PRESENT:

Paul Loomis, Mayor K.C. Carter, Vice Mayor Paula Abbott, Council Member Bill Garner, Council Member Barry Gillaspie, Council Member Al Kunisch, Council Member Salette Latas, Council Member

MOTION: A motion was made by Council Member Kunisch and seconded by Council Member Latas to go into Executive Session for the following purpose:
Pursuant to A.R.S. Section 38-431.03(A)(3) for discussion and advice from the Town Attorney regarding economic development agreements in light of the recent Court of Appeals decision in Turken v. Gordon

MOTION carried, 7-0.

MOTION: A motion was made by Vice Mayor Carter and seconded by Council Member Kunisch to go out of Executive Session at 6:05 p.m.

MOTION carried, 7-0.

PRESENT:

Paul Loomis, Mayor K.C. Carter, Vice Mayor Paula Abbott, Council Member Bill Garner, Council Member Barry Gillaspie, Council Member Al Kunisch, Council Member Salette Latas, Council Member

Council Member Abbott participated via telephone.

Mayor Loomis led the audience in the Pledge of Allegiance.

Town Manager David Andrews reviewed the upcoming meetings and events.

Water Utility Director Philip Saletta reported that the Central Arizona Project Water Conservation Board held a meeting in which they approved a motion supporting reliability storage which includes design work for the northwest reliability reservoir.  He explained that this support benefits the Northwest Water Providers.  He also reported that the Town’s projects submitted for the federal economic stimulus package included eight projects for the Water Utility.  He explained that any funding received would go through the Arizona Water Infrastructure Financing Authority so most projects would be eligible for grants or low or no interest loans. 

Susan Miller from Casa de los Gatos, introduced Kaya, one of 400 cats waiting to be adopted.  She stated that Kaya would be available at the Oro Valley Petco. 

At the request of Council Member Kunisch, Mayor Loomis pulled items C and F from the Consent Agenda for discussion.

MOTION: A motion was made by Vice Mayor Carter and seconded by Council Member Garner to approve the Consent Agenda with the exception of items C and F.

MOTION carried, 7-0.

A.	Minutes - 01/07/09

B.	Economic Development Division Monthly Report - December 2008

C.	Appointment of two Council members to the Community Funding Subcommittee which will make recommendations on funding of community agencies to the Town Council (PULLED FOR DISCUSSION)

Council Member Kunisch commented that he felt that Council should table this item for a year due to the financial conditions facing the Town next year.

Mayor Loomis stated that there were other things that this subcommittee could do at this time (i.e. identify whether the process should be broken into two elements: Economic Development and other community funding services).  He also stated that the committee should meet and if funds were available, they could then go through the Community Funding process.

MOTION: A motion was made by Council Member Gillaspie and seconded by Council Member Kunisch to appoint Council Member Latas and Council Member Garner to the Community Funding Subcommittee.

MOTION carried, 6-1 with Council Member Kunisch opposed.

D.	OV5-08-05 Approval of public art for the Sanofi-Aventis Research Center, known as "Gathering Garden and Century Plant sculpture," located on the southeast corner of Innovation Park Drive and Rancho Vistoso Boulevard

E.	Resolution (R)09-05 To re-convey four Utility Easements to Stone Canyon, LLC in exchange for two Utility Easements

F.	Resolution (R) 09-06 Approving and Authorizing Revised Residential and Commercial Development Plan Review Fees (PULLED FOR DISCUSSION)

Council Member Kunisch commented that with economic conditions as they are nationwide, he felt that imposing any further impact fees was doing a disservice to the community.  He stated that the Town needed to encourage local development and business and that this item should wait until the economy improves.

Discussion followed regarding:
  ~ The recommended review fees are not impact fees, they are cost of service fees and these fees would apply whether it is new or old development. 
  ~ The fees were evaluated for cost recovery and the cost of doing business has risen.
  ~ The last time fees were reviewed was in 2003.  Staff felt that it was prudent to look at the fees.  If the fees were adopted, then future developers would be aware of the fees. 
  ~   Increase fees for third and subsequent reviews to encourage developers to submit their plans correctly initially.
  ~ Constituents seem to support user fees.

MOTION: A motion was made by Vice Mayor Carter and seconded by Council Member Abbott to adopt Resolution (R)09-06 authorizing and approving the revised residential and commercial development plan review fees.

MOTION carried, 6-1 with Council Member Kunisch opposed.

