Show Low approves Paradise Trailer Park two-year extension, workforce housing incentives, BMX parking lot

Show Low Imposes Final Deadline on Paradise Trailer Park, Launches Workforce Housing Incentives, and Fast-Tracks BMX Event Parking Lot

Show Low City Council unanimously approved three major items on February 7, 2024: a two-year extension for manufactured-home removal at Paradise Trailer Park with an unequivocal March 1, 2026, deadline and no further extensions; adoption of a workforce housing incentives policy offering permit waivers, fee reimbursements, and flexible development standards for affordable housing; and awarding of a $416,280 construction contract to Western Grade LLC for paved parking and pedestrian crossing at Nicholas Park, timed for the national BMX Gold Cup event in June. The meeting revealed deep tension between council's desire to enforce development commitments and sympathy for displaced residents with nowhere to relocate.

Key Speeches

"I want you guys to be the bad guy. I'm all for it. I have no problem with it. I agreed to it. I'm willing to follow through with that." — Ryan Ellsworth, developer, during discussion of whether council should mandate home removal without a timeline.

"Back in 2016 when this was originally initiated, Mr. Ellsworth was asked, 'How long do you think this will take?' His response was five years… We know at this point that has not happened. I believe Mr. Ellsworth when he says he doesn't know when it will happen. We're at the point where decisions have repercussions." — Justin Clemens, City Attorney.

"I appreciate what you're doing, I really do, and I appreciate what you've been doing to move this forward by once they're gone they're gone, not let them transfer. That was something that I didn't hear two years ago." — Councilman Gentry Hatch, during council deliberation on the extension.

Timeline

Paradise Trailer Park Development Extension

• November 1, 2016: City Council approved original rezone ordinance (2016-03) converting manufactured-housing zone to residential/multifamily, conditioned on removal of all mobile homes on west property boundary within 5 years based on Ellsworth's commitment.
• November 16, 2021: Council approved ordinance 2021-07 requiring construction of solid-material wall on south and west property lines; wall completed.
• November 16, 2023: Original five-year deadline would have expired; no action taken.
• February 7, 2024 (this meeting):
  • Staff presentation: Project manager summarized original commitment, November 2023 deadline expiration, and applicant's written request for extension.
  • Applicant testimony: Ellsworth presented four crushed mobile homes since previous extension, four families in apartments (one retained from original mobile home residents), prevented title transfers to limit occupancy, and raised space rent from $200 to $400/month.
  • Public comment: None received (staff had notified 300-foot perimeter property owners; no public speakers attended).
  • Council discussion: Approximately 75 minutes of debate focusing on accountability, tenant displacement, lack of affordable relocation options, property values of neighboring residents, and viable alternative solutions. Councilman Alsop (approving) emphasizing stipulations preventing new occupancy; Gentry Hatch (initially resistant, then persuaded) focusing on safeguards to prevent recurrence; Connie Kakavas (firm) demanding commitment not to extend again; City Attorney Clemens clarifying legal options (timeline removal, continued timeline, or extension with conditions).
  • Motion and amendment: Councilman Alsop initially motioned two-year extension with stipulation that council could not mandate construction of apartments but could require lots remain vacant; Ellsworth interjected with binding commitment to provide written notice to all space tenants stating no further extension would be granted, rent capped at $450/month for two years, and all mobile homes removed by March 1, 2026, or "everything stops." Motion passed unanimously.

Workforce Housing Incentives Policy

• Staff presentation: Planner described new policy encouraging development of units for households earning 60–120% of area median income ($38,000–$77,000 annually). Incentives: expedited review, permit fee waiver, capacity-fee reimbursement, $1,000/unit sales-tax reimbursement, flexible development standards (10% variance), infrastructure improvements. Eligibility: 18-month completion timeline, 10-year affordability lock, prohibition on short-term rentals, full-time employment requirement, owner/renter cannot already own home, full-time occupancy.
• Council discussion: Minimal; councilman Gentry Hatch thanked staff for addressing long-standing League of Arizona Cities and Towns priority on affordable housing.
• Vote: Resolution R 2024-8 passed unanimously.

