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MINUTES OF THE
GLENDALE CITY COUNCIL MEETING
Council Chambers
5850 West Glendale Avenue
April 12,2011
7:00 p.m.
The meeting was called to order by Mayor Elaine M. Scruggs, with Vice Mayor Steven E. Frate
and the following Councilmembers present: Norma S. Alvarez, Joyce V. Clark, Yvonne J.
Knaack, H. Philip Lieberman and Manuel D. Martinez.
Also present were Ed Beasley, City Manager; Horatio Skeete, Assistant City Manager; Craig
Tindall, City Attorney; and Pamela Hanna, City Clerk.
The Mayor welcomed students from the Apollo High School Student Council; Elizabeth Fila,
Jordan Browning, Kimberly Rosa, Sydney Rood, Daniel Delgado, Austin Oulton and Ivan
Cordoba.
COMPLIANCE WITH ARTICLE VII,SECTION 6(c)OF THE GLENDALE CHARTER
A statement was filed by the City Clerk that the 4 resolutions and 2 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 MARCH 22, 2011 CITY COUNCIL MEETING
It was moved by Clark, and seconded by Lieberman, to dispense with the reading of the
minutes of the March 22, 2011 Regular City Council meeting, as each member of the
Council had been provided copies in advance, and approve them as written. The motion
carried unanimously.
PROCLAMATIONS AND AWARDS
RECOGNITION OF COMMUNITY SERVICE FOR ROD PASSMORE
This is a request for City Council to recognize Mr. Rod Passmore for his dedicated service to the
Parks and Recreation Advisory Commission.
This item was pulled administratively as Mr. Passmore was unable to attend.
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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 8 and Ms. Pamela Hanna,
City Clerk,read consent agenda resolution item numbers 9 through 11 by number and title.
Mayor Scruggs stated that a citizen wished to comment on items 1, 2 and 3.
1. SPECIAL EVENT LIQUOR LICENSE, KNIGHTS OF COLUMBUS, ST. JOSEPH
ASSEMBLY 2126
This is a request for City Council to approve a special event liquor license for the Knights of
Columbus, St. Joseph Assembly 2126. The event will be held at St. Helen's Social Center
located at 5510 West Cholla Street on Saturday,April 30, 2011, from 6 p.m. to 11 p.m. The
purpose of this special event liquor license is for a fundraiser.
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.
2. SPECIAL EVENT LIQUOR LICENSE,ASSYRIAN CHURCH OF THE EAST
This is a request for City Council to approve a special event liquor license for the Assyrian
Church of the East. These events will be held at Assyrian Church of the East located at 17334
North 63rd Avenue on April 30, May 21, June 18, July 16, August 28, September 10, October 8
and 30,November 12, and December 31, 2011, from 5 p.m. to 2 a.m. The purpose of this special
event liquor license is for church fundraisers.
If this application is approved, the total number of days expended by this applicant will be 10 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.
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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.
3. LIQUOR LICENSE NO. 5-330, STAYBRIDGE SUITES HOTEL
This is a request for City Council to approve a person-to-person transferable series 7 (Bar - Beer
and Wine) license for Staybridge Suites Hotel located at 9340 West Cabela Drive. The Arizona
Department of Liquor Licenses and Control application (No. 07070084) was submitted by Julie
Rae Hale.
The location of the establishment is 9340 West Cabela Drive in the Yucca District. The property
is zoned PAD (Planned Area Development). The population density within a one-mile radius is
2,759. Staybridge Suites Hotel is currently operating with an interim permit, therefore, the
approval of this license will not increase the number of liquor licenses in the area. The number
of liquor licenses within a one-mile radius is as listed below.
Series Type Quantity
03 Domestic Micro - Brewery 1
06 Bar-All Liquor 8
07 Bar-Beer and Wine 4
10 Liquor Store - Beer and Wine 6
11 Hotel/Motel 1
12 Restaurant 18
Total 38
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 staff's recommendation to forward
this application to the Arizona Department of Liquor Licenses and Control with a
recommendation of approval.
4. CONSTRUCTION AGREEMENT—CHOLLA VISTA APARTMENTS TENANT
IMPROVEMENTS
This is a request for City Council to authorize the City Manager to enter into a construction
agreement with Smith Construction Management, L.L.C. in an amount not to exceed $168,000
for tenant improvements of ten city-owned public housing apartments located at 5320 West
Maryland Avenue.
This request supports Council's goal of one community with strong neighborhoods. The
proposed tenant improvements will provide ten families with affordable housing.
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As part of the ongoing maintenance and modernization programs, the ten city-owned public
housing units will receive a combination of bathroom and kitchen improvements. Bathroom
improvements will consist of new tubs, showers, lavatories, flooring, medicine cabinets, vanities
and lighting. Kitchen improvements will consist of new countertops, cabinets, stoves, garbage
disposals, ranges, range hoods, low-flow faucets, and tile flooring. A total of seven bids were
received, and Smith Construction Management, L.L.C. was identified as the most qualified
responsible bidder.
On March 24, 2009, Council approved the Community Development Block Grant (CDBG)
Action Plan for FY 2009-10, which included the Cholla Vista Apartments Tenant Improvements.
The apartments in the city's three public housing communities are in very good condition due to
ongoing maintenance and modernization programs. The modernization of these homes will
allow the Glendale Community Housing Division to continue to maintain the apartments while
improving the quality of life for public housing residents.
Council approved funding this project during the adoption of the FY 2009-10 CDBG Annual
Action Plan. CDBG funds are required to be obligated within two years and expended within
four years. Funds in the amount of $168,000 are available to construct all proposed tenant
improvements through the approved Community Development Block Grant.
Grants Capital Expense One-Time Cost Budgeted Unbudgeted Total
X $168,000
Account Name, Fund,Account and Line Item Number:
Community Development Block Grant,Account No. 1320-31083-518200, $168,000
The recommendation is to authorize the City Manager to enter into a construction agreement
with Smith Construction Management, L.L.C. in an amount not to exceed $168,000.
