HomeMy WebLinkAbout2011.0519.TCRM.Minutesz:\council packets\2011\r6-16-11\110519m.docx Page 1 of 17
TOWN OF FOUNTAIN HILLS
MINUTES OF THE REGULAR SESSION OF THE
FOUNTAIN HILLS TOWN COUNCIL
MAY 19, 2011
* CALL TO ORDER AND PLEDGE OF ALLEGIANCE
Mayor Schlum called the meeting to order at 6:33 p.m. in the Town Hall Council Chambers.
* INVOCATION – Pastor Steve Bergson, Shepherd of the Hills Lutheran Church.
* ROLL CALL
Present for roll call were the following members of the City Council: Mayor Schlum, Vice Mayor Contino,
Councilmember Brown, Councilmember Leger, Councilmember Elkie, Councilmember Hansen and Councilmember
Dickey. Deputy Town Manager/Finance Director Julie Ghetti, Town Attorney Andrew McGuire and Town Clerk
Bev Bender were also present.
* MAYOR’S REPORT
None.
* SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS
(i) Presentation by Enrique Melendez, Honorary Consul for the Republic of El Salvador, relating to Team Ataco's
June 2, 2011 trip to El Salvador and the community's humanitarian efforts.
Former Councilmember and current Honorary Consul for the Republic of El Salvador Enrique Melendez addressed
the Council relative to Team Ataco's upcoming June 2, 2011 trip to El Salvador, the Town of Fountain Hills' Sister
City and thanked the Council on behalf of the President of El Salvador, the government, the citizens and the
Mayor/City Council for their ongoing support. He paid tribute also to former members of the Council for their
passion and support as well for the country of El Salvador and thanked the Maricopa County Sheriff's Department
for providing exceptional diplomatic security when the Foreign Minister and others were visiting. He further stated
that the Town has the greatest staff possible and thanked them for all of their efforts and dedication. He referred to
former Mayors present in the audience, Wally Nichols and Jerry Miles, and said that they have expended effort
above and beyond to assist and work with El Salvador. He discussed organizations in Town that pulled together to
help the citizens of El Salvador time and time again.
Mr. Melendez explained how the upcoming school trip to El Salvador came about as a result of the students' vote and
the unanimous vote of the School Board. He advised that 44 students and 15 chaperones will embark on the journey
and said that this will make a difference for many years to come. He also thanked God for giving him the health,
ability and opportunity to participate in this wonderful program and his wife for her unending support and
encouragement.
Former Mayor Sharon Morgan addressed the Council and said on behalf of the Fountain Hills’ Sister Cities
organization, she is honored and excited to be able to facilitate and coordinate the youths' trip working with family
and friends. She said that they would not have been able to pull off this trip without the su pport and assistance of
Mr. Melendez's brother Carlos in El Salvador who has been instrumental in this endeavor. She added that she is
proud to be going with 61 other people to El Salvador. She noted that "not one red penny for this trip has come out
of the Town's coffers" -- all of the individuals are paying their own way. She advised that each of the youths raised
their own money for the trip. She informed the Council that they are going to build 13 houses while on this trip.
Claire McWilliams, a teacher at Fountain Hills High School, addressed the Council and discussed the school's
leadership club. She introduced members of the student body who will be going on the trip and they provided a brief
overview of how they got to where they are today, what they plan to do and see and what they hope to accomplish on
this worthwhile trip to help build 13 much needed homes for the citizens of El Salvador.
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Former Mayor Miles addressed the Council said stated that he looks forward to the upcoming trip. He dis cussed his
unending support for the Sister Cities Program and said that it has been his privilege to be associated with it. He and
his wife will be joining the students for a portion of the trip.
Linda Kavanagh, the Director of Constituent Services, speaking on behalf of her husband former Councilmember
and current State Representative John Kavanagh also addressed the Council and read a note from him which stated
that "it is his extreme pleasure to present, on behalf of Governor Jan Brewer and Secretary of State Ken Bennett, two
Certificates of Special Recognition -- one to the Fountain Hills High School Family Career and Community Leaders
Program and one to the Fountain Hills Sister Cities Program." Mrs. Kavanagh read the Certificates into the record.
Former Mayor Nichols also addressed the Council and said that he has visited Ataco and El Salvador four times and
asked the students to give his regards to Mayor Oscar Gomez and Enrique's brother Carlos. He noted that the poverty
is wide spread but the people are wonderful and have Great Spirit. He said that on one of his visits he traveled to two
villages that had no electricity and he had the honor of turning on the electricity in both villages, an experience he
will never forget. He discussed other trips and wonderful things he witnessed being accomplished, encouraged the
youths to learn from these wonderful people and thanked them for their humanitarian efforts.
Mayor Schlum commented on the fact that the former Mayors are still engaged in the community and said that the
Council wished the group well on their journey. He read into the record a Proclamation in support of this wonderful
endeavor (Copy available in the office of the Town Clerk).
CALL TO THE PUBLIC
None.
CONSENT AGENDA
AGENDA ITEM #1 – CONSIDERATION OF APPROVING THE TOWN COUNCIL MEETING MINUTES
FROM MAY 5, 2011.
AGENDA ITEM #2 – CONSIDERATION OF APPROVING RESOLUTION 2011-18, ABANDONING
WHATEVER RIGHT, TITLE OR INTEREST THE TOWN HAS IN CERTAIN PORTIONS OF THE PUBLIC
UTILITY AND DRAINAGE EASEMENTS LOCATED AT THE SIDE AND REAR PROPERTY LINES OF
PLAT 605-C, BLOCK 1, LOT 9 (11033 N. PINTO DRIVE) AS RECORDED IN BOOK 164 OF MAPS, PAGE 14,
RECORDS OF MARICOPA COUNTY, ARIZONA. EA11-03 (SONI).
Councilmember Dickey MOVED to approve the Consent Agenda as listed and Councilmember Leger SECONDED the
motion.
A roll call vote was taken as follows:
Councilmember Dickey Aye
Mayor Schlum Aye
Councilmember Leger Aye
Councilmember Hansen Aye
Vice Mayor Contino Aye
Councilmember Brown Aye
Councilmember Elkie Aye
The motion CARRIED UNANIMOUSLY (7-0).
REGULAR AGENDA
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AGENDA ITEM #3 - UPDATE BY CHRIS COYLE, ALLIED WASTE'S GENERAL MANAGER, RELATING
TO THE IMPLEMENTATION OF TOWN-WIDE SOLID WASTE SERVICES.
Allied Waste's General Manager, Chris Coyle, addressed the Council and thanked them for allowing him to provide an
implementation update this evening. He said he and his team are grateful for the opportunity to provide this important and
cost-saving service to the Town. He assured the Council that the citizens will receive excellent customer service and
quality as the program officially rolls out on July 1st. He stated that they will receive the same quality curb -side service
that they have come to enjoy and added that the one change they will notice is that all of the customers' waste will be
picked up by a blue Allied Waste truck. He noted that they will receive this great service at a fixed low price and said that
by using only one hauler and encouraging recycling, the basic service is only $11.44 per month and that rate will not be
adjusted for three years -- a great value for the customers.
