CITY COUNCIL REGULAR MEETING
TUESDAY, JUNE 7, 2016
COUNCIL CHAMBERS
211 WEST ASPEN
4:00 P.M. AND 6:00 P.M.
MINUTES
1.
CALL TO ORDER
Mayor Nabours called the Regular Meeting of the Flagstaff City Council held June 7, 2016, to order at 4:00 p.m.
Mayor Nabours called the Regular Meeting of the Flagstaff City Council held June 7, 2016, to order at 4:00 p.m.
NOTICE OF OPTION TO RECESS INTO EXECUTIVE SESSION
Pursuant to A.R.S. §38-431.02, notice is hereby given to the members of the City Council and to the general public that, at this regular meeting, the City Council may vote to go into executive session, which will not be open to the public, for legal advice and discussion with the City’s attorneys for legal advice on any item listed on the following agenda, pursuant to A.R.S. §38-431.03(A)(3).
2.
ROLL CALL
Others present: City Manager Josh Copley and Interim City Attorney Sterling Solomon.
| NOTE: One or more Councilmembers may be in attendance telephonically or by other technological means. |
| PRESENT: MAYOR NABOURS VICE MAYOR BAROTZ COUNCILMEMBER BREWSTER COUNCILMEMBER EVANS COUNCILMEMBER ORAVITS COUNCILMEMBER OVERTON COUNCILMEMBER PUTZOVA |
ABSENT: NONE |
Others present: City Manager Josh Copley and Interim City Attorney Sterling Solomon.
3.
PLEDGE OF ALLEGIANCE AND MISSION STATEMENT
The audience and City Council recited the Pledge of Allegiance and Mayor Nabours read the Mission Statement of the City of Flagstaff.
MISSION STATEMENT
The mission of the City of Flagstaff is to protect and enhance the quality of life of its citizens.
The mission of the City of Flagstaff is to protect and enhance the quality of life of its citizens.
4.
APPROVAL OF MINUTES FROM PREVIOUS MEETINGS
A.
Consideration and Approval of Minutes: City Council Special Meeting (Executive Session) of May 17, 2016; Regular Meeting of May 17, 2016; and the Special Meeting (Executive Session) of May 31, 2016.
Moved by Councilmember Jeff Oravits, seconded by Councilmember Scott Overton to approve the minutes of the City Council Special Meeting (Executive Session) of May 17, 2016; Regular Meeting of May 17, 2016; and the Special Meeting (Executive Session) of May 31, 2016.
Vote: 7 - 0 - Unanimously
5.
PUBLIC PARTICIPATION
Public Participation enables the public to address the Council about an item that is not on the agenda. Comments relating to items that are on the agenda will be taken at the time that the item is discussed. If you wish to address the Council at tonight's meeting, please complete a comment card and submit it to the recording clerk as soon as possible. Your name will be called when it is your turn to speak. You may address the Council up to three times throughout the meeting, including comments made during Public Participation. Please limit your remarks to three minutes per item to allow everyone an opportunity to speak. At the discretion of the Chair, ten or more persons present at the meeting and wishing to speak may appoint a representative who may have no more than fifteen minutes to speak.
None
Public Participation enables the public to address the Council about an item that is not on the agenda. Comments relating to items that are on the agenda will be taken at the time that the item is discussed. If you wish to address the Council at tonight's meeting, please complete a comment card and submit it to the recording clerk as soon as possible. Your name will be called when it is your turn to speak. You may address the Council up to three times throughout the meeting, including comments made during Public Participation. Please limit your remarks to three minutes per item to allow everyone an opportunity to speak. At the discretion of the Chair, ten or more persons present at the meeting and wishing to speak may appoint a representative who may have no more than fifteen minutes to speak.
None
6.
PROCLAMATIONS AND RECOGNITIONS
None
None
7.
APPOINTMENTS
Pursuant to A.R.S. §38-431.02, notice is hereby given to the members of the City Council and to the general public that the City Council may vote to go into executive session, which will not be open to the public, for the purpose of discussing or considering employment, assignment, appointment, promotion, demotion, dismissal, salaries, disciplining or resignation of a public officer, appointee, or employee of any public body...., pursuant to A.R.S. §38-431.03(A)(1).
None
Pursuant to A.R.S. §38-431.02, notice is hereby given to the members of the City Council and to the general public that the City Council may vote to go into executive session, which will not be open to the public, for the purpose of discussing or considering employment, assignment, appointment, promotion, demotion, dismissal, salaries, disciplining or resignation of a public officer, appointee, or employee of any public body...., pursuant to A.R.S. §38-431.03(A)(1).
None
8.
LIQUOR LICENSE PUBLIC HEARINGS
None
None
9.
CONSENT ITEMS
All matters under Consent Agenda are considered by the City Council to be routine and will be enacted by one motion approving the recommendations listed on the agenda. Unless otherwise indicated, expenditures approved by Council are budgeted items.
Mayor Nabours asked for clarification on item 9-A. Public Works Director Andy Bertelsen replied that they currently have trucks on order that were approved for the FY16 budget. They are anticipating their arrival in September or October. They were also approved for an additional three trucks in FY17 and they are currently working on those specs. This will allow them to keep up with the work while the new trucks are coming in and others are being worked on.
