090913IB.DOC

Informal Meeting Minutes
Monday, September 09, 2013 Board Members
10:00 AM Andrew Kunasek, Chairman, District 3
Denny Barney, Vice Chairman, District 1
BOARD OF SUPERVISORS Steve Chucri, District 2
Maricopa County, Arizona Clint Hickman, District 4
(and the Boards of Directors of the Flood Control District, Mary Rose Wilcox, District 5
Library District, Stadium District, Improvement Districts,
and/or Board of Deposit)
County Manager
Tom Manos
"The mission of Maricopa County is to Clerk of the Board
provide regional leadership and fiscally Fran McCarroll
responsible, necessary public services
to its residents so they can enjoy living
in healthy and safe communities.” Meeting Location
Supervisors' Conference Room
301 W. Jefferson, 10th Floor
Phoenix, AZ 85003
BOARD OF SUPERVISORS
The Board of Supervisors of Maricopa County, Phoenix, Arizona, convened in Informal Session at 10:00
AM on Monday, September 09, 2013, in the Supervisors' Conference Room, 301 W. Jefferson, 10th Floor,
Phoenix, AZ 85003, with the following members present: Denny Barney, District 1; Steve Chucri, District 2;
Clint Hickman, District 4; Andrew Kunasek, Chairman, District 3. Absent: Mary Rose Wilcox, District 5. Also
present: Fran McCarroll, Clerk of the Board; Shirley Million, Minutes Coordinator; Tom Manos, County
Manager; and David Benton, Legal Counsel.
PRESENTATION
Government Relations
1. COUNTY SUPERVISORS ASSOCIATION (CSA) 2013 LEGISLATIVE PRESENTATION
Presentation regarding the 2013 Legislative Session.(C-20-14-003-P-00)
Craig Sullivan, Executive Director, CSA
Lenore Stuart, Supervisor from Yuma County Arizona, and 2013 President of the County
Supervisors Association (CSA), introduced Robert Pickels, Yuma County Administrator and
the current Chair of the Yuma County Managers Association; and Craig Sullivan, Executive
Director of the Arizona County Supervisors Association. She explained that the association
works across county lines to accomplish county goals. She thanked the Board and Maricopa
County for the support they provide to CSA. Ms. Stuart welcomed the Board’s newest
members (Supervisors Chucri, Barney and Hickman) to their CSA membership and invited
each to become actively engaged in CSA activities. She briefed Members on the issues and
goals CSA was involved in during the past legislative session. She also asked Members for
feedback on ways CSA could support Maricopa County going forward.
Craig Sullivan said the County’s active participation in CSA makes it a stronger organization
and more able to better serve all Arizona Counties. He explained that every Member of the
Board of Supervisors has a vote in CSA matters.

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Monday, September 09, 2013
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Mr. Sullivan congratulated Supervisor Wilcox for the notable job she did in serving on the
CSA Executive Committee during the past year. He also thanked Chairman Kunasek for his
service as CSA President saying it had been a very effective period in their operation. He
remembered that both Supervisors had been helpful mentors to him when he first joined
CSA. He also thanked Supervisor Chucri for serving last year on the CSA Legislative Policy
Committee during the legislative session, citing all Maricopa County Supervisors as excellent
collaborators.
Mr. Sullivan also complimented the County’s Legislative Team, Rick Bohan, Amanda Nash
and Beth Lewallen, as “truly outstanding” saying the work they do for CSA benefits the whole
county effort across the state. He added that CSA exists to help Arizona counties achieve
their goals and the team’s efforts help them accomplish this.
Mr. Sullivan explained that CSA’s Executive Committee has six members, two each from the
state’s large, medium and small counties. Supervisor Wilcox is currently serving as the
Association’s First Vice President, representing the large counties. In November when the
current presidential term ends, current officers will move forward and CSA will take
nominations for a large county person to be elected as the new Third Vice President.
CSA holds an annual Legislative Policy Summit. The 2012 Summit was in Sierra Vista and
the 2013 summit will be held in Payson, AZ on October 14-16. Mr. Sullivan commented on
the activities during the past year and set the course for CSA service to Counties during the
coming year. He said CSA is at a key planning point in preparing for the next legislative
session and Maricopa County’s Government Relations’ staff are already working on 2014. He
added that all priorities will be brought together soon in a strategic direction that will create
the most success for every county.
The counties set directives to the CSA Staff at the 2012 CSA Summit as follows:
Budget: #1 Priority
Advance client-initiated CSA sponsored legislation
Engage legislation that impacts county resources, services or authorities
Mr. Sullivan said that all 15 counties signed a letter in mid-April 2013 that restated county
priorities. He pointed out that Arizona counties are still in a recessionary mode due to the
lingering effect of the property tax base collapse. He feels that state lawmakers and the
governor are aware of the issues affecting counties but while awareness has been elevated
the results were not as robust as he had hoped.
Mr. Sullivan explained that there are still structural imbalances in the state budget partly
because lawmakers still consider themselves “resource poor.” This will affect future budget
allocations and he felt the state’s financial situation should continue to be closely monitored
for anything that could impact Maricopa County.
In fiscal year 2008, as the State of Arizona faced an economic crisis, legislators started
tapping large county resources. In the past seven years the state has moved at least $215
million from the Maricopa County Operating Budget to the state budget.-
Mr. Sullivan referenced the deposition of certain House and Senate bills that Maricopa
County was interested in saying that HB 2138, HB 2430 and SB 1098 were successfully
enacted into law. The bills of interest that did not advance included HB 2124, HB 2175 and
SB 1284. He said the legislation having the most meaningful affect in Maricopa County was
probably HB 2430, which dealt with immunization reimbursement for those having insurance.

