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Minutes Regular City Council Meeting City Council of the City of Yuma, Arizona City Council Chambers, Yuma City Hall One City Plaza, Yuma, Arizona June 17, 2026 5:30 p.m. Call to Order Mayor Nicholls called the City Council meeting to order at 5:31 p.m. Invocation/Pledge Father Emilio Chapa, St. Francis of Assisi Catholic Church, gave the invocation. Viridiana Briseno, Judicial Chief of Staff, led the City Council in the Pledge of Allegiance. Final Call Mayor Nicholls made a final call for the submission of Speaker Request Forms for agenda related items from members of the audience. Roll Call Councilmembers Present: Martinez, Morris, McClendon, Smith, Morales, Watts, and Mayor Nicholls Councilmembers Absent: None Staffmembers Present: Acting City Administrator, John D. Simonton Chief Financial Officer, Douglas Allen Various Department Heads or their representatives City Attorney, Richard W. Files City Clerk, Janet L. Pierson • Motion Consent Agenda Motion Consent Agenda Item C.5 – Ratification: Water Distribution Line, Gila Street to Redondo (Authorize the ratification of a purchase order for jack and bore obstruction delays for the 5th Street Water Distribution Line, Gila Street to Redondo Road Project, in the amount of $173,229.66 to Taylor Engineering, Yuma, Arizona.) (RFB-25-283) (Eng) Mayor Nicholls declared a conflict of interest on Motion Consent Agenda Item C.5, turned the meeting over to Deputy Mayor McClendon, and left the dais. Motion (Morales/Watts): To approve Motion Consent Agenda Item C.5. Voice vote: approved 6-0-1, Mayor Nicholls abstaining due to a conflict of interest. Mayor Nicholls returned to the dais. ____________ Motion (Morris/Smith): To approve the Motion Consent Agenda with the exception of Item C.5, which was approved through a previous motion. Voice vote: approved 7-0. A. Approval of minutes of the following City Council meeting: Regular Council Meeting March 4, 2026 B. Executive Session Executive Sessions may be held at the next regularly scheduled Special Worksession, Regular Worksession and City Council Meeting for personnel, legal, litigation and real estate matters pursuant to A.R.S. § 38-431.03 Section A (1), (3), (4), and (7). (City Atty) C. Approval of Staff Recommendations • Approve a Series #09: Liquor Store/Owner Transfer Liquor License application submitted by Ragheed Shaya, agent for Valley Liquor located at 3840 W. 24th Street. (LL26-04) (Admin/Clk) • Authorize award of bid to reconstruct a single-family home under the Neighborhood Services Housing Rehabilitation Program to the lowest responsive and responsible bidder in the amount of $147,254.75 to D’Pair Development, LLC. Yuma, Arizona. (Cmty Dev/Nbhd Svcs) • Authorize the purchase of post-sale engineering services and field engineer integration support, utilizing a Cooperative Purchase Agreement through the State of Arizona with Motorola Solutions, Inc., Chicago, Illinois for an estimated expenditure of $108,317.14. (GNT-26-335) (IT/YRCS) • Authorize the purchase, delivery, and installation of playground equipment for Carver and Clymer Park, utilizing a Cooperative Purchase Agreement through 1GPA in the amount of $410,607.61 to Altitude, Frederick, Colorado. (Parks CPA-25-211) (Pks & Rec/Proc) • Pulled for separate consideration; see above. • Resolution Consent Agenda Motion (Morales/Watts): To adopt the Resolution Consent Agenda as recommended. Pierson displayed the following title: Resolution R2026-026 A resolution of the City Council of the City of Yuma, Arizona, designating the Chief Fiscal Officer for officially submitting the Fiscal Year 2027 Annual Expenditure Limitation Report to the Arizona Auditor General (Pursuant to Arizona Revised Statutes § 41-1279.07(E).) (Fin) Roll call vote: adopted 7-0. • Adoption of Ordinances Consent Agenda Motion (Smith/McClendon): To adopt the Ordinances Consent Agenda as recommended. Pierson displayed the following titles: Ordinance O2026-015 An ordinance of the City Council of the City of Yuma, Arizona, authorizing the submission to the qualified electors of the City of Yuma a proposition to approve a permanent adjustment to the City’s base expenditure limitation at the November 3, 2026, General Election (Approval of Proposition 436 would permanently adjust the City’s base expenditure limit by $30 million.) (Admin/Fin) Ordinance O2026-016 An ordinance of the City Council of the City of Yuma, Arizona, amending Chapter 154 of the Yuma City Code, rezoning certain property located in the Residence Manufactured Housing (R-MH-20) District to the Medium Density Residential (R-2) District, and amending the zoning map to conform with the rezoning (Rezone approximately 0.43 acres located approximately 160 feet west of the northwest corner of 27th Street and 20th Avenue.) (Cmty Dev/Cmty Plng) Ordinance O2026-017 An ordinance of the City Council of the City of Yuma, Arizona, amending Chapter 154 of the Yuma City Code, rezoning certain properties located in the Heavy Industrial/Infill Overlay (H-I/IO) District to the Old Town/Infill Overlay (OT/IO) District, and amending the zoning map to conform with the rezoning (Rezone four properties ranging from 0.62 