HomeMy WebLinkAboutMinutes - Minutes - City Council - Meeting Date: 12/8/2009 GLEE
MINUTES OF THE
GLENDALE CITY COUNCIL MEETING
Council Chambers
5850 West Glendale Avenue
December 08,2009
7:00 p.m.
The meeting was called to order by Mayor Elaine M. Scruggs, with Vice Mayor Manuel
D. Martinez and the following Councilmembers present: Joyce V. Clark, David M. Goulet,
Yvonne J. Knaack, and H. Philip Lieberman.
Councilmember Steven E. Frate was absent.
Also present were Ed Beasley, City Manager; Pam Kavanaugh, Assistant City Manager;
Craig Tindall, City Attorney; and Pamela Hanna, City Clerk.
COMPLIANCE WITH ARTICLE VII, SECTION 6(c) OF THE GLENDALE CHARTER
A statement was filed by the City Clerk that the 4 resolutions and 6 ordinances to be
considered at the meeting were available for public examination and the title posted at City Hall
more than 72 hours in advance of the meeting.
APPROVAL OF THE MINUTES OF THE NOVEMBER 24, 2009 CITY COUNCIL
MEETING AND CORRECTION TO THE MINUTES OF THE OCTOBER 27, 2009 CITY
COUNCIL MEETING
It was moved by Goulet, and seconded by Clark, to dispense with the reading of the
minutes of the November 24, 2009 Regular City Council meeting, as each member of the
Council had been provided copies in advance, and approve them as written. It was
additionally moved to approve the correction to the minutes of the October 27, 2009
Regular City Council meeting. The motion carried unanimously.
PROCLAMATIONS AND AWARDS
PRESENTATION OF PARKS AND RECREATION AGENCY ACCREDITATION AWARD
This is a request for City Council to accept the Agency Accreditation Award and designation
from the Commission for Accreditation of Park and Recreation Agencies. National Recreation
and Park Association Past-President Jodie Adams will present the award.
On October 13, 2009, the Glendale Parks and Recreation Department became the 80`h agency in
the country and internationally to earn agency accreditation from the Commission for
Accreditation of Park and Recreation Agencies.
The process of accreditation was extensive and took approximately two years to accomplish.
The agency accreditation process is a systematic evaluation of the agency's management and
operational business practices in 10 major categories of 155 best practice standards. The
department not only received accreditation, but it also met 100%of the 155 standards.
Earning accreditation required an extensive self-evaluation of Glendale's business practices;
identification of areas for improvement by comparing Glendale against national standards of best
practices; enhanced staff team work, and pride by engaging all employees in the department as
well as other departments and organizations in the process; created an environment for regular
reviews of operations, policies and procedures; and assures there are business practices to offer
high quality customer services. This award provides external validation that the Glendale meets
national standards and it also enhances the community's reputation in offering nationally
accredited park and recreation programs and services.
The recommendation is to accept the award acknowledging the City of Glendale Parks and
Recreation Department as a CAPRA accredited agency.
Ms. Adams was called forward and presented the award to the Mayor on behalf of the city.
Mayor Scruggs asked Ms. Becky Benna, Parks and Recreation Director, to also come up to the
podium to receive this award.
Ms. Adams thanked the City of Glendale and the Parks and Recreation Department. She stated
that on October 13, 2009, the Glendale Parks and Recreation Department became the 80`h agency
in the country and internationally to earn agency accreditation from the Commission for
Accreditation of Park and Recreation Agencies. She indicated this accreditation was one of the
most prestigious honors that could be bestowed on a Recreation Department in this country. She
commended and congratulated the Mayor, Council, City Manager, and all city departments for
supporting this process. She added that today, parks and recreation were more important than
ever because of these economic times. They serve as safe havens for citizens to meet. She noted
that Glendale had succeeded in what most agencies could not, with not only receiving
accreditation, but also meeting 100%of the 155 standards.
Mayor Scruggs remarked this was exceptionally phenomenal award to be given. She related
how in the past, when her daughter was growing up, the parks they usually visited had equipment
in need of repair and how things had changed dramatically. She stated that much of the credit of
what has been achieved had to go to the Council for making recreation a priority. They were
able to realize the role parks play in the quality of life for citizens and families of Glendale, as
well as being an economic development attraction. She remarked on the significant changes that
have occurred in a very short period of time in the amount of parks, amenities and services
provided. She thanked the Parks and Recreation Department for the remarkable job they had
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done in improvements in programs, enhancements, organization and insuring high quality
standards.
Ms. Benna commended the Parks and Recreation Department staff for their success in this area.
She stated staff had worked extremely hard for this achievement, with their efforts and
commitment to this goal. She thanked the Mayor, Council and City Manager for their leadership
and support.
CONSENT AGENDA
Items on the consent agenda are of a routine nature or have been previously studied by the
City Council at a work session. They are intended to be acted upon in one motion.
Mr. Ed Beasley, City Manager, read agenda item numbers 1 through 7 and requested that
item number S be pulled from the agenda. and Ms. Pamela Hanna, City Clerk, read consent
agenda resolution item numbers 9 through 11 by number and title.
1. LIQUOR LICENSE NO. 3-1275, APGUJUNG KARAOKE CAFE
This is a request for City Council to approve a new, non-transferable series 12 (Restaurant)
license. Apgujung Karaoke Cafe is located at 10040 North 43`d Avenue, Suite 1-E. The Arizona
Department of Liquor Licenses and Control application (No. 12078156) was submitted by Jong
Woo Lee.
The location of the establishment is 10040 North 43`d Avenue, Suite 1-E and is located within
the Cactus District. The property is zoned C-2 (General Commercial). The population density
within a one-mile radius is 21,743. This series 12 is a new license, therefore, the approval of this
license will increase the number of liquor licenses in the area by one. The number of liquor
licenses within a one-mile radius is as listed below.
Series Type Quantity
06 Bar- All Liquor 10
07 Bar- Beer and Wine 3
09 Liquor Store - All Liquor 4
10 Liquor Store - Beer and Wine 5
12 Restaurant 7
Total 29
The Maricopa County Health Department and the City of Glendale Planning, Police, and Fire
Departments have reviewed the application and determined that it meets all technical
requirements.
No public protests were received during the 20-day posting period.
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Based on information provided under the background, it is staffs recommendation to forward
this application to the Arizona Department of Liquor Licenses and Control with a
recommendation of approval.
2. LIQUOR LICENSE NO. 3-1276, STINGER'S SPORTS BAR
This is a request for City Council to approve a location-to-location transferable series 6 (Bar —
All Liquor) license. Stinger's Sports Bar is located at 10040 North 43`d Avenue, Suite I-H. The
Arizona Department of Liquor Licenses and Control application (No. 06071004) was submitted
by Dale William Hanson.
This business is currently operating at 10222 North 43`d Avenue with a series 6 (Bar — All
Liquor) license. Upon approval of this location-to-location transferable series 6 license, they
will be relocating to 10040 North 43" Avenue, Suite 1-H. This business is moving within 300
feet of current location, therefore the approval of this license will not increase the number of
liquor licenses in the area. The property is located within the Cactus District and zoned C-2
(General Commercial). The population density within a one-mile radius is 21,743. The number
of liquor licenses within a one-mile radius is as listed below.
Series Type Quantity
06 Bar - All Liquor 10
07 Bar - Beer and Wine 3
09 Liquor Store- All Liquor 4
10 Liquor Store- Beer and Wine 5
12 Restaurant 7
Total 29
The Maricopa County Health Department and the City of Glendale Planning, Police, and Fire
Departments have reviewed the application and determined that it meets all technical
requirements.
No public protests were received during the 20-day posting period.
Based on information provided under the background, it is staffs recommendation to forward
this application to the Arizona Department of Liquor Licenses and Control with a
recommendation of approval.
3. SPECIAL EVENT LIQUOR LICENSE, KNIGHTS OF COLUMBUS, CHURCH SOCIAL
CHRISTMAS SUPPER, DECEMBER 19, 2009
This is a request for City Council to approve a special event liquor license for the Knights of
Columbus. The event will be held at St. Raphael Church inside Hibner Hall located at 5545
West Acoma Road on Saturday, December 19 from 6 p.m. to 11 p.m. The purpose of this
special event liquor license is for a church social Christmas supper with live music held indoors.
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If this application is approved, the total number of days expended by this applicant will be three
of the allowed 10 days per calendar year. Under the provisions of A.R.S. § 4-203.02, the
Arizona Department of Liquor Licenses and Control may issue a special event liquor license
only if the Council recommends approval of such license.
The City of Glendale Planning, Police, and Fire Departments have reviewed the application and
determined that it meets all technical requirements.
Based on the information provided under the background, it is staff's recommendation to
forward this application to the Arizona Department of Liquor Licenses and Control with a
recommendation of approval.
4. SPECIAL EVENT LIQUOR LICENSE, FIESTA EVENTS, INC., THE FIESTA BOWL,
JANUARY 4, 2010
This is a request for City Council to approve a special event liquor license for the Fiesta Events,
Inc. The event will be held at the Stadium Club VIP area located at 6222 North 91' Avenue on
Monday, January 4 from 10 a.m. to midnight. The purpose of this special event liquor license is
Fiesta Bowl Football Pregame Festivities with interactive games, climber's wall, and live music
held outdoors.
If this application is approved, the total number of days expended by this applicant will be one of
the allowed 10 days per calendar year. Under the provisions of A.R.S. § 4-203.02, the Arizona
Department of Liquor Licenses and Control may issue a special event liquor license only if the
Council recommends approval of such license.
The City of Glendale Planning, Police, and Fire Departments have reviewed the application and
determined that it meets all technical requirements.
Based on the information provided under the background, it is staff's recommendation to
forward this application to the Arizona Department of Liquor Licenses and Control with a
recommendation of approval.
5. SPECIAL EVENT LIQUOR LICENSE, CITY OF GLENDALE, GLENDALE GLITTER
AND GLOW BLOCK PARTY, JANUARY 16, 2010
This is a request for City Council to approve a special event liquor license for the City of
Glendale. The event will be held in downtown Glendale located at 58th Avenue and Glenn Drive
on Saturday, January 16 from 4 p.m. to 10 p.m. The purpose of this special event liquor license
is for Glendale Glitter and Glow Block Party.
