HomeMy WebLinkAbout12/11/2007 Special Council Meeting MinutesMINUTES OF SPECIAL SESSION COUNCIL MEETING
MARANA MUNICIPAL COMPLEX
DATE: December 11, 2007
PLACE AND DATE
Marana Municipal Complex
A. CALL TO ORDER AND ROLL CALL
By Mayor Honea at 6:00 p.m.
COUNCIL
Ed Honea Mayor
Herb Kai Vice Mayor
Russell Clanagan Council Member
Patti Comerford Council Member
Tim Escobedo Council Member
Carol McGorray Council Member
Roxanne Ziegler Council Member
STAFF
Mike Reuwsaat Town Manager
Gilbert Davidson Deputy Town Manager
Deb Thalasitis Assistant Town Manager
Frank Cassidy Town Attorney
Jocelyn Bronson Town Clerk
Present
Present
Present
Present
Excused
Present (arrived at 6:15 pm)
Present
Present
Present
Present
Present
Present
B. PLEDGE OF ALLEGIANCE AND INVOCATIONIMOMENT OF SILENCE
Mayor Honea gave the invocation.
C. APPROVAL OF AGENDA
Motion: Approve, Moved by Council Member Roxanne Ziegler, Seconded by rice Mayor
Herb Kai.
D. CALL TO THE PUBLIC
David Morales addressed Council regarding tax value and increasing Council salaries.
E. PRESENTATIONS
ANNOUNCEMENTS/UPDATES -
PROCLAMATIONS -
F. MAYOR AND COUNCIL REPORTS: SUMMARY OF CURRENT EVENTS
G. MANAGER'S REPORT: SUMMARY OF CURRENT EVENTS
H. STAFF REPORTS
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MINUTES OF SPECIAL SESSION COUNCIL MEETING
MARANA MUNICIPAL COMPLEX
DATE: December 11, 2007
GENERAL ORDER OF BUSINESS
1. CONSENT AGENDA
J. COUNCIL ACTION
1. Resolution No. 2007-221: Ordering and declaring formation of the Gladden Farms
(Phase 11) Community Facilities District; approving and authorizing the execution and
delivery of a District Development, Financing Participation and Intergovernmental
Agreement (Gladden Farms (Phase 11) Community Facilities District)
Erik Montague addressed Council regarding Gladden Farms CFD 11 recommending
approval and authorization of the execution and delivery of the district development
financing participation and intergovernmental agreement. He stated that this particular
facilities district is for the second facilities district within Gladden, which will be a legally
separate entity. By separate Resolution, Mr. Montague stated that the CFD Board if it is
so established will set or call the formal election to authorize up to a total of $60 million
in general obligation debt to be issued over the life of the CFD. He stated that within
these formation documents it is anticipated, consistent with other CFD's within the Town,
that there will be a maximum secondary assessed rate of $2.80, which comprise $2.50 for
debt service and $0.30 for 0 & M. The developer has submitted the fully executed
petition as required within statute as well as contributing all appropriate fees within the
application submittal phase.
Motion: Approve, Moved by flice Mayor Herb Kai, Seconded by Council Member
Roxanne Ziegler.
2. Resolution No. 2007-222: Relating to Development; support of the relocation of the
existing Tangerine Road Interchange
Gilbert Davidson discussed the relocation of the existing Tangerine Road Interchange
over a two year period of time. Mr. Davidson stated that this will not be a new
interchange but a relocation of the existing interchange.
Motion: Approve, Moved by Council Member Russell Clanagan, Seconded by
Council Member Roxanne Ziegler.