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Monday, September 09, 2013
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The biggest issue was in the reform of the state’s Transaction Privilege Tax (TPT).
He explained the importance of Reactive Advocacy in trying to build partnerships between the
County, state lawmakers and authors of bills that impact counties. He noted that Governor
Brewer was formerly a County Supervisor from Maricopa County and has always been a
great supporter of Arizona’s counties.
Mr. Sullivan said the partnership between the state and its counties has been improving now
that the recession is nearing its end: however, there was significant animosity within the body
about the outcome of this year’s final budget that he considered to be extraordinary and
which he will continue to monitor.
CSA is currently focusing on the state’s financial situation to learn of any exposure to
counties such as the effect from the implementation of the Medicaid Expansion.
Discussion ensued regarding the continuing concerns about the state taking resources from
the “big five” counties in times of trouble (Maricopa, Pinal, Yavapai, Mohave and Pima) with
Maricopa and Pima as the primary targets and the other counties being slowly added to the
group. Chairman Kunasek said that it has often been found that it is the Maricopa County
legislators who are the first to take resources from Maricopa County.
Management and Budget
2. ECONOMIC UPDATE BY ELLIOTT D. POLLACK
Economic update by Elliott D. Pollack (C-49-14-002-P-00)
Elliott Pollack told Members that the annual growth of Maricopa County’s Gross Domestic
Product is still below average and he therefore must continue to refer to the last four years of
the County’s economic recovery as anemic and mediocre. He added that the economy is
continuing to slowly expand and with no significant imbalances the expansion is likely to
continue and even accelerate.
Consumers are paying down their previously accumulated credit card debt with the exception
of auto debt, and they consequently have less money to spend. He said the United States
has not been at this debt level since the early 1980s and consumers are becoming very
cautious. He said that real disposable income has been fluctuating but is still growing at a low
2%.
A large percent of the new jobs market has been part-time rather than full-time and is still
below average but it also is slowly improving. He said the good news is that housing prices
and the stock market are both up from a year ago.
Household net worth lost seven years before it began to grow and is again up to where it was
in 2006. Liquid assets have moved toward recovery. Banks are starting to normalize and are
easing interest rates on prime residential, consumer and business loans.
Mr. Pollack said business and corporate cash flow is up from the last quarter and business is
now able to finance itself fairly easily. Businesses are spending on technical equipment which
makes employees more productive. Some investment in new plants is due to begin.
Government spending is down at the federal, state and local levels but federal spending is

