HomeMy WebLinkAbout2001.1210.TCSEM.Minutes TOWN OF FOUNTAIN HILLS
MINUTES OF THE SPECIAL AND EXECUTIVE SESSION OF THE
FOUNTAIN HILLS TOWN COUNCIL
December 10,2001
AGENDA ITEM #1 - PURSUANT TO A.R.S. 38-431.03.A.1 AND A.R.S. §38-431.03.A.4., VOTE TO GO INTO
EXECUTIVE SESSION FOR DISCUSSION OR CONSIDERATION OF EMPLOYMENT, ASSIGNMENT,
APPOINTMENT, PROMOTION,DEMOTION, DISMISSAL, SALARIES, DISCIPLINING OR RESIGNATION
OF A PUBLIC OFFICER, APPOINTEE OR EMPLOYEE OF ANY PUBLIC BODY, EXCEPT THAT WITH
THE EXCEPTION OF SALARY DISCUSSIONS, AN OFFICER, APPOINTEE OR EMPLOYEE MAY
DEMAND THAT SUCH DISCUSSION OR CONSIDERATION OCCUR AT A PUBLIC MEETING. THE
PUBLIC BODY MUST PROVIDE THE OFFICER, APPOINTEE OR EMPLOYEE WITH SUCH PERSONAL
NOTICE OF THE EXECUTIVE SESSION AS IS APPROPRIATE BUT NOT LESS THAN 24 HOURS FOR
THE OFFICER, APPOINTEE OR EMPLOYEE TO DETERMINE WHETHER SUCH DISCUSSION OR
CONSIDERATION SHOULD OCCUR AT A PUBLIC MEETING; (SPECIFICALLY THE ACTING TOWN
MANAGER); AND FOR DISCUSSION OR CONSULTATION WITH THE ATTORNEYS OF THE PUBLIC
BODY IN ORDER TO CONSIDER ITS POSITION AND INSTRUCT ITS ATTORNEYS REGARDING THE
PUBLIC BODY'S POSITION REGARDING CONTRACTS THAT ARE THE SUBJECT OF NEGOTIATIONS,
IN PENDING OR CONTEMPLATED LITIGATION, OR IN SETTLEMENT DISCUSSIONS CONDUCTED IN
ORDER TO AVOID OR RESOLVE LITIGATION (SPECIFICALLY REGARDING THE FIRE DISTRICT);
RESPECTIVELY.
Councilman McNeill MOVED that the Council convene the executive session and Councilwoman Ralphe
SECONDED the motion, which carried unanimously. Mayor Morgan recessed the executive session at 6:16 p.m.
AGENDA ITEM#2-RETURN TO REGULAR SESSION
Mayor Morgan convened the regular session at 6:40 p.m. Following the pledge to the flag and invocation by Councilman
Wyman,roll call was taken.
ROLL CALL - Present for roll call were the following members of the Fountain Hills Town Council: Mayor Sharon
Now Morgan, Vice Mayor John Kavanagh, and Councilmembers Sharon Hutcheson, John McNeill, John Wyman, Susan
Ralphe, and Leesa Fraverd. Also present were Acting Town Manager/Town Attorney Bill Farrell, Director of
Administration Cassie Hansen,Town Engineer Randy Harrel,and Director of Community Development Jeff Valder.
Mayor Morgan read the items on consent(items 1-3):
AGENDA ITEM #1 — CONSIDERATION OF ORDINANCE 01-22 AMENDING THE TOWN CODE,
CHAPTER 2 MAYOR AND COUNCIL,ARTICLE 2-4-11 POSTING NOTICE OF MEETINGS,SUBSECTION
(A)TO REFLECT THE NEW ADDRESS OF THE FOUNTAIN HILLS COMMUNITY CENTER.
AGENDA ITEM #2 - CONSIDERATION OF RESOLUTION 2001-57 RESCINDING RESOLUTION 2001-17
AND DECLARING THAT THERE IS NO LONGER A NEED TO ACQUIRE THE PUBLIC ROAD AND
PUBLIC ROAD RIGHT-OF-WAY.
AGENDA ITEM #3 - CONSIDERATION OF AMENDING THE RENTAL RATES AT THE COMMUNITY
CENTER TO INCLUDE RATES FOR POLITICAL CANDIDATES AND POLITICAL COMMITTEES.
Councilwoman Fraverd MOVED to approve the Consent Agenda as read and Councilwoman Ralphe SECONDED the
motion. A roll call vote was taken with the following results.
Councilman Wyman - aye
Councilman McNeill - aye
Councilwoman Hutcheson- aye
Councilwoman Fraverd - aye
Vice Mayor Kavanagh- aye
Councilwoman Ralphe— aye
Mayor Morgan - aye
Lei The motion CARRIED unanimously
AGENDA ITEM #4 - PRESENTATION OF A PROCLAMATION HONORING PAM AISTER, THIRD GRADE
TEACHER AT FOUR PEAKS ELEMENTARY SCHOOL, FOR RECEIPT OF THE NATIONAL "MY
FAVORITE TEACHER AWARD", WHICH IS PART OF PRESIDENT BUSH'S NO CHILD LEFT BEHIND
PROGRAM.
Le Mayor Morgan read and then presented the proclamation to Pam Aister.
AGENDA ITEM -#5 - CONSIDERATION OF CONTRIBUTING $50,000 TO THE BOYS AND GIRLS CLUB
FOR CAPITAL EXPENDITURES RELATED TO THE CONSTRUCTION OF THE NEW YOUTH CENTER
ADJACENT TO FOUR PEAKS ELEMENTARY SCHOOL.
Mr. Farrell stated at the beginning of the current budget year funds were made available to participate with the Boys and
Girls Club for a capital expansion in the community. He announced that the culmination of the lease agreement would
be forthcoming on the next School Board agenda. Since both parties were now ready to go forward, it was time for the
Town to take part in the process. Staff asked that the Council entertain a motion to allow the contribution to the Boys
and Girls Club for capital expenditures in connection with their new facilities adjacent to the Four Peaks Elementary
School.
Vice Mayor Kavanagh MOVED to approve the contribution of $50,000 to the Boys and Girls Club as. presented and
Councilwoman Hutcheson SECONDED the motion. Each of the councilmembers expressed their pleasure that this
facility was now going forward and thanked the School District for their support. Mayor Morgan and Councilwoman
Ralphe expressed that the Council was "pro youth"because they were the future.
