February 5, 2021

NOTICE OF A REGULAR MEETING OF THE LEAGUE OF ARIZONA CITIES & TOWNS EXECUTIVE COMMITTEE

Friday, February 5, 2021 at 10:00 a.m. Via Zoom Video/Audio Conferencing

Notice is hereby given to the members of the Executive Committee and to the general public that the Executive Committee will hold a meeting open to the public on February 5, 2021 at 10:00 a.m. Members of the Executive Committee will attend by Zoom Audio/Video conferencing. The Executive Committee may vote to recess the meeting and move into Executive Session on any item on this agenda. Upon completion of Executive Session, the Executive Committee may resume the meeting, open to the public, to address the remaining items on the agenda. A copy of the agenda is available at the League office building in Suite 200 or on the League website at www.azleague.org. Agenda

All items on this agenda are scheduled for discussion and possible action, unless otherwise noted.

Call to Order; Pledge of Allegiance

1. Review and Adoption of Minutes

2. Nominating Committee Recommendations for new Executive Committee Members

3. Legislative Policy Overview and Session Update

4. Report from League Budget Subcommittee

5. Review of 2020-2021 Work Plan

Additional informational materials are included in the agenda packet but are not part of the agenda.

EXECUTIVE COMMITTEE MEETING Friday, February 5, 2021

Agenda Item #1 Review and Adoption of Minutes

Summary: Minutes of the previous meeting are enclosed for your review and approval.

Responsible Person: President Cathy Carlat

Attachment: November 20, 2020 Executive Committee Minutes

Action Requested: Approval MINUTES LEAGUE OF ARIZONA CITIES AND TOWNS EXECUTIVE COMMITTEE MEETING Friday, November 20, 2020 Zoom

MEMBERS

President Cathy Carlat, Mayor, Peoria*

Vice President Douglas Nicholls, Mayor, Yuma

Treasurer Greg Mengarelli, Mayor, Prescott

Tom Brady, Mayor, Bullhead City Kate Gallego, Mayor, Phoenix Craig McFarland, Mayor, Casa Grande Gail Barney, Mayor, Queen Creek Kevin Hartke, Mayor, Chandler W.J. "Jim" Lane, Mayor, Scottsdale Coral Evans, Mayor, Flagstaff Sandy Moriarty, Mayor, Sedona Jerry Weiers, Mayor, Glendale Daryl Seymore, Mayor, Show Low Georgia Lord, Mayor, Goodyear Rick Mueller, Mayor, Sierra Vista Thomas L. Schoaf, Mayor, Litchfield Park Bob Rivera, Mayor, Thatcher Ed Honea, Mayor, Marana Anna Tovar, Mayor, Tolleson* Christian Price, Mayor, Maricopa Regina Romero, Mayor, Tucson* John Giles, Mayor, Mesa

*not in attendance

Vice President Douglas Nicholls called the meeting to order at 10:04 a.m. He then led the Executive Committee in the Pledge of Allegiance.

1. REVIEW AND ADOPTION OF MINUTES Vice President Douglas Nicholls requested a motion on the adoption of the minutes. Mayor Greg Mengarelli moved to approve the minutes of the September 10, 2020 Executive Committee Meeting; Mayor Bob Rivera seconded the motion and it carried unanimously.

8. EXECUTIVE DIRECTOR REVIEW Vice President Douglas Nicholls moved item 8 up and requested a motion to move into executive session. Mayor Greg Mengarelli moved to recess into executive session; Mayor Jerry Weiers seconded the motion and it carried unanimously.

Following the Executive Session, Vice President Douglas Nicholls welcomed everyone back into the executive committee meeting and noted the executive director review accurately reflected the opinions of those in the executive session. Vice President Nicholls thanked League Executive Director Tom Belshe for his work and the executive committee is excited to continue to work with Executive Director Belshe.

2. ELECTION RESULTS/ LEGISLATIVE POLICY OVERVIEW AND UPDATE

League Vice President Douglas Nicholls welcomed League Legislative Director Nick Ponder to provide the legislative policy update.

Legislative Director Nick Ponder let the Executive Committee know that there was a nationwide voter turnout of more than 156 million people, which was a large jump in overall voter turn out. In Arizona there was an 80 percent voter turnout, which was also higher than previous years. Legislative Director Ponder directed the Executive Committee to their packets, which contained details regarding the 2020 election results; he then reviewed the results and discussed challenges the League’s Legislative Team might face this session.

Mr. Ponder mentioned that both Proposition 207 and 208 had passed and indicated a model city ordinance was created for cities and towns prior to the election in preparation for Proposition 207 passing. He also let the Executive Committee know that the Municipal Policy Statement was drafted and provided a copy for review.

Mr. Ponder gave kudos to the cities and towns for all of the programs being created with the CARES Act funding and for distributing money out to their communities, where it is needed. Positive feedback has been given from the House and Senate leaders to cities and towns for how quickly the funds have been distributed.

In the 2021 session, outside of the resolutions, we will likely see the cancer presumption bill, which was being held up in the House when legislation was suspended due to COVID. An opportunity may be available to get funding to put this program into place. At the statewide level, it is important to figure out how the pandemic is going to affect everyone.

3. REACAP OF 2020 VIRTUAL ANNUAL CONFERENCE

League Vice President Douglas Nicholls called upon League Deputy Director Matt Lore to provide a recap of the 2020 virtual annual conference.

Deputy Director Matt Lore reminded the Executive Committee the in-person annual conference was cancelled and a virtual conference was created in place of it. This virtual conference was an abbreviated version of the in-person conference, which was held over four days. Deputy Director Lore provided the Executive Committee with the survey results from conference participants. Although there was a small turn out of survey participants, it contained all positive comments. Looking forward to the 2021 conference, the League plans to hold some type of in-person conference, even if it is with a reduced attendance.

4. CITIES AND TOWNS WEEK 2020

League Vice President Douglas Nicholls invited League Deputy Director Matt Lore to provide a review of cities and towns week.

Deputy Director Matt Lore let the Executive Committee know this is the 19th year of doing cities and towns week. This week was created to recognize the work that cities and towns, elected officials and municipal staff do. Deputy Director Matt Lore turned it over to Senior Communication and Education Associate Samantha Womer for a brief overview.

League Senior Communication and Education Associate Samantha Womer went over the highlights from cities and towns week 2020. The last few years, it has been focused on introducing the elected officials and staff of the cities and towns to the citizens in Arizona. In 2020 it was timely to introduce essential employees. Ms. Womer directed the Executive Committee to their packets to find the slides about cities and towns week. An online toolkit was created a few years back, which is provided to cities and towns to use to help them participate in this important week.

5. 2019-2020 AUDIT REPORT

League Vice President Douglas Nicholls turned it over to League Executive Director Tom Belshe for the 2019-2020 audit report.

Executive Director Tom Belshe let the Executive Committee know that the audit report was clean this year, with no reports needing to be made to the Executive Committee. The auditors suggested combining the property corporation with the League’s audit instead of having two separate ones.

Vice President Douglas Nicholls requested a motion to accept the audit. Mayor Greg Mengarelli moved to accept the 2019-2020 audit; Mayor Gail Barney seconded the motion and it carried unanimously.

League Vice President Douglas Nicholls invited Legislative Director Nick Ponder back to finish his recap, due to technical issues that arose.

Legislative Director Nick Ponder mentioned that if the democrats had overtaken either chamber, it would have probably have caused more legislation regarding policing. Items expected to be seen in 2021 regarding policing are, body camera requirements, third party investigations of police officer use of force, and the potential of additional training requirements.

6. RESOLUTION OF APPRECIATION / LIFE MEMBERSHIP

League Vice President Douglas Nicholls mentioned that the following Executive Committee members are being named for a resolution of appreciation: Clarkdale Mayor Doug Von Gausig, Flagstaff Mayor Coral Evans, Gilbert Mayor Jenn Daniels, Scottsdale Mayor Jim Lane, Show Low Mayor Daryl Seymore, Thatcher Mayor Bob Rivera and Tolleson Mayor Ana Tovar.

Vice President Douglas Nicholls requested a motion to accept those named for a Resolution of Appreciation. Mayor Rick Mueller moved to accept the resolutions of appreciation; Mayor Kate Gallego seconded the motion and it carried unanimously.

League Vice President Douglas Nicholls expressed his appreciation to those issued a Resolution of Appreciation.

Vice President Douglas Nicholls read Mayor Doug Von Gausig’s resolution for Life Membership.

Vice President Douglas Nicholls requested a motion to accept the Resolution of Life Membership for Mayor Doug Von Gausig. Mayor Sandy Moriarty moved to accept the resolution; Mayor Kevin Hartke seconded the motion and it carried unanimously.

Vice President Douglas Nicholls read Mayor Bob Rivera’s resolution for Life Membership.

Mayor Rick Mueller and Mayor Thomas Schoaf expressed their appreciation for Mayor Bob Rivera and his years of service.

Mayor Christian Price expressed his appreciation for Mayor Doug Von Gausig and Mayor Bob Rivera.

Vice President Douglas Nicholls requested a motion to accept the Resolution of Life Membership for Mayor Bob Rivera. Mayor Rick Mueller moved to accept the resolution; Mayor Thomas Schoaf seconded the motion and it carried unanimously.

Mayor Bob Rivera gave words of appreciation for being awarded a Life Membership.

7. STRATEGIC PLAN UPDATE

League Vice President Douglas Nicholls invited Executive Director Tom Belshe to give an update on the strategic plan.

Executive Director Tom Belshe let the Executive Committee know that there are six sections of the strategic plan and Deputy Director Matt Lore, Deputy Director Rene Guillen, and Legislative Director Nick Ponder will go over each one, highlighting a few activities that are being accomplished. The strategic plan will also be reviewed at the February 2021 Executive Committee meeting.

Legislative Director Nick Ponder reviewed the “Lead” goal, noting that the advocacy role at the legislature is all about developing and celebrating relationships. This has been especially focused on in this last year.

Deputy Director Matt Lore went over the “Promote” goal, highlighting how the League has increased its social media presence in the past year. A huge uptick in engagement happened during COVID, showing that people are going to the League for information regarding cities and towns. The other area in this category being focused on is engagement with partnerships. Deputy Director Matt Lore also spoke about the “Educate” goal. A main staple of the League is training and educating its members and this year the League was able to transition to online learning opportunities. Although there have been difficulties with online learning, it has created positive opportunities like being able to reach those who may not come to normal trainings due to distance and being able to have speakers from around the world, that the League would not have been able to have before.

Deputy Director Rene Guillen talked about the “Empower” goal. The League has a major focus on data going forward, being able to collect and present useful data for its members. Deputy Director Rene Guillen introduced League Tax Policy Analyst Lee Grafstrom to talk more about the League’s data plan.

Tax Policy Analyst Lee Grafstrom shared a tool with the Executive Committee that the League has been working on for sharing data. This project was created to allow credible data to be put online and shared with the League’s partnerships and members. In the future, the tool will be able to be sorted and filtered through for ease of use. Legislative Director Nick Ponder spoke about the goal of “Engage.” The League has entirely been focused on action at the State Legislature. Out of times of necessity, there are things learned that could be done better. One of those is developing relationships with federal delegation, which has been increased this past year. Working with different organizations also falls under engage, which has been highlighted in 2020.

Deputy Director Rene Guillen talked about the “Deliver” goal. Maximizing technology to deliver information has been taken advantage of during this past year. A next step in this category is to look at what audiovisual technology is needed to deliver high quality work.

Executive Director Tom Belshe gave his appreciation to League Staff for their hard work throughout this past year. He also thanked the Executive Committee for their work they have done locally.

9. OTHER BUSINESS

League Vice President Douglas Nicholls turned it over to Executive Director Tom Belshe for other business.

Executive Director Tom Belshe informed the Executive Committee that there are vacancies for the Executive Committee and letters will be sent out to notify mayors to submit letters of interest, if they are interested in serving.

Executive Director Tom Belshe mentioned that today is League General Counsel Christina Werther’s last day. Tom Belshe shared his appreciation for Christina and recognized all of her hard work at the League. Two paths are being looked at for hiring a replacement, first is offering the position to candidates referred by Christina, then if those do not work out, a process will be carried out.

Mayor Daryl Seymore expressed his appreciation for serving on the Executive Committee.

Mayor Sandy Moriarty shared words of appreciation to those who are leaving the Executive Committee and enjoyed serving with them.

League Vice President Douglas Nicholls adjourned the Executive Committee Meeting at 12:20pm.

EXECUTIVE COMMITTEE MEETING Friday, February 5, 2021

Agenda Item #2 Nominating Committee Recommendations for New Executive Committee Members

Summary: Following the latest election cycle there were eight vacancies on the Executive Committee. As provided in the League Charter, Article VI, Section 2, the Nominating Committee solicited letters of interest from qualified city and town officials. A total of 20 applicants submitted letters of interest. The Nominating Committee met on January 7th and selected eight mayors to be forwarded to the full Executive Committee for appointment to fill unexpired terms. The report of the Nominating Committee is attached.

