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HomeMy WebLinkAbout2011.1006.TCRM.Minutesz:\council packets\2011\r10-20-11\111006m.docx Page 1 of 15 TOWN OF FOUNTAIN HILLS MINUTES OF THE REGULAR SESSION OF THE FOUNTAIN HILLS TOWN COUNCIL October 6, 2011 * CALL TO ORDER AND PLEDGE OF ALLEGIANCE Mayor Schlum called the meeting to order at 6:32 p.m. in the Town Hall Council Chambers. * INVOCATION – Mr. Kurt Beckman, Christ Church * ROLL CALL Present for roll call were the following members of the Fountain Hills Town Council: Mayor Schlum, Vice Mayor Contino, Councilmember Leger, Councilmember Brown, Councilmember Hansen, Councilmember Elkie and Councilmember Dickey. Interim Town Manager/Finance Director Julie Ghetti, Town Attorney Andrew McGuire and Town Clerk Bev Bender were also present. * MAYOR'S REPORT Mayor Schlum announced that yesterday was the Homecoming Parade and thanks to the Boosters and a lot of other people, the Avenue was decorated beautifully and there was a great turnout. He encouraged residents to go out to the field and root for the Falcons at the Homecoming game, tomorrow night (Friday) at 7:00 p.m. at Fountain Hills High School. The Mayor stated that on Saturday at 8:00 a.m. the Mayor's Hike will take place out at Golden Eagle Trailhead (they will meet at 7:45 a.m.). He added that following the hike, a block watch open house will be held at 10:00 a.m. at the Community Center. He noted that "Make a Difference Day" will take place on October 22nd and encouraged citizens to come together and volunteer for different projects throughout the community. He said that the Business Expo will be held on October 26th at 3:00 p.m. at the Community Center. Mayor Schlum also stated that yesterday was Vice Mayor Contino's birthday and wished him a very happy belated birthday. (i) November 8, 2011 Election Reminders: This will be the Town’s first all mail ballot election; ballots will be mailed on October 13th to each voter who is registered by the October 10th registration deadline. Publicity Pamphlets for the November 8, 2011, Bond Election were mailed last week to each household in which a registered voter resides. The Publicity Pamphlet is also available on the Town’s election website at Town Hall. Any questions on voter registration status, contact the Town Clerk’s Office (480 -816-5100) or the Maricopa County Recorder’s Office (480) 506-1511. *SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS (i) Rotation of the Vice Mayor position to Councilmember Dickey. Pursuant to Section 2-2-2 of the Fountain Hills Town Code, each member of the Council, except the Mayor, shall serve an eight -month term as Vice Mayor and shall perform the duties of the Mayor during his absence or disability. Mayor Schlum thanked Vice Mayor Contino for helping him out during his term as Vice Mayor and said that he did a great job. z:\council packets\2011\r10-20-11\111006m.docx Page 2 of 15 The Mayor congratulated Vice Mayor Dickey on her appointment and said that he knows she will do a great job as well. (ii) The Mayor will read a Proclamation declaring October 2011 McDowell Mountain Month. Mayor Schlum stated that the preservation of the McDowell Mountains and the Sonoran Desert has been established as a high priority for the Town of Fountain Hills and its citizens. He said that it is the desire of the Town to raise awareness regarding the need to preserve these valuable treasures for future generations. The Mayor further stated that the first permanent access trail to the Preserve has been completed that links the McDowell Mountain Regional Park’s Dixie Mine Trail to the Preserve’s northern boundary via the Sonoran Trail. Mayor Schlum said that it is his honor to declare the month of October 2011 as “McDowell Mountain Month” in Fountain Hills and called upon all citizens to take a moment during the month to appreciate the beauty of this community treasure. (iii) The Mayor will read a Proclamation declaring October 2011 Fire Prevention Month. Mayor Schlum stated that the Town of Fountain Hills is committed to ensuring the safety and security of those living in and visiting the community and noted that fire is a serious public safety concern both locally and nationally and homes are the locations where people are at greatest risk from fire. The Mayor reported that home fires killed more than 2,500 people in the United States in 2009, according to the latest research from the nonprofit Fire Protection Agency and fire departments in the United States responded to more than 360,000 home fires. He added that cooking equipment is the leading cause of home structure fires and associated injuries and the third leading cause of home fire deaths. He said that heating and electrical equipment and smoking materials are among the leading causes of all reported home fires; home candle fires are reported to a US fire department every 30 minutes on average and the risk of dying in a home structure fire caused by smoking materials rises with age; working smoke alarms cut the risk of dying i n reported home fires and automatic fire sprinkler systems cut the risk of dying in a home by about 80%. The Mayor announced that Fountain Hills firefighters are dedicated to reducing the occurrence of home fires and injuries through prevention and educat ion and stressed that residents who have planned and practiced a home fire escape plan are more prepared and will therefore be more likely to survive a fire. Mayor Schlum proclaimed October 2011 as Fire Prevention Month throughout the Town and urged all citizens to protect their homes and families by heeding the important safety messages of Prevention Month 2011 and to support the many public safety activities and efforts of Fountain Hills Rural/Metro Fire Department. (iv) The Mayor will read a Proclamation recognizing Customer Service Week (October 3-7, 2011). Mayor Schlum advised that in 1992 the U.S. Congress proclaimed Customer Service Week a nationally recognized event, celebrated annually during the first full week in October. He stated that Customer Service Week is devoted to recognizing the importance of customer service and honoring the people on the front lines of the service revolution. He noted that various Federal, State and local government officials throughout the country are taking this time to recognize, thank and commend all customer service personnel for the dedicated service they provide to citizens. He added that the Council would like to express its sincere thanks and appreciation for the outstanding service provided to the citizens o f the Town on a daily basis by the Customer Service Representatives of the Town. He said that the Town Council recognizes and commends the Customer Service Representatives for fulfilling the Town’s commitment to providing the highest and most efficient level of customer service. Mayor Schlum proclaimed the week of October 3 through October 7, 2011 as Customer Service Week in Fountain Hills and respectfully asked all citizens to join in expressing thanks for the outstanding work performed by the Customer Service Representatives of the Town throughout the year. (v) Presentation by Maricopa County Sheriffs’ Office Captain Joe Rodriguez regarding