May 23, 2022 City Council Study Session - 05/23/2022

OUR PUBLIC

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[ Call to Order]

NEXT WE HAVE OUR STUDY SESSION OR THE EVENING OF MAY 23RD.

UM, CLERK, PLEASE TAKE THE ROLE MAYOR HARTKE.

SURE.

I SMEAR ROW.

CAUSE REMEMBER HARRIS IS ABSENT.

EXCUSE COUNCIL MEMBER LOPEZ.

YEAH.

COUNCIL MEMBER STEWART, THE COUNCIL MEMBER ELLIS HERE.

COUNCIL MEMBER ORLANDO PRESENT.

WE HAVE A QUORUM.

THANK YOU SO MUCH.

WE HAVE TWO ITEMS ARE SCHEDULED PUBLIC APPEARANCES COUNCIL MEMBER LANDER.

WOULD YOU PLEASE JOIN ME UP FRONT? THANK YOU.

OUR FIRST AGENDA

[1. Proclamation - Nurses Week]

WELCOME, PLEASE JOIN US.

AND DO YOU HAVE SOME OTHER NURSES THAT ARE ALSO PART OF YOUR TEAM? IF YOU WOULD ALSO LIKE TO COME UP LET ME READ THIS PROCLAMATION AND THEN, UH, IF YOU HAVE ANY COMMENTS YOU'RE WELCOME TO, AND THEN WE WILL TAKE A PICTURE TOGETHER.

AND I HEAR THAT AT LEAST ONE NURSE BEHIND ME WOULD, WOULD REALLY LIKE TO JOIN US DOWN HERE AT THAT POINT.

WHEREAS THERE ARE MORE THAN 159,000 NURSES AND NURSING ASSISTANTS OF VARIOUS SPECIALTIES IN ARIZONA, MANY OF WHOM PROVIDE HEALTHCARE TO CHANDLER RESIDENTS.

AND WHEREAS THE CITY OF CHANDLER AND COMMUNITY MEMBERS RECOGNIZE THE VITAL CONTRIBUTIONS OF NURSES TO HEALTHCARE IN THE CITY, ESPECIALLY AS THEY WORK THE FRONT LINES DURING THE COVID-19 PANDEMIC.

AND WHEREAS THE NURSING PROFESSION MEETS THE EMERGING HEALTH CARE NEEDS OF ALL CHANDLER RESIDENTS, INDIVIDUALS, FAMILIES, GROUPS, POPULATIONS, AND ENTIRE COMMUNITIES IN A WIDE RANGE OF SETTINGS.

AND FOR ALL BENEFITS OF HEALTHCARE, INCLUDING HEALTH PROMOTION, ILLNESS, PREVENTION, TREATMENT, MAINTENANCE, RESTORATION, AND REHABILITATION.

AND WHEREAS NURSING WEEK IS THE OPPORTUNITY TO RECOGNIZE AND ACKNOWLEDGE THE EXPERTISE AND DEDICATION OF NURSES AS WELL AS ENCOURAGE OTHERS TO ENTER THIS WORTHY PROFESSION.

NOW, THEREFORE I, KEVIN HART GAY MAYOR OF THE CITY OF CHANDLER DO HEREBY PROCLAIM THE WEEK OF MAY SIX THROUGH MAY 12TH AS NURSE APPRECIATION MONTH.

HELLO, GOOD EVENING EVERYONE.

MY NAME IS DR.

NURSE PRACTITIONER, AND I HAVE BEEN A NURSE PRACTITIONER FOR ALMOST SIX YEARS NOW, AND I HAVE BEEN A NURSE FOR MORE THAN 20 YEARS.

AND HERE TODAY I AM REPRESENTING ARIZONA IN THE NURSES ASSOCIATION.

IT'S A PROFESSIONAL NONPROFIT ORGANIZATION FOR UNITING OR OUR ASIAN INDIAN NURSES IN ARIZONA.

AND, UH, I WOULD LIKE TO EXPRESS MY SINCERE THANKS ON BEHALF OF, UH, ZENA TO OUR HONORABLE MAYOR, KEVIN HOTKEY, UH, COUNCIL MEMBERS AND COUNCIL, UH, LEADERSHIP, AS WELL AS EVERYONE PRESENT HERE FOR APPRECIATING, UH, NURSES TODAY, AS WELL AS DOING THIS PROCLAMATION THIS EVENING.

AND THANK YOU.

AND, UH, I WOULD LIKE TO SAY A FEW WORDS ABOUT MAYOR.

KEVIN HAD KAY, WHO HAS BEEN AN ARDENT SUPPORTER OF OUR ORGANIZATION SINCE ITS INAUGURATION.

AND HE HAS BEEN WITH US FOR EVERYTHING THAT WE ASK, EVEN INCLUDING THE UN, UH, WE DID A BLANKET, UH, DISTRIBUTION AND, YOU KNOW, WE GOT A LOT OF HELP TO THE COMMUNITY.

AND ALSO I WOULD LIKE TO, UH, SAY, UH, THAT, YOU KNOW, LIKE, UH, IN ORDER TO BRING THE, UH, UH, CHANDLER CITY TO THE PRE PANDEMIC STATE AND HE DID A LOT OF EFFORT AND WE BECAME THE NUMBER ONE IN THE NATION NUMBER, NUMBER FIVE IN THE NATION.

I'M SORRY.

OKAY.

NURSING HAS BEEN CONSIDERED AS A, UH, AS, UH, THE MOST DEDICATED PROFESSION AS WELL AS THE MOST ETHICAL PROFESSION.

AND WE PROMISE TO KEEP THE STATUS AS WELL AS WORK HARD TOWARDS THE BETTERMENT OF OUR COMMUNITY.

VISCERA.

THANK YOU.

[00:05:31]

ALL RIGHT.

AND

[2. Recognition - Chandler Raiders National Championship Recognition]

SO COME ON UP.

THE CHANDLER RAIDERS ARE THE 20 22 14 AND UNDER NFL FLAG FOOTBALL, NATIONAL CHAMPIONS.

