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HomeMy WebLinkAbout04/28/2015 Special Meeting Council Agenda Packet'1 R I of 1 ARANA jl 6 MARANA TOWN COUNCIL SPECIAL COUNCIL MEETING NOTICE AND AGENDA 11555 W. Civic Center Drive, Marana, Arizona 85653 Council Chambers, April 28, 2015, at or after 6:00 PM Ed Honea, Mayor Jon Post, Vice Mayor David Bowen, Council Member Patti Comerford, Council Member Herb Kai, Council Member Carol McGorray, Council Member Roxanne Ziegler, Council Member Pursuant to A.R. S. § 3 8- 431.02, notice is hereby given to the members of the Marana Town Council and to the general public that the Town Council will hold a meeting open to the public on April 28, 2015, at or after 6:00 PM located in the Council Chambers of the Marana Municipal Complex, 11555 W. Civic Center Drive, Marana, Arizona. ACTION MAY BE TAKEN BY THE COUNCIL ON ANY ITEM LISTED ON THIS AGENDA. Revisions to the agenda can occur up to 24 hours prior to the meeting. Revised agenda items appear in italics. As a courtesy to others, please turn off or put in silent mode all pagers and cell phones. Meeting Times Welcome to this Marana Town Council meeting. Regular Council meetings are usually held the first and third Tuesday of each month at 7:00 PM at the Marana Municipal Complex, although the date or time may change and additional meetings may be called at other times and /or places. Contact the Town Clerk or watch for posted agendas for other meetings. This agenda may be revised up to 24 hours prior to the meeting. In such a case a new agenda will be posted in place of this agenda. Speaking at Meetings If you are interested in speaking to the Council during the Call to the Public or Public Hearings, you must fill out a speaker card (located in the lobby outside the Council Chambers) and deliver it Marana Special Council Meeting 04/28/2015 Page 1 of 28 to the Town Clerk prior to the convening of the meeting. All persons attending the Council meeting, whether speaking to the Council or not, are expected to observe the Council rules, as well as the rules of politeness, propriety, decorum and good conduct. Any person interfering with the meeting in any way, or acting rudely or loudly will be removed from the meeting and will not be allowed to return. Accessibility To better serve the citizens of Marana and others attending our meetings, the Council Chambers are wheelchair and handicapped accessible. Persons with a disability may request a reasonable accommodation, such as a sign language interpreter, by contacting the Town Clerk at (520) 3 82 -1999. Requests should be made as early as possible to arrange the accommodation. Agendas Copies of the agenda are available the day of the meeting in the lobby outside the Council Chambers or online at www.marana.com, by linking to the Town Clerk page under Agendas, Minutes and Recent Actions. For questions about the Council meetings, special services or procedures, please contact the Town Clerk, at 382 -1999, Monday through Friday from 8:00 AM to 5:00 PM. This Notice and Agenda Posted no later than 24 hours prior to the meeting, at the Marana Municipal Complex, 115 5 5 W. Civic Center Drive, the Marana Operations Center, 5100 W. Ina Road, and at www.maranaaz.gov on the Town Clerk page under Agendas, Minutes and Recent Actions. SPECIAL COUNCIL MEETING CALL TO ORDER AND ROLL CALL PLEDGE OF ALLEGIANCE /INVOCATION /MOMENT OF SILENCE APPROVAL OF AGENDA CALL TO THE PUBLIC At this time any member of the public is allowed to address the Town Council on any issue within the jurisdiction of the Town Council, except for items scheduled for a Public Hearing at this meeting. The speaker may have up to three minutes to speak. Any persons wishing to address the Council must complete a speaker card located outside the Council Chambers and deliver it to the Town Clerk prior to the commencement of the meeting. Individuals addressing a meeting at the Call to the Public will not be provided with electronic technology capabilities beyond the existing voice amplification and recording capabilities in the facilities and the Town's overhead projector /document reader. Pursuant to the Arizona Open Meeting Law, at the conclusion of Call to the Public, individual members of the Council may respond to criticism made by those who have addressed the Council, and may ask staff to review the matter, or may ask that the matter be placed on a future agenda. Marana Special Council Meeting 04/28/2015 Page 2 of 28 PROCLAMATIONS MAYOR AND COUNCIL REPORTS: SUMMARY OF CURRENT EVENTS MANAGER'S REPORT: SUMMARY OF CURRENT EVENTS PRESENTATIONS CONSENT AGENDA The Consent Agenda contains items requiring action by the Council which are generally routine items not requiring Council discussion. A single motion and affirmative vote will approve all items on the Consent Agenda, including any resolutions or ordinances. Prior to a motion to approve the Consent Agenda, any Council member may remove any item from the Consent Agenda and that item will be discussed and voted upon separately. LIQUOR LICENSES BOARDS, COMMISSIONS AND COMMITTEES COUNCIL ACTION A 1 PUBLIC HEARING: Ordinance No. 2015.011 Relating to Transaction Privilege Tax; amending the Town Tax Code by increasing the tax rate on certain activities by one -half cent for the design and construction, and fixtures, furniture and equipment, for a new police department building; amending Sections 8 -460 (Retail sales; measure of tax; burden of proof; exclusions) and 8 -610 (Use tax: imposition of tax; presumption) of the Town Tax Code by adopting local option V of the Model City Tax Code establishing a two - tiered tax structure for certain sales /purchases; setting