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2021 02.16 City Council Regular Agenda
City of Apache Junction, Arizona Meeting location: City Council Chambers at City Hall Agenda 300 E.Superstition Blvd Apache Junction,AZ City Council Meeting 85119 www.ajcity.net Ph:(480)982-8002 Tuesday, February 16,2021 7:00 PM City Council Chambers A. CALL TO ORDER B. INVOCATION AND PLEDGE OF ALLEGIANCE C. ROLL CALL D. CONSENT AGENDA The council may, at this time, take single action on any or all items listed as consent agenda items. These may include, but are not limited to, acceptance of agenda, acceptance of minutes, appointments, acceptance of resignations and adoption of certain resolutions and other items which do not require a public hearing. The consent agenda is a timesaving device of which the mayor and city council is to receive documentation on these items from the city manager for their review prior to the meeting. Any member of the council may remove any item from the consent agenda for discussion and cause a separate vote on the matter later in the agenda. 1. 21-049 Consideration of acceptance of agenda. Sponsors: Jennifer Pena 2. 1-0 0 Consideration of approval of minutes of the regular meeting of February 2, 2021. Sponsors: Jennifer Pena Attachments: Minutes E. AWARDS, PRESENTATIONS AND PROCLAMATIONS Awards,presentations from other organizations,proclamations issued by the mayor, and acknowledgement of distinguished guests and visitors, and staff presentation of receipt of grant or donated funds are permitted at this time. 3. 20-6 6 Recognition by the mayor and city council of individuals and/or organizations who have made donations to support city activities, programs and projects through the Friends of Apache Junction. Recipients may wish to make comments on their donation. Sponsors: Fox Young Attachments: Feb 2021 Council reco ninon City of Apache Junction,Arizona Page 1 Printed on 2/10/2021 City Council Meeting Agenda February 16,2021 F. ANNOUNCEMENT OF CURRENT EVENTS The mayor or any member of council may at this time present a brief summary of current events. However, no discussion shall take place on such items except for clarifying comments related to substance, time and location. 4. 21-051 Announcement of current events from mayor and councilmembers. Sponsors: Chip Wilson G. CITY MANAGER'S REPORT The city manager, members of city staff or those individuals designated by the manager may present information pertinent to items under consideration or information related to the operation of the city. There shall however be no discussion at this time except for clarification inquiries. 5. 1-02 City Manager's Report. Sponsors: Bryant Powell 6. 0- 77 Discussion and presentation by Stephen Herring of Republic Services on free dump week and update on Landfill activity. Sponsors: Bryant Powell 7. 1-036 Discussion and update on corporate sponsorships, Friends of Apache Junction and the programs and resources of the Community Development Corporation (CDC). Sponsors: Fox Young Attachments: Feb 2021 Program and resource council presentation H. PUBLIC HEARINGS Public hearings required by applicable law shall be conducted by the council and any person shall be given the opportunity to speak.All remarks shall be addressed to the council as a whole and not to any member thereof. Such remarks shall be limited to five(5)minutes unless additional time is granted by the mayor. This time limitation shall not apply to applicants and their agents appearing before the council. 1. OLD BUSINESS The council shall consider any business that has been previously considered and which is still unfinished to include those items previously postponed or tabled. No member of the public shall be permitted to speak on these items unless invited to do so by the mayor after first submitting a written request-to-speak form with the city clerk. 8. 21-060 Discussion and possible action on Resolution No. 21-04 authorizing an Inter-governmental Agreement with Pinal County for an Off-Leash Dog Park at the County Complex located at 575 North Idaho Road. Sponsors: Liz Langenbach Attachments: CITY-COUNTY IGA 2021 Do Park IGA Staff Memo 01272021 Resolution 21-04 IGA with Pinal Co Do Park City of Apache Junction,Arizona Page 2 Printed on 211012021 City Council Meeting Agenda February 16,2021 9. 21-065 Presentation, discussion and consideration of Resolution No. 21-05 a resolution of the mayor and city council of the City of Apache Junction, Arizona, adopting policy guidelines and application procedures for the establishment of community facilities districts. Sponsors: Joel Stern Attachments: Memo to Staff QFQ Guidelines 02162021 Resolution 20-05 CFQ Polic Adontinn 10. 21-068 Presentation, discussion and consideration of Resolution No. 21-06, re-affirming support of the North-South Corridor alignment from U.S. 60 as detailed in the Pinal Regional Transportation Plan approved by the voters of Pinal County in November 2017. Sponsors: Mike Wever Attachments: MAP Res 21-06 J. NEW BUSINESS The council shall consider any business not yet considered. No member of the public shall be permitted to speak on these items unless invited to do so by the mayor after first submitting a written request-to-speak form with the city clerk. K. COUNCIL DIRECTION TO STAFF This item allows the mayor and city council to direct staff on specifically listed matters. L. SELECTION OF MEETING DATES, TIMES, LOCATIONS, AND PURPOSES 11. 21-053 The next regularly scheduled Work Session is Monday, March 1st and the next regularly scheduled Council Meeting is Tuesday, March 2, 2021. Sponsors: Jennifer Pena M. CALL TO PUBLIC At this time the public has the privilege to address the council with requests, communications, comments or suggestions relating to city business.All speakers must have already submitted a written "Request to Speak"form to the city clerk no later than the conclusion of the city manager's report portion of the agenda. If there is a group speaking on the same item, they should select a spokesperson.All such remarks shall be addressed to the council as a whole and not to any member thereof. The mayor is authorized to ask a speaker to stop speaking and leave the podium or to adjourn the meeting if anyone becomes disorderly, uncivil, makes personal attacks or continues to speak about items that are not within the jurisdiction of the city after being warned such issues are beyond the jurisdiction of the city to act. The council may not answer questions of the speaker, discuss the matter with one another, but may, at the conclusion: 1)respond to criticism by a speaker, 2)ask the city manager to review a matter;3) ask the city manager to place the matter on a future agenda. Each speaker must approach the podium, speak into the microphone,provide their name and address. There is a three(3)minute time limit per speaker. City of Apache Junction,Arizona Page 3 Printed on 211012021 City Council Meeting Agenda February 16,2021 N. ADJOURNMENT Copies of this agenda and additional information on any of the items listed above may be obtained from the City Clerk's office located at 300 E Superstition Blvd,Apache Junction,AZ 85119, Monday through Thursday from 7:00a-6:00p, excluding holidays. The City of Apache Junction invites and welcomes people of all abilities to use our programs, sites and facilities. Specific requests may be made by contacting the Human Resources Office at(480)474-2617 or TDD(480)983-0095. The Apache Junction City Council may vote to go into Executive Session for legal advice on any item listed on this agenda pursuant to A.R.S. §38-431.03(A)(3);this notice is given pursuant to A.R.S. § 38-431.02 to the members of the City Council and the public. City of Apache Junction,Arizona Page 4 Printed on 211012021 City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No. 1. File ID: 21-049 Sponsor:Jennifer Pena Agenda Date:2/16/2021 Index: In Control: City Council Meeting Consideration of acceptance of agenda. City of Apache Junction,Arizona Page 1 Printed on 211012021 City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No.2. File ID: 21-050 Sponsor:Jennifer Pena Agenda Date:2/16/2021 Index: In Control: City Council Meeting Consideration of approval of minutes of the regular meeting of February 2, 2021. City of Apache Junction,Arizona Page 1 Printed on 211012021 City of Apache Junction, Arizona Meeting location: City Council Chambers Meeting Minutes at City Hall 300 E.Superstition Blvd CityCouncil Meeting Apache Junction,AZ g 85119 www.ajcity.net Ph:(480)982-8002 Tuesday, February 2,2021 7:00 PM City Council Chambers A. CALL TO ORDER Mayor Wilson called the council meeting to order. B. INVOCATION AND PLEDGE OF ALLEGIANCE Vice Mayor Rizzi gave the invocation and Councilmember Evans led the meeting attendees in the Pledge of Allegiance. C. ROLL CALL Present: 7- Mayor Wilson Vice Mayor Rizzi Councilmember Evans Councilmember Schroeder Councilmember Biggs Councilmember Nesser Councilmember Gremmel Staff in Attendance: Bryant Powell, City Manager Matt Busby, Assistant City Manager Joel Stern, City Attorney Jennifer Pena, City Clerk Al Bravo, Public Information Officer Thomas Kelly, Chief of Police Janine Solley, Economic Development Director Larry Kirch, Development Services Director Rudy Esquivias, Planning Manager Kelsey Schattnik, Planner Nicholas Leftwich, Planning Intern Kendra Ellner, Planning Intern Emile Schmidt, City Engineer Jill Bright, Deputy City Clerk(remotely) D. CONSENT AGENDA Vice Mayor Rizzi moved,seconded by Councilmember Biggs to accept the consent agenda as presented. Yes: 7- Mayor Wilson, Vice Mayor Rizzi, Councilmember Evans, Councilmember Schroeder, Councilmember Biggs, Councilmember Nesser and Councilmember Gremmel City of Apache Junction,Arizona Page 1 City Council Meeting Meeting Minutes February 2,2021 No: 0 1. 21-030 Consideration of acceptance of agenda. 2. 21- 44 Consideration of approval of minutes of the regular meeting of January 19, 2021. 3. 21-035 Consideration on entering into a second amendment for copier purchase and managed print services with Xerox Business Solutions Southwest dba Arizona Office Technologies until June 30, 2023 for an approximate amount of $45,000 annually. 4. 21-033 Consideration of Resolution No. 20-41 and the adoption of the first amendment to an Intergovernmental Agreement between Pinal County and the City of Apache Junction, which defines responsibility for road maintenance of Superstition Mountain Drive, South Mountain View Road and Southern Avenue. E. AWARDS, PRESENTATIONS AND PROCLAMATIONS 5. 21-027 Presentation of proclamation opposing the Social Security Administration's decision to relocate the Apache Junction facility. Mayor Wilson proclaimed the city's opposition of the Social Security Administration's decision to relocate the Apache Junction facility. F. ANNOUNCEMENT OF CURRENT EVENTS 6. 21-032 Announcement of current events from mayor and councilmembers. Councilmember Nesser shared that the Chamber of Commerce has a program called Spring into Savings to help business members get money back into their businesses. If residents spend $50 or more at a participating business, you can take your receipt to the Chamber and they will give you a$20 gift card. Councilmember Evans shared that the AJ CDC completed a yard clean up in which they removed 9 tons and 25 tires from the backyard. October 9th will be the next Make a Difference Day and they will work on the Field of Dreams at Four Peaks Elementary. Councilmember Biggs shared that the 23rd Annual Navy Junior ROTC Benefit Car show is this Saturday. The first Friday event is February 12th and 13th. Last week him, Mayor Wilson and Vice Mayor Rizzi visited Phoenix Mesa Gateway Airport. Vice Mayor Rizzi shared that she spent 4 hours at Phoenix Mesa Gateway Airport last week. Mayor Wilson shared that the visit to Mesa Phoenix Gateway Airport was really impressive. He congratulated City Manager Bryant Powell for celebrating 20 years with the city. Assistant City Manager Matt Busby shared a slide show of pictures of Bryant over the last 20 year and mentioned his accomplishments over those 20 years. City of Apache Junction,Arizona Page 2 City Council Meeting Meeting Minutes February 2,2021 G. CITY MANAGER'S REPORT 7. 21- 33 City Manager's Report. City Manager Bryant Powell shared that he is honored to serve for this community and thanked his family for always supporting him. Mr. Powell shared an e-mail from a resident thanking Officer Ruan for his work and professionalism. 8. 21-041 Discussion on proper procedures and use of council chamber audio and visual tools and equipment. Public Information Officer Al Bravo presented that all council, board and commission meetings can be viewed live on the city website. He reminded council how to use the microphones so that those live streaming from home can hear. H. PUBLIC HEARINGS 9. 1-001 Consideration of application for a series 012 (restaurant)liquor license application for Barro's Pizza located at 95 S. Idaho Road, Suites 120 & 130. The next step in the process is for council to hold a public hearing on the application and make a recommendation of approval or denial to the Arizona Department of Liquor License and Control. Vice Mayor Rizzi moved,seconded by Councilmember Schroeder that the application for a Series 12 Restaurant Liquor License,for Barro's Pizza located at 95 S. Idaho Road be recommended for approval to the Arizona Department of Liquor Licenses and control. Yes: 7- Mayor Wilson, Vice Mayor Rizzi, Councilmember Evans, Councilmember Schroeder, Councilmember Biggs, Councilmember Nesser and Councilmember Gremmel No: 0 City Clerk Jennifer Pena explained a series 12 restaurant liquor license has been submitted for Barro's Pizza and that the police department, building division, planning division and the fire district have conducted their inspections and recommend approval. Mayor Wilson opened the public hearing. Mayor Wilson closed the public hearing. 