Session 06-03 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 Cowles Council Chambers located at 491 E Pioneer Avenue, Homer, Alaska, and opened with the Pledge of Allegiance.

PRESENT: COUNCILMEMBERS: HEIMBUCH, McLAY, NOVAK, SHADLE, STARK, WYTHE.

STAFF: CITY CLERK CALHOUN

CITY MANAGER WREDE

LIBRARY DIRECTOR HILL

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 4:04 to 5:18 p.m. Regarding Resolution 05-113, and the City Library cooperating with the Kachemak Community College including accepting a part-time employee from the College, paid by the College, and accepting and shelving/cataloging the library books from the College (Resolution 06-09(S)) Resolution 06-08, Of the City Council of Homer, Alaska Urging the State of Alaska to Prioritize Investment in Alaska's Existing Transportation System and the Regular Agenda Items. Homer City Hall Cowles Council Chambers.

Council held a Special meeting from 5:30 p.m. to 6:01, Regarding Executive Session pertaining to the Hurlen Settlement. Homer City Hall Cowles 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 agenda was approved by consensus of the City Council with the following changes and notations, and considerations.

Written Public Comments, Revised Special Meeting Minutes of January 3, 2006, Substitute Resolution 06-05(S), Substitute MOU to go with Resolution 06-07, Title Change on Memorandum 06-04 Concept use of Homer Accelerated Water and Sewer Program (HAWSP) Funds for Quiet Creek water and sewer extension and Concept use of HAWSP and Homer Accelerated Roads Program (HARP) funds for Adams Street and change on Recommendation that the Ordinance also include authorization to use HARP funds, Library Advisory Board Written Report, Mayor's Proclamation in Memoriam of Kenneth and Lizabeth Wardwell, National League of Cities 2006 Dues Sheet, Substitute Resolution 06-09(S) with substitute MOU, and Memorandum 06-11 from Library Director.

PUBLIC COMMENTS UPON MATTERS ALREADY ON THE AGENDA

Public Comments upon matters already on the agenda.

No comments allowed at this time on Visitors or Public Hearing Items.

Donna Bondioli, City resident at 206 Whispering Meadow, spoke in favor of the City Library and City College merging their books and also having a College half time person employed at the City Library. She expressed her excitement and stated that this is a great opportunity for the City and the College. She relayed that when she first moved to Homer she had an accounting problem, went to the library to try to figure out an answer to her problem. She emphasized that the text book at the library was over six years old for accounting and therefore, she did not get her answer. She voiced an assumption that the college books are much more up to date. She advised Council that the Library staff said that at that point they just did not have enough room to be bringing information in with the new books. She voiced her hope that the City Council would pass this Resolution, adding that she thinks it a great idea.

Joy Steward, Homer Foundation, stated that she came down to see if the Council had any questions regarding the MOU with the City about the Arctic Winter Game money and that she did want to comment about the Consortium Library issues from a funder's perspective. She told the Council that, at first, she thought the consortium library a fabulous idea and was very much in support of it. She noted that she was very close to the campaign, listened closely to the testimony and information presented, and came to believe that it was not the best way for the Public Library to go. She pointed out that the University is not bringing funds to help with the building of the Library. She queried the Council as to if they are considering funder intent, that making a change in the scope of the project, after the fact, is a concern and Council should consider this carefully. Being cost effective would be attractive to funders. The information presented showed that a University Library is much more research oriented, that this will be a draw on Library Staff in terms of a reference Library, and that University type Libraries are usually operated for longer and later hours to meet the needs of the University. This will not make it not cost effective. The Library has been reduced in size from the first design and now adding the University Library means less space for the Public Library needs. Ms. Steward stated that she is 100% in favor of the idea of a Consortium Library, in retrospect, however, that this may not be the best way to go, at this time, and reiterated her concern that the Council consider the funding/funders intentions when making their decision.

David Raskin, lives just outside of City limits in Kachemak City, thanked the Council for the opportunity to express his views about Resolution 06-09, Consortium Library. (Letter was included in the supplemental packet.) For many years he and Marga, his wife, have donated time and personalfunds along with many area residents, foundations, and government agencies to create a New Homer Library that will serve the entire Homer community. The Public Library was conceived, planned, funded, designed, constructed and staffed as a Community Library. He asserted that now, after all of this time, effort, and expenditure of hard-won funds, there is now an eleventh-hour proposal to transform the New Homer Community Library into a Consortium Library to serve the needs of the Kachemak Bay Campus of the University of Alaska. He advised, having served on the faculties of four major universities for a total of 32 years, that he is quite familiar with the design and operation of libraries of higher education. The design, facilities, and staffing to fulfill the needs of students and faculty differ in many substantial ways from those of a community library that serves the general public, some of which are as follows:

Collections must include and house a wide array of technical books, textbooks, periodicals, and government reports.

Work space and computer access and search programs are much greater and more specialized.

Libraries for institutions of higher learning typically operate seven days per week, usually from 8:00 am until 11:00 pm to serve the needs of students and faculty with widely varying schedules.

Specialized staff are required to provide assistance for student and faculty research. Interlibrary loans and other special services are required.

Reserve sections manned by additional personnel are required to provide access and manage specialized course materials for students to share on short-term loans from 2 hours up to 2 days.

A special budget is needed to cover the large, recurring expense of regular subscriptions to academic and technical periodicals and the latest books on topics offered in current courses.

He noted that the design, staff, budget, and operational procedures of the New Homer Community Library cannot accommodate the above requirements. If the intent of the Resolution is to provide a Consortium Library that will fulfill the basic requirements of a functioning and useful college library, a major increase in budget and long-term commitments will be required. Only a thorough evaluation and feasibility study by library professionals can determine what these needs will be, how they might be accomplished, and what the short-term and long-term costs might be. Now is not the time to embark on such an undertaking, especially since the New Homer Library is not even finished and the move to the new facility and operational shakedown has not begun. He strongly urged Council to postpone any consideration of a Consortium Library until the New Homer Library is occupied and functioning, the professional staff have had an opportunity to evaluate what might be done in the future, and the College can provide the funding for the additional construction and long-term operation and maintenance that would be required.

Nancy Lord, Chair of the Library Advisory Board (LAB), stated that the Board does not have specific testimony on the Resolution 06-09. She emphasized that the LAB does not oppose the idea of a joint use library, however, does believe this Resolution to be premature, there being a lot of significant questions needing to be answered. She suggested that the Council wait until after the New Library is operating so that space needs and availability are more easily ascertained and that how the College Library would fit. She noted the loss of 2,000 square feet from the original proposal and of that noted in the Space Needs Study. She encouraged the Council to proceed carefully and to consider all aspects. She reiterated some of Joy Steward's comments regarding the intent of the funders and what was requested and funded. She urged the Council to delay action on this Resolution.

Leonard Wells, City resident, commented on the Library and urged the Council, when considering this and future activities, to keep in mind that the Library was passed by a small percentage of the citizens of Homer and that it is supposedly being built for the City of Homer and for many more people that the City of Homer is or is expected to be within the next few years. He stated that when it comes time for funding, for staff, to fund equipment or whatever, that he expects that the staffing and equipment would be kept in the range to supply service to City residents and not to borough residents or non residents, since it is the City residents that are paying for it.

Michael Hawfield , lives on Old Sterling and on the LAB, noted that he represents those non City resident citizens. He expressed support of Joy Steward's and Nancy Lord's comments and urged the Council to not adopt Resolution 06-09 tonight, adding that it is premature, not as well conceived as it might be, there are huge questions that are yet to be answered and that need to be answered with the input of stake holders; LAB, College and College Advisory Board and there are some other players in this. He emphasized that the LAB is not against the idea, adding that there has been an agreement since the days of fund raising that they would undertake the idea once the Library is open, operational, etc, and to see just what is actually going to work. Therefore, the Resolution is ill timed and ill conceived, and ought to be thrown back to the groups of citizens that want to help by addressing these issues and helping to answer the questions that have risen as a result of this. He shared Joy Steward's concern about the relationship of funders, that it is not just their money. There are a lot of funders of the Library, local folks who have given small, medium and large amounts, and probably the most important amounts given during this campaign. These are the very folks who are going to help make this Library a success. They are the ones that will be approached time and again for help for solving problems, for making things happen, for more fund raising. "We" need to stay on good terms with these folks. He noted that there is no harm in postponing, that this does not need to be done right now, and can be down done the road.

