
Cave Creek Adopts $80.4M Budget as Parking Lot Withdrawn, Flock Camera Surveillance Scrutinized
Cave Creek town council meeting with withdrawn park parking expansion, budget approval, and public testimony on water crisis and flock camera surveillance concerns.
Cave Creek Adopts $80.4M Budget as Parking Lot Withdrawn, Flock Camera Surveillance Scrutinized
The Cave Creek town council unanimously approved a $80.4 million fiscal year 2027 budget and witnessed the withdrawal of a contested Desert Awareness Park parking expansion—both following extensive public testimony that dominated a June 17 meeting dominated by water crisis announcements, compliance questions about special events, and a demand for transparency on license plate reader surveillance.
The meeting opened with Mayor Robert Morris announcing a critical federal water announcement expected in July: Colorado River reductions to Arizona's Central Arizona Project allocation may range from 20 to 60 percent, with Cave Creek receiving 95 percent of its water from CAP. Town Manager Grady announced a public meeting the following evening to discuss short-term, mid-term, and longer-term solutions with CAP experts, outside consultants, and the utilities director.
Stagecoach Village Parking Withdrawal
Before the council could vote, Stagecoach Village HOA withdrew its request for a parking lot agreement at Desert Awareness Park—an outcome driven by residents' sustained opposition over deed restrictions, flood erosion risks, and conflict with the park's 1993 donation terms.
Twelve residents testified, many citing the original special warranty deed recorded October 21, 1993, which restricted disturbance to no more than 5 percent of the total site area and required the property be used as "an open space public park for public recreation with an emphasis on preservation and stewardship of the desert."
Key Speeches
"On page 41 of the general plan, it outlines 10 defined open spaces in Cave Creek. One of those is the desert awareness park. Substantially, it's the only one in the town core. And the town core plan specifically refers to it with the stated goal to promote, enhance, preserve, and encourage the use of the desert awareness park as a delightful sonor and desert experience for visitors and residents. Using that land for parking does none of those things." — Reed Ridoff, resident
"The primary use of the property shall be limited to an open space public park for public recreation with an emphasis on preservation and stewardship of the desert. This was the purpose of the donated park and I think it should be respected as such. And that deed goes on to say no more than 5% of the total site area may be disturbed." — Bryce Ridoff, resident (reading from 1993 deed)
"The proposed parking areas entirely within the highest hazard flood zone as mapped on the 1978 USGS publication, Delineation of Flood Hazards in the Cave Creek Quadrangle... Subsequent geological studies in the area have further suggested that the area around desert awareness park is vulnerable to flood hazards based on the unconsolidated sedimentary material that forms the terraces next to the wash... Increasing the amount of compacted dirt or worse pavement in the area will alter wash hydraology and possibly increase erosion. Removal of native vegetation including willow, palo verde, mosquite, desert broom and more will remove critical sonor and desert habitat that wildlife depends on." — Chad Kakowski, Arizona Geological Survey research scientist
Timeline of Opposition
- Project scope: 1.5-acre paved parking lot expansion; existing structures cover 4.8% of the 29-acre park; proposed lot would add 5.4%, exceeding the 4% limit in open space recreational zoning.
- Flood risks: Galloway Wash has deepened over decades; 2014 flood destroyed erosion control structures and widened the wash by 50 feet; residents reported mobile homes and vehicles collapsed into the wash downstream.
- Vegetation impact: Removal of willow trees lining the proposed expansion area would destabilize wash banks and remove habitat for lizards, quail, bobcats, and other desert wildlife.
- Cost concerns: Initial $100,000 budget estimate considered inadequate; residents questioned ongoing maintenance and liability.
- Deed restrictions: Original donation included 5% site disturbance limit; attached chart showed parking included in that 5%; removal of desert willow trees held the wash bank together.
Opposition Summary
Residents spoke for approximately 45 minutes across 12 speakers. Main concerns:
- Violation of 1993 deed restrictions limiting disturbance to 5 percent of total site area
- Conflict with voter-approved general plan emphasizing open space (mentioned 100 times vs. parking 22 times)
- Active erosion from Galloway Wash; proposed paving would alter hydrology and increase erosion risk
- Destruction of native habitat and desert vegetation critical to wildlife
- Inadequate budget estimate for a paved facility subject to flood damage
- Parking burden should fall on private businesses, not public subsidies
- Potential need for deed restriction release from original grantor, Cave Creek Gateway Limited Partnership
Most compelling argument: Chad Kakowski, a former Cave Creek resident and Arizona Geological Survey research scientist, testified that the parking area sits entirely within the 1978 USGS-mapped highest-hazard flood zone and that removal of native vegetation and compacted pavement would alter wash hydrology and likely increase erosion—citing peer-reviewed geomorphology literature on erosion control structures and downstream bank vulnerability.
Support
Lynn Walsh, a utilities commission member who helped write the original park grant and led landscaping efforts in the 1990s, testified in favor of parking expansion, arguing it was part of original plans and necessary to accommodate overflow at special events. She emphasized saving trees and bushes where possible while addressing parking constraints that had limited event attendance.
Flock Camera Surveillance System
Resident Jared Stenson delivered pointed testimony questioning how the town implemented a license plate reader surveillance system through a broad budget line item without explicit community consent or debate.
"Right now, it seems the town is trying to draft a privacy policy for a surveillance system that the public never explicitly consented to. These cameras were implemented through a broad budget line item that bypass the community's right to an open debate about them. The core issue before us is not how we regulate these cameras, but whether the residents of Cave Creek actually want them tracking our movements in the first place. Um, we are not alone in asking these questions. Across Arizona, cities like Flagstaff, Sedona, and South Tucson have already voted to cancel their contracts, remove the cameras, with Tempe actively moving to do the same." — Jared Stenson, resident
Stenson announced he would email all council members and primary election candidates (July 21 primary) demanding official positions on flock camera implementation and operation before the election, calling for "absolute transparency."
Town Attorney Bill's Response: Bill committed to developing a comprehensive privacy policy and comparing it with policies adopted by other Arizona cities (including those Stenson identified). He stated his intent to present recommendations to council in September, after his summer recess, that would both preserve privacy protections for constituents and acknowledge beneficial uses of license plate readers in crime solving and deterrence. Bill also clarified that council retains the option to discontinue the system if a majority determines it is not in the public interest.
Town Manager Grady's Note: If council does not wish to adopt a privacy policy, residents will have the opportunity to decide that question when the policy is presented. The council retains discretion to reject the system entirely.
FY 2027 Budget Adoption (7-0)
Finance Director Sherry presented the final budget, comprising an $80.4 million total: operating budget decreased $1.5M; capital improvement budget increased $6.5M.
Budget Highlights
Capital Improvement Budget ($44M, 38 projects):
- $12.1M new water resources (largest single item)
- $16M open space acquisition (state land purchase expected within 12–18 months; placeholder in FY 27)
- $6.2M town hall remodel (on hold, available if needed during year)
- $8.1M utility capital improvements (Phoenix Interconnect completion, well rehabilitation, various projects)
- $4.9M fire operations
- $3.5M streets maintenance (including $500K catch-up)
- $1.5M law enforcement
- $10.7M utility operations (Cave Creek Water, Desert Hills Water, Wastewater)
- $5.2M debt service
- $4.2M contingencies
Fund Balance Projection: Declining from $38M to $17.12M due to:
- $1.6M open space spending (full acquisition assumption)
- $7.8M capital reserves (town hall $6.2M, streets, fleet)
- $6.4M Series 2025 bond proceeds spending
- $400K water infrastructure balance
- $4.1M utility fund subsidies from general fund
Structural Deficit Challenges:
- Cave Creek Water Fund: Net ongoing positive $1M; after debt service, negative $1.8M. Requires $12M debt for new water resources and $2M general fund subsidy. Cumulative rate increase of 30–34% would be needed to eliminate subsidy.
- Desert Hills Water: Net ongoing positive $617K; after debt service, negative $300K. Requires $135K general fund cash loan. Rate increase of 3–14% needed to eliminate.
- Wastewater: Net ongoing negative $500K; after debt service, negative $2M. Requires $2.2M transfer; 30–129% cumulative rate increase needed to eliminate deficit.
Key Speeches
"I'm pleased to see the progress with the accelerated debt service payment. Uh staying ahead of target on paying down our debt, even though I have to compliment Cherry. I understand debt service so much better over uh this past year's uh budget preparation process. Uh so it is a learning curve as a newer member of council to understand how all the jigsaw pieces of a budget fit together and how those jigsaw pieces change over time as we have more financial reports come in." — Council Member (name not specified in transcript), expressing appreciation for debt management
"I do appreciate the honesty in the budget. Um this is the first year I think we've actually talked about subsidies, so I appreciate that." — Council Member
Vote Breakdown
Final: 7-0
- Yes: Mayor Robert Morris, Vice Mayor Kathryn Royer, Council Members Tom Augherton, Cynthia Driskell, Joe Freedman, Thomas McGuire, Dusty Rhoades
- No: None
- Abstentions: None
Council Commentary
Council members praised the budget as conservative, well-structured, and honest in identifying utility fund subsidies as a long-term structural challenge. One member noted that the town continues to maintain a full year's worth of expenditures in fund balance and emphasized that budget amounts represent ceilings; actual spending has historically run well below budgeted levels. Another stressed the distinction between budget and expenditures, noting the town's consistent practice of underspending.
Water Crisis: CAP Reductions Expected
Town Manager Grady's announcement of an imminent federal water crisis dominated the meeting's opening moments.
"The federal government is anticipated to make a major announcement in July about water reductions that will affect Arizona... The Colorado River water that um comes to Arizona will likely uh see reductions that um will affect municipalities throughout um the uh central Arizona project area. Um the unofficial word is that reductions of Colorado River water available to central Arizona project um cities and towns may range between 20 and 60%. As many people know, approximately 95% of our water here in Cave Creek comes from CAP. So, this is very important." — Town Manager Grady
A public meeting was scheduled for June 18 at 5:00 p.m. in the council chambers, with CAP representatives, town outside water consultants, and the utilities director presenting short-term, mid-term, and longer-term solutions. The meeting will be recorded and made available online.
Maricopa County Transfer Station Closure Threat
Town staff announced Maricopa County is considering closure of county transfer stations, including the Cave Creek station—the highest-volume station in the county, serving approximately one-third of its customers from Cave Creek.
Mayor Robert Morris emphasized that County Supervisor Kate McGee (Board Chair) is aware of the issue but holds only one vote of five and needs support from other supervisors. The mayor urged residents to weigh in on a May 18 (date correction in transcript; referenced as "Thursday") Maricopa County Board meeting at 10:00 a.m. (remote attendance available via county website).
Town staff will send a letter to Maricopa County Board of Supervisors and the county manager urging continuation of service or, alternatively, privatization to preserve resident access. Rural residents lack weekly trash pickup service, and closure risks increased illegal desert dumping.
Robert Morris noted that Carefree is also advocating with its county supervisor, Tom Galvin.
Special Events Process: Fee Structure and Compliance Review
Teresa (Town Clerk) and Luke (Parks/Recreation) presented a comprehensive review of the special events permit process, highlighting compliance challenges, particularly around sales tax collection and vendor licensing.
Current Process
- Application fee: Raised from $100 to $150 annually (applies to all event durations)
- Minimum application window: 30 days (though the town tries to accommodate shorter timelines)
- Review departments: Marshal's office, Development Services (planning/zoning), Building Official (fire marshal capacity), Engineering/Public Works
- Stipulations: Departments note conditions (restrooms, signage, parking, security, insurance requirements)
- Enforcement: Town clerk and marshal inspect during events to verify vendor licensing and compliance
- Post-event debriefing: Held for major events (especially Bike Week) to address complaints and discuss modifications
Challenges Identified
- Tiered fee structure lacking: Current flat $150 fee does not account for event duration; multi-day events (Bike Week ~9 days) generate far more staff time than single-day events.
- Sales tax non-compliance: Vendors, particularly food trucks and popup vendors, frequently operate without proper Transient Privilege Tax (TPT) licensing or report sales in their home jurisdictions rather than Cave Creek. Some use cash or "friends and family" discounts to avoid tax reporting.
- Vendor licensing gaps: Art shows notoriously have incomplete vendor licensing; requires staff to manually process applications on-site (up to two days per event).
- Food truck mobility: Food trucks are particularly problematic—licensed in their home cities, mobile, set up in public rights-of-way or government parking lots under state law with no lease obligations.
- Bike Week specific issues: Nine-day duration generates significant traffic management, noise, and pedestrian control demands. Recent incident (February: Roadhouse warm-up event with motorcycle testing vendors creating excessive noise; May: drunk driver incident).
- Transparency gaps: Events not reliably posted to town calendar or website; residents surprised by road closures or special restrictions.
Council Discussion: Bike Week Traffic Management
Council Member Tom raised a detailed proposal for restructuring Bike Week traffic to reduce impact on residents and local businesses:
"I was actually on the council back when we created uh the park and came to the vision that it's a desert awareness park. But I'm so thankful that our our uh our group withdrew from this of putting a parking lot there is just a really bad idea. And the second bad idea is the town should not pay and never pay to buy parking and pay for parking and pay the maintenance expenses for parking for our downtown businesses. That is their issue. We need a public private partnership with the town to solve those problems. So we work together as a team to solve those problems. That's where we should be." — Council Member (Jim Grub, based on context)
Tom proposed:
- Two-lane closure for bikes only: Reserve two lanes for motorcycles and bike displays; allow four-wheel vehicles to use remaining two lanes unimpeded for through-traffic
- Pedestrian-only zones: Create designated pedestrian crossing zones with temporary fencing (cyclone or similar) to control pedestrian movement and reduce vehicle stop-and-go traffic
- Entry/exit control: Motorbikes enter from east (Carefree direction), exit to west; restrict four-wheel vehicle access during peak hours
- Permanent pedestrian lighting: Install temporary lighting at crosswalks, especially nights and weekends
- Professional traffic engineering review: Before next Bike Week, hire traffic consultant to model alternatives; prior traffic studies had not resulted in closure to his satisfaction
- Reduction of pedestrian jaywalking: Coordinate with Sheriff's Office for consistent enforcement of traffic signals; Tom noted officers previously used discretion to stop all traffic for individual pedestrians rather than holding pedestrians for orderly crossing cycles
Council Member Tom also raised concerns about noise ordinance enforcement and lack of clarity on vendor compliance with business licensing during the event.
"I'll give you an example. Um, believe it was back in February, there was Roadhouse had an event that was actually just a two-day event. We started getting, it was only supposed to be Saturday and Sunday, and they started like doing the warm-up for it on Friday, and we were getting all sorts of noise complaints. council received the noise complaints... Well, we did a postevent debriefing because of the number of complaints with the um the promoters from Roadhouse and they agreed that they would not do that, have that vendor come back again and have that issue. And I said, 'Yeah, I mean, if you know, we reserve the right to revoke your permit and going forward not issue you a permit for this event.' So, they took it very seriously." — Luke (Parks/Recreation) or Teresa
Staff Response and Recommendations
- Fee tiering by duration: Staff directed to develop tiered fee structure (e.g., $150 per day or variable based on complexity/staff time).
- Sales tax auditing: Possible engagement of auditor to monitor TPT compliance; comparable model used successfully in Globe, Arizona.