Moved by Mayor Jerry Nabours, seconded by Councilmember Karla Brewster to approve consent agenda items 9-A through 9-D.
Vote: 7 - 0 - Unanimously
A.
Consideration and Approval of Contract: Emergency purchase Master Lease/Rental Agreement for two solid waste trucks
Approve the emergency purchase Master Lease/Rental Agreement between Rush Truck Leasing, Inc. and the City for two solid waste trucks
B.
Consideration and Approval of Amendment to Intergovernmental Agreement: Intergovernmental Agreement /Joint Project Agreement (IGA/JPA) 11-085 between the State of Arizona and the City of Flagstaff acting for and on behalf of the Flagstaff Metropolitan Planning Organization, Amendment 5 for Fiscal Year 2017 (Annual Update of FMPO IGA/JPA)
Approve the IGA/JA 11-085 Amendment 5
C.
Consideration and Approval of Contract: Hazardous Waste Removal and Disposition
Approve the Service Agreement with Veolia ES Technical Solutions on a time and materials basis per the Staff Summary attachment, and authorize City Manager to execute the necessary documents.
D.
Consideration and Approval of Contract: Construction Manager at Risk Construction Contract for Street Maintenance Program 2016 (Phase 2). Approve agreement with C and E Paving and Grading, LLC.
1) Approve the Construction Manager at Risk Construction Contract with C and E Paving and Grading, LLC in an amount not to exceed $1,867,387.18 for Guaranteed Maximum Price GMP #2 (Chip Seal projects).
2) Authorize Change Order Authority of 10% for GMP # in the amount of $ 186,738.71, to cover potential costs associated with unanticipated or additional items of work.
3) Authorize the City Manager to execute the necessary documents.
2) Authorize Change Order Authority of 10% for GMP # in the amount of $ 186,738.71, to cover potential costs associated with unanticipated or additional items of work.
3) Authorize the City Manager to execute the necessary documents.
10.
ROUTINE ITEMS
A.
Consideration and Approval of Contract: Legends Entertainment District Agreement
Convention and Visitors Bureau (CVB) Director Trace Ward gave a brief PowerPoint presentation which addressed:
VISITOR ORIGIN
LEGEND ENTERTAINMENT
DOWNTOWN DEMOGRAPHICS
LOCATION MAP
BILLBOARD
HIGHLIGHTS
Mr. Ward said that the proposed agereement would provide for a 18' x 84' billboard that would be lit 24 hours a day, 7 days a week. He said that there will be a summer and winter message with the average temperature and average snow pack. In later years they could show the actual weather, but it would require a digital inlay which would be costly.
Brief discussion was held on the various percentages of the Tourism budget. Mr. Ward said that he would estimate about 60% of their funding is for nontraditional and 40% for traditional advertising.
Councilmember Putzova asked what destinations the City benchmarks with, and Mr. Ward replied that he does not benchmark as every destination is unique. Economic Vitality Director Heidi Hansen said that a lot of what they do is based on recommendations from the Tourism Commission, and they have been highly successful.
VISITOR ORIGIN
LEGEND ENTERTAINMENT
DOWNTOWN DEMOGRAPHICS
LOCATION MAP
BILLBOARD
HIGHLIGHTS
Mr. Ward said that the proposed agereement would provide for a 18' x 84' billboard that would be lit 24 hours a day, 7 days a week. He said that there will be a summer and winter message with the average temperature and average snow pack. In later years they could show the actual weather, but it would require a digital inlay which would be costly.
Brief discussion was held on the various percentages of the Tourism budget. Mr. Ward said that he would estimate about 60% of their funding is for nontraditional and 40% for traditional advertising.
Councilmember Putzova asked what destinations the City benchmarks with, and Mr. Ward replied that he does not benchmark as every destination is unique. Economic Vitality Director Heidi Hansen said that a lot of what they do is based on recommendations from the Tourism Commission, and they have been highly successful.
Moved by Councilmember Karla Brewster, seconded by Mayor Jerry Nabours to approve the agreement, and authorize the City Manager to execute the agreement.
Vote: 7 - 0 - Unanimously
B.
Consideration and Adoption of Ordinance No. 2016-28: An ordinance of the Council of the City of Flagstaff, Coconino County, Arizona, approving and authorizing the sale and issuance of City of Flagstaff, Arizona general obligation bonds, series 2016, in the total aggregate principal amount of not to exceed $18,200,000 and all matters related thereto; prescribing certain terms and conditions of such bonds including the delegation to the Management Services Director of the City to designate the final principal amount, maturities, interest rates and yields and other matters with respect to such bonds; awarding a contract for the purchase of such bonds; ratifying preparation of a preliminary official statement and approving the use and distribution thereof and approving the preparation of a final official statement and the execution, use and distribution thereof (General Obligation Debt Authorization - Open Space, Core Facility, and Watershed Protection)
Management Services Director Rick Tadder briefly reviewed this and the next item, noting that they were second reads of the ordinances and were reviewed more at the last meeting. He said that he does not expect the secondary property tax to change over the next several years.