If this application is approved, the total number of days expended by this applicant will be one of
the allowed 10 days per calendar year. Under the provisions of A.R.S. § 4-203.02, the Arizona
Department of Liquor Licenses and Control may issue a special event liquor license only if the
Council recommends approval of such license.
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The City of Glendale Planning, Police, and Fire Departments have reviewed the application and
determined that it meets all technical requirements.
Based on the information provided under the background, it is staffs recommendation to
forward this application to the Arizona Department of Liquor Licenses and Control with a
recommendation of approval.
6. WINE FESTIVAL LICENSES, KOKOPELLI WINERY
This is a request for City Council to approve three wine festival licenses for Kokopelli.Winery.
These events will be held in downtown Glendale at 58th Avenue and Glenn Drive. The purpose
of these wine festival licenses is for Kokopelli Winery to partcipate in Glendale Glitter and Glow
Block Party, January 16; Glendale Chocolate Affaire, February 5-7; and Glendale's Gibson Jazz
& Blues Festival, April 17 and 18, 2010.
If these licenses are approved, the total number expended by this applicant will be 4 of the
allowed 25 licenses per calendar year and 9 of the allowed 75 days per calendar year. Under the
provisions of A.R.S. § 4-203.03, the Arizona Department of Liquor Licenses and Control may
issue a wine festival license only if the Council recommends approval of such license.
Based on the information provided under the background, it is staffs recommendation to
forward this application to the Arizona Department of Liquor Licenses and Control with a
recommendation of approval.
7. AWARD OF PROPOSAL 09-27: HYDROGEN PEROXIDE SUPPLY, SERVICE AND
MAINTENANCE
This is a request for City Council to approve the award of proposal 09-27 to U.S. Peroxide, LLC
to supply hydrogen peroxide as well as service and maintenance of equipment. Hydrogen
peroxide helps to convey wastewater to the wastewater treatment plants in an environmentally
safe process.
One of Council's strategic goals is one community with high quality services for citizens.
Awarding this contract will allow the city to continue to provide high quality service to the
community by providing chemicals to properly maintain the Utilities Department wastewater
collection system.
A bid opening was held on September 14, 2009, and two proposals were received for this project
which included a full service maintenance agreement. An evaluation committee consisting of
staff from the Utilities Department reviewed the offers received. Specific evaluation factors
included overall cost, compliance with specifications, references and personnel experience, and
delivery schedule. U.S. Peroxide, LLC submitted the highest scoring offer.
Pricing under the new agreement is approximately 5% less than the current agreement, which is
also held by U.S. Peroxide, LLC. Factors for the price reduction include an overall cost
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reduction in materials used to make hydrogen peroxide and the product volume ordered by the
city.
Council previously approved a contract for hydrogen peroxide supply, service, and maintenance
to U.S. Peroxide, LLC on October 12, 2004.
The use of hydrogen peroxide in the wastewater dosing stations reduces corrosion and odors
throughout the city's wastewater collection infrastructure.
Funding is available in the FY 2009-10 operating budget of the Utilities Department.
Grants Capital Expense One-Time Cost Budgeted Unbudgeted Total
X $1,308,300
Account Name, Fund,Account and Line Item Number:
Wastewater Collection, Account No. 2420-17630-518200, $1,308,300
The recommendation is to approve the award of proposal 09-27 to U.S. Peroxide, LLC for
hydrogen peroxide supply, service, and maintenance in an amount not to exceed $1,308,300; and
authorize the City Manager to renew said agreement, at his discretion, for up to four one-year
terms.
CONSENT RESOLUTIONS
8. ACQUISITION OF FRONTAGE RIGHT-OF-WAY FOR GRAND AVENUE
IMPROVEMENTS
This item was pulled administratively and not heard.
9. ACQUISITION OF VISTA MOTEL PROPERTY FOR GRAND AVENUE
IMPROVEMENTS
This is a request for City Council to adopt a resolution authorizing the City Manager to execute
all documents necessary to acquire the Vista Motel property in the amount of$595,000 plus
customary closing costs. This property is located east of Grand Avenue and west of 63rd Avenue
and is needed for access control and beautification along Grand Avenue.
This request addresses Council's goals of one community with high quality services for citizens
and one community with quality economic development by improving and providing
transportation options within the City of Glendale.
The Arizona Department of Transportation (ADOT) and Glendale are pursuing access control
and beautification improvements to Grand Avenue based on studies previously completed by
Maricopa Association of Governments (MAG), ADOT, and Glendale. In order to improve
traffic on Grand Avenue, existing access points will be closed.
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Both Glendale and ADOT fiords are programmed to improve access control and beautify Grand
Avenue as per the Intergovernmental Agreement. Glendale funds are focused on securing right-
of-way and beautification, and ADOT funds will be used for design and construction. In
addition to the cost for land and buildings, the city will pay relocation costs in accordance with
the Federal Uniform Relocation Act, customary closing costs, and the cost for demolition of the
buildings.
The property to be acquired is described below:
6324 Northwest Grand Avenue
Ramesh P. Bhakta and Kashmira R. Bhakta, owners of the Vista Motel will sell approximately
40,290 square feet of property for $595,000.
On October 9, 2007, Council approved the preparation of a Design Concept Report by DMJM
Harris for Grand Avenue between 431d and 71' avenues. At this meeting, Council also
authorized an Intergovernmental Agreement with ADOT to compensate the city for the
preparation of this report.
The proposed improvements on Grand Avenue will help improve traffic flow and enhance
safety. It will also improve the appearance of Grand Avenue with landscaping, sign upgrades,
sidewalks, and under-grounding of utilities.
On June 26, 2008, ADOT held an open house meeting in Glendale for public comments on the
Design Concept Report and Environmental Study for Grand Avenue improvements.
The proposed improvements on Grand Avenue have been presented at various public meetings
including: the GO Transportation Program annual meetings, and a MAG meeting on the draft
Grand Avenue Major Investment Study, Phase Il Report. There were no comments received
from the public at these meetings.
Funds for right-of-way acquisition are available in the FY 2009-10 capital improvement plan.
Additional closing costs, relocation, and demolition expenses are also programmed in the FY
2009-10 GO Transportation capital improvement plan, The operating costs associated with this
purchase will be absorbed by the Transportation Department operating budget.
Grants Capital Expense One-Time Cost Budgeted Unbudgeted Total
X X $595,000
Account Name, Fund, Account and Line Dem Number:
Grand Avenue Access Enhancements, Account No. 2210-65007-550400, $595,000
The recommendation is to waive reading beyond the title and adopt a resolution authorizing the
City Manager to execute all documents necessary to authorize the purchase of the Vista Motel
property along Grand Avenue located east of Grand Avenue and west of 63`d Avenue for access
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control and beautification improvements in the amount of $595,000 plus customary closing
costs.
Resolution No. 4329 New Series was read by number and title only, it being A RESOLUTION
OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY,
ARIZONA, AUTHORIZING AND DIRECTING THE ACQUISITION OF PROPERTY
LOCATED AT 6324 NORTHWEST GRAND AVENUE (VISTA MOTEL) FOR GRAND
AVENUE IMPROVEMENTS AS PART OF THE GLENDALE ONBOARD
TRANSPORTATION PROGRAM; AND DIRECTING THE EXECUTION OF ANY
DOCUMENTS NECESSARY TO EFFECTUATE SAID PURCHASE.
10. AMENDMENT TO FY 2009-10 INTERGOVERNMENTAL AGREEMENT WITH
MARICOPA COUNTY FOR COMMUNITY ACTION PROGRAM FUNDING
This is a request for City Council to adopt a resolution approving Amendment No, 3 to the
Intergovernmental Agreement (IGA) with the Maricopa County Human Services Department for
Community Action Program (CAP) funding.
The services provided by CAP are consistent with the Council goals of promoting high quality
services for citizens and one community with strong neighborhoods.
CAP provides direct services to low and moderate-income Glendale residents. Services include
energy assistance payments, minor home repairs, crisis assistance for families, which includes
homeless assistance and temporary rent/mortgage subsidies.
The Maricopa County General Budget was recently approved, and with the addition of American
Recovery & Reinvestment Act (ARRA) funds, the total funding from Maricopa County has
increased. The amount of increase for Glendale CAP is $92,248. This increase will change the
IGA between Maricopa County Human Services Department and the City of Glendale from
$242,047 to $334,295 for FY 2009-10.
Currently Maricopa County provides $334,295 for the provision of CAP services in FY 2009-10.
Glendale provides General Fund monies to cover the remainder of the CAP operating budget. In
addition, the city provides in-kind contributions by providing the office space and covering the
cost of utilities, custodial services, and miscellaneous operating expenses for the CAP office.
On March 24, 2009 Glendale and Maricopa County entered into Amendment No. 2 extending the
contract to June 30, 2010.
On May 13, 2008, Glendale and Maricopa County entered into Amendment No. I extending the
contract to June 30, 2009.
On April 24, 2007 Glendale and Maricopa County entered into Contract No. C-22-08-070-2 with
a term from July 1, 2007 to June 30, 2008. The contract included two options for one-year
extensions.
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CAP will ensure that the low and moderate-income Glendale residents will continue to receive
crisis services that promote financial stability and enhance the quality of life in Glendale.
Maricopa County will provide an additional of$92,248 for a total of$334,295 in FY 2009-10 for
CAP Office operations.
Grants Capital Expense One-Time Cost Budgeted Unbudgeted Total
X X $92, 248
Account Name, Fund, and Account and Line Item Number:
Maricopa County Human Services, Account No. 1820-01820-412200, $92,248
The recommendation is to waive reading beyond the title and adopt a resolution authorizing the
City Manager to enter into Amendment No. 3 to the Intergovernmental Agreement with
Maricopa County Human Services Department for the FY 2009-10 funding of Glendale's
Community Action Program.
Resolution No. 4330 New Series was read by number and title only, it being A RESOLUTION
OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY,
ARIZONA, AUTHORIZING AND DIRECTING THE ENTERING INTO OF
AMENDMENT #3 TO THE INTER-GOVERNMENTAL AGREEMENT WITH
MARICOPA COUNTY HUMAN SERVICES DEPARTMENT INCREASING
COMMUNITY ACTION PROGRAM FUNDING FOR FY 2009-10.