Ron Keffer, City resident, stated that a Consortium Library sounds like such a good idea and there is a notion there to have everything and that it will almost cost nothing. It makes one wonder why so many do not want to see such concept imposed on the New Homer Public Library. There are some compelling reasons to not move in that direction. Consortium Libraries are the last resort of small resource poor communities that, not only cannot have everything, are lucky to have anything. By squeezing two or three types of Libraries with different missions into one building and by compromising what each can deliver a small community can, at least, have some sort of Library. It reminds one of a talking dog, what attracts attention is not that it does not speak very well, but that it speaks at all. He queried, what is the cost? All of the lost services and capacities of the Library with one focus. A library that quickly becomes too small, because it cannot contain all of its missions. The mission of a public library is quite different from that of a college or university library. He stated that he has spent many hours in each kind and that these function best when focusing on proper missions. He advised that when he joined the campaign to raise money to build the library, he and many of his friends were eager to see a new public library. A large number of people devoted much time, effort and personal money to that campaign, always with a clear understanding that it was a Public Library that they were supporting. He noted that they did not set out to build a college library, not because of a bad attitude toward the college, quite the contrary. The proper channels for funding a college library are quite different from those by which a Public Library should be funded. Dr. Mark Hamilton has done a tremendous job of building the university and has been particularly effective in bringing legislative dollars to that institute, therein the proper avenue for funding any college satellite. After everyone has worked very hard to raise money for a community library should that funding be diverted to a consortium library? If so, what other projects that should be funded from other sources will the City of Homer take on? How will people know, if they join in and work hard on another project, that their time, effort and money will be used as intended. Homer City Council has enjoyed the enormous advantage of having a large, effective group of citizens join together to enable the construction of a fine new Public Library. He encouraged all to enjoy the fruits of that effort, according to the agreements made along the way and put to bed discussions that have been covered time and again. He thanked the Council.

Mary Schneider, Friend of the Homer Public Library, provided written comments and read part of this into the record. She appealed to Council's good sense of public process and financial responsibility and encouraged them to table Resolution 06-09(S), which calls for immediate approval and development of an MOU with the Kachemak Bay Campus of the Kenai Peninsula College to enter into a joint use with the New Homer Public Library. She cited reasons:

Inappropriate timing, with the Library project nearing 2/3's completion.

According to a 2003 memo to the Council the college was given the opportunity at that time to become full partners in a consortium/community library joint venture. The college responded that there was no avenue for the university to go after money for the Library.

The lure of the college funding a part time library staff person now, during these lean budget times, maybe at $20,000.00 or so is shortsighted. Has any detailed cost assessment been done by those proposing this joint venture to show that there could be any benefits, at this point in time.

Suspect the costs involved to both parties would be significant.

All are aware of the funding shortages to the UA.

She expressed concern that the City of Homer, in the long run, will wind up carrying the Consortium Library on its financial back resulting in a weakened and uninspired community library.

The New Homer Library was designed by experts to be a community library. Quoting from the 2003 memo to the Council; the architects, Libraries by Design consultants - stated that changing from a community library to a consortium library... would take into consideration completely different programming goals and result in a very different building.

Claudia Haines, lives within the City limits and staff person for the Friends of the Homer Public Library, expressed her concerns about the Library Consortium Resolution. She stated that, unfortunately, she cannot speak on behalf of the Friends because this Resolution was introduced at such a late time that the Friends have not been able to meet and have a membership meeting to discuss this issue, adding that they will do that on Wednesday. She reported that this is one of the things the Friends will talk about on Wednesday. She advised that part of her responsibility is to report on the status of the Capital Campaign, which includes donations, budgets, construction budget status, and building progress. She stated that this leads to her concern about the Resolution. In 2003 the public, the Friends, and the LAB were involved in a discussion about the Consortium Library and that the Council had decided to wait until the building was built and then move forward with the discussion about a consortium. She expressed her disappointment that this plan has changed, that plan was developed because the College at the time had no money to put forth into the Capital Campaign, nor could contribute to the design. She voiced concern that this Resolution does not include any discussion about income sources for changing the design of the Library during the construction process nor does it have any income source identified for the increase in operating costs. All of which affects all in the City of Homer, all who are Public Library users and supporters. She told the Council that she reports to the Friends of the Library and ultimately to funders. She reiterated that over 600 people helped fund the Homer Public Library, that she is very, very concerned about this change from a Public Library to a Consortium Library and that she is very anxious to hear from the Council, tonight, what the income sources will be and how this Resolution will go forward. She thanked the Council.

Ann Keffer, City resident and member of the LAB, addressed the comment that no reasonable person would question the wisdom of combining the Homer Public Library and the Kachemak Bay College Library within the Homer Public Library facility. She concurred that it would be unreasonable to question such an arrangement if it were certain that it were mutually beneficial and would assist both parties in pursuing their mission. However, that has not been ascertained and therefore, it is certainly reasonable to have concerns, unless and until it has been ascertained. The College Director, Library Director and LAB agreed two years ago about delaying talks on the feasibility of creating a Consortium Library until after the new Library opened and the impact to be accessed of the ability of the Public Library to service this community as a Public Library for as much as 30 years into the future. Library Director, Helen Hill, and Kachemak Bay College Campus Director, Carol Swartz, have indicated their satisfaction with that agreement and see no reason to change the time table. Ms. Keffer stated that she does not believe that it is in the best interest of any of the parties to force this process forward without a careful assessment of the advantages and disadvantages; and the increased costs associated to the City for taking on the responsibility of the College Library balanced against possible City savings represented by a part time seasonal employee provided by the College. There is the probability that the growth of either of those collections will be limited, because of insufficient shelf space and other possible ramifications due to the consortium arrangements. She urged the Council to allow the Library and College to enter conversation on their original time table, which would permit a thorough exploration of all of these matters, which, she voiced her belief, has the best chance of determining whether a workable plan, that will not compromise the function of either library, can be initiated. She thanked the Council.

Elizabeth Seaman, member of the LAB, advised that she was at the meeting in 2003 when they discussed the Consortium Library, adding that she was in favor of it, to begin with. She stated that her real concern here is the lack of process. The LAB has spent quite a bit of time reading informational material and learning about how to run the Library, and that they have lively debates on some of these topics. She noted that there are experts in the community, Helen Hill, Carol Swartz. She emphasized that, in this case, none of them were consulted on this, adding that she believes it is important to use the experts. She encouraged the Council to set this aside and to put it back into the process, hopefully, after the Library is operational.

Cleo Webb, long time Friend of the Library and major donor to the new Library, commented that she was rather appalled when she read Claudia's email alerting them to this latest development. She stated that she sees no reason why the two libraries can't be put together if there is room enough. She pointed out that they do not have enough information to make that determination. She asked the Council if they had ever taken into account the thousands of volunteer hours that the Friends put in raising funds for this community library. She stated that she does not know what is in the minds of the people that have brought this up, but that the Friends are not going to be able to go out and raise more funds to make a consortium library. She emphasized that the University has not donated any money, whether they could or couldn't and wondered about the University's priorities. She noted that the University finally did come through to help expand the College, which is good. She told the Council that it is not good for the Council to attempt to put this library together at this time. She urged the Council to table this Resolution and to bring it up after the Library has been put into use and they see how things work.

