Loading...
HomeMy WebLinkAbout2006.0615.TCREM.MinutesTOWN OF FOUNTAIN HILLS MINUTES OF THE REGULAR AND EXECUTIVE SESSION OF THE FOUNTAIN HILLS TOWN COUNCIL June 15, 2006 Mayor Nichols called the meeting to order at 5:50 p.m. AGENDA ITEM #1 — VOTE TO GO INTO EXECUTIVE SESSION: PURSUANT TO A.R.S. 38- 431.03.A4, FOR DISCUSSION OR CONSULTATION WITH THE ATTORNEYS OF THE PUBLIC BODY IN ORDER TO CONSIDER ITS POSITION AND INSTRUCT ITS ATTORNEYS REGARDING THE PUBLIC BODY'S POSITION REGARDING CONTRACTS THAT ARE THE SUBJECT OF NEGOTIATIONS, IN PENDING OR CONTEMPLATED LITIGATION OR IN SETTLEMENT DISCUSSIONS CONDUCTED IN ORDER TO AVOID OR RESOLVE LITIGATION. (SPECIFICALLY, THE NATIONAL CENTURY FINANCIAL ENTERPRISE fNCFE} LITIGATION.) Councilmember Archambault MOVED to convene the Executive Session and Councilmember McMahan SECONDED the motion, which CARRIED UNANIMOUSLY (7-0). Mayor Nichols adjourned the Executive Session at 6:05 p.m. AGENDA ITEM #2 — RETURN TO REGULAR SESSION Mayor Nichols reconvened the Regular Session at 6:30 p.m. INVOCATION — Councilmember Keith McMahan ROLL CALL — Present for roll call were the following members of the Fountain Hills Town Council: Councilmember Archambault, Mayor Nichols, Vice Mayor Kehe, Councilmember Leger, Councilmember Dickey and Councilmember McMahan. (Councilmember Schlum was absent from the meeting.) Town Attorney Andrew McGuire, Town Manager Tim Pickering and Town Clerk Bev Bender and Finance Director Julie Ghetti were also present. CALL TO THE PUBLIC None. CONSENT AGENDA AGENDA ITEM #1 — CONSIDERATION OF APPROVING THE TOWN COUNCIL MEETING MINUTES FROM THE ,TUNE 1, 2006 REGULAR AND SPECIAL SESSIONS. AGENDA ITEM #2 — CONSIDERATION OF APPROVING A SPECIAL EVENT LIQUOR LICENSE APPLICATION FOR THE CHAMBER OF COMMERCE'S NETWORKING SOCIAL EVENT FOR THEIR MEMBERSHIP SCHEDULED TO BE HELD ON SATURDAY, JULY 22, 2006, FROM 7 P.M. TO 11 P.M. AGENDA ITEM #3 — CONSIDERATION OF APPROVING A PRELIMINARY AND FINAL PLAT FOR THE "FOUNTAIN HILLS WESTBY CONDOMINIUMS." A 4-UNIT CONDOMINIUM PROJECT LOCATED AT 16729 E. WESTBY DRIVE, AKA LOT 14, BLOCK 2, PLAT 103. CASE #S2006-11. AGENDA ITEM #4 — CONSIDERATION OF RESOLUTION 2006-30, AMENDING THE AGREEMENT FOR ANIMAL CONTROL SERVICES BETWEEN MARICOPA COUNTY AND THE ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 1 of 14 TOWN OF FOUNTAIN HILLS ENTERED INTO .TULY 1, 2003, AND EXTENDING THE AGREEMENT FOR ONE YEAR TO . UNE 30, 2007. AGENDA ITEM #5 - CONSIDDERATION OF RESOLUTION 2006-41, PROVIDING FOR ANIMAL SHELTER SERVICES BETWEEN MARICOPA COUNTY AND THE TOWN OF FOUNTAIN HILLS ENTERED INTO TULY 1, 2003 AND EXTENDING THE AGREEMENT FOR ONE YEAR TO TUNE 30, 2007. AGENDA ITEM #6 - CONSIDERATION OF ACCEPTING A WASH PARCEL REMOVING STIPULATIONS AND RECORDING DEED, WITH STIPULATIONS. AGENDA ITEM #7 - CONSIDERATION OF TERMINATING THE VEHICLE LEASE AGREEMENT BETWEEN THE TOWN OF FOUNTAIN HILLS AND RURAL/METRO CORPORATION. AGENDA ITEM #8 - CONSIDERATION OF RESOLUTION 2006-34, ABANDONING WHATEVER RIGHT, TITLE OR INTEREST THE TOWN HAS IN THE CERTAIN PUBLIC UTLITY AND DRAINAGE EASEMENTS LOCATED AT THE EASTERLY PROPERTY LINE OF PLAT 505B BLOCK 3. LOT 9 (15154 E. MARATHON DRIVE) AS RECORDED IN BOOK 159 OF MAPS PAGE 3 RECORDS OF MARICOPA COUNTY, ARIZONA. EA06-08 (EPPERSON). AGENDA ITEM #9 - CONSIDERATIONOF RESOLUTION 2006-32. ABANDONING WHATEVER RIGHT, TITLE OR INTEREST THE TOWN HAS IN THE CERTAIN PUBLIC UTILITY AND DRAINAGE EASEMENTS LOCATED AT THE SOUTHERLY PROPERTY LINE OF PLAT 505B BLOCK 3, LOT 5 (15821 E. KIM DRIVE) AS RECORDED IN BOOK 158 OF MAPS, PAGE 43 RECORDS OF MARICOPA COUNTY, ARIZONA WITH STIPULATION. EA06-07 (CARLSON). AGENDA ITEM #10 - CONSIDERATION OF RENEWING THE ANNUAL LANDSCAPING CONTRACT (2005-01) WITH MARIPOSA HORTICULTURAL ENTERPRISES. INC.. IN THE AMOUNT OF $289,063.75, FOR YEARLY LANDSCAPE SERVICES. AGENDA ITEM #11 - CONSIDERATION OF THE FINAL PLAT FOR A 4-UNIT CONDOMINIUM PLAT ENTITLED "FINAL PLAT, KINGSDALE CONDOMINIUMS UNIT 15" AND LOCATED AT 13636 N. HAMILTON DRIVE, AKA PLAT 103, BLOCK 4, LOT 11. CASE #S2006-13. AGENDA ITEM #12 - CONSIDERATION OF THE FINAL PLAT FOR A 2-UNIT CONDOMINIUM PLAT ENTITLED "DOUBLE_ TREE PHASE I CONDOMINIUMS." LOCATED AT 14040 EDGEWATER DRIVE, AKA PAT 104, BLOCK 5, LOT 34. CASE #S2006-14. AGENDA ITEM #13 - CONSIDERATION OF RESOLUTION 2006-37, APPROVING AN UPDATED PARKS AND RECREATION FACILITY FEE SCHEDULE FOR THE TOWN'S PARKS AND AMENITIES. AGENDA ITEM #14 - CONSIDERATION OF APPROVING A CONTRCT EXTENSION AND AGENDA ITEM #15 - CONSIDERATION OF APPROVING A ONE-YEAR CONTRACT EXTENSION WITH NICHOLS AND SON LANDSCAPING, INC. FOR MEDIAN LANDSCAPE MAINTENANCE IN THE AMOUNT OF $253,399.00. AGENDA ITEM #16 - CONSIDERATION OF APPROVING AN EMERGENCY REPAIR AND REPLACEMENT OF TRAFFIC SIGNAL CABINET DAMAGED BY VEHICULAR ACCIDENT AGENDA ITEM #17 - CONSIDERATION OF APPROVING A PARTIAL SETTLEMENT WITH REGARD TO THE NATIONAL CENTURY FINANCIAL ENTERPRISES (NCFE) LITIGATION . j ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 2 of 14 AGENDA ITEM #18 — CONSIDERATION OF ACCEPTING A DONATION OF THREE ART PIECES FROM THE PUBLIC ART COMMITTEE OF THE CULTURAL COUNCIL FOR DISPLAY IN THE - COMMUNITY CENTER. Councilmember Archambault MOVED to approve the Consent Agenda as read and Councilmember McMahan SECONDED the motion. A roll call vote was taken with the following results: Vice Mayor Kehe Aye Councilmember Schlum Absent Councilmember Leger Aye Councilmember Dickey Aye Mayor Nichols Aye Councilmember McMahan Aye Councilmember Archambault Aye The motion CARRIED UNANIMOUSLY by those present (6-0). ACTION AGENDA AGENDA ITEM #19— CONSIDERATION OF RESOLUTION 2006-36, APPROVING THE DISSOLUTION OF THE MCDOWELL MOUNTAIN PRESERVATION COMMISSION. Parks & Recreation Director Mark Mayer addressed the Council relative to this agenda item and said that the McDowell Mountain Preservation Commission, at their May 16, 2006 regular meeting, with four of the current five members in attendance, voted to recommend to the Town Council that the group be dissolved. He said that their recommendation was based on several factors. The first was the recent resignation of the new chair and the inability of the remaining members with tenure on the Commission to