Attachment A - Feb. 22, 2023 EDE Minutes.pdf

ATTACHMENT A 
 
 
Phoenix City Council 
Economic Development and Equity (EDE) Subcommittee 
Summary Minutes 
Wednesday, Feb. 22, 2023 
City Council Chambers 
200 W. Jefferson St. 
Phoenix, Ariz. 
Subcommittee Members Present                    Subcommittee Members Absent 
Chairwoman Laura Pastor, Chair          
Councilwoman Ann O’Brien 
Councilwoman Debra Stark 
Vice Mayor Yassamin Ansari 
 
CALL TO ORDER 
Chairwoman Pastor called the Economic Development and Equity Subcommittee to 
order at 10:06 a.m. with Councilwoman Ann O’Brien, Councilwoman Debra Stark, and 
Vice Mayor Yassamin Ansari present.  
CALL TO THE PUBLIC 
None. 
MINUTES OF MEETINGS 
 
Chairwoman Pastor opened the floor for public comment.  
1. Minutes of the Economic Development and Equity Subcommittee Meeting 
Councilwoman Stark made a motion to approve the minutes of the Jan. 25, 2023 
Economic Development and Equity Subcommittee meeting. Vice Mayor Ansari 
seconded the motion which passed unanimously, 4-0. 
INFORMATION ONLY (ITEMS 2-3) 
2. Key Phoenix Economic Indicators Quarterly Report 
Information only. No councilmember requested additional information. 
 
3. Housing Department Capital Improvement Update 
Information only. No councilmember requested additional information. 
 
INFORMATION AND DISCUSSION (ITEMS 4-5) 
4. Affordable Housing and Housing Phoenix Plan Update 
Deputy City Manager Gina Montes, Housing Director Titus Mathew and Deputy Housing 
Director Samantha Keating provided an update on the Housing Phoenix Plan and the 
Housing Department’s affordable housing efforts.

Chairwoman Pastor asked for clarification about funding for affordable housing 
construction.  
 
Mr. Mathew replied with a discussion of federal government dollars.  
 
Chairwoman Pastor asked about zoning and Senate Bill (SB) 1117.   
 
Ms. Montes provided details about SB1117.  
 
Councilwoman Stark asked if SB1117 would impact affordable housing. 
 
Ms. Montes responded the bill had no direct impact on affordable housing. 
 
Councilwoman Stark noted she believed the bill also exempted cities under a population 
of 25,000 such as Paradise Valley and Oro Valley.  
 
Chairwoman Pastor asked about qualifications for affordable housing. 
 
Mr. Mathew gave a summary of federal government definitions of affordable and 
workforce housing.  
 
Chairwoman Pastor asked about Accessory Dwelling Units (ADUs).  
 
Ms. Montes and Planning and Development Director Josh Bednarek replied with an 
overview of ADUs, provided examples, and discussed what was currently permitted in 
the code and a possible amendment. 
 
Councilwoman Stark commented on ADU benefits such as individuals taking care of 
elderly or special needs family members. 
 
Councilwoman O’Brien asked if amendments had been applied previously to address 
this matter.  
 
Mr. Bednarek discussed the City’s previous amendments to zoning ordinances within 
the last two years. 
 
Chairwoman Pastor asked if a tiny home would be considered an ADU. 
 
Mr. Bednarek replied yes. 
 
Chairwoman Pastor asked about affordability and ADUs. 
 
Mr. Bednarek responded having some type of affordable condition associated with 
ADUs was not something staff had contemplated but it could be explored further. 
 
Councilwoman O’Brien commented on the importance of stakeholder input and asked if 
SB1117 would prevent communities from offering input.

Mr. Bednarek replied to Councilwoman O’Brien’s assessment, stated it was correct, and 
spoke about staff’s process of collaborating with Village Planning Committees and 
community stakeholders. 
 
Vice Mayor Ansari asked about other policies Phoenix was pursuing that were in line 
with positive elements of SB1117. 
 
Mr. Bednarek highlighted the Walkable Urban Code around light rail corridors.  
 
Ms. Keating continued the presentation. 
 
Councilwoman Stark asked what the City was doing to make affordable housing a 
priority and expedite building permits.  
 
Mr. Bednarek responded the City had shifted their service model including becoming 
more electronic and adding additional team leads to help intake, process and approve 
plans efficiently.  
 
Councilwoman Stark asked about standardized housing plans.  
 
Mr. Bednarek replied staff could explore standardization further. 
 
Vice Mayor Ansari asked for projections on when the City would meet housing 
benchmarks and if the City was on track.  
 
Ms. Keating responded the City was on track to meet the goal of 50,000 units, noted the 
projections were updated on a quarterly basis and discussed an updated housing needs 
assessment forthcoming with Bloomberg Associates.  
 
