Town of Payson Common Council Regular Meeting - June 10, 2026

On June 10, 2026, the Town of Payson Common Council met in regular session in the Town Hall Council Chambers, 303 N. Beeline Highway, Payson, Arizona. Mayor Stephen Otto called the meeting to order at approximately 4:01 p.m. and adjourned at approximately 7:42 p.m. Council Member Scott Nossek was absent; several council members and staff participated by Zoom. The mayor reordered the agenda to handle the consent agenda, a presentation, and board/commission appointments first. Items H.10, H.11, and H.12 were tabled to a future meeting.

Consent Calendar

• Approved the meeting minutes for the May 5, 2026 work session, May 13, 2026 regular meeting, and May 20, 2026 special meeting. The motion carried 6-0.

Public Comments & Testimony

• Tom Dunning said he supported Circle K generally, but not at the proposed location.
• Michael Fox sought to discuss a Payson Roundup opinion piece about the library; the Town Attorney asked him to avoid election-related topics.
• Darlene Younker DeLage expressed support for the proposed luxury RV resort, opposed the Circle K convenience store and liquor license at the proposed location, and spoke in favor of the Longhorn Ranch development. She also said town boards and commissions should be limited to Payson residents.
• Mike Quinn opposed the RV resort at the Malibu site, saying the 21-acre town-owned property is a valuable asset and should be retained for future public, civic, or recreation uses.
• Karen Carrothers, via Zoom, opposed the Circle K permits, arguing that an 8-foot wall would not block light or noise, that truck idling would be around the clock, and that the use would attract crime.
• Ashley Hesson, via Zoom, opposed the Circle K at that location, preferred more housing, and raised air-quality, traffic, and diesel-fume concerns for her home and micro-school.
• During the E.1 hearing, Steve Hollenbach, Everett Rushlow, Pat Lockwood, Becky Crow, and Brooke Meyers opposed the Circle K project. Doug Martin, chairman of the Planning and Zoning Commission, appeared as a private citizen to dispute social-media accusations that he had a conflict of interest.

Discussion Items

D.1 - Wildhorse Hospitality RV Resort Proposal (Malibu Property)

• John Rittenour of Wildhorse Hospitality LLC presented a proposal for approximately 150 mixed-size RV spaces, 60 enclosed RV/boat storage units, park-model cabins, a pool, pickleball courts, a dog park, a clubhouse/general store/restaurant, direct-to-unit food delivery, and UTV rentals on the town-owned 21-acre Malibu property. The business model would sell about 90 percent of the storage and cabin inventory and retain 10 percent for rentals.
• He projected $300,000-$400,000 per year in tax revenue, $282,000 in construction tax, $4.1 million in cumulative 10-year town general fund impact, $231,000 in community property tax, $17 million in private investment, and 25-40 construction-related jobs.
• Rittenour said the Star Valley property he already owns would not work for an RV park because land there costs $425,000 per acre, while the Malibu site's trees and appraised value make the project financially viable.
• Several council members spoke favorably about the concept. Town Manager Darren Coldwell said he would negotiate with Rittenour, noting the sale price could not go below appraised value. No formal action was taken on this presentation.

E.1 - Appeal of Circle K Conditional Use Permit (CUP26-001)

• Appellant Kamberly Arden asked the council to reverse the Planning and Zoning Commission's April 6, 2026 approval of CUP26-001 for a convenience market with gasoline sales at 400 N. Beeline Highway. She argued the location is wrong because of traffic near Walmart and Rumsey Drive, flood risk, grading and dirt-disposal issues, and impacts on neighboring homes.
• Brennan Ray, attorney for applicant Rumsey Company/Circle K, said the project is not a truck stop and is subject to conditions prohibiting truck-stop operation, overnight parking, and idling. He noted the property has been zoned C2 for about 25 years and that permitted-by-right alternatives could include drive-through restaurants or other commercial uses. Circle K also agreed to add conditions and to share the ADOT traffic work with town staff.
• Zoning Administrator Nicole Adams and Town Engineer Nathan Larson said the CUP stage does not require a traffic study or final engineering plans; those documents come in later design, ADOT, drainage, and building reviews. ADOT does require a traffic impact analysis for the Beeline Highway/Rumsey Drive area, using level-of-service standards and process 240, with background growth considered for 2027 and 2030.
• The council voted 6-0 to modify the approval instead of reversing it, adding conditions 8-11: an 8-foot screen wall adjacent to the western-boundary parking; western-boundary parking spaces at least 74 feet from the north property line; delivery of the ADOT-approved traffic impact analysis to town staff and cooperation with the town's review; and posting of 'No Idling' and 'No Overnight Parking' signage.
• Arden asked for a refund of her $624 appeal fee and clearer appeal procedures; no action was taken on that request. Council Member Ferris and the Mayor also asked staff to separately review a potential road easement.

