MINUTES
ORO VALLEY TOWN COUNCIL
REGULAR SESSION
December 17, 2014
ORO VALLEY COUNCIL CHAMBERS
11000 N. LA CANADA DRIVE
 
REGULAR SESSION AT OR AFTER 6:00 PM

CALL TO ORDER

Mayor Hiremath called the meeting to order at 6:00 p.m.

ROLL CALL

PRESENT:
Satish Hiremath, Mayor
Lou Waters, Vice Mayor
Brendan Burns, Councilmember
Bill Garner, Councilmember
Joe Hornat, Councilmember
Mary Snider, Councilmember
Mike Zinkin, Councilmember

Councilmember Garner attended the meeting via phone.

PLEDGE OF ALLEGIANCE

Mayor Hiremath led the audience in the Pledge of Allegiance.

UPCOMING MEETING ANNOUNCEMENTS

Communications Administrator Misti Nowak announced the upcoming Town meetings and events.

COUNCIL REPORTS

Vice Mayor Waters reported on the Shop-with-A-Cop program which was administered by the Fraternal Order of Police Lodge #53.

DEPARTMENT REPORTS

No reports were received.

ORDER OF BUSINESS

Mayor Hiremath said the agenda would stand as posted.

INFORMATIONAL ITEMS

1.

Letter of Appreciation - Oro Valley Police Department


Corr Letter of Appreciation

CALL TO AUDIENCE

No comments were received.

CONSENT AGENDA

A.

Minutes - December 3, 2014


12-3-14 Draft Minutes

B.

Fiscal Year 2014/15 Financial Update through October 2014


Attachment A - General Fund

Attachment B - HW Fund

Attachment C - Bed Tax Fund

Attachment D - Summary All Funds

Attachment E - GF Local Sales Tax

C.

Resolution No. (R)14-65, approving a Facility Lease Agreement between the Town of Oro Valley and the Friends of the Oro Valley Public Library


(R)14-65 Friends of OV Library Lease Agreement

Lease Agreement

MOTION: A motion was made by Vice Mayor Waters and seconded by Councilmember Zinkin to approve Consent Agenda items (A)-(C).

MOTION carried, 7-0.

REGULAR AGENDA

1.

RESOLUTION NO. (R)14-66, APPROVING THE ACQUISITION OF THE EL CONQUISTADOR COUNTRY CLUB, GOLF, AND TENNIS FACILITIES AND AUTHORIZING THE TOWN MANAGER TO TAKE THE NECESSARY ACTIONS TO COMPLETE THE ACQUISITION


(R)14-66 Acquisition of the El Conquistador

Town Manager Greg Caton presented item #1 and outlined the following:

-The Property - Review
-Ownership and Management Plan
-Due Diligence

Development and Infrastructure Services Director Paul Keesler presented the following:

-Current Zoning and Entitlements
-Current Zoning
-El Conquistador P.A.D.

Parks and Recreation Director Kristy Diaz-Trahan presented the following:

-2005 General Plan Elements 8 & 9
-Community Outreach and Input
-Organizational Input
-AZ Community Recreation Centers by the Numbers

Finance Director Stacey Lemos presented the following:

Estimated Revenue and Expenses
    -Community & Recreation Center

Capital Improvements - Facilities
     -5-year forecast

Troon Operating Projections
    -Golf, Food/Beverage, Tennis

Capital Improvements - Golf
     -10-year forecast
Financing Recommendation
     -Acquisition, Operations, Capital

Community Center Cost Comparison 
     -Purchase El Conquistador Country Club vs. New Build at $20 Million

Scott Van Newkirk, Senior Vice President of Global Business Development for Troon, discussed the following:

-Troon Background
-Value Proposition
-Operational Efficiencies
-Troon's Experience Within the Hospitality Industry
-Troon Successfully Manages Golf for Public Agencies
-Key Challenges Facing Town
-Clubhouse & Golf Course Renovation Support
-Troon Impact on Renovations at BallenIsles
-Sales & Marketing Strategy
-Troon Tennis
-First Tee Programming / Troon
-Troon Family Golf
-Troon's Player Development Month
-Various Programming Concepts
-Success Story of Indian Wells Golf Resort
-Financial Impacts

Mayor Hiremath opened the public hearing.

The following individuals spoke in support of item #1.

