Session 08-03 a Regular Meeting of the Homer City Council was called to order at 7:00 p.m. on January 28, 2008 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, NOVAK, ROBERTS, SHADLE,                                                                                  WYTHE

 

ABSENT:       COUNCILMEMBERS:        CHESLEY (excused)

 

                        STAFF:                                   CITY MANAGER WREDE

                                                                        CITY CLERK JOHNSON

                                                                        CITY PLANNER MCKIBBEN

 

Council met as a Committee of the Whole from 4:07 to 5:17 p.m. Agenda items included Climate Action Plan, Staff Time for Individual Inquiries and Regular Meeting Agenda items.

           

Department Heads may be called upon from time to time to participate via teleconference.

 

AGENDA APPROVAL

 

(Addition of items to or removing items from the agenda will be by unanimous consent of the Council. HCC 1.24.040.)

 

Councilmember Shadle declared a conflict of interest on Resolution 08-12, stating Seabright Survey had done some work for him before.

 

Mayor Hornaday ruled a conflict of interest for Councilmember Shadle.

 

Agenda approved by consensus of the City Council with the following changes:

 

Call to Order - Councilmember Chesley has requested excusal; Consent Agenda - Ordinance 08-05 - Written public comments; Visitors - Kachemak Kids Early Learning Center rescheduled to February 11, 2008; City Manager’s Report - Information on AMHS warehouse and AMHS service reductions; and New Business - Memorandum 08-17, Request for Executive Session Pursuant to AS 44.62.310(C)(1),Matters, the Immediate Knowledge of  Which Would Clearly Have an Adverse Effect Upon the Finances of the Government Unit. (Legal Defense for Defendants Minsch, Shadle, Stark and Zak)           

 

PUBLIC COMMENTS UPON MATTERS ALREADY ON THE AGENDA

 

Frank Griswold, city resident, commented on Ordinances 08-05 and 08-06. As to Ordinance 08-05 it is odd the City would add the open air use to the GC1 district in 2004 and not define until 2008. It should be sent back to the Planning Commission, as the uses conflict. Open air business should be made a conditional use. Ordinance 08-06 zones conservation to rural residential. He questioned why it is in the public interest to rezone; perhaps the original zoning was whimsical. It should be introduced by Council instead of a petition by the City Manager.

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.)

 

A.        Homer City Council unapproved meeting minutes of January 14, 2008 Special and        Regular Meeting. City Clerk. Recommend approval.                                      

 

B.         Ordinance 08-03, Of the City Council Accepting and Appropriating an ADOT Reimbursement of up to $6,605.00 for Commercial Vehicle Enforcement Inspections and Authorizing the City Manager to Execute the Appropriate Documents. City Manager. Recommend Introduction January 28, 2008, Public Hearing and Second Reading February 11, 2008.                                                                                         

 

            Memorandum 08-07 from Police Chief as backup.       

 

C.        Ordinance 08-04, Of the City Council of Homer, Alaska, Amending Homer City Code 21.60 Supplemental Regulations Sign Code. City Manager/Planning. Recommend Introduction January 28, 2008, Public Hearing and Second Reading February 11, 2008.

                                                                                                                                   

            Memorandum 08-08, from City Planner as backup.     

 

Placed under Ordinances.                                

 

D.        Ordinance 08-05, Of the City Council of Homer, Alaska Amending Chapter 21.32 by Adding a New Section Entitled Chapter 21.32.09X, “Business, Open Air.” City Manager/Planning. Recommend Introduction January 28, 2008, Public Hearing and Second Reading February 11, 2008.                                                            

 

            Memorandum 08-09, from City Planner as backup.                                         

 

E.         Ordinance 08-06, Of the City Council of the City of Homer, Alaska, Amending the Homer City Zoning Map To Rezone Portions of the Conservation Zoning District (CONS) to Rural Residential (RR). City Manager/Planning. Recommend Introduction January 28, 2008, Public Hearing and Second Reading February 11, 2008.   Page 105

 

            Memorandum 08-10, from City Planner as backup.                                         

           

F.         Resolution 08-08(S), Of the City Council of Homer, Alaska, Awarding the Contract for          Investment of the Permanent Fund to Washington Capital Management, Inc. of Seattle,    Washington at the Annual Rate of 65 Basis Points of the Portfolio and $15 Per Trade and     Authorizing the City Manager to Execute the Appropriate documents. City Clerk.             Recommend adoption.                                                                         

 

G.        Resolution 08-09, Of the City Council of Homer, Alaska Awarding the Contract for    Thermal Imaging Cameras to L.N. Curtis & Sons of Eagle River, Alaska in the Amount      of $16,691.50 and Authorizing the City Manager to Execute the Appropriate Documents.     City Clerk. Recommend adoption.                                                                   

 

            Memorandum 08-11 from Fire Chief as backup.

