Session 07-01, a Regular Meeting of the Homer Economic Development Advisory Commission was called to order at 6:10 p.m. (The Commission took a break after their Worksession) by Chair Robert Howard in the Homer City Hall Cowles Council Chambers located at 491 E. Pioneer Avenue, Homer, Alaska.

PRESENT: COMMISSIONERS: COREY, FAULKNER, HOWARD, MURPHY, RILEY, SCHEER.

COUNCILMEMBER: WYTHE

STAFF: CITY CLERK CALHOUN

SPECIAL PROJECTS COORDINATOR HOLEN

ABSENT: COMMISSIONERS: NEWBY (excused)

The Commission conducted a Worksession from 5:04 p.m. to 6 p.m. in the City Hall Cowles Council Chambers, Regarding CEDS, particularly Fisheries and Recreation and Tourism. City Manager Wrede attended the Worksession.

APPROVAL OF AGENDA

MURPHY/RILEY - SO MOVED TO APPROVE THE AGENDA.

There was no discussion.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

PUBLIC COMMENTS REGARDING ITEMS ON THE AGENDA. (3 MINUTE TIME LIMIT)

There were no public present at the time of this agenda item.

RECONSIDERATION

None scheduled.

APPROVAL OF MINUTES


A. Unapproved meeting minutes of December 12, 2006.

COREY/RILEY - SO MOVED TO APPROVE THE MINUTES OF DECEMBER 12, 2006.

There was no discussion.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

VISITORS (Chair set time limit not to exceed 20 minutes)

None scheduled.

STAFF & COUNCIL REPORT/COMMITTEE REPORTS/BOROUGH REPORTS (Chair set time limit not to exceed 5 minutes.)

A. Memorandum EDC 07-01, from Special Projects Coordinator Holen, Re: Staff Report.

Comments and reminders:

Meeting with Steve Colt regarding Comprehensive Plan update, scheduled for January 30 at 10 a.m. Commissioners Murphy and Riley are unable to make this meeting day.

Mariner Park: City Council adopted Resolutions 07-04(A), Mariner Park Highest and Best Use; 07-06, Deleting the Mariner Park Fishing Hole from the CIP; and 07-07, Adding Mariner Park Improvements to the CIP.

Council also adopted additions to the CIP: Resolution 07-15(A), South Peninsula Hospital Expansion, Phase 2 and Resolution 07-16 Kachemak Bay National Estuarine Research Reserve, Two Marine Science Exhibits.

Governor Palin's proposed budget includes about $48 million for "local government support" (revenue sharing) and more than $460 million to help cover increased costs in the Public Employees Retirement System. The Governor's proposed capital budget does not include any funding for Homer projects (such as Deep Water Dock expansion, East Boat Harbor, Kachemak Bay Campus expansion, New City Hall, or Water Treatment Plant). Legislators will be trying to add meat to the skeleton, and City officials will be lobbying legislators during the 2007 session, which starts January 16th.

Regarding Federal EDA Funding, Berney Richert, Director of the U.S. Economic Development Administration Office in Anchorage was contacted regarding the role of the Homer CEDS in procuring EDA grants, he advised that Homer is currently covered under the Kenai Peninsula CEDS, but that EDA encourages local communities to develop their economic development plans as well. Eligibility for EDA funding includes minority representation on the Commission. The folks in the Seattle Office might have a problem with that representation lacking, yet if minorities are encouraged to apply and no one does, the Seattle folks would probably overlook it. Based on this info, staff recommends submitting Homer CEDS with the Kenai Peninsula CEDS in any application to EDA, just to be safe, until and unless the EDC gets a minority member. Mr. Richert also advised that the EDA/Alaska Office has about $15 million to give away in FY 2007, a third for which has been spoken. EDA would rather give to an applicant that hasn't received an EDA grant recently, but if Homer has a really great project (i.e., would create lots of jobs and private sector investment) and can provide 50% non-federal match. He asked for Homer to let him know as soon as possible.

There was some discussion about the development and progress of the CEDS.

The Commission was advised that there were no additional funds budgeted for Economic Development in the 2007 Budget. If the EDC would like to sponsor a special forum or conference in 2008, or have other ideas that would take money to implement, these can be presented for the 2008 Budget. Budget process begins at mid year.