Vice Mayor Ansari asked if staff could share what percentage of new units would be 
workforce and affordable housing after the needs assessment was complete.  
 
Ms. Keating replied yes.  
 
Vice Mayor Ansari requested urgency for sub-initiative target dates and goals in the 
housing plan that appeared to be two years behind.  
 
Ms. Keating agreed there was more work to be done.  
 
Councilwoman O’Brien asked for housing voucher details. 
 
Mr. Mathew responded there was a 56 percent success rate for voucher holders to find 
a unit within six months and noted the Landlord Incentive Program had helped increase 
the success rate. 
 
Councilwoman O’Brien expressed support for streamlining processes to build more 
affordable housing.  
 
Chairwoman Pastor asked if the ADU process could move quicker.

Mr. Bednarek replied he could not guarantee an outcome of the process, but assured 
staff understood the urgency.  
 
Chairwoman Pastor asked for a timeline and metrics to help move ADU initiatives 
forward, requested an update in March and asked how to incentivize developers to 
support voucher holders and affordability.   
 
Mr. Bednarek responded a zoning stipulation could be explored in collaboration with the 
Housing Department.   
 
Chairwoman Pastor asked for clarification on mobile home text amendments.  
 
Mr. Bednarek provided details about three text amendments related to mobile homes.  
 
Chairwoman Pastor opened the floor for public comment.  
 
Nicole Rodriguez expressed concern about zoning practices and the state of affordable 
housing.   
 
Cory Kincaid expressed concern about the affordable housing goal timeline.  
 
Ryan Boyd discussed zoning entitlement bonuses for designing affordable units.  
 
Chairwoman Pastor gave a summary of eComments submitted. 
 
Vice Mayor Ansari expressed concern about exclusionary zoning and asked what it 
would take to reduce parking fees around Transit Oriented Development (TOD). 
 
Mr. Bednarek replied staff was exploring policy options and could report back. 
 
5. Super Bowl LVII Recap 
Deputy City Manager Inger Erickson, Interim Deputy City Manager John Chan and 
President and Chief Executive Officer of the Arizona Super Bowl Host Committee Jay 
Parry gave a preliminary review of Super Bowl LVII events held in the City from Feb. 4-
12, 2023, including two videos highlighting the local events. 
 
Vice Mayor Ansari expressed gratitude to staff for their work with the Super Bowl and 
asked where the 44-foot saguaro art piece would go.  
 
Ms. Parry replied staff was working to find a new home for the cactus.  
 
Councilwoman O’Brien, Councilwoman Stark and Chairwoman Pastor thanked staff for 
their hard work and congratulated them on the successful events.  
DISCUSSION AND POSSIBLE ACTION (ITEM 6-8)  
Chairwoman Pastor requested the Arena Suit Policy presentation be heard as Item 8 
and the 1016 N. 2nd Street Parcel Disposition and Redevelopment – Authorization to 
Issue Solicitation be heard as Item 7.

6. Update on the Phoenix Central Business District 
Community and Economic Development (CED) Director Christine Mackay and CED 
Deputy Director Xandon Keating gave an update on the Phoenix Central Business 
District and opportunities for expansion.  
Councilwoman Stark expressed support for Expansion Option C because the plan 
included Rio Salado and asked why the proposed area stopped at Roosevelt.  
Ms. Mackay replied with an overview of staff’s thought process behind the boundary.  
Councilwoman Stark noted Expansion Option D would be her second choice and asked 
why the boundary did not go further north.  
Ms. Mackay responded the area would need to meet the designation of a 
redevelopment area and staff could conduct research to provide more details. 
Vice Mayor Ansari expressed support for Expansion Option C and asked how this 
option would encourage positive development along Rio Salado.  
Ms. Mackay replied with a summary of community visions for the area and Transit 
Oriented Development (TOD). 
Vice Mayor Ansari commented on gentrification. 
Ms. Mackay responded with a discussion of gentrification risks and benefits.  
Chairwoman Pastor asked if a combination of Expansion Options C and D could be 
prepared and brought back. 
Ms. Mackay replied a map could be brought back. 
Councilwoman Stark asked if staff was on a strict timeline.  
Ms. Mackay responded there was no strict timeline.  
7. Arena Suite Policy 
This item was heard out of order.  
 
Community and Economic Development Director Christine Mackay gave an overview of 
the City Suite Policy.  
 
Chairwoman Pastor asked for clarification on economic development purposes.  
 
Ms. Mackay provided examples of economic development purposes including 
recruitment of companies and future development.  
 
Councilwoman Stark asked about funding for Sister Cities Youth Ambassadors.  
 