Mr. Coyle highlighted a brief presentation (Copy available in the office of the Town Clerk) and advised that each month
the customers who actively participate in the Recycle Bank Rewards Program will receive an additional $5.00 to $10.00
in valuable offers to use either in the local community or with national retailers. He discussed the members of the various
teams and said that he is sure that many of the people here this evening have spoken to one of them over the phone or at
one of the events they have attended. He advised that a cell phone number has been published so that citizens can contact
the members of the team directly to have any concerns addressed or questions answered. He further stated that three
additional Customer Service Representatives have been hired to specifically support the customers in Fountain Hills. He
noted that on March 1st, they allowed new and existing customers to sign up under the new rate structure as provided by
the contract and this allowed those customers to take advantage of the new lower rates early on and provided residents the
flexibility by signing up to avoid any billing issues with their previous hauler since collection fees are billed on a quarterly
basis.
Discussion ensued relative to the fact that to date 4,000 customers are currently being billed at the new rates; the
importance of calling in and selecting a service option before July 1st to ensure a smooth transition; the fact that drivers
have been trained to ensure that the Town is a litter free zone on collection days and will pick up/clean up any can that has
been knocked over; solutions that have been developed to deal with problems that may arise; the company's electronic
notes system that tracks all issues that will be regularly reviewed to ensure that the Town's customers are receiving the
highest quality service; vacation holds for part-time residents and cart placement; fuel increases that have occurred and the
fact that they will not have any impact on residents' rates for three years; community events that the company has
attended/participated in and their dedication to serving and assisting the community; the fact that all of the carts needed
for Allied Waste will be received by the end of May; existing customers will receive their car ts during the first half of
June and new customers will receive the carts during the second half of June; existing customers who have selected their
options will not have to do anything to receive their new carts and new customers just need to sign up via e-mail or call
the company to have their delivery dates scheduled; and the fact that 87% of the customers that have signed up chose one
time a week trash and one time a week recycle.
Mr. Coyle reiterated that Allied Waste is proud and excited about having the opportunity to serve the residents of
Fountain Hills and indicated his willingness to respond to any questions.
Mayor Schlum thanked Mr. Coyle for his presentation.
Town Clerk Bev Bender advised that two citizens wished to address the Council relative to this agenda item.
Shawn Dow addressed the Council and said that every day he still gets e-mail from Town residents complaining about
switching over to the single-trash hauler. He stated that he refers them to the Council's e-mail addresses but they say they
don't get any responses from the Council. He noted that a lot has happened over the last several months including
spending some time in Court over this issue and having some recalls filed over this (four Councilmembers have been
threatened that their seats will be taken away) and suggested that the Council put a hold on this until everyone in Town
gets an opportunity to be part of the discussion and provide input. He advised that meetings have been held and cancelled
and many residents have not had the opportunity to be heard on this issue. He urged the Council to do something about
this.
Linda Bardow addressed the Council and said that some of the information that Allied has provided to the residents and to
the Council are different. She advised that they don't have trash pickup on Fridays and someone told her it is because of
"Green Fridays," which is great for Town Hall that is closed on Fridays but businesses are open and for the sake of the
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residents she believes it would be a good idea to have a Friday trash pickup. She added that she has concerns about the
one pickup a week. She further stated that there is a lot of money to be made in the recycling of the goods that will be
picked up and it seems to her that the Town should use the recycling money for the Town particularly since they are
talking about raising taxes.
Mayor Schlum thanked the speakers for their comments.
Councilmember Elkie commented on the fact that there are no trash pickups on Fridays and said it is his understanding
that if residents want two separate pickups on two separate days, they have the option of selecting Monday and
Wednesday or Tuesday and Thursday and asked if Mr. Coyle would agree that it doesn't make sense to have only one day
in between as far as pickups are concerned. He added that perhaps that is why 87% of the people have signed up for one
trash pickup a week, because they recognized that they will not generate enough trash in one day to make another pickup
worth it.
Mr. Coyle concurred with Councilmember Elkie's comments.
Councilmember Elkie discussed the costs, $11.44 for one trash and one recycling pickup a week, and asked Mr. Coyle to
expand on other service scenarios.
Mr. Coyle responded that that basic service is $11.44 (one trash can and one recycle can with service for both once a
week). He added that an additional trash can or an additional day would cost an additional $5.00 per month and the green
waste cart would be $15.00 additional per month. He noted that if people do not generate a lot of green waste and do not
require a separate can, the green waste material can go in the trash can.
Mayor Schlum commented that the green waste is associated with the environment and said that green waste and
recycling are not the same. Mr. Coyle agreed and said that green waste containers would be used for organic materials
such as grass clippings and yard/tree clippings. He explained that residents just have to cut the materials small enough to
allow the lid to be closed.
Councilmember Hansen stated that when she looks at the numbers provided by Allied Waste stating that 87% of the
people have gone with the one recycle and one trash pickup a week she has to take into account that only 2,200 people
have signed up and she doesn't believe that the figure is really indicative of what is going on. She stated the opinion that a
lot of people are waiting until the last minute because they are happy with their current provider and level of service. She
added that she believes the Town Manager told her that efforts were underway to come up with a method by which there
could be two days in between pickups and asked where they were at as far as that possibility.
Mr. Coyle replied that the company has explored every option and looked at this in great depth and based on the way that
the RFP was put out with the goals of reducing truck traffic and recycling and providing the lowest possible cost for the
residents it is clear that providing the service two days apart would not meet those goals.
Councilmember Hansen advised that she did not understand that and does not believe that that was made very clear but if
it was in the RFP then shame on her because she missed it. She stated that she believes it is unfortunate that they can't
come up with some sort of solution because she thinks that it is an important thing for a lot of peo ple.
Mayor Schlum noted that there were some addendums done that clarified that and said he believes it was originally one
day of each period and then it was expanded with an option for a second trash pickup. He agreed that there was not a
great deal of clarity on the second pickup but sticking with the RFP and some of the constraints is where they are at today.
He added that a second trash pickup one day apart is not what people would really like to have if they feel they will need
two trash pickups. He said that obviously they will still have the option to have a second pickup with five days between
and there are concerns about resulting odors. He expressed the opinion that if another trash container is needed, $5.00 is
not a tremendous amount of money for that and he doesn't believe that the feedback will be that robust but he agrees that it
is not what most people were probably expecting.
Councilmember Hansen asked if they could clarify why Fridays was left out as an option because she has heard two
different things -- that the Town didn't want anything on Fridays and then that they wouldn't get the low price if there
were Friday pickups.
