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Home My WebLink About2022.06.07.TCRM.Agenda.Packet �tiCAIN iii, C) NOTICE OF MEETING REGULAR MEETING Y " FOUNTAIN HILLS TOWN COUNCIL Amendment Mayor Ginny Dickey Vice Mayor Gerry Friedel Councilmember Peggy McMahon Councilmember Sharron Grzybowski Councilmember Mike Scharnow Councilmember Alan Magazine Councilmember David Spelich TIME: 5:30 P.M.-REGULAR MEETING WHEN: TUESDAY,JUNE 7,2022 WHERE: FOUNTAIN HILLS COUNCIL CHAMBERS 16705 E.AVENUE OF THE FOUNTAINS,FOUNTAIN HILLS,AZ Councilmembers of the Town of Fountain Hills will attend either in person or by telephone conference call; a quorum of the Town's various Commission, Committee or Board members may be in attendance at the Council meeting. Notice is hereby given that pursuant to A.R.S. §1-602.A.9, subject to certain specified statutory exceptions, parents have a right to consent before the State or any of its political subdivisions make a video or audio recording of a minor child. Meetings of the Town Council are audio and/or video recorded and, as a result, proceedings in which children are present may be subject to such recording. Parents, in order to exercise their rights may either file written consent with the Town Clerk to such recording, or take personal action to ensure that their child or children are not present when a recording may be made. If a child is present at the time a recording is made, the Town will assume that the rights afforded parents pursuant to A.R.S. §1-602.A.9 have been waived. REQUEST TO COMMENT The public is welcome to participate in Council meetings. TO SPEAK TO AN AGENDA ITEM, please complete a Request to Comment card, located in the back of the Council Chambers, and hand it to the Town Clerk prior to discussion of that item, if possible. Include the agenda item on which you wish to comment. Speakers will be allowed three contiguous minutes to address the Council. Verbal comments should be directed through the Presiding Officer and not to individual Councilmembers. TO COMMENT ON AN AGENDA ITEM IN WRITING ONLY, please complete a Request to Comment card, indicating it is a written comment, and check the box on whether you are FOR or AGAINST and agenda item, and hand it to the Town Clerk prior to discussion, if possible. TO COMMENT IN WRITING ONLINE: Please feel free to provide your comments by visiting https://www.fh.az.gov/publiccomment and SUBMIT a Public Comment Card by 3:00 PM on the day of the meeting. These comments will be shared with the Town Council. Town Council Regular Meeting of June 7, 2022 2 of 5 NOTICE OF OPTION TO RECESS INTO EXECUTIVE SESSION Pursuant to A.R.S.§38-431.02, notice is hereby given to the members of the Town Council, and to the general public, that at this meeting, the Town Council may vote to go into executive session, which will not be open to the public,for legal advice and discussion with the Town's attorneys for legal advice on any item listed on the following agenda,pursuant to A.R.S. §38-431.03(A)(3). 1. CALL TO ORDER AND PLEDGE OF ALLEGIANCE—Mayor Dickey 2. MOMENT OF SILENCE 3. ROLL CALL—Mayor Dickey 4. REPORTS BY MAYOR, COUNCILMEMBERS AND TOWN MANAGER A. RECOGNITION: Stellar Students of the Month of May 2022. 5. SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS A. ' Officc. Moved to the June 21, 2022, Town Council Meeting. 6. CALL TO THE PUBLIC Pursuant to A.R.S. §38-431.01(H),public comment is permitted(not required)on matters NOT listed on the agenda.Any such comment(i)must be within the jurisdiction of the Council,and(ii)is subject to reasonable time,place, and manner restrictions. The Council will not discuss or take legal action on matters raised during Call to the Public unless the matters are properly noticed for discussion and legal action.At the conclusion of the Call to the Public, individual councilmembers may(i)respond to criticism, (ii)ask staff to review a matter,or(iii) ask that the matter be placed on a future Council agenda. 7. CONSENT AGENDA ITEMS All items listed on the Consent Agenda are considered to be routine,noncontroversial matters and will be enacted by one motion of the Council.All motions and subsequent approvals of consent items will include all recommended staff stipulations unless otherwise stated. There will be no separate discussion of these items unless a councilmember or member of the public so requests. If a councilmember or member of the public wishes to discuss an item on the Consent Agenda, he/she may request so prior to the motion to accept the Consent Agenda or with notification to the Town Manager or Mayor prior to the date of the meeting for which the item was scheduled. The items will be removed from the Consent Agenda and considered in its normal sequence on the agenda. A. CONSIDERATION AND POSSIBLE ACTION:Approval of the minutes of the Combined Special Meeting/Budget Workshop of April 12, 2022; and the Regular Meeting of Maya- 17, 2022. Town Council Regular Meeting of June 7, 2022 3 of 5 B. CONSIDERATION AND POSSIBLE ACTION: Adoption of Ordinance 22-05 Revision of Town Code 9-5, Section 3 General Preserve Regulations C. CONSIDERATION AND POSSIBLE ACTION: of approving a Special Event Liquor License application submitted by Cherie Koss, representing the River of Time Museum, for a fundraiser to be held at the Fountain Hills Community Center. D. CONSIDERATION AND POSSIBLE ACTION: approving a Special Event Liquor License application for the Fountain Hills Chamber of Commerce for a beer garden in conjunction with Oktoberfest on September 23 and 24, 2022 E. CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-30- Intergovernmental agreement with Maricopa County Animal Control - Facilities Use Agreement for Sheltering Services. F. CONSIDERATION AND POSSIBLE ACTION OF approving RESOLUTION 2022-31, adopting the Town of Fountain Hills Government Money Purchase Plan &Trust Adoption Agreements with Mission Square Retirement. G. CONSIDERATION AND POSSIBLE ACTION: Approval of budget transfer for the General Fund and Capital Project Fund. H. CONSIDERATION AND POSSIBLE ACTION: annual report on the implementation of the Fountain Hills General Plan 2020. I. CONSIDERATION AND POSSIBLE ACTION: of approving a Special Event Liquor License application for America's Sheriff, Inc. for a fundraiser to be held in the Grand Ballroom of the Fountain Hills Community Center, 13001 N. La Montana Drive, Fountain Hills, AZ 85268 on June 18, 2022, from 5pm to 9pm. 8. REGULAR AGENDA A. PUBLIC HEARING, CONSIDERATION AND POSSIBLE ACTION: Approval of two Liquor License Applications for DC Bar& Grill/Desert Canyon Golf Club, located at 10440 N. Indian Wells Dr, Fountain Hills, Arizona, for a Series 12 (Restaurant) and a Series 07 (Beer & Wine) licenses. B. PUBLIC HEARING regarding Resolution 2022-19, approving the Final Budget for the Town of Fountain Hills for the fiscal year beginning July 1, 2022, and ending June 30, 2023. RECESS REGULAR MEETING OPEN SPECIAL MEETING CONSIDERATION of Resolution 2022-19 of the Mayor and Council of the Town of Fountain Hills, Arizona, approving the Final Budget for the Town of Fountain Hills for the fiscal year beginning July 1, 2022, and ending June 30, 2023. Town Council Regular Meeting of June 7, 2022 4 of 5 CLOSE SPECIAL MEETING RECONVENE REGULAR MEETING C. CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-20 adopting and establishing the FY23 Budget Implementation Policy and approving the Town Organization Charts, the FY23 Pay Plans, the Schedule of Authorized Positions, the updated Employee Job Descriptions, and the FY23 Comprehensive Fee Schedule. D. CONSIDERATION AND POSSIBLE ACTION on approving the proposed Pumphouse Pilot Art Project. E. CONSIDERATION AND POSSIBLE ACTION: Adopting Ordinance 22-04 establishing the Historic and Cultural Advisory Commission. F. CONSIDERATION OF AND POSSIBLE ACTION: Approval of Custom Holiday Lights Contract 2022-083. G. CONSIDERATION AND POSSIBLE ACTION: approving the first amendment to Cooperative Purchasing Agreement C2021-046 with Sunrise Engineering, Inc. and any related budget transfers. H. CONSIDERATION AND POSSIBLE ACTION: Approval of provisions to include in Use Agreement with the Chamber of Commerce J. CONSIDERATION AND POSSIBLE ACTION:Approval of provisions to include in a Use Agreement with the Fountain Hills Cultural and Civic Association. K. DISCUSSION WITH POSSIBLE DIRECTION: Relating to any item included in the League of Arizona Cities and Towns' weekly Legislative Bulletin(s) or relating to any action proposed or pending before the State Legislature. 9. COUNCIL DISCUSSION/DIRECTION to the TOWN MANAGER Item(s)listed below are related only to the propriety of(i)placing such item(s)on a future agenda for action, or (ii)directing staff to conduct further research and report back to the Council. 10. ADJOURNMENT Town Council Regular Meeting of June 7, 2022 5 of 5 CERTIFICATE OF POSTING OF NOTICE The undersigned hereby certifies that a copy of the foregoing notice was duly posted in accordance with the statement filed by the Town Council with the Town Clerk. Dated • n 61day of .P ,2022. a G. Mendenhall, MMC, own Clerk The Town of Fountain Hills endeavors to make all public meetings accessible to persons with disabilities.Please call 480-816-5199(voice)or 1-800-367-8939(TOD)48 hours prior to the meeting to request a reasonable accommodation to participate in the meeting or to obtain agenda information in large print format.Supporting documentation and staff reports furnished the Council with this agenda are available for review in the Clerk's Office. ITEM 7. A. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Administration Prepared by: Elizabeth A. Klein, Clerk Staff Contact Information: Grady E. Miller, Town Manager Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Approval of the minutes of the Combined Special Meeting/Budget Workshop of April 12, 2022; and the Regular Meeting of May 3, 2022. Staff Summary (Background) The intent of approving meeting minutes is to ensure an accurate account of the discussion and action that took place at the meeting for archival purposes. Approved minutes are placed on the Town's website and maintained as permanent records in compliance with state law. Related Ordinance, Policy or Guiding Principle N/A Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approving the minutes of Combined Special Meeting/Budget Workshop of April 12, 2022; and the Regular Meeting of May 3, 2022. SUGGESTED MOTION MOVE to approve the minutes of the Combined Special Meeting/Budget Workshop of April 12, 2022; and the Regular Meeting of May 3, 2022. Attachments 2022.0412.CSMBW.Minutes 2022.0517.TCRM.Minutes Form Review Form Started By: Elizabeth A. Klein Started On: 05/23/2022 03:49 PM Final Approval Date: 05/23/2022 TOWN OF FOUNTAIN HILLS MINUTES OF THE COMBINED SPECIAL MEETING/BUDGET WORKSHOP OF THE FOUNTAIN HILLS TOWN COUNCIL APRIL 12, 2022 SPECIAL MEETING 1.CALL TO ORDER AND PLEDGE OF ALLEGIANCE – Mayor Dickey Mayor Dickey called the Special Meeting of the Fountain Hills Town Council held April 12, 2022, to order at 5:50 p.m. and then led the Council and audience in the Pledge of Allegiance. 2.ROLL CALL – Mayor Dickey Present: Mayor Ginny Dickey; Vice Mayor Gerry Friedel; Councilmember Peggy McMahon; Councilmember Mike Scharnow; Councilmember Alan Magazine; Councilmember Sharron Grzybowski; Councilmember David Spelich Staff Present: Town Manager Grady E. Miller; Town Attorney Aaron D. Arnson; Town Clerk Elizabeth A. Klein 3.CONSENT AGENDA ITEMS All items listed on the Consent Agenda are considered to be routine, noncontroversial matters and will be enacted by one motion of the Council. All motions and subsequent approvals of consent items will include all recommended staff stipulations unless otherwise stated. There will be no separate discussion of these items unless a councilmember or member of the public so requests. If a councilmember or member of the public wishes to discuss an item on the Consent Agenda, he/she may request so prior to the motion to accept the Consent Agenda or with notification to the Town Manager or Mayor prior to the date of the meeting for which the item was scheduled. The items will be removed from the Consent Agenda and considered in its normal sequence on the agenda. A.CONSIDERATION AND POSSIBLE ACTION: Approving a Special Event Liquor License application for the Fountain Hills VFW Post 7507 for a beer garden in conjunction with the Fountain Hills Chamber of Commerce Gala on April 22, 2022. MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Mike Scharnow to approve the Special Event Liquor License. Vote: 7 - 0 Passed - Unanimously 4.ADJOURNMENT The Special Meeting of the Fountain Hills Town Council held April 12, 2022, adjourned at 5:51 p.m. BUDGET WORKSHOP 1.CALL TO ORDER Mayor Dickey called the Budget Workshop of the Fountain Hills Town Council held April 12, 2022, to order at 5:51 p.m. 2.PRESENTATION: Fiscal Year 2022-2023 Proposed Budget. 3.ADJOURNMENT MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Sharron Grzybowski to adjourn. Vote: 7 - 0 Passed - Unanimously The Budget Workshop of the Fountain Hills Town Council held April 12, 2022, adjourned at 7:46 p.m. TOWN OF FOUNTAIN HILLS ____________________________ Ginny Dickey, Mayor ATTEST AND PREPARED BY: ______________________________ Elizabeth A. Klein, Town Clerk Town Council Regular Meeting of April 12, 2022 2 of 2 CITY OF FOUNTAIN HILLS Page 1 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 1 of 52 Post-Production File City of Fountain Hills April 12, 2022 Combined Special Meeting/Budget Workshop Transcription Provided By: eScribers, LLC * * * * * Transcription is provided in order to facilitate communication accessibility and may not be a totally verbatim record of the proceedings. * * * * * CITY OF FOUNTAIN HILLS Page 2 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 2 of 52 MAYOR DICKEY: Good evening, and welcome. I think we are starting with a regular meeting, so we'll stand and do the pledge, please. ALL: Pledge allegiance to the flag of the United States of America, and to the Republic for which it stands, one nation, under God, indivisible, with liberty and justice for all. MAYOR DICKEY: Thank you. I think we're going right to roll call. Looking at the agenda. TOWN CLERK KLEIN: Mayor Dickey. MAYOR DICKEY: Here. CLERK KLEIN: Vice Mayor Friedel. VICE MAYOR FRIEDEL: Present. CLERK KLEIN: Council Member McMahon. COUNCILMEMBER MCMAHON: Here. CLERK KLEIN: Council Member Scharnow. COUNCILMEMBER SCHARNOW: Present. CLERK KLEIN: Council Member Magazine. COUNCILMEMBER MAGAZINE: Here. CLERK KLEIN: Council Member Spelich. COUNCILMEMBER SPELICH: Present. CLERK KLEIN: Council Member Grzybowski. COUNCILMEMBER GRZYBOWSKI: Present. MAYOR DICKEY: Thank you. We have one item on this regular special meeting, a consent agenda item. Can I get a motion? COUNCILMEMBER SPELICH: Motion to approve. MAYOR DICKEY: Thank you. COUNCILMEMBER SCHARNOW: Second. MAYOR DICKEY: Thank you. All in favor, say aye. ALL: Aye. MAYOR DICKEY: Thank you. So I will adjourn the -- do I have to take a motion to adjourn? CLERK KLEIN: No. MAYOR DICKEY: Okay. Okay. We adjourn. And now we're going to open the CITY OF FOUNTAIN HILLS Page 3 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 3 of 52 budget workshop, call this meeting to order. And Grady? TOWN MANAGER MILLER: Yes, thank you, Mayor and Council. We're about to give you a presentation on the Fiscal Year '22/'23 budget. Our finance director and his staff have worked very closely with all the department directors to put together the proposed budget that you'll see before you tonight. One of the most important activities that the Council takes part in and actually participates in and gives direction to staff is on a spending plan. A spending plan, basically, is our annual budget process, and it highlights all of the major priorities of the Council for the next 12 months, both from an operating budget standpoint and services and programs, but also our major capital projects. And these are, again, the highlights and priorities of the Council. And this typically starts with our staff in November, December, and then the Council receives some preliminary budget information at the retreat in February, and then we go through and further refine and develop the process. And as you know, mid-March, we actually had a capital improvement program budget meeting with the Council, and the Council was able to provide us additional details. So this is a process that we don't take lightly, and it's very important. And we also had as late as last week, I believe, we had citizen involvement, and we had an open house on the budget last week as well, so that we could take public input before we actually have a final budget for Council consideration and adoption in May. With that, I'm going to go ahead and turn the presentation over to David FINANCE DIRECTOR POCK, our finance director, who will go through and do the presentation. MAYOR DICKEY: Thank you. Hi. DIRECTOR POCK: Hello. All right. So yeah, this is our first official look at the proposed budget for Fiscal Year '23. And to start off, we're going to look -- you've already seen this information actually before. This is the Fiscal Year '22, a year-end estimates. Just take a quick look at them again so that kind of get some reference point to where we're going to be starting the year. Restricted Funds, as we've said before, are basically externally restricted either by CITY OF FOUNTAIN HILLS Page 4 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 4 of 52 statute or by an outside external entity. The biggest one of these funds is the Streets Fund, looking at about 1.5 million to end the year, and then you can see the rest of those. We don't have any debt service, so those next three are basically just carried over balances that roll over from year to year. Then as far as Committed Funds, these are basically internally Restricted Funds, restrictions set by Council. We have the Stabilization Fund, a Rainy Day Fund, and that's going to be around 3.9 million according to policy. Capital Projects Fund's looking at -- it's going to end up around 4.4, and then the remaining funds there. Then as far as Assigned Funds, these are basically restricted by a town policy. You got the Environmental Fund with 430,000. The Facilities Reserve Fund looks enormous, but we have -- that's where we have the 4.2 million and General Fund savings from this current year. We do get a little bit better interest rate since those funds are managed by PFM, our investment managers. I looked at that, and we got last month -- I think we were at .67 percent interest on it, but when you compare that to our LGIP that gets .01, it makes a difference, so. And then our Replacement Funds, and then finally, our Unassigned Balance in the General Fund, and you can see that at 9.2. As far as all the summary, across all funds, 3.4 million. And then the stability metrics that we have, we're actually improving year over year from 6.2 months of average revenue in Unassigned compared to 6.4 is where we're expecting this year to end up. And that's taking out the CARES Act fund and ARPA money and that sort of thing, so. All right. Any questions so far on where we're going this year? DIRECTOR POCK: All right. So real quick, I mentioned ARPA funds. Wanted to take a look since we did receive that first installment of 4.2 million dollars in July, and then we'll take a look at some year-end transfers that are being suggested. So 4.2 received in July. 3.4 million is going to Rural Metro for the fire and emergency medical, 800,000 for MCSO. So that resulted in General Fund savings of that same amount, 4.2. And as far as suggestions going forward, it's my suggestion that we leave that 4.2 in Facilities Fund under management by PFM to continue getting that higher interest rate since we will be receiving another 4.2 in July of this year. Then we can use that money to pay for our public safety fund contracts. The General Fund savings for next year, we can actually use and transfer to the Streets Fund, and use that for pavement maintenance. CITY OF FOUNTAIN HILLS Page 5 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 5 of 52 And we can do that two years, so we can do it for Fiscal Year '23 and '24, and then for '25, we can pull the money out of the Facilities Reserve and do that for another two years. MAYOR DICKEY: Dave -- DIRECTOR POCK: Yes. MAYOR DICKEY: -- just this aspect of it, FY25, this is just a general discussion. DIRECTOR POCK: Right. MAYOR DICKEY: Yeah, because there's, you know, facilities. There's other things happening in Fountain and all that, so there's nothing here binding? DIRECTOR POCK: Nothing bind -- MAYOR DICKEY: Okay. DIRECTOR POCK: Nothing binding at all. Yeah, the only thing that we would be looking for is direction on next year and how we want to handle the transfers. All right. So these are suggestions, obviously subject to change. We do need a transfer into the Environmental Fund to keep that fund operating, suggested 500,000. That's what we typically have done in the past. Last year, we had also done the same types of transfers for Facilities Reserve. We did 500,000 for the operational expenses for that, and then put a million dollars towards the Lake Liner, so that's recommended to do that again this year. And then the remainder basically falls under that category that gets transferred to the Capital, Capital Fund. COUNCILMEMBER MAGAZINE: Yeah, I talked to David about this, I don't know, yesterday, the day before. I'm going to want to come back to the 500,000 for Facilities Reserve for annual funding, because I think we have an issue to discuss there. DIRECTOR POCK: And we will have an opportunity to talk about that. I believe our discussion that we had on the phone was the understanding that the study that was done in 2016 suggested about 960,000 a year, plus kind of an escalator each year for inflation, so this is below that amount. COUNCILMEMBER MAGAZINE: Well, maybe this is the time to raise it. Yeah, it was 2016, and with inflation, that 960,000 we discussed would be well over a million a year. This year we're contributing, as you showed, 500,000 -- for Fiscal Year '18 through '20, it was 500,000. Fiscal Year '21, zero. Fiscal Year '22, one and a half, with one million going to the Liner. CITY OF FOUNTAIN HILLS Page 6 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 6 of 52 DIRECTOR POCK: Correct. COUNCILMEMBER MAGAZINE: And so what I raised with you is as we move forward, let's say several years, 2027, you and I -- DIRECTOR POCK: '27. COUNCILMEMBER MAGAZINE: -- discussed, what do you think that would look like? DIRECTOR POCK: So according to the plan now, if we continue to put 500,000 in towards expenses in Fiscal Year '27, there would be a negative balance in the Facilities Reserve. COUNCILMEMBER MAGAZINE: Be a negative balance? DIRECTOR POCK: Yes. COUNCILMEMBER MAGAZINE: Yeah, I think that's something we really need to address. And it relates to some of the items in this year's budget that I'm having real second thoughts about, but we don't have to get into right now. DIRECTOR POCK: Okay. And I will mention -- sorry. MANAGER MILLER: I think you were going to say what I was just going to say. Do you want to bring up the plan update that's underway right now? DIRECTOR POCK: So currently we have contracted with Willdan to go through in the study, and the program, and basically all the line item expenses, the funding of it, to see how much it would actually cost. There's been some -- maybe some shortcomings in the current plan as far as the amount that was anticipated to do certain things when they were going to be needed, that sort of thing. Everybody knows that inflation's out whack right now. So we're basically looking at all those things right now, so we will have more information and bring that back to Council. COUNCILMEMBER MAGAZINE: And with this progression in the outyears, if we suddenly get hit with -- other than the Liner -- get hit with things like a roof, a cooling system, a chiller, so on, we'd be out of money, correct? DIRECTOR POCK: In the fund, in that particular fund, yes -- COUNCILMEMBER MAGAZINE: Yeah. DIRECTOR POCK: -- that’s a potential. MAYOR DICKEY: Mike? CITY OF FOUNTAIN HILLS Page 7 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 7 of 52 COUNCILMEMBER SCHARNOW: Well, in light of that then, are you still recommending the 500,000? Or should we, you know, cut into the Lake Liner by half? Or I mean, or are we going to talk more about this tonight? DIRECTOR POCK: We will definitely have many more conversations as we get closer to the end of fiscal year to see how things are shaping up. These can obviously change between now and the tentative budget and the final budget. The transfers is kind of an accounting deal. We don't actually budget for the transfers because that would be double counting some expenditures. So these can change without effecting the actual budget number. It's basically, though, something that we need to know going into the next fiscal year so we know basically what's going to get transferred to the capital fund. That's kind of the last step. MANAGER MILLER: Yeah, and I just -- I want to put out a couple different things. So David, how much did we put away last year for the Lake Liner? DIRECTOR POCK: A million. MANAGER MILLER: Okay. And then how much did we put away last year for the Facilities Reserve? DIRECTOR POCK: 500,000. We -- MANAGER MILLER: Okay. DIRECTOR POCK: -- transferred a total of 1.5. MANAGER MILLER: But the reason why I'm saying that, and again, this year, I am concerned about this, but I also want to point out that we actually contributed one and a half million last year, and we're recommending for next year. DIRECTOR POCK: Right. MANAGER MILLER: So in other words, these are items -- the Laker Liner is actually in the Facility Reserve as an actual, you know, line item. So we actually, rather than -- so we were very -- we were exceeding the million dollars by a half million dollars. But I'm acknowledging, I mean, we actually had, when the primary property tax was proposed, a million of that each year was going to go into this fund. So we recognize that a half million dollars was just not going to cut it, and there is a problem with that. So as the finance instructor indicated, when we get that report, there's going to be a lot of discussion I think, and hopefully we'll be able to put our thinking caps on in how we can CITY OF FOUNTAIN HILLS Page 8 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 8 of 52 get as close as we can to what the new report or the new study is indicating that we need to set aside each year. And I do remember when we had the study back in, I think it was '16 -- DIRECTOR POCK: Um-hum. MANAGER MILLER: -- they had, like, I believe two or three different scenarios. One was level funding, 960-some-odd thousand dollars a year. They also had a -- like, you could start off lower and then go progressive, or you could actually start off higher and then progressively, you know, go lower. Kind of like what you can do with, you know, debt financing and such. So anyways, just wanted to let you know. And then some of the things that are in there, you probably could finance if you had to. We've always talked about the Lake Liner is something that we could probably go and seek bond financing for, the Laker Liner and all those other improvements. But again, this is the type of stuff that keeps a finance director and a town manager up at night, trying to balance all these different needs that our community has. COUNCILMEMBER MAGAZINE: Well, I'm not surprised to hear that you're on top of it. You always are, but the Lake Liner isn't the only thing. It's, you know, there's a multitude of other possibilities that we'll have to finance. And we keep talking about the Lake Liner, but there is much more than that that can come up and will come up. And a million dollars is fine, but what's a million dollars five years from now with inflation? So all of these things, I think, have to -- and I know you know this -- all of those things have to be taken into consideration. I just think we have to be very cautious. MAYOR DICKEY: I have a couple of questions. So was this a Council policy, or was this just something that we're doing? Like, so for example, we have the one percent tax, sales tax that -- or whatever the actual fraction is that goes to downtown or that goes to tourism and such. So these were committed or whatever, internally committed. This is not in that? DIRECTOR POCK: This schedule is not. In total, the final point there, the reserve, the remaining revenues to Capital Projects, is the only thing that's actually outlined in policy. MAYOR DICKEY: Okay. So do you recommend doing that? Having an actual policy that says such and such percentage of something will always go to facilities, or is that overkill? Or does it help ensure that we put enough in there? CITY OF FOUNTAIN HILLS Page 9 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 9 of 52 MANAGER MILLER: I think it's something to look at that. I'm not really sure in the end what -- what happened is, you can see we've got very good policies relating to reserves, and we're setting aside a lot of money per a policy into reserves. But what would start to happen is your operations would start to suffer. You would not have enough going into operations if we fully funded everything we needed to. Because if you look at, like, things like public safety grow typically at a faster clip than the rest of the budget. And so -- MAYOR DICKEY: Right. MANAGER MILLER: -- we're -- so I do think it's probably we do need to have policies in place, but I'd like to see what the -- what our Willdan team is going to propose to us and recommend how other cities address these types of needs. We've only had this facilities replacement fund or Facilities Reserve since 2016, so it's a relatively new thing for the town to begin with. MAYOR DICKEY: That's true. And I'm sorry. It makes sense -- COUNCILMEMBER MAGAZINE: No problem. MAYOR DICKEY: -- sorry about that -- it makes sense to do that, and I know that in the past when we've tried to set a percentage or something, we've found, you know, during a recession or something, we might have to change the balance from 35 -- MANAGER MILLER: Right. MAYOR DICKEY: -- to 65 to whatever, 50/50. I wanted to bring this up because -- and since you did that, I'll do it with the Environmental Fund. So we don't have an environmental fee anymore, and since we are largely funding all of these storm water and water management with just Capital Funds or you know, hopefully maybe we can get some infrastructure funding for some of this stuff, but would it just be worth it to not even say we have an Environmental Fund? Or call it a storm order fund? Because we're not replenishing it with anything. DIRECTOR POCK: No. I hesitate a little bit because I -- okay. If I put on my auditor hat from the old days -- the olden days -- it wouldn't be a fund, because it doesn't have a dedicated revenue source for that purpose. When you look at the Streets Fund, it has a dedicated funding source. So as it stands now, and if there was no looking to doing an environmental fee down the road, it probably would be best to wind up that fund. But CITY OF FOUNTAIN HILLS Page 10 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 10 of 52 yeah, right now it does give us that option. MAYOR DICKEY: Which reminds me, have we ever heard back on being legall y challenged by the state legislature or the AG's office on our ability to collect these funds ? Which would've been collecting about 600,000 a year for the last, I don't know, for or five years. That sure would've helped with golden eagle and all these other storm order issues we have -- MANAGER MILLER: We haven't -- MAYOR DICKEY: -- and washes. MANAGER MILLER: We haven't unless it came through in the last 15 minutes, nope. ALL: [LAUGHTER]. MANAGER MILLER: Nope, we haven't. MAYOR DICKEY: Thank you. Mike? MANAGER MILLER: There might be an opportunity after the election depending on who's in that seat to, you know, if there's one that's friendlier towards cities, we may try to get the opinion. If there's one that's not, just to leave it the way it is, unfortunately. But -- MAYOR DICKEY: Okay. Sir? COUNCILMEMBER SCHARNOW: Just a quick question. Is there any county money or state money that we could get for our Environmental Fund? I don't know if there's any money out there. I just thought I'd throw that out there. I know there's a lot of other things they look at, but. MAYOR DICKEY: Just answering, just, there are grants and there are partnerships with the county and such, but as far as it existing as a fund, it was there because we were collecting the fee. So as long as it -- it doesn't have to maintain an entity just in case we're able to collect it again then I would say if we did, it wouldn't have to go into a particular fund, you know. We'd probably apply for something to say, oh, you know, can we fix the pipe around the panorama or whatever. MANAGER MILLER: Mayor, that was a masterful response. Thank you. Because we are working with the Maricopa County Flood Control District right now on some potential, either partnerships or grant assistance, for some of our drainage, like our Drainage Master Plan. CITY OF FOUNTAIN HILLS Page 11 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 11 of 52 Right, David? But it wouldn't have to go into the Environmental Fund, so. MAYOR DICKEY: Go on. COUNCILMEMBER MAGAZINE: Based on this discussion, getting back to the reserve fund, I may have said this before. I really don't see putting a million dollars into the Liner. We're going to have to go to a bond, and personally, I would take half of that at least, or all of it, and put it in the Reserve Fund, and then decide whether or not we want to use it. For example, for Streets or for something else. But I just don't understand the reasoning behind putting that much money aside for the Liner when it's almost definite we're going to have to go for a bond. MANAGER MILLER: Mayor, a couple years ago we had -- Black & Veatch did an analysis of the lake, and they gave us good news. The good news was that we had a little bit more life left to the Lake Liner, and so we thought, let's use the time and let's try to build up a balance that we could maybe use as a down payment and then maybe finance the balance of it. So it was a good -- I understand where Council Member Magazine's coming from on that, but I think the Council, at the time, thought that this is an opportunity. We have time a little bit on our side, so let's go ahead and set aside money. And then we go before our voters to ask if they might wish to consider approving a bond question, we can go say, look, we've already set aside x number of dollars, and so we don't have to finance quite as much. So that was kind of the thinking of the Council at that time. COUNCILMEMBER MAGAZINE: I don't really want to get into a debate over this, but with the Reserve Funds basically going in a negative trajectory, I guess maybe that policy needs to be rethought. If we're talking about a negative by 2027, and that's not including any extra things or emergencies that come along, it just doesn't make a lot of sense to me to put a million dollars into the Liner right now when you could put that million dollars into the Reserve Fund. So that's just my position. MANAGER MILLER: Well, just for clarification, and I appreciate what you're saying, Council Member Magazine, it is still just going into the Reserve Fund. So Council ultimately will make the decision what to do with that money, and if the Council's decision -- or if they have a different change in heart, they can certainly do that. But the good news is one and a half million dollars is going into that Reserve Fund. CITY OF FOUNTAIN HILLS Page 12 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 12 of 52 DIRECTOR POCK: All right. I guess I'm a little late with the slide, so -- ALL: [LAUGHTER]. DIRECTOR POCK: -- we'll just keep going. All right. So looking at the Fiscal Year '23, just some ground rules as we get started. One of the letter -- I don't know if the Council had a chance to look online at the online version of the budget book, but it is available online through the town's website. It's easy to navigate. You can get to things pretty easy, so we're excited about that. And we weren't quite as late getting the book out this year as we were last year dealing with Microsoft Publisher, but anyways. A reminder that budget authority is not the same as fund balance. Budget authority is the permission. Fund balance is the actual resources that we use to purchase goods and services. If revenues are less than expected next year, the expenditures also have to decrease so that we can maintain fund balance. The tentative budget will be considered May 3rd, and that budget sets the absolute maximum that we can budget for next year. So that's coming up in a few weeks, and then the final budget is adopted June 7th. We can reduce the amount that is adopted in the tentative, but we cannot increase it. As far as revenues for next year, the common referring that we stay conservative when we're estimating revenues. Basically, they're forecasted using a trend method with a ninety-eight percent confidence level. And we also don't include revenues on incomplete projects, like the Havenly across the street. We didn't include any TPT revenue from that project until they're completed. Also, the preliminary state shared revenues, those numbers have been delayed this year from the League. They're still waiting for the DOT numbers. I was told yesterday in an email that we should have them by the end of this week. We shall see. So far the estimates that you'll see in here are basically just my own based on prior years. Alright. As far as expenditures, the contingency that's included in the general government department within the General Fund, for next year, it's 2.9 has been included there. That's basically necessary because we estimate revenues at a certain level. Our base budget and supplements, if they fall below that revenue estimate, we have to make up that difference to keep a balanced budget. So like I said, 2.9 included for next year. You can see that the expenditures, excluding contingency for the current year, were 19.7. CITY OF FOUNTAIN HILLS Page 13 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 13 of 52 Next year's 20.3, $600,000 increase in next year's base budget. And also, the recommended budget supplements are included in the numbers that you'll see coming up. So across all the funds, you can see General Fund makes up about three quarters of the pie, and then the other's their Streets, next largest one at fourteen percent. And then, I guess, yeah, Special Revenue and Capital Projects are tied there. MAYOR DICKEY: Councilman? COUNCILMEMBER MAGAZINE: Where do the roundabout and shade structures show up? DIRECTOR POCK: Those would be in the Capital Fund. This is the actual revenue slide, so it's not going to be on this slide, but these are the revenues coming into the town into each -- COUNCILMEMBER MAGAZINE: Right. Right. DIRECTOR POCK: -- of those funds. COUNCILMEMBER MAGAZINE: Right. Right. Okay. DIRECTOR POCK: This slide, as far as expenditures, it would be in that Capital Projects portion. So just to point out total revenues for next year, 31.7. You can see total expenditures for next year across all funds is 40.5 million. That difference is fund balance that would be used. Basically Streets and Capital Projects use fund balance to fund a lot of their operations. All right. So as far as general fund goes, we're going to start off looking at the supplements. These are the non-personnel on-going supplements. MANAGER MILLER: And just to put this in perspective. In this past, when you've had your notebooks, this was the green sheet, so. DIRECTOR POCK: I don't know if I need to read through each of these or if everybody's had a chance to look at them. If there's any questions about these ones? MAYOR DICKEY: So just to point out, so the first one is the request or the cost or whatever. The second column, or the next to last column, I mean, is what town managers -- so that is the actual amount we're more looking at, right? DIRECTOR POCK: Right. MAYOR DICKEY: What you actually -- CITY OF FOUNTAIN HILLS Page 14 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 14 of 52 DIRECTOR POCK: Yeah, it's (indiscernible) it. MAYOR DICKEY: -- are approving of, and then I noticed -- so I had asked Grady about the Biz Hub thing before. It didn't have an offset, but now it does, so thanks for putting that in there. Because we are anticipating, if we go through with that, that there would be some income coming in, so that's not just the total expense on that one. If you have had a chance to look through these, did you have any questions? Gerry, Vice Mayor? VICE MAYOR FRIEDEL: I do have a couple of questions. Thank you, Mayor. The Biz Hub, I love the idea and the program, but my concern with that lease is that that building is 50 years old, and there are undoubtedly issues that I want to make sure that we're not on the hook for. There's plumbing, roof, air conditioning, major mechanical issues with that. Has that been taken into consideration? And we're leasing that, so are we responsible for any of those repairs? MANAGER MILLER: First of all, it's not a done deal. VICE MAYOR FRIEDEL: Oh, okay. MANAGER MILLER: So anything we do, this is a placeholder. And you'll see, we actually have our economic development director will do a little bit more of a thorough presentation to you tonight. But just like our buildings, like our Kiwanis building that we lease, the former Fountain Hills theater that we also used to lease out, town is pretty much responsible for the building and the mechanicals and all that. My understanding is we would have really good terms with the school district. They did a analysis that was completed last year that showed some, like, over the life of the building, for it to continue, they're going to have to invest, you know, a significant amount of money. And I don't think that they would be looking at us for that. But they probably are looking for us to kind of be a stop gap, so that they're not going in and putting a lot of money into the building for us, and I'm also not wanting to invest, really, a lot of assets or money into an asset that's not owned by the town. So my understanding is we'll do some cosmetic things, but there's not a lot that we're going to be doing. And if we can't come to some terms with the school district on that, you know, like, maybe having a set amount that we won't expend a certain amount on maintenance, then this will be something I won't recommend to the Council, as I totally share your concerns. CITY OF FOUNTAIN HILLS Page 15 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 15 of 52 VICE MAYOR FRIEDEL: Great. And my only other thought is, again, I love the program, so we've got to do something with that. MANAGER MILLER: Um-hum. VICE MAYOR FRIEDEL: And maybe there's some alternatives right down in town that might suit us if this doesn't work out. MANAGER MILLER: I'm glad. I'm glad you're thinking that way. I'm hopeful though that -- the school superintendent has indicated a desire to try to work with us, and so we think we'll have some offsets to some of our annual operating costs for that building, and you'll see that a little bit later. VICE MAYOR FRIEDEL: Good. Thank you. COUNCILMEMBER GRZYBOWSKI: I actually have questions about the Four Peaks building. MANAGER MILLER: Um-hum. COUNCILMEMBER GRZYBOWSKI: Do you want me to wait until -- MANAGER MILLER: Do you mind if -- COUNCILMEMBER GRZYBOWSKI: Okay. Absolutely. Okay. MANAGER MILLER: Yeah, because we have, like, a -- COUNCILMEMBER GRZYBOWSKI: No, I don't mind at all. MANAGER MILLER: -- presentation on that. DIRECTOR POCK: All right. And then this is a continuation from that next page. We'll add, as far as these ones go, a lot of these are events that are currently paid for using grant funds. I thought it was a good idea to include them in the general budget in case those grants aren't received. It's not like we can really skip a year without somebody noticing unless there's a pandemic or something, so. MANAGER MILLER: Yeah, so just -- DIRECTOR POCK: I didn't say that. MANAGER MILLER: -- for clarification to what the finance instructor said, yes, there's grants, but also, if you look down further to, like, the special events, like Spooky Blast, Turkey Trot, Eggstravaganza, there are sponsorships that are also offsets. DIRECTOR POCK: All right. And then the non-personnel one-time supplements, so these would not be recurring year to year. CITY OF FOUNTAIN HILLS Page 16 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 16 of 52 MAYOR DICKEY: So this is basically not the way we've seen this before, so you know, the way the budget's being presented, and it's really clear, I think. I mean, this is new, right? MANAGER MILLER: Well, this is what we used to have on a green sheet -- DIRECTOR POCK: Right. MAYOR DICKEY: Yes. MANAGER MILLER: -- that was standalone. And what we used to do prior to me becoming manager was we would put together our budgets, and we would all be told we were overbudget, and we had to reduce our budgets by ten percent. And so we started -- when I became manager, this was a process a lot of different cities do. They have a supplemental budget process where you request budget supplements, and basically they're evaluated and ranked and prioritized. And then you try to look for any offsets. Offsets would be revenues or fees or grants or sponsorships. And so this is just another way of showing it in a different format than what you've seen before. I don't believe in the past it was shown this way. You're absolutely right, Mayor. MAYOR DICKEY: David? COUNCILMEMBER SPELICH: Thank you, Madam Mayor. I thought I looked this over close enough, but I must not of because I just almost fell out of my chair. 65 grand to replace chairs? What chairs are we replacing? MANAGER MILLER: It's at the community center. All those chairs that we have that we have for events. COUNCILMEMBER SPELICH: Are we going to La-Z-Boy recliners for everybody? I -- MANAGER MILLER: Rachael, do you want to come up and talk a little bit about the chairs? COMMUNITY SERVICES DIRECTOR GOODWIN: All right. So the chairs at the community center, we have about between 400 and 450 chairs over there that are ready to be replaced. So we in the past have replaced them sort of piece by piece, 100 at a time, 200 at a time. It doesn't always make sense economically to do that when you make that size of an order. This is all in for about 450 chairs, all of the storage racks and all of the things needed to maintain the chairs over there. CITY OF FOUNTAIN HILLS Page 17 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 17 of 52 COUNCILMEMBER SPELICH: Does anybody else think that might be a little crazy, or is that just -- ALL: [LAUGHTER]. COUNCILMEMBER SPELICH: I kind of -- COUNCILMEMBER SPELICH: -- feel a little -- sturdy chairs. They better be made out of titanium. DIRECTOR GOODWIN: They definitely stand the test of time, but consider how many times they are stacked and unstacked and moved and everything else over there. They take a beating over there. COUNCILMEMBER SPELICH: What are we doing with the old ones? Can we sell the old ones or something to offset? MANAGER MILLER: They get surplused. DIRECTOR GOODWIN: Yeah, they would go to surplus auction. COUNCILMEMBER SPELICH: Okay. MAYOR DICKEY: How old are the old chairs? DIRECTOR GOODWIN: They range in time in terms of when they were ordered because we ordered them, like I said, about a hundred at a time. So they range from anywhere from about eight to 12 years, give or take. COUNCILMEMBER MCMAHON: Excuse me. When you said that it goes to auction, the old ones -- DIRECTOR GOODWIN: Um-hum. COUNCILMEMBER MCMAHON: -- do we get offset money back from that or we just let them go? DIRECTOR GOODWIN: No, we do. Whatever they're auctioned for, whatever that buyer's price is, it comes back to the town. I believe it just goes into the General Fund. COUNCILMEMBER MCMAHON: Do you have any idea without -- no? Just (indiscernible)? DIRECTOR GOODWIN: I don't. I don't. It depends -- COUNCILMEMBER MCMAHON: Okay. DIRECTOR GOODWIN: -- I guess if they do it by lot or by total. COUNCILMEMBER MCMAHON: Okay. Thank you. CITY OF FOUNTAIN HILLS Page 18 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 18 of 52 DIRECTOR GOODWIN: Justin's our master of those things. MAYOR DICKEY: Okay. Any other questions? UNIDENTIFIED SPEAKER: Can I pull the shade? MAYOR DICKEY: We're not there yet, but we will. ALL: [LAUGHTER]. DIRECTOR POCK: All right. Any other questions on this slide? COUNCILMEMBER GRZYBOWSKI: Yes. DIRECTOR POCK: Okay. COUNCILMEMBER GRZYBOWSKI: I do. What are contracted inspections not reimbursed for a $100,000? DIRECTOR POCK: So those are for our development services, building inspections or plan reviews. I think we have -- the contract not too long ago for Brown & Associates is one of the big contracts that we have to basically do inspections that town staff cannot get to in a timely manner. COUNCILMEMBER GRZYBOWSKI: Um-hum. DIRECTOR POCK: And they're not reimbursed by, you know, through a project, or a development agreement or something like that. MANAGER MILLER: And you'll see when we get to the next slide, I think it's -- is the next slide the personnel request? DIRECTOR POCK: Yes. MANAGER MILLER: So there was a request for a building inspector -- COUNCILMEMBER GRZYBOWSKI: Um-hum. MANAGER MILLER: -- and I had concerns that with interest rates going up and a slow down in building activity, that will probably start happening some time later this year. I don't want to bring another staff person on with benefits -- COUNCILMEMBER GRZYBOWSKI: Um-hum. MANAGER MILLER: -- if we end up having to do layoffs or something like that. I don't want to get into a layoff situation. I'd rather cut and reduce a budget to pay for contracted out help. COUNCILMEMBER MCMAHON: So if you end up for some reason hiring somebody, will this be transferred to that fund? CITY OF FOUNTAIN HILLS Page 19 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 19 of 52 MANAGER MILLER: So this is just contracted help -- DIRECTOR POCK: Right. MANAGER MILLER: -- basically, so it's using a firm to provide the staffing resource. DIRECTOR POCK: Right. And it basically just adds the budget line item there -- COUNCILMEMBER MCMAHON: Okay. DIRECTOR POCK: -- for them. COUNCILMEMBER MCMAHON: Um-hum. DIRECTOR POCK: Doesn't necessarily mean that they're going to use it all. COUNCILMEMBER MCMAHON: Okay. DIRECTOR POCK: So -- MANAGER MILLER: Right. COUNCILMEMBER MCMAHON: Thank you. MANAGER MILLER: All right. Was there any other questions on that last page? Okay. All right. So then as far as personnel, you can see there were a few positions being recommended. There's a senior services activities coordinator, a part-time. A full time facilities maintenance technician. Moving one of the building safety permit technicians from part-time to full-time, adding a part-time code enforcement officer. The IT support specialist from part-time to three quarters time, and then the part-time court clerk. There actually would be adding two part-time positions, however, one of those positions is currently in a contract status that we've had for, I believe, three years. MANAGER MILLER: Three fiscal -- DIRECTOR POCK: Three, yeah. MANAGER MILLER: -- years, right. Mayor? DIRECTOR POCK: So that contract position would go away and it would be brought in -- MAYOR DICKEY: How does -- DIRECTOR POCK: -- as an employee. COUNCILMEMBER MAGAZINE: How many personnel will this bring us to? DIRECTOR POCK: I think this adds -- is it three point -- MANAGER MILLER: This is 3.75, the net, but what is the -- what is our -- CITY OF FOUNTAIN HILLS Page 20 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 20 of 52 DIRECTOR POCK: So it would be -- MANAGER MILLER: -- afterwards? DIRECTOR POCK: -- 66 is where we're at now, I believe; so it would be right around 70 FTEs. MAYOR DICKEY: Those are some ideas. COUNCILMEMBER SPELICH: Thanks, Madam Mayor. So the code enforcement officer, part-time on weekends, we already have a code enforcement officer that works weekends. MANAGER MILLER: This is doubling up the efforts. In fact, we will be able to have this person work the week and the weekends part time. With the signed ordinance that has gone into effect, and we think with the election coming up, there's going to be a lot of sign activity going on. We heard this from the Council at the time, you were going through your sign ordinance consideration, so you thought that there was going to be a net impact on code enforcement, so. COUNCILMEMBER SPELICH: Well, just to justify that, I know I had a couple months ago about code enforcement doing a presentation to us at a monthly, or whatever, you know -- MANAGER MILLER: And I directed -- COUNCILMEMBER SPELICH: -- basis. MANAGER MILLER: -- the staff to be doing that. COUNCILMEMBER SPELICH: So I kind of like to see that there's a need for spending $30,000 for a part-time. You know, that it's justified. MANAGER MILLER: Okay. And then the other thing, just to let you know, we were able to work out arrangements so that there would not be a net need of a new vehicle or a vehicle. It can use the existing vehicles as well, so to keep costs down. COUNCILMEMBER MAGAZINE: I didn't want to keep making phone calls about this, but I'm seeing a lot of violations on the weekends. I'm seeing cardboard boxes with signs on them in the right-away. This weekend in particular, I saw a lot of them. And I don't know what we can do about it, but it's -- MANAGER MILLER: Well -- COUNCILMEMBER MAGAZINE: -- a problem. CITY OF FOUNTAIN HILLS Page 21 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 21 of 52 MANAGER MILLER: -- I know that the code enforcement -- where is John -- Vince, I know was off this past weekend, correct? So the nice thing about this is we'll always make sure we have coverage because right now, we don't have every day of the weekend covered, correct, with the current employee? MAYOR DICKEY: Right. WESLEY: That's correct, and we have Mr. Hatcher who works some combination of Friday, Saturday, Sunday. He varies those a little bit, so people don't used to him working all the time, but he is currently on a two week vacation. So the next of couple weekends, he'll -- MANAGER MILLER: But if you see any violations, please forward them on to me, and we'll get him on. He's very good about being proactive and getting to these when he sees them, but he wasn't here this weekend to -- COUNCILMEMBER MAGAZINE: If he sees carboard boxes with arrows saying, you know, yard side this way and that way, what's he supposed to do? WESLEY: So he, depending on the situation, he will either move the sign if it's just slightly out of place. Sometimes when the situation like that, he would most likely pick it up and either return it to the address if he can identify that, or sometimes he'll just leave it in the truck and bring it back to the -- COUNCILMEMBER MAGAZINE: Yeah, they have no idea what addresses they are. WESLEY: That's what I said. COUNCILMEMBER MAGAZINE: These are just cardboard boxes with arrows saying open house, or -- WESLEY: Yeah, so -- COUNCILMEMBER MAGAZINE: -- this is for sale or you know. WESLEY: -- right. So situations like that, he probably just picks it up and brings it back. MAYOR DICKEY: Mike? COUNCILMEMBER SCHARNOW: So then this will bring us up to two and a half FTEs then for code enforcement? MANAGER MILLER: That's correct. MAYOR DICKEY: Well, you know, we had those survey and two things that floated to CITY OF FOUNTAIN HILLS Page 22 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 22 of 52 the top or came to the top are roads, which we are now putting more than two million dollars in in addition, and then the other thing was code enforcement. MANAGER MILLER: Enforcement of the codes. MAYOR DICKEY: And it's not just signs, of course, so I think that this is well worth it to me. COUNCILMEMBER MAGAZINE: Grady, I don't want to be bothering you every time I see one. Who should we call? Who should we contact? We don't want to be calling you every weekend. MANAGER MILLER: Well, I know, but if you send me an email, I mean, I get it from a few of you, and I'm okay with that. And then because I need to be the one, it's inappropriate for Council to have direct contact with a staff person giving them directions, so please do that to me. And I frequently contact John or the individual employee, so. COUNCILMEMBER MAGAZINE: Okay. MANAGER MILLER: And that way it also helps with tracking purposes to make sure there's follow up. MAYOR DICKEY: Oh, sorry. Vice Mayor? VICE MAYOR FRIEDEL: Two points. Are we at the point where our code enforcement people are proactively, when they're out on their outs, looking and finding other errors and things that are going on in town? Like, if they see somebody with a dog off leash or something like that, are they enforcing that, or are we at that point yet? WESLEY: Mayor, Vice Mayor, yes, I do identify things themselves to follow up on. I don't know if they handle dogs off leash, if that would be one of things they'd pick up on because that would typically be animal control. Maybe they do. I don't know. I'd have to ask them that question specifically. Yes, they do. And to Council Member COUNCILMEMBER SPELICH, we are working on that method report. It's not something we've done before so we're figuring out the best way to put that information together. We should be able to start having those to you next month, I would hope. VICE MAYOR FRIEDEL: And then I have another -- MANAGER MILLER: And just if I may, just to your point, Vice Mayor, when I have frequently reported these to Vince, he has already -- he's very good and sends me a photo CITY OF FOUNTAIN HILLS Page 23 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 23 of 52 showing it, he already took care of it earlier. So there was a lapse between the time that either the Council member had been notified by a resident or from the time the Council member saw it, and he frequently, and I usually forward that right back to the Council member showing that the violation, like, the sign that was in the right-away or whatever had been taken care of. So -- VICE MAYOR FRIEDEL: Good. MANAGER MILLER: -- he does act proactively when he can. VICE MAYOR FRIEDEL: So then I have another question here. So we're adding a building inspector? Is that -- MANAGER MILLER: No, the other item that you saw, I was concerned about adding a building inspector. VICE MAYOR FRIEDEL: Okay. MANAGER MILLER: And so we're adding contract money to do the same services. VICE MAYOR FRIEDEL: Okay. All right. So that's a wash -- MANAGER MILLER: Right. VICE MAYOR FRIEDEL: -- then. Okay, great, thank you. MAYOR DICKEY: So it's fair to say that our code enforcement is not just complaint based anymore? Because that was one of the things that we really tried -- MANAGER MILLER: Right. MAYOR DICKEY: -- to get over. MANAGER MILLER: Um-hum. MAYOR DICKEY: And of course, the off leash thing, that's me. I'm out there doing that, right? MAYOR DICKEY: It's the mayor's fine. Well, that is the animal control, right? MANAGER MILLER: Right. MAYOR DICKEY: Maricopa County? MANAGER MILLER: It is. MAYOR DICKEY: Yeah, thanks. MANAGER MILLER: It is. DIRECTOR POCK: All right. So now we're going to go look at basically the operating or base budgets for every department within the general fund. As you can see, the first CITY OF FOUNTAIN HILLS Page 24 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 24 of 52 three sets of bars on this graph are Actuals. The final two are the current year budgeted amounts and next year's budgeted amounts. You can see they're very similar, and like I said earlier, it's about $600,000 difference. And the reason why they're matched is because we do have to have a balanced General Fund budget. So as far as revenues coming in to the General Fund, you can see those. Obviously, the majority is TPT, and then our state shared revenues for a total of 23.3 million. It's an increase 2.6 percent for this year over -- next year over this year. As far as the expenditures, you can see that same amount, 23.3 million, 2.6 percent. The difference being that contingency number that's in that first line, General Government, is what makes this balanced, otherwise we'd be about three million dollars shorter our 20.2 million. COUNCILMEMBER SPELICH: So David, going back real quick on the licenses and permits, is that kind of building permits you're thinking? Is that primary -- DIRECTOR POCK: Yeah, that -- COUNCILMEMBER SPELICH: -- reduction? DIRECTOR POCK: -- same question was actually asked last week at the open house. And when we took and looked at it, it was basically construction activity. MAYOR DICKEY: I'll leave that up there for a second. DIRECTOR POCK: Sure. MAYOR DICKEY: So the leases and rents, is that rental tax? DIRECTOR POCK: No. So all of the TPT on, like, residential rental and that sort of thing would be in the first line, in that taxes line, collected through TPT. As far as leases and rents, it would be everything from remodel rentals to our bays that we rent out to Rural Metro for the ambulance, to our cell tower leases. MAYOR DICKEY: Okay. So rental taxes are included in the top right there? DIRECTOR POCK: Correct. MAYOR DICKEY: So just wanted to mention a couple of things going on, just kind of legislatively where there's something that I think is still alive to prevent cities and towns from collecting rental sales tax. And then we also talked a little about it, about HEERF money and some other things that are in the works of being threatened. So hopefully, these numbers obviously are your best estimate and bet, and you know, but some of this CITY OF FOUNTAIN HILLS Page 25 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 25 of 52 could be effected by legislation. DIRECTOR POCK: Right. We are watching, I believe it's a 1116, it's in bill 1116 as a residential rental. Just as for clarification on that, it is the residential rental, so we still would get commercial rental TPT, and it would not include short term rentals that's included in a different category, reporting category. So 30 days or longer would be effected, which works out to be about 500,000 for us. MAYOR DICKEY: Okay. Thank you. COUNCILMEMBER MAGAZINE: So that wouldn't include, for example, AIRB? DIRECTOR POCK: No. COUNCILMEMBER MAGAZINE: Do we have those numbers somewhere? DIRECTOR POCK: As far as what we receive? COUNCILMEMBER MAGAZINE: Yeah. DIRECTOR POCK: From that category, yes. COUNCILMEMBER MAGAZINE: I -- DIRECTOR POCK: We have to give it to -- you know, we can't say for a specific vendor how much we receive, but I could get that specific number -- COUNCILMEMBER MAGAZINE: Well, the reason I asked because -- DIRECTOR POCK: -- from our library. COUNCILMEMBER MAGAZINE: Yeah, the only reason I ask is because that I for one would like to see if we're seeing any real growth in the number of properties that are AIRB. In part, because we've had some communities that have really had some serious problems like Sedona -- DIRECTOR POCK: Right. COUNCILMEMBER MAGAZINE: -- and I just -- without going through a lot of imaginations, if there's some way to keep an eye on that to see what impact they're having, it might be worth keeping an eye on. Not that we can control it, but at least we know what's going on. DIRECTOR POCK: Right. And we do have a residential rental registry. It doesn't differentiate between long term and short term. Currently, I believe we're right around 700 people or households or addresses that have registered throughout the past three years. However, without the legislature taking some action on short term rentals and CITY OF FOUNTAIN HILLS Page 26 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 26 of 52 what we're allowed to do and what we're allowed to ask people to do, we can't ask for them to update their registration. There's some problems right now. Hopefully they get fixed. I believe there's one bill still alive in the legislature this session that might help -- COUNCILMEMBER MAGAZINE: Yup. DIRECTOR POCK: -- fix some of that -- COUNCILMEMBER MAGAZINE: Yup. DIRECTOR POCK: -- so. COUNCILMEMBER MAGAZINE: I know you can't separate AIRB from other rentals. I was going to ask whether or not that 700 had gone up, but we're seeing -- I guess that doesn't mean anything. We're seeing a lot of buildings going up that are rentals and so on, so I guess we can't differentiate between them. DIRECTOR POCK: Right. COUNCILMEMBER MAGAZINE: Okay. MAYOR DICKEY: Thank you. DIRECTOR POCK: All right. Any other questions on revenues? All right. All right. So then as far as by department, you can see the Town Council. Next year was 78,779 total budgeted. MAYOR DICKEY: Hey, David -- MANAGER MILLER: Oh, yeah, sorry. MAYOR DICKEY: -- sorry. This is what I was asking, about the difference -- DIRECTOR POCK: Oh, right. MAYOR DICKEY: -- in the employment taxes, because nothing has changed -- DIRECTOR POCK: Right. So -- MAYOR DICKEY: -- the 3,395, I mean, it's not a big amount, but it's just kind of like, why was it the same pretty much? DIRECTOR POCK: Yeah, so a lot of that, back in Fiscal Year '20, when the administrative assistant was split between Town Council and the Town Manager's Department, that came out, and so that's why the benefits disappeared, because nobody in Council gets any benefits in their paycheck. The admin assistant did, and then the employment taxes stayed the same because -- I'm not sure if that was because admin assistant -- maybe the employment taxes weren't split. I'm not sure why that actual line CITY OF FOUNTAIN HILLS Page 27 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 27 of 52 item didn't change between the years. MAYOR DICKEY: And the meetings is probably because of COVID, right? DIRECTOR POCK: Right. MAYOR DICKEY: We didn't do anything -- DIRECTOR POCK: Yeah. MAYOR DICKEY: -- we didn't go to the League, and then we did, and now you're using that number to -- yeah. DIRECTOR POCK: Absolutely. MAYOR DICKEY: Perfect. Thanks. DIRECTOR POCK: And I believe there was some meetings and conferences this year that you've been -- you know, that you've attended. However, like I said, these are the budgeted numbers for Fiscal Year '22. All right. And one of the largest departments in town is the Administration Department, includes, you know, town manager, town clerk, finance administrative services, public information. So there's quite a few that roll up into this specific department with 2.74 next year. Any questions on this slide? All right. Then General Government, you can see, you know, this department pays a lot of the town-wide expenses. So big ones like insurance and that sort of thing. And then as well as the contingency, that last line, you can see how it's changed from year. And I will say that this current fiscal year, we took a lot of the budget that we used for public safety and put it in the Special Revenue Fund. So there was more contingency in the General Fund because of that. This year, I didn't think that was necessarily a good idea, and it wasn't really showing apples to apples. I didn't give you a real idea. That's why I put in the difference in the contingency earlier on that earlier slide. So General Fund, point being, General Fund this year for Fiscal Year '23 shows all of the costs as if they were being paid, public safety costs from the General Fund. Then Municipal Court, 422,000. Public Works Department, a slight increase to 1.5 million. Development Services -- COUNCILMEMBER MAGAZINE: (Indiscernible). DIRECTOR POCK: Sure. MAYOR DICKEY: (Indiscernible). CITY OF FOUNTAIN HILLS Page 28 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 28 of 52 DIRECTOR POCK: Sure. COUNCILMEMBER MAGAZINE: Go back to Public Works for a second. No. All right. Never mind. DIRECTOR POCK: All right. Development Services, 1.4, slightly 1.4. And like I said earlier, all the supplements that we looked at earlier are included in these numbers, so you can see that increase in contractual services by the 100,000 dollars. So other contractual services actually went down. All right. And then community services. Yes? COUNCILMEMBER MAGAZINE: We need to slash this budget. COUNCILMEMBER GRZYBOWSKI: There's no shade structure. ALL: [LAUGHTER]. UNIDENTIFIED SPEAKER: I got chairs. ALL: [LAUGHTER]. DIRECTOR POCK: Chairs would be in there, good job. All right. And then the fire contract with Rural Metro. This is a contracted three percent increase each year. MAYOR DICKEY: It's four percent, you said? DIRECTOR POCK: It's three percent. MAYOR DICKEY: Three percent. DIRECTOR POCK: Yeah. MAYOR DICKEY: So obviously, this looks this way because of the ARPA money or whatever, right? DIRECTOR POCK: Right. MAYOR DICKEY: A big jump. DIRECTOR POCK: So compared to last year, yeah -- MAYOR DICKEY: Yeah. DIRECTOR POCK: -- it wasn't budgeted there, so that's what I was saying. It doesn't look quite right. MAYOR DICKEY: And the other thing is, we have -- you know, we're doing the assessments now of public safety, but this is just status quo. So this is -- CITY OF FOUNTAIN HILLS Page 29 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 29 of 52 DIRECTOR POCK: Right. MAYOR DICKEY: -- as if we just keep going with what we're -- DIRECTOR POCK: Right. MAYOR DICKEY: -- doing. Okay. Thank you. COUNCILMEMBER SPELICH: We're on public safety, so I would just ask if this is not the proper place for this, but we had an audit going on too. Have we had any resolution n that yet? MANAGER MILLER: I'll let the finance director give an update on that. DIRECTOR POCK: So we actually have had two meetings with MCSO after we finished -- after the auditors finished looking at it. We're reviewing their last comments on the findings, and we do need to set up another meeting with them to kind of see where we're going to go next. Once we do that, I believe we'll be coming to Council in an e-session to talk about it. All right. Speaking of MCSO. And again, this looks a little skewed just because of the money that was budgeted in Special Revenue Fund this year. I should've looked -- we did get the final numbers. I think it was -- was it a five percent increase? Okay. All right. And that finishes the General Fund. So as far as this presentation goes, I'm only including the major fund, so it's the General Fund, the Streets Fund, and the Capital Projects Fund. All the other funds are included in the proposed budget that you received. If you have any questions on those, just let me know, and I can get those answered for you. So as far as the Streets Fund, this one, there isn't a requirement to have a balanced budget, so the bars are not the same length. You'll see that for Fiscal Year '23, the revenues are less than the expenditures. That's because, like I said earlier, we don't budget for the transfers. If it's Council's direction to do the 2.1 million transfer into the Streets Fund, similar to what we did this year, then obviously, those revenues are going to look higher when we do our Actuals. So right now, 5.9 million in expenditures for next year with 4.3 coming in from multiple sources. Not all of that is HEERF fund. Some of it's from TPT. The HEERF fund, VLT, and then there's one other of, like, miscellaneous fees and interest and that sort of thing. So as far as the Actual revenues, wasn't really trying to do these from CITY OF FOUNTAIN HILLS Page 30 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 30 of 52 memory. I should've just switched the slide. So you can see the different sources there. And then the expenditures. So fairly consistent from this year to next year. Any questions on the Streets Fund before we go on? Okay. Capital Projects. There have a been a few little changes to this. One was there was an opportunity that came up with a grant for the safe routes to school for next year. It's basically for some safety studies. Our portion of that would be $7,000. The fed chair would be 117, almost 118,000. So that was included as a line item. Any questions about that? I'm not the one to ask, but I know the guy that is. His name is my name too, so. All right. MAYOR DICKEY: (Indiscernible). ALL: [LAUGHTER]. DIRECTOR POCK: So these are all of the public works requests. There was one other minor change in here about a third of the way down with the Phase II Panorama Drive. That increased 30,000 from the last estimate. It was originally shown to you at the CIP workshop at 995,000, now 1,025,000. And then you'll see that last line, the Safe Routes to School shows the total for that project. However, we would only responsible for 7,100 for it. MAYOR DICKEY: Alan? COUNCILMEMBER MAGAZINE: Yeah, I've given this quite a bit of thought, and given the Reserve Fund and everything, I know folks think we should spend the money on the roundabout now and that it could cost more in the future. As I think staff knows, I favored this for quite a while, but I'm beginning to think that we should not be spending the money this year. It could be looked at again next year or the following year. Same with the -- where is it? I'm looking down. The Overlook, the access and Lake Overlook. So we're talking -- I'm losing track here -- I don't know, $350,000 or something like that. Does that seem right, David? DIRECTOR POCK: Yes. COUNCILMEMBER MAGAZINE: So just me personally, I'm having some trouble with this, even though I had favored it in the past. MAYOR DICKEY: Sir? COUNCILMEMBER SPELICH: I am stunned, but in the best way. I too am opposed to CITY OF FOUNTAIN HILLS Page 31 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 31 of 52 this, vehemently opposed to it, and I can't believe we found common ground. COUNCILMEMBER MAGAZINE: It happened once last year. ALL: [LAUGHTER]. VICE MAYOR FRIEDEL: Can I jump into that pool too? The water's warm, come on in. I just think that if we don't have the money to do that program, the roundabout, why do a study and a design, and sit it on top of the refrigerator and let it collect dust? And then when we do have the money to do it, it'll have to be redone or amended anyway. So again, I agree with you two guys. MAYOR DICKEY: Grady, do you want to -- MANAGER MILLER: Yeah, I just wanted to -- MAYOR DICKEY: -- Grady and I talked a lot about this earlier. MANAGER MILLER: I just wanted to chime in. I totally understand where the Council members that are concerned about the costs on the design. The one thing that I just want to remind the Council, obviously, it's up to the Council as a whole what you want to do, but we've been very fortunate with seeking and being successful in applying for grants. And with the infrastructure bill, if, you know, these are gifts that you have out there that you will probably not be able to see again in our lifetimes. And if we have projects already shovel ready, meaning they're already designed, then we might be giving up money that would be paying for the actual project itself. So I'm just going back when we had the stimulus money from the Great Recession. Those cities that were able to get to the front of the line were the ones that had the designs already. Those that didn't, they were not really considered because there was just too many projects for consideration, and they didn't meet the prioritization. So I hear what the Council is saying, and if that's what the Council wants to do, obviously, the staff and I will abide by what you want to do. But I just want you to think about it from a perspective of these projects may or may not get done. So there's not a guarantee that we can get federal funding for these, but at the same time, these projects tend to go up in cost. And I'll give you an example. Several years ago, we had identified the fire station, Fire Station 2, and we said the same thing. The Council at the time, we were in a Great Recession, so I understand the Council's decision at that point, but by holding off, CITY OF FOUNTAIN HILLS Page 32 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 32 of 52 it caused us to have that project go up not only in cost to the point where the development fees were not enough to pay for that project. We had to have General Fund money that kicked in. So just these are considerations for you to make and if you wanted to give us direction tonight, we'll take the direction to take this off, but I just want you to keep those kind of thoughts in mind when you ultimately make your decision. MAYOR DICKEY: Sharron? (Indiscernible) -- COUNCILMEMBER GRZYBOWSKI: Two things. One thing I should've brought up about 42 slides ago, but I sat on it because I'm not sure if it's going to come up again later, but the reserve money that was actually mentioned was really only for the Lake Liner. I believe there's also another million dollars put aside for unexpected air conditioning breaks, somebody vandalizes the bathroom, that kind of thing. And that was not included in that. That being said, directly regarding that overlook concrete area, whatever we're calling it, one of my big concerns about designing it is I feel like our disc golf club people and our parks and rec people one hundred percent need to be looped in on any conversation that happens there. Our disc golf area is world renowned. People from around the world come here to use it, and we have had tournaments here. So are we impacting the disc golf? We also plan events there and make money on events that are there, so I feel like unless we're ready to have that conversation with parks and rec, with community services, with the disc golf people, I don't even know if we're ready to have the conversation about the Lake Overlook or the concrete area, whatever we're calling it. MAYOR DICKEY: Thank you. Alan? COUNCILMEMBER MAGAZINE: I have in the past more than once asked for a list of projects that we are not funding. Where is that list? DIRECTOR WELDY: Madam Mayor, Council Member, we actually -- that list lives in our planning, our horizon. There are projects that we discus with the town manager that require long term planning that are not selected each year based on prioritization. We can certainly provide to you on a spreadsheet, and we have done that in the past, proposed projects that go back several years that were not selected or deferred or deemed unnecessary. COUNCILMEMBER MAGAZINE: I really have asked for this several times. I've yet to CITY OF FOUNTAIN HILLS Page 33 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 33 of 52 see it. Projects that may not have been deemed necessary before, maybe coming up again, maybe something we should consider. I don't know how, I, for one, can make a decision on something on 350,000, $400,00 when I don't know what else it could be used for that we may deem at least on the part of the Council or me, something that we want to give priority to. MANAGER MILLER: Well, I just want to just remind the Council, and I can appreciate what Council Member Magazine has said, but the capital is really -- the staff makes recommendations. We present those to the Council. We start off with the Council retreat. We have a capital meeting with the Council, and you continue to provide direction to staff as to what you want to see. We had a discussion during the retreat, I think, with Council Member Magazine, saying he had concerns about in the future, like, going ahead and approving -- once the budget was adopted, he had concerns about some of these that might be in the plan. And we reminded the Council member and the Council that you always have -- you reserve the right not to approve a contract or award a contract, and that's how we've dealt with that. And there have been occasions when the Council opted not to go forward with something that was in the capital improvement budget. But I'm hearing something different from you tonight, which is you're saying you would like to see a list of projects that have not passed the cut list, and you 'd like to see that in consideration of the ones that are being recommended. COUNCILMEMBER MAGAZINE: Grady, with all due respect, I have gone over this and over this and over this. This is not the first time. I have cited, over the last couple of years, several times that I want to see the cut list that doesn't make it into the budget so that we can make an intelligent determination as to what's more important than something else. So for example, if we take $350,000 and we don't spend it on this, what are some other projects that didn't make the cut list that you determined and staff are more important? MANAGER MILLER: Um-hum. COUNCILMEMBER MAGAZINE: I've asked for this. I've asked for it repeatedly -- MANAGER MILLER: Well -- COUNCILMEMBER MAGAZINE: And I've -- CITY OF FOUNTAIN HILLS Page 34 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 34 of 52 MANAGER MILLER: -- you definitely are getting it on the operating budget, and I don't remember seeing this or having heard this at ever for the capital. So if you go back, David, just go back to the town manager recommended listing, there's a number of items there that are not recommended, and you can see that. You can see a column showing not recommended, but on the capital, I've never remembered ever hearing that you wanted it handled that way. COUNCILMEMBER MAGAZINE: Okay. Maybe I wasn't specific enough. MAYOR DICKEY: I think we're kind of talking about how do these things get generated. So when, you know, over the course of the year, there's either our directors hear things, or they get ideas, or we have ideas, and they come up with their recommendations. So it doesn't necessarily mean something got cut. I mean, so everything that gets suggested all year long, it might be hard to kind of enumerate that. To say, well, maybe somebody thought they would like -- MANAGER MILLER: So -- MAYOR DICKEY: -- you know, a senior playground, say. So somebody may have said they would like to have a, you know, an area in the playground or at the park that's a senior. So you're saying that you would like to see every suggestion or every thought that came so that you would -- so that at our level, we would be like, okay, I'd rather, you know, I'd rather see that. I'd rather see a spartan race track or something than, you know, doing something at the skate park. So you'd rather see everything that -- I think what we're -- to me, we're getting the recommendations from staff based on a lot of different input. MANAGER MILLER: And if -- MAYOR DICKEY: And then we -- MANAGER MILLER: And if I may, Mayor, so what is in front of you is sort of what Alan's getting at, but it was handled -- that was at the -- was is at the retreat or was that at the capital meeting? So the capital meeting in March, which you see in front of you has the column showing the -- left column showing costs and then the recommended amount. And there were some things that were recommended, either to postpone or not to go forward with. And that was handled last month at the capital improvement budget meeting. CITY OF FOUNTAIN HILLS Page 35 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 35 of 52 COUNCILMEMBER SPELICH: Thank you, Madam Mayor. I pray that the wait time at the male emergency room isn’t long today, because I'm going there, because I'm agreeing with him again. He one hundred percent has asked for this before. I remember it distinctly, because I kind of thought it was a good idea. I just want to briefly touch upon what the town manager had to say about possibly missing out on some funds coming in the infrastructure bill. Let's address the 800 pound gorilla in the room. The index just came out this morning. I think they said inflation was 8.5, 8.6 percent. Anybody that knows anything about business or anybody that's good with numbers knows that number is closer to 14 percent, so that's a BS number. I believe that, and this is just from what I've seen, I believe that what we've experienced in 2008 and 2009 will pale in comparison to what we're about to experience in the very near future. I think you're going to see a collapse of the real estate market, devaluing of the dollar already. I could go on for hours about this. I just am a firm believer, and it was pointed out recently this weekend at the oaks golf outing when people came up to me and asked me if I was crazy, the shade structure leading the parade and that crazy talk. But also, sorry Rachael, but I think that they're -- we as a council have to be very cautious about the difference between wants and needs. What we want and what we need. And I would really, really suggest that we as a Council think about the money that we're going to spend on this overlook and this roundabout, and all of this stuff. I think that will there be a cost increase if a year or two from now we use a consulting firm again? Yeah, of course there's going to be a cost increase. Would the cost increase be the same? I don't think it's a genuine argument when you're saying, well, there's going to be a cost increase. It's not like we've already have the plans and we're in the process of purchasing materials, and you know, you have a material list and it's x amount of dollars. Now, two years, of course, in two years that material list could go up. I don't think a consulting company is going to go up quite as much as the actual building materials and everything. So I just -- I don't mean to go on a tangent, but I just caution this Council, that's a lot of money. That's money that could be spent on other things, and I just don't think -- I haven't gotten one email from one resident that was for this study. And I just want to really be cautious about spending that amount of money on these two projects. CITY OF FOUNTAIN HILLS Page 36 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 36 of 52 MAYOR DICKEY: Sharron? COUNCILMEMBER GRZYBOWSKI: One thing I want to make sure for the thousands of people at home watching, I want to make sure that you understand that Councilman COUNCILMEMBER SPELICH just used the word study. What we're talking about is spending money on a literal study and design of the roundabout for the intersection at Saguaro and the Avenue, and the pedestrian access in Lake Overlook. It is not actually doing the work. The money that we're talking about is for a study, and I think that's the first time we used the word study today, so I just wanted to make sure that our thousands of fans actually knew that. MAYOR DICKEY: Mike? COUNCILMEMBER SCHARNOW: Yeah, no, I'm listening, and I hear you. But I'm kind of like, you know, this is a budget session, and we could be budgeting this money. But say the design contract for the roundabout or design contract for the overlook, they're big enough numbers that we're going to go out for bid or whatever, and they're going to come to the council for contract -- MANAGER MILLER: Um-him. COUNCILMEMBER SCHARNOW: -- that we have to approve. So if, you know, that might happen in the next 12 months. It might not. But you know, it's always something we can just turn down at that time or say, no, if, you know, things, you know, the economy tanked per expert David over there. Who knows, but you know, it's not something that we're signing a contract tonight to commit this money. I mean, we're budgeting it into a category, but we're not spending it. MAYOR DICKEY: Right. COUNCILMEMBER SCHARNOW: Yeah. MANAGER MILLER: No, absolutely. And all I was trying to make a point. I wasn't talking about the cost escalation on the design. I was really talking about the cost escalation on the construction, and we've seen cost escalations on projects the town has done to our surprise and dismay. Again, if Council doesn't want to do that, you know, we're not trying to twist your arms into approving these, so -- and to Council Member's COUNCILMEMBER SCHARNOW's point, you know, Council always has the right to say no, or even if it just budgeted. So it's entirely up to the Council if you want it in or if CITY OF FOUNTAIN HILLS Page 37 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 37 of 52 you don't want it. If it is in, then you don't you have to go forward with it if you don't want to. MAYOR DICKEY: Councilman? COUNCILMEMBER SCHARNOW: Because obviously, some of these items, you know, the impoundment area, storm drains, I mean, those take higher priority. You know, they're obviously bigger ticket items as well. You know, and even the wayfinding signs, when we had the previous talks, it's like, yeah, let's go ahead with those. But you know, who knows if they're going to come in at 235, or they may come in at, you know, 350, 450, and then we're like, well, we're going to have to wait. So you know, and we still -- I don't know if we're going to cut the Lake Liner down from a million or whatever, so there's, you know, there's other savings that we could employ here if we need to. DIRECTOR WELDY: Madam Mayor, if I may in regards to the improvements at Avenue, the Fountains and Saguaro and the Lake Overlook, neither one of those are studies. Each of those are design numbers. We already know that we need intersection improvements to increase traffic flow and pedestrian safety, and we already know that the lake is not accessible from the avenue in the fountains to the amenities, so there won't be any study included in it, just design. COUNCILMEMBER MAGAZINE: Where -- MAYOR DICKEY: Thank you. Councilman? COUNCILMEMBER MAGAZINE: I have to hate to say it, the community center shade, where is that? MAYOR DICKEY: That's next. DIRECTOR GOODWIN: It's coming. COUNCILMEMBER MAGAZINE: That next? DIRECTOR GOODWIN: On it's way, sir. ALL: [LAUGHTER]. COUNCILMEMBER MAGAZINE: That's coming up next? COUNCILMEMBER GRZYBOWSKI: We're on public works. MAYOR DICKEY: We're doing public works. COUNCILMEMBER MAGAZINE: I'm very excited about it. I just want to deal -- I'm very excited about it and I can't wait for it to come before us. CITY OF FOUNTAIN HILLS Page 38 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 38 of 52 MANAGER MILLER: Council Member, are you referring -- MAYOR DICKEY: Wait, wait -- MANAGER MILLER: -- to Rachael's umbrella? ALL: [LAUGHTER]. MAYOR DICKEY: That's public work. We're still on public works here, and the roundabout is -- well, just to get back to that like to have or need to have kind of a discussion, a lot of what we do are like to haves because we're trying to have a community that people want to live at and have enjoyment. And I mean, parks and rec, no offense, but all of that is like to have. So we have the things that we need to do, the retention, the water, those things. Well, first of all, I think the roundabout is a safety issue one way or the other, that intersection. And I also know that it's an economic development boon to look at this overlook and to look at the roundabout and look at the Avenue, the Fountains altogether. This originally was a discussion in 2013, something like that. Maybe before. So we've had a lot of time -- COUNCILMEMBER MAGAZINE: We should've funded it then. It would've been cheaper. MAYOR DICKEY: Well, I tried, and again, it's in our general plan, and it's in our downtown development plan. We have some downtown money, we have tourism money, we -- well, we did have some environmental money, which -- in other words, we're saying that we budget for this. This is how we come up with our maximum budget amount that we will be approving. Doesn't mean we have to spend it, but I think in light of the billions of dollars coming in to the State of Arizona with the infrastructure bill, we can very easily call that roundabout an infrastructure project very easily, and even the access to the -- down to the park could be looked at like that. So I think we have a lot of options here. I think that we sort of (indiscernible) ourselves by not at least going ahead with the design so we have an ability to use some of these other funds and other things available. And again, you know, it will come back just like everything else does with a request for proposals or such. And if it's just, like, hey, no way, you know, we'll know a lot more as the year progresses too of what our financial health will be. But I really feel CITY OF FOUNTAIN HILLS Page 39 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 39 of 52 like this is an important step for us to go ahead and go with this design for both of these, especially the roundabout, but it makes sense to do them both at the same time because they're right there. So I would be in favor of keeping these in the budget and leaving them as an option as we go forward in '23, '22/'23. DIRECTOR POCK: All right. As far as what Councilman Spelich brought up as far as the economy, that it is -- today was a big number for inflation, and I don't see -- I agree with him, I don't see it going down anytime soon. But I would like to point out, which you've already pointed out as far as the capital projects, this does just put it in the budget. It doesn't mean that the contracts get approved later on down the road, so that does give us kind of a check valve when it does -- before the project gets started. So that's as far as the Capital Projects go. I would also like to say that the contingencies and the General Fund side gives us that check valve on those expenditures as well. If we see revenues dive, at least we've got 2.9 million this coming fiscal year to kind of -- to identify and say yes, this is a problem. It's going to be a long term problem. It gives us some time to make some adjustments in the overall General Fund budget as well. All right. With that being said -- ALL: [LAUGHTER]. [CROSSTALK]. DIRECTOR POCK: I want to take cover fast enough. No, so as far as the park's requests for next year, I will mention that there was an adjustment made on this as well. The Centennial Pavilion. I don't get to say it very often because I'm always saying umbrella, but it was at the CIP meeting at the 375,000 and it was adjusted down. And I'll let Director Goodwin talk about that. DIRECTOR GOODWIN: Mayor and Council, thank you. I would like to point out, and Mayor, you already kind of commented on this tonight, that the way this is presented tonight looks different than the way we've talked about it earlier in that the way we've done the Capital Projects for the parks is by parks. So you're seeing a total by a park, not per a project, the way we reviewed them previously. So if you have a question specifically about a project and hey, I thought I we were going to do the skate park. Well, it's in there, it's just under desert vista park because that's where the skate park lives. So that is where each of these projects are. CITY OF FOUNTAIN HILLS Page 40 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 40 of 52 But to get right to the point, I know the Centennial Pavilion has been the topic of de jour. So yes, after we met last time, it was brought up if we could reevaluate how to bring the cost down, also look at if the revenue potential for it, so that's what we were able to do. The pavilion itself is really a facility. It would be an addition to something we could host events under, programs, performances, gatherings, private rentals, whatever you want to have under there. And I also understand the conversation about not wants versus needs. I certainly do. And I do think that there are a number of things here that we've talked about that are needs. We need new lights. We need a new skate park. It's crumbling. It's at a point where it needs these things. But it's also prudent of us to take the feedback that we've gotten about our community and what our community wants to become and make strategic decisions about leading in that direction too. So it is a balance, and I certainly respect that, and I appreciate the conversation this evening. That being said, we do feel we can do the Centennial Pavilion at a reduced cost if we take out some of the exterior additions, some of the landscaping, some of the other things we were intending to do around the space, and do those in a more phased approach. We plan on replacing some of the benches and some of the pads and redoing the whole space as an entirety. We do believe if we can phase that over time, that we don't have to do all that all in one fell swoop, so we can get that cost down. And answer to Councilman Spelich’s question about revenue, having talked with staff and done a quick analysis, we do believe that this is something that can probably bring in roughly about $8,000 a year in revenue. That is a conservative estimate. Of course, we don't know until we try or till we do, but that's based on roughly ten half day reservations a year under the same pricing model that we use for the amphitheater. That being said, what can I answer for you? MAYOR DICKEY: Vice Mayor? VICE MAYOR FRIEDEL: I have a question. Yes, the cost is a concern. Does it make any sense to wait on this project until the dark skies people have done their bit around there? DIRECTOR GOODWIN: That's a great question. Because we don't know their timeline, it's really hard to answer to say, you know, we don't know when they're breaking ground or when their project will begin. Obviously, they have quite a bit of funding to acquire CITY OF FOUNTAIN HILLS Page 41 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 41 of 52 first. I did have the opportunity to meet with several members of their committee, not all of them. But we were able to visit that and see the space, and they were supportive of the structure that it's not a hinderance to them. If anything, it would add, again, to the scape and the experience of folks coming to our campus here. Waiting on them would be a unknown because we don't know when they'll start that project. MAYOR DICKEY: Councilman? COUNCILMEMBER MAGAZINE: The most recent survey we saw indicated that the number one priority for the town was roads. Well, I know $275,000 wouldn't even do more than fill a few potholes. However, there comes a point where I think you have to draw a line in the sand, and I just think, you know, the community center's been there, for, what? 27-something years? DIRECTOR GOODWIN: Um-hum. COUNCILMEMBER MAGAZINE: And we have done just fine without this. And would it be nice? Sure, there's lots of things that are nice, and I think it would be very nice, but I just can't in good conscious go along with something like this even though it's only 270 -- but it's 275,000 here, it's 300,000 there, it's 400,000 there. Pretty soon you're talking real money, and I think at some point you just have to draw a line in the sand, and I'm drawing the line in the sand on this one. DIRECTOR GOODWIN: Fair enough. All right. Thanks. DIRECTOR POCK: All right. I'm back. This next slide changed a little bit, too, from our last meeting on the capital improvement program. I did not have next year's estimated revenues, so now I'm just looking -- that should actually say fiscal year '23 construction transaction privilege tax. I apologize for that. So I didn't have that in the last slide, so we will have more of a fund balance so just to breaking even between project costs and revenues. Any questions here? All right. Keep missing my -- I can take those question slides out. Sorry. All right. So we've already talked a little bit about this in the discussion, but the Infrastructure Investment and Jobs Act just to give you a little bit of background on it, and then the types of projects that are going to be available. The background, it was signed into law November 15th, 1.2 trillion to be spent on various types of projects. I'm pretty sure that might the only time trillion gets spoken in this microphone, but who CITY OF FOUNTAIN HILLS Page 42 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 42 of 52 knows. Inflation is kind of crazy. The program categories include transportation, environmental, energy, broadband, cyber security, and disaster response. As far as the potential grant opportunities for the town that I was able to see, transportation, the safe streets for all program, basically focuses on cyclists and pedestrian safety so there's definitely some opportunities there. Waste water, as far as the water recycling reuse in storage. I think we've got some of that going on down the street. And then flood mitigation, which has also been a big topic for the town lately. There's even some cyber security grants that might be available and news as far as vulnerability assessments and continuity of operations. We actually just started working on our new coup, our -- this is why they call it the COOP. Continuity of Operations Plan. So as far as going forward, there's many federal departments and agencies involved in trying to get their piece of that 1.2 million dollars. You can imagine that's taking a little time to coordinate. ARPA funding, last year, they basically got the bill signed and threw the money out right before they even had the guidance in place that was kind of an interim final rule, which didn't make any sense. Finally got the final, final rule a couple months ago. That caused a lot of problems, so I think because of that, they're taking their time with this funding and so it might be allowed before we actually see the guidance on this. We'll watch for announcements, obviously. The Leagues are a great source of information for us. We did add additional contingency in the Special Revenue Fund in case any of this becomes available in Fiscal Year '23. Contingency and Special Revenue, it matches revenue and expenditures on both sides, so it's basically a wash. And it doesn't account towards our expenditure limitation for the year. I hit a slide. ALL: [LAUGHTER]. DIRECTOR POCK: All right. Are there any questions on this? All right. Then the last section is Biz Hub, and I get to leave and turn it over to Amanda. MANAGER MILLER: So Amanda wasn't here, but when this first came up, we were at the Council retreat back in February, and I proposed to the Council an idea, a recommendation that we consider leasing the Four Peaks Elementary School from the CITY OF FOUNTAIN HILLS Page 43 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 43 of 52 school district for the purpose of continuing with the Biz Hub. Biz Hub was originally created a couple years ago, and with the departure of East Valley Institute of Technology, it's been really languishing and it really hasn't really reached its full potential. So I'm going to turn it over to Amanda, who is going to go through some slides. I understand there's some questions that Council has. we'll be happy to entertain those questions when she's done with her presentation. MAYOR DICKEY: Okay. ECONOMIC DEVELOPMENT DIRECTOR JACOBS: Good evening, Mayor and Council. So as Mr. MANAGER MILLER mentioned, we brought this up as a proposal during the retreat. I'm saying we, I was not here, but was with you guys in spirit, and so wanted to give you guys a status update. You'll see throughout we don't have all of the information. I'll say where, but we wanted to, again, give you an update. This is a placeholder in your budget, and we're hoping to get a little bit more information, questions council has so we can come prepared and have all that information before that tentative budget adoption, which I think is scheduled maybe tentatively on May 3rd. So Grady already mentioned sort of a little bit of the history, but really the Biz Hub was designed as a business accelerator. We haven't quite achieved that. I mean, so what that is bringing in, you know, small startup businesses, having a shared use space, and again, when we're talking startup, they don't really have the capital to go into a space. They may have an idea, and so we're looking to see if we can achieve that. And so leasing for about three years and partnering with the Arizona Business Advisors to help us with the marketing and leasing of the facility. So here -- so that top picture are some employees actually currently at the Biz Hub, and so there's over 61,000 square feet for the Four Peaks. There's nine current tenants. Two of those were originally home based, and we just heard that was one is looking to potentially expand within the school, so that's great news. And the town currently has approximately 300 home-based businesses, so we're thinking that could be a target market for this. One of our businesses has done truly what an accelerator does. They kind of started up in there, and then they left, and have a bigger footprint within the town of Fountain Hills. And so again, that's what we're wanting to see. And then currently to this day, we've got three potential leads, some in health and CITY OF FOUNTAIN HILLS Page 44 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 44 of 52 wellness, one in assembly. So there is a desire for this. So here I sort of mentioned, so there's going to be some one-time costs for landscaping and resurfacing the parking lot. There could be some other fees that we are still working on. So we're waiting on third parties. Wish I could control them, but we can't, and so again, it appears we could get all that information before the May 3rd and want to make that commitment to you because want make sure you guys can make an educated decision and have all the facts. And so -- MANAGER MILLER: And if I may, Amanda, I just want to jump in on the parking lot. So the parking lot's really in rough shape, but it's really -- we don't have a parking lot next to the park where we just added the ziplines and all that. So we're able to cobble those together, and with the economy's to scale, get a pretty good cost per a square foot on the parking lot improvement, so. So we're thinking ahead and trying to save money so that wouldn't be so cost -- and I think right now, Justin, wasn't the estimate that came in, was it for 19,000? That would do the school district part of the parking, and we'll only do that if we have a lease. We're not going to put it in unless we have a lease, as well as the side worthy alleyway and the parking lot is adjacent to the park, so. DIRECTOR JACOBS: And then so this next slide and final slide before we get to questions, is again, just tentatively looking at expenses at a flat rate of 75,000, and then revenues, I will tell you, I was very, very, very conservative. And so for '23, we're looking at over a 124,000. In '24, 181,000. And then in '25, 238,000. And so for '24 -- so '23, looking a little bit flat, kind of staying flat this year, next year, in '24, '25, assuming potentially four new tenants. And so it doesn't include a concept of a coworking space in the library where we could rent out, again, maybe capitalize on the home-based businesses, and also any type of shared costs as we talked with our partners, the Business Advisors. Quite often sometimes you see the tenants share in the some of the costs of the utilities, but some of that was not assumed. MANAGER MILLER: Yes, I just want to point out a few things. So this is not to point out that we're making money on this. I think you're going to be -- we'll probably be breaking even, or we'll probably be subsidizing, probably about 50,000 when this is all said and done. But we needed a placeholder from a budget standpoint to appropriate and have money in the budget for next year if this ends up happening. CITY OF FOUNTAIN HILLS Page 45 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 45 of 52 As we mentioned earlier, there were questions about the condition of the building. We anticipate, again, probably at worst case scenario, we'll probably lose about 50,000 dollars a year, and I would probably -- we also looked at the current leases, and that's where we were able to get, like, for next year, we know that you can pretty much count on 124,000 dollars on that. And that would have to be, of course, worked out in the lease agreement that we would be the primary anchor tenant and that we would be receiving the rental revenue for that and probably have some other protections in there for the town. Turning it back over to Amanda, I think I saw some other questions here. MAYOR DICKEY: All right. Alan? COUNCILMEMBER MAGAZINE: Yeah, I confess I know very little about this. The revenue comes from the tenants? DIRECTOR JACOBS: Correct. COUNCILMEMBER MAGAZINE: And what do we charge per a square foot? Any idea? DIRECTOR JACOBS: So Madam Mayor and Council Member Magazine, right now, it varies and has been between the school district and the Arizona Business Advisors and the tenant, but I'll tell you it hasn't been consistent and it just varies. COUNCILMEMBER MAGAZINE: Well, would it be the same for everybody? DIRECTOR JACOBS: It is not because of different square footage. Some of the tenants have combined spaces, so it's not -- yeah, it's different. MANAGER MILLER: Yeah, and some of this information is proprietary for us to share -- COUNCILMEMBER MAGAZINE: All right. MANAGER MILLER: -- because, you know, there's also a private sector that we compete with on this. COUNCILMEMBER MAGAZINE: Is it below market? Can you tell us that? MANAGER MILLER: For the most part it is below market -- COUNCILMEMBER MAGAZINE: Below market. MANAGER MILLER: -- that's why they're there. COUNCILMEMBER MAGAZINE: And how many square feet is this? DIRECTOR JACOBS: For the building, it's over 61,000 square feet. CITY OF FOUNTAIN HILLS Page 46 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 46 of 52 COUNCILMEMBER MAGAZINE: And how many square feet are being used now? DIRECTOR JACOBS: That I don't know off the top of my head. Justin? DIRECTOR WELDY: 35,000. DIRECTOR JACOBS: 35,000. MANAGER MILLER: And something we didn't mention is in addition to this, we've identified, like, they have what's called a cafetorium. It would be a combined cafeteria and auditorium. We believe that we would also like to use that space after hours and on weekends for community services used for programming and maybe a teen center or things like that, but we would try to do it in such a way that it doesn't interfere with the daytime business use, which is the primary intended use of this building. COUNCILMEMBER MAGAZINE: I assume there's some criteria you use in terms of who you're willing to lease to? Or would they be developed, some kind of -- DIRECTOR JACOBS: And so that we're looking at depending on what, you know, Council's direction is, we've started having conversations with the Arizona Business Advisors, but what we're talking about is a bit of a reset. So it's clear on what type of businesses we're targeting. So we had a meeting this week, again, looking at what is already existing and capitalizing on. So again, the health wellness, we've got the watch that are assembling watches. And again, someone similar, a different industry of assembly. And so we've landed on that, but there's still work to be done on the targeted industry. COUNCILMEMBER MAGAZINE: I know that you led with health and wellness. Was that aimed at me? DIRECTOR JACOBS: It's just -- COUNCILMEMBER MAGAZINE: You're up to answering that. DIRECTOR JACOBS: It's just happening, Council Member. MANAGER MILLER: Mayor, if I may too, that's a good question. And I've kind of turned my nose up at a couple tenants, and you know, I can't really go into details, but they were ones that I did not think really fit with the business accelerator. And it's nothing against the school district or what they're currently doing, it's just that they were the type that would probably get in and probably would never grow and get beyond that. And it was probably they were more youth oriented and not actually, like, they were like, CITY OF FOUNTAIN HILLS Page 47 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 47 of 52 proprietorships and not actually businesses. So that's why I was kind of concerned, and so we're trying to develop what that criteria would be so that we would ensure that the best use of the facility is intended here. COUNCILMEMBER MAGAZINE: That's right. I do have one other question. Since it's below market rates, is there some point at which you say to a company, time to move out and go somewhere else? You may not be able to answer that, but I mean, do they stay below market rates for as long as they want, no matter how successful they are? I guess this is part of the question. DIRECTOR JACOBS: So Mayor and Council Member, one, we're going to need to adhere -- and we're looking with our legal department, so we're going to need to adhere to what current leases are in place, but that will be part of our strategy if we do get the go ahead from Council to have those very conversations. You're welcome. VICE MAYOR FRIEDEL: I'm assuming our goal here is to have these people move into some of these vacancies in our downtown area. MANAGER MILLER: Absolutely. VICE MAYOR FRIEDEL: That's why we're doing this. And your leads are going to come from some of our home-based businesses, and you're going to -- I'm assuming you're going to work with our chamber to get some leads too, maybe? MANAGER MILLER: Actually, who's been the biggest lead prior to the town's involvement has been MCO Realty, so you're probably familiar with a realtor named Dzintars? VICE MAYOR FRIEDEL: Um-hum. MANAGER MILLER: He's actually been very active with trying to flush out leads with the school district, so I think that's going to continue. DIRECTOR JACOBS: Mayor and Vice Mayor, I'll say all of the above, and so one thing we need to work on is that marketing, having that consistent messaging, and all of our partners knowing that availability. For this to continue to be successful, we need to rely on our community partners, so yes. MAYOR DICKEY: Yes, Sharron? COUNCILMEMBER GRZYBOWSKI: I have a long list of things. My concern about community services getting involved in the building is one aspect is you've got CITY OF FOUNTAIN HILLS Page 48 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 48 of 52 businesses in there and they're not limited to you have to be out by 5 o'clock, so the evening hours are kids screaming or whatever. You may be annoying to some business owners, so we need to keep that in mind. Are we taking into consideration that we're going to have to hire a whole new community services staff to man this place? We're going to have to worry about janitorial services. It's going to have to be daytime and nighttime because now we're operating on both ends of the spectrum. There's also safety concerns that to my recollection, I've toured the building probably a half dozen times now. I don't remember that there's like drop down gates like you guys have down here to keep the kids on what we'll call the kids' side from the business side, so I feel like that would be an issue. It's been a while since I've been there to get connected to the internet, but the internet really was bad last time I was there. I also -- I didn't see it in the fabulous picture that was shown a little bit earlier, but somebody told me that there are tarps on the roof, so I feel like I've heard plumbing problems and roof problems. Lah, lah, lah. MANAGER MILLER: Well, if I could just address the roof issues. So that is correct. We have seen that physically, but there have not been any detected leaks with when we've had the most recent rains. The staff went out there to go check and see. We did get some estimates of what it would cost to seal up the top of the roof just so that we would have an idea, and it was going to be -- was it 200,000? So that wasn't a new roof, that was just to put a seal on it. As far as the plumbing, we have had it scoped. Has that been completed, Justin? DIRECTOR WELDY: Thank you, Madam Mayor. MANAGER MILLER: And that's a sewer plumbing. DIRECTOR WELDY: Council Member, there was a considerable amount of conversation to catch everybody up about the new addition on the western side not having met the codes. In fact, our due diligence under the direction from the town manager demonstrated that the pipe that services that area is in fact of adequate size and it has adequate slope on it. What it was is that it's -- the heat traps in all of these sinks, and laboratory area is drying out, and that allows sewer gases to come in to other areas of the building. So we are confident that the sewer is adequately sized and functioning in regards to that portion. And you should --- and I'll also say this. We have had the fire marshal in there and lots of other professionals as part of our due diligence to ensure that CITY OF FOUNTAIN HILLS Page 49 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 49 of 52 we're providing the best up to date information to the town manager, of course, to provide back to the mayor and Council in their decision making. So there is a relatively large list of items that we've addressed in regards to life safety and access and we will certainly move forward on some of those if directed to do so. COUNCILMEMBER GRZYBOWSKI: I still have a couple of things on my list if I can - MANAGER MILLER: No, no, please do, I mean -- COUNCILMEMBER GRZYBOWSKI: I know with, and I don't really know how to ask this, but with the school being in charge of the building, as the advisory commission, and that's the committee. That's the only reason why I know about this. New businesses coming in needed to be a teaching or learning type thing to accommodate the fact that it was still a school. So that being said, I don't know if I'm concerned about that or just tossing that out that that might still be a problem that we need to take into consideration if we're going to renting this out. Also, stop me if what I'm about to say is too much, but I'm under the impression that there are two businesses moving in that would meet the learning/teaching requirement, but they're actually existing businesses in town. So I don't have a problem with that, but I'm just pointing out that it's not a business incubator as we had hoped for. So are we going to be a business incubator, or are we looking for just business? I just feel like there's a lot of unanswered questions that we need to resolve before I'm actually ready to even have a conversation about it. MANAGER MILLER: I'll let Amanda address that, but I think I kind of touched upon my concerns with a couple that were going in, but do you want to address what she just brought up? DIRECTOR JACOBS: So two would be new. One we toured. Again, we can't give too much information, but could no longer afford their rent, and so was looking at the Biz Hub. But as of this time, it is not going to work for a variety of reasons. MAYOR DICKEY: (Indiscernible). COUNCILMEMBER GRZYBOWSKI: Don't get me wrong, I'm not shooting the businesses that are trying to move. That's not what I was doing at all. I'm just trying to make sure that -- MANAGER MILLER: No, these are all -- CITY OF FOUNTAIN HILLS Page 50 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 50 of 52 COUNCILMEMBER GRZYBOWSKI: -- everybody's singing from the same hymnal up here. MANAGER MILLER: These are all very fair questions and if we -- as an example, if we have to maintain that building, it's a no go. There's no way I would put my reputation or have the town be paying for a considerable albatross to put around our neck here, so we're going do our due diligence before there's a recommendation for a lease here, so. COUNCILMEMBER GRZYBOWSKI: Thank you. DIRECTOR JACOBS: Thank you. MANAGER MILLER: And again, I just want to be real clear. What you have before you, we've just, because of the timing and such, we just have a placeholder in the budget, so there's nothing more than that. So we're not obligated to do, like, the parking lot improvements or anything like that until we actually get a lease agreement, which hopefully is between now and the time the tentative -- well, not between now and the tentative budget is adopted, but between now and maybe the end of the fiscal year. COUNCILMEMBER SCHARNOW: Yeah, I just wanted to add, I mean, in general I'm in favor of, you know, all the due diligence that we can and at least exploring the concept further. You know, it's obviously unfortunate the demographics of the town and the dwindling school enrollment, you know, forced the closure of that campus, and so it's now kind of a community issue because, you know, hate to just have a building sitting there vacant or what have you. And so I think this is a good-faith effort to try to kind of revive that building and keep it viable. But yeah, obviously if there's major issues it's not something, you know, we want to approach either, but I think for this fiscal year we should proceed as you guys are talking about and see what happens. I mean, you know, within the next five years, what have you, you know, might, you know, school district might be looking at, well, what are we going to do with (indiscernible) as well. So I mean, there's just all these community issues that we kind of need to tackle as a team and figure out, you know, what the community wants to do and how we go about it, so. MAYOR DICKEY: Um-hum. DIRECTOR POCK: All right. So I just wanted to point out to our thousands of fans we were reminded of, like I had mentioned earlier, that the town -- the proposed budget book is available on the town's website. If everybody goes to your government and then down CITY OF FOUNTAIN HILLS Page 51 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 51 of 52 in the right side, town budget, it takes you to this page. And the first link under the video is a proposed budget that we just went through today, and it says its not been published. I think I need to flip a switch upstairs. But that's -- ALL: [LAUGHTER]. DIRECTOR POCK: -- where it will be, and it will have all of the detail and everything, the graphs and the entire book. It can be printed. Sections can be selected that you want to print if you don't want to do the whole thing, but that's where everybody would be able to find that. MANAGER MILLER: And David has been very modest. This was a major implementation that both he and the audit on his staff, reall y, were able to do this fiscal year. And it's a workflow web-based system, and so it actually, in the end, it was a lot of effort on their part to get this implemented, but it in the end it's going to make producing a budget book much more easily -- much more easier. The staff also really enjoyed using it, and I think this is just showing the innovation that David and his staff had in putting together something that really streamlines our entire budget process, so kudos to you guys. DIRECTOR POCK: Thank you. UNIDENTIFIED SPEAKER: Well done. MAYOR DICKEY: Yes. DIRECTOR POCK: And then the last thing I would say is if anybody has any questions with the proposed budget before we go through and do the tentative in May, just let us know. We'll be happy to answer. MAYOR DICKEY: Thank you. COUNCILMEMBER SCHARNOW: You need a question slide. DIRECTOR POCK: Oh. Oh, I think it closed it already. Sorry. I'll make another one. MAYOR DICKEY: Then we'll answer. COUNCILMEMBER GRZYBOWSKI: He'll email you one. DIRECTOR POCK: Right. I was just trying to get to, you know, like the 125 slides -- COUNCILMEMBER SCHARNOW: Yeah. DIRECTOR POCK: -- you know, that you're used to. MAYOR DICKEY: Thank you so much for the presentations and all the work that went CITY OF FOUNTAIN HILLS Page 52 of 52 APRIL 12, 2022 COMBINED SPECIAL MEETING/BUDGET WORKSHOP Page 52 of 52 into it, of course, from all our directors and staff and Grady, Aaron, and everybody. So any further questions for anybody? Take a motion to adjourn? COUNCILMEMBER SPELICH: Motion to adjourn. COUNCILMEMBER GRZYBOWSKI: Second. MAYOR DICKEY: Thank you. All those in favor, say aye. ALL: Aye . MAYOR DICKEY: Good night TOWN OF FOUNTAIN HILLS MINUTES OF THE REGULAR MEETING OF THE FOUNTAIN HILLS TOWN COUNCIL MAY 17, 2022 1.CALL TO ORDER AND PLEDGE OF ALLEGIANCE – Mayor Dickey Mayor Dickey called the meeting of the Fountain Hills Town Council held May 17, 2022, to order at 5:30 p.m. and led the Council and audience in the Pledge of Allegiance. 