assume that role. Secondly, they felt that the major task for the group, which was the establishment of the Preserve, had already been accomplished. Lastly, that the task of constructing the trailhead in the Preserve was likely a number of years off due to the delayed development by. MCO of the Adero Canyon area and there was not really much for the group to accomplish at this time. Councilmember McMahan MOVED (for purposes of discussion) to approve Resolution 2006-36, approving the dissolution of the McDowell Mountain Preservation Commission. Councilmember Dickey SECONDED the motion. Town Clerk Bev Bender advised that three citizens had submitted requests to speak on this issue and the Mayor asked them to come forward as their names are called and present their remarks. Roy Kinsey, 17120 E. Fairway Court, said that he appreciated the opportunity to discuss the status of the McDowell Mountain Preservation Commission (MMPC) and for the record to explain why the current Commission was calling upon the Council for creative action. In the 2001 Purchase Agreement that was signed with MCO Properties, acquisition of the Preserve land was allowed. The Agreement stated that MCO was to construct a public highway through Adero Canyon up to the Preserve and at that time it would be open to the public. At the MMPC's January Work Study Session with the previous Council, they did not bring forth any new direction or suggestions and with the completion this year of Phase IV in the contract with J2 Engineering, the Commission found itself with little more to do beyond photo contests, open houses and a wait for the major road construction in Adero Canyon. He stated the opinion that it was the Council's responsibility to meet with MCO to consider creative, alternate ways to open the Preserve independent of the development of Adero Canyon and said that the action must be initiated by the Council. C ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 3 of 14 Mr. Kinsey added that whatever their decision was this evening, whenever the public did gain access to the Preserve, the Town would need a Commission or an open space manager to provide specific management and protection planning. He noted that, in the past, commissions had been appointed by the Council and reported their recommendations directly to the current ruling Council. He advised that over the last year, when all of the commissions were reorganized and directed to report to a member of Town staff, they saw changes occur that they believed were inefficient. He said that with four Commissioners reporting to Mark Mayer, who already had a heavy load of his own, it was not fair to him or to the Commissions. He further stated that the arrangement was poor as it related to Preserve commissions and said that traditionally the philosophy and the interests were quite different between Preservation and Recreation. He commented on the fact that he respects Mark Mayer but stated that it was not healthy to establish Preservation management within a Recreation department. He expressed the opinion that the two operations should be conducted separately and the Commissions should continue to report directly to the Town Council. Wayne Tall, Acting MMPC Chairman, 16147 Keota, thanked Councilmember Kehe for pulling this item off the Consent Agenda as well as the members of the Council who responded to his initial letter. He stated that he did not come to "praise the McDowell Mountain Preserve or to bury it" and added that his letter contained three questions that he believed warranted answers rather than proceeding with dissolution, which would send a signal that there was no interest in allowing public access to the Preserve. He added that it also gave the impression of support to terminate the Commission. He said that after the previous Mayor left office, it appeared that Town staff was running the Council and in view of the proposed resolution and several MMPC Chair resignations, he would like to ask whether that was still a valid statement. He stated that the Council needed to consider how information flowed to it and expressed the opinion that information was not adequately passed on to them. He stressed the importance of establishing open communication and said that he had worked with Jeremy Hill of MCO on the trails and he was a very open, easy-going person. The agreement with MCO for access to the preserve was open ended regarding a date and said that open-ended contracts were essentially "no contracts." He questioned how long the Town would have to wait for access to the trail. He stated the opinion that the most appropriate action the Council could take tonight was to defeat the resolution because its passage would surely send the message to the residents that the Council had no interest in the Preserve access. Grace Jakubs, 16440 N. Aspen Drive, said that she was familiar with the services carried out by the MMPC and noted that she served as a member of the Commission for six years. She added that some of the members of this Council voted to give the residents the Preserve but said that there was no way to access it. She requested that the Council negotiate with MCO in an effort to gain public access to the Preserve. Mayor Nichols thanked the speakers for their input. Vice Mayor Kehe expressed the opinion that a permanent Commission must remain in place to oversee the Preserve and concurred that Parks & Recreation goals differed from those of the Preserve. He said that although the City of Scottsdale has a much larger Preserve than Fountain Hills, they have a permanent Commission in place to oversee it and said he believes that the Town should provide no less. He stated that one of their challenges was to put together an "A" team, composed of members of Council and staff, to work with MCO in an effort to compress the time interval so they were able get access to the Preserve. He added that he was strongly opposed to the dissolution of the MMPC and urged the other members of the Council to also vote in opposition. Councilmember Dickey noted that she was not that familiar with this issue but based on her brief involvement and limited understanding; she would not want to see the only caretaker over open space that the Town has at this time dissolved. She said that at another time she would like to discuss their mission and pointed out that MMPC appears to be the only environmentally related Commission in Fountain Hills. She commented on her ongoing interest in expanding the Town's involvement in environmental issues. She advised that she was not prepared to vote to dissolve MMPC and was not convinced that that action should occur at this time. ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 4 of 14 Councilmember Archambault concurred with Councilmember Dickey's comments and expressed the opinion that it was too early to talk about dissolution and that the Commission should remain in place. He further stated that the State Trust Land would be coming up for sale and asked whether the Commission's expertise would be a valuable tool in this important process. Mr. Pickering explained that the role of this Commission was tied to the McDowell Mountains and said that there were basically washes throughout the State Trust Land that were handled through the Wash Maintenance Program. He added that trails were overseen by the Town's Parks & Recreation Department and noted that the trails within the McDowell Mountains had always been overseen by the MMPC. He said that he did not see a strong need for the Commission's involvement in the State Trust Land process and reiterated that the Commission itself asked for the dissolution, not staff. He stated that the topic of access to the Preserve was really controlled by MCO and representatives from that company were present this evening and he said he was aware of the reasons for the delay but it might be helpful to have them restated at this time. Jeremy Hall, President of MCO, addressed the Council said that he believes MCO actually does provide access through Adero Canyon to the trail and added that it was his understanding that there would be a trailhead constructed at the end of the roadway once the roadway was complete in Adero Canyon. He said that the roadway would be the first thing constructed in Adero Canyon when they began that project (after Eagle's Nest was completed). He noted that things were slow at this time and it would be difficult to estimate exactly when that would occur. He stated his intention to meet with the MMPC members. Vice Mayor Kehe commented that he would like the opportunity to get together with MCO, representatives of the Council and staff to explore further access. He reiterated the importance of putting together an "A" team, similar to the one that was put together to address the State Trust Land issue. Mayor Nichols stated that they could select several members of Council to work as representatives to meet with the MMPC and MCO. Councilmember McMahan pointed out that for years he opposed the work of the MMPC but over the years he had come to agree with their purpose and respected every member of the Commission. He indicated his opposition to dissolving the Commission at this time and said he would like to see the group reconstituted as an independent entity. Councilmember Archambault suggested that the Council table this particular item until all of the parties had an opportunity to get together and talk. He said that the matter could then be addressed following that time. Councilmember Archambault MOVED to table this item to an unspecified date and Mayor Nichols SECONDED the motion. Councilmember Leger advised that he too would not support the dissolution of the Commission at this time. He stressed the importance of researching other entry options for access into the Preserve. Mayor Nichols commented that the additional time would allow all involved parties to look at the various issues and discuss options/alternatives. Vice Mayor Kehe stated that he did not see any relationship between the continuation for the purpose of meeting with MCO and the vote against dissolution of the MMPC and therefore would not support a motion to continue this issue. He said he would prefer to disapprove the proposed dissolution. Councilmember McMahan concurred with the Vice Mayor's statement. , A roll call vote was taken with the following results: ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 5 of 14 Councilmember Schlum Absent Councilmember Dickey Nay Vice Mayor Kehe Nay Councilmember McMahan Nay Mayor Nichols Aye Councilmember Leger Nay Councilmember Archambault Aye The motion FAILED for lack of a majority vote (2-4). Mayor Nichols requested a vote on the main motion as this time (approve Resolution 2006-36, approving the dissolution of the McDowell Mountain Preserve Commission). The motion FAILED unanimously by those present (0-6). Mayor Nichols advised that the Commission would remain in place. AGENDA ITEM #20 — CONSIDERATION OF RESOLUTION 2006-35. AMENDING THE PLANNING & ZONING AND ENGINEERING FEE SCHEDULE. (Type is 12, not 11) Planner Kate Zanon provided the Council with a brief overview of the Council Report covering staff's response to Goal #4 (Objective 4.1) of the Town's Strategic Priorities for the next two years. Goal #4 stated, "to strictly enforce the General Plan and the Town ordinances" and, more specifically, Goal 4.1 was to significant increase variance filing fees to deter frivolous filings. In the process of staff research regarding variance -filing fees, they discovered that several of the Planning & Engineering Fees were substantially different than fees in other communities and said that the fees had not been updated for seven years. She advised that this request was to fully update the Planning & Zoning and Engineering Fee Schedule. Ms. Zanon noted that on May 4, 2006, the Council passed a resolution to remove the Planning and Engineering Fee Schedule from the Town Code and in turn adopt it as Resolution 2006-09. Future changes to the fee schedule would be done by resolution or through the budget process. Since the Town had just approved the 2006/07 budget on June 1, 2006, staff believed this would be a good opportunity to implement a more strategic and updated fee schedule for the new fiscal year. Ms. Zanon explained that three measures were used in establishing the proposed fee changes: 1) Staff looked at fees for similar applications in other communities. Comparison communities were chosen based on location within the Phoenix Metro Region and resemblance to Fountain Hills. 