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Town Attorney Andrew McGuire advised that it had everything to do with the fact that the Town Hall is closed on Fridays
but not because Town Hall would not be available for Allied -- staff at Town Hall would not be available for residents to
call in with complaints about their garbage service on that day. The original desire was to reduce the number of truck
days to four and the four days chosen were ones where there would be staff at Town Hall to respond to any calls that came
there instead of to Allied Waste.
Councilmember Hansen stated that she thought the whole purpose was to have the calls go to Allied Waste and Mr.
McGuire replied that was right but even when they have calls going where they are supposed to go people still call Town
Hall and staff forwards those calls to the appropriate parties.
Councilmember Dickey said that it was her impression that they went this way because they wanted to keep the trucks off
the road five days a week and they went with four days. She added that she didn't consider that Town Hall , which is
closed on Fridays, was even a factor. She stated that the idea of the Recycle Bank, which is to provide people some value
for shopping locally and the low rate, was the discussion that took place and that the Town didn't want to make money on
this because they just wanted to get the lowest rate possible for the residents. She said that once the Recycle Bank is in
place she believes that people will see a better value as well. The idea of the Town making money was always a two edge
sword but they got the lower rate because the Town preferred that over trying to make money -- they wanted to pass the
savings on to the residents. She also noted that the laws have not changed and trash has to be bagged. She said that as far
as odors she believes five days in between is better than seven days but she would be remiss not to point out that th ey did
a study among 21 communities including Mesa and Scottsdale and 18 are utilizing single haulers and 12 don't even have
an option for another trash pickup. She added that the single hauler seems to be working for the cities (one trash and one
recycle pickup a week) and she hopes that that will work in Town. She noted that they do have the two-day option as well
that will help a little bit and at $5.00 while cities like Avondale and others charge anywhere from $6.00 to $20.00.
Councilmember Elkie pointed out that although they may be getting an $11.44 rate a month now, the company obviously
is in business to make money and he would expect that in three years when the contract expires, with the cost of gas going
up, the Town won't receive that same rate.
Mr. Coyle informed the Council that the contract states that the maximum increase after the contract expires is 5% and
then the following year there could be another maximum increase of 5% so at the end of twelve years the maximum rate
would be $12.61.
Councilmember Elkie said that if they compare the rate the Town has against the rates charged in Phoenix or Scottsdale,
others are paying substantially more. He stated that if he and Councilmember Hansen lived on the same street and he
wanted a Monday/Wednesday trash pickup when would his recyclables be picked up.
Mr. Coyle replied that they would be picked up on Monday.
Councilmember Elkie then asked if Councilmember Hansen said Tuesday/Thursday worked better for her would she have
that option.
Mr. Coyle responded that she would not because the Town is going to be broken up into four zones and that is one of the
efficiencies needed to provide the low rate. Some zones will only have the Monday/Wednesday option and others the
Tuesday/Thursday.
Councilmember Elkie asked under his Monday/Wednesday scenario when would his green waste be picked up and Mr.
Coyle said that would also be picked up on Mondays.
Councilmember Hansen questioned what would happen when a holiday falls on a Monday and Mr. Coyle advised that
everything would be pushed back one day (Monday/Wednesday customers would get service on Tuesday/Thursday that
week and Tuesday/Thursday would move to Wednesday/Friday). They are allowed to do that for holiday weeks only.
Councilmember Hansen noted that under that circumstance there would be service on Fridays for customers who typically
receive it on a Thursday. She said they don't want pickups on Fridays but now it seems there will be Friday pickups
during the weeks when holidays fall on a Monday.
Mayor Schlum advised that that currently happens as well.
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Vice Mayor Contino asked if the company currently picks up on Fridays and Mr. Coyle said they do. The Vice Mayor
asked why they (Allied) would want to change it and Mr. Coyle explained that their proposal was set according to the
RFP. Vice Mayor Contino asked if they requested the company to pick up on Fridays what changes that. He knows the
Town Manager talked to Councilwoman Hansen and him and said that it was possible for pickups to take place on Fridays
and that is what the company was supposed to work on. He said they are talking about Monday/Thursday and
Tuesday/Friday pickups -- that was what the Town Manager said Allied Waste was going to work on because there was
nothing really in concrete about that not being possible (trucks are in Town picking up trash on Fridays – business
dumpsters are picked up on Friday, so there will be trucks in Town on Friday).
Vice Mayor Contino asked why they (Allied) couldn't pick up the residents' trash on Friday and expressed the opinion that
Allied Waste was just “screwing us”. The Mayor requested that the Vice Mayor to be more respectful in his choice of
words. The Vice Mayor said he understands that but there are a lot of citizens who are really upset with not having two
pick-ups a week. He said they were paying for two pick-ups and asked if the Mayor has had his garbage sitting in his
garage for a week with dog manure in it and everything. The Mayor said he does every week.
Vice Mayor Contino expressed the opinion that Allied Waste has manipulated this along with the Town Attorney when he
proposed this because Mr. McGuire drew up this proposal.
Mayor Schlum reminded the Vice Mayor that they are Councilmembers and had input into the agreement.
Vice Mayor Contino advised that his input is that what is happening now is not right and it has to be squared away
because the citizens of this Town will get “screwed”.
Mayor Schlum reiterated his request to the Vice Mayor to show staff and their guests more respect (with regard to his
choice of language).
Vice Mayor Contino expressed the opinion that he said it properly. The Mayor replied that he should share his opinions
with more respect and decorum. The Vice Mayor said he did. The Mayor replied that he had not and would appreciate it
if he did moving forward. Vice Mayor Contino stated that he did that in his own way.
Mayor Schlum said that he understands that and they all wanted to hear that and to have a good discussion but they also
want to handle themselves respectfully so that they have effective communication (he does not believe that getting upset
is effective). The Vice Mayor responded that he has not gotten upset yet.
Mayor Schlum asked Mr. Coyle to explain why the company will not pick up on Fridays except during weeks when a
holiday falls on a Monday.
Mr. Coyle replied that in order to respond to the RFP properly they were not allowed to provide service on Fridays except
for the holiday weeks.
The Mayor stated that he believes they all understand what Mr. Coyle stated.
Mayor Schlum noted that during the presentation where to place the cans was mentioned and said he believes he heard
"put them where you have been placing them" and Mr. Coyle concurred. He said if another hauler has been providing the
service or if Allied has then the cans have been placed in the right spot and nothing should change. He added that should
an issue arise the company will send someone by or make a phone call and work with the customers on a case-by-case
basis to find a solution that works for both parties.
Mayor Schlum referred to the question posed by Councilmember Elkie and asked what some of the other options are that
people are considering doing. He also asked Mr. Coyle to speak to bulk waste and other issues such as that.
Mr. Coyle advised that there is an on-call bulky item cleanup (on Wednesdays once a month). Residents just have to call
in to schedule the pickup.
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The Mayor said that sometimes residents have trouble getting their cans down to the curb and asked how that was going to
work.
Mr. Coyle replied that all they have to do is call in and they will be provided what they call a "valet service" as long as the
can is in an accessible place where they don't have to enter the property. They will be glad to bring the can to the curb and
place it back in its spot for anyone who needs that assistance.
