[1. CALL TO ORDER NOTICE OF OPTION TO RECESS INTO EXECUTIVE SESSION Pursuant to A.R.S. §38-431.02, notice is hereby given to the members of the City Council and to the general public that, at this regular meeting, the City Council may vote to go into executive session, which will not be open to the public, for legal advice and discussion with the City’s attorneys for legal advice on any item listed on the following agenda, pursuant to A.R.S. §38-431.03(A)(3).]

GOOD AFTERNOON, EVERYONE.

ON BEHALF OF FLAGSTAFF MAYOR BECKY DAGGETT, WHO IS ABSENT TODAY AS SHE IS IN D.C.

ADVOCATING FOR THE CITY ALONGSIDE COUNCIL MEMBER SWEET AND MATTHEWS.

I'M VICE MAYOR AUSTIN ASLAN, AND I AM CALLING THE REGULAR COUNCIL MEETING TO ORDER.

TODAY IS APRIL 18TH, 2023.

JUST A QUICK HOUSECLEANING NOTE BEFORE WE KICK THINGS OFF.

I WOULD LIKE TO PROVIDE NOTICE THAT THE CITY COUNCIL MAY VOTE IF NEEDED TO GO INTO EXECUTIVE SESSION, WHICH WILL NOT BE OPEN TO THE PUBLIC FOR DISCUSSIONS OR LEGAL ADVICE WITH THE CITY'S ATTORNEYS ON ANY ITEM LISTED ON TODAY'S AGENDA.

CITY CLERK PLEASE RECITE THE NAMES OF ALL YOUR FAVORITE PEOPLE FOR US.

MAYOR DAGGETT.

VICE MAYOR ASLIN.

I'M FLATTERED. THANK YOU.

COUNCIL MEMBER HARRIS.

HERE. COUNCIL MEMBER HOUSE.

HERE. COUNCIL MEMBER MATTHEWS.

COUNCIL MEMBER MCCARTHY.

I'M FLATTERED. THANK YOU.

[LAUGHTER] COUNCIL MEMBER SWEET. COUNCIL MEMBER MCCARTHY WILL YOU LEAD US IN THE PLEDGE OF ALLEGIANCE? I WILL. WOULD YOU PLEASE STAND, IF YOU MAY.

IF YOU CAN.

COUNCIL MEMBER HARRIS WHAT IS OUR MISSION AS A CITY? THE MISSION OF THE CITY OF FLAGSTAFF IS TO PROTECT AND ENHANCE THE QUALITY OF LIFE FOR ALL.

AND COUNCIL MEMBER HOUSE. COULD YOU PLEASE READ OUR LAND ACKNOWLEDGMENT FOR US? IT'S MY HONOR. THE FLAGSTAFF CITY COUNCIL HUMBLY ACKNOWLEDGES THE ANCESTRAL HOMELANDS OF THIS AREA'S INDIGENOUS NATIONS AND ORIGINAL STEWARDS.

THESE LANDS STILL INHABITED BY NATIVE DESCENDANTS, BORDER MOUNTAINS, SACRED TO INDIGENOUS PEOPLES.

WE HONOR THEM, THEIR LEGACIES, THEIR TRADITIONS, AND THEIR CONTINUED CONTRIBUTIONS.

WE CELEBRATE THEIR PAST, PRESENT AND FUTURE GENERATIONS WHO WILL FOREVER KNOW THIS PLACE AS HOME.

THANK YOU VERY MUCH.

WE ARE NOW DOWN TO PUBLIC PARTICIPATION.

[4. PUBLIC PARTICIPATION Public Participation enables the public to address the Council about an item that is not on the agenda. Comments relating to items that are on the agenda will be taken at the time that the item is discussed. If you wish to address the Council at tonight's meeting, please complete a comment card and submit it to the recording clerk as soon as possible. Your name will be called when it is your turn to speak. You may address the Council up to three times throughout the meeting, including comments made during Public Participation. Please limit your remarks to three minutes per item to allow everyone an opportunity to speak. At the discretion of the Chair, ten or more persons present at the meeting and wishing to speak may appoint a representative who may have no more than fifteen minutes to speak. ]

PUBLIC PARTICIPATION IS AN OPPORTUNITY FOR THE PUBLIC TO SPEAK ON ITEMS THAT ARE NOT ON TONIGHT'S AGENDA.

PLEASE LIMIT YOUR COMMENTS TO THREE MINUTES, AND THE COUNCIL IS NOT ABLE TO RESPOND TO ANY COMMENTS, EVEN THOUGH WE MAY LIKE TO BECAUSE OF THE TOPICS HAVEN'T BEEN AGENDIZED. AND WE DO HAVE SEVERAL SPEAKERS HERE FOR US.

FIRST UP IS AUSTIN MCCORMICK.

GOING START. GOOD AFTERNOON.

GO AHEAD. WELL, I'M AUSTIN MCCORMICK.

I'M A FRESHMAN AT NAU AND I JUST WANTED TO TALK ABOUT THE ROAD CONDITIONS AND FLAGSTAFF.

I SAW THAT FLAGSTAFF.GOV PROPOSED A $100 MILLION BILL TO TO IMPROVE ROAD SAFETY AND CONDITIONS.

AND I JUST WANTED TO SEE THAT GO TOWARDS THE FIXING OF POTHOLES AND REPAINTING ALL THE ROADWAY MARKERS BECAUSE GOING DOWN SOME ROADS THEY ARE VERY HARD TO SEE.

THANK YOU. THANK YOU VERY MUCH, AUSTIN.

NEXT UP, WE HAVE JILL STEVENSON.

HELLO, VICE MAYOR, COUNCIL MEMBERS AND STAFF.

I THINK WE ALL KNOW THE SCIENCE OF CLIMATE CHANGE.

THE CAUSES AND EFFECTS OF CLIMATE CHANGE ARE INCREASING DRAMATICALLY RAPIDLY MELTING GLACIERS ARE CAUSING WARMING AND ACIDIFICATION OF OCEANS, MAKING THEM NO LONGER ABLE TO ABSORB CO2.

THERE ARE LESS WHITE REFLECTING EARTH'S SURFACES TO HELP COOL AND MORE DARK SURFACES ABSORBING SUNS HEAT.

THAWING PERMAFROST IS RELEASING STORED CO2.

THE WELL BALANCED EARTH LIFE CYCLES ARE BREAKING DOWN.

HUMAN EXPLOITATION OF EARTH'S RESOURCES HAS CAUSED THE ANTHROPOCENE THE ERA WE ARE NOW IN.

IF WE DON'T SUPPORT IMMEDIATE MEASURES TO MITIGATE CLIMATE WARMING, WEATHER EXTREMES WILL WORSEN AND ADAPTATION OF LIFE FORMS BECOME INCREASINGLY DIFFICULT, IF NOT IMPOSSIBLE.

IN JUNE OF 2021, WE WERE GIVEN HOPE BY THE CITY'S ADOPTION OF THE UPDATED FLAGSTAFF CARBON NEUTRALITY PLAN.

IT IS AN INSPIRING DOCUMENT OF INTENDED ACTIONS TOWARDS CLIMATE MITIGATION.

[00:05:02]

IT NEEDS TO BE IMPLEMENTED.

THE COUNCIL'S MOST RECENT COMMITMENT TO ACTUALLY IMPROVE THE SAFETY FOR BIKERS AND PEDESTRIANS BY UPDATING CERTAIN BIKE LANES AND INTERSECTIONS IS COMMENDABLE.

AN EXCELLENT BEGINNING IN THE RIGHT DIRECTION.

HOWEVER, WE NEED MANY MORE SUCH POSITIVE ACTIONS IF WE ARE TO ATTAIN CARBON NEUTRALITY BY 2030.

