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HomeMy WebLinkAbout2011.1020.TCRM.Minutesz:\council packets\2011\r11-3-11\111020m.docx Page 1 of 12 TOWN OF FOUNTAIN HILLS MINUTES OF THE REGULAR SESSION OF THE FOUNTAIN HILLS TOWN COUNCIL October 20, 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 – Baha'I Faith Community, Mrs. Susan Ducot * ROLL CALL Present for roll call were the following members of the Fountain Hills Town Council: Mayor Schlum, Vice Mayor Dickey, Councilmember Leger, Councilmember Brown, Councilmember Hansen, Councilmember Elkie and Councilmember Contino. 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 next Monday, October 24th, is World Polio Day. The two Rotary clubs in Town, Fountain Hills Rotary Club & Four Peaks Rotary Club, along with Rotary International, have worked valiantly to eradicate polio worldwide. The goal is getting close to being achieved. Only a few pockets in the world remain to be immunized. The Mayor said that the Rotary brings years of history to this initiative. Fountain Hills Rotary and Four Peaks Rotary are two of 32,000 Rotary clubs located in more than 200 countries that support this initiative. The Bill and Melinda Gates Foundation has awarded $355 million to Rotary International in the global effort to eradicate polio and $200 million of that grant is a challenge grant to Rotary. It is one of the largest challenge grants ever given by the Gates Foundation and the largest received by Rotary in its history. Mayor Schlum stated that a polio free world will be Rotary's ultimate gift to children everywhere. (i) November 8, 2011 Election Reminders: Ballots were mailed on October 13th to all registered voters. Town Hall and the Maricopa County Recorder's offices opened as Ballot Replacement Stations on October 17th. A ballot box is located at Town Hall (on the 2nd Floor) for those who do not wish to return their voted ballots by mail to Maricopa County Elections. * SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS (i) Presentation by Congressman David Schweikert. Mayor Schlum thanked Congressman Schweikert for his presence at the meeting and invited him to speak from his seat on the dais. Congressman Schweikert stated that he has been visiting a number of different municipalities around the Congressional District as well as entities that sell taxable bonds such as Salt River Project in order to put on people's radar that there is a proposal moving out there that he doesn't think will go far but it is being promoted by a number of factions. It would take the tax deductibility on municipal bonds and for upper income populations would remove the ability to buy those bonds tax free. He said what happens in today's world is if a community z:\council packets\2011\r11-3-11\111020m.docx Page 2 of 12 votes to do a bond issue, those bonds are sold tax exempt. It is also the way they are able to sell bonds at such incredible low interest rates -- there is no tax exposure on those bonds. He asked what would happen if 60% of the consumers who are upper level income and buy tax exempt bonds all of a sudden find that the purchase is taxable. They will still buy the bonds but they will demand a much higher interest rate and what that means is that a bond that can be sold today at 4% will have to be sold at 6% in order to make up for the additional tax exposure. He emphasized that the additional 2% would come out of the taxpayers' pockets. Congressman Schweikert requested a show of hands from those who have visited Yuma and Colorado City and asked what those communities have in common with Fountain Hills. He received a reply of "nothing" from those who raised their hands. He said that that is his concern -- there are very lovely people living in those communities but the people in Fountain Hills have a very unique lifestyle. He urged residents to review the proposed Finalized Draft 6 of the Congressional District Map and said that the Commission that developed the map faces many challenges (he once served in this capacity). He discussed a lot of the difficulties associated with the process and the difficulty in keeping everyone happy. He expressed concern about the proposed map and said they have included a little arm that reaches down and grabs the community of Fountain Hills. He urged residents to review the map and express their concerns either to their elected Council or to the members of the Independent Redistricting Committee. He noted that there are only two weeks remaining in order to provide citizen input and asked the residents to provide feedback if this is a matter of concern to them as well since whatever is approved is what they will have to live with for the next ten years. He added that he is concerned about other areas as well that are being proposed and stated the opinion that a series of adjustments could be made. He stated that he hopes they are willing to hear the peoples' voices. The Congressman advised that he has served for ten months in Congress as of this point in time and it is sometimes hard to say the words "thank you." He said it gives him a great sense of humility to know that so many