LEASE COMMITTEE                                                                                                           UNAPPROVED           

REGULAR MEETING MINUTES

JULY 9, 2009    

  

Session 09-05 a Regular Meeting of the Lease Committee was called to order on July 9, 2009 at 3:05 pm by Acting Chair Bryan Hawkins at the Homer City Hall Cowles Council Chambers located at 491 E. Pioneer Avenue, Homer, Alaska.

 

PRESENT:          PHILIP ALDERFER, PUBLIC AT LARGE

                        BRYAN HAWKINS, PORT & HARBOR DIRECTOR

                        RICK ABBOUD, CITY PLANNER

                        REGINA HARVILLE, FINANCE DIRECTOR

 

ABSENT:           SHELLY ERICKSON, ECONOMIC DEVELOPMENT ADVISORY COMMISSION (EXCUSED)

                        JOHN VELSKO, PORT & HARBOR ADVISORY COMMISSION (EXCUSED)

 

STAFF:              CITY MANAGER WREDE

                        PORT & HARBOR ADMINISTRATIVE SUPERVISOR MARTIN

                        DEPUTY CITY CLERK KRAUSE

                       

Approval of the Agenda

 

ALDERFER/HARVILLE – MOVED TO APPROVE THE AGENDA.

 

There was no discussion

 

VOTE. YES. NON-OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

Public Comments Regarding Items on the Agenda

 

There were no comments.

 

Reconsideration

 

There were no items for reconsideration.

 

Approval of the Minutes

 

ALDERFER/HARVILLE - MOVED TO APPROVE THE MINUTES.

 

Mr. Alderfer thanked the clerk for the minutes. He felt that he got a full review of the meeting.

 

VOTE. YES. NON-OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

VISITORS

 

Mr. Michael Adams representing Seldovia Village Tribe (SVT) distributed a summary response with a drawing in response to questions submitted by the Lease Committee and the Port and Harbor Advisory Commission.


 

Further discussion covered the following points:

1.         ADA requirements regarding the width of the ramps and if they were compliant.

2.         Alternative designs for the ramps.

 

3.         Clearance between water and ramps during high tide.

4.         The budget is extremely limited for this project. SVT is capitalized to build the submitted      proposal.

            Additional changes could be done but would have to be funded by the City or additional sources.

5.         The connection point on JJ float will have anew landing and the design details of this connection.

6.         Public access was noted next to the proposed fenced area and the end of Lot 21.

7.         The actual location of JJ float in relation to Lot 21 is more within the middle of the lot, not

            the edge as previously determined.

8.         The requirement for overslope development on the project will not be done at this time unless         the City or another funding source is used. Future overslope development could very possibly be         done on the future Visitor’s center.

9.         The project mission is to provide economic stimulus for Seldovia.

10.        The location of the pilings in relation to existing structures and current boat traffic.

11.        The landing location will be before the lot not on the lot. It will be representative of what is currently in use.

12.        The SVT could implement overslope development on future projects or improvements.

 

Mr. Adams assured the committee members that SVT was in it for the long term. He requested approval and recommendation be made as soon as possible as there were time restrictions on getting started this summer.

 

There was no further discussion.

 

STAFF Report/COUNCIL/Committee Reports

 

None.

 

Public Hearing

 

None.

 

Pending Business

 

A.         Seldovia Village Tribe (SVT) Lease Proposal Status                                                                                   a.            Minutes from Port & Harbor Advisory Commission dated May 27, 2009        

            b.         Letter to SVT regarding concerns dated June 10, 2009                              

            c.          Response from SVT dated June 22, 2009

 

Committee Member Alderfer reminded the Committee that it was determined he had a conflict of interest and recused himself from the discussion.

 

Mr. Abboud stated that would cause a procedural problem since they would not have a quorum.

 

There was a brief discussion on holding a special meeting to address this agenda item and establishing a date and time. It was questioned if the rules of necessity could be used. The committee members expressed concern with getting a recommendation to city council in time for the next meeting.

 

Acting Chair Hawkins called a recess at 3:32 p.m. The meeting was reconvened at 3:37 p.m.

 

 

 

Deputy City Clerk Krause conferred with the City Clerk on the Rule of Necessity and it was determined that it could not be used in this situation.

A previous recommendation from the former City Attorney Gordon Tans on a similar issue before the City Council was the following:

 

Asked about the rule of necessity to allow introduction of the ordinance without the required members, City Attorney Tans answered the rule pertains to courts. Although it has been applied in Alaska to a judge, to his knowledge it has not been applied to a body such as a city council. The rule provides if so many members of a body have a conflict of interest so that you cannot take action, all members participate including those with the conflict of interest. Conditions must be met before the rule can be applied.

1.         No other body has the authority to make the decision in question.

2.         The matter cannot be put off until another time when a sufficient number would be present.

3.         There are not enough councilmembers now.

 

Reviewing these conditions it was determined that the rule of necessity could not be applied and a special meeting could be held as early as Monday, July 13.  It was agreed that Wednesday, July 15, 2009 at 3:00 p.m. would be the best and Tuesday would also work as a back up date.

 

ABBOUD/HARVILLE – MOVED TO POSTPONE AGENDA ITEM TO A SPECIAL MEETING SCHEDULED FOR WEDNESDAY JULY 15, 2009 AT 3:00 P.M.

 

There was no further discussion.

 

VOTE. YES. NON-OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

                         

B.         Lease Policy Review

            a.         Excerpt from Economic Development Advisory Commission Minutes           

                        May 12, 2009 Re: Recommended Changes

 

Mr. Abboud has been keeping notes and there are a lot of changes to review. He recommended the committee hold off until all recommended changes by the Economic Development Advisory Commission (EDC) and the Port and Harbor Commission were completed. The committee could then review a fully drafted edition and make their own recommended changes if needed then forward to City Council for approval or remand back to the other Commissions. He reminded that this is still being reviewed by the EDC. Mr. Alderfer agreed and even noticed several items that the EDC even wanted to have a worksession about. He further commented that this did not have to be on the agenda until all recommended changes were in place. He appreciates the work being done on this document.