- Bike Week workshop: Council consensus to hold separate workshop with event promoters, bar owners, and town staff to discuss traffic management, vendor compliance, and noise/music coordination before 2027 Bike Week.
- Calendar transparency: All approved events to be posted to town calendar and website; consideration of monthly town manager report or standing agenda item with upcoming events.
- Compliance improvements: Teresa implementing electronic vendor lists with real-time licensing verification; streamlined application forms; shared drives for easier departmental coordination.
Note: Tom Augherton raised that he did not expect to attend the next Bike Week but indicated he would observe from the sidelines and "supremely unhappy" with ongoing Sheriff's Office enforcement discretion on pedestrian crossing. He emphasized the need for temporary fencing and reduced pedestrian access to control traffic flow.
Other Notable Items
Turquoise Circuit Finals Rodeo Contract Extension (7-0)
The council unanimously approved extending the Turquoise Circuit Finals Rodeo contract from the original two-year term to five years through 2030. Town sponsorship remains $15,000 annually; town receives $3 per ticket sold. Cave Creek Rodeo Days and Turquoise Circuit separated financially. No changes to town responsibilities (water truck, arena grooming oversight). James Oracitas, PRCA Turquoise Circuit President, praised the partnership and emphasized the rodeo's role as a gateway to the NFR (National Finals Rodeo), attracting professional-level competitors seeking the "gold buckle" from the event.
CDBG Urban County Cooperation Agreement (7-0)
The council unanimously approved a three-year participation agreement with Maricopa County's Community Development Block Grant (CDBG) program, administered by the U.S. Department of Housing and Urban Development. The town receives no direct entitlements (population under 50,000) but gains eligibility for federal grants through the urban county program. Examples of eligible projects: handicap ramps, intersection improvements, housing assistance for low- and moderate-income residents. Maricopa County administers all paperwork and reporting; no cost to town. Prior participation concluded end of 2022. Council can reassess after three years.
Deputy Town Manager Ordinance—First Reading (7-0)
The council unanimously approved the first reading of Ordinance 2026-03, establishing a flexible deputy town manager classification. Town Manager Grady designated Finance Director Sherry as the first deputy town manager/finance director, creating a professional development opportunity without locking the designation into a formal job description. The structure allows future town managers to designate other department heads as needed and facilitates succession planning in the event of temporary or permanent absences. Grady noted that town code now explicitly authorizes delegation of authority during the manager's absence, addressing concerns that personnel designations alone do not constitute legal authority under town code.
Duration
- This meeting: Approximately 4.5 hours
- Consent agenda and liquor license: ~5 minutes
- Budget presentation and discussion: ~90 minutes
- Desert Awareness Park parking public comment: ~45 minutes
- Flock camera public comment: ~5 minutes
- Turquoise Circuit Rodeo discussion: ~20 minutes
- Special events process discussion: ~90 minutes
- Other items (CDBG, deputy town manager, clerk report, attorney report): ~60 minutes
Controversies & Context
Desert Awareness Park Deed Restrictions vs. Parking Expansion: The 1993 special warranty deed donation from Cave Creek Gateway Limited Partnership imposed explicit restrictions: 5% site disturbance limit, primary use as open space public park with emphasis on desert preservation and stewardship. Residents argued the proposed 1.5-acre parking lot (5.4% additional disturbance, on top of 4.8% existing structures) violated deed terms and required consent from the original grantor. Removal of native willow, palo verde, and mesquite trees would destabilize wash banks and destroy habitat. Flood erosion risks at Galloway Wash—which has widened 50 feet in past major storms—made paving particularly hazardous. Residents questioned whether town could write a new agreement overriding an existing deed restriction that "runs with the land."
Flock Camera Implementation Without Explicit Consent: Jared Stenson characterized the flock license plate reader system as implemented through a broad budget line item that bypassed public debate. He cited model cancellations in Flagstaff, Sedona, South Tucson, and Tempe, and demanded transparency from council members before the July 21 primary election. Town Attorney Bill committed to developing a rigorous privacy policy and will recommend either policy adoption or system discontinuance in September.
Water Crisis Looming: CAP reductions of 20–60% expected in July federal announcement. Cave Creek receives 95% of water from CAP. Public meeting announced for June 18 to discuss solutions.
Special Events Compliance and Sales Tax: Vendors frequently operate without proper TPT licensing; food trucks particularly problematic due to state-law exemptions for public rights-of-way. Bike Week nine-day duration generates traffic management, noise, and pedestrian control demands. Recent incidents (Roadhouse warm-up event noise complaints, May drunk driver) prompted post-event debriefing and future modifications. Council seeking better coordination of traffic flow, pedestrian control, and vendor compliance before next Bike Week.
Maricopa County Transfer Station Closure Risk: County considering closure of transfer stations, including Cave Creek's (highest-volume station). Impacts rural residents without weekly trash service; risks increased illegal desert dumping. Town and Carefree coordinating advocacy with county supervisors.
View source transcript ▼
Source: 16 June 2026 Regular Cave Creek Town Council meeting — June 17, 2026. Auto-generated YouTube transcript; may contain transcription errors.
Uh welcome to the town council meeting uh for June 16th, 2026. Um we're going to have the pledge of allegiance and we have something special tonight. Darl, would you come up please? Talk real loud. Gerald Fleming has has created this work of art for the council chambers and so I'd like to recognize her. She's a local artist across does fabulous work. But Carol, thank you very much on behalf of the town. Now for the pledge, Paul Magguire has somebody he'd like to introduce.
We have a young man in the audience today who has done geology. Many of you know I'm a geology person. Chad Quittowski has done worked on landslides in the area. He's now working for the Arizona Geological Survey. So, we have a friend in the Geological Survey. Chad, would you please lead us in the pledge to the flag to the flag of the United States of America and to the stands, one nation under God, indivisible, with liberty and justice for all. Well done.
Okay, we have a couple of public announcements, some of which are probably inter. We normally have one or two people in the room, so I think everybody's here.
Um the uh stage coach village HOA who was the uh had requested the parking agreement uh has decided to withdraw that and so we we don't have a uh we're going to take that off the agenda and uh what we're going to do is that it um we'll move we'll call the names of anybody who who put a card in to to say something and so you'll have a chance to do that at at call to the public which will be uh right after the town manager's report.
So if you want you don't have to say anything but you can say and of course the the standard threeminut rule will be strictly enforced given the number of people we have in the room today. So uh with that we'll turn it over to the uh um oh let's see I have one one more thing. Um, nope. That's it. Okay. Town manager report. Okay. Thank you, mayor. Um, couple items and um it kind of try to abbreviate a little bit more. Um, the first item to report is tomorrow night.
Um, the town will be hosting a public meeting on the town's water resources. Um, as you're aware, the federal government is anticipated to make a major announcement in July about water reductions that will affect Arizona. Basically, the Colorado River water that um comes to Arizona will likely uh see reductions that um will affect municipalities throughout um the uh central Arizona project area.
Um the unofficial word is that reductions of Colorado River water available to central Arizona project um cities and towns may range between 20 and 60%. As many people know, approximately 95% of our water here in Cave Creek comes from CAP. So, this is very important.
Tomorrow night, there will be a panel of subject experts um that will include CAP, the town's outside water experts, and our utilities director who will not only be discussing this important issue, but also some of the short-term, midterm, and longer term solutions the town is working on to secure Cave Creek's water future. Residents are encouraged to attend the meeting tomorrow night. It'll be held in this room at 5:00 pm.
It'll be recorded and will be available to view later in the event um if residents are unable to make it. Um the the second item reports uh I'm sorry, the second report relates to the uh Cave Creek transfer station. A number of people um are aware that Maricopa County is considering the possible closure of not only the um the county's transfer stations throughout the county, but also the Cave Creek one.
The Cave Creek transfer station is one of the um highest volume um of the stations of which approximately a third of all the customers come from the town of Cave Creek. Due to the impact that this will have on our residents, the town council um was notified on June 3 by myself and information about the possible closures was posted on the town's website and social media accounts as well as information about the public meeting that Maropa County has planned for Thursday.
That meeting will take place at 10:00 a.m. Um and residents are encouraged to do it remotely. That information is on our website. Uh go to our website um at www.cavecreekaz.gov and it's on the homepage and there's information. You click on that and it'll take you to the hyperlink that will allow you to register and go onto that meeting on Thursday. Um as I mentioned over the past week or so, the council and I and and our staff members have heard from uh a number of residents who are concerned.
For a number of residents, this is their only source of of removing their solid waste and taking the solid waste to the transfer station. They don't have the a weekly service um due to the rural nature of our town and and the um the uh expense of that. Um a number of residents have also pointed out the concerns about if this service is discontinued by the county about the potential for illegal dumping in our desert. and that's something we we see currently and we don't want to see that increase.
Um, based on these concerns, the mayor and I talked about uh this last Friday and we are going to be sending a letter off to Maropa County Board of Supervisors and the county manager expressing concerns about the possible um closure and urging them to continue with the service and that if they do end up making a decision that may end up having the county get out of the business that they consider at least at the very least having it be privatized.
so that our residents still have an option here in Cave Creek. Um, again, that letter will go out this week. Um, and in addition to this, uh, I know the mayor has some additional thoughts and and points he'd like to address at this point. So, I'll turn it over to Mayor Morris. Yeah. Our our county supervisor, Kate McGee, is also the chair of the Maricopa County Supervisors, and there are five of them. They operate under the same set of rules that we operate on in the council.
you can't talk to people and arrange things ahead of time, the open meeting law uh restrictions. So, she she cannot talk to people to do that. She is super I I called her and uh she is super aware of everything that's going on. She knows that that Cape Creek, she knows off top of her head that Cape Creek was the busiest station, what it means to desert dumping, uh what it means to residents who don't have another outlet for for trash.
And so, uh, she is really interested in finding a solution to this that that keeps that service in there. Uh, but she's going to need some help. Um, she's only has one vote and she needs three. So, uh, it's going to be very important that people weigh in so that the other four supervisors see that that she's got support. She she's going to be representing us, but she's going to need some help. And so I urge everybody on the 18th to to uh get on the call um to send comments to the supervisors.
I mean there's plenty of ways you can do it through email and other things. Uh go to that meeting only holds 80 people so not many of us can get in but uh but weigh in on this. So I I think we've got this thing covered. Frankly the letter um is an official thing. The others will see but it really helps to have uh relationships with county supervisor. So when we picked when we called them, they picked the phone up. We can talk to them. And I know that that Carefree is doing the same thing.
I talked to John Crane last week and he had already talked to uh some people in the organization down there and he's talking to his supervisor, which is Tom Galvin. Tom Galvin handles Carefree Scottsdale, Fountain Hills, etc. So, uh, there's a lot of activity going on there and, uh, um, we can't guarantee an outcome because they're losing a lot of money on those things.
So, uh, I think they're going to probably close some, but, uh, hopefully we can keep ours open by privatizing it, uh, raising the rates, something to to cut the, um, the amount of money that that's being subsidized down in the future. So, that's underway. One comment on that, the dubtail. So, I'm going to be down there Thursday and I'm going to get there very early so I make sure that I'm one of the 80 people in there uh as a concerned citizen of the town. Anything else, Brady, for your report?
Okay. Um, now we're going to call the public and as I mentioned, the people that that want still want to talk uh about the the the parking proposal stage coach village can do so at the call to the public. So, Teresa, why don't you start there? Lynn Walsh. Lynn Walsh.
I'm currently on the utilities commission and in the past I was instrumental in actually I wrote the grant for the park and um I also was in charge of landscaping all the medians back in the 90s using volunteers and writing grants and getting money from the federal government. I'm very much involved in saving the desert and desert education.
I just wanted to to make sure that all the people know that originally these are the original plans for the park and the expansion of the parking lot was always part of the plan. We hope that it won't be paved. We hope it'll be DG, but we need more parking there. Uh in past we've had events where we had to hike from stage coach village and I think it limited the number of people that come out for our educational uh events and so forth.
So I encourage the council to go ahead and expand saving the trees and saving the bushes that you can but we need parking in the town core. If you try and park at brunch it's a mess. Thank you, Jared Stenson. The vastly different subject. This is about the flock cameras on the bottom of the agenda today. Uh mayor, vice mayor, members of council, and town staff, thank you for your time tonight. Uh I am a Cave Creek resident.
I'm speaking tonight regarding the staff update on the flock camera system. I've read the reports from both April and today. Right now, it seems the town is trying to draft a privacy policy for a surveillance system that the public never explicitly consented to. These cameras were implemented through a broad budget line item that bypass the community's right to an open debate about them.
The core issue before us is not how we we regulate these cameras, but whether the residents of Cave Creek actually want them tracking our movements in the first place. Um, we are not alone in asking these questions. Across Arizona, cities like Flagstaff, Sedona, and South Tucson have already voted to cancel their contracts, remove the cameras, with Tempe actively moving to do the same. They recognized the exact same mass surveillance risks we are facing tonight and decided it wasn't worth it.
With the primary election on July 21st just a few weeks away, the citizens of our town deserve absolute transparency. We need to know exactly where our elected officials stand on the implementation and continued operation of public surveillance. Um, therefore, I'll be following up with each council member and each prospective candidate for the upcoming election via email tomorrow morning to ask for an official position on the matter. Thank you for your time. Thank you, Reed Ridoff.
Sorry, for those not familiar with the light system, there are three lights up there. The green light means you're in your within your three minutes. I think yellow comes on with 15 seconds and red is time to finish your sentence and and and complete your thoughts just so everyone knows who who isn't familiar with uh testimony in public. Welcome. Thank you. Excellent. Thank you. Uh thank you, honorable mayor, vice mayor, council members. My name is Reed Ridoff.
My family has lived adjacent to the Desert Awareness Park for four generations. So, the expansion of the lot, shared agreement or no, uh is a serious issue for us. Um the first thing I'd like to bring up is uh well, two things. One is open space and one is parking. In the general plan, which was voter ratified, as I'm sure you all know, open space is mentioned exactly 100 times. Parking plans are mentioned 22 times.
So, in my opinion, this is the voters making a clear message that open space takes priority over parking. Expanding the lot does the exact opposite of this. On page 15, oh, I'm sorry, on page 41 of the general plan, uh, it outlines 10 defined open spaces in Cave Creek. One of those is the desert awareness law. Substantially, it's the only one in the town core.
And the town core plan specifically refers to it with the stated goal to promote, enhance, preserve, and encourage the use of the desert awareness park as a delightful sonor and desert experience for visitors and residents. Using that land for parking does none of those things. Uh I'd also quickly like to talk a little bit about some lack of clarity with the plans. Uh it was initially stated that it would not be a paved lot.
However, now the plan clearly states that is it is intended to be paved. This causes this causes serious concerns with regards to light noise, uh proper screening in terms of uh potentially a wall uh water runoff setback questions, not to mention the continued expense to taxpayers. The budget is currently $100,000 for that project. I think we all know it's going to go much higher than that.
Um, not to mention I believe the park needs to be reszoned in order for this to happen to the plan I think is to reszone it to open space recreational which in the ordinance on page four states that no more than 2% uh coverage can apply to that sort of uh uh zoning or 4% coverage plus disturbance. The initial uh deed uh states that the existing things at the desert awareness park, the amphitheater, the playground, etc. take up 4 4.8% of the 29 acre park.