Councilmember Elkie stated that he has been asked questions about enforcement (i.e. someone who has not been putting
their can out improperly, lids are open, they are not bagging their trash, etc.) and said he knows some of these are not
Allied's rules, they are State rules, but asked Mr. Coyle to speak to this issue -- such as who would be doing the
enforcement and what is the process that will be followed.
Mr. Coyle advised that first and foremost the drivers are going to do everything they can to service the cans. He added
that if there is a minor problem the drivers will note it on their worksheets so the company is aware of i t. For more
immediate problems the drivers will call the Supervisor who will contact the customer, have a friendly conversation with
the party, provide educational materials, tell them what they saw and that it doesn't comply with the program and request
that they follow the proper procedures. He said they will continue to work with the customers to make sure they get it
right.
Councilmember Elkie said the first time something happens the customers will receive a telephone call or a visit from the
Supervisor and the same would happen the second and third time this occurs. Councilmember Elkie asked at what point
the Town would become involved and Mr. Coyle said probably after the third attempt by the company to correct the
situation. They would contact the Town to see if there is anything they can do to help with the situation and said he is
sure that the Town would do the same thing that they did -- try to work with the customers to get them to comply and give
them every opportunity to do so.
Councilmember Elkie brought up the subject of the Recycle Bank and stated that he believes he previously posed a
question that in lieu of receiving a gift card or rebate for whatever recyclables people put at their curb, residents can
designate the reward to go to a non-profit agency/organization of their choice, perhaps in Town. He asked Mr. Coyle if he
was familiar with that and if so to provide some input on that.
Mr. Coyle stated that he is familiar with that part of the Recycle Bank's program and noted that the Recycle Bank will be
managing that. He said that customers will actively report their recycling and receive points and when they log into the
website they can choose what they want to do with those points -- either redeem them for value in the local community or
donate them to a charitable cause.
In response to a question from Councilmember Elkie relative to rewards on Town recyclables, Mr. Coyle stated that he
did not have the answer but would get back to Councilmember Elkie on that. He said that at some point there are options
for commercial recycling as well as using the residential carts for recycling (like for special events) but as far as whether
the recycle points go to the Town he will have to research that and get back to the Council with the answer.
Mayor Schlum noted the large number of organizations that do fundraising and encourage people to bring recycling
materials to various locations throughout the community and that remains an option. He encouraged residents to continue
to support those organizations. He added that if they decide to recycle through Allied Waste, the company's partner,
Recycle Bank, will also provide credits/earnings towards items or donate the rewards to the residents' charitable choice.
Mayor Schlum said that Mr. Coyle reported that 4,000 residents have signed up for the service (new and existing) and said
that most likely a large number will come on board at the end and asked how the company sees this happening.
Mr. Coyle said that they anticipate a lot of customers signing up at the beginning of June and said they are putting out
mailers and expect a lot of telephone calls. He further stated that a lot of customers' information is still being put into the
system so the numbers are changing every day. He added that they are prepared for the influx of calls and people wanting
to sign up.
Mayor Schlum commented on the fact that during July a lot of the Town's residents and visitors are not in Fountain Hills
so they won't be receiving a bill or getting service started. Mr. Coyle advised that a good number of them have called in
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and said that they won't be back until October/November so the company has already set up their accounts and a delivery
date and their service will be turned on automatically the way t hey have set it up. Customers who have not made
arrangements do not have to worry about it -- they just have to give the company a call when they get back to Town and
service will then be established for them.
In response to a question from the Mayor, Mr. Coyle stated that the company has been working with the homeowner
associations' managers and property managers and commented on the options that they have been working on with them.
Mayor Schlum thanked Allied Waste for taking good care of the Town's customers and said that is what they expect --
great customer care and they don't want to hear complaints. He stated that this is why the Town did not start up a
municipal trash hauling service -- they really believe in having the company work with the residents and the Town staying
out of the way as much as possible. He reiterated that the Town was not looking to make any money; they are looking for
residents to receive the best possible service at the lowest possible cost and to minimize truck traffic. He asked as far as
ongoing questions or concerns from residents what the best way is for the residents to contact someone.
Mr. Coyle stated that they can get a hold of them via e -mail at phoenix.disposal.com, call the company's 800 number or
refer back to the introductory brochure which contains six or seven different ways to get a hold of someone, including
Kevin Flannagan's cell phone number (602) 714-4066 and the Customer Service number (602) 237-2078.
Mr. Coyle thanked the Council for the opportunity to serve the citizens of Fountain Hills.
AGENDA ITEM #4 – CONSIDERATION OF RESOLUTION 2011-19, ADOPTING THE MAXIMUM AMOUNT
FOR THE TOWN OF FOUNTAIN HILLS' FISCAL YEAR 2011/12 TENTATIVE BUDGET WITH
APPROPRIATE DIRECTION TO PUBLISH SAID DOCUMENTS IN ACCORDANCE WITH STATE LAW.
THE COUNCIL MAY ADDRESS ANY OR ALL ITEMS CONTAINED IN THE BUDGET DOCUMENT AND
INITIATE ANY CHANGES PRIOR TO THE ADOPTION.
Deputy Town Manager/Finance Director Julie Ghetti addressed the Council relative to this agenda item and said t hat with
the Council's permission staff would like to postpone this item until after the Council has had a chance to discuss the
budget again on Monday and Wednesday's Special Sessions in the event that the Council has any changes prior to setting
the maximum amount. She added that she would like to postpone this item to the Wednesday meeting.
Mayor Schlum asked what the timeline was as far as getting this number out there.
Mr. McGuire clarified that the continuance would be to the Monday meeting so the Council will have an opportunity to
adopt the resolution that night if they want or if the Council decides at the end of that meeting that the Wednesday
meeting is also required, the item will be moved to that meeting. It is double agendized for both meetings but encouraged
people who want to provide input and hear further discussion to attend the Monday meeting but as far as the timeline they
are fine if it goes to Wednesday.
Mayor Schlum commented on the fact that they have scheduled additional meetings for more dialogue and asked Mr.
McGuire to speak to why they are continuing this item.
Councilmember Hansen said that she was going to move to table it simply because when you look at the resolution it
contains some fairly specific things and since the Council really has not had a lot of time to talk about it some of the
numbers might change. She added that it seems strange to be publishing that document for two weeks if those numbers
are not going to be accurate.
Ms. Ghetti advised that when staff put this on the agenda they were under the belief that they had to get all of this done so
they could adopt the tax levy by June 16th or 19th (the second meeting in June) but they can't adopt the tax levy until
August anyway because they have to post it for 60 days so they have up until the 19th of June to adopt the budget and this
gives them lots of time.
Mayor Schlum said that this will give them an opportunity to talk more about the budget and get some good input and
dialogue.