3. Relating to Development; discussion and direction concerning entering into a proposed
retail tax incentive development agreement regarding the Marana Spectrum project
Frank Cassidy spoke regarding a retail tax incentive development agreement for the
Marana Spectrum project. He stated that the draft incentive agreement provides for a
retail tax incentive of $30 million over twenty years from the day of the agreement or
fifteen years from the opening of the interchange. Mr. Cassidy stated that it covers a little
over $17 million in public improvements and mitigation funding as well as interest on
that. Modifications to the agreement include making the $30 million a cap and to put in a
requirement that the finance director would do a calculation of interest based on the $17
million from the time those costs are incurred until the repayment occurs, not to exceed
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MINUTES OF SPECIAL SESSION COUNCIL MEETING
MARANA MUNICIPAL COMPLEX
DATE: December 11, 2007
$30 million. He also spoke of a discussion that may be considered which consists of
including a provision that states that if a business within Marana Spectrum has more than
one location in the Town of Marana, they have to separately account for the taxes paid
from the Marana Spectrum site.
Mayor Honea asked that someone from the development interest to give an overview of
the actual infrastructure improvements.
Michael Racy, 535 W. Urton Drive, addressed Council regarding the Spectrum project.
He stated that it is a 170 acre project and over 1.3 million square feet of retail space. This
will be the first full-scale lifestyle center to be developed in southern Arizona. It is a
combination of a fully integrated series of retail shops, restaurants, entertainment
facilities, movie theatre, hotel, large shaded walking areas, promenades, and more. He
stated that leasing for the site at this point is going very well, as they already have letters
of intent to sign. (Council Member McGorray arrived; 6:15 pm.) Mr. Racy stated that
the development agreement proposes to reimburse approximately $16 million in offsite
infrastructure. This infrastructure is made up of four general components, the largest
being drainage. This site needs to deal with off-site drainage from approximately a 2000-
acre watershed located to the northeast of the site, and proposes to channelize that flow
around the site. Subsurface channels constitute $7.6 million of the proposed $17 million
reimbursement and an additional $5 million in offsite roadways, $2.9 and $1 million in
additional regional sewer and water improvements, and $456,000 in an offsite
conservation land contribution that the property was making. Mr. Racy stated that by the
time the project is opened it will have already paid $4 million in construction sales tax to
the Town. He stated that the project pays off $8 million dollars in interest, for a total
repayment of $26 million.
Vice Mayor Kai asked for clarification on how the amount was calculated. Mr. Racy
explained that during the rezoning process the developer was approached and was
requested to make an offsite contribution. There was no regulatory requirement for any
mitigation contribution on this property but there was a small portion of land that was
shown as environmentally sensitive land. Mr. Racy stated that they had a biologist
consultant do an analysis based on what that portion would represent in mitigation land in
order to try to come up with a rational basis for a conservation land contribution absent of
formal regulatory structure. He stated that they took a per rooftop fee and imputed the
number of rooftops that could go onto the number of mitigation acres if rooftops were
going in. This was the only model that Mr. Racy stated that they used. He also stated
that they used a mitigation ratio of 2.3 to I and an imputed number of homes that would
go on that and multiplied by the rooftop fee. Mr. Racy also spoke briefly regarding the
types of shops that would be going into the project and stated that it looks like the project
will open with a high percentage of tenancy, as there are many who have already signed
letters of intent. He also stated that the project would not open in phases.
No action was taken on this item.
4. PUBLIC HEARING. Resolution No. 2007-219: Relating to Development; approving
and authorizing the 2007 Marana General Plan
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MINUTES OF SPECIAL SESSION COUNCIL MEETING
MARANA MUNICIPAL COMPLEX
DATE: December 11, 2007
Paul Popelka addressed council regarding the Marana General Plan. He addressed seven
basic issues: natural resources map - depicting wildlife corridors, washes and habitat
zones; land disturbance - targeting 30% as a land disturbance percentage; HCP language
- changing the verbiage from "adopted HCP" to "HCP as adopted"; Avra Valley-l- 10
land use - wildlife corridor connecting with the former underpass at 1- 10 and the
proposed industrial land use; Marana Airport land use - use south of the airport which
includes some residential areas; and La Osa Development - recommendation that the plan
area remain as is proposed. Mr. Popelka stated that the above issues were the issues that
were brought up at the previous meeting for discussion.