Steve Gibson advised the Council that he has a conflict of interest in that his wife works at the Library, adding that the last time he spoke to the Council he had forgotten to mention that. He stated that it definitely does not qualify him as being an expert on this issue, noting that he really does not know what the heck he is talking about when it comes to the advisability of a partnership or a consortium library. He voiced recognition that there are a lot of issues that are pretty sophisticated beyond his awareness and wondered if that isn't also the case with the Council's. He expressed his thought that this is an issue that is pretty complicated, that needs a lot of negotiation, that needs a lot of looking into and that it would have been nice for the University to come on board with the Library project about the time that 2,000 square feet had to be cut. Everyone needs to realize that any addition that is made to the Library for the University is going to be a detraction to the square footage that is available for other people, for the Community Library. This is unavoidable and incontrovertible. He urged the Council to take this into account and that a half time worker is going to be barely able to keep up with the University's needs, much less contribute to the Community Library. He applauded the idea of a Consortium Library, but that the policy that the City is adopting, with regard to accepting this $20,000.00 contribution will put them in about the same line as Community Schools was a few months ago. He thanked the Council

Sue Mauger, LAB member and City resident, noted that there are two MOU's about the library on the agenda. One between the City, LAB and the Friends of the Library which has been on her plate for a while, about six months, as the liaison between the Friends and the LAB. She reported on meetings with the two groups and the City Manager trying to find language that everyone was comfortable with and that all understood the financial repercussions of that arrangement and the strength and the pit falls. Only after all the negotiations did they bring this recommendation forward to the City Council. She pointed out that the process has not really begun for the MOU with the college and the library, there is a lot of work to be done and the MOU signing is something that should happen at the end of successful negotiation, after a lot of work, a lot of consideration, and more public input. She reiterated that this conversation happened in 2003 and that if the Council really wants this to move forward it should be opened up to more time than just a half hour before the Resolution passes. There are a lot of people who feel passionately about the library, a lot of people who fell passionately about the college, and a lot of these are the same people. This does not mean that the best plan of action is to combine forces. It may be that Homer is blessed with two great facilities rather than one. That is not really excelling in its needs for two efforts. She thanked the Council.

Tom Bursch, City resident and member of the LAB, thanked the Council for the service to the City and acknowledged their sincerity. He inquired if the library is a bride is she pregnant? He inquired about the hast of the partnership? He said that he sees what Councilmember Shadle is trying to do, adding that it is not even half baked, it is like a bowl of dough. He commented about involving the professionals Library Director and the College Director, who concurred about waiting on this issue. He stated that he is not sure that Walt Wrede has been able to put his talents to use on this MOU due to the time frame. There are three totally qualified professionals, Helen Hill, Carol Swartz and Walt Wrede who have not been involved in this decision, process or MOU, adding that two of these professionals are asking for this to wait. He encouraged the Council to table or postpone this Resolution, concurring that it is a good idea, but that he wants to ensure that this is a sweet deal for the City. He commented on the partnerships that the City has entered into in the past and how these were all worked out ahead of time. There is time to reshape this, make it up right and to ensure that the City has its demands and not just the university. He thanked the Council for their time.

Kevin Hogan, City resident, addressed Resolution 06-10 regarding spit leasing. He advised that he is one of the principals that submitted a proposal on the last RFP go around and that he is glad that this has come up, but that he does not think that Resolution should be passed in its present form. The Port and Harbor Commission did look at the findings one through six. The market has also looked at items one through six and responded. He noted that there was only one bid that came out of the RFP for leasing 9 parcels, not a matter of not enough advertising, the prebid conference was well attended, and that the lack of proposals, in his opinion, had more to do with the answers the bidders received at the conference from the Finance Director. Mr. Hogan stated that his position is that he does not feel that the City was dealing in good faith in offering those parcels and that he thinks that the interest was more in trying to elevate the base lease rate rather than developing property. He commented on the RFP including a minimum bid, imposed administratively without Council sanction and that under the policy that is the Council's duty. There are a number of other items in the lease negotiations that were done administratively that should have been done at the approval of the Council. He told the Council that they had submitted a bid that conformed to Lease Policy and that the last correspondence with the City was April 20th and that they are still awaiting a reply. He stated that he would like to see some kind of effort put into revisiting the Lease Policy, because the items the Commission did look at do need some more overview. He suggested that, perhaps, a formation of a task force that would include perspective lease holders, bankers and, possibly, the real estate community. He urged the Council to go forward with the Resolution in its present form and to form a task force with stake holders involved.

Steve Zimmerman advised that the is a tenant of the City's on the Spit, one of the people negotiating in the lease with the City and a City resident, forced into it. He expressed his thought that the Lease Policy needs to be revisited. The Port and Harbor Commission did not address everything, at least not the stuff that he brought up at their meeting. He stated that this Resolution should be tabled, dropped until there is a study of the Lease Policy Manual and get it in line. He reiterated Mr. Hogan's comments regarding the RFP response. He noted that there had to be other reasons for there being only one proposal being received. He urged the Council to look at this a little harder before they call it okay and keep going. He thanked the Council.

RECONSIDERATION

None.

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.)

Councilmember Wythe requested that items G., H, I and N. be removed and placed on the Regular Portion of the Agenda.

A. Homer City Council unapproved meeting minutes of December 12, 2005 Special and Regular Meetings and January 3, 2006 Special Meeting as revised. City Clerk. Recommend approval.

B. Ordinance 06-01, Of the City Council of the City of Homer, Alaska Amending Homer City Code Chapter 5, Health and Public Safety, to Add a New Chapter Prohibiting the Intentional Feeding and Baiting of Certain Predatory and Scavenger Birds. McLay Recommend introduction and set public hearing for January 23, 2006 and second reading for February 13, 2006.

C. Ordinance 06-02, Of the City Council Authorizing the Expenditure of Homer Accelerated Water and Sewer Program (HAWSP) Funds in the Amount of $98,000.00 for Constructing an Alternative Access to Pressure Reducing Valve (PRV) Stations At Mid Hill and Hill Top Stations. City Manager. Fiscal Note: Funding source is the HAWSP to Expenditure Account 215-814 for the Alternative Access for the Replacement of Homer Hill Top and Mid Hill PRV Stations in the amount of $98,000.00. Recommend introduction and set public hearing and second reading for January 23, 2006.

Memorandum 06-06, from Public Works Director as backup.

D. Resolution 06-01, Of the Homer City Council Confirming the Appointments of Regina Harville as Treasurer and Lisa Vaughn as Deputy Treasurer for Calendar Year 2006. City Manager. Recommend confirmation.

E. Resolution 06-02, Of the City Council of Homer, Alaska Designating Signatories of City Accounts and Superseding any Previous Resolution so Designating. City Clerk. Recommend adoption.

G. Resolution 06-03, Of the City Council of Homer, Alaska on the Development of Roads and Long Term Traffic Plan for the City of Homer. Heimbuch. Recommend adoption.

Placed under Resolutions as item D.

H. Substitute submitted under Agenda Approval. Resolution 06-05(S), Of the City Council of Homer, Alaska Urging the State to Share Revenue with All Alaskan Communities. Mayor. Recommend adoption.

Placed under Resolutions at item E.

I. Resolution 06-06, Of the Homer City Council Approving and Adopting a Memorandum of Understanding between the City, the Library Advisory Board (LAB), and the Friends of the Homer Public Library, Regarding Funding and Operations of the New Library. City Manager. LAB. Recommend adoption.

Placed under Resolutions as Item F.

J Resolution 06-07, Of the Homer City Council Approving and Adopting a Memorandum of Understanding Between the City of Homer and the Homer Foundation Regarding Funding for Arctic Winter Games Events in Homer. City Manager. Recommend Adoption.

Substitute MOU.

K. Resolution 06-08, Of the City Council of Homer, Alaska Urging the State of Alaska to Prioritize Investment in Alaska's Existing Transportation System. McLay. Recommend adoption.