Moved by Councilmember Scott Overton, seconded by Councilmember Karla Brewster to read Ordinance No. 2016-28 by title only for the final time.
Vote: 6 - 0 - Unanimously
AN ORDINANCE OF THE COUNCIL OF THE CITY OF FLAGSTAFF, COCONINO COUNTY, ARIZONA, APPROVING AND AUTHORIZING THE SALE AND ISSUANCE OF CITY OF FLAGSTAFF, ARIZONA GENERAL OBLIGATION BONDS, SERIES 2016, IN THE TOTAL AGGREGATE PRINCIPAL AMOUNT OF NOT TO EXCEED $18,200,000 AND ALL MATTERS RELATED THERETO; PRESCRIBING CERTAIN TERMS AND CONDITIONS OF SUCH BONDS INCLUDING THE DELEGATION TO THE MANAGEMENT SERVICES DIRECTOR OF THE CITY TO DESIGNATE THE FINAL PRINCIPAL AMOUNT, MATURITIES, INTEREST RATES AND YIELDS AND OTHER MATTERS WITH RESPECT TO SUCH BONDS; AWARDING A CONTRACT FOR THE PURCHASE OF SUCH BONDS; RATIFYING PREPARATION OF A PRELIMINARY OFFICIAL STATEMENT AND APPROVING THE USE AND DISTRIBUTION THEREOF AND APPROVING THE PREPARATION OF A FINAL OFFICIAL STATEMENT AND THE EXECUTION, USE AND DISTRIBUTION THEREOF
Moved by Councilmember Scott Overton, seconded by Councilmember Karla Brewster to adopt Ordinance No. 2016-28.
Vote: 6 - 0 - Unanimously
C.
Consideration and Adoption of Ordinance No. 2016-29: An ordinance of the Council of City of Flagstaff, Coconino County, Arizona, approving the sale and execution and delivery of not to exceed $10,000,000 aggregate principal amount of pledged revenue obligations, evidencing proportionate interests of the owners thereof in a purchase agreement to acquire and construct street improvements and ongoing preservation of street conditions in and for the City; approving the form and authorizing the execution and delivery of such purchase agreement, a second trust agreement, a continuing disclosure undertaking, an obligation purchase contract and other necessary agreements, instruments and documents; delegating authority to the Management Services Director of the City to determine certain matters and terms with respect to the foregoing; authorizing a contract for the purchase of the obligations and ratifying preparation of a preliminary official statement and approving the use and distribution thereof and approving preparation of a final official statement and the execution, use and distribution thereof (Revenue Bond Debt Authorization - Road Repair and Street Safety)
Moved by Councilmember Jeff Oravits, seconded by Mayor Jerry Nabours to read Ordinance No. 2016-29 by title only for the final time.
Vote: 7 - 0 - Unanimously
AN ORDINANCE OF THE COUNCIL OF CITY OF FLAGSTAFF, COCONINO COUNTY, ARIZONA, APPROVING THE SALE AND EXECUTION AND DELIVERY OF NOT TO EXCEED $10,000,000 AGGREGATE PRINCIPAL AMOUNT OF PLEDGED REVENUE OBLIGATIONS, EVIDENCING PROPORTIONATES INTERESTS OF THE OWNERS THEREOF IN A PURCHASE AGREEMENT TO ACQUIRE AND CONSTRUCT STREET IMPROVEMENTS AND ONGOING PRESERVATION OF STREET CONDITIONS IN AND FOR THE CITY; APPROVING THE FORM AND AUTHORIZING THE EXECUTION AND DELIVERY OF SUCH PURCHASE AGREEMENT, A SECOND TRUST AGREEMENT, A CONTINUING DISCLOSURE UNDERTAKING, AN OBLIGATION PURCHASE CONTRACT AND OTHER NECESSARY AGREEMENTS, INSTRUMENTS AND DOCUMENTS; DELEGATING AUTHORITY TO THE MANAGEMENT SERVICES DIRECTOR OF THE CITY TO DETERMINE CERTAIN MATTERS AND TERMS WITH RESPECT TO THE FOREGOING; AUTHORIZING A CONTRACT FOR THE PURCHASE OF THE OBLIGATIONS AND RATIFYING PREPARATION OF A PRELIMINARY OFFICIAL STATEMENT AND APPROVING THE USE AND DISTRIBUTION THEREOF AND APPROVING PREPARATION OF A FINAL OFFICIAL STATEMENT AND THE EXECUTION, USE AND DISTRIBUTION THEREOF
Moved by Councilmember Jeff Oravits, seconded by Mayor Jerry Nabours to adopt Ordinance No. 2016-29.
Vote: 7 - 0 - Unanimously
RECESS
The 4:00 p.m. portion of the Regular Meeting of June 7, 2016, recessed at 4:28 p.m.
The 4:00 p.m. portion of the Regular Meeting of June 7, 2016, recessed at 4:28 p.m.
6:00 P.M. MEETING
RECONVENE
Mayor Nabours reconvened the Regular Meeting of June 7, 2016, at 6:00 p.m.