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Mr. McGuire clarified that because there is a requirement for two once a week publications of the tentative budget (the
resolution before them tonight), that two week gap is going to guide when the Council will have to adopt the tentative
budget resolution. If that doesn't happen until the last regular meeting in June, they will need to schedule another special
session at the end of June to hold the required public hearing. He stated that that is really the only timing issue they hav e -
- the gap between the hearing and the adoption of the levy is going to happen naturally with the break over July.
Mayor Schlum said that they should get a place holder out there and said this item has been pulled. He encouraged people
to come back to speak to that item at the Monday, May 23rd meeting when the entire budget will be discussed.
AGENDA ITEM #5 - DISCUSSION WITH POSSIBLE DIRECTION TO STAFF REGARDING THE
POTENTIAL TO HAVE THE FOUNTAIN HILLS SANITARY DISTRICT ASSUME THE ONGOING
RESPONSIBILITY FOR THE MAINTENANCE OF THE EFFLUENT WATER QUALITY IN FOUNTAIN
PARK LAKE AND TO POTENTIALLY DRAFT AN AGREEMENT BETWEEN THE TOWN AND THE
DISTRICT REGARDING THE TERMS AND CONDITIONS.
Director of Community Services Mark Mayer addressed the Council relative to this agenda item and said that back in
December the Sanitary District was present and provided information that they had received from a consultant. The crux
of the report was some recommendations/suggestions that were made and some costs associated with doing some
improvements to the water quality in Fountain Park Lake. At that meeting there was discussion about the potential for
forming a committee made up of representatives from the Sanitary District and the Town Council. Since that time staff
has accomplished that and representatives from the Town include himself, Director of Development Services Paul Mood
and Councilmember Hansen. Mr. Mayer said that they met with Vice Chair Bruce Hansen of the Sanitary District and
some of his staff as well as Ron Huber and his staff. The committee ha s met twice and at the most recent meeting a
recommendation came forward from the Sanitary District saying that they were interested in the possible assumption of
the responsibilities for the quality of the lake water and want to know if that is something that the Town would be
amenable to.
Mr. Mayer advised that staff needs direction from the Council on this issue and if this is an issue that needs to be explored
staff would like the opportunity to continue to work with the District and the Town Attorney to come up with an
agreement that the Council and the Sanitary District Board could consider. He noted that their Board met on Tuesday
night and joining him this evening is Bruce Hansen who will talk about the issue and the Board's discussion and Ron
Huber who sat in on the discussions as well. He indicated his willingness to respond to any questions from the Council.
He added that obviously there are a lot of details to be worked out and so there is some work to do if that is the direction
that the Council wishes staff to move in.
Mayor Schlum thanked Mr. Mayer for his comments.
Fountain Hills Sanitary District Board Vice Chair Bruce Hansen addressed the Council and said at the Tuesday night
Board meeting, they agreed by a 5-0 vote that they would like to pursue this project. He stated that they started this
several months ago because the lake is an integral part of their effluent disposal system; a very important part. He advised
that the water they furnish to the lake, once they put it in, is triple A water that exceeds State standards but once it gets
into the lake and stays there for a little while it becomes not so good anymore. He added that they needed to do something
so they worked with the consultant that the Town works with and came up with some ideas, which were in the previous
presentation they gave to the Council. Since then they have met with the Town's representatives and it has come to the
point to decide whether they really want to proceed with this and is the Council amendable to the idea that the Sanitary
District will be responsible for the quality and maintenance of the lake water. He commented that the devil is in the
details and they will have to be worked out; they are not looking for any details tonight -- they are only looking for the
Council's direction and for them to direct their staff to work with the District's staff to proceed with this, try to come up
with an IGA that they can both agree to (what each entity will be responsible for). He said that they have wha t they
believe is a good plan and it is going to take some time to do it (in steps) and added that the plan will ensure that the water
in the lake does not have an odor. He added that then they can proceed and do other things that would be nice to do but
those are down the road and they will talk about them then. He requested that if the Council agrees tonight that this is a
good idea that they give the needed direction and they will proceed from there. He further stated that if they do not want
to proceed in that direction the District will stop pursuing it. He noted that the District's General Manager Ron Huber is in
the audience and said that he and Mr. Huber will be happy to respond to any questions the Council might have.
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Mayor Schlum thanked Vice Chair Hansen for his comments.
There were no citizens wishing to speak on this agenda item.
Vice Mayor Contino thanked the members of staff and the Sanitary District for coming forward and said that this has been
needed for a long time. He added that with the two entities working together he believes this will be a great project for the
District to take over.
Vice Chair Hansen thanked Councilmember Contino for his support and noted that this will be a cooperative effort
between the Sanitary District and the Town -- with all working together to solve a problem.
Councilmember Brown commented that it is nice to see the District and the Town working together, particularly to
alleviate the smell that emanates from the water during the summer months, and that he has looked at the pros and cons of
this proposal and sees more advantages associated with the proposal than disadvantages. He added that he too supports
the idea of working together.
Councilmember Dickey agreed that the devil is in the details and asked if there is going to be a capital budgetary impact
whether there is a way to know a timeframe or any other important facts while they are discussing the budget.
Vice Chair Hansen replied that his idea on this, and he believes the District's idea, is t hat the Town will not be asked for
any capital money. He clarified that that doesn't mean they won't ask the Town for any money but no capital money and
that is part of the details that they will be working on. He stressed that all of that will be brough t back before the Council.
He advised that the first thing they plan to do is have a comprehensive lake management plan drawn up. He stressed the
importance of having a manual in order to know how to address the different situations that may arise. He a dvised that
that will not be an expensive thing to and added that the Town has picked an excellent person to work with (Rick Amulfi)
who the District has worked with before and has great respect for.
Councilmember Dickey commented that the project seems to be a priority and she just wanted that to be kept it mind as
they move along.
Vice Chair Hansen assured Councilmember Dickey that this will not impact the Town's budget that is coming forward.
Councilmember Dickey said that she is sure that Vice Chair Hansen and his wife Councilmember Hansen will be keeping
close watch on this and thanked Vice Chair Hansen for his efforts in this regard.
Councilmember Hansen commented that staff has been talking about expending some dollars on improving the aeration
system in the lake and during the last few meetings it has come to light that that is something that probably would not be
very effective. She further stated that part of this process will be coming up with an alternative that will actually save t hat
money while working towards the ultimate goal.