 

ALDERFER/HARVILLE – MOVED TO POSTPONE ITEM UNTIL FINAL DRAFT OF RECOMMENDED CHANGES IS RECEIVED FROM THE ECONOMIC DEVELOPMENT ADVISORY AND PORT AND HARBOR COMMISSIONS.       

 

There was no further discussion.

 

VOTE. YES. NON-OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

C.         Memorandum to Lease Committee from Port & Harbor Advisory Commission dated

            June 10, 2009 Re: Lot 13B                                                                                 

 

Acting Chair Hawkins summarized the recommendation from the Port and Harbor Commission. He further commented that they have done some preliminary work on the lease with Snug Harbor. He confirmed that it was part of the RFP and no proposals were received on this lot. There is no action requested at this time it is more informational.

 

Mr. Abboud stated that there were questions on the city short term leases. He recommended in the near future to establish an area on the spit where short term leases would be preferred and addressing the storage of equipment.

Mr. Alderfer had concerns about not acting since currently Snug Harbor was in place without one. He would like to make a motion directing the City Manager to enter into negotiations with Snug Harbor for a short term Lease.

City Manager Wrede stated the policy currently followed by the city and noted that they fell behind in addressing the issue with Snug Harbor. He confirmed that a recommendation from the Committee to City Council regarding Snug Harbor would be good.

 

Discussion ensued about the language to use in a short term lease, the length of a short term lease and retaining the option to include the lots with short terms leases on them in the annual RFP process. If the lot does not receive a proposal then another short term lease could be established.

 

ALDERFER/HARVILLE - MOVED THAT THE LEASE COMMITTEE RECOMMENDS CITY COUNCIL DIRECT THE CITY MANAGER TO ENTER INTO LEASE NEGOTIATIONS WITH SNUG HARBOR AND THAT THE LEASE BE NO LONGER THAN ONE YEAR IN DURATION.

 

There was no further discussion.

 

VOTE. YES. NON-OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

NEW BusinesS

 

A.         El Pescador Sublease Request

 

Mr. Hawkins summarized the request from Don Jose, LLC requesting permission for a sublease.

 

ABBOUD/ALDERFER – MOVED TO CONSIDER THE SUBLEASE FOR EL PESCADOR.

 

There was no discussion.

 

VOTE. YES. NON-OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

Discussion included corrections to code violations, documents that were requested, existing policies regarding sanctions if any, and reviews of property management policies regarding sublease requirements. Further discussion included that before submittal of the asbuilts the El Pescador should reexamine the size and location of the building because it may not be in compliance. Committee Member Alderfer commented that the committee should not be focused on compliance of the code. That they should encourage focus on forward movement and make it work for this sublease.

Committee Member Hawkins stated that this is not an action item at this time. It is more informational since they are missing documents that were requested by the City.

 

There was no further discussion.

 

B.         Homer Enterprises, LLC Sublease Request                                                           

 

Committee Member Hawkins explained that they are currently in a short term lease agreement until the long term lease has been completed. The sublease is for the business next door. This is the old processing room. Homer Enterprises, LLC is where you will bring your fish to be packaged and shipped home for you.

 

Discussion included adding language to the current lease documents so in the future this does not have to be an issue. Committee Member Abboud asked if additional information on the sub-lessee will be forth coming or move to consider a sublease. Committee Member Hawkins was unsure.

Committee Member Alderfer recommended a motion be made to allow a sub-lease clause in the long term lease as long as the sub-tenants use is consistent with the lease between the owners of the building and the City. City Manager Wrede made a few comments that the Clerk was unable to hear well enough to transcribe. He did state that Council needed to approve any amendments to the Lease and that they were looking to have this on the agenda for the July council meeting.

 

ABBOUD/HARVILLE – MOVED TO POSTPONE TO THE SPECIAL MEETING ON JULY 15, 2009 AT 3:00 P.M. TO REVIEW ADDITIONAL SUBJECT MATTER.

 

There was no discussion.

 

VOTE. YES. NON-OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

Informational Materials

 

A.         Memo to City Council and City Manger dated April 22, 2009 Re: Approving Lease

            from Kachemak Port Services.                                                    

B.         Lease Renewal Calendar                                                                                    

C.         Memorandum from Port & Harbor Director Hawkins dated July 1, 2009                    

Re: Homer Enterprises/Sport Shed, Peninsula Scrap & Salvage and Group Appraisals

 

Acting Chair Hawkins reviewed titles for the informational items in the packet. He asked if there were any questions. He reported the status of the leases for the Sport Shed, Peninsula Scrap & Salvage and the Group Appraisals for the nine properties. The submitted to three different appraisers in the area.

 

There was no further discussion.

 

Comments from the AUDIENCE

 

None.

 

COMMENTS OF THE CITY STAFF

 

None.

 

Comments from the coUNCILMEMBER (If one is appointed.)

 

None.

 

COMMENTS OF THE CHAIR

 

None.

 

comments of the committee

 

None.

 

adjournment

 

There being no further business to come before the Committee, Acting Chair Hawkins adjourned the meeting at 4:10 p.m. There will be a Special Meeting on July 15, 2009 at 3:00 p.m. The next Regular Meeting is scheduled for September 9, 2009 at 3:00 pm in the City Hall Cowles Council Chambers located at 491 E. Pioneer Avenue, Homer, Alaska.

 

 

                                                                       

 Renee Krause, Deputy City Clerk I

Approved: