HomeMy WebLinkAbout2018.0501.TCRM.MinutesMINUTES OF THE REGULAR SESSION OF THE
FOUNTAIN HILLS TOWN COUNCIL
MAY 1, 2018
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Mayor Kavanagh called the meeting to order at 5:30 p.m. in the Fountain Hills Town Hall Council Chambers.
INVOCATION — Reverend Dr. Cathy Northrup, Verde Community Church was not present. Mayor Kavanagh
requested a moment of silence.
ROLL CALL - Present for roll call were the following members of the Town Council: Mayor Linda Kavanagh,
Vice Mayor Dennis Brown, Councilmember Nick DePorter (via conference call), Councilmember Alan Magazine,
Councilmember Cecil Yates, Councilmember Art Tolis, and Councilmember Henry Leger. Town Manager Grady E.
Miller, Interim Town Attorney Mitesh Patel and Town Clerk Bevelyn Bender were also present.
MAYOR'S REPORT
i) THE MAYOR WILL READ A PROCLAMATION DECLARING MAY 3, 2018, AS FOUNTAIN
HILLS DAY OF PRAYER IN THE TOWN OF FOUNTAIN HILLS.
Mayor Kavanagh read the proclamation and asked the prayer group in attendance to join her at the dais. It
was announced that a prayer meeting would be held on Thursday, May 3, 2018 at the Fountain Hills
amptheater, with refreshments provided and attended by Mayor Kavanagh who would officially present the
prayer group a plaque to celebrate the 67th anniversary of the "National Day of Prayer".
ii) THE MAYOR WILL READ A PROCLAMATION DECLARING MAY 6-12,2018, AS MUNICIPAL
CLERKS WEEK IN THE TOWN OF FOUNTAIN HILLS.
Mayor Kavanagh read the proclamation and asked Town Manager Miller to comment. Mr. Miller
acknowledged Fountain Hills' Town Clerk, Bevelyn J. Bender for her years' of service to the Town as Town
Clerk since 2003. Mr. Miller noted her professionalism and assistance to everyone in Town and presented
Ms. Bender with flowers as a token of appreciation from Mayor, Council and staff.
Councilmember Yates mentioned how well known Ms. Bender's reputation was in other municipalities
across the valley by her peers. Mayor Kavanagh also spoke highly of her work and dedication.
*Mayor Kavanagh announced that regular agenda item #9 had been removed from tonight's agenda at the
request of the applicant.
SCHEDULED PUBLIC APPREARANCES/PRESENTATIONS
i) THE MAYOR AND/OR COUNCIL MAY REVIEW RECENT EVENTS ATTENDED RELATING
TO ECONOMIC DEVELOPMENT.
Mayor Kavanagh reported on the Maricopa Association of Government (MAG) Economic Development
meeting held today that included a presentation from a representative from Arizona State University
(ASU) "Fulton's School of Engineering" and added ASU had one of the largest Engineering programs in
the United States with over 21K students representing all 50 states and many other countries and created a
high volume of income for the valley.
Mayor Kavanagh spoke to the cost of living in the "Silicon Valley" compared to the Phoenix area along
with graduation rates, income and home purchase costs and high that gave Arizona the ability to attract
businesses compared to the California area.
Councilmember Yates reported on the Maricopa Association of Government (MAG) Regional Council
Meeting and noted the recent high growth rate in the valley. Councilmember Yates pointed out that areas
in Phoenix had planned to address the growth through infrastructure, which ultimately raised construction
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costs due to the increase of awarded contracts. He also mentioned the lack of available apartments at this
time and acknowledged the apartments being built in Fountain Hills.
Councilmember Yates also reiterated the "911" texting element now available for emergency calling for
Town residents and if someone was unable to speak into their phone.
CALL TO THE PUBLIC
Mayor Kavanagh asked if there were any requests to speak and Town Clerk Bender answered two requests were received.
Jim Judge, a 14 -year resident of Fountain Hills, spoke in support of the proposed Primary Property Tax and expressed that
he was impressed with Town Manager Miller and Financial Director Craig Rudolphy for their professionalism,
knowledge, and courtesy when answering citizen's questions.
Bo James, a Fountain Hills resident, spoke in support of the proposed Primary Property Tax and encouraged Town voters
to support the tax.