Discussion ensued relative to the fact that the proposed budget now contains $100,000 for aeration equipment for the lake
and the District does not recommend that the Town does this; the possibility of the District taking a portion of that money
to help with other things; Councilmember Leger's question as to whether or not the District's scope of responsibility will
entail the operation of the Fountain because they (lake and Fountain) are associated with one another or is that something
that has yet to be determined; Vice Chair Hansen's reply that that has yet to be determined (there is one line of thought
that says we do the lake and you do the Fountain but he is not sure that he likes that line of thought but it is going to be a
joint effort/operation whichever way they go); the fact that Vice Chair Hansen would like to see the lake and the Fountain
handled as one thing because they do work together (the aeration from the Fountain is important and they are going to try
and help that a lot but if the Town wants to run the Fountain for a special event they don't want someone else to be in
control); Vice Chair Hansen's remark that it might end up that the Town is responsible for the Fountain (when they run it
and when they don't) but they would have to work together; the fact that this has not been determined yet and it will be
part of what goes into the IGA; Councilmember Leger's statement that one of the past discussion items was coloration and
his opinion that that is important but not part of the discussion; Vice Chair Hansen's comment that that will be part of the
solution because the chemicals are a part of the solution and the District has looked into this so they can control the algae ,
etc., and they have found out that there are a number of manufacturers involved in this (you can get the brand name or
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something else and something else might be just as good and a whole lot less expensive and that will be part of the
discussion).
Mr. Huber addressed the Council and said that as far as the issue of the coloring, that will become an integral part of the
comprehensive lake management plan and so any of the chemical additions will be part of the plan. He added that in
talking with the Town's lake management consultant before anything is done the most important thing is developing that
comprehensive plan. He stated that once they have that in place they will probably be at 30% of the project.
Councilmember Elkie thanked Vice Chair Hansen and Mr. Huber for his comments and said that he supports moving
ahead with this cooperative effort and looks forward to hearing more details about it.
Mayor Schlum said that the Sanitary District has been a great partner for years and has been a part of the success of the
Fountain, the sprinkling of the grass and many other benefits that they have brought to the community. He stated that he
can't see any reason not to go forward with this unless staff or something else came up that raised questions about actually
getting to the finish line but he doesn't see that happening and it is not a concern.
Vice Chair Hansen noted that the District's joint meetings with the Town have gone very well and everyone has provided
good input. He added that he is very impressed with how it has proceeded.
Mayor Schlum commented that staff has recommended that the Council move forward on this proposal and stated that he
appreciates the collaboration that has taken place and the proposed approach.
Councilmember Hansen MOVED to authorize the Town staff and Town Council liaison to work with the Sanitary
District and their Boardmembers to draft an agreement for consideration by both the Sanitary District Board and the Town
Council outlining the potential terms of an arrangement under which the Sanitary District would assume the ongoing
responsibility of managing the effluent water quality of Fountain Park Lake and Vice Mayor Contino SECONDED the
motion.
Councilmember Elkie said that they are directing the entities to draft an agreement and asked if they were going to have
additional discussion before something was put into writing (who is paying the legal fees if they are putting a legal
agreement together?).
Vice Chair Hansen said his thoughts were that they would have a committee put together an IGA, which Mr. McGuire
would be involved in along with the District's attorney and then that would be brought back before the Council and the
District's Board of Directors because they would need approval from both before proceeding.
Councilmember Hansen stated that it would probably be a good idea to have another joint meeting just to discuss that
document and the Mayor and Councilmembers concurred.
Vice Chair Hansen agreed and said that it will take a little time to put this together.
The motion CARRIED UNANIMOUSLY (7-0).
Mayor Schlum again thanked staff, Vice Chair Hansen, Mr. Huber and everyone else involved in this worthwhile venture.
AGENDA ITEM #6 - CONSIDERATION OF REAOLUTION 2011-16, DECLARING AS A PUBLIC RECORD
THAT CERTAIN DOCUMENT FILED WITH THE TOWN CLERK AND ENTITLED THE "PLANNED AREA
DEVELOPMENT, CRESTVIEW AT FOUNTAIN HILLS."
Mayor Schlum advised that there will be one report on Agenda Items 6 through 8 with separate motions on each item.
Senior Planner Bob Rodgers addressed the Council relative to this agenda item and said that this is an application under
Chapter 23 of the Zoning Ordinance for the Crestview at Fountain Hills Planned Area Development (PAD). He noted that
the applicant is the Town and stated that the proposal is to re-adopt the terms of the recently expired pre-annexation
Development Agreement for the Crestview and The Summit parcels as a PAD zoning classification. He provided the
location of the property and said that it consists of two parcels, the main parcel be ing The Crestview, a single-family
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subdivision and the other being The Summit condominium subdivision. He referred to slides depicting the plan of
annexation and plats (Presentation on file in the office of the Town Clerk) and said that the lots in both subdivisions have
all been platted. The PAD recognizes those plats and that the roads and utilities are all in. He noted that the PAD is a re -
adoption of the original conditions of approval which have been used in the development of the agreement's expir ation of
2009. He stated that no new regulations are being proposed. The PAD is more restrictive in some instances, the same in
some and less restrictive in others. It allows The Summit condominiums to be developed according to the M -1 zoning
district regulations, which is effectively no different than if The Summit was approved today and this is the way that the
condominium plat and the improvement plans were approved. He said that there are some differences within the
development of the Crestview single-family subdivision and today's standards and hit on the main points of the
presentation. Mr. Rodgers discussed other information contained in the staff report and advised that staff recommends
Council approval.
There were no citizens wishing to speak on this agenda item.
Mayor Schlum thanked Mr. Rodgers for his presentation.
In response to a question from the Mayor regarding retaining wall height, Mr. Rodgers replied that the wall will be
straight but there are going to be variations in the height of a retaining wall. He said that it could be up to 18 feet in
portions of but it has to average out to 11 feet maximum.
Councilmember Hansen commented that approving this will just allow development to continue as it has for the first ten
years of the original development agreement (it will be consistent with what has been built so far) and Mr. Rodgers
concurred with that statement.
Mayor Schlum MOVED to approve Resolution 2011-16 and Councilmember Brown SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #7 - PUBLIC HEARING OF ORDINANCE 11-02, ADOPTING THE PLANNED AREA
DEVELOPMENT, CRESTVIEW AT FOUNTAIN HILLS" BY REFERENCE; PROVIDING FOR
SEVERABILITY AND PENALTIES. CASE #Z2010-05.
(For discussion on this see Agenda Item #6 above.)
Mayor Schlum declared the public hearing open at 8:32 p.m.
There being no citizens wishing to speak on this agenda item, the Mayor declared the public hearing closed at 8:32 p.m.
AGENDA ITEM #8 - CONSIDERATION OF ORDINANCE 11-02, ADOPTING THE "PLANNED AREA
DEVELOPMENT, CRESTVIEW AT FOUNTAIN HILLS” BY REFERENCE; PROVIDING FOR
SEVERABILITY AND PENALTIES. CASE #Z2010-05.
(For discussion on this see Agenda Item #6 above.)
Councilmember Dickey MOVED to approve Ordinance 11-02 as presented and Councilmember Brown SECONDED the
motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #9 - PUBLIC HEARING OF A SPECIAL USE PERMIT FOR AT&T WIRELESS
COMMUNICATIONS TO ALLOW THE INSTALLATION OF A 65-FOOT TALL CELLULAR MONOPALM
AT 11807 N. SAGUARO BOULEVARD, WHICH IS LOCATED IN THE C-3 ZONING DISTRICT. CASE
#SU2010-04.
