Session 05-05, a Regular Meeting of the Homer City Council was called to order at 7:00 p.m. by
Mayor James C. Hornaday at the Homer City Hall Council Chambers located at 491 E Pioneer Avenue, Homer,
Alaska, and opened with the Pledge of Allegiance.
PRESENT: COUNCILMEMBERS: BECK, McLAY, NOVAK, STARK, YOURKOWSKI..
Councilmember Wythe participated telephonically.
Mayor Hornaday confirmed that Councilmember Wythe was present telephonically
STAFF: CITY CLERK CALHOUN
CITY MANAGER WREDE
CITY ATTORNEY TANS
FINANCE DIRECTOR BAUGH
PORT/HARBOR DIRECTOR DEAN
PUBLIC WORKS DIRECTOR MEYER
Department Heads may be called upon from time to time to participate via teleconference.
Council met as a Committee of the Whole from 4:00 to 5:07 p.m. and Conducted a Special Meeting from 5:30 to
6:59 p.m. for a Board of Adjustment Appeal Hearing. Both meetings were held in the Homer City Hall Council
Chambers.
AGENDA APPROVAL
(Addition of items to or removing items from the agenda will be by unanimous consent of the Council. HCC 1.24.040.)
The following changes as noted in the supplemental packet were read: Consent Agenda - Ordinance 05-07, Exhibits
A. and B. clearer copies and Ordinance 05-08, Corrected account information as provided to the Council on Friday,
February 11, 2005. Additional backup information for Resolution 05-20. Ordinances - Written testimony on
Ordinance 05-02, Addition to City Planner's Memorandum 05-29. Ordinance 05-03, City Manager's Memorandum
05-30 with two December 11, 2004 Memoranda. New Business - Bill Smith - Candidacy Declaration amendment and
Ron Jimerson's Candidacy Declaration. Committee Reports - Public Arts Committee January 27, 2005 Meeting Synopsis.
BECK/NOVAK - MOVED TO APPROVE THE AGENDA.
There was no discussion.
VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
PUBLIC COMMENTS UPON MATTERS ALREADY ON THE AGENDA
Public comments upon matters only on the agenda and excluding the Visitor and on the Public Hearing Item -
Ordinance 05-05, Accepting and Appropriating a $1.2 Million Grant for the New Library.
Charlie Franz, resides at 420 Whispering Meadows Avenue City of Homer, voiced appreciation of the opportunity to
address the Mayor and City Council. He commented on New Business Item 13. B. Memo from City Manager Wrede
regarding the Hospital Lease and asked that the Council support the City Manager's recommendation, adding that he
appreciates their attention.
Joel Cooper, resident of the Bridge Creek Watershed Protection District, commented on Ordinance pertaining to the
66,000 square feet and requested that the Council not pass and consider the previously passed Ordinance of 45,000
square feet. He voiced a personal preference for a small number of up to 20,000 square feet and that he believes that
the City can get by on that. One of the points about the past election on this Ordinance is that the size Ordinance is a
regional and economic issue, that the vote was only on the Homer City limits and that the Council should have
considered the whole Kachemak Bay Region. This does effect everybody in the region and everybody's voice should
be considered not just those within the City limits. The discussion should be broadened into a more broad economic
discussion and try to address some of the issues in terms of what is being marketed here. He advised the Council that
he had submitted an opinion piece published this last week in the Homer News and that he tried to lay some of that
out. He requested that people come up to the table and ask the Council to not pass this resolution and encourage the
Council to start a more regional and economic discussion. Everyone can do this and everyone can be employed if
there are serious talks about the economy and not just about one particular issue, like the size of buildings. It is a lot
broader than that. Everyone is tired of this issue, it is a complex issue and discussions should continue.
Bruce Turkington, one of the original sponsors of the initiative, stated that he feels very strongly that this was a
compromise between the unlimited size restriction that there used to be and the type of activity going on in the Twin
Cities where there is no size restrictions and buildings are over double this size and still growing. The 66,000 square
feet is about half the size of most of those buildings up the highway. A pretty good compromise. Uphold the people's
wishes. Go for the 66,000, which is still very much a restriction over open growth. If this is passed it will give a
brighter outlook toward any issues that may come up about sales tax increases. If there is going to be continued
growth restriction, to go for the sales tax increase is probably not realistic. With regard to going to the voters for the
sales tax increase, he suggested that it can be very important to look at this compromise and accept it since it is what
the voters wanted.
Walt Henwood stated that he is in favor of the 66,000 square foot and that when he gets to thinking about this he wonders why this discussion. He noted that the voters voted and that he thought the majority rules and rhetorically inquired what is the use of voting if you're are not going to go by what the voters voted on. Then, coming right out with the sales tax. He suggested that if the Council is not happy with how it was worded, put it back on with the sales tax and let the voters vote on it again.
He told the Council if they vote this down they should be careful on their taxes, because he does not think they will
go very far. He thanked the Council.
George Meeker, lives in Homer, thanked each for their public service. The court approved vote to allow up to
66,000 square feet for retail establishment was passed by Homer voters 58% to 42% a 266 vote margin in favor. In
democracy one vote is all that is required. Over $300 billion was spent to invade Iraq, the expense justified by saying
that it is worth it to bring democracy to that country, that is over $1,000, and counting, for every man, woman and
child in this country. It appears the challenge is on our own system of democracy by not accepting the legal vote of
the people. The people were informed, had much discussion and knew what was being voted. Homer needs more tax
base with the City's expensive pension obligations, general need for increased infrastructure, added City medical costs
and general maintenance. He exhorted the Council to let their conscience be their guide, adding that he believes the
vote should be for the 66,000 square foot limitation. He thanked the Council for their consideration.
Rijjil Christianson, City resident and voter, advised that she is here to voice her concern regarding the 66,000 square
foot cap, adding that she signed the petition in favor of a 20,000 square foot cap for all of Homer. She emphasized
that it has taken her a long time to come to terms with a huge 45,000 and closer to 66,000 than she was willing to
go. She voiced her willingness to support that as a mark that showed both sides of the issue, as a compromise. She
stated that she does not support the 66,000 and that she supports the Planning Commission and all of their hard
work. She thanked Councilmember Beck for all of her service to the Community and that she has definitely been a
pillar of strength through some hard times and will be missed.
Mayor Hornaday interjected that Councilmember Beck is a Rose among thorns.
Frank Griswold pointed out that the minutes of the February 2nd Planning Commission were very well done, very thorough, lots of good testimony and that he did not see it included in the packet and hoped that the Council had a chance to read that testimony. He read a letter into the record, the following are highlights:
The Constitutional guarantee of substantive due process assures that a legislative body's decision is not arbitrary, but instead based upon some rational policy. The Homer Comprehensive Plan provides that policy. Ordinance 04-11(A), enacted April 2004, was based on policies and objectives of the Comprehensive Plan, and were cited in the whereas clauses. Ordinance 05-02 is not consistent with the policies and objectives of the Comprehensive Plan and it is not surprising that no citations to the Plan appear in its recitals. The fiscal objectives mentioned in Memorandum 05-03 are not legitimate reasons to amend the Zoning Ordinance. After eighteen months of consideration the Planning Commission and the City Council set varying size limits for different districts. Ordinance 05-02 allows 66,000 square feet of floor space in three districts, including the Scenic Gateway, where a 25,000 size cap was deemed appropriate just last April. If this is not arbitrary, what is? There is no legitimate reason for enacting this Ordinance. If the citizens of Homer are desperate for food and shelter it is not because of over restrictive store size limits. The lack of availability of cheap underwear is a minor inconvenience at best and does not constitute a public health issue. There is no need to further implement the June ballot issue, automatically enacted by Ordinance 04-18, as voted into the Code. If the initiative petition was premature and/or poorly crafted that is the petitioners' problem not the City's. Council should not change the Zoning Code based on speculation that the voters wanted something other than what they actually voted.
Mr. Griswold advised that to take care of the underwear problem he stopped by Fred Meyer and got some and that
for anyone that wants these he will put them on the back table.
