Council Regular/Special Meeting

MINUTES OF THE GILBERT TOWN COUNCIL, IN REGULAR MEETING OF THURSDAY, MAY 02, 2019 AT 6:30 PM, MUNICIPAL CENTER, COUNCIL CHAMBERS, 50 E CIVIC CENTER DRIVE, GILBERT, ARIZONA COUNCIL PRESENT: Mayor Jenn Daniels, Vice Mayor Eddie Cook, Councilmembers Scott Anderson, Brigette Peterson, Jordan Ray, Jared Taylor, and Aimee Yentes COUNCIL ABSENT: None STAFF PRESENT: Town Manager Patrick Banger, Town Clerk Lisa Maxwell, Deputy Clerk Chaveli Herrera, Town Attorney Christopher Payne, Town Engineer David Fabiano, Police Chief Michael Soelberg, Assistant Town Attorney Nancy Davidson, and Office of Management and Budget Director Kelly Pfost AGENDA ITEM CALL TO ORDER Mayor Daniels called the meeting to order at 6:37 p.m. INVOCATION AND PLEDGE OF ALLEGIANCE Councilmember Ray introduced the scouts in attendance who led the Pledge of Allegiance and introduced themselves. Dr. Dan Mooney, Pastor of Elliot Road Baptist Church, gave the invocation. ROLL CALL Town Clerk Lisa Maxwell called roll and declared a quorum present. PRESENTATIONS; PROCLAMATIONS 1. PROCLAMATION - Proclamation declaring May 6 through May 11, 2019 as Economic Development and Travel and Tourism Week. Councilmember Anderson read a proclamation declaring May 6 through May 11, 2019 as Economic Development and Travel and Tourism Week; and presented the proclamation to Tourism Analyst Glenn Schlottman. 2. PROCLAMATION - Proclamation declaring May 19 through May 25, 2019 as National Public Works Week. 1 Vice Mayor Cook read a proclamation declaring May 19 through May 25, 2019 as National Public Works Week; and presented the proclamation to the following members of Town of Gilbert’s Public Works Department: Town Engineer David Fabiano, Environmental Services Supervisor Mark Hunsaker, Wastewater Manager Mark Horn, Water Manager Andrew Jackson, Assistant Public Works Director Giao Pham, Streets Manager Curtis Yardley, Capital Improvement Plan (CIP) Manager and Assistant Town Engineer Susanna Struble, CIP Supervisor Ryan Blair, and Project Manager Toby Crooks. 3. PROCLAMATION - Proclamation declaring May 5 through May 11, 2019 as the 50th Annual Municipal Clerks Week. Councilmember Peterson read a proclamation declaring May 5 through May 11, 2019 as the 50th Annual Municipal Clerks Week; and presented the proclamation to Town Clerk Lisa Maxwell and Deputy Town Clerk Chaveli Herrera. 4. RECOGNITION - Recognition of Winged Hope as the East Valley Mayor's Prayer Breakfast Charity recipient. Mayor Daniels recognized all the participants of the East Valley Mayor’s Breakfast Charity and presented a check to the recipient, Winged Hope. She recognized Salt River Gas, Salt River Pima Indian Community, Sun News, and all sponsors of the event. 5. RECOGNITION - Recognition of Special Olympic Athlete William Horten for representing Arizona at the Global Leadership Summit at Dream Ride Australia. Mayor Daniels recognized Special Olympic Athlete William Horten and his family for representing Arizona at the Global Leadership Summit at Dream Ride Australia. William explained his experience with the Dream Ride organization. 6. PRESENTATION - Annual report presentation by the Gilbert Historical Society doing business as (dba) HD South. Chair Marty Tomlijenovic and President and Chief Executive Officer Kayla Kolar of HD South highlighted events from the past year and summarized future plans of their organization. COMMUNICATIONS FROM CITIZENS Paul Rodriguez, Gilbert resident, provided follow up information on the cat he spoke about at the last Council meeting. He stated his purpose was to provide the Council with information in hopes that Ordinance No. 2664 would be revised. CONSENT CALENDAR A MOTION was made by Vice Mayor Cook, seconded by Councilmember Peterson, to approve Consent Items 7, 8, 9, 11, 12, 13, 15, 16, 17, 18, 19, 20, and 21; remove Items 10 and 14 from the Consent Calendar; and add Item 30 to the Consent Calendar; appointing Rebecca Hill, Ben Kalkman, and Stanley Williams to the Parks and Recreation 2 Board with terms beginning May 13, 2019 and ending May 12, 2022; and appointing Lindsay Shrewsbury to the Parks and Recreation Board with a term beginning May 2, 2019 and ending May 12, 2020. Motion carried 7-0. 