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HomeMy WebLinkAbout2007.1220.TCREM.Minutes TOWN OF FOUNTAIN HILLS MINUTES OF THE EXECUTIVE SESSION AND REGULAR SESSION OF THE FOUNTAIN HILLS TOWN COUNCIL December 20,2007 CALL TO ORDER Mayor Nichols called the meeting to order at 5:03 p.m. ROLL CALL AND VOTE TO GO INTO EXECUTIVE SESSION Present for roll call were the following members of the Fountain Hills Town Council: Mayor Nichols, Councilmember Kehe, Councilmember Schlum, Councilmember Leger, Councilmember Archambault and Vice Mayor Dickey. Town Attorney Andrew McGuire, Director of Parks and Recreation Mark Mayer, Director of Planning and Zoning Richard Turner and Town Clerk Bev Bender were also present. Councilmember McMahan was absent from the meeting. (i) PURSUANT TO §38-431.03(a)(1), FOR DISCUSSION OR EMPLOYMENT, ASSIGNMENT, APPOINTMENT, PROMOTION, DEMOTION, DISMISSAL, SALARIES, DISCIPLINING OR RESIGNATION OF A PUBLIC OFFICER, APPOINTEE OR EMPLOYEE MAY DEMAND THAT THE DISCUSSION OR CONSIDERATION OCCUR AT A PUBLIC MEETING. THE PUBLIC BODY SHALL PROVIDE THE OFFICER, APPOINTEE OR EMPLOYEE WITH WRITTEN NOTICE OF THE EXECUTIVE SESSION AS IS APPROPRIATE BUT NOT LESS THAN TWENTY-FOUR HOURS FOR THE OFFICER, APPOINTEE OR EMPLOYEE TO DETERMINE WHETHER THE DISCUSSION OR CONSIDERATION SHOULD OCCUR AT A PUBLIC MEETING. (SPECIFICALLY, FOR THE PURPOSE OF INTERVIEWING APPLICANTS FOR CONSIDERATION OF FILLING VACANCIES ON THE BOARD OF ADJUSTMENT AND THE MCDOWELL MOUNTAIN PRESERVATION COMMISSION): AND (ii) PURSUANT TO §38-431.03(A)(4), 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, (a)A LICENSE AGREEMENT WITH MCO AND(b) THE FIREROCK TAX LITIGATION). Councilmember Archambault MOVED to convene the Executive Session and Vice Mayor Dickey SECONDED the motion,which CARRIED UNANIMOUSLY by those present. Councilmember Archambault MOVED, to adjourn the Executive Session and Councilmember Schlum SECONDED the motion, which CARRIED UNANIMOUSLY by those present. The meeting adjourned at 6:27 p.m. RETURN TO REGULAR SESSION • CALL TO ORDER AND PLEDGE OF ALLEGIANCE Mayor Nichols called the Regular Session to order at 6:31 p.m. • INVOCATION—Pastor Ewen Holmes,Fountain Hills Presbyterian Church z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 1 of 24 • ROLL CALL—Present for roll call were the following members of the Fountain Hills Town Council: Mayor Nichols, Councilmember Kehe, Councilmember Leger, Councilmember Schlum, Councilmember Archambault and Vice Mayor Dickey. Councilmember McMahan was absent from the meeting. • MAYOR'S REPORT None. • SCHEDULED PUBLIC APPEARANCES/PRESENTATIONS None. CALL TO THE PUBLIC None. CONSENT AGENDA AGENDA ITEM #1 — CONSIDERATION OF APPROVING THE TOWN COUNCIL MEETING MINUTES FROM NOVEMBER 27,2007 AND DECEMBER 6,2007. AGENDA ITEM #2 — CONSIDERATION OF APPROVING THE WINE FESTIVAL LICENSE/WINE FAIR LICENSE FOR ERIC GLOMSKI/PAGE SPRINGS CELLARS FOR THEIR FIRM'S PARTICIPATION AS A VENDOR IN THE 4IH ANNUAL THUNDERBIRD ARTISTS' FOUNTAIN HILLS FINE ART AND WINE AFFAIRE EVENT TO BE HELD ON THE AVENUE OF THE FOUNTAINS. VENDOR'S REQUESTED DATES AND TIMES OF OPERATION ARE MARCH 21 AND 22,2008 FROM 9:00 A.M.TO 5:30 P.M.AND MARCH 23,2008 FROM 10:00 A.M.TO 5:30 P.M. AGENDA ITEM #3 — CONSIDERATION OF APPROVING THE WINE FESTIVAL LICENSE/WINE FAIR LICENSE FOR DENNIS MINCHELLA/KOKOPELLI WINERY FOR THEIR FIRM'S PARTICIPATION AS A VENDOR IN THE 4tH ANNUAL THUNDERBIRD ARTISTS' FOUNTAIN HILLS FINE ART AND WINE AFFAIRE EVENT TO BE HELD ON THE AVENUE OF THE FOUNTAINS. VENDOR'S REQUESTED DATES AND TIMES OF OPERATION ARE MARCH 21,22 AND 23,2008 FROM 10:00 A.M.TO 6:00 P.M.EACH DAY. AGENDA ITEM #4 — CONSIDERATION OF APPROVING THE AREA AGENCY ON AGING PURCHASE OF SERVICE AGREEMENT. AGENDA ITEM #5 — CONSIDERATION FOR APPROVAL OF RESOLUTION 2007-53, ABANDONING WHATEVER RIGHT, TITLE OR INTEREST THE TOWN HAS IN THE CERTAIN TWENTY FOOT (20') WIDE DRAINAGE EASEMENT LOCATED IN FIREROCK COUNTRY CLUB, PARCEL H-2, LOT 6 (9245 LAVA BLUFF TRAIL) AS RECORDED IN BOOK 505 OF MAPS, PAGE 38,RECORDS OF MARICOPA COUNTRY,ARIZONA. EA07-22(MARTINEZ). Councilmember Archambault MOVED to approve the consent agenda as listed and Councilmember Schlum SECONDED the motion. A roll call vote was taken with the following results: Councilmember Kehe Aye Councilmember Schlum Aye Councilmember Leger Aye Vice Mayor Dickey Aye Mayor Nichols Aye Councilmember McMahan Absent Councilmember Archambault Aye The motion CARRIED UNANIMOUSLY(6-0)by those present. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 2 of 24 ACTION AGENDA AGENDA ITEM#6— CONSIDERATION OF APPROVING A SPECIAL EVENT APPLICATION FOR THUNDERBIRD ARTIST'S 4'H ANNUAL FOUNTAIN HILLS FINE ART AND WINE AFFAIRE SCHEDULED TO BE HELD ON AVENUE OF THE FOUNTAINS MARCH 21, 2008 THROUGH MARCH 23,2008. Civil Engineer Larry Woodlan addressed the Council relative to this agenda item and stated that the Council was being requested to approve a Special Event Applicant for Thunderbird Artist's 46' Annual Fountain Hills Fine Art and Wine Affaire to be held March 21, 2008 through March 23, 2008. He said that this would involve fencing around an area adjacent to the businesses that would not block the businesses but would confine people who attended the event, because the event would involve alcohol. There was to be an entrance on either end of the event area and citizens who wanted to access the businesses would be permitted to pass through without difficulty. Councilmember Leger MOVED to approve the Special Event Application and Councilmember Archambault SECONDED the motion. Councilmember Kehe stated that last year a problem was brought to the Council's attention by the merchants before the event actually took place. They were concerned that the fencing would not allow people in the confined area to access local merchants. The issue was corrected following some negotiations and he had asked that this item be put on the Action Agenda because he wanted to make sure that the problem would not arise this time around. Mr. Woodlan, in response to questions posed by Councilmember Kehe, assured the Council that the people attending the event would be able to easily access the businesses and added that there would not be any fencing between the arts and crafts areas and the storefronts. He said that there would be people stationed at the openings in the fence and people who indicated that they would like to access the businesses and were not attending the event would be permitted to pass through without any difficulty. In addition, almost all of the businesses had a rear entrance but people were not going to be told to access through the back, that entrance. would just be available as always. He confirmed that the downtown merchants were sponsoring the event and noted that Judy Combs was present this evening to answer any questions that might arise. He assured the Council that the merchants had approved the plans that were in place for the event. There were no citizens wishing to speak on this item. The motion CARRIED UNANIMOUSLY by those present(6-0). AGENDA ITEM #7 — CONSIDERATION OF APPOINTING TWO CITIZENS TO SERVE ON THE MCDOWELL MOUNTAIN PRESERVATION COMMISSION. Mayor Nichols MOVED that Elena Torre and Robert Sanders be appointed to serve on the McDowell Mountain Preservation Commission and Councilmember Kehe SECONDED the motion. There were no citizens wishing to speak on this item. The motion CARRIED UNANIMOUSLY by those present(6-0). AGENDA ITEM #8 — CONSIDERATION OF APPOINTING A TOWN MANAGER RECRUITMENT COMMITTEE WITH POSSIBLE DIRECTION TO STAFF AND THE COMMITTEE. Human Resources Administrator Joan McIntosh addressed the Council relative to this agenda item and proposed that the Council appoint an in-house recruitment and selection Committee for the position of Town Manager, without incurring the expense of going to an outside search firm. She stated that as the Human Services Administrator she would be happy to serve as the lead on the Committee and recommended that Councilmembers Archambault and Leger and Vice Mayor Dickey also serve on the Committee as well as staff z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 3 of 24 member Shaunna Williams. She added that with the Council's approval this evening, the Committee would then consist of five members (three current Councilmembers not up for re-election and who were very familiar with the current and future issues a Town Manager would be facing). She noted that as Executive Assistant to the Town Manager, Ms. Williams had the closest working relationship with the Town Manager and after ,411) working in this capacity for over three years, she had become very aware of the importance of the positive interaction necessary between the Manager, the Council and staff. She knows the personality of the organization and understands what it would take for a new Town Manager to be successful in Fountain Hills. Ms. McIntosh further stated that appointing a recruitment and selection Committee this evening would only be the first step in moving forward in this process. It would be this Committee's goal to recruit and select the very best possible candidate for this position. They would not be able to accomplish this goal, however, without the valuable input from the Town's citizens and staff throughout the entire process. They were currently seeking input from Town residents and staff on what characteristics and skill sets they would like to see in their new Town Manager. This information would be compiled and shared with the Committee and it would help them prepare advertisements for the position and set the criteria when it comes time to screen the candidates. She noted that although staff had been very forthcoming so far as far as the request for input, only six responses had been received from members of the public and she stressed the importance of receiving a lot of input from the Town's residents. Ms. McIntosh stated that if the proposal before the Council was approved this evening, the newly-formed Committee would propose a process and a timeline for the recruitment and filling of the position of Town Manager at a future Council meeting. Mayor Nichols asked Councilmembers Archambault and Leger and Vice Mayor Dickey whether they would be willing to serve as members of the Committee and they all indicated their willingness to do so. Councilmember Kehe MOVED to appoint a Town Manager Recruitment and Selection Committee, consisting of Councilmembers Archambault and Leger and Vice Mayor Dickey, Human Resources Administrator Joan McIntosh and Executive Assistant Shaunna Williams and Councilmember Schlum SECONDED the motion, which CARRIED UNANIMOUSLY by those present(6-0). AGENDA ITEM#9.— CONSIDERATION OF APPROVING SEPARATE MASTER PLANS FOR TWO SITES, ONE ADJACENT TO THE HIGH SCHOOL AND THE OTHER ADJACENT TO THE MCDOWELL MOUNTAIN ELEMENTARY SCHOOL FOR JOINT USE BY BOTH THE FOUNTAIN HILLS SCHOOL DISTRICT#98 AND THE TOWN OF FOUNTAIN HILLS. Parks and Recreation Director Mark Mayer addressed the Council relative to this agenda item and said that tonight staff stood before them regarding the culmination of a two-year process. He noted that staff had been working with the School District for a number of years regarding the potential of developing sites owned by the District that could be used for the Town's recreational programs and by the District. From those discussions, two sites were proposed: one adjacent to the High School and the second adjacent to McDowell Mountain Elementary School for potential development. Last January, the School District and the Town entered into an agreement regarding the potential development of the two sites. The agreement stipulated that the Town would, at its cost, design and develop the two sites on District property and the District would maintain the sites at their expense over the 20-year term of the agreement. Mr. Mayer stated that the District had a need to provide a practice field for both its High School football program and its Marching Band. The District also had a need at the McDowell Mountain Elementary School,to replace the open turf area that was affected by the construction of a bus drop off zone behind the building. This area would be used for their physical education program. The Town had an ongoing need to meet the growing needs to provide fields for all three youth athletic associations that utilize Town facilities. These included Pop Warner Football, Fountain Hills Little League and Fountain Hills Soccer. Letters of support for the development of the two sites were provided by these organizations and provided in the Council's packet. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 4 of 24 Mr. Mayer advised that the firm of Olsson Associates was chosen to complete the Master Plan for each of the two sites that would reflect both the needs of the District and those of the Town. There were a series of three public meetings held and residents of the two neighborhoods were invited to meet with Olsson Associates and lw School District and Town staff regarding the two sites and to express their concerns regarding the site and the proposed Master Plan that were developed. In addition, the School District also hosted an additional meeting to speak to neighbors regarding their needs for the two sites. Olsson Associates would be presenting the proposed Master Plan to the Council for potential approval. Funds had been budgeted in the current Fiscal Year to complete the preparation of plans and specifications for the potential bidding and development of the two sites. The School Board reviewed and approved the two Master Plans unanimously at their November 14, 2007 meeting. The Parks and Recreation Commission reviewed and approved the two Master Plans unanimously at their December 10, 2007 meeting. The Commission, at their meeting, was given a petition dated October 24, 2007, which was signed by residents of the neighborhoods adjacent to the two sites who were opposed to the development of the sites. A copy of the petition was included in the Council's packet. Mr. Mayer added that the development of the two sites had been estimated by Olsson Associates to cost $401,914 for the McDowell Mountain Elementary site and $425,215 for the High School site. Both estimates included a 10% contingency in the numbers. Since the plans had not yet been approved by the Town Council, the estimates were preliminary as they were subject to change until approved. Detailed plans and specifications for bidding would take approximately six months and construction would take approximately four months. The cost of construction would need to be budgeted for next year. Mr. Mayer stated that staff recommended approval of the two Master Plans as presented. Mr. Jeff Pratsky, representing Olsson Associates, addressed the Council and highlighted a presentation for the Council (a complete copy of the presentation on file in the office of the Town Clerk). Mr. Pratsky discussed the intense process that had taken place regarding this issue and noted that not counting this evening's meeting, six public meetings were held to solicit input. He discussed the various meetings that were held and noted that there were two sites, the High School site which was 11 acres in size and located on the north side of the High School and west of Hampstead Drive and the McDowell Elementary School site, located on the south side of the School and was approximately 6 acres in size. He commented on the information and topics that were provided at the various public meetings. He said that they had completed documentation available relative to the attendees at the meetings and their input. He added that the proposal received the unanimous approval of the School District Board as well and the Town's Parks and Recreation Commission. Mr. Pratsky provided a "visual tour" of each of the Master Plans and referred to maps distributed to the members of the Council. He noted that the proposals for both sites did not include any lighting and there were no vertically-built facilities. He emphasized that both proposals were also outside of the 100-year Flood Plain. He added that concerns expressed by neighbors regarding the McDowell Mountain site (in close proximity to their backyards), included impacts on their quality of life and buffering to mitigate any impacts. He said that in response to those concerns, they had proposed that a fence be located along the residential edge (a six-foot high wrought iron view fence)that would provide a physical barrier and prevent people from entering any backyards. Another concern that was raised had to do with keeping people out of the wash and Mr. Pratsky advised that they were proposing that a four-foot high wrought iron view fence be placed at that location to restrict any cross movement across the wash. He noted that concerns regarding traffic were also expressed and explained that steps could be taken (by signage placed on the street) to control traffic and restrict parking (essentially no parking allowed). Other concerns had to do with the types of activities that would be allowed to take place on the sites and stated that activities would consist of informal areas for play during non-school hours by the general public and they would not be used for soccer games or any tournament type play. The activities were intended to be extremely passive. He added that the current vegetation would remain in place with the exception of the displaced area for the integration of the turf and, in fact, there were plans to plant some additional native trees to match the ones that were out there now. . Mr. Pratsky also discussed the Fountain Hills High School site Master Plan and said that the turf area in the central portion of the plan was larger than the McDowell site and discussed the various range of activities that z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 5 of 24 would be able to occur (football practice, band practice, etc.). The site could be used the same way as the McDowell site in terms of the public coming into and having access off of Hampstead, walking along the sidewalks there or using access from the parking lot that was currently in place. This would provide parking opportunities during non-school hours. He discussed proposed"connections"throughout the plan and said there NO was no formal definition of any play fields of any type. He added that the site had a lot of native vegetation, particularly adjacent to the wash, and again they had kept completely out of the 100 Year Flood Plain and would provide some selective infill vegetation to provide additional buffering along the perimeter of the improvements. Mr. Pratsky advised that concerns expressed regarding this site included the types of activities that would be allowed on the open play turf area and emphasized that they would be used to take some pressure off of the field so it would be used for football practice during the season and used for band practice (different activities than those proposed for the Elementary School site). Other concerns included noise that would be generated as a result of the activities and one of the key things that was pointed out to the public was the grade differential (the improvements would all be done 35 feet below the Glenview subdivision) and that would serve as a significant noise buffer. Concerns about the embankment were also expressed and Mr. Pratsky said that they were originally showing some trees that were off the park site and in response to the concerns,the trees were removed and there would be no improvements along that steep slope at all; they would stay completely away from that area. All of the improvements would start at the very bottom of the site. One of the biggest issues had to do with traffic and parking along Hampstead Drive and Mr. Pratsky said that again, there were ways to mitigate that through traffic/parking signage. Other concerns were more on the environmental side and related to the wash and the existing vegetation as well as wildlife. He noted that Mr. Mayer asked the Game &Fish Division to conduct a study on this issue and as a result a letter was included in the Council's packets from Game &Fish explaining their perspective on both projects. He said that there would not be any significant impacts of any kind on wildlife and/or vegetation. Mr. Pratsky indicated his willingness to respond to questions from the Council relative to either sites and thanked them for the opportunity to address them. Councilmember Schlum MOVED to approve the Master Plans for the High School and McDowell Mountain j Elementary School as presented and Councilmember Archambault SECONDED the motion. Town Clerk Bev Bender stated that three citizens had indicated a desire to provide input relative to this agenda item and the Mayor asked them to come forward as their names were called. Joyce Stott, 16131 E. Glenview Drive, addressed the Council and expressed concerns regarding environmental impacts, safety and security, community impacts and other points to be considered. She referred to a petition that was signed by 65 residents of Fountain Hills who lived close to the High School and the Elementary School. (Mayor Nichols advised that the Council had received copies of the petition.) She commented on the issues related to the proposals -- projected local revenue shortfall and the related State budget shortfall that would affect the amount of money provided to each local jurisdiction -- and said that the shortfall would adversely affect the Town in its ability to provide the same level of service and would result in an additional property tax being assessed on the residents. Reducing the Town's budget by eliminating projects that were not critically needed would reduce the likelihood that an additional property tax would need to be assessed. She added that the timing of the meetings to decide the fate of this project was unfair as many residents were either out of Town or were too busy or distracted with holiday preparations. Lesley O'Connor, 16144 E. Glenview Drive, addressed the Council and stated that she found it interesting to hear Mr. Pratsky talk about the meetings that were held and the fact that the residents' concerns had been addressed. She said that she attended most of those meetings and believed that that the concerns that were brought up had not been addressed adequately. She commented that the environment was extremely important and noted that this was one of the last remaining wildlife corridors in the lower part of Town. She added that to destroy the remaining pristine desert was unforgivable and asked what message this would send to the residents at a time when environmental concerns were on government agendas around the globe. Ms. O'Connor also discussed the Town's Strategic Plan and stated the opinion that the proposed plan was the complete opposition vit) to that plan. She added that the Council was charged with enhancing the stewardship of the natural desert z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 6 of 24 environment and although the Town did not own the land, the School District owns it, she said that that was a "loophole" and in light of the amount of time, effort and diligence that went into the Strategic Plan by the residents of the Town, to disregard it so casually would be atrocious. Ms. O'Connor further stated that if the 11.0 Council was really serious about the Town's Strategic Plan, then she would like to know why the Town approached the School District about these developments. She added that this was not about the school children being in desperate need and stressed that safety was a serious concern and on the Town