Responsible Person: Mayor Georgia Lord, Nominating Committee Chairman

Attachment: Nominating Committee Report

Action Requested: Approval

LEAGUE OF ARIZONA CITIES AND TOWNS

JANUARY 2021 NOMINATING COMMITTEE REPORT

The Nominating Committee recommends the nomination of the following officials to serve as League members of the Executive Committee:

Paul Deasy, Mayor, Flagstaff TWO YEAR TERM Brigette Peterson, Mayor, Gilbert TWO YEAR TERM Tom Murphy, Mayor, Sahuarita TWO YEAR TERM David Ortega, Mayor, Scottsdale TWO YEAR TERM Corey Woods, Mayor, Tempe TWO YEAR TERM Alexis Hermosillo, Mayor, El Mirage ONE YEAR TERM Cal Sheehy, Mayor, Lake Havasu City ONE YEAR TERM Mila Besich, Mayor, Superior ONE YEAR TERM

______Mayor Georgia Lord, Chair

EXECUTIVE COMMITTEE MEETING Friday, February 5, 2021

Agenda Item #3 Legislative Policy Overview and Session Update

Summary: The Second Regular Session of the Fifty-Fifth Arizona Legislature is now underway. League staff will review how positions are taken on legislation as well as report on the session as it relates to issues of interest to cities and towns. Major topics for discussion include: • Governor’s/Senate Budgets • Presumptive Firefighter Cancer • Short Term Rentals • Construction Sales Tax • Utility Condemnation Bill • Police Budget Bills • State of Emergency Bills • Telecommunications Bill

Responsible Person: Tom Belshe & League Legislative Staff

Attachments: Your Voice at the Capitol and Legislative Bulletins to date Municipal Policy Statement

2021 SESSION TIMELINE Monday, 1/11 - Session begins Thursday, 1/14 - 7 bill limit in House begins Monday, 2/1 - Senate bill introduction deadline Monday, 2/8 - House bill introduction deadline 2/15 - 2/19 - Last week to hear bills in chamber of origin 3/22 - 3/26 - Last week to hear bills in opposite chamber Friday, 4/16 - Last day for conference committees Tuesday, 4/20 - 100th day of Session

LEGISLATURE 101: AN INTRODUCTION TO LAWMAKING AND THE CAPITOL Members of the committee may offer amendments to 5) Committee of the Whole (COW) - The entire This document is to help you, as a municipal official, better HOW A BILL BECOMES LAW change the language of a bill. If a bill fails here, it chamber comes together for a floor debate. At understand the legislative process at the Arizona State Each session state legislators introduce approximately is essentially “dead,” although there are methods this point committee amendments as well as floor Capitol. As always, the League’s legislative staff is here to 1,200 bills, nearly a quarter of which have some support you. You can contact us anytime at 602-258-5786 available to resurrect it. If a bill passes, it proceeds to amendments are formally offered and adopted. or [email protected]. relevance to cities and towns. Bills start in either the the Rules Committee. Discussions can be a few minutes or several hours. House or the Senate, depending upon who sponsors In COW, a voice vote is used. the bill. Senate bills start with “1001,” House bills start 3) Rules Committee - Every bill must go through the with “2001” and are then numbered sequentially. Rules Committee for legal review, discussing whether 6) Third Read – All changes adopted in COW are Although there are some differences in how each the bill is constitutional, germane with existing statute engrossed into the bill and prepared for a final vote. chamber operates, the basic process is the same. and in the proper format. The committee does not This vote is electronically tallied. Like the committee There are six sequential steps that take place in each. give a bill a pass or fail recommendation. Following process, if a bill fails on third read it is considered the review by the Rules Committee, the bill moves to “dead” with the possibility of procedural resurrection. 1) Bill Assignment - A bill is “first read” on the floor and discussion among the party caucuses. If it passes, the bill then goes to the other chamber then assigned to a committee based on subject matter. and the same steps are repeated. 4) Caucus – The members of each party meet to 2) Committee – Committees are comprised of members review bills and the “party position” is vetted. No If a bill passes both chambers without any amendments, from each party, with the majority party having the formal action takes place. it goes straight to the governor’s office. If a bill most seats. This is the only step in the entire legislative is approved in one chamber, amended in the other process that is truly “open to the public” for comment. chamber, and that amendment is approved by 1 MEET THE LEAGUE’S LEGISLATIVE STAFF Each session state legislators introduce approximately 1,200 bills, nearly a quarter of which have some relevance to cities and towns... Nick Ponder

HOUSE OF REPRESENTATIVES SENATE Legislative Director • of Bill • of Bill [email protected] (First Read, Second Read, (First Read, Second Read, Assignment) Assignment) • (Public Hearing) • (Public Hearing) • Rules (Legal Review) • Rules (Legal Review) Nick serves as the Legislative Director at the League. Prior to his promotion • Caucus • Caucus • of the Whole • of the Whole to Director in 2018 he served as the League’s Pension Policy Analyst. Before (Floor Debate) (Floor Debate) • Third Read (Final Vote) • Third Read (Final Vote) coming to the League, he was the government relations officer with the Arizona State Retirement System (ASRS) for eight years and prior to his position at ASRS was the associate retirement benefits examiner for the Fire Department of New York. He earned his degree in International relations CONFERENCE COMMITTEE • Original Version from The Ohio State University. • Amended Version • New Version approv ed by final vote in both chambers)

OUTCOME

Unamended Amended Amended Tom Savage & Accepted & Rejected Senior Legislative Associate [email protected]

Tom serves as the Senior Legislative Associate at the League. He has been with the League since 2017. Prior to his time at the League he served four legislative sessions at the Arizona House of Representatives as a research analyst for the Government; Energy, Environment and Natural Resources; GOVERNOR’S OFFICE and Agriculture, Water and Lands committees. He holds a bachelor’s degree Enact Without Sign Bill Veto Bill Signature in public policy from Arizona State University.

the sponsoring chamber, the bill will advance to the Bill language, hearing schedules, live feeds and status governor’s office. However, if the sponsoring chamber information are available at the Arizona State Legislature’s Roxanna Pitones does not approve of the amendment adopted, it will be website; www.azleg.gov. Legislative Associate assigned to a conference committee. This committee is [email protected] made up of members from both chambers designated by During the session League staff spends countless hours the speaker of the House and president of the Senate at the legislature tracking bills. We encourage our who will work towards a version of the bill amenable to members to stay abreast of legislative issues impacting Roxanna serves as Legislative Associate at the League. Prior to joining the both chambers. If a chamber rejects the committee’s cities and towns through our weekly Legislative League, Roxanna served as a policy advisor in the Arizona Senate, focusing recommendation, the bill is considered “dead.” If a bill Bulletin and by contacting the League at 602-258-5786 on education and commerce issues. In this role, she gained extensive knowledge is amended by a conference committee it is then final with any questions you have. Additionally, the of the legislative process and the intricacies of navigating state government. read by both chambers. If it passes final read, League has a legislative bill monitoring page available Roxanna graduated Summa Cum Laude from Arizona State University with it is transmitted to the governor’s office. on our website that provides more detailed information a bachelor’s degree in political science and minor in Spanish literature. about the bills League staff is actively tracking. You may Once a bill is in the governor’s office, he or she can sign it also sign up to register your opinion on legislation at into law, veto the bill or allow the legislation to become the legislature’s website using the Request to Speak enacted without his or her signature. system. Contact the League for assistance in accessing this feature.

2 3 A LOOK AT THE EXECUTIVE AND STATE SENATE LEGISLATIVE BRANCHES FOR 2021 Majority Leader – Minority Leader – Senator Rick Gray Senator Rebecca Rios

The majority leader oversees their The minority leader oversees the Governor of Arizona – Speaker of the House – party’s caucus, after the president. minority caucus, and is the main Doug Ducey Representative Rusty Bowers liaison to the majority leadership. The governor is the chief The speaker oversees the House executive officer of the and acts as the chamber’s liaison state and is in charge to the governor and the Senate Majority Whip – Assistant Minority Leader – of the executive branch president. Senator Sonny Borrelli Senator Lupe Contreras of government. The majority whip gathers the The assistant minority leader oversees Senate President – necessary votes on a bill for their party’s caucus, after the minority Senator Karen Fann their party. leader. The president is in charge of the Senate and acts as the chamber’s liaison to the governor and the President Pro Tempore – speaker of the House. Senator Vince Leach The president pro tempore presides Minority Co-Whips – over the chamber in the absence of Senator Martin Quezada the Senate President. HOUSE OF REPRESENTATIVES Senator Victoria Steele

Majority Leader – Minority Leader – The minority co-whips gather the Representative Ben Toma Representative Reginald Bolding necessary votes on a bill for their party. The majority leader oversees their The minority leader oversees the party’s caucus, after the speaker. minority caucus and is the main liaison to the majority leadership.

Majority Whip – Assistant Minority Leader – Representative Leo Biasiucci Representative Jennifer Longdon The majority whip gathers the The assistant minority leader oversees necessary votes on a bill for their party’s caucus, after the minority their party. leader.

Speaker Pro Tempore – Minority Whip – Representative Travis Grantham Representative Domingo DeGrazia

The speaker pro tempore presides The minority co-whips gather over the chamber in the absence of the necessary votes on a bill for the Speaker of the House. their party.

4 5 Rep. Judy Burges (R) (602) 926-3256 | [email protected] DISTRICT 1 YOUR VOICE AT THE CAPITOL Sen. Karen Fann (R) Cities and Towns President Carefree, Cave Creek, Chino Valley, Dewey-Humboldt, 2021 STATE LEGISLATORS (602) 926-5874 | [email protected] Rep. Quang Nguyen (R) Peoria, Phoenix, Prescott, Prescott Valley, Wickenburg (602) 926-3258 | [email protected] At the beginning of each legislative session the League compiles up-to-date contact information for each of Arizona’s 30 state senators and 60 state representatives in order to facilitate lobbying efforts for cities and Rep. Andrea Dalessandro (D) towns. The information includes the following: DISTRICT 2 (602) 926-5342 | [email protected] Sen. Rosanna Gabaldón (D) Cities and Towns • the name of each Senator and Representative including the district and the cities and towns (602) 926-3424 | [email protected] Nogales, Patagonia, Sahuarita, South Tucson, Tucson they represent Rep. Daniel Hernandez (D) (602) 926-4840 | [email protected] • the Capitol address and toll-free number (listed below) • legislators’ office phone numbers and email addresses Rep. Andres Cano (D) The Legislature’s website is a resource for viewing legislative information and may be accessed at (602) 926-3027 | [email protected] DISTRICT 3 Cities and Towns www.azleg.gov. Using the links provided on the web page you may view brief biographies of legislators Sen. Sally Ann Gonzales (D) Tucson and the list of committees they serve on, access complete texts and the status of legislation and amend- (602) 926-3278 | [email protected] Rep. Alma Hernandez (D) ments, and log in to the Request to Speak system. Summaries of each bill may also be found on this site (602) 926-3136| [email protected] once the bill has been assigned for a committee hearing.

The League offices are always available for your use during the legislative session. The League facilities Rep. Charlene Fernandez (D) DISTRICT 4 provide a convenient place for meeting with legislators, particularly for municipal officials outside the (602) 926-3098 | [email protected] Cities and Towns Sen. Lisa Otondo (D) Phoenix metropolitan area. (602) 926-3002 | [email protected] Buckeye, Gila Bend, Goodyear, San Luis, Somerton, Rep. Joel John (R) Tucson, Yuma We hope the list will be helpful to you in contacting your legislators on all issues of major municipal (602) 926-3276 | [email protected] concern. Please feel free to contact the League staff should you have any questions regarding legislation or contacting your legislators. Rep. Leo Biasiucci (R) Majority Whip DISTRICT 5 If you wish to reach a legislator by mail at the Capitol, simply address the correspondence to: Sen. Sonny Borrelli (R) (602) 926-3018 | [email protected] Cities and Towns Majority Whip Bullhead City, Colorado City, Kingman, Lake Havasu (602) 926-5051 | [email protected] City, Parker, Quartzsite The Honorable Senator's Name The Honorable Representative's Name Rep. Regina Cobb (R) (602) 926-3126 | [email protected] State Senator State Representative 1700 West Washington Street - Senate 1700 West Washington Street - House Phoenix, Arizona 85007 Phoenix, Arizona 85007 Rep. Brenda Barton (R) DISTRICT 6 (602) 926-3421 | [email protected] Sen. Wendy Rogers (R) Cities and Towns (602) 926-3042 | [email protected] Camp Verde, Clarkdale, Cottonwood, Flagstaff, Toll-free number: 1-800-352-8404 Rep. Walt Blackman (R) Holbrook, Jerome, Payson, Sedona, Snowflake, Star (602) 926-3043 | [email protected] Valley, Taylor, Tusayan, Williams

Rep. Arlando Teller (D) (602) 926-3069 | [email protected] DISTRICT 7 Cities and Towns Sen. Jamescita Peshlakai (D) Eagar, Fredonia, Page, Pinetop-Lakeside, Show Low, (602) 926-5160 | [email protected] www.azleague.org Rep. Myron Tsosie (D) Springerville, St. Johns, Winslow 602-258-5786 (602) 926-3157 | [email protected] 1820 W. Washington St . Phoeni x, Arizona 85007 Rep. David Cook (R) (602) 926-5162 | [email protected] DISTRICT 8 Cities and Towns Sen. T.J. Shope (R) (602) 926-3012 | [email protected] Casa Grande, Coolidge, Eloy, Florence, Globe, Hayden, Rep. Frank Pratt (R) Kearny, Mammoth, Miami, Superior, Winkelman (602) 926-5761 | [email protected] 6 7 Rep. Randy Friese (D) DISTRICT Rep. Jennifer Pawlik (D) (602) 926-3138 | [email protected] 9 (602) 926-3193 | [email protected] DISTRICT 17 Sen. Victoria Steele (D) Cities and Towns Sen. J.D. Mesnard (R) Cities and Towns Minority Co-Whip Marana, Tucson (602) 926-4481 | [email protected] Chandler, Gilbert (602) 926-5683 | [email protected] Rep. Pamela Powers Hannley (D) Rep. Jeff Weninger (R) (602) 926-4848 | [email protected] (602) 926-3092 | [email protected]

