A Better Idea Than ASU Downtown Mesa - An Open Public Square For Everyone

 . . . and it is well-designed.  More than half of what was needed to rebuild the square’s surface area came from foundations, individuals and corporations.
ANN ZOLLER, Executive Director, LAND Studio: From day one, when we started raising money, we not only raised money for capital, but we raised money for the ongoing program and maintenance. So it’s build it right, make sure it’s used correctly, and, at the get-go, raise money for the future program and maintenance. . . And we don’t play off downtown vs. neighborhood, . .   We don’t play off those kinds of things. What we do, we invest in the city of Cleveland. And when we invest in the city of Cleveland, we do that for the benefit of the entire city.
JAMES CORNER the landscape architect behind Cleveland’s new Public Square, whose firm, James Corner Field Operations, is today designing public spaces in many cities in the U.S. and abroad.
Creating great public spaces is not only about beautification and greenery and social settings. It’s also about platforms for democratic life to play out.

Published on Jul 13, 2016

Views:3,453

Just in time for next week’s Republican convention, Cleveland has unveiled a $50 million renovation of its historic, 10-acre Public Square in the city’s downtown.

The landscape architect was James Corner, the same man behind New York City’s celebrated High Line. The square is sure to be the site of expected protests next week. Corner says it’s ready. Jeffrey Brown reports from Cleveland.

New from Economic Development Office > BDO Maps

Business District Opportunity Maps To help companies better understand the opportunities in our targeted employment centers, we have created four new business district maps.

Downtown Mesa
Downtown District Employment Center
Source: City of Mesa




Contact
Kelley KefferManagement Assistant II
Office of Economic Development
Phone: 480-644-6958
Fax: 480-644-3458

The City of Mesa is growing by leaps and bounds and Downtown Mesa is fast becoming the hub of activities for this prospering region.
Excerpts from the city webpage given in round numbers
Downtown Mesa has

• 7,000 employees
• 3,000 residents
• 11,000 + daily visitors who come to shop, play, learn, and conduct commerce
• 40+ acres of developable land within ½ mile of Downtown Mesa light rail stations, ripe for Transit-Oriented Development (TOD) opportunities
• 253,000 SF of office space,
• 48,000 SF of retail space
• $200+ million in public/ private investment since 1997
• 250 commercial property owners and 490 businesses

Note: Education Attainment Levels

Less than 20% are high school graduates
Less than 25% have some college
Less than 50% have Associate degrees or higher

BDO maps define the investment and opportunities within Downtown Mesa, Fiesta District, Falcon District, and the Mesa Gateway Area. Each is unique to the assets and character of the respective districts and provides an overview of the activity in the area. Please take a moment to review the maps at www.mesaaz.gov/business/economic-development/business-districts-maps or click on any of the links below.

> Downtown Mesa
> Falcon District
> Fiesta District
> Mesa Gateway Area

Hell Fire & Brimstone > A Defense World Worth Million$ + Billion$

All kinds of news out there, from Nintendo shares value rocketing sky-high for Pokémon Go app, more mass shootings here in America, another Serial Shooter in Phoenix,  the long contest for President of the United States, the fast turn-around for the office of Prime Minister in not-so Great Britain, the world's, first solar-powered aircraft Solar Impulse completing a round-the world flight in Cairo, Egypt and way under the radar screen it's follow-the-money at The Farnborough Air Show where Mesa-based Boeing hits the contract jackpot with little noticed headlines like these.

