HomeMy WebLinkAbout04/02/1996 Regular Council Meeting MinutesMARANA TOWN COUNCIL
APRIL 2, 1996
PLACE AND DATE
Marana Town Hall April 2, 1996
I. CALL TO ORDER
By Mayor Honea at 7:04 p.m.
II. PLEDGE OF ALLEGIANCE
Led by Mayor Honea
IH. INVOCATION
Led by Mayor Honea
IV. ROLL CALL
COUNCIL
Ed Honea
Sharon Price
Tom Clark
Ora Mae Harn
Sherry Millner
Herb Kal
Bobby Sutton Jr.
STAFF
Hurvie Davis
Dan Hochuli
Sandra Groseclose
Jerry Flannery
Dave After
Brad DeSpain
16 Members of the Public
Mayor
Vice-Mayor
Council Member
Council Member
Council Member
Council Member
Council Member
Town Manager
Town Attorney
Town Clerk
Planning Administrator
Town Engineer
Utilities Advisor
V. APPROVAL OF AGENDA
A motion was made by Ora Harn, seconded by Tom Clark and carried unanimously to
approve the Agenda as written.
VI. ACCEPTANCE OF MINUTES
A motion was made by Sharon Price, seconded by Tom Clark and carried unanimously to
approve the minutes of the Regular Council Meeting of March 19, 1996 and the Council Retreat
Minutes of March 15 and 16, 1996..
VII. CALL TO THE PUBLIC/ANNOUNCEMENTS
Jayme Kahle, Northwest Fire District: He wanted to let everybody know that the Northwest Fire
District now has a station that is open in the north section of Marana. The station is open 24 hours.
Ora Harn: The annual CDBG celebration will be held tomorrow at 2:30 pm at the E1 Pueblo
Neighborhood Center.
MARANA TOWN COUNCIL
APRIL 2, 996
Hurvie Davis: Mr. Davis announced that Jane Johnson, currently his executive assistant, has been
named the new Human Resources Director.
VIII. STAFF REPORTS
Staff reports are on file at Town Hall.
IX. GENERAL ORDER OF BUSINESS A. Consent Agenda
1. Resolution No. 96-31 and Ordinance No. 96.22 - Adoption ora proposed amendment to the
Town of Marana Personnel Policies relating to drug and alcohol testing of Town employees.
2. Ordinance No. 9S.21 - Karok Investments Ltd, 1-10 Extension of Zoning - Request to extend.
the expiration date of a Conditional Rezone granted by Pima County.
3. Ordinance No, 96-20; Krauss Thornydale Extension of Zoning - Request to extend the
expiration date of a Conditional Rezone granted by Pima County.
A motion was made by Bobby Sutton, Jr., seconded by Ora Harn and carried unanimously to
approve the Consent Agenda as written.
B. Public Hearing; Sliverbell/Linda Vista Road Annexation - Consideration and approval of an
annexation of 37 acres located south of the present Town limitst adjacent to the western
border of Silverbell Road in a portion of the N 1/2 of Section 20, Township 12 Southt Range 12
East~ G&~RB/kM~ Pima County, Arizona.
Hurvie Davis: This is a public heating for an annexation that we have under consideration. The
owner of the property, Ken Ryan, has been working on this matter with Jerry Flannery.
Jerry Flannery: Mr. Ryan wishes to develop the property with a subdivision. He is asking for a
cluster type subdivision through a rezoning process.
Ken Ryan, 3990 W Ironwood Hills: He would be happy to answer any questions that Council might
have on this matter.
Herb Kal: He would like to know how Mr. Ryan proposes to serve the area with water and sewer.
Ken Ryan: There is the treatment plant that is being built east of this project for Continental Ranch
and outlying areas. The water will be brought in from Silverbell Road south of our project.
Herb Kal: Who will be the supplier for the water?
Ken Ryan: Tucson Water.
Herb Kai: He would like Mr. Ryan to elaborate on thc cluster building plan.
Ken Ryan: The concept is 32 lots which would be in a semi-custom/custom format.
Dan Hochuli: State law is clear that the Town will annex thc property and transition the property to
the closest Pima County zone.