The lot that's being proposed is 1.5 acres. That's an additional 5.4%. That pushes it well beyond the 4% that's allowed in open space uh recreational zoning. Um, so in my opinion, this sends a clear message to voters that commercial interests are being put above residents and above the promises that were made in the general plan and the town plan. Thank you for your time. Thank you, Bryce Ridoff. Uh, hi. I'm Bryce Roff. Reed's older brother.
Um, a lot of what I was going to say today doesn't really need to be said. I don't think Reed covered a lot of it, but I would like to just read from the a quote from the special warranty deed for the donated parcel for Desert Awareness Park that was recorded on October 21st, 1993. The primary use of the property shall be limited to an open space public park for public recreation with an emphasis on preservation and stewardship of the desert.
This was the purpose of the donated park and I think it should be respected as such. And that deed goes on to to say no more than 5% of the total site area may be disturbed. Now, on the deed, attached to the deed, they have a chart that shows the square footage, the the full breakdown of what they were planning to do on the park, and the parking area is included within that 5%.
So, I I think that it's important that we respect the intention behind the donation of the land for the park for that reason. um as well as I was at the neighborhood meeting on the 10th where the plan was presented to us and there we had some concerns um and a lot of them didn't seem to really be addressed. Some were concerning the wash and whether or not it would be coververted to cross it because there was intended to be a bridge uh to connect the two parking lots.
And um we were told by Luke that uh it was intended to just be graded on an ongrade um connection between the two parking lots. And anyone who's lived next to Steuart Wash or seen it or been to Desert Awareness Park can see for themselves that it is deepened and it continues to deepen. And it's actually already been diverted once before by the town.
I'm I'm not sure when or what their actual stated reason for that was, but I believe it was probably because the parking or the um the playground equipment kept getting eroded. We've seen it all swept away. The park actually used to include um volleyball nets that and they were all swept away with with the flood waters. I don't think that these costs have been thought about when it comes to the parking structure that or the the parking lot that they're intending to put in there.
And I think they should be considered um before moving forward with putting a parking lot on that parcel. And that's it. Thank you. Mayor, if I may, just for clarification, um, with the withdrawal of the agreement, the the town staff has no desire to go forward with this parking project. So, I'm not sure the public is aware of that. They just thought that this was just the agreement, but the agreement is what precipitates having the parking built afterwards. So, no agreement, no parking.
Thank you for that clarification. Grady, can I ask a question? Can I ask a question of Grady real quick? Grady, um um could this actually um come back to us here so we could actually kill it and provide a um conservation easement for the entire park going forward? We can't discuss that and call the public. Okay, that's fine. Nina Spitzer. Nina Spitzer, Cave Creek resident. Good evening, mayor, council, staff. Um, I am happy about the announcement.
Um, I had concerns and questions, the opinions and opposition of community, the environment, the cost, but I guess that's put to rest. But I am here today um for Diane Vasselie. Many of you know Diane and she is currently out of town and um asked me to make uh a statement and share some of her concerns. I made that promise so I will read it to you. Um this is Diane Basley from the Desert Awareness Committee, a resident of Cave Creek.
I've been with the Desert Awareness Committee and administering to the Desert Awareness Park since 1993. On this matter, I have two main concerns. First, we of the Desert Awareness Committee are not opposed to parking or expanding the parking area as it was designed in our original desert awareness park plans as long as you do not remove the desert willow trees which line the area where the parking will be expanded.
Not only do we use the trees in our tours of the park, but their roots hold help holds the water uh and the wash bank together. If you don't hold the bank together, we will continue losing parts of the park to erosion with future rains and flooding. We don't have to think about that now. Two, another concern is the possible construction of a structure either a pedestrian walkway or roadway over the stage over to stage coach village. I feel this would be unwise.
I can't imagine placing a structure over that wash for the same reason as previously stated since it would potentially weaken the integrity of the wash banks. We've already lost much of the bank in one of the last major storms. I can't remember which here took out 50 ft of our park on the north side from water rushing down the wash going across toward the north and scouring out an entire picnic area.
Ultimately, our main concern is that that fire hose type wash, which parallels the parking lot, is not weakened by this project in any way. I thank you for keeping that in mind. Hopefully, an engineer like Wayne Anderson of the past will be the one who will con uh he'll consult with to make sure these concerns are addressed. And when I speak to Diane, I am sure she will be extremely pleased with the withdrawal. So, thank you. Thank you, Jean Ridia. Okay, thank you. Chadwitkowski.
I drove up from Tucson, so I'll say my piece. And a perfect followup to Dian's statement or Dian's, you know, the statement via Diane's friend. Um, my name is Chad Kakowski. I'm a former Cave Creek resident, having gone through the entire K12 system in CCUSD. I'm now a research scientist with the geohhazards group at Arizona Geological Survey, but I'm here on my own accord and the opinions expressed are my own. So, some of this isn't relevant, but some of it very much, most of it still is.
The proposed parking areas entirely within the highest hazard flood zone as mapped on the 1978 USGS publication, Delineation of Flood Hazards in the Cave Creek Quadrangle. Has this study been reviewed? I emailed a link to this resource in my email to council and mayor and vice mayor today and I have copies of the relevant sections if anyone would like them.
Subsequent geological studies in the area have further suggested that the area around desert awareness park is vulnerable to flood hazards based on the unconsolidated sedimentary material that forms the terraces next to the wash. The flood of August 19th, 2014 exemplified this hazard at Desert Awareness Park. Intense lateral erosion occurred, destroying erosion control structures on both sides of Galloway Wash and widening the wash by as much as 50 ft.
Two cars in a mobile home collapsed into the wash just downstream of Desert Awareness Park. A few homeowners in this area filed a lawsuit against the town regarding increased erosion at their property due to the erosion control structures at Desert Awareness Park.
Although the lawsuit was dropped, a publication by flood geomorphology experts regarding the 1983 floods along Rioto Creek in Tucson did indeed find that erosion control structures increase the erosion hazard along unprotected banks downstream. Recent field reconnaissance couple hours ago revealed that erosion along Stewart Wash is ongoing as evidenced by roots protruding out of the steep wash banks and active goalies that with time will erode headward deeper into the proposed parking area.
Increasing the amount of compacted dirt or worse pavement in the area will alter wash hydraology and possibly increase erosion. Removal of native vegetation including willow, palo verde, mosquite, desert broom and more will remove critical sonor and desert habitat that wildlife depends on. This would be in complete opposition to the goals and objectives of the town of Cave Creek and to the very nature of the desert awareness park. Thank you. Thank you, Bill Payne.
Philip Payne, David Phelps or uh David Phelps, thank you for the opportunity to speak for item number four. I see the path that we're on before today. The path that we were on before today included a royal road, cloud road, town hall remodel, the flock camera, and the gateway park parking lot. the opposing road or path, the 40,05 acre um committee work that was done bringing a consensus to what needed to happen in our town along with the Morning Star Trail Committee.
That's the other path we can take. I don't know if you guys are starting to see the pattern I'm seeing, but the pattern is the longer you guys work these issues behind the scenes with the applicants and then download them five or six days before we actually have the hearing, the more these things tend to blow up in your face. It's the reality of having this particular business style of closed government. Get as much done as we can before they find out.
when they find out, we'll see what we can do to satisfy certain temperaments. We'll see who we can buy back to our side with our people. Um, I think time has come that we need to not hold the CIP plan so high in regard as that plan is um a four or five year forecast with placeholder amounts and it's too much for the for the town residents to continually follow. Additional communications are needed to mitigate the long meetings on the budgets.
We've all been to the day after day meetings on the budgets. As you know, um they're sparsely attended. Uh we need a meeting on the need for the town to pay for parking, period. Especially for businesses that sell their parking spaces to vendors and then create a parking problem for themselves. I feel no need to subsidize their parking problem. I think it's atrocious that the town would take the position that somehow the town has adopted uh a parking problem that they didn't create.
The businesses know how much parking they need to make their businesses work. The plan should be is that the businesses work together to create the parking solution they need. Not the town, not the town's coffers, not the town street department doing the blading, grading, grubbing, the planning department doing the planning. This is a private issue. It's with the business interests that make the money during the special events that come to town. Period.
the uh $100,000 that was allocated to this park project for parking should stay in the park after uh since 2014 the park has not had adequate water or electricity for the desert awareness commi committee to do their activities. I think that money should go to that uh should remain in the fund. I'm pleased to hear the finishing statement that the town manager heard that we have finished the fix for the parking question for now. Please wrap up your comments though. Your time is up.
Um, that's all the comments on I have on issue four. if we have other issues that we're supposed to get over with. I'm a little confused by Jared came up and did the flock camera, but I mean, do you want all the issues that we're supposed to talk about now or This is called to the public. So, just for issue four. So, it it it's open, but you only have three minutes for all of all of your issues. That's a BS deal. That is a BS deal. You're out of order, Mr. Fel. I'll remain out of order.
Please sit down. Jim grabbed. Okay. Here my There I am. Jim Grub Cave Creek. Yeah. Um I was actually on the council back when we created uh the park and came to the vision that it's a desert awareness park. But I'm so thankful that our our our uh our group withdrew from this of putting a parking lot there is just a really really bad idea.
And the second bad idea is the town should not pay and never pay to buy parking and pay for parking and pay the maintenance expenses for parking for our downtown businesses. That is their issue. We need a public private partnership with the town to solve those problems. So we work together as a team to solve those problems. That's where we should be. Now I do have one question. I'll ask it on Thursday at the informed Kfreak voters for all the candidates regarding Gateway Park.
So here's my question. I'll say it twice because I want everybody in the answer in the audience to hear it as well. What is the future of Gateway Park in the next council? Please answer that question on Thursday. All the candidates, I'll say that again. What is the future of Gateway Park in the next council? Thank you very much, Bruce Arlin. Krinka Wilson, please forgive me. I didn't know how to begin or address everyone. Thank the council and the microphone.
Um, this is my first time speaking uh at a town council meeting. Um, my notes are for issue four and they are primarily emotional. I'm so glad I didn't go first because I had plenty of time to listen to the other speakers because everybody that got up to say is like, "Oh yeah, that's it. That's it. That's it." I grew up in Cape Creek. Uh moved here when I was an infant. I know that doesn't necessarily mean anything.
That's not a guarantee that my view is not going to change or the neighbors property is going to suddenly put up a large building. But I grew up in a home that had uh Galloway Wash in the backyard. And I have never understood why anybody gets permission to build so close to that because every time it rained and that thing flooded, it just got whiter and whiter. We saw mobile homes being blush washed away.
So when stage coach village went in so close to that wash, I thought who in their right mind gave, you know, engineering permission to do so. But anyway, thank you. I am, by the way, my mother and Jeanie's mother were best of friends. I'm a godmother to read over there. Been a long time. Um, this particular parcel of land may not be so photogenic or even pretty in some people's eyes, but it is important nonetheless.
This town council looks out for the citizens and the businesses of Cave Creek, but the flora and fauna must be looked after, too. It is one thing to bulldo an area of land to put up a house. It is another thing to bulldo desert to put in a parking lot. The house will become a home to a family. It will provide shelter, shade, safety, and sustenance to its residents. This desert does likewise.
It provides shelter from storms, shade from the sweltering sun, and safety from predators, and sustenance to all who live within. Hundreds, if not thousands of animals, from lizards to Harris hawks, from quail to bobcats live there. The dense growth of palvery, creassote, and even choya are vital to maintain this habitat. What will a parking lot provide? Nothing. No protection for the sun or hail storms. No cover for raising the young. No food. Nothing.
Only a hot, smelly black surface for putting an inanimate object on for a brief period of time. The destruction of this desert in order to provide a space for a few cars which will be on it for a few hours for a few days out of the year is really shameful. If you must provide more parking, build up. I'm sure that is I'm sure that has been an issue because there's some seem to be some hype things. I guess create a second level.
You would again you excuse me, you would gain your desired special event read less than 20 days a year overflow parking while also creating shaded spaces. Oh god. uh for your rest of the year customers. The people who live in the homes next to this parcel have been here for more than 60 years. It doesn't guarantee that their view is going to stay the same, but now is it counting up or counting down? Down. Yeah, your your time is finished. Oh, I've gone over. Oh, you're right.
Well, the world won't end. Okay. Again, that was emotion and everyone else, especially Reed, had so many details, but I hope that the council will at least remember that the next time an issue for a parking lot comes up, you go. Thank you. Thank you, Kathleen Bay. Hello, Mayor, Vice Mayor Royer, distinguished council, and everybody else who's here, staff. Um, I when Grady made his announcement, I came in a little bit late. I apologize to say that this has been withdrawn.
I opted I thought about maybe refusing to come up and speak, but I think I'd like to anyways. Um, so 1993, 26 acres. This was donated by the Desert Gateway Park people. I don't think it's together anymore. I may have that title wrong. Anyways, it was a donation to the town to be designated as a public use park.
And there are specific deed restrictions in there that we've already discussed and I'm reaffirming all the statements that have already been made in opposition for putting a parking lot in this space. Um, however, I I wanted to add a couple of things.
So, the town of Cave Creek has in the past recognized this park as a historical it has a historical recognition on it and it's to be maintained as a park and in the deed restrictions, it's to be preserved and it's supposed to be in first class condition. And there's people in the town and that have a desire to have a park.
I know Desert Awareness Committee is overseeing taking care of the park, but we as a community, I went down there to see what the parking lot would do and I saw the stakes that were put out and the homes that are there. None of you guys would want to live in one of those homes if you got a parking space coming right there. And this is your patio of that home right there. Daytime, nighttime, it's going to be noise.
it's going to be light shining in their back kitchen window or whatever room that is there. It just doesn't seem right. I It doesn't sit right with me. Um I think that we the legal the other legal issue that came up to me in the original deed was that it states in there that the paragraph 8 which talks about the restrictions is to run with the land and this land has transferred over to the town now. So I'm not a lawyer.
But from my research, the only one who can pull back a restriction is the granter. And that would have been that desert committee that um donated the land to us. Uh Cave Creek Gateway Limited Partnership is who donated the land to us. So there would be they would be the ones that would have been able to pull it back unless there's some other legal agreement possibly have to take it to court, but I don't want to get into all of that.
But another one of my key so I didn't I don't see how we can write another agreement that says runs with the land when there's already an existing agreement that says it runs with the land. Who's runs with the land takes precedence. Um and the other thing is stewardship. I think as a community we have this beautiful asset that's a park. I'm all for the businesses. I think the businesses help support us. It prevents us from having a property tax.
I support the businesses, but I don't see how this is going to enhance the business anymore to bring that much more into the town that's going to help us with things. But we I think we need to be better stewards as a community taking care of this park because it's beautiful. It it's an asset that we need to take care of. And in the documentation, it does say keep it in a first class condition. So, I agree that we should keep the money in there.
I think the roof on that rotunda thing needs to be repaired. Kathleen, please please finish. your time. No, I just I I appreciate it. Thank you very much. Um it's a great asset and I think we should maintain it as such. Thank you. No additional speakers. Okay. Uh that completes call to public. The next item on the agenda is the consent agenda. Number one is council discussion.
