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TOWN OF FOUNTAIN HILLS
MINUTES OF THE EXECUTIVE AND REGULAR SESSIONS OF THE
FOUNTAIN HILLS TOWN COUNCIL
SEPTEMBER 18, 2014
EXECUTIVE SESSION
* CALL TO ORDER
Mayor Kavanagh called the Executive Session to order at 5:30 p.m. in the Fountain Conference Room - 2nd Floor.
AGENDA ITEM #1- ROLL CALL AND VOTE TO GO INTO EXECUTIVE SESSION: PURSUANT TO (I)
A.R.S. §38-431.03(A)(4), DISCUSSION OR CONSULTATION WITH THE ATTORNEYS OF THE PUBLIC
BODY IN ORDER TO CONSIDER ITS POSITION AND INSTRUCT ITS ATTORNEYS REGARDING THE
PUBLIC BODY'S POSITION REGARDING CONTRACTS THAT ARE THE SUBJECT OF
NEGOTIATIONS, IN PENDING OR CONTEMPLATED LITIGATION OR IN SET TLEMENT
DISCUSSIONS CONDUCTED IN ORDER TO AVOID OR RESOLVE LITIGATION. (SPECIFICALLY,
THE FOUNTAIN HILLS DEVELOPMENT GROUP/TRACTOR SUPPLY COMPANY DEVELOPMENT
AGREEMENT); AND (II) A.R.S.38-431.03.A.3, DISCUSSION OR CONSULTATION FOR LEGAL ADVICE
WITH THE TOWN ATTORNEY (SPECIFICALLY, THE CCWC RATE CASE).
ROLL CALL: Present for roll call were the following members of the Fountain Hills Town Council: Mayor Linda
Kavanagh, Councilmember Ginny Dickey, Councilmember Dennis Brown, Vice Mayor Cecil A. Yates,
Councilmember Tait D. Elkie and Councilmember Henry Leger. Town Manager Ken Buchanan , Town Attorney
Andrew McGuire, Senior Planner Robert Rodgers and Town Clerk Bevelyn Bender were also present.
Councilmember Cassie Hansen was not present at this time and joined the meeting at 5:31 p.m. Mr. Rodgers left the
meeting at 5:47 p.m.
Vice Mayor Yates MOVED to go into Executive Session at 5:30 p.m. and Councilmember Brown SECONDED the
motion, which CARRIED UNANIMOUSLY by those present (6-0).
AGENDA ITEM #2 - ADJOURNMENT.
Without objection, the Executive Session adjourned at 6:10 p.m.
REGULAR AGENDA
* CALL TO ORDER AND PLEDGE OF ALLEGIANCE
Mayor Kavanagh called the meeting to order at 6:30 p.m. in the Town Hall Council Chambers
* INVOCATION – Kacee Hixson, President of the Laurel Class, Church of Jesus Christ of Latter Day Saints.
* ROLL CALL
Present for roll call were the following members of the Town Council: Mayor Linda Kavanagh, Councilmember
Ginny Dickey, Councilmember Dennis Brown, Vice Mayor Cecil A. Yates, Councilmember Cassie Hansen,
Councilmember Tait D. Elkie and Councilmember Henry Leger. Town Manager Ken Buchanan, Town Attorney
Andrew McGuire and Town Clerk Bevelyn Bender were also present.
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* MAYOR’S REPORT
Mayor Kavanagh said that the National Guard and Reserve forces comprise nearly half of our nation's military strength
and are essential to America's national security; and Reserve Component forces stand ready to answer the call to serve,
whether serving alongside active duty counterparts all across the globe or responding to humanitarian crises at home
and abroad. She noted that employers provide critical support to members of the National Guard and Reserve,
allowing Citizen Warriors to serve whenever the Nation calls, often foregoing financial gain and making sacrifices in
the process. She added that employer support is stronger than ever, more than 41 years after President Nixon
authorized the Secretary of Defense to establish the National Committee for Employer Support of the Guard and
Reserve (ESGR). She stated that our nation is in debt to the Citizen Warriors departing the comforts of home to ensure
that our freedoms remain intact and likewise America pays special tribute to the commitment of dedicated and
supportive employers who continue to make service in the Reserve Components possible. The Mayor said that it is her
honor to declare September 22 - 26, 2014 National Employer Support of the Guard Reserve Week in Fountain Hills.
* SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS
i) The Mayor may review recent events attended relating to Economic Development.
Mayor Kavanagh stated that it has been her great honor to be the Town's Mayor for the last two years and she wanted
to sincerely thank all of the citizens for putting their confidence in her once again by electing her to a second term.
She advised that she looks forward to serving their beautiful community for the next two years. She reported on her
attendance at the League of Cities & Towns Conference and noted that she attended a few of the same seminars that
Town Manager Ken Buchanan attended, one on emergency preparedness and one on regional transportation. She
added that she also attended the legislative update on what to expect in the new session . She said that she attended a
few more sessions but those were the best and that Councilmember Dickey probably attended different ones so she
would give her an opportunity to speak on those (following the meeting, the Mayor advised that Councilmember
Dickey decided not to speak on the seminars at that time). She further stated that besides seminars she had some great
interaction with her fellow Mayors and all 91 of them at the same place at the same time is a great asset when they
want to discuss the economy of the state, transportation, tourism and everything else that affects all of them. She
commented that she was excited to hear that some of the smaller municipalities are doing quite well.
Mayor Kavanagh advised that she also met with the Town's se rvice providers, Republic Services and SRP and added
that she didn't get an opportunity to meet with Epcor Management but she did talk with the operation's supervisor
about the many problems that the Town's residents have been experiencing. She stated tha t she had some exciting
news to share and said that there were quite a few openings on the League Executive Committee and she threw her hat
in with quite a few other applicants and she is excited to report that she was chosen to serve for the next two year s.
She noted that there is going to be a lot more time involved, especially when the Legislature is in session, but said that
she is looking forward to being a part of the Executive Committee. She advised that to her this means a lot more
attention on Fountain Hills and it will allow her to keep a closer eye on any actions taken that could cause harm to their
Town, like the previous TPT bill. She added that of course she will always look for bills that will benefit the Town.
The Mayor further stated that she attended the first MAG meeting of the fall and the meeting was primarily focused on
bilateral trade with Mexico and an update on the online business site called BIEN. She reported that her Mayor's
Youth Council had an awesome retreat last week and thanked staff member Heather Ware for putting the entire
program together. She stated that they commandeered the Community Center Saturday night into Sunday morning and
it was a great success, bringing camaraderie among the different grade levels from freshman to senior, discussing
current issues that teenagers are facing, making plans for the coming year and just having a really fun time. She said
that she and Ms. Ware are still recovering from sleeping on the floor, what little sleep they did get but th ey woke up
Sunday morning and picked up trash along their adopted street, Westby. She noted that many residents stopped to talk
to the students and thanked them, which was a very good ending to their retreat.
ii) Update by Councilmember Ginny Dickey regarding the recent Maricopa Association of Governments Regional
Domestic Violence Council meeting held September 4, 2014.
Councilmember Dickey advised that she attended her last meeting of the Council and encouraged any member of the
Council, Public Safety Advisory Commission or citizens wishing to be appointed to this Council to speak to either her
or Town Manager Ken Buchanan (she has information on how to proceed with doing this). She said that MAG
(Maricopa Association of Governments) is requesting a couple of things from the Town: (1) To become a partner in a
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grant request that addresses domestic violence through the criminal justice system and (2) They are asking whether the
Town has any activities or anything that the Town would like to publicize for the Domestic Violence Awareness
Month in October even if they have events that go through November. She reported that purple ribbons should be
worn during Domestic Violence Awareness Month and said that there is going to be a press conference called "Voices
for Justice" on October 7th at 9:00 a.m. at Arizona State University (The Sandra Day O'Connor College of Law). She
noted that it will include the Mayor of Youngtown who is the current Chair of the MAG Regional Council and other
officials in addition to a domestic violence survivor who will give a talk. She added that Robin Barker, the Vice
Mayor of Apache Junction and the Vice Chair of the group will also be in attendance. She reiterated that MAG is
looking for anyone with an upcoming event that they would like to have publicized to come forward. She discussed
the STOP Grant through the Governor's Office to support their protocol evaluation project and reported that the goal of
the Council, which is what they have been working on all this time, is to improve the way that they arrest and
prosecute domestic violence offenders. She said that all of the police departments, prosecution offices, victim
advocate offices, cities, towns and Native American communities should become formal partners in this project and
sign on to the grant. She stated that she would recommend that if possible the Town participate in this grant (she
forwarded the information to the Town Attorney for review in this regard) and pointed out that they have talked about
the fact that the Super Bowl is coming and the connection that has not only with human trafficking but also domestic
violence. She briefly referred to all of the recent NFL incidents that have surfaced and said that a lot of discussion is
occurring about that right now. She further stated that there has been some discussion in Arizona about domestic
violence abusers not being necessarily under State law from possessing firearms and noted that the FBI has reported
that there is an average of 38 domestic violence homicides per year in Arizona and of those, 22 or 61% involved
firearms. She added that she would like to take the opportunity at this time to say that a life-long friend of hers, and a
strong advocate for domestic violence elimination, Dr. Jennie Gorrell who was the wife of Jerry Gorrell, a long-time
Chairman of the Community Services Commission, passed away yesterday and commented that Arizona has lost a
strong voice and hopefully someone will take this important mission on.