a sunset date for the increased tax rate; and designating an effective date (Erik Montague) A 2 PUBLIC HEARING: Resolution No. 2015-037 Relating to Development; adopting minor amendments to the transportation element of the Marana General Plan by revising the road network exhibit to delete the proposed Relocated Tangerine Road Interchange, establish Tangerine Farms Road as the future primary connection to the Marana Road traffic interchange, reduce the planned right -of -way width of Tangerine Road from 350 to 250 feet, and reduce the planned right -of -way width of Marana Main Street from 90 feet to 80 feet; and by incorporating language into the General Plan text authorizing the Town Engineer to implement environmentally sensitive road design by reducing the standard right -of -way width for certain roadways in environmentally sensitive areas (Ryan Mahoney) A 3 Resolution No. 2015-038 Relating to development; approving and authorizing the Mayor to execute the First Amendment to Continental Ranch Parcel 60 Development Agreement (Frank Cassidy) Marana Special Council Meeting 04/28/2015 Page 3 of 28 ITEMS FOR DISCUSSION /POSSIBLE ACTION D 1 Relating to Legislation and Government Actions; discussion and possible action regarding all pending state, federal, and local legislation /government actions and on recent and upcoming meetings of the other governmental bodies (Gilbert Davidson) EXECUTIVE SESSIONS Pursuant to A.R. S. § 38-431.03, the Town Council may vote to go into executive session, which will not be open to the public, to discuss certain matters. E 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. FUTURE AGENDA ITEMS Notwithstanding the mayor's discretion regarding the items to be placed on the agenda, if three or more Council members request that an item be placed on the agenda, it must be placed on the agenda for the second regular Town Council meeting after the date of the request, pursuant to Marana Town Code Section 2- 4 -2(B). ADJOURNMENT Marana Special Council Meeting 04/28/2015 Page 4 of 28 - r C? RANA -P 115 5 5 W. CIVI C CENTER DRIVE. NIARANA. ARIZ ONA 8 5 6 5 3 Item A 1 To: Mayor and Council From: Erik Montague, Finance Director Date: April 28, 2015 Strategic Plan Focus Area: Community Strategic Plan Focus Area Additional Info: Under Principle Statement 1, Initiative 2(a) provides that the Town shall provide a responsive, community and service- oriented professional police department and ensure facilities and support areas are consistent with best practices and professional norms. Subject: PUBLIC HEARING: Ordinance No. 2015.011 Relating to Transaction Privilege Tax; amending the Town Tax Code by increasing the tax rate on certain activities by one -half cent for the design and construction, and fixtures, furniture and equipment, for a new police department building; amending Sections 8 -460 (Retail sales; measure of tax; burden of proof; exclusions) and 8 -610 (Use tax: imposition of tax; presumption) of the Town Tax Code by adopting local option V of the Model City Tax Code establishing a two - tiered tax structure for certain sales /purchases; setting a sunset date for the increased tax rate; and designating an effective date (Erik Montague) Discussion: At the July 1, 2014 Council Meeting, Council requested a public outreach plan be developed explaining the need and funding options for a police facility. The plan was presented to Council at the August 12 Study Session and Council directed staff to implement the public outreach /education plan as proposed. Town personnel worked to schedule presentations with community groups, which included: HOAs, civic organizations, Chamber meetings, the Marana Citizens' Forum, the Volunteers in Police Service (YIPS), citizens' police academy classes, newspapers, websites, and social media beginning in early September. A total of 20 presentations and two open houses were scheduled reaching a total of approximately 500 residents. Additionally, staff was interviewed by local media to include; two TV news outlets, the Northwest Explorer, and two radio talk shows. The Mayor was also interviewed on a local radio program regarding the project. Seven major box stores, as well as Vintage Partners and Marana Special Council Meeting 04/28/2015 Page 5 of 28 Simon Properties were presented the information and all businesses were invited to attend an open house on November 13. A presentation was also made at the Marana Chamber monthly meeting which was attended by 40 people, most of whom are small business owners. The Town Council also held public hearings on November 18, 2014 and December 2, 2014 to provide Marana residents and businesses the opportunity for input. On February 17, 2015 Council approved Resolution 2015 -020 which directed Town staff to initiate the process to adopt a dedicated one -half cent sales tax to be used for the design and construction, and fixtures, furniture and equipment for a new police department building with an effective date of July 1, 2015 for the new tax. After the public hearing this evening, staff is seeking Council's consideration of the proposed ordinance which would do the following: 1. Increase the transaction privilege tax rate by one -half cent on all classifications exce t; Construction Contracting under Town Tax Code Sections 8 -415, 8 -416, 8 -417; Hotel /Motel — Additional Tax under Town Tax Code Section 8 -447, and; Mining under Town Tax Code Section 8 -432. 2. Adopt Local Option V of the Model City Tax Code to impose a two -level tax structure on sales /purchases of "big- ticket" items and cause the portion of any single item purchase over $5,000 to be taxed at the lower tax rate (2 %). 