County Island Annexation
All property in Arizona is automatically within a county boundary. However, in order to become part of a municipality, Arizona state law requires the majority of property owners and the majority of assessed value of property in an annexation area to agree by signing a petition to be annexed into a municipality.
This law resulted in the creation of “islands” mixed in with municipal annexation areas as private property owners who chose to annex their land to become part of Gilbert to develop their private property, excluded county areas from their annexation who did not wish to annex.
Rural Metro, a private subscription emergency response protection company, was providing services to county islands within the Gilbert Planning Area. Rural Metro advised Gilbert (and its subscribers) on November 1, 2005 that they would no longer provide subscription services to Gilbert county island property after June 30, 2006.
This ended a unique ten year old mutual aid relationship between Gilbert and Rural Metro whereby Gilbert would respond to calls for emergency services when Rural Metro requested assistance, in exchange for Rural Metro compensating Gilbert for those services. Prior to 1993 Rural Metro was the contract service provider for fire and emergency response services for all of Gilbert. Gilbert formed a municipal fire department January 1, 1993, and established the contractual mutual aid relationship with Rural Metro.
Rural Metro’s decision to stop providing subscription services left county islands within the Gilbert Planning Area without fire and emergency response services. The state-mandated annexation process required at least 145 days to complete, giving the county island property owners a short time period to become educated and decide how best to protect their property and families after June 30, 2006.
Gilbert negotiated an extension of the mutual aid agreement with Rural Metro to September 30, 2006 to allow annexations in process to be completed prior to their stopping service. This extension was established due to a court decision that a County Island Fire District law which would have required Gilbert to provide fire and emergency response services without annexing to Gilbert was declared unconstitutional and invalid on May 3, 2006. Council wanted to allow additional time for assisted annexations for those persons who may have been relying on the unconstitutional law to receive services without annexing.
Letter Documents Letter Documents Letter to Residents November 2, 2005 Letter from Rural Metro Fire Chief Gary P. Morris dated September 26, 2006
The Gilbert Council in November, 2005 directed that a program be established to help property owners who wanted to annex to Gilbert to prepare the appropriate legal documents, notices, and filings to complete the annexation process. State law also requires annexed property to be zoned in accordance with the General Plan to the most appropriate Gilbert Land Use Classification. Again this process was to be completed at no cost to the property owner. Gilbert offered 6 information open houses between November 21, 2005 and January 30, 2006.
Gilbert also reinstated the SF-43 (Single Family, 43,000 square foot lot minimum area) zoning district to assure preservation of large lot residential annexed from the county islands.
Those assisted annexation and zoning periods were as follows:
First assisted annexation and zoning period ended February 28, 2006
Second assisted annexation and zoning period ended June 30, 2006
Third assisted annexation and zoning period ended March 31, 2007To avoid a possible challenge of System Development Fees and inequitable treatment by new development with these newly annexed developed properties, Gilbert agreed to pay from General Funds the System Development Fees the newly annexed developed properties would have paid had they been new development.
Gilbert adopted Policy Statements regarding assisted annexation and zoning of county islands within the Gilbert Planning Area which appear below as PDF Files as an assurance those who annexed of Gilbert’s policies and procedures.
Policy Statements Annexation Policy Statement No. 2006-2 
Annexation Policy Statement No. 2006-3 Annexation Policy Statement No. 2007-2 Annexation Policy Statement No. 2007-3 Annexation Policy Statement No. 2007-4
The Gilbert Council extended the assisted annexation to vacant land as well as developed property to December 31, 2007. This was to allow property owners one final choice between the Noncontiguous County Island Fire District (NCFD) and its uncertainty as to cost, level of service, the possible impact on the ability to annex in the future, how they can be removed from the financial obligations of the NCFD after it was formed.
Gilbert continues to be available to schedule meetings with individual neighborhoods to talk about specific questions and issues surrounding annexation. Two Councilmembers, the Manager and the Fire Chief will attend these meetings, which can be held in your neighborhood, or at a convenient public facility if there is not a place large enough to hold the meetings in your neighborhood. You can schedule these sessions by calling 480-503-6764.