Jim Levine, lives on Diamond Ridge, stated that, unfortunately, he did not have the opportunity to vote in the
election regarding the 66,000 square foot, foot print. He emphasized that he does have a stake in the outcome,
therefore, wanted to address this body. Since moving to Homer from Anchorage, he stopped shopping in Anchorage
or Soldotna and shops, almost, 100% in Homer. When the 45,000 square foot cap was enacted, he advised, he
thought that a good place to see the effect a large store would have on local business. 66,000 is a larger risk., with
little additional pay back to the community. He addressed Council's expectation of additional tax revenues that the
information he has read indicates the opposite tends to happen since large stores require additional infra structure
more than the tax revenue provided such as: Fully paid Fire Department? Police Department expansion to
accommodate additional shoppers and employees? Automatic sprinkler systems required for larger buildings overload
the City water distribution system? He relayed hearing that approximately 100 employees will be required by this
larger store. Where will they live? Will that many new families over tax the existing water and sewer system, thereby
requiring an expansion and large costs to the City. Traffic impact. Require additional schools to be built, thereby
increasing Borough expenses? Other Borough expenses such as snow removal, grading, traffic, recreational facilities,
etcetera? There may be more than one large store come in with an additional 100 employees. He told the Council that
he does not want to lock the doors to this beautiful area, but it is very important to think about these issues before
they happen. There needs to be a plan that everyone, Borough and City residents, can live with. Perhaps, instead of
new employees, the new store will take the local store employees. Homer is pretty well employed and it is currently
difficult to find employees. Either way Homer will get new families, unless the new businesses go under, which will
have a detrimental effect on Homer. Property values along Pioneer will crash and the extra people that will come to
Homer to shop at a large store will be offset by those folks that no longer come to Homer, because the unique
shopping experience no longer exists. The additional tax revenues only occur with the keeping of the existing stores,
while adding a new large store. Studies indicate that the large chain stores only respend 14% of their revenue in the
local economy. This is in contrast with local business which respend 45% of their revenues. He encouraged the
Council to consider the ripple effect, such as tax consultants, sign makers, local banks, restaurants and etcetera. He
mentioned the Farmer's Market as an example. Chain stores stated that they would be selling Farmed Salmon instead
of Wild Alaskan Salmon, a slap in the face to local fishermen.
Craig Matkin, resident of the City of Homer, reiterated that there has been a long process that has gone on with the
Planning Commission, who put in a lot of work. This was not something rash, there was a series of decisions made
on setting different square footage limits for different zones for the different areas. 45,000 foot recommendation was
made with great fore thought. He asked the Council to uphold the work done by the Commission and move forward.
This is a good compromise. There has been a lot of bad feeling. A compromise situation would start healing the
wounds in Homer and is not going to stop growth in Homer. He thanked the Council.
Jon Faulkner wished all a Happy Valentine's Day. He urged the Council to adopt Resolution 05-18, a mundane
matter compared to other matters on Council's agenda. He held up the Official Alaska State Vacation Planner, in
existence for 20 years and markets the state world wide with over 400,000 sent out. He advised that this planner is
the subject of that Resolution, that it fails to separate out the Kenai Peninsula as separate destination and has for 25
years. The Kenai Peninsula is lumped in with a huge region, South Central, that goes as far North as Talkeetna, over
to Cordova and up to McCarthy and has no relevance to the visitor industry particularly on the Kenai Peninsula. The
Resolution encourages the Council to express their support for changing this and identifying the Kenai Peninsula as a
distinct and separate region within the planner. It also encourages the Council to work with Paul Seaton, who is
pursuing this in Juneau, to withhold funding from ATIA, Alaska Tourism Industry Association, until they make this
change, which will not happen until funding is withheld. ATIA receives about $3 million a year from the state, public
money. The facts in the Resolution are accurate with respect to Borough and Chamber Resolutions. Tuesday, last
week, Homer Chamber of Commerce passed a similar Resolution.
Donna Rae Faulkner, resident and business owner, along with her husband, in the City of Homer, commented on
Ordinance 05-02 that Homer really is growing, for instance, with Fred Meyer coming to town. She inquired if it
would be prudent to keep the current size limits and enforce the current design and impact standards that are now in
place and see what happens before increasing the CBD size limits further. The current 35,000 to 45,000 square foot
limits were adopted last year after much thoughtful work. She suggested being sensible, wise and far sighted; monitor
the effects of implementing what is currently in place before jumping to new and even higher impacting standards that
will clearly have a long term impact and one that cannot be taken back. Homer is very precious community and
deserves thoughtful, careful consideration. She encouraged the Council to not go back, adding that hasty, rash and
impulsive decisions have been made that have systemic implications to the town. She thanked Councilmember Beck
for all her service, adding that she will be missed. She thanked the Council.
Sally Oberstein, lives inside City limits, commented on box store size, that her family visits family in California where
there are big cities and lots and lots of box stores. This is what her son knows about California and when he was told
about box stores coming to Homer and the difference in the size, he, an eight year old, said, " Well, Homer is going
to be just like California." She urged the Council to vote with the smaller size and to keep Homer the town. She
thanked the Council.
Chris Day advised that she and her husband Ken Day own Emerald Air Service in Homer, that they do Bear Viewing
and that she is here to address Resolution 05-20, requesting the City Council to come out against, in opposition to
Board of Game proposals 129 and 137. These proposals address opening some private in holdings within Katmai
National Park as well as opening McNeil River Sanctuary and Refuge, areas closed for years. There is an important
population of bears. Bear Viewing is an important industry in Homer. Viewing operations bring millions of dollars
into Homer. Emerald Air Service employs seven people. There is a spin off, people who come to view bears stay at
the B and Bs and eat in the restaurants. It is an economic premise for which they are asking that the Council oppose
this. It is not addressing closing an area that has been open it is requesting status quo. She provided a list of 40
businesses in Homer that oppose the opening of these areas. She thanked the Council.
Dave Bachrach, business owner AK Adventures, asked the City Council to adopt Resolution 05-20, asking the Board
of Game to maintain closures in the McNeil Game Sanctuary and surrounding areas. Bear Viewing continues to be a
popular tourist activity in Homer and contributes greatly to the local economy. Homer is a major hub for visitors to
McNeil Sanctuary and surrounding areas. Bear Viewing customers provide income to the Bear Viewing Operators, B
and B owners, restaurants, lodges, art stores and gift shops. From a biological standpoint, the 2004 McNeil River
report states that the count of bears is the lowest in 20 years. There is an economic and biologic need for protection.
Last week the Homer Fish and Game Advisory Committee voted to support keeping these areas closed for status
quo. By passage of this Resolution the Council will send a clear message consistent with the Homer Advisory
Committee that these bears in these areas provide great educational and economic importance to the City of Homer,
its businesses and residents.
Derek Stonorov, live outside the City limits, asked the Council to support Resolution 05-20. He reminded the
Council that it has been a tradition that past Councils have passed Resolutions in support of both critical habitat areas
and wildlife refuges. He commented about spending the better part of two years in the Council Chambers trying to
talk Harry Gregoire into supporting critical habitat areas. A study by Yale University showed that the McNeil River
Sanctuary, each year, generates about $2.5 million into the Alaskan economy, not including the other bear viewing
areas. McNeil Sanctuary is meeting its management goals as approved by the Alaska Department of Fish and Game
and the Alaska Legislature. This is a real conservation issue. He commented on his own Bear Viewing company
based out of Homer and that also runs an educational project with Emerald Air Service and the Alaska Center for
Coastal Studies in the McNeil Refuge, which is right above the McNeil Sanctuary, which also has the possibility of
being opened for hunting that has not taken place for close to 15 years. He respectfully asked the Council to support
this Resolution and to ensure that there is a healthy bear population for viewing in the area in perpetuity.
Ken Day, the other half of Emerald Air Service, stated that he wants to be on the record of asking the Council to
oppose proposals 129 and 137. There has been a two year study just completed by Fish and Game showing the travel
of the bears through McNeil. There are GPS coordinates of bears showing their travel from McNeil to Cape Douglas
and back and over to the Katmai Preserve. He stated that he has been going into the Katmai Preserve and watching
bears for about 18 years and has noticed a drop in bear population, the big male bears gone with mostly female bears
and young cub adults. The harvest out of these areas, which are the McNeil bears, has gone up every year. The
sustainable yield of harvest in this area is seven bears a hunt, this last season 34 bears were taken out of sub unit 703,
seven bears poached, making it 41 bears, plus the poachers reported shooting many more bears. The bear population
is crashing and needs to be protected. He provided a map depicting the areas of concern.
Michael Kennedy, resident voter of the City of Homer, voiced support for Resolution 05-20, adding that there is
enough hunting area over there and that he does not believe that area needs to be increased. He commented on the
box store issue, noting that he is a big supporter of keeping Homer weird, which is kind of what turned him on to the
whole thing and that he believes in doing his part, interjecting to just look at the City Council. He stated that there
have been a lot of votes he has been disappointed in lately, mostly all of them and that the Libertarian in him sees an
overriding preference for letting the will of the voters stand and that the Homer City Council should listen to how the
vote turned out, regardless of whether 44,000 or 66,000, there is not that much difference in the two. If it were
166,000 that would be different. The voter initiative process is practically sacred and the Council should vote with
the vote of the people. The observation from the last election is that at least three people who got voted into the
Council, either reinstated or new, were because they are going to vote with how the people voted. If this vote had
gone the other way and people came in here screaming to have it turned back it would be the same issue. The actual
vote is what needs to be considered and if someone wants to challenge the voting process and get the vote thrown
out, well then so be it and let it be voted again. Until that happens this vote stands and Council should pay attention.
Mr. Kennedy recalled that in the annexation process his group was denied being able to put the vote to an initiative
process and that he has always wondered how that would have turned out, but were not given that opportunity and
was turned down by the City to have that initiative process used.
