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HomeMy WebLinkAbout05/15/2018 Regular Council Meeting MinutesMARAN A.Z ESTABLISHED 1977 I - R ; [W81 I Wall 11 W4 to- IN 0 to] WN MINUTES 1.1.555 W. Civic Center Drive, Manana, Arizona 85653 Council Chambers May 15, 201.8, at or after 7:00 PM Ed Honea, Mayor Joy. Post, Vice Mayor David Bowen, Council Member Patti Comerford, Council Member Herb Kai, Council Member Roxanne Ziegler, Council Member REGULAR COUNCIL MEETING CALL TO ORDER AND ROLL CALL. Mayor Honea called the meeting to order at 7-16 p.m. Town Clerk Bronson called roll. All Council Members were present. PLEDGE OF ALLEGIANCE/INVOCATION/MOMENT OF SILENCE. Led by Mayor Honea., APPROVAL OF AGENDA. Motion to approve the agenda as amended, by moving item Cl- to the first action item by Council Member fiCai, second by Council Member Bowen. Passed unanimously. CALL TO THE PUBLIC. David Morales spoke 'in favor of the Council being cautious about spending money on future projects. PROCLAMATIONS P1 Proclaiming May 20 - 26, 2018 as National Public 'Works Week (Jocelyn. C. Bronson). Ms. Bronson read the proclamation into the record, May 15, 2018 Regular Council Meeting Minutes 1 P2 Proclaiming November 10, 2018 as Support for the 2018 YMCA community Military Ball (Jocelyn C. Bronson). Ms. Bronson read the proclamation into the record. Mika Reuwsaat, on behalf of the YMCA. introduced members of the board. Ret. Major General Ted Maxwell spoke about the positive impact the Marana Veterans Memorial Cemetery is having on the community and thanked council for their support of veterans. Mike Reuwsaat also noted that World War lI and Korean War veterans, Holocaust survivors and several active members of the military will be guests at this year's ball. He also thanked. Council and staff for their continued support of this event. MAYOR AND COUNCIL REPORTS: SUMMARY 0E CURRENT EVENTS. No reports. MANAGER'S REPORT: SUMMARY OF CURRENT EVENTS. Mr. Mehta noted. the Macro Machines presentation at the Heritage River Park Friday, May 25th from 9:00 a.m. to 1:00 p.m, as part of National Public Works Week. He also noted that there will be a shred--a-thon at the Dove Mountain Retail centre this coming Saturday. PRESENTATIONS CONSENT AGENDA. Motion to approve by Vice Mayor Trost, second by Council Member Bowen. Passed unanimously. C1 Resolution No, 2018-041.: Relating to Darks and Recreation; approving and authorizing the Mayor to sign an intergovernmental agreement between the Cortaro Marana irrigation District and the Town of Marana for the purchase of Environmental Class Water to be used as the water source for the El Rio Preserve; and authorizing the Town Manager to sign rights of entry necessary to convey the grater to the Fl Rio Preserve (Frank Cassidy) . Mr. Cassidy presented this item., noting that the purchase of this water is a very good deal for the town. council Member Ziegler asked if the rate is comparable or less or more than the environmental irrigation rate charged to farmers. Both ,'Vice Mayor Post and council Member Kai addressed her questions. .Motion to approve by Council Member Bowen, second by Council Member Ziegler. Passed unanimously. C2 Resolution No. 2018--042: Relating to Development; accepting for maintenance the Twin Peaks Reservoir and Booster Station and. other Marana Center Phase 2 off-site and on --site water infrastructure improvements (Keith Brann) C3 Resolution No. 2018-043: Relating to Real Property; approving and authorizing the Mayor to execute the First Amendment to Option. and Wireless Communications Facility Lease Agreement with Verizon Wireless LLC for the lease of approximately 864 square feet of Town -owned property at the Town of Marana water reservoir site :located at Linda Vista Boulevard. and Hartman Lane (Jane Fairall) May 15, 2018 Regular Council Meeting Minutes 2 C4 Resolution No. 2018-0_44p Relating to Police Department; approving and authorizing the Magor and. the Chief of Police to execute an intergovernmental agreement between the Town of Maran.a, Pima County and other participating public safety agencies to create and operate the Pima Regional Mobile Field Force (Libby Shelton) C5 Relating to Procurement; approving a change order to the Santa Cruz Shared Use Path EI Rio to Avra Valley Rd. project (PK013) construction contract with Pima Paving Inc. in the amount of $6,245.00; authorizing the transfer of appropriations if necessary. .dor the change order; and authorizing the 'Town Manager or designee to execute the necessary documents to effectuate the change order (Keith Brann) C6 Approve May 1, 2018 Regular Council Meeting Minutes (Jocelyn C. Bronson) LIQUOR LICENSES BOARDS, COMMISSIONS AND COMMITTEES B1 Resolution No. 2018-045-. Relating to Boards, Commissions and Committees; making appointments to the Town of Marana Planning Commission (Jane Fairall). Council Member Comerford, as a member of the Council Committee to review applications for Board of Adjustment and Planning Commission appointments, stated that the Committee is recommending Bryan Schachter to the term. ending June 30, 2019, and. Donald. Hill is recommended to serve the