Monday, November 28, 2022

Council Appropriates $3.2 million More For Naranja Park Buildout

Council appropriated $3.2 million reserves for Naranja Park Buildout
On November 16, the Oro Valley town Council appropriated $3.2 million to “complete” the build out of Naranja park amenities. The approval is exactly what Town staff wanted and includes all of the value engineering changes town staff recommended.  In addition, the council earmarked $509,000 of development impact fees to cover the overrun.

Bond project items that will not be funded at the moment are detailed in our posting of November 16. These will be subject to “pay as you go” spending. 

Nicolson: Sports Tourism is "front and center"
One of the key areas considered by the Council was sports tourism. This concept was introduced to council by former Mayor Hiremath. Councilmembers Nicolson and Jones-Ivey want a world-class pump track that can be used for competition. They think that it will bring people from out of town who will stay in the hotels that have yet to be built. During the one hour discussion, Nicolson, focused only on the pump track. He spoke of nothing else. Clearly, Nicolson wants his pump track.

Musette Drive Connection from Tangerine
Barrett: Borrowing was a good deal when we did it
Vice mayor Barrett commented several times during the meeting to justify why borrowing money to finance the park was good idea. The town received a favorable interest rate on the $25 million in borrowing. The amount of funding to build out the amenities was estimated to be $33 million. Yes. The amount ballooned to well over $50 million, Barrett noted. 

Mayor Winfield claimed that there was no way to predict the overrun
According to Winfield, the original estimate was provided by an engineering firm. This is not the case. It was provided by a Parks Consultant. In addition, the council was advised on several occasion by Public Works Director Keesler that there were materials shortages and that costs were rapidly inflating. 

Solomon: Council ignored statistically valid survey regarding parks priorities
Councilmember Steve Solomon said the same thing that he has said every time this subject is on the agenda. His assertion is that the amenities that are being built don’t follow what people want because they don’t in any way sync with the statistically valid survey that the town did 18 months ago. No one asked for a skate park. Or a splash pad. Residents want trails. Solomon is correct. But that ship has sailed!

Bohen: Last election validates doing this
Councilmember Bohen pointed out that we had a recent election of four people. These are the same four people who proposed the bond. They were reelected. Obviously, the community felt they were doing the right thing.

Greene voted "no" but gave no reason
Councilmember Mo Greene did not vote for the measure. He did not state the reason why he voted “no” since he did not speak. Our guess is that he was caught off guard when Solomon voted in favor. Generally, Greene votes the way Solomon votes.

Winfield's "sleight-of-hand" succeeds
Mayor Winfield is giddy over the fact that Naranja Park is going to be completed. He achieved what former Mayors Paul Loomis and Satish Hiremath were not able to get done. Both Loomis and Hiremath proposed that the town issue bonds that would be paid via a secondary property tax.  Residents voted “no” on that. 

Winfield, on the other hand, circumvented the entire “property tax thing” by issuing a bond that will be serviced from the existing sales tax. A rather clever sleight-of-hand. Oh yes… Winfield and his council also abandoned the “pay as you go” funding for parks improvements. This is a policy that his council at one time affirmed and that all council’s have followed.  The reason that policy prevailed is that is unwise to borrow to fund “wants.”

The "thing in the punch bowl:" Town has no idea what it will cost to maintain Naranja Park
What is lost in all of this is what it is going to cost to maintain the new Naranja Park. Ongoing maintenance cost of the facility has never been considered by this Council  This despite the fact that town ordinances require estimating maintenance cost before committing to build any facility. That is simply smart fiscal management. It is important to know what it is going to cost to maintain a new facility because that cost is borne in future budgets.

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