HomeMy WebLinkAbout2017.0119.TCRM.MinutesTOWN OF FOUNTAIN HILLS
MINUTES OF THE REGULAR SESSION OF THE
FOUNTAIN HILLS TOWN COUNCIL
JANUARY 19, 2017
REGULAR SESSION
CALL TO ORDER AND PLEDGE OF ALLEGIANCE
Mayor Kavanagh called the meeting to order at 6:30 p.m. in the Fountain Hills Town Council Chambers.
INVOCATION — Rabbi Mende Lipskier, Chabad of Fountain Hills.
ROLL CALL -
Present for roll call were the following members of the Town Council: Mayor Linda Kavanagh, Vice Mayor Nick
DePorter, Councilmember Alan Magazine, Councilmember Cecil Yates, Councilmember Dennis Brown,
Councilmember Art Tolis, Councilmember Henry Leger. Town Manager Grady E. Miller, Town Attorney Andrew
McGuire and Acting Town Clerk Nancy Walter were also present.
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i) THE MAYOR WILL READ A PROCLAMATION DECLARING FEBRUARY 9, 2017 AS PONY
EXPRESS DAY IN THE TOWN OF FOUNTAIN HILLS.
Mayor Kavanagh read the proclamation (available on line or in the office of the Town Clerk) declaring February 9,
2017, as Pony Express Day in the Town of Fountain Hills.
ii) THE MAYOR WILL READ A PROCLAMATION RECOGNIZING PASTOR DON LAWRENCE
FOR HIS CONTRIBUTIONS TO THE TOWN OF FOUNTAIN HILLS.
Mayor Kavanagh read the proclamation (available on line or in the office of the Town Clerk) recognizing Pastor
Don Lawrence for his contributions to the Town of Fountain Hills. Mayor Kavanagh stated that Pastor Lawrence
would be retiring from the Christ's Church of Fountain Hills and would give his last sermon on January 29, 2017.
SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS
Mayor Kavanagh introduced Town Manager Miller who reported on the Town's nomination for their public arts
collection as part of the "Governor's Annual Arts Award" program. Town Manager Miller explained along with the
support given by the Cultural and Civic Association and the Town there was a good chance of placing in the
competition held at the May gala in Phoenix.
i) THE MAYOR AND/OR COUNCIL MAY REVIEW RECENT EVENTS ATTENDED RELATING
TO ECONOMIC DEVELOPMENT.
Mayor Kavanagh reported that in his opening speech, Governor Ducey spoke during the 53rd Legislative Session
and called for a renewed effort to bring back the movie industry to Arizona. Mayor Kavanagh noted that during
their last Maricopa Association of Governments (MAG) Economic Development meeting there was a presentation
by "Sneaky Big Studios" a world class production studio located in Scottsdale. Mayor Kavanagh also mentioned
that during the production of a segment of "Waiting to Exhale' staring Whitney Huston, some residents of
Fountain Hills participated in the filming.
Mayor Kavanagh expressed excitement that "Apple" had proposed to expand their plant and capabilities located in
Mesa, Arizona by producing high-tech manufactured finishing products.
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CALL TO THE PUBLIC
Mayor Kavanagh asked if there were any requests to speak and Acting Town Clerk Walter answered there were no
requests received.
CONSENT AGENDA
AGENDA ITEM #1 - CONSIDERATION OF APPROVING THE TOWN COUNCIL MEETING MINUTES
FROM JANUARY 5, 2017.
AGENDA ITEM #2 - CONSIDERATION OF APPROVNG A FAIR/FESTIVAL LIQUOR LICENSE
APPLICATION FOR GRAND CANYON WINERY, INC. (CHARLES MARTINET) TO BE LOCATED
ALONG THE AVENUE OF THE FOUNTAINS IN CONJUNCTION WITH THE FOUNTAIN HILLS FINE
ART AND WINE AFFAIRE, FROM 10:00 AM TO 5:00 PM DAILY, FROM MARCH 24, 2017, THROUGH
SUNDAY, MARCH 25, 2017.