AND THIS IS THE LARGEST FLAG FOOTBALL LEAGUE IN THE NATION WITH MORE THAN 500,000 PARTICIPANTS.

AND THIS IS THEIR NEXT SECOND NATIONAL CHAMPIONSHIP.

THEY ALSO WON THE 12 AND UNDER TITLE IN 2020.

SO CONGRATULATIONS.

DO YOU LIKE TO SAY ANYTHING, SIR? ALL I CAN SAY IS, IS THAT, YOU KNOW, IT'S, IT'S BEEN AN HONOR TO REPRESENT, UH, CHANDLER, THE CITY OF CHANDLER, AS WE, UH, DEVELOPED THIS PROGRAM, UH, HARLEY BEING THE HEAD COACH CAME TO ME AND WE HAD A, UH, A DESIRE TO COMPETE ON A NATIONAL LEVEL.

THIS WAS BACK IN 2016 AND, UH, AT THAT TIME FLAG WAS REALLY STARTING TO BECOME A REAL LIKE FOCUS CHANNEL OF KIDS THAT WANTED TO PLAY FOOTBALL AND TACKLE.

IT WOULD GO THROUGH THE FLAG FOOTBALL SYSTEM.

AND SO AS WE, UH, DEVELOPED OUR SYSTEM, WE, UH, REALLY FOCUSED ON TRYING TO MAKE SURE THAT EVEN THOUGH WE DIDN'T HAVE THE MOST TALENTED TEAM, WE DIDN'T HAVE THE FASTEST TEAM.

THE THING THAT, THAT WE COULD DO TOGETHER WAS MAKE SURE THAT THEY WERE THE MOST PREPARED.

AND AS A RESULT OF THAT, WE HAVE, YOU KNOW, TWO NATIONAL CHAMPIONSHIPS WITH NFL FLAG ALSO, UH, THREE HARD COUNT NATIONAL CHAMPIONSHIPS OVER THAT SIX YEAR PERIOD.

SO, UH, WE'RE JUST VERY PROUD OF WHAT WE'VE BEEN ABLE TO ACCOMPLISH.

AND, UH, LIKE I SAID, WE'RE HAPPY THAT WE COULD REPRESENT THE CITY OF CHANDLER.

DO YOU IN THE MIDDLE WITH THAT BELT AND LET'S TAKE A PICTURE.

YEAH.

ALL RIGHT.

THAT CONCLUDES HER PUBLIC APPEARANCES.

WELL DONE, SIR.

ALL RIGHT, COUNSEL, THERE'S JUST BEEN A FEW ITEMS THAT HAVE BEEN CALLED IN FIRST

[4. Professional Services Agreement No. PR2201.201, with Barker Rinker Seacat Architecture, for the Tumbleweed Recreation Center Expansion Multi-Generational Facility Design Services Move City Council award Professional Services Agreement No. PR2201.201 to Barker Rinker Seacat Architecture, for the Tumbleweed Recreation Center Expansion Multi-Generational Facility Design Services, in an amount not to exceed $1,056,370. Council Focus Area(s):]

THANK YOU, MARY.

WE HAD A CONVERSATION EARLIER TODAY, BUT I THINK IT'S, UH, SPEND A FEW MINUTES HERE, JOHN, AND KIND OF GO OVER THIS PLAN WHERE WE'RE AT.

AND THEN, UM, I THINK YOU KIND OF SAID THIS ISN'T THE END.

ALL, THIS IS JUST THE BEGINNING OF WHAT WE'RE TRYING TO DO IN OUR COMMUNITY.

SO, EXCELLENT, GOOD EVENING.

MAYOR AND COUNCIL COUNCIL MEMBER ORLANDO.

UH, AND THANK YOU FOR YOUR TIME THIS AFTERNOON, THE, UH, ITEM FOR YOUR CONSIDERATION.

UH, THIS THURSDAY WILL BE THE PROFESSIONAL SERVICES AGREEMENT WITH BARKER RINKER C CAT ARCHITECTURE, UH, IN AN AMOUNT NOT TO EXCEED $1,056,370.

IT IS SPECIFICALLY FOR THE DESIGN PERMITTING AND CONSTRUCTION AND DEVELOPMENT OF THE CONSTRUCTION DOCUMENTS FOR AN APPROXIMATE 21,000 SQUARE FOOT EXPANSION OF THE TUMBLEWEED RECREATION CENTER.

NOW THE PROJECT HISTORY HERE GOES BACK A FEW YEARS.

IT COMES ON THE HEELS OF A 20, 20 MULTI-GEN REC CENTER FEASIBILITY STUDY.

IT WAS PRESENTED TO COUNCIL IN SEPTEMBER OF 2020.

IN THAT STUDY, THEY LOOKED AT A NUMBER OF DOCUMENTS, INCLUDING THE RECREATION PROGRAM PLAN, THE CHANDLER SENIOR NEEDS ASSESSMENT, THE CHANNEL AND THE 2016 CHANDLER GENERAL PLAN.

UH, THEY ALSO CONDUCTED A SERIES OF COMMUNITY OUTREACH.

THEY DID A COMMUNITY SURVEY, STATISTICALLY

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THEY DID A NUMBER OF, UH, STAKEHOLDER ENTERPRISE MEETINGS.

THEY DID A COMPLETE MARKET ANALYSIS AND A NUMBER OF EXERCISE TO DO, TO DETERMINE THE NEED TOP NEEDS FOR PROGRAMS AND THE TOP NEEDS FOR AMENITIES.

NOW, UM, THE SPACE, UH, FOR THIS, FOR THE EXPANSION OF THE REC CENTER IS ENVISIONED TO HOST THE GYMNASIUM, UH, BOTH FOR ACTIVE AND PASSIVE USE MULTIPURPOSE AREAS, UH, AND PRIMARILY FOCUSED ON, UH, THOSE MEETING THE NEEDS OF THE COMMUNITY AT LARGE.

