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HomeMy WebLinkAbout2002.0702.TCREM.Minutes TOWN OF FOUNTAIN HILLS MINUTES OF THE REGULAR AND EXECUTIVE SESSION OF THE FOUNTAIN HILLS TOWN COUNCIL July 2,2002 Mayor Jon Beydler convened the regular session at 4:30 p.m. AGENDA ITEM #1 - PURSUANT TO A.R.S. §38-431.03.A.1., AND A.R.S. §38-431.03.A.4, AND A.R.S. §38- 431.03.A.7. 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. (THE COUNCIL WILL DISCUSS THE STATUS OF LEGAL SERVICES AS OF JULY 1, 2002; PAUL NORDIN'S EMPLOYMENT STATUS; AND THE NEW TOWN MANAGER CANDIDATES.); AND TO OBTAIN LEGAL ADVICE FROM THE TOWN ATTORNEY REGARDING PENDING OR CONTEMPLATED LITIGATION SPECIFICALLY: CLAIMS FOR LEGAL WORK DONE FOR THE FOUNTAIN HILLS VOLUNTARY FIRE DISTRICT BY THE FIRMS OF MARTINEZ AND CURTIS AND BROWN AND BAIN.; AND FOR DISCUSSIONS OR CONSULTATIONS WITH DESIGNATED REPRESENTATIVES OF THE PUBLIC BODY IN ORDER TO CONSIDER ITS POSITION AND INSTRUCT ITS REPRESENTATIVES REGARDING NEGOTIATIONS FOR THE PURCHASE, SALE OR LEASE OF REAL PROPERTY.(SPECIFICALLY,THE COUNCIL WILL DISCUSS TERMS OF THE TOWN HALL LEASE.) Councilwoman Ralphe MOVED to convene the executive session. Councilman Archambault SECONDED the motion. The Dtion CARRIED unanimously. AGENDA ITEM#2-RETURN TO REGULAR SESSION Mayor Beydler recessed the executive session and reconvened the regular session at 6:20 p.m. Following the pledge to the flag and an invocation by Councilwoman Ralphe,roll call was taken: ROLL CALL -Present for roll call were the following members of the Fountain Hills Town Council: Mayor Jon Beydler, Vice Mayor Fraverd, and Councilmembers Rick Melendez, Kathleen Nicola, Mike Archambault, Susan Ralphe, and John Kavanagh. Also present were Town Attorney Bill Farrell, Interim Town Manager Sintra Hoffman, Paul Nordin, Human Resource Administrator Joan McIntosh, and Director of Administration/Town Clerk Cassie B. Hansen. Mayor Beydler swore Ted Armbruster in as the new presiding judge of the Fountain Hills Municipal Court. Mayor Beydler introduced the new interim Town Manager Sintra Hoffman. Consent Agenda (Agenda Items 1—8): AGENDA ITEM#1 - CONSIDERATION OF APPROVING THE MEETING MINUTES OF JUNE 20,2002. AGENDA ITEM #2 - CONSIDERATION OF THE EXTENSION OF PREMISE/PATIO PERMIT SUBMITTED BY ROSEMARY BARRINGER FOR THE SILVER STEIN LOCATED AT 17030 ENTERPRISE DRIVE. THE PERMIT IS A TEMPORARY EXTENSION OF THE STEIN'S LIQUOR LICENSE ON JULY 27,2002. AGENDA ITEM #3 - CONSIDERATION OF RESOLUTION 2002-26 ABANDONING WHATEVER RIGHT, ,TLE, OR INTEREST THE TOWN HAS IN CERTAIN PUBLIC UTILITY AND DRAINAGE EASEMENTS )CATED AT THE NORTHERLY PROPERTY LINES OF LOTS 15, 16 AND 17, AND THE EASTERLY ASEMENT OF LOT 16 AND THE WESTERLY EASEMENT OF LOT 15, BLOCK 7, PLAT 204 (17218, 17206 AND 17152 E. PARLIN DRIVE) AS RECORDED IN BOOK 142 OF MAPS, PAGE 10 RECORDS OF MARICOPA COUNTY,ARIZONA - EA2002-11. AGENDA ITEM #4 - CONSIDERATION OF RESOLUTION 2002-27 ABANDONING WHATEVER RIGHT, TITLE, OR INTEREST THE TOWN HAS IN CERTAIN PUBLIC UTILITY AND DRAINAGE EASEMENTS LOCATED AT THE SOUTHERLY PROPERTY LINE OF LOT 2, BLOCK 4, PLAT 506A (15830 EAGLES NEST DRIVE) AS RECORDED IN BOOK 159 OF MAPS, PAGE 30 RECORDS OF MARICOPA COUNTY ARIZONA -EA2002-12. AGENDA ITEM #5 - CONSIDERATION OF RESOLUTION 2002-28 ABANDONING WHATEVER RIGHT, TITLE, OR INTEREST THE TOWN HAS IN CERTAIN PUBLIC UTILITY AND DRAINAGE EASEMENTS LOCATED AT THE EASTERLY PROPERTY LINE OF LOT 28, BLOCK 2, PLAT 505-D (16405 N. CANYON DRIVE) AS RECORDED IN BOOK 158 OF MAPS, PAGE 41 RECORDS OF MARICOPA COUNTY, ARIZONA -EA2002-13. AGENDA ITEM #6 - CONSIDERATION OF ACCEPTANCE OF OWNERSHIP TRANSFER FROM SUNRIDGE CANYON LLC OF THE NORTH HEIGHTS DAM (EASTERN DOWNSTREAM HALF) REA 02- 01. AGENDA ITEM #7 - CONSIDERATION OF RESOLUTION 2002-29 ABANDONING WHATEVER RIGHT, TITLE, OR INTEREST THE TOWN HAS IN THAT PORTION OF THE 1' VEHICULAR ACCESS EASEMENT LOCATED WITHIN TRACT A OF SUNRIDGE CANYON PARCEL D-NORTH AND LYING WITHIN THE 20' ACCESS EASEMENT AND THE SRP ACCESS EASEMENT, BOTH LOCATED ADJACENT TO THE WESTERLY CUL-DE-SAC BULB OF WILDCAT COURT. NVAE 2002-05. AGENDA ITEM#8- CONSIDERATION OF RESOLUTION 2002-30 ABANDONING THE DECLARATION OF CONDOMINIUM FOR "KINGSDALE CONDOMINIUM UNIT 11" LOCATED IN FOUNTAIN HILLS, ARIZONA PURSUANT TO ARTICLE II, SECTION 208 OF THE SUBDIVISION ORDINANCE FOR THE TOWN OF FOUNTAIN HILLS, AS RECORDED ON BOOK 289, MAP 47, OF THE RECORDS OF MARICOPA COUNTY,ARIZONA. Councilwoman Ralphe MOVED to approve the consent agenda(Items 1-8) and Councilman Kavanagh SECONDED the )tion. A roll call vote was taken with the following results: Vice Mayor Fraverd Aye Councilman Kavanagh Aye Councilman Melendez Aye Councilman Archambault Aye Councilwoman Ralphe Aye Councilwoman Nicola Aye Mayor Beydler Aye The motion CARRIED unanimously AGENDA ITEM#9 - CONSIDERATION OF APPOINTING A NEW TOWN MANAGER FOR THE TOWN OF FOUNTAIN HILLS. Mayor Beydler MOVED to appoint Steve Norwood as the new town manager subject to successful contract negotiations and Councilwoman Nicola SECONDED the motion. Councilman Kavanagh AMENDED the motion to have the appointment of the Town Manager contingent upon the retention of the services of Town Attorney Bill Farrell for the term of Mr. Norwood's two-year contract and Vice Mayor Fraverd SECONDED the amendment. Councilman Kavanagh pointed out that at the last meeting it was suggested to begin the process to look for a new town attorney. Since then there had been a considerable ground swell of popular support for the current attorney Bill Farrell. Mr. Farrell was appreciative of that action and felt fortified. Councilman Kavanagh and others had named reasons for retaining Mr. Farrell: the Town was in the middle of some complicated litigations and he charged the Town a reasonable rate for his legal services, and because he was very knowledgeable on all Town issues. Councilman Kavanagh stated that vas because of the knowledge of Mr. Farrell on the legal aspects of all Town issues that he placed this stipulation to the ,a_sent motion for a new town manager. He felt it was appropriate because this would be a new manager from out of state who knew absolutely nothing of the history of litigations, contracts, laws, and local dealings. He observed that it would place the Town in a very precarious and dangerous legal situation to have two totally green individuals trying to 7/2/02 Regular and Executive Session Page 2 of 20 chart a course through those treacherous legal areas. He explained that it would be just for the first two-year period of Mr. Norwood's contract. This would give Mr. Norwood the assistance of an experienced town attorney who knew what was going on and keep the Town out of trouble. Vice Mayor Fraverd echoed those comments. She said it was time to move forward both as a Council and as a community. She stated that the community needed to move forward as the fire and law enforcement issues were resolved by a vote of the Council. She asked that the Council build a strong leadership team by combining experience and energy both at the Council level and at the town manager/attorney level. The addition of Steve Norwood would fill a gaping hole in the team bringing in fresh ideas and an energized attitude. She stated that Bill Farrell would provide a wealth of knowledge and a stabilizing transition teammate for the new town manager. Vice Mayor Fraverd challenged her fellow council members, especially Mayor Beydler who pledged healing and consensus building after the election,to support this motion and let the Town move forward. Councilman Archambault said this action was typical of lobbyists and politicians. They try to add a rider to something that was trying to be passed. He announced that he would not stand for it or vote for it. He apologized to Mr. Farrell by saying his vote was not against him but was against adding riders and trying to find a way around something because they didn't win last time. Councilman Kavanagh agreed that if this were a totally unrelated issue then in fact it would be what was referred to as legislative log rolling. He stated that this amendment was directly related to this issue because the Council was talking about a new manager who did not have any knowledge whatsoever of the Town history, contracts, or litigations so this was very relevant and he did not consider this log rolling. Mayor Beydler responded that the motion passed at the last meeting did not preclude and does not preclude Mr. Farrell from submitting a response. He noted that in fact Mr. Farrell had in fact indicated that he would. He personally considered this somewhat of a moot point because there would be a competitive bid and Mr. Farrell being the incumbent would certainly have every opportunity to retain his status as the Town Attorney. Mayor Beydler stated that to tie Mr. Farrell's retention to the approval of a new town manager was unacceptable and he would be voting against this. A roll call vote was taken with the following results: Councilman Archambault Nay Councilwoman Ralphe Nay Councilwoman Nicola Nay Vice Mayor Fraverd Aye Mayor Beydler Nay Councilman Melendez Aye Councilman Kavanagh Aye The amendment FAILED on a vote of 4—3. Mayor Beydler called for a roll call vote on the original motion with the following results: Councilman Melendez Aye Councilman Archambault Aye Councilwoman Ralphe Aye Councilwoman Nicola Aye Vice Mayor Fraverd Nay Councilman Kavanagh Nay Mayor Beydler Aye The motion CARRIED on a vote of 5 —2. AGENDA ITEM#10 - UPDATE BY RECREATION SUPERVISOR BRYAN HUGHES ON THE FINAL PLANS AND ACTIVITIES FOR THE JULY 4TH CELEBRATION. Recreation Supervisor Bryan Hughes reviewed the final plans and activities for the 4th of July Celebration. Councilman Kavanagh thanked staff for their efforts. He asked if anything had been done to inform the public that there were not going to be any fireworks this year. Recreation Supervisor Hughes responded they would be making that announcement throughout the night. He confirmed that the event had been advertised that way. He noted that Fountain Hills was not the !y community who had cancelled their fireworks show. Lior 7/2/02 Regular and Executive Session Page 3 of 20 AGENDA ITEM #11 - UPDATE BY COUNCILMAN RICK MELENDEZ ON THE RECENT ACTIVITIES OF THE ADHOC SKY HARBOR/FAA COMMITTEE. Councilman Melendez gave a brief overview of this issue. He introduced Mr. Bob Sternfels who discussed the status of air traffic over Fountain Hills. He noted that the community should see less air traffic in two weeks because of the automated system coming on line. Mayor Beydler asked if a football stadium would have an impact on the flight path if it were placed on the proposed Fort McDowell Indian Community land. Mr. Sternfels reported that there wouldn't be any impact. Councilman Kavanagh thanked the committee for all their efforts. AGENDA ITEM #12 - CONSIDERATION OF THE PRELIMINARY PLAT FOR THE 9-LOT, 11.104± ACRE, SIERRA MADRE ESTATES, PHASE I, LOCATED ALONG THE NORTHWEST SIDE OF SIERRA MADRE DRIVE,SOUTHWEST OF GOLDEN EAGLE BOULEVARD,CASE NUMBER S2001-16. Senior Planner Dana Burkhardt gave an overview of the project. He displayed several photos along with the conceptual site plan of the area as he discussed the primary issues facing this project during his PowerPoint presentation. He identified the issues as being: • Sewer line crossing a Town owned wash parcel • Vehicular access and site visibility • Sierra Madre landscaping concerns • ■ General land use conformance concerns • Hillside Protection easement transfer Senior Planner Burkhardt acknowledged that the Planning and Zoning Commission had denied the application on a vote of 3 —3 although staff was recommending approval with the stipulations. He reviewed staff stipulations. Councilman Archambault asked who would be responsible for operating the lift station. Senior Planner Burkhardt replied it would be paid for by the developer and maintained by the Home Owners Association. Councilman Archambault questioned if that would be the North Heights Owners Association. Senior Planner Burkhardt understood there would be a separate Home Owners Association. Councilman Archambault asked what the street closure time frame would be. Senior Planner Burkhardt estimated 11/2 months or so. Town Engineer Randy Harrel agreed that Senior Planner Burkhardt was probably correct although it would only affect the westbound direction. He said there were several other alternatives that might kilw, Ike it possible that the sewer line