it, to confirm that we are eligible far it. SKILLIC�RN: Can I asEc you a question on that? GO��WIN: ❑f course. SKILUC�RN: Excuse me. N❑ rebate, na proje�t, is that -- safe ta say? G��QWIIV: I'd say I would think that that's -- really the key factor in this. MAY�R FRIEDEL: Yeah. GOD�WIN: But I would refer to both dean Elise and Veregy as to the guidance there. That --`s really what's the key -- you know, the key supp�rter for us. MAY�R FRIEbEL: That's a big dri�er. GD�QWIN: Uh-huh. 50 -- can you answer that? UNIDEN7IFIED SPEAKER: Yes. Thank yau, Mr. Mayar and Councilmembers. Yes. So the in�estment tax credit that we are going to help you achieve is federal law. Veregy has been working with multiple municipafities and schaol districts across the cauntry, all af wham have been receiving this. It's just a matter -- it's a tax form. As lang as we're campliant and we ha�e e�erything that we need, which we've been follawing the gui�ance of tax ad�isars and the consultants that you ail have heen talking with, it's just a matter of three pages that you fill ❑ut. Page A$ of 105 iOWN DF FGLitiTAl�1 HiLL5 JUi'�EE �G, 2UZ6 COLINCf� 11r1cETII1IG �ike I saicl, we are seeing our �lients. We've gat testimanials that they are rec�i�ing that tax credit back. It is federal law right now. 6ut it is going to sunset July 4th, and that's why we're here tonight. I also -- yeah, just to remind you that regardless, you're still paying SRP. Na matter what ,whether yau invest in this project ar nflt, you're still taking that bucket of money t❑ SRP. 5a thank you. GOO�WlN: Mayar, if I can confirm something Cao. And I want ta dauble check. My understanding is that we don't hecome eligible far tnat rebate until the project is �ampleted. 5o t4 say, you know, na rebate, no -- it's kind ❑f the ather way around. We ha�e to complete the prflject in ❑rder t� submit far that rebate. KALIVIANAKIS: �kay. Thank you, Mr. Mayor. And so to deflect my question that went to the manager to you, what is yaur confidence le�el that we will get this rebate? UNIDENTIFIED SPEAKER: I'm highly confident Councilmember, that you will recei�e the -- rehate. It's tax law. KALIVIANAKIS: This isn't your first rodeo. UNI�ENTIFIEQ 5PEA4CER: Na, no it's nat. Yeah, we -- aur reputation is ❑n the balance -- KALIVIANAKIS: Right? UNI�ENTIFI�Q 5PEA4CER: -- for this. And so we would not, in good faith, te[I you that this is something that we �eel you would recei�e if we were not confident that you would. KALIVIANAKIS: Thank you �ery much. And I alsa again, sin�� you mentioned it, l'll mentian this ta you. But in your return ❑n investment in aur package, it was stated at 15 years. And I appreciate your saying, well, it might be 17 years because of some ❑f the incidentals that ha�e been brought up by other Councilmembers. And s❑ I think yau were �ery candid. That said, there are ather incidentals that are tied to this. But if you take the whole thing, the big picture and the 30,004 foot �iew, it'll still be a return on in�estment in 17 years. And this thing is going to be going hopefully for 35 years. And so ance again, that's a lot of long-term sa�ings, e�en if the return on Page 49 af 1U5 7C1b�3N QF E"�UN7AiiV H�LLS 9LlNE 1G, i.OZ6 CC}iJNCIL i�lEETING InVEStI"llent IS tW0 yEal'S �OC1gEC. 5a I just want to p�aint that out. And thank you for pointing that aut and just being canclid enough to not go witF� the 15 year. The last thing i'd like to talk about, and I think we skipped o�er it a little bit and f�ut I think the people in the audien�e and t#�e peaple at hame, they want to understand this guaranteed savings k�y law, and k�y yaur company, because I'�e ne�er dane this myself to my home. But if I'm paying $6D� a month far utilities and that �ompany �ame and said, I can guarantee you it's gaing ta be $5� a month, and if it's more than that, we'll {�ay for it, I think I'd do that. And I think, isn't that what you're offering us here tanight? l]NIaENTIFIED SPEAKER: It is. Yes. Councilmember, it is exactly what is in the 5tate law for the type of �ontracting that we're doing. UNI�ENTIFIEb SPEAKER: Yeah. KALIVIANAKIS: And so we're not taking this on faith. Because this is bacl�ed by yaur company and state law. UNIDENTIFIE❑ SPEAKER: Correct. KALIVfANAKlS: ❑kay. I like that. Thank yau. UNIdENT1FIED SPEAKER: Yau're welcome. UNIDENTIFIEQ SPEAKER: Yeah. And the light level software that we install an it that manitars that you will see the real time KW productian. 5❑ it's not a number we're gi�ing yau. It's -- backed by metered. Sa we see it. You see it. It's complete transparency. KALIVIANAKIS: Yeah. And thank you for that, because once again, we've read the pa�ket and we did the deep dive. �ut people at home and the people in the audience, they might not be aware af that. Anci sa again --, we're nflt taking anything ❑n faitl� her�. This is a trust with verify. And you guys are guaranteeing you're g�ing t❑ deliver what yau said yau're going ta deliver. And that's a �ery goad thing. Thank you. SKILLI�ORN: Thank you, Mr. Mayor. Yeah. Just again, punching in numE�ers, ��.11 a kilowatt. We're still fronting $2.4 million, e�en if there is a potential far rebate, which is Page 50 of 105 rawr� o� raur:TAiN !-liLLS ;IJItiE 10, 2UzfiCGU�f�I� 111f�fiNC nat guaranteed, we have to front that until it's completed. 5o there's appartunity �osts on that m�rrey, and the savings is rather limited. The warranty is nat 3� years. It's not 35 years. You i�naw, saunds like it's -- you know, a number of years on the panel performance, #�ut then the equipment is ❑nly twa and one monsoon could knock out the electronics. And as sorneone that's spent a lot af time in the inverter and VFa industry, it happens e�ery day. 5a we're on the hoak -- we're on the haak. There's a lot of risk to this for very little savings. And frankly, ance yau do the math, there isn't any sa�ings. We're g�ing to spend more maney to save $fl.11 a kilowatt. I mean -- and if everything goes perfect, you know, we're looking at that 17 to ZD years, and then we ha�e obsolete, outdated equipment. That has -- ya� don't have any value. 5o if yau're thinking abaut it as a shade for a parking structure, that's fine. 6ut there jusC isn't any savings here. And we have ta outlay t�e money, and there's app�rtuniCy costs ta the maney. If we simply put that money you lcnow, into the bank, we`d make mare money on it than the amaunt of money we spend on ele�tricity. It's just realiy what it is. This is nat a representation and goad fidu�iary policy for the people af Fountain �kills. L.1NIbENTI�IE❑ SPEAKER: We do understand that, Mr. Mayor and Mr. Councilmar�; we also do want to reiterate the fact that we are seeing, since 2022, COVID, the 5.1 percent price in�rease in utilities. 5o it is expvner�tially jumping since C�VId as well. WATTS: Yeah. 6ut alang thase lines, you've got to have that factared into your 15 t❑ 1i years. 5o yau already do that. 5o the mare we talk about the numk�ers, the more concerned I am about it at the 15 year. Best case scenarin. 15 years, the panel's, in a very simple math, have degraded by 7.5 percent. 5a we're down to 56 percent as opposed to 64 percent, somewhere in that area. The life of those panels k�eing 25 years. Yes, there's some upside after that Z7-year period, but we don't knaw wY�at that is. And we dan't kt�flw what replacement �osts are gaing to be. We don't know what -- Councilman 5killicorn point -- in�erters, all af the -- Page 51 af 105 T4WN OF FQUNTAiN H;LLS JUNE 16� 202fi CO'JIVCIL MEETING all the interconnections that are irrvol�ed. We end up with a nice co�ered parking area for a few millian dollars. And when yau talk about the guarantee, I don't wish any iil will an Veregy, but I assume you guys ha�e a performan�e bond, that you guarantee the sa�ings by way of a bond so that if you happen to go defunct, we still have the bond. Is that accurate? IJNf�ENTIFIED SPEAKER: Explain that again, pfease? VIIATT5: I'm nat -- relying �ompletely an Veregy for your guarantee. There has to be something behind Veregy in the way af an insurance performance bond -- UNIaEN71FIEb SPEAKER: Yeah. WATTS: -- or a payment hond. UNI�ENTIFIED SPEAKER: Yeah, we do. WATTS: 5o you bond to ❑ur benefit that, if samething shauld ga awry, we ha�e a fallf�ack, noi just on you. IJNIDENTIFIEp SPEAKER: Carrect. Yes, sir. WATTS: �kay. And I'm still stuck on the payback. And the payba�k is real{y driven because the lousy return that SF�P gi�es us that couple ❑f cents. Whereas in a residential en�ironment, we get dollar for dollar payback, and that malces it viable. And also the reason I would ga fram 64 percent up ta 8�, 85, 9� percent. E�en sa, I'm nat sa sure I'm sald at this paint. And I think I migY�t be safer investing in the market as flppased to -- not the market neGessarily these days, but you know, making other prudent investments as our -- CF❑ has already done, as opposed to speculation on solar. Sa I need more to �e at�4e to help. UNIdENTIFIED SPEAICER: Okay. You're also hedging the bet against future -- rate increases. If yau IaQk at APS, they're asking far 14 percent the last three years. ❑f course, they're not getting it but they're getting eight percent, ti�ey're getting r�ine percent year after year. !t's only a matter of time befare everybady else catches up. WATT5: Yeah, but the point stiil remains. 15 year life. While -- SRP, we ha�e to deal with, is continuing to raise their rates, the technology is also jumping by increments. Page 52 Qf 1fl5 T�V'J'� [JF FaUNI'AiN HIl�.� JUNE 15, ZG26 C011NCI! i�lc�fiNG MCMAHdN: LJh-huh. WATTS: 5❑ some ❑f the -- film solar that's coming out these days has a longer life, has a higher efficiency. 5ome aF the dual layer so�ar that is coming aut has a much higher efficiency, and reliability is pretty stable. But the technology at the end of 15 years, we dan't know what we're going ta get. I think I read a repart that something had 120 percent efficiency. I dan't think they got that. But you know something. 5o my point is we're stuck with �Id equipment for 15 years. We didn't rea�ly save any money during that peri�d of time. Naw what do we do? Sa again, I need more. MAYDR FRIEdEL: Let me ask a couple comments if yau don't mincl. 5o somebody said there's n❑ benefit right naw. Well the benefit right naw is �overed parking. But I da ha�e a �auple questions for you. Is there any play in that warranty from two years? 17id you -- e�ery project you did, was it a two-year warranty? LINIDENTIFI�❑ SPEAKER: Yeah, that's a standard Arizona statute, a two-year workmanship warranty that all contractors ha�e to pro�ide far any construction project. MAYDR FRIEDEL: Okay. Thank you. And I dan't know, maybe this is a Paul question. Have we talked to anybody else about pricing on -- a project like this? How competiti�e is this? SOL�INGER: 5o Mayor, Cauncil, this -- so thEs contract was structured under a cooperati�e agreement through performance �ontracting. So we really didn't know th� scope of what they would e�en propose. What they first did -- s� going back a little bit. They started with an initial energy. 5� e�aluating ❑ur energy inter�al data to see where there �ould be same efficien�ies. 50 it's actual�y a �ery long pracess for them to evaluate that and then say based on the data we see this; this is what we propose. And this was the main project discussed. There's other energy efficiencies they are propasing, 6ut because this one has a deadline with th� federa! rebate, that's why we braught to Council at this time. Page 53 af 105 1'plNlV �F F�L7f�iTAl�1f H1��5 !LII�E 15, 2U�.6 �D!lNCIL ML•:ETIyG We ha�e not had the opportunity -- and this question has come up. Why not go through a bid process.? Well we didn't know the scope. Yvu need a scape tp g❑ through a faid process. And wh�t we're doing is completeiy legaf. And within the parameters of our procurement policy is a performance contraCt. They guarantee the sa�ings for a �ertain Gast to bui�d the project. MAYOR FRIEDEL: So I ha�e another question. Ha�e you -- how long ha�e you guys been doing these projects for the other towns, and Phoenix? IJNIDENTiFIED SPEAKER: And we've been in business for 35 years. MAYQR FRIEDEL: Have you -- what kind of -- what kind of difference ha�e you seen in the technofogy af t�e panels in the last five years? Has it been dramatic? L1NI�ElVTIFIED SPEAKER: it's in the last fi�e years, they were at about 45� watts per panel. We're right arounci 570 right now. Yau're seeing a typical panel. MAY�R FRIEDEL: And the in�erters -- so ! want to make an�ther �omment, too. If -- monsoans kn��ked them out, nahody ir� Arizona would have sofar. So — I'm cancerned about monsaons. But again, nobody in Arizona would have salar if mpnsa�ns knocked them out. 5a, your inverters. What's the warranty on the inverters? L1NIbENTIFIEb SPEAKER: The inverters ha�e ten-year warranty an ten year. MAYDR FRIEQ�L: Ten year. �kay. Ga ahead, Vice May�r. EARLE: Thar�k you. Mayor. I want ta g❑ back t❑ the re�ate now, learning that we dan't get reim�Oursed till the project is dane. When do we know we're guaranteed for the warranty? I'm sarry. The -- rebate. 5o but I-- we -- will apply for the rebate, but we're nat guaranteed the rebate. gut then are we lacked in whether we get the rehate or nat? !s there an option t❑ apply for rebate and then say we g� forward anly knawing we gat the rehate? SQLC]INGER: 5o Mayor, Vi�e Mayor, I'll speak and you guys correct me if I say anything incorrect. Sa in these Gonversations, you know, Veregy, as any campany, they would not guarantee that in the cantract negatiations that we would get the rebate. But they ha�e Page 54 of 1D5 rav��N �F ��unirain� H���s JUN� 16, 2U2� C��i11�11 MEEii�r made many effarts to pro�ide clocumenCs and clarification. VIle end up -- contracting with the tax ad�isor because to their point, the tax forms ar� not that complicated. But it's all the calculations and e�aluating the criteria af the federal rebate that is �hallenging. 5o we ha�e dane a!ot of verification and going back and forth with Veregy far them to pra�ide the documentati�n. Dur tax ad�isor needs to pro�ide pasitive assurances. 