SO WITH A FOCUS ON OUR SENIORS CITIZENS, AS WELL AS THE YOUTH, WHICH WE KNOW IS VERY, VERY BUSY TUMBLEWEED REC CENTER WAS RECOGNIZED IN THAT SURVEY AS, UH, EXCESSIVE IN USE.

AND, UH, COMMUNITY-WIDE WE RECOGNIZE THAT WE ARE AT A DEFICIT OF OUR SQUARE FOOTAGE.

SO THIS IS A STEP IN THE RIGHT DIRECTION, BUT IT IS NOT AN END ALL BE ALL.

SO THERE'LL BE MORE OPPORTUNITIES.

AND WE ARE CONTINUING TO EXPAND JUST LIKE WE DID WITH THE, UH, USE OF THE SCHOOLS, UM, AND SOME OF THE PROGRAM OPPORTUNITIES THAT WE HAVE IN THOSE AREAS.

NOW THE PROJECTED SCHEDULE FOR THIS PROGRAM, IF, IF, UH, APPROVED BY YOU ON THURSDAY, UH, WE WILL ENTER INTO THE PROGRAMMING AND THE COMMUNITY INPUT AND THE SCHEMATIC DESIGN, UH, AS EARLY AS JUNE THROUGH AUGUST, UH, THAT WILL BE ANOTHER OPPORTUNITY FOR THE COMMUNITY TO GIVE SOME FEEDBACK AND SOME DIRECTION.

UH, WE WILL THEN MOVE INTO THE PROJECT DESIGN AND COORDINATION.

UH, CONSTRUCTION DOCUMENTS WILL BE SOMEWHERE IN THE TIMEFRAME OF MAY TO JUNE.

THERE'S JUST A LOT OF THINGS THAT COULD HAPPEN IN BETWEEN THAT TIME.

BUT SO BY THIS TIME, AFTER ABOUT 12 MONTHS OF WORK FOR THIS DESIGN, I WILL BE HAVING DOCUMENTS THAT WILL BE READY FOR A PRESENTATION FOR, UH, THE ACTUAL, UH, SUBCONTRACTORS.

WE WOULD ESTIMATE ANOTHER 18 MONTHS FOR THAT CONSTRUCTION PROCESS.

SO WE'RE A GOOD TWO AND A HALF YEARS AWAY FROM SEEING ANYTHING IN THIS, UH, SPECIFIC PROJECT.

UH, BUT THIS ALL STARTS WITH YOUR ACTION ON THURSDAY, BUT THAT'LL HOPEFULLY ANSWER ANY QUESTIONS.

NO, MARY, THANK YOU.

AS YOU KNOW, I I'VE SEEN VICE MAYOR ROAD DOWN HERE A FEW TIMES I'D BE SNUCK IN THERE, BUT IT'S DEFINITELY OVERUSED.

EVEN NOW, AS WE'RE GETTING BACK OUT OF COVID, YOU KNOW, YOU COULD SEE THE PICKLEBALL FOLKS WITH THEIR BASKETBALL FOLKS AND THERE'S THE TURNOVER BECAUSE YOU HAVE THE, THE, UM, OTHER LARGE PROGRAMS. GOT IT.

SO DEFINITELY A STEP IN THE RIGHT DIRECTION.

AND AS YOU INDICATED EARLIER, PART OF THE PLAN WAS TO LOOK AT OUTREACH AND OTHER PARTS OF OUR CITY, UH, WEST SIDE, NORTH SIDE, AS WELL AS TO BE ABLE TO, TO BE, UM, KEEP IT CLOSE TO WHERE THE NEIGHBORS ARE.

SO THEY'RE NOT TRAVELING SO, SO FAR TO GET TO THE AMENITIES.

SO CERTAINLY APPRECIATE IT.

ABSOLUTELY.

THANK YOU.

ANY ADDITIONAL QUESTIONS FOR JOHN HEARING? NONE.

THANK YOU, SIR.

THANK YOU.

I CALLED

[11. Resolution No. 5586, Adopting the Fiscal Year (FY) 2022-23 Tentative Budget and 2023-2032 Tentative Capital Improvement Program (CIP) and Giving Notice of the Dates and Times for Hearing Taxpayers, for Final Adoption of the Budget, and for Setting the Tax Levies and Tax Rates Move City Council pass and adopt Resolution No. 5586, adopting the FY 2022-23 Tentative Budget and 2023-2032 Tentative CIP and giving notice of the dates and times for hearing taxpayers, for final adoption of the budget, and for setting the tax levies and tax rates. Council Focus Area(s):]

THIS, UH, CURRENTLY THE SIGN THEM IS ON CONSENT AGENDA.

WE HAVE THE OPTION OF PULLING IT, BUT, UH, OTHERWISE WE WILL LEAVE IT ON AS DONE IN THE PAST AND JUST PUT, KEEP THIS THERE.

RIGHT? MARION COUNCIL.

I'M GLAD TO BE HERE TONIGHT.

I WAS A LITTLE CONCERNED.

I WASN'T GONNA MAKE IT THIS MORNING.

I WAS DRIVING IN AND I DON'T KNOW IF YOU HEARD THAT ABOUT THE ACCIDENT ON 2 0 2, THAT SEMI, THAT TURNED OVER WITH VICKS VAPOR RUB EVERYWHERE, BUT FORTUNATELY NO CONGESTION FOR EIGHT HOURS.

SO IT TURNED OUT ALL RIGHT FOR US.

I WAS ABLE TO GET INTO WORK.

NO PROBLEM.

UH, SO TONIGHT, UH, WE'LL BE TALKING ABOUT OUR TENTATIVE BUDGET FOR FISCAL YEAR 2223 AND DISCUSS OUR 2023 TO 2032 CAPITAL IMPROVEMENT PROGRAM OR CIP.

UM, I DO WANT TO NOTE THAT THERE ARE SOME KEY DATES STILL COMING FORWARD, UH, BEFORE YOU FIRST, UH, WE'LL HAVE THE ACTUAL TENANT OF ADOPTION ON THURSDAY EVENING.

