Carefree Truth

Issue #374, February 13, 2015

 

 

 

Public comment began with Joe DeVito, who said he was really bothered by having seen only the summary of the Meyer Report, which provided the 20 year income projection that would be generated from the Easy Street project.  The summary said the entire Report was on file with the Butte Companies and was available upon request.  He had asked Town Clerk Kandace French for a copy and had not received one.  Mayor Schwan told him the Town was only in possession of the summary.  Mr. DeVito said Meyer is a good company that has been around for a long time, and he thought it behooved the Council to ask for the full report.  He was uncomfortable with the whole project.  He felt the Town was "putting out a bakery and getting a half a loaf back".  A developer should develop based on his own abilities and talents, and wins or loses based on that.  The Town was being asked to support this project.  He ended by again asking for the full Meyer Report.

 

 

 

Bob Gerhardt, a long time Carefree resident, supports the development of Carefree for everybody's benefit, and supports the Butte/ASU development.  He hoped the Town could get the information needed to move forward, and that the conflicts could be resolved, the sooner the better.

 

 

 

John Traynor said there is a lot of uncertainty to the issue, and that the legalities should have been worked out before hand so that the Council and the audience could have heard THE resolution.  He asked Town attorney Mike Wright to define "desire", and questioned how "desire" is enforced.  He keeps hearing about the need to ascertain community support for this project, and wanted to know if there was community support for any of the projects being discussed.  He felt that fundraisers don't provide a definitive answer, and that the only clear way is with a vote.

 

 

 

Stephanie McNeely, owner of Dominion Realty in Carefree, said, "Don't blow this."  The Cultural Center would draw the needed taxes, etc.  She met with Gary Neiss and Ed Lewis about a nice boutique hotel.  Mr. Lewis said he would not do it without the Cultural Center.  

 

 

 

I asked if anyone had considered asking whether the Carefree voters would approve a temporary property tax that would end once the debt was paid, to float a bond for cultural amenities.  This was done in Cave Creek to preserve Spur Cross.  It is an alternative funding option that would leave the reserve account intact, and would definitively demonstrate the level of public support for any project under consideration. 

 

 

 

Jim Whitmore expressed concern about Resolution #Blank after hearing Mike Wright's legal opinion.  He reminded the Council that if they signed it, they were probably putting themselves in jeopardy.  The Council needs to "strongly listen" to what their attorney says and follow the advice.

 

 

 

Jerry Wetta has been concerned about the project since the beginning.  He was one of the three people who comprised the Long Range Financial Planning Committee, which advised the Town to maintain 50% of the reserves at all times.  They didn't recommend spending it all at once.  A healthy reserve is important if the Town were faced with unknown problems in the future, such as issues with the Water Company or the streets.  Mr. Wetta spent his career in merchandising and retail, selling goods to stores from as small as 500 square feet to as large as Macy's.  He noted that successful merchants sell a product that people want.  Even if that merchant is in a "garbage can", people will find the good merchant.  A pretty building doesn't make people want to buy a rubber chicken.  Get the accurate figures and present them to the community.

 

 

 

Dick Stewart, who has been a resident since 1985, said an excellent job has been done with the downtown Carefree area. He asked how each Council member felt about the Holland Community Center vis a vis the Carefree Cultural Center under discussion, feeling that everyone was fatigued by the continuous discussions.  "Fatigue makes cowards of us all."

 

 

 

Mayor Schwan agreed with Councilman John Crane that something needed to be done that night, but what?  He couldn't support Resolution #Blank, which contained too many problems for the Town.  He couldn't commit the Town to these. "What can we do to move forward?"  Mr. Crane didn't believe that either Resolution moved the project forward, since they didn't put in place anything not already there.  A development agreement is needed in pretty short order, so the parties would know if they want to continue. 

 

 

 

Vice Mayor Peterson agreed, asking how fast it could realistically be done.  The Mayor said it was a matter of finding the specific wording.  He felt it was appropriate for Town Attorney Mike Wright, staff, Butte Companies, and ASU to be involved to generate a resolution that would be amenable to all.  Mr. Crane said there may be objectives that the Council can't support.  The sooner that is determined, the better.  The Vice Mayor agreed, saying, "Let's find common ground." 

 

 

 

Mayor Schwan repeated that Mike Wright and staff should be involved, as staff is the continuity in the Town.  Councilwoman Melissa Price asked, "Who's 'staff?' "  The Mayor replied, "I'm looking at Mr. Neiss."  Vice Mayor Peterson asked Mr. Wright if it violated the Open Meeting Law for individual Council members to give him input.  Mr. Wright answered that they could all talk to Carefree's legal council; they just could not discuss it among themselves outside of a public meeting.

 

 

 

 

Councilman Mike Farrar asked if the purpose of this was to generate a development agreement or another resolution.  Mr. Wright said a complete development agreement could not be done within the short time frame being discussed.  The Mayor thought if it might be better for staff, Butte, and ASU to work together now, and bring in the attorneys later.  Mr. Wright agreed.  Mayor Schwan asked if Mr. Lewis had any comments, and if there was anyone from ASU present.  Councilman Glenn Miller said that ASU hadn't been asked to attend. 

 

 

 

Ed Lewis, president of Butte Companies, said that when Butte and ASU had presented their proposal a few weeks ago, they hadn't meant for it to meet the test of "legally binding".  It had just been the start of a dialogue.  Three members of Council loved the plan, and there were three who wanted more studies, and to have ASU raise money for the building and sign a 10 year lease.  It is a very divided Council.  He's never had to deal with a 6 headed monster before.  He doesn't know how to deal with such division or how to generate a development agreement with so many unanswered questions. 