3. Require that the Finance Director notify the Arizona Department of Revenue to cease collection of the increase at the earliest opportunity after $18,000,000 is collected pursuant to the sales tax increase. 4. Require that the proceeds from the tax increase be placed in a newly established fund for the design and construction, and fixtures, furniture and equipment, for the new police department building. 5. Provide that if the Town collects more money pursuant to the tax increase adopted by this ordinance than is necessary for the design and construction, and fixtures, furniture and equipment, for the new police department building, the Town shall use the excess proceeds for other costs related to the new police building, including but not limited to, operating costs, landscaping, and design and construction of drainage improvements. 6. Set an effective date of July 1, 2015 for the tax rate increase. 7. Authorize Town staff to perform all actions necessary to give effect to the ordinance. Should the ordinance be approved, Staff will provide notice to the Municipal Tax Code Commission and the Arizona Department of Revenue within 10 days of approval (A.R.S. §42-6053(E)). Financial Impact: Fiscal Year: 2016 Budgeted If Y /N: approved Amount: $4.8M Marana Special Council Meeting 04/28/2015 Page 6 of 28 Based upon the independent tax analysis and forecast report by Elliott D. Pollack & Company, the Town anticipates that the additional one -half percent sales tax will generate $18 Million in approximately 41 months ( "detailed forecast "). Due to the uncertainty associated with the economy, it is our recommendation that the additional one -half cent sales tax rate remain in effect until such time as $18 Million is collected. This amount will be used towards the construction of the building and also the fixtures, furniture and equipment associated with the police operations. Should the ordinance be approved, Town staff will include estimated revenues in the fiscal year 2015 -2016 budget. Staff Recommendation: Staff recommends approval of the proposed ordinance. Suggested Motion: I move to adopt Ordinance 2015.011, amending the Town Tax Code by increasing the tax rate on certain activities by one -half cent for the design and construction, and fixtures, furniture and equipment, for a new Police Department building; adopting a two - tiered tax structure on certain sales /purchases; setting a sunset date for the increased tax rate; and designating an effective date. Attachments: Ordinance 2015.011 Marana Special Council Meeting 04/28/2015 Page 7 of 28 MARANA ORDINANCE NO, 2015,011 RELATING TO TRANSACTION PRIVILEGE TAX; AMENDING THE TOWN TAX CODE BY INCREASING THE TAX RATE ON CERTAIN ACTIVITIES BY ONE -HALF CENT FOR THE DESIGN AND CONSTRUCTION, AND FIXTURES, FURNITURE AND EQUIPMENT, FOR A NEW POLICE DEPARTMENT BUILDING; AMENDING SECTIONS 8 -460 (RETAIL SALES; MEASURE OF TAX; BURDEN OF PROOF; EXCLUSIONS) AND 8 -610 (USE TAX: IMPOSITION OF TAX; PRESUMPTION) OF THE TOWN TAX CODE BY ADOPTING LOCAL OPTION V OF THE MODEL CITY TAX CODE ESTABLISHING A TWO - TIERED TAX STRUCTURE FOR CERTAIN SALES /PURCHASES; SETTING A SUNSET DATE FOR THE INCREASED TAX RATE; AND DESIGNATING AN EFFECTIVE DATE WHEREAS A.R. S. §42 -6002 provides a procedure for the levy of transaction privilege taxes by a city or town; and WHEREAS A.R.S. §9 -240 provides that the Town Council shall have control of the finances of the town; and WHEREAS the Town Council has adopted the Model City Tax Code as defined by A.R.S. §42 -6051; and WHEREAS the Model City Tax Code includes an optional Local Option V establishing a two - tiered tax structure for certain sales /purchases; and WHEREAS the Town Council adopted title 8 of the Marana Town Code, adopting the tax code of the Town of Marana ( "Town Tax Code ") and any amendments to it via Ordinance No. 96.03; and WHEREAS the Town Council finds that it is in the best interests of the community to amend the Town Tax Code to adopt a dedicated one -half cent sales tax for the design and construction, and fixtures, furniture and equipment, for a new police department building, and to adopt Local Option V of the Model City Tax Code pursuant to the terms of this ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA, AS FOLLOWS: SECTION 1. The tax rate for all activities taxed in the Town Tax Code, except those activi- ties listed in this section, is hereby increased by one -half cent. The tax rate in each of the following sections of the Town Tax Code shall not be increased pursuant to this ordinance: A. Construction Contracting under Town Tax Code Sections 8 -415, 8 -416, 8 -417 B. Hotel /Motel — Additional Tax under Town Tax Code Section 8 -447 -1- Marana Ordinance No. 2015.011 Marana Special Council Meeting 04/28/2015 Page 8 of 28 C. Mining under Town Tax Code Section 8 -432 SECTION 2. The Town hereby adopts Local Option V of the Model City Tax Code as fol- lows: A. Section 8 -460 of the Town Tax Code (Retail sales; measure of tax; burden of proof; ex- clusions) is hereby amended to add paragraph (d) as follows: Sec. 8 -460. Retail sales: measure of tax; burden of proof; exclusions. [paragraphs (a) through (c) remain unchanged] (d) Notwithstanding the provisions of subsection (a) above, when the gross income from the sale of a single item of tangible personal property exceeds five thousand dollars ($5,000.00), the two and one -half percent (2.5 %) tax rate shall apply to the first $5,000.00. Above $5,000.00, the measure of tax shall be at a rate of two percent (2 %). [paragraphs (e) through (g) remain unchanged] B. Section 8 -610 of the Town Tax Code (Use tax: imposition of tax; presumption) is hereby amended to