WE NEED TO STOP CONDONING AND FACILITATING THE USE OF FOSSIL FUELS AS QUICKLY AS POSSIBLE.

WE NEED TO CONVERT TO RENEWABLE ENERGY SOURCES AS RAPIDLY AS POSSIBLE.

WE MUST QUICKLY CONVERT FLEET VEHICLES FROM GASOLINE TO ELECTRIC AND ENCOURAGE OTHER CITY ENTITIES TO DO THE SAME.

WE NEED TO MAKE IT EASIER FOR CITIZENS TO CONVERT TO CLEAN ELECTRICITY IN THEIR HOMES AND VEHICLES.

THE INFLATION REDUCTION ACT IS A GREAT HELP.

WE MUST MANDATE GREEN CONSTRUCTION.

IF CORPORATIONS WANT TO BENEFIT BY BEING PART OF THE FLAGSTAFF COMMUNITY, THEY MUST BE REQUIRED TO BUILD GREEN AND BE ENERGY EFFICIENT.

AS COMMUNITY MEMBERS, WE WANT TO HELP AS MEMBERS OF THE NACCA THE NORTHERN ARIZONA CLIMATE CHANGE ALLIANCE.

WE ARE WILLING TO DEVOTE MUCH TIME, ENERGY AND EXPERTISE TO INFORMING, ENGAGING AND ENABLING OTHERS TO JOIN THIS ENDEAVOR.

BUT YOU, AS VICE MAYOR AND CITY COUNCIL MEMBERS CAN HAVE THE MOST IMPACT.

LET YOUR CARBON NEUTRALITY PLAN GUIDE YOUR ACTIONS.

DO WHAT IS RIGHT FOR OUR COMMUNITY, OUR COUNTRY, AND OUR PLANET.

THANK YOU VERY MUCH.

THANK YOU VERY MUCH FOR THOSE COMMENTS.

JILL. NEXT UP IS CAITLIN HAN.

VICE MAYOR. I'M TERRIBLY SORRY TO INTERRUPT.

GO AHEAD. WE ARE HAVING SOME TECHNICAL ISSUES.

WE'VE OUR CALLS HAVE BEEN DROPPED.

SO I THINK IF WE COULD TAKE A FIVE MINUTE BREAK, SEE IF WE CAN FIND OUT WHAT'S GOING ON.

THANK YOU. WE'RE ON RECESS FOR ABOUT FIVE MINUTES HERE.

MY APOLOGIES.

MAYOR, WE ARE BACK UP AND RUNNING.

YOU CAN GO AHEAD AND GET US GOING.

IS THE SOLAR FLARE EVENT OVER.

OKAY. I APOLOGIZE TO THE PUBLIC FOR THE DELAY.

OUR RECESS MAY END UP BEING LONGER THAN OUR COUNCIL MEETING TODAY, WHICH IS INEFFICIENT, TO SAY THE LEAST.

BUT THANKS FOR THAT INTERRUPTION BROUGHT TO US BY TECHNICAL DIFFICULTIES.

I BELIEVE WE WERE STILL IN PUBLIC COMMENT.

SO LET'S GO AHEAD AND CONTINUE WITH THAT.

NEXT UP WAS GOING TO BE CAITLIN HAN IF SHE HAS DECIDED NOT TO LEAVE.

THERE SHE IS. OKAY, GOOD.

ALL RIGHT. SO CURRENTLY I'M A JUNIOR AT NAU AND I JUST WANTED TO ADDRESS THE AFFORDABLE HOUSING ISSUES WE HAVE IN FLAGSTAFF.

THE CITY HAS PROPOSED SEVERAL SOLUTIONS, INCLUDING BUILDING MORE AFFORDABLE HOUSING UNITS AND INCREASING FUNDING FOR PROGRAMS THAT PROVIDE RENTAL ASSISTANCE AND HELP WITH DOWN PAYMENTS FOR LOW INCOME RESIDENTS.

BUT AS A PAYING RESIDENT OF ALMOST THREE YEARS, I HAVEN'T NOTICED MUCH CHANGE BESIDES INCREASE IN RENT.

EVEN THOUGH I'M STILL IN THE SAME ROOM, SAME APARTMENT, SAME UNIT IT'S GONE UP ALMOST $150 SINCE I'VE MOVED HERE.

AND I'VE ALSO NOTICED THAT INCOMING FRESHMAN FOR NEXT YEAR ARE HAVING A HARD TIME EVEN FINDING ANYWHERE IN FLAGSTAFF, WHETHER THAT BE ON CAMPUS OR OFF CAMPUS AND AFFORDABLE.

SO I WAS JUST WANTING TO STATE THAT SO WE CAN MOVE FORWARD AND TAKE MORE ACTION.

THANK YOU. THANK YOU, CAITLIN.

NEXT UP IS CALEB GULLINGS.

HI. SO I WANTED TO TALK ABOUT SOME OF THE ROAD CONDITIONS.

ROAD 66.

SO BY THE INTERSECTION OF ROUTE 66 AND NORTH 89, AND ESPECIALLY ON THE ROAD WHERE ROUTE 66 IS IN BETWEEN THE DEMERS GLASS BUILDING AND THE ROUTE 66 AUTO PARK, THERE IS A DANGEROUS LACK OF VISIBLE LINES ON THE ROAD.

IT IS VERY DIFFICULT TO SEE THEM IN BROAD DAYLIGHT AND NEARLY IMPOSSIBLE TO SEE AT NIGHT.

THE LINES ARE LARGELY MISSING THROUGHOUT THE BEND OF THE ROAD AND THE TIGHT TURNS YOU HAVE TO TAKE TO MAKE IT FEEL DANGEROUS AS YOU'RE NOT SURE IF INCOMING DRIVERS ARE ON THE SAME PAGE AS YOU AS FAR AS DIRECTION GOES.

MYSELF AND MANY OTHERS I KNOW STRUGGLE TO SEE ANY LINES IN THAT AREA OF THE ROAD, AND I AM JUST CALLING ATTENTION FOR THAT SECTION OF ROUTE 66 TO BE REPAINTED FOR THE SAFETY OF OTHERS AND MYSELF.

THANK YOU. THANK YOU VERY MUCH, CALEB.

PAUL HARROW IS OUR NEXT SPEAKER.

GOOD AFTERNOON, PAUL.

GOOD AFTERNOON, MAYOR AND TOWN COUNCIL, MAYORS, STAFF.

HOW ARE YOU ALL DOING? MY NAME IS PAUL OTTO AND MY FAMILY HAS LIVED NEAR BUSHMASTER PARK FOR 30 YEARS, ALONG WITH OTHER GREAT NEIGHBORS WE KNOW THAT FOUGHT HARD TO IMPROVE IT,

[00:10:09]

ALONG WITH PROTECTING THE BEAUTIFUL PONDEROSA PINE TREES WE ALL LOVE.

NEIGHBORHOODS AROUND BUSHMASTER PARK HAVE BEEN QUIET, PEACEFUL AND TRANQUIL FOR THE MOST PART UNTIL RECENT YEARS.

SOMETIME DURING 2019, PICKLEBALL STARTED TAKING OVER THE TENNIS COURTS AND BASKETBALL COURTS AT BUSHMASTER PARK AS NEEDED TO SATISFY THEIR ADDICTION TO IT. THEY SOMETIMES KICK OFF KIDS FROM THE BASKETBALL COURTS, STATING THEY ARE RESERVED FOR PICKLEBALL PLAYERS AS THEY HAVE TWO NETS READY TO SET UP WHENEVER THEY WANT IT.