Scott Dickerson commented that he believes most of the Council knows him, that he grew up here, was born and
raised here and that he wants to talk about the box store issue. He noted that he is one of the few people his age that
actually live here and who plans on living here. He stated that one of the reasons he came back to Homer is due to its
uniqueness, environment and beauty. Increase in the size limit will detract from that. Growth is something that
Homer will experience. Homer's strength is its environment and a large store will not help that. Progressive
communities focus on their strengths, Homer's is its environment. There are plenty of communities willing to have
shopping centers for Homer. Homer should focus on its environment and the allure it has for those who like to come
visit.
Carl Bice, resident of Homer, expressed his opinion against the 66,000 square foot foot print that is being proposed
and that he has lived long enough in Homer to see a lot of Mom and Pop Shops go under and go by the wayside. He
voiced a recognition that Homer is growing and as a building contractor sees this all the time and there is, potentially,
a place for new growth with limits. He disagreed with Michael Kennedy that the difference 45,000 and 66,000 is not
that much. It is not that much when considering one store, but when thinking about the possibility of two or three or
more at 66,000, all of a sudden 20,000 becomes kind of a big deal. He stated that his greatest fear with all of this is
just what it is going to look like around here if Homer ends up with that many of these big box stores. He urged the
Council to consider that fact.
Maryclare Foecke, City resident, thanked Council for all their hard work and service, adding that she knows it is tireless. She appealed to Council's style of visionary leadership. The stewardship that the Council has of this town is exemplary. She advised the Council that she works with the youth in this town for their health and safety and that she works with a wide and diverse group of people having to balance out different political, religious, social and economic differences. She stated that her work is to find common ground and see what is in the best interest of the kids who come from families widely divergent in their values. There are two ways of looking at things. She urged the Council to consider this with the box store issues:
What are Council's rights as a citizen? What are the Council's rights? What is the power Council can wield over this decision making process? How many citizens can Council win over? manipulate? argue into the ground?
Ms. Foecke stated that the problem with asserting rights is that this circumvents power over those who yield less for
any number of reasons. This is a lose, lose proposition since it is divisive. Divisiveness is not a leadership
empowering quality. She asked the Council to consider what is in the best interest of all and that there is always
compromise in that. Common ground is not ego based and is not short sighted and is visionary. Maybe have cheap
underwear and the integrity of local private enterprise both.
Jack Hamik, resident with a business in town, registered his feelings against the 66,000 square foot limit and for the
45,000 square foot limit. He advised that he has had a wood shop in town for about 25 years and has found that most
big stores don't shop locally. He stated that he has worked for a lot of people in business in this town who are
threatened by this big store, adding that he has yet to be approached by a big store and doubt that he will be by Fred
Meyer or any body else that comes into town. He thanked the Council.
Eva Saulitis, City resident, commented that she has addressed the Council before on this issue. She relayed that in thinking about all of this and reading people's testimonies in the paper and the news paper articles the thing that really affected her the most was reading the Ordinance itself and all of the whereas clauses. Considering passing the Ordinance is not in service of all of the whereas statements. She told the Council that the thing that struck her strongly was the fact that what the Planning Commission had done was to really carefully consider each zone in the town and to put a specific/different number in each zone. The new Ordinance has a blanket number for each zone that seem arbitrary, with no adequate justification. The Council has two tasks:
The will of the People and the Planning Commission. Looking out for the best interests of the town.
The 45,000 square foot limit is a compromise and takes into the account the desire of people to have a larger store
and the hard work of the Planning Commission. She thanked the Council.
Bruce Hess, City resident and Planning Commissioner - not representing the Planning Commission, stated that first of
all the Council is not going to please everyone with whatever they do since there are too many sides and too much
difference. As a member of the Commission, he noted that he did have a lot to do with what the Commission sent up
for recommendations. He informed the Council that he has come to the realization that the initiative vote and the City
Council elections do represent a pretty good segment of the population that does want larger stores. He voiced his
belief that the Ordinance the Council has before them does not need to ignore the 42% of the voters that don't agree
with that position. He commented about Emailing the Councilmembers that have email addresses what he think may
be a pretty workable compromise and voiced his hope that the Council might take this into consideration. Mr. Hess
voiced his realization that the Mayor does not have Email and said that was too bad since it is such a good way to communicate.
Mayor Hornaday interjected a comment about Email.
Mr. Hess expressed worry about the Ordinance with relation to the Comprehensive Plan and that his proposal does.
He told the Council to ensure that the Ordinance they finally end up with will have some basis in the Comprehensive
Plan or there will be problems. He noted that there are members in this community, that are probably in this room
that are going to challenge it. He told the Council to be prepared and if they don't want something that is just going
to wind up costing the City money and legal fees there needs to be a thing that is defendable in the Comprehensive
Plan.
Mayor Hornaday asked that Mr. Hess send his email to the City Clerk.
Mr. Hess indicated that he would.
Carole Hamik, Homer resident, stated that she believes this a real pivotable place for the town and community and
urged the Council to not feel like they are ignoring the vote in June. She voiced her opinion that the ballot could have
been worded a little bit more clearly, adding that many people thought they were voting either not for a box store at
all or 66,000. She pointed out that there were a lot of people in a hurry, they look at the ballot, want to vote, and are
real conscientious. She commented about her daughters, born and raised in Homer, who are also not very happy
about it becoming any where America. She voiced her love for the uniqueness of Homer and hoped that the Council
would consider the 45,000 square feet as a compromise, tonight. She thanked the Council.
Ray Kranich thanked the Mayor and Council and told Councilmember Wythe that he hoped she was having fun down
in the States staying up this late. He noted that on June 15th people voted for a 66,000 square foot limit, the number
66,000 was very clear. Some of the other language in the initiative may not have been and could possibly be
circumvented to mean something that it did or did not say, but the number 66 was very clear. Long after that special
election the Planning Commission and the City Council were still deliberating of 35 and 45, evidenced by the
Planning Commission minutes of August 4. For the most part they were ignoring the recent vote. The issue now
before the Council is not one of retail building size but of business size and to tell a business owner how big their
business can start out or grow to is, basically, unAmerican. This issue, the way it has been played out in Homer,
would be a very good lesson to provide to the electorate in Iraq that you can vote on an issue, but the government
can ignore it. Plain and Simple. He urged the Council to approve Ordinance 05-02, because if this has to be done
again the results could lead to even larger sizes and if this is locked out the Council may have a real, real hard time
selling that Sales Tax increase. He thanked the Council.
Elizabeth Neumann, not a Homer resident, stated that she comes here many times and often wishes that she were a
Homer resident, because it gets very frustrating when one lives outside the City and can't vote on anything. She
voiced her thought that the question should not be whether or not she is a Homer resident, with regard to the box
store issue, but how much money she spends in Homer. She informed the Council that she spends 95% of her money
in Homer and the only time she goes out to Soldotna or anywhere is when she is heading north and picking
something up along the way. She advised the Council that she moved here from New York City , has four jobs to
support herself, which is her choice and that she chooses to be here, because of the beautiful place that it is and that
she would really hate to see it become a Soldotna. If people really need that kind of convenience and are not getting
what they need here, perhaps they should consider moving to a place where there are more convenient things to buy.
She urged the Council to take their time, noting that the Commission has done so much work on this, see what
45,000 feet is going to do to the community before going ahead and jumping to a bigger size. She asked the Council
to please not open hunting around McNeil River State Game River Sanctuary. She thanked the Council for their time
and Councilmember Beck for all her work.
Carole Hamik asked for thirty seconds more.
Mayor Hornaday granted her thirty seconds.
Carole Hamik stated that Councilmember Beck has been great and will be missed. She added to her comments that
the Planning Commission did a great job in evaluating and spent an immense amount of time. She asked the Council
to please accept their recommendation on the box store issue. She thanked the Council.
Sue Post greeted the Council and noted that she sent them all a letter so is not testifying on behalf of herself and is reading a letter from Taneeka Hansen, fifteen years old, the letter is also signed by Shawn Hansen and Jeanne Parker, all City residents. Letter points:
Safeway is planning on expanding into the rest of its building. The whole building is 33,500 square feet, not even near the current cap of 45,000.
Why do we need a store twice the size of that.
For a little bit there would be better prices since a store that size can provide better competition.
Soon it could drive out many of the local businesses and eventually, Safeway or Save - U- More or both.
Then there would cease to be competition and the large store would be able to jack up its prices again.
Fred Meyer has already said it would come in at 45,000 square feet. This would allow competition without driving out many stores.
In order to avoid being sued, the City is proposing a size cap for more than just the CBD, one area being Baycrest
Hill. Tourism is a large part of our economy and Baycrest Hill is the first impression people get when they arrive in
Homer. Imagine people driving in for the first time and instead of seeing the amazing view they see lots of larger box
stores, possibly just like the place they are on vacation from.