people were willing to trust him but he has come to the hard realization that the debt/budget numbers are much worse than he thought. He stated that a lot of this is because of what is happening to them as a nation demographically -- every day 10,300 people turn 65 and that will happen for the next 18 years (about 76 million people). He said that they are going to have to be disciplined, forthright and tell the truth about the math to protect those populations and be honest about the promises that have been made to them. He noted that right now they are on a collision course where the demographics and reality of the money they have in the bank money and the money that will be coming in are heading towards a collision course. He added that it can be fixed but it is going to take some really tough conversations -- we are in trouble and we are going to have to do something to fix it. He provided numbers showing how increased spending will continue into the future. He said that federal dollars are going to go away. He advised that when they hear the fussing going on in Washington, those debates are really about where the resources go and tough decisions are going to have to be made. He thanked the Mayor and Council for allowing him to address them this evening. Mayor Schlum thanked Congressman Schweikert for his update and asked him to stay in touch. (ii) Presentation by Cox Communications Government Relations and Regulatory Specialist Jonathan D. Babbitt and Government Relations Manager Michael Stull will give an overview of new technological developments and Cox-sponsored charitable service programs that directly benefit Fountain Hills. Cox Communications Government Relations and Regulatory Specialist Jonathan Babbitt addressed the Council relative to this agenda item and highlighted a brief presentation on new technological developments and Cox - sponsored charitable service programs that directly benefit the Town (Copy of the presentation on file in the office of the Town Clerk). z:\council packets\2011\r11-3-11\111020m.docx Page 3 of 12 Mr. Babbitt noted that Cox has a license with the Town and likes to come out every few years to provide an update. He discussed the technological advancements/accomplishments that have taken place since the last Community Update in March of 2008 as well as future goals and upgrades. He noted that Cox Communications donated more than $19 million in cash and in-kind support to Valley charities in 2010 and is highly engaged in multicultural initiatives throughout the Latino community. He added that Cox Arizona employees pledged more than $500,000 during the 2010 Cox Charities campaign and have logged more than 19,000 volunteer hours this year. He also pointed out that on the new Cox billing statements customers can donate to Cox charities and added that Cox leaders serve on the boards of 105 different organizations statewide (he listed a number of them). Mr. Babbitt commented on other accomplishments and the company's customer commitment. He reported that Cox has significantly improved network performance and customer experience and said that Cox is the second largest provider of business communications services in Arizona and typically saves companies between 25% and 50%. He stated that Cox has continued to create jobs and invest in Arizona. Mr. Babbitt thanked the Council for the opportunity to provide a Community Update and indicated his willingness to respond to any questions. Mayor Schlum thanked Mr. Babbitt for his presentation and said it was a pleasure to have Mr. Babbitt’s young son in the audience as well. Councilmember Brown asked whether Cox has plans to expand any of their systems into the business world around Fountain Hills (in Fountain Hills proper) and Mr. Babbitt replied yes, they have recently met with Town staff to talk about that. He said as long as it makes sense to do so they will do it -- it is basically making sure that when they build out in Town that businesses are going to use their services (getting the groups together to discuss what it is going to take to expand fiber, etc. and who then is going to use the services when that occurs). He added that the discussions are ongoing. Mayor Schlum advised that there were some areas that were targeted and he is sure Cox will be providing some feedback on that in the near future prior to the next licensing discussion. He asked whether the wireless deployment will help serve some businesses and Mr. Babbitt replied that it will and that will probably be done sometime late next year. The Mayor asked whether Mr. Babbitt is the contact person for residents who are experiencing difficulties with their service and Mr. Babbitt replied that his department is the contact and it is a simple number to locate. He advised that they have not received any calls that they would consider out of the ordinary. He indicated his intention to provide the Council with the actual number of complaints received per quarter. Mayor Schlum commented that a family that lives on Jacklin was experiencing problems and he is sure that by this time the problem has been solved. Interim Town Manager/Finance Director said that staff will follow up and get Mr. Babbitt's department's number and place it on the Town's website for citizens to access. Mayor Schlum again thanked Mr. Babbitt for his update and thanked Cox for the contributions it makes to the community. (iii) Recognition of Planning and Zoning Commissioner Jeff Mangels' service to the Town of Fountain Hills. Mayor Schlum announced that outgoing Planning and Zoning Commissioner Jeff Mangels could not be present at the meeting this evening but the Council wanted to thank him for his many contributions to the Town of Fountain Hills. He said that Mr. Mangels served on the Commission from October 2009 until September 30, 2011. He z:\council packets\2011\r11-3-11\111020m.docx Page 4 of 12 stated that he was an active Commissioner who gave his time and dedication to various issues brought before the Commission, which required skillful decision making. The Mayor expressed appreciation to Mr. Mangels for his great service to the entire community. * CALL TO THE PUBLIC None. * CONSENT AGENDA AGENDA ITEM #1 – CONSIDERATION OF APPROVING THE TOWN COUNCIL MEETING MINUTES FROM OCTOBER 6, 2011. AGENDA ITEM #2 – CONSIDERATION OF APPROVING THE PURCHASE FROM EXTRICATION CONCEPTS IN THE AMOUNT OF $21,831.68 FOR EXTRICATION EQUIPMENT WITH PROCEEDS FROM A GRANT AWARDED BY THE GOVERNOR'S OFFICE OF HIGHWAY SAFETY (GOHS). AGENDA ITEM #3 – CONSIDERATION OF A PIGGYBACK AGREEMENT IN THE AMOUNT OF $40,390.72 OFF OF THE CITY OF MESA CONTRACT #2009196 TO PURCHASE NINE UNINTERRUPTABLE POWER SUPPLY (UPS) UNITS FOR TRAFFIC SIGNALS FROM PHOENIX HIGHWAY PRODUCTS. AGENDA ITEM #4 – CONSIDERATION OF A SPECIAL EVENT APPLICATION FOR HALLOWEEN IN THE HILLS PRESENTED BY THE DOWNTOWN MERCHANTS AND THE TOWN OF FOUNTAIN HILLS COMMUNITY SERVICES DEPARTMENT TO BE HELD ON OCTOBER 29, 2011, ON THE AVENUE OF THE FOUNTAINS. SECTIONS OF THE AVENUE OF THE FOUNTAINS WILL BE CLOSED FOR THIS EVENT. AGENDA ITEM #5 - CONSIDERATION OF A SPECIAL EVENT APPLICATION FOR THE GREAT GRAPE STOMP 5K PRESENTED BY THE ARIZONA WINE GROWERS ASSOCIATION TO BE HELD ON NOVEMBER 5, 2011, IN AND AROUND FOUNTAIN PARK. LANE RESTRICTIONS WILL BE IN EFFECT ON SAGUARO BOULEVARD, EL LAGO BOULEVARD AND PANORAMA DRIVE DURING THIS EVENT. AGENDA ITEM #6 - CONSIDERATION OF A WINE FESTIVAL LICENSE/WINE FAIR LICENSE APPLICATION SUBMITTED BY CURT DUNHAM (LAWRENCE DUNHAM VINEYARDS) FOR THE PURPOSE OF A WINE TASTING, LOCATED AT 12925 N. SAGUARO BOULEVARD, FOUNTAIN HILLS, AZ (FOUNTAIN PARK) TO BE HELD ON NOVEMBER 5, 2011, WHICH IS PART OF THE GREAT GRAPE STOMP 5K. AGENDA ITEM #7 - CONSIDERATION OF A WINE FESTIVAL LICENSE/WINE FAIR LICENSE APPLICATION SUBMITTED BY CORY WHALIN (SU VINO WINERY) FOR THE PURPOSE OF A WINE TASTING, LOCATED AT 12925 N. SAGUARO BOULEVARD, FOUNTAIN HILLS, AZ (FOUNTAIN PARK) SCHEDULED TO BE HELD ON NOVEMBER 5, 2011, WHICH IS PART OF THE GREAT GRAPE STOMP 5K. AGENDA ITEM #8 - CONSIDERATION OF A SPECIAL EVENT APPLICATION FOR THE FOUNTAIN FESTIVAL OF ARTS AND CRAFTS PRESENTED BY THE FOUNTAIN HILLS CHAMBER OF COMMERCE TO BE HELD ON NOVEMBER 11-13, 2011, IN DOWNTOWN FOUNTAIN HILLS. SECTIONS OF THE AVENUE OF THE FOUNTAINS, VERDE RIVER DRIVE AND SAGUARO BOULE VARD WILL BE CLOSED FOR THIS EVENT FROM NOVEMBER 10-13, 2011. z:\council packets\2011\r11-3-11\111020m.docx Page 5 of 12 AGENDA ITEM #9 - CONSIDERATION OF APPROVING A SPECIAL EVENT LIQUOR LICENSE APPLICATION SUBMITTED BY ROBERT D. SCHMITZ REPRESENTING THE AMERICAN LEGION POST 58 LOCATED AT 16837 E. PARKVIEW, FOUNTAIN HILLS, AZ FOR THE PURPOSE OF A FUNDRAISER. EVENT TO BE HELD AT 16837 E. PARKVIEW, SCHEDULED TO BE HELD ON FRIDAY AND SATURDAY, NOVEMBER 11 AND 12, 2011, FROM 9:00 A.M. TO 6:00 P.M. AND SUNDAY, NOVEMBER 13, 2011, FROM 10:00 AM TO 6:00 PM. AGENDA ITEM #10 - CONSIDERATION OF APPROVING A SPECIAL EVENT LIQUOR LICENSE APPLICATION SUBMITTED BY GISELA H. NAVONE, REPRESENTING THE AMERICAN LEGION AUXILIARY UNIT 58, LOCATED AT 16839 E. PARKVIEW AVENUE, FOUNTAIN HILLS, AZ FOR THE PURPOSE OF A FUNDRAISING EVENT. EVENT TO BE HELD ON THE AVENUE OF THE FOUNTAINS AT THE LA MONTANA INTERSECTION, SCHEDULED TO BE HELD ON FRIDAY AND SATURDAY, NOVEMBER 11 AND 12, 2011 FROM 9:00 A.M. TO 6:00 P.M. AND SUNDAY, NOVEMBER 13, 2011, FROM 10:00 A.M. TO 6:00 P.M. Councilmember Hansen MOVED to approve the consent agenda as listed and Councilmember Elkie 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 Aye Councilmember Contino Aye Councilmember Brown Aye Councilmember Elkie Aye The motion CARRIED UNANIMOUSLY (7-0). REGULAR AGENDA AGENDA ITEM #11 – UPDATE FROM THE FOUNTAIN HILLS CENTENNIAL COMMITTEE ON THE LOCAL CENTENNIAL CELEBRATION BEING PLANNED FOR FEBRUARY 12, 2012. Community Services Director Mark Mayer addressed the Council and said that he will provide some opening comments and then turn the update over to Vice Mayor Dickey, who also co-chairs the Centennial Committee along with him. He noted that the groups have been meeting for a number of months and one of the things they decided to do first was identify up to and over 100 activities that could be conducted locally and would either have a Centennial theme or take place specifically