Mayor Kavanagh advised that on behalf of the Council she would like to thank Councilmember Dickey for serving on
the MAG Domestic Violence Commission, an extremely important body doing great work. She said that this provided
a voice for the Town and Councilmember Dickey was able to share all of the knowledge that she obtained.
CALL TO THE PUBLIC
None.
CONSENT AGENDA
Mayor Kavanagh announced that Agenda Items #2 and #3 have been removed from the Consent Agenda and placed on
the Regular Agenda at the request of Councilmember Hansen.
AGENDA ITEM #1 - CONSIDERATION OF APPROVING AN ENCROACHMENT PERMIT, SUBMITTED
BY MARK DOHRMAN ON BEHALF OF GRIDLEY'S OF FOUNTAIN HILLS, FOR THE PURPOSE OF
IMPROVING AND PERMANENTLY MAINTAINING AN ACCESS RAMP, STAIRS, A GUARDRAIL AND
ROOF CANOPY COLUMNS, WHICH ENCROACHE UPON THE PUBLIC SIDEWALK AND RIGHT -OF-
WAY, LOCATED IN FRONT OF THE RETAIL STORE AT 16830 E. AVENUE OF THE FOUNTAINS,
FOUNTAIN HILLS, AZ.
AGENDA ITEM #2 - CONSIDERATION OF AN ENCROACHMENT PERMIT APPLICATION
SUBMITTED BY CAROLYN REDENDO (SOFRITA, LLC) FOR THE PURPOSE OF EXTENDING THE
EXISTING OUTDOOR SEATING AND DINING AREA LOCATED IN FRONT OF THE RESTAURANT AN
ADDITIONAL 150 SQUARE FEET +/- ON THE PUBLIC SIDEWALK AT 16848 E. AVENUE OF THE
FOUNTAINS. THIS ITEM HAS BEEN REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE
REGULAR AGENDA.
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AGENDA ITEM #3 - CONSIDERATION OF APPROVING A LIQUOR LICENSE APPLICATION FOR A
PERMANENT EXTENSION OF PREMISES PERMIT, SUBMITTED BY CAROLYN REDENDO,
OWNER/AGENT OF SOFRITA, LOCATED AT 16848 AVENUE OF THE FOUNTAINS, FOUNTAIN
HILLS, AZ. THIS ITEM HAS BEEN REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE
REGULAR AGENDA.
AGENDA ITEM #4 - CONSIDERATION OF APPROVING A LIQUOR LICENSE APPLICATION FOR A
TEMPORARY EXTENSION OF PREMISES/PATIO PERMIT, SUBMITTED BY DARVEL HANSEN,
REPRESENTATIVE OF THE CLUB, LOCATED AT 17005 E. ENTERPRISE DR., FOUNTAIN HILLS, AZ.
Councilmember Leger MOVED to approve the Consent Agenda as amended (Items #1 and #4) and Vice Mayor Yates
SECONDED the motion.
A roll call vote was taken with the following results:
Mayor Linda Kavanagh Aye
Councilmember Ginny Dickey Aye
Councilmember Dennis Brown Aye
Vice Mayor Cecil Yates Aye
Councilmember Cassie Hansen Aye
Councilmember Tait Elkie Aye
Councilmember Henry Leger Aye
The motion CARRIED UNANIMOUSLY (7-0).
REGULAR AGENDA
AGENDA ITEM #2 - CONSIDERATION OF AN ENCROACHMENT PERMIT APPLICATION
SUBMITTED BY CAROLYN REDENDO (SOFRITA, LLC) FOR THE PURPOSE OF EXTENDING THE
EXISTING OUTDOOR SEATING AND DINING AREA LOCATED IN FRONT OF THE RESTAURANT AN
ADDITIONAL 150 SQUARE FEET +/- ON THE PUBLIC SIDEWALK AT 16848 E. AVENUE OF THE
FOUNTAINS. THIS ITEM HAS BEEN REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE
REGULAR AGENDA.
Senior Planner Bob Rodgers addressed the Council and stated that there are two requests associated with this
submission, the Encroachment Permit and the Extension of Premises Liquor License (there will be one report for both
items). He highlighted information contained in the staff report (copy available on line and in the office of the Town
Clerk) and discussed the current permit and the requested Extension of Premises. He noted that the additional area
would be fenced in a manner similar to what currently exists. He advised that staff recommends approval of both
permits as proposed and added that the applicant is present if there are any questions.
Councilmember Hansen commented that she requested that this be removed from the Consent Agenda because there
were a couple of things in the staff report that drew her attention. She noted that one was the comment that staff had
received complaints during the past year which should be addressed in order for the proposal to be approved (she
briefly outlined the various complaints). She stated that she thought they should have some discussion regarding this
issue and perhaps modify the motion to include a reference to those complaints. She said that the other item was in the
Extension application and pointed out that the part of the building that the new patio is going to be in front of was just
identified with address and Suite 105 so the relationship to Sofrita's was not clear. She added that in driving by it
looks like they are adding patio in front of an empty building. She stated that they didn't know about the lease at that
time so it would be good to clarify and find out if Sofrita's is going to move into that space (what is the extension
going to be in front of).
Carolyn Redendo, the applicant/owner of Sofrita's addressed the Council and explained that they are going to be
extending out in front of the old Curves building and that additional space will be used as a catering/banquet hall
primarily in the evenings and during the day they might have a bit of a gift shop selling their crosses and religious
items on the walls. She stated that she put down the separate address because it is considered a separate address and
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suite number mainly for insurance purposes, they are two separate buildings. She added that they will be using the
patio up front and also the interior for inside seating at night mainly during the fall and spring seasons and in the
courtyard if they have cocktail hours or wine/appetizer receptions they could go into the courtyard area that is provided
She noted that the other two tenants usually leave during the day so they would have that access at night when they
would primarily use that courtyard.
Councilmember Hansen asked if the fencing would continue around the courtyard and Ms. Redendo stated that the
courtyard is already fenced (that was done by the owner of the building). She said that for safety reasons they have a
lock in the front and the back and it was done prior to Sofrita's going in there because of the two exterior bathrooms.
Councilmember Hansen referred to the various complaints Sofrita's has received (as listed in the Staff Report) and
asked her to share with the Council how she plans to mitigate them.
Ms. Redendo advised that the seating is primarily for four to six or a table for tw o but sometimes they do get groups
so they move the tables but they try to make sure they have available space to go in and out. She said that when they
move the tables they try and do it towards the end of the fence and away from the entrances so as not to block
wheelchair access. She reiterated that at times they do get groups of ten or twelve who want to sit together and when it
is a situation that they cannot accommodate they tell the customers that the tables have to be separated. She further
stated that they do have the pets that go outside and that was the reason for the fence, they have a separate dog permit ,
which requires a fenced-in area. She stated that they do not allow the guests to tie the dogs down and if that did occur
then it was just because they hadn't noticed that, an oversight on their part.
Vice Mayor Yates pointed out that with some of the new laws here in Town Ms. Redendo would not be required, at
least by the Liquor Department, to have the fence outside and asked whether that would help her in any way, shape or
form.
Ms. Redendo replied that she would have to review that because of the pet license because she knows with the dog
license they did need a fence.
Councilmember Elkie said that he understands that Sofrita's is going to be doing some catering in the old Curves
building that they are currently leasing and asked for some information on that.
Ms. Redendo explained that sometimes they get requests for groups of 15 or 20 and they do try to accommodate them
in the restaurant or outside but they are kind of small and so it can become difficult. She stated that they figured that
perhaps they could accommodate wedding rehearsals and other similar events in that room.
Councilmember Elkie asked whether Ms. Redendo would still need the extension or does she intend to remove it. He
explained that the only reason he asks that is if she no longer leases that they are basically putting a fence in front of
whoever else wants to lease that space.