Rep. Domingo DeGrazia (D) Rep. Mitzi Epstein (D) Minority Whip DISTRICT 10 (602) 926-4870 | [email protected] DISTRICT 18 (602) 926-3153 | [email protected] Cities and Towns Sen. Kirsten Engel (D) Sen. Sean Bowie (D) Cities and Towns (602) 926-5178 | [email protected] Tucson (602) 926-3004 | [email protected] Chandler, Mesa, Phoenix, Tempe Rep. Stephanie Stahl Hamilton (D) Rep. Jennifer Jermaine (D) (602) 926-3279 | [email protected] (602) 926-3199 | [email protected]

Rep. Mark Finchem (R) Rep. Diego Espinoza (D) (602) 926-3122 | [email protected] DISTRICT 11 (602) 926-3134 | [email protected] DISTRICT 19 Sen. Vince Leach (R) Cities and Towns Sen. Lupe Contreras (D) Cities and Towns President Pro Tempore Casa Grande, Eloy, Marana, Maricopa, Assistant Minority Leader Avondale, Phoenix, Tolleson (602) 926-3106 | [email protected] (602) 926-5284 | [email protected] Rep. Bret Roberts (R) Oro Valley, Tucson Rep. Lorenzo Sierra (D) (602) 926-3158 | [email protected] (602) 926-3211 | [email protected]

Rep. Travis Grantham (R) ShawnnaRep. Shawnna Bolick Bolick (R) (R) Speaker Pro Tempore DISTRICT 12 (602) 926-5342926-3244 | [email protected] DISTRICT 20 (602) 926-4868 | [email protected] Cities and Towns Cities and Towns Sen. Warren Petersen (R) PaulSen. PaulBoyer Boyer (R) (R) Gilbert, Queen Creek Glendale, Phoenix (602) 926-4136 | [email protected] (602) 926-5342926-4173 | [email protected] Rep. Jake Hoffman (R) AnthonyRep. Judy Kern Schwiebert (R) (D) (602) 926-3292 | [email protected] (602) 926-5342926-3390 | [email protected]@azleg.gov

Rep. Tim Dunn (R) DISTRICT Rep. Kevin Payne (R) (602) 926-4139 | [email protected] 13 (602) 926-4854 | [email protected] DISTRICT 21 Cities and Towns Sen. Rick Gray (R) Cities and Towns Sen. Sine Kerr (R) Buckeye, El Mirage, Glendale, Goodyear, Litchfield Majority Leader El Mirage, Peoria, Surprise, Youngtown (602) 926-5955 | [email protected] (602) 926-5413 | [email protected] Rep. Joanne Osborne (R) Park, Surprise, Wellton, Wickenburg, Yuma Rep. Beverly Pingerelli (R) (602) 926-3181 | [email protected] (602) 926-3396 | [email protected]

Rep. Gail Griffin (R) DISTRICT Rep. Frank Carroll (R) (602) 926-5895 | [email protected] 14 (602) 926-3249 | [email protected] DISTRICT 22 Sen. David Gowan (R) Cities and Towns Sen. David Livingston (R) Cities and Towns (602) 926-5154 | [email protected] Benson, Bisbee, Clifton, Douglas, Duncan, Huachuca (602) 926-4178 | [email protected] Glendale, Peoria, Surprise Rep. Ben Toma (R) Rep. Becky Nutt (R) City, Pima, Safford, Sierra Vista, Thatcher, Tombstone, Majority Leader (602) 926-4852 | [email protected] Tucson, Willcox (602) 926-3298 | [email protected]

Rep. Steve Kaiser (R) DISTRICT Rep. Joseph Chaplik (R) (602) 926-3314 | [email protected] 15 (602) 926-3436 | [email protected] DISTRICT 23 Sen. Nancy Barto (R) Cities and Towns Sen. Michelle Ugenti-Rita (R) Cities and Towns (602) 926-5766 | [email protected] Cave Creek, Phoenix (602) 926-4480 | [email protected] Fountain Hills, Scottsdale Rep. Justin Wilmeth (R) Rep. John Kavanagh (R) (602) 926-3370 | [email protected] (602) 926-5170 | [email protected]

Rep. John Fillmore (R) Rep. Jennifer Longdon (D) (602) 926-3187 | [email protected] DISTRICT 16 Assistant Minority Leader DISTRICT 24 Cities and Towns Sen. Kelly Townsend (R) Sen. Lela Alston (D) (602) 926-3264 | [email protected] Cities and Towns (602) 926-4467 | [email protected] Apache Junction, Mesa, Queen Creek (602) 926-5829 | [email protected] Phoenix, Scottsdale Rep. Jacqueline Parker (R) Rep. Amish Shah (D) 8 (602) 926-3375 | [email protected] (602) 926-3280 | [email protected] 9 Rep. Rusty Bowers (R) Speaker of the House DISTRICT 25 Sen. Tyler Pace (R) (602) 926-3128 | [email protected] Cities and Towns (602) 926-5760 | [email protected] Mesa Rep. Michelle Udall (R) (602) 926-4856 | [email protected]

Rep. Melody Hernandez (D) (602) 926-3449 | [email protected] DISTRICT 26 Sen. Juan Mendez (D) Cities and Towns (602) 926-4124 | [email protected] Mesa, Phoenix, Tempe Rep. Athena Salman (D) (602) 926-4858 | [email protected]

Rep. Reginald Bolding (D) Minority Leader DISTRICT 27 Sen. Rebecca Rios (D) (602) 926-3132 | [email protected] Cities and Towns Minority Leader Guadalupe, Phoenix, Tempe (602) 926-3073 | [email protected] Rep. Diego Rodriguez (D) (602) 926-3285 | [email protected]

Rep. Kelli Butler (D) DISTRICT 28 (602) 926-5156 | [email protected] Cities and Towns Sen. Christine Marsh (D) (602) 926-3184 | [email protected] Paradise Valley, Phoenix, Scottsdale Rep. Aaron Lieberman (D) (602) 926-3300 | [email protected]

Rep. Richard Andrade (D) DISTRICT 29 (602) 926-3130 | [email protected] Sen. Martín Quezada (D) Cities and Towns Minority Co-Whip El Mirage, Glendale, Phoenix (602) 926-5911 | [email protected] Rep. César Chávez (D) (602) 926-4862 | [email protected]

Rep. Robert Meza (D) DISTRICT 30 (602) 926-3425 | [email protected] Cities and Towns Sen. Tony Navarrete (D) Glendale, Phoenix (602) 926-4864 | [email protected] Rep. Raquel Terán (D) (602) 926-3308 | [email protected]

Issue 1 – January 15, 2021

Legislative Update

Today is day five of the first session of the 55th Legislature. This week both chambers held the swearing-in ceremony for newly elected lawmakers on Monday to a restricted audience in the galleries and hosted a viewing of the governor’s annual state of the state address, which was broadcast live on YouTube from his office. This year’s ceremony was vastly different than the traditional pomp and circumstance of previous years, to comply with social distancing measures - limited attendance, a mostly masked audience of lawmakers, and some choosing to participate over Zoom from their capitol office. The governor’s speech was unusually brief, with COVID-19 at the forefront, and highlighting the progress on vaccine distribution, economic recovery, and previewing his legislative agenda for the session. A full transcript of the speech can be accessed at this (link).

PSPRS Cancer Insurance Fund

On Wednesday, the Senate Finance Committee considered SB1043 public safety; cancer insurance; eligibility sponsored by Senator David Livingston (R-Peoria). Since the mid- 1990's employers have paid an annual amount into the Cancer Insurance Fund for each of their public safety employees. The fund was established to cover out-of-pocket medical costs, up to $100,000, if they were diagnosed with cancer. Senator Livingston’s proposal would extend this program to retirees with the program being subsidized by the employers.

The League identified concerns with this proposal because the plan was not established to cover this larger group of employees and would result in employers increasing their annual contributions as well as a more expedited depletion of the fund. The sponsor has committed to stakeholder meetings on the issue. The bill passed out of committee 7-2-1.

PSPRS Health Benefit Subsidy

Also, on Wednesday, the Senate Finance Committee considered SB1045: defined contribution; health subsidy; disability sponsored by Senator David Livingston. This bill aims to extend the health benefit subsidy offered to public safety employees enrolled in the PSPRS defined benefit plan to public safety employees who are enrolled in the PSPRS defined contribution plan.

During pension reform in 2016, language was included in statute that precluded defined contribution plan participants from receiving the health benefit subsidy. Consequently, this new benefit has not been funded and would result in increased contribution rates by the employer by 0.27% per year. The League signed in opposition to the bill and the sponsor has committed to stakeholder meetings on the issue. The bill passed out of committee 6-2-2.

Executive Budget The executive budget includes the following items of interest to cities and towns: • Unspecified income tax cuts beginning in 2022 and growing by $200M per year for a total of $600M by 2024 (2022 = $200M, 2023 = $400M, 2024 = $600M, 2025 & Beyond = $600M) • $10M for rural broadband grants • $5M to fully fund the Water Quality Assurance Revolving Fund • $16M each year from 2022 through 2024 to update public safety radio networks • $64M for I-17 construction • $33.1M for broadband corridor on I-40 west of Flagstaff to the Arizona border Session Deadlines Every session has deadlines pertaining to bill submissions and hearings. This year, the schedule is as follows: January 1/11 – First day of session 1/21 – House 7-bill Introduction Limit Begins (5 p.m.) *prior publications noted 1/14, this deadline has been extended by one week

February 2/1 – Senate Bill Introduction Deadline (5 p.m.) 2/8 – House Bill Introduction Deadline (5 p.m.) 2/15 - 2/19 – Last week to hear bills in the chamber of origin March

3/22 – 3/26 – Last week to hear bills in the opposing chamber April 4/16 – Last Day for Conference Committees 4/20 – 100th Day of Session

Monday Legislative Update Calls The League will continue to host a weekly conference call to report on the status and impact of various bills in the 2021 session. The calls are scheduled for Monday mornings at 10:00 a.m. However, because of Opening Day and State of the State Address, and the Martin Luther King, Jr. holiday, the first call will be held at 10:00 a.m. on Tuesday, January 19. Mayors, councilmembers, managers and other city or town staff who are interested in legislative activities are invited to participate. Call-in numbers and a brief agenda will be sent out prior to the calls. If you would like to receive the Monday agendas, please contact [email protected] and request to be added to the distribution list for the Monday conference call.

Legislative Intern The League is pleased to welcome Katherine Compton as the 2021 APS Legislative Intern. Katherine is from Yuma and is a junior at Arizona State University. She is studying public service & public policy and business law. She previously interned for the mayor’s office in the city of Phoenix and with the American Indian Policy Institute. During this legislative session, she is looking forward to learning more about the balance of municipal decision- making and state authority. We are excited and proud to have her on the legislative affairs team this session.

Your Voice at the Capitol The 2021 edition of Your Voice at the Capitol, our listing of state senators and representatives is available here. Please use this document to access contact information for your delegation. Early contact with your legislators is strongly recommended to establish a relationship with the elected officials representing your district. Maintaining good communications with your legislators provides them with valuable insight as to how proposed legislation may impact the communities in their districts.

Additionally, you can contact our legislative division at (602) 258-5786 or email using the information below: Nick Ponder, legislative director: [email protected] Tom Savage, senior legislative associate: [email protected] Roxanna Pitones, legislative associate: [email protected] Katherine Compton, legislative intern: [email protected]

Legislative Bill Monitoring All bills being actively monitored by the League can be found here.

Issue 2 – January 22, 2021

Legislative Update

Today is the 12th day of session and so far 1,031 bills have been introduced, which include many from last year that never made it to the finish line before session was suspended. Some of these were introduced as mirror bills so each chamber will concurrently debate and vote to expedite the legislative process. The seven bill introduction limit, which was extended by one week, began yesterday at 5 p.m., meaning each House member may only introduce seven bills as a prime sponsor up until February 8. The Senate does not impose such a restriction, but senators must have their bills introduced by February 1.

Utility Condemnation HB2049 eminent domain; existing contracts, sponsored by Representative Jeff Weninger (R-Chandler) passed the House Commerce Committee on Tuesday with a vote of 7-3. Representatives Espinoza (D-Tolleson), Powers Hannley (D-Tucson) and Fernandez (D- Yuma) voting no. The bill requires cities and towns exercising eminent domain on a public utility to assume all the assets and contractual obligations of the utility. This would require the assumption of private contracts under any circumstance, regardless of their provisions and whether it is legal for municipalities to assume under the state Constitution and laws. The League opposed the measure in committee due to the unintended consequences of assuming private liabilities in these transactions and the potential to negatively impact current and future condemnation processes.