UK Buys 50 Boeing Apache Helicopters, 9 P-8A Aircraft For $6 Billion At Farnborough
01:39 PM, July 11, 2016
Boeing has won contracts worth $6 billion from the UK Minister of Defense in a government to government deal with the US for the purchase of 50 AH-64E Apache attack helicopters and nine P-8A maritime surveillance aircraft during the ongoing Farnborough air show.
The 50 AH-64E Apache attack helicopters would cost $2.3 billion for the British Army and $3.8 billion for nine P-8A maritime surveillance aircraft.
Boeing will support UK prosperity through increasing spend with UK suppliers and is in advanced discussions with Leonardo on the AH-64E contract and other opportunities.
To date, Boeing has delivered 149 AH-64Es to the U.S Army, logging more than 60,000 flight hours and 17,000 combat flying hours.
Source: Defense World

LONGBOW Wins $90 Million Contract
For Apache Helicopter Radar Upgrades
09:37 AM, July 14, 2016
The US Army awarded the LONGBOW Limited Liability Company (LLC) an $89.8 million contract to upgrade the Apache attack helicopter's LONGBOW Fire Control Radar (FCR).
The contract includes the production of 84 Radar Electronics Units (REUs) as well as software upgrades.
"We are pleased to continue to deliver LONGBOW FCR REUs to the U.S. Army," said Anthony Joseph, LONGBOW LLC vice president and director of aviation systems at Northrop Grumman Electronic Systems. "LONGBOW FCR is a highly versatile system that provides an unmatched advantage to the warfighter."
The FCR provides Apache aircrews with automatic target detection, location, classification and prioritization, and enables rapid, multi-target engagement in all weather, over multiple terrains and through battlefield obscurants. The REU replaces two FCR electronics boxes to reduce overall system size, weight, maintenance and power requirements. The REU also provides the FCR with increased processing capability to support new software features in development.
Source: Defense World News

MBDA's Future Attack Helicopter Weapon builds on the combat proven Brimstone missile
01:25 PM, July 14, 2016
Readers of this post can watch a video of the Boeing Apache AH-64/Brimstone trials and firings with link below.  
MBDA and Boeing have successfully completed a series of physical trials and firings of Brimstone missile from the AH-64E attack helicopter.
These trials were conducted to validate the feasibility of integrating the missile with the United Kingdom’s future Apache AH-64E fleet and hence it confirmed that integration was expected to be low risk.
The programme was funded by a UK Ministry of Defence (MOD) contract, awarded to MBDA in September 2015. It included a range of environmental and sensor compatibility trials, as well as functional and avionic trials to demonstrate new platform software and functionality implemented into the platform and cockpit by Boeing. Boeing performed the platform and cockpit software modifications and managed the trials programme at Mesa and Yuma, Arizona, using a leased United States Government AH-64E in just nine months. All this activity culminated in a number of successful guided firings.
. . . The data collected from these missile firings will be used to enable future optimisation of Brimstone for the AH-64E capability. . . an impressive range of unique capabilities have already been demonstrated. Dan Girardin, Boeing Flight Test Engineer, Mesa AZ: said “The mmW autonomous shot from a moving and banking platform against an off-axis target with the missile hitting the MBT turret ring was the most aggressive shot I have seen in my 30 years of the Apache programme”
Read entire report here

Published on Jul 13, 2016

Views: 624

MBDA’s proposed FAHW solution builds on the highly acclaimed Brimstone missile (98.7% effectiveness achieved during in-theatre operations) to specifically meet Attack Helicopter requirements by providing the operator with the ability to reliably and simply engage, in both direct and indirect fire modes, a wide range of target types with its multi-effect warhead.

Mesa 11 Live Stream City Council Meeting July 11.2016

If you missed this, find it in Video On Demand .... members of the public submitted the required blue cards to speak > The item for the MOU with Chicanos Por La Causal got some deserved attention.
Two individuals from Mesa Royale spoke up strongly about a number of issues, causing District 1 Councilmember Dave Richins to ask for time to respond what was said for either scheduling a study session or council meeting devoted to Mesa Royale

Sales Tax Rates In Context > Who Wants Higher Taxes Here in Mesa??

State and Local Sales Tax Rates, Midyear 2016

July 05, 2016

By Jared Walczak, Scott Drunkard

A recent report from The Tax Foundation stated that sales taxes are just one part of an overall tax structure and should be considered in context.
Then again we have all kinds of other taxes: do you know what they are here in Mesa?
That so-called "Quality of Life" tax, for example
Use taxes for utilities?