10. 21-024 Consideration of application for temporary extension of premises/patio permit for applicant William Kimball for the Fraternal Order of Eagles located at 2315 S. Coconino Drive in Apache Junction, AZ 85120 for their February 20, 2021 Western Days event. The next step in this process is for the council to hold a public hearing on the application and make a recommendation for approval or denial to be forwarded to the Arizona Department of Liquor Licenses and Control. Councilmember Biggs moved,seconded by Councilmember Schroeder that the application for a Temporary Extension of Premises submitted by the Fraternal Order of Eagles located at 2315 S. Coconino Drive for"Western Days"to be held on February 20th be recommended for approval to the Arizona Department of Liquor Licenses and control. City of Apache Junction,Arizona Page 3 City Council Meeting Meeting Minutes February 2,2021 Yes: 7- Mayor Wilson, Vice Mayor Rizzi, Councilmember Evans, Councilmember Schroeder, Councilmember Biggs, Councilmember Nesser and Councilmember Gremmel No: 0 City Clerk Jennifer Pena explained a temporary extension of premises has been submitted by the Fraternal Order of the Eagles for their February 20th Western Days event and that the police department, building division, planning division and the fire district have conducted their inspections and recommend approval. William Kimball of the Fraternal Order of Eagles stated that even though Lost Dutchman Days is cancelled they still wish to have this event to raise money for the youth of the community. Mayor Wilson opened the public hearing. Mayor Wilson closed the public hearing. 11. 21-028 Consideration of application for temporary extension of premises/patio permit for applicant Mary LeDoux for Captain's Food &Spirits located at 300 W. Apache Trail#118 in Apache Junction, AZ 85120 to accommodate additional seating in the front of their building due to COVID-19. The next step in this process is for the council to hold a public hearing on the application and make a recommendation for approval or denial to be forwarded to the Arizona Department of Liquor Licenses and Control. Councilmember Evans moved,seconded by Councilmember Biggs that the application for a Temporary Extension of Premises submitted by Captain's Food&Spirit located at 300 West Apache Trail to serve alcohol in the non-contiguous licensed outdoor dining area,as allowed under the Governor's Executive Order 20-60, until June 14,2021 until sunset be recommended for approval to the Arizona Department of Liquor Licenses and control. Yes: 7- Mayor Wilson, Vice Mayor Rizzi, Councilmember Evans, Councilmember Schroeder, Councilmember Biggs, Councilmember Nesser and Councilmember Gremmel No: 0 City Clerk Jennifer Pena explained an application for a temporary extension of premises has been submitted by Captain's Food &Sprits in order to accommodate additional seating in the parking lot in front of their building due to COVID-19. The building division, planning division and fire district recommend approval. The police department has concerns regarding the condition of the parking lot, the materials being used to create the extension and the lighting in the area. If these concerns are addressed then the police department will recommend approval. Councilmember Evans asked if the sketch submitted with the application complies with the distance allowed by the governor's order. Mary LeDoux of Captain's Food &Spirits replied that yes it is. Councilmember Evans asked if Ms. LeDoux has talked to the owner of the plaza and if he has any concerns with this extension. Ms. LeDoux replied no he does not have any concerns. Councilmember Biggs asked if there are major concerns in the parking lot where she is proposing the extension. Ms. LeDoux replied that the proposed area is not in too bad of condition. City of Apache Junction,Arizona Page 4 City Council Meeting Meeting Minutes February 2,2021 Councilmember Nesser asked if she would be willing to look into concrete barriers. Ms. LeDoux said she can look into it. Councilmember Nesser asked if she has looked into additional lighting. Ms. LeDoux replied that she is willing to only use the extension during the day. Mayor Wilson opened the public hearing. Jeff Barlett feels that we need to be supporting the businesses during this time. The individual liberties need to be supported. Mayor Wilson closed the public hearing. 12. 21-037 Presentation, discussion, public hearing and consideration of proposed Ordinance No. 1500 (case PZ-10-20), a request by Bela Flor Communities, LLC (owner), represented by Reese Anderson and Jon Gillespie of Pew and Lake, PLC (applicant), to rezone approximately 7 acres located near the southeast corner of Ironwood Drive and Superstition Boulevard, from B-1 (General Commercial)and RS-20M (Medium Density Single-Family Detached Residential)to RM-2/PD (High Density Multiple-Family Residential by Planned Development). (This case is being processed concurrently with case SD-2-20). Councilmember Evans moved,seconded by Vice Mayor Rizzi that Ordinance No. 1500 be read by title only and the reading of the entire ordinance be waived. City Clerk Jennifer Pena read Ordinance No. 1500 by title only. Councilmember Evans moved,seconded by Councilmember Biggs that Ordinance No. 1500,as read by the city clerk be approved and adopted. Yes: 4- Mayor Wilson, Councilmember Evans, Councilmember Biggs and Councilmember Nesser No: 3- Vice Mayor Rizzi, Councilmember Schroeder and Councilmember Gremmel Mayor Wilson explained that items 12 and 13 are regarding the same property and will be combined for presentation and public hearing purposes but will have separate motions. Development Services Planner Kelsey Schattnik explained that this is a proposed rezoning requested by Bela Flor Communities LLC to rezone the 7-acre property from B-1 and RS-20M to RM-2/PD for the purpose of developing the property for a new 96-lot townhouse residential neighborhood with private streets and community amenities. The planning and zoning commission voted unanimously to approve the rezoning request. Councilmember Gremmel asked what at risk grading is. Ms. Schattnik responded that it allows the applicant to get a grading permit before the final plat is submitted and approved. Councilmember Nesser asked if there will be a cap on rentals within the community. Councilmember Evans responded that it is illegal to cap rentals. Councilmember Nesser asked if there are sidewalks in the community. Ms. Schattnik responded there are sidewalks in front of the townhouses. Councilmember Nesser asked how big the pool is. Reese Anderson of Pew and Lake shared that the pool will be 30,000 gallons and that there will be a jacuzzi. Councilmember Nesser asked about parking on the streets. Mr.Anderson replied that parking on the streets will not be permitted and will be in the Homeowner Association's CC&Rs. City of Apache Junction,Arizona Page 5 City Council Meeting Meeting Minutes February 2.2V21 Cuumci|member Gnemme| asked if there would be a deceleration lane. K4c Anderson replied that the engineers are saying it is not necessary. [Wa. Gnemme| is worried about not having one for future growth. She asked about the water run off. Mr. Anderson shared that there is off site storm water and iiiaunderground. Cnunoi|member Evans expressed her concern about the length of the garages. Mr. Anderson replied that the parking spots are normal size so he assumes they would fit a regular sized truck. Counoi|member Evans thinks the project will add nicely tu the area. Mr. Andersen stated that these town homes will not have backyards. Counoi|member Biggs asked if there in any barrier in front of the homes off ofSuperstition. Mr. Andersen replied no there are not any barriers in front of the homes on Superstition and Gold. Councilmember Biggs expressed that he agrees with Councilmember Evans in not allowing parking along Gold. Mr. Andersen stated that the height of the town homes are estimated tobe2Q' Mayor Wilson asked if improvements will be made along Gold. Mr.Andersen replied absolutely yea. Mayor Wilson opened the public hearing for items 12 and 13. Donna Carr asked what the length of the driveway in front of the garage is. She asked if the city has proper sewer and water drainage in the neighborhood. Terry Kridler stated she lives on Gold and she has a lot of concerns. She says the primary entrance was supposed to be on Ironwood and now they say it will be on Gold. She wants to know why this project was fast tracked and why it only meets 1/3 of city code. She says there were over 50 accidents in that area. She is opposed to this as it is getting rid of commercial property. George Schroeder stated he is worried about his neighborhood. He wants to know if the dirt will need to be raised. He doesn't think this fits the demographics. He in not opposed to development but does not like HOAo. Ha says our council can't say no. Ms. Henesy stated that she lives south of the project where her family owns a mobile home park on 3 acres. She sat down with Mr. Hassell and went through the plans and he has done everything he said ho was going ho do. She thinks these homes are needed. John |noa|aoo stated that itiogood to see this land cleaned up and developed but this ioatight neighborhood. He thinks the traffic needs bn be looked at and a deceleration lane in needed. Mayor Wilson closed the public hearing. Vice Mayor Rizzi shared that she is concerned with the traffic and taking up commercial land. She io not in support nfthis. Councilmember Schroeder is having a problem seeing the balance between residential and commercial growth. He does not think this in a great place for this development. City vr Apache Junction,Arizona Page City Council Meeting Meeting Minutes February 2,2021 Councilmember Evans shared that without the rooftops there will be no commercial. Development Services Director Larry Kirch explained that a family owned this land for 40 years prior to Mr. Hassell purchasing it and there has only ever been residential interest in the property. This project was not fast tracked and it is not a age restricted community. The project will require a minor general plan amendment. City Engineer Emile Schmidt explained that the size of the development usually determines if a deceleration lane is needed. He provided examples of neighborhoods within the city that do and do not have deceleration lanes. His recommendation is that a deceleration lane is not needed here. 13. 21-042 Presentation, discussion, public hearing and consideration of proposed Resolution No. 21-02 (case SD-2-20), a request by Bela Flor Communities, LLC (owner), represented by Reese Anderson and Jon Gillespie of Pew and Lake, PLC (applicant), for a 96-lot residential subdivision tentatively to be named Ironwood Station, located near the southeast corner of Ironwood Drive and Superstition Boulevard. (This case is being processed concurrently with case PZ-10-20). Councilmember Evans moved,seconded by Councilmember Biggs that Resolution No.21-02,case SD-2-20,a resolution of the Mayor and City Council of the City of Apache Junction,Arizona,for a 96-lot residential subdivision located near the southeast corner of Ironwood Drive and Superstition Boulevard be approved. Yes: 4- Mayor Wilson, Councilmember Evans, Councilmember Biggs and Councilmember Nesser No: 3- Vice Mayor Rizzi, Councilmember Schroeder and Councilmember Gremmel This item was combined with item#12 for discussion and public hearing. 14. 