7. AGREEMENT – consider approval of Agreement for Services Contract No. 319000840 with Off Duty Management for management of outside employment for off-duty police officers and authorize the Mayor to execute the required documents. This item was approved with the Consent Calendar vote. 8. PROPERTY SALE - consider: a) approval of the acceptance of the bid of Woodbury Corporation for Town property, Parcel No. 304-46-477, which contains 10,677 square feet and is located near the intersection of Mercy Road and Pecos Road and authorize the Mayor to execute Purchase Agreement No. 319001061; and b) authorizing the Town Manager to take all actions necessary to carry out Purchase Agreement No. 319001061 in accordance with its terms and intent. This item was approved with the Consent Calendar vote. 9. AGREEMENT – consider approval of Amendment No. 1 to the Cemetery Development, Operating and Maintenance Lease Agreement No. 2016-5001-0122 with Gilbert Cemetery, LLC extending the May 17, 2019 deadline to complete construction pursuant to the Lease from May 17, 2019 to no later than August 15, 2019 and authorize the Mayor to execute the required documents. This item was approved with the Consent Calendar vote. 10. CONTRACT – consider approval of Construction Services Contract No. 319001036 with Action Direct LLC doing business as (dba) Red Point Contracting in an amount not to exceed $418,115 for the installation of an eight-inch waterline on Linda Lane and Penny Place, Project No. WA1160, and authorize the Mayor to execute the required documents. Councilmember Jared Taylor stated he would not be supporting the item. He noted he did support the project itself but would like to see a local source of funding. A MOTION was made by Vice Mayor Cook, seconded by Councilmember Peterson, to approve Item No. 10. Motion carried 6-1, with Councilmember Taylor casting the dissenting vote. 11. CONTRACT – consider: a) approval of a Cooperative Purchase Agreement No. 319001045 with Freightliner of Arizona LLC utilizing [State of Arizona Cooperative Purchasing Contract No. CTR041810; 3 b) approval of the purchase of two (2) Street Sweepers pursuant to Cooperative Purchase Agreement No.319001045 with Freightliner of Arizona LLC in an amount not to exceed $550,000 including taxes and authorize the Mayor to execute the required documents. This item was approved with the Consent Calendar vote. 12. CONTRACT – consider: a) approval of expenditures under Contract No. 319000038 with San Tan Ford in an amount not to exceed $28,307.23 including taxes for the purchase of one vehicle for the Water Department and authorize the Mayor to execute the required documents; and b) a Contingency Transfer from the Water Replacement Fund in the amount of $28,307.23. This item was approved with the Consent Calendar vote. 13. BUDGET – consider approval of a Contingency Transfer from the General Fund Contingency Fund in the amount of $130,100, the Streets Contingency Fund in the amount of $24,760, the Wastewater Contingency Fund in the amount of $36,960, the Environmental Services - Residential Contingency Fund in the amount of $53,570, and the Environmental Services - Commercial Contingency Fund in the amount of $6,280 for Claim Settlements incurred for the period January 1, 2019 to March 31, 2019. This item was approved with the Consent Calendar vote. 14. BUDGET – consider approval of a Contingency Transfer from the General Fund Contingency Fund in the amount of $100,000 for credit card fees. Councilmember Ray stated that in 2014, the Council changed the policy for credit card fees and added a fee to offset the cost. He said since that time, a number of legal rulings have been made that have limited what could be added on as a service fee, thus creating a deficit. He noted he would be submitting a future agenda item request to consider raising the fee again to make it cost-neutral and not further add to the deficit. A MOTION was made by Councilmember Ray, seconded by Councilmember Anderson, to approve Item No. 14. Motion carried 7-0. 15. FEES – consider adoption of a Resolution establishing fees for Gilbert Police Department Off-Duty Officer Employment. This item was approved with the Consent Calendar vote. Resolution No. 4048 was adopted. 