City Council

Mayor Cal Sheehy Lake Havasu City Vice Mayor David Lane Police Facility Councilmember Nancy 2360 McCulloch Blvd North Campbell Lake Havasu City, Arizona Councilmember Jeni Coke 86403 Councilmember Jim Dolan www.lhcaz.gov Councilmember Michele Lin Councilmember Cameron Moses City Council Regular Meeting Minutes - Final Tuesday, November 14, 2023 5:30 PM 1. CALL TO ORDER Mayor Sheehy called the meeting to order at 5:30 p.m. 2. INVOCATION: Pastor Ray Carter, Redemption Hill Calvary Chapel Pastor Ray Carter, Redemption Hill Calvary Chapel, gave the invocation. 3. PLEDGE OF ALLEGIANCE: American Legion Post #81 Members from American Legion Post #81 led in the Pledge of Allegiance. 4. ROLL CALL Present: 7- Mayor Cal Sheehy, Councilmember Nancy Campbell, Councilmember Michele Lin, Councilmember Cameron Moses, Councilmember Jeni Coke, Vice Mayor David Lane and Councilmember Jim Dolan *Councilmember Jeni Coke was present via remote conferencing. 5. CONSENT AGENDA 5.1 ID 23-4017 Approve the October 24, 2023, City Council Regular Meeting Minutes (Kelly Williams) 5.2 ID 23-4036 Approve the Purchase of Two (2) Vehicles from Anderson Chrysler and One (1) 2023 Ford F150 4X2 Super Cab Pickup from San Tan Auto Partners LLC dba San Tan Ford (Bill Young) 5.3 ID 23-4018 Call for Executive Session Pursuant to A.R.S.§ 38-431.03(A) 4:30 p.m., Tuesday, November 28, 2023 (Kelly Williams) Councilmember Moses moved to approve the Consent Agenda as presented, seconded by Councilmember Dolan, and carried by the following vote: Aye: 7 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin, Councilmember Moses, Councilmember Coke, Vice Mayor Lane and Councilmember Dolan Lake Havasu City Page 1 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 6. CORRESPONDENCE, COMMUNICATIONS, PETITIONS, ANNOUNCEMENTS, CITY MANAGER REPORT 6.1 ID 23-4019 Announce Vacancies on Lake Havasu City Boards, Committees, and Commissions (Kelly Williams) City Clerk Kelly Williams announced the current vacancies on various Lake Havasu City Boards, Committees, and Commissions. She said applications are available at City Hall and on the City’s website at www.lhcaz.gov. 6.2 ID 23-4020 City Manager’s Report (Jess Knudson) City Manager Jess Knudson reported on the following: • Recognized the retirement of Police Officer Bruce Yost, Lake Havasu City Police Department, with 21 years of service. • The Lake Havasu City Fire Department received a new desert rescue unit to handle emergencies and provide critical assistance to citizens. • Announced various events, ceremonies, and proclamations. • Lake Havasu City is conducting a Citizen Survey to help identify areas of improvements to meet the needs of the citizens. 7. PUBLIC HEARINGS 7.1 ID 23-4027 Adopt Ordinance No. 23-1322 Amending the Zoning Classification and District Boundary for 1535 El Camino Drive, Tract 2194, Block 2, Lots 4, 5, & 6 from Limited Commercial (C-1) to General Commercial (C-2) (Trevor Kearns) Planner Trevor Kearns said the subject property consists of combined Lots 4, 5, and 6, Block 2, Tract 2194 that measures 0.74 acres located on El Camino Drive, just east of London Bridge Road, with an alley that abuts the rear. He said the property is developed with a church and a parking lot, with the western side of the property undeveloped. Mr. Kearns said the properties are within Block 2 of Tract 2194 which has parking-in-common and building areas. The lots are 215-feet deep with the first 85-feet set aside as the building area and the rear 130-feet as parking-in-common. Mr. Kearns noted that the rezone request does not modify the current parking or building areas, and any changes to the parking-in-common area will require a separate application submittal and review through a parking-in-common amendment. Mr. Kearns reviewed the surrounding property zoning and said the applicant’s letter of intent requests to amend the zoning from Limited Commercial (C-1) to General Commercial (C-2) to facilitate the future owner’s marine service and repair shop. He said this type of use would be allowed in a C-2 zoning district and also aligns with the city’s General Plan. Mr. Kearns noted that since 2017 eight lots in the area have been rezoned from C-1 to C-2 with the most recent rezone in August 2022. Mayor Sheehy opened the public hearing. Lake Havasu City Page 2 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 Mr. John Parrott, citizen, addressed the council and said he represents the owner of the property, God’s Grace Church of Lake Havasu City. He said when Lake Havasu City was incorporated, property in the city assumed the zoning that Robert McCulloch and the Irrigation and Drainage District put in place. He said this zoning has worked