 

Placed under Resolutions.                                            

 

H.        Resolution 08-10, Of the City Council of Homer, Alaska, Awarding the Contract for   the Purchase of a Jail Transport Van to Alaska Sales and Service of Anchorage, Alaska         in the Amount of $22,379.00 and Authorizing the City Manager to Execute the     Appropriate Documents. City Clerk. Recommend adoption.                             

 

            Memorandum 08-14, from Police Chief as backup.                                          

 

I.          Resolution 08-11, Of the City Council of Homer, Alaska, Awarding the Contract for   Outfitting the Jail Transport Van to Alaska Safety, Inc. of Anchorage, Alaska in the             Amount of $7,890.00 and Authorizing the City Manager to Execute the Appropriate           Documents. City Clerk. Recommend adoption.                                    

 

            Memorandum 08-15, from Police Chief as backup.                                          

 

J.          Resolution 08-12, Of the City Council of Homer, Alaska Awarding the Contract for    Geotechnical Investigation for the New City Hall to Seabright Survey of Homer, Alaska     in the Amount of $22,500.00 and Authorizing the City Manager to Execute the            Appropriate Documents. City Manager/Public Works. Recommend adoption.

 

Placed under Resolutions.                    

 

K.        Resolution 08-13, Of the City Council of Homer, Alaska, Expressing its Opposition to            Adoption of the Proposed Alaska Marine Highway System (AMHS) 2008 Winter Ferry            Schedule for Southwest Alaska. Mayor. Recommend adoption.

 

Placed under Resolutions.                    

 

L.         Memorandum 08-12, From Lease Committee, Re: Proposal to Lease Tract 1B (Fishing          Hole Subdivision No. 2) Received from Bob’s Trophy Charters and Tract 1C Received from Sportsman’s Supply. Recommend approval.                                               

 

M.        Memorandum 08-13, from City Clerk, Re: Liquor License Renewal for Cosmic Kitchen,         Duggan’s Waterfront Bar, and Starvin Marvin’s Pizza. Recommend non objection and      approval.                                                                                                         

 

The amended agenda was approved by unanimous consent of the Council.

 

VISITORS

 

A.        Kachemak Kids Early Learning Center, 10 minutes.

 

Continued to February 11, 2008.

 

ANNOUNCEMENTS/PRESENTATIONS/BOROUGH    REPORT/COMMISSION REPORTS

 

Mimi Tolva, Parks and Recreation Advisory Commissioner, gave an update on the work the commission is doing.

 

A.                 George Matz, Grant Kachemak Conservation Society - Bear Proof Garbage Cans, 15 minutes.

 

Geoge Matz, Vice President of the Kachemak Bay Conservation Society (KBCS), reported on bear resistant trash containers. The KBCS has received a grant for $100,000 to prevent conflicts between bears and people. They have ordered 448 trash containers with shipment expected in April or May. Anyone with a 99603 zip code may purchase the containers at a reduced price of $50 apiece.

 

Mayor Hornaday commented that Anne Marie Holen, Special Projects Coordinator, and himself talked to ABCnews.com in regard to Climate Change. He invited Governor Palin to run in the Homer Spit Run in June.

 

PUBLIC HEARING(S)

 

A.        Ordinance 07-50, An Ordinance of the City Council of Homer, Alaska Authorizing the             Design and Installation of an Additional 4,400 Linear Feet of Water Main Along      Kachemak Drive to Complete the Loop Between the Airport and East End Road and       Approving the Creation of a Deferred Assessment District. City Manager/Public Works.             Introduction December 10, 2007, conduct Public Hearings January 14 and 28, 2008 and          Second Reading on February 25, 2008.                                                           

 

            Memorandum 07-192 from Public Works as backup.                          

 

Steve Zimmerman, city resident, recently got water and sewer services on Kachemak Drive. He doesn’t know why these property owners get a deferred assessment. He favors getting the sewer done. Fire hydrants will lower residents’ insurance rates. Excess water on Kachemak Drive could be diverted to a fill station to help commercial haulers. He cautioned Council on spending too much money.