Hurvie Davis: We will allow Tucson Water to service this area until such time as the Town has its
own system in place and is able to serve the property. Any water infrastructure that is put in by this
developer would be turned over to the Town of Marana at no cost.
Herb Kai: He is very concerned about how water is served in that area.
Mayor Honea declared Council out of Public Hearing.
C. Resolution No. 96-32 - Application for Special Events License, requested by Carondelet
Health Care Corporation of Arizona for the Centurion's Annual Fund raiser in support of
Carondelet St. Mary's Hospital.
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Hurvie Davis: This is an application for a special events license for the Centurion's Annual Fund
Raiser to be held at the Sportspark.
Tony Melior, Centurion's Event Chairman: He would be happy to answer any questions that
Council may have.
Ora Harn: She would like to know how they are going to screen for under age drinking.
Tony Melior: The tickets all state that you must be at least 21 years of age to attend the event.
The Marana Police Department has agreed to provide security for the event. We will be glad to work
with them.
Bobby Sutton, Jr.: Will there be tents set up for concessions?
Tony Melior: We will have our own concessions set up. With Council's approval we will be hiring a
caterer for the food and we will be dealing with beer distributors in Town.
Bobby Sutton, Jr.: What is the theme this year?
Tony Melior: It is going to be an Olympic theme. This will be our 27th year for holding this event.
A motion was made by Bobby Sutton, Jr., seconded by Sharon Price and carried unanimously to
approve Resolution No. 96-32 approving the Special Events License request for Carondelet
Corporation of Arizona for May 11, 1996 at the Sports Park.
D. CalMat - Appeal to Council of decision to deny Ready-Mix Concrete Plant without an
amendment to the CalMat Specific Plan for the property located in W 1/2 of Section 6~
Township 12 South, Range 12 East.
Jerry Flannery: The CalMat Specb~c Plan was approved back in the late 1980's by the Town. It
covers about 494 acres. It presents three development phases. The first is the initial phase which
basically talks about resource extraction. The second is the transitional phase which allows for
resource extraction as well as some mixed uses to be followed to reclaim some of the properties. The
third and ultimate phase is the development phase. The land uses that are proposed to go into that
area would be fully reclaimed, complete with a full circulation plan. In Phase Three this property
would be used as a gateway to the Town of Marana. We have been working with CalMat since
they came in and submitted an electrical permit. It was processed and came to the
Planning Department. The Planning Department notified CaiMat that this project would need to go
through a Specific Plan Amendment. Their options were to appeal this decision or proceed with the
Specific Plan Amendment, .They requested an appeal. Tonight we have two options that have been
suggested. Either way, the Specific Plan needs to be amended. The choice is whether or not CalMat is
allowed to go ahead with the batch plant in conjunction with the Specific Plan to be amended. Staff
agrees, if Council so directs, that a Temporary Use Permit be submitted concurrently with a Specific
Plan Amendment. That way Staff can ensure that the Specific Plan is amended. The Temporary Use
Permit would be allowed in the time that the Specific Plan Amendment is being processed.
Hurvie Davis: He would like Mr. Flannery to explain where the plant is now and where it would be
relocated. Why does the plant need to be moved?
Jerry Flannery: Right now the batch plant is located off the frontage road, between Arizona
Portland Cement and CTI. They want to relocate this so they can centralize their facilities. This action
would eliminate some of their costs. They also feel that the Avra Valley on ramp is too steep for some
of their vehicles to use.
Herb Kal: If the Council were to grant a Temporary Use Permit to move the plant whileCalMat applied
for an amendment tothis Specific Plan, what if there were some hang ups? Would they have to move
the plant back?
MARANA TOWN COUNCIL
APRIL 2, 1996
Jerry Flannery: A Temporary Use Permit can be revoked at any time. The condition of accepting a
Temporary Use Permit would be that the Specific Plan be submitted concurrently. If there were any
problems along the line and Council so directed, Staff would come to Council and make a
presentation. We don't perceive any problems but we could revoke the permit at any time and CalMat
would have to remove the plant.