to support the Centennial. He reported that they came up with far more than the 100 activities and those people will be recognized at an event that will be talked about later on. He said that the group and the Committee were very imaginative and came up with many wonderful ideas. He advised that the Committee is working to finalize over the next few months an event that would take place on February 12, 2012, and they are also working to finalize an application that will be sent to the State's Centennial Commission asking that the event be recognized as a local Centennial event. Vice Mayor Dickey thanked Mr. Mayer and recognized members of the Committee for the great work they have done and continue to do. She reported that on February 12, 2012, at 3:00 p.m. there will be a fantastic event at the Centennial Circle. She encouraged anyone who wants to become involved to contact her or Mark Mayer and they would be happy to provide the information. She referred to a "Turkey Trot" flyer that had "Happy Birthday Arizona" inscribed on it and said that is just one example of the clever things that are and will be happening. She said that the event is a big birthday party for the State of Arizona and they are going to have refreshments and entertainment as well as some dedications that will z:\council packets\2011\r11-3-11\111020m.docx Page 6 of 12 mean a lot to many people in Town. She added that there will be at least one raffle and perhaps two and commented on the activities that have already been sanctioned by the Commission, including the Circle and the Greening of Downtown. She stated that people who have been and will be involved will have the opportunity to set up tables on the Circle where they can display brochures and other materials and sell items. She advised that they are pushing the time to 3:00 p.m. to 5:00 p.m. because the Fountain Hills Cultural & Civic Association has an annual fundraiser at the Community Center and they have been helping out with the event so they made the time 3:00 p.m. to 5:00 p.m. in order to avoid any conflicts and allow people to attend both events. Vice Mayor Dickey noted that the celebration is only three months away, encouraged anyone who wants to become involved to contact either her or Mr. Mayer and asked people to be sure to mark the date on their calendar. She added that the Town’s event is taking place on the 12th, a Sunday, so that everyone can attend events in the valley and in Phoenix, which will be held on Tuesday, February 14th, 2012, Valentine’s Day (the date of the State’s actual 100 year birthday). Mayor Schlum thanked the Vice Mayor for the update. Mr. Mayer announced that the celebration is being set up at the Centennial Circle adjacent to the Community Center so rain or shine the event will take place either outdoors or indoors. In response to a question from the Mayor, Mr. Mayer stated that his telephone number is 480-816-5190 and his e-mail address is mmayer@fh.az.gov. Anyone wishing information on how to become involved can contact him or the Vice Mayor. The Mayor said that there is a lot going on and thanked everyone, especially Vice Mayor Dickey, Mr. Mayer and the members of the Committee, for their hard work on this wonderful celebration that will be enjoyed by the entire community. AGENDA ITEM #12 - CONSIDERATION OF AUTHORIZING THE INTERIM TOWN MANAGER TO EXECUTE THE AGREEMENT WITH ARTISTIC LAND MANAGEMENT, INC. TO PERFORM WASH AND DAM MAINTENANCE IN AN AMOUNT NOT TO EXCEED $132,000. Environmental Planner Raymond Reese addressed the Council relative to this agenda item and stated that on August 23rd of this year, staff received a "Business Shut Down" letter from Kaye Contracting, the company which provided services for the wash and dam management program. As a result, Kaye Contracting stated they would not be able to service the existing contract with the Town. Staff immediately submitted a request for an Invitation to Bid on the project as the wash and dam activities are scheduled to start in early to mid November. The Town received two bid proposals, one from a local business and the other from the Town's current landscape company, Artistic Land Management, Inc., which provides maintenance needs in the Town's medians and right-of-ways. Mr. Reese advised that Artistic Land Management provided the lowest bid at $1,268 per day and the bid includes the same numbers for manpower and equipment as outlined in the agreement with Kaye Contracting but at about $100 less per day. The initial term of the contract is for one year with four annual renewals and an escalation not to exceed five percent per year, which is tied to the Phoenix-Metropolitan area CPI. Mr. Reese explained that the wash and dam management program provides a multitude of benefits to the community. It provides fire and flood hazard mitigation for residents and safe passage in washes when needed. It also satisfies key requirements for "Best Management Practices" as part of their EPA/ADEQ issued Phase II MS4 Storm Water Permit. He discussed negatives associated with not continuing this program. Mr. Reese informed the Council that staff