Nicholas Park East Mills Parking Lot

• Staff presentation: Engineering staff designed 340-ton asphalt paved parking lot and pedestrian crossing at intersection of East Mills and East Owens near Nicholas Homestead Park. Scope includes asphalt installation, conduit for future lighting, pedestrian bridge across wash. Bid advertised under statutory requirements. Three bids received: Western Grade LLC $416,280; Sholo Construction $442,900.
• Council discussion: Connie Kakavas noted upcoming BMX National Gold Cup event June 12–15 and confirmed parking lot would be complete by June 15 and ready for event. Councilman Alsop praised relief of parking congestion and accessibility for families with young soccer players. Excitement expressed over Gold Cup being one of only four national-level BMX events in the country and potential boost to Show Low's visibility.
• Vote: Award of contract to Western Grade LLC passed unanimously.

Opposition

Paradise Trailer Park extension generated council debate but no organized public opposition or spoken comments at the meeting:

1. Councilman Alsop's initial skepticism: Stated fatigue with extensions and concern that council was being positioned as the "bad guys" by being forced to choose between extending or displacing residents with limited relocation options.

2. Connie Kakavas firmness: Emphasized that neighboring residents (whose property values and sales prospects were cited as negatively affected) were promised in 2016 that the deadline would hold; stressed that allowing another extension signaled broken commitment.

3. Accountability concern: Multiple council members (Alsop, Gentry Hatch, Connie Kakavas) expressed frustration that Ellsworth's 2016 representation of "five years to completion" had not been met, and that each previous extension had come with similar arguments about lack of relocation options.

4. Tenant displacement risk: Gentry Hatch and Alsop worried that council, by denying the extension, would be blamed for homelessness despite Ellsworth owning the property and having zoning approval. Clemens acknowledged this tension: "decisions have repercussions…without potentially affecting the people who live in those homes at this point."

5. Lack of alternative solutions: Multiple council members (Gentry Hatch, Alsop) asked whether the city could identify alternative mobile-home park spaces or assist with relocation, but Ellsworth noted state law (pre-1976 mobile homes cannot be moved into new parks due to safety regulations) and lack of available land in city limits.

6. Rent increase as de facto displacement: Ellsworth's proposal to raise space rent from $400 to $450/month (and continue raising it) was noted by Alsop as potentially coercive, though Ellsworth framed it as the only way to incentivize voluntary departure.

Support

Council debate ultimately favored extension, with most members changing position after Ellsworth's binding commitments:

1. Ellsworth's performance: Council acknowledged that property appearance had improved dramatically from original "meth capital" condition (per police chief's characterization); four mobile homes already crushed; 180 apartments built in Show Low; $1,640 in rolloff loads of debris removed; fencing and yard cleanup completed; no new drug calls reported at the property.

2. Prevention of title transfer: Ellsworth's commitment, made within the last six months, to prevent tenants from transferring mobile-home titles to family members or friends and instead requiring them to remove units or lose the title, was cited by Gentry Hatch as a new and significant safeguard not present two years prior.

3. Stipulations as accountability: Gentry Hatch warmed to the extension after Clemens and Ellsworth clarified that vacant lots would remain vacant (not filled with RVs or new mobile homes), and that Ellsworth would be compelled to choose between building apartments or leaving lots empty—a visible, ongoing incentive to complete the project.

4. Developer's business case: Gentry Hatch and Alsop acknowledged that Ellsworth needed to achieve a return on investment; Ellsworth's announcement of 20 additional apartments to be built on nearby property (Jackson Dearborn Partners site) was cited as evidence of commitment to affordable housing development and economic viability.

5. State law constraint: City Attorney Clemens's explanation that Arizona law requires mobile-home park operators to provide one year's notice and that pre-1976 homes are effectively unmovable (no park will accept them) was accepted by council as a legitimate barrier to forced relocation.

6. No further extension pledge: Ellsworth's binding written commitment to tenants that March 1, 2026, was final and irrevocable (with rent capped at $450/month as part of the deal) appeared to reset the council's comfort level; Gentry Hatch stated, "I feel better than I did two years ago."