IT HAS BEEN A MAJOR PROBLEM OVER THE LAST FOUR YEARS TO GET TENNIS COURTS, MOSTLY TO PLAY ON AGAINST THE PRACTICE WALL OR THE FULL TENNIS COURT TO PRACTICE SERVES PRACTICE RETURNS WITH A MACHINE OR PLAY A GAME WITH SOMEONE.

WE CAN'T ALWAYS COMPROMISE WITH SOME RUDE PICKLEBALL PLAYERS DEMANDING AND BULLYING OTHERS FOR THEIR COURT TIME, EVEN AFTER PLAYING DURING THEIR PERMANENT 8 A.M.

TO 12 P.M. DAILY USE RESERVATIONS OF THE TENNIS OR BASKETBALL COURTS.

I HAVE COMPLAINED TO TYRONE JOHNSON AT THE RECREATION DEPARTMENT ABOUT THINGS, ALONG WITH GETTING MORE COURT TIME FOR TENNIS PLAYERS THAT NEVER GOT ADDRESSED.

I HAVE HEARD PLENTY OF COMPLAINTS FROM OTHER TENNIS PLAYERS AND COACHES ABOUT PICKLEBALL PLAYERS' RUDE BEHAVIOR TOWARDS THEM WHEN THEY ARE TOLD TO PLAY AT THORPE PARK INSTEAD, WHEN THEY JUST WANT TO PLAY TENNIS ON THE ONLY TENNIS COURTS IN THE NEIGHBORHOOD THAT WE LIVE IN.

WE ARE HAPPY THEY FINALLY FOUND A SPORT THEY LOVE, BUT IT SHOULDN'T INFRINGE ON THE JOY OF OTHERS THAT WANT TO PLAY TENNIS OR BASKETBALL.

WE WANT THEM TO GET THEIR OWN COURTS BUILT FAR AWAY FROM RESIDENTIAL AREAS AS WE HAVE SUGGESTED.

THEY WILL BE VERY ANNOYED BY THAT LOUD NOISE THEY CAUSE, ESPECIALLY IN LARGE GROUPS OF PEOPLE.

I'M CONCERNED THAT PLAYING AROUND LOUD PICKLEBALL NOISE WILL EVENTUALLY DAMAGE YOUR HEARING AS I WEAR EARPLUGS TO PLAY AROUND THEM.

IT'S ANNOYING WHEN YOU ARE NOT USED TO PLAYING THAT WAY, BUT THE PICKLEBALL PLAYERS OR ORGANIZATIONS SEEM TO BE USING A PLAYBOOK TO INFILTRATE A CITY, TAKE OVER THEIR TENNIS AND BASKETBALL COURTS, PISS OFF THESE PLAYERS ENOUGH TO SIGN A PETITION TO BUILD THEM SOME LOUD PICKLEBALL COURTS SOMEWHERE AND THEN MAKE QUICK PLANS WITHOUT PROPERLY NOTIFYING THE ENTIRE NEIGHBORHOOD SURROUNDING THE PARK FIRST LIKE THEY DID WHEN THEY TOOK OVER THE COURTS BEHIND MOST OF OUR NEIGHBORS BACKS.

HOW WAS THAT ALLOWED IN THE FIRST PLACE? THINGS THAT MAKE YOU GO HUM.

AND NOW BUSHMASTER PARK HAS BECOME THE PICKLEBALL CAPITAL OF FLAGSTAFF.

THOSE NEIGHBORS AROUND BUSHMASTER PARK ARE NOW COMPLAINING ABOUT THEM MORE AND THEIR RECENT PLANS TO NOW BUILD EIGHT LED LIGHTED PICKLEBALL COURTS CLOSER TO THE NEIGHBORHOOD AND PERMANENTLY CUT DOWN TOO MANY BEAUTIFUL PONDEROSA PINE TREES THAT FUTURE GENERATIONS SHOULD ENJOY.

THESE PINE TREES ARE SOCIAL BEINGS WITH OLD SOULS THAT HAVE BEEN AROUND LONGER THAN FLAGSTAFF EXISTED AND NEED TO BE PROTECTED FROM NEW FAD SPORT LIKE PICKLEBALL THAT MAY BE TEMPORARY UNTIL THE NEXT FUN SPORT IS DISCOVERED, BUT IT'S TOO LOUD TO BE BUILDING THEM NEAR A RESIDENTIAL AREA.

THANK YOU PAUL.

AND I'LL EMAIL YOU THE REST.

OKAY. FURTHER COMPLAINTS, DETAILS AND WHATNOT.

THANK YOU. BUT THERE'S GOING TO BE MORE NEIGHBORS COMPLAINED ABOUT THIS, SO I HOPE YOU PAY ATTENTION TO THEM AND THANK YOU FOR YOUR ATTENTION TO THIS IMPORTANT MATTER.

THANK YOU, PAUL. I BELIEVE WE'RE DONE WITH PUBLIC PARTICIPATION FOR NOW SO WE CAN MOVE ON TO AGENDA ITEM NUMBER SIX.

THAT'S CONSENT ITEMS. SHOULD BE NICE AND EASY AS THERE IS ONLY ONE ITEM, SO NOTHING TO BE PULLED.

COUNCIL I COULD ASK FOR A MOTION TO APPROVE THE CONSENT AGENDA AS WRITTEN.

MAYOR I'LL MOVE TO.

WELL, ACTUALLY, I THINK WE MIGHT HAVE SKIPPED SOMETHING, THOUGH.

[5. COUNCIL LIAISON REPORTS]

ITEM FIVE. YEAH LIAISON REPORTS.

YES. THANK YOU VERY MUCH.

COUNCIL MEMBER HOUSE. WHY DON'T YOU KICK US OFF WITH A LIAISON REPORT, IF YOU HAVE ONE.

AND JUST FOR THE PUBLIC'S CONSUMPTION COUNT LIAISON REPORTS IS A CHANCE FOR COUNCIL TO PROVIDE INFORMATION REGARDING COMMISSIONS THAT THEIR LIAISONS FOR AS WELL AS ANY OF THE EXTERNAL BOARDS AND COMMITTEES THEY MIGHT BE A PART OF, JUST A CHANCE TO CHECK IN WITH EACH OTHER.

GO AHEAD. SURE.

SO MY TWO COMMISSIONS HAVE NOT MET YET THIS MONTH, BUT I DID HAVE A VERY PRODUCTIVE MEETING WITH THE CITY OF FLAGSTAFF HOUSING TEAM LAST WEEK. WE TALKED ABOUT CDBG FUNDING, THE TEN YEAR HOUSING PLAN AND SOME OF THE OTHER WORK THAT THEY'RE DOING.

AND I WANTED TO RAISE THIS SPECIFICALLY TONIGHT BECAUSE OF THE PUBLIC COMMENT THAT WE HAD ABOUT THE STATE OF HOUSING.

YOU KNOW, IT'S DEFINITELY BEEN A LONG CHALLENGE AND IT'S SOMETHING THAT THE HOUSING TEAM IS WORKING REALLY HARD TO GET THAT TEN YEAR PLAN IMPLEMENTED, ESPECIALLY WITH THE PASSAGE OF THE BOND MEASURE AND SOME OF THE SPECIFIC WORK THAT'S GOING INTO THAT.

AND SO I KNOW THAT THEY ARE LOOKING TO SOON AND AS SOON AS POSSIBLE BRING FORWARD THE FIRST YEAR IMPLEMENTATION PLAN FOR THAT TEN YEAR HOUSING PLAN

[00:15:07]

AND START TO WORK ON SOME OF THOSE PROGRAMS THAT ARE BEING SUGGESTED.

IT IS BY NO MEANS A GUARANTEE OF RAPID CHANGE THAT WE'LL SEE.