recommends that the Council approve this item and indicated his willingness to respond to any questions. Mayor Schlum thanked Mr. Reese for his presentation. z:\council packets\2011\r11-3-11\111020m.docx Page 7 of 12 Town Clerk Bev Bender advised that there were no citizens wishing to speak on this agenda item. In response to a question from Councilmember Hansen, Mr. Reese responded that staff has done several walk throughs with the Fire Department and they have determined which washes have the most needs. They are on a schedule now and have touched a major portion of the washes already so they know where they need to go. Councilmember Hansen said on television she saw that chain gangs have been out working on the washes and asked if they are participating in this program. Mr. Reese responded that staff was able to secure a grant through Maricopa Cou nty for about $10,000 (a non-matching grant) and they had the wildland fire crew come in from the Arizona State Forestry Department and do an additional 11 acres of some heavily vegetated washes. He added that the program uses inmates who attend a training program and after graduation and release they can be used as firefighters for wildfires. He said that it is a good program and they have seen some very good results. He hopes to be able to use it next year. In response to a question from Councilmember Elkie relative to the price sheet, Mr. Reese advised that the contract was bid on a per day basis and the 80 days was put into the contract just as a reference point for the people who were participating in the bid process. He said staff's intention has always been to take the budgeted amount of money and get the wash management program on a manageable schedule. He added that they hope they will be able to use the contractor beyond the 80 days. He confirmed that they intend to use the entire $132,000 that was budgeted and explained that the amount covers part of the dam maintenance, which is a separate part of the program that was pulled into the contract. Discussion ensued relative to how tied the Town will be to the proposed option renewals and Town Att orney Andrew McGuire's response that typically the way the contracts are put together provides the Council the ability to terminate at the end of any given year; the fact that at the end of a year, if the contractor and Town Management come to an agreement on a contract, they can renew for another year or it could be sent out for another bid process; the fact that because of the amount of the contract, this item would come before Council prior to any renewal; Councilmember Leger's comment that inspections are not part of the contract and Mr. Reese's concurrence and statement that the inspections are performed by the Arizona Department of Water Resources, which provides the staff with a full written report following those inspections; and the fact that Mr. Reese will oversee the work and meet with them periodically throughout the day and ensure that everything is going the way it should. Vice Mayor Dickey MOVED to authorize the Interim Town Manager to sign the Acceptance of Offer and Notice of Award between Artistic Land Management, Inc. and the Town of Fountain Hills, to perform Wash and Dam maintenance in an amount not to exceed $132,000 and Councilmember Elkie SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). AGENDA ITEM #13 – CONSIDERATION OF AUTHORIZING THE INTERIM TOWN MANAGER TO EXECUTE THE AGREEMENT WITH RE-CREATE COMPANIES IN THE AMOUNT OF $49,915.89 FOR THE INSTALLATION OF PAVERS IN THE CENTENNIAL CIRCLE. Community Services Director Mark Mayer addressed the Council relative to this agenda item and advised that staff has concluded the bidding for the installation of pavers as a part of the plans for the Centennial Circle. The plan for the Circ le was prepared by a committee, presented to the Town Council and accepted. To date, a number of memorials with plaques attached to them have been placed in the Centennial Circle. The next phase of the work was to be the installation of pavers to create a surface to make the area both more attractive and usable and also to comply with ADA required access. He reported that bids were advertised as required and were also on the Town's website. The bids were received and opened on October 4, 2011 at 2:00 p.m. He noted that a bid tabulation with the results was provided to the Council (copy available in the office of the Town Clerk). Mr. Mayer stated that based on the bids received, the lowest responsible bid was from Re-Create in the amount of $49,915.89 and said that if approved, the work is to be completed by mid- November. He noted that a total of $75,000 was budgeted this year for the project. He informed the Council that there are z:\council packets\2011\r11-3-11\111020m.docx Page 8 of 12 additional costs associated with the project in the amount of approximately $15,000 and perhaps more (underground and electrical associated costs). He said that Mr. Miles has been made aware of the additional costs. Mr. Mayer informed the Council that staff recommends approval of this item. Mayor Schlum thanked Mr. Mayer for his