5o I guess k never tauched on the fact that we do feel really good. We'll get the rehate �ery, very strongly. It's not guaranteed, faut it's as clase to a guarantee that we can get as a staff at this point. But yes, it will come after the fact and we wan't know until the project's done, planned far next August, if approved after that, they have to energi2e it. Is that a few manths ar how long wifl that typi�ally take? L11VIdENTfFIED SPEAKER: It's when the project is camplete, yes. S�LDINGER: S❑ -- we would knaw in abaut �4 to 15 manths from now, if we are receive the rebate, we would apply for it right aw�y with ❑ur tax advisor. And -- we would find out pretty quiekly. EARLE: Okay. 5o then just to a reminder that in the 1S years to get the guarantee of savings, we would be shelling out 86,49�. It's not free. The guarantee payback if we dan't ha�e the sa�ings, is nQt free. Confli�t Qf interest, I think I dan't know. And then if my calculations here -- if we did nathing and we stay�d with SRP with their suggestians, ❑r their estimate of the raises every year, we'd be sa�ing 178,357 in the 15 years. But if we dan't get the rebate, that's going to be fl�er a million. MAYQR FRIEbEL: Are you counting the co�ered parking in there? I don't know haw ypu puC the -- EARLE: Co�ered parking is -- MAYDR FRIEpEL: -- I dan't knpw i�aw y�u �an put a �alue on that. EARL�: Okay. I'm -- what -- well, we wauldn't hav� -- if I'm saying -- if we -- wel I, that's a-- that's expensive covered parking. Ta get the covered parking with the salar. Yes it all -- it's all together. But if we just stuck with SRP, didn't have co�ered parking, it loolts Page 55 of 105 7i`,W�! OF FrUN7Al�! Hl�.�S JJNE 16, 2GZ6 COIJNCIL �4EEl'1�1G like we in 15 years, we would stilf be ai�ead 178,OQ0. This is just estimates because you're just estimating too. S❑ it doesn't -- and alf these things we're learning more and mare. And as things 6reak down o�er time or what could happen. I'm not sure how good aur insurance would be if a mansoan came thrpugh and kr�a�ked stuff out. I don't knaw what that ca�ers. Just the numbers dan't look gaad to me. 5orry, Paul. LARRABEE: Mayor. EARLE: Thank you. I wanted to thanEc you. ❑kay. MAYaR FRIEDEL: Hannah. Go ahead. LARRABEE: Thank you, Mayor. Apologies. I don't ha�e a way t❑ raise my hand ��er the phone. My first question is regarding the actual design of the project. Not even just our numbers, hut knawing that, you know, if we were at the equatflr, the -- solar panels wauld be able to be flat. But as you mo�e away from the equator, there's a certain ar+gle they need to be to obtain maximum energy or retain maximum energy. aid we priQritize that angle to get the most energy out of each panel, �r did we priaritize angle as in getting more shade far the ��hicles? I just want t❑ see if we looked at thase options. If there's different designs we �ould look at. UNIDENTIFIED SPEAKER: Yes, Ms. Councilwoman, we do laok at all the options for the angles. You �ould go at a higher angle, but then you're also increasing all your construction costs and your steel costs as well. Ten percent is the optimum that the computer pragram. We put it in a computer pragram that spits out where the ❑ptimal layouts are, what the angle is, what the aaimuth is. And this is where we're at with the ten percent. LARRABEE: ❑kay. Thank you. 5a to be ciear, are we getting the maximum amaunt of energy passible out of the solar panel, ❑r are yau saying that we are not ta reduce building c�sts? L1NI�ENTIFIEQ SPEAKER: Ms. Councilwoman, no. Prabably nat getting the most aut af the angle, because yau would t�ave to go at about a 20 percent angle to be at your most Page 5b of 1U5 �rawn� or- �ou�vTA�r� Ni��� iUNE 16, 2QPb COUNCl� HIIEf fIAfG aptimal. But that would put your -- canopy on the rear, approximately 25 feet in the air, and it would block the �iew of your whole huildings. LARRA6��: ❑kay. I wouldn't want that either. With -- and now, if -- I hope Paul hasn't walked tvo far away. But Paul, what wouid the cvst be far us tv just k�uild eo�ered parkin�? LiEce, let's say we d�n't put any solar panels nn there. Would that f�e similar ta this project cast? so�oin���a: � dan't have those figures af -- LARRABEE: That's fair. I understand that we wauldn't ha�e exact -- S�LQINGER: What was that, Councilwoman? I.ARRABEE: 5orry, Paul. I understand we wouldn't ha�e exact figures. Proba�ly hasn't been a design yet, but �a we ha�e at least an idea af what the difference would �e? Because I know a lot of the draw here is the ea�ered parking, sa I would like ta compare. If that's half the cost, let's put half the money to just building co�ered parking, you know? S�L�INGER: 5a what I'll say to that is mayor, Councilwoman, is the reason this is before the Council, before the break is because af the federal rebate. 5o if -- the Cauncil is interested in Ioaking at co�ered parking without the solar panels, that's something we cauld look at in t�e fall or next fiscal year, and it woufdn't really impact the rebate -- ability to get a rebate. 5o that's something we could reconsider and laok at as staff. LARRABEE: Okay. Thank you. MCMAH�N: Thank you. And thani� you very much for your presentatian and all yaur in- depth infarmation. Also your pra�en prafessional experience in the past and building things far the tawn, et cetera. As yau said, we're going to be paying SRP anyway, and electricity. This is a capital improvement. It is gaing tfl nat only be cflvered parking that is capital an ❑ur books, but it's gair�g ta be solar panels, et cetera. And if yau think about it, we ha�e entered into many cantracts before with not knowing for sure whether or not we were ��ing to get a rebate. And generally it's panned out, I think almost every single time that we do and Page 57 nf 1a5 TaWN OF FO11h17AIN HILL JLlIVE 15, 2EiZ6 Ci7llIVClL 14'IE[TIfvG we'�e done that. 5o we ha�e �oted far and supported ather cantracts that ha�e an upcaming rebate that we apply far, et �etera. 5o I'm not really, really concerned and nervous abaut that. I do think personally that this is a really good idea, and I would like to make a mation to appro�e the proposed energy savings capital project for parking shade structure, solar panels, and including all necessary steps to execute �antracts to initiate and administer the pra}ect t❑ compfetion. This is a timing thing, and that's why it's here. kt's not the anly reason we're bringing it now, it's -- we're bringing it. You guys ha�e been working on this, and the staff has been working on this for a really lang time. TFrey've done in-depth research ahout it. It's not just because of the rebate, it's b�cause it's a good -- it's a good �apital praject for the tawn. Thank you. [CR�SS-TALK] 11NIDEIVTIFIEb SPEAKER: Are yau lool�ing for a secand ar two? Are we gaing to go ta the -- MCMANON: I need a second. KALIVIANAKIS: Okay. I would secand that. SKILLICORN: Thank you, Mr. Mayar. And I just have a couple of questions for the vendor. We did tal€c about in�erters. What �rand in�erter are you guys using? UNI�EfVTIFIED SPEAKER: In�erters are 5MA 5unny Tri-Power X. SKILLIC�RN: Okay. And then how many are there? UNIaENTIFIED SPEAKER: Tota! is -- se�, you got five inverters for the camt`nunity center and three inverters on the town hall raise. SKILL.ICORN: Mr. Mayor, �aear with me a mament. Qkay. There's c}uite a few. Just take a look at their warranty infarmation. Also, Mr. Mayar and Cauncilman Watts, the ten percent versus 20 percent angle. We have thoughts on that. You know, again, I'm skeptical. I don't -- I think this is the -- is going to be �ery expensi�e for us t❑ ha�e co�ered parking, but Mr. Mayar, Cauncilman Page 58 of 105 ro�n►� cfF F�7�fN7A,�v ►a���s �uNE l5, zoz5 Cour�[:i r�ne�T�ruG Watts, do yau have thoughts an the angle? WATT5: � think the ten percent angle has some inherent flaws, hut when yau do the angle, anci yau do the math, and ! forget a squared, b squared, c squared, that kinci of stuff. You're prof�ab�y right, ZD-plus feet �ersus -- what do we ha�e, 15 feet right now for covered parking. So i think that's samething t❑ be concerned. I think I laok at this slightly differer�tly after all the financial con�ersations. I think w� loo€c at Chis as a break even project at 15 t� 17 years. And then if we're willing t❑ ac�ept a 5� percent perfarmance after that, including -- in addition to -- or plus costs of maintenance and upkeep, then we should d❑ it. But I don't think it pays for itself in that 15 tfl 17 years. And I think the math supports that. I think the maintenance �osts are going to be high. !`m glad to hear that there are fewer numher Qf in�erters, rather than ha�ing hundreds of inverters out there, because ti�e more items you've got, the more failures you're going to have. 5� we reduce same of those. I just think that it's -- -- inherent4y SRP's issue beeause they don't gi�e us cfollar for dollar, so we get a couple of cents. Qaesn't make a lat af s�nse. S❑ if we want -- from the �ouncil's perspecti�e, if we want to li�e with the faet that 15 years from now we'll ha�e paid for this and we'il gei whatever we get aut af th� system, that's a different way to laak at it. MAYOR FRIEDEL: Let me add something, to�. I think that it -- correct me if I'm wrong. The main cast to all this is the canstruction costs. Th� equipment isn't really. It's $50Q for a panel. I mean, it's -- not like it's going ta break us if a panel goes out. So and I think, again, laoking at the numbers and just looking at ❑ur trash hauler wanted 3� percent more, EPCOR up 17 percent, AP5 16. I think the repayment on this is going to be sharter than �.5 or 17 years. I just I don't see any way around that. f inean, am I--right? The major cost is the canstruction. L1NI�ENTIFIE� SPEAKER: Yes, that`s right, Mr. Mayor. And I also want to say that an the �alculations that Rob had p�tt together, we guaranteed that an 95 percent. Sa we will Page 59 of 1U5 rr�v:;ri aF �a�n�rA�ru �!��5 lUNE 1S, 2U26 C�IJNC!L 111EETING alsa recognize more sa�ir�gs. But far the guarantee, that is what t}�e -- industry would �e for the 95 percent on that. MAYDR FRIEdEL: Do we ha�e a c�mment card? 5omebody tQ speak? BENDER: fUo, Mayor. We do ha�e three camment eards thaugh. And they all say they are for t4�is project. They don't want to speak. MAY�R FRI EQEL: Thank you. Councilman. SKILLICORN: Thank you, Mr. Mayor. I did look up -- the -- invertcrs are made in Germany. They're not made in the United States. Yau know, again, we don`t know how long they're going ta last. There's maintenance casts. Equipment like this doesn't last fore�er. And in my experience, which is extensi�E in this field, you know, lifetime -- the lifeti�ne af these inverters is less than ?S years. WATTS: Wait, I thaught the requirement far the rehate was all American made? LINIDENTIFfED SPEAI{ER: Yes, Mr. Mayor, Councilmember Watts. We ha�e ta meet a minimum 54 per�ent ❑f domestic cantent for your project to be considered domestic contcnt compliant with the materials and produ�ts that we're using. Yau guys are passing that threshold to 53.2 percent on damestic content. So you guys do qualify for domestic cantent as welf as the fiat compliant materials. WATTS: Thanks. 5KILLfC�RN: Mr. Mayor, thank you �ery much for your generosity here. I pramise this is my last comment. As someone who is critical af the Inffation Explasian [sic] Act, I would be hypocriti�al if I vatec{ for this. KALIVIANAKIS: Thank you, Mr. Mayor. And yeah, just before we vate, I just want tc� say, and you mentioned the word stewardship in yaur presentation, anci that's literally what I had written down before your presentatian e�en hegun. 1 think this is a goad project, and this is the kind of infrastructure and fo�g-term infrastructure project that I think we should all be interested in. We in the Coun�il ser�e two-to-four-year terms. And we are temporary stewards of a tawn that's gaing to be here far many, many years. We're making decisio3�s today that Page 6� af 1U5 TDWN DF FOL1NiEilN H�LLS 1Uf11E 15, 2026 U�LINCIL i1�1EE7iIVG future Cauncils and future Mayars, future budget officers are gaing to thank us for. They're going to reap the benefits of what we're doing today, many years down the road. And then svmebody svmetimes is going to tip the hat ta the 20Q5 [sic] Town Council and saying these people had -- were �isionaries. They looked dawn the r�ad. They invested. Taday it's 2.3. We're gaing to get ti�e -- I'm sure we're going to get the rebate. The experts say we're going to get the rebate. 1�hat fcnocks it down to 1.3, and we're gaing ta be getting �ast savings on utilities that are going up dramatically with all the c#ata centers and all the campetiti�n for electrical. It's -- going to ga up exponentially, and we're going tQ foe getting �heap energy f�r 35 years. And this is something that I'm sa proud to take a yes vate an tanight, heGause this shows long-term pianning, long-term stewardship and in�esting today and what we're gaing ta be benefiting fram in the future. And so ta me, this is the probably the easiest vate I've taken since I'�e k�een in the Council, going on four years now to -- -- support the staff, to support the staff, report, to support the people, the experts that ha�e corne here ta our small town and are offering us an option for future savings so we can make more infrastructure, future roads, future in�estments, future performance center. This is an easy vote. And so thank you for your presentation. And that's what I have to say before I �ote. MAYOR FRIEDEE.: I have two more camments. �ne, I think we can space t�is ❑ut over two years. LINIDENTIFIE� SP�AKER: �Indiscernible} 5a that would help us f�r budgeting. And then secandly, is there something we �an loak at far usc ❑f downtown funds to help fund this project so it doesn't all come aut af general fund? GO�QWIN: May�r, we �an certainly take a Ioak at that. I'li work with Paul -- where�er Paul went. There you are. 7hank you. --ta see if tY�at's a viable option. Page b1 of 105 701rV.'1� QF FDL'NTA11V Hll�S JIiNF. 