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Home My WebLink AboutPackets - Council Packets (2019)Town Council Regular Session March 4, 2026 Upcoming Meeting Announcements Upcoming Meetings Meetings are subject to change. Check the Town website for meeting status. Water Utility Commission Regular Session March 9 at 5:00 p.m. Hopi Conference Room Health Care Benefits Trust Board Regular Session March 10 at 10:00 a.m. Council Chambers Neighborhood Meeting -Residential & Commercial Development (Hallamark) March 10 at 6:00 p.m. Council Chambers Neighborhood Meeting -Proposed Commercial Development –NEC Suffolk Dr and Oracle Rd March 12 at 6:00 p.m. Council Chambers Tourism Advisory Commission March 16 at 4:00 p.m. Council Chambers Budget and Finance Commission March 17 at 4:00 p.m. Council Chambers Town Council Regular Session March 18 at 6:00 p.m. Council Chambers 4 Mayor and Council Reports 6 Mayor and Council Reports 7 Mayor and Council Reports 8 Mayor and Council Reports 9 Mayor and Council Reports Town Manager’s Report Celebrate Oro Valley Concert Series March 6 (6 - 8:30 p.m.) Band:Those Dudes Food Truck:Big Sexy's Chicken Wangs and Thangs March 20 (6 - 8:30 p.m.) Band:Mark Miller Band Food Truck:Yum Yum Pocha March 27 (7 - 9:30 p.m.) Band:Znora Food Truck:Mutts Premium Franks and Sausages OV Community Night with the Tucson Roadrunners Sunday, March 15 Puck drops at 4 p.m. Tucson Convention Center 25% discount on tickets New Businesses in Oro Valley Code Ninjas Oro Valley, 12125 N. Oracle Road #129 Eurest, 1910 E. Innovation Park Drive My DR NOW, 10420 N. La Cañada Drive #120 Solana Pilates, 10355 N. La Cañada Drive #117 Upcoming March Events Bike Swap —FREE! Location: Steam Pump Ranch Saturday, March 14 9 a.m. – 1 p.m. Complete details at OVAZ.gov. Second Saturdays at Steam Pump Ranch—FREE! Last two events of the season! Featuring: Heirloom Farmers Market free crafts for kidsand tours with the OV Historical Society. March 14: 9 a.m. – 1 p.m. Music by Lost in the Sixties begins at 10:30 a.m. April 11: 8 a.m. – noon. Music by Max begins at 9:30 a.m. Town Council Regular Session March 4, 2026 Notice of Intent to Increase Water Rates FY 2026-27 By: Peter A. Abraham, P.E. March 4, 2026 Notice of Intent (NOI) to Increase Water Rates 17 Adoption of NOI pursuant to A.R.S. § 9-511.01 Begins formal process to increase water rates Adoption of NOI does not increase or modify water rates Makes the 2026 Water Rates Analysis Report available for public review Placed in Town Clerk’s office Placed on Water Utility website Placed in Water Utility’s lobby Directs the Town Clerk to publish the resolution in a newspaper of general circulation at least 20 days prior to the public hearing Establishes a public hearing date for June 3, 2026 Rate Drivers 18 What is driving a water rate increase? Increasing operating expenses (Personnel, O&M, Power, CAP delivery, CAP wheeling): Up $900,000 / 5.94% What is the Utility doing to offset increasing costs? Reduced Capital spending, no additional staff, reduced debt paid by rates & operational efficiencies: $450,000 in savings Cash reserve requirements determine annual revenue requirements: Utility must maintain an operating cash reserve requirement of 20% of personnel, O&M and debt Cash reserves at end of FY must exceed cash reserve requirement Water rate report is now available to the public Proposed Potable Water Rates and Fees Proposed Changes to the Potable Water Base Rate: Water base rates increase by meter size: 84% of customers have a 5/8-inch meter and will see a $1.86 per month increase in the base rate No proposed changes to the commodity rate: Commodity Tiers Current Proposed Increase Tier 1 (68%) – 14576 (Up 276)$ 3.02 No change $ 0.00 (0.0%) Tier 2 (28%) – 5998 (Up 223)$ 5.02 No change $ 0.00 (0.0%) Tier 3 (4%) – 862 (Down 188)$ 8.17 No change $ 0.00 (0.0%) Tier 4 (<1%) – 102 (Down 98)$ 12.32 No change $ 0.00 (0.0%) Meter Size Current Proposed Monthly (in inches)Potable Base Rates Potable Base Rates Increase 5/8 $ 23.31 $ 25.17 $ 1.86 3/4 $ 34.93 $ 37.72 $ 2.79 1 $ 58.23 $ 62.89 $ 4.66 1.5 $ 116.47 $ 125.79 $ 9.32 2 $ 186.35 $ 201.26 $ 14.91 3 $ 372.68 $ 402.49 $ 29.81 4 $ 582.33 $ 628.92 $ 46.59 6 $1,164.65 $1,257.82 $ 93.17 8 $1,863.45 $2,012.53 $149.08 Customers continue to respond favorably to the current commodity rate structure: Customers historically in Commodity Tiers 2, 3 & 4 are migrating to Tiers 1, 2 & 3 No proposed changes to the reclaimed rate: No proposed changes to the Groundwater Preservation Fee: Potable Water Cost Comparisons 20 Monthly Water Bill Comparisons to Other Water Providers: 84% of Oro Valley Water Utility customers have a 5/8-inch meter and consume an average of 7,000 gallons per month These customers will see an increase to their monthly bill of $1.86 or 3.6% increase Below is a graphical representation of Oro Valley’s current and proposed water bill compared to neighboring water providers Schedule 21 11/10/25 Commission made a recommendation on water rates 03/04/26 Present Notice of Intent to increase rates to Town Council 03/05/26 Publish public hearing date on Town website – 60 day notice 03/05/26 Publish Notice of Intent in newspaper – 20 day notice 06/03/26 Town Council to hold public hearing on proposed rate increase 07/04/26 New rates become effective – 30 days after adoption 22 Questions? Town Council Regular Session March 4, 2026 Naranja Dr. MUP Opportunity to Improve Path Alignment March 4, 2026 Opportunity to Improve the MUP Alignment During the initial design efforts, value engineering needed to be employed to meet budget: The engineer's estimate exceeded the budget by $870,000 The two largest choices we had at that point were: •Not continue the MUP all the way to La Canada on the north side of Naranja. •Discontinue the MUP in front of Naranja Town Park and utilize the existing MUP staff built to access the park. Staff chose to implement the value engineering in front of the park and approached the Council for an additional $341K to pay for keeping the north side of the MUP extending all the way to La Canada. As this year’s budget has progressed, we have an opportunity to redirect CIP funds either not used or being suggested not to be used: Oro Valley Drive Drainage and Pavement Improvement La Canada Cobo Improvement Naranja MUP Alignment Choices Recommendations There is $400,000 in Budgeted CIP available: The Oro Valley Drive Drainage project was completely funded by the County, therefore that Stormwater funding of $300,000 is presently unused. Since the Miller Ranch Self -Storage facility is getting ready to start construction soon. Staff is suggesting not to conduct the Cobo Improvements ($100,000 budgeted) until after Leman traffic has normalized after the new Tangerine access is operational. Then reassess traffic needs. The estimate for this path realignment is $350,000. Most of the work is drainage related Staff recommends reallocation of CIP funds to enable this alignment for a more contiguous MUP with the street Town Council Regular Session March 4, 2026 Musette Dr. & Tangerine Rd. Intersection Installation of a Traffic Signal March 4, 2026 MUTCD Warrant Close, but not met Promised Council would return to discuss if warrants not met Close to meeting Warrant #3: Figure 6 shows the plotted point for the lone hour during which the minor street meets the minimum volume threshold for satisfying the warrant. A second plotted point, where the minor street volume falls just below the threshold, is also shown. Although the second plotted point is just seven vehicles short of the thresholds, neither point exceeds the applicable line on the figure, so Condition B is not currently met. Poor Sight Distance Vertical street curvature occludes clearly seeing oncoming WB traffic Recommendations Best practices are to adhere to MUTCD Warrants unless there are extenuating circumstances present. For instance – the signal at the CRC was installed because of complete NB sight distance occlusion. Of the nine MUTCD Warrants, the first 3 are based on vehicular volume: Warrant #3 is very close to being met Tangerine Rd. will continue to increase in traffic volume due to improvements to the west at I-10, which is currently under construction The other 6 warrants are not applicable in this situation The extenuating circumstance for the Tangerine/Musette intersection is poor sight distance of WB traffic Town Council Regular Session March 4, 2026