Ms. Redendo stated that if they ever decided in the future she guesses it would be separated because it is two separate
buildings but for now they hope to stay there for quite a bit of time.
Councilmember Elkie said that based on his last question, he would like to ask Mr. Rodgers if Ms. R edendo decided
not to rent the building any longer, he would not like to encumber that building from someone else who might want to
lease it by having the fence out there so what would Mr. Rodgers suggest be done.
Mr. Rodger responded that the Council could remove the Encroachment Permit for that section and pull the fence out.
He confirmed that it is Town property and so the Town could rescind the approval at any time.
In response to a question from Councilmember Leger, Ms Redendo advised that she is currently leasing the property
and added that they have had a lease since the beginning of September when Curves moved out (they have a 3 -year
lease).
Mr. Rodgers advised that the property will still meet the required 4-foot ADA (Americans With Disabilities Act)
allowance with the trash can that is shown on site.
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(These two items were voted on out of order but for purposes of clarity will remain as listed on the agenda.)
Councilmember Dickey MOVED to approve the Encroachment Area permit extension for the Sofrita restaurant,
located at 16848 E. Avenue of the Fountains as presented, subject to the applicant continuing to abide by the
conditions of the existing permit and Councilmember Elkie SECONDED the motion, which CARRIED
UNANIMOUSLY (7-0).
AGENDA ITEM #3 - CONSIDERATION OF APPROVING A LIQUOR LICENSE APPLICATION FOR A
PERMANENT EXTENSION OF PREMISES PERMIT, SUBMITTED BY CAROLYN REDENDO,
OWNER/AGENT OF SOFRITA, LOCATED AT 16848 E. AVENUE OF THE FOUNTAINS, FOUNTAIN
HILLS, AZ. THIS ITEM HAS BEEN REMOVED FROM THE CONSENT AGENDA AND PLACED ON THE
REGULAR AGENDA.
Vice Mayor Yates MOVED to approve the liquor license application for a permanent Extension of Premises/Patio
Permit submitted by Carolyn Redendo, owner/agent of Sofrita and Councilmember Leger SECONDED the motion,
which CARRIED UNANIMOUSLY (7-0).
Mayor Kavanagh congratulated Mr. & Mrs. Redendo on the approval of their requests and thanked them for both of
their businesses in Town.
AGENDA ITEM #5 - CONSIDERATION OF APPOINTING FOUR INDIVIDUALS TO THE PLANNING
AND ZONING COMMISSION EACH FOR A TWO-YEAR TERM BEGINNING OCTOBER 1, 2014 AND
ENDING OCTOBER 1, 2016.
Mayor Kavanagh advised that the Committee has recommended three names and MOVED to appoint Stan Connick,
Howie Jones and Jeremy Strohan to the Planning and Zoning Commission, each for a two -year term beginning
October 1, 2014 and ending October 1, 2016 and Councilmember Brown SECONDED the motion.
Mayor Kavanagh provided brief remarks relative to the background of the three appointees and thanked them for their
past and future service to the Town (two of the three are returning members, Mr. Connick and Mr. Jones).
The motion CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #6 - CONSIDERATION OF APPROVING A SPECIAL EVENT APPLICATION AND CO -
SPONSORSHIP FOR THE 2014 OKTOBERFEST EVENT PRESENTED BY THE SOUTHWEST GERMAN
SOCIETY, SONS OF AMVETS AND FOUNTAIN HILLS ELKS LODGE #2846 TO BE HELD IN
FOUNTAIN PARK ON SEPTEMBER 26-27, 2014.
Mayor Kavanagh announced that there is one Staff Report for Agenda Items #5 and #6 but two motions are required.
Town Manager Ken Buchanan advised that the Council's packets contain a Special Event Request and Special Event
Liquor License Request for the Southwest German Society, Sons of AMVETS and the Fountain Hills Elks Lodge
#2846 to hold their annual Oktoberfest event at Fountain Park on September 26-27, 2014 from 5:00 - 10:00 p.m. He
noted that the Community Services staff is present should the Council have any questions and said that staff
recommends approval.
Councilmember Brown MOVED to approve the Special Event Application and Co-Sponsorship and Councilmember
Elkie SECONDED the motion and the motion CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #7 - CONSIDERATION OF APPROVING A SPECIAL EVENT LIQUOR LICENSE
APPLICATION SUBMITTED BY SAMUEL COFFEE, REPRESENTING THE SONS OF AMVETS
SQUADRON #7, FOR THE PURPOSE OF A FUNDRAISER IN CONJUNCTION WITH THE 2014
OKTOBERFEST EVENT. THE EVENT IS SCHEDULED FOR FRIDAY AND SATURDAY, SEPTEMBER
26-27, 2014 FROM 5:00 - 10:00 P.M., AT FOUNTAIN PARK.
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Councilmember Brown MOVED to approve the Special Event Liquor License Application as presented and Vice
Mayor Yates SECONDED the motion, which CARRIED UNANIMOUSLY (7-0).
Councilmember Elkie commented that he thinks it is important to point out that with their new Co -Sponsorship Policy
they do have the IRS letter in there identifying the organization as a 501(c)(19) and thanked staff for their efforts in
this regard.
AGENDA ITEM #8 - PRESENTATION AND DISCUSSION OF THE TOURISM PROGRAM WITH
POSSIBLE DIRECTION TO STAFF REGARDING MOVING FORWARD WITH MARKETING AND
PROMOTIONAL STRATEGIES.
Town Manager Ken Buchanan addressed the Council relative to this agenda item and noted that the Town took over
the Tourism Initiative this year and said that the Community Services Department was charged with administering the
program. He advised that staff has a presentation and update on the initiative as well as the marketing strategies that
are being proposed. He stated that it staff's recommendation that the Council move forward with the tourism and
marketing strategies as presented.
Rachel Goodwin, Community Services Recreation Supervisor and Grace Rodman-Guetter, Community Services
Tourism Assistant addressed the Council; Ms. Goodwin stated that since joining the team she and Grace have been
diligently working on the Tourism promotion and the package. She added that they are present this evening to update
the Council on that outlook and the plans for the Tourism Initiative. She advised that they are looking to confirm that
what they are presenting are in line with the Council's vision for this program.
Ms. Goodwin and Ms. Rodman-Guetter highlighted a brief PowerPoint presentation (copy available on line and in the
office of the Town Clerk) that included the following:
* What Was Discussed at the Last Meeting in April
* Budget
* What Has Happened Since
* The New Marketing Campaign (Fun, Fresh, Family, Fast) and Message (Find Your Fountain)
* Stakeholders
* Print Advertising, Old and New
* Tourism Website - Original and Mobile Friendly
* A Picture is Worth 1,000 Words
* On-Line Rules the World
* What Happens when they Boost/Results
* Analytics
* Surveys/I-Pad Surveying
* Continuing/Expanding Efforts
Ms. Goodwin indicated their willingness to respond to any questions from the Council.
In response to a question from Vice Mayor Yates regarding which design person they are utilizing, Ms. Goodwin
advised that they went through a competitive bidding process so that they could see some samples and make sure that
whoever they were going to work with had a similar vision and could translate into multiple platforms and had
experience not only with print but also with digital and social media. She added that they are working with someone
by the name of Tanya Gagnon dba Miss Detail Design.
Vice Mayor Yates commented on the fact that print media is shifting the other way and you spend $65 and reach 7,000
people versus spending thousands of dollars for an ad. He said he has looked at their budget and unless they are
contractually obligated he would strongly advise them to cut either way back or even get out of it entirely. He advised
that he has been in airport travel quite a bit and he really had to look to find their publication. He stated that he just
does not think that that investment is doing anything for the Town and the $6,000 or wherever that falls he thinks could
be much better utilized for more impact.
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Ms. Goodwin advised that that is kind of why they are looking to work with Phoenix Magazine. She added that they
did some research and that magazine is subscription based so people are choosing to receive it and they want to work
with them and ensure that they have a presence in the Valley for those who may not be familiar with the Town and all
the great amenities it has to offer. She said that she agrees with the Vice Mayor's comments and they are not
contractually obligated, they are working with the consultant on a project-by-project basis.
Councilmember Leger welcomed Ms. Goodwin to the Town and stated that she and Ms. Rodman-Guetter display great
energy. He noted that after Ms. Rodman-Guetter's last presentation there was some discussion about putting together a
logo for Tourism and that was done and she also created an icon which is also something they had talked about which
was placed on the Town's website homepage. He advised that he is just a little disappointed that it is way on the
bottom of the homepage and suggested that as they move forward and do some website enhancements, they may want
to lobby in-house to try and get that icon up at the top and a little more visible.