add paragraph (e) as follows: Sec. 8 -610. Use tax: imposition of tax; presumption. [paragraphs (a) through (d) remain unchanged] (e) Notwithstanding the provisions of subsection (a) above, when the amount subject to the tax for any single item of tangible personal property exceeds five thousand dollars ($5,000.00), the two and one -half percent (2.5 %) tax rate shall apply to the first $5,000.00. Above $5,000.00, the measure of tax shall be at a rate of two percent (2 %). SECTION 3. When the Town has collected $18,000,000 pursuant to the sales tax increase set forth in Section 1 of this ordinance, the Finance Director shall notify the Arizona Department of Revenue to cease collection of the increase at the earliest opportunity, in accordance with legal and administrative requirements then in effect. SECTION 4. The Town shall establish a separate fund for the design and construction, and fixtures, furniture and equipment, for the new police department building and the proceeds from the tax increase adopted by this ordinance shall be placed in this newly established fund. If the Town collects more money pursuant to the tax increase adopted by this ordinance than is necessary for the design and construction, and fixtures, furniture and equipment, for the new police department build- ing, the Town shall use the excess proceeds for other costs related to the new police building, includ- ing but not limited to, operating costs, landscaping, and design and construction of drainage im- provements. SECTION 5. The various town officers and employees are authorized and directed to perform all acts necessary or desirable to give effect to this ordinance. SECTION 6. All ordinances, resolutions, or motions and parts of ordinances, resolutions, or motions of the Council in conflict with the provisions of this ordinance are hereby repealed, effective as of the effective date of this ordinance. -2- Marana Ordinance No. 2015.011 Marana Special Council Meeting 04/28/2015 Page 9 of 28 SECTION 7. If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent ju- risdiction, the decision shall not affect the validity of the remaining portions of this ordinance. SECTION 8. This ordinance shall become effective on July 1, 2015. PASSED AND ADOPTED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA, this 28th day of April, 2015. ATTEST: Jocelyn C. Bronson, Town Clerk Mayor Ed Honea APPROVED AS TO FORM: Frank Cassidy, Town Attorney -3- Marana Ordinance No. 2015.011 Marana Special Council Meeting 04/28/2015 Page 10 of 28 - r C? RANA -P 11555 W. CIVIC CENTER DRI VE;. KARANA. ARIZ ONA 8 5 6 5 3 Item A 2 To: Mayor and Council From: Ryan Mahoney, Director of Planning Date: April 28, 2015 Strategic Plan Focus Area: Not Applicable Subject: PUBLIC HEARING: Resolution No. 2015 -037 Relating to Development; adopting minor amendments to the transportation element of the Marana General Plan by revising the road network exhibit to delete the proposed Relocated Tangerine Road Interchange, establish Tangerine Farms Road as the future primary connection to the Marana Road traffic interchange, reduce the planned right -of -way width of Tangerine Road from 350 to 250 feet, and reduce the planned right -of -way width of Marana Main Street from 90 feet to 80 feet; and by incorporating language into the General Plan text authorizing the Town Engineer to implement environmentally sensitive road design by reducing the standard right -of -way width for certain roadways in environmentally sensitive areas (Ryan Mahoney) Discussion: Summary of Request The 2010 Marana General Plan is meant to be a dynamic document that establishes policies and goals to guide development within the community. It discusses strategies to guide elected and appointed officials and Town staff to achieve its defined goals. As the community develops, conditions or elements of the plan can change or become obsolete; therefore, a mechanism was defined to update the plan to be consistent with current conditions. The Marana General Plan contemplates two strategies for amending the plan -- a minor or major amendment. A minor amendment is defined as any proposal that does not meet the criteria for a major amendment. The major amendment criteria are used to determine if an amendment constitutes a "substantial alteration" in the land use mixture or balance as established in the existing General Plan Land Use and Growth Element. The criteria used to determine if an amendment is a major amendment are as follows: 1. Change in any land use designation exceeding 80 acres (not including Master Planning Areas); Marana Special Council Meeting 04/28/2015 Page 11 of 28 2. Two -step increase change of the current land use designation; 3. Proposal that results in a significant alteration or diversion from an area of the adopted Road Network including, but not limited to, a change in functional classification. The requested amendments will require an amendment to the General Plan and do not meet the criteria of a major amendment. They can therefore be processed as a minor amendment. Each of these proposed amendments were individually checked against the three "substantial alteration" criteria and only the third criteria applies to transportation which was not relevant in these cases. These updates would have to result in a significant alteration or diversion from an area of the adopted Road Network including, but not limited to, a change in functional classification. The Tangerine Interchange location and Marana Interchange connectivity represent localized changes that do not significantly alter the land use mixture or balance nor constitute a diversion from an area. The General Plan's Land Use