The only persons now eligible for assisted annexation are those property owners who were part of a failed annexation, or who had contacted the Gilbert Planning Department, but were unable to annex due to provisions of state law.
Contact the Planning Department at 480-503-6742 to determine eligibility and to initiate the assisted annexation process, if eligible.
The State Legislature enacted HB2780, and the Governor allowed it to become law without her signature, effective September 19, 2007. The law allows for county island property owners within a municipal planning area to form a Noncontiguous County Island Fire District to receive fire and emergency response services through a petitioning process. Service levels, cost of service, and other administrative costs are determined after the petitioners file signatures from the majority of the owners within the District to form the District.
On October 5, 2007, Marci Sale, Cindy Biggs, and Glenn Beaumont requested the Maricopa County Board of Supervisors to initiate formation of such a District for the Gilbert Planning Area. The requested boundaries included all county lands within the Gilbert Planning Area, including some which were subject to annexation by Gilbert. All owners of property within that boundary were required by law to be notified by Maricopa County regarding the District formation.
On October 31, 2007, the Board of Supervisors held a required hearing on setting the boundaries of the District and allowing for the collection of signatures to form the District. Gilbert appeared and objected to the inclusion of property which had adopted ordinances, were in the annexation process with an annexation petition, or had expressed to staff a desire to be excluded from the District’s boundaries. Gilbert’s position was that private property owner rights and choice should be considered by the Board in setting the boundaries, particularly since the law specifically states the boundaries may not be changed after the Board acts to authorize the boundaries and collection of signatures.
The Board did amend the proposed District map to exclude those properties where an annexation ordinance was adopted, but refused to exclude any other property owners.
Gilbert was advised by the media that the County had posted notice that the Petitioners had submitted signatures that were found to be sufficient and that final action establishing the District was calendared for the December 19, 2007 Board of Supervisors Agenda. Staff again appeared at the Board meeting with questions and concerns, and seeking the Board of Supervisors recognition of private property rights by excluding properties with adopted annexation ordinances from the District after October 31, 2007. The Board denied that request and unanimously adopted the Gilbert County Island Fire District, which formed on January 18, 2008.
Council directed staff to negotiate an Intergovernmental Service Agreement and Gilbert issued a letter to the members of the newly formed District on January 21, 2008 expressing intent to negotiate. Gilbert presented a formal Cost of Service Study which was prepared to demonstrate the costs and commercially reasonable assumptions used to provide the service at the same level of service in Gilbert to the District properties. After three meetings, there was a request filed by the District Board directly to the County Attorney requesting review and certification of the commercially reasonable assumptions in the negotiations. The Board did not present any studies, and only indicated the District was not interested in paying the full costs detailed in the Gilbert Study. The Gilbert Study also provided a five year option for the District for pricing. The District declined, and requested a one year assessment.
The County Attorney, by state law, was required to certify whether the negotiations and proposals were based on commercially reasonable assumptions as required by ARS 48-853(8)(c). The County Attorney held a Hearing on Tuesday, May 20, 2008, and issued a decision dated June 3, 2008 certifying that negotiations between the Gilbert County Island Fire District and the Town of Gilbert for the proposed IGA had been based on commercially reasonable assumptions by both sides. The County Attorney was not required to determine which is best, only that they were commercially reasonable assumptions.
On June 12, 2008, Gilbert received a letter dated June 11, 2008 from legal counsel for the Gilbert Fire District requesting Gilbert as the surrounding municipality to provide services to the District in accordance with ARS 48-853(8)(c).Gilbert responded June 13, 2008 that as required by law we would begin providing services to the District even though there was no agreement or compensation.
Further, that letter from the District also sought to establish a three person Board to establish a tax rate for the District in accordance with ARS 48-853(8)(c)(i). Gilbert was advised that Andy Biggs had been designated as the District Board representative by e-mail on June 12, 2008. The Council, at their meeting of June 26, 2008 designated the Town Manager as Gilbert’s representative. Representative Biggs and the Manager were unable to agree upon a third party, so the Maricopa County Board of Supervisors at a Special Meeting on July 8, 2008 at 2:30 pm designated State Representative Rick Murphy as the third person, who was Representative Biggs’ choice for the third person on the Board.
