Others present: City Manager Josh Copley; City Attorney Sterling Solomon.

Nicole Selinger addressed Council regarding Arizona House Bill 2365 that allows for cell phone transmitters to be placed throughout all public right-of-ways. Over 200 cities across the country have opposed similar bills and she is asking the Council to consider opposing the bill.

Police Sergeant Gregory Jay provided a brief introduction on the location and series of the application.
 
Mayor Evans opened the public hearing.
 
Joseph Shannon addressed Council in opposition of the license at 3381 N. Estates Street. He noted safety and traffic as concerns. He also expressed concern about the posting notice; he stated that it was difficult to see from the street and many in the neighborhood did not know about the hearing until it was posted on social media.
 
Collin Heath addressed the Council as the applicant for the license. He explained his concept for the business. He stated that he would be working with the local business Blendz to sell their wine to local bars, restaurants, hotels and other businesses. He would be taking wine to these various places and allow them to blend their own wine, label it and distribute it. He is only using the residential location until he can build the capital necessary to secure a different location. Nothing in the neighborhood would change other than him occasionally taking a case of wine to and from the garage.
 
Councilmember Barotz asked if any of the product would be opened at the licensed location. Mr. Heath stated that nothing would be opened; it would simply be stored in the garage for 24 hours then delivered to the customer.
 
Councilmember Overton asked if Mr. Heath had done any kind of outreach to the neighborhood about his business. Mr. Heath explained that he had not done any outreach because he felt no concern with the operation and no one would even know there was a business there.
 
Councilmember Overton stated that when it comes down to liquor it is a different situation and people nearby want to know about those types of operations. He will not be recommending approval for the license and suggested that Mr. Heath communicate with the neighborhood and explain the business to them. The conversation and communication will help him be successful in the future.
 
Councilmember Odegaard explained that he had received 12 emails from the Valley Crest neighborhood that expressed that they are not in favor of a license in the neighborhood. He likes the concept but did not feel that this is the right way to go about trying to get the license.
 
Councilmember McCarthy offered concern about the posting notice. He asked Mr. Solomon if the posting met the legal requirements even though it was difficult for neighbors to see it. Mr. Solomon stated that the posting was legally compliant.
 
Councilmember Barotz stated that she lives in the neighborhood and the notice, while compliant, was impossible to see from the street. She requested that the City Council change the requirement to make it more restrictive for residential locations and if there is something like this in the future the posting should be put at the edge of the location.
 
Councilmember McCarthy stated that after weighing all the factors he feels the Council should recommend the application for denial at the State. He would like the State to look into the application with greater detail.

Mayor Evans closed the public hearing.

Moved by Councilmember Scott Overton, seconded by Councilmember Charlie Odegaard to take no action on the application.

Councilmember Barotz offered concern about how the motion is worded; she feels that the State will consider no action a neutral position as opposed to a denial. She would prefer the motion to be a recommendation for denial.

Councilmember Overton explained that his intent with the motion is to take a neutral position.

Councilmember Barotz stated that she does not support that motion for all the reasons previously discussed. Again, she prefers a motion that recommends denial.

Councilmember McCarthy asked if Council is able to make another motion if the original motion fails to which Mr. Solomon answered yes.

Vote: 2 - 3

AYE:

Councilmember Scott Overton
Councilmember Charlie Odegaard

Moved by Councilmember Celia Barotz, seconded by Councilmember Charlie Odegaard to forward a recommendation of denial to the State Department of Liquor Licenses.

Vote: 5 - 0

Mr. Solomon addressed Council stating that the parties to the Pre-Development Agreement and the Reinstatement are ADOT, Vintage Partners and the City. The original agreement was approved on December 2, 2014; there were a lot of negotiations and details since that time and

the original agreement expired. Staff recommends reinstating and approving the amendment to leave everything the same and extend the timeline.

Moved by Councilmember Scott Overton, seconded by Councilmember Charlie Odegaard to authorize the City Manager to sign the Reinstatement of, and First Amendment to the P3 Pre-development Agreement.

Vote: 5 - 0 - Unanimously

Assistant to the City Manager Caleb Blaschke addressed Council stating that staff was directed to draft a statement and bring it back to Council. Staff is now looking for direction from the Council.
 