maps, the development would occur in an area that includes a floodway not a floodplain. She noted that a floodway was defined as an area where the water ran fastest and highest and urged the Council to consider whether they wanted the Town's children to be playing in a floodway. Ms. O'Connor advised that other unanswered questions included whether the areas would be open to the public; how public access would be managed without fencing and who would be responsible for policing activities in the area since the land was owned by the School District. She stated that the residents would like assurance that this land would not be floodlit. She again referred to the Town's Strategic Plan and the need to educate the public about the "dark skies" environment. Ms. O'Connor discussed costs and said that construction and development costs were not discussed at any of the public meetings and the residents would like to know what the ongoing estimated costs would be as well for upkeep, maintenance and security. She asked if in light of the financial distress that the Town was currently in whether this was a cost that could be eliminated. Ms. O'Connor requested that the Council vote in opposition to the proposal until such time as all of the valid concerns had been addressed to everyone's satisfaction. Michael Gray addressed the Council and stated that he had distributed a picture that showed the wash area taken during a recent rain and commented that they were still in a ten-year drought and questioned whether it would be right to have people sitting down in a wash area. He said they had a hiker law and driver law and asked whether they really needed to put a playing field down in that area where children play (safety aspects). Mr. Gray stated that during the presentation they had heard that the sites would be used for informal practices and informal uses but said it was School property and as with any school, those properties had fences all around Le them; they were locked off and guarded. He said that the same kinds of fencing would be needed for the projects if they did go forward. He added that they were being promised that no vertical development would take place but they knew that risk management was going to require fencing for protection and that would lead to lighting for safety purposes. He said that many residents were not entirely proposed to developments such as this, they would just like the Council to look at alternate sites such as at Golden Eagle Park (a dual-use field) because any development in a wash did not make sense. He further stated that the residents kept hearing about budget concerns, costs and over-runs and suggested that the projects be delayed for a year. He further expressed concerns about protecting the environment. Mayor Nichols thanked all of the speakers for their comments. Vice Mayor Dickey commented that she served on the School Board when they worked with the neighbors on the Middle School and the lighting was a big issue. She agreed that this was something that she would not want to pursue as far as this proposal. She added that she had a couple of environmental questions and said that if you read the letter from Game & Fish, it did ease a lot of concerns about the wildlife going through but she wanted to ask about the fences that were going to be located along the wash. She stated the opinion that they could be natural vegetation rather than steel. Mr. Mayer responded that staff did ask Game &Fish to take a look at that issue as well and because the fencing was not a solid fencing (it was open slatted fencing), they were not concerned that that would unduly restrict wildlife in that particular area. He added that they did initially say that during construction not surprisingly there would probably be some displacement of animals, but they thought that because water would be introduced to that site, additional animals would most likely come back to that particular area so the net effect would probably be to bring more wild life to the areas. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 7 of 24 Vice Mayor Dickey reiterated her question relative to the use of native vegetation for fencing rather than steel and also expressed safety concerns. Mr. Mayer stated that because of the age of the school children, the School District wanted to provide some separation between the wash and the area under discussion. Currently, with the bus loop going through there, it was fenced on the north side of the wash and their intent was to fence the south side of the wash so that the youths would not wander into that wash area. The Vice Mayor commented that there were ways of utilizing vegetation to accomplish the same goal but added that this was School property, they were concerned with the children's safety and in the end it was their decision. She added that the Town had entered into several partnerships with the School District and expressed the opinion that they represented a prudent use of taxpayer monies. In response to a question from Vice Mayor Dickey relative to park shortages, Mr. Mayer stated that there were two guidelines that the National Parks Association used, one was associated with community parks, which were larger in size and tend to have the type of amenities the Town had at Golden Eagle Park and they tend to be centrally located and draw people from throughout the community (tennis courts, athletic fields, basketball courts, athletic complexes, etc.). In contrast, neighborhood parks were typically designed on a much smaller scale (10 to 15 acres as opposed to community parks that were 30 acres plus) and their intent was different; they were scattered throughout the community and were designed to serve a relatively small area surrounding that particular site. The Town was actually deficient on both of those criteria and one of the goals that the Parks & Recreation Department and staff had been working on was identifying how much more acreage they needed as well as in the case of neighborhood parks, where they should be strategically located. In this particular case, both of these sites would potentially add to the Town's inventory of land available for public use and would help address those issues, especially in the area of neighborhood parks. He said that what was driving this was the need for the School District to provide for their students as well as the needs of the Parks & Recreation Department to provide space for the youth groups that were served. He noted that staff does not envision the sites getting a lot of use but especially at the end of the seasons when everybody was looking for practice facilities and during the over-seeding period, they would provide nice alternatives. Vice Mayor Dickey requested that the issue of dust be addressed and stressed the importance of this issue. She also requested that Assistant Superintendent of Schools address public access. Mr. Mayer stated that the School District's intent was to use (if possible) effluent water and discussions relative to this were ongoing. This would provide sufficient water to irrigate the sites. He added that he did not believe they were planning to do any over-seeding but said that they would still have had to apply water to the turf to make sure it stays alive. He said that he did not see any dust issues in that particular area. As far as access, because it was going to be daytime use, including weekends, the school (under the current agreement) stipulates that there would be access to it during times when the school was not utilizing it so as the season went on the windows in the evening would get larger than they were this time of year. There would also be opportunities on the weekends to use them as well. Discussion ensued relative to the fact that North Hampstead was vulnerable to on-street parking (to access the larger field) and Councilmember Kehe's concerns relative to alleged speeding on that street and accidents; the current Monday through Friday 7:00 a.m. to 3:00 p.m. restriction on parking in that area; staff's response that it would be more convenient for people to park in the parking lot off of Hampstead and access the pathway there; the fact that the School District had indicated that the parking lot was now and would continue to be open in the evenings; the fact that at the Elementary School site there would likely be some parking along the edge and the fact that there was available parking just to the north in the school's existing parking lot(not gated); the fact that many parents did not typically stay for the practices, they tend to drop the youths off and pick them up after; Councilmember Kehe's suggestion that a"No Parking" sign be placed on Hampstead and Mr.Mayer's response that staff could certainly look into doing this and suggested that the idea be referred to the Streets Department and the Public Works Director. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 8 of 24 Councilmember Leger commented that lighting was an ongoing concern and asked what type of assurances they had for the future regarding this issue. Mr. Mayer responded that the Town did not own the property,the School District did, and the School Superintendent had made it very clear that they did not intend to light the fields. He added that his concern was that they were looking at $100,000 to $150,000 to light a typical athletic field and said that they could not justify that cost for practice facilities. He said that if ultimately the School Board decided to consider doing that, they would be required to hold an advertised public meeting and citizens would have the opportunity to provide input. He assured Councilmember Leger that the School District was not interested in lighting the sites. In response to a question from Councilmember Leger, Assistant School Superintendent Leedy advised that the School Board had stated that the sites would not be lit. He added that a public process would have to take place if they ever wanted to light the areas. He noted that although they could not bind future Boards by law, the current Board had no interest in lighting the fields during the evening hours now or in the future. Councilmember Leger asked whether a lighting stipulation could be included in the agreement and Town Attorney Andrew McGuire replied that there were constraints on agreements made today in terms of that kind of a promise. He added that as legislative bodies change direction might change as well on the part of the School District as well as the Town. Councilmember Leger commented that at this point in time, the residents had the assurance from this Council(if the issue moved forward) and from the current School Board that there would not be any lighting so only time would tell how that moved forward. He stated that concerns had been expressed about uses of the park during different times of day and children getting into washes and other safety issues. He asked whether they plan to post hours of use on the parks. Mr. Mayer responded that discussions had taken place regarding signage that would be placed on the sites and said that those levels of details would take place during the next phase but clearly the intent was to ensure a dawn to dusk type of facility. Additional discussion ensued relative to the wash at the Elementary School and Councilmember Leger's desire to reinforce the fencing that was there; the possibility of addressing the issue of fencing at the High School as well; overall liability and Mr. McGuire's comment that this issue could be further addressed by the Town's risk provider; the use of development fees to cover costs and the fact that those decisions were made on the Council level; the fact that grants for this particular type of use were highly competitive; a question from Councilmember Kehe as to whether a stipulation regarding parking could be included in the agreement (at least having the Public Works Department examine the possibility of adjusting the parking regulations in light of certain uses over weekends and during the weekends); the fact that the one area the Town did have control over relative to this particular issue was streets and the Council could give direction to the Director of Public Works to evaluate that. Councilmember Kehe stated that he would like to add a stipulation that stated that the Town Manager direct the Department of Public Works to examine the implications of the play areas in terms of their impact on Hamptead and if it was determined that there was an impact, that the parking times be changed accordingly. He said that he would like staff to present a report to the Council in the future relative to this matter. Mr. McGuire said that Councilmember Kehe's statement could be viewed as an amendment to the motion to approve that was currently on the floor. He stated that Councilmember Kehe made a motion to amend the main motion to direct the Interim Town Manager to have staff evaluate traffic and parking along Hampstead as they might be impacted by the parks and to propose solutions if impacts were determined. Vice Mayor Dickey SECONDED Councilmember Kehe's motion as restated by Mr.McGuire. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 9 of 24 The Vice Mayor commented that if the residents along that street had visitors, they would not be able to park their either and that was something that had to be discussed. Councilmember Archambault clarified that the amendment to the motion was for staff to get back to the Council 4111, with a proposal on any changes they determined were appropriate on Hampstead relative to parking and Ms. Zanon said that staff would look into the parking situation on Hampstead (impacts as a result of the proposal). She added that she also heard that if there was an impact on street parking, staff should look at changing parking hours but she also heard that staff should recommend general solutions relative to parking. She asked whether staff should look into parking hours and other solutions or a specific item. Councilmember Kehe stated the opinion that the park would be used more than the hours stated (7:00 a.m. to 3:00 p.m.) Monday through Friday and there was a big gap after three and a big gap on Saturday and Sunday. His concern was that on weekends and during the evenings the very thing they worked to correct just a short time ago would reappear—cars one after the other parking on Hampstead. Ms. Zanon said that if staff was looking into possible solutions they would need an opportunity to report back to the Council and the Council concurred. The Mayor called for a vote on the amended motion and it CARRIED UNANIMOUSLY by those present (6- 0). Councilmember Leger MOVED to amend the amendment to request that staff look at the possibilities of fencing and creating a safe environment around the wash at the High School site and also ensures that there was sufficient signage depicting hours at both parks and Councilmember Schlum SECONDED the motion. Councilmember Dickey said she would also like to make sure that what was considered fencing was also native vegetation. Councilmember Leger advised that he was not proposing native vegetation; he believed that a ,44) wrought iron type fence was safer. The Vice Mayor asked whether there was anything around the washes now and Councilmember Leger responded just the natural environment. He pointed out that they were increasing uses and stressed the importance of safety. He added that staff needed to evaluate this issue and report back to the Council. Additional discussion ensued relative to the fact that there were two sidewalk crossings along the wash and when the wash was running a majority of the time there was nothing to be concerned about but once in a while there would be water running through there and so this would constitute a safety concern; Mayor Nichols statement that he was hearing"let's not design it here; let's have some people take a look at it and come up with some recommendations;" the Council's concurrence with the Mayor's statement; and the fact that the amendment was merely to "look at the situation"and not to say"we were going to put up a fence." The amendment to the motion CARRIED UNANIMOUSLY by those present(6-0). Councilmember Schlum commented that the overall goal was to meet a Town need, the shortage of neighborhood parks in particular and melding it with another objective, working more closely with the School District. He said that he was very excited about the whole prospect but added that he did have concerns regarding all of the fencing primarily around the McDowell Mountain location and requested clarification relative to the fencing that was currently in the plans for the High School location. Mr. Mayer stated that as far as the McDowell Mountain location the intent was to provide a separation along the wash. Additional discussion ensued relative to parking solutions and staff's intent to work with the School District to tog) ensure appropriate usage of the areas for everyone involved. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 10 of 24 The Mayor called for a vote on the motion and it CARRIED UNANIMOUSLY by those present(6-0). kw Mayor Nichols thanked everyone for their input on this important issue. AGENDA ITEM #10 — PRESENTATION BY KEN FAIRCHLD, A REGISTERED ELECTRICAL ENGINEER WITH OLSSON ASSOCIATES, WITH POSSIBLE DIRECTION TO STAFF, REGARDING THE POTENTIAL TO INSTALL SOFT START AND SURGE PROTECTION TO THE FOUNTAIN PUMPS AT FOUNTAIN PARK. Mark Mayer addressed the Council and said that Ken Fairchild, a registered engineer with Olsson Associates, would address the Council relative to this agenda item. Mr. Mayer advised that Town resident Bob Scarpetti approached Town staff a little over two years ago to potentially take a look at two technologies, Soft Start and Surge Protection. He said that both were looked at and an appointment was set up with a firm that provides this type of technology called Phase Free, Inc. and it became apparent that at the staff level a fair evaluation of the equipment was not possible and so Phase Free was asked to do this work. He advised that they then approached Olsson Associates, a firm that also had electrical expertise, and asked them to assist the Town on this project. He said that it was important to remember that individuals who work for towns get approached all the time and staff had to take a hard look at what they believed was reasonable and feasible and he believed they had done that in this particular case. He indicated staff's willingness to look at this further if that was the Council's desire. Mr. Mayer stated that the report contained several recommendations and one of them pertained to looking at Soft Start and Surge Protection technology more closely and staff was in the process of including funds in next year's budget to do so. He reported that the cost associated with the equipment was approaching $80,000 and would require staff to write plans and specifications if their analysis determined they should take a further look at this. They would also be required to go through a bidding process and designing of the plans and specifications before any equipment was purchased above the$20,000 maximum amount. Mr. Ken Fairchild addressed the Council and provided brief background information relative to his areas of expertise. He highlighted a brief PowerPoint presentation for the Council (a complete copy of the presentation on file in the office of the Town Clerk) and said that he was commissioned to do an evaluation of a proposal prepared by Phase Free. He noted that his company's evaluation of the Phase Free proposal included: an analysis of vendor information in the proposal or gathered subsequently specific to power quality concerns at the Fountain Hills Pump Station and the proposed cost savings from the installation of the equipment; gathering of information from the utility company (SRP) on the power quality history at the Fountain Hills Pump Station, one or two actual bills from SRP for the pump station and a minimum of three years maintenance costs history and an analysis of the vendor's proposed savings, SRP's quality history, how the power costs were calculated and what the major maintenance expenses had been in the past three years. Mr. Fairchild outlined Phase Free's summary and stated that Olsson Associates' evaluation findings included the following: • Phase Free did not have any Fountain Hills pump station specific power quality data maintenance or energy use cost benefit date in support of the potential savings presented in their proposal; • The case histories of saving due to the installation of TVSS equipment contained in the proposal did not correlate to the pump station installation; • There was no known history of service power quality concerns or power supply related failures at the pump station • Review of the SRP electric rate for the pump station facility did not indicate savings were available from the reduced in-rush current created by soft start controllers; Nay • Recent maintenance histories did not indicate large expenditures for fixing electrical equipment failures. The failure of one of the motors was not related to transients or across the line starting of the motors. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 11 of 24 Mr. Fairchild reported that in conclusion Olsson Associates did not find any history of detrimental power quality related operation or maintenance issues to support the need to install TVSS equipment at the pump station. The vendor did not provide any support of the stated need for TVSS equipment specific to the Fountain Hills facility nor large medium voltage pump facilities in general; Olsson Associates did not, based on the SRP rate, find support for significant operational energy savings from the installation of soft start, medium voltage motor controllers at the Fountain Hills pump station and Duncan Pump did support, in general, the use of soft start motor controllers for pump stations. Mr. Fairchild outlined Olsson Associates' recommendations: • Based on the age of the existing medium voltage motor controllers, Olsson Associates recommended that Square D be contacted with regard to repair part availability. If the availability and costs were not an acceptable long-term situation, then funds should be set aside on an annual basis in anticipation of replacing the existing controllers. Across the line and soft start technologies should be analyzed for costs and benefits to the Fountain Hills operation. Fountain Hills Park and Recreation was checking this out; • Much of the recent maintenance costs had been related to the values on the discharge of the three vertical turbine pumps. They recommend an investigation into current valve technologies for possible alternatives to the current design. Fountain Hills Park and Recreation was checking this out. • Should Fountain Hills be interested in possible energy savings, Olsson Associates would recommend a review of SRP demand and energy charges under current operating practices. It was possible by varying the current runtimes to have the fountain operate more in the "off peak" or "shoulder peak" times of the SRP rate that some energy cost savings could be achieved. Fountain Hills Park and Recreation staff believed this would be unacceptable to the public. Mr. Fairchild indicated his willingness to respond to questions from the Council. Ms. Bender advised that two citizens had indicated a desire to address the Council relative to this agenda item. Steve Salka, 17025 East La Montana, addressed the Council and said that he was here representing Phase Free (one of the owners). He provided brief background