Cave Creek schedules August 22 vote on eight-year water infrastructure crisis funding plan
CAVE CREEK, ARIZONA — August 16, 2016

Cave Creek schedules August 22 vote on eight-year water infrastructure crisis funding plan

Cave Creek council addressed eight-year water infrastructure crisis on west side, with residents frustrated over delays, missing performance bonds, and legal constraints preventing connection to private Cahaba Springs-owned lines, scheduling August 22 meeting for action plan.

Cave Creek Council Schedules August 22 Action Plan Amid Eight-Year West-Side Water Infrastructure Crisis

Tonight's emergency council session revealed the full scope of a water-service impasse that has left west-side Cave Creek residents without municipal water for as long as eight years. Mayor Robert Morris announced that the council would hold a special meeting on August 22 to consider spending public funds on the town-owned portion of the water infrastructure and would continue negotiating with private developer Cahaba Springs over improvements to their sector—a deadlock created by Arizona law prohibiting municipalities from funding private entities, even when those entities control essential infrastructure.

The crisis, which affects at least fifteen residents who spoke during public comment, centers on two ownership sectors: the town owns and controls the southern portion of the water line; Cahaba Springs owns the northern portion. Multiple pinch points, undersized pipes (4-inch, 6-inch, and 8-inch sections), two gaps (360 feet and 274 feet), and valve restrictions prevent adequate water flow to the west side. The estimated cost of improvements to the town-owned southern sector alone exceeds $215,000.

Key Speeches

"This council is committed to getting water to the citizens on the west side. Our intent is singular—we have no other ambition but to see that happens." — Mayor Robert Morris

"It's not going to cost that much to connect those two lines. Point taken. First of all, you're correct it's not the cost of connecting the two lines that's the issue—it's knowing who owns the line. We know we own one sector and the Cahaba Springs on the other." — Mayor Robert Morris

"I was told by I think the former city manager that the city was in partnership with Cahaba Springs development and therefore they had no completion bond on a project of this size that impacts as many people—yes, and this bigger scope. Who forgot? Who dropped the ball, and why?" — John Miller, Saddle Mountain Road resident

"It's eight years later. I filled in my pool three years ago because it was constantly over five hundred dollars a month to get water. You guys need to step up and do your job. Are you going to try to step up and take care of your citizens, or not?" — Michael Wolfe, 40315 North 30 Second Street

"I remember that meeting at Terry Smith's house several years ago and you came into our area of Cave Creek and you were trying to get the Walmart in, and you told us that us west-side people had the ability to make a difference in the vote, and that if we gave you all March, you would get us water. Walmart's been there and our water is not." — Carry Chuck, 40577 North 26 Street

"This 12-inch line if that is overdone and there, it's just put in because that's what that development means, has really—if that's in, you know, causing me not to have basic needs, I don't care about that anymore. It's like how can we do it? Is that what you're going to do now? See how we can do it without having to satisfy Cahaba Springs' needs right now?" — Catherine Smith, west-side resident

"I hope we act like a community and send that message that people on the east side go 'Yeah, we want our west-side neighbors to have water, just like they would want us to support them in the issues that they have.'" — Jane Roads, west-side resident

Timeline

Opposition

Number of speakers against: Zero formally, but significant frustration expressed by approximately 15 residents.

Main concerns:

  1. Eight-year delay with no end in sight: Multiple residents cited the 2008 start of the Cahaba Springs project and repeated broken promises; Michael Wolfe explicitly stated "it's now August 2016, it's eight years later."

  2. Missing performance bond on major development: John Miller and Michael Wolfe both questioned why Cahaba Springs was exempted from performance/completion bond requirements. Miller cited being told by the former city manager that the town was "in partnership with Cahaba Springs development" and therefore no bond was required. Wolfe corroborated: "I was told by the city manager at the time that we had no completion bond."

  3. Legal impasse preventing town action: Residents struggled to understand why the town cannot simply fund the private-sector line improvements. Catherine Smith expressed exasperation: "If that 12-inch line is going to stop us, let's just put an 8-inch line."

  4. Fire safety vulnerability: Jamie Morden and Carry Chuck both referenced a recent house fire on 26th Street where fire trucks could not access adequate water and had to call in water-drop companies. Carry Chuck: "The fire trucks that couldn't get water had to have water drop companies bringing water."

  5. Broken Walmart expansion quid pro quo: Carry Chuck recalled Robert Morris visiting Terry Smith's house during the Walmart expansion negotiation, telling west-siders they could "make a difference in the vote" if they supported it, with a promise to bring water. "Walmart's been there and our water is not."

  6. Uncertainty over Cahaba Springs' status and responsibility: Multiple residents, including Carry Chuck and Catherine Smith, questioned whether Cahaba Springs remains an active company, whether it still intends to develop, and why the town cannot compel them to complete infrastructure or clarify their obligations.

  7. Inadequate system capacity regardless of immediate west-side need: Catherine Smith and others worried that planning around future Cahaba Springs development (12-inch lines) was impeding immediate water delivery to existing residents who only need 6-inch or 8-inch capacity.

Most compelling arguments:

Organized groups: None identified in transcript.

Support

Number of speakers supporting council action: Approximately 15 residents uniformly supported the council's commitment to get water to the west side. No speakers opposed the council's announced intention to fund the southern sector.

Main themes:

  1. Affirmation of council's stated commitment: Terry Smith, Richard Mays, Jamie Morden, and others thanked the council for the shift in tone from prior meetings and appreciation for the announced August 22 action plan.

  2. Recognition of progress: Terry Smith noted the discussion had "come a long ways in our mind just from the last meeting" and stated confidence that with full cooperation from Cahaba Springs and the town completing the 300-foot gap south of Joy Ranch Road, "logistics be make it much quicker to get the whole job done."