CONSENT AGENDA
AGENDA ITEM #1 — CONSIDERATION OF APPROVING THE TOWN COUNCIL MEETING MINUTES
FROM AND MARCH 13, MARCH 20, AND APRIL 3, 2018.
AGENDA ITEM #2 — CONSIDERATION OF APPROVING RESOLUTION 2018-17, ABANDONMENT OF
PORTIONS OF THE PUBLIC UTILITY AND DRAINAGE EASEMENTS ON PLAT 107 BLOCK 12 LOT
16 (15049 N. CALLE DEL PRADO), AS RECORDED IN BOOK 141, PAGE 18, RECORDS OF MARICOPA
COUNTY, ARIZONA. (EA 2018-02)
AGENDA ITEM #3 — CONSIDERATION OF APPROVING RESOLUTION 2018-19, ABANDONMENT OF
A PORTION OF THE PUBLIC UTILITY AND DRAINAGE EASEMENTS ON PLAT 202, BLOCK 8, LOT
30 (14218 N. NEWMARKET COURT), AS RECORDED IN BOOK 141, PAGE 17, RECORDS OF
MARICOPA COUNTY, ARIZONA. (EA 2018-04)
AGENDA ITEM #4 — CONSIDERATION OF APPROVING RESOLUTION 2018-33, GRANTING A
POWER DISTRIBUTION EASEMENT TO SALT RIVER PROJECT (SRP) AT THE FIRE STATION NO. 2
RELOCATION SITE (FOUNTAIN HILLS BOULEVARD AT MUSKRAT DRIVE) (EAA 2018-02)
AGENDA ITEM #5 — CONSIDERATION OF APPROVING A SPECIAL EVENT LIQUOR LICENSE
APPLICATION SUBMITTED BY THE ARIZONA MUNICIPAL CLERKS ASSOCIATION (LYNDA
BUSHONG), FOR THE MUNICIPAL CLERKS CONFERENCE TO BE HELD AT THE FOUNTAIN HILLS
COMMUNITY CENTER, 13001 N. LA MONTANA DRIVE, FOUNTAIN HILLS, AZ FROM 8:OOAM TO
S:OOPM ON TUESDAY, JULY 24, 2018, 8:OOAM TO S:OOPM ON WEDNESDAY, JULY 25, 2018, AND
8:OOAM TO S:OOPM ON THURSDAY, JULY 26, 2018.
AGENDA ITEM #6 — CONSIDERATION OF APPROVING A SPECIAL EVENT LIQUOR LICENSE
APPLICATION SUBMITTED BY THE FOUNTAIN HILLS & LOWER VERDE VALLEY MUSEUM &
HISTORICAL SOCIETY (LOUISE URSINI), FOR A FUNDRAISING DINNER EVENT TO BE HELD IN
THE GRAND BALLROOM OF THE FOUNTAIN HILLS COMMUNITY CENTER, 13001 N. LA
MONTANA DRIVE, FOUNTAIN HILLS, AZ FROM 5:00 PM TO 10:00 PM ON SATURDAY, AUGUST 18,
2018.
Councilmember Magazine MOVED to approve the consent agenda items as listed and Councilmember Yates
SECONDED the motion. which CARRIED UNANIMOUSLY (7-0).
Mayor Kavanagh requested a roll call vote.
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Mayor Kavanagh
Aye
Vice Mayor Brown
Aye
Councilmember Yates
Aye
Councilmember DePorter
Aye
Councilmember Magazine
Aye
Councilmember Leger
Aye
Councilmember Tolis
Aye
The motion CARRIED UNANIMOUSLY (7-0).
REGULAR AGENDA
AGENDA ITEM #7 — CONSIDERATION OF A REQUEST BY THE LA STRADA CONDOMINIUM HOME
OWNERS' ASSOCIATION FOR A WAIVER OF A CONDITION OF APPROVAL TO ALLOW
RESIDENTIAL EGRESS AT N. MOUNTAINSIDE DRIVE VIA THE WEST GATE OF THE LA STRADA
CONDOMINIUM DEVELOPMENT.
Mr. Miller introduced Director of Development Services Bob Rodgers who reviewed information in the staff report
and PowerPoint presentation (available on-line or in the office of the Town Clerk).