AND THEN FOLLOWING THAT ON JUNE 9TH WILL BE THE FINAL ADOPTION OF THE BUDGET AND THE CIP, AS WELL AS THE PUBLIC HEARING ON THE TAX LEVY.

AND THEN THE FINAL TAX LEVY WILL BE ON THE 23RD OF JUNE AS WELL.

UH, WHILE TONIGHT'S PRESENTATION IS GOING TO BE FAIRLY HIGH LEVEL, UH, WE DO WANT TO EMPHASIZE THAT FOR THOSE RESIDENTS THAT MAY BE WATCHING OR HAVE ADDITIONAL QUESTIONS OR CONCERNS WITH THE BUDGET, ALL THAT INFORMATION IS OUT THERE ON OUR WEBSITE, CHANDLER AC.GOV FORWARD SLASH BUDGET.

UH, THE TENTATIVE BUDGET IS OUT THERE.

THE CIP IS OUT THERE AND THEY CAN SEE ALL OF THE DIFFERENT PROPOSALS THAT COME THROUGH THIS BUDGET PROCESS.

UH, JUST A, A QUICK REVIEW THAT WE DO HAVE A STATUTORY PROCESS THAT WE MUST GO THROUGH ARIZONA BY STATUTE REQUIRES US TO FOLLOW CERTAIN STEPS IN ADOPTING A BUDGET FOR THE CITY.

UH, FIRST OFF WE MUST ADOPT THE TENTATIVE BUDGET AND THAT SETS FORTH THE DIFFERENT AMOUNTS THAT WOULD BE REQUIRED TO MEET THE POLITICAL SUBDIVISIONS, UH, PUBLIC EXPENSE FOR THE NEXT FISCAL YEAR, AS PART OF THIS TENTATIVE ADOPTION OF THE BUDGET.

UH, IT WILL BE ENTERED INTO THE MEETING MINUTES.

UH, WE PREPARE FORMS THAT ARE REQUIRED BY THE AUDITOR GENERAL'S OFFICE.

AND SO THOSE ARE ATTACHED AS WELL.

AND THOSE ARE KIND OF, UM, A SUMMARY DOCUMENTS OF WHAT'S GOING TO BE IN THE PROPOSED BUDGET.

SO IF YOU DON'T WANT TO LOOK AT THE FULL DOCUMENT, YOU CAN LOOK AT THOSE SUMMARY FORMS, UH, THAT THE ALL CITIES ARE REQUIRED TO PREPARE

[00:15:01]

UH, AND THEN THIS INFORMATION IS PUBLISHED ON THE WEBSITE FOR PUBLIC REVIEW AS WELL.

SO IT'S OUT THERE FOR THE PUBLIC TO VIEW.

AND THEN ONCE THE TENTATIVE BUDGET IS ADOPTED, THE BUDGET CANNOT BE INCREASED.

SO AFTER THURSDAY'S, UM, APPROVAL, IF IT SHOULD BE APPROVED, UH, WE CANNOT INCREASE THE BUDGET AFTER THAT BACK, WE CAN DECREASE IT, BUT WE CANNOT INCREASE IT.

UM, AFTER THE TENANT, THE TENANT OF ADOPTION, THERE'S A PUBLIC HEARING WHERE ANY TAXPAYER MAY BE HEARD IN FAVOR OR AGAINST ANY OF THE PROPOSED EXPENDITURES OR THE TAX LEVY ITSELF, AND THEN A SPECIAL MEETING FOR THE PUBLIC HEARING TO ADOPT THE BUDGET.

AND THEN FINALLY, THERE'S THE FINAL ADOPTION AS WELL AS THE FINAL APPROVAL OF THE TAX LEVY IS PROBABLY FOR COUNCIL.

SO OUR FISCAL YEAR 22, 23 PROPOSED BUDGET, UH, THE THEME THIS YEAR IS STAYING CONNECTED AND REFLECTS OUR DESIRE TO CONNECT WITH OUR HISTORY OF ADHERING, TO STRONG FINANCIAL POLICIES AND BRING STRUCTURALLY BALANCED CONNECTION TO OUR SPENDING PLAN, UH, WITH THE MAYOR AND COUNCIL STRATEGIC FRAMEWORK AND CONNECT WITH RESIDENTS THROUGH OUR OUTREACH AND EDUCATION, UH, TO MAKE IT OFFICIAL THE TOTAL PROPOSED BUDGET FOR FISCAL YEAR 22, 23 IS 1 BILLION, $352,658,536 A THIS AMOUNTS TO A 27.8% INCREASE FROM THE CURRENT FISCAL YEAR'S BUDGET.

AND THAT INCREASE INCLUDES AN INCREASE OF ABOUT 9.8% IN OUR OPERATING REQUIREMENTS AND, UH, A LARGER 61.2% INCREASE TO OUR CAPITAL BUDGET FOR THE GENERAL FUND.

WE'RE SEEING AN INCREASE OF 22.7% WITH THE ONGOING OPERATING IN OUR GENERAL FUND INCREASING BY 12%.

SO SOME OF THE DRIVERS THAT ARE INCREASING THE BUDGET THIS YEAR, UH, FIRST OFF ON THE REVENUE SIDE, WE HAVE HAD TWO YEARS WHERE OUR BUDGETS WERE ARTIFICIALLY LOAD BECAUSE OF THE COVID PANDEMIC.

UH, OUR CURRENT BUDGET DID NOT REFLECT THE INTEL EXPANSION IMPACT.

SO THE REVENUE THAT OUR ANTICIPATED REVENUES GENERATED BECAUSE OF THAT EXPANSION WERE NOT INCLUDED IN THE CURRENT FISCAL YEAR'S BUDGET, WHEREAS THEY ARE BEING RECOGNIZED IN THE NEXT YEAR'S BUDGET.

AND THEN WE DO HAVE INCREASED REVENUES TO REFLECT THE ACTUAL ECONOMIC ENVIRONMENT.