Project Details

Paradise Trailer Park Development Extension

• Case number / Ordinance: Ordinance 2024-7 (extension ordinance); original rezone ordinance 2016-03; previous wall-construction ordinance 2021-07.
• Applicant / developer: Ryan Ellsworth, Show Low Apartments LLC (implied).
• Attorney: Not identified in transcript; City Attorney Justin Clemens appeared in advisory capacity.
• Location / address: 700 North 4th Avenue, Show Low, APN 032-034-36-38-40-42-44-46-47-49-51.
• Current zoning → Proposed zoning: Already rezoned to R-2.7 (single-family and multifamily residential, 7,000 sq ft minimum lot size) per 2016 ordinance; no further zoning change requested.
• Density / units / square footage: Originally 58 apartment units planned; 4 buildings constructed to date (estimated ~32 units based on context); west side remains as manufactured-home park (~22 mobile homes, 6 owned by Ellsworth, 16 owned by private tenants).
• Changes from previous version: Two-year extension (ending March 1, 2026) with no further extension permitted; space rent capped at $450/month for two-year period; vacancy stipulation (no new occupants in vacated lots); written notice to all space tenants; rent previously raised from $200 to $400/month and now to $450/month.
• Timeline history:
  • 2016: Five-year deadline (to November 2021) set by Ellsworth's verbal representation.
  • 2021: Moved to November 2023 (effectively creating two-year extension, though not formally titled as such).
  • February 2024: Two-year extension to March 1, 2026, with absolute finality.

Workforce Housing Incentives Policy

• Resolution: R 2024-8.
• Applicant: City of Show Low Planning Department and City Council.
• Target income: 60–120% of area median income (approximately $38,000–$77,000 annually for single household).
• Incentives offered:
  • Expedited review and permitting.
  • Waiver of building permits and associated fees.
  • Reimbursement of sewer and water capacity fees.
  • $1,000/unit reimbursement of sales tax on construction materials.
  • Infrastructure improvements.
  • Flexible development standards (up to 10% variance from code).
• Affordability requirement: 10 years; units cannot be rented or sold above workforce-income threshold; no short-term rentals.
• Eligibility: Projects must be approved by city; proof of compliance prior to incentive receipt; completion/occupancy within 18 months; owner/renter must be a legal U.S. resident, have at least one full-time-equivalent employed household member, not already own a home, and occupy unit full-time.

Nicholas Park East Mills Parking Lot Improvements

• Case / Project number: R 2324 (Capital Improvement Project).
• Contractor: Western Grade LLC.
• Contract amount: $416,280 (not-to-exceed); total project cost including budget transfers $423,588.
• Location: Nicholas Homestead Park, intersection of East Mills and East Owens, Show Low.
• Scope of work:
  • Removal of existing asphalt millings.
  • Installation of asphalt paving over existing base.
  • Installation of conduit for future lighting.
  • Installation of transverse improvements (pedestrian bridge) across wash.
  • Future landscaping provisions.
• Timeline: Preconstruction meeting scheduled; completion targeted for June 15, 2024, to support BMX National Gold Cup event (June 12–15, 2024).
• Budget source: 2024 Capital Improvement Project budget: $80,000 pedestrian bridge access + $250,000 Nicholas Park Phase III = $330,000; actual bid $416,280 requiring budget transfer authorization.
• Bidders: Western Grade LLC $416,280; Sholo Construction $442,900.

Vote Breakdown

Paradise Trailer Park Extension (Ordinance 2024-7)

• Final: 7–0 (unanimous).
• Yes: John Leech Jr.., Vice Mayor Connie Kakavas, Councilmember Jon Adams, Councilmember Derik Whipple, Councilmember Brandt Clark, Councilmember Gentry Hatch, Councilmember Bryce Judd.
• No: None.
• Abstentions / absences: None.

Workforce Housing Incentives Policy (Resolution R 2024-8)

• Final: 7–0 (unanimous).
• Yes: All council members.
• No: None.

Nicholas Park Parking Lot Construction Contract (Western Grade LLC)

• Final: 7–0 (unanimous).
• Yes: All council members.
• No: None.