1�, �OZ6 CDUNCii MEE7IUG MAYQR FRIE�EL: Thank yau. 5o we ha�e a mation and a seCond. Can we get a rall cali, please? gENaER: Councilmember 5killicarn. WATTS: No. B�NDER: Coun�ilmember Larrabee. LARRABEE: No. 6EN�ER: Councilmember MeMahon. MCMAHON: Aye. 6EN�ER: Councilmember Kali�ianakis. KALIVIANAKIS: Aye. BENC]ER: C�unciamember Watts. WATTS: No. MAYDR FRIEDEL: Vice Mayor Earle. EARLE: May I explain my �ot�? MAYOR FRIEL7EL: 5ure. �ARLE: I do support energy savings. But as a steward for aur town, I think we need t❑ make financialfy sound de�isions. And I just don't -- it doesn't seem financial�y sound f�r the return on in�estment with all the numbers we`v� looked at. 5a my answer is no. BENDER: Mayor Friedel. MAYOR FRIE�EL: Aye. BENQER: Mayor, three t� four, fails. MAYOR FRIE�EL: Thank you. 5ure. SKILLICORN: Mr. Mayor, I make a motion fiar a couple-minute recess. �AR�.E: I'll secand that. MAY�R FRIEQEL: Short recess. EARLE: Thank you sa much. {Recess} MAYaR FRIE�EL: ❑kay. Thank yau. Now we'll move on ta Item C, which is Page 52 of i05 T4YJI'P OF FJU�# i AIN i-IiLLS �uNE 15, z02� CUun�c=� mrFr�raG consideration and possif�le action regarding a budget authQrity transfer for additional design costs �ar the downtown -- streetscape. Capital improvement. Town Manager. GODbW1N: Thank yau, Mayor. {�irectar Weldy is going to walk us throug� a minor -- sort af a minor �hange in the sense that we ha�e funding set aside in next year's budget for the construction af the dawntawn streetscape. Howe�er, construction can't happen until we finish design. Es tnat about right? I'll let you finish those detatls, director. WELDY: Thank you for the intraduction and the brief description. So I ha�e been doing this for a consideralale amount ❑f time. 5ometimes I lighten the mo�d by using the term praverbial Y�at. At ather times, when it's larger amounts af money, I say dump truc� loads. As I mature, I gr�w less tolerant of some af these things ❑n behalf of the people that I work for. And in this particular case, my t�Ierance le�el is right around there. The primary reason for that is I missed some things during the 1S percent design cancept repart, which was primarily related ta drainage. Now that we`re moving forwarr� and we ha�e a lat more information that we are payir�g for, naC MA�, these things begin to add up. What I'm here tQnight t❑ ask for is funding, and this wouldn't be the first time I've been before this elected body and others to simply state the maney that we ha�e allotted far design is nat going to 6e enough. And the reason for this ask is drainage. If the project is constructed without drainage impro�ements on Park�iew between La Mantana and Saguar�, when this placemaking town improvement is finished and there is an event there, pick your ��ent. If there is rainfall, that rainfall is gaing to impact vendars that are in that space, and that's r�egative media and publicity and not what we s�auld be facusing on. And that's what it comes down to. There was a little bit of errar in the 15 percent design. The can�ept repart, I'll own that. 6ut in order to keep mo�ing, we need to keep the design moving. Naw let's get to the lagistics and the chailenging part. Page 63 af 105 1'OWfV OF FOL1fVTAi�! HILL.S JUNE lv", G026 4�UNL'IL I�iF�TING We ha�e money budgeted far next year based on the budget that yau've all s�en. Several presentations for �onstructian of the first section, which is Verde Ri�er between Avenue of the Fountains and Palisades. We're asking ta use some of that money out af next year to complete the design. T�e intent is to keep moving on the mo�ing forward on the proje�t, whi�h we ha�e done. We'�e had enough funding to keep going with the design. There hasn't been any delays related to that, but we want t� get it aver the hump and get the design finished. All the technical specificati�ns, the t�id documents done, and get the first phase bid out for canstruction. 5o that's what I'm here ta ask f�r, is some additional money to co�er that drainage design. With that, !'il d� my best ta answer any questions nat related ta my maturity or my attitude. SKIL�ICORN: Thank you, Mr. Mayor and ❑irector Weldy. 5o we already did t�e engineering for the drainage, or we just need a iittle bit mor� to do that engineering? And that is in addition to the angled parking spots and all that's going on there? GQ�dWIN: Mr. Mayor, Cauncilmember, this is just to pay far the design of the drainage. 5a we're -- that ciesign is already underway because, again, we do have funding to keep mo�ing until June 30th of this year. We're asking for that funding to carry into next year far the design. SKILLICORN: And Mr. Mayor, Director Weldy, do those storm drainage -- where -- does it go to? I mean, it wauldn't be allowed ta ga ta the lake. Where daes it ga ta? VIIEL�Y: Mr. Mayar, Councifinember. So it's easy for me t❑ paint a picture, but basi�alfy what we ha�e is �verything from La Montana west to the Avenue of the Fauntains in and around the drugstore and the assisted living facility. Those drain ont� t�re Avenue of the Fountai�s. From the A�enue of the Fountains, they drain through that neighbarhood int� a hasin, and that �asin is alang West g, and then it goes under INest 8 and underneath the smaller homes on -- La Mantana and cvmes underneath the Bashas' Parking Center. It enters La Montana right araund Park�iew. Page fi4 of 1U5 rv�rN �� ���Nratn� H���� lUNE 16, 2l}2b COUn1ClL MEETiNG You may ar may nat, during stflrms ha�e seen water -- what appears ta be a Iot of water caming out ❑� the Bashas' parking. 7hat's the water from there. IVow that cavers that part west of La Mantana. A little 4�it of technical term here. 5o when -- we talk about the �ertical �rest, I'r-n talking about the highest part on the road north af Parkview an La Mantana. The �ertical crest is just in front of the bank building there. 5outh af Parkview an La Montana, the �ertical crest is just araund the carner an the Avenue ❑f the Fountains, so some of the water that comes down the avenue will turn. 6ut all of that water ends up on Park�iew. Now to get ta answering y�ur question, all of the runoff that �ames down Parkview will be entering into a storm drain that exists on 5aguaro Baulevard. Depending on the quantity ar the Q as we describe it, it will then enter Fountain Channel. Fauntain Channel is a turf area parallel ta 5aguar� that starts right at Park�iew and then disappears as it gaes under EI Lago, and eventually ends up heading into the Verde Ri�er and the 5alt River. SKILLIC�RN: And Mr. Mayor, birector, the let's say Che water cames flut of Bashas. Is that a6o�� grade that goes d�wn the street vr is -- are there storm drains? 5t�rm sewers? It flows underneath grade. WEL�Y: Far the 6ashas, there is a con�rete structure that allaws it t❑ flow under Bashas. OnGe it enters La Montana, it's on the surface; our intent is to capture it in that ar�a and pipe it dawn to 5aguara. SKlLLICORN: Thank you. And Mr. Weldy, yau mentioned MAG. I dan't know if I specifically remember a MAG �amponent to this. Is there ar was there like a drainage -- something to drainage with MAG? WELDY; So the first part af this, which was the 15 percent design cancept, was $1n�,��� grant far MAG. That gat us to the 15 percent, which doesn't go inta a I�t of details. It just gives us some cancepts that we presented not only to the pubfic, but t❑ this elected body. SKILLIC�RN- Thank you �ery much. WELE]Y: Yau're wel�ame. Rage 6S of 105 io►Nw a� FDl1NTAl!li Hi'_L.i JUN[ Z6, i�26 CaUNCIL ME�"fIfVG SKILLICORN: 5a far, this is the best topic. EARLE: Thank you, Mayar. 5o my understanding is we alreaciy ha�e this money, just in another bucket, so t❑ speak, and we're swit�hing it to this one if I speak like Paul does. I don't know where he is. Is that cvrrect? WELDY: Mr. MayQr, Madam Vi�e Mayor, that is carrect. We already ha�e money budgeted next year far �anstru�tion. We're asking t❑ use same of that construction money far design, EARLE: But we dar�'t want t❑ do �onstructian impraperly. We need the pr�per design. 5o I-- if I can make a motion to appr�ve and then c�ntinue conversation? SKILLIC�RN: I'll second that. KALIVIANAKI�: CounCilman. WAT�S: So we`�e alreaciy gat -- we'�e already got maney set aside for the budget to do ihe a�tual construction eamponent; is t�at carre�t? WEL�Y: Mr. Mayor, Cauncilmember, that is correct. WATTS: Sa can we get your persanal assurance that you'll sa�e this maney out of that? WELDY: Councilmember, I can't gi�e you personal assurances based on all the ather moving parts, but I'm a man of my worr�. WATTS: So thank you, Justin. ! appreciate the input. MAY�R FRIE�EL: Town Clerk, are there any comment cards? MAYOR FRIEQEL: Na, Mayor. MAY�R FRIEbEL: Na. Okay. E'll take a motion -- a se�ond. Did you second it? Okay. We have a motian and a se�and. Can we get a rvlE call, please? BENDER: �ouncilm�mber Sftillicorn. SKILLIC�RN: Yes. BENDER: Councilmember Larrabee. KALIVIAfVAK15: Aye. BEN�ER: Caun�ilmember McMahon. Page 66 of 105 �flWl4 C7F FCU�4TAIh NI�LS ]UNF ZEi, 2026CQUNCIL Mr[7'IiV�'i MCMAHON: Aye. BEN�ER: Councilmem�er Kali�ianakis. KALIVlANAK15: Aye. 6ENdER: Councilmember Watts. WAT75: Aye. BENQER: Vi�e Mayor Earle. EARLE: Ay�. BENQER: And Mayor Friedel. MAYflR FRIEDEL: Aye. 6ENa�R: Mayor, se�en-zero. MAYDR FRIERE�: 7hank you. Moving on to item b, discussion and possi�le directian relating to e-bikes and e-moto regulations. Rachael? G���WIN: Mayor, if you recall frorn our last meeting, we had a request to re�iew what our current statutes say, what our current rules are. E-bikes are a grawing cancern in a num6er of communities, nat just ours, but across t�e �alfey. Ke�in has taken some time ta put together same highlights abaut e-l�ikes, what they are, what th�y aren't, and what we currently have in place. I do know that we alsa ha�e Captain Thomas in the back because this con�ersation obviousiy does a�erlap with MC5❑ efforts. 5o with that, I'll turn it o�er ta Director 5nipes. And just want to note, too, that this item is agendized far d�s�ussion and possible direction. 5o it's really about next steps, what you guys would like to see if any. All right. With that, all yours. SNIPES: Thank you �ery much. Mr. Mayar, Councilmembers. We're here tanight to talk ahout e-t�ikes. I know it's been a hot tapic of discussion throughout this year for sure, and last year as we11. Where we kind af like t❑ start is there's a lat ❑f -- e�en muni�ipa�ities that are coming out and saying things that aren't accurate as far as what an e-bike is or is not. Here, we kind af see ane that -- was -- put aut by 5cottsdaEe and it`s talking abQut Page 67 of 105 To��u�v v� F�L'NTAlN H3LiS JUN� 1Ei, 242b COUNCIL ME�'fIIVs; they're creating no e-l�ike zanes. Well, the picture is not af an e-bike, it's of an e-moto. Sa that's samethi�g that we need ta kind ❑f pay attention ta as we're tafking about this, to make sure that we're talking abaut the things that we're intending t❑ off to the right, you can kind ❑f see that the e-bikes are �Cind of a lot like what we saw in many years aga when the mopeds �ame out and mop�ds were not mfltarcy�les. So t�ey had their own set �f rules. Now it's just we're talking about e-bikes or m�tas versus matarcycles ar e- motorcycles. 5❑ kind af loaking at the tw❑ and the differences. An e-bike is samething with pedals. If you can't pedal it, it's not an e-bike, where any motorcy�le has pegs like a m�tarcy�le �#oes. They can be much faster anci -- rec�uire you to follow the rules of the road, which includes having license and all the things that you wou€d ha�e to have if yau were riding a motorcycle. Here's another look at a-- e-mot❑ and the gear that's required far it, whi�h follows the same guidelines as what we tio with -- motorcycles. What we`re here talking about primarily tonight is the e-bikes. And so there`s three different classes af e-bikes. They can be manipulated. So it's one of the things that we got to kind of Iflok at. They ha�e stickers that are on them when they -- first come out, but that doesn't mean that people don't take those off. 50 --it's -- one of the things that makes this very difficult with enforcement is figuring aut exactly what yau're dealing with. The State law in Ari2ona is the baseline authority. So we ha�e to follaw that at minimum. What we want ta d❑ beyond that is up to the group tonight to have that discussian and -- figure aut what we want to do, and then we'I! bring that back to yau for appro�al in the fall. Here, we're kind �f talking about the different classes af e-bikes. The class 1s are -- and in class 2s b�th onky ga ta 20 miles per hour. The class 1 has p�dal assist, which means you ha�e ta be p�daling it for the mator to work. The elass 2s mean that you can throttie it like yau would a motorcycle to -- get power, and you don't ha�e t❑ ha�e the pedal assist, but it still is limited to a 20 mile-an-hour speed, and the ciass 3s go up ta 28 Page fi8 of 105 i'C]Wv OF �GUNI'A�EV Nil.iS 1l��I}� 1b, Zfl2fi CDUNCIi M�EfIhG miles per hour. and they do hav� a speedometer required an them, a�d they are pedal- assist ❑nly. 5❑ as you can see just in th�se descriptians, there's a lat af similarities between all three ❑f them. So there's when we start having different rules based on the classes; it hecomes very diffi�ult for MCSO to be able ta look across the park and go, yep, that's a class 1, or that`s a class 2, or that's a class 3. That's a �ery difficult thing to determine from a distance. Around the valley there's a I�t -- I meat�, it's a1i a�er the pla�e. So this is one where everybody's trying something different, and -- I don't think that any ❑ne solutian has solved all the prablems. But what we're trying ta do is minimize the issues that we've had. Phoenix has gone to being the most restricti�e in their parfc and preserve areas. They're set up where their aff-road vehicle -- their off-road trails, they dan't allow the e-bikes except for on the streets and an the pa�ed facilities. ❑n their natural surfaces, they