SO AS WE LOOKED AT RESETTING THE REVENUE REQUIRED IN THE CITY OF CHANDLER, LOOKING AT WHAT'S ACTUALLY HAPPENING IN OUR LOCAL ECONOMY.

UM, WE DID HAVE A REVENUE RESET BECAUSE OF THOSE PRIOR TWO YEARS OF ARTIFICIALLY LOW REVENUES ON THE EXPENDITURE SIDE, UH, WE DO HAVE INFLATION, THAT'S INCREASING BOTH OPERATIONS AND OUR CAPITAL PROJECTS, AS YOU'VE SEEN AND HEARD IT THROUGH MANY OF THE CONTRACTS COMING FORWARD TO YOU.

UH, WE DO INCLUDE INCREASED COSTS FOR PERSONNEL COSTS TO INCREASE THE INVESTMENT IN OUR CITY WORKFORCE, RETAIN EMPLOYEES, UM, ADD TO OUR MARKET CLASS AND COMP AND HEALTHCARE COSTS, WHICH ARE INCREASING, UH, CAPITAL PROJECTS INCREASES TO ADDRESS OUR AGING INFRASTRUCTURE.

WE HAVE THOSE BOND AUTHORIZED PROJECTS AND ALSO GRANT FUNDED PROJECTS, UH, WHICH CONTINUE TO BE EXPENDITURES IN THE NEW BUDGET.

AND IT INCLUDES ABOUT $119 MILLION IN PROJECTS FOR INFRASTRUCTURE TO SUPPORT THE INTEL EXPANSION, UH, WHILE THE MAJORITY OF THAT WILL BE REFUNDED THROUGH EITHER DIRECT REIMBURSEMENT FROM INTEL OR THROUGH TITLE 42, WE DO HAVE TO APPROPRIATE THE FULL AMOUNT.

SO WE HAVE FULL SPENDING AUTHORITY TO SPEND IT.

AND THEN WE GET THOSE REIMBURSEMENTS.

AFTER THE FACT ON THE GRANT SIDE, WE STILL HAVE CONSIDERABLE AMOUNT OF, UM, FEDERAL DOLLARS AND SOME STATE DOLLARS THAT ARE BEING CARRIED FORWARD.

WE NEED TO INCLUDE THE APPROPRIATION FOR THOSE DOLLARS AS WELL.

UH, AND THEN WE ALSO HAVE, UH, ENHANCED TECHNOLOGY CAPABILITIES TO ASSIST WITH MOBILITY SECURITY CLOUD-BASED SOLUTIONS USING AC CARES, UH, AND REQUIRING ADDITIONAL ONGOING RESOURCES TO MAINTAIN THOSE SO INCREASES BECAUSE OF SOME OF THOSE GRANTS THAT HELPED US FUND ONE-TIME, UH, IMPROVEMENTS NOW HAVE AN ONGOING COMPONENT, AND WE HAD TO INCORPORATE THOSE ONGOING COMPONENTS INTO THE BUDGET.

AND THEN FINALLY, FROM A DEBT PERSPECTIVE, WE HAVE ADDITIONAL ONE-TIME PAYMENTS TO CONTINUE OUR PLAN PAY DOWN OF THE PSP RS UNFUNDED LIABILITY.

AND THAT'S A SIGNIFICANT INVESTMENT THAT WE'LL BE MAKING IN THIS NEXT FISCAL YEAR FROM AN OPERATING STANDPOINT, SOME HIGHLIGHTS, UH, WE DO HAVE A SLIGHT REDUCTION OF THE CITY PROPERTY TAX.

UH, THERE'S NO CHANGE TO THE TRANSACTION PRIVILEGE TAX.

WE, WE MAINTAIN THE LOW LOWEST RATE TIED WITH THE LOWEST RATE IN THE, IN ARIZONA.

AND THERE'S NO NEW FEES.

WE DO HAVE SOME FUNDING FOR LABOR ASSOCIATION COMMITMENTS AND GENERAL EMPLOYEE MERIT AND MARKET.

THERE ARE ANTICIPATED WATER WASTEWATER, SOLID WASTE RATE CHANGES AS THEY WERE DELAYED FROM THE PRIOR YEAR, UH, WHICH MAYOR COUNCIL APPROVED, UH, JUST LAST MONTH.

UH, AND WE DO PLAN TOWARDS THAT REDUCTION IN THE PSP RS, UH, LIABILITY PAID ON A $50 MILLION INVESTMENT, WHICH NOT ONLY WILL HELP US REDUCE THAT LIABILITY, BUT WE'LL REDUCE THE ONGOING COST.

WE'LL SEE, IN FUTURE YEARS, PROVIDING ADDITIONAL FLEXIBILITY IN HOW WE CAN UTILIZE THOSE DOLLARS GOING FORWARD.

THE BUDGET MAINTAINS EXISTING SERVICE LEVELS, UM, AND ENHANCES PROGRAMS TIED TO THE STRATEGIC FRAMEWORK.

AND THEN WE MAINTAIN OUR STRONG RESERVES, INCLUDING OUR

[00:20:01]

WHEN YOU LOOK AT A BUDGET THAT'S INCREASING THAT MUCH, WE WANT TO MAKE SURE THAT WE REMIND OUR RESIDENTS THAT, UH, WE DO TAKE, UH, SPENDING PUBLIC DOLLARS VERY SERIOUSLY.

UM, AND WE DO HAVE VERY LOW RATES, UM, AND PROVIDE A, UH, A WONDERFUL VARIETY OF SERVICES TO THEM FOR WHAT THEY'RE PAYING FOR.

UH, AND WE DO LOOK AT SOME COMPARISONS, THAT'S IT DOING? COMPARISONS IS ALWAYS DIFFICULT BECAUSE EACH CITY USES DIFFERENT THINGS IN DIFFERENT RATES FOR DIFFERENT REASONS.

UH, BUT THIS COMPARISON THAT TEMPE DOES, THEY TRY TO TAKE AN AVERAGE COST TO A, A HOME IN A CITY AND SAY, WHAT'S THE AVERAGE COST THEY'RE GOING TO PAY FOR PROPERTY TAXES, TRANSACTION, PRIVILEGE TAXES, AND THEIR UTILITY BILLS.