Oro Valley resident Kay Williams
President of the Oro Valley Youth Advisory Council (Y.A.C.), Charles Huang
Oro Valley resident Guy Cook
Oro Valley resident and HOA President, Curt Balko
Oro Valley resident Steve Jones
Oro Valley resident Richard Tracy Sr.
Oro Valley resident Betty Danker
Oro Valley resident John Anderson
Oro Valley resident John Gorman
Oro Valley resident Ed Korte
Oro Valley resident Jim Heckman
Oro Valley resident Dick Johnson
Oro Valley resident Dick Eggerding

The following individuals spoke in opposition to item #1.

George Cates
Oro Valley resident Bill Ayers
Oro Valley resident Wally Vette
Oro Valley resident Alan Dankwerth
Oro Valley resident John Spitler
Oro Valley resident Steve Nord
Oro Valley resident Steve Knapp, Board of Directors of Sun City Oro Valley
Oro Valley resident Art Wiese
Oro Valley resident Jerry Rich
Oro Valley resident Geri Ottobony
Oro Valley resident Shirl Lamonna
Oro Valley resident Virginia Mead
Oro Valley resident Pat Straney
Oro Valley resident Paul Emmert
Oro Valley resident Alex Bissett
Oro Valley resident Richard Highberger
Oro Valley resident Joe Winfield
Oro Valley resident Gil Alexander
Oro Valley resident John Ellinwood
Oro Valley resident Lori Pettijohn
Oro Valley resident Lynne St. Angelo

The following individuals spoke on item #1.

Oro Valley resident Bernie Eaton
Oro Valley resident Rick Chandler
Oro Valley resident Helen Dankwerth
Oro Valley resident Jerry Ward
Oro Valley resident Mark Schneider
Oro Valley resident Tom Danker
Oro Valley resident Alexander Sussman
Oro Valley resident Jeff Horowitz

Mayor Hiremath closed the public hearing.

Mayor Hiremath recessed the meeting at 9:10 p.m.

Mayor Hiremath reconvened the meeting at 9:20 p.m.

Discussion ensued amongst Council and staff regarding the acquisition of the El Conquistador Country Club, golf and tennis facilities.

MOTION: A motion was made by Mayor Hiremath and seconded by Councilmember Hornat to approve Resolution No. (R)14-66, approving the acquisition of the El Conquistador Country Club, golf and tennis facilities as presented.

Councilmember Burns made an amendment to the motion to direct the Town Manager to immediately sell or enter into a public/private partnership with the golf portion of the El Conquistador purchase, seconded by Councilmember Garner.

Mayor Hiremath - No
Vice Mayor Waters - No
Councilmember Burns - Yes
Councilmember Garner - Yes
Councilmember Hornat - No
Councilmember Snider - No
Councilmember Zinkin - Yes

The amendment fails 4-3.

MOTION carried, 4-3 with Councilmember Burns, Councilmember Garner, and Councilmember Zinkin opposed.

2.

PUBLIC HEARING: ORDINANCE NO. (O)14-17, AMENDING THE TAX CODE OF THE TOWN OF ORO VALLEY TO INCREASE THE LOCAL TRANSACTION PRIVILEGE TAX (TPT) RATE FROM 2% TO 2.5% IN VARIOUS CATEGORIES


O14-17 Amending Tax Code - Increase TPT

Mayor Hiremath opened the public hearing.

The following individuals spoke in support of item #2.

Dave Perry, President and CEO of the Greater Oro Valley Chamber of Commerce and Oro Valley resident
Oro Valley resident Helen Dankwerth

Mayor Hiremath closed the public hearing.

MOTION: A motion was made by Councilmember Hornat and seconded by Mayor Hiremath to approve Ordinance No. (O)14-17, amending the Tax Code of the Town of Oro Valley to increase the local transaction privilege tax (TPT) rate from 2% to 2.5% in the various categories outlined in the Ordinance in Exhibit "A" and dedicating the .5% sales tax increase to the community center project.

MOTION carried, 4-3 with Councilmember Burns, Councilmember Garner, and Councilmember Zinkin opposed.

3.

DISCUSSION AND POSSIBLE ACTION TO INITIATE THE 60-DAY PUBLIC NOTICE PROCESS FOR A FUTURE DISCUSSION REGARDING NEW AND INCREASED RECREATION FEES


MOTION: A motion was made by Mayor Hiremath and seconded by Vice Mayor Waters to initiate the 60-day public notice process to discuss new and increased recreation fees at the regular Council meeting on March 18, 2015.

MOTION carried, 6-1 with Councilmember Garner opposed.

FUTURE AGENDA ITEMS

No future agenda items were received.

CALL TO AUDIENCE

No comments were received.

ADJOURNMENT

MOTION: A motion was made by Councilmember Burns and seconded by Vice Mayor Waters to adjourn the meeting at 11:31 p.m.

MOTION carried, 7-0.