Jerry Sheridan,Aspen Drive
He recognized Ms. Julie Ghetti as being the person who first brought the Boys and Girls Club to Fountain Hills.
The motion CARRIED unanimously.
AGENDA ITEM -#6 - PRESENTATION OF A FINANCIAL UPDATE BY ACTING TOWN MANAGER BILL
FARRELL.4,, Mr.Farrell gave a brief update. He noted that the October budget activity report had been given to the Council. He said
that the state of financial affairs was holding pretty much to what staff had predicted at the time that the Town adopted
the current fiscal year budget, which had projected a decline in sales tax revenues and building permit activity. He
reminded the Council that Target and Fry's were not included in the cycle and there should be a significant spike in the
next few months. He was continuing the freeze of capital expenditures and altering the method in which the Town
compensates for overtime. Overtime was limited to only when necessary and which met a public service test. He
announced that generally the state of the Town's affairs was fine in terms of what was anticipated in projected income.
The audited carry forward showed$4,710,061 in the general fund.
Councilman McNeill referred to concerns he had expressed at the last meeting. Even though the Town could afford the
mountains, he felt that the Council would have to cut back in other areas or postpone some of the projects. He noted
that last month there had been a 38% decline in building permits issued and this report showed a decline for a second
month. He asked if staff had an idea how that would impact the Town's finances over the next six months or so. Mr.
Farrell said not really and repeated his explanation from last month. There was some difficulty in tracking the decrease
in building permits because the nature of the construction had changed so radically. He remarked that the custom
market process took much longer to finish. He stated he would try to get the percentage figure in the next couple of
days. Whatever projections staff could make would be made in the November financial report available at the first
meeting in January. Councilman McNeill announced that he would still be voting no on these items to be consistent
with the position that he taken at that last meeting.
Councilman Wyman asked if one of the reasons for the big drop off in permit activity was because of the Council's
actions months ago of implementing development fees which prompted a number of contractors to come in and prefile
so that they could get ahead of that extra fee. Mr. Farrell said there was no question that the initial impact of the
development fees had caused a number of builders to race in and prefile. He reminded the Council that the Town was
shifting to the last one-third of the vacant housing supply and that the Council had wisely started to anticipate the
decline. He pointed out that now there were more expensive lots to be developed with people taking a longer to build on
them. Councilman Wyman noted that the anticipated homes were three times the value of the homes from the previous
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cycle and felt there might be a bit of a wash. Vice Mayor Kavanagh commented that it was important to realize that the
Town worked with annual budgets and a decrease in permits or revenue over a one or two-month period did not mean
that the Town could not pay for anything. He felt that deficiencies over a one or two month period could easily be made
up a few months down the road. He reminded everyone that the entire country was in a little bit of a downturn from the
tragic events of September 11t with some industries not recovering. In terms of home sales. he did not think it would
be permanent; only that people had deferred that purchase for a short time and he was not really concerned.
AGENDA ITEM -#7 - CONSIDERATION OF THE BIDS RECEIVED AND IF DEEMED ADVISABLE,
ADOPTION OF RESOLUTION 2001-56 AUTHORIZING THE ISSUANCE AND SALE OF GENERAL
OBLIGATION BONDS.
Mr. Farrell said when the Council had been asked to budget for the issuance of the Municipal Property Corporation and
General Obligation bonds to purchase the McDowell Mountains, staff had given their estimate as to what the annual
debt service premium might be. The Municipal Property Corporation the debt service had been estimated to be
$725,000. He reviewed that several days ago the investment banker had been able to place the Municipal Property
Corporation bonds at the 4.74% interest rate with an annual debt service payment of$472,300 for a savings of$252,700.
Mr. Farrell stated that this morning the General Obligation bonds in the amount of$6.000,000 sold at a 4.87% interest
rate in a difficult bond market. He announced that the General Obligation bond payment would be $401,100. Staff had
budgeted $640,000 for the annual payment for an annual savings of$238,900 for a combined savings of a little better
than $490,000 on the anticipated debt. He mentioned that the Town's credit worthiness had been tested under some
adverse circumstances. Mr. Farrell was pleased to inform the Council that if they chose to go forward with the adoption
of Resolution 20011-56 the financing for the transfer of the McDowell Mountain property would be complete. He
commented that the closing was set for December 20th with the Town receiving the deed for 354 acres of preserve land
and MCO receiving $13 million dollars. He reported that Bob Cassias from Peacock Hislop and the bond counsel Scott
Ruby from Gust Rosenfeld were both present and available for questions. Mr. Farrell asked for a favorable motion and
vote on that resolution.
Councilman Wyman MOVED to approve Resolution 2001-56 as presented and Councilwoman Ralphe SECONDED
the motion.
Councilman Wyman concluded that was quite a savings over a twenty-year duration. He pointed out that the market
place had essentially made a judgment on that Fountain Hills was a viable Town when it came to meeting its financial
obligations by the terms of the interest that would be accrued. He thanked staff, the Council, and the people who would
be putting the bonds together for their efforts. Vice Mayor Kavanagh said he would be voting in favor of the motion,
not because he had changed his position on the mountains, but because the Town had to pay its debts.
Councilman McNeill asked Mr. Ruby if the bonds would have an early call feature, just in case the rates got lower
sometime in the future. Mr. Ruby responded yes. Beginning in July 1, 2010, the Town could call them without any
penalty whatsoever. Councilman McNeill observed that he was happy with the prices, as the Town would realize major
savings. He pointed out that the $6,000,000 General Obligation bonds had been approved by the voters in 1997. As he
remembered it, the idea had been that this tax could be put on without any increase in the total tax bill to the Town
residents because there were some expiring road district taxes and this would take its place. He noted that the property
values had escalated since then and interest rates had been a lot higher at that time. He estimated that a small percentage
of the cost of those expired road district bonds, in terms of the tax bills that the people were paying then and what they
would see now when this General Obligation bond became a part of the property tax bill, would be a very small item on
the total bill.
The motion CARRIED on a vote of 6- 1. Councilman McNeill cast the nay vote.