 

 

 

Mayor Schwan explained that the Town is not looking for a development agreement now, just for something that Butte and ASU can use to move forward.  He asked if Resolution #2015-02 was sufficient for Mr. Lewis, and that if it was, they could vote on it tonight and move forward.  Mr Lewis responded that is was not sufficient for him, and Resolution #Blank was not sufficient for the Town, so they needed to work on a new resolution, which would be easier to do than trying to answer all the questions.  The Mayor said they were not trying to answer all the questions; they are just looking for a resolution that works for all three.  Mr. Lewis agreed that he would love to do that, and asked the Town to modify Resolution #Blank as it feels is appropriate.  

 

 

 

Mr. Lewis explained that ASU has to take the lead in raising money for ASU.  They won't let anyone else do it, as they have strict controls on who is approached and how to deal with their alumni.  Butte will not be raising money for ASU, but ASU will raise money.  But there are rules about timing to solicit pledges to support operations, the test they wanted to start.  

 

 

 

Mayor Schwan asked if Mr. Wright's redactions on Resolution #Blank could be a starting point.  Mr. Lewis replied, "Sure."  Keep two representatives each from the Town, Butte, and ASU involved.  He assured the Mayor that Butte was ready "anytime, anyplace".  The Mayor suggested coming back in two weeks with an appropriate resolution.  Mr. Lewis said, "I would do that."  

 

 

 

Mr. Miller asked if all three parties could sit down in that short a time period.  Mr. Lewis replied that he can't speak for ASU on the timing, but that they are excited to come the Carefree, as is Butte.  He added, "The Town wants to study other sites and me giving them contributions, and penalties to develop in the town.  There are so many things floating around that are not OK with ASU and Butte.  Melissa knows what those are, but apparently all of you don't know what those are.  We'll sit down with whoever you tell us to."  Mayor Schwan said he wanted to get staff involved because staff could communicate with the Council.  He said now that a way to move forward has been determined, everyone will come back in a couple of weeks.  Mr. Lewis said, "I would support that effort, Mayor."   The Mayor thanked him.

 

 

 

Mr. Wright asked Mr. Lewis if he was familiar with ARS 9-1201 and asked if he needed a protected development right to keep going forward.  Mr. Lewis said he didn't know what those words meant.  He didn't talk to an attorney when preparing Resolution #Blank.  He probably should have, but they were just business people drafting a letter of intent of what might work.  Mr. Wright explained that a plan stating the obligations of each party needs to be established that can lead to a development agreement.  Mr. Lewis replied that he has no idea how definitive that needs to be.  Mayor Schwan said that needs to be discussed as soon as possible between the parties involved, but that it was not going to be settled tonight.  Mr. Miller stated that Mike and Gary will represent us by working with Ed and ASU, "end of story".  We'll have answers in two weeks. The Mayor said to Mr. Lewis, "Thank you, sir.  I appreciate your cooperation."  Mr. Miller asked for a copy of Resolution #Blank, as red lined by Mr. Wright.

 

 

 

Mayor Schwan asked Mr. Lewis if he has a copy of the Meyer Report requested by Mr. DeVito.  Mr. Lewis confirmed that Butte had everything documented in a 20 page report, but said that no one had asked for it, and that he would be happy to send it.  The Mayor said that if he sent a copy to the Town Clerk, Mrs. French would distribute it to Mr. DeVito and to the Council members.  Mr. Lewis asked if they wanted the Report for just the south project, or for the north and south projects.  Mayor Schwan replied, "Everything."

 

 

 

Audience member Jackie McDermott said she had been on the Town website and couldn't find a succinct package that recapped what has been discussed.  She also felt that many citizens would be interested in reading the full Meyer Report.  A lot of people want to know what's going on, and there is not one place to find it.  She was just sent a series of videos produced by Lyn Hitchon, and was amazed.  She'd had no idea these existed, and said the were an excellent idea, feeling that a lot of people would be really interested.  There has been standing room only at meetings addressing the Lewis project, and people have been frustrated because they can't get into the room.  Ms. McDermott also pointed out that not everyone feels comfortable to speak at public meetings.  She suggested that COINS make people aware of where they can find the Carefree Truth videos. 

 

 

 

Mayor Schwan explained that the videos are done by a private individual, not sponsored by the Town, and it is not permissible for municipalities to utilize them, but that there are audios of the meetings available.  The Town can take documents they have, put them on the website, and put tabs on the front page.  Mr. Neiss added that an audio hyperlink is embedded in COINS.  Ms. McDermott said she tried to listen to that, but it really didn't answer her questions.  The Mayor said they would try to get it all located onto one place on the website.  Ms. McDermott suggested placing informational packets in the Post Office building or making them available at Town Hall.  The Council is being asked to make a very huge decision.  Everyone talks about wanting citizen input and support.  "We don't know what's going on, and a good way to get citizen support is to get the information out to us."  

 

 

 

Vice Mayor Peterson addressed taking the Butte project to a voter election, stating a problem with that was that elections can only occur twice a year.  It is already past the March/April deadline, and no one wants to wait until October/November.  He encouraged everyone to come to meetings, to discuss it, to call, to write.  He is all for greater communication and input.  Mr. Traynor said he recognized the calendar situation, but the issue is not a new one.  He heard lots of good dialogue, but is still confused about the next meeting.  Will the parties present a new resolution?  He called it all "a big waste of time".

 

http://vimeo.com/user18676056/review/118803673/42e50e185e  

 

 

Lyn Hitchon 

 

 

 

Prepared by Carefree Truth

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