Mayor Nabours reconvened the Regular Meeting of June 7, 2016, at 6:00 p.m.
NOTICE OF OPTION TO RECESS INTO EXECUTIVE SESSION
Pursuant to A.R.S. §38-431.02, notice is hereby given to the members of the City Council and to the general public that, at this regular meeting, the City Council may vote to go into executive session, which will not be open to the public, for legal advice and discussion with the City’s attorneys for legal advice on any item listed on the following agenda, pursuant to A.R.S. §38-431.03(A)(3).
11.
ROLL CALL
Others present: City Manager Josh Copley and Interim City Attorney Sterling Solomon.
| NOTE: One or more Councilmembers may be in attendance telephonically or by other technological means. |
| PRESENT: MAYOR NABOURS VICE MAYOR BAROTZ COUNCILMEMBER BREWSTER COUNCILMEMBER EVANS COUNCILMEMBER ORAVITS COUNCILMEMBER OVERTON COUNCILMEMBER PUTZOVA |
ABSENT: NONE |
Others present: City Manager Josh Copley and Interim City Attorney Sterling Solomon.
12.
PUBLIC PARTICIPATION
None
None
13.
CARRY OVER ITEMS FROM THE 4:00 P.M. AGENDA
14.
PUBLIC HEARING ITEMS
A.
Public Hearing, Consideration and Possible Adoption of Resolution Nos. 2016-21 and 2016-13, and Ordinance No. 2016-22: Public hearing to consider proposed amendments to Flagstaff Zoning Code, Chapter 10-50 (Supplemental to Zones), Division 10-50.100 (Sign Standards), and other related amendments in Chapter 10-20 (Administration, Procedures and Enforcement), Chapter 10-80 (Definitions) and Chapter 10-90 (Maps); consideration of Resolution No. 2016-13 declaring the proposed amendments as a public record; and adoption of Ordinance No. 2016-22, adopting amendments to Flagstaff Zoning Code Chapter 10-50 (Supplemental to Zones), Division 10-50.100 (Sign Standards), and other related amendments in Chapter 10-20 (Administration, Procedures and Enforcement), Chapter 10-80 (Definitions) and Chapter 10-90 (Maps), by reference, and consideration of Resolution No. 2016-21 to adopt the Flagstaff Sign Free Zone (Zoning Code Amendments - Sign Standards; adopting the Flagstaff Sign Free Zone)
Planning Director Dan Folke gave a PowerPoint presentation which addressed:
PROPOSED AMENDMENT (June 7, 2016)
GENERAL TO ALL SIGNS
PERMANENT SIGNS
PORTABLE SIGNS
PUBLIC RIGHT OF WAY
DECISION POINT #1
What time, place, manner restrictions should apply to portable signs on private property?
He said that as proposed there would be no illumination, animation, balloons, ribbons, etc. They could not block a sidewalk or pathway and the weight and durability would need to withstand wind and weather.
DECISION POINT #2
Should portable signs be prohibited in all City right of way?
As proposed, they would be prohibited.
IMPACT ON POLITICAL SPEECH
Councilmember Putzova said that one of the biggest decisions being made is who will have more access. She said that before the Reed decision, the public right of way had access for commercial businesses. If they are taking the route of removing their public right of way, they are reducing access to political speech; it is that balance of access and protecting commercial property owners. Mr. Folke noted that recently they did not allow political signs. Councilmember Oravits added that prior to 2012 there were no political signs allowed in the right of way.
Councilmember Putzova said that she would like to hear from the public. She realized that could not be tonight, but this is the first time this was brought up.
PROPOSED AMENDMENT (June 7, 2016)
GENERAL TO ALL SIGNS
PERMANENT SIGNS
PORTABLE SIGNS
PUBLIC RIGHT OF WAY
DECISION POINT #1
What time, place, manner restrictions should apply to portable signs on private property?
He said that as proposed there would be no illumination, animation, balloons, ribbons, etc. They could not block a sidewalk or pathway and the weight and durability would need to withstand wind and weather.
DECISION POINT #2
Should portable signs be prohibited in all City right of way?
As proposed, they would be prohibited.
IMPACT ON POLITICAL SPEECH
Councilmember Putzova said that one of the biggest decisions being made is who will have more access. She said that before the Reed decision, the public right of way had access for commercial businesses. If they are taking the route of removing their public right of way, they are reducing access to political speech; it is that balance of access and protecting commercial property owners. Mr. Folke noted that recently they did not allow political signs. Councilmember Oravits added that prior to 2012 there were no political signs allowed in the right of way.
Councilmember Putzova said that she would like to hear from the public. She realized that could not be tonight, but this is the first time this was brought up.
Moved by Mayor Jerry Nabours, seconded by Councilmember Scott Overton to read Resolution No. 2016-21 by title only.
Vote: 5 - 2
- NAY:
-
Vice Mayor Celia Barotz
Councilmember Eva Putzova
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FLAGSTAFF, ARIZONA DESIGNATING A SIGN FREE ZONE WITHIN THE CITY PURSUANT TO A.R.S. § 16-1019(F) AND ESTABLISHING AN EFFECTIVE DATE
Moved by Mayor Jerry Nabours, seconded by Councilmember Jeff Oravits to adopt Resolution No. 2016-21.