Mr. Rodgers explained this request related to residential access to enter and exit the La Strada Condominium
development from Fountain Hills Boulevard to the east and allow emergency and sanitation access on the west -side
only. Staff recommended Town Council approve their request for a waiver of a condition of approval to all residential
egress at North Mountainside Drive via the west gate of the Las Strada Condominiums and subject to completion of a
Traffic Engineer's full analysis of the intersection, analyzed and approved by the Town Engineer and the completion
of its recommendations. Mr. Rodgers pointed out that the applicants were present to answer Council questions.
Vice Mayor Brown asked why the stipulation was added originally to the plat at the time of development and Mr.
Rodgers replied staff had researched the 2002 plat approval and found the developer requested the issue not be
required, but was left as a stipulation, with no explanation discovered and was not a condition for approval, but stayed
in place.
Councilmember Leger understood some people were concerned with opening the gate and the possible impact on
traffic. Councilmember Leger also was told staff met with those concerned and committed to additional steps to
address their concerns. Mr. Miller replied that Villa de Es, a neighboring community and represented by Rita
Higgins who met with Town Engineer Randy Harrel and Public Works Director Justin Weldy where the Town
committed to painting stripes so the street appeared narrower and to slow down traffic and installation of the addition
of speed signs to improve safety.
Councilmember Magazine questioned the timing of opening the gate and Mr. Rodgers replied the gate would not be
opened until the Town received a traffic study along with any mitigation measures. Councilmember Magazine stated
he visited the site and noticed there were homes in the La Strada Condominium community that appeared to be 12 feet
from the gate and requested staff monitor the decimal levels and Mr. Rodgers replied the decimal level was
approximately 32 decimals and between 50 to 70 decimals when cars drove by. Mr. Rodgers added that voice
decimal level was 50 decimals. Councilmember Magazine understood a lot of people had issues with this request and
the measures the Town was taking to address concerns and wanted to know if there was any thought to the addition of
electronic speed signs and Mr. Miller replied that the request tonight was for Las Strada only and not the Villa de Es
community. Mitesh Patel, Interim Town Attorney, added Council needed to address the gate issue and La Strada.
Councilmember Magazine responded he believed the two issues were connected and recommended not opening the
gate until changes were made. Mr. Rodgers replied that changes may or may not be part of the engineer's
recommendation. Mr. Miller added the Town Engineer would be reviewing vehicle impact coming out of the gate
with a provided traffic study and the Public Works Director had proposed to stripe the street after evaluation and with
Council's approval and until then, the gate would remain closed.
Mayor Kavanagh was familiar with the area and had visited the La Strada Condominium site to review the traffic
situation and found the street was extra narrow with garbage cans in place ready for pick-up and appeared to only
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accommodate the garbage truck using the egress out of the gate and she could see there was a problem. Mayor
Kavanagh discussed the location and noticed the site obstruction from trees and added there were also parked cars on
the sidewalk and on the other side of the street parked in the dirt. Mayor Kavanagh believed there should be no
parking on the main road. Mayor Kavanagh found it was safe to egress with trimming for line of site issues.
Mayor Kavanagh asked if the road width was original and Mr. Rodgers replied that the Town Engineer stated it was
not. Mr. Rodgers added this gate had been open for 12 -years and now the Town had received a complaint and staff
had followed-up. Mayor Kavanagh also added that very few people appeared to use the gate to egress and many La
Strada Condominium owners were winter visitors only.
Mr. Rodgers pointed out the Town's collected traffic counts for this area with the gate open it was very low in volume
on a minor collector street.
Councilmember Yates expressed he liked the egress and but acknowledged speed was a concern with an average
speed posted in the range of other Town streets at 25 mph and Bob Rodgers replied the average speed recorded was
approximately 33 mph and not uncommon.
Mr. Miller and Council along with input from Town Attorney Patel discussed what was being voted on and it was
pointed out that the striping and signage was separate from the La Strada request. Mayor Kavanagh would also like to
see no parking with or without the gate opened
Mayor Kavanagh asked if there were any speaker cards and Ms. Bender stated two had been received.