term ending June 30, 2021. Motion to approve by Council Member Comerford, second by council Member Bowen., Passed unanimously. COUNCIL ACTION Al PUBLIC HEARING: Resolution No. 2018.046: Relating to Budget; adopting the fiscal year 2018-2019 tentative budget (Erik Montague). Mayor Honea opened the public hearing. Mr. Montague presented the item, noting that he covered in detail the Manager's Recommended Budget in April. Tonight's presentation is a perspective on the overall recommended budget, The tentative budget brings forward the operating budgets presented. in April and includes the other funds that exist in the structure. Those are the special revenue funds (externally and legally restricted), capital projects funds, including impact fees, debt services fund and the internal services funds (health and dental funds) . Next, he covered the information on the actual. Auditor General Forms which are the estimated revenues and expenditures, tax levy and tax rate inforr'nation., revenues other than property takes, other financing sources and transfers, expenditures by fund, expenditures by department, and data on full-time employees and personnel compensation, Regarding General Fund. FY 2019 reserves, the estimated ending reserve is $22.9M. 'The reserve is held to provide adequate cash. balance, maintain the town's bond ratings and provide capacity for major projects, Mr, May 15, 2018 Regular Council Meeting Minutes 3 Montague did note that the ending balance excludes $5M in contingency funds. Regarding the position summary, there are 363.95 authorized positions, up from the 355.75 in FY 2018. 'rhe eight 'increases are in legal, police, public works, water and water reclamation. Of those, five will be paid from the general fund, two from the water fund and one from the water reclamation fund. Employee compensation will be based on team performance of up to 3.5% for employees who demonstrate performance and behavior aligned with. the town's Strategic Plan and cultural values. The overall expenditure limitation is established at $141.7M. As with any tentative budget, expenditure authority may only be reallocated or reduced (not increased) prior to the adoption of the final budget which will be a public hearing on June 19, 2018. He concluded his presentation by acknowledging Starla. Anderson, interim finance director, and Michael Dyckmaj.,i, budget analyst and the dedication of the individual department directors as they presented their budgets. Mayor Honea opened the public hearing. There were no speakers; Mayor Honea closed the public hearing. Council Member Bowen gave kudos to Mr. Montague and his staff for putting this Complex budget together. He then asked about the estimated ending reserve of $22.9M was cash. Mr. Montague responded that it was partially cash and partially due from other funds loaned out, such as the airport and the gravity portion of the sewer conveyance line. From an accounting perspective., what triggers loans to be paid back as part of reserves depends on the likelihood of repayment. If loans are unlikely to be repaid, that may trigger instead a write-off. Bond counsel does look at these types of things when the town goes out for bonds. We have a note disclosure within our annual comprehensive financial report which is an audited record and part of their due diligence is related to the likelihood of repayments. Right now there is about $5M owed back to the general fund, about $2M from the airport and a little more than $3M for the gravity portion of the sewer conveyance. The rating agencies are the ones that inquire as to what the plan is for the repayment of debt. Council Member Ziegler put forward food for thought about obtaining grants for the town, using money from the reserves or contingency funds to fund the airport and moving forward with investments in the Main Street development. Perhaps the town should consider investing in public infrastructure to draw investors rather than waiting for investors to come to the town, She then asked about the savings to the town. as a result of moving to Blue Cross/ Blue Shield as the town's health benefit provider. Mr. Hale noted that from a cost and services standpoint,, the town saved about $400K. Vice Mayor Post agreed with her comments and noted that the town has been moving forward on all of the items she mentioned, including adoption of the airport master plan, the economic development strategic plan and the extending the downtown reinvestment plan. Council Member Officer commended Mr. Montague for the transparency of the budget and budget process. Motion to approve the tentative budget by Council Member Bowen, second by Council Member Kai. Passed 6-1 with Council Member Ziegler voting nay. May 15, 2018 Regular Council Meeting Minutes 4 A2 Ordinance No. 2018.011: Relating to Finance, amending the Town of Marana Comprehensive Fee Schedule; and designating an effective date (Erik Montague) Mr. Montague noted that as part of our annual process we look at our fees and 'work through a process internally to ensure that all of the fees we have are appropriate and necessary. In a previous cycle, we reduced hundreds of fees which benefitted this cycle in that we had eery few changes. On February 20, 2018, we presented a list of the proposed changes. we reached out as well to SAHBA, MPA and others for their feedback. we received no significant comments. Consistent with state statute, we met the public notice requirements for posting changes. The changes are incorporated within the body of the ordinance, we are not anticipating any major changes to revenues for the upcoming year. The ordinance, if approved, sets an effective date of July 2,. 