16. STREETLIGHT IMPROVEMENT DISTRICT 19-04 - consider adoption of a Resolution creating Streetlight Improvement District No. 19-04 for the Hamstra Dairy subdivision and ordering the improvements. 4 This item was approved with the Consent Calendar vote. Resolution No. 4049 was adopted. 17. STREETLIGHT IMPROVEMENT DISTRICT 19-05 - consider adoption of a Resolution creating Streetlight Improvement District No. 19-05 for the Anatole subdivision and ordering the improvements. This item was approved with the Consent Calendar vote. Resolution No. 4050 was adopted. 18. STREETLIGHT IMPROVEMENT DISTRICT 19-06 - consider adoption of a Resolution creating Streetlight Improvement District No. 19-06 the Gateway Pointe subdivision and ordering the improvements. This item was approved with the Consent Calendar vote. Resolution No. 4051 was adopted. 19. FINAL PLAT S18-03 - consider approval of the final plat for Andalucia Villas located on the southwest corner of Ray Road and Val Vista Drive. This item was approved with the Consent Calendar vote. 20. FINAL PLAT SP1664 - consider approval of a replat for Gilbert Memorial Park and Funeral Home located at the northeast corner of 156th Street and Queen Creek Road This item was approved with the Consent Calendar vote. 21. BOARDS AND COMMISSIONS – consider removal of Christopher Wharton from the Parks and Recreation Board, effective May 2, 2019. This item was approved with the Consent Calendar vote. PUBLIC HEARING Mayor Daniels opened the public hearing for Items 24 and 25. No one wished to speak and Mayor Jenn Daniels closed the public hearing. A MOTION was made by Vice Mayor Cook, seconded by Councilmember Taylor, to approve public hearing Items 24 and 25. Motion carried 7-0. 22. PROPERTY ACQUISITION – conduct hearing and consider approving the acquisition of right-of-way and easement Parcel No. 305-55-018J for the improvements to Lindsay Road from Pecos Road to State Route 202, Project No. ST1170. Mayor Daniels opened the public hearing for Item 22. 5 At the request of Councilmember Anderson, Town Engineer David Fabiano provided explanation of the negotiations with the property owner that resulted in a request that was above the appraised valuation of the property. He stated the time and additional cost of going through the condemnation process would total more than the proposed purchase amount. He also provided clarification on the location of the property. Town Attorney Christopher Payne stated he did not have any concerns with the amount proposed, noting any additional processes through Maricopa County would add delays to the project. Mayor Daniels closed the public hearing for item 22. A MOTION was made by Councilmember Anderson, seconded by Councilmember Peterson, to approve public hearing Item 22. Motion carried 7-0. 23. CODE OF GILBERT - conduct hearing and consider adoption of an Ordinance amending the Code of Gilbert, Arizona, by amending Chapter 62 Traffic and Vehicles, Article IV Micromobility Devices, Division 1 Generally, Section 62-101 Definitions and Section 62- 103 Operation of Micromobility Devices to clarify the definitions and rules applicable to Bicycles and Micromobility Devices; amending Article V Motorized Play Vehicles and Motorized Skateboards, Section 62-141 Definitions, Section 62-145 General Operating Restrictions, and Section 62-147 Required Safety Equipment related to clarify the definitions and rules applicable to motorized play vehicles and motorized skateboards; providing for civil sanctions and penalties. Mayor Daniels opened the public hearing for Item 23. Councilmember Anderson requested information on the proposed language changes, which he said had provided safety measures. Police Chief Michael Soelberg spoke of the reasoning behind the decision to strike some of the specific requirements regarding the use of helmets, closed-toe shoes, and eyewear; noting the responsibility of these items should be with users or their parents. Assistant Town Attorney Nancy Davidson spoke briefly regarding standard liability; noting by using the devices, there was an assumption of the risk by the users or their parents. Vice Mayor