L. Memorandum 06-02, from City Clerk, Re: Liquor License Renewals for the Salty Dawg, Cosmic Kitchen and the El Pescador.

M. Memorandum 06-03, from Mayor, Re: Appointments of Melissa Lettis as the Library Advisory Board's Non Voting Student Member and Mark Roth to Replace Leonard Miller on the Cook Inlet Aquaculture Association Board as Homer's Representative. Recommend confirmation.

N. Title Change. Memorandum 06-04, through City Manager, Re: Concept use of Homer Accelerated Water and Sewer Program (HAWSP) Funds for Quiet Creek water and sewer extension and Concept use of HAWSP and Homer Accelerated Roads Program (HARP) funds for Adams Street.

Fiscal Note: For Quiet Creek HAWSP funds that would be expended (until reimbursed from deferred assessments) Oversizing (1700 lf x $11/lf) $18,700.00, Design & Const. of addn. main (1500lf x $135/lf) $202,500.00, Contingency (10%) $22,100.00: Total Cost = $243,320.00. For Adams Street HAWSP funds that would be expended (until reimbursed from deferred assessments) are as follows: Cost of project benefitting adjacent lots (800 lf x $68/lf) $54,400.00, Contingency (10%) $5,440.00, Total Cost = $59,840.00. For Adams Street HARP funds that would be expended Cost of Gravel (1500 CY x $9.00/CY) $13,500.00. Recommend approval.

Placed under New Business as Item D.

O. Memorandum 06-05, from City Clerk, Re: Travel Authorization for the Mayor to Attend the Alaska Conference of Mayors/Alaska Municipal League Board of Directors Winter Meeting, January 24 and 25, 2006 in Juneau. Fiscal Note: Mayor and Council: 2006 Budget: 100.100.5236, Transportation: $6,500.00 and100.100.5237, Subsistence: $4,500.00, and 100.100.5235, Membership/Fees/Dues - for AML etc.: $7,000.00. Recommend approval.

WYTHE/McLAY - SO MOVED TO APPROVE AND/OR ADOPT THE RECOMMENDATIONS OF THE CONSENT AGENDA AS READ AND AS AMENDED, DELETION OF ITEMS G., H., I. AND N.

There was no discussion.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

VISITORS

A. Chamber of Commerce Annual Report. Derotha Ferraro.

Derotha Ferraro, Executive Director, gave an annual report that included Business Development, Tourism, Advertising and Promotion, Conferences and Meetings, Committee information, Community Programs, being Chamber of the year awarded by the State Chamber of Commerce, Membership is up 4% over last year, City Contract $15,000.00 in marketing services for Homer, and about Major Events and Fundraisers.

Mayor and Council commended the Executive Director and the Chamber for their good work.

B. Cole Jacobsen, Re: Homer Middle School Trip to Washington D.C.

Cole Jacobson greeted the Mayor and Council and introduced himself as a Homer Middle School 8th grader. He apprized the Mayor and Council of the 8th grade trip, in May 2006, to Washington D.C. and New York and that participating students have to raise $2,300.00 each. Some of the places they will be visiting are the Smithsonian Complex, Arlington National Cemetery, monuments and memorials. US Senator Lisa Murkowski will be arranging their tour of Capital Hill. They plan to visit Ground Zero and either Ellis Island or the Statue of Liberty. He reported on fundraisers; selling 2006 Calendars for $15 each, Homer Family Theater on Friday, January 27th at 6 p.m. the movie Cheaper by the Dozen, and that donations can be made at Wells Fargo Acct - 8224014905. He thanked the Mayor and Council for their time and encouraged them to purchase a calendar or make a donation. Calendars may be purchased on line at www.homercalendar.com. Make checks payable to Homer's 8th Grade Washington D.C. Trip.

Mayor Hornaday called for a recess at 8:02 p.m. where many in the audience, including Mayor and Councilmembers purchased the $15.00, 2006 Calendars. The Mayor reconvened the Regular Meeting at 8:09 p.m.

ANNOUNCEMENTS/PRESENTATIONS/BOROUGH REPORT/COMMISSION REPORTS

A. Mayor's Special Presentations

Presentation to the City Manager regarding the AML/JIA Loss Control Award for keeping losses to less than Ten Percent of premium during FY 2004.

City Manager Wrede received a round of applause.

Presentation to Finance for Certificate of Achievement for Excellence in Financial Reporting for year ending December 31, 2004 from the Government Finance Officers Association.

Presentation to Councilmember Matt Shadle, Certificate of Completion of the Newly Elected Officials Seminar.

B. Library Advisory Board Report, Request re: Margret Pate Garden

C. Mayor' Proclamation in Memoriam of Kenneth and Lizabeth Wardwell, who were killed in an automobile accident on January 2, 2006.

PUBLIC HEARING(S)

A. Ordinance 05-64, Of the City Council of the City of Homer, Amending the Official Road Maintenance Map of the City of Homer by Adding 4365 Lineal Feet or .828 Mile of Urban Road and 300 Lineal Feet or .246 Mile of Rural Road. City Clerk. Public Works. Fiscal Note: Additional maintenance costs $21,125.00, this is an approximation. (First Reading December 12, 2005, Public Hearing and Second Reading January 9, 2006.)

There was no public testimony.

McLAY/SHADLE - SO MOVED, FOR THE ADOPTION OF ORDINANCE 05-64 BY READING OF TITLE ONLY FOR SECOND AND FINAL READING.

Councilmember Wythe asked if this were budgeted and the City Manager confirmed.

VOTE: YES: NON OBJECTION. UNANIMOUS CONCERN.

Motion carried.

B. Ordinance 05-65(A), Of the Homer City Council Amending Homer City Code Section 17.04.030(a) Improvement Districts--Formation and Assessment. McLay (First Reading December 12, 2005, Public Hearing January 9, 2006, Second Reading January 23, 2006.)

There was no public testimony.

C. Port Harbor Homer Terminal Tariff 600 Revisions and Sewer Fee Revisions.

There was no public testimony.

ORDINANCE(S)

A. Ordinance 05-17(A), Of the City Council Amending Homer City Code Chapter 21.68, Concerning Appeals Under the Homer Zoning Code and Enacting Section 21.30.030 to Authorize Setting Zoning Fees by Resolution. (First Reading October 10, 2005 and forwarded to the Planning Commission for Review and Public Hearing, Public Hearing November 14, 2005, Second Reading November 28, 2005 postponed to December 12, 2005 Main Motion as amended is back on the floor as postponed on December 12, 2005, further postponed on January 9, 2006 to January 23, 2006.)

Main motion as amended is back on the floor as postponed on November 28, 2005 for the City Attorney to review the amendments. McLAY/WYTHE - SO MOVED FOR THE ADOPTION OF ORDINANCE 05-17 FOR SECOND AND FINAL READING BY READING OF TITLE ONLY. STARK/SHADLE - MOVED TO AMEND LINE 102 PAGE 123 TO ADD, 4. GRANT OR DENIAL OF A CONDITIONAL FENCE PERMIT. (Per suggestion of the City Attorney in his memo to Council and then renumber rest. 4 to 5 and 5 to 6.) WYTHE/McLAY - MOVED TO AMEND LINES 87 AND 88 TO INCLUDE "APPROVAL OR DENIAL" , INSTEAD OF JUST BEING FOR THE DENIAL THAT IT WOULD INCLUDE THE APPROVAL OF THE PERMIT ALSO (21.68.015 1. and 2. of a zoning permit, of a sign permit.) WYTHE/NOVAK - I WOULD MAKE A SECOND AMENDMENT ON LINES 81 AND LINES 95 TO STRIKE TO STRIKE THE WORD "ONLY". HEIMBUCH/McLAY - LIKE TO OFFER THE FOLLOWING AMENDMENT ON PAGE 125 TO BE INSERTED AT THE LINE 160 ADDING A FOURTH NUMBER TO THOSE PEOPLE DESCRIBED IN 21.68.020 WHO MAY APPEAL, 4. WOULD READ: ANY PERSON WHO OBTAINS THE SIGNATURES OF THREE AGGRIEVED PEOPLE AS DEFINED IN SECTION C. OF 21.68.020 AND ADDING A FIFTH NUMBER, NUMBER 5. ANY PERSON PAYING A FEE OF $750 SUBJECT TO REFUND IF THE APPELLANT IS SUCCESSFUL ON ANY ASPECT OF APPEAL.