Small Cell Fees Also up in the Commerce Committee on Tuesday was HB2108 telecommunications; public highways; use; fees, sponsored by Representative Jeff Weninger (R-Chandler). It passed with a vote of 6-4 and will now proceed to the Rules Committee.

The bill as written provides an exemption from linear foot fees for fiber in the right of way used for small cell antennas. However, the current wording applies broadly to potentially exclude the entire network connected to the small cell from the fee calculation,

which would provide a substantial exemption solely for one industry that would be using this public space for free. This not only presents a revenue impact for cities and towns, it also creates Constitutional concerns as local governments are prohibited from allowing providers to use this space for free and would impair contracts in conflict. The League is working on an amendment to address these issues and will provide an update on our progress.

Short-Term Rentals

The League's resolution on short term rentals (STRs) was introduced this week by Representative Kavanagh (R-Scottsdale). The League has been involved in short term rentals discussions since the passage of 2016's SB1350 which preempted cities and towns from regulating STRs. This legislation has resulted in the proliferation of short-term rentals in communities in Arizona and has impacted housing availability and quality of life across the state, but especially in communities closest to tourism hubs. HB2481 short- term rentals; enforcement; penalties (Kavanagh) would return some local control to municipalities by decoupling STRs from long term rentals and giving cities and towns the ability to license or register STRs. Additionally, the legislation would allow local governments to establish zoning restrictions for short term rentals. The League will be following and supporting this legislation as it moves through the legislative process.

Legislative Bill Monitoring All bills being actively monitored by the League can be found here.

S Karen Fann (R) S Vince Leach (R) S Rick Gray (R) 01. R Judy Burges (R), Quang Nguyen (R) 11. R Mark Finchem (R), Bret Roberts (R) 21. R Kevin Payne (R), Beverly Pingerelli (R) Carefree, Cave Creek, Chino Valley, Casa Grande, Eloy, Marana, Maricopa, El Mirage, Peoria, Surprise, Youngtown Dewey-Humboldt, Peoria, Phoenix, Oro Valley, Tucson Prescott, Prescott Valley, Wickenburg

S Rosanna Gabaldón (D) S Warren Petersen (R) S David Livingston (R) 02. R Andrea Dalessandro (D), Daniel Hernandez (D) 12. R Travis Grantham (R), Jake Hoffman (R) 22. R Frank Carroll (R), Ben Toma (R) Nogales, Patagonia, Sahuarita, Chandler, Gilbert, Queen Creek Glendale, Peoria, Surprise South Tucson, Tucson

S Sally Ann Gonzales (D) S Sine Kerr (R) S Michelle Ugenti-Rita (R) 03. R Andrés Cano (D), Alma Hernandez (D) 13. R Tim Dunn (R), Joanne Osborne (R) 23. R Joseph Chaplik (R), John Kavanagh (R) Tucson Buckeye, El Mirage, Glendale, Goodyear, Fountain Hills, Scottsdale Litchﬁeld Park, Surprise, Wellton, Wickenburg, Yuma

S Lisa Otondo (D) S David Gowan (R) S Lela Alston (D) 04. R Charlene Fernandez (D), Joel John (R) 14. R Gail Grifﬁn (R), Becky Nutt (R) 24. R Jennifer Longdon (D), Amish Shah (D) Buckeye, Gila Bend, Goodyear, San Luis, Benson, Bisbee, Clifton, Douglas, Duncan, Phoenix, Scottsdale Somerton, Tucson, Yuma Huachuca City, Pima, Safford, Sierra Vista, Thatcher, Tombstone, Tucson, Willcox

S Sonny Borrelli (R) S Nancy Barto (R) S Tyler Pace (R) 05. R Leo Biasiucci (R), Regina Cobb (R) 15. R Steve Kaiser (R), Justin Wilmeth (R) 25. R Rusty Bowers (R), Michelle Udall (R) Bullhead City, Colorado City, Kingman, Cave Creek, Phoenix Mesa Lake Havasu City, Parker, Quartzsite

S Wendy Rogers (R) S Kelly Townsend (R) S Juan Mendez (D) 06. R Brenda Barton (R), Walt Blackman (R) 16. R John Fillmore (R), Jacqueline Parker (R) 26. R Melody Hernandez (D), Athena Salman (D) Camp Verde, Clarkdale, Cottonwood, Flagstaff, Apache Junction, Mesa, Queen Creek Mesa, Phoenix, Tempe Holbrook, Jerome, Payson, Sedona, Snowﬂake, Star Valley, Taylor, Tusayan, Williams

S Jamescita Peshlakai (D) S J.D. Mesnard (R) S Rebecca Rios (D) 07. R Arlando Teller (D), Myron Tsosie (D) 17. R Jennifer Pawlik (D), Jeff Weninger (R) 27. R Reginald Bolding (D), Diego Rodriguez (D) Eagar, Fredonia, Page, Pinetop-Lakeside, Chandler, Gilbert Guadalupe, Phoenix, Tempe Show Low, Springerville, St. Johns, Winslow

S TJ Shope (R) S Sean Bowie (D) S Christine Marsh (D) 08. R David Cook (R), Frank Pratt (R) 18. R Mitzi Epstein (D), Jennifer Jermaine (D) 28. R Kelli Butler (D), Aaron Lieberman (D) Casa Grande, Coolidge, Eloy, Florence, Chandler, Mesa, Phoenix, Tempe Paradise Valley, Phoenix, Scottsdale Globe, Hayden, Kearny, Mammoth, Miami, Superior, Winkelman

S Victoria Steele (D) S Lupe Contreras (D) S Martín Quezada (D) 09. R Randy Friese (D), Pamela Powers Hannley (D) 19. R Diego Espinoza (D), Lorenzo Sierra (D) 29. R Richard Andrade (D), César Chávez (D) Marana, Oro Valley, Tucson Avondale, Phoenix, Tolleson El Mirage, Glendale, Phoenix

S Kirsten Engel (D) S Paul Boyer (R) S Tony Navarrete (D) 10. R Domingo DeGrazia (D), 20. R Shawnna Bolick (R), Judy Schwiebert (D) 30. R Robert Meza (D), Raquel Terán (D) Stephanie Stahl Hamilton (D) Glendale, Phoenix Glendale, Phoenix Tucson

FOR MORE INFORMATION: CALL 602-258-5786 S - Senator R - Representative VISIT: WWW.AZLEAGUE.ORG • TWITTER: @AZCITIES Overview their workforce. This exemplifies the mutual relationship between local government and the business community: Cities and towns in Arizona are home to nearly 80% of the state’s residents and more than 90% of the state’s business when businesses thrive, tax revenue is generated and invested back into the community to provide services; when the activity. They are the level of government closest to the people, most accessible to them and most responsive to their economy contracts, so do revenues that support public services. needs. They provide the vast majority of first responder—police and fire—services and are national leaders in business development, government efficiency and quality-of-life amenities. Arizona’s cities and towns are an essential part of As part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, Congress allocated specific financial relief the continuum of government in our state. for states and local governments to endure some of these challenges. However, this measure did not account for the massive reduction in revenue from lost tourism and economic activity. The information below illustrates these impacts Core Principles and identifies the cuts to essential services: The League of Arizona Cities and Towns is guided by two core principles:

1) Preserve local decision-making; and ECONOMIC EFFECTS 2) Protect shared revenues. Arizona cities and towns are budgeted and projected for shortfalls totaling over Legislative Priorities $1 Billion in local revenues in FY 21. The League supports legislation respecting the role of municipal government and its core principles and opposes measures that undermine them. The following policy priorities were developed with input from our members, approved OTHER SOURCES (TRANSPORTATION/IMPACT FEES/PARKS & REC) by the League’s Resolutions Committee, and will ensure that cities and towns can maintain the high-quality municipal $88.5 M ENTERPRISE FUNDS government services that businesses and citizens rely on. (UTILITIES/AIRPORTS/ETC.) $387 M • Support the creation of a housing tax credit to increase affordable housing and reduce the costs of and demand on public services as a result of a lack of housing • Provide flexibility to cities and towns to publish or post public notices where it is most accessible to the public to achieve maximum transparency at the lowest possible expense UNANTICIPATED COVID-19 EXPENSES • Support changes to state law to allow the use of consular ID cards as a valid form of identification Graph denotes percentage of cities and towns accounting for unexpected LOCAL SALES TAX expenses in these categories. $483 M City and Town COVID-19 Response and Impacts BED TAX In response to the unprecedented health and economic crises triggered by COVID-19, cities and towns are working $78.5 M with local non-profits and community organizations to provide support to small businesses and residents facing financial difficulties to pay rent and utility expenses. Cities and towns have made the following allocations for various types of assistance:

• Small business assistance: $71,155,076 0% 25% 50% 75% 100% • Non-profit assistance: $37,718,528 • Utility assistance: $38,095,834 IMPACT TO Essential functions such as fire and police will also face cuts. • Eviction prevention: $37,709,030 ESSENTIAL SERVICES • Personal protective equipment to local schools and hospitals: $4,467,391 • Food and shelter assistance: $40,781,701 Essential services provided by municipalities • Broadband and technology assistance for students: $20,260,597 will be impacted due to revenue shortfalls regardless of city or town size. Infrastructure While cities and towns throughout the state are working hard to provide aid to struggling residents and businesses, they and capital projects will be the most too are experiencing the economic challenges due to reduced economic activity and loss of tourism revenue. Local affected as declining revenues force municipalities to delay critical needs, governments rely heavily on transaction privilege and hospitality taxes to balance their budgets. When these sources further slowing an economic recovery. of revenue decline, local elected leaders must make difficult decisions including cuts to municipal services like public <10K 10K - 49K 50K - 199K 200K+ safety, parks or community services; delaying road construction or improvements to municipal facilities; or lay off

WASTE/ PLANNING/ CAPITAL ADMINISTRATIVE FIRE EMS POLICE INFRASTRUCTURE SANITATION HOUSING PROJECTS SERVICES Overview their workforce. This exemplifies the mutual relationship between local government and the business community: Cities and towns in Arizona are home to nearly 80% of the state’s residents and more than 90% of the state’s business when businesses thrive, tax revenue is generated and invested back into the community to provide services; when the activity. They are the level of government closest to the people, most accessible to them and most responsive to their economy contracts, so do revenues that support public services. needs. They provide the vast majority of first responder—police and fire—services and are national leaders in business development, government efficiency and quality-of-life amenities. Arizona’s cities and towns are an essential part of As part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, Congress allocated specific financial relief the continuum of government in our state. for states and local governments to endure some of these challenges. However, this measure did not account for the massive reduction in revenue from lost tourism and economic activity. The information below illustrates these impacts Core Principles and identifies the cuts to essential services: The League of Arizona Cities and Towns is guided by two core principles:

WASTE/ PLANNING/ CAPITAL ADMINISTRATIVE FIRE EMS POLICE INFRASTRUCTURE SANITATION HOUSING PROJECTS SERVICES S Karen Fann (R) S Vince Leach (R) S Rick Gray (R) 01. R Judy Burges (R), Quang Nguyen (R) 11. R Mark Finchem (R), Bret Roberts (R) 21. R Kevin Payne (R), Beverly Pingerelli (R) Carefree, Cave Creek, Chino Valley, Casa Grande, Eloy, Marana, Maricopa, El Mirage, Peoria, Surprise, Youngtown Dewey-Humboldt, Peoria, Phoenix, Oro Valley, Tucson Prescott, Prescott Valley, Wickenburg

FOR MORE INFORMATION: CALL 602-258-5786 S - Senator R - Representative VISIT: WWW.AZLEAGUE.ORG • TWITTER: @AZCITIES

EXECUTIVE COMMITTEE MEETING Friday, February 5, 2021

Agenda Item #4 Report from Budget Subcommittee

Summary: Presentation from League Budget Subcommittee of preliminary FY 2021-22 League Budget and Adoption of FY22 Dues

Responsible Person: Mayor Greg Mengarelli, Budget Subcommittee Chairman Tom Belshe

Attachments: Preliminary FY 2021-22 League and Property Corporation Budgets Recommended FY 2021-22 League Dues

Action Requested: Information/discussion of budgets Approval of FY 2022 Dues Schedule

2021-2022 League Budget PRELIMINARY DRAFT % of Budget Expected Over / PROPOSED % Total REVENUES FY 2021 FY 2021 (Under) FY 2022 Change Budget Notes Affiliate Group Contracts 137,950 137,948 (2) 137,950 0.0% 4.5% Annual Conference 0 0 0 400,000 13.0% Sep 2020 Conf cancelled Proposed with no change to Dues 1,875,056 1,875,056 0 2,226,243 18.7% 72.5% formula; adjustment to 2019 census estimates Interest 55,000 3,742 (51,258) 40,000 -27.3% 1.3% Includes publication sales & job Miscellaneous 14,000 11,457 (2,543) 14,000 0.0% 0.5% postings.

