Minutes of the Study Session of March 20, 2023
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Meeting Minutes
City Council Study Session
March 20, 2023 | 6:00 p.m.
Chandler City Council Chambers
88 E. Chicago St., Chandler, AZ
Call to Order
The meeting was called to order by Mayor Kevin Hartke at 6:12 p.m.
Roll Call
Council Attendance
Appointee Attendance
Mayor Kevin Hartke
Josh Wright, City Manager
Vice Mayor Matt Orlando
Kelly Schwab, City Attorney
*Councilmember OD Harris
Dana DeLong, City Clerk
Councilmember Mark Stewart
Councilmember Christine Ellis
Councilmember Jane Poston
Councilmember Angel Encinas
*Councilmember Harris attended telephonically.
Consent Agenda and Discussion
Discussion was held on Items 2 and 9.
City Clerk
1.
Board and Commission Appointments
Move City Council approve the Board and Commission appointments as recommended.
City Manager
2.
Introduction and Tentative Adoption of Ordinance No. 5048, Amending City Code Chapter
22 – Short-Term Rentals, Related to the Regulation of Short-Term Rentals
Move City Council tentatively adopt Ordinance No. 5048, amending the Code of the City of
Chandler by amending Chapter 22 – Short-Term Rentals, providing for the repeal of
conflicting ordinances; providing for severability; and providing for penalties.
Page 2 of 10
COUNCILMEMBER STEWART asked for a presentation.
RYAN PETERS, Strategic Initiatives Director, presented the following presentation.
• City of Chandler Proposed Code Amendments - Short Term Rentals (STR)
• 2016 Legislation: SB1350
o Prohibited from regulating vacation rentals based on classification, use or occupancy
o Preempted from banning STRs
o Did not affect HOA CC&Rs
o Provided limited health and safety oversight
o Established transient lodging tax collection
• STRs & Common Concerns
o Common calls for service to short term rentals include:
Parking Violations
Liquor Violations
Noise Complaints
• 2019 Legislation: HB2672
o Established verified violation process
o Allowed collection-n of owner contact information by a local government
o Prohibited operation and advertising without a TPT license
o Prohibited special events that would require a permit
o Mayor and Council Final Adopted Ordinance 4939 and added Chapter 22 -Short Term
Rentals on October 12, 2020
• Unintended Consequence: Difficult Enforcement System
o Verified Violation System proved challenging to execute on
o Difficult to hold STR owners accountable for renters bad behavior
o Municipalities and neighborhoods unable to regulate due to current statute
o Public attention brought desire for additional legislation
• Short Term Rentals in Chandler
o 299 STRs currently on the Chandler registry
o 131 calls for service at 46 identified rental properties (2022)
• 2022 Legislation: SB 1168
o Requires STR operators to obtain a license (as opposed to joining a registry) and be
subject to a nonrefundable application fee and annual license fee
o Prohibits STRs from being used for non-residential uses
o Requires a point-of-contact to be available for emergencies or non-emergency
complaints
o Requires written neighbor notification to all surrounding residential properties
o Requires license and contact information to be conspicuously placed in the rental
o Allows a municipality to suspend an STR license for repeated violations
• Short Term Rental Workflow
o Resident Contacts City
o Officer dispatched and takes appropriate action
Page 3 of 10
Non-enforcement calls documented or sent to code enforcement for follow up
Enforcement calls result in civil or criminal complaints forwarded to City
Prosecutor
o Case tracked by PD through final court disposition
o City notifies owner of violation and issues penalty
City previously required to notify Department of Revenue for enforcement of
penalty
o Owner has 10 calendar days to appeal decision through written note
• Ordinance Update Process
o January 23 – February 6 | Public Comment
18 total comments
15 support
2 don’t support
1 other
o February 9 | Council Subcommittee
Policy recommendations include education first and a voluntary compliance
model
o March 20 | Council Consideration
o August 1 | Delayed effective date
o License fees considered at a later date
COUNCILMEMBER STEWART said there is a $250 tax to apply for this license.
MR. PETERS said that the amount is an application fee, to be considered later.
COUNCILMEMBER STEWART said this is a minimal fee.
MR. PETERS said that the fee offsets the cost of administering the short-term rental program.
COUNCILMEMBER STEWART asked how violation would be enforced.
MR. PETERS answered that law enforcement will respond to complaints, and then it is entered into
the verified violation process workflow. The owner has an adjudication process to demonstrate
responsibility for their tenants. Law enforcement can also call the owner to address the situation
there.
COUNCILMEMBER STEWART asked who decides to pull the license.