Mayor Schlum declared the public hearing open at 8:35 p.m.
Senior Planner Bob Rodgers addressed the Council relative to this agenda item and agenda item #10 as well. He advised
that the property is on the north side of Saguaro Boulevard and is currently occupied by the Alamo Bar and Southwest
Shutters. He referred to slides depicting the plans for the proposed monopalm location (Presentation on file in the office
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of the Town Clerk), three additional 20-foot palms, the equipment enclosure and a paved driveway/parking area for
servicing the equipment. He explained that in order to grant the Special Use Permit certain criteria must be met and
outlined the various criteria contained in the staff report or a waiver must be granted within the SUP. He advised that staff
believes that the proposal as a stealth palm and the additional trees adequately addresses the criteria. He further stated that
the ordinance requires a 100-foot fall down distance and in this case that is 65 feet or, if that is not available, a waiver
within the SUP. He reported that the proposal is for a 43 foot distance and staff believes that this could potentially cause
off-site damage if the tower were to fall. He discussed the proximity to residential uses and advised that the ordinance
calls for a 300-foot separation from residences or a waiver within the SUP. Staff believes that the tower location on the
opposite side of Saguaro Boulevard across from residential uses will have no detrimental effect on those residential
properties. He provided additional information on the proposal as outlined in the staff report and advise d that staff
recommend approval with the appropriate waivers as noted and subject to the stipulations contained in the staff report. He
noted that the applicant's representative is present and both he and the representative are willing to respond to questions
from the Council.
Mayor Schlum thanked Mr. Rodgers for his presentation.
There were no citizens wishing to speak on this agenda item.
The Mayor declared the public hearing closed at 8:40 p.m.
AGENDA ITEM #10 - CONSIDERATION OF A SPECIAL USE PERMIT FOR AT&T WIRELESS
COMMUNICATIONS TO ALLOW THE INSTALLATION OF A 65-FOOT TALL CELLULAR MONOPALM
AT 11807 N. SAGUARO BOULEVARD, WHICH IS LOCATED IN THE C-3 ZONING DISTRICT. CASE
#SU2010-04.
(For discussion see Agenda Item #9 above).
In response to a question from Councilmember Elkie, Mr. Rodgers explained that the 8-foot wall would be around the
ground-mounted equipment in the rear of the building and referred to slides depicting the wall.
Councilmember Elkie asked if there was any discussion with the businesses in the immediate area and Mr. Rodgers
replied that only with the property owners who signed the application and they are in favor of the proposal.
Councilmember Elkie asked if there was any possibility for a shorter palm and said that he has some reservations because
it is right along Saguaro Boulevard, a well traveled area, and it seems to stick out like a green thumb even though it is a
palm.
Mr. Rodgers advised that that stretch of Saguaro Boulevard has a lot of other palm trees about that same size and this one
will be slightly lower and a little thicker in the trunk and hopefully the other three palms will grow to eventually be that
size as well.
Councilmember Leger asked in terms of alternative sites whether Desert Vista Park was considered at all since it is very
close to this location and there are some rather large light polls there that could accommodate a cell.
Mr. Rodgers stated that there is a rather large cell tower in that park right now. He had conversations with staff from
Parks & Recreation and given the problems they have had with that tower they didn't want any more in the park. He said
that the problems had to do with maintenance of the pole -- the company intends to perform maintenance on it (they are
not very neat).
Councilmember Dickey asked if this will improve service for people that live in Fountain Hills and Mr. Rodgers
responded yes, if you are an AT&T service customer.
Mayor Schlum advised that wireless technology is very important and there is a need for connectivity. He said he would
prefer to have this in Desert Vista Park where they have a tower but acknowledged the difference in size (lower) and is
sure it had something to do with the engineering there. He asked if this is closer to the alley.
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Mr. Rogers replied yes, it is behind the Alamo Bar (behind the property adjacent to the building but on the back side).
The Mayor stated that there are vehicles traveling through the alley and parking in the back and asked if it falls and
potentially hits another building or property what the liability would be.
Mr. McGuire advised that he does not believe that the Town would incur any liability for the tower should it fall. He
added that the Town's regulations are designed to ensure that the towers would fall in a safe area and as t hey get more and
more towers they are more likely to be next to structures. He said that they have been permitting towers for 16 years now
in various communities and one has not fallen yet.
Mr. Rodgers said that there are bollards around the base to keep vehicles from hitting it. He said that the only people who
might run into it would be somebody who is directly behind (parking against the building).
Mayor Schlum stated that he is not really a fan of these because you can tell they are not real but the y are better than a
new pole going up in the area. He added that he personally knows that this is an area that AT&T has some coverage
problems in and this will help with what is important in today's day and age. He said that he was in favor of it moving
forward but said other communities are looking at different solutions that might utilize lower elevations and he would like
staff to make sure that they keep on top of that as well as co-locations so they can leverage one tower for more than one
provider.
Councilmember Leger said that they obviously did not consider faux cactus because of the height needed and Mr. Rodgers
concurred and stated that the largest saguaro they have had was about 40-feet high.
Mr. Rodgers advised that this would be the second palm tower approved but the first one to be built (one was approved for
behind the Bus Barn but it never went up).
Vice Mayor Contino stated that he believes they have a cactus tower on Eagle Mountain and Mr. Rodgers noted that there
are about five down by Eagle Mountain.
Councilmember Dickey MOVED to approve the Special Use Permit as outlined in the applicant's narrative and described
in the staff report subject to the stipulations contained in the staff report and Councilmember Hansen SECONDED the
motion.
There were no citizens wishing to speak on this agenda item.
The motion CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #11 - CONSIDERATION OF AUTHORIZING THE TOWN MANAGER TO APPROVE
CHANGE ORDER C2011-125.1 WITH CACTUS ASPHALT IN AN AMOUNT NOT TO EXCEED $18,000.
Director of Development Services Paul Mood addressed the Council relative to this agenda item and advised that he will
present one report covering agenda items #11 through #13. He said that currently the Town does pavement maintenance
on seven different zones throughout the Town, one each year, and currently they are working in Zone 5 this fiscal year
and referred to its location on a screen (Presentation on file in the office of the Town Clerk). He noted that the Council
approved contracts for Zone 5 in April and said that all of the streets shown on the screen will be receiving crack seal, tire
rubber modified surfacing or slurry seal (whatever is need for each). He stated that they also restripe any striping that is
needed. He advised that they have three different contractors involved and the contracts total $396,000 and are written as
not to exceed amounts. He discussed unit pricing and other information contained in the staff report. He commented that
this was a great opportunity to partner with the Fountain Hills Sanitary District and reported that they have agreed to pay
the Town for a portion of the work they would have been responsible for with regard to the well work that they
completed. He noted that staff spoke with the contractors and they will extend their unit prices from the other contract to
come and do the Town's work. The contracts they got for Zone 5 were based off of other municipal contracts, one ADOT
contract and a Pinal County contract so staff piggybacked off of much larger contracts and found the best possible price
out there. He referred to a slide that depicted a breakdown of the three change orders (crack seal, slurry seal and
pavement markings) and noted that the proposed costs have about a 10% buffer included (the actual amount would be
$91,644.36). Staff will make sure that the Town only gets billed for what goes down on the streets.