AGENDA ITEM #8 - CONSIDERATION OF APPROVING AN EXTENSION TO THE CONTRACT WITH
RURAL METRO.
Mr. Farrell reviewed that the Town had been sued over whether or not the Town would be able to go forward with their
action and had they violated the State's Open Meeting Law. In a well-written decision, the court indicated that they
L., were not going to prohibit the Town Council from going forward on this item nor were they likely to find that the Town
had violated the State's Open Meeting Law with the special meeting held on October 31, 2001. He noted that he had
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communicated with the attorney for the plaintiff late this afternoon and it had been agreed to meet (hopefully by the end
of the week or the first part of next week, after he met with his clients), to continue the discussions about this lawsuit
and the notice of claim letter. With that in mind, staff was requesting that the Council authorize an extension of the
existing Rural Metro contract at the existing rate through 12:01 a.m. on July 1, 2002.
Mr. Farrell stated that this Council was not able to contract except in rare circumstances beyond the current fiscal year.
In the case of the fire service and emergency protection, staffs recommendation was that the Council not contract
beyond 12:01 a.m. on July 1, 2002 until the results of the litigation and perhaps a possible property tax question was
presented to the voters in May. He stated that the current payment was $183,051.67 per month. He had confirmed
Rural Metro's willingness to continue to contract with the Town at that rate through the end of this fiscal year. Rural
Metro was working with Public Safety Director Gendler, the consultant Mr. Edwards, and himself towards some
modifications to the existing contract. Mr. Farrell said that would be brought back to the Council at a later date. He
again asked for authorization to extend the current Rural Metro contract at the existing rate through 12:01 a.m. on July
1, 2002.
Councilwoman Hutcheson MOVED to approve the extension of the Rural Metro contract as presented and Councilman
Wyman SECONDED the motion. The motion CARRIED unanimously.
AGENDA ITEM #9 - CONSIDERATION OF A CONCEPTUAL PLAN THAT WOULD AMEND THE
TOWN'S EXISTING DEPARTMENTAL STRUCTURE BY REPLACING THE EXISTING MODEL WITH A
DEPARTMENT OF PUBLIC SAFETY THAT WOULD INCLUDE LAW ENFORCEMENT SERVICES,
COMMUNITY POLICING SERVICES, FIRE SERVICES AND EMERGENCY MEDICAL SERVICES AND
WOULD ASSIGN AN OPERATIONAL OVERSIGHT OF THE DEPARTMENT OF PUBLIC SAFETY TO
THE PUBLIC SAFETY DIRECTOR, WHO WOULD REPORT TO THE TOWN MANAGER AND
DIRECTION TO STAFF TO DEVELOP, FROM THE CONCEPTUAL PLAN, A DETAILED
IMPLEMENTATION PROPOSAL FOR CONSIDERATION AT THE JANUARY 3,2002 MEETING.
Director Gendler stated that the purpose of his presentation was to outline a concept regarding public safety and
emergency services in Fountain Hills. For administrative reasons he suggested that the existing contract and municipal
services be organized into a Fountain Hills Public Safety Department. He clarified that this had grown out of a request
from Acting Manager Bill Farrell. Mr. Farrell had asked for a concept that would help outline the role of the Marshals
Department in relations to the Town's contract services. With the Town assuming responsibility for the fire services in
October, the original concept was expanded to address all public safety services and contracts. The Fountain Hills
Public Safety Department concept was based on continuing the contracts with the Sheriffs Office and Rural Metro and
would be organized into four divisions. He emphasized that this would not change the current practice regarding the
contract services: the assignment, the scheduling, the supervision of contract personnel or the operational procedures
that they follow. He proposed this action would provide a framework for public safety planning, budgeting, and
coordination of effort. The four divisions proposed were Emergency Services, Fire Services, Law Enforcement
Services, and Community Policing Services.
Director Gendler proposed that a Public Safety Director, who would report to the Town Manager, would administer the
program. He explained that this would be consistent with the practice that the Town follows in its others departments.
He compared this concept with the Community Development, where the Planning and Zoning and the Building Safety
Divisions report to a single department head; the Engineering Department where the Street and the Public Works
Departments report to a single agency head; and to what had been structured for the Town's Administration and Parks
and Recreation Departments. In deference to the contract services with Rural Metro and the Sheriffs Department, the
Public Director would only have administrative responsibility for areas such as planning, budgeting, contract
administration, and grants while the operational responsibility would remain with the four divisions. Director Gendler
reiterated that the Public Safety Director would defer to Captain Penrose for the operational command for the Sheriffs
services and to Chief LaGreca for command of the fire services. Someone, other than the Public Safety Director, would
be designated from the existing staff to oversee the emergency medical services and the community policing services.
He pointed out that the concept would not require any additional resources and could work regardless of whether the
various divisions were headed by Town employees or contract personnel.
Director Gendler reviewed what benefits this concept offered the residents.
fir..
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Synergy In an emergency or natural disaster the public safety resources would already be in place, duties clearly
established, communications in place so that valuable time would not be lost in getting set up and
organized to resolve jurisdictional questions.
Flexibility Under one administrative umbrella it would be possible to adjust rapidly to changing priorities and needs.
Economy Duplication of effort could be eliminated and resources shared. He stated the main benefit of a combined
agency would be that the temporary availability of resources from another division could help address
contingency staffing expenses and thereby hold down overall costs. He mentioned that this combination of
agencies might mean that the Town could qualify for a wider variety of grants as a public safety agency
rather than the individual law enforcement or fire services. It would also increase the Town's standing in
competition for grants and other alternate funding.
Efficiency Reduction of the span of control for the Town Manager, allowing more opportunity to address strategic
rather than tactical concerns. By combining the public safety resources into one organization, the span of
control would remain at seven rather than nine separate departments. There would be more efficient use of
existing facilities and planned improvement in an area such as communications. There would be other
opportunities for joint emergency preparedness and instances where everyone could help one another in
observing situations in the field as part of fire operations or routine police patrol. The proposed concept
could facilitate fiscal planning and Council budget review by accounting for all of the public safety
resources in one area.
Director Gendler summarized that the concept of a public safety department for the Town was what Mr. Farrell referred
to as a work in progress. It was an administrative means to coordinate existing resources and public safety contracts.
He confirmed that it did not have any additional costs, eliminate contract services, or interfere with the assignment
scheduling, supervision, or operational command of contract personnel by Captain Penrose or Chief LaGreca. Director
Gendler summarized that the concept provided the Council with the means of fiscal planning, a framework for the
budget, and a system for efficient use of resources. He acknowledged that as a member of Town staff, he was
presenting this concept for the Council's information. Director Gendler requested that if the Council believed that this
concept had merit, to reassign the task back to staff for further development. He proposed that at that point he would
work directly with Captain Penrose, Chief LaGreca and possibly another member of Rural Metro, as well as someone
from the LEAP Committee in an effort to bring back to the Council a proposal for their consideration for
implementation.
Mayor Morgan asked to whom the emergency medical services would report. Director Gendler clarified that division
would report to whoever was in charge at whatever level Rural Metro currently utilized.
Councilwoman Fraverd thought he had proposed some interesting concepts that she would like to explore in the future.
She noted that on January 3rd a consultant would make a presentation and recommendation to the Council on the Town's
future law enforcement. She hoped that in the month of January the Council would make a policy decision on this issue.
Councilwoman Fraverd preferred to have a policy in place before endorsing a Director of Public Safety position. If the
Council chose to go with a full service Town police department, she felt that perhaps there was a position for a Director
of Public Safety. However, if the Council went mostly with contract services, she was less sure that this position and
salary was appropriate. Councilwoman Fraverd acknowledged all of the letters and e-mails that she had received. She
wanted the facts brought out for public's information and for her own before the public offered their opinions to the
Council. Councilwoman Fraverd MOVED to continue this until the second Council meeting in January (January 17,
2002)and Mayor Morgan SECONDED the motion. A roll call vote was taken with the following results.
Councilwoman Hutcheson- aye
Councilwoman Fraverd- aye
Vice Mayor Kavanagh- nay
Mayor Morgan - aye
Councilman Wyman - nay
Councilman McNeill - nay
Councilwoman Ralphe— nay
The motion to continue FAILED
Vice Mayor Kavanagh stated that next month the Council would be addressing one of the most controversial topics in
the Town. Who will provide the law enforcement services? Vice Mayor Kavanagh also acknowledged the flood of e-
L, mails that he received. Many had felt the Council would be discussing tonight whether the Town would go Sheriffs or
Marshals or some combination. Many felt that if the issue wasn't going to be directly discussed, there was a possibility
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that some motion or change would be made that would benefit one side or the other. He recognized that many people
were upset on both sides. Those to whom he had talked with wanted an opportunity to read the consultant's report. Vice
Mayor Kavanagh felt that the consultant's report had been out of the public's domain for far too long and he apologized
that it hadn't been released a long time ago. He stated that it would be released. Since that couldn't happen until next
month, that was why he didn't want to see any definite action taken tonight.
Vice Mayor Kavanagh reiterated the issue tonight was whether or not the Council would explore different scenarios. He
did not have a problem with Director Gendler, the Sheriffs Department, Rural Metro, and LEAP discussing possible
options. The Council did not want to project an opinion before the study was released and everyone had the opportunity
to examine it. Vice Mayor Kavanagh pointed out that if the Council wanted staff to do something they did not need to
make a motion. He agreed staff should explore this with everyone involved and get input, look at the study, and the
Council would make the decision in January.
Mayor Morgan interjected that anyone who would form an opinion or be a part of making decisions owed it to
themselves to read the report before coming to any conclusion. Councilwoman Ralphe agreed everyone should get the
facts. She understood that the consultant would be at the Council meeting on January 3rd to answer questions about his
report. She saw this meeting as being about proposed conceptual changes to the Town's internal departmental
structural. Councilwoman Ralphe explained that the Council was thinking about this now because of the Town's new
fire and ambulance service responsibilities that needed to be integrated into the existing chain of command. She heard
the suggestion from Director Gendler that if the Council approved this in concept and the Council directed staff, namely
Director Gendler, to meet with representatives of fire, sheriff, and LEAP, they would work together to come up with a
proposed detailed plan. If the Council agreed, as suggested, and the groups talked with one another at this high level it
was probable that the group would come back with a winning plan. Councilwoman Ralphe favored the Council voting
tonight for the concept plan and authorizing Town staff, along with Captain Penrose, Chief LaGreca, and a LEAP
representative, to work together and to work out the details then bring it back to the Council for consideration. Without
this formal request or directive to staff tonight she asked what would the Council be talking about on January 3rd
Vice Mayor Kavanagh clarified that his statement that he would like to see this explored in no way meant that he
supported this concept. He did not think there was a concept present as it was just an idea. Vice Mayor Kavanagh
wanted everyone to explore multiple concepts giving the Council many options to consider. He asked that everyone to
keep an open mind. Mayor Morgan believed that she would not be able to listen to a consultant and the public on
January 3` and then turn around and make a decision that same night. She did not see a decision being made until at
least the 17d'.
Councilwoman Hutcheson felt that the Council had strayed from where they had originally started. Her position was
that anyone had the opportunity to make a plan. She hoped for good cooperation between all the parties involved. She
said that she had some initial questions having to do with contractual constraints and the liability with job sharing. She
wanted to see the concept or plan incorporated after presentation of the consultant's report. Councilwoman Hutcheson
stated that a rational way to proceed would be to publish the report in final form for the public and the Council to review
it. After the consultant's presentation then follow up with work on a concept plan after input had been gathered from
both the public and the Council. She stated that to work on a concept plan without coordinating that with the results
from the consultant's report seemed like a backwards approach.
Councilman McNeill said the Council certainly needed to hear from the consultant and that his report needed to be
released. There was no question that the choice of whether to continue contracting for services from the Sheriffs
Department, to form a Town Police Department, or to continue to have some form of hybrid was very important. He
said the Council needed the public's input on this issue. He felt that what had been proposed by Director Gendler did
not compromise the Council's ability to make those choices in the future. Councilman McNeill said this proposal made
good common sense. Fountain Hills was now a town of over 20,000 people and would be growing to over 30,000 at
build out. He asked what was more important in the Town than the provision of central public safety services. The
Council needed to make sure that when those services were provided that they were the services that the citizens wanted
and the services were right for the Town. He felt the best way to ensure what happened was to have a reporting
relationship much like Director Gendler had proposed. He said whatever choices were made in the future it was
important that there was a central point where the administrative responsibilities for the contracts or Town service
providers stopped. Councilman McNeill reiterated an important point made by Director Gendler was that the proposal
was to simply have that function serve as the administrative focal point while the providers exercised operational
control.