Possible motion to recommend to the state liquor board approval of a series 12 restaurant liquor license for creers 6554 East Cave Creek Road, Cave Creek, Arizona 85331. Number two is approval of the April 21st, 2026 regular town council meeting minutes. The three is approval of the May 5th, 2026 regular town council meeting minutes. And four is the approval of the May 19th, 2026 regular town council meeting minutes. Anybody need more information on any of these items? Pull them. Okay.
Is there a motion then? I'll move to accept the consent agenda as printed. Second. Okay. Who had a second? I Okay. Joe had a second. We've gone through We've gone through this. It's all good. So, let's All those in favor? I opposed. Motion carries 70. Uh, next is in accordance with state statute, the item, this item uh requests that the town council formally convene a special meeting for the purpose of considering adoption of the 2026-27 budget.
Um, therefore, I call that meeting that special meeting to order and suspend the current council meeting. And so we are now in that special meeting to consider the budget. Good evening, mayor, vice mayor, council. So, we're having a slight issue with the PowerPoint, but Brian can run it for me. So, um this is the um final step in our budget process for the adop adoption of the final budget.
Um On this slide, it shows um a summary of the expenditures by the v the categories, the operating budget and the capital improvement budget um compared to fiscal year 26. So the operating budget is um going down about 1.5 million. The capital improvement budget is going up about 6.5. So the net increase is about 5 million. Um I have at the bottom just a a list of some of the highlights of what's included in the the budget.
So on the uh capital improvement side um 12.1 million of that is for new water resources. So that's a significant item that is in um the CIP that's um creating such a large dollar amount in addition to 16 million for um the the acquisition of open space. We had conversations that um with the um state land department it could be um 12 to 18 months. So we have it in the budget for fiscal year 27 just in case we're able to move on it within that year.
Um 6.2 million is in the budget for the town hall remodel and expansion as has been discussed previously. That is on hold but it is in the budget available if um we're ready to proceed during the year. Um there's 8.1 million for other um utility capital improvements, various um improvement projects related to um finishing up the Phoenix interconnect. Um the evaluation and the um trying to get some of those wells back online. A variety of projects make that up.
Um on the operating budget side, um it's almost 5 million, 4.9 million um for fire. Um it is um a a significant amount of money um that is needed for fire. There's three and a half million for streets maintenance. That does include um a half million for some catchup on streets. There's 1.5 million for law enforcement operations. Um for all three of the utilities, the operational aspects are 10.7 million. There's 5.2 million in our debt service payments and 4.2 2 million for contingencies.
The next slide has a summary of the um the the budget and how it's balanced. So looking at this, the first column there is what was the fiscical year 26 budget. then what has been put together during the fiscal year 27 budget process as far as what is estimated for fiscal year 26 and then what the final numbers are that are proposed for the fiscal year 27 budget.
So the first line there is how much we're um estimating that we will start the year with as you can see what we had estimated for fiscal year 26 um the estimates now um are that we would start off with more um than what was budgeted. So, um, part of that is because of contingencies and things like that that are built into the budget.
Um, the way Arizona law works and what the auditor general's office recommends is that we put the amounts at the highest amounts um that we possibly could incur um because it's a lot of um issues if we were to go over budget. So you want to make sure the conservative approach is to make sure that you are covered for anything that's possible and be able to demonstrate that you'd still be balanced. Then we have the revenues um that are estimated.
The um other financing sources would be the um debt issuances. So in fiscal year 27 that 24.3 would be for um the two significant items that we talked about the new water resources and the um open space. when we back out the estimated reserves as of June 30 um from the beginning balance and all those resources coming in and the reserves we need at the end of the year that tells us how much resources we have available.
Then we have the estimate of the expenditures and so the difference between those two numbers is excess resources available. Um so we actually um are not budgeting everything that we possibly could and still be balanced. And then the bottom line there is just taking what those um reserves at the end of the year plus the the resources available to um see what the total fund balance would be.
This is a formula um calculation on how this is done and it assumes that um that we would only receive the amount of revenue that has been estimated which we try to be a little bit conservative in those numbers and that we would spend every last dollar of what's in the budget which we know that we typically would not do. So on the next slide, um, so we're showing from a budgetary perspective that the the fund balance would go from 38 million to about 17 12.
Um, and this identifies what those items are that would be bringing that down if everything were spent in this manner. So the first one there, 1.6 6 million assuming that the money that we have set aside for open space that all of that would be spent in fiscal year 27. Um the capital reserves um that are assumed that would be spent um 7.8 million would be the town hall project. Um some of the street projects and fleet maintenance.
Um, this is kind of one of those things where if you set aside a savings account to send your child off to college, when it comes time to send them to college, if you don't spend the money that you have set aside like that, it was the purpose for why you set it aside. Why we set aside the capital reserves is to be able to do capital projects. The U bond proceeds from the series 2025 bonds that were issued um in December um 6.4 4 million are assumed that they would be spent.
Those need to be spent on the capital improvement projects. That's why the debt was issued. The water infrastructure balance is also intended to go to capital projects. So that's another 400,000. Um the use of debt service reserves. So um we will be paying final payments on a couple of the bond issuances um a little early and using those reserves for the payments that would be due um July 1, 2027. And then we have subsidies to the utility funds.
Um at this point the utility funds are not self-supporting. We have um budgeted 4.1 to subsidize those. And then the remainder would be a net increase to fund balance of 1.1 million. And so if we go to the next slide. And so this one steps through um Brian. So the very first if you could pop the first line up. So the one that's kind of a blue line. So this is what the budget amounts have been um over the past few years.
I went through fiscal year 25 which is these are audited numbers and if you pop up the ne next one Brian so the orange line is how much expenditures have been. So you can see we've always been um well under the budget. We have all the various placeholders and sometimes capital improvement projects don't proceed at the pace that we um uh allowed oursel the capacity to have them move forward if they did. And then uh the next line, the green line.
So you can see our fund balances have mostly been higher than the orange line. A little bit of difference between um the orange line and the green line in fiscal year 25, but we've mostly had a whole year's worth of expenditures sitting in fund balance. So So we are in a good position as far as all of that. And if we can move forward.
So the next slide is um looking at the expenditures by type and um as you can see of the 80 million um uh budget more than half is related to capital improvement projects about 10% is related to personnel costs. Um and then the next the biggest second biggest piece of the pie is just those ongoing non-personnel costs like um uh street maintenance and all those various things um that we do. So if we can go to the next slide. So this is looking at the debt um for um as of um July 1, 2026.
This is related to the utility fund. So 27 million. Um I do have on the right hand side those amounts that um we are planning to pay early. So um about 800,000 for Cave Creek water and about half million for Desert Hills Water.
And then we have um the excise tax um Cave Creek Water about um 600,000 that um we were going to look at how much we're earning on the debt service reserve compared to what rates are uh at what we're paying and if it seems like that it it would be a good choice to do that then we will pay that one early as well. But there are no debt service reserves set aside for an excise tax loan. The other two do have debt service reserves already set aside.
Um this next slide looks at the payoffs of the debt. So the ones that are upcoming. So um Cave Creek Water um by 2030 will have finally paid off some of the the debt 1.1 million. Desert Hills Water 800,000 by 2028 and wastewater 4.1 by 2029. Um and then in the right hand column there are some of the ones that are the longer term. So, Cave Creek Water with the loan for the Phoenix Interconnect, um there's 11.99 million that goes out to fiscal year um 203.
And then the issuance that just um we had just done in December is represents the other three items there um in the uh capital improvement plan. So um of the amounts that are in here as far as debt the capital improvements fund this is related to the open space. So um what we had set set up in the budget was an assumption of 12 um about 12.3 million of debt. This is something that is still in the works as far as like what the final numbers were going to be appraisals all those various things.
So it's it's definitely not a final number. It's a placeholder. Um the other ones are related to the utilities. Um in the conversation with council during the rate studies, um one of the things that was discussed is that we would have the um capital improvement projects debt financed for utilities going forward to help help smooth out those costs. In Cave Creek Water, there is the 12.1 million related to um the new water resources.
as far as the CIP projects and the total amount of of 44 million within fiscal year 27 that represents 38 projects. Um these are listed in um the dollar amount order. So the first one Cave Creek water 17 projects represents 18.1 again um 12.1 million of that is the new water resources. Then we have the land acquisition that open space at the 16 um the municipal facilities 6.2 2 million of that was for the um town hall remodel and then everything goes down from there.
Um looking at the revenues and the other sources, so 60 million um in all of these resources, the biggest piece of the pie there would be the debt financing um at 24.3 million. We have the um TPT. So um our sales taxes is um about 14.4 million or about 24% of the pie. The charges for services related to the utilities. So all of those rates that that get charged that represents about 19% of the pie.
State shared revenue we have incorporated in this some of the um reductions that we are expecting to see related to the incorporation of the the latest Arizona um city. So um about 4% of our pie. Um this is looking at the structural balance of the um general fund and looking at ongoing resources versus ongoing costs. Um you do not want to have ongoing costs and not have ongoing resources to cover them.
This is showing that we are in a very good position because our net ongoing is a positive 1.4 4 million. We go to the next slide. So the reduction in the general fund is related to one-time. So the net of the one-time amounts um is a net of 5.4 million bringing down um the general fund balance. Um on the right hand side, we've um talked to through these charts um in the previous meetings.
If we u look at it without the subsidies that we're doing to the utilities then we would u be structurally okay including the one time at a positive 140,000 um but with those subsidies that we are doing to the utilities at this point in time that is bringing us down um the 4 million looking at the general fund reserve. So the operating reserve for the general fund based on the 25% is um 3.1 million.
Um operating reserves for the other funds that the general fund is covering for the streets, the utility funds and the rodeo grounds fund is about 2.9 million. And then we have um equipment replacement reserve set aside um and uh reserve for uh capital funds that's related to our Southwest Gas franchise agreement and the Desert Hills um water loan.
Um after all those reserves, there's available um resources in the general fund that are basically um not assigned to anything at this point in time of 7.2 million for the Cave Creek Water Fund. uh the ongoing sources and resources and ongoing costs. So the net ongoing is a positive million but when we look at the debt service compared to that um it puts us at a negative approximately 1.8 million um in order to keep this um this fund balanced.
It requires the 12 million of the debt financing for the new water resources and a $2 million um subsidy transfer from the general fund to help cover and balance the remainder of the fund. um to cover the that um net after the debt service in the table of the 1.8 million that would be a cumulative rate increase of 30%. To eliminate the general fund subsidy would be a cumulative rate increase of 34%.
For the desert hills um so the net ongoing is a positive 617,000 after debt service it's about -300,000. Um this does require a cash loan from the general fund estimated at 135,000 to help cover and balance um this fund. Um this is something where um you cannot have um you cannot report in your financial statements negative cash because there is no such thing as negative cash. So it in the pool of the cash um it is inter fund borrowing.
Um the um net after debt service of approximately 300,000 would require a cumulative rate increase of 7% to eliminate that. Um it would be a 3% cumulative rate increase to eliminate the the 135,000 general fund cash loan. And in order to eliminate the deficit fund balance, it would be um a cumulative rate increase of 14%. For the wastewater fund, um the ongoing is not structurally balanced. It's a negative of um over half million.
With the debt service, that puts us at almost 2 million um deficit. Um in order to keep the fund balance, it requires a transfer of 2.2 2 million to help cover all those various costs. The uh net ongoing would to eliminate that half million um would require cumulative rate increase of 30%. The um net after debt service would require 12 117% cumulative rate increase and to eliminate the general fund subsidy would require 129% cumulative increase. Does anyone have any questions?
questions from council. One question. Thank you, mayor. Uh, thank you, Sherry, again for the detailed presentation. Was there anything in Arizona state budget recently passed that was a surprise or would have an impact on Cave Creek's budget? Um, no. Um, there wasn't anything that that that was made we were made aware of that would impact us. Okay. Thank you. Others? No. Okay. Uh seeing none, uh public comment for the hearing this special meeting. David Phelps, he's not here.
What do you So, um I do we we have to go to this, right? Um so we have to have the public hearing. Well, we we're in the hearing now and Yeah. So there was no comment from the Sorry. Uh, as this is a public hearing, you can also see if there's anybody that wishes to speak anybody that has to turn in a card budget. Seeing seeing none. Okay. So, um I guess we're ready for a motion then to accept the budget right next year. Does it does it close the special meeting? Just close close the hearing.
Close the hearing first. Okay. Hearing's closed and we're back in the regular meeting at this point. I think you have to adopt it in the special meeting. Close the hearing. Now, now you're going to act. The public hearing is over, but now you're going to act as part of the special meeting on item two. Okay. Pretty confusing. Yes, it is. Why it requires a special meeting, I don't know. Mayor, it's item two. If you read item two, it's the resolution that you would be Yeah. Right here. Okay.
Well, I'll go and do this. We move to approve resolution number 2026-10 adopting the uh fiscal year 2027 final budget. Second. Okay. I I think I think it's a good budget. We continue to put money in the bank every year. We've got issues to to deal with with the subsidies. Part of that is waiting for the bonds to pay off uh compounded by the fact that we have to buy water. And uh we we've taken on the task of spending $16 million real.
Well, your mic is not I don't think I remember that speech again. Um thank you. Thank you and Kirk. Um okay. So, uh I'm I'm in favor of it. So, Tom, first I want to thank you and staff for doing a great job in bringing forth this budget. We've discussed it before and uh I'm I'm very pleased with what you've done. We went through a whole process and in public and I think it's very important to do that. I also want to stress that there is a difference between the budget and the expenditures.
Cherry, you did make this clear, but just because we have money budgeted doesn't mean that we're going to spend that much. We have to have a ceiling. We can't go above that ceiling and we have always spent considerably below the ceiling. That's the uh the the the flexibility that we need. Thank you. Okay. Uh comments to my left. Uh Tom or Cynthia? No. Yes. Thank you, Mayor. Uh I'm pleased to see the progress with the accelerated debt service payment.
Uh staying ahead of target on paying down our debt, even though I I have to compliment Cherry. I understand debt service so much better over uh this past year's uh budget preparation process. Uh so it is a learning curve as a newer member of council to understand how all the jigsaw pieces of a budget fit together and how those jigsaw pieces change over time as we have more financial reports come in. So thank you. You're welcome. I think the budget's adequate.
I appreciate the fact also that we call out spending where it is, such as subsidies. So, I think it's good budget and I think uh I support it. Please. It's on. No, we can't do Oh, let me pull it a little closer. Is that better? All right. I I do appreciate the honesty in the budget. Um this is the first year I think we've actually talked about subsidies, so I appreciate that.
Um the fact of the matter is we we do have uh some issues that we're going to continue to have to work on over the next few years, but I think you've done a marvelous job on this, Sherry. Thank you. Well, I think everybody agrees with that. Yeah. Thank you, Sherry and staff. Bangup job. Thank you. Agree. Uh fabulous job from the staff. A lot of work. But what it shows is how much work we do as a town.
It's incredible the amount of work that that this staff puts out and for the benefit of all of us who live here. So, I'm grateful. I'm thankful we have uh enough resources to get the work done. Um and just for the benefit of the people on the grants committee who are in this room, 20,000 more in 2027. So, that's that's good news. Okay. So, with that, we're ready for a vote, right, counselor? Yes. Okay. All those in favor? I opposed. Motion carries 70. Thank you. Should we take five? Okay.