Mayor Honea: Is any of the Specific Plan in the flood way or is it in the flood plain entirely?
Jerry Flannery: The southern portion of the project would be considered to be in the flood way. Most
of the usable properties within the Specific Plan overall are in the flood plain. That is why they had to
come back for a Flood Plain User Permit.
Lee Edmonson, Regional Manager, CalMat: In 1992 we came to the Council with a Flood Plain Use
Permit proposal. The reason we want to move is simply one of convenience and costs; we want to
consolidate the operations.
Ora Harn: She remembers discussions about moving the plant back in 1992 when she was mayor.
She recalls discussing the visibility of the plant and the vegetation that was a~reed upon by CalMat.
She really supports the moving of the plant; it could be a win/win situation for us all
Herb Kai: Was there a time table CalMat was supposed to follow to put the plants and shrubbery in
to buffer some of the views?
Lee Edmonson: Part of the problem is that we were not able to implement the Specific Plan as it was
wr/tten.
Bobby Sutton, Jr.: Do we need to include in the motion that we want the Temporary Use Permit
issued at the same time?
Jerry Flannery: Yes, if the Council were to choose option iii, the second sentence would read I
further move the Town of Marana afiow CalMat to proceed with their plans to move the ready-mix
concrete plant on to the site under a TUP while at the same time amending the Specific Plan.
Tom Clark: He met with representatives from CalMat late this afternoon. They assured him that the
lighting would be of the nature that it would not affect the people in Rilfito.
Dave Aider: Staff will be looking at all the issues involved in this project regardless of what action the
Council takes tonight.
A motion was made by Ora Harn, seconded by Bobby Sutton, Jr. and carried unanimously to direct
CalMat to amend their Specific Plan. I further move that the Town of Marana allow CalMat to
proceed with their plans to move the ready mix concrete plant onto the site while they are under a
Temporary User Permit while at the same time amending the Specific Plan.
E. Ordinance No. 96.19 - Amendment to the Town Code; Bed Tax
Hu~vte Davis: We have proposed before Council this evening an Ordinance to amend the Marana Tax
Code to increase the lodging tax from 1% to 4%. We have done a survey of municipalities along the
Interstate through Arizona that we may compete with, primarily the City of Tucson. Tucson currently
has a 4% bed tax with a $1.00 per night room charge. We currently have two motels in Town and
there are more coming in. We feel this is an issue that needs to be revisited. The monies would
generate an additional $73,000.00. We currently receive about $25,000.00 based on the current
taxes that we collect. With the increase in the number of motels coming into Town, we would think
that revenues would increase further. The monies would go into the General Fund to provide services
to the general public in the Community.
Roy Cuaron: This action would increase our financial base, yet it doesn't impose a burden on the
citizens of the Town. Of all the cities and towns in Arizona that impose this tax, there are only five out
of sixty that impose a bed tax of less than 1%. Marana is one of the five. Even if we increase the tax
fram 1% to 4%, we are still going to be charging less than our closest competitor, the City of Tucson.
Ora Harn: If we went to 3% instead of 4%, wouldn't it give us a good advantage to convince motels to
move into Marana instead of Tucson? The 4% tax seems a little high.
Mayor Honea: We talked about that a little bit. The general consensus of the staff was that nobody
asks a hotel what their bed tax is. With the extra dollar Tucson charges, the total tax is about 5.3%.
Our tax would still be cheaper than Tucson's 4%.
Herb Kal: What would be the total tax on a room bill?
Roy Cuaron: If the Ordinance passes as written it would be a total of 4% for the bed tax plus 2% for
the sales tax, a total of 6%.
Bobby Sutton, Jr.: He tends to agree with Council Member Harn. Wouldn't that 1% give us more of a
competitive edge over the City of Tucson?
Roy Cuaron: Obviously the lower tax is going to have an advantage over a higher rate, but he cannot
determine the exact impact.