Vote: 5 - 2
- NAY:
-
Councilmember Eva Putzova
Vice Mayor Celia Barotz
Moved by Mayor Jerry Nabours, seconded by Councilmember Scott Overton to read Resolution No. 2016-13 by title only.
Vote: 5 - 2
- NAY:
-
Vice Mayor Celia Barotz
Councilmember Eva Putzova
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FLAGSTAFF, ARIZONA, DECLARING AS A PUBLIC RECORD THAT CERTAIN DOCUMENT FILED WITH THE CITY CLERK AND ENTITLED “2016 AMENDMENTS TO CITY CODE TITLE 10, ZONING CODE, DIVISION 10-50.100, SIGN STANDARDS, AND OTHER RELATED DIVISIONS”
Moved by Mayor Jerry Nabours, seconded by Councilmember Jeff Oravits to read Ordinance No. 2016-22 by title only for the first time.
Vote: 5 - 2
- NAY:
-
Vice Mayor Celia Barotz
Councilmember Eva Putzova
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FLAGSTAFF, AMENDING THE FLAGSTAFF CITY CODE, TITLE 10, THE CITY OF FLAGSTAFF ZONING CODE, CHAPTER 10-50, SUPPLEMENTAL TO ZONES, DIVISION 10-50.100 SIGN STANDARDS, CHAPTER 10-20, ADMINISTRATION, PROCEDURES, AND ENFORCEMENT, DIVISION 10-20.40, PERMITS AND APPROVALS, AND CHAPTER 10-80, DEFINITIONS, DIVISION 10-80.20, DEFINITIONS OF SPECIALIZED TERMS, PHRASES, AND BUILDING FUNCTIONS, BY ADOPTING BY REFERENCE THAT CERTAIN DOCUMENT ENTITLED “2016 AMENDMENTS TO CITY CODE TITLE 10, ZONING CODE, DIVISION 10-50.100 SIGN STANDARDS, AND OTHER RELATED DIVISIONS”; PROVIDING FOR PENALTIES, REPEAL OF CONFLICTING ORDINANCES, SEVERABILITY, AND ESTABLISHING AN EFFECTIVE DATE
Staff clarified that the changes provided by Vice Mayor Barotz, which provided clarity but did not change content, would be added to the documents for final adoption.
15.
REGULAR AGENDA
A.
Consideration and Adoption of Resolution No. 2016-23 A resolution of the Council of the City of Flagstaff, Arizona adopting the tentative estimates of the amounts required for the public expense for the City of Flagstaff for Fiscal Year 2016-2017; adopting a Tentative Budget; setting forth the receipts and expenditures; the amount proposed to be raised by direct property taxation; giving notice of the time for hearing taxpayers, for adopting of Budget and for fixing the tax levies. (Adopt Tentative Budget for City FY 16-17)
Finance Director Brandi Suda briefly reviewed the City of Flagstaff FY2017 Tentative Budget, using a PowerPoint presentation which addressed:
JUNE 7 - TENTATIVE BUDGET
Adoption
Sets maximum appropriation
Sets in motion legal requirements for final adoption and property tax approval
JUNE 21 - PUBLIC HEARING FOR BUDGET AND TAX LEVY
Final budget adoption and first reading of property tax ordinance
JULY 5 - SECOND READ AND ADOPTION OF TAX LEVY
She said that the total budget was $264,994,158, and she then showed the various percentages which made up the total budget: General Fund - 24%; Special Revenue Funds - 27%; Enterprise Funds - 30%; Capital Projects - 16%; Debt Service - 3%.
FY2017 BUDGET HIGHLIGHTS
Focus on Council Goals and Budget Priorities
Market Based Pay/Minimum 2% Increase
PSPRS Pension Ongoing Funding
IT Catastrophic Fund
Sunnyside Street Improvements
HIGHLIGHT OF CHANGES SINCE CITY MANAGER PROPOSALS
Appropriations increased by $82 million
TOTAL PROPOSED PRIMARY TAX LEVY: $5,707,178
Based on flat levy, plus new construction
Fifth year flat levy has been adopted
TOTAL PROPOSED SECONDARY TAX LEVY: $879,357
Councilmember Putzova asked what the amount would be if they caught up with the 2% increase permitted by law each year. Ms. Suda said that she could get that information for the Council. Vice Mayor Barotz asked that it be sent in a CCR, outlining the two scenarios. Councilmember Evans asked that within the information provided they include what that increase would look like to a property owner, based on an average $250,000 valued home.
TENTATIVE BUDGET BOOK
City's Website
City Clerk's Office
Downtown Library
East Flagstaff Library
JUNE 7 - TENTATIVE BUDGET
Adoption
Sets maximum appropriation
Sets in motion legal requirements for final adoption and property tax approval
JUNE 21 - PUBLIC HEARING FOR BUDGET AND TAX LEVY
Final budget adoption and first reading of property tax ordinance
JULY 5 - SECOND READ AND ADOPTION OF TAX LEVY
She said that the total budget was $264,994,158, and she then showed the various percentages which made up the total budget: General Fund - 24%; Special Revenue Funds - 27%; Enterprise Funds - 30%; Capital Projects - 16%; Debt Service - 3%.