2.MOMENT OF SILENCE A Moment of Silence was held. 3.ROLL CALL – Mayor Dickey Present: Mayor Ginny Dickey; Vice Mayor Gerry Friedel; Councilmember Peggy McMahon (telephonically); Councilmember Mike Scharnow; Councilmember Alan Magazine; Councilmember David Spelich; Councilmember Sharron Grzybowski Staff Present: Town Manager Grady E. Miller; Town Attorney Aaron D. Arnson; Town Clerk Elizabeth A. Klein 4.REPORTS BY MAYOR, COUNCILMEMBERS AND TOWN MANAGER A.RECOGNITION: Stellar Students of the Month for April 2022. B.PROCLAMATION: Police Week | May 11 through 17, 2022 5.SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS A.PRESENTATION: Mayor's Youth Council B.PRESENTATION: Update from the Citizen Streets Committee. C.PRESENTATION: Economic Development - Third Quarter Update 6.CALL TO THE PUBLIC Pursuant to A.R.S. §38-431.01(H), public comment is permitted (not required) on matters NOT listed on the agenda. Any such comment (i) must be within the jurisdiction of the Council, and (ii) is subject to reasonable time, place, and manner restrictions. The Council will not discuss or take legal action on matters raised during Call to the Public unless the matters are properly noticed for discussion and legal action. At the conclusion of the Call to the Public, individual councilmembers may (i) respond to criticism, (ii) ask staff to review a matter, or (iii) ask that the matter be placed on a future Council agenda. None 7.CONSENT AGENDA ITEMS All items listed on the Consent Agenda are considered to be routine, noncontroversial matters and will be enacted by one motion of the Council. All motions and subsequent approvals of consent items will include all recommended staff stipulations unless otherwise stated. There will be no separate discussion of these items unless a councilmember or member of the public so requests. If a councilmember or member of the public wishes to discuss an item on the Consent Agenda, he/she may request so prior to the motion to accept the Consent Agenda or with notification to the Town Manager or Mayor prior to the date of the meeting for which the item was scheduled. The items will be removed from the Consent Agenda and considered in its normal sequence on the agenda. MOVED BY Councilmember Sharron Grzybowski, SECONDED BY Councilmember Alan Magazine to approve Consent Agenda Items 7-A through 7-C. Vote: 7 - 0 Passed - Unanimously A.CONSIDERATION AND POSSIBLE ACTION: Approval of the minutes of the Council Retreat of February 22, 2022; the CIP Workshop of March 22, 2022; the Regular Meeting of April 19, 2022; the Special Meeting of May 3, 2022; and the Regular Meeting of May 3, 2022. B.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-27 designating the Town's Economic Development Department/Tourism Division as the Destination Marketing Organization (DMO) and approving the Town Manager as the authorized signatory for the Arizona Office of Tourism. C.CONSIDERATION AND POSSIBLE ACTION: Approval of the Final Condominium Plat for Motor Vault Fountain Hills Luxury Garages, a 31 Unit condominium subdivision at 11843 N. Desert Vista Drive (northeast corner of Desert Vista and Saxon). Case #FNP22-000001 8.REGULAR AGENDA A.CONSIDERATION AND POSSIBLE ACTION: Appointment to the Strategic Planning Advisory Commission. MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Mike Scharnow to appoint Geoffrey Yazzetta to the Strategic Planning Advisory Commission with a term expiring April 30, 2023. Vote: 7 - 0 Passed - Unanimously B.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-24 adopting the Fee Reduction and Waiver Policy. MOVED BY Councilmember Mike Scharnow, SECONDED BY Vice Mayor Gerry Friedel to approve Resolution 2022-24. Vote: 7 - 0 Passed - Unanimously Town Council Regular Meeting of May 17, 2022 2 of 5 C.CONSIDERATION AND POSSIBLE ACTION: Approving Professional Services Agreement 2022-075 with M. R. Tanner Development and Construction, Inc. for Pavement Preservation Treatments. MOVED BY Vice Mayor Gerry Friedel, SECONDED BY Councilmember Mike Scharnow to approve Professional Services Agreement 2022-075 with M. R. Tanner Development and Construction, LLC. for Pavement Preservation Treatments in the amount of $1,400,000. Vote: 7 - 0 Passed - Unanimously D.CONSIDERATION AND POSSIBLE ACTION: approving staff to seek and apply for grants from the Maricopa County Flood Control District (MCFCD). MOVED BY Councilmember Alan Magazine, SECONDED BY Councilmember David Spelich to approve staff to seek and apply for grants from the Maricopa County Flood Control District (MCFCD). Vote: 7 - 0 Passed - Unanimously E.CONSIDERATION AND POSSIBLE ACTION: Approving Professional Services Agreement 2022-071 with Shums Coda for 3rd party plan review and inspection services for Phases II and III of Park Place. MOVED BY Vice Mayor Gerry Friedel, SECONDED BY Councilmember Sharron Grzybowski to approve Professional Services Agreement 2022-071 with Shums Coda. Vote: 7 - 0 Passed - Unanimously F.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-29, First Amendment to the Development Agreement between the Town and N-Shea Group, LLC and Park Place Properties, LLC. MOVED BY Vice Mayor Gerry Friedel, SECONDED BY Councilmember Sharron Grzybowski to adopt Resolution 2022-29, with an amendment to change 12 months to 3 months. Vote: 3 - 4 Failed AYE: Vice Mayor Gerry Friedel Councilmember Alan Magazine Councilmember Sharron Grzybowski G.CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-25 extending the contract with Maricopa County Sheriff's Office (MCSO) for law enforcement services until June 30, 2023. MOVED BY Councilmember Sharron Grzybowski, SECONDED BY Councilmember Mike Town Council Regular Meeting of May 17, 2022 3 of 5 MOVED BY Councilmember Sharron Grzybowski, SECONDED BY Councilmember Mike Scharnow to adopt Resolution 2022-25. Vote: 7 - 0 Passed - Unanimously H.DISCUSSION WITH POSSIBLE DIRECTION: Relating to any item included in the League of Arizona Cities and Towns’ weekly Legislative Bulletin(s) or relating to any action proposed or pending before the State Legislature. No discussion. 9.COUNCIL DISCUSSION/DIRECTION to the TOWN MANAGER Item(s) listed below are related only to the propriety of (i) placing such item(s) on a future agenda for action, or (ii) directing staff to conduct further research and report back to the Council. Vice Mayor Friedel said that awhile back he had asked about the possibility of ending the Cottonwoods Maintenance District, and have it taken over by the homeowners. Mr. Miller replied that staff would report back. Vice Mayor Friedel asked if staff had received a response from the State on being able to provide inspection services for them for sober living homes. Mr. Arnson said it was something they were looking into and he would report back once they have an answer. Vice Mayor Friedel said that he has been receiving a lot of calls about the new restrictions on election signs, and he would like to have further explanation on those regulations. 10.ADJOURNMENT MOVED BY Councilmember David Spelich, SECONDED BY Councilmember Sharron Grzybowski to adjourn. Vote: 7 - 0 Passed - Unanimously The Regular Meeting of the Fountain Hills Town Council held May 17, 2022, adjourned at 8:27 p.m. TOWN OF FOUNTAIN HILLS ____________________________ Ginny Dickey, Mayor ATTEST AND PREPARED BY: ______________________________ Elizabeth A. Klein, Town Clerk Town Council Regular Meeting of May 17, 2022 4 of 5 CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Regular Meeting held by the Town Council of Fountain Hills in the Town Hall Council Chambers on the 17th of May, 2022. I further certify that the meeting was duly called and that a quorum was present. DATED this 7th day of June, 2022. _________________________________ Elizabeth A. Klein, Town Clerk Town Council Regular Meeting of May 17, 2022 5 of 5 TOWN OF FOUNTAIN HILLS Page 1 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 1 of 70 Post-Production File Town of Fountain Hills May 17, 2022 City Council Meeting Transcription Provided By: eScribers, LLC * * * * * Transcription is provided in order to facilitate communication accessibility and may not be a totally verbatim record of the proceedings. * * * * * TOWN OF FOUNTAIN HILLS Page 2 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 2 of 70 MAYOR DICKEY: Good evening, everyone. Would you please stand for the pledge and remain standing. ALL: I pledge allegiance to the flag of the United States of America. And to the republic for which it stands, one nation, under God, indivisible, with liberty and justice for all. MAYOR DICKEY: Thank you. Let's have a moment of silence, please. I think it's appropriate at this time to read these words that came from the president of the National League of Cities and Towns, Mayor Vince Williams. He says, "My heart goes out to the victim's families and my prayers go out to Buffalo, New York Mayor Byron Brown as he works to heal this city. Thank you. Roll call. Roll call, please. TOWN CLERK KLEIN: Mayor Dickey? MAYOR DICKEY: Here. CLERK KLEIN: Vice Mayor FRIEDEL? VICE MAYOR FRIEDEL: Present. CLERK KLEIN: Councilmember MCMAHON? COUNCILMEMBER MCMAHON: Here. CLERK KLEIN: Councilmember SCHARNOW? COUNCILMEMBER MCMAHON: Can you hear me? COUNCILMEMBER SCHARNOW: Here. Yes, we can hear you, Peggy. [LAUGHTER] CLERK KLEIN: Councilmember MAGAZINE? COUNCILMEMBER MAGAZINE: Here. CLERK KLEIN: Councilmember SPELICH? COUNCILMEMBER SPELICH: Present. CLERK KLEIN: Councilmember GRZYBOWSKI? COUNCILMEMBER GRZYBOWSKI: Present. MAYOR DICKEY: Thank you so much. As always, we start with reports from the town manager and the council. Grady? TOWN OF FOUNTAIN HILLS Page 3 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 3 of 70 TOWN MANAGER MANAGER MILLER: Mayor and Council, I have no reports for you tonight. VICE MAYOR FRIEDEL: A couple things, Mayor. I had the privilege of attending the 800-mile Warrior Expedition and representing the Town and honoring, along with the marine corps league detachment from Town here, and the American Legion Post 7507. That was an 800 mile walk that these two warriors did, so it was my honor to present them with a fountain pen from the Town. And I also had the privilege of attending the Daughters of the American Revolution banquet and to welcome them to our town and the area last Friday night. And for many of you who don't know who they are, they have 42 chapters in the State of Arizona. We have one here in Fountain Hills, the Four Peaks chapter, and I was amazed by the amount of work that they do for the veterans, running SA contests for a lot of the schools, the service work that they do, conservation, a lot of hospital work, and they actually have school as well, too, so. And I was presented with this challenge coin for being there and representing the town. So it was well worth-while attending and I learned a lot about DAR. Thank you. MAYOR DICKEY: Thank you, Vice Mayor. Peggy, did you have something? I'm sorry. COUNCILMEMBER MCMAHON: Yes. Good evening, everybody. Sorry I couldn't be there. I just wanted to let everybody know that I attended the East Valley Partnership 40th anniversary celebration. It was really, really nice. They did include Fountain Hills. And towards the end of the presentation they had a slide show of 40 years of the development of the East Valley. And towards the end they had, of course, the fountain, but they also included the International Dark Sky Discovery Center, and mentioned it, which was really, really nice to see that they know that's going on out here. That's all. MAYOR DICKEY: Thank you, councilwoman. Anybody else? Yes, Sharron. COUNCILMEMBER GRZYBOWSKI: Of course I do. I virtually attended the GPEG Broadband Task Force update. We've been meeting every other month for about ten months now. We've got support from USU, the Digital Equity Institute, APS, and Maricopa County. They're working with Speedtest.net to help break down the State's TOWN OF FOUNTAIN HILLS Page 4 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 4 of 70 connectivity and speed issues throughout the entire State. They're hoping that in the next couple weeks they can kind of come up with a map so we can see the areas that are lacking both in connectivity as well as those with speed issue. And it looks like the federal monies were released on Friday. I think it was $42 million, billion -- -- there was a lot of money that was released on Friday to Governor Ducey to start handing out to the various areas, and that's why we've been meeting together for the past ten months or so. I also saw on Facebook today that our community services department has named finalist for the 2022 National Gold Medal Award for Excellence in Park and Recreation Management for the second consecutive year. I want to congratulate them. I know we all give them grief for spending all that money, but obviously, it's paying off and we're getting some recognition. MAYOR DICKEY: Thank you, councilwomen. The GPEC, Greater Phoenix Economic Council that Sharron is on the board for, they had their regular mayor-supervisor quarterly meeting. For the sixth straight year GPEC has been recognized as a top economic development organization by Site Selection Magazine. The 2020 Mac Conway Award for Excellence in Economic Development which is given to the top 20 local and regional U.S. economic development groups, so it's a good group for us to belong to. I did the eighth-grade graduation -- -- I mean, the eighth-grade practice jobs interviews with Mrs. Mell’s class. Been able to do that every year, and of course the kids are impressive and very impressed with the teacher. And Betsy LaVoy (ph.) was there too, doing the interviews, so that went very well. Our pedestrian and traffic safety committee met and we were going to report today, but we we're going to postpone that until the fall for now. And then, Mayor's Youth Council, who's here tonight to present, they had their graduation last night and we look forward to hearing from you today. So thank you for coming. Next, we have our recognition of our stellar students. The year is wrapping up. What I do is I read about the kids up here, and then Angela (ph.) will hand them their certificates and then we'll come down and take a picture altogether. So we got two kids from each school. And before I forget, if parents are here with their TOWN OF FOUNTAIN HILLS Page 5 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 5 of 70 kids, if they want to stay after we're done, you're welcome to stay but you're also welcome to take off and enjoy the rest of your evening. Our first is from McDowell Mountain Elementary School, Lily Powinsky (ph.). Are you there, Lily? Come on up. Lily has been a stellar student all year long. She's very kind to her peers and is a very responsible student in character class. Lily always pays attention and has good questions and comments about the books we read in class. She has shown what she has learned about being a respectful, responsible, kind, and safe student every day in class and in school. That's Lily. [APPLAUSE] MAYOR DICKEY: Next, I have Adam Abushadop -- -- shanop (ph.), sorry. He is also from McDowell Mountain. Are you here, Adam? UNIDENTIFIED SPEAKER: Yeah, here he comes. MAYOR DICKEY: There you go. [APPLAUSE] MAYOR DICKEY: So Adam came to our school and has been a stellar student from the start. He has always been an active participant during character class. He asks good questions, stays focused on the lessons, and is there to help other students when needed. We're so happy that Adam joined our Falcom (ph.) family. Yay. [APPLAUSE] MAYOR DICKEY: Now we go to the middle school. Marcela Shirley (ph.), are you here? Marcela? Oh, yeah. [APPLAUSE] MAYOR DICKEY: Now, Marcela is one of the brightest stars here at Fountain Hills Middle School. She has done a wonderful job here at the middle school and has great things waiting for her in the next chapter of her life. She's a fabulous student and a wonderful athlete and a member of our back-to-back championship girls' basketball team. That's Marcela. [APPLAUSE] MAYOR DICKEY: Also from the middle school, we have Carter Blair (ph.). You here, TOWN OF FOUNTAIN HILLS Page 6 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 6 of 70 Carter? Well, we'll clap anyway. [APPLAUSE] MAYOR DICKEY: Carter is a superstar and an amazing student to have here at the Fountain Hills Middle School. Whether it is a fist bump, a joke, or just a Carter smile, it's impossible to not have a good day when you get to interact with this amazing student. That's Carter. [APPLAUSE] MAYOR DICKEY: And last but not least, we have the high school. Kaley Romain (ph.), are you here? Kaley. [APPLAUSE] MAYOR DICKEY: Kaley's an excellent academic scholar who has taken on many of the responsibilities of planning for the prom 2022. Kaley has called venues, planned decorations, the food, and produced a video with her fellow peers in order to generate interest for the event. That's Kaley. [APPLAUSE] MAYOR DICKEY: And from the high school, Ender Traveyna (ph.). Are you here, Ender? [APPLAUSE] MAYOR DICKEY: No doubt. Ender possess a rare maturity which is hard to find in many students his age. Don't tell anyone that. In the classroom, Ender is inclusive and always works to assist his peers in the room when possible. He's extremely respectful, elevates class discussions, and is a hard worker. Thank you, Ender. [APPLAUSE] MAYOR DICKEY: Thank you, kids. Thank you. So while I'm down here, I'm going to actually present two proclamations. I would like to ask Councilman David Spelich to come down and for Cpt. Kratzer to please come up here. Hold your Police Week proclamations that I will read, and then we'll get a picture with you too. Thank you, sir. There you go. Okay. So, oh, wow. Thank you. Come on up. This is awesome. Please. Thank you, guys. Whereas, in 1962, President John Kennedy signed a proclamation which designated May 15th as Peace Officer's Memorial Day and the week in which the date falls as Police TOWN OF FOUNTAIN HILLS Page 7 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 7 of 70 Week; and whereas there are more than 800,000 law enforcement officers serving in communities across the United States; and whereas since the first recorded death in 1786, more than 23,000 law enforcement officers in the United States have made the ultimate sacrifice and been killed in the line of duty; and whereas, the names of these dedicated public service are engraved on the walls of the National Law Enforcement Officer's Memorial in Washington, D.C.; and whereas the service and sacrifice of all officers killed in the line of duty are honored during National Law Enforcement Officers Memorial Fund's 34 candlelight vigil on the evening of May 13th, 2022; and whereas Police Week offers honor, remembrance, and pure support, while allowing law enforcement survivors and citizens to gather and pay homage to those who gave their lives in the line of duty; therefore, let it be resolved that I, Mayor Ginny Dickey observe the week of May 11th through 17th, 2022 as Police Week in the Town of Fountain Hills and publicly salute the service of our law enforcement officers in our community and in communities across the nation. Thank you, sir. [APPLAUSE] MAYOR DICKEY: Would you like to say a few words? David? Cpt. Kratzer, would you like to say a few words? I always put them on the spot. KRATZER: Well, thank you very much for that. And I know the Mayor and Councilmember Spelich worked to do the proclamation this year. And we're really honored by it and thank you very much. We have such a great community in Fountain Hills. This week, we've had people drop off treats and the chamber dropped off some protein shakes for everybody today. And just the outpouring of support that we see, not only this week, but every week, it's great to see from this community. And we've really appreciated all the men and women of law enforcement feel it every day in the community, and we just want to say thank you. [APPLAUSE] MAYOR DICKEY: Thank you. Thank you, guys. MCSO CAPTAIN KRATZER: Thank you. MAYOR DICKEY: So our next item will be our presentation from the Mayor's Youth Council. I'll ask Kade to come up, and like I thanked him last night, and Rachel, and Linda for having this program. We really appreciate it and we look forward to hearing TOWN OF FOUNTAIN HILLS Page 8 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 8 of 70 from you. NELSON: Thank you, Mayor, and councilmembers for having us up here. I'm not going to take much of your time at all. The kids are actually doing this presentation for you. And so I'll turn some time over to Gianna (Barker) and we'll go through what we accomplished this year, so. [APPLAUSE] BARKER: The very first thing that we did this year as a group is that we went to the Flagstaff Extreme Adventure Course. It was really a big opportunity for us to get to know each other better. In the past year, especially with COVID, we had a lot of our meetings online and we all were very awkward with each other. So this definitely helped us get more comfortable and bond really well. (BEN) ALKER: Right. After that, we attended the League of Arizona Cities and Towns where effectively we learned our role as a representative of Fountain Hills. We learned how to network and how to interact, really where we stood and what we needed to do, and some of the goals that we could accomplish with collaboration of our fellow towns here in Arizona. Just the -- -- there we go. Okay. Right. This was our MOC Teen Takeover. It was a local event which we staged. Effectively, we were hoping to create an event in which the youth and teens of our town could have a gathering space, especially after last year. As previously mentioned, we took a pretty big hit in terms of how we interacted, so this was a new way to try and establish community, utilizing our local resources. BARKER: Our partners were the Fountain Hills Coalition, Sipp's Eatery, Fountain Hills Library, AZ Karaoke, Senior Taco, Visa Pizza, Rural Metro Fire Department. This was a really good event for us. We had a lot of teens come and we hope to make it an annual thing. These are some pictures from the event. Okay. (KEVIN) WILLIAMS: So in terms of community service this year, we had many events. So starting off with, we had the back-to-school bash where we went to Four Peaks Park and we helped setup and work the inflatables there. Then we worked Make a Difference Day where we went to somebody who couldn't or had difficulty cleaning up their yard, and we helped them clean that up. And it just made them very happy. (BROOKE) LYONS: Next up we have Spooky Blast and that was around Halloween TOWN OF FOUNTAIN HILLS Page 9 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 9 of 70 and that's when we had a bunch of fun bounce houses, a bunch of like little areas you could go and get candy. It's for the little kids. It was really nice and it was nice contributing there. The Fountain Hills Cares is a mental health presentation where it's basically awareness about, you know, mental health, how it like effects society, and yeah. (ELIZABETH) FRANZONE: Some other events that we did was the Turkey Trot and we handed out like bibs and T-shirts for the runners, and that would do the Turkey Trot, which is like a Thanksgiving -- -- the Thanksgiving run. And we did the Noon Year's Eve, which was little kids would gather together to celebrate the New Year with each other. And we had tons of fun. We did like face painting, we had music, and it was a great thing for the kids to enjoy. (ANNA) WILLIAMS: So as Ben talked about before, this year our project was the Teen Takeover event where we invited teens to come and hang out with us at the community center. And then also we participated in the Extravaganza event for Easter where we helped spread out the eggs and my brother was the chicken. [LAUGHTER] And then we also helped to guide parents. (SKYE) ALKER: We also adopted a street where we went to a street and just picked up trash and helped, you know, clean up that one street and picked up trash while we're walking to the street. We also did Music Fest where we put wrist bands on people and just guided people to where they wanted to go and helped direct where it was. It was a good event for like the whole town I feel like, because like tons of people came and saw the music, so yeah. (OLIVIA) MELLOY: Some of the last events we did, we did Earth Day, which was recently. I did face painting at it. It was super fun and I think the kids really liked it and there was a lot of fun events that really enforce like the reduce, reuse, recycle. And then we also had Irish Fest, which I thought was really fun, with like the green fountain and stuff. I also did face painting at that. So yeah, that's just some of the events that we did this year. BARKER: As a group, all of us served 189 hours and we hope to do that again this year. Thank you. [APPLAUSE] TOWN OF FOUNTAIN HILLS Page 10 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 10 of 70 NELSON: And as a town staff, I'm fortunate to be able to work with these teens, and what they accomplished this year is incredible. I can't commend them enough. I'm grateful for them and everything that they do to make this community better. And Mayor Dickey, we obviously appreciate your support for this program and I think it makes a very real impact on our community, especially our teenagers with the work that they accomplish. So thank you. MAYOR DICKEY: Thank you. Anybody have any questions or comments? Mike? COUNCILMEMBER SCHARNOW: Yes, thank you, Madam Mayor and cade and council. I had a privilege to attend a couple of their meetings upstairs and the, you know, Drug Prevention Coalition, we help sponsor the Teen Takeover, so we were there all night so I got to see them in action. And very, very good group and we just hope to continue that partnership between the coalition and the youth council. And just, you know, shows we have a lot of great kids in this town and it's just great that you guys could come here and share with us, so thank you. MAYOR DICKEY: Thank you. Councilman? COUNCILMEMBER MAGAZINE: I just want to thank you for all your work. It's really outstanding. I do have a question. When do you have time to do any homework? [LAUGHTER] MAYOR DICKEY: Well, two of them are graduating, so we know they did it. Again, we want to thank you so much. It does -- -- it means so much to the community to see the youth out there in action making a real difference in our hometown, so thank you so much. Appreciate it. NELSON: And Mayor, do you have a minute to grab a quick picture with the group? MAYOR DICKEY: Oh, sure. Yeah. NELSON: Thank you. [PAUSE] MAYOR DICKEY: All righty. Thanks guys. [APPLAUSE] MAYOR DICKEY: Thanks again. Our next item is an update from the Citizen's Streets Committee. Grady? TOWN OF FOUNTAIN HILLS Page 11 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 11 of 70 MANAGER MANAGER MILLER: Yes. Thank you, Mayor. Mayor and Council, the item before you is a status report from the Citizen Advisory Committee. A little background before the presentation commences. You recall at the retreat a year ago that this was discussed as a strategy to try and involve the community in addressing our street's needs, long-term street's needs. And so last summer there was an actual recruitment for a number of people to try to serve on the citizen's committee. And everyone who applied became a member of this committee, and this process started in December. I'm delighted to introduce Mark Graham, who's going to be the spokesperson of the group. And Mark will also, in addition to presenting the report to you tonight, he'll also be introducing the members who are here tonight. With that, I'll turn it over to Mr. Graham. GRAHAM: Thank you, Mr. Town Manager. Boy, following those kids, there's nothing worse, right? [LAUGHTER] Oh, my goodness. They put the pressure on. Thank you for putting us on the agenda so we can give you a status report of what we've been up to for the last little while. As Grady had mentioned, you guys know more about what our function is than anybody, but for those who were in the audience or were watching, you know, we really were setup to plan and formulate a long-term plan for our streets and include recommendations for financing. We started our first meeting the end of September. We've met monthly. We have had some a couple times a month, but mostly it's been monthly. And it's made up of 12 members who, as Grady, mentioned, I'd like to recognize. I've got half a dozen of us here, and the rest are probably tuning in or watching via the phone. But I'd like for them to stand. They're up here in the front row. And these are very -- -- [APPLAUSE] GRAHAM: The one thing I should mention is that when Grady put out an invitation for this committee, he put on everyone that he had a response from to try to get as broad of a spectrum of people as possible. And I can tell you that this folks -- -- these folks here as well as those who are not present, if you look at your screen, you can see the amount of years of history and experience that these people bring to the table. I recall at our first meeting, Grady had us go around and introduce ourselves and tell us TOWN OF FOUNTAIN HILLS Page 12 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 12 of 70 what our background was, and you know, it was engineers, it was designers, and road construction people, and by the time it got to me, I was like holy crap, I picked the wrong committee to be on. But these guys literally are street smart. You know, excuse the pun, but they really bring a great deal of knowledge to the organization. And they are from all over the country. They're from Arizona. They're from local counties, and the diversity here is just unbelievable in their knowledge, designing, planning, building, street management, best practices are all the things that they bring. As well as a very unique perspective that perhaps we -- -- that locally, the staff doesn't really get. So it's been a very encouraging group. A little intimidating, but they know what they're talking about. So I think that you can rest assure that the information that's coming to you has been well thought out. So just to give you a little bit of understanding of what our process has been is there's a lot of catchup to do in the terms of knowledge and understanding of the 390 miles -- -- lane miles of streets in Fountain Hills. It's much larger than we all probably anticipated at the time. We analyzing conditions, projections, needs assessments, financial situations, we're going through all of it. We're identifying and understanding the different types of streets that we have. We have some that you probably are aware that are preincorporation streets that are little more than the desert graded over and some asphalt thrown on it, to some newer streets like Saguaro and Shae, all of which need attention at some point to continue their useful lives. We've looked at prioritizing what are the biggest challenges that we have. We've looked at cost estimates. And I want to tell you that this group challenges pretty much everything that's put before us. Is it right? Where did you get this? How old is it? All of those kind of things as we dig in deeply to try to find the real source of information. And we also are looking at the current funding limitations that we are facing. There's really, in my terms, there's really kind of three buckets that the challenges come from. And the first one on here is, to bring you up to speed, that 60 percent of our streets do not meet the minimum street standards and many more are deteriorating faster than any of us previously expected. What's even more significant of that is that the backlog of streets to repair has grown to 20 percent, a little over 20 percent, which is up from five TOWN OF FOUNTAIN HILLS Page 13 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 13 of 70 percent, so it's quadrupled in a number of years. The next two points I'm going to talk a little more in depth, so I'm going to jump ahead of that. But it's really revolving around the street maintenance. Repair is underfunded and we need to raise awareness of the situation that we're facing as a town. So that second point is the -- -- is a street maintenance. As you all are aware, we have a $2.5 million budget for streets. But referencing back to the previous slide, that's not keeping up with the challenges that we're facing. We have a backlog, as I said, of 20 percent on our streets. Back in, I think it was 2020, the third party outside firm that helps us manage our streets, IMS, indicated that we need at least an additional $3 million to that 2.5. So clearly, that's five and a half million if my math is correct. So clearly, we're not keeping pace with the numbers that are needed in order to keep our streets up to acceptable conditions. And the other thing that I should point out which I -- -- these next two bullet points really address is that the funding that we've been using, that 2.5, predominantly has been going to our arterials, our collectors streets, and the local streets have really been passed over in order to maintain the quality of those arterial and collector streets. Those need to be kept in really good condition and unfortunately, we've been having to spend a lot of money to keep those up to speed. Another pun there. And so you know, and so the local streets have really suffered is really the main point here. We've got to find a way to pay attention to that because 60 percent of our streets are local streets. So I hope that that brings some clarity to the situation. And as I'd indicated before, the other thing that we kind of feel as a group and a committee is that we need to raise the awareness, not just here with you guys, the council or the previous council or past councils and future councils. This is a resident issue. Everyone needs to understand that these streets are the lifeblood of Fountain Hills. It gets everybody to stores. It gets the delivery that shows up to their home. We have to get acceptance and buy in from everyone that this isn't a neighborhood problem. It's a problem that everyone has to step up and be responsible to make sure that we get everyone in the community excellent streets so that we can maintain the -- -- not only the lifestyle that we expect, our home values, our streets, and you know, our reflection of how well our cars are maintained. The list just goes on and on and on, but again, it's not TOWN OF FOUNTAIN HILLS Page 14 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 14 of 70 a local problem. You know, we may live in a gated community where we say hey, it's being taken care of by my HOA. No, because you need streets to get to your house. You need streets to get to your stores. You need streets for your Uber drivers to get to and Amazon and so on. And it's not just your streets. It's everyone streets. So I think that, you know, starting today, we should make it a priority to start a campaign to raise the awareness of the importance of the streets throughout our community. The other thing that -- -- one of the things that I was shocked by and probably some of the other members of the committee were shocked by, is we were having some discussions about money spent and how they are allocated. And I was completely unaware that this isn't -- -- everything goes into one big bucket. So there's talk about Shae having to be widened for example, those funds are allocated for Shea. It's coming from a source outside of the town. It's got to be used for that. So it's not like this big giant slush fund that we can go dip into and repair this street or that street. Oftentimes, the funds are allocated to certain projects, and whether it's a federal, state, local, county type of a situation, we have to obviously, by law, honor those kind of things. So that throws a little bit of a ringer in the mix there. And so the other thing that the committee has talked a lot about when we learned that the ARPA, which is the American Rescue Plan, has provided $8 million. And the committee strongly recommends and suggests that you spend all that money to try to help get out of this hole that we've dug ourselves in the backlog of streets. It won't solve the problems, but it'll go a long way. The other big realization that we've all had as a committee, I think, is to recognize how not so far, the funds go when you're talking about street repairs. I mean, Grady had mentioned, I think, in the last council meeting that just to seal Shea to protected it is going to cost over a million dollars. So when you start thinking about those simple little projects, the money goes fast. And in fact, we did have a study done by IMS that said, okay, here's $8 million. What can we get for it on a map? And it was like, really, I can't even see. You know, it didn't make a dent in it. And so it just sort of expresses the importance of dealing with this, the tough challenges, and decisions that we have to make, you as leaders and all of us in the community stepping up and recognizing that this is a problem. TOWN OF FOUNTAIN HILLS Page 15 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 15 of 70 We've talked about a lot of these things already. The inadequate funding for the street maintenance. Further research is one of the things that the council is doing. We're waiting on a report that will probably come to us late in the fall that'll update all of the information. So we can't really make hard suggestions in terms of fundings. We have some ideas about how to go about it, but we really need to get our arms around exactly what we're dealing with, and you know, obviously the severe financial crisis that we're looking at. So again, not a lot of detail tonight, but we want you to know that we've been busy working to get what we can get, analyze it, study it, make some recommendations. We've been out looking at the streets and looking at reports and data. It's almost overwhelming but it's very inclusive that we really need to pay attention to this now and not kick the can down the road so to say. So any questions? I'd be happy to try to answer -- -- or staff? COUNCILMEMBER MAGAZINE: I'm sitting here frustrated. GRAHAM: Not that -- -- I wouldn't call it frustrated. I would call it enlightened. COUNCILMEMBER MAGAZINE: I said I'm frustrated. GRAHAM: Oh, you're frustrated. I'm sorry. COUNCILMEMBER MAGAZINE: I'm frustrated. GRAHAM: Right. COUNCILMEMBER MAGAZINE: I've been hearing this -- -- I'm in my eighth year. I've been hearing this for eight years. When SPAC does its five-year plan, what's the top priority, roads. We did a survey of the public not that long ago. What was the top priority? Roads. And you said something about having to get our arms around it. I don't know how we get our arms around it. I hear you. I think we all hear you and hear that it's a crisis in the making. When it comes to, for example, economic development, how many new businesses want to come to town when they see these kind of conditions. I suspect it has a negative impact. GRAHAM: I agree. COUNCILMEMBER MAGAZINE: And so I really do appreciate what you've done. I think the qualifications and background of all of you are incredible. I know Jerry Butler TOWN OF FOUNTAIN HILLS Page 16 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 16 of 70 (ph.) very well. He has been a stalwart, particularly in helping us with the Discovery Center. Without him, I don't think we'd be where we are. But I don't know what to do about it. I haven't heard a recommendation on funding, unless you have one coming up. You know, we're talking, what, four million this year, maybe. In the past, it's been two million. We had a consultant study two years ago, I think, maybe. Two years ago, that said we need at least $7 million per year -- -- GRAHAM: Right. COUNCILMEMBER MAGAZINE: -- -- to maintain our roads. And now, we're talking about four million, but that's only because the governments helping. Without that, we're two, two and a half million. I'm not criticizing you or anybody sitting behind you, I'm just expressing my utter frustration at this. I don't know what to tell citizens when they call me and say, my roads are a mess, particularly the side streets, the neighborhood streets. And you tell them, well, we spent a million dollars or whatever it is on Shea and -- -- what's the other one? GRAHAM: Saguaro. COUNCILMEMBER MAGAZINE: Saguaro. Okay. But what about my street? GRAHAM: Exactly. COUNCILMEMBER MAGAZINE: What about my street? So I'm not sure there's an answer to what I'm saying, but I'm expressing my frustration. GRAHAM: Well, I could just say, councilman, that that is one of the top priorities of this committee, to make some recommendations. I mean, you always have the normal, you know, you've got tax increases, you've got bonds, blah, blah, blah, right. We need to think outside of the box and come up with some alternatives. And we're here because of exactly what you expressed. The citizens need better streets. COUNCILMEMBER MAGAZINE: Will you be coming back with some alternatives -- -- GRAHAM: Oh, absolutely, yes. COUNCILMEMBER MAGAZINE: -- -- of funding as well? GRAHAM: That's part of -- -- yes, yes. We're going to make some recommendations. Again, once we can figure out what we need, you know, because it's all over the place in TOWN OF FOUNTAIN HILLS Page 17 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 17 of 70 terms of financing or what it's going to cost to do this on an ongoing basis. And that's the key is that we can't just fix this right now, this has got to be an ongoing program. You know, whether it's five million or seven million a year, we've got to figure out what that is and then figure out how to rebuild the streets that need to be rebuilt on top of it. COUNCILMEMBER MAGAZINE: I appreciate that. But when you said we figure out what we need, I think we all know what we need. And I would hope that you, you know, take all of the studies and all of the information and everything into consideration and come back with something that helps us. GRAHAM: Yeah, absolutely. That's the goal. One of the bigger goals. MANAGER MANAGER MILLER: And I think I just want to clarify, that is the goal from the beginning. In fact, this is just a status report right now. The plan is to come back with near term and longer-term street needs and funding recommendations. And so as you recall back when we were deliberating in the community about a possible primary property tax, the major component of that was about $4 million a year going to streets. And if you just look at that, at that time we had identified that that was necessary in addition to the $2.5 million. So the point on this, I'm not advocating for that. But when we did have those meetings with the public, and I remember very loud and clear, the public definitely wanted to have a say about their streets and they definitely wanted to be able to have a say as to how those streets were financed. So ultimately, what I expect that this committee will do is they're going to -- -- they're doing their homework and they're doing a great job, and they're going to come back with a plan. And the plan is going to be basically what streets and what priority need to be done, and how they are recommending to fund those. And that's the plan that will be coming before you in the near future. COUNCILMEMBER MAGAZINE: Just a quick follow-up. What is the near future? Do we have any idea timewise when you'd be coming back with those recommendations? GRAHAM: Well, based on our last meeting, we were told that we should have some updated information probably in the fall of this year. And so I -- -- you know, my goal would be sooner rather than later. But by the end of the year is my goal is that we would have some pretty good ideas of what the funding level should be and the priorities and TOWN OF FOUNTAIN HILLS Page 18 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 18 of 70 that sort of thing. COUNCILMEMBER MAGAZINE: Please don't misunderstand my comments. GRAHAM: No, no, no. Not at all. COUNCILMEMBER MAGAZINE: I appreciate everything you're doing. It's a tough situation. We appreciate everything you're doing. Just sooner is better than later. GRAHAM: Absolutely. I agree. And I think everybody that's driving over those bumpy roads would agree with you as well. You know, I think the one thing -- -- the other thing that I didn't kind of learn, that I did learn through this process is, you know, talking about bonds and is that a possibility. We've learned that bonds can only really be used for capital improvements. You know, it's not a maintenance thing. So we've got to figure out funding for long-term, the reconstruction, rebuilding of roads as well as the continuing ongoing maintenance, because the maintenance is never going to end on our streets and we have to have a long-term plan. So okay. VICE MAYOR FRIEDEL: Thank you, Mayor. Alan I sense your frustration and I'm just going to make this comment. You know we've got a capital budget coming up. We should take a hard look at those projects in there and anything that isn't necessary should be diverted to roads. This isn't an eye-opener to me. We know, like Alan said, our roads are in tough shape. So there's a way we can maybe direct some more cash to these projects and get something done, and we need to take a look at that capital budget when it comes up. MAYOR DICKEY: The -- -- Peggy, do you have anything that you'd like to add? I want to make sure I didn't forget? Councilman? COUNCILMEMBER MCMAHON: No, not at this time. Thank you. MAYOR DICKEY: Thank you. COUNCILMEMBER SCHARNOW: Well, I appreciate your comments and the work of the committee so far, and it's definitely another unsung heroes, you know, thankless type job. And you know, I've been working out here since 1983 and that's when the road districts were still in existence, so I've had almost 40 years of talk about streets and squabbles and finances. And Alan, it's not like -- -- there have been attempts at different funding mechanisms. I mean, you know, there was what, $30 -- -- $31 million bond TOWN OF FOUNTAIN HILLS Page 19 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 19 of 70 package back when Julie Getty (ph.) was here, and that was turned down. And it kind of came back around. They approved the bond for Saguaro but you know then the primary property tax was shot down again and you know we had a street fund fee proposed, which basically ran up against the state law, and so there have been a lot of attempts to do this. I mean, I like the approach in terms of the it's a community issue, it's a town issue. Because it seems like a lot of people want a lot of things out here, but they're not willing to pay for them. So it is frustrating, Alan, and we all sense that. But there's going to come a time where this is definitely going to catch up to us even worse than what we think. So definitely have to get the word out there and try to get some support. And it's going to cost, you know, something. We're going to have to pay for it in one way or the other. I mean, if you have some out of the box ideas, great, I just don't know that there's that many options out there. But good luck to you. GRAHAM: All right. Thank you. Thank you. And in fact, you know, we talk about the expertise of these people behind me is unbelievable. But you know, my motivation in joining this committee is that I came from a southern Arizona town whose roads are atrocious and have been since I was 15 years old, and today are even worse than and it takes forever to get across town. I didn't want to see that happening here. And although I don't have the technical background, I've got the creative background and the ability to hopefully get the attention of some people, so. MAYOR DICKEY: Vice Mayor? VICE MAYOR FRIEDEL: Just one more point. I hope that when you look at our process, if you see something that isn't done right or something that we could be doing better, that will also be something that you'll bring back to us, because we need your expertise, so thank you. GRAHAM: All the staff has been in our meetings and we rely on them for their information and I don't think anybody's been short on questioning, you know, what it is what we're doing and why we're doing things in certain ways that may be right, may be wrong, but that doesn't mean that we can at least question it to make sure everybody's understanding, so. MANAGER MANAGER MILLER: And to the Vice Mayor's point, based on the TOWN OF FOUNTAIN HILLS Page 20 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 20 of 70 committee's recommendations, we will likely be changing vendors that has been advising the town on our roads, so. MAYOR DICKEY: I know there's been frustration with some of the numbers. The trying to hone in on our costs, what we think our costs are versus what the study might have said. I mean, the study, I know if you go back to 2017 or whatever it was, 2016, maybe, it was kind of clear cut, $60 million over ten years. And it's not changing and prices go up and the road gets worn down as we continue. But I do want to point out that last year we put an extra $2 million to the roads. This year we'll be putting $3 or $3 and a half million and next year we'll be putting an extra $3 or $3 and a half million. So it's just a gift of time, I guess. We know that this year in November there will be some other things on the ballot, and so it did give us a little bit of a break. But we know that the long term is still no different. 60 million, 70 million over ten years, whatever it is, it is what it is. To the Vice Mayors point about, you know, the nice to have kind of things, it's an always have to have that conversation. Years and years ago, the school district was going through this while I was on the board, and you know, we could stop doing all parks and recs stuff or any of the activities that we do. And I'm not saying that you are suggesting that, but you know, we could free up $3 or $4 million a year, sure. And when that happened at the school district, it was like but what if your kid is the one there in fourth grade when you decide we're not doing any extra curriculars. We're not doing anything. All we're going to do is, you know, the very basic. So you know, anything that we do has ramifications to the quality of life to everybody here. So it's always a balance. I totally agree with you, and that's why I think -- -- and I know Alan has said in the past, to make sure we use the bulk of this ARPA money, CARES money, whatever towards our facilities, the fountain, that's fine, the liner. But I think the roads have to take the priority. And you know, the technical aspect of it, you know, sometimes it is frustrating. The road we have to do first is the one that looks the best and that's not satisfying to do. We want to do the ones that look really bad. But some of them are a tipping point and they're going to have to be rebuilt and the others we're trying to prevent that from happening. So I can't say how much we appreciate all your work, and I know it's been fits and starts TOWN OF FOUNTAIN HILLS Page 21 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 21 of 70 and two steps up, one a couple steps back. But we really appreciate it and we look forward to what you're going to come back to us with. And we want to do what we can do to make that easier, whether it has to do with what Grady just said, where are we getting the numbers from? Making sure that they're right, and going forward from there. GRAHAM: I mean, the unique thing about this committee is nobody has any vested interest. There is, you know, no sway one way or the other. They just want to figure it out and provide you guys with the best information that's possible, so okay. MAYOR DICKEY: It's for all of us, the whole community, and we appreciate it very much. Thank you. GRAHAM: All right. Thank you. [APPLAUSE] MAYOR DICKEY: Next, we have -- -- you can tell when we get towards the end of the year because we have big agendas. And today, we'll switch gears to economic development and welcome Amanda, who is going to give us a third quarter update and we'll get a chance to chat with her. Welcome. ECONOMIC DEVELOPMENT DIRECTOR JACOBS: Thank you. Good evening, Mayor, members of council, bear with me as a navigate this, and members of the public. So as the Mayor said, I'll be providing an update on our third quarter, so January to March, because we are in the middle of fourth quarter. I may give you some teasers because I get excited all things economic development. And then since this is my first time before you with an update, do you guys want me to stop, take questions, or do you want to wait until after the presentation? What is your pleasure? Just at the end? MAYOR DICKEY: You're the one that always asks questions. DIRECTOR JACOBS: We're having fun already. All right. So I'll be giving you an overview of our business attraction, retention, advertising, marketing, and tourism. So again this last quarter, we welcomed The Havenly. I don't always do a shout out to our residential communities, but this was something big for the town as far as economic development. It helps with our diversity when we're trying to attract residents and businesses, it's another option. And so they're going gang busters over there. They are TOWN OF FOUNTAIN HILLS Page 22 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 22 of 70 now leasing phase 3. So they've already opened up phases 1 and 2, and there's a total of five phases. And then next, we're growing the health industry in our back yard with HonorHealth opening up their urgent care. And hopefully, in the coming months we'll see their primary care facility, which is adjacent, open. And then on the avenue, our downtown, we welcomed Lash a go-go. So that is eyelash extensions if any one's interested. And then Mathnasium for our little kiddos who need some tutoring. I know growing up, going through school, math like wasn't like my favorite, and so anyone who needs a little help, we've got Mathnasium. And then Park View Hair Salon (ph.) is really just a renaming of a business. And it's now actually FH Hair Studio. And so when those changes, either change of ownership or businesses come through, we get an alert through our business licenses, so just wanted to give a little shout out there. And then coming soon, right, people are always asking as we start to see dirt moving or reconstruction, you know, what's going over here? I'm still trying to get to know all of our street names, people's last names. But Dutch Bros will be coming soon. So their site map plans have either been close to approval or approved. That's going to be near HonorHealth. So perfect along the palisades. And then you guys are familiar again with our downtown, Classy-Jazzy on the Avenue. Well, the owners wanted to launch Manny's at Park Place. So a clothing store for gentlemen, and that should be opening this fall. I've been receiving a lot of questions about this next one. So there's been a lot of activity at what I call the Target shopping center off of Shea. And so what is happening there is they are splitting an area into two. Dollar Tree will be moving and then new it's Spacefit Auto Gallery. And what they're telling us that is and it seems to be kind of popular, a growing trend, and specifically in our community, is helping people find storage space. You know, so reaching out to businesses, hey, do you have a garage available to store this facility. So that you'll be seeing soon and lots of questions, so now the public knows and the council. And then, off of Park Place is Veetas Vegan. And so that is a health plant-based café that should be opening this July. So lots of fun things happening. TOWN OF FOUNTAIN HILLS Page 23 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 23 of 70 And so attraction is always fantastic, but I always like to drive home the importance of really supporting our business who are already here, who have made that capital investment, who have employees. And so just wanted to make -- -- mention, there was a couple of relocations, so good that they stayed within Fountain Hills. So A to Z ReRuns and Desert Title and Tag Motor Vehicle Division. And next, super excited, I've talked with several of you during our one on ones, as well as Betsy (ph.) with the Chamber of Commerce. But what we're wanting to do in the next two to four weeks is launch a formal business retention and expansion program. Oftentimes what you see is businesses who are here, who have already made the investment, about 80 percent of them continue to expand. So right, we're hearing ADERO already has plans to expand. Fountain Hills Medical Center has a footprint. There's already plans to expand. And so the idea is to go out with our Chamber of Commerce, meet with our businesses, you know, hopefully once, a couple of times a week, and hear from them what is going well, but what are areas of improvement. You know, what can we do better and take some of that data and improve policies or implement new programs. And so some of that ties into the next thing. So the Economic Development Department in March actually conducted a walk downtown. We spent over four hours -- -- I have to admit, we didn't make it to everybody. But just wanted to introduce myself. Some of them were very open, what we could start doing for improvement, but also asking them. I don't know what I don't know. And that ties actually nicely into the next thing, which again, we're also going to partner with the Chamber on. But the businesses are already starting to feel the pressure of our winter visitors leaving, summer officially around the corner. And so what can we all do to continue to support and shop local? That hey, don't forget the mom-and-pop shops. And so Betsy and I have met a couple of times and then also approached the Fountain Hills Times of what type of advertising can we do? Articles? And so we'll be launching that at the end of the month, again, just that importance of our sales tax and bed tax is going back into the community, the quality of life that helps attract. It goes into our parks. We're talking about the road systems, the infrastructure. And so just raising that awareness and hopefully keeping the dollars here and not having that leakage. TOWN OF FOUNTAIN HILLS Page 24 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 24 of 70 And then so this was nice too, retention. So at the beginning of the year, thanks to Council, and the Council received, like many municipalities, ARPA funding. So American Rescue Plan Act funding. The Council decided to take some of that savings and reinvest it and do a grant program specifically for our nonprofits to help them continue to recover. The deadline was March, but based on some of the questions we were getting, maybe how we presented it, it wasn't quite clear, we extended that. I am pleased to inform the Council we received over 30 applications. Over 30 nonprofits will be awarded. Right now we're still doing some administrative stuff, so agreements, checks. And so as soon as we have that final list, we'll do something a little bit more formal, a press release, and bring that back to Council. And then advertising. So as I come in and am looking and assessing, we've done a great job this past spring on print and digital ads, and want to thank some of the grant opportunities that we're getting from the Arizona Office of Tourism, Fort McDowell, the Yavapai Nation, the Salt River Pima Community, a lot of this was possible through that grant funding and partnership. But as we've been assessing staff, what we're putting out there, the Town has been promoting the Fountain, which is fabulous. But as I'm your economic development director, I'm looking at our other audiences, so residents and businesses. And so our community relations manager has joined me and we've been talking with Debbie Classon -- -- hopefully, I'm saying it. Classon? Yes? Okay. And so you'll see right there, that image, again, we're supporting local and we're doing some new graphics to show we've got a lot of the ingredients, the outdoor recreation, the restaurants. And so to really promote all the various assets. So you're going to start to see some fresh new looks. We've hired a photographer. We're going out to the businesses who love it. Our Vice Mayor even posed for us, so we went to Chocofin and he's like, hey, I'm happy to help. So thank you, Vice Mayor. Did I just skip one? No, yes. So marketing, so again, speaking to what I just said, I know in February the Council started talking about doing some branding, and I feel like now is the time to do a community-based branding effort. Again, just looking at what we've been doing, now is the time to really get our messaging in line for those target TOWN OF FOUNTAIN HILLS Page 25 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 25 of 70 areas, businesses, the residents, the visitors, and know what our brand is. So coming in, I've seen about four to five logos, and as the new girl, I want to, you know, do right by the Town in asking what logo am I supposed to use? There's also been various tag lines. All that is Arizona. Desert living. What am I supposed to use? And so really thinking you've got a new economic development office and as we're assessing, now really is the time. And then as I go back to the downtown walk. As I was talking to the businesses, talking to the Chamber, and my first day here, I noticed our poles along the avenue were a little bit empty. Thanks to our public works department, we've now got our 4th of July patriotic banners up. But we thought that this was a perfect time in hearing from our businesses to sort of reach out to them, do some new graphic designs, get the business community involved to really create that sense of place and make it a vibrant downtown. So that will be coming. With our businesses, the Chamber has agreed to help us get that word out. So again, we're hearing from the community. How should we be branding ourselves? And partnerships, so you'll often hear that economic development is a team sport. And so some of these partnerships we've met with again this past quarter. I won't go through all of them. Some of them I've mentioned. But last week, we launched in partnership with the Arizona Small Business Association, what the Town has done is invested in a membership and then are hereby having over 1,000 of our businesses are able to participate within our membership for free. So free advertising, free connections, free industry meetings. And already, it's only been a week, we've had 42 of our businesses sign up. I'm receiving some of those personal messages of thank you. Thank you for thinking of us. Thank you for investing in the business community. And then also wanted to point out, did meet with our friends at Fort McDowell, Yavapai Nation. Again, just to introduce myself and see, you know, what can we do better? And one thing, just to share with all of you, they would like us to improve the experience website. So I appreciated that feedback. And then they also mentioned if we could improve the way finding signs. That again, that's sort of a brand messaging, if it's a bit faded or if it's outdated information, to direct our residents and visitors. And so I just -- -- I leave you with that. TOWN OF FOUNTAIN HILLS Page 26 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 26 of 70 And then tourism. So again, the last quarter we had 50,000 unique page views. So unique is sort of capturing that one person and seeing how they're navigating through the site. And our top three pages where they're staying quite often is the homepage, and then no surprise, our events, and then of course, our wonderful fountain. And then a shoutout to our major events that we had. We had over 8,000 attendees attend the Irish Fountain Fest, and 7,000 attendees to the Music Fest. And again, want to give a shoutout related to the Music Fest to the Arizona Office of Tourism and Salt River Pima. We were able to put that on, expand it from a one day to a two-day event in part because of that grant funding we received. And I think we're at the home stretch. I think this is the last slide. So in looking at some of our data, I'm hoping to get more that we're in control of. But just meeting with the Arizona Office of Tourism, Visit Phoenix, and talking to some of our hotels, the hotel occupancy is reaching over 70 percent, which is good. What our hotels are seeing, and again, is a trend and coming from the Tucson area, is the leisure is coming back. So right, there's this pent-up demand, I was stuck because of that pandemic, not that we want to mention that ugly word, for a couple of years. That okay, let's get out and have a vacation. What is still lagging a bit is of course the business meetings. So what the hotels are saying is at the beginning of the year, right, looking at that first quarter when we started talking about the variant word, it scared people and so sort of delaying that business to '23, '24. And then last, in partnership, and again with Debbie and the Chamber, at the end of the month we're going to start a social media campaign. And so really encouraging people to stay, but right, not just stay at our hotels, but talk about the outdoor recreation, the relaxation, the health, and wellness, all again these wonderful assets that we have, but just driving that awareness. And with that, happy to answer any questions. MAYOR DICKEY: Thank you. DIRECTOR JACOBS: You're welcome. MAYOR DICKEY: Yes, Vice Mayor? VICE MAYOR FRIEDEL: Thanks, Amanda, you're doing a good job, but I do have a TOWN OF FOUNTAIN HILLS Page 27 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 27 of 70 question for you. So with all your partnerships, has there been any of them or any communication about reaching out to these various states where these companies want to leave high tack situations and come to Arizona? Do we get mentioned? Do we get any recognition? Are we picking up any of those businesses that are fleeing these states that they don't want to do business in anymore? DIRECTOR JACOBS: So Madam Mayor, Vice Mayor, yes, that would come through GPEC, so the Greater Phoenix Economic Council. Right now though, it's -- -- I'm assessing what space we can offer. Right now what is being sent out for us to bid on or put our names on, we're talking massive square footage that right now, I can't say, hey, we can submit a package for. Some of it is just too, too large. And then I'll admit, still need to do a bit of an assessment of what is available and what are opportunities for all of us to be creative to attract these type of businesses. VICE MAYOR FRIEDEL: And maybe we don't need that homerun, but maybe we need those secondary and other businesses that support those big businesses, maybe that would work too. So be smaller scale. DIRECTOR JACOBS: I agree. MAYOR DICKEY: So what do you have in relationship with the East Valley Partnership? DIRECTOR JACOBS: So I have not -- -- so Madam Mayor, I have not met with them officially. We have exchanged some emails this quarter, so hopefully in the next couple of months we'll be able to connect and just see again, what can, you know, the Town be doing to improve that partnership. So appreciate the question. MAYOR DICKEY: Yeah, that might align a little bit with what Gerry was saying, because you know, GPEC is really big and again, they do land the big boys like you were saying. But I think exactly what you were saying, what goes along with it? If you get a hospital, if you can't get like Mayo Clinic, but you can get, you know, medical supplies or stuff that goes along with it, it makes a lot of sense. You mentioned at the beginning when you mentioned Havenly, it's not normally part of this sort of a presentation. But it made me think about, I don't know, six years or so ago and the idea that silos -- -- we always call it silos. So you have development and you have economic development. And the fact that you're sharing that -- -- that you're TOWN OF FOUNTAIN HILLS Page 28 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 28 of 70 looking at that as an economic development, residential, it's always kind of been something here in Fountain Hills all the while. It's like, you know, we had aspirations for why can't we have, you know, X, Y, Z, but it's like, you need the residents for that. You know, I mean, these people have formulas for how these things can succeed so what are the -- -- what part do we have? Well, we can bring residents in. We can make Fountain Hills a place where people want to live. And so I'm really -- -- was really glad to see you mention Havenly and we also have other projects coming onboard that are residential. I just also wanted to ask you a little bit, I know that this was just a quarter that you were looking at more or less. But you know, and you mentioned the dreaded COVID. But there have been a lot of businesses that have expanded or located here or new businesses even throughout that. I was wondering if you could touch on some of those. The one that I think about is Rainbow Donuts. I don't know why. But I wondered if you had any of the others that might have come on board in the last, you know, despite what was happening here. DIRECTOR JACOBS: So Madam Mayor, thank you for the question. As I'm sort of still assessing the data, our business licenses, C of Os, looking over the last couple of years, there was actually over 200 people -- -- I'm going to call them people at the moment, who obtained a business license. And so I'm saying that because -- -- it's various business license, right. It could be a business, like for instance, ADERO opening, Fountain Hills Medical Center, but also, you know, having vendors come in, and then what you saw more of too is home based businesses. And so just off of the top of my head, remembering that list, and through some of my conversations, of course, what has been huge is again ADERO. I've met with the Fountain Hills Medical Center a couple of times. They've just had their one-year anniversary. You mentioned Rainbow Donut, of course. And then we had Georgies relocate is what I've heard, to the downtown Fountain Hills area or downtown. You're welcome. COUNCILMEMBER MAGAZINE: Amanda, excellent presentation. DIRECTOR JACOBS: Thank you. COUNCILMEMBER MAGAZINE: I noticed you didn't mention the employment shortage. And I guess I'm wondering if there's something you could do in cooperation TOWN OF FOUNTAIN HILLS Page 29 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 29 of 70 with the Chamber to try to find out how severe it is, what, if anything is being done to lure workers. It doesn't make a difference what kind of a store you walk into, there's a shortage. And mentioning Havenly, related to that. Several people have mentioned to me and I've noticed that Havenly seems to have stalled. There are a lot of shells of houses, but I haven't seen any progress. Do you know if that's a result of a shortage of workers? DIRECTOR JACOBS: So Madam Mayer, Councilmember Magazine, that is going to be a huge task ahead of all of us, it is the employment shortage. It is, you know, hitting us nationally. I saw some of our businesses, they can't be opened seven days a week or five days a week. They're modifying their hours or again, just saying, please be patient, because guess what, there's only two of us here. Usually we have 20. So I think definitely that is something we'll partner with the Chamber on. We need to do a lot more, you know, assessing. I've heard too from some of our, you know, major employers, you know, it is attracting the workers from Mesa, Scottsdale, and getting past to that, you know, Fountain Hills is so far away. We need to assist with some of that mentioning. And so Havenly, I'll say, has not stalled. I'm actually a resident there. So I could tell you first hand it has not stalled, and they are -- -- they are going gang busters. You're welcome. VICE MAYOR FRIEDEL: Two points, and also some of our businesses are changing their menus and making it a little bit tighter so that they can deal with it. And also, you forgot Batchelor Pad. DIRECTOR JACOBS: Thank you. COUNCILMEMBER GRZYBOWSKI: I wanted to talk about the Havenly and how you said you wouldn't normally mention that kind of stuff in these reports. But because of the diversity that it brings and the fact that it is a less expensive house price point, so maybe some workforce people could afford to live there, I think those are important things to bring to our attention. Because again, one of the employee shortages is they don't have a place to live locally. So if they're coming in from Mesa, which is less expensive. And I don't know, if I lived there and I found a job making the same amount of money, I would certainly quit and want to work closer to where I live. So I feel like those kinds of things TOWN OF FOUNTAIN HILLS Page 30 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 30 of 70 are very important for us to know because some of us are big into social media and can share that kind of stuff. So thank you for including it in this report. DIRECTOR JACOBS: You're welcome. And again, as I've been assessing, I'm like, okay, we need to talk more about the diversity of housing, education. Again, we've got the ingredients, we just need to package it. COUNCILMEMBER MAGAZINE: You know, one other comment with regard to Havenly. I actually went in and talked to a rental agent and what I found was for about 800 square feet, the rent wasn't too bad, but they had add ons. You want to park a car? You want to park a second car? You want this? You want that? And I came up with almost $4,000 a month for 800 square feet. We will never get workers from the region at those kinds of prices. I don't have an answer. I'm not sure there is an answer because of the cost of land. But if you can cure that, I mean if you can solve that, that'd be great. DIRECTOR JACOBS: Thanks, councilmember. MAYOR DICKEY: Well, that is a regional -- -- it's a huge problem everywhere. I just spoke with some realtors yesterday, and you know, there's no one answer to this. We actually talked about -- -- and I actually read an article a couple days ago that said the rents might be sort of normalizing a little bit. There's more inventory. You're noticing there's advertisements for a first month free kind of thing, stuff that was unheard of even just, you know, a month ago. So there may be some of that. Because this is just, you know, it's just not a normal time when it comes to real estate. So but again, another thing we don't have a lot of is transit. So even if we had people in Mesa, you know, we really only -- -- I mean, we have a better bus now, but it's still not, you know, it's not that flexible. So those are things that, you know, being in a town of our size, those are more of the challenges. But we recognize them and we look for some solutions and we are listening. So we appreciate it and we're listening to Betsy and we want to do what we can to just keep everything in balance here, so. Any other questions or comments? Thank you so much. DIRECTOR JACOBS: Thank you. MAYOR DICKEY: We appreciate it very much. You can clap. [APPLAUSE] TOWN OF FOUNTAIN HILLS Page 31 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 31 of 70 MAYOR DICKEY: Okay. Next is our call to the public. Do we have speaker cards? Yes, I see. CLERK KLEIN: The first one is Ed Stizza. (Not present) Okay. Next is Susan Anderson (present to speak on an agenda item). MAYOR DICKEY: Thank you. Thanks so much. Next is our consent agenda, unless someone would like to remove anything, could I get a motion, please. COUNCILMEMBER GRZYBOWSKI: Move to approve. COUNCILMEMBER MAGAZINE: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Thanks. Thanks, Peggy. Our first item on the regular agenda is appointment to the strategic planning advisor commission. We have a recommendation from the committees to appoint Jeffrey Azeta (ph.) to the strategic planning advisory commission. Is there any discussion? Can I get a motion? COUNCILMEMBER SPELICH: Motion to approve. COUNCILMEMBER SCHARNOW: Second. MAYOR DICKEY: All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Thank you. Thank you, Jeffrey. Thank you. Thank you, Jeffrey, wherever you are. Our next item is adoption of the fee reduction and waiver policy. Grady? MANAGER MANAGER MILLER: Thank you, Mayor, and council. Rachel Goodwin, our Community Services Director will be giving the presentation and staff report on this. MAYOR DICKEY: Thank you. MANAGER MANAGER MILLER: Turn it over to Ms. Goodwin. DIRECTOR GOODWIN: All right. Let's see. Mayor and council, it looks like we have the wrong presentation pulled up here, so give me one moment. Okay. Yeah, of course we can't open it because it's open on my desktop. All right. Okay. Mayor and council, tonight we're here to review and hopefully bring home a policy that TOWN OF FOUNTAIN HILLS Page 32 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 32 of 70 we have been working on for the better part of two years. It is our fee reduction and waiver policy. If you recall, we've talked about it in bits and pieces. We've looked at it from the perspective of ballfields and usage of our parks. We've looked at it through the perspective of our naming rights. We've looked at it through our streets and sponsorships. And tonight is the proposal for our fee reductions and waivers for our community center and our special events. Just a little background, we will be working towards -- -- the applicants have to meet mandatory eligibility requirements, and that is really based for our local nonprofits. Our local nonprofits, they do not have to be a 501(c)(3). They can be a 501(c)(7), (c)(9) depending on what it is. But anything that is nonprofit based and locally based here in Fountain Hills these fees would apply to, these fee reductions would apply to. The reservation times for both use of the community center and our special events must be accounted for in their application process. Classroom space requests would be available after 2 o'clock in our community center and it would be limited more on Fridays and Saturdays so that we can accommodate large groups. Large items, including our staging and dancefloor and what not would not be eligible, and that the approval of the dates and times does not guarantee any future or annual availability. I have to apologize because this is not the presentation that was prepared for today, so I'm going off of some of this information that is a little bit redundant and a little bit dated based on what we've talked about. So based on our last conversation, our community center fees -- -- we have nonprofit fees and we have commercial fees. Any nonprofit that is based here in Fountain Hills is proposed to have a reduction of half off the advertised nonprofit rates. That is what the policy proposes so that we can work with our nonprofits locally. We can offer them, again, a discounted rates as to use our facilities. That does come with some parameters, using it in the afternoons on our weekdays. Limiting some of the usage on our weekend so that we can accommodate other rental groups. And it comes with the idea that they would need to -- -- we would work with them to identify availability. For instance, if the request is to have a use of space on a Saturday when we have a large wedding or a large other gathering booked, we would need to work with them on what we can do and how that would work. TOWN OF FOUNTAIN HILLS Page 33 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 33 of 70 But essentially, we would also work to partner with some of our community groups that use our facility for what we've kind of identified as an altruistic larger purpose, i.e., our blood drives. So when we have our community blood drives, there's no -- -- there's an altruistic purpose behind that type of event where a full fee waiver seems to be an appropriate offer there. Similarly, our special events, we have a nonprofit rate and we have a commercial rate. We would like to propose our policy, which you guys have in your packet, that identifies half off for nonprofit rates for Fountain Hills based nonprofit groups. Again, we just need to have updated status to make sure that they meet those requirements and we would work with them to reduce those fees by half. All other requirements would apply, so we would still need to have a special event application submitted. We would still need to have all of the proper insurance policies, all of the other requirements as a special event submission would still apply. It would just be the fees that would be reduced. Any other permits, whether it be for alcohol, for road closures, MCSO fees, any other fees incurred would be passed along to the applicants. I do know you guys have a copy of the policy. This is -- -- should be pretty redundant from some of the conversations we've had in the past. What the request is this evening is to review the policy, offer any changes or edits, and potentially pass tonight's policy. I know there are two extenuating groups that we are working with for user agreements, that includes the Chamber of Commerce and FHCCA. Tonight's policy would apply to essentially everyone but those two groups, and we would look to bring back their user agreements for final adoption at our next council meeting. So again, this policy is the blanket policy for 98 percent of our user groups, and we would come back with the two exceptional user agreements at a future meeting. Can I answer any questions? And again, you have my apologizes that this is not the presentation that was prepared for tonight. MAYOR DICKEY: That's okay. Thanks. COUNCILMEMBER MAGAZINE: I think you just about answered the question I was going to ask. Which was I didn't quite understand the user agreement exceptions with regard to the FHCCA. Now we've talked about this before, the FHCCA is an umbrella organization -- -- TOWN OF FOUNTAIN HILLS Page 34 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 34 of 70 DIRECTOR GOODWIN: It is. COUNCILMEMBER MAGAZINE: -- -- with a lot of nonprofits under it. That's something you'll be addressing? DIRECTOR GOODWIN: It is. What we would like to do -- -- and I've had a few conversations and we've had some internal conversations about what does that look like? Because you're right. It's a very large umbrella group that has a lot of different user groups under it. Whether that's our community garden or our band or our choir, and they do use the community center for a lot of the hub of their operations. So we don't want to see those operations go away or see those programs fold, but we do want to figure out a way that's agreeable to both parties. Kind of a win-win agreement that helps them continue to use the community center while also bringing in some of the cost recovery efforts. So we'll put together a suggested user agreement for your feedback at our next meeting. COUNCILMEMBER MAGAZINE: I'm not asking for an answer to this. Just a concern. You're proposing a 50 percent reduction for nonprofits, but there are a lot of nonprofits under the FHCCA. So therein it seems to me lies a real conundrum that you're going to have to deal with. DIRECTOR GOODWIN: Agreed. Well, at this point they're using it at no cost. So any cost, even if it is 50 percent of the nonprofit rates is still more than they're currently absorbing. So I know that their budget is a concern for them and making sure that we can find, again, hopefully that happy medium between users and the cost recovery aspect. MAYOR DICKEY: Yes, councilman? COUNCILMEMBER SPELICH: Thank you, Madam Mayor. I'm sure everybody here knows where I stand with this. I've been a big proponent of making sure that everybody has skin in the game and free is not an option, or not paying is not an option, at least with me. I know that you're kind of under the gun and have been hamstrung with people waiting to schedule the community center and that. So I will kind of grin and bear it and approve this evening. But I'm very disappointed in the fact that we haven't come to terms with the Chamber of Commerce or FHCCA. And I'm worried about mission creep with organizations that all want to be under this umbrella and it keeps growing and growing TOWN OF FOUNTAIN HILLS Page 35 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 35 of 70 and growing. I think it's imperative that when you do finally sit down, there's got to be some limitation. I mean, you cannot continuously go to the well and expect to bring up a bucket of water. So I believe the majority of town residents believe that everybody should have skin in the game. And I think it's imperative that -- -- I mean, I'll vote for it tonight, but it's imperative that we get moving with these agreements and get something in writing so that we can tell the residents that we spent $800,000 on the community center. If anybody in this room or anybody watching on TV thinks that these rates that you're proposing to be charged is outrageous or that we even hope to recover what we've actually spent, it's ludicrous. So I appreciate what you've done and everything. I'm not minimizing at all the effort that you put forward. I'll vote for it this evening, but I'd really like to get cracking on our agreement with them and with both parties, and make it abundantly clear to them that zero is not an option. DIRECTOR GOODWIN: Appreciate the feedback. Thank you. MAYOR DICKEY: Yes, (indiscernible)? MANAGER MANAGER MILLER: So along those lines, Rachel and I had discussed this and I believe we can at least bring to you by the June 7th council meeting, Councilmember Spelich and the council, the points that would be in the agreement. And then if you authorize us, we can go ahead and either administratively approve that with council direction as to the points that you want in those agreements or we can bring those back, per your direction, at a future meeting. But so I think we're very close to doing that for both of those organizations. MAYOR DICKEY: Thank you. VICE MAYOR FRIEDEL: And Councilmember Spelich, I just want you to know that I think we have something that we're working on with the chamber that hopefully will satisfy everybody, so. MAYOR DICKEY: Do we have any speaker cards? No? I just wanted to mention one thing about the community center. The eight to eight, I don't know if we can revisit anything to do with that. I understand if someone needs to use it earlier, that we might be charging the extra staff salary for that, and I wondered if we could work out some kind of a schedule so that it wouldn't be an extra amount. So let's say for example, I guess if somebody wanted to start at 8, the staff wound have to come in at 7:30, and anything TOWN OF FOUNTAIN HILLS Page 36 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 36 of 70 earlier than that ends up being an extra -- -- in addition to paying for the building. So if there's some way too that Grady or we can help with the staffing that makes it fair for everybody but doesn't have people that might need it earlier paying extra, then maybe we can work something like that out. MANAGER MILLER: Good point, Mayor. And that particular point after you brought it to my attention today, Rachel and I actually discussed that late this afternoon. And so she's going to reach out to one of the potential renters of the facility and see what it is that we can do to kind of reach halfway and try to see what we can do to accommodate them. So anyways, good point and we're going to look at seeing how we can possibly make adjustments. Thank you. MAYOR DICKEY: Thank you very much. Any other questions or a motion? Page 434. COUNCILMEMBER SCHARNOW: I'll move to approve Resolution 2022-24 adopting the fee waiver policy. VICE MAYOR FRIEDEL: Second. MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Any opposed? Thank you. Thanks very much for all your work. Our next item, Grady, is about professional agreements with Tanner? MANAGER MILLER: Yes. Public Works Director Justin Weldy will be giving the staff report on this and has a little bit of a twist that he's going to talk to you about. DIRECTOR WELDY: Madam Mayor, councilmembers. It goes without saying that obviously grants have benefitted this community over the years, and the wrinkle that we're going to be discussing involves a $2 million grant. If you'll recall, with the direction of the town manager and approval of the mayor council, staff sought a grant application for sidewalk and fill for Saguaro and Palisades Boulevard. We received that grant. Moving forward on that grant, it is approaching the 30 percent role plot. A lot of upfront planning and decisions have to be made. While we are the recipient, the Arizona Department of Transportation is administering this grant and the planning process and the project when it comes to fruition. We met them earlier this week, Monday. During our discussions it was noted that to reduce cost and provide the best product for TOWN OF FOUNTAIN HILLS Page 37 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 37 of 70 the Town of Fountain Hills on Saguaro, between Colony and Fountain Hills Boulevard on both the east and west side of the road there will be areas where there are steep slopes, driveways, other encumbrances, that make it very, very difficult to build a sidewalk. As a result of that, Saguaro will need to be narrowed in these locations to allow for the sidewalk to be constructed on the flat area that is currently the road base. I'm going to take just a moment to explain that we have adequate lane width on Saguaro where there's a raised median. We have unusually wide travel lanes. Those can be reduced slightly to add this meandering, varying width of sidewalk from six to eight feet. It'll also, when we're finished, the bike lane will still be in place. That's not being eliminated. As a result of this, that section of Saguaro, we are strongly recommending that we do not do a preservative seal on that section. The reason is as that project moves forward, and it'll be beginning in earnest in the summer of '24, spring -- -- yeah, '23-'24, there -- -- the pavement markings or the striping there will need to be removed and also several other things. As a result of that, the work that we would be doing now would be partially destroyed. Not a good decision to allow that to happen. This has all come together very, very quickly. We come to you tonight and we understand that $1.4 million is a really, really big number, as we struggle to maintain our infrastructure, primarily the roads. It should be noted that while you're approving this contract for that amount tonight, that money will be held for that section per the unit pricing for when that eventually comes back around. On that section, do you have any questions that I might be able to answer? COUNCILMEMBER MAGAZINE: Justin, just a quick question. Do you anticipate any major traffic disruptions? DIRECTOR WELDY: Madam Mayor, councilmember, there will be disruptions. I would not call any of them substantial. We are fortunate enough that all of the areas where the sidewalk will be placed has at least two travel lanes. So the shoulder, historically, and the right-hand lane will be reduced for safety reasons in those areas when construction is underway. Obviously, we will work to minimize that disruption to the best of our ability, but there's truly not a convenient time for construction. If you wait and do it in the winter, you disrupt the busiest season we have. If you postpone it to the TOWN OF FOUNTAIN HILLS Page 38 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 38 of 70 summer, then you have a negative impact on the few customers or visitors that may be coming. So again, we will work to minimize it to the best of our ability. COUNCILMEMBER SCHARNOW: Thank you, Justin. So with the sidewalk, are you going to cut Saguaro and remove some of it or just lay a new curb on top of the existing pavement? I guess I'm just trying to envision how that -- how that's going to look or where -- DIRECTOR WELDY: Madam Mayor, Councilmember, yes. So the curb where it currently exists on Saguaro will be removed. But a section of the roadway will be removed. And that section will then be constructed per our adopted subdivision standards. So the curb, everything will move out. The other curb will go away. The landscaping will have changes to it. And it'll be cleaned up. In the long run, you would be hard pressed to have noticed -- or to be able to notice that this work has taken place. VICE MAYOR FRIEDEL: Justin, will there be any issue with Shae Boulevard as far as, you've got some work that's going to be going on there to widen it. Are you going to have to disturb anything there once you've completed that sealing -- sealing project? DIRECTOR WELDY: Madam Mayor, Vice Mayor. If that -- and that's an excellent question. There will be a minimal amount of disruption there. There is an existing shoulder eastbound. And about three feet of that will be sawcut and removed to attach the new section to. That area will be minimized. And for that, we'll simply pull the broadcast over slightly. You're welcome. With that, let's get on to the $1.4 million. As described in the staff report. This has been challenging, to say the least, primarily because of the availability of materials. What we did is we put together a request for proposals, and we published that, hoping that we would get a barrage of interest. We had an open meeting, pre-submittal meeting in this chamber here. We had about seven or eight. In the end, only two of them submitted. There was a substantial difference, not only in their proposal in regards to the material but also in regards to the cost. The one that we come asking for permission for tonight is M. R. Tanner. They've done a lot of work for the Town of Fountain Hills through cooperative use and bidding processes in other cities. The other one -- and to note, so their unit pricing put this same work at just over $2 million for a slightly different material that we were not comfortable using at this time. TOWN OF FOUNTAIN HILLS Page 39 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 39 of 70 With that said, there is a couple of more small little caveats in this. We will work to do our best to get everything done before June 30th. However, there is going to be a little bit of carryover of this into next year, simply because the size and length of the project. With that, if you have any additional questions, I'll do my best to answer them. MAYOR DICKEY: Just again, to reiterate what you said. This is going to be locked in. So even with the delay, as far as the sidewalk goes, this is what it will be for the whole project, correct? DIRECTOR WELDY: Yes, ma'am. MAYOR DICKEY: Thank you. Any other questions? Yes. COUNCILMEMBER MAGAZINE: Justin, 1.4 million coming from where? DIRECTOR WELDY: This comes from the street fund, Councilmember. COUNCILMEMBER MAGAZINE: And does this have any impact on that total fund in terms of other uses? DIRECTOR WELDY: For this year, absolutely, sir. For next year, it'll have a minimal amount of impact. COUNCILMEMBER MAGAZINE: When you said this year, absolutely, what do you mean? DIRECTOR WELDY: Well, the majority of this project is in this year, which ends on June 30th. So two-thirds of it will have an impact on this year's budget. And we did budget for it this year. You're welcome. COUNCILMEMBER SCHARNOW: Justin, so what are we -- is it going to totally obliterate all the current striping? Have to restripe or is it just -- how is that going to work? DIRECTOR WELDY: All of the current pavement markings will be obliterated and/or covered up with this material. So there will be new pavement markings and raised pavement markers as part of this process. COUNCILMEMBER SCHARNOW: And then is that part of the 1.4 or is that separate? DIRECTOR WELDY: It's part -- it's all inclusive, part of the 1.4. MAYOR DICKEY: Thank you. Can I please get a motion? VICE MAYOR FRIEDEL: I move to approve Professional Services agreement 2022- 075 with M. R. Tanner Development and Construction, LLC for pavement preservation TOWN OF FOUNTAIN HILLS Page 40 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 40 of 70 treatments in the amount of 1.4 million. MAYOR DICKEY: Thank you. COUNCILMEMBER SCHARNOW: Seconded MAYOR DICKEY: All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Any opposed? CLERK KLEIN: Unanimous. Thank you, Peggy. Thank you, Justin. DIRECTOR WELDY: You're welcome. MAYOR DICKEY: Our next item, Grady, Maricopa County Flood Control District. MANAGER MILLER: Yes, I want to go ahead and have the public works director present this. He and the town engineer mutually worked on this, so I'll turn it over to Mr. Weldy. DIRECTOR WELDY: Thank you. Madam Mayor, Councilmembers, last year -- and the past few years in fact, the intensity of the storms that we do have are certainly increased. And we've noted deficiencies and challenges that we face. A few weeks ago the town engineer and myself met with the director of the Maricopa County Flood Control District. We spent a couple of hours out in the field with him, showing him some of the challenges that we face. Based on our conversation with him and our reading of their applications, we strongly believe there are two projects within the Town that meet the criteria for grant. This is an area map here. Both of these projects are in the northeast quadrant. One of them is off of Deuce Court, which is on the northern portion of Saguaro, just -- of Saguaro, just east of the roadway. This is a picture of Deuce Court during normal dry conditions. This is a picture during and after a storm event. I think it's important -- I'm going to back one slide. The slide on the right is one home. The slide on the left is a second. The slide the -- this one here, the home on the left is where the water has entered the garage and the remainder of the home for that night. And I was present for these photos about 1 a.m. The home on the left, she was not here. So we were not able to take photos at that time. Again, this is the result of that. This is what we are proposing. And I'm going to give TOWN OF FOUNTAIN HILLS Page 41 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 41 of 70 you a quick backstory. This community predates incorporation at the time it was constructed. On the right-hand side, in this area here, there was a catch basin constructed and in the as-built plans, it describes a catch basin with 16-inch pipe draining the cul-de- sac. However, it's actually supposed to be right there. But when it was constructed, it was constructed between these two homes. And that 16-inch pipe is in fact a 4-inch pipe. As a result of that, obviously, there was no way to get rid of the water. This area right here is not the town's property, and we do not have a drainage easement there. And because of the improvements, it would be very, very difficult to achieve any drainage improvements there. This area here is a drainage easement that was granted to -- well, then, the special road district by default, now the Town. The plan is to remove this undersized catch basin. Add a correct one with a lateral pipe that comes to a new catch basin here that will drain through this drainage easement into a pipe and tie into a system back here that eventually leads out this direction. The next project, this one is actually on Grande, on the north side of the road. The home on the right is inundated with floodwater, even during relatively small events. There is a channel between the two homes there that, while we have a drainage easement there, because of the way it was written, the responsibility primarily falls on the homeowners. Knowing these challenges that are faced, I met with the town manager and we made a decision to include this in our grant application. My argument for this, the water that enters this drainage channel comes from the town's streets and adjoining streets, and the outlet is onto one of the town's streets. I think it's an excellent candidate for not only this improvement but for the town to do the maintenance on. This is during normal, dry conditions. This is after a rain event. The photo on the right is actually taken by the homeowner. And the eve is that you're seeing there up top, the water is actually lapping at their garage door. And oftentimes, especially if larger vehicles pass through this area, enter their home as a result of this. And tonight, this homeowner is here and she would like to speak in regards to this grant application. Again, typical dry conditions. After a typical storm event. Our proposal for this is to increase the size and depth where appropriate in that channel and either concrete line it or line it with riprap. Lastly, and I think this is very important in regards to these grants. These grants not only TOWN OF FOUNTAIN HILLS Page 42 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 42 of 70 pay for construction, they also pay for design, which is an incredible benefit. With that, if you have any questions, I will certainly answer them. COUNCILMEMBER SCHARNOW: Yeah, Justin, go back a slide. So once the water hits Rosita, does it go in the cul-de-sac and then turn left or where does it go? (laughter) I mean, I don't see a drainage from there. DIRECTOR WELDY: Madam Mayor, Councilmember, correct. So the water enters Rosita and looking at this slide, to the right and then it makes a left and then it heads towards Ashbrook wash. Not uncommon in this community that the majority of the drainage is directed onto streets that eventually make it to one of our washes. COUNCILMEMBER SCHARNOW: So there's no issue on Rosita then, as far as once it hits there and with other water, it's -- DIRECTOR WELDY: Councilmember, for me to say there -- there are no issues, I would think would be a nonfactual statement. We are certainly facing challenges on that street and in that area. But they're nowhere near as severe as what we're facing on Grande. And the reason is, several of the homes on Rosita, the finish floor foundation is slightly higher than the road area for the majority. COUNCILMEMBER SPELICH: Thank you, Madam Mayor. The couple that live on Grande, I had the pleasure of meeting eight years ago at the American Legion, Don, and Sue Anderson, who are just absolutely phenomenal people. I have passed their home during an event, a rain event. And to say that the water literally goes up to the front door of their home is an understatement. And that's when no cars are driving down Grande. For some reason, some people think it's absolutely hilarious when we have a rain event like this, especially people that happen to own high-sport utility vehicles, to fly as fast as they can down Grande, which creates the Poseidon Adventure on Don and Sue Anderson's home, in which then water does get into their residence. You'll hear briefly in a matter of moments from Sue, the homeowner. And I will tell you, to live what they live every single time it rains, if any of us in this audience or anything had to just sit on pin and needles wondering if our homes are going to be flooded every time it rains, I just -- I really am for this project. They've been putting up with this, she'll tell you, for years, with no one even remotely trying to help them. So I appreciate the town manager and you, Justin, making this a priority. And I just think it's a no brainer. TOWN OF FOUNTAIN HILLS Page 43 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 43 of 70 COUNCILMEMBER GRZYBOWSKI: This is the kind of reason why I left Key West because we dealt with this every single day. So I completely support the fact that we're doing something about this. And I love that you found a grant for this. Every time we talk about a wash or something of this nature, I like to remind us that if we still had an environmental fee, I think that this is probably something we could have put it towards. But thanks to, what is it, Bill 1487, we still haven't heard from the Attorney General's office. And we're still not charging that environmental fee. I don't expect an answer. I'd just like to make sure that our thousands of fans watching us at home on TV know that this is missing money. Would you say 20 people? No, it's thousands. I know it is. MAYOR DICKEY: Thank you. Did we have any speaker cards on this item? CLERK KLEIN: Yes, Susan Anderson. ANDERSON: Thank you very much, Mayor Dickey and the councilmembers, for allowing me to speak. My name is Susan Anderson and I live at 17306 East Grande Boulevard. My husband and I have owned our home there since the year 2000. There are pictures to show you what our house looked like when we bought it and what we've done to it -- what it looks like now. We have done extensive work on or property. And we do our best to keep our front yard and home looking really good. Just two years ago we added $8,000 worth of pavers to our side yard. The flooding that occurs on our side yards -- side yard has started to shift the pavers. And we've had to add more sand many times as it is being swept away by the flooding. For the first five years of living in Fountain Hills, the Town actually took care of that easement. They clean it out, sort of. But there were trees all the way from our -- the beginning of our driveway to Rosita. Those trees have all been taken out now by the -- by the homeowners. Sorry -- oh, and so they stopped doing it and they were -- we were told it was our responsibility. For years we took care of it. All the trees have been removed and the weeds are cut down every time we have our yard landscaped. Over the years, the easement has filled in. Rainwater does not flow through it like it used to. For the last 15 years -- 15 years, we have dealt with flooding. Every time it rains, our driveway, garage, walkway, and front yard floods. You can see it in the pictures. TOWN OF FOUNTAIN HILLS Page 44 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 44 of 70 We have had rain 12 feet into our garage. Our driveway disappears completely. You can't even see my driveway. And our front yard becomes a dumpster for all of the debris that's on the road. A huge black line of what looks like black seaweed lays across the width of our front yard. Four inches of mud and rock sit at the of our driveway and has to be bulldozed and sucked out. And you have pictures to show you what the -- I don't know what that's costing the town. Then, it's our time to clean up. We have to clean the inside of the garage, our walkway, all -- everything on the driveway and the pavers. We keep spending money, more and more money to do this every time. It's just unacceptable. Because our home sits at the very lowest point on Grande, our home takes the beating from the rain. The easement cannot absorb or move the water north to Rosita fast enough. Cars going 30 or 40 miles an hour coming from El Pueblo and the Reservation hit the standing water in front of our home, which goes all the way to the middle of Grande, and the spray will be as high at 40 to 50 feet. Then the water is pushed on to our property like a wave, which then goes all the way up our driveway and into our garage. Our garbage can -- and there are pictures of that -- full, was carried away from the street, all the way to Rosita, which is the street in back of where I live. A streets and sanitation worker stopped the truck, went through the wash, got my garbage can, and brought it back. And on the way back, at some point a year ago or two years ago, they had trenched six feet into the easement and about four feet. And this man fell into that hole because he couldn't see it. And he was in water up to his waist. And I thanked him very much for doing it, by the way. A woman drove her car through the standing water at 30 or 40 miles an hour. The car stalled. My husband went out to help her only to find out she had a baby with her. We called the police to assist her, fearing that someone else driving through the lake in front of our house would hit her. There are pictures of that stalled car and the police presence that one day. Someone at some point is going to get hurt. Someone else driving through all of that water won't be able to stop. Why is our easement responsible for all of the rainwater that runs down east on Grande and north from Arrowweed, which is across the street from us? It's a very sloped street and all that water comes right to my house. There's a "Y" at the -- at the beginning of our TOWN OF FOUNTAIN HILLS Page 45 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 45 of 70 easement, a curbed "Y" that directs all of the rainwater into my easement. There is not another storm drain on the northside of Grande. There is nowhere else for the water to go but through the easement attached to my property. I would like to know who put the "Y" there because we didn't. And why isn't there a storm drain on that side of the street? Something, please, needs to be done about this. We've spent more than enough money. Our home is being damaged. We -- we're doing the best we can but it's time for the Town of Fountain Hills to help us with this. I would appreciate anything and all that you could do. Thank you very much. MAYOR DICKEY: Of course. VICE MAYOR FRIEDEL: Susan, thanks for your patience in getting this done. Justin, Grady, thanks. We need to get it fixed; we realize that. So -- sorry about that. ANDERSON: Thank you all for hearing me. VICE MAYOR FRIEDEL: You're welcome. DIRECTOR WELDY: Madam Mayor, in closing, so each of these projects, and these two are just the first two of many that we will be proposing as time moved forward. The funding is up to $500,000 per project. 