Discussion was about incorporating the City Attorney's input and whether or not to move forward with the Ordinance as it stands.

STARK/WYTHE - MOVED TO POSTPONE FOR TWO WEEKS. (January 23, 2006, Regular Meeting, to include City Attorney input.)

There was no discussion.



VOTE: (postponement) YES: WYTHE, STARK, NOVAK.

NO: HEIMBUCH, McLAY, SHADLE

MAYOR: TIE VOTE: YES.

Motion carried.

CITY MANAGER'S REPORT

A. City Manager's Report (1. FY 2006 Budget Follow-up, 2. Library Construction: Project, on budget and on schedule. Building is basically closed in and heated,3. 911 Contract, KPB Mayor Williams requested contract extension of the lapsed 911 contract through June 30, 2006. Borough will immediately make a contract payment once it receives the contract amendment. 4. New City Hall in Town Center deal of activity regarding Town Center and a new City Hall. This includes, but is not limited to, work on a space needs study, financing package, permitting activity for proposed Fred Meyer development, land owner meetings, proposals for the development of the remainder of Town Center, and a draft ordinance amending the CBD to make it easier to implement the principles and ideas in the Town Center Plan. In addition, we plan to begin a public information effort to make sure the community is aware of the discussions regarding university expansion plans and the need for a new city hall to provide for university expansion, implement the Town Center Plan and provide a civic anchor for Town Center, provide for much needed additional office space, and provide for efficiencies by potentially combining facilities. 5.Police Recruiting, 6. Augustine, Volcano Watch, 7. Fire Department, New Assistant Chief Dean Thoemke and Kachemak City's newly refurbished Tanker, 8. Borough Conference of Mayors January 24, state revenue sharing, 9. Governor's budget - appropriations include Deep Water Dock expansion and the water treatment plant improvements, 10. New Year Resolutions. Next packet 2006 Administration goals and priorities.

Council comments:

Item 4. Re: New City Hall - President Hamilton left the Council with the distinct impression that the purchase of City Hall is not happening any time soon. Therefore, why the rush to move forward?

What does this mean - provide for efficiencies by potentially combining facilities?

The City should be ready when the money is available. Recommend that the City Hall be on the west side of Town Center, on the north side of that there would be a conference center with a meeting room for the City Council and then on the far north end of that a public restroom.

Item 7. Refurbishment of emergency vehicles, will this be an open bid?

Item 9. Governor's budget.

City Manager responses:

The Board of Regents does have the purchase of City Hall in their budget and if the budget is reduced that President Hamilton will take care of current facilities.

The City should be ready with a plan on how to deal with the sale of City Hall and that there should have already been a discussion with the public to explain the whys and hows.

He said that some of the possibilities on combining facilities he did not want to mention here, because the other entities do not want this to be public. He stated that there are some potential tenants/renters.

Regarding Item 7, he replied that it will probably depend on what the fix is.

The Governor has money in his current budget for both items in number 9. This budget goes to the Legislature for approval.

B. Bid Report. (Design of Improvements to the Water Treatment Plant. Sealed Proposals are due by 4:30 p.m. January 10, 2006. Proposers must be on the City's Plan Holder's List.

C. Game Report.(2006 Permit Applications - Homer High School Mariner Booster Club filed December 13, 2005 with 2006 Pull Tab Vendor Registration, The Otter Room for the Homer High School Mariner Booster Club filed December 13, 2005; American Legion Auxiliary Unit #16, Inc. filed December 22, 2005 with 2006 Pull Tab Vendor Registration, Kharacters for the American Legion Auxiliary Unit #16, Inc. filed December 22, 2005; K-Bay Marines Detachment 838 Marine Corp League filed December 22, 2005 with 2006 Pull Tab Vendor Registration, Kharacters for the K-Bay Marines Detachment 838 Marine Corp League filed December 22, 2005; Friends of the Homer Public Library filed December 29, 2005; and Homer Chamber of Commerce filed January 4, 2006.

COMMITTEE REPORT

A. Public Arts Committee (Meeting scheduled for Thursday, January 12, 2006 at 1 p.m. in the City Hall Cowles Council Chambers.)

B. Road Standards Committee (No meeting scheduled)

PENDING BUSINESS

NEW BUSINESS

A. Memorandum 06-07, from Councilmember Shadle, Re: Homer Participating in the National League of Cities.

2006 Dues Sheet - Shows dues for Homer would be $993.00

Recommendation: Discuss Homer participating in the National League of Cities.

Fiscal Note: About $1,000.00 for membership. $7,000.00 100.100.5235, Membership/Fees/Dues - for AML etc. National League of Cities not included in line item explanation.

SHADLE/WYTHE - MOVE TO APPROVE THE RECOMMENDATION OF MEMORANDUM 06-07.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Discussion was in support of participation. It was noted that AML belongs and that many members of AML also participate in NCL.

SHADLE/STARK - MOVED TO APPROVE THE MEMBERSHIP IN THE NATIONAL LEAGUE OF CITIES.

There was no further discussion.

VOTE: YES: STARK, NOVAK, HEIMBUCH, McLAY, WYTHE, SHADLE.

Motion carried.

B. Memorandum 06-08, from Councilmember Stark, Re: AML Summer Meeting

Recommendation: Approve Councilman Stark's expenses to attend AML Board Meeting in Juneau 24-25 January.

Fiscal Note: Travel costs to Juneau as noted in Memorandum 06-05 and if Homer selected for AML Summer Session would result in positive economic impact.

NO ACTION. REFER TO MEMORANDUM 05-05 UNDER CONSENT AGENDA.

C. Memorandum 06-09, from Councilmember Wythe, Re: Planning and Zoning Priorities Commensurate with City Council Priorities.

Recommendation: Approve, with or without amendments, the attached memorandum, and forward this Memorandum, on Mayor letterhead, to the Planning Commission.

WYTHE/HEIMBUCH - SO MOVED TO APPROVE THE RECOMMENDATION OF MEMORANDUM 06-09.

Councilmember Wythe stated that her purpose for bringing this forward is to get some forward motion on providing direction to the Planning Commission. The Commission does act and serve as an Advisory Commission to the Council. Yet if the Council provides them with no objectives or duties then they are, basically, at the determination of their own list of items or things that they would like to do and forward to the City Council. She voiced her desire for the Council to take a little more proactive role in interaction with the Commission. There are some perceptions that the Commission acts independent of the Council, noting that there are some things that the Commission does do independently of Council yet not wholly independent of the Council. She reiterated comments from the Committee of the Whole wherein the Council had discussed deferring action on this until a joint worksession with the Commission. She pointed out that the list of items on her memo are all items that the Commission has on their priority list and are not things that she came up with by herself, adding that she did confer with City Planner McKibben.

Title 21 review/amendment, to ensure that the language is consistent throughout. (Funds were included in the budget to this end)

Review the appropriateness of the current zoning of the area west of the Homer Middle School, to determine if it meets the development needs of the community and property owners.

Continue work on the Steep Slope Ordinance.

Begin the process of relaxing construction regulations to allow for the development of the Town Center.

Comprehensive Plan Update

NOVAK/WYTHE - MOVED TO TABLE.

No discussion allowed on a motion of this nature.