Debbie Poore greeted the Council and thanked them for the opportunity to address them. She noted that she grew up
in Kenai, has seen how Kenai and Soldotna have changed over fifty years and that she is not proud of it. She stated
that she is proud of Homer, loves living here and has lived here for 28 years and is a City resident. She stated that she
chose to move into town so that she had a little bit more of a voice on how this community changes. She voiced her
belief that this is a very important time. She voiced complete support of the 45,000 square feet and absolutely not in
support of 66,000 square feet in several districts around town. This would be a huge mistake. Having traveled quite
a bit, Ms. Poore advised the Council that tourists look for a community like Homer, a place that is a little bit different
and are not looking for franchises. She thanked the Council.
Sharon Whytal greeted the Council, thanked them for the opportunity and for all the time that they have put into this
issue once again. She voiced a little discouragement at the process, because she thought this had been concluded and
that what felt like a pretty unclear ballot issue is seeming to accelerate a process of extending into yet another
decision. She advised that her concern continues to be about the increase in poverty that's brought about by $8.00 an
hour jobs that Fred Meyer said they would be bringing. Rushing into larger and larger sizes and expanding the area
where those buildings can be would accelerate the number of those jobs at a really high rate. She voiced a preference
for this to happen more slowly and for the community to integrate this into traffic patterns, social programs, rental
vacancy rate and all those things. She voiced her hope that the Council would continue to consider all of these things
with the amount of confusing and diverse input they are getting. She thanked the Council.
Alan Parks, not a City resident, commented that he moved out of the City a couple of years ago and has lived here
for most of his 28 years here. He stated that he has sat where the Council is sitting and that during that time the
Council went through some zoning issues and requested at the time that the attorney write a letter on principles and
merits of why the City does the Planning and Zoning, what guides the City, and the reasons for Planning and Zoning.
He encouraged the Council to dust off that letter and take a look at it. He voiced concern not for or against the
66,000 or 45,000 or for or against the box store, but that the City is in full blown litigation and still in the courts.
There could be a scenario that comes up that the litigant prevails, the City is stuck with a developer who is under the
assumption that 66,000 or 188 is just fine. Then the Council would be in a position where they'd have to mitigate his
damages. It would be wise for the Council to just hold back and let that clear out of the court system. Then it would
be really clear how the City does Planning and Zoning. Is it fair to do Planning and Zoning with initiatives and a spin
on it? Planning and Zoning is pretty critical and suggested that there be an open discussion on all aspects of it by
decision makers in a planning process for which there is a Planning Commission and the Council. Mr. Parks voiced
support of that process. He thanked the Council.
John Fenske, City resident, commented that when listening to the various testimony he had to come down and that it
seemed as though Brother Ray Kranich gave some testimony about how an election process went that dealt with
66,000 square feet of foot print that was recently voted on. That particular ballot issue said nothing about increasing
the size of wholesale and retail space, but dealt with decreasing the allowable size of footprint of a building that was
used for commercial purposes. As the community grows the existing growth and development has to be looked at
that is taking place within the City of Homer. There are basically five buildings that are operating commercial space
over 8,000 square feet and there are only three that begin to approach 30,000 square feet. The current Ordinance
allows for 45, 000 square feet of whole sale and retail space within any building up to 66,000 feet, limited by the
ballot issue. The wholesale and retail space at 45,000 feet in effect right now would constitute the space use for
wholesale and retail in the Save-U-More store as well as for Safeway, as well as an additional 6,000 square feet. If
the idea is to truly provide for competition in the community. If 66,000 square feet of wholesale and retail space is
allowed in the community this will allow one store to dominate the market or whatever it is that they come in at. Mr.
Fenske stated that he does not have a problem with competition, viewing that as very healthy. Regarding the
comments about those who have been elected to office, he noted that this is representative government and part of
representation has to do with the fact that....
Mayor Hornaday advised Mr. Fenske that his time was up and Mr. Fenske chose to ignore that. The Mayor restated
that Mr. Fenske's time was up and Mr. Fenske continued. Mayor Hornaday emphatically stated that no one else got
over three minutes and that Mr. Fenske does not either and thanked him for his comments.
RECONSIDERATION
None scheduled.
CONSENT AGENDA
(Items listed below will be enacted by one motion. If separate discussion is desired on an item, that item may be
removed from the Consent Agenda and placed on the Regular Meeting Agenda at the request of a Councilmember.)
Mayor asked that Resolution 05-20 be voted on separately in that he may have a conflict of Interest.
A. Homer City Council unapproved meeting minutes of January 24, 2005 Special and Regular Meeting. City Clerk.
Recommend approval.
B. Ordinance 05-06, Of the Homer City Council Amending Homer City Code Section 17.04.030, Improvement
Districts--Formation and Assessment and Section 17.04.050, Improvement Plan--Objections and Revisions. City
Council. Recommend introduction and conduct Public Hearing on February 28, 2005 and Second reading on March
14, 2005.
C. Ordinance 05-07, Of the City Council Amending the Homer City Zoning Map, HCC 21.36, Rezoning from
Central Business District and Marine Industrial District to Conservation District, those Properties Acquired through
the Action of the EXXON VALDEZ Oil Spill Trustee Council, The City of Homer, the Trust for Public Land, and
the State of Alaska. City Manager. Recommend introduction and conduct Public Hearing on February 28 and Second
reading on March 14, 2005.
Memorandum 05-18, City Planner as backup.
Councilmember Wythe requested that this be placed under Ordinances. It will be item D.
D. Ordinance 05-08, Of the City Council Amending the City of Homer Fee Schedule to Delete Certain Library Fees and Amending the 2005 Budget, Revenues Accordingly. Beck. Fiscal Note: Reduction of $40,000 in Depreciation and Library Revenue. Recommend introduction and conduct Public Hearing and Second Reading on February 28, 2005.
Memorandum 05-19, from Councilmember Stark.
Councilmember Stark requested that this be placed under Ordinances. It will be item E.
E. Resolution 05-17, Of the City council of Homer, Alaska Amending the Homer Parks and Recreation Advisory
Commission Bylaws. Meeting Time Change from 7:30 p.m. to 6:30 p.m. City Clerk. Recommend adoption.
Memoranda 05-22 and 23, from Parks and Recreation Commission as backup.
F. Resolution 05-18, Of the City Council of Homer, Alaska Requesting that the State of Alaska Consider
Withholding all Public Funding of the Alaska Tourism Industry Association (ATIA) Unless and Until the ATIA
Recognizes and Includes the Kenai Peninsula as a Separate Destination within the Official State Vacation Planner.
Wythe. Recommend adoption.
G. Resolution 05-19, Of the Homer City Council Expressing Support for House Bill 24 entitled "An Act Relating
to Commercial Passenger Vessel Operators; and Providing for an Effective Date". City Manager. Recommend
adoption.
H. Resolution 05-20, Of the City Council of Homer, Alaska Requesting that the Alaska Board of Game Maintain the
Hunting Closures at McNeil River State Game Sanctuary and Refuge, Including State Owned Lands Near the Little
Kamishak River, and State Owned Lands Near the Douglas River. Beck. Recommend adoption.
Councilmember Beck requested that this be placed under Resolutions. It will be Item B.
I. Memorandum 05-20, from Mayor, Re: Reappointment of Cathy Ulmer and Kurt Weichhand to the Homer Port
and Harbor Advisory Commission, the Appointment of Cathy Ulmer to the Homer Conference Center Feasibility
Study Steering Committee and the Appointment of Don Emmal to the Town Center Development Committee with
Jack Cushing as his Alternate. Recommend confirmation.
J. Memorandum 05-21, from City Clerk, Re: Setting the Land Allocation Joint Session with Council's Advisory
Bodies during the Committee of the Whole on March 14, 2005. Recommend adoption.
Councilmember Stark requested that this be placed under New Business. It will be item E.
YOURKOWSKI/BECK - MOVED FOR THE APPROVAL OF THE AMENDED CONSENT AGENDA BY
READING OF TITLES.
There was no discussion.
VOTE: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried. ( With the exclusion of Items C, D H and J.)
VISITORS
A. Presentation from the Kachemak Bay Natural Estuarine Research Reserve on the Coastal Impact Assistance
Program.
Scott Pegau gave a power point presentation, which included the information in the Council's packet:
Coastal Change Analysis - program involved developing a number of components that the City can use to better understand and manage its coastal resources. This provides an estimate of coastal bluff erosion based on a series of aerial surveys, description of the salt marsh plant communities, their extent within the City and a survey of beach habitats. The work was done in the Kachemak Bay Research Reserve.
Shoreline Maps and Erosion tables.
Munson Point 1951, 1961, 1968, 1975, 1996, and 2003
Max erosion rate = 2.8 m/yr (1961-1968)
Overall erosion rate 1951-2003 = 1.7 m/yr.
Intertidal and Salt Marsh Maps
There was a brief question and answer period.