presentation. There were no citizens wishing to speak on this agenda item. Mayor Schlum asked if any local companies had bid on this item and Mr. Mayer responded no. The Mayor asked if staff is continuing to make a concerted effort to ensure that local companies are aware of the bids that go out and Mr. Mayer said they are and the bid was advertised in the Arizona Business Gazette and three times in the Times. Staff also placed the information on the Town's website. Councilmember Elkie referred to the approximate $15,000 additional costs associated with the project at this point in time and said they are still about $10,000 under the original $75,000 budget. Mr. Mayer stated that staff is still looking at trying to bring electrical in and determining whether they need to saw, cut o r bore underneath the existing sidewalk. He said unfortunately the as-builts that were provided were not accurate and there are lines that were not stubbed out to the edge of the sidewalk and they need to get electric into the circle (now only available on the back side). Councilmember Elkie asked if there are any other foreseeable expenses other than what was discussed this evening and Mr. Reese replied nothing that he is aware of. He added that the landscaping is not covered under this particular agreement and Mr. Miles appeared before the Council previously looking to utilize any remaining funds for that purpose. Councilmember Elkie stated that he knows everyone is pinching pennies and he hopes that there is some money left over to be utilized by Mr. Miles. Mr. Mayer recognized Mr. Paul Mood and Mr. Justin Weldy for all of the work they put into this project. Mayor Schlum referred to the as-builts and asked if there was substantial conduit on some drawings or did they find it was not there. Mr. Mayer advised that they could not locate it and it doesn't look to staff like it was pulled from the box. He said that a t some point they certainly can be but staff was not able to locate anything that brought electrical other than to those lights (they are going to pull the electrical over and come out of one of the light poles). Mayor Schlum said he can see a strong desire on the part of the community to have events on that space and power is crucial. He stressed the importance of doing it right and as inexpensively as possible. He added that he does recall former Mayor Miles requesting that any leftover monies be put towards landscaping so they have to keep a close eye on the dollars to make sure they have some shade. He discussed the plantings and the timeline and asked if with winter coming whether they were going to be able to get the plants into the ground before the Centennial. Mr. Mayer responded that it is his understanding that Mr. Miles still has plans to do that and the contract as presented will be completed by mid-November (still time to get the plantings in). Mayor Schlum thanked Mr. Mayer for his input and said that the Circle is going to look beautiful. He expressed appreciation to everyone involved in this important and wonderful project. Councilmember Elkie MOVED to authorize the Interim Town Manager to execute the Acceptance of Offer and Notice of Award between the Town of Fountain Hills and Re-Create Companies in the amount of $49,915.89 for the installation of z:\council packets\2011\r11-3-11\111020m.docx Page 9 of 12 pavers for the Centennial Circle and Councilmember Brown SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). AGENDA ITEM #14 – CONSIDERATION OF RESOLUTION 2011-45, URGING THE ARIZONA INDEPENDENT REDISTRICTING COMMISSION TO RECONSIDER ITS DETERMINATION REGARDING THE PLACEMENT OF THE TOWN OF FOUNTAIN HILLS ON THE "FINALIZED DRAFT 6" CONGRESSIONAL DISTRICT MAP. Mayor Schlum stated that the Council met and discussed this issue in great length with the Town's neighbors during their joint meeting with the Fort McDowell Yavapai Nation joint Tribal Council and Town Council meeting and added that many people are probably aware of the fact that the proposed maps came out two weeks ago. He said that a considerable change has been made, particularly in one of the maps, which is what Congressman Schweikert alluded to earlier in the meeting. He referred to the maps displayed in the Cou ncil Chambers and said that the proposal relative to taking Yuma all the way up to northern Arizona with an arm that swings around through and up into Maricopa County and grabbing Fountain Hills (away from the Town's current and neighboring Congressional district neighbors of Scottsdale, Fort McDowell and those areas) is an issue of concern. He said that following the discussion, staff prepared the resolution that is before the Council tonight. The Mayor stated that he thought the resolution was very well done and captured a lot of what the Independent Redistricting Commission uses as their guidelines for creating the new redistricting lines that they have to do every ten years. He asked the Council if they were comfortable with the proposed resolution pr epared by staff and ready to move forward with it and present it to the Commission. Vice Mayor Dickey asked if anyone else would be