don't allow it in the -- on their trails and things like that, which we are. We fol{�w that same guideline here. We don't alfow e-bikes in our preser�e at all or on any af our trails at this time. 5cottsdake kind of toak a iittle bit different approach. They'�e guided theirs mare towards how you ride it. Trying t❑ cut down on reckless riding, riding wheelies under the influence, and -- allowing them to not use the class 3s on th�ir mixed-use paths. Glendale by far has the most restrictive and c�mprehensi�e, They have age restricti�ns far -- ea�h ❑f the classes. They also have equipment requirements to have lights like you would far a bike when yau're riding at nighttime. They have behavioral regulations far reckless riding. They have enforcement fines, rhey cauld climb ta $SD� within a 12- month period, depending on how many times yau're caught. They als❑ have 15 miles per hour [imits within the parks and a requirement ta yield to pedestrians. S❑ with a!I of that, it I ean't imagine how they -- enforce any -- mast ❑f this, because they're not sending out with radar guns, checking fnr 15-mile-an-haur speeds in the parks. Yau knaw, and one person's thought af a yield on a mixed-use path versus Page 69 of 105 TOWN OF F:]UNiAIiV HILLS IUIV� 15, 2�2fi CDUNCIL ME�TINu anather's -- I'm sure we get p�enty of Ca11s that, hey, someone's here doing this ri�ht now. Getting aut there to get ta them again becomes a difficult task. 5o it's ❑ne af thase things that we really want to make sure that we're thinking about as we're -- �oming up with a plan to wnere it is enforceable, and it's nat 1,OD� calls to get a Gauple of peapie that you actually catch. We'd much rather Frave it be something where it's enfor�eahle an a dri�e-hy and being able to see what's going on within the parks and ❑r the streets. Sa here's same aptions that we can look into. �ne is just to f�llow the Ari2ona law. The pras of that woufd be that it's simple. There's minimal enfarc�ment hurden. And there`s -- and --it's �onsistent with the 5tate law. �f caurse, that d�esn't sol�e the issues that we're se�ing with our residents' concerns abaut the speeds and the confliGts that we're seeing on the streets and in the parks. Another option is ta do a pat�r and traif classification, where we aliow �ertain classes ❑f e-bikes on our mixed-use paths, ❑ur shared-use paths, our sidewaiks, and wc still stay away fram allowing the e-bikes an ❑ur trails. I personally think that -- if we start allawing them into the preserve, we'll -- run into more problems than what we have now, for sure. Another optian ta loak int❑ is daing an age restrict+on. And this would nat allow -- and there's two different ways that I've seen it dane. Dne is to r�ot aliow anyone under 14 to be ❑n an e-bike. Another �ersion that I seen dane was ta al�aw them on class 2s and 3s. Not -- to allow them on class 2s and 3s, sorry, but ta allaw them ❑n the cEass 1s. This does adc{ress the cancerns about the younger riders and seeing the -- way that they ride around and not knowing the rul�s and or not caring about the rules or a combination of the two. This again is more difficult ta enfarce because it's very hard ta see sameone with a helmet on and go, he`s proba4�ly ten or 15 ar 12. 5a it is �ery difficult t❑ enforce. Another aptian is that we do a comk�ination af the two, where we set an age restrictian and we set a location restrictian where we're not allawing the class 3s on the shared- use paths, the sidewalks, or the natural surfaces, as we saw in option 2. And -- but we Page 70 of 105 iaw�u o� �uU�vTa�n ri�t�.s lUiVr 16, 20�5 CC�U�iC�I MEETIidG are allowing class 1s and 2s ta be able ta be ridden on our shared-use paths and aur siciewalfts. And one of the things that that I'�e noticed more so recently as I am seeing more and more older people that aren't maybe able to ride bikes as much, and now they're riding e-bikes and getting out and using them. And s❑ we want to be cautiaus ❑� that as well as we're having these discussions and think what's going t❑ affe�t everyone that are ❑n these bikes, you knaw, if we're not allowing them in parl�s or if we're not allowing them in -- on sidewaiks, then that's going to also affect -- it wili affect e�eryone that's using these. Another option is to follaw the rules of the road for af tFre 5tate for the road usage, and to nat aflow any e-bikes in parks at afl. It's a simple way ta do it. It's easy t❑ enf�rce because if yau see an e-bike, then they're nat allflwed ta be in there. But it is �ery restricti�e and it doesn't address the street riding concerns. With that, I'll apen it up t❑ ha�e some dis�ussions around it and see haw we want ta mo�e farward. EARLE: Thank you mayar. 5o what are the pr�blems yau're hearing currentiy? Well, anc� I want to ask. Regu4ar bicy�les, they're allowed in the park and on the sidewalks going down the a�enue? SNIPES: Yes, uh-huh, EARLE: But the issue with -- SNIPES: But we've allowed -- it was a Couneil directi�e before my tim� here t❑ allaw bikes on all of our sidewalks, hoth in and out of the parks. EARLE: I know a lot af peaple like to walic around the park. Is there issues with the bikes running people o�er? SNIPES: I wan't say running over. We -- have had camplaints aver the years of bikes being an the path and riding too fast, or not heing caurteaus of people that are walking by. EARL�: Is there issues on the sidewaEks, like an the A�enue af the Fountains where people walk up and down there? Are we ha�ing pr�6lems there? Page 71 of 1fl5 rown �� �QU�TAI�i HILLS 3LJNF 16, �"�2G COUN41l. NlFE i lf�ti SNIPES: That's probahly the one sp�t that I haven`t ever had a complaint an, is on the A�enue. EARLE: Where's the most camplaints? SfVIPES: Fountain Park would be where we get the most complaints. EARLE: Fountain Park. Okay. What da you -- you think regular hikes are akay there? Maybe nat e-bikes in the parks? SNIPES: It's definitely one ❑ption that we could do. Like I said, it does make it easy to enforce and to keep an eye out for. lt. This is really a-- Council decision. Like I said, I've seen it done so many different ways, and I don't think that any of them are perfect. And so it's just really a matter of aur town and the feel that we ha�e here. The -- damage that the e-bikes, that same af the kids have been riding and doing donuts in aur -- in fields and -- tearing up some ❑f our granite areas is definitely been a concern. It's tailed off a iittle bit here recently, the clamage-wise from what it was right after Christmas, when I think a lot of them may ha�e been gi�en away. 5a that's a gaod thing, but we are gett+ng ready to g❑ into summer and we'll see if it picks right back up again now that t�re kids will be out of schaol. EARLE: 5o I'm not famifiar with e-bikes, but I was looking at those. But can they k�e just pedai anly, you don't ha�e any ❑f the p�wer on? SNIPES: They're -- -- EARLE: Class 1, 2 or 3? SNIPES: Not an e-bike; if they're an e-bike, as you pedal the -- EARLE: But can you }ust pedal? SNIP�S: Could you just pedal? EARLE: Without the motor on? SNIPES: Yes, uh-huh. EARLE: S❑ there could be a-- you hav� to pedal in the park once you get out ❑f the park. You can. SNiP�S: Well, when you're pedaling, it kicks th� motor in as wefl. 5o yau -- have a tough time. Page 7Z af 1�5 1f31l1+iV �JF FUUNTA;�i NiLLS J�Jl�E �.a, ].02i CnU�l:.iL M�F7'II�G EARLE: You can't disconnect that part. SNIPES: Seeing that. Uh-huh. EAI�LE: Okay. Thank you. MCMAHON: ECe�in, thank you �ery much for y�ur presentation. I was on wait and I appreciate all the in-depth infarmation. I read thraugh some ❑f the statutes and i happen to like Glendale's in the sense that it's pretty thorough as far as it, you know, gi�es you definitions -- fnr the 6ike. It cfl�ers drugs, alcahoi, the whole nine yards. Hawever, you say that's rea[ly difficult to enforce. Now, from my �antage point, ! don't know what you knaw and what the Sheriff's �epartment know abaut the damage and enforcing, you knaw, whai we need t❑ enforce. Sa I think fr�m my perspe�'ti�e, what is it you're trying to sol�e? And then we can loak at whi�h optian or which one is best gi�en our community, what yau're trying to sol�e, and what they can enfarce. And another question I'm just asking, you knvw, all of them right now, is do you notice that the Glendale one has fines? 5o I mean, I know the 14-year olds don't have Ip cards ❑r yflu know, age, you knaw, cards, et cetera so that's going to be tough to judge. You're just going to ha�e t❑ believe them. But I guess what I'm asking you far personally is a little bit of direction on what problem we're trying to sol�e so that we can weigh in as ta what aption might be the best optian ta help you manage the situation. Okay? SNIPES: Yeah. 5o I mean, this was a directar fram Council for us ta go out and find some information on 6ecause ❑f complaints that had been filed by residents here in town, as well as our parks department, seeing the damage that they're causing in the parks. And I'd ha�e to fet Captain Thamas speak to what they're seeing ❑n th� streets and -- roads and issues that ha�e come up with that as well. As far as to the parks, it's -- more ❑f the destruction -- destructi�e nature of the bikes that ha�e caused the most damage -- MCMAHON: Uh-huh. Page 73 af 105 T�r{��� f�F fL7UNT'r11R1 N��.L5 JU:'tE 16, ZO'L6 CC]U�iCiL MkEiING SN I PES: -- here lately for us. MCMAHON: Uh-huh. SNIPES: And ha�ing the e-bikes being in the parks and -- ritiden through areas that they shouldn`t i�e ridden in causing plant damage and turf damage and things IiEce that. MCMAHON: So would yau prefer that they nat be allowed in the parks or be very restricted in the parks? SNIPES: Yeah, I think in an ideal world I wauld. I like the age restriction idea. MCMAHON: lJh-huh. SNIPES: Knowing haw difficult that is tQ -- enfarGe, I dan't know that -- that would be something that we could put it out there. But 1 don't know that we're going to get the effect that we're looking for aut of daing it f�y age. MCMAHON: Okay. SNIPES: And so with that, I would probably lean tawards n❑ e-bikes in the parks. And that wouid sol�e that side of the prafalem. SKILLIC�RN: They'r� not allowed ❑n dirt -- ❑n hiking paths or anything, are they? They're already not allowed ❑n that. 5o we don't -- ❑kay. Okay. 5o i guess getting back ta the parks. 5o do yau not want ta allcaw them in the parks? I mean, are there reasonable restrictions if it's too cumbersame to not a41aw them in the parks, et �etera that we can apply in any af these options ti�at you'�e given us or no? SNIPES: If I-- I'm nat sure I'm understanding your questian. 5o are yau asking if we ca n -- if -- MCMAH�N: Eliminate in parfcs. 5NIP�5: If we -- just eliminated them with wit4�in the parks and that would take care of the park side af the problem. We wauld just enfarce n❑ e-bikes in the parks. The issues that have been r�ported on the roadways and cutting in and ❑ut of traffic, and those sort of things, that wQuld be a different, you know, would he a different optian. MCMAHON: �kay. 5o we could add that and the streets and being able t❑ enfor�e that cut down an the parks, mayhe have an age restriCtian. Sa I mean that's a good start. SNIPES: Uh-huh. Page 74 vf lU5 �CVUN �F F��lNTA1Ti H!��.5 jUN: 1b, 20�5 ��UNCIL MCETlf�G MCMAHON: You know, thank you for that dire�tion; I a�preciate it. Dkay. WATTS: 5a I knew if I called enough times yau'd finally get the message. My question rea!!y is this is one �f enfarcement. You really don't -- you and your staff real�y don't ha�e an enforcement ability. 5o it falls #�ack ❑n MCSO. How are they going to enforce it? And there's an c��erriding �oncept that applies to e- bikes, bicycles, and so on. Anybady that rides ❑n the street -- that they have to follow traffic laws. SN I PES: Llh-huh. WATTS: We're having a difficult time now doing that. I don't like the bikes in -- the park or skatef�aards, yau knaw, and that kind af stuff. They -- I'�e seen too many almast -- not -- any accidents, per se, but almost. 5a I'm more ❑f a propanent t� ban them from the park and keep them on the streets in the bike lanes. And if pare�ts allow them to ride ir� the streets, it's easier for MCSD to enforce at that paint. They ean see t�em. They're mare -- visible. But keep them aff �f the --park areas and -- they`re already from banned from the -- paths and trails. So that's where I would go. SNIPES: ❑kay. KALIVIANAKIS: Thank yau, Mr. Mayor. Yeah. Thanks for bringing this up tonight. This is something that � think all the Cauncilmembers do hear from the general puk�lic. Matter of fact, we just got an email today addressed to the whole Coun�il ❑n, you know, we're going to do abaut it, and I let them know that -- hape you're listening out there -- listen in because we're gaing t❑ be talking about tonight. You know, it's one af those things you just want to get it just right. Yflu know, like the three bears. I d❑ want to regulate. I dan't want ta o�erregulate. But I'm not sure if I ha�e the information that I need from MCSO. What's more problematic? And Coun�ilmember MCMahon said this, we ha�e ta identify what the real problems are. S� to me, the analysis would be let's identify what the biggest problems are. Let`s -- talk to the experts. ln my flpinion, that wouid be MCS�, members fr�m the Parks Department, and I'd als� like t� schedule, if passible, an open house at the Page 75 of 105 T@1NN �F FDUNTA!!V HILLS JUNE 1Fi, 2�Z6 COUNCIL [V�EEf1P�Cs community center, invite the publie and let them come in there and tell us and tell the staff what they perceive as the biggest prablems. 