Cook asked what safety requirements were required with electronic scooters. Police Chief Michael Soelberg stated the specific safety requirements previously mentioned were not intended to be included in the Micromobility Pilot Program or Ordinance. He noted, however, that some companies had additional requirements in their user agreements. Vice Mayor Cook stated he would like the Council to consider adding to the Ordinance some language related to riding electric scooters while impaired by alcohol or other substances. Police Chief Michael Soelberg stated it was not in the current Ordinance, but the process was being reviewed. 6 Mayor Daniels closed the public hearing for Item 23. A MOTION was made by Councilmember Taylor, seconded by Councilmember Ray, to approve public hearing Item 23. Motion carried 7-0. Ordinance No. 2709 was adopted. 24. BUDGET - conduct hearing and adopt the budgets on the Parkway Improvement District (PKID) Nos. 07-01, 07-02, 07-03, 07-04, 07-05, 07-06, 07-07, 07-08, 07-09, 07-10, and 07-11, for July 1, 2019 to June 30, 2020 and establish June 6, 2019, as the date of the final public hearing and adopting a tax levy for the districts. This item was approved with the Public Hearing Vote. 25. BUDGET - conduct hearing and adopt the budgets of the 2019-2020 Street Light Improvement Districts (SLID) and establish June 6, 2019 as the final public hearing and adopting the tax levy for the districts. This item was approved with the Public Hearing Vote. 26. CAPITAL IMPROVEMENT PLAN — consider accepting the draft Capital Improvement Plan (CIP) [2020 - 2029] and declare it a public document. Mayor Daniels opened the public hearing for Item 26. Councilmember Taylor stated there was too much contemplative spending on items like the Public Safety Training Facility and Cactus Yards. He stated the CIP document was sending a signal to the community that certain projects were planned before there had been serious discussion. He expressed concern of confusing the public by listing projects that had not been vetted. Vice Mayor Cook noted the larger projects in question were in the category of “beyond ten year mark”, adding there would be updates from staff and discussion in the future. Mayor Daniels stated the Council did have the ability and authority to have discussion on the future projects that would include stakeholders, residents, and staff. Mayor Jenn Daniels closed the public hearing for Item 26. A MOTION was made by Councilmember Anderson, seconded by Councilmember Peterson, to approve public hearing Item 26. Motion carried 5-2, with Councilmember Taylor and Councilmember Yentes with the dissenting votes RECESS REGULAR MEETING AND RECONVENE IN SPECIAL MEETING Mayor Daniels recessed the Regular meeting and convened the Special meeting. 27. BUDGET - acceptance of the preliminary budget for July 1, 2019 to June 30, 2020 of 7 $1,048,945,125 and establish June 6, 2019 as the date of public hearing and adoption of the final budget. Mayor Daniels opened the public hearing on Item 27. Councilmember Taylor voiced concerns regarding spending he did not approve of, stating there was “carrying forward of some spending…” He stated there would be additional, unnecessary spending added, specifically noting staffing costs. He referenced a possible tax increase and said that the budget did not accurately illustrate what the Town would spend. He discussed inflation and its effects on purchasing power and interest rates. He cautioned against the increase of spending and noted possible recession. Vice Mayor Cook referenced the Expense Summary Fiscal Year 2019-2020 sheet and discussed the projected budget versus the requested amount. Office of Management and Budget Director Kelly Pfost provided a summary of several of the budget sheets provided to the Council. She stated the budget is the maximum that can be spent, therefore, flexibility must be built into the budget to take advantage of opportunities such as the purchase a long-range assets or the refinance of debt. She stated the bulk of the budget was for multi-year, CIP projects; the full amount was carried forward to complete any projects that would be started. Councilmember Yentes stated there were