information and spoke in support of his company's report. He said that he would like to own the Town's power company because they "fall right into their hands." He added that Soft Start would allow them to use less current and run the pump more efficiently. He commented that he came here as a property owner and at the request of a friend to see that the fountain runs efficiently and effectively and show off the best of the Town and said he believed he could be of help. Bob Scarpetti, 14623 N. Glenpoint Drive, addressed the Council and said if the Town looked far enough back at the maintenance records for the fountain they would find that there was another motor re-wound in 2004 at a cost of$14,000. In 1999 and 2000, no one could locate any records for him and he questioned what happened during those two years. He stated that to him this was a "no brainer" and he wanted to see the fountain on all the time. There was no reason why the fountain could not be on 12 hours a day. It was an aerator for the lake and right now the pumps were getting wet 24 times a day at 15 minute intervals but if you turn it on one time a day, you would save money. He said he wanted to see the third stage of the fountain again because he had only seen it three times in all the years he had lived in Town. He urged the Council to make a difference and stressed that the people deserve to see the fountain run more than 15 minutes at a time. Mayor Nichols thanked the speakers for their comments. In response to a question from Councilmember Schlum, Mr. Fairchild advised that his company looked at the rate that SRP was using for the pump station; a demand component and an energy component. He said that he did not see how they could run them longer and save money for did it for the same amount of money the Town was spending now. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 12 of 24 Mr. Salka, Mr. Fairchild and staff responded to a series of questions from the Council relative to this issue (costs, maintenance,proposed life span of hardware, valve replacement,etc.). Vice Mayor Dickey indicated interest in having additional research conducted regarding SRP rates as discussed as she was interested in the energy aspect. She noted that she worked with SRP and was aware of SRP's interest in energy savings and she would like to figure this out. At the request of Councilmember Schlum, Don Clark advised that when the pumps come on they maxed out at a little over 200 and then equal out to about 140. He said that they had been operating like that for years. He added that he was sure that Soft Start could help in some applications but that was why they brought Mr. Fairchild in, to answer those types of questions. He stated the opinion that Mr. Fairchild had presented a fair analysis. He said he had been taking care of the fountain since 1997 and he only remembered one major motor repair occurring at a cost between $14,000 and $19,000 (a leak had sprung and shorted out the motor). Their focus had been on the valves because that was where most of the costs come from. They were currently in the process of changing those out and one of the big valves would be changed out in January of 2008 and they would like to change out the other two and that would last them another 30 to 40 years and allow the Town's icon to remain running. He added that the electrical panels had been looked at and although the equipment was old, it still worked, and they had the ability to replace most of the circuitry should anything go out on it. He noted that they did have someone coming in next year to have someone take a look at it to make sure everything works fine. Mayor Nichols thanked Mr. Clark for his input. Councilmember Leger commented that the agenda item was written to state that the Council would give possible direction to staff and they were looking at a $75,000 to $85,000 expense that had not been budgeted for. He added that from what he had heard from the consultant, the Council's comments and staff this evening, he was ready to make a motion. Councilmember Leger said that he would like to direct staff to get SRP involved and do some metering so they could determine the costs associated with running the pump. He noted that based on their history, valves had been the issue and he believed they should be looked at as well. He asked whether anyone like to like add something to the motion. Councilmember Dickey commented that they were being prudent but when they talked about economic development investments and attracting people to Town and Tourism, she believed Mr. Scarpetti's proposal of running the fountain higher and/or for longer/different hours should be looked at. Councilmember Kehe requested that data be provided to the Council relative to the return on investment on a surge suppressor. Councilmember Leger MOVED to provide staff with direction relative to engaging in a meter study, an ROI study, and to look at alternative valve technology and Councilmember Schlum SECONDED the motion, which CARRIED UNANIMOUSLY by those present(6-0). (Mayor Nichols declared a brief recess at 8:50 p.m. and the meeting resumed at 9:00 p.m.) AGENDA ITEM #11 — CONSIDERATION OF APPROVING AN ENGINEERING AGREEMENT WITH EPS GROUP, INC. FOR DESIGN OF A SIDEWALK ON FOUNTAIN HILLS BOULEVARD FROM FAYETTE DRIVE TO THE FOUNTAIN HILLS UNIFIED SCHOOL DISTRICT#98 MIDDLE SCHOOL IN THE AMOUNT OF$89,933.00. Civil Engineer Larry Woodlan addressed the Council relative to this agenda item and advised that back in 2004 the Town of Fountain Hills applied for a grant to provide sidewalks along Fountain Hills Boulevard to the z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 13 of 24 Middle School. A large number of students walk along the bike lane and the edge of the roadway without a sidewalk to that site. He stated that the project involved approximately 3600 lineal feet of 8' sidewalks on the east side of Fountain Hills Boulevard from Fayette Drive to the Middle School. There were missing sections of sidewalk and an 8' sidewalk on the west side of Fountain Hills Boulevard from Oxford Drive to Glenbrook Boulevard. The sidewalk and curb ramps would be designed according to the Americans with Disabilities Act (ADA). Mr. Woodlan stated that the Town was awarded a Congestion Mitigation Air Quality grant from the Maricopa County Association of Governments in the amount of$354,200 and the project cost estimate was $853,091. He added that the project addresses a critical lack of sidewalks along an arterial roadway (and a Road of Regional Significance) and a major pedestrian route — the only route to the Fountain Hills Middle School. Sidewalks would encourage students to walk to school, leading to a reduction in the large number of student drop-offs and pick-ups by parents and the associated congestion and engine-running waiting time, thereby improving air quality. Mr. Woodlan said that the project's primary benefit was safety to pedestrians and there would also be a benefit to bicyclists who would no longer share the existing on-street bike lane with pedestrians. Retired adults (using the Town's few sidewalks for exercise walking) were the second most common walkers after students. These sidewalks would provide a concrete walking surface and handicap-accessible ramps reducing the fall risk from existing uneven dirt paths in front of the existing commercial, multi-family and church facilities in addition to reducing traffic accident hazards associated with walking in the existing bike lanes adjacent to the traffic. Discussion ensued relative to the fact that one of the first steps in the process was the selection of a design team for the project and noted that according to ARS requirements, the Town followed the process and selected eps group, Inc. to perform the work based on their qualifications; meetings that were held with the Arizona Department of Transportation's local government section, eps group, Inc., MAG and the Town; the fact that the grant was administered by ADOT; the design, environmental, geotechnical data was reviewed by ADOT and must conform to ADOT requirements during the design phase; ADOT would administer the project after the ,44) design was completed, including bidding the project,construction administration,and close of the construction. Mr. Woodlan reported that the cost of the design services negotiated with eps group, Inc. for the entire project was $200,591. The design services would be performed in two fiscal years as outlined in staff's report. An agreement had been prepared for Phase I with eps group, Inc. in the amount of$89,833. The Town had$90,000 budgeted for this project in Fiscal Year 2007-08. An amendment to the agreement would be prepared for the balance of the design services if the Town budgets the balance of the design services in the amount of$110,758 in Fiscal Year 2008-09. Mr. Woodlan stated that staff recommended entering into the agreement with eps group, Inc. for the Fountain Hills Boulevard Sidewalk between Fayette Drive and the Middle School in the amount of$89,833. Councilmember Schlum MOVED to approve entering into an agreement with eps group, Inc. for the design of the sidewalk and Vice Mayor Dickey SECONDED the motion. There was no discussion among the Council and no citizens wishing to speak on this item. The motion CARRIED UNANIMOUSLY by those present(6-0). AGENDA ITEM #12 — CONSIDERATION OF RESOLUTION 2007-52, ENDORSING THE FOUNTAIN HILLS SANITARY DISTRICT ANNEXATION OF A PORTION OF THE FORMER STATE LAND PROPERTY. Interim Town Manager Kate Zanon addressed the Council relative to this agenda item and stated that the Fountain Hills Investment Company, an affiliate of the Ellman Companies, had requested consent of the annexation of property referred to as the State Trust Land into the Fountain Hills Sanitary District. Before they z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 14 of 24 could make application, they were required to obtain Council approval. Staff consulted with Ron Huber, General Manager of the Sanitary District, and he said that once the application came in the Board would 468, consider it. She noted that several members of the Ellman Company were in the audience and willing to respond to any questions from the Council. Councilmember Leger MOVED to approve Resolution 2007-52 and Vice Mayor Dickey SECONDED the motion. There was no discussion among the Council and no citizens wishing to speak on this item. The motion CARRIED UNANIMOUSLY by those present(6-0). AGENDA ITEM #13 — CONSIDERATION OF A PROPOSED LICENSE AGREEMENT WITH MCO FOR TEMPORARY ACCESS TO THE MCDOWELL MOUNTAIN PRESERVE. Mr. Mayer addressed the Council relative to this agenda item and noted that an earlier discussion relative to this issue took place during the Executive Session. He said that staff distributed to the Council copies of an agreement that the Town Attorney had put together for their consideration and he would speak to that agreement. Mr. McGuire addressed the Council and said that this process had been a difficult one and staff had worked diligently with MCO Properties in that regard. He said that the proposal before them this evening constituted a "95% agreement" — they had reached agreement on all but a few remaining issues including indemnity of insurance. He said that the Town's insurance carrier was comfortable with the agreement staff had prepared but was not comfortable with MCO's proposal relative to this issue. He added that staff had put their best effort into this matter and at this point they were presenting the Council with what they feel was the best proposal they could recommend the Town move forward with. He said that if MCO would like to discuss additional points,he would suggest that the matter be continued to another time. Councilmember Kehe MOVED to approve the license agreement currently