6ecause if we get that kind of input from the parks peaple that are out there, the 5heriff's pepartment who deals with this all the time, and then from the residents to tell us where they're identifying that, their major concerns, then I think we �ould bring this up ba�k in the fall and go into it reafiy eyes open and knawing just --what we have to re�ulate, just what the concerns are without o�erregulating it. And so you know, to --me, I love the fact we're discussing this, but I just want to have the infarmation from all concerned principals antl players af what they would like to see us draft and then have the -- town staff put something tagether. Again, maybe w�at you dic{ tanight. The minimum. One more. And I think that'd be a goad way. And then we can �ote with mare knowledge. So that would be my suggestifln. SKILLIC�RN: Thank yau, Mr. Mayor and �irector Snipes. I think you may ha�e cammunicated this, but the biggest com�laint from your department and may6e town-wide is more so the ceriain riders that are doing donuts or damaging equipment, damaging fields, effecti�ely vandalism, right? �kay. S❑ ! Ioo�C at that -- is a �andaiism issue, not a bike issue. And I don't know if there are -- you know, what legal remedies are, but requiring heEmets and age restrictivns and sti�kers ❑n the hikes doesn't stop �andalism. And then kind of an that point on this issue, many issues, I'm fundamentaily libertarian. I'd prefer t❑ ha�e as little regulatian as possible. And I'm als❑ someone -- I don't currently own a e-bike; I had in the past, but ! mountain bike. ! like to do wheelies, I like to jump, I like t❑ do endas, you know, things like that. 5a maybe I'm a small-h haoligan. 50 1 understand the acti�ity, and I don't want to take away from it. But i also knaw there's a fot of people in our town that are mayt�e not as physicaliy capable to ga up huge hills, and they have changed o�er t❑ -- e-bikes ha�e been very popular. And I think there's a lot of people that they don't awn two bikes anymore. Page 7fi af 105 ��wr•� a� Eoury�:�i�v ���u JU�I� 16, 2026COiJNCfL iJ1EETlNG Maybe once upon a time t�ey did, but a lat of times they got an e-bike and that's fine. There was a question from the Cguncil about the pedal assist. Most e-hikes, y�u can turr, that flff or its setting. You Ecnow, you ha�e just a tiny f�it, a little bit more. And there's als� the time when the k�attery runs out and then it is just a regular k�icycle. 7here's alsa ar�other issue is that they tend to �e a little hea�ier, and I think there are places that it is a little inappropriate. And if yau're not going to be rude to other people, if you're riding around the path a�d the fountain, it's not a great place to be one riding a bicycle at all or an e-#�ike. Ha�e I done it? Yes. Ha�e I done it when a lot of peaple are there? Or try not to. Right? I mean, you can -- you can understand when it's resp�ctful, when it isn`t, right? 5NIPE5: Yeah. SKILLIC�RN: If it's no one around and you're just trying ta get the ane side to the other, it's probabfy nat a l�ig deal. 5o I think that's where the issu� is, is that there's there are same people that are either don't have that self-awareness ar are being disrespectf�al. And then there's -- we ha�e the vandals. 5o I would prefer to tread as lightly as we can. And I know that -- I knvw this is a very popular item in town. I ha�e a feeling that I'm in a minority on this, hut if we go tao much, are we gaing to get int❑ a nightmare of enfarcement? And yau know, like age limits, like, I'm sorry, peo�le, we �an vote with an Id in Arizona. Kids -- 14-year a€ds aren't walking araund Ids, akay? Voters don't ha�e Ibs here in Ariz�na. 5a how do we enforce that? It means we w�ulcln't. 5❑ I mean, we can't do something we can't enforce. Als�, as -- I mean, I'm a little bit interested in the subject. 6ut I ha�e seen e-bikes that advertise being the fastest e-bike in the world. And they'll gi�e y�u a stack ❑f stickers, and it`s a sticker that is apprapriate far the trail yau want tfl he an. Right? So e�en if it's a class 1 and yflur e-bike will do 4D miEes an haur, you can put the class 1 sticker an there. You knaw, haw -- d❑ you enforce that? And then do we really want to be the town that well, let's peel -- what's underneath your sticker. I mean, that is not the town I want t❑ Page 77 of 105 rnwN aF �our�r��ry �i��s JUN� 16, ?O2E CL'L�fvC1l. MEE�'ii11G be part flf. I prefer ta just ask peaple to be respectful. And I thit�k t�ere`s got to be ways that we can deal with, yau knaw, people vandalizing t�e park by doing danuts and stuff. I am surprised that the current policy and directi�e was that -- allaws bicycles are ❑n sidewalks. Again, I don't Ecnaw if that's -- n❑ one around, na big deal. But if there`s people using sidewalks, I don't think it's appropriate to zaom by them at 2� miles an hour. Yau know, people, yau know cauld get t�urt. It's not respectful, and they tend t❑ be a little bigger and heavier, you know, stuff like that. I don't think it's an issue with adults. Maybe i'm wrang, but an issue with kids, some of it might be trying to get the parents to crack down. I would be curious what the �aptain has to say an enforcement, like, I dfln't think it's going ta be cade enforcement that goes and daes it. I don't think it's going to the Parks ❑epartment. ft's going to he the MCS�. What tools do they need and what real issues are there? You know, I think there's a coupie different issues. One is the �andalism. There are kids that are on e-motos that are zipping in and out of traffic and could get hurt. Unfortunately, you can't legislate everything. I mean, if you're going to do that, yau require e�eryone to wear, like motorcycle feathers and helmets and stuff. You know, it can't be padded, s❑ we �an't regulate that either. Sa I d�n't ha�e all the answers, but I mean, I'm willing ta listen ta a consensus. I think that 5cottsdale's got a better thing. Now you did -- the current policy is none of the dirt trails -- any bike is alloweci on them? 50 like -- SNIPES: No, bicycles are. E-bikes are not. SKILLIC�RN: 50 let`s say -- the �ountain ❑�erlook Trail. You can ride a mauntain bike up and down there? It's a little tight for mountain biking. SNIPES: I don't think that one -- is nat on it. We have trails that are bike -- that allowed mountain bikes and regular bikes. SKILLIC�RfV: 5a I+ke -- I personally I'�e gone to baryl �ph.) Canyon -- [CR�55-TALK] 5KILLIC�RN: -- and I've -- if you go north, that's fine for mauntain biking, right? 6ut Page 78 of 1Q5 TQ1NN DF F�LIP�TAl:� H!I.LS 1if�JE ib, Z[126 �fl'�J�ICIC iIAEETlNG some of the trails are real tight. Some �f them are mare difficult ta use a mountain bike ar e�ien e-bike. But then if there's ❑ther hikers, that �e�omes an issue. SNIPES: Correct. SKILLIC�RN: I just don't want ta �a�e a hea�y handed. SNIPES: Llh-huh. SKILLIC�RN: I understand if this Coun�il wanted t❑ limit the use, especially the Fauntain Park, is that the number one complaint place, the Fountain Park? SNIPES: I would say it's the nurnber ane pedestrian t❑ bicycle locatian -- SKILLIC�RN: Yeah. 51ViP�5: -- but the damage from e-bikes is prabab4y maxed aut at -- Four Peaks. SKILLICORN: At Four peaks. And -- that's just a-- purely damage? SNIPE5: Uh-huh. SKILLIC�RIV: Yeah, are there -- I knaw the Mayor is an avid bicy�list. Are there trails at Faur Peaks that are appropriate for that? I think of walking trails and playground �quipmer�t, haseball diamonds, you know, ❑f�viousEy the tennis courts, I don`t think af -- appropriate bicycle trails there. MAYqR FRIEDEL: There's na -- trail there. 51VIPE5: One of the things --that we'�e dane here is we've f�uilt ten-faot-wide sidewalks for muEti-use. SKILLICORN: Things -- SNIPES: And so t�at's -- SKILLIC�RN: That's attracted the hoodlums. SNIPES: It is. Well, it's alsa attractive to kids learning how t❑ ric�e bikes. And we're not against that. It's -- the speed of and knowledge of how t❑ control the bilce that th�y just get sent aut into the warld and go, hey, go ride. Anci you ride as fast as you can. Yau do endos, you da jumps, and you da what you can da. I did when I was a kid, for sure. SKILLIC�RN: I mean, is it possible ta craft samething tight ahout those high traffic park areas? It doesn't ha�e ta even be class 2. But class 1, 2, I cfon't know. And that's it. I mean, I just dan't want to -- I don't want to be�ame the town that is so restrictive that Page 79 of 105 TvJUi11 Qf' FOLI1�TAlll+ iiILLS JUfVE 1�, 202b �OUNClk.1�1EE1'iN� we're nat fun. SNIPES: There's definitely places that allaw class � anti 2s in -- their parks, and they don't allow Glass 3s. That's -- something that has been written. Again, it's tough ta enfor�e like we talked abvut. SKILLICflRN: Yeah. SNIPES: And so like I said, this is a �ery difficult con�ersatian because it's sa hard to -- there's s❑ many different steps. At least with -- the mapeds, they were pretty much the same. You knaw, there wasn't much difference in them. And sa ❑nce yau set a guideline, you cauld go, yep, that's a moped -- SKILLICORN: That's �ery easy to ha�e an e-bike or electric bike with quite a bit of pawer nowadays. SNIPE5: They tweak them where they take the ga�ernors off of them and all sarts af stuff. 5KlLL.ICQRN: Yeah. And I tio want to point aut I was talking ta a few peaple on the other side ❑ver there at�aut maybe mountain biking in the State Trust land. And we have a very awesame town manager that might be helping fa�ilitate that. 50 -- there, I mean, there's more apportunity. You don`t have to be running o�er peaple ta have fun. SNIPES: Right. 5KILLICORN: 5a I just think if we could craft something very, �ery narraw that would he something that woulci be more interesting than m�. MAYDR FRIEDEL: Would yau be okay with restricting them from Fountain Park? That's a high pedestrian -- area. SKILLICDRN: Yeah. Mr. Mayor, I think it's highly inapprapriate to be riding around Fauntain Park when there's peaple there. The anly issue is -- that if nabody's there, daes it bother anybody? Ancf I can't craft an ordinance. 5NIPE5: Right, it d�esn't work iike that. SKILLIC�RN: Like, oh, you �an ride your bicycle there when it's appropriate. 51VIPE5: We'll put a sign up that says there's 12 peaple in the park. You can't ride now. Page 80 af 1D5 �c�wv n� �nL'NTAi�f F1il.� IUN� 16, �02�:.Ai�fJC�L IVIE[7SM1S SKILLICORN: Yeah, that's the prablem. Naw, I think it's highly inappropriate. I mean, it doesn't even need t❑ be that many people walking around. If you're zipping by pedestrians and a 2�-mile-per-haur e-�ike. And frankly, the it's, yau know, it's �hallenging ta get up ta 2� curving. But e�en, you know, 15 mi�es an hour, somevne walking at three miles an hour and an e-bike zipping by tw❑ in�hes away at 15 miles an haur, it daesn't mix well, right? I was haping more people wauld ha�e common sense. LARRABEE: Mayor? MAY�R FRIEREL: Yes, ma'am. LARRA6EE: ihank yau. Ke�in, would we loe ahle ta mayk�e consider an ordinance ta bridge this gap, right? We -- mig�rt not want to completely ban it for the elderly, that these help them get araund. But at the same time, we need to cantrol some of the crazy. Are we able to put something like reckless driving in there? And that wauld inclucfe e-bikes, bikes, scoaters, whate�er, and just gi�e MC50 a little bit of leeway to say iike, hey, if sameone's being crazy, they're able ta do something about it. Or is that nat really a reakistiG stipulation we cauld add? SNIP�S: Well, I wouid say t�at when you start gaing dawn that line, then I wauld say it's crazy for someone to ride and jump and do a backflip on a bike, but the person that's doing it goes, no, it's just a Wednesday. And that's what we do. 5o I think as saon as yau start trying to cietermine what that is -- Now, you could do, you know, iike t-eckless riding. �ike there's 5cottsdale has taken that appraach of na wheelies. And they put some restrictions like that on it. 5o yeah, you cauid do something alar�g those lines. You'd have to be specific an what yau are and aren't al6owing. LARRAgEE: Okay. Thank you. And as for the vandalism issue, do you ha�e a ballpark figure af how much that has �ost the town so far? SNIPES: I don't; it's -- a lot af man hours mare so than it is praperty damage. Like, when you get a four-ar-five-inch-de�p hole into an infield af a balf field, it takes time to get that cleaned back up and put back toget�er. And then it happens again the next night, Page 81 of 105 TOVJfV �F F�LINTA3N NI�L� IUNE 1b, 2Q26 i:flUNCIL MEEl"IlVG and then the next nigF�t, anci then the next night. That starts to -- calculate inta a goad amaunt af time that the guys are spending an stuff like that, ar traiis where they're thrawing rocks aut anto the sidewafk. 5o you're ha�ing to -- biow flff the sidewalk and then sho�el it back up the hill. ihat takes time. So it's a lat more time damage than --, say, someone daing graffiti or som�thing like that, where there's actual monetary cast to it. LA�RABEE: �kay. Thank yau. And just to add to pre�iaus comments, I agree. I don't want ta be ❑verly hea�y handed. I want Fountain Hills to be fun for kids, but I alsv want it to be safe for yau know, all ages. Li�ing near Four Peaks Park, I'�e been doing a fot of walking around there iately, and I will say I ha�e seen some questionable decisions when it cames to crossing the raad or -- I'm being as polite as I can about it, but 1 know kids. Kids are kids, and they'r� going to want ta dri�e it as fast as they �an. And Chat's what's kind af scary ab�ut these e-bikes is I thinfc these c�mpanies, an the broad scale, are nat taking a lot of responsihility far how dangeraus they �an be. I saw the fairly re�ent stary of, unfortunately, the child that was killed in an accident with a vehicle and how that woman has been really pushing for legislation naw an e-hikes. I-- don't mean to ramble on it, but I d� war�t to see how we can put up just reas�nable barriers on this withaut f�eing o�erly heavy handed, faut maybe just enforce same of the rules that maybe should have been designed inta the hike in the first pla�e. Like if we cauld -- not necessarily a speed fimit, but if we cauld allaw for MCSO to ha�e same common sense enforcement, I think I'd like to see some la�ser language that allows us ta let them make a judgment call. GDODWIN: Mayor, can I suggest -- I mean, this is ob�iously a �ery in-depth conversatian with a lot flf nuan�e to it. Wauld it make sense ta brir�g this back as a wark session or far anather time, where we may ha�e a little more discussian and input? EARLE: Yes, please. GD�DWIN: Just a suggestion. MAY�R FRIEDEL: Yes, let's -- do that. Page 8Z of lU5 T1741;i� �F �I}UNTAIN HILLS 113NE 16, �a25 CCIUNCIL 1REETiNC SKILLIC�RN: I'll make a motion to table and ta ha�e a wark session. EAR�.E: Okay. SNIPES: Thank you �ery much. EARLE: aa we need to vote an that? MAYOR FRI�DEL: I just -- we just need directian. GDOdWIN: Yeah. We'll tafte that direction and go fr�m there. 