11. LICENSE AGREEMENT WITH AGL NETWORKS, LLC FOR FIBER OPTIC
NETWORK
This is a request for City Council to adopt a resolution authorizing the City Manager to enter into
a license agreement between the city and AGL Networks, LLC, for the placement of an
underground fiber-based communications network within public rights-of-way.
Granting the license supports the Council goal of one community with high quality services for
citizens by allowing AGL access within public rights-of-way for installation of additional
telecommunications and data transmission capabilities for the community.
AGL contacted the city to request permission to expand its existing network in the valley into
Glendale. AGL's infrastructure investment in the west valley allows them to meet their current
and future clients' connection needs and the growing demand for fiber optic telecommunications
service including cable, telephone and internet. It is anticipated that the installation will begin
early 2010 with the majority of the work completed within 18 months. Additional installation
may be needed as their network expands.
Granting the license will create additional benefits to ensure future economic development and
enhanced communication for Glendale's residents with improved state-of-the-art service.
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The projected revenue generated during the first year of this agreement is projected at $402,353
which includes the annual license fee of$148,782 and related plan review and permitting fees.
Future revenue projections are $148,782 per year with annual increases based on Consumer Price
Index, however should AGL be granted its Certificate of Convenience and Necessity from the
Arizona Corporation Commission they shall pay to the city the Privilege Tax of 5.4% of its gross
revenue per year per City Code 21.1-470. All revenue shall be deposited into the General Fund.
The recommendation is to waive reading beyond the title and adopt a resolution authorizing the
City Manager to enter into a license agreement with AGL Networks, LLC, for the placement of
an underground fiber-based communications network within public rights-of-way.
Resolution No. 4331 New Series was read by number and title only, it being A RESOLUTION
OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY,
ARIZONA, AUTHORIZING THE CITY MANAGER TO EXECUTE A LICENSE
AGREEMENT FOR FIBER OPTIC NETWORK WITH AGL NETWORKS, LLC IN
GLENDALE, ARIZONA.
It was moved by Martinez and seconded by Knaack, to approve the recommended
actions on Consent Agenda Item Nos. 1 through 7 and 9 through 11, including the approval
and adoption of Resolution No. 4329 New Series, and Resolution No. 4330 New Series,
Resolution No. 4331 New Series; and to forward Special Event Liquor License Applications
for Knights of Columbus, Church Social Christmas Supper on December 19, 2009, Fiesta
Events, Inc., The Fiesta Bowl on January 4, 2010, City of Glendale, Glendale Glitter and
Glow Block Party on January 16, 2010 and Liquor License Application No. 3-1275 for
Apgujung Karaoke Café and 3-1276 for Stinger's Sports Bar to the State of Arizona
Department of Liquor Licenses and Control, with the recommendation for approval. The
motion carried unanimously.
ORDINANCES
12. SALT RIVER PROJECT IRRIGATION EASEMENT: NORTHWEST CORNER OF 51ST
AVENUE AND CAMELBACK ROAD
Larry Broyles, P.E., City Engineer presented this item.
This is a request for City Council to adopt an ordinance granting an easement for underground
irrigation facilities within the right-of-way at the northwest corner of 51st Avenue and
Camelback Road in favor of Salt River Project (SRP).
Granting the irrigation easement supports the Council goal of one community with high quality
services for citizens by accommodating construction improving the transportation options within
the city.
Roadway improvements are planned for the intersection of 51' Avenue and Camelback Road as
part of the Transportation Department's GO Program. SRP was asked to relocate its existing
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underground irrigation facilities to accommodate the construction. To protect its facilities in the
new location, SRP has requested the city of Glendale grant an easement.
The recommendation is to waive reading beyond the title and adopt an ordinance authorizing the
City Manager to execute an irrigation easement in favor of Salt River Project within the right-of-
way at the northwest corner of 5151 Avenue and Camelback Road.
Ordinance No, 2710 New Series was read by number and title only, it being AN ORDINANCE
OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY,
ARIZONA, AUTHORIZING THE CITY MANAGER TO EXECUTE AN IRRIGATION
EASEMENT IN FAVOR OF SALT RIVER PROJECT AT THE NORTHWEST
CORNER OF 51ST AVENUE AND CAMELBACK ROAD; AND ORDERING THAT A
CERTIFIED COPY OF THIS ORDINANCE BE RECORDED.
It was moved by Knaack, and seconded by Goulet, to approve Ordinance No. 2710
New Series. Motion carried on a roll call vote, with the following Councilmembers voting
"aye": Clark, Goulet, Lieberman, Knaack, Martinez, and Scruggs. Members voting
"nay": none.
13. BEAD MUSEUM LEASE AGREEMENT
Cathy Gorham, Deputy City Manager, Community Services presented this item.
This is a request for City Council to adopt an ordinance authorizing the City Manager to enter
into a new lease agreement with the Bead Museum.
The Bead Museum, through the provision of a one-of-a-kind in the world cultural arts collection
in downtown Glendale, advances the Council's goal of one community with a vibrant city center.
The museum serves as a tourist destination and over the last decade has drawn many out of town
visitors to the heart of the city.