The following individuals addressed Council in support of the statement:

• John Viktora
• John Kaltenstein
• Charlie Silver

The following comments were received:

• American racism is alive and well; we have been working on it but have made little progress.
• Thank you for taking up the issue.
• Urge Council to approve the statement.
• This is not a time to be silent on an issue this important.
• It is a tricky issue to release something immediately and also comply with the laws; if there was another situation please call an emergency meeting to immediately address a statement.
• Please consider the two other deaths associated with the event.
• Please consider sending the statement to the Charlottesville City Council with copies to the Governor and victim’s families.

Moved by Councilmember Jim McCarthy, seconded by Councilmember Scott Overton  to approve the statement drafted by staff.

Moved by Councilmember Celia Barotz, seconded by Councilmember Charlie Odegaard to amend the motion to include spelling corrections and make reference to the two State officials that were killed in the line of duty.

Vote: 5 - 0

Motion to approve the statement drafted by staff as amended.

Vote: 5 - 0

Water Resources Manager Erin Young provided a PowerPoint presentation that covered the following:
 
WATER RESOURCES PLANNING UPDATE
AGENDA
COUNCIL GOAL: WATER CONSERVATION
UTILITIES INTEGRATED MASTER PLAN APPROACH
SCENARIO PLANNING
FUTURE DEMAND NEEDS
PLANNING HISTORY & GUIDING DOCUMENTS
DESIGNATION OF ADEQUATE WATER SUPPLY (2013)
WHAT’S NEXT?
SECTION GOALS
CHALLENGES FOR OPTIMIZATION OF WATER USE
ONE WATER CONCEPTS
ARENAS FOR ACTION
WATER REUSE IMPACTS OTHER PLANNING AREAS
OBJECTIVES OF A “ONE WATER” APPROACH
WATER RESOURCE PLANNING UPDATE
WATER RESOURCE PLANNING – STORMWATER & WATER CONSERVATION
WATER RESOURCE PLANNING – REUSE
CAROLLO REPORT
POTABLE REUSE HAS SIMILAR COST TO OTHER OPTIONS
 
Councilmember Overton stated that it seems that it should not take three years to get to the benchmark. Ms. Young explained that it is due to the timing of the studies. Water Services Director Brad Hill added that it is a funding issue as well; the studies have to be done sequentially and budgeting for those can take time.
 
Councilmember Overton stated that he does not want to see the City get into a trap of cyclical studies. There are things within the plan that are very complex and he wants to be sure that there is enough of a push to bring forward results. Mr. Hill agreed and offered that many of the things that are being proposed and discussed are just coming to light; state laws are just now changing to support and allow some of the ideas to move forward. Much of it is on the edge of technology and the City is preparing to be in a position to take advantage of the technology.
 
Ms. Young continued the presentation.
 
WATER RESOURCE PLANNING – LOCAL GROUNDWATER
WATER RESOURCE PLANNING – RED GAP RANCH
WATER RESOURCE PLANNING – SURFACE WATER
WATER RESOURCES MASTER PLAN STUDY COMPONENTS
“ONE WATER” APPROACH TO WATER MANAGEMENT
 
Councilmember Odegaard asked if the thinning project on Mormon Mountain will help with the surface water to Lake Mary. Ms. Young stated that she is not sure since there is no data currently available. Mr. Hill stated that the City is partnering with SRP to evaluate the surface water flow pre and post thinning. That data will show the impacts of the thinning project along with many other things.
 
Mr. Copley stated that while it was not covered in the presentation, energy consumption for water services is something that staff is constantly evaluating, and they are working on ways the City can better manage renewable energy.