21-043 Presentation, discussion, public hearing and consideration of proposed Ordinance No. 1501, case PZ-1-20, a request by Apache Junction 772, LLC, represented by Greg Loper, for the rezoning of approximately 7.93 acres from B-4 (Business Park)to RM-1/PD (High Density Multiple-Family Detached Residential by Planned Development) and a Minor General Plan Amendment from Light Industrial/Business Park to High Density Residential, for a 107 lot residential subdivision for the properties located on the south side of Old West Highway, east of Royal Palm Road and west of Tomahawk Road. Councilmember Evans moved,seconded by Vice Mayor Rizzi that Ordinance No. 1501 be read by title only and the reading of the entire ordinance be waived. City Clerk Jennifer Pena read Ordinance No. 1501 by title only. Councilmember Biggs moved that Ordinance No. 1501,as read by the city clerk be denied. Motion failed due to a lack of a second motion. Councilmember Evans moved,seconded by Councilmember Nesser that Ordinance No. 1501,as read by the city clerk be approved. Yes: 6- Mayor Wilson, Vice Mayor Rizzi, Councilmember Evans, Councilmember Schroeder, Councilmember Nesser and Councilmember Gremmel City of Apache Junction,Arizona Page 7 City Council Meeting Meeting Minutes February 2,2021 No: 1 - Councilmember Biggs Development Services Planning Intern Nicholas Leftwhich explained that this proposed rezoning is requested by Apache Junction 772, LLC and pertains to two vacant properties totaling 7.93 acres located on the south side of Old West Highway, between Royal Palm Rd. and Tomahawk Rd. It is proposed to rezone the property from B-4 to RM-1/PD for the purpose of developing a 107-lot townhouse residential subdivision. The planning and zoning commission voted 4 to 3 for denial of the rezoning. The planning staff recommends approval of the rezoning with strict conditions as described in Ordinance No. 1501 to ensure a high level of quality and final product. Councilmember Evans asked what the maximum height for this zone is. Mr. Leftwhich replied 35'. Vice Mayor Rizzi asked what can currently be built in this zone. Mr Leftwhich replied industrial uses such as manufacturing and warehouses. Applicant Greg Loper presented information on the proposed development. The maximum structure height is 30'. There is a utility easement along the property and they have no plans of using it. This is not an age restricted community. In 16 years, the owners of this property have not received any interest. They are proposing a deceleration lane. Councilmember Evans asked if this is a real development or just a project to flip. Mr. Loper replied that they wanted to make sure the rezoning goes through before spending money on a preliminary plat and yes they are the developer. Councilmember Schroeder expressed his concern on approving a rezoning for a property with no preliminary plat. Mr. Loper stated that they could submit a preliminary plat within 6, 9 or 12 months if the rezoning is approved. Mayor Wilson opened the public hearing. William Munsey stated that these townhomes will block the mountain view for the neighborhood behind it. He is not in favor of this project. Craig Jones stated that he lives in the corner house behind the project and does not want someone living in a 3 story town home behind him looking down into his property. They have asked for things to be done by the applicant and nothing has been done as promised so it puts a bad taste in his mouth. The privacy of his family is extremely important. Donna Carr stated that it's not fair to take the views away from those who already live there. This takes away from their privacy. She wants to know what will happen to the wash over there. Lisa Beavhart stated that privacy is very important and 3 story town homes in her backyard does not sit well with her in regards to the privacy of her 3 little girls. George Schroeder stated that these people fell into this project. He does not want 3 story buildings. He wants council to say no. Tracy Profit says she will miss the views if this passes but she would like to focus on supporting the businesses. She thinks there should be more rooftops but not high density. City of Apache Junction,Arizona Page 8 City Council Meeting Meeting Minutes February 2,2021 Mayor Wilson closed the public hearing. Councilmember Gremmel shared that she is very conflicted and this is a difficult choice. Councilmember Nesser stated that the maximum height permitted in this zone is 30'whether it is 1 story, 2 stories or 3 stories. Vice Mayor Rizzi stated that the height is what it is no matter if it is residential or commercial or industrial. It worries her to have industrial so close to residential. Councilmember Schroeder shared he is not against rezoning the property but it would be a hard sell for him to approve a 30'structure. He recommends rezoning it to commercial if rezoning it to residential does not pass. Councilmember Evans explained that home affordability is an issue right now. High density is needed and she prefers to have town homes rather then apartments. She would like to see a time frame commitment on a preliminary plat. She does not want to see industrial next to residential. Councilmember Biggs stated that this goes against our general plan. He thinks it is a terrible place for this project. Mayor Wilson asked for clarification on the easement next to the property. City Attorney Joel Stern responded that it depends on the type of easement. 15. 21-040 Presentation, discussion, public hearing and consideration of proposed Ordinance No. 1499, case PZ-7-19, a city-initiated rezoning of a 2.37-acres property located at 978 E. Roosevelt Street, from General Rural Low Density Single-family Detached Residential ("RS-GR")to Medium Density Single-family Detached Residential by Planned Development("RS-20/PD")for the purpose of creating land split and development opportunities. Councilmember Evans moved,seconded by Councilmember Biggs that Ordinance No. 1499 be read by title only and the reading of the entire ordinance be waived. City Clerk Jennifer Pena read Ordinance No. 1499 by title only. Vice Mayor Rizzi moved,seconded by Councilmember Biggs that Ordinance No. 1499,as read by the city clerk,be denied and that the property be sold as is. Yes: 5- Mayor Wilson, Vice Mayor Rizzi, Councilmember Schroeder, Councilmember Biggs and Councilmember Nesser No: 2- Councilmember Evans and Councilmember Gremmel Planning Intern Kendra Ellner shared the background on this case as presented at the January 19th council meeting. Ms. Ellner explained that this 2.37 acre property is being considered for rezoning in order to create a land split. The planning and zoning commission voted to approve the rezoning request from RS-GR to RS-GR/PD, with conditions as listed in the ordinance. The council discussed their thoughts on how to split the property. Development Services Director Larry Kirch shared that it would cost about$35,000.00 to bring City of Apache Junction,Arizona Page 9 City Council Meeting Meeting Minutes February 2,2021 water from Apache Junction Water District in to the property. Mayor Wilson opened the public hearing. Donna Carr wonders if the council actually listens to what the residence of the city have to say. James Boerigter lives in the property next door. He showed pictures of what the property used to look like. He does not think horses should be living on that property. He says he has tried to work with them. Mayor Wilson closed the public hearing. I. OLD BUSINESS J. NEW BUSINESS 16. 21-029 Administrative approval process relating to certain liquor license applications. Councilmember Evans moved,seconded by Vice Mayor Wilson that administrative authority be given to the city clerk,city manager or their designee to approve applications for special events, fair and festival licenses and temporary extension of premises applications on behalf of the city. Yes: 7- Mayor Wilson, Vice Mayor Rizzi, Councilmember Evans, Councilmember Schroeder, Councilmember Biggs, Councilmember Nesser and Councilmember Gremmel No: 0 City Clerk Jennifer Pena explained that in an effort to assist local businesses during the pandemic that city staff is proposing an administrative approval process that would allow the city manager, city clerk or their designee the ability to approve a temporary extension of premises without council input. This will reduce the application time that businesses currently have to wait in order for their application to be heard at an upcoming council meeting. Councilmember Evans asked for clarification on the motion. K. COUNCIL DIRECTION TO STAFF L. SELECTION OF MEETING DATES, TIMES, LOCATIONS, AND PURPOSES 17. 21-034 The next regularly scheduled Council Meeting is Tuesday, February 16th, 2021. M. CALL TO PUBLIC Nola Perkins, 145 S. Palo Verde in Apache Junction,was hoping the marijuana dispensaries would have to apply for a new permit. They are ruining her neighborhood. The traffic is unreasonable. George Schroeder, 2444 W. Virginia Street in Apache Junction, says he is living an experiment and knows what council does not know. His neighborhood is inundated because the city chooses not to look into his neighborhood. Donna Carr, 2178 W.Virginia Street in Apache Junction, thinks we need to help the people out City of Apache Junction,Arizona Page 10 City Council Meeting Meeting Minutes February 2,2021 here. Low income housing is needed in Apache Junction. Wal-Mart does not donate to the local food bank. Apache Junction needs to grow in order to get better restaurants. N. ADJOURNMENT Mayor Wilson adjourned the council meeting. ACCEPTED THIS DAY OF 2021, BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA. SIGNED AND ATTESTED TO THIS DAY OF 12021. CHIP WILSON Mayor ATTEST: JENNIFER PENA City Clerk CITY COUNCIL MINUTES CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the regular meeting of the City Council of the City of Apache Junction, Arizona, held on the day of , 2021. 1 further certify that the meeting was duly called and held and that a quorum was present. Dated this day of 2021. JENNIFER PENA City Clerk City of Apache Junction,Arizona Page 11 City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No. 3. File ID: 20-646 Sponsor: Fox Young Agenda Date:2/16/2021 Index: In Control: City Council Meeting Recognition by the mayor and city council of individuals and/or organizations who have made donations to support city activities, programs and projects through the Friends of Apache Junction. Recipients may wish to make comments on their donation. Pursuant to guidelines adopted by the city council during its November 1, 2016 meeting, on a quarterly basis the mayor and city council will recognize those individuals and/or organization who/that have made a donation to support a city activity. Eligibility for such recognition is based on recommendations provided to the council by a citizens' ad hoc committee. Friends of Apache Junction will be represented by Diana Kesler-LaClair. City of Apache Junction,Arizona Page 1 Printed on 211012021 {3 fir "�t`ttt rzt })i r{ if)t�}}}i�Stt�htrt:f'r}rf��jfis.'l�r$�t((fir r�ffflttri�f��tr���t�trSirr�rr��4 �rr�SrSr{rjr �rYr,�ilti (lyy�i�r��3}��J�f;{�3�����t��,,£z� �Ji��s}�}�� ;ri����rix,� ;7rt'r,�����������.���}yt4N�,t�#���«�fi}rf�f;%? i.ri44tt���� r�z��i����r��� #�{l�i���r�i���r �r��,l ����� ��� �,{c� � r�3�ttll��ft3 3`���iFftlfi��j? ��i5f { �ti���4 �7�����i �k�s��������� ������ r , r�r �rr� rr �f�� �tr1�j� ���# tr trrr��r�tr �i r�� t�u1tS���(fu��i���rt�`}S��}t{�r�iII��I��i�i {�f$rf t r z,r4rs 2��{��r����r f�R�SI�{J2��£�f�t<a���p ����f })ifErai}}1}il�rit���y�#fit#I i ��#S;�SS��t;�}�r�l}rttlfSs�4;i�iP�� ��!������������,r���t��si��i��rs���ll�����llll��i��z��, �� � � t f�. ���� ������ r nlf3t��jslt}}��lt�r�E��}Jr r(���1 ���~~ � �t�j��i'�l�a�'��� ��t�i��� ���?l��yi��kf $f (tt�rti �i����„����E���������s�r�rz�rt��� w � � . � \ � > a . \ } �p\ y � �$\ \ � � � » \!j© ° < \ � � � � � \ ° � . \ « � . . �l/ . � � \ 2< \ 2 \` » . � . . . � 2 . . © \ <� � : « \ : y » . � « . � � � _� . (�. y � © . « . t'� �$� � �f � fr*rs �" � � „ � s� t�F �y� � . ���\ d\��® y \�2����\»\ « . . ������� ���������� . , y �a�, . ���g . .��� : y� »f\ <� �:�/ \ �\ 2 �: :��� ���������\� � � \ � � � § \ � �$ � \ \ . � � � � /\ / � � . \ . . 1ii�il�Y,��4Y1 i �� ��t.,n;y 4� w �' �° ,� � .: ƒ . . �<��� �\1 » �» »■ . : :■� � �« u } i r } r is{t F tk x t t31��r fti7 i„ o �a t7 ergs �rrai r a S Sti� ' } t 3 tj tyc t rltsti��t � t r, 4 to )�� trt�r �.. 44r i r��, �t,�tt• tt it � ,t � t '��j{ i f tt if ,rz�357i fttf'1 t }El�titJ�N����� V d y $' 9�9 W t F�W �,VPS der��t�71 1 i��� s a B1 m#.�, �� �� � �. k p', 44 b � �^ �g����,� t� t �li'f 4,A ��a �,� d� g r City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No.4. File ID: 21-051 Sponsor: Chip Wilson Agenda Date:2/16/2021 Index: In Control: City Council Meeting Announcement of current events from mayor and councilmembers. City of Apache Junction,Arizona Page 1 Printed on 211012021 City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No. 5. File ID: 21-052 Sponsor: Bryant Powell Agenda Date:2/16/2021 Index: In Control: City Council Meeting City Manager's Report. City of Apache Junction,Arizona Page 1 Printed on 211012021 City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No.6. File ID: 20-677 Sponsor: Bryant Powell Agenda Date:2/16/2021 Index: In Control: City Council Meeting Discussion and presentation by Stephen Herring of Republic Services on free dump week and update on Landfill activity. City of Apache Junction,Arizona Page 1 Printed on 211012021 City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No.7. File ID: 21-036 Sponsor: Fox Young Agenda Date:2/16/2021 Index: In Control: City Council Meeting Discussion and update on corporate sponsorships, Friends of Apache Junction and the programs and resources of the Community Development Corporation (CDC). City of Apache Junction,Arizona Page 1 Printed on 211012021 \ / \/w �y : �: . r ,M 33: i r ¢ 5 i r t p". Corporate Partnerships 3 ;q Dec . Corporate Partnerships 1 Republic Gold partner for t21{l is �5}t i ci`i�kf '}?{it{ffs�zzssjr�5���ti�t��{�i�����{��z{�`,����7tt��a���{r��l ���f����£����I������'���tt���������'i�'�;��t�����#����f}���Jff����,��������}fit. 7 ii+!{���� �!{�t2{��1�h��7 �t it ��,� t� �� t�l�l�� 7rtt�'���� ,t�sf��� ���I��I zrs t 'r?sF�I�t IIiI�Il(I��I1�5�(��)( ��������������������I„ <tsr�i#t���. �iFs�f yy�rti ��,���,7, s�� �����s I�7 t�{�t ���I��t3(( irr s�{�4�tr��s���45 S ! ttt #� ttr¢� ����;� ��t�4��+����tz�#1�i�� r}i u}1�i��tj�zt}���1�{f°�f}ff� {.;zr, €t �I� t S ft ��z�.{4 t s �, t�#skr��t{ij�����f;S����s�5}}3{�4���;��1�;r„ {�,���������������i��4t�t��������€€I},,r�z��t�it�t�h u P2��� �����t€#i��r���ii,�'3�{�fif �31+f �}'cat�#r�472,ij������111{ ti}I ir��3F`Z�rfi{4�t��ittlj3���3`��1'�� �����t`,������ffs{�{+r��{f�,s �trti{�;t?4t������r�;f�i��Il�fti�'?'E�#kin{�1�'��4�'i����i7I������,�}}�i�' 'u,�t"s,`'t,. 