before the Council and Councilmember Schlum SECONDED the motion. Councilmember Kehe provided background information relative to this agenda item for the benefit of the public and noted that access was connected to the development of Adero Canyon, which the developer decided to hold off on and instead developed Eagle's Nest. He said that they were now here six years later after spending $16 million into the Preserve without general access. He noted that the quest to obtain at least general access began in August 2006 and after examining other possibilities to gain temporary access into the Preserve, which was in effect an island, they were able to enter into a "handshake agreement" on May 2, 2007 with MCO Properties. Since that time, there had been a series of delays that had been largely associated with the developer wanting "add ons." First they wanted to add a Community Facilities District(tying it into granting the Town access) and second they wanted a cut waiver. Now the third and fourth issues involve indemnity and supervision. He added that the Town was being told by officials at MCO that they wanted to get this done and were anxious to have a good working relationship with the Town but the Council had become frustrated time after time by how slow the development was progressing. Councilmember Kehe advised that Town Attorney Andrew McGuire had prepared an agreement that he could recommend and the Town's insurers could recommend and he requested that his colleagues on the Council sign the agreement and they would then in effect "put the ball in MCO's corner." He added that he hoped they would recognize that this was a golden opportunity to develop a better relationship with the community of Fountain Hills and would not"let it go down the drain." Councilmember Archambault commented that in the Development Agreement that got them the acreage for the Preserve and formulated Eagle's Nest and what was called Adero Canyon, there was an agreement that if either one of those developments were to happen,the road had to get built. They let MCO out of that agreement on the z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 15 of 24 assumption that they would come back and help the Town out with that situation. They in fact had handed MCO a gift. Vice Mayor Dickey said that she did not understand why they were going with the alternative trail but advised ,1114) that she supported the proposed agreement before them. Mayor Nichols stated that earlier this week Jeremy Hall from MCO reached out to him privately to see if they could strike a deal on the license agreement and he made a couple of suggestions for the Mayor to bring back to the Council and the Town Attorney. They found out that at least one of those ideas could not work, regarding security, and the other one having to do with liability was kind of"sketchy." He said that effort was made but they were not able to work it out. He added the opinion that at this point in time the best thing they could do would be to move ahead with the license agreement prepared by the Town Attorney. He said that it fits in with their liability profile and protected the Town from major losses. He added that one of the things he had a problem with was the fact that this was just a temporary deal; it would only be there for three years and they were going to pay$100,000 to put in a parking lot and build a trail and they would not have any physical asset at the end of that period. He said he even questioned doing the temporary measure but he knew that people wanted the access to go hiking and so he was willing to go along with the agreement and spend the$100,000 but he was not willing to put the Town in a liable situation. He added that entering into the proposed agreement represented his compromise. Councilmember Kehe stated that they had no reason to believe that the development of Adero Canyon was going to take place in three years. There were no time assurances. He noted that development was not good right now and at this point in time to think that a massive development was going to take place in Town was questionable. Vice Mayor Dickey asked if the funds for this would come from development fees and Mr. Mayer confirmed that funds were currently budgeted for this year under Open Space. The Vice Mayor commented that development fees were for use for a period of 6 years and were a little bit of a"use it or lose it"issue and she did not want to fight that battle (using development fees after 6 years) later if someone decided to challenge that. She added that while she understood what the Mayor was saying and the fact that on the surface it looked like that they had monies in place that could only be used for this purpose. She agreed that uncertainty existed regarding when actual development would take place. Councilmember Schlum commented they were in a tough spot but he believed that this was a decent solution. Ms. Bender advised that two citizens wish to speak on this issue. Roy Kinsey, 17120 E. Fairway Court, addressed the Council and thanked the Council and the Town Attorney for their efforts. He said that he was confident that if the project could move forward the trail could be built and the cost would come in under$100,000. Vince Marsella, 15647 Cerro Alta Drive, addressed the Council and stated that when Mr. Kinsey previously spoke on this matter, he was hard pressed to come up with even ten people who would be using the trail. He added that it would not be a hiking adventure for bus loads of people because of the steep slopes. He questioned whether they really wanted to spend this amount of money to accommodate ten people and expressed the opinion that they should put off doing this and just enjoy the beauty of the mountain. He said that he did not believe it was a good investment at this point in time. Mayor Nichols thanked the speakers for their comments. Vice Mayor Dickey noted that monies had been set aside for this use and they would not be allowed to use it for another purpose. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 16 of 24 There being no further comments, the Mayor called for a vote on the motion. The motion CARRIED UNANIMOUSLY by those present(6-0). AGENDA ITEM #14 — PRESENTATION BY THE STRATEGIC PLANNING ADVISORY COMMISSION ON REVENUE SHORTFALL SOLUTIONS WITH DISCUSSION AND POSSIBLE DIRECTION TO STAFF. Ms. Zanon addressed the Council and noted that in early 2007, the Town's Strategic Planning Advisory Commission (SPAC) took on the role of looking at revenue solutions for the Town and created a subcommittee that put a plan in place. The plan included a revenue enhancement analysis, the creation of a Blue Ribbon Resident Committee as well as public surveys. This evening the Council would hear a report on the Commission's findings based on the community's input. Jerry Butler, representing the SPAC, addressed the Council and said that the report tonight included recommendations based on the conclusions of a citizen driven process. He emphasized that this was not a staff report it was entirely based on citizen input. He highlighted a presentation for the Council (a complete copy on file in the office of the Town Clerk) and reviewed the contents of the 2005 Strategic Plan. He noted that the Plan states, "that the Town Council would resolve the Town's projected long-term revenue shortfall by December 31, 2007" by taking action such as calling an election for voters to decide whether to levy a primary property tax or increasing various sales tax rates. The projected shortfall was caused by a reduction in construction-related revenues as the Town nears build out. Without action,budget deficits were estimated to begin in nine to thirteen years. The residents who participated in the Strategic Planning process asked that stable and sustainable revenue sources be identified. Mr. Butler advised that on May 8th the Revenue Solutions Team first met and on September 24th it expanded and the first Community Focus Group meeting was held. He noted that all of the members were volunteers and thanked them for their hard work. He also requested that they stand and be recognized. He added that Charlotte Ilkaw and Image Weavers also played an important part in the Community Focus Group. When they started the process they had 25 members and they lost several because timing for meetings was not conducive to their schedules and when the process was completed they ended up with 20 people and they tried to make sure that they represented a cross section of the community. Mr. Butler stated that they created a Charter for the group and centered around two objectives: 1) To present recommendations to the Town Council to resolve the revenue shortfall based on: • Providing the best estimates of what the shortfall would be and when it would occur • Researching solutions implemented by other municipalities in similar circumstances • Examining different scenarios based on demographics and socio-economic trends • Developing potential solutions, including innovative and practical thinking ideas • Summarizing the community's willingness to adopt the proposed solutions 2) To develop and oversee an implementation plan for the solutions agreed upon by the Council. Discussion ensued relative to the team's four-part examination process; the hiring of a consultant, T.L. Hocking & Associates, Municipal Finance Consultants; the filing of a Revenue Enhancement Report that contained several recommendations for community consideration; the fact that an overview of the Hocking Report was presented to the Focus Group based on six problem areas that were identified to hinder the Town's financial future; recommendations generated by the Focus Group that were published in a widely circulated "Strategic Plan Update" in early November; numerous articles that were published; the fact that information was taken to various clubs and organizations and presented at two Public Forums held on November 15th; the fact that a website was established that gave citizens an opportunity to submit concerns, comments and ideas; and the fact that in later November a random telephone survey was conducted by the ETC Institute to 400 residents to access z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 17 of 24 the community's overall understanding of the issues with the results reflecting how people felt at that particular moment based on available information. Mr. Butler advised that the following were the results of the telephone survey, Community Focus Group thoughts and recommendations from the SPAC: • Most people don't believe the community had a revenue problem— only 33% of survey respondents were concerned with the Town's financial stability • The knowledge and understanding of how a primary property tax was levied varies significantly — most people with whom the team had a dialogue misunderstood it in some way • There was a concern that Town expenditures today were not all worthwhile and that additional taxes, if raised, could be similarly used. In particular, the concern about the ability for future inflationary increases on a primary property was evident • This combination of lack of knowledge and trust results in the public's unwillingness to support a primary tax at this time as shown by the survey and backed by qualitative inputs during the presentations and forums • There was some level of support for a stormwater utility although the preference shown for it could result from a default position in opposition to a primary property tax. Mr. Butler informed the Council that the following were the recommendations developed by the SPAC: • Immediately develop a detailed three-year financial forecast that shows the following: 1) Sales tax revenues and trends 2) State-shared revenues and trends 3) Reserve accounts and trends 4) General Fund operating costs and trends 5) Identify sources of funds available for key infrastructure needs vs. costs (such as roads and building depreciation offsets) • Immediately develop and implement a series of actions designed to show that all efforts had been made to reduce the amount of revenue needed to be raised through a primary property tax. (Actions speak louder than words.) 