ANNOUNCEMENTS/PRESENTATIONS/BOROUGH REPORT/COMMISSION REPORTS
A. Mayor Hornaday Travel and Contact Report.
Mayor Hornaday gave a synopsis of his trip to Juneau and meetings with the Governor and other state officials.
He encouraged the Council to attend AML Fly-In Sessions.
PUBLIC HEARING(S)
A. Ordinance 05-05, Of the City Council of Homer, Alaska Accepting and Appropriating a $1.2 Million Grant from
the Rasmuson Foundation for the Construction of the New Homer Public Library, Confirming that the City has
Raised and Committed the Balance needed to Complete the Project Funding and Authorizing the City Manager to
Execute the Appropriate Documents. City Manager. Fiscal Note: Revenue and Expenditure Account No. 151-722
adding $1,200,000.00. (First Reading January 24, 2005, Public Hearing and Second Reading February 14,
2005.)
There was no public testimony.
BECK/NOVAK - MOVED FOR THE ADOPTION OF ORDINANCE 05-05 BY READING OF TITLE.
There was no discussion.
VOTE: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
ORDINANCE(S)
A. Ordinance 05-01, Of the City Council of the City of Homer, Alaska Amending Homer City Code Sections,
21.48.060(h) Central Business District - Landscaping Requirements, 21.49.060(h) General Commercial 1 -
Landscaping Requirements, and 21.61.105(l)(7) Conditional Use Permit - Landscaping. City Manager. Planning.
(First Reading January 10, 2005, Public Hearing January 24, 2005, Second Reading February 14, 2005.)
YOURKOWSKI/BECK - MOVED FOR THE ADOPTION OF ORDINANCE 05-01 BY READING OF TITLE.
There was no discussion.
VOTE: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
Mayor called for a recess at 8:26 p.m., reconvening the meeting at 8:35 p.m.
B. Ordinance 05-02, Of the City Council of Homer, Alaska Amending Homer City Code Chapters 21.32,
Definitions, to add a New Section 21.32.208 Foot Print Area, Chapters 21.48 Central Business District, 21.49
General Commercial One District and 21.50 General Commercial Two District, Building Area and Dimensions, to
Increase the Allowable Area of Buildings Used for Retail and Wholesale Business to 66,000 Square Feet.. McLay.
Wythe. (First Reading January 10, 2005 and forwarded to the Planning Commission for review and hearing, Public
Hearing January 24, 2005, Second Reading February 14, 2005.)
Memorandum 05-29, from City Planner for Planning Commission.
Mayor Hornaday granted a member of the public permission to comment since she missed the public comment period
being at a play practice.
Cammy Matson advised that she lives in Homer and is a life long Alaskan having grown up in Kenai and Nikiski. She
commented that she watched Kenai and Nikiski change dramatically with the opening of K-Mart and the new Carrs,
that she saw a lot of businesses go out of business when those buildings opened, and Country Foods and others that
came in caused the Mall and the center of town to shift to anther place. People in town did not foresee this
happening. It is great that so many people in town have had the time to talk about the changes that are happening in
Homer and everyone welcomes the growth and welcome the coming of businesses that reflect the community and
provide the needed things. There is a way to do this responsibly and a way to do this that addresses both sides and
the community and finds a compromise. Council is the panel that the public looks to, to help the community find a
compromise and help all move forward and the community come together. Passing this Ordinance will feel like a lot
of people's feelings have been denied, abandoned or have not been heard. This is a hard precedence to set where all
want to maintain this really special community. She encouraged the Council to proceed gently.
McLAY/STARK - MOVED WE ADOPT ORDINANCE 05-02 BY READING OF TITLE ONLY.
Discussion included:
Reiterating public comment points.
This is a heart rending issue.
The voters voted for 66,000 square feet. It is not a compromise to take the vote away from the people and tell them that their vote did not count.
Testimony has been appreciated.
Emphasis on Fred Meyer only because it is the first applicant.
Zone change is an areawide change.
Safeway has also applied. Current expansion is a short term one. Safeway has acquired the land at the west end of its parking lot and is going to build a 45,000 square foot grocery store at that location.
Fred Meyer store would be 66,000 square feet with 45,000 of that for food and beverages and 21,000 square feet for general merchandise - 2/3 size of Ulmers. Fred Meyer policy is to survey the community and adjust its offerings to complement what is now available, or fill the gap.
Fred Meyer salaries are above minimum wage and depends on negotiated agreements. There is a promotion ladder. A retired Fred Meyer President started as a box boy.
Uplifting of economic activity will result from passing this Ordinance over the next four years. There will be an increase of shoppers coming to Homer from a 30 mile radius.
Fred Meyer has three layers of giving - Community grant program, large contributions to Nome Community Center, Petersburg Community Center, contributions based on sales, United Way Campaign - employee group decides giving, and gave $156,000 to organizations in Alaska in 2004.
Fred Meyer Homer store will be included in southcentral advertised sale prices.
The rigorous requirements of Ordinance 04-11(A) will take care of the impacts on traffic and infrastructure.
Soldotna Hardware, which competes directly with Fred Meyer's 170,000 square foot store, is expanding from its Safeway Mall to a newly built large store.
Preserve Homer's charm like Carmel or Aspen. People in Carmel shop in Monterey. People who work in Aspen commute 170 miles each way because they can't afford to life in Aspen.
If Homer has no jobs and high prices people will move away and there won't be any kids in the schools.
The voters voted twice in the City Survey and in the June 15, 2004 Special Election and said yes for 66,000 square feet.
The majority of the candidates for appointment to the City Council probably favor 66,000 square feet, that is, if they want to get elected in October.
Four of the Council on January 10th said they favor the Ordinance.
After 27 months its time to get on with the rest of the City's business - or this issue will just continue.
NOVAK/YOURKOWSKI - MOVED TO AMEND ORDINANCE 05-02 AS FOLLOWS - AMEND THE
SQUARE FOOTAGE IN THE CBD TO 55,000 SQUARE FEET WHICH IS THE SAME AS GC1 OUT EAST
END ROAD, THAT IS THE ONLY SQUARE FOOT CHANGE I WOULD MAKE I DO NOT SUPPORT ONE
SIZE FITS ALL, I PUT THAT IN MY OPINION PIECE IN THE PAPER THIS WEEK, I WOULD ALSO ADD
TO MY AMENDMENT TO INCLUDE AND ADDITIONAL WHEREAS, WHICH WOULD STATE THAT A
SIGNIFICANT INCREASE OF THE SIZE LIMITATIONS CURRENTLY IN PLACE MAY CREATE
GREATER COMMUNITY AND ECONOMIC IMPACT NECESSITATING THAT THE STAFF AND
PLANNING COMMISSION EVEN MORE CAREFULLY ASSESS HCC 21.61.105.F. COMMUNITY AND
ECONOMIC IMPACT AND HCC 21.61.105.1 STANDARDS. THEY WILL ASSESS THIS ANY WAY BUT
THIS MERELY EMPHASIZES THE POINT AND I WOULD REPLACE THE LAST WHEREAS IN THE
EXISTING ORDINANCE AND PLACE THAT IN ITS PLACE. NOW I WOULD SAY THAT I HAVE HEARD
A LOT OF REALLY COMPETENT TESTIMONY FROM A LOT OF PEOPLE.
Councilmember Novak restated his amendment that it is to change the square footage in the CBD to 55,000 square
feet which matches the GC1 square footage on east end road. An additional whereas added to replace the last
whereas that says "implementing will".
Points under Amendment:
Clearly the town is growing and clearly can handle some increase size.
There is need for a type of compromise.
66,000 is the number put out by Fred Meyer for a basic store size.
Tired of the City having to pay legal fees.
Makes sense to listen to what the people have said.
This would match of the GC1 and CBD, which are both commercial districts of equal credibility.
58% of the people voted for Fred Meyer and certainly opens this up for discussion.
There are a lot of people operating from their own issues and points of view and not necessarily the needs of the community. The community as a whole needs to be considered and not personal desires.
Businesses have their loyalty to their stock holders if a large corporation. Local businesses have their loyalty to their customers.
The square footage in the other areas does not need to be changed and was arrived at through a lot of good work by
the Planning Commission.
YOURKOWSKI/NOVAK(FRIENDLY AMENDMENT ACCEPTED) - CLARIFICATION AMENDMENT -
TAKE OUT THE 66,000 SQUARE FEET OUT OF SECTION 3 NUMBERS 1, 2 AND 3 AND LEAVE AS THEY
WERE AND SECTION 4. NUMBER 1 AND CHANGE SECTION 2. NUMBER 1 TO READ 55,000 SQUARE
FEET AND REPLACE THE LAST WHEREAS CLAUSE.
VOTE:(friendly amendment) YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
This will also be reflected in the Title.
VOTE:(primary amendment 1 as friendly amended): YES: YOURKOWSKI, NOVAK.
NO: WYTHE, STARK, BECK, McLAY.
Motion failed.
Discussion continued:
The June 15 results were emphasized and the need to uphold that vote and not compromise.