acres to 12.29 acres located at 2 E. 6th Street, 541 S. Gila Street, 599 S. Gila Street and the Southeast Corner of 6th Street and Gila Street.) (Cmty Dev/Cmty Plng) Ordinance O2026-018 An ordinance of the City Council of the City of Yuma, Arizona, ordering a Special Election to be held in conjunction with the 2026 General Election; designating the purpose, election date, voter registration deadline and providing for publicity pamphlets proposing a change to the City of Yuma Charter, Article IV, Elections (Approval of Proposition 437 would reduce the number of signatures required on nomination petitions for City elected office.) (Admin) Roll call vote: adopted 7-0. • Public Hearing – Budget Related Item MC 2026-106 – Public Hearing: Truth in Taxation, Main Street Mall and Off-Street Parking Maintenance District No. 1, Levy for 13 Municipal Improvement Districts (MID), and Final Budget Adoption for Fiscal Year 2027 (The proposed rates include a primary property tax rate of $2.1321, a rate of $4.4250 for the Main Street Mall and Off-Street Parking Maintenance District, and rates ranging from $0.25 to $1.80 for the MIDs.) (Fin) Mayor Nicholls opened the Public Hearing at 5:41 p.m. Allen presented the following information: • The tentative Fiscal Year (FY) 2027 budget totals $566.7 million in expenditures and is balanced with an equal amount of funding sources. • The Capital Improvement Program (CIP) represents the largest portion of the budget, with approximately 9% of total expenditures allocated to debt service associated with capital projects. • Budget funding sources include governmental revenues, grants, utility revenues, investment income, bond proceeds, and other sources. • Grants account for approximately 13% of total funding sources, including funding from the American Rescue Plan Act. Grant-funded programs will not proceed if the associated funding is not received. • Bond proceeds account for approximately 22% of total funding sources and are a primary funding source for capital improvement projects. • The Public Hearing provides an opportunity for public comment on the proposed budget before City Council considers adoption of the CIP and FY 2027 budget and introduction of the property tax levy ordinance. Motion (McClendon/Morales): To close the Public Hearing. Voice vote: approved 7-0. The Public Hearing closed at 5:43 p.m. Discussion • The City received State approval to begin charging the Basic Life Support ambulance rate and collecting the associated revenue. The estimated revenue had already been incorporated into the proposed FY 2027 budget in anticipation of State approval and was included as a contingency. (Mayor Nicholls/Simonton) • The proposed FY 2027 budget maintains the City's current property tax rate, which has remained unchanged for the past three years. Under the Truth in Taxation process, the City may reduce the rate during budget adoption but cannot increase it above the published amount. The last property tax rate increase occurred in 2020, and the rate has since either been reduced or maintained without further increases. (Morris/Allen) • Special Meeting: Discussion and possible action relating to the FY 2027 Final Budget Mayor Nicholls called the Special Meeting to order at 5:45 p.m. Resolution R2026-027 – Fiscal Year 2027 – Fiscal Year 2031 Capital Improvement Program (Adopt a resolution approving the FY 2027 - FY 2031 Capital Improvement Program, pursuant to the Yuma City Charter, Article XII, Section 11.) (Eng) Mayor Nicholls declared a conflict of interest on Resolution R2026-027, turned the meeting over to Deputy Mayor McClendon, and left the dais. Motion (Smith/Morris): To adopt Resolution R2026-027. Pierson displayed the following title: Resolution R2026-027 A resolution of the City Council of the City of Yuma, Arizona, adopting the Fiscal Year 2027 through Fiscal Year 2031 Capital Improvement Program (Adopt the City of Yuma Fiscal Year 2027–2031 Capital Improvement Program, establishing the City's five-year plan for capital projects, funding priorities, and infrastructure investments in accordance with the City Charter.) (Eng) Roll call vote: Adopted 6-0-1, Mayor Nicholls abstaining due to a conflict of interest. Resolution R2026-028 – Final Budget Adoption for Fiscal Year 2027 (Adopt the City of Yuma’s final budget for Fiscal Year 2027 in the amount of $566,762,519 which is comprised of a Capital Improvement Program Budget of $215,883,457; combined Maintenance Improvement Districts of $757,034 and Operating Expenditure / Expense Budget of $350,122,028; including Governmental and Enterprise operations. The adoption of the proposed budget resolution includes a 3% increase in solid waste fees and establishes the budgets for the Main Street Mall and Off-Street Parking Maintenance District No. 1.) (Admin/Fin) Motion (Morris/Smith): To adopt the Fiscal Year 2027 Annual Budget for the Capital Improvement Program in the amount of $215,883,457. Voice vote: approved 6-0-1, Mayor Nicholls abstaining due to a conflict of interest. Mayor Nicholls returned to the dais. McClendon declared a conflict of interest on the Fiscal Year 2027 annual budget for Visit Yuma and left the dais. Motion (Morales/Smith): To