5. CONSTRUCTION AGREEMENT WITH SALT RIVER PROJECT FOR
IMPROVEMENTS TO CAMELBACK RANCH WELL SITE
This is a request for City Council to authorize the City Manager to enter into a construction
agreement with Salt River Project (SRP) in an amount not to exceed $57,575 for improvements
to the Camelback Ranch Well site owned by the City of Glendale.
This request supports Council's goal of one community with high-quality services for citizens
through improvements to a Glendale well site that will allow the city to continue to provide high-
quality water to residents and businesses.
As part of this well construction, SRP facilities must be modified or relocated to accommodate
certain improvements and other development needs at the well site.
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On June 8, 2010, Council authorized the City Manager to enter into an intergovernmental
agreement with SRP for the installation of permanent power to the Camelback Ranch Well site.
On June 23, 2009, Sundt Construction, Inc. was awarded a contract to build the Camelback
Ranch Well as part of Zone 4 Groundwater Treatment Plant project.
This project will keep the city in compliance with federal drinking water regulations and
provides an additional water source allowing the city to ensure continued delivery of high-
quality water to the community.
Funding is available in the FY 2010-11 capital improvement plan. There are no operating costs
related to these improvements.
Grants Capital Expense One-Time Cost _ Budgeted Unbudgeted Total
X X $57,575
Account Name, Fund,Account and Line Item Number:
Zone 4 Groundwater Treatment Plant, Account No. 2400-61036-550800, $57,575
The recommendation is to authorize the City Manager to enter into a construction agreement
with Salt River Project in an amount not to exceed $57,575 for improvements to the Camelback
Ranch Well site.
6. PROFESSIONAL SERVICES AGREEMENT FOR PROPERTY CONSULTANT
SERVICES
This is a request for City Council to authorize the City Manager to enter into a professional
services agreement with Coffman Associates, Inc. in an amount not to exceed $178,110 for
property consultant services.
This request supports Council's goal of one community committed to public safety by ensuring
the runway protection zone continues to remain clear of incompatible uses.
The runway protection zone is established by the Federal Aviation Administration (FAA) to
provide an area clear of obstructions and incompatible land uses in order to enhance the
protection of approaching aircraft, as well as people and property on the ground.
The Airport Master Plan identifies and recommends the acquisition of this 36-acre property
located north of Glendale Avenue. This agreement provides the scope of work necessary to
complete the environmental assessment, land survey, and appraisal.
Five responses were received to the request for qualifications that was advertised in October
2010. An evaluation committee comprised of staff from the Airport, Engineering Department,
members of the Aviation Advisory Commission and an executive from an engineering company
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selected Coffman Associates, Inc. which had the highest scoring offer based on similar
experience and other evaluating factors.
On May 12, 2009, Council adopted a resolution adopting the Glendale Municipal Airport Master
Plan Update.
Securing the Airport's runway protection zone is vital for the continued protection of citizens
and property. By obtaining control of properties in the zone, the city can ensure land use and
development are compatible with Airport operations.
Funds are available in the Transportation Services FY 2010-11 capital improvement plan. A
reimbursable grant has been submitted and is anticipated from the FAA and the Arizona
Department of Transportation in an amount up to $173,657. There are no operating costs
associated with this agreement.
Grants Capital Expense One-Time Cost Budgeted Unbudgeted Total
X X $178,110
Account Name, Fund,Account and Line Item Number:
Airport Matching Funds,Account No. 2210-65078-550800, $178,110
The recommendation is to authorize the City Manager to enter into a professional services
agreement with Coffman Associates, Inc. in an amount not to exceed $178,110 for property
consultant services.
7. PROFESSIONAL SERVICES AGREEMENT FOR AIRPORT RUNWAY
IMPROVEMENTS
This is a request for the City Council to authorize the City Manager to enter into a professional
services agreement with Z & H Engineering, Inc. in an amount not to exceed $83,235 for the
design and construction administration services for runway improvements.
This request supports Council's goals of one community with high-quality services for citizens
by enhancing,safe air travel.
The Airport Master Plan includes several enhancement projects. Funding from federal and state
sources has been secured to complete four safety enhancement projects. The projects consist of
relocating and modifying existing blast fences, relocating the existing south end wind cone, ramp
surface marking improvements, and design of new blast pads at the south and north ends of the
runway. Completing these projects will enhance safety at the Airport.
A request for proposal was advertised in December 2010 and one response was received. The
response from Z& H Engineering, Inc. was deemed qualified and responsive.
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On February 22, 2011, Council adopted a resolution authorizing the City Manager to accept the
Arizona Department of Transportation (ADOT) Aviation Division match grant in the amount of
$8,587.
On August 31, 2010, Council adopted a resolution authorizing and ratifying the entering into a
grant agreement to accept Federal Aviation Administration (FAA) Grant #3-04-0064-020-2010
in the amount of$326,307 to relocate existing features and restripe aircraft traffic areas.
The Glendale Airport plays a major role in meeting the increasing demand for mixed aviation
services in the West Valley. The improvements identified provide for enhanced safety of air
travel.
Grant funding is available through the FAA and ADOT. Matching funds are available in the FY
2010-11 Transportation Services capital improvement plan. There are no operating costs
associated with this project.
Grants Capital Expense One-Time Cost Budgeted Unbudgeted Total
X X $83,235
Account Name, Fund,Account and Line Item Number:
Airport-RSA Remove Blast Fence, Account No.2120-79516-550800, $81,154
Airport Matching Funds, Account No. 2210-65078-550800, $2,081
The recommendation is to authorize the City Manager to enter into a professional services
agreement with Z & H Engineering, Inc. in an amount not to exceed $83,235 for the design and
construction administration services for runway improvements.
