Session 08-08, a Regular Meeting of the Economic Development Advisory Commission was called to order by Chair Hogan on November 12, 2008 at the City Hall Cowles Council Chambers located at 491 E. Pioneer Avenue, Homer, Alaska.

 

PRESENT:         COMMISSIONERS ERICKSON, HOGAN, NEECE, RAVIN, SCARPITTA

 

ABSENT:           COMMISSIONER YAKUNIN

 

STAFF:             DEPUTY CITY CLERK JACOBSEN

                        CITY PLANNER ABBOUD

                       

 

APPROVAL OF THE AGENDA

 

NEECE/SCARPITTA MOVED TO APPROVE THE AGENDA.

 

The agenda was amended to discuss Lease Policies, item 9A after New Business items.

 

The amended agenda was approved by consensus of the Commission.

 

PUBLIC COMMENTS REGARDING ITEMS ON THE AGENDA

 

There were no public comments.

 

RECONSIDERATION    

 

There were no items for reconsideration.

 

APPROVAL OF MINUTES

 

A.         Regular meeting minutes of October 14, 2008

 

RAVIN/SCARPITTA MOVED TO APPROVE THE MINUTES.

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

VISITORS

 

There were no visitors.

 

STAFF REPORT & COUNCIL REPORT

 

 

 

Special Projects Coordinator Holen reported that she and City Manager Wrede attended the Economic Development District Forum in Kenai a few weeks ago. A few of the speakers strongly recommended reading the book Boom Town, and she purchased a copy that could be checked out. She also reported that the City submitted an application to the Alaska Energy Authority to study the feasibility of tidal power in Kachemak Bay. The City should hear sometime next month whether the application is approved. NOAA is putting up about $650,000 worth of in kind contribution of the project.

 

There was discussion of having a Commissioner attend the Kenai EDD meetings. Commissioner Neece said he would be interested but has transportation issues. It was noted that EDD would reimburse a Commissioner for travel up there and Special Projects Coordinator Holen said she would bring information back at the next meeting.

 

PUBLIC HEARING        

 

There were no items for public hearing.

 

PENDING BUSINESS

           

A.                 Lease Policies

 

This agenda item was addressed later in the agenda.

 

B.         Review of Planning Commission Issues: Draft Comprehensive Plan

 

ERICKSON/SCARPITTA MOVED TO DISCUSS

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT.

 

Motion carried.

 

Commissioner Scarpitta commented that he spoke to Tina Day[1], Director of the Chamber of Commerce, about his serious concerns about the document, especially the negative wording about tourism. He said Mrs. Day said it hadn’t been meant that way, but is a concern if he is reading it that way. Mr. Scarpitta expressed his concern about the consistent mention of the quality of life in Homer. It is critical to all of us, but anytime there is a conflict between quality of life and economic development, even if the economic development is going to improve life here, Mr. Scarpitta is concerned that it will be inhibited by the notion that the development will hurt the quality of life. It is a nebulous concept that can be thrown in any time and it came up a lot in the draft.

 

The Commissioners and City Planner Abboud talked about the timeframe for reviewing the Draft Comp Plan and the EDC’s recommendations for amendments. Question was raised as to what could be done to establish a goal to encourage growth as an economic development factor. In the event there is a sudden dump of jobs in the community, as happened in Seldovia during WWII, there needs to be an impact plan for dealing with it. Chair Hogan noted that since he has been in Homer there has been a mindset to try and curtail growth, but economic development is dependant on growth. We don’t have a formula for accommodating growth in this town; it seems to be more of a formula for preventing it.  It is important that we have a plan in case a sudden growth happens. Commissioner Neece addressed the need for infrastructure for development in the area and the concept that economic development could expand outside City limits yet still benefit Homer. It would be beneficial to have some sort of impact plan that addresses different tiers of activity.

 

Commissioner Erickson noted that the language in chapter 8 is focused mainly on tourism and the school, which is fine, but it also needs to focus on the port, entrepreneurials, and other businesses, like manufacturing. The City can’t put all its eggs in the tourism basket.

 

Regarding absorbing an influx if industry were to open here, Commissioner Ravin countered that we have the infrastructure and room for substantial growth without changing anything. The population of young people has shrunk over the last 6 years and our population is down about 8%. In that time the cost of local government has doubled. He noted that it doesn’t account for inflation. In raw numbers, that is not going to attract people to move here. The infrastructure could accommodate a 15% growth in the area.