signing it or is it just from the Town and Town Attorney Andrew McGuire replied that this is just the Town's version. He said that they know how going back and forth between various governments could take time that they don't have and so staff felt it important to get the Town's version out there. He added that they will send this to Fort McDowell Yavapai Nation and Salt River Pima Maricopa Indian Community to let them know this is what we are putting forward (there has not been any back and forth communication yet but staff is hopeful that based on the discussion at the joint meeting that there will be someone who will be willing to move forward and speak with the Town at the Redistricting Commission hearings). Mayor Schlum noted that the Fort McDowell Yavapai Nation is getting together as a Council likely on the 22nd of the month but they indicated, at least those that were present at the joint meeting, that they were in favor of the resolution and he believes the same is true from their neighbors the Salt River Pima Maricopa Indian Community as well. He said that he does not know when they plan to move forward to take for mal action themselves but Fort McDowell is behind the Town so individual letters should be forwarded to the Commission around the same time. The Mayor added that citizens and members of the Council have probably already reached out to members of the Commission directly or through their website (there is a form on line that people can provide comments on) and anyone who hasn't done so can do so if they wish. Mayor Schlum again referred to the map in question and explained why there is concern with the proposal. He said that he believes they have some very good arguments to make and said the communities of interest is the one that stands out the most (they want to keep them in the same Congressional district). He further stated that the Town is not Scottsdale or Fort McDowell but they certainly do a lot of things together including the sharing of resources. He added that the other cities are great as well but the Town has not been involved with them. The Mayor requested feedback from the Council regarding the letter that will be sent with the resolution and thanked Mr. McGuire for his great work on this. Councilmember Elkie said he thinks it is important if the Council approves this resolution that the Councilmembers or staff take the opportunity to read it in its entirety at the redistricting meetings and express their dissatisfaction with the redistricting proposal. z:\council packets\2011\r11-3-11\111020m.docx Page 10 of 12 Mayor Schlum agreed and asked staff to give the Council a heads up on when the meetings will take place and where they will be at. He added that staff can help them coordinate some good coverage. Councilmember Leger stated that he feels comfortable moving forward with this and said he assumes it will be attached to a cover letter and sent to the Commission and he agrees that it should be entere d into testimony during the meetings. He added that there are probably not a lot of citizens who have had an opportunity to review the rationale behind what the Council is doing and said it is important to highlight some of the key reasons why they are mo ving in this direction, as follows: * The Town wants to be hooked up with communities of interest with ties where they share cultur al or business interests; * The Town collaborates with the Tribe with respect to tourism; * They share common School Districts between the Town and Fort McDowell and * They share a common interest with infrastructure and infrastructure projects Councilmember Leger encouraged anyone interested in this issue to go to the Council packet, which is available on line, and review the entire resolution. Mayor Schlum thanked Councilmember Leger for his input and said that one of the other items is the shape of the district itself. Vice Mayor Dickey advised that two Redistricting Commission meetings will take place in the area -- a meeting on November 1st in south Phoenix and one on November 3rd in Scottsdale. She added that an e-mail was received from Ms. Ghetti today that said that there is a joint Legislative Committee meeting tomorrow morning (October 21st) at 10:00 a.m. She stated that anyone interested can find out who the members are and e-mail them (the Legislators). Mayor Schlum requested that the Vice Mayor e-mail him the names of the Legislators involved in that Committee. Councilmember Elkie said that if any residents are interested in looking this up or gathering more information the website for the Commission and the hearings is azredistricting.org. Ms. Bender advised that there were no citizens wishing to speak on this agenda item. Councilmember Hansen MOVED to approve Resolution 2011-45 and Councilmember Elkie SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). AGENDA ITEM #15 – CONSIDERATION OF RESOLUTION 2011-45, AUTHORIZING AND PROVIDING FOR THE TOWN MANAGER OR DESIGNEE TO TRANSFER TOWN FUNDS TO AN IRREVOCABLE TRUST FUND TO BE USED TO DEFEASE AND REDEEM THE OUTSTANDING TOWN OF FOUNTAIN HILLS, ARIZONA MUNICIPAL PROPERTY CORPORATION MUNICIPAL