A Commission worksession or forum was requested on funding and funding sources.

Appreciation was expressed for the Homer News Coverage about the Commission.

The City Council's annual Land Allocation Plan Joint Worksession with Council's Advisory Bodies is scheduled for Monday, February 26, 2007 at 5:30 p.m. in the City Hall Cowles Council Chambers.

PUBLIC HEARING (3 MINUTE TIME LIMIT)

None scheduled.

PENDING BUSINESS

A. Memorandum EDC 07-02, from Special Projects Coordinator Holen, Re: Thoughts on a Process for Developing a New Comprehensive Economic Development Strategy (CEDS) as Smoothly and Painlessly as Possible.

FAULKNER/MURPHY - MOVED THAT WE ACCEPT THE RECOMMENDATIONS IN MEMORANDUM EDC 07-02.

Recommendations:

1. Discuss all suggested wording for the CEDS in worksession-type meetings. Request that the Special Projects Coordinator attend all meetings relating to the CEDS and produce drafts on an ongoing basis, for further review and revision. Use this process to bring the CEDS to near-final form before approving the sections (or the CEDS as a whole) in a regular meeting. Use regular meetings primarily for other EDC business and to address specific economic development initiatives.

2. Schedule at least one CEDS worksession each month, to keep the process moving forward.

3. Use the term OEDP (Overall Economic Development Plan) to refer to the previous (1999) plan, and use CEDS (Comprehensive Economic Development Strategy) to refer to the "new" economic development plan which the EDC is currently preparing.

There was quite a bit of discussion.

The Commission concurred, without amendment, that their Regular Agenda include an agenda item to facilitate any action that the Commission deems necessary following their Worksession with regard to the CEDS. The point was made that just because this agenda item exists it does not mean that formal action must bet taken. This would provide tracking of any changes for the Commission and notice to the Mayor/Council and public.

It was noted that at any time that the Commission wants to change something already approved, that they may do so.

VOTE: (voice vote - not role call vote) YES: MURPHY, COREY, RILEY, HOWARD, FAULKNER, SCHEER.

Motion carried.

NEW BUSINESS
None scheduled.

INFORMATIONAL MATERIALS (NO ACTION MAY BE TAKEN ON THESE MATTERS, THEY MAY BE DISCUSSED ONLY)

A. City Council Unapproved December 11, 2006 Regular Meeting Minutes.

B. HCC 1.12 Conflict of Interest.

C. HCC 3.16 Procurements.

D. HCC 18 Property Management

E. Land Allocation Plan Sections pertaining to Homer Spit.

F. Ordinance 06-63(A), Of the City Council of Homer, Alaska Amending Homer City Code Marine Commercial District Sections 21.52.020 Permitted Uses and Structures, 21.52.030 Conditional Uses and Structures, and 21.52.040 Dimensional Requirements