201.8. Motion to approve by Vice Mayor Post, second by Council Member Kai. Passed unanimously,, A3 Resolution No. 2018-047: Relating to Utilities; authorizing acquisition of the Adonis Mobile ;lame Park wastewater conveyance system and authorizing the application for a Clean water State Revolving Fund loan from the water Infrastructure Finance Authority of Arizona (john Kmiec) Mrs Kmiec gave Council. a fresher update on the Adonis neighborhood on the east side of 1.10, and the sewer which is operated by the homeowners` association (HOA). Staff has known that there has been a desire to connect this private system to the municipal system because of the aging infrastructure located in this area. Earlier this fiscal year there was money set aside in the budget to Adonis repair roads and make drainage improvements. when the Public works department and the Engineering group began looking at the condition of the surface, they called the water department and stated. that the sewer system may be in worse shape than was anticipated. So instead of using money to rebuild the roads and work on the drainage projects right away, staff started looking into the HOA" s sewer collection system and acknowledged its poor condition. .After examining what staff could potentially do, one of the proposals is to develop a lift station, replacing the lift station that is currently there with the terminus end. at one of the San Lucas sewer collection systems just to the north. To integrate this proposal would cost of just over $1..4M. This would include cleaning and repairing the existing conveyance infrastructure, designing and constructing a new lift station. and then the town taking on the responsibility for the impact fees for approximately 143 active accounts. In looking for funding opportunities, the water department and the Finance department looked at several financing possibilities, and the one that carne with the best May 15, 2018 Regular Council Meeting Minutes 5 return was the Water Infrastructure Finance Authority of Arizona (wIFA) which the town has used in the past. WIFA is willing to provide the town with financing for the project. In their draft proposal, the first $740,995 would be "forgivable principal," essentially a grant. They would cover the first 50% of the project. It meets their criteria as a top project to work on because it eliminates a known and potential hazard within the community, The remaining borrowed amount would be at a rate lower than current rates offered to the town through traditional lending options. Staff believes this is a good deal. He thanked Rachel Whitaker, the town's grant manager who has been playing point to help come up with this plan and negotiating it, as well as Scott Schladweiler, deputy -water director, who did a lot of the estimates on the project. Mayor Honea asked how the impact fees of $561,990 would be collected. Mr. Kmiec noted that that would be part of the loan package. It would be a town loan with reimbursement to the wastewater impact fee. Council Member Ziegler asked what the loan rate would be, and Mr. Kmiec responded that the initial numbers received from WIFA were between 2.6% and 2.7%. Council Member Ziegler asked if Council wanted to go through. WIFA or consider paying for the other half of the project from contingency funds so that the towns debt would be lessened. Vice Mayor Post moved to approve Resolution N'o,, 2018-047, second by Council Member Kai'. Passed unanimously. ITEMS FOR DISCUSSION/ POSSIBLE ACTION D1 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 (Jarnsheed Mehta). Mr. Mehta noted that Triadvocates would be 'Invited to give an overall update of the past legislative session, including election changes and filings before Council on June 5, 2018. 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. El 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 A. matter listed on this agenda. E2 Executive Session pursuant to A.R.S. § 38-431.03 (A)(1) for discussion, consideration and possible interviews of candidates for appointment to the Planning Commission. May 15, 2018 Regular Council Meeting Minutes 6 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). ADJOURNMENTO Motion to adjourn at 8 3 p.m,. by 'Vice Mayor Post, second by Council Member Bowen. Passed unanimously. CERTIFICATION I hereby certify that the foregoing are the true and correct minutes of the Marana Town Council meeting held on May"15, 2018. 1 further certify that a quorum was present, o c celyn Vronson, Marana Town Clerk MARANA AZ '. S TA R L I 11; H FD 1977 May 15, 2018 Regular Council Meeting Minutes 7