The uh five minute break. I'm going to convene the regular meeting again and I have a request for a break. So, we'll take a 10-minute break. We'll reconvene at 6:20 in the Turquoise Circuit Finals Rodeo to extend the existing contract for an additional 5-year term. Thank you, mayor, members of council. Uh, this is a um pretty straightforward um uh contract extension for council's consideration.
Uh after the at the conclusion of last year's uh first uh Turquoise Circuit Finals rodeo held at Cave Creek Memorial Arena and Rodeo Grounds, uh we we decided to uh we started to have discussions with the Turquoise Circuit board uh representatives. Um if you recall, the original agreement had a term of two years, which would have uh set to expire at the conclusion of this year's Turquoise Circuit Finals in November.
Um uh both uh turquoise circuit finals and town staff uh went to the um the original agreement and have extended that agreement. So now that the expiration would be at the conclusion of the rodeo that occurs that will occur in 2030. Um the town as far as the hosting rights and responsibilities all of the the finer points in terms of the contract remain the same. Uh the town uh agrees to um uh sponsor the turquoise circuit for a sum of $15,000.
In return, the town receives a $3 per ticket sold sir charge on all tickets sold. Um then you know the other the other things that are in the agreement as far as uh town providing um the water truck and everything for the for the duration of the event. So with with that, I'll answer any questions that council may have. Did I understand you're right to say that there are no changes? This is is this the exact same thing we had in the past?
So the the difference, if you recall, the original agreement was a three-way uh party agreement with Cave Creek Rodeo Days. Cave Creek Rodeo and Turquoise Circuit have decided to um part as far as the the contract terms are involved. So Cave Creek Rodeo isn't providing anything to Turquoise Circuit and there's no reciprocity with Turquoise Circuit to Cave Creek Rodeo. Um and then all the other terms apply as far as the town of Cave Creek and Turquoise Circuit.
Is K is is Cave Creek Rodeo involved at all? Uh from a volunteer standpoint, they will be and continue to be. Um, but I think at the end of the day there's when the dollars and cents were kind of divvied up at the end of the um the last or the first event, uh, Cave Creek Rodeo didn't see any monetary benefit to having a contract um, in that in that regard. So, and I spoke to uh, Cave Creek Rodeo Days uh, board members and they're in support of this extension as well.
One thing I'm concerned with is, you know, we're letting them operate our equipment. No, no, no. That they do not operate across. So, we we operate the the uh the tractor and the they bring their own tractor to to operate. We operate the water truck for uh arena watering and dust control for the grounds and and the uh what the I forget what what the groomer the name of the groomer is, but you you've welded that so they can't dig too deep and bring all the rocks and crap to the surface. again.
Last year they decided to bring their own uh arena groomer for the event. Well, and what happens if it goes too deep and we ruin the arena? They're uh so again their their arena manager um and James Oracitas is on the call thankfully so I'm not too on the spot here. He can back me up or or uh if I've missed anything. Their arena manager is is probably the best in the country. uh he wins the award every year for best footing. He he worked our arena last year and did a fantastic job.
We actually learned a lot from him the way that they Well, I'm not worried about I know it's good, but I'm worried about about uh something happening that uh some I'm worried about damage covering damage is done because we don't want to cover if if you know if they're going to operate something, they have the responsibility. They should also have the responsibility to fix it if if this hump gets broken. Absolutely. Are we covered in this? Yes, we are. James is is okay. Yes, sir.
Well, there is a stipulation in the contract for that then you're saying there is that it has Okay. Cynthia. Thank you, Mayor. Um Luke, could you remind us what uh the sponsorship fee that the town paid for the first year? 15,000. Okay. Thank you. Yeah, that does that does not change. Yeah. Mayor, do you happen to have the attendance figures from last year?
I do not off the top of my head know, but I know for the town standards uh it was low and I think for the turquoise um circuit finals, they were actually uh pleasantly surprised and look to grow in in their attendance year-over-year. So, do they have any plans to do marketing a little differently this time so they get more people? Absolutely. The Yes, we do.
Again, the And I can turn it over to James, but I know last year was a bit of a time crunch and then also there's a bunch of different PRCA regulations about how to advertise when you can advertise. And I think they were up against another PRCA competing rodeo that was within kind of that same window for for marketing and advertisement. They've started advertising and promotion uh much earlier this year. Thank you. Other questions from council? James, would you like to uh weigh in here?
Uh thank you all so much. I sincerely appreciate the opportunity to speak in front of you. We are just thankful for having a new home and we look forward to having a new home for many, many years. That's why we look to have a five-year contract. uh working with Luke, working with the town, all the folks that are there, it it's a very very h it eases your heart and makes your life a little bit easier when you've been around rodeo as long as I have.
Me being the president and taking it over last year and switching venues, that's a little it's sometimes it's scary when you do that because the turquoise circuit doesn't have a home per se. We kind of share arenas with other rodeos and we try not to disrupt at all. We are under the the umbrella of the professional rodeo cowboys association. So we have to follow some very very strict rules. Last year we were considered the new rodeo in the area.
So all the other rodeos within uh 50 miles of us had to approve us moving into their area. So we had to get through that, go over that. It did affect Scottsdale's second rodeo, but it kind of once we went by the rule book, we found out it didn't really affect them because they were a new rodeo just as much as we were. So that didn't affect us as much.
But going into a place where you all understand rodeo and the tradition and the history of it, we're trying to put on an event that this is the Super Bowl of rodeo for the bluecollar rodeoventers. They they have jobs. They have full-time jobs, careers, families. They can't go nationwide, worldwide to rodeo. This is one of the top 15 rodeos in the world that people want to get.
It's a gold buckle that they're after because at some point at the end of the day, this is the farthest some of these contestants will ever get in their rodeo careers. Not because of talent alone, but because if they have a family, they'd rather stay home and uh succeed this with winning our rodeo. You go to one of the second largest rodeos in the world, the NFR Open. So, Cape Creek, the Turquoise Circuit in Cape Creek is the gateway to the second largest, most coveted buckle in the world. Okay.
Okay. Well, thank you very much. Um, okay. I guess we call the public or public comment on this. I have none. There's no public comment. So, I guess we're looking for a motion. I'll make a motion. Mayor, go ahead, Cynthia. Move to approve an amended contract agreement between the town of Cave Creek and the Turquoise Circuit Finals Rodeo to extend the existing contract for an additional 5-year term. Second. I I heard the second Tom closer. Okay, joint seconds.
I don't know if that's what Can we do then, Ryan? All right, you had it, Tom. Go ahead with your comment. Or Cynthia, excuse me. Thank you. Um, no, I attended the Turquoise Circuit uh rodeo performance last year. I thought it was a well-managed event. It came at a time in year that it I think will continue to attract attention in the town of Cave Creek and the surrounding area.
And I think it adds to the stability of rodeo activity and takes advantage of some of the improvements that we have put into the rodeo grounds. So it's a good step forward. Cynthia here here with you. This has been okay. This has been an effort ongoing effort on the part of staff for a number of years to take the rodeo grounds to make it into something that helps to identify Cave Creek. And it's it's wonderful that it's happening. It's a credit to staff.
I've seen staff take the initiative in changing the rodeo grounds from something that was a little bit less useful and now more useful and serving the town as well as these uh entities very well. So congratulations. Kudos to Seth. Other comments. I think this is a good deal for the I think this is a good deal for the ten. Okay. Seeing no others. Um all those in favor? I I opposed. Motion carry 70. James, you got your contract. Thank you so much.
Sincerely appreciate each and every one of you and we hope to see you at the rodeo. Thank you, James. Thank you, Luke. Okay. Uh so now we are on to uh number five which is um council discussion possible direction to update special event process to include stipulations as provided for all events. Good evening mayor and council. So I Luke and I will be presenting on this. I'll let him start with some of the history. He doesn't know but he's surprised now. Um disappeared.
It's the moment of I got to uh pick the pictures on this opening slide here. And I just want to bring everyone's attention to the the one in the middle there kind of lower uh lower middle the uh parade that was held to celebrate the um bicesentennial of the United States. You can see Cave Creek Road is a modest uh dirt track there. Yeah. Um do I see the gas station there? Yeah. Yes. Yeah. That's Earl's in the background on the treehouse if you can make out the treehouse.
But yeah, some some definitely uh changed quite a bit. There are a lot of people there there. Yes. Yeah. More for my uh senior high school homecoming parade in the same location, I'll tell you that. Okay. So, just uh real quick on the on the history. Um you know, as you recall or you may not may not recall obviously, but in 1987 when the or 1986 when the town incorporated, we incorporated under the Maricopa County uh zoning ordinance uh from the 1960s was our our first zoning ordinance.
It wasn't until the end of 1994 and into 95 when the town of Cave Creek adopted its own uh set of zoning ordinances. Um that's when we first see the special event uh being incorporated into town code that was in um the zoning ordinance uh from 1994 essentially until 2009. So I just kind of went through and gave all the ordinance numbers that the first adopting ordinance and then the eight times the special event ordinance has been revised since.
Um then you can see obviously prior to um 2009 uh this was kind of shocking I think back of Ian but uh all special events only required the approval by the zoning administrator. Um and they had to be applied for a minimum of 60 days prior to the event and a maximum of 180 days.
And then there were some one may call it arbitrary and and capriccious or ambiguous code uh requirements, but it was no more than three consecutive days, no more than two special events of the same type per calendar year, no more than one special event at the same time, no more than one special event type per sponsor or promoter per calendar year. So that really um created event promoters to get creative. It's not a food and wine fair, it's a wine fair. Then the next weekend it's a food fair.
Then the weekend after it's an art show, then the weekend after it's a craft show. It's never an art and craft show. Um, so it I kind of illustrate that to show that really the the submitt requirements haven't really changed over time and going back and and reviewing all of those previous ordinances, which I I got the honor to do to to help Teresa in this uh exercise. um the traffic control, insurance, security, restrooms, parking, business license requirements, etc.
have largely been unchanged over time. So, those are all things going back to 1994 that were important to review and they're still um at the heart of how we uh review and administer special events today. It's really a a health, safety, welfare um is kind of the the core theme of why we require a permit for these what we review and then how we inspect and enforce. So that's kind of my two cents on that. All right.
So with that, so the current um special event process, there is an application online that is fillable. We are working on updating that uh form, but the applications are submitted through the town clerk's office and then um I would serve as the I serve as the primary contact for the entire process. The um initial fee actually went uh we did raise it uh this last year from 100 to 150 now. Um and that's the application fee that we take in for all of the forms.
Um it does get routed to all the departments including um marshall's office development services which is both planning uh and zoning look at it and the building official um engineering public works looks at it um and then building also the building official also looks at it in the capacity of the fire marshal um and that's all done prior to it coming back to me. May I ask you a question? Sure. So, bike week, which is incredibly intense, many many people, our own people involved, too.
I mean, I I mean, Adam is not compensated by the by the bike week, is he? No. Uh, and and they pay 150. That's the current fee for the application. Yes. I think we need to raise those fees. I heard I somewhere in here it says six hours per event, but it seems like it needs to cover the cost of doing it if if if we're providing somebody to manage the traffic and things like that. It seems like we need more than just a flat 150. Now you've got the the art show next in Frontier Town.
There's nothing going on there. I mean, there's nothing to control. It's just they come in there basically a vacant lot. So 150 is fine. But week, okay, that would we need to recover staff time because if we don't, it adds to those deficits we heard about today. Grady, do you know if any other cities maybe we could compare what other cities do? Um, well, I believe when we had the uh fee study, they actually did do that.
Um so they actually they actually um contacted us as part of this process and they looked at what our amount of time was involved in this but they also compared ourselves to other peer cities as well.
Bob and I were also talking and I know that um some cities may not actually have a permit process if the vendor is like let's say a restaurant and they're not going to have any sales like you know tents and having outside vendors coming in and it's just like an extension of premises then they might just get an extension of premises. Um but what we're trying to do is we're trying to ensure that there is um TPT license that that these vendors cuz a lot of them come from out of the area.
We're also wanting to ensure that they also have a business license. And so that's one of the reasons why we want to make sure we're aware of all these because we want to know um that everybody is on a level playing field and they're all being treated the same. You bring up a good point. I think if we're going to look at this again, we want to see the amount of time that we put into it. I I do want to point out though that um for instance, bike week, they are paying for the traffic barricades.
They are paying for the additional offduty officers. Um Adam uh the the marshall does uh work it, but they're not compensating him for his time when he's, you know, putting in extra hours during the bike week. So, that's something we can look at for sure. Even Taste of Cave Creek, I know it's only two days, right? But that's large crowds. There's some traffic management. There's some staff involvement, right? I agree with Bob.
I think it should be really rated on uh time spent by by this staff, right? And we will. And I think it's always a balance between what it brings to the town. True, the town does put in resources, but it also brings it benefit, too. So I think it's a good discussion. Yes. Is one of the comparison cities Scottsdale? I don't recall. Um but they they looked at pretty much all the different cities and a lot of what they were doing is it was a fee for service study.
So they're looking at what it costs for us to provide the service. But as you're aware, you have to also ensure that you're not charging perhaps what it really is costing. If it is really 6 hours, it's there's no way. I mean, you wouldn't be able to track those businesses here. I'm sorry, the the events because we would be charging really full cost recovery and they would just probably go someplace else maybe.
And and the reason I asked about Scottsdale is because Scottsdale is probably the biggest stop in bike week with Westworld and everything else that they do there. So, right. Okay. So, um the reviewing departments um as they review, they do uh tend to ask for additional information, all that information, um prior to granting the special event permit, um will get routed back to the clerk's office. We put that all together, send it out to the applicant.
Responses are then routed back to the departments. Um so departments do provide some additional notes on the special event applications um associated with whatever they're authorizing and with that approval um things like you you have to have a specific number of restrooms which we do look for um signage uh that things like that.
So, so all of the the items that we're requesting, we need to see, but if there's any other conditions, they will also note those on the applications and the applicants are notified of that. Um, the clerk will comply, again, we the I compile all the information from the departments, provide it. Um, ultimately, I'm the one that signs off on the final application before it goes back to the applicant.
Um and then as the special event permit is uh approved and with those with if there are any stipulations um for business licenses we are also reviewing to make sure that all the businesses that they have listed to us and given to us um are licensed. So um the vendor list we do ask them to submit that a couple weeks prior to the event. Uh oh I'm sorry did you have a question? I'm sorry. I, you know, going back to the to to to the mayor and vice mayor's comment, um, why don't we charge by the day?
So, if it's 10 days, it's 150* 10. Uh, you know, just something along that line. Um, I've got no pro, you know, got no problem with multi-day events, but 150 bucks for a one-day event doesn't seem right when you have a 10-day event. So, I'd like to see some kind of maybe fee structure. I mean, I think that would make sense that the longer it goes on, the more they pay. It's actually not 10 days, though. It was last week, last month, two weekends, a whole week.
We will look into that and get back to you guys. Um, okay. So then um once the event the special event application is um sub given back to the applicant and approved uh there are some additional um there's additional work that has to be done. So that includes reviewing all those business licenses and making sure that all the vendors are current.
Um and then actually during the event uh and not just bike week, other events as well, the town marshall, uh as well as myself, uh we actually go out and check that all the vendors that are set up are compliant and have business licenses. Um so any complaints, any issues uh during the events are addressed with the actual um event coordinator and we do have contact information for them. Uh so many of the events um we will have a postevent meeting especially s such as bike week.
