HomeMy WebLinkAbout06/05/2018 Regular Council Meeting Minutes............
MARANA A-Z
ESTABLISHED 1977
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REGULAR COUNCIL MEETING
W&W-0411 M-1
11555 W. Civic Center Drive, Marana, Arizona 85653
Council Chambers June 5, 2018, at or after 7:00 PM
Ed Honea, Mayor
Jon Post, Vice Mayor
David Bowen, Council Member
Patti Comerford, Council Member
Herb Kai, Council Member
John Officer, Council Member
Roxanne Ziegler, Council Member
REGULAR COUNCIL MEETING
CALL TO ORDER AND ROLL CALL. Mayor Honea called the meeting to order at
7:00 p.m. Town Clerk Bronson called roll. Council Member Kai was excused, There
was a quorum present.
PLEDGE OF ALLEGIANCE/INVOCATION/MOMENT OF SILENCE. Led by Mayor
Honea,,
APPROVAL OF AGENDA. Motion to approve by Vice Mayor Post, second by Council
Member Ziegler. Amended motion by Vice .Mayor Post to move item DI to the first
item after the Call to the Public. Seconded by Council Member Bowen. Passed 6-0.
CALL, `TO THE PUBLIC. No speaker cards were presented.
D1 Relating to Intergovernmental Relations; presentation, discussion and
consideration regarding the recently adjourned 2018 session of the Arizona State
Legislature, as well as possible trends for the 2019 session, and a forecast for the
upcoming election cycle ('cony Hunter).
June 5, 2018 Regular Council Meeting Minutes 1
Tony Hunter introduced the town's lobbying representatives from Triadvocates,
Lourdes Pena and. Michael Gardner, who began their presentation with an overview of
their firm and continued with the highlights of the 116 -day 2018 session which
adjourned sine die on May 4th. Bilis introduced numbered. 1206; bills signed. numbered
346. Twenty-three bills were vetoed. and 860 bills died.. Highlights of the session were
the opioid epidemic special session, the expulsion of Rep. Don Shooter over sexual
misconduct, and the #RedForED teacher walkout. They then reviewed bills of interest
to Marana that passed, such as HB2484, the construction. TPT simplification bill, and
bills of interest that didn't pass such as HB 2479, digital. goods tax reform, SB 1147,
County excise tax for transportation, and repeal of HB 2535, county municipal land.
acquisition.. :Next was overview of the FY 2019 state budget, which -was approved for
$10,4B spending authority. Highlights were K-12 education funding which included a
19% increase in teacher pay by 2020 and. $100M: for school restoration capital funding,
$30M for HURF funding, a highway safety fee to generate $91M, $14M for the Rio
Nuevo Multipurpose Facility District and. $4001 for a water study.
They noted that regarding 2018 elections, all statewide offices are up for re-election.
There will be new legislative leadership teams in both chambers, and every legislative
district is up for re-election with. 12 open legislative seats. At the federal level there is
one seat and potentially two U.S. Senate seats open. Every Congressional District seat is
up for re-election with open seats in CD2, CD8 and CD9. The State House Republicans
are expected to retain their majority with a possible split if the Democrats pick up two
seats. There is a possible 15-15 split in the Senate or even a flip to a Democrat majority.
Competitive races include possible flips in LD's 6,10,18, 20 and 28.
Statewide initiatives expected to get enough signatures to make it on the ballot are
pension reform for public safety and elected officials, expansion of the school voucher
referendum, investment in education, stopping political dirty money and clean energy
for a healthy Arizona. Also reviewed were the legislative teams representing Marana,
specifically those candidates or incumbents running for election in LD 11 - Senate
Vince Leach has no opposition from other Republican candidates - and LD 11 - House -
Mark Finchem, incumbent, will face off with three other Republicans - Bret Roberts,
Howell ",Tonesy" Hones and Bridger Kimball - against three Democrat candidates. Five
statewide legislators are retiring, seven are seeking higher office and. 20 are switching
chambers,
PROCLAMATIONS
MARCOR AND COUNCIL REPORTS: SUMMARY OF CURRENT EVENTS. council
Member Comerford thanked everyone who helped her provide 115 summer survival
kits for homeless veterans. Council. Member Officer thanked the marks and. Recreation.
staff for a great night hike. Mayor Honea reported ted of i the RTA annual meeting g and a
meeting with the Southwest Gas executives. Both groups indicated that they are having
.lune 5, 2018 Regular Council Meeting Minutes 2
a difficult time getting construction workers to fill all types of trade and labor jobs, The
Mayor suggested that they look into the CTE programs at Marana High School..