E.2 - Series 010 Beer and Wine Store License

• No members of the public commented. The council recommended approval of the Circle K Stores Inc. license application for 400 N. Beeline Highway to the Arizona Department of Liquor Licenses and Control by a 5-0 vote. Vice Mayor Tubbs had left the meeting at approximately 7:12 p.m.

F.1 - Ordinance 2026-102 (Building Advisory Board)

• After a second public hearing with no comment, the council approved 5-0 an ordinance amending the Building Advisory Board membership rules to allow people who are not Payson electors but own a business in town and live within the Payson Regional Justice Court District to serve, reflecting the board's specialized building-industry requirements.

F.2 - Ordinance 2026-103 (Longhorn Road Zone Change to PAD)

• After a second public hearing with no comment, the council considered the zone change of approximately 83.73 acres at 1300 W. Longhorn Road from R1-8-MH to Planned Area Development. Zoning Administrator Nicole Adams reported that corrected density calculations show a maximum residential build-out of approximately 584 dwelling units, not the roughly 1,200-unit figure previously discussed.
• Council discussion focused on fire truck access. Fire Chief David Staub said the proposed southwest emergency access would be built to support a 75,000-pound fire truck and meet code standards, despite current steep, marshy conditions.
• Council Member Dallin Haws moved to approve the ordinance subject to a traffic impact analysis. The motion carried 4-0, with the condition that a traffic impact analysis be provided before or concurrently with the preliminary plat and be prepared according to ADOT guidelines and process 240.

H.2-H.9 - Board and Commission Appointments

• The council filled expiring terms and vacancies; all appointment votes carried 6-0. Terms generally begin July 1, 2026, and expire June 30, 2029, although the clerk noted the PSPRS agenda titles contained scrivener's errors and those terms actually expire June 30, 2030.
• Airport Commission: Gwen Linde and Jim Hunt.
• Board of Adjustment: Alan Chittenden and Micah Utterback.
• Building Advisory Board: Eugene Wullkotte.
• Planning and Zoning Commission: Laura Malone and Karen Schaier.
• Parks and Recreation Commission: Stacie Foote-Blaine, Ben McDowell, and De Anne Russell. Two new applicants were not appointed because they were not qualified Payson electors.
• Fire Department Public Safety Personnel Retirement Board: Jerry Montoya.
• Police Department Public Safety Personnel Retirement Board: Jerry Montoya.

H.1 - Waste Collection and Disposal Services Contracts

• Kyle Christiansen, Director of Capital Improvements, presented results of the waste collection and disposal RFP. Three bids were received: Roadrunner Rubbish, Off-Road Trash Co. LLC, and Waste Management of Arizona. Staff recommended awards based strictly on low bid.
• The council approved two 5-0 motions: Group 1 to Roadrunner Rubbish LLC and Group 2 to Waste Management of Arizona, LLC.

Tabled Items - H.10, H.11, and H.12

• H.10, the First Amendment to the Prosecution Services Agreement increasing the flat fee to $180,000 per year beginning July 1, 2026, was tabled.
• H.11 and H.12, concerning review of the town's current legal services provided by Pierce Coleman PLLC and the advantages/disadvantages of in-house versus contract counsel, were tabled at the beginning of the meeting because Council Members Bell and Ferris were appearing by Zoom and wanted to be present in person. H.10 was later grouped with these items for a future meeting.

Key Outcomes

• Consent agenda approved 6-0.
• CUP26-001 approval modified and upheld 6-0 with added conditions 8-11.
• Series 010 liquor license recommendation for Circle K approved 5-0.
• Ordinance 2026-102 approved 5-0.
• Ordinance 2026-103 approved 4-0 subject to a traffic impact analysis condition.
• Waste collection contracts awarded to Roadrunner Rubbish LLC (Group 1) and Waste Management of Arizona, LLC (Group 2), each 5-0.
• All listed board and commission appointments approved 6-0.
• H.10, H.11, and H.12 tabled to a future meeting.
• Attendance note: Council Member Scott Nossek was absent; Vice Mayor Susan Tubbs left at about 7:12 p.m.; Council Member Brett Flaherty left at about 7:23 p.m. and returned at about 7:28 p.m.