8. AWARD OF CONSTRUCTION MANAGER AT RISK AGREEMENT- PROMENADE
AT PALMAIRE TENANT IMPROVEMENTS
This is a request for City Council to authorize the City Manager to enter into a Construction
Manager at Risk (CMAR) Agreement with Haydon Building Corp. to provide construction
services for the tenant improvements at the Promenade at Palmaire, located at 5835 West
Palmaire Avenue for the guaranteed maximum price of$998,869.
This agreement addresses Council's goal of one community with a vibrant city center by
continuing the revitalization of the downtown area as part of the Glendale Centerline project.
The relocation of Southwest Ambulance's West Valley headquarters to the Promenade at
Palmaire supports a key objective of the goal.
The Promenade at Palmaire was completed in 2008 and includes approximately 10,800 square
feet of ground level tenant space along West Palmaire Avenue. Southwest Ambulance has
leased approximately 10,000 square feet of this space from the city for their Northwest Valley
operations. This agreement will provide the necessary construction services to convert the gray
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shell space to usable tenant space. The city's portion of the construction of these improvements
is $631,885;the remaining $366,984 is paid by Southwest Ambulance.
The city will utilize the Construction Manager at Risk process for the construction of the tenant
improvements at the Promenade at Palmaire. In December 2010, a request for qualifications
(RFQ) was advertised and sent to contracting firms. Ten firms responded to the RFQ. A
selection committee, consisting of staff from Southwest Ambulance, Community Development,
Engineering, and an executive from a construction firm selected Haydon Building Corp. as the
best qualified contractor to provide the required services.
On February 8, 2011, Council approved a professional services agreement with Dick & Fritsche
Design Group Inc. for the design and construction administration services for the tenant
improvements at the Promenade at Palmaire.
This project completes the available space at the Promenade at Palmaire, allowing Southwest
Ambulance to relocate into the Centerline area and approximately 70 new jobs will be generated
by this activity.
The total construction contract price is $998,869. Funding for this project is available in FY
2010-11 capital improvement plan. There are no additional operating costs to the city associated
with this project, as the tenant will be responsible for these costs.
Grants Capital Expense One-Time Cost Budgeted Unbudgeted Total
X X $998,869
Account Name, Fund,Account and Line Item Number:
Promenade Parking/Tenant Imps., Account No. 1980-68120-550800, $998,869
The recommendation is to authorize the City Manager to enter into a Construction Manager at
Risk Agreement with Haydon Building Corp. to provide construction services for the tenant
improvements at the Promenade at Palmaire, located at 5835 West Palmaire Avenue for the
guaranteed maximum price of$998,869.
CONSENT RESOLUTIONS
9. LICENSE AGREEMENTS WITH MARICOPA COUNTY FOR AIR QUALITY
MONITORING SITES
This is a request for City Council to adopt a resolution authorizing the issuance of two license
agreements to Maricopa County for the installation and operation of air quality monitoring sites,
one at Fire Station 154, and one at City Well Site No. 7.
This request supports Council's goal of one community with high-quality services for citizens by
allowing the installation of monitoring facilities that will collect data used in monitoring air
quality within the County.
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As part of a valley wide project, Maricopa County is installing air quality monitoring facilities in
various locations within the city, and two of the sites selected are located on city properties.
Maricopa County requested licenses from the city to install and operate air quality monitoring
equipment at Fire Station 154 and at City Well Site No. 7. Fire and Utilities Department staff
has worked with Maricopa County to identify sites that would not impede the city's use of its
properties. Granting this permission to Maricopa County requires a license agreement for each
site.
The installation of these air quality monitoring facilities in Glendale will allow for additional
data to be collected by Maricopa County's Air Quality Division. That information is used in
determining the daily Air Quality Index and compliance with the Clean Air Act, both of which
promote improving and protecting air quality for the residents of Maricopa County.
As part of the license agreements, Maricopa County will pay the city the standard amount of
$600 annually for each site. There are no costs to the city associated with these agreements.
The recommendation is to waive reading beyond the title and adopt a resolution authorizing the
issuance of two license agreements to Maricopa County for the installation and operation of air
quality monitoring sites,one at Fire Station 154 and one at City Well Site No. 7.
Resolution No. 4469 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 ISSUE TWO
LICENSE AGREEMENTS TO MARICOPA COUNTY FOR THE INSTALLATION AND
OPERATION OF AIR QUALITY MONITORING SITES IN THE CITY OF
GLENDALE.
10. MEMORANDUM OF UNDERSTANDING WITH THE UNITED STATES SECRET
SERVICE
This is a request for City Council to adopt a resolution authorizing the City Manager to enter into
a memorandum of understanding with the United States Secret Service (USSS) to establish a
partnership with the USSS Electronic Crimes Task Force.
This request supports Council's goal of one community committed to public safety by enabling
the Police Department to participate in a valley-wide effort to investigate instances of electronic
criminal activity.
The USSS Electronic Crimes Task Force is an established group of agencies that have
successfully investigated and prosecuted organized groups and individuals involved in various
electronically based crimes and fraud schemes. The task force is in need of greater West Valley
participation in order to more effectively investigate crime occurring in the West Valley. Two
detectives will be assigned to assist the task force on an as-needed basis. The task force will
cover the cost of overtime and training for the detectives.
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The USSS Electronic Crimes Task Force will enhance the effectiveness of federal, state, and
local law enforcement resources through a well coordinated initiative seeking the most effective
investigative and prosecuting avenues by which to convict and incarcerate those involved,
thereby providing better services to the residents of Glendale.
The recommendation is to waive reading beyond the title and adopt a resolution authorizing the
City Manager to enter into a memorandum of understanding with the United States Secret
Service to establish a partnership with the United States Secret Service's Electronic Crimes Task
Force.
Resolution No. 4470 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 ENTERING INTO OF A MEMORANDUM
OF UNDERSTANDING WITH THE UNITED STATES SECRET SERVICE (USSS)
ESTABLISHING THE PROCEDURES AND RESPONSIBILITIES FOR THE
REIMBURSEMENT OF OVERTIME COSTS AND OTHER EXPENSES INCURRED
BY THE GLENDALE POLICE DEPARTMENT AS PART OF THE USSS'
ELECTRONIC CRIMES TASK FORCE.