and Growth element defines "areas" in terms of geographic growth areas of the Town. Both of these amendments are located within the Northwest growth area and will continue to provide acceptable levels of service within the immediate area and in the larger (Northwest) growth area. Furthermore, developments in the immediate area of these interchanges would maintain sufficient access to their properties. Finally, the three amendments that permit narrowing of the rights of way will not change the functional classification of these routes. The requested amendments to the General Plan, all in Section 6, Built Environment Theme, Exhibit 6. LA Road Network - Proposed Major Routes and Section 6.1.7 - Issue Identification and Trends, include the following: • Tangerine Interchange location o This was originally conceived to be 100% privately funded and was requested to be moved by those funding the project. It would have moved the interchange approximately 2,500 feet north of its current location. If we were to keep the location as shown in the Major Routes Plan, it would effectively stop all development in the area of I -10 and Tangerine Road until the interchange was built. Given that there is no funding for this project and the fact that developments are trying to move forward in the area, we feel that the General Plan should reflect the existing location. • Marana Interchange connectivity o The Town has always desired for a Tangerine Farms Road to be the primary connection to I -10 but a previous traffic study predicted operational challenges unless Marana Road was the primary connection to I -10. Marana Road was established as the primary connection in 2007 but the Great Recession has changed growth projections. A recent study shows that Tangerine Farms Road as the primary connection will function within standard levels of service. Tangerine Farms Road is the primary arterial serving multiple destinations in NW Marana and provides for a balanced distribution of regional traffic to future public amenities and destinations. • Tangerine Road right of way o The right of way would be reduced from 3 50' to 250' which is adequate to serve anticipated demand for the roadway. The wider right of way was originally conceived when Tangerine Road was to become an 8 lane beltway, but this was not supported by Marana, Oro Valley or Tucson. • Marana Main Street right of way Marana Special Council Meeting 04/28/2015 Page 12 of 28 o The right of way would be reduced from 90' to 80' to emphasize the pedestrian element for our main street concept. This width contemplates diagonal parking with shared bike /vehicle lanes and no center left turn lane. The narrowing of the street section acts as a traffic calming measure which helps to accomplish of the goal of having a vibrant pedestrian oriented main street environment. • Establishing an environmentally sensitive arterial right of way o This would allow the Town Engineer to narrow an arterial right of way requirement from 150' wide to 110' wide. This effectively reduces travel distance of wildlife across the roadway. This is particularly important in areas such as the Tortolita Fan. Section 6.1.7 - Issue Identification and Trends - Add language to the end of the fifth paragraph to read: The Marana Town Engineer is authorized to reduce right -of -way widths of 150' roads on Road Network Map 6. LA to 110' in areas identified as "Environmentally Sensitive Lands (per draft HCP)" when the Town Engineer determines, based on best available scientific information, that the reduced width is likely to reduce wildlife mortality. Public Notification The public hearing was legally noticed in The Daily Territorial newspaper and was posted at various locations within the community. Recommended Findings of Fact The proposed amendments will: 1. Improve Marana's quality of life by providing sustainable choices in regards to land use, commerce and employment, education, recreation, public safety, aesthetic appeal, transportation / efficient mobility, health, and housing variety; and 2. The proposed change reflects market demand which leads to viability and general community acceptance; and 3. The amendment will not adversely impact the community in whole or in part, and will promote a safer transportation system Staff Recommendation: Staff recommends approval of GPA 1503 -001, General Plan minor amendment, amending Section 6.1 Transportation Element of the Marana General Plan based upon the recommended findings. Planning Commission Recommendation: The Planning Commission heard the request for the proposed general plan amendment at a public hearing held on March 25, 2015. By a vote of 7 -0, the Commission voted in favor of recommendation to the Town Council approval of the General Plan amendment. Suggested Motion: Staff recommends that the Town Council move on one of the following options: OPTION 1: I move to adopt Resolution No. 201 5 -037, as presented by staff. OPTION 2: I move to adopt Resolution No. 2015 -037 as presented by staff, subject to the following modifications (add as necessary). Marana Special Council Meeting 04/28/2015 Page 13 of 28 Attachments: Resolution 201 5 -037 2010 Adopted Major Routes Exhibit Proposed Major Routes Plan Marana Road Realignment Tangerine Interchange Current General Plan Alignment Marana Special Council Meeting 04/28/2015 Page 14 of 28 MARANA RESOLUTION NO. 2015-037 RELATING TO DEVELOPMENT; ADOPTING MINOR AMENDMENTS TO THE TRANSPORTATION ELEMENT OF THE MARANA GENERAL PLAN BY REVISING THE ROAD NETWORK EXHIBIT TO DELETE THE PROPOSED RELOCATED TANGERINE ROAD INTERCHANGE, ESTABLISH TANGERINE FARMS ROAD AS THE FUTURE PRIMARY CONNECTION TO THE MARANA ROAD