FY2017 BUDGET HIGHLIGHTS
Focus on Council Goals and Budget Priorities
Market Based Pay/Minimum 2% Increase
PSPRS Pension Ongoing Funding
IT Catastrophic Fund
Sunnyside Street Improvements
HIGHLIGHT OF CHANGES SINCE CITY MANAGER PROPOSALS
Appropriations increased by $82 million
TOTAL PROPOSED PRIMARY TAX LEVY: $5,707,178
Based on flat levy, plus new construction
Fifth year flat levy has been adopted
TOTAL PROPOSED SECONDARY TAX LEVY: $879,357
Councilmember Putzova asked what the amount would be if they caught up with the 2% increase permitted by law each year. Ms. Suda said that she could get that information for the Council. Vice Mayor Barotz asked that it be sent in a CCR, outlining the two scenarios. Councilmember Evans asked that within the information provided they include what that increase would look like to a property owner, based on an average $250,000 valued home.
TENTATIVE BUDGET BOOK
City's Website
City Clerk's Office
Downtown Library
East Flagstaff Library
Moved by Councilmember Scott Overton, seconded by Councilmember Jeff Oravits to read Resolution No. 2016-23 by title only.
Vote: 7 - 0 - Unanimously
A RESOLUTION OF THE COUNCIL OF THE CITY OF FLAGSTAFF, ARIZONA ADOPTING THE TENTATIVE ESTIMATES OF THE AMOUNTS REQUIRED FOR THE PUBLIC EXPENSE FOR THE CITY OF FLAGSTAFF FOR THE FISCAL YEAR 2016-2017; ADOPTING A TENTATIVE BUDGET; SETTING FORTH THE RECEIPTS AND EXPENDITURES; THE AMOUNT PROPOSED TO BE RAISED BY DIRECT PROPERTY TAXATION; GIVING NOTICE OF THE TIME FOR HEARING TAXPAYERS, FOR ADOPTING OF BUDGET AND FOR FIXING THE TAX LEVIES
Moved by Councilmember Jeff Oravits, seconded by Councilmember Karla Brewster to adopt Resolution No. 2016-23.
Vote: 7 - 0 - Unanimously
B.
Consideration and Approval: Council Travel Policy
Assistant to the Mayor and Council Meg Roederer briefly reviewed the changes that had been made since the last review. She noted that staff has posted the spreadsheets on the website as requested by Council.
Mayor Nabours asked if there was anything within the policy that was different from what they have been doing. Ms. Roederer said that they have been following the employee travel policy, which is consistent with this policy. Vice Mayor Barotz said that it was important to note that they are now calling it the Travel and Miscellaneous Expense Policy.
Mayor Nabours asked if there was anything within the policy that was different from what they have been doing. Ms. Roederer said that they have been following the employee travel policy, which is consistent with this policy. Vice Mayor Barotz said that it was important to note that they are now calling it the Travel and Miscellaneous Expense Policy.
Moved by Councilmember Eva Putzova, seconded by Councilmember Karla Brewster to adopt the Flagstaff City Council Travel and Miscellaneous Expense Policy as presented.
Vote: 7 - 0 - Unanimously
16.
DISCUSSION ITEMS
A.
Recap of the 2016 Legislative Session
Assistant to the City Manager Stephanie Smith noted that last week they had reviewed all of the League's resolutions. She then introduced the City's state lobbyist, Richard Travis, who reviewed the 2016 legislative session, through a PowerPoint presentation which addressed:
GENERAL
No ballot referrals to November ballot
Two key issues referred to ballot early
K-12 financing / trust land reform
Pension reform
MAYOR ISSUES
Kids Care
Supreme Court Expansion
Local Control
Education Funding
Agency Consolidation/Licensing
Opiates/Database
Sharing Economy
Department of Child Services
STATE BUDGET
Revenue
Ongoing revenue relatively flat
Enrollment K-12/AHCCCS/Prison
One-time expenditures high in 2016
BUDGET WINNERS
Universities - $30 million
NAU $4 million
Transportation - $86 million HURF
K-12
No cuts
SFB/Districts/Charters/Current Year
FLAGSTAFF LEGISLATIVE PRIORITIES
Guns in Public Places
Failed (were waiting to see a motion to reconsider; did not happen)
VA Home Funding
$10 million - No reversionary clause
Forest Health
Department of Forestry bill signed
Fireworks failed
Two $150,000 grants for forest health
Pension Reform
Several reform bills passed
Prop. 124 on May ballot
Building Requirements
Bill abandoned at Council direction
Red Gap Ranch Pipeline
IGA Approved
Energy Districts
No Coalition Developed
Housing Trust Fund
No change
Economic Development
Community Facility Districts - Bill vetoed
Governor's Economic Opportunity Office (ACA, WIFA, AFA consolidation) - passed
Others
Pawnbrokers and Fees - failed
Preemption for employee benefit
Minimum wage referral failed
Local Law Violation/Preemption - signed
Guns
Preemption - signed
Universities - failed
Transfer - failed
Compact - vetoed
ROW - signed
He said that it was a mixed bag on gun issues, but some of the strongest opponents will not be there next year.