11. MEMORANDUM OF UNDERSTANDING ARIZONA CHILD ABDUCTION RESPONSE
TEAM
This is a request for the City Council to adopt a resolution authorizing the City Manager to enter
into a memorandum of understanding to participate in the Arizona Child Abduction Response
Team (AzCART).
This request supports Council's goal by providing high-quality services for citizens by
improving the law enforcement response to child abductions.
The AzCART is made up of specialized investigators from participating law enforcement
agencies throughout the valley. Participating agencies are able to request or render specialized
investigative and law enforcement assistance in cases involving child kidnapping, abduction and
false imprisonment. Entering into this agreement will allow the Police Department to receive
and extend mutual aid in the event one of these serious crimes occurs.
Participation in this agreement is advantageous because it allows the Police Department to
receive and extend law enforcement services and resources to adequately respond to child
abductions.
Waive reading beyond the title and adopt a resolution authorizing the City Manager to enter into
a memorandum of understanding to participate in the Arizona Child Abduction Response Team
(AzCART).
Resolution No. 4471 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 ENTERING INTO OF A MEMORANDUM
OF UNDERSTANDING FOR THE CREATION AND PARTICIPATION IN THE
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ARIZONA CHILD ABDUCTION RESPONSE TEAM BY THE GLENDALE POLICE
DEPARTMENT.
Mayor Scruggs called Ms. Francine Romesburg forward, who wished to speak on Items 1,
2,and 3.
Francine Romesburg, a Barrel resident, stated there were 38 facilities within Glendale selling
liquor and the city ran smoothly, with no problem. Therefore, the city's argument that a casino
will cause the city problems just because they will also sell liquor was unfounded. She noted
other facilities that sold liquor such as restaurants were no different. She also had questions
regarding liquor licenses and city security for these venues. Mayor Scruggs asked Mr. Beasley
to have staff contact Ms. Romesburg and address her questions.
It was moved by Frate and seconded by Knaack, to approve the recommended actions on
Consent Agenda Item Nos. 1 through 11, including the approval and adoption of
Resolution No. 4469 New Series, Resolution No. 4470 New Series, and Resolution No. 4471
New Series; and to forward Special Event Liquor License Applications for Knights of
Columbus, St. Joseph Assembly and Assyrian Church of the East and Liquor License
Application No. 5-330 for Staybridge Suites Hotel 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 EASEMENTS AT CAMELBACK RANCH -GLENDALE
Larry Broyle, P.E., City Engineer, presented this item.
This is a request for City Council to adopt an ordinance granting two easements in favor of Salt
River Project (SRP). The easements are for power distribution lines installed at Camelback
Ranch - Glendale.
Granting the easements supports Council's goal of one community with high-quality services for
citizens by enabling SRP to relocate its power distribution lines to accommodate roadway
improvements.
SRP provided the required facilities for power distribution to Camelback Ranch - Glendale. To
protect its electrical facilities in the new locations, SRP has requested easements from the city.
The recommendation is to waive reading beyond the title and adopt an ordinance granting two
easements in favor of Salt River Project for the relocation of power distribution lines at
Camelback Ranch - Glendale.
Ordinance No. 2768 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 TWO
EASEMENTS IN FAVOR OF SALT RIVER PROJECT FOR POWER DISTRIBUTION
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LINES INSTALLED AT CAMELBACK RANCH - GLENDALE; AND ORDERING
THAT A CERTIFIED COPY OF THIS ORDINANCE ALONG WITH THE
EASEMENTS BE RECORDED.
It was moved by Martinez, and seconded by Knaack, to approve Ordinance No.2768 New
Series. Motion carried on a roll call vote,with the following Councilmembers voting "aye":
Alvarez, Clark, Lieberman, Knaack, Martinez, Frate, and Scruggs. Members voting
"nay": none.
13. CHAPTER 33 CITY CODE AMENDMENT
Diane Goke, Finance Director, presented this item.
This is a request for City Council to adopt an ordinance amending Chapter 33, Section 33-40 of
the Glendale City Code. The amendment provides changes to the language in the City Code that
addresses the utilities deposit.
In keeping with Council's goal of one community that is fiscally sound, the Finance Department
has completed an analysis demonstrating the necessity for an adjustment to the utilities deposit
and the manner in which a deposit is refunded.
With the recommended increase to the deposit fee, the proposed changes to the ordinance will
give the Finance Director authority to set an administrative procedure defining the manner in
which deposits on utilities accounts are refunded or retained on a utility account.
On February 22, 2011, Council adopted a notice of intent to increase the deposit for new
residential and commercial account for water, sewer, and sanitation services effective May 16,
2011, and set the date for the public hearing.
Increasing the deposit amount for new water accounts to the calendar year 2010 usage as well as
establishing a deposit return policy will allow the city to better manage those accounts that
become delinquent. Avoiding losses due to delinquency is one of many ways the city
demonstrates its commitment to providing water, sewer, and sanitation at the lowest rates
possible. Staff has also received favorable support on this measure from the realtor community.
The recommendation is to waive reading beyond the title and adopt an ordinance amending
Chapter 33, Section 33-40 of the Glendale City Code.
Councilmember Clark read section "c" which authorized the Finance Director to increase a
utility deposit as much as five-times. She asked under what circumstances would the Finance
Director choose to increase a deposit amount five-times as they are allowed to do under the
current code. She stated the proposed increased utility deposit is $200 so five-times would be
$1,000. Diane Goke, Finance Director, stated the provision was there just in case a resident was
continually delinquent on their account. As a result, should the city turn off the water, they
would have the right to charge up to five-times the amount of the deposit to reinstate it.
