CC - Agendas - City Council - REGULAR - 7/23/2013

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Prescott City Council Workshop —July 2, 2013 Page 4 ialow Councilman Lamerson asked what the industrial development will include and the impact on water. Mr. McConnell said in the Water Service Agreement there is a distinction within the 248.5 acre feet of water allocated and 56 of those acre feet are for workforce housing. The remaining 192.5 acre feet are for market housing, which is almost 600 units. The proposal is a request not a negotiation. The Council can set criteria, Mr. McConnell said. Councilman Carlow asked what the risk is to the City. Mr. McConnell said it locks in as a base, the 248.5 acre feet. To do Phase I, it takes water. When Phase II is platted it would add in water to serve Phase I. After build out, it will not go over the 248.5 acre feet. Councilman Kuknyo called attention to the airport specific area plan. Mrs. Traxler said the area was amended by the Airport Master Plan. This is the end result of a public process. Mayor Kuykendall asked about water and potential water use for industrial and industries that bring employment to the City. The market developing at this moment is for smaller houses. He does not think the airport is a deterrent to building houses in this area. He thinks the location is fine and the size of lots is adequate. The land is available and the City has invested money in a road system. We are prepared for growth in that area. Jason Gisi, owner's agent addressed questions. He said Phase I is 212 lots of 7,000- 14,000 square feet. If approved today, the engineer would start tomorrow. As they move forward, 102 dwelling units to the east would be built. Phase I is a three year build out of 212 units. They are not asking for a reservation of water. If we rezone and construct Phase I, we would earn our water at the point where we final plat Phase II. He said they could then earn, incrementally, up to a cap for 210 acre feet. Mayor Kuykendall said if the City assumes there will be growth in the future, the length of time to do a major annexation to accommodate residential growth would take several years. Mr. McConnell said that would be determined by market. If we are talking about performance we want developers that are actually going to develop. The City should encourage development on residential property. A consideration is placing a time limit, such as building within 5-years or you lose the water. Mr. Gisi reported how the Peavine Trail relates to the project, saying it enhances the project. The trail is an amenity and in their best interest to delicately handle. The lots do not exist at this time. He will be willing to work with the people who use the trail so restrictions are not made. Mr. McConnell explained the recommendations in front of Council. Mayor Kuykendall said if we have a performer, why not give them the water for the entire project. Mr. Gisi said Alternative II includes language to incrementally earn water up to the cap of 210 acre feet.