In response to a request from the Mayor, Ms. Goodwin expanded upon the "Find Your Fountain" campaign and said
that they are encouraging anyone who comes to Fountain Hills to "make it their own" -- whatever they are interested
in, dining, a golf destination, a luxury resort destination, etc. She stated that whatever it is that people are looking to
do they believe that the Town can offer that.
Councilmember Dickey referred to the old fashioned print stuff and asked if the ad they were shown of the bicycle
riders and the horses is just an example of one of their ads or all that they are using.
Ms. Goodwin responded that right now they have very limited print advertising and that is something that they are
working towards. She noted that they have contracted with a photographer to update some of the photos here in Town
and explained that there really is not a stockpile of images that really represent what Fountain Hills is now. She
pointed out that the images might change out but they are trying to freshen up the look.
Councilmember Dickey stated that she loves the idea of having less pictures although she knows what they were trying
to do with that -- to showcase all that the Town has.
Vice Mayor Leger commented that with all the money they will save by not going to print advertising they should hire
a photographer, and he knows of a good local photographer, get a ton of pictures taken (kids, pets, food -- things that
will grab peoples' eyes). He added that then they can keep the same layout but exchange the various pictures.
Ms. Rodman-Guetter agreed and said that that is the idea behind the photography as well because they want to
showcase Fountain Hills as best they can but they feel very strongly about not using stock images.
Mayor Kavanagh stated that she likes the idea of keeping the Dining Guide on line and printing in limited quantities as
needed.
Discussion ensued relative to the fact that the Visitor's Guide is at the airport; they ship t hem out to Convention &
Visitors' Bureaus, hotels, etc.; the fact that this week they sent some out to Glendale and they handle the requests as
they are received other than those that are automatically shipped to the airport; one of the Town's residents is an
Airport Ambassador and she always checks to make sure that the slots are filled with the Guides, and Councilmember
Brown's comment that the work that has been done is fantastic and his recommendation that some new shots be taken
of the Fountain because the grass is about as green as he has ever seen it.
Councilmember Brown stated that he can see why they came up with Fun, Fresh and Family but he wanted to know
how they came up with “Fast”; Ms. Goodwin responded that “Fast” is a geographical reference in that there is a
misconception out there that the Town is far out and that no one knows where they are when in reality they really are
not that far, they are right next to Scottsdale and north of Mesa.
Councilmember Brown commented that as another Councilmember once said, "They are just far enough out."
Councilmember Hansen also commended the team on their efforts to date.
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Councilmember Hansen MOVED to direct staff to proceed with the tourism and marketing initiatives as presented and
Councilmember Elkie SECONDED the motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #9 - CONSIDERATION OF RESOLUTION #2014-40, RELATING TO A DEVELOPMENT
AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND FOUNTAIN HILLS DEVELOPMENT
GROUP FOR THE TRACTOR SUPPLY COMPANY DEVELOPMENT AT 17130 E. SHEA BOULEVARD.
Senior Planner Bob Rodgers addressed the Council relative to this agenda item and advised that this application
requests approval of the Tractor Supply Company Development (TSC) Agreement . H e said that the application has
been brought forward by Nick Brown of Cottrell Engineering on behalf of TSC. He highlighted a brief PowerPoint
presentation (copy available on line and in the office of the Town Clerk) and discussed the proposed location and the
fact that it abuts Cereus Wash on its south end. He added that it is 4.02 acres in size and it is currently vacant. He
noted that the existing zoning is C-2, Intermediate Commercial, and said that the proposed use is a permitted use. He
reviewed the topographical plan which shows that the property slopes towards Cereus Wash and also shows the
numerous utility/drainage/hillside easements encumbering the property. He added that there is residential development
in the Sunrise Point subdivision and that is a direct abutter northeast of the property. He referred to a chart that
depicted the goals that will be met and reported that the Planning & Zoning Commission has approved the Concept
Plan and forwarded a recommendation that the Council approve the Special Use Permit to allow for the outdoor
storage areas. He explained that tonight the Council is being asked to consider a Development Agreement in order to
waive the Hillside Disturbance Requirements, so that previously disturbed areas won't have to be replicated elsewhere
on the property with another Hillside Protection Easement (HPE). He noted that it also revises the parking
requirements to require that 86 spaces be provided at a minimum and it amends the drainage requirements to require a
minimum of 8,000 cubic feet of retention at a minimum on site and it grants the Special Use Permit for the Outdoor
Display areas.
Mr. Rodgers discussed access and the fact that the main building will be 21,702 square feet in size and the shed will be
about 1,280 square feet in size; the permanent outdoor display areas; the fact that the larger fenced in area on the north
side will have gates at both ends and customers will be able to drive in to pick up merchandise; 87 parking spaces will
be provided in front of the building; site lighting and conformance to the Town's Dark Sky Ordinance; street frontages
will all be landscaped according to the Town's requirements and in addition, Planning & Zoning also required that the
landscaping be enhanced up along the north property line abutting the residential area; all signage will be by separate
permit and will conform to the Town's regulations; the two drainage retention basins; the Hillside Disturbance Plan;
the proposed facade will be designed to fit in with the area; the architectural elevations and color schemes; fencing;
and a picture of a newly developed TSC in Wickenburg.
Mr. Rodgers advised that staff also recommends approval of the Concept Plan and the Special Use Permit as requested,
subject to the terms outlined in the Development Agreement. He noted that the applicants are present and willing to
respond to any questions.
Town Clerk Bevelyn Bender advised that there were no citizens wishing to speak on this agenda item.
Councilmember Leger referred to the drive off of Monterey and asked what the setback distance is to the display and
storage and Mr. Rodgers replied 150 to 160 feet. He confirmed that the ordinance requires that the frontage all contain
landscaping as well as a 10-foot buffer between the parking lot and the residential development, which will have
landscaping. He said that the storage shed does not have any kind of a buffer so they will have to rely on the 8 -foot
wall that is being built along that line. He stated that the applicant has indicated that he would provide landscaping on
some of the lots if requested to serve as an additional buffer.
In response to a question from Councilmember Leger relative to the wall behind the homes, Mr. Rodgers reported that
the wall is approximately 5 to 6-feet high depending on the slope of the road as it goes along and the requirement in
the Zoning Ordinance is that commercial property back up to an 8-foot wall. He added that either this wall will be
increased to 8-feet high or TSC will have to build their own wall if the Homeowners' Association decides they don't
want them to increase the height of their wall.
The Mayor asked what the height of the building itself is and Mr. Rodgers responded that it is 24 feet to the roofline
and 32 feet 9 inches to the peak of the roof.
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Mayor Kavanagh requested information regarding traffic and trucks coming into the area and Mr. Rodgers said that
there will be two delivery trucks (larger trucks) a week during work hours and no overnight parking or idling.
Councilmember Hansen asked how far the property drops down at Shea and Mr. Rodgers replied t hat there is a 6 to 9-
foot drop; Councilmember Hansen indicated that will mitigate the height of the building.
In response to a question from Councilmember Leger regarding what the next steps will be if this is approved, Mr.
Rodgers stated that there is a 30-day appeal process and if that timeframe goes by without any occurrences then they
can apply for the building permit.
Vice Mayor Yates requested that the applicants come forward at this time and introduce themselves.
Mr. Ralph Ramalta, the owner of the store and Nicholas Brown from Cottrell Engineering addressed the Council.
Vice Mayor Yates asked approximately how many jobs this business will generate and Mr. Ramalta responded 15 to
17 local employees and there is likely a Store Manager who is being groomed right now, he was an Assistant Manager
in another store.
Councilmember Brown questioned how many stores TSC has in Arizona and Mr. Ramalta reported 18 and added that
26 total sites have been identified. He added that the stores in Arizona are performing very well.
Councilmember Brown said that he would like to welcome Mr. Ramalta to Town if this all goes through.
In response to a request from the Vice Mayor, Mr. Ramalta advised that tractors are probably the only items that would
be used on a farm, ranch or large property that they don't sell. He stated that they sell pet and herd feeds, containment
and all kinds of fencing, they have a big equestrian center, medicines, saddles, western apparel, hardware, etc.
Councilmember Hansen advised that she appreciates Mr. Ramalta's willingness to work with the neighbors and staff
and Mr. Ramalta advised that he is looking forward to getting involved in the community. He said that they show their
community commitment by sponsoring events and they love rodeos.
Councilmember Leger asked whether Mr. Ramalta had any annual sales projections he could share and Mr. Ramalta
advised that $3 to $3.5 million is the usual sales projection but they are exceeding that amount in Arizona stores and
generating sales of $4 to $4.5 million annually.