Representative Biggs prepared an Agenda and set a meeting for Thursday, July 17, 2008 at 10:00 am in House Hearing Room 3 at the State Capitol. Attending as resources to the hearing were Assistant Manager Marc Skocypec and Assistant Fire Chief Jim Jobusch. In anticipation of this meeting, Gilbert prepared updated information using the same principles as the Red Oak Cost of Services Study, but reflecting new budget numbers based upon the Council approved Operating and Capital budgets for the period FY09 to FY013. Also updated were the assessed valuation numbers for the 2008-09 year as provided by the Maricopa County Assessor.
The recommendation of the Tax Board by unanimous vote was to fund the Operating and Maintenance ($647,032) and Annual Buy In Payment ($126,275). The Tax Board on a split vote (2-1) excluded any apparatus rental or one time costs which Gilbert believed to be commercially reasonable to be reimbursed costs to provide service to the additional areas outside of the community. The Tax Board vote was based upon the legislator’s intent to exclude any request by Gilbert for infrastructure improvements or water supply, indicating the law required Gilbert to take the county islands “as is”. The Tax Board on a 2-1 vote agreed to pay $200,000 to Gilbert for either equipment rental or a portion of the one time costs, however Gilbert chose to allocate the funds. The Tax Board unanimously approved $40,000 to Gilbert for service available for the period June 13, 2008 to June 30, 2008. The final recommended amount was $1,013,307 versus Gilbert’s request for $4,846,319 (the largest element being $3.4 million for water supply which Gilbert continues to believe essential to provide effective responses to fires).
The District Board on July 17, 2008 adopted a total budget of $1,273,688.46. The funding sources were $254,737.69 from the County-wide Fire District tax and $1,023,950.77 from property within the District. Gilbert placed the District Board on written notice of the liability not having a water source to respond to fires within the District represented to the District. The District Board did not comment.
The following map shows where hydrants are required to provide service. The number in the red block shows the number of hydrants and lineal feet of water line required to place the hydrants at strategic locations to provide a water source. The number and spacing of hydrants is not to Gilbert standards, but only to provide a water source within reach of structures as determined by the Fire Chief. Total estimated cost for all areas is $3.4 million.
Documents Islands Fire Hydrants
The Fire District and Gilbert entered into an Intergovernmental Agreement effective July 1, 2009, expiring June 30, 2014, which includes annual renegotiation of costs of service. The amount for FY10 is $641,418. There are additional costs for the Fire District which add to the total budget and final assessment to property owners.
Tax Process
Arizona State Law requires the boundaries of taxing Districts to be established by the Assessor by November 1 of each year for the following fiscal year. Therefore, there are annexations where Gilbert has completed the process and serving the property as though they were annexed. These properties will be required to pay the Gilbert Fire District Tax until the following November. They will NOT have to pay the Gilbert property tax for bonds.
Gilbert has filed all paperwork to remove properties with annexations after November 1, 2007 from the District. Further, we will be requesting reporting extensions to be able to include all annexations completed by February 15 of each year for the following year.
The following documents and contact information is provided from the various meetings and questions and answer sessions from the initial assisted annexation and education process:
Planning and Annexation Process .......... 480-503-6742
General Questions .............................. 480-503-6864
Code Compliance Questions ................. 480-503-6834
Refuse Services Questions ................... 480-503-6426
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Initial Assisted Annexation
Information |
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| Frequently Asked Questions as of January 19, 2006 |
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| Gilbert Property Tax Information Sheet |
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| Current and Future Gilbert Fire Stations |  |
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| Zoning and Land Development Code | |
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| 2006 Land Development Code Update | ||
| Water and Sewer Rates | |
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| Solid Waste Rates | |
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| Intergovernmental Agreement with Maricopa County for Building Permits | |
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| Gilbert County Island Fire District website | |
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The following documents and information should aid property owners in initiating the annexation process:
Information for Property Owners Annexation Timeline dated October 19, 2007 Regular Annexation Instructions Assisted Annexation Instructions Annexation Petition Petitioner Affidavit
The following information updates the status of the various petitions which have been filed during the assisted annexation process. This information only includes annexations from the county island assisted annexation program. Vacant land and developer annexations (other than those who took advantage of the assisted annexation which ended December 31, 2007) are not included on this listing. This information is updated as new petitions are created, signatures are submitted and annexations adopted, or annexations are withdrawn or expire:
Annexation Status Information Annexation Petition Status Report County Island Annexation Map as of November 2005 County Island Annexation Map as of October 6, 2006 County Island Annexation Map as of October 31, 2007
Gilbert v Maricopa County Litigation Status Gilbert challenged the constitutionality of HB2145 which created County Island Fire Districts to force municipal services to county islands within Gilbert. Judge Colin E Campbell ruled May 3, 2006 that HB2145 was unconstitutional. The Arizona Court of Appeals, Division One in a unanimous decision upheld Judge Campbell on August 15, 2006. There was no appeal to the State Supreme Court. The Court of Appeals ordered payment of $1,666.20 to Gilbert for the cost of appeal.