adopt the Fiscal Year 2027 Annual Budget for Visit Yuma in an amount not to exceed $901,500. Voice vote: approved 6-0-1, Deputy Mayor McClendon abstaining due to a conflict of interest. McClendon returned to the dais. Motion (Morris/Smith): To adopt Resolution R2026-028 approving the Fiscal Year 2027 Annual Budget in the amount of $349,977,562, which excludes funding for Visit Yuma and the Capital Improvement Program that was approved through the prior motions, and includes a primary levy rate of 2.1321. Pierson displayed the following title: Resolution R2026-028 A resolution of the City Council of the City of Yuma, Arizona, adopting estimates of proposed expenditures by the City of Yuma for the Fiscal Year 2027 beginning July 1, 2026 and ending June 30, 2027 (Tentative Annual Budget Fiscal Year 2027), which incorporates the budgets for each of the thirteen Improvement Districts; and declaring that such shall constitute the adopted budget of the City of Yuma for Fiscal Year 2027; adopting a three percent increase in both the residential solid waste fee and the environmental solid waste fee; declaring the necessity of Boards and Commissions; and authorizing employment of outside legal counsel (Approve the City of Yuma's Fiscal Year 2027 Annual Budget in the amount of $566,762,519, including operating, capital improvement, enterprise, and maintenance district budgets, and a 3% increase in solid waste fees) (Admin/Fin) Roll call vote: adopted 7-0. Mayor Nicholls adjourned the Special Meeting at 5:52 p.m. VI. Additional Budget Related Items Pierson displayed the following title: Ordinance O2026-019 An ordinance of the City Council of the City of Yuma, Arizona, fixing, levying, and assessing primary property taxes upon property within the City of Yuma subject to taxation, each in a certain sum upon each one hundred dollars of valuation, sufficient to raise the amount estimated to be required in the annual budget for the Fiscal Year 2027 less the amounts estimated to be received from other sources of revenue and the unencumbered balances from the previous fiscal year, providing a general fund; and fixing, levying, and assessing upon property subject to taxation within the boundaries of each of the respective Maintenance Improvement Districts numbered 100, 102, 104, 107, 108, 109, 110, 111, 112, 113, 115, 120, 124 and also upon property subject to taxation within the boundaries of the Main Street Mall and Off Street Parking Maintenance District No. 1, each in a certain sum upon each one hundred dollars of valuation, sufficient to raise the amount estimated to be required for the operation, maintenance, repair and improvement of the facilities of said District, all for the Fiscal Year beginning July 1, 2026 and ending June 30, 2027 (Establish the Fiscal Year 2027 property tax levies for the City of Yuma, including primary property taxes, the Main Street Mall and Off-Street Parking Maintenance District No. 1 levy, and Municipal Improvement District assessments, in accordance with the adopted FY 2027 budget, state law, and the City Charter.) (Admin/Fin) • Announcements and Scheduling Announcements Morales, Watts, Smith, Morris, Martinez, and Mayor Nicholls reported on events and meetings they have attended during the last two weeks and upcoming events of note. ____________ Scheduling – No meetings were scheduled at this time. • Summary of current Events Simonton reported the following events: • June 26th – High School Photography Gallery Opening at the Yuma Art Center • July 17th – Yuma Rocks Band Application Deadline • July 4th – America's 250 Fourth of July Fireworks Spectacular at Desert Sun Stadium • September 2026 – Yuma Rocks Concert at the Historic Yuma Theatre • Call to the Public Carlos Adams, City resident, encouraged the City to consider measures to help address rising living costs, and commented on public participation and the importance of residents being able to express concerns and engage in local government. Priscila Ruedas, City resident, expressed concerns regarding potential future development projects and encouraged transparency, public engagement, and opportunities for community input on economic development initiatives and their potential impacts on the community. • Executive Session Motion (Morales/McClendon): To recess into Executive Session. Voice vote: approved 7-0. The meeting recessed at 6:14 p.m. Mayor Nicholls reconvened the meeting at 8:20 p.m. with Joseph Estes, Special Legal Counsel, in attendance. • Legal/Personnel Matter Motion (Martinez/Morris): To place an item on the July 1 Council Meeting agenda to consider a possible formal censure resolution for Councilmember Arturo Morales. Voice vote: approved 6-0-1, Morales abstaining. Adjournment There being no further business, Mayor Nicholls adjourned the meeting at 8:20 p.m. No additional Executive Session was held. ________________________ Janet L. Pierson, City Clerk APPROVED: ________________________ Douglas J. Nicholls, Mayor Approved at the City Council Meeting of: ___________________________________ City Clerk: __________________________ Approved at the City Council Meeting of: ___________________________________ City Clerk: __________________________