75 percent of that is the grant. And obviously, the remaining 25 percent would come from the Town to pay our portion. COUNCILMEMBER SCHARNOW: So the ownership of the land, is that going to be an issue for the grant or we just going to keep it, like, as it is or? DIRECTOR WELDY: Historically, if the land does not already have a drainage easement, we will be required to get it. In this case, there is a grant of easement on that property. COUNCILMEMBER SCHARNOW: Okay. MANAGER MILLER: I just want to point out, we've mentioned in the past, the Council, particularly at the retreat, the three top issues. And this is definitely -- this and streets are the top two. We definitely are going to be addressing these. And we're going to be trying to address these individual property owners and trying to assist them. But this is just one piece of the overall puzzle. The bigger piece generally, in addition to helping the residents here, which is very important, is basically a masterplan. We really need to do a flood masterplan, which we're also going to be seeking additional money for and working through Flood Control District. Because, in my opinion, we have seen with some of TOWN OF FOUNTAIN HILLS Page 46 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 46 of 70 these storm events major erosion we've never seen in our lifetimes to Ashbrook wash and the other washes here in town where chunks of -- of dirt have eroded away, coming very close to people's backyards and properties. And so in my mind, we need to channelize these -- these washes and reinforce them. But what we need to do is we need to have basically, I hate to use the word study, but we really need to have a masterplan as developed by civil engineers that have drainage backgrounds and -- and we are going to be doing that but we're seeking funding for that as well. So this is -- this is great but what I'm just trying to say is this is awesome that we're trying to help the residents. And we do apologize in the past that you've had to deal with this. But in the end, this is something that if we don't address holistically as a whole community, we're going to start seeing more of these types of situations in the town. So I just wanted to let you know, we talked about it and you'll be seeing more of these types of things coming before you. DIRECTOR WELDY: Madam Mayor, if I may, in regards to the town manager's comments, the Maricopa County Flood Control still has their area drainage master study that they're paying for underway that covers the entire town. From that, there will be an incredible amount of information, including strong recommendations for projects. That finalized document, which will be utilized for many years to come, while applying for grants, not only from the Flood Control District, from -- but from any other governmental agency that we may have an opportunity to do so. MAYOR DICKEY: Yeah. Timing of this -- so you understand then, I know Grady, I talked a billion times about the infrastructure bill and the deadlines involved. And this seems, you know, all of these district -- these water -- sorry, drainage items seems like they would be very appropriate for applying there. Do we have any chance of doing that in time? MANAGER MILLER: I would say, the issue is that we have to basically have designs in place to be able to apply at that time. So while the masterplan can identify the overall strategies of trying to deal with drainage for our community, they're going to recommend some things I believe that in the end, it's not going to be a deep enough dive. And I think that's where we're going to have to spend some, maybe additional money or getting grant TOWN OF FOUNTAIN HILLS Page 47 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 47 of 70 money to do those deeper dives and have design. I don't believe that they're going to pay for, you know, the design part of it. I think we're going to have to have that done and ready. But we'll definitely take a look at it. We've talked already about a number of other projects, such as the -- the wastewater reservoir at Fountain Park for the liner there. So we definitely are going to go after and see what we can do. And we have a town engineer and public works director and staff that are committed to trying to seek funding for these types of projects. MAYOR DICKEY: That's good because that -- you know, whether it's this project or Golden Eagle or the pipe or whatever, if we can get some infrastructure money, then it's just less that we -- then we have more to go for this. Yes, Vice Mayor? VICE MAYOR FRIEDEL: You had mentioned two solutions for that issue, riprap, or concrete. What's the better choice? DIRECTOR WELDY: Madam Mayor, Vice Mayor, we are going to depend on an engineer to provide that guidance. There are -- they're benefits and challenges to both. Concrete historically is easy to maintain and the sediment just gets swept out of it by staff. It also increases the speed of the water substantially. And we don't want to do more harm downstream or across the street. So we already have an excellent firm that does these types of small projects and is very familiar, identified. Once we get the permission we will move forward. MANAGER MILLER: Justin is correct about that. You'll also notice most of the communities in the valley that were done primarily by Flood Control District working with the Army Corps of Engineers years ago did the shock creep -- that's what you, like, line pools with. And they got away from it because -- not because of the lack of durability but it just looks really ugly. And so the latest things that's been going on for, like, the last 15 years or 20 years is the gabions. And so again, we're going to see what they have to offer. Because if you do the shock creep and maybe there might be some areas that are more at risk, you might do a combination of both. I don't think there's really one silver bullet for this. But if you do -- to Justin's point, the shock creep, you would have to have some other things in the structure that slows down the speed of the water. You have what's called drop structures and other things that slow down and catch the sediment. But that's all going to be part of the design. We'll rely on the drainage TOWN OF FOUNTAIN HILLS Page 48 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 48 of 70 engineers to help provide guidance and direction to the Town. MAYOR DICKEY: I'm sorry if I missed it, but what's the timing on this? Yeah, for -- for getting it done, like, before monsoon season or whatever. MANAGER MILLER: Well, this is a grant application process. But my understanding is, isn't this open year-round to apply? So they don't have just a grant cycle, correct? DIRECTOR WELDY: Correct. It's open -- it's currently -- they're changing that policy. So historically all of the grants had to be received in September or October. But the new director is opening it up to year around as a result of some of the flooding that's happened in Maricopa County. MANAGER MILLER: So timing-wise -- I don't think we answered your question. I don't think that this will be designed and constructed in time for the monsoon season. MAYOR DICKEY: So in the meantime, is there anything we can do to mitigate what might happen, you know, in the immediate future? DIRECTOR WELDY: Absolutely, we've -- we've already been working not only -- so you're seeing two locations. We have other locations that we have already taken care of these channel issues. Between Court Scorpion and Kim, we had a home very badly damaged up there. So we addressed that one. And we will likely go in and do a minimal amount of grading here to increase the width. The challenge we face with the location on Grande is there is a sewer main traveling from south to north halfway through this. And it turns left and heads east between homes at 17315 Rosita and 17214 Grande. So we're going to have to work around that sewer main for that area, which is one of the minor obstacles in this area. You're welcome. MAYOR DICKEY: Does anybody -- would like to give a motion, please? COUNCILMEMBER MAGAZINE: I'll move -- move to approve staff to seek and apply for grants for the Maricopa County Flood Control District. COUNCILMEMBER SPELICH: Second. MAYOR DICKEY: Thank you. All in favor, please say, aye. Councilmembers: Aye. MAYOR DICKEY: Any opposed? CLERK KLEIN: Unanimous. MAYOR DICKEY: Thank you. Thanks, Justin. TOWN OF FOUNTAIN HILLS Page 49 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 49 of 70 DIRECTOR WELDY: Thank you. MAYOR DICKEY: Our next item is the Shums Coda third party plan review, Grady? MANAGER MILLER: Yes. I'm going to go ahead and have John Wesley, the Development Services Director, give a report on this item before you. DIRECTOR WESLEY: Mayor and council, I'll be keeping it brief this evening. You are aware that our town building permit staff is rather limited. So when we get in big projects or complicated projects such as the previous phases of Park Place, the hospital, the Daryl Project, we hired a third-party contractor to help do that plan review and some of the inspection services. With the approval of the next phases of Park Place site plan, we found it important to move forward also with a consultant to help with that. So back in December, we issued an RFP to get -- solicit consultants that could do this work. We received four bids on that. And we interviewed those. We selected one of those, Shums Coda, a company that's been in business for I believe about 16 years who works exclusively with local governments to help them with plan review and inspection services and prepare to contract for that. The DA for Park Place specifies that the developer will pay 100 percent of the cost of hiring the third party. So it's no ultimate cost to the Town for this. We had prepared a contract that we put into your staff report. We did, though, have opportunity to meet on Monday with the applicant and review that contract with a little bit more detail. We found some areas that needed some clarifying and some modification. So you'll find a revised contract addressing those items that we identified in front of you this evening. So that is my report on that. MAYOR DICKEY: Thank you. Any questions for comments from Council? So you said you'd -- so the one that we were going to do previous -- at a previous meeting has been changed satisfactorily and now it's on this one? DIRECTOR WESLEY: Mayor, I did miss one item. So there's one item -- one minor item in that. There was still a need to work with Shums Coda on and the developer. The developer's going to pay a certain amount up front, right after they make their initial -- make sure we have the funds to pay Shums Coda until they make their full permit payment when that would be issued. And we're not exact what that percentage is; we're still negotiating that. So that'd be one item at least that we'll still, with Council's TOWN OF FOUNTAIN HILLS Page 50 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 50 of 70 approval, modify in the -- in the agreement that we can think of. Council go ahead and give us that approval, we can finalize that administratively. MAYOR DICKEY: (Indiscernible). TOWN ATTORNEY ARNSON: Thank you. Yeah, Mayor and Council, I think to Wesley’s-- to address Mr. Wesley’s point, I would recommend approval of the Professional Service Agreement as stated in -- as stated in the agenda item with the added part of -- to the motion, with direction to staff to make any administrative changes necessary to finalize the contract. Then we'll be able to have that flexibility, if that works for you, whoever makes the motion. MAYOR DICKEY: See if we have any speaker cards and then, that'd be great. Speaker cards? No. Okay. Go for it, Vice Mayor. VICE MAYOR FRIEDEL: So moved, what Aaron said. MAYOR DICKEY: What you said. COUNCILMEMBER GRZYBOWSKI: Second. MAYOR DICKEY: Thank you. All in favor, please say, aye. ALL: Aye. MAYOR DICKEY: Any opposed? Thank you. (Unanimous) MAYOR DICKEY: All right, our next item is along the same lines, Grady? MANAGER MILLER: Yes, the next item is before you at the request of the applicant. I'm going to have Development Services John -- excuse me, Development Services Director John Wesley go ahead and give the report on this, John. DIRECTOR WESLEY: Again, Mayor and Council, I'll keep this fairly brief. The original development agreement for Park Place was entered into in June of 2016. It included several phases and timelines for the project, the last of which was for Phase II to be completed by the end of six years. And Phase III to be -- permits issued by that time. An overall statement in there that all permits needed to be issued within that six-year timeframe. With the recent approval of the site plan, the applicant is finalizing their construction documents but we're coming up to the end of that six-year timeframe. So they have requested an extension of that for one year. And that's the amendment that's before you this evening, is to extend that DA for one year. TOWN OF FOUNTAIN HILLS Page 51 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 51 of 70 MAYOR DICKEY: Thank you, John. Do we have any comments or questions from Council? At this point, do we have any speaker cards? No. Okay. So the -- what's before us is to extend. Do we have any discussion on this or any presentation? No. Okay, yes, Councilwoman. COUNCILMEMBER GRZYBOWSKI: I have a question about the 12 months. Before I even question the 12 months, you and I actually had a conversation about how important it was to me that we follow the direction of the development agreement. And I explained to you that the reason why is because your partner's got a reputation that precedes him. So it was very important to me that we follow in line with the development agreement. So I'm a little curious as to where the 12 months came from. And I -- I agree. I understand the COVID and the -- the supply chain issue. I don't recall that coming up in April or March or whenever it was that we discussed it. So that's why I'm a little confused about the 12 months, where technically I think, really, you'd probably only need what -- what was it, 16 weeks plus 4 weeks I saw written somewhere else? OKAMOTO: That's probably the case, but the reason we asked for a year is simply administrative. Because what we need to do is we need to get bank financing. And the bank needs to be certain -- they don't know how long this process takes. And a lot of this -- of communities, for example, in California sometimes it takes six months, sometimes it takes a year. So in order for the bank to proceed, to have the comfort that we're going to be able to get the permit, we just put a year in. Now, Councilmember, what I told you was that, we're actually proceeding with all due speed. And we have spent literally millions of dollars on this. And we've come up with a site plan that, you know, that all of you have -- have voted on and agreed with. This is a project that we want to proceed with ASAP. For example, the reality is, probably within the next quarter, we're going to have another interest rate hike. Each interest rate hike literally costs us a million dollars. This past one cost us over a million dollars in our budget. So we want to get this thing done as soon as humanly possible. However, there were some delays in terms of, for example, this contract that you're -- that you just approved, that was -- that's been a fairly lengthy process, as Mr. Miller will confirm. It was supposed to be up for -- for consideration, what was it, last time or the time before, I believe. TOWN OF FOUNTAIN HILLS Page 52 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 52 of 70 MANAGER MILLER: It was on the last agenda. And then there was -- your team had some concerns with the scope of services. And then we figured that out Monday. But then we also had it on the agenda, I believe in April at some point. SHEA: Right. Exactly, so it -- there had been a lot of delays. And, you know, we're doing the best we can to surmount -- you know, to overcome all those delays. And at this point, our plans are virtually almost all done with respect to the phase that goes behind. That is virtually ready for submission. The other one is just about two weeks behind. And that's because of the tremendous number of engineering changes that had to take place. Because we put in the retail, as you asked, and everything. We had to reengineer the whole structure. So that -- that took a lot of time. And we've been putting a lot of pressure on our consultants to do that. But, you know, they're only human. And we don't want them to make a mistake here. So you know, for example, before there was one post-tensioned slab. Now, it's basically connecting three different post-tensioned slabs. All the slopes have been changed. We had to rearrange everything. It was almost like a new project. So I don't think what we're asking for is anything unreasonable. This project is still designed to serve the community. I think something that several different presenters' product beforehand was the need for workforce housing. Especially with respect to the phase that's right behind Park Place. That's going to be less expensive. We're -- $4,000 a month, I mean, we're not going to be anywhere close -- we don't charge for parking. If you went to Park Place, the only place -- think that you'd get charged for is your -- your room and if you want, you know, cable, all those sorts of things. But the bottom line is, you know, I invite you to go to our management office. We are providing, probably about 400 additional people that would be able to live in this area. Also, bring critical mass, finishing out the downtown, which will be, I think fantastic for everybody. I don't think anyone's opposed to doing this as long as we do it the right way. As long as we do it in a way that's consistent with -- with what the community wants. And I think, you know, the community has spoken. You guys have spoken on behalf of the community by approving the project. So the purpose of us getting extended is not so much to -- we don't want the year, you know, regardless of what you may think about our partners or anything like that, you TOWN OF FOUNTAIN HILLS Page 53 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 53 of 70 know, just to go back to COVID for example, we actually were engaged with BART before, when we first purchased the project. This was two years ago. We have -- are in the habit of developing at least one or two projects every year. But since COVID happened, we haven't developed a thing. This is the first one that we've engaged in because our investors, they're, like everybody, we were all caught up in the pandemic and, you know, pretty fearful for doing something, and with the supply chain issues and everything, we had to allow additional time and additional money. Lumber prices went through the roof. So you know, what we -- what we're trying to do is trying to meet the needs of the community, at the same time meet the needs of our bank. And they just want adequate assurances that we were -- we will proceed, you know, and get this permit done. Now, what -- if you'd like, what we can do is we can modify the year to say, look, we have to -- as your Counsel will say, you know, if it diligently prosecuted to completion. Now, because you've engaged Shums Coda to do this, you have the ability to determine whether or not we're just dragging our feet or we're actually working at it. And I think what you'll find is that not only are we working at it, we're working as hard as we possibly can because we -- we have the ticking bomb of another rising interest rate that we really need to meet. So -- MAYOR DICKEY: Yeah, go ahead, Councilwoman. COUNCILMEMBER MCMAHON: You know, I can hear what you're saying. I understand what you're saying. But I'm also looking at the contract and the terms and the time parameters. And it's, you know, it's a six-year contract. And it's my understanding that the first phase was finished in 2019. And from that -- and during 2019 and 2020, it's my understanding that there was no communication between BART SHEA, you, with the Town. That, you know, there was no communication about any difficulties or obstacles that you were facing moving forward or that -- any communication that you had an intent to be in compliance with the contract terms and develop on schedule. I mean, it's -- in fact, it's my understanding that the first time you guys even spoke about anything again about the development, the next phase was in January of 2021 when you spoke with John Wesley and Grady Miller that -- and you said that you were moving forward with the mission of the site plans. Well, 9, 10, 11 months go by and all of a TOWN OF FOUNTAIN HILLS Page 54 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 54 of 70 sudden, you know, there's -- you submitted, you met again and said you were submitting plans. And the next set of plans that were submitted were all in noncompliance of the contractual agreement. And then, you know -- you know, different things happened, but here we are, you know, sitting here and you're asking for an extension of time based on your failure -- your developer's failure to be proactive and stay within the contract terms -- didn't communicate any problems with us. And now you're saying there was some type of ambiguous and vague global reason for your delay. When approximately nothing -- OKAMOTO: I -- COUNCILMEMBER MCMAHON: -- was communicated until now. So therefore, you know, I don't understand -- I don't -- I don't think personally to put this right now, a month before contract deadline and stand there and say how much you've spent and everything and asking for 12 months and then say you don't need it and then, you know, et cetera. I'm just -- I don't think that's fair and appropriate. OKAMOTO: Councilman McMahon, with all due respect, you didn't attend any of the meetings that we had. You have not been in communication with us -- COUNCILMEMBER MCMAHON: Excuse me, it's not a problem -- OKAMOTO: I understand -- COUNCILMEMBER MCMAHON: -- of me coming to your meetings or anything. It's about you (indiscernible) -- OKAMOTO -- all right. Excuse me, I'm talking right now. You had your say. MAYOR DICKEY: Excuse me. Councilman Spelich has something to say. Thank you. COUNCILMEMBER SPELICH: Well, my dad always had a saying and his saying was, poor planning on your part doesn't constitute an emergency on mine. So I will sum this up with, I will not approve a one-year extension. John, when was Mr. Shea in front of Planning and Zoning and Planning and Zoning approved it with the stipulations? What month was that? DIRECTOR WESLEY: Mayor and Councilmembers, that was back in January. COUNCILMEMBER SPELICH: January. And then when did Mr. Shea come before this council and present his plans that had retail in a basement? DIRECTOR WESLEY: Mayor, Councilmember, I want to have the dates exactly right. TOWN OF FOUNTAIN HILLS Page 55 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 55 of 70 I believe in February is when they came with the first version and I think that did start to show the possibility in addressing what P & Z had said by showing the commercial that faced on Saguaro and out of the basement or under the other piece. And from there they redesigned to come to the full DA terms. And that was in April when that came back. COUNCILMEMBER SPELICH: So we wasted basically almost 4 1/2 months? UNIDENTIFIED SPEAKER: No, no. COUNCILMEMBER SPELICH: I'm saying that 4 1/2 months were wasted by not listening to what Planning and Zoning said and the stipulations that Planning and Zoning said, correct? DIRECTOR WESLEY: Mayor, Councilmember, yes, if the original site plan would have had the 8,000 square feet of retail as in the DA, this would have been a lot faster. COUNCILMEMBER SPELICH: And I believe that if it was brought before this council, it was unanimous vote approve it when it was finally brought to us the way that Planning and Zoning suggested that it was brought to us. So I -- I think that to come now with those delays and everything and then ask for a year to me is rather fresh. MAYOR DICKEY: Vice Mayor. VICE MAYOR FRIEDEL: I'm just wondering, John, maybe Aaron, you could weigh in on this, how quickly could we get a new development agreement done? ATTORNEY ARNSON: I mean, you could, Mayor and Councilmen, you can move pretty quickly to get a new development agreement in theory. The devil is in the details. And it depends on what we're trying to accomplish with a new development agreement. VICE MAYOR FRIEDEL: So I wonder if that wouldn't be a solution to this -- get a development agreement done. When is this one up? The middle of June? A month? Can we get one done in 30 days? COUNCILMEMBER MCMAHON: Can I speak? MAYOR DICKEY: Yes, Councilwoman. COUNCILMEMBER MCMAHON: There's nothing. MAYOR DICKEY: So I thought maybe you were asking if this expires then how soon could we get another one done, but you were trying -- you were saying to change this one completely or -- VICE MAYOR FRIEDEL: Yeah. Can we get a new one done before this other one TOWN OF FOUNTAIN HILLS Page 56 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 56 of 70 expires -- MAYOR DICKEY: That I -- VICE MAYOR FRIEDEL: -- and maybe everybody would be happy then? MAYOR DICKEY: Aaron, so when you were answering it was -- did you have that understanding that I did? That it was, like, this would expire then how long would it take to get a new on up and running or -- because -- ATTORNEY ARNSON: I'm -- I'm -- MAYOR DICKEY: Because we don't need a new one, we have one that we agreed with, right -- VICE MAYOR FRIEDEL: Yeah, but there might be some things that we want in the new one, such as that -- that's not in writing, you know, like the paint color on the original building and other things like that, is what I was thinking -- ATTORNEY ARNSON -- I see. VICE MAYOR FRIEDEL: So it would be easier to it all done with a -- ATTORNEY ARNSON: In my view, I think the developer stipulated to those things in the last meeting. SHEA: Already stipulated to -- just momentarily, speaking to Mr. Spelich – Councilmember Spelich, I apologize. Councilman Spelich, thank you. The entire world got COVID for two years. January of '21, we came in to submit a site plan and by March of '21, the whole world shut down. I don't think the town was open for most of '21 -- 2020. In 2021, we worked in a pandemic, in January -- the banks were. MAYOR DICKEY: I think what our point is that you had January of 2022 was when you started. SHEA: So -- MAYOR DICKEY: When you brought something forward to us. SHEA: -- that might have been when it was done, but the entire world gets the pandemic bump, but we don't. And that's kind of where we're standing on it. And it's just literally a curiosity question. MAYOR DICKEY: I don't think so because -- excuse me, because 2022, January of 2022 is when you first started to get the ball rolling again. And as Councilman was pointing out, we had February, we had March, April -- we had a lot of opportunities to TOWN OF FOUNTAIN HILLS Page 57 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 57 of 70 not be to this position of being only a month away. And -- SHEA: Right, which I -- which, you know, we can -- we still didn't -- even if I had plans done in January, I couldn't submit them. We didn't have a contract, you know, we were split in two. All of that being said, if -- if it's just a point to timeout the contract and move forward on it, so be it. I get it. I understand. We granted -- the Town of Fountain Hill granted the extension to a development agreement was it two weeks or four weeks ago, a very similar thing, for COVID. But this particular development agreement is not going to get any grants for any -- COUNCILMEMBER GRZYBOWSKI: Actually, I would like to say that we approved a development agreement extension on another one that you're talking about one year in advance. You came, from what I understand, in January 2021 to our staff members -- and when I say you, I mean you all. I don't necessarily mean you, you. I mean you all. You all came to our staff members in January 2021 and said you were ready. You were ready to present. Then we don't see anything until January 2022. I think that's what my cohorts and I are trying to get at. SHEA: Because we couldn't get a bank to come to terms on financing because of COVID. But I understand. I get it. OKAMOTO: And not only that. We couldn't come to the table because of COVID either. MAYOR DICKEY: I think we're going to fast forward to January of 2022. We're -- SHEA: So, again -- MAYOR DICKEY: Excuse me -- we are going to fast forward to January of 2022 when you came to us with something that was not compliant with the development agreement as it existed. And you were told that pretty quickly by Planning and Zoning. So there was no COVID talk, nothing like that. Then, we fast forward to now where we -- well, actually, let's go back to the meeting where we approved the site plan. Okay, because it -- that site plan could have been before us in February but it wasn't. And it was never brought forward in a way that was approved because you kept not complying with what Planning and Zoning stipulation asked for. Then you brought it back to us. We said, okay. Now you're trying to say that this third- party guy had something to do with the -- party had something to do with the delay -- TOWN OF FOUNTAIN HILLS Page 58 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 58 of 70 absolutely not. We were told at the time when we put it on our agenda that even if we had to wait until now, it wasn't going to affect this aspect of it. And, of course, you came, I believe the day before or the day of our last meeting to say that that third party. So I don't even really want to talk about the third-party agreement having anything to do with delaying this. Then we go back to the agreement for Adero, which is a vacation resort, which had been totally affected by COVID. They're not asking to change one dot of their development agreement. They're asking for more time. I don't see the similarity even a little. SHEA: Okay. So literally, Planning and Zoning approved my plan, unless I'm mistaken, 100 percent with one stipulation to explore having commercial on the corner? MAYOR DICKEY: (Indiscernible). SHEA: I -- I do. It was when they wanted to explore having commercial on the corner. But they approved my plan as it was. The Council decided that it didn't meet the -- the intent. So -- okay? You want to do four months, do you want to do -- it's just going to be no, I guess is the question. So January -- OKAMOTO: The point is, we did have an approved site plan through P & Z but you guys did not approve -- in fact, you did not even give us a reason at the meeting. Because we did ask, you simply voted on it and you voted it down. That's the fact of the matter -- MAYOR DICKEY: The reason was that the commercial was not -- OKAMOTO: I don't care about the reason right now -- MAYOR DICKEY: Excuse me, you said we didn't give you a reason. We gave you a reason on that initial one. OKAMOTO: (Indiscernible). MAYOR DICKEY: Absolutely. OKAMOTO: (Indiscernible). MAYOR DICKEY: And if you'd brought forward -- Yes, Councilwoman. COUNCILMEMBER MCMAHON: They were given a reason every single time. It wasn't in compliance with the development agreement. And in addition, during the period of this global event, COVID, the Town was open, people were working remotely, the hotel at Adero functioned, other people functioned, other people did their job from TOWN OF FOUNTAIN HILLS Page 59 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 59 of 70 home, et cetera. OKAMOTO: That has nothing to do with development -- COUNCILMEMBER MCMAHON: You never -- excuse me, you never communicated to the Town that you were -- that you were having financial problems trying to fund it. And you -- at that time that was happening, there was no communication that you needed an extension of time. So but for your action -- lack of action, you're standing here now asking for an -- what I think is an impossible extension. SHEA: You think it's impossible? Really? COUNCILMEMBER MCMAHON: (Indiscernible). MAYOR DICKEY: Any further comments? OKAMOTO: Adding -- adding three months to a six-year loan contract is impossible? That -- that seems remarkably unreasonable and illogical. COUNCILMEMBER MCMAHON: You misunderstood -- SHEA: Can we go to a -- MAYOR DICKEY: Let's do one at a time, please. Does Council have any further comments right now? Would you like to hear if we have any comment cards? Do we? No? We have no comment cards. Does Council have any further comments? Vice Mayor. VICE MAYOR FRIEDEL: Well, I was still wondering if we could get a new development agreement done in the next 30 days. ATTORNEY ARNSON: Well, again, the -- the theoretical answer is yes, but I'm trying to look and see the situation that we're in. Right? The situation that we're in is, we're at the point past approval where we have an existing development agreement and where Council is saying one thing, developer is saying the other. I don't' know what purpose another development agreement would accomplish even if it was theoretically possible. And I see the developer is shaking his head that no, it wouldn't be possible -- SHEA: The last one took over two years to -- with the Town of Fountain Hills -- ATTORNEY ARNSON: So I mean, I -- I think I probably have to agree. MAYOR DICKEY: Well, and Jerry, so we have an -- we have an approved development agreement in front of us right now. And I think the timing is the issue. OKAMOTO: To us, Planning and Zoning said that we were in compliance with TOWN OF FOUNTAIN HILLS Page 60 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 60 of 70 development sometime in either January or February. Everything else after that is a result of this Council's decision to not go with what Planning and Zoning said. And we had been -- we did not stop working. If any of you is familiar with the way architects and -- and engineers do things, is not an overnight process. Having to redesign completely a building is not something that just happens overnight. So it's not something that we just simply were doddling on or anything like that. The reason we didn't ask for an extension is because we really thought that this -- this, that back in -- when we were done with P & Z and we got approved, that we would proceed accordingly at that point. That did not, however, happen. And as soon as I realized, personally that it didn't -- it wouldn't happen, this is exactly when I called for the meeting, which Grady arranged with -- with four of you. And I did bring up, in fact, at that particular point an extension. So this is not something that just happened recently. MAYOR DICKEY: I'm sorry, sir, but at that meeting, we literally did a timeline because I told you that my feeling was that you were not going to get an extension from this Council. And so we tried to figure out a way to make it work in time. OKAMOTO: Grady, I defer to you because that is something that we brought up with you months, more than a month before we spoke with the Mayor. Is that not correct, sir? MANAGER MILLER: Well, I -- I do remember we were trying to amend the development agreement and I remember you guys did not want the amendments. We were trying to -- all these different aspects to the development agreement. And we were being told, no, we really don't feel like we need to do that. Now, I'm not getting into your question about the extension of time. OKAMOTO: Answer my question, sir. MANAGER MILLER: Well, I've -- I'm telling you the best I can, so -- so I do not specifically remember that. I do know -- no, no, listen. When we had our meeting with you and we had individual councilmembers, and I remember you, Ken, saying specifically that you were not a fan of necessarily doing an extension of time. And I -- I believe individually you were in that meeting, the ones that are here, heard that. And you were saying that that was something that you weren't interested in. So the staff -- OKAMOTO: I'm not a fan of extending it -- MANAGER MILLER: Well, and so let -- let me continue, Ken. So when we had the -- TOWN OF FOUNTAIN HILLS Page 61 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 61 of 70 the site plan coming back before Council, we actually added all this additional time, which would have effectively done exactly what an extension -- not 12 months, but it was giving you, I believe it was close to 16 weeks. And we did that because we were trying to find some middle ground to hopefully maybe the Council may have decided to go along with. That night, when it came before Council, the Council went ahead and approved it without the additional time. They approved the site plan as is. The majority approved it. So that's my recollection. MAYOR DICKEY: Councilwoman. COUNCILMEMBER GRZYBOWSKI: I did not go back and watch the March 1st meeting. But I did go back and watch the April 19th meeting. Okay. Well, some of the April 19th meeting, I will admit. I'm looking at the notes of the March 1st meeting where you're saying that Planning and Zoning approved the commercial area as it was. But according to the notes, it says, "explore options to bring the use" -- "commercial use out to the sidewalk to make it visible from the street and consider adding commercial use to Building F." That is on the agenda for the March 1st meeting. We did have a conversation about how creepy it was that you had to go into the basement to get to these businesses. And I also remember part of the conversation -- again, this is memory, I didn't actually watch this particular video -- but part of the conversation was trying to compare it to Georgies. And I said that that was not a fair comparison, that Georgies was not accessed from a basement point like these were obviously done with the March 1st drawing. I feel like saying Planning and Zoning approved it is wrong, that they wanted it higher. And I had had a conversation with a Planning and Zoning person since then, and they agreed with what our conversation was on March 1st, that the commercial was too basement-like. OKAMOTO: Councilmember, with all due respect, what we tried to do, because we could have argued the very point about compliance with the development agreement. But instead, what we chose to do was that we chose to take the high road and say, all right, we understand what you're saying, and let's give it our best shot to change it. And we did so. And basically, we came up with a plan that you approved. And now TOWN OF FOUNTAIN HILLS Page 62 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 62 of 70 you're saying that, it seemed almost arbitrary to me that you're not going to give us a little bit extra time to get the plans approved. That just -- that seems -- that does not seem right to me. MAYOR DICKEY: Vice Mayor. VICE MAYOR FRIEDEL: Would anybody consider a 60- or a 90-day extension on this -- up there? Would anybody have any thoughts on that? COUNCILMEMBER GRZYBOWSKI: I'd be willing to go up to three months. They tossed out three months. I'd be totally willing to do that. I think that's a great compromise. Had this come through in -- on March 1st as Planning and Zoning had actually recommended it. And as the development agreement said, they would have had that kind of timeline. So I'm totally down with three months. COUNCILMEMBER SCHARNOW: Well, unless there's more discussion, you know, I'll make a motion to adopt Resolution 2022-29 with an extension for three months. COUNCILMEMBER GRZYBOWSKI: Second. MAYOR DICKEY: Is there any discussion on a three-month extension? Peggy, did you -- did you say something? COUNCILMEMBER MCMAHON: I think that given their past performance, I since -- and even the process, there's not -- they're not even ready with the third-party agreement. They're still wondering about how much money to pay upfront, et cetera. I just -- I don't think they're even going to be capable of meeting those terms as well. MAYOR DICKEY: Thank you. Any further discussion? Okay. Well, let's do a rollcall. All in favor of the motion, which was for a 3-month extension. Do a roll call. CLERK KLEIN: Councilmember Grzybowski: COUNCILMEMBER GRZYBOWSKI: Yes. CLERK KLEIN: Councilman Scharnow. COUNCILMEMBER SCHARNOW: Aye. CLERK KLEIN: Mayor Dickey. MAYOR DICKEY: No. CLERK KLEIN: Vice Mayor Friedel. VICE MAYOR FRIEDEL: Aye. CLERK KLEIN: Councilmember McMahon. TOWN OF FOUNTAIN HILLS Page 63 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 63 of 70 COUNCILMEMBER MCMAHON: No. CLERK KLEIN: Councilmember Magazine. COUNCILMEMBER MAGAZINE: No. CLERK KLEIN: Councilmember Spelich. COUNCILMEMBER SPELICH: Nay. CLERK KLEIN: Motion fails 3 to 4. MAYOR DICKEY: Thank you. Our next item, yeah, is discussion of extension of our MCSO contract for a year. Grady. MANAGER MILLER: Yes. Mayor and Council, as you recall we're -- we're in the ending stages of a multiyear intergovernmental agreement with Maricopa County Sheriff's Office. We are recommending -- we talked about this in past meetings about doing an extension of time. I'm going to turn it over to finance director who has the details on this. I do want to make a point though, that does not mean that if we don't have a new IGA completed, say in the next 3 to 6 months, that would override this. So I know a number of you are looking forward to the public service -- excuse me, the public safety evaluation that's underway. And also, we have the financial review currently that we're in the process of trying to finalize. But this is at least so that we can have a stopgap to ensure that we have public safety service or law enforcement services after July 1st. With that, I'll turn it over to Mr. Pock. DIRECTOR POCK: Good evening, Mayor, and Council. A lot of things have changed in the last two years. However this contract, the original contract goes back for ten years. We started the first year with the Sheriff's Department with this contract with fiscal year '13. It was for an initial term of five years with five one-year renewals. That last five- year renewal ends in -- next month in June. As the town manager had mentioned, we did start with our contract review where our contract auditor stated looking at the past prior performance of this contract. That was -- now I'm really kind of nervous to mention years, but I believe that that was around November 2020 when that contract review -- when we had our first meeting with MCSO. It obviously took a lot longer than we had anticipated. We did get the final results from the auditors late last year, 2021. We had our first meeting with MCSO in February of 2022, this past February. That's where we took the auditor's results. I made assumptions TOWN OF FOUNTAIN HILLS Page 64 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 64 of 70 based on those results, based on their contracts. Gave them those -- that information, we passed that along. They went back to their offices, reviewed it, they made their own suggestions, we had a follow-up meeting in March, mid-March for that. And at that point is where I need to apologize to the Council because it sat on my desk since mid-March and I have not responded with kind of updated assumptions. COUNCILMEMBER SPELICH: Do you need an extension? (Laughter) DIRECTOR POCK: Do I need an extension -- but yes. So in any event -- so yes, we do need to get those numbers back to them. That's one of my priorities at this point. But in the meantime, we've also got our law enforcement study that's been underway. That one's been delayed for various reasons. Now it's picked back up in the last couple weeks. And data is starting to flow into Matrix Consulting. So we'll have that information as well. All of that information and things that we've learned through the contract review and the study will all go into renegotiating the contract with the Sheriff's Department for, again, five-year term, maybe -- all that would be up for negotiations as far as the initial term and renewals. But increased reporting and ways to evaluate staffing and that sort of thing on an ongoing basis. In the meantime, we are here in -- at the end of fiscal year '22 and we do need to ensure that we have some sort of an agreement with MCSO. This extends the contract for another year for an amount $5.4 million, increased from this current fiscal year of 302,000. And it would, as Grady said, extend it until it's either renegotiated or it would ultimately expire in June 2023 if nothing was done. But that's not the anticipation. So any questions? MAYOR DICKEY: Any questions? Councilman. COUNCILMEMBER SPELICH: I sit here and I guess I would say that I'm like a pressure cooker. I went back and I looked and my very first meeting with the town manager in the first year that I was elected, I would come to meetings with Grady, so prepared with a nice legal pad and all my thoughts and great ideas written down on this legal pad, and Grady and I would one-by-one go through these. And as a -- my time on the Council progressed, it went from a legal pad to maybe one of these pads, and then it went to Post-it note, and then it went to the back of my hand. Day TOWN OF FOUNTAIN HILLS Page 65 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 65 of 70 1, I told everybody, and when I ran for election, I said that MCSO was not fulfilling their contract to this town. What a time for this to be on the agenda. This is a time for this to be on the agenda during police week when the Mayor was so kind to honor law enforcement. So the comments that I make this evening are in no way against Captain Kratzer, Lieutenant Halverson, or the men and women who serve this town in Fountain Hills. They do a great job and I love and respect them, and I would do anything for them. But I am aggravated. Dave, I'm not mad at you. You're one person. You had to prepare the budget, you know, all the things that were related to the budget and everything. So I don't hold you responsible for this, you know. When you say it sat on your desk, nothing sits on your desk. There's no dust on your desk. And I've talked to you about it. So I will reluctantly hold my nose and vote for this extension of this contract. But I am telling the citizens of Fountain Hills with 100 percent assurity, 24 years of law enforcement experience, MCSO has not fulfilled their contract to these residents. They are not getting what they paid for. So I absolutely, positively will do it for the safety of the town and everything, but this needs to be put to bed. I've got 7 months to go until I'm off this council, and I want this done before I leave because it will prove what I have been saying for over five years about them not fulfilling all their obligations to these residents and us not getting what we paid for. And the contract before this, when they slapped on that resort fee and called it an administrative fee and everything, it's just outrageous. I would use terminology to say that they have big something, continuously raising this contract, continuously asking this town and its residents for more money when they don't even fulfill what they're supposed to fulfill. And this is not political. Let me stress this. This is not political. This audit goes back when Sheriff Apio was a sheriff. This has nothing to do with a republican sheriff or a democratic sheriff. It has to do with us getting what we paid for. And I'm telling you, folks, we're not getting what we paid for. And it's outrageous. And the gall of them to come to us and continue to raise their fees and everything and then give you a hard time when you question them about it and act with righteous indignation that everything is legit. Everything's not legit. TOWN OF FOUNTAIN HILLS Page 66 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 66 of 70 So once again, I'll hold my nose, just like I did with the other thing, and vote for this. But in the next seven months before I leave this Council, I want to prove to every member here and the previous council that what I've been saying is true: We're not getting what we paid for. MAYOR DICKEY: Yes, Vice Mayor. VICE MAYOR FRIEDEL: I couldn't agree more. And if there was a way that -- we certainly don't want to sacrifice public safety for our residents. And if there was a way we could do this on a month-to-month basis to light a fire under them, I'd vote for that in a heartbeat. But obviously, we can't do that. So I will also hold my nose and vote yes. MAYOR DICKEY: So just to confirm, when will we get, not the audit, that's a separate thing, but the assessment, that's really what this issue is about, the assessment of -- and then the fire one, too. I mean, when can we expect to get this? It's been really a while. MANAGER MILLER: So Mayor, I believe you and I talked about that today. And we're trying to get the fire one; that one is nearing completion. So we're going to try to get that scheduled for the Council work session sometime in June. As far as the -- the law enforcement assessment, we believe that that one is not quite ready for primetime. We haven't seen any kind of preliminary draft report or anything at this point. So, David, what do you think on that? DIRECTOR POCK: As far as the law enforcement study, I do believe that it would be -- it was delayed about two months as far as when we got a data request to MCSO. They didn't have any movement on that -- kind of filtered through the -- the many offices maybe at MCSO. So the original timeline was that it was going to be finished around June, so I'm guessing August; you'd probably see it in September. The fire study, we do have a draft report. We made some revisions to that. That can be presented to Council, hopefully if the consultant, you know, can make the time to be here for Council in June, we can make that happen, so -- MAYOR DICKEY: So we hired these two companies to do these assessments. And so did we have a timeline in that? DIRECTOR POCK: Both projects were estimated to be finished in May and June. There was one small delay in the fire department study when we were trying to kind of coordinate a public outreach at the same time for both studies. That got held up because TOWN OF FOUNTAIN HILLS Page 67 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 67 of 70 of the -- the law enforcement got held up. And that still would probably -- it -- it's really fluid now as far as the fire department if we can get the public outreach done before the presentation to the Council, that's really optimistic. We might have -- might have the opportunity to present to Council and then do the public outreach after the fact and make it kind of a supplement to that final report. MANAGER MILLER: So if I may, Mayor, so we -- we talked today, actually this afternoon we met with the consultants today. And then during general review, we were throwing out different dates. We are going to try to see if we can get them come out to do the -- the public involvement process, which would just be one afternoon, probably -- I don't know if you found out yet if June 14th -- they're three hours ahead of us, or two hours ahead of us -- but we're looking at that being June 14th. And then possibly June 28th or June 21st. Now, we have a joint meeting with the school board on June 21st. And we're thinking we can have the work session completely after that. We've been purposely keeping that meeting light. So if we're going to try to do that, or try to schedule it, we're going to try to see if they can do the 21st. DIRECTOR POCK: Right. So right now we've got the 14th available for the public outreach, the 21st for the meeting. He's unavailable on the 28th. I'm still waiting to hear back on the, on -- MANAGER MILLER: And then, just to be clear, there was no delay on our part. We were staying up on top of these consultants. The data collection was -- their data collection and what they needed to do -- they were not getting the response that they were needing. And so that's what's held up Matrix, which is doing the law enforcement study. MAYOR DICKEY: Okay. But basically, you say May or June, so we probably would have had to take this step anyway. Okay. COUNCILMEMBER SPELICH: Mayor, let me make this clear. I -- I don't have a problem with staff. I don't have a problem with Director Pock and his finances. Let -- let's -- he's overwhelmed, especially this time of year. So I'm not angry with him. Please don't take my -- me being vociferous and -- and -- I just -- I don't want anybody to feel that I'm ripping our staff. I'm not ripping our staff. I'm not ripping MCSO, the men and women here. This is way above Captain Kratzer's paygrade. These are chiefs, deputy chiefs, the sheriff himself who sit and write these edicts and hand them down. So TOWN OF FOUNTAIN HILLS Page 68 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 68 of 70 Captain Kratzer can only staff what he's given. So I want to make that clear. We put together a group of citizens who have very depth -- in-depth knowledge of streets, because streets are really important. Right? We all agree that streets are probably our number one asset. Councilman Magazine is a real big streets guy. And I think streets are important. I don't think that the streets, you know, I come from Chicago, so you -- you can park a car in a pothole. So when I come here and people are like, oh, my God, the streets are crap. I'm, like, go to Chicago and then you'll see what crap is. So, yeah, the streets need repair. So we put together a group or a committee and everything. I would like to see -- we have a huge amount of retired law enforcement in this community. Chiefs of the Chicago Police Department, captains from New York. We have a lot of police officers that are retired and who are in command staff. Before you guys sit down -- and this isn't a slight against our town attorney, but before you guys sit down and enter into a contract, instead of you and the town attorney coming up with what the contract is, why don't we get a group of people together who've wrote contracts and know law enforcement contracts and get their input? Because I have to be honest with you, I read the MCSO contract. I've read it 20 times. I can quote it. It was not written well. And that's wholly before your time so it's not a slap on you. Way before your time. Way before my time. So -- so I, you know, I was still in Chicago. So you know, I'm just saying that it's absolutely imperative. If you want an ironclad contract that we can hold MCSO accountable to, why don't we include people in law enforcement that actually have written contracts? And they would do it for free. They've come up to me and said, hey, we'll come and help you guys. So let's utilize the people that we have in town that are knowledgeable about this. Let's come up with a contact that we can hold them accountable for. And then, the next councilmember that sits in this seat won't have to lose their mind about it not being followed. MAYOR DICKEY: Do we have any speaker cards on this? Any further comments? Can I get a motion, please? COUNCILMEMBER GRZYBOWSKI: Move to adopt Resolution 2022-25. COUNCILMEMBER SCHARNOW: Second. TOWN OF FOUNTAIN HILLS Page 69 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 69 of 70 MAYOR DICKEY: Thank you. All in favor, please say aye. ALL: Aye. MAYOR DICKEY: Any opposed? Unanimous. Thank you. Thanks, David. Our next is our legislative update which, since they're not working at all, I don't think there's much to say. Anything else? All right. Any other comments or motion to adjourn? UNIDENTIFIED SPEAKER: So move. VICE MAYOR FRIEDEL: Hang on. I -- I have a couple things on my list for -- that I need to question. Is it -- so I asked for a report on the Cottonwoods District, I don't know how many months ago -- that report wasn't just for me. It was for all of our councilmembers so that we can make an intelligent decision on whether we continue servicing that district. I think that district originally started out as a maintenance district with a wall. And now it's morphed into a landscape maintenance district for the Town. And I -- I just have a hard time. I want to know what we're spending in the way of dollars and cents, employee time, and what the cost is to this Town for that. I know we added ten percent to that. And I just have a strong feeling that that's not enough. And it's costing us a lot of time and energy. And I'd like a report so that we can all take a look at that and make an informed decision on whether we need to be babysitting landscaping for a subdivision rather than have them get an HOA of their own or join an existing HOA. I just think that that's really important because this thing has -- just because we've done it for, I don t know how many years, 10, 15, 20 years, it doesn't mean we need to continue doing that. So if we could take a look at that, I would certainly appreciate that. MANAGER MILLER: We will. VICE MAYOR FRIEDEL: Thank you. MANAGER MILLER: We will report back to the Council. VICE MAYOR FRIEDEL: All right. Thank you. And then I have a question as to whether -- you know, we've talked about sober homes at the last meeting. I was wondering if there's been any progress on check out an IGA with the state to see if we can do inspections on those homes if they're going to outsource that to anybody. Is that TOWN OF FOUNTAIN HILLS Page 70 of 70 MAY 17, 2022 CITY COUNCIL MEETING Page 70 of 70 something we can look into? ATTORNEY ARNSON: It is something we can look into, Mayor and Council. Representative Cavanaugh kindly offered his services, and we have not connected. But that -- yes. We do have that in the works. VICE MAYOR FRIEDEL: Okay. And then one last other thing. I've been getting a lot of calls from my neighbors and residents, emails and calls about this election sign thing. I don't know where we're at on that. I don't know if people know whether they can put a sign in their yard or two signs in their yard or five or eight. We need direction on that from this town. So I'm getting a lot of people that just don't know. And so if we can look into that and come up with a resolution. If we have to have a retraction or something said somewhere to let the residents of this town, I think we need to -- we owe them at least that. Thank you. That's all I have. COUNCILMEMBER SPELICH: Motion to adjourn. COUNCILMEMBER GRZYBOWSKI: Seconded MAYOR DICKEY: All in favor -- ALL: Aye. MAYOR DICKEY: Unanimous. Adjourned. ITEM 7. B. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Community Services Prepared by: Patti Lopuszanski, Executive Assistant Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Adoption of Ordinance 22-05 Revision of Town Code 9-5, Section 3 General Preserve Regulations Staff Summary (Background) The Town Code, Article 9-5, Section 3, Item P. General Preserve Regulations currently prohibits the following: Using any vehicle, including motorized vehicles and bicycles, except authorized maintenance vehicles and during emergency evacuations along the Emergency Access Route as directed by emergency personnel. After review, the McDowell Mountain Preservation Commission, as well as legal counsel, feel this language creates confusion and unclear direction regarding the prohibition of electric power bikes, scooters, etc. Standard manual power bicycles are permitted in the preserve. Additionally, the designation as an Emergency Access Route has been removed from the preserve therefore this language is no longer valid. As a result, the following language is proposed: P. Using any motorized or electric mode of transportation, except for authorized maintenance vehicles as necessary. Related Ordinance, Policy or Guiding Principle Town Code, Chapter 9, Article 9-5, Section 3, Item P. General Preserve Regulations Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) At its meeting on April 26, 2022, the McDowell Mountain Preservation Commission recommended approval of Ordinance 22-05 amending Town Code, Article 9-5, Section 3, Item P General Preserve Regulations prohibiting the use of any motorized or electric mode of transportation, except for authorized maintenance vehicles and as necessary. Staff Recommendation(s) Staff recommends approval. SUGGESTED MOTION MOVE to adopt Ordinance 22-05. Attachments Ord 22-05 Form Review Inbox Reviewed By Date Community Services Director Rachael Goodwin 05/23/2022 08:33 AM Finance Director David Pock 05/23/2022 10:22 AM Town Attorney Aaron D. Arnson 05/23/2022 10:37 AM Town Manager Grady E. Miller 05/23/2022 11:46 AM Form Started By: Patti Lopuszanski Started On: 05/02/2022 03:04 PM Final Approval Date: 05/23/2022 ORDINANCE NO. 22-05 AN ORDINANCE OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, AMENDING THE TOWN OF FOUNTAIN HILLS TOWN CODE, CHAPTER 9, ARTICLE 9-5, SECTION 3, ITEM P GENERAL PRESERVE REGULATIONS RECITALS: WHEREAS, the Mayor and Town Council wish to amend the Town Code to accept the McDowell Mountain Preservation Commission’s recommendation from the April 26, 2022 meeting to prohibit using any motorized or electric mode transportation, except for authorized maintenance vehicles within the Preserve. ENACTMENTS: NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS as follows: SECTION 1. Chapter 9, Article 9-5, Section 3, Item P General Preserve Regulations, of the Town Code, is amended as follows: SECTION 9-5-3. GENERAL PRESERVE REGULATIONS The following are prohibited within the Preserve: P. Using any motorized or electric mode of transportation, except for authorized maintenance vehicles and as necessary SECTION 2. If any section, subsection, clause, phrase or portion of this Ordinance is for any reason held invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions thereof. PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills, this 7th day of June, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Town Attorney ITEM 7. C. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Community Services Prepared by: Jennifer Lyons, Senior Services Supervisor Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: of approving a Special Event Liquor License application submitted by Cherie Koss, representing the River of Time Museum, for a fundraiser to be held at the Fountain Hills Community Center. Staff Summary (Background) The purpose of this item is to obtain Council's approval regarding the Special Event Liquor License application submitted by Cherie Koss, representing the River of Time Museum, for submission to the Arizona Department of Liquor. The special event liquor license application was reviewed by staff for compliance with Town ordinances and staff unanimously recommends approval of the application as submitted. All applicants are required to submit a Town alcohol application and pay the special event alcohol $25 fee. Once the fee is paid and the application is approved by Town staff, the applicant submits the Arizona State application for a Special Event Liquor License to the Town for Council approval. Once the application is approved by Town Council, the applicant will take the signed paperwork to the Arizona Department of Liquor, and obtain a physical license to display at the event. Related Ordinance, Policy or Guiding Principle A.R.S. §4-203.02; 4-244; 4-261; and R19-1-228, R19-1-235, and R19-1-309. Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approval. SUGGESTED MOTION MOVE to approve. Attachments ROT Liquor ap redacted Form Review Inbox Reviewed By Date Community Services Director Rachael Goodwin 05/05/2022 09:08 AM Finance Director David Pock 05/05/2022 03:48 PM Town Attorney Aaron D. Arnson 05/05/2022 03:51 PM Town Manager Grady E. Miller 05/05/2022 04:21 PM Form Started By: Jennifer Lyons Started On: 04/29/2022 08:59 AM Final Approval Date: 05/05/2022 ITEM 7. D. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Community Services Prepared by: Linda Ayres, Recreation Manager Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: approving a Special Event Liquor License application for the Fountain Hills Chamber of Commerce for a beer garden in conjunction with Oktoberfest on September 23 and 24, 2022 Staff Summary (Background) The purpose of this item is to obtain the Council's approval regarding the Special Event Liquor License application submitted by Jill Templeton-Haislip, representing the Fountain Hills Chamber of Commerce for submission to the Arizona Department of Liquor. The applicant and Fountain Hills Chamber of Commerce are keenly aware that the final issuance of a liquor license as well as approval to hold the Oktoberfest on September 23, 24, 2022, is contingent upon the state, county, and local ordinances and guidelines as it relates to public health and the COVID-19 pandemic. Furthermore, the applicant and Fountain Hills VFW understand the Avenue of the Fountains may not be able to serve as the venue and that the Oktoberfest event is subject to cancellation. All special event liquor license applicants are required to submit an application and pay a $25 fee for processing. Once the fee is paid and the application is reviewed by Town staff, the application is forwarded to the Town Council for review and consideration. After the application is approved by Town Council, the applicant will bring the signed paperwork to the Arizona Department of Liquor, and be issued a physical license to be displayed for the duration of the event. The special event liquor license application was reviewed by staff for compliance with Town ordinances and staff unanimously recommended approval of the application as submitted. Related Ordinance, Policy or Guiding Principle A.R.S. §4-203.02; 4-244; 4-261 and R19-1-228, R19-1-235, and R19-1-309 Risk Analysis NA Recommendation(s) by Board(s) or Commission(s) NA Staff Recommendation(s) Staff recommends approval. Staff recommends approval. SUGGESTED MOTION MOVE to Staff recommends approval. Attachments G:\Special Events\Liquor Apps\2022 Form Review Inbox Reviewed By Date Community Services Director Rachael Goodwin 05/23/2022 08:33 AM Finance Director David Pock 05/23/2022 10:22 AM Town Attorney Aaron D. Arnson 05/23/2022 10:37 AM Town Manager Grady E. Miller 05/23/2022 11:41 AM Form Started By: Linda Ayres Started On: 05/12/2022 11:09 AM Final Approval Date: 05/23/2022 ITEM 7. E. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Community Services Prepared by: Patti Lopuszanski, Executive Assistant Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-30 - Intergovernmental agreement with Maricopa County Animal Control - Facilities Use Agreement for Sheltering Services. Staff Summary (Background) For several years, the Maricopa County Animal Control Services has provided animal shelter services at its facilities throughout the Valley. A number of cities and towns, including Fountain Hills, contract with Maricopa County for the provision of animal sheltering services. The intergovernmental agreement before the Town Council is for sheltering services only and covers the period of July 1, 2022, through June 30, 2027. It is in addition to the Maricopa County Animal Care and Control agreement approved by the Town Council on May 3, 2022. There are no additional fees assessed for this service since the dog license fees collected by Maricopa County Animal Control and credited to the agreement with the Town of Fountain Hills more than offset the cost of sheltering services by Maricopa County Animal Control. Related Ordinance, Policy or Guiding Principle Ordinance 18-05; Town Code Chapter 6. Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends adoption of Resolution 2022-30. SUGGESTED MOTION MOVE to adopt Resolution 2022-30. Attachments Res 2022-30 Form Review Inbox Reviewed By Date Community Services Director Rachael Goodwin 05/25/2022 05:35 PM Finance Director David Pock 05/25/2022 05:54 PM Town Attorney Aaron D. Arnson 05/25/2022 07:27 PM Town Manager Grady E. Miller 05/31/2022 11:02 AM Form Started By: Patti Lopuszanski Started On: 05/11/2022 04:41 PM Final Approval Date: 05/31/2022 RESOLUTION NO. 2022-30 A RESOLUTION OF THE MAYOR AND TOWN COUNCIL OF FOUNTAIN HILLS, ARIZONA, APPROVING AN INTERGOVERN-MENTAL AGREEMENT WITH MARICOPA COUNTY, ARIZONA, RELATING TO BASIC ANIMAL SHELTERING SERVICES RECITALS: WHEREAS, the Mayor and Council of the Town of Fountain Hills (the “Town”) acknowledge the need for animal sheltering services for Town; and WHEREAS, the Town has entered into a separate Intergovernmental Agreement (the “Agreement”) with Maricopa County, a political subdivision of the State of Arizona (the “County”), for the provision of animal control services within the Town; and WHEREAS, the Town and the County desire to enter into an Intergovernmental Agreement (the “Agreement”) for the County to provide sheltering services and to provide for compensation for services provided thereunder. ENACTMENTS: NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND TOWN COUNCIL OF FOUNTAIN HILLS as follows: SECTION 1. The recitals above are hereby incorporated as if fully set forth herein. SECTION 2. The Town, through its Mayor and Council, hereby approves the Intergovernmental Agreement (“IGA”). SECTION 3. The Town hereby authorizes the expenditure of funds for animal sheltering services, as more specifically detailed in the Appendix A. SECTION 4. The Mayor, the Town Manager, the Town Clerk and the Town Attorney are hereby authorized and directed to cause the execution of the IGA and to take all steps necessary to carry out the purpose and intent of this Resolution. PASSED AND ADOPTED by the Mayor and Council of the Fountain Hills, Maricopa County, Arizona, this 7th day of June, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: _ Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk RESOLUTION NO. 2022-30 PAGE 2 REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Town Attorney RESOLUTION NO. 2022-30 PAGE 3 EXHIBIT A TO RESOLUTION NO. 2022-30 [INTERGOVERNMENTAL AGREEMENT FOR ANIMAL SHELTERING SERVICES BETWEEN MARICOPA COUNTY, ARIZONA AND THE TOWN OF FOUNTAIN HILLS] RESOLUTION NO. 2022-30 PAGE 4 INTERGOVERNMENTAL AGREEMENT MARICOPA COUNTY ANIMAL CONTROL FACILITIES USE AGREEMENT FOR SHELTERING SERVICES BETWEEN MARICOPA COUNTY [Administered by its Animal Care & Control Department] and THE TOWN OF FOUNTAIN HILLS THIS INTERGOVERNMENTAL AGREEMENT (“IGA” or “Agreement”) for use of Maricopa County Animal Pounds as prescribed in A.R.S. § 11-1013 (hereinafter “Animal Control Facilities”) is entered by and between Maricopa County, a political subdivision of the State of Arizona, administered by its Animal Care & Control Department (collectively referred to as “County”), and the TOWN OF FOUNTAIN HILLS (“Town”), a municipal corporation of the State of Arizona. The County and City are collectively referred to as “Parties” and individually as “Party.” 1.0 PURPOSE: The purpose of this Agreement is to memorialize the Parties’ rights and responsibilities related to the County’s provision, and the Town’s use, of County Animal Control Facilities. 2.0 AUTHORITY 2.1 Arizona Revised Statutes (“A.R.S.”) § 11-201(A)(3) authorizes the Board of Supervisors to contract on behalf of the County. 2.2 A.R.S. §§ 11-952 and 11-1013 authorize the County and Town, as public agencies, to enter into IGAs for joint cooperative action and agreement for the operation and use of Animal Control Facilities. 2.3 A.R.S. § 11-251(47) authorizes the County to make and enforce ordinances for the protection and disposition of Domestic Animals subject to inhumane, unhealthful, or dangerous conditions or circumstances. 2.4 A.R.S. § 11-1005(A)(3) and County Ordinance No. P-13, Rabies/Animal Control (“County Ordinance No. P-13”) authorize the Board of Supervisors to contract with the Town to enforce the provisions of any Town ordinance enacted for the control of dogs if the provisions are not specific to breed. 2.5 A.R.S. §11-1005(C), and County Ordinance No. P-13 authorize the County to establish fees for impounding and maintaining Domestic Animals at Animal Control Facilities. 3.0 TERM: This Agreement is effective on July 1, 2022 (“Effective Date”) and terminates on June 30, 2027 (collectively, “Term”). RESOLUTION NO. 2022-30 PAGE 5 4.0 AMENDMENTS: Any modification or amendment to the terms and conditions of this Agreement must be made by mutual written agreement signed by authorized signers for the Parties, including a new effective date. 5.0 RENEWAL: The Parties may renew this Agreement as many times as is desirable, but each extension may not exceed the duration of the Term (“Renewal”). 6.0 DEFINITIONS 6.1 The Definitions at A.R.S. § 11-1001 and Town Code, § Chapter 6 are hereby incorporated into this Agreement and shall be capitalized when used in this Agreement. In the event the County and Town definitions conflict, the County definitions shall control. Additionally, the following terms are used in this Agreement. 6.2 Capacity: Means the following: 6.2.1 West Valley: 6.2.1.1 350 large kennels for adoptable and/or stray dogs 6.2.1.2 24 kennels for small adoptable and/or stray dogs 6.2.1.3 15 “Life Rooms” for adoptable dogs 6.2.1.4 30 quarantine kennels for bite dogs 6.2.1.5 10 clinic kennels for injured dogs 6.2.1.6 10 kennels for stray cats 6.2.1.7 10 kennels for underage kittens 6.2.1.8 40 spaces for adoptable cats 6.2.2 East Valley: 6.2.2.1 354 medium/large kennels for adoptable and/or stray dogs 6.2.2.2 48 kennels for puppies and/or cats 6.3 County Observed Holidays: Refers to the County holidays listed on the County Clerk of Court website. 6.4 Eligible Animals: The County will accept the following Animals from the Town’s Animal Enforcement Agent and its residents for Impound and/or quarantine in County Animal Control Facilities that have the Capacity to receive Eligible Animals (“Eligible Animals”): 6.4.1 Bite Cats: unvaccinated cats that have bitten a person; 6.4.2 Bite Dogs: unvaccinated dogs that have bitten a person; 6.4.3 Stray Dogs; 6.4.4 Exposure animals at the request of Maricopa County Department of Public Health or Arizona Department of Health Services (“DHS”) provided the Town supplies the necessary paperwork; 6.4.5 Owner surrender bite dogs for euthanasia only at cost; and 6.4.6 Any Animals not listed above, with prior written approval by the County. RESOLUTION NO. 2022-30 PAGE 6 6.5 Ineligible Animals: The County will not accept the following Animals from the Town for Impound and/or quarantine in County Animal Shelters (“Ineligible Animals”): 6.5.1 Any Animal required to be impounded pursuant to a police investigation, arrest, or warrant; 6.5.2 Any Animal required to be impounded pursuant to any animal cruelty, neglect, abandonment, or welfare check case; 6.5.3 Sick or injured Animals; 6.5.4 Animals impounded after a traffic accident; 6.5.5 Animals other than dogs or cats for bite quarantine; 6.5.6 Any species other than a dog or cat except as noted in 6.4.6, above; 6.5.7 Animals, alive or dead, that are to be submitted to DHS for rabies testing; 6.5.8 Animals to be held pursuant to a vicious case OR relinquished to the Town due to a vicious case; 6.5.9 Animals associated with police actions not in violation of this ordinance or that are seized from an owner; 6.5.10 Dogs ordered into custody pursuant to a court order; and 6.5.11 Owner surrenders except pursuant to 6.5.6. 6.6 Intake Hours: The County will accept Eligible Animals for Impound and/or quarantine Monday through Sunday during the hours of 11:00 a.m. to 1:00 p.m. at an Animal Control Facility with Capacity to receive Eligible Animals (“Intake Hours”). 7.0 COUNTY RESPONSIBILITIES The County agrees to perform the following services (“County Services”): 7.1 Establish written intake/booking procedures (“Intake Procedure”) for the Town prescribing recordkeeping requirements and tracking of, at minimum, source or caller identification, breed, animal gender, approximate age, circumstances of impound, species, location of impound by street and zip code, Town tracking number. 7.2 Create an intake form to collect information necessary to track Animal intake (“Intake Form”) and provide Intake Procedure and Intake Form to Town. 7.3 Maintain facilities, equipment, and trained personnel for provision of County Pounds. 7.4 Accept Eligible Animals for Impound and/or quarantine from the Town during Intake Hours. If the Town’s Animal Enforcement Agent delivers an Eligible Animal to a County Animal Control Facility outside of Intake Hours during After Hours, the County may refuse delivery or accept delivery and charge the Town an After Hours delivery fee. 7.5 Provide proper care and maintenance in accordance with A.R.S. §§ 11-1013(B) and 11-1021 to all Eligible Animals impounded and/or quarantined at Animal Control Facilities. RESOLUTION NO. 2022-30 PAGE 7 7.6 Impound Eligible Animals in accordance with the impound periods as outlined in A.R.S. §§ 11-1013 and 11-1014. 7.7 Invoice the Town on a quarterly basis for services rendered according to the fees and costs schedule in Appendix A. The County may review these fe es and costs at the end of the Term to ensure they continue to reflect the services rendered. 7.8 The County reserves the right to deny intake of an Animal for any behavior issue deemed by the County to be a threat to public health or safety. 7.9 The County reserves the right to return Animals to the Town at the expiration of the legal holding period. 7.10 The County may temporarily suspend this Agreement without notice and in its sole discretion if the County determines: 7.10.1 The Town is non-compliant with a provision of this Agreement; or, 7.10.2 The health and safety of an Animal or person is in jeopardy. 7.10.3 A temporary suspension imposed by the County shall remain in effect unless and until the Town comes into compliance or until the County enters a permanent order after notice and opportunity for hearing. 7.10.4 The Town shall be notified in writing for the reason for the temporary suspension upon issuance of the suspension and the Town shall have five (5) business days to respond in writing from the date of the notice. The notice shall comply with the Notice provisions in Section 13, below. 8.0 TOWN RESPONSIBILITIES The Town agrees to perform the following services (“Town Services”): 8.1 Only deliver Eligible Animals to the County for impounding and/or quarantining. 8.2 In the case of a bite animal, provide a copy of the agency bite report which shall include owner name, address, and phone number (if known); victim name, address, phone number, and age; circumstances of bite, date, and time bite occurred, location where bite occurred, including zip code; victim relationship to animal owner, severity of bite, wound location on body, and what medical treatment, if any, was provided or sought. 8.3 Before attempting delivery of an Eligible Animal to a County Pound, conduct lost and found efforts to return the Animal to its Owner, including but not limited to, scanning Eligible Animal for microchips and contacting potential Owner. 8.4 Deliver only Eligible Animals to a County Animal Control Facility for impound and/or quarantine during Intake Hours. 8.5 Deliver Animals that are or, are suspected to be, victims of abandonment, cruelty or neglect to the provider contracted by the Town for such services. 8.6 Deliver sick or injured Animals directly to a vet of the Town’s choosing. 8.7 Comply with County Intake Procedure. RESOLUTION NO. 2022-30 PAGE 8 8.8 Upon delivery of the Eligible Animal by the Town to the County, provide the following information for all Eligible Animals delivered to the County by the Town: 8.8.1 Documentation showing attempts to return Eligible Animal to its Owner; 8.8.2 Prior complaints made to the Town about the animal; 8.8.3 Bite history; and all information as outlined in 8.2; 8.8.4 Information necessary to aide in the control of rabies, such as knowledge of bites, knowledge of rabies, etc.; and, 8.8.5 Any additional information requested by the County that is necessary to properly impound, care for and pathway the Eligible Animal. 8.10 Daily boarding fee for the mandatory 3 day hold for all Animals of the same species as established in Appendix A to this Agreement. 8.11 Reserve sufficient funds in fiscal budget to pay for fees and costs charged pursuant to Appendix A to this Agreement. 8.12 Promote and enforce licensing as prescribed in A.R.S. §§ 11-1008, 11-1012, and Town Code § Chapter 6. 9.0 RECORDS 9.1 At minimum, the Parties shall keep the following records under this Agreement (“Records”): 9.1.1 Intake counts; 9.1.2 Electronic impound records; 9.1.3 Documentation of Town attempts to return animal to Owner; 9.1.4 All documentation related to dog licenses; 9.1.5 All documentation related to rabies; and 9.1.6 Any other books, accounts, reports, files or other documents related to this Agreement. 9.2 The Parties shall retain records in accordance with their applicable retention rules and policies. The County shall retain records in accordance with the County Records Management policy, A2101. The Town shall retain records in accordance with applicable law. 9.3 The Parties waive their respective public records procedure for obtaining Records. 9.4 The Parties shall have full access to, and the right to examine, copy, and make use of all Records relevant to this Agreement no later than ten (10) business days from the date of request. 9.5 The Town will have access to County dog licensing data through a web portal, calls to the Animal Control Facility, and by email. The Town will pay an annual Data Access and Maintenance fee to maintain this access. Use of the web portal, phone calls, or emails for licensing data are not subject records requests. 9.6 The Parties acknowledge some Records may be protected from disclosure under Arizona law. The Parties shall consult with counsel prior to disclosing. RESOLUTION NO. 2022-30 PAGE 9 10.0 FINANCING: The Town will pay for the impounding and quarantining activities under this Agreement pursuant to the fees and costs schedules in Appendix A to this Agreement. 11.0 NON-APPROPRIATION: Notwithstanding any other provision in this Agreement, every payment obligation of the Town under this Agreement is conditioned upon the availability of funds appropriated and allocated for the payment of such obligation. If funds are not appropriated, allocated and available or if the appropriation is changed by the appropriating body resulting in funds no longer being available for the continuance of this Agreement, this Agreement may be terminated by the County at the end of the period for which funds are available. No liability shall accrue to the Town or County in the event this provision is exercised, and neither Party shall be obligated or liable for any future payments or for any damages due to termination under this paragraph. 12.0 AUDITS 12.1 Each Party may audit and inspect the other Party’s work to verify compliance with this Agreement. 12.2 All Records shall be subject at all reasonable times to inspection and audit by either Party for five years after completion of the Agreement. 12.3 The owner of the Records shall produce the requested Records as designated in this Agreement. 12.4 Each Party, prior to conducting an audit, must give sixty (60) calendar days’ notice to the other Party. Notice shall be given as provided in section 13.0. 13.0 NOTICE: Whenever written notice is required or permitted under this Agreement, such notice shall be deemed to have been sufficiently given if personally delivered or deposited in the United States mail in a properly stamped envelope – certified or registered mail, return receipt requested – or electronically mailed, addressed to: MARICOPA COUNTY TOWN OF FOUNTAIN HILLS Maricopa County Animal Care & Control c/o Al Aguinaga, Field Enforcement Division Manager 2500 S. 27th Avenue Phoenix, AZ 85009 Al.Aguinaga@maricopa.gov (602) 506-2737 Cc: Maricopa County Animal Care & Control c/o Kristi McMahon, Finance Manager 2500 S. 27th Avenue Phoenix, AZ 85009 Town of Fountain Hills c/o Grady Miller, Town Manager 16705 E. Avenue of the Fountains Fountain Hills, AZ 85268 Cc: Town of Fountain Hills c/o Aaron Arnson, Town Attorney 16705 E Avenue of the Fountains Fountain Hills, AZ 85268 Kristi.McMahon@maricopa.gov (602) 372-0602 RESOLUTION NO. 2022-30 PAGE 10 14.0 TERMINATION 14.1 Any Party may terminate this Agreement at any time without cause by giving ninety (90) days’ written notice (“Termination”). 14.2 Partial termination is prohibited. 14.3 Pursuant to the provisions of A.R.S. § 38-511, either Party may cancel this Agreement without penalty or obligation, if any person significantly involved in the initiating, negotiating, securing, drafting, or creating this Agreement on behalf of the terminating Party is at any time while the Agreement or any extension thereof is in effect an employee of the other party to the Agreement in any capacity with respect to the subject matter of this Agreement. 14.4 In the event of non-payment by Town, this Agreement shall terminate as of the date of last payment received and County obligations hereunder shall immediately cease. 14.5 Upon termination of this Agreement, all property involved will revert to the owner. Termination will not relieve any Party from liabilities or costs already incurred under this Agreement, nor affect any ownership pursuant to this Agreement. Any Eligible Animals still in the custody of the County at the termination of this Agreement will become the property of the Town at the end of the hold period established by statute and will be governed by this Agreement. 15.0 INDEPENDENT CONTRACTOR: The Town is an independent contractor, including the Town’s employees, agents, and subcontractors. Nothing in this Agreement will be construed to create any partnership, joint venture, or employment relationship between the Parties or create any employer-employee relationship between a Party and the employees of the other Party. Neither Party will be liable for any debts, accounts, obligations, or other liabilities whatsoever of the other. 16.0 SUBCONTRACTING: The Town shall not subcontract any portion of this Agreement to a subcontractor without the prior express, written consent of the County. The County reserves the right to reject a subcontractor if the County determines the subcontractor fails to comply with any term of this Agreement or if the County determines the subcontractor does not pass a background check or fails any other criteria related to the health or safety of Animals and employees. 17.0 ASSIGNMENT: This Agreement shall not be assigned, in whole or in part, without the prior written consent of the Parties, and any purported assignment in contravention of this provision shall be null and void. 18.0 NONDISRCIMINATION: The Parties agree to comply with all applicable state and federal laws, rules, regulations and executive orders governing equal employment opportunity, immigration, nondiscrimination, including the Americans with Disabilities Act, and affirmative action. RESOLUTION NO. 2022-30 PAGE 11 19.0 IMMIGRATION; E-VERIFY: To the extent applicable under A.R.S. § 41-4401, the Parties warrant compliance, on behalf of themselves and all subcontractors, with all federal immigration laws and regulations relating to their employees, and, compliance with the E - Verify requirements under A.R.S. § 23-214(A). Any Party’s breach of the above-mentioned warranty shall be deemed a material breach of this Agreement and the non-breaching Parties may terminate this Agreement. The Parties retain the legal right to inspect the papers of any other Party to ensure that the Party is complying with the above-mentioned warranty under this Agreement. 20.0 INDEMNIFICATION: To the fullest extent permitted under Arizona law, each Party and its departments, agencies, boards, commissions, officers, officials, agents, employees, and volunteers (as “Indemnitor”) agrees to indemnify, defend and hold harmless the other Party and its departments, agencies, boards, commissions, officers, officials, agents, employees, and volunteers (as “Indemnitee”), from and against any and all claims, actions, liabilities, damages, losses, costs, or expenses (including court costs, attorneys’ fees, claim processing) (collectively, “Claims”) arising out of bodily or personal injury of any person (including death) or tangible or intangible property damage, in whole or in part, by the negligent or willful acts or omissions of Indemnitor. This indemnity includes any claim or amount arising out of or recovered under the Workers’ Compensation law. It is the specific intention of the Parties that the Indemnitee shall, in all instances, except for Claims arising solely from the negligent or willful acts or omissions of the Indemnitee, be indemnified by the Indemnitor against all Claims. It is agreed that the Town will be responsible for primary loss investigation, defense, and judgment costs where this indemnification is applicable. Nothing in this Agreement shall be construed as consent to any suit or waiver of any defense in a suit brought against the County or the Town in any State or Federal Court arising from the negligent or willful acts or omissions of the Parties. 21.0 PARTIAL PERFORMANCE: The failure of either Party to insist in any one or more instances upon the full and complete performance of any of the terms of this Agreement shall not be construed as a waiver or relinquishment of the right to insist upon full and complete performance of the same, or any other term, either in the past or in the future. 22.0 INSURANCE: The Parties agree to secure and maintain sufficient insurance coverage for all risks that may arise out of the terms, obligations, operations, and actions as set forth in this Agreement, including but not limited to public entity insurance. The acquisition of insurance or the maintenance and operation of a self-insurance program may fulfill the insurance requirement. 23.0 HEADINGS: Sections and other headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 24.0 ENTIRE AGREEMENT: This Agreement contains the entire agreement of the Parties with respect to the subject matter of this Agreement. RESOLUTION NO. 2022-30 PAGE 12 25.0 APPLICABLE LAW: Each Party shall comply with all applicable federal, state, and local laws, ordinances, Executive Orders, rules, regulations, standards, and codes whether or not specifically referenced herein. 26.0 VENUE; CHOICE OF LAW 26.1 The proper venue for any proceeding arising from this Agreement shall be Maricopa County, Arizona. This Agreement shall be construed in accordance with a nd be governed by the laws of the State of Arizona. 26.2 This Agreement and all obligations imposed on the Parties arising under this Agreement shall be subject to any limitations of budget law or other applicable local law or regulations. No term in this Agreement shall be construed to relieve the Parties of any obligations or responsibilities imposed on Parties by law. IN WITNESS WHEREOF, the undersigned executing this Agreement on behalf of each Party represent and warrant that he/she is duly authorized to execute and deliver this Agreement on behalf of each Party and that this Agreement is binding on said Party in accordance with its terms. The Parties enter into this Agreement as of the date last set forth below (“Effective Date”). MARICOPA COUNTY TOWN OF FOUNTAIN HILLS By: By: Jack Sellers, Chairman Maricopa County Board of Supervisors Ginny Dickey, Mayor Town of Fountain Hills Date Date Attest: Attest: Juanita Garza, Clerk of the Board Elizabeth A. Klein, Town Clerk Date Date Approved as to Form: Undersigned counsel has reviewed the foregoing Agreement pursuant to A.R.S. § 11 -952 (D) and has determined it is in proper form and within the powers and authority granted under the laws of this state to the County and Town. Karen Hartman-Tellez, Maricopa County Deputy Attorney Aaron D. Arnson Attorney for Town of Fountain Hills Date Date RESOLUTION NO. 2022-30 PAGE 13 APPENDIX A IMPOUND FEE SCHEDULE Pursuant to A.R.S. § 11-1005(C), the Board of Supervisors has authority to establish the following fees for impounding and maintenance of animals at County Animal Control Facilities. The Town shall pay these fees on a quarterly basis to Animal Control Fund 572. AVG FY20/FY21 Calculations for Initial Year (FY2023 or 7/1/22 - 6/30/23): Yearly # of Impounds At $108 each Town's Licensing Revenue 33% Licensing Offset Adjusted Sheltering Cost (cost-offset) 16 $1,728 $37,117 $12,249 $0 See following pages. ITEM 7. F. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Administration Prepared by: David Trimble, Deputy Town Manager/Admin. Serv. Dir. Staff Contact Information: David Trimble, Deputy Town Manager/Admin. Serv. Dir. Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION OF approving RESOLUTION 2022-31, adopting the Town of Fountain Hills Government Money Purchase Plan & Trust Adoption Agreements with Mission Square Retirement. Staff Summary (background) The United States Internal Revenue Service (IRS) mandates plan documents for 401a plans be reviewed and re-adopted on a six-year recurring cycle, even if no changes are made to the documents. The last time the plan documents were adopted was six years ago, so the current deadline for a new plan adoption agreement is 7/31/2022. No changes are proposed for this plan adoption cycle. The current retirement plans will continue with all terms currently in place. The Town has historically provided full-time employees with a 401a defined contribution retirement savings plan through the International City/County Management Association's Retirement Corporation (ICMA-RC). In 2021 ICMA-RC changed its name to MissionSquare Retirement. The IRS mandates plan documents (see attached) be reviewed and adopted on a six-year recurring cycle, even if no changes are made to the plan documents. No changes are planned to the terms and conditions of the required plan adoption agreements. The current deadline for new plan adoption agreements is the end of July 2022. The town has historically maintained two defined contribution retirement savings plans, one for town employees and another for town managers. There are no substantial differences between the two retirement plans except the vesting period is five years for employees with no vesting requirements in the plan for town managers. This has been a plan design feature for at least the previous 12 years. Related Ordinance, Policy or Guiding Principle Employee benefits. Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A N/A Staff Recommendation(s) Staff recommends approval. SUGGESTED MOTION MOVE to adopt Resolution 2022-31. Fiscal Impact Fiscal Impact:$0 Budget Reference:93, 100, 105, 108, Funding Source:Multiple If Multiple Funds utilized, list here:General Fund, HURF, Tourism, & Economic Developmen Budgeted: if No, attach Budget Adjustment Form:Yes Attachments 2022 General Plan Adoption with IRS Determination 2016 Signed Employee Plan Adoption Agreement 2016 Signed Town Manager Plan Adoption Agreement Exhibit A - 2022 Town Manager Plan Adoption Agreement Exhibit B 2022 Employee Plan Adoption Agreement Resolution 2022-31 Form Review Inbox Reviewed By Date Finance Director David Pock 05/21/2022 08:42 AM Town Attorney Aaron D. Arnson 05/23/2022 08:03 AM Town Manager Grady E. Miller 05/31/2022 11:58 AM Form Started By: David Trimble Started On: 05/20/2022 11:42 AM Final Approval Date: 05/31/2022 ICMA Retirement Corporation doing business as MissionSquare Retirement Governmental Money Purchase Plan MissionSquare Retirement Governmental Money Purchase Plan i MissionSquare Retirement Governmental Money Purchase Plan Table of Contents I. Purpose ............................................................................................................................... 1 II. Definitions ........................................................................................................................... 1 2.01 Account. .................................................................................................................................... 1 2.02 Accounting Date. ..................................................................................................................... 1 2.03 Adoption Agreement. ............................................................................................................. 1 2.04 Beneficiary. ............................................................................................................................... 1 2.05 Break in Service........................................................................................................................ 2 2.06 Code. ........................................................................................................................................ 2 2.07 Covered Employment Classification. .................................................................................... 2 2.08 Disability. .................................................................................................................................. 2 2.09 Earnings. ................................................................................................................................... 2 2.10 Effective Date. .......................................................................................................................... 3 2.11 Employee. ................................................................................................................................. 3 2.12 Employer. ................................................................................................................................. 4 2.13 Hour of Service. ........................................................................................................................ 4 2.14 Nonforfeitable Interest. ........................................................................................................... 4 2.15 Normal Retirement Age. ......................................................................................................... 4 2.16 Participant. ................................................................................................................................ 4 2.17 Period of Service. ..................................................................................................................... 4 2.18 Period of Severance. ............................................................................................................... 4 2.19 Plan. ........................................................................................................................................... 4 2.20 Plan Administrator. .................................................................................................................. 4 2.21 Plan Year. .................................................................................................................................. 5 2.22 Trust. ......................................................................................................................................... 5 III. Eligibility ............................................................................................................................. 5 3.01 Service. ..................................................................................................................................... 5 3.02 Age. ........................................................................................................................................... 5 3.03 Return to Covered Employment Classification. .................................................................... 5 3.04 Service Before a Break in Service. .......................................................................................... 5 IV. Contributions ...................................................................................................................... 5 4.01 Employer Contributions. ......................................................................................................... 5 4.02 Forfeitures. ............................................................................................................................... 6 4.03 Mandatory Participant Contributions. ................................................................................... 6 4.04 Employer Matching Contributions of After-Tax Voluntary Participant Contributions. ..... 6 4.05 Employer Matching Contributions of 457(b) Elective Deferrals. ........................................ 6 4.06 Voluntary Participant Contributions. ..................................................................................... 7 4.07 Deductible Employee Contributions. .................................................................................... 7 4.08 Final Pay Contributions. .......................................................................................................... 7 4.09 Accrued Leave Contributions. ................................................................................................ 7 4.10 Military Service Contributions. ............................................................................................... 7 4.11 Accrual of Additional Benefits for Qualified Military Service. ............................................. 7 4.12 Changes in Participant Election. ............................................................................................ 8 MissionSquare Retirement Governmental Money Purchase Plan ii 4.13 Rollover Contributions. ........................................................................................................... 8 4.14 Return of Employer Contributions. ........................................................................................ 9 4.15 Definitions. ............................................................................................................................... 9 V. Limitation On Allocations .................................................................................................... 9 5.01 Participants Only in This Plan. ................................................................................................ 9 5.02 Participants in Another Defined Contribution Plan. ............................................................. 9 5.03 Definitions. ............................................................................................................................ 10 5.04 Aggregation and Disaggregation of Plans. ....................................................................... 14 VI. Investment of Accounts ..................................................................................................... 15 6.01 Investment Funds. ................................................................................................................ 15 VII. Vesting .............................................................................................................................. 15 7.01 Vesting Schedule. ................................................................................................................. 15 7.02 Crediting Periods of Service. ............................................................................................... 15 7.03 Service After Break in Service. ............................................................................................. 16 7.04 Vesting Upon Normal Retirement Age............................................................................... 16 7.05 Vesting Upon Death or Disability. ....................................................................................... 16 7.06 Forfeitures. ............................................................................................................................ 16 7.07 Reinstatement of Forfeitures. .............................................................................................. 17 VIII. Benefits Claim ................................................................................................................... 17 8.01 Claim of Benefits. .................................................................................................................. 17 8.02 Appeal Procedure. ............................................................................................................... 17 IX. Commencement of Benefits .............................................................................................. 17 9.01 Normal and Elective Commencement of Benefits. ........................................................... 17 9.02 Restrictions on Immediate Distributions. ........................................................................... 17 9.03 Transfer to Another Plan. ..................................................................................................... 18 9.04 De Minimis Accounts. ........................................................................................................... 20 9.05 Withdrawal of Voluntary Participant Contributions........................................................... 20 9.06 Withdrawal of Deductible Employee Contributions. ........................................................ 20 9.07 In-Service Distribution from Rollover Contribution Account. .......................................... 21 9.08 In-Service Distributions. ....................................................................................................... 21 9.09 Latest Commencement of Benefits. .................................................................................... 21 9.10 Spousal Consent. .................................................................................................................. 21 9.11 Deemed Severance from Employment. ............................................................................. 21 9.12 Distributions for Health and Long-Term Care Insurance for Public Safety Officers ...... 22 X. Distribution Requirements ................................................................................................ 22 10.01 General Rules. ....................................................................................................................... 22 10.02 Time and Manner of Distribution. ....................................................................................... 22 10.03 Required Minimum Distributions During Participant’s Lifetime. ..................................... 23 10.04 Required Minimum Distributions After Participant’s Death. ............................................ 25 10.05 Definitions. ............................................................................................................................ 26 XI. Modes of Distribution of Benefits ..................................................................................... 26 11.01 Normal Mode of Distribution. ............................................................................................. 26 11.02 Elective Mode of Distribution. ............................................................................................. 27 MissionSquare Retirement Governmental Money Purchase Plan iii 11.03 Election of Mode. ................................................................................................................. 27 11.04 Death Benefits. ...................................................................................................................... 27 XII. Spousal Death Benefit Requirements ............................................................................... 27 12.01 Application. ........................................................................................................................... 27 12.02 Spousal Death Benefit. ......................................................................................................... 27 12.03 Waiver of Spousal Death Benefit. ....................................................................................... 28 12.04 Definitions. ............................................................................................................................ 28 XIII. Loans to Participants ......................................................................................................... 28 13.01 Availability of Loans to Participants. ................................................................................... 28 13.02 Terms and Conditions of Loans to Participants. ................................................................ 29 13.03 Participant Loan Accounts. .................................................................................................. 31 XIV. Plan Amendment, Termination, and Optional Provisions ................................................ 31 14.01 Amendment by Employer.................................................................................................... 31 14.02 Amendment of Vesting Schedule. ...................................................................................... 32 14.03 Termination by Employer. ................................................................................................... 33 14.04 Discontinuance of Contributions. ....................................................................................... 33 14.05 Amendment by Plan Administrator. ................................................................................... 33 14.06 Optional Provisions. ............................................................................................................. 33 14.07 Failure of Qualification. ........................................................................................................ 33 XV. Administration .................................................................................................................. 34 15.01 Powers of the Employer. ...................................................................................................... 34 15.02 Duties of the Plan Administrator. ........................................................................................ 34 15.03 Protection of the Employer. ................................................................................................. 35 15.04 Protection of the Plan Administrator. ................................................................................. 35 15.05 Resignation or Removal of Plan Administrator. ................................................................. 35 15.06 No Termination Penalty. ...................................................................................................... 35 15.07 Decisions of the Plan Administrator. .................................................................................. 35 XVI. Miscellaneous ................................................................................................................... 35 16.01 Nonguarantee of Employment. .......................................................................................... 35 16.02 Rights to Trust Assets. .......................................................................................................... 35 16.03 Nonalienation of Benefits. ................................................................................................... 35 16.04 Qualified Domestic Relations Order................................................................................... 36 16.05 Nonforfeitability of Benefits. ................................................................................................ 36 16.06 Incompetency of Payee. ....................................................................................................... 36 16.07 Inability to Locate Payee. ..................................................................................................... 36 16.08 Mergers, Consolidations, and Transfer of Assets. ............................................................. 36 16.09 Employer Records. ............................................................................................................... 36 16.10 Gender and Number. ........................................................................................................... 37 16.11 Applicable Law. .................................................................................................................... 37 16.12 Electronic Communication and Consent. .......................................................................... 37 XVII. Spousal Benefit Requirements .......................................................................................... 37 17.01 Application. ........................................................................................................................... 37 17.02 Qualified Joint and Survivor Annuity. ................................................................................. 37 17.03 Qualified Optional Survivor Annuity. .................................................................................. 37 MissionSquare Retirement Governmental Money Purchase Plan iv 17.04 Qualified Preretirement Survivor Annuity. ......................................................................... 38 17.05 Notice Requirements............................................................................................................ 38 17.06 Definitions. ............................................................................................................................ 39 17.07 Annuity Contracts. ................................................................................................................ 40 XVIII. Final Pay Contributions ..................................................................................................... 41 18.01 Eligibility. ............................................................................................................................... 41 18.02 Contribution Amount. .......................................................................................................... 41 18.03 Equivalencies. ....................................................................................................................... 41 18.04 Excess Contributions. ........................................................................................................... 41 XIX. Accrued Leave Contributions ............................................................................................ 42 19.01 Eligibility. ............................................................................................................................... 42 19.02 Contribution Amount. .......................................................................................................... 42 19.03 Equivalencies. ....................................................................................................................... 42 19.04 Excess Contributions. ........................................................................................................... 42 MissionSquare Retirement Governmental Money Purchase Plan 1 I. PURPOSE The Employer hereby adopts this Plan to provide funds for its Employees’ retirement, and to provide funds for their Beneficiaries in the event of death. The benefits provided in this Plan shall be paid from the Trust. The Plan and the Trust shall be maintained for the exclusive benefit of eligible Employees and their Beneficiaries. Except as provided in Sections 4.14 and 14.03, no part of the corpus or income of the Trust shall revert to the Employer or be used for or diverted to purposes other than the exclusive benefit of Participants and their Beneficiaries. II. DEFINITIONS 2.01 Account. A separate record which shall be established and maintained under the Trust for each Participant, and which shall include all Participant subaccounts created pursuant to Article IV, plus any Participant Loan Account created pursuant to Section 13.03. Each subaccount created pursuant to Article IV shall include any earnings of the Trust and adjustments for withdrawals, and realized and unrealized gains and losses allocable thereto. The term “Account” may also refer to any of such separate subaccounts. 2.02 Accounting Date. Each day that the New York Stock Exchange is open for trading, and such other dates as may be determined by the Plan Administrator. As of each Accounting Date, the Plan assets held in each investment fund described in Section 6.01 shall be valu ed at fair market value and the investment income and gains or losses for each fund shall be determined. 2.03 Adoption Agreement. The separate agreement executed by the Employer through which the Employer adopts the Plan and elects among the various alternatives provided thereunder, and which upon execution, becomes an integral part of the Plan. 2.04 Beneficiary. The person or persons (including a trust) designated by the Participant who shall receive any benefits payable hereunder in the event of the Participant’s d eath. The designation of such Beneficiary shall be in writing to the Plan Administrator. A Participant may designate primary and contingent Beneficiaries. Where no designated Beneficiary survives the Participant or no Beneficiary is otherwise designated by the Participant, the Participant’s Beneficiary shall be his/her surviving spouse or, if none, his/her estate. Notwithstanding the foregoing, the Beneficiary designation is subject to the requirements of Article XII unless the Employer elects otherwise in the Adoption Agreement. Notwithstanding the foregoing, where elected by the Employer in the Adoption Agreement (the “QJSA Election”), the Beneficiary designation is subject to the requirements of Article XVII. Notwithstanding the foregoing, to the extent permitted by the Employer, a Beneficiary receiving required minimum distributions in accordance with Article X and not in a benefit form elected under Article XI or XII, may designate a Beneficiary to receive the required minimum distributions that would have otherwise been payable to the initial Beneficiary but for his or her death. MissionSquare Retirement Governmental Money Purchase Plan 2 2.05 Break in Service. A Period of Severance of at least twelve (12) consecutive months. In the case of an individual who is absent from work for maternity or paternity reasons, the twelve (12) consecutive month period beginning on the first anniversary of the first date of such absence shall not constitute a Break in Service. For purposes of this paragraph, an absence from work for maternity or paternity reasons means an absence (1) by reason of the pregnancy of the individual, (2) by reason of the birth of a child of the individual, (3) by reason of the placement of a child with the individual in connection with the adoption of such child by such individual, or (4) for purposes of caring for such child for a period beginning immediately following such birth or placement. 2.06 Code. The Internal Revenue Code of 1986, as amended from time to time. 2.07 Covered Employment Classification. The group or groups of Employees eligible to make and/or have contributions to this Plan made on their behalf, as specified by the Employer in the Adoption Agreement. 2.08 Disability. A physical or mental impairment which is of such permanence and degree that a Participant is unable because of such impairment to perform any substantial gainful activity for which he/she is suited by virtue of his/her experience, training, or education and that has lasted, or can be expected to last, for a continuous period of not less than twelve (12) months, or can be expected to result in death. The permanence and degree of such impairment shall be supported by medical evidence provided to the Employer. If the Employer maintains a long-term disability plan, the definition of Disability shall be the same as the definition of disability in the long-term disability plan. 2.09 Earnings. (a) General Rule. Earnings, which form the basis for computing Employer Contributions, are all of each Participant’s W-2 earnings which are actually paid to the Participant during the Plan Year, plus any contributions made pursuant to a salary reduction agreement which are not includible in the gross income of the Employee under section 125, 402(e)(3), 402(h)(1)(B), 403(b), 414(h)(2), 457(b), or 132(f)(4) of the Code. Earnings shall include any pre-tax contributions (excluding direct employer contributions) to an integral part trust of the Employer providing retiree health care benefits. Earnings shall also include any other earnings as defined and elected by the Employer in the Adoption Agreement. Unless the Employer elects otherwise in the Adoption Agreement, Earnings shall exclude overtime compensation and bonuses. (b) Limitation on Earnings. The annual Earnings of each Participant taken into account in determining allocations shall not exceed $200,000, as adjusted for cos t-of-living increases in accordance with section 401(a)(17)(B) of the Code. Annual Earnings means Earnings during the Plan Year or such other consecutive 12-month period over which Earnings is otherwise determined under the Plan (the determination period). The cost-of- living adjustment in effect for a calendar year applies to annual Earnings for the determination period that begins with or within such calendar year. If a determination period consists of fewer than twelve (12) months, the annual Earnings limit is an amount equal to the otherwise applicable annual Earnings limit multiplied by the fraction, the numerator of which is the number of months in the short Plan Year and the denominator of which is twelve (12). MissionSquare Retirement Governmental Money Purchase Plan 3 If Earnings for any prior determination period are taken into account in determining a Participant’s allocations for the current Plan Year, the Earnings for such prior year are subject to the applicable annual Earnings limit in effect for that prior year. (c) Limitations for Governmental Plans. In the case of an eligible participant in a governmental plan (within the meaning of section 414(d) of the Code), the dollar limitation shall not apply to the extent the Earnings which are allowed to be taken into account under the Plan would be reduced below the amount which was allowed to be taken into account under the Plan as in effect on July 1, 1993, as adjusted for increases in the cost-of-living in accordance with section 401(a)(17)(B) of the Code. For purposes of this Section, an eligible participant is an individual who first became a Participant in the Plan during a Plan Year beginning before the first Plan Year beginning after December 31, 1993. (d) Earnings Paid After Severance from Employment. Earnings for purposes of allocations under the Plan shall not include amounts paid after a Participant’s severance from Employment with the Employer except as provided in this Section 2.09(d). (1) Leave Cashouts. Earnings shall include payment for unused accrued bona fide sick, vacation, or other leave, but only if (i) the Participant would have been able to use the leave if employment had continued, and (ii) such amounts are paid by the later of 2½ months after severance from employment with the Employer maintaining the Plan or by the end of the calendar year that includes the date of such severance from employment. (2) Regular Pay. Earnings shall include regular pay after severance from employment if: (i) The payment is included in the Participant’s W-2 earnings; (ii) The payment would have been paid to the Participant prior to a severance from employment if the Participant had continued in employment with the Employer; and (iii) Such amounts are paid by the later of 2½ months after severance from employment with the Employer maintaining the Plan or by the end of the calendar year that includes the date of such severance from employment. Notwithstanding anything to the contrary in this subsection (b), unless the Employer has specifically elected to include overtime compensation and bonuses in Earnings, Earnings shall exclude overtime compensation and bonuses paid after severance from employment. 