Michele Muench of State Land addressed Council expressing their support of the
Marana General Plan.
H. Pike Oliver of La Osa property 1121 W. Warner Road, Tempe, AZ, addressed
Council regarding two issues of the Marana General Plan. He stated that it is their view
that the planning for this large property would best occur under one jurisdiction. They
anticipate that there will be a significant open space and preservation area as well as
significant development areas in need for trade offs between various portions of the
property. He stated that the desire to work on the plan comprehensively would work best
under one jurisdiction. The concern of La Osa development is that there be no confusion
as far as possible future annexation is concerned. Mr. Oliver then addressed the second
issue of the plan - working with military agencies to preserve national defense missions
in the area. He stated that this relates not only to the Pinal Air Park but also Air Force
activities. He stated that La Osa has executed a memorandum of understanding with the
Air National Guard concerning their activities at Pinal Air Park. This will involve
restricting development substantially from the portions of the property that are westerly
of the Pinal Air Park area. The concern is development designation in the planning area
boundary exhibit with the land uses associated with the General Plan. This poses a
conflict with the memorandum executed with the Air National Guard. Mr. Oliver stated
that their understandings as to the Town's concerns of interest are Pinal Air Park
involvement and notification in planning affecting the future operations of that airport,
and taking a comprehensive look at future wastewater treatment potential facilities. Mr.
Oliver believes that that these two issues can be addressed without the need to expand the
Town's planning area. He requested that the Council consider modifying the planning
area to be adjacent to their property so as to avoid any confusion to jurisdictional matters
in the future.
David Morales addressed Council stating that annexations should stay close to I- 10 and
avoid flood areas, as well as consider houses versus sales tax.
Lori Lustig of SAHBA 2840 N. Country Club Road addressed Council supporting the
changes and recommendation that Town staff is proposing to Council.
Ryan Hurley of Rose Law Group, 6613 N. Scottsdale Road, addressed Council on
behalf of Walton International expressing their support and approval of the General Plan.
Carolyn Campbell of the Coalition for Sonoran Desert Protection addressed Council
stating that many of their concerns have been addressed since the last meeting but one
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MINUTES OF SPECIAL SESSION COUNCIL MEETING
MARANA MUNICIPAL COMPLEX
DATE: December 11, 2007
issue still remains: the wash network and what is portrayed in the General Plan. She
stated that the coalition had proposed and still argues that it is better for the General Plan
and planning document to have less washes with the riparian vegetation. Ms. Campbell
believes protecting the riparian vegetation is more important than having every wash on
the plan as development moves forward. She stated that it is their belief that it will be
more difficult to move forward with development and protect the washes if the wash
network is adopted as opposed to the riparian vegetation.
Mike Reuwsaat recommended an annual review of the General Plan amendments. The
Town is proposing a planning boundary which meets the Town of Eloy's planning boundary.
The Town's greatest concern is that it is in the process of looking at Pinal Air Park in that
area from a job-based standpoint. He stated that Pinal County has asked the Town to
consider extending its boundaries to include all of La Osa, not just a portion of it. Mr.
Reuwsaat recommended that the current map configuration be approved, with the
understanding that the Town needs to work with Pinal County, La Osa, and The Town of
Eloy to firm up what the boundary lines will be based upon who will actually look at and
annex that area and who will be reviewing and making the regulatory decisions. He also
stated that he believes that Mr. Oliver and La Osa's long term intent is the same as the
Town's. Mr. Reuwsaat also spoke regarding the proposed interchange at Linda Vista, as
well as projects with the Regional Transportation Authority with regards to the General Plan.
Mr. Oliver again addressed Council again suggesting changing the planning boundary to
exclude La Osa property until discussions with Eloy are under way.
