CITY OF PEORIA, ARIZONA
COUNCIL CHAMBER
February 7, 2006



A Regular Meeting of the City Council of the City of Peoria, Arizona was convened at 8401 W. Monroe Street in open and public session at 7:00 p.m.

Following a moment of silence, Councilmember Carlat led the Pledge of Allegiance.

Members Present: Mayor John Keegan; Vice Mayor Bob Barrett; Councilmembers Cathy Carlat, Patricia Dennis, Joan Evans, Vicki Hunt, and Carlo Leone

Members Absent:  None

Other Municipal Officials Present: Terrence Ellis, City Manager; Susan Thorpe, Deputy City Manager; John Wenderski, Deputy City Manager; Neil Mann, Acting Deputy City Manager; Steve Kemp, City Attorney; Mary Jo Kief, City Clerk; Constance Copeland, Assistant City Clerk; David Leonardo, Grady Miller, Stephen Bontrager, Dave Moody, J.P. de la Montaigne, Brent Mattingly, David Nakagawara, Maher Hazine, Walt Begley, and Larry Dobrosky.

Audience:  Approximately 23 individuals were present.

Note:  The order in which items appear in the minutes is not necessarily the order in which they were discussed in the meeting.

Mayor Keegan thanked Councilmember Dennis for her service as Vice Mayor to the City Council during the past year.  Mayor Keegan presented Councilmember Dennis with a plaque commemorating her term as Vice Mayor.

CONSENT AGENDA:    All items listed with a “C” are considered to be routine or have been previously reviewed by the City Council and will be enacted by one motion.  

CONSENT – New Business:

Mayor Keegan asked if any Councilmember wished to have an item removed from the Consent Agenda.    No comments were received.  Motion was made by Councilmember Leone, seconded by Councilmember Dennis, to approve the consent agenda as submitted. Upon vote, the motion carried unanimously.

1C	DISPOSITION OF ABSENCE:
Approved the absence of Mayor John C. Keegan from the Regular Meeting held on January 17, 2006.


2C	MINUTES:	
      
Approved the minutes of the Regular 7:00 p.m. Meeting – January 3, 2006.
      
3C	Appointments/Re-Appointments, Boards and Commissions

Adopted RES. 06-24 and RES. 06-25 appointing and re-appointing members to the following Boards and/or Commissions:
 
RESOLUTION 06-24
 
A RESOLUTION OF THE MAYOR AND COUNCIL OF THE CITY OF PEORIA, ARIZONA, RE-APPOINTING JOHN GERARD TO THE PLANNING AND ZONING COMMISSION AND ESTABLISHING THE TERMS OF OFFICE THEREOF.
 
RESOLUTION 06-25
 
A RESOLUTION OF THE MAYOR AND COUNCIL OF THE CITY OF PEORIA, ARIZONA, APPOINTING JESSICA HEWITT, JAROD DERRICK AND JANE WAKEFIELD TO THE YOUTH ADVISORY BOARD AND ESTABLISHING THE TERMS OF OFFICE THEREOF.

4C	Rezoning, Sunset Ranch 2, Lake Pleasant Parkway and Williams Road

ORDINANCE NO. 06-03
 
AN ORDINANCE OF THE CITY OF PEORIA, MARICOPA COUNTY, ARIZONA ZONING PROPERTY FROM GENERAL AGRICULTURE (AG) TO PLANNED AREA DEVELOPMENT (P.A.D.) ZONING DISTRICT; AMENDING THE ZONING MAP AND PROVIDING FOR AN EFFECTIVE DATE.
 
Concurred with the Planning and Zoning Commission’s recommendation and adopted ORD. 06-03 rezoning approximately 33.3 acres, located north and east of the northeast corner of Lake Pleasant Parkway and Williams Road, from General Agricultural (AG) to Planned Area Development (PAD). (Z05-25)


5C	Budget Transfer, Additional Contract Services 

a) Authorized the use of reserves from the General Fund; and
b) Authorized a budget transfer in the amount of $50,000 from the General Fund Contingency Account to the Engineering Development Contract Labor Account to obtain additional contract services.