 

Special Projects Coordinator Holen asked if the Commissioners had read the entire draft Comprehensive Plan and noted that in discussion of the Committee who worked on developing the draft, no one said we should try to prevent growth, but that growth is a given in Homer. There was discussion of what do we need to be cognizant of  accommodating growth, including increased density, annexation in the future, a new water source, improved fire fighting equipment for taller buildings, and so forth. Those are things that can be found throughout the Comp Plan, not necessarily concentrated in the economic development chapter. Affordable housing is an issue that came up over and over in discussion and that it is seen as an impediment to growth and development in City limits because the closer you are to the city center, the more expensive it is. Chair Hogan commented that we need to establish a tax and rate structure that is going to encourage people to move into the City rather than moving out.

 

Commissioner Scarpitta recognized that we do need economic development besides tourism, but tourism is an enormous impact in funds that we receive. Homer is an increasingly significant destination for people. He believes there is a benefit of growth in the immediate areas outside of Homer. An important goal to him is to get jobs for people here so they can survive here.

 

After further discussion, the Commission agreed to meet for a worksession at 5 p.m. on Saturday, December 6th, to refine their specific recommendations to forward to the Planning Commission regarding the Comprehensive Plan. Commissioner Erickson noted their discussion from the last worksession:

·         Including what they already talked about with Planning Technician Engebretsen to put in as goal 2 and into goal 7.

·         Note the language they would like to see removed that was a little offensive to them.

·         Vision statement becomes either smaller or broader, either get rid of the list or list them all.

 

Commissioner Scarpitta noted that he may be absent due to a potential job opportunity.

 

C.         Promotional DVD

 

Commissioner Scarpitta commented that he spoke to Tina Day and suggested she contact Commissioner Neece and that the incorrect figures in the relocation packet need to be redone.

NEW BUSINESS

 

A.         Open Meetings Act Issues

 

RAVIN/SCARPITTA MOVED TO DISCUSS OPEN MEETINGS ACT ISSUES

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT.

 

Motion carried.

 

The Commission expressed their frustrations with the restrictions of the Open Meetings Act. Issues presented included:

·         It restricts the social intercourse between Commission members.

·         Commissioners can’t do near the damage of Legislators, Congress persons, and Council members.

·         It has gotten so restrictive it precludes getting a lot of work done. There needs to be flexibility to get work done.

·         Consideration should be given to posting a bulletin board that can be accessed by the public where the Commissioners can communicate.

·         The Commissioners have a hunger to talk and if we were not hamstrung by this Open Meetings Act, we would be sitting down and talking and getting work done.

·         The ethics ordinance has also made it difficult for the Commissioners, especially as it can affect their business. It takes away from their ability to function and the City to get the benefit of their expertise.

·         The Open Meetings Act is mandated by the state.

 

ERICKSON/RAVIN I MOVE THAT WE GET A BLOG THAT IS OPEN TO THE PUBLIC SO WE CAN DISCUSS AND BRAINSTORM AND ALLOW OTHERS TO BRAINSTORM WITH US.

 

There was lengthy discussion about the specifics for the blog and ensuring that they aren’t conducting business, but exchanging ideas. Special Projects Coordinator Holen said she would do some research and bring information back.

 

VOTE: YES: NEECE, HOGAN, ERICKSON, RAVIN, SCARPITTA,

 

Motion carried.

 

Discussion ensued regarding allowing telephonic participation by Commissioners.

 

SCARPITTA/RAVIN MOVED THAT WE REQUEST THE COUNCIL TO PERMIT TELECONFERENCING OR OTHER ELECTRONIC MEANS FOR ABSENT MEMBERS TO PARTICIPATE IN THE MEETING.

 

The Commission discussed technological options for member participation. Video conferencing would alleviate the issue of dealing with visuals.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

Discussion resumed on the Open Meetings Act. Question was raised regarding where to direct their request or recommendation. Special Projects Coordinator Holen commented that she would like to have some discussion with Bill Smith to get a better idea of the role AML is playing in influencing legislation for a fix.

 

NEECE/ERICKSON MOVED TO CONVEY TO THE CITY COUNCIL, CITY MANAGER, CITY ATTORNEY, AML, AND OTHERS TO SEEK TO FIX THE PROBLEM OF TWO ADVISORY BODY MEMBERS NOT BEING ABLE TO COMMUNICATE WITH EACH OTHER.

 

There was discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

B.         2009 Meeting Schedule

 

HOGAN/SCARPITTA MOVED TO DISCUSS THE MEETING SCHEDULE.

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT.

 

Motion carried.

 

Commissioner Erickson noted that the Lease Committees quarterly meetings are not on the schedule.

 

Commissioner Scarpitta noted the meeting for special meeting allowance for advertisement to be permitted on shorter notice utilizing advertising on the radio.

 

There was brief discussion of the schedule.

 

HOGAN/NEECE MOVED TO APPROVE THE MEETING SCHEDULE FOR 2009.