The Bead Museum, a nonprofit 501(c)(3), first located in downtown Glendale in 1999 following
Council's approval of a lease agreement for property located at 5754 W. Glenn Drive. In 2004, a
new lease agreement with the city was approved in coordination with the development of the
Downtown Plaza project. That lease and city expansion project provided the Bead Museum with
an additional 2000 square feet of space, dedicated classroom space in the Civic Center Annex
and 10 parking spaces.
The 2004 lease expired this year and the Bead Museum board expressed its interest to city
officials in staying at their current location. The proposed new lease agreement provides for a
three-year term beginning January 1, 2010 and ending on December 31, 2012. Monthly rent will
remain the same at $625. The lease provides the Bead Museum with an option to renew for an
additional two-year term. If this option is executed, the monthly rent is subject to review and
adjustment by the city based on the Consumer Price Index— Urban Areas, Western States (CPI-
U Western States) not to exceed 5%. Other lease provisions require the museum to prepare and
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submit to the city a three-year strategic business plan to be updated annually and an annual report
documenting all activities on the property for the previous year.
Council approved a lease agreement with the Bead Museum on December 22, 1998 and a second
lease agreement that was effective on August 1, 2004.
The Bead Museum provides a cultural benefit to downtown and provides unique exhibits and
educational opportunities for residents and visitors alike. The museum holds a vast collection of
diverse and historically significant beads from around the globe and is one of its kind in the
world.
The Bead Museum will pay monthly rent of $625 and that revenue will be deposited to the
General Fund. Along with rent, the city benefits from the unique character of the collection
which draws tourists, artists and bead collectors from around the world. There is an economic
spin-off to other downtown businesses as a result of visitors being drawn to this cultural facility
in the city center.
The recommendation is to waive reading beyond the title and adopt an ordinance authorizing the
City Manager to enter into a new lease agreement with the Bead Museum.
Ordinance No. 2711 New Series was read by number and title only, it being AN ORDINANCE
OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY,
ARIZONA, AUTHORIZING AND DIRECTING THE MAYOR AND/OR CITY
MANAGER AND CITY CLERK TO EXECUTE A LEASE AGREEMENT WITH THE
BEAD MUSEUM; AND ORDERING THAT THE LEASE AGREEMENT BE
RECORDED.
It was moved by Gould, and seconded by Clark, to approve Ordinance No. 2711
New Series. Motion carried on a roll call vote, with the following Councilmembers voting
"aye": Clark, Goulet, Lieberman, Knaack, Martinez, and Scruggs. Members voting
"nay": none.
14. LEASE AGREEMENT: BANK OF AMERICA PLAZA, SUITE 275
Larry Broyles, P.E., City Engineer presented this item.
This is a request for City Council to adopt an ordinance approving a five-year lease with Smith
Construction Management, LLC, for approximately 4,171 square feet of office space in the Bank
of America Plaza building.
Approving the lease supports Council's goals of one community with a vibrant city center by
bringing a new commercial business tenant into the Bank of America Plaza building, located at
5800 West Glenn Drive.
Council last approved a standard lease for the Bank of America Plaza building in April 2008.
This tenant obtained a grant from the U. S. Small Business Administration to locate in the Bank
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of America Plaza which requires the lease to have specific termination language. Therefore the
city's master lease had to be modified to include this language, which requires Council approval.
The lease was negotiated for a five year term at current market rates, and with annual increases.
After the first year, the tenant, like other tenants of the Bank of America Plaza, will also pay a
pro-rata share of any increases in operating costs incurred by the city for the building. The
occupancy by this tenant will reduce the vacancy of the Bank of America Plaza building to
approximately 5.4%.
The recommendation is to waive reading beyond the title and adopt an ordinance authorizing the
City Manager to execute all documents necessary to effectuate a lease agreement with Smith
Construction Management LLC for Suite 275 in the Bank of America Plaza building.
Ordinance No. 2712 New Series was read by number and title only, it being AN
ORDINANCE OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA
COUNTY, ARIZONA, AUTHORIZING AND DIRECTING THE MAYOR AND/OR
CITY MANAGER AND CITY CLERK TO EXECUTE AN OFFICE LEASE
AGREEMENT WITH SMITH CONSTRUCTION MANAGEMENT, LLC FOR OFFICE
SPACE AT THE BANK OF AMERICA PLAZA.
It was moved by Knaack, and seconded by Martinez, to approve Ordinance No.
2712 New Series. Motion carried on a roll call vote, with the following Councilmembers
voting "aye": Clark, Goulet, Lieberman, Knaack, Martinez, and Scruggs. Members voting
"nay": none.
15. FISCAL YEAR 2008-09 BUDGET AMENDMENTS
Sherry Schurhammer, Budget Director presented this item.
This is a request for City Council to adopt an ordinance approving the FY 2008-09 budget
amendments.
Review of the FY 2008-09 budget amendments is consistent with the Council's goal of ensuring
sound fiscal management to support the city's financial stability.
A budget amendment is a transfer of appropriation authority and most amendments are done to
reconcile the prior fiscal year's actuals savings with requested carryover. Council is requested to
adopt an ordinance approving the amendments to the prior FY budget as a final action.