NEXT YEAR
Initiative Issues
Prop. 123 K-12 and Trust Land
Prop. 124 and Pensions for Police/Fire
Marijuana
Prop. 300 Renewal
Tax Reform
TPT and Construction
Shift income to sales tax
Councilmember Evans asked Mr. Travis if he had any information regarding community colleges. Mr. Travis said that they were held harmless in this year's budget, and they were given an avenue for some relief, but it will not impact Coconino Community College. He said that when Governor Ducey came in, his first budget had the General Fund backing out of community colleges, leaving it on the local level. This year they have blocked that and he does not see the state backing out of it.
Councilmember Evans said that her understanding was that Maricopa Community Colleges and Pima Community College do not get any General Fund support, and then there was a threat of it being taken away from the others. She said that she would like to understand the regulations regarding the cap that they could raise. Mr. Travis said that he would get a snapshot of that information and provide it to Council.
Councilmember Overton said that it was encouraging to see more funding going into ADOT maintenance. He asked Mr. Travis if he perceived that they will get back on the infrastructure transportation mode or let it slip back again. Mr. Travis said that what they saw this year was $83 million of one-time money available. He did not think they will see the same level and commitment next year. He said that just like in 2007, the pressure is starting to build. They are probably a few years away from another revenue stream.
Councilmember Oravits said that it seemed like Maricopa County helped with their tax, but it is probably not as likely in other areas. Mr. Travis said that when Phoenix went out with their recent transportation tax it provided some things and took some pressure off of the Maricopa County area, and Pima County did the same thing. The rural legislators are now hearing about the need as well.
Councilmember Brewster voiced concern with the tax changes, noting that it was a regressive tax and hurts the low income population. Mr. Travis said that in the past they saw a cut in income tax with no offset. Now they were seeing a bigger proposed cut with an offset on sales tax.
Councilmember Evans asked about the law control preemption bill, and if he knew what other cities were doing, such as Bisbee. Mr. Travis said that the League wants to monitor which cities may be sued for violating that law--Bisbee wants the challenge. They will have to enact something to trigger the law and take it to court. He said that the law will not go into effect until August.
Ms. Smith then reviewed the upcoming calendar and asked for feedback from Council on the process this year.
Councilmember Oravits said that at the last meeting they talked about the League resolutions, and possibly one regarding the signature requirements for candidates. The City's Charter reads between 5% and 10% of those voting for Mayor in the last election, which is consistent with state law. He would like to see that number lowered since the elections are now going to be held during the fall where they will see a higher voter turnout.
He said that he has been talking to their delegation about the state law; he would like to see this Council look at their Charter. Ms. Smith noted that there was a CCR coming out on that issue tomorrow.
GENERAL
No ballot referrals to November ballot
Two key issues referred to ballot early
K-12 financing / trust land reform
Pension reform
MAYOR ISSUES
Kids Care
Supreme Court Expansion
Local Control
Education Funding
Agency Consolidation/Licensing
Opiates/Database
Sharing Economy
Department of Child Services
STATE BUDGET
Revenue
Ongoing revenue relatively flat
Enrollment K-12/AHCCCS/Prison
One-time expenditures high in 2016
BUDGET WINNERS
Universities - $30 million
NAU $4 million
Transportation - $86 million HURF
K-12
No cuts
SFB/Districts/Charters/Current Year
FLAGSTAFF LEGISLATIVE PRIORITIES
Guns in Public Places
Failed (were waiting to see a motion to reconsider; did not happen)
VA Home Funding
$10 million - No reversionary clause
Forest Health
Department of Forestry bill signed
Fireworks failed
Two $150,000 grants for forest health
Pension Reform
Several reform bills passed
Prop. 124 on May ballot
Building Requirements
Bill abandoned at Council direction
Red Gap Ranch Pipeline
IGA Approved
Energy Districts
No Coalition Developed
Housing Trust Fund
No change
Economic Development
Community Facility Districts - Bill vetoed
Governor's Economic Opportunity Office (ACA, WIFA, AFA consolidation) - passed
Others
Pawnbrokers and Fees - failed
Preemption for employee benefit
Minimum wage referral failed
Local Law Violation/Preemption - signed
Guns
Preemption - signed
Universities - failed
Transfer - failed
Compact - vetoed
ROW - signed
He said that it was a mixed bag on gun issues, but some of the strongest opponents will not be there next year.
NEXT YEAR
Initiative Issues
Prop. 123 K-12 and Trust Land
Prop. 124 and Pensions for Police/Fire
Marijuana
Prop. 300 Renewal
Tax Reform
TPT and Construction
Shift income to sales tax
Councilmember Evans asked Mr. Travis if he had any information regarding community colleges. Mr. Travis said that they were held harmless in this year's budget, and they were given an avenue for some relief, but it will not impact Coconino Community College. He said that when Governor Ducey came in, his first budget had the General Fund backing out of community colleges, leaving it on the local level. This year they have blocked that and he does not see the state backing out of it.