  3. Collaborative suggestions: Dennis Teal suggested the town might leverage concessions already given to Cahaba Springs as negotiating leverage. Catherine Smith implied that if the town controls enough of the line, it should proceed with what it can do immediately, separate from Cahaba Springs' future needs.

  4. Plea for detailed cost and priority information: C.W. Jensen and Catherine Smith requested that by August 22, the town provide cost estimates, prioritized lists of essential vs. optional improvements, and clarity on pipe sizing to empower residents and council to make informed decisions.

  5. Request for inclusion: Terry Smith asked that all addresses of west-side residents be documented; Chris Kendall and another resident (on 30th Street) asked to be included in the consideration, not just those on the original map.

Project Details

Vote Breakdown

No vote was held. Robert Morris explicitly stated: "Council is not going to take action on anything this evening."

Outcome & Next Steps

Decision: The council did not vote on any substantive measure tonight. Instead, Mayor Robert Morris announced a special council meeting for August 22, 2016 at which council will consider:

  1. Expenditure of funds to improve the town-owned southern sector of the west-side water infrastructure, including filling gaps, upgrading pipes, removing valve restrictions, and achieving adequate pressure.

  2. Continued negotiation with Cahaba Springs regarding the northern sector and integration of the two systems.

Conditions and tasks assigned to town management by August 22:

Next formal action: August 22 special meeting for council consideration and possible approval of expenditure.

Office hours: Robert Morris invited residents to attend office hours on Tuesday (presumably August 16 or 17, given the meeting date is August 16) at 9 a.m. at the town truck shop to discuss further.

Controversies & Context

Eight-Year Delay and Broken Promises

The crisis began with Cahaba Springs' subdivision approval in 2008 (or around that time). Residents reported waiting eight years for water service without clear progress. Michael Wolfe's explicit timeline complaint—"It's now August 2016, it's eight years later"—and Carry Chuck's reference to Robert Morris prior commitment during the Walmart expansion ("you told us that us west-side people had the ability to make a difference in the vote... if we gave you all March, you would get us water. Walmart's been there and our water is not") illustrate cumulative frustration with unfulfilled commitments.

Missing Performance Bond Controversy

Both John Miller and Michael Wolfe raised questions about why Cahaba Springs was not required to post a performance bond or completion bond, as standard subdivision law would demand. Miller stated he was told by "the former city manager" that the town was "in partnership with Cahaba Springs development" and therefore no bond was required. Wolfe corroborated this and asked directly: "Who forgot? Who dropped the ball, and why?" The council did not provide a clear answer on why the bond was waived or who authorized it. This unresolved question was deferred to August 22.

Legal Constraint: No Public Funding of Private Benefit

Mayor Robert Morris repeatedly invoked Arizona law: "Council cannot embark, no matter how well intended, on gifts to any private entity." This prevents the town from spending public money to improve the Cahaba Springs–owned northern sector line, even though that sector is essential to delivering water to west-side residents. Dennis Teal noted the impasse: "Arizona law says the town cannot provide public funds for private benefit," suggesting the council explore renegotiation of prior concessions to Cahaba Springs or other leverage.

Cahaba Springs' Status and Responsibility

Multiple residents questioned whether Cahaba Springs is still an active developer or has abandoned the project. Carry Chuck asked directly: "Is Cahaba Springs still an active company in business or did they go out of business?" and "Why has it spent eight or nine years in finding that... knowledge[?]" The council did not provide clarity on Cahaba Springs' current status, corporate existence, or obligation to complete infrastructure. Robert Morris noted that negotiations are ongoing but did not confirm whether Cahaba Springs remains solvent or committed.

Community Cohesion and East-Side Resentment

Jane Roads raised a significant concern: social media (specifically Steve Ali's Facebook political forum and emails) is creating an east-side vs. west-side narrative, with some residents questioning why the entire town should fund west-side water infrastructure. Roads called for community solidarity and support for neighbors. Robert Morris affirmed that the council's authority extends to the health, safety, and welfare of the entire community, not just one side, implicitly rejecting the east-west divide.

Fire Safety Gap

Jamie Morden and Carry Chuck both referenced a recent house fire on 26th Street where fire trucks could not access adequate water and had to call in water-drop companies. This concrete public-safety consequence of the water shortage underscored the urgency and stakes.

Technical Complexity and Sizing Debate

The town manager detailed multiple pinch points: 360-foot and 274-foot gaps in the town-owned line, undersized piping (4-inch, 6-inch sections), and valve restrictions. A debate emerged over pipe sizing: the Cahaba Springs line is 12-inch; the town's existing line is 6-inch and 8-inch in places. Engineers apparently advised upgrading to 8-inch or 12-inch, but Catherine Smith questioned whether an 8-inch line would suffice to serve immediate west-side residents and asked why the town should overbuild to accommodate future Cahaba Springs development. The town manager indicated that 8-inch would provide adequate flow if the bottlenecks are removed, but the final engineering plan remains to be determined.

Alternative Routing Considered but Not Pursued

One resident suggested running the line along Baseline Road (a different path) as a potentially shorter or less costly alternative, but the town manager indicated that the current proposed route (using the existing line and filling gaps) was the "most cost effective method." No formal alternative-analysis was presented.

Possible Improvement District North of Saddle Mountain Road

Terry Smith mentioned the possibility of an improvement district for areas north of Saddle Mountain Road, where private easements and private lines might be involved. The council did not elaborate on this option.

Duration

Other Notable Items

None. This meeting consisted of a single agenda item: the water infrastructure crisis discussion and scheduling of August 22 action meeting.