BUT HOUSING CHANGES DO TEND TO HAPPEN INCREMENTALLY.

AND SO THAT'S WHAT THEY ARE WORKING ON, IS SEEING HOW QUICKLY THEY CAN BRING SOME OF THOSE CHANGES TO OUR COMMUNITY.

AND THAT'S IT.

ALL RIGHT. THANK YOU, COUNCILMEMBER MCCARTHY.

WELL, THANK YOU, VICE MAYOR.

I ATTENDED THE PEDESTRIAN COMMITTEE AND THE BICYCLE COMMITTEE MEETINGS THIS LAST WEEK, AND I ATTENDED THE PLANNING AND ZONING MEETING.

I'M NOT THE LIAISON TO THAT, BUT I DID ATTEND THE SUBJECT WAS THE NEW HOSPITAL.

IT WAS STANDING ROOM ONLY.

A LOT OF INTEREST IN THAT ISSUE.

AND THEN I DID ATTEND WITH SEVERAL OTHER COUNCIL MEMBERS, THE MEET AND GREET WITH THE CANDIDATE FOR THE NEW AIRPORT DIRECTOR. AND I'LL JUST SAY IT RIGHT NOW, HE WAS VERY SHARP.

I WAS PRETTY IMPRESSED.

IT LOOKS LIKE A GOOD GUY.

OKAY. THANK YOU.

I'LL GO AHEAD AND GO NEXT.

DIDN'T HAVE ANY COMMISSION MEETINGS THIS WEEK, BUT IT WAS A BUSY WEEK.

ONE HIGHLIGHT WAS THE WEBINAR THAT TYLER DENHAM PUT ON.

HE'S A LOCAL CITIZEN HERE AND A MEMBER OF ONE OF OUR COMMISSIONS, BUT HE WAS OPERATING AS AN INDIVIDUAL CAPACITY ON THIS RETHINKING PARKING LESSONS FROM BUFFALO.

IT WAS A NICE HOUR LONG CONVERSATION, JUST DIVING INTO THE STRATEGIES THAT HAVE BEEN IMPLEMENTED IN BUFFALO OVER THE YEARS THAT I REALLY HIGHLY RECOMMEND FOLKS WHO WEREN'T THERE WITH US LIVE ON THE WEBINAR, GO BACK AND WATCH IT AS HOMEWORK.

VERY, VERY GOOD CONVERSATION.

IT GOT ME THINKING IN NEW DIRECTIONS AND GOT ME THINKING ABOUT THE SUBJECT OF PARKING FROM A DIFFERENT PERSPECTIVE.

AND I THINK THAT'S VERY VALUABLE AND WILL BE VERY VALUABLE FOR US MOVING FORWARD HERE IN THE CITY AS WE TACKLE THOSE SAME ISSUES OURSELVES.

THERE IS ALSO AN ALLIANCE MEETING ON FRIDAY MORNING.

THIS IS A MONTHLY GATHERING BETWEEN CITY, COUNTY AND OTHER AGENCIES, INCLUDING THE COMMUNITY COLLEGE AND NAU MOUNTAIN LION.

MANY GROUPS IN TOWN JUST TO GET TOGETHER AND KNOCK HEADS, COMPARE NOTES AND STRATEGIZE A LITTLE BIT ABOUT THINGS THAT OVERLAP IN ALL OF OUR DOMAINS. VERY GOOD MEETING.

AND I ALSO WAS ABLE TO MEET WITH EVAN TERRILL, OUR PUBLIC WORKS SECTION DIRECTOR OF SOLID WASTE AND FLEET.

WE TALKED MOSTLY ABOUT THE MURF AND THE CONVERSATION THAT'S COMING DOWN THE PIKE ON THAT ONE.

WE HAVE SOME DECISIONS TO MAKE BEFORE SEPTEMBER WHEN THE CURRENT CONTRACT FOR RECYCLING SERVICES EXPIRES, AND IT WAS JUST GREAT TO GET TO KNOW HIM.

WHAT A GREAT HIRE.

I THINK HE'S GOING TO BE AN AMAZING FIT FOR THAT ROLE AND LOOKING FORWARD TO THOSE CONVERSATIONS AS THEY TRANSITION TO A MORE PUBLIC ARENA.

AND FINALLY THIS MORNING, I ATTENDED THE BOYS AND GIRLS CLUB YOUTH OF THE YEAR AWARD LUNCHEON, WHICH WAS REALLY NICE OPPORTUNITY TO JUST HANG OUT OVER THERE AT THE BOYS AND GIRLS CLUB CENTER OVER BY BRENNAN HOMES AND CELEBRATE SOME REALLY, REALLY FANTASTIC YOUTH IN OUR TOWN WHO ARE JUST AMAZING AND INSPIRATIONAL AND LAVISHED WITH SOME REALLY COOL SWAG IN THE FORM OF COMPUTERS AND GADGETRY FROM BEST BUY AND SCHOLARSHIPS FOR THEIR ONGOING EDUCATIONAL NEEDS.

VERY INSPIRING MORNING AND FUN TO BE A PART OF THAT.

THAT'S ALL I HAVE FOR NOW.

COUNCIL MEMBER HARRIS.

YES. THIS WEEK I MET WITH THE AIRPORT COMMISSION AND THE TOPIC OF CONVERSATION WAS JUST GETTING READY TO OPEN UP THE PAID PARKING LOTS AND THEY'LL BE WORKING WITH PARK FLAG TO MONITOR AND TO LOOK AT HOW THEY MANAGE THOSE LOTS.

AND SO FOR THOSE OF US WHO FLY OUT OF FLAGSTAFF AND WERE NOT USED TO PAYING FOR PARKING, WE PROBABLY SHOULD JUST KIND OF GET OUR HEADS SET.

AND I WOULD JUST ENCOURAGE PEOPLE TO TAKE A TRIP OUT THERE AND KIND OF LOOK AT WHERE YOU MIGHT BE PARKING FOR THOSE OF YOU WHO FLY OUT.

EVIDENTLY THEY ARE QUITE A BIT OF PROBLEMS WITH PEOPLE ABANDONING CARS IN THE AIRPORT PARKING LOT AND JUST LEAVING THEM.

[00:20:01]

AND SO THIS WILL HOPEFULLY GET AT SOME OF THAT AS WELL AS SOME OTHER ISSUES WITH PARKING.

SO THAT'S ALL FOR NOW.

WONDERFUL. THANK YOU. COUNCILMEMBERS.

[6. CONSENT ITEMS All matters under Consent Agenda are considered by the City Council to be routine and will be enacted by one motion approving the recommendations listed on the agenda. Unless otherwise indicated, expenditures approved by Council are budgeted items.]

NOW WE CAN MOVE ON TO ITEM NUMBER SIX.

I'M VERY SURPRISED COUNCIL MEMBER HOUSE GOT TO ME ON THAT ONE FIRST FOR THE CLERK DID, BUT DULY NOTED.

HERE WE GO. SO WE HAVE A CONSENT AGENDA ITEM TO CONSIDER AND APPROVE CHANGE ORDER NUMBER 17 WITH SHEPHARD WESZNITZER, INC.

IN THE AMOUNT OF $190,700 AND A 365 DAY CALENDAR TIME EXTENSION FOR THE RIO DE FLAG FLOOD CONTROL, UTILITY RELOCATION DESIGN SERVICES CONTRACT.

SO LOOKING FOR A MOTION AND THEN WE CAN HAVE SOME DISCUSSION.

SO I WILL MOVE TO APPROVE CHANGE ORDER NUMBER 17 IN THE AMOUNT OF $190,700 AND A 365 CALENDAR DAY TIME EXTENSION FOR THE RIO DE FLAG, FLOOD CONTROL, UTILITY RELOCATION DESIGN SERVICES CONTRACT AND AUTHORIZE THE CITY MANAGER TO EXECUTE THE NECESSARY DOCUMENTS. I'LL SECOND.