well; however, overtime this property (zoned C-1) is no longer in sync with today’s economy. He said its proximity to London Bridge Road, Windsor Launch Ramp, the Industrial Boulevard corridor, and the future second bridge makes it an ideal use for C-2 type property. He said the applicant needs to sell the property to invest the money in other properties they own in Arizona and a local business owner would like to purchase the property; however, to occupy the property as a marine service and repair shop, it needs to be rezoned to C-2. There being no further comments, Mayor Sheehy closed the public hearing. Councilmember Dolan moved to adopt Ordinance No. 23-1322 amending the zoning classification and district boundary for 1535 El Camino Drive, Tract 2194, Block 2, Lots 4, 5, & 6, from Limited Commercial (C-1) to General Commercial (C-2), seconded by Vice Mayor Lane, and carried by the following vote: Aye: 7 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin, Councilmember Moses, Councilmember Coke, Vice Mayor Lane and Councilmember Dolan 7.2 ID 23-4021 Approve Use Agreement for Havasu Riviera Overflow Parking with Havasu Riviera Marina, LLC (Kelly Garry) City Attorney Kelly Garry advised that the proposed agreement is to facilitate the location and use of temporary overflow, short-term trailer, and Havasu Riviera special event parking for the users of the Havasu Riviera State Park. Ms. Garry stated that the property is located immediately east of the Havasu Riviera Marina owned by the Bureau of Land Management (BLM) and leased to the city under a Recreation and Public Purposes Lease. She said the use under this agreement is for parking purposes only and is not exclusive, and unless used for a special event purpose, the property will be open to the public not accessing the marina and Havasu Riviera may not charge any non-user of the marina for the use of this property. Ms. Garry added that the property may be used for daily overflow parking needs, short-term trailer parking for watercraft temporarily moored in the Havasu Riviera Marina public slips, and Havasu Riviera special events. She added that the special event parking uses include parking for specified weekends and events where Havasu Riviera will use most or all this property for its parking and a special event permit must be obtained for this use. The property may be used by the city or other third parties for special event purposes despite the agreement. Ms. Garry stated that the proposed term of the agreement begins July 1, 2023, through December 31, 2029, with options to renew for two additional five-year terms, and said Havasu Riviera will pay an annual lease rate of Lake Havasu City Page 3 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 $6,950 which will be reinvested into the property in accordance with the city’s lease with BLM. Mayor Sheehy opened the public hearing. There being no comments, he closed the public hearing. Vice Mayor Lane moved to approve the Use Agreement for Havasu Riviera Overflow Parking with Havasu Riviera Marina, LLC, seconded by Councilmember Campbell, and carried by the following vote: Aye: 7 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin, Councilmember Moses, Councilmember Coke, Vice Mayor Lane and Councilmember Dolan 7.3 ID 23-4035 Adopt Ordinance No. 23-1319 Amending Lake Havasu City Code Section 3.20.040, Schedule of Fees and Service Charges, to Update Costs Recovered (Jill Olsen) Administrative Services Director Jill Olsen advised that this item is the adoption of an ordinance amending the schedule of fees and service charges that were introduced on October 24, 2023. Ms. Olsen explained that city’s fees and service charges are reviewed annually in accordance with the City Code and several years ago the city established a method to adjust fees by using the Consumer Price Index (CPI) when calculating recommended fee changes which allowed for reasonable costs to be recovered. She stated that a CPI of 13.85 percent was applied last year to keep up with inflation costs. This year staff reviewed the CPI, which came back at 10 percent; however, to minimize fee increases, staff is recommending a 5 percent increase to help keep pace with the changes in costs the city is seeing and come back next year with the actual calculations. Mayor Sheehy opened the public hearing. Ms. Bonnie Toy, citizen, addressed the council concerning the increase to the business license fees as compared to neighboring cities and towns. She asked the council to consider no increase to the business license fees. Mr. Dante Marinelli, citizen, addressed the council concerning the airport fees. He said the airport is under Federal mandate and operates under a certain set