Councilmember Clark reiterated the question of under what basis staff would make a
determination to charge anyone five-times the regular deposit just because of a delinquent
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history. Ms. Goke explained they would be taking their entire history into account when making
any determination. Councilmember Clark noted this was not a change from the current code;
however, the current deposit was only $82 which means currently it would be five-times $82
which would equal $410.
Mayor Scruggs stated she had similar concerns when reading this recommendation. However,
noted this applies to commercial facilities as well. She asked what the typical utility bill for a
commercial user was. Ms. Goke stated she did not have those figures, but noted it varied quite a
bit. Mayor Scruggs asked if this applied more to commercial accounts. Ms. Goke explained it
actually applied more to residential accounts that have major issues. Mayor Scruggs asked if
they have had situation where the five-times deposit has occurred. Mr. Goke replied yes, staff
has had to apply this directive to repeatedly delinquent accounts. Mayor Scruggs asked Mr.
Horatio Skeete, Deputy City Manager,to explain further.
Mr. Skeete explained that some of those accounts were delinquent to the excess of$2000. He
noted the city currently has over a million dollars in delinquent outstanding accounts. He
indicated the $200 dollars was an average bill for 11/2 months, which was the 45 days of
delinquency they currently allow before the city turns off utilities. He stated the purpose of
having this provision was a way to handle those repeatedly delinquent accounts. Additionally, it
provides the flexibility to use the customer's billing history as a guide.
Councilmember Martinez noted staff had informed him that other cities in the valley had similar
deposits. He inquired as to what the procedure was when they have to apply the five-times
delinquent deposit. He asked if it was required on the first or third delinquency. Ms. Goke
explained the customer would have a very long history of repeated delinquency before they
would have to apply the five-times deposit.
Councilmember Clark stated she was not opposed to the concept or the $200 deposit; however,
still believed the five-times $200 was egregious. Ms. Goke explained this ordinance allows staff
the flexibility to waive good payment accounts while handling repeated delinquent accounts
accordingly. Councilmember Clark read the four criteria utilized to determine whether to apply
this high deposit. She stated a problem she saw with number four which read "and any other
relevant factors described in administrative procedures". She questioned what those factors
were. Mr. Goke explained they typically looked at the first three criteria; however, there might
be another area to examine and would like to have all the factors available. Councilmember
Clark reiterated her comments that she was not against recouping delinquent fees; however,
believes these deposit fee provisions were excessive. Additionally, the waiving of utility deposit
fees does not apply to renters. Ms. Goke stated she was correct. Councilmember Clark restated
she was not happy with the five-times $200 provision and in light of that; she most probably will
not support this.
Councilmember Lieberman commented on the commercial businesses and their struggle to stay
in business. He indicated the city should try and support small businesses, not make it harder for
them. He agrees with Councilmember Clark that the fees were too much and he cannot support
the five-times either. He believes it was too much of a penalty to put on businesses and
residents. He added he would like to see it reduced to possibly three times the deposit.
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Mayor Scruggs remarked this only applies to new accounts. Therefore, Councilmember
Lieberman's concerns for existing small businesses will not be affected. Ms. Goke explained
this ordinance gives staff the flexibility to address extremely delinquent accounts. The next
agenda item ordinance deals with the deposit portion, which will be for new customers. She
added they did not want to put anyone out of business and this will only be used in extreme
cases.
Councilmember Knaack commented this provision was not only being punitive, but also
provided staff the ability to waive account fees in certain circumstances in order to help people.
She added the increase to a $200 deposit fee was also due to inflation. Ms. Goke agreed. She
explained that one of the flexibilities staff wants is to be able to waive deposits for long-time
residents with good paying histories as well as apply certain circumstances for winter residents
that have had a good payment history. She added Glendale was not the only city using this
practice. Councilmember Knaack asked how many delinquent offenders the city currently has.
Ms. Goke noted that in any given week, they have between 250 to 300 delinquent accounts
which they disconnect, out of 60,000 residential accounts.
Vice Mayor Frate commented that some people have different priorities when paying their bills.
He stated that for some it was not that important when they can spend the money elsewhere. He
noted the five-times fee was extreme; however, the city did have chronically delinquent
accounts. Also, he indicated people get their deposit back if they had a good payment history
when they move. He remarked Glendale was not the only city recommending this process. Ms.
Goke stated he was correct.
Councilmember Alvarez stated staff had assured her they will check accounts periodically to
ensure accounts do not become out of control. She noted the account staff needed particularly to
keep checking on small businesses and ranch-type home accounts. Mayor Scruggs agreed and
stated the ranch-type homes were very large and use a lot of utilities, especially water. She noted
they were on a much higher billing tier than most average homes.
Councilmember Lieberman commented on Ordinance 2769 not saying anything about the five
times the deposit only being for new accounts. Ms. Goke explained he was correct; however, it
was in their administration procedures. Councilmember Lieberman stated they were not voting
on an administrative procedure, but on an ordinance that will become law and the word "new"
should be added if that was the intention.
Councilmember Clark remarked there will always be bad people who will abuse the system. She
agrees the $200 deposit should cover a delinquent account after 45 days as well as administrative
procedures. Therefore, she questioned the need for the five-times deposit if the city's cost would
be covered by the $200. She sees the five-times deposit as being strictly a punitive measure by
the city. She added she was not opposed to being punitive; however, this was being too punitive
in her view.
Councilmember Martinez asked what most cities were doing. Ms. Goke stated it varied by city;
however, some can charge up to five-times to allow for flexibility. Ms. Goke reiterated the five-
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times fee was done only in very rare•and extreme cases. Councilmember Martinez noted he did
not have a problem with this since it will be punitive only to a very small percentage and only to
the worst offenders.
Councilmember Alvarez remarked that possibly the wording might be modified since the
decision to charge this fee was only being done by one person. She noted she was bothered by
that fact and hopes there were more decision-makers involved. She added there was too much
responsibility and authority given to one person and the customer was at their mercy. Ms. Goke
explained this does give the power and authority to the Finance Director; however, the decision
was not made by only one person. It involved a lot of factors and many other departments were
involved. Councilmember Alvarez inquired if that was the case, can the language be modified.