THANK YOU. COUNCIL MEMBER HOUSE AND HARRIS.

DO WE HAVE ANY FURTHER DISCUSSION ON THIS OR DO WE NEED ANY FURTHER DISCUSSION? WONDERFUL. SO ALL THOSE IN FAVOR? AYE. AYE, AYE, AYE.

ANY OPPOSED? WITH THAT MOTION CARRIES 4 TO 0.

AND NOW WE CAN MOVE ON TO ROUTINE ITEMS.

[A. Consideration and Adoption of Ordinance No. 2023-07: An ordinance of the Flagstaff City Council authorizing the acquisition of real property for the Cinder Lake Landfill Road Improvement Project; providing for delegation of authority, repeal of conflicting ordinances, severability, authority for clerical corrections, and establishing an effective date STAFF RECOMMENDED ACTION: 1) Read Ordinance No. 2023-07 by title only for the final time 2) City Clerk reads Ordinance No. 2023-07 by title only (if approved above) 3) Adopt Ordinance No. 2023-07]

STARTING WITH ITEM 7A STAFF'S RECOMMENDED ACTION IS THAT WE READ RESOLUTION 2023-07 AND THEN ADOPT IT.

DO WE HAVE A FORMAL PRESENTATION? NO VICE MAYOR.

I DON'T BELIEVE THAT WE DO.

THESE WERE PRESENTED TWO WEEKS AGO.

SO THIS WILL BE A FINAL READ AND ADOPTION.

OKAY. JUST DOUBLE CHECKING.

SO. LOOKING FOR A MOTION.

SO I MOVE TO READ ORDINANCE 2023-07 BY TITLE ONLY FOR THE FINAL TIME.

I'LL SECOND. WE HAVE A MOTION BY COUNCIL MEMBER MCCARTHY AND A SECOND BY COUNCIL MEMBER HOUSE.

ANY DISCUSSION.

ALL THOSE IN FAVOR SAY AYE? AYE. ANY OPPOSED.

THAT ONE IS ADOPTED.

CITY CLERK. AN ORDINANCE OF THE FLAGSTAFF CITY COUNCIL AUTHORIZING THE ACQUISITION OF REAL PROPERTY FOR THE CINDER LAKE LANDFILL ROAD IMPROVEMENT PROJECT, PROVIDING FOR DELEGATION OF AUTHORITY, REPEAL OF CONFLICTING ORDINANCES, SEVERABILITY AUTHORITY FOR CLERICAL CORRECTIONS, AND ESTABLISHING AN EFFECTIVE DATE.

I MOVE TO ADOPT 2023-07.

I'LL SECOND THAT. NOW WHAT? NOW WE VOTE TO ADOPT.

ALL THOSE IN FAVOR? AYE, AYE.

ANY OPPOSED? I DON'T THINK SO. OKAY.

THAT ORDINANCE IS ADOPTED.

AND WE CAN MOVE ON TO 7B NOW.

RIGHT. ALL RIGHT, SO 7B IS ANOTHER ORDINANCE 2023-08, AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

[B. Consideration and Adoption of Ordinance No. 2023-08: An ordinance of the City Council of the City of Flagstaff authorizing the acquisition of real property interests for the Schultz Creek Stabilization Project and the Highway 180 Culvert Project; providing for delegation of authority, severability, repeal of conflicting ordinances, authority for clerical corrections, and establishing an effective date STAFF RECOMMENDED ACTION: 1) Read Ordinance No. 2023-08 by title only for the final time 2) City Clerk reads Ordinance No. 2023-08 by title only (if approved above) 3) Adopt Ordinance No. 2023-08]

FLAGSTAFF AUTHORIZING THE ACQUISITION OF REAL PROPERTY INTERESTS FOR THE SCHULTZ CREEK STABILIZATION PROJECT AND THE HIGHWAY 180 CULVERT PROJECT, PROVIDING FOR DELEGATION OF AUTHORITY SEVERABILITY, REPEAL OF CONFLICTING ORDINANCES, AUTHORITY OF FOR CLERICAL CORRECTIONS AND ESTABLISHING AN EFFECTIVE DATE.

CITY CLERK DO WE HAVE ANY COMMENTS? A PRESENTATION HERE.

OKAY. HEY, GOOD AFTERNOON VICE MAYOR.

BRYCE DOTY, REAL ESTATE MANAGER.

NO FURTHER PRESENTATION, BUT HAPPY TO ANSWER ANY QUESTIONS YOU MAY HAVE.

THANKS. I KNOW THERE'S SOME THINGS HAPPENING RIGHT NOW AROUND THE 180 CULVERT.

I DON'T KNOW IF YOU WANT TO TAKE THE OPPORTUNITY TO GIVE US A 30,000 FOOT VIEW OF SOME OF THAT STUFF WHILE YOU HAVE THE CHANCE OR? SURE. ABSOLUTELY.

SO I THINK WE'RE ALL AWARE THAT ADOT HAS BEEN OUT THERE THIS WEEK KIND OF DOING SOME EMERGENCY WORK ON THE CULVERT THERE THROUGH OUR KIND OF DISCUSSIONS WITH THEM. IT LOOKS LIKE THERE ARE SOME OPPORTUNITIES TO REROUTE SOME OF THIS WORK FROM THE LUTHERAN CHURCH ONTO PARCELS.

THE FLAGSTAFF PARCEL AND THEN THE GRAND CANYON TRUST PARCEL.

[00:25:04]

AND SO WE'RE KIND OF WORKING IN THAT DIRECTION.

WE'VE HAD A LOT OF FRUITFUL CONVERSATIONS WITH THEM AND THE OWNER RIGHT BEHIND THEM.

AND I THINK WE'RE TO A POINT WHERE WE CAN SAY THAT WE CAN BEGIN WORK ON AN ADDITIONAL EMERGENCY CULVERT THIS YEAR.

GREAT. AND ED'S HERE IF YOU'D LIKE TO.

YEAH. ED, IF YOU WANT TO ADD ANYTHING QUICKLY, BRIEFLY, HIGH LEVEL.

GO FOR IT. HONESTLY, I THINK BRYCE DID A GREAT JOB THERE.

SO YEAH. ED SCHENK STORMWATER MANAGER.

IF YOU HAVE ANY FURTHER QUESTIONS.

HAPPY TO TAKE THEM.

CITY MANAGER.

YEAH. THANK YOU FOR ASKING FOR THE OVERVIEW.

THERE'S A LOT OF EXCITING THINGS HAPPENING AND COUNCIL CAN EXPECT A VERY THOROUGH UPDATE AS THINGS ARE PROGRESSING AND THEY ARE PROGRESSING RAPIDLY AND IT'S ALL QUITE POSITIVE.

I WOULD LIKE TO TAKE THE OPPORTUNITY TO EXPRESS TO OUR STAFF THAT I HAD A MEETING OVER LAST WEEKEND WITH ONE OF THE OUR LOCAL RESIDENTS WHO SERVED AS A LIAISON IN THIS PROCESS, CONNECTING US WITH AN OUT OF TOWN LANDOWNER AND BEING A PART OF THE DISCUSSIONS THAT OCCURRED.

AND HE JUST PAID BIG COMPLIMENTS TO THE STAFF FOR HOW THIS WAS HANDLED WITH UNKNOWN PROPERTY OWNERS FROM OUT OF TOWN AND IN THE ONE INSTANCE.

SO A VERY NICE MEETING TO ATTEND AND I WANTED TO PASS ON THAT NOTE OF APPRECIATION.