could be laid far enough off the gutter line that a shutdown could be avoided for most )t that time. Councilwoman Nicola asked if Sierra Madre was considered a collector or arterial street. Senior Planner Burkhardt responded it had been developed as a minor collector street. Councilwoman Nicola asked about the sidewalk on the north side of Sierra Madre. Senior Planner Burkhardt explained that there was a stipulation that stated the applicant would provide a sidewalk along Sierra Madre to complete any missing portion. Councilwoman Nicola asked if this was a requirement of the subdivision ordinance for a sidewalk on both sides. Senior Planner Burkhardt responded yes and that was why it was one of the stipulations. Councilwoman Nicola asked if the cul-de-sac met all requirements under the sub division ordinance. Senior Planner Burkhardt stated it did. Vice Mayor Fraverd asked if the applicant was providing 2500 extra feet of extra Hillside Protection Easement (HPE). Senior Planner Burkhardt restated that the applicant would provide 25,000' of HPE. Senior Planner Burkhardt acknowledged that the HPE was deficient within the project and the Town would be receiving an additional 19,000' of HPE. Vice Mayor Fraverd said she had noticed a lot of grading within the HPE area. She asked how could that be counted both ways. Senior Planner Burkhardt reviewed the calculations used. Councilwoman Ralphe questioned if the cul-de-sac road was in violation of the subdivision ordinance because it was an intersection at the inside of a curve on Sierra Madre. Mr. Harrel responded that the intent of the cul-de-sac near the end of the curve was to avoid site line restrictions coming from Golden Eagle, as there weren't any site line restrictions. It was proposed to clear the site line restriction coming from the other direction. Councilwoman Ralphe asked if Mr. Harrel was saying it was prohibited but that he did not feel it was applicable here. Mr. Harrel said that they had mitigated the issue for which the restriction was put in the code. Senior Planner Burkhardt concurred with Mr. Harrel. Councilman Archambault asked what would happen to the site if the additional HPE wasn't taken on lot 5. Senior Planner Burkhardt confirmed the applicant would have to come up with another 6,000' of HPE on site. uncilwoman Ralphe understood that North Heights Home Owners had made statements that the entry monument was liwil.,portant to their neighborhood. She foresaw the possibility that legal action could ensue over that issue. She asked what the Town's liabilities were regarding this issue. Town Attorney Bill Farrell responded that the design issue would fall 7/2/02 Regular and Executive Session Page 4 of 20 first to the professional who stamped the plans, which would be the person who prepared the plans on behalf of the applicant. Secondarily it would be the Town's engineer who would then review that design. The Town did not normally design the roads but did review the submitted design of the road. If experts were to testify that the Town Engineer was grossly negligent in accepting the design, then the Town could have some liability. He reviewed that generally a Town would be sued when the driver of the other vehicle did not have insurance as the plaintiffs tended to sue the municipalities for inadequate design,construction, and maintenance. It would then become a battle of the expert witnesses to determine whether or not, under national standards,the road was improperly designed or constructed. Councilwoman Ralphe asked if there were legal action involving the North Heights Home Owners Association's right to have the monument in its current location subsequent to the Town's approval of this plat and then court were to decide that the Town had put in a road where they did not have a right to put one, would the Town be responsible for ripping up the subdivision. Mr. Farrell responded that most likely the legal issue over the monument, its ownership and its placement would stay entirely between the landowner and the North Heights Home Owners Association although the Town could be named. He pointed out that the Town would not be a party to that contract, to the CC&Rs or to the easement that had been granted by MCO. He explained that the court did not have the authority to say the Town had placed the road in the wrong position, as that was a legislative act. The court could say the Town was responsible for a poorly designed road but the court would not move the roadway system as that was in the purview of the Mayor and Council. He said the most logical outcome of that scenario would be that someone would be required to pay to relocate the monument sign rather than affecting the road. Councilwoman Nicola asked about the trade of HPE for the subject property to lot 5. She asked if that would be a deed restriction that would be placed upon that property. Mr. Farrell said yes. There would be documents prepared and recorded stating there was a restriction. If the restriction were to be placed onto lot 5, there would be a restriction on that specific portion of that lot that would prohibit development. Bob Sternfels spoke on behalf of his applicant. He affirmed that the applicant had done everything within his power to comply with the Town code but also with the subdivision act and accommodate the spirit of the neighbors' complaints. He acknowledged that there had been a number of issues raised and he felt they had addressed each and every one of l m. He stated the question was by what standard was the Council to judge this subdivision. He noted that this was an .urninistrative function in order to determine whether or not this subdivision complied with the Town code. He reminded the Council that this was the preliminary plat and not the final plat. The Council would have to determine whether or not the subdivision substantially complied with the subdivision and zoning ordinance and that was the sole issue. Mr. Sternfels asked what was the burden of proof. He explained that the burden of proof was if the subdivision was more likely than not to comply with the subdivision ordinances. It was a 51% test. He acknowledged that the preliminary plat had a positive recommendation from staff. He stated the owners were willing to comply with the stipulations as recommended by staff. Mr. Sternfels addressed the sign issue. He noted that as a condition of the map the applicant would have to provide site lines. He noted that those site lines would be achieved once the monument was moved. As a condition of their building permit they would have to move the monument and the demolition would be part of it. Should the North Heights homeowners feel they have a right to have the sign stay where it is, then they were free to ask the court for an injunction. The Homeowners' Association would be responsible for attorney fees and costs should they not prevail. Mr. Sternfels introduced Lou Lagamarcino, an engineering expert for the applicant, who responded to the specific concerns raised by staff regarding the line of site and vehicular traffic issues. Mr. Lagamarcino displayed various line of site visuals during his presentation. He assured the Council that once the grading was completed and the project was complete the requirements for site distance as specified in the ordinance would be met in every case. He had been concerned that the project met the Town's ordinance requirements and he believed they had. He stated that traffic speed on this section of Sierra Madre needed to be addressed. Mr. Sternfels summarized that the project met all regulatory requirements and was consistent with the Town layout with disturbance less than 20%. He pointed out that these would be upscale homes with large lots that would improve property values in the area, provide revenue to the Town with over $60K in building permit fees alone. It would provide the local construction industry with over $8M in new construction, it would add twenty-five new residents, improve the streets and landscaping, provide all weather access to the dam, and uld be in the best interests of all the people in Fountain Hills. He restated that they had worked diligently to address it neighbors' concerns, as they wanted a safe and beautiful subdivision. Mr. Sternfels reminded the Council that this ..:s just the preliminary plat and there were many things in the construction process to ensure that the project met each and everyone of the stipulations. 7/2/02 Regular and Executive Session Page 5 of 20 Vice Mayor Fraverd asked how Mr. Sternfels planned to identify to the prospective new owners of these lots that a portion of their lot was HPE and that they would not be able to develop that portion of the lot. Mr. Sternfels identified the perspective new owners of these lots were the owners already and they were very aware of the considerations. He (kowconfirmed that they would institute covenants, conditions and restrictions to ensure that all Town stipulations were complied with. They would be placing a property owners association on the property to ensure that they would be able to raise money to keep the landscaping beautiful. He noted that the public report would indicate and explain what the HPE was and the requirements not to invade it. Likewise, the building envelopes would be carefully drawn on the final plat to ensure that they complied in every respect with the Town's requirements. Vice Mayor Fraverd asked if he had just stated all the lots were sold. Mr. Sternfels responded that the people who own Riken Management Inc., LLC, or their friends, would occupy most of the lots. They viewed this as a small community of people who knew one another and who looked forward to joining the Fountain Hills community. Councilman Melendez asked if they would be part of the North Heights Home Owners Association. Mr. Sternfels said it would definitely be a separate property owners association. He commented that his clients had indicated to the North Heights Property Owners Association many months ago that the building guidelines that they planned to impose upon their property would be substantially the same as North Heights. They did not want to have structures on the right side of Sierra Madre significantly different from those on the left side. His clients planned to maintain the ambiance of the neighborhood. Councilman Archambault thought this property had been annexed into the North Heights Property Owners Association. Mr. Sternfels explained that there were two ways in which to impose covenants, conditions, and restrictions on property. If the entire parcel was owned, then restrictions could be imposed on every lot within that parcel. Or, if there were two property owners who got together they could agree to restrict their respective properties. What MCO had attempted to do here was when they didn't own North Heights, his clients' property, MCO attempted to proclaim that his clients' property was part of North Heights by proclamation. He stated that was not enforceable whatsoever. Councilman Archambault said he was holding a copy of a deed dated April 25, 2000, that showed the transition of that property to his client. Mr. Sternfels countered that there was a deed dated November of 1995 that his client purchased the property from MCO. He felt Councilman Archambault was referring to a transfer of legal title between related entities. Councilman Archambault remarked this was different. He was holding a deed for two pieces of property described as parcel 1 and lot 5 for which the transfer was dated April 25, 2000. Mr. Sternfels restated that an intra-company transfer had been completed. Councilwoman Ralphe referred to a letter from MCO Custom Properties dated April 22 addressed to the previous Council. She noted that it stated that at the time of the sale of the unplatted property, MCO required that it be developed subject to North Heights CC&Rs and this parcel was annexed into North Heights in order to maintain this area as a cohesive low-density community. Mr. Sternfels agreed that Hank Lickman (MCO) had signed that letter but the facts did not agree. He reiterated there wasn't any restriction in their deed although MCO may have wanted certain things to happen but they did not do it in his clients' deed. After the fact, MCO tried to unilaterally proclaim that his clients' parcel was part of North Heights. Mr. Sternfels disagreed with Mr. Lickman's conclusions contained in that letter. Councilwoman Ralphe questioned if