American Legal (~$6,000), APS Internship ($10,000), Partnership Programs 55,000 37,794 (17,206) 48,500 -11.8% 1.6% Utility Service Partners ($7,500), Valley Schools ($25,000) Risk Pool 160,000 164,623 4,623 165,000 3.1% 5.4% Seminars and Meetings 40,000 44,105 4,105 40,000 0.0% 1.3% TOTAL REVENUES $2,337,006 $2,274,725 ($62,281) $3,071,693 31.4%

EXPENDITURES Annual Conference 20,000 1,657 (18,343) 230,000 1050.0% 7.8% Sep 2020 Conf cancelled Estimate 12% increase to UHC premiums (eff. 10/2021). Estimate Benefits 547,000 483,527 (63,473) 542,000 -0.9% 18.4% 3% increase to dental premiums (eff. 5/2022). Capital Outlay 10,000 8,157 (1,843) 10,000 0.0% 0.3% O365 = $5000 annually Equipment Rental & Maintenance 9,000 8,970 (30) 9,000 0.0% 0.3% Executive Committee 8,000 4,300 (3,700) 6,000 -25.0% 0.2% Insurance 9,000 8,698 (302) 9,000 0.0% 0.3% Postage & Shipping 6,000 4,472 (1,528) 6,000 0.0% 0.2% Includes HighGround ($42,000); PR & Communications 51,000 48,875 (2,125) 51,000 0.0% 1.7% Ideas Collide newsletters ($7,500); misc ($1,500) Includes directory, MPS, calendar Printing 10,000 10,159 159 10,000 0.0% 0.3% & legis poster Professional Services 225,000 283,961 58,961 249,000 10.7% 8.5% Accounting 48,000 47,484 (516) 48,000 0.0% 1.6% Includes audit & accountants Includes HighGround ($96,000); Contract Lobbying & Consulting Svcs 165,000 213,450 48,450 165,000 0.0% 5.6% Rounds ($48,000); K Jackson ($21,000) Includes $24,000 for legal research Legal 12,000 23,027 11,027 36,000 200.0% 1.2% contract Savings for building repairs / Prop Corp - Building Improvement Fund 10,000 10,000 0 10,000 0.0% 0.3% improvements. Rent 105,000 105,000 0 105,000 0.0% 3.6% Salaries 1,450,000 1,441,871 (8,129) 1,520,000 4.8% 51.6% 3% increase Seminars and Meetings 48,000 30,909 (17,091) 44,000 -8.3% 1.5% Subscriptions and Dues 63,000 62,425 (575) 63,000 0.0% 2.1% Supplies / Office Expenses 38,000 11,273 (26,727) 38,000 0.0% 1.3% Telecommunications 24,000 22,553 (1,447) 24,000 0.0% 0.8% Travel 20,000 3,621 (16,379) 20,000 0.0% 0.7% TOTAL EXPENDITURES $2,653,000 $2,550,428 ($102,572) $2,946,000 11.0% Revenues Over (Under) Expenditures ($315,994) ($275,703) $40,291 $125,693 Beginning Fund Balance $2,358,669 $2,358,669 $2,082,966 Ending Fund Balance $2,042,675 $2,082,966 $2,208,659

AUDITED YEAR END FIGURES Ending Rev over Balance * FY Exp Total fund balance as of July 1, 2020 $2,358,669 19-20 $134,693 Total fund balance as of July 1, 2019 $2,223,976 18-19 ($128,219) Total fund balance as of July 1, 2018 $2,352,195 17-18 $254,405 Total fund balance as of July 1, 2017 $2,097,790 16-17 $117,613 Total fund balance as of July 1, 2016 $1,980,177 15-16 $152,942 Total fund balance as of July 1, 2015 $1,827,235 14-15 ($609) Total fund balance as of July 1, 2014 $1,827,844 13-14 $203,785 Total fund balance as of July 1, 2013 $1,624,059 12-13 $165,383 Total fund balance as of July 1, 2012 $1,458,676 11-12 $200,953 Total fund balance as of July 1, 2011 $1,257,723 10-11 ($53,713) Total fund balance as of July 1, 2010 $1,311,436 09-10 $98,313 Total fund balance as of July 1, 2009 $1,213,123 08-09 $212,926 Total fund balance as of July 1, 2008 $1,000,197 07-08 $323,069 Total fund balance as of July 1, 2007 $677,128 06-07 $192,095 Total fund balance as of July 1, 2006 $485,033 05-06 $101,561 Total fund balance as of July 1, 2005 $383,472 04-05 ($23,245) Total fund balance as of July 1, 2004 $406,717 03-04 ($11,936) Total fund balance as of July 1, 2003 $418,653 02-03 * Audited Figures 2021-2022 League Budget Narrative Prior Years Actuals

PRELIMINARY DRAFT

Budget Expected Over / PROPOSED % % of Total FY19-20 FY18-19 FY17-18 FY16-17 FY15-16 REVENUES FY 2021 FY 2021 (Under) FY 2022 Change Budget Actual Actual Actual Actual Actual Affiliate Group Contracts 137,950 137,948 (2) 137,950 0.0% 4.5% . . . $137,950.00 $136,950.00 $136,950.00 $136,950.00 $132,950.00 The Arizona City/County Management Association ($68,750) , the Government Finance Officers Association of Arizona ($63,000) and the Arizona Municipal Clerks Association ($6,200) contract with the League for staff services. The three associations currently pay $136,950 for services including graphic design, website management, conference planning and membership management.

Annual Conference 0 0 0 400,000 13.0% . . . $529,184.55 $535,420.55 $444,795.32 $444,968.57 $429,144.95 Revenues from the Annual Conference are estimated since that number is highly variable depending on sponsorships and attendance. Conference revenue is intended to cover all conference expenses, except staff salaries, plus provide approximately $190,000 in net revenue to the League to support other programs throughout the year. Sponsorships play a very important role in conference revenue and we will continue to pursue existing and new companies to assure that our sponsorship revenues will remain strong. Conference registration fees and sponsorships are the second-largest source of revenue for ongoing League operations. (The 2020 Annual Conference was cancelled due to COVID-19.)

Dues 1,875,056 1,875,056 0 2,226,243 18.7% 72.5% . . . $2,097,422.00 $1,912,145.00 $2,044,236.00 $1,938,081.00 $1,897,377.00 The current dues formula is a $4,300 base fee plus a varying per capita rate ranging from $.52 to $.55 depending on population. Cities over 200,000 population pay on a capped dues formula. (Due to COVID-19, dues were reduced by 15% for FY21. This proposal is the pre-COVID formula with only adjustment to 2019 Census estimate figures.) Interest 55,000 3,742 (51,258) 40,000 -27.3% 1.3% . . . $47,307.69 $63,065.52 $39,128.68 $16,355.98 $6,797.41 Through investment accounts, the League earns interest income on our unexpended fund balances. The bulk of the funds are invested with the State Treasurer's Local Government Investment Pool.

Miscellaneous 14,000 11,457 (2,543) 14,000 0.0% 0.5% . . . $15,631.58 $25,513.36 $16,489.74 $41,238.26 $38,923.67 This item includes publication sales and job postings.

Partnership Programs 55,000 37,794 (17,206) 48,500 -11.8% 1.6% . . . $79,345.06 $65,395.03 $69,509.83 Any revenue realized from League partnership programs is included in this line item. Current programs included in this item are: American Legal, APS Internship, Utility Service Partners and Valley Schools.

Risk Pool 160,000 164,623 4,623 165,000 3.1% 5.4% . . . $159,976.00 $155,768.56 $151,056.44 $147,313.96 $143,530.54 The League receives an annual fee from the Arizona Municipal Risk Retention Pool (AMRRP) for institutional value related to our sponsorship, marketing, promotion, lobbying and other services for the insurance pool program. The Executive Director serves as a non- voting member of the AMRRP Board.

Seminars and Meetings 40,000 44,105 4,105 40,000 0.0% 1.3% . . . $14,155.00 $54,842.00 $32,330.00 $52,018.00 $38,660.00 The League offers a variety of classes and training program opportunities throughout the year, most at minimal or no cost. We also present programs in conjunction with one of the affiliate groups such as the city managers or city clerks, or other government-related groups. Fees are assessed to cover costs of training materials, mailings, refreshments, building space, etc.

TOTAL REVENUES $2,337,006 $2,274,725 ($62,281) $3,071,693 31.4% Budget Expected Over / PROPOSED % % of Total FY19-20 FY18-19 FY17-18 FY16-17 FY15-16 EXPENDITURES FY 2021 FY 2021 (Under) FY 2022 Change Budget Actual Actual Actual Actual Actual Annual Conference 20,000 1,657 (18,343) 230,000 1050.0% 7.8% . . . $318,244.41 $330,711.86 $247,551.06 $256,385.56 $232,942.00 The amount budgeted for Conference expenses is only an estimate because final contracts for meal functions and other activities are not yet finalized. This amount includes direct costs only, primarily for the conference hotel; staff time is not included in this figure. Revenue received from the Conference is expected to offset the entire amount of these expenses. (The 2020 Annual Conference was cancelled due to COVID- 19.) Benefits 547,000 483,527 (63,473) 542,000 -0.9% 18.4% . . . $494,054.61 $507,001.51 $491,644.97 $442,082.56 $480,029.98 Both the professional and clerical staff have pension coverage with the Arizona State Retirement System (ASRS) in addition to Social Security. Employees are covered by group insurance for health under policies with United Healthcare, a dental plan through Delta Dental, life insurance through the Guardian and long term disability insurance under ASRS. The League pays 100% of each employee’s costs and 80% of an employees' dependent health coverage. The League also offers two other options: a vision program and AFLAC insurance, both options fully paid by employees. By League policy, staff is also provided with an opportunity to participate in a professional development activity such as specialized training or conferences and higher education, upon the approval of the Executive Director. The following expenditures are projected: ASRS - $199,500; Group Health - $224,000; Group Dental - $14,600; Life Insurance - $3,700; FICA - $127,500; Worker's Compensation - $3,700; Other Miscellaneous - $18,000; Education/Professional Development - $10,000.

Capital Outlay 10,000 8,157 (1,843) 10,000 0.0% 0.3% . . . $26,297.57 $11,218.71 $17,168.58 $20,010.27 $22,348.42 The amount budgeted in this category is to keep up with the ongoing schedule of replacing computer equipment and operating software.

Equipment Rental & Maintenance 9,000 8,970 (30) 9,000 0.0% 0.3% . . . $8,562.34 $12,794.66 $11,225.41 $12,800.98 $22,862.21 This category includes the costs for equipment repair and maintenance agreements on office equipment such as the copiers and computers as well as IT services. Executive Committee 8,000 4,300 (3,700) 6,000 -25.0% 0.2% . . . $6,705.11 $7,089.52 $4,019.03 $9,408.22 $6,007.30 Members of the Executive Committee and subcommittees are eligible for reimbursement of expenses incurred in attending Executive Committee meetings other than the meeting held during the Annual Conference and for special meetings or legislative matters. The League President can be reimbursed for travel, lodging and related costs for attendance at the two major conferences of the National League of Cities. This category also includes the costs incurred for the luncheons in conjunction with the Executive Committee meetings.

Insurance 9,000 8,698 (302) 9,000 0.0% 0.3% . . . $8,675.25 $8,161.25 $7,714.50 $7,633.00 $7,553.25 The League has consolidated all our liability and workers comp coverage through AMRRP, the League-sponsored municipal insurance pool. This item includes insurance coverage for office contents, liability, data processing and employee bond.

Postage & Shipping 6,000 4,472 (1,528) 6,000 0.0% 0.2% . . . $5,264.43 $5,146.85 $6,392.45 $5,802.44 $3,454.79 The largest costs for the year in the postage and shipping budget are for shipping of the Local Government Directory, Legislative Poster and Annual Calendar.

PR & Communications 51,000 48,875 (2,125) 51,000 0.0% 1.7% . . . $58,218.67 $60,781.00 $49,392.50 $47,310.00 $32,400.00 The League retains the services of a communications management firm to coordinate our social media messaging in response to legislative issues. The League also retains the services of a communications marketing firm to create and implement aspects of the AZ Cities @ Work campaign as well as provide web assistance and newsletter design and distribution. Printing 10,000 10,159 159 10,000 0.0% 0.3% . . . $9,557.19 $9,457.18 $11,033.16 $9,623.93 $9,363.21 The League prints as many publications as possible in-house. Copy costs for in-house work are included in their respective lease/maintenance plans which are in the Equipment Rental and Maintenance budget item. Larger projects, such as the Local Government Directory are competitively bid out to private printing firms. Budgeted printing projects for the next fiscal year include the Local Government Directory, Policy Statement, Legislative Poster and Calendar. Professional Services 225,000 283,961 58,961 249,000 10.7% 8.5% . . . $254,549.98 $185,750.46 $151,830.33 $286,674.74 $248,087.85 Accounting 48,000 47,484 (516) 48,000 0.0% 1.6% $47,544.85 $47,150.46 $44,663.67 $44,278.91 $42,379.76 Contract Lobbying & Consulting Svcs 165,000 213,450 48,450 165,000 0.0% 5.6% $142,950.00 $133,850.00 $106,166.66 $143,068.83 $141,815.88 Legal 12,000 23,027 11,027 36,000 200.0% 1.2% $64,055.13 $4,750.00 $1,000.00 $99,327.00 $63,892.21 This category principally includes services from outside vendors and consultants such as contract lobbying assistance, specialized expertise on municipal elections, one-time projects and outside legal counsel. It also includes our annual audit by a certified public accounting firm, our monthly accounting services which are handled by a contractual agreement with a private accounting firm, paycheck processing fees and contracting fees for web hosting and maintenance. Budget Expected Over / PROPOSED % % of Total FY19-20 FY18-19 FY17-18 FY16-17 FY15-16 EXPENDITURES FY 2021 FY 2021 (Under) FY 2022 Change Budget Actual Actual Actual Actual Actual Prop Corp - Building Improvement Fund 10,000 10,000 0 10,000 0.0% 0.3% . . . $10,000.00 $10,000.00 The League contributes $10,000 annually into a fund to save for future building improvements.