Are Mesa taxpayers ready to approve increases when a dude like the mayor makes these weird hand gestures with questionable deals with the BIG-GRINNED Devil for  radical transformation of downtown: over $100 Million to attract about 2500 transient rowdy ASU students??
Mesa taxpayers are already on-the-hook to pay off General Obligation Bonds Debt Service

Introduction

Retail sales taxes are one of the more transparent ways to collect tax revenue. While graduated income tax rates and brackets are complex and confusing to many taxpayers, sales taxes are easier to understand; consumers can see their tax burden printed directly on their receipts.

In addition to state-level sales taxes, consumers also face local sales taxes in 38 states. These rates can be substantial, so a state with a moderate statewide sales tax rate could actually have a very high combined state and local rate compared to other states. This report provides a population-weighted average of local sales taxes as of July 1, 2016, in an attempt to give a sense of the average local rate for each state.

 

 

 

Table 1 provides a full state-by-state listing of state and local sales tax rates.

 

Key Findings

• Forty-five states and the District of Columbia collect statewide sales taxes.
• Local sales taxes are collected in 38 states.
• The five states with the highest average combined state and local sales tax rates are Louisiana (9.99 percent), Tennessee (9.45 percent), Arkansas (9.30 percent), Alabama (8.97 percent), and Washington (8.92 percent).
• Sales tax rates differ by state, but sales tax bases also impact how much revenue is collected from a tax and how the tax affects the economy.
• Sales tax rate differentials can induce consumers to shop across borders or buy products online.

City of MesaSales Tax Reports

Sales Tax Report by Month and Area [PDF]

Sales Tax Summary Report [PDF]

May 2016 
PRIVILEGE (SALES) AND USE TAX REVENUES*
SUMMARY OF CITY OF MESA TRANSACTION PRIVILEGE LICENSE AND USE TAX REVENUES INCLUDING PENALTIES AND INTEREST

*pending reconciliation with the General Ledger
 

(For Taxpayer Business Activity in April 2016)

http://www.mesaaz.gov/business/tax-audit

 http://www.mesaaz.gov/business/tax-audit

 

Current Combined Tax Rates http://www.mesaaz.gov/business/tax-audit
Transaction Privilege Tax (TPT) - 8.05%
Mesa	1.75%	(remitted to the Mesa)
Arizona	5.6%	(remitted to the State)
County	0.7%	(remitted to the State)
Use Tax - 7.35%
City	1.75%	(remitted to the Mesa)
Arizona	5.6%	(remitted to the State)
Transient Lodging Tax (TLT) - 14.02%
Mesa	1.75%	(remitted to the Mesa)
Mesa TLT	5.0%	(remitted to the Mesa)
Arizona	7.27%	(remitted to the State)

Up For Approval/Discussion @ July 20. 2016 City Council Meeting

City Council Report  
Date:  July 5, 2016
To:  City Council
       Through: Mike Kennington, Chief Financial Officer   
                      Candace Cannistraro, Management and Budget Director 
From:  Ryan Wimmer, Management and Budget Deputy Director      
Subject: FY 2016-17 Secondary Property Tax Rate and Levy  

Purpose and Recommendation 
The purpose of this item is for the Mesa City Council to approve the levy of a secondary property tax on taxable property in the City of Mesa for FY 2016-17. 

The levy can only be used to pay principal and interest on debt service from General Obligation (G.O.) bonds issued to finance capital infrastructure in the City. 
The recommended FY 201617 secondary property tax levy of $33,440,629 maintains the FY 2015-16 levy of $33,439,694 (difference due to required rounding of the tax rate). 
The corresponding FY 2016-17 secondary property tax rate is $1.1578 per $100 of taxable property (decreased from $1.2125 in FY 2015-16).
          