the “TEXT-A-TIP” Program. Maricopa County Sheriff’s Office Captain Joe Rodriguez addressed the Council regarding the “Text-A-Tip” Program and stated that it is used effectively by Police Departments in New York, Los Angeles, Chicago and Vancouver (Copy of the presentation available in the office of the Town Clerk). z:\council packets\2011\r10-20-11\111006m.docx Page 3 of 15 He advised that the tips provide the various Police Departments with invaluable information regarding drug houses, underage drinking parties, vandalism, graffiti, etc., and stressed that the program is 100% anonymous. He explained how the tips are routed and how the system ensures anonymity. He provided information on how to send a tip and discussed partnerships, funding the program, coordinating the launch and implementing the marketing plan. Captain Rodriguez stated that the program appeals to the entire community and commented on the effectiveness of Text-A-Tip in schools. He said that the School Resource Officer is Deputy Jill Ochsner and commented on the fact that Text -A-Tip is “Leading Edge” in law enforcement. He emphasized the importance of doing everything possible to ensure a safe community and provided a telephone number for anyone to call should they have questions regarding this new, innovative safety tool (602-876-3104). Mayor Schlum thanked Captain Rodriguez for the informative and interesting presentation and encouraged citizens to participate in this very worthwhile program and become more involved in the community and its safety. Vice Mayor Dickey thanked Captain Rodriguez, the Department and the Coalition for moving this program forward. Mayor Schlum also expressed appreciation to the Coalition for funding this program and helping to kick it off. (vi) Presentation of the Certificate of Excellence Investment Policy awarded to the Town of Fountain Hills by the Association of Public Treasurers of the United States and Canada. Mayor Schlum commented that it is great to be recognized for having excellent financial planning and execution because it has been important in getting the Town through a very difficult time. Mayor Schlum presented Interim Town Manager/Finance Director Julie Ghetti with a plaque from the Association of Public Treasurers of the United States and Canada and commended her and her staff on the great work that they continue to do for the Town and all of its residents. Ms. Ghetti advised that the Town has been formally recognized by the Association for having a written investment policy that is certified and is one of 22 governments to be recognized in the United States and Canada. A policy is only certified when that policy has met all of the criteria set forth in the program and recipients are presented with a plaque. Over the years, there have been a number of financial missteps by small and large entities and if the entities had an investment policy certified by the Association they most likely would have been able to avoid the pitfalls that got them into trouble. She said that such certification assures the public that the Town is abiding by the standards established to ensure prudent management of their public funds. The most important reason is to show the Town's citize ns the staff's commitment to high standards of ethics and stewardship over their resources. Ms. Ghetti discussed the various criteria that must be met in order to achieve certification and noted that the policy was first adopted in March 2003 and updated in December 2010. She said that the policy is available on the Town website under the Administration Department Reports. (vii) Update regarding the Town Business Outreach Activities to fill vacant office and retail space by Lori Gary, Economic Development Administrator, and an Economic Update by Interim Town Manager/Finance Director Julie Ghetti. Deputy Town Manager/Finance Director Julie Ghetti addressed the Council relative to providing an economic development update and said that the report is for the three-month period July 1st through September 30th (Copy on file in the office of the Town Clerk). Ms. Ghetti referred to a chart that showed general fund revenues for the period ending September 30, 2011 totaling $3.1 million (where the Town is compared to last year and where the Town is compared to the budget -- they are approximately 98.4% of budget, which is pretty typical for the first three months of a fiscal year). She also referred to charts depicting all of the Town's other funds; a General Fund r evenue breakdown; local sales tax revenue breakdown; total local sales tax collections (fiscal years 06-07 through 10-11; July-September retail activity; July-September z:\council packets\2011\r10-20-11\111006m.docx Page 4 of 15 restaurant/bar activity; July-September Trans/Telecommunications sales tax activity; and July-September construction sales tax activity. Ms. Ghetti discussed the Town's economic outlook and emphasized caution stating that the economic outlook is volatile and affects consumer confidence, which affects retail sales. She noted that revenues will be monitored before expenditures are approved and said that research continues regarding privatization versus in-house and vice versa. She advised that the big question marks are sales tax and the legislature. Ms. Ghetti indicated her willingness to r espond to questions from the Council. Mayor Schlum thanked Ms. Ghetti for the update. Economic Development Administrator Lori Gary addressed the Council relative to Town business outreach activities to fill vacant office and retail space (Copy on file in the office of the Town Clerk). Ms. Gary discussed retail and business recruitment as well as the importance of increasing Avenue vitality. She noted that economic development is a long - term, consistent effort that requires persistence and filling the pipe line. She said that they are seeking retail recruitment that will provide citizens with desired products/services, which will increase their quality of life and stressed the importance of retail trade shows and conferences as well as direct contact with retailers/representatives. She reported that as far as retail recruitment, the project cycle is one and up to two years out (shopping center and space inventory) and emphasized that efforts will focus on developing contacts with leasing agents and owners of local properties. She advised that recent activity/locates include Senor Taco, Sherwin Williams and Dunkin Donuts and provided an explanation of how the pipeline works. Ms. Gary discussed business recruitment strategy and the fact that the goal is to at tract businesses that will bring quality jobs to Town, increase the daytime population and build the community's economic base (basic sector industries); target industry identification; analysis of existing business base (used categories from business licenses, cross referenced GPEC targets, and the fact that there are three potential target business categories); target industry identification: 1) Professional, Scientific and Technical Services; 2) Health Care and Social Assistance and 3) Finance and Insur ance; the fact that targeted industry sectors met three areas: 1) Currently in operation in the community and