SGEDC funding request dates back to 2021 totaling $103,000.

Members of the Globe City Council: Mayor Al Gameros, Vice Mayor Mike Stapleton (District 4), and Council members Freddy Rios (District 1), Mike Pastor (District 2), Jesse Leetham (District 3), Mariano Gonzalez (District 5), and Fernando Shipley (District 6). All members were in attendance at this meeting except Vice Mayor Stapleton and Councilman Pastor.

Numerous construction projects ongoing or soon to start across the city

The City of Globe has a large number of projects going on or soon to start, and Public Works Director John Angulo presented a rundown. Angulo pointed out that some will affect traffic control, and some might affect the school district or the hospital.

• Connie’s Bridge: This is the largest project, replacing the bridge next to Connie’s store near the community center. Angulo pointed out that the creek has been running, which has caused some delays. He said the posts for all the main supports have been drilled out, and the contractor has been doing cores to assess the stability of the concrete. For that reason, not much work is currently being done as the contractor waits for the results of the core tests. Currently the contractor expects to finish the work in October, but this could change if monsoon rains affect the work.
• Community Center Pool: Last week Public Works met with Structural, the contractor on the job, to develop a punch list. Some small things remain to be completed. Angulo said the pool might have to be closed for one day so all contractors can come in and do their work in one day. City Manager Paul Jepson pointed out that a 26-by-26-foot shade structure will be placed near the splash pad, to be paid for by Cobre Valley Regional Medical Center.
• City Hall Grounds Works: This project should be substantially completed by the end June, Angulo said. However, some items are on backorder, such as benches and playground equipment, and this could affect the final completion date.
• Hospital Roundabout: This project will begin in July. Angulo said the hospital will be affected, and Public Works will put out PSAs and put up a message board to notify people about the work.
• Hill Street School Renovation: The City issued a right of way and traffic plan in early June. Many of the plants have been saved and will be replanted, thanks to Debbie Yerkovich.
• Michaelson Building: Sun Valley Builders will mobilize on July 10, Angulo said. This project will affect some sidewalk access, and there may be street closures as the contractor brings in equipment.
• ADOT Highway Lighting: This refers to lighting on Main Street and by Fry’s. ADOT is waiting for lights, which are backordered. After completion the project will be turned over to the City to be maintained.
• Jess Hayes: This project is in the planning stages, and includes continuing sidewalks from the Connie’s Bridge work all the way to the Community Center. The project will include lighting.
• Fourth Street Water Line Replacement: This project is located near the old East Globe School, where water has been pouring onto the road, and is currently out to bid. Angulo said this is a two-inch line and the City is considering upsizing it to provide for potential future needs.
• Cemetery: An area has been set aside to provide additional spots, but the cemetery still needs additional capacity. Rick Engineering has been preparing designs and the City is close to going out to bid.
• Dickinson Water Line, Pasquale Water Line and Sewer Line, and Main Water Line: These projects have been completed.

City receives $3.1 million for Jess Hayes project

In a related motion, Council approved an intergovernmental agreement between ADOT and the City of Globe that would allow the City to accept a State of Arizona appropriation in the amount of $3,501,100 for sidewalk construction along Jesse Hayes Road and Six Shooter Canyon Road. The package will include the City providing a contingency match in the amount of $158,000.

Jepson pointed out that for two years the City has been working with Rural Transportation and CAG to fund a list of projects. Last year Rep. Cook, head of the house transportation committee, helped get the funds for the Jess Hayes project approved, which will be included in the City’s 2023-24 budget. The topic will be brought back at Council’s next meeting for final acceptance of the funds.

City hires financial consultant for 2023-2024

Council approved a one-year contract with Osuch Consulting for financial services for the next 12 months. Paul Jepson explained that the City’s current finance consultant, Pat Walker, is moving toward retirement. Osuch has already been working with Walker on Globe’s finances. 

Osuch will oversee the City’s financials but will not serve as finance director. He will be assisting with audit prep for 2022 and 2023, as well as implementing new government accounting standards. 

Osuch will be primarily working remotely but will come to Globe on an as-needed basis.

Mr. Osuch introduced himself and said he has worked in public accounting for over 26 years, and has worked with between 50 and 100 cities and towns across Arizona. 

His contract will begin on July 1 and is in an amount not to exceed $108,000, plus 5% for service-related incidentals. Jepson said the City is not budgeting for a finance director this year.

“Sound financial status is the lifeline of what we’re trying to accomplish, and so we really have to make sure that we do what we can to secure that. … To have a sound footing on our finances is so key to our sustainability.” Councilmember Freddy Rios

Councilman Gonzalez pointed out that the City needs to employee a number of accountants in order to meet state and federal standards so Globe can receive funds. Councilman Gonzalez said the City has to practice due diligence to keep the federal government happy, and he expects to see additional accounting hires in order to do that.

SGEDC increasing capacity to support local business

Linda Oddonetto, Globe’s Economic and Community Development Director and Director for SGEDC, appeared before the Council to present SGEDC bed tax distribution requests. Oddonetto took the occasion to present the history of the Southern Gila County Economic Development, a bed tax recipient, and its uses of the bed tax.

“It’s always been our intention…that we were helicoptering in to help build organizational capacity and strengthen our community relationships with our external stakeholders.” said Linda Oddonetto speaking as SGEDC Director.