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Monday, September 09, 2013
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still high by historic levels. Mr. Pollack felt that most major issues at the federal level, (the
deficit, the Affordable Care Act, Social Security, pensions) will not be dealt with until some
unforeseeable future date.
He reported that Arizona “made a miraculous comeback” and is again in the top 10 in job
growth for all metro areas greater than one-million. In 2006 Arizona was 2nd nationally in
terms of job growth. By 2010 Arizona had fallen to 49th and is currently back up to around 4th.
Arizona’s population is growing rapidly relative to other places, but it is slow relative to the
State’s previous growth. The Phoenix-Mesa employment growth went from 24th (last) in 2010
to 5th in 2013 (to date). It was first in job growth from 1994-1999 and also in 2005 and 2006.
Five years ago Phoenix lost 151,700 jobs. This job loss was greater than the national
average. When population flow stops the need for new jobs also stops. Phoenix had a “lost
decade” when population growth declined drastically. This caused a slow-down in every area
with construction being hit the hardest. Over the last 12 months, 53,100 jobs were created in
Greater Phoenix.
Nationally over 77% of all the jobs lost in the recession have been recovered. Arizona and
also Greater Phoenix has only recovered 47% of the jobs lost. Mr. Pollack said that Phoenix
is expected to reach a “normal” employment level again in 2015 or early 2016. Along with
slow job growth and the significant declines in population growth, Phoenix jobs were also
affected by the number of people who delayed their retirements. There was also a steep
housing decline with difficulties in selling homes and also in qualifying for loans.
Arizona Public Service has experienced a drastic drop and the slowest growth in hook-ups in
50 years. Recovery is underway. Population is expected to increase by 2% next year, which
is very slow by Arizona standards but is still an increase.
Housing prices are in the process of normalizing after the decline caused by excessive
inventory. There were 60,000 excess housing units in 2011. This excess should be sold by
2015 and as new houses are built prices will stabilize and increase. Housing prices are
affordable now and there is a pent-up demand for affordable housing.
The amount of available office and industrial space is good and any significant office
construction should be delayed until 2016.
Mr. Pollack said that retail industries are finally starting to absorb their built-up inventory.
Millions of square feet of retail space have been absorbed since 2006 but there is still vacant
retail space available. Major companies are coming in and using Phoenix as a supply
headquarters and the decline in vacancies is about to end. Retail sales remain historically low
but auto sales continue to do very well, and this is likely to continue.
Mr. Pollack explained that Arizona is in the high risk category for federal spending cuts
because 6.7% of the State’s budget comes from federal spending compared with 5.3%
nationally. A recession is not expected; the economy is improving in both absolute and
relative terms and he expects “Arizona to have its first decent year in decades in 2015.”
Supervisor Chucri asked about the expected impact of increased interest rates locally and
nationally when finances improve.
Mr. Pollack replied that as interest rates go up marginally people can be priced out of market.
He felt it would be unwise to raise interest rates because it would undo all the progress that
has been made during the last couple of years. He expects continuing low inflation, a slow

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Monday, September 09, 2013
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economy and slow employment growth.
Supervisor Hickman spoke of the generation that still lives with their parents and wondered if
there has been a shift towards communal living in our culture.
Mr. Pollack said that surveys still suggest that emerging generations want to live in a single
family home and do not want communal living. They will begin with a smaller home in areas
where they can qualify for the loan.
ACTION
Superintendent of Schools- Education Service Agency
3. AMENDMENT TO THE “MARICOPA COUNTY 2013 TAX LEVY” PACKET
Approve an amendment to the “Maricopa County 2013 Tax Levy” Packet approved by the Board
of Supervisors, by resolution, on August 21, 2013 under C-06-14-047-7-00. This amendment will
correct the secondary tax levy and tax rates for the Wickenburg Unified School District #9.
The Wickenburg Unified School District #9 overstated its cash on hand due to a scheduling of a
bond payment. This overstatement changed the amount needed to be raised by taxation. Based
on the amended cash on hand, the tax levy packet will be amended as follow:
Maricopa County
School District Debt, Override, and Special Tax Levies
Secondary Roll
Fiscal Year 2013-14
2013
SECONDARY 2013 NET 2013
PROPERTY ASSESSED DISTRICT SECONDARY
DISTRICT TAX LEVY VALUE NUMBER TAX RATE
Wickenburg #9
Voter Override-Capital
Outlay 0
Voter Override - M&O 623,671 .3885
Class A bonds 153,223 .0955
1,167,875 0.7275
Class B bonds 112,397 .0700
707,635 0.4408
Total 889,291 160,522,692 .05540
2,499,181 07009 1.5568
In addition, direct the County Treasurer to make corresponding changes in the affected tax bills.
(C-06-14-047-7-01)

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Monday, September 09, 2013
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The Clerk announced: that Marc Kuffner of MCESA explained the Wickenburg School District
reported an error in the district calculated taxes and the amount of their cash balance. She
said the affected tax bills have been set aside until any necessary action is taken by the
Board. The tax rate, override and special tax levies for the Wickenburg School District would
be adjusted before the tax bills go out to the Wickenburg residents and there would be no
charge for an amended tax bill. The Treasurer is mailing all other tax bills currently.
Motion to approve this amended Wickenburg Tax Levy for 2013 by Supervisor Hickman,
seconded by Supervisor Chucri
Ayes: Kunasek, Barney, Chucri, Hickman
Absent: Wilcox
4. EXECUTIVE SESSION
Vote to convene in Executive Session to consider items on the Executive Agenda dated
September 09, 2013, for Board of Supervisors and relevant Special Districts pursuant to statutory
authority listed for each item.
Motion to approve by Supervisor Chucri, seconded by Supervisor Barney
Ayes: Kunasek, Barney, Chucri, Hickman
Absent: Wilcox
MEETING ADJOURNED
After discussion on the executive Session items, and there being no further business to come before the
Board, the meeting was adjourned.
__________________________________
Andrew Kunasek, Chairman of the Board
ATTEST:
_____________________________
Fran McCarroll, Clerk of the Board