thereby most likely to be successful in targeting for attraction; 2) Utilizes office space as part of the business operations and 3) Will create quality jobs within the community. Ms. Gary further discussed implementation strategies that have been completed: 1) Develop a list of target businesses; 2) Meeting with office space leasing agents and owners (input and feedback); and 3) Meeting with GPEC (input and feedback). She stressed the importance of market intelligence and competitive analysis (partnering with GPEC to perform outreach to existing businesses); case development; and targeted industry outreach preparation. She also commented on the goal of increasing Avenue vitality and increasing foot traffic and vibrancy on the Avenue. She discussed focusing on Saguaro Boulevard to Verde River Drive, vacant space and retail mix inventory and the importance of developing anchors. She said that efforts are being expended to develop a strategy to attract a third restaurant anchor and leasing agents have been contacted regarding vacant space. The Deutsch Architectural Group has developed a restaurant layout concept and a target list of regional restaurants has been developed. Efforts are being expended on case development and targeted industry outreach preparation. Ms. Gary focused on the importance of retail recruitment, business recruitment and increasing Avenue vitality and reiterated that efforts are being focused on a long-term, consistent effort (persistence is key to filling the pipeline). Ms. Gary indicated her willingness to respond to questions from the Council and said that she looks forward to attracting new and vibrant businesses to Fountain Hills. Mayor Schlum thanked Ms. Gary for her very informative presentation. Councilmember Elkie also expressed appreciation for the update and said that he looks forward to additional updates in the future. z:\council packets\2011\r10-20-11\111006m.docx Page 5 of 15 Councilmember Leger asked whether Ms. Gary had any idea when the three new companies may be operational and she replied that she does not know specific dates and deadlines. She added that just this afternoon she reached out to Senor Taco and told them that the Town was very interested in having t hem come into the community and for construction to begin but she does not know what their timeframe is at this point in time for selecting their contractor. She noted that Sherwin Williams has stated that it will take 60 to 90 days for tenant improvement s to be completed. She advised that Sherwin Williams will employ a handful of employees including a full time manager. She said that they cater to contractors as well as individuals and she believes they are planning to have a design center onsite as well. Vice Mayor Dickey stated that retail recruitment falls into increasing Avenue vitality and said she wonders if Ms. Gary can say that the Council is committed to improving the median and perhaps the whole Avenue of the Fountain area and use that as a way to show the businesses that they are welcome and the Council will do whatever they can to make that an even more attractive area than it is. Ms. Gary responded absolutely and said that they are going to put that into what she calls their case development and share it with the targeted list of companies when they talk to them (they will emphasize that the Council is totally committed to welcoming new businesses and making it easy to get through the process ). She added that they will also stress that the Council is committed to making investing in the community a very warm and inviting process. Mayor Schlum commented on the importance of achieving a high daytime population in Town as well as providing high - paying jobs in the community that will allow people to live, work and play within the Town. He said that once they can provide the retail jobs, there will be more demand for services and that will entice people to come to Town and make it easier to take better care of the existing businesses as well. He a dded that he is very excited about businesses coming to Town and said that Fountain Hills is a beautiful place to live but it is also a beautiful place to work. He thanked Ms. Gary for keeping the vision alive and encouraged her to continue to provide periodic updates to the Council. Councilmember Hansen brought up existing businesses and said that they still hear from people who are struggling with the rent that they pay and sometimes property owners prefer to have their businesses remain empty rather than lower rents. She asked if Ms. Gary is sensing any movement in that area -- are owners becoming more willing to negotiate and help people remain in their space. Ms. Gary replied absolutely and stated that over the past couple of years that she has been t here they have seen a reduction in the asking lease rates on a variety of different properties -- retail properties as well as office space. She advised that she recently met with a property owner and one of his office leases was up and they were very aggressive in keeping the tenant in their current space. Councilmember Hansen asked if there is any plan to move to the west end of the Avenue as well and Ms. Gary stated there are plans to do so but first they want to achieve some successes in the targeted a reas from Saguaro to Verde River and once that has happened they will move on to other areas. Mayor Schlum reiterated his appreciation to Ms. Gary for her efforts to date. * CALL TO THE PUBLIC Town Clerk Bev Bender advised that three citizens wished to address the Council. Linda Bordow addressed the Council and said that she has had an opportunity to meet with Julie Ghetti and Paul Mood regarding the road bond and noted that the first portion of the bond is $13.5 million that will cover Saguaro at $7.5 million. She stated that she finds some of the improvements in that objectionable. She has no problem repaving Saguaro, Fountain Hills Boulevard, Verde River Road and Parkview -- they are all in pretty bad shape. She advised that she is having a problem with the extra stuff that is going along with it like putting a roundabout in at the end of Avenue of the Fountains for $1.75 million -- included in that would be things like $400,000 for a street light if they choose to do that, the little street light poles that are up the Avenue and have the little banner signs that look great during the holidays they want z:\council packets\2011\r10-20-11\111006m.docx Page 6 of 15 to add more of as well as more street parking, etc. They also allotted $200,000 for four crosswalks although twelve places have been identified for crosswalks. She asked is there is a way to retract some of these items out of the current bond. She said it would take ten, fifteen or twenty years until they can pay off the $30 million bond and at that time they will have basically one-sixth of the Town done and then in 2020-21, a second bond will arise to the tune of about the same amount of money. Ms. Bordow added that she came across a letter that was sent to the Town from Sunland Asphalt in October 2009 that was an estimate to do Saguaro and the estimate for mill and overlay was $2,150,000 and she is wondering why the Town didn't do that