FACILITIES REVENUE BONDS, SERIES 2004; AUTHORIZING THE EXECUTION OF A DEPOSITORY TRUST AGREEMENT FOR THE SAFEKEEPING AND HANDLING OF SECURITIES AND MONEYS TO BE USED TO PAY THE BONDS BEING DEFEASED; AND RATIFYING THE ACTIONS OF ALL OFFICERS AND AGENTS OF THE TOWN AND OTHERS WITH RESPECT TO THE TRANSFER, PREPAYMENT, DEFEASANCE AND REDEMPTION. Interim Town Manager/Finance Director Julie Ghetti addressed the Council relative to this agenda item. Ms. Ghetti informed the Council that in 2004 when the Town Hall was built, the Town issued bonds (MPC bonds) that are repaid through the local sales tax. In the beginning of 2011, when the Town was preparing the budget for the current fiscal year, it became obvious that there was likely going to be a surplus left in the general fund. She stated that what they wanted to z:\council packets\2011\r11-3-11\111020m.docx Page 11 of 12 do was take advantage of that surplus, which was only going to be a one -time thing, to free up the annual debt payment on the Town Hall (use those funds to pay off the bonds). She explained that this resolution will authorize staff to take the money left and put it into a trust account that will be used to pay off the bonds over the next couple of months. She added that the surplus revenues that will be used to pay off the bonds come from a variety of areas including $1 million in General Fund reserves (a total of approximately $2.9 million, which will pay off the bonds). She reported that that would then free up about $350,000 that will be available in the General Fund this year and moving forward. Ms. Ghetti indicated her willingness to respond to questions. Mayor Schlum thanked Ms. Ghetti for her presentation. The Mayor asked if the bonds that they are paying off, are for paying off the note to build Town Hall and Ms. Ghetti concurred. He asked how many years remain on the bond and Ms. Ghetti replied that if they are not paid off they would be paying on them till 2020-2021. There were no citizens wishing to speak on this agenda item. Mayor Schlum said that perhaps Councilmember Elkie would like to speak to this since he brought the issue up in the first place, but first the Vice Mayor. Vice Mayor Dickey asked if the excise tax reserves are the same as the debt service reserves and Ms. Ghetti said they are and explained what the excise tax reserves are. Councilmember Elkie said that by paying this off early the Town is saving approximately $276,000 in interest. He added that he thinks this is great -- they are going to own the Town Hall -- and he hopes the residents appreciate the fact that the Council is being responsible and using the monies to pay down the debt that they have. He added that this is commendable for everyone. Mayor Schlum congratulated staff for their hard work which resulted in a $1 million surplus last year, a very tough year. Ms. Ghetti advised that staff had allowed for a contingency last year because they were not sure what the economy was going to do and it did better than expected so both the State and the Town ended up with a surplus. She noted that they can't expect that to continue because the Town lost population (according to the Census) so this was a one-time surplus. Mayor Schlum commented that staff's attention to detail helped to achieve that surplus and again commended them. Vice Mayor Dickey pointed out that the Council originally looked at using possible capital funds and they avoided having to do that so she too said she appreciates staff's hard work. Councilmember Elkie MOVED to approve Resolution 2011-41 to authorize the Interim Town Manager to transfer funds to an irrevocable trust fund to be used to defease and redeem the outstanding Town MPC bonds, series 2004 and Councilmember Leger SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). AGENDA ITEM #16 – 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 #17 – SUMMARY OF COUNCIL REQUESTS AND REPORT ON RECENT ACTIVITIES BY THE INTERIM TOWN MANAGER/FINANCE DIRECTOR JULIE GHETTI. z:\council packets\2011\r11-3-11\111020m.docx Page 12 of 12 Ms. Ghetti stated that she will follow up on the number of complaints from Cox Cable and provide the public with a telephone number to call if they have issues with the company. She will also put the information on the website. Ms. Ghetti said that she will also provide, on the website, a phone number and e-mail address for citizens who want to participate in the Centennial celebration (Mark Mayer's telephone number and the Town's website). She added that she will also provide the Council with a listing of the upcoming redistricting meetings and contact information on the Legislators who serve on the Commission. AGENDA ITEM #18 – ADJOURNMENT. Councilmember Leger MOVED that the Council adjourn the meeting and Councilmember Brown SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). The meeting adjourned at 7:52 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 20th day of October 2011. I further certify that the meeting was duly called and that a quorum was present. Dated this 3rd day of November 2011. _____________________________ Bevelyn J. Bender, Town Clerk