Town Council

MINUTES 0F THE REGULAR MEETING OF THE HONORABLE TOWN COUNCIL OF THE TOWN 0F PINETOP-LAKESIDE, ARIZONA, HHLD ON THURSDAY, JUNE 16, 2022, IN THE TOWN COUNCIL CHAMBERS LOCATED AT 325 W. WIIITH MOUNTAIN BOULEVARD, LAKESIDE, AZ 85929 > Call to Order Mayor Irwin called the meeting to order at 6:00 p.in. > Roll Call The following Council Members were present: Name Position Stephanie Irwin Mayor Jeny Smith Vice Mayor Lynn Krigbaum Council Member Jim Snitzer Council Member Paul Watson Council Member Sterling Beus Council Member The following Council Member was absent: Name Position Taber Heisler Council Member Also Present: Name Position Keith Johnson Town Manager Kevin Rodolph Assistant Town Manager/Finance Director Kristi Salskov Town Clerk Daniel Bames Police Chief Daniel Wilkey Police Commander Matt Patterson Public Works Director Betsy Peck Library Manager Amie DeRosier Marketing Coordinator Minutes of the Town Council Regular Meeting -June 16, 2022. Page 2 Malaina Spillman Assistant to the Public Works Director Stacy MacAfthur Accountant Mackenzie Valichnac Deputy Town Clerk > Pledge of Allegiance and Invocation Mayor Irwin led the Pledge of Allegiance to the Flag. Cuftis Patterson offered the Invocation. 8. Call to the public Mayor Irwin called for public comments. No comments were offered. C. Consent Agenda Mayor Irwin announced consideration of the Consent Agenda and explained that all items listed would be acted upon by a single vote of the Council, unless a member of the Council asked that specific items be removed from the Consent Agenda, discussed, and voted upon separately. Vice Mayor Smith moved for passage of the Consent Agenda. Council Member Beus seconded the motion and by show of hands the following vote was recorded: AYES NAYS ABSTAIN Mayor Irwin X Vice Mayor Jeny Smith X Council Member Krigbaum X Council Member Snitzer X Council Member Watson X Council Member Beus X Mayor Irwin then declared that all Consent Agenda items in these minutes were approved, passed, and adopted with a 6-0 vote. C.1 Consider approval of the Minutes of the Town council Meetin held on June 2, 2022. Minutes of the Town Council Regular Meeting -June 16, 2022. Page 3 By a unanimous vote under the Consent Agenda, Town Council approved the minutes of the Town Council Meeting held on June 2, 2022. C.2 Consider approval of the Minutes of the Town council Budget Work Session held Ma 26, 2022. By a unanimous vote under the Consent Agenda, Town Council approved the Minutes of the Town Council Budget Work Session held May 26, 2022. D. Business Before the council Mayor Irwin armounced that Public Comment will be taken at the begiming of each agenda item, after the subject has been announced by the Mayor and explained by Staff. Any citizen, who wishes, may speak one time for five minutes on each agenda item before or after Council discussion. Questions from Council Members, however, may be directed to staff or a member of the public through the Mayor at any time. D.1 Consider adopting Resolution No. 22-1616 approving the bid for the Landscape Maintenance Contract with In Bloom Nursery-It's Magic Landscape Design and authorizing the Town Manager to execute reement on behalf of the Town. Public Works Director Patterson shared that the Town has had a contract with In Bloom Nursery-It's Magic Landscape Design for five (5) years now. Director Patterson explained that the Town followed the bid process and only had one bid tuned in which was In Bloom Nursery-It's Magic Landscape Design. Director Patterson stated that the contract is for $70,500 for FY 2022-2023. Council Member Beus asked how many additional staff members the Public Works Parks Department would need in order to manage the landscape for Town facilities rather than outsourcing landscaping. Councilor Beus also asked Director Patterson what the wages would equal to employ staff to manage the landscape. Director Patterson responded that the parks department would need two (2) additional employees, plus equipment. Director Patterson stated that the cost for two (2) additional employees would equal around $73,000.00 plus an additional $45,000.00 for benefits. Patterson added that mowers and a truck would also be needed bringing the total to approximately $ 131,000.00.  Page 4 Minutes of the Town Council Regular Meeting -June 16, 2022. Council Member Beus thanks Director Patterson for the information. Council Member Watson asked Director Patterson if the term of the contract has changed. Director Patterson stated that it is a five (5) year contract and is brought to the Council yearly for an amendment if there are any price changes. Director Patterson added that they do charge monthly even though there is less landscaping to maintain in the winter months. Director Patterson added that it was asked by In Bloom Nursery-it's Magic Landscape Design to divide the total fees equally for the 12 months to help them survive the slow winters. Council Member Watson stated that he had read that in the past the Town has hired seasonal help. Councilor Watson asked if In Bloom Landscape-It's Magic Nursery will be picking up the additional duties or tasks. Director Patterson stated that the Town will still be hiring summer help because of Special Events and additional focus to town parks. Mayor Irwin stated that her understanding is that the Town Parks Department manages the Town Parks and It's Magic Landscape will manage the landscape of the