2.10 Effective Date. The first day of the Plan Year during which the Employer adopts the Plan, unless the Employer elects in the Adoption Agreement an alternate date as the Effective Date of the Plan. 2.11 Employee. Any individual who has applied for and been hired in an employment position and who is employed by the Employer as a common law employee; provided, however, that Employee shall not include any individual who is not so recorded on the pa yroll records of the Employer, including any such person who is subsequently reclassified by a court of law or regulatory body as a common law employee of the Employer. For purposes of clarification only and not to imply that the preceding sentence would otherwise cover such person, the term Employee does not include any individual who performs services for the Employer as an independent contractor, or under any other non-employee classification. MissionSquare Retirement Governmental Money Purchase Plan 4 2.12 Employer. The unit of state or local government or an agency or instrumentality of one (1) or more states or local governments that executes the Adoption Agreement. 2.13 Hour of Service. Each hour for which an Employee is paid or entitled to payment for the performance of duties for the Employer, or for any entity aggreg ated with the Employer under sections 414(b), (c), (m), or (o) of the Code. 2.14 Nonforfeitable Interest. The nonforfeitable interest of the Participant or his/her Beneficiary (whichever is applicable) is that percentage of his/her Employer Contribution Account balance, which has vested pursuant to Article VII. A Participant shall, at all times, have a one hundred percent (100%) Nonforfeitable Interest in his/ her Mandatory Participant Contribution, Rollover Contribution, and Voluntary Participant Contribution, Deductible Employee Contribution, Employee Designated Final Pay Contribution, and Employee Designated Accrued Leave Contribution Accounts. 2.15 Normal Retirement Age. The age which the Employer specifies in the Adoption Agreement. If the Employer enforces a mandatory retirement age, the Normal Retirement Age is the lesser of that mandatory age or the age specified in the Adoption Agreement. 2.16 Participant. An Employee or former Employee for whom contributions have been made under the Plan and who has not yet received all of the payments of benefits to which he/she is entitled under the Plan. A Participant is treated as benefiting under the Plan for any Plan Year during which the participant received or is deemed to receive an allocation in accordance with Treas. Reg. section 1.410(b)-3(a). 2.17 Period of Service. For purposes of determining an Employee’s initial or continued eligibility to participate in the Plan or the Nonforfeitable Interest in the Participant’s Account balance derived from Employer Contributions, an Employee will receive credit for the aggregate of all time period(s) commencing with the Employee’s first day of employment or reemployment and ending on the date a Break in Service begins. The first day of employment or reemployment is the first day the Employee performs an Hour of Service. An Employee will also receive credit for any Period of Severance of less than twelve (12) consecutive months. Fractional periods of a year will be expressed in terms of days. Notwithstanding anything to the contrary herei n, if the Plan is an amendment and restatement of a plan that previously calculated service under the hours of service method, each Employee with respect to whom the method of crediting service is changed shall receive, if greater than as provided in the Plan as amended and restated, credited service in the same manner as a transfer described in Treas. Reg. section 1.410(a)-7(f)(1). 2.18 Period of Severance. A continuous period of time during which the Employee is not employed by the Employer. Such period begins on the date the Employee retires, quits or is discharged, or if earlier, the twelve (12) month anniversary of the date on which the Employee was otherwise first absent from service. 2.19 Plan. This Plan, as established by the Employer, including any elected provisions pursuant to the Adoption Agreement. 2.20 Plan Administrator. The person(s) or entity named to carry out certain nondiscretionary administrative functions under the Plan, as hereinafter described, which is the ICMA MissionSquare Retirement Governmental Money Purchase Plan 5 Retirement Corporation, doing business as MissionSquare Retirement, or any successor Plan Administrator. Unless otherwise provided in the Plan, the Plan Administrator shall act at the direction of the Employer and shall be fully protected in acting on such direction. 2.21 Plan Year. The twelve (12) consecutive month period designated by the Employer in the Adoption Agreement. 2.22 Trust. The Trust is the trust designated and adopted by the Employer to receive and hold all of the assets of the Plan derived from Employer and Employee contributions under the Plan, plus any income and gains thereon, less any losses, expenses and distributions to Participants and Beneficiaries. III. ELIGIBILITY 3.01 Service. Except as provided in Sections 3.02 and 3.03 of the Plan, an Employee within the Covered Employment Classification who has completed a twelve (12) month Period of Service shall be eligible to participate in the Plan at the beginning of the payroll period next commencing thereafter. The Employer may elect in the Adoption Agreement to waive or reduce the twelve (12) month Period of Service. If the Employer maintains the plan of a predecessor employer, service with such employer shall be treated as service for the Employer. 3.02 Age. The Employer may designate a minimum age requirement, not to exceed age twenty - one (21), for participation. Such age, if any, shall be declared in the Adoption Agreement. 3.03 Return to Covered Employment Classification. In the event a Participant is no longer a member of Covered Employment Classification and becomes ineligible to make contributions and/or have contributions made on his/her behalf, such Employee will become eligible for contributions immediately upon returning to a Covered Employment Classification. If such Participant incurs a Break in Service, eligibility will be determined under the Break in Service rules of the Plan. In the event an Employee who is not a member of a Covered Employment Classification becomes a member, such Employee will be eligible to participate immediately if such Employee has satisfied the minimum age and service requirements and would have otherwise previously become a Participant. 3.04 Service Before a Break in Service. All Periods of Service with the Employer are counted toward eligibility, including Periods of Service before a Break in Service. IV. CONTRIBUTIONS 4.01 Employer Contributions. For each Plan Year, the Employer will contribute to the Trust an amount as specified in the Adoption Agreement. The Employer’s full contribution for any Plan MissionSquare Retirement Governmental Money Purchase Plan 6 Year shall be due and paid not later than thirty (30) working days after the close of the Plan Year. Each Participant will share in Employer Contributions for the perio d beginning on the date the Participant commences participation under the Plan and ending on the date on which such Employee severs employment with the Employer or is no longer a member of a Covered Employment Classification, and such contributions shall b e accounted for separately in his Employer Contribution Account. Employer Contributions include Fixed Employer Contributions, Employer Matching Contributions, Employer Final Pay Contributions, and Employer Accrued Leave Contributions as selected by the Employer in the Adoption Agreement. Notwithstanding anything to the contrary herein, if so elected by the Employer in the Adoption Agreement, an Employee shall be required to make contributions as provided pursuant to Section 4.03 or 4.04, or to make electi ve deferrals to the Employer’s 457(b) plan in accordance with Section 4.05, in order to be eligible for Employer Contributions to be made on his/her behalf to the Plan. 4.02 Forfeitures. All amounts forfeited by terminated Participants, pursuant to Section 7.06, shall be used no later than the end of the next Plan Year. Forfeitures will be used to reduce dollar for dollar Employer Contributions otherwise required under the Plan. Forfeitures may first be used to pay the reasonable administrative expenses of the Plan, with any remainder being applied to reduce Employer Contributions. 4.03 Mandatory Participant Contributions. If the Employer so elects in the Adoption Agreement, each eligible Employee shall make contributions at a rate prescribed by the Employer or at any of a range of specified rates, as set forth by the Employer in the Adoption Agreement, as a requirement for his/her participation (1) in the Plan or (2) in this portion of the Plan. Once an eligible Employee becomes a Participant and makes an election her eunder, he/she shall not thereafter have the right to discontinue or vary the rate of such Mandatory Participant Contributions. Such contributions shall be accounted for separately in the Mandatory Participant Contribution Account. Such Account shall be at all times nonforfeitable. If the Employer so elects in the Adoption Agreement, the Mandatory Participant Contributions shall be “picked up” by the Employer in accordance with Code section 414(h)(2). Any contribution picked-up under this Section shall be treated as an employer contribution in determining the tax treatment under the Code, and shall not be included as gross income of the Participant until it is distributed. To constitute a Pick-Up Contribution, (1) the Employer must specify in a contemporane ous written document by a person duly authorized by the Employer that the contributions are being paid by the Employer in lieu of contributions by the Employee, and (2) the Employee must not be given the option of choosing to receive the contributed amount s directly instead of having them paid by the Employer to the Plan. 4.04 Employer Matching Contributions of After-Tax Voluntary Participant Contributions. If the Employer so elects in the Adoption Agreement, Employer Matching Contributions shall be made on behalf of an eligible Employee for a Plan Year if the Employee agrees to make after - tax Voluntary Participant Contributions for that Plan Year. The rate of Employer Matching Contributions shall, to the extent specified in the Adoption Agreement, be based upon the rate at which after-tax Voluntary Participant Contributions are made for that Plan Year. Employer Matching Contributions shall be accounted for separately in the Employer Contribution Account. 4.05 Employer Matching Contributions of 457(b) Elective Deferral s. If the Employer so elects in the Adoption Agreement, Employer Matching Contributions shall be made on behalf of an MissionSquare Retirement Governmental Money Purchase Plan 7 eligible Employee for a Plan Year if the Employee participates in the Employer’s 457(b) deferred compensation plan and makes 457(b) electi ve deferrals for that Plan Year. The rate of Employer Matching Contributions shall, to the extent specified in the Adoption Agreement, be based upon the rate at which elective deferrals to the 457(b) deferred compensation plan are made for that Plan Year. Employer Matching Contributions made pursuant to this section shall be accounted for separately in the Employer Contribution Account. 4.06 Voluntary Participant Contributions. If the Employer so elects in the Adoption Agreement, an eligible Employee may make after-tax voluntary contributions under the Plan for any Plan Year in any amount up to twenty-five percent (25%) of his/her Earnings for such Plan Year. Matched and unmatched contributions shall be accounted for separately in the Voluntary Participant Contribution Account. Such Account shall be at all times nonforfeitable. 4.07 Deductible Employee Contributions. The Plan will not accept deductible employee contributions which are made for a taxable year beginning after December 31, 1986. Contributions made prior to that date will be maintained in a Deductible Employee Contribution Account. The Account will share in the gains and losses under the Plan. Such Account shall be at all times nonforfeitable. No part of the Deductible Employee Contribution Account will be used to purchase life insurance. 4.08 Final Pay Contributions. If the Employer so elects in the Adoption Agreement, eligible Participants shall be eligible to make or receive Final Pay Contributions under this Plan in accordance with Article XVIII. This election may be made even if the Employer does not elect to make other contributions under Section 4.01. 4.09 Accrued Leave Contributions. If the Employer so elects in the Adoption Agreement, eligible Participants shall be eligible to make or receive Accrued Leave Contributions under this Plan in accordance with Article XIX. This election may be made even if the Employer does not elect to make other contributions under Section 4.01. 4.10 Military Service Contributions. Notwithstanding any provision of the Plan to the contrary, contributions, benefits and service credit with respect to qualified military service will be provided in accordance with section 414(u) of the Code. Notwithstanding any provision of the Plan to the contrary, if the Employer has elected in the Adoption Agreement to make loans available to Participants, loan repayments shall be suspended under the Plan as permitted under section 414(u)(4) of the Code. 4.11 Accrual of Additional Benefits for Qualified Military Service. (a) Death Benefits with Respect to Qualified Military Service. In the case of a Participant who dies while performing qualified military service (as defined in Code section 414(u)) with respect to the Employer, his/her Beneficiary shall have a Nonforfeitable Interest in the Participant’s entire Employer Contribution Account to the extent that he/she would have had had the Participant resumed and then terminated employment on account of death. (b) Benefit Accruals with Respect to Differential Wage Payments. If the Employer so elects in the Adoption Agreement, effective as elected by the Employer, Plan contributi ons shall be made based on differential wage payments (as such term is defined in Code section 3401(h)(2)). Solely for purposes of applying the limits of Code section 415, differential wage payments shall be treated as compensation. MissionSquare Retirement Governmental Money Purchase Plan 8 (c) Benefit Accruals with Respect to Qualified Military Service. Notwithstanding any provision of the Plan to the contrary, effective as elected by the Employer, if the Employer so elects in the Adoption Agreement, Participants who die or become Disabled while performing qualified military service (as defined in Code section 414(u)) with respect to the Employer shall receive Plan contributions as permitted under Code section 414(u)(9). 4.12 Changes in Participant Election. A Participant may elect to change his/her rate of Voluntary Participant Contributions at any time or during an election period as designated by the Employer. A Participant may discontinue such contributions at any time or during an election period as designated by the Employer. 4.13 Rollover Contributions. (a) Unless otherwise elected by the Employer in the Adoption Agreement, the Plan will accept Participant (which shall include, for purposes of this subsection, an Employee within the Covered Employment Classification whether or not he/she has satisfied the minimum age and service requirements of Article III) rollover contributions and/or direct rollovers of distributions (including after-tax contributions) that are eligible for rollover in accordance with Section 402(c), 403(a)(4), 403(b)(8), 408(d)(3)(A)(ii), or 457(e)(16) of the Code, from all of the following types of plans: (1) A qualified plan described in Section 401(a) or 403(a) of the Code; (2) An annuity contract described in Section 403(b) of the Code; (3) An eligible plan under Section 457(b) of the Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or a political subdivision of a state; and (4) An individual retirement account or annuity described in Section 408(a) or 408(b) of the Code (including SEPs, and SIMPLE IRAs after two years of participating in the SIMPLE IRA). (b) Notwithstanding the foregoing, the Employer may reject the rollover contribution if it determines, in its discretion, that the form and nature of the distribution from the other plan does not satisfy the applicable requirements under the Code to make the transfer or rollover a nontaxable transaction to the Participant; (c) For indirect rollover contributions, the amount distributed from such pla n must be rolled over to this Plan no later than the sixtieth (60th) day after the distribution was made from the plan, unless otherwise waived by the IRS pursuant to Section 402(c)(3) of the Code. (d) The amount transferred shall be deposited in the Trust and shall be credited to a Rollover Contribution Account. Such Account shall be one hundred percent (100%) vested in the Participant. (e) The Plan will accept accumulated deductible employee contributions as defined in section 72(o)(5) of the Code that were distributed from a qualified retirement plan and transferred (rolled over) pursuant to section 402(c), 403(a)(4), 403(b)(8), or 408(d)(3) of the Code. Notwithstanding the above, this transferred (rolled over) amount shall be deposited to the Trust and shall be credited to a Deductible Employee Contribution Account. Such Account shall be one-hundred percent (100%) vested in the Participant. (f) A Participant may, upon approval by the Employer and the Plan Administrator, transfer his/her interest in another plan maintained by the Employer that is qualified under section 401(a) of the Code to this Plan, provided the transfer is effected through a one - time irrevocable written election made by the Participant. The amount transferred shall MissionSquare Retirement Governmental Money Purchase Plan 9 be deposited in the Trust and shall be credited to sources that maintain the same attributes as the plan from which they are transferred. Such transfer shall not reduce the accrued years or service credited to the Participant for purposes of vesting or eligibility for any Plan benefits or features. 4.14 Return of Employer Contributions. Any contribution made by the Employer because of a mistake of fact must be returned to the Employer within one year of the date of contribution. 4.15 Definitions. Unless the context requires otherwise, capitalized d efined terms referencing types of contributions that can be made to the Plan will have the meaning given to them in this Section IV. V. LIMITATION ON ALLOCATIONS 5.01 Participants Only in This Plan. (a) If the Participant does not participate in, and has never participated in another qualified plan or a welfare benefit fund, as defined in section 419(e) of the Code, maintained by the Employer, or an individual medical account, as defined by section 415(l)(2) of the Code, maintained by the Employer, which provides an Annual Addition, the amount of Annual Additions which may be credited to the Participant’s Account for any Limitation Year will not exceed the lesser of the Maximum Permissible Amount or any other limitation contained in this Plan. If the Employer Contributi on that would otherwise be contributed or allocated to the Participant’s Account would cause the Annual Additions for the Limitation Year to exceed the Maximum Permissible Amount, the amount contributed or allocated will be reduced so that the Annual Additions for the Limitation Year will equal the Maximum Permissible Amount. (b) Prior to determining the Participant’s actual Compensation for the Limitation Year, the Employer may determine the Maximum Permissible Amount for a Participant on the basis of a reasonable estimation of the Participant’s Compensation for the Limitation Year, uniformly determined for all Participants similarly situated. (c) As soon as is administratively feasible after the end of the Limitation Year, the Maximum Permissible Amount for the Limitation Year will be determined on the basis of the Participant’s actual Compensation for the Limitation Year. 5.02 Participants in Another Defined Contribution Plan. (a) Unless the Employer provides other limitations in the Adoption Agreement, this Section applies if, in addition to this Plan, the Participant is covered under another qualified defined contribution plan maintained by the Employer, or a welfare benefit fund, as defined in section 419(e) of the Code, maintained by the Employer, or an individual medical account, as defined by section 415(l)(2) of the Code, maintained by the Employer, which provides an Annual Addition, during any Limitation Year. The Annual Additions which may be credited to a Participant’s Account under this Plan for any such Limitation Year will not exceed the Maximum Permissible Amount reduced by the Annual Additions credited to a Participant’s Account under the other plans and welfare benefit funds for the same Limitation Year. If the Annual Additions with respect to the Participant MissionSquare Retirement Governmental Money Purchase Plan 10 under other defined contribution plans and welfare benefit funds maintained by the Employer are less than the Maximum Permissible Amount and the Employer contribution that would otherwise be contributed or allocated to the Participant’s Account under this Plan would cause the Annual Additions for the Limitation Year to exceed this limitation, the amount contributed or allocated will be reduced so that the Annual Additions under all such plans and funds for the Limitation Year will equal the Maximum Permissi ble Amount. If the Annual Additions with respect to the Participant under such other defined contribution plans and welfare benefit funds in the aggregate are equal to or greater than the Maximum Permissible Amount, no amount will be contributed or allocat ed to the Participant’s Account under this Plan for the Limitation Year. (b) Prior to determining the Participant’s actual Compensation for the Limitation Year, the Employer may determine the Maximum Permissible Amount for a Participant in the manner described in Section 5.01(b). (c) As soon as is administratively feasible after the end of the Limitation Year, the Maximum Permissible Amount for the Limitation Year will be determined on the basis of the Participant’s actual Compensation for the Limitation Year. (d) If, pursuant to Subsection (c) or as a result of the allocation of forfeitures, a Participant’s Annual Additions under this Plan and such other plans would result in an Excess Amount for a Limitation Year, the Excess Amount will be deemed to consist of the Ann ual Additions last allocated, except that Annual Additions attributable to a welfare benefit fund or individual medical account will be deemed to have been allocated first regardless of the actual allocation date. (e) If an Excess Amount was allocated to a Par ticipant on an allocation date of this Plan which coincides with an allocation date of another plan, the Excess Amount attributed to this Plan will be the product of, (1) The total Excess Amount allocated as of such date, multiplied by (2) The ratio of (i) the Annual Additions allocated to the Participant for the Limitation Year as of such date under this Plan to (ii) the total Annual Additions allocated to the Participant for the Limitation Year as of such date under this and all the other qualified defined contribution plans. 5.03 Definitions. For the purposes of this Article, the following definitions shall apply: (a) Annual Additions. The sum of the following amounts credited to a Participant’s Account for the Limitation Year: (1) Employer contributions (including contributions “picked up” by the Employer under Section 4.03); (2) Forfeitures; (3) Employee contributions (including after-tax Voluntary Participant Contributions under Section 4.06 and Mandatory Participant Contributions under Section 4.03 not “picked up” by the Employer); and (4) Allocations under a simplified employee pension. Amounts allocated, after March 31, 1984, to an individual medical account, as defined in section 415(l)(2) of the Code, which is part of a pension or annuity plan maintained by the Employer, are treated as Annual Additions to a defined contribution plan. (5) Notwithstanding the above, the term Annual Additions does not include the following: MissionSquare Retirement Governmental Money Purchase Plan 11 (i) Restorative Payments. Annual Additions for purposes of Code section 415 shall not include restorative payments. For this purpose, restorative payments are payments made to restore losses to a plan resulting from actions by a fiduciary for which there is reasonable risk of liability for breach of a fiduciary duty under applicable federal or state law, where Participants who are similarly situated are treated similarly with respect to the payments. Generally, payments to a defined contribution plan are restorative payments only if the payments are made in order to restore some or all of the plan’s losses due to an action (or a failure to act) that creates a reasonable risk of liability for such a breach of fiduciary duty (other than a breach of fiduciary duty arising from failure to remit contributions to the plan). This includes payments to a plan made pursuant to a court-approved settlement to restore losses to a qualified defined contribution plan on account of the breach of fiduciary duty (other than a breach of fiduciary duty arising from failure to remit contributions to the plan). Payments made to a plan to make up for losses due merely to market fluctuations and other payments that are not made on account of a reasonable risk of liability for breach of a fiduciary duty are not restorative payments and generally constitute contributions that give rise to Annual Additions. (ii) Other Amounts. Annual Additions for purposes of Code section 415 shall not include (i) the direct transfer of a benefit or employee contributions from a qualified plan to this Plan; (ii) rollover contributions (as described in Code sections 401(a)(31), 402(c)(1), 403(a)(4), 403(b)(8), 408(d) (3), and 457(e)(16)); (iii) repayments of loans made to a Participant from the Plan; (iv) repayments of amounts described in Code section 411(a)(7)(B) (in accordance with Code sections 411(a)(7)(C)) and 411(a)(3)(D) or repayment of contributions to a governmental plan (as defined in Code section 414(d)) as described in Code section 415(k)(3), as well as Employer restorations of benefits that are required pursuant to such repayments; (v) employee contributions to a qualified cost of living arrangement within the meaning of Code section 415(k)(2)(B); (vi) catch- up contributions made in accordance with section 414(v) and §1.414(v)-1 and (vii) excess deferrals that are distributed in accordance with §1.402(g)-1(e)(2) or (3). (iii) Date of Employer Contributions. Notwithstanding anything in the Plan to the contrary, employer contributions are treated as credited to a Participant’s Account for a particular Limitation Year only if the contributions are actually made to the Plan no later than the 15th day of the tenth calendar month following the end of the calendar year or fiscal year (as applicable, depending on the basis on which the Employer keeps its books) with or within which the particular Limitation Year ends. (b) Compensation. Participant’s wages, salaries, fees for professional services, and other amounts received (without regard to whether an amount is paid in cash) for personal services actually rendered in the course of employment with the Employer, to the extent that the amounts are includible in gross income (or to the extent amounts would have been received and includible in gross income but for an election under Code section 125(a), 132(f)(4), 402(e)(3), 402(h)(1)(B), 402(k), or 457(b)). These amounts include, but are not limited to, bonuses, fringe benefits, and reimbursements or other expense allowances under a nonaccountable plan as described in Treas. Reg. section 1.62 -2(c). (1) Notwithstanding the foregoing, Compensation does not include: MissionSquare Retirement Governmental Money Purchase Plan 12 (i) Contributions (other than elective contributions described in Code section 402(e)(3), 408(k)(6), 408(p)(2)(A)(i), or 457(b)) made by the Employer to a plan of deferred compensation (including a simplified employee pension described in Code section 408(k) or a simple retirement account described in Code section 408(p), and whether or not qualified) to the extent that the contributions are not includible in the gross income of the Participant for the taxable year in which contributed. In addition, any distributions from a plan of deferred compensation (whether or not qualified) are not considered as Compensation for Code section 415 purposes, regardless of whether such amounts are includible in the gross income of the Participant when distributed; and (ii) Other amounts that receive special tax benefits, such as premiums for group-term life insurance (but only to the extent that the premiums are not includible in the gross income of the Participant and are not salary reduction amounts that are described in Code section 125). (iii) Other items of remuneration that are similar to the items listed in subparagraph (i) or (ii) of this subsection (b). (2) Compensation Paid After Severance or Deemed Severance from Employment. Compensation shall be adjusted as set forth herein for the following types of compensation paid after a Participant’s severance from employment (as determined under section 415 of the Code and the regulations thereunder) with the Employer. Any payment that is not described in subsection (i), (ii), (iii), or (iv) of this Section is not considered Compensation within the meaning of section 415 of the Code if paid after severance from employment with the Employer. (i) Regular Pay. (A) Compensation shall include regular pay after severance of employment if the payment is regular compensation for services during the Participant’s regular working hours, or compensation for services outside the Participant’s regular working hours (such as overtime or shift differential), commissions, bonuses, or other similar payments; (B) The payment would have been paid to the Participant prior to a severance from employment if the Participant had continued in employment with the Employer; and (C) Such amounts are paid by the later of 2½ months after severance from employment with the Employer maintaining the Plan or the end of the calendar year that includes the date of such severance from employment. (ii) Leave Cashouts. (A) Compensation shall include payment for unused accrued bona fide sick, vacation, or other leave, but only if (I) the Participant would have been able to use the leave if employment had continued, (II) such amounts are paid by the later of 2½ months after severance from employment with the Employer maintaining the Plan or by the end of the calendar year that includes the date of such severance from employment, and (III) such amounts would be included in Compensation if the individual had continued to perform services for the Employer. MissionSquare Retirement Governmental Money Purchase Plan 13 (iii) Salary Continuation Payments for Military Service Participants. (A) Compensation includes payments to an individual who does not currently perform services for the Employer by reason of qualified military service (as that term is used in Code section 414(u) (1)) to the extent: 1. Those payments do not exceed the amounts the individual would have received if the individual had continued to perform services for the Employer rather than entering qualified military service; and 2. Those payments would be included in Compensation if the individual had continued to perform services for the Employer rather than entering qualified military service. (B) Notwithstanding the foregoing, Compensation does not include distributions from this Plan to an individual who does not currently perform services for the Employer by reason of qualified military service (as that term is used in Code section 414(u)(1)). (iv) Salary Continuation Payments for Disabled Participants. (A) Compensation includes amounts paid to a Participant who is permanently and totally disabled (as defined in Code section 22(e)(3)) to the extent: 1. Salary continuation applies to all Participants who are permanently and totally disabled for a fixed or determinable period or the Participant was not a Highly Compensated Employee immediately before becoming disabled. 2. Those amounts would be included in Compensation if the Participant had continued to perform services for the Employer. (B) Notwithstanding the foregoing, Compensation does not include distributions from this Plan to a Participant who is permanently and totally disabled (as defined in Code section 22(e)(3)). For purposes of applying the limitations of this Article, Compensation for a Limitation Year is the Compensation actually paid or made available during such year. Compensation for a Limitation Year shall not include amounts earned but not paid during the Limitation Year solely because of the timing of pay periods and pay dates. (c) Defined Contribution Dollar Limitation: $40,000, as adjusted for increases in the cost of- living in accordance with section 415(d) of the Code. (d) Employer: The Employer that adopts this Plan. (e) Excess Amount: The excess of the Participant’s Annual Additions for the Limitation Year over the Maximum Permissible Amount. Any Excess Amount shall include allocable income. The income allocable to an Excess Amount is equal to the sum of allocable gain or loss for the Plan Year and the allocable gain or loss for the period between the end of the Plan Year and the date of distribution (the gap period). The Plan may use any MissionSquare Retirement Governmental Money Purchase Plan 14 reasonable method for computing the income alloc able to an Excess Amount, provided that the method is used consistently for all Participants and for all corrective distributions under the Plan for the Plan Year, and is used by the Plan for allocating income to Participants’ Accounts. Excess Amounts may also be corrected through the Employee Plans Compliance Resolution System, Rev. Proc. 2019-19 or its successor. (f) Highly Compensated Employee: Highly Compensated Employee means any Employee who, for the preceding year, had Compensation from the Employer in excess of $80,000 (as adjusted). (g) Limitation Year: A calendar year, or the twelve (12) consecutive month period elected by the Employer in section IX. 2 of the Adoption Agreement. All qualified plans maintained by the Employer must use the same Limitation Y ear. If the Limitation Year is amended to a different twelve (12) consecutive month period, the new Limitation Year must begin on a date within the Limitation Year in which the amendment is made. The Limitation Year may only be changed by Plan amendment. Furthermore, if the Plan is terminated effective as of a date other than the last day of the Plan’s Limitation Year, then the Plan is treated as if the Plan had been amended to change its Limitation Year and the maximum permissible amount shall be prorated for the resulting short Limitation Year. (h) Maximum Permissible Amount: The maximum Annual Addition that may be contributed or allocated to a Participant’s Account under the Plan for any Limitation Year shall not exceed the lesser of: (1) The Defined Contribution Dollar Limitation, or (2) One hundred percent (100%) of the Participant’s Compensation for the Limitation Year. The compensation limit referred to in (2) shall not apply to any contribution for medical benefits after separation from service (within the meaning of section 401(h) or section 419A(f)(2) of the Code) which is otherwise treated as an annual addition. If a short Limitation Year is created because of an amendment changing the Limitation Year to a different twelve (12) consecutive month period, the Maximum Permissible Amount will not exceed the Defined Contribution Dollar Limitation multiplied by the following fraction: Number of months in the short Limitation Year 12 5.04 Aggregation and Disaggregation of Plans. (a) Generally. For purposes of applying the limitations of Code section 415, all defined contribution plans (without regard to whether a plan has been terminated) ever maintained by the Employer (or a “predecessor employer”) under which the Participant receives Annual Additions are treated as one defined contribution plan. The “Employer” means the Employer that adopts this Plan and any other entity which the Employer determines, based on a reasonable, good faith interpretation of existing law in accordance with Notice 89- 23, 1989-1 C.B. 654, as modified by Notice 96-64, 1996-2 C.B. 229, should be aggregated for purposes of applying the limitations of Code section 415. For purposes of this Section: (1) A former employer is a “predecessor employer” with respect to a Participant if the Employer maintains a plan under which the Participant had accrued a benefit while performing services for the former employer, but only if that benefit is provided MissionSquare Retirement Governmental Money Purchase Plan 15 under the Plan maintained by the Employer. For this purpose, the formerly affiliated plan rules in Treas. Reg. section 1.415(f)-1(b)(2) apply as if the Employer and predecessor employer constituted a single employer under the rules described in Treas. Reg. section 1.415(a)-1(f)(1) and (2) immediately prior to the cessation of affiliation (and as if they constituted t wo, unrelated employers under the rules described in Treas. Reg. section 1.415(a)-1(f)(1) and (2) immediately after the cessation of affiliation) and cessation of affiliation was the event that gives rise to the predecessor employer relationship, such as a transfer of benefits or plan sponsorship. (2) With respect to an Employer, a former entity that antedates the Employer is a “predecessor employer” with respect to a Participant if, under the facts and circumstances, the Employer constitutes a continuation of all or a portion of the trade or business of the former entity. (b) Midyear Aggregation. Two or more defined contribution plans that are not required to be aggregated pursuant to Code section 415(f) and the Treasury Regulations thereunder as of the first day of a Limitation Year do not fail to satisfy the requirements of Code section 415 with respect to a Participant for the Limitation Year merely because they are aggregated later in that Limitation Year, provided that no Annual Additions are credited to the Participant’s Account after the date on which the plans are required to be aggregated. VI. INVESTMENT OF ACCOUNTS 6.01 Investment Funds. In accordance with uniform and nondiscriminatory rules established by the Employer and the Plan Administrator, the Participant may direct his/her Accounts to be invested in one (1) or more investment funds available under the Plan; provided, however, that the Participant’s investment directions shall not violate any investment restrictions established by the Employer and shall not include any investment in collectibles, as defined in section 408(m) of the Code. VII. VESTING 7.01 Vesting Schedule. The portion of a Participant’s Account attributable to Mandatory Participant Contributions, Rollover Contributions, Voluntary Participant Contributions, Deductible Employee Contributions Employee Designated Final Pay Contributions, and Employee Designated Accrued Leave Contributions, and the earnings thereon, shall be at all times nonforfeitable. A Participant shall have a Nonforfeitable Interest in the percentage of his/her Employer Contribution Account established under Section 4.01, 4.04, 4.05, 18.02(a) and 19.02(a) determined pursuant to the schedule elected by the Employer in the Adoption Agreement. 7.02 Crediting Periods of Service. Except as provided in Section 7.03, all of an Employee’s Periods of Service with the Employer are counted to determine the nonforfeitable percentage in the Employee’s Account balance derived from Employer Contributions. If the Employer maintains MissionSquare Retirement Governmental Money Purchase Plan 16 the plan of a predecessor employer, service with such employer will be treated as service for the Employer. For purposes of determining years of service and Breaks in Service for the purposes of computing a Participant’s nonforfeitable right to the Account balance derived f rom Employer Contributions, the twelve (12) consecutive month period will commence on the date the Employee first performs an Hour of Service and each subsequent twelve (12) consecutive month period will commence on the anniversary of such date. 7.03 Service After Break in Service. In the case of a Participant who has a Break in Service of at least five (5) consecutive years, all Periods of Service after such Breaks in Service will be disregarded for the purpose of determining the nonforfeitable percentage of th e Employer- derived Account balance that accrued before such Break in Service, but service before and after such Break in Service will count for the purposes of vesting the Employer -derived Account balance that accrues after such Break in Service. Both Acco unts will share in the earnings and losses of the fund. In the case of a Participant who does not have a Break in Service of at least five (5) consecutive years, service before and after the Break in Service will count in vesting the Employer -derived Account balance accrued for service before and after the Break in Service. In the case of a Participant who does not have any nonforfeitable right to the Account balance derived from Employer Contributions, years of service before a period of consecutive one (1) year Breaks in Service will not be taken into account in computing eligibility service if the number of consecutive one (1) year Breaks in Service in such period equals or exceeds the greater of five (5) or the aggregate number of years of service. Such aggregate number of years of service will not include any years of service disregarded under the preceding sentence by reason of prior Breaks in Service. If a Participant’s years of service are disregarded pursuant to the preceding paragraph, such Participant will be treated as a new Employee for eligibility purposes. If a Participant’s years of service may not be disregarded pursuant to the preceding paragraph, such Participant shall continue to participate in the Plan, or, if terminated, shall participat e immediately upon reemployment. 7.04 Vesting Upon Normal Retirement Age. Notwithstanding Section 7.01 of the Plan, a Participant shall have a Nonforfeitable Interest in his/her entire Employer Contribution Account, to the extent that the balance of such Account has not previously been forfeited pursuant to Section 7.06 of the Plan, if he/she is employed on or after his/her Normal Retirement Age. If a Participant forfeits amounts because of a Break in Service, then if the Participant later vests upon Normal Retirement Age, the amount forfeited due to the Break in Service is not restored. 7.05 Vesting Upon Death or Disability. Notwithstanding Section 7.01 of the Plan, in the event of Disability or death, a Participant or his/her Beneficiary shall have a Nonforfei table Interest in his/her entire Employer Contribution Account, to the extent that the balance of such Account has not previously been forfeited pursuant to Section 7.06 of the Plan. If a Participant forfeits amounts because of a Break in Service, then if the Participant later vests upon Disability or death, the amount forfeited due to the Break in Service is not restored. 7.06 Forfeitures. Except as provided in Sections 7.04 and 7.05 of the Plan or as otherwise provided in this Section 7.06, a Participant who experiences a severance from employment prior to obtaining full vesting shall forfeit that percentage of his/ her Employer Contribution Account MissionSquare Retirement Governmental Money Purchase Plan 17 balance which has not vested as of the date such Participant incurs a Break in Service of five (5) consecutive years or, if earlier, the date such Participant receives, or is deemed under the provisions of Section 9.04 to have received, distribution of the entire Nonforfeitable Interest in his/her Employer Contribution Account. No forfeiture will occur solely as a result of a Participant’s withdrawal of employee contributions. Forfeitures shall be allocated in the manner described in Section 4.02. 7.07 Reinstatement of Forfeitures. If the Participant returns to the employment of the Employer before incurring a Break in Service of five (5) consecutive years, any amounts forfeited pursuant to Section 7.06 shall be reinstated to the Participant’s Employer Contribution Account on the date of repayment by the Participant of the amount distributed to such Participant from his/her Employer Contribution Account (without regard to gains/losses); provided, however, that if such Participant forfeited his/her Account balance by reason of a deemed distribution, pursuant to Section 9.04, such amounts shall be automatically restored upon t he reemployment of such Participant. Such repayment must be made before the earlier of five (5) years after the first date on which the Participant is subsequently reemployed by the Employer, or the date the Participant incurs a Break in Service of five (5) consecutive years. VIII. BENEFITS CLAIM 8.01 Claim of Benefits. A Participant or Beneficiary shall notify the Plan Administrator in writing of a claim of benefits under the Plan. The Plan Administrator shall take such steps as may be necessary to facilitate the payment of such benefits to the Participant or Beneficiary . 8.02 Appeal Procedure. If any claim for benefits is initially denied by the Plan Administrator, the claimant shall file the appeal with the Employer, whose decision shall be final, to the extent provided by Section 15.07. IX. COMMENCEMENT OF BENEFITS 9.01 Normal and Elective Commencement of Benefits. A Participant who retires, becomes Disabled or incurs a severance from employment for any other reason may elect by written notice to the Plan Administrator to have his or her vested Account balance benefits commence on any date, provided that such distribution complies with Section 9.02. Such election must be made in writing during the one-hundred eighty (180) day period ending on the date as of which benefit payments are to commence. A Participant’s election shall be revocable and may be amended by the Participant. The failure of a Participant to consent to a distribution while a benefit is immediately distributable, within the meaning of section 9.02 of the Plan, shal l be deemed to be an election to defer commencement of payment of any benefit sufficient to satisfy this section. 9.02 Restrictions on Immediate Distributions. Notwithstanding anything to the contrary contained in Section 9.01 of the Plan, if the value of a Participant’s vested Account balance is at least $1,000, and the Account balance is immediately distributable, the Participant must consent to any distribution of such Account balance. The Participant’s consent shall be MissionSquare Retirement Governmental Money Purchase Plan 18 obtained in writing during the one-hundred eighty (180) day period ending on the date as of which benefit payments are to commence. No consent shall be required, however, to the extent that a distribution is required to satisfy section 401(a)(9) or 415 of the Code. The Plan Administrator shall notify the Participant of the right to defer any distribution until the Participant’s Account balance is no longer immediately distributable. Such notification shall include a general description of the material features, and an explanation of the relative values of, the optional forms of benefit available under the Plan in a manner that would satisfy section 417(a)(3) of the Code, and shall be provided no less than thirty (30) and no more than one- hundred eighty (180) days before the date as of which benefit payments are to commence. However, distribution may commence less than thirty (30) days after the notice described in the preceding sentence is given, provided (i) the distribution is one to which sections 401(a)(11) and 417 of the Code do not apply or, if the QJSA Election is made by the Employer in the Adoption Agreement, the waiver requirements of Section 17.05(a) are met; (ii) the Plan Administrator clearly informs the Participant that the Participant has a right to a period of at least thirty (30) days after receiving the notice to consider the decision of whether or not to elect a distribution (and, if applicable, a particular distribution option); and (iii) the Participant, after receiving the notice, affirmatively elects a distribution. In addition, upon termination of this Plan, if the Plan does not offer an annuity option (purchased from a commercial provider) and if the Employer does not maintain another 401(a) defined contribution plan, the Participant’s Account balance will, without the Partic ipant’s consent, be distributed to the Participant in a lump sum. However, if the Employer maintains another 401(a) defined contribution plan, the Participant’s Account will be transferred, without the Participant’s consent, to the other plan if the Partic ipant does not consent to an immediate distribution. An Account balance is immediately distributable if any part of the Account balance could be distributed to the Participant (or surviving spouse) before the Participant attains or would have attained (if not deceased) the later of Normal Retirement Age or age sixty -two (62). 9.03 Transfer to Another Plan. (a) If a Participant becomes eligible to participate in another plan maintained by the Employer that is qualified under section 401(a) of the Code, the Plan Administrator shall, at the written election of such Participant, transfer all or part of such Participant’s Account to such plan, provided the Plan Administrator for such plan certifies to the Plan Administrator that its plan provides for the acceptance of suc h a transfer. Such transfers shall include those transfers of the Nonforfeitable Interest of a Participant’s Account made for the purchase of service credit in defined benefit plans maintained by the Employer. For purposes of this Plan, any such transfer shall not be considered a distribution to the Participant subject to spousal consent as described in Section 9.10. (b) Notwithstanding any provision of the Plan to the contrary that would otherwise limit a Distributee’s election under this Section, a Distribute e may elect, at the time and in the manner prescribed by the Plan Administrator, to have any portion of an Eligible Rollover Distribution paid directly to an Eligible Retirement Plan specified by the Distributee in a Direct Rollover. (c) Definitions. For the purposes of Section 9.03, the following definitions shall apply: (1) Eligible Rollover Distribution. Any distribution of all or any portion of the balance to the credit of the Distributee, except that an Eligible Rollover Distribution does not include: MissionSquare Retirement Governmental Money Purchase Plan 19 (i) any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the Distributee or the joint lives (or joint life expectancies) of the Distributee and the Distributee’s designated Beneficiary, or for a specified period of ten years or more; (ii) any distribution to the extent such distribution is required under section 401(a)(9) of the Code; and (iii) the portion of any other distribution(s) that is not includible in gross income. A portion of a distribution shall not fail to be an Eligible Rollover Distribution merely because the portion consists of after-tax employee contributions which are not includible in gross income. However, such portion may be transferred only to a traditional individual retirement account or annuity described in section 408(a) or (b) of the Code, or to a Roth individual retirement account or annuity described in § 408A of the Code, or to a qualified defined contribution plan described in section 401(a) or a qualified annuity contract described in section 403(b) of the Code that agrees to separately account for amounts so transferred, including separately accounting for the portion of such distribution which is includible in gross income and the portion of such distribution which is not so includible. (2) Eligible Retirement Plan. (i) an individual retirement account described in section 408(a) of the Code or an individual retirement annuity described in section 408(b) of the Code (collectively, an “IRA”); (ii) an annuity plan described in section 403(a) of the Code; (iii) an annuity contract described in section 403(b) of the Code; (iv) an eligible plan under section 457(b) of the Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state and which agrees to separately account for amounts transferred into such plan from this Plan; (v) a qualified plan described in section 401(a) of the Code, that accepts the Distributee’s Eligible Rollover Distribution; or (vi) Roth IRA described in Code section 408A. The definition of Eligible Retirement Plan shall also apply in the case of a distribution to a surviving spouse, or to a spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in section 414(p) of the Code. If any portion of an Eligible Rollover Distribution is attributable to payments or distributions from a designated Roth account, an Eligible Retirement Plan with respect to such portion shall include only another designated Roth account of the individual from whose Account the payments or distributions were made, or a Roth IRA of such individual. (3) Distributee. Participant; in addition, the Participant’s surviving spouse and the spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in section 414(p) of the Code, are Distributees with regard to the interest of the spouse or former spouse. A distributee includes the Employee’s or former Employee’s nonspouse designated Beneficiary, in which case, the distribution can only be transferred to a traditi onal or Roth IRA MissionSquare Retirement Governmental Money Purchase Plan 20 established on behalf of the nonspouse designated Beneficiary for the purpose of receiving the distribution. (4) Direct Rollover. A payment by the Plan to the Eligible Retirement Plan specified by the Distributee. (d) Rollover by a Non-Spouse Designated Beneficiary. A non-spouse Beneficiary who qualifies as a “designated beneficiary” under Code section 401(a)(9)(E) may establish an individual retirement plan that will be treated as an inherited IRA pursuant to the provisions of Code section 402(c)(11) into which all or a portion of a death benefit distribution from this Plan can be transferred directly. A trust maintained for the benefit of one or more designated beneficiaries shall be treated in the same manner as a designated Beneficiary. Notwithstanding anything herein to the contrary, a death benefit distribution shall not be eligible for transfer to an inherited IRA to the extent such distribution is a required minimum distribution under Code section 401(a)(9). (e) Rollover by a Surviving Spouse Distributee. If any distribution attributable to a Participant is paid to the Participant’s surviving spouse, section 402(c) applies to the distribution in the same manner as if the spouse were the Participant. However, a qualified plan (as defined in Treasury Regulation section 1.402(c)-2 Q&A-2) is not treated as an Eligible Retirement Plan with respect to a surviving spouse. Only an individual retirement plan is treated as an Eligible Retirement Plan with respect to an Eligible Rollover Distribution to a surviving spouse. 9.04 De Minimis Accounts. Notwithstanding the foregoing provisions of this Article, if a Participant terminates service, and the value of his/her Nonforfeitable Interest in his/her Account is less than $1,000, the Participant’s benefit shall be paid as soon as practicable to the Participant in a single lump sum distribution. If the value of the Participant’s Account is at least $1,000 but not more than the dollar limit under section 411(a)(11) (A) of the Code, the Participant may elect to receive his/her Nonforfeitable Interest in his/her Account. Such distribution shall be made as soon as practicable following the request, in a lump sum. For purposes of this Section, if a Participant’s Nonforfeitable Interest in his/her Account is zero, the Participant shall be deemed to have received a distribution of such Nonforfeitable Interest in his/her Account. 9.05 Withdrawal of Voluntary Participant Contributions. A Participant may upon written request withdraw a part of or the full amount of his/her Voluntary Participant Contribution Account. Such withdrawals may be made at any time, provided that, for withdrawals prior to the adoption date of this Plan document (or such earlier date adopted by the Employer in a separate amendment), no more than two (2) such wi thdrawals may be made during any calendar year. No forfeiture will occur solely as the result of any such withdrawal. 9.06 Withdrawal of Deductible Employee Contributions. A Participant may upon written request withdraw a part of or the full amount of his/her Deductible Employee Contribution Account. Such withdrawals may be made at any time, provided, for withdrawals prior to the adoption date of this Plan document (or such earlier date adopted by the Employer in a separate amendment), that no more than two (2) such withdrawals may be made during any calendar year. No forfeiture will occur solely as the result of any such withdrawal. MissionSquare Retirement Governmental Money Purchase Plan 21 9.07 In-Service Distribution from Rollover Contribution Account. Where elected by the Employer in the Adoption Agreement, a Participant that has a separate Account attributable to Rollover Contributions to the Plan, may at any time elect to receive a distribution of all or any portion of the amount held in the Rollover Contribution Account. 9.08 In-Service Distributions. (a) Unless otherwise elected by the Employer in the Adoption Agreement, a Participant who has reached age 70½ regardless of his Nonforfeitable Interest in his/her entire Employer Contribution Account, shall, upon written request, receive a distribution of a part of or the full amount of the balance in any or all of his vested Accounts. (b) If elected by the Employer, in-service distributions may be made to a Participant who has attained Normal Retirement Age or an alternate age (after Normal Retirement Age) elected by the Employer, and who has not yet incurred a severance from employment. (c) A Participant’s benefit under the Plan may not be distributed before the Participant attains age 62 or, if earlier, the Participant separates from employment (or has a deemed separation), attains Normal Retirement Age under the Plan, dies, or becomes disabled, or upon termination of the Plan. (d) Distributions under Section 9.08 may be requested at any time, provided tha t, for withdrawals prior to the adoption date of this Plan document (or such earlier date adopted by the Employer in a separate amendment), no more than two (2) such distributions may be made during any calendar year. 9.09 Latest Commencement of Benefits. Notwithstanding anything to the contrary in this Article, benefits shall begin no later than the Participant’s Required Beginning Date, as defined under Section 10.05, or as otherwise provided in Section 10.04. 9.10 Spousal Consent. Notwithstanding the foregoing, if the Employer elected the QJSA Election in the Adoption Agreement, a married Participant must first obtain his or her spouse’s notarized consent to request a distribution (other than a Qualified Joint and Survivor Annuity), withdrawal, or rollover under this Article IX. 9.11 Deemed Severance from Employment. (a) Unless otherwise elected by the Employer in the Adoption Agreement, a Participant shall be deemed to have a severance from employment solely for purposes of eligibility to receive distributions from the Plan during any period the individual is performing service in the uniformed services (as defined in chapter 43 of title 38, United States Code) for more than 30 days. (b) If a Participant receives a distribution pursuant to subsection (a), then the Participant sh all not be permitted to make an after-tax Voluntary Participant Contribution during the six- month period beginning on the date of the distribution. (c) If a Participant receives a distribution which could be attributable to: 1. a deemed severance from employment described in subsection (a); or 2. another distribution event under the Plan, then the distribution shall be considered made pursuant to the distribution event referenced in paragraph (2), and the Participant shall not be subject to the limitation on af ter-tax Voluntary Participant Contributions set forth in subsection (b). MissionSquare Retirement Governmental Money Purchase Plan 22 9.12 Distributions for Health and Long-Term Care Insurance for Public Safety Officers. (a) If elected by the Employer in the Adoption Agreement, Eligible Retired Public Safety Officers may elect after separation from service to have up to $3,000 distributed tax -free annually from the Plan in order to pay for Qualified Health Insurance Premiums for an accident or health plan (including a self -insured plan) or a qualified long-term care insurance contract. The Plan shall make such distributions directly to the provider of the accident or health plan or qualified long-term care insurance contract. (b) The term “Eligible Retired Public Safety Officer” means an individual who, by reason of disability or attainment of Normal Retirement Age, is separated from service as a Public Safety Officer with the Employer who maintains the eligible retirement plan from which distributions pursuant to this Section are made. For purposes of this Section 9.12, the term “Public Safety Officer” means an individual serving a public agency in an official capacity, with or without compensation, as a law enforcement officer, firefighter, chaplain, or member of a rescue squad or ambulance crew. (c) The term “Qualified Health Insurance Premiums” means premiums for coverage for the Eligible Retired Public Safety Officer, his spouse, and dependents, by an accident or health insurance plan or qualified long- term care insurance contract (as defined in Code section 7702(B)). X. DISTRIBUTION REQUIREMENTS 10.01 General Rules. (a) Generally. Subject to the provisions of Article XII or XVII if so elected by the Employer in the Adoption Agreement, the requirements of this Article shall apply to any distribution of a Participant’s interest and will take precedence over any inconsistent provision s of this Plan. (b) Distributions in Accordance with 401(a)(9). All distributions required under this Article shall be determined and made in accordance with the regulations under section 401(a)(9) of the Code, and the minimum distribution incidental benefit r equirement of section 401(a)(9)(G) of the Code. (c) Limits on Distribution Periods. As of the first Distribution Calendar Year, distributions to a Participant, if not made in a single-sum, may only be made over one of the following periods: (1) The life of the Participant, (2) The joint lives of the Participant and a designated Beneficiary, (3) A period certain not extending beyond the life expectancy of the Participant, or (4) A period certain not extending beyond the joint and last survivor expectancy of the Participant and a designated Beneficiary. (d) TEFRA Section 242(b)(2) Elections. Notwithstanding the other provisions of this Article X, distributions may be made under a designation made before January 1, 1984, in accordance with Section 242(b)(2) of the Tax Equity and Fiscal Responsibility Act (TEFRA) and the provisions of the Plan that relate to Section 242(b)(2) of TEFRA. 10.02 Time and Manner of Distribution. MissionSquare Retirement Governmental Money Purchase Plan 23 (a) Required Beginning Date. The Participant’s entire interest will be distributed, or begin to be distributed, to the Participant no later than the Participant’s required beginning date. (b) Death of Participant Before Distributions Begin. If the Participant dies before distributions begin, the Participant’s entire interest will be distributed, or begin to be distributed, no later than as follows: (1) If the Participant’s surviving spouse is the Participant’s sole designated Beneficiary, then, distributions to the surviving spouse will begin by December 31 of the calendar year immediately following the calendar year in which the Participant died, or by December 31 of the calendar year in which the Participant would have attained age 70½, if later. (2) If the Participant’s surviving spouse is not the Participant’s sole designated Beneficiary, then distributions to the designated Beneficiary will begin by December 31 of the calendar year immediately following the calendar year in which the Participant died. (3) If there is no designated Beneficiary as of September 30 of the year following the year of the Participant’s death, the Participant’s entire interest will be distributed by December 31 of the calendar year containing the fifth anniversary of the Participant’s death. (4) If the Participant’s surviving spouse is the Participant’s sole designated Beneficiary and the surviving spouse dies after the Participant but before distributions to the surviving spouse begin, this Section 10.02(b), other than Section 10.02(b)(1), will apply as if the surviving spouse were the Participant. For purposes of this Section 10.02(b) and Section 10.04, unless Section 10.02(b)(4) applies, distributions are considered to begin on the Participant’s required beginning date. If Section 10.02(b)(4) applies, distributions are considered to begin on the date distributions are required to begin to the surviving s pouse under Section 10.02(b)(1). If distributions under an annuity purchased from an insurance company irrevocably commence to the Participant before the Participant’s required beginning date (or to the Participant’s surviving spouse before the date distri butions are required to begin to the surviving spouse under Section 10.02(b)(1)), the date distributions are considered to begin is the date distributions actually commence. (c) Forms of Distribution. Unless the Participant’s interest is distributed in the for m of an annuity purchased from an insurance company or in a single sum on or before the required beginning date, as of the first distribution calendar year distributions will be made in accordance with Sections 10.03 and 10.04. If the Participant’s interes t is distributed in the form of an annuity purchased from an insurance company, distributions thereunder will be made in accordance with the requirements of Code Section 401(a)(9) and the Treasury Regulations. 10.03 Required Minimum Distributions During Particip ant’s Lifetime. (a) Amount of Required Minimum Distribution For Each Distribution Calendar Year. During the Participant’s lifetime, the minimum amount that will be distributed for each distribution calendar year is the lesser of: (1) the quotient obtained by dividing the Participant’s Account Balance by the distribution period set forth in the Uniform Lifetime Table found in Section 1.401(a)(9)-9, Q&A-2, of the Final Income Tax Regulations using the Participant’s age as of the Participant’s birthday in the distribu tion calendar year; or MissionSquare Retirement Governmental Money Purchase Plan 24 (2) if the Participant’s sole designated Beneficiary for the distribution calendar year is the Participant’s spouse, the quotient obtained by dividing the Participant’s Account Balance by the number in the Joint and Last Survivor Table s et forth in Section 1.401(a)(9)-9, Q&A-3, of the regulations using the Participant’s and spouse’s attained ages as of the Participant’s and spouse’s birthdays in the distribution calendar year. (b) Lifetime Required Minimum Distributions Continue Through Year of Participant’s Death. Required minimum distributions will be determined under this Section 10.03 beginning with the first distribution calendar year and continuing up to, and including, the distribution calendar year that includes the Participant’s date of death. (c) Qualified Longevity Contract. For purposes of computing minimum required distributions that must be made to a Participant or Beneficiary in each distribution calendar year in order to satisfy section 401(a)(9) of the Code, a Participant’s Account Balance does not include the value of any qualifying longevity annuity contract (QLAC). A QLAC is an annuity contract, purchased from an insurance company on or after July 2, 2014, for the benefit of an Employee under the Plan, stating its intent to be a QLAC and otherwise meeting all of the requirements of Section 1.401(a)(9)-6 of the Treasury Regulations. The amount of the premiums paid for the QLAC under the Plan will not exceed the lesser of: (1) an amount equal to the excess of $125,000 (as adjusted by th e Commissioner) over the sum of (i) The premiums paid before that date with respect to the contract, and (ii) premiums paid on or before that date with respect to any other contract that is intended to be a QLAC and that is purchased for the Employee under the Plan, or any other plan, annuity, or account described in section 401(a), 403(a), 403(b), or 408 or eligible governmental plan under section 457(b); or (2) an amount equal to the excess of (i) 25 percent of the Employee’s Account Balance (as of the last Accounting Date preceding the date of the premium payment) under the Plan (including the value of any QLAC held under the Plan for the Employee) as of the contract date, over. (ii) The sum of premiums paid before that date with respect to the contract and premiums paid on or before that date with respect to any other contract that is intended to be a QLAC and that is held or was purchased for the Employee under the Plan. Distributions under the QLAC portion of the Participant’s Account will commence not later than the first day of the month next following the Participant’s 85th birthday. After distributions commence, those distributions will satisfy all applicable minimum distribution requirements from that point forward (other than the requirement that annuity payments commence on or before the Required Beginning Date.) If an annuity contract fails to be a QLAC solely because a premium for the contract exceeds the above limits, the excess premium will be returned (either in cash or in the form of a contract that is not intended to be a QLAC) to the non-QLAC portion of the Employee’s Account by the end of the calendar year following the calendar year in which the excess premium was originally paid. MissionSquare Retirement Governmental Money Purchase Plan 25 10.04 Required Minimum Distributions After Participant’s Death. (a) Death On or After Date Distributions Begin. (1) Participant Survived by Designated Beneficiary. If the Participant dies on or after the date distributions begin and there is a designated Beneficiary, the minimum amount that will be distributed for each distribution calend ar year after the year of the Participant’s death is the quotient obtained by dividing the Participant’s Account Balance by the longer of the remaining life expectancy of the Participant or the remaining life expectancy of the Participant’s designated Bene ficiary, determined as follows: (i) The Participant’s remaining life expectancy is calculated using the age of the Participant in the year of death, reduced by one for each subsequent year. (ii) If the Participant’s surviving spouse is the Participant’s sole designated Beneficiary, the remaining life expectancy of the surviving spouse is calculated for each distribution calendar year after the year of the Participant’s death using the surviving spouse’s age as of the spouse’s birthday in that year. For distribution calendar years after the year of the surviving spouse’s death, the remaining life expectancy of the surviving spouse is calculated using the age of the surviving spouse as of the spouse’s birthday in the calendar year of the spouse’s death, reduced by one for each subsequent calendar year. (iii) If the Participant’s surviving spouse is not the Participant’s sole designated Beneficiary, the designated Beneficiary’s remaining life expectancy is calculated using the age of the Beneficiary in the year following the year of the Participant’s death, reduced by one for each subsequent year. (2) No Designated Beneficiary. If the Participant dies on or after the date distributions begin and there is no designated Beneficiary as of September 30 of the year after the year of the Participant’s death, the minimum amount that will be distributed for each distribution calendar year after the year of the Participant’s death is the quotient obtained by dividing the Participant’s Account Balance by the Participant’s remaining life expectancy calculated using the age of the Participant in the year of death, reduced by one for each subsequent year. (b) Death Before Date Required Distributions Begin. (1) Participant Survived by Designated Beneficiary. If the Participant dies before the date required distributions begin and there is a designated Beneficiary, the minimum amount that will be distributed for each distribution calendar year after the year of the Participant’s death is the quotient obtained by dividing the Participant’s Account Balance by the remaining life expectancy of the Participant’s designated Beneficiary, determined as provided in Section 10.04(a). (2) No Designated Beneficiary. If the Participant dies before the date distributions begin and there is no designated Beneficiary as of Sept ember 30 of the year following the year of the Participant’s death, distribution of the Participant’s entire interest will be completed by December 31 of the calendar year containing the fifth anniversary of the Participant’s death. (3) Death of Surviving Spouse Before Distributions to Surviving Spouse Are Required to Begin. If the Participant dies before the date distributions begin, the MissionSquare Retirement Governmental Money Purchase Plan 26 Participant’s surviving spouse is the Participant’s sole designated Beneficiary, and the surviving spouse dies before distributions are required to begin to the surviving spouse under Section 10.02(b)(1), this Section 10.04(b) will apply as if the surviving spouse were the Participant. 10.05 Definitions. For purposes of Section 10, the following definitions shall apply: (a) Designated Beneficiary. The individual who is designated by the Participant (or the Participant’s surviving spouse) as the Beneficiary of the Participant’s interest under the Plan and who is the designated Beneficiary under Code Section 401(a)(9) and Section 1.401(a)(9)-4 of the regulations. (b) Distribution Calendar Year. A calendar year for which a minimum distribution is required. For distributions beginning before the Participant’s death, the first distribution calendar year is the calendar year immediately preceding t he calendar year which contains the Participant’s required beginning date. For distributions beginning after the Participant’s death, the first distribution calendar year is the calendar year in which distributions are required to begin under Section 10.02(b). The required minimum distribution for the Participant’s first distribution calendar year will be made on or before the Participant’s required beginning date. The required minimum distribution for other distribution calendar years, including the requir ed minimum distribution for the distribution calendar year in which the Participant’s required beginning date occurs, will be made on or before December 31 of that distribution calendar year. (c) Life Expectancy. Life expectancy as computed by use of the Single Life Table in Section 1.401(a)(9)-9, Q&A- 1, of the regulations. (d) Participant’s Account Balance. The Account balance as of the last Accounting Date in the calendar year immediately preceding the distribution calendar year (valuation calendar year) increased by the amount of any contributions made and allocated or forfeitures allocated to the Account Balance as of dates in the valuation calendar year after the Accounting Date and decreased by distributions made in the valuation calendar year after the Accounting Date. The Account balance for the valuation calendar year includes any amounts rolled over or transferred to the Plan either in the valuation calendar year or in the distribution calendar year if distributed or transferred in the valuation calendar year. (e) Required Beginning Date. The Required Beginning Date of a Participant is April 1 of the calendar year following the later of the calendar year in which the Participant attains age seventy and one-half (70½), or the calendar year in which the Participant retires. XI. MODES OF DISTRIBUTION OF BENEFITS 11.01 Normal Mode of Distribution. Unless an elective mode of distribution is elected as provided in Section 11.02, benefits shall be paid to the Participant in the form of a lump sum payment. Notwithstanding the foregoing, where the Employer made the “QJSA Election” in the Adoption Agreement, unless an elective mode of distribution is elected in accordance with Article XVII, benefits shall be paid to the Participant in the form provided for in Article XVII. MissionSquare Retirement Governmental Money Purchase Plan 27 11.02 Elective Mode of Distribution. Subject to the requirements of Articles X, XII and XVII, a Participant may revocably elect to have his/her Account distributed in any one (1) of the following modes in lieu of the mode described in Section 11.01: (a) Equal Payments. Equal monthly, quarterly, semi-annual, or annual payments in an amount chosen by the Participant continuing until the Account is exhausted. (b) Period Certain. Approximately equal monthly, quarterly, semi-annual, or annual payments, calculated to continue for a period certain chosen by the Participant. (c) Other. Any other sequence of payments requested by the Participant. (d) Lump Sum. Where the Employer did make the QJSA Election in the Adoption Agreement, a Participant may also elect a lump sum payment. 11.03 Election of Mode. A Participant’s election of a payment option must be made in writing between thirty (30) and one-hundred eighty (180) days before the payment of benefits is to commence. 11.04 Death Benefits. Subject to Article X (and Article XII or XVII if so elected by the Employer in the Adoption Agreement), (a) In the case of a Participant who dies before he/she has begun receiving benefit payments, the Participant’s entire Nonforfeitable Interest shall then be payable to his/ her Beneficiary within ninety (90) days of the Participant’s death. A Beneficiary who is entitled to receive benefits under this Section may elect to have benefits commence at a later date, subject to the provisions of Article X. The Beneficiary may elect to receive the death benefit in any of the forms available to the Participant under Sections 11.01 and 11.02. If the Beneficiary is the Participant’s surviving spouse, and such surviving spouse dies before payment commences, then this Section shall apply to the beneficiary of the surviving spouse as though such surviving spouse were the Participant. (b) Should the Participant die after he/she has begun receiving benefit payments, the Beneficiary shall receive the remaining benefits, if any, that are payable, u nder the payment schedule elected by the Participant. Notwithstanding the foregoing, the Beneficiary may elect to accelerate payments of the remaining balances, including but not limited to, a lump sum distribution. XII. SPOUSAL DEATH BENEFIT REQUIREMENTS 12.01 Application. Unless otherwise elected by the Employer in the Adoption Agreement, the provisions of this Article shall take precedence over any conflicting provision in this Plan. The provisions of this Article, known as the “Beneficiary Spousal Consent Election ,” shall apply to any Participant who is credited with any Period of Service with the Employer on or after August 23, 1984, and such other Participants as provided in Section 12.04. 12.02 Spousal Death Benefit. (a) On the death of a Participant, the Participant’s Vested Account Balance will be paid to the Participant’s Surviving Spouse. If there is no Surviving Spouse, or if the Participant has waived the spousal death benefit, as provided in Section 12.03, such Vested Account Balance will be paid to the Participant’s designated Beneficiary. MissionSquare Retirement Governmental Money Purchase Plan 28 (b) The Surviving Spouse may elect to have distribution of the Vested Account Balance commence within the one-hundred eighty (180) day period following the date of the Participant’s death, or as otherwise provided under Section 11.04. The Account balance shall be adjusted for gains or losses occurring after the Participant’s death in accordance with the provisions of the Plan governing the adjustment of Account balances for other types of distributions. 12.03 Waiver of Spousal Death Benefit. The Participant may waive the spousal death benefit described in Section 12.02 at any time; provided that no such waiver shall be effective unless: (a) the Participant’s Spouse consents in writing to the election; (b) the election designates a specific Beneficiary, including any class of Beneficiaries or any contingent Beneficiaries, which may not be changed without spousal consent (or the Spouse expressly permits designations by the Participant without any further spousal consent); (c) the Spouse’s consen t acknowledges the effect of the election; and (d) the Spouse’s consent is witnessed by a Plan representative or notary public. If it is established to the satisfaction of a Plan representative that there is no Spouse or that the Spouse cannot be located, a waiver will be deemed to meet the requirements of this Section. Any consent by a Spouse obtained under this provision (or establishment that the consent of a Spouse may not be obtained) shall be effective only with respect to such Spouse. A consent that permits designations by the Participant without any requirement of further consent by such Spouse must acknowledge that the Spouse has the right to limit consent to a specific Beneficiary, and a specific form of benefit where applicable, and that the Spous e voluntarily elects to relinquish either or both of such rights. A revocation of a prior waiver may be made by a Participant without the consent of the Spouse at any time before the commencement of benefits. The number of revocations shall not be limited. 12.04 Definitions. For the purposes of this Section, the following definitions shall apply: (a) Spouse (Surviving Spouse). The Spouse or Surviving Spouse of the Participant, provided that a former Spouse will be treated as the Spouse or Surviving Spouse and a curre nt Spouse will not be treated as the Spouse or Surviving Spouse to the extent provided under a qualified domestic relations order as described in section 414(p) of the Code. (b) Vested Account Balance. The aggregate value of the Participant’s vested Account balances derived from Employer and Employee contributions (including rollovers), whether vested before or upon death, including the proceeds of insurance contracts, if any, on the Participant’s life. The provisions of this Article shall apply to a Participan t who is vested in amounts attributable to Employer contributions, Employee contributions (or both) at the time of death or distribution. XIII. LOANS TO PARTICIPANTS 13.01 Availability of Loans to Participants. (a) If the Employer has elected in the Adoption Agreement to make loans available to Participants, a Participant may apply for a loan from the Plan subject to the limitations and other provisions of this Article. (b) The Employer shall establish written guidelines governing the granting of loans, provided that such guidelines are approved by the Plan Administrator and are not MissionSquare Retirement Governmental Money Purchase Plan 29 inconsistent with the provisions of this Article, and that loans are made available to all applicable Participants on a reasonably equivalent basis. 13.02 Terms and Conditions of Loans to Participants. Any loan by the Plan to a Participant under Section 13.01 of the Plan shall satisfy the following requirements: (a) Availability. Loans shall be made available to all Participants who are active Employees on a reasonably equivalent basis. Loans shall not be made available to terminated Employees, Beneficiaries, or alternate payees. (b) Nondiscrimination. Loans shall not be made to Highly Compensated Employees in an amount greater than the amount made available to other Employees. For this purpose, Highly Compensated Employee means any Employee who, for the preceding year, had Compensation from the Employer in excess of $80,000 (as adjusted). (c) Interest Rate. Loans must be adequately secured and bear a reasonable interest rate. (d) Loan Limit. No Participant loan shall exceed the present value of the Participant’s Nonforfeitable Interest in his/her Account. (e) Foreclosure. In the event of default, foreclosure on the note and attachment of security will not occur until a distributable event occurs in the Plan. (f) Reduction of Account. Notwithstanding any other provision of this Plan, the portion of the Participant’s vested Account balance used as a security interest held by the Plan by reason of a loan outstanding to the Participant shall be taken into account for purposes of determining the amount of the Account balance payable at the time of death or distribution, but only if the reduction is used as repayment of the loan. If less than one hundred percent (100%) of the Participant’s nonforfeitable Account balance (determined without regard to the preceding sentence) is payable to the surviving spouse, then the Account balance shall be adjusted by first reducing the nonforfeitable Account balance by the amount of the security used as repayment of the loan, and then determining the benefit payable to the surviving spouse. (g) Amount of Loan. At the time the loan is made, the principal amount of the loan plus the outstanding balance (principal plus accrued interest) due on any other outstanding loans to the Participant or Beneficiary from the Plan and from all other plans of the Employer that are qualified employer plans under section 72(p)(4) of the Code shall not exceed the lesser of: (1) $50,000, reduced by the excess (if any) of (i) The highest outstanding balance of loans from the Plan during the one (1) year period ending on the day before the date on which the loan is made, over (ii) The outstanding balance of loans from the Plan on the date on which such loan is made; or (2) One-half (½) of the value of the Participant’s Nonforfeitable Interest in all of his/her Accounts under this Plan For the purpose of the above limitation, all loans from all qualified employer pl ans of the Employer, including 457(b) plans, under Code section 72(p)(4) are aggregated. (h) Application for Loan. The Participant must give the Employer adequate written notice, as determined by the Employer, of the amount and desired time for receiving a loa n. No MissionSquare Retirement Governmental Money Purchase Plan 30 more than one (1) loan may be made by the Plan to a Participant in any calendar year. No loan shall be approved if an existing loan from the Plan to the Participant is in default to any extent. (i) Length of Loan. The terms of any loan issued or renegotiated after December 31, 1993, shall require the Participant to repay the loan in substantially equal installments of principal and interest, at least quarterly (except as otherwise provided in Treasury Regulation section 1.72(p)-1, Q&A-9 for certain leave of absence and military leave), over a period that does not exceed five (5) years from the date of the loan; provided, however, that if the proceeds of the loan are applied by the Participant to acquire any dwelling unit that is to be used within a reasonable time after the loan is made as the principal residence of the Participant, the five (5) year limit shall not apply. In this event, the period of repayment shall not exceed a reasonable period determined by the Employer. Principal installments and interest payments otherwise due may be suspended for up to one (1) year during an authorized leave of absence, if the promissory note so provides, but not beyond the original term permitted under this Subsection (i), with a revised payment schedule (within such term) instituted at the end of such period of suspension. If the Participant fails to make any installment payment, the Plan Administrator may, according to Treasury Regulation 1.72(p)-1, allow a cure period, which cure period cannot continue beyond the l ast day of the calendar quarter following the calendar quarter in which the required installment payment was due. (j) Prepayment. The Participant shall be permitted to repay the loan in whole or in part at any time prior to maturity, without penalty. (k) Note. The loan shall be evidenced by a promissory note executed by the Participant and delivered to the Employer, and shall bear interest at a reasonable rate determined by the Employer. Unless waived by a Participant, any plan loan that is outstanding on the date that active duty military service begins will accrue interest at a rate of no more than 6% during the period of military service in accordance with the provisions of the Service members Civil Relief Act (SCRA), 50 USC App. § 526 and subject to the notice requirements contained therein. This limitation applies even if loan payments are suspended during the period of military service as permitted under the Plan and Treasury regulations. (l) Security. The loan shall be secured by an assignment of that portion the Participant’s right, title and interest in and to his/her Account that is equal to fifty percent (50%) of the Participant’s Account (to the extent vested). (m) Assignment or Pledge. For the purposes of paragraphs (h) and (i), assignment or pledge of any portion of the Participant’s interest in the Plan and a loan, pledge, or assignment with respect to any insurance contract purchased under the Plan, will be treated as a loan. (n) Spousal Consent. If the Employer elected the QJSA Election in the Adoption Agreement, the Participant must first obtain his or her spouse’s notarized consent to the loan. Spousal consent shall be obtained no earlier than the beginning of the one-hundred eighty (180) day period that ends on the date on which the loan is to be so secured. The consent must be in writing, must acknowledge the effect of the loan, and must be witnessed by a Plan representative or notary public. Such consent shall thereafter be binding with respect to the consenting spouse or any subsequent spouse with respect to t hat loan. A new consent shall be required if the Account balance is used for renegotiation, extension, renewal, or other revision of the loan. (o) Other Terms and Conditions. The Employer shall fix such other terms and conditions of the loan as it deems necessary to comply with legal requirements, to maintain the MissionSquare Retirement Governmental Money Purchase Plan 31 qualification of the Plan under section 401(a) of the Code, or to prevent the treatment of the loan for tax purposes as a distribution to the Participant. The Employer, in its discretion for any reason, may fix other terms and conditions of the loan, not inconsistent with the provisions of this Article, including: (1) the circumstances under which a loan becomes immediately due and payable, provided, however, with respect to loans issued after December 31, 2012, that the loan program shall not provide that a loan becomes due and payable solely because the Participant requests or receives a partial distribution of the Participant’s Account balance after termination of employment; (2) rules relating to reamortization of loans; and (3) rules relating to refinance of loans. 13.03 Participant Loan Accounts. (a) Upon approval of a loan to a Participant by the Employer, an amount not in excess of the loan shall be transferred from the Participant’s other investment fund(s), described in Section 6.01 of the Plan, to the Participant’s Loan Account as of the Accounting Date immediately preceding the agreed upon date on which the loan is to be made. (b) The assets of a Participant’s Loan Account may be invested and reinvested only in promissory notes received by the Plan from the Participant as consideration for a loan permitted by Section 13.01 of the Plan or in cash. Uninvested cash balances in a Participant’s Loan Account shall not bear interest. No person who is otherwise a fiduci ary of the Plan shall be liable for any loss, or by reason of any breach, that results from the Participant’s exercise of such control. (c) Repayment of principal and payment of interest shall be made by payroll deduction or Automated Clearing House (ACH) transfer, or with respect to a terminated Employee solely by ACH, and shall be invested in one or more other investment funds, in accordance with Section 6.01 of the Plan, as of the next Accounting Date after payment thereof to the Trust. The amount so invested shall be deducted from the Participant’s Loan Account. A payment intended to be a Prepayment or payment of the loan in full may also be made by cashier’s check or money order, and shall be invested in accordance with this provision. (d) The Employer shall have the authority to establish other reasonable rules, not inconsistent with the provisions of the Plan, governing the establishment and maintenance of Participant Loan Accounts. XIV. PLAN AMENDMENT, TERMINATION, AND OPTIONAL PROVISIONS 14.01 Amendment by Employer. The Employer reserves the right, subject to Section 14.02 of the Plan, to amend the Plan from time to time by either: (a) Filing an amended Adoption Agreement to change, delete, or add any optional provision, or (b) Continuing the Plan in the form of an amended and restated Plan. MissionSquare Retirement Governmental Money Purchase Plan 32 No amendment to the Plan shall be effective to the extent that it has the effect of decreasing a Participant’s accrued benefit. Notwithstanding the preceding sentence, a Participant’s Account balance may be reduced to the extent permitted under section 412(d)(2) of the Code. For purposes of this paragraph, a Plan amendment which has the effect of decreasing a Participant’s Account balance or eliminating an optional form of benefit, with respect to benefits attributable to service before th e amendment shall be treated as reducing an accrued benefit. Furthermore, if the vesting schedule of the Plan is amended, in the case of an Employee who is a Participant as of the later of the date such amendment is adopted or the date it becomes effective, the nonforfeitable percentage (determined as of such date) of such Employee’s right to his/her Employer - derived accrued benefit will not be less than his percentage computed under the Plan without regard to such amendment. No amendment to the Plan shall be effective to eliminate or restrict an optional form of benefit. The preceding sentence shall not apply to a Plan amendment that eliminates or restricts the ability of a Participant to receive payment of his or her Account balance under a particular optional form of benefit if the amendment provides a single-sum distribution form that is otherwise identical to the optional form of benefit being eliminated or restricted. For this purpose, a single-sum distribution form is otherwise identical only if the single-sum distribution form is identical in all respects to the eliminated or restricted optional form of benefit (or would be identical except that it provides greater rights to the Participant) except with respect to the timing of payments after commencement. The Employer may (1) change the choice of options in the Adoption Agreement; (2) specify or change the effective date of a provision as permitted under the Plan; (3) add overriding language in the Adoption Agreement when such language is necessary to satisfy § 415 or § 416 of the Code because of the required aggregation of multiple plans; (4) amend administrative provisions of the Plan such as provisions relating to investments, Plan claims procedures, and Employer contact information provided the amended provisions are not in conflict with any other provision of the Plan and do not cause the Plan to fail to qualify under Code § 401; (5) adopt sample or model plan amendments published by the Internal Revenue Service which provide that their adoption will not result in the Employer losing reliance on the Opinion Letter; (6) amend to adjust for limitations provided under Code §§ 415, 402(g), 401(a)(17) and 414(q)(1)(B) to reflect annual cost of living increases, other than to add automatic cost -of-living adjustments to the Plan; and (7) make interim amendments or discretionary amendments that are related to a change in qualification requirements. An Employer that amends the Plan for any other reason will no longer have reliance on the Opinion Letter. 14.02 Amendment of Vesting Schedule. If the Plan’s vesting schedule is amended, or the Plan is amended in any way that directly or indirectly affects the computation of the Participant’s nonforfeitable percentage, each Participant may elect, within a reasonable perio d after the adoption of the amendment or change, to have the nonforfeitable percentage computed under the Plan without regard to such amendment or change. The period during which the election may be made shall commence with the date the amendment is adopted or deemed to be made and shall end on the latest of: (a) Sixty (60) days after the amendment is adopted; (b) Sixty (60) days after the amendment becomes effective; or (c) Sixty (60) days after the Participant is issued written notice of the amendment by the Employer or Plan Administrator. MissionSquare Retirement Governmental Money Purchase Plan 33 14.03 Termination by Employer. The Employer reserves the right to terminate this Plan. However, in the event of such termination no part of the Trust shall be used or diverted to any purpose other than for the exclusive benefit of the Participants or their Beneficiaries, except as provided in this Section. Upon Plan termination or partial termination, all Account balances shall be valued at their fair market value and the Participant’s right to his/her Employer Contribution Account shall b e one hundred percent (100%) vested and nonforfeitable. Such amount and any other amounts held in the Participant’s other Accounts shall be maintained for the Participant until paid pursuant to the terms of the Plan. Any amounts held in a suspense account, after all liabilities of the Plan to Participants and Beneficiaries have been satisfied or provided for, shall be paid to the Employer in accordance with the Code and regulations thereunder. In the event that the Commissioner of Internal Revenue determines that the Plan is not initially qualified under the Internal Revenue Code, any contribution made by the Employer incident to that initial qualification must be returned to the Employer within one year after the date the initial qualification is denied, but only if the application for the qualification is made by the time prescribed by law for filing the Employer’s return for the year in which the Plan is adopted, or such later date as the Secretary of the Treasury may prescribe. 14.04 Discontinuance of Contributions. A permanent discontinuance of contributions to the Plan by the Employer, unless an amended and restated Plan is established, shall constitute a Plan termination. In the event of a complete discontinuance of contributions under the Plan, the Account balance of each affected Participant shall be nonforfeitable. 14.05 Amendment by Plan Administrator. The Plan Administrator may amend this Plan upon thirty (30) days written notification to the Employer; provided, however, that any such amendment must be for the express purpose of maintaining compliance with applicable federal laws and regulations, revenue rulings, other statements published by the Internal Revenue Service (including model and sample amendments that specifically provide that their adoption will no t cause such Plan to be individually designed), or corrections of prior approved Plans may be applied to all Employers who have adopted the Plan. Such amendment shall become effective unless, within such 30-day period, the Employer notifies the Administrator, in writing, that it disapproves such amendment, in which case such amendment shall not become effective. In the event of such disapproval, or in the event of the resignation or removal of the Plan Administrator pursuant to Section 15.05, the Administrator shall be under no obligation to continue acting as Administrator hereunder. However, for purposes of reliance on an Opinion Letter, the Plan Administrator will no longer have the authority to amend the Plan on behalf of the Employer as of the date (1) the Employer amends the Plan to incorporate a type of plan described in section 6.03 of Rev. Proc. 2017 -41 that is not permitted under the Pre- approved Plan program, or (2) the Internal Revenue Service notifies the Employer, in accordance with section 8.06(3) of Rev. Proc. 2017-41, that the Plan is an individually designed plan due to the nature and extent of Employer amendments to the Plan. 14.06 Optional Provisions. Any provision which is optional under this Plan shall become effective if and only if elected by the Employer and agreed to by the Plan Administrator. 14.07 Failure of Qualification. The Employer may rely on an Opinion Letter issued by the Internal Revenue Service as evidence that the Plan is qualified under § 401 of the Internal Revenue MissionSquare Retirement Governmental Money Purchase Plan 34 Code only to the extent provided in Rev. Proc. 2017-41. If the Employer’s plan fails to attain or retain qualification, such plan will no longer participate in this Plan and will be considered an individually designed plan. XV. ADMINISTRATION 15.01 Powers of the Employer. The Employer shall have the following powers and duties: (a) To appoint and remove, with or without cause, the Plan Administrator; (b) To amend or terminate the Plan pursuant to the provisions of Article XIV; (c) To appoint a committee to facilitate administration of the Plan and communications to Participants; (d) To decide all questions of eligibility (1) for Plan participation, and (2) upon appeal by any Participant, Employee or Beneficiary, for the payment of benefits; (e) To engage an independent qualified public accountant, when required to do so by law, to prepare annually the audited financial statements of the Plan’s operation; (f) To take all actions and to communicate to the Plan Administrator in writing all necessary information to carry out the terms of the Plan; and (g) To notify the Plan Administrator in writing of the termination of the Plan. 15.02 Duties of the Plan Administrator. The Plan Administrator shall have the following powers and duties, subject to the oversight by the Employer: (a) To construe and interpret the provisions of the Plan; (b) To maintain and provide such returns, reports, schedules, descriptions, and individual Account statements as are required by law within the times prescribed by law; and to furnish to the Employer, upon request, copies of any or all such materials, and further, to make copies of such instruments, reports, descriptions, and statements as are required by law available for examination by Participants and such of their Beneficiaries who are or may be entitled to benefits under the Plan in such places and in such manner as required by law; (c) To obtain from the Employer such information as shall be necessary for the proper administration of the Plan; (d) To determine the amount, manner, and time of payment of benefits hereunder; (e) To appoint and retain such agents, counsel, and accountants for the purpose of properly administering the Plan; (f) To distribute assets of the Trust to each Participant and Beneficiary in accordance with Article X of the Plan; (g) To pay expenses from the Trust; and (h) To do such other acts reasonably required to administer the Plan in accordance with its provisions or as may be provided for or required by the Code. MissionSquare Retirement Governmental Money Purchase Plan 35 15.03 Protection of the Employer. The Employer shall not be liable for the acts or omissions of the Plan Administrator, but only to the extent that such acts or omissions do not result from the Employer’s failure to provide accurate or timely information as required or necessary for proper administration of the Plan. 15.04 Protection of the Plan Administrator. The Plan Administrator may rely upon any certificate, notice or direction purporting to have been signed on behalf of the Employer which the Plan Administrator believes to have been signed by a duly designated official of the Employer. 15.05 Resignation or Removal of Plan Administrator. The Plan Administrator may resign at any time effective upon sixty (60) days prior written notice to the Employer. The Plan Administrator may be removed by the Employer at any time upon sixty (60) days prior written notice to the Plan Administrator. Upon the resignation or removal of the Plan Administrator, the Employer may appoint a successor Plan Administrator; failing such appointment, the Employer shall assume the powers and duties of Plan Administrator. Upon the resignation or removal of the Plan Administrator, any Trust assets invested by or held in the name of the Plan Administrator shall be transferred to the trustee in cash or property, at fair market value, except that the return of Trust assets invested in a contract issued by an insurance company shall be governed by the terms of that contract. 15.06 No Termination Penalty. The Plan Administrator shall have no authority or discretion to impose any termination penalty upon its removal. 15.07 Decisions of the Plan Administrator. All constructions, determinations, and interpretations made by the Plan Administrator pursuant to Section 15.02(a) or (d) or by the Employer pursuant to Section 15.01(d) shall be final and binding on all persons participating in the Plan, given deference in all courts of law to the greatest extent allowed by applicable law, and shall not be overturned or set aside by any court of l aw unless found to be arbitrary or capricious, or made in bad faith. XVI. MISCELLANEOUS 16.01 Nonguarantee of Employment. Nothing contained in this Plan shall be construed as a contract of employment between the Employer and any Employee, or as a right of an Employee to be continued in the employment of the Employer, as a limitation of the right of the Employer to discharge any of its Employees, with or without cause. 16.02 Rights to Trust Assets. No Employee or Beneficiary shall have any right to, or interest in, any assets of the Trust upon termination of his/her employment or otherwise, except as provided from time to time under this Plan, and then only to the extent of the benefits payable under the Plan to such Employee or Beneficiary out of the assets of the Trust. All payments of benefits as provided for in this Plan shall be made solely out of the assets of the Trust and none of the fiduciaries shall be liable therefor in any manner. 16.03 Nonalienation of Benefits. Except as provided in Sections 16.04 and 16.06 of the Plan, benefits payable under this Plan shall not be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, charge, garnishment, execution, or levy of MissionSquare Retirement Governmental Money Purchase Plan 36 any kind, either voluntary or involuntary, prior to actually being received by the person entitled to the benefit under the terms of the Plan; and any attempt to anticipate, alienate, sell, transfer, assign, pledge, encumber, charge or otherwise dispose of any right to benefits payable hereunder, shall be void. The Trust shall not in any manner be liable for, or subject to, the debts, contracts, liabilities, engagements or torts of any person entitled to benefits hereunder. 16.04 Qualified Domestic Relations Order. Notwithstanding Section 16.03 of the Plan, amounts may be paid with respect to a Participant pursuant to a domestic relations order, but if and only if the order is determined to be a qualified domestic relations order within the meaning of section 414(p) of the Code or any domestic relations order entered before January 1, 1985. 16.05 Nonforfeitability of Benefits. Subject only to the specific provisions of this Plan, nothing shall be deemed to deprive a Participant of his/her right to the Nonforfeitable Interest t o which he/ she becomes entitled in accordance with the provisions of the Plan. 16.06 Incompetency of Payee. In the event any benefit is payable, on or after the adoption date of this Plan, to a minor or incompetent, to a person otherwise under legal disability, or to a person who, in the sole judgment of the Employer, is by reason of advanced age, illness, or other physical or mental incapacity incapable of handling the disposition of his/her property, the Employer may apply the whole or any part of such benefit directly to the care, comfort, maintenance, support, education, or use of such person or pay or distribute the whole or any part of such benefit to: (a) a valid power of attorney; (b) a court appointed guardian; (c) or any other person authorized under the state law to receive the benefit. The receipt of the person to whom any such payment or distribution is so made shall be full and complete discharge therefor. 16.07 Inability to Locate Payee. Anything to the contrary herein notwithstanding, if the Employer is unable, after reasonable effort, to locate any Participant or Beneficiary to whom an amount is payable hereunder, such amount shall be forfeited and held in the Trust for application against the next succeeding Employer Contribution or Contributions required to be mad e hereunder. Notwithstanding the foregoing, however, such amount shall be reinstated, by means of an additional Employer contribution, if and when a claim for the forfeited amount is subsequently made by the Participant or Beneficiary or if the Employer receives proof of death of such person, satisfactory to the Employer. To the extent not inconsistent with applicable law, any benefits lost by reason of escheat under applicable state law shall be considered forfeited and shall not be reinstated. 16.08 Mergers, Consolidations, and Transfer of Assets. The Plan shall not be merged into or consolidated with any other plan, nor shall any of its assets or liabilities be transferred into any such other plan, unless each Participant in the Plan would (if the Plan then ter minated) receive a benefit immediately after the merger, consolidation, or transfer that is equal to or greater than the benefit he/she would have been entitled to receive immediately before the merger, consolidation, or transfer (if the Plan had then terminated). 16.09 Employer Records. Records of the Employer as to an Employee’s or Participant’s Period of Service, termination of service and the reason therefor, leaves of absence, reemployment, MissionSquare Retirement Governmental Money Purchase Plan 37 Earnings, and compensation will be conclusive on all persons, unless determined to be incorrect. 16.10 Gender and Number. The masculine pronoun, whenever used herein, shall include the feminine pronoun, and the singular shall include the plural, except where the context requires otherwise. 16.11 Applicable Law. The Plan shall be construed under the laws of the State where the Employer is located, except to the extent superseded by federal law. The Plan is established with the intent that it meets the requirements under the Code. The provisions of this Plan shall be interpreted in conformity with these requirements. In the event of any conflict between the Plan and a policy or contract issued hereunder, the Plan provisions shall control; provided, however, no Plan amendment shall supersede an existing policy or contract unless such amend ment is required to maintain qualification under section 401(a) and 414(d) of the Code. In the event of any conflict between the terms of this Plan and any conflicting provision contained in any associated trust, custodial account document or any document that is incorporated by reference, the terms of this Plan will govern. 16.12 Electronic Communication and Consent. Unless expressly provided otherwise, where this Plan provides that a document, election, notification, direction, signature, or consent will be in writing, such writing may occur through an electronic medium, including but not limited to electronic mail, intranet or internet web posting and online account access, to the fullest extent permitted by applicable law. XVII. SPOUSAL BENEFIT REQUIREMENTS 17.01 Application. If elected by the Employer in the Adoption Agreement (the “QJSA Election”), the provisions of this Article shall take precedence over any conflicting provision in this Plan. If elected, the provisions of this Article shall apply to any Participant who is credited with any Period of Service with the Employer on or after August 23, 1984, and such other Participants as provided in Section 17.06. 17.02 Qualified Joint and Survivor Annuity. Unless an optional form of benefit is selected pursuant to a Qualified Election within the one-hundred eighty (180) day period ending on the Annuity Starting Date, a married Participant’s Vested Account Balance will be paid in the form of a Qualified Joint and Survivor Annuity and an unmarried Participant’s Vested Account Balance will be paid in the form of a Straight Life Annuity. The Participant may elect to have such annuity distributed upon the attainment of the Earliest Retirement Age under the Plan. 17.03 Qualified Optional Survivor Annuity. If a married Participant elects to waive the Qualified Joint and Survivor Annuity, the Participant may elect the qualified optional survivor annuity at any time during the applicable election period, provided, however, that this Section shall apply only to the extent the Plan makes another survivor annuity available. MissionSquare Retirement Governmental Money Purchase Plan 38 17.04 Qualified Preretirement Survivor Annuity. If a Participant dies before the Annuity Starting Date, then fifty percent (50%) of the Participant’s Vested Account Balance shall be applied toward the purchase of an annuity for the life of the Surviving Spouse; the remaining portion shall be paid to such Beneficiaries (which may include such Spouse) designated by the Participant. Notwithstanding the foregoing, the Participant may waive the spousal annuity by designating a different Beneficiary within the Election Period pursuant to a Qualified Election. To the extent that less than one hundred percent (100%) of the Vested Account Balance is paid to the Surviving Spouse, the amount of the Participant’s Account derived from employee contributions will be allocated to the Surviving Spouse in the same proportion as the amount of the Participant’s Account derived from employee contributions is to the Participant’s total Vested Account Balance. The Surviving Spouse may elect to have such annuity dis tributed within a reasonable period after the Participant’s death. Further, such Spouse may elect to receive any death benefit payable to him/her hereunder in any of the forms available to the Participant under Section 11.02. 