TRAFFIC INTERCHANGE, REDUCE THE PLANNED RIGHT -OF -WAY WIDTH OF TANGERINE ROAD FROM 350 TO 250 FEET, AND REDUCE THE PLANNED RIGHT -OF -WAY WIDTH OF MARANA MAIN STREET FROM 90 FEET TO 80 FEET; AND BY INCORPORATING LANGUAGE INTO THE GENERAL PLAN TEXT AUTHORIZING THE TOWN ENGINEER TO IMPLEMENT ENVIRONMENTALLY SENSITIVE ROAD DESIGN BY REDUCING THE STANDARD RIGHT -OF -WAY WIDTH FOR CERTAIN ROADWAYS IN ENVIRONMENTALLY SENSITIVE AREAS WHEREAS Town of Marana Resolution 2010 -120 adopted the Marana 2010 General Plan and called for a May 17, 2011 special election for voter ratification as required by A.R.S. § 9- 461.06 paragraph M; and WHEREAS the Marana 2010 General Plan was ratified by the voters on May 17, 2011; and WHEREAS the General Plan is a dynamic document that establishes policies and goals to guide development within the community, and discusses strategies to guide elected and appointed officials and Town staff to achieve its defined goals; and WHEREAS conditions or elements of the General Plan can change or become obsolete as the community develops; and WHEREAS A.R.S. § 9- 461.06 and the General Plan itself define a major amendment as a substantial alteration of the Town's land use mixture or balance as established in the General Plan land use element; and WHEREAS the General Plan amendments adopted by this resolution do not meet the definition of major amendment, and are therefore minor amendments; and WHEREAS the Town of Marana has provided the notice and held the public hearings required for the adoption of the General Plan amendments adopted by this resolution; and WHEREAS the Mayor and Council of the Town of Marana find that this resolution is in the best interests of the Town of Marana and its citizens. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, as follows: {00041591.D0CX / 31 Marana Resolution No. 2015 -037 - 1 - 4/21/2015 3:23 PM FJC Marana Special Council Meeting 04/28/2015 Page 15 of 28 SECTION 1. Marana 2010 General Plan Section 6 (Built Environment Theme), Exhibit 6.1.A (Road Network — Proposed Major Routes) is hereby amended as follows: A. The Tangerine Road /Interstate 10 traffic interchange location is amended to delete the "Relocated Tangerine Road Interchange," leaving only the currently existing Tangerine Road traffic interchange alignment and location. B. The Marana Road /Interstate 10 traffic interchange is amended to show Tangerine Farms Road as the primary connection instead of Marana Road. C. Tangerine Road right of way is reduced from 350' to 250'. D. Marana Main Street right of way is reduced from 90' to 80'. SECTION 2. Marana 2010 General Plan Section 6 (Built Environment Theme), Section 6.1.7 (Issue Identification and Trends) is hereby amended to add the following language to the end of the fifth paragraph: The Marana Town Engineer is authorized to reduce right -of -way widths of 150' roads on Road Network Map 6. LA to 110' in areas identified as "Environmentally Sensitive Lands (per draft HCP)" when the Town Engineer determines, based on best available scientific information, that the reduced width is likely to reduce wildlife mortality. SECTION 3. The Town Manager and staff are hereby directed and authorized to modify the General Plan documentation and undertake all other and further tasks required or beneficial to carry out the terms and objectives of this resolution. SECTION 4. All resolutions, orders, or actions of the Town, or parts thereof, that are inconsistent with the provisions of this resolution are hereby repealed to the extent of such inconsistency, including without limitation all of the following in their entirety: A. Marana Resolution No. 2007 -163, approving a proposed alignment for the extension of Marana Main Street north of Grier Road. B. Marana Resolution No. 2007 -164, approving a proposed alignment for the future Tangerine Road Interchange. C. Marana Resolution No. 2990 -178, conditionally reducing the right -of -way width for Tangerine Road in the vicinity of Interstate 10. PASSED AND ADOPTED by the Mayor and Council of the Town of Marana, Arizona, this 28th day of April, 2015. Mayor Ed Honea ATTEST: Jocelyn C. 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ARIZ ONA 8 5 65 3 Item A 3 To: Mayor and Council From: Frank Cassidy, Town Attorney Date: April 28, 2015 Strategic Plan Focus Area: Commerce Strategic Plan Focus Area Additional Info: Commerce Principle Statement 3 / We will seek and retain diverse industries and commerce in order to promote sustainable economic health. Initiative 25. Allocate and maximize Town resources to recruit, maintain and expand businesses and industry Subject: Resolution No. 2015 -038: Relating to development; approving and authorizing the Mayor to execute the First Amendment to Continental Ranch Parcel 60 Development Agreement (Frank Cassidy) Discussion: In October 2013, the Town entered into a retail tax incentive agreement to reimburse public infrastructure expenditures for the John Deere dealership then proposed to be constructed on Tiffany Loop, just north of the new Twin Peaks traffic interchange. The dealership is now built and open for business, and sales tax reimbursements are being sought for $398,356.72 spent for the installation of the Tiffany Loop Potable Water Line, which serves the dealership and provides potential service to other properties on Tiffany Loop. Upon reviewing the water line expenditures, Town staff has determined that the developer /owner did not comply with state and local public procurement procedures for the construction of the Tiffany Loop Potable Water Line, as required under paragraph 6 of the retail tax incentive agreement. Consequently, the Town could be at