facilities. Director Patterson shared that Parks Manager, Frank Naranjo and the parks crew manage Jack Barker Park, Woodland Lake Park, and Mountain Meadows Park and Recreation Complex. Director Patterson added that the Parks Department is still short for the help needed and that temps are hired to help with projects when needed. Mayor Irwin stated that In Bloom-It's Magic has done an incredible job keeping the town facilities looking beautiful. Mayor Irwin added that she gets feedback from the public regarding the increased landscape visits at the Cemetery and how nice it is looking, Council Member Krigbaum agreed that she has noticed how great the landscape in town has been looking and shared that she did not realize In Bloom-It's Magic was maintaining twelve (12) properties for the town. Councilor Krigbaum stated that there is a difference in the amount of landscape needed for summer months versus winter months and feels like the winter months would not cost as much as a summer month. Minutes of the Town Council Regular Meeting -June 16, 2022. Page 5 Director Patterson added that they do charge monthly even though there is less landscaping to maintain in the winter months. Director Patterson added that it was by request of In Bloom Nursery-it's Magic Landscape Design to divide the total annual fees equally for the 12 months to help them survive the slow winters. Council Member Watson asked if the Parks Department or In Bloom-It's Magic is responsible for taking care of the entrance sign landscaping. Director Patterson stated that it is part of the Landscape Maintenance Contract. Director Patterson added that the evergreen bushes that were in front of the signs needed to be removed because they had grown so much that they blocked the entrance signs. Director Patterson shared that In Bloom-It's Magic is currently working on a design for colorful shrubs or flowers to make the entrance signs more visible. Council Member Beus moved to adopt Resolution No. 22-1616 approving the bid for the Landscape Maintenance Contract with In Bloom Nursery - It's Magic Landscape Design and authorizing the Town Manager to execute the agreement on behalf of the Town. Council Member Krigbaum seconded the motion and by the show of hands the following vote was recorded: AYES NAYS ABSTAIN Mayor Irwin X Vice Mayor Smith X Council Member Krigbaum X Council Member Snitzer X Council Member Watson X Council Member Beus X Mayor Irwin declared the motion passed with a 6-0 vote. D.2 Conduct the first public Hearing of renewing the Alternative Expenditure Limitation-Home Rule Option for the November 8, 2022 General Election. Mayor Irwin explained that this is a Public Hearing and if any member of the public would like to speak on this item, they are welcome to do so.  Page 6 Minutes of the Town Council Regular Meedng -June 16, 2022. Finance Director Rodolph shared that the state requires the Town to conduct two (2) Public Hearings for the continued use of the Altemative Expenditure Limitation. Director Rodolph explained that this is the first Public Hearing, and the second Public Hearing will be held on Wednesday, June 22, 2022, at 6:00 p.in. at Town Hall in the Council Chambers as a Special Meeting of the Town Council. Director Rodolph stated that in 2016 the Town took this question to the voters, and it was approved for the Town to use the Altemative Expenditure Limitation-Home Rule Option which has been in effect for the last four (4) years and will be expiring at the end of next fiscal year, June 30, 2023. Director Rodolph explained that the Town needs to bring it back to the voters for the continued use of the Alternative Expenditure Limitation. Director Rodolph stated that this public hearing is informational adding that staff will ask Council to approve a Resolution to renew the Altemative Expenditure limitation after the second public hearing being held on June 22, 2022 and will be voted on in the General Election November 8, 2022. Director Rodolph explained that the Altemative Expenditure Limitation-Home rule is very important to the Town adding that it has nothing to do with raising taxes. Director Rodolph explained that renewing the Altemative Expenditure Limitation allows the Town to use the resources that the Town currently has. Director Rodolph directed attention to an example in the packet which shows how important the Altemative Expenditure Limitation is. Director Rodolph further explained that in the year 2019-2020 the state-imposed limit if we were subject to that, would have been approximately $6.5 million and the Town's actual budget was a little over $14 million. Director Rodolph explained that the state-imposed limit comes from a law that was passed in 1980 based on what expenditures were in 1979. Director Rodolph added that the base amount is adjusted each year, based on population and inflation factors. Director Rodolph shared on the chart he provided for the next Fiscal year 2022-2023 which we are currently working on, due to our population decrease, our state- imposed limit went down by $500,000 from what it is in the current year. Director Rodolph said if we were subject to the state-imposed limit it would be a little over $6 million and the budget we are currently working on will be approximately $25 million. Rodolph stated that it would impact the town greatly if were not allowed to use the Home rule Option. Council Member Watson asked if the state-imposed limits that are shown