all four violations of the wash ordinance (sewer crossing the Town owned property, trail, rip rap, and the drainage pipe) were gone. Mr. Sternfels responded yes, as a condition for approval of the preliminary plat his clients were willing to stay out of the wash although he did not feel the wash ordinance was viable. Councilwoman Ralphe then asked why Mr. Sternfels would approve all of staffs stipulations because those stipulations did not equal staying out of the wash. She referred to Stipulation #1. Councilwoman Ralphe felt the reference that approval was needed by Town Staff and the Fountain Hills Sanitary District was inappropriate as was the language regarding relocating the sewer line only after an affirmative vote of the town electors as this was provided for in the Town Code. She restated that if in fact his clients were willing to stay out of the wash, this type of language did not belong in here. She referred to Stipulation #7 regarding a future trail connection out of the proposed cul-de-sac with reference to the wash ordinance. Councilwoman Ralphe reiterated that if a trail were not to be built in the wash, she proposed he did not want Stipulation#7. She asked if Mr. Sternfels agreed with staff stipulations or not. Mr. Sternfels agreed that the Town wash ordinance did not seem to permit a recreational use within the ordinance. He felt the idea of the ordinance was to stay out of the wash and leave it in its natural state. His clients were agreeing to accept the Town's conditions. If the Council wanted to make this a condition, although they did not think it was a good idea, ''• y would agree to accept it, but if the Council wanted to eliminate the stipulation, they would support that as well. He sated that his clients would honor the spirit of the wash ordinance if the Council would approve this subdivision and a :liminary plat. With respect to Stipulation #1, he felt Councilwoman Ralphe was asking his clients to relinquish their legal rights as set forth in the code to petition the Town for their entry into the wash. Councilwoman Ralphe disagreed. She clarified that the wash ordinance provided that if someone wanted to develop in the wash that could be done if 7/2/02 Regular and Executive Session Page 6 of 20 approved by a vote of the people. She felt that if Mr. Sternfels was talking about that vote of the people on one hand and on the other hand saying they were going to stay out of the wash. Mr. Sternfels responded that he did not have authority to waive his clients' legal rights. However, if that was a condition that the Council would like to impose, then he suggested that the Council continue this so that he could discuss that option with his clients and come back to the Council with their reply. Mr. Sternfels commented that every effort had been made to have his clients present, but they were out of the country at this time and unable to attend the Council meeting. Councilwoman Ralphe said she was not asking his clients to waive any rights. She was asking for clarity of their position. Mr. Sternfels responded the position was that his clients have been asked to stay out of the washes and they would do so. Councilman Archambault referred to Stipulation#7. He asked if this stipulation would allow a trail for accessibility up to the future school site on the south side of Sierra Madre. Mr. Sternfels said he thought so. He said the trailhead was concrete and there was a concrete T into the south side of Sierra Madre that was offset from where the new street (Princess Court) would go. He thought the idea was to allow access to walkers to hike up Princess Court and then maybe connect into a trail that would go up to the dam. He restated that his clients would accept the Council's stipulation if they so desired. Mr. Sternfels thought the Parks and Recreation Commission had suggested this. Parks and Recreation Director Mark Mayer said Mr. Sternfels was correct. The Commission had asked that this particular area be referenced as if there was a possibility in the future that there could possibly be a trail started at that point and continued from that point. Councilman Archambault asked if that trail was going over to the dam. Director Mayer replied he did not know of any specific route. It was to allow for a point in the future and if there was going to be a trail and it was approved, there would be a mechanism to do that. Councilman Archambault reiterated that this would give the town the availability to do this and Director Mayer replied yes. Councilman Kavanagh stated that the wash ordinance was passed not to forever prohibit any use of the washes. It was passed to protect washes from unnecessary uses that the public did not think were appropriate. The wash ordinance let the public decide if they want to use a wash for limited purposes and trails were one of them. He stated that the spirit of the ordinance was there had to be an environmental impact study first, an economic study, and then the voters of Fountain Hills would get to decide whether or not they wanted the wash to be used in that manner. He felt it was unfair for the Council to take that right away from the voters when the Parks and Recreation Commission and/or other agencies were ;gesting a future use might be put to the voters. Mr. Harrell clarified that this had been a staff insert for the purpose of lor;uvising the potential property buyers of the subdivision of that possibility since the Parks and Recreation Commission had made that statement. This would make it clear on the final plat that the possibility existed. Councilwoman Ralphe asked Interim Community Development Director Drake if this trail showed on the approved General Plan. Director Drake did not recall a trail in this location. Mayor Beydler asked if his clients had paid dues to the North Heights Home Owners Association. Mr. Sternfels responded initially yes. They had not realized at that time what they were paying for. Then when the issue of whether or not they were members of the North Heights Homeowners Association began, they objected. He noted that his client had not yet asked for a refund. His clients hoped that they could work out the problems with the North Heights Homeowners Association. Mayor Beydler asked if his client was delinquent in the homeowner association billings at this point. Mr. Sternfels responded no, because they were not part of their homeowners association. The minute that his client found out about it, he stopped paying dues. Mayor Beydler asked when Mr. Sternfels' client stopped paying. Mr. Sternfels said he stopped paying when this controversy came up, which was a couple of years ago. Mayor Beydler said in talking with both sides he kept hearing the words lawsuit quite a bit. He asked that in the event that Mr. Sternfels' client did not prevail, what were his client's plans at that point. Mr. Sternfels explained that was up to his clients. He stated that they have not made it a secret that his client intended to work with the Town to get approval. The threats of lawsuit were not a good way to do business and he was not here to do that. He confirmed that his client would exercise all of his legal rights. He commented that the cause of action would be considered a taking and the Town would then have to buy the property from him. Mr. Sternfels restated that he was not here to do that as they wanted to try to do the right thing to get it resolved with stipulations,move forward,and do what was best for the community. Mayor Beydler asked Mr. Farrell to comment on the legal standings that the Council could call upon to not approve the subdivision request. Mr. Farrell commented on the article he had distributed. The article dealt with the ability to consider th conditions, covenants, and restrictions that were validly imposed on North Heights. He pointed out that to that extent Council could not consider this since the Council was not a member of their homeowners association. He explained iiikwylat this was a contractual real property right among landowners. He noted that the Council's power was a legislative power given to them by the State. He reiterated that the Council should not consider the CC&Rs in their decision. Mr. Farrell reminded the Council that their decision tonight to approve the preliminary plat was administrative and not 7/2/02 Regular and Executive Session Page 7 of 20 legislative and would lead to another document (the final plat). If the Council were to vote no on a basis that there was something wrong with the plat as reflected by the subdivision ordinance he felt he would be able to successively defend that decision. If there wasn't anything in the subdivision ordinance that formed the basis for the Council's no vote, then ,the action that would be filed against the Council would be that they acted in an arbitrary and capricious manner and there wasn't any basis for the denial. The end result would be that a court would instruct the Council to approve the preliminary plat. Mayor Beydler recessed the meeting at 8:35 p.m. and reconvened the meeting at 8:45 p.m. Janice Abramson, 15411 N. Tepic Lane(member of the Committee for Responsible Development in Fountain Hills It was their position that the Sierra Madre Estates Phase I plans were not in compliance with the Zoning Subdivision and Wash Ordinances. She reviewed their major concerns as being traffic site line safety problems, an unresolved legal issue regarding the North Heights monument easement that impacts the site line issue, the negative impact on the environment and aesthetics of the area, and the potential for a wash encroachment issue. Ms. Abramson observed that in order to be in compliance with the Subdivision Ordinance a realistic traffic speed should be used to determine the ordinance approved distance. The data from the Town conducted speed study strongly supported using a traffic speed of 40 M.P.H. and a site line distance of 580 feet rather than the 30 M.P.H. 380 feet on which these plans were based. She asked that the Council reject this plat. Bob Prather, 15312 E. Sierra Madre He discussed the safety issues. He requested that the Council reject this plat. Richard Stainaker, 15031 Los Mochas Ct. He reviewed the homeowners association's legal position on the monument issue. He also discussed the line of site safety issues. He was against the Council approving this plat. Councilman Melendez asked Mr. Stainaker what he meant by if this development went in North Heights gained nothing, as he felt that anytime a high-end home went into any neighborhood the property values went up. Mr. Stainaker said he was not familiar with property values. However, they would lose their beautiful entry way and there might be two story homes that would not be in compliance with the North ights Property Owners Association. There could be speed restrictions on the street. Mayor Beydler asked Mr. Stainaker if this development could work in their neighborhood under any circumstances. Mr. Stainaker replied as far as he was concerned this project was not meant to be. Mayor Beydler asked if their bottom line was that ultimately the Home Owners Association was going to try and enforce the CC&Rs for the development of one house - one lot. Mr. Stainaker responded that was correct. Mark VanBoekel, Cabrio Dr. He expressed concern for the wash. He wanted to see a firm commitment to a lift station with the sewer pipe in the wash removed from the plan. He stated the applicant and owner had plenty of time to find real solutions to this problem. He asked staff if ADEQ (Arizona Department of Environmental Quality) approval would be necessary for a pumping station serving many houses. Staff did not have an answer at that time. He asked if approval and permits were required then whose responsibility was it to procure them. He questioned whether a station to serve five homes would be an eye sore, smelly, and noisy. He felt the project was sufficiently vague so as to deny the public a clear image of what was proposed. He noted that MCO felt that the topography and location of this land was unsuitable for development and he thinks that they were correct. He asked the Council to vote no. Robert Allen,15361 Golden Eagle Boulevard He talked about lot planning/lot unsuitable and the issue of developability. He quoted from the Zoning Ordinance Section 5.05. He discussed the traffic/parking issues and concerns. He was against the Council approving the plat. Nancy Henry, 15649 Golden Eagle Boulevard She