6C	Budget Transfer, Special All-Mail Ballot Election

Authorized a budget transfer to provide appropriation in the amount of $130,385 from the General Fund Account to the General Fund Election Budget Project for costs associated with the Special All-Mail Ballot election held on November 8, 2005.

7C	Contract, City of Phoenix, Law Enforcement Data Sharing Network

Authorized the City Manager to execute a ten-year Intergovernmental Agreement with the City of Phoenix to join a law enforcement agency data sharing network (COPLINK). (LCON01006)

8C	Contract, Southwest Slurry Seal, Inc., Slurry Seal, Various Locations

Authorized the City Manager to execute a one-year term contract with four one-year extensions to Southwest Slurry Seal, Inc. in the estimated amount of $836,028.86 for slurry seal on various street locations. (LCON01106) 

9C	Contract, A.J. Roberts, Auxiliary Generators

a) Awarded a construction contract in an amount not to exceed $259,465.11 to A.J. Roberts for the installation of auxiliary generators at two lift station sites (LCON01206); 
b) Authorized the use of reserves from the Wastewater Utility Fund; and
c) Authorized a budget transfer in the amount of $103,055.37 from the Wastewater Utility Fund Contingency Account to the Wastewater Utility Fund, Wastewater System Account.

10C	Contract, Peoria Unified School District, Speed Humps, Zuni Hills Elementary, Williams Road

Approved the development of an intergovernmental agreement with the Peoria Unified School District for the installation and maintenance of asphalt concrete humps and associated signage and striping on Williams Road from 107th Avenue to the west City boundary in front of Zuni Hills Elementary. (LCON01606)


11C	Contract, Premier Engineering, 89th Avenue and Williams Road

Approved an engineering services contract in an amount not to exceed $54,209.28 with Premier Engineering for the design of drainage improvements at the intersection of 89th Avenue and Williams Road. (LCON01306)

12C	Contract, Premier Engineering, Deer Valley Road, 83rd Avenue to 91st Avenue

Approved an engineering services contract in an amount not to exceed $306,420.02 with Premier Engineering for the design concept report for roadway widening and drainage improvements along Deer Valley Road from 83rd Avenue to 91st Avenue. (LCON01406)

13C	Contract Amendment, City of Glendale, Prisoner Detention and Weekend Court Services

Authorized the City Manger to execute a one-year Renewal Agreement to the Intergovernmental Agreement with the City of Glendale to provide prisoner detention and weekend court services for the City of Peoria Police Department. (LCON08701B)

14C	Contract Amendment, Haydon Building Corporation, Development Services Building Design/Build

Awarded Contract Amendment No. 1 in an amount not to exceed $93,175 to Haydon Building Corp. for additional professional design and preconstruction services attributable to an increase in building square footage from 60,000 to 75,000 for the Development Services Building project. (LCON08005A) 
 
15C	Contract Amendment, Haydon Building Corporation, Development Services Building Design/Build

a) Awarded Contract Amendment No. 2 in an amount not to exceed $153,981 to Haydon Building Corp. for professional design and preconstruction services (LCON08005B); and 
b) Authorized the expenditure of up to $35,000 for City paid project related expenses thereby incorporating the scope of the Library Parking and Access Modification CIP project into the scope of the Development Services Building project. 


16C	Easement, Arizona Public Service, Electrical Facilities, Vistancia Zone 5/6 Reservoir and Booster Pump Station

RESOLUTION NO. 06-26

RESOLUTION OF THE MAYOR AND COUNCIL OF THE CITY OF PEORIA, ARIZONA, AUTHORIZING THE GRANTING OF AN EASEMENT TO ARIZONA PUBLIC SERVICE FOR ELECTRICAL FACILITIES AT THE VISTANCIA ZONE 5/6 RESERVOIR AND BOOSTER PUMP STATION SITE.

Adopted RES. 06-26 authorizing the City Manager to execute an easement to Arizona Public Service for electrical facilities at the Vistancia Zone 5/6 Reservoir and Booster Pump Station site located at 13050 W. Westland Road.