VOTE: YES: McLAY, WYTHE, SHADLE, STARK, NOVAK, HEIMBUCH.

Motion carried.

D. Consent Agenda Item N. Title Change. Memorandum 06-04, through City Manager, Re: Concept use of Homer Accelerated Water and Sewer Program (HAWSP) Funds for Quiet Creek water and sewer extension and Concept use of HAWSP and Homer Accelerated Roads Program (HARP) funds for Adams Street. Fiscal Note: For Quiet Creek HAWSP funds that would be expended (until reimbursed from deferred assessments) Oversizing (1700 lf x $11/lf) $18,700.00, Design & Const. of addn. main (1500lf x $135/lf) $202,500.00, Contingency (10%) $22,100.00: Total Cost = $243,320.00. For Adams Street HAWSP funds that would be expended (until reimbursed from deferred assessments) are as follows: Cost of project benefitting adjacent lots (800 lf x $68/lf) $54,400.00, Contingency (10%) $5,440.00, Total Cost = $59,840.00. For Adams Street HARP funds that would be expended Cost of Gravel (1500 CY x $9.00/CY) $13,500.00. Recommend approval.

McLAY/HEIMBUCH/SHADLE - SO MOVED TO APPROVE THE RECOMMENDATION OF MEMORANDUM 06-04.

Councilmember Wythe inquired if it is appropriate to request a developing subdivision to contribute to a water main improvement? If the water main is going to benefit the City, then the City should pay for that improvement? She stated that the services that feed into the subdivision would be the responsibility of the subdivision developer. She stated that she wanted to ensure that there will not be a higher assessment to the developer with the City's increasing the size of the pipe.

City Manager Wrede advised that this is exactly what the Public Works Director is proposing, adding that the developer, in the case of Quiet Creek, as part of the Subdivision Development Agreement would be required to put in water and sewer lines to serve his subdivision. He stated that the City is trying to take advantage of that and use City money to enlarge the pipe that the developer is already going to put in and get it up to ten or twelve inches so that it can serve over to Mountain View, something the City has tried to do for a long time due to pressure problems in the system. The City would be teaming up with the subdivider instead of the City paying for the entire cost. The City would pay for engineering and design of and building of the sewer line that is outside of the subdivision and would get the money back later through deferred assessments. This is stepping out a little bit, has not been done before and is a little creative and seems to be a way to accomplish a number of goals. Comes back to Council in the form of an Ordinance. He responded to Councilmember Heimbuch that the City is paying for the oversize only and that the line goes right through the subdivision and does not utilize the Shellfish area. This will assist the City in reaching one of its long time goals to stabilize pressure and to provide better service to the Mountain view area and further west.

Councilmember Heimbuch commented about property owners that have water system agreements extending back ten years that allow for the City to extend the water main, so these individuals would not be paying on this water main and that they were not entitled to vote against the water expansion. He confirmed, at the Manager's inquiry, that there were written agreements with the City.

Public Works Director Meyer commented that he did not recall these specific agreements and that the City would abide by any agreement and by what was promised.

Councilmember Stark interjected that this is addressed quite well in the Memo and that this is an excellent deal for the City.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

RESOLUTIONS

A. Resolution 06-04, Of the City Council Revising the Port and Harbor of Homer Terminal Tariff 600 and Clarifying the 2006 Sewer Rates. This is a housekeeping measure. City Clerk.

HEIMBUCH/SHADLE - SO MOVED TO ADOPT RESOLUTION 06-04 BY READING OF TITLE ONLY.

There was no discussion.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

Revisions:

Port and Harbor of Homer Terminal Tariff 600

Rule 34.18(b) Annual Moorage Fee, Administrative Charge change from $49.00 to $50.00

Rule 34.20 Wharfage Petroleum Products, Per Barrel change from $0.3138 to $0.3192.

Correcting Resolution 05-123, the Rule typo: Change 34.14 to 34.13 for the Wait List Fee increase to $30.00.

Correcting Resolution 05-122, the Seasonal Sewer Meter Fee from $121.10 to $211.97.

Restating the Sewer Commodity rate per thousand gallons of water to be $8.77.

B. Substitute submitted under Agenda Approval. Resolution 06-09(S), Of the Homer City Council Approving the Development of a Memorandum of Understanding (MOU) with the Kachemak Bay Campus of the Kenai Peninsula College which will Allow for Cooperation with said Campus by Accepting a Part-Time Employee who will be Paid for by the Campus to Work in the City Library, for its Library-Related Activities and Accepting Books from the College to Shelve/Catalogue in the City Library and Directing the City Manager to Execute the Appropriate Documents. Shadle.

Substitute MOU.

Memorandum 06-11, from Library Director requesting postponement.

SHADLE/STARK - YES, MOVED FOR THE ADOPTION OF RESOLUTION 06-09(S) BY READING OF TITLE ONLY.

Councilmember Shadle pointed out that the LAB and Friends of the Library ad doing a fantastic job.

SHADLE/STARK - MOVED TO AMEND TO GO WITH COUNCILMEMBER HEIMBUCH'S AMENDMENT:

The City of Homer administration in collaboration with public library personnel and the Kachemak Bay Campus of the Kenai Peninsula College, the University of Alaska, will begin a structuring process and cost benefit analysis and space analysis for significant inclusion of University library services into the new Homer public library facility.

The inclusion is intended to cover a substantial and meaningful amount of print material, full and fair access to online data bases, and the use of available university personnel for those services who will be responsible to and supervised by the public library director.

This resolution is intended to provide the general public with equal opportunity and access to any university library services enjoyed by university students or staff in the public library facility.

By no later than July 10th, 2006 the City will submit a satisfactory progress report on this structuring to the City Council. By no later than May 20th, 2007 this structuring plan and analysis will be completed and brought to the City at that time for approval and implementation.

Council discussion:

The amendment gives the Library more time.

Comments received tonight showed that most like the idea, that they want more time, they want to get moved into the Library first and this amendment provides for that.

The people of Homer will get the benefit of having a higher level of book on the shelf.

There won't be two libraries three blocks away from each other.

There are a lot of good reasons.

If the Library, LAB, Friends of the Library come back and show the Council that this is a very unsatisfactory working arrangement, it is doubted that any of the Council would be very prone to just signing off on the agreement.

Conversations have to start now, not after the Library is open.

City Manager Wrede responded to Council inquiry that he thinks the amendment is the step in the right direction, that the concerns seem to be about the process and that people are asking for more time, that all the facts are not on the table. There is a responsibility to ensure that a consortium library is in the best interest of the City and to show the public that it is in the best interest of the City. The amendment provides that opportunity, to look at needs and costs over time. Council deserves the best information that can be gathered so that Council can make the best decision.

Council discussion ensued:

Public approved bonds for a building that is going to last 30 years.

Useful life could be reduced to 15 years, depending on how quickly the facility is filled.

Might have to add on to the facility.

Financed by foundations based on a Public Library, concerns about changing this to a Consortium Library and effects on funding/funding sources.

To switch the outcome without a process would not be good.

NOVAK/ - CALLED FOR A FRIENDLY AMENDMENT TO BEGIN DISCUSSING NOT STRUCTURING AND FURTHER ASKED WHERE IT SAYS FOR SIGNIFICANT INCLUSION THAT I WOULD SAY THAT IT IS FOR THE FEASIBILITY OF BECAUSE WE ARE DISCUSSING THE FEASIBILITY WE ARE NOT DRAWING A CONCLUSION BEFORE WE HAVE A FEASIBILITY STUDY.

Not a friendly amendment.

NOVAK/WYTHE - MOVED TO AMEND THE AMENDMENT TO STRIKE THE WORD STRUCTURE AND INCLUDE THE WORD DISCUSSING AND TO STRIKE FOR SIGNIFICANT AND INCLUDE FOR THE FEASIBILITY OF.

Discussion was that the feasibility of this matter is needed to get a conclusion.