In response to a question from Councilmember Elkie relative to the market that this store will serve, Mr. Ramalta
stated that they have a store in Mesa on Main Street out towards Apache Junction and that has been open about a
month and is doing very well. He pointed out that the halfway line between Mesa and Fountain Hills will be the
southern boundary that they will draw from. He added that they are working on Payson as well and have a location
under contract. He said that they can have stores within 40 to 50 miles of each other and not have cannibalization
between the markets.
Councilmember Elkie MOVED to approve Resolution 2014-40, the Development Agreement between the Town of
Fountain Hills and Fountain Hills Development Group for the Tractor Supply Company development at 17130 E. Shea
Boulevard and Councilmember Hansen SECONDED the motion, which CARRIED UNANIMOUSLY (7-0).
Mayor Kavanagh thanked Mr. Ramalta and also Dave Long for his excellent presentation at Planning & Zoning and
for spending a long time on the phone with her.
AGENDA ITEM #10 - CONSIDERATION OF A COOPERATIVE PURCHASE AGREEMENT WITH ICON
ENTERPRISES, INC., DBA CIVIC PLUS, IN THE AMOUNT OF $61,051.35, FOR THE DESIGN,
DEVELOPMENT AND HOSTING OF AN INTERNET WEBSITE FOR THE TOWN OF FOUNTAIN HILLS.
Town Manager Ken Buchanan addressed the Council relative to this agenda item and noted that the Town's website
was created in-house approximately five years ago and the current website has limited capacities and lags behind the
latest web technologies making it difficult to maintain and even more difficult to navigate and provide the adequate
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information and interaction needed. He stated that funding for the new website project was placed in the 2014-15
General Fund budget for consideration. He noted that State law permits cities and t owns to initiate a Cooperative
Purchase Agreement and this one will be under the General Services Administration. He explained that Icon
Enterprises is doing business as CivicPlus, a web based company that is used by over 1,700 governments. He added
that the Information Technology Administrator is present this evening and will discuss staff's request for the design,
development and hosting of a new internet website for the Town.
Information Technology Administrator Mike Ciccarone addressed the Council a nd said that staff is bringing forward a
Cooperative Purchase Agreement with Icon Enterprises doing business as CivicPlus that they are seeking Council
approval on this evening in the amount of $61,051.35 for the design, development and hosting of an internet website
for the Town of Fountain Hills. He stated that the current website is about six years old and the platform that it is on is
very limited. He stressed the importance of making information on the Town's website more visible and added that
navigation is a big problem and trying to access everything with the least amount of clicks is difficult with the current
platform. He further stated that they are also missing out on a lot of new technology which really should be considered
old technology at this point in time like on-line payments and stuff like that. He informed the Council that the main
goal of the redesign is to create a customer-centric website with simplified navigation that will also leverage the latest
web technologies including mobile optimization and a mobile application, to name a few. He said this will get people
the information they are looking for with the least amount of clicks and they are also going to showcase what the
essence of Fountain Hills is -- great views and the Fountain. He added that they will catch up with things like on-line
payments and people will be able to pay for dog licenses, business licenses and court fees on-line. He emphasized that
CivicPlus is a leader in municipal and civic websites with over 1,700 clients in the United States and Canada and the
company designed websites for Avondale, Buckeye, Cave Creek, El Mirage, Flagstaff, Litchfield Park, Paradise
Valley, Prescott Valley and Surprise. He noted that they have also designed the websites for the Ar izona Association
of Counties, Goodyear Ballpark, the Arizona League of Cities & Towns, Coconino and Santa Cruz Counties and there
are a whole lot more. He reiterated that staff is seeking approval of the Cooperative Purchase Agreement in the
amount of $61,051.35 and reported that it will be paid for over a three-year period of time. He indicated his
willingness to respond to any questions.
In response to a request for clarification from Vice Mayor Yates, Mr. Ciccarone explained that the company is
allowing them to break down the payment over three years, a little over $20,000 for the first three years. He added that
after that there will be a maintenance/hosting fee of approximately $6,000 to $7,000 annually.
Councilmember Leger referred to the $7,000 annually from then on out starting in the fourth year and asked whether
Mr. Ciccarone knew whether any of the cities and towns experienced increases in that annual fee.
Mr. Ciccarone responded that they have seen minimal increases and the company is estimating approximately $7,000
as long as the Town continues service with them. He further stated that about the fourth or fifth year the Town will get
a redesign and new features as they come out.
Councilmember Elkie commented that if at some point the Town desires to terminate the agreement with CivicPlus,
what are they left with?
Mr. Ciccarone replied that the Town does own all of the content, all of the images and designs so they can basically get
the company to do a download and then take that to another company. He stated that he believes this will be a
permanent type of change.
Councilmember Leger asked what kind of a timeline they are looking at before they see a new product and Mr.
Ciccarone stated approximately four to six months. He noted that this will be a complete redesign from scratch and
they are going to go through everything that is on there.
Mayor Kavanagh advised that the business people are asking to be able to do all of their forms and paperwork on line
and then if there is a cost involved, pay on line with a credit card because they say they cannot leave their stores.
Mr. Ciccarone assured the Mayor that the new website design will allow all of those functions to occur and the Town
will be joining the 21st century.
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Councilmember Dickey asked whether Mr. Ciccarone will be making the changes if there are typos or something like
that or does he always have to tell somebody else.
Mr. Ciccarone responded that they will be distributing the maintenance and updating so each department will have a
representative who can go in and maintain their portion of the website and he will have access to all of the sites in case
something needs to be updated or removed.
Councilmember Brown said that Mr. Ciccarone brought up a total redesign in seven years and asked between now and
seven years as new features come out, will the Town be able to utilize them and then have a whole new redesign.
Mr. Ciccarone replied that as new features come out the Town will get them immediately and clarified that they will
have a redesign in five to six years. He stated that the company will do the redesign and will not require any new staff
(everything is done cooperatively with them).
In response to a question from the Mayor, Mr. Ciccarone confirmed that there will be a mobile app and the site will be
responsive to mobile devices.
Councilmember Elkie asked about the final look and design of the site an Mr. Ciccarone said that they are planning to
put together a group of staff representatives from each department who will work on the design and layout with Mr.
Buchanan.
Councilmember Hansen referred to an earlier Tourism presentation and asked whether the new logo will be placed in a
more prominent place.
Mr. Ciccarone advised that they can do that on their current site but definitely with the new site they want to make
things easier to find.
Councilmember Hansen thanked Mr. Ciccarone for all of the research he has performed and for making a citizen
centric website possible for the Town.
In response to a question from Councilmember Dickey, Mr. Buchanan confirmed that there are no budget issues
surrounding this agreement.
Councilmember Hansen MOVED to approve the Cooperative Purchase Agreement with Icon Enterprises, Inc., dba
CivicPlus, in the amount of $61,051.35 for the design, development and hosting of a new Internet website for the
Town of Fountain Hills and Vice Mayor Yates SECONDED the motion.
There were no citizens wishing to speak on this agenda item.
The motion CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #11 - DISCUSSION WITH POSSIBLE DIRECTION TO STAFF REGARDING THE
FORMAL NAMING OF THE MEDIAN ON THE AVENUE OF THE FOUNTAINS. THIS AGENDA ITEM
WAS ADDED AT THE REQUEST OF COUNCILMEMBERS BROWN, HANSEN AND LEGER.
Town Manager Ken Buchanan addressed the Council relative to this agenda item and noted that three members of the
Council requested that this item be placed on an agenda for discussion and possible direction.
Councilmember Brown advised that he has had several conversations with citizens and o ther Councilmembers about
this over the last several days and his thought pattern goes along the line of what needs to be represented in its name
and said it needs to be "inviting" and "marketable" and the "location" needs to be represented. He stated tha t since this
is a central part of their Town he thought that the word "Central" might be a good key word to jump on. He added that
he also thought about what the area represents and noted that it represents the citizens of the Town, all of them,
because it is the central part of the community. He further stated that along with that it is clearly the central location
for the Town's Arts Fair, recreation and meeting places. He stressed the importance of selecting a name that has some
marketing ability and advised that his recommendation would be to name it "Avenue Central" -- "Come to Fountain
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Hills Avenue Central Where It happens," "Avenue Central -- Come Join the Fun," "Avenue Central -- Come Enjoy the
Art Festival" and so on. He stated that that is one possibility for consideration.
Mayor Kavanagh commented that she doesn't know how many people they will disappoint if they change the name
"Avenue of the Fountains" to something else and asked if this is something that everyone wants to do.