2) Staff looked at the Strategic Plan 2006-2010. The strategic focus area for Physical Planning, Zoning and Architecture directed staff to strictly enforce the General Plan and Zoning Ordinance. 3) Staff looked at the time and number of personnel involved to process the applications Ms. Zanon reiterated that Planning & Zoning and Engineering fees had not been changed since 1998. Resolution 98-28 was approved on September 3, 1998 and the fees went into effect on January 1, 1999. The Town had not seen any increase in the fees in over seven years. In light of this time frame since the fee schedule was last updated and through the three measures discussed above, staff attempted to bring fees in line with the cost of plan review in 2006. She noted that the evaluation section of the report (full report on file in the office of the Town Clerk) discussed each of the proposed fee changes. It defined the application type, looked at fees in other communities, provided the existing fee and proposed fee and discussed the rationale for each proposed change. The evaluation looked at the planning fees and then at the engineering fees. She stressed the importance of maintaining a fair and comparable fee schedule as it related to surrounding communities. Councilmember Archambault MOVED to approve Resolution 2006-35 and Mayor Nichols SECONDED the motion. 1J ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 6 of 14 In response to a question from Councilmember Archambault, Mr. Pickering clarified that the fees were more for development than individual homes that were going to be built. \_ Ms. Zanon advised that another objective under Goal #4 was to review the Town's Special Use Permits and bring forward to Council those that really should be variances. She said that staff was in the process of compiling a list and they would be presented to the Council at a Work Session in the fall where the Council could provide staff with input. She clarified that approving the proposed ordinance this evening had no bearing on that discussion item. Vice Mayor Kehe referred to the last paragraph of Page 16 of staff s report (Cut/Fill Waivers, no change. Staff will bring forth an ordinance amendment in the near future that would remove Town Council approval of cut or fill waivers and in turn require the variance process for a waiver. Because of this future amendment and the potential to remove this fee, staff is not proposing to make any changes to this fee.) He said that he did not have any problems with the engineering fees but that last paragraph (listed above) "blew him away." He commented that this would place cut and fills in with variances, which were dealt with by the Board of Adjustment. He said that for the last year he had heard the Council discuss residents' concerns regarding various problems they had regarding the State Trust Land and they said, through the Town's ordinances and more specifically cut/fill, that they were going to address those problems. The Council also acknowledged comments by a group, which had threatened to submit a petition that would have cast aside the Town's annexation efforts. They acknowledged the group's stated intent to monitor and said that the Council would ensure a seamless development of the State Trust Land, similar to what currently existed. The Vice Mayor said that the Council's strongest tool to fulfill that commitment was cut/fill and he was very much alarmed that they would turn this over to another group. Mayor Nichols stated that the intent was not to do that. He added that comments should be saved until they came to that because then as a Council they could decide what to do. Vice Mayor Kehe respectfully disagreed with the Mayor and said that was a part of the proposal as presented. �w Mayor Nichols noted that the proposal was on engineering fees at this time and did not have that as an item in it. Vice Mayor Kehe further stated that the Council was directly responsible to the citizens and the Board of Adjustment was not. He said that he was strongly opposed to giving up the Council's power in this particular area. He requested that the Council join with him and tell whoever has directed that this be initiated, to do away with it. He said that he will personally fight this issue and was hoping to receive Council support at this time. Town Attorney Andrew McGuire clarified that the agendized item was adoption of fees and a sense of the Council on an item that the public was not made aware was going to be discussed was outside of the boundaries. Councilmember Archambault noted that this evening the Council was only discussing the fees and under each proposed fee was staff's discussion that simply outlined staffs reasoning behind their recommendations. He agreed that the Council's cut/fill authority should not be taken away from them but added that they were not discussing that issue at this time. Councilmember McMahan stated that Council approval of cut/fills had worked well in the past and he saw no reason to change it. Mayor Nichols reiterated that they were not discussing that issue at this time and called for a vote on the motion. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM #21 - CONSIDERATION OF RESOLUTION 2006-40, GRANTING A WATER TANK ACCESS EASEMENT, PUBLIC UTILITY EASEMENT AND SRP POWER EASEMENT FROM EAGLES NEST TO PARCEL 6 TO CHAPARRAL CITY WATER COMPANY'S EAGLES NEST WATER TANK. ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 7 of 14 Public Works Director Tom Ward addressed the Council relative to this agenda item and briefly outlined staff s report. He explained that this was a grant of easement for the Eagle's Nest access road, public utility easement, and SRP power easement. He said that this was being performed and requested as indicated in the final settlement agreement for the mountain properties. It had been drawn up per that agreement and staff was seeking approval. Councilmember Leger MOVED to approve Resolution 2006-40 and Councilmember Archambault SECONDED the motion. Vice Mayor Kehe commented on the fact that the original purchase agreement of the property from MCO stated that the Town would grant easements for utilities across the Preserve. He added that it was also his understanding that specific projects within the agreement for easements would be required before the work was done. He said that the work had already been done so in effect they were approving an easement for construction that had already been completed and he was a little uncomfortable with this. He stated that his major concern had to do with the fact that MMPC had plans for a trail that would cross the easement and questioned whether this would be allowed to occur. Mr. Ward responded to the Vice Mayor's question and advised that it was difficult to predict this type of easement placement, depending upon the type of terrain and topography. He said that staff wanted to make sure that the easement covered that area and the tank and power. He added that staff waited until they knew exactly where it would be located and that was the reasoning for the delay. He stated that he consulted with the Town Attorney today regarding the trails and he did not indicate that there would be any problems since the Town was granting an easement. Mr. McGuire noted that the easement being granted is a non-exclusive right so in the future if the MMPC used that property; it would not be encumbered at all by that easement. He added that it left open the opportunity for an additional utility provider to utilize that same area for some future purpose. There were no citizens wishing to speak on this item and the Mayor called for a vote. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM #22 — CONSIDERATION OF APPROVING THE COOPERATIVE PURCHASING AGREEMENT WITH THE CITY OF TUCSON AND PARTICIPATION AGREEMENT WITH CHASE BANK IN ORDER TO IMPLEMENT A PROCUREMENT CARD PROGRAM TO STREAMLINE PURCHASES. Finance Director Julie Ghetti addressed the Council relative to this agenda item and stated that earlier in the year when the Town went out for banking services and awarded the bid to JP Morgan Chase Bank, one of the benefits they received from that was the opportunity to have a cooperative purchasing agreement for a purchasing or procurement card, commonly known as p-card. She said they were excited about the prospect of offering that to the employees and explained that the p-card would allow employees working out in the field to be able to do the job that they were hired to do. The current process, which was designed to control Town finances, required field employees who needed to purchase a part to do so and then come into the office, fill out a requisition that was submitted to Purchasing and then Purchasing issued an invoice to that vendor. She explained that the p-card would allow field employees to make the purchases they needed and they continue on with their jobs. She added that the Town did not issue credit cards other than to Directors and so currently employees who travel must use their own money (for travel, food) and then they were reimbursed. She noted that staff was recommending a pilot program and p-cards would only be issued to 17 staff members. She emphasized that the p-card would not be a blank check for employees to go out and purchase items and explained the controls that would be in place, including a transaction limit of $500.00 and a monthly limit of $2,500.00. Ms. Ghetti advised that any unauthorized purchases would be reimbursed by Chase as long as they received adequate notification and if an employee misused the card, in accordance with an agreement they would be required to sign, they would be subject to disciplinary action up to termination. The Town, according to the ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 8 of 14 agreement, would also have the authority to withhold funds from employees' paychecks in the amount of any unauthorized purchases. She reported that there was a $1200 annual charge for this service and stated that this item was before the Council because it was an intergovernmental agreement. Councilmember Archambault MOVED to approve Resolution 2006-43 and Councilmember McMahan SECONDED the motion. Mr. Pickering stated that he had always been very hesitant about the use of credit cards and had seen too many municipalities experience problems with them. He emphasized that staff was recommending that a pilot program be instituted and added that one of the main reasons he was convinced by Ms. Ghetti to go forward with this was because of the costs the Town now pays just to issue a check in accordance with the current process. He said that this was more than merely a "convenience" item, it was also a cost saving measure and he would like to monitor it and see how it worked out. Vice Mayor Kehe said that he concurred with Mr. Pickering's concerns and noted that his opinion had nothing to do with the Town's great staff. He added that the p-card appears to be a credit card and he would like to know the difference between the two because he had concerns regarding security issues. Ms. Ghetti said that she too shared in the concerns and noted that staff had been very conservative over the past 16 years and not issued credit cards. She stated that they were very comfortable with this credit card because in addition to transaction limits they also had type of purchase limits (plumbing supplies, or travel, etc.) and they had the authority to pre -determine what type of commodities the employees could purchase. She commented on the fact that she was only aware of one municipality that experienced any abuse and it was on the part of a Councilmember. Mr. Pickering clarified that the main difference between a credit card and a p-card is that the p-card could only be used for certain items. In response to a question from Councilmember Archambault, Ms. Ghetti advised that it would be up to the Town to change what could/could not be purchased by employees based on their responsibilities/uses (proven needs). Councilmember Archambault noted that the p-card had a daily limit, which credit cards did not. Councilmember Leger commented on the fact that in the future staff would still be able to make purchases and the only thing that would change was the methodology. Ms. Ghetti confirmed this statement. Councilmember Leger stated that he had seen similar programs work very effectively and reported that they saved operational dollars. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM #23 — CONSIDERATION OF ORDINANCE 06-16, LEVYING UPON THE ASSESSED VALUATION OF THE PROPERTY WITHIN THE TOWN OF FOUNTAIN HILLS, SUBJECT TO TAXATION, A CERTAIN SUM UPON EACH ONE HUNDRED DOLLARS ($100.00) OF VALUATION SUFFICIENT TO RAISE THE AMOUNTS ESTIMATED TO BE REQUIRED IN THE ANNUAL BUDGET, SPECIFICALLY BONDED INDEBTEDNESS, FOR THE PURPOSE OF PAYING PRINCIPAL AND INTEREST UPON BONDED INDEBTEDNESS• ALL FOR THE FISCAL YEAR ENDING 30 OF .TUNE, 2007. Mr. Pickering noted that once again the Town's tax rate dropped. Finance Director Julie Ghetti addressed the Council regarding this agenda item and explained that the Town had been authorized by the voters to issue bonds for purchasing or constructing Town infrastructure. Specifically, bonds were sold to purchase mountain preserve land, build the library/museum, and bond paving. They were C�W paid for each year through debt service payments from property taxes. Staff was estimating the current levy for 2006 to be $0.30, down from $0.35 last year. ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 9 of 14 Councilmember Archambault MOVED to approve Ordinance 06-16 and Councilmember McMahan SECONDED the motion. 1J Mr. Pickering requested that Ms. Ghetti provide the Council with background information relative to the highest rate on the Town's secondary property tax. Ms. Ghetti reported that in 2000-01, the Town's tax levy for the voter approved bonds was $0.56 and over the past few years, a decrease has occurred as a result of (1) assessed valuation of the community and (2) the Council approved refinancing of the bonds last year. That created a significant savings and resulted in the significant decrease. There were no citizens wishing to speak on this item and the Mayor called for a vote. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM #24 — CONSIDERATION OF APPROVING A PLAN OF DEVELOPMENT FOR "INTEGRITY MOTORS," AN INTERNET SALES BASED CAR BUSINESS, LOCATED AT 12032 N. COLONY DRIVE, AKA LOT 6, BLOCK 2, FINAL PLAT 206. CASE #PD2006-01. Planner Kate Zanon addressed the Council relative to this agenda item and explained that this item was for a plan of development approval for Integrity Motors, an on-line car business. The Town's Zoning Ordinance states that any car or vehicles sales business required the Council to approve a plan showing where the cars would be located. The State of Arizona requires that at least two parking spaces be designated for the proposed business. As the nature of this business was on-line car sales, the applicant was only asking for the two State required designated parking spots. Ms. Zanon referred to a site plan displayed in the Council Chambers and noted that the front portion of the building contains suites that could be rented for commercial purposes and the rear portion was used for warehousing. There would be two employees in the suite running the on-line car sales and minimal traffic would come to the site to look at cars. There was sufficient parking in the complex to accommodate allocating two parking spaces for this use and staff recommended approval subject to the two stipulations outlined in the report. The Planning and Zoning Commission recommended approval at their May meeting. Councilmember Archambault MOVED to approve the plan of development for Liberty Motors and Councilmember Leger SECONDED the motion. In response to a question from Councilmember Archambault relative to the Town requiring the payment of sales tax on cars going out of state, Town Attorney Andrew McGuire stated that both the Town auditors and tax experts said it could be done then he was comfortable with moving in that direction. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM #25 - CONSIDERATION OF ORDINANCE 06-13 A ZONING ORDINANCE TEXT AMENDMENT ON SITE DISTANCES; AND PARKING LOT DRIVEWAY LENGTHS, AND BUILDING SETBACKS WITHIN PARKING LOTS. CASE #Z2005-05. Senior Planner Robert Rodgers addressed the Council relative to this agenda item and said that this was the third time this matter had come before the Council. He explained that the ordinance would require a 10-foot separation between a building wall and a parking lot drive aisle. It would also require a 6-foot separation between a garage and a drive aisle (enough to stop people from parking there and still allow someone coming out of a driveway to see whether anyone was coming). It also would require that landscaping within commercial parking lots be trimmed (low features trimmed to a 2-foot height and taller features trimmed to an approximate 7-foot height) leaving a 5-foot clear zone for vehicular ability. Mr. Rodgers noted that the Planning & Zoning Commission forwarded a recommendation for approval and staff recommended approval as well. ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doe Page 10 of 14 Councilmember Dickey MOVED to approve Ordinance 06-13 and Councilmember Archambault SECONDED the motion. Town Clerk Bev Bender advised that one speaker wished to address the Council on this issue. Michael Downes, 16616 E. Palisades, said that last year the Planning Commission voted unanimously to initiate this amendment. He stated that the purpose of the proposed ordinance was to provide an improved sight line for internal vehicular traffic within commercial, industrial and multi -family complexes and urged the Council to approve the ordinance as presented. Mayor Nichols thanked Mr. Downes for his input. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM # 26 — CONSIDERATION OF ORDINANCE 06-15, AMENDING THE FOUNTAIN HILLS TOWN CODE, CHAPTER 11, OFFENSES, BY ADDING A NEW SECTION, 11-1-16, RELATING TO CRIMINAL TRESPASS. Captain John Kleinheinz, representing the Maricopa Sheriff's Office, addressed the Council relative to this agenda item. He explained that the Town did not have an ordinance dealing with individuals committing the crime of trespass within Town limits. In the case of a juvenile caught trespassing, the case must be referred to the Maricopa County Juvenile Court system, which was currently overworked and handled the more serious crimes committed by juveniles, including murder, sexual assault, aggravated assault, etc. He said that a trespass case could languish for months in the juvenile system before being dealt with. In some cases it might not be taken seriously because the individuals that handle the trespass case also deal with the more serious cases. Captain Kleinheinz stated that if the proposed ordinance was adopted, these cases could be referred to the Town Court for disposition. Since the problem was local, it would be dealt with locally. The individuals would be held more accountable because the Town court did not deal with the same volume of cases handled by the County Court system. He noted that the proposed ordinance resembles the State Statute and allows them to handle trespassers in the Town's court so they could be processed locally. The Captain recommended approval of the ordinance. Councilmember Archambault MOVED to approve Ordinance 06-15 and Councilmember McMahan SECONDED the motion. Councilmember Dickey asked whether any of the consequences would change and Captain Kleinheinz responded that they hoped they would. He explained that currently within Maricopa County's juvenile system this was such a minor issue compared to what they dealt with on a daily basis and offenders received slaps on the wrist or probation. He added that the whole idea was to bring it into the Town's court system and they could say this was not something they were going to stand for and address it by requiring restitution to the victims, community service, etc. He said that the Town would have the opportunity to attempt to make an impact on the juveniles who were trespassing (sometimes with resulting vandalism). He stated his willingness to provide the Council with the specific definition of criminal trespass if they so desired. In response to a question from the Vice Mayor, Captain Kleinheinz advised that he received a letter from a very concerned mother concerned that if her children walked through a portion of Town considered private property they could be subject to intimidating interrogation. He emphasized that they were not looking at doing anything with those types of situations. Those walking through an area and on their way to some place, unless there was a curfew violation, would not be stopped and/or questioned. He emphasized that they were looking at controlling the congregation of juveniles on private property or business properties either as a result of a complaint call and/or based on posted notices and obtaining information from juveniles previously involved in ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 11 of 14 vandalism acts. He confirmed that the ordinance would apply to both adults and juveniles as far as criminal trespassing. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM #27 — CONSIDERATION OF ORDINANCE 06-18, AMENDING THE FOUNTAIN HILLS TOWN CODE, CHAPTER 8, BUSINESS REGULATIONS, BY ADDING A NEW ARTICLE 8- 4, RELATING TO THE SALE OF PRODUCTS CONTAINING EPHEDRINE OR PSEUDOEPHEDRINE; IMPOSING REOUIREMENTS FOR THE DISPLAY OF SUCH PRODUCTS; REQUIRING IDENTIFICATION FROM PURCHASERS; REQUIRING A LOG OF ALL SALES OF SUCH PRODUCTS TO BE MAINTAINED AND MADE AVAILABLE TO LAW ENFORCEMENT; PROVIDING FOR PENALTIES; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. Captain John Kleinheinz also addressed the Council relative to this agenda item and stated that the illicit manufacturing of methamphetamine is a serious problem not only with Arizona but with the entire United States. Methamphetamine is an illegal drug that is created in "Meth Labs" across the state every day. A key ingredient in making this drug is ephedrine and pseudoephedrine, which can be found in common cold medications. These medications are commonly sold over the counter at various pharmacies and drug stores in communities including Fountain Hills. The Captain stated that many communities in the valley and across the country were passing laws dealing with medications that contained these ingredients. Specifically, they were requiring that these medications be secured with the stores. Anyone wanting to purchase the medications must be helped by a pharmacist or store employee. The person wanting to purchase the medication must show an identification card to the employee who would record the information in a log that must be maintained and made available to law enforcement. The employee would then obtain the medications for the customer. This was a nation-wide movement to get all communities to adopt this ordinance. There were numerous valley cities that had already adopted this ordinance including Scottsdale and Phoenix. He cautioned that if the Town did not adopt such an ordinance, Fountain Hills would eventually become a focal point for those people actively seeking out places in which to purchase their key ingredients for the drug and they would set up meth labs in such locations. Captain Kleinheinz strongly recommended that the Town of Fountain Hills adopt this ordinance to help fight the methamphetamine problem in this state. Councilmember Archambault MOVED to adopt Ordinance 06-18 and Councilmember Dickey SECONDED the motion. Councilmember McMahan stated that he was philosophically opposed to increasing the burden and cost of the ordinance, as it would affect the law-abiding people of the community. He noted that Walgreen's was already voluntarily removing these medications and placing them behind counters where a clerk must oversee their purchase. Many stores were also limiting the amount of medicines any one person could purchase. He stated the opinion that those safeguards were sufficient for a small community like Fountain Hills and spoke against adopting another ordinance that would add paperwork and problems to the business community's already heavy burden. He urged the members of the Council to adopt an ordinance in August requesting voluntary cooperation on the part of affected businesses — to separate the medications and make limitations on purchases as they saw fit. He added that a $2,500 fine to be