items she was excited about, as well as concerns. She stated that paying off debt was a positive trend, noting the conservative projections for revenue were wise. She voiced concerns with the increase of spending and possible recession, noting it was best to take on as little debt as possible. She discussed diversified revenue streams and primary property tax. Councilmember Ray thanked staff for their time, transparency, and openness during the budget process. He invited the public to ask questions of the Town Council and staff. Councilmember Anderson requested a review of the revenue projections from the past few years. Office of Management and Budget Director Kelly Pfost stated the revenues were mostly based on the General Fund with sales tax, noting an 8% year-over-year increase in sales tax for the past six years. Councilmember Anderson stated he also had concerns with a slowing economy, but he did feel that currently there was a strong economy and the Town could meet the needs of the community. He noted the work that had been done to decrease debt. Councilmember Peterson noted the importance of the CIP list, planning, and the yearly Financial Retreat. She said she would be supporting the item and thanked the budget staff for their work. Mayor Daniels addressed the primary property tax concern, stating she did not believe any member of the Council would advocate for a primary property tax. She said it would not be the direction the Council would take and spoke of transparency. She referenced the 8 conservative approach to projected revenue and the ability for the Council to change its priorities in the budget if there were an economic downturn. She stated the budget was prioritizing, agile, strategic, and fiscally-responsible. There was discussion regarding the amount listed for new spending in the report. Councilmember Taylor said if money was not going to be spent, it should not be included in the budget. Mayor Jenn Daniels stated the definition of the budget was a financial plan that may include budget surplus or may be for providing use at a future time. She said a budget was not just revenues and expenditures, but rather a financial plan as a whole that could include refinancing of debt, which would require flexibility. Councilmember Ray stated the benefit to Gilbert’s type of budgeting was that a multi-year project was budgeted entirely when the project starts. He said it was a conservative way to budget, noting if a downturn in the economy did happen, there would not be incomplete projects. Mayor Daniels closed the public hearing on Item 27. A MOTION was made by Vice Mayor Cook seconded by Councilmember Peterson, to approve Public Hearing Item 27. Motion carried 5-2, with Councilmember Taylor and Councilmember Yentes casting the dissenting votes. 28. BUDGET — conduct hearing regarding the FY2020 Property Tax Levy and direct staff, if necessary, to submit an Ordinance setting the secondary property tax levy for FY2020 at $24,150,000 for adoption on June 6, 2019. Mayor Daniels opened the public hearing on Item 28. Councilmember Taylor stated he would like to keep the levy at $22,300.000 like last year. Vice Mayor Cook discussed the tax levy and property rate increase. He said he understood it was the goal to keep the rate the same, but noted the Maricopa County Assessor determines property values. He said by keeping the tax rate the same and having the levy go up to the recommended rate, the average household would see an increase of about $1.00 per month. Mayor Daniels closed the public hearing on Item 28. A MOTION was made by Vice Mayor Cook, seconded by Councilmember Peterson, to submit an Ordinance setting the secondary property tax levy for FY2020 at $24,150,000 for adoption on June 6, 2019. Motion carried 5-2, with Councilmember Taylor and Councilmember Yentes casting the dissenting votes. ADJOURN SPECIAL MEETING AND RECONVENE REGULAR MEETING 9 Mayor Daniels adjourned the Special meeting and reconvened the Regular meeting. ADMINISTRATIVE ITEMS 29. COUNCIL ADMINISTRATION - consider acceptance of the Budget Report and Contingency Report for the Third Quarter of FY2019. A MOTION was made by Councilmember Ray, seconded by Councilmember Peterson, to approve Item No. 29. Motion carried 7-0. 