Councilmember Hansen said that one of the reasons she thought they needed to have some discussion on this is
because they know they don't want to call it "The Median" anymore because it is no longer a median so the thought
was to have some discussion on what they do want to designate it and how creative do they want to get with that.
Mayor Kavanagh stated that she would hate to leave out the word "Fountain" because there are all kinds of fountains
and it leads to Fountain Park. She added that she knows there are all kinds of answers and they could leave it as it is or
they could perhaps open it up and make it a contest and see what the residents have to say. She added that they could
ask the newspapers to get the word out on that and see what the residents come up with -- see if they have any desire to
change the name. She said that other than that she is not too excited about any of the ones that are listed in the
Council's packets.
Vice Mayor Yates noted that the whole area is called "Town Center" and from a branding standpoint they need to
maintain that. He commented that it is good to have new ideas come up but they have to remain cognizant of the
importance of ensuring that all of a sudden they don't wind up with five different logos or five different tag lines. He
suggested that the Tourism group be charged to work on this.
Councilmember Leger pointed out that they spent months discussing enhancements to the median a nd it was said that
they needed to stop referring to it as a median and come up with a formal name and he agrees with that. He added that
whether they do it this evening or it's done by committee or contest, he would like to see a name come before this
particular Council since a couple of members will be leaving. He noted that they worked diligently on this project for
many years so he would like them to have the opportunity to have some input into the name. He advised that he is
aware of the fact that several citizens have been excited about this project as it has developed and commented that it is
looking pretty good out there and they are saying they want to call it something. He stated that if they did a contest he
would like to put a time limit on it and probably create a host of ideas -- have four or five selections and have people
vote on them versus right now just about everyone you ask has a different name and there would be too many choices
to choose from. He said that he himself has a list of about ten possible names.
Councilmember Dickey discussed research conducted on names and advised that she is in favor of naming it
something and they could say "The Plaza at Avenue of the Fountains" and however it ends up they would not have to
lose that as the location. She agreed that she would like to see something done before she and Councilmember Elkie
leave the Council.
Mayor Kavanagh suggested that this be turned over to Ms. Goodwin and Ms. Rodman-Guetter and have them reach
out to citizens and put out there that the Council is looking for a name. She added that perhaps they could come back
with some choices and commented that they seem to have that knack for knowing what people like.
Vice Mayor Yates concurred with the recommendation but said that a date should be put on it and preferably by the
last meeting in November and that would still give them enough time in case something else had to be done.
Discussion took place relative to the meeting when this should be brought back and it was decided that it should be
brought back before the Council at the first meeting in November.
Mayor Kavanagh said that they are just talking about direction to staff to put something together and bring it back to
the Council for discussion and consideration.
Councilmember Elkie noted that there had been some discussion about turning this over to the Parks Department once
the work was completed.
Mr. Buchanan confirmed that it will be turned over to the Parks Department and Councilmember Elkie asked whether
there is anything the Council should do about changing the designation to a park because there are probably
suggestions that will come forward for "Central Park" or "Park Central."
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Mr. Buchanan expressed the opinion that they can call it anything they want to but it is a park. He stated that if they
look at the history of parks in America the first one was "Boston Commons" because that was a common area where
people went to recreate.
Councilmember Leger said that he liked the ring of "Avenue Park Plaza."
Mayor Kavanagh stated that fortunately they have two newspaper reporters at the meeting tonight and encouraged
them to write about it and make sure people call the Community Services Department with the suggestions.
Councilmember Leger asked whether the Tourism group was going to be bring back a final recommendation and the
Mayor replied that she thought some of the Councilmembers wanted to have a choice and it was decided that the
Council wanted a short list brought back.
Councilmember Leger said that they will be making a final decision that evening and the Mayor concurred and
hopefully the Tourism Group will come up with something that everyone can agree upon and that can be worked into
the Tourism Program.
AGENDA ITEM #12 - CONSIDERATION WITH POSSIBLE DIRECTION TO STAFF REGARDING
PROCEEDING WITH THE DEVELOPMENT OF A REQUEST FOR PROPOSALS FOR A COOPERATIVE
PURCHASE AGREEMENT FOR A SOLAR SERVICES AGREEMENT/PURCHASE POWER
AGREEMENT FOR THE CUTILLO CIVIC CENTER.
Town Manager Ken Buchanan addressed the Council relative to this agenda item and stated that this is in keeping with
Strategic Plan ES-3, exploring new technologies and opportunities that will minimize noise, light, pollution and in
particular reduce energy consumption. He referred to the Staff Report and the PowerPoint on this item (copies
available on line and in the office of the Town Clerk) and noted that staff is requesting direction from the Council to
proceed with the development of a Request for Proposals (RFP) for a potential Power Purchase (PPA) Agreement for a
Solar Generating System at the Cutillo Plaza. He explained that many local governments in Arizona are beginning to
enter into these PPAs with various solar companies in the State to provide solar energy as an alternative energy source.
He noted that this project would require solar on parking lots and shade structures in Cutillo Plaza and the parking lot
east of Town. He said that staff has met with representatives from Salt River Project, Mesa and Tempe who have had
numerous solar projects and have reviewed the Cutillo Plaza energy demands. He pointed out that the solar project
would have to provide a balanced usage to the electrical generation ratio. He added that it is estimated at this time,
without knowledge from a Request for Proposals, that there could be a $500,000 estimated savings ($25,000 annually)
in electrical costs over a 20-year period if done correctly. He further stated that the Facilities Environmental
Supervisor will provide report on findings regarding this type of project.
Facilities Environmental Supervisor Raymond Rees addressed the Council relative to this agenda item and advised that
staff has been approached over the years about putting a solar project in in Fountain Hills and many times when they
were looking at plans for that and trying to bring the project forward they were unable to do that because of financial
or other reasons. He stated that they have been approached about putting solar in on roof tops, in parking lots, putting
solar panels around the walkways to help mitigate the cost of the Fountain, etc. He advised that staff believes the
project before them involves a very good product that they can apply to the Cutillo Plaza. He highlighted a brief
PowerPoint presentation on this item, which included the following:
* Funding Mechanisms (There are three)
* Power Purchase Agreements and Solar Service Agreements
* Solar Lease Agreement
* Solar Purchase
* Research and Site Visits
* Red Mountain Multigenerational Center in Mesa with a 294 kW Generating System
* Fire Station No. 212 in Mesa with a 185 kW Generating System
* Red Mountain Library in Mesa with a 346.9 kW Generating System
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Mr. Rees discussed what is being proposed for the Cutillo Civic Plaza as follows:
* 108 kW and 378 kW Generating Systems
* Town Hall would require a 108 kW Generating System
* The Community Center would require a 378 kW Generating System
* The Proposed Solar Project - Estimated Savings Over 20 Years
* Procurement Options
Mr. Rees indicated his willingness to respond to questions from the Council.
Vice Mayor Yates said that based on Mr. Rees's knowledge of this so far he would like to know what his
recommendation would be -- he clarified that he is not talking about aesthetics but rather the best financial structure if
they were to pursue this.
Mr. Reese responded that at the end of a PPA or an SSA they can purchase the system at a reduced rate (a pre -
negotiated cost) so before they even enter into an agreement, they can purchase those systems. He expressed the
opinion that that is a good way to go because they don't have any of the up-front costs and they are providing shade
parking for people who visit the Center and they are saving energy costs. He added that if they decide to purchase the
system at the end, everything that they produce from then on out is theirs and they don't have to pay anybody for it.
Vice Mayor Yates stated that respectfully, it is a 15 or 20 -year balloon payment and Mr. Reese said yes, at the end of
20 years, and there are companies that will allow two 5-year period contract extensions for a total of up to 30 years.
The Vice Mayor commented that he loves solar and has been able to work with it on a community center and he
stacked two different grants to it cost nothing but he said that the math just isn't there yet because the system is pretty
much done after 20 years and the economic life is done after 20 years so then basically they are back paying for all of
their savings. He added that in essence they were pre-paying for electrical savings over the 20 years only to get back
on there. He said that he is more interested in having one of the companies build it for them and it costing the Town
nothing depending on what can be negotiated on the predetermined amount (if they could get a six cent or seven cent
arrangement but he doesn't know if that is even possible). He stated that financially speaking it sounds like that would
be their best bet and he has done the math on this and the leasing just doesn't seem to work because the technology is
not there yet. He further advised that as Mr. Rees pointed out, they are buying it retail and now they have to sell it
wholesale so to him that does not make any sense.
There were no citizens wishing to speak on this agenda item.