AGENDA ITEM #3 - CONSIDERATION OF APPROVING A SPECIAL EVENT LIQUOR LICENSE
APPLICATION FOR THE VETERANS OF FOREIGN WARS POST #7507 (BORIS BILOSKIRKA) FOR
THE PROMOTION OF A FUND RAISER TO BE HELD AT TWO LOCATIONS: (1) AT VERDE RIVER
DRIVE AND (2) PM SAGUARO BOULEVARD, BETWEEN PAUL NORDIN PARKWAY AND AVENUE OF
THE FOUNTAINS, FOUNTAIN HILS, AZ, IN CONJUNCTION WITH THE FOUNTAIN HILLS GREAT
FAIR FROM 10:00 AM TO 6:00 PM DAILY, FRIDAY, FEBRUARY 24, 2017, THROUGH SUNDAY,
FEBRUARY 26, 2017.
AGENDA ITEM #4 — CONSIDERATION OF APPROVING A FAIR/FESTIVAL LIQUOR LICENSE
APPLICATION FOR CELLAR 433 (JOHN MCLOUGHLIN) FOR THE PROMOTION OF A FUND RAISER
TO BE HELD ON AVENUE OF THE FOUNAINS, IN CONJUNCTION WITH THE FOUNTAIN HILLS
FINE ARTS AND WINE AFFAIRE, FROM 10:00 AM TO 5:00 PM DAILY, FROM FRIDAY, MARCH 24,
2017, THROUGH SUNDAY, MARCH 26, 2017.
Mayor Kavanagh requested a motion on the consent agenda items as written.
Councilmember Yates MOVED to approve the Consent Agenda as listed and Councilmember Magazine
SECONDED the motion.
A roll call vote was taken with the following results:
Vice Mayor DePorter
Aye
Councilmember Magazine
Aye
Councilmember Leger
Aye
Councilmember Tolis
Aye
Councilmember Yates
Aye
Councilmember Brown
Aye
Mayor Kavanagh
Aye
The motion CARRIED UNANIMOUSLY (7-0).
REGULAR AGENDA
AGENDA ITEM #5 — CONSIDERATION OF RESOLUTION 2017-01. ABANDONING WHATEVER RIGHT
TITLE, OR INTEREST THE TOWN HAS IN THE CERTAIN PUBLIC UTILITY AND DRAINAGE
EASEMENT LOCATED AT THE REAR PROPERTY LINE OF PLAT 602A, BLOCK 1, LOT 36 (15524 E.
CAVERN DRIVE). AS RECORDED IN BOOK 161, PAGE 42. RECORDS OF MARICOPA COUNTY.
ARIZONA. (EA2016-07
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Town Manager Miller explained that this type of item would routinely be addressed on the consent agenda but due to
concerns expressed by a resident, Town Engineer Randy Harrel placed the abandonment for discussion and Council's
consideration.
Mr. Harrel stated that neighboring resident Greg Hathaway requested to address Council concerning the requested
abandonment even through it was declared that the abandonment was standard with all utility companies issuing their
approval along with Town staff's determination that the drainage easement was no longer needed. Mr. Harrel
confirmed that staff's recommendation was to approve Resolution 2017-01.
Mr. Harrel asked if there were any speaker cards and Acting Town Clerk Walter stated none were received.
Mayor Kavanagh asked if Mr. Greg Hathaway was in attendance to speak. Mr. Hathaway was not present to address
the Council.
Councilmember Leger asked what was Mr. Hathaway's concern and Mr. Harrel answered that Mr. Hathaway believed
the abandonment would allow the owner to put a masonry wall at the property line which he believes is not in keeping
with the neighborhood and its aesthetics. Mr. Harrel stated he explained to Mr. Hathaway that his objection was not
relevant to a public Utility Easement/Drainage Easement abandonment request.
Councilmember Leger asked if the properties were located in a homeowner's association and Mr. Harrel answered that
it may be located in the Neighborhood Property Owners' Association (HPOA). Councilmember Leger pointed out that
if this property was held under one of these restrictive bodies, this issue could then be addressed by them.
Mayor Kavanagh asked if there was further discussion or questions from Council, otherwise, she requested a motion.
Councilmember Brown MOVED to approve Resolution 2017-01, abandonment of the public utility and drainage
easement at 15524 E. Cavern Drive (Plat 602A, Block 1, Lot 36), with stipulations and Councilmember Yates
SECONDED the motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #6 — CONSIDERATION OF AN AGREEMENT OF SALE BETWEEN THE TOWN OF
FOUNTAIN HILLS AND FOUNTAIN HILLS THEATER, INC., FOR SALE OF THE COMMUNITY
THEATER PROPERTY.
Town Manager Miller explained the process of sale used in this request with one -bid received from the Fountain Hills
Theater and had staff's recommendation for acceptance of the Theater's purchase agreement since capital
improvements exceed the appraised value of the property.