of guidelines to 1) ensure that the funds generated by the airport stay at the airport, and 2) be self-sufficient. He said he has asked the city multiple times: how much money is the airport taking in and how much money the airport is spending, and is the airport in the red or black? He said he is not saying that the city should be charging more or less but does not think the city has a benchmark and does not think the five percent CPI rule applies at the airport because we do not know the target. He said the Fuel Flowage Fee has increased 55 percent in three years, from nine cents to 15 cents (proposed). He said the airport is still trying to compete with nearby airports and understands that it is only a one cent increase this year but adds Lake Havasu City Page 4 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 up and makes the airport non-competitive with nearby airports, noting that the Fuel Flowage Fee in Kingman is five cents. He said he thinks there are certain fees at the airport that are below the mark and is not saying that the city should not raise fees, but the basic question is: is the airport in the red or black, and by how much? He said the thinks the methodology that the city is using does not take into consideration whether the airport is making money or not, and if it is not, then how much does the airport need to get there. He said he believes a blanket percentage across the board is wrong. There being no further comments, Mayor Sheehy closed the public hearing. Councilmember Moses said he was in favor of a methodology that pays for the services that are used. He said small incremental increases are typically more difficult and was not in favor of the proposed ordinance. Councilmember Dolan said he was in favor of a small adjustment this year to keep up with CPI. Vice Mayor Lane spoke on cost for services and said he was in favor of the proposed ordinance. Councilmember Campbell moved to adopt Ordinance No. 23-1319 accepting the rate study as presented with the exception of S-252, Fuel Flowage Fees, until further investigation into comparable cities cost analysis is completed, seconded by Councilmember Lin, and carried by the following vote: Aye: 4 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin and Councilmember Dolan Nay: 3 - Councilmember Moses, Councilmember Coke and Vice Mayor Lane 7.4 ID 23-4026 Approve the 2024 Memorandum of Understanding with the Lake Havasu Professional Firefighters (Chief Pilafas) Fire Chief Pete Pilafas advised that before the council is the 2024 Memorandum of Understanding (MOU) with the Lake Havasu Professional Firefighters. Chief Pilafas said Lake Havasu City Code Chapter §2.62, established in April 2004, allows designated employee groups to engage in the process of meet and confer to establish an MOU. He said authorized personnel met and conferred in good faith and reached an agreement regarding the modifications to the Lake Havasu Professional Firefighters MOU from 2019. Chief Pilafas noted that the proposed modifications pertain to Article 6, 8, and 14. Lake Havasu Professional Firefighters Association President Corky Coiner addressed the council and spoke in support of the proposed MOU. Lake Havasu City Page 5 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 Mayor Sheehy opened the public hearing. There being no comments, he closed the public hearing. Vice Mayor Lane moved to approve the 2024 Memorandum of Understanding with the Lake Havasu Professional Firefighters, effective January 1, 2024, and authorize the City Manager and the Fire Chief to execute the MOU on behalf of Lake Havasu City, seconded by Councilmember Moses, and carried by the following vote: Aye: 7 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin, Councilmember Moses, Councilmember Coke, Vice Mayor Lane and Councilmember Dolan 7.5 ID 23-4030 City Park Amenity Upgrade Update (Mike Keane) Parks and Recreation Director Mike Keane said the Lake Havasu City Parks and Recreation Department has been working on upgrading and updating many areas of the park system, including: • Safety & Curb Appeal o Walkway Lighting o Ramada Refresh o Playground Lighting o London Bridge Beach Upper Parking Lot o Playground Surfacing o Sidewalk Repairs o Wheeler Park o Burnt Signage o Fire Gates o Trail Signage • Ballfields o Dick Samp Park Fields o SARA Park Fields o Rotary Park Fields o Island Football Field • Other Projects o Yonder Park Ramada o Playground Improvements o SARA Park Trailhead 2 Improvements o Park Restroom Improvements o Disc Golf Improvements o Additional Portable Fencing o Landscaping around Island Walking Path • Team Expansion Lake Havasu City Page 6 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 o Parks Superintendent o Three (3) Maintenance Technicians o New Equipment Mr. Keane said the Parks and Recreation Advisory Board and public comments have been used to help guide the process. Mayor Sheehy thanked staff for their presentation and said this is a great example of taking feedback that the city has collectively received from citizens, park users, and the City Council, through investments in the budget process, and showing the reality. Vice Mayor Lane and Councilmembers Campbell, Moses, and Dolan expressed their appreciation to staff for their hard work. Mayor Sheehy opened the public hearing. There being no comments, he closed the public hearing. 