displayed illustrations and discussed the aesthetic issues surrounding the Sierra Madre Phase I development. She asked that the Council vote against the plat. C` „tries Maxwell,Attorney for the North Heights Home Owners Association. t explained that after the annexation of this parcel was brought to the attention of Rytan (the property owners) they Iiiipelaimed they were not part of the North Heights Associations and threatened to sue the association. He confirmed that there hadn't been any suit yet and he reasoned that was because the risks of such litigation were too high. Had Rytan proceeded with the lawsuit and lost they could not stand before this Council tonight and state that they did not think they 7/2/02 Regular and Executive Session Page 8 of 20 were part of the association. He referred to the MCO letter. Mr. Maxwell explained that the documents had been all signed but someone had forgotten to record the documents on time. He acknowledged that there hadn't been any mention of a lawsuit by the Home Owners Association against the Town yet he understood that Rytan had threatened the Town and advised them of their vast financial resources. Mr. Maxwell described Rytan as a Bahamian Limited Liability Company. He pointed out they were not taxpayers or voting citizens. Rytan was an entity that was trying to take advantage of the Town and the unique tax haven protection of the Bahamas. Yet they were asking the Council to look at them as any other property owner. Mr. Maxwell refuted that Rytan stopped paying assessment when they looked at the deed a couple of years ago as Rytan had paid assessment through 2001. He confirmed that Rytan had first approached him with a threat of a lawsuit at the end of 2001. When the North Heights Association came before the Planning and Zoning Commission a couple of weeks ago, they were told that the property owner had the right to alter the signage (monument) to accommodate the required line of site for development per Mr. Farrell's latest correspondence dated June 11. He gave his interpretation of Mr. Farrell's letter. He stated Mr. Farrell's letter also indicated that the monument could be removed as the developer had also purchased the right to revoke the easement. Mr. Maxwell said that no document has ever been produced to show that this developer could revoke anything. He disagreed and said the monument would not be going anywhere. Mr. Maxwell concluded that the liability would rest with the Town of Fountain Hills. Mr. Maxwell asked the Council to look at the easement language and his letter dated June 10. This letter talked about the rights and the fact that the monument pre-existed the easement. The easement was put together for the sole purpose of protecting that monument. He discussed a letter dated June 12 from Mr. Farrell's office. That letter agreed with Mr. Maxwell that the masonry entry wall predated the easement however Mr. Farrell disagreed that the written landscape easement and agreement somehow made the masonry entry wall the personal property of North Heights and therefore something for which the current owner of the fee simple title to the land had no control over when confronted with a legitimate request by the Town of Fountain Hills. Mr. Maxwell said if this was a legitimate request, then the Council had the basis to deny the plan because the Town's attorney has stated that the health, welfare, and safety of its citizens was subject to the removal of that monument. Mr. Farrell's letter expressed his concern over the Town's liability in approving a subdivision that meets the subdivision ordinance in all respects except for a"perceived and perhaps demonstrated line of site problem". Mr. Maxwell referred to the Town's staff report of June 17 and noted the existing monument feature was untamed by the North Heights Home Owners Association and was located within a required vehicular site line. The iv r,port asked how did the Town plan to address this issue? The response was that all options had not been fully explored. He said the developer has provided a notation on the preliminary plat, which states, "the owner would relocate and/or remove the existing association monument and landscaping as required for vehicular site lines". He pointed out that could not happen solely by the developer. He believed that the Council had the basis for rejecting this preliminary plat with respect to the monument and that the Town must take into consideration the actual driving conditions on Sierra Madre. He pointed out that the Council has been asked to disregard the empirical data gathered by the town's own employees. He felt the empirical data could come back to haunt the Town if there were an accident. He said the Council was here to protect the citizens of this community and to allow development to occur while still protecting the citizens. He asked on behalf of the North Height Property Owners Association that the Council deny this application. Councilman Archambault asked if he was suggesting that the proposed subdivision was not acceptable. Mr.Maxwell said that was correct. There was not an acceptable plan before the Council that would take into consideration the safety and welfare of its citizens and the Council should deny it. Councilman Archambault asked if he was acknowledging that this was an unplatted piece of property and therefore it could be subdivided. Mr. Maxwell was not on the issue of subdivision. His argument was that the Council had a plan before them, which under the proposal did not meet the conditions for approval by the Council. He confirmed that he had not researched the issue with regard to the ability to subdivide this property. That was an issue that they might have to litigate solely between the association and Rytan. He did not feel it was an issue to bring to the Council. Councilman Archambault referred to the North Heights Declaration of Annexation where it talks about an unplatted property and Mr. Maxwell had alluded to the fact that this was a single lot. Mr. Maxwell said that was correct. Rytan bought the property as a single lot with the understanding from MCO that it was to be developed as a single lot. MCO stated that the purchase price was specifically understood between the parties to limit the development of that property to one lot and not to subdivide. r incilman Archambault asked if it would have been prudent for MCO to list that as a plat and a single lot before they id it. Mr. Maxwell said that issue did not have to be discussed because Rytan was already subject to their documents. Lie restated that their document states the lot cannot be subdivided and was subject to their development guidelines. councilman Archambault argued that it was a lot. Mr. Maxwell disagreed and said that was a legal issue that would be determined by the courts and not the Council. Councilman Archambault pointed out he was looking at the legal 7/2/02 Regular and Executive Session Page 9 of 20 • description and it was not designated as a lot but as unplatted property. Therefore,the property was subject to subdivision rules and regulations. Councilman Archambault asked Mr. Maxwell for proof that this was a lot. Mr. Maxwell said since this issue has never been raised before he has never researched it and could not give him a legitimate answer at this time. Councilman Kavanagh said Mr. Maxwell has done a lot of interpreting of Mr. Farrell's correspondence. Councilman Kavanagh asked Mr. Farrell to clarify his legal position on where the Town stands with respect to the monument and whether or not he recommends approval of this application. Mr. Farrell stated that the legal issue was whether or not the masonry wall that was on the property now owned by the applicant was somehow a piece of personal property that was owned by the North Heights Home Owners Association. He explained that normally in real estate law if fee simple title was owned to a piece of land, you would grant easements to other people or receive your land with the burden of an easement. Mr. Farrell said he had looked at a landscaping easement and it didn't mention anything other than a masonry wall. There wasn't any bill of sale or anything that seemed to transfer the masonry wall to the North Heights Property Owners Association. If the Council exercised their legislative authority and their police power and the Council said the only way to have a safe subdivision there was to remove, relocate, or modify the height of that wall, it was still his opinion that the council could order the landowner to do that. If the North Heights Property Owners Association had a viable right, then their action for losing that right was against the landowner and not the Town. He noted there were a number of documents that were in existence with which staff or the Planning or Zoning Commission had not been provided. He restated that it was still his opinion that the landowner could, at the risk of paying damages, revoke an easement that was granted over their property, especially a maintenance easement such as this. Mr. Maxwell stated he disagreed with Mr. Farrell on this point. He stated that the easement was put in for the purpose of preserving the monument and MCO would concur. Mr. Maxwell pointed to differences in Mr. Farrell's June 12th letter as he had two drafts of this letter. The first letter said there was a demonstrated line of site problem and the second letter had changed that paragraph to read that Mr. Farrell was concerned over the liability to the Town of Fountain Hills for approving a subdivision that meets the Town's subdivision ordinance in all aspects and still allows a private party to maintain a masonry entry wall that would give vehicles making a left turn a site problem. Mr. Farrell therefore recommended to both the Planning and Zoning Commission and the Mayor and Council that the masonry wall be removed or eliminated if an accommodation could not be made. Mr. Maxwell stated that if the wall could not be removed by their voluntary action, the council would have to use their police powers to force the issue. Therefore it wouldn't be left between the •sociation and Rytan. It would be an issue of the Council taking away a right from the Association and the Council ould pay for that right under the condemnation powers. He reminded the Council that real property interests were valued and could not arbitrarily be placed by value and thrown out without proper eminent domain proceedings by a municipality. Mr. Farrell responded. He stated that it was Mr. Maxwell's office that called and asked for the draft of Mr.Farrell's letter as fast as possible. So the first letter sent to Mr. Maxwell was a draft letter in an attempt to respond to him quickly because that was the day Mr. Maxwell was appearing before the Planning and Zoning Commission. Mr. Farrell stated that once he read the draft letter that was sent he made some corrections and the second copy of the letter was faxed to Mr. Maxwell's office. Mr. Farrell did not agree that the issue was the way Mr. Maxwell explained it. Staff was not asking the Council to condemn the masonry wall or to move it unless the traffic engineer said that for safety reasons of the proposed road that the wall had to be removed. Staff would never condemn it. If North Heights Home Owners were offended by that action, Mr. Maxwell would bring in action. Mr. Farrell reiterated that he did not think they would be successful against the town. Councilman Kavanagh asked if the other issue was what speed was used to construct the site alignment. He asked Mr. Harrel what standards were used. Mr. Harrel responded that when reviewed they had specified a 30 M.P.H. design speed in accordance with the subdivision ordinance for a minor collector roadway. He stated that the line of sites pursuant to that design speed were quite conservative in most instances and especially when cresting the top of a hill. The existing Sierra Madre roadway itself was designed for a 25 M.P.H. design speed prior to the Town's incorporation. The existing Dove Dr. intersection, between Princess Drive intersection and lots 3 & 4, was designed for a 30 M.P.H. design speed. He noted that the design speed was consistent with those around it. Councilman Kavanagh asked if this was the same standard that he and his staff had applied throughout Fountain Hills. Mr. Harrell replied yes for this type of road. Mr. Maxwell referred to Mr. Harrel's correspondence where Mr. Harrel indicated that it was understood that the traffic speed not at 30 or 25 M.P.H. The speed was between 35 and 40 M.P.H. Mr. Maxwell said that statement along with the - lirical data would be the information that would be evaluated for potential liability in the event of an unfortunate c,ident. 