Other Unanimous Votes (Consent Calendar, Showmobile Policy, Memorial Bench Program, Public Works Facility Purchase):

• All passed unanimously; individual vote counts not stated in transcript but all items explicitly passed without dissent.

Outcome & Next Steps

Paradise Trailer Park:

Ordinance 2024-7 approved. Ellsworth commits to providing written notice to all 22 space tenants (he owns 6 lots; tenants own 16) stating that March 1, 2026, is the final, non-negotiable deadline for removal of all manufactured homes. Space rent fixed at $450/month (increased from $400/month effective with this extension) for the two-year period and will not be raised further during that time, but Ellsworth retains right to increase afterward if needed. Vacant lots will not be re-rented with new mobile homes or RVs; Ellsworth may construct apartment buildings on vacated space if financially feasible. If all homes are not removed by March 1, 2026, "everything stops"—implying zoning reversion or enforcement action, though specific mechanism was not detailed. No further extensions will be entertained by council.

Workforce Housing Incentives Policy:

Resolution R 2024-8 adopted. Policy is now effective and available for developer applications. Staff to monitor projects, verify eligibility, and enforce 10-year affordability covenants. Council requested that staff bring back refinements and respond to questions raised during earlier study session.

Nicholas Park Parking Lot:

Western Grade LLC awarded contract for $416,280. Preconstruction meeting scheduled within weeks. Project to be completed by June 15, 2024. Removable concrete bollards to be installed at drive access to prevent vehicle access to grass field except during approved events; otherwise, the 4-space lot will be used for parking during normal park operations.

Public Works Facility Expansion:

Ordinance 2024-1 approved. Purchase of 2+ acre parcel at 1480 East Lumberman's Loop (APN 210-58-009) from Carrie LLC for $222,000 authorized. Closing costs and title work to bring total to approximately $223,588. Future plans for facility improvements not detailed in this meeting but anticipated.

Showmobile Policy & Memorial Bench Program:

Resolutions R 2024-6 and R 2024-7 adopted. Showmobile limited to city-only events (no longer available for rent outside city limits) to preserve aging equipment; removal of parts availability forced change. Memorial bench donation program formalized at $2,000 per bench (includes locally manufactured bench, plaque, and installation); placements determined by city staff in consultation with donors; funds to offset city costs. Two benches recently installed at meadow and dog park.

Controversies & Context

Historical Broken Commitment

The Paradise Trailer Park rezone and mobile-home removal timeline originated in good faith in November 2016, when council and residents (who opposed the rezone) were assured by Ellsworth that the five-year timeline was realistic. Ellsworth's explicit intent was to rezone the property to mixed-use residential, construct 58 apartment units, remove all west-side mobile homes, and relocate residents into the new apartments at reduced introductory rents. Neighborhood residents were promised that an eyesore would be cleared and replaced with quality housing.

By February 2024, only four apartment buildings had been constructed, occupying perhaps 40–50% of the planned 58 units. Only one original tenant from the mobile home park had moved into an apartment; the others cited rent increases from $700 (original offer) to $950–$1,000 and insufficient unit size as barriers. Ellsworth attributed this to market forces: rents in the White Mountains are the lowest in the region, but utility-inclusive pricing and five years of construction-cost inflation made it impossible to honor the original reduced-rent commitment.

State Law Constraint on Relocation

A critical issue emerged during the meeting: Arizona law requires mobile-home park operators to provide one year's written notice before closure or eviction. Additionally, federal regulations prohibit relocation of pre-1976 mobile homes into new parks (due to safety standards for grounding and electrical systems). Of the ~16 tenant-owned homes on the west side, Ellsworth estimated most were pre-1976 "about as bad as they get," meaning they are effectively immovable within Arizona. This legal reality, acknowledged by both Ellsworth and the city attorney, was a turning point in council sentiment: sympathy for tenants grew when it became clear that forced removal had nowhere to send them.

Developer Frustration vs. Neighborhood Concerns

Ellsworth expressed visible frustration at being cast as the "bad guy." He pointed to substantial investments already made: four mobile homes crushed; $1,640 in debris removed; property security (fence); elimination of drug activity ("we don't have the Riff-Raff for the jug or the cops coming to that property now"); and ongoing apartment construction. He also noted that two neighboring residents had recently contacted the vice mayor stating they wanted to sell their homes but were deterred by the unresolved property next door—implying that his efforts had not successfully improved their perceptions.