Dan Hochuli: Right now Pima County charges 1% bed tax, which is credited against a municipality's
tax. There is talk of raising that to 2% and that 2% would also be credited against the municipality. It
is his understanding that it applies against both our underlying transaction privilege tax as well as
the bed tax. Right now we have a 25 transaction prix/liege tax and a 1% bed tax, so we have a 3%
hotel tax. If Pima County raises their bed tax to 2% the hotels in Marana will pay Marana's 3% and
will not pay any of Pima County's tax.
Bobby Sutton, Jr.: We were charging 1% to the three new motels that are coming in. Was there any
discussion on this with these developers? Is this going to create an uproar?
Hurvie Davis: He has not been approached by any of the prospective hotel owners about what the
tax rate is. He does not believe it is an issue.
Ora Haru: She feels that 4% is too much, and when you gouge the public you have people who won't
come and visit your community.
A motion was made by Ora Harn, seconded by Bobby Sutton, Jr. and carried with Council Member
Clark voting Nay to adopt Ordinance No. 96.19 amending Section 1-447-447 of the Town's model
cities tax code to increase the transient lodging tax from one to three percent.
F. Ordinance No 96.18 - Amending the Marana Tax Code to create a tax exemption for
residential leases.
Mayor Honea declared a conflict of interest in this item and turned the dais over to Vice mayor Price.
Hurvie Davis: This item was before Council at the last meeting, and at that time no action was
taken. Staff is recommending that we exempt residential leases from the 2% tax. This would apply
only to residential leases, not commercial leases. This tax is very difficult to monitor and enforce. He
finds it very hard to rationalize why we have a 2% rental tax. We are penalizing those very people who
cannot afford to buy a home. We have identified an area surrounding our Community that we would
ultimately annex into the Town. There are a number of apartments in these areas. We have
encountered opposition from the apartments because if we annex one apartment, the apartment
right across the street which is still in the County does not have to pay the 2% tax.
Roy Cuaron: 22% of the cities and towns who use the model cities tax code have repealed their
residential rental tax. The reasons vary but the primary one was a lack of enforcement capabilities.
How do we monitor this? Mr. Cuaron went over with the Council Exhibit A which was included in
tonight's packet. A 400 unit complex with a base monthly rent of $600.00 is going to generate about
$2.8 million. The Town's 2% residential tax would be about $58,000.00. If you take that same
complex and use the Town's multiplier, that would equal an additional new population of 1,156.
We would then be able to collect $230.00 in state shared revenues for each new resident. This is
approximately $265,880.00. Overall by eliminating this tax we encourage expansion of the Town's
boundaries and we also increase our revenue base with state shared revenues. In order for the rental
tax that would be generated by one person to equal the state shared revenues, the base rent on
his/her unit would have to be $900.00 a month. The Town benefits more from eliminating the tax
and encouraging expansion of the Town boundaries.
Hurvie Davis: Apartment complexes are usually self contained. The majority of our services costs
would be in police protection. We encountered this problem when we were annexing the Orange
Grove Mobile Estates area and the apartments across the street. Representatives from the apartments
indicated that they were supportive of Marana, but they could not accept the residential rental tax. It
would have placed them at too much of a disadvantage with their competitors.
Judy Dakin, Evans Withycombe Management: Ms. Dakin represents Orange Grove Village
Apartments at 3500 West Orange Grove Road Tucson, AZ. Our biggest stumbhng block about being
annexed into Marana is the 2% tax. We would have two options if this tax were to stay in place,
option 1 we would absorb the tax ourselves or option 2 would be to pass it on to the residents. The
2% is a big issue for us.
A motion was made by Ora Harn, seconded by Herb Kal and carried with Council Member Tom
Clark and Vice Mayor Sharon Price voting Nay and Mayor Honea abstaining from voting to adopt
Ordinance No. 96.18 amending Section 1-445 of the Town's model cities tax code to create an
exemption for residentiaI leases.
G. Designation of Assured Water Supply
Brad DeSpain: We will have a designation of assured water supply in May. Although our hydrology
showed that we have 60,000 acre feet, the Arizona Department of Water Resources, Office of Assured
Water Supply will reserve that amount for us but they will not give it to us in our designation. They
will designate 49,000 acre feet to start with. As we continue to grow we have to amend from that
60,000 acre feet. They continue to say that we should have the assured water supply by this May.