Most of the budget amendments deal with capital projects. During the course of FY 2008-09,
capital project carryover was reconciled to actual savings from the prior FY. When departments
prepared their FY 2008-09 capital project budgets, they estimated their amount of carryover
savings. The Management and Budget Department subsequently reconciled each department's
actual savings from the prior FY with their estimated carryover budget for FY 2008-09 and then
increased or decreased their budgets accordingly.
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This type of action is routinely done. For example, Council approved a similar ordinance for FY
2007-08 on October 14, 2008 and for FY 2006-07 on October 23, 2007.
The budget amendment information in this report does not change the General Fund expenditure
figures presented to council at the September 15, 2009, workshop.
Overall, the City of Glendale's total FY 2008-09 budget appropriations for all funds remain
unchanged.
The recommendation is to waive reading beyond the title and adopt an ordinance approving the
FY 2008-09 budget amendments.
Councilmember Clark asked Ms. Schurhammer to explain the term "CIP Reserve". Ms.
Schurhammer said this is a holding account for appropriation authority from the capital plan for
those projects that requested carryover but ended up not needing it because the expenses
occurred before the end of the prior fiscal year. Councilmember Clark asked if this meant funds
were transferred and Ms. Schurhammerceplied no and emphasized that the transfers into and out
of the capital reserve account related only to appropriation authority.
Ordinance No. 2713 New Series was read by number and title only, it being AN ORDINANCE
OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY,
ARIZONA, AUTHORIZING THE TRANSFER OF APPROPRIATION
AUTHORIZATION BETWEEN BUDGET ITEMS IN THE ADOPTED FISCAL YEAR
2008-09 BUDGET.
It was moved by Clark, and seconded by Lieberman, to approve Ordinance No.
2713 New Series. Motion carried on a roll call vote, with the following Councilmembers
voting "aye": Clark, Goulet, Lieberman, Knaaek, Martinez, and Scruggs. Members voting
"nay": none.
16. AUTHORIZATION TO SELL GENERAL OBLIGATION BONDS
Art Lynch, Financial Consultant presented this item.
This is a request for City Council to adopt an ordinance awarding general obligation bonds to the
lowest responsive bidder and to authorize issuance of the bonds. The bond proceeds will fund
various projects included in the city's Capital Improvement Plan.
Voters of Glendale previously authorized the issuance of bonds for various capital improvements
in the city including public safety, flood control projects, street improvement, and government
facilities.
The bonds will fund projects authorized by the 1999 and 2007 bond elections and are payable
from property taxes levied on all taxable property within the city.
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Underwriting bids were received on December 8, 2009. Staff evaluated and verified the bids
received to assure their accuracy and benefit to the city. The recommended bid is now brought
to the Council for review. The Council can accept the recommended bid by adopting the bond
ordinance.
On November 24, 2009, Council adopted a resolution authorizing the publication of a notice in
the Glendale Star of the city's intent to sell general obligation bonds, and authorized staff to
prepare and distribute the official statement and other bid documents.
The bonds will be paid from the city's secondary property tax rate. There will be no increase in
the city's total property tax rate as a result of the issuance of the proposed general obligation
bonds.
The recommendation is to waive reading beyond title and adopt an ordinance authorizing the sale
and issuance of the principal amount of bonds set forth in the ordinance not to exceed $43
million of general obligation bonds.
Mr. Lynch reported that staff received underwriting bids through the work of budget finance and
financial advisors assistance. He stated nine firms had been interested in the biding process. He
was also very pleased to report the rating on city bonds reflected a very strong rating. This
reflects the high quality credit Glendale has in terms of their bonds, He indicated the winning
bid came from the Robert W. Baird & Company Inc. He explained the biding process and how
the bidders were allowed to bid on two different types of bonds. He indicated this was the first
time this process was used in Arizona and only the second time in the country. He stated he was
pleased to report this process had really been to the benefit of the city and citizens in lowering
their total borrowing and cost. The winning bid presented by Robert W. Baird & Company Inc.
was a bond rate of 3.39872%. He explained that if this had been done as a regular obligation
fund, the cost would have been $2.6 million dollars in additional interest cost. Additionally, in
using the Build America Bond option, there is a stimulus subsidy provided that lowers borrowing
cost by approximately a gross amount of$9.4 million. Voters of Glendale previously authorized
the issuance of bonds for various capital improvements in the city including public safety, flood
control projects, street improvement, and government facilities.
Councilmember Lieberman thanked Mr. Lynch for providing the memorandum of December 1,
2009, to the Mayor and Council answering the questions asked of Mr. Horatio Skeete, Deputy
City Manager, at the meeting on November 24, 2009. He also thanked Mr. Lynch for taking the
time to come to his office to make sure he totally understood the bond issue and how the figures
were compiled. He had not been aware of the stimulus subsidy and how it assisted the city
financially. He wanted to personally thank Mr. Lynch and staff for making sure the city was a
Double A 2 in bond rating, as well as for his dedication to the city.