Conversely, council members (particularly Alsop and Connie Kakavas) felt that Ellsworth's original promise had been insufficiently honored and that extending the deadline again signaled to all future developers that timelines were negotiable. Connie Kakavas was particularly firm: "In good faith you met with us in November of 2016 and we met with you in good faith and so I think it's—you're wanting us to be the bad guy and in good faith that's not right."

Housing Affordability Crisis Context

Council acknowledged that Show Low, like much of Arizona, faces a housing shortage for workforce households. Ellsworth's announcement that he has 42 people on a waiting list for his 180 existing apartments underscored demand. The new workforce housing incentives policy was framed as a response to this broader crisis, though some council members questioned why traditional affordable-housing solutions (subsidy, land donation, mobile-home park conversion) had not been explored more aggressively in the Paradise Trailer Park context.

Property Values and Neighborhood Politics

Two residents living west of (adjacent to) the Paradise Trailer Park property contacted Connie Kakavas separately to say they were unable to sell their homes due to the visual impact of the trailer park. This lent weight to council's original 2016 commitment to neighborhood residents that the property would be cleared. The tension here is unresolved: Ellsworth argues that his improvements have increased property values by cleaning the lot and installing fencing; neighbors argue that the continuing presence of mobile homes continues to depress sales. Council did not find a way to satisfy both parties.

Duration

• Paradise Trailer Park item: Approximately 75 minutes (extended public hearing and discussion from ~7:30 p.m. to ~8:45 p.m., estimated).
• Workforce Housing Policy item: Approximately 15 minutes (staff presentation, brief council discussion, unanimous vote).
• Nicholas Park Parking Lot item: Approximately 10 minutes (staff presentation, councilmember comments, unanimous vote).
• Other items (consent calendar, showmobile, memorial bench, public works facility, financial report, liquor license): Approximately 50 minutes combined.
• Total meeting: Approximately 2 hours 40 minutes (6:00 p.m. invocation / pledge to ~8:40 p.m. end of regular session; executive session began after).

Other Notable Items (Brief)

Midyear Financial Report (Informational)

Finance Director presented sales tax revenue up 4% year-to-date (December 2023 vs. prior year); most budget categories tracking at or below 50% benchmark, indicating conservative spending. Wastewater treatment plant (10-year bond) to be fully paid off in July 2024, freeing up debt service for other capital needs. No action required; presented for transparency.

Public Transit Application (Consent)

Resolution R 2024-9 approved unanimously; application to be submitted to state for funding of public transit services in Show Low. Details not provided in meeting but flagged as part of broader transportation initiatives.

Family Dollar Beer & Wine Liquor License (161 East Dusa Clubs)

City recommended approval to Arizona Department of Liquor Licenses and Control of beer and wine retail license for Family Dollar store. Applicants Anita Martinez and Harry Rashad Spencer passed background check; no public objection received. Approval authority rests with state board, but city's recommendation carries weight.

Candidate Packets for Spring 2024 Election

City Clerk announced that candidate packets for city council races are available; filing deadline March 9–April 5, 2024. Primary election August 6, 2024. Two seats currently up for election (terms not specified).

Public Works Projects Update

Multiple projects in progress: city park water-line replacement (~50% complete); East sidewalk improvements near Chase Bank (to begin once weather clears); water main tie-ins in Fulls Hollow subdivision (trenching complete); Show Low Lake Campground power improvements (installation beginning soon). Council reminded public to remove vehicles from streets to permit snow-plowing if needed.

Upcoming Events

Farmers Market and ArtWalk (Main Street) essentially fully booked for upcoming season; Show Low High School basketball playoffs underway (girls 1–2 losses, boys competitive, final games Thursday, February 8, girls at 6 p.m., boys at 7:30 p.m.). BMX National Gold Cup event scheduled June 12–15 at Nicholas Park (identified as one of only four national-level events in the country). Legislative Day (Navajo-Apache County Cities and Towns) scheduled February 22 at state legislature.