7/2/02 Regular and Executive Session Page 10 of 20 Councilman Kavanagh asked if there were other roads in town where cars go above the speed limit. Mr. Harrel agreed there were a few. Councilman Kavanagh asked if the solution was the redesign of the roads or enforcement. Mr. Harrel said enforcement would be the proper solution. Mayor Beydler asked Mr. Harrel if at the intersection of Dove Drive and Sierra Madre if the speed people were driving there had ever been calculated for the line of site. He asked should the intersection exist. Mr. Harrel said that intersection was designed early after incorporation for a 30 M.P.H. design speed. He said the Sierra Madre roadway itself was designed prior to incorporation for a 25 M.P.H. design speed. Councilman Melendez pointed out that he had not been threatened by anyone with respect to a lawsuit. He asked if there was a representative from MCO present who could clarify some of the issues that were raised. No one came forward. Councilman Melendez asked what the line of site would be for a design speed of 40 M.P.H. Mr. Harrell responded 580 feet. Mayor Beydler asked Mr. Farrell if the applicant was in fact a member of the home owners association would that preclude their rights to develop their land under the Fountain Hills Subdivision Ordinance. Mr. Farrell said that the Town would not be able to preclude that development but the homeowners association might be able to enjoin the sale of the property for anything more than a single family. It appeared to be a meets and bounds legal description and therefore suitable for subdivision. Mayor Beydler asked whose rules prevail. Mr. Farrell said the Town would go forward and then it would be up to the North Heights folks to see if they wanted to press that issue in order to determine if there was a prohibition. If the Town were to deny then the Town was acting on their behalf and would be the enforcement agent for the Home Owners Association based upon that issue alone. He suggested that the Council could continue this and after both sides attorneys had reviewed the issue they would be more than happy to give the council their opinions. Councilman Archambault asked if Mr. Farrell was talking strictly about the unplatted piece of property. Mr. Farrell said that was correct. Councilman Archambault asked if the council was discussing lot 5 then the Council would be talking about lot splits. Mr. Farrell said if the Council was talking about lot 5 that would be considered a replat of an existing lot with different regulations. Councilwoman Ralphe asked Mr. Farrell if this unplatted land were to be determined not to be part of North Heights, Nuld the building be different under the Town's regulations. Mr. Farrell said no. The property would be assessed on the ring first and that would determine the minimum lot size applicable, then the topography would be considered with regard to the disturbance issue. The owners would be given the setbacks and ask their engineers to design either a subdivision plat and/or a single family residence in compliance with all of the Town's codes and regulations. It would not change how it would be built, only the number of lots that might be there. Councilwoman Ralphe asked if legal issues involving North Heights had been settled in favor of North Heights, then would the Council be facing a different situation. Mr. Farrell said it would depend on what the court order said as these things frequently occur with deed restrictions. He said the applicant had the right to apply in the Town's process for permission under the Town's ordinances because the Town excludes the CC&Rs. Vice Mayor Fraverd asked Mr. Sternfels to respond. Mr. Sternfels said that the town had the obligation not to discriminate against anyone. He refuted the statement that Rytan was a Bahamian LLC. He stated it was an Arizona LLC, which he had put together himself. Mr. Sternfels remarked that regarding the issue on the homeowners association, the CC&Rs say that any lot shall not be split or subdivided. The CC&Rs did not say anything about unplatted property. Therefore, even under the homeowners' own CC&Rs, the property owner was entitled to subdivide. Even if his clients were part of the homeowners association, they could not deny his clients the right to subdivide. He restated that it was his opinion that his clients were not part of the homeowners association or their CC&Rs. With respect to the legal issue of condemning the sign, he described various worst-case scenarios. He reminded the Council that the final plat would show line of sites. He explained that if the court prevented his clients from knocking over their own wall, they would not be able to comply with the Town's stipulations and therefore, the subdivision could not move forward. If they obtain the permits and knock the wall down and the homeowners association sued his clients and won, his clients would owe them damages. He did not think they would win. More importantly, this subdivision had two entrance markers. The one talked about would be a danger to others and removed. He noted there was an identical marker on the other side of the street. He was proposing that the letter be removed from the other sign and walk twenty feet over to the other side and ,z'.rch the letters into the identical block wall on the other side. He felt that was the logical solution to this problem. The ,meowners would have their letters, but on their side. As far as the other issues were concerned, he said he would be appy to go over any of them. If the Council had any comments that they wanted him to relay to his clients, he would be nappy to do so. 7/2/02 Regular and Executive Session Page 11 of 20 Councilman Archambault asked if the monument could be lowered. Mr. Sternfels said yes and that solution had been suggested although the letters were smaller. He felt that the monument would be taken out and a shorter one constructed on site. Mayor Beydler said Mr. Sternfels had indicated to him that the sign could be torn down today. Mr. Sternfels responded he could do it in a day. Councilwoman Nicola asked staff how many lots in Fountain Hills shared a driveway. Senior Planner Burkhardt estimated the total to be between 15 —20. Councilwoman Nicola asked if they had been problematic. Senior Planner Burkhardt said the only problem that he had experienced was if the developer had not been required to do the initial grading and establish that corridor. Councilwoman Ralphe referred to Subdivision Ordinance, page 3-24, Exhibit 13-illustration #3, where it discussed prohibited intersections such as the proposed cul-de-sac in this project. She noted that they had been advised that if the Council wished to deny this proposed subdivision, they must demonstrate that it doesn't meet the Town's ordinances. She expressed concern for non-compliance in regard to the line of site questions and disagreements involving both entryways into the project. She understood that safety of left turns onto the lot 3&4 driveway approaching from the west had not been studied nor reported. She felt that because it had not been studied or reported was problematic since it could lead to all kinds of trouble from the standpoint of loss of life, health and lawsuits involving the Town. She found unsettling the fact that studies had not been done regarding the pump station and that ADEQ permits might be required. She did not feel the Council had all the needed information. She raised the issue of variances and the fact that if variances were needed the Council did not need to approve the subdivision. She had not found the project aesthetically pleasing. She acknowledged that there were legal questions about the North Heights entry monument that could not be decided by the Council. She repeated that there were unresolved wash questions as well as numerous issues and concerns regarding this project. Based on these factors Councilwoman Ralphe MOVED to deny the preliminary plat as presented and Councilwoman Nicola SECONDED the motion. Mr. Farrell advised that if the Council voted against this motion and it failed, the Council would have to make an additional motion to approve as they would want to discuss staffs stipulations. Councilman Kavanagh asked Councilwoman Ralphe and Councilwoman Nicola to withdraw their motion/second, as everyone was confused. The uncil could then approve the stipulations and avoid the double negative complexities that appeared to be surfacing. r. Farrell pointed out that there could be a debate over each stipulation before final approval. Councilman Melendez commented on Councilwoman Ralphe's observation that several issues had not been resolved. He stated that he felt uncomfortable voting on this because MCO was not present and he would have liked to ask them some questions. Councilman Melendez said he would need the results of ADEQ's studies to make a rational judgment. Mr. Sternfels addressed the question of whether or not there was an ADEQ study and the left turn lane. He stated that the applicant did not have any problem requesting a continuance in order that this information could be provided to the Council. John Resnick, 15427 SunRidge Dr. He summarized all of the neighbors' concerns focusing on the non-compliance of this project to the Town's ordinances. He asked that the Council vote against the preliminary plat. Jerry Cain, 15002 E Tolouca He expressed his concerns with regard to this project and asked that the Council not approve this application. Phil Gaziano, Sierra Madre He stated his concerns and asked that the Council not approve this application. Councilman Archambault asked Mr. Harrel to discuss Subdivision Ordinance 3.05, Exhibit 13. Mr. Harrel responded that the intention was to prohibit intersections on the inside of the curve where it did not meet the line of site. He stated that the intersection being discussed had adequate line of site coming from Golden Eagle and the applicant was proposing to clear the line of site going the other direction to the west. Councilman Archambault said then that this project did not violate that statute. Mr. Harrell replied he did not have any problem approving this. Councilman Archambault asked Mr. Farrell if the Council was required to approve the hillside protection easement transfer. Mr. Farrell said no although it been traditionally done when requested by the applicant but the Council was not obligated to do so. Councilman • chambault noted that in driving by that area he did not see how they would be able to build there anyway. Vice Mayor Fraverd said whether or not this subdivision went in she recognized there was a safety issue on Sierra Madre. She requested that law enforcement and the interim town manager come up with a plan as to how that speeding problem 7/2/02 Regular and Executive Session Page 12 of 20 would be resolved. She understood there were other streets that have speeders but those streets had not been brought to their attention. Vice Mayor Fraverd said she had two issues with this project. Regarding the safety issue she noted that although the applicant's engineer had attempted to address that and Town staff had reviewed it, she had driven the street (timovanri found an area she was not convinced was absolutely safe. Vice Mayor Fraverd MOVED to continue this item until .1 outside traffic safety engineer was hired to provide a report as to whether or not this was a safe development and an ADEQ report was obtained. Councilman Melendez SECONDED the motion. Mr. Farrell noted that a motion without a date certain had been made. He stated that the date was the only debatable portion of the motion. After further discussion, it was determined that this item would come back to the Council on August 15t. The motion CARRIED on a vote of 6- 1. Councilwoman Ralphe cast the nay vote. AGENDA ITEM #13 - CONSIDERATION OF APPROVING A SETTLEMENT OFFER IN THE TOWN OF FOUNTAIN HILLS,ET AL.V.BNY WESTERN TRUST COMPANY,ET AL. Mr. Farrell gave a brief update. He said that the outside counsel advised him that the Town would receive an offer that would include principle, interest, and attorney fees but was not yet here. He stated that a special meeting would be called the day that the offer was