THOSE ARE THE HIGHEST FEES THAT THEY'RE GOING TO PAY TO MOST MUNICIPALITIES.

AND THEY DO COMPARISON ACROSS THOSE CITIES.

AND THEY DO THIS EVERY YEAR.

THE CITY OF TEMPE PROVIDES US INFORMATION, AND THIS IS AS OF JULY, 2021.

SO WE'LL GET AN UPDATE HERE IN THE NEXT COUPLE OF MONTHS, UH, BUT THIS AGAIN SHOWS THE VALUE THAT CHANDLER RESIDENTS RECEIVE FOR THE TAXES AND UTILITY FEES THAT THEY PAY PAYING WELL BELOW THE AVERAGE, UM, FOR ALL MUNICIPALITIES AT ABOUT $1,725, THIS DOES NOT TAKE INTO ACCOUNT.

UH, THE RATE INCREASES THAT WE WILL PUT IN JULY 1ST, NOR DOES IT INCLUDE THE RATE INCREASES THAT GILBERT ALREADY PUT INTO PLACE.

SO THAT WILL CHANGE.

UH, AS WE LOOK AT NEXT YEARS, WE ANTICIPATE THAT WE'LL BE EITHER EVEN CLOSER TO THAT BOTTOM TIER OR A LOWER THAN GILBERT, AS FAR AS TOTAL COSTS FOR HOUSEHOLDS AND CHANDLER.

AND THEN WHEN YOU TAKE JUST A BREAKOUT OF THE UTILITY COSTS, UH, FOR OUR AVERAGE RESIDENTS, UH, THIS SLIDE JUST SHOWS, UH, CHANDLER IS THE LOWEST COST IN THE VALLEY FOR THESE COMPARABLE CITIES, UH, FOR THEIR WATER WASTEWATER AND SOLID WASTE SERVICES.

UH, AND THIS HAS BEEN UPDATED WITH OUR PROPOSED RATES THAT WILL GO INTO EFFECT IN JULY, AS WELL AS GILBERT'S RATES, WHICH WERE PUT INTO EFFECT ALREADY.

WHEN WE'RE TALKING ABOUT OUR, UH, 2023 TO 2032 CAPITAL IMPROVEMENT PROGRAM, UH, THIS CAPITAL IMPROVEMENT PROGRAM IS COORDINATED, UH, THROUGH A TEAM EFFORT, UH, WORKING WITH ALL DEPARTMENT DIRECTORS THROUGHOUT THE CITY CITY MANAGER'S OFFICE, UH, FOLLOWING THE GUIDANCE PROVIDED BY MAYOR AND COUNCIL TO TRY TO MAXIMIZE THE AMOUNT OF, UM, IMPROVEMENTS THAT WE CAN MAKE FOR OUR RESIDENTS.

UH, WE PLAN FOR THE BEST USE OF RESOURCES EACH YEAR, UH, USING A VARIETY OF FUNDS, INCLUDING HER SDF ENTERPRISE FUNDS, GRANTS, AND IMPACT FEE FUNDS.

AND THEN THE TEAM FOCUSES ON ENSURING THE PROJECTS ARE FUN IN A WAY AS TO NOT TO CAUSE A PROPERTY TAX INCREASE, MAXIMIZING THE USE OF ALL FUNDING TYPES AND THE CIP THAT MEETS THE DEFINED FOCUS AND GUIDANCE THAT WAS PROVIDED SOME OF THE HIGHLIGHTS.

UH, WE CONTINUE TO EMPHASIZE IMPROVEMENTS OF AGING INFRASTRUCTURE THAT CONTINUES TO BE A KIND OF A SIREN SONG THAT WE HEAR YEAR AFTER YEAR AS A LOT OF OUR INFRASTRUCTURE THAT WAS PUT IN IN 1980S AND NINETIES IS NOW DUE FOR REPLACEMENT.

UH, WE REFLECT INFLATIONARY PRESSURES, SOME INFLATIONARY PRESSURES.

WE'RE SEEING MORE AND MORE OF THAT AS CONTRACTS ARE COMING IN.

UH, AND SO WE MAY HAVE SOME ADDITIONAL CONTINGENCY NEEDS IN THE NEXT FISCAL YEAR AS CONTRACTS COME IN HIGHER THAN ANTICIPATED.

UH, BUT WE DO REFLECT, UH, OUR TRIED TO REFLECT THE MAJORITY OF IT, INFLATIONARY PRESSURES, UH, AGAIN, AND INCLUDES THAT 119 MILLION IN PROJECTS FOR INFRASTRUCTURE RELATED TO THE INTEL EXPANSION.

AND WE CONTINUE TO FUND REQUESTED PROJECTS SUCH AS THE POLICE FORENSIC LAB FACILITY, ALL PHASES OF THE MESQUITE GROWS PARK FIBER UPGRADES, TUMBLEWEED EXPANSION, WHICH WAS THIS TALKED ABOUT, UH, THE MULTI-GENE FACILITY AND AIRPORT IMPROVEMENTS, INCLUDING THE COOPER ROAD EXTENSION.

UH, THE TOTAL TEN-YEAR CAPITAL CIP IS 1.6, 6 BILLION OVER THE 10 YEARS.

HOWEVER, UH, WE LOOK AT EACH YEAR INDEPENDENT.

SO WE, THE TEN-YEAR PLAN CHANGES ON AN ANNUAL BASIS AND WE ONLY APPROPRIATE FOR THE FIRST YEAR.

SO THE NEXT YEAR, FISCAL YEAR, 22, 23, UM, PROPOSED, AND ACTUALLY THAT SLIDE SAYS 2122, APOLOGIZE ABOUT THAT.

IT SHOULD BE 22, 23 CIP APPROPRIATION.

UH, WE HAVE A SMALL CONTINGENCY RESERVE.

WE DO HAVE CAPITAL CARRY FORWARD OF 286 MILLION.