11„ � a�k� Friends of Apache Junction M ission The Friends of Apache Junction exists to enhance the programs , facilities and services of the community. Friends of Apache • M 0 2 . Give back 98 YcO Of all donations to 1 0 All volunteer board Friends of Apache Junction Friends of Apache Junction https . //friendsofapachejunction . org building community pride one brick at a time AJ Community Development Corp . Mission Working together to maintain and create safe affordable housing, support economic opportunities, instill a sense of community pride and commitment, and enhance the physical image of Apache Junction . AJCDC Projects 1 . Focal Point 2 . Make a Difference Day 3 . 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I „ � �� Y z � ` s tiE� � t�, � �. 3 is rz,, . � ,� �-, .,,1, � ,� ,�a ti .. � �. � th sf � � �'`�'�'��� �l�f r .��{� �� # e r � ��� .. Po � a"'�' s t t � �' a `?� ,� �`s, �b&��� ���t��t��'���J��} r ,�. . { ,} � � a Ot��t�y J x .«.i'r",' ..r�)1Jr �a., � �Sr}�i}$fi St,�'�}�1�1�££ 2£t YFl3. 7F.r; •,,r, � 9 4A�';% ` F. J:v�is g{;£ ?�°r%t3# r s r ? y d{� a a J t t '�„"„, {Z r u } t x f d h � ➢f �r:9�'+� r 1 ti� partners and City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No.8. File ID: 21-060 Sponsor: Liz Langenbach Agenda Date:2/16/2021 Index: In Control: City Council Meeting Discussion and possible action on Resolution No. 21-04 authorizing an Inter-governmental Agreement with Pinal County for an Off-Leash Dog Park at the County Complex located at 575 North Idaho Road. City of Apache Junction,Arizona Page 1 Printed on 211012021 INTERGOVERNMENTAL AGREEMENT BETWEEN CITY OF APACHE JUNCTION AND PINAL COUNTY FOR CONSTRUCTION AND MAINTENANCE OF AN OFF-LEASH DOG PARK THIS AGREEMENT is made and entered into this day of , 2021, by and between the CITY OF APACHE JUNCTION, ARIZONA, an Arizona municipal corporation (hereinafter referred to as "Apache Junction") and PINAL COUNTY, ARIZONA, a political subdivision of the State of Arizona, ("County"), both of which are referred to collectively as the "Parties" or individually as a "Party". RECITALS A. City desires to develop an off-leash dog park (the "Park") within its downtown area and has identified the Roy Hudson County Complex at the southeast corner of Superstition Boulevard and Idaho Road (575 North Idaho Road) as the most appropriate, cost-effective, central location for the Park (also referred to contextually as the "Site" as depicted in Exhibit A). B. County also desires to make available the Site for Park for use by both City and County residents. C. This Intergovernmental Agreement ("IGA") will promote efficiency in the use of public facilities and funds. D. Pursuant to Arizona Revised Statutes Annotated ("A.R.S.") §§ 11-251 and 11- 933, County has the authority to manage and control real property, transfer interests in real property, and enter into cooperative agreements for the development and maintenance of public parks. E. Pursuant to A.R.S. §§ 9-240 and 9-276, City has the authority to erect buildings and improve parks, public grounds and off-street parking sites. F. Pursuant to A.R.S. § 11-951 et seq., the Parties are authorized to enter into IGAs for the purposes of taking joint or cooperative action. AGREEMENT NOW, THEREFORE, in consideration of the mutual promises contained herein and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties to this Agreement agree as follows: 1. City's Obligations A. Design and construct Park at the Site. B. Reconstruct current Site detention basin to provide for more efficient regional stormwater drainage. C. Provide funding for design, construction, utilities, operation and management of Park, excluding monthly electrical cost for irrigation system and drinking fountain operation. D. Install fencing around the perimeter of Park and provide routine security monitoring. E. Work with County to develop a schedule and signage for Park hours which will accommodate regular maintenance of Park as well as accessible parking for Park patrons and customers who are conducting county business on the Site. F. Enable County to utilize Park for dog-related activities and services without cost. 2. County's Obligations A. Provide City access to make Site and Park improvements. B. Pay monthly electrical costs for irrigation system and drinking fountain operation in Park. C. Allow City unlimited access to Park for security and maintenance operations by appropriate city staff. D. To obtain City's consent for the County's use of the Park. 3. Indemnification and Insurance. To the extent permitted by law, the Parties covenant and agree to fully indemnify, defend and hold harmless each other, their elected and appointed officers, boards, directors, employees, their special districts, as well as agents from and against any and all suits, actions, legal or administrative proceedings, claims, demands or damages of any kind or nature relating to this Agreement, including but not limited to attorney and expert witness fees, which, are the result of any act or omission of each Party, their officers, boards, directors, employees, their special districts, agents, and anyone acting under their direction or control, whether reckless, intentional or negligent, in connection with or incident to this Agreement. If any action or claim shall be brought or asserted against the Parties or their elected and appointed officers, boards, directors or employees, their special districts, agents for which indemnity may be sought from the Parties, the Parties shall promptly notify one another in writing. The noticed Party shall, within ten (10) working days of receiving such notice, assume the defense thereof, and the payment of all expenses, including any attorney fees and all court costs which shall be paid as 2 incurred. It is understood and agreed that the Parties may elect to self-insure or obtain insurance through their pooling agreement with other governmental entities against any or all of the risks related to this Agreement. This section shall survive the expiration or early termination of this Agreement 4. Duration of Agreement/Termination. This Agreement shall be valid upon execution and shall continue for a term of twenty five (25) years, but shall automatically renew for each year thereafter unless either Party terminates this Agreement for any reason upon sixty (60) calendar days' written notice to the other Party by overnight delivery service or first class certified mail, postage prepaid, addressed to the other Party as set forth in Section 9 of this Agreement. 5. Binding Effect. The obligations and rights created in this Agreement are binding upon and shall inure to the benefit of the Parties and their successors, assigns and legal representatives. Neither Party may assigns its rights under this Agreement without the prior written approval of the other Party. Such successor or assignee shall assume, in writing, all duties and obligations hereunder of the prior Party and shall further agree to be bound by and to fully perform the terms of this Agreement. 6. Entire Agreement. This Agreement and any attachments represent the entire agreement between City and County and supersede all prior negotiations, representations or agreements, either express or implied, written or oral. It is mutually understood and agreed that no alteration or variation of the terms and conditions of this Agreement shall be valid unless made in writing and signed by the Parties hereto. Written and signed amendments shall automatically become part of this Agreement and shall supersede any inconsistent provision therein; provided, however, that any apparent inconsistency shall be resolved, if possible, by construing the provisions as mutually complementary and supplementary. 7. Severability. City and County each believe that the execution, delivery and performance of this Agreement are in compliance with all applicable laws. However, in the unlikely event that any provision of this Agreement is declared void or unenforceable (or is construed as requiring City to do any act in violation of any applicable laws, including any constitutional provision, law, regulation, or city code), such provision shall be deemed severed from this Agreement and this Agreement shall otherwise remain in full force and effect; provided that this Agreement shall retroactively be deemed reformed to the extent reasonably possible in such a manner so that the reformed agreement (and any related agreements effective as of the same date) provide essentially the same rights and benefits (economic and otherwise) to the Parties as if such severance and reformation were not required. Unless prohibited by applicable laws, the Parties further shall perform all acts and execute, acknowledge and/or deliver all amendments, instruments and consents necessary to accomplish and to give effect to the purposes of this Agreement, as reformed. 3 8. Governing Law, Venue and Attorney Fees. The terms and conditions of this Agreement shall be governed by and interpreted in accordance with the laws of the State of Arizona. Any action at law or in equity brought by either Party for the purpose of enforcing a right or rights provided for in this Agreement, shall be tried in a court of competent jurisdiction in the State of Arizona. In the event either Party shall bring suit to enforce any term of this Agreement or to recover any damages for and on account of the breach of any term or condition in this Agreement, it is mutually agreed that the prevailing party in such action shall recover all costs including: all litigation and appeal expenses, collection expenses, reasonable attorney fees, necessary witness fees and court costs to be determined by the court in such action 9. Notices. All notices and insurance certificates required under this Agreement shall be sent as follows: If to City: City Manager 300 E. Superstition Blvd. Apache Junction, AZ 85119 480-474-5066 With a copy to: City Attorney 300 E. Superstition Blvd. Apache Junction, AZ 85119 480-474-5105 If to County: County Manager PO Box 827 Florence, AZ 85232 520-866-6212 With a copy to: County Attorney PO Box 887 Florence, AZ 85232 520-866-6271 10. Conflicts of Interest This Agreement is subject to, and may be terminated by City in accordance with, the provisions of A.R.S. § 38-511. IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be duly executed as of the day and year first above written. PINAL COUNTY, ARIZONA, a political subdivision of the State of Arizona Stephen Q. Miller Chairman of the Board of Supervisors 4 ATTEST: Natasha Kennedy Pinal County Clerk THE CITY OF APACHE JUNCTION, ARIZONA, an Arizona municipal corporation Chip Wilson Mayor ATTEST: Jennifer Pena City Clerk 5 COUNSEL APPROVAL AS TO FORM: 1 have read this Agreement and have determined such Agreement is in proper form and is entered into within the powers of and authority granted under the laws of the State of Arizona. Kent Volkmer, Pinal County Attorney Date 1 have read this Agreement and have determined such Agreement is in proper form and is entered into within the powers of and authority granted under the laws of the State of Arizona. Richard J. Stern, Apache Junction City Attorney Date 6 EXHIBIT v i` Z r � C 0 z 0 ( n O G) 0 D R C Z " € v d � 1 { t� O Zm,s P1 m ff 00 pp n D m o -ml o ` � .u.. ",UPER..,'(:7ON B9.:V , e S14tlS__. PROJECT TITLE: IR CITY/COUNTY DETENTION BASIN SHEET TITLE: PROPOSED IGA BOUNDARY IDAHO RD. & SUPERSTITION BLVD. 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The parks department currently maintains the landscaping and the basin most affectionately called "Lake Grandy" on occasion. In June of 2019, the city council gave direction to the parks and recreation staff to proceed on the design phase of a future dog park and work with county staff on the park at the above- noted location. The parks and recreation commission has been involved in reviewing the dog park design over the last year and the public arts commission is considering placement of art at this new park. Pinal County staff has been consulted at all milestones throughout the site selection and design process and is agreeable to the terms of the attached IGA. Staff respectfully requests the council to authorize through Resolution No. 21-04 the city to enter into the attached IGA with Pinal County that sets forth the terms and obligations relating to the proposed dog park. 300 E.Superstition Blvd.*APACHE JUNCTION,AZ 85119*www.a'ci .net *PHONE(480)983-2181•FAX(480)982-2438•TDD(480) 983-0095 RESOLUTION NO. 21-04 A RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, AUTHORIZING THE CITY OF APACHE JUNCTION, ARIZONA TO ENTER INTO AN INTERGOVERNMENTAL AGREEMENT WITH PINAL COUNTY FOR THE DESIGN, CONSTRUCTION AND OPERATION OF AN OFF-LEASH DOG PARK AT THE COUNTY COMPLEX LOCATED AT 575 NORTH IDAHO ROAD, APACHE JUNCTION, ARIZONA. WHEREAS, Pinal County ("County") owns property at 575 North Idaho Road which is currently subject to a 1994 intergovernmental agreement ("IGA") with the City of Apache Junction ("City") that relates to the construction and maintenance of roadway improvements and a storm water detention basin and associated landscaping; and WHEREAS, in June of 2019, the city council gave direction to parks and recreation staff to proceed on the design phase of a future dog park and work with Pinal County staff to develop an IGA to construct and operate a dog park at the above-noted location; and WHEREAS, the parks and recreation commission has been involved in reviewing the dog park design over the last year and the public art commission is considering placement of art at this new park; and WHEREAS, the Park will be available to both City and County residents for dog-related activities at no cost to the residents within specified hours; and WHEREAS, City will provide funding for the design, construction, utilities, operation, management, routine security and installation of fencing around the perimeter of the Park; and WHEREAS, pursuant to A.R. S . §§ 11-952 (A) public agencies may enter into IGAs with each other for joint or cooperative activities; and WHEREAS, the parties have crafted the attached IGA which formalizes the arrangement. RESOLUTION NO. 21-04 PAGE 1 OF 2 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION ARIZONA, AS FOLLOWS : 1) The mayor and city council hereby approve the attached form of the IGA between City and County and the mayor is hereby authorized to sign the agreement. 