5KIl.LICORN: Maybe we need a sheriff to bring back the passe to watch the park. SNIPES: Thank yau. BENpER: Mayor. We did have one speaker. MAY�R FRIEDEL: ❑h. Oh. ❑lt�y. MCMAHON: 5helby Blecher. SECILLICORN: He was sitting t�ere stewi�g. I got three minutes. L1NI�ENTIFIED SPEAKER: Come ❑n down. BLECNER: Good evening, Mr. Mayor. Councilmembers. 5he�by Ble�#�er, Fauntain Hill resident. I`m going ta take a little bit different approach to this. When you cons�der the regulatians far e-bikes and e-mato, please cansider the handout that I pro�ided all af you regarding the hidden dangers af e-bikes. You should ha�e all gotten these today. This was written by the American Academy of Orthopedic Surgeons. ❑rthopedt� and trauma surgeons report a drastic surge in se�ere e-bike injuries due to the de�ice's high speeds and hea�y weight. E-bike accidents differ fundamentally from traditional 6ike crashes, more closely mirroring smalE matorcycle collisians. Doctars frequently treat complex and high energy fractures and traumati� brain injuries that typicalEy require immediate surgery. Now, e-#�ikes certainly are fun and a �onvenient alternati�e to cars or for exploring our hilly �ommunity. Unfartunately, the dangers that came with high speeds aren'C always communicated ta the users, making it necessary to form regulations. We certainly need t❑ keep them off of the sidewalks, out of the parks, and put them in the streets and designated bike lanes we ha�e in town. Page 83 of 105 TOLYN {aF ��Ll��#TAIN HILLS lfl�VE 16, 2026 �OUNCIL. MEETING A callision i�etween an e-�ike and a pedestrian will ha�e tragic cansequences. 5o I w�uld advocate far the most restricti�e policy similar to Glendaie; whether it's enforceable ar not, that's an MCSO. But if you don't ha�e the policy, you can't enfar�e it. And I've heard somebody else comment about the fact that maybe we can put 14- year-alds inta a �lass and require some type of li�ensing far tFrem that they �an carry in town. 5a there are alternati�es. 8ut I didn't hear any of you really taik about the severity of the injuries that are happening with e-bikes. Thanit you. MAY�R FRIEDEL: Thank yau. Mo�ing an to item E, public hearing. I'm going t❑ ❑pen up a public hearing with possible action regarding ordinance 2fi11, amending the zoning ordinance, chapter 6 sign regulation, section 6.08 A, drive-thraugh si�n, increase the allowed size of the signs. 5❑ I'�e opened the public hearing. Ra�hael? G�ooWIN: Thank yau, Mayor. I'I� turn this directly a�er to []irector Wesley to walk us thraugh tonight's -- the details ❑f the ❑rdinance. WESL�Y: Mayar-, Councif, good t❑ be with you this evening. I'll try to €ceep this quick. it`s a fairly simple topic, and you've had a long e�ening. So as stated, we're iaoking at a potential change in Chapter 6 of th� zoning ordinance, w�rich deals with signs. Signs we can regulate by time, place and mar�ner provisions, but not by content. As you're aware, there's a major update done of the sign code in 2021 t❑ became �ompliant with those requirements. When we did that, we did not maite any changes in terms ❑f the size requirements related to drive-throug� signs ar the signs -- you have a menu hflard as you go to a dri�e-through restaurant. We've had some questions came up, con�erns a6out -- our current regulations, that they're a little bit restricti�e. And sa we've taken a look at that ta see if there is a passibility af making some Ghanges. 5a here's the basics of our current regulations for dri�e-through signs, with a basi� d�scription �f where they can be and the parameters that they can operate under, The primary �nes of concern or interest here are the limitation on 20 square feet and Page 84 vf lU5 � �WP! OF FC'iiJMTAIN HiiL� JUN� 16, ?d25 CL3tJiVClI MEETlN� fi�e feet in height. Looking araund the �alley, we see that others ha�e larger sizes here and we faund these two spe�ifically. It gets a iittle bit complicated since you can't regulate based on type af sign. 5o cammunities d❑ it differently. These tw❑ I cou[d identifiy as being directly comparabie, and also }ust laoking at general industry standards for haw big these boards typically are. And so yau see the different types there between the small, medium, and the large. So with that information in mind, we went ta the Planning and Zoning Commission and discussed some optians with them, and based an that dis�ussian, its staff in the Planning and 2oning Commission's re�ammendation that we in�rease from 2� square feet to 3� square feet and from five feet of height to se�en feet af height. And these signs -- and so this gi�es you a kind of a relative comparison of the current �fl square foflt, the 34 square foat. 5o with that, Mayor, C�uncil, any questions? MAYDR FRIEDEL: Thank you. MCMAHDN: Wha asked for this? 5KIl.LIC�RN: Sarry. Thank you, Mr. Mayor. Are -- we ha�e a bunch of dri�e-through businesses in town. Is everybody compliant with the current ZO square foot ruie, or are there same that are -- hecause they just seem narmal to me? WESLEY: Mayar. Councilmember. We did not go back out and measure what's there. We'�e haci the same regulation for many years. 5a my assumption is that they are alf compliant with the measurements. SKVLLICORN: And then, Mr. Mayor, ❑irector Wesley, you mention�d that someone said that we were a little small. Was that a business owner flr what was the circumstance? WESLEY� Mayor, Councilmembers, specifically, it's the Qairy que�n that's preparing to came accupy. They're actually looking for samething e�en a little bit larger than this. But we can work with a 30 square fe�t. SKILLICORN: Thar�k yau. Thank you. MAYOR FRIEDEL: Thank you far answering my question. k'm nat far this at all. I think that, yau know, the signs for the Whopper and everything else they'�e warked so far -- Page 85 of 1US T�V1lI�1 AF F�JL'fH i A!N H!L�S JL1N� I5, ZOZS CQLINCIL MFETI!vG they seern to be fine. 7he Dairy Queen is going ta be in a �ery small area and a �ery small drive-thraugh, and it's basicakly asking far a larger sign. I don't see the need far it. I'm not for larger signs in this regard. Like i said, I think they're fine the way they are. 5a I'm not for this. 5K11.LICORN: �hank yau, Mr. Mayor. Plannii��, zoning, it's aiready gvne thraugh. They recammended 30 square feet. Was it unanimous? WE5LEY: Yes, it was unanimous. 54CILLIC�RN: So the Rlanning Zoning Comrnission unanimously said we should go t❑ 30. Y�s. Okay. !'ll make a motian to appro�e as drafted. BENDEf�: I'll second it. MAYQR FRIEflEL: All rig�t. 6efore we get too far ahead here, d❑ we ha�e any ather comment cards, Tawn Clerk? 6ENDER: No, Mayar. MAYOR FRIED�L: Okay. Thank you. Let me �lose the public hearing. And we have a motion and a second. If there's na ather, n❑ other discussion, then we'll ask for a roll call �ote, please. BENDER: Councilmember tarra6ee. LARRABEE: Aye. BENQER: Cauncilmember. Skillieorn. SKILLICORN: Yes. BENdER: Coun�iimember Kalivianakis. KALIVIANAKIS: Aye. gENbER: Councilmember McMahan. MCMAHON: No. BEN�ER: Councilmember Watts. INATTS: Aye. BENDER: Vice Mayor Earle. EARLE: Aye. BENDER: And May�r Freidel. Page $5 vf 1�5 Tt7W�1 QF �QUhJTAlN HIZLS JUiV� Y6, 7_02fi C�3L1NC!L MEETING MAY�R FRlE�EL: Aye. BENDER: Mayar 7-� [sic�. MAY�F� FRIEbEL: 5-1. gENDER: [3flps. Sorry. MAY�R FRIE�EL: That's akay. Thank y�u. We'll ma�e an t❑ item F, which is consideration ❑f passible action regarding professional ser�ices agreement Juiy 2nd, 202� with f�ia-janitorial services for tawn-wide janitorial servi�es. Ra�hael. G���WIN: Director Weldy is gaing to walk us through the details of this eontract. 6ut in genera�, we have a high le�el af janitarial needs thr�ughaut all of our buildings and facilities t�roughaut town. 5a this is a highly competitive con#ract that went thraugh our RFP, process that is here for t�night for award. b i recto r. WELDY: Thar�k you for the introduction, Mr. Mayor and Councilmembers. This is a lang pracess here that was done internally by the tawn staff through the release of a request for propasals. 16 qualified vendors submitted far this, and the amaunt of paperwark for each of us on the cammittee ta go through and re�iew it and lo�k at priCing, and what they're affering is challenging, ta say the least. I will -- hats ❑ff to the rest af the committee that sat on this because they waited for me a little bit longer, because 1 had a lot of other things that I was working on. That said, the -- town owns and is responsible for approximately 59,Da0 square feet of struetures that need to be praperly cleaned and presentable ta the people that they represent. In flrder to accomplish that, we hire contractors t❑ da that work. It seems like a lat af money annually for that type of ser�ice, but if you do the math related to hiring the people and maintaining the equipment necessary, especially the carpet cleaning equipment, the cast goes up substantially. This campany has been vetted. They met all of the qualificatians. We ha�e sat and discussed it internally numero�s times as the contract was coming ta an end, that we'�e used far the fast five years. This is t�e best bet for this community. Not anly does it Page 87 af 105 TO;NN CF F�UNiAIN HlLLS JIJN� 1b, 2D26 CflL1NCIL MEE7ING address the dai�y and nightly cleaning services, it als❑ includes carpet �leaning for the cammunity center and town hall. And importantiy, it includes parter ser�ice for aur special events at the community center, ar if there's a big e�ent at a park, or a trailhead, we ha�e the ability ta address that up fr�nt. And when it re�pens the following day, it's ready to go. And that is the obje�tive here. It is a long, drawn-out, �omplicated review, and process, and contract. You'll note that there is a �ery lengthy staff rep�rt designing this process or explaining this pracess, and how we arrived at this tonight. With that said, I will certainly do my hest t❑ answer any questians yau may have related to this agreernent. WATTS: I assume that the same s�ope of work was in this RFP that we used previously? WELDY: Mr. Mayor, Councilmember, no. This scope af work was substantially more work from lessons learned. WATTS: 5uch as strip and �lean vinyl, VCT type tiles, and so an. bid yau just learn from your past errors or o�ersights and then manage this RFP accordir�gly? WELDY: I wauld hesitate ta say errors, but o�ersight? Yes. And demand? Yes. And parter services for special e�ents? definiteEy. We certainly did not make accammodations for that in the last agreement or the last tw❑ agreements a�er ten years. It has simply become more �f a demand an what we're daing t❑ meet the standards that we'�e adopt�d, ar that each indi�idual facility owner �r manager has adapted. WATTS: Thank you. WELbY: You're welGome. MAY�R FRI�DEL: I think -- Vice Mayar was next. EARLE: 1'd {ike t❑ rnake a motian t❑ appra�e. And you want tfl se�or�d iC? SiCILLIcoRN: second. EARLE: �kay. MAY�R FRfEb�L; ❑o we have any speaker cards? BEN�ER: No, Mayor. Page 88 of 105 ,�awr� r�F Fauy� ain� �:�� � 1i.�NE 16, ZUiSCUUiVCII ME�TING MAYDf2 FRIEDEL: We don't. Okay. So we ha�e a motion and a second. Rall caii, please. SKIl�LICORN: Dh, I'm so sorry. May i ask a �ouple questions? MAYDR FRiEDEL: Sure. SKILLICflRN: �kay. Thank you, Mr. Mayor and Qirector Weldy. And you knaw, looking over it, it seems detailed. 16 bidders. Really appears that the RFP pracess wflrked. I don't have any. I'm not skeptical. And frankly, for the breadth ❑f wark, the dollar amount doesn't seem whally inappropriate. I am �uri�us though, is there policies or are there certain -- you know, it sounds like there's a lot of restrooms, right? Are there certain things that because the tawn allows more af it, ar t�e restroams are open longer hours or certain parks that are warse than others? S❑ is there is there a certain -- either activities or la�ations where it's dri�ing more of the wark? WEL.bY: Mr. Mayar, Councilmember. S� primarily, the community center is ane of the biggest customers that we ha�e. And that's because of the nature. It's intended nature is to be a wekcoming center for all ages. And there are an uneou�table number af pragrams, and they are well attended. And th� second one after that is special e�ents. The town spansors special e�ents, and those spe�+al events generate an incredible amount af debris and require cleaning the restraam facilities at Fountain Park or any one af the trailheads ar the parks. If yau walk in there and there is a prablem, I wauld be hard pr�ssed to belie�e it's n�t already on the list to be addressed, or it was simply overlooked, and they're working on it �ery shortly. I wauld argue that I would put our facilities up against any facility in this �alfey in regards ta cleanliness and the quality that we're expected. $KILLICORN: And Mr. Mayor, directly, I don't think anyone was saying that it's nat clean or anything like that. I'm actually surprised that the eommunity center is the higgest driver. I w�uld ha�e thaught same of the parks or somepla�e �ery active, you know, ❑utside would it be mare af the, you knQw, the -- -- guilty party, basically. 6ut and I just, Page 89 of 1U5 T�►�h t]� Fp�N��41N HILL5 fUNE 15, 2fl26 CaUh�i.IL MEETING you know, I'm just kind of curia�s because the staff can, you know, if there's �ertain areas that are a problem ❑r eertain times of day that are problem, you know, there are things we can do to adjust that, but I don't think this is inappropriate. It Inoks like it's been very thoraugh. ! mean, e��n menti�ns not having sla�e laf�or for the lJyghurs. I mean, that`s --pretty thorough. 