Loading...
HomeMy WebLinkAboutMinutes - Capital Improvement Program Technical Advisory Committee - 3/24/2009 ACTION SUMMARY CAPITAL IMPROVEMENT TECHNICAL ADVISORY COMMITTEE REGULAR MEETING KACHINA CONFERENCE ROOM 11000 N. LA CANADA DRIVE ORO VALLEY, ARIZONA 85737 TUESDAY, MARCH 24, 2009 REGULAR SESSION AT OR AFTER 9:00 AM CALL TO ORDER — Meeting was called to order by Art Cuaron at 9:02 a.m. Attendees: Art Cuaron, Financial Analyst, Finance Dept. Tobin Rosen, Town Attorney Aaron LeSuer, Commander, OVPD Craig Civalier, Town Engineer Ainsley Legner, Parks & Recreation Director Susannah Myerson, Parks & Recs. Advisory Board Member Peter Lamm, Finance and Bond Committee Member Scott Merry, Planning and Zoning Commission Member James Gardner, Parks Maintenance Supervisor, Parks & Rec. Stacey Lemos, Finance Director, Finance Dept. Alice Taylor, Senior Office Specialist, Finance Dept. Item 1 —Approval of the 2/13/09 and 3/10/09 Minutes Motion to approve the minutes from the February 13, 2009 and March 10, 2009 meetings was made by Ainsley Legner and seconded by Tobin Rosen. Motion passed unanimously. Item 2 — FY 09/10 Budget Update and CIP Allocation Discussion Points: • Stacey Lemos— o Budget will be ready for delivery to the Town Council on Wednesday, April 1st. o General Fund - $130,000 available for funding of Capital Improvement Projects. Anything over and above this amount will have to come from the Contingency Reserve Fund. o Highway Fund — Balance of$900,000. An additional $250,000 will be placed in the Highway Fund from higher than expectedg asoline taxes. This will bump the Highway Budget up to 1.2 million for pavement preservation. o Ms. Lemos also discussed the economic stimulus package. Three million dollars will be budgeted in the Highway Fund for surface treatments in the event the Town receives Federal stimulus funds. 03/24/2009 Capital Improvement Tech. Advisory Committee 2 o Mr. Civalier noted the economic stimulus funds could only be used on arterials and collector streets and roads, and could not be used on subdivision streets. ■ CIP-Municipal Operation Center— Keep moving forward with project while scaling it back. The project will be continued using a phased-in approach. The Town Manager will present the following option to the Town Council for consideration: ➢ Sell 23 acres at the Municipal Operations Center and relocate the proposed MOC to the Naranja Town Site. This will have to be put before the voters on a ballot should the Council proceed with this recommendation. ➢ The proceeds would be used by the Town to pay off the existing balance on the 2005 bonds, which is currently $5.8 million. ➢ Take the remaining proceeds and existing cash balance from the sale of the property and use this towards the building of the MOC at the Naranja Town Site. The estimated cost for the Water Administration and Public Works building would be $18 million. The Police Training Facility would be deferred until a later date. The resulting debt service to the Highway Fund and Water Fund would be replaced with new debt service that would be slightly higher, but would include the building plus the land. ➢ Planning, designing and issuing of bonds for 2010/2011 budget year, incurring no new debt service in FY 09/10. Construction on the building would begin in the 2010/2011 budget year to relocate to the Naranja Town Site. This modification to the draft CIP will be presented to the Town Council. Item 3 — Review of General Fund Project Rankings — Discussion ad Possible Action • Mr. Cuaron requested recommendations for project rankings from the Committee. • Mr. Lamm asked what would happen if the No. 1 item is larger than the available funds. Ms. Lemos replied that the recommended amount to be taken from the cash reserves would be $490,000-$500,000 in addition to the $130,000 that is all ready available. Ms. Lemos further suggested the Committee keep the priority ranking order separate from the funds available for CIP. 03/24/2009 Capital Improvement Tech. Advisory Committee 3 ■ Ms. Legner stated the $130,000 currently available for project funding would be used to pay for the first available project according to the rankings, while the remaining projects would be funded using the cash reserves. Ms. Legner reminded the Committee at the last meeting there appeared to be no strong feelings to change the rankings of the projects. Ms. Legner suggested the highest ranking project that could be completed with the $130,000 be funded with the remaining projects funded from contingency reserves. Ms. Legner made a motion to recommend the rankings remain as originally g Y presented. Mr. Civalier seconded the motion. Motion passed unanimously. Y Item 4— CIP Funding Options — Discussion and Possible Action • CIP Funding Options o Several options were discussed to enhance funding for the CIP Projects. They included: • Taxing Commercial and Residential Rental Properties — This would generate approximately $1.1 million. This could be in a dedicated plan for funding of the CIP Program. • A Water Tax was suggested by Mr. Lamm. Ms. Lemos told the Committee the current Utility Tax includes water and the solution to that would be to raise the Utility Tax. • A property tax for roads and parks was suggested. • Mr. Cuaron asked the Committee if there were any alternative recommendations regarding CIP funding options or if the Committee wished to follow the Town Manager's recommendation to use the $130,000 to fund the recommended projects with the remaining monies coming from the cash reserves. Mr. Rosen moved the Committee follow the Town Manager's g recommendation using $130K from the General Fund towards the CIP and utilize cash reserves to fund the balance of the CIP totaling $490K, while continuing to explore new revenue sources. The motion was seconded by Mr. Civalier. The motion passed unanimously. • Mr. Cuaron reviewed the Draft CIP Document with the Committee highlighting the major components of the plan. o Ms. Lemos noted that another$250K would be added to the Steam Pump Ranch Budget as a result of lobbyingefforts undertaken by Town Officials g on a recent trip to Washington, D.C. The $250K is an appropriation from the Federal Government. 03/24/2009 Capital Improvement Tech. Advisory Committee 4 • • Mr. Cuaron asked the Committee if there was a recommendation for approval to present this draft to the Town Council • Ms. Legner moved that the Committee approve the tentative document subject to modification as presented today. The motion was seconded by Mr. Rosen. The motion passed unanimously. • Mr. Cuaron asked for a motion to adjourn the meeting. Ms. Legner moved that the meeting be adjourned. The motion was seconded by Mr. Civalier. The motion passed unanimously. The meeting adjourned at 10:00 a.m. Prepared by: Alice Taylor Senior Office Specialist