Oddonetto also gave an update on SGEDC’s current activities:

• The SGEDC is now working with four organizations that will engage with them for multi-year organizational support, allowing them to bring in a full-time Economic Director. Oddonetto said the EDC expects to hire by the end of the year.
• In the past three years, SGEDC has provided $98,000 in three business loans to local businesses, including two new startups and one expansion. The SGEDC is currently processing four additional loan applications.
• The SGEDC has been providing microloans, which are made possible by USDA funds and has already lent nearly $100,000. To expand that program, SGEDC is seeking an additional $250,000 from USDA. 
• First Fridays have been an incredible incubator, Oddonetto said, and three vendors are looking to become brick-and-mortar. SGEDC is assisting.

Oddonetto introduced Maryn Belling, EDC’s accounting consultant. Belling said ECD has been holding off on submitting bed tax reports to ensure it is “living the bed tax values that this council and previous councils have expressed.”

The EDC’s bed tax requests are for the second through fourth quarters of FY21 in the total amount of $25,556.60, for the first through fourth quarters of FY22 in the total amount of $51,776.43, and for the first through third quarters of FY23 in the total amount of $26,319.39. The total of the requests is $103,000.

Fire station to be transferred from Globe to Tri-City

The Council considered and approved a draft quitclaim deed transferring ownership of the Canyon Fire Station on Jess Hayes Road to the Tri-City Fire District.

Chief Gary Robinson explained that Chief Brennan and the Tri-City FD have been working to improve the fire station. However, their ability was limited because they couldn’t obtain the finances to make those improvements. The quitclaim deed will remedy that problem.

According to the conditions of the quitclaim deed, the fire station will continue to provide services to the residents of Globe and people in the Tri-City fire district.

The fire station will also be required to participate as a customer in the pending sewer line project. Robinson said that the condition had already been met.

According to the quitclaim deed, Tri-City cannot sell the property to another entity that doesn’t provide fire services to the community. If Tri-City were to abandon the facility, it would revert to ownership by the City of Globe.

Motions approved

Council also motions for the following:

• Accounts payable in the amount of $942,694.40
• Approving a facility use permit to allow Eastern Arizona College to utilize the City of Globe Fire Station for classroom use for fire science and EMT courses from July 1, 2023, through June 30, 2024.
• Approving a facility use permit to allow Eastern Arizona College to use the City of Globe Active Adult Center as a classroom for art and physical conditioning courses from July 1, 2023, through June 30, 2024. Councilman Shipley pointed out that EAC has terminated its contract. Still, it is required to continue teaching classes to allow all students who have started a certificate program or degree to complete their work.
• Offering renewal of annual memberships with PHI Cares to all beneficiaries receiving City-paid benefits and extending membership to residents of city households, for a total annual amount not to exceed $19,000. Paul Jepson pointed out that this program is continuing from last year. Shelly Salazar said coverage is being renewed for 2,694 addresses at $7 per household, for a total of $18,858 for residential coverage, and for 119 employee addresses at $45 per address, for a total of $5,355. The total is $24,213. For residents, coverage covers air flights within the county, and for employees, it covers air flights within the state. Chief Robinson pointed out that PHI is currently the only aircraft in the area, but also that flights have been decreased substantially as more medical resources have become available locally. Mayor Gameros requested City staff to look into possible arrangements with other services, such as Method and Native Air.
• A request for a 229-square-foot wall sign located at 2250 US 60, the former Arizona Fitness location, now being taken over by Anytime Fitness. Zoning Administrator Dana Burkhardt explained that this would be an oversized sign, as the City code requires approval for wall signs over 100 square feet. However, the sign does meet the requirement that a wall sign can cover 2 square feet for every 1 linear feet of the building front. The facility has 114.5 linear feet, giving the company 229 square feet for the wall sign. Anytime Fitness will remove the existing roof sign over the entrance. P&Z recommended approval because the setback from the road justifies using a larger sign.
• A request to rezone ±1 acre of land, including two parcels, located at the northwest corner of E. South Street and E. Maple Street from the C-2 Intermediate Commercial zoning district to the Transitional Residential (TR) zoning district. Dana Burkhardt said P&Z recommends approval, and that a public hearing was held and no comments were received. This item was discussed at Council’s June 13 meeting and was brought back for final approval tonight.
• Accepting a grant award for a Growing Water Smart Technical Assistance Grant in the amount of $10,000. This grant will fund strategies to address water conservation. Connie Callaway, Grants Manager in the Economic and Community Development Department, explained that with this grant, the City is in a position to contract with the Planning Center for Water Policy for the region. In order to implement water conservation, the City has to have a policy in place, Callaway said. However, the region doesn’t have much water policy, and this grant could represent a first step in developing water policy for the entire region, Callaway said. Setting policy would also let the state know what Globe is doing, which would help the city obtain water-related funding.
• A change order for a contract with HT4 for the Bailey Waterline project for $1,636.02. Kenny Beckett explained that the contractor on this job had to do some extra potholing on the waterline.
• This is a change order for a contract with Rodriguez Construction for the Apache Peaks Booster Rehab project for $3,037.80. Vince Mariscal explained that Rodriguez has completed rehabbing the facility, putting new siding on the building, re-stuccoing it, and raising the roof. During construction, Rodriguez noticed that there was only one light on the structure, and some doors needed to be replaced. This change order covers the lighting and doors. 

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The Globe City Council meets every second and fourth Tuesday of the month at 6:00 p.m. at City Hall. The meetings are currently open to the public at 50% capacity. Members of the public are requested to wear a mask except when seated. Seating is limited to allow for social distancing.

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