G. Lease Policy Manual (separate document)

H. Spit Camping Plan (separate document)

I. Resolution 07-04, EDC Recommended Highest and Best Uses for Mariner Park.

J. Resolutions 07-06, 07-07, 07-15 and 07-16, Pertaining to CIP Changes.

K. Memorandum from Deputy City Clerk, Re: Motions.

L. Email, Re: DEC Alaska Food Code Regulations Amendments

Commissioner Faulkner commented on the Property Management/Lease Policy Manual and offered the concept of the EDC being the Lease Negotiating Committee rather than the City Manager, Finance Director and the City Planner. The advantages of the EDC being the Lease Committee are: 1) Public versus some private input. The Commission is made up of private sector people, for the most part, who have a perspective on negotiations, on the economy, and on a particular lease application that the City Administration may not have. The Commissioners have experience, in the business world, negotiating. 2) Both the Finance Director and City Planner report to the City Manager, so if there is a particularly onerous provision that is controversial the Finance Director and City Planner may not want to thwart or undermine the desires of the City Manager. Ancillary point is that he absolutely has nothing but great things to say about the current City Manager, but, looking at this from a twenty year history, the City has not always had this fortune. The current process is very dependent on a City Manager who has credibility, broad credibility and a reputation for fair dealing in the community. He expressed his belief that this Commission would be a stable means of negotiating leases, it would free the City Manager to manage as opposed to negotiate, and as the City has more property and more available land to lease, the Manager may not have that time. He commented on his limited experience, in Anchorage, with working with the Heritage Land Bank, who were a lot tougher and less susceptible to manipulation than a politician or an elected or paid administrator. He also commented on other elements of the Anchorage Heritage Land Bank. From the aspect of protecting the City's integrity and assets, seven people are going to be a lot tougher to negotiate with, but it does not protract the negotiating process. The Commission would also be less susceptible to every day pressures to favor particular proposals over others. This is in the long term and short term interest. It would give this Commission insight into current economic activity, gives the Commission an opportunity to keep their finger on the pulse. He noted that he was in favor of doing this ten years ago. He noted than any deal the Commission makes is subject to the Council's stamp. He responded to inquiry that he has no intention of changing the policy, just the Lease Committee. This would be a test to see if the Commission were capable and fair in conducting that kind of business, and the Council could watch the success. This process works well elsewhere. He responded to inquiry that the EDC becoming the Lease Committee does not preclude realtor involvement in selling or leasing property and in bringing offers forward. Realtors are a tremendous resource to maximize the incoming offers. Realtor involvement is consistent with the policy.

Councilmember Wythe stated that if Commissioner Faulkner puts this together she will be happy to carry it forward, adding that she knows the City has come under a lot of criticism about the land use and leasing activities. She responded to inquiry that Fred Meyer has not withdrawn their permit, they are just kind of stepping back for a minute, due to increased costs, and taking another look.

Commissioner Murphy commented on the Lease Policy and the rewrite that he was involved with. The whole goal of the Lease Policy should be to get the maximum return in the most fair and equitable manner to/for all people interested in the property. He expressed concern that the tricky job is that this presupposes that this is not happening.

COMMENTS OF THE AUDIENCE (3 MINUTE TIME LIMIT)

There were no audience comments.

COMMENTS OF THE CITY STAFF

There were no staff comments.

COMMENTS OF THE COUNCILMEMBER

Councilmember Wythe congratulated the Commission on a good chunk of business. She noted that the Commission spent a lot of time on the Mariner Park issue and had a great success.

COMMENTS OF THE CHAIR

Chair Howard advised everyone that there will be a Fisheries Worksession next Monday, at 6 p.m. He encouraged any Commissioner that wants to conduct a worksession to get with the City Clerk and check for availability.

COMMENTS OF THE COMMISSION

Commissioners Riley, Murphy, Scheer, and Faulkner had no comments.

Commissioner Corey advised that she gave the City Clerk a copy of her report on the Health section of CEDS to put on the Worksession agenda for next time. She stated that for three years there has been armatures sitting on either side of the Clarence Poopdeck Plat Trail and inquired as to who takes care of this? She commented about these works of art being twice destroyed. She also noted that, in her opinion, Mr. Poodeck would have just as soon of had two piece of log and called it Plat's Path or something.

Special Projects Coordinator Holen voiced her belief that it was the Kachemak Heritage Land Trust that commissioned "those".

It was noted that Leo Vait did the art work.

ADJOURNMENT

No motion required. Adjournment is at the call of the Chair when the agenda and business has been completed.

There being no further business to come before the Commission, Chair Howard adjourned the meeting at 7:02 p.m. The next regular meeting is scheduled for Tuesday February 13, 2007 at 6 p.m., a Worksession is scheduled for 5 p.m. on Tuesday, February 13, 2007. Also scheduled:Monday, January 15th: Public Forum/Mini Committee/Worksession - Fisheries section of the Comprehensive Economic Development Strategy, meeting with Commission Chair Bob Howard at 6 p.m. and Thursday, January 18th: Public Forum/Mini Committee/Worksession - Recreation and Tourism section of the Comprehensive Economic Development Strategy, meeting with Commissioner Jon Faulkner at 9 a.m. All meetings are scheduled to be held in the Homer City Hall Cowles Council Chambers.




____________________________________

MARY L. CALHOUN, CMC, CITY CLERK

Approved: ____________________________