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      • CAREFREE: Raftelis Rebuttal Report - 7/24/20
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  • LETTERS FROM READERS #2
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  • TOWN MEETING AGENDA
    • Workshop to discuss Fiscal Year 2023-2024 budget 5/25/23
    • Workshop to discuss Fiscal Year 2023-2024 budget
    • Carefree Meeting Agenda: 4/4/23
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    • Carefree Meeting Agenda: Council visioning workshop 2/3/23
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    • Carefree Meeting Agenda: 10/25/22 >
      • 10/4/22 Town Meeting Pics and Slides
      • Carefree Meeting Agenda: Council visioning workshop
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    • 2/9/21 CAREFREE UTILITIES COMMUNITY FACILITIES DISTRICT
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    • Carefree Meeting Agenda: 12/1/20
    • 11/18/20 Swearing In and Strategic Meeting
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    • 10/13/20 STRATEGIC PLANNING WORKSHOP
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                                Carefree Truth
                     Issue #587, August 28, 2017

 
 
 
"Carefree is in the midst of a transition to a new financial reality.  The historical reliance upon Sales Taxes, particularly construction sales tax, and State Shared Revenue, combined with very little commercial development and no Town property taxes, is a business approach which can't realistically continue into the foreseeable future."  "Without changes in the Carefree business model starting to be made soon, we are projecting that the decreases in Sales Tax Revenue will continue and accelerate in the future.  Additionally, we foresee the realistic potential for a continued weakening of State Shared Revenue in the future."  "The Town cannot realistically control or reduce the decline in State Shared Revenue, and under the assumption that residents do not support a local property tax, the only incremental revenue generating avenue available to the Town is stabilizing, and then increasing Municipal Sales Tax Revenue."
 
 
 
The Strategic Options are:
#1-Ignore the issue and make no changes, resulting in drawing down the reserves until they are exhausted and addressing the deficit at that point.
#2-Reduce services to the residents, the likely target being the Town funded fire service, resulting in significant cost increases for residents.
#3-Continue to revitalize the downtown and utilize "remnant" properties to increase/diversify municipal sales tax revenues.  If insufficient sales tax revenues are generated, implement when appropriate a property tax which could be limited to cover the annual costs of fire and police, or issue bonds for capital expenditures, including street maintenance and improvement projects.
#4-Implement a Town property tax when appropriate.  Option #3 is the Town's preference.
 
 
 
The Town's objectives are to maintain the rural character and spirit which permeates Carefree while establishing an economic business approach and model which enables it to meet the rising costs without a local property tax.  This involves continuing to cultivate events and activities which draw consumers to Carefree on a more frequent basis.  Marketing addresses the social and cultural aspects which create experiences to bring those consumers to Carefree.  Economic development addresses retention and recruitment of the brick and mortar businesses which will generate sales tax revenue.  These are necessary elements in generating the funds to provide the desired level of Town services, including fire service, and accruing funds for periodically occurring major financial expenditures like street maintenance and other infrastructure repairs that require significant capital, in order to minimize borrowing needs.
 
 
 
The "Vision" for Carefree seeks to firmly establish the downtown as a vital, exciting dining and entertainment venue which would appeal to a broader consumer base of area residents and visitors.  Higher density residential development in the downtown area and medium density residential development on the undeveloped properties south of the SkyRanch airport along Cave Creek Road should be facilitated, while maintaining low density housing in existing neighborhoods.  Selective  commercial/mixed-use/resort uses should be explored in the some of the undeveloped "remnant" properties, in order to generate sales tax income on an on-going basis.  These locations would be selected based on their being more conducive to limited commercial and/or mixed-use, rather than low  density residential use.  Appropriate buffering could be accomplished to substantially maintain the rural neighborhood characteristics for the nearby residents.
 
 
 
An additional $2 to $2.5 million will be required annually in order to continue providing the desired level of core Town funded services.  This would also be used to increase the Town's capital reserves to fund major street maintenance and drainage infrastructure repairs, at an estimated total cost of $20 to $25 million, which will be needed within the next 10-20 years.  Moving forward, the Town suggests implementing three simultaneous strategies.
 
 
 
Strategy #1 is to work with existing commercial property owners as well as helping retailers build their businesses, particularly those retailers selling everyday staple products which residents and others utilize on a frequent basis.  The Basha's remodel and the revitalization of historic Spanish Village are prime examples.
 
 
 
The Town will also encourage the continued development and re-development of the downtown Carefree area, including the addition of multi-level residential projects and businesses with broad appeal to the primary trade/market area.  Businesses that sell frequently used taxable products will be encouraged to open in Carefree and to continue strong operations throughout the year.  Returning the permissible commercial building height from 24' to the previously allowed 30' approximately one year ago was a necessary first step.  Additional changes will be investigated and implemented as is appropriate.
 
 
 
Carefree will work with the current owner of the Easy Street property to find a suitable residential and/or mixed use development, preferably luxury rental apartments or a resort hotel.  The Town wants to attract complimenting restaurants with a broad range of appealing food and beverage offerings, and with sufficient financial backing.  The Carefree Resort, under new ownership, is expected to return to and exceed its previous more robust business level for both it's accommodations and its restaurants.  The current Town offices on Sundial Circle, located on a prime retail property in the downtown area, may be moved to a central but non-prime retail location, allowing the existing building to be replaced with a business which would add retail excitement and generate sales tax revenue.
 
 
 
Strategy #2 is to encourage medium to high density residential development, where appropriate, on the few remaining undeveloped properties suitable for such development, taking care to address the wishes of the nearby residents.  This includes additional medium density single family and multi-family housing along the Cave Creek Road/Stagecoach Pass corridor, adjacent to higher density attached multi-family residences such as the SkyRanch Condominium and the Village at Carefree Condominium communities as well as by the industrial hangers of the SkyRanch airport.  Higher density/multi-family housing with a portion of mixed-use development, where appropriate, will also be considered on the "remnant" properties.
 
 
 
Strategy #3 is to explore additional acceptable commercial/mixed-use options on the NE corner of Carefree Highway and Cave Creek Road,  potentially on the NW corner of Tom Darlington Drive and Carefree Highway, and potential limited commercial/mixed-use options on the corner of Cave Creek Road and Pima Road.  Rezoning of the 40+ acre State Land Property on Cave Creek Road across from the SkyRanch airport would allow for a broader array of uses, including commercial and resort development, as well as complimenting residences similar to the Paradise Valley model.  The Town would like to encourage the development of at least one, and preferably two or more additional resort hotels.
 

Picture
This concludes the slide presentation made at the August 14th joint meeting of the Council and the Planning and Zoning Commission.
 
https://vimeo.com/229953087
 
 
 
Lyn Hitchon
 
 
 
Prepared by Carefree Truth
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