7.6 ID 23-4016 Approve Deployment Service Order with Via Mobility LLC for Transit Dispatch Solutions Platform (Patrick Cipres) Transit Manager Patrick Cipres said this item is to approve a Deployment Service Order with Via Mobility LLC for a Transit Dispatch Solutions Platform. He provided an overview of the city’s transit system, noting that the city’s microtransit (Direct) and paratransist (Flex) are the two most popular transit services and work best for the community. He explained that the city has exceeded the capabilities of the current dispatch platform (Uber Routematch) and has been seeking a dispatching solution that can combine (commingle) both the micro transit and paratransit services. Mr. Cipres gave a brief presentation on Via that outlined the following: • Significant Experience Across Arizona o Commingled microtransit and paratransit software replacement o Additional Arizona Partners • Extensive Operating Experience o Rural, urban, suburban o Effectively launch and expand o Industry innovator with leading transit solutions • Integrated Systems Approach o Optimize transit network o Sophisticated simulation tools o Smartest algorithm in the world o Deeply configurable solutions Lake Havasu City Page 7 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 • Partner Success + Data Sharing o Hands-on product and operations support o Unmatched access to data and analytics o Ongoing analysis to help boost growth • World’s Leading Provider of Public Mobility Solutions o 650 partners o 125M rides served o 65+ paratransit services o 25+ commingled services • Marketing Strategy to Support a Successful Transition and Beyond Mr. Cipres further explained that anyone searching for transit online (or a transit App on their phone) will see Lake Havasu Transit as an option. He said they will not see Lake Havasu City Transit as an option if they are using the Uber or Lift Apps but will have the option to download the Lake Havasu City Transit App in the App Store. Mr. Cipres noted that the city will continue to schedule rides for callers that do not wish to use the App and said the conversion to the new Via App will begin in February 2024. Discussion ensued related to the current and proposed costs, quotes received, and length of original contract. Mayor Sheehy opened the public hearing. There being no comments, he closed the public hearing. Councilmember Dolan moved to approve the Deployment Service Order with Via Mobility LLC for the Transit Dispatch Solutions Platform for the minimum amount of $215,000, assuming six vehicles minimum with option to add vehicles at $4,800 a year per vehicle if needed, and authorize the City Manager to execute the Agreement on behalf of the City, seconded by Councilmember Lin, and carried by the following vote: Aye: 7 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin, Councilmember Moses, Councilmember Coke, Vice Mayor Lane and Councilmember Dolan 7.7 ID 23-4023 Award Agreement for Professional Services (Design) for the 2024 Water Main Replacement Project, Phase 2, to Kimley-Horn and Associates, Inc. ( Jason Hart) Project Manager Jason Hart advised that the item before the council is requesting approval of a Professional Services (Design) Agreement for the 2024 Water Main Replacement Project, Phase 2, with Kimley-Horn and Associates, Inc. Mr. Hart said the replacement criteria when reviewing the water mains, includes: diameter, material, pounds per square inch (PSI), break history, and age of the pipe. He said the purpose of the project is to continue to replace those water mains throughout the city that meet the previously Lake Havasu City Page 8 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 mentioned criteria per the Water Master Plan, and added that the project scope of work includes the design of approximately 22,650 linear feet of small diameter water main upgrades, consisting of 4-inch, 6-inch, and 8-inch diameter pipe within twenty-one (21) separate locations within the city. Mr. Hart noted that the project schedule is five months with an