Codes are in place to make any building have aesthetic value, pleasing to the community.
Size limitations on top of construction limitations are almost unnecessary.
Ms. Wythe relayed personal pleasure of sitting in Hilton Head Island, South Carolina. There is a WalMart store next to a convenience store that has 27 personalized shops and grocery store. There is an parking area. From the parking area neither building is visible.
There are ways to make this function aesthetically pleasing to the community and still allow for larger businesses to come into Homer.
It is a breaking of trust to not follow the vote of the community, to ignore the will of the people. The democratic process should not be compromised.
Due process needs to be very cautious regarding zoning. The fact is that no one is quite sure what the directives of the vote are.
Former Councilmember Parks encouraged the Council to go slow.
Think long and hard on what this is going to mean to the community in terms of litigation dollars.
The obligation to the voters has already taken place. The results are already part of the City Code. This has been honored.
Council needs to act wisely and judiciously under the advisement of the Planning Commission. They are there to advise the Council. To not take their advise flies in the face of the process.
If more information is needed from the Planning Commission the Council needs to define that and make that request.
Concerns about possible spot zoning. There may be an appearance that this is being done for Fred Meyer. Council
needs to avoid even the appearance of a Conflict of Interest or issues when it comes to spot zoning. Council is flirting
with a law suit.
Mayor Hornaday asked City Attorney Tans to give a status of the lawsuit on the initiative.
City Attorney Tans advised that there was a motion made for summary judgement. The court was asked to rule that
the initiative was invalid, because it was not done by the City Council in accordance with the procedures set forth in
state law and the Ordinances for amending the zoning Code. The Court rejected those arguments saying that the
change effected by the voters through initiative was valid. The Court has not yet entered final judgement, because
there are other issues that still need to be taken care of in one way or another. After final judgement is entered there
is the possibility then that an appeal to the Supreme Court could be filed.
Comments continued pro and con.
The litigation is on the initiative process and this Ordinance is not about the initiative process.
This Ordinance is something that the City Council can do and has gone through the process.
Council can get sued on anything.
Reason Fred Meyer came up is because this is the first company that filed for the permit.
The zoning applies to every business.
Safeway has since come in.
Entire justification is that this is what the people wanted as expressed in the survey that was mailed out to half of the registered voters of the City of Homer who responded 57% wanted Fred Meyer to come in, that is not the Council and is the electorate. Plus the action on the initiative.
The initiative allowed a building of 66,000 square feet and this Ordinance corrects the code so that the building and business size are the same.
The survey did not have a square foot size. The respondents said that they wanted more shopping choices.
At 45,000 Fred Meyer is coming in.
There is nothing magic about 66,000, the vote was about more shopping choices. The initiative would have passed at 45,000 or at 50,000 or at 60,000.
This country respects minority opinions. To put it out there that a vote against this is a vote against democracy is ridiculous.
The voters did get what the voter voted on.
66,000 is a big mistake - there has been a lot of review. There are too many implications with this number.
There were a lot of good comments tonight.
Homer economy is one of the best.
This Ordinance is trying to paint the City with one brush. This flies in the face of Planning and Zoning across the
Country. No place does one size fit all. Planning and Zoning is the crux of forming a community and has the
characteristics and the functions that serve the people and create an atmosphere that make the people happy to be there.
VOTE:(main motion) YES: STARK, McLAY, WYTHE.
NO: YOURKOWSKI, NOVAK, BECK.
MAYOR: TIE VOTE: YES:
Motion carried.
C. Ordinance 05-03, Of the City Council of Homer, Alaska Approving a One Percent Increase in the City Sales Tax,
with .25 Percent Dedicated to a Community Enhancement Fund, and Submitting a Proposition to Approve Such
Changes to the Voters for Voter Approval at a Special Election on Tuesday, March 22, 2005 and Providing for a
Maximum Property Tax Rate in 2005 of 4.50 Mils if the Sales Tax Increase is Approved by the Voters. Novak.
(Fiscal Note: Projected revenue for 2005 $966,551.25. Sales Tax increase would provide $1,288,735.00 for a year
and a 1 mil decrease for the year equals $339,738.00 decrease in property tax revenue. Cost of Special Election is
approximately $7,000.00.) (First Reading January 10, 2005, Public Hearing January 24, 2005, Second Reading
February 14, 2005.)
Memorandum 05-24, from Stark, Re: Sales Tax and Property Tax.
Memorandum 05-30, from City Manager, with Back up and suggested amendment.
NOVAK/YOURKOWSKI - MOVED TO ADOPT ORDINANCE 05-03 AS READ.
Councilmember Novak commented that the City needs to increase revenues due to current predicted expenditures
and revenues.
WYTHE/BECK - MOVED TO AMEND, IN THE LAST WHEREAS CLAUSE TO REMOVE THE ".[, AND
FURTHER WILL APPROPRIATE ONE-QUARTER OF THE SALES TAX INCREASE (EQUIVALENT TO A
.25% RATE OF LEVY) TO A NEWLY CREATED FUND, TO BE CALLED THE COMMUNITY
ENHANCEMENT FUND, WITH THE CRITERIA FOR EXPENDITURES FROM THAT FUND TO BE
DEVELOPED BY THE CITY COUNCIL AFTER CERTIFICATION OF THE ELECTION RESULTS."] AND
IN THE PROPOSITION DELETE [" AND FURTHER SHALL ONE-QUARTER OF THAT INCREASE BE
DEDICATED TO A NEW COMMUNITY ENHANCEMENT FUND FOR THE PURPOSES OF MAKING
GRANTS TO LOCAL GOVERNMENTAL AND NON-GOVERNMENTAL ORGANIZATIONS AND MAKING
DIRECT EXPENDITURES TO IMPLEMENT, ENHANCE, OR SUPPLEMENT THE CITY'S OVERALL
ECONOMIC AND COMMUNITY DEVELOPMENT STRATEGIES?"] TO REMOVE THE DEDICATION TO
THE COMMUNITY ENHANCEMENT FUND.
The property tax is specifically not included in the question since it is not proper to include that in the proposition
since the Council may amend the property tax.
NOVAK/YOURKOWSKI - SEPARATE OUT THE TWO ITEMS THE SALES TAX INCREASE AND THE
DEDICATED TAX. (Sample statement - If proposition one is approved by the voters shall 1/4 of that increase be
dedicated to a new Community Enhancement Fund, for the purposes of making grants to local government and non
government organizations and making direct expenditures to implement and enhance the City's overall economic and
community development strategies? with the yes and no. The advantages could be listed.
There was some discussion.
VOTE: (secondary amendment) NO: STARK, NOVAK, BECK, McLAY, WYTHE, YOURKOWSKI.
Motion failed.
The amendment takes away the dedicated sales tax.
VOTE:(primary amendment 1.) YES: NOVAK, BECK, McLAY, WYTHE, YOURKOWSKI, STARK.
Motion carried.
City Attorney and City Clerk agreed that the amendment to the title is an automatic conclusion: To delete in the Title
"with .25 Percent Dedicated to a Community Enhancement Fund"
Councilmember McLay spoke in opposition of the Ordinance pursuant to the public that have contacted him.
Councilmember Stark read Memorandum 05-24 into the record:
You already know that I oppose a sales tax increase. I supported a 1/2 cent increase on 9 August prior to the Council approving an increase later that evening on large store size to 45,000 sf, which allowed Fred Meyer to build a grocery store. At that time, prior to Fred Meyer's approval, I knew that we were facing a horrendous budget problem in 2005.
Conditions have changed. We balanced the '05 budget and Fred Meyer is in the planning approval process, as is Safeway's interim expansion. Because of the competition with Safeway that will ensue early next year, grocery prices will drop 15%, the volume of sales will double because of customers coming here from a 30-mile radius, and the City's income from existing-rate sales tax and property tax will increase about $900,000 per year starting a year from now. There's no need to shoot the golden egg producer by raising the sales tax rate, and the voters know it (and they knew it last October).
There's another factor - timing. As you know, the Mandatory Borough Act of 1963 gave tax collection authority to the boroughs. The proposed election date of 22 March gives no time to start collecting taxes on 1 April. And I July is no good because of advance charter bookings. In addition, a number of businesses pay sales tax a year at a time for the calendar year. Borough tax collection officials always want new sales tax rates to be effective on 1 January.
So there's every reason to save the $7,000 election cost and have the election on an increase on 4 October -
assuming of course - that we want to bother the electorate by putting the dead horse issue to them at that time.
STARK/McLAY - MOVED TO POSTPONE THE APPROVAL OF THE ORDINANCE TO 8 AUGUST.
Council discussion:
There is nothing to substantiate the statements in the Memo.
Took issue to the attitude about this being a dead horse.
Negative and demeaning things are not appreciated.
Often when people don't agree with another's views it is considered a dead horse.
Need for additional tax revenue, current budget is bare bones and asking the people to vote on this is the only
responsible action Council can take at this point.