then and why there is such a big difference between that number and the Saguaro number ($7.5 million). She said that she knows $1,075,000 is the roundabout. She also discussed the Text-A-Tip Program and stated that she thinks it is great that the communities are interested in keeping the youths off of drugs and said she is all for that but her question has to do with the anonymity of that program and expressed the opinion that sometimes kids can be mean to one another. She asked what would prevent a bully from going after a child that he doesn't like. She asked what the procedure will be once a tip has been received -- will there be surveillance and how will they prevent abuse. Ms. Bordow requested that all of the bond numbers be placed on the website. Mayor Schlum advised that they can only speak to items that are agendized this evening. He suggested that Ms. Bordow follow up with Ms. Ghetti and Mr. Mood to obtain the answers to any outstanding questions and added that later on in the meeting they may address her questions regarding the Text-A-Tip Program. Dina Galassini addressed the Council and commented on the bond election. She stated that the estimated tota l cost of the proposed bond authorization including principal and interest is over $44 million and said that is far too excessive for her as a taxpayer. She added that the Town should live within its means and it currently has $4.6 million in outstanding obligation bonds and the new bonds will pay for this debt and to her that is robbing Peter to pay Paul only Paul continues to come around for more money and in this case bonds. She said this is a debt being paid by another debt and interest upon interest and it gets the Town deeper into the hole. She stated the opinion that the proposed $44 million bonds are nothing but debt bondage and the Town is basically using its residents’ homes as security along with ending their current debt. She said that if the bond passes, it may very well have an impact on the future growth of the Town and in view of the current economy this is unacceptable to her. She noted that the loan comes with a variable rate of up to 12% and asked how many homeowners lost their homes because of variable rates. She added that funds from the bond are being proposed to be used very broadly and they are looking to finance too many major repairs and miscellaneous items. She stated that she can see the money being eaten up very quickly and the Town needing more bonds from their bondage slaves. She expressed the opinion that the Town is not selling bonds, they are really selling the residents out and should live within its means. Ms. Galassini also commented on Text-A-Tip and said that she is sure there are a lot of positives about it --like texting a tip on her neighbor per se. She added that if this goes through this Town is really getting on the "Big Brother Bandwagon" and stated that it is an ingenious way for people to police people. She commented on ways that this could be abused and added that the program will wind up costing residents more. Mayor Schlum thanked Ms. Galassini for her input. Linda Kavanagh addressed the Council and stated the opinion that no economic development plan should be completed without talking about business retention. She said they really need to mention that while there may be three businesses coming into Town, within a very short time they lost six businesses, some of which were in existence for a very long time. She stated that they need to find out why those businesses left and work harder at keeping the businesses that they have so that when they add three new ones, they are not just a replacement for the ones that they lost. Mayor Schlum thanked Ms. Kavanagh for her comments. Ms. Bender advised that one more citizen wished to speak to the Council. z:\council packets\2011\r10-20-11\111006m.docx Page 7 of 15 Andi Bell addressed the Council and said that she is glad that Senor Taco is coming to Town but noted that the meals average under $5.00 apiece and requires low skill to make. She stated that they used to have 50 restaurants in Town and they are all going so why are they attracting more restaurants. She added that there was a report from the Economic Development staff about eight months ago that stated that over 50% of people employed in Town live outside of the Town. She said that according to the presentation this evening, a letter is going out to technical peopl e as well as service and health care organizations to ask them why they are here, how they are doing, etc. so that others in that field could be contacted regarding coming to Town. She advised that if she owned a business and it was in the technical or he alth care field, she would not sit down and tell anyone her successes so that a competitor could come in. She requested that the Council think about what is being presented and where they should go from here. She added that perhaps economic development should focus on things with higher demand than what is being looked at right now. Mayor Schlum thanked Ms. Bell for her comments and requested that staff follow up with the citizens who posed questions this evening, particularly Ms. Bordow. * CONSENT AGENDA AGENDA ITEM #1 – CONSIDERATION OF APPROVING THE TOWN COUNCIL MEETING MINUTES FROM SEPTEMBER 13 AND 15, 2011. AGENDA ITEM #2 – CONSIDERATION OF RESOLUTION 2011-39, APPROVING AN INTERGOVERNMENTAL AGREEMENT WITH THE FORT MCDOWELL YAVAPAI NATION RELATING TO PROPOSITION 202 FUNDING. AGENDA ITEM #3 – CONSIDERATION OF AUTHORIZING A BUDGET TRANSFER IN THE AMOUNT OF $138,000 WITHIN THE SPECIAL REVENUE FUND FROM MISCELLANEOUS LINE ITEM TO THE PROPOSITION 202 LINE ITEM. AGENDA ITEM #4 – CONSIDERATION OF RESOLUTION 2011-40, APPROVING THE FIRST AMENDMENT TO FINAL SETTLEMENT AGREEMENT WITH MCO PROPERTIES, L.P. Councilmember Hansen advised that she had a possible conflict of interest on Agenda Item #4 and would refrain from voting. Councilmember Elkie MOVED to approve the Consent Agenda as listed and Councilmember Brown SECONDED the motion. A roll call vote was taken with the following results: Vice Mayor Dickey Aye Mayor Schlum Aye Councilmember Leger Aye Councilmember Hansen Abstain Councilmember Contino Aye Councilmember Brown Aye Councilmember Elkie Aye The motion CARRIED UNANIMOUSLY by those voting (6-0) with Councilmember Hansen abstaining from the vote. REGULAR AGENDA AGENDA ITEM #5 – CONSIDERATION OF APPOINTING ONE CITIZEN TO FILL A VACANCY ON THE STRATEGIC PLANNING ADVISORY COMMISSION (SPAC) FOR A TERM EXPIRING ON JUNE 30, 2013. z:\council packets\2011\r10-20-11\111006m.docx Page 8 of 15 Mayor Schlum MOVED to appoint Denise Atwood to fill one vacancy on the Strategic Planning Advisory Commission (SPAC) for a term expiring on June 30, 2013, and Vice Mayor Dickey SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). Mayor Schlum thanked Ms. Atwood for her willingness to serve on this Commission. AGENDA ITEM #6 - CONSIDERATION OF A REQUEST TO EXTEND THE REVIEW PERIOD FOR AN ENCROACHMENT PERMIT SUBMITTED BY CAROLYN REDENDO (SOFRITA, LLC) FOR THE PURPOSE OF CREATING AN OUTDOOR SEATING AND DINING AREA LOCATED IN FRONT OF THE RESTAURANT AS WELL AS CREATING A PERFORMANCE AREA FOR FLAMENCO