received so the Council could accept it. He confirmed that staff would continue to contact them on a daily basis. AGENDA ITEM #14 - DISCUSSION OF MERITS OF IN-HOUSE VERSUS CONTRACTED LEGAL COUNSEL. Councilman Kavanagh reviewed that when some members of Council requested that alternatives be looked at to Bill Farrell as a contract attorney, one of the proposals was the possibility of in-house counsel. While he personally did not think that would work,he felt it was something that should be examined. He wanted to get some input from Council members and the public in terms of benefits of in-house vs. contract. He also had the intention to give staff direction to examine that issue through a poll or survey of towns of similar size to Fountain Hills to see how they do it and what the pros and cons were. He proposed that if there were other appropriate questions from Council or the public the poll could be expanded. zyor Beydler stated that staff was moving forward with the competitive bid for professional legal services. He did not Jw if it had been specified that they were in-house or outsourced. He felt that was up to the bidder to make the proposal. Councilman Kavanagh said his understanding of the term "in-house" meant a town employee and not the geographical location of their office. He had assumed that when some of the Council Members were talking about "in-house", that was what they were suggesting. He said he would keep an open mind. Vice Mayor Fraverd agreed that was what she heard suggested. She questioned that since there was some concern expressed over paying for 80 hours of legal services, why then would the Town want to pay for a full-time in-house employee. Vice Mayor Fraverd stated that she did not understand the reasoning behind the in-house employee unless there were additional legal responsibilities. She did not know how the Town would financially make that work but she was interested in listening to the discussion. Councilwoman Ralphe suggested that perhaps the meeting minutes of that Council meeting needed to be reviewed because she did not remember talking about alternatives at all. She stated that there clearly was a vote of this council to seek a request for a proposal for legal services. Councilman Kavanagh restated that he was not the person who suggested that the issue of in-house counsel be explored. It had been mentioned in passing and he was not sure which council member said it. He felt that if the Council was interested in looking at all options in the spirit of saving the taxpayers some money, then this should be explored before doing a contract. If the Council was truly looking for better things and money savings,then they shouldn't be rushing to replace Bill Farrell. The Council should first determine whether or not the services should be provided in-house or by contract. Then if the better solution was a contract,then the RFP process could be begin. Mayor Beydler responded that the interim town manager had been instructed to go forward with the RFP. Councilman Kavanagh said this was agendized for action to get information so that the Council could get information to make a good decision. Councilwoman Nicola said some of the reaction of a couple weeks ago came with the sticker shock when the it looked at what the Town was paying for legal services. It had come to the council's collective attention that the ) for Mr. Farrell's services topped $300K. She thought the Town could get one or two, maybe even three, in-house unsels for that price. In addition to that the Town was paying approximately $200 for outside legal services to defend uifferent litigation. The Town was also paying approximately $100K annually for the services for a part-time contract 7/2/02 Regular and Executive Session Page 13 of 20 prosecutor. If it was the Council's desire to seriously look at the merits of contract vs. in-house then she would move that staff be directed to come back with information as to what other cities and towns do pay for salaried employee attorneys. Mr Farrell commented that most of the amount on the 1099 contained monies that were paid to outside consultants and not .:s legal fees in order to protect engineering and appraisal reports from becoming a public document in the mountain condemnation. He reiterated that he would be happy to provide receipts and this was not paid solely for legal expenses. If the Council was seeking information on in-house services, he noted that it was traditionally a package of a civil attorney, a prosecuting attorney, staff for each, and then offices/computers and libraries for each. .He said he or the interim town manager could provide the Council with budgets of comparable cities and towns. Councilman Kavanagh offered a compromise. He proposed that staff continue to construct the RFP for a contract attorney but also get the information from similar sized towns. Then at the next meeting in-house vs. contract issues could be examined and the Council would be ready for either option and things would still be proceeding between now and then. Mayor Beydler reiterated that was not what the Council had directed staff to do. Staff had been instructed to put together a RFP so that it would go out in the next couple of weeks. Councilman Kavanagh did not recall a time limit. Mayor Beydler continued that the council hoped to interview the candidates in the first part of August so that Mr.Farrell's schedule could be accommodated to relocate his offices by August 31,2002. Mayor Beydler noted that Mr.Farrell had indicated that he would be an applicant and would submit a response to the RFP. That was the direction that staff was given,and unless Councilman Kavanagh wanted to make a motion otherwise,that was the direction staff would pursue. Councilman Kavanagh asked staff to check the minutes and if in fact the motion stated within two or three weeks, then the motion should be obeyed. If not, then Councilman Kavanagh suggested that the Council could wait two more weeks to do this right. He did not see that this would prevent Mr. Farrell from relocating his office and staff would be ready to pursue either option at that point. Councilman Archambault pointed out at the last meeting Council requested a RFP for 80 hours of legal services for a contract attorney. He did not know why this was on the agenda. Councilman Kavanagh confirmed he had asked for this to be placed on the agenda. He did not see what the problem was with waiting two weeks to allow time to examine another ` -ion before locking the Town into a contract. Mayor Beydler stated the problem was that the majority of the Council did \<< agree with Councilman Kavanagh so unless Councilman Kavanagh was offering a motion he asked that this discussion come to a conclusion. Councilman Kavanagh restated that he did not remember a time limit on the motion and two council members have admitted that they were interested in the possibility of an in-house attorney costs. He felt that if there was some confusion in direction given to staff direction and the time limit, it should be cleared up now. Councilwoman Nicola said that by putting out a request for proposal that the Council was not entering into contracts. It was only when the Council accepted a proposal that the Town would be bound to a long-term contract. Councilwoman Nicola directed staff to have the RFP for legal services out no later than a week from this Friday and to come back to the Council with a report on what other municipalities pay for civil and criminal legal representation from cities and towns in population of 5,000 or greater. Councilman Kavanagh directed staff to not put out any advertisements and cause law firms to begin putting contract bids together when in two weeks the Council might change their minds. He said if there was a will of the Council to examine the in-house option, he proposed that it be dropped. Councilwoman Nicola argued that the Council would have something to compare the RFPs to if the Council saw what other cities and towns pay for full-time staff. Interim Town Manager Sintra Hoffman recapped that her charge was to get an RFP together for legal services that address civil and criminal. Councilwoman Nicola interjected that the RFP was approved only for civil legal services and the purpose of the report was to see if the Town was over or under paying for legal services for a comparison basis. Mayor Beydler asked when the RFP would be mailed and Ms.Hoffman replied July 12,2002 with a report to the Council prior to that date. AGENDA ITEM #15 - CONSIDERATION OF THE ADOPTION OF THE TENTATIVE BUDGET FOR THE FISCAL YEAR 2002-2003 WITH APPROPRIATE DIRECTION TO PUBLISH SAID DOCUMENT IN ACCORDANCE WITH STATE LAW. THE COUNCIL MAY ADDRESS ANY OR ALL ITEMS CONTAINED IN Tt BUDGET DOCUMENT AND INITIATE ANY SUGGESTED CHANGES PRIOR TO ADOPTION. .incilman Archambault MOVED to adopt the tentative budget for 2002-03 and Councilman Kavanagh SECONDED Lyle motion. 7/2/02 Regular and Executive Session Page 14 of 20 Mr. Farrell noted that there were two items that staff would like the Council to consider as increases to the budget both on the income and the expenditure side. The first would be an increase under the category Grants of an additional $250,000 of potential income and an undesignated $250,000 expense on the other side. That would be an additional cushion if the 1. year turned better and additional funds came to the Town then the Council would have the authority to spend those .nds. He acknowledged that this was not a commitment to spend that amount nor was the Council obligated to spend it. The second item would be to clarify an item in the Administration Budget to increase to an amount not to exceed $120,000, which was the salary available to the Council and the manager for the undesignated position. Staff discovered that previously it had only been funded for the amount of $45,000 and the council has indicated a desire to have the ability to use that for adding a position if they chose to. . He acknowledged that this was not a commitment to spend that amount nor was the Council obligated to spend it. The council would have to direct the town manager to create a position and fill the position. Director of Administration/Town Clerk Hansen pointed out that staff had calculated adding an additional $60K for the new town manager. She announced that there were school representatives present who wanted to address the Council tonight. Ginny Chin, 14649 N. Fairlynn Dr. (President of the School Board) She stated that the new school superintendent Dr. Marian Hermie spoke to Director Hansen prior to the last budget meeting and Dr. Hermie had felt comfortable that her presence was not required. She thanked Director Hansen for answering the Council's questions on their behalf that evening. She apologized that she had been unaware that the School District's requests were up for consideration that night. They would never assume that the Council's support was automatic. They regret if their lack of attendance that night was interpreted as indifference. On the contrary, she and Dr. Hermie had met with Mayor Beydler a couple of months ago to share information and to reiterate the role that their continued partnership plays in safety, security, and opportunity for all children in and out of school hours. She noted that the School District was sensitive to the Council's budget constraints. She explained that the highly successful partnerships and agreements with the Town and the Boys and Girls Club, Community Colleges, Fort McDowell Community and others in the past had been mutually beneficial and had saved taxpayer dollars. She stated staff was here to answer questions. ' `ayor Beydler asked Director Hansen what the specific line items that were contained in the School District's request. ector Hansen reviewed the following requests: • $11,300 -for custodial staff for the Middle School/High School • $2,500 -for security for home games • $5,000-for cleaning and resurfacing of the large and small gym and cafeteria floors • $16,000-to add additional monitoring and surveillance personnel on campus and campus perimeter These requests totaled$34,800. Director Hansen explained that last year the Council had also awarded an additional $16,000 for supplementary security at the high school/middle school at the request of Mark Mauro. Mayor Beydler restated the School District's total request as $50,800. Councilman Kavanagh asked what the Council had approved. Director