anticipated design completion in April 2024. Mayor Sheehy opened the public hearing. Ms. Toy addressed the council with questions concerning the design of the project. There being no further comments, Mayor Sheehy closed the public hearing. Mayor Sheehy explained that there are lot of components in the design process. Mr. Hart added that the design will also ensure that the city is not intersecting with any sewer lines and will also look at water service connections and placement of air release valves. Councilmember Campbell moved to award the Agreement for Professional Services for the 2024 Water Main Replacement Project, Phase 2, to Kimley-Horn and Associates, Inc., in the amount of $344,625, seconded by Councilmember Moses, and carried by the following vote: Aye: 7 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin, Councilmember Moses, Councilmember Coke, Vice Mayor Lane and Councilmember Dolan 7.8 ID 23-4022 Approve Sole Source Purchases of Wastewater Treatment Plant Parts, Equipment, and Service from Parkson Corporation (Thilak Fernando) Wastewater Superintendent Thilak Fernando advised that this item is requesting approval of sole source purchases with Parkson Corporation for parts, equipment, and service at the Mulberry Treatment Plant (MTP). He said the diffusers, racks, and down tubes in the aeration basins have reached their life expectancy and are in need of replacement. Mayor Sheehy opened the public hearing. There being no comments, he closed the public hearing. Councilmember Moses moved to approve sole source purchases for Wastewater Treatment Plant Aeration Basins and Clarifiers parts, equipment, and service from Parkson Corporation for a not-to-exceed amount of $170,000, seconded by Councilmember Dolan, and carried by the following vote: Aye: 7 - Mayor Sheehy, Councilmember Campbell, Councilmember Lin, Councilmember Moses, Councilmember Coke, Vice Mayor Lane and Councilmember Dolan 8. CALL TO THE PUBLIC Lake Havasu City Page 9 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 Ms. Joan Dzuro, citizen, addressed the council concerning the termination of Greg Froslie, former Public Works Director, and the hiring of Ron Foggin, former Kingman City Manager, as the Interim Public Works Director. She expressed concern that the councilmembers were not aware of the action being taken against a department head who served the city for over 26 years. She said the council should have been briefed on and confirmed it was a correct course of action and recommended the City Council hold an executive session as soon as legally possible to have the City Manager and Human Resources Director come before the council to explain this termination and have Mr. Froslie come in, should he wish to do so, to give the council his side of whatever the situation was. She said the council can then determine if this was an appropriate course of action for this city to have taken. Mr. Sergi Heideman, citizen, addressed the council and spoke concerning the city’s zoning ordinances related to short-term rentals in Lake Havasu City. He encouraged citizens to contact their State Representatives opposing the short-term rental laws and request they be repealed. Ms. Donna McCoy, citizen, addressed the council concerning the termination of Greg Froslie, former Public Works Director. She said she was disappointed that there was not more involvement with the city leaders and council to help and protect city employees. Mr. Don Wisdom, citizen, addressed the council concerning the new water and wastewater rates for condominiums. Ms. Toy addressed the council concerning pedestrian safety downtown. 9. CURRENT EVENTS There were no council committee reports. 10. FUTURE MEETINGS Tuesday, November 28, 2023 @ 5:30 p.m. – Regular Meeting Tuesday, December 12, 2023 @ 5:30 p.m. – Regular Meeting 11. FUTURE DISCUSSION ITEMS Councilmember Lin requested a future discussion item for an airport update and introduction of the new Airport Manager, seconded by Councilmembers Campbell and Moses. Councilmember Campbell requested a future discussion item regarding fuel flowage fees. Councilmember Campbell rescinded the request. 12. ADJOURN Lake Havasu City Page 10 Printed on 11/30/2023 City Council Minutes - Final November 14, 2023 Upon motion by Vice Mayor Lane and seconded, the meeting adjourned at 7:13 p.m. CERTIFICATION I hereby certify that the foregoing is a full and true copy of the Regular Meeting Minutes of the Lake Havasu City Council held on the 14th day of November, 2023. I further certify that the meeting was duly called and posted, and that a quorum was present. ____________________________________ Kelly Williams, City Clerk/MMC Lake Havasu City Page 11 Printed on 11/30/2023