THANK YOU. THANK YOU, CITY MANAGER.

ANY OTHER QUESTIONS OR COMMENTS? THANK YOU, BRYCE. THANK YOU, ED.

I THINK WE'RE OKAY.

WHERE ARE WE AT? WE READY TO READ THE ORDINANCE BY TITLE ONLY FOR THE FINAL TIME IF SOMEONE WANTS TO MAKE A MOTION? VICE MAYOR, I WILL MOVE TO READ ORDINANCE NUMBER 2023-08 BY TITLE ONLY FOR THE FINAL TIME.

THANK YOU. WE HAVE A MOTION FROM COUNCIL MEMBER HOUSE AND A SECOND FROM.

SECOND.

COUNCILMEMBER HARRIS.

CITY CLERK. WE NEED ANY FURTHER DISCUSSION QUESTION AND THEN A CALL FOR THE VOTE.

ANYONE WANT TO TALK ABOUT THIS MORE? NO. OH, I'D LIKE TO HAVE THE VOTE.

OKAY. YEAH, LET'S GO AHEAD AND VOTE.

MY APOLOGIES. GETTING AHEAD OF MYSELF.

ALL THOSE IN FAVOR? AYE, AYE. AYE.

AND ANY OPPOSED? I'M A YES VOTE AS WELL.

NOW WE CAN HAVE THE CITY CLERK READ THE ORDINANCE BY TITLE ONLY FOR THE FINAL TIME.

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FLAGSTAFF AUTHORIZING THE ACQUISITION OF REAL PROPERTY INTERESTS FOR THE PROJECT IN THE HIGHWAY 180 CULVERT PROJECT, PROVIDING FOR DELEGATION OF AUTHORITY SEVERABILITY, REPEAL OF CONFLICTING ORDINANCES, AUTHORITY FOR CLERICAL CORRECTIONS AND ESTABLISHING AN EFFECTIVE DATE.

WONDERFUL. I MOVE TO ADOPT ORDINANCE NUMBER 2023-08.

I'LL SECOND. THANK YOU.

WE HAVE A MOTION AND A SECOND FOR ADOPTING ORDINANCE 2023-08.

IS THERE ANY FURTHER DISCUSSION? ALL THOSE IN FAVOR? AYE. AYE. AYE. ANY OPPOSED? THAT ORDINANCE PASSES.

ONTO ROUTINE ITEM 7C.

[C. Consideration and Adoption of Ordinance No. 2023-09: An ordinance of the City Council of the City of Flagstaff dedicating a public access easement across city-owned property located at 3500 N. West St.; providing for delegation of authority, repeal of conflicting ordinances, severability, clerical corrections, and establishing an effective date STAFF RECOMMENDED ACTION: 1) Read Ordinance No. 2023-09 by title only for the final time 2) City Clerk reads Ordinance No. 2023-09 by title only (if approved above) 3) Adopt Ordinance No. 2023-09]

CONSIDERATION AND ADOPTION OF ORDINANCE NUMBER 2023-09 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FLAGSTAFF DEDICATING A PUBLIC ACCESS EASEMENT ACROSS CITY OWNED PROPERTY LOCATED AT 3500 NORTH WEST STREET.

PROVIDING FOR DELEGATION OF AUTHORITY, REPEAL OF CONFLICTING ORDINANCES, SEVERABILITY, CLERICAL CORRECTIONS AND ESTABLISHING AN EFFECTIVE DATE.

AND BRYCE IS BACK.

GOOD AFTERNOON. NO NEW INFORMATION ON THIS ONE, BUT HAPPY TO TAKE ANY QUESTIONS.

WONDERFUL IF NO ONE HAS ANY QUESTIONS I'LL GIVE IT A SECOND AND SOMEONE CAN MAKE A MOTION.

I MOVE THAT WE READ ORDINANCE 2023-09 BY TITLE ONLY FOR THE FINAL TIME.

I'LL SECOND.

THANK YOU. WE HAVE A MOTION AND A SECOND.

ANY FURTHER DISCUSSION.

ALL THOSE IN FAVOR? AYE, AYE. ANY OPPOSED? THE AYES HAVE IT.

CITY CLERK.

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FLAGSTAFF DEDICATING A PUBLIC ACCESS EASEMENT ACROSS CITY OWNED PROPERTY LOCATED AT 3050 NORTH WEST STREET, PROVIDING FOR DELEGATION OF AUTHORITY, REPEAL OF CONFLICTING ORDINANCES, SEVERABILITY, CLERICAL CORRECTIONS, AND ESTABLISHING AN EFFECTIVE DATE.

I MOVE TO ADOPT ORDINANCE 2023-09.

I'LL SECOND.

WONDERFUL MOTION BY MCCARTHY AND A SECOND BY HOUSE.

ANY FURTHER DISCUSSION? ALL THOSE IN FAVOR? AYE. AYE. ANY OPPOSED? JUST THE CITY ATTORNEY.

THANK YOU, VICE MAYOR. DEFINITELY NOT OPPOSED.

[00:30:02]

JUST WANTED TO GIVE A SHOUT OUT ALSO TO SENIOR ASSISTANT CITY ATTORNEY ANJA WENDEL FOR BOTH THOSE ITEMS THAT YOU JUST TOOK CARE OF UNDER 7B AND C, SHE HAD A TREMENDOUS AMOUNT OF INVOLVEMENT, AS WELL AS VICKI BAKER IN OUR OFFICE FOR HER SUPPORT ON THAT.

SO I THINK BRYCE WOULD AGREE.

THANK YOU. WONDERFUL.

THANK YOU FOR THE SHOUT OUTS.

I THINK WE'RE GOOD ON THAT ONE.

WHERE ARE WE AT THEN? WE NEED TO ADOPT OR WE JUST DID THAT.

BELIEVE WE'VE ALREADY ADOPTED THAT ORDINANCE.

OKAY. SO WE'RE MOVING ON TO ROUTINE ITEM 7D AND THIS IS CONSIDERATION AND APPROVAL OF AUDITED FINANCIAL

[D. Consideration and Approval of Audited Financial Reports: Year ending June 30, 2022 STAFF RECOMMENDED ACTION: Approve the FY 2021-2022 Annual Comprehensive Financial Report and the FY 2021-2022 Single Audit Report]

REPORTS. BRANDI, TAKE US AWAY.

GOOD AFTERNOON, VICE MAYOR AND COUNCIL.

BRANDI SUDA, SERVING AS YOUR FINANCE DIRECTOR.

SO I'M HERE BEFORE YOU FOR THE APPROVAL OF THE CITY'S FINANCIAL STATEMENTS AND SINGLE AUDIT REPORT FOR THE YEAR ENDING JUNE 30TH, 2022. THE CITY'S FINANCIAL STATEMENTS AND SINGLE AUDIT ARE AVAILABLE FOR REVIEW ON THE CITY'S WEBSITE, AS WELL AS THE CITY LIBRARIES.

I FIRST WOULD LIKE TO ACKNOWLEDGE AND THANK THE FINANCE STAFF AS WELL AS OTHER STAFF MEMBERS, INCLUDING THE GRANTS, CONTRACTS AND EMERGENCY MANAGEMENT TEAM FOR ALL OF THEIR HARD WORK THIS YEAR, PREPARING FOR THE AUDIT AND PREPARING THE CITY'S FINANCIAL STATEMENTS.

WE HAD SEVERAL NEW TEAM MEMBERS THIS YEAR AND THEY DID AN AMAZING JOB GETTING UP TO SPEED QUICKLY.

WE DID MEET WITH AND PRESENT THE FINANCIAL STATEMENTS AND SINGLE AUDIT TO THE AUDIT COMMITTEE ON APRIL 5TH.