Management Assistant Tory Schlievert stated that the 2008 Community Funding levels were approved last July during the budget cycle.  She explained that due to the timing of the award decision for the Community Funding projects, the Greater Oro Valley Arts Council (GOVAC) has requested an additional $50,000 to fund the 2009 Independence Day celebration.  They will then submit their 2010 Independence Day celebration request as part of their formal Community Funding application this year.  She pointed out that the Town Manager has recommended funding at $25,000. 

Kate Marquez, GOVAC Executive Director, stated that due to the Town Manager’s recommendation for additional funding in the amount of $25,000, GOVAC has reviewed the July 4th celebration and decided to move the event to Oro Valley Marketplace which would cut down on costs.  She stated that the revised plans would cut costs for parking and buses and they believe that they could produce a great event at that approval rate.

MOTION: A motion was made by Vice Mayor Carter and seconded by Council Member Latas to deny additional funding to the Greater Oro Valley Arts Council at this time.

Discussion followed regarding the Independence Day celebration, the early commitments required, Town-wide event, continuation of this item, the status of the Town’s budget deficit, funding levels, current projections and expected revenues.

MOTION failed, 3-4 with Mayor Loomis, Council Member Abbott, Council Member Gillaspie, and Council Member Kunisch opposed.

MOTION: A motion was made by Council Member Kunisch and seconded by Council Member Gillaspie to continue this item until February 4th.

Discussion followed regarding being equitable and looking at all funding requests, spending Town money that is not available, and GOVAC would also need corporate support besides the $25,000 contributed by the Town.

MOTION carried, 4-3 with Vice Mayor Carter, Council Member Garner, and Council Member Latas opposed.

Management Assistant Tory Schlievert reviewed a Power Point presentation regarding proposed changes to the Board and Commission appointment procedures and highlighted the following:
 ~  Potential Process Change:
   - Allow each Council Member to appoint a representative to each of the ten boards and commissions.  (Finance & Bond, Storm Water Utility and Board of Adjustment would be changed from 5 to 7 members). Citizen Corp Council would be increased to 12 members.
    - Proposed timing of appointments:  Appointments would be made in July of each election year.  Terms run from August 1 to July 31.
    - Recommend removal of Council liaison assignments.
    - Eligibility requirements would remain the same (Completion of Citizen Planning Institute (CPI) before serving or during first term and completion of 16 hours of continuing education per term served).
    - Recommend that the Council as a whole appoint representatives to the Pima County Bond Advisory Subcommittee, Regional Transportation Citizen’s Committee, Tucson/Pima County Bicycle Advisory Committee, and Environmental Planning Advisory Committee (EPAC).
   - Recommend that Council continues to appoint representatives from among themselves to serve on outside agency groups.
 ~ Suggested timetable for Process Change:
      -18 of 60 board/commission members’ terms expire June 30, 2009.  Staff recommends extending their terms by one month to coincide with the proposed process change (to July 31, 2009).
      - All Council Members will appoint representatives to fill a one-year term beginning August 2009.
      - The following year, appointments will be made for the full two-year term to fall in line with the terms of elected officials.
 ~ Appointment Process:
    - All nominations would be placed on a regular Council agenda for ratification by a majority of the Council.
   - Council Members may change or replace any individual that they appointed; however, the change must go back to the Council.
   -  Council Members may remove or change the appointee of another Council Member for cause by a majority vote of the Council.
 

Mayor Loomis opened the floor for public comment.

The following Oro Valley residents spoke in opposition to or questioned reasons for the proposed changes to the Board and Commission appointment process citing such reasons as: interviews were conducted in a professional manner, citizens want to be involved in their community, potential for quid pro quo, current process is good, public perception of changes may be negative, would eliminate check and balance system, takes away independent voice and transparency, stifles volunteerism, not in best interest of the Town, current process is fair and altruistic and not political, current process provides a variety of views and a cross section of the community, maintain continuity and keep experience on the Boards/Commissions, recommend further study to compare process with what other cities/towns are doing, what is the problem that the Council was trying to solve with the proposed changes and if the quality of service is at issue, then work with the volunteers: 
Zev Cywan, Art Review Committee
Bob Baughman, Chair of Historic Preservation Commission
Jeanie Honn, Vice Chair of Art Review Commission
Mike Schoeppach, Development Review Board member
Teree Bergman, Chair of Planning & Zoning Commission
Doug McKee, Planning & Zoning Commission Member
Lyra Done, Chair for Parks & Recreation Advisory Board
Bill Adler, Planning and Zoning Member 

Discussion followed regarding:
 ~ Idea was to get all Boards/Commissions to the norm of 7 members.  Council would then each appoint a member.
 ~ Applications would be submitted and volunteers would be selected from that pool.    
 ~ Trying to get standardization.  Council would have input.
 ~  Nothing is broken.  Can still bring Boards up to 7 members but appointments by Council is partisan politics.
 ~  The current process  is good.  If there was a problem, the Council would be hearing about it.
 ~ Concern is for people who have applied for multiple boards or commissions and weren’t selected.  Also concerned that the advertising for positions does not receive good response.
 ~ Take this opportunity to have a discussion with the community about what the Council expects and explain to them what the Council is proposing. 