DANCERS AND OTHER ENTERTAINMENT ON THE PUBLIC SIDEWALK AT 16848 E. AVENUE OF THE FOUNTAINS. Senior Planner Bob Rodgers addressed the Council relative to this agenda item and noted that in April of this year the Council approved a Temporary Encroachment Permit to allow Sofrita's to have an outdoor seating and dining area on the public sidewalk at 16848 E. Avenue of the Fountains. There were a number of conditions that had to be met and the Council said they could work on that for six months and if it worked out they would look at extending it for a longer period of time or possibly permanently. He reported that over the summer, Sofrita's was not able to do it because of the heat -- they didn't have the business numbers to justify having the outdoor seating area so they were not able to use it. He advised that just this week they got the fence up and they started to use the outside seating area. He said that tonight they are here to ask Council to grant another extension of three months, until the end of January 2012, to give them a chance to go through the cooler season when they will be able to use the outdoor area. He stated that in this way staff could then identify any potential problems that might arise. Mayor Schlum thanked Mr. Rodgers for his input. Ms. Bender advised that one citizen wished to speak to the Council. Frank Ferrara addressed the Council and requested that they support the request to extend the review period for Sofrita's restaurant. He said that they have been working very hard to complete and work out the three issues that were identified previously. He stated that with the cooler weather he believes that business will greatly improve because people love to eat outside, particularly when the weather is beautiful. He advised that he recently returned from a trip to New York and saw people enjoying their meals sitting at tables located outside the various restaurants. He added that he wanted to go on the record in support of this extension. Mayor Schlum thanked Mr. Ferrara for his comments. Councilmember Contino commented on the west side of the building where the sidewalk goes out to the back parking lot and noted that the last time he was there they had the fence all the way over so it was impossible for a pedestrian to go down there -- they had to cross and go the other way. He said that he doesn't mind that but when you have a table sitting there, there's not enough room to meet ADA (Americans With Disabilities Act) requirements. Mr. Rodgers advised that they have been working with them to come up with another way to design it. He referred to a chart showing the original approval with the fence going down the sidewalk like Councilmember Contino is talking about. He reported that they have stopped the fence so the 8-foot wide sidewalk will remain open. Councilmember Contino asked where they would put the restrooms and Mr. Rodgers responded that the owners have been working with the Building Department in order to come into compliance with those codes as well. Councilmember Contino noted that the last time he was there the band set up for the Flamenco da ncers and blocked the whole sidewalk so he could not go down there in his scooter. He asked how they are going to prevent that from happening. He further stated that all of the lights were plugged into the Town's outlet and questioned whether the Town was going to continue to pay for that usage. z:\council packets\2011\r10-20-11\111006m.docx Page 9 of 15 Mr. Rodgers advised that he was not aware of any agreement whereby the Town would pay for their electricity. He said that if they have to come to some kind of an agreement that would obviously be brought before the Council. He added that as far as the dancers blocking the sidewalk, they will have to work with them over the last few months while the permit is still valid to make sure that any of those types of problems are addressed. Councilmember Brown asked if staff had received any complaints and Mr. Rodgers stated that staff had not received any but the fence was just set up this week (it is bolted into the sidewalk). He said that staff will be able to find out if it is going to be a problem. He confirmed that the dimensions as the fence is set up right now meet ADA requirements. Mayor Schlum expressed the opinion that this is a great example of the staff and the Town working hard with a business to make the things that our community wants happen and to help the business become as successful as possible. He commented that this is relatively new territory for them, utilizing Town -owned space for a business use, but it has a great benefit to the residents as well. He noted that this proposal is in line with their planning that has gone on in conjunction with the Chamber and stakeholders on bringing vitality into the downtown area. He stated that everyone seems happy that Sofrita's is there and they are having a ribbon cutting ceremony next week. He added that this is also a perfect example of "hand holding" new businesses and helping them to get through the process as easily as possible without violating any codes that would have negative impacts. He said that as long as the Town continues to help its business es out through a very difficult economic time they will all get through this and hopefully the businesses will realize the success that they so deserve. He pointed out that they did not receive any complaints before and it is temporary to find out how it will work out and that is why they are considering continuing the extension of the encroachment period. He asked how problems will be addressed should any arise. Mr. Rodgers responded that both Planning and Building staff will check on the business and if they receive any complaints they will contact the owner and work on trying to revise the set up or perhaps move the Flamenco dancers to the side -- whatever it takes to solve the problems and hopefully achieve the success they all want. He added that if the electricity is an issue then that is something that will have to be worked out as well. Mayor Schlum commented that he is sure they can work something out and commended staff and the Chamber for helping the business go through this process. Councilmember Elkie pointed out that staff's recommended motion is to approve a three-month extension and said that when this was first approved it was for six months. He asked why the different time frame is being proposed. Mr. Rodgers replied that now that the fence is up the three months will get them through the cooler weather. He added that it doesn't make sense to take it through the hot weather period again. They would be fine with six months but they believe three months will suffice. Councilmember Elkie noted that the six months would get them to April when the weather starts getting hot again and people begin leaving Town. Mr. Rodgers explained that the owner would also like to have a final determination sooner rather than later. Councilmember Elkie asked if three months was going to be a sufficient period of time in which to properly assess whether this will work for the Town and Mr. Rodgers stated that he believes it will be. Councilmember Leger MOVED to approve a three-month