1) Implement cost saving areas and establish spending guidelines that reflect the deteriorating financial situation 2) Implement an Economic Development Program(with input from the Business Vitality Team) 3) Put on hold all major investments outlined in the Strategic Plan 3-5 Year Priori ties • Enhance revenues to reduce the volatility of existing sources 1) Acquire resources to assure maximum collection of retail sales taxes, residential rental sales taxes and business licenses 2) Increase development and permit fees 3) Increase"bed tax" on hotels/resorts 4) Increase the coverage allowance for Rq-43 lots from 15% to 20% 5) Establish a stormwater environmental utility (including a comprehensive public involvement component) 6) Levy a primary property tax at the rate of$1 per $100 assessed value and eliminate the sales tax on groceries when revenue from the property tax begins generating revenue for the Town • Adjust current reserve management policies. Put all construction sales tax revenues and revenues in excess of operating expenses in the General Fund Reserve rather than the Capital Fund Reserve to begin building a Rainy Day Fund z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 18 of 24 • Include in future Town budgets a brief citizen understandable overview (250 pages were too overwhelming to digest and create mistrust). Mr. Butler stated that in summary achieving financial stability was a complex issue that would not be resolved by any single action but would only come about through implementing a series of actions covering: • Conserving operating costs and capital spending to essential items. Citizens did not believe this was occurring today • Maximizing current sources of revenues. Residents believe more revenue could be realized from current sources • Implementing a Business Vitality Plan. The community appears to be supportive of rezoning to expand business opportunities Downtown and along Shea Boulevard. • Communicating actions and involving the public. The communication program conducted thus far only scratched the surface of what needs to be done. Mr. Butler emphasized that revenue shortfalls necessitate that a primary property tax be approved by the community in May 2008 for approximately $5 million. He urged the Council, on behalf of the citizens who generated the report,to adopt the recommendations as presented. Mayor Nichols thanked Mr. Butler for his informative presentation. He said that the Town was not in financial difficulties today; they had financial reserves set up and their financial bond rating was not in jeopardy like it was in 2003. There was no reason to panic about the situation; they were not on the verge of bankruptcy as some people had said. The Town's financial position had improved over the last five years. They asked the Blue Ribbon Committee to look into the future to assess whether or not they would ultimately encounter financial difficulties and they had determined that the Town would face that challenge in the future. They were asked to come up with potential solutions and the Committee had done a good job and accomplished what they were asked to accomplish. He added, however, that the Council needed some time to digest the report. This was the first time they had heard the report and to ask them to take action this evening and approve the recommendations did not give the Council sufficient time to really digest the information. He added that the Council also wanted to hear what the public thought about the results of the study and the proposed recommendations. He noted that this was also the first time staff had heard the report and said that this evening would not be the appropriate time to ask questions of staff relative to the report because they had not had time to digest the information either. Mayor Nichols advised that his general reaction was that there was no rush to initiate a ballot measure for a property tax this year; they were not in a financial crisis at this moment. They needed to determine what the right thing to do was and interface that with other revenue sources. He said that the Council and staff now had a lot of work to do and he would be looking to hold a Work Study Session later on this month to further consider the information. He emphasized that the group had done a wonderful job identifying the problems but said that it would be premature for the Council to take any action this evening. Mr. Butler commented that he did not say that the recommendations should be adopted tonight and said at some point, and he did not have the answer, before an initiative could be placed on a ballot a minimum time period comes into play and he was not sure exactly what that process timeline was at this time. He said that the focus group would support the Mayor's comments relative to the fact that the Town did not have financial problems right now. There were some reserves that they could draw on but what they were fearful of was that if this was put off another year the problems were only going to increase and become more evident. He added that at least now they had people talking about it and said they believed that with the fast changes that were occurring in the economy today and with all the down turns that were being experienced, the attention would be easy to get. The Focus Group had talked about postponing this another year and the conclusion was that if they did people would not pay any more attention to the issues until next year arrives and push goes to shove. He said that people take more interest in a subject when it comes time to make a decision. He reiterated that the Mayor was correct; the Town was not destitute right now but the intent was to keep it solvent in the future. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 19 of 24 • Mayor Nichols said that Mr. Butler made mention of the fact that some of the Town's revenue sources were falling short right now and added that that was a fact. He stated that they also had to take a look at what was happening with expenses and they were also being cut back at the same time. He reported that the State was *440 going to have a deficit this year of $800 million and next year they were forecasting a $1 billion deficit. He commented that he believed they were looking at a revenue restructuring and part of that was a reduction in sales tax but adding a property tax. He stressed the fact that the current system was not fair and equitable to the full time Town residents who were bearing the full burden of public safety. The property owners and the part- time residents were not paying for public safety and they need to pay their fair share as well. Ms. Bender advised that there were four citizens wishing to speak on this agenda item and the Mayor asked them to come forward as their names were called. Hugh Henry, 15731 E. Sycamore, addressed the Council and said that he had been collecting signatures along with 20 other people (like a Prop. 13 in California) and he had received a lot of input from them as far as the Town's finances and,in particular, whether a property tax was really needed. He said that concerns did exist but there were also positives taking place, including the fact that the former Town Manager was no longer in his position. He stated that he would continue to collect signatures and was willing to share the information he obtains with the Council and/or staff. He recommended that the Council defer the issue of a property tax until a later time and stated the opinion that the economy would come back. John Wyman, 16905 E. Jacklin, addressed the Council, discussed eventual build out and loss of revenue and indicated support for the placement of a property tax on a ballot as soon as possible. Jim Judge, 11009 N. Regency Place, addressed the Council and said that the people he had spoken with suggest that the Council postpone making decisions on this issue until a new Town Manager was in place and has had an opportunity to consider other alternatives to adjust the shortfall. He commended the members of the SPAC for all of their hard work but added that if the citizens were going to have the final say on this matter then they needed to have all of the information upon which to base their decisions. He stated that tonight they heard that the survey really didn't mean anything and asked if the results indicated that the citizens wanted a property tax, would they still be questioning the survey's results. He said that if they really did not want citizen input, they should not ask for it but if they did ask for it, then they should be ready to move on what they heard. Tom Jensen, 16833 E. Kingstree, addressed the Council and suggested that the Council consider implementing a property tax with a homestead credit of 95% for the homes in Fountain Hills' residents. This would allow the seasonal residents to help pay for the services they receive in the Town when they were here. He said that he would personally like any property tax approved by the voters to be segregated and used solely for some specific purpose such as the maintenance of Town infrastructure, parks, streets, etc. rather than just going into the General Fund. Mayor Nichols thanked the speakers for their comments. Vice Mayor Dickey thanked the members of the SPAC for their excellent work and information. She said that they had been aware that problems were looming in the future thanks to the work that also went into the Financing the Future and Strategic Planning processes. She commented that the Town had borders and so funding could not continue to come from new development. She added the opinion that a property tax was a rational, fair way in which to proceed. The Vice Mayor said that additional information was necessary before a decision of this magnitude could be made and stressed the importance of public input. Councilmember Archambault also thanked the SPAC for their efforts and the wealth of information they accumulated and shared. He commented the Hocking Report affirmed the fact that they were running the Town as efficiently as they could and affirmed too that Fountain Hills was one of the most efficient Towns in the area. He said that although they were feeling the"pinch,"they were not feeling it as bad as some of the other towns or z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 20 of 24 the State. He said that if a property tax was put on the ballot and voted in, it was a one-time shot. It did not go up and you could not go back to the voters again and say it needed to be increased. It could only go up 2% a year if they decided to do that. The tax would be a fixed amount based on the assessed valuation. He agreed that this issue should be the topic of discussion at a Work Study Session as well as a Council meeting in the near future(sole topic on the agenda). Councilmember Kehe asked Mr. McGuire what the "drop dead date" was for placing an item on the May 2008 ballot. Mr. McGuire responded that staff had calculated the date and the County required notification by January 18, 2008 so a decision would have to be made by the January 17th Council meeting. Councilmember Kehe commented that the 2% increase a year(potential) applied to the levy but it did not mean than an individual would experience any increase at all particularly if their property values go up as a result of homes being built. The total assessed value of the community divided into the need would determine the tax. He said that in December 2005, the Council