Rent 105,000 105,000 0 105,000 0.0% 3.6% . . . $105,000.00 $105,000.00 $105,000.00 $105,000.00 $105,000.00 The League building is owned by the League’s Property Corporation. In order to account for maintenance and utility costs, the League pays rent to the Property Corporation. The rental cost for next year is $105,000, a rate of $19/sq. ft.

Salaries 1,450,000 1,441,871 (8,129) 1,520,000 4.8% 51.6% . . . $1,440,064.32 $1,423,874.94 $1,438,882.06 $1,279,851.92 $1,219,253.65 Staff salaries make up the largest expenditure line item of the League budget. Our fifteen staff positions include Executive Director, two Deputy Directors, Legislative Director, General Counsel, two Legislative Associates, Tax Policy Analyst, Communication and Education Associate, Member Services Associate, Office Manager, three clerical staff and a part-time Graphic Designer. We also hire interns for the legislative session and other special projects. Over time, our goal has been to have a competitive compensation package compared to other similar public and private organizations in order to retain our talented and effective League staff, while remaining sensitive to the fiscal condition of many of our member cities and towns. Maintaining staff stability helps with continuity on many complex issues, provides greater value to our members and gives us the opportunity to develop credibility and positive relationships with the legislators. The budgeted amount includes 3% salary increases for FY22.

Seminars and Meetings 48,000 30,909 (17,091) 44,000 -8.3% 1.5% . . . $40,795.46 $77,903.67 $51,623.08 $66,186.04 $52,178.25 This category includes all costs associated with our training seminars, workshops, luncheon meetings and special events. It also includes charges for receptions at the NLC conferences for Arizona delegates.

Subscriptions and Dues 63,000 62,425 (575) 63,000 0.0% 2.1% . . . $64,300.79 $59,391.27 $64,461.98 $65,350.73 $60,397.30 The bulk of this category is used to pay the League’s annual dues for membership in the National League of Cities. Other costs in this category include our subscriptions to printed versions of legislative bills and amendments, legislative-related newsletters and background sheets, our online legislative information tracking service and the update costs for the state statutes and legal resources housed in our library. Supplies / Office Expenses 38,000 11,273 (26,727) 38,000 0.0% 1.3% . . . $41,283.34 $46,798.97 $36,937.51 $42,452.06 $32,645.86 This line item pays for general office supplies such as paper and toner for the printers, pens, pads, notebooks as well as mailing supplies. It also includes other miscellaneous office expenses such as bankcard fees for processing credit card payments.

Telecommunications 24,000 22,553 (1,447) 24,000 0.0% 0.8% . . . $23,667.43 $23,667.47 $24,479.14 $27,170.40 $26,594.22 This category includes usage charges for the phones, Internet service, and web hosting fees. This category also includes charges for teleconferencing and virtual meeting services which are used extensively for legislative business and other meetings and webinars.

Travel 20,000 3,621 (16,379) 20,000 0.0% 0.7% . . . $28,135.89 $17,852.10 $16,625.42 $18,606.44 $17,230.28 As part of their job duties, League staff members travel to our member cities and towns for in-person visits and presentations as often as reasonably possible. It is a priority for staff members to keep in touch with our members across the state in support of legislative efforts and city assistance projects. Items in this category include rental vehicles as well as reimbursement for actual travel costs. This line item also includes air travel and lodging for NLC conferences and special meeting activities such as various State League meetings and NLC related metings.

TOTAL EXPENDITURES $2,653,000 $2,550,428 ($102,572) $2,946,000 11.0%

Revenues Over (Under) Expenditures ($315,994) ($275,703) $40,291 $125,693 Beginning Fund Balance $2,358,669 $2,358,669 $2,082,966 Ending Fund Balance $2,042,675 $2,082,966 $2,208,659 2021-2022 Property Corporation Budget

PRELIMINARY DRAFT

Budget Expected Over / PROPOSED REVENUES FY 2021 FY 2021 (Under) FY 2022 Rental Income 129,696 129,696 0 129,696 LACT: $105,000; Press: $24,000 Building Improvement Fund 10,000 10,000 --- 10,000 Interest 35 15 (20) 35 Miscellaneous 2,300 1,000 (1,300) 2,300 AGC's 1/2 share of dumpster cost TOTAL REVENUES 142,031 140,711 (1,320) 142,031

EXPENDITURES Accounting and Auditing 7,600 7,570 (30) 7,600 $4620 accountants; $2950 audit Capital Outlay 21,000 20,000 (1,000) 21,000 HVAC software upgrade Insurance 6,500 6,376 (124) 6,500

30% Increase in Siemen's contract to Maintenance Services/Agreements 38,000 36,967 (1,033) 41,000 include Aaon firmware updates Operating Expenses 5,000 2,804 (2,196) 5,000

Repairs and Maintenance 12,000 6,895 (5,105) 12,000

Utilities 24,000 22,247 (1,753) 24,000 TOTAL EXPENDITURES 114,100 102,859 (11,241) 117,100

Revenues Over (Under) Expenditures $27,931 $37,852 $9,921 $24,931

Beginning Fund Balance $128,356 $128,356 $166,208

Ending Fund Balance $156,287 $166,208 $9,921 $191,139

PROPERTY CORPORATION FISCAL YEAR 2021-2022

REVENUES

RENTAL INCOME: Revenue from rental of space in the League Building by the League and other tenants is expected to be: League of Arizona Cities and Towns ($19/sq ft/yr) $105,000 Rural Transportation Liaison (Room 104) 2,400 The Arizona Republic (Room 106) 6,000 Arizona Mirror (Room 105) 9,600 Associated Press (2 desks @ $100 ea/mo) 2,400 Arizona News Radio (2 desks @ $100 ea/mo) 2,400 Capitol Media Services (1 desk @ $100 ea/mo) 1,200 Plus taxes 696 Total $129,696

BUILDING IMPROVEMENT FUND: The League contributes $10,000 into a fund to save for future building improvements.

INTEREST: The Property Corporation’s funds are invested in a high balance savings account. A total of $35 is budgeted for interest earnings for next year.

MISCELLANEOUS: This category includes fees from Associated General Contractors for our shared refuse container and other miscellaneous revenues for a total of $2,300.

TOTAL REVENUES $142,031

EXPENDITURES

ACCOUNTING AND AUDITING: A total of $7,600 is budgeted for the CPA audit of Property Corporation accounts and for monthly accounting services and preparation of audit work papers.

CAPITAL OUTLAY: We will continue to make necessary repairs and improvements to the building. A total of $21,000 is budgeted for this year.

INSURANCE: This item includes building, flood and liability insurance. The total amount budgeted is $6,500.

MAINTENANCE SERVICES/AGREEMENTS: This category includes janitorial services, lawn service and refuse collection plus maintenance agreements for the elevator, air conditioning, parking lot sweeping and pest control for a total of $41,000.

OPERATING EXPENSES: Items in this account include paper goods, soap, light bulbs, air conditioning filters and cleaning supplies not furnished by the janitor. It also includes corporation fees, business license fees and other annual operating costs. The total amount budgeted is $5,000.

REPAIRS AND MAINTENANCE: This budget item provides for the repair and maintenance of the heating and air conditioning system not covered by the maintenance agreement, appliances, plumbing fixtures, the roof, the sprinkler system and other miscellaneous repairs. A total of $12,000 is budgeted.

UTILITIES: The budgeted amount for all utilities is $24,000.

TOTAL EXPENDITURES $117,100

PROPOSED FY 21-22 DUES No change to the formula used in FY20 and FY21 (BEFORE the 15% reduction). Adjusted populations to the 2019 Census estimates. (Provides a total of $2,226,243 in revenue to the FY22 budget.) 2019 Census PROPOSED DUES PAID IN Population PC $4,300 TOTAL DUES FY21 (w/15% % CITY/TOWN Estimates Rate BASE PER CAPITA FY 21-22 reduction) Difference change APACHE JUNCTION 42,571 0.54 $4,300 $22,988 $27,288 $22,813 $4,475 19.62% AVONDALE 87,931 0.53 $4,300 $46,603 $50,903 $42,324 $8,580 20.27% BENSON 4,880 0.55 $4,300 $2,684 $6,984 $5,933 $1,051 17.71% BISBEE 5,225 0.55 $4,300 $2,874 $7,174 $6,090 $1,084 17.79% BUCKEYE 79,620 0.53 $4,300 $42,199 $46,499 $37,159 $9,340 25.14% BULLHEAD CITY 40,884 0.54 $4,300 $22,077 $26,377 $22,208 $4,169 18.77% CAMP VERDE 11,187 0.55 $4,300 $6,153 $10,453 $8,909 $1,544 17.33% CAREFREE 3,927 0.55 $4,300 $2,160 $6,460 $5,467 $993 18.16% CASA GRANDE 58,632 0.53 $4,300 $31,075 $35,375 $29,438 $5,937 20.17% CAVE CREEK 5,838 0.55 $4,300 $3,211 $7,511 $6,348 $1,163 18.32% CHANDLER 261,165 $100,800 $85,680 $15,120 17.65% CHINO VALLEY 12,375 0.55 $4,300 $6,806 $11,106 $9,266 $1,840 19.86% CLARKDALE 4,391 0.55 $4,300 $2,415 $6,715 $5,709 $1,006 17.63% CLIFTON 3,708 0.55 $4,300 $2,039 $6,339 $5,385 $955 17.73% COLORADO CITY 4,836 0.55 $4,300 $2,660 $6,960 $5,926 $1,034 17.45% COOLIDGE 13,130 0.55 $4,300 $7,222 $11,522 $9,729 $1,792 18.42% COTTONWOOD 12,253 0.55 $4,300 $6,739 $11,039 $9,358 $1,681 17.96% DEWEY-HUMBOLDT 4,137 0.55 $4,300 $2,275 $6,575 $5,575 $1,001 17.95% DOUGLAS 16,193 0.55 $4,300 $8,906 $13,206 $11,125 $2,081 18.71% DUNCAN 788 0.55 $4,300 $433 $4,733 $4,024 $710 17.63% EAGAR 4,941 0.55 $4,300 $2,718 $7,018 $5,945 $1,072 18.04% EL MIRAGE 35,753 0.54 $4,300 $19,307 $23,607 $20,028 $3,579 17.87% ELOY 19,625 0.55 $4,300 $10,794 $15,094 $12,720 $2,373 18.66% FLAGSTAFF 75,038 0.53 $4,300 $39,770 $44,070 $36,976 $7,094 19.19% FLORENCE 27,422 0.54 $4,300 $14,808 $19,108 $15,781 $3,327 21.08% FOUNTAIN HILLS 25,200 0.54 $4,300 $13,608 $17,908 $15,336 $2,572 16.77% FREDONIA 1,281 0.55 $4,300 $705 $5,005 $4,263 $742 17.40% GILA BEND 2,100 0.55 $4,300 $1,155 $5,455 $4,634 $821 17.72% GILBERT 254,114 $100,800 $85,680 $15,120 17.65% GLENDALE 252,381 $100,800 $85,680 $15,120 17.65% GLOBE 7,347 0.55 $4,300 $4,041 $8,341 $7,089 $1,252 17.65% GOODYEAR 86,840 0.53 $4,300 $46,025 $50,325 $40,972 $9,353 22.83% GUADALUPE 6,631 0.55 $4,300 $3,647 $7,947 $6,739 $1,208 17.92% HAYDEN 631 0.55 $4,300 $347 $4,647 $3,951 $696 17.62% HOLBROOK 5,084 0.55 $4,300 $2,796 $7,096 $6,036 $1,060 17.57% HUACHUCA CITY 1,736 0.55 $4,300 $955 $5,255 $4,468 $787 17.62% JEROME 455 0.55 $4,300 $250 $4,550 $3,869 $682 17.62% KEARNY 2,168 0.55 $4,300 $1,192 $5,492 $4,658 $835 17.92% KINGMAN 31,013 0.54 $4,300 $16,747 $21,047 $17,569 $3,478 19.80% LAKE HAVASU CITY 55,865 0.53 $4,300 $29,608 $33,908 $28,473 $5,435 19.09% LITCHFIELD PARK 6,436 0.55 $4,300 $3,540 $7,840 $6,605 $1,235 18.70% MAMMOTH 1,687 0.55 $4,300 $928 $5,228 $4,426 $801 18.11% MARANA 49,030 0.54 $4,300 $26,476 $30,776 $25,231 $5,545 21.98% MARICOPA 52,127 0.53 $4,300 $27,627 $31,927 $26,616 $5,311 19.96% MESA 518,012 $116,900 $99,365 $17,535 17.65% MIAMI 1,780 0.55 $4,300 $979 $5,279 $4,484 $795 17.72% NOGALES 20,103 0.55 $4,300 $11,057 $15,357 $13,093 $2,264 17.29% ORO VALLEY 46,044 0.54 $4,300 $24,864 $29,164 $24,491 $4,672 19.08% PAGE 7,529 0.55 $4,300 $4,141 $8,441 $7,192 $1,249 17.36% PARADISE VALLEY 14,637 0.55 $4,300 $8,050 $12,350 $10,435 $1,916 18.36% PARKER 3,207 0.55 $4,300 $1,764 $6,064 $5,151 $913 17.72% PATAGONIA 874 0.55 $4,300 $481 $4,781 $4,067 $714 17.55% PAYSON 15,813 0.55 $4,300 $8,697 $12,997 $10,999 $1,998 18.16% PEORIA 175,961 0.52 $4,300 $91,500 $95,800 $79,793 $16,006 20.06% PHOENIX 1,680,992 $151,100 $128,435 $22,665 17.65% PIMA 2,558 0.55 $4,300 $1,407 $5,707 $4,829 $878 18.17% PINETOP-LAKESIDE 4,469 0.55 $4,300 $2,458 $6,758 $5,727 $1,031 17.99% PRESCOTT 44,299 0.54 $4,300 $23,921 $28,221 $23,536 $4,685 19.91% PRESCOTT VALLEY 46,515 0.54 $4,300 $25,118 $29,418 $24,655 $4,763 19.32% 2019 Census PROPOSED DUES PAID IN Population PC $4,300 TOTAL DUES FY21 (w/15% % CITY/TOWN Estimates Rate BASE PER CAPITA FY 21-22 reduction) Difference change QUARTZSITE 3,763 0.55 $4,300 $2,070 $6,370 $5,416 $954 17.62% QUEEN CREEK 50,890 0.53 $4,300 $26,972 $31,272 $26,266 $5,006 19.06% SAFFORD 9,983 0.55 $4,300 $5,491 $9,791 $8,270 $1,520 18.39% SAHUARITA 31,421 0.54 $4,300 $16,967 $21,267 $17,554 $3,713 21.15% SAN LUIS 34,778 0.54 $4,300 $18,780 $23,080 $19,027 $4,053 21.30% SCOTTSDALE 258,069 $100,800 $85,680 $15,120 17.65% SEDONA 10,339 0.55 $4,300 $5,686 $9,986 $8,487 $1,500 17.67% SHOW LOW 11,442 0.55 $4,300 $6,293 $10,593 $8,948 $1,646 18.39% SIERRA VISTA 43,045 0.54 $4,300 $23,244 $27,544 $24,044 $3,501 14.56% SNOWFLAKE 5,995 0.55 $4,300 $3,297 $7,597 $6,394 $1,204 18.83% SOMERTON 16,554 0.55 $4,300 $9,105 $13,405 $11,365 $2,040 17.95% SOUTH TUCSON 5,715 0.55 $4,300 $3,143 $7,443 $6,318 $1,125 17.80% SPRINGERVILLE 1,978 0.55 $4,300 $1,088 $5,388 $4,582 $806 17.60% ST. JOHNS 3,512 0.55 $4,300 $1,932 $6,232 $5,299 $932 17.60% STAR VALLEY 2,308 0.55 $4,300 $1,269 $5,569 $4,732 $838 17.71% SUPERIOR 3,178 0.55 $4,300 $1,748 $6,048 $5,123 $924 18.04% SURPRISE 141,664 0.52 $4,300 $73,665 $77,965 $64,722 $13,243 20.46% TAYLOR 4,321 0.55 $4,300 $2,377 $6,677 $5,647 $1,029 18.22% TEMPE 195,805 0.52 $4,300 $101,819 $106,119 $88,680 $17,439 19.66% THATCHER 5,200 0.55 $4,300 $2,860 $7,160 $6,057 $1,103 18.21% TOLLESON 7,372 0.55 $4,300 $4,055 $8,355 $7,067 $1,287 18.22% TOMBSTONE 1,303 0.55 $4,300 $717 $5,017 $4,263 $754 17.69% TUCSON 548,073 $116,900 $99,365 $17,535 17.65% TUSAYAN 580 0.55 $4,300 $319 $4,619 $3,929 $690 17.55% WELLTON 3,044 0.55 $4,300 $1,674 $5,974 $5,072 $903 17.80% WICKENBURG 8,092 0.55 $4,300 $4,451 $8,751 $7,320 $1,430 19.54% WILLCOX 3,533 0.55 $4,300 $1,943 $6,243 $5,307 $936 17.64% WILLIAMS 3,248 0.55 $4,300 $1,786 $6,086 $5,163 $923 17.88% WINKELMAN 351 0.55 $4,300 $193 $4,493 $3,820 $673 17.63% WINSLOW 9,338 0.55 $4,300 $5,136 $9,436 $8,062 $1,374 17.04% YOUNGTOWN 6,859 0.55 $4,300 $3,772 $8,072 $6,851 $1,222 17.83% YUMA 98,285 0.53 $4,300 $52,091 $56,391 $47,763 $8,628 18.07% 5,791,407 $2,226,243 $1,875,056 $351,188 18.73%