MOTION: A motion was made by Vice Mayor Carter and seconded by Council Member Latas to direct staff to proceed with the proposed changes as presented.

Council Member Gillaspie stated that he would oppose the motion as he did not feel that an adequate job explaining the process changes to the community volunteers was done.
Council Member Kunisch stated that he would not support the motion as there was nothing broken.
Council Member Latas stated that she would support the motion as she saw things that were broken and that there were things to take into consideration (i.e. eliminating term limits).
Council Member Abbott stated that she would support the motion as this was an opportunity to move in a positive direction.  She stated that she had good faith that Council Members would appoint qualified, independent thinkers.
Mayor Loomis stated that he would oppose the motion as several elements needed additional work.   He stated that the system was not broken and task forces have studied this in the past. 

MOTION failed, 3-4 with Mayor Loomis, Council Member Garner, Council Member Gillaspie, and Council Member Kunisch opposed.

MOTION: A motion was made by Council Member Latas and seconded by Council Member Abbott to continue this item to the second meeting in February (February 18) with the direction that Council seek input from members of the community (especially those not currently on Boards and Commissions).

MOTION carried, 6-1 with Council Member Kunisch opposed.

Mayor Loomis recessed the meeting at 7:40 p.m.  The meeting resumed at 7:50 p.m.

MOTION: A motion was made by and seconded by to

MOTION carried, 5-1 with Mayor Loomis opposed.

Parks and Recreation Director Ainsley Legner presented an update on the Pima County Bond package.  She explained that in 2006, the Town provided a list of projects which included parks and recreation, open space, historic preservation and flood control to be considered in the 2008 bond package.  She explained that the Bond Committee has met over the past 1 1/2 years and that the Town’s original $91 million bond package request has been reduced to $26 million.  Ms. Legner also reported that County Administrator Chuck Huckelberry has recommended that the general obligation bond election be postponed to at least November 2009 due to the economic down turn.  She stated that the Bond Committee has recommended that there be a sewer bond election in 2009.

Discussion followed regarding:
  ~ Equity of Pima County Administrator’s recommendations.
  ~ Are other jurisdictions being handled the same? (Compare Marana, Sahuarita, Tucson, South Tucson).
  ~ Kelly Ranch acquisition (still money from the 2004 bond election to be allocated for acquisition). 
     - Possibly use bond monies allocated for the Kelly Ranch acquisition for Steam Pump Ranch.
     - This property is not in Town limits but is in the Town’s General Plan area and is a significant cultural resource for the region.  Provides continuity for Catalina State Park.  
  ~ Have until June 2009 to make recommendations to the Board of Supervisors to get something on the 2009 ballot.
  ~ Many cities/towns have concerns about subsidizing the Pima County bonds and not getting their fair share.
  ~ Consensus is that the Town is not getting its fair share and that the mix is not right for Oro Valley. 
  ~ Town Manager will send a letter to the Pima County Board of Supervisors stating that the Town does not support the current bond package as recommended by the County Administrator. 

Assistant Town Manager Jerene Watson explained that Resolution (R)09-07 highlights some of the Town’s general legislative philosophies.  She explained that some of the items addressed include the State’s budget concerns, annexation desires, transportation issues and any legislation that might impact  those goals and the State Parks Heritage funding.

Council Member Latas requested that the wording "whether it is the identified route or another alternate" be removed from Transportation Issue #3.

MOTION: A motion was made by Council Member Kunisch and seconded by Council Member Gillaspie to adopt Resolution (R)09-07 to approve the general legislative agenda for the Town during 2009 with the correction as stated by Council Member Latas (remove the wording "whether it is the identified route or another alternate" from Transportation Issue #3).

MOTION carried, 6-0.

Council Member Latas - Add appointment to the Historic Preservation Commission to the February 4th Consent Agenda for consideration.

MOTION: A motion was made by Vice Mayor Carter and seconded by Council Member Garner to adjourn at 8:15 p.m.

MOTION carried, 6-0.