2) The city manager may delegate staff to take any and all actions necessary to effectuate the purpose of this resolution. PASSED AND ADOPTED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, THIS DAY OF , 20 SIGNED AND ATTESTED TO THIS DAY OF , 20 CHIP WILSON Mayor ATTEST: JENNIFER PENA City Clerk APPROVED AS TO FORM: RICHARD J. STERN City Attorney RESOLUTION NO. 21-04 PAGE 2 OF 2 ATTACHMENT A City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No.9. File ID: 21-065 Sponsor:Joel Stern Agenda Date:2/16/2021 Index: In Control: City Council Meeting Presentation, discussion and consideration of Resolution No. 21-05 a resolution of the mayor and city council of the City of Apache Junction, Arizona, adopting policy guidelines and application procedures for the establishment of community facilities districts. City of Apache Junction,Arizona Page 1 Printed on 211012021 SHERMAN 6HOWARD L.L.C. 201 East Washington Street;Suite 800,Phoenix,Arizona 85004-2327 Telephone: 602,240.3000 Fax: 602.240.6600 www.shermanhoward,com MEMORANDUM City of Apache Junction Mayor and City Council City Manager F Zach Sakas, Sherman&Howard L.L.C. ATE: February 16, 2021 E: City Council Resolution to Adopt Policy Guidelines and Application Procedures for the Establishment of Community Facilities Districts In light of the recent auction of State Trust Land,the City of Apache Junction(the"City") anticipates the winning bidder to request the formation of one or more community facilities districts ("CFDs", or, individually, a"CFD") after the annexation of the State Trust Land into the City's boundaries. Formation of a CFD is at the sole and absolute discretion of the Mayor and City Council of the City (the "Council"). Once formed, per statute a CFD is a municipal corporation and political subdivision of the state, separate and apart from the City. Although City staff may function from time to time as staff for the CFD, a CFD formed by the City is not a division or department of the City. The Arizona statutes pertaining to the formation of CFDs were amended in 2017,2018 and bills are currently pending that would affect the formation of the CFDs. Council is asked to consider and adopt Policy Guidelines and Application Procedures for the Establishment of Community Facilities Districts (the"CFD Policy"). The CFD Policy serves several purposes. For example; the CFD Policy provides potential applicants information on the City's preferred process for considering the formation of a CFD, including the application fee. This also provides City staff guidance on the CFD formation process to ensure consideration of any CFD application is addressed in a consistent manner by City staff instead of on an ad hoc basis, and that City staff does not unintentionally provide preferential treatment to any CFD applicant. In addition,the CFD Policy provides guidance to potential applicants regarding the type of infrastructure or improvements that may be financed by a CFD, and how such financings would be completed. Furthermore,the CFD Policy provides information regarding the composition of a potential CFD's board of directors that conforms to the recent statutory changes described above. Many Arizona counties and municipalities have adopted policies and guidelines very similar to the CFD Policy presented for Council consideration and adoption. s2sso629A RESOLUTION NO. 21-05 A RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, ADOPTING POLICY GUIDELINES AND APPLICATION PROCEDURES FOR THE ESTABLISHMENT OF COMMUNITY FACILITIES DISTRICTS . WHEREAS, on November 4, 2020, the Arizona State Land Department ("ASLD") held an auction for about 2, 800 acres of land it owns located south of U. S . Highway 60 (the "Property") east of Meridian north of the State Route 24 alignment; and WHEREAS, ASLD awarded the bid to homebuilder/developer DR Horton Inc. in partnership with Brookfield Inc. ; and WHEREAS, the City of Apache Junction ("City") anticipates annexing the Property so it can be zoned and developed under city standards; and WHEREAS, a community facilities district ("CFD") is a special purpose public entity created under Arizona Revised Statutes Title 48 to acquire, construct and pay for public infrastructure within a developable area; and WHEREAS, eligible public infrastructure for CFDs include : highways, streets, roads, public parking, landscaping, lighting systems, sewer and water facilities, drainage, flood control, street lights and street signals; and WHEREAS, a CFD is authorized to pay for eligible public infrastructure by issuing general obligation and/or revenue bonds which will be repaid by ad valorem property taxes levied on property within the CFD; and WHEREAS, a CFD is created by the property owner filing a petition with the city council and then with subsequent approval by the voters who own property within the CFD; and WHEREAS, in order to facilitate the potential formation of CFDs and in consideration of recent amendments to the CFD state law, the mayor and city council has determined to adopt uniform policy guidelines and application procedures for the establishment of CFDs; and RESOLUTION NO. 21-05 PAGE 1 OF 2 WHEREAS, at a city council meeting on November 16, 2020, and on January 19, 2021, the mayor and city council discussed CFD formation guidelines and procedures . NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA AS FOLLOWS : 1) The mayor and city council hereby adopts and approves the Policy Guidelines and Application Procedures for the Establishment of Community Facilities Districts ("CFD Policy") , attached hereto as Exhibit A. 2) The city manager, or his designee, is hereby authorized and directed to implement the CFD Policy, effective immediately. 3) The city manager, or his designee, is hereby authorized from time to time to approve minor administrative, technical or procedural changes and corrections to the CFD Policy. PASSED AND ADOPTED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, THIS DAY OF 2021 . SIGNED AND ATTESTED TO THIS DAY OF 2021 . CHIP WILSON Mayor ATTEST: JENNIFER PENA City Clerk APPROVED AS TO FORM: RICHARD J. STERN City Attorney RESOLUTION NO. 21-05 PAGE 2 OF 2 EXHIBIT A CITY OF APACHE JUNCTION, ARIZONA POLICY GUIDELINES AND APPLICATION PROCEDURES FOR THE ESTABLISHMENT OF COMMUNITY FACILITIES DISTRICTS In order to secure for the City of Apache Junction,Arizona(the"City"),the benefits of the Community Facilities District Act(the "Act") enacted by the Arizona Legislature in 1988 (A.R.S. §§48-701 through 48-728,as amended),and to promote the best interests of the City,the following Policy Guidelines and Application Procedures have been adopted by the Mayor and City Council of the City(the "City Council"). A community facilities district (a "CFD") provides a funding mechanism: (i) to finance construction, acquisition, operation and maintenance of public infrastructure that benefits the real property comprising the CFD and its ultimate users; and (ii) to better enable the City to provide municipal services benefitting the users of the real property within the CFD. Recognizing a CFD is a statutory special taxing district with municipal taxing, borrowing and, as applicable, foreclosure powers within the boundaries of the City, the City Council believes that the formation of any CFD should be conducted carefully in order to protect property owners and taxpayers within the CFD, and to enable the long-term success of the CFD. In order to assist the City Council in making a reasonable judgment as to whether or not to establish a CFD and upon what terms, the City Council has established these Policy Guidelines and Application Procedures(these"Policy Guidelines"). These Policy Guidelines are not intended to affect the operations of either of Superstition Mountains Community Facilities District No. I or Apache Junction Water Utilities Community Facilities District,which are CFDs previously formed by the City. ARTICLE 1 General Policies 1.1 CFDs should be utilized primarily in connection with the financing of major public infrastructure for development of master planned communities, substantial residential development or substantial commercial development. CFDs within the City are intended to be utilized to provide an enhanced level of public infrastructure and amenities. The overall development plan for the real property to be contained within a proposed CFD should (i) include regional public amenities and (ii) be of a unique and high quality nature, including design standards, architectural design, landscaping and building materials. 1.2 All improvements within the boundaries of a CFD, including public infrastructure improvements financed by a CFD, shall be in conformance with the City's General Plan in order to encourage orderly growth and development. A CFD is not intended to fund or subsidize developer-requested enhancements, nor will a CFD or any CFD bonds be backed by City transaction privilege (sales) taxes at large. 1.3 Each CFD is different, and each application for formation shall be evaluated at the sole and absolute discretion of the City Council. The formation of a CFD, and any subsequent 52245803.6 CFD financing, will not be considered solely based upon a request for equivalency or similar treatment between separate development projects or other CFDs within the City, or even between separate financings within a CFD. The City Council will not waive requirements merely because of a failure of the applicant to conduct appropriate due diligence. 1.4 The City will encourage an area to be governed by as few CFDs as possible, and a preference will be given to one master CFD for all property within an entire development project. This policy is adopted to avoid creating communities or projects where only a portion of the development is ultimately within the boundaries of the CFD, to facilitate ease of administration and to create the largest tax/revenue base possible. The decision to form a CFD shall be a decision of the City Council exercised in its sole and absolute discretion. 1.5 Pursuant to A.R.S. §§ 48-702,48-705,48-708 and 48-711,unless otherwise agreed to by the City, the CFD will be governed by a Board of Directors (the "CFD Board") comprised of the members of the City Council, ex officio, with two additional members who are initially designated by the owner who owns the largest amount of privately owned acreage in the proposed CFD and who are appointed by the City Council. If the CFD Board is comprised of the City Council, ex officio, plus two additional members, the applicant/developer must procure insurance acceptable to the City for the two additional members. Furthermore, the City may require the applicant/developer to procure insurance acceptable to the City for the entire CFD Board. In addition, the City may require the premiums for such insurance (whether such insurance is for the entire CFD Board or limited to the two additional members) to be pre-paid by the applicant/developer for a period of five years or as otherwise agreed upon. Additional requirements may apply in connection with the two additional members as described herein and in Arizona law. Unless otherwise agreed to by the City,the day-to-day responsibilities of the CFD will be performed by City staff. Advisory committees may, at the sole option of the CFD Board, be utilized. If the City permits formation of a CFD with a five member appointed CFD Board in accordance with the Act, the City shall seek appropriate ongoing indemnification from the applicant/developer and shall prefer that City staff have no obligation for day-to-day responsibilities of the CFD. The City Council,in its sole and absolute discretion,may provide that the CFD Board is comprised of five appointed members if adequate safeguards and controls are in place, as may be acceptable to the City, to ensure the soundness of any CFD financing program, as well as the adequacy and legality of the legal proceedings and disclosure documents in connection with any financing. 1.6 Unless otherwise agreed to by the City, the CFD must be self-supporting and no City funds will be used for CFD purposes, including the CFD's financing transactions and the operation and maintenance of the CFD. Notwithstanding anything contained herein, none of the property, the full faith and credit or the taxing power of the City (including, without limitation, transaction privilege (sales) taxes, construction sales taxes or development fees) shall be pledged to the payment of any CFD obligation, indebtedness or default. 