Ms. Mackay responded private fundraising efforts, such as the Phoenix Sister Cities 
50th Year Anniversary, helped send Youth Ambassadors to their countries. She added

parents of students who were financially capable may also contribute to their child’s 
travels.  
 
Councilwoman O’Brien asked when councilmembers travel to their Sister City, if the 
funds came from Phoenix Sister Cities.  
 
Ms. Mackay replied yes.  
Councilwoman O’Brien asked how trips were funded for councilmembers going on trade 
missions or inaugural flights. 
Ms. Mackay responded funding came from several sources, including Council Office 
budgets.   
Councilwoman O’Brien asked how often a member of Council had been invited to the 
suite for economic development purposes. 
Ms. Mackay replied with an overview of the suite use.  
Councilwoman O’Brien asked for clarification on the value of having councilmembers 
interact with potential investors and company executives while in the suite. 
Ms. Mackay replied it was an important opportunity for councilmembers, who represent 
their constituents, to share what was important to them.  
Councilwoman O’Brien asked about the rationale behind permitting local unions in the 
arena suite. 
Ms. Mackay replied the suite policy allowed workforce items to be discussed in the 
suite. 
Councilwoman O’Brien asked how extra tickets for the suite were funded.  
Ms. Mackay responded taxpayer dollars were not used to pay for extra tickets and 
discussed various scenarios.  
Councilwoman O’Brien asked if a councilmember had ever paid for tickets used by them 
or a member of their group.  
Ms. Mackay replied she would connect with staff and report back.  
Chairwoman Pastor said she had paid for tickets in the past.  
Councilwoman O’Brien asked if a portion of ticket sales when the suite was not being 
used by the City for economic purposes went back to the Phoenix Economic Partners 
nonprofit.  
Ms. Mackay replied yes but clarified the suite was first offered to the youth. 
Councilwoman O’Brien asked how much a ticket would be sold for.

Ms. Mackay replied the price was dependent on the event and ticket prices were 
determined by the Suns.  
Councilwoman Stark asked what the process to request councilmembers in attendance 
included. 
Ms. Mackay responded the process depended on the situation and described different 
scenarios.  
Councilwoman Stark asked how council staff factored in. 
Ms. Mackay replied when a councilmember could not attend an event, council staff may 
participate on their behalf.  
Councilwoman Stark asked if leasing the suite would require changing the contract. 
Assistant Chief Counsel Deryck Lavelle responded leasing would not change the 
contract.  
Ms. Mackay added leasing the suite would make money for the Phoenix Economic 
Partners per what was approved by City Council in 1992.  
Councilwoman Stark suggested if the City leased the suite, then money could be 
directed towards the Parks Foundation, Library Foundation, etc. and asked if this 
opportunity could be explored.  
Ms. Spencer replied staff could explore the idea further.   
Vice Mayor Ansari commented on the wide variety of strategies used to pursue 
economic development and spoke to an example of when she leveraged the suite to 
bring an investor to her district.  
Chairwoman Pastor asked about who was included in the Phoenix Economic Partners. 
Ms. Mackay responded with an overview of the Phoenix Economic Partners Committee.  
Chairwoman Pastor commented on efforts to lease the suite. 
Ms. Mackay discussed how in addition to hosting executives, the suite was also used by 
youth, teachers, and nonprofits.  
Chairwoman Pastor asked if Phoenix Economic Partners could use the funds for other 
reasons.  
Ms. Mackay replied in the past funds had been used to reimburse dinners for a dignitary 
delegation, but all expenses had to be related to economic development or youth 
activity.  
Chairwoman Pastor commented on the Phoenix Economic Partners budget, workforce 
research and advocated for equity in the suite participation process.

8. 1016 N. 2nd Street Parcel Disposition and Redevelopment – Authorization to 
Issue Solicitation 
This item was heard out of order.  
 
Community and Economic Development (CED) Director Christine Mackay, CED Deputy 
Director Xandon Keating, CED Special Projects Administrator Gretchen Wolfe and CED 
Program Manager Jeff Stapleton requested to issue a Request for Proposal for the 
disposition and redevelopment of City-owned property located at 1016 N. 2nd Street. 
 
Vice Mayor Ansari asked if affordable and workforce housing could be added as a 
bonus point for this project and if there could be a preference for projects with greater 
density. 
 
Ms. Mackay replied this request could be put in the recommendation that goes forward 
to the full Council.  
Vice Mayor Ansari made a motion to approve the item. Councilwoman O’Brien 
seconded the motion which passed unanimously, 4-0. 
 
CALL TO THE PUBLIC  
None. 
 
FUTURE AGENDA ITEMS 
None. 
 
ADJOURNMENT 
Chairwoman Pastor adjourned the meeting at 12:38 p.m. 
 
Respectfully submitted, 
Danielle Vermeer 
Management Fellow