Keaney et al v Gilbert Litigation Status This litigation was filed by various persons seeking to overturn 30 annexation ordinances adopted by Gilbert. Judge Paul McMurdie dismissed 25 of the 30 challenges on August 22, 2006, which was not appealed. Judge McMurdie, based upon a representation by new legal counsel Arthur Bourque, signed an order dismissing the remaining five cases with prejudice, with each side bearing their own legal costs. The order dismissing the case was signed January 30, 2007 by Judge McMurdie.
The 30 annexations all are valid and effective, with this litigation at an end.
Committee for Fire Safety et al v Gilbert Litigation Status This litigation was filed to attempt to reinstate Referendum Petitions on annexations A05-29 (White Fence Farms II); A05-25 (Ranchitos Verdes) and A06-20 (164th & Ryan) after Clerk Templeton rejected the petitions on May 30, 2006. This case was transferred and consolidated with the Keaney litigation being heard by Judge McMurdie. Judge McMurdie dismissed the referendums, and entered judgment for Gilbert on October 18, 2006. The appeal deadline expired November 17, 2006.
The three annexations are valid and effective, with this litigation at an end.
Anderson, et al (Sawyer Estates) v Gilbert Litigation Status This litigation was filed by 19 Sawyer Estates owners and others seeking to overturn and invalidate Annexation Ordinance 1770 (Annexation A06-39, Sawyer Estates). After a hearing with Judge House on July 17, 2006, the Gilbert Council repealed Ordinance 1770 on August 1, 2006. Gilbert filed to moot the litigation. Judge Houser filed an order of dismissal on November 3, 2006, and Judge Katz denied legal fees on January 10, 2007.
The Sawyer Estates Annexation is reversed, and the area returned to county island status. This litigation is at end.
Swodek et al v Gilbert Litigation Status This litigation was filed on August 10, 2006 by 11 persons seeking to overturn Annexation A06-13, however Gilbert was never served with the litigation. A verbal agreement with Mr. Bourque to dismiss with prejudice was agreed upon January 5, 2007 (the 120 day requirement to serve Gilbert expired December 8, 2006), and filed with the Court January 19, 2007. The Court signed the dismissal January 25, 2007.
Annexation A06-13 is valid and effective, and this litigation is at end.
Citizens for Responsible Government v Gilbert Litigation Status This litigation was filed by Citizens for Responsible Government, a political action committee, seeking to overturn Clerk Templeton’s rejection of the referendum petition seeking to overturn Annexation A05-30 Rancho del Sol II and Tierra Madre. Judge Barton entered the judgment on behalf of Gilbert on October 3, 2006. The appeal opportunity expired November 2, 2006.
Annexation A05-30 is valid and effective, and this litigation is at an end.
Love, et al v Gilbert Litigation Status This annexation was filed by 11 persons within Sawyer Estates seeking to overturn subsequent annexations by property owners within Sawyer Estates (Annexations A06-83, A06-84 and A06-85). Gilbert was never served with this litigation and the 120 day obligation expired February 25, 2007. There was a Notice of Dismissal without prejudice filed February 22, 2007, but no judgment is on file from Judge Houser.
The three annexations are valid and effective, and we believe this litigation is at end.
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