Hansen responded nothing had been approved at this point. Councilwoman Nicola said that the Council had discussed the possibility of bringing in the MCSO and the Marshals Department to provide security as volunteers and as part of their on going duties by reassigning their schedules. She had understood that the Town would be able to provide the requested security and surveillance on school grounds during school hours as well as to the evening games. Interim Town Marshal Tate responded that if on-duty personnel covered an evening game, they would not be able to respond to field calls as easily or be as affective in patrol in the rest of the town. He noted that the Marshals Department could request that reserve officers serve specific hours, but since those reserves were volunteers, the Marshals Department could not guaranteed that they would be available and might not be as reliable when using off-duty officers. He stated that in the past they had charged the School District for off duty officers at the rate of$29 per hour per officer. Councilman Kavanagh asked how many officers were on duty in the evenings. Interim Town Marshal Tate replied typically 2 to 3. Councilman Kavanagh asked what their duties were. Interim Town Marshal Tate stated ordinance enf,..:c.ment and patrol. Councilman Kavanagh asked if there others on facility patrol. Interim Town Marshal Tate _,ned all public properties were patrolled. Councilman Kavanagh asked if one of the three officers could be assigned 'L ,e school since that was a facility. Interim Town Marshal Tate said that could be done,but it would lessen the Town's ‘61„,0 7/2/02 Regular and Executive Session Page 15 of 20 Councilwoman Nicola recognized that off-duty personnel was important to the department but she also recognized that the Town was in a tough year. She reasoned that was why she had brought that option up as a way to accommodate the School District's need rather than saying no. She had reasoned that with the two law enforcement departments :,---linating efforts she had hoped to accommodate this need. Interim Town Marshal Tate said they would attempt to :Make it work by a combination of options. Mayor Beydler asked if the Council was discussing the $2,500 line item. Councilwoman Nicola said she was addressing the additional monitoring and surveillance cost of $16,000. Interim Town Marshal Tate said he was talking about the sporting events and the amount of$2,500. Councilman Kavanagh asked for clarification on what the $16,000 was for. Interim Town Marshal Tate said he understood the $16,000 was for two security officers as the School District had a staff of four and the Town funded two. Gary Corcoran, 14608 N.Winston Lane He gave an overview of the school campus needs. He agreed that they currently had four security officers with two employed by the District and two supplied by the Town. He reviewed their duties. He noted that the purpose of this security was to be proactive and to provide a safe working environment for the students. He said the District worked in close partnership with the school resource officer on campus to set the campus tone for the students. The four security officers worked on a rotating schedule so it was imperative that was maintained because of the scope and integrity of the campus. He expressed concern for the safety and welfare of the students. He felt it was a deterrent to any intruder to the to have someone visible on campus. Councilman Kavanagh asked if the School District hired all four and the Town paid for two security officers. Mr. Corcoran said that was correct. Vice Mayor Fraverd asked if it was necessary to have a uniformed officer in these particular roles. Mr. Corcoran responded these officers were classified school district security officer personnel. These would not be uniformed officers. They would be employees of the School District that operate under the District's supervision and they were given assignments. Vice Mayor Fraverd recognized that these were not the Marshals officers but school employees. Mr. Corcoran agreed that was correct. Vice Mayor Fraverd asked why the School District wasn't paying for this. Mr. )rcoran said it was because of their budget constraints. Vice Mayor Fraverd responded that it was a shame that the ool District missed the budget hearings because it was brought out in some detail that the Town was in dire straights .uget wise. She felt that if it was important that they have these surveillance personnel on their campus, the School District needed to find the money in their budget to pay for them. Mr. Corcoran recognized that unfortunately the money was not in their budget and they felt the students would be at risk if that support personnel were not there. Mayor Beydler asked Mr. Corcoran what the other $16,000 was for. Mr. Corcoran replied that was for the other security officer as the cost was $16,000 for each officer. Councilman Melendez noted that at the last meeting the MCSO had indicated that they would assist with the issue of the home game coverage. He wanted to make sure they were still agreeable to that. Councilman Melendez reiterated that any additional support would be greatly appreciated. Captain Penrose said the Sheriffs Posse was more than willing to assist at all home games. The problem with providing security on campus was that most of the Posse members had full time jobs, which would prohibit them from working the school campus. He said that the Sheriffs Office was willing, at no cost to the Town or the School, to supply a school resource officer for the new middle school that falls outside the boundaries of Fountain Hills. He did not want to cost any security officer a job at the new middle school, if the Marshals Department was supplying a school resource officer for the new school, this would provide two security officers. He acknowledged that offer would be contingent upon the new superintendent's approval. Councilman Kavanagh asked if the Marshals Department was supplying a resource officer to the middle school. Interim Town Marshal Tate said when the middle school was located next to the high school they had a school resource officer for the middle and one for the high school. The new middle school was outside of town's limits. If they were to put an officer there, they would not be able to cite for violations, as it would have to go into a Scottsdale Court. Superintendent Dr. Hermie stated that in meeting with the middle school superintendent, Principal Tom Lawrence had requested that they not have a resource officer on campus next year. She concurred with Interim Town Marshal Tate's explanations of working within the Scottsdale Court and Sheriffs office if there were violations. She proposed that if that tted a situation where a resource officer could be moved from the middle school and there could be two resource icers at the high school,the District might consider that. One of the issues that she was hearing some confusion on had „a do with the security personnel during the academic day. She explained that it was the School District who hired the classified personnel for the security function. These employees were not police officers or resource officers. They did 7/2/02 Regular and Executive Session Page 16 of 20 not wear uniforms yet they were trained to help with security and safety issues during the academic day. Councilwoman Nicola asked if the middle school would have a closed campus. Dr. Hermie replied they would. c ^oilman Kavanagh asked Interim Town Marshal Tate if it would be possible for the grant position to be shifted to the ;igh school/middle school. Interim Town Marshal Tate said they would not be able to take a full time position and move someone into that grant, as there were specific requirements. Councilman Kavanagh asked if two resources officers could be reassigned to the high school. Interim Town Marshal Tate responded yes. Councilman Kavanagh acknowledged that while the Town would no longer fund two security officers, the Town would add one marshal. Interim Town Marshal Tate said that was possible if they did not put an officer at the middle school. Councilman Kavanagh thought that should work for the School District. Ginny Chin restated that they did not assume Town support but were requesting it. She said that they were open to whatever the Town could do for the District. She said that if the Council wanted to consider the principals' priorities that could be done. She wanted the council to remember the long history of partnership with the town and they had every intention of maintaining the partnerships. High School Principal Mark Mauro restated the District's need for the two security guards at a cost of$16,000 each as being critical. Councilman Kavanagh pointed out that they would only be losing one since one position would be filled by the Marshals Department. Mr. Mauro stated that the problem was the School district was not the direct supervisor of a staff member from the Marshals Department and they did not have the same responsibilities as the security guards. The security guards could be given specific assignments. Councilman Kavanagh asked what would happen if the two security officers were funded and did security for home games but did not give funding for the custodial staff or cleaning/resurfacing of the gym. How would that impact Town programs? School District Director of Building and Grounds Rich Dobson reviewed his justification for funding. He agreed that if only one thing that the Town would fund, he would like security for the kids. He stated that although he would like to see funding for the District's custodial needs,he could get by. Dr. Hermie asked Councilman Kavanagh if he was proposing to move the resource officer who had been on the middle school campus to the high school, which would give the high school two resource officers and the two security officers szinplied by the District. If the Town would then consider paying for one other security guard as opposed to the two that District had asked for, the District would find this proposal acceptable. Councilman Kavanagh asked if the District uld take care of the custodial and cleaning. Dr. Hermie said that Mr. Dobson felt those costs could be absorbed and the District would rather have the security. If alternative staff covered the home games and the District absorbed the custodial issues, the District would be asking for $16,000 for the security guard. Councilman Kavanagh pointed out that the middle school security guard would be reassigned to the high school. He suggested retaining $800 to pay for security for those occasions when volunteers were not available to cover home games. Mayor Beydler suggested $1,200. Councilman Kavanagh AMENDED the motion to appropriate$16,000 for one security guard for the schools,reassign the Marshal Resource Officer from the middle school to the high school, and set aside no more than $1,200 for the security of home games with the understanding that it would not be spent if volunteers could be used for coverage. Councilman Melendez SECONDED the amendment. Interim Town Marshal Tate responded that moving the resource officer was not a problem and he would do his best to provide security for the games. He said a schedule of the games would be provided to the MCSO. He suggested that the District provide a prioritized list of games when they felt officers were needed. Vice Mayor Fraverd was not supportive of funding another's District's employee. She felt the District needed to take more responsibility for funding their projects as her responsibility was to the citizens and the Town's budget. She recognized that although the District has had a terrible time of getting any money allocated to them it was not the Town's responsibility to fill in when the Town was in such dire straights. Councilwoman Nicola said she would be supporting this considering that there were approximately 1,000 children in the schools and it was appropriate to assist the school with surveillance issues. Ms. Chin asked that the Town reconsider funding the entire $2,500 for game security since these were community events. Interim Town Marshal Tate noted that football games had always been prioritized first since they had many logistical aspects to cover. He explained that when he was discussing the prioritizing of games by the district, he had been talking about the basketball gam as that was relatively new coverage for the Marshals Department. That might