30. BOARDS AND COMMISSIONS – consider appointment to the Parks and Recreation Board of: a) three regular members with terms beginning May 13, 2019 and ending May 12, 2022; and b) one regular member to complete the remainder of a term beginning May 2, 2019 and ending May 12, 2020. This item was approved with the Consent Calendar vote. Rebecca Hill, Ben Kalkman, and Stanley Williams were appointed to the Parks and Recreation Board with terms beginning May 13, 2019 and ending May 12, 2022; and Lindsay Shrewsbury was appointed to the Parks and Recreation Board with a term beginning May 2, 2019 and ending May 12, 2020. 31.BOARDS, COMMISSIONS, AND COMMITTEES - reports from Council Liaisons for the: a) Subcommittee on Board and Commission Application Screening, Interview, and Selection b) Subcommittee on Building Code c) Subcommittee on Land Development Code d) Ad Hoc e) Regional Meetings f) Industrial Development Authority g) Judicial Review Committee h) Mayor’s Youth Advisory Committee i) Parks and Recreation Board j) Planning Commission k) Redevelopment Commission l) Town of Gilbert, AZ Public Facilities MPC m) Town of Gilbert, AZ Water Resources MPC n) Town of Gilbert, AZ Self-Insured Trust Fund for Health Benefits o) Utility Board Councilmember Peterson stated she and Mayor Daniels visited Gilbert Fire and Rescue to see the department begin its accreditation process. She said that Fire Chief Jim Jobusch has since reported that Gilbert Fire and Rescue has been recommended for an accreditation, noting the decision will not be made until August. She thanked the staff who helped with the process. 10 POLICY ITEMS None. FUTURE MEETINGS Councilmember Ray stated he would submit a future agenda item request to consider raising credit cards fees. COMMUNICATIONS Report from the TOWN MANAGER on current events. Town Manager Patrick Banger announced the Annual Police Memorial would be on Monday, May 6, 2019. He congratulated the staff members involved in the Accreditation for the Gilbert Fire Department. He congratulated Office of Management and Budget Director Kelly Pfost and her staff on the budget process. He reported that the Sixth Annual Spark App League was held with over 300 children in attendance. He thanked the staff involved for their work, noting the theme was “City of the Future”. He thanked the event’s sponsors including Arizona State University’s Fulton School of Engineering, Waymo, LLC, and Deloitte Industries for providing support and mentors. Lastly, he recognized Economic Development Administrator Amanda Elliott, who received the Arizona Economic Development Professionals designation from the Arizona Association for Economic Development. Report from the COUNCIL on current events. Councilmember Ray thanked Gilbert Fire and Rescue for the April Pools Day event. He thanked the Parks and Recreation Department staff for their work at Cactus Yards, stating it was an amazing facility. Report from the MAYOR on current events. Mayor Daniels thanked staff for their hard work. RECESS REGULAR MEETING AND RECONVENE IN EXECUTIVE SESSION Mayor Daniels recessed the Regular Meeting and reconvened in Executive Session pursuant to A.R.S. § 38-431.03(3), (4), and (7) for legal advice from the Town Attorney and discussion and consultation with Town representatives concerning a contract for the sale of a 9.1 acre parcel in Heritage District located on the southeast corner of Ash Street and Juniper Avenue. Motion carried 7-0. Mayor Jenn Daniels recessed the Regular meeting at 8:25 p.m. ADJOURN EXECUTIVE SESSION AND RECONVENE REGULAR MEETING 11 Mayor Daniels reconvened the Regular meeting at 8:50 p.m. ADJOURN Mayor Daniels adjourned meeting at 8:50 p.m. ATTEST: ___________________________ ___________________________________ Jenn Daniels, Mayor Lisa Maxwell, MMC, Town Clerk CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the regular meeting of the Town Council of the Town of Gilbert held on the 2nd day of May, 2019. I further certify that the meeting was duly called and held and that a quorum was present. Dated this ____ day of ____________________. ___________________________________ Lisa Maxwell, MMC, Town Clerk 12