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT.

 

Motion carried.

 

C.         Should EDC Sponsor a Public Forum as an Opportunity to Hear from Business Owners

 

ERICKSON/SCARPITTA MOVED TO DISCUSS

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT.

 

Motion carried.

 

Commissioner Erickson commented that the blog site will allow business owners to comment. She has talked with business owners who don’t want to comment directly to the City because they are afraid of retribution. They should be able to be anonymous. Chair Hogan concurred.

 

There was discussion of the chain of command for City business owners to express concerns or complaints. The Commission recognized a need for someone to fill the role of an ombudsman to allow confidentiality and people to get resolution to their issues without worry of consequences.  

 

The Commission agreed to discuss this at their next meeting.

 

Chair Hogan commented that there is no recourse when City Hall doesn’t follow City policy, there is no accountability.

 

HOGAN/NEECE MOVED THAT THE EDC REQUESTS THE COUNCIL EXPLORE THE FORMATION OF AN OMBUDSMAN POSITION WITH APPROPRIATE DEGREE OF AUTONOMY TO ACT IN THE BEHALF OF THE PUBLIC INTEREST.

 

There was brief discussion.

 

VOTE: YES: NEECE, SCARPITTA, ERICKSON, RAVIN, HOGAN

 

Motion carried.

 

D.         “Homer: Open for Business” - What can the City of Homer do to help Homer’s Image

 

ERICKSON/NEECE MOVED TO DISCUSS

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT.

 

Motion carried.

 

Commissioner Ravin expressed the need that the City employee perspective should be “How can we help you complete this project?” It should be a tone or philosophy for doing business.

 

Commissioner Erickson commented about a discussion she had with a contractor whose clients came to the City and it took them so long to get through the City that the people wished they hadn’t come here to build.

 

Commissioner Scarpitta commented that helping complete Mr. Ravin’s suggested philosophy of asking the question “How can I help you” is the attitude we want people to have, but in needs to go further. Helping complete it would be to cut through some of this and say “don’t worry I’ll do it for you”, or “let me make the call”. They won’t do that though because that is not the procedure they have. You can’t change people’s attitudes by saying “here is your new attitude”. You need to hire for attitude.

 

Commissioner Neece commented about the information he provided from the City of Seward website and in looking at it you can see where they are. They have the contact people for the economic development department.

 

Chair Hogan noted that Seward used to be more anti development than Homer is, but they have turned that around in a big way.

 

There was discussion about ways to establish an internal infrastructure for promoting business development. There needs to be a point person for economic and development. Council should look at appointing a person to be a liaison for any commercial development within the City of Homer. The City Manager would have to establish who that person would be. It would be a starting point and things could develop from there. A suggestion was raised that rather than asking for another position or more responsibilities tied to a position, look at where the bottlenecks are and make it a facilitator to redirect the energy from negative to positive. That point was countered with the notion that it has to be a serious person who can do it and put in the time. This person could also fill the role of ombudsman.

 

It was reiterated that the City need to change the philosophy. A lot of people laughed at the slogan “The City that Works”. We need to promote that we are open for business and we want to help. It is recognized that we can’t change the people behind the desk, but it needs to be mandated that this is how we need to approach the public when they want to do business with the City.

 

Commissioner Neece suggested a worksession with someone from Planning, the City Manager, Tina Day or someone equivalent, and the EDC to have a think tank that addresses pro-business; to define parameters, set the mission statement and things like that. In big business they hire people to do this.

 

The Commission agreed to keep this item under pending business.

 

ERICKSON/SCARPITTA MOVED THAT COMMISSIONERS ERICKSON AND RAVIN WILL BE A COMMITTEE TO WRITE THIS UP FOR THE NEXT MEETING AND ESTABLISH A CITY PHILOSOPHY TO DISCUSS AT THE NEXT REGULAR MEETING.

 

There was discussion and clarified that they would meet at Lands End at 6:30 on November 19th.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

E.         Possible New Revenue Options for the City of Homer

 

Chair Hogan passed the gavel to Vice Chair Scarpitta and excused himself briefly.

 

Commissioner Ravin commented regarding a decline in consumer spending, referencing a Homer News article from August that outlined stagnant or declining revenues from local sales tax revenue. He noted that the trend will continue to decline as long as residents are given a strong monetary disincentive to buy locally. That is what a 7.5% retail sales tax is.

 

Chair Hogan returned and resumed as Chair.

 

SCARPITTA/ERICKSON MOVED TO DISCUSS

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

There was discussion regarding funding issues in the City. One of the things this Commission needs to do is look at ways to bring in more money. It is important to look at ways to develop the economy for the City as well as for the citizens of the City.