be an option due to the high number .sketball games. The amendment CARRIED on a vote of 5 — 2. Vice Mayor Fraverd and Councilwoman Ralphe the nay votes. Loy .ila or Beydler restated the other considerations of adding $250,000 to the Grant Revenue/Expenditure. Mr. Farrell Y Y reiterated the $120,000/$60,000 for the undesignated position and the town manager. Mayor Beydler asked how much of 7/2/02 Regular and Executive Session Page 17 of 20 that stayed on the revenue side. Ms. Ghetti did not understand where the revenue would come from for the $180,000. Ms. Ghetti said that the carry forward would be reduced by the$180,000,as there wasn't any additional revenue to off set it. Vir•P Mayor Fraverd AMENDED the motion to add $250,000 to the Grant Revenue/Expenditure and $180,000 for the undesignated position and new town manager as presented. Councilwoman Nicola SECONDED the amendment. Mayor Beydler asked what the carry forward was to be after these adjustments. Ms. Ghetti stated after all the changes she estimated the carry forward would be just barely over $1M. Councilwoman Nicola asked if the adjustment had been made for the difference in the Fire District accounts. Ms. Ghetti said she had talked with County and all of the money that was contained in the three different accounts from the Fire District would be transferred to the Town. What wasn't clear was regarding the Pension Fund as to if it would come in as a restricted Pension Fund or if it would take Council action to set it up as restricted. She restated that the Pension Fund was included in the total of$1M that would be transferred. Councilwoman Nicola said her research showed it to be restricted by State law. Mr. Farrell said that if the District were collecting for Rural Metro then it would be restricted. Mayor Beydler pointed out that there was approximately $180,000+ in that account that was restricted. Councilwoman Nicola asked if the fire truck was paid for. Ms. Ghetti confirmed that it was. Mayor Beydler asked if the restricted amount was included in Ms. Ghetti's revenue forecast. Ms. Ghetti responded yes but the question was whether or not the Pension Fund was restricted or reserved. Councilman Kavanagh asked when the classification would be known. Ms.Ghetti was not sure. Mr.Farrell said staff would get the answers. The amendment CARRIED unanimously. Dennis Contino He wanted to bring to the Council's and the public's attention the services offered by radio station KFHX. He felt it would be a tremendous opportunity for the Town to have an outlet to reach the residents in real time with Council meetings and, bulletins, regardless of the capability of attending the Town Hall meetings. He proposed that KFHX record the Town Council meetings live and broadcast live via the web and AM radio. This would provide Council on demand for the residents. He explained the procedure that would be used. The media format to be determined would be provided to the Town for the current Channel 11 broadcast. He confirmed that he would offer these services at a lower cost than the current budget. )uncilwoman Nicola asked what his audio would sound like. Mr. Contino said that if they could hook up into the Town's io sound system he felt they would have the same capabilities. He noted that he used the same equipment that the miw .;vision stations used. Vice Mayor Fraverd asked if this would be in addition to the Channel 11 programming. Mr. Contino responded yes. Peter Putterman said that the provisions for serving television feeds or taped feeds to Cox Communications provided Channel 11 was stipulated in the contract with Cox. Mr. Putterman explained that the Town contracted separately with a vendor who has been used for the past three years. This vendor was the lowest bid that he was able to secure. He noted that he would be glad to go out for bid anytime that the Council wished or as directed by the manager. He reminded the Council that in the current Council facilities located in the courtroom there were serious space restrictions. The subject of two cameras had come up before but many public seats were lost when the second camera was brought in. He pointed out that when going with two cameras the tape would have to be edited to get it down to a single feed. He commented that a previous Council was more comfortable with a direct tape feed so that there wasn't any chance that a council member or member of the public's words were edited out during that editing process. He stated that the goal of Channel 11 had always been to provide access to Council meetings for the public. As a chronological archive the service that was provided even at one camera at a very low price did meet that need. He deferred to Mr. Farrell as to whether or not a private for profit radio station who sold advertising would be an appropriate vehicle for public meetings to be broadcast on. He said this was an issue that should be explored. Mr. Putterman stated that the Town owned the decks and equipment. The only thing contracted was the labor and equipment that came in. He clarified that the world wide web signal, streaming video,could be done by the Town from the existing tapes with a little bit of hardware. He did not know if this was something that the Council wanted to pursue but he stated that it could be done in-house or he could pursue having a vendor do it. He stated that the town would have to put out some type of an RFP to standardize the requirements. He said he would welcome Mr. Contino's response to it. Ma• Beydler asked when Mr. Contino's wattage would be increased. Mr. Contino responded by the end of July he would enough wattage to cover Fountain Hills and into the valley. Eventually he stated that the station would be going into alley. Mayor Beydler asked if Mr. Contino was proposing that the Council meetings would go out live over the web r available on AM radio in Fountain Hills. Mr. Contino confirmed that the Council meetings would be live. He ..onfirmed that he was a non-profit organization and KFHX was the fund raising arm of St. Dominic's Food Bank. He explained that the camera positioning as being placed in front with splits so that they did not lose any sound or quality. He 7/2/02 Regular and Executive Session Page 18 of 20 stated that the tapes could be formatted as needed. Mayor Beydler acknowledged that town's communication needed to be worked on with constituents. He was excited about the possibility of getting on a radio station town wide so that people -ould listen. He said he would support some seed money to help this process go forward. Councilwoman Nicola said she /ieu'ed the radio station's web site and had not seen any advertising. Mr. Contino offered that they had very little sponsorship at the present time. 'Councilman Kavanagh asked if a demonstration could be arranged so at the next Council meeting everyone could get a feel for how everything would look. He also requested the costs involved be provided. Councilman Kavanagh suggested that Mr. Putterman could work up the costs of just putting the existing tapes on the web so the council had full picture of everything. Mr. Putterman clarified that he was not challenging Mr. Contino or accusing him of operating a commercial operation. He was pointing out that those were all things that must be considered. He explained that with the amount of money being talked about, and under the Town's purchasing policies, the Town would have to put out an RFP for services. He felt if the Council decided what level of service they would like it would make it easier for staff to do that. Councilman Kavanagh asked Mr. Putterman if he could complete the necessary Internet connections in the council chambers so that at the next Council meeting it could be viewed for demonstration purposes. Mr. Putterman said that could be done. Mr. Contino pointed out that he was not talking about adding to the communication budget but he was offering a reduced price for more services. He indicated that the reduction would be about $6,000. Vice Mayor Fraverd clarified that the Town would still have Channel 11 and that Mr. Contino was offering his service for $12.000, which would come out of the $18,000 communications budget. Mr. Putterman stated that the amount of$18,000 figured the flat rate that the Town was charged for the taping the meeting plus the overage fee. He pointed out that staff had no prior knowledge of this offer from Mr. Contino. Mr. Putterman said he would be happy to work with Mr. Contino by giving him the information necessary so that he could make a proposal to the Town to provide services. Vice Mayor Fraverd noted that this did not have to be a budget item then. Mr. Putterman agreed it did not as there was enough money budgeted and if the Council or the manager directed him to go out for an RFP for increased services and come in less than the $18,000 he could accommodate that. Councilwoman Nicola thought that $20,000 was the minimum for RFPs. Ms. Ghetti responded no. She explained that $20,000 expenditure was for Council approval but the bid amount was anything over$5K. Ms.Ghetti added that there was a local vendor preference allowance. ncilman Kavanagh asked how the service that Mr. Contino was offering differed from what the Town now had. Mr. Imo . erman recapped that he understood that he would provide the Town tapes that would continue to be put out over Channel i 1 as well as provide a feed to the radio station website with a live remote. Mr. Contino interjected that the Town would get an additional web broadcast,radio broadcast, and the taping for$12,000. Councilman Kavanagh noted that it came down to a comparison of quality. Mr. Farrell stated staff was concerned that the Council was selecting two vendors when proposals should be sought for providing those services to see if there was a third vendor who wanted to provide that service. Mayor Beydler said that staff should be directed to move in that direction. Councilman Kavanagh suggested that the Council observe the actual quality before going further. The amended motion CARRIED unanimously. AGENDA ITEM#16 - CONSIDERATION OF WAIVING THE FEES FOR THE NEW BOYS AND GIRLS CLUB YOUTH CENTER. Mr. Farrell stated that the applicant had withdrawn their request and requested the opportunity to come back at a later date. AGENDA ITEM #17 - CONSIDERATION OF ACCEPTANCE OR REJECTION OF CLAIMS FILED WITH THE TOWN OF FOUNTAIN HILLS BY MARTINEZ AND CURTIS AND BROWN AND BAIN FOR LEGAL WORK DONE FOR THE FOUNTAIN HILLS VOLUNTARY FIRE DISTRICT. Mr. Farrell suggested that the Town offer Martinez and Curtis a cash settlement and go to arbitration with Brown and Bain. tayor Fraverd MOVED to offer Martinez and Curtis a cash settlement and go to arbitration with Brown and Bain. )r Beydler SECONDED the motion. Nirw 7/2/02 Regular and Executive Session Page 19 of 20 Councilwoman Ralphe said that these were claims from attorneys who did work for the former Fire District and not for the Town. In one case all the work was done subsequent to October 31 when the previous Council voted to begin fire services. She said she would not support this. Councilwoman Nicola stated she felt that the Fire Board was an elected board that had the right to counsel and to question the action of the previous Town Council. She said she would prefer to pay the attorney fees out of the monies that they anticipated getting from the County but she would support the recommendation of the Town Attorney. Councilman Kavanagh said he would prefer not to pay either of these law firms a dime. Mayor Beydler echoed with Councilwoman Nicola's view. Councilwoman Nicola asked Mr. Farrell if he would seek reimbursement from any other parties. Mr. Farrell confirmed that was not in the motion. The motion CARRIED on a vote of 6— 1. Councilwoman Ralphe cast the nay vote. AGENDA ITEM 18- CALL TO THE PUBLIC AND ADJOURNMENT. No one came forward. Vice Mayor Fraverd MOVED to adjourn the meeting and Councilwoman Nicola SECONDED the motion, which CARRIED unanimously. Mayor Beydler adjourned the meeting 12:05 a.m. TOWN OF FOUNTAIN HILLS By: /Tx _ Jo• :eydler, ayor . ATTEST: Cassie B. Hansen, Director of Administration/Town Clerk PREPARED BY: 1&AF 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 2nd day of July, 2002. I further certify that the meeting was duly called and that a quorum was present. DATED this 1st day of August 2002. Cassie B. Hansen, Director of Administration/Town Clerk 7/2/02 Regular and Executive Session Page 20 of 20