Ron Cosler, President of the La Strada Homeowners' Association (HOA), thanked Town staff for their hard work on
their request and added two additional and serious issues not mentioned that involved the safety of the residents living
in Las Strada. Mr. Cosler pointed out the risk of an emergency and the allowed one entrance/exist available that also
involved a narrow street finding so residents had no way to exist the development since the back gate was closed
creating a cul-de-sac and putting residents at risk. Mr. Cosler added long vehicles also could not turn around and
would back into Mountainside Drive to exist the development. Mr. Cosler stressed the HOA was willing to comply
with the results of the traffic study and Town Engineer's recommendations and requested Council approved their
current request to begin the study.
Councilmember Tolis replied he would be supporting this request and Mayor Kavanagh added her support.
Mayor Kavanagh requested Council discussion.
Mayor Kavanagh requested a motion.
Councilmember Leger MOVED to approve the request by the La Strada Condominium HOA for a waiver of a
condition of approval to allow residential egress at N. Mountainside Drive via the west gate of the La Strada
Condominium Development subject to completion of a traffic engineer's full analysis of the intersection, analyzed
and approved by the Town Engineer, and completion of its recommendations and Vice Mayor Brown SECONDED
the motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #8 — CONSIDERATION OF PROFESSIONAL SERVICES AGREEMENT C2018-093,
WITH AMEC FOSTER WHEELER, FOR STORM WATER SUPPORT SERVICES, IN THE AMOUNT OF
$33,270.00, WITH FOUR (4) ADDITIONAL 1 -YEAR OPTIONAL RENEWALS. (TABLED FROM THE
APRIL 3, 2018 COUNCIL MEETINGS.)
Vice Mayor Brown thanked Mr. Miller and Facilities Maintenance and Environmental Supervisor Raymond Rees for
their time to explain all the reports and requirements the Town was mandated by law to be in compliance with by
recently issued EPA/ADEQ Small Municipal Separate Storm Sewer System requirements to obtain the Town's
permit. Vice Mayor Brown explained the requirements involved inspections, monitoring, mapping, documentation,
public outreach and education, reporting and enforcement activities, all actions required an increase in staff's
workload. Vice Mayor Brown said would now support Council's consideration for a Professional Services
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Agreement with AMED Foster Wheeler and allow staff to do a better job with all current environmental requirements
and also focus on responsibilities and other job duties as Facilities Maintenance Supervisor.
Mayor Kavanagh asked if there were any speaker cards and Ms. Bender stated none had been received
Mayor Kavanagh asked for Council discussion and none was initiated.
Mayor Kavanagh requested a motion.
Vice Mayor Brown MOVED to approve Professional Services Agreement C2018-093, with AMEC Foster Wheeler
for storm water support services, in the amount of $33,270.00 with four (4) additional 1 -year optional renewals and
Councilmember Leger SECONDED the motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #9 — DISCUSSION AND POSSIBLE DIRECTION TO STAFF REGARDING GRANT AND
CAPITAL IMPROVEMENT PROGRAM (CIP) FUNDING TO REDEVELOP OPEN SPACE WITHIN
FOUNTAIN PARK, WITH BOCCE BALL COURTS ADJACENT TO PLAZA FOUNTAINSIDE.
*Mayor Kavanagh had previously reported the removal of this agenda item at the request of the applicant.
AGENDA ITEM #10 — CONSIDERATION OF A GRANT APPLICATION REQUEST TO APPLY FOR THE
PROP 302 ARIZONA OFFICE OF TOURISM (AOT) GRANT MONIES IN THE AMOUNT OF $40,000.00.
Mr. Miller introduced Grace Guetter, Marketing and Communications Coordinator, who gave a review of the staff
request to move forward and apply for grant funding. Ms. Guetter noted this would be the 4t'' year in a row, if
approved, and would supplement the Town's Marketing Strategy for fiscal year 2018-19 accounting for
approximately 1/3 of the funding for marketing.
Councilmember Yates complimented Ms. Guetter on applying for this grant and wanted to clarify there would be no
Town matching funds required and Ms. Guetter replied no matching funds and would be spent as outlined in the
grant.
Mayor Kavanagh asked if there were any speaker cards and Ms. Bender replied none had been received. Mayor
Kavanagh requested a motion.