MANAGER'S REPORT: SUMMARY of CURRENT EVENTS. Mr. Mehta noted that
the Council Executive Report for the month is available online, and format
improvements are continuing. For last month, we permitted 79 single family residences
(SFR's). Adding model and/or custom homes, that number is closer to 83. So for the 5 -
month period, we have 344 SFR's, which is close to the 50% mark. Also, the
Communications team started the monthly Marana Town Talks pod.casts on the
website, the first one starting with details of the process for organizing the State of the
Towri, several Marana events, the budget process, and a feature item - the hats at the
Ina Road. Bridge.
PRESENTATIONS
P1 Relating to Budget; presentation of third quarter results (January -March) for. the
Towns General Fundi and other selected major funds for the 2017.18 fiscal year (Starla
Anderson). Ms. Anderson noted that after tonight's presentation, this report would be
available on the town's website under Finance, Budget and Financial Reports. She noted
that revenues are generally within the third quarter projections with the exception of
the HURF fund. ADOT has reported that statewide HURF collections are approximately
`/z percent below forecast; however, actual revenue collections are exceeding revenues
from this time last fiscal year. Most of the town's revenue funds are in excess of
expenditures with the exception of the 1/2 cent sales tax fund and the airport fund. For
the 1/2 cent sales tax fund, this is due to revenues that were collected in prior gears for
expenditures that are happening in the current fiscal year, we do have a budgeted
transfer from the general fund to the airport fund that has not yet occurred.
Ms. Anderson. then covered more detail with each of the funds, showing both. revenues
and expenditures with a year over year comparison with each category as well as year
to date actual budget comparison. She noted that general fund revenues are budgeted
conservatively, and we are within a couple of percentage points of projection.
However, looping at Licenses, Fees and Permits, we are well above projections. For the
calendar year, we are doing very well for SFR. permits. For the fiscal year, we projected.
625 permits to -be issued, and as of March 31, we issued 525 permits. we are below
budget on expenses for the quarter primarily in personnel and benefits where several
key positions have vacancy savings for this fiscal year. In the capital outlay category, a
couple of things are happening, we do have a project starting in the last quarter - the
Silverbell Splash Kaci. we will have some carry -forward of some projects. we have over
$300K in savings that will not be spent but put back into the general fund account. The
HURF fund is also well below expenditures. One of the items from this fund is the
$1.2M pavement preservation program.; however, we have an $830K contract for the
fourth quarter, so the full funding will not be spent. 'T'he Transportation_ fund is within
projection for revenues, and expenses are well below projections because several large
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capital projects have not come to fruition, one of which is the Ina Road bridge.
Although $6.6M was budgeted, ADOT has only billed us for $600K, so a large portion
will be carried forward into the next fiscal year. We also have Coachline Boulevard and
the Tangerine corridor that will be carried forward. The discretionary portion of the Bed
Tax fund, the hotel and lodging tax, is above projection, and we are right on track with
expenses.
For the 1/2 cent sales tax, we are close to projections for revenue collections.
Expenditures are below forecast because the new police facility won't be finished until
the next fiscal year, so there will be a carry -forward of approximately $5M to finish that
facility. As to the enterprise funds, the Water fund is on track with forecasts, and
expenditures are below projections. They do have a contract out for $280K for repairs
and upgrades, so that will be spent in the fourth quarter. For the Water Reclamation
fund, their revenues are coming in above projection, primarily due to the connections in
the Saguaro Bloom development, On expenses, they do have some contracts out for the
fourth quarter, but they are still expected to come in under budget. Lastly, with the
Airport fund, the revenues aren't exceeding expenditures yet, but they are exceeding
forecasts. We have had some adjustments to our leases that have increased our
revenues, which will be discussed during a later council item, and we also had
additional fuel purchases this year that have exceeded forecasts. The airport has done a
good job in maintaining their operating costs and are expected to come in below budget
for the fiscal year. She noted that the increases in revenues that have occurred so far
were built into the consumer price indexing. Lease renewals will be discussed as noted
above. In response to a question from Council Member Ziegler, Ms. Anderson noted
that although revenues exceed forecasts, the general fund still subsidizes the airport.