 

B.         Ordinance 08-01, Of the City Council of Homer, Alaska, Accepting and Appropriating            an Environmental Protection Agency’s Regional Geographic Initiative Grant in the             Amount of $5,000 for Development of an Employee Sustainability Handbook and     Authorizing the City Manager to Execute the Appropriate Documents. City        Manager. Introduction January 14, 2008, conduct Public Hearing and Second Reading on            January 28, 2008.

 

There was no public testimony.

 

NOVAK/ROBERTS – MOVED TO ADOPT ORDINANCE 08-01 BY READING OF TITLE.

 

Councilmember Novak requested the employee handbook follow the energy program the City implements.

 

NOVAK/ROBERTS – MOVED TO AMEND SECTION 1 TO STATE THE PROPOSED HANDBOOK WILL FOLLOW THE ENERGY PROGRAM THE CITY COUNCIL ADOPTS.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

WYTHE/ROBERTS – MOVED TO AMEND THE SECOND WHEREAS TO STRIKE “ACROSS THE CITY”.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

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

 

Motion carried.

 

C.        Ordinance 08-02, Of the City Council of Homer, Alaska Authorizing the City to Issue General Obligation Bonds in the Principal Amount of Not to Exceed $6,000,000 to Finance Part of the Cost of the Planning, Design, Construction and Equipping of a New      City Hall and Town Square (Plaza) and Related Capital Improvements; and to Submit the             Question of the Issuance of Such Bonds to the Qualified Voters of the City at the March            25, 2008 Special Election. City Manager. Introduction January 14, 2008, conduct Public             Hearing and Second Reading on January 28, 2008.        

 

Frank Griswold, city resident, commented the public knows what City Hall is but not what a Town Square is. Confusion on a ballot initiative should be avoided. He suggested deleting town and square and say the purpose is to finance a one-acre public plaza to be built adjacent to City Hall and related capital improvements, although it may violate the one subject rule. The percentage of costs to finance, and a breakdown of what portion is going to each area should be defined. What happens if the costs exceed the funds available? Would it be null or be in phases like the hospital?

 

Kevin Hogan, city resident, agrees with Mr. Griswold that more specifics are needed. Is it for city-owned property or to be used to develop CIRI’s property? He needs clarification if it is a referendum or advisory vote. Council is spending a lot of money; it is one of the biggest bond issues before the voters.

 

Steve Zimmerman, Homer resident, said there is way too much money flowing out. There is an unlimited fund of property taxes to pay for it. Does anyone know how much taxes are going up to pay for the project? What happens if the proposition doesn’t pass? He urged Council to tighten the budget.

 

WYTHE/NOVAK – MOVED TO POSTPONE THE ADOPTION OF ORDINANCE 08-02 UNTIL THE MEETING OF FEBRUARY 11TH.

 

There was no discussion.

 

VOTE: (postponement) YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

ORDINANCE(S)

 

A.        Ordinance 08-07, Of the City Council Amending the FY 2008 Budget by Authorizing the Transfer of $15,000.00 from City Hall Recycling Fund to the Sustainability Fund. Heimbuch. Recommend Introduction January 28, 2008, Public Hearing and Second Reading February 11, 2008.          

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-07 for introduction and first reading by reading of title only.

 

HEIMBUCH/NOVAK – SO MOVED.

 

Discussion ensued on the transfer of funds as a housekeeping measure to establish a record of accounts to implement sustainability measures in the Climate Action Plan.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

B.         Ordinance 08-04, Of the City Council of Homer, Alaska, Amending Homer City Code 21.60 Supplemental Regulations Sign Code. City Manager/Planning. Recommend Introduction January 28, 2008, Public Hearing and Second Reading February 11, 2008.

                                                                                                                                   

            Memorandum 08-08, from City Planner as backup.                 

 

NOVAK/WYTHE – MOVED FOR THE ADOPTION OF ORDINANCE 08-04 BY READING OF TITLE.

 

Councilmember Shadle disagrees with the responsibility lying on the owner of the lot to retain all required sign permits, rather than the business owner. He referenced Scott Ulmer and Ray Evarts businesses.

 

Councilmember Heimbuch noted the amendment is due to cluster businesses on the Spit. Discussion ensued on the business owners versus the property owners as responsible for signage compliance. There are absent property owners who may not be able to oversee business owners sign dimensions. 

 

HEIMBUCH/SHADLE – MOVED TO POSTPONE INTRODUCTION.