We will have a follow-up meeting with them and talk to them about what worked or didn't work that this particular year. There's been a few other events that uh escalated a little bit more into a little bit more than what they expected. Um, and so we've talked to those uh event promoters and discussed possible modifications for any future events if they were to hold them. I'll give you an example.
Um, believe it was back in February, there was Roadhouse had an event that was actually just a two-day event. We started getting, it was only supposed to be Saturday and Sunday, and they started like doing the warm-up for it on Friday, and we were getting all sorts of noise complaints. council received the noise complaints.
It was all these um there was like a um a vendor that would allow people to to um test their motorcycles and in high speed in a fixed setting and it was just like screeching and making all sorts of noise and they were really obnoxious. Well, we did a postevent debriefing because of the number of complaints with the um the promoters from Roadhouse and they agreed that they would not do that, have that vendor come back again and have that issue.
And I said, "Yeah, I mean, if you know, we reserve the right to revoke your permit and going forward not issue you a permit for this event." So, they took it very seriously.
And so I do know that also this past year on bike week um the um you know the incident that we had that was on a Friday night um with a drunk driver um they have tra traditionally not had the Friday night first Friday night of bike week has always been a slow evening slow day and we told them to be planning on the barricades being out and off duty officer for next year.
So, it's just we we provide feedback, try to ensure that we have um safe event and they're already aware and they're they're going to be planning to that in their next application for next year. Grady, yes. Also, I want to point out that um when they burn rubber over there and create huge amounts of smoke or whatever you want to call it and it comes into the road and you drive through it, that also I think would probably need to be addressed. Good point. Thank you. I have a question.
H how do we ensure that we're getting sales tax from all the merchandise sales? Well, it's TPT license that the business license allows you then to say you shall have a TPT license. Then they that then it gets collected. Well, but the problem and she's bringing up a very good point. They don't they don't the state is the one that monitors ash, right? a lot of that is cash or even credit cards. The problem there's two issues.
One is a lot of these vendors if they're Arizona based for simplicity they'll go ahead if it like let's say they're running out of their home they'll just remit to the the place which is typically Phoenix or another city where they might live and they they will not necessarily do it for these special events.
The other thing is they'll do a a friends and family discount and it may be a cash thing and it it's under the table and it's you know um in other cities I've worked in we've worked with do and they've been able to do audits your your brick and mortars if we suspect that then we also have our own auditing firm that helps us with our TPT um collections and we can work with do but they're officially on board through DO to do those activities.
We hired we hired such an auditor in Globe and it was very successful. Yeah, I I think that we should move in that direction because whether or not it's true, people assume that they're getting away with a lot and not paying their fair share of sales tax. Yeah. And it's it's one of the reasons why Teresa, I mean, it's a big ordeal. Um some of these event um promoters are really good. Um, we've been finding that bike week is, believe it or not, particularly pretty good.
I think Teresa, how many did you find this year were that had not done their their proper licensing? Uh, there were three technically from the roadhouse, but one had just hadn't paid um and the other two had applied, but last minute. And then, um, another across the way, there were a couple vendors that were set up that had not yet applied. So, yeah. And I'm not targeting just bike week. No, no, no.
I was talking about all events, but I'm just saying some of these events that have been historic that have been going on for years. It's a welloiled machine with the staff working with them to make sure that they do all that on the front end, on their end. But what I was trying to get at is what was the other event that you had to go? Some of the art shows are uh notoriously bad at uh ensuring their vendors all have licenses.
And we spent two days going through because it it takes time to stop and have them fill out the application and then do the payment like on a on a Friday and a Saturday for her to be doing that. So whereas the rodeo is is perfect that's months in advance. It's a welloiled machine, right? And I still want to clarify that go by, right? Teresa, question. So, I was wondering every day I drove by that pizza place in the old Cartrights parking lot if they were um officially a vendor.
They were making and selling pizza. It's like a trailer. Oh, um off the top of my head, I do not know. I would have to look them up. But I will tell you the marshall is very good at stopping when there's those popups and ensuring that they are licensed. He does do that. The the food trucks are the worst. In my experience, the food trucks are the worst because they're mobile and they're they're constantly going to different cities and towns.
And the the thing that's really bad about them is under state law now, they're able to just set up in the public rideway and set up like or in a public parking lot, meaning a town owned or government parking lot and just they don't have to pay a rent or lease or anything. Used to be able to do that.
Um, but they're particularly bad and they're um they're they're like what I would call mom and pops that they'll just typically just file their taxes wherever they live and not not the city, but they do pay their taxes. They're just not necessarily paying to us, which is what we want. But that's but we're we're we have the inconvenience without Absolutely. Right. I I I I now I'm concerned. I didn't have this concern. Yeah.
This is a challenge, but it doesn't reassure you, but this is a a challenge that all the cities in Arizona have that with these types of events and also with the vendors and um it's it's a challenge, but I think from what I've seen and and we debrief after these events that at least ensuring that they have the TPT and the business license is essential. That's at least the step in the right direction. Now, what they do, it's like it's like people filing their their income tax.
You've got people that will cheat the system or, you know, game the system. You have others that are honest. So, it's it's very hard. But, if we're aware of like the brick and mortar in town, it's a lot easier for us to do audits on on those. So FYI, just this is kind of segueing into that, but uh there's going to be a new bar opening up next to local Johnny's in the old mineshaft gas building and they are using food trucks. They are not going to have a kitchen, just FYI.
Thank you for the heads up. It's possible. Yeah, this is kind of an open discussion it looks like. So I thought I would ask a couple of questions. Um, in 27, especially with the focus that you're putting on special events, I'm kind of less focused on how much the cost is or how many days it runs or things like that, but between now and next year, do you think we can get a traffic plan and not a vendor, not a specialist, but can we just figure out how many parking places we have in town?
And I'm not suggesting a comparison between certificate of occupancy for commercial. I'm just talking about what's a feasible realistic number of parking on private property and maybe even include public property because we have places here at town hall.
Can we consult uh Hal's not here, but can we consult with someone who has an expertise on deviations from traditional traffic flows for special events with this is my proposal, but a goal of bike week being less cumbersome for the residents of the community. I still cannot believe that we require four lanes for a special event when most communities would give them two lanes, close it from traffic to protect the attendees and the staff and so forth.
Let them come in from the east from Carefree and only allow entry for people who are part of bike week vendors, exhibitors or motor bike drivers that want to park their bikes at an angle and so forth. and the other two lanes not have vendor sales, not have what we have now, but allow the traffic to go through unencumbered for the entire bike week with the exception of pedestrian crosswalks monitored by law enforcement. I think that continued wedding of the town to four lanes can be done better.
I really do think but I don't have the expertise and I don't want to suggest something that others like Hal who are engineers might be able to say can do or can't do but what you have now really is a comic conal had a Adam had a great expression one day he goes Tom this is Comic-Con for boomers and he probably is true that the people have you know showing up both participating and observing probably fall into a niche group but um the viewability of the bikes as part of the attraction of the event.
Both what bikes are being brought to show off or exhibited as well as the participants bikes themselves. And literally if you went from the business the building supply yard all the way through Cave Creek to maybe as far as Schoolhouse Road, I don't know how much would be necessary, but you just permanently close those two lanes for pedestrians, people only coming in on motorbikes, no four lane, no four-wheel.
It just seems to me we could still have all the activity and the buzz and the the site and so forth because I think this year was a lesson. I I really think the interfacing of four-wheel vehicles regardless of the impairment of the driver on the wrong side of the street and then impacting pedestrians that are seated on a private property that are part of a observation at that restaurant. I just think it's a it's a it's it's time to maybe have a professional review how we can do this better.
And I'm not suggesting Adam and I have had conversations on this. I'm not suggesting this year it's the north side, next year it's the south side.
It just seems like the line coming into town should be the motorbikes going onto their two-lane reserved area and exiting in the west and then the other two lanes are open for traffic and maybe even put some temporary lighting like I've seen at some of the events at the pedestrian crosswalks at night, particularly on the weekends with the goal being to let the other merchants try to conduct business during that 10-day period.
It started as a weekend event and then it went two weekends and now we've got nine days or more. And uh if bite week could assimilate into our traffic patterns and our ways of highlighting or showcasing what it is people come up for. But the day after the accident at Heralds, which we never really had closure on, I think as a council or maybe as a community, there was a defiant website advertisement by another vendor for bike week 27.
Well, yeah, I guess we will have bike week 27, but it seems like we should do a timeout before 27 to see if we can't build a better product for both the visitors and the residents. And do we? This is a rhetorical question. Do we have a noise ordinance? I don't even know. If we don't, can we work on something? If we do, can we adise? We do. Can we advise the vendors specifically prior to these special events that there's some standard by which we're trying to operate?
And then that shows a goodwill effort by the town with the surrounding neighborhoods because that seems to have just become an accepted condition of some of the special use permits. Uh, and I thought music occurred way off the property back into the residential neighborhoods up the washes and so forth competing outdoor music is just something we could do better without strictly regulating maybe with a business to government relationship discussion.
But I just wish and I've been bugging some of the people in the council here. Can we just look at maybe a different traffic arrangement? same size crowds, same focuses with high intensity in the weekends, same expectation that at night when the sun goes down, it's going to get a little spicy, but um can we at least just keep the traffic order open? We'll take a look at it.
You know, the mayor addressed this um the last two bike weeks and we actually brought in a traffic engineering firm to actually do kind of what you were asking for. We didn't give the traffic engineering firm any preconceived notions. We um also did traffic counts with the ropes that they drive over and then let them kind of come back with some recommendations. The mayor's goal was which I think is still a good goal. We just really were never able to get closure to his satisfaction.
But he's trying to get the the traffic to move through the town so the the townies, the locals are not as impacted negatively by the bike week. crowd. Um because that's the big complaint that the locals you all hear from. And then um we hadn't, you're bringing up a good point. We really hadn't thought about the aspect you're bringing up as it relates to both traffic control and the parking and stuff like that.
My take on it, and it's just my take, I haven't been here very long, but I almost think that some of these things are over capacity that we're that there's too many people. And I I've kind of seen that even in the the winter peak season that just the local places and I you know which ones I'm talking about.
I'm not going to name them publicly, but I think almost, you know, you increase parking anymore than what we have now in those areas and they're just going to squeeze more and more people in and that's when you start getting excessive numbers of people, that's when you start having more of these issues that we're experienced once in the uh many years that we've had of that situation we had on a Friday night.
So, but yeah, we could definitely look and see if there's a different way of looking at this than than we've looked at in the past. I wish we had the old Bob Kite park, M. May. I wish we had the old Bob Kite parking lot because you could do a jity or a shuttle from there, make the parking free and then take people uptown to be there and then bring them back. If we just had the capacity to move the people, not necessarily the vehicles, people could park and and be there for the evening.
But I just think there's a missed state. This is just me, so bear with me. But I just think there's a mis missed staging opportunity to take those two lanes out of circulation entirely and use them for only the bike event participants and display. So they're not on the private property. They're literally using the bike lane and the two transit lanes. Well, I see what you're saying. You're saying more like a street fair, right?
close those two lanes so four-wheel vehicles cannot go in and like the events in Europe where pedestrians are impacted by so just have one side of the street be closed and I don't know I mean maybe an expert engineer would say here's why you can't do it but right well the major problem is the pedestrians and I as I leave office in December I will supremely what's the word I'm looking for unhappy with the fact that we can't get the sheriffs to control the pedestrians on a regular basis so that we can get the traffic to the the the pedestrians crossing the street per one person walks up they stop all the traffic and I've gone with staff repeatedly and gotten zero satisfaction I can come up with ways of doing that and this last bike week I stopped and the sheriff did it right in front of me and I said did they tell you to let someone to to keep traffic moving they told me they did, but you know I this is the way I do it here.
I I do it a little different everybody else. So, uh yeah, I I'm I'm frustrated. I won't be around I don't think I'll be around for the next bike week, but I'll be watching how. Well, two lanes for pedestrians is easier to crawl across in a controlled environment than four lanes. If two lanes are exhibition and they just have to get across two lanes of moving traffic and they've got three choices or four where they can cross, it's not the volume of cars going through 10.
It's the 20 minute stoppages, right? And I know that's part of the charm of bike week. You got ladies looking for boyfriends. Why can't you just get some Why can't you just get some temporary fencing? You know, just like you do on a building, you see the temporary fencing, just have them rent that, put the temporary fencing on one side, and the only place they can cross at the crosswalks, that'll solve a lot of the problems.
Well, if we take that one crosswalk out that is uh in front of uh the hideaway, that's that's going to help a little bit because now you only have one set of cops stopping people rather than two sets of stopping people. Yeah, they were using that do not cross police tape and as you know, people are going under and over and that's so to your point, I think the temporary fencing temporary cyclone fencing and they're not going to they're not going to do that.
that I mean if you really want to be snarky you can put triple c triple strand concertina but but so you got to remember too these people want to show off their bikes that's half of it they parked there and you you're going to basically take that away from them there'll be an upra from the bar owners the other thing is what happened to the people who came in here and uh pitched us on this Cave Creek Carefree limo thing um like bus thing remember them is that still alive so um they did not get in the the grant cycle that they told us that they were going to, they didn't apply.
So, I don't know I don't know where they are at this point. And we were not going to commit any dollars to to their um initiative. Well, let's go ahead and move on with the present. These are all, by the way, these are all good input that we're hearing. So, thank you.
Lastly, on this subject, um maybe it would be worth having a separate workshop for either the council staff, uh perhaps some of the vendors who participate so we could really get some good communication going on what they think works versus what we think and hopefully we could meet in the middle. Okay. On bike week or on a bike week in particular. Okay. Bike week seems to be the sticking point with most of the people down. It's the one that brings the numbers of people.
So, and if they're not getting if they're not paying taxes, well, that I don't want to say that. We're just saying that is an observation for all these special events. I don't want to paint that. No, but that could be one of the items on the agenda. Okay. That they could help oversee. Mayor Vice Mayor Royer is correct. We need to have some sort of meeting with um a workshop and invite them to come right be in the main bars in town. Absolutely. Yeah. Yeah, but it's it's not the bars.
It's it's the management of the pedestrians that is causing most of the problem. I mean that and the fix is easy. It's easy. Just stop letting everybody cross as soon as they walk up. Reduce the parking lot. Uh let people wait for two minutes, then let them go and then stop them. Well, if it's after December, Bob, you could come. I'm I'll be at that I'll be at the podium pointing at you tonight.
Mayor Morris, are you saying that we should be have our law enforcement give out jaywalking tickets perhaps? Well, okay. We've exhausted exhaust subject. So, we do have current code that um regulates our special events, not just bike week, but all of our special events. And um there are penalt penalties in place. So if uh they aren't abiding by our rules um we can revoke their events going forward. So that that is an option.
So our current numbers um we have uh we processed 55 special event permit applications in 2025. It's we've had 36 applications uh as of this report with four that were in review. Um again depending on the comp complexity of the application some of them are pretty easy and um go through the review process quite quickly others can take about six hours total of staff time for events that were four or more consecutive days.