Background 
Since FY 2009-10, the City of Mesa has levied a secondary property tax to pay for debt service on General Obligation bonds. 
In General Obligation bond elections in 2008, 2012, and 2013, ballot language approved by Mesa voters included specific language stating that the issuance of the bonds would result in a property tax increase sufficient to pay the annual debt service on the bonds. 
The City uses the tax levy (not the tax rate) to manage the secondary property tax. 
Unless new General Obligation bonds are authorized by voters, or the Council provides specific direction to alter the levy, the tax rate is adjusted to maintain the same levy from one year to the next.  The amount of the levy is intended to fund the annual cost of debt service over the life of the bonds.  State law (A.R.S. §35-458(A)) limits a secondary property tax levy to the amount of General Obligation principal and interest due, plus a reasonable delinquency factor.

The recommended FY 2016-17 property tax is levied to pay debt service payments for:  Streets and Public Safety bonds approved by Mesa voters in 2008 and 2013 

• Parks bonds approved by Mesa voters in 2012 
• Court, Public Safety, Library, Parks issued before 2008.
• Streets bonds issued before 2008. 

By funding this debt with property tax, the General Fund is freed up to pay for the operating costs for two new fire stations and other city operations.   
A flat $33.4 million property tax levy is recommended in FY 2016-17 to maintain the same levy amount as in FY 2015-16 (see Table 1 below).  
Table 1. City of Mesa – Secondary Property Tax Levy by Purpose
    
Discussion
 
Property Value 
The value of each property in the City is determined annually either by Maricopa County or by the State of Arizona.  This property value used in a given fiscal year is based on market values from two to three years prior in order to allow time for review by the State Department of Revenue and for property owners to appeal a valuation.  For example, the FY 2016-17 assessed value is based on property valuations from  mid-2013 to mid-2014 (see ‘2016 Tax Role Timeline’ attachment published by the Maricopa County Assessor’s Office).  Property is assigned a full cash value (FCV) and a limited property value (LPV).  Limited property value is restricted to a 5% maximum increase each year; full cash value does not have an annual increase restriction.  A property’s limited property value cannot exceed its full cash value.   
The full cash value (based on market value) of property in Mesa increased by 11% in FY 2016-17.  The net assessed value, which is the property value subject to taxation and based on the limited property value increased 4.7%.  Therefore, the recommended FY 2016-17 secondary property tax rate is reduced by 4.5% in order to maintain the same $33.4 million total levy (see Table 2 below).  

Table 2. City of Mesa – Property Value, Rate, and Levy: FY15-16 to FY16-17 
 FY15-16 FY16-17  $ Change  % Change
Full Cash Value* $33.9 Billion $37.6 Billion +$3.7 Billion   +11.1%
Net Assessed Value* (taxable amount - based on Limited Property Value) $2.76 Billion $2.89 Billion +$0.13 Billion   +4.7%
Secondary Property Tax Rate (per $100 of Net Assessed Value) $1.2125 $1.1578 -$0.0547  -4.5% Secondary Property Tax Levy $33.4 Million $33.4 Million $0    0.0%
*Source: Maricopa County Assessor Preliminary (February) Tax Year 2015 and 2016 Property Value Abstracts
 
The secondary property tax levy is calculated by applying the secondary property tax rate to the net assessed value of property in the City.  As the net assessed value of property increases or decreases, the City has historically adjusted the tax rate to maintain a steady levy.   
Although, the full cash value of all City property increased by 11%, property valuation changes vary by classification of property (see Table 3 below).  

  
Table 3. City of Mesa – Full Cash Value by Property Classification: FY15/16  - FY16/17 
Class Description FY15-16 FY16-17 $ Change % Change 
1 Commercial $  5.3 B $  6.2 B +$0.9 B +16%
2 Land/Agriculture $  4.8 B $  5.3 B +$0.5 B +12%
3 Primary Residential $16.2 B $17.4 B +$1.2 B +  8%
4 Rental $  7.6 B $  8.6 B +$1.0 B +13%
Other Miscellaneous $  0.0 B $  0.1 B +$0.1 B    +256% TOTAL  $33.9 B $37.6 B +$3.7 B +11% Source: Maricopa County Assessor Preliminary (February) Tax Year 2015 and 2016 Property Value Abstracts
  