Councilmember Yates MOVED to approve as written and Vice Mayor Brown SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #11 — CONSIDERATION OF PROFESSIONAL SERVICES AGREEMENT C2018-094,
WITH BROWN & ASSOCIATES, FOR THE PURPOSE OF COVERING THE COST OF THIRD -PARTY
PLAN REVIEW AND BUILDING INSPECTION SERVICES FOR THE COPPERWYND RESORT
PROJECT, IN AN AMOUNT NOT TO EXCEED $350,000.00 AND TO DIRECT THE TOWN MANAGER
TO EXECUTE THE CONTRACT.
Mr. Miller stated the Copperwynd Resort project was moving forward and due staffing limitations to undertake plan
reviews and inspections, staff would be using a 3rd party for these services, Brown and Associates, who would be
working on behalf of the Town with services billed directly to the Copperwynd Resort Development. Mr. Miller
introduced Bob Roaders who gave further details.
Mr. Rodgers reiterated this agreement was at no cost to the Town (a pass-through) and the agreement would state a
"not to exceed" cost for Copperwynd Phase I. Mr. Rodgers added that Mr. Hines, owner of the Copperwynd Resort,
had informed him that staff would be receiving plans the following day.
Mayor Kavanagh asked if there were any speaker cards and Ms. Bender stated none had been received. Mayor
Kavanagh requested a motion.
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Councilmember Yates MOVED to approve contract #C2018-094 with Brown & Associates n an amount not to
exceed $350,000 for plan review and inspection services during the Copperwynd Resort expansion project as
presented and to direct the Town Manager to execute the contract and Councilmember Magazine SECONDED the
motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #12 — CONSIDERATION OF RESOLUTION 2018-07, APPROVING AN
INTERGOVERNMENTAL AGREEMENT WITH MARICOPA COUNTY, RELATING TO REGIONAL
EMERGENCY OPERATIONS MANAGEMENT AND DISASTER SERVICES.
Mr. Miller stated Maricopa County was integrated in the Town's emergency response to disasters and provided
common defense against disasters. Mr. Miller added that Fountain Hill's Fire Chief Dave Ott, who was also the
official Emergency Operations Chief for the Town, had worked with Maricopa County to review these services and
believed this was a good program for the community. Mr. Miller introduced Chief Ott who provided additional
information.
Chief Ott stated this program (Intergovernmental Agreement) was important for the community and would cost only
$2,400 annually and that covered a five-year period with numerous levels of government assistance available to
Fountain Hills. Chief Ott added that drills in the future would be scheduled after the finalization of the Town's
Emergency Plan.
Mayor Kavanagh asked for Council questions and none were initiated.
Mayor Kavanagh asked if there were any speaker cards and Ms. Bender stated none had been received.
Mayor Kavanagh requested a motion.
Councilmember Leger MOVED to approved Resolution 2018-07, an intergovernmental agreement with Maricopa
County for regional emergency operations management and disaster services and Councilmember Yates
SECONDED the motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #13 — CONSIDERATION OF THE FOURTH AMENDMENT TO CONTRACT C2017-002,
WITH POWER TECH CONTRACTING, IN THE AMOUNT OF $15,000.00 WITH AN AGGREGATE OF
$71,700.00, FOR ON-CALL AND CALL -OUT TRAFFIC SIGNAL SERVICES.
Mr. Miller explained the contract was for on-call services for the Town's traffic signals when there were problems
and signals stopped working after hours or on week -ends. Mr. Miller introduced Public Works Director Justin Weldy
who explained the current contract with Power Tech that was approved late last fall by Council. Mr. Weldy explained
that due to a staffing change in the Town's own Traffic Signal Technician and the fact that the prior approved contract
was only for on-call services, Mr. Weldy was requesting to continue with Power Tech Contracting and have them take
over signal maintenance and on-call services. Mr. Weldy added Power Tech Contracting services also included State,
Federal and local government's regulations and would cover twenty-four hours a day and seven days a week for a
period covering the current fiscal year only. Mr. Weldy explained staff would eventually request Council's approval
for a long-term contract that would cover the Town's thirteen traffic signals for maintenance and emergency on-call
services.
Mayor Kavanagh asked for Council questions and none were initiated.
Mayor Kavanagh asked if there were any speaker cards and Ms. Bender stated none had been received.
Mayor Kavanagh requested a motion.