 

There was no discussion.

 

VOTE: (postponement) YES. HEIMBUCH

VOTE: NO. ROBERTS, WYTHE, SHADLE, NOVAK

 

Motion failed.

 

WYTHE/NOVAK – MOVED TO PLACE ON THE NEXT COMMITTEE OF WHOLE MEETING.

 

There was brief discussion on postponing instead of discussing at the next Committee of the Whole meeting.

 

VOTE: YES. ROBERTS, WYTHE, NOVAK

VOTE: NO. HEIMBUCH, SHADLE

 

Motion failed.

 

VOTE: (main motion) YES. NOVAK, ROBERTS, WYTHE

VOTE: NO. HEIMBUCH, SHADLE

 

Motion failed.

 

CITY MANAGER’S REPORT

 

A.        City Manager’s Report

 

  1.  State Transportation Bond Issue: Governor Palin and members of the Legislature have been discussing a large bond issue this year for statewide transportation projects. We have been contacted by Representative Seaton on this issue and the Mayor and I have discussed it several times recently. As you know, the Council has several top transportation priorities. They include the Deep Water Dock expansion, the East Boat Harbor, intersection improvements, Main Street upgrades, to name a few. The last two are legitimate and clear State responsibilities. It is probably a good idea for the Council to have a discussion about which of these projects is its top transportation priority if a bond measure is approved. That way the City can send a clear and unified signal to the Legislature and have a better chance of having its project included.
  2. Public Art and the City Hall / Town Square Project: The Public Arts Committee is working hard on the City Hall / Town Square Project. One of its top priorities is to make sure it is in a position to incorporate public art into the project at the initial stages, as it is being designed. A Public Art Selection Committee has already been formed and RFP’s for the solicitation of public art are scheduled to go out this week. There is one thing I would like to mention to the Council so that you can think about it. This issue is being discussed by the Public Arts Committee and the Committee is likely to bring it to the Council’s attention soon. HCC 18.07 entitled Funds for Works of Art in Public Places ( the 1% for art ordinance) provides that 1% of the total cost of construction for a large public capital project shall be provided for public art. The amount to be set aside for art is capped at $70,000 unless additional money can be raised from private sources. Sometimes, there are creative ways to spend more on art but still stay within the parameters of this ordinance. For example, we spent more than 1% on the library but that was because we incorporated art into features that we would have to purchase anyway. Functional features like the reference table are a good example. So, art could be incorporated into the regular construction budget. Here is the issue. The Public Arts Committee believes that $70,000 is an inadequate amount of money for a project that includes both a city hall/community building and a public square. Committee members have asked the staff if we could treat the building and the square as too separate projects. Our first response was probably not since we are treating this as one project both from a funding and planning perspective. However, that is really a question for the Council and I believe you have the authority to do that if you think it is appropriate. I do think we will be able to do some creative things to incorporate art into the normal construction budget again. I also think that the new building and the square will be real magnets for public art and that private contributions are definitely possible.
  3. AMHS Warehouse: It looks like we are back on track and progress is being made. AMHS recently sent us a letter describing how much land will be needed for a warehouse, staging area, and long term parking on Lot 48 (across form the terminal). DOT/PF is currently working on the necessary permits and the EA and we hope to amend the land use agreement shortly. Recall that I inform you several months ago that I had offered land for the warehouse rent free as part of an arrangement to keep the warehouse from being built right next to the terminal. I hope the Council is still on board with that. You should have a lease agreement and/or an amended land use agreement before you shortly. 
  4. Lease Committee Update: The newly configured Lease Committee is up and running with the exception of a member from the Economic Development Committee. We hope to have that member appointed soon. After consulting with Gordon, we have set this committee up like any other committee. The lease Committee is no longer an Administration Committee; formed by the administration and made up entirely of administration members. The Committee make-up has changed and the new membership makes it an official committee of the Council. That changes things. The meetings of the committee are now public. Meetings are announced in advance, an agenda is published, the meeting is recorded, and meeting notes are taken. The public has an opportunity to address the Committee. At the last meeting, the Committee spent a fair amount of time talking about what types of topics can be discussed in public and what cannot. Gordon provided us some guidance on that. In short, it was generally agreed that deliberations over the details of proposals, scoring them, rating them against other proposals, etc. should be done in executive session. The reason for that is to protect private and sensitive financial, business, and personal information that will appear in applications. The Committee also has an obligation to protect the financial interests of the City and scoring and rating applications in public is not conducive to doing that. The members should be allowed to deliberate in private and speak freely without pressure from the public. All decisions should be made by motion in public and all other business, such discussion of the lease policies and things like that should be public as well.