 

Commissioner Neece said he would like to discuss this on their next agenda. He has some information he can provide from AGIA for developing workforce development programs.

 

NEECE/ERICKSON MOVED TO DISCUSS HAVE THIS ON THEIR NEXT AGENDA

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

F.         Lease policy

 

HOGAN/RAVIN MOVED TO DISCUSS

 

There was no discussion.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

Chair Hogan explained that there are two bodies making lease policy revisions and he suggested they address how to recommend to the Council. He noted that the current Lease Committee is staff weighted. There was discussion that there are a lot of places where Committee members and Commissioners aren’t clear on what is going on. Chair Hogan pointed out that the last revision of the Lease Policy Council removed the City Manager from the Committee because of some political friction. The staff on the Committee work directly under the City Manager. Under City Code the City Manager is not supposed to be the negotiator, and that is where the rub has been. The original intent is that the Committee was to be the negotiating body. The philosophical issue is should it be a staff process or a public process. There are pros and cons of both concepts. Point was raised that staff can get a lot more done, and that if you have too many business owners on the Committee, all of a sudden they know too much about other peoples business. It was countered that having the public participate on the Committee makes it less political.

 

Commissioner Erickson expressed concern about a recent occurrence where the Lease Committee unanimously voted no on the project with the State, and Council overrode it and went opposite of the Lease Committee.

 

Chair Hogan and Commissioner Erickson agreed to meet as a Lease Policy Review Committee to discuss and bring recommendations back to the Commission.

 

NEECE/SCARPITTA MOVED THAT A CHAIR HOGAN AND COMMISSIONER ERICKSON MEET AS A COMMITTEE TO REVIEW LEASE POLICES.

 

There was discussion that they would meet on December 7th at 4 p.m. at Commissioner Erickson’s house.

 

VOTE: NON OBJECTION: UNANIMOUS CONSENT

 

Motion carried.

 

INFORMATIONAL MATERIALS

 

A.         City of Homer Economic Development Goals (Prepared for Presentation by City Manager Wrede at Kenai Peninsula Community Development Forum)

B.         Lease Committee Meeting Synopsis, October 9, 2008

C.         “Looking for Gas” - Petroleum News Article

D.         Items from October 27 City Council Meeting Packet/Updates on Status of Various Ordinances and Resolutions

 

COMMENTS OF THE AUDIENCE

 

There were no audience comments.

 

COMMENTS OF THE CITY STAFF

Special Projects Coordinator Holen commented that she is one of the people who does shop local, despite the 7.5% sales tax. This is the second year she has done a walk about to do her Christmas shopping. A walk about is where she walks around town and accomplishes as many errands as she can on foot. She shopped at Northwind Gifts, Forget Me Not Flowers, The Book Store, Ptarmigan Arts, Homer Jeans, and Nomar and got most of her Christmas Shopping done.  

 

COMMENTS OF THE COUNCIL MEMBER

 

There were no Council member comments.

 

COMMENTS OF THE CHAIR

 

Chair Hogan said he is glad the got a lot of work done and he appreciates the Commission.

 

COMMENTS OF THE COMMISSION MEMBERS

 

Commissioner Scarpitta commented that he may or may not be at the next meeting. This was an exciting meeting with lots going on. He heard that their reputation was good and there is a feeling that they are concerned about the community. He agrees that they are.

 

Commissioner Neece said it is great and he is enjoying it.

 

Commissioner Erickson agreed.

 

Commissioner Ravin offered a statistical snapshot of Homer, using the last decade that we have full statistics for. In 1997 school enrollment for the City was 1412 students, in 2007 we were down to 1135 students, a 20% drop in enrollment. That is evidence of a large demographic shift. In the same decade the median age in Homer went from 32.4 years to 38.7 years, a six year shift, which is another huge demographic shift. In a local sense it is a shift that is monumental. If it happened in a state or nation, people would be panicking. For a City’s age to change like that in a decade should worry us. It means that the young kids are going to be lonely here when they are 21 and his 18 year old son may not come back to this community when he is done with school. This town is aging.

 

ADJOURN
 
There being no further business to come before the Commission the meeting was adjourned at 8:32 p.m. The next Regular Meeting is scheduled for December 9, 2008 at 6:00 p.m. in the City Hall Cowles Council Chambers. There is a worksession scheduled for December 6, 2008 at 5:00 p.m. in the City Hall Cowles Council Chambers.

 

                                                                       

MELISSA JACOBSEN, CMC, DEPUTY CITY CLERK

 

Approved:                                                       



[1] Mrs. Day was a member of the Comprehensive Plan Citizens Advisory Committee which participated in development of the Draft Comprehensive Plan.