risk for using public funding for the reimbursement. On the other hand, Utilities Department staff has already accepted ownership and maintenance of the Tiffany Loop Potable Water Line, and the Town has established a $345,000 value for the water line by the adoption of Marana Resolution No. 2014-123. The failure to comply with public bidding gives the Town a plausible legal basis not to reimburse the Tiffany Loop Potable Water Line costs. But Town staff believes that taking such a technical, Marana Special Council Meeting 04/28/2015 Page 21 of 28 legalistic approach would have a chilling effect on the Town's overall economic development goals and would not be consistent with the spirit and intent of this retail tax incentive agreement. Town staff recommends approval of the amendment proposed by this agenda item, modifying the retail tax incentive agreement to allow reimbursement of the $345,000 Town - accepted value of the Tiffany Loop Potable Water line despite the public procurement error. Staff Recommendation: Town staff recommends adoption of Resolution 2015 -03 8, approving the First Amendment to Continental Ranch Parcel 60 Development Agreement. Suggested Motion: I move to adopt Resolution 2015-038, approving the First Amendment to Continental Ranch Parcel 60 Development Agreement. Attachments: Resolution 2015-038 29.5 F,xhihit Marana Special Council Meeting 04/28/2015 Page 22 of 28 MARANA RESOLUTION NO. 2015-038 RELATING TO DEVELOPMENT; APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE THE FIRST AMENDMENT TO CONTINENTAL RANCH PARCEL 60 DEVELOPMENT AGREEMENT WHEREAS the Town approved the Continental Ranch Parcel 60 Development Agreement, a retail development tax incentive agreement, by the adoption of Marana Resolution No. 2013 -096 on October 15, 2013; and WHEREAS the developer /property owner paid $398,356.72 for the construction of public infrastructure known as the Tiffany Loop Potable Water Line for the benefit of the land that was the subject of the Continental Ranch Parcel 60 Development Agreement; and WHEREAS the Town accepted the Tiffany Loop Potable Water Line for public ownership and maintenance, and established its estimated value at $345,000, by the adoption of Marana Resolution No. 2014 -123; and WHEREAS the construction of the Tiffany Loop Potable Water Line was not procured in strict compliance with State of Arizona and Town public infrastructure construction procurement laws and procedures, as required by paragraph 6 of the Continental Ranch Parcel 60 Development Agreement; and WHEREAS the Town finds by its adoption of this resolution and by the adoption of Marana Resolution No. 2014 -123 that, despite non - compliance with procurement laws and procedures, the Tiffany Loop Potable Water Line's reasonable value is at least $345,000; and WHEREAS the Mayor and Council find the terms and conditions of the First Amendment to Continental Ranch Parcel 60 Development Agreement are in the best interest of the Town and is consistent with the Town's desire to promote economic development within the Town. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA, AS FOLLOWS: SECTION 1. The First Amendment to Continental Ranch Parcel 60 Development Agreement is hereby approved. SECTION 2. The Mayor is hereby authorized and directed to execute, and the Town Clerk is hereby authorized and directed to attest to, the First Amendment to Continental Ranch Parcel 60 Development Agreement attached to and incorporated by this reference in this Resolution as Exhibit A, for and on behalf of the Town of Marana. SECTION 3. The various Town officers and employees are authorized and directed to perform all acts necessary or desirable to give effect to this resolution. {00041581.D0CX /} Marana Resolution No. 2015 -038 - 1 - 4/16/2015 2:31 PM FJC Marana Special Council Meeting 04/28/2015 Page 23 of 28 PASSED AND ADOPTED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA, this 28 day of April, 2015. ATTEST: Jocelyn C. Bronson, Town Clerk Mayor Ed Honea APPROVED AS TO FORM: Frank Cassidy, Town Attorney {00041581.DOCX /} Marana Resolution No. 2015 -038 -2- 4/16/2015 2:31 PM FJC Marana Special Council Meeting 04/28/2015 Page 24 of 28 FIRST AMENDMENT TO CONTINENTAL RANCH PARCEL CO DEVELOPMENT AGREEMENT TOWN OF MARANA, ARIZONA THIS FIRST AMENDMENT TO CONTINENTAL RANCH PARCEL 60 DEVELOPMENT AGREEMENT (this "Amendment ") is made and entered into by and among the TOWN OF MARANA, an Arizona municipal corporation (the "Town "), CONTINENTAL RANCH DEVELOPMENT, LLC, an Arizona limited liability company (the "Developer "), and HURON FARM MANAGEMENT, LLLP, an Arizona limited liability limited partnership (""Huron""). The Town, the Developer, and Huron are sometimes collectively referred to as the "Parties," any one of which is sometimes individually referred to as a "Party." RECITALS A. The Town and the Developer entered into the "Continental Ranch Parcel 60 De- velopment Agreement" dated October 18, 2013, effective November 18, 2013, and rec- orded in the office of the Recorder of Pima County, Arizona, on October 25, 2013, at Sequence 20132980130 (the "Original Agreement ") . B. The Original Agreement facilitated reimbursement of certain public infrastructure costs incurred before November 18, 2015, associated with the development of what was an unimproved vacant parcel of land located on Tiffany Loop then bearing Pima Coun- ty Assessor's parcel number 226- 08 -010B and referred to in the Original Agreement and this Amendment as the "Owner's Land." C. The Owner's Land has now been divided, and Huron now owns that portion of the Owner's Land bearing Pima County Assessor's parcel number 226 -08 -0200 (""Hu- ron's Land ") . D. By virtue of its purchase of a portion of the Owner's Land, Huron is a partial suc- cessor in interest to the Developer for purposes of the Original Agreement. E. Huron's Land is now improved with a John Deere dealership, and Huron and/or Developer paid $398,356.72 for the installation of certain public potable water im- provements (the ""Tiffany Loop Potable Water Line ") to serve the Owner's Land (includ- ing Huron's Land) . F. By the adoption of Marana Resolution No. 2014 -123, the Town accepted the Tiffa- ny Loop Potable Water Line for public ownership and maintenance, and established the estimated value of the Tiffany Loop Potable Water Line at $345,000. 100041563.DOC /} FIRST AMENDMENT TO CONTINENTAL RANCH PARCEL 60 DEVELOPMENT AGREEMENT 4/15/20151:20 PM FJC -1- Marana Special Council Meeting 04/28/2015 Page 25 of 28 G. Developer and Huron have requested reimbursement from the Town of the total cost to install the Tiffany Loop Potable Water Line. H. Although competitive bids were obtained, the procurement process for the con- struction of the Tiffany Loop Potable Water Line did not comply with State of Arizona and Town public infrastructure construction procurement laws and procedures, as required by paragraph 6 of the Original Agreement. AGREEMENT NOW, THEREFORE, in consideration of the foregoing recitals, which are incorporated into this Amendment as though fully restated here, and the mutual covenants set forth in this Amendment and in the Original Agreement, the Parties hereby agree as follows: 1. Public improvements construction and reimbursement. Paragraph 6 of the Original Agreement is modified to waive the public procurement requirement for the Tiffany Loop Potable Water Line. 2. Reimbursement amount. The total amount owed by the Town for the Tiffany Loop Potable Water Line is $345,000. 3. Reimbursement Payments. All Reimbursement Payments under paragraph 10 of the Original Agreement, as modified by this Amendment, shall be paid to the Developer, who in turn shall be solely responsible for any reimbursements owed to Huron under the Original Agreement as modified by this Amendment. Developer shall retain the right to receive Reimbursement Payments as provided by paragraph 10 of the Original Agreement, as modified by this Amendment, regardless of the status of title or owner- ship of any or all of the Owner's Land. 4. Effect. Capitalized words and phrases in this Amendment shall have the meanings set forth in the Original Agreement as modified by this Amendment, and the terms of the Original Agreement shall continue in full force and effect except as expressly modi- fied by this Amendment. 5. Term. This Amendment shall become effective upon its execution by all of the Parties and, unless sooner terminated by the mutual consent of the Parties, shall auto- matically terminate and shall thereafter be void for all purposes on November 18, 2028, which is the 15th anniversary of the Original Agreement's Effective Date. 6. Notices. Paragraph 6 of the Original Agreement is amended by adding Huron's notice information, as follows: If to Huron: HURON FARM MANAGEMENT, LLLP 11111 W. McDowell Road Avondale, Arizona 85323 Telephone: (623) 936 -2081 100041563.DOC /} FIRST AMENDMENT TO CONTINENTAL RANCH PARCEL 60 DEVELOPMENT AGREEMENT 4/15/20151:20 PM FJC -2- Marana Special Council Meeting 04/28/2015 Page 26 of 28 7. Miscellaneous. (A) This Amendment may be executed in multiple counterparts, each of which shall, for all purposes, be deemed an original and all of which, taken together, shall constitute one and the same agreement. (B) This Amendment shall be binding upon and inure to the benefit of the Parties and their respective successors in interest and assigns; provided, however, that no assignment of this Amendment shall in any way relieve the assignor of its obliga- tions under this Amendment, and any sale of any portion of the Owner's Land shall not affect Developer's right to receive Reimbursement Payments (see paragraph 3 of this Amendment) . (C) This Amendment is subject to A.R.S. § 38 -511, which provides for cancella- tion of contracts in certain instances involving conflicts of interest. IN WITNESS WHEREOF, the Parties have executed this Amendment as of the last date set forth below their respective signatures. THE "Town ": TOWN OF MARANA, an Arizona municipal corporation 0 Ed Honea, Mayor Date: ATTEST: Jocelyn C. Bronson, Clerk APPROVED AS TO FORM: Frank Cassidy, Town Attorney The "Developer ": CONTINENTAL RANCH DEVELOPMENT, LLC, an Arizona limited liability company Mark Schlossberg, Manager Date: "Huron ": HURON FARM MANAGEMENT, LLLP, an Arizona limited liability limited partnership HURON FARMS GP, L.L.C., an Arizona limited liability company, its General Partner Thomas F. Rosztoczy, Manager Date: 100041563.DOC /} FIRST AMENDMENT TO CONTINENTAL RANCH PARCEL 60 DEVELOPMENT AGREEMENT 4/15/20151:20 PM FJC -3- Marana Special Council Meeting 04/28/2015 Page 27 of 28 STATE OF ARIZONA County of � SS The foregoing instrument was acknowledged before me on by Mark Schlossberg, Manager of CONTINENTAL RANCH DEVELOPMENT LLC an Arizona limited liability company, on behalf of the LLC. (Seal) Notary Public STATE OF ARIZONA County of � SS The foregoing instrument was acknowledged before me on by Thomas F. Rosztoczy, Manager of HURON FARMS GP, L.L.C., an Arizona limited liability company, General Partner of HURON FARM MANAGEMENT, LLLP, an Arizona limited liability limited partnership, on behalf of the LLLP. (Seal) Notary Public 100041563 /} FIRST AMENDMENT TO CONTINENTAL RANCH PARCEL 60 DEVELOPMENT AGREEMENT 4/15/20151:20 PM FJC -4- Marana Special Council Meeting 04/28/2015 Page 28 of 28