By Talaina Kor
The Holbrook City Council convened for a regular meeting last Wednesday, during which a lease proposal for a parcel located off of Highway 377, west of the Navajo County Public Works building was approved for Rutz MX. The approximately 100-acre parcel will be used to develop a motocross track with no infrastructure development required from the city. Motocross is a dirt-bike racing sport which riders compete on off-road courses. The company, owned by Daniel Hutchens of Joseph City, is anticipated to be an economic asset to the community, drawing participants and spectators from throughout the state. It is anticipated that use of the site will begin later this year. “The parcel in question holds no current or foreseeable value to the city due to its remote location and challenging terrain, making it an ideal candidate for this project,” read Mayor Kathleen Smith from the proposal. The lease includes an initial annual base rent of $1,000 for the first three years, then will increase to $3,500 per year for any subsequent third and fourth extensions. Clenera, an independent power producer specializing in clean air projects, is currently developing the Snowflake Solar LLC project north of Holbrook on land owned by rancher Bill Jeffers. The project requires that the energy created on the site reach the Cholla Power Plant in Joseph City in order to transmit the power for use. Representatives with the company came before the council with a proposed amendment to the transmission and access easement agreement that had been signed with the city in October of 2022. Mayor Smith stated, “The new route now crosses the Holbrook property from east to west, North of Interstate 40 instead of following the Leroux Wash route past the golf course and across (Interstate 40) as initially planned.” Clenera Land Acquisition Project Manager Mike Viehweg explained the originally approved route created environmental concerns, most of which are now mitigated by the new route presented. The new route reduces transmission poles for the project from traversing 2.13 miles of city-owned property to just over a half a mile. After a lengthy discussion, the modification was passed, with Mayor Smith and council members Arcenia Pacheco, Tim Dixon, Karina Pack and Teri Tafoya voting in favor. Vice Mayor Mike Nilsson and Councilmember Robert Black voting against, citing they believed they should wait to vote in order to get input from residents following a public meeting hosted by Clenera to be held the following day. It was reiterated by other members of the council that the agreement was already passed in 2022, and this was merely an opportunity to reduce the impact to city-owned property. A vote opposing the change would have had a greater negative impact on the environment and delayed the project even further. The project originally had an estimated construction start date of June 2024 and a commercial operation date of December 2025. However, due to development delays, the new estimated construction start date is February of 2026 with a commercial operation date of December 2026. The council also approved the sale of parcels 109-19-074 and 109-19-076 to Northland Pioneer College (NPC), NPC’s construction program for home construction. The parcels are located on East California Street. NPC Faculty in Construction George Meza explained these residential sites will benefit as training for students, provide housing and improve the city’s market value. The homes, which will be two mid-sized three-bedroom homes, will be sold for market value with the profits used to continue the program. Councilmember Dixon stated his concern from previous agreements with the college, stating that property was purchased but never used. “I would like to have some kind of guarantee that you guys will use this.” Meza replied that the program for building the houses is already in place and the start date will be Fall 2025. “I got them to postpone it for a year, they were going to start Fall 24 in Snowflake or Show Low, and I argued to stay in Holbrook.” He added that he saw the need here and his desire to help young people in the community. “I work with all the kids here, so I do see the need for these kids to have workforce training so they can get jobs; some professional, good paying jobs.” The council approved the parcel purchases in the amount of $4,900 and $4,200, which was the value provided from comparable properties, with the inclusion of a timeframe in which to construct the homes. A public hearing was held in regards to submitting an application for a Community Development Block Grant (CDBG) State Special Project (SSP), that, if awarded, would allow the city to continue the housing rehabilitation program. There were no public comments. The council then gave their authorization to submit the application for the implementation of CDBG SSP project if selected for an award. “These are competitive funds, so there’s no guarantee that we’re going to get funded for it, but if we have all our ducks in a row, we should be good to go on that,” explained Code Officer Barbara Blythe. “That’s for $750,000 and 18% admin (cost) comes out of that. That would be to continue the housing rehabilitation program, but instead of emergency funds it’s called moderate housing rehab.” Blythe further explained it allows up to $50,000 per home to help with code violations, weatherization and other home improvements. A resolution related to the application titled Relocation Assistance Plan outlines that funding may be used to house residents if needed while working on their homes, according to Blythe. The resolution was approved and the certifications for FY 2023-24 were reviewed. The council also authorized a reinvestment of city funds with Moreton Capital, with $7.4 million and $2 million in a money market for higher earnings and $1 million remaining in city coffers to cover operations. A proposal for mileage reimbursement that would allow Manager Jakubowski Wolz to be reimbursed when traveling on city business when using her personal vehicle was approved for the current government rate, which at this time is 67 cents per mile. It was noted that the reason for the request is that there is no reliable city vehicle available. The council also passed the primary property tax upon assessed valuation of property located within the city subject to taxation for the Fiscal Year (FY) ending July 30, 2025. The primary property tax rate will be set at $0.4686 on each $100 of assessed valuation. This rate is lower than the previous year’s tax and anticipated to collect $150,018. City Clerk Lisa Hunt presented the outcomes of the recent primary election. Out of 2,270 registered voters in the election, a total of 660 ballots were cast. In the mayor’s race there were 174 votes cast for Tim Dixon and 451 votes cast for Mayor Kathleen Smith. For the three council seats, Teri Tafoya received 479 votes, Mike Nilsson received 438 votes, and Tamara Church received 309 votes. Smith, Nilsson and Tafoya are incumbents so only Church will be seated for council at the end of the year, replacing Tim Dixon. Proposition 433, pertaining to the alternative expenditure limitation garnered 375 votes in favor and 177 votes against. Proposition 434, pertaining to the electric franchise, received 426 votes in favor and 87 votes against. The council approved the purchase of a replacement pump in the RAS/WAS building in the amount of $24,144. City Manager Sharon Jakubowski Wolz explained that it did not go to bid due to being a proprietary pump and having only a single source provider. A lease proposal for the building to be used as a meeting space to the Navajo County Hashknife Sheriff’s Posse Search & Rescue was approved by council, with the contract amended to include the option to cancel the lease with an agreed upon 60-day notice if the property should be sold. The property is located on the east end of Hermosa Drive at the old NPC campus. Manager Jakubowski-Wolz introduced two new city employees, Misti Garrison and Amanda Packer, who are both serving as administrative assistants at the city office. The council approved the cancellation of the city council meeting scheduled for Aug. 28 due to a majority of the council attending the Arizona League of Cities and Towns conference in Phoenix. The regular meeting for Sept. 11 was also rescheduled to Sept. 10 so as not to conflict with the opening night of the Navajo County Fair. Following the regular meeting a work session was held during which council members were assigned as leads on various subsections of the general plan. Mayor Smith and Jakubowski Wolz will take charge over land use/environmental planning, economic development and circulation; Vice Mayor Nilsson, cultural and historical resources, and public facilities and services; Councilmember Black, water resources and impact fee schedule; Councilmember Pack, open spaces and natural resources; Councilmember Pacheco, community design and housing; Councilmember Tafoya, growth areas and cost of development; and Councilmember Dixon, safety.