1.7 The CFD Board will determine, in its sole and absolute discretion, the amount, timing and form of financing to be used by a CFD during its review process of any project feasibility report. 2 52245803.6 1.8 Unless otherwise agreed to by the CFD Board in its sole and absolute discretion, all public infrastructure constructed or acquired by the CFD will utilize public procurement procedures in accordance with applicable laws, rules and regulations (i.e. A.R.S. Title 34, Apache Junction City Code Volume I, Chapter 3; and Aehen-Gardner v. Superior Court, 173 Ariz. 48 (1992)), as such laws, rules and regulations would be applied in the case of the City. From time to time, the CFD Board may elect to adopt policies and procedures regarding procurement, including such policies and procedures that are similar to those of the City. 1.9 The CFD will not use bond proceeds or other CFD funds to purchase from the person requesting CFD financing public rights-of-way or other real property to be used for public infrastructure improvements, if such real property would be required to be dedicated and conveyed to the City by the developer/landowner upon development of the developer's/landowner's property. 1.10 All costs of administration and operation of the CFD and the operation and maintenance of public infrastructure in the CFD shall be the responsibility of the CFD, the developer/landowner, applicable homeowners' associations, or any combination of the foregoing. 1.11 Where applicable, the developer/landowner will provide appropriate indemnification of the City and the CFD, including their respective elected officials, directors, appointed officers, employees and agents, in connection with the CFD. 1.12 Unless otherwise agreed to by the City and the CFD, all bond financings described herein shall be"acquisition"financings whereby the applicant/developer pays for the construction or acquisition of public infrastructure and the CFD subsequently acquires such public infrastructure by paying CFD bond proceeds to the applicant/developer. 1.13 CFD financing typically will not be provided for subdivision and local improvements normally expected or required as part of a development. A CFD is not intended to fund or subsidize developer requested enhancements. Special consideration may be given if the development is in conjunction with a major economic development project that is directly related to City Council's economic development goals or the proposed development provides an enhanced level of infrastructure desired by the City. 1.14 These Policy Guidelines may be modified from time to time. Any applicant will be given the opportunity to propose alternative approaches to those provided herein, with the understanding that concerns of the City must be adequately addressed before the staff of the City will recommend approval of formation of a CFD to the City Council. ARTICLE 2 Content of Completed Application All applications for the formation of a CFD shall be submitted to the City. In accordance with A.R.S. § 48-702, formation of a CFD will not be considered until an applicant submits a completed application (a "Completed Application"). All costs related to the applicant's preparation of the Completed Application, including, without limitation, all reports, descriptions, studies and plans,as described in this Article shall be paid by the applicant and shall not be eligible 3 52245803.6 for reimbursement if the CFD is formed. Each Completed Application shall meet all of the requirements of these Policy Guidelines and shall, at a minimum, contain the following: 2.1 General Matters. a. A description of the proposed CFD, including a legal description of its boundaries, identity and addresses of all persons or entities with any interest in the real property (including any liens and encumbrances on the real property), a condition of title report and the names and addresses of any qualified electors located within the proposed CFD boundaries. A current title report and a certificate from the county elections department shall be submitted as evidence of the names of persons with any interest in the real property and qualified electors, respectively. The description must contain an analysis of the appropriateness of the CFD boundaries. b. A description of the applicant, including the corporate and organizational structure of the entity or individual submitting the application. This description should also include the names of all officers and/or corporate directors directly related to or associated with the proposed development and the proposed CFD. If there is more than one property owner, the application shall designate a representative for the applicants. C. The name, address,telephone number and other relevant information of the primary contact for the applicant. This information should also list the names (and other relevant information) of any legal representatives, engineers, architects, financial consultants and/or other consultants significantly involved in the preparation and submission of the Completed Application. 2.2 A detailed description of all public infrastructure to be constructed, acquired or improved within the boundaries of the CFD, including a detailed description of the types of infrastructure to be financed by the CFD, the estimated construction or acquisition costs of the public infrastructure, the estimated annual operation and maintenance costs of the public infrastructure for the first fifteen (15) years after completion and the governmental approvals that will be required for both the public and private improvements to be constructed and operated. 2.3 A proposed project schedule for commencement and completion of(a) the public infrastructure and (b) the private development. 2.4 A financing plan for the public infrastructure, including capital costs and operation and maintenance costs. 2.5 A financial feasibility study for the entire project(or such phases of the project that are expected to be constructed within five (5) years of submission of the Completed Application) covering both the public infrastructure and the private development. This should include: a. An analysis of how the proposed debt financing,operation and maintenance costs, user charges and other CFD costs will impact the ultimate end users of the property, specifically projected property taxes and property tax rates, special assessments, fees, charges and other costs that would be borne by property in the CFD. The analysis should include the impact 4 52245803.6 on a single family detached residence with the expected average assessed valuation within the proposed boundaries of the CFD. The City may request additional analyses based on commercial, industrial or other types of residential properties subject to the proposed CFD property taxes, special assessments, fees, charges and other costs. The analysis should also address the impact these costs will have on the marketability of the private development and a comparison of proposed tax rates and charges in adjoining and similar areas outside of the proposed CFD. b. A detailed financing plan for the private development in the CFD. C. A market absorption study for the private development in the CFD prepared by an independent consultant acceptable to the City. Such study shall include estimates of the revenue to be generated by the development and an estimate of the ability of the market to absorb the development as well as a market absorption calendar for the private development. 2.6 A description of the proposed equity contribution from the applicant/landowner and a calendar showing the timing and sources of such equity contribution. 2.7 A description of the applicant's professional experience, including with similar types of developments, and evidence demonstrating its financial capacity (including financial statements) to undertake the development associated with the public infrastructure and private development. 2.8 A disclosure form explaining the expected and possible tax, assessment and other financial burdens of the CFD to prospective owners of property within the boundaries of the CFD. Upon each sale of property in the CFD, the developer/landowner shall file with the City a receipt, signed by the purchaser, which acknowledges the purchaser's receipt of the disclosure form. Developers/landowners are required to describe in their promotional material the financial and other relative impacts on the development being included in a CFD. Copies of the disclosure form must be placed on file with the District Clerk. The applicant/developer shall present a plan, including, as applicable,proposed language in the homeowners' association covenants, conditions and restrictions pertaining to the development, whereby all future prospective owners of taxable property within the boundaries of the CFD shall receive disclosure of the CFD and the expected and possible tax, assessment and other financial burdens of the CFD. 2.9 An operating plan for the CFD, i.e., what functions the CFD will provide and how the operation and maintenance of the infrastructure and all other services in the CFD will be provided. The Completed Application will include how the CFD will comply with the website provisions in A.R.S. § 48-727, including how the applicant will provide for payment of costs related to establishing and maintaining the CFD's website or an allocable portion of the City's website for multiple CFDs. 2.10 A description of how the proposed CFD meets the existing development objectives of the City,including the degree to which the CFD is consistent with the goals of the City's General Plan for promoting orderly development, consistent with growth management policies and zoning requirements and the degree to which the land use plan for the CFD is consistent with the City's General Plan Map for the area. 5 52245803.6 2.11 As applicable, a description of: i)regional public amenities; and(ii)the unique and high quality nature of the development, including design standards, architectural design, landscaping and building materials. 2.12 As applicable, the feasibility report information described in Sections 4.4, 4.5 and 4.6 hereof. 2.13 The Completed Application will: a. Provide the names, addresses, telephone numbers, email addresses, backgrounds, qualifications and other relevant information of the two additional board members to be designated by the owner of the largest amount of privately owned acreage in the proposed CFD. b. State the process for the designation of the two additional board members (i) during development upon the resignation of any additional board member and (ii) on completion of development (as described in the Act) of all property within the boundaries of the CFD. Designation procedures for residents or non-applicant property owners (i.e. the ultimate users)within the CFD upon completion of development should be considered by the applicant. C. Provide documentation evidencing such additional board members' obligation to comply with A.R.S. § 38-511,and containing unqualified"hold harmless"guarantees for the City,the CFD and their respective elected officials,directors,appointed officers,employees and agents. 2.14 The Completed Application shall include a petition in favor of creation of the CFD. The petition must include a list of all parcels in the proposed CFD along with the parcel number, owner names, situs address and lot size (parcel square footage or acreage) for each individual parcel. The petition must be signed by the owners of at least 25% of the land area proposed to be included in the CFD. 2.15 A District Development, Financing Participation, Waiver and Intergovernmental Agreement, or similar agreement, between the City and the applicant in substantially final form, including all terms and provisions to be approved by the City if formation of a CFD is approved. The agreement must include matters required by A.R.S. § 48-708(C) through (E) and must have been fully negotiated by the applicant and City staff. 2.16 The applicant is responsible for procuring, and paying the cost of, insurance to cover all actions and activities taken by the CFD Board and officers of the CFD relating to the CFD formation,financing,administrative actions or other related activities of the types,in amounts and with deductibles determined by the City's risk manager or other appropriate officer. The Completed Application will provide an explanation of how such insurance coverage shall be procured and paid for by the applicant and how assurances will be provided that the premiums and deductibles will be paid in the future. Insurance should include a "per occurrence coverage" including a "securities"rider if bonds are anticipated to be sold. If formed, the CFD Board may revise the insurance requirements or accept other forms of insurance. 6 52245803.6 2.17 The Completed Application must indicate how indemnification outlined in the District Development, Financing Participation, Waiver and Intergovernmental Agreement, or similar agreement, will be provided for the City, the CFD and their respective elected officials, directors, appointed officers, employees and agents for, from and against any and all liabilities, claims, costs and expenses, including attorneys' fees and expenses, incurred in any challenge or proceeding relating to the formation, operation and administration of the CFD, the offer and sale of CFD bonds, the levying by the CFD of any tax, assessment or charge and the operation and maintenance of public infrastructure financed or owned by the CFD, by the entity providing indemnification (including financial statements and other supporting information for such entity, appropriate collateral arrangements, and other appropriate provisions and considerations). ARTICLE 3 Application Procedures and Submission Requirements 3.1 Ten (10) paper copies and one (1) electronic copy of the Completed Application for the formation of a CFD shall be submitted to the Development Services Director,Planning and Zoning Division, of the City who will coordinate an inter-departmental analysis of the Completed Application. 