17.05 Notice Requirements. (a) In the case of a Qualified Joint and Survivor Annuity as described in Section 17.02, the Plan Administrator shall, no less than thirty (30) days and no more than one-hundred eighty (180) days prior to the Annuity Starting Date, provide each Participant a written explanation of: (i) the terms and conditions of a Qualified Joint and Survivor Annuity;(ii) the Participant’s right to make and the effect of an election to waive the Qualified Joint and Survivor Annuity form of benefit; (iii) the rights of a Participant’s S pouse; and (iv) the right to make, and the effect of, a revocation of a previous election to waive the Qualified Joint and Survivor Annuity. However, if the Participant, after having received the written explanation, affirmatively elects a form of distribution and the Spouse consents to that form of distribution (if necessary), benefit payments may commence less than thirty (30) days after the written explanation was provided to the Participant, provided that the following requirements are met: (1) The Plan Administrator provides information to the Participant clearly indicating that the Participant has a right to at least thirty (30) days to consider whether to waive the Qualified Joint and Survivor Annuity and consent to a form of distribution other than a Qualified Joint and Survivor Annuity; (2) The Participant is permitted to revoke an affirmative distribution election at least until the Annuity Starting Date, or if later, at any time prior to the expiration of the 7-day period that begins the day after the explanation of the Qualified Joint and Survivor Annuity is provided to the Participant; (3) The Annuity Starting Date is after the date that the explanation of the Qualified Joint and Survivor Annuity is provided to the Participant; and (4) Distribution in accordance with the affirmative election does not commence before the expiration of the 7-day period that begins after the day after the explanation of the Qualified Joint and Survivor Annuity is provided to the Participant. (b) In the case of a Qualified Preretirement Survivor Annuity as described in Section 17.04, the Plan Administrator shall provide each Participant within the applicable period for such Participant a written explanation of the Qualified Preretirement Survivor Annuity in such terms and in such manner as would be comparable to the explanation provided for meeting the requirements of Subsection (a) applicable to a Qualified Joint and Survivor Annuity. The applicable period for a Participant is whichever of the following periods ends last: MissionSquare Retirement Governmental Money Purchase Plan 39 1. the period beginning with the first day of the Plan Year in which the Participant attains age thirty-two (32) and ending with the close of the Plan Year preceding the Plan Year in which the Participant attains age thirty -five (35); 2. a reasonable period ending after the individual becomes a Participant; 3. a reasonable period ending after Subsection (c) ceases to apply to the Participant; 4. a reasonable period ending after this Article first applies to the Participant. Notwithstanding the foregoing, notice must be provided within a reasonable period ending after separation from service in the case of a Participant who separates from service before attaining age thirty-five (35). For purposes of applying the preceding paragraph, a reasonable period ending after the enumerated events described in (2), (3) and (4) is the end of the two (2) year period beginning one (1) year prior to the date the applicable event occurs, and ending one (1) year after that date. In the case of a Participant who separates from service befo re the Plan Year in which age thirty-five (35) is attained, notice shall be provided within the two (2) year period beginning one (1) year prior to separation and ending one (1) year after separation. If such a Participant thereafter returns to employment with the Employer, the applicable period for such Participant shall be redetermined. (c) Notwithstanding the other requirements of this Section, the respective notices prescribed by this Section need not be given to a Participant if (1) the Plan “fully subsidi zes” the costs of a Qualified Joint and Survivor Annuity or Qualified Preretirement Survivor Annuity, and (2) the Plan does not allow the Participant to waive the Qualified Joint and Survivor Annuity or Qualified Preretirement Survivor Annuity and does not allow a married Participant to designate a non-Spouse Beneficiary. For purposes of this Subsection (c), a plan fully subsidizes the costs of a benefit if no increase in cost or decrease in benefits to the Participant may result from the Participant’s failure to elect another benefit. 17.06 Definitions. For the purposes of this Section, the following definitions shall apply: (a) Annuity Starting Date. The first day of the first period for which an amount is paid as an annuity or any other form. (b) Election Period. The period which begins on the first day of the Plan Year in which the Participant attains age thirty-five (35) and ends on the date of the Participant’s death. If a Participant separates from service prior to the first day of the Plan Year in which age thirty-five (35) is attained, with respect to the Account balance as of the date of separation, the Election Period shall begin on the date of separation. Pre-age thirty- five (35) waiver: A Participant who will not yet attain age thirty -five (35) as of the end of any current Plan Year may make a special Qualified Election to waive the Qualified Preretirement Survivor Annuity for the period beginning on the date of such election and ending on the first day of the Plan Year in which the Participant will attain age thirty-five (35). Such election shall not be valid unless the Participant receives a written explanation of the Qualified Preretirement Survivor Annuity in such terms as are comparable to the explanation required under Section 17.05(a). Qualified Preretirement Survivor Annuity coverage will be automatically reinstated as of the first day of the Plan Year in which the Participant attains age thirty-five (35). Any new waiver on or after such date shall be subject to the full requirements of this Article. (c) Earliest Retirement Age. The earliest date on which, under the Plan, the Participant could elect to receive retirement benefits. (d) Qualified Election. A waiver of a Qualified Joint and Survivor Annuity or a Qualified Preretirement Survivor Annuity. Any waiver of a Qualified Joint and Survivor Annuity or a MissionSquare Retirement Governmental Money Purchase Plan 40 Qualified Preretirement Survivor Annuity shall not be effective unless: (a) the Participant’s Spouse consents in writing to the election; (b) the election designates a specific Beneficiary, including any class of Beneficiaries or any contingent Beneficiaries, which may not be changed without spousal consent (or the Spouse expressly permits designations by the Participant without any further spousal consent); (c) the Spouse’s consent acknowledges the effect of the election; and (d) the Spouse’s consent is witnessed by a Plan representative or notary public. Additionally, a Participant’s waiver of the Qualified Joint and Survivor Annuity shall not be effective unless the election designates a form of benefit payment which may not be changed without spousal consent (or the Spouse expressly permits designations by the Participant without any further Spousal consent). If it is established to the satisfaction of a Plan representative that there is no Spouse or that the Spouse cannot be located, a waiver will be deemed a Qualified Election. Any consent by a Spouse obtained under this provision (or establishment that the consent of a Spouse may not be obtained) shall be effective only with respect to such Spouse. A consent that permits designations by the Participant without any requirement of further consent by such Spouse must acknowledge that the Spouse has the right to limit consent to a specific Beneficiary, and a specific form of benefit where applicable, and that the Spouse voluntarily elects to relinquish either or both of such rights. A revocation of a prior waiver may be made by a Participant without the consent of the Spouse at any time before the commencement of benefits. The number of revocations shall not be limited. No consent obtained under this provision shall be valid unless the Participant has received notice as provided in Section 17.05. (e) Qualified Joint and Survivor Annuity. An immediate annuity for the life of the Participant with a survivor annuity for the life of the Spouse which is fifty percent (50%) of the amount of the annuity which is payable during the joint lives of the Participant and the Spouse and which is the amount of benefit which can be purchased with the Participant’s Vested Account Balance. (f) Spouse (Surviving Spouse). The Spouse or Surviving Spouse of the Participant, provided that a former Spouse will be treated as the Spouse or Surviving Spouse and a current Spouse will not be treated as the Spouse or Surviving Spouse to the extent provide d under a qualified domestic relations order as described in section 414(p) of the Code. (g) Straight Life Annuity. An annuity payable in equal installments for the life of the Participant that terminates upon the Participant’s death. (h) Vested Account Balance. The aggregate value of the Participant’s vested Account balances derived from Employer and Employee contributions (including rollovers), whether vested before or upon death, including the proceeds of insurance contracts, if any, on the Participant’s life. The provisions of this Article shall apply to a Participant who is vested in amounts attributable to Employer contributions, Employee contributions (or both) at the time of death or distribution. 17.07 Annuity Contracts. Where benefits are to be paid in the form of a life annuity pursuant to the terms of this Article, a nontransferable annuity contract shall be purchased from a life insurance company and distributed to the Participant or Surviving Spouse, as applicable. The terms of any annuity contract purchased and distributed by the Plan shall comply with the requirements of this Plan and section 417 of the Code. MissionSquare Retirement Governmental Money Purchase Plan 41 XVIII. FINAL PAY CONTRIBUTIONS 18.01 Eligibility. If elected by the Employer in the Adoption Agreement, Final Pay Contributions on behalf of each eligible Participant equal to the equivalent of the accrued unpaid Final Pay, as defined in the Adoption Agreement (“Final Pay”), shall be contributed to the P lan. Eligibility for Final Pay Contributions is limited to only those Participants or class of Participants that the Employer elects in the Adoption Agreement. 18.02 Contribution Amount. At the election of the Employer in the Adoption Agreement, the Final Pay Contributions may be made as either (a) Employer Final Pay Contributions, or (b) Employee Designated Final Pay Contributions, as described below. (a) Employer Final Pay Contributions. The Employer shall contribute to the Plan for each eligible Participant the equivalent of a designated amount of accrued unpaid Final Pay upon termination of employment of the Participant, as the Employer so elects in the Adoption Agreement. The Employer’s contribution for any Plan Year shall be due and paid not later than the time prescribed by applicable law. The Employer Final Pay Contributions shall be accounted for in the Employer Contribution Account. (b) Employee Designated Final Pay Contributions. The Employer shall contribute to the Plan for each eligible Participant all or any portion of a Participant’s Final Pay, as elected by the Participant. The Employer may limit the amount of Final Pay to be elected to be contributed to the Plan. Once elected, an Employee’s election shall remain in force and may not be revised or revoked. The Employee Designated Final Pay Contributions shall be accounted for in the Employee Designated Final Pay Contribution Account, and are nonforfeitable at all times. The Employee Designated Final Pay Contributions shall be “picked up” by the Employer in accordance with Code section 414(h)(2). The contributions shall be treated as an employer contribution in determining the tax treatment under the Code, and shall not be included as gross income of the Participant until it is distributed. A Participant cannot elect to receive cash in lieu of any Final Pay Contribution. 18.03 Equivalencies. The Final Pay Contribution shall be determined by multiplying the Participant’s current daily rate of pay from the Employer times the amount of accrued unpaid leave being converted. 18.04 Excess Contributions. Final Pay Contributions are limited to the extent of applicable law and any Code limitation. No Final Pay Contribution shall be made to the extent that it would exceed the applicable Code section 415 limitation, as set forth in Article V. Any excess contributions as a result of the Code section 415 limitation shall remain in the Participant’s leave bank. MissionSquare Retirement Governmental Money Purchase Plan 42 XIX. ACCRUED LEAVE CONTRIBUTIONS 19.01 Eligibility. If elected by the Employer in the Adoption Agreement, Accrued Leave Contributions on behalf of each eligible Participant equal to the equivalent of the accrued unpaid leave, as defined in the Adoption Agreement (“Accrued Leave”), shall be contributed to the Plan. Eligibility for Accrued Leave Contributions is limited to only those Participan ts or class of Participants that the Employer elects in the Adoption Agreement. 19.02 Contribution Amount. At the election of the Employer in the Adoption Agreement, the Accrued Leave Contributions may be made as either (a) Employer Accrued Leave Contributions, or (b) Employee Designated Accrued Leave Contributions, as described below. (a) Employer Accrued Leave Contributions. The Employer shall contribute to the Plan for each eligible Participant the equivalent of a designated amount of accrued unpaid leave each year, as the Employer so elects in the Adoption Agreement. The Employer’s contribution for any Plan Year shall be due and paid not later than the time prescribed by applicable law. The Employer Accrued Leave Contributions shall be accounted for in the Employer Contribution Account. (b) Employee Designated Accrued Leave Contributions. The Employer shall contribute to the Plan for each eligible Participant all or any portion of a Participant’s Accrued Leave, as elected by the Participant. The Employer may limit the amount of Accrued Leave to be elected to be contributed to the Plan. Once elected, an Employee’s election shall remain in force and may not be revised or revoked. The Employee Designated Accrued Leave Contributions shall be accounted for in the Employee Designated Accrued Leave Contribution Account, and are nonforfeitable at all times. The Employee Designated Accrued Leave Contributions shall be “picked up” by the Employer in accordance with Code section 414(h)(2). The contributions shall be treated as an employer contribution in determining the tax treatment under the Code, and shall not be included as gross income of the Participant until it is distributed. A Participant cannot elect to receive cash in lieu of any Accrued Leave Contribution. 19.03 Equivalencies. The Accrued Leave Contribution shall be determined by multiplying the Participant’s current daily rate of pay from the Employer times the amount of accrued unpaid leave being converted. 19.04 Excess Contributions. Accrued Leave Contributions are limited to the extent of applicable law and any Code limitation. No Accrued Leave Contribution shall be made to the extent that it would exceed the applicable Code section 415 limitation, as set forth in Article V. Any excess contributions as a result of the Code section 415 limitation shall remain in the Participant’s leave bank. MISSIONSQUARE RETIREMENT 777 NORTH CAPITOL STREET, NE WASHINGTON, DC 20002-4240 800-669-7400 WWW.MISSIONSQ.ORG 32582-0621-W1371 ICMA Retirement Corporation doing business as MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 2 MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement Plan Number: 109091 The Employer hereby establishes a Money Purchase Plan to be known as TOWN OF FOUNTAIN HILLS (the “Plan”) in the form of the MissionSquare Retirement Governmental Money Purchase Plan. New Plan or Amendment and Restatement (Check One): [X] Amendment and Restatement This Plan is an amendment and restatement of an existing defined contribution Money Purchase Plan. Please specify the name of the defined contribution Money Purchase Plan which this Plan hereby amends and restates: TOWN OF FOUNTAIN HILLS Effective Date of Restatement. The effective date of the Plan shall be: (Note: The effective date can be no earlier than the first day of the Plan Year in which this restatement is adopted. If no date is provided, by default, the effective date will be the first day of the Plan Year in which the restatement is adopted.) [ ] New Plan Effective Date of New Plan. The effective date of the Plan shall be the first day of the Plan Year during which the Employer adopts the Plan, unless an alternate effective date is hereby specified: (Note: An alternate effective date can be no earlier than the first day of the Plan Year in which the Plan is adopted.) I. EMPLOYER: TOWN OF FOUNTAIN HILLS (The Employer must be a governmental entity under Internal Revenue Code § 414(d)) II. SPECIAL EFFECTIVE DATES Please note here any elections in the Adoption Agreement with an effective date that is different from that noted above. (Note provision and effective date.) III. PLAN YEAR The Plan Year will be: [X] January 1 – December 31 (Default) [ ] The 12 month period ending Month Day MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 3 IV. Normal Retirement Age shall be age 62 (not less than 55 nor in excess of 65). Important Note to Employers: Normal Retirement Age is significant for determining the earliest date at which the Plan may allow for in-service distributions. Normal Retirement Age also defines the latest date at which a Participant must have a fully vested right to his/her Account. There are IRS rules that limit the age that may be specified as the Plan's Normal Retirement Age. The Normal Retirement Age cannot be earlier than what is reasonably representative of the typical retirement age for the industry in which the covered workforce is employed. In 2016, the Internal Revenue Service proposed regulations that would provide rules for determining whether a governmental pension plan's normal retirement age satisfies the Internal Revenue Code's qualification requirements. A normal retirement age that is age 62 or later is deemed to be not earlier than the earliest age that is reasonably representative of the typical retirement age for the industry in which the covered workforce is employed. Whether an age below 62 satisfies this requirement depends on the facts and circumstances, but an Employer's good faith, reasonable determination will generally be given deference. A special rule, however, says that a normal retirement age that is age 50 or later is deemed to be not earlier than the earliest age that is reasonably representative of the typical retirement age for the industry in which the covered workforce is employed if the participants to which this normal retirement age applies are qualified public safety employees (within the meaning of section 72(t)(10)(B)). These regulations are proposed to be effective for employees hired during plan years beginning on or after the later of: (1) January 1, 2017; or (2) the close of the first regular legislative session of the legislative body with the authority to amend the plan that begins on or after the date that is 3 months after the final regulations are published in the Federal Register. In the meantime, however, governmental plan sponsors may rely on these proposed regulations. In lieu of age-based Normal Retirement Age, the Plan shall use the following age and service-based Normal Retirement Age Important Note to Employers: Before using a Normal Retirement Age based on age and service, a plan sponsor should review the proposed regulations (81 Fed. Reg. 4599 (Jan. 27, 2016)) and consult counsel. V. COVERED EMPLOYMENT CLASSIFICATIONS 1. The following group or groups of Employees are eligible to participate in the Plan: [ ] All Employees [ ] All Full Time Employees [ ] Salaried Employees [ ] Non union Employees [ ] Management Employees [ ] Public Safety Employees [ ] General Employees [X] Other Employees (Specify the group(s) of eligible Employees below. Do not specify Employees by name. Specific positions are acceptable.) Town Manager The group specified must correspond to a group of the same designation that is defined in the statutes, ordinances, rules, regulations, personnel manuals or other material in effect in the state or locality of the Employer. The eligibility requirements cannot be such that an Employee becomes eligible only in the Plan Year in which the Employee terminates employment. Note: As stated in Sections 4.08 and 4.09, the Plan may, however, provide that Final Pay Contributions or Accrued Leave Contributions are the only contributions made under the Plan. MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 4 2. Period of Service required for participation [X] N/A – The Employer hereby waives the requirement of a Period of Service for participation. Employees are eligible to participate upon employment. (“N/A” is the default provision under the Plan if no selection is made.) [ ] Yes. The required Period of Service shall be months (not to exceed 12 months). The Period of Service selected by the Employer shall apply to all Employees within the Covered Employment Classification. 3. Minimum Age (Select One) – A minimum age requirement is hereby specified for eligibility to participate. [ ] Yes. Age (not to exceed age 21). [X] N/A – No minimum age applies (“N/A” is the default provision under the Plan if no selection is made.) VI. CONTRIBUTION PROVISIONS 1.The Employer shall contribute as follows: (Choose all that apply, but at least one of Options A or B. If Option A is not selected, Employer must pick up Mandatory Participant Contributions under Option B.) Fixed Employer Contributions With or Without Mandatory Participant Contributions. (If Option B is chosen, please complete section C.) [X] A. Fixed Employer Contributions. The Employer shall contribute on behalf of each Participant 11 % of Earnings or $ for the Plan Year (subject to the limitations of Article V of the Plan). Mandatory Participant Contributions [X] are required [ ] are not required to be eligible for this Employer Contribution. [X] B. Mandatory Participant Contributions for Plan Participation Required Mandatory Contributions. A Participant is required to contribute (subject to the limitations of Article V of the Plan) the specified amounts designated in items (i) through (iii) of the Contribution Schedule below: [X] Yes [ ] No Employee Opt-In Mandatory Contributions. To the extent that Mandatory Participant Contributions are not required by the Plan, each Employee eligible to participate in the Plan shall be given the opportunity, when first eligible to participate in the Plan or any other plan or arrangement of the Employer described in Code section 219(g)(5)(A) to irrevocably elect to contribute Mandatory Participant Contributions by electing to contribute the specified amounts designated in items (i) through (iii) of the Contribution Schedule below for each Plan Year (subject to the limitations of Article V of the Plan): [ ] Yes [X] No MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 5 Contribution Schedule. (Any percentage or dollar amount entered below must be greater than 0% or $0.) i. 11 % of Earnings, ii. $ , or iii. a whole percentage of Earnings between the range of (insert range of percentages between 1% and 20% inclusive (e.g., 3%, 6%, or 20%; 5% to 7%)), as designated by the Employee in accordance with guidelines and procedures established by the Employer for the Plan Year as a condition of participation in the Plan. A Participant must pick a single percentage and shall not have the right to discontinue or vary the rate of such contributions after becoming a Plan Participant. Employer “Pick up”. The Employer hereby elects to “pick up” the Mandatory Participant Contributions1 (pickup is required if Option A is not selected) [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) [X] C. Election Window (Complete if Option B is selected): Newly eligible Employees shall be provided an election window of N/A days (no more than 60 calendar– days) from the date of initial eligibility during which they may make the election to participate in the Mandatory Participant Contribution portion of the Plan. Participation in the Mandatory Participant Contribution portion of the Plan shall begin the first of the month following the end of the election window. An Employee's election is irrevocable and shall remain in force until the Employee terminates employment or ceases to be eligible to participate in the Plan. In the event of re-employment to an eligible position, the Employee's original election will resume. In no event does the Employee have the option of receiving the pick-up contribution amount directly. 2. The Employer may also elect to make Employer Matching Contributions as follows: [ ] Fixed Employer Match of After-Tax Voluntary Participant Contributions. (Do not complete this section unless the Plan permits after-tax Voluntary Participant Contributions under Section VI.3 of the Adoption Agreement.) The Employer shall contribute on behalf of each Participant % of Earnings for the Plan Year (subject to the limitations of Article V of the Plan) for each Plan Year that such Participant has contributed % of Earnings or $ . Under this option, there is a single, fixed rate of Employer Contributions, but a Participant may decline to make the Voluntary Participant Contributions in any Plan Year, in which case no Employer Contribution will be made on the Participant's behalf in that Plan Year. 1Neither an IRS opinion letter nor a determination letter issued to an adopting Employer is a ruling by the Internal Revenue Service that Participant contributions that are “picked up” by the Employer are not includable in the Participant's gross income for federal income tax purposes. Pick-up contributions are not mandated to receive private letter rulings; however, if an adopting Employer wishes to receive a ruling on pick-up contributions they may request one in accordance with Revenue Procedure 2012-4 (or subsequent guidance). MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 6 [ ] Variable Employer Match of After-Tax Voluntary Participant Contributions. (Do not complete unless the Plan permits after-tax Voluntary Participant Contributions under Section VI.3 of the Adoption Agreement.) The Employer shall contribute on behalf of each Participant an amount determined as follows (subject to the limitations of Article V of the Plan): % of the Voluntary Participant Contributions made by the Participant for the Plan Year (not including Voluntary Participant Contributions exceeding % of Earnings or $ ); PLUS % of the contributions made by the Participant for the Plan Year in excess of those included in the above paragraph (but not including Voluntary Participant Contributions exceeding in the aggregate % of Earnings or $ ). Employer Matching Contributions on behalf of a Participant for a Plan Year shall not exceed $ or % of Earnings, whichever is [ ] more or [ ] less. [ ] Fixed Employer Match of Participant 457(b) Plan Deferrals. The Employer shall contribute on behalf of each Participant % of Earnings for the Plan Year (subject to the limitations of Article V of the Plan) for each Plan Year that such Participant has deferred % of Earnings or $ to the Employer's 457(b) deferred compensation plan. Under this option, there is a single, fixed rate of Employer Contributions, but a Participant may decline to make the required 457(b) deferrals in any Plan Year, in which case no Employer Contribution will be made on the Participant's behalf in that Plan Year. [ ] Variable Employer Match of Participant 457(b) Plan Deferrals. The Employer shall contribute on behalf of each Participant an amount determined as follows (subject to the limitations of Article V of the Plan): % of the elective deferrals made by the Participant to the Employer's 457(b) plan for the Plan Year (not including Participant contributions exceeding % of Earnings or $ ); PLUS % of the elective deferrals made by the Participant to the Employer's 457(b) plan for the Plan Year in excess of those included in the above paragraph (but not including elective deferrals made by a Participant to the Employer's 457(b) plan exceeding in the aggregate % of Earnings or $ ). Employer Matching Contributions on behalf of a Participant for a Plan Year shall not exceed $ or % of Earnings, whichever is [ ] more or [ ] less. 3. Each Participant may make a Voluntary Participant Contribution, subject to the limitations of Section 4.06 and Article V of the Plan [X] Yes [ ] No (“No” is the default provision under the Plan if no selection is made.) 4. Employer contributions for a Plan Year shall be contributed to the Trust in accordance with the following payment schedule (no later than the 15th day of the tenth calendar month following the end of the calendar year or fiscal year (as applicable depending on the basis on which the Employer keeps its books) with or within which the particular Limitation Year ends, or in accordance with applicable law): [ ] Weekly [X] Biweekly [ ] Monthly [ ] Annually in (specify month) MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 7 5. Participant contributions for a Plan Year shall be contributed to the Trust in accordance with the following payment schedule (no later than the 15th day of the tenth calendar month following the end of the calendar year or fiscal year (as applicable depending on the basis on which the Employer keeps its books) with or within which the particular Limitation Year ends, or in accordance with applicable law): [ ] Weekly [X] Biweekly [ ] Monthly [ ] Annually in (specify month) 6. In the case of a Participant performing qualified military service (as defined in Code section 414(u)) with respect to the Employer: A. Plan contributions will be made based on differential wage payments: [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) B. Participants who die or become disabled will receive Plan contributions with respect to such service: [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) VII. Earnings Earnings, as defined under Section 2.09 of the Plan, shall include: 1.Overtime [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 2.Bonuses [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 3. Other Pay (specifically describe any other types of pay to be included below) VIII. ROLLOVER PROVISIONS 1.The Employer will permit Rollover Contributions in accordance with Section 4.13 of the Plan: [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 8 IX. LIMITATION ON ALLOCATIONS If the Employer maintains or ever maintained another qualified plan in which any Participant in this Plan is (or was) a participant or could possibly become a participant, the Employer hereby agrees to limit contributions to all such plans as provided herein, if necessary in order to avoid excess contributions (as described in Section 5.02 of the Plan). 1. If the Participant is covered under another qualified defined contribution plan maintained by the Employer, the provisions of Section 5.02(a) through (e) of the Plan will apply, unless another method has been indicated below. [ ] Other Method. (Provide the method under which the plans will limit total Annual Additions to the Maximum Permissible Amount, and will properly reduce any Excess Amounts, in a manner that precludes Employer discretion.) 2. The Limitation Year is the following 12 consecutive month period: X. VESTING PROVISIONS The Employer hereby specifies the following vesting schedule, subject to (1) the Code's vesting requirements in effect on September 1, 1974 and (2) the concurrence of the Plan Administrator. (For the blanks below, enter the applicable percentage - from 0 to 100 (with no entry after the year in which 100% is entered), in ascending order.) The following vesting schedule may apply to a Participant's interest in his/her Employer Contribution Account. The vesting schedule does not apply to Elective Deferrals, Catch-up Contributions, Mandatory Participant Contributions, Rollover Contributions, Voluntary Participant Contributions, Deductible Employee Contributions, Employee Designated Final Pay Contributions, and Employee Designated Accrued Leave Contributions, and the earnings thereon. Period of Service Completed Percent Vested Zero 100% One % Two % Three % Four % Five % Six % Seven % Eight % Nine % Ten % MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 9 XI. WITHDRAWALS AND LOANS 1.In-service distributions are permitted under the Plan after a Participant attains (select one of the below options): [ ] Normal Retirement Age [X] 70 ½ (“70 ½” is the default provision under the Plan if no selection is made.) [ ] Alternate age (after Normal Retirement Age): [ ] Not permitted at any age 2.A Participant shall be deemed to have a severance from employment solely for purposes of eligibility to receive distributions from the Plan during any period the individual is performing service in the uniformed services for more than 30 days. [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) 3.Tax-free distributions of up to $3,000 for the direct payment of Qualified Health Insurance Premiums for Eligible Retired Public Safety Officers are available under the Plan. [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 4.In-service distributions of the Rollover Account are permitted under the Plan as provided in Section 9.07 [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 5.Loans are permitted under the Plan, as provided in Article XIII of the Plan: [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) XII. SPOUSAL PROTECTION The Plan will provide the following level of spousal protection (select one): [ ] 1. Participant Directed Election. The normal form of payment of benefits under the Plan is a lump sum. The Participant can name any person(s) as the Beneficiary of the Plan, with no spousal consent required. [X] 2. Beneficiary Spousal Consent Election (Article XII of the Plan will apply if option 2 is selected). The normal form of payment of benefits under the Plan is a lump sum. Upon death, the surviving spouse is the Beneficiary, unless he or she consents to the Participant's naming another Beneficiary. ("Beneficiary Spousal Consent Election" is the default provision under the Plan if no selection is made.) [ ] 3. QJSA Election (Article XVII). The normal form of payment of benefits under the Plan is a 50% qualified joint and survivor annuity with the spouse (or life annuity, if single). In the event of the Participant's death prior to commencing payments, the spouse will receive an annuity for his or her lifetime. (If option 3 is selected, the spousal consent requirements in Article XII of the Plan also will apply.) MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 10 XIII. FINAL PAY CONTRIBUTIONS (Under the Plan's definitions, Earnings automatically include leave cashouts paid by the later of 2 ½ months after severance from employment or the end of the calendar year. If the Plan will provide additional contributions based on the Participant's final paycheck attributable to Accrued Leave, please provide instructions in this section. Otherwise, leave this section blank.) The Plan will provide for Final Pay Contributions if either 1 or 2 below is selected. The following group of Employees shall be eligible for Final Pay Contributions: [ ] 1. Employees within the Covered Employment Classification identified in section V of the Adoption Agreement. [ ] 2. Other: (This must be a subset of the Covered Employment Classification identified in section V of the Adoption Agreement.) Final Pay shall be defined as (select one): [ ] A. Accrued unpaid vacation [ ] B. Accrued unpaid sick leave [ ] C. Accrued unpaid vacation and sick leave [ ] D. Other (insert definition of Final Pay - must be leave that Employee would have been able to use if employment had continued and must be bona fide vacation and/or sick leave): [ ] 1. Employer Final Pay Contribution. The Employer shall contribute on behalf of each Participant % of their Final Pay to the Plan (subject to the limitations of Article V of the Plan). [ ] 2. Employee Designated Final Pay Contribution. Each Employee eligible to participate in the Plan shall be given the opportunity at enrollment to irrevocably elect to contribute % (insert fixed percentage of Final Pay to be contributed) or up to % (insert maximum percentage of Final Pay to be contributed) of Final Pay to the Plan (subject to the limitations of Article V of the Plan). Once elected, an Employee's election shall remain in force and may not be revised or revoked. XIV. ACCRUED LEAVE CONTRIBUTIONS The Plan will provide for unpaid Accrued Leave Contributions annually if either 1 or 2 is selected below. The following group of Employees shall be eligible for Accrued Leave Contributions: [ ] 1. Employees within the Covered Employment Classification identified in section V of the Adoption Agreement. [ ] 2. Other: (This must be a subset of the Covered Employment Classification identified in section V of the Adoption Agreement.) Accrued Leave shall be defined as (select one): [ ] A. Accrued unpaid vacation [ ] B. Accrued unpaid sick leave [ ] C. Accrued unpaid vacation and sick leave [ ] D. Other (insert definition of Accrued Leave that is bona fide vacation and/or sick leave): MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 11 [ ] 1. Employer Accrued Leave Contribution. The Employer shall contribute as follows (choose one of the following options): [ ] For each Plan Year, the Employer shall contribute on behalf of each eligible Participant the unused Accrued Leave in excess of (insert number of hours/days/weeks (circle one)) to the Plan (subject to the limitations of Article V of the Plan). [ ] For each Plan Year, the Employer shall contribute on behalf of each eligible Participant % of un- used Accrued Leave to the Plan (subject to the limitations of Article V of the Plan). [ ] 2. Employee Designated Accrued Leave Contribution Each eligible Participant shall be given the opportunity at enrollment to irrevocably elect to annually contribute % (insert fixed percentage of unpaid Accrued Leave to be contributed) or up to % (insert maximum percentage of unpaid Accrued Leave to be contributed) of unpaid Accrued Leave to the Plan (subject to the limitations of Article V of the Plan). Once elected, an Employee's election shall remain in force and may not be revised or revoked. XV. The Employer hereby attests that it is a unit of state or local government or an agency or instrumentality of one or more units of state or local government. XVI. The Employer understands that this Adoption Agreement is to be used with only the MissionSquare Retirement Money Purchase Plan. This MissionSquare Retirement Governmental Money Purchase Plan is a restatement of a previous plan, which was submitted to the Internal Revenue Service for approval on December 31, 2018 and received approval on June 30, 2020. The Plan Administrator will inform the Employer of any amendments to the Plan made pursuant to Section 14.05 of the Plan or of the discontinuance or abandonment of the Plan. The Employer understands that an amendment(s) made pursuant to Section 14.05 of the Plan will become effective within 30 days of notice of the amendment(s) unless the Employer notifies the Plan Administrator, in writing, that it disapproves of the amendment(s). If the Employer so disapproves, the Plan Administrator will be under no obligation to act as Administrator under the Plan. XVII. The Employer hereby appoints the ICMA Retirement Corporation, doing business as MissionSquare Retirement, as the Plan Administrator pursuant to the terms and conditions of the MISSIONSQUARE RETIREMENT GOVERNMENTAL MONEY PURCHASE PLAN. The Employer hereby agrees to the provisions of the Plan. MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 12 XVIII. The Employer understands that it must complete a new Adoption Agreement upon first adoption of the Plan. Additionally, upon any modifications to a prior election, making of new elections, or restatements of the Plan, a new Adoption Agreement must be completed. The Employer hereby acknowledges it understands that failure to properly fill out this Adoption Agreement may result in disqualification of the Plan. XIX. An adopting Employer may rely on an Opinion Letter issued by the Internal Revenue Service as evidence that the Plan is qualified under section 401 of the Internal Revenue Code only to the extent provided in Rev. Proc. 2017-41. The Employer may not rely on the Opinion Letter in certain other circumstances or with respect to certain qualification requirements, which are specified in the Opinion Letter issued with respect to the Plan and in Rev. Proc. 2017-41. In Witness Whereof, the Employer hereby causes this Money Purchase Plan Adoption Agreement to be executed. EMPLOYER SIGNATURE & DATE Signature of Authorized Plan Representative: Print Name: Title: Attest: Date: _____/_____ /_________. MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 13 For inquiries regarding adoption of the plan, the meaning of plan provisions, or the effect of the Opinion Letter, contact: MissionSquare Retirement 777 N. Capitol St. NE Suite 600 Washington, DC 20002 800-326-7272 52582-0621-W1304 ICMA Retirement Corporation doing business as MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 2 MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement Plan Number: 109344 The Employer hereby establishes a Money Purchase Plan to be known as TOWN OF FOUNTAIN HILLS (the “Plan”) in the form of the MissionSquare Retirement Governmental Money Purchase Plan. New Plan or Amendment and Restatement (Check One): [X] Amendment and Restatement This Plan is an amendment and restatement of an existing defined contribution Money Purchase Plan. Please specify the name of the defined contribution Money Purchase Plan which this Plan hereby amends and restates: TOWN OF FOUNTAIN HILLS Effective Date of Restatement. The effective date of the Plan shall be: (Note: The effective date can be no earlier than the first day of the Plan Year in which this restatement is adopted. If no date is provided, by default, the effective date will be the first day of the Plan Year in which the restatement is adopted.) [ ] New Plan Effective Date of New Plan. The effective date of the Plan shall be the first day of the Plan Year during which the Employer adopts the Plan, unless an alternate effective date is hereby specified: (Note: An alternate effective date can be no earlier than the first day of the Plan Year in which the Plan is adopted.) I. EMPLOYER: TOWN OF FOUNTAIN HILLS (The Employer must be a governmental entity under Internal Revenue Code § 414(d)) II. SPECIAL EFFECTIVE DATES Please note here any elections in the Adoption Agreement with an effective date that is different from that noted above. (Note provision and effective date.) III. PLAN YEAR The Plan Year will be: [ ] January 1 – December 31 (Default) [X] The 12 month period ending Jun 30 Month Day MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 3 IV. Normal Retirement Age shall be age 59.5 (not less than 55 nor in excess of 65). Important Note to Employers: Normal Retirement Age is significant for determining the earliest date at which the Plan may allow for in-service distributions. Normal Retirement Age also defines the latest date at which a Participant must have a fully vested right to his/her Account. There are IRS rules that limit the age that may be specified as the Plan's Normal RetirementAge. The Normal Retirement Age cannot be earlier than what is reasonably representative of the typical retirement age for theindustry in which the covered workforce is employed. In 2016, the Internal Revenue Service proposed regulations that would provide rules for determining whether a governmentalpension plan's normal retirement age satisfies the Internal Revenue Code's qualification requirements. A normal retirement agethat is age 62 or later is deemed to be not earlier than the earliest age that is reasonably representative of the typical retirementage for the industry in which the covered workforce is employed. Whether an age below 62 satisfies this requirement dependson the facts and circumstances, but an Employer's good faith, reasonable determination will generally be given deference. Aspecial rule, however, says that a normal retirement age that is age 50 or later is deemed to be not earlier than the earliest agethat is reasonably representative of the typical retirement age for the industry in which the covered workforce is employedif the participants to which this normal retirement age applies are qualified public safety employees (within the meaning ofsection 72(t)(10)(B)). These regulations are proposed to be effective for employees hired during plan years beginning on orafter the later of: (1) January 1, 2017; or (2) the close of the first regular legislative session of the legislative body with theauthority to amend the plan that begins on or after the date that is 3 months after the final regulations are published in theFederal Register. In the meantime, however, governmental plan sponsors may rely on these proposed regulations. In lieu of age-based Normal Retirement Age, the Plan shall use the following age and service-based Normal Retirement Age Important Note to Employers: Before using a Normal Retirement Age based on age and service, a plan sponsor should review the proposed regulations (81 Fed. Reg. 4599 (Jan. 27, 2016)) and consult counsel. V. COVERED EMPLOYMENT CLASSIFICATIONS 1. The following group or groups of Employees are eligible to participate in the Plan: [X] All Employees [ ] All Full Time Employees [ ] Salaried Employees [ ] Non union Employees [ ] Management Employees [ ] Public Safety Employees [ ] General Employees [ ] Other Employees (Specify the group(s) of eligible Employees below. Do not specify Employees by name. Specific positions are acceptable.) The group specified must correspond to a group of the same designation that is defined in the statutes, ordinances, rules, regulations, personnel manuals or other material in effect in the state or locality of the Employer. The eligibility requirements cannot be such that an Employee becomes eligible only in the Plan Year in which the Employee terminates employment. Note: As stated in Sections 4.08 and 4.09, the Plan may, however, provide that Final Pay Contributions or Accrued Leave Contributions are the only contributions made under the Plan. MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 4 2. Period of Service required for participation [X] N/A – The Employer hereby waives the requirement of a Period of Service for participation. Employees are eligible to participate upon employment. (“N/A” is the default provision under the Plan if no selection is made.) [ ] Yes. The required Period of Service shall be months (not to exceed 12 months). The Period of Service selected by the Employer shall apply to all Employees within the Covered Employment Classification. 3. Minimum Age (Select One) – A minimum age requirement is hereby specified for eligibility to participate. [ ] Yes. Age (not to exceed age 21). [X] N/A – No minimum age applies (“N/A” is the default provision under the Plan if no selection is made.) VI. CONTRIBUTION PROVISIONS 1.The Employer shall contribute as follows: (Choose all that apply, but at least one of Options A or B. If Option A is not selected, Employer must pick up Mandatory Participant Contributions under Option B.) Fixed Employer Contributions With or Without Mandatory Participant Contributions. (If Option B is chosen, please complete section C.) [X] A. Fixed Employer Contributions. The Employer shall contribute on behalf of each Participant 11 % of Earnings or $ for the Plan Year (subject to the limitations of Article V of the Plan). Mandatory Participant Contributions [X] are required [ ] are not required to be eligible for this Employer Contribution. [X] B. Mandatory Participant Contributions for Plan Participation Required Mandatory Contributions. A Participant is required to contribute (subject to the limitations of Article V of the Plan) the specified amounts designated in items (i) through (iii) of the Contribution Schedule below: [X] Yes [ ] No Employee Opt-In Mandatory Contributions. To the extent that Mandatory Participant Contributions are not required by the Plan, each Employee eligible to participate in the Plan shall be given the opportunity, when first eligible to participate in the Plan or any other plan or arrangement of the Employer described in Code section 219(g)(5)(A) to irrevocably elect to contribute Mandatory Participant Contributions by electing to contribute the specified amounts designated in items (i) through (iii) of the Contribution Schedule below for each Plan Year (subject to the limitations of Article V of the Plan): [ ] Yes [X] No MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 5 Contribution Schedule. (Any percentage or dollar amount entered below must be greater than 0% or $0.) i. 11 % of Earnings, ii. $ , or iii. a whole percentage of Earnings between the range of (insert range of percentages between 1% and 20% inclusive (e.g., 3%, 6%, or 20%; 5% to 7%)), as designated by the Employee in accordance with guidelines and procedures established by the Employer for the Plan Year as a condition of participation in the Plan. A Participant must pick a single percentage and shall not have the right to discontinue or vary the rate of such contributions after becoming a Plan Participant. Employer “Pick up”. The Employer hereby elects to “pick up” the Mandatory Participant Contributions1 (pickup is required if Option A is not selected) [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) [X] C. Election Window (Complete if Option B is selected): Newly eligible Employees shall be provided an election window of N/A days (no more than 60 calendar– days) from the date of initial eligibility during which they may make the election to participate in the Mandatory Participant Contribution portion of the Plan. Participation in the Mandatory Participant Contribution portion of the Plan shall begin the first of the month following the end of the election window. An Employee's election is irrevocable and shall remain in force until the Employee terminates employment or ceases to be eligible to participate in the Plan. In the event of re-employment to an eligible position, the Employee's original election will resume. In no event does the Employee have the option of receiving the pick-up contribution amount directly. 2. The Employer may also elect to make Employer Matching Contributions as follows: [ ] Fixed Employer Match of After-Tax Voluntary Participant Contributions. (Do not complete this section unless the Plan permits after-tax Voluntary Participant Contributions under Section VI.3 of the Adoption Agreement.) The Employer shall contribute on behalf of each Participant % of Earnings for the Plan Year (subject to the limitations of Article V of the Plan) for each Plan Year that such Participant has contributed % of Earnings or $ . Under this option, there is a single, fixed rate of Employer Contributions, but a Participant may decline to make the Voluntary Participant Contributions in any Plan Year, in which case no Employer Contribution will be made on the Participant's behalf in that Plan Year. 1Neither an IRS opinion letter nor a determination letter issued to an adopting Employer is a ruling by the Internal Revenue Service that Participant contributions that are “picked up” by the Employer are not includable in the Participant's gross income for federal income tax purposes. Pick-up contributions are not mandated to receive private letter rulings; however, if an adopting Employer wishes to receive a ruling on pick-up contributions they may request one in accordance with Revenue Procedure 2012-4 (or subsequent guidance). MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 6 [ ] Variable Employer Match of After-Tax Voluntary Participant Contributions. (Do not complete unless the Plan permits after-tax Voluntary Participant Contributions under Section VI.3 of the Adoption Agreement.) The Employer shall contribute on behalf of each Participant an amount determined as follows (subject to the limitations of Article V of the Plan): % of the Voluntary Participant Contributions made by the Participant for the Plan Year (not including Voluntary Participant Contributions exceeding % of Earnings or $ ); PLUS % of the contributions made by the Participant for the Plan Year in excess of those included in the above paragraph (but not including Voluntary Participant Contributions exceeding in the aggregate % of Earnings or $ ). Employer Matching Contributions on behalf of a Participant for a Plan Year shall not exceed $ or % of Earnings, whichever is [ ] more or [ ] less. [ ] Fixed Employer Match of Participant 457(b) Plan Deferrals. The Employer shall contribute on behalf of each Participant % of Earnings for the Plan Year (subject to the limitations of Article V of the Plan) for each Plan Year that such Participant has deferred % of Earnings or $ to the Employer's 457(b) deferred compensation plan. Under this option, there is a single, fixed rate of Employer Contributions, but a Participant may decline to make the required 457(b) deferrals in any Plan Year, in which case no Employer Contribution will be made on the Participant's behalf in that Plan Year. [ ] Variable Employer Match of Participant 457(b) Plan Deferrals. The Employer shall contribute on behalf of each Participant an amount determined as follows (subject to the limitations of Article V of the Plan): % of the elective deferrals made by the Participant to the Employer's 457(b) plan for the Plan Year (not including Participant contributions exceeding % of Earnings or $ ); PLUS % of the elective deferrals made by the Participant to the Employer's 457(b) plan for the Plan Year in excess of those included in the above paragraph (but not including elective deferrals made by a Participant to the Employer's 457(b) plan exceeding in the aggregate % of Earnings or $ ). Employer Matching Contributions on behalf of a Participant for a Plan Year shall not exceed $ or % of Earnings, whichever is [ ] more or [ ] less. 3. Each Participant may make a Voluntary Participant Contribution, subject to the limitations of Section 4.06 and Article V of the Plan [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 4. Employer contributions for a Plan Year shall be contributed to the Trust in accordance with the following payment schedule (no later than the 15th day of the tenth calendar month following the end of the calendar year or fiscal year (as applicable depending on the basis on which the Employer keeps its books) with or within which the particular Limitation Year ends, or in accordance with applicable law): [ ] Weekly [X] Biweekly [ ] Monthly [ ] Annually in (specify month) MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 7 5. Participant contributions for a Plan Year shall be contributed to the Trust in accordance with the following payment schedule (no later than the 15th day of the tenth calendar month following the end of the calendar year or fiscal year (as applicable depending on the basis on which the Employer keeps its books) with or within which the particular Limitation Year ends, or in accordance with applicable law): [ ] Weekly [X] Biweekly [ ] Monthly [ ] Annually in (specify month) 6. In the case of a Participant performing qualified military service (as defined in Code section 414(u)) with respect to the Employer: A. Plan contributions will be made based on differential wage payments: [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) B. Participants who die or become disabled will receive Plan contributions with respect to such service: [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) VII. Earnings Earnings, as defined under Section 2.09 of the Plan, shall include: 1.Overtime [X] Yes [ ] No (“No” is the default provision under the Plan if no selection is made.) 2.Bonuses [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 3. Other Pay (specifically describe any other types of pay to be included below) VIII. ROLLOVER PROVISIONS 1.The Employer will permit Rollover Contributions in accordance with Section 4.13 of the Plan: [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 8 IX. LIMITATION ON ALLOCATIONS If the Employer maintains or ever maintained another qualified plan in which any Participant in this Plan is (or was) a participant or could possibly become a participant, the Employer hereby agrees to limit contributions to all such plans as provided herein, if necessary in order to avoid excess contributions (as described in Section 5.02 of the Plan). 1. If the Participant is covered under another qualified defined contribution plan maintained by the Employer, the provisions of Section 5.02(a) through (e) of the Plan will apply, unless another method has been indicated below. [ ] Other Method. (Provide the method under which the plans will limit total Annual Additions to the Maximum Permissible Amount, and will properly reduce any Excess Amounts, in a manner that precludes Employer discretion.) 2. The Limitation Year is the following 12 consecutive month period: X. VESTING PROVISIONS The Employer hereby specifies the following vesting schedule, subject to (1) the Code's vesting requirements in effect on September 1, 1974 and (2) the concurrence of the Plan Administrator. (For the blanks below, enter the applicable percentage - from 0 to 100 (with no entry after the year in which 100% is entered), in ascending order.) The following vesting schedule may apply to a Participant's interest in his/her Employer Contribution Account. The vesting schedule does not apply to Elective Deferrals, Catch-up Contributions, Mandatory Participant Contributions, Rollover Contributions, Voluntary Participant Contributions, Deductible Employee Contributions, Employee Designated Final Pay Contributions, and Employee Designated Accrued Leave Contributions, and the earnings thereon. Period of Service Completed Percent Vested Zero 0% One 20% Two 40% Three 60% Four 80% Five 100% Six % Seven % Eight % Nine % Ten % MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 9 XI. WITHDRAWALS AND LOANS 1.In-service distributions are permitted under the Plan after a Participant attains (select one of the below options): [ ] Normal Retirement Age [X] 70 ½ (“70 ½” is the default provision under the Plan if no selection is made.) [ ] Alternate age (after Normal Retirement Age): [ ] Not permitted at any age 2.A Participant shall be deemed to have a severance from employment solely for purposes of eligibility to receive distributions from the Plan during any period the individual is performing service in the uniformed services for more than 30 days. [X] Yes [ ] No (“Yes” is the default provision under the Plan if no selection is made.) 3.Tax-free distributions of up to $3,000 for the direct payment of Qualified Health Insurance Premiums for Eligible Retired Public Safety Officers are available under the Plan. [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 4.In-service distributions of the Rollover Account are permitted under the Plan as provided in Section 9.07 [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) 5.Loans are permitted under the Plan, as provided in Article XIII of the Plan: [ ] Yes [X] No (“No” is the default provision under the Plan if no selection is made.) XII. SPOUSAL PROTECTION The Plan will provide the following level of spousal protection (select one): [ ] 1. Participant Directed Election. The normal form of payment of benefits under the Plan is a lump sum. The Participant can name any person(s) as the Beneficiary of the Plan, with no spousal consent required. [X] 2. Beneficiary Spousal Consent Election (Article XII of the Plan will apply if option 2 is selected). The normal form of payment of benefits under the Plan is a lump sum. Upon death, the surviving spouse is the Beneficiary, unless he or she consents to the Participant's naming another Beneficiary. ("Beneficiary Spousal Consent Election" is the default provision under the Plan if no selection is made.) [ ] 3. QJSA Election (Article XVII). The normal form of payment of benefits under the Plan is a 50% qualified joint and survivor annuity with the spouse (or life annuity, if single). In the event of the Participant's death prior to commencing payments, the spouse will receive an annuity for his or her lifetime. (If option 3 is selected, the spousal consent requirements in Article XII of the Plan also will apply.) MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 10 XIII. FINAL PAY CONTRIBUTIONS (Under the Plan's definitions, Earnings automatically include leave cashouts paid by the later of 2 ½ months after severance from employment or the end of the calendar year. If the Plan will provide additional contributions based on the Participant's final paycheck attributable to Accrued Leave, please provide instructions in this section. Otherwise, leave this section blank.) The Plan will provide for Final Pay Contributions if either 1 or 2 below is selected. The following group of Employees shall be eligible for Final Pay Contributions: [ ] 1. Employees within the Covered Employment Classification identified in section V of the Adoption Agreement. [ ] 2. Other: (This must be a subset of the Covered Employment Classification identified in section V of the Adoption Agreement.) Final Pay shall be defined as (select one): [ ] A. Accrued unpaid vacation [ ] B. Accrued unpaid sick leave [ ] C. Accrued unpaid vacation and sick leave [ ] D. Other (insert definition of Final Pay - must be leave that Employee would have been able to use if employment had continued and must be bona fide vacation and/or sick leave): [ ] 1. Employer Final Pay Contribution. The Employer shall contribute on behalf of each Participant % of their Final Pay to the Plan (subject to the limitations of Article V of the Plan). [ ] 2. Employee Designated Final Pay Contribution. Each Employee eligible to participate in the Plan shall be given the opportunity at enrollment to irrevocably elect to contribute % (insert fixed percentage of Final Pay to be contributed) or up to % (insert maximum percentage of Final Pay to be contributed) of Final Pay to the Plan (subject to the limitations of Article V of the Plan). Once elected, an Employee's election shall remain in force and may not be revised or revoked. XIV. ACCRUED LEAVE CONTRIBUTIONS The Plan will provide for unpaid Accrued Leave Contributions annually if either 1 or 2 is selected below. The following group of Employees shall be eligible for Accrued Leave Contributions: [ ] 1. Employees within the Covered Employment Classification identified in section V of the Adoption Agreement. [ ] 2. Other: (This must be a subset of the Covered Employment Classification identified in section V of the Adoption Agreement.) Accrued Leave shall be defined as (select one): [ ] A. Accrued unpaid vacation [ ] B. Accrued unpaid sick leave [ ] C. Accrued unpaid vacation and sick leave [ ] D. Other (insert definition of Accrued Leave that is bona fide vacation and/or sick leave): MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 11 [ ] 1. Employer Accrued Leave Contribution. The Employer shall contribute as follows (choose one of the following options): [ ] For each Plan Year, the Employer shall contribute on behalf of each eligible Participant the unused Accrued Leave in excess of to the Plan (subject to the limitations of Article V of the Plan). [ ] For each Plan Year, the Employer shall contribute on behalf of each eligible Participant % of un- used Accrued Leave to the Plan (subject to the limitations of Article V of the Plan). [ ] 2. Employee Designated Accrued Leave Contribution Each eligible Participant shall be given the opportunity at enrollment to irrevocably elect to annually contribute % (insert fixed percentage of unpaid Accrued Leave to be contributed) or up to % (insert maximum percentage of unpaid Accrued Leave to be contributed) of unpaid Accrued Leave to the Plan (subject to the limitations of Article V of the Plan). Once elected, an Employee's election shall remain in force and may not be revised or revoked. XV. The Employer hereby attests that it is a unit of state or local government or an agency or instrumentality of one or more units of state or local government. XVI. The Employer understands that this Adoption Agreement is to be used with only the MissionSquare Retirement Money Purchase Plan. This MissionSquare Retirement Governmental Money Purchase Plan is a restatement of a previous plan, which was submitted to the Internal Revenue Service for approval on December 31, 2018 and received approval on June 30, 2020. The Plan Administrator will inform the Employer of any amendments to the Plan made pursuant to Section 14.05 of the Plan or of the discontinuance or abandonment of the Plan. The Employer understands that an amendment(s) made pursuant to Section 14.05 of the Plan will become effective within 30 days of notice of the amendment(s) unless the Employer notifies the Plan Administrator, in writing, that it disapproves of the amendment(s). If the Employer so disapproves, the Plan Administrator will be under no obligation to act as Administrator under the Plan. XVII. The Employer hereby appoints the ICMA Retirement Corporation, doing business as MissionSquare Retirement, as the Plan Administrator pursuant to the terms and conditions of the MISSIONSQUARE RETIREMENT GOVERNMENTAL MONEY PURCHASE PLAN. The Employer hereby agrees to the provisions of the Plan. MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 12 XVIII. The Employer understands that it must complete a new Adoption Agreement upon first adoption of the Plan. Additionally, upon any modifications to a prior election, making of new elections, or restatements of the Plan, a new Adoption Agreement must be completed. The Employer hereby acknowledges it understands that failure to properly fill out this Adoption Agreement may result in disqualification of the Plan. XIX. An adopting Employer may rely on an Opinion Letter issued by the Internal Revenue Service as evidence that the Plan is qualified under section 401 of the Internal Revenue Code only to the extent provided in Rev. Proc. 2017-41. The Employer may not rely on the Opinion Letter in certain other circumstances or with respect to certain qualification requirements, which are specified in the Opinion Letter issued with respect to the Plan and in Rev. Proc. 2017-41. In Witness Whereof, the Employer hereby causes this Money Purchase Plan Adoption Agreement to be executed. EMPLOYER SIGNATURE & DATE Signature of Authorized Plan Representative: Print Name: Title: Attest: Date: _____/_____ /_________. MissionSquare Retirement Governmental Money Purchase Plan Adoption Agreement 13 For inquiries regarding adoption of the plan, the meaning of plan provisions, or the effect of the Opinion Letter, contact: MissionSquare Retirement 777 N. Capitol St. NE Suite 600 Washington, DC 20002 800-326-7272 52582-0621-W1304 RESOLUTION NO. 2022-31 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, ADOPTING THE TOWN OF FOUNTAIN HILLS GOVERNMENT MONEY PURCHASE PLAN & TRUST ADOPTION AGREEMENTS WITH THE INTERNATIONAL CITY/COUNTY MANAGEMENT ASSOCIATION RETIREMENT CORPORATION/MISSIONSQUARE RETIREMENT FOR THE TOWN MANAGER AND TOWN EMPLOYEES RECITALS: WHEREAS, the Town of Fountain Hills ( the "Town") has historically provided full- time Employees with a 401(a) defined contribution retirement savings plan for the Town Manager and Town Staff through the International City/ County Management Association Retirement Corporation ("ICMA- RC")/MissionSquare Retirement ( the "401 Plans"); and WHEREAS, the Internal Revenue Service ( the "IRS") has a six-year review schedule for the 401 Plans and requires the 401 Plans be updated to incorporate amendments for legislative and regulatory changes since the prior restatement; and WHEREAS, the IRS has reviewed and approved the 401 Plans and now requires execution of new Governmental Money Purchase Plan & Trust Adoption Agreements (the Agreements"). ENACTMENTS: NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS as follows: SECTION 1. The recitals above are hereby incorporated as if fully set forth herein. SECTION 2. The Agreement - Plan Number 109091 is hereby approved in substantially the form and substance attached hereto as Exhibit A and incorporated herein by reference. SECTION 3. The Agreement - Plan Number 109344 is hereby approved in substantially the form and substance attached hereto as Exhibit B and incorporated herein by reference. SECTION 4. The Mayor, the Town Manager, the Town Clerk and the Town Attorney are hereby authorized and directed to cause the execution of the 401 Plans and to take all steps necessary to carry out the purpose and intent of this Resolution. PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills, Arizona, this 7th day of June, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Town Attorney ITEM 7. G. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Administration Prepared by: David Pock, Finance Director Staff Contact Information: David Pock, Finance Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Approval of budget transfer for the General Fund and Capital Project Fund. Staff Summary (Background) Throughout the fiscal year, it is sometimes necessary to transfer funds from one budget account to another. In most cases, the funds to be transferred are within the same department and can be made administratively without the need to request Town Council approval. The following transfers from General Fund (GENAD) Contingency are requested. $320,000 to the Capital Projects Fund (CIPPR) for P3045 Four Peaks Parking Lot $38,000 to the Capital Projects Fund (CIPFAC) for F4038 Community Garden Driveway Relocation $32,500 to Facilities Operations (FACOP) for Community Center maintenance and repair $5,000 to Finance Administration (FINAD) for business license software and implementation Related Ordinance, Policy or Guiding Principle Town Council approved financial policies and best practices. Risk Analysis If not approved, the budgets for the General Fund and Capital Project Fund could be exceeded. Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approval of the budget transfer as requested. SUGGESTED MOTION MOVE to approve the attached budget transfer as requested. Attachments Attachments Budget Transfer Form Review Inbox Reviewed By Date Finance Director (Originator)David Pock 05/25/2022 03:38 PM Town Attorney Aaron D. Arnson 05/25/2022 04:19 PM Town Manager Grady E. Miller 05/31/2022 10:50 AM Form Started By: David Pock Started On: 05/25/2022 01:47 PM Final Approval Date: 05/31/2022 05/25/2022 15:35 |TOWN OF FOUNTAIN HILLS |P 1 DPock |BUDGET AMENDMENTS JOURNAL ENTRY PROOF |bgamdent LN ORG OBJECT PROJ ORG DESCRIPTION ACCOUNT DESCRIPTION PREV BUDGET AMENDED ACCOUNT LINE DESCRIPTION EFF DATE BUDGET CHANGE BUDGET ERR____________________________________________________________________________________________________________________________________ YEAR-PER JOURNAL EFF-DATE REF 1 REF 2 SRC JNL-DESC ENTITY AMEND 2022 12 4 06/07/2022 BUA TRANSFERS 1 8 1 CIPPR 8070 P3045 PARK & REC CAP PROJECTS PARK IMPROVEMENTS 366,000.00 320,000.00 686,000.00 600-50-50-502-000-1602-8070-P3045 FM GENAD CONTINGENCY 06/07/2022 2 CIPFAC 8080 F4038 FACILITIES CAP PROJECTS OTHER INFRASTRUCTURE 175,000.00 38,000.00 213,000.00 600-40-30-303-000-0702-8080-F4038 FM GENAD CONTINGENCY 06/07/2022 3 FACOP 6210 FACILITIES-OPERATIONS BUILDING MAIN/REPAIR 32,831.00 32,500.00 65,331.00 100-40-30-303-110-1515-6210- FM GENAD CONTINGENCY 06/07/2022 4 FINAD 6251 FIN-ADMIN SOFTWARE LICENSE/MAINT 650.00 5,000.00 5,650.00 100-10-10-105-100-0106-6251- FM GENAD CONTINGENCY 06/07/2022 5 GENAD 7010 GENERAL GOVERNMENT ADMIN CONTINGENCY 4,867,173.76 -395,500.00 4,471,673.76 100-10-15-110-100-0106-7010- TO VARIOUS ORGS 06/07/2022 ** JOURNAL TOTAL 0.00 Z ITEM 7. H. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Development Services Prepared by: Farhad Tavassoli, Senior Planner Staff Contact Information: Farhad Tavassoli, Senior Planner Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: annual report on the implementation of the Fountain Hills General Plan 2020. Staff Summary (Background) Arizona Revised Statutes Section 9-461.07 A. 2. states that after the municipal legislative body has adopted a general plan, the community’s planning agency shall render an annual report to the legislative body on the status of the plan and progress in its application. The Town adopted its current general plan on November 3, 2020. The first annual report was presented before the Planning and Zoning Commission on April 12, 2021, and was forwarded to Council on May 18, 2021. At that time, the Town was in a unique position by virtue of having just adopted a new general plan, and addressed the efforts that were underway to begin implementation of the 2020 General Plan. The Fountain Hills General Plan 2020 includes the following requirement: Each year, the Fountain Hills Development Services Department must prepare, and the Fountain Hills Planning & Zoning Commission must review and submit to the Town Council an annual report on the status of the General Plan progress. The report must include, but not be limited to, the following: A summary of General Plan amendments processed during the preceding year and those pending review, including General Plan amendments initiated by Town Council. A report on the progress and status of implementation actions enumerated in the General Plan Implementation Strategy. A review of policy issues which may have arisen regarding provisions of the General Plan. A recommendation for General Plan amendments to be initiated to maintain an effective, up-to-date General Plan including policy changes, clarifications, and new policy development; changes in character area; and other applicable changes. The recommendation may also include suggestions to change implementation actions priorities, as Town’s priorities shift, as well as General Plan amendments, if any, to be included in the work program for the following fiscal year. Attached is a report for the Council's review and consideration. Report content includes status updates received from the lead departments for various goals and policies contained in the general plan, as well as a brief overview of actions taken during the 2021 calendar year to implement provisions of the 2020 General Plan. Related Ordinance, Policy or Guiding Principle Fountain Hills General Plan 2020 Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) The Planning and Zoning Commission reviewed the annual report at its regular meeting on May 9, 2022. There were no comments or adjustments from the Commission and it recommended Town Council acceptance of the report. Staff Recommendation(s) Staff recommends acceptance and filing of the attached Annual General Plan Report for 2021. SUGGESTED MOTION MOVE to accept and file the 2020 General Plan Annual Report Attachments 2021 Annual Report Form Review Inbox Reviewed By Date Development Services Director John Wesley 05/17/2022 01:17 PM Form Started By: Farhad Tavassoli Started On: 05/17/2022 11:08 AM Final Approval Date: 05/17/2022 Fountain Hills General Plan Annual Report 2021 Background and Purpose Arizona Revised Statutes Section 9-461.07 A. 2. states that after the municipal legislative body has adopted a general plan, the community’s planning agency shall render an annual report to the legislative body on the status of the plan and progress in its application. The Town of Fountain Hills has adopted and implemented general plans in accordance with state statutes since 2002. The Fountain Hills General Plan 2010 was adopted by the Council January 7, 2010 and was the guiding document for the Town until the voters ratified the 2020 General Plan on November 3, 2020. This annual report summarizes the Town’s implementation efforts for the 2021 calendar year. Fountain Hills General Plan 2020 The Fountain Hills General Plan 2020 was adopted by Council on May 19, 2020 and ratified by the voters on November 3, 2020 as a long-term vision for local development. The Plan did not become official for use by staff and the Town until it was ratified by the voters. Therefore, little actual implementation was reported for 2020. This report, although also brief, discusses some implementation advances in 2021 and continued efforts going into the next several years. Page 124 of the 2020 Plan includes direction regarding the annual report. It states: Each year, the Fountain Hills Development Services Department must prepare, and the Fountain Hills Planning & Zoning Commission must review and submit to the Town Council an annual report on the status of the General Plan progress. The report must include, but not be limited to, the following: 1. A summary of General Plan amendments processed during the preceding year and those pending review, including General Plan amendments initiated by Town Council. 2. A report on the progress and status of implementation actions enumerated in the General Plan Implementation Strategy. 3. A review of policy issues which may have arisen regarding provisions of the General Plan. 4. A recommendation for General Plan amendments to be initiated to maintain an effective, up-to-date General Plan including: policy changes, clarifications, and new policy development; changes in character area; and other applicable changes. The recommendation may also include suggestions to change implementation actions priorities, as Town’s priorities shift, as well as General Plan amendments, if any, to be included in the work program for the following fiscal year. Summary of General Plan Amendments No amendments were processed in 2021. Progress on Implementation Actions This section briefly highlights progress and implementation actions as they relate to each of the eight general plan Elements and their respective goals and policies. Each goal and policy identifies an anticipated time frame for completion. The most immediate goals were to be initiated no later than six months after ratification by the voters. Due to a number of factors attributed to the pandemic and extended vacancies in various departments, including managerial positions, most of the immediate implementation efforts have been delayed and carried over into the 2022 calendar year. However, there is considerable progress to report on a number of fronts. Thriving Neighborhoods Element  Staff is currently working with a number of economic development partners to gather data for housing type and neighborhood preferences to attract working professionals and families with children through marketing efforts. (Goal 1, Policy 5)  In 2021, the Town completed 360 lane miles of street sweeping and 145,518 square yards of crack filling. (Goal 1, Policy 1)  The Town approved a zoning ordinance text amendment allowing extensions to nonconforming single-family structures to encroach into the street-side yard of a corner lot, thus accommodating more design considerations for long-term maintenance of existing homes and neighborhoods. (Goal 4) Great Places Element  The Town passed two Zoning Ordinance text amendments aimed at further promoting the long-term viability of residential, commercial and mixed-use development. These include the requirement of a Citizen Participation Plan by the applicants of all rezoning and special use permit cases, allowing residents to provide input. Another text amendment was approved to allow outdoor seating and entertainment on town-maintained sidewalks within the Town Center Commercial District with approval of an encroachment permit from Town Council. (Goal 1, Policy 4; Goal 4, Policies 6,8,)  The Community Relations department is maintaining the website as needed with the most up-to-date plans and surveys. (Goal 1, Policies 7-13)  Town Council approved public art at two new residential projects – The Havenly and Casas Del Lago.  The Public Art Committee approved a donation of a sculpture from a donor that was approved by the Town Council and installed at Fountain Park. (Goal 2, Policy 7)  The MAG regional bike map was amended to add bike lanes to Fountain Hills Blvd. (Goal 1, Policies 7- 13)  Public Works Department is engaging with an engineering firm to begin a parking study to assess the required capacity and use of existing parking facilities.(Goal 4, Policy 5)  The Town approved a special use permit case allowing a mixed-use residential/commercial development on a half-acre infill parcel at the northwest corner of Saguaro and Kingstree Blvds. Another special use permit was approved for a multi-family residential development at a 1.67-acre infill parcel near the northeast corner of Shea and Saguaro Blvds. (Goal 2, Policy 6)  The Development Services department launched the Town Online Planning and Permitting System (TOPPS) to provide a streamlined design review process when reviewing applications for revenue- generating uses. (Goal 1, Policy 1)  The Economic Development and Community Relations departments are currently working together to create community-based branding strategy. (Goal 4, Policy 1-2) Social Environment Element  The Community Services Parks, Trails, and Recreation Master Plan was adopted by Town Council in May 2021. (Goal 8, Policy 1)  A crosswalk to Desert Vista Park was constructed in Fall of 2021 providing safe means for pedestrians, bike riders and those with mobility devices to cross Saguaro Blvd. Appurtenant sidewalks were constructed to provide connectivity to over 400 residences. (Goal 3, Policies 1-6)  The Town initiated an update to the long-range sidewalk plan. (Goal 3) Connectivity, Access and Mobility Element  On June 15, 2021, the Town adopted the Active Transportation Plan covering multi-modal aspects of connectivity access and mobility. Multi-use paths were installed at Desert Vista and Four Peaks Parks. (Goal 1, Policy 1)  Town staff is working on an intergovernmental agreement with MAG to fund helmets, vests, and training for crossing guards as a result of previous Safe Routes to School grant. (Goal 1, Parcel 7)  Staff is creating a site plan checklist that will incorporate parking design and aesthetics. (Goal 2, Policies 1-4.)  Although pertaining to Goal 1 of the Great Places Element, it is also worth repeating here that bike lanes were completed at Fountain Bills Blvd. The MAG regional bike map was subsequently amended to reflect this. Public Facilities and Services Element  The Community Services Parks, Trails, and Recreation Master Plan was adopted by Town Council in May 2021. (Goal 8, Policy 1) Natural Resources and Open Space Element  The McDowell Mountain Preservation Commission revised the Preserve Trail Master Plan (adopted April 2022). (Goal 3, Policy 1)  The “Take a Pic” campaign was launched all trailheads to encourage digital maps, thus reducing waste and litter of paper maps. (Goal 3, Policy 2) Economic Development Element  The Town obtained grant funding from the Fort McDowell Yavapai Nation to continue cross promotion efforts to attract tourism and visitors to the area through various media. (Goal 1)  The Town continues its partnership with the Fountain Hills Unified School District and Arizona Business Advisors in attracting education-related business amenities to the BizHub (formerly Four Peaks Elementary School). (Goal 5, Policy 4) Cost of Development Element  The Development Services department launched the Town Online Planning and Permitting System (TOPPS) to provide a streamlined design review process for development and redevelopment of the Town Center, Commerce Center, Saguaro Blvd and Shea Character Areas. (Goal 4, Policy 1) Policy Issues No policy issues have arisen at this time regarding the provisions of the General Plan. Since ratification of the 2020 General Plan was relatively recent, policy issues are more likely to arise as the Town advances further into plan implementation throughout the next several years. Recommendations for Amendments No revisions to the General Plan are recommended at this time. ITEM 7. I. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Consent Submitting Department: Community Services Prepared by: Jennifer Lyons, Senior Services Supervisor Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: of approving a Special Event Liquor License application for America's Sheriff, Inc. for a fundraiser to be held in the Grand Ballroom of the Fountain Hills Community Center, 13001 N. La Montana Drive, Fountain Hills, AZ 85268 on June 18, 2022, from 5pm to 9pm. Staff Summary (Background) A special event liquor license application was submitted by Dominick Cirone representing America's Sheriff, Inc., for submission to the Arizona Department of Liquor. The special event liquor license is being obtained for the purpose of holding a fundraising event at the Fountain Hills Community Center. All special event liquor license applicants are required to submit an application and pay a $25 fee for processing. Once the fee is paid and the application is reviewed by Town staff, the application is forwarded to the Town Council for review and consideration. After the application is approved by Town Council, the applicant will bring the signed paperwork to the Arizona Department of Liquor, and be issued a physical license to be displayed for the duration of the event. The special event liquor license application was reviewed by staff for compliance with Town ordinances and staff unanimously recommends approval of the application as submitted. Related Ordinance, Policy or Guiding Principle A.R.S. §4-203.02; 4-244; 4-261; and R19-1-228, R19-1-235, and R19-1-309. Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approval. SUGGESTED MOTION MOVE to approve. Attachments Liquor App redacted app receipt Form Review Inbox Reviewed By Date Community Services Director Rachael Goodwin 05/25/2022 05:35 PM Finance Director David Pock 05/25/2022 05:56 PM Town Attorney Aaron D. Arnson 05/25/2022 07:27 PM Town Manager Grady E. Miller 05/31/2022 10:06 AM Form Started By: Jennifer Lyons Started On: 05/23/2022 04:58 PM Final Approval Date: 05/31/2022 Fountain Hills Community Services 13001 N La Montana Dr. Fountain Hills, AZ 85268 480-816-5200 customerservicerepscc@fountainhillsaz.gov www.fountainhillsaz.gov Registration/Payment Receipt 38989066 05/23/2022 04:32 PM Payment Credit/Debit Ending in 1266 Merchant Code 3fd225c0-588e-4fbb-9c9f-a14d5b5d9e33 $25.00 Received By Michael McDonald at Community Center Item Amount Paid Special Event Liquor Application $25.00 Subtotal $25.00 Total Payment $25.00 Transaction Notes 6/18/22 Joe Arpaio Birthday Dominick Cirone Permit #2478 CANCELLATION: Refunds are based on the following: Ballroom Rentals - One-half of ballroom rental fees are non-refundable. If less than 120 days notice, all fees are forfeited. All Other Rooms - Full refund 60 days prior to event date; One-half refund 30-59 days prior to the event; no refund if less than 30 days prior to the event. If any room is booked within the period of time during which no refund would otherwise be allowed (120 days for a ballroom, 30 days for all other rooms), any cancellation will result in forfeiture of the entire rental amount. DAMAGE DEPOSIT: A damage deposit of Fifty Dollars ($50.00) per ballroom is required for ballroom rentals. Amount of refund will be determined by Center Supervisor or designee upon inspection of the Center immediately following the event. If no damage is found, the damage deposit will be applied to any outstanding charges for rental, equipment or services. Refund, if any, will be returned by mail to the LICENSEE.EVENT CLEAN UP: It is the responsibility of the LICENSEE to return their rental space(s) to the condition it was prior to their event. Refer to the Polices and Procedures Manual for complete details. ITEM 8. A. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Administration Prepared by: Kukkola Sonia, Financial Services Technician Staff Contact Information: David Pock, Finance Director Request to Town Council Regular Meeting (Agenda Language): PUBLIC HEARING, CONSIDERATION AND POSSIBLE ACTION: Approval of two Liquor License Applications for DC Bar & Grill/Desert Canyon Golf Club, located at 10440 N. Indian Wells Dr, Fountain Hills, Arizona, for a Series 12 (Restaurant) and a Series 07 (Beer & Wine) licenses. Staff Summary (Background) The purpose of this item is to obtain the Town Council's recommendation regarding two liquor license applications submitted by Sonja Goss, owner/agent of DC Bar & Grill/Desert Canyon Golf Club, for submission to the Arizona Department of Liquor. Staff reviewed the liquor license applications and found that it is in full compliance with Town ordinances. Related Ordinance, Policy or Guiding Principle A.R.S.§4-201; 4-202;4-203 &4-205 and R19-1-102 and R19-1-311. Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approval for the two liquor license applications. SUGGESTED MOTION MOVE to approve both series #12 and series #07 liquor license applications for DC Bar & Grill/Desert Canyon Golf Club. Attachments Application Series 7 Application Series 12 Department Recommendation Form Review Inbox Reviewed By Date Finance Director David Pock 05/24/2022 05:34 PM Town Attorney Aaron D. Arnson 05/25/2022 09:49 AM Town Manager Grady E. Miller 05/25/2022 03:29 PM Form Started By: Kukkola Sonia Started On: 05/24/2022 03:20 PM Final Approval Date: 05/25/2022 TOWN OF FOUNTAIN HILLS ADMINISTRATION DEPARTMENT INTER OFFICE MEMO TO: (as applicable) • Streets Division • Fire Department • Building Division • Community Services • Development Services • Law Enforcement • Licensing DATE: 5/19/22 FR: Sonia Kukkola, Financial Services Technician RE: Liquor License Application Attached are 2 Liquor License Application for staff review. Review the application, then mark or sign, indicating staff’s recommendation for approval (with or without stipulations) or denial. If staff’s recommendation is to deny and/or there are stipulations for approval, please attach a memo that specifies the reasoning and the memo will be forwarded on to the Town Council for their consideration of this application. Name of Organization: DC Bar & Grill, Fountain Hills AZ 85268 Applicant: Sonja Goss Date(s) of Event: N/A Date Applications Received: 5/12/22 Town Council Agenda Date: 6/7/22 STAFF REVIEW AND RECOMMENDATION: Department/Division Staff Member Approved Denied N/A P & Z John Wesley X Community Services Linda Ayres X Peter Johnson Building Safety X Fire Department Dave Ott X Law Enforcement Larry Kratzer X Licensing Sonia Kukkola X Street Department Jeff Pierce X Attach report for denial or any recommendation requiring stipulations. ITEM 8. B. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Administration Prepared by: David Pock, Finance Director Staff Contact Information: David Pock, Finance Director Request to Town Council Regular Meeting (Agenda Language): PUBLIC HEARING regarding Resolution 2022-19, approving the Final Budget for the Town of Fountain Hills for the fiscal year beginning July 1, 2022, and ending June 30, 2023. RECESS REGULAR MEETING OPEN SPECIAL MEETING CONSIDERATION of Resolution 2022-19 of the Mayor and Council of the Town of Fountain Hills, Arizona, approving the Final Budget for the Town of Fountain Hills for the fiscal year beginning July 1, 2022, and ending June 30, 2023. Staff Summary (background) The Proposed Budget for fiscal year 2022-23 was presented to the Town Council and the public during the Budget Workshop on April 12, 2022. Following the Budget Workshop, the Town Council approved the Tentative Budget on May 3, 2022, establishing the maximum expenditure amount for all funds at $46.1M. Resolution 2022-19 adopts the adjusted Tentative Budget as the Final Budget for the fiscal year beginning July 1, 2022, and ending June 30, 2023. Related Ordinance, Policy or Guiding Principle A.R.S. § 42-17105 Risk Analysis If not approved, the Town will not be in compliance with State Statute. Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends Council adoption of Resolution 2022-19. SUGGESTED MOTION 1) HOLD Public Hearing 2) RECESS INTO SPECIAL MEETING 3) MOVE to adopt Resolution 2022-19 4) RECONVENE INTO REGULAR MEETING Attachments RES 2022-019 2022-019 Exhibit A Presentations Form Review Inbox Reviewed By Date Finance Director (Originator)David Pock 05/24/2022 04:40 PM Town Attorney Aaron D. Arnson 05/25/2022 09:51 AM Town Manager Grady E. Miller 05/25/2022 03:30 PM Form Started By: David Pock Started On: 05/12/2022 07:12 AM Final Approval Date: 05/25/2022 1 RESOLUTION 2022-19 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, APPROVING THE FINAL BUDGET FOR THE TOWN OF FOUNTAIN HILLS FOR THE FISCAL YEAR BEGINNING JULY 1, 2022, AND ENDING JUNE 30, 2023 RECITALS: WHEREAS, in accordance with the provisions of Title 42, Chapter 17, Arizona Revised Statutes (the “Applicable Law”), the Mayor and Council of the Town of Fountain Hills (the “Tow n Council”) did, on May 3, 2022, prepare (i) a full and complete statem e nt of the Tow n’s financ ial affairs for the preceding fiscal yea r, (ii) an estimate of the different amounts that will be required to meet the Town’s public expense for the current fiscal year, including all of the i tems prescribed by ARIZ. REV. STAT. § 42-17102 and (iii) a summary schedule of estimated expenditures and reve nues, which was prepared according to forms supplied by the Auditor General and entered in the Town Council’s minutes; and WHEREAS, in accordance with the Applicable Law, and followin g due public notice, the Town Council m et on May 3, 2022, at which meeting any taxpayer was provided the opportunity to appear and be h ea rd in favor of or against any proposed expenditure or tax levy; and WHEREAS, publication has been duly made as required by law, of said estimates toget her with a notice that the Tow n Council would meet on June 7 , 2022, at the Fountain Hills Town Council Chambers, for the purpose of hearing taxpayers and with respect to sa id estimate or any proposed expenditure or tax levy. ENACTMENTS: NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF FOUNTAIN HILLS, as follows: SECTION 1. The recitals above are hereby incorporated as if fully set forth herein. SECTION 2. The statements and schedules attached hereto as Exhibit A and incorporated herein by reference, are hereby adopted as the budget of the Town of Fountain Hills, Arizona, for the fiscal year beginning July 1, 2022, and ending June 30, 2023. SECTION 3. The Mayor, the Town Manager, the Town Clerk and the Town Attorney are hereby authorized and directed to take all steps necessary to carry out the purpose and intent of this Resolution. 2 PASSED AND ADOPTED by the Mayor and Council of the Town of Founta in Hills, Arizona, June 7 , 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Pierce Coleman PLLC Town Attorney 3 EXHIBIT A TO RESOLUTION 2022-19 [Budget Statements and Schedules] See following pages. Official Budget Forms Town of Fountain Hills Fiscal year 2023 3/22 Arizona Auditor General Official Town Budget Forms Town of Fountain Hills Table of Contents Fiscal year 2023 Schedule A—Summary Schedule of estimated revenues and expenditures/expenses Schedule B—Tax levy and tax rate information Schedule G—Full-time employees and personnel compensation Schedule C—Revenues other than property taxes Schedule D—Other financing sources/(uses) and interfund transfers Schedule E—Expenditures/expenses by fund Schedule F—Expenditures/expenses by department (as applicable) 3/22 Arizona Auditor General Official Town Budget Forms Fiscal year General Fund Special Revenue Fund Debt Service Fund Capital Projects Fund Permanent Fund Enterprise Funds Available Internal Service Funds Total all funds 2022 Adopted/adjusted budgeted expenditures/expenses* E 1 19,836,760 12,064,970 2,360 6,223,000 0 0 997,003 39,124,094 2022 Actual expenditures/expenses** E 2 14,822,427 8,473,111 680 3,072,861 0 0 1,013,662 27,382,741 2023 Beginning fund balance/(deficit) or net position/(deficit) at July 1*** 3 13,139,630 3,078,948 179,770 6,311,609 0 0 7,664,369 30,374,326 2023 Primary property tax levy B 4 0 0 0 0 0 0 0 2023 Secondary property tax levy B 5 0 0 0 0 0 0 0 2023 Estimated revenues other than property taxes C 6 24,804,255 16,034,295 2,780 1,683,958 0 0 2,000 42,527,288 2023 Other financing sources D 7 0 0 0 0 0 0 0 0 2023 Other financing (uses) D 8 0 0 0 0 0 0 0 0 2023 Interfund transfers in D 9 0 2,697,340 0 275,000 0 0 1,890,575 4,862,915 2023 Interfund Transfers (out) D 10 4,422,980 164,935 0 275,000 0 0 0 4,862,915 2023 Line 11: Reduction for fund balance reserved for future budget year expenditures Maintained for future debt retirement 0 Maintained for future capital projects 4,208,150 4,208,150 Maintained for future financial stability 3,912,445 3,912,445 0 0 2023 Total financial resources available 12 29,608,460 21,645,648 182,550 7,995,567 0 0 5,348,794 64,781,019 2023 Budgeted expenditures/expenses E 13 24,804,255 12,540,331 15,560 8,149,040 0 0 633,300 46,142,486 Expenditure limitation comparison 2022 2023 1 Budgeted expenditures/expenses 39,124,094$ 46,142,486$ 2 Add/subtract: estimated net reconciling items (72,341) (112,689) 3 Budgeted expenditures/expenses adjusted for reconciling items 39,051,753 46,029,797 4 Less: estimated exclusions 7,501,102 14,159,411 5 Amount subject to the expenditure limitation 31,550,651$ 31,870,386$ 6 EEC expenditure limitation 31,747,291$ 31,896,371$ * ** *** Town of Fountain Hills Summary Schedule of estimated revenues and expenditures/expenses Fiscal year 2023 Includes actual amounts as of the date the proposed budget was prepared, adjusted for estimated activity for the remainder of the fiscal year. Amounts on this line represent beginning fund balance/(deficit) or net position/(deficit) amounts except for nonspendable amounts (e.g., prepaids and inventories) or amounts legally or contractually required to be maintained intact (e.g., principal of a permanent fund). S c h Funds Includes expenditure/expense adjustments approved in the current year from Schedule E. The city/town does not levy property taxes and does not have special assessment districts for which property taxes are levied. Therefore, Schedule B has been omitted. 11 3/22 Arizona Auditor General Schedule A Official Town Budget Forms 2022 2023 1. $$ 2. $ 3.Property tax levy amounts A. Primary property taxes $$ B. Secondary property taxes C.Total property tax levy amounts $$ 4.Property taxes collected* A. Primary property taxes (1) Current year's levy $ (2) Prior years’ levies (3) Total primary property taxes $ B. Secondary property taxes (1) Current year's levy $ (2) Prior years’ levies 37 (3) Total secondary property taxes $37 C. Total property taxes collected $37 5.Property tax rates A. City/Town tax rate (1) Primary property tax rate (2) Secondary property tax rate (3) Total city/town tax rate B. Special assessment district tax rates Secondary property tax rates—As of the date the proposed budget was prepared, the two (2)special assessment districts for which secondary property taxes are levied. For information pertaining to these special assessment districts and their tax rates, please contact the city/town. * city/town was operating Includes actual property taxes collected as of the date the proposed budget was prepared, plus estimated property tax collections for the remainder of the fiscal year. Amount received from primary property taxation in the current year in excess of the sum of that year's maximum allowable primary property tax levy. A.R.S. §42-17102(A)(18) Town of Fountain Hills Tax levy and tax rate information Fiscal year 2023 Maximum allowable primary property tax levy. A.R.S. §42-17051(A) Property tax judgment Property tax judgment Property tax judgment Property tax judgment 3/22 Arizona Auditor General Schedule B Official City/Town Budget Forms Estimated revenues Actual revenues* Estimated revenues 2022 2022 2023 General Fund Local taxes Local Sales Tax $13,826,923 $16,472,351 $14,426,223 Franchise Tax 434,896 400,130 325,000 Licenses and permits Business License Fees 115,464 129,888 116,619 Liquor License Fees 2,000 2,367 500 Building Permit Fees 395,923 748,786 408,398 Sign Permits 3,350 4,887 3,350 Landscape Permit Fees 16,800 17,467 16,800 Subdivision Fees 52,250 111,100 52,250 Special Event Permits 8,750 20,952 8,500 Engineering Fees 5,900 16,460 5,900 Third Party Revenues Planning & Zoning Fees 16,185 9,216 16,095 Plan Review Fees 275,698 83,361 96,750 Intergovernmental State Sales Tax 2,958,864 3,532,577 3,409,475 Fire Insurance Premium Tax 47,560 47,560 48,036 Vehicle License Tax 350,592 370,546 338,350 Shared Income Tax 3,288,000 3,523,078 4,597,467 Charges for services Parks & Rec User Fees 235,475 207,389 243,475 Encroachment Fees 35,000 476,032 35,000 Variances 4,300 7,840 4,300 Inspection Fees 17,000 66,177 17,000 Leases & Rents 282,379 352,430 299,872 Fines and forfeits Court Fines 189,000 216,409 205,000 Interest on investments Interest on Investments 24,000 (181,243)24,000 In-lieu property taxes Contributions Voluntary contributions 47,545 64,758 60,845 Miscellaneous Miscellaneous 44,440 390,648 45,050 Total General Fund $22,678,294 $27,091,165 $24,804,255 * Town of Fountain Hills Revenues other than property taxes Fiscal Year 2023 Includes actual revenues recognized on the modified accrual or accrual basis as of the date the proposed budget was prepared, plus estimated revenues for the remainder of the fiscal year. Source of revenues 3/22 Arizona Auditor General Schedule C Official City/Town Budget Forms Estimated revenues Actual revenues* Estimated revenues 2022 2022 2023 Town of Fountain Hills Revenues other than property taxes Fiscal Year 2023 Source of revenues Special revenue funds Highway User Revenue Fund Highway User Tax $1,676,376 1,825,749 1,889,520 Vehicle License Tax 818,040 864,607 789,485 Local Sales Tax 1,145,328 1,332,346 1,197,552 In-Lieu Fees 200,000 3,796 100,000 Recycle Proceeds 1,000 2,485 1,000 Interest 24,000 457 10,000 Miscellaneous 30,000 14,736 30,000 $3,894,744 $4,044,175 $4,017,557 Downtown Strategy Fund Sales-Excise Tax $114,528 133,235 119,755 Interest 1,260 (7,744)1,260 $115,788 $125,490 $121,015 Economic Development Fund Sales-Excise Tax $458,136 532,938 479,021 Miscellaneous Interest 240 24 240 $458,376 $532,963 $479,261 Tourism Fund Grants $50,000 66,350 65,000 Interest 180 35 180 Miscellaneous 1,621 $50,180 $68,007 $65,180 Special Revenue - Grants Intergovernmental-State $1,190,000 97,209 1,190,000 Intergovernmental-Federal $3,006,550 4,208,150 10,000,000 $4,196,550 $4,305,359 $11,190,000 Public Art In-Lieu Fees $100,000 100,000 Interest 240 12 240 $100,240 $12 $100,240 Court Enhancement Fund Court Enhancement/JCEF Revenue $49,000 29,103 49,000 Interest 900 123 900 $49,900 $29,226 $49,900 Environmental Fund Environmental Fee $11,066 Interest 2,400 72 2,400 $2,400 $11,138 $2,400 Cottonwoods Maintenance District Assessments $6,381 6,432 8,670 Interest Income $72 2 72 $6,453 $6,434 $8,742 Total special revenue funds $8,874,631 $9,122,804 $16,034,295 *Includes actual revenues recognized on the modified accrual or accrual basis as of the date the proposed budget was prepared, plus estimated revenues for the remainder of the fiscal year. 3/22 Arizona Auditor General Schedule C Official City/Town Budget Forms Estimated revenues Actual revenues* Estimated revenues 2022 2022 2023 Town of Fountain Hills Revenues other than property taxes Fiscal Year 2023 Source of revenues Debt service funds General Obligation Debt Service Interest Income 1,200 22 1,200 $1,200 $22 $1,200 Eagle Mountain CFD Assessments 6,444 1,380 Interest Income 240 2 100 $240 $6,446 $1,480 Municipal Property Corp Interest Income 840 2 100 $840 $2 $100 Total debt service funds $2,280 $6,470 $2,780 Capital projects funds Capital Projects Fund Sales Tax-Local 1,117,416 848,145 1,141,951 Grants 472,344 70,000 Interest 19,200 (154,018)10,000 $1,608,960 $694,127 $1,221,951 Fire Development Fee Fund Development Fees 23,623 34,601 15,221 Interest Income 2,400 56 1,000 $26,023 $34,657 $16,221 Streets Development Fee Fund Development Fees 331,074 300,505 239,438 Interest Income 25 1,000 $331,074 $300,530 $240,438 Parks & Recreation Development Fee Fund Development Fees 336,517 276,289 204,348 Interest Income 4,800 162 1,000 $341,317 $276,451 $205,348 Total capital projects funds $2,307,374 $1,305,764 $1,683,958 *Includes actual revenues recognized on the modified accrual or accrual basis as of the date the proposed budget was prepared, plus estimated revenues for the remainder of the fiscal year. 3/22 Arizona Auditor General Schedule C Official City/Town Budget Forms Estimated revenues Actual revenues* Estimated revenues 2022 2022 2023 Town of Fountain Hills Revenues other than property taxes Fiscal Year 2023 Source of revenues Permanent funds N/A $$$ $$$ Total permanent funds $$$ Enterprise funds N/A $$$ $$$ Total enterprise funds $$$ *Includes actual revenues recognized on the modified accrual or accrual basis as of the date the proposed budget was prepared, plus estimated revenues for the remainder of the fiscal year. 3/22 Arizona Auditor General Schedule C Official City/Town Budget Forms Estimated revenues Actual revenues* Estimated revenues 2022 2022 2023 Town of Fountain Hills Revenues other than property taxes Fiscal Year 2023 Source of revenues Internal service funds Facilities Reserve Fund Miscellaneous Interest Income 7,200 (152,759)1,000 $7,200 $(152,759)$1,000 Technology Replacement Fund Interest Income 66 $$66 $ Vehicle Replacement Fund Miscellaneous Interest Income 2,400 225 1,000 $2,400 $225 $1,000 Total internal service funds $9,600 $(152,469)$2,000 Total all funds $33,872,179 $37,373,735 $42,527,288 *Includes actual revenues recognized on the modified accrual or accrual basis as of the date the proposed budget was prepared, plus estimated revenues for the remainder of the fiscal year. 3/22 Arizona Auditor General Schedule C Official City/Town Budget Forms Fund Sources (Uses)In (Out) General Fund Streets Fund $$$$2,100,000 Environmental Fund 500,000 Facilities Reserve Fund 1,500,000 Technology Replacement Fund 57,263 Vehicle Replacement Fund 265,717 Total General Fund $$$$4,422,980 Special revenue funds Streets Fund from General Fund $$$2,100,000 $ Environmental Fund from Gen Fund 500,000 Tourism Fund from Economic Dev 97,340 Economic Dev Fund to Tourism Fund 97,340 Special Revenue Funds to Tech Repl.7,754 Special Revenue Funds to Vehicle Repl.59,841 Total special revenue funds $$$2,697,340 $164,935 Debt service funds N/A $$$$ Total debt service funds $$$$ Capital projects funds Capital Projects Fund $$$275,000 $ Parks & Rec Development Fee Fund 275,000 Total capital projects funds $$$275,000 $275,000 Permanent funds N/A $$$$ Total permanent funds $$$$ Enterprise funds N/A $$$$ Total enterprise funds $$$$ Internal service funds Facilities Reserve Fund from Gen Fund $$$1,500,000 $ Technology Replacement Fund 65,017 Vehicle Replacement Fund 325,558 Total Internal Service Funds $$$1,890,575 $ Total all funds $$$ 4,862,915 $ 4,862,915 2023 2023 Town of Fountain Hills Other financing sources/(uses) and interfund transfers Fiscal year 2023 Other financing Interfund transfers 3/22 Arizona Auditor General Schedule D Official City/Town Budget Forms Adopted budgeted expenditures/ expenses Expenditure/ expense adjustments approved Actual expenditures/ expenses* Budgeted expenditures/ expenses Fund/Department 2022 2022 2022 2023 General Fund Mayor & Town Council $74,929 $$68,169 $76,619 Administration 2,480,581 74,800 2,540,246 2,672,360 General Government 4,622,841 1,203,712 924,754 5,141,607 Municipal Court 428,144 455,565 446,749 Public Works 1,251,933 6,500 1,130,714 1,497,800 Development Services 1,183,415 1,170,929 1,359,678 Community Services 3,195,568 81,604 3,228,118 3,695,572 Fire & Emergency Medical 4,286,584 (3,158,676)1,199,106 4,457,834 Law Enforcement 5,154,300 (1,049,474)4,104,827 5,456,036 Total General Fund $22,678,294 $(2,841,534)$14,822,427 $24,804,255 Special revenue funds Streets Fund $5,846,567 $$2,407,620 $5,908,110 Downtown Strategy Fund 40,200 20,000 61,792 65,200 Economic Development Fund 244,499 185,792 225,920 Tourism Fund 210,893 150,932 277,114 Special Revenue Fund 2,055,981 2,779,169 4,962,111 5,190,000 Public Art Fund 144,649 28,227 144,649 Court Enhancement Fund 78,800 19,995 89,850 Environmental Fund 627,082 641,262 627,100 Cottonwoods Maint District 17,131 15,380 12,388 Total special revenue funds $9,265,802 $2,799,169 $8,473,111 $12,540,331 Debt service funds General Obligation Bonds $350 $$$350 Eagle Mountain CFD 1,000 667 14,200 Municipal Property Corp 1,010 13 1,010 Total debt service funds $2,360 $$680 $15,560 Capital projects funds Capital Projects $6,223,000 $$3,072,861 $8,149,040 Fire/Emergency Dev Fee Streets Dev Fee Park/Rec Dev Fee Total capital projects funds $6,223,000 $$3,072,861 $8,149,040 Permanent funds N/A $$$$ Total permanent funds $$$$ Enterprise funds N/A $$$$ Total enterprise funds $$$$ Internal service funds Facilities Reserve Fund $848,638 $23,730 $944,844 $550,000 Technology Replacement Fund 50,000 43,971 50,000 Vehicle Replacement Fund 56,000 18,635 24,847 33,300 Total internal service funds $954,638 $42,365 $1,013,662 $633,300 Total all funds $ 39,124,094 $0 $ 27,382,741 $ 46,142,486 * Expenditures/expenses by fund Fiscal year 2023 Town of Fountain Hills Includes actual expenditures/expenses recognized on the modified accrual or accrual basis as of the date the proposed budget was prepared, plus estimated expenditures/expenses for the remainder of the fiscal year. 3/22 Arizona Auditor General Schedule E Official City/Town Budget Forms Adopted budgeted expenditures/ expenses Expenditure/ expense adjustments approved Actual expenditures/ expenses* Budgeted expenditures/ expenses 2022 2022 2022 2023 Mayor & Council General Fund $74,929 $$68,169 $76,619 Department total $74,929 $$68,169 $76,619 Administration General Fund $2,480,581 $74,800 $2,540,246 $2,672,360 Downtown Strategy Fund 40,200 20,000 61,792 65,200 Economic Development Fund 244,499 185,792 225,920 Tourism Fund 210,893 150,932 277,114 Special Revenue Fund 2,055,981 2,779,169 4,962,111 5,190,000 General Obligation Debt 350 350 Eagle Mountain CFD 1,000 667 14,200 Municipal Property Corp 1,010 13 1,010 Cottonwoods Maint District 17,131 15,380 12,388 Capital Projects 299,000 (8,938)678 460,640 Technology Replacement Department total $5,350,644 $2,865,031 $7,917,611 $8,919,182 General Government General Fund $4,622,841 $1,203,712 $924,754 $5,141,607 Technology Replacement 50,000 43,971 50,000 Vehicle Replacement 56,000 18,635 24,847 33,300 Department total $4,728,841 $1,222,347 $993,572 $5,224,907 Municipal Court General Fund $428,144 $$455,565 $446,749 Court Enhancement Fund 78,800 19,995 89,850 Department total $506,944 $$475,560 $536,599 Public Works General Fund $1,251,933 $6,500 $1,130,714 $1,497,800 Streets Fund 5,846,567 2,407,620 5,908,110 Environmental Fund 627,082 641,262 627,100 Capital Projects 3,589,000 8,938 1,463,035 4,870,600 Facilities Replacement Fund 848,638 23,730 944,844 550,000 Vehicle Replacement Department total $12,163,220 $39,168 $6,587,476 $13,453,610 Development Services General Fund $1,183,415 $$1,170,929 $1,359,678 Department total $1,183,415 $$1,170,929 $1,359,678 Community Services General Fund $3,195,568 $81,604 $3,228,118 $3,695,572 Public Art Fund 144,649 28,227 144,649 Capital Projects 2,285,000 1,609,148 2,817,800 Park/Rec Development Fee Department total $5,625,217 $81,604 $4,865,492 $6,658,021 Fire & Emergency Medical General Fund $4,286,584 $(3,158,676)$1,199,106 $4,457,834 Department total $4,286,584 $(3,158,676)$1,199,106 $4,457,834 Law Enforcement General Fund $5,154,300 $(1,049,474)$4,104,827 $5,456,036 Department total $5,154,300 $(1,049,474)$4,104,827 $5,456,036 * Expenditures/expenses by department Fiscal year 2023 Town of Fountain Hills Includes actual expenditures/expenses recognized on the modified accrual or accrual basis as of the date the proposed budget was prepared, plus estimated expenditures/expenses for the remainder of the fiscal year. Department/Fund 3/22 Arizona Auditor General Schedule F Official City/Town Budget Forms Full-time equivalent (FTE) Employee salaries and hourly costs Retirement costs Healthcare costs Other benefit costs Total estimated personnel compensation 2023 2023 2023 2023 2023 2023 67.85 $ 4,494,108 $482,504 $489,632 $289,830 $ 5,756,074 Streets Fund 6.05 $469,053 $57,155 $78,153 $49,026 $653,387 Economic Development Fund 1.00 130,000 15,860 14,593 8,378 168,831 Tourism Fund 1.00 77,818 9,494 7,682 3,280 98,274 Total special revenue funds 8.05 $676,871 $82,509 $100,428 $60,684 $920,492 $$$$$ Total debt service funds $$$$$ $$$$$ Total capital projects funds $$$$$ $$$$$ Total permanent funds $$$$$ $$$$$ Total enterprise funds $$$$$ $$$$$ Total internal service fund $$$$$ Total all funds 75.90 $ 5,170,979 $565,013 $590,060 $350,514 $ 6,676,566 Fund Town of Fountain Hills Full-time employees and personnel compensation Fiscal year 2023 General Fund Internal service funds Special revenue funds Debt service funds Capital projects funds Permanent funds Enterprise funds 3/22 Arizona Auditor General Schedule G Official City/Towns Budget Forms TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV/BUDGET FY23 Final Budget David Pock, Finance Director June 7, 2022 WWW.FOUNTAINHILLSAZ.GOV/BUDGET Accounts for 61% of budgeted revenue in General Fund •Total Sales Tax (TPT) for All Funds •$14.6M Collected •$13.6M Budgeted •Construction •$1.4M Collected •77% of budget-to-date •Utilities/Communications •$1.3M Collected •101% of budget-to-date •Wholesale/Retail •$8.2M Collected •103% of budget-to-date •Restaurant/Bars •$1.2M Collected •151% of budget-to-date •Real Estate •$946K Collected •99% of budget-to-date •Services •$1.6M Collected •185% of budget-to-date $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 $2,000 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 1 2 3 4 5 6 7 8 9 10 11 12ThousandsTotal TPT Collections by Fiscal Year & Period 2018 2019 2020 2021 2022 TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV/BUDGET FY22 Year-End Estimates WWW.FOUNTAINHILLSAZ.GOV/BUDGET 6/30/2021 (actual) 6/30/2022 (estimated) Change % Streets Fund $876,905 $1,400,000 59.7% GO Debt Service Fund 150,292 150,000 -0.2% MPC Debt Service Fund 11,027 11,000 -0.2% Eagle Mountain CFD Debt Service Fund 14,212 18,600 30.9% Cottonwood Maintenance District Fund 23,572 11,800 -49.9% Fire & EMS Development Fee Fund 359,921 388,900 8.1% Streets Development Fee Fund 81,744 349,400 327.4% Parks Development Fee Fund 1,015,454 1,224,600 20.6% Total Restricted Fund Balance $2,533,127 $3,554,300 40.3% Restricted Funds (Externally restricted by statute or entity) WWW.FOUNTAINHILLSAZ.GOV/BUDGET Committed Funds (Imposed by Council action) 6/30/2021 (actual) 6/30/2022 (estimated) Change % Stabilization Fund (Rainy Day)$3,296,434 $3,912,400 18.7% Capital Projects Fund 3,305,053 3,411,000 3.2% Downtown Strategy Fund 449,768 305,400 -32.1% Economic Development Fund 156,419 295,400 88.9% Tourism Fund 124,129 179,100 44.3% Public Art Fund 90,999 80,300 -11.8% Court Enhancement Fund 395,121 379,100 4.1% Total Committed Fund Balance $7,817,923 $8,562,700 9.5% WWW.FOUNTAINHILLSAZ.GOV/BUDGET Assigned Funds (Imposed by Town policy) 6/30/2021 (actual) 6/30/2022 (estimated) Change % Environmental Fund $365,381 $301,400 -17.5% Facilities Reserve Fund 1,192,305 5,917,300*396.3% Technology Replacement Fund 95,787 116,900 22.0% Vehicle Replacement Fund 1,373,883 1,678,000 22.1% Total Assigned Fund Balance $3,027,356 $8,013,600 164.7% Unassigned Funds (Budgeted Operational Expenditures) 6/30/2021 (actual) 6/30/2022 (estimated) Change % Total Unassigned Fund Balance $10,985,196*$8,462,100 -23.0% * Includes $4.2M ARPA savings * Included $2.5M CARES Act funding WWW.FOUNTAINHILLSAZ.GOV/BUDGET Summary All Funds 6/30/2021 (actual) 6/30/2022 (estimated) Restricted $2,533,127 $3,554,300 Committed 7,817,923 8,562,700 Assigned 3,027,356 8,013,600 Unassigned 10,985,196*8,462,100 Total Fund Balance $24,363,602 $28,592,700 Stability Metrics As of 6/30/2021 As of 6/30/2022 5-Year General Fund Annual Average Revenues $16,482,170 $17,396,332 Unassigned Balance As % of Average Revenues 66.5%*/51.5%48.6% Unassigned Balance As # of Months of Average Revenue 8.0*/6.2 5.8 * Included $2.5M CARES Act funding * Included $2.5M CARES Act funding WWW.FOUNTAINHILLSAZ.GOV/BUDGET Notes & Updates to Tentative Budget •Tentative Budget was adopted on May 3, 2022 •Set maximum FY23 budget at $46,142,486 •$4.4M in General Fund contingency •$5.0M in Special Revenue Fund contingency (Infrastructure Grants) •No substantive changes requested by Council •Final FY23 town-wide budget for all funds is $46,142,486 •General Fund budgeted expenditures excluding contingency •$19.7M for FY21-22* •$20.4M for FY22-23 •3.6% increase in General Fund *Including public safety contracts from Grants Fund TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV/BUDGET General Fund WWW.FOUNTAINHILLSAZ.GOV/BUDGET General Fund WWW.FOUNTAINHILLSAZ.GOV/BUDGET General Fund -Revenues Name FY2022 Adopted Budget FY2023 Budgeted FY2022 Adopted vs. FY2023 Budgeted (% Change) Revenue Source Taxes $13,826,923 $14,426,223 4.3% Intergov Revenue $7,197,376 $8,835,447 22.8% Licenses & Permits $831,786 $664,973 -20.1% Leases & Rents $282,379 $299,872 6.2% Charges For Services $235,475 $243,475 3.4% Other $91,355 $105,265 15.2% Fines & Forfeitures $189,000 $205,000 8.5% Investment Earnings $24,000 $24,000 0% Total Revenue Source:$22,678,294 $24,804,255 9.4% WWW.FOUNTAINHILLSAZ.GOV/BUDGET General Fund -Expenditures Name FY2022 Adopted Budget FY2023 Budgeted FY2022 Adopted vs. FY2023 Budgeted (% Change) Expenditures General Government*$7,606,494 $8,337,335 9.6% Development Services $1,183,416 $1,359,678 14.9% Public Safety $9,440,884 $9,913,870 5% Public Works $1,251,933 $1,497,800 19.6% Culture & Recreation $3,195,569 $3,695,572 15.6% Total Expenditures:$22,678,296 $24,804,255 9.4% *Includes $4.4M in contingency TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV/BUDGET Streets Fund WWW.FOUNTAINHILLSAZ.GOV/BUDGET Streets Fund WWW.FOUNTAINHILLSAZ.GOV/BUDGET Streets Fund -Revenues Name FY2022 Adopted Budget FY2023 Budgeted FY2022 Adopted vs. FY2023 Budgeted (% Change) Revenue Source Taxes $1,145,328 $1,197,552 4.6% Transfers In $2,000,000 $2,100,000*0% Intergov Revenue $2,494,416 $2,679,005 7.4% Charges For Services $200,000 $100,000 -50% Other $31,000 $31,000 0% Investment Earnings $24,000 $10,000 -58.3% Total Revenue Source:$5,894,744 $6,117,557 3.8% *Suggested transfer from General Fund WWW.FOUNTAINHILLSAZ.GOV/BUDGET Streets Fund -Expenditures Name FY2022 Adopted Budget FY2023 Budgeted FY2022 Adopted vs. FY2023 Budgeted (% Change) Expense Objects Payroll Expenses $605,735 $653,387 7.9% Other Expenses $4,977,479 $4,991,371*0.3% Internal Service $63,352 $63,352 0% Contingency $200,000 $200,000 0% Total Expense Objects:$5,846,566 $5,908,110 1.1% *Includes $3.9M for pavement maintenance TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV/BUDGET Capital Projects Fund WWW.FOUNTAINHILLSAZ.GOV/BUDGET Capital Projects Fund WWW.FOUNTAINHILLSAZ.GOV/BUDGET Capital Projects Fund -Expenditures Name FY2022 Adopted Budget FY2023 Budgeted FY2022 Adopted vs. FY2023 Budgeted (% Change) Expenditures General Government $299,000 $460,640 54.1% Public Works $3,639,000 $5,002,400 37.5% Culture & Recreation $2,285,000 $2,686,000 17.5% Total Expense Objects:$6,223,000 $8,149,040 31% WWW.FOUNTAINHILLSAZ.GOV/BUDGET FY23 Capital Projects Public Works Requests •Sidewalk Infill and Design $ 300,000 •Saguaro & La Montana Intersection Improvements $ 150,000 •Palisades & La Montana Intersection Improvements $ 150,000 •Miscellaneous Drainage Improvements $ 50,000 •Golden Eagle Impoundment Area Improvements $ 1,500,000 •Phase II Panorama Drive Storm Drain Improvements $ 1,025,000 •Brantley Detention Basin $ 450,000 •Town Wide Storm Water Infrastructure Rehabilitation $ 150,000 •Pedestrian Access & Lake Overlook $ 131,800** •Video Surveillance Cameras $ 75,000 •Wayfinding Signs $ 235,000 •Saguaro and Avenue of the Fountains Roundabout $ 260,600** •Community Center Renovations Phase II $ 275,000 •Fountain Hills Area Drainage Master Planning and Design $ 150,000 •Shea Blvd Widening (Carryover from FY22)$ 100,000 Total: $5,002,400 **Council approval required prior to staff start WWW.FOUNTAINHILLSAZ.GOV/BUDGET FY23 Capital Projects Parks Requests •Fountain Park $ 211,000 •Four Peaks Park $ 235,000 •Desert Vista Park $ 940,000* •Golden Eagle Park $ 850,000 •Fountain Park Sidewalk Replacement $ 100,000 •Desert Vista Dog Park Drainage Improvements $ 75,000 •Centennial Pavilion $ 275,000** Total: $ 2,686,000 FY23 Capital Projects Summary •Public Works Requests $ 5,002,400 •Parks Requests $ 2,686,000 Total: $ 7,688,400 *$275K from Park Dev Fees **Council approval required prior to staff start TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV/BUDGET General Fund Transfers WWW.FOUNTAINHILLSAZ.GOV/BUDGET General Fund Transfers Transfer to:FY2022 Transfers FY2023 Recommendations FY2022 vs. FY2023 (% Change) Streets Fund $2,000,000 $4,200,000 110% Facilities Reserve Fund $1,500,000 *$1,500,000 0% Environmental Fund $500,000 $500,000 0% Total transfers $4,000,000 $6,200,000 55.0% *$1.0M earmarked for lake liner TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV/BUDGET Questions ITEM 8. C. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Administration Prepared by: David Pock, Finance Director Staff Contact Information: David Pock, Finance Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Resolution 2022-20 adopting and establishing the FY23 Budget Implementation Policy and approving the Town Organization Charts, the FY23 Pay Plans, the Schedule of Authorized Positions, the updated Employee Job Descriptions, and the FY23 Comprehensive Fee Schedule. Staff Summary (background) Resolution 2022-20 establishes certain budget policies and procedures governing the expenditures and determinations of budget for the various departments and programs, supplementing budget adoption Resolution 2022-19. This resolution is necessary to provide for a more consistent and uniform administration of the Town budget for FY 2022-23. Staff is also requesting that the Town Council consider and approve the FY 2022-23 organization charts, pay plans, schedule of authorized positions, updated employee job descriptions, and comprehensive fee schedule. Related Ordinance, Policy or Guiding Principle Town Code Section 3-1-1 2020 Amended and Restated Financial Policies Risk Analysis If not adopted, consistency in budget administration, organization structure, pay plans, job descriptions, and user fees could be diminished. Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends adoption of Resolution 2022-20. SUGGESTED MOTION MOVE to adopt Resolution 2022-20. Attachments Resolution 2022-20 2022-20 Exhibit A 2022-20 Exhibit B 2022-20 Exhibit C Form Review Inbox Reviewed By Date Finance Director (Originator)David Pock 05/24/2022 02:27 PM Town Attorney Aaron D. Arnson 05/24/2022 02:40 PM Town Manager Grady E. Miller 05/31/2022 10:02 AM Form Started By: David Pock Started On: 05/12/2022 07:13 AM Final Approval Date: 05/31/2022 RESOLUTION 2022-20 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, ADOPTING AND ESTABLISHING THE 2022-23 BUDGET IMPLEMENTATION POLICY AND APPROVING THE TOWN ORGANIZATION CHARTS, THE 2022-23 PAY PLANS, THE SCHEDULE OF AUTHORIZED POSITIONS, THE EMPLOYEE JOB DESCRIPTIONS, AND THE 2022-23 COMPREHENSIVE FEE SCHEDULE RECITALS: WHEREAS, the Mayor and Council of the Town of Fountain Hills (the “Town Council”), pursuant to ARIZ. REV. STAT. § 9-240 (B)(2), is vested with the power to determine the budgets of all Town departments; and WHEREAS, the Town Council, in order to provide for consistent and uniform administration of the Town’s monies and to maximize savings of funds by monitoring expenditures, has determined it necessary to adopt a budget implementation policy for the FY 2022-23 Town Budget (the “2022- 23 Budget Policy”) governing the expenditures within the FY 2022-23 Town of Fountain Hills budget; and WHEREAS, pursuant to Subsection 3-1-1(H)(3) of the Town Code, the Town Council must approve the organization charts and job descriptions for employees of the Town. ENACTMENTS: NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF FOUNTAIN HILLS, as follows: SECTION 1. The recitals above are hereby incorporated as if fully set forth herein. SECTION 2. The Town Council hereby adopts the 2022-23 Budget Implementation Policy in substantially the form and substance attached hereto as Exhibit A and incorporated herein by reference. SECTION 3. The Town Council hereby approves and authorizes (i) the Town of Fountain Hills Organization Charts, (ii) the 2022-23 Pay Plans, (iii) the Schedule of Authorized Positions and (iv) the Employee Job Descriptions, all in substantially the form and substance attached hereto as Exhibit B and incorporated herein by reference. SECTION 4. The Town Council hereby approves the 2022-23 Comprehensive Fee Schedule, effective July 1, 2022, in the form attached hereto as Exhibit C and incorporated herein by reference. SECTION 5. The Mayor, the Town Manager, the Town Clerk, and the Town Attorney are hereby authorized and directed to take all steps necessary to carry out the purpose and intent of this Resolution. RESOLUTION 2022-20 PAGE 2 PASSED AND ADOPTED by the Mayor and Council of the Town of Fountain Hills, Arizona, this 7th day of June, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Pierce Coleman PLLC Town Attorney RESOLUTION 2022-20 PAGE 3 EXHIBIT A TO RESOLUTION 2022-20 [2022-23 Budget Implementation Policy] See following pages. 1 TOWN OF FOUNTAIN HILLS 2022-23 BUDGET IMPLEMENTATION POLICY 1. Definitions. The following definitions shall apply for purposes of this policy. A. “Budget Unit” is a Town department as designated on the Town’s organization chart, including the Town Municipal Court. B. “Capital Expenditures” are those capital expenditures exceeding $50,000 that require the approval of the Town Manager and Town Council. C. “Contingency” appropriation used for unforeseen, emergency, or critical needs when current budget appropriation is inadequate and revenues are adequate to support. D. “Fund” is a fiscal and accounting mechanism with a self-balancing set of accounts recording cash and financial resources. 2. Transfer of Funds. A. Transfers within a Fund. After adoption of the fiscal budget by the Town Council, any Budget Unit has the authority to reprogram funds within its department’s line items. These departments of the budget will be controlled by bottom line total only. Transfers between General Fund departments are allowed with the approval of the Department Director, Finance Director, and Town Manager. A report of each transfer will be approved by the Department Director and submitted to the Finance Division through the financial accounting system for processing. Final approval shall be vested with the Town Manager, or their designee, whose decision shall be final and conclusive. B. Transfers between Funds. After adoption of the fiscal budget by the Town Council, any budgetary transfer between Funds will require approval from the Town Council according to the standards set forth in ARS §42- 17106. Prior to any transfer, the Department must provide sufficient documentation to the Town Manager and the Town Council that funding exists. C. Reprogramming of Wages. No funds may be reprogrammed to or from the “wages” section of the Budget Unit’s adopted budget without consultation with, and approval by, the Town Manager. The requesting Department Director must submit a memorandum and any necessary supporting documentation to the Town Manager, and the Town Manager will notify the Finance Division of approved transfers of funds to or from the “wages” section of the budget. D. Reprogramming of Capital Funds. No funds may be reprogrammed to or 2 from the “capital expenditures” section of the Budget Unit’s adopted budget without consultation with, and approval by, the Town Manager and the Town Council. The requesting Department Director must submit a memorandum and any necessary supporting documentation to the Town Manager. If approved by the Town Council, the Town Manager will notify the Finance Division of the reprogrammed funds. E. Carryover Appropriations. The Finance Division may approve appropriation transfers for carried over operating/capital items (i.e., IT infrastructure, equipment, vehicles and facility improvements) if the Town Council previously appropriated the operating/capital item in a prior fiscal year. All carryover appropriation transfers must be submitted to the Town Council for approval, and all carryover appropriation transfers shall be reflected in the appropriate budget reports. 3. Expenditure Restrictions. A. Budget Hold for Prior Exceedance. Any General Fund Budget Unit that exceeded its budget in the prior fiscal year may be subject to immediate budget hold status in the current fiscal year. However, if a Budget Unit exceeded its budget in the prior fiscal year due to a one-time emergency purchase, and proof of such an emergency (in a form acceptable to the Town Manager) can be shown, the budget hold status will be removed. B. Remedies for Budget Exceedance. Once a Budget Unit has exceeded its expenditure limitation, the Finance Division shall notify the Budget Unit, in writing, that the appropriate expenditure limit has been exceeded. The Budget Unit must then consult and reach an agreement with the Finance Division and the Town Manager regarding the remedies available to either restore spending to a level approved in the budget for the balance of the fiscal year or to request additional funds as set forth in Subsection 3(C) below. C. Requests for Additional Funds. When additional funds from other sources are requested, the Finance Division and Town Manager must concur before the Budget Unit may expend the additional funds. If the expenditure of additional funds will require a budget transfer, the recommendation shall be forwarded to the Town Council for approval. Any Budget Unit that has exceeded its limitations shall submit an expenditure reduction program to the Town Manager through the Finance Division as part of any request for additional expenditures. The expenditure reduction program shall include, but not be limited to, consideration of reductions in force of budgeted and authorized positions, termination of all travel expenditures, suspension or termination of contracts and such other expenditure reductions as the Budget Unit deems appropriate. 4. Fund Balance. All budget considerations, including expenditure of appropriated 3 funds, shall adhere to the Town of Fountain Hills Financial Policies, Amended and Restated May 5, 2020, or the most recent version of later-adopted editions of such financial policies. 5. Fiscal Priorities. The 2022-23 budget is intended to implement the Town Council’s top fiscal priorities. 6. Positions. A. General Provisions. (1) Section 3-1-1 of the Town Code states that the Town Manager shall be the administrative officer of the Town government and may appoint and, when necessary, suspend or remove all employees of the Town, except those officers appointed by the Town Council. All appointments and removals shall be based upon merit and upon the qualifications and disqualifications of such employee without regard to any political belief or affiliation; prior to any creation, combination, consolidation or deletion of any positions of employment, written job descriptions or amendments thereto shall have been approved by the Town Council. (2) All requests for new positions or reclassification of existing positions, regardless of the funding source, must be approved by the Town Council. Reclassification of existing positions (filled and vacant) should include justification of why budget savings, including savings from deleted positions, should be used to create new positions and how the position will align/impact Town strategic priorities and departmental goals. Departments must submit their requests to Administrative Services, and Administrative Services will review job description and salary information prior to forwarding information to the Town Manager. The Town Manager will review and make a recommendation to the Town Council to either approve or deny the request. (3) Intergovernmental agreements, grants, etc. that require/authorize additional positions must be approved by the Town Council. The position and the budgetary impact must be fully disclosed to Administrative Services and the Finance Division, which shall be responsible for analyzing the input and presenting such analysis to the Town Council in conjunction with any request for approval as part of an intergovernmental agreement, grant, or other agreement. (4) All authorized positions must be fully funded by the General Fund, a Special Revenue Fund, or a grant. If a position becomes unfunded or under-funded by its original funding source, it must be fully funded immediately from other sources or eliminated. An under- 4 funded position is a position for which a department/funding source has only 1% to 99% of the funding required to support it on an annualized basis. If eliminating unfunded or under-funded positions results in a Reduction in Force, the Administrative Services Director shall prepare a layoff plan for approval by the Town Manager. B. Fiscal Year 2022-23 Authorized Positions. The following lists position revisions: Salary and Job Description Reclassification: • Recreation Program Coordinator to Senior Recreation Program Coordinator • Senior Services Supervisor to Community Center Program Coordinator • Community Services Director to Deputy Town Manager / Community Services Director • Finance Director to Chief Financial Officer • Community Relations Manager to Community Relations Director • Senior Services Activities Coordinator to Community Center Assistant • Accounting Clerk to Benefits and Payroll Specialist • Economic Development and Tourism Specialist to Management Analyst Added Positions: • One Facilities Maintenance Technician added at the hourly salary range of $22.46 - $32.12 • One Court Clerk added at the hourly salary range of $20.36 - $29.11 • .5 FTE Building Permit Technician • .5 FTE Code Enforcement Officer • .24 FTE Part-time I.T. Support Specialist • .5 FTE Community Center Assistant Other Changes: • Minor edits to job descriptions • Civil Engineering Inspector re-range The Schedule of Authorized Positions, Pay Plan, organization charts and updated job descriptions are attached as Exhibit B to the Town Council Resolution that adopts this Policy (Resolution 2022-20). 7. Hiring Freeze. There is no hiring freeze in effect for FY 2022-23, and positions that become vacant may be filled if the Town Manager determines that it is in the best interests of the Town to do so. 8. Salary Adjustment. Salary Adjustments will be effective beginning with the first full pay period after July 1, 2022, as follows: 5 A. Individual Salaries. All Town of Fountain Hills employees, except those with individual employment contracts, shall receive a 4.0% increase beginning with the first full pay period after July 1, 2022. In the case of individual employment contracts, the terms of the contract will be administered. B. Pay Ranges. The pay ranges for all Fountain Hills exempt & non-exempt employees are increased by 4.0% effective with the first full pay period after July 1, 2022. C. Reconciliation to New Pay Ranges. After the adjustments made in accordance with Subsection 8(A) and (B) above, any employees with salaries not meeting the range minimum shall be increased to the lowest pay in their newly adjusted pay ranges, except for those employees with individual employment contracts. In the case of employees with individual employment contracts, the terms of the contract will be administered. 9. Comprehensive Fee Schedule. The Comprehensive Fee Schedule is included as a part of Exhibit B to the Town Council Resolution that adopts this Policy (Resolution 2022-20) and authorizes the fees for fiscal year 2022-23. In addition, the Community Services Department charges fees for classes and recreational activities that are not listed in the Fee Schedule. Those fees are established by the Community Services Director and are based on instructor cost, class size, program materials needed, and other related costs. The range for these fees is no cost up to $550. 10. Contingency Appropriation. The purpose of a Contingency appropriation is to maintain a reserve of expenditure authority from which specific amounts can be transferred to other appropriated budgets after adoption of the annual budget to cover unforeseen, emergency, or critical items if there are sufficient revenues to do so. Contingency appropriations will be established within the General Government Department for general purposes or in other funds reserved for specific issues. All requests for the use of General Government Contingency must be submitted to the Town Manager for review. If the Contingency expenditure exceeds the Town Manager’s purchasing authority, the Town Council must approve or ratify the transfer from Contingency appropriations. 11. Budget Adoption. This budget is being adopted by the Town Council at the fund level. Each f und is a fiscal and accounting mechanism with a self-balancing set of accounts recording cash and other financial resources. The department level budget detail that is contained within the financial system is designed and used wholly as a management tool for the individual departments. A sub-fund may also be created to track a specific project or goal and is used as a tool for management purposes. A sub-fund would be an extension of a major fund such as a project fund. 12. Vehicles/Equipment and Infrastructure Projects. The Town Council will approve 6 specific positions, vehicles, equipment, and capital projects as part of the fiscal year 2022-23 budget. Additional funding requested during the fiscal year for these items must be submitted to the Town Council for approval or ratification. A. Mid-year Requests. All mid-year General Fund vehicle and equipment requests that exceed $10,000 and capital items (account series 8000) must be approved by the Finance Director. Approval is required when using existing resources or requesting additional resources. Requests shall be made in writing to the Finance Director, who shall grant or deny the request. If denied, a request for reconsideration may be presented to the Town Manager, whose decision is final. B. Infrastructure Requests over $50,000. All capital project requests that exceed $50,000, regardless of the funding source, must be submitted to the Finance Division for review prior to forwarding information to the Town Manager. The Town Manager will recommend the project for approval by the Town Council. C. Capital Improvement Program/Vehicle Replacement Program. The Programs’ Policy and Procedures, as contained in the Adopted Budget book, have been approved by Town Council and outline the procedures that should be followed in administering each individual program. RESOLUTION 2022-20 PAGE 4 EXHIBIT B TO RESOLUTION 2022-20 [Organization Charts, 2022-23 Pay Plans, Schedule of Authorized Positions, and Employee Job Descriptions] See following pages Citizens of Fountain HillsCitizens of Fountain Hills Presiding Judge Town of Fountain Hills Organization Fire / EMS AdministrationAdministration Law Enforcement Town Manager Town AttorneyTown Prosecutor Appointed by Council Contracted Mayor and Town CouncilMayor and Town Council Development Services Recreation Community Services Community Center Code Enforcement Building Safety Senior Services Parks Volunteer Program GIS Planning Engineering Streets Facilities Public Works Inspection Finance Finance Town ClerkTown Clerk Administrative Services Administrative Services Economic Development / Tourism Economic Development / Tourism Community Relations Community Relations *Presiding Judge (.63) Court ClerkCourt Operations Coordinator MUNICIPAL COURT Court Administrator -- *Part time - Appointed by Council Full Time Part Time Court Clerk (.50) Court Clerk (.50) Town ManagerExecutive Assistant to Town Executive Assistant to Town Manager & Town Council ADMINISTRATION DEPARTMENT Town Clerk Deputy Town Manager / Administrative Services Director Economic Development Director Management Analyst Chief Technology Administrator Financial Services Technician Accountant Customer Service Rep II Chief Financial Officer Financial Services Technician IT Support Specialist IT Support Specialist (.74) Community Relations Community Relations Director Part time Full Time Procurement Administrator Benefits and Payroll Benefits and Payroll Specialist (.50)Senior Accountant Director PUBLIC WORKS DEPARTMENT Street Technician Street Maintenance Technician Senior Facilities Technician Senior Facilities Maintenance Technician Custodian (.50) Streets Superintendent Facilities Supervisor Street Technician Street Maintenance Technician Senior Technician Senior Maintenance Technician Part Time Full Time Executive Assistant (.5) (shared with Development Services) Full Time Shared Civil Engineering Inspector Street Technician Street Maintenance Technician Town Engineer Assistant Town Engineer Facilities Technician Facilities Maintenance Technician Building Permit Technician Director DEVELOPMENT SERVICES DEPARTMENT Executive Assistant (.5) (shared with Public Works) Senior Code Enforcement Officer Code Enforcement Officer Senior Planner Chief Building Official/Plans Examiner Building Permit Technician Full Time Full Time Shared Part time GIS Technician CAD Operator Senior Building Inspector Code (.50) Code Enforcement Officer (.50) Deputy Town Manager / Community Services Director Executive Assistant Parks Superintendent Recreation Manager COMMUNITY SERVICES DEPARTMENT Park Operations Lead Park Operations Lead Park Operations Lead Park Operations Lead Part time Full Time Recreation Program Coordinator Senior Recreation Program Coordinator Customer Service Rep II (.53) II Customer Service Rep II (.60) Community Center Manager Community Center Program Coordinator Community Center Community Center Assistant(.45) Community Center Community Center Assistant(.75) Community Center Community Center Assistant(.58) Community Center Coordinator Community Center Operations Coordinator Lead Operations Lead Operations Support Worker (.63) Worker Operations Sup Worker (.20) Worker Operations Sup Worker (.04) Worker Operations Sup Worker (.02) Worker Operations Sup Worker (.11) Lead Operations Lead Operations Support Worker (.65) Volunteer Coordinator Groundskeeper II Park Attendant (.39) Park Attendant (.40) Park Attendant (.39) Lead Park Attendant Park Attendant (.39) Park Attendant (.39) Groundskeeper II Customer Service Rep II (.50) Community Center Community Center Assistant(.50) Fire Chief (1) Station Two Captains Station Two Captains (3) A,B,C Shift Station One Captains Station One Captains (3) A,B,C Shift FIRE DEPARTMENT Assistant Fire Chief/ Fire Marshal (1) Firefighters (12) A,B,C Shift Firefighters (6) A,B,C Shift LAW ENFORCEMENT District Commander (1 Captain) Patrol Sergeants (6) Detective Sergeant Sergeant (1) Deputy Commander (1 Lieutenant) Administration (1 Civilian) District Detectives (3) Patrol Deputies (20) School Resource Officer (1) Administrative Sergeant (1) Community Liaison (1) Position Title Minimum Maximum Deputy Town Manager/Administrative Services Director 130,586$ 186,738 Deputy Town Manager/Community Services Director 130,586 186,738$ Chief Financial Officer 130,586 186,738 Public Works Director 122,046 174,526 Development Services Director 122,046 174,526 Town Clerk 114,062 163,109 Economic Development Director 114,062 163,109 Chief Technology Administrator 108,515 155,176 Town Engineer 106,963 152,957 Community Relations Director 106,963 152,957 Assistant Town Engineer 90,923 130,020 Court Administrator 89,324 127,733 Chief Building Official/Plans Examiner 79,017 112,994 Recreation Manager 78,057 111,622 Parks Superintendent 78,057 111,622 Community Center Manager 78,057 111,622 Senior Accountant 78,057 111,622 Procurement Administrator 78,057 111,622 Streets Superintendent 77,359 110,623 Senior Planner 77,042 110,170 Facilities Supervisor 67,395 96,375 Senior Recreation Program Coordinator 65,532 93,711 Events and Operations Supervisor 65,532 93,711 Executive Assistant to Town Manager/Council 64,813 92,683 Civil Plans Examiner 64,648 92,447 Management Analyst 64,648 92,447 Accountant 59,826 85,551 Court Operations Coordinator 59,826 85,551 Community Center Program Coordinator 59,826 85,551 Operations Coordinator - Community Center 59,826 85,551 Recreation Program Coordinator 59,826 85,551 Senior Code Enforcement Officer 59,826 85,551 Volunteer Coordinator 59,826 85,551 FY 22-23 PAY PLAN (July 2022) Exempt Positions Position Title Minimum Maximum Senior Building Inspector $ 32.01 $ 45.77 Information Technology Support Specialist 31.29 44.74 GIS Technician/CAD Operator 30.54 43.67 Civil Engineer Inspector 28.01 40.05 Benefits and Payroll Specialist 26.28 37.58 Executive Assistant 24.89 35.59 Code Enforcement Officer 24.89 35.59 Senior Maintenance Technician 24.28 34.72 Senior Facilities Maintenance Technician 24.28 34.72 Park Operations Lead 24.28 34.72 Facilities Maintenance Technician 22.46 32.12 Building Permit Technician 21.87 31.27 Senior Court Clerk 21.31 30.47 Street Maintenance Technician 21.31 30.47 Court Clerk 20.36 29.11 Financial Services Technician 20.36 29.11 Groundskeeper II 20.36 29.11 Customer Service Representative II 19.72 28.20 Community Center Assistant 19.28 27.57 Lead Park Attendant 19.28 27.57 Lead Operations Support Worker 19.28 27.57 Customer Service Representative I 17.57 25.13 Operations Support Worker 17.16 24.54 Park Attendant 17.16 24.54 Custodian 15.86 22.68 Non-Exempt Positions FY 22-23 PAY PLAN (July 2022) FY 19-20 FY 20-21 FY 21-22 FY 22-23 Authorized Authorized Authorized Proposed Position Title FTE FTE FTE FTE Municipal Court Presiding Judge 0.63 0.63 0.63 0.63 Court Administrator 1.00 1.00 1.00 1.00 Senior Court Clerk 2.00 2.00 1.00 - Court Operations Coordinator - - 1.00 1.00 Court Clerk - - - 2.00 Authorized FTE 3.63 3.63 3.63 4.63 Administration Town Manager 1.00 1.00 1.00 1.00 Deputy Town Manager/Administrative Services Dir.1.00 1.00 1.00 1.00 Executive Asst to Town Mgr/Council 1.00 1.00 1.00 1.00 Town Clerk 1.00 1.00 1.00 1.00 Economic Development Analyst 1.00 - - - Economic Development and Tourism Specialist - 1.00 1.00 - Management Analyst - - - 1.00 Economic Development Director 1.00 1.00 1.00 1.00 Communications and Marketing Coordinator 1.00 - - - Community Relations Manager - 1.00 1.00 - Community Relations Director - - - 1.00 Chief Technology Administrator - - 1.00 1.00 Network & Information Technology Administrator 1.00 1.00 - - Information Technology Support Specialist 0.50 0.50 0.50 0.74 Finance Director 1.00 1.00 1.00 - Chief Financial Officer - - - 1.00 Senior Accountant - - 1.00 1.00 Accountant 1.00 1.00 1.00 1.00 Financial Services Technician 2.00 2.00 2.00 2.00 Procurement Administrator - - 1.00 1.00 Procurement Officer 1.00 1.00 - - Benefits and Payroll Specialist - - - 0.50 Accounting Clerk 0.50 0.50 0.50 - Customer Service Representative II 1.00 1.00 1.00 1.00 Authorized FTE 15.00 15.00 16.00 16.24 Public Works Public Works Director 1.00 1.00 1.00 1.00 Civil Engineering Inspector 1.00 1.00 1.00 1.00 Executive Assistant 0.50 0.50 0.50 0.50 Town Engineer 1.00 1.00 1.00 1.00 Assistant Town Engineer 0.63 0.63 1.00 1.00 Facilities Supervisor - 1.00 1.00 1.00 Facilities/Environmental Supervisor 1.00 - - - Senior Facilities Maintenance Tech - 1.00 1.00 1.00 Facilities Maintenance Tech 1.00 - - 1.00 Custodian 1.30 1.30 0.50 0.50 Streets Superintendent 1.00 1.00 1.00 1.00 Fleet Mechanic/Open Space-Landscape Spec 1.00 - - - Senior Maintenance Technician - 1.00 1.00 1.00 Street Maintenance Technician 3.00 3.00 3.00 3.00 Authorized FTE 12.43 12.43 12.00 13.00 Schedule of Authorized Positions FY 19-20 FY 20-21 FY 21-22 FY 22-23 Authorized Authorized Authorized Proposed Position – Title FTE FTE FTE FTE Development Services Development Services Director 1.00 1.00 1.00 1.00 Executive Assistant 0.50 0.50 0.50 0.50 Senior Planner 1.00 1.00 1.00 1.00 GIS Technician/CAD Operator 1.00 1.00 1.00 1.00 Senior Code Enforcement Officer 1.00 1.00 1.00 1.00 Code Enforcement Officer 1.00 1.00 1.00 1.50 Chief Building Official/Plans Examiner 1.00 1.00 1.00 1.00 Senior Building Inspector 1.00 1.00 1.00 1.00 Building Permit Technician 1.50 1.50 1.50 2.00 Authorized FTE 9.00 9.00 9.00 10.00 Community Services Community Services Director 1.00 1.00 1.00 - Deputy Town Manager/Community Services Dir.1.00 Recreation Manager 1.00 1.00 1.00 1.00 Recreation Program Coordinator 2.00 2.00 2.00 1.00 Senior Recreation Program Coordinator - - - 1.00 Executive Assistant 1.00 1.00 1.00 1.00 Parks Superintendent 1.00 1.00 1.00 1.00 Park Operations Lead 4.00 4.00 4.00 4.00 Lead Park Attendant 0.49 0.49 1.00 1.00 Park Attendant 1.96 1.96 1.96 1.96 Groundskeeper II - 1.00 2.00 2.00 Customer Service Representative II 0.88 1.13 1.63 1.63 Community Center Manager 1.00 1.00 1.00 1.00 Operations Coordinator - Community Center 1.00 1.00 1.00 1.00 Operations Support Worker 0.37 0.37 0.37 0.37 Lead Operations Support Worker 1.28 1.28 1.28 1.28 Senior Services Supervisor 1.00 1.00 1.00 - Community Center Program Coordinator - - - 1.00 Senior Services Activities Coordinator 1.78 1.78 1.78 - Community Center Assistant - - - 2.28 Volunteer Coordinator 1.00 1.00 1.00 1.00 Authorized FTE 20.76 22.01 24.02 24.52 Total Authorized FTE 60.82 62.07 64.65 68.39 Schedule of Authorized Positions FOUNTAIN HILLS, ARIZONA Job Description Job Title: Benefits and Payroll Specialist Department:Administration Immediate Supervisor:Deputy Town Manager/Administrative Services Director FLSA Status:Non-Exempt BRIEF DESCRIPTION OF THE JOB: Under minimal supervision, processes and issues payroll to town staff; reconciles employee benefit withholdings and processes monthly employee benefit invoices; maintains, reviews, verifies, corrects, and updates employee payroll files and records; enters and processes direct deposits, tuition reimbursements, allowances, leave adjustments, and retirement deductions; reconciles insurance and all other deductions, runs various reports, creates off-cycle checks; participates in the implementation and administration of town wide benefits programs such as, medical, dental, vision, life insurance, wellness, as well as flexible spending programs. Incumbents are required to exercise good judgment in handling sensitive information and maintaining confidentiality. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Processes bi-weekly employee payroll; prepares manual checks when required; reviews and compares compensation and benefit information against pay records to ensure accuracy; responsible to be a resource to staff in responding to questions related to benefits and payroll; respond to payroll and benefits-related audit requests. Ensures town compliance with year-end employee Internal Revenue Service W-2/1095 processing, accuracy, and distribution. 2 S Reconciles employee benefit withholdings and monthly benefit provider invoices in order to process payments to benefit providers. Assists with administration of current benefit programs to include technical and analytical review of monthly and annual reports; maintains recurring reports. 3 S Reviews timecards from all town departments to ensure accuracy, completeness, and authorization; reconciles timecards to payroll system reports; audits leave time to ensure adherence to the town leave policy; calculates wage assignments including garnishments, child support deductions, tax levies etc.; answers town staff inquiries regarding wage assignment issues; processes termination checks in compliance with various governmental guidelines and pension plans; sets up employee direct deposit and monitors employee direct deposit entry into the payroll system; maintains a working knowledge of the town’s payroll system and payroll related system setup; performs complex retirement earnings calculations for potential retirement. Adopted 6/7/2022 FOUNTAIN HILLS, ARIZONA Job Description 4 S Prepares and reports bi-weekly retirement, health savings account, flexible spending account, and any other various employee withholdings as applicable. Also tracks and reports on part time employee hours for Affordable Care Act compliance and retirement program compliance (such as ASRS/PSPRS 20/20, if applicable); responsible for retirement system reporting for new hires, enrollment, ending employment verification and return to work; responsible for education assistance program: processing requests, payments, spreadsheets and record keeping; responsible for employee terminations in the payroll system and all out processing procedures as they relate to payroll and benefits. 5 S Develops and formulates method of approach to correct escalated employee pay issues ensuring high levels of customer service; communicates with management and employees about pay errors and correction. Reviews payroll runs, analyzes errors and makes adjustments to resolve problems; processes, reviews and corrects retroactive payments and deductions. 6 S Coordinates benefit program activities including internal marketing and outreach; provides guidance to employees on benefits plans and general benefits questions; researches claim issues and coordinates with the Third-Party Administrator. Receives and responds to internal and external customer inquiries and requests pertaining to employee benefits and payroll needs. Follows through to resolution and updates team as appropriate. 7 S Ensures employee paperwork is filed accurately and timely; keeps all benefit documents updated. Assists in the retention and destruction of electronic and hardcopy benefits and payroll documents. 8 S Coordinates employee special events such as on-site wellness events, annual benefits open enrollment event / benefits fair, employee appreciation functions, staff training workshops, etc. 9 S Demonstrates continuous effort to improve operations, decrease turnaround times, streamline work processes, and work cooperatively to provide quality seamless customer service 10 S Performs other duties as needed and assigned. * See page 3 – Overall Physical Strength Demands Adopted 6/7/2022 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Equivalent to a bachelor’s degree from an accredited college or university with major course work in accounting, finance, or degree related to the core functions of this position. Experience A minimum of four years payroll and benefits experience. Proficiency in Microsoft Word, Microsoft Excel, as well as payroll systems such as ADP, Paychex, Paycom, and MUNIS preferred. Certifications and Other Requirements Professional Human Resources certification is preferred, such as: CPP (Certified Payroll Professional), PHR (Professional in Human Resources), SPHR (Senior Professional in Human Resources), IPMA-CP (Certified Professional in Human Resources), SHRM-CP (SHRM Certified Professional), CBP (Certified Benefits Professional). Proficiency in Microsoft Word, Microsoft Excel, as well as payroll systems such as ADP, Paychex, Paycom, and MUNIS preferred. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read and comprehend complex written documents such as administrative guidelines, records retention policies, payroll reports and benefit documents, accounting guidelines, and various legal agreements. Math Work requires the ability to perform general math calculations rapidly and accurately such as addition, subtraction, multiplication, division. Ability to calculate and apply percentages, decimals and fractions is also required. Writing Work requires the ability to produce written documents with clearly organized thoughts using proper English sentence construction, punctuation, and grammar. Managerial Job has no responsibility for the direction or supervision of others but may provide advice/direction to an employee with less experience/skill or tenure. Budget Responsibility Job has no responsibility for budget allocations. Supervisory / Organizational Control None Complexity Work requires analysis and judgment in accomplishing diversified duties. Work requires the exercise of independent thinking within the limits of policies, standards, and precedents. Interpersonal / Human Relations Skills In addition to the sharing of information, interactions at this level may also include providing advice to others outside direct reporting relationships on specific problems or general policies/procedures. In many of the interactions, contacts may require the consideration of different points of view to reach agreement. Elements of persuasion may be necessary to gain cooperation and acceptance of ideas. Incumbents are required to exercise good judgment in handling sensitive information and maintaining confidentiality. Adopted 6/7/2022 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O Filing, making copies, and faxing Sitting C Deskwork Walking O To and from office equipment, mailroom, and other departments Lifting R Files, boxes, and books Carrying O Files, office supplies, books, and boxes Pushing/Pulling R File boxes Reaching F For supplies, files, mail slots, telephone Handling C Paperwork Fine Dexterity F Computer keyboard, calculator, telephone keypad, writing Kneeling O Filing in lower drawers Crouching O Filing in lower drawers Crawling N N/A Bending O Filing in lower drawers Twisting F From computer to other desk areas Climbing R Ladder to reach files, stairs Balancing R While on ladder reaching for files Vision C Reading, computer monitor Hearing C Communicating with the public and personnel both in person and on the phone Talking F Communicating with the public and personnel both in person and on the phone Foot Controls N N/A Adopted 6/7/2022 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Calculator, copier, fax machine, telephone, typewriter, printer, general office supplies, computer and related software such as MIP, Tyler, Access, Outlook and Excel ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks O Irregular Work Schedule/Overtime R Performing Multiple Tasks Simultaneously O Working Closely with Others as Part of a Team F Tedious or Exacting Work F Adopted 6/7/2022 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Noisy/Distracting Environment R Other (see 3 below) (3) Adopted 6/7/2022 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Community Relations Director Department:Administration Immediate Supervisor:Town Manager FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: Under the direction of the Town Manager; the position serves as the Town’s Public Information Officer, implements strategic communications and community relations programs; administers and carries out all public information activities of the Town; serves in an Ombudsman capacity; assists in analyzing proposed legislation, drafting written documents advocating the Town’s position; assists Town departments in proofreading and editing of grant applications. This position also provides professional and sensitive assistance to the Town Manager, Town Council and senior management staff on matters related to the dissemination of public information, media relations and community relations. In addition, the position further develops and shapes a comprehensive image of the Town, working closely with all of the Town’s departments and divisions. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Serves as the Town’s Public Information Officer; maintains relationships with the news media and coordinates information flow and dissemination; manages news conferences; prepares, reviews, and edits news releases, scripts, publications, articles, Fountain Hills Insider, social media and blog posts. Creates and implements effective communications programs. Oversees and contributes public information- related content on the Town and/or department website(s) and social media pages with focus on communications and community relations content. Ensures effective and efficient outreach, education and information regarding delivery of Town programs and services to the community. Develops and implements community outreach programs through a variety of multi-media communications strategies; shares information and solicits input from the public. Assumes lead role in carrying out Town crisis communications activities. Prepares and delivers presentations on Town programs, services and activities. 2 S Performs a wide variety of outreach and community relations activities, which often requires coordinating with Town officials, one or more Town departments, or other governmental agencies, businesses and organizations. Advises and assists senior management regarding strategic communications and community relations aspects of policies, procedures, programs and actions. Serves as a resource and assists Town departments in the development of community relations programs that target appropriate stakeholder groups related to important issues. Facilitates communication/outreach/media trainings with Town officials and staff. Ensures interdepartmental coordination of the Town’s public and internal communications vision. Assists Town departments with proofreading and editing of grant applications. 3 S Advises Town management in the development and maintenance of effective current and long-range policies, plans, and practices which affect relationships with the public; consults with management and recommends actions to define and accomplish strategic communications goals and objectives and improve organizational communication; Adopted 6/7/2022 1 FOUNTAIN HILLS, ARIZONA Job Description formulates policies that strengthen community relations. 4 S During legislative session, assists in analyzing proposed bills, developing Town’s legislative agenda, and drafting letters of support or opposition to bills that impact the Town of Fountain Hills. 5 S Oversees the use of social media public outreach; coordinates function and content and determines social media policies and goals; maintains strong communication presence on social media trends and applications; manages social media campaign and day to day activities including online advocacy, writing editorials and community outreach. 6 S Serves as an Ombudsman by assisting the public in troubleshooting service requests, high level complaints, and other constituent-related matters. 7 S Prepares and administers program budget, prepares requests for proposals and evaluates proposals for contracted services. 8 S Performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires broad knowledge in a general professional or technical field. Knowledge is normally acquired through four years of college resulting in a Bachelor's Degree or equivalent in, Public Relations, Journalism, Public Administration, or a closely related field. Master’s Degree in related field preferred. Other knowledge requirements include the general theories, principles, and practices of public relations, public information, and strategic communication techniques. Effective oral presentation skills, and the ability to organize and clearly present information in an engaging manner, both verbally and in writing is essential. Experience At least three years’ experience involving communication, public information, public relations or related field is required. Certifications and Other Requirements Certifications in related fields from professional groups, such as the Public Relations Society of America or International Association of Business Communicators, are desirable. Possession of a valid driver's license for a minimum of two years with a good driving record. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read technical information and data, policies, guidelines, and procedures at a college level. Also requires the ability to interpret and utilize the English language and terminology used by various media. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication, division and percentages Writing Work requires the ability to write reports, policies, goals, and objectives in a manner that is creative to ensure audience interest. Managerial Coordinating activities to meet deadlines. Budget Responsibility Responsible for overseeing the development, preparation, and implementation of the division budget. Supervisory / Organizational Control Coordinates activities in order to ensure cross-departmental consistency. Complexity Work is governed by broad instructions, objectives and policies. Requires the exercise of considerable initiative and independent analytical and evaluative judgment. Interpersonal / Human Relations Skills Work requires a high level of interaction with others outside the Town and requires exercising considerable initiative and independent judgment that supports Town efforts. Requires the ability to establish and maintain effective working relationships with coworkers, Town management, business owners, contractors, media personnel, residents, and the general public. Adopted 6/7/2022 2 FOUNTAIN HILLS, ARIZONA Job Description Adopted 6/7/2022 3 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary X Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O Sitting F Deskwork Walking F Around offices Lifting R Supplies and equipment Carrying R Supplies and equipment Pushing/Pulling R Supplies and equipment Reaching R For supplies and equipment Handling O Supplies and equipment Fine Dexterity R Supplies and equipment Kneeling R Retrieving items from the ground Crouching R Retrieving items from the ground Crawling R Retrieving items from the ground Bending R Retrieving items from the ground Twisting R Retrieving items from the ground or from shelving Climbing R Balancing R Vision F Reading, driving, observing work activities Hearing F Communicating with personnel and general public on telephone Talking F Communicating with personnel and general public on telephone Foot Controls O Driving Adopted 6/7/2022 4 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Copy machine, fax machine, telephone, calculator, general office supplies, computer and related software, laser or inkjet printer. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures S Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team C Tedious or Exacting Work F Noisy/Distracting Environment F Other (see 3 below) (3) Adopted 6/7/2022 5 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Job Title: Management Analyst Department:Administration Immediate Supervisor:Economic Development Director FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: The primary function of an employee in this class is to perform implementation, planning, marketing and research work to implement the Town’s economic development program and policy of broadening its retail, commercial and visitor base. Implementation includes attracting new businesses, aiding existing businesses in expansion, creation of marketing materials and the management of special projects. This employee also creates and maintains information resources and databases and prepares reports and analyses. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Performs economic development and support work to implement the Town's ongoing policy of broadening its retail, commercial, and industrial base. 2 S Develops and maintains statistical, economic, population, visitor, demographic, related information resources, and databases. 3 S Develops and maintains computer applications to track development and visitor data such as population, construction, vacancy rates, hotel occupancy, and other economic information, demographic data, and trends. May perform site analysis for proposed development projects including taxes, fees, as well as economic and relevant multiplier factors. 4 L In coordination with the Economic Development Director, responds to general information, and project-specific requests. Develops brochures, guides, pamphlets, profiles, market intelligence, and website materials. Works with staff to update, enhance and ensure the Town's website, and other electronic and print media reflects pertinent economic development and tourism related information, events, and projects. 5 S Coordinates the tourism grant function for the department including applying for grants and adhering to reporting requirements. Adopted 6/7/2022 1 FOUNTAIN HILLS, ARIZONA Job Description 7 S Assists in marketing the Town by working with consultants to develop advertisements and/or campaigns and with publications that are strategically aligned with Economic Development and tourism strategies in order to secure additional business and tourism activity. Collaborates with the Community Relations Manager/Public Information Officer to assist and create content for social media, the Town’s website and Experience Fountain Hills website. 8 S Coordinates the delivery of special projects, with particular focus on meeting deadlines and creating content. 9 S Performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands Adopted 6/7/2022 2 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Bachelor's degree from an accredited college or university in Economic Development, Regional Development, Economics, Urban Planning, Public Administration, Marketing, Geography, or related field is required. Knowledge of research and statistical methods and techniques; economic development principles and practices; the principles and techniques of sales, marketing and promotion; current economic development, demographic, and market trends in the regional area; and personal computer software applications ** Experience A minimum of two years of management support experience, conducting research related to economic development is preferred. Experience in both the public sector preferred. Certifications and Other Requirements The IEDC Basic Economic Development course will be required to be completed within first year of hire. Valid driver's license for a minimum of two years with a good driving record required. The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read, comprehend, and make inferences from research data in order to prepare statistical comparisons and trend analyses to be used in marketing and other promotional materials. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication, division, college algebra, and statistical analysis. Writing Work requires the ability to write clearly and accurately in both print and electronic media in order to communicate with the general public, executive management, Town Council, Chamber of Commerce, and business executives. Develops, updates, designs, and edits a variety of electronic and printed materials including the Economic Development web page, community profiles, and other promotional and marketing materials. Position also drafts written documents such as brochures, advertisements, press releases, and prospect proposals for distribution to a variety of targeted audiences in order to promote and market Fountain Hills as a business location. Managerial None Budget Responsibility Coordinating the grant funding for tourism. Supervisory / Organizational Control None Complexity Work is widely varied, involving analyzing and evaluating many complex and significant variables. Work requires initiative and independent judgment, and the employee is expected to exercise discretion in planning and executing assignments. Organization- wide policies, procedures, or precedents may be recommended to management. Interpersonal / Human Relations Skills Incumbents in this position contact others within the organization and also communicate with the general public, professional service providers, economic development agency representatives, and the media in order to gather and provide information. Conducts off- site research and attends a variety of meetings including local economic development meetings and trade shows as required. Adopted 6/7/2022 3 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Should be changed to medium Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O Presentations, copier, fax machine, filing Sitting C Computer, desk work, paperwork, answering telephone, meetings, driving Walking O Inter-office, to/from meetings, field work, tradeshows Lifting O Contracts, reports, plans, displays Carrying O Contracts, reports, plans, displays, boxes Pushing/Pulling R Doors, chairs, filing cabinet drawers Reaching O Supplies, files, boxes Handling F Contracts, reports, plans Fine Dexterity C Computer keyboard, writing, telephone keypad Kneeling R Filing, retrieving dropped items Crouching R Filing, retrieving dropped items Crawling R Retrieving dropped items Bending R Filing, retrieving dropped items Twisting R Filing, retrieving dropped items Climbing R Stairs Balancing R Stairs Vision C Computer, desk work, writing, reading, use of office equipment, field work, driving Hearing C Telephone, staff, co-workers, supervisor, Town Manager, Town Council, analysts, directors, planners, engineers, local businesses, reporters, meetings, presentations, training classes Talking C Telephone, staff, co-workers, supervisor, Town Manager, Town Council, analysts, directors, planners, engineers, local businesses, reporters, meetings, presentations, training classes Foot Controls O Driving Adopted 6/7/2022 4 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Standard office equiptment such as a telephone and computer; use of a vehicle. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures S Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below)N (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime O Performing Multiple Tasks Simultaneously O Working Closely with Others as Part of a Team C Tedious or Exacting Work O Noisy/Distracting Environment R Other (see 3 below)N Adopted 6/7/2022 5 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Adopted 6/7/2022 6 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Community Center Assistant Department:Community Services Immediate Supervisor:Community Center Program Coordinator or Volunteer Coordinator FLSA Status:Non-Exempt BRIEF DESCRIPTION OF THE JOB: This position is responsible for coordination and implementation of Community Center activities, presentations, programs, and the Home Delivered Meals (HDM) program. Non-traditional work hours are required including evenings, and occasional weekends, early mornings, and holidays. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 L Coordinates and implements Community Center activities, special presentations and events. 2 L Coordinates and implements the Home Delivered Meals program including registering participants, verifying eligibility, assisting in the training and recruiting of volunteers for the program, organizing meal delivery routes, ordering meals from provider, preparing all support information, drive and deliver meals as needed. 3 L Serves as back up to other Community Center Assistants and to the Customer Service Representative at the front desk in the Community Center. 4 S Performs routine clerical work such as designing flyers, creating signage, filing, making copies, answering phones, drafting public relations material, thank you letters, donation requests letters and other correspondence as needed. 5 L Provides assistance to walk-in or phone-in customers. Assists customers with social service needs including the medical equipment loaner program. 6 S Supervises program volunteers; demonstrates continuous effort to improve operations, decrease turnaround times, streamline work processes, and work cooperatively to provide quality customer service. 7 L Ensures rooms are prepared in advance of activities, presentations, and other programs including audiovisual equipment, tables, chairs, and other required materials. Assists with room set up and take down as needed for programs. 8 L Promotes activities, presentations, and events through press releases, media outreach, website, social media, lobby kiosks, and newsletter. 9 L Performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands Adopted 6/7/2022 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires knowledge of a specific vocational, administrative, or technical nature, which may be obtained with six months/one year of advanced study or training past the high school equivalency. Junior college, vocational, business, and technical or correspondence schools are likely sources. Appropriate certification may be awarded upon satisfactory completion of advanced study or training. Must be literate in Microsoft Word, Excel, PowerPoint, and Microsoft Outlook. Experience Minimum of two years experience in progressively responsible program planning and coordination. Certifications and Other Requirements CPR/AED Certification. Possession of a valid driver's license for a minimum of two years with a good driving record. The Town currently designates this job as a “safety- sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read and understand reports, letters, correspondence, schedules, budget material and purchase orders. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication and division. Writing Work requires the ability to write reports, letters, flyers, correspondence, schedules and purchase orders. Managerial None Budget Responsibility None Supervisory / Organizational Control None Complexity Work requires analysis and judgment in accomplishing diversified duties. Work requires the exercise of independent thinking within the limits of policies, standards and precedents. Interpersonal / Human Relations Skills The incumbents in this position contacts others within the organization. These contacts may involve similar work units or departments within the Town, which may be involved in decision-making or providing approval or decsion-making authority for purchases or projects. In addition, these incumbents work with individuals outside the Town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Meetings and discussions may be conducted with customers, and sales representatives. Adopted 6/7/2022 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing F Greeting clients, filing, filling kiosks; preparing rooms for activities; Sitting C Preparing all paperwork. Walking F Touring the building with clients; preparing rooms for activities Lifting F Files; preparing rooms for activities Carrying F Files; preparing rooms for activities Pushing/Pulling F Using pushcart to move supplies for programs and events. Reaching F While doing desk work, filling kiosks, preparing rooms for activities Handling F Paperwork, telephone Fine Dexterity N N/A Kneeling R Filing Crouching O Preparing rooms for activities Crawling N N/A Bending O Filing; preparing rooms for activities Twisting F While doing desk work; preparing rooms for activities Climbing N N/A Balancing N N/A Vision C Reading, computer work Hearing C Communicating with personnel, general public and on the telephone Talking C Communicating with personnel, general public and on the telephone Foot Controls F Driving to deliver Home Delivered Meals Adopted 6/7/2022 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Computer, telephone, calculator, fax, copier ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below)N (1) (2) PROTECTIVE EQUIPMENT REQUIRED: NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures C Emergency Situations N Frequent Change of Tasks C Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously C Working Closely with Others as Part of a Team C Tedious or Exacting Work F Noisy/Distracting Environment F Other (see 3 below) (3) Adopted 6/7/2022 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Job Title: Community Center Manager Department:Community Services Immediate Supervisor:Deputy Town Manager / Community Services Director FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: Plans, organizes, and manages the daily operations, bookings, marketing, financial objectives, budget, and staff of the Town of Fountain Hills Community Center including the activities and operations of senior services operations, home-delivered meal program, and other senior activities. Non-traditional work hours are required including nights, weekends, early mornings, and possibly holidays. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 L Manages the operations; including scheduling, leasing, and marketing of the Fountain Hills Community Center for multiple purposes including recreation, special interest activities, special events, and senior services; senior services activities include the home-delivered meal program and other social service programs; assures that the facility is clean, safe, secure, properly prepared, and in compliance with state, Federal, and Town requirements. 2 S Meets with clients, assists in event planning, and explains Town policies and procedures; identifies available resources for rental, and defines equipment and services to be provided by the Community Center; prepares cost estimates and writes proposals; prepares contractual agreements and resolves contractual issues. 3 L Promotes the Community Center, and encourages participation in Town programs and events; answers questions on the use of facilities, and coordinates work with public and private sector organizations, community groups, business and service clubs, and regional government agencies. 4 L Works with event promoters and senior services staff to coordinate special events and programs; manages event calendars; oversees the development of marketing materials. Reviews operational information and trends, and creates summary reports and recommendations. 5 S Assures effective communication and coordination with operations and senior services staff; coordinates with other Town departments to assure customers are in compliance with technical requirements for facility events. 6 L Manages operational and administrative issues; supervises staff, and assigns priorities and projects; coaches staff and evaluates performance; assures that assignments are defined and achieved; meets regularly with staff to discuss and resolve priorities, workload, budgets, and technical issues; reviews the work of assigned staff to assure the work quality and the timely accomplishment of assigned duties and responsibilities. 7 S Provides leadership, direction and guidance in planning, program development priorities, and customer service issues; assures the effective allocation and utilization of budgeted funds. Supports and promotes Community Services Department initiatives through cross- divisional collaboration and communication. 8 S Manages various related projects and performs other related duties as assigned * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/1/2017 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Bachelor's degree in business, public administration, marketing, hospitality/tourism, or related field. Experience Minimum of three (3) years experience in marketing, hospitality or facilities management in a convention center, conference center, senior services center, including one year of supervisory experience. Previous work experience in a municipal environment preferred. Certifications and Other Requirements Valid AZ driver's license at the time of hire; evening, weekend and holiday work required; possession of , or ability to obtain within six months of hire, CPR/AED Certification. Non-traditional work hours are required including nights, weekends, early mornings, and holidays. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read and interpret policies and procedures, contracts, comprehend and make inferences from written materials. Math Work requires the ability to make basic math calculations such as addition, subtraction, multiplication, division and percentages. Writing Produce written documents in the English language with clearly organized thoughts using proper sentence constcution, punctuation, and grammar. Managerial Review the work of others and ensure conformance to standards. Responsibilities include collecting and tracking event information, maintaining contract documents, collection and accounting of money; training event staff. Budget Responsibility Prepares documents and conducts research on other event facilities in order to be competitive in the current marketplace. Responsible for monitoring and tracking funding sources, revenues and expenditures for Community Center. Supervisory / Organizational Control Work cooperatively with other employees, clients, management, and general public. Direct and manage the work activities of multiple support staff groups and satisfy the contract requirements for multiple events occuring simultaneously. Complexity Work is governed by broad instructions, objectives and policies. Work requires the exercise of considerable initiative and independent analytical and evaluative judgment. Requires the ability to exercise decisiveness and creativity in situations involving the evaluation of information against sensory, judgmental, or subjective criteria, as opposed to that which is clearly measurable or verifiable. Interpersonal / Human Relations Skills Position requires frequent contact with others internally and externally. These contacts may involve similar work units or departments within the Town, which may be involved in decision-making or providing approval or decision-making authority for purchases or projects. In addition, these incumbents work with individuals outside the Town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Meetings and discussions may be conducted with department heads, customers, brokers, and sales representatives. Revised 6/7/2022 Adopted 6/1/2017 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10-20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10-20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20-50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing F At events and programs Sitting C Office and paperwork Walking F Facility tours, final walk through with client, attending varous outside events Lifting R Supplies and equipment, event setup. Set up at trade shows, etc. Carrying R Supplies and equipment, event setup. Pushing/Pulling R Supplies and equipment, event setup Reaching R Suplies and equipment, event setup Handling R Supplies and equipment Fine Dexterity R Supplies and equipment Kneeling R Supplies and equipment Crouching R Supplies and equipment Crawling R Supplies and equipment, event setup. Bending O Supplies and equipment, event setup. Twisting R Supplies and equipment, event setup. Climbing N Balancing N Vision C Reading, observing activities, driving Hearing C Communicating with personnel and general public Talking C Communicating with personnel and general public Foot Controls O Driving to and from outside events Revised 6/7/2022 Adopted 6/1/2017 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Computer, audiovisual equipment, and supplies related to event setup. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards M Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team C Tedious or Exacting Work O Noisy/Distracting Environment O Other (see 3 below) (3) Revised 6/7/2022 Adopted 6/1/2017 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center X Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Job Title: Community Center Program Coordinator Department:Community Services Immediate Supervisor:Community Center Manager FLSA Status: Exempt BRIEF DESCRIPTION OF THE JOB: As a Community Services Department Supervisor, the Community Center Program Coordinator position performs administrative and supervisory duties in the daily operation and delivery of Community Services Department initiatives primarily focused on services to seniors and other program participants; not limited to special interest activities and home- delivered-meals. Plans, organizes, implements, and evaluates all activities, programs and services provided to assist, educate, and entertain program participants; and supports overall community center operations as needed. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 L Plans, develops, implements and evaluates social services, activities and programs for senior adults and other program participants, either directly or through advocacy with other service providers and citizen advisory groups. 2 L Conducts community outreach efforts to publicize services, activities and programs to recruit new Community Center program participants; communicates and collaborates with other Fountain Hills organizations on programs. 3 S Assists clients in utilizing personal and external resources to alleviate their problems or concerns; refers clients to appropriate agencies. May help with the Home Delivered Meals program in a backup role. 4 L Participates in collaborative efforts to develop new funding opportunities; develops and participates in fundraising efforts for Community Center activities and special events. Supports and promotes Community Services Department initiatives through cross-divisional collaboration and communication. 5 S Trains, motivates, evaluates and works as a team member with contracted, part- time, and volunteer staff. 6 L Conducts research and prepares written budgetary expenditure justification, facility usage and activity reports. Proactively seeks grant opportunities in support of Community Center programs. Meets and accepts advice as required with the Community Services Advisory Commission. 7 L Performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands Adopted 6/7/2022 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires broad knowledge in a general professional or technical field. Knowledge of available Maricopa County services for seniors which Fountain Hills cannot provide is useful. Knowledge is normally acquired through four years of college resulting in a Bachelor's Degree or equivalent in Social Services, or closely related field. Experience Minimum two years experience in professional programming and coordinating Community Center activities is required. Experience in providing social services to senior adults. Familiarity with computerized scheduling systems is preferred. Certifications and Other Requirements Possession of a valid driver's license for a minimum of two years with a good driving record; Basic First Aid and CPR/AED Certification required. The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read and interpret manuals, rules, contracts, purchase orders, and professional publications. Math Work requires the ability to to perform general math calculations such as addition, subtraction, multiplication, division, fractions and percentages. Writing Work requires the ability to write forms, letters, sponsorships, fliers, receipts, equipment bids, purchase requisitions and reports. Managerial Planning responsiblities include collecting and tracking registration monies, reserving facilities, training volunteers, and monitoring program results. Budget Responsibility The incumbent prepares documents and conducts research to provide information to the Community Center Supervisor. Responsible for monitoring and tracking funding sources, revenues and expenditures for assigned units. May also recommend budget allocations. Supervisory / Organizational Control Works cooperatively with other employees, clients, town staff, and the public. Supervises and manages the work activities of multiple support staff. Satisfies the contract requirements for multiple events occurring simultaneously. Complexity Work involves decision making within established standard practices and procedures. Professional judgment and analytical skills required to determine appropriate course of action. Interpersonal / Human Relations Skills The incumbents in this position contact others within the organization. These contacts may involve similar work units or departments within the Town, which may be involved in decision-making or providing approval or decision-making authority for purchases or projects. In addition, these incumbents work with individuals outside the Town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Meetings and discussions may be conducted with members of management, customers, brokers and sales representatives. Adopted 6/7/2022 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O At special events and programs Sitting C Deskwork Walking O Around offices and during special events Lifting R Supplies and equipment Carrying R Supplies and equipment Pushing/Pulling R Supplies and equipment Reaching R For supplies and equipment Handling O Supplies and equipment Fine Dexterity R Supplies and equipment Kneeling R Retrieving items from the ground Crouching R Retrieving items from the ground Crawling R Retrieving items from the ground Bending R Retrieving items from the ground Twisting R Retrieving items from the ground or from shelving Climbing N Balancing N Vision C Reading, driving, observing work activities Hearing F Communicating with personnel and general public on telephone Talking F Communicating with personnel and general public on telephone Foot Controls O Driving Adopted 6/7/2022 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Computer, telephone, calculator, fax, copier ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures S Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below)N (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures O Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime O Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team C Tedious or Exacting Work O Noisy/Distracting Environment R Other (see 3 below) (3) Adopted 6/7/2022 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Adopted 6/7/2022 5 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Deputy Town Manager / Community Services Director Department:Community Services Supervisor:Town Manager FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: Incumbents are responsible for broad policy planning and management oversight responsibilities and assisting the Town Manager with all phases of government and may include leadership of one or more departments. Acts for the Town Manager during the Manager's absence. Responsible for the oversight and leadership of the parks and recreation, community center, senior services, and volunteer divisions. Overall fiscal responsibility concerning the department budget preparation, submission, defense and the oversight of expenditures. Responsible for the long term planning and development of the department. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Overall fiscal responsibility for the preparation, defense and adherence to the community services department's annual budget. 2 S Provides executive assistance to the Town Manager in daily operations of the organization, and acts for the Town Manager during the Manager's absence. Assists in making decisions related to all facets of municipal government. Represents the Town and Town Manager at various meetings. 3 L Works with a wide variety of community and civic organizations in the development of goals and objectives of the parks and recreation, community center, senior services, and volunteer divisions. 4 S Plans and directs park and recreational facility acquisition, development and improvements. 5 S Formulates rules, policies and procedures associated with the public's use of facilities and their enrollment in programs. 6 S Overall responsibility for the preparation and defense of recommendations regarding fees for the use of facilities and their enrollment in programs, and the collection of these fees. 7 L Overall responsibility for the training, retention and supervision of all department employees. Adopted 6/7/2022 1 FOUNTAIN HILLS, ARIZONA Job Description 8 S Manages special projects; analyzes Town operations; reviews and monitors status reports, and recommends appropriate actions and plan modifications. Establishes priorities and assures program objectives and standards are defined, attained and congruent with the overall goals of the Town. 9 S Performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands Adopted 6/7/2022 2 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Bachelor’s Degree in Parks and Recreation Administration, Leisure Studies, Recreation Management, Public/Business Administration or related field required. Master’s Degree preferred. Work requires broad knowledge in a general professional or technical field. Knowledge is normally acquired through four years of college resulting in a Bachelor's Degree or equivalent in Parks & Recreation. Experience Nine (9) years professional experience in municipal government, including at least five (5) years supervisory and management experience required. Certifications and Other Requirements Possession of a valid driver's license for a minimum of two years with a good driving record. Certified Park and Recreation Executive (CPRE) status preferred. The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read reports, letters, correspondence, schedules, budget materials, requisitions. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication and division. Writing Ability to write clearly and concisely utilizing appropriate sentence structure, grammar and punctuation. Work requires the ability to write reports, letters, correspondence. Managerial Skill in effectively leading staff and creating a work environment that fosters teamwork and professionalism. Skill in managing multiple projects and prioritizing multiple tasks and demands. Ability to manage the department effectively, efficiently and in a proactive manner. Budget Responsibility Ability to prepare and defend the annual budget, including operational and capital improvement expenditures. Upon adoption, responsible for the overall compliance with the spending limits contained therein. Supervisory / Organizational Control Work requires supervising and monitoring performance for a group of regular employees in a work unit, including providing input on hiring/disciplinary actions and work objectives/effectiveness, and realigning work as needed; performance evaluations and promotions. Complexity Skill in analyzing complex issues, collecting information, and recommending methods, procedures and techniques for resolution of issues. Skill in analyzing and interpreting technical documents, and preparing complex reports. Requires the ability to simultaneously handle diverse tasks of varying priorities in an effective manner, with a focus on accomplishing results. Interpersonal / Human Relations Skills Position requires frequent contact with the public and various organizations on a variety of topics, many of which can be difficult and require a great deal of tact and diplomacy. Ability to work effectively with subordinates, peers, the media, and the public. Skill in establishing and maintaining cooperative working relationships with employees, officials, other agencies and the general public. Adopted 6/7/2022 3 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing F At park sites and at recreational facilities Sitting F Office work, meetings and driving Walking F Throughout park sites and facilities Lifting R Various equipment and supplies Carrying R Various equipment and supplies Pushing/Pulling R Various equipment and supplies Reaching R For files, supplies, etc. Handling R Files, equipment, supplies, etc. Fine Dexterity R Computer keyboard, calculator, telephone keypad, etc. Kneeling R Picking up supplies, equipment, etc. Crouching R To reach files, supplies, etc. Crawling R Retrieving Bending R To reach files, supplies, etc. Twisting R To reach files, supplies, etc. Climbing R To hang program banners at events, etc. Balancing R To hang program banner at events, reach for supplies, etc. Vision C Reading, computer monitor, driving, observing work activities. Hearing F Communicating with the general public, employees, etc. in person and/or on the phone Talking F Communicating with the general public, employees, etc. in person and/or on the phone Foot Controls O Operation of a vehicle Adopted 6/7/2022 4 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Computer and related software, vehicle, general office equipment, phone, fax, etc. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures S Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity S Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime C Performing Multiple Tasks Simultaneously C Working Closely with Others as Part of a Team C Tedious or Exacting Work C Noisy/Distracting Environment C Adopted 6/7/2022 5 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Other (see 3 below) (3) Adopted 6/7/2022 6 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Customer Service Representative II Department:Administration or Community Services Immediate Supervisor:Chief Financial Officer or Community Center Manager FLSA Status:Non-Exempt BRIEF DESCRIPTION OF THE JOB: Receives and directs visitors and callers to the appropriate Town representative or department. Responds to all forms of telecommunications at Town Hall and/or the Community Center. Performs moderately complex clerical and accounting work involving mail distribution, cashiering, program and facility registration. Assists with requests for public records. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Interacts frequently with the public by phone, email and through counter duty responding to customer inquiries and/or concerns. Demonstrates considerable tact and persuasion when dealing with customers who may become irate or distraught. 2 S Processes incoming and outgoing mail. Orders and maintains postage supplies. Distributes incoming faxes and maintains fax supplies. 3 L Receives and handles payments and reconciles daily transactions. 4 L Registers individuals for various recreation programs and recreational facilities. Processes refund requests for cancelled programs. 5 S Serves as the central cashiering function for Administration, Parks & Recreation and other Town departments, receiving payments, processing credit card transactions, balancing the cash drawer, compiling and preparing daily reports and receipts. 6 L Performs administrative duties such as preparing correspondence, updating various reports and records, miscellaneous filing, assisting with requests for public records. Provides notarial services to public and staff. Performs other duties as assigned. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/5/2018 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires knowledge necessary to understand basic operational, technical, or office processes. Level of knowledge equivalent to four years of high school or equivalency. Knowledge of CLASS system, ActiveNet, and Microsoft Office preferred. Experience Work requires a minimum of (2) two years customer service experience and computer literacy. ** Certifications and Other Requirements **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires ability to read routine documents. Math Work requires the ability to perform general math calculations (addition, subtraction, multiplication, division, percentages, decimals), ability to use a calculator, ability to count cash drawer. Writing Work requires the ability to produce correspondence with clearly organized thoughts using proper English sentence construction, punctuation and grammar. Managerial None Budget Responsibility None Supervisory / Organizational Control None Complexity Work involves professional judgment to provide appropriate responses to the public and staff. Interpersonal / Human Relations Skills The employee in this position contacts others within the organization as well as outside the Town. This employee must be able to deal with all types of people in a professional manner. Revised 6/7/2022 Adopted 6/5/2018 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O Mail services, faxing, copying, filing Sitting F Desk and computer work and answering the phone Walking O To and from office equipment and other departments Lifting R Files, office supplies, packages Carrying R Files, office supplies, packages Pushing/Pulling R Doors, filing drawers Reaching F For reference material, files, keyboard Handling C Paperwork, money Fine Dexterity F Computer keyboard, calculator, telephone keypad, writing Kneeling R Filing in lower drawers Crouching R Retrieving from lower drawers Crawling N N/A Bending O Filing in lower drawers, Twisting F From telephone to computer to book cases Climbing R Stairs Balancing R Files Vision C Reading, computer monitor Hearing C Communicating with staff and general public and on telephone Talking F Communicating with staff and general public and on telephone Foot Controls N N/A Revised 6/7/2022 Adopted 6/5/2018 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Personal computer and related software, telephone system, copier, fax machine, laminator, label maker and other general office equipment ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration M Electrical Hazards N Wetness/Humidity S Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures O Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime O Performing Multiple Tasks Simultaneously C Working Closely with Others as Part of a Team C Tedious or Exacting Work F Noisy/Distracting Environment O Other (see 3 below) Revised 6/7/2022 Adopted 6/5/2018 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Revised 6/7/2022 Adopted 6/5/2018 5 FOUNTAIN HILLS, ARIZONA Job Description P Job Title: Lead Park Attendant Department: Community Services Supervisor:Senior Recreation Program Coordinator FLSA Status: Non-Exempt BRIEF DESCRIPTION OF THE JOB: The Lead Park Attendant, under direct supervision, is responsible for driving between the Town’s multiple parks to prepare fields for sporting events, perform maintenance and custodial services, monitor and report vandalism and ensure that park grounds are free of trash and debris. The incumbent in this position also acts as a lead for other Park Attendants. The Lead Park Attendant trains and provides functional direction to Park Attendants, interprets and communicates policies, and reports operating issues to direct supervisors. Incumbent is expected to be available to work at the majority, if not all, of the Town’s large scale special events including, but not limited to: St Patrick’s Day Festival, Eggstravaganza, 4th at the Fountain, Back 2 School Bash and Turkey Trot. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Acts in a lead capacity which involves training employees, providing direction to other employees, interpreting and communicating policies and assignments to employees, and reporting operating issues to the supervisor. Incumbent is expected to be available to work all Town’s large scale events. 2 M Monitors parks using Town vehicles and equipment. Picks up trash and debris and cleans building facilities and restrooms. 3 M Sets up apparatus and other equipment and issues supplies; lines athletic fields and ball diamonds, participates in the delivery of recreation programs and interacts with participants. 4 S Checks for vandalism or unsafe conditions and reports them to supervisor. Completes daily status reports. Delivers flyers to park kiosks. 5 S Demonstrates continuous effort to improve operations, decrease turnaround times, streamline work processes, and work cooperatively and jointly to provide quality seamless customer service 6 L Performs other duties as assigned. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/5/2018 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires knowledge necessary to understand basic operational, technical, or office processes. Level of knowledge equivalent to four years of high school or equivalency. Experience Twelve (12) months experience as a Park Attendant or in related programs areas preferred. Certifications and Other Requirements Possession of a valid driver's license for a minimum of two years with a good driving record, Basic First Aid and CPR/AED Certification required. The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read reports, interpret manuals, rules, contracts, purchase orders, and professional publications. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication and division. Writing Work requires the ability to write reports and fill out forms. Must possess the ability to write letters, sponsorship requests, flyers, receipts, and equipment bids. Managerial None Budget Responsibility None Supervisory / Organizational Control While no direct supervision is exercised, work requires training of other employees, providing direction and clarification of job assignments of other employees, interpreting and communicating policies and procedures to other employees, and reporting operating issues to supervisory staff. Complexity Work requires the use of standard technical skills appropriate to the work environment of the organization. Limited analysis and independent thinking is utilized. Interpersonal / Human Relations Skills Establish and maintain effective working relationships with employees and the public. Revised 6/7/2022 Adopted 6/5/2018 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing C At park sites, recreation facilities and progarms/events Sitting F Deskwork, meetings, driving Walking F At park sites, recreation facilities and progarms/events Lifting F Equipment and supplies Carrying F Equipment and supplies Pushing/Pulling F Equipment and supplies Reaching F Equipment and supplies Handling F Equipment and supplies Fine Dexterity O Computer keyboard, telephone keypad, writing Kneeling F At park sites, recreation facilities and progarms/events Crouching F At park sites, recreation facilities and progarms/events Crawling O At park sites, recreation facilities and progarms/events Bending O At park sites, recreation facilities and progarms/events Twisting O At park sites, recreation facilities and progarms/events Climbing R At park sites, recreation facilities and progarms/events Balancing R At park sites, recreation facilities and progarms/events Vision C Reading, computer work, driving Hearing C Communication with staff and customers Talking C Communication with staff and customers Foot Controls F Operating vehicles Revised 6/7/2022 Adopted 6/5/2018 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards M Extreme Temperatures S Chemical Hazards M Noise and Vibration M Electrical Hazards N Wetness/Humidity S Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations O Frequent Change of Tasks F Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team F Tedious or Exacting Work F Noisy/Distracting Environment F Other (see 3 below) Revised 6/7/2022 Adopted 6/5/2018 4 PRIMARY WORK LOCATION Office Environment Warehouse Shop Vehicle Outdoors X Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Revised 6/7/2022 Adopted 6/5/2018 5 FOUNTAIN HILLS, ARIZONA Job Description P Job Title: Park Attendant Department:Community Services Supervisor:Senior Recreation Program Coordinator FLSA Status: Non-Exempt BRIEF DESCRIPTION OF THE JOB: The Park Attendant, under direct supervision, is responsible for driving between the Town’s multiple parks to prepare fields for sporting events, perform maintenance and custodial services, monitor and report vandalism and ensure that park grounds are free of trash and debris. Incumbent is expected to be available to work at the majority, if not all, of the Town’s large scale special events including, but not limited to: St Patrick’s Day Festival, Eggstravaganza, 4th at the Fountain, Back 2 School Bash and Turkey Trot. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 M Monitors parks using Town vehicles and equipment. Picks up trash and debris, and cleans building facilities and restrooms. 2 M Sets up apparatus and other equipment and issues supplies; lines athletic fields and ball diamonds, participates in the delivery of recreation programs and interacts with participants. 3 S Checks for vandalism or unsafe conditions and reports them to supervisor. Completes daily status reports. 4 S Delivers flyers to park kiosks. 5 M Performs other duties as assigned. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/5/2018 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires knowledge necessary to understand basic operational, technical, or office processes. Level of knowledge equivalent to four years of high school or equivalency. Experience Six (6) months experience in related programs areas preferred. Certifications and Other Requirements Possession of a valid driver's license for a minimum of two years with a good driving record, Basic First Aid and CPR/AED Certification required within 6 months of hire. The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read reports. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication and division. Writing Work requires the ability to write reports and fill out forms. Managerial None Budget Responsibility None Supervisory / Organizational Control None Complexity Work is governed by broad instructions, objectives and policies. Work requires the exercise of initiative and independent analytical and evaluative judgement. Interpersonal / Human Relations Skills Establish and maintain effective working relationships with employees and the public. Revised 6/7/2022 Adopted 6/5/2018 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing C At park sites, recreation facilities and progarms/events Sitting F Deskwork, meetings, driving Walking F At park sites, recreation facilities and progarms/events Lifting F Equipment and supplies Carrying F Equipment and supplies Pushing/Pulling F Equipment and supplies Reaching F Equipment and supplies Handling F Equipment and supplies Fine Dexterity O Computer keyboard, telephone keypad, writing Kneeling F At park sites, recreation facilities and progarms/events Crouching F At park sites, recreation facilities and progarms/events Crawling O At park sites, recreation facilities and progarms/events Bending O At park sites, recreation facilities and progarms/events Twisting O At park sites, recreation facilities and progarms/events Climbing R At park sites, recreation facilities and progarms/events Balancing R At park sites, recreation facilities and progarms/events Vision C Reading, computer work, driving Hearing C Communication with staff and customers Talking C Communication with staff and customers Foot Controls F Operating vehicles Revised 6/7/2022 Adopted 6/5/2018 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards M Extreme Temperatures S Chemical Hazards M Noise and Vibration M Electrical Hazards N Wetness/Humidity S Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations O Frequent Change of Tasks F Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team F Tedious or Exacting Work F Noisy/Distracting Environment F Other (see 3 below) Revised 6/7/2022 Adopted 6/5/2018 4 PRIMARY WORK LOCATION Office Environment Warehouse Shop Vehicle Outdoors X Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Revised 6/7/2022 Adopted 6/5/2018 5 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Parks Superintendent Department:Community Services Immediate Supervisor:Deputy Town Manager / Community Services Director FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: The Parks Superintendent plans, organizes and directs the activities of the Town’s park system. Incumbent is responsible for developing and monitoring the park’s budget, supervising and evaluating Parks Division staff, facilities and daily maintenance operations. Oversees, coordinates and administers the Town’s landscaping master contract for maintenance of parks, rights-of-way, groundskeeping, and other landscaping needs. Incumbent also coordinates activities with other departments and provides excellent customer service to citizens by resolving any issues and complaints. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 L Directs, supervises, and evaluates Parks Division staff. Responsible for overall operation of Parks Division facilities, amenities and vehicles and equipment. Provides organizational leadership by developing division and individual goals and objectives, and recommending strategies for maximizing efficiency, safety and quality of park operations. Ensures safe and efficient operation of Parks facilities and equipment and compliance with Town policies, state, and local regulations. 2 S Develops and monitors overall Parks Division budget. Conducts research and prepares written budgetary expenditure justification, facility usage and activity reports. Reviews and approves division purchases. 3 S Oversees, coordinates, and administers the Town’s landscaping master contract for maintenance of parks, rights-of-way, groundskeeping, and other landscaping needs. Meets with vendors and oversees contract workers. 4 S Participates in the planning of new park facilities. 5 L Plans, develops and evaluates annual maintenance, landscape and horticulture plans for parks. Demonstrates continuous effort to improve operations and customer service by streamlining work processes, reducing turnaround times and ensuring budgetary goals are met. 6 H Assists staff with daily maintenance and operations as needed at each park facility. 7 L Performs other duties as assigned or required. Revised 6/7/2022 Adopted 6/2/2020 1 FOUNTAIN HILLS, ARIZONA Job Description * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/2/2020 2 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires knowledge of a specific vocational, administrative, or technical nature, which may be obtained with a two-year associate’s degree, diploma or equivalent from a college, technical, business, or vocational school. Appropriate certification may be awarded upon satisfactory completion of advanced study or training. Proficient in Microsoft Office applications especially spreadsheets, and Word documents. Proficient in the use of electronic maintenance management systems. Experience Minimum 5 years experience in supervision of municipal parks or ground maintenance. Certifications and Other Requirements Possess a valid Arizona Driver's License for a minimum of two years with a good driving record; Playground Equipment and Safety certification; CPR certification; First Aid Certification; Structural Pest Control license. The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Ability to read and interpret reports, memos, bids, blueprints, manuals and correspondence. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication, and division; basic calibrations for chemical applications. Writing Requires ability to correspond by writing reports, e-mails, memos, letters, requisitions, and employee evaluations. Managerial Responsibilities include personnel reviews, maintenance schedules, administering contracts, and attending meetings. Budget Responsibility Responsible for preparing all Town parks annual budgets, including research and recommendations for park equipment and facilities Supervisory / Organizational Control Work requires managing and supervising all Parks Division employees, including input on hiring, disciplinary actions, goal-setting and evaluations. Complexity Work requires extensive knowledge of all aspects of grounds and facilities maintenance: turf, irrigation, buildings, electrical, mechanical, safety, budgets, customer service. Work is governed by broad instructions, objectives and policies. Work requires the exercise of considerable initiative and independent analytical and evaluative judgment. Requires the ability to exercise decisiveness and creativity in situations involving the evaluation of information against sensory, judgmental, or subjective criteria, as opposed to that which is clearly measurable or verifiable Interpersonal / Human Relations Skills The incumbents in this position contact others within the organization. These contacts may involve similar work units or departments within the Town, which may be involved in decision-making or providing approval or decision-making authority for purchases or projects. In addition, these incumbents work with individuals outside the Town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers will also be called upon for information on purchases, supplies or products. Meetings and discussions may be conducted with customers and the general public. Revised 6/7/2022 Adopted 6/2/2020 3 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing F During inspections, tours, and assisting personnel Sitting O Desk work, meetings, and driving Walking F During inspections, tours, and assisting personnel Lifting O Assisting crews with equipment and projects Carrying O Assisting crews with equipment and projects Pushing/Pulling O Assisting crews with equipment and projects Reaching O Assisting crews with equipment and projects Handling O Assisting crews with equipment and projects Fine Dexterity F Computer keyboard , telephone keypad and writing Kneeling O Assisting crews with equipment and projects Crouching O Assisting crews with equipment and projects Crawling N N/A Bending O Assisting crews with equipment and projects Twisting O Assisting crews with equipment and projects Climbing R Assisting crews with equipment and projects Balancing R Assisting crews with equipment and projects Vision F Reading, computer monitor, observing work activities Hearing C Communicating with personnel and general public Talking C Communicating with personnel and general public Foot Controls O Assisting crews with equipment and projects Revised 6/7/2022 Adopted 6/2/2020 4 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Backhoe, trencher, blower, chainsaws, trailer, tractor, gators, spreaders, paint and chemical spayers, printer, and computer ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards M Extreme Temperatures S Chemical Hazards M Noise and Vibration M Electrical Hazards M Wetness/Humidity S Fire Hazards N Respiratory Hazards M Explosives N Physical Hazards M Communicable Diseases M Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: Safety glasses, gloves, hearing protection, constuction hat, steel-toe shoes NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks O Irregular Work Schedule/Overtime O Performing Multiple Tasks Simultaneously C Working Closely with Others as Part of a Team C Tedious or Exacting Work O Noisy/Distracting Environment R Other (see 3 below) Revised 6/7/2022 Adopted 6/2/2020 5 PRIMARY WORK LOCATION Office Environment Warehouse Shop Vehicle Outdoors X Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Revised 6/7/2022 Adopted 6/2/2020 6 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Recreation Manager Department:Community Services Immediate Supervisor:Deputy Town Manager / Community Services Director FLSA Status: Exempt BRIEF DESCRIPTION OF THE JOB: To plan, organize and manage, through subordinate supervisors and staff, the operations of the recreation division within the Community Services Department. Incumbents supervise the development, coordination, implementation, and daily activities of the recreation, events, and related programs; have oversight of staff and recreational facility usage; have budget responsibility; and, are charged with program supervision and marketing of services and/or programs. Non-traditional work hours are required including nights, weekends, early mornings, and holidays. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 L Assists the Director in the development and administration of Community Services functions including policy and procedure administration, recreation, events and promotions, program development, strategic planning, partnership development and administration, organizational development, staff supervision, and facility utilization. 2 L Supervises full and part-time recreation staff, volunteers, and contract personnel; conducts supervisory meetings, attends management meetings, and full staff meetings; selects, plans, assigns, supervises, trains, and evaluates the work of subordinates. 3 S Under the supervision of the director, develops, prepares, administers, and monitors the annual budget, including monitoring of fees, expenditures, and revenues for recreation and related programs. Ensures grant opportunities are optimized, including marketing and event opportunities, researches, develops, and presents to Council activities relating to budget. 5 L Oversees the activities, permitting, and use of public recreation facilities; participates in the planning of park and recreation facilities through the CIP process; ensures compliance with applicable rules, regulations, and policies; manages risk and safety for recreation and events; ensures adherence to safety and risk management practices. 6 L Markets, promotes, and coordinates programs by preparing marketing materials including social media; promotes the Town as a special event destination; recruits event producers, procures sponsorships, and develops partnerships to enhance Town events; acts as a Town representative for committees, including the special event committee; monitors and evaluates event logistics including the permitting process; oversees coordination of support necessary from other sources including police, fire, and other departments when applicable. 7 S Supports and promotes Community Services Department initiatives through cross- divisional collaboration and communication. 7 S Acts as Deputy Town Manager / Community Services Director in their absence. Revised 6/7/2022 Adopted 6/5/2018 1 FOUNTAIN HILLS, ARIZONA Job Description 8 L Manages various related projects and performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/5/2018 2 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires broad knowledge in a general professional or technical field. Knowledge is normally acquired through four years of college resulting in a Bachelor's Degree or equivalent in recreation, leisure studies, parks and recreation management, recreation administration, recreation management, or related field. Considerable knowledge of recreation program design and management; planning and provision of large scale public events and promotions. Experience A minimum of five (5) years experience in professional recreation management with a minimum of three (3) years at a supervisory level. Certifications and Other Requirements Possession of a valid driver's license with a minimum of two years with a good driving record; Basic First Aid and CPR/AED Certification required. Certified Parks and Recreation Professional (CPRP) or Certified Parks and Recreation Executive (CPRE) status preferred. IFEA Certified Festival and Event Associate certification preferred. Membership in Arizona Parks and Recreation Association (APRA) as well as the National Recreation and Parks Association (NRPA) is preferred. Non-traditional work hours are required including nights, weekends, early mornings, and holidays. The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read and comprehend contracts, bids, proposals, applications, registrations, insurance documents, council reports, budgets, meeting minutes, newsletters, equipment specifications, surveys, e-mails, purchase orders and instruction manuals. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication and division. Writing Work requires the ability to write intergovernmental agreements, evaluations, reports, letters, memos, contracts, grant applications, and sponsorship letters; and create other documents and registration forms, Managerial Plans, organizes, and directs the actvities of staff engaged in the delivery of recreation services to the community. Budget Responsibility Administers the budget for the Recreation Division, which includes both expenditures and revenues. Oversees grant applications and reports to Town Council on budget and grant status. Supervisory / Organizational Control Supervises employees, volunteers, interns, and oversees contracted employees directly and through the recreation coordinators to ensure a smooth operation of all recreation programs and facilities. Reviews reports of employees; advises and directs subordinates in the improvement of work processes. Complexity Work is governed by broad instructions, objectives and policies. Work requires the exercise of considerable initiative and independent analytical and evaluative judgment. Requires the ability to exercise decisiveness and creativity in situations involving the evaluation of information against sensory, judgmental, or subjective criteria, as opposed to that which is clearly measurable or verifiable. Interpersonal / Human Relations Skills Position requires frequent contact with others internally and externally. These contacts may involve similar work units or departments within the Town, which may be involved in decision-making or providing approval or decision-making authority for purchases or projects. In addition, these incumbents work with individuals outside the Town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Revised 6/7/2022 Adopted 6/5/2018 3 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10-20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10-20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20-50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing F At park sites, recreation facilities and programs/events Sitting F Deskwork, meetings, driving Walking F At park sites, recreation facilities and programs/events Lifting O Equipment and supplies Carrying O Equipment and supplies Pushing/Pulling R Equipment and supplies Reaching O Equipment and supplies Handling O Equipment and supplies Fine Dexterity F Computer keyboard, telephone keypad, writing Kneeling O At park sites, recreation facilities and programs/events Crouching O At park sites, recreation facilities and programs/events Crawling R At park sites, recreation facilities and programs/events Bending O At park sites, recreation facilities and programs/events Twisting O At park sites, recreation facilities and programs/events Climbing R At park sites, recreation facilities and programs/events Balancing R At park sites, recreation facilities and programs/events Vision C Reading, computer work, driving Hearing C Communication with staff and customers Talking C Communication with staff and customers Foot Controls O Operating vehicles Revised 6/7/2022 Adopted 6/5/2018 4 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Computer and related software, vehicle, general office equipment, telephone, fax, etc. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures S Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity S Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations O Frequent Change of Tasks F Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team C Tedious or Exacting Work F Noisy/Distracting Environment C Other (see 3 below) (3) Revised 6/7/2022 Adopted 6/5/2018 5 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Job Title: Senior Recreation Program Coordinator Department:Community Services Immediate Supervisor:Recreation Manager FLSA Status: Exempt BRIEF DESCRIPTION OF THE JOB: This is the advanced-level professional class within the Recreation Coordinator series. Employees within this class are distinguished from the Recreation Coordinator by the performance of the full range of duties, as well as overseeing the more complex assignments given to the Recreation Coordinator. Employees at this level receive only occasional instruction or assistance as new or unusual situations arise, are fully aware of the operating procedures and policies of the work unit, and are performing the full range of duties assigned to the class. Positions in this class are flexibly staffed and are filled by advancement from the lower class of Recreation Coordinator. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 L Plans, coordinates, and directs recreational activities, including but not limited to, athletic events, youth and teen programs, therapeutics programs, special interest classes, environmental education, and other related programs. 2 S Supervises and evaluates assigned staff, addresses employee concerns and problems, counsels, disciplines and completes performance appraisals; hires and/or assists in the hiring of part-time employees. 3 L Develops program schedules and plans; organizes and allocates equipment, facility space, fields and/or supplies; schedules and coordinates program events with vendors, sponsors, instructors, volunteers, coaches, referees and/or other service providers; and creates and distributes schedules and calendars identifying events, locations, staff assignments and other pertinent information. 4 S Performs various administration tasks; oversees registration and the collection of fees; administers service contracts; monitors allocated program budgets and expenditures; receives, reviews and records invoices from vendors and service providers; and purchases equipment, materials and supplies; records and deposits revenues; reviews time sheets and maintains attendance records. 5 S Meets and coordinates with community interest groups; acts as liaison with school and community agencies to coordinate joint facility use or program agreements; responds to complex and sensitive citizen complaints, then suggests and recommends corrective measures as necessary to resolve issues. 6 S Interprets and enforces department policies, procedures, and regulations; assists in preparing manuals, rules and regulations, announcements, bulletins, and Adopted 6/7/2022 1 FOUNTAIN HILLS, ARIZONA Job Description promotional materials; develops yearly program calendar for area of responsibility; participates in the preparation of grant applications. 7 S Performs research, analyzes findings, prepares reports and statistics in order to recommend changes in recreational programming; monitors and evaluates program outcomes. 8 S Determines distribution materials and methods to promote recreation programs; collaborates with school districts, non-profit groups, citizens and other departments to promote programs and activities. 9 S Performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands Adopted 6/7/2022 2 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires broad knowledge in a general professional or technical field. Knowledge is normally acquired through four years of college resulting in a Bachelor's Degree or equivalent in Recreation, Leisure Studies, or closely related field. Experience Minimum three years’ experience and one year of supervisory experience required, in professional recreation work, including programming and coordinating recreational activities. Must have the ability to work a flexible schedule to include occasional evenings, weekends and holidays. . Certifications and Other Requirements Possess a valid Arizona Driver's License with a minimum of two years driving experience with a good driving record; Basic First Aid and CPR/AED Certification required or ability to obtain within first six months of employment. Certified Parks and Recreation Professional (CPRP) status preferred.The Town currently designates this job as a “safety-sensitive position.” Accordingly, the Town requires satisfactory completion of a drug and alcohol screening as a condition of employment. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read and interpret manuals, rules, contracts, purchase orders, and professional publications. Math Work requires the ability to to perform general math calculations such as addition, subtraction, multiplication, division, fractions and percentages. Writing Work requires the ability to write forms, letters, sponsorships, fliers, receipts, equipment bids, purchase requisitions and reports. Managerial Participates in establishing goals and objectives for the department; establishes goals and objectives for area of responsibility. Budget Responsibility Participates in budget preparation and administration; prepares cost estimates for budget recommendations; submits justifications for budget; monitors and controls program expenditures. Supervisory / Organizational Control Supervises the hiring, scheduling, and training of all reporting staff; provides and coordinates staff, volunteer and contract staff training; works with employees to correct deficiencies; and implement disciplinary procedures. Complexity Work involves decision making within established standard practices and procedures. Professional judgment and analytical skills required to determine appropriate course of action. Interpersonal / Human Relations Skills The incumbents in this position contact others within the organization. These contacts may involve similar work units or departments within the Town, which may be involved in decision-making or providing approval or decision-making authority for purchases or projects. In addition, these incumbents work with individuals outside the Town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Meetings and discussions may be conducted with department heads, customers, brokers and sales representatives. Adopted 6/7/2022 3 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O At special events and programs Sitting C Deskwork Walking O Around offices and during special events Lifting R Supplies and equipment Carrying R Supplies and equipment Pushing/Pulling R Supplies and equipment Reaching R For supplies and equipment Handling O Supplies and equipment Fine Dexterity R Supplies and equipment Kneeling R Retreiving items from the ground Crouching R Retreiving items from the ground Crawling R Retreiving items from the ground Bending R Retreiving items from the ground Twisting R Retreiving items from the ground or from shelving Climbing R Ladder Balancing R Ladder Vision F Reading, driving, observing work activities Hearing F Communicating with personnel and general public on telephone Talking F Communicating with personnel and general public on telephone Foot Controls O Driving Adopted 6/7/2022 4 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Scoreboards, toolboxes, computer and related software, general office machines such as copier, fax. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures S Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity S Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below)N (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations O Frequent Change of Tasks F Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team C Tedious or Exacting Work F Noisy/Distracting Environment F Other (see 3 below) Adopted 6/7/2022 5 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Adopted 6/7/2022 6 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Volunteer Coordinator Department:Community Services Immediate Supervisor:Deputy Town Manager / Community Services Director FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: Responsible for recruiting, screening, placement, and ongoing management and support of volunteers. Tracks volunteer involvement, such as number of hours served; keeps the database of volunteers updated, and provides assistance when requested by a volunteer or staff member. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Recruits volunteers for placement in various Town departments, events, and activities to further the Town's work, interviewing potential volunteers and placing them according to their interests and skills. Provides orientation that will encourage volunteer's success. 2 L Plans, organizes, and implements volunteer recognition events and activities, including annual Volunteer Reception, volunteer coffees, newsletters, etc. Coordinates "Give a Lift", Home Delivered Meals, and Make a Difference Day; assists with other local events such as the Volunteer EXPO. 3 L Supervises staff to include prioritizing and assigning work, conducting performance evaluations, developing and implementing disciplinary actions, and ensuring staff is cross-trained. Trains Home Delivered Meals staff and volunteers; and may help deliver meals when necessary. 4 S Serves on task forces and committees related to volunteerism for the Town. Actively markets and promotes volunteer program. Maintains public contacts in the community sectors in order to promote the program. Coordinates the preparation of publicity materials such as flyers, banners, posters, social media, and website. 5 S Monitors and evaluates volunteers’ performance in regard to having positive public relations skills and being good ambassadors for the Town. Holds regular meetings with the volunteers to update current policies and information. Maintains volunteer time records, applications and database. 6 S Reviews proposed legislation and Town, departmental, and program policies and procedures for issues related to volunteers. 7 S Performs other duties as assigned. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/1/2017 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Knowledge is normally acquired through four years of college resulting in a Bachelor's Degree or equivalent in Social Work, Liberal Arts, Public Relations, Business or Public Administration, or a closely related field. Work requires knowledge necessary to understand principles, techniques, tools and media used in promoting good public relations, in addition to principles and practices of volunteer management. Experience Minimum of two (2) years of experience in professional volunteer management or public relations. Experience in customer service. Must be able to relate with people and follow up with tasks. Reading Work requires the ability to read reports, letters, correspondence, schedules, budget materials, and requisitions. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication, and division. Writing Work requires the ability to write reports, letters, correspondence, purchase requisitions, thank you notes, and newsletters. Managerial None Budget Responsibility Assists in preparing and monitoring the Volunteer Program annual budget. Supervisory / Organizational Control While the position does not involve supervising staff, the position does involve overseeing, hiring, placing, providing assignments, supervising, and evaluating volunteers. Complexity Work requires analysis and judgment in accomplishing diverse duties. Work requires the exercise of independent thinking within the limits of policies, standards, and precedents. Interpersonal / Human Relations Skills The incumbents in this position contact others within the organization and cooperatively works with individuals to resolve problems and coordinate projects. Communicates with clients, the general public, Town employees, facility staff, vendors and guests either through personal contact, computer, or telephone. Human relations skills are important to this position. Revised 6/7/2022 Adopted 6/1/2017 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O Filing, copying, and assisting the public. Sitting F Deskwork and meetings Walking O To and from office equipment and other departments and during programs Lifting O Boxes and books., coffee, pates, pictures of volunteers, etc. Carrying O Light weight equipment and office supplies Pushing/Pulling R Light weight equipment and piano. Reaching O For supplies and files Handling C Paperwork . Fine Dexterity C Computer keyboard and calculator Kneeling R Retrieving filing items and organizing equipment and supplies Crouching R Retrieving filing items and organizing equipment and supplies Crawling R Retrieving small pieces of equipment and supplies under tables Bending O Retrieving filing items, small equipment, and supplies Twisting R Retrieving filing items, small equipment, and supplies Climbing R Stairs and ladder. Balancing R On ladder. Vision C Reading, computer monitor, observing work activities Hearing C Communicating with staff and the general public on the phone and in person. Talking C Communicating with staff and the general public on the phone and in person. Foot Controls N N/A Revised 6/7/2022 Adopted 6/1/2017 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Computer, copy machine, fax machine, laminator, telephone, calculator, general office supplies, Automated External Defibrillator, and first aid kits. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below)N (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures O Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime R Performing Multiple Tasks Simultaneously C Working Closely with Others as Part of a Team C Tedious or Exacting Work O Noisy/Distracting Environment R Other (see 3 below) Revised 6/7/2022 Adopted 6/1/2017 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Revised 6/7/2022 Adopted 6/1/2017 5 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Accountant Department:Administration Immediate Supervisor:Chief Financial Officer FLSA Status: Exempt BRIEF DESCRIPTION OF THE JOB: Performs various accounting duties including processing cash receipts, accounts receivable, and journal entries. Creates and posts entries to the general ledger, reconciles general ledger accounts, and prepares monthly reports. Performs assigned tax compliance desk audits. Initiates, researches, and resolves a variety of tax compliance issues and inquiries. Assists taxpayers with licensing, collections, payments, and account issues. Assists Finance staff with canvassing, license inspection, business community collaboration partnerships, developing educational materials, and assigned projects. Assists with research and analysis. Administers the Procurement Card program and is the liaison for all banking matters. Assists the Senior Accountant and Finance Director with the preparation of the annual budget and CAFR. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Creates journal entries; reconciles general ledger accounts to journals; reviews, codes and enters cash receipts; reconciles merchant statements, assists in maintaining accounting records (general ledger accounts, fixed assets, etc.), assists with budget and annual financial report preparation, and works with the auditors on the annual audit. 2 S Performs tax compliance desk audits, assigned field audits, and coordinates with other municipalities on multi-jurisdictional audits as needed. Initiates or responds to taxpayer inquiries and provides transaction privilege tax assistance as well as resolving issues with licensing, reporting, and collections. Educates taxpayers on tax law interpretation and application to their business activity. Researches and analyzes taxability issues. 3 S Prepares monthly revenue and expenditure journals, assists with monitoring departmental expenditures to notify departments when budget line items are exceeded, responds to departmental requests for detailed Munis reports and other Munis assistance as necessary. 3 S Assists in the administration of the Procurement Card program. This includes monitoring the online P-Card database to ensure cardholder/supervisor compliance with timely reconciliation of accounts. 4 S Performs other related duties as assigned by Senior Accountant and Chief Financial Officer. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 6/5/2018 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Bachelor's degree or equivalent in Accounting. Knowledge of accounting principles, practices, and procedures on manual and automated systems, plus ability to work with detail, and good organizational skills; skilled in dealing with financial and numeric data and use of Excel spreadsheets and other accounting software. ** Experience Three years of experience in accounting, financial analysis and reporting and account reconciliations. Governmental experience preferred. Incumbents should have some understanding of GASB, GAAP and cost accounting rules and regulations. Certifications and Other Requirements **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read manuals, contracts, general ledger reports, budget reports and general correspondence. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication, division as well as business math. Writing Work requires the ability to write memos, emails, and documenting procedures. Managerial None. Budget Responsibility Work requires the ability to coordinate and prepare the annual budget. Job requires the monitoring of department budget expenditures. Supervisory / Organizational Control None. Complexity Work requires analysis and judgment in accomplishing diversified duties. Work requires the exercise of independent thinking within the limits of policies, standards, and precedents. Interpersonal / Human Relations Skills The incumbent in this position contacts others within the organization. These contacts may be involved in decision making or providing approval or decision making authority for purchases or projects. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Revised 6/7/2022 6/5/2018 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing F Filing, making copies, faxing Sitting F Deskwork Walking F To and from office equipment, other offices, mailroom Lifting O Files, office supplies, binders Carrying O Files, mail, binders Pushing/Pulling R File boxes Reaching F For supplies, files, and mail Handling C Paperwork Fine Dexterity F Computer keyboard, calculator, telephone keypad, writing Kneeling O Filing in lower drawers Crouching O Filing in lower drawers Crawling N N/A Bending F Filing in lower drawers Twisting F From computer to other desk areas and bookcase Climbing O Ladder to reach files, stairs Balancing N N/A Vision C Reading, computer monitor Hearing C Communicating with the public and personnel both in person and on the phone Talking F Communicating with the public and personnel both in person and on the phone Foot Controls N N/A Revised 6/7/2022 6/5/2018 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Calculator, copier, fax machine, telephone, typewriter, printer, general office supplies, computer and related software such as Excel, Word and Access. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime O Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team F Tedious or Exacting Work F Noisy/Distracting Environment R Revised 6/7/2022 6/5/2018 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Other (see 3 below) (3) Revised 6/7/2022 6/5/2018 5 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Chief Financial Officer Department:Finance Immediate Supervisor:Town Manager FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: Chief Financial Officer is the highest financial position within the town and is responsible for the formulation and execution of the town’s overall financial policies, strategies, planning, and forecasts. Specific responsibilities may include: management oversight of business services and financial services; approving and coordinating improvements in automated financial systems for the town; ensuring compliance with the town’s financial policies, local, state, and federal budgetary, and financial reporting requirements; overseeing the approval and processing of revenue, expenditure, department budgets, cash flow, cost controls, financial statements, financial forecasting, monitoring investment activities and performance; evaluating the work of professional, paraprofessional, and office support staff who perform tasks related to budget preparation, budget adjustments preparation and processing, financial planning and budgeting for significant fixed assets and capital improvements; analyzing cash flow, cost controls, financial statements, and expenses to identify opportunities, and to guide town management; coordinating debt management and capital financing, Community Facilities Districts (CFDs), development agreements and other financial activities as required. Additionally, the Chief Financial Officer is responsible for establishing and implementing financial policies and operating procedures; establishing and maintaining appropriate financial safeguards and controls; monitoring and analyzing town revenues and expenditures; negotiating, reviewing, and approving revenue and expenditure projections; applying policy criteria to ensure that agreements are adequate as to accounting form; and providing written and verbal status and findings. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Serves as the town’s highest financial position by providing overall administration, supervision, decision making, and complex policy direction for a wide variety of functions including accounting, budget, revenue management, financial reporting, tax administration, auditing, and treasury functions; responsible for the formulation and execution of the town’s overall financial policies, strategies, planning, and forecasts; communicates and coordinates regularly with internal and external stakeholders to maximize the effectiveness and efficiency of interdepartmental operations and activities. 2 S Responsible for the complete preparation of the town’s annual budget, disbursement of town funds, bond issues, assessing the financial statements, and special assessment districts; establishes goals, objectives, budgets, resource allocations, and expenditures for assigned departments; analyzes and monitors the town’s financial condition; actively engages the senior management team and Council to develop short, medium, and long-term financial forecasts and projections; Actively participates in development of the town’s budget, Adopted 6/7/2022 1 FOUNTAIN HILLS, ARIZONA Job Description monitoring expenditures and debt services, identifying new funding sources, and making budgetary recommendations to the Town Manager and Town Council; manages budget procedures and monitors the town’s budget including revenues and expenditures. 3 S Supervises staff to include prioritizing and assigning work, conducting performance evaluations, developing and implementing disciplinary actions, and ensuring staff is cross-trained. Develops, implements, and evaluates departmental policies, procedures, strategies and goals. 4 S Manages the town’s debt and investment programs, including development and maintenance of information and analysis needed by outside investment managers, financial advisors, bond counsel, and credit rating agencies; strives to help the town receive an acceptable return on investments; prepares and negotiates complex underwriting of financial and advisory contracts, bond counsel contracts, town bond ratings presentations, lease terms, external auditor contracts, as well as other financial agreements, services, and investments for the town. 5 S Directs the preparation of the Annual Comprehensive Financial Report (ACFR) in compliance with generally accepted accounting practices (GAAP); plans and organizes the town’s accounting activities including financial statement preparation and coordination of annual audits; prepares reports of financial condition and results of operations; ensures that the town’s financial processes, internal controls and accounting systems are operating in accordance with all applicable statutes, federal, and state rules, regulations, generally accepted accounting principles, contracts, and grant agreements relating to accounting and financial reporting; interprets and enforces financial policies and procedures; establishes and maintains direction and regulation over revenues, expenditures, and services in accordance with accounting, and auditing processes. 6 S Attends management meetings and public meetings including making presentations to Council, civic and citizen groups. Serves on the executive leadership team to assist the Town Manager and staff in developing, planning and implementing goals and objectives to meet the operational needs of the town; prepares and reviews proposed ordinances and resolutions relating to expenditures, revenues, tax levies, and other fiscal measures. 7 S Performs other related duties as assigned. * See page 3 – Overall Physical Strength Demands Adopted 6/7/2022 2 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Bachelor’s degree in Finance, Accounting, Business Administration or related field; master’s degree preferred. Experience Seven (7) years’ experience in public finance administration, or accounting preferably in a municipal setting, including three (3) years at a managerial level. Certifications and Other Requirements Certification by the State of Arizona as a Certified Public Accountant (CPA) preferred. Member of national and local Government Finance Officers Association is desired **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read federal, state, and local regulations, accounting manuals and promulgations, and computer manuals. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication, division as well as interpolations, statistical analysis, and projections. Writing Work requires the ability to write reports, summaries, memos, letters, outlines, and requests; written reports need to be understandable by the general public. Managerial Planning responsibilities include allocation of personnel and resources to accomplish all assignments that have deadlines and communicating requirements for upcoming changes, deadlines, training and computer updates. Budget Responsibility The incumbent prepares the annual budget document that meets governmental standards (GFOA), prepares estimates of revenues, researches alternative funding resources and may recommend budget allocations for presentation to the Town Manager. Monitors actual versus budgeted revenues and expenditures. Supervisory / Organizational Control Work requires supervising and monitoring performance for a group of regular employees in a work unit, including providing input on hiring/disciplinary actions and work objectives/effectiveness, and realigning work as needed; performance evaluations and promotions. Complexity Work is governed by broad instructions, objectives and policies. Work requires the exercise of considerable initiative and independent analytical and evaluative judgment. Interpersonal / Human Relations Skills The incumbents in this position contact others within the organization. These contacts may involve similar work units or departments within the town, which may be involved in decision-making or providing approval or decision-making authority for purchases or projects. In addition, these incumbents work with individuals outside the town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the employee. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Meetings and discussions may be conducted with department heads, customers, brokers and sales representatives. Adopted 6/7/2022 3 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10- 20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10- 20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20- 50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O Talking with staff, making presentations to the public, Town Council or staff Sitting C Deskwork, meetings Walking O Talking with staff, attending meetings Lifting O Files and office supplies Carrying O Files and office supplies Pushing/Pulling R Files and office supplies Reaching O Filing and storage of files Handling C Paperwork, telephone Fine Dexterity C Computer keyboard, calculator, writing Kneeling R Files and office supplies Crouching R Files and office supplies Crawling N None Bending O Files and office supplies Twisting R Files and office supplies Climbing R Stairs Balancing R Files Vision C Reading, computer monitor Hearing C Communicating with personnel and telephone Talking F Communicating with personnel and telephone Foot Controls N N/A Adopted 6/7/2022 4 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Copy machine, fax machine, telephone, calculator, general office supplies, computer and related software, laser and/or inkjet printer ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime F Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team F Tedious or Exacting Work C Noisy/Distracting Environment O Other (see 3 below) Adopted 6/7/2022 5 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description (3) Adopted 6/7/2022 6 FOUNTAIN HILLS, ARIZONA Job Description Job Title: Financial Services Technician Department:Administration Immediate Supervisor:Chief Financial Officer FLSA Status:Non-Exempt BRIEF DESCRIPTION OF THE JOB: Performs as a professional specialist with responsibility for an accounting program, function or specialty area. May be assigned to a specific functional area such as Accounts Payable, Accounts Receivable or Licensing, or may carry out special projects as assigned. ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Processes/reconciles daily cash receipts, requisitions, purchase orders, accounts payable and accounts receivable invoices, purchasing cards, petty cash or other program areas as assigned. 2 S Handles all inquiries and maintains the files for the program area assigned. Verifies information for accuracy and resolves any discrepancies prior to preparing data or preparing accounting or managerial reports. 3 S Responsible for all business licensing and animal licensing, including resolving any issues. Utilizes and maintains multiple software applications and reports, which includes coordination with Code Enforcement and processing notice violations. 4 S Handles the issuance of peddlers licenses, badges, and approvals with other departments. Processes regular liquor license applications. 5 S Acts as liaison with other departments to coordinate accounting activities, such as insuring accurate requisition preparation, following up on invoicing, and reconciliation of cash receipts from all departments. 6 S Assists with other accounting functions as assigned, including but not limited to, front desk coverage and general ledger journal entries and reconciliations. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/5/2018 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Work requires knowledge of a specific vocational, administrative, or technical nature which may be otained with two years of advanced study or training past the high school equivalency. Junior college, vocational, business, technical or correspondence schools are likely sources. Experience A minimum of two years accounting experience. Knowledge of Microsoft Office, ActiveNet, and MUNIS preferred Certifications and Other Requirements **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read invoices, license applications, purchase orders, reports, and general correspondence. Attention to detail is a requirement of this position. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication, and division, as well as business math. Writing Work requires the ability to write memos, emails, and documenting procedures. Managerial None Budget Responsibility None Supervisory / Organizational Control None Complexity Work requires analysis and judgment in accomplishing diversified duties. Work requires the exercise of independent thinking within the limits of policies, standards, and precedents. Interpersonal / Human Relations Skills The incumbent in this position contacts others within the organization. These contacts may be involved in decision making or providing approval or decision making authority for purchases or products. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Customers may also be called for information on licensing. Revised 6/7/2022 Adopted 6/5/2018 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10-20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10-20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20-50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing O Filing, making copies, and faxing Sitting C Deskwork Walking R To and from office equipment, mailroom, and other departments Lifting R Files, boxes, and books Carrying R Files, office supplies, books, and boxes Pushing/Pulling R File boxes Reaching F For supplies, files, and mail Handling C Paperwork Fine Dexterity F Computer keyboard, calculator, telephone keypad, writing Kneeling R Filing in lower drawers Crouching R Filing in lower drawers Crawling N N/A Bending O Filing in lower drawers Twisting F From computer to other desk areas Climbing R Ladder to reach files, stairs Balancing R While on ladder reaching for files Vision C Reading, computer monitor Hearing C Communicating with the public and personnel both in person and on the phone Talking F Communicating with the public and personnel both in person and on the phone Foot Controls N N/A Revised 6/7/2022 Adopted 6/5/2018 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Calculator, copier, fax machine, telephone, typewriter, printer, general office supplies, computer and related software such as Munis, Access and Excel. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime R Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team C Tedious or Exacting Work C Noisy/Distracting Environment O Other (see 3 below) (3) Revised 6/7/2022 Adopted 6/5/2018 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) FOUNTAIN HILLS, ARIZONA Job Description Job Title: Senior Accountant Department:Administration Immediate Supervisor:Chief Financial Officer FLSA Status:Exempt BRIEF DESCRIPTION OF THE JOB: Provides advanced, professional level accounting support to the Town, utilizing knowledge and understanding of Generally Accepted Accounting Principles (GAAP), Governmental Accounting Standards Board (GASB) pronouncements, bank and cash management principles, and industry standards and practices. Incumbent works with considerable independence and is assigned complex financial activities. Incumbent performs various complex and detailed accounting activities, including advanced research, analysis, and reconciliation of Town's bank and investment accounts; develops policies and procedures, including internal controls; and participates in special projects as assigned. Additionally, the Senior Accountant position may lead or supervise staff and/or oversee operational components in assigned area. Also, the Senior Accountant will prepare information for auditors, administer grants, assist in budget development and implementation, and assists with the preparation of the annual budget and various financial reports. Provides support for the MUNIS system ESSENTIAL FUNCTIONS: This information is intended to be descriptive of the key responsibilities of the position. The following examples do not identify all duties performed by any single incumbent. Physical Strength Code ESSENTIAL FUNCTIONS 1 S Participates in the accomplishment of organizational, departmental and division goals and objectives; monitors and evaluates the efficiency, effectiveness and accuracy of program operations, procedures, and use of resources; recommends and/or implements improvements as needed; Maintains accounting records (general ledger accounts, fixed assets, etc.), databases (MUNIS, Access, etc.) and reports. Provides support for MUNIS system, including contacting Tyler Technologies, to correct any issues. 2 S Assists with the preparation of the Town's Annual Budget and Annual Financial Report (AFR); interacts with external auditors as necessary. Analyzes and implements automated financial systems; provides guidance and assistance in the resolution of difficult accounting issues; interprets and resolves accounting problems identified by staff, auditor or other departments; clarifies accounting requirements, procedural needs and priorities. 3 S Assists with internal and external reporting function; researches as needed; provides necessary documentation regarding financial transactions; reconciles bank and investment accounts; maintains strong relationships with banking agencies; monitors daily bank balances and initiates account transfers as needed; reviews balances and daily activity; reviews and posts required journal entries; identifies and resolves bank discrepancies; and administers the procurement card program. 4 S Performs complex financial analysis; prepares standard and ad hoc financial reports for Town Manager and directors; develops, updates and implements policies, procedures pertaining to accounting functions. 5 S Assists the Chief Financial Officer and Town Manager with projects as assigned. * See page 3 – Overall Physical Strength Demands Revised 6/7/2022 Adopted 6/1/2021 1 FOUNTAIN HILLS, ARIZONA Job Description JOB REQUIREMENTS: JOB REQUIREMENTS Formal Education / Knowledge Bachelor’s degree in accounting or related field from an accredited college or university. A minimum of five years of full-time professional experience in accounting, auditing, budgeting, or closely related financial activity, including a minimum of one year lead/supervisory experience. ** Experience Five years of previous experience in the area of assignment, governmental accounting experience and experience preparing Annual Financial Reports, and demonstrated ability to understand and interpret grant and contractual requirements and compliance are desirable. Knowledge of generally accepted accounting principles (GAAP) accounting and/or modified accrual accounting as it relates to government is desirable. Experience with debt and lease accounting, knowledge of Community Facility Districts (CFD’s), cost accounting and allocation desirable. Certifications and Other Requirements Certified Public Accountant (CPA), Certified Public Finance Officer (CPFO), and/or Certified Governmental Financial Manager (CGFM) certification(s) are preferred. **Equivalent combinations of experience and training that meet the minimum qualifications may be substituted. Reading Work requires the ability to read research papers, legal documents, statues, policies, procedures, and Town Codes at a college level. Math Work requires the ability to perform general math calculations such as addition, subtraction, multiplication and division and create moderately complex mathematical formulas, interpret mathematical methodologies used in the analysis in research papers published in various journals at a college level. Writing Work requires the ability to write in a clear and concise manner to Councilmembers, Town management staff, and others in reports, correspondence, and memoranda at a college level. Managerial Work requires functioning as a lead worker and includes overseeing work quality, training, and instructing. Budget Responsibility Supports the preparation of budget documents; may do research to justify data used in documents for a unit or division of adepartment. May recommend budget allocations. Often compiles data and/or enters oroversees data entry. May have responsibility for monitoring budget expenditures. Requires the ability to assist with the preparation of the annual Town budget. Supervisory / Organizational Control None. Complexity Work requires analysis and judgment in accomplishing diversified duties. Work also requires critical and independent thinking within the limits of policies, standards, and precedents. Interpersonal / Human Relations Skills The incumbent in this position contacts others within the organization. These contacts may involve similar work units or departments within the Town which may be involved in decision making or providing approval or decision making authority for purchases or projects. In addition, the Senior Accountant works with individuals outside the Town who may belong to professional or peer organizations. Working with various state and federal agencies may also be required of the Senior Accountant. Vendors and suppliers may also be called upon for information on purchases, supplies or products. Meetings and discussions may be conducted with customers, brokers and sales representatives. Incumbents in this class may be asked for input to policy development/revision activities and are expected to explain/interpret policy to their coworkers. Employee must maintain regular attendance and the ability to work in a constant state of alertness and safe manner. Revised 6/7/2022 Adopted 6/1/2021 2 FOUNTAIN HILLS, ARIZONA Job Description OVERALL PHYSICAL STRENGTH DEMANDS: Sedentary Light Medium Heavy Very Heavy S=sedentary Exerting up to 10 lbs. occasionally or negligible weights frequently; sitting most of the time L=Light Exerting up to 20 lbs. occasionally, 10lbs. frequently, or negligible amounts constantly OR requires walking or standing to a significant degree. M=Medium Exerting 20-50 lbs. occasionally, 10-25 lbs. frequently, or up to 10-20 lbs. constantly. H=Heavy Exerting 50-100 lbs. occasionally, 25-50 lbs. frequently, or up to 10-20 lbs. constantly. VH=Very Heavy Exerting over 100 lbs. occasionally, 50-100 lbs. frequently, or up to 20-50 lbs. constantly. PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs This is a description of the way this job is currently performed; it does not address the potential for accommodation. PHYSICAL DEMANDS FREQUENCY CODE DESCRIPTION Standing F Filing, making copies, faxing Sitting F Deskwork Walking F To and from office equipment, other offices, mailroom Lifting O Files, office supplies, binders Carrying O Files, mail, binders Pushing/Pulling R File boxes Reaching F For supplies, files, and mail Handling C Paperwork Fine Dexterity F Computer keyboard, calculator, telephone keypad, writing Kneeling O Filing in lower drawers Crouching O Filing in lower drawers Crawling N N/A Bending F Filing in lower drawers Twisting F From computer to other desk areas and bookcase Climbing O Ladder to reach files, stairs Balancing N N/A Vision C Reading, computer monitor Hearing C Communicating with the public and personnel both in person and on the phone Talking F Communicating with the public and personnel both in person and on the phone Foot Controls N N/A Revised 6/7/2022 Adopted 6/1/2021 3 FOUNTAIN HILLS, ARIZONA Job Description MACHINES, TOOLS, EQUIPMENT, AND WORK AIDS: Calculator, copier, fax machine, telephone, typewriter, printer, general office supplies, computer and related software such as, Excel, Word and Access. ENVIRONMENTAL FACTORS: D = Daily W = Several Times Per Week M = Several Times Per Month S = Seasonally N = Never HEALTH AND SAFETY ENVIRONMENTAL FACTORS Mechanical Hazards N Extreme Temperatures N Chemical Hazards N Noise and Vibration N Electrical Hazards N Wetness/Humidity N Fire Hazards N Respiratory Hazards N Explosives N Physical Hazards N Communicable Diseases N Physical Danger or Abuse N Other (see 1 Below) (1) (2) PROTECTIVE EQUIPMENT REQUIRED: None NON-PHYSICAL DEMANDS: C = Continuously 2/3 or more of the time F = Frequently From 1/3 to 2/3 of the time O = Occasionally Up to 1/3 of the time R = Rarely Less than 1 hour per week N = Never Never occurs NON-PHYSICAL DEMANDS Time Pressures F Emergency Situations R Frequent Change of Tasks F Irregular Work Schedule/Overtime O Performing Multiple Tasks Simultaneously F Working Closely with Others as Part of a Team F Tedious or Exacting Work F Noisy/Distracting Environment R Other (see 3 below) (3) Revised 6/7/2022 Adopted 6/1/2021 4 PRIMARY WORK LOCATION Office Environment X Warehouse Shop Vehicle Outdoors Recreation Center Other (see 2 Below) RESOLUTION 2022-20 PAGE 5 EXHIBIT C TO RESOLUTION 2022-20 [2022-23 Comprehensive Fee Schedule] See following pages. Description Adopted Fee Units Campaign Fees: Pro/Con Argument Fee $100.00 per request Campaign Finance - Late Filing Fee $10.00 per business day Parks Fees Park Rental Fees - Resident/Non-Profit: Standard Ramada - 2 hour minimum $15.00 per hour Saguaro Ramada - 2 hour minimum $30.00 per hour Meeting Rooms 2 hour minimum $15.00 per hour Athletic Fields - 2 hour minimum $20.00 per hour Sports Courts - 1 hour reservation $10.00 per hour Half Day Open Park space, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns $800.00 flat fee Full Day Open Park space, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns $1,500.00 flat fee Park Rental Fees - Non-Resident/Commercial: Small Ramada - 2 hour minimum $22.50 per hour Saguaro Ramada - 2 hour minimum $40.00 per hour Meeting Rooms 2 hour minimum $20.00 per hour Athletic Fields - 2 hour minimum $30.00 per hour Sports Courts - 1 hour reservation $15.00 per hour Half Day Open Park space, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns $1,350.00 flat fee Full Day Open Park space, including Amphitheater, Avenue of the Fountains Plaza, Great Lawn, Centennial Circle and other lawns $2,350.00 flat fee Park Rental Fee Extras: Power Distribution Box Rental Fee & Deposit $25.00 plus $200 deposit per box per day Quick Coupler $25.00 plus $200 deposit per box per day Athletic Field Lights (2 hour minimum)$15.00 per hour per field Athletic Field Prep – Baseball/Softball $30.00 per field Athletic Field Prep – Soccer/Football $500.00 per field Batting Cage Rental - 1 hour $10.00 per hour Pitching Mound Rental $25.00 per use Ball Field Fencing Rental $25.00 per use Alcohol Permit with Park Reservation (NON-REFUNDABLE)$20.00 per permit Fountain Operation $300.00 per half hour Staff - 2 hour minimum $40.00 per hour per staff member TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Clerk Community Services Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Community Center Fees Community Center Rentals - Resident/Non-Profit: Weekday Rates: Monday thru Thursday Classrooms - Minimum 2 hours $25.00 per hour Ballroom - Per Ballroom; Minimum 4 hours $50.00 per hour Lobby - Minimum 4 hours $50.00 per hour Weekend Rates: Friday & Saturday (no rentals on Sunday) Ballroom - Per Ballroom; Minimum 4 hours $75.00 per hour Lobby - Minimum 4 hours $75.00 per hour Ballroom Damage Deposit $50.00 per Ballroom Community Center Rentals - Non-Resident/Commercial: Weekday Rates: Monday thru Thursday Classrooms - Minimum 2 hours $50.00 per hour Ballroom - Per Ballroom; Minimum 4 hours $100.00 per hour Lobby - Minimum 4 hours $100.00 per hour Weekend Rates: Friday & Saturday (no rentals on Sunday) Ballroom - Per Ballroom; Minimum 4 hours $150.00 per hour Lobby - Minimum 4 hours $150.00 per hour Ballroom Damage Deposit $50.00 per Ballroom Community Center Extra Service Fees: Video Projector $55.00 plus $300.00 deposit per rental Flat Screen TV $55.00 plus $500.00 deposit per rental Small Screen $55.00 plus $250.00 deposit per rental Large Screen (8' x 10')$55.00 plus $600.00 deposit per rental Ping Pong Table $55.00 plus $500.00 deposit per rental Sound Reinforcement Wireless Microphones $25.00 per rental Speaker Table (Includes Mixing Board)$25.00 per rental Conference Phone $55.00 plus $100.00 deposit per rental Portable Sound System (Includes Mixing Board and/or Portable Speaker) $85.00 plus $500.00 deposit per rental Electricity (per booth)n/a Portable White Board $5.00 per rental Walker Display Board $5.00 per rental Items for Sale $5.00 per rental Miscellaneous n/a Dance Floor - per 3' x 3' parquet square (15' x 15')$225.00 per rental Dance Floor - per 3' x 3' parquet square (18' x 18')$280.00 per rental Dance Floor - per 3' x 3' parquet square (21' x 21')$325.00 per rental Staging 6' x 8" section (1 piece)$25.00 per rental Coffee Service $20.00 per request Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Portable Bar $50.00 plus $250.00 deposit per request Labor Charges $55.00 per hour per staff MCSO Charges - Minimum 4 hours Actual Cost pre-paid/no refunds Piano Tuning Actual Cost pre-paid/no refunds Drop-In Fee for Presentations/Classes $5.00 per presentation/class Senior Services Annual Membership Fees: Resident $30.00 per year Non - Resident $45.00 per year Special Event Fees Special Events Permits: Special Event Permits - Food/Event Vendors Application Fee $500.00 based on event size Special Event Permits - Business Application Fee - Business (If submitted at least 60 days prior to the event date) $300.00 per application Application Fee - If submitted 59 days or less prior to the event date $550.00 per application Permit Fee $50.00 per application Special Event Permits - Non-Profit Application Fee - Charitable Organization (If submitted at least 60 days prior to the event date) $150.00 per application Application Fee - If submitted 59 days or less prior to the event date $275.00 per application Permit Fee $50.00 per application Special Event Permits - Extra Fees Special Event Liquor Application Fee $25.00 per application Special Event Permits - Park Fee (Open Park space: amphitheater, AOTF Plaza, Great Lawn, Other) Non-Profit: Small Event $400.00/$750.00 half day/full day Medium Event $2,500.00 full day Large Event $3,500.00 full day Business/Commercial: Small Event $750.00/$1,400.00 half day/full day Medium Event $2,500.00 full day Large Event $3,500.00 full day Special Event Permits - Deposit Fees Events with less than 1,000 attendance $500.00 per event Events with 1,000 - 1,999 attendance $1,000.00 per event Events with 2,000 - 5,000 attendance $2,500.00 per event Events with over 5,000 attendance $5,000.00 per event Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Special Event Permit Fees - Road Closure Admin Fees Events with less than 1,000 attendance $500.00 per event Events with 1,000 - 1,999 attendance $750.00 per event Events with 2,000 - 5,000 attendance $1,000.00 per event Events with over 5,000 attendance $1,500.00 per event Special Event Permit Fees - Vendor Compliance Fine First time penalty $250.00 per incident Recurring penalty $750.00 per incident Film permit application $85.00 per incident Non-Sufficient Funds (checks returned to Court)$50.00 per check Public Defender Actual costs for appointed attorney Jail Reimbursement Actual costs billed by County for jail time served Jury Costs (assessed if jury trial canceled within five days of trial)Actual administrative costs Civil Traffic Default $50.00 per incident Warrant $65.00 per warrant issued Diversion Program Rescheduling $22.00 per incdent Court Clerk $28.00 per request (ARS 22-281) Court User $10.00 per charge Public Records Search $28.00 per name (ARS 22-281) Certified Copies $28.00 per copy (ARS 22-281) Planning Fees Administrative Use Permit/Temporary Sign Permit $50.00 per request Appeal of a Decision by the Zoning Administrator $1,530.00 per appeal Comprehensive Sign Plans and amendments $280.00 per request Commercial/Industrial/Multi-Family Site Plan Review $680.00 for first 5,000 square feet of property, then $130.00 for every thousand square feet thereafter Continuance at Applicant Request $140.00 per request Cut & Fill Waiver $350.00 per request Development Agreements $3,975.00 for up to 5 acres, plus $795.00 per acre thereafter Development Agreements - Amendment $1,900.00 for up to 5 acres plus $380.00 per acre thereafter Final Plats $1,690.00 for up to 10 lots plus $169 per lot thereafter General Plan Amendments - Minor $2,500.00 for the first 5 acres plus $500.00 per acre thereafter General Plan Amendments - Major $3,760.00 for the first 40 acres plus $94.00 per acre thereafter Hillside Protection Easement (HPE)$170.00 Plus recording fees Development Services Court Fees Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Golf Ball Fence, Administrative Review $280.00 per review Landscape Plan Review $50.00 per review Public Notice in Newspaper (for all actions requiring newspaper notifications) $260.00 (1) Notification fee (for all actions requiring mailed notifications)$175.00 (2) Ordinances (Text Amendments)$1,975.00 per ordinance Planned Area Developments (PAD)$3,620.00 for the first 5 acres plus $725.00 per acre thereafter Planned Area Developments (PAD) - Amendment $1,850.00 for the first 5 acres plus $370.00 per acre thereafter Plat Abandonments $1,150.00 plus County Fees (3) Preliminary Plats $2,045.00 for the first 10 lots, plus $205.00 per lot thereafter Recording Fees (subject to change without notice)$150.00 per request Replats (lot joins, lot divisions, lot line adjustments)$575.00 Rezones (Map)$3,623.00 up to 10 acres plus $360.00 per acre thereafter Saguaro Cactus Permit $110.00 per permit Special Use Permits and amendments $2,000.00 Temporary Use Permits $230.00 plus notification Temporary Visitor Permit (RV Parking):$50.00 per permit Tract Housing $325.00 plus $100.00 per façade Variances $1,190.00 for the first variance plus $300.00 for each additional variance Zoning Verification Letter $280.00 per verification Community Residence Registration $350.00 per registration Community Residence Annual Renewal $250.00 per renewal (1) Plus actual newspaper posting costs (2) Plus $5 per mailing label (3) Minimum $150 recording fee Building Fees Building Permit/Plan Check Single Family Residential: Single Family Homes & Additions (Includes Permit and Plan Review) Livable Area with A/C $0.73 square feet Covered Area: Garage and/or Patio (non A/C)$0.55 square feet Single Family Remodel $0.24 square feet Single Family Remodel non A/C $0.15 square feet Specialized Permits (Includes Permit and Plan Review) Solar Photovoltaic $150.00 per request Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Fence Walls $200.00 for first 100 feet plus $2.00 per linear foot thereafter Retaining Walls $300.00 for 100 linear feet plus $3.20 per linear foot thereafter Pools & Spas Attached $320.00 up to 450 square feet plus $0.72 per square foot above 450 Stand Alone Spas $140.00 per request Landscape Deposit $2,500.00 refundable deposit. Deposit required for Certificate of Occupancy (C of O) if landscaping is not installed; refundable upon landscaping approval by Town within six (6) months. Miscellaneous Plan Review or Inspection (1 hour minimum)$115.00 per hour One Discipline Permit $140.00 per permit Addendum $115.00 per adendum Demolition (minor)$60.00 per request Third-Party or Expedited Plan Review & Inspections Actual costs for third party Plan Review Add On (After 3rd Review)50% of Bldg Permit/Plan Review Fee Reinspection Fee $170.00 per inspection Permit Extensions - Residential new construction only (If Town has all records and within current Code cycle) 460.00 per extension Permit Extensions - Residential remodel only (If Town has all records and within current Code cycle) $120.00 per extension Penalty for failure to obtain a building permit 100% of Bldg Permit/Plan Review Fee per incident Building Permit/Plan Check Commercial: Commercial/Tenant Building Permit & Additions (Includes Permit and Plan Review) Area with A/C $0.80 per square foot Covered Area (non A/C)$0.65 per square foot Commercial Remodel (Existing) Area with A/C $585.00 for 3,000 square feet plus $0.20 per square foot thereafter Covered Area (non - A/C)$275.00 for 3,000 square feet plus $0.09 per square foot thereafter Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Apartments/Condominiums Livable Area with A/C $1.10 per square foot Covered Area (non - A/C)$0.75 per square foot Landscape Plan Review $50.00 per request Miscellaneous Permits (Plan Review Fee is Separate)$13.00 per permit Minimum Permit (one discipline)$140.00 per permit Sign Permit, less than 32 square feet (New/Modified)$85.00 per permit Sign Permit, 32 or greater square feet (New/modified)$105.00 per permit Miscellaneous Plan Review or Inspection ( 1 hour minimum)$115.00 per hour Revisions to Approved Plans $170.00 per hour Plumbing - Water heater replacement/solar (minor) $140.00 per request Mechanical - HVAC replacement (minor)$140.00 per request Electrical - panel repair (minor)$150.00 per request Demolition (minor)$60.00 per request Third-Party or Expedited Plan Review & Inspections Actual costs for third party Plan Review Add On (After 3rd Review)50% of Bldg Permit/Plan Review Fee per review Reinspection Fee $170.00 per inspection Permit Extensions - Commercial new construction only (If Town has all records and within current Code cycle) $460.00 per extension Permit Extensions - Commercial remodel only (If Town has all records and within current Code cycle) $120.00 per extension Penalty for failure to obtain a building permit 50% of Bldg Permit/Plan Review Fee per incident Refund for cancelled Commercial Building permit (must be done in writing) 35% of building permit fee paid - request must be made within 180 days of original payment per request Appeal of Decision by Building Official/Fire Marshall $1,000.00 All fees include up to 3 reviews by staff. Any additional reviews will be subject to an additional fee equal to 25% of the original fee. Development Fees (Adopted by Resolution 2020-03) Single Family Residential $3,974.00 per dwelling Multi - Family Residential $2,537.00 per dwelling Commercial $3.82 per square foot Office $2.45 per square foot Institutional $2.86 per square foot Industrial $1.29 per square foot (Above fees are split between Parks & Recreation, Fire, and Streets development fees. See Resolution for allocations.) Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Development Services - Miscellaneous Maps: 8 1/2" x 11"$3.00 per map 11" x 17" Street/Index Map "Typical"$5.00 per map 11" x 17" Aerial Site Plan $18.00 per map 24" x 36" Custom Map $20.00 per map 36" x 36" Bldg/Plat/Zoning Map $25.00 per map 60" x 60" Street/Bldg/Develop/Plat/Plot $35.00 per map Map Book $100.00 per map book Other: Easement or Right-of-Way Abandonment $730.00 per request Hillside Protection Reconfiguration and/or Replacement of Hillside Protection Easement $350.00 per request Revocation Administrative Fee $60.00 per request Engineering Plan Review Fee / Final Plat Improvement $1,610.00 per request New/Address Change $50.00 Third-Party or Expedited Plan Review & Inspections Actual costs for third party Inspections not associated with an active Building Permit $60.00 per inspection Off-Hours Inspections (Nights & Weekends)$85.00 per inspection Fire Fees Residential Automatic Sprinkler System Plan Review/Inspection $340.00 for up to 4,400 square feet then $0.08 per square foot Commercial Automatic Sprinkler System Plan Review/Inspection $340.00 for the first 3,000 square feet then $0.11 per square foot Commercial Auto Sprinkler System Modification Plan Review/Inspection $195.00 per request Commercial Hood System Plan Review/Inspection $290.00 per request Commercial Fire Alarm System Plan Review/Inspection $385.00 per request Commercial Fire Alarm System Modification Plan Review/Inspection $385.00 per request Residential LPG Installation Review/Inspection $170.00 per request Annual Adult Residential Group Care Inspection $130.00 per request Annual Commercial Fire Inspection Fee $0.00 per request Tent Permit Fee (any tent over 200 square feet & any canopy over 400 square feet) $65.00 per request Reinspection Fee (beyond one re-check)$150.00 per request Abatement Fees: Inspection fee $340.00 per hour Reinspection fee $340.00 per inspection Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Services: Notarization $2.00 per request Affix Town Seal $5.00 per request Returned Check Fee $50.00 per check Convenience Fee - credit card payment $4.00 per transaction Art Commission $35.00 per transaction Copies Photocopies 8 1/2 x 11 $0.65 per page Photocopies 8 1/2 x 14 $0.70 per page Photocopies 11 x 17 $0.75 per page Reports: License Report (Non - Commercial Use)$30.00 CD or hard copy License Report (Commercial Use)$30.00 CD or hard copy Business License Fees: New Business License $50.00 per application and first year fee - non-refundable Annual renewal fee for business within the Town limits $35.00 per renewal Annual renewal fee for business without a fixed place of business within the Town limits $50.00 per renewal Late fee for renewal of business license fee 25% of renewal fee per renewal Penalty for operating a business without a license $150.00 per incident Peddlers, solicitors and mobile merchants $250.00 calendar quarter or fraction thereof - non- refundable Peddler investigation fee (per person)$55.00 per person Promoters of entertainments, circuses, bazaars, etc., who receive a percentage of receipts or other consideration for their services. Each such promoter shall also obtain liability insurance of a minimum of $1 million naming the Town as insured. $150.00 per week Handbill Distributor $50.00 per day Amusement Company, such as ferris wheel, merry - go - round, etc., not part of a circus. Tent Show. Wrestling Exhibition. Road Show, Carnival or Circus. $150.00 per day Practice of palmistry, phrenology, astrology, fortune telling, mind reading, clairvoyancy, magic or any healing practices not licensed by the State of Arizona, or any similar calling without a fixed place of business $50.00 per day Duplicate Business License $15.00 per request Verification of License Letter $15.00 per request Finance Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 False Alarm Service Charges: First and Second $0.00 each Third $100.00 each Fourth $150.00 each Fifth and Sixth $175.00 each Seventh or more $275.00 each Wireless Communications:Per State Statute Wireless Tower Lease $4.75 per square foot Lease Agreement Application Fee, each location $285.00 per location - non- refundable Amendments to Cell Tower Lease Agreements $285.00 per location - non- refundable Small Cell Wireless Facilities: (all fees are non-refundable) ROW Use Fee $50.00 year x number of small wireless facilities (SWF) Authority utility pole attachment $50.00 year per utility pole attachment Small Wireless Facilities (SWF) collocation $100.00 per SWF up to five Small Wireless Facilities (SWF) collocation $50.00 for SWF over five Batched applications for up to 25 SWF's $100.00 per SWF up to five Batched applications for up to 25 SWF's $50.00 per SWF 6 - 20 sites Applications for new, replacement or modified utility poles NOT subject to zoning review $750.00 per application Applications for new, replacement or modified utility poles and collocation of wireless facilities subject to zoning review $1,000.00 per application Alcohol License Application: Person Transfer Fee $200.00 per request Location Transfer Fee $200.00 per request Probate/Will Assignment/Divorce Decree $200.00 per request Extension of Premise $200.00 per request Sampling Permit $200.00 per request Acquisition of Control/Restructure/Agent Change $200.00 per request Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Initial/Interim Application Fee 01 - In State Producer $600.00 per request 02 - Out of State Producer $600.00 per request 03 - Domestic Microbrewery $600.00 per request 04 - In State Wholesaler $600.00 per request 05 - Government $600.00 per request 06 - Bar, All Spirituous Liquors $600.00 per request 07 - Beer & Wine Bar $600.00 per request 08 - Conveyance $600.00 per request 09 - Liquor Store $600.00 per request 10 - Beer & Wine Store $600.00 per request 11 - Hotel/Motel $600.00 per request 12 - Restaurant $600.00 per request 13 - Domestic Farm Winery $600.00 per request 14 - Private Club $600.00 per request Alcohol Permit Renewal $200.00 per year Environmental Fees: per residential solid waste account $0.00 per month per multifamily solid waste account (with a range for number of units $0.00 per month commercial solid waste accounts (license fee and/or cost per commercial account) $0.00 per month Late fee for paying the environmental fee $0.00 Excavations/In-Lieu Fees: Base fee (per excavation)$250.00 Base fee Trench cut fees: Newly paved or overlayed 0 - 1 yrs.$55.00 per linear foot Newly paved or overlayed 1 - 2 yrs.$45.00 per linear foot Newly paved or overlayed 2 - 3 yrs.$35.00 per linear foot Newly paved or overlayed 3 - 4 yrs.$25.00 per linear foot Newly paved or overlayed 4 - 5 yrs.$15.00 per linear foot Newly paved or overlayed 5 - 6 yrs.$10.00 per linear foot Slurry or chip sealed 0 - 2 years $4.00 per linear foot Pavement replacement greater than 300 feet in length $2.50 per square yard Utility Pit fees: Newly paved or overlayed 0 - 1 yrs.$5.50 per square foot Newly paved or overlayed 1 - 2 yrs.$4.50 per square foot Newly paved or overlayed 2 - 3 yrs.$3.50 per square foot Newly paved or overlayed 3 - 4 yrs.$2.50 per square foot Newly paved or overlayed 4 - 5 yrs.$1.50 per square foot Newly paved or overlayed 5 - 6 yrs.$1.00 per square foot Slurry or chip sealed 0 - 2 years $5.00 per square foot Public Works Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 Adjustment (MH, valve, monument, etc.)$500.00 each Striping $3.00 per linear foot Lane Markers $175.00 each Stop Bars $3.00 per square foot Crosswalks $3.00 per square foot RPMs $7.00 each Seal-Coat $3.00 per square yard Encroachment/Engineering Permits: Base Permit Fee $200.00 2"/6" Paving A.C.$2.25 per square foot Permanent Barricading $220.00 each Guard Rail/Hand Rail $1.50 per linear foot Survey Monuments $145.00 each Concrete Aprons $145.00 each Scuppers $145.00 each Review for Adjustments MH, etc.$145.00 each 4" Paving - PC Concrete $1.45 per square foot Decorative Sidewalk or Paving $2.70 per linear foot Sidewalk & Bike path $2.70 per linear foot Curb & Gutter $1.70 per linear foot Valley Gutter $1.45 per linear foot Sign (regulator, street etc.)$145.00 each Pavement Cuts $1.45 per linear foot Driveway/Driveway Modifications $145.00 each Utility, Water Line, Sewer Line Trench - Paved $2.00 per linear foot Utility, Water Line, Sewer Line Trench - Unpaved $1.45 per linear foot Storm Drain Pipe $1.70 per linear foot Catch Basins, Headwells $145.00 each Cutoff Walls $1.45 per linear foot Slope Protection $1.45 per square yard Rip Rap $1.45 per square foot Retaining Wall $1.45 per linear foot Cut/Fill (Materials Moved)$2.00 per cubic yard Box Culverts 5% of engineer estimate Miscellaneous 5% of engineer estimate Landscaping 5% of engineer estimate Irrigation 5% of engineer estimate Lighting 5% of engineer estimate Grading 5% of engineer estimate Utility Splice/Repair Pits Up to 25 square feet (outside pvmt)$140.00 flat fee Other 5% of engineer estimate Description Adopted Fee Units TOWN OF FOUNTAIN HILLS COMPREHENSIVE FEE SCHEDULE FISCAL YEAR 2022-2023 In Lieu Payments n/a n/a Traffic Control Plan Review $170.00 per request Engineering Plan Review Fee $575.00 per sheet (includes three reviews) $190 per sheet for each subsequent review per sheet Failure to obtain an Encroachment Permit $230.00 per incident Failure to obtain a Final Inspection $170.00 per incident Reinspection Fee $150.00 per incident Investigation Fee for Work Done Without Permit $400.00 or the permit fee, whichever is greater, but not to exceed $2,500.00 for every day or a portion of a day from the time unpermitted work began until a permit is obtained. per incident Land Disturbance Fee $10.00 per square foot plus revegetation per square foot Oversize/Overweight Vehicle Permit $250.00 per permit Haul Route Permit (greater than or equal to 500 cubic yards)$160.00 per permit Failure to barricade or improper barricading $1,00.00 to $5,000.00 per incident Permit Extension $50.00 per request Penalty for work w/o permit 50% of Permit Fee per incident Minimum Plan Review $115.00 per hour Traffic Study - Cost to recover staff time and materials $150.00 base fee plus $50.00 per additional location request per request Public Works - Miscellaneous Adopt a Street: Fee, per sign $60.00 per request Honorary Street Naming: Application Fee and Sign $300.00 per application Electric Vehicle Charging Charging Station Fee - 2 hour maximum $2.00 per hour ITEM 8. D. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Community Services Prepared by: Patti Lopuszanski, Executive Assistant Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION on approving the proposed Pumphouse Pilot Art Project. Staff Summary (Background) The Fountain Hills Public Art Committee seeks approval for an outdoor art installation along the wall adjacent to the Pump House at Fountain Park (formerly known as the mural wall). This installation, to be named "The Pumphouse Pilot Art Project" is an outdoor exhibition with a call for artists to create work around a central theme: “Legends and Lore of the Valley of the Sun.” This project is an effort to replace the former mural that was removed in 2019. A new mural design was presented and approved by the Town Council in 2020. However, the Covid-19 pandemic stalled its installation. The committee has reconsidered the proposed mural and believes a rotating installation would be more efficient, more cost-effective, and create a renewed, sustainable interest in public art. Pending approval, the committee will issue a Call to Artists for submissions. An entry fee of $25 per submission would be charged and proposals would be accepted as of July 1, 2022, and due by September 1, 2022. All submittals must include a written paragraph describing the inspiration and explanation of the proposed artwork. Submissions will be reviewed by the Public Art Committee and final recommendations will be brought before the Town Council for approval. Over 100 hundred submissions are expected with eight final artworks to be selected for the exhibition. Accepted art will be transposed onto 4’ x 8’ Dibond brushed metal panels to be installed along the pump house wall. All mediums will be considered with the correct proportioned dimensions. A bracket system has been proposed for the installation of artwork that meet safety standards and is expected to withstand the heat and other impacts of outdoor use. Each panel will be on display for one year to ensure maximum exposure and visibility. Each panel will have the artist’s name, the title of the piece, a small descriptive paragraph, and a potential sponsor of the panel. This project would be a pilot program for a one-year period. During that year, public support of the project will determine if the committee continues with the program. The benefits of this project will allow for professional art to be on display, changing every year, offering a fresh, new visual perspective and theme. All works of art will also be available for sponsorship. All revenue raised will be divided between the Fountain Hills Cultural and Civic Association Public Art Fund and the associated artists who created the artwork. artists who created the artwork. Proposed Pilot Project Timeline: Call to Artists – July 1 Deadline – September 1 Installation - Late October- Early November Display – November 2022 – October 2024 Related Ordinance, Policy or Guiding Principle N/A Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) Public Art Committee recommends the approval of The Pumphouse Pilot Art Project. Staff Recommendation(s) Staff recommends approval of the The Pumphouse Pilot Art Project. SUGGESTED MOTION MOVE to approve the The Pumphouse Pilot Art Project. Attachments Mural Mock Up - 1 Mural Mock Up - 2 Metal Panel Example Aluminum Mounting Instructions Call To Artists Form Review Inbox Reviewed By Date Community Services Director 05/25/2022 06:14 PM Finance Director David Pock 05/26/2022 05:33 AM Town Attorney Aaron D. Arnson 05/26/2022 08:29 AM Town Manager Grady E. Miller 05/31/2022 09:52 AM Form Started By: Patti Lopuszanski Started On: 04/05/2022 05:07 PM Final Approval Date: 05/31/2022 Fountain Park Mural Project ,.,.,.,.,.,.,.,.,.,. .,.,.,.,.,.,.,.,.,., .,.,.,.,.,.,.,.,.,.., .,.,.,.,.,.,.,..,.,., PUBLIC ART COMMITTEE RECOMMENDATION "PUMPHOUSE PROJECT" <----- This is an approximate 4'x8' Art Work to scale on the park wall. Art Mural panels to be hung with a universal mounting system that can be utilized every year without the need to drill or mount new hangers Small rectangular detail in image is an information plaque with Artist Name, Title of Work, Contact Information and Price <----- Signage displaying an overview of the Public Art Murals Project. Mounted on east end of wall closest to Veterans Memorial 4' X 8' PANEL PUBLIC ART COMMITTEE RECOMMENDATION "PUMPHOUSE PROJECT" Mounting Detail <----- Art to be mounted by means of temporary reposition-able steel brackets • No need for holes to be drilled in wall • Wind and Theft secure • Easily coordinated and reusable <----- Secured to wall on back side of wall by means of a pinch mechanism (bolt) not accessible to the public Art is first secured to the bracket by hidden bolts not accessible once bracket is hung over the wall Painted to match wall color Title Plaque 4' X 8' PANEL©©©©<---- 4'-6'----><----------- 72"-----------><---BOLTS---><-12"-> How to install artwork with an ALUMINUM MUSEUM BACK and a “Z-Clip”. 89 70 East B ahia Drive | S cottsdale, AZ 85260 480-948-0009 artisancolour.com artisanhd.com 2 4 2 1 3 4” MARK CENTER LINE “Z-CLIP” 4” 2” 2” 2” 1 2 3 4IMPORTANT NOTE! Determine the location of where your art is to be mounted to the wall. Find the center point of your artwork and determine the height from the ﬂoor. It is your responsibility to determine what type of mounting screw/anchors will be appropriate for the type of surface structure you are mounting your artwork to. Now that the “Z-Clip” is securely mounted to the wall - artwork is ready to hang/install. Simply let the top section of the aluminum frame “rest” on the “Z-Clip”. Install complete! Mount the “Z-Clip” to the wall - IMPORTANT: CLIP MUST BE LEVEL! This is the most important part of the installation. Use a pencil or other marking device to mark location of the mounting holes of the “Z-Clip”. Double check to conﬁrm that the “Z-Clip” is LEVEL! Close-up is 1:1 Ratio Call Type: Public Art Eligibility: National State: Arizona Location: Fountain Hills Fountain Park Entry Fee: $25 Project: The Pump House Project – A Changing Visual Experience Entry Deadline: July 1st REQUIREMENTS: Media Images – Minimum:1, Maximum:3 Overview The Town of Fountain Hills Public Art Committee is accepting applications for an outdoor 2D- Exhibition themed “Legends and Lore of the Valley of the Sun.” Any artists or photographers are encouraged to apply. Eight finalist will have their art be digitally transposed onto 4’h x 8’w (horizontal) Dibond brushed metals panel to be installed on a 100’ stucco wall located at our iconic Fountain Hills Fountain Park. All submittals must have a written paragraph describing the inspiration and explanation of the piece and only high -resolution images 7200 x 14400 pixel minimum will be considered. The park attracts thousands of visitors each year and the stucco wall is located on the main sidewalk with high visibility both from pedestrians and motor vehicles. All mediums will be considered with the correct proportioned dimensions (4’h x 8’w). All costs associated with the fabrication and installation of the metal panels will be the responsibility of the Public Art Committee. Artists chosen for this project will receive a $350 stipend and the artwork will be featured on the Public Art Committee website. Timeline: Call to Artists – July 1 Deadline – September 1 Installation – November 2022 Display – November 2022 – October 2023 More information and renderings of the art wall can be found at: www.ilovefountainhillscalltoartists ITEM 8. E. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Community Services Prepared by: Patti Lopuszanski, Executive Assistant Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Adopting Ordinance 22-04 establishing the Historic and Cultural Advisory Commission. Staff Summary (background) During the celebration of the fountain's 50th anniversary, members of the 50th anniversary committee commented that the Town of Fountain Hills should have a historic preservation commission. This also came up as a discussion topic at the 2022 Town Council Annual Retreat with the Mayor and Council speaking favorably about establishing a historic preservation commission. Staff is proposing that the Town Council formally approve the creation of a Historic and Cultural Advisory Commission. The purpose of the Historic and Cultural Advisory Commission will be to advise the Town Council on matters relating to historic and cultural preservation, including the making of plans and policies for the identification, evaluation, and recognition of historically or culturally significant aspects within Fountain Hills. The Commission will establish criteria and procedures for review and bring further awareness to the public on the history of the Town of Fountain Hills. The Commission is to be informational and advisory, not an archival collection of memorabilia. The Historic and Cultural Advisory Commission shall be composed of a total of seven members appointed by the Mayor, subject to the approval of the Council. These appointments shall be for a period of three years each, with the terms of members staggered such that the terms of no more than three members shall expire in any one year, with the exception of the initial appointment of members who shall serve two or three-year terms, respectively. The Commission shall have the following duties: 1) Act in an advisory capacity to the Town Council, Town Manager and Community Services Director in matters pertaining to the cultural and historical significance of the town and increase public awareness of the importance of historic and cultural matters. 2) Consider provisions of the annual Community Services Department budget during the preparation process and make recommendations with respect thereto to the needs of the Historic and Cultural Advisory Commission. 3) Assist in the planning of educational awareness and outreach programs for the residents of the Town and promote and stimulate public interest therein. 4) Perform such other duties not inconsistent with this Article as may be requested by the Town Council, Town Manager or Community Services Director. Related Ordinance, Policy or Guiding Principle A new article, 2A-8, Historic and Cultural Advisory Commission, is hereby added to the Fountain Hills Town Code. Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends adoption of Ordinance 22-04. SUGGESTED MOTION MOVE to adopt Ordinance 22-04. Attachments Ord 2022-04 Form Review Inbox Reviewed By Date Clerk Elizabeth A. Klein 05/26/2022 02:23 PM Community Services Director Rachael Goodwin 05/26/2022 04:12 PM Town Attorney Aaron D. Arnson 05/26/2022 04:22 PM Town Manager Grady E. Miller 05/31/2022 11:39 AM Form Started By: Patti Lopuszanski Started On: 05/03/2022 04:04 PM Final Approval Date: 05/31/2022 ORDINANCE NO. 22-04 AN ORDINANCE OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, AMENDING THE TOWN OF FOUNTAIN HILLS TOWN CODE, CHAPTER 2A, BOARDS AND COMMISSIONS BY ADDING A NEW ARTICLE 2A- 8, HISTORIC AND CULTURAL ADVISORY COMMISSION, THERETO RECITALS: WHEREAS, the Mayor and Town Council wish to add a new article to the Town Code to establish the Historic and Cultural Advisory Commission. ENACTMENTS: NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS as follows: SECTION 1. The recitals above are hereby incorporated as if fully set forth herein. SECTION 2. A new article, 2A-8, Historic and Cultural Advisory Commission, is hereby added to the Fountain Hills Town Code, as outlined in Exhibit A attached hereto and made a part hereof. SECTION 3. If any section, subsection, clause, phrase or portion of this Ordinance is for any reason held invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions thereof. PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills, this 7th day of June, 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: Ginny Dickey, Mayor Elizabeth A. Klein, Town Clerk REVIEWED BY: APPROVED AS TO FORM: Grady E. Miller, Town Manager Aaron D. Arnson, Town Attorney ORDINANCE 22-04 PAGE 2 EXHIBIT ‘A’ Article 2A-8 Historic and Cultural Advisory Commission Sections: Section 2A-8-1 Creation Section 2A-8-2 Membership Section 2A-8-3 Quorum Section 2A-8-4 Duties Section 2A-8-1 Creation The Historic and Cultural Advisory Commission is hereby established. Section 2A-8-2 Membership The Historic and Cultural Advisory Commission shall be composed of a total of seven members appointed by the Mayor, subject to the approval of the Council. These appointments shall be for a period of three years each, with the terms of members staggered such that the terms of no more than three members shall expire in any one year, with the exception of the initial appointment of members who shall serve two or three-year terms, respectively. Section 2A-8-3 Quorum Four members shall constitute a quorum of the Historic and Cultural Advisory Commission. Section 2A-8-4 Duties The Commission shall have the following duties: A. Act in an advisory capacity to the Town Council, Town Manager and Community Services Director in matters pertaining to the cultural and historical significance of the town to increase public awareness of the importance of historic, cultural, and architectural preservation. B. Consider provisions of the annual Community Services Department budget during the process of the preparation of the budget and make recommendations with respect thereto to the needs of the Historic and Cultural Advisory Commission. C. Assist in the planning of educational awareness and outreach programs for the residents of the Town and promote and stimulate public interest therein. D. Perform such other duties not inconsistent with this Article as may be requested by the Town Council, Town Manager or Community Services Director. ITEM 8. F. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Community Services Prepared by: Patti Lopuszanski, Executive Assistant Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION OF AND POSSIBLE ACTION: Approval of Custom Holiday Lights Contract 2022-083. Staff Summary (Background) On December 3, 2022, the Fountain Hills community will welcome the holiday season by hosting several programs and activities. One of the most anticipated programs is the illumination of the annual holiday light displays along the Avenue Linear Park. The holiday lights are officially lit during a town-wide celebration hosted by the Fountain Hills Chamber of Commerce's Stroll in the Glow in collaboration with Community Services' Roll in the Glow event. In addition, Centennial Circle will be decorated for Seasons of Celebration, which was a well-received family event in December 2021. Custom Holiday Lights, LLC is the newly selected provider of holiday lights and displays. Two proposals have been received for Town consideration. A standard display, with minimal Avenue Linear Park lighting, tree wrapping, Christmas tree display, and ground display installation has been proposed at an annual cost not to exceed $35,000. An enhanced proposal has also been provided to include additional decor such as garland wrapping, extended tree light wrapping with ornaments, LED color changing options, overhead lighted skyscapes, or other decor, as budget and stock allows. Custom Holiday Lights, LLC was established in 1989 and is a locally owned and operated business in Scottsdale, AZ. Two contract options have been provided, and are subject to final council contract approval. In anticipation of increased costs, the FY22-23 budget has allocated $50,000 for holiday decor installation. An outline of included items is noted below: Products included in General Scope of Work for $35,000 Installation of fully lit and decorated 24' LED tree Refurbish/Install/Remove existing ground displays along Avenue Linear Park and Centennial Circle Wrap trunks & Branches of Small/Medium/Large Trees Cluster lighting on half of the medium tree canopies Warm white lights and spheres on 8 ramada shade structures Install/Remove: Power cords, adapters, timers, etc. Boom truck and lift fees In addition to the items above, the following items may be added to the display should the budget be increased to not exceed $50,000 Bark wrap LED mini lights red and white on two 50'-80' pine trees Hang 100 12" or bigger ornaments on two 50'-80' pine trees Hang 20 LED mini-light clusters from 12 10'- 15' olive trees String C9's multi-color lights on ten 12'-24' pine trees Hang 80 12" falling lights on two cucumber trees Wrapped red and silver garland on 17 light poles Hang 20 2" Light sprays on 6 15'-25' maple trees Install 2 runs of cable 30'-50' with lights between 2 trees over the walkway Related Ordinance, Policy or Guiding Principle N/A Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends the approval of Custom Holiday Lights Contract 2022-83 in an amount not to exceed $50,000. SUGGESTED MOTION MOVE to approve Custom Holiday Lights Contract 2022-83 in an amount not to exceed $50,000. Attachments Contract 2022-083 Custom Holiday Lights Custom Holiday Lights Exhibit A Centennial Circle Holiday Lights 1 Centennial Circle Holiday Lights 2 Avenue of the Fountain Holiday Lights Form Review Inbox Reviewed By Date Community Services Director Rachael Goodwin 05/25/2022 06:02 PM Finance Director David Pock 05/26/2022 05:39 AM Town Attorney Aaron D. Arnson 05/26/2022 08:31 AM Town Manager Grady E. Miller 05/31/2022 10:00 AM Form Started By: Patti Lopuszanski Started On: 04/27/2022 08:04 AM Final Approval Date: 05/31/2022 1 Contract No. 2022-083 PROFESSIONAL SERVICES AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND INNOVATIVE LIGHTING & DESIGN, INC DBA CUSTOM HOLIDAY LIGHTS THIS PROFESSIONAL SERVICES AGREEMENT (this “Agreement”) is entered into as of May 17, 2022 between the Town of Fountain Hills, an Arizona municipal corporation (the “Town”) and Innovative Lighting & Design, Inc., dba Custom Holiday Lights, a(n) Arizona corporation (the “Vendor”). RECITALS A. The Town issued a Request for Proposals, RFP No. 2021-RFP-012 (the “RFP”), a copy of which is on file with the Town and incorporated herein by reference, seeking proposals from vendors interested in providing Christmas Light Display Set up/Removal/Repair/Storage for the Town (the “Services”). B. The Vendor responded to the RFP by submitting a proposal (the “Proposal”), attached hereto as Exhibit A and incorporated herein by reference. C. The Town desires to enter into an Agreement with the Vendor to perform the Services, as set forth below. AGREEMENT NOW, THEREFORE, in consideration of the foregoing introduction and recitals, which are incorporated herein by reference, the following mutual covenants and conditions, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Town and the Vendor hereby agree as follows: 1. Term of Agreement. This Agreement shall be effective as of the date first set forth above and shall remain in full force and effect until June 30, 2023 (the “Initial Term”), unless terminated as otherwise provided in this Agreement. After the expiration of the Initial Term, this Agreement may be renewed for up four successive one-year terms (each, a “Renewal Term”) if: (i) it is deemed in the best interests of the Town, subject to availability and appropriation of funds for renewal, (ii) at least 30 days prior to the end of the then-current term of this Agreement, the Vendor requests, in writing, to extend this Agreement for an additional one-year term and (iii) the Town approves the additional one-year term in writing (including any price adjustments approved as part of this Agreement), as evidenced by the Town Manager’s signature thereon, which approval may be withheld by the Town for any reason. The Vendor’s failure to seek a renewal of this Agreement shall cause this Agreement to terminate at the end of the then-current term of this 2 Agreement; provided, however, that the Town may, at its discretion and with the agreement of the Vendor, elect to waive this requirement and renew this Agreement. The Initial Term and all Renewal Terms, if any, are collectively referred to herein as the “Term.” Upon renewal, the terms and conditions of this Agreement shall remain in full force and effect. 2. Scope of Work. Vendor shall provide the Services as set forth in the Proposal attached hereto as Exhibit A and incorporated herein by reference. 3. Compensation. The Town shall pay the Vendor an amount not to exceed $50,000 at the rates set forth in the Fee Proposal attached hereto as Exhibit A and incorporated herein by reference. The aggregate amount per renewal term shall not exceed $50,000 in any case unless the Agreement is affirmed and ratified via an executed amendment. All remaining terms and conditions of the Agreement shall remain in full force and effect. 4. Payments. The Town shall pay the Vendor monthly (and the Vendor shall invoice the Town monthly), based upon work performed and completed to date, and upon submission and approval of invoices. All invoices shall document and itemize all work completed to date. Each invoice statement shall include a record of time expended and work performed in sufficient detail to justify payment. This Agreement must be referenced on all invoices. 5. Documents. All documents, including any intellectual property rights thereto, prepared and submitted to the Town pursuant to this Agreement shall be the property of the Town. 6. Vendor Personnel. Vendor shall provide adequate, experienced personnel, capable of and devoted to the successful performance of the Services under this Agreement. Vendor agrees to assign specific individuals to key positions. If deemed qualified, the Vendor is encouraged to hire Town residents to fill vacant positions at all levels. Vendor agrees that, upon commencement of the Services to be performed under this Agreement, key personnel shall not be removed or replaced without prior written notice to the Town. If key personnel are not available to perform the Services for a continuous period exceeding 30 calendar days, or are expected to devote substantially less effort to the Services than initially anticipated, Vendor shall immediately notify the Town of same and shall, subject to the concurrence of the Town, replace such personnel with personnel possessing substantially equal ability and qualifications. 7. Inspection; Acceptance. All work shall be subject to inspection and acceptance by the Town at reasonable times during Vendor’s performance. The Vendor shall provide and maintain a self-inspection system that is acceptable to the Town. 8. Licenses; Materials. Vendor shall maintain in current status all federal, state and local licenses and permits required for the operation of the business conducted by the Vendor. The Town has no obligation to provide Vendor, its employees or subcontractors any business registrations or licenses required to perform the specific services set forth in this Agreement. The Town has no obligation to provide tools, equipment or material to Vendor. 9. Performance Warranty. Vendor warrants that the Services rendered will conform to the requirements of this Agreement and with the care and skill ordinarily used by members of 3 the same profession practicing under similar circumstances at the same time and in the same locality. 10. Indemnification. To the fullest extent permitted by law, the Vendor shall indemnify, defend and hold harmless the Town and each council member, officer, employee or agent thereof (the Town and any such person being herein called an “Indemnified Party”), for, from and against any and all losses, claims, damages, liabilities, costs and expenses (including, but not limited to, reasonable attorneys’ fees, court costs and the costs of appellate proceedings) to which any such Indemnified Party may become subject, under any theory of liability whatsoever (“Claims”), insofar as such Claims (or actions in respect thereof) relate to, arise out of, or are caused by or based upon the negligent acts, intentional misconduct, errors, mistakes or omissions, breach of contract, in connection with the work or services of the Vendor, its officers, employees, agents, or any tier of subcontractor in the performance of this Agreement. The amount and type of insurance coverage requirements set forth below will in no way be construed as limiting the scope of the indemnity in this Section. 11. Insurance. 11.1 General. A. Insurer Qualifications. Without limiting any obligations or liabilities of Vendor, Vendor shall purchase and maintain, at its own expense, hereinafter stipulated minimum insurance with insurance companies authorized to do business in the State of Arizona pursuant to ARIZ. REV. STAT. § 20-206, as amended, with an AM Best, Inc. rating of A- or above with policies and forms satisfactory to the Town. Failure to maintain insurance as specified herein may result in termination of this Agreement at the Town’s option. B. No Representation of Coverage Adequacy. By requiring insurance herein, the Town does not represent that coverage and limits will be adequate to protect Vendor. The Town reserves the right to review any and all of the insurance policies and/or endorsements cited in this Agreement but has no obligation to do so. Failure to demand such evidence of full compliance with the insurance requirements set forth in this Agreement or failure to identify any insurance deficiency shall not relieve Vendor from, nor be construed or deemed a waiver of, its obligation to maintain the required insurance at all times during the performance of this Agreement. C. Additional Insured. All insurance coverage, except Workers’ Compensation insurance and Professional Liability insurance, if applicable, shall name, to the fullest extent permitted by law for claims arising out of the performance of this Agreement, the Town, its agents, representatives, officers, directors, officials and employees as Additional Insured as specified under the respective coverage sections of this Agreement. D. Coverage Term. All insurance required herein shall be maintained in full force and effect until all work or services required to be performed under the terms 4 of this Agreement are satisfactorily performed, completed and formally accepted by the Town, unless specified otherwise in this Agreement. E. Primary Insurance. Vendor’s insurance shall be primary insurance with respect to performance of this Agreement and in the protection of the Town as an Additional Insured. F. Claims Made. In the event any insurance policies required by this Agreement are written on a “claims made” basis, coverage shall extend, either by keeping coverage in force or purchasing an extended reporting option, for three years past completion and acceptance of the services. Such continuing coverage shall be evidenced by submission of annual Certificates of Insurance citing applicable coverage is in force and contains the provisions as required herein for the three-year period. G. Waiver. All policies, except for Professional Liability, including Workers’ Compensation insurance, shall contain a waiver of rights of recovery (subrogation) against the Town, its agents, representatives, officials, officers and employees for any claims arising out of the work or services of Vendor. Vendor shall arrange to have such subrogation waivers incorporated into each policy via formal written endorsement thereto. H. Policy Deductibles and/or Self-Insured Retentions. The policies set forth in these requirements may provide coverage that contains deductibles or self-insured retention amounts. Such deductibles or self-insured retention shall not be applicable with respect to the policy limits provided to the Town. Vendor shall be solely responsible for any such deductible or self-insured retention amount. I. Use of Subcontractors. If any work under this Agreement is subcontracted in any way, Vendor shall execute written agreements with its subcontractors containing the indemnification provisions set forth in this Agreement and insurance requirements set forth herein protecting the Town and Vendor. Vendor shall be responsible for executing any agreements with its subcontractors and obtaining certificates of insurance verifying the insurance requirements. J. Evidence of Insurance. Prior to commencing any work or services under this Agreement, Vendor will provide the Town with suitable evidence of insurance in the form of certificates of insurance and a copy of the declaration page(s) of the insurance policies as required by this Agreement, issued by Vendor’s insurance insurer(s) as evidence that policies are placed with acceptable insurers as specified herein and provide the required coverages, conditions and limits of coverage specified in this Agreement and that such coverage and provisions are in full force and effect. Confidential information such as the policy premium may be redacted from the declaration page(s) of each insurance policy, provided that such redactions do not alter any of the information required by this Agreement. The Town shall reasonably rely upon the certificates of insurance and declaration page(s) of the insurance policies as evidence of coverage but such acceptance and reliance shall not waive or alter in any way the insurance requirements or obligations 5 of this Agreement. If any of the policies required by this Agreement expire during the life of this Agreement, it shall be Vendor’s responsibility to forward renewal certificates and declaration page(s) to the Town 30 days prior to the expiration date. All certificates of insurance and declarations required by this Agreement shall be identified by referencing the RFP number and title or this Agreement. A $25.00 administrative fee shall be assessed for all certificates or declarations received without the appropriate RFP number and title or a reference to this Agreement, as applicable. Additionally, certificates of insurance and declaration page(s) of the insurance policies submitted without referencing the appropriate RFP number and title or a reference to this Agreement, as applicable, will be subject to rejection and may be returned or discarded. Certificates of insurance and declaration page(s) shall specifically include the following provisions: (1) The Town, its agents, representatives, officers, directors, officials and employees are Additional Insureds as follows: (a) Commercial General Liability – Under Insurance Services Office, Inc., (“ISO”) Form CG 20 10 03 97 or equivalent. (b) Auto Liability – Under ISO Form CA 20 48 or equivalent. (c) Excess Liability – Follow Form to underlying insurance. (2) Vendor’s insurance shall be primary insurance with respect to performance of this Agreement. (3) All policies, except for Professional Liability, including Workers’ Compensation, waive rights of recovery (subrogation) against Town, its agents, representatives, officers, officials and employees for any claims arising out of work or services performed by Vendor under this Agreement. (4) ACORD certificate of insurance form 25 (2014/01) is preferred. If ACORD certificate of insurance form 25 (2001/08) is used, the phrases in the cancellation provision “endeavor to” and “but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents or representatives” shall be deleted. Certificate forms other than ACORD form shall have similar restrictive language deleted. 11.2 Required Insurance Coverage. A. Commercial General Liability. Vendor shall maintain “occurrence” form Commercial General Liability insurance with an unimpaired limit of not less than $1,000,000 for each occurrence, $2,000,000 Products and Completed Operations Annual Aggregate and a $2,000,000 General Aggregate Limit. The policy shall cover liability arising from premises, operations, independent contractors, products-completed 6 operations, personal injury and advertising injury. Coverage under the policy will be at least as broad as ISO policy form CG 00 010 93 or equivalent thereof, including but not limited to, separation of insured’s clause. To the fullest extent allowed by law, for claims arising out of the performance of this Agreement, the Town, its agents, representatives, officers, officials and employees shall be cited as an Additional Insured under ISO, Commercial General Liability Additional Insured Endorsement form CG 20 10 03 97, or equivalent, which shall read “Who is an Insured (Section II) is amended to include as an insured the person or organization shown in the Schedule, but only with respect to liability arising out of “your work” for that insured by or for you.” If any Excess insurance is utilized to fulfill the requirements of this subsection, such Excess insurance shall be “follow form” equal or broader in coverage scope than underlying insurance. B. Vehicle Liability. Vendor shall maintain Business Automobile Liability insurance with a limit of $1,000,000 each occurrence on Vendor’s owned, hired and non-owned vehicles assigned to or used in the performance of the Vendor’s work or services under this Agreement. Coverage will be at least as broad as ISO coverage code “1” “any auto” policy form CA 00 01 12 93 or equivalent thereof. To the fullest extent allowed by law, for claims arising out of the performance of this Agreement, the Town, its agents, representatives, officers, directors, officials and employees shall be cited as an Additional Insured under ISO Business Auto policy Designated Insured Endorsement form CA 20 48 or equivalent. If any Excess insurance is utilized to fulfill the requirements of this subsection, such Excess insurance shall be “follow form” equal or broader in coverage scope than underlying insurance. C. Professional Liability. If this Agreement is the subject of any professional services or work, or if the Vendor engages in any professional services or work in any way related to performing the work under this Agreement, the Vendor shall maintain Professional Liability insurance covering negligent errors and omissions arising out of the Services performed by the Vendor, or anyone employed by the Vendor, or anyone for whose negligent acts, mistakes, errors and omissions the Vendor is legally liable, with an unimpaired liability insurance limit of $2,000,000 each claim and $2,000,000 annual aggregate. D. Workers’ Compensation Insurance. Vendor shall maintain Workers’ Compensation insurance to cover obligations imposed by federal and state statutes having jurisdiction over Vendor’s employees engaged in the performance of work or services under this Agreement and shall also maintain Employers Liability Insurance of not less than $500,000 for each accident, $500,000 disease for each employee and $1,000,000 disease policy limit. 11.3 Cancellation and Expiration Notice. Insurance required herein shall not expire, be canceled, or be materially changed without 30 days’ prior written notice to the Town. 12. Termination; Cancellation. 7 12.1 For Town’s Convenience. This Agreement is for the convenience of the Town and, as such, may be terminated without cause after receipt by Vendor of written notice by the Town. Upon termination for convenience, Vendor shall be paid for all undisputed services performed to the termination date. 12.2 For Cause. If either party fails to perform any obligation pursuant to this Agreement and such party fails to cure its nonperformance within 30 days after notice of nonperformance is given by the non-defaulting party, such party will be in default. In the event of such default, the non-defaulting party may terminate this Agreement immediately for cause and will have all remedies that are available to it at law or in equity including, without limitation, the remedy of specific performance. If the nature of the defaulting party’s nonperformance is such that it cannot reasonably be cured within 30 days, then the defaulting party will have such additional periods of time as may be reasonably necessary under the circumstances, provided the defaulting party immediately (A) provides written notice to the non-defaulting party and (B) commences to cure its nonperformance and thereafter diligently continues to completion the cure of its nonperformance. In no event shall any such cure period exceed 90 days. In the event of such termination for cause, payment shall be made by the Town to the Vendor for the undisputed portion of its fee due as of the termination date. 12.3 Due to Work Stoppage. This Agreement may be terminated by the Town upon 30 days’ written notice to Vendor in the event that the Services are permanently abandoned. In the event of such termination due to work stoppage, payment shall be made by the Town to the Vendor for the undisputed portion of its fee due as of the termination date. 12.4 Conflict of Interest. This Agreement is subject to the provisions of ARIZ. REV. STAT. § 38-511. The Town may cancel this Agreement without penalty or further obligations by the Town or any of its departments or agencies if any person significantly involved in initiating, negotiating, securing, drafting or creating this Agreement on behalf of the Town or any of its departments or agencies is, at any time while this Agreement or any extension of this Agreement is in effect, an employee of any other party to this Agreement in any capacity or a Vendor to any other party of this Agreement with respect to the subject matter of this Agreement. 12.5 Gratuities. The Town may, by written notice to the Vendor, cancel this Agreement if it is found by the Town that gratuities, in the form of economic opportunity, future employment, entertainment, gifts or otherwise, were offered or given by the Vendor or any agent or representative of the Vendor to any officer, agent or employee of the Town for the purpose of securing this Agreement. In the event this Agreement is canceled by the Town pursuant to this provision, the Town shall be entitled, in addition to any other rights and remedies, to recover and withhold from the Vendor an amount equal to 150% of the gratuity. 12.6 Agreement Subject to Appropriation. This Agreement is subject to the provisions of ARIZ. CONST. ART. IX, § 5 and ARIZ. REV. STAT. § 42-17106. The provisions of this Agreement for payment of funds by the Town shall be effective when funds are appropriated for purposes of this Agreement and are actually available for payment. The Town shall be the sole judge and authority in determining the availability of funds under this Agreement and the Town shall keep the Vendor fully informed as to the availability of funds for this Agreement. The 8 obligation of the Town to make any payment pursuant to this Agreement is a current expense of the Town, payable exclusively from such annual appropriations, and is not a general obligation or indebtedness of the Town. If the Town Council fails to appropriate money sufficient to pay the amounts as set forth in this Agreement during any immediately succeeding fiscal year, this Agreement shall terminate at the end of then-current fiscal year and the Town and the Vendor shall be relieved of any subsequent obligation under this Agreement. 13. Miscellaneous. 13.1 Independent Contractor. It is clearly understood that each party will act in its individual capacity and not as an agent, employee, partner, joint venturer, or associate of the other. An employee or agent of one party shall not be deemed or construed to be the employee or agent of the other for any purpose whatsoever. The Vendor acknowledges and agrees that the Services provided under this Agreement are being provided as an independent contractor, not as an employee or agent of the Town. Vendor, its employees and subcontractors are not entitled to workers’ compensation benefits from the Town. The Town does not have the authority to supervise or control the actual work of Vendor, its employees or subcontractors. The Vendor, and not the Town, shall determine the time of its performance of the services provided under this Agreement so long as Vendor meets the requirements as agreed in Section 2 above and in Exhibit A. Vendor is neither prohibited from entering into other contracts nor prohibited from practicing its profession elsewhere. Town and Vendor do not intend to nor will they combine business operations under this Agreement. 13.2 Applicable Law; Venue. This Agreement shall be governed by the laws of the State of Arizona and suit pertaining to this Agreement may be brought only in courts in Maricopa County, Arizona. 13.3 Laws and Regulations. Vendor shall keep fully informed and shall at all times during the performance of its duties under this Agreement ensure that it and any person for whom the Vendor is responsible abides by, and remains in compliance with, all rules, regulations, ordinances, statutes or laws affecting the Services, including, but not limited to, the following: (A) existing and future Town and County ordinances and regulations; (B) existing and future State and Federal laws; and (C) existing and future Occupational Safety and Health Administration standards. 13.4 Amendments. This Agreement may be modified only by a written amendment signed by persons duly authorized to enter into contracts on behalf of the Town and the Vendor. 13.5 Provisions Required by Law. Each and every provision of law and any clause required by law to be in this Agreement will be read and enforced as though it were included herein and, if through mistake or otherwise any such provision is not inserted, or is not correctly inserted, then upon the application of either party, this Agreement will promptly be physically amended to make such insertion or correction. 13.6 Severability. The provisions of this Agreement are severable to the extent that any provision or application held to be invalid by a Court of competent jurisdiction shall not 9 affect any other provision or application of this Agreement which may remain in effect without the invalid provision or application. 13.7 Entire Agreement; Interpretation; Parol Evidence. This Agreement represents the entire agreement of the parties with respect to its subject matter, and all previous agreements, whether oral or written, entered into prior to this Agreement are hereby revoked and superseded by this Agreement. No representations, warranties, inducements or oral agreements have been made by any of the parties except as expressly set forth herein, or in any other contemporaneous written agreement executed for the purposes of carrying out the provisions of this Agreement. This Agreement shall be construed and interpreted according to its plain meaning, and no presumption shall be deemed to apply in favor of, or against the party drafting this Agreement. The parties acknowledge and agree that each has had the opportunity to seek and utilize legal counsel in the drafting of, review of, and entry into this Agreement. 13.8 Assignment; Delegation. No right or interest in this Agreement shall be assigned or delegated by Vendor without prior, written permission of the Town, signed by the Town Manager. Any attempted assignment or delegation by Vendor in violation of this provision shall be a breach of this Agreement by Vendor. 13.9 Subcontracts. No subcontract shall be entered into by the Vendor with any other party to furnish any of the material or services specified herein without the prior written approval of the Town. The Vendor is responsible for performance under this Agreement whether or not subcontractors are used. Failure to pay subcontractors in a timely manner pursuant to any subcontract shall be a material breach of this Agreement by Vendor. 13.10 Rights and Remedies. No provision in this Agreement shall be construed, expressly or by implication, as waiver by the Town of any existing or future right and/or remedy available by law in the event of any claim of default or breach of this Agreement. The failure of the Town to insist upon the strict performance of any term or condition of this Agreement or to exercise or delay the exercise of any right or remedy provided in this Agreement, or by law, or the Town’s acceptance of and payment for services, shall not release the Vendor from any responsibilities or obligations imposed by this Agreement or by law, and shall not be deemed a waiver of any right of the Town to insist upon the strict performance of this Agreement. 13.11 Attorneys’ Fees. In the event either party brings any action for any relief, declaratory or otherwise, arising out of this Agreement or on account of any breach or default hereof, the prevailing party shall be entitled to receive from the other party reasonable attorneys’ fees and reasonable costs and expenses, determined by the court sitting without a jury, which shall be deemed to have accrued on the commencement of such action and shall be enforced whether or not such action is prosecuted through judgment. 13.12 Liens. All materials or services shall be free of all liens and, if the Town requests, a formal release of all liens shall be delivered to the Town. 13.13 Offset. 10 A. Offset for Damages. In addition to all other remedies at law or equity, the Town may offset from any money due to the Vendor any amounts Vendor owes to the Town for damages resulting from breach or deficiencies in performance or breach of any obligation under this Agreement. B. Offset for Delinquent Fees or Taxes. The Town may offset from any money due to the Vendor any amounts Vendor owes to the Town for delinquent fees, transaction privilege taxes and property taxes, including any interest or penalties. 13.14 Notices and Requests. Any notice or other communication required or permitted to be given under this Agreement shall be in writing and shall be deemed to have been duly given if (A) delivered to the party at the address set forth below, (B) deposited in the U.S. Mail, registered or certified, return receipt requested, to the address set forth below or (C) given to a recognized and reputable overnight delivery service, to the address set forth below: If to the Town: Town of Fountain Hills 16705 East Avenue of the Fountains Fountain Hills, Arizona 85268 Attn: Grady E. Miller, Town Manager With copy to: Town of Fountain Hills 16705 East Avenue of the Fountains Fountain Hills, Arizona 85268 Attn: Aaron D. Arnson, Town Attorney If to Vendor: Innovative Lighting & Design, Inc. dba Custom Holiday Lights 15855 North Greenway Hayden Loop, Ste 130 Scottsdale, AZ 85260 Attn: Aubree Denekamp or at such other address, and to the attention of such other person or officer, as any party may designate in writing by notice duly given pursuant to this subsection. Notices shall be deemed received (A) when delivered to the party, (B) three business days after being placed in the U.S. Mail, properly addressed, with sufficient postage or (C) the following business day after being given to a recognized overnight delivery service, with the person giving the notice paying all required charges and instructing the delivery service to deliver on the following business day. If a copy of a notice is also given to a party’s counsel or other recipient, the provisions above governing the date on which a notice is deemed to have been received by a party shall mean and refer to the date on which the party, and not its counsel or other recipient to which a copy of the notice may be sent, is deemed to have received the notice. 13.15 Confidentiality of Records. The Vendor shall establish and maintain procedures and controls that are acceptable to the Town for the purpose of ensuring that information contained in its records or obtained from the Town or from others in carrying out its obligations under this Agreement shall not be used or disclosed by it, its agents, officers, or 11 employees, except as required to perform Vendor’s duties under this Agreement. Persons requesting such information should be referred to the Town. Vendor also agrees that any information pertaining to individual persons shall not be divulged other than to employees or officers of Vendor as needed for the performance of duties under this Agreement. 13.16 Records and Audit Rights. To ensure that the Vendor and its subcontractors are complying with the warranty under subsection 13.17 below, Vendor’s and its subcontractor’s books, records, correspondence, accounting procedures and practices, and any other supporting evidence relating to this Agreement, including the papers of any Vendor and its subcontractors’ employees who perform any work or services pursuant to this Agreement (all of the foregoing hereinafter referred to as “Records”), shall be open to inspection and subject to audit and/or reproduction during normal working hours by the Town, to the extent necessary to adequately permit (A) evaluation and verification of any invoices, payments or claims based on Vendor’s and its subcontractors’ actual costs (including direct and indirect costs and overhead allocations) incurred, or units expended directly in the performance of work under this Agreement and (B) evaluation of the Vendor’s and its subcontractors’ compliance with the Arizona employer sanctions laws referenced in subsection 13.17 below. To the extent necessary for the Town to audit Records as set forth in this subsection, Vendor and its subcontractors hereby waive any rights to keep such Records confidential. For the purpose of evaluating or verifying such actual or claimed costs or units expended, the Town shall have access to said Records, even if located at its subcontractors’ facilities, from the effective date of this Agreement for the duration of the work and until three years after the date of final payment by the Town to Vendor pursuant to this Agreement. Vendor and its subcontractors shall provide the Town with adequate and appropriate workspace so that the Town can conduct audits in compliance with the provisions of this subsection. The Town shall give Vendor or its subcontractors reasonable advance notice of intended audits. Vendor shall require its subcontractors to comply with the provisions of this subsection by insertion of the requirements hereof in any subcontract pursuant to this Agreement. 13.17 E-verify Requirements. To the extent applicable under ARIZ. REV. STAT. § 41-4401, the Vendor and its subcontractors warrant compliance with all federal immigration laws and regulations that relate to their employees and their compliance with the E-verify requirements under ARIZ. REV. STAT. § 23-214(A). Vendor’s or its subcontractors’ failure to comply with such warranty shall be deemed a material breach of this Agreement and may result in the termination of this Agreement by the Town. 13.18 Israel. Vendor certifies that it is not currently engaged in, and agrees for the duration of this Agreement that it will not engage in a “boycott,” as that term is defined in ARIZ. REV. STAT. § 35-393, of Israel. 13.19 Conflicting Terms. In the event of any inconsistency, conflict or ambiguity among the terms of this Agreement, the Proposal, any Town-approved invoices, and the RFP, the documents shall govern in the order listed herein. 13.20 Non-Exclusive Contract. This Agreement is entered into with the understanding and agreement that it is for the sole convenience of the Town. The Town reserves the right to obtain like goods and services from another source when necessary. 12 [SIGNATURES ON FOLLOWING PAGES] EXHIBIT A TO PROFESSIONAL SERVICES AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND INNOVATIVE LIGHTING & DESIGN, INC. DBA CUSTOM HOLIDAY LIGHTS [Consultant’s Proposal] See following pages. Town of Fountain Hills Admin-Procurement Robert Durham, Procurement Officer 16705 E. Avenue of the Fountains, Fountain Hills, AZ 85268 PROPOSAL DOCUMENT REPORT RFP No. 2021-RFP-012 Town of Fountain Hills Christmas Display RESPONSE DEADLINE: March 31, 2022 at 5:00 pm Report Generated: Monday, April 25, 2022 Innovative Lighting Proposal CONTACT INFORMATION Company: Innovative Lighting Email: aubree@customholidaylights.com Contact: Aubree Denekamp Address: 15855 North Greenway Hayden Loop Ste 130 Scottsdale, AZ 85260 Phone: N/A Website: N/A Submission Date: Mar 31, 2022 4:31 PM PROPOSAL DOCUMENT REPORT RFP No. 2021-RFP-012 Town of Fountain Hills Christmas Display PROPOSAL DOCUMENT REPORT Request for Proposals - Town of Fountain Hills Christmas Display Page 2 ADDENDA CONFIRMATION Addendum #1 Confirmed Mar 31, 2022 3:46 PM by Aubree Denekamp Addendum #2 Confirmed Mar 31, 2022 3:46 PM by Aubree Denekamp QUESTIONNAIRE 1. Certification By confirming questions under this section, the Vendor certifies: NO COLLUSION* The submission of the Proposal did not involve collusion or other anti-competitive practices. Confirmed NO DISCRIMINATION* It shall not discriminate against any employee or applicant for employment in violation of Federal Executive Order 11246. Confirmed NO GRATUITY* It has not given, offered to give, nor intends to give at any time hereafter, any economic opportunity, future employment, gi ft, loan, gratuity, special discount, trip favor or service to a Town employee, officer or agent in connection with the submitted Proposal. It (including the Vendor’s employees, representatives, agents, lobbyists, attorneys, and subcontractors) has refrained, under penalty of disqualification, from direct or indirect contact for the purpose of influencing the selection or creating bias in the selection process PROPOSAL DOCUMENT REPORT RFP No. 2021-RFP-012 Town of Fountain Hills Christmas Display PROPOSAL DOCUMENT REPORT Request for Proposals - Town of Fountain Hills Christmas Display Page 3 with any person who may play a part in the selection process, including the Selection Committee, elected officials, the Town Manager, Assistant Town Managers, Department Heads, and other Town staff. All contact must be addressed to the Town’s Procurement Agent, except for questions submitted as set forth in Subsection 1.4 (Inquiries), above. Any attempt to influence the selection proc ess by any means shall void the submitted Proposal and any resulting Agreement. Confirmed FINANCIAL STABILITY* It is financially stable, solvent and has adequate cash reserves to meet all financial obligations including any potential co sts resulting from an award of the Agreement. Confirmed NO SIGNATURE/FALSE OR MISLEADING STATEMENT* The signature on the cover letter of the Proposal and the Vendor Information Form is genuine and the person signing has the authority to bind the Vendor. Failure to sign the Proposal and the Vendor Information Form, or signing either with a false or misleading statement, shall void the submitted Proposal and any resulting Agreement. Confirmed PROFESSIONAL SERVICES AGREEMENT* In addition to reviewing and understanding the submittal requirements, it has reviewed the attached sample Professional Services Agreement including the Scope of Work and other Exhibits. Confirmed REFERENCE CHECKS* References will be checked, and it is Vendor’s responsibility to ensure that all information is accurate and current. Vendor authorizes the Town’s representative to verify all information from these references and releases all those concerned from any liability in PROPOSAL DOCUMENT REPORT RFP No. 2021-RFP-012 Town of Fountain Hills Christmas Display PROPOSAL DOCUMENT REPORT Request for Proposals - Town of Fountain Hills Christmas Display Page 4 connection with the information they provide. Inability of the Town to verify references shall result in the Proposal being considered non-responsive. Confirmed 2. Vendor Proposal GENERAL INFORMATION* A. One page cover letter as described in the section titled "RFP Submission Process", the subsection titled "Required Submittal". B. Provide Vendor identification information. Explain the Vendor’s legal organization including the legal name, address, identification number and legal form of the Vendor (e.g., partnership, corporation, joint venture, limited liability company, sole proprietorship). If a joint venture, identify the members of the joint venture and provide all of the information required under this section for each member. If a limited liability company, provide the name of the member or members authorized to act on the company’s behalf. If the Vendor is a wholly owned subsidiary of another company, identify the parent c ompany. If the corporation is a nonprofit corporation, provide nonprofit documentation. Provide the name, address and telephone number of the person to contact concerning the Proposal. C. Identify the location of the Vendor’s principal office and the local work office, if different. Include any documentation that supports the Vendor’s authority to provide services in Arizona. D. Provide a general description of the Vendor’s organization, including years in business. E. Identify any contract or subcontract held by the Vendor or officers of the Vendor that have been terminated within the last five years. Briefly describe the circumstances and the outcome. F. Identify any claims arising from a contract which resulted in litigation or arbitration within the last five years. Briefly describe the circumstances and the outcome. CUSTOM_HOLIDAY_-_TABLE_OF_CONTENTS.pdf2.1_General_Information.pdfCover_Letter_-_Custom.pdf EXPERIENCE AND QUALIFICATIONS OF THE VENDOR* PROPOSAL DOCUMENT REPORT RFP No. 2021-RFP-012 Town of Fountain Hills Christmas Display PROPOSAL DOCUMENT REPORT Request for Proposals - Town of Fountain Hills Christmas Display Page 5 A. Provide a detailed description of the Vendor’s experience in providing similar services to municipalities or other entities of a similar size to the Town, specifically relating experience with respect to Town of Fountain Hills Christmas Display. B. Vendor must demonstrate successful completion of at least three similar projects within the past 60 months. For the purpose of this Solicitation, “successful completion” means completion of a project within the established schedule and budget and “similar projects” resemble this project in size, nature and scope. Provide a list of at least three organizations for which you successfully completed a similar project. This list shall include, at a minimum, the following information: 1. Name of company or organization. 