REGULAR AGENDA

NEW BUSINESS

17R	PUBLIC HEARING – Private Club Liquor License – American Legion #62, 9847 W. Desert Cove 

PUBLIC HEARING:  

Mayor Keegan opened the Public Hearing and asked if any Councilmember or citizen wished to comment on a request for a new Private Club Liquor License (Series 14) for American Legion #62 located at 9847 W. Desert Cove. Applicant:  Thomas Raymond. LL#10005518.

Staff Report/Public Comment:

Mary Jo Kief, City Clerk, reported that the property had been properly posted, all reviewing Departments had recommended approval, all fees were paid, and there were no comments received in the City Clerk’s Office.

There being no comments from those present and none received in the City Clerk’s Office, Mayor Keegan declared the Public Hearing closed.

Council Action:	

Motion was made by Vice Mayor Barrett, seconded by Councilmember Leone, to recommend approval to the State Liquor Board a new Private Club Liquor License (Series 14) for American Legion #62 located at 9847 W. Desert Cove. Applicant:  Thomas Raymond. (LL#10005518)  Upon vote, the motion carried unanimously.

18R	Contract Amendment, DJN Eagle Mountain, LLC, (Glimcher Ventures Southwest), Parke West, Loop 101 and Northern Avenue

Mayor Keegan announced that the applicant has been in discussion with City Staff and has requested that this agenda item be held over to a future date. (LCON07805A)

Motion was made by Councilmember Evans, seconded by Vice Mayor Barrett, to hold over to a future date the request to authorize the City Manager to execute an amendment to the development agreement with DJN Eagle Mountain LLC (Glimcher Ventures Southwest), an Arizona Limited Liability Company for the Parke West project located at the Loop 101 and Northern Avenue (LCON07805A)

19R	Reclaimed Water Rates

Brent Mattingly, Finance Director, advised that Council had adopted a Notice of Intention to adjust rates for reclaimed water on January 17, 2006 and had established February 21, 2006 as the date for a public hearing on the proposed reclaimed water rates.  Mr. Mattingly advised that tonight Staff would present a report on the Reclaimed Water Rates.

Larry Dobrosky, Revenue Manager, reported on the background of producing and recharging reclaimed water and explained that the demand for reclaimed water has expanded to additional uses.  The reclaimed water service uses a combination of treated effluent from the Jomax Water Reclamation Facilities (WRF) and excess Central Arizona Project (CAP) water to meet demand.  As an example, the Vistancia area uses a combination of treated effluent and excess CAP water to address its needs.  The Jomax WRF in three years is expected to reach capacity treating nine million gallons a day.

Mr. Dobrosky stated that the existing rate consists of three charges:

* Monthly base fee of $5,000
* Usage component of $1.22 per 1,000 gallons of treated effluent
* Wheeling fee of $.03 per 1,000 gallons of excess CAP water passed through the City’s distribution system.

In addition to these charges, the customer is currently responsible for paying a separate fee directly to the CAP for the purchase of excess CAP water.  Under the new rate structure, the City will take over the purchase and payment for the excess CAP water.  Mr. Dobrosky reported that Staff analyzed the costs associated with three components:  Jomax WRF annual operating costs, annual amortization of facility start-up costs, and the City purchase cost for excess CAP water.  The total cost of these three components is $425,704.  Mr. Dobrosky stated that Staff worked with the users to estimate the reclaimed water demand.  It was estimated that total annual demand for the reclaimed water is 430 million gallons.


Mr. Dobrosky outlined the Jomax facility Costs for Reclaimed Water as follows:

* Annual Operating Costs for Reclaimed Water	$291,802
* Annual amortization of remaining Start-up Costs over Four Years	$28,909
* Cost of excess CAP Water		$131,993
* Total Annual Reclaimed Water Costs			$452,704

Mr. Dobrosky advised that the recommended reclaimed water rate of $1.05 per 1,000 gallons was derived by dividing the total annual reclaimed water delivery costs of $452,704 by the total water demand (in 1,000’s) of 429,470.  The City bills customer usage in 1,000 gallon increments.  The rate reflects the blended cost of delivering Jomax WRF treated effluent and excess water obtained from the CAP.