Councilmember Evans said that her understanding was that Maricopa Community Colleges and Pima Community College do not get any General Fund support, and then there was a threat of it being taken away from the others. She said that she would like to understand the regulations regarding the cap that they could raise. Mr. Travis said that he would get a snapshot of that information and provide it to Council.
Councilmember Overton said that it was encouraging to see more funding going into ADOT maintenance. He asked Mr. Travis if he perceived that they will get back on the infrastructure transportation mode or let it slip back again. Mr. Travis said that what they saw this year was $83 million of one-time money available. He did not think they will see the same level and commitment next year. He said that just like in 2007, the pressure is starting to build. They are probably a few years away from another revenue stream.
Councilmember Oravits said that it seemed like Maricopa County helped with their tax, but it is probably not as likely in other areas. Mr. Travis said that when Phoenix went out with their recent transportation tax it provided some things and took some pressure off of the Maricopa County area, and Pima County did the same thing. The rural legislators are now hearing about the need as well.
Councilmember Brewster voiced concern with the tax changes, noting that it was a regressive tax and hurts the low income population. Mr. Travis said that in the past they saw a cut in income tax with no offset. Now they were seeing a bigger proposed cut with an offset on sales tax.
Councilmember Evans asked about the law control preemption bill, and if he knew what other cities were doing, such as Bisbee. Mr. Travis said that the League wants to monitor which cities may be sued for violating that law--Bisbee wants the challenge. They will have to enact something to trigger the law and take it to court. He said that the law will not go into effect until August.
Ms. Smith then reviewed the upcoming calendar and asked for feedback from Council on the process this year.
Councilmember Oravits said that at the last meeting they talked about the League resolutions, and possibly one regarding the signature requirements for candidates. The City's Charter reads between 5% and 10% of those voting for Mayor in the last election, which is consistent with state law. He would like to see that number lowered since the elections are now going to be held during the fall where they will see a higher voter turnout.
He said that he has been talking to their delegation about the state law; he would like to see this Council look at their Charter. Ms. Smith noted that there was a CCR coming out on that issue tomorrow.
17.
FUTURE AGENDA ITEM REQUESTS
After discussion and upon agreement by a majority of all members of the Council, an item will be moved to a regularly-scheduled Council meeting.
After discussion and upon agreement by a majority of all members of the Council, an item will be moved to a regularly-scheduled Council meeting.
A.
Future Agenda Item Request (F.A.I.R.): A request by Mayor Nabours to place on a future agenda a discussion on possibly reducing or deleting the requirement that developers pay for transportation impact for the Lonetree Traffic Interchange with information from ADOT and the Regional Transportation Committee on plans for Lonetree - how it might affect the private property owners - including estimate from staff on what those impacts might be.
Mayor Nabours said that he had asked for this item to be placed on a future agenda to have a discussion on this issue.
The following individuals spoke in favor of placing the item on a future agenda:
•Michael J. Naifel
•Kathleen Holmes
Councilmember Overton said that this was a tough one. He is a firm believer of proportionate shares, and there are significant land use decisions that are affected with this interchange. He thinks it is good to talk about it so they know where the community stands in terms of partnerships, but every player will need to be at the table.
There was a consensus of Council to move this item to a future agenda for discussion.
The following individuals spoke in favor of placing the item on a future agenda:
•Michael J. Naifel
•Kathleen Holmes
Councilmember Overton said that this was a tough one. He is a firm believer of proportionate shares, and there are significant land use decisions that are affected with this interchange. He thinks it is good to talk about it so they know where the community stands in terms of partnerships, but every player will need to be at the table.
There was a consensus of Council to move this item to a future agenda for discussion.
B.
Future Agenda Item Request (F.A.I.R.): A request by Councilmember Evans to place on a future agenda a review of Lot Split Section of Title 11 of the City Code.
Councilmember Evans said that the Council has received numerous e-mails about this lot split, as well as a letter from an attorney, and she would like to look at this section of the Code.
There was a consensus of Council to move this item forward to a future agenda.
There was a consensus of Council to move this item forward to a future agenda.
18.
INFORMATIONAL ITEMS AND REPORTS FROM COUNCIL AND STAFF, FUTURE AGENDA ITEM REQUESTS
Councilmember Putzova said that she has expressed concern about the staff reports, as it appears they are not being reviewed carefully.
19.
ADJOURNMENT
The Regular Meeting of the Flagstaff City Council held June 7, 2016, adjourned at 8:12 p.m.
| _______________________________ MAYOR |
|
| ATTEST: |
|
| _________________________________ CITY CLERK |
CERTIFICATION
I, ELIZABETH A. BURKE, do hereby certify that I am the City Clerk of the City of Flagstaff, County of Coconino, State of Arizona, and that the above Minutes are a true and correct summary of the Meeting of the Council of the City of Flagstaff held on June 7, 2016. I further certify that the Meeting was duly called and held and that a quorum was present.
| DATED this 21st day of June, 2016. | |
| ________________________________ CITY CLERK |