3.2 At the time of submission of the Completed Application, the applicant shall pay to the City a non-refundable application fee of$15,000.00 in connection with the submission and consideration of each Completed Application to request formation of a CFD. Any amount of such application fee remaining after formation of the CFD shall be used for administrative costs of the CFD. The City will not require an additional application fee for any resubmission of the Completed Application or a substantially similar Completed Application within one year of the initial submission. 3.3 Prior to submission of a Completed Application, and at the request of the applicant, the City Manager and appropriate officers of the City may arrange a pre-submission meeting with the applicant, City staff, and outside professionals and consultants for the purpose of discussing the possible submission of a Completed Application and conformity with these Policy Guidelines. 3.4 Following the pre-submission meeting, or at any other time prior to submission of the Completed Application, City staff may request additional information. The applicant shall provide any and all additional information requested prior to submitting the Completed Application. 3.5 Following the submission of the Completed Application, City staff may request additional information. The applicant shall promptly provide any and all additional information requested, and if City staff requests such information prior to the City Council's consideration of formation of the CFD,then such additional information must be provided by the applicant prior to the City Council's consideration of formation of the CFD. 3.6 The review, analysis and consideration of a Completed Application will include, without limitation, a comprehensive review of the Completed Application to determine whether the Completed Application is consistent with these Policy Guidelines, identification of missing or incomplete information and identification and discussion of any concerns with the applicant. This 7 52245803.6 will include, without limitation, examining the feasibility of the development, analysis of land ownership interests, analysis of the proposed financing structure, risk analysis and evaluation of community benefits. Under direction of the City Manager, or his or her designee, a report may be prepared including recommendations related to the proposed CFD and an analysis of the impact of the formation of the proposed CFD and its effects on the City. Additional requirements may be placed on any or all of the applicant, developer(s), landowner(s), builder(s) and/or the proposed CFD. This review will include the preliminary approval of the form, terms and provisions of the substantially final form of the District Development, Financing Participation, Waiver and Intergovernmental Agreement, or similar agreement, necessary for formation of the CFD. A Completed Application must be consistent with these Policy Guidelines and must contain all the information required herein and requested by City staff during the application process. 3.7 The City shall comply with all statutory timelines pertaining to review of the Completed Application. Specifically, but without limitation, upon submission of a Completed Application the City Council shall within sixty (60) days hold a public hearing to consider the Completed Application. A resolution declaring the intent to form the CFD may be considered by City Council immediately following the public hearing. If City Council does not adopt the resolution of intention to form the CFD, the City Council will provide a written basis for not adopting the resolution of intention and shall identify the specific changes for the Completed Application to be approved, if applicable. 3.8 If the City Council approves the formation of a CFD and there are existing agreements with developers/landowners for the provision of infrastructure proposed to be furnished by the CFD, then those agreements will be amended, or deemed amended by the parties thereto, to reflect the agreements and conditions pertaining to the CFD and the development agreements executed in conjunction with the formation of the CFD. The amendments will reflect that such infrastructure improvements will be provided (including by acquisition) by either the developer/landowner or the CFD. 3.9 If the City Council approves formation of a CFD,the applicant and City staff shall coordinate a schedule of events for formation of the CFD and shall execute an appropriate agreement(i.e. the District Development, Financing Participation, Waiver and Intergovernmental Agreement, or similar agreement) by and among the City, the CFD and the applicant which shall be entered into concurrently with or promptly after formation of the CFD, which shall incorporate the requirements of any report, recommendations of the City staff relating to such CFD, the requirements of these Policy Guidelines and any other restrictions, provisions and agreements required by the City. The City may charge a fee related to the execution and recording of such agreement of$15,000, or such other amount approved by the City from time to time. 3.10 If a Completed Application includes a petition for formation of the CFD that is signed by 100% of the owners of all the real property in the proposed CFD, as well as meeting all the requirements described herein in form satisfactory to the City, the City may declare the CFD formed without posting, publication, mailing, notice and public hearings or landowner election. Otherwise the alternative provisions of the Act pertaining to formation of the CFD must be followed. 8 52245803.6 ARTICLE 4 CFD Operations and Debt Financing 4.1 Upon approval of formation of a CFD, the developer/landowner shall deposit with the CFD a nonrefundable administrative expense deposit in the amount of $60,000.00. In anticipation of formation of the CFD, or in the instance of formation by petition of all landowners, the applicant may agree with the City to make this nonrefundable deposit prior to approval of formation of the CFD. The administrative expense deposit shall be applied by the CFD to the costs and expenses incurred in connection with the formation, review of any feasibility study, election costs, administration, operation and maintenance of the CFD or its public improvements. This deposit shall be applied to payments for services rendered by City staff, CFD staff and outside consultants who may be retained by the City and/or the CFD, including, without limitation, bond counsel,financial advisors,engineers,appraisers and attorneys. From time to time,upon depletion of the administrative expense deposit, the CFD may request, and the developer/landowner shall promptly deposit with the CFD, additional $25,000 deposits to be applied to the purposes contemplated in this Section 4.1. The CFD and the developer/landowner may agree to a smaller amount of deposits to replenish the administrative expense deposit, but in no event shall a replenishment deposit be less than$5,000 and in no event shall the administrative expense deposit balance be less than $25,000. The deposits described herein shall be deposited in the CFD's accounts which are managed by City staff(acting in their capacity as CFD staff). If the deposits are made prior to formation of the CFD, City staff may deposit such monies in other operating accounts of the City on a temporary basis pending formation of the CFD. The City may require an applicant/developer to provide additional security, for example a letter of credit, for the operation and maintenance expenses of the CFD. 4.2 In order to provide for the CFD to be self-supporting for its administrative, operation and maintenance expenses, the City and the CFD may, unless otherwise agreed, require the imposition, if approved at an appropriate election, of at least a $0.30 per $100 of net assessed limited property value ad valorem tax upon the CFD's taxable property. The City and the CFD may require the imposition, if approved at an appropriate election, an ad valorem tax at a rate higher than $0.30 per $100 of net assessed limited property value. Failure to impose such a tax may relieve the City and the CFD from undertaking any obligations or operations. 4.3 The debt of a CFD shall not have any substantial direct or indirect negative impacts on the debt or financing capabilities of the City. In addition, the debt of a CFD may not impose an unreasonably high financial burden on future CFD residents. The City Council may consider debt burdens, and corresponding tax rates and levies, in exercising its sole and absolute discretion to approve or deny the formation of a CFD. In connection with any request for debt financing included in an application for CFD formation, unless otherwise agreed by the City, the applicant must provide a current appraisal of the fair cash market value of the property within the proposed CFD which will be taxed or assessed, prepared by a person who is designated as a Member Appraisal Institute ("MAI") and a certified general real estate appraiser (such person hereafter referred to as an "MAI Appraiser"), such appraisal to be in form and substance acceptable to the City, in its sole and absolute discretion. Generally, the appraisal shall be based on the wholesale, bulk sale of the real property in the CFD, but the City may require additional appraisal. requirements depending on current market conditions or the type of project to be financed. After formation of a CFD, the CFD may require an appraisal in connection with any request for debt 9 52245803.6 financing, and such appraisal shall be prepared in accordance with the provisions of this Section and in accordance with the pertinent District Development, Financing Participation, Waiver and Intergovernmental Agreement, or as otherwise required by the CFD Board,in its sole and absolute discretion. 4.4 General obligation bonds of the CFD shall be secured by an ad valorem tax on all taxable property located within the CFD in accordance with the Act. The aggregate amount of general obligation debt of a CFD shall comply with the debt limitations described in the Act. In a Completed Application, and prior to the issuance of general obligation bonds by the CFD, in each feasibility report,the developer/applicant shall describe,in addition to the requirements of the Act, the following: a. The current direct and overlapping tax and assessment burdens on the taxable property within the CFD that is proposed to be taxed and the full cash value and net assessed limited property value of that taxable property as shown on the most recent assessment roll. b. The expected market absorption of development within the CFD. C. The expected amount and timing of CFD general obligation bonds to be issued. d. The effect of the CFD bond issuance on CFD tax rates, calculated over the entire period of time that the proposed general obligation bonds are estimated to be outstanding or based on the phasing of the project to be financed, as applicable. e. Estimated savings or economic advantage, if any, to prospective landowners in the form of reduced sales prices, enhanced public services and/or amenities, or additional community benefits that are projected to result from CFD financing. £ The proposed total tax rate of the CFD. g. At the time of formation of a CFD, the "target" secondary tax rate per$100 of net assessed limited property value for the CFD shall be reviewed by the City Council and described in the District Development, Financing Participation, Waiver and Intergovernmental Agreement pertaining to the CFD. The City Council will require similar "target" secondary tax rates in any CFDs formed by the City, but the City Council, in its sole and absolute discretion, may approve different "target" secondary tax rates for different CFDs formed by the City. After formation of a CFD, the "target" secondary tax rate to be levied for a CFD with respect to any CFD general obligation bonds will not exceed the approved "target" secondary tax rate per $100 of net assessed limited property value, unless otherwise required by law, and provided the CFD Board, in its sole and absolute discretion, may levy a tax rate lower than the "target" secondary tax rate described in the District Development, Financing Participation, Waiver and Intergovernmental Agreement pertaining to the CFD. h. A description of the marketing plan for the sale of CFD bonds, including whether the bonds will be publicly offered or privately placed. The CFD Board, in its sole and 10 52245803.6 absolute discretion, may evaluate and authorize a marketing plan for the sale of CFD bonds that imposes additional requirements for the sale of CFD bonds. 