FY12, FY13, FY20, FY21, PER CAPITA RATES FY14, FY15 FY16, FY17 FY18, FY19 FY22 0 - 25,000 .48 .49 .52 .55 25,001 - 50,000 .47 .48 .51 .54 50,001 - 100,000 .46 .47 .50 .53 100,001 - 200,000 .45 .46 .49 .52

FY13, FY20, FY21, DUES CAP FORMULA FY12 FY14, FY15 FY16 FY17 FY18, FY19 FY22 Populations over 1.5 million $142,000 $142,250 $137,500 $139,770 $145,300 $151,100 Populations over 1 million $119,000 $119,250 $124,020 $126,065 $131,100 $136,300 Populations 400,000 - 999,999 $102,000 $102,250 $106,340 $108,095 $112,400 $116,900 Populations 200,000 - 399,999 $88,000 $88,250 $91,780 $93,295 $97,000 $100,800

Historical Record Key: No change Increase Reduction

*For FY21, the Executive Committee approved to keep dues at the same rate as FY20 with dues figures calculated using the 2018 census estimates. Due to COVID-19, the Executive Committee adopted a 15% decrease to dues for FY20.

*For FY20, the Executive Committee approved an increase to the base by $140; an increase to per capita rates by .03 with dues figures calculated using the 2017 Census Estimates; and an increase to cap figures by 4%.

*For FY19, the Executive Committee approved to keep dues at the same rate as FY18 with dues figures calculated using the 2016 census estimates.

*For FY18, the Executive Committee approved a base increase of $250 and a per capita increase of .03 with dues figured calculated using the 2015 Census estimates; also increased the CAPS by 4% .

*For FY17, the Executive Committee approved a base increase of $160 with dues figures calculated using the 2015 DES estimate figures; also increased the caps by 1.65%.

*For FY16, the Executive Committee approved a per capita increase of .01 with dues figures calculated using the 2014 estimate figures; also increased the caps by 4%. PROPOSED FY 21-22 DUES No change to the formula used in FY20 and FY21 (BEFORE the 15% reduction). Adjusted populations to the 2019 Census estimates. (Provides a total of $2,226,243 in revenue to the FY22 budget.) TOTAL DUES 2019 FY 20-21 (Adopted Feb Census PROPOSED 2020 BEFORE 15% Population PC $4,300 TOTAL DUES COVID reduction in May % CITY/TOWN Estimates Rate BASE PER CAPITA FY 21-22 2020) Difference change APACHE JUNCTION 42,571 0.54 $4,300 $22,988 $27,288 $26,839 $449 1.67% AVONDALE 87,931 0.53 $4,300 $46,603 $50,903 $49,793 $1,111 2.23% BENSON 4,880 0.55 $4,300 $2,684 $6,984 $6,980 $4 0.06% BISBEE 5,225 0.55 $4,300 $2,874 $7,174 $7,165 $9 0.12% BUCKEYE 79,620 0.53 $4,300 $42,199 $46,499 $43,716 $2,783 6.36% BULLHEAD CITY 40,884 0.54 $4,300 $22,077 $26,377 $26,127 $250 0.96% CAMP VERDE 11,187 0.55 $4,300 $6,153 $10,453 $10,481 -$29 -0.27% CAREFREE 3,927 0.55 $4,300 $2,160 $6,460 $6,432 $28 0.44% CASA GRANDE 58,632 0.53 $4,300 $31,075 $35,375 $34,633 $742 2.14% CAVE CREEK 5,838 0.55 $4,300 $3,211 $7,511 $7,468 $43 0.57% CHANDLER 261,165 $100,800 $100,800 $0 0.00% CHINO VALLEY 12,375 0.55 $4,300 $6,806 $11,106 $10,902 $205 1.88% CLARKDALE 4,391 0.55 $4,300 $2,415 $6,715 $6,716 -$1 -0.02% CLIFTON 3,708 0.55 $4,300 $2,039 $6,339 $6,335 $4 0.07% COLORADO CITY 4,836 0.55 $4,300 $2,660 $6,960 $6,971 -$12 -0.17% COOLIDGE 13,130 0.55 $4,300 $7,222 $11,522 $11,446 $75 0.66% COTTONWOOD 12,253 0.55 $4,300 $6,739 $11,039 $11,009 $30 0.27% DEWEY-HUMBOLDT 4,137 0.55 $4,300 $2,275 $6,575 $6,558 $17 0.26% DOUGLAS 16,193 0.55 $4,300 $8,906 $13,206 $13,088 $118 0.90% DUNCAN 788 0.55 $4,300 $433 $4,733 $4,734 -$1 -0.01% EAGAR 4,941 0.55 $4,300 $2,718 $7,018 $6,994 $23 0.33% EL MIRAGE 35,753 0.54 $4,300 $19,307 $23,607 $23,562 $45 0.19% ELOY 19,625 0.55 $4,300 $10,794 $15,094 $14,965 $129 0.86% FLAGSTAFF 75,038 0.53 $4,300 $39,770 $44,070 $43,501 $569 1.31% FLORENCE 27,422 0.54 $4,300 $14,808 $19,108 $18,566 $542 2.92% FOUNTAIN HILLS 25,200 0.54 $4,300 $13,608 $17,908 $18,043 -$135 -0.75% FREDONIA 1,281 0.55 $4,300 $705 $5,005 $5,015 -$10 -0.21% GILA BEND 2,100 0.55 $4,300 $1,155 $5,455 $5,452 $3 0.06% GILBERT 254,114 $100,800 $100,800 $0 0.00% GLENDALE 252,381 $100,800 $100,800 $0 0.00% GLOBE 7,347 0.55 $4,300 $4,041 $8,341 $8,340 $1 0.01% GOODYEAR 86,840 0.53 $4,300 $46,025 $50,325 $48,203 $2,123 4.40% GUADALUPE 6,631 0.55 $4,300 $3,647 $7,947 $7,928 $19 0.24% HAYDEN 631 0.55 $4,300 $347 $4,647 $4,648 -$1 -0.02% HOLBROOK 5,084 0.55 $4,300 $2,796 $7,096 $7,101 -$5 -0.07% HUACHUCA CITY 1,736 0.55 $4,300 $955 $5,255 $5,256 -$1 -0.02% JEROME 455 0.55 $4,300 $250 $4,550 $4,551 -$1 -0.02% KEARNY 2,168 0.55 $4,300 $1,192 $5,492 $5,480 $13 0.23% KINGMAN 31,013 0.54 $4,300 $16,747 $21,047 $20,670 $377 1.83% LAKE HAVASU CITY 55,865 0.53 $4,300 $29,608 $33,908 $33,498 $411 1.23% LITCHFIELD PARK 6,436 0.55 $4,300 $3,540 $7,840 $7,771 $69 0.89% MAMMOTH 1,687 0.55 $4,300 $928 $5,228 $5,208 $20 0.39% MARANA 49,030 0.54 $4,300 $26,476 $30,776 $29,684 $1,092 3.68% MARICOPA 52,127 0.53 $4,300 $27,627 $31,927 $31,313 $614 1.96% MESA 518,012 $116,900 $116,900 $0 0.00% MIAMI 1,780 0.55 $4,300 $979 $5,279 $5,276 $3 0.06% NOGALES 20,103 0.55 $4,300 $11,057 $15,357 $15,403 -$47 -0.30% ORO VALLEY 46,044 0.54 $4,300 $24,864 $29,164 $28,813 $350 1.22% PAGE 7,529 0.55 $4,300 $4,141 $8,441 $8,461 -$20 -0.24% PARADISE VALLEY 14,637 0.55 $4,300 $8,050 $12,350 $12,276 $74 0.60% PARKER 3,207 0.55 $4,300 $1,764 $6,064 $6,060 $4 0.06% PATAGONIA 874 0.55 $4,300 $481 $4,781 $4,785 -$4 -0.08% PAYSON 15,813 0.55 $4,300 $8,697 $12,997 $12,941 $57 0.44% PEORIA 175,961 0.52 $4,300 $91,500 $95,800 $93,875 $1,925 2.05% PHOENIX 1,680,992 $151,100 $151,100 $0 0.00% PIMA 2,558 0.55 $4,300 $1,407 $5,707 $5,682 $25 0.45% PINETOP-LAKESIDE 4,469 0.55 $4,300 $2,458 $6,758 $6,738 $20 0.29% PRESCOTT 44,299 0.54 $4,300 $23,921 $28,221 $27,690 $532 1.92% PRESCOTT VALLEY 46,515 0.54 $4,300 $25,118 $29,418 $29,006 $413 1.42% TOTAL DUES 2019 FY 20-21 (Adopted Feb Census PROPOSED 2020 BEFORE 15% Population PC $4,300 TOTAL DUES COVID reduction in May % CITY/TOWN Estimates Rate BASE PER CAPITA FY 21-22 2020) Difference change QUARTZSITE 3,763 0.55 $4,300 $2,070 $6,370 $6,371 -$2 -0.03% QUEEN CREEK 50,890 0.53 $4,300 $26,972 $31,272 $30,901 $371 1.20% SAFFORD 9,983 0.55 $4,300 $5,491 $9,791 $9,730 $61 0.63% SAHUARITA 31,421 0.54 $4,300 $16,967 $21,267 $20,652 $615 2.98% SAN LUIS 34,778 0.54 $4,300 $18,780 $23,080 $22,385 $696 3.11% SCOTTSDALE 258,069 $100,800 $100,800 $0 0.00% SEDONA 10,339 0.55 $4,300 $5,686 $9,986 $9,984 $2 0.02% SHOW LOW 11,442 0.55 $4,300 $6,293 $10,593 $10,527 $67 0.63% SIERRA VISTA 43,045 0.54 $4,300 $23,244 $27,544 $28,287 -$743 -2.62% SNOWFLAKE 5,995 0.55 $4,300 $3,297 $7,597 $7,522 $75 1.00% SOMERTON 16,554 0.55 $4,300 $9,105 $13,405 $13,370 $35 0.26% SOUTH TUCSON 5,715 0.55 $4,300 $3,143 $7,443 $7,433 $10 0.13% SPRINGERVILLE 1,978 0.55 $4,300 $1,088 $5,388 $5,390 -$2 -0.04% ST. JOHNS 3,512 0.55 $4,300 $1,932 $6,232 $6,234 -$3 -0.04% STAR VALLEY 2,308 0.55 $4,300 $1,269 $5,569 $5,567 $3 0.05% SUPERIOR 3,178 0.55 $4,300 $1,748 $6,048 $6,028 $20 0.34% SURPRISE 141,664 0.52 $4,300 $73,665 $77,965 $76,144 $1,822 2.39% TAYLOR 4,321 0.55 $4,300 $2,377 $6,677 $6,644 $32 0.49% TEMPE 195,805 0.52 $4,300 $101,819 $106,119 $104,329 $1,789 1.72% THATCHER 5,200 0.55 $4,300 $2,860 $7,160 $7,126 $34 0.48% TOLLESON 7,372 0.55 $4,300 $4,055 $8,355 $8,314 $40 0.48% TOMBSTONE 1,303 0.55 $4,300 $717 $5,017 $5,015 $2 0.03% TUCSON 548,073 $116,900 $116,900 $0 0.00% TUSAYAN 580 0.55 $4,300 $319 $4,619 $4,623 -$4 -0.08% WELLTON 3,044 0.55 $4,300 $1,674 $5,974 $5,967 $8 0.13% WICKENBURG 8,092 0.55 $4,300 $4,451 $8,751 $8,612 $139 1.61% WILLCOX 3,533 0.55 $4,300 $1,943 $6,243 $6,244 -$1 -0.01% WILLIAMS 3,248 0.55 $4,300 $1,786 $6,086 $6,074 $12 0.20% WINKELMAN 351 0.55 $4,300 $193 $4,493 $4,494 -$1 -0.01% WINSLOW 9,338 0.55 $4,300 $5,136 $9,436 $9,485 -$49 -0.52% YOUNGTOWN 6,859 0.55 $4,300 $3,772 $8,072 $8,060 $13 0.16% YUMA 98,285 0.53 $4,300 $52,091 $56,391 $56,191 $200 0.36% 5,791,407 $2,226,243 $2,205,948 $20,296 0.92%