CONSENT AGENDA. Motion to approve by Vice Mayor Post, second by Council
Member Comerford. Passed unanimously 6-0.
C1 Ordinance No. 2018.012 Relating to Development; revising the Marana
Subdivision Street Standards Manual and Marana standard detail 100-1 for local streets
to allow wedge curbs; and establishing an effective date (Keith Brann)
Resolution No. 2018-048: Relating to Development; declaring as a public record
filed with the Town Clerk the revised Marana standard detail 100-1 for local streets
adopted by Ordinance No. 2018.012 (Keith Brann)
C2 Relatingto Procurement; approving a change order to the Marana Road
10
Realignment (ST044) construction contract with Pima Paving Inc, in the amount of
$23,474.x.7; authorizing the transfer of appropriations if necessary for the change order;
and authorizing the Town Manager or designee to execute the necessary documents to
effectuate the change order.
June 5, 2018 Regular Council Meeting Minutes 4
C3 Resolution No. 2018-049: Relating to Parks and Recreation; approving and
authorizing the Mayor to execute the first amendment to intergovernmental agreement
between the Town of Marana and Pima County Community College District for the
delivery of adult and youth programming at designated Town facilities (Jim Conroy)
C4 Resolution No. 2018-050: Relating to Development; approving a development
plan for a commercial development on Lots 293B and 294A of Cortaro Ranch located
north of Cortaro Farms Road and west of Cerius Stravenue (Brian D. Varney)
C5 Resolution No, 2018-051: Relating to the Police Department; exempting
undercover vehicles used by the Marana Police Department in felony investigations or
activities of a confidential nature from Arizona state laws related to the designation of
political subdivision motor vehicles; authorizing the Chief of Police to renew existing
vehicle registrations for these undercover police vehicles and to obtain vehicle
registrations for new under -cover vehicles to be used in felony investigations or
activities of a confidential nature (Libby Shelton)
C6 Resolution No, 2018-052: Relating to Parks and Recreation; approving and
authorizing the Parks and Recreation Director to execute the First Amendment to
Facility Usage Agreement between the Town of Marana and Leman Academy of
Excellence, Inc. (Jim Conroy)
C7 Resolution No. 2018-053: Relating to the Police Department; approving and
authorizing the Chief of Police to execute a Data Access/ Exchange Agreement between
the Town of Marana and the Arizona Department of Transportation Motor Vehicle
Division regarding the Accident Location Information and Surveillance System (A.LISS)
database and the Arizona Crash Information System (ALIS} (Libby Shelton)
C8 Resolution No. 2018-054: Relating to Development; approving a final plat for Del
Webb at Dove Mountain VII, Lots 455-553 and Common Area "A" (Drainage/Open
Space), generally located southeast of the intersection of Dove Mountain Boulevard and
Rim Trail (Ryan Fagan)
C9 Resolution No. 2018-055: Relating to Economic Development; approving and
authorizing the Mayor to execute a funding agreement between the Town of Marana
and the Marana Chamber of Commerce, Inc. for fiscal year 2018-2019 to support the
operation of the Marana Visitor Center and provision of services to the Marana
community (Curt Woody)
C10 Resolution No. 2018-056: Relating to the Police Department; approving and
authorizing the Mayor to execute a service agreement with the Marana Unified School
District to provide a school resource officer in support of the District's School Safety
Program (Jane Fairall)
,June 5, 2018 Regular Council Meeting Minutes 5
C11 Resolution No. 2018-0.57: Relating to Municipal Court; approving and
authorizing the Mayor to execute an intergovernmental agreement between Pima
County and the Town of Marana for payment for the incarceration of municipal
prisoners for the period of July 1, 2018 through June 30, 2019 (Jane Fairall)
C12 Resolution No. 201.8-058-, Relating to Public Safety; approving and authorizing
the Mayor to execute the first amendment to intergovernmental agreement between the
Town of Marana and Pima County for Pima County Wireless Integrated Network
(PCWIN) subscriber services (Jane Fairall)
C13 Resolution No. 2018-059.- Relating to the Police Department, approving and
authorizing the Mayor to execute an intergovernmental agreement with. Pima County
for funding of Pima County Mapping Administrator Position (Jane Fairall)
C14
Rpe,n1iiflcin No ?n18-060* Relating to Clnimc, and c'iefflemenf: auffiorizimy the
Town Manager to enter
damage incurred by the
Center (Jane Fairall)
into a settlement in the amount of $15,926.1.5 for property
Town on April 25, 2018 at the Town of Marana Community
C15 Approve May 15, 2018 Regular Council Meeting Minutes (Jocelyn C. Bronson)
LIQUOR LICENSES
Ll Relating to Liquor Licenses; recommendation to the Arizona Department of
Liquor Licenses and Control regarding a Person Transfer and Location Transfer series
#9 Liquor Store liquor license application submitted by Inder Preet Kaur on behalf of
Arco AM/PM, located at 3825 W. Orange Grove Road (Jocelyn C. Bronson). Ms.