Mayor Honea stated that La Osa has a much greater impact on Marana as it is only a
couple of miles from Town limits, whereas it is at least eighteen miles from Eloy's limits.
Mr. Oliver responded that the property is of interest to both jurisdictions.
Motion: Moved by Council Member Roxanne Ziegler, Seconded by Vice Mayor Herb
KaL Vote: Motion failed (summary: Yes = 2, No = 4, Abstain = 0). Vote: Motion failed
(summary: Yes = 2, No = 4, Abstain = 0). Yes: Council Member Roxanne Ziegler, Vice
Mayor Herb KaL No: Council Member Carol McGorray, Council Member Patti
Comerford, Council Member Russell Clanagan, Mayor Ed Honea. Absent. Council
Member Tim Escobedo.
Second Motion: Approve, Moved by Council Member Patti Comerford, Seconded by Council
Member Carol McGorray. Vote: Motion passed (summary: Yes = 4, No = 2, Abstain = 0).
Yes: Council Member Carol McGorray, Council Member Patti Comerford, Council Member
Russell Clanagan, Mayor Ed Honea. No: Council Member Roxanne Ziegler, Vice Mayor
Herb KaL Absent: Council Member Tim Escobedo
K. BOARDS, COMMISSIONS AND COMMITTEES
L. ITEMS FOR DISCUSSION/POSSIBLE ACTION
M. EXECUTIVE SESSIONS
Motion to go into executive session: Motion: Enter Closed Session, Moved by Council
Member Roxanne Ziegler, Seconded by Council Member Carol McGorray. Time 7.48 p.m
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MINUTES OF SPECIAL SESSION COUNCIL MEETING
MARANA MUNICIPAL COMPLEX
DATE: December 11, 2007
1. Executive Session pursuant to A.R.S. §38-431.03 (A)(3), Council may ask for
discussion or consultation for legal advice with the Town Attorney concerning any
matter listed on this agenda.
2. Executive Session pursuant to A.R.S. §38-431.03 (A)(4) and (7) to consider the
Town's position and instruct its representatives regarding negotiations for the
purchase of property rights needed for the Twin Peaks interchange project, CIP
number 2001-44, from the parcels of property generally identified as Pima County
Assessor's parcel numbers 226-15-010A, 226-08-0140, and 226-15-0130, and to
instruct the Town's attorneys in settlement negotiations and contemplated
condemnation proceedings relating to the same property rights.
3. Executive Session pursuant to A.R.S. §38-431.03(A)(3),(4),(6) and (7) for legal advice
with the Town Attorney concerning water rights issues and to consult with and
instruct the Town Attorney and the Town Manager concerning the 1979
intergovernmental agreement between the Town of Marana and Pima County
relating to sewer service within the Marana town limits and to direct the Town
Manager and Town Attorney with respect to that agreement (Frank Cassidy)
4. Executive session pursuant to A.R.S. § 38-431.03(A)(1) and (3) for discussion and
consultation with the Town's attorneys regarding legal implications and
procedures relating to the December 10, 2007 resignation of Marana Town Council
member Tim Escobedo (at the Council's option, all or part of the discussion and
legal advice relating to this item may occur in public session)
Council returned to the dais at 9:02 p.m.
Motion: Approve, Moved by Council Member Russell Clanagan, Seconded by Council
Member Roxanne Ziegler to direct the Town Clerk to advertisefor the vacancy on the
Council byposting an advertisement on the website and in the Marana Weekly News.
The application period will end January 18, 2008 at 5:00pm.
N. FUTURE AGENDA ITEMS
0. ADJOURNMENT
Motion: Adjourn, Moved by Council Member Patti Comerford, Seconded by Council
Member Russell Clanagan
CERTIFICATION
I hereby certify that the foregoing are the true and correct minutes of the Marana Town Council
meeting held on December 11, 2007. 1 further certify that a quq?%%111%pjesent.
,rvr Jocelyn C. Bronson, Town Clerk
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