Consideration and Approval of Grant Agreement and Acceptance of Grant Funding:  Fiscal Year 2012 Arizona State Parks Growing Smarter Grant.

Subsidiary Decisions Points: Approval of the Grant Agreement is necessary for receipt of Arizona State Parks funds for the City’s acquisition of Picture Canyon.

Approval of the Grant Agreement will bring $2,389,000 into the City of Flagstaff to acquire State Trust lands at Picture Canyon. The City has bond authority available for the open space purchase.

A sustainable community through economic vitality, environmental protection and social inclusion.

Yes, on June 7, 2011 Council adopted Resolution 2011-22 in support of the preservation of Picture Canyon. On April 3, 2012, Council adopted Resolution 2012-12 approving a cultural resources policy for Picture Canyon. On June 5, 2012 Council passed Resolution 2012-24 approving the submission of a grant application to Arizona State Parks for the Growing Smarter State Trust Land Acquisition Program to acquire land at Picture Canyon.

Option A – Authorize the acceptance of funds. This will provide the City with the necessary matching funds to acquire Picture Canyon for conservation purposes.  
Option B – Not authorize the acceptance of funds.  This will result in the discontinuation of efforts to acquire Picture Canyon for conservation purposes.

As critical riparian habitat, a popular recreation corridor, and home to over 125 Northern Sinaguan petroglyph panels, Picture Canyon is a natural and cultural amenity for northern Arizona. Efforts to protect Picture Canyon began decades ago and continue today. A milestone was achieved in August 2011 when the City of Flagstaff Open Spaces Commission approved the use the of the remaining Open Space bond funds for the acquisition of Picture Canyon. In April 2012, the State Land Commissioner ordered that Picture Canyon be reclassified as suitable for conservation purposes. In June 2012, the City submitted the Growing Smarter Grant application. On September 20, 2012, the Arizona State Parks Board awarded the City of Flagstaff $2.389 million to go towards the costs of acquiring Picture Canyon for conservation purposes. 

In the event of a successful acquisition, the City will be required to allow Arizona State Parks to hold a conservation easement over the property which will prevent the City from utilizing Picture Canyon for anything other than conservation purposes. The State Land Department auction is scheduled for October 30, 2012. In order to participate in the auction, the City must approve the grant agreement and accept the grant funds. 

Acquiring Picture Canyon for conservation purposes as open space will provide a natural place for members of the Flagstaff community to learn about ecology, geology, archaeology, and civic engagement while participating in outdoor recreation. Preserving the canyon will protect important view sheds for Flagstaff residents and visitors to the region. Over the years, Picture Canyon has emerged as an important resource for recreation, education, and tourism. Picture Canyon hosts a segment of the Arizona Trail and provides for future Flagstaff Urban Trail System segments that promote connectivity for non-motorized transportation and recreation. Arizona Game & Fish has identified Picture Canyon as an important wildlife habitat and a significant site in their Watchable Wildlife program. According to the 2006 National Survey of Fishing, Hunting, and Wildlife-Associated Recreation, 1.3 million wildlife viewing participants spend $838 million in Arizona annually. Sites like Picture Canyon significantly contribute to the local tourism economy. Additionally, it is a benefit to the community to see their approved bonds being used suitably and as intended in the bond. 

On February 14, 2012, Arizona State Land Department held a public comment hearing on the reclassification of Picture Canyon for conservation purposes. Over 300 community members attended and all of the testimony received was in support of the reclassification. 

Option A – Authorize the acceptance of funds. This will provide the City with the necessary matching funds to acquire Picture Canyon for conservation purposes.  
Option B – Not authorize the acceptance of funds.  This will result in the discontinuation of efforts to acquire Picture Canyon for conservation purposes through the Growing Smarter Grant process.