THEY UNANIMOUSLY APPROVED THE FINANCIAL STATEMENTS, SINGLE AUDIT AND OTHER REPORTS.

SO AT THIS TIME, I'D LIKE TO INTRODUCE AND TURN THE PRESENTATION OVER TO OUR CITY AUDITORS ANN FANG WITH CLIFTON LARSON ALLEN FOR THE PRESENTATION, AND SHE IS AVAILABLE ONLINE.

GOOD AFTERNOON, MAYOR AND COUNCIL MEMBERS.

LET ME SHARE MY SCREEN IF YOU CAN SEE THIS.

IF EVERYONE CAN SEE MY PRESENTATIONS, I CAN GO OVER ALL THE REPORTS THAT WE HAVE ISSUED FOR THE CITY FOR JUNE 30TH, 2022.

AS YOU CAN SEE, WE ISSUE A NUMBER OF REPORTS, INCLUDING GOVERNANCE COMMUNICATIONS, OPINIONS ON THE ACFR SINGLE AUDIT, PASSENGER FACILITY CHARGE REPORTS, THE HIGHWAY USER REVENUE REPORTS, THE ANNUAL EXPENDITURE LIMITATION REPORTS, AS WELL AS THREE AGREE UPON PROCEDURE REPORTS FOR HUD REAC, THE LANDFILL ASSURANCE AND THE COURT AGREED UPON PROCEDURES.

IN THE FOLLOWING SLIDES, I'LL GO OVER EACH REPORTS IN DETAIL.

SO FIRST UP IS THE ANNUAL COMPREHENSIVE FINANCIAL REPORT IN WHICH WE REVIEW THE CITY'S FINANCIAL STATEMENTS, PERFORM AUDIT PROCEDURES IN ORDER TO CONCLUDE THAT THE CITY'S FINANCIAL STATEMENTS ARE FREE OF MATERIAL MISSTATEMENTS.

AND THEREFORE, WE HAVE ISSUED AN UNMODIFIED, WHICH IS A CLEAN OPINION ON THE CITY'S FINANCIAL STATEMENTS.

ON TOP OF THAT, WE ALSO PROVIDE A IN RELATION TO OPINIONS ON THE CITY'S COMBINING AND INDIVIDUAL NON-MAJOR FUND FINANCIAL STATEMENTS AND SCHEDULES. ALSO, THE FINANCIAL DATA SUBMISSION SCHEDULES.

THIS IS THE HOUSING AUTHORITY'S SCHEDULES THAT THEY ARE SUBMITTING TO HUD, AS WELL AS OPINIONS ON WHAT WE DISCLAIM THE OPINIONS ON THE REQUIRE SUPPLEMENTARY INFORMATION, INTRODUCTORY SECTIONS, AND STATISTICAL SECTIONS.

LIKE I SAID WE PERFORM THE AUDIT PROCEDURES BASED ON A RISK BASED APPROACH IN WHICH WE IDENTIFY CERTAIN AREAS THAT ARE SUBJECT TO A HIGHER RISK WHEN IT COMES TO MATERIAL MISSTATEMENTS.

THESE AREAS ARE INCLUDING MANAGEMENT OVERRIDE OF CONTROLS, REVENUE RECOGNITIONS AND FINANCIAL CLOSING.

IN FY 2022, THE CITY IMPLEMENTED A NEW GASB STANDARD, WHICH IS THE NEW LEASE STANDARD.

THIS STANDARD BASICALLY CONSOLIDATED AND STREAMLINED LEASE DEFINITIONS AND HOW TO ACCOUNT FOR OPERATING AND CAPITAL LEASES THAT WE REFER TO IN THE PAST.

SO IT'S ACTUALLY QUITE AN EXTENSIVE WORK RELATING TO IMPLEMENTING THIS THIS LEASE STANDARD DURING THE YEAR.

[00:35:08]

THE CITY DID AN AMAZING JOB GATHERING ALL THE FINANCIAL DATA AND CONTRACTS, ANALYZING THE DETAILS OF EACH CONTRACT, COMING UP WITH THE JOURNAL ENTRIES FOR THE FINANCIAL STATEMENTS AND RELATED NOTES DISCLOSURES.

SO WE ALSO REVIEWED THE CITY'S FINANCIAL THE FEDERAL PROGRAMS. SO THIS IS THE FEDERAL GRANT AWARD THE CITY RECEIVED DURING THE YEAR.

BASED ON OUR REVIEW AND WE TESTED THREE MAJOR PROGRAMS. AND THEN I CAN GO OVER THE DETAIL ON THE THREE MAJOR PROGRAMS IN THE FOLLOWING SLIDES.

WE ISSUED A REPORT THAT'S GOING TO THAT COVERS THE INTERNAL CONTROLS OVER THE CITY'S FINANCIAL STATEMENTS, AND THERE WERE NO FINDINGS REPORTED, MEANING THERE'S NO MATERIAL WEAKNESS, THERE'S NO SIGNIFICANT DEFICIENCY RELATING TO THE INTERNAL CONTROLS OVER FINANCIAL STATEMENTS.

IN ADDITION, WE REPORTED A COMPLIANCE ON EACH MAJOR PROGRAM RELATING TO YOUR FEDERAL GRANTS.

THE INTERNAL CONTROLS OVER THOSE COMPLIANCE AND THE SCHEDULE OF FEDERAL EXPENDITURES.

THIS REPORT ALSO HAS A CLEAN OPINIONS.

THERE WERE NO FINDINGS REPORTED WHEN IT COMES TO COMPLIANCE FINDINGS, NOR INTERNAL CONTROLS OVER THE MAJOR PROGRAMS. SO HERE ARE THE THREE FEDERAL PROGRAMS THAT WE TESTED.

THE FIRST UP IS THE HOUSING VOUCHER CLUSTER.

THIS IS BASICALLY HOUSING PROGRAMS RELATING TO LOW RENT AND LOW INCOME FAMILY.

WE ALSO LOOKED AT THE AIRPORT IMPROVEMENT PROGRAM.

AND LASTLY, WHAT WE CALL ARPA, THE LOCAL FISCAL RECOVERY GRANT PROGRAM.

SO IN TOTAL, WE HAVE TESTED 65% OF THE CITY'S FEDERAL GRANT AWARD.

THE TOTAL AWARD THAT THE CITY SPENT DURING THE YEAR WAS $27.3 MILLION DOLLARS.

AND LIKE I SAID, WE HAVE ISSUED A CLEAN OPINION AND THERE WERE NO SIGNIFICANT DEFICIENCIES OR MATERIAL WEAKNESS REPORTED OVER THE COMPLIANCE.

THESE ARE THE SMALLER REPORTS THAT WE HAVE AUDITED AND REPORTED ON.

SO THE PASSENGER FACILITY CHARGE AUDIT, WHAT WE DID IS WE LOOKED AT THE QUARTERLY REPORTS SUBMITTED AND THE AIR CARRIER REMITTANCE REPORT SUBMITTED BY THE AIRLINES.

AND TESTED THE DETAILS RELATING TO THE TRANSACTIONS, AND WE CONCLUDED THAT THE CITY HAS COMPLIED WITH THE FAA AUDIT GUIDE AND THAT THERE WERE NO FINDINGS TO BE REPORTED.

WE LOOKED AT THE HIGHWAY USER REVENUE FUND.

SPECIFICALLY, WE REVIEWED THE AUDIT, THE ACCOUNTS PAYABLE DISBURSEMENT TRANSACTIONS.