H. Resolution No. 96-29 - Intergovernmental Agreement between the Town of Marana and the
City of Tucson for the construction of enhanced bus shelters located on Ina Road and within
the Town limits.
Hurvie Davis: When we first got involved with the issue of enhanced bus shelters on Ina Road, we
were under the impression that we had to have the shelters constructed, advance the funds and then
would receive reimbursement through the City of Tucson. Just today we found out we not only have
to handle the construction of the shelters but we have to do the design and specifications for those
shelters as well. We have a limited staff in our Town, he does not feel we have the resources that are
necessary to come up with the bus shelters. This is a rather lengthy and time consuming process. He
would like to have this item pulled until Staff can have further discussions with the City of Tucson
and the State of A~:~zona.
Ora Harn: This is a nice project which doesn't cost a lot of money, but her thoughts were that she
would like to see this item continued. Maybe Mr. After could contact the University of Arizona and ask
one of their students to see if he/she would like to work on this project.
Dave Atler: He feels that is a terrific idea. We would have to look at the time tables, which are
fairly short.
A motion was made by Ora Ham, seconded by Tom Clark and carried unanimously to continue this
item and also to have the Town Engineer look into contacting the University of A~:~zona to see if they
would like to take this item on as a project.
I. Mayor's Report
Mayor Honea: Mr. Davis and Mayor Honea met with the Chance~lor of Pima College a couple of days
ago. He wanted to come out and talk to them about the possibility of placing a P/ma ColIege Campus
in the Marana area sometime in the near future. We discussed that the University of Arizona owns a
piece of property at the corner of Sandario and Marana Road. It was a very rewarding meeting and
very positive. Mayor Honea attended the Staff meeting this week. He was glad to see how well
everybody interacts together. Vice Mayor and Mayor Honea met with CalMat to discuss the item that
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MARANA TOWN COUNCIL
APRIL 2, 1996
is on the Agenda tonight. He is very pleased that yesterday Northwest Fire Station 66 opened to serve
Marana. Next week the Mayor and Vice Mayor will be meeting with Mr. Mike Ingrain. He wants to
come and update them on the project at the old Shamrock Dairy site.
J. Manager's Report
Hurvie Davis: Last week he met with Jerry Collins of Collins-Pena Consulting Engineers. Service
needs to be improved on various projects the town and Colhns-Pena are involved with. As a result
of the meeting the service has improved. We are trying to keep up with the work load that we have
facing us and everybody is working well together. We have had several meetings with the
SportsPark regarding the July 4th Event. We have reached an agreement on all the issues. Costs
continue to increase each year but we have worked on keeping costs of games and rides at a
minimum. He continues to spend a considerable amount of time on various water and sewer issues with Brad
DeSpain. He received a letter today from Ms. Susan Shields who is the Director of the Pima County Solid
Waste Management Division. The letter was in regards to the Tangerine Landfill. Methane gas has been
detected at the Landfill near the water storage pond. He has had a number of people suggest to him that there
be another Town picnic this year. He has been talking to Sandy Groseclose and Jane Johnson on this matter.
He is looking into ways to try and keep the litter off the roadways in Town.
X. FUTURB AGENDA ITEMS
Mayor Honea: He would like to start looking at some of the items that were discussed during the
Council Retreat. One item is the DeAnza Trail and the possibility of running the trail from Cortaro to
Sanders Road. He would like to see this put on the Agenda to be discussed so we can begin work on
this project.
Bobby Sutton, Jr.: We also talked about security issues at Council meetings and when Court is in
session, he would like to see this discussed.
XI. ADJOURNMENT
A motion was made by Ora Harn, seconded by Tom Clark and carried unanimously to adjourn.
TIME: 8:52 p.m.
AUDIO TAPES OF THE MEETING ARE AVAILABLE AT THE MARANA TOWN HALL CLERK'S
OFFICE.
CERTIFICATION
I hereby certify that the foregoing minutes are the true and correct minutes of the Regular Council
Meeting of the Marana Town Council held on April 2, 1996. I further certify that a quorum was present.