Impact to Property Owners 
The combined effect of higher property values and a lower property tax rate results in no net impact to the average property owner in the City in FY 2016-17.  Owners of a median-valued residential property in Mesa would pay $126 in city property tax
.    
Alternatives 
The Council may choose to levy the recommended secondary property tax amount and rate for FY 2016-17, not levy a secondary property tax at all, or levy an amount and rate at any level less than the proposed levy.  A reduction to the recommended levy and rate would necessitate the payment of General Obligation debt service with the General Fund, requiring commensurate reductions to General Fund services provided by the City (police, fire and medical, library, parks, etc.).  The levy cannot be higher than the proposed amount because secondary property tax can only be used to pay for General Obligation debt service, and the recommended levy is sufficient to fund all estimated General Obligation debt service due in FY 2016-17.
    
Fiscal Impact 
Adopting the recommended secondary property tax levy and rate would allow the City to meet its General Obligation debt service obligations as planned.  The levy is a critical piece in maintaining the fiscal stability of the City.      

Mesa's Debt Bomb: An Interested Citizen from 2014

In mid-August, 2014, Gilbert Watch published an article written by Mr. Gene Dufoe titled "Mesa's Debt Bomb, thanks to former Mayor Scott Smith."  
Click HERE to read the article.  
Mr. Dufoe has been doing more research and has provided the following update.
Your MesaZona blogger is re-publishing the entire update from this source >>
http://www.gilbertwatch.com/index.cfm/blog/mesa-s-debt-bomb-vote-no-to-all-four-bond-issues/   

Vote NO on all four of the bond issues.

It is time for the City of Mesa to cut all but essential services; for repayment schedules to be part of any future bond authorizations;  and get back to pay-as-we-go management.  We need to pay for the City’s needs without drastically increasing taxes or utilities. 

Since July 1, 2011, the debt of the City of Mesa has ballooned from nearly $1,356 Million (that's $1.356 Billion) to nearly $1,932 Million ($1.932 Billion) and we are being asked to approve another $580 Million in new revenue bonds for a total indebtedness of $2,512 million ($2.512 Billion) or nearly double what we owed in July 2011!

Not only will that be a major increase of the debt, but it will also cause utility rates to continue to dramatically increase.  This will occur because of the combining the lengthening of the bond life with the current City of Mesa approach to the repaying of Utility Revenue Bonds with interest-only payments for the first twenty-nine or thirty years and then paying the BALLOON principal payment(s) in the last year or two of the now 30-year bonds.  

Note that the life of the Revenue Utility Bonds have increased from 18 years in 2009 to 24 years in 2014 and now 30 years for the new bonds to be voted on in November 3, 2014.  
In an economy growing better than three years ago, the City Council is not properly protecting the interests of the City of Mesa residents.  
The City Council and Mayor Giles, as the newly-elected mayor, needs a wakeup call.  Note that Mayor Giles also served in the City of Mesa City Council from 1996 to 2000.       
On Monday, Oct. 5, I spoke at the City of Mesa Council meeting for 3 minutes on why $580,000,000 Utility Revenue Bonds should not be approved at the election on November 4.  

