Italian developer Stilo promised to hand over 40 acres in exchange for favorable rezoning on its holdings in Tusayan. That rezoning could make the developer millions of dollars. The Town is supposed to get the 40 acres from Stilo to provide affordable housing.

Stilo has its zoning, but Tusayan still doesn’t have its land. After the Town Council complained, Stilo execs flew in from Italy. They didn’t give up the land. Instead, they promised to give Tusayan just 20 acres if Tusayan gives up its right to revert the zoning.  That reversion is the only way the Town can make sure Stilo lives up to its obligations.  Once that reversion clause is gone, those obligations could go away.

An email obtained by the Watchdog from Stilo representative Andy Jacobs to Mayor Greg Bryan outlines the favorable terms Stilo is seeking:

Subject: RE: Meeting info

Greg,

As you and Ron discussed, the following is an outline of major points on which the Town and Stilo can move forward. We believe it is important to agree on major points at the meetings this week and then have a small group (you, AI, Town Manager, Bill, Tom, Manjula, Dawn, Ron and me) work to get the deal documented. It is important to make sure there are no unintended consequences.

I.  Stilo would transfer 20 acres at Kotzin when deal is closed and transfer 20 acres at TenX at some date certain in the future.

2.   Town of Tusayan would permanently vest Stilo's zoning on Kotzin, TenX and Camper Village.

3.   Town of Tusayan and Stilo will support each other's efforts on USFS process, securing long term water supply and other issues of mutual interest.

4.   Deadlines and remedies in the PADA will be eliminated.

5.   Stilo will continue to assist the Town of Tusayan with respect to its affordable housing program. (Note: One of the keys to this will be the grant program offered by Elling Halvorson.)

6.   Stilo and the Town of Tusayan will revisit housing unit size and affordability options for the interim housing plan at Camper Village.

Greg, Ron passed along your concern about the elimination of all time deadlines and how that could play into transfer of the other 20 acres. This can be a subject of your discussion later this week.

 There are no guarantees that Tusayan will get the full 40 acres. The tone of the email is also interesting as it appears Stilo is trying to give the Town orders as opposed to complying with a development agreement. Stilo is out of compliance and the Town is within its rights to revert the zoning.

 Notice that Stilo representative Andy Jacobs wants to discuss the matter with a ‘small group’ that only includes the Mayor and Vice Mayor Montoya. If three members of the council attended, the gathering would fall under the Arizona open meetings law and the public would be allowed to attend. Under this system, Stilo is free to negotiate away from the public eye.