5o I'm happy to appro�e it. It's in there. There's a-- China palicy in here. MAYOR FRI�DEL: So we ha�e a matian and a se�and. Can we get a roll �all, please? 6ENDER: Councilmernber 5killicarn. SKILLICORN: Yes. BENDER: Councilmember Watts. WAT75: Yes. BEN�ER: CaunGilmember Larrabee. LARRABEE: Aye. BENDER: Councilmember Kalivianakis. KAI.IVIANAKIS: Aye. BENbER: Councilmember McMahon. MCMAHON: Aye. BENbER: Vice Mayor Earle. EARLE: Aye. BENDER: And Mayor Friedel. MAYOR FftIE�EL: Aye. UNIDENTIFIED SPEAKER: Mayor, seven-zero. MAYOR FRIEDEL: Thank you. And I think lustin's gaing ta stay here for this one, too. GOQbWIN: Uh-huh. EARLE: Where's he going? G�DbWIIV: I think he �as to get his correct paperwark. MAYDR FRIE�EL: All right. Item G is consideratian af possi�le acti�n regarding the purchase of a Ditch Witch, a vacuum exca�at�r from the Charles Ma�hine Warks. Page 9U of lU5 t�ill��! Or F�LFNiAIN HIElS llfiVE 1�, 2UZ6 Cti7UNCIG MEETliVG Town Manager. GOO�WIiV: That is correct. Justin wants to buy a Ditch Witch. Have you read the staff report? And he'fi probably co�er this. We da ha�e a smaller unit af the style that is just not sufficient. So staff is IoaEcing to upgrade for better -- use in the tawn. lustin, waufd you like ta walk us thraugh that? WELDY: Yes. Thank you again far the introduction and the opportunity. I've stood in fr�nt of this elected bady at this location and others, and explained that in Public Warks and all the divisions in Public Warks, we do not hav� any wants. �ur pali�y is ta address needs. We need to be mare efficient with aur -- what is ir� the professianal industry referred to as a soft dig. 5o this is not a me�hanical l�ackhoe or trenching devi�e. It is rather a 6Qd- gal�on trailer maunted �aGuum cleaner with a four inch hose on it. This piece of equipment is primarily used ta excavate the areas f�r signs. We have in excess of 8�00 signs in this community. 5ome of them get knocked down. Same ❑f them are autdated and need to be replaeed. The other use is for cleanir�g out the small areas �f drainage. We clean -- ga in and clean out that secfiment. This is where typically you cannot get mechani�al equipment. !t's equipped with a high pressure washer and we ha�e the ❑ption t❑ alsa use compressed air. 5o the �igh pressure water essentially loosens the material up and allows it to be vacuumed. In areas where we're gaing to be working around electricity, we then oftentimes switch to the high pressure air. It's the same functian, hut it eliminates the water. The town manager spoke earlier that almost eight years ago we purchased a relati�ely small ane ❑f these. It holds about 100 gaflons, and we`ve certainly made it work. But with the incr�ased workioad in parks and the additianal stuff that the street de�artment is daing, the Gapacity is simply toa small. A good example, we did an audit of our water meters and our baekflaw pre�enters, and we use this devi�e to go and clean all of tt�at material out. To clean out 15 ❑r 2n of those requires two ar three trips bacfc to what we refer to as the bus harn. This is an Page 91 of 105 iDWlu pF F��7NTAIPd HILLS JUiVE �.(i, 2026 COUIVCIL �RfE7IRG area where we place that materiaf, allow it t❑ dry, and then we utilize it at a later date for ather things. if the Parks department is using it to exca�ate any of their irrigation or any af their sprinkler heads, they also have to stop what they're daing and tra�erse the park, get back out regardless af the location. Go and dump in. All af this takes a little bit af time and is nnt as effi�ient as we w�uld like to see. The intent, with the Caun�il's appro�al to purchase this tonight, far which we ha�e funding in the Public Works and 5treet aepartment, is Public Works would primarily use this one, and the smaller one, which is self-Gantained and very efficient, would then be primari�y used k�y the Parks ❑epartment. So what we're asking for is the authority t� spend money an something that we need to be more efficient at what we do. With that, I'll be �appy to answer any questions that I can. SKILLICORN: Thank you, Mr. Mayar and Qirector Weldy. In current situations, do we just use the iittle ane or do we rent a bigger one? WELbY: Mayor, Coun�ilmember. We ha�e not been able to fir�d one for rent. The nature of this type of wark, the filters and stuff, require a little bit af time and effort ta clean, and they don't really rent them aut unless yau're going to da it far a month or so. 51{ILLIC�RN: Okay. And I distinctly, 1 thought, EPCOR -- I think they use a service. Like I swear the guys that �ame aut were not EPCOR employees that were using it, but they're -- I mean, this is going ta last a long time. The amortized cost is very low. I don't see a reasQn t❑ -- complain about it, so I'll make a motion ta appro�e. EARLE: 5e�ond. MAY�R FRIEDEL: Cauncilman Watts. WATTS: Justin, do we have a-- service te�hniciar� that we ser�ice all this? It seems like we're acquiring mare and mare equipm�nt. Q� we have technicians that are certified ta maintain this? do we have tfl go back to the manufacturer for maintenance? WELdY: Mr. Mayor, Councilmember, the general maintenance of changing fi�ters and cleaning it, oil, those types ❑f thfngs we'll do in-house. But anything after that will go back to the manufacturer's re�resentative. Page 9z of iU5 rawn� vF FUu�vTA�n� Ei:��s JLNE 35, 2��[i COU�lG{� MEFTf�G WATTS: Is it prudent t❑ start thinking about ha�ing a technician that can wark ❑n all of the different equipment that we're acquiring, and then get them certified so that they can da the work instead af gaing f�ack to third-party? WEL�Y: Councilmember, we have had that discussion internally. We I�st our -- I didn't say we lost -- our fleet mechanic retired after 2D years, that taok care of the fleet in open spa�e and e�erything else. It's kind of challenging to fill that pasition and we're certainly sti11 ha�ing thase internal discussions. But for right naw, we have several peaple that are �apaf�le of doing a percentage of the work, and the balan�e af it goes ❑ff to the manufacturer's representati�e. WA�TS: Thank yau. WELbY: You're welcome. �CALIVIANAKIS: 5a we had a moti�n, bid we get a second? We did. �kay. Can we get a rali �all, please? 6ENQER: Just for the record, we have no speakers. Cauncilmemb�r Larrabee. LARRABEE: Aye, BENDER: Councilm�mber McMahon. MCMAH�N: Aye. BENQER: Councilmember 5killicorn. SiCILLICORIV: Yes. BENDER: Councilmember Kalivianakis. KALIVIANAKIS: Aye. BENdER: Councilmember Watts. WATTS: Aye. BENdER; Vice Mayor Earle. BENDER: Aye. MAYDR FRIEDEL: And Mayar Friedel. MAY�R FRIEDEL: Aye. Page 93 of 105 TQWfV [3F FD�JiVTAIN HILLS JL1Ps� 16� ?D25 COUNCIL MEETING BtN�ER: Mayor, se�en-zero. MAYOR FRIE�EL: ihank you. ltem H is �onsideratian and p�ssibie a�tian for the Arizona �ities and 7owns weekly legislative bulletin. Does anybody have anything? Go ahead. 5KILLIC�RN: aid I hit the wrang? 5arry. Thank you, Mr. Mayar. I mean, well, it sounds like the legislature passed the budget. I ha�en't heard that the government -- go�ernor has signed it. But I believe they -- oh she did. They signed it taday. Sa they have t❑ da it through the spe�ial session t❑ come back. It sounds like there is some exciting things that are passed. It was a really nice kind of last minute gift on Friday that a lat of things passed and saunds like the go�ernor signec� a bun�h af things, which is new. 5o goad. Mo�ing farward, we --don't have ta renew ❑ur taxes. Yay. KALIVIANAKIS: 5eeing nothing else, we'If m�ve on to the call to t�e public. Do we ha�e any speaker cards, �awn Clerk? UNIDENTEFIEQ SPEAKER: Yes, Mayar. We do. We have eight; �iana Tarian, follawed hy Patti Tarian, follawed by Linda 5ommo, f�ll�wed fay 5helby Ble�her. T. Torian: Hello. Thank you for the ❑pportunity ta speak. My name is Tiana Torian Woad. I'�e resided here for o�er 30 years. With an election approa�hing, many residents are considering what our town needs most. For many, the answer is simple, friendliness. That's what's missing frQm Fountain Hifls these �ays. As a town that depends on taurism, friendliness is our bread and butter. Friendliness is economic suC�ess. Partisan politics are the antithesis of friendliness and ha�e no place in our local ga�ernment. Issues, such as namin� Givic spaces o�er cantro�ersial put�lic figures, banning DEI initiatives, making English ❑ur affi�ial tflwn language, and other o�ertly partisan items do not communicate friendliness. They do not communicate that this town is for everyone, and they do not improve aur li�es as residents. And the problem extends beyond policy. When the press table is remo�ed, when oppflrtunities for public camment are Page 94 of lU5 TOWN OF FOL1NTAli11 H[�LS JiiNG lb, 2026 C6U�dCll M�ETIN� restriGted, and when disagreement is treated with cantempt rather than respect, a message is sent. Some vaices matter mare than ❑thers. That to be heard, a citixen must first agree. That is nat the kind of local go�ernment our cammunity deserves. Our efected ❑fficiais, whoe�er they are, should listen to all residents and address the issues that matter most to this town, rather than fo�using on partisan pafitics and smear campaigns against their oppanents. As a to�rvn, we �ould argue fare�er about who is to blarne for this di�isive environment. Sut for me, this upcoming election isn't abaut who started it. It's abaut who's willing t❑ stop it. Thank you for your time. MAYDR FRiE��L: Next speaker. P. TORIAN: Thank you. Good e�ening. My name is Patty iarian and I've lived here since 19$5. ��Cay. So with efections coming up, I wauld like to just express same concerns that I ha�e as a resident, of things -- changes that I'�e seen En this town that really cancern me. ❑ver the last cauple �f years, I believe that many in this Cauncil l�a�e suceeeded in turning what used to be a ga�ernment f�cused on town business into a partisan, ciivisive entity that has changed the spirit ❑f our town. Cauncilmembers who swore tfl govern the town ir� an impartiai manner have instead injected their own politica! and religious ideology into governance. Cases in point, they strong-armed the community center into allowing a Republican Party ChrisCmas tree, despite the fact it's widely understaod that Christmas is a nanpoliti�al celebt`ation. They attempted t❑ pass a motion to rename the cammunity center ta honor a polarizing figure who has na connectian to our town. They endeci �ur contract and years ❑f partnership with Republic Waste far a campany that has ne�er that has never served a c�mmunity of mare than 55DQ. Their researeh far Mr. 5killicorn included noting that unlike Reput�lic, Uni�ersal Waste has no QEI or human rights campiiance poli�ies which da r�at apparently align, accarding to him, with aur town values, which 1 find kind af surprising. Impartial research should have fflcused solely on service pra�ided, reliability, and Page 95 vf lU5 �G;NN �F FD'JlViAIN ii�l.:5 :UNE iF, 202b COLli��tL PJkEE74r'yG financial soundness. We can only hape that the reduction ❑f fees cio�s n�t came witFr paor service and unreliability. Regardless of strong community pushback, they are talking abaut moving the Museum af Time out of its space. A cultural treasure of our community, lacated ideally along the Dark 5�ties oiscovery Center and the lik�rary. They changed the �ampaign sign pla�ement ordinance that limited areas where these signs could be displayed to a free-far-all ❑f signs littering aur streets and allowing bigoted, hateful signage. �nce again, guided �y their palitical ideolagy, n�t hy what the residents of this town want representing us as peopfe drive through our commt�nity. They ha�e moved the CTP to the end of ineetings. Thank yau for the four hours that we all had to end�re. This really shows w�ere yau put the impartance of listening to us, just listening to aur thoughts and our cancerns. You made us sit ihrough this. Thank you for that, flkay? They have remaved the media desk because our lo�al paper is not always in fa�or of their policies. I hope this electian, w� will be electing a Council that returns ta nonpartisan management of our town, focusing on things that benefit all residents and keep the toxic, divisi�e idealagy that we see all around on the internet and people associated with Cvuncilmembers out of its governments. 7hank yau. MAY�R FRIE�EL: 5helby? 6LECHER: 1 didn't see Linda here. Good evening, Mr. Mayor. Town Cauncil. 5helby �lecher, Fountain Hills resident. A few people in tawn seem to ha�e a problem with orange signs. They �laim they are �ulgar, uncivil, and inappropriate to display on th� streets af aur wonderful t�wn. Coming from the battles of LA palitics, I say that it's a�s�lutely ne�essary t❑ shock peaple int❑ reading and thinking about the message on these arange signs. Frankly, I disagree with al! the detractors and challenge th�m ta put forth an �xpEanation f�r their apir�ians, to ga along with their �ne-liners that they tass aut on Facebaok. But fet's g❑ a step further here. The crowd screaming for civifity, says nathing abouC the $18,327 that a Councilmember �ost the town. Instead, instantly d�flecting, t� quate, Page 96 of 105 �cwn� oF F�uruTA��v H��� JUNE T5, 2�26 COUEUCIE PAECiING how rnuch did Gerry's persanal lawsuit cost us, unquate. Mare false narrati�es in the same post. Quote, Gerry used the actual tawn laga in a social media ad �ampaign, unquote. The post says nathin� about how the �andidates receiveci a cease and desist order from the Tpwn Attarney, and on�y one refused ta listen, costing the town $18,327. It wasn't Mayar Friedel. He conformed to the order. Mare false narrati�es from a-- pralific Faceboak poster. Quote, isn't it ironic that one of the main reasons we may not ha�e to impose new taxes in the arrival af 5prouts, with new hausing for residents, something Gerry and his clan vated against, unquate. For thase uninformed, there was ne�er a vate �n bringing Sprouts to town. The vote was on rezoning a parce! almost a half a mile away t❑ allow 30�-p�us, mostly one-bedraam apartments t❑ be built. Misleading camment? I thinl� it was. The CounciEmember herself goes t❑ Facebook to requate what someane efse said. Avoiding the problem af maicing the direct qu�te herself. Quote, the �redit for 5prauts helangs to economic de�elopment director Amanda Jacabs, Sandra be�elopment and the four Cauncilmembers wha had the vision to appro�e rezoning, unquate. Re2oning what? Again, it wasn't for 5prouts. 