FY12, FY13, FY16, FY20, FY21, PER CAPITA RATES FY14, FY15 FY17 FY18, FY19 FY22 0 - 25,000 .48 .49 .52 .55 25,001 - 50,000 .47 .48 .51 .54 50,001 - 100,000 .46 .47 .50 .53 100,001 - 200,000 .45 .46 .49 .52

FY13, FY14, FY20, FY21, DUES CAP FORMULA FY12 FY15 FY16 FY17 FY18, FY19 FY22 Populations over 1.5 million $142,000 $142,250 $137,500 $139,770 $145,300 $151,100 Populations over 1 million $119,000 $119,250 $124,020 $126,065 $131,100 $136,300 Populations 400,000 - 999,999 $102,000 $102,250 $106,340 $108,095 $112,400 $116,900 Populations 200,000 - 399,999 $88,000 $88,250 $91,780 $93,295 $97,000 $100,800

Historical Record Key: No change Increase Reduction

*For FY19, the Executive Committee approved to keep dues at the same rate as FY18 with dues figures calculated using the 2016 census estimates.

*For FY18, the Executive Committee approved a base increase of $250 and a per capita increase of .03 with dues figured calculated using the 2015 Census estimates; also increased the CAPS by 4% .

*For FY17, the Executive Committee approved a base increase of $160 with dues figures calculated using the 2015 DES estimate figures; also increased the caps by 1.65%.

*For FY16, the Executive Committee approved a per capita increase of .01 with dues figures calculated using the 2014 estimate figures; also increased the caps by 4%.

EXECUTIVE COMMITTEE MEETING Friday, February 5, 2021

Agenda Item #5 Review of 2020-2021 Work Plan

Summary: This draft plan was developed by staff for review by the Executive Committee. It represents an effort to present a set of tasks that reflect the goals of the Executive Committee and League staff through the strategic plan.

Responsible Person: Tom Belshe

Attachment: Draft 2021 League of Arizona Cities and Towns Work Plan

Action Requested: Approval

Boldly and proac- tively drive policy on behalf of Arizona’s cities and towns.

Maximize Raise visibility organizational of the critical effectiveness. role of local gov- EMPOWERED ernment. CITIES AND TOWNS, UNITED FOR A BRIGHTER FUTURE FOR ARIZONA.

Seek inclusiveness and provide Model and inspire meaningful engagement excellent and opportunities to effective city and all members. town leadership.

Develop and champion high-quality solutions to help cities and towns thrive. 2021 League Work Plan Lead: Promote: 1. Continually revise the Policy Committee 1. Continue to expand our significant social Process to improve the efficiency and media efforts to both promote our cities efficacy of the structure. and towns and to be the “go to” source for 2. Explore ways to become an established information on Arizona municipal issues. part of the freshman orientation program 2. Provide opportunities to assist our at the state legislature. members who wish to serve on boards 3. Utilize interviews with members of the and committees of the National League Executive Committee to demonstrate their of Cities as well as other organizations tremendous contribution to the economy dedicated to local government excellence. and quality of life in their cities and towns. 3. Create a “data consortium” that includes 4. Continue to strengthen our relationship other local governments, COGs, and with our federal delegation and be more other like-minded organizations seeking proactive in federal issues impacting to gather reliable data for decision making Arizona municipalities, both legislative and best practices development. and non-legislative. 4. Continue to promote best practices by cities and towns on issues that impact all cities in Arizona by creating a process to solicit best practices and innovations developed by our members.

Educate: 1. Continue to expand the number and scope of training opportunities through the use of virtual platforms. 2. Explore flexible options for “hybrid” delivery of conferences including in person and virtual options to fit current conditions. 3. Expand our manuals to continue the focus on legal requirements while including real-world strategies from cities and towns to provide practical implementation assistance. 4. Explore expanding our existing Newly Elected Official training into a robust certification program in partnership with educational institutions. Engage: Empower: 1. Maintain current relationships with state 1. Expand on data structure created last legislators and staff and strengthen year. Determine necessary data sets relationships as opportunities arise. and then establish collection processes 2. Expand our relationships with state or sharing processes to place data into agencies including, ADOR, ADOT, ADEQ, that structure. ADOA, PSPRS, State Land Department, etc. 2. Develop data partnerships that expand to serve as a facilitator on issues of nexus our datasets and technical abilities in with local communities and state agencies. support of internal efforts. 3. Expand on the strengthened relationship 3. Expand upon existing efforts to develop with the National League of Cities. and disseminate well-informed, 4. Continue and strengthen regular, high-quality collateral materials year-round communications with industry to support our educational and and industry associations such as the state lobbying efforts. chamber, AGC, Arizona Multi-Housing 4. Strengthen our legal, tax and other Association, etc. technical expertise through contract 5. Establish an educational program to assist and staff training. local elected officials who wish to seek statewide office.

Deliver: 1. Continue to seek ways to serve our member cities with efficient use of staff resources to deliver the highest quality service to our members within a very affordable dues structure. 2. Meet with each city and town within a three-year period through personal staff visits to strengthen relationships and better understand the unique needs of our cities/towns and their regions. 3. Continue to hire and retain the highest quality of staff that is responsive to evolving needs of our member cities; large and small, urban and rural.

Additional Informational Materials Not Part of the Agenda

League Budget Report Property Corporation Budget Report

League of Arizona Cities & Towns FY 2019-2020 Budget vs. Actual July through December 2020

Jul - Dec 20 Budget $ Over Budget % of Budget Ordinary Income/Expense Income 4000 · Affiliate Group Contribution 57,479.12 137,950.00 -80,470.88 41.7% 4010 · Dues 1,875,056.00 1,875,056.00 0.00 100.0% 4020 · Miscellaneous 4,007.18 14,000.00 -9,992.82 28.6% 4016 · Partnership Programs 1,694.08 55,000.00 -53,305.92 3.1% 4030 · Risk Pool 82,311.52 160,000.00 -77,688.48 51.4% 4035 · Seminars & Meetings 14,735.00 40,000.00 -25,265.00 36.8%

4040 · Interest Income 1,664.03 55,000.00 -53,335.97 3.0%

Total Income 2,036,946.93 2,337,006.00 -300,059.07 87.2%

Expense 5005 · Annual Conference (Expense) 1,657.39 20,000.00 -18,342.61 8.3% 5010 · Benefits 242,552.94 547,000.00 -304,447.06 44.3%

5015 · Capital Outlay 3,029.22 10,000.00 -6,970.78 30.3%

5030 · Equipment Rental & Maintenance 2,952.30 9,000.00 -6,047.70 32.8% 5035 · Executive Committee 0.00 8,000.00 -8,000.00 0.0% 5050 · Insurance 4,394.44 9,000.00 -4,605.56 48.8% 5055 · Postage & Shipping 777.50 6,000.00 -5,222.50 13.0% 5057 · PR & Communications 24,125.00 51,000.00 -26,875.00 47.3% 5060 · Printing 90.90 10,000.00 -9,909.10 0.9%

5065 · Professional Services 5065-1 · Accounting Services 26,732.42 48,000.00 -21,267.58 55.7% 5065-3 · Legal Services 23,027.00 12,000.00 11,027.00 191.9% 5065-2 · Contract Lobbying & Consulti... 101,050.00 165,000.00 -63,950.00 61.2%

Total 5065 · Professional Services 150,809.42 225,000.00 -74,190.58 67.0%

5070 · Rent 52,500.00 105,000.00 -52,500.00 50.0% 5071 · Salaries 711,271.52 1,450,000.00 -738,728.48 49.1% 5075 · Seminars and Meetings 909.42 48,000.00 -47,090.58 1.9%

5085 · Subscriptions & Dues 42,725.43 63,000.00 -20,274.57 67.8% 5090 · Supplies 1,639.25 38,000.00 -36,360.75 4.3%

5095 · Telecommunications 8,930.70 24,000.00 -15,069.30 37.2% 5100 · Travel 286.35 20,000.00 -19,713.65 1.4% 5115 · Prop Corp-Bldg Improvement Fund 0.00 10,000.00 -10,000.00 0.0%

Total Expense 1,248,651.78 2,653,000.00 -1,404,348.22 47.1%

Net Ordinary Income 788,295.15 -315,994.00 1,104,289.15 -249.5%

Net Income 788,295.15 -315,994.00 1,104,289.15 -249.5% Property Corporation FY 2020-2021 Budget vs. Actual July through December 2020

Jul - Dec 20 Budget $ Over Budget % of Budget Ordinary Income/Expense Income 4003 · Building Improvement Fund 0.00 10,000.00 -10,000.00 0.0% 4000 · Rental Income 72,051.00 119,400.00 -47,349.00 60.3% 4005 · Miscellaneous 0.00 1,500.00 -1,500.00 0.0% 4010 · Interest 7.36 50.00 -42.64 14.7%

Total Income 72,058.36 130,950.00 -58,891.64 55.0%

Expense 5000 · Maintenance Services/Agreements 17,511.13 35,000.00 -17,488.87 50.0% 5015 · Utilities 13,055.01 34,000.00 -20,944.99 38.4% 5020 · Repairs and Maintenance 4,070.28 12,000.00 -7,929.72 33.9% 5025 · Operating Expenses 845.07 5,000.00 -4,154.93 16.9% 5030 · Accounting and Auditing 4,875.00 7,400.00 -2,525.00 65.9% 5035 · Insurance 3,188.00 5,500.00 -2,312.00 58.0% 5040 · Capital Outlay 0.00 21,000.00 -21,000.00 0.0%

Total Expense 43,544.49 119,900.00 -76,355.51 36.3%

Net Ordinary Income 28,513.87 11,050.00 17,463.87 258.0%

Net Income 28,513.87 11,050.00 17,463.87 258.0%