Concern was that this amendment waters down.

The mission is go find a way to include the college library and that if the Library people cannot find a way then they report that to the Council.

There has been a lot of discussion on the university not contributing funds to the building project. The state did supply $1 million at the end when needed to get the project going.

When there is a cooperation between a public library and a college, this provides for the possibility of more funding from the legislature.

This has been a big focus from the Library and general public. This creates a win win situation in the long run.

VOTE: (secondary amendment to primary amendment 1.) YES: WYTHE, NOVAK.

NO: SHADLE, STARK, HEIMBUCH, McLAY.

Motion failed.

Discussion ensued on the merits of the amendment.

The timing included in the amendment is reasonable and provides plenty of time.

There should be a track record of participation.

SHADLE/STARK - MOVED THAT THE CITY MANAGER HELP SECURE THIS SO THAT WE GET EVERYBODY SATISFIED.

Mayor ruled this motion is not appropriate at this time and was therefore withdrawn by maker and seconder.

Discussion ensued on the amendment.

NOVAK/ - MOVED TO TABLE.

Motion died for lack of a second.

McLAY/ - CALLED FOR THE QUESTION.

Mayor Hornaday called for a show of hands and then called for a roll call vote on question.

VOTE:(call for the question) YES: HEIMBUCH, McLAY, SHADLE, STARK.

NO: NOVAK, WYTHE.

Motion carried.

No further discussion allowed.

VOTE: (primary amendment 1.) YES: SHADLE, STARK, HEIMBUCH,. McLAY, WYTHE

NO: NOVAK

Motion carried.

Mayor Hornaday called for a roll call vote on question.

VOTE:(call for the question) YES: HEIMBUCH, McLAY, SHADLE, STARK.

NO: NOVAK, WYTHE.

Motion carried.

All debate ceases.

VOTE: (main amended motion) YES: McLAY, WYTHE, SHADLE, STARK, NOVAK, HEIMBUCH.

Motion carried.







C. Resolution 06-10, Of the City Council Supporting and Forwarding the Port and Harbor Commission's Recommendations to the Lease Committee. Shadle.

City Council hereby supports and forwards the Port and Harbor Commission's recommendations to the Lease Committee as follows:

1. Advertise RFP's for lease of Homer Spit lands locally, regionally and in the Pacific Northwest.

2. Facilitate the development of overslope design parameters.

3. Develop an RFP lease schedule of more frequent duration, i.e. every 90 days

SHADLE/WYTHE - MOVED TO POSTPONE THIS, RESOLUTION 06-10.

Reason to postpone is that some people have pointed out that there needs to be more advise given and that now is not the time for this to go forward.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

D. Consent Agenda Item G. Resolution 06-03, Of the City Council of Homer, Alaska on the Development of Roads and Long Term Traffic Plan for the City of Homer. Heimbuch. Recommend adoption.

HEIMBUCH/STARK - MOVED TO ADOPT.

There was no discussion.

HEIMBUCH/ STARK - MOVED TO AMEND RIGHT AFTER THE WORD, MARY, IN ANDERSON AND QUIET CREEK SUBDIVISIONS UNTIL SUCH TIME THAT AND SCRATCH ALL THE WORDS THAT ARE AFTER THAN AND SUBSTITUTE, UNTIL SUCH TIME THAT "THE EXISTING TRANSPORTATION PLAN CAN BE RE REVIEWED TO ASSESS TRAFFIC OPTIONS FOR THE AREA."

Discussion.

That this resolution not interfere in any way, shape or form with the City's ability to continue to move ahead.

Idea of spot zoning is not desired.

There were substantial issues raised in the hearings on Quiet Creek Subdivision, within which the plan (1) needs to be reviewed.

Schedule some time to re review the transportation plan.

No need to hurry a road development for a conduit of East Hill traffic into a residential neighborhood.

The gist of discussion has been the traffic across Shellfish and Heath Street. But the problem has always been the connection with those streets going west from Heath Street and providing a short cut to the Hospital by going through residential areas of which the people are adamantly opposed.

There are excellent ideas for adopting this proposal.

Concerns about the Transportation Plan coming back after all the time spent on it. Not in the best interest of the City.

No matter where the road is placed it will not be perfect for someone.

Everyone holds the aesthetics of their personal property at the highest value.

To bring up the fact that no one would like this road going through their neighborhood, then how do we view the actions about Quiet Creek, almost entirely aimed at prohibiting East Hill Road Traffic from going down through that Subdivision and on the heels of that turn around and re route it through existing subdivisions.

Questions of fairness and whether or not to re open the Transportation Plan, look at current discussions of the reality of rerouting traffic as is proposed.

Councilmember Heimbuch offered to withdraw his amendment, with the addition of any means of fairness to not reroute the East Hill traffic through existing subdivisions.

There was no further discussion.

VOTE: (primary amendment 1.) YES: STARK, NOVAK, HEIMBUCH, McLAY, WYTHE, SHADLE.

Motion carried.

There was no further discussion.

VOTE:(main motion as amended) YES: NOVAK, HEIMBUCH, McLAY, SHADLE, STARK.

NO: WYTHE.

Motion carried.

E. Consent Agenda Item H. Substitute submitted under Agenda Approval. Resolution 06-05(S),Of the City Council of Homer, Alaska Urging the State to Share Revenue with All Alaskan Communities. Mayor. Recommend adoption.

HEIMBUCH/SHADLE - MOVED TO ADOPT.

There was no discussion.

Councilmember Stark provided AML information that was at $75 million.

STARK/HEIMBUCH - SO MOVED TO AMEND, IN THE NO. ONE IN THE NOW THEREFORE, FROM $150 MILLION TO $75 MILLION.

There was no discussion.

VOTE:(primary amendment 1.) YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

Councilmember Wythe expressed reservation regarding item e. Earnings of the Permanent Fund.

WYTHE/HEIMBUCH - MOVED TO AMEND TO 2. TO ELIMINATE ITEM E. FROM THE RESOLUTION.

Discussion.

AML has included this.

Objection to include Earnings of the Permanent Fund.

VOTE:(primary amendment 2.) YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

There was no further discussion.

Revised list under the Now Therefore Be it Resolved

1. That the State of Alaska is urged to resume sharing revenue or a similar substitute program with communities for fiscal year 2007 in the amount of no less than $75 million. Each community will receive a minimum payment of $75,000. The balance, after payment of the minimum, will be allocated on a per capita basis and services provided per instructions on form G. entitled "State Revenue Sharing, FY 04 Summary Sheet". Distribution in cases where one or more communities lie within a borough would be allocated in proportion to the relative population of and services provided by each community, including the borough.

2. The Legislature and Governor, with collaboration from the Alaska Municipal League, should develop a revenue sharing program that is sustainable and meets the goal of sharing the revenue of the State. Examples of programs they could consider as well as others include:

a. "$1 per barrel program." Under this plan, $1 per barrel in revenues from annual oil production would be distributed through a revenue sharing program;

b. "An Endowment Program." Under this program, a portion of state revenues would be set aside in an endowment with the annual proceeds used for a revenue sharing program.

c. Percentage of market value.

d. Community Dividend.

e. Constitutional Budget Reserve.

VOTE: (main amended motion) YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

F. Consent Agenda Item I. Resolution 06-06, Of the Homer City Council Approving and Adopting a Memorandum of Understanding between the City, the Library Advisory Board (LAB), and the Friends of the Homer Public Library, Regarding Funding and Operations of the New Library. City Manager. LAB. Recommend adoption.

WYTHE/SHADLE - I WOULD MOVE FOR THE ADOPTION OF RESOLUTION 06-06 BY READING.

Council comments, inquiries, etc.

Sue Mauger had said that this has been going on for a long time.

Is it unusual for the City to enter into some kind of Memorandum of Understanding with an organization whose primary function is fund raising or charitable contributions.