Councilmember Leger commented that over the course of 20 years he would imagine that there would be technological
enhancements and asked whether they would stay with the system they have and whether they covered technological
enhancements, or is it what you get is what you have for 20 years?
Mr. Rees said that he doesn't have the answer to that question but he does know that it is in their best interest to
produce the power as best they can with that system because they are required by law to make sure that when entities
enter into the agreement, the system is producing the power that it is required or contracted with to produce.
Councilmember Leger stated that in essence, there is a guarantee through that contract and Mr. Rees responded yes.
Councilmember Elkie referred to the proposed savings, $26,420, and asked Mr. Reese to explain how he calculated
that savings over a 20-year period.
Mr. Reese replied that staff had a couple of companies come in and visit with them and they did the calculations and
then staff gave the calculations to SRP who checked and verified the numbers and reported that the numbers might be
a little bit high but the Town is going to see a savings. He said that staff was relying on the experts to help them with
this process and that is what they came up with.
Councilmember Elkie asked whether Mr. Rees has had an opportunity to visit a site where a solar system project
similar to the one being proposed was put in and later taken out. He commented that if it turns out that there is another
company 10 years from now that can save the Town even more money if they extricated themselves from this system
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or if a future Council decided they didn't want to use solar he would just like to know how they extricate themselves
and how the sites look after that.
Mr. Reese informed Councilmember Elkie that he does not know of anyone who has left a solar project like this and
Councilmember Elkie pointed out that it could be that many of them are still in their 20-year terms.
Mayor Kavanagh advised that she met with a couple of representatives from SRP herself and she has another meeting
in October to talk about this very issue and a big caution was brought up because apparently some schools have gone
solar like this and because of how they set up their system without some really good advice from SRP they are actually
owing money now (one owes $10,000). She advised that she knows that Safeway is thinking of doing this and she
wonders if it would be prudent to wait and let Safeway put t his in. She stated that this would give everyone an
opportunity to see it because just from the pictures it looks like it would change the whole complexion of the look that
they have right now with their Civic Plaza. She added that then they could also h ave some discussion with Safeway as
to whether it came out the way they expected. She said that she knows the one thing that SRP told her is that Safeway
may be able to break even because they are open seven days a week and they have lots of refrigeration , freezers and
bright lights so they are most likely looking for an amenity for their customers so even if they just break even they will
be happy with that. She reiterated that this would be a prudent way to go and then they can see residents' reaction t o it
and the aesthetics of it and then have a real discussion on whether they would actually be saving money with it (taking
into consideration they are open seven days a week, long hours and the Town is only open four days a week). She
added that she thinks this would be a good model.
Councilmember Elkie commented that he is all for saving money but he would like to know whether other options
have been explored other than parking shade structures, such as tops of buildings, which are not visible and so the
aesthetic issue would not be raised.
Mr. Rees responded that staff has explored just about every option for solar in the Town. He pointed out that they
have limited space and stated that they looked into rooftops, both at the Community Center and Town Hall, but the big
drawback with that is the Town's roofs are 14 years and 10 years old respectively and they would need to put in a new
roof on the Community Center before attempting to put solar on top of it (as well as the Library).
Councilmember Elkie questioned whether that would be an option if the roofs were not in need of repair and Mr. Rees
replied yes.
Mr. Rees referred to a number of years ago and said when the Town had a grant they did an audit of all of their
buildings (all 110,000 square feet) and an audit on energy savings and based on the recommendations, they put those
measures into play. He reported that they have done everything from LED lighting to redoing lighting over at the
Community Center, the Library and the Museum.
Mr. Buchanan stated that they do not have enough roof square footage equivalent to what is going to be needed and
Mr. Rees advised that the size system that would fit on the Town Hall, Community Center, Library and physical plan
would be about a 440 kW system so they could do it but it would be after roof replacement.
Councilmember Brown asked about the longevity of a collector (how long will a good collector last in Arizona) and
Mr. Reese advised that if you talk to the people out there that have been using solar for years, the solar panels can last
a long, long time, long after they are expected to last. He added that the y may not generate as much but they will still
generate power (good ones don't just die).
Councilmember Brown noted that that is considerably different from what he has been reading and questioned whether
the inverters are a 20-year investment.
Mr. Rees responded no, they are not and said that the large one he showed earlier at the Mesa site (outside and about
10-feet long and 6 to 7-feet tall) is probably pretty expensive to replace and the new ones that they are doing now, the
in-line inverters, are much smaller and protected from the sun have a much better life expectancy.
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Councilmember Brown asked what the 20-year buyout is for a system this size that they are looking at for the Town
and Mr. Rees stated that he cannot say exactly what the figure would be but noted that they did tell him that it would
be at a significant savings -- it is a cost that is negotiated up front.
Councilmember Brown advised that he sees solar as a truly up and coming practice especially in Arizona where they
have plenty of sun. He added that he would be very hesitant to think that the collectors would last 20 year and then for
the Town to buy them at the end of 20 years. He said that maybe they can negotiate a zero buyout or something like
that but other than that he would be quite hesitant to even talk with them.
Mr. Rees pointed out that there is the one company that he just got done talking with and this is the same one that is
going to do the Safeway project and they offer two 5-year extensions on the contract, so it would be a 30-year contract
and they would still take care of all of the equipment.
Councilmember Dickey commented that she thinks the RFP process is a way to get around the rate because that is why
they couldn't move forward before, they couldn't get it down to an acceptable rate. She referred to all of the
protections they would want before the Town moved forward with something like this and noted that that would be a
product of the RFP. She added that the idea of waiting for Safeway is kind of a full c ircle and stated that one of the
things in 2006, she thinks at her first meeting, staff was really mad at her but they were going to spend over $400,000
for parking for police cars and for staff and the money was already in the budget for this to happen. She advised that
she questioned doing something like that without first looking into solar. She advised that she understands the caution
but she also thinks if you go to ASU, the City of Scottsdale, the examples that were mentioned, you have to ask are
they all just making irresponsible decisions or is there a model for the Town to follow that would make this a success.
She stated that bottom line is they would be using less energy, taking less energy -- they would be creating energy,
which is kind of a goal in itself in addition to the savings that would be realized. She further advised that obviously
she is in favor of moving forward with this and pointed out that they had been waiting for the numbers to pencil the
rate. She added that she wants to move ahead but not in a reckless manner, she would like to move ahead and do an
RFP in a way that addresses the various items. She pointed out that the City of Mesa has these things all over the
place, so does ASU and a lot of school districts are doing it as well.
Mayor Kavanagh stated that a number of the solar companies have gone out of business and asked what would happen
if the Town went into business with one and then five years from now they closed up, what happens?
Mr. Rees responded that he can't answer that but said that if they entered into a contract with a reputable company that
other municipalities have already vetted, the odds are definitely in their favor. He added that a lot of those companies
offer their purchasing power with no escalators (the cost of the electricity purchases from them does not go up during
the life of the contract).
Mayor Kavanagh advised that she would feel a lot better with this if SRP was on board but when she spoke to them
they certainly were not on board with it and they were very cautious and stated that there have been a lot of mistakes
out there. She also noted that ASU got a special deal with APS and that is why they were able to do that and of course
they are using taxpayer dollars so that is always easier to do than private companies. She said that there is a lot to be
cautious about and she does not see any reason to jump in.
Vice Mayor Yates stated that he wouldn't be totally against going through the RFP process but he would like to know
what it would cost.
Mr. Buchanan informed the Council that there would be some staff time in terms of hours and some legal costs to put
it together.
Mayor Kavanagh said that with Safeway using the same company she doesn't see what the big rush is and why they
can't just wait and see how successful it is for them because that is going to tell them a lot. She added that she believes
that would be a great model.
Councilmember Dickey advised that if they went out for an RFP they have no way of knowing whether they would get
that company and added that they are able to create the conditions they want when they put out an RFP and nothing is
going to happen at Safeway that hasn't already happened in all the other cities, stores and schools that have moved
forward on this. She further stated that she doesn't think that SRP and APS are all that solar friendly these days and it
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is competition for them and they are trying to sell energy in a different way. She added that she certainly welcomes
their input and their expertise but she is not going to necessarily take advice on whether they move forward with
something like this that would provide shade structures. She pointed out that when they talked about shade structures
before for the Police Department, the cars needed to be out of the sun, they have all of this electronic equipment so
they are getting free infrastructure and then obviously the energy savings.
Mayor Kavanagh said that one of the other reasons why she would like to see Safe way go first is because she wants to
look at the aesthetics and what it actually looks like. She added that she also wants to find out how the residents feel
about it because they might say that it is really ugly and they don't want it in their Town.