Councilmember Leger MOVED to approve the fourth Amendment to the Professional Service Agreement C2017-
002.4 with Power Tech Contracting, LLC and Vice Mayor Brown SECONDED the motion, which CARRIED
UNANIMOUSLY (7-0).
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AGENDA ITEM #14 — CONSIDERATION OF RESOLUTION 2018-26, SETTING FORTH THE
TENTATIVE BUDGET AND ESTABLISHING THE MAXIMUM BUDGET AMOUNT FOR THE TOWN
OF FOUNTAIN HILLS FOR FISCAL YEAR BEGINNING JULY 1, 2018, AND ENDING JUNE 30, 2019.
THE COUNCIL MAY ADDRESS ANY OR ALL ITEMS CONTAINED IN THE BUDGET DOCUMENT
AND INITIATE ANY CHANGES PRIOR TO THE ADOPTION.
Mr. Miller noted the recent Special Session regarding the budget where all the changes requested by Council were
now addressed and incorporated. Mr. Miller briefly discussed the final proposed budget process and introduced
Finance Director Craig Rudolphy who gave a brief PowerPoint presentation (available on-line or in the office of the
Town Clerk).
Mr. Rudolphy stated that after Council's changes were made for the fiscal year 2018-19 the tentative Town Manager's
budget totaled $38,914,866.00. Mr. Rudolphy presented the following slides with information.
Previous Fiscal Year Budget Totals: Council was being asked to approve the total maximum budget
amount and this action would allow Council to make changes, move money around or reduce the
amount, noting the Council would be unable to increase the total amount approved.
FYI 8-19 Budget Core Services from all Funds
Budget Assumptions: No change and noted no Copperwynd Resort revenues were included.
FY18-19 Capital Improvements: Totaled $4,173,672.00. Councilmember Magazine asked for
information on the Wayfinding signs $25K and Mr. Rudolphy replied this amount was a carryover
from the monies owed for the current design contract and nothing else had been funded.
Outstanding Bonds — 7/1/2019
FYI 8-19 Budget Highlights: Departmental funding requests from the General Fund and other funds.
Councilmember Magazine asked Mr. Rudolphy to explain the accumulated revenue; and Mr.
Rudolphy responded the accumulated revenues came from the Court Enhancement Fund and funds
available through the Community Services, Park and Recreation Division.
FYI 8-19 Budget Summary: Broken down by fund and would use $7M from prior years.
Summary of Changes FYI 8-19: Budget -by category with a 10% increase seen due to the inclusion of
the proposed Primary Property Tax of $7M, otherwise there would be a decrease in the expenditures.
General Fund Operating Budgets: Broken down by departments with the General Government
increase of $1,845,000.00 and $1.5M allocation for Public Safety from the proposed Primary Property
Tax.
Reserve Funds (Fund Balances): Showed the end of the fiscal year balance.
Town of Fountain Hills Organization: Chart.
Personnel: one additional position proposed for an IT Specialist with 56.19 Full Time Equivalent
Town employees.
Personnel and Benefits: Showed allocation in various funds and a proposed 2.5% increase for
employees.
FT18-19 Annual Budget: Tentative budget $38,914.866.00 and slightly less than previously
proposed.
Mr. Rudolphy mentioned he emailed a recap of the requested changes to Council and the budget was now under the
"Expenditure Limitation" by approximately $2K. Councilmember Magazine pointed out with or without the approval
of the $7M proposed Property Tax, the budget would be reduced to $31,914,000.00 and the lowest budget in the last
five -years and Mr. Rudolphy agreed and continued with the presentation.
FYI 8-19 Budget Adoption Steps
Operating Costs per Capita: Recap comparison.
General Fund Projections: Recap comparison.
Councilmember reiterated that without approval of the $7M proposed Primary Property Tax that this budget was
lower than in previous years and it did not account for inflation and Councilmember Yates added that even with if the
$7M were to be approved with the total of Fountain Hills' assets, the operating cost was unbelievable low and
expressed the budget was well done.
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Mayor Kavanagh asked if there were any speaker cards and Ms. Bender stated none had been received.
Councilmember Tolis asked about the grocery sales tax of 2.6% and Mr. Patel interrupted and pointed out that any
discussion that was not agenized could not be discussed, but could be brought back at a future date. Councilmember
Tolis asked what the impact was from the grocery tax on the Town's revenue and Mr. Rudolphy replied the sales tax
was not broken down by the Department of Revenue, but he could give him an aggregate number of what was
collected by the major grocery stores in Town and Councilmember Tolis stated he would like to see that information.