The MOU states, in the beginning, that the City maintains total control

City Manager Wrede responded to inquiry that this MOU is different from the first one which had to do with raising money and construction. The new MOU talks about how the partnership is going to evolve between the City, Friends and LAB to provide the services that are desired. The responsibilities are not anything new, but it is important to line these all out so that the public understands the relationship. So that future funders, foundations and others understand how all of these people with certain responsibilities for the Library interact and what their respective goals are. He stated, from his perspective, the most important thing defined in the MOU is the relationship between the City and the Friends of the Library, what are the Friends going to bring to the table and how is that interaction going to work He interjected that the relationship between the Council and the Library Advisory Board is pretty clearly defined in the City Code. He confirmed that he has reviewed the MOU, that "they" have worked on it for awhile and that he thinks it a good thing and recommends adoption. The Manager noted that the MOU is not intended to be binding nor has the force of Law and that all of the parties can get out of it, if it is not working, at a certain point. He stated that he does not think this an unusual arrangement and that he thinks that cities do this all the time.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

AUDIENCE COMMENTS

Audience may comment on any matter.

Mark Landwehr, City resident, inquired if the Mayor or Councilmembers had take the time to read the information that he gave to them last meeting.

Mayor Hornaday advised that he had scanned the information and dealt with these types of matters when he was Judge.

Mr. Landwehr commented that he would comment on this, perhaps, another time. He thanked the Council.

COMMENTS OF THE CITY ATTORNEY

City Attorney Tans was not present.

COMMENTS OF THE CITY CLERK

City Clerk Calhoun had no comment.

COMMENTS OF THE CITY MANAGER

City Manager Wrede had no comment.

COMMENTS OF THE MAYOR

Mayor Hornaday expressed appreciation to Mayor Pro Tempore McLay for filling in for him in going to Juneau, that they had already talked about the Manager and Ann Marie Holen preparing a list as they did last year. He stated that he did want to emphasize that Homer did fairly well in the Governor's budget, some of which is hard to find. He encouraged those going to Juneau to make sure that they are aware of that, adding that he plans to go to Juneau later on. He noted that it is easier to hold onto something than it is to try to create something. He stated that he hopes and prays that the Emergency Orders regarding the Volcano do not have to be instituted. He pleaded with the citizens in the community to, that if that plan is put into effect, please follow the instructions and if asked to leave, to leave. He commented about having to evacuate the Court House last eruption. He stated that he does not want a New Orleans situation to happen. He expressed his opinion that one of the newspapers was very irresponsible in its headlines. He reiterated that he hopes the plan does not have to be instituted, but if it is, he encouraged, all to follow the plan and if told to evacuate to please evacuate and follow the evacuation plan.

COMMENTS OF THE CITY COUNCIL

Mayor Pro Tempore McLay expressed appreciation of the open discussion tonight and that everyone took time to listen to each other's opinions on these issues. He noted that Council keeps dealing with things that are very trying and very controversial. He complemented this Council on dealing with these issues, that they keep them on the table where they need to be and not making personal items out of that. He stated that much has been accomplished as a result and he thanked the Council.

Councilmember Heimbuch commented on a future issue, of which he has mentioned to a couple of Councilmembers. He noted that there is a lot of talk about sales tax, property tax, costs of living, the lack of affordable housing around here, impact of money flowing in here from superior economies and changing property values. He advised that he has started some investigations into the possibility of having differential tax rates between community residents and non community residents. The idea of community investment credit, for those who spend the fall, winter and spring here as opposed to those who come at different times. He noted that it is a tool that is used in some locations around the country and that he would like to explore it a little bit to see if those who come here and cherry pick off the best Homer has to offer, the people here in the summer who would dictate the size of the services we provide, ie., fire, police, harbor, roads, maintenance and almost and everything Homer does. Water and sewer are influenced largely, and the library, by the number of people in Homer during the summer time. A lot of those people own property, own houses here. He stated that he is not sure if it is a fair way to go, but does think that Council has an obligation to investigate whether or not Council would like to treat the people who make significant community investments here, raise their children here, grow here, grow old here and that those people deserve some kind of consideration of their tax structure that allows Council to raise money from another source that might help get past some tough times. It is a philosophical concept that could be, if successful, extended on into the Borough, which has a tremendous shortfall, and the State, that has tremendous problem with non resident workers and an inability to recapture any of that through an income tax. Community investment credits are an excellent topic to think about.

Councilmember Shadle thanked everyone from the Library for coming out. He commented on receiving something in the mail today from them and that he plans on joining the Library and expressed his appreciation of the fantastic job that they are all doing. He voiced a hope that this is the beginning of something good and that he looks forward to a lot more conversation. He stated that he is very impressed.

Councilmember Stark included that he is a major contributor to the Library building project. He apologized for the use of the word Councilmen in his letter to the editor on the fifth in the Daily News. He advised that the reason this happened is because he was responding to some erroneous information in an article in the Daily News about whether there was an ordinance under discussion at the City. He noted that at the time he wrote it there was not and that he had checked with the City Clerk on that. After he sent the letter, it did surface that there would be an Ordinance on that so, he advised, he called the Daily News and got them to remove the two sentences that referred to that, but the reason he had put the term Councilman Doug Stark was to lend credibility to the statement regarding what the City Council was doing.

STARK/HEIMBUCH/SHADLE - MOVED FOR IMMEDIATE RECONSIDERATION OF RESOLUTION 06-09(S).

There was some discussion on the reconsideration.

VOTE: (reconsideration) YES: McLAY, WYTHE, SHADLE, STARK, HEIMBUC.

NO: NOVAK.

Reconsideration passed.

REVOTE ON RESOLUTION 06-09(S)(A)

There was no discussion.

VOTE:(Revote Resolutio9n 06-09(S)(A)) YES: HEIMBUCH, McLAY, WYTHE, SHADLE, STARK

NO: NOVAK.

Motion carried.

Councilmember Stark stated that he had no further and that this was enough.

Councilmember Novak expressed agreement with Councilmember Stark that this is enough for tonight. He stated that he thinks as a City Council they try to do what is right most of the time, but thinks that they stepped into it here and voiced a hope that Council can come out of it a little better than they got into it. The process here was in place, Council is not going to undo the process, but certainly altered the process without knowing the net result. He voiced his opinion that the heavy handed effort to get to this point was not necessarily commendable and that all he can say at this point is that, hopefully, in the future this Council will listen to its community and think about its responsibility to all the community and act accordingly.

Councilmember Wythe commented about Cole Jacobsen speaking to the Council about the Middle School fund raising effort. She commended him, adding that she thinks it great for kids to get out and do this kind of stuff. She thanked all of the art supporters in the Community who for the past 18 months have helped the Homer High School Choir students raise over $20,000.00, through a variety of events, for their upcoming trip to Italy. There are two events remaining before they travel the first of March. There are 60 students and 60 community choir members going to Italy on a nine day tour and perform, she believes, seven times while there. This weekend, on Saturday, there is yard sale at the High School commons and proceeds will go to the students that are traveling, she added that the adults go on their own dollar. She commended the community for their contributions to this group of 30 or 60 kids can rise $10,000.00 or $20,000.00, adding that non profits and other organizations are continually coming to the City for funding. A very amazing thing.

ADJOURNMENT

There being no further business to come before the Council the meeting was adjourned at 9:27 by Mayor James C. Hornaday. The next Regular Meeting is scheduled for Monday, January 23, 2006 at 7 p.m. and the next Committee of the Whole is scheduled for Monday, January 23, 2006 at 4 p.m.

All meetings scheduled to be held in the Homer City Hall Cowles Council Chambers located at 491 E. Pioneer Avenue, Homer, Alaska.











________________________________________

MARY L. CALHOUN, CMC, CITY CLERK

Approved: ___________________________

1. Heath Street Extension that includes Shellfish.