VOTE: (postponement) YES: YOURKOWSKI, STARK, NOVAK, BECK, WYTHE.
NO: McLAY.
Motion carried.
Councilmember Stark asked the Clerk what the Council just voted on.
The City Clerk responded that the Council voted on the postponement of the Ordinance to August 8th.
YOURKOWSKI/BECK - MOVED TO RECONSIDER.
There was no discussion.
VOTE:(motion to reconsider) YES: WYTHE, YOURKOWSKI, NOVAK, BECK, McLAY.
NO: STARK.
Motion carried.
REVOTE:(on Postponement) YES: McLAY, STARK.
NO: WYTHE, YOURKOWSKI, NOVAK, BECK.
Motion failed.
There was no further discussion.
VOTE:(main amended motion) YES: BECK, WYTHE, YOURKOWSKI, NOVAK.
NO: McLAY, STARK.
Motion carried.
STARK/McLAY - MOVED FOR RECONSIDERATION ON ORDINANCE 05-02.
There was no discussion.
VOTE:(RECONSIDERATION) YES: McLAY, YOURKOWSKI, STARK.
NO: BECK, WYTHE, NOVAK
MAYOR: TIE VOTE: YES
Motion carried.
REVOTE:(on Ordinance 05-02) YES: McLAY, WYTHE, STARK.
NO: NOVAK, BECK, YOURKOWSKI.
MAYOR: TIE VOTE: YES:
Motion carried.
Mayor called for a recess at 9:46 p.m. reconvening the meeting at 9:53 p.m.
D. Consent Agenda Item C. Ordinance 05-07, Of the City Council Amending the Homer City
Zoning Map, HCC 21.36, Rezoning from Central Business District and Marine Industrial District to Conservation
District, those Properties Acquired through the Action of the EXXON VALDEZ Oil Spill Trustee Council, The City
of Homer, the Trust for Public Land, and the State of Alaska. City Manager. Recommend introduction and conduct
Public Hearing on February 28 and Second reading on March 14, 2005.
Memorandum 05-18, City Planner as backup.
McLAY/STARK - MOVED WE ADOPT ORDINANCE 05-07.
Clarification question from Councilmember Wythe - This has already be determined to be critical habitat and the City
just has placed it into the Ordinance. She also expressed concern that subsistence fishing would still be allowed.
City Manager Wrede responded that traditional uses are still allowed and are specifically permitted in the
Conservation Easements themselves.
Councilmember Stark noted that this will make a round about much more difficult at the intersection of Lake Street
and the Sterling Highway, because both the Federal and State standards for round abouts require in the conditions
that the intersection have a diameter of 190 feet, which will take up a lot of land particularly if prohibited from going
into the south west side of the right of way on the Sterling Highway.
Councilmember Novak pointed out that this is just introduction and further information and issues about a round
about could be continued.
City Manager Wrede advised that there already is a prohibition for going into the south west right of way area by the
Conservation Easement. The round about would have to move into the landscaped area by McDonald's.
VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
E. Consent Agenda Item D. Ordinance 05-08, Of the City Council Amending the City of Homer Fee Schedule to Delete Certain Library Fees and Amending the 2005 Budget, Revenues Accordingly. Beck. Fiscal Note: Reduction of $40,000 in Depreciation and Library Revenue. Recommend introduction and conduct Public Hearing and Second Reading on February 28, 2005.
Memorandum 05-19, from Councilmember Stark.
BECK/NOVAK - MOVED TO ADOPTION ORDINANCE 05-08 BY READING OF TITLE.
Discussion:
The City cannot budget monies that are volunteer.
This is not predictable funding
STARK/McLAY - MOVED TO AMEND ORDINANCE 05-08 BY INCORPORATION OF THE VOLUNTARY
FEE SCHEDULE ON MEMORANDUM 05-19 ON PAGE 159.
Councilmember Stark noted that this was agreed to enthusiastically by the Library Advisory Board on February 1,
2005, during their regular meeting.
VOTE:(primary amendment) YES: WYTHE, STARK, McLAY.
NO: YOURKOWSKI, NOVAK, BECK.
MAYOR: TIE VOTE: Mayor Hornaday exercised his discretion to not vote.
Motion failed.
WYTHE/McLAY - MOVED TO POSTPONE FOR FURTHER FINANCIAL CONSIDERATION.
(To identify the $40,000.00 coming from somewhere other than depreciation.)
Councilmember Wythe expressed heartache about taking this money out of the depreciation fund, although not
opposed to deleting the fees and would like to see the money come from elsewhere.
Discussion continued. It was noted that the Ordinance does delete the mandatory fee for library cardLibrary Card
non resident and the Internet use fee from June through September: [Non resident $6.00/yr.] [Internet use
Half hour $5.00 (June through September)]
VOTE: (postponement) YES: McLAY, WYTHE, STARK, NOVAK.
NO: YOURKOWSKI, BECK.
Motion carried.
CITY MANAGER'S REPORT
A. City Manager's Report (Updates and follow up - 911 Emergency Call System, Meeting of Borough City
Managers, Community Schools, Hospital Lease, Conference Center, Staffing Issues, Spit Bathrooms, Fire
Department , Public Works, and Animal Shelter; Employee Anniversaries - Don Henry PWD 21 years, Tammy
Hagerty PWD 19 years, Beverly Guyton P/Z 15 y ears, Jan Jonker PWD 14 years, Bonnie Nesvick HPD 13 years,
Kelly Hamilton HPD 6 years, Rachel Livingston Admin 3 years, Dan Miotke HVFD 3 years, Lisa Vaughn Finance 3
years, Cory Rupe HPD 2 years, Dana Harrington P/H 1 year and George Tyrer P/H 1 year; PWSRCAC
Recertification; Letter from US Senator Stevens regarding Library project; Letter to NPFMC; Library Journal; Sister
City International; DNR Re: Tideland Easement; Letter from Kachemak Bay Conservation Society; Governor
Murkowski letter to Chief of Police; DCCED Population 5,332; EDD report; College Press Release regarding Open
House on February 25, 2005.)
B. Bid Report.
Bid: Sealed Bids to lease City Property on the Homer Spit. Sealed bids are due in the Office of the City Clerk by 2:00
p.m Tuesday, February 15, 2005. Bidders must be listed on the Plan Holder's List to be eligible to bid.
RFP: Request for Proposals Incorporation of Art into the New Homer Animal Shelter. Sealed Proposals are due in
the Office of the City Clerk by 4:30 p.m Thursday, March 24, 2005. Proposers must be listed on the Plan Holder's
List to be eligible to propose.
C. Game Report.
2005 Gaming Permit Applications filed this packet period: Kachemak Bay Family Planning Clinic - filed 01/25/05, Sons of the American Legion Squad - filed 01/26/05 and Homer Elks Lodge #2127 - filed 12/27/04
D. Records Report
City Manager was commended for his report.
COMMITTEE REPORT
A. Town Center Development Committee (Meeting notes not provided from January 27, 2005. Meeting held with
Convention Center Consultant on February 8, 2005. Next scheduled meeting is February 24, 2005 at 5:30 p.m.
Chamber of Commerce Building.)
B. Road Standards Committee (No meeting date scheduled..)
C. Beach Policy Committee. (No meeting date scheduled.)
D. Public Arts Committee Meeting synopsis of January 27, 2005, Meeting held on February 10. 2005.
There were no comments.
PENDING BUSINESS
NEW BUSINESS
A. Council Vacancy Selection, review applications and make a short list.
Memorandum 05-15(A) - Advertise for three consecutive weeks. Request applications. Review applications. Make a
short list if appropriate and then decide either by secret ballot or not, February 14, 2005. Final selection scheduled for
February 28, 2005. Beck resignation effective after the March 29, 2005 Regular Council Meeting.
Applicants are in order of filing: Mike Heimbuch, John Velsko, G. William (Bill) Smith, Barbara G. Howard, Doris
Cabana and Ron Jimerson.
McLAY/STARK - MOVED WE DON'T DEAL WITH ANY MORE OF THIS TONIGHT AND ON THE 28TH
WE FINALIZE THIS.
Discussion:
It was noted that the list is short enough. This is a marvelous slate of people. Councilmember Beck is special and
will be hard to replace. This is sticking with the original schedule.
VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
B. Memorandum 05-25, from Stark, Re: New Councilmember Starting Date.
Recommendation: Set 1 April as the starting date.
STARK/McLAY - MOVED APPROVAL OF MEMORANDUM 05-25 BY READING OF TITLE.
There was no discussion.
NOVAK/STARK - MOVED TO ADD TO THE RECOMMENDATION PROVIDED WE HAVE AGREED ON A
NEW COUNCIL PERSON.
There was no discussion.
VOTE: (friendly amendment) YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
There was no discussion.