Mayor Scruggs remarked they would have to receive some guidance to see what can be done to
clarify staffs intent. Mr. Ed Beasley, City Manager, stated they can possibly clarify the process
as per Charter rules and regulations. He added this process should not be onerous and noted this
had been in place since 1992. He stated staff had worked extensively with the realtors to find out
the fair business standard. As a result, the recommendation from the business community was
what was being presented. He indicated staff was asking for the flexibility to charge up to five-
times the deposit only for repeat offenders and only in extreme cases.
Mayor Scruggs commented the city had possibly gotten into this mess through being lax over the
years. However, the economy then changed and they started examining things closer and stricter
instituting business practices. She stated the delinquent accounts were 1/2 of 1% of all the utility
accounts in the city. She noted the city currently has some accounts that are delinquent in excess
of $2,000 which meant there was a problem. She reiterated Councilmember Alvarez's
suggestion of modifying the wording to produce a greater comfort level. She asked Mr. Craig
Tindall, City Attorney, if this could be done and what would be the procedure. He explained
they can include specific language about administrative process; however, this was not a
situation where the Finance Director can make any decision alone since there were many factors
involved.
Councilmember Alvarez asked if the public had any opportunity to comment on this item as did
the business community. Ms. Goke stated the next agenda item dealing with the increase in the
deposit, was an open hearing.
Mayor Scruggs explained two months ago, the city was on the verge of losing all ability to
establish any deposits whatsoever. Because of how Glendale was administering this process, a
member of the legislator took issue with Glendale and a few other cities. As a result, they were
in danger of not recouping any deposits for delinquencies and were directed to work with a
specific group. She added it had been a very close call and that was why they were at this point
today.
Councilmember Clark explained they were dealing with two different issues. Item 13 dealt with
code and how the deposit will be administered. Item 14 sets the rate of the deposit. She believes
no one had a problem with Item 14 and they were comfortable with the $200 deposit. She stated
the issue was with Item 13 and the administrative procedure. She explained Glendale might not
be the only city charging three-times the deposit if they decide on that amount since Ms. Goke
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stated most cities varied both high and low. Councilmember Clark told a story of a struggling
family not being able to pay their water bill then received additional penalties that they also
could not pay. She noted the economy was very difficult for some at the moment and it wasn't
always the bad guys that don't pay, but also average people. She added when the time came, she
will offer an amendment to modify the five-times to three-times for residential because that
provided at least a little relief for citizens.
Mayor Scruggs remarked this was a matter of trust and how much Council trusted staff to make
the right decision. She told a story of a business owner that had fallen on hard times with their
water bill and how the city was able to resolve it after the situation was reviewed. Therefore, she
believes this was not a one-way street and was really a matter of trust. She supports the five-
times on commercial and understands Councilmember Clark's suggestion of three-times for
residential. She asked Mr. Skeete to respond and explain further. Mr. Skeete noted the accounts
that were delinquent by $2000 were typically commercial. He explained other issues were
customers finding ways to reconnect themselves without the city's knowledge. Mayor Scruggs
asked Mr. Skeete to comment on Councilmember Clark's suggestion of amending residential to
three-times and leaving commercial to five-times. Mr. Skeete believes that amending it to three-
times does not harm the city and would be adequate since the percentage of accounts was very
low. He added the five-times fee was actually placed more as a deterrent.
Councilmember Knaack remarked how this issue had been in front of them for over a year and
finds it odd they were now having such a lengthy discussion on it. She noted staff had worked
very hard to bring a fair and equitable agreement on this item. She stated she had no problem
with the five-times and believes it was a good ordinance the way it was written and supports it as
is.
Councilmember Alvarez stated she did not have a problem with the five-times and only asked
that staff keep track on the accounts which will decrease the need for the five-times deposit. She
reiterated staff had assured her they would. She still questioned the wording on who had the
final authority on this decision.
Councilmember Martinez stated he supports the ordinance as written.
It was moved by Lieberman to table items 13 and 14. The motion failed to move forward
due to lack of a second.
It was moved by Clark, and seconded by Scruggs, to amend the ordinance, for the
paragraph small letter c, to read the Finance Director may reduce,waive or increase up to
three-times the deposit on residential accounts and up to five-times the deposit on
commercial accounts established by resolution based on the following factors.
Mayor Scruggs expressed her support for the amendment. She commented on several situations
where people had come to the city for help. She said in some instances, things were so bad her
staff had purchased groceries out of their own money. Therefore, since Mr. Skeete stated that
changing it to three-times for residential would not be a hardship on the city's finances, she
supports this amendment. Mr. Tindall agreed with the motion, however, asked to clarify it.
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City Attorney, Craig Tindall, restated the amendment to conform with City Code criteria
as follows: under paragraph c, the Finance Director may reduce or waive or increase for
residential property up to three-times the deposit established by resolution, and for
commercial property up to five-times the deposit established by resolution.
Councilmember Clark accepted the restated amendment. The motion failed with Alvarez,
Clark and Scruggs voting"aye" and all other members voting"nay".
Ordinance No. 2769 New Series was read by number and title only, it being AN
ORDINANCE OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA
COUNTY, ARIZONA, AMENDING GLENDALE CITY CODE, CHAPTER 33 (WATER,
SEWERS AND SEWAGE DISPOSALS), ARTICLE II (WATER), SEC. 33-40
RELATING TO DEPOSITS; AND ESTABLISHING AN EFFECTIVE DATE.
It was moved by Frate, and seconded by Martinez, to approve Ordinance No. 2769 New
Series. Motion carried on a roll call vote,with the following Councilmembers voting"aye":
Alvarez, Knaack, Martinez, Frate, and Scruggs. Members voting "nay": Clark and
Lieberman.
PUBLIC HEARING-RESOLUTIONS
14. INCREASE TO UTILITIES DEPOSIT FOR NEW ACCOUNTS (RESOLUTION)(PUBLIC
HEARING REQUIRED)
Diane Goke, Finance Director, presented this item.