include possible exclusions. Director Rodolph stated that whether it is state-imposed limits or the Altemative Expenditure Limitation it would start with the same amounts listed, then if you can,  Page 7 Minutes of the Town Council Regular Meeting -June 16, 2022. deduct approved exclusions to get that amount under the state-imposed limit. Director Rodolph added that the calculations are very complicated adding that we have come very close to over-spending the state-imposed limit before we had the Home rule Option. Council Member Watson emphasized what Director Rodolph said regarding the budget for this year being $25 million. Councilor Watson asked Director Rodolph if part of that dollar amount is bonding for new Police Department Building and other things that would be excluded from the state limit. Director Rodolph responded, "yes, £facz/ is correc/. " Council Member Watson stated that it was his understanding that even if the town hadmoneyinthebank,underthestate-imposedlimit,wewouldnotbeabletospend those funds. However, we could get bonds which would cost us more money in interest to accomplish the same things. Councilor Watson said his point being, the town is not raising taxes, we are simply utilizing the assets that the town has to accomplish the things that need to be done. Councilor Watson asked if he was understanding correctly. Director Rodolph responded, "That is correct." Council Member Watson asked Director Rodolph if he knew how many cities and towns in Arizona impose the Home Rule Option? Director Rodolph answered, "yes" and stated he got that information from the League of Cities and Towns. Director Rodolph shared that there are 94 cities and towns in Arizona and there are only 13 that do not operate with a Home Rule Option, or a Permanent Base Adjustment. That equals 86°/o of cities and towns that have adopted an Altemative Expenditure Limitation-Home Rule Option or Permanent Base Adjustment. Council Member Beus if there will be a publicity pamphlet with an explanation of how the Altemative Expenditure Limitation works and that it does not raise taxes. Director Rodolph reminded Council that we must conduct two (2) public hearings, this being the first of two. After the second public hearing, staff will ask Council to approveandadoptaResolutiontomoveforwardwithavotetorenewtheAltemative Expenditure Limitation, if Council approves there will be public hearings to explain  Page 8 Minutes Of the Town Council Regular Meeting -June 16, 2022. how the Home Rule-Option works and will clearly show that renewing the Home rule Option does not raise taxes. Director Rodolph added that Staff will create a publicity pamphlet that will be mailed out with the early voting ballots for the November 8, 2022 General Election. Mayor Irwin added that there will be an opportunity for individuals to write a pro or con article for the publicity pamphlet. Mayor Irwin shared that she and one other person had written a pro Home Rule Option article four (4) years ago and paid to have that published in the pamphlet. Mayor Irwin added that there were no con articles written and said that if any Council Members or members of the public want to write an article they are welcome to do so. Mayor Irwin called for public comments, no comments were offered. D.3 Pursuant to A.R.S. 38-431.03 (A)(7) the Council may vote to enter into Executive Session. Mayor Irwin stated that there would be one vote for items D.3 and D.4 to enter into Executive Session. Mayor Irwin explained the reason for convening into Executive Session will be to discuss or consult with designated representatives of the public body in order to consider its position and instruct its representative regarding negotiations for the purchase, sale, or lease of real property. Council Member Watson moved to enter into Executive Session to discuss agenda items D.3 and D.4. Vice Mayor Smith seconded the motion and by the show of hands, the following vote was recorded: AYES NAYS ABSTAIN Mayor Irwin X Vice Mayor Smith X Council Member Krigbaum X Council Member Snitzer X Council Member Watson X Council Member Beus X Mayor Irwin declared the motion passed with a 6-0 vote. D.4 Pursuant to A.R.S. 38-431.03 (A)(7) the Council may vote to enter into Executive Session.  Page 9 Minutes Of the Town Council Regular Meeting -June 16, 2022. Council Member Watson moved to enter into Executive Session to discuss agenda items D.3 and D.4. Vice Mayor Smith seconded the motion and by the show of hands, the following vote was recorded: AYES NAYS ABSTAIN Mayor Irwin X Vice Mayor SmithCouncilMemberKrigbaum X X Council Member Snitzer X Council Member Watson X Council Member Beus X Mayor Irwin declared the motion passed with a 6-0 vote. Mayor and Council entered into Executive session for discussion of items D.3 and D.4. the regular meeting reconvened at 7:24 p.in. I. Adjournment M¢j/or J"i.# There being no further business at this time, the regular meeting was adjourned at approximately 7:25 p.in. i:: tfit;H.`;i ,edi- Stephanie Irwin Mayor ATTEST: Town Clerk CERTIFICATI0N I hereby certify that the foregoing minutes are a true and correct copy of the minutes oftheRegularmeetingoftheTownCouncilofTownofpinetop-Lakeside,Arizona, held on the 16th day of June 2022. I further certify that the meeting was duly called and held and that a quorum was present. Minutes Of the Town Council Regular Meeting -June 16, 2022. Page 10 Dated this 16th day of June 2022. Town Clerk