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Councilman McNeill said that it was proper for the Council to give Director Gendler a little more direction. He was
prepared to support the concept plan, give direction as suggested to go forward, request that details be flushed out for a
common sense proposal by working with all of the affected agencies and LEAP, and ask that a plan be brought back to
the Council. He restated that the Council would hear from the consultant on January 3`d and that meeting would move
the Council along to a decision, which had unfortunately been delayed too long. As a result, the Town had lost some
good members of the Town Marshals Department while the Council had worked on other issues. He did not want to see
the Council linger in making a decision but the agenda item before the Council tonight was not that.
Councilman Wyman asked for clarification as to if the consultant would be answering questions and/or making
recommendations that day. He suggested that if this concept were to be flushed out with sufficient detail then the
Council could at least review it on January 3. H expressed interest in having the consultant's comments on the concept
plan but he pointed out that to do that the consultants would also need to have time to digest it. Councilman Wyman
stated that being a consultant did not necessarily make them right or wrong but was just other input. He suggested that
the Council encourage and direct Director Gendler and all involved go ahead with this concept and to put in it sufficient
detail so there was some meaning to it for the Council and the consultant.
Mayor Morgan asked if the consultant's purpose was to come back with a recommendation from the facts that they had
gained from those to whom they had spoken. Mr. Farrell reiterated that the consultants would be present January 3`d
with the report made available to the public on December 21st. Mr. Farrell agreed that it would take a period of time to
hear from the public. He proposed to join consultant, along with the Public Safety Director, and give the Council two
presentations on the night of January 3`d
Vice Mayor Kavanagh feared that whatever the final look of law enforcement was in February, the agency or agencies
were going to be handicapped by a loss of public support. He restated that he had no problem with Director Gendler
pursuing this concept and talking with people or with others developing plans and submitting it to the Council. He
confirmed there was no hidden agenda. He stated that no matter what motion was made, he would abstain.
Councilwoman Hutcheson pointed out that one of the reasons that the Council had decided to hire a consultant was to
avoid personality issues and have a professional evaluation done. To go forward until the evaluation results were seen
was a disservice to the people who gave their time to participate and was not a wise use of public funds.
Councilwoman Ralphe did not understand what the consultant report had to do with this agenda item. This item had to
do with the Town's internal departmental structure and not a consultant's report. Councilman McNeill clarified that as
citizens of Maricopa County, the Town would have the Sheriffs services whether they had a contract with the Sheriff or
not. With regard to the consultant's report, Councilman McNeill agreed with Councilwoman Ralphe that this agenda
item did not have anything to do with the consultant's report. He said that the Council had not asked the consultant to
make recommendations on the internal structure or administrative responsibilities of the public safety components.
Councilman McNeill stated that he was anxious to get the consultant's report out to the public, but he acknowledged
that it would be one of many factors taken into account by the Council.
Councilwoman Fraverd felt that the decision that the Council was being asked to make this evening was to endorse an
administrative position for a Public Safety Director and to have enforcement people report to him. She said that it was
important to realize that if the Council decided to go with almost a full Sheriffs department and a couple of code
enforcement people, the Town could potentially create a very expensive administrative position for coverage of three
contracts and several code enforcement people. She was not sure that was a fiscally responsible decision to make at this
time. Councilwoman Fraverd could not endorse the position of the Public Safety Director in this respect, as the timing
was not appropriate.
Councilwoman Ralphe responded to an earlier statement made by Councilwoman Fraverd that by tonight's action the
Council would be establishing a Public Safety Director position. She disagreed with that statement saying that the Town
already had one, Director Gendler. She clarified what the Council would be setting up was a public safety department
that would be providing four different kinds of services. Councilwoman Ralphe replied to Councilwoman Fraverd's
comment about it being a big salary for several contracts and code enforcement. She suggested that Councilwoman
Fraverd had forgotten law enforcement and the Marshals Department had been providing that. The Sheriffs department
had been doing that via a contract.
Vice Mayor Kavanagh reiterated that the Town did have a Public Safety Director, Steve Gendler and in his opinion, he
was a good one. Vice Mayor Kavanagh agreed that Director Gendler was currently in charge of all of those things. He
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was confused as to where the Council was going with this issue and that was why he had no problem with giving
direction to people to refine this concept. He admitted that he was uncomfortable voting for it and endorsing it because
he was not 100% sure what the concept was as it was not yet developed. He felt the Council was causing more
confusion and distrust among each other.
Councilwoman Fraverd MOVED to continue this until the second Council meeting in January. The motion DIED for
lack of a second. Councilman McNeill suggested that the Council proceed with public comment. He commented that
several of the Council had expressed their intent as to what staff should do between now and January 3`d. He agreed that
a motion was not necessary. Vice Mayor Kavanagh MOVED to suspend the rules and let the public speak. The motion
DIED for lack of a second.
Councilman McNeill MOVED to direct staff to develop, from the conceptual plan that was presented, a detailed
implementation proposal for consideration at the January 3rd meeting and Councilman Wyman SECONDED the
motion.
Captain Penrose,MCSO
He reminded the Council that what they were here to do was to find out what would work. He requested that this be
postponed until they heard input from the consultant and then the Council could render a decision of what will work and
what was best for this town,not what the town necessarily wanted.
Ron Olson, Grande Blvd.
He wanted to review the report. He wanted to know how the report would be presented to the public.
Mr. Farrell responded that three copies would be made available for reading and copies would be sold at the cost of
reproduction per page. Vice Mayor Kavanagh suggested that the document be placed on the Town's website. If the
public did not have a computer,there were computers available at the library.
Shawn Dell,Buffalo Dr.
He asked for the Council to get the facts before making a decision.
Paul Nordin
He clarified that the consultant had been instructed to put together, as part of his report, several options for the Council
to consider. Mr. Nordin had requested that the consultant specifically choose a recommendation and present it to the
Council.