Bronson noted that the application had been properly reviewed and posted, and staff is
recommending approval. Motion to approve by Council Member Ziegler, second by
Counc1*1 Member Bowen. Passed 6-0.
L2 Relating to Liquor Licenses; recommendation to the Arizona Department of
Liquor Licenses and Control regarding a special event liquor license application
submitted by Patrick R. Nilz on behalf of Marana Heritage Conservancy for Star
Spangled Spectacular to be held on July 4, 2018 (Jocelyn C. Bronson). Ms. Bronson
noted that the application had been properly reviewed, and staff is recommending
approval. Motion to approve by Councl"I Member Bowen, second by Counc1*1 Member
Ziegler. Passed 6-0.
BOARDS, COMMISSIONS AND COMMITTEES
COUNCIL ACTION
June 5, 2018 Regular Council Meeting Minutes 6
Al Resolution No. 2018-061: Relating to Marana Regional Airport, approving and
authorizing the Mayor to execute the Amended, Restated and Consolidated Marana
Regional Airport Lease Agreement with Pima Aviation, Inc., the First Amendment to
First Amended FBO Lease Agreement with Pima Aviation, Inc., and the Second
Amendment to Master Development Lease Agreement with Pima Aviation, Inc. for
leases of real property located at the Marana Regional Airport, 11700 West Avra Valley
Road (Jane Fairall and Steve Miller). Ms. Fairall noted that this item is the culmination
of ongoing negotiations between town staff and Pima Aviation, the fixed base operator
(FBo) which holds most of the leases at the airport. There are currently four leases with.
Pima Aviation: the Skydive lease, the East Hangar lease (7.91 acres), the FBO lease, and
the Master Development lease. She noted that both the Skydive lease and the East
Hangar lease were entered into in 1991 when Pima County owned the airport.The town
is the successor on those leases. These leases expired in 2016, but nearly a year ago the
Council approved a retroactive extension of those leases while staff continued to
negotiate with Pima Aviation, negotiation being one of the conditions of the retroactive
extension. Staff is proposing to consolidate the Skydive and the East Hangar lease. 'The
acreage for the Skydive lease remains the same; the acreage for the East hanger lease
will be reduced to almost 110,000 square feet which will be the actual building footprint
of the Hangars built by Pima Aviation plus a 15 -foot buffer on all sides. The remainder
of the original 7.91 acres will be maintained by- the town for public usage. The
negotiated term is 25 years from the date of approval. Previously, both leases had 25 -
year terms under Pima County's ownership, and the East Hangar piece had a 10 -year
option that Pima Aviation did not exercise. The Skydive lease had a 25 -year option
which Pima Aviation didn't exercise in a timely manner, and that is why we are before
Council with these renegotiated terms. There will be an increase in rent on the Skydive
parcel which will be $.43 per square foot for the 8,000 square foot improved portion,
and the rest will be at $.086 per square foot for the unimproved portion. The lease does
include terms that if or as improvements are made on the rest of the parcel, the rent will
change to the higher amount of $.43 per square foot. The East Hangar portion will be at
the higher rate of $.43 per square foot. These rates are based on. a fair market value
appraisal requested by the town for these airport parcels. The rents will be adjusted
every three years based on the consumer price index, but they will never decrease.