4.5 Revenue bonds shall be payable from a specified CFD revenue source in accordance with the Act. In a Completed Application, and prior to the issuance of revenue bonds by the CFD, in each feasibility report, the developer/applicant shall describe, in addition to the requirements of the Act, the following: a. The current direct and overlapping tax and assessment burdens on the taxable property within the CFD and the full cash value and net assessed limited property value of that taxable property as shown on the most recent assessment roll. b. The revenue source from which bonds will be payable, including the projected debt service coverage ratio. The City reserves the right to require the applicant to produce such independently prepared feasibility studies or reports as it deems necessary to confirm the amount and availability of revenues, including a comparison between the proposed rates and fees to be charged by the CFD and the rates and fees charged by the City or other CFDs for similar services. C. The expected market absorption of development within the CFD. d. The expected amount and timing of CFD revenue bonds to be issued. e. The financial impact of the proposed issues(s) on prospective landowners. f. A description of the marketing plan for the sale of CFD bonds, including whether the bonds will be publicly offered or privately placed. The CFD Board, in its sole and absolute discretion, may evaluate and authorize a marketing plan for the sale of CFD bonds that imposes additional requirements for the sale of CFD bonds. 4.6 Assessment bonds shall be secured by a first lien(subject only to the lien for general taxes and prior special assessments) on the property benefited in accordance with the Act. In a Completed Application, and prior to the issuance of assessment bonds by the CFD, in each feasibility report,the developer/applicant shall describe,in addition to the requirements of the Act, the following: a. The current direct and overlapping tax and assessment burdens on the taxable property within the CFD and on the real property to comprise the assessed property, and the full cash value and net assessed limited property value of the taxable property within the CFD and of the real property to comprise the assessed property as shown on the most recent assessment roll. b. The amount and timing of CFD assessment bonds to be issued. C. The expected market absorption of development within the CFD. d. The assessment burden to be placed on the prospective assessed real property. 11 52245803.6 e. A description of the marketing plan for the sale of CFD bonds, including whether the bonds will be publicly offered or privately placed. In an unrated public offering of assessment bonds, an appraisal of the land to be encumbered, prepared by an MAI Appraiser and in form and substance acceptable to the CFD Board, in its sole and absolute discretion, shall indicate a land value (prior to improvements being installed) to debt ratio of at least 6 to 1 as of a date prior to the issuance of the CFD bonds. Further, in connection with the sale of unrated privately placed assessment bonds, the CFD Board must have received an appraisal of the land to be encumbered,prepared by an MAI Appraiser and in form and substance acceptable to the CFD Board, in its sole and absolute discretion, indicating a wholesale/bulk land value (assuming the existence of the improvements being financed by the bonds and less five percent (5%)) to debt ratio of at least 4 to 1 as of a date prior to the issuance of the CFD bonds. If a 4 to 1 ratio is not achieved, a scaling down of the proposed assessment bonds and/or a phasing of the public infrastructure construction is expected. The CFD Board, in its sole and absolute discretion, may evaluate and authorize a marketing plan for the sale of CFD bonds that imposes additional requirements for the sale of CFD bonds. The CFD Board, in its sole and absolute discretion, may require alternative and additional appraisal requirements or land value to debt ratios that differ from the provisions of this subsection. f. If any prospective assessed real property is expected to be subdivided, the process by which the assessments will be allocated to the subdivided land. If the subdivision is expected to occur after the issuance of CFD assessment bonds, the developer/applicant shall describe a plan of prepayment of the next debt service payment due on the assessment bonds,plus a contingency amount to be determined in the sole and absolute discretion of the CFD Board, to ensure no draws on any reserve fund result from the subdivision and corresponding assessment modification. 4.7 Notwithstanding the provisions pertaining to the public offering and private placement of CFD bonds set forth in this Article 4, such provisions may be modified if other financing structures are presented which,in the sole and absolute discretion of CFD Board,provide other means to address CFD Board concerns. 4.8 Costs of issuance related to the issuance of bonds and obligations described in this Article 4 shall be paid from the proceeds of CFD bonds, unless otherwise approved by the CFD Board, in its sole and absolute discretion. The CFD Board may require the developer/landowner to make cash contributions to the CFD for costs of issuance related to CFD bonds. On a case by case basis, the CFD Board may require the developer/landowner to pay an additional amount related to a CFD bond transaction for CFD staff time to process the transaction. 4.9 As applicable, the CFD shall enter into collection agreements with the County Treasurer for the collection of ad valorem property taxes, special assessments and other fees and charges. The developer/landowner shall consent, as applicable, to the modification of any CFD financing structure as necessary to comply with the terms of such collection agreements,including, without limitation, the application of CFD bond proceeds to capitalized interest. ARTICLE 5 Financing Considerations 12 52245803.6 5.1 The developer/landowner shall provide at least $0.25 in infrastructure or community improvements that benefit the CFD for each $1.00 of debt to be issued by a CFD to finance public infrastructure purposes. If agreed to by the CFD Board, in its sole and absolute discretion, prior infrastructure and community improvements constructed or acquired by the developer/landowner may be included in calculating the developer/landowner's compliance with this Section 5.1. 5.2 If permitted by law, all CFD bond issues shall include a debt service reserve fund in an amount acceptable to the CFD Board. The CFD Board may, in its sole and absolute discretion, authorize the issuance of CFD bonds without a debt service reserve fund. 5.3 The applicant or the developer/landowner (or such other third party acceptable to the City and the CFD) shall indemnify the City, the CFD and their respective elected official, directors, appointed officers, employees and agents, and shall hold the City, the CFD and their respective elected officials, directors, appointed officers, employees and agents harmless for, from and against any and all liabilities, claims, costs and expenses, including attorneys' fees, incurred in any challenge or proceeding to the formation, operation, or administration of the CFD,the offer and sale of CFD bonds,the levying by the CFD of any tax, assessment or charge and the operation and maintenance of public infrastructure financed or owned by the CFD. 5.4 Unless otherwise provided to the City pursuant to other requirements prior to CFD financing and acquisition by the CFD or the City, the CFD or the City will require an independent environmental report or assessment of any real property which will be dedicated to or otherwise owned, leased or operated by the City or the CFD and a proposed form or indemnity agreement with respect to all environmental law liability. 5.5 Developers/landowners shall be responsible for all costs and expenses incurred in any assessment modifications related to CFD assessment bonds. 13 52245803.6 City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No. 10. File ID: 21-068 Sponsor: Mike Wever Agenda Date:2/16/2021 Index: In Control: City Council Meeting Presentation, discussion and consideration of Resolution No. 21-06, re-affirming support of the North-South Corridor alignment from U.S. 60 as detailed in the Pinal Regional Transportation Plan approved by the voters of Pinal County in November 2017. City of Apache Junction,Arizona Page 1 Printed on 211012021 , ,� '1111,`` ""I"11 11,_'I'I',1�", ", �, , " ��" _),,�,4'I"jI11:I�, '' � I , , �' , , ...... 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A 1, , � � , =�'_ I _Qb� "I'll �,, �% Wft� U.S.Department of Transportation I 111,1111, , I 11 11� I I i ,� � I _ _ f 11,111111111,11, -1 , - I ", ,4 11111111"I � 1�1�"�", ,_ I ,, � 19 Federal Highway �,�11�1�11111'10110" � 1�1�_I F, �- I , �, I " , I 11 I I "', 1,/,�,,,,,��""","",i����,�t4�,�"":§,�,�,i��'�'�Z�,� 11 "M � 111,� �`o ",I I ��111,1 11 1( p �, 1,�', I -'�... ,I,,,"',,',�, '?�� . � C, M '', I '1�11111 I I ,,��11�,:�,?�p�,"'A"M",�'7 �_ I 0 i I seyrce: Sri igitalGlobe GE 4W Administration A.oo,r "' I I I V41111 _', , , , 11,11,11,I , i'�" , " 111�11111 P�,,,��" , �, ' 1, 11'1�1111'10'Y,0,01 01 U , I 11 11 1.____11'1_i11!*__ I I ��: - 1�t H-,,,",V:',"�� ,2 � � ,11,.,1� ,,,, GW and the IS btkCOMMI ,, ��� �,��,, ,----,-----��,--��---�--"-----,-,,,,,,,'.--,I'-- r,,,,:,,,,,,I ,,,�,I` , ,,, , " I , ,,, �11 '. , I - - RESOLUTION NO. 21-06 A RESOLUTION OF' THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, CLARIFYING AND REAFFIRMING SUPPORT FOR THE NORTH-SOUTH CORRIDOR AS DETAILED IN THE FINAL REGIONAL TRANSPORTATION PLAN APPROVED BY THE VOTERS OF FINAL COUNTY, ARIZONA WHEREAS, in October 2016, the Arizona Department of Transportation ("ADOT11) , in coordination with the Federal Highway Administration ("FHWA") , initiated a Tier 1 Environmental Impact Statement ("EIS") study for selection of a corridor for a new transportation route in Pinal County; and WHEREAS, the planned North-South Corridor spans more than 40 miles long between U.S. 60 Highway in Apache Junction and Interstate 10 near Eloy; and WHEREAS, as part of the North-South Corridor Tier 1 EIS, ADOT and FHWA will select a corridor that would extend State Route ("SR") 24 from Ironwood Drive and connect with the North- South Corridor; and WHEREAS, on November 7, 2017, the voters of Pinal County, Arizona, approved Proposition 416 with 570 of voters in favor and 43% opposed; and WHEREAS, Proposition 416 established the Pinal Regional Transportation Plan ("the Plan") , laying out various projects of key importance to the future growth and development of Pinal County; and WHEREAS, one of the key projects within the Plan is the North-South Corridor; and WHEREAS, on November 7, 2017, Pinal County voters also approved Proposition 417, ,agreeing to pay an additional one-half " percent sales tax on goods purchased in Pinal County, and which provides the funding mechanism for the North-South Corridor and other projects within the Plan; and WHEREAS, the North-South Corridor will serve as a major commercial route, relieving commercial traffic from frequent RESOLUTION NO. 21-06 PAGE 1 OF 3 delays on Interstate 10, and providing a more direct route from U.S. 60 to the east valley of Phoenix, including to the Phoenix- Mesa Gateway Airport; and WHEREAS, the North-South Corridor will serve as a major route for the future economic development of Pinal County, NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, AS FOLLOWS: 1) The City of Apache Junction reaffirms its support for the Pinal Regional Transportation Plan and the North-South Corridor. 2) The City of Apache Junction supports the routing of the North-South Corridor detailed in the Pinal Regional Transportation Plan that was approved by Pinal County voters in 2017, as reiterated and further clarified in Exhibit A, that is, to wit, Segments Ela/b, W1b, Ela (Frye Road alignment) , Wla/b, E2a/b, E3a/c, E3b/d, E3a/b, and E4 or W4 . PASSED AND ADOPTED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, THIS DAY OF 2021. SIGNED AND ATTESTED TO THIS DAY OF 2021 . Chip Wilson Mayor ATTEST: Jennifer Pena City Clerk RESOLUTION NO. 21-06 PAGE 2 OF 3 APPROVED AS TO FORM: RICHARD J. STERN City Attorney RESOLUTION NO. R 1--0 R ,' R. 3 OF 3 EXHIBIT A ,s { F�fi*;{rY`�r ✓4 yk tEr�fr�"� t ust ,� ty tt "�mi� t�� tst J l rt1 t r>{ s3 s r t t ar, 4 t F#f st W1 ,r. '• rrrr rSr,t; } � £ �: aa�"'t~aw t} trY # r7rtt it s t Apo' „ '.f stttt.. {+S t tittm tsap� �c rrafr t a}s'�Y2 s YsSt rSi} ' } �� r} rF�t} f���rFr1'�sr }tit tr t is '.r � lb wq s t i r Y r ? z . '4 ratrfr � t" & " i ig .r,%19 f 'rtsF}YtYf}Yr"tY£°i - Y 4 '# r t> `Yt�h sr w+,��3�'s,:=�nrarwrrsmvu�zb"�i;�y rpr itS tr�;c� �u•;�s; t rt } �, r tr +}{ F �'b}t �„ tier sr ilr a# 7r r t ts�t r'tts f#irrt�r t r #tsSs s £ �s St }st<4 slr irFt4i4t t� 5 r sla `� r r Y} s�� jet kt4f t R OWNO it ,} t: axt {t t e t t r 7 '`i,tQt }jrrs('tY s tr k Y` erra in, t4 �ss;� hy$ `ttY.r tF`Y me`a a s t t{tr t t rsrSr ct}*+$ s �tl sl n r sue+ % t r 'Yt tY t s s Yy� o �r 1 ? k F �� ea,, }t i stS1 t �1 v `+j aw wr z SM t t"2r",�YJ�S �7e Z°N :Yt ',v 4rtrir r Federd Highway t 4WAdministtation AOCYr City of Apache Junction, Arizona 300 E Superstition Boulevard Agenda Item Cover Sheet Apache Junction,AZ 85119 Agenda Item No. 11. File ID: 21-053 Sponsor:Jennifer Pena Agenda Date:2/16/2021 Index: In Control: City Council Meeting The next regularly scheduled Work Session is Monday, March 1st and the next regularly scheduled Council Meeting is Tuesday, March 2, 2021. City of Apache Junction,Arizona Page 1 Printed on 211012021