UH, ANYTIME WE HAVE PROJECTS THAT ARE IN PROCESS THAT HAVEN'T FINISHED, WE HAVE TO REAPPROPRIATE THAT IN THE NEXT FISCAL YEAR TO CONTINUE SPENDING ON THOSE PROJECTS.

AND THEN WE HAVE NEW FUNDING OF 310 MILLION AS A REMINDER OF THE KEY BUDGET DATES THAT REMAIN.

WE DO HAVE THE TENANT OF ADOPTION THURSDAY NIGHT, A PUBLIC HEARING AND FINAL ADOPTION OF THE BUDGET WOULD BE JUNE 9TH.

AND THEN ADOPTION OF THE TAX LEVY IS JUNE 23RD.

UM, AND THEN A REMINDER TO THE PUBLIC OF ALL THE MEETINGS THAT WE'VE HAD ALREADY, THE OPPORTUNITY OF HAD FOR INPUT.

EXACTLY.

WE APPRECIATE ALL THE INPUT WE RECEIVED FROM THE PUBLIC, AND WE TRY TO INCORPORATE AS MUCH OF THAT INTO THE BUDGET AS WE CAN, INCLUDING THROUGH OUR BUDGET SURVEY.

THAT'S DONE IN OCTOBER, NOVEMBER.

WE APPRECIATE THE FEEDBACK WE RECEIVED THERE.

SO ON THURSDAY NIGHT FOR YOUR CONSIDERATION WILL BE RESOLUTION 55, 86 TO APPROVE THE TENTATIVE ADOPTION.

AND AS A REMINDER, ONCE

[00:25:01]

IT CAN ONLY BE DECREASED AFTER THAT ADOPTION DATE.

AND WITH THAT, I'LL BE WILLING TO ANSWER ANY QUESTIONS.

THANK YOU, MATT COUNCIL, ARE THERE ANY QUESTIONS, JUST QUICK QUESTION, MAYOR, UH, CITY MANAGER, MATT, DO WE HAVE THE COUNCIL, UH, UM, UH, CONTINGENCY ALREADY BUILT IN, OR WE CAN SEE THAT, ARE WE SEEING THE FINAL COPY OF THAT YET? WE'LL BE VOTING ON THAT.

UM, THE NEXT MEETING AS WELL, ALL THE FINAL DETAILS, BUT THAT'S INCLUDED.

YEAH, BUT MY QUESTION IS, HAVE WE SEEN THAT? DO WE HAVE A FINAL COPY OF THAT YET? MR. MAYOR CALCIUM ORLANDO? NO, WE HAVE NOT PROVIDED THAT TO YOU YET.

WE WILL BE RUNNING THAT TO YOU VERY SHORTLY.

UH, WE'RE STILL FINALIZING A FEW OF THE NUMBERS THAT NEED TO GO IN, BUT THAT AMOUNT TO YOUR EARLIER QUESTION IS ALREADY FACTORED RIGHT INTO THE NUMBER YOU SAW.

SO THE DETAILED AUTHORIZATIONS THERE.

OKAY.

SO WE'RE STILL MASSAGING THE DETAILS.

AREN'T CORRECT.

AND SAY, OKAY, THANKS MIRROR.

ANY ADDITIONAL QUESTIONS? ALL RIGHT.

THANK YOU.

MA'AM NEXT

[26. Project Agreement No. WA2007.402, with PCL Construction, Inc., Pursuant to Job Order Contract No. JOC1915.401, for the Alma School Well Site Improvements Move City Council award Project Agreement No. WA2007.402 to PCL Construction, Inc., Pursuant to Job Order Contract No. JOC1915.401, for the Alma School Well Site Improvements, in an amount not to exceed $936,595.38. Council Focus Area(s):]

[27. Professional Services Agreement No. WA2007.451, with Wilson Engineers, LLC, for the Alma School Well Site Improvements Construction Management Services Move City Council award Professional Services Agreement No. WA2007.451 to Wilson Engineers, LLC, for the Alma School Well Site Improvements Construction Management Services, in an amount not to exceed $157,990. Council Focus Area(s):]

LINDA, I PROBABLY SHOULD HAVE ASKED COUNCIL MEMBER LOPEZ, THESE QUESTIONS.

YOU PROBABLY HAD THEM OFF THE TOP OF HIS HEAD, BUT IF YOU DON'T MIND HOW YOU WERE PAYING FOR HIS SERVICE ANYWAY, YOU MIGHT BUY USE HIM.

ALL RIGHT.

SO JOHN, I KNOW FOR THE MANY YEARS, CHANDLER HAS BEEN A LEADER IN THE VALLEY AND WATER AND CONSERVATION, PROBABLY BECAUSE INTEL AND THE YELLOW RIVER INDIAN, AND SOME OF THE THINGS WE HAD TO DO OVER THE YEARS, BUT NOW WE'RE COMING UP TO OUR WEALTH SYSTEM AND I KNOW YOU HAD OTHER PROJECTS.

SO MY QUESTION HERE IS I KNOW THIS IS A JOINT PROJECT WHERE SRP AND S GREAT, UM, UTILIZATION OF WATER WHO'S GOT, WHO HAS THE RIGHTS OF WATER.

IF THINGS GO BAD TO WORSE, OKAY.

ARE WE GOING TO BE ARM WRESTLING WITH SRP OR DO WE HAVE RACES WATER? HAS THIS WORK WELL, IF THEY'RE THE MAYOR, UH, CUSTOMER ORLANDO, THANK YOU FOR YOUR QUESTION.

UH, THE SHORT ANSWER IS, UH, WE WANTED TO, UH, WE WILL NOT BE FIGHTING WITH, WITH, UH, SRP FOR THIS WATER, BUT, UH, THE WATER UNDERNEATH CHANDLER AND THROUGHOUT THE STATE, THE GROUNDWATER IN OUR, IN OUR AQUIFERS IS MANAGED, UM, BY THE STATE, UH, THE DEPARTMENT OF WATER RESOURCES AND THE WELLS THAT WE HAVE IN CHANDER ABOUT 30.