assessed against a clerk who might make a mistake was just too much. He said that a majority of the people should not suffer because of the actions of a few who break the law and stated that perhaps the State should address this issue at that level. In response to a request from Councilmember Archambault, Captain Kleinheinz explained that meth labs give off a very pungent cat urine type of odor that will permeate any sensitive nose within a very confined area around the meth lab itself. He also addressed Councilmember McMahan's concerns and stated that even though this might seem "heavy handed" and a burden to some of the businesses, a number of the larger retail stores ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 12 of 14 outside of the Town were already dealing with the control of those types of remedies (medications containing the above referenced ingredients). He said that he could safely say that one meth lab in either a hotel or motel leaves a level of exposure that requires the services of DEQ to perform intensive clean-up work. He noted that he was part of the Meth Lab Task Force and prior to really finding out what meth could do to a person as far as walking on contaminated soil, he hated to think how many times he went to a meth lab, cleaned it up, then walked into his own home and most likely contaminated or cross -contaminated his entire family. He said that even though this might wind up being a somewhat of a burden to the local businesses, the impact it has on innocent people far outweighed in his mind any costs that they might have to bear. Mayor Nichols commented that several months ago he was with the Governor and he asked whether the State would come through with legislation to control these types of drugs and she indicated that they would like to do it but did not know for sure that it would happen. She encouraged Mayor Nichols to enact legislation in the Town of Fountain Hills because the more cities and towns that did so, the greater the chance that the legislature would recognize the importance of the issue and enact State laws governing this issue. In response to a question from Councilmember Leger, Captain Kleinheinz confirmed that meth use was occurring in the Town of Fountain Hills. He said that they were seeing a reduction in the number of meth labs in communities that had enacted this type of law. He said that as the cities and towns in the metro area began to put their ordinances together, the makers of the drug would seek out those cities and towns that did not have restrictions and/or laws in place and establish labs/sell their drugs. Councilmember Dickey noted that the Arizona Attorney General stated that Arizona led the nation in meth use from 12 to 17 year olds. She spoke in support of taking the initiative and adopting the proposed ordinance and commented on meth's huge negative impact on the environment. She reported that the State of Oklahoma had very strict regulations in place and their efforts had been extremely successful. Councilmember Dickey said that she had heard that if the medicines were liquid or gel they would not have to be restricted and asked for a clarification on this. Captain Kleinheinz responded that anything that contains the aforementioned chemicals would have to be restricted. In response to a question from Councilmember Dickey, Captain Kleinheinz stated that access to the records (logs of drug sales) would be to the law enforcement in the community only and by written request. He added that the gathering of the information should occur in an area that would not be open to the public. Mayor Nichols thanked Captain Kleinheinz for his presentation and called for a vote on the motion. The motion CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM #28 — QUARTERLY UPDATE BY TOWN MANAGER ON THE PROGRESS OF IMPLEMENTING THE COUNCIL'S GOALS. Mr. Pickering advised that he was given six goals by the Council: Annex the State Trust Land and participate in the planning of that land; to develop a Public Information/Grant Writing Program; to complete and begin implementation of the Town's Strategic Plan; to explore adding additional parks; to explore an intergovernmental relations program and to develop business relations/improve business retention. He reported that the State Trust Land goal was 100% complete. The Public Information Program was approximately 80% complete and would remain on going. The Strategic Plan had been completed and adopted by the Council in 2005. It was continually being implemented and a communication plan to get the information out to the public was currently being developed. The Parks & Recreation Department had completed their research on different parks and the results would be brought to the Council over the next few quarters. As far as the intergovernmental relations program, staff met with Fort McDowell last Tuesday and they noted that that was the first time in 14 years they had been invited to "break bread" with the Town of Fountain Hills. The program was definitely on the march. The Town's business relations and retention programs were proceeding forward ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 13 of 14 and the Avenue of the Fountains Program would be a great improvement to the downtown when that streetscape program was complete. AGENDA ITEM #29 — SUMMARY OF COUNCIL REQUESTS BY TOWN MANAGER. Mayor Nichols advised that staff would work on the McDowell Mountain Preservation Committee issue as previously discussed to develop future direction recommendations. AGENDA ITEM #30 — ADJOURNMENT Councilmember McMahan MOVED that the Council adjourn and Councilmember Leger SECONDED the motion, which CARRIED UNANIMOUSLY (6-0). The meeting adjourned at 8:00 p.m. TOWOFFOUNIN HILLS By yor ATTEST AND PREPARED BY: C i W ((_= CERTIFICITION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Regular/Executive Session held by the Town Council of Fountain Hills on the 15th day of June 2006. I further certify that the meeting was duly called and that a quorum was present. DATED this 3rd day of August 2006. Bevelyn J. B d own Clerk ZACouncil Packets\2006\R8-03-06\6-15-2006 Minutes - Executive and Regular Session.doc Page 14 of 14