This is a request for City Council to conduct a public hearing and adopt a resolution increasing
the deposit for new residential and commercial accounts for water,sewer, and sanitation services
effective May 16, 2011. This increased deposit has no effect on monthly utility bills and is only
paid by new customers.
In keeping with Council's goal of one community that is fiscally sound, the Finance Department
has completed an analysis demonstrating the necessity for this deposit adjustment.
In 2010, the State of Arizona passed legislation that prevented municipal water providers such as
Glendale from collecting on delinquent accounts from anyone other than the person who receives
water and wastewater services. As a result of this new law, the Utilities Department changed the "
policy in September 2010 that the city would only contract with the property owner for service.
This was not well received by the realtor associations, and following numerous meetings over
the past few months the city has reached an alternative solution that was agreed to and supported
by the realtor associations. City staff agreed to review the current deposit requirements for the
city's residential and commercial accounts that use the city's water, sewer, and sanitation
services. The purpose of the analysis was to reassess the amount collected for new residential
and commercial water accounts to determine if this amount covers the costs associated with
delinquent accounts and the associated water shut-off procedures.
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The current deposit fees were established in 1992 and adjusted per the Consumer Price Index
Urban Users (CPIUU) beginning in July 2002, with the exception of the commercial deposit of
meters measuring up to one and a half inches, which was increased in July 2007. In 1992,this
deposit represented two-month's worth of the average residential/commercial water, sewer, and
sanitation bill. Accounts that become delinquent and require shut-off typically have
approximately two months of unpaid water, sewer, and sanitation service charges. The deposit
would cover the unpaid charges as well as the staff costs associated with turning off delinquent
accounts.
In reassessing the average residential monthly water, sewer, and sanitation bills for calendar year
2010 usage, it was determined that the deposit fee should be increased from $84.20 to $200 to
reflect current costs. For owner-occupied residential accounts, the deposit is refundable to
property owners whose account remains in good standing for at least six consecutive months and
who submit a written request for a refund. Due to the nature of the rental property accounts, the
deposit will be kept until the account is closed and final reconciliation is complete; at that time
any remaining funds will be returned to the account holder.
In reassessing the average commercial monthly water and sewer bills for calendar year 2010
usage, the deposit fee should be increased from $130.98 to $250 for meters measuring up to one
and a half inches and from $168.42 to $300 for meters measuring two inches and larger.
Deposits for commercial accounts would remain on the account until it is closed.
These proposed deposit amounts for residential and commercial accounts are comparable to
other valley cities including Avondale, Mesa,Peoria, and Scottsdale. This increased deposit has
no effect on monthly utility bills and is only paid by new customers.
The Arizona Association of Realtors and the West Maricopa County Regional Association of
Realtors provided the city letters of support regarding these proposed changes.
On February 22, 2011, Council adopted a notice of intent to increase the deposit for new
residential and commercial account for water, sewer, and sanitation services effective May 16,
2011, and set the date for the public hearing.
On May 8, 2007, Council adopted the Utilities Miscellaneous Customer Service Fees which
included an increase to the commercial deposit of meters measuring up to one and a half inches
from $80 to$120 with an annual CPIUU increase.
Council adopted an increase to the residential and commercial water deposits with an effective
date of January 1, 1992.
Increasing the deposit amount for new water accounts to the calendar year 2010 usage allows the
city to better manage those accounts that become delinquent. Avoiding losses due to
delinquency is one of many ways the city demonstrates its commitment to providing water,
sewer, and sanitation at the lowest rates possible.
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On March 3, 2011, the Notice of Public Hearing for the proposed increase was published in The
Glendale Star.
On January 25, 2011, staff met with and received full support from the Arizona Association of
Realtors and the West Maricopa County Regional Association of Realtors regarding the increase
to the deposit fees.
The recommendation is to conduct a public hearing, waive reading beyond the title and adopt a
resolution increasing the water deposit amount for residential and commercial customers with an
effective date of May 16, 2011.
Resolution No. 4472 New Series was read by number and title only, it being A
RESOLUTION OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA
COUNTY, ARIZONA, AMENDING THE WATER DEPOSIT FEE SCHEDULE TO
BECOME EFFECTIVE MAY 16,2011.
Mayor Scruggs opened the public hearing on Agenda Item No. 14.
Wendy Villa, West Maricopa Association of Realtors, stated they were one of the largest local
realtors' associations in Arizona representing more than 6000 members that included
commercial, residential and property management. She was here to express their support for this
resolution. They are pleased to have worked with the city of Glendale on this very critical issue.
She explained that although it was rare for their organization to support an increase of a fee, they
understand this was a necessary change to achieve their ultimate policy goal of allowing both
property owners and tenants to hold utility accounts. This new policy will enable the city to
cover the average delinquent bill, which will create more fiscally prudent policies for the city,
benefiting all residents.
George Sprankle, a Cactus resident, stated he was against this increase. He said the deposit
increase for new residents will cause people not to want to move to Glendale. He commented
about the many vacant homes, empty apartments and vacant strip malls around the city. He said
that any extra burden may cause people to move or go someplace else where they can get a better
deal. He noted Glendale had the highest rate for sales tax, utility fees and property tax. He
recommends enticing people to come to Glendale, not discouraging them.
Valerie Roller, a Cactus resident, stated her opposition to this item. She indicated this increase
was more than a 100% increase and finds it completely unacceptable. She noted her research
showed that Peoria charges a $250 deposit for their water and she would not consider moving
there. She sympathizes that the current economy has adversely affected the city; however, it has
also affected the citizens of Glendale. She questioned why the city wanted to impose an extra
burden on potential citizens of this city. She noted the deposit was refundable if they owned the
residence and only after six months, but this did not apply to renters. She believes renters should
have the same rights.
Mayor Scruggs closed the public hearing. She asked for'any additional comments from the
Council.