adopted a 5-Year Strategic Plan and a foundation of that plan was to ensure the future financial health of the Town in light of an impending shortfall and downfall in construction related revenue. He stated that the Council and citizens wanted to be proactive regarding this issue. He added that a year ago a study was done on this and they did not reach a conclusion because they did not feel that they had obtained all of the necessary information. During the past month, the Strategic Plan Advisory Commission had learned from the Hocking Report that the problem was more extensive and more immediate than originally thought. He said that the SPAC had presented a plan to address the critical issues and unfortunately for a lot of people one of the recommendations was the implementation of a property tax. He commented that no one likes to tax themselves so to him it was not really surprising that 47% of the residents did not favor a property tax. He added that he tended to look at the glass being half full because 53% of those interviewed responded either in strong support of one or were undecided. Councilmember Kehe said that if the Council should choose to set a ballot for a property tax, they would have five months in which to implement a concentrated public information program. He added that he agreed with Le Mr. Butler that given the correct information many citizens would support such a proposal. He added that the SPAC had presented reputable recommendations and expressed the opinion that if the citizens understood the issue they would support the property tax on a ballot. He urged all citizens to give this matter a lot of thought and to learn as much as they could about this two-year old issue. Councilmember Leger stated that he was "on board" with taking the SPAC's recommendations under advisement and moving it into a Work Study Session as soon as possible in order to make a decision by the deadline date. He added that he was favor of looking at a revenue enhancement package but at this point he could not say exactly what that was. He said that he was a representative of the citizens in the Town and was not convinced that the citizens had the will to pass a property tax the way it had been structured. He added that previous property tax efforts had failed and he was not sure that an education program would change that outcome. He said that he had more faith in the survey and it was really all about the will of the citizens and in the end they would be the ones who made the decision. He stated that even when the Town's Finance Director she found that there was significant room for managing capital projects and how they managed pavement. The Pavement Management Study indicated that a lot of roads were deteriorating and a lot of roads needing improvement but the work could be done over time and although the time frame had been compressed, they did a great job and those were the types of choices that had to be made. He asked whether they should compress this issue in a shorter time period or manage it over 20 years. He said that he was not an economist but he did invest and understood long-term investing and things were cyclical. He stated that it was going to get worse before it got better but again it was cyclical. He reiterated his appreciation to the SPAC for their hard work and recommendations. He added that he added up all of the SPAC's recommendations and determined that if they did them over the next 20 years he came up with $160 million and $180 million and that placed a lot of burden on the community. That led him to believe that they could certainly take a look at what the SPAC had put before them and come up with a restructured revenue enhancement package. He said that he would support a motion to take this issue to a Work Study Session and take all that had been presented this evening under advisement, meeting as soon as possible and coming up with a revenue enhancement package. Part of that z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 21 of 24 agreement would be to direct the Town's very competent staff to "drill down" every one of the recommendations to see what the monetary impact of those were and what the domino effect they had on another. He said that he thought, for example, that the hotel tax was a great idea and they were currently at 3% and so was Scottsdale. He asked whether they wanted to increase it, as recommended in the Hocking Report,by Nii) 5/10ths of a percentage point and be higher than Scottsdale. He added that the Town's sales tax rate was higher than any other community and they want to lower that and although he was not questioning that he was suggesting that they needed to "drill down" and get some answers to questions. He said that beyond the Work Study Session, if more time was needed they could always schedule a Special Session to give this issue the time and consideration it deserves. Councilmember Schlum noted that after all the work that had been done by the SPAC and the Subcommittee there were more questions now. He thanked the SPAC for their terrific work and said they had uncovered a vast amount of information and their recommendations would be strongly pondered. He added that they would be looking to the SPAC as they move forward with this issue. He also commended the Mayor for his forward thinking. Councilmember Archambault MOVED to move this discussion to the next Work Study Session on January 8, 2008 and added that he would also like Ms. Ghetti to bring the Council updated information on what the Town's budgets would look like for the next three years. Councilmember Schlum SECONDED the motion. Vice Mayor Dickey stated that the January 8th Work Study was scheduled to address the Environmental Policy Work Group and she would be open to having the Work Study at any other time to address the current issue. Councilmember Kehe MOVED to amend the motion to direct that an Ad Hoc Committee of three voting members of the Town Council, two voting members of the SPAC and the Interim Town Manager(serving as the resource person) meet forthwith and as many times as necessary prior to the January 17th deadline date and refine the recommendations of the SPAC for a presentation to the full Council on January 17t`'. Councilmember Dickey SECONDED the motion. Councilmember Kehe said that he would like to see a small group, as suggested, work together on the points that Councilmember Leger brought forth so that they would have some "meat" to work on rather than just throw ideas out. He added that this would help the Council make a decision. Councilmember Archambault stated that he would not support amending the motion and stated that it would be the Council's decision to move on this, not an Ad Hoc Committee's. He added that the Council must sit down and go through this report, which was what he planned to do at the Work Study Session so they could all come to a consensus and move forward. Councilmember Leger commented that the SPAC and the Blue Ribbon Committee had done their work and a tremendous job and the ball was now in the Council's court. They needed to schedule time to do this and make decisions. He added that he believed staff could "drill down" on the information provided this evening and provide the Council with information upon which to base decisions. He said that the motion should be to take the recommendations under advisement and direct staff to research the impact of each of the recommendations, bring them back to the Work Study on the 8th or another date where the Council could begin building a revenue enhancement package and determine through that process whether or not to go to ballot. He said that he believed in high involvement leadership and the ball was now in the Council's court. The Mayor called for a vote on the amended motion. The motion FAILED by majority vote of those present(1-5) with Councilmember Kehe voting Aye. The Mayor called for a vote on the main motion. A roll call vote was taken with the following results: z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 22 of 24 Councilmember Archambault Aye Councilmember Schlum Aye Councilmember Kehe Nay, because he did not believe they were following the correct process Niriv Councilmember Leger Aye Vice Mayor Dickey Aye Mayor Nichols Aye The motion CARRIED by majority vote of those present(5-1). Mayor Nichols stated that this issue would be further discussed at the Work Study Session and reiterated his appreciation to everyone involved in this process. He urged the members of the Council to get all of the questions and input to Ms. Ghetti as soon as possible. Mayor Nichols asked Charlotte on his behalf to present the members of the Business Solutions Group with a recognition package to thank them for their hard work on behalf of the entire community (a plaque and a crystal ball). He expressed the Council's heartfelt thanks for their volunteerism. AGENDA ITEM #15 — PROGRESS REPORT ON THE ESTABLISHED ITEMS OF COUNCIL BUSINESS: A. DEVELOPMENT FEES ADJDUSTMENT B. DOWNTOWN DEVELOPOMENT AGREEMENT/C-2 ZONING TO TCCD C. ENVIRONMENTAL POLICY D. GENERAL ACCESS TO THE MOUNTAIN PRESERVE E. PREPARING A SOUND TOWN FINANCIAL FUTURE F. STATE TRUST LAND/ELLMAN DEVELOPMENT AGREEMENT G. TOWN HALL WATER FEATURE AT AVENUE OF THE FOUNTAINS AND LA MONTANA DRIVE H. TRAFFIC CONTROL AT AVENUE OF THE FOUNTAINS AND SAGUARO Mayor Nichols recommended that this item be postponed to the next meeting and the Council concurred unanimously. Councilmember Archambault MOVED to postpone as suggested and Councilmember Leger SECONDED the motion, which CARRIED UNANIMOUSLY by those present (6-0). AGENDA ITEM#16—SUMMARY OF COUNCIL REQUESTS BY TOWN MANAGER. Ms. Zanon stated that she would work on Agenda Item#9 and look at parking on Hampstead and bring back to the Council some solutions if an issue exists. She would also look into the fencing issue at the Ashbrook wash and posting of hours. Under Agenda Item#10, she would direct SRP to do some more metering of Fountain Park and look more into the valves and whether there would be any economic benefit from running the Fountain longer. They would also look for data to see what the return on investment would be from surge protection. z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 23 of 24 Mayor Nichols stated that Ms. Zanon was also going determine whether she could present her monthly report in a different manner. Ms. Zanon advised that the report currently goes into the Council's packet so she was collecting information that was approximately 7 to 8 days old by the time they get to the Council meeting so she wanted to ask the Council if this was sufficient or if they would rather another option. She said that they could receive the report the day before the meeting so it would be as current as possible. The Mayor said that he would prefer receiving more current information and the Council concurred. AGENDA ITEM #17- COUNCIL DISCUSSION/DIRECTION TO THE TOWN MANAGER. ITEMS LISTED BELOW ARE RELATED ONLY TO THE PROPRIETY OF (i) PLACING SUCH ITEMS ON A FUTURE AGENDA FOR ACTION OR (ii) DIRECTING STAFF TO CONDUCT FURTHER RESEARCH AND REPORT BACK TO THE COUNCIL: NONE. AGENDA ITEM#18—ADJOURNMENT. Councilmember Leger MOVED that the Council adjourn and Councilmember Archambault SECONDED the motion, which CARRIED UNANIMOUSLY by those present (6-0). The meeting adjourned at 10:55 p.m. TOWN OF FOU N HILLS By Wall ich , ayor ATTEST AND PREPARED BY: Bevelyn J. end , Town Clerk CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Executive and Regular Session held by the Town Council of Fountain Hills on the 20th day of December 2007. I further certify that the meeting was duly called and that a quorum was present. DATED this 3rd day of January 2008. Bevelyn J. e er, Town Clerk 11111) z:\council packets\2008\1-3-08\12-20-07 minutes.doc Page 24 of 24