Louis Lombari, 9822 Libner Place
He found it interesting that the Marshals Department was told of downsizing prior to the consultant's report. He was
confused because the Marshals Department had lost three people on that statement alone. He asked why that was
presented to the Marshals Department prior to the release of the consultant's report.
Mr. Farrell said when the draft of the report came to Paul Nordin it had been shared with him as the town attorney.
They ruled that the document was a draft and would be returned to the consultant for finalizing. When he assumed the
Town Manager's position in July, it became apparent to him that the browns and blues were not communicating and the
situation was escalating. He explained that he had attempted to answer questions put to him honestly at the Marshals
Department meeting about what he would do as the Acting Town Manager. He explained that Director Gendler had
invited him to that meeting. He had tried to give everyone in the room his honest impression of what he would
recommend as Acting Town Manager. He felt that some people heard things in that meeting that he didn't say. He
acknowledged that the meeting had been taped and that some of the meeting transcription had been given to the Council.
At the Marshal Department meeting, Mr. Farrell told the officers that if they were interested in a career with the ability
to do a lot of criminal work and an opportunity presented itself for them to do so by going to another law enforcement
agency, the Town would not punish them or hold it against anyone. It was his recommendation that the Marshals
Department not do the criminal work as the Maricopa County Sheriffs office was contracted to do those three beats. He
restated that he would facilitate those kinds of transfers if the officers felt that they wanted to pursue that type of a career
and an opportunity was available. Mr. Farrell assured everyone in that room that no one would be deserted, fired, or
would lose a paycheck. Mr. Lombari admitted that he had not been present at that meeting. Mr. Lombari asked if any
L, of the Councilmembers had been aware of the conversation that Mr. Farrell was going to have with the Marshals
Department. Mr. Farrell responded no and clarified that no matter who sat in the Town Manager's chair, the Public
Town Council Meeting Minutes of 12/10/01
Page 8 of 14
Safety Director would report to the Town Manager and not to the Mayor and Council. Mr. Farrell explained that
Director Gendler had asked him to appear at that meeting as the Acting Town Manager. Rather than duck the issue. he
felt he had confronted it. He had tried to tell his employees what the future would be. Mr. Farrell reiterated that he had
submitted his resignation as Acting Town Manager effective January 3151 but he was not leaving as town attorney. Mr.
Lombari asked if Mr. Farrell would be making his recommendation to the Council on this subject. Mr. Farrell
responded yes.
Karen Warner, Kings Way
She expressed her concern that the Public Service Director would be placed in charge of four services. She asked what
his experience was in all four-service areas. She suggested that this Public Service Director would be just as
overworked as the Town Manager. She asked what type of specific experience did Director Gendler have with regard to
fire safety.
Paul Garihan,
He stated more information was needed and proposed that a town meeting was needed with people giving the Council
their opinions.
Rick Melendez,Fountain Hills' LEAP representative
He read a prepared statement. The Fountain Hills Law Enforcement Advisory Panel was made up of men and women
from Fountain Hills who volunteer their time and energy throughout the year as part of the community based policing
concept. In March of this year this Council unanimously approved that LEAP be part of the consultant review process.
He stated that the group met on three occasions and on April 18th they had delivered their observations and
recommendations to the consultant. He reiterated their position was made to the consultant that one law enforcement
group was desirable for the Town of Fountain Hills. Last week they received proposals from the Marshals Department
and the Sheriffs. While they appreciated receiving these proposals they felt it was inappropriate for them to make a
recommendation prior to seeing the consultant's report. LEAP would like to review their decision after they received
and reviewed the consultant report. LEAP urged the Council to not make any decisions prior to seeing the consultant's
report.
Dave Combs
r He commented that he had participated in the consultant's survey with other business people. At that time he and the
others had questioned whether or not the report would be made public before a decision was made. They had been
assured it would be released to the public before the Council made their decision. He expressed disappointment that he
did not have any more information than the Council appeared to have. He stated that he felt that his time had been
wasted and the money ill spent. He felt that it showed a lack of fiscal responsibility on the Council's part.
Desiree Holland,Almont Dr.
She asked that once the Council received the report that they consider the safety of residents.
Charles Cutler, Red Rock Dr.
He noted that the Council appeared confused with what was being presented. He was confused also. He agreed with
Councilwoman Hutcheson that you don't start a process when there was one already on going that would lead you down
the road. He wanted everyone to wait until after the report was presented to make any decisions.
Philip Garazani, Sierra Madre Dr.
He urged the Council to get the facts and use caution when making their decision. He stated that the Council did not
need to vote on this tonight but only direct staff.
Pen Mower, Ponderosa
He urged the Council to go along with Director Gendler's concept. He pointed out that Councilwoman Hutcheson
should recuse herself from all discussions and the vote as her husband was employed by the MCSO. He stated that was
a conflict of interest. Mr. Farrell addressed this issue. It was his legal opinion that there wasn't any conflict of interest
on Councilwoman Hutcheson's part. He stated he had discussed Councilwoman Hutcheson's husband employment with
her. His opinion was that whether or not there was a contract with the Town of Fountain Hills, it would not affect his
personal relationship as an employee of MCSO and therefore there was no conflict of interest.
Town Council Meeting Minutes of 12/10/01
Page 9 of 14
Councilwoman Hutcheson thanked Mr. Mower for bringing this issue up. She noted that this rumor had been floating
around for some time and she welcomed the opportunity to address it. She confirmed that her husband was employed
by MCSO about six months ago as one of approximately 2400 employees in the civil division and not sworn division.
She affirmed that he had nothing to do with law enforcement or Fountain Hills. She stated that he was connected with
kkiwinstitutional services, which dealt with food services and food preparation for inmates. Councilwoman Hutcheson
concluded that she did not feel there was a conflict of interest and neither did her attorney.
Jerry Sheridan,MCSO
He agreed that there were some issues with law enforcement services and that the consultant's report had discovered
those discrepancies. He also felt there was an agenda for tonight's meeting after listening to the comments made. He
found it very suspect that this issue was being dealt with on December 10th when the consultant's report was to come out
in eleven days. He did not feel as though the Marshals and the MCSO were working together on a plan. He expressed
there was much confusion on everyone's part. Mr. Sheridan pointed out that the operational oversight of the Sheriffs
office wasn't suitable, and there was case law on that issue, as the Sheriff was a constitutionally elected official. and
reporting to a bureaucrat was not appropriate. He recommended that the Council not deal with this issue until after the
Council decided what they would do with the Town's law enforcement services.