VOTE: (main motion as friendly amended) YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
C. Memorandum 05-26, from City Manager, Re: Trapping within the Homer City Limits.
Recommendation: Direct the Manager to submit comments to the Board of Game. The comments should inform the
Board that the City believes trapping should be prohibited within the city limits. The comments should also state that
sections already exist in the City Code that could be used to prohibit trapping within the city limits and that the
Council plans to adopt a new ordinance that will clarify and make specific existing Code with respect to trapping.
Direct the Manager to prepare an ordinance for Council consideration that addresses trapping specifically.
YOURKOWSKI/NOVAK - MOVED FOR THE APPROVAL OF MEMORANDUM 05-26 BY READING OF
TITLE.
Discussion:
Housekeeping issue and Fish and Game has a meeting in March. This will be discussed during Board of Fish and
Game.
McLAY/STARK - MOVED TO AMEND THIS THAT PERMITS COULD BE ISSUED WITH APPROVAL BY
THE CITY AND THE DEPARTMENT OF FISH AND GAME FOR TRAPPING IN THIS AREA.
Discussion:
This keeps expanding the area of prohibition for hunting or trapping. This provides more and more area for game to
live in back yards and could end up creating a problem. Wildlife creating problems within the City has already been
seen. The areas would not be open and would be by a permit process, only. This could possibly eliminate a problem
without having to hire someone to cut down predators or anything of this nature. Private property owner permission
required would have to be addressed. Exceptions and conditions would have to be addressed in the Ordinance.
Residents should have the opportunity to trap the animals of value instead of Fish and Game destroying the animals
and being a cost. Some people would rather see the animals. This is another right people have lost due to annexation.
VOTE: (primary amendment) YES: WYTHE, STARK, McLAY.
NO: YOURKOWSKI, NOVAK, BECK.
MAYOR: TIE VOTE: Mayor Hornaday exercised his discretion to not vote.
Motion failed.
There was no discussion.
VOTE:(Main motion) YES: YOURKOWSKI, STARK, NOVAK, BECK, WYTHE.
NO: McLAY.
Motion carried.
D. Memorandum 05-27, from City Manager, Re: South Peninsula Hospital Lease.
Alternatives / Options
Following is a list of options other than transferring the deed that might satisfy the interests of both Borough and the City.
1. The Do Nothing Option: A good case could be made for doing nothing. One of the original justifications for transferring the deed was that the Borough would not be able to sell bonds if it did not own the land. As noted above, this concern has evaporated. Second, the planning department can issue a permit for a building that crosses lot lines by using the Planned Urban Development (PUD) process. Finally, it is useful to note that the Hospital Strategic Plan calls for finding a new hospital location after 20 years. The Service Area Board anticipates that the useful life of the existing building is 20 years and that further expansions on this site are not likely for a variety of reasons. The lease has approximately 21 years left on it.
2. Deeding in Reverse: Instead of the City deeding its property to the Borough, the Borough could deed its two small lots to the City. The City could then replat all three parcels plus the vacated portion of Bartlett Street into one lot. The City could then extend and amend the existing lease for as long a term as the Borough needs. This would make permitting easier, give the Borough a long-term interest in the land, and still protect the City's interests. Other lease related issues such as the ultimate ownership of the building could be addressed and re-negotiated.
3. Joint Ownership: Under this option, the City and the Borough could jointly replat the parcels in order to facilitate permitting. The City and Borough could then execute documents that make the parties joint owners of the new, consolidated parcel. This would make us partners. It would give the Borough a long- term ownership interest in the land and still maintain some measure of control for the City.
Recommendation: Reaffirm the Council's strong support for SPH, for its continued location at the present site, and
for the proposed expansion project. Reject the Draft Memorandum of Understanding and specifically, the Borough's
request that the City deed the property to the Borough. Direct the Manager to work closely with the Borough to
facilitate the expansion project and to continue discussions regarding the alternatives listed above.
McLAY/STARK - MOVED FOR THE APPROVAL OF MEMORANDUM 04-27.
There was no discussion.
VOTE: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
E. Consent Agenda Item J. Memorandum 05-21, from City Clerk, Re: Setting the Land Allocation Joint Session
with Council's Advisory Bodies during the Committee of the Whole on March 14, 2005. Recommend adoption.
YOURKOWSKI/STARK - MOVED FOR THE APPROVAL OF MEMORANDUM 05-21.
There was no discussion.
STARK/McLAY - MOVED TO POSTPONE TO THE ELEVENTH OF APRIL.
There was no discussion.
VOTE:(postponement) YES: McLAY, STARK.
NO: NOVAK, BECK, WYTHE, YOURKOW3SKI.
Motion failed.
There was no further discussion.
VOTE: (main motion) YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
RESOLUTIONS
A Resolution 05-21, Of the Homer City Council Accepting the Base Plan for Dredge Materials Management as Presented by the U.S. Army Corps of Engineers and Authorizing the City Manager to Execute the Appropriate Documents. Port/Harbor. City Manager.
Memorandum 05-28, through City Manager, as backup.
McLAY/STARK - MOVED FOR THE APPROVAL OF ORDINANCE 05-21 BY READING OF TITLE.
It was noted that Memorandum 05-28 is a part of Resolution 05-21.
VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.
Motion carried.
B. Consent Agenda Item H. Resolution 05-20, Of the City Council of Homer, Alaska Requesting that the Alaska
Board of Game Maintain the Hunting Closures at McNeil River State Game Sanctuary and Refuge, Including State
Owned Lands Near the Little Kamishak River, and State Owned Lands Near the Douglas River. Beck. Recommend
adoption.
Mayor Hornaday advised of a Conflict of Interest regarding a couple of his clients and Mayor Pro Tempore Yourkowski ruled that he has a conflict of interest. Council agreed that he has a conflict of interest. Mayor Hornaday left the table after handing the gavel to Mayor Pro Tempore Yourkowski.
McLAY/STARK - MOVED TO POSTPONED UNTIL FEBRUARY 28TH MEETING SO THAT WE COULD
HAVE PUBLIC HEARING ON THIS BEFORE WE TAKE A POSITION ON THIS BECAUSE WE ARE TO
REPRESENT THE PEOPLE AND I DON'T KNOW WHERE THE PEOPLE STAND ON THIS AND THAT
WOULD STILL GIVE US TIME TO GET OUR POSITION BEFORE THE BOARD OF GAME.
Councilmember McLay relayed his discussion with the Advisory Board and that they had come to an agreement with
compromise. He urged caution and expressed his desire for more information.
Councilmember Stark concurred.
Mayor Pro Tempore Yourkowski noted the importance of this issue to Homer economically, that this is a huge issue,
that the City does need to weigh in on this issue and that he believes the whereas's to be accurate.
It was noted that input may be received later than February 18th, which is their packet deadline.
Discussion continued along these lines.
VOTE: YES: STARK, McLAY, WYTHE.
NO: YOURKOWSKI, NOVAK, BECK.
MAYOR HORNADAY NOT AT THE TABLE.
Motion failed.
NOVAK/BECK - MOVED TO REINTRODUCE RESOLUTION 05-20 FOR CONSIDERATION OF
POSTPONEMENT.
VOTE:(postponement) YES: WYTHE, STARK, NOVAK, BECK, McLAY.
NO: YOURKOWSKI.
Motion carried.
COMMENTS OF THE AUDIENCE
Audience comments upon any matter.
There were no audience comments.
COMMENTS OF THE CITY ATTORNEY
City Attorney Tans had no comment.
COMMENTS OF THE CITY CLERK
City Clerk Calhoun had no comment.
COMMENTS OF THE CITY MANAGER
City Manager Wrede thanked the City Clerk for the LID flow chart and that it did make the LID process more
understandable.
COMMENTS OF THE MAYOR
Mayor Hornaday had no comment.
COMMENTS OF THE CITY COUNCIL
Councilmember Novak stated that he has a real issue with the one size fits all concept and voiced a hope that this can
be addressed in the future, because it is not appropriate.
Councilmember Beck voiced agreement with Councilmember Novak, that she would appreciate further discussion on
the one size fits all and voiced a hope that there can be some agreement with Planning and Zoning about their
recommendations thereof.
Councilmember Stark stated that this has been a hysteric meeting. He voiced concern with Planning and Zoning and
with the Comprehensive Plan and that the Commissioners are all appointed in a similar manner, have similar dues and
the Comprehensive Plan was put together in a similar manner also and therefore, is not that excited about hearing
about those two subjects to try and justify any particular action, although, he added that he will certainly listen and
evaluate.
Mayor Hornaday commended the Council for all the work done tonight.
ADJOURNMENT
There being no further business to come before the Council the meeting was adjourned at 10:40 p.m. The next
regular meeting is scheduled for February 28, 2005 at 7 p.m. and the next Committee of the Whole is scheduled for
Monday, February 28, 2005 at 4 p.m. All meetings are scheduled to be held in the Homer City Hall Council
Chambers located at 491 E. Pioneer Avenue, Homer, Alaska.
_____________________________________
MARY L. CALHOUN, CMC, CITY CLERK
Approved date: _______________________