2025 we had two applications they were the same event and then 2026 we had three applications they were all again the same event. Uh some of our challenges that we've uh had with uh applicants are while we request applications at a minimum of 30 days, we do get some uh special events that pop up and they would like to get them processed quicker. Uh we have been we do try to uh charge more noted. Uh that definitely will note that.
Um and and while um applicant compliance has improved overall, we do ask that all like everything requested in the application be turned in that same time, it doesn't always happen. So a lot of times that takes a lot more staff followup. Um but they are a lot of the applicants are working to be better at at getting everything through um liquor applications.
Um, so special some special events aren't an actual special event by the town standards, but if they do involve liquor, they still have to come through and we do still process them the same way. Um, and then they go to the state and they're required to be with the state minimum of 10 days uh prior to the event. Many times we and the state keeps changing. Sometimes uh it's more, sometimes it's 10 days is fine with them.
So things that are in progress with the uh process uh I'm working to update the application uh so it's a little bit more thorough and uh it hopefully will also improve the process. Um right now we did change everything from paper or I did change everything from paper to mostly electronic. There's still some paper components um but there is still time that's has to be taken to get everything scanned in and um sent out to where it needs to go.
Um, we did uh start uh a shared drive for all the vendor lists and I'm actually very uh proud of many of our applicants because uh I thought it'd be a little bit more difficult but actually a lot of them uh embraced the electronic uh list and they've been working really hard to get them updated. That helps because then on my end I can check as they update the vendor list and then they can see real time who has a license and who doesn't.
Um we also are taking all the feedback that council has provided with some of our past special events or recent special events and there are now stipulations going forward for all applicants. And then that is it for now. And I just real quick want to give uh Teresa a lot of credit. All the all the things that she has implemented um with regards to special events have brought more sophistication in how we process things.
It's it's no longer a binder just kind of sailing around from department to department. It's it's a much it's a much more uh friendly as far as staff is concerned uh means of reviewing and getting comments administered and and certain conditions done. So just kudos to Teresa on that. question. Me first. Go ahead. Sure. Thanks. Uh, no, just a question on as events are approved, uh, when is public noted posted either on the website or the calendar? Uh, can it be on town council calendar as well?
Because it's always hard driving through town on the weekend and all of a sudden there's a road closure or a special event, but it's not on the calendar anywhere. So part of my process and I will get better at it um is as they're coming in as they get approved they do um get sent to or they should be getting sent to communications so that they can get updated and put on our town calendar. So they are the majority of them do go on our website um putting together for the town council.
I can also do that. and I were talking about either um the town manager report um that is supposed to be monthly that is more like every other month or also um trying to do something for this agenda so that you can see like what's coming up on a calendar. Tom, I actually had the identical question so brightly could share. Anybody else? Um, I just want to say thank you for addressing this issue that we brought up about tightening things up, etc. I think it's great.
And I also want to give both of you kudos. We have a crack staff. These guys are the best. Sure. Were there any public comments on this? Uh, there were not. Request to speak. Okay. Thank you. Thank you. Next on the agenda is council discussion and possible adoption of resolution 2026-11 approving a cooperation agreement between the town of Cave Creek and Maricopa County for participating in the urban county's community development lock grant program CDBG. Mayor and council.
Um, as you might be aware, um, a number of cities that are 50,000 and greater, they're considered entitlement cities. Um, entitlement cities are able to receive direct um, federal grants and aid for things like block grants. And one of the biggest ones in the country is the community development block grant program. It's administered by the housing and urban development department.
It came about originally under the Nixon administration as a way of of um of providing grants and aid to cities and towns um and counties in the country. And it's it's what you would call a formula grant and aid. So it's based typically on population because we are too small to actually be an entitlement city. We don't have 50,000 or greater. Um, one way that we can participate in such a program is through the urban uh, cities program.
I'm sorry, urban counties program that Maricopa County operates. Under the urban counties program that Maricopa County operates, there's a number of of smaller cities and towns in Maricopa County that are part of this and they're able to get some grants and aid to their local cities.
I know um when I worked in a in a city previously before they reached 50,000, this was Peoria several years ago, we were able to do a um sidewalk improvement program in an area of downtown that met the eligibility requirements. So, we were able to get some additional funding that way. Um when I previously were uh when I was the previous town manager in Fountain Hills during the um the pandemic, there was additional federal aid that flowed through besides the CARES Act and other grants and aid.
There was some housing assistance um and um uh for both renters and also people that fell behind on their mortgages because of their employment situation. So, this is a program that provides a safety net, but also provides other public service funding.
And so we previously were in this um I had researched this and prior to my becoming a town manager here in Cave Creek two years ago, the town participated um and I believe that concluded in the end of 22, but I believe it was because that transition between um Carrie and myself coming on that somehow this fell through the cracks. Um my recommendation would be for us to participate in this.
Um there the beauty of this is that um Maricopa County takes all responsibility for um administering the grants um all the paperwork, the reporting, all the things that typically the cities and towns that are direct recipients of community development block grant monies have to do on their own. So Maricopa County would do what what um what cities and towns would have to do. So to participate, we would not have that obligation on us. So, I'm I'm very pleased about that.
Having participated in the past, it's it's a great uh process. We can also have um representation from one of our elected officials if they wish to serve on the committee that actually reviews grant applications and things like that. So, um with that, I'd be happy to answer any questions that mayor and council may have about this program. Questions? Cynthia? Thank you, mayor.
Um, one question would be, uh, given your experience, what would you anticipate for the future would be some issues that would be important enough for Cave Creek to apply for grants? So, so one of the things that I, um, believe we might be able to get some assistance on is like handicap ramps, some of the intersections. Um, so a lot of times, you know, we don't have public housing here, so I'm not going to be trying to present that we want to have a public housing program.
Um, but a lot of times it's for the eligible populations which might be low and moderate income. I actually looked at this. We had a situation where there was a resident who um fell behind on her water um bill and and utility bill and she had a problem with her pipes and I was trying to see if this is something that might have helped with that.
And um while that's a good example of one that might uh because she met all the eligibility requirements, they would not have done it because she lived in a mobile home and they wanted it for a permanent type dwelling unit. So this I I looked into it and it had it been a dwelling unit that had the issue, a permanent dwelling unit, we would have been able to qualify if we were um in this program.
So, um, but that's the type of thing it's usually you're senior um, and low and moderate income, but also you could have situations like when I was describing when I was in Poria, the sidewalks were in the downtown area that benefited the whole community. So, in that case, um, it wasn't just low and moderate income. While they were the primary beneficiaries, it benefited the whole community. Thank you. And you also mentioned the homelessness problem. Yes. which we have a small one.
So what's nice about this is there is a um through MAG there is a regional um homeless solution and the smaller cities and towns like us we could use our money that um would come through that that um so right now they would allocate that money for the shelters in um the valley but what I was talking about a moment ago is supplemental money that we could actually apply through that comes through this community development block grant money.
So, but they are very much a part of trying to address a homelessness uh issue. And I was actually at the MAG management committee meeting two weeks ago and they actually had some really good news since they put together a plan about five or six years ago that for the first time, now I'm not seeing the numbers of homelessness drop, but they were able to show that they had an increase in sheltering um the homeless by 14%. um from year-over-year from the previous year.
So there they they are making headways, but as you know part of the the problem is the count and I believe so many homeless people just don't get counted. And just as an example, we had zero listed in the count for our community. And that's because when they do the count, it's an arbitrary date that they they do. And you know, and I know we've seen people um living in the wash areas and pushing baskets and and riding bicycles.
And so um I would say probably for us at any given point in time, the at a peak time we might have four to six at any point in time, but that count in time um only captures zero. And it's been that way for the last couple years. I think 3 years ago it showed um one that was on the count for that particular year. So there's no cost to us. It's absolutely no cost.
So what they do is they take the formula what we would be entitled to if we were a entitlement city based on our population and the formula that they have and then that's pretty much allocated to Maricopa County. And then there's also additional money that that um the Department of Housing and Urban Development, the federal agency provides um for some of these other programs, the supplemental programs I was telling you about. So, it's a it's a to me it's a good deal and it's like it's a shame.
It's like you're leaving money on the table, right, if we don't participate. Now, we could do it for three years. So, this before you is a three-year agreement, and we can assess it, and if we determine that we're not really getting anything out of it, then we can go ahead and and just say we're not going to renew our um participation in the collaboration or what's it? Um, yeah, they have a term cooperation agreement. Sounds good to me. Okay.
I move to approve resolution 2026-11 authorizing the cooperation agreement between Town Cave Creek and Maricopa County to participate in the urban county's community development block grant program. Second. I I'm in favor. Yeah, I'm in favor. Also, um you might want to talk with the uh the folks at the Episcopal Church that run the uh gold mine. um they they um say they see quite a few more homeless than the three or four they're talking about or that you were talking about.
Their their numbers are quite a bit higher than that. I think we used to see a lot more when the food bank was where it previously was located. I I agree with you but but they have a good handle on that because just about the time dark hits uh that the people will come over there and and uh and look for things. Thanks for the tip. I'm I'm acquainted with the recctor there and I'll I'll go talk to her about that. Other other comments? Seeing none, all those in favor? I opposed. Motion carry 70.
And we're on to council discussion and first reading of ordinance 2026-03 amending section 31.25 25 of the town council authorizing town manager to designate one or more department heads as deputy town manager and establishing a new classification of deputy town manager for the town of Cave Creek personnel system. This sounds very complicated. I'm sorry.
You know, it it does, but what I'm really trying to do is create a professional opportunity, professional development opportunity for um my department director. So, the larger cities, as my staff report indicated, have um you know, two or three deputy city managers. Um the the smaller size cities and towns, it's pretty common to have a similar title of deputy town manager slash and whatever their department role is.
Um Teresa has been doing an outstanding job as deputy town manager slash town clerk. Um, the unique thing with her position is that that's actually her job description and it's and she's been doing a great job with it, but I'd like to open this up for additional consideration for other department directors in the future.
right now as I'm recommending uh based on her um both her interest and her performance and organizational accomplishments uh Sherry as our finance director to be deputy town manager slash finance director. Now the beauty of what I'm recommending I did a similar type of program where I worked previously but I I didn't approach it appropriately. I ended up having the individuals I put into that job um as deputy town manager with the job title and I changed it that way.
But when there was turnover then it caused a little bit of an issue because you had to recruit for that position. What I'm doing is this is a designation or an assignment and so someone were to leave then we'll recruit for that position that there's their core position. So it would be like not saying Sherry's leaving, but as an example, the finance director, we'd recruit for that or she promoted, then we would try to fill the finance director position.
So it's an assignment, but it's I'm going to look for opportunities to provide that will help them grow um as a deputy town manager. If there's an opportunity for them either in the organization or or outside the organization, it's good. It's I think it's a win-win for the organization and for me and for the individual that gets assigned.
So, um so that's what I'm trying to do and I think it's a great testament that our first one is going to be Sherry and I think Sherry's doing a fabulous job and and I think this will be um something that she is looking forward to it. So, with that, I'd be happy to answer any questions the council may have. I'm I'm sorry, Tom. Okay. Why do you need our permission to do this? Well, part of the thing is right now um the the code is kind of limited.
Oh, like it does say that the town manager can designate anybody to be an acting town manager, but we don't have the classification as a standalone deputy town manager right now. So, um so the other thing is I want you to be aware of what I'm doing. Okay? So, and and make sure that you guys have the fiduciary responsibility to oversee the organization and you're my bosses.
So, I'm just trying to get your fine your buy in and blessing to see if this is something I'm always concerned about micromanagement. I appreciate, you know, your um ability to inform us and make things transparent. I just don't want you to think that we have to oversee every decision you make, right, related to your staff. Uh Tom, thank you. Um I had a question or help me to understand what it is you're proposing. Um Teresa's title is assistant town manager.
She's deputy town manager slash town clerk. Okay. Yeah. And what's unique about it, and there's nothing that she's doing wrong. She's doing a fabulous job, and I'm going to continue to to utilize her. Absolutely. Um, what I'm trying to do is create another opportunity but not have it locked into and baked into the job description. And that's that's what's unique about her situation.
And what I learned from the experience I had where I worked previously is I really should have done what I'm doing here and I learned from that. And that's just to have something a little bit more flexible. So let's say I'm no longer here and my successor is here. that successor can kind of see the talent in the organization and do the similar type of thing that I'm proposing here. So, it's just it's it's not only for my purpose, but for future town manager.
So, um is there not counting Teresa and her current title? Are you proposing then a deputy town manager? But it would it would it would be a separate um job description that has duties associated with it. But the primary core position of the individual that would be serving in that role would be doing their core position of like finance director. But it would have the designation of deputy town manager slash um finance director in the case of Sherry. Okay.
Um, is it one deputy town manager or are you looking at three or four deputy? I'm not looking at it at having it be that far expanded. Um, I'm looking at the these two initially and if if there's uh one maybe six months from now to do, but I'm not looking at doing it for every single department. That's a question I had. And then um and by the way the um the job description that is part of uh tonight it clearly outlines what the qualifications are.
So not and and I don't believe all my department directors would have an interest in doing this um based on their current jobs what they're doing right now. Uh Mr. Mayor uh Grady, does it help in terms of line of succession in the event that if you were unable to perform your job, does it provide an interim performer for the town until such time as the town would do an official survey?
Well, so part of the job responsibility of this just as it is for Teresa is Teresa is acting and like we coordinate our vacation or so but in the event something happened to me or council wanted to make a change. Um the the council always has the ability to to designate who they wish to have as an interim. A lot of times what happens is the council will go ahead and designate one of the deputies to step in. Um, so that's pretty that's kind of the concept behind that.
Um, but the council always reserves the right and I know we've done this in the past to bring in an interim if they feel like they need to have an interim coming out coming in from the outside. Grady, that's actually paragraph two. Thank you, Bill. Yeah, it's already in there. Yeah. Yeah. So would would this deputy town manager in your absence have the authorities to approve things just as though you were doing it? If if designated as such, but I Where's it designated though?
I mean, job descriptions are not delegations of authority. That comes through town code. So, I'll give you an example. I'm gone and I'm on a vacation for two weeks and there is a um personnel action form for a new hire. All I sign every single one of those. I'm not going to be doing that while I'm out of the office. So, that is something that an acting person in acting capacity will be doing. What is that? But I don't see how you get around town code. How can you do that without town code?
Because that's that's delegated. I mean, the authorities are delegated in town code and and this is what you're talking about is done in business, at least ones I was in, they you get a letter and say you're you're you have all the authorities of a certain position during this time period. So, I mean, it sounds like a a good thing, but I'm just saying, right, I I I I want to make sure we dot all the eyes and cross the tees or vice versa. That's what you're doing tonight.
That's exactly what you're doing tonight. you're giving him authority in the code to delegate authority in his absence. That's exactly what you're doing. So, that's all we're doing is giving him the ability to delegate his authority. Um, and what what um what what document does that? Are you going to do it on a document? The town code actually does it. I think what the mayor is saying, well, I think you you'll probably have to implement this.
Let's assume he is gone for two weeks and let's assume he anticipates certain actions. I think he could do a direction to to either treat I do a memo or an email either either of the two deputy as to who's going to take the responsibility for those actions and it's assumed that acting town manager would have the responsibility for those actions. Yeah. Yeah. Okay. I just want to make sure we we're clear with the town the town we have supports.