Ron Bruno,Tepee
He thanked Mr. Farrell for taking over as Acting Town Manager. He wanted to review the report and asked that the
Council continue this issue.
Dans,Thistle Dr.
He asked what the rush was. He asked for more facts and that the next meeting be held in a larger facility.
Jerry Young,El Lago
He asked for the Council to wait for disclosure of the report and additional public input before they vote. He asked that
the Council listen to LEAP.
Sid Apps, 10401 N. Saguaro
He asked that Council act responsibly and wait for the report,read it, post it on the Town web page and then address the
ihir.issue again.
Roger Berwalter, Ibsen Dr.
He asked why rush. He requested that the Council look at the facts and wait for the report to be released. He asked that
they make a decision based upon what was best for the community as a whole.
Sgt. Mary Schlosser,Marshals Department
She said the plan that Director Gendler was trying to get across was that the Marshals Department would be working
jointly with fire and emergency medical services. This was not about law enforcement but was about how the fire
services and EMS would integrate with law enforcement and how they would report to the Town Manager and Council.
This was not about who would provide services for law enforcement. The Council was not being asked to vote on this
proposal on January 3`d. The Council was being asked to allow Director Gendler to proceed to gather information,
which would be presented to the Council for further consideration on January 3`d. She repeated that this was about a
joint issue of public safety for the Town and not about who was going to provide law enforcement. She requested that
the Council allow Director Gendler to proceed and order that the other agencies work with him so that the Council had
all the facts.
Dee Harrison
She asked that the Council wait until the consultant's report was out before they make their decision.
James Jislin, Golden Eagle Blvd.
He recommended that the Council wait until the report came out before making a decision.
Robert Wagner, Director and Commander of the Fountain Hills Posse
He wanted the Sheriffs Department to remain in Fountain Hills, so that the Posse could stay in Fountain Hills.
L
Town Council Meeting Minutes of 12/10/01
Page 10 of 14
Jean Kuntz
She pointed out that Fountain Hills would remain covered by the Sheriff's Department because Fountain Hills was in
Maricopa County.
Lor Al Crowley, Aspen Dr.
He stated that the public had been promised that they would have their own fire and police departments for a long time.
He said the people should vote on this issue.
Lori Noss,Fairlyn Dr.
She asked that Director Gendler be allowed to talk with other departments and contracted groups/organizations to
develop a potential plan.
Director Gendler clarified that he held the dual title of Town Marshal and Director of Public Safety by action of this
Council. He proposed to meet with Captain Penrose and Chief LaGreca regardless of what happened tonight to see if
there is something that they could come up with. He would wait and see what happened in the future.
Vice Mayor Kavanagh clarified why this could not come up for a public vote. As he understood it, legally that could
not happen because Fountain Hills had never made itself a city. Mr. Farrell affirmed that was correct. Mr. Farrell
explained that the Mayor and Council were limited with what they could place on the ballot by case law. The Council
was prohibited from putting advisory questions on the ballot.
Councilman McNeill read an e-mail from resident and former councilmember. She had asked that it be made part of the
record: As a member of the first two town councils, she had worked to fulfill the Council's Arizona Constitutional
responsibly for providing for the health, safety and general welfare of the citizens of Fountain Hills under the special
district and county participation arrangements set up by the original developer. Since incorporating, we have other
options and I strongly support the proposed idea of a public safety department as the format for the performance of these
basic duties in the future, signed Peg Tibbetts.
Paul Garihan,North Bonita
L. He knew about companies who had lived by consultant's recommendations but also knew some that had died by them.
John Kaufman, Sgt. of the Fountain Hills Sheriffs Posse
He stated that the Posse operated under authority of the Sheriffs Department.
Pen Mower, 15951 E. Ponderosa
He suggested that the Sheriff's Department bring the channel of their communication system down to the channels
operated by the Marshal's Department so that there could be direct communication between the two departments.
Jerry Sheridan,Chief of the Maricopa County Sheriff Office
He responded to the issue of radio communication raised by Mr. Mower. He suggested that there were solutions to the
communication problems that could easily be worked out and that would be a topic for discussion in January.
Edwin Key, Agate Knoll
He stated that this was an on going issue and it was time for the community to consider if it wanted to have the total
voice in public safety services. He repeated what Captain Penrose stated, "It was not what the citizens wanted; it was
what would work". He thought Captain Penrose meant that would be what would work according to the Sheriff s
Department. He felt that the Sheriffs Department was a contractual agency like the Fire Department that worked for
the town and not the other way around. He hoped that the Council would make a decision as to what was best for the
town from the standpoint of law enforcement and economics and go that way. He thought this was more of a turf war
than anything else.
Edmond Bedell,Posse Coordinator
He stated that the Posse played an important role in Fountain Hills. He restated that if the Sheriffs Office left so did
they.
Greg Harrel, Saguaro Blvd.
He hoped the Council and everyone paid close attention to the consultant's report and echoed what Mr. Bedell said.
Town Council Meeting Minutes of 12/10/01
Page 11 of 14
Stacey Sheridan,Aspen Dr.
She asked that everyone wait until the report was available to make a decision.
Paul Shigona,MCSO
He wanted to see the consultant's report to determine how the consultant had rated them.
Councilman Wyman pointed out that over the past six years there had been eight citizen councils and commissions that
discussed what should be done about this issue. He did not want it suggested that they hadn't known it was of concern
to the Council. He felt it was healthy to have a consultant come in and make an analysis. He pointed out that the
Council has not had the report very long. When it arrived, the primary Town Manager, Mr. Nordin, wasn't satisfied
with it and wouldn't release it to the Council, as then it would have been made a public record. The Council then told
Mr. Nordin to get it changed to the point that he was satisfied but shortly after that Mr. Nordin became ill. Councilman
Wyman felt at that time the Town should have their own police department because the Sheriff organization had a larger
obligation with a turn over in watch commanders and personnel. He had been of the opinion it was better to build a
community based policing mentality on the part of personnel. He no longer supported that. He stated that Sheriff Joe
had taken away many problems when he moved to Town and promoted Scott Penrose to Captain. He did not think that
the Council had any intention of doing away with the Sheriff services in this Town. Director Gendler was the Director
of Public Safety who contractually and administratively worked with the Sheriffs organizations and the Marshals.