extension of the review period for the right-of-way Encroachment Permit, subject to the stipulations of the original permit and Councilmember Hansen SECONDED the motion. Vice Mayor Dickey commented that she just returned from a trip to Italy and there too the outdoor cafes and restaurants were jam packed with people enjoying outdoor eating experiences. She stated that she took some pictures of where the z:\council packets\2011\r10-20-11\111006m.docx Page 10 of 15 tables were located as opposed to the cars and it was kind of amazing and she will share them later on with the Council. She agreed that this is really a step in the right direction. The motion CARRIED UNANIMOUSLY (7-0). AGENDA ITEM #7 – CONSIDERATION OF RESOLUTION 2011-35, APPROVING AN IGA BETWEEN MARICOPA COUNTY AND THE TOWN FOR ACCESS TO THE FOUNTAIN HILLS MCDOWELL MOUNTAIN PRESERVE THROUGH THE USE OF ADJOINING TRAILS IN MCDOWELL MOUNTAIN REGIONAL PARK. Community Services Director Mark Mayer addressed the Council relative to this agenda item and explained that what the Council has before them is a document that in essence staff and t he Town Attorney's office as well as their counterparts at the County have been working on for almost two years. He noted that significant growth has taken place around the regional parts of the County and people have found access to the parks not only th rough the front gates but also adjoining communities. He said that it has become more of an issue for the County to try and come up with intergovernmental agreements between the County and communities that gain access through their park for park purposes. He noted that the Town of Fountain Hills is a little unique because they now have access to the Preserve through their parks and also have access to the regional park trail system as well. He advised that the document before the Council was originally g enerated by the County Attorney and has gone through their staff and the Town's staff and Town Attorney back to their staff and Attorney. They are at the point now where if the Council is supportive of this, they will take it on behalf of the Town to the County Commissioners for their consideration. Mr. Mayer informed the Council that the agreement basically does a number of things including items relating to the maintenance of facilities and approval of management over recreational opportunities. He adde d that it basically sets forth what they are currently doing verbally -- only now all of that is contained in a written document. Mayor Schlum commented that now they are actually solidifying the agreement that they verbally agreed upon and Mr. Mayer concurred. Councilmember Elkie stated that Item #4 in the agreement deals with indemnification and asked Town Attorney Andrew McGuire to explain how that would apply. Mr. McGuire said that most of the agreements that the Town enters into are fairly one sid ed in terms of indemnification -- the Town is generally indemnified should anything happen. He added that whenever the Town enters into an agreement with a governmental entity other than ADOT (and they still have to indemnify them even for their own negli gence) they end up getting as much of a shared responsibility as possible. He further stated that in this case it was important to understand the different responsibilities across the different borders because people would not know, as they wandered through the trail system, which entity was involved so it was important to make sure that the responsibilities are shared as much as possible. Mr. McGuire elaborated further on this portion of the agreement and said that for the most part indemnity provisions are just a provision of current law. He said that as long as the trail is built right and according to regulations, liability is minimal. There were no citizens wishing to speak on this agenda item. Mayor Schlum commended staff, the McDowell Mountain Preservation Commission, the Sonoran Conservancy and the other groups that helped to build this trail and form this partnership. Vice Mayor Dickey MOVED to approve Resolution #2011-35, approving the IGA between Maricopa County and the Town for access to the McDowell Mountain Preserve and Councilmember Hansen SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). z:\council packets\2011\r10-20-11\111006m.docx Page 11 of 15 AGENDA ITEM #8 – CONSIDERATION OF APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH THE BOYS & GIRLS CLUBS OF SCOTTSDALE, MCKEE BRANCH, IN THE AMOUNT OF $80,000 FOR THE FISCAL PERIOD JULY 1, 2011 THROUGH JUNE 30, 2012 TO PROVIDE YOUTH PROGRAMS. Interim Town Manager/Finance Director Julie Ghetti addressed the Council relative to this agenda item. Ms. Ghetti stated that the Town's 2011-12 adopted budget included an appropriation for funding for agencies to provide specific services for the Town. In the past, this has gone through a competitive bidding process. The Town has extended these contracts and the professional service agreements will include programs that the Town specifically asked for and worked with the groups for delivery of service for Fiscal Year 2011 -12. She noted that the three programs that will be provided by the Boys &Girls Club include Academic Success, Good Character and Citizenship and Healthy Lifestyles for a total of $80,000. She added that the agreements include performance measurements and staff recommends approval. She emphasized that staff has worked with the agencies to ensure that the services the Town wants to be deliver ed will be delivered. There were no citizens wishing to speak on this agenda item. Vice Mayor Dickey stated that she just wanted to confirm that these programs are only available to members of the Boys & Girls Clubs and Ms. Ghetti said that there is a requirement for anyone who wishes to participate in any of the Boys & Girls Clubs' activities to become members and that protects them for liability purposes. Vice Mayor Dickey said that this issue has been one of contention for a while and advised that she is not completely at ease with this but with all of the scrutiny and work that has been done she doesn't want to leave any of these organizations in the lurch at this late date. She stated that she is glad that they are going to have the opportunity to talk further about this issue when they have their Council Retreat. Councilmember Leger MOVED to approve the Professional Services Agreement with the Boys & Girls Clubs of Scottsdale and disbursement of funds as stipulated in the contract and Councilmember Contino SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). Mayor Schlum thanked staff and the providers for working together on this issue. AGENDA ITEM #9 – CONSIDERATION OF A PROFESSIONAL SERVICES AGREEMENT WITH THE FOUNTAIN HILLS COMMUNITY THEATER IN THE AMOUNT OF $72,240 FOR THE FISCAL PERIOD JULY 1, 2011 THROUGH JUNE 30, 2012, TO SPONSOR THEATER PERFORMANCES FOR FOUNTAIN HILLS RESIDENTS. Interim Town Manager/Finance Director Julie Ghetti addressed the Council relative to this agenda item and stated that the Community Theater made a formal presentation to the Town Council regarding the programs and deliverables that were appropriated in the budget. She advised that this proposal indicated