MR. PETERS said the decision is the city’s through its enforcement.
COUNCILMEMBER STEWART asked if there are any rules in place for enforcement.
Page 4 of 10
MR. PETERS said that there are general rules, and to follow the established voluntary compliance
philosophy.
COUNCILMEMBER STEWART said that the result would be to suspend short term rentals at that
location.
MR. PETERS said that we cannot permanently suspend licenses. There is a 12-month suspension
that is applied to the license.
MAYOR HARTKE asked if there is any mechanism to encourage rentals to register.
MR. PETERS said that it has been a challenge to encourage registration. It is currently illegal to
operate without a license.
MAYOR HARTKE asked about education opportunities available for homeowners.
MR. PETERS said that to list a home for rent on Airbnb or VRBO you are required to demonstrate
the license and tax license with the Department of Revenue.
VICE MAYOR ORLANDO commented that the industry and government must work together for
compliance.
3.
Resolution No. 5659 Authorizing the Execution of a License to Use Salt River Project
Property, Located at the Consolidated Canal between Germann Road and Chandler
Boulevard, to Conduct the Annual City of Chandler Family Bike Ride
Move City Council pass and adopt Resolution No. 5659 authorizing the execution of a
license to use Salt River Project property, located at the Consolidated Canal between
Germann Road and Chandler Boulevard, to conduct the annual City of Chandler Family Bike
Ride Event.
Cultural Development
4.
Resolution No. 5674 Authorizing Modification of the Assessment Diagram for the
Downtown Chandler Enhanced Municipal Services District
Move Council adopt Resolution No. 5674 authorizing Modification of the Assessment
Diagram; making a Statement and Estimate of Expenses for the Downtown Chandler
Enhanced Municipal Services District; completing the Assessment; setting the Date for the
Hearing On The Assessment; and ordering the Giving of Notice of Such Hearing.
Development Services
5.
Introduction of Ordinance No. 5050, PLH22-0065 Vivas Property, Rezoning from Agricultural
District (AG-1) to Planned Area Development (PAD) for Single-Family Residential, Located at
the Southwest Corner of Pecos and Cooper Roads
Page 5 of 10
Rezoning
Move City Council introduce and tentatively adopt Ordinance No. 5050 approving PLH22-
0065 Vivas Property, Rezoning from Agricultural District (AG-1) to Planned Area
Development (PAD) for Single-Family Residential, subject to the conditions as
recommended by Planning and Zoning Commission.
Preliminary Development Plan
Move City Council approve Preliminary Development Plan (PDP) PLH22-0065 Vivas
Property, for site layout and building architecture, subject to the conditions as
recommended by Planning and Zoning Commission.
6.
Resolution No. 5668, Authorizing a License Agreement between Qwest Corporation, dba
CenturyLink QC, and the City of Chandler to Allow for Overlashing of Existing Aerial Plant in
the City's Rights-of-Way
Move Council adopt Resolution No. 5668, authorizing the Mayor to execute the license
agreement between Qwest Corporation, dba CenturyLink QC, and the City of Chandler to
allow for overlashing of existing aerial plant in the City's rights-of-way, and authorizing the
City Manager or designee to execute other documents as needed to give effect to the
agreement.
7.
Use Permit, PLH22-0005 Crown Castle Wireless, for Installation of a Wireless
Telecommunication Facility, Located at 2055 S. Stearman Drive at the Southeast Corner of
Germann Road and Stearman Drive, Approximately 1/4 Mile West of Gilbert Road
Move City Council approve Use Permit, PLH22-0005 Crown Castle Wireless, subject to the
conditions recommended by Planning and Zoning Commission.
8.
PLT21-0057 Final Plat of Parkside, Located South of the Southwest Corner of Frye Road and
Cooper Road
Move City Council approve PLT21-0057 Final Plat of Parkside, as recommended by staff.
Economic Development
9.
Resolution No. 5669, Approving an Uncrewed Aircraft Systems Pilot Project in West
Chandler
Move City Council pass and adopt Resolution No. 5669 approving an Agreement between
the Maricopa Association of Governments and the City of Chandler to consent to an
uncrewed aircraft systems pilot project conducted by Airspace Link; and approving a related
Pilot Project Agreement between Airspace Link and the City of Chandler.
COUNCILMEMBER ELLIS asked for a presentation.
Page 6 of 10
MICAH MIRANDA, Economic Development Director, explained that this is a pilot program through
Maricopa Association of Governments and Airspace Link to test the efficacy of Unmanned Aerial
Vehicle airway transport.