Councilman Wyman pointed out that the only difference now was that the Town had inherited EMT and Fire
Department responsibilities. He clarified that the public elected the Council to deal with these issues and whether or not
the Council turned out to be right or wrong was another matter. He explained that when the Acting Town Manager told
the Marshals Department that they were going to be downsized without first having run it past the Council, the
department started to lose people immediately. He did not think that the Council could wait until the next Council came
on board to deal with this issue and it was then that the Council decided to bring the issue forward for discussion.
Councilman Wyman acknowledged that they were not making a decision tonight. He felt the Director should go ahead
and his proposal and would be put together with the Ryder report for more comment from the public. Then at some
appropriate time, early in the year, the Council would make a decision. Councilman Wyman did not think the Council
was out of control or rushing things.
Fred Muetter, 15719 E. Sunflower
%ilw, He stated that he was a professional consultant. He had understood that the Council did not get the consultant's report.
Councilman Wyman responded the Council did have it. Mr. Muetter asked then why didn't the public have it.
Councilman Wyman replied that was part of the process. Mr. Farrell restated that the draft report contained personnel
items. It was his opinion, as town attorney, that it was in the best interest of the Town and the confidential interest of
some of the persons mentioned in the report that the draft not be released to the public. The consultant had been
instructed to correct that problem and then the final report would be released. Mr. Farrell clarified that the Council had
the read the draft report and not the final report.
Fred Muetter, 15719 E. Sunflower
He felt that a professional consultant should have sent a final report with alternatives and a bona fide recommendation.
Councilman Wyman said that one of the reasons that this issue had been brought forward was to get the discussion
started and to assure members of the Marshals Department that the Council was trying to examine things in a
constructive way. Mayor Morgan stated that Mr. Farrell took the direction he did at the request of Marshal Gendler.
Mr. Farrell read Section 4-1-2 of the Town Code. He said that if his actions precipitated the marshals leaving, he was
sorry, but he had read the Code to say that the Town Marshal "worked for" and "served at the pleasure of" the Town
Manager. He had acted in what the he felt the Code said. He reiterated his apology for his actions but he stated that he
would stand by them. He wanted the Council to make public safety decisions but he clarified that the Code said that the
Town Manager appoints the Town Marshal and the Town Marshal reports to the Town Manager.
Vice Mayor Kavanagh stated that when the consultant's report first came back to Manager Paul Nordin, he had inquired
when the report would be released to the public. Mr. Nordin had responded that there were problems with the report.
Vice Mayor Kavanagh had asked if it would be altered for the public. Mr. Nordin assured him that he was not asking
the consultant to change his opinion or recommendations. Mr. Nordin had explained that many of the changes were
grammatical; there were omissions, and that major organizational problems affected its readability. There was also the
issue of confidentiality of community leaders and members that had been asked to participate and comment. Vice
Mayor Kavanagh said that he had been lead to believe that many who talked to the consultant believed that they had
Town Council Meeting Minutes of 12/10/01
Page 12 of 14
been speaking in confidence and that their comments would not be made public. He noted that confidentially was
essential if people were expected to tell the truth. He said that if anyone thought there was a problem with spin. they
could ask the consultant upfront when he made his presentation. Mayor Morgan agreed with Vice Mayor Kavanagh.
Councilman McNeill said it was his opinion that because the consultant had chosen to include those confidential
comments it showed him not to be as professional as he had hoped that they would be. He responded to Mr. Farrell's
quotation of the Town Code by stating the Council thought they had made it clear many months ago that when the
consultant had been commissioned that this was a very important policy issue and it would be the Council who set the
policy. He was not prepared to say what action the Council should take but he felt that the Sheriffs contract was on the
table. Councilman McNeill commented that he felt the Town should, at some point, have their own police department
and the Council should always leave themselves options. If the relationship with the Sheriff changed, the Town should
have the ability to create a Town police department without a lot of pain. He addressed the lack of communication
between the browns and blues. He shared one of the e-mails that he received from someone who supported continuing
the sheriffs contract. It made reference to a program that was implemented in Kings County Washington and he
suggested a similar program might work here. It allowed the Town to select the uniforms, the Town insignia was placed
on their contract employees, and all contracted law enforcement drove cars with the town logo on the unit. He felt
merited further study.
Councilwoman Ralphe said that the Council would deal with the details later. She proposed tonight that the Council
should cast a vote in favor of talks between Director Gendler, Captain Penrose, Chief LaGreca, and a LEAP
representative. She felt that diplomacy had the power to settle disputes and disagreements. The motion was repeated
and a roll call vote was taken with the following results.
Councilwoman Fraverd - nay
Vice Mayor Kavanagh- abstained
Councilwoman Ralphe— aye
Councilman Wyman - aye
Councilman McNeill - aye
Councilwoman Hutcheson- nay
Mayor Morgan- nay
The motion FAILED.
AGENDA ITEM#10- CALL TO THE PUBLIC.
No one came forward.
AGENDA ITEM#11 -ADJOURNMENT.
Councilwoman Fraverd MOVED to adjourn and Councilman Wyman SECONDED the motion, which CARRIED
unanimously. Mayor Morgan adjourned the meeting at 9:35 p.m.
Sow
Town Council Meeting Minutes of 12/10/01
Page 13 of 14
TOWN OF FOUNTAIN HILLS
By: G�•
Sharon Morgan, Ma or
ATTEST:
Cassie B. Hansen,
Director of Administration/Town Clerk
9
•
PREPARED BY:
Bev Bender, Executive Assistant
CERTIFICATION
I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Regular and Executive
Meeting held by the Town Council of Fountain Hills on the 10th day of December 2001. I further certify that the
meeting was duly called and that a quorum was present.
DATED this 20th day of December 2001.
(111-4A—A-t_K"---e
Cassie B. Hansen,
Director of Administration/Town Clerk
L
Town Council Meeting Minutes of 12/10/01
Page 14 of 14