The amendment to the FBO lease is minor. We are removing about 2.4 acres from the
lease because right now the lease encroaches into the parking lot and restaurant area
and a piece of the Marine Memorial that the town constructed. 'The town is making a
couple of changes to the Master Development lease due to some property being in the
lease that the town still controls, and we are reconfiguring the boundary so that an
existing building will be on the leased parcel; the acreage is not changed. On a separate
parcel, we are removing about five acres from the lease which is in the runway visibility
zone, so it's not developable property, The five acres cant be developed by anyone
which is why it is being taken out of the lease. With all three documents, we are
bringing our leases up to current standards required by FAA provisions, particularly -
with the consolidated lease.
June 5, 2018 Regular Council Meeting Minutes 7
In response to questions from Council., Ms. Fairall stated that the FBO lease goes to
2046.TheMaster Development lease was entered into in 1999 with a 25 -year term,, so it
will go to 2026. It also has a 25 -year option, and the option is at Pima Aviation's
discretion as long as they are in compliance with the terms of the lease. The airport was
purchased in 1999 for $206K. The leases were negotiated with Gary Abrams and his
staff between Mr. Abrams and the town team of Ms. Fairall, Mr. Mehta, Steve Miller
and Steve Romero. Ms. Fairall also noted that it is common for FBO leases and the
Master Development lease to be long-term because the desire is to give the lessee the
time to develop the property. Leases are generally 10-40 years, especially for
undeveloped airports. There are no easy out provisions or requirements to negotiate on
either side regardless of whether changes occur in the economy or otherwise in the
future. Staff followed the FAA leasing guides and handbook during the negotiations.
Steve Miller, airport manager,, stated that the Skydive facility now is used strictly for
military training. Public skydiving stopped in about 2005. Two different companies
contract to do military and special forces parachute operations, and that has become
fairly busy at two trainings per week. In response to Council Member Ziegler question
about when the airport can be an enterprise -funded airport, Mr. it stated that the
FAA dictates to airports of Marana's size that we must strive to be self-sufficient. That is
also the goal of town management and Mr. Miller, Unlike big airports such as Sky
Harbor and Tucson International,, we don't have the same revenue sources which are
predominantly landing fees, concessions and parking fees. Our best opportunities for
revenue are increased land leases. More of the airport is vacant than is being leased
right now. Since he has been at the airport he has had and continues to have discussions
with people who are interested in development. Airports, when the economy goes
down, are typically the first to take the brunt and the last to recover. Our airport is still
feeling the impact from the 2008 recession. However, our jet operations year over year
are increasing. Typically this time of year, jets are done for the summer, but we are
continuing to see that traffic right now. Hopefully, by the next Council meeting, we will
have a grant that will bring us up to about $11M in grants just since he has been with
the town. Mr. Miller stated that he appreciates what the town has done to support the
airport because that adds to its success. As far as revenues, even though there is a cost
to the town from the general fund, an ADOT economic impact study done in 2012
indicated that the airport brings in $18M in direct and indirect impact every year,, so for
him, that"s a great investment even though we"re spending to make that happen. Prior
to a motion for approval, there was a brief discussion between staff and Council
regarding ownership of the hangars.
Motion to approve by Vice Mayor Post, second by Council Member Ziegler. Passed 6-0.
ITEMS FOR DISCUSSION/ POSSIBLE ACTION
June 5, 2018 Regular Council Meeting Minutes 8
D2 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 (Jaamsheed Mehta)
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
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).
Council Member Comerford asked for an update on the new public safety facility. Mr.
Mehta stated that current predictions indicate that significant construction should be
complete in August and that sometime in September we should be able to start
transferring staff, equipment and furniture into the new facility. On the financial side-,
-initially we allocated $3M from the general fund in addition to some RICO funds to
supplement $18M frorn the 1/2 cent sales tax. However, under the new budget )/Ve
anticipate approximately $500K of savings will be returned back to the general fund.
ADJOURNMENT. Motion to adjourn at S:22 p.m. by Vice Mayor Post, second by
Council Member Bowen. Passed 6-0.
CERTIFICATION
I hereby certify that the foregoing are the true and correct minutes of the Marana Town
Council meeting held on June 5, 201K 1 further certify that a quorum was present.
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Tocely , Bronson, Marana Town Clergy=
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MARANA AZ
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June 5, 2018 Regular Council Meeting Minutes 9