Ordinance No. 2714 New Series was read by number and title only, it being AN ORDINANCE
OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY, ARIZONA
AUTHORIZING AND PROVIDING FOR THE ISSUANCE AND SALE OF CITY OF
GLENDALE, ARIZONA GENERAL OBLIGATION BONDS, SERIES 2009, IN AN
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AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $43,000,000 FOR THE
PURPOSE OF PROVIDING FUNDS TO PAY ALL,OR A PORTION OF,THE COSTS OF
CERTAIN PROJECTS OF THE CITY AND TO PAY ALL NECESSARY LEGAL,
FINANCIAL, ARCHITECTURAL, ENGINEERING AND OTHER COSTS IN
CONNECTION THEREWITH; PROVIDING FOR THE AWARD OF SAID BONDS;
AUTHORIZING THE EXECUTION OF A BOND REGISTRAR AGREEMENT;
AUTHORIZING AN OFFICIAL STATEMENT; AUTHORIZING THE EXECUTION OF
A CONTINUING DISCLOSURE UNDERTAKING, DTC LETTER AGREEMENT AND
CERTAIN OTHER DOCUMENTS AND THE TAKING OF CERTAIN OTHER
ACTIONS IN CONNECTION WITH THE ISSUANCE AND DELIVERY OF THE
BONDS; AND DECLARING AN EMERGENCY.
It was moved by Knaack, and seconded by Lieberman, to approve Ordinance No.
2714 New Series. Motion carried on a roll call vote, with the following Councilmembers
voting "aye": Clark, Goulet, Lieberman, Knaack, Martinez, and Scruggs. Members voting
"nay": none.
17. DEEDS AND EASEMENTS ORDINANCE
Pamela Hanna, City Clerk presented this item.
This is a request for City Council to adopt an ordinance to formally accept real estate properties
on behalf of the City of Glendale.
The Deeds and Easements Ordinance is comprised of properties that have been deeded to the
City. The deeds have all been recorded with Maricopa County.
The recommendation is to waive reading beyond the title and adopt an ordinance formally
accepting the real estate properties on behalf of the City of Glendale.
Ordinance No. 2715 New Series was read by number and title only, it being AN
ORDINANCE OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA
COUNTY, ARIZONA ACCEPTING DEEDS AND EASEMENTS FOR PROPERTY
CONVEYED TO THE CITY OF GLENDALE.
It was moved by Martinez, and seconded by Knaack, to approve Ordinance No.
2715 New Series. Motion carried on a roll call vote, with the following Councilmembers
voting "aye": Clark, Goulet, Lieberman, Knaack, Martinez, and Scruggs. Members voting
"nay": none.
REQUEST FOR FUTURE WORKSHOP AND EXECUTIVE SESSION
It was moved by Martinez, and seconded by Knaack, to hold a City Council
Workshop at 1:30 p.m. in Room B-3 of the City Council Chambers on Tuesday, December
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15, 2009, to be followed by an Executive Session pursuant to A.R.S. 38-431.03. The motion
carried unanimously.
MOTION TO EXCUSE COUNCILMEMBER FRATE
It was moved by Martinez, and seconded by Clark, to excuse Councilmember Frate
from tonight's Council meeting. The motion carried unanimously.
CITIZEN COMMENTS
There were no citizen comments.
COUNCIL COMMENTS AND SUGGESTIONS
Councilmember Clark commented on the Parks and Recreation Department accreditation. She
stated most of the department's staff was here tonight to witness this honor. She noted the hard
work and sacrifice the department had made to ensure this success. She congratulated and
thanked them for their efforts. She remarked on Glendale Glitters' success on opening night
with an attendance record of 75,000 people. She thanked the marketing staff for their insight and
implementation of a great show. She encouraged everyone to find ways to remember and give to
the troops that were fighting abroad and away from their families. She commented on the two
lease agreements that had been passed tonight. She compared the two lease agreements with the
non-profit lease rate being considerably lower. She wonders why, if staff was able to offer two
different lease agreements in this case, since both buildings were city-owned, why they could not
come-up with a favorable lease structure for the parking garage parking retail spaces.
Councilmember Goulet congratulated and recognized the Park and Recreation Department and
Commission for their great accomplishment tonight. He noted they had worked through difficult
issues and brought tremendous recognition to the city. He also encouraged everyone to shop and
dine in Glendale during this time.
Councilmember Lieberman congratulated the Parks and Recreation Department and Commission
for the tremendous job they had done. He said they had earned every bit of it. lie remarked on
the many people that had attended Glendale Glitters and had a fabulous time. He encouraged
people to attend.
Vice Mayor Martinez also congratulated the Parks and Recreation Department, which not only
met but exceeded the 155 standards. He noted he was proud of the excellent services they
provide the citizens of Glendale.
Councilmember Knaack stated she was very proud of the Parks and Recreation Department
reaching 100% of the requirements. She remarked it was just one more thing that makes her a
proud citizen. She encouraged everyone to give this holiday season. She noted that the
Salvation Army was looking for volunteers and it was a great opportunity to give of someone's
time if not money.
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Mayor Scruggs thanked everyone for their interest and support of the City of Glendale. She was
very sorry that for the very first time, she had missed the open night of Glendale Glitters. She
stated she was pleased and delighted to hear it was an incredible success.
ADJOURNMENT
There being no further business, the meeti ,as adjourned at 7:45 p.m.
Pa e a Hanna- City Clerk
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