5he continues ta requate Jacafos, quate, attracting Spr�uts Farmers market would not ha�e been possible without the Fountain Hills Tawn Council appro�ing zoning changes in ��Q4, unquote. Persona�ly, I feel this is more than just a bit twisted sit�ce t�ere's no �ormal statement by 5prouts affirming this. Could it be passible that 5prouts, who has a store in Scottsdale in any secflnd street, is simply averburdened at that lacatian, and needed a second lacation and chase Fountain Hills, n�t be�ause ❑f the 300-plus one bedraom apartments, but be�ause we ha�e a higher median income shopper and this lacatian was their best chaiee? The more you fook into this, the cfearer the mani{�ulation becames by the Councikmember, who just cost the town $18,327. Thank you. BENDER: Th� last four speakers are Leah Phillipe and Jonathan Phiilipe, followed by Page 97 of 105 'fr3�"!N GF F�L'NTAlfli'�iLL liJf�E 1�, zD25 C'JUNCIL !l�IEFTINci Beth Culp and Jerry Butler. L. PHILLIPE: Goaci e�ening. KAI.iVIANAKlS: I'�e got a point of order. The clock started when she was walking up here. I think we shauld give her a full three minutes. BENDER: I'm sa sarry. MAYOR FRIfDEL: Go ahead. KALIVIANAKIS: Are you gaing to address my point ❑f order? MAYOR FRIEDEL: It's not a valid point of order. L, Phillipe: Good e�ening. My name is Leah Phillipe, and I recently turned 18. This year I will be voting for the first time. When I was 17. years old, I started carrying around a pocket Constitution because I wanted t❑ understand haw our cauntry works, why every �oice matters. I ha�e always loved learning about ga�ernment, histary, and the people who dared to stand up for what they believed in. I am also a person with a disabiiity. Grawing up has taught me that inclusion is more abaut -- it's more about -- sorry -- it's about more than ramps or accommodations. It is about whether people fee[ seen, respecteci, and welcamed in their awn �ommunity. ��er the past few years, I have watched my little brather stand at this very podium and speak with remarkable courage. He came here t❑ share his ideas �ecause he belie�ed his vai�e mattered. Watching adults attack his character rather than respond to his ideas was heartbreaking. It reminded me that young people pay attention, n4t just ta what adults say, but to how they treat athers. i have learned th�t a cammunity's character is not measured when we -- when every�ne agrees, it is measured by how we treat one anath�r when we disagree. As I prepare to cast my first �ote, my hope is sim{�le, that e�ery young person in Fauntain Hi11s is safe to participate, ask questions, share their �iews without fear of personal attacks. I hope that my -- that the exampfe my generation inherits is one of respect, kindness, and the belief that every person deserves t❑ k�e heard. Thank ypu �ery much. Thank you. [CR�55-TALK] Page 98 of 1�5 TG'Jl.ry OF FGLIN¢AIAI HIi.�S JiJ'dt i5, Z�25 C�UHt:iL iVi��ilNG MAYDR FRIEDEL: That's enough. J. PHILLIPE: Good Evening, Mayor and Coun�il. My name is Janathan Ravid Philippe, and it's 4�een a little whife since I'�e spoken befare you. I'�e been busy finishing my sixth straight honor roll semester and �ompletit�g ar� early entry engineering �ollege course. School has been my priarity, and I'm proud of what I'�e accomplished. I also stepped �ack fram speaking for a while k�eeause something happened that I wasn't prepared far. Instead of simply disagreeing with my ideas, some adults publicly attacked my character, my family, and questioned my abilities withaut e�er e�en speaking to me. As a 13-year old, that was difficult ta understand. Tonight, I'm not here to ciebate publicly. I`m here to ask something much simpler. Please remember that every m�eting and political a�tion teaches the next generatian what leadership looks like. Dn the July 4th, I'll turn 14. In just four years, I'll be able ta vate. My alder sisterjust turned 18, and she'll be -- and she'll be voting just for the first time. Watching ❑ur c�mmunity has shown both of us that participating in democracy matters. Growing up in F�untain Hills, I learned that this is a �ommunity where character cQunts. We were taught that respect isn't samething we show anly when we agree with -- only with what we agree with. ft's something we shaw everyone and ���rything. 7he �uha�itcher Rebbe taught in a time of ir�creasing darkness, we must inGrease the light. Tonight I'm asking you ta be that iight. fVot because we all have to agree, k�ut because e�ery meeting teaches my ger�eration what leadership looks like. Please -- let what we learn from you be respect, character, arrd courage. Thank you for your time. CULP: I just have to say that I think that was the most remarkable series of disrespectful events !'ve e�er seen in a tawn Council meeting. You know, all these peaple are waiting here to speak. Councilmember 5killi�orn i$ allvwed to speak for 15 minutes abaut his adventures an e-bikes while we wait. Meanwhile, Councilmember KaNvianakis, Councilmemk�er McMahon, if they e�er speak more than twa minutes an any tapic, they get the gavel. On top �f that, we ha�e twa Page 99 of lU5 TDWhf OF FflUNTAIN HIlIS IUNE lfi, 202fi COIJNCiL MEETIfJG young peQple coming ►�p here, and I watched Mayor as yau started the clock as they approached. 3� seconds had elapsed by the time one woman -- the young woman, got up here. 20 seconds elapsed by the time the young man got up there. When -- Councilmember Kali�ianakis called a poir�t of order, you shut her down with a gavel. And the second time you shut her dawn with the sharpest gavel I've heard. And I've heard some sharp ones in this dais -- from this dais. I want to talk now about the fact that it's appa�'ent that the majority on this town Cauncil daes not care what 4� percent ❑f the peaple in this town think ahout, the People that aren't interested in culture wars, the Peaple that want t❑ know answers abaut why Republic ServiCes was terminated. And when Counciimember Kalivianakis tried ta ga into that, she was shut dawn just like she shut down tanig�i. This is wrong. We see what's happening. We see that whene�er we speak, you take time from us. You find excuses to shut us dawn. 5helby Blecher stands up there and persona�ly at'taeks Councilmember Kalivianakis, w�en that is nat allowed by the rul�s of procedure that this town Council enacted. gut it's akay when they do it. But if I do it, if I �riticize Jennifer Wright, l'll get ga�eled. I will g�t ga�efed. You have to start equally enforeing the rules, Mayar. We see you. We see the lack of transparency. We see the 25 �xecuti�e sessions. When you said you didn't foresee any, when Caun�ilmemk�er Watts said he was going to bring them, bring same kind of resolution forward that wauld iimit executive sessiar�s t❑ personnel matters. This has got to change. It can't go on. 5ince you'�e had fi�e on th� majority, every time there is a cantested vate, the same pattern is follawed. Cauncilmemb�r 5killicorn invok�s the �all af the qu�stion. He suspends the rules. That shoult{ be an extraordinary measure. You allaw him ta do it and you all support him in doing that t❑ shut down discussion. You'�e done it on e�ery single cantrfl�ersial point for ane reason and one reason only. So we can't hear from the people wha represent us and we're tired af it. MAYOR FRiEDEL: Now, I wifi respond to yau, since you did call me out personally. Most Page 100 of 105 TQWhI OF F+JUIVTf11fV Hi�iS 1L�HE 15, 7U26 C�:JN�Ii M�ETiNG af these e-sessions ti�at we're cfealing with are be�ause of some of the nansense that you created pers4r�ally. CIJLP: May I respand? MAYQR FRIEDEL: Na, you may nat. And secondly, -- the interruption5 by Cauncilwflman Kali�ianakis are not g�ing to be taleraCed. If that lady who was disabled needed more time, I was prepar�d to gi�e her the time. 5he dfles nat need to interrupt ti�e meeting to da that. Next speaker please. BUTLER: I see fi�e seconds ha�e already elapsed since I tried to walk up here. I'm 86 years ❑Id. I wauld hape you'd give me a little �it mare time. MAYflR FRIEQEL: We'll gi�e you five seconds. We'I! gi�e yau ten if yau need it. BUYLER: Thank you. My name is Jerry 6utler. I'�e not been here in a long time. I'm Fountain Hi�ls property owner, 27-year full time resident. Far the last Z5 years, I'�e been a community �olunteer doing many things t❑ ad�anc� this community. My background is civil engineering and as yau might assume, my most recent voiunteer �ommitment has been for the Citizens Ad�isory 5treets Committee. That was made up af 12 nanpartisan residents with a �ombined experien�e of 250 years addressing the needs ❑f �ur streets. Tonight, I'm here to talk abaut streets on two fronts, one to express my disappointment for canceling the street worfcshap that was scheduled for earlier tociay, and to commend aur town staff for the work they did in preparing for that warkshap. Now, regarding the workshop itself and the presentation that was ,❑r available, as a member of th� 5treets Committee, I spent 20 m�nths exploring all aspects of the netwark and based on my engineering backgraund, I want e�ery�ne here and watching to know that our town staff did an amazing job preparing far the warkshap. The information that was ready to be presented was �ery thorough and to the staff, thank you. Regarcfing the second point, my disappointment. After three years ❑f silence since the 5treets Committee filed its report, I was looking forward to today's workshap and must Page 101 af 1D5 i r]V11N tiF FO:lNTAIN Hii.lS ]UfVE 2.6, 2t72fiC41111�CiL MEEFEiVG ask why was it canceled and when will it be rescheduled? The reason for these tw❑ questions is our streets, whi�h happen to be the community's iargest asset, are deterivrating at a rapid rate. When the �ommittee filed its report, i want t❑ quote, it stated withaut significant additianal re�enues, street -- the street netwark maintenance le�els cannot be a�hie�ed, which means streets will continue ta deteriorate, creating faifin� conditions from whi�h the town cannot possibly recover. Unfartunately, that statement is correct. Even though many milli�ns Qf dollars have been injected int� the street networit in the last three years, it's n�t enaugh. Case in point is, three years aga, aur backl�g for poor and �ery poor streets represented 5.4 pereent of the network. Today, it's nearly doufale, at 1(3.4 percent. Four years ago, Mr. 5killicarn, you had a Roads First program that promised to find needed streets -- needed street funds from the existing revenues. Haw's that gone? Are you prQud ❑f what's been accomplished? To Mayor Friedel, based ❑n your financial background, where do you foresee finding more re�enues t❑ fix �ur streets? Ir� �losing, why was the workshop canceled and when will it be rescheduled? Time is of tne essence. Dur streets c�ntinue to deteriorate daily. They are nanpartisan. ihank yDU. MAYOR FRIEbEL: I'll answer your question. I think we're gaing to try and bring -- that back soon. Yeah. Yeah. It's not an agenda item, but we will bring it �ack. Vice Mayor, did you ha�e something? EARLE: Are we ready to ask far samething to be future agenda items? Is that rrext? MAYOR FRIEDEL: Is that the last speaker? BENbER; Yes. MAYOR FRIEDEL: Okay. Thank you. MAYDR FRIE�EL: Next is comments for the tawn manager. SKI�LICQRN: Because he brought it up. EARLE: I'd like ta da it naw. Page 10Z of 105 rcw�j a� Fo�n�rair� �i��s �u�� ib, 2Uz� �C�UlVCl4 M�ETiN.r'i MAYaR FRIEdEL: Qa we have any comments for the town manager? EARLE: I do. MAY�R FRIEDEL: Yau do? ❑kay. EARLE: I did have ❑ne prepared aiready, so I did. I would like t❑ request that the street repair research work session be rescheduled as saan as possible. And -- because staff has been preparing for this sessi�n and was anticipating the summer to continue that work. 5❑ I'd like to get ta it and look for it forward to what -- the work you've done. Thank you. MAYOR FRIEDEL: Anything else for the 7own Manager? We'll mo�e on to future agenda items. Anybady have anything? Can I get a motion t❑ adjourn? at�. Go ahead. KALIVIANAKIS: Thank yau. Yes. As far as a future agenda item is cancerned, I share Mr. Butler's �onCern. Without any explanation given to me whatsae�er, the wnrkshop was puiled today. When we're talking abaut fixing the roads, we bett�r talk about how we're gaing to fix the roads. So I wauld like to call tonight on the first Town Council meeting after the break, to either put the workshop ba�k in ❑rder on the first day, or to make this an agenda item for discussion anly, so we can talk about how to fix the roads in a practi�al sense. Can I get a se�ond? EARLE: Second, secand. KALIVIANAKIS: Can I get a third? We're just talking about the roads. EARLE: You already hav� it. LARRA6EE: Paint of information. Wasn`t that alr�ady requested? MAYDR FRIEDEL: Yes it was. It was already requested. LARRABEE: ❑kay. MAY�R FRIEDEL: Can I get a motian? k{ALIVIANAKIS: 5o ma�ed. MAYDR FRIEDEL: Se�ond? Page 103 of 105 TflWPJ QF FQIiNTAiN HILLS JUNF 1fi, 2UJ6 tpUNCIL MEETIiVG EARLE: Second. MAYDR FRIE�E�: Ail tn favor? ALL: Aye. Pag� xa� af ias 'f�lA�'V'JF F�JL'�1TAIN HILLS ;ilf�E 1F, 2a�6 C�L�NCi! MEF"� ING Ha�ing no further business, Mayar Gerry M. Friedel adjourned the Regular Sessian �f the Fountain �lills Town Council held on June �.fi, 2Q26, at 9:35 p.m. APPROVED: � GERRY FREI EL, MAYOR ATTEST: ��� BEVELYN J. BE DER, TDWN CLEfilC CERTIFICATION I HEREBY C�RTIFY THAT THE F�REG�ENG MINUTES ARE A TRUE AN❑ CORRECT C�PY �F YHE MINUTES ❑F THE REGULAR TOWN C�UNCIL MEETING OF THE �OWN C�UNCIL, TOWN �F F�IJNTAIN HILLS, ARIZONA HE�❑ ON �L1NE 15, 202G. I FURTHER CERTIFY THAT THE MEETING WA5 ❑ULY CALLE� AND HEL❑ ANQ THAT A C�LIORUM WA5 PRESENT. ��1 ��. BEVEI.YN J. BE bER, OWN CLERK Page 7.U5 of 1�5