ALSO THE PAYROLL AND PAYROLL RELATED DISBURSEMENTS TESTED A NUMBER OF THE TRANSACTIONS FOR COMPLIANCE ACCORDING TO THE GUIDANCE AND WHETHER OR NOT THERE WERE TRANSFERS RELATED TO THESE HIGHWAY REVENUE FUNDS AND MAKING SURE THAT THEY ARE IN COMPLIANCE IN ACCORDANCE WITH THE GUIDANCE.

WE ISSUED A CLEAN OPINIONS AND THERE WERE NO FINDINGS RESULTED.

THERE WERE THREE AGREED UPON PROCEDURES THAT WE ISSUED THE OPINIONS ON.

ONE IS THE LANDFILL ASSURANCE, THE HUD REAC ASSESSMENT SUBMISSION AND THE ARIZONA SUPREME COURT MINIMUM ACCOUNTING STANDARDS.

THESE WERE PROCEDURES AGREED UPON BETWEEN US AND THE CITY AND THE OVERSIGHT AGENCY.

WE ISSUED CLEAN OPINIONS AND NO FINDINGS WHEN IT RELATES TO THE THREE AGREED UPON PROCEDURES.

SO LASTLY, LIKE I MENTIONED BEFORE, THE CITY IMPLEMENTED THE GASB 87 LEASES.

THE MOST SIGNIFICANT IMPACT WHEN IT COMES TO THIS IMPLEMENTATION IS THAT THE CITY RECORDED AND REPORTED A $3.5 MILLION DOLLARS IN THE GOVERNMENTAL FUNDS AND ABOUT A $6.5 MILLION DOLLARS IN ENTERPRISE FUNDS WHEN IT COMES TO LEASE RECEIVABLES AND DEFERRED INFLOW OF RESOURCES.

[00:40:03]

BOTTOM LINE IS THAT THERE IS NO IMPACT TO THE CITY'S NET POSITION.

BUT BECAUSE THE STANDARD REQUIRES THE CITIES TO RECORD THE FUTURE CASH RECEIPTS.

THEREFORE, IT'S ABOUT A $10 MILLION DOLLARS INCREASE IN THE ASSETS AND THE DEFERRED INFLOW OF RESOURCES WHEN IT COMES TO THE FY 22 FINANCIAL STATEMENTS.

AND THIS WILL CONCLUDE MY PRESENTATION AND I'LL BE HAPPY TO ANSWER ANY QUESTIONS.

COUNCIL. ANY QUESTIONS? THANK YOU VERY MUCH FOR THE PRESENTATION, BRANDI, DID YOU HAVE ANYTHING FURTHER TO ADD? NOTHING FURTHER, UNLESS YOU HAVE QUESTIONS.

I DO NOT. I DO NOT SEE ANY FURTHER QUESTIONS.

SO. GET BACK TO OUR AGENDA HERE.

I THINK WE NEED A MOTION FOR FINAL APPROVAL FOR THE FISCAL YEAR 2021, 2022, ANNUAL COMPREHENSIVE FINANCIAL REPORT AND THE SINGLE AUDIT REPORT.

SO MOVED.

THANK YOU, COUNCIL MEMBER MCCARTHY.

I'LL SECOND. THANK YOU.

COUNCIL MEMBER HOUSE. WE HAVE A FIRST AND SECOND.

IS THERE ANY FURTHER DISCUSSION? THANK YOU ALL FOR EVERYONE'S PROFESSIONALISM AND THOROUGHNESS.

AND I NOTICED THAT COUNCIL MEMBER MATTHEWS IS ON THAT COMMISSION BOARD AS WELL.

I THINK THAT'S A GREAT FIT FOR HER.

VERY EXCITED THAT THINGS ARE GELLING SO NICELY WITH THAT.

OKAY, GO FOR IT.

I GUESS I DO HAVE ONE QUESTION.

DO THEY JUST TAKE A SAMPLING OF THE VARIOUS PROGRAMS AND LOOK AT THEM IN DETAIL, OR DO THEY REVIEW EVERYTHING IN DETAIL? SO IN A RISK BASED APPROACH, THEY DO A LOT OF SAMPLING.

AND THEN THERE'S SOME AREAS WHERE THEY LOOK AT ALMOST EVERYTHING.

SO I WOULD ASSUME THE AUDITORS THEN CHOOSE WHAT THEY'RE GOING TO SAMPLE.

OH, YEAH, ABSOLUTELY.

THEY DO A RANDOM SAMPLE.

YEAH, A RANDOM SAMPLE.

AS OPPOSED TO. WELL, DON'T LOOK AT THIS ONE.

RIGHT. WE PICK OUR SAMPLES RANDOMLY.

THE CITY DOESN'T HAVE ANY INVOLVEMENT IN HOW WE PICKED OUR SAMPLES.

ALL RIGHT. I'M GLAD TO HEAR THAT.

THANK YOU. AUSTIN.

YES, GO. GO AHEAD COUNCIL MEMBER HARRIS.

I'M JUST GOING TO SAY, IF THIS IS THE SAME ANN FANG THAT WORKED WITH ME AT NAU ON A FEDERAL GRANT, I THINK WE'RE IN REALLY GOOD HANDS BECAUSE SHE REALLY WAS A SUPERB FINANCIAL PERSON FOR US AND I THINK THIS IS THE SAME ANN.

SO THANK YOU.

THANK YOU, EVERYONE. ALL THOSE IN FAVOR? THANK YOU. ALL RIGHT. AYE, AYE.

ANY OPPOSED? HEARING NONE.

THE AUDITED FINANCIAL REPORTS ARE APPROVED.

AND NOW WE'RE DOWN TO AGENDA ITEM 8.

DISCUSSION ITEM WHERE WE HAVE A DISCUSSION ON PUBLIC NOTICE OF A POSSIBLE PRIMARY PROPERTY TAX LEVY INCREASE.

[A. Discussion on Public Notice of a Possible Primary Property Tax Levy Increase Discuss and receive direction from City Council related to posting a Public Notice related to a possible Primary Property Tax Levy (revenues) increase. ]

I BELIEVE THIS IS MY FIFTH TIME AROUND THE BLOCK DOING THIS.

A PRETTY STANDARD PRACTICE FOR US TO BRING UP THIS CONVERSATION TOPIC.

BRANDI, DID YOU HAVE A PRESENTATION OR DO YOU WANT TO LEAD US IN A LIVELY DISCUSSION HERE? HAPPY TO DO SO.

AGAIN GOOD AFTERNOON, VICE MAYOR AND COUNCIL AGAIN, BRANDI SUDA SERVING AS YOUR FINANCE DIRECTOR.

SO WE ARE SEEKING COUNCIL DIRECTION ON WHETHER TO POST A 60 DAY NOTICE FOR A POSSIBLE PRIMARY PROPERTY TAX INCREASE.

SO THERE ARE A FEW KEY STATE STATUTES THAT IMPACT THE CITY'S ABILITY TO INCREASE PROPERTY TAXES AND WHAT'S REQUIRED TO INCREASE THOSE PROPERTY TAXES. SO THE FIRST ONE ALLOWS MUNICIPALITIES TO ANNUALLY INCREASE OUR PRIMARY PROPERTY TAX LEVY BY 2% PLUS NEW CONSTRUCTION.

SO EACH YEAR WE CAN CHOOSE TO INCREASE THAT 2%.

WE DON'T LOSE THE ABILITY IN FUTURE YEARS IF WE CHOOSE NOT TO.

WE MAINTAIN THAT ABILITY, BUT WE CAN CONTINUE TO INCREASE.

SO THE LAST TIME WE INCREASED OUR PRIMARY PROPERTY TAX WAS IN FISCAL YEAR 2020.

SO WE ARE NOW AT 8% ABOVE THE MAXIMUM LEVY.

WE ALSO HAVE A STATE STATUTE REGARDING TRUTH AND TAXATION.