RYAN KAUP, Economic Development Project Manager, shared that the City was first approached
by Airspace Link 11 months ago with interest in a pilot program. The plan is to distribute medical
supplies from a pharmaceutical distributor and an assisted living facility. UAV is regulated by the
FAA, and are allowed to conduct this flight by right. MAG will be providing funding and asked for
the city to consent to the program. The flights are below 400 ft, 4 – 6 flights a day for a total of
seven days over two weeks. It will be a five-minute flight. Airspace Link has met with City
departments to discuss public safety. It is expected to occur during this summer. There is no cost
to the City.
COUNCILMEMBER ELLIS commented that this item is an exciting development for Chandler.
VICE MAYOR ORLANDO shared a concern about traffic.
MR. KAUP said that drone flights are being communicated, part of MAG funding stipulates a
communication plan by the City. The limited times of operations should limit traffic concerns. We
can review feedback on the program and go from there.
VICE MAYOR ORLANDO asked if the flight operators have insurance.
MR. KAUP said that Airspace Link does have insurance.
COUNCILMEMBER STEWART shared that this is a unique sustainable solution.
MAYOR HARTKE said the route looks like it avoids residential areas, we will communicate with any
potential stakeholders.
COUNCILMEMBER ELLIS asked if Chandler is the only city in Arizona to have a program like this.
MR. KAUP said we are the only city conducting a pilot program like this, there have been limited
flights elsewhere, but this will let us get more involved with future programs.
Facilities and Fleet
10.
Agreement No. FS0-060-4131, Amendment No. 3, for OEM Auto Parts and Service
Move City Council approve Agreement No. FS0-060-4131, Amendment No. 3, with Tex
Chevrolet, dba Earnhardt Chevrolet; Earnhardt Enterprises, dba Earnhardt Toyota Scion;
Earnhardt Gilbert Dodge, Inc., dba Earnhardt Chrysler Dodge Jeep Ram; Earnhardt Chandler
Cadillac, Inc.; and Earnhardt Ford Sales Company, for OEM auto parts and service, for a
Page 7 of 10
period of one year, April 1, 2023, through March 31, 2024, in a combined total amount not
to exceed $350,000.
Management Services
11.
New License Series 12, Restaurant Liquor License Application for Vijay Kumar Kandukuri
Venkateshwarlu, Agent, Nakshatra Treats, LLC, DBA Biryani Pot
Move for recommendation to the State Department of Liquor Licenses and Control for
approval of the State Liquor Job No. 229383, a Series 12, Restaurant Liquor License, for Vijay
Kumar Kandukuri Venkateshwarlu, Agent, Nakshatra Treats, LLC, DBA Biryani Pot, located
at 2820 S. Alma School Road, Suite 15, and approval of the City of Chandler, Series 12,
Restaurant Liquor License No. 304794.
12.
New License Series 12, Restaurant Liquor License Application for Juanita Alicia Esparza,
Agent, Buqui Bichi Chandler, LLC, DBA Buqui Bichi
Move for recommendation to the State Department of Liquor Licenses and Control for
approval of the State Liquor Job No. 231394, a Series 12, Restaurant Liquor License, for
Juanita Alicia Esparza, Agent, Buqui Bichi Chandler, LLC, DBA Buqui Bichi, located at 325 S.
Arizona Avenue, Suite 2, and approval of the City of Chandler, Series 12, Restaurant Liquor
License No. 304808.
13.
New License Series 12, Restaurant Liquor License Application for April Risa Hirschi, Agent,
BJ's Restaurants Inc., DBA BJ's Restaurant & Brewhouse
Move for recommendation to the State Department of Liquor Licenses and Control for
approval of the State Liquor Job No. 218519, a Series 12, Restaurant Liquor License, for April
Risa Hirschi, Agent, BJ's Restaurants Inc., DBA BJ's Restaurant & Brewhouse, located at 7151
W. Ray Road, and approval of the City of Chandler, Series 12, Restaurant Liquor License No.
304791.
Mayor and Council
14.
Resolution No. 5675, City Council Rules and Procedures
Move City Council adopt Resolution No. 5675 amending City Council Rules and Procedures.
Police Department
15.
Resolution No. 5671 Pertaining to the Submission of Projects for Consideration in Arizona's
2024 Highway Safety Plan
Move City Council pass and adopt Resolution No. 5671 pertaining to the submission of
projects for consideration in Arizona's 2024 Highway Safety Plan and authorize the Chief of
Police to conduct all negotiations and to execute and submit all documents necessary in
connection with such grant.
Public Works and Utilities
Page 8 of 10
16.