that with the appropriated funds in the amount of $72,240 the Town would underwrite losses for five youth programs and would fully underwrite two adult programs. The youth programs include: Beauty and the Beast, Legends in the Attic, Elves and the Shoemaker, Seussical Jr. and Chapters YABOY Production. The two adult performances consist of Crazy for You and Mame Season Finale. Ms. Bender advised that one citizen wished to speak to the Council on this agenda item. Andi Bell addressed the Council and said that perhaps this will also be spoken about during the Council Re treat -- another funding of a private corporation. Vice Mayor Dickey stated that she would not be voting on this item. Councilmember Brown MOVED to approve the Professional Services Agreement with the Fountain Hills Community Theater and disbursement of funds as stipulated in the contract and Councilmember Leger SECONDED the motion, which CARRIED UNANIMOUSLY by those voting (6-0) with Vice Mayor Dickey abstaining. z:\council packets\2011\r10-20-11\111006m.docx Page 12 of 15 AGENDA ITEM #10 – CONSIDERATION OF A PROFESSIONAL SERVICES AGREEMENT WITH THE EXTENDED HANDS FOOD BANK IN THE AMOUNT OF $30,250 FOR THE FISCAL PERIOD JULY 1, 2011 THROUGH JUNE 30, 2012, TO PROVIDE FOOD AND SOCIAL SERVICE REFERRAL FOR FOUNTAIN HILLS RESIENTS. Interim Town Manager/Finance Director Julie Ghetti addressed the Council relative to this agenda item and advised that along with the other groups the Extended Hands Food Bank made a formal presentation to the Council regarding the program and deliverables. The proposal indicated that with the appropriated funds in the amount of $30,250 the contract would include the following deliverables as outlined in the Professional Services Agreement: 1) Requests and food to low income applicants using the State of Arizona guidelines for qualifying 2) Outlet for community service hours for Fountain Hills residents, and 3) Provide, on a quarterly basis, a financial report that shows a breakdown of expenditures made with Town funds. There were no citizens wishing to speak on this agenda item. Mayor Schlum commented that this year, with all of these agreements, the Council is trying to work with the Executive Budget Committee and the budget processes to better define the scope of services so that what is going on is made more clear and concise. He noted that they had to reduce their budget for all of these items as they have made reductions in many other areas due to the decrease in revenue coming into the Town. He added that they had discussion about the different roles as well because in the building there are other organizations so they made it clear what the Town is providing. He said that the organization does a tremendous job thanks to a lot of very willing volunteers and the Town still participates in that role. He stated that there has never been a lack of support for the Extended Hands Food Bank -- there was just a need for more clarity regarding the agreement. Councilmember Elkie advised that he is looking forward to the Council Retreat as well because with the budget problems that they are experiencing, it is important to have a frank discussion about all of the community contracts and funding as they move forward. He noted that revenues continue to decline and the road bond that is being presented that will be voted upon next month is an indicator of the problems they are experiencing as far as the budget goes and maintaining the roads and continuing to fund these sorts of things. He added that an early on discussion about these items is important so that if the Council does make some decisions to reduce funding even more or even eliminate funding for some of the programs, they can put the agencies on notice as early on as possible. He said frankly the Town is running out of money and it was difficult to achieve a 20% reduction across the board but it was obviously necessary and moving forward they are going to have to look at everything very closely. Mayor Schlum noted that each of the agencies discussed this evening rely far more on private donations and charitable giving from others (money and time) than they receive from the Town. The Town is just a piece of these organization's assistance and the Town is giving less so the need is even greater for these worthwhile organizations. He stressed the importance of community support for the organizations. Councilmember Elkie remarked that some constituents have asked why these particular organizations are being funded and not others. He stated that in the past the Town had a process whereby a committee chose which non -profits received funding and these organizations were decided upon just because of the particular services that they are providing. He stressed that this is not money that is given away without any strings attached to it. Organizations have asked him whe re they can apply and how they should go about requesting funding and those are things that the Council needs to make sure they address when they hold their Retreat. Mayor Schlum said that staff has done a great job and commended the Council on making the tough decisions that did result in reduced allocations. z:\council packets\2011\r10-20-11\111006m.docx Page 13 of 15 Councilmember Leger MOVED to approve the Professional Services Agreement with the Extended Hands Food Bank and disbursement of funds as stipulated in the contract and Councilmember Elkie SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). AGENDA ITEM #11 – CONSIDERATION WITH POSSIBLE DIRECTION TO STAFF REGARDING A REQUEST BY THE FOUNTAIN HILLS CHAMBER OF COMMERCE RELATING TO RENAMING A STREET IN HONOR OF THE LATE COUNCILMEMBER KEITH MCMAHAN UNDER THE TOWN’S ADOPTED NAMING POLICY. Interim Town Manager Julie Ghetti addressed the Council relative to this agenda item and stated that the Chamber of Commerce approached the Town with a Resolution to honor the late Councilmember Keith McMahan by renaming a Town street to Keith McMahan Drive. She said that staff worked with the Chamber and three proposals were considered: 1) To rename a section of Verde River Drive to Keith McMahan Drive 2) To rename the entire street of Avenida Vida Buena to Keith McMahan Drive and 3) To dedicate a section of the improved Avenue of the Fountains median to Keith McMahan Square. She informed the Council that staff talked to the Chamber who looked at all of the options and the Chamber has chosen Option No. 2. Mayor Schlum noted that they have talked about this for a while and the Chamber indicated they wanted to do something right after Councilmember McMahan had passed. He said it has been over two years now and that is the Town's policy and there is a beautiful memorial and bust of him there by the Library, which is so nice to see. He added that he appreciates the Chamber bringing this forward and said that Councilmember McMahan's heart was with helping the Chamber and helping out small businesses. Ms. Bender advised that there were citizens who wished to speak to the Council on this agenda item. Joe Skehen addressed the Council and said he is present this evening to thank the Council for considering the renaming of a street in memory of former Councilmember