Councilmember Leger asked what the appraised value of the property was and Town Manager Miller reported
approximately $269K and with the consideration to the theater's in-kind capital improvements to the facilities, staff
believed their investment was much higher than reported of $577K.
Councilmember Leger asked what were the deed restrictions and Town Attorney McGuire answered that the property
would be required to operate as a community theater for a 15 year period following sale ensuring the use would
continue. Town Attorney McGuire added that in the future Council could lift the restriction if they deem it reasonable.
Councilmember Leger asked about the payment of closing costs and Town Attorney McGuire assured they would be
paid by the Fountain Hills Theater.
Councilmember Tolis asked if the Town could receive a tax write-off or any other benefit if they donated the property
to the theater and Town Manager Miller answered the Town was a tax exempt organization. Town Attorney McGuire
added that this property was previously gifted to the Town from MCO Properties and staff stated in their Request for
Proposals (RFP) that all property improvement costs would be considered as part of the purchase price through an
open bid process since the Town could not give property away.
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Mayor Kavanagh asked if there were any speaker cards and Acting Town Clerk Walter answered none were received.
Mayor Kavanagh asked if there was further discussion or questions from Council, otherwise, she requested a motion.
Councilmember Yates MOVED to approve a purchase agreement authorizing the sale of Town Property at 11445 N.
Saguaro Boulevard to Fountains Hills Theater, Inc. and Vice Mayor DePorter SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #7 — CONSIDERATION OF RATIFYING THE TOWN MANAGER'S EMERGENCY
PROCUREMENT RELATED TO REPAIRS TO THE FOUNTAIN LAKE AERATION SYSTEM AND
AUTHORIZING THE TOWN MANAGER TO EXECUTE CONTRACTS RELATED TO THE REPAIRS IN
AN AMOUNT NOT TO EXCEED $203,000.
Town Manger Miller explained the reason for the emergency action involves Council's concerns that the June deadline
for repairs would be after the time the lake odors would rise due to the accumulation of algae. Town Manager Miller
stated that it was determined through the procurement policy that the repairs to the Fountain Lake aeration system
could be expedited reducing the time of completion to eight to ten weeks. He then introduced Community Services
Director Mark Mayer who continued the discussion.
Mr. Mayer explained that upon choosing a contractor from a short list of qualified contractors the aeration system
would then be expedited with Council's approval. Mr. Mayer noted the lake would receive four new compressors, 16
new dual dome diffusers, 10 new horizontal movers to move the algae out of the coves, allowing the water to turn-over
in one day compared to the current seven day turnover which is a 700% improvement. Mr. Mayer pointed out there
would be electrical cost savings and less wear and tear on the motors with the new system.
Councilmember Yates asked about the limited bidding process and Mr. Mayer explained that through the emergency
declaration, this process could be accelerated. Councilmember Yates clarified that the vendor had already been chosen
and Council was approving the action and Mr. Mayer agreed and added the proposed bid was substantially lower than
previously quoted. Town Manager Miller pointed out that there was an allocation of $203K for this project, which the
bid was substantially lower than previously stated and this allows for funding for issues not anticipated during the
project. He noted staff would then have the pre-construction availability to fund those project issues with Council's
approval this evening and help expedite the project.
Councilmember Yates mentioned that an estimate previously discussed and presented was $250K and Mr. Mayer
stated the original estimate was $125K with the next higher bidder a little higher at $165K, which was substantially
less than the second qualifying bid.
Councilmember Magazine asked what the definition of an emergency was and Mr. Mayer answered a breech or
compromise of a public facility and noted the wording was broadly stated. Town Attorney McGuire added that the last
revised amendment of the procurement code and procurement rules now contained the definition that included "danger
to public facilities" as an exception where the Town Manager could take action when it was above his authorization
limit and then the Manager's action would be later ratified by Council. Councilmember Magazine proposed that staff
should be careful in the future on declaring an emergency.
Councilmember Magazine asked how much of the odor would be eliminated with this upgrade and Mr. Mayer
answered it depended on the weather and added the lake consultant stated the Town should see at the least a substantial
reduction in odor along with cost savings by not running the system at night. Councilmember Magazine noted that
people would then see this emergency action was in the community's best interest.
Vice Mayor DePorter questioned the long-term solution for the lake odor and Mr. Mayer responded that the system
was exactly what the consultant recommended and was not a minimum solution.