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Mr. Mood advised that the Sanitary District's portion of the downtown area is roughly $34,000 and the Town's portion
roughly $68,000. He added that the total project is just under $498,000 for Zone 5 and the downtown and the Town's
portion of that is $464,000 with the Sanitary District's portion being approximately $34,000. He said that the Town's
budget for pavement management this year was roughly $520,000 and they had to use about $20,000 of it to repair curbs
in Zone 4 from last year that were not completed.
He reiterated that this is a great opportunity to partner with the Sanitary District and said that staff recommends approval.
He indicated his willingness to respond to any questions.
There were no citizens wishing to speak on this agenda item.
Councilmember Leger said that it is important to note that they had close to $520,000 budgeted for this work in this fi scal
year and with the initial phase plus the change order they are still coming in lower than what was budgeted (a surplus of
about $51,000). He added that he appreciates the fact that the Sanitary District is sharing in the costs and he agrees that
this is the time to strike and he supports moving forward.
In response to a question from Councilmember Elkie, Mr. Mood stated that the alleyway will not be done. When the
Sanitary District dug their trench they basically replaced most of the alley. He said that the Town two or three years ago
put off resurfacing these roads because they knew the Sanitary District project coming to Zone 2, which is the downtown
area, was not scheduled until 2014 (if they don't do this now they will probably be putting it off until 2014).
Councilmember Hansen asked when the work was scheduled to be done and Mr. Mood replied that the contractors in
Zone 5 have extended their unit prices so once the crack sealing is done in Zone 5, the contractor will move to the
downtown area. He reported that they started this week and estimated about a three-week duration of their work and they
are a little bit ahead of schedule so they will probably see the crack seal done in the downtown area in about three weeks.
The slurry seal contractor is committed to other jobs so they aren't going to start Zone 5 until probably the third week in
June and once they are done there (they have about a two weeks there) they would roll into this. He added that they will
probably see the slurry seal in the downtown area being done either right before the 4th of July or right after and they can
work with Community Services staff to coordinate that between events. He stated that they also talked to the slurry seal
contractor about possibly doing the downtown work at night and there are some issues there due to lighting and they want
to make sure that they get it all done properly (a lot of hand work).
Councilmember Hansen said that it is during the slow time and they will work around the 4th of July and Mr. Mood
concurred.
Mayor Schlum commented that timing is important.
Councilmember Elkie MOVED to approve Change Order C2011-125.1 between Cactus Asphalt and the Town of
Fountain Hills in an amount not to exceed $18,000 and Councilmember Leger SECONDED the motion.
There were no citizens wishing to speak on these agenda items.
The motion CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #12 - CONSIDERATION OF AUTHORIZING THE TOWN MANAGER TO APPROVE
CHANGE ORDER C2011-127.1 WITH SOUTHWEST SLURRY SEAL, INC. IN AN AMOUNT NOT TO
EXCEED $68,000.00.
(For discussion see Agenda Item #11 above.)
Councilmember Leger MOVED to approve Change Order C2011-127.1 with Southwest Slurry Seal, Inc. and the Town of
Fountain Hills in an amount not to exceed $68,000 and Councilmember Dickey SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0).
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AGENDA ITEM #13 - CONSIDERATION OF AUTHORIZING THE TOWN MANAGER TO APPROVE FIRST
AMENDMENT TO CONTRACT C2011-128 WITH PAVEMENT MARKING, INC. IN AN AMOUNT NOT TO
EXCEED $12,500.00.
(For discussion see Agenda Item #11 above.)
Councilmember Leger MOVED to approve the first amendment to contract C2011-128 with Pavement Marking and the
Town of Fountain Hills in an amount not to exceed $12,500 and Councilmember Elkie SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #14 - CONSIDERATION OF APPROVING A PROFESSIONAL SERVICES CONTRACT
WITH PFM ASSET MANAGEMENT FOR INVESTMENT MANAGEMENT SERVICES OF TOWN'S FUNDS.
Ms. Ghetti addressed the Council relative to this agenda item and advised that back in December the Council amended the
Town's financial policy to allow for investment in other than the Local Government Investment Pool (LGIP). Currently,
the Town keeps all of its idle funds in the LGIP and the return on that investment has been less than 1% (.06%) this year.
Staff intends to take some money and invest it in another option and piggyback off their contract with Goodyear (the same
company that the cities of Scottsdale, Oro Valley, Tempe, Chandler and Mesa also issued an RFP for investment services
with) -- PFM Asset Management. PFM invests solely for municipalities and governments and will follow the Town's
investment policy/guidelines. This contract does not authorize putting any money into that fund; staff will come back to
the Council when they want to take money out of the pool and transfer it over to PFM. She confirmed that there are no
upfront costs and indicated her willingness to respond to any questions from the Council.
There were no citizens wishing to speak on this agenda item.
Councilmember Dickey MOVED to approve a Professional Services contract with PFM Asset Management for
investment management services of Town funds through February 2012 and Councilmember Elkie SECONDED the
motion, which CARRIED UNANIMOUSLY (7-0).
AGENDA ITEM #15 - COUNCIL DISCUSSION/DIRECTION TO THE TOWN MANAGER.
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 TOWN MANAGER.
Ms. Ghetti advised that the telephone number for Allied Waste will be placed on the Town's website and on Channel 11.
She added that staff will move forward with the potential IGA with the Fountain Hills Sanitary District for water quality.
Mayor Schlum stated that staff should also make sure that they have a place holder for the potential June 30th meeting and
hold another joint meeting with the Sanitary District.
Councilmember Elkie referred to Agenda Item #4 and said that there has been some discussion between staff about
televising the Special Sessions on Monday and Wednesday and wanted the public to be aware of that.
Mayor Schlum stated that there will be great Memorial Day services held on Monday at 9:00 a.m. at the Veteran's
Memorial and encouraged attendance at this event. He stressed the importance of remembering our Veterans.
AGENDA ITEM #17 - ADJOURNMENT
Councilmember Brown MOVED to adjourn the meeting and Councilmember Hansen SECONDED the motion, which
CARRIED UNANIMOUSLY (7-0). The meeting adjourned at 9:05 p.m.
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TOWN OF FOUNTAIN HILLS
By __________________________
Jay T. Schlum, 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 Regular Session held by the
Town Council of Fountain Hills on the 19th day of May 2011, in the Town Hall Council Chambers. I further certify that
the meeting was duly called and that a quorum was present.
DATED this 16th day of June 2011.
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Bevelyn J. Bender, Town Clerk