Mr. Dobrosky explained that Staff was asking Council to consider adopting the new rates and if approved that new rates would go into effect on April 1, 2006.

Discussion ensued regarding the previous fixed rate which included a wheeling fee of $.03 paid to Peoria.  Mr. Dobrosky confirmed that the proposed rate is a blended rate.  In response to questions from Council, Mr. Dobrosky responded that currently the WRF can treat 750,000 gallons per day.  The next goal will be to treat 2.2 million gallons with a final capacity of 9 million gallons per day.  Mr. Dobrosky stated that the plant would be at capacity be the time Vistancia was built out.

Stephen Bontrager, Utilities Director, advised that the WRF is sized to treat nine million gallons per day.  It is anticipated that other users will be served.  Mr. Dobrosky noted the Vistancia area was the only user last year.  The City of Peoria will utilize the reclaimed water, and Blackstone Golf Course, which is being developed now, will also become a customer.  Vice Mayor Barrett commented that because this is excess water, it does not impact City allocations.

Mr. Dobrosky reported that Staff will continue to periodically analyze the rates and provide Council updates as changes in customer demand, delivery costs, and production capacity occur.  Mr. Dobrosky stated that no Council action was required to accept the report of proposed changes to the reclaimed water rates.  

Mayor Keegan asked for public comment on the rates.  There were no comments forthcoming.

CALL TO THE PUBLIC:  (NON-AGENDA ITEMS)

John Bolley, a Peoria resident, addressed Council on his frustration with the delay on the completion of road projects in the right of way at 85th Avenue and the northeast corner of Deer Valley Road.  Mr. Bolley described the number of times he called the City for an update on the progress and he added that he had to intercede when the barricade was knocked down even though City Staff were in the area and should have addressed the 

problem.  Mr. Bolley asked if the contract included schedules and time commitments for the contractor to meet.

Mayor Keegan advised that Staff would get an answer to Mr. Bolley by the end of the week.

Reports from City Council:

Councilmember Hunt reported that she had attended an event at Santa Fe Elementary School with representatives from the Peoria Fire Fighters’ Charities.  A Class won over 1,000 books.  Each child who attended received a free hotdog lunch and had an opportunity to climb on a fire engine at the school.

Councilmember Leone reported that he had attended a Safety Fair at the Peoria Sports Complex where the public had the opportunity to have their child’s car seat checked and to learn other safety information.  Councilmember Leone also highlighted the 2006 Celebration of the Arts and a car wash to benefit Officer Weigt, a Peoria Police Officer who was recently wounded.

Councilmember Leone also reported that during the League of Cities and Towns Legislative Day, Governor Napolitano had asked cities to continue their efforts to restrict access to products used to make Methamphetamine.  

Mayor Keegan suggested that Councilmember Leone bring this subject up at the up-coming Council workshop.

Reports from the Mayor:

Mayor Keegan also commented that he was Chairman of the Peoria Volunteer Firefighters Pension Board and that at a Board meeting last week, the Board had met to set the new rates.  This year the Board had voted to override the Staff Recommendation to set the rate at $400 per month.  Mayor Keegan added that there were seven pension recipients whose average age was 79.5 years.  Mayor Keegan added that Gene Mason was the only Firefighter to die in the line of duty.  Mayor Keegan stated that he hoped the City would continue to approve the new rate in the future.

Reports from the City Manager:  None.


ADJOURNMENT:

:	Being no further business to come before the Council, the meeting was duly adjourned at 7:32 p.m.


	______________________________________
	John C. Keegan, Mayor                                       
 


ATTEST:




______________________________________
Mary Jo Kief, City Clerk



CERTIFICATION

I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Regular Meeting of the City Council of Peoria, Arizona held on the 7th day of February, 2006.  I further certify that the meeting was duly called and held and that a quorum was present.



Dated this 21st day of March, 2006.                                                   

(Seal)



______________________________________________
Mary Jo Kief, City Clerk