Resolution No. 5660 Approving the Abandonment of a Portion of the Temporary Drainage
and Retention Easements No Longer Needed for Public Use Located on the Southeast
Corner of Arizona Avenue and Balsam Drive
Move City Council pass and adopt Resolution No. 5660 approving the abandonment of a
portion of the temporary drainage and retention easements no longer needed for public
use located on the southeast corner of Arizona Avenue and Balsam Drive.
17.
Professional Services Agreement No. WW2211.451, with Wilson Engineers, LLC, for the
Ocotillo Water Reclamation Facility Influent Pump Station Odor Control Construction
Management Services
Move City Council award Professional Services Agreement No. WW2211.451, to Wilson
Engineers, LLC, for the Ocotillo Water Reclamation Facility Influent Pump Station Odor
Control Construction Management Services, in an amount not to exceed $498,330.
18.
Construction Manager at Risk Agreement No. WW2211.401, with MGC Contractors, Inc., for
the Ocotillo Water Reclamation Facility Influent Pump Station Odor Control
Move City Council award Construction Manager at Risk Agreement No. WW2211.401, to
MGC Contractors, Inc., for the Ocotillo Water Reclamation Facility Influent Pump Station
Odor Control, in an amount not to exceed $7,815,392.50.
19.
Professional Services Agreement No. ST2307.201, with EPS Group, Inc., for the Union Pacific
Railroad (UPRR)/Willis Road Improvements Design Services
Move City Council award Professional Services Agreement No. ST2307.201 to EPS Group
Inc., for the Union Pacific Railroad (UPRR)/Willis Road Design Services, in an amount not to
exceed $190,641.50.
20.
Professional Services Agreement No. ST2301.201, with EPS Group, Inc., for the Armstrong
Way and Hamilton Street Improvements Design Services
Move City Council award Professional Services Agreement No. ST2301.201, to EPS Group
Inc., for the Armstrong Way and Hamilton Street Improvements Design Services, in an
amount not to exceed $143,998.50.
21.
Professional Services Agreement No. ST2308.201, with NFra, Inc., for the Delaware Street
Parking Lot Design Services
Move City Council award Professional Services Agreement No. ST2308.201, to NFra, Inc., for
the Delaware Street Parking Lot Design Services, in an amount not to exceed $194,793.
22.
Professional Services Agreement No. WA2106.271, with Dick & Fritsche Design Group, Inc.,
for the Pecos Surface Water Treatment Plant Administration Building HVAC and Water
Quality Lab Renovation Post-Design Services
Move City Council award Professional Services Agreement No. WA2106.271, to Dick &
Fritsche Design Group, Inc., for the Pecos Surface Water Treatment Plant Administration
Page 9 of 10
Building HVAC and Water Quality Lab Renovation Post-Design Services, in an amount not
to exceed $116,351.50.
23.
Construction Manager at Risk Agreement No. WA2106.401, with Caliente Construction, Inc.,
for the Pecos Surface Water Treatment Plant Administration Building HVAC and Water
Quality Lab Renovation
Move City Council award Construction Manager at Risk Agreement No. WA2106.401, to
Caliente Construction, Inc., for the Pecos Surface Water Treatment Plant Administration
Building HVAC and Water Quality Lab Renovation, in an amount not to exceed $1,319,649.
24.
Construction Services Contract No. 4215045, Project No. ST1616, with Salt River Project, for
the Ocotillo Road Improvements, Gilbert Road to 148th Street
Move City Council award Construction Services Contract No. 4215045, Project No. ST1616,
to Salt River Project, for the Ocotillo Road Improvements - Gilbert Road to 148th Street, in
an amount not to exceed $425,572.
Briefing and Discussion
27.
Discussion and Direction to Staff Regarding Ideas for Further Revenue Cuts to Provide
Assistance to the Citizens of Chandler as Discussed in the Budget Meetings, as requested
by Councilmember Stewart
Informational
28.
January 18, 2023, Planning and Zoning Commission Meeting Minutes
29.
Special Event Liquor Licenses and Temporary and Permanent Extensions of Liquor
License Premises Administratively Approved
30.
Contracts and Agreements Administratively Approved, Month of February 2023
Adjourn
The meeting was adjourned at 6:35 p.m.
ATTEST: _______________________
______________________________
City Clerk Mayor
Approval Date of Minutes: April 13, 2023
Page 10 of 10
Certification
I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Study
Session of the City Council of Chandler, Arizona, held on the 20th day of March 2023. I further
certify that the meeting was duly called and held and that a quorum was present.
DATED this _______ day of April, 2023.
__________________________
City Clerk