Councilmember Yates pointed out medical marijuana was already taxed and Mr. Patel agreed and noted taxed under a
different tax structure and he could review and reported back to Council.
Mayor Kavanagh asked for additional questions for Mr. Rudolphy and none were initiated.
Mayor Kavanagh asked if there were any speaker cards and Ms. Bender stated none had been received. Mayor
Kavanagh requested a motion.
Vice Mayor Brown MOVED to approve Resolution 2018-26 and Councilmember Leger SECONDED the motion,
which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #15 - 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.
Mayor Kavanagh remarked nothing happened except the work on teacher issues and the "Digital Bill" was sent back
with changes, which was still unacceptable to the League of Cities and Towns.
AGENDA ITEM #16 - COUNCIL DISCUSSION/DIRECTION TO THE TOWN MANAGER.
Town Manager Miller reported that some residents were concerned about the proposed EPCOR's consolidation of
service areas and proposed rate adjustments at just under 20%, which was a huge impact. Mr. Miller requested Town
Attorney Patel provide an update on some of the options staff was reviewing on behalf of the residents. Mr. Patel
noted that the Town had scheduled a Council Executive Session for June 5, 2018, where additional information would
be provided and allowed Council to provide direction.
Mr. Patel stated EPCOR filed for a rate increase adjustment and "Service Agreement of Consolidation" in August
2017 and since then the ACC's utility staff and EPCOR had been submitting documents into the docket certain data
and analysis concerning the rate increase, which was expected to be phased in over a five-year period. Mr. Patel
continued that they were currently moving forward with a hearing date scheduled for May 10, 2018, which included a
10 -day hearing phase beginning on May 14, 2018. Mr. Patel added that several opportunities for the Town and
concerned citizens were given the opportunity to submit consumer statements to the Commissioners' and placed in the
record added to the docket for the ACC's review. Mr. Patel pointed out that the first day of the hearing was reserved
for public comment in that forum.
Mr. Patel stated that his firm had reached out as the Town's Attorney to the lead Counsel for the ACC to stay updated
on what was transpiring or opportunities to voice any concerns and contacted the "Residential Utility Commission"
(RUCO) to find out how the Town could communicate and receive information on developments in this case. Mr.
Patel mentioned that Mr. Miller had requested he attend the pre -hearing conference to gather information assuming
that Counsel filed a statement ahead of time was given the opportunity to speak.
Mayor Kavanagh asked if Council had any questions and none were initiated.
AGENDA ITEM #17 - SUMMARY OF COUNCIL REQUESTS AND REPORT ON RECENT ACTIVITIES
BY THE MAYOR, INDIVIDUAL COUNCILMEMBERS, AND THE TOWN MANAGER.
Councilmember Yates stated the "Chamber Gala" was held recently with the "Mayor's Award" presented to Juan
Gonzales, restaurant owner of "Senior Taco" and Past Mayor Jay Schlum won "Business Man of the Year".
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Councilmember Yates reminded Councilmembers they would not meet in two weeks due to "Election Day".
Councilmember Leger mentioned the "Dark Sky" event and said it was amazing and hoped this would be an annual
event. Councilmember Yates added that the scientists in attendance were amazed at the number of people in-line to
use the telescope.
Councilmember Tolis stated he attended the "East Valley Institute of Technology" (EVIT) golf outing fundraiser on
Saturday at the Desert Canyon Golf Club and noted his golfing group won the tournament. Councilmember Tolis
pointed out that the EVIT campus was a great asset to the community.
AGENDA ITEM #18 - ADJOURNMENT
Mayor Kavanagh requested a motion to adjourn.
Councilmember Yates MOVED to adjourn the meeting and Vice Mayor Brown SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0). The Regular Session adjourned at 6:55 p.m.
TOWN OF FOUNTAIN HILLS
an
ATTEST AND
PREPARED BY:
Town Clerk Bevelyn Bender
CERTIFICATION
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 1St day of May, 2018. 1 further certify
that the meeting was duly called and that a quorum was present.
DATED this 26th day of June, 2018.
Town Clerk Bevelyn Bender
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