To see why the concentration on the City of Mesa’s Utility Bonds, we need to look at the City of Mesa Budget: FY2014-15 Auditor General Schedules A-G: Schedule A Summary of Estimated Revenues and Expenditures.  
Click HERE.   
Looking at Interfund Transfers In (Out), we discover Transfers (OUT) of $(173,606,136) for the ENTERPRISE FUND and Transfers (IN) of $85,429,615 to the GENERAL FUND plus $92,164,059 to the DEBT SERVICE FUNDS. 
The ENTERPRISE FUND is the business portion of the City of Mesa operations, i.e., the various utility operations run by the city.  This withdrawal from the ENTERPRISE FUND is taking more than $173 million of the current profits of the various utility funds and using it mostly for the current operations of the GENERAL FUND and the DEBT SERVICE FUNDS. 
Note that the Property Tax Revenues of $33,440,000 also boosts the DEBT SERVICE FUNDS.  The result is the City of Mesa is taking current funds from the Enterprise Fund to spend immediately.  They are not using that money to responsibly maintain the infrastructure required by Enterprise Fund operations.  Instead, they are asking the residents of Mesa to mortgage our future as well as our children and grandchildren's future, to make many of these needed infrastructure improvements with revenue bonds that will last through the year 2044. 
The earlier article I wrote (click HERE) discusses how the Utility Revenue Bonds are paid from the revenues i.e., the monthly water, waste water, electric, natural gas, and solid waste (garbage) utility bills, so they do not effect the direct tax burden. 
However, paying utility bills comes out of the same pocket as paying any other bill. 
This year’s CIty of Mesa rate increases on July 1, 2014, over the prior year, are as follows:  
•  Electric rates increased by 2%, 
•  Natural Gas rates increased by 3%, 
•  Water rates increased by 7%, 
•  Wastewater rates increased by 7%,  
•  Solid Waste rates increased by 6.9%.  
The Secondary Property Tax also increased from $22,105,000 last year to $33,440,000 this fiscal year. 
That is an average 51% increase per household.         
The only other CIty of Mesa Interfund Transfers (OUT) is $(7,038,653) from the IMPACT FEE FUNDS, and the only other Transfers (IN) is $3,051,115 to RESTRICTED FUNDS. 
Impact fees are assessed for new construction and are intended to go toward building the infrastructure for that new construction; however, the City Council has voted to use impact fees to bolster the General Fund and satisfy Debt Service.
According to Ryan Wimmer of Mesa’s Office of Management and Budget, on July 1, 2014, the authorized, but not yet sold, bonds total $219,668,000 of which $72,213,000 are Utility Revenue Bonds. 
A total of $580,000,000 on the November 4, 2014, ballot is divided as follows:
•  Water System Revenue Bonds:  $315,700,000; 
•  Wastewater System Revenue Bonds:  $178,200,000; 
•  Electrical System Revenue Bonds: $27,000,000; and 
•  Gas System Revenue Bonds: $59,100,000. 
The bonds shall be payable solely from the revenues of the City’s utility systems, bear interest not exceeding 10% per annum, and pay principal over not more than 30 years from the date issued. 
The last utility revenue bonds, Series 2014, were for only 24 years.  If these utility revenue bonds are funded in the same manner as those previously authorized and sold, these bonds will be repaid over the coming years with interest-only payments for most of the years.  The principal won't be paid until the last year or two of the bond's life.  This will mean that the total interest repaid will be significantly more than the initial bond principal.
   
From the “Moody’s assigns Aa2 rating to City of Mesa, Arizona’s Utility Systems Revenue Bonds, Series 2011” dated 13 May 2011, the following is quoted:  “In fiscal 2010, $84.4 million was transferred from the Utility (Enterprise) Fund to the General Fund revenues.  Near term transfer amounts are forecasted to remain stable at $83.6 million.” 
However, that did not happen.  
Since that time:  

• The Secondary Property Tax has increased from $14.1 million in FY10/11 to over $33 million in FY2014/15; 
• The Enterprise Fund transfer to the General Fund and Debt Service has increased from $83.6 million to over $173 million in the current year; 
• The stated bond indebtedness has increased from $1,354,816,963 on July 1, 2011, to $1,710,800,000.

That is an increase of nearly $356 million in debt in three years.  
The City of Mesa still has $219,668,000 of taxpayer-approved bond authorization, not yet sold, and is requesting approval for an additional $580,000,000 in Utility Revenue Bonds. 
If the four Revenue Utility Bond issues pass, and considering the already approved bonds not yet sold, that will be an addition to the current debt of nearly an additional $800 million.  
Vote NO to these bond issues!

Article written by Gene Dufoe, interested citizen of Mesa
Mr. Dufoe is a retired Boeing engineer/manager who possesses the following degrees:  BSAE, MSAE, and an MBA with an emphasis in Finance.