I spent a lot of time with Bill to make sure that we're dotting our eyes on this to make sure. I mean there I could have just probably done this on my own with just the language that was in there and it would have been a probably not as button up and tightened up but I think the way we've approached it working with Bill I think this is not only addressing the concerns you raised mayor but also I think it's future proofing it so we don't have to come back and do amendments to this later on.
So other questions? No. Clear. Is there public comment on this? There's not. Okay. So, um, well, I'll make the motion. Thank you. I move to approve first reading of ordinance number 2026-03 amending section 31.25 25 of the town code authorizing the town manager to designate one or more department heads as deputy town manager and establishing a new classification of deputy town manager for the town of Cave Creek personnel system. Second this is a common business practice.
Uh you know this is something we probably should have adopted a while ago. So I'm I'm glad to see we're we're moving in that direction. Um I know certainly in the federal government the and in the military um there always have what they call continuity government. So there's always kind of a change of command. If this person's not available, that person uh is next up. So I I think this is a good idea. It's a good idea and it'll make the town and just it's smoother.
It'll also speed things up so things aren't delayed going forward. Other comments? just that I hope Teresa and Sherry know what they're getting into. Others. Okay. U all those in favor? I oppose. Motion carry 70. Thank you. And we are on to um department reports update on license plate reader technology. Mr.
Mayor, members of council, when you all became aware of the flock contract, you expressed concern, some of which was was was commented on during the call to the public this evening about protecting the the privacy of those driving in your community.
you asked me to take a look at options and so I contacted members of the risk pool that's primarily made of made up of smaller cities and towns and I was surprised to find that nearly every city in town I contacted just lively accepted flock and hadn't suggested that and demonstrated some of the concerns that you had registered in our meeting. I am the Globe city attorney and I I I recall that we were their their council was concerned.
So I brought you that policy was the only one I could find and you appreciated that. But you also commented that you were some of you were still concerned about protecting the privacy of some of your constituents. You heard the gentleman this evening talk about the larger cities and towns beginning to react to the flock. And there's another there's another company that does the same thing. and they're adopting more rigorous policies.
Um, what I intend to do is is to look at those and to come back to you with a report that makes sure you have taken all the steps you can take to address the privacy and the confidentiality of the private information of your of the constituents in your town without jeopardizing what can be the beneficial aspects of license plate reading. I mean, they do help in solving solving crimes.
They do help in deterring crimes, but as you heard from your constituent and as you re recommended to me when I read to you the Saffert policy, which was good, but not all the way there, that you wanted something more. And so what we've discovered is, and it was confirmed by the gentleman tonight, I don't Is he still here? Are you were you? No. Okay. I'm sorry. Couldn't tell. You're also young. I don't know who's here. But no one's look alike, don't they? Yes, I know. I thought it was him.
So, so he commented that these larger cities, Tempe, they're beginning to to to ask these questions. So, let let me look at those. Let me come back to you and come back to you with recommendations that preserve and protect the privacy of your constituents while still acknowledging that license plate readers can perform a function. And I intend to do that once.
I mean, in fact, I I found I'm going to if I could get that guy's name, I'd like to get the names of some of the cities that he identified that I can learn from the policies. That's all I have. Mr. Mayor, we'll find out tomorrow. He's going to email us all. He already has. Oh, he has. Send me the email. His dad owns a welding shop. Yeah.
And to Bill's point, um, just want to add that if the majority of council doesn't want to go forward with this, I mean, you will have an opportunity when you are considering the policy, we'll have that in there. So, you have the opportunity if you want to, you know, do away with um, not even consider the policy and just not have um, the uh, license plate reading system in town, that will be your prerogative. So, that will be when we come back, that will be what you'll be addressing as well.
Do you have any idea when you'll come back with it? We're thinking I I I Yeah, I I think when you come back from your summer break and I must say you were my only city who wanted face to face. Tomorrow I'm driving to California and so I'm going to be there all summer till you you reconvene in September. We'll have it ready for you in September. Okay. Any questions before we move on? Teresa stand department report. I will try to keep this quick. Not sure. We want to stay here all night. Yeah.
I would not offering popcorn. Right. I did not bring the popcorn. So, all right. So, I have not actually done a comprehensive report to all of you guys. Um, so this covers quite a few things. I'm going to touch on some of the highlights, but if you have questions, please let me know. So, um I do have um quite a few of our strategic priorities that I touch on um as I go through this. So, one of our big things is meetings in our legislative services.
Um this year, uh as of today, we've had 11 regular meetings, um eight special or work session meetings, and then 10 executive sessions. So we including all of you have been very busy um with meeting continuously and working on uh items concerning our town. Could I interrupt very quickly? Sure. Are you a oneperson department? I am currently a one person department. Yes.
Uh so uh I do also do the agenda preparation package management and we do uh use agenda quick which we did on board this last year and you guys have done amazing uh working with that and your iPads. So, thank you very much. It has cut down and saved many trees. It has not cut down the trees. Was cut down on the packets. Sorry about that. Um minute preparation and approval. Um right now I am outsourcing that uh just so that we can get minutes uh on the next or a couple meetings afterwards.
Uh it does take some time once they come back. I do still have to review them as does uh Bill. So our ordinances and resolutions uh we have just this year um worked on two now three at this point uh 11 resolutions not again not counting this evening's um last year we ended with 30 resolutions and 16 ordinances that we went through and for our notices um uh open compliance postings we this year so far have had about 43.
So that those are the ones that even meetings that uh aren't town sponsored if I'm made aware of them I do post just in case there's quorum maybe you move to the next page for me please not want to move forward that's a lovely picture of a cactus yeah it You went way ahead. Thanks for dancing. That was I know. And then we're done. Any questions? Um, okay. So, elections, which is a big uh part of what I do and uh what is going on. We have our primary coming up on July 21st.
Um, we also will have a general election um November 3rd. I will be bringing forward more information regarding the initiative. Um, and if there is a need for a runoff election, that would also be on the the general election. Okay. Um, so you're you're a little modest, but do you want to kind of explain the amount of time it took for you to go through the initiative process? What you had to do on that?
think I stopped counting but um I did have uh so once the um initiatives and uh referendums are very specific in proc the the process that is needed um and once the um once the actual petitions are uh turned in they have to be looked at um each sheet and uh each line to ensure that there isn't a reason to uh not move forward with pet petitions signatures. Um, and then that has to be sent over to uh the Secretary of State's office and um, and this is all within specific timelines as well.
So, Secretary of State has to review and then they they provide some random sampling that comes back to me. I have to do the random sampling based on what they provided me. Um, and then it goes to Maropa County for them to ultimately uh review and um certify uh that random sampling before it comes back to me and then um it gets to move forward or not depending on that certification. So it does take I think uh gosh um it took a few weeks to get through everything.
So um and uh that's and dedicated time. We are fortunate in in that we're small so we don't have as many uh signatures to go through or requirements. So our numbers a little bit lower but it it was definitely a process. So just a break for a second. Bill Jared is back there. He's the one that asked the question. What did you call him? Uh so another uh project that I'm working on is uh for our records and transparency our laser fish uh management system.
Uh right now I am completing testing and um once that uh is done hopefully within the next couple weeks here I'll be starting to move the records that are are public facing records ordinances resolutions to the new system. Um and then we do have some funds uh budgeted in the upcoming fiscal year for some temporary assistance for a scanning project. So um once I get that initial the initial documents moved over, I'll be planning on what that will look like.
So we will hopefully by September you guys will see the new system. Um just FOYA is our public records um uh system that we implemented a few years ago. um July 1 to June 2nd we had about two we had 243 requests and our average completion time has been about eight days 8.31 but um we do our goal is under 10 days or within 10 days to respond.
Um there are some there have been multiple records where um it was I think 8,000 emails that we had to go through we being Bill and I um that we went through. So, he did not go through all 8,000. I tried to whittle that down. So, it was a lot less. But, Mr. Mayor and Vice Mayor, your comment about a one on one person shop, it's amazing how much Teresa gets done. Public records requests are so burdensome and she did it all. It's unbelievable.
I I will note that uh Carla does assist me with a lot of the uh public records. So, I definitely am appreciative of that. Uh this is also one of our uh residents um sitting on the screen that comes to visit. Um so business licensing um at from January to present uh we are at uh 1,340 annual licenses and uh 98 temporary. Uh a lot of those art shows if the if the vendors come in for more than 3 days or doing business for more than 3 days, they're getting annual.
So, these are not necessarily uh brick and mortar or or folks that are in town all the time. Um the year before um and and also typically in the fall we'll get an influx of additional licenses. Um in 2025 we ended with,654 as our total for annual. Teresa, as part of our um requirements too, all vendors we do business with are required to have a business license too, right? We do ask them for business licenses as well. Yes. And then um special events. Last year we ended with 55 total.
We did go through this already, but um right now we're about 36. Uh four, like I said, we're in process. I I have a question. I have to interject. Sure. Um could you could you do you remember if bike weeks application is for 10 days, 12 days? It's more than four. More than four. Four. Yeah. So, it it's typically um I think it's 9. Yeah, I think it's it is nine. Ends up being 9. Okay.
But a lot of times during the week they really don't they the vendors are still up so they are still having an event but they aren't actively they don't have typically they don't have music or or things going on or they haven't always but until the second weekend. uh liquor licenses. Uh we have a many um longtime established uh venues, but we do have occasionally uh some turnover in that um as we had a second one tonight.
Um but we did have a liquor license uh new application that came at the end of the year last year. Um the one that was approved this evening. Um and then we do have a couple businesses that have changed ownership that may be that should be coming forward um sometime soon. that it all depends on when the liquor board sends their applications to me.
Um the administrative um updates were typically a different owner or someone within the business got promoted up to um to get their name on their liquor license. So we've done that administratively. Right. Um can I ask for a total in town with ent total? I don't have that off the top of my head, but I can get that for you. A rough number. I don't. I'm sorry. Okay. I apologize. I I'll I can work on that and see what I can get for you. Um we do have only one location that has offtrack bedding.
Um and that's Herold's. Um and then short-term rentals. Uh so that program we started a few years ago. Um this last year I went to a new um uh new company that has been a lot easier to work with, but still there's a lot of administrative uh work that has to be done. Our current um licensed short-term rentals are at 43. Um we have 30 unlicensed, those have to be kind of looked at, make sure that they're actually in town.
There have been a couple that have been outside the town that kind of get picked up and when they do the scraping. Um and then they noted that there were seven that were unidentified. What that means is they were doing research. They found that there were some ads that noted Cave Creek, but they have not had the time yet as of this report to verify if they were in town or not, or if they were just being marketed as a Cave Creek um uh short-term rental.
Our hotline, we have a call center, a 24/7 call center, and we had the online complaint form. Uh the call center was used four times, and the online complaint center was used once, and of those, three of them were outside of the town. they were not ours. Uh so grants and special funding. Um we do the community grant program which uh thank you for the budget adoption. Those funds have gone up to 60,000 for this year.
Um the applications will open likely end of September um early October and then we'll look at um having them come forward to council either end of December or early January. So, this last fiscal year, we approved um $40,000 to 14 nonprofits. Uh the opiate funds also are now uh with me. And right now, we have just under 40,000 available. Um and the it's very specific what those opiate funds can be used for.
And as of right now, Carrying Corps and the Cape Creek Uni School District are using them mostly for training either volunteers or the parents. and we've talked and we are planning on meeting um here soon to go over some additional uh potential programs. Uh these are two of our baby road runners. This is number four and five for your union pleasure there. Um we have had quite a few special events and public engagements. Um the volunteer leadership dinner um spur across our anniversary.
Um and these I definitely cannot do on my own. I've been working with uh multiple staff including Bo um on getting these uh work done. The town uh town's 40th anniversary planning is coming up and um we definitely have I do get a lot of emails on or requests for proclamations. Some of those do come before council. Others um just go to the mayor and if if they are something that is appropriate for our town and then go out that way.
And in all of my free time, I've also been trying to make sure um I uh work on my professional development. Um currently working on the uh CPM program through ACU. Um did the uh ACM management academy a couple years ago. Gosh, it feels like it was just last year.
But um and then I also maintain my master municipal clerk certification as well as election official certification which the state has been kind enough to change the ruling on that the the legislature on that so that we have to now uh every two years make sure we go to training additional training. So um the winter conference uh actually will not be going to but the there is uh or I did go to I apologize summer conference is coming up.
Um recently I did go for the records management laser fish paid for the conference. Um they have an annual empower they call empower conference. It's actually very neat. It's all labs. Um I've never been to a conference where you can just log in and and actually play in the system.
Um my uh municipal clerks uh we have an international in institute of municipal clerks conference uh annually but we also have a Arizona uh clerks conference with election training and I somehow um agreed to sit on two panels so I have to do those powerpoints. Good. All right. So here just a quick summary. Um our elections are in progress.
uh the town hall remodel renovation um that I've been part of is on hold in progress with the records management the laser fish um and that the uh records uh digitization um will be in the planning phase once kind of get that going website um transparency working with both and definitely for my elections pages um that's always ongoing and um we are and we have been talking about and we will continue to talk about until it's done but improving our council chambers technology. That's it.
Any questions? And this is Mama Ro. Can we get a copy of this for a change? It's got some good stats in the front end. But I will also email can also What did you say, Teresa? I said it is in the packet, but I will email you. Is it in there? It should be. If not, either way, I can email it to you. Okay. Thank you. So, I know I went I went through that really fast. I don't I didn't time myself, but Okay. Now, I don't mean to be critical at all. It's just a question.
What is the legal requirement for getting our packets to us before the town council meeting? Our town code says the Tuesday prior to the meeting. I think it's seven days. Six. I think it's actually six days. We kept it Tuesday even though we moved the meeting to Tuesday. So, So, we kept it. We did not we chose not to change that after when we made that um decision to change the council meetings from Mondays to Tuesdays. So, you kept six days. Six days. It's actually seven days now.
Um recently, we've had a lot of uh last minute items come forth because we've had additional information that we needed to provide or just multiple reasons why things were not necessarily on time. Um, so some of the packets haven't gone out until Wednesday or been published till Wednesday, but your goal is to get them out Tuesday before the Tuesday meeting and that's the legal requirement per our code. Our six days per our code. So town code, Mr. Mayor, Vice Mayor, it is a code provision.
The statute is 24 hours. Yeah. And I apologize. I should legally explain that to me. What does that mean? What do you mean by that? Well, the state statute has says the open meeting law requires that everything to be ready in 24 hours. Your code imposes upon the clerk for your benefit a much longer lead time, but technically legally it could be just 24 hours. Yes. I just share a comment that I'm very impressed the medical or the not medical records, you can tell what I'm thinking about.
The uh the public records request uh uh averages eight days. I I think that's a a very good service to the community. And what do we charge for that? So right now they're electronic. Majority of electronics we don't charge. Um so commercial um there can be a charge for commercial but the majority of requests that come through are not commercial requests. Other questions? Thank you Tracy. You do a great job. We're so proud you're here and and you're such a great grandmother to the Road Runners.
Yeah. Maybe it's a mother. I don't know. Great aunt. She was giving you the side eye. Did you see that in that picture? Yes. Yeah. She was They're very judgy. Okay. That that completes our agenda. Is anyone have an objection to adjourning? So move a journ. Yes, sir.