Town Manager Miller pointed out there were three other system upgrades recommended and the Town would need to
address them in the future. The first would be a whole new control system in the pump house. The second one would
be to store water directly from the Sanitary District for grass irrigation, and, thirdly, chemically treat the lake water
completely, which would eliminate the odor.
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Mayor Kavanagh asked if the disc players' hooks placed in the water would damage the new system and Mr. Mayer
assured her that the contract called for the system to be located far enough away and not an issue.
Mayor Kavanagh asked if there was further discussion or questions from Council, otherwise, she requested a motion.
Mayor Kavanagh asked if there were any speaker cards and Acting Town Clerk Walter answered none were received.
Councilmember Leger MOVED to approve the ratification of the Town Manager's emergency procurement related to
repairs to the Fountain Lake aeration system and authorize the Town Manager to execute a contract and related
services not to exceed $203K related to repairs to the aeration system and Councilmember Yates SECONDED the
motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #8 — DISCUSSION WITH POSSIBLE DIRECTION TO STAFF RELATING TO ANY ITEM
INCLUDED IN THE LEAGUE OF ARIZONA CITIES AND TOWNS WEEKLY LEGISLATIVE BULLETIN
OR RELATING TO ANY ACTION PROPOSED OR PENDING BEFORE THE STATE LEGISLATURE.
Town Manager Miller explained that the State Legislature was in session and this agenda item would allow Council to
review the League of Cities and Towns bulletin including their analysis of the bills and their impact to the Town. This
would allow Councilmembers to request an item from the bulletin to be placed on the Town Council agenda for further
discussion and when necessary could request staff research the issue prior to the meeting. Town Manager Miller also
mentioned that at the direction of Council a letter could be written and submitted to the League expressing support or
lack of support.
Mayor Kavanagh added that continued regular phone calls on Mondays into the League would continue with Town
Manager Miller and her to discuss the week's new issues.
AGENDA ITEM #9 — COUNCIL DISCUSSION/DIRECTION TO THE TOWN MANAGER.
i) None
AGENDA ITEM #10 - SUMMARY OF COUNCIL REQUESTS AND REPORT ON RECENT ACTIVITIES
BY THE MAYOR, INDIVIDUAL COUNCILMEMBERS, AND THE TOWN MANAGER.
Mayor Kavanagh stated she attended the 53rd Legislative Session with Gary Lvov, a former business person of the
year, for the swearing in of Senator John Kavanagh and listened to Governor Ducey's budget plan.
Mayor Kavanagh stated that she attended the East Valley Chamber of Commerce Alliance Breakfast along with
Governor Ducey, FH Chamber CEO Scott Soldat-Valenzuela, and several business owners and board members. She
acknowledged that the Fountain Hills Chamber of Commerce is a member of the East Valley Chamber of Commerce
Alliance.
Mayor Kavanagh mentioned a ribbon cutting for a new Fountain Hills business "Gym for Dogs" located at the Plaza
Fountainside.
Mayor Kavanagh welcomed the Consulate General of the Republic of Poland from Los Angeles, Mariusz Brymora and
his wife Grazyna, to Fountain Hills with a tour followed by another great tour with Captain Letourneau and Lieutenant
Overton and stated they expressed their appreciation for these tours.
Mayor Kavanagh spoke at the "Tribute for Sheriff Joe Arpaio" and his wife Ava fundraiser for the "Extended Hands
Food Bank" at the Community Center. Speakers included Senate John Kavanagh, Dave Iverson, Steven Seagal, Dr.
C.T. Wright, Captain Jerry Sheridan, and Master of Ceremony Mike Broomhead.
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Mayor Kavanagh expressed her excitement for the opening of the Town's Community Garden and noted that all the
current beds had sold out with a second phase to be created in the future. She thanked Dr. Jyoti Patel, who
spearheaded the project, along with the many volunteers, corporate sponsors, and the Town.
AGENDA ITEM #17 - ADJOURNMENT
Councilmember Yates MOVED to adjourn the meeting and Vice Mayor DePorter SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0). The Regular Session adjourned at 7:08 p.m.
TOWN OF FOUNTAIN HILLS
IM
ATTEST AND
PREPARED BY:
Nancy Walter, Acting Town Clerk
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Linda M. Kavanagh, Mayor
I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Regular Session held by the
Town Council of Fountain Hills in the Town Hall Council Chambers on the 19d`day of January, 2017. I further certify
that the meeting was duly called and that a quorum was present.
DATED this 2nd day of February, 2017.
Nancy Walter, Acting Town Clerk
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