Vice Mayor Yates asked when the solar project will begin on the Safeway store and Mr. Rees advised that Safeway is
putting solar in on all of their stores -- it is in line but not in the queue yet.
Councilmember Leger advised that he is interested in a project like this because of their revenue and their capacity for
revenue and said that any savings on electricity would be a positive gain. He added that he agrees with
Councilmember Dickey that they should go out with an RFP and look at this issue.
Mayor Kavanagh pointed out that SRP said that they could look at Safeway and how much power they generate versus
how effective solar is and they would be able to determine if successful whether that model could be transferred to the
Town and be successful for them.
Councilmember Leger said that the Town's goal is different than Safeway's and any monies saved is a plus for the
Town.
Mayor Kavanagh said that there is a chance that they might not save any money at all and that there are no guarantees
and Mr. Rees clarified that there is a performance guarantee. Mayor Kavanagh asked how that would work and Mr.
Rees responded that if he is not mistaken there is an ARS Statute that covers performance contracting through
municipalities. He stated that when you enter into performance contracting you are required to produce what you say
you are going to produce for the person that they are contracting with.
Councilmember Dickey MOVED to proceed with the development of a Request for Proposals (RFP) for a Solar
Services Agreement (SSA)/Power Purchase Agreement (PPA) or Cooperative Purchasing Agreement for a Solar
Generating System at the Cutillo Civic Plaza and Councilmember Brown SECONDED the motion.
Town Attorney Andrew McGuire clarified that the motion is to move forwar d with an RFP keeping open the option of
using Cooperative Purchasing with one of the other cities.
Councilmember Dickey replied yes, to proceed with anything that is going to benefit the Town.
Vice Mayor Yates MOVED to amend the motion by adding the three options within the RFP -- he would like all of the
options on the table.
Councilmember Dickey pointed out that all three are in her motion and Vice Mayor Yates RESCINDED his
amendment to the motion.
There were no citizens wishing to speak on this agenda item.
A roll call vote was taken with the following results:
Mayor Linda Kavanagh Nay
Councilmember Ginny Dickey Aye
Councilmember Dennis Brown Aye
Vice Mayor Cecil Yates Aye
Councilmember Cassie Hansen Aye
Councilmember Tait Elkie Aye
Councilmember Henry Leger Aye
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The motion CARRIED BY MAJORITY VOTE (6-1) with Mayor Kavanagh voting Nay.
AGENDA ITEM #13 - CONSIDERATION OF ORDINANCE 14-09, AMENDING THE TOWN CODE,
CHAPTER 9, REGARDING FIREARM COMPLIANCE.
Town Manager Ken Buchanan addressed the Council relative to this agenda item and advised that all cities and towns
in Arizona are required to adhere to the new firearms laws. He referred to Ordinance 14 -09 and stated that it amends
the Town Code provisions that previously banned weapons in all Town-owned parks, in order to ensure that the
provisions are compatible with State law. He said that he and/or the Town Attorney would be happy to answer any
questions regarding this agenda item and added that staff recommends approval.
In response to a request from the Mayor, Town Attorney Andrew McGuire explained how they got to this point. He
stated that many years ago they received a complaint that there was no signage in the park indicating the Town's ban
on weapons in the park and so the Town put up signage about the ban and State law changed and now the signs are
inaccurate. He said that they are now being requested to remove the inaccurate signs and so they took a look at the
Code and realized that they probably should add a State law exception proviso to the language in the Code so that
whatever the State law is the Town will be in compliance with it. He stated that they will also remove the weapons
ban signs in the park.
In response to request by Councilmember Leger to explain what happened in layman's terms for the benefit of the
public, Mr. McGuire provided a brief explanation of what has occurred.
Richard Davidson addressed the Council and said he used to be a fourth grade teacher here and is still a resident of the
Town. He added that he is still a teacher and is concerned about the children in the Town. He said that a lot of things
happen under the radar. He stated that he was shocked to learn a few years ago that the State requires cities and towns
to allow gun shows and now this law requires them to remove prohibitions on weapons from the parks. He noted that
he is concerned about the safety of the Town as well as the image of the Town and pointed out that there is a
movement taking place for people to display their weapons and he is concerned about what is going to happen.
Mayor Kavanagh thanked Mr. Davidson for his remarks.
Councilmember Dickey said that this was a good meeting and they had some good dialogue. She added that she
doesn't really relish pointing this out yet again but the Legislature has demanded once more that the Town bow to their
ideas like the gentleman just said and want to control what the Town's ordinances say. She stated that no matter what
the issue is, whether it be fireworks or signage, how and when they vote and whether there are visible firearms at the
Splash Park, they are not being served by their representatives, their Legislators, because they refuse to respect local
wishes. She advised that she is not going to support this despite the Legislatures' attempt last year to allow elected
officials to be held personally liable in they dared not to go along with a mandate. She referred to the Tourism
presentation and the discussion on how much they want people to come to Town and she thinks this is counterintuitive
to that. She said she wishes that the Legislators would listen to their constituents.
Mayor Kavanagh advised that this is State law and asked for a motion to be brought forward.
Councilmember Brown MOVED to approve Ordinance No. 14-09 and Vice Mayor Yates SECONDED the motion.
A roll call vote was taken with the following results:
Mayor Linda Kavanagh Aye
Councilmember Ginny Dickey Nay
Councilmember Dennis Brown Aye
Vice Mayor Cecil Yates Aye
Councilmember Cassie Hansen Aye
Councilmember Tait Elkie Aye
Councilmember Henry Leger Aye
The motion CARRIED BY MAJORITY VOTE (6-1) with Councilmember Dickey voting Nay.
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AGENDA ITEM #14 - REVIEW WITH POSSIBLE DIRECTION TO STAFF REGARDING THE ARIZONA
LEAGUE OF CITIES AND TOWNS' LEGISLATIVE PROGRAM FOR THE 2015 LEGISLATIVE SESSION.
Town Manager Ken Buchanan addressed the Council relative to this agenda item and said that the Council has in their
packets a review with possible direction to staff regarding the Arizona League of Cities and Towns' Legislative
Program for the 2015 Legislative Session. He reported that 21 resolutions were considered by the Resolutions
Committee and by the Executive Committee of the League and 16 were approved and 2 League Staff
Recommendations were also approved and the Council also has that information in their packets. He stated that they
are getting ready for the Legislative Session starting in January and this basically starts it for the League of Cities &
Towns, the platform that they have, so if the Council wants staff to start considering any of them or highlighting and
paying attention to any, staff would appreciate direction in that regard. He noted that this item will be on the agenda
from now on.
Mayor Kavanagh commented that the League said they are not going to meet to discuss this until early November.
AGENDA ITEM #15 - COUNCIL DISCUSSION/DIRECTION TO THE TOWN MANAGER KEN
BUCHANAN.
Items listed below are related only to the propriety of (i) placing such items on a future agenda for action or (ii)
directing staff to conduct further research and report back to the Council.
A. None.
AGENDA ITEM #16 – SUMMARY OF COUNCIL REQUESTS AND REPORT ON RECENT ACTIVITIES
BY THE MAYOR, INDIVIDUAL COUNCILMEMBERS AND THE TOWN MANAGER.
Town Manager Ken Buchanan addressed the Council relative to this agenda item and reported that the Notice to
Proceed on the Shea project was given last week and they should be mobilizing this week. He added that staff also
called out for bids on the Saguaro project yesterday and the Council has been provided copies of the schedule.
Councilmember Elkie asked for an update on the status of the Avenue of the Fountains project and Mr. Buchanan
advised that there are a few things that they are a little behind on and they just received power to the median last week.
He noted that the hardscape is still a little bit behind and he believes that it will all come together by the end of
October.
AGENDA ITEM #17 - ADJOURNMENT.
Vice Mayor Yates MOVED to adjourn the Regular Council meeting and Councilmember Elkie SECONDED the
motion, which CARRIED UNANIMOUSLY (7-0). The meeting adjourned at 9:12 p.m.
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TOWN OF FOUNTAIN HILLS
By _______________________________
Linda M. Kavanagh, Mayor
ATTEST AND
PREPARED BY:
_________________________
Bevelyn J. Bender, Town Clerk
CERTIFICATION
I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Executive and Regular
Sessions held by the Town Council of Fountain Hills in the Fountain Conference Room - 2nd Floor (Executive) and
Town Hall Council Chambers (Regular) on the 18th day of September, 2014. I further certify that the meetings were
duly called and that quorums were present.
DATED this 2nd day of October, 2014.
_____________________________
Bevelyn J. Bender, Town Clerk