Keith McMahan. He advised that he was a member of the Chamber's board at the time of Councilmember McMahan's passing and he co-authored the resolution referred to by Ms. Ghetti. He said that before going any further he wanted to dispel a rumor about Councilmember McMaha n -- everyone has heard for a number of years that he came from across the hill in a Conestoga wagon and that simply is not true -- he came in a white jeep. He stated that he had a conversation with Councilmember McMahan about two weeks before his death a nd he said that he sure would like to have a street named after him. Mr. Skehen said that he talked to Jeremy Hall over at MCO who said they had no plans to build a street but said they would do it. As the Mayor pointed out, that was two years ago and there is still no street named after him because no streets are being built. He noted that the night before Councilmember McMahan died, a bunch of people were at the American Legion and Councilmember McMahan asked, "how are you making out on that street?" and Mr. Skehen told him that he was still working on it. He thanked the Council for the opportunity to address them and said that he appreciates their consideration. Frank Ferrara, representing the Fountain Hills Chamber of Commerce, addressed the Council and concurred with Mr. Skehen's comments. He credited Mr. Skehen, Debby and the group that they work with for bringing this forward. He commented on the delays that have taken place due to a variety of reasons, including the two-year waiting period, and said that the little piece of Verde River doesn't have anything on it yet and they thought that it would not create a problem but it did. He stated that they finally settled on an option. He emphasized that the Chamber really appreciated all that Councilmember McMahan did for it over the years and commented on his nickname, "Mr. Fountain Hills." He thanked the Council for their consideration and also expressed appreciation to Town staff. z:\council packets\2011\r10-20-11\111006m.docx Page 14 of 15 Councilmember Elkie noted that Avenida Vida Buena is obviously Spanish and it means "Good Life Avenue" and from what he understands about Councilmember McMahan, and he only knew him a short time, he had a very good life so he thinks it is appropriate that this particular street be renamed after him. Mayor Schlum agreed. Councilmember Elkie MOVED to direct staff to prepare a Resolution for renaming the street from Avenida Vida Buena to Keith McMahan Drive and Councilmember Brown SECONDED the motion. Councilmember Hansen commented on the location where Councilmember McMahan's monument is currently located and said that from the beginning she has supported doing something about this and the median. She stated that she remembers back in 1990-91 in freezing cold rain doing Christmas programs and being out in that courtyard with Councilmember McMahan setting up the sound system and the lights, which kept going out and they would get them back on. She said that he was such a part of that area and he spent so much time on the Avenue during all of the events, working hard to make them look the best they could. She added that she associates and identifies Councilmember McMahan with where he spent a lot of his time helping with special events rather than a street that you drive down -- she does not really associate that with him. She further stated that it would have been nice to have that square and perhaps something else enhancing the monument. She noted that he asked to be buried on the Avenue and obviously that couldn't be done but he also asked to have some of his ashes put on the Avenue so she thinks he had a connection with that area as well. She explained that that is why she felt so strongly about a place where someone could sit on a bench and reflect on Councilmember McMahan. She said that someone she knows told her he we nt down there and drank a beer for Councilmember McMahan right by the monument and that is why she supported that option. The Mayor agreed that that is a great option and agreed that Councilmember McMahan had a strong connection to the Avenue. He added, however, that he had wanted a street named after him. In response to a question from Mayor Schlum regarding the process that will be followed, Ms. Ghetti advised that if this is approved this evening, staff will come back with a resolution. She added that according to the Naming Policy, staff is required to notify all of the Public Safety agencies and give them an opportunity to update their maps and GIS systems, so some time will be allowed for that. She said that staff will then bring back the resolution to rename street. Ms. Ghetti noted that the street actually starts at Fountain Hills Boulevard right at the corner where Quiznos was and goes all the way and dead ends at Avenue of the Fountains. It runs right in front of the Senior Assisted Living facility but there are no addresses on that street that would be affected. Councilmember Contino concurred with Councilmember Hansen's comments and noted that he was with Councilmember McMahan the last time he took the Stroll on the Avenue and during Christmas time at 12 o'clock at night, as sick as he was, he was out there taking the lights down after Santa Claus. He said that he too would like something done down at the Square and stated that he always thought he should have a statue -- "Keith McMahan, Mr. Fountain Hills." He added that he doesn't think a street does anything for him and he is somewhat disappointed that they haven't done more than what they did. Mayor Schlum said who is to say what will happen in the future and there may be opportunities to do more. The motion CARRIED UNANIMOUSLY (7-0). AGENDA ITEM #12 – 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. z:\council packets\2011\r10-20-11\111006m.docx Page 15 of 15 AGENDA ITEM #13 – SUMMARY OF COUNCIL REQUESTS AND REPORT ON RECENT ACTIVITIES BY THE INTERIM TOWN MANAGER/FINANCE DIRECTOR JULIE GHETTI. Ms. Ghetti advised that she will communicate back with Ms. Bordow on some of the questions raised this evening regarding the bond issue. She said perhaps there is an opportunity to put more information on the Town's website. She added that staff will prepare a resolution for the renaming of the street. She also reminded the public about the Citizens Town Hall next Wednesday, October 12th, from 5:00 to 7:00 p.m. at Town Hall. She stated that this is an opportunity for citizens to come in and talk to any member of the staff and ask questions about anything they h ave an interest in. Staff will also answer any questions residents have about the bond issue. AGENDA ITEM #14 – ADJOURNMENT. Vice Mayor Dickey MOVED that the Council adjourn the meeting and Councilmember Leger SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). The meeting adjourned at 8:31 p.m. TOWN OF FOUNTAIN HILLS By_____________________________ Mayor Jay T. Schlum 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 in the Town Hall Council Chambers on the 6th day of October 2011. I further certify that the meeting was duly called and that a quorum was present. Dated this 6th day of October 2011. _____________________________ Bevelyn J. Bender, Town Clerk