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Councilmember Clark commented that as noted earlier by Councilmember Knaack, the Council
had been studying this item for a year. The city had recently crafted an ordinance with
stakeholders to deal with Glendale's problem of ensuring deposits cover any potential
delinquency. She stated she was comfortable with the $200 and added it was reasonable in light
of the services being provided and in comparison with other cities. She said that if other cities
were not charging a higher fee,they soon will be.
It was moved by Knaack, and seconded by Martinez, to pass, adopt and approve
Resolution No. 4472 New Series. The motion carried with Lieberman voting nay.
REQUEST FOR FUTURE WORKSHOP AND EXECUTIVE SESSION
It was moved by Frate, 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, April 19, 2011, to be followed
by an Executive Session pursuant to A.R.S. 38-431.03. The motion carried unanimously.
CITIZEN COMMENTS
Sherry Marquez, a Cactus resident, stated she is a member of the Tohono O'odham Nation and
also a 14-year resident of Glendale. She stated her support of the west valley resort and casino.
She noted there were 38 other liquor licenses in the square mile of the soon-to-be resort.
However, questions why some Councilmembers continue to pick on the casino and talk about all
the supposed drunks coming out of the casino when they have so many other liquor licenses in
the area. She recommends the Council have further discussion with the Nation to see if they
could come to an agreement. On another matter, she said if any city official was involved in the
Fiesta Bowl shenanigans,they should be fired.
Arthur Thruston, a Cactus resident, commented on late notices and how in his lifetime he has
also had them; not only bad guys had a run of bad luck. He expressed his support both for the
Coyotes staying in Glendale and the casino. He remarked on a newspaper article stating that Mr.
'Jerry Colangelo asked Mr. Beasley to contact him to discuss a basketball enterprise. He believes
the Coyotes, basketball and the casino can all be put together in Glendale successfully. He asked
the Mayor, Mr. Beasley and staff call him.
Francine Romesburg, a Barrel resident, stated her support for the casino. She explained the
casino location was far away from schools. She mentioned all the other liquor/gambling venues
around the city and how it did not affect families negatively. Therefore, to continue to fight a
casino when liquor/gambling was everywhere was unproductive, especially when it will bring
jobs and revenue into the city. She listed the many ways teenagers beat the system with many
other things so she stated the casino should not be singled out. She noted the more she studies
this issue, the more she disagrees with the Council's direction.
Yvonne Urquiza, a Cactus resident, stated her support of the west valley resort casino, she is
registered with the Tohono O'odham Nation and has been a Glendale resident since 1972. She
believes the casino will complement Glendale and asks that business and politics be set aside and
for the city to open up negotiations with the Nation.
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Robert Casares, an Ocotillo resident, stated he was shocked the city continues to do business
with Mr. Gary Husk. He noted the negative publicity Mr. Husk has continued to have and
Glendale keeps working with him and paying him a fee. He indicated the city needs to
reconsider their relationship with Mr. Husk to avoid any link of corruption associated to the city
He suggested Mr. Husk's fee can be better spent in other areas of the city. He expressed his
appreciation for what the Council had done for the city; however, they need to listen to what the
public is saying about the casino.
COUNCIL COMMENTS AND SUGGESTIONS
Councilmember Alvarez asked that the city of Glendale separate themselves from any
individuals that are currently being investigated until the investigations are complete. She noted
police and doctors were often placed on leave pending any investigation and the City should do
the same.
Councilmember Clark stated at every recent Council meeting people have come to speak in favor
of the casino and she respects and listens to their rationale. However, at some point, she wishes
they would listen to why she opposes the casino and her reasons for doing so. She also discussed
this weekend's Jazz and Blues Festival on a very chilly Saturday. She stated the music was
wonderful and the festival had some of the best blues and jazz performers the city ever had. She
encouraged everyone to attend next year's festival.
Councilmember Lieberman agreed with Councilmember Alvarez in regards to distancing
themselves from people being investigated. He stated he has already suggested that very issue to
Mr. Beasley. He noted he had a hard time charging a new resident a $200 deposit when the city
was paying two lobbyists $216,000. He expressed his support for the casino and believes it's the
best thing that can happen to the restaurants, businesses and hotels because it will draw people to
that area. He encouraged anyone who enjoyed great jazz music to consider going to Wilcox,
which was the home of the Marty Robbins festival.
Vice Mayor Frate stated that Saturday, he attended Relay for Life, a fund raiser to fight cancer
held at GCC. At the event, he read a proclamation proclaiming Relay for Life Day and spoke on
all the good things they do in the community. He noted it had been raining that day; however,
when it was time for the cancer survivors to come out and walk, the rain stopped and a double
rainbow appeared. He commented that Mayor Scruggs has been cancer free for two years and
was a cancer survivor. He also attended the Jazz and Blues Festival and had a wonderful time
listening to the superb music being played by great talent. He reminded everyone to watch
children around water as well as always use car restraints for small children riding in vehicles.
Councilmember Martinez commented on the discussion regarding the people accused of wrong-
doing in the Fiesta Bowl issue. He stated that in America, people are innocent until proven
guilty. He remembers a bad experience he once had and knows from experience things may
change. He stated that until those charges are proven, they should not take any action against
anyone and does not believe it is the right thing to do. He stated he attended the Jazz and Blues
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Festival on Sunday, and had a great time there was a large crowd. He thanked staff for a job well
done. He also thanked everyone who attended his district meeting on Sunday.
Councilmember Knaack remarked on her attendance at the Relay for Life. She noted she could
only stay until 10:00 pm because it was so cold. She stated this was a wonderfully touching
event that everyone should attend at least once. She commented on the great Jazz and Blues
Festival and how well it was attended on Sunday. She also thanked staff for the wonderful job
they do every year on this event.
Mayor Scruggs thanked everyone for attending tonight's meeting.
ADJOURNMENT
There being no further business, the meeti•: was adjourned at 8:55 p.m.
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Pamela Hanna- City Clerk
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