WE HAVE, AND WE HAVE ABOUT NINE THAT WE ARE PARTNERED WITH SRP ON.

UM, EACH OF THOSE WELLS HAS A PERMIT AND THAT PERMIT IS ALSO ADMINISTRATED BY THE STATE AND EACH PERMIT THAT WE HAVE HAS A DESIGNATED AMOUNT OF WATER THAT IS, UH, APPROPRIATE TO PUMP.

SO, UH, OUR WELLS, WE PUMP, UH, FOR OUR USE, UH, TO SERVE, UH, THE RESIDENTS CHANDLER SRPS WELLS HAVE MULTIPLE USES.

THEY'RE USED FOR AGRI, UH, FOR AGRICULTURE IRRIGATION, AND THEY ALSO SERVE, UH, RESIDENTS, UM, MANY SRP WELLS ACTUALLY PUMP INTO THE CANALS THAT SERVE THE SURFACE WATER PLANTS THROUGHOUT THE VALLEY.

SO, UM, SRP IS A PARTNER WITH US, NOT ONLY IN PROVIDING GROUNDWATER FROM THEIR WELLS, BUT ALSO ACTUALLY PROVIDING WATER INTO THE CANALS THAT SERVE OUR SURFACE WATER PLANTS.

SO OVER THE PAST, I'LL SAY 30 YEARS, WE'VE HAD PARTNERSHIPS WITH SRP AND THE CONTRACTS THAT YOU SEE IN FRONT OF YOU ARE, UH, THE NEXT, THE NEXT SET OF CONTRACTS FOR THIS PARTICULAR, THE WELL, BUT THAT PARTNERSHIP WITH SRP ALLOWS THE CITY OF CHANDLER FIRST, RIGHT.

OF USE FOR ALL THE WELLS THAT WE'RE PARTNERED WITH.

SO WE HAVE THESE NINE IN CHANDLER, AND IF WE WANT TO USE THOSE WELLS FOR OUR OWN BENEFIT TO SERVE OUR, OUR OWN, UM, WATER SYSTEM, THEN THIS PARTNERSHIP ALLOWS US TO DO THAT AS A FIRST RIGHT NOW, IF WE CHOOSE NOT TO USE THAT WELL FOR A DAY OR A WEEK OR A MONTH, UM, SRP CAN TURN THAT WELL ON AND THEY CAN USE IT FOR THEIR OTHER PURPOSES, WHICH MIGHT INCLUDE SERVICING ANOTHER WATER PLANT, FOR INSTANCE, THIS PARTICULAR, WELL, WHEN WE WOULDN'T USE IT, IF WE WOULD CHOOSE NOT TO USE IT FOR A DAY OR A WEEK, AND THEY TURN THIS WELL ON, IT WOULD GO INTO THE WESTERN CANAL AND THAT WESTERN CANAL THEN WOULD PROVIDE WATER TO THE TEMPE PLANT, WHICH IS TO THE, TO THE WEST OF US.

SO IT'S A COOPERATIVE, UH, UH, SETUP, UH, AND SRP IS A GREAT PARTNER THROUGH, THROUGHOUT ALL OF THIS.

SO, UH, THEY'RE NOT GOING TO STEAL OUR WATER, BUT, UM, IT'S, I NEVER ACCUSED HIM OF THAT.

YEAH, IT'S IT'S UH, BUT IT, YOU KNOW, IT'S AN AQUIFER UNDER CHAMBER THAT HAS SHARED GOT IT.

IF THAT'S UNDERSTANDABLE.

SO KASMIN LOPEZ Z, RIGHT.

ALL RIGHT.

GOOD.

OF COURSE HE IS SERIOUSLY, JOHN, THANK YOU VERY MUCH.

CAUSE, UH, IT'S IMPORTANT.

YOU KNOW, WE WERE READING A LOT OF ARTICLES ABOUT THE RIVERS GOING,

[00:30:01]

SO JUST, JUST ONE MORE STEP, WE APPRECIATE ALL THE WORK YOU AND YOUR STAFF HAS DONE.

AND THOSE PRIOR TO YOU OBVIOUSLY, SO APPRECIATE, THANK YOU VERY MUCH.

THANK YOU.

THANK YOU, JOHN, IF I MAY MAYOR CUSTOMER FOR LOPEZ.

YEAH.

SO TO REITERATE THEN COUNCILMAN ROLANDO AND GREG AND STAFFING, THAT'S WHAT WE'VE DONE FOR GENERATIONS NOW.

AND CHANDLER IS IT'S THAT DIVERSIFICATION OF, OF WATER THAT WE GET IN WITH THE WELLS AND WITH THE PARTNERSHIPS WITH SRP AND CP AND, AND AGAIN, OUR OWN WELL, UH, MAINTENANCE, UH, NOT MANY CITIES HAVE THAT VISIONARY, UH, OUTLOOK FOR WHEN THIS IS GONNA, WHEN THESE ISSUES ARE GONNA HAPPEN.

AND BY US DOING THIS AND MAINTAINING OUR WELLS FOR, SINCE THE INCEPTION, UH, HAS PUT US IN THE SITUATION WHERE WE'RE ABLE TO DO A LOT OF THIS AND HAVE AGAIN, A LOT MORE WATER DIVERSITY FOR THE FUTURE.

FOR THOSE OF YOU WATCHING COUNCILMAN LOPEZ IS OUR, UM, OUR MR. REPRESENTATIVE AND HE'S OUR WATER GUY.

SO WE APPROACH APPRECIATE ALL THE WORK YOU'VE DONE OVER MANY, MANY YEARS OF WORKING AT NIGHT.

THANK YOU.

THANK YOU.

ALL RIGHT.

THANK YOU, COUNSEL.

THOSE WERE ALL THE ITEMS THAT WERE CALLED IN.

WE'LL SEE YOU ON THURSDAY AT A, UH, IS IT FIVE O'CLOCK, FIVE O'CLOCK FOR A WORK SESSION.