Mr. Hill provided a PowerPoint presentation that covered the following:
 
UTILITIES NAME CHANGE TO FLAGSTAFF WATER SERVICES DIVISION
STRATEGIC PLANNING AND NAME CHANGE EVALUATION
GOAL
UTILITIES LEADERSHIP TEAM & CVB’S CREATIVE SERVICES
OTHER NAME CHANGES IN ARIZONA
2017 STRATEGIC PLAN

Public Works Director Andy Bertelsen introduced Sustainability Specialist Jenny Neimann who provided a PowerPoint presentation that covered the following:
 
CLIMATE ACTION PLANNING UPDATE
CITY COUNCIL GOAL: TAKE MEANINGFUL CLIMATE CHANGE ACTION
FLAGSTAFF’S CLIMATE ACTION HISTORY
WHY CLIMATE ACTION IS NECESSARY
THE PLAN WILL:
EMISSIONS PER FLAGSTAFF RESIDENT, 2009-2016
NATIONAL BEST PRACTICES
TIMELINE
PLAN ELEMENTS – WHAT WE WANT TO SEE
PROCESS GOALS – HOW WE WANT TO GET THERE
PROCESS ELEMENTS
STEERING COMMITTEE
 
The following individuals addressed Council in regards to the Climate Action Plan:

• Rick Moore on behalf of the Flagstaff Climate Action Council
• Karin Wadsack
• Andy Bessler

The following comments were received:

• 2016 was the hottest year recorded and the third year of record breaking global temperatures
• Excited that staff has taken steps to reduce greenhouse gas emission.
• Excited that Council has adopted a goal of developing a climate action plan in 2018.
• Successfully developing and implementing the plan will require adequate funding and staff.
• Council is encouraged to do all that it can to fund this important work.
• Developing incentive programs is key.
• Updating the Energy Code is a necessary step to reduce greenhouse gas emissions from Flagstaff’s buildings.
• The Flagstaff Climate Action Council is willing to help in efforts to develop and implement the plan.
• The Flagstaff Climate Action Council wants to serve as a resource to staff where there are needs to fill in; if there are technical questions or resources needed the Flagstaff Climate Action Council can help facilitate those needs.
• An NAU Climate Science and Solutions Masters program class will be focused on climate adaptation; graduate students will be doing academic work that can help supplement the short term goals of the City.
• Science is predicting a warming climate, a greenhouse effect and an increase in carbon in the air further contributing to the greenhouse effect.
• The City is taking the first steps in helping to ensure children grow up in a sustainable world.
• Red Gap Ranch may not develop water in the next 10 years but it could developed into a full scale renewable energy project.
• Flagstaff is a beacon of science and innovation.

A written comment card in support of the Climate Action Plan was submitted by Joseph Shannon.
 
Councilmember Barotz asked Mr. Bessler to provide an update on the recent Volkswagon Settlement. Mr. Bessler explained that there is a multi-billion dollar settlement that will be coming available in the next few months. Arizona municipalities can petition to Arizona Department of Environmental Quality for these funds to replace any equipment with a diesel engine. It will be a good opportunity to invest in funds for car charging stations, electric cars and replacing diesel engines.
 
Councilmember Odegaard asked if the contractor will harness all the partners and stakeholders or provide expertise, or both. Sustainability Manager Nicole Woodman explained that the goal is for the contractor to do both. Staff has not gone into final negotiations with the consultant so the details are still in the works. When staff comes back to Council with an award of contract all those details will be included.

Councilmember McCarthy requested that a copy of the final Charlottesville statement be distributed to Council.
 
Councilmember Odegaard stated that he had the honor of presenting a proclamation to Mike Frankel at the Artist’s Coalition with a recognition for being in Flagstaff for 20 years.
 
Councilmember Odegaard also reported that no-smoking signs started going up in the parks; more will be going up throughout the community.
 
Councilmember Odegaard requested a six month update concerning what the City has done budget wise. Mr. Copley stated that Communications Manager Jessica Drum is working on a six-month report on Council accomplishments for the community and that information can be integrated in to that report.
 
Councilmember Barotz requested a FAIR item to change the rules for posting liquor licenses when the location is within a residential neighborhood.
 
Mr. Copley reported that on August 22, 2017 at 4:00 p.m. staff will be providing an update on the Rio de Flag Flood Control Project.
 
Mayor Evans stated that she is working on putting together a community forum on what happened in Charlottesville. The forum is scheduled for Saturday, August 26, 2017 at 1:00 p.m. at the Murdoch Center.

The Flagstaff City Council Special Work Session of August 21, 2017, adjourned at 7:48 p.m.