2. Contact name. 3. Contact address, telephone number and e-mail address. 4. Type of services provided. 5. Dates of contract initiation and expiration. 2.2_Experience_&_Qualifications.pdf KEY POSITIONS* A. Identify each key personnel member that will render services to the Town including title and relevant experience required, including the proposed project manager and project staff. B. Indicate the roles and responsibilities of each key position. Include senior members of the Vendor only from the perspective of what their role will be in providing services to the Town. C. If a subcontractor will be used for all work of a certain type, include information on this subcontractor. A detailed plan for providing supervision must be included. D. Attach a résumé and evidence of certification, if any, for each key personnel member and/or subcontractor to be involved in this project. Résumés should be attached together as a single appendix at the end of the Proposal and will not count toward the Proposal page limit. However, each resume shall not exceed two pages in length. 2.3_Key_Positions.pdf2.3_Resumes.pdf PROPOSAL DOCUMENT REPORT RFP No. 2021-RFP-012 Town of Fountain Hills Christmas Display PROPOSAL DOCUMENT REPORT Request for Proposals - Town of Fountain Hills Christmas Display Page 6 PROJECT APPROACH* A. Describe the Vendor’s approach to performing the required Services in the section titled Scope of Work, and its approach to contract management, including its perspective and experience on partnering, customer service, quality control, scheduling and staff. B. Describe any alternate approaches if it is believed that such an approach would best suit the needs of the Town. Include rationale for alternate approaches, and indicate how the Vendor will ensure that all efforts are coordinated with the Town’s Representatives. 2.4_Project_Approach.pdf PROJECT SCHEDULE* Provide a project schedule showing key project milestones and deliverables. The schedule shall demonstrate Vendor’s ability to meet the designated milestones as listed. 2.5_Project_Schedule.pdf PRICING* Please download the below documents, complete, and upload. • Pricing.xlsx 2.6_Pricing.pdf 2021 -RFP -012 CUSTOM HOLIDAY LIGHTS, LLC. II. 7.2.1 General Information 7.2.1.B Vendor Identification Information: Legal Name: Custom Holiday Lights, LLC. Main Proposal Contacts: Address: 15855 N Greenway Hayden Loop, Ste 130 Chad Shimek / 480-560-5022 (cell) Scottsdale, AZ 85260 Chad@CustomHolidayLights.com Employee Identification Number: 86-1012431 Aubree Denekamp / 480-677-0245 (cell) Managing Member: Chad Shimek – 100% Ownership Aubree@CustomHolidayLights.com Office: 480-675-0151 Fax: 480-675-7640 Admin@CustomHolidayLights.com Locations: Custom Holiday Lights primary office location is at 15855 N Greenway Hayden Loop, Scottsdale, AZ 85260. Our Scottsdale location includes a 3,200 sq ft warehouse which is climate controlled, keeping decorations in top condition from year after year. Custom owns multiple transportation trailers and will use a flatbed trailer to transport Town decorations. Custom also utilizes an additional storage facility located at 1901 N Alma School Rd. Mesa, AZ. Company Vehicles & Equipment: 1. 2003 Ford F150 Ext Cab 2. 2003 Ford F150 Single Cab 3. 2003 Ford E350 Cargo Van 4. 2003 10' Haulmark Trailor 5. 2004 Chevy Astro Van 6. 2005 Ford F150 Single Cab 7. 2005 14' Haulmark Trailor 8. 2006 F550 37" Aerial Boom 9. 2006 Chevy Express 1500 10. 2007 Ford F150 Ext Cab 11. 2007 Ford F150 Single Cab 12. 2007 F550 W / 42" Aerial Boom 13. 2008 Ford E350 Cargo Van 14. 2018 Ford F150 Ext Cab 15. 29' Personnel Lift 16. 16' Big Tex Trailer 17. 24' Childs Gooseneck Trailer 7.2.1.C Licensing: See Attachment. 7.2.1.D Vendor Organization Information: History: Custom Holiday Lights, LLC was established in 1989 and is locally owned and operated in Scottsdale, Arizona. We are the original Christmas lights and decorating business of the Valley for 32 years. We are proud to continue working year after year with our original customers. We attribute this to our commitment to preserve quality workmanship and excellent client satisfaction. We have been able to service our clients by managing our growth responsibly and abiding to our principles of integrity, quality of workmanship, and caring attitude. Our team has the experience, knowledge, and talent it takes to creatively illuminate and decorate any area. Company: CHL employs a staff of 24-36 employees and is equipped with the necessary equipment to install, maintain, remove, and even store the necessary product safely and promptly. CHL has all the resources to take on any project while exceeding our customer's expectations. Experience: CHL has 32 years’ experience operating and provides services annually to over 150 properties consisting of; Cities, Shopping Plazas, Community Associations, Senior Living Centers, Corporate Centers, Hotels, Resorts, and Private Residences. Custom Holiday Lights has serviced several municipalities including, but not limited to, The City of Scottsdale, City of Coppell, City of Surprise, and the Anthem Community Council. Mission: As a team, we really enjoy and look forward to building a long-term relationship with our clients and repeating this with anyone that is seeking our services. We strive to offer quality products and great workmanship. We always offer a valuable experience and a willingness to collaborate with you on the development of a holiday decorating program for this holiday season and others to come! In closing: With such a strong and reputable history, we at Custom Holiday Lights are confident that we will meet your requirements and exceed your expectations for the holiday seasons. We understand the objective and importance of the holiday lighting in the Town; supporting the merchants, increasing revenue, and the costs and time involved in orchestrating such an event. 7.2.1.E Subcontractors: No subcontractors will be used. Due to the size and scope of the project, Custom Holiday Lights understands the importance of having employees you can trust to follow the schedule that are knowledgable, dependable, trained in by our standards of installation, ethics and safety, which is why we choose to keep our team in house. 7.2.1.F Claim History: No claims against Custom Holiday Lights, LLC. 2021 -RFP -012 CUSTOM HOLIDAY LIGHTS, LLC. III. 7.2.2 Experience & Qualifications 7.2.2.A Vendor’s Experience: Community Association Management / CCMC (Grayhawk Community Associations / Firerock Community): Since 2005, Custom Holiday Lights has been working with CCMC and solely responsible for the design, product, coordination, scheduling, installation, maintenance and removal of the holiday lighting displays since 2005. CHL installs holiday lighting for Grayhawk Communities, located in North Scottsdale and Firerock Community Associations, located in Fountain Hills. The installation of the community entrances, both inside and outside of the security gates, totals over 1.2 million lights. Grayhawk's installation includes over 20 subdivisions. CHL is responsible for the installation of custom designed garland at 59 monuments, trunk warpping for various and canopy decorations in 370 trees and cacti, installing/programing RGB clusters in canopies, snowflakes in tree canopies, clipping/gluing C9's on the perimeter of structures and monuments, and various lit ground decorations throughout the communties. During the holiday season, CHL installs, maintains and removes this holiday lighting for over 12 square miles covering the association. Our continued relationship with Grayhawk comes from our ability to communicate with our client, correct any concerns that may arise and ensure the best quality of work. Firerock Community Association: CHL installs holiday lighting on items including Saguaros, Palo Verde trees, Ironwood trees, building structures, guard houses, water features, and monuments throughout the Firerock Community. These trees are meticulously wrapped with 2" spacing from the bottom of the trunk to the tips of the branches with clusters of lights strung throughout the canopies, using boom and aerial lifts. CHL installs C9 lights on the fascia of the guard houses and lines the perimeter of monuments. Our unparralled installation techniques and customer service has allowed the community to expand with each year of our services. CHL coordinates with both the Community Manager and security staff during the season as a preventative measure in addition to our maintenance program to ensure any outtages are being taken care of as quickly as possible. 2021 -RFP -012 CUSTOM HOLIDAY LIGHTS, LLC. III. 7.2.2 Experience & Qualifications 7.2.2.B References: I. 1. City of Surprise 2. Daniel Luvisi / Joann Estfan 3. 16000 N. Civic Center Plaza. Surprise, AZ 85374 623-222-2243 Joann.Estfan@SurpriseAz.gov Daniel.Luvisi@SurpriseAz.gov 4. Services provided under contract include, but are not limited to: All design aspects for lighting display, order/receive product, manage all aspects of scheduling and coordinate with City staff and any applicable vendors, alert City of any changes, succesfully complete installation, provide preventative and repair maintenance, removal and storage, and provide development designs for future seasons. - Trunk wrapping - Clusters & Snowfalls in tree canopies - Wreaths / Custom decorations - C9’s - Repairs to City owned decorations - Snow machines - Event montioring - Power distribution to City Generators - City owned Christmas tree 5. Contract Initiation:2017 / Contract Expiration:2022 II. 1. Community Association Management / CCMC 2. Grayhawk Community Associations & Firerock Community Association 2. Stephanie Fee / Mike Fee 3. 15295 E Shea Blvd. Fountain Hills, AZ 85268 480-836-4323 SFee@CcmcNet.com 4. Services provided under contract include, but are not limited to: All design aspects for lighting display, board presentations, leasing/testing of product, manage all aspects of scheduling and project tracking, communication between board members, community management company, security staff and external vendors. Succesfully complete installation for all holiday lighting and displays, preventative and repair maintenance, removal and storage for all decorations and lighting. -Trunk wrapping - Lit decorations in tree canopies - Tree of lights - C9’s - Custom lit garland/ wreaths - Interactive displays 5. Contract Initiation:2005 / Contract Expiration: None specified III. 1. Developmental Services of America / Casa De Ninos 2. Carl Chesney 480-476-4100 3. 16100 N 71st St. Scottsdale, AZ 85254 480-476-4100 Carl_Chesney@CasaDeNinos.com 4. Services provided under contract include, but are not limited to: All design aspects for lighting and deocrations, leasing/testing of product, manage all aspects of scheduling and project tracking, scheduling at low traffic times, maintenance, removal, etc. . Succesfully complete installation for all holiday lighting and displays, preventative and repair maintenance, removal and storage for all decorations and lighting. -Trunk wrapping - Lit decorations in tree canopies - Fronds and branch wrapping - C9’s - Custom lit garland/ wreaths - Storage and Transport 5. Contract Initiation: 2015 / Contract Expiration: None specified . 7.2.3.A Key Personnel: Our team has over 150 years of combined experience lighting municipalities, communities, and homes throughout the Southwest. Please see below for a list of our key personnel who will be working closely on this project. • Chad Shimek (Project Manager / Managing Member) Chad Shimek has owned CHL since 2000 and specializes in not only seasonal lighting, but all forms of lighting and electrical. His passion for lighting has lended him extensive knowledge of lighting, electrical/power distribution, design, installation methods, troubleshooting skills and much more. He has succesfull designed, overseen, and succesfully completed projects both in Arizona as well as municaplities out of state. His responsibilities include, but are not limited to, company proposals, designs, purchasing, customer service, hiring, evaluating performance, and employee education. • Allen Thompson (Design & Automation Specialist) is a local entrepreneur with over 30 years of experience in the event production industry. He is an instrumental asset to CHL and provides extensive knowledge not only to event planning, but stays current on innovative products, delivers training, programming and oversees desings. • Aubree Denekamp (Office Manager/ Project Coordinator) has been with CHL since 2016. Responsibilities include are, but not limited to, maintaing license renewals, overseeing onboarding process for new employees, contract fullfilment, project tracking, scheduling, customer service, design and administrative duties. • Leah Scarsone (Customer Relations / Administrative Staff) has been with CHL since 2019. Leah’s responsibilities include but are not limited to advocating between the customer and the field supervisors, scheduling, customer service & marketing. • Steve Campillo (Field Manager) started with CHL since 2003. His responsibilities are, but not limited to, overseeing field operations, installation, and evaluating employee's safety. He possesses a high awareness of safety, time management, and managing deadlines. He has unmatchable knowledge and skill set earned from hard work and dedication. • Guillermo Gonzalez (Field/Project Supervisor) has been with CHL since 2014 but comes to the company with 16 years’ experience in the holiday lighting industry. His ability to motivate his team is unparallel and focuses on his responisbilities overseeing project installation, evaluating installation technique, troubleshooting, customer service and more. • Dan Hadley (Heavy Equipment Operator) joined our team in 2018, and is responsible for overseeing all heavy equipment installation needs, training personnel on equipment, continued training education, and troubleshooting. • Lonny Teff (Lead Installer) has been with CHL since 2017 bringing a new approach to prolem solving skills and creative "out of the box" thinking lend a huge asset to CHL. His responbsibilities include but are not limited to installation, operating heavy equipment, designing power layout/ installation of power supplies, troubleshooting and repairs. • Daniel Gonzales (Installer/Service Techncian) joined CHL since 2015, but began his career in holiday lighting prior to joining us. His accuracey, leadership and time management skills almost always bring his projects to completition ahead of schedule! • Hector Hernandez (Installer/Service Techncian) moved from a local holiday lighting company to CHL in 2015. He works hand in hand with management, communicating repair work orders, inventory updates, and oversees warehouse responsibilities. He works closely with the restoration and installation of displays His responsibilities include, but are not limited to installation, assembly, product analysis, and repairs. • Irwin Lewis (Maintenance/Service Techncian) is an expert troubleshooter who joined CHL in 2017. Irwin’s responsibilities include troubleshooting, preventative maintenance/ nightly audits, repairs, and installation. 2021 -RFP -012 CUSTOM HOLIDAY LIGHTS, LLC. IV. 7.2.3 Key Positions 2021 -RFP -012 CUSTOM HOLIDAY LIGHTS, LLC. IV. 7.2.3 Key Positions 7.2.3.B Key Position Roles/Responsibilities: Design Specialists: The design specialist is responsible for reviewing the site locations, defining foilage types, estimating number or lights needed for each element, placement for displays and décor, and product specs. This position is completed as a team effort, collaborating to ensure the design, technical specs, costs, timelines, etc. are met. Project Manager: The Project Manager is responsible for overseeing the full project. This includes pre-conference meetings, serve as one of the main contacts for Town staff, reveiews installation techniques, monitors and implements safety procedures, ensures project timeline is on track, evaluating employee perfomance, and coordinates between all layers of internal staff that are working together on the project. Office Manager/ Project Coordinator: The Office Manager/Project Coordinator is repsonsbile for drafting submittals, main office contact for clientelle and field staff, maintains licensning and insurance compliance, A/R, A/P, provides report tracking, tracks project progression and processes product orders. Customer Relations/ Administrative Staff: The Customer Relations / Admin position handles any and all aspects of follow ups, updates, reminders, and scheduling updates to both clients and internall/field staff. Using a proprietary system, our field memebers are able to update progression in real time, which is montiored by this position, and reported to Management and scheduling. Field Manager: The Field Manager oversees all field supervisors. The field manager is an instrumental part of developing innovative power solutions, provides job execution plan, devlops plan with field supervisor, evaluates field employee and technical performance, conducts day and night reviews of projects, communicates and issues with Project Manager, and troubleshooting. Field Supervisor: The Project/Field Supervisor works closely with the Project and Field Managers throughout project compeltion. Field Supervisor manages the on-site crew and oversees installation. Responsibilities are to ensure the project needs are being met and that all technical, safety, and company policies are being adhered to during the instlalation. This position is responsible for on the job training, reporting the office and management, and serving as the on-site contact for any Town needs. Heavy Equipment Operator: The Heavy Equipment Operator is respobsible for all aspects relating to instalaltion requiring a lift. This includes loading/unloading of all product and equipment, adhering and enforcing all safety procedures, directly supervising ground support tech, installing lighting and decorations, running power overhead, service calls, troubleshooting and removal. Installer/Service Techncian: CHL’s Installation and Service Techs are repsonsible for installation/maintenance and removal for all lighting, displays/decorations, timers/power, and prevenatative maintenance. The Installers are directly supervised by the Project Supervisor on site, Project Manager and Field Manager. 7.2.3.C Subcontractors: No subcontractors will be used. Due to the strict timeline and scope of the project, Custom Holiday Lights understands the importance of having dependable employees to adhere to the guidelines and timelines set forth. 7.2.3.D Resumes: See attached appendix for resumes and certificates. 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. VIII. Attachments – Resumes 7.2.4.A Vendor’s Approach: Our method of installing seasonal lighting and displays has evolved over the years as new technology arises. Custom Holiday Lights was established in 1989 and has developed techniques that have been proven effective and each of our team members are individually trained to uphold our standards over the past 32 years. When devloping a design, we also create an installation plan based on the space given, budget, and overall vision of the project. We adhere to all Town ordinances and put a strong emphasis on safety. Safety/Training: It is the policy of Custom Holiday Lights to provide a safe workplace for our employees and to observe all State and Federal Laws and Regulations. Custom Holiday Lights provides safety and installation training to all employees as well as weekly safety meetings. CHL also has a proprietary safety manual and test that each employee is required to pass a safety test prior to working on any project. We provide the necessary training and tools for the management team and supervisors to train employees on how to complete assigned job tasks including: installation, electrical safety, and equipment usage. New employees work under the supervision of another crew member with a minimum of 5 years’ experience at our company to ensure Company policies are being adhered to. Safety is a part of all our employee's responsibility. We require active participation and adherence to the safety program as a condition of their employment. Our management's commitment and follow up to safety is an instrumental part of how we stay safe. Our office staff and supervisors have emergency contact numbers and procedures in place in the event of an accident. CHL employees will utilize OSHA and Town safety guidelines. CHL provides training and PPE for all vehicles, machinery and equipment utilized in the field. All vehicles and equipment have monthly preventative maintenance checks completed to ensure equipment safety. A visual and physical inspection of heavy machinery and/or lifts prior to use. While in use, all employees are in safety harnesses, vests and using cones. While in the field all team members mark their workspace with the use of cones, tape, flashes, or signs to inform oncoming traffic and pedestrians of the space in use. CHL prohibits the use of cell phones to ensure full focus is on their surroundings. Whether on the ground or in the air, CHL requires eye protection, gloves, hats, and proper footwear to ensure everyone’s safety. We encourage our team to take regular breaks and supply snack and water to keep their awareness and energy levels up. CHL promotes cleanliness in the effort to be safe. Each vehicle’s stocked with individual brooms, ladders, and rakes to ensure we leave a jobsite in the same, or better condition than when we arrived. This could include raking the gravel back to even ground, cleaning debris from the sidewalk, picking up trash, etc. Our team is also respectful of their noise level and language to ensure they can hear the surroundings as a preventive measure. The policies we enforce protect our employees, our clients, and our business. These policies have proven to work and strengthen year after year. Purchasing: Custom Holiday Lights has long standing relationships with our current vendors, some for over 20 years. We have established additional discount rates for paying early, exteneded payment terms, established relationships with reps, ease for returns/warranties, and endless potential for custom products! We also have relationships with manufacturers overseas that we utilize to order product and manufacture special designs. With our revolving credit over $150,000, line of credit for $78,000 with a zero balance, great standing relationship with our bank, and cashflow of approximately $90,000, we have the ability to strategically begin ordering our product early, to utilize the discounted pricing without waiting on a deposit. Ordering early also allows us ample time to test all product and order/receive any replacements (if needed), prior to installation beginning. Communication: We pride ourselves in our communication and promptness. Upon being awarded the project, our office and/or field staff will provide weekly status updates to the RFP administrator to inform him/her of the project's status. We will also provide follow-up reports concerning maintenance of all holiday lighting and ground displays, which will include the dates, times and scope of work completed. The Town will be provided with multiple forms of contact (email, text, call) for three points of contact. All emails, voicemails and calls are answered promptly throughout the season, and guarantee a response time of a maximum of 4 hours via text. Upon receiving any notice of outages or issues with the lights, the office will contact the Town Staff to get more details specifying location and description of what is out. From there, we will schedule a team and dispatch them to troubleshoot and diagnose the issue. Once completed, a report detailing the location of the issue(s), cause, and solution or repair made will be emailed to the administrator for the Town's records. 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. V. 7.2.4 Project Approach 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. V. 7.2.4 Project Approach 7.2.4.A Vendor’s Approach: Maintenance: Custom Holiday Lights will be onsite at night, a minimum of once a week to review the lighting and make any repairs needed as a preventative maintenance, recorded with detailed notes and photos. CHL requests that the Town submit any notice of issues to our office immediately, as we hold a 24-hour repair policy, in addition to our preventative maintenance checks. CHL will take pride in the Town’s display and ensure all maintenance is upheld to provide the best possible experience to the Town staff, locals, merchants and the spectators. Installation standards: Bark Wrapping: All trees specified will be bark wrapped from the base of the trunk all the way to the leaves with LED mini lights. The mini lights we have spec'd in for this project have 6" spacing between each bulb LED bulb.This will allow the trees to hold more lights, providing a dazzling effect. The small sized trees will have each wrap extending the distance of approximately 3-4" apart. The medium sized trees will be wrapped with a 4 fingers (3-5 inches) spacing. The large sized trees will be wrapped with about 6-8" spacing. Tree Canopies: CHL will be utilizing 5 different styles of ornaments throughout the tree canopies, to allow for full appearance, with less ornaments. The LED ornaments will include C9’s, lit spheres, falling snowfall lights, lit clusters and lit sprays. When installing the ornaments, an aerial lift will be used and the entire canopy will be covered with even spacing between the items. The small sized trees will have each wrap extending the distance of approximately 3-4’ apart. The medium sized trees will be decorated with 4-6’ spacing between ornaments. The large sized trees will be installed with about 6-8’ spacing. The smaller trees will have a much closer spacing than the larger trees to create the same fullness in each tree and achieve a cohesive appearance. The shapes and sizes of the tree ornaments in the display will be determined by the color and size to achieve a cohesive flow as you walk through the display. Skylines: The skylines will be strategically placed in areas with less foliage that need to fill space which are a center attraction throughout the walkways. Displays: The displays are strategically placed in areas that fit the space according to size and meaning with consideration to external vendors that may be in place during the event. Power supplies: All power supplies and program devices will be installed descretely to eliminate any attention taken away from the show and promote safety and functionality. Extension cords will be installed overhead wherever possible. Power that is ran on the grond will be staked down with sod staples to secure. Ground displays will be installed near the ened and middle sections of the median near gravel strategically placed near power. Product: We will be ordering all new LED products upon being awarded this project. Due to the size and length of the contract, we think it’s necessary to have NEW products to avoid dimness and lack of consistency in coloring that occurs from sun damage use. General Scope of Work (per Section 2.1): Refurbish/install/maintain/remove (47) Town owned displays to current LED standards. Provide/Installation/testing/maintenance/repairs/removal/storage of the following: LED clusters in half of the median trees’ canopies. Wrap the trunks and branches of (5) large, (10) medium and (14) small trees in the medians. Warm white LED lights and spheres on (8) ramada shade structures. (1) 24’ led tree with base, power cords/timers/adapters, misc supplies and lift fees. Color coordination is TBD during walkthrough with Town Administrator. Centennial Pavilion Displays: Finalized placement to be determined during walkthrough with Town based on display size, space, color, theme and functionality. ZONE 1: ZONE 5: A. Angel Display B. Locomotive Display ZONE 2: P. Wagon Display Q. Bike Display ZONE 6: R. Dog 1 Display M. Train w/ Presenter S. Dog 2 Display O. Kite Display ZONE 3: ZONE 7: C. Train w/ Bear Display K. Skier Display T. Sleigh Display L. Stocking Display U. Present 1 Display ZONE 8: V. Present 2 Display D. Deer 1 Display ZONE 4: E. Deer 2 Display H. Candy Cane 1 Display F. Deer 3 Display I. Candy Cane 2 Display G. Baby Deer Diplay J. Candy Cane 3 Display N. Frosty Display 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. V. 7.2.4 Project Approach Centennial Pavilion Displays: Finalized placement will be determined during walkthrough with Town based on display size, space, color, theme and functionality. A. 5-piece Manger Scene B. 1-piece animated flying Angel C. 1-piece color Camel & Wiseman D. 2-piece color Wisemen E. 1-piece Seasons Greetings sign F. 1-piece Happy Holiday sign G. 4-piece color Animated Elf scene H. 3-piece animated Train set I. 8.75’ tall Saguaro w/ Star J. 10’ tall Saguaro K. 2-piece 8’ tall Cowboys i i C i 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. V. 7.2.4 Project Approach 7.2.4.B Alternate Approach: Additional items outside of General Scope of Work (within established budget): Provide/Installation/testing/maintenance/repairs/removal/storage of the following: - Bark wrapping LED lights on (2) 50-80’ pine trees with approximately 50 large ornaments per tree - Trunk wrap (3) tall palms in front of City Hall - Hang lit sprays in (6) 15-25’ maple trees - Decorate canopies of (12) olive trees with clusters. - Hang falling lights in (2) cucumber tree canopies - Wrap red/silver garaland up the posts on (17) light poles - Suspend runs of lights from tree to tree, each with approximately 30-50’ of lighting paired with a selfie station! Additional items (recommendations for current or future seasons): Provide/Installation/testing/maintenance/repairs/removal/storage of the following: - (2) 8’ Wreaths installed at fascia of City Hall building - (1) RGB 30’ panel tree - Add controllers to provide motion and sound to displays - Implement more RGB lighting on the existing trees versus the current static lights - (8) wreaths and panels near water features - Additional sprays and clusters in tree canopies - Holiday banners for (17) light poles - Wrap trees at centinnial park 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. VI. 7.2.5 Project Schedule 7.2.5 Project Schedule: Custom Holiday Lights begins planning the schedule in February for the following season. This allows us to forecast our year, allow for adjustments, maintenance, and the abilitiy to follow strict timelines without issue throughout the season. CHL completes monthly maintenance on all vehicles and equipment. With our extensive fleet of vehicles, equipment, lifts, and trailers we are prepared if any technical issues are to arise. We also have a close relationship with United Rentals as a backup, and our own mechanics to guarantee not only safety, but any repairs needed in a timely fashion. We will also be strategically planning our installation times to avoid heavy traffic times as a way to keep our employees safe and to prevent delays during installation. Once installation has commenced, our supervisors submit completed work orders daily to keep office staff up to date of progress, decifer if additional team members are needed, and notate any issues that may occur. These progress updates could be submitted weekly to the Town, unless otherwise directed, to allow all parties to be on the same page. In addition, the owner of the company will be on site, at a minimum, of every three days during the installation process to review the work being completed, making sure it meets or exceeds his standards, provide additional accountability that timelines are being met, and reviewing safety measures. Please see below for the rough outline for installation, pending the Town's approval. These dates are flexible and can be modified at Town’s request. With these timelines, we are allotted extra time if adjustments are needed, if weather delays the project, or any other unforseen issues arise. April 27th 2022: Contract start date. Week of May 9th 2022: Transport all ground displays to our Scottsdale warehouse to test all displays. Week of May 16th 2022: Schedule walk through with the Town’s Administrator to walk the property and collectively go over the design to finalize scope of work and color schemes. Week of May 23rd 2022: Process/receive purchase order for all NEW product. Test product upon delviery. Week of June 13th 2022: Refubrish/update ground display décor to meet current and functional LED standards. Week of August 15th 2022: Complete walk through with Town staff and party responisble for overseeding to review/confirm details, power locations and layouts. Week of August 22nd 2022: Project Manager/Designer complete walkthrough design, project outline, timelines, etc. with Field Manager and Project Supervisor. Month of September: Trunk wrap all trees on the Avenue of the Fountain & Centennial Pavillion. Month of October: Install all LED lights and ornaments in tree canopies. Weeks of November 1st – 14th: Install all LED ground displays and Christmas tree. Run power to all areas of display and set timers to off. Week of November 21st 2022: Complete final walk through with Town Administrator to review all displays and aspects of installation to ensure it meets the Town’s satisfaction, allwoing for any changes to be made prior to the event. Test all lights and decorations. Set timers to 6pm-12am. November 29th 2022 – January 1st 2023: Complete preventative maintenance and repairs of all functions relating to the Holiday Display and Deocrations. Stroll in the Glow Event (TBD): Assist Town staff with any lighting needs during the lighting ceremony. Crew will be on site prior to the event and during the event (4-8pm), unless otherwise specified by the Town. TBD: Additional walk throughs with Town Administrator to review the lighting and displays. January 1st-12th 2023: Set timers to off. Remove all aspects of holiday lighting and displays and power supplies.Transport all Town owned lighting and displays to Scottsdale Warehouse location. All lights and displays to be tested and inventoried upon storage. 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. VII. 7.2.6 Pricing General Scope of Work & Cost per Section 2.1: Additional Items Included within Budget: Alternate Approach Costs: 2021-RFP-012 CUSTOM HOLIDAY LIGHTS, LLC. VII. 7.2.6 Pricing ITEM 8. G. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Public Works Prepared by: Justin Weldy, Public Works Director Staff Contact Information: Justin Weldy, Public Works Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: approving the first amendment to Cooperative Purchasing Agreement C2021-046 with Sunrise Engineering, Inc. and any related budget transfers. Staff Summary (Background) As the Town of Fountain Hills has grown, past and current Town Councils have approved resources for safe and efficient means for walking in the community. A sidewalk plan was developed several years ago, and this plan has been used to make incremental improvements to the sidewalk system over time. The sidewalk plan provides the Town with a phased implementation approach. It identifies the highest priority areas based upon known gaps in the existing sidewalk system that need to be addressed within a five-year horizon. As part of the annual Capital Improvements Projects budget approval process, Council has routinely approved $200,000, in funding for sidewalk infill. Over the last six years, staff has utilized the funding to install over 15,000 linear feet of new sidewalk and curb opening ramps. For fiscal year 2022-23, staff requested an additional $100,000 for the sidewalk infill budget (for a total of $300,000). The additional funding will be utilized for the design of new sidewalk in areas of the Town where steep slopes, rock outcroppings and utilities create conflicts. Once constructed, the sidewalks will provide connectivity and improve walkability in the Town and support the Town's Active Transportation Plan and the 2022 Strategic Plan for creating a walkable community. Sunrise Engineering has provided design services to the Town in the past and has agreed to provide design at several locations within the Town for $75,000 annually. Related Ordinance, Policy or Guiding Principle Active Transportation Plan and the 2022 Strategic Plan for creating a walkable community. Risk Analysis Gap infill for sidewalks has been a top priority of the Town Council for several years. Sidewalk improvements have created a significantly safer environment for pedestrians. Failure to approve this contract will delay infill at critical locations. Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends approval of the first amendment to Cooperative Purchasing Agreement C2021-046 with Sunrise Engineering, Inc. SUGGESTED MOTION MOVE to approve of the first amendment to Cooperative Purchasing Agreement C2021-046 with Sunrise Engineering, Inc., in the amount of $75,000 annually, and any related budget transfers. Attachments Professional Services Agreement Fee Schedule Form Review Inbox Reviewed By Date Public Works Director (Originator)05/12/2022 03:21 PM Finance Director David Pock 05/12/2022 04:14 PM Town Attorney 05/17/2022 10:21 AM Town Manager Grady E. Miller 05/20/2022 11:52 AM Form Started By: Justin Weldy Started On: 05/09/2022 01:52 PM Final Approval Date: 05/20/2022 Contract No. 2022-089 PROFESSIONAL SERVICES AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND SUNRISE ENGINEERING, INC. THIS PROFESSIONAL SERVICES AGREEMENT (this “Agreement”) is entered into as of June 7, 2022, between the Town of Fountain Hills, an Arizona municipal corporation (the “Town”) and Sunrise Engineering, Inc., a(n) Arizona corporation (the “Consultant”). RECITALS A. Pursuant to Section 7.1 of the Town’s Procurement Policy and Section 3-3-26 of the Town Code, the Town may directly select certain consultants for professional and technical services. B. The Consultant possesses the specific skill and experience required to provide the Town with professional engineering, design, and related services (the “Services”). C.The Town desires to enter into an Agreement with the Consultant to perform the Services, more particularly set forth in Section 2 below. AGREEMENT NOW, THEREFORE, in consideration of the foregoing introduction and recitals, which are incorporated herein by reference, the following mutual covenants and conditions, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Town and the Consultant hereby agree as follows: 1.Term of Agreement. This Agreement shall be effective as of the date first set forth above and shall remain in full force and effect until June 6, 2023 (the “Initial Term”), unless terminated as otherwise provided in this Agreement. After the expiration of the Initial Term, this Agreement may be renewed for up two successive one-year terms (each, a “Renewal Term”) if: (i) it is deemed in the best interests of the Town, subject to availability and appropriation of funds for renewal, (ii) at least 30 days prior to the end of the then-current term of this Agreement, the Consultant requests, in writing, to extend this Agreement for an additional one-year term and (iii) the Town approves the additional one-year term in writing (including any price adjustments approved as part of this Agreement), as evidenced by the Town Manager’s signature thereon, which approval may be withheld by the Town for any reason. The Consultant’s failure to seek a renewal of this Agreement shall cause this Agreement to terminate at the end of the then-current term of this Agreement; provided, however, that the Town may, at its discretion and with the agreement of the Consultant, elect to waive this requirement and renew this Agreement. The Initial Term and all Renewal Terms, if any, are collectively referred to herein as the “Term.” Upon renewal, the terms and conditions of this Agreement shall remain in full force and effect. 2. Scope of Work. Consultant shall provide the Services as set forth in the Proposal attached hereto as Exhibit A and incorporated herein by reference. 3. Compensation. The Town shall pay the Consultant an aggregate amount not to exceed $75,000 at the rates set forth in Exhibit A. The aggregate amount per renewal term shall not exceed $50,000 in any case unless the Agreement is affirmed and ratified via an executed amendment. All remaining terms and conditions of the Agreement shall remain in full force and effect. 4. Payments. The Town shall pay the Consultant monthly, based upon work performed and completed to date, and upon submission and approval of invoices. All invoices shall document and itemize all work completed to date. Each invoice statement shall include a record of time expended and work performed in sufficient detail to justify payment. This Agreement must be referenced on all invoices. 5. Documents. All documents, including any intellectual property rights thereto, prepared and submitted to the Town pursuant to this Agreement shall be the property of the Town. 6. Consultant Personnel. Consultant shall provide adequate, experienced personnel, capable of and devoted to the successful performance of the Services under this Agreement. Consultant agrees to assign specific individuals to key positions. If deemed qualified, the Consultant is encouraged to hire Town residents to fill vacant positions at all levels. Consultant agrees that, upon commencement of the Services to be performed under this Agreement, key personnel shall not be removed or replaced without prior written notice to the Town. If key personnel are not available to perform the Services for a continuous period exceeding 30 calendar days, or are expected to devote substantially less effort to the Services than initially anticipated, Consultant shall immediately notify the Town of same and shall, subject to the concurrence of the Town, replace such personnel with personnel possessing substantially equal ability and qualifications. 7. Inspection; Acceptance. All work shall be subject to inspection and acceptance by the Town at reasonable times during Consultant’s performance. The Consultant shall provide and maintain a self-inspection system that is acceptable to the Town. 8. Licenses; Materials. Consultant shall maintain in current status all federal, state and local licenses and permits required for the operation of the business conducted by the Consultant. The Town has no obligation to provide Consultant, its employees or subcontractors any business registrations or licenses required to perform the specific services set forth in this Agreement. The Town has no obligation to provide tools, equipment or material to Consultant. 9. Performance Warranty. Consultant warrants that the Services rendered will conform to the requirements of this Agreement and with the care and skill ordinarily used by members of the same profession practicing under similar circumstances at the same time and in the same locality. 10. Indemnification. To the fullest extent permitted by law, the Consultant shall indemnify, defend and hold harmless the Town and each council member, officer, employee or agent thereof (the Town and any such person being herein called an “Indemnified Party”), for, from and against losses, claims, damages, liabilities, costs and expenses (including, but not limited to, reasonable attorneys’ fees, court costs and the costs of appellate proceedings) to which any such Indemnified Party may become subject, under any theory of liability whatsoever (“Claims”), insofar as such Claims (or actions in respect thereof) relate to, arise out of, or are caused by or based upon the negligent acts, intentional misconduct, errors, mistakes or omissions, breach of contract, in connection with the work or services of the Consultant, its officers, employees, agents, or any tier of subcontractor in the performance of this Agreement. The amount and type of insurance coverage requirements set forth below will in no way be construed as limiting the scope of the indemnity in this Section. 11. Insurance. 11.1 General. A. Insurer Qualifications. Without limiting any obligations or liabilities of Consultant, Consultant shall purchase and maintain, at its own expense, hereinafter stipulated minimum insurance with insurance companies authorized to do business in the State of Arizona pursuant to ARIZ. REV. STAT. § 20-206, as amended, with an AM Best, Inc. rating of A- or above with policies and forms satisfactory to the Town. Failure to maintain insurance as specified herein may result in termination of this Agreement at the Town’s option. B. No Representation of Coverage Adequacy. By requiring insurance herein, the Town does not represent that coverage and limits will be adequate to protect Consultant. The Town reserves the right to review any and all of the insurance policies and/or endorsements cited in this Agreement but has no obligation to do so. Failure to demand such evidence of full compliance with the insurance requirements set forth in this Agreement or failure to identify any insurance deficiency shall not relieve Consultant from, nor be construed or deemed a waiver of, its obligation to maintain the required insurance at all times during the performance of this Agreement. C. Additional Insured. All insurance coverage, except Workers’ Compensation insurance and Professional Liability insurance, if applicable, shall name, to the fullest extent permitted by law for claims arising out of the performance of this Agreement, the Town, its agents, representatives, officers, directors, officials and employees as Additional Insured as specified under the respective coverage sections of this Agreement. D. Coverage Term. All insurance required herein shall be maintained in full force and effect until all work or services required to be performed under the terms of this Agreement are satisfactorily performed, completed and formally accepted by the Town, unless specified otherwise in this Agreement. E. Primary Insurance. Consultant’s insurance shall be primary insurance with respect to performance of this Agreement and in the protection of the Town as an Additional Insured. F. Claims Made. In the event any insurance policies required by this Agreement are written on a “claims made” basis, coverage shall extend, either by keeping coverage in force or purchasing an extended reporting option, for three years past completion and acceptance of the services. Such continuing coverage shall be evidenced by submission of annual Certificates of Insurance citing applicable coverage is in force and contains the provisions as required herein for the three-year period. G. Waiver. All policies, except for Professional Liability, including Workers’ Compensation insurance, shall contain a waiver of rights of recovery (subrogation) against the Town, its agents, representatives, officials, officers and employees for any claims arising out of the work or services of Consultant. Consultant shall arrange to have such subrogation waivers incorporated into each policy via formal written endorsement thereto. H. Policy Deductibles and/or Self-Insured Retentions. The policies set forth in these requirements may provide coverage that contains deductibles or self-insured retention amounts. Such deductibles or self-insured retention shall not be applicable with respect to the policy limits provided to the Town. Consultant shall be solely responsible for any such deductible or self-insured retention amount. I. Use of Subcontractors. If any work under this Agreement is subcontracted in any way, Consultant shall execute written agreements with its subcontractors containing the indemnification provisions set forth in this Agreement and insurance requirements set forth herein protecting the Town and Consultant. Consultant shall be responsible for executing any agreements with its subcontractors and obtaining certificates of insurance verifying the insurance requirements. J. Evidence of Insurance. Prior to commencing any work or services under this Agreement, Consultant will provide the Town with suitable evidence of insurance in the form of certificates of insurance and a copy of the declaration page(s) of the insurance policies as required by this Agreement, issued by Consultant’s insurance insurer(s) as evidence that policies are placed with acceptable insurers as specified herein and provide the required coverages, conditions and limits of coverage specified in this Agreement and that such coverage and provisions are in full force and effect. Confidential information such as the policy premium may be redacted from the declaration page(s) of each insurance policy, provided that such redactions do not alter any of the information required by this Agreement. The Town shall reasonably rely upon the certificates of insurance and declaration page(s) of the insurance policies as evidence of coverage but such acceptance and reliance shall not waive or alter in any way the insurance requirements or obligations of this Agreement. If any of the policies required by this Agreement expire during the life of this Agreement, it shall be Consultant’s responsibility to forward renewal certificates and declaration page(s) to the Town 30 days prior to the expiration date. All certificates of insurance and declarations required by this Agreement shall be identified by referencing the RFP number and title or this Agreement. A $25.00 administrative fee shall be assessed for all certificates or declarations received without the appropriate RFP number and title or a reference to this Agreement, as applicable. Additionally, certificates of insurance and declaration page(s) of the insurance policies submitted without referencing the appropriate RFP number and title or a reference to this Agreement, as applicable, will be subject to rejection and may be returned or discarded. Certificates of insurance and declaration page(s) shall specifically include the following provisions: (1) The Town, its agents, representatives, officers, directors, officials and employees are Additional Insureds as follows: (a) Commercial General Liability – Under Insurance Services Office, Inc., (“ISO”) Form CG 20 10 03 97 or equivalent. (b) Auto Liability – Under ISO Form CA 20 48 or equivalent. (c) Excess Liability – Follow Form to underlying insurance. (2) Consultant’s insurance shall be primary insurance with respect to performance of this Agreement. (3) All policies, except for Professional Liability, including Workers’ Compensation, waive rights of recovery (subrogation) against Town, its agents, representatives, officers, officials and employees for any claims arising out of work or services performed by Consultant under this Agreement. (4) ACORD certificate of insurance form 25 (2014/01) is preferred. If ACORD certificate of insurance form 25 (2001/08) is used, the phrases in the cancellation provision “endeavor to” and “but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents or representatives” shall be deleted. Certificate forms other than ACORD form shall have similar restrictive language deleted. 11.2 Required Insurance Coverage. A. Commercial General Liability. Consultant shall maintain “occurrence” form Commercial General Liability insurance with an unimpaired limit of not less than $1,000,000 for each occurrence, $2,000,000 Products and Completed Operations Annual Aggregate and a $2,000,000 General Aggregate Limit. The policy shall cover liability arising from premises, operations, independent contractors, products- completed operations, personal injury and advertising injury. Coverage under the policy will be at least as broad as ISO policy form CG 00 010 93 or equivalent thereof, including but not limited to, separation of insured’s clause. To the fullest extent allowed by law, for claims arising out of the performance of this Agreement, the Town, its agents, representatives, officers, officials and employees shall be cited as an Additional Insured under ISO, Commercial General Liability Additional Insured Endorsement form CG 20 10 03 97, or equivalent, which shall read “Who is an Insured (Section II) is amended to include as an insured the person or organization shown in the Schedule, but only with respect to liability arising out of “your work” for that insured by or for you.” If any Excess insurance is utilized to fulfill the requirements of this subsection, such Excess insurance shall be “follow form” equal or broader in coverage scope than underlying insurance. B. Vehicle Liability. Consultant shall maintain Business Automobile Liability insurance with a limit of $1,000,000 each occurrence on Consultant’s owned, hired and non-owned vehicles assigned to or used in the performance of the Consultant’s work or services under this Agreement. Coverage will be at least as broad as ISO coverage code “1” “any auto” policy form CA 00 01 12 93 or equivalent thereof. To the fullest extent allowed by law, for claims arising out of the performance of this Agreement, the Town, its agents, representatives, officers, directors, officials and employees shall be cited as an Additional Insured under ISO Business Auto policy Designated Insured Endorsement form CA 20 48 or equivalent. If any Excess insurance is utilized to fulfill the requirements of this subsection, such Excess insurance shall be “follow form” equal or broader in coverage scope than underlying insurance. C. Professional Liability. If this Agreement is the subject of any professional services or work, or if the Consultant engages in any professional services or work in any way related to performing the work under this Agreement, the Consultant shall maintain Professional Liability insurance covering negligent errors and omissions arising out of the Services performed by the Consultant, or anyone employed by the Consultant, or anyone for whose negligent acts, mistakes, errors and omissions the Consultant is legally liable, with an unimpaired liability insurance limit of $2,000,000 each claim and $2,000,000 annual aggregate. D. Workers’ Compensation Insurance. Consultant shall maintain Workers’ Compensation insurance to cover obligations imposed by federal and state statutes having jurisdiction over Consultant’s employees engaged in the performance of work or services under this Agreement and shall also maintain Employers Liability Insurance of not less than $500,000 for each accident, $500,000 disease for each employee and $1,000,000 disease policy limit. 11.3 Cancellation and Expiration Notice. Insurance required herein shall not expire, be canceled, or be materially changed without 30 days’ prior written notice to the Town. 12. Termination; Cancellation. 12.1 For Town’s Convenience. This Agreement is for the convenience of the Town and, as such, may be terminated without cause after receipt by Consultant of written notice by the Town. Upon termination for convenience, Consultant shall be paid for all undisputed services performed to the termination date. 12.2 For Cause. If either party fails to perform any obligation pursuant to this Agreement and such party fails to cure its nonperformance within 30 days after notice of nonperformance is given by the non-defaulting party, such party will be in default. In the event of such default, the non-defaulting party may terminate this Agreement immediately for cause and will have all remedies that are available to it at law or in equity including, without limitation, the remedy of specific performance. If the nature of the defaulting party’s nonperformance is such that it cannot reasonably be cured within 30 days, then the defaulting party will have such additional periods of time as may be reasonably necessary under the circumstances, provided the defaulting party immediately (A) provides written notice to the non-defaulting party and (B) commences to cure its nonperformance and thereafter diligently continues to completion the cure of its nonperformance. In no event shall any such cure period exceed 90 days. In the event of such termination for cause, payment shall be made by the Town to the Consultant for the undisputed portion of its fee due as of the termination date. 12.3 Due to Work Stoppage. This Agreement may be terminated by the Town upon 30 days’ written notice to Consultant in the event that the Services are permanently abandoned. In the event of such termination due to work stoppage, payment shall be made by the Town to the Consultant for the undisputed portion of its fee due as of the termination date. 12.4 Conflict of Interest. This Agreement is subject to the provisions of ARIZ. REV. STAT. § 38-511. The Town may cancel this Agreement without penalty or further obligations by the Town or any of its departments or agencies if any person significantly involved in initiating, negotiating, securing, drafting or creating this Agreement on behalf of the Town or any of its departments or agencies is, at any time while this Agreement or any extension of this Agreement is in effect, an employee of any other party to this Agreement in any capacity or a Consultant to any other party of this Agreement with respect to the subject matter of this Agreement. 12.5 Gratuities. The Town may, by written notice to the Consultant, cancel this Agreement if it is found by the Town that gratuities, in the form of economic opportunity, future employment, entertainment, gifts or otherwise, were offered or given by the Consultant or any agent or representative of the Consultant to any officer, agent or employee of the Town for the purpose of securing this Agreement. In the event this Agreement is canceled by the Town pursuant to this provision, the Town shall be entitled, in addition to any other rights and remedies, to recover and withhold from the Consultant an amount equal to 150% of the gratuity. 12.6 Agreement Subject to Appropriation. This Agreement is subject to the provisions of ARIZ. CONST. ART. IX, § 5 and ARIZ. REV. STAT. § 42-17106. The provisions of this Agreement for payment of funds by the Town shall be effective when funds are appropriated for purposes of this Agreement and are actually available for payment. The Town shall be the sole judge and authority in determining the availability of funds under this Agreement and the Town shall keep the Consultant fully informed as to the availability of funds for this Agreement. The obligation of the Town to make any payment pursuant to this Agreement is a current expense of the Town, payable exclusively from such annual appropriations, and is not a general obligation or indebtedness of the Town. If the Town Council fails to appropriate money sufficient to pay the amounts as set forth in this Agreement during any immediately succeeding fiscal year, this Agreement shall terminate at the end of then-current fiscal year and the Town and the Consultant shall be relieved of any subsequent obligation under this Agreement. 13. Miscellaneous. 13.1 Independent Contractor. It is clearly understood that each party will act in its individual capacity and not as an agent, employee, partner, joint venturer, or associate of the other. An employee or agent of one party shall not be deemed or construed to be the employee or agent of the other for any purpose whatsoever. The Consultant acknowledges and agrees that the Services provided under this Agreement are being provided as an independent contractor, not as an employee or agent of the Town. Consultant, its employees and subcontractors are not entitled to workers’ compensation benefits from the Town. The Town does not have the authority to supervise or control the actual work of Consultant, its employees or subcontractors. The Consultant, and not the Town, shall determine the time of its performance of the services provided under this Agreement so long as Consultant meets the requirements as agreed in Section 2 above and in Exhibit A. Consultant is neither prohibited from entering into other contracts nor prohibited from practicing its profession elsewhere. Town and Consultant do not intend to nor will they combine business operations under this Agreement. 13.2 Applicable Law; Venue. This Agreement shall be governed by the laws of the State of Arizona and suit pertaining to this Agreement may be brought only in courts in Maricopa County, Arizona. 13.3 Laws and Regulations. Consultant shall keep fully informed and shall at all times during the performance of its duties under this Agreement ensure that it and any person for whom the Consultant is responsible abides by, and remains in compliance with, all rules, regulations, ordinances, statutes or laws affecting the Services, including, but not limited to, the following: (A) existing and future Town and County ordinances and regulations; (B) existing and future State and Federal laws; and (C) existing and future Occupational Safety and Health Administration standards. 13.4 Amendments. This Agreement may be modified only by a written amendment signed by persons duly authorized to enter into contracts on behalf of the Town and the Consultant. 13.5 Provisions Required by Law. Each and every provision of law and any clause required by law to be in this Agreement will be read and enforced as though it were included herein and, if through mistake or otherwise any such provision is not inserted, or is not correctly inserted, then upon the application of either party, this Agreement will promptly be physically amended to make such insertion or correction. 13.6 Severability. The provisions of this Agreement are severable to the extent that any provision or application held to be invalid by a Court of competent jurisdiction shall not affect any other provision or application of this Agreement which may remain in effect without the invalid provision or application. 13.7 Entire Agreement; Interpretation; Parol Evidence. This Agreement represents the entire agreement of the parties with respect to its subject matter, and all previous agreements, whether oral or written, entered into prior to this Agreement are hereby revoked and superseded by this Agreement. No representations, warranties, inducements or oral agreements have been made by any of the parties except as expressly set forth herein, or in any other contemporaneous written agreement executed for the purposes of carrying out the provisions of this Agreement. This Agreement shall be construed and interpreted according to its plain meaning, and no presumption shall be deemed to apply in favor of, or against the party drafting this Agreement. The parties acknowledge and agree that each has had the opportunity to seek and utilize legal counsel in the drafting of, review of, and entry into this Agreement. 13.8 Assignment; Delegation. No right or interest in this Agreement shall be assigned or delegated by Consultant without prior, written permission of the Town, signed by the Town Manager. Any attempted assignment or delegation by Consultant in violation of this provision shall be a breach of this Agreement by Consultant. 13.9 Subcontracts. No subcontract shall be entered into by the Consultant with any other party to furnish any of the material or services specified herein without the prior written approval of the Town. The Consultant is responsible for performance under this Agreement whether or not subcontractors are used. Failure to pay subcontractors in a timely manner pursuant to any subcontract shall be a material breach of this Agreement by Consultant. 13.10 Rights and Remedies. No provision in this Agreement shall be construed, expressly or by implication, as waiver by the Town of any existing or future right and/or remedy available by law in the event of any claim of default or breach of this Agreement. The failure of the Town to insist upon the strict performance of any term or condition of this Agreement or to exercise or delay the exercise of any right or remedy provided in this Agreement, or by law, or the Town’s acceptance of and payment for services, shall not release the Consultant from any responsibilities or obligations imposed by this Agreement or by law, and shall not be deemed a waiver of any right of the Town to insist upon the strict performance of this Agreement. 13.11 Attorneys’ Fees. In the event either party brings any action for any relief, declaratory or otherwise, arising out of this Agreement or on account of any breach or default hereof, the prevailing party shall be entitled to receive from the other party reasonable attorneys’ fees and reasonable costs and expenses, determined by the court sitting without a jury, which shall be deemed to have accrued on the commencement of such action and shall be enforced whether or not such action is prosecuted through judgment. 13.12 Liens. All materials or services shall be free of all liens and, if the Town requests, a formal release of all liens shall be delivered to the Town. 13.13 Offset. A. Offset for Damages. In addition to all other remedies at law or equity, the Town may offset from any money due to the Consultant any amounts Consultant owes to the Town for damages resulting from breach or deficiencies in performance or breach of any obligation under this Agreement. B. Offset for Delinquent Fees or Taxes. The Town may offset from any money due to the Consultant any amounts Consultant owes to the Town for delinquent fees, transaction privilege taxes and property taxes, including any interest or penalties. 13.14 Notices and Requests. Any notice or other communication required or permitted to be given under this Agreement shall be in writing and shall be deemed to have been duly given if (A) delivered to the party at the address set forth below, (B) deposited in the U.S. Mail, registered or certified, return receipt requested, to the address set forth below or (C) given to a recognized and reputable overnight delivery service, to the address set forth below: If to the Town: Town of Fountain Hills 16705 East Avenue of the Fountains Fountain Hills, Arizona 85268 Attn: Grady E. Miller, Town Manager With copy to: Town of Fountain Hills 16705 East Avenue of the Fountains Fountain Hills, Arizona 85268 Attn: Aaron D. Arnson, Town Attorney If to Consultant: Sunrise Engineering, Inc. 2045 S. Vineyard #101 Mesa, Arizona 85210 Attn: Dave Dirren, Principal/Project Manager or at such other address, and to the attention of such other person or officer, as any party may designate in writing by notice duly given pursuant to this subsection. Notices shall be deemed received (A) when delivered to the party, (B) three business days after being placed in the U.S. Mail, properly addressed, with sufficient postage or (C) the following business day after being given to a recognized overnight delivery service, with the person giving the notice paying all required charges and instructing the delivery service to deliver on the following business day. If a copy of a notice is also given to a party’s counsel or other recipient, the provisions above governing the date on which a notice is deemed to have been received by a party shall mean and refer to the date on which the party, and not its counsel or other recipient to which a copy of the notice may be sent, is deemed to have received the notice. 13.15 Confidentiality of Records. The Consultant shall establish and maintain procedures and controls that are acceptable to the Town for the purpose of ensuring that information contained in its records or obtained from the Town or from others in carrying out its obligations under this Agreement shall not be used or disclosed by it, its agents, officers, or employees, except as required to perform Consultant’s duties under this Agreement. Persons requesting such information should be referred to the Town. Consultant also agrees that any information pertaining to individual persons shall not be divulged other than to employees or officers of Consultant as needed for the performance of duties under this Agreement. 13.16 Records and Audit Rights. To ensure that the Consultant and its subcontractors are complying with the warranty under subsection 13.17 below, Consultant’s and its subcontractor’s books, records, correspondence, accounting procedures and practices, and any other supporting evidence relating to this Agreement, including the papers of any Consultant and its subcontractors’ employees who perform any work or services pursuant to this Agreement (all of the foregoing hereinafter referred to as “Records”), shall be open to inspection and subject to audit and/or reproduction during normal working hours by the Town, to the extent necessary to adequately permit (A) evaluation and verification of any invoices, payments or claims based on Consultant’s and its subcontractors’ actual costs (including direct and indirect costs and overhead allocations) incurred, or units expended directly in the performance of work under this Agreement and (B) evaluation of the Consultant’s and its subcontractors’ compliance with the Arizona employer sanctions laws referenced in subsection 13.17 below. To the extent necessary for the Town to audit Records as set forth in this subsection, Consultant and its subcontractors hereby waive any rights to keep such Records confidential. For the purpose of evaluating or verifying such actual or claimed costs or units expended, the Town shall have access to said Records, even if located at its subcontractors’ facilities, from the effective date of this Agreement for the duration of the work and until three years after the date of final payment by the Town to Consultant pursuant to this Agreement. Consultant and its subcontractors shall provide the Town with adequate and appropriate workspace so that the Town can conduct audits in compliance with the provisions of this subsection. The Town shall give Consultant or its subcontractors reasonable advance notice of intended audits. Consultant shall require its subcontractors to comply with the provisions of this subsection by insertion of the requirements hereof in any subcontract pursuant to this Agreement. 13.17 E-verify Requirements. To the extent applicable under ARIZ. REV. STAT. § 41-4401, the Consultant and its subcontractors warrant compliance with all federal immigration laws and regulations that relate to their employees and their compliance with the E-verify requirements under ARIZ. REV. STAT. § 23-214(A). Consultant’s or its subcontractors’ failure to comply with such warranty shall be deemed a material breach of this Agreement and may result in the termination of this Agreement by the Town. 13.18 Israel. Consultant certifies that it is not currently engaged in, and agrees for the duration of this Agreement that it will not engage in a “boycott,” as that term is defined in ARIZ. REV. STAT. § 35-393, of Israel. 13.19 Conflicting Terms. In the event of any inconsistency, conflict or ambiguity among the terms of this Agreement, the Proposal, any Town-approved invoices, and the RFP, the documents shall govern in the order listed herein. 13.20 Non-Exclusive Contract. This Agreement is entered into with the understanding and agreement that it is for the sole convenience of the Town. The Town reserves the right to obtain like goods and services from another source when necessary. [SIGNATURES APPEAR ON FOLLOWING PAGES] IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year first set forth above. “Town” TOWN OF FOUNTAIN HILLS, an Arizona municipal corporation Grady E. Miller, Town Manager ATTEST: Elizabeth A. Klein, Town Clerk APPROVED AS TO FORM: Aaron D. Arnson, Town Attorney [SIGNATURES CONTINUE ON FOLLOWING PAGE] “Consultant” SUNRISE ENGINEERING, INC. a(n) Arizona corporation By: Name: Title: EXHIBIT A TO PROFESSIONAL SERVICES AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND SUNRISE ENGINEERING, INC. [Consultant’s Fee Schedule] See following pages. CODE CLASSIFICATION RATE CODE CLASSIFICATION RATE 101 Engineer (E.I.T.) I $115 per h our 051 Administrative I $45 per hour 102 Engineer (E.I.T.) II $125 052 Administrative II $55 108 Engineer (E.I.T.) III $135 053 Administrative III $65 103 Engineer III $160 104 Engineer IV $175 921 Survey Tech I $79 105 Engineer V $195 922 Survey Tech II $99 110 Principal Engineer $225 930 Survey CAD Tech $109 711 Project Manager I $150 935 Survey Crew Chief $129 712 Project Manager II $175 940 Survey Manager $139 301 Engineering Tech I $89 945 Registered Surveyor $169 302 Engineering Tech II $109 950 Principal Surveyor $189 303 Engineering Tech III $129 351 Construction Manager I $125 304 Engineering Tech IV $139 352 Construction Manager II $145 401 CAD Technician I $85 353 Sr. Construction Manager $165 402 CAD Technician II $95 901 Field Technician I $69 403 CAD Technician III $105 902 Field Technician II $79 404 CAD Technician IV $115 903 Field Technician III $89 510 Civil Plan Reviewer $145 MILE Mileage $0.59 per mile SUNRISE ENGINEERING, INC. Arizona Offices 2022 Fee Schedule Subconsultants and other direct expenses as incurred plus 10% handling fee J:\ADMIN\Fee Schedules\AZ-2022 - Arizona Fee Schedule with Summary Sheet 1/18/2022 ITEM 8. H. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Community Services Prepared by: Rachael Goodwin, Community Services Director Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Approval of provisions to include in Use Agreement with the Chamber of Commerce Staff Summary (Background) At the May 17, 2022, Town Council meeting, the Mayor and Council voted to adopt the Special Event and Community Center Fee Reduction Policy. At the direction of the Town Council and as a result of this new policy, a Special Use application has been developed to accommodate the established reciprocal relationship between the Town and the Fountain Hills Chamber of Commerce. The Chamber of Commerce offers several events annually that create revenue and support for town civic groups as well as create favorable economic conditions by promoting tourism, overnight stays, restaurant visits, etc. The Chamber of Commerce estimates its events contribute more than $2M annually in economic impact to the community. The Chamber-produced events are long-standing traditions within the community and the Town is a partner in helping make these events a success. These events include the following: Two annual art fairs, Thanksgiving Day Parade, Oktoberfest, and Stroll in the Glow, as well as candidate and mayoral forums during election cycles. In an effort to support these events, the Town waives an estimated $47,000 in fees and rental costs annually, or a value of $23,500 under the new Fee Reduction Policy, as well as provides substantial in-kind support. The development and implementation of a Use Agreement is recommended to help establish the scope of the events and the contributions and responsibilities of both the Town and the Chamber. In an effort to establish a mutually beneficial contract, the following elements are proposed provisions for the Use Agreement: The Town will provide complimentary use of the following amenities with the understanding the event dates and scope will remain the same : Avenue Linear Park for two Art Fairs, Thanksgiving parade in collaboration with the Town’s Turkey Trot event Stroll in the Glow in collaboration with the Town’s Roll in the Glow Fountain Park for Oktoberfest Community Center for Town-partnered candidate and mayoral debates and forums. Fountain Hills Chamber of Commerce will be responsible for: Coordination, promotion, and hosting Council Candidate and Mayoral debates, in accordance with local election efforts. Fiscal obligations for payment of fees including applications, permits, equipment rental, deposits, and staff time. Repayment or coverage of direct costs incurred by the Town due to any FHCC event or program, including damages, spills, etc. Adherence to Town policies including Special Event procedures, business licenses, insurance requirements, permits, etc. The Fountain Hills Chamber of Commerce will provide to the Town of Fountain Hills the following: Feature the Town on the Chamber event marketing materials as a recognized partner. Provide complimentary booth space for the Town at all events. Feature Town event information on the Chamber’s website and social media sites. Cross-promotion of Town events to include: Music Fest, Irish Fest, Fourth at the Fountain, Roll in the Glow, and Turkey Trot. Contribute an annual financial payment of $4,500 to the Town of Fountain Hills. Related Ordinance, Policy or Guiding Principle Fee Reduction and Waiver Policy Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends the provisions as presented. SUGGESTED MOTION MOVE to direct staff to finalize a Use Agreement with the Chamber of Commerce. Attachments Fee Reduction and Waiver Policy Presentations Form Review Inbox Reviewed By Date Community Services Director (Originator)Rachael Goodwin 05/26/2022 04:12 PM Finance Director David Pock 05/26/2022 04:22 PM Town Attorney Aaron D. Arnson 05/26/2022 04:23 PM Town Manager Grady E. Miller 05/31/2022 11:46 AM Form Started By: Rachael Goodwin Started On: 05/25/2022 12:27 PM Final Approval Date: 05/31/2022 RESOLUTION NO. 2022-24 A RESOLUTION OF THE MAYOR AND TOWN COUNCIL OF FOUNTAIN HILLS, MARICOPA COUNTY, ARIZONA, APPROVING THE TOWN OF FOUNTAIN HILLS, ARIZONA TOWN COUNCIL FEE WAIVER POLICY RECITALS: WHEREAS,following directions received from the Town Council on Tuesday, February 15, 2022, staff developed the Fee Reduction and Waiver Policy, providing a uniform set of guidelines regarding requests for reduced-cost use of Town resources, properties, or adopted fees. WHEREAS, the proposed policy provides an equitable means for organizers to apply for fee reductions and to establish mutually beneficial partnerships between the Town and the community. WHEREAS, the Fountain Hills Town Council voted unanimously on May 17, 2022 to approve said policy, and now wishes to formalize it through the adoption of this resolution. ENACTMENTS: NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND TOWN COUNCIL OF FOUNTAIN HILLS that the Fee Waiver Policy, attached hereto as Exhibit A, is hereby adopted. PASSED AND ADOPTED by the Mayor and Council of the Fountain Hills, Maricopa County, Arizona, this 17th day of May 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: bc Ginny ckey, ayor Elizabe A. lein,Town Clefk REVIEWED BY: APP VED AS TO FORM: Grady E. er, Town Manager Aaron D. Arnson, Town Attorney EXHIBIT A Fee Reduction and Waiver Policy The Town of Fountain Hills has established the Fee Reduction and Waiver Policy to provide a uniform set of guidelines regarding requests for reduced-cost use of Town resources, properties, or adopted fees. The Town recognizes the value of partnering with community agencies and organizations to provide services that benefit our community and residents. In an effort to support these organizations while balancing cost recovery efforts and resource management, the following policy and guidelines have been established. 1. This policy shall establish the guidelines, criteria, and process for reducing or waiving fees for all Town-owned facilities and properties as well as all fees as adopted in the annual fee schedule. 2. The Town Council shall have the final authority to amend this policy at their discretion. Fee Reduction Eligibility Recognizing that many not-for-profit groups operate in Fountain Hills and provide significant services to their members and our community, groups meeting the following criteria are eligible for a 50%fee reduction for rental costs. 1. All Fountain Hills-based non-profit groups may receive a 50%fee reduction. Confirmation of non-profit status as well locality within Fountain Hills must be provided. 2. Eligible fees include rental costs, open space fees, classrooms, ballrooms, or other facility costs. Permit and staffing fees including application, alcohol, etc. are not eligible for reductions. 3. Receipt of fee reductions does not absolve recipients from following permitting procedures or obtaining necessary permits, approvals, or agreements. Insurance certificates and other contractual requirements will be required. 4. Full fee waivers will not be allocated for standard rental or event use. Full waivers will be considered under very exceptional circumstances and require Council authorization to preserve impartiality, clarity, and consistency for all. 5. All approved exceptions shall be outlined in a User Agreement or other documentation where terms, conditions, timelines, and deliverables are specifically noted. Community Center Guidelines The Community Center is a popular location for meetings, events, presentations, performances, and more. While this facility is a public resource and supports many community functions, use must be balanced with Town functions, senior and recreational programming, as well as private rentals and events. Therefore the following guidelines shall apply to all fee reduction requests within the Community Center: 1. All applicants must meet the mandatory eligibility requirements, including locally based non- profit status. 2. Reservation start and end times must be accounted for in their entirety, including any pre-or post-time necessary for set up, clean up, catering needs, etc. 3. Classroom space requests will be available after 2 pm on weekdays (Monday —Thursday) and follow Community Center hours of operation. 4. Weekend (Friday and Saturday) reservations require a minimum of two ballrooms with a minimum of four-hour rental time. 5. Sunday reservations must be in conjunction with a multi-day rental. 6. Requests for multiple rooms must account for all rooms needed within the submitted timeline. 7. Reservations may be made up to six months in advance, adhere to hours of operation, and are subject to availability. 8. Approval of reservation dates/times does not guarantee future or annual availability. 9. A/V equipment, as available, will be offered at no additional fee. Large items including staging, dance floor, etc. are not eligible for fee reductions. 10. All other deposits, fees, permits, and deadlines shall apply. Special Event Guidelines The Town of Fountain Hills is an event-friendly community and is host to numerous events throughout the year. Fountain Park, Avenue Linear Park, Centennial Circle, as well as other parks, roadways, and public spaces, serve as venues for festivals, races, parades, concerts, celebrations, displays, and more. Many organizations host events to raise funds or support projects and request discounts for Town costs. In an effort to balance the active event schedule and the demand for space and resources, the following guidelines are in place for Special Event fee reductions: 1. All applicants must meet the mandatory eligibility requirements, including locally based non- profit status. 2. Fees for direct costs including MCSO support, road closure implementation, and logistic items (such as restrooms, lights, fencing, etc.) are not eligible for waivers. 3. Reservation start and end times must be accounted for in their entirety, including any pre-or post-time necessary for setting up or clean up, vendor set up, logistic deliveries, etc. 4. All events, regardless of fee waivers, must submit a Special Event Application for review. The application must meet all Town requirements including established deadlines, layout plans, insurance certificates, traffic control plans, etc. 5. Town permit fees or damage deposits are not eligible for fee waivers. 6. All events are subject to availability and review by the Special Events Committee. Approval of reservation dates/times does not guarantee future or annual availability. 7. All other deposits, fees, permits, and deadlines shall apply. TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV Use Agreement: Chamber of Commerce Rachael Goodwin, Community Services Director WWW.FH.AZ.GOV Fountain Hills Chamber of Commerce: How much does the Town waive? Annual Events :Value:Other Town support 2 Fine Arts & Craft Festivals (Fall/ Spring) $25,000 Staffing on call, elec/water Thanksgiving Parade $5,000 Road closures/MCSO fees (Trot) Oktoberfest $7,000 Early access, fountain operation Stroll in the Glow $4,000 Holiday lights, Roll in the Glow State of the Town/forums $2,000 A/V, early access FH Days (new)$4,000 Staffing on call, elec/water Total:Full fees $47,000 Less 50% per Fee policy $23,500 WWW.FH.AZ.GOV Fountain Hills Chamber of Commerce The Chamber of Commerce contributes directly and indirectly to the local economy, including: •Approximately $30,000 in annual Business License Fees to the Town •Approximately $100,000 in Civic group fundraising (Food booths, beer garden, etc.) •Complimentary booth space at Art Fairs for local non-profits, including Town tourism and McDowell Mountain Preservations Commission •Tourism promotion for dining, shopping, and overnight hotel stays •High visibility and community awareness through Art Fair promotion and attendance •Estimated $2M economic impact (Per independent study, conducted in late 1990’s.) WWW.FOUNTAINHILLSAZ.GOV The Town of Fountain Hills, in partnership with the Chamber of Commerce, will provide the following: Complimentary use of Avenue Linear Park for two Art Fairs, Thanksgiving parade in collaboration with the Town’s Turkey Trot event, Stroll in the Glow in collaboration with the Town’s Roll in the Glow. Fountain Park for Oktoberfest Community Center for Town-partnered candidate and mayoral debates and forums. Note: Standard dates and event scope are to remain the same. WWW.FOUNTAINHILLSAZ.GOV Fountain Hills Chamber of Commerce will be responsible for: Coordination, promotion, and hosting Council Candidate and Mayoral debates, in accordance with local election efforts. Fiscal obligations for payment of fees including applications, permits, equipment rental, deposits, and staff time. Repayment or coverage of direct costs incurred by the Town due to any FHCC event or program, including damages, spills, etc. Adherence to Town policies including Special Event procedures, business licenses, insurance requirements, permits, etc. WWW.FOUNTAINHILLSAZ.GOV The Fountain Hills Chamber of Commerce will provide to the Town of Fountain Hills the following: •Feature the Town on the Chamber event marketing materials as a recognized partner •Provide complimentary booth space for the Town at all events. •Feature Town event information on the Chamber’s website and social media sites. •Cross-promotion of Town events to include: •Music Fest •Irish Fest •Fourth at the Fountain •Roll in the Glow •Turkey Trot WWW.FOUNTAINHILLSAZ.GOV Additional Considerations: •If additional property use, events, dates, or programs are needed, the Chamber shall follow the guidelines and fee structure adopted within the Town Fee Waiver Policy •An annual contribution from the Chamber of Commerce to the Town in the amount of $4,500. •Annual review of agreement by both parties, and upon mutual agreement, administratively renewed. •Questions, discussion, and final direction ITEM 8. J. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Community Services Prepared by: Rachael Goodwin, Community Services Director Staff Contact Information: Rachael Goodwin, Community Services Director Request to Town Council Regular Meeting (Agenda Language): CONSIDERATION AND POSSIBLE ACTION: Approval of provisions to include in a Use Agreement with the Fountain Hills Cultural and Civic Association. Staff Summary (Background) At the May 17, 2022, Town Council meeting, the Mayor and Council voted to adopt the Fee Reduction and Waiver Policy. At the direction of the Council and as a result of this new policy, a Special Use application has been developed to accommodate the established reciprocal relationship between the Town and the many programs that fall under the purview of the Fountain Hills Cultural and Civic Association (FHCCA). The FHCCA is a long-standing community non-profit that oversees many clubs and organizations that provide engagement opportunities for residents, including the Community Choir, Community Band, Public Art, Community Garden, Munch and Music, Dark Sky Association, Encore, Leadership Academy, and more. The Community Center is often the hub for many of these activities, serving as a meeting space, practice facility, and performance venue. The Town and the FHCCA have cooperated to accommodate many of the FHCCA programs' needs. On average, the Town waives rental fees estimated at $29,825 annually, (based on the newly adopted Fee Reduction and Waiver Policy which offers 50% off the non-profit rates) as well as extensive staffing, technology, and other in-kind support. The Town recognizes the many contributions of the FHCCA and their affiliated programs and endeavors to create a lasting agreement that supports the programs and participants. The development and implementation of a Use Agreement is recommended to help establish the scope of the programs within the Community Center and the contributions and responsibilities of both the Town and the FHCCA. In an effort to establish a mutually beneficial contract, the following elements are proposed provisions for the Use Agreement: The Town of Fountain Hills, in partnership with the FHCCA, will provide the following: The Town of Fountain Hills, in partnership with the FHCCA, will provide the following: Full fee waivers for partner programs and events as noted: Weekly Bingo program, 6 hours, 2 ballrooms Encore Presentations Dark Sky Festival, Saturday event held at CC and Centennial Circle Leadership Academy, space as needed for Opening reception, classes, and graduation Munch and Music program, 4 performances seasonally Time 4 U technology services, 5 hours, one classroom, monthly Must include set up and breakdown times Subject to availability, additional space/use subject to Fee Waiver Policy Additional fees for staging, dance floor, and large logistic items. Limited Complimentary use of Community Center for affiliated groups, as outlined: Grand Ballroom use, 2 full weekends (Fri-Sun) annually Must include setup and breakdown times Subject to availability, additional space/use subject to Fee Waiver Policy Must be reserved through FHCCA board representative 36 hours of annual Classroom use, between 2pm and 8pm, Monday – Thursday Subject to availability Additional Classroom use prior to 2pm weekdays, or on weekends will be subject to Fee Waiver Policy In partnership with the Town, FHCCA will be responsible for: If additional room use, events, dates, or programs are needed, the FHCCA shall follow the guidelines and fee structure adopted within the Town Fee Waiver Policy Adherence to reservation policy standards including timely request submission, cancellation notices, set up needs, etc. Fiscal obligations for payment of fees including applications, permits, equipment rental, deposits, and staff time as required. Repayment or coverage of direct costs incurred by the Town due to any FHCCA event or program, including damages, spills, etc. Adherence to Town policies including Special Event procedures, business licenses, insurance requirements, permits, etc. Related Ordinance, Policy or Guiding Principle Fee Reduction and Waiver Policy. Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff recommends Use Agreement provisions as presented. SUGGESTED MOTION MOVE to direct staff to finalize a Use Agreement with Fountain Hills Civic and Cultural Association. Attachments Fee Reduction and Waiver Policy Presentations Form Review Inbox Reviewed By Date Community Services Director (Originator)Rachael Goodwin 05/26/2022 04:12 PM Finance Director David Pock 05/26/2022 04:26 PM Town Attorney Aaron D. Arnson 05/26/2022 04:51 PM Town Manager Grady E. Miller 05/31/2022 11:51 AM Form Started By: Rachael Goodwin Started On: 05/26/2022 01:02 PM Final Approval Date: 05/31/2022 RESOLUTION NO. 2022-24 A RESOLUTION OF THE MAYOR AND TOWN COUNCIL OF FOUNTAIN HILLS, MARICOPA COUNTY, ARIZONA, APPROVING THE TOWN OF FOUNTAIN HILLS, ARIZONA TOWN COUNCIL FEE WAIVER POLICY RECITALS: WHEREAS,following directions received from the Town Council on Tuesday, February 15, 2022, staff developed the Fee Reduction and Waiver Policy, providing a uniform set of guidelines regarding requests for reduced-cost use of Town resources, properties, or adopted fees. WHEREAS, the proposed policy provides an equitable means for organizers to apply for fee reductions and to establish mutually beneficial partnerships between the Town and the community. WHEREAS, the Fountain Hills Town Council voted unanimously on May 17, 2022 to approve said policy, and now wishes to formalize it through the adoption of this resolution. ENACTMENTS: NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND TOWN COUNCIL OF FOUNTAIN HILLS that the Fee Waiver Policy, attached hereto as Exhibit A, is hereby adopted. PASSED AND ADOPTED by the Mayor and Council of the Fountain Hills, Maricopa County, Arizona, this 17th day of May 2022. FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO: bc Ginny ckey, ayor Elizabe A. lein,Town Clefk REVIEWED BY: APP VED AS TO FORM: Grady E. er, Town Manager Aaron D. Arnson, Town Attorney EXHIBIT A Fee Reduction and Waiver Policy The Town of Fountain Hills has established the Fee Reduction and Waiver Policy to provide a uniform set of guidelines regarding requests for reduced-cost use of Town resources, properties, or adopted fees. The Town recognizes the value of partnering with community agencies and organizations to provide services that benefit our community and residents. In an effort to support these organizations while balancing cost recovery efforts and resource management, the following policy and guidelines have been established. 1. This policy shall establish the guidelines, criteria, and process for reducing or waiving fees for all Town-owned facilities and properties as well as all fees as adopted in the annual fee schedule. 2. The Town Council shall have the final authority to amend this policy at their discretion. Fee Reduction Eligibility Recognizing that many not-for-profit groups operate in Fountain Hills and provide significant services to their members and our community, groups meeting the following criteria are eligible for a 50%fee reduction for rental costs. 1. All Fountain Hills-based non-profit groups may receive a 50%fee reduction. Confirmation of non-profit status as well locality within Fountain Hills must be provided. 2. Eligible fees include rental costs, open space fees, classrooms, ballrooms, or other facility costs. Permit and staffing fees including application, alcohol, etc. are not eligible for reductions. 3. Receipt of fee reductions does not absolve recipients from following permitting procedures or obtaining necessary permits, approvals, or agreements. Insurance certificates and other contractual requirements will be required. 4. Full fee waivers will not be allocated for standard rental or event use. Full waivers will be considered under very exceptional circumstances and require Council authorization to preserve impartiality, clarity, and consistency for all. 5. All approved exceptions shall be outlined in a User Agreement or other documentation where terms, conditions, timelines, and deliverables are specifically noted. Community Center Guidelines The Community Center is a popular location for meetings, events, presentations, performances, and more. While this facility is a public resource and supports many community functions, use must be balanced with Town functions, senior and recreational programming, as well as private rentals and events. Therefore the following guidelines shall apply to all fee reduction requests within the Community Center: 1. All applicants must meet the mandatory eligibility requirements, including locally based non- profit status. 2. Reservation start and end times must be accounted for in their entirety, including any pre-or post-time necessary for set up, clean up, catering needs, etc. 3. Classroom space requests will be available after 2 pm on weekdays (Monday —Thursday) and follow Community Center hours of operation. 4. Weekend (Friday and Saturday) reservations require a minimum of two ballrooms with a minimum of four-hour rental time. 5. Sunday reservations must be in conjunction with a multi-day rental. 6. Requests for multiple rooms must account for all rooms needed within the submitted timeline. 7. Reservations may be made up to six months in advance, adhere to hours of operation, and are subject to availability. 8. Approval of reservation dates/times does not guarantee future or annual availability. 9. A/V equipment, as available, will be offered at no additional fee. Large items including staging, dance floor, etc. are not eligible for fee reductions. 10. All other deposits, fees, permits, and deadlines shall apply. Special Event Guidelines The Town of Fountain Hills is an event-friendly community and is host to numerous events throughout the year. Fountain Park, Avenue Linear Park, Centennial Circle, as well as other parks, roadways, and public spaces, serve as venues for festivals, races, parades, concerts, celebrations, displays, and more. Many organizations host events to raise funds or support projects and request discounts for Town costs. In an effort to balance the active event schedule and the demand for space and resources, the following guidelines are in place for Special Event fee reductions: 1. All applicants must meet the mandatory eligibility requirements, including locally based non- profit status. 2. Fees for direct costs including MCSO support, road closure implementation, and logistic items (such as restrooms, lights, fencing, etc.) are not eligible for waivers. 3. Reservation start and end times must be accounted for in their entirety, including any pre-or post-time necessary for setting up or clean up, vendor set up, logistic deliveries, etc. 4. All events, regardless of fee waivers, must submit a Special Event Application for review. The application must meet all Town requirements including established deadlines, layout plans, insurance certificates, traffic control plans, etc. 5. Town permit fees or damage deposits are not eligible for fee waivers. 6. All events are subject to availability and review by the Special Events Committee. Approval of reservation dates/times does not guarantee future or annual availability. 7. All other deposits, fees, permits, and deadlines shall apply. TO WN O F F O UNTAIN H ILLS WWW.FOUNTAINHILLSAZ.GOV Use Agreement: Fountain Hills Civic and Cultural Association Rachael Goodwin, Community Services Director WWW.FH.AZ.GOV Ballroom Use currently waived, on average: Bingo-2 ballrooms (50 weeks, 6 hours each week) (Storage of large bingo display boards and other supplies)$7,500 Community Chorus Concerts-4 ballrooms (2 full weekends Fri to Sun, average 48 hrs annually, plus staging, AV, etc.) $7,200 Community Band Concerts-4 ballrooms (2 weekends Sat-Sun, average 36 hrs annually, plus staging, AV, etc.)$5,400 Dark Sky Fest-4 ballrooms (roughly 12 hours annually plus A/V)$1,800 Munch and Music-4 ballrooms (3 days, 6 hrs each, staging plus A/V)$3,600 TOTAL If paid at the new Local Non-Profit rate $25,500 not including any staff costs or other supplemental items such as staging, sound, etc. WWW.FH.AZ.GOV Meeting Room use waived, on average: •Encore Presentations (4, 2 rms, 2 hrs ea)$200 •Computer/Tech time (10 annual, 5 hrs ea)$625 •Public Art Committee (12 annual, 2hrs ea)$300 •FHCCA General Board Meeting (12 annual, 2hrs ea)$300 •Community Garden (10 annual, 2hrs ea)$250 •Community Chorus Practices (23 annual, 2 rms, 3 hrs ea)$1,725 •Community Chorus Board Meetings (10 annual, 2 hrs ea)$250 •Community Chorus Sectionals (2 days, 2 rooms, 3 hrs ea)$150 •Dark Skies board meetings (12 annual, 2 hrs ea)$300 •Leadership Academy (6 annual, 3 hrs ea) $225 TOTAL If paid at new Local Non-Profit rates $4,325 not including staff costs WWW.FOUNTAINHILLSAZ.GOV The Town of Fountain Hills, in partnership with the FHCCA, will provide the following: Full fee waivers for partner programs and events as noted: Weekly Bingo program, 6 hours, 2 ballrooms Encore Presentations Dark Sky Festival, Saturday event held at CC and Centennial Circle Leadership Academy, space as needed for Opening reception, classes, and graduation Munch and Music program, 4 performances seasonally Time 4 U technology services, 5 hours, one class room, monthly Standards for all waived programs: o Must include set up and break down times o Subject to availability, additional space/use subject to Fee Waiver Policy o Additional fees for staging, dance floor, and large logistic items. WWW.FOUNTAINHILLSAZ.GOV The Town of Fountain Hills, in partnership with the FHCCA, will provide the following: Limited Complimentary use of Community Center for affiliated groups, as outlined: Grand Ball room use, 2 full weekends (Fri-Sun) annually (Value: $7,200) o Must include set up and break down times o Subject to availability, additional space/use subject to Fee Waiver Policy o Must be reserved through FHCCA board representative 36 hours of annual Classroom use, between 2pm and 8pm, Monday –Thursday (Value $450) o Subject to availability o Additional Classrooms, use prior to 2pm weekdays, or on weekends will be subject to Fee Waiver Policy WWW.FOUNTAINHILLSAZ.GOV In partnership with the Town, FHCCA will be responsible for: If additional room use, events, dates, or programs are needed, the FHCCA shall follow the guidelines and fee structure adopted within the Town Fee Waiver Policy Adherence to reservation policy standards including timely request submission, cancellation notices, set up needs, etc. Fiscal obligations for payment of fees including applications, permits, equipment rental, deposits, and staff time as required. Repayment or coverage of direct costs incurred by the Town due to any FHCCA event or program, including damages, spills, etc. Adherence to Town policies including Special Event procedures, business licenses, insurance requirements, permits, etc. Annual review of agreement by both parties, and upon mutual agreement, administratively renewed. WWW.FOUNTAINHILLSAZ.GOV Additional Considerations: •If additional room use, events, dates, or programs are needed, the FHCC shall follow the guidelines and fee structure adopted within the Town Fee Waiver Policy •Annual review of agreement by both parties, and upon mutual agreement, administratively renewed. •Questions, discussion, and final direction ITEM 8. K. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 06/07/2022 Meeting Type: Town Council Regular Meeting Agenda Type: Regular Agenda Submitting Department: Administration Prepared by: Elizabeth A. Klein, Clerk Staff Contact Information: Request to Town Council Regular Meeting (Agenda Language): DISCUSSION WITH POSSIBLE DIRECTION: Relating to any item included in the League of Arizona Cities and Towns’ weekly Legislative Bulletin(s) or relating to any action proposed or pending before the State Legislature. Staff Summary (Background) This is a regularly recurring agenda item on the Town Council agenda during the legislative session. The goal of this agenda item is to obtain consensus from the Mayor and Council on legislative bills and to provide direction, if any, to staff to communicate the Town's position on the bills. Each Council meeting the Legislative Bulletin will be attached to the Town Council agenda which will include legislative analyses of the bills and their impacts on municipalities. The Mayor and Council will have an opportunity to review the bills that are under consideration in the Arizona State Legislature and provide direction on supporting or opposing the bills. The Mayor and Council may also bring up other bills of interest to the Town of Fountain Hills for discussion that are not listed in the Legislative Bulletin. Last November the Town Council approved the 2022 Legislative Policy Agenda which identified the major legislative priorities of the Town Council. The 2022 Legislative Policy Agenda document and the most recent Legislative Bulletins will also be included during the 2022 Legislative Session. Related Ordinance, Policy or Guiding Principle Council adopted 2022 Legislative Policy Agenda Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) N/A SUGGESTED MOTION MOVE to provide staff direction on one or more bills being considered by the State Legislature. Attachments 2022 Legislative Policy Agenda Bulletin - Issue 18 Bulletin - Issue 19 Form Review Inbox Reviewed By Date Town Manager Grady E. Miller 05/23/2022 06:26 PM Form Started By: Elizabeth A. Klein Started On: 05/23/2022 03:56 PM Final Approval Date: 05/23/2022 1 2022 State Legislative Agenda The Town Council of Fountain Hills Prepared by Jack W Lunsford The Lunsford Group 2 Mission To enrich and provide an active quality of life for all residents and visitors through proactive community engagement, resolute stewardship of amenities and open spaces, and the enhancement of the overall health and well-being of our town. Strategic Priorities The Fountain Hills Strategic Plan is based on the following key goals or strategic priorities: Maximizing Economic Development Opportunities in Fountain Hills o Ensuring that Infrastructure in Fountain Hills is Well-Maintained and Safe o Attracting Families and Working Professionals o Ensuring that Fountain Hills Finances are Stable and Sustainable o Focusing on Strengthening the Community and Improving the Town’s Quality of Life 2022 Legislative Resolutions League of Arizona Cities and Towns (Endorsed and Supported)  AMEND state statute to specify a period when cities and towns may prohibit the use of permissible fireworks and modify definitions of illegal and permissible fireworks.  AMEND statute to allow cities and towns to amend their budgets after the initial budget has passes while following notice and hearing statutes and with strong oversight and approval requirements.  SEEK legislative and/or non-legislative solutions, working with housing and homeless advocates, the Department of Housing, and state legislators, to provide local governments, regional partners, and continuum of care providers additional resources to combat street homelessness in our communities.  SIMPLIFY the statutory mechanisms to dissolve water and wastewater districts once an area incorporates or gets annexed to relieve the tax burden on the citizens, if the town or town provides the same service that had been performed by the district, or the district service is no longer needed. 3 Town of Fountain Hills 2022 State Legislative Agenda CORE PRINCIPLES Preserve Local Funding PROTECT State-Shared Revenues – Arizona voters have prohibited municipalities from collecting a local income tax and luxury taxes and, in exchange, have authorized the establishment of an urban revenue-sharing distribution of state income taxes to municipal governments. Currently that percentage is 15%, however in 2021 the Legislature passed SB1828 which increased revenue-share percentage to 18%, effective in fiscal year 2023-2024. SB1828 is now on hold pending a final ruling from the Arizona Supreme Court as to the constitutionality of this and other 2021 legislative actions and, depending on the outcome, this could put pressure on the Arizona Legislature to revisit the provisions of the new law. Preserve Local Control OPPOSE Preemption of Local Authority – The Town strives to preserve local control so that its citizens can self-govern in their best interest. Every legislative session legislation is proposed that creates unfunded mandates on cities and towns and/or preempts the ability of municipal councils to set policy through ordinances and regulations at the local level which are in the best interest of their citizens and taxpayers. Often times this is a “one-size-fits-all” legislative approach that doesn’t consider the differences in municipalities or the priorities of the residents. Such efforts should be opposed. 2021 Key Positions  PRESERVE the current minimum urban revenue sharing percentage for cities and towns at 15%.  OPPOSE legislation to modify or expand legislative authority to seek SB1487 investigations by legislators pertinent to municipal authorities and to expand any applicable penalties.  SUPPORT legislation addressing the negative impacts short-term rental properties can have on adjacent properties and neighborhoods.  SUPPORT legislation that at a minimum will prohibit, on all days, the use of permissible consumer fireworks between the hours of 10:00 PM and 8:00 AM. 4 LEGISLATIVE POLICY STATEMENTS LOCAL GOVERNMENT  OPPOSE legislation to modify or expand legislative authority to seek SB1487 investigations by legislators pertinent to municipal authorit y and to expand any penalties.  SUPPORT legislation that further limits SB1487 provisions.  OPPOSE legislation that creates unfunded mandates for municipalities.  SUPPORT legislation on political signs to comply with Reed v. Town of Gilbert U.S. Supreme Court decision. LOCAL GOVERNMENT FINANCE  OPPOSE legislation that reduces or negatively impacts the collection of transaction privilege tax (TPT), State Shared Revenues, or other local revenues.  OPPOSE changing the imposition of construction sales taxes to “materials only” or other methods that do not equitably return those revenues to where the construction activity occurs. NEIGHBORHOODS and QUALITY OF LIFE ISSUES  SUPPORT legislation providing additional tools and remedies for municipalities to regulate short-term rentals in their communities.  OPPOSE legislation that would limit or curtail the Town’s current zoning authority, particularly in residential areas.  OPPOSE legislation that would prohibit or eliminate the transaction privilege tax on the renting or leasing of real property for residential purposes.  OPPOSE legislation that preempts a city or town from establishing or enforcing its ordinances regulating tobacco, vapor, or alternative nicotine products. 5 PUBLIC SAFETY  OPPOSE legislation that negatively impacts the Town’s Fire Code or its ability to enforce its Fire Code provisions.  OPPOSE legalizing additional fireworks or other changes that would increase the risk of fires to businesses, neighborhoods, residents and the McDowell Mountain Preserve.  PRESERVE local control authority that allows cities and towns to regulate the use and discharge of firearms within municipal boundaries. TRANSPORTATION  SUPPORT extension of ½-cent sales tax to support regional transportation projects in Maricopa County.  SUPPORT the continued viability of Highway Users Revenue Fund (HURF) funding to cities and towns. AZ League Legislative Bulletin: Issue 18 - May 13, 2022 Legislative Update: Today is the 124th day of the legislative session. After the 120th day, lawmakers’ per-diem drops from $35 a day for Maricopa County legislators to $10 a day. For lawmakers outside of Maricopa, their per diem falls from $220 to $110 a day. On Monday, the House gaveled in to take up a short floor calendar before adjourning until Monday, May 16. The Senate followed suit, adjourning for the week on Tuesday. Activity at the capitol has come to a near -halt with little floor action in the past few weeks. The Governor has signed 228 bills into law. Five measures currently aw ait his consideration. 146 bills have yet to clear the Rules Committee. 60 House bills are pending Committee of the Whole (COW) in the Senate, while 44 Senate bills await COW in the House. 17 bills are pending Third Read, most of which are in the Senate. Catalytic Converter Theft A measure aimed to curb catalytic converter thefts across the Valley was signed into law on Monday. HB 2652 sales; acquisitions; used catalytic converters, sponsored by Representative Diego Espinoza (D-Tolleson), became effective immediately because the measure passed with an emergency clause. The bill makes it unlawful for a person to solicit, advertise, or possess a used catalytic converter, except for licensed auto recyclers and motor vehicle parts or repair businesses. The legislation additionally requires that every person purchasing a used catalytic converter submit an electronic sale record to the Department of Public Safety. The law was spurred by a recent rise in catalytic converter theft. These car parts contain valuable and rare metals worth thousands of dollars. The cost to replace a converter can also run in the thousands. Without this part, vehicles are ineligible to pass emission tests. The new law aims to close loopholes under existing law, which currently makes the sale or purchase of a catalytic converter a misdemeanor but fails to address possession. Proponents of HB 2652 hope this bill will enhance law enforcement’s tools to stop this type of crime. Budget Outlook There are 48 days until the end of the fiscal year. At this point, the Legislature has yet to reach a consensus agreement on a budget. Legislative leadership is said to be meeting every day to craft a proposal they hope to shop with rank and file members and the Governor. The Senate President indicated to Capitol reporters earlier this week that lawmakers are concerned about a potential recession in the near future and are considering using one-time monies to pay down state debt. During the most recent Finance Advisory Committee, Joint Legislative Budget Committee staff noted that the state’s one-time resources are approximately $3.7 billion. Ongoing funds are projected to be $1.57 billion. 2022 Session Timeline Every session has deadlines pertaining to bill submissions and hearings. This year, the schedule is as follows: January 1/10 – First day of session 1/13 – House 7-bill Introduction Limit Begins (5 p.m.) 1/31 - Senate bill introduction deadline (5 p.m.) February 2/7 – House Bill Introduction Deadline (5 p.m.) 2/14 - 2/18 – Last week to hear bills in the chamber of origin March 3/21 – 3/25 – Last week to hear bills in the opposing chamber April 4/15 – Last Day for Conference Committees 4/19 – 100th Day of Session AZ League Legislative Bulletin: Issue 19 - May 20, 2022 Legislative Update: Lawmakers gaveled in on a modified schedule this week, opting to adjourn for the week on Wednesday. The House will reconvene on Tuesday, while the Senate will return on Monday. The governor has signed 229 bills into law. The legislature recently passed 26 bills that await the governor’s action. There are 143 bills currently pending action from either chamber’s Rules Committee. Awaiting floor action in the Senate are 42 bills, while 33 Senate bills await this stage in the House. A total of 7 measures are ready for Third Read between both chambers. Budget Outlook House and Senate leadership are reportedly meeting regularly to discuss a budget proposal for FY 23. Rumors of an initial agreement on a budget framework between the chambers are swirling, though it is unclear whether this potential framework has sufficient support among lawmakers. Discussion on the proposed Arizona Water Authority is said to be taking precedent over budget negotiations. This afternoon, the Joint Legislative Budget Committee released its fiscal highlights for April. The report indicates healthy revenues as collections for the month were the highest ever collected in any month, well above forecast. Sales tax collections were $681.3 million, 14.3% higher than April 2021. While HURF collections were down 1% below the amount collected at this time last year, year to date HURF collections have increased by 6.1% and are $31.9 million above forecast. Other highlights include growth in hotel occupancy (up 6.4% from the previous month), airport ridership (up 29% from a month earlier), and an increase in state park visitations. The full report is linked here. Elections For the past two sessions, elections have been a hot-button issue at the legislature. This year, 140 measures amending the elections statutes were introduced, breaking last year’s record of 129. A number of these measures have either stalled or died in the process. This week, lawmakers sent a handful of election-related measures to the governor’s desk. Here is a breakdown of those bills:  SB 1008 elections; recount margin increases the margin of votes between candidates that triggers an automatic recount. This measure replaces the current automatic recount margin of a lesser of one-tenth of one percent or 10-200 votes with an automatic trigger of one-half of one percent. Under current law, an automatic recount is triggered for city and town offices if the number of votes cast between two candidates is less than or equal to 10 votes. SB 1008 changes the margin for all races or measures to amend the constitution to one-half of one percent. The bill is pending action from the governor.  HB 2237 same day voter registration; prohibition prohibits same-day voter registration and establishes penalties for registering a person to vote on election day. The bill is pending action from the governor.     SB 1329 early ballots; tabulating requires officials in charge of elections, when possible, to post the number of early ballots returned at voting locations on election day on its website. The bill is pending action from the governor.   SB 1477 voter registration; felonies; clerk; database requires the clerk of the Superior Court to submit every month to the Secretary of State (SOS) every felony conviction in the previous month. The SOS is directed to notify the appropriate county recorder to cancel the voter registration of individuals convicted. The bill is pending action from the governor. 2022 Session Timeline Every session has deadlines pertaining to bill submissions and hearings. This year, the schedule is as follows: January 1/10 – First day of session 1/13 – House 7-bill Introduction Limit Begins (5 p.m.) 1/31 - Senate bill introduction deadline (5 p.m.) February 2/7 – House Bill Introduction Deadline (5 p.m.) 2/14 - 2/18 – Last week to hear bills in the chamber of origin March 3/21 – 3/25 – Last week to hear bills in the opposing chamber April 4/15 – Last Day for Conference Committees 4/19 – 100th Day of Session