Scottsdale is losing nearly $7 million in housing and dozens of affordable units after Maricopa County leaders reneged on a preliminary funding agreement with the city.
The move infuriated Scottsdale officials, who said the county did not explain its decision and “ghosted” city leaders who sought information.
The project was called “The Residences at Paiute,'' and would be built on or next to the Paiute Neighborhood Center. That would have included 28 affordable apartments that city officials wanted to use to support the roughly 450 seniors on Scottsdale's affordable housing waiting list. .
The Maricopa County Board of Supervisors held a preliminary vote last year to use $6.6 million in leftover federal pandemic relief money to fund projects for the city of Scottsdale, after which the City Council took its own vote to accept the funds. The only step left is for the county to finalize an agreement, which typically results in a rubber-stamp decision.
But that never happened.
The final vote was suddenly taken off the Board of Supervisors' agenda last fall. County officials told Scottsdale in January that they would not honor the grant money and instead send the money to West Valley communities, all but killing Paiute Residence.
Scottsdale Mayor David Ortega said he has not received any explanation from the county despite efforts to address his concerns. He put the blame on District 2 Superintendent Thomas Galvin, who represents much of the East Valley.
“There is not a day that someone has mentioned to me that housing affordability is a crisis,” the mayor said. “Coach Galvin basically defunded this effort. He defunded the effort to provide the housing that we deserve.”
“We reached out to the county because we realized they were dragging their feet. We didn't get any response from Superintendent Thomas Galvin,” Ortega added. “Coach Galvin actually ghosted us…He didn't represent the people of Scottsdale.”
Ortega and Galvin have locked horns before. Last year, the two sides publicly feuded over the city's refusal to continue providing water to an unincorporated community called Rio Verde Foothills, just north of Scottsdale.
Last year's county-city feud:Communities without water: What you need to know about the Rio Verde foothills
Galvin was one of the central figures in trying to get Scottsdale to turn the faucet back on. Ortega, on the other hand, has argued against such agreements, citing conservation concerns and multiple warnings the city of Scottsdale issued to the Rio Verde Foothills before ending water sharing. He was the city's most outspoken opponent.
Scottsdale City Councilman Barry Graham said the continued bad publicity from the Rio Verde fight may have influenced the county's decision to abandon the affordable housing agreement, calling it “a strained relationship we have with the county.” “It's part of the pattern.”
When contacted by the county about leaving the Paiute residence, Galvin sent only a vague written statement to the Arizona Republic.
“The Maricopa County Board of Supervisors is tasked with allocating (federal) funds, and they do so with the mindset of determining what provides the best value for county taxpayers. We invest in projects based on the needs and greatest impact of the entire community,” Galvin’s full statement reads.
Councilman Graham was one of only two city officials to vote against accepting county funds last year. He opposed it, citing concerns that non-Scottsdale residents would be living on the site and that the city lacked a solid design plan for the building.
But even he was critical of the county's withdrawal: “This type of (county) recognition would be seen as perfunctory. So repurposing recognition is not a good way to govern.” said.
More project controversy in Scottsdale:Axon, Scottsdale attorney warns of city employee's claims of company intimidation
Councilor Solange Whitehead laid part of the blame for the county's loss of cash at the feet of Graham and Councilor Kathy Littlefield, but also placed the blame for the county's loss of cash in part when the funding agreement was brought up at last year's City Council meeting. He was a member of the Diet who cast a “no'' vote on the bill.
Whitehead suggested their opposition may have given the county an excuse to give grants to other communities in the Valley.
“The lack of a unanimous vote allowed the county to take our tax dollars — and there's no question about it, these are our taxes — and send it to the West Valley. I think it is,” Whitehead said. Scottsdale residents will not be helped. ”
The Scottsdale City Council unanimously voted on February 20 to cancel the Paiute Residences project after Judy Doyle, the city's assistant director of community services, announced that the development would not be possible without county funding.
Whitehead said the situation robs Scottsdale of well-deserved cash and undermines the city's efforts to provide housing for hundreds of seniors whose prices are rising in the city's expensive housing market. He explained.
“We know that seniors are the No. 1 population experiencing homelessness,” the councilman said. “I am very disappointed in this opportunity. I am deeply disappointed in the County Board of Supervisors who have given Scottsdale's tax dollars to other cities and left our seniors high and dry.”
Reporter Sam Kumack covers Tempe, Scottsdale and Chandler. Follow him on X @KmackSam or contact him sam.kmack@arizonarepublic.com.