  5. Ordinance 07-50 Update: This is the ordinance regarding the proposed water line extension on Kachemak Drive. Carey and Jo have scheduled a neighborhood meeting to discuss the project on February 14. This after the proposed date for second reading. In addition, a new petition for water and sewer LIDs along the same stretch of Kachemak Drive has been submitted. This also needs further analysis. For all of those reasons, I would suggest postponing second reading at least until Feb. 28.
  6. City Hall / Town Square “TO DO LIST”:  Your next meeting, February 11, is shaping up to be a critical one. Some major decisions will need to be make at that time. This is intended to give you a heads-up about what we are working on in preparation for that meeting.
    • Establish an Approved Project Budget: It is important for the Council to establish and approve a project budget for a variety of reasons. We have consistently told the Council that we will be able to provide much more precise and accurate cost and budget numbers at 35%. That is true and 35% plans are scheduled to be delivered on March 10. However, we have asked the design team to spend time more now on cost estimating because we need good numbers before March 10. The primary reasons for that are to make sure the Bond Proposition has the right amount on it and also to make sure we are giving the public the best numbers possible at this time. So, the team has been taking a fresh look at costs. We plan to have a series of meetings on this topic late this week. The cost of materials continues to rise steadily, the building has grown by about 1,200 feet, we have discovered that original estimates did not include all of the design costs, including the additional costs for alternative energy alternatives, and all of the efficiency measures and alternative energy measures we are discussing will cost more up front, in order to save later. So, needless to say, we are examining all options and sharpening pencils. We will continue to work on this and plan to bring you a project budget resolution for adoption at the next meeting. We would also suggest postponing second reading of the bond ordinance until February 11 as well. This will give you time to discuss the budget and see what impact that might have upon the amount you want to borrow.
    • Budget Projections: Council members have made it pretty clear that they want to do this project without raising taxes or affecting existing services. If we say we are going to do this, we need to assure the public that it is possible. Doing this will require some policy calls and tough budget decisions in the future because as you know, if we spend money on bond payments out of the general fund budget, that money will not be available for other things. Regina and I are working on some FY 2009 budget and revenue projections for your consideration so that you will have a better understanding about what funds might be available for this purpose. This information and a resolution stating the Council’s intent will be on the agenda for your consideration Feb. 11.Remember that the Council also has other funds available that it could tap for bond payments such as the General Fund Reserve or the Special Projects Fund.  So, there are options. But, it may be important for the Council to make some sort of official statement that bond payments are a top priority, over everything else, and that the Council intends to make payments out of the existing budget or existing reserves, without raising taxes or affecting existing services.
    • Business Transactions with CIRI: I plan to meet with CIRI multiple times over the next few weeks in order to put together a proposal involving infrastructure development and land transactions. This is much easier now that we are close to a preliminary plat and decisions on building and square locations. We are aiming to have a proposal ready by the week of February 4 so that the Council can look at it on February 11 and the CIRI Board can consider it at its meeting on Feb. 22.  This proposed transaction will also have a huge impact on total project costs.
    • Preliminary Plat: We plan to bring you a concept preliminary plat at the February 11 meeting as well for Council approval. This resolution will make it part of the record that the Council has sign off on the proposed location of the building and square and the proposed location of the roads and trails.
  7. City Hall / Town Center schedule questions: The contractors are scheduled to present the City with completed 35% plans on or about March 10. However, the Special Bond Election is now scheduled for March 25.  This could mean that there are approximately two weeks in which the design team might be sitting around unable to work on this project; more if the Council is not able to certify the election until sometime in April. This is wasted time that we cannot afford if we want to stay on schedule. So, we are considering asking the Council, assuming that it likes the 35% plans, if it would approve a contract to move to 65% plans on March 10 with a provision in the contract that work can be stopped if the bond prop. fails. This would allow the design team to keep working. A completed design will be necessary anyway if the Council ultimately decides to finance this project another way.
  8. Council / PC Workshop: There has been some talk about scheduling the next quarterly Council / PC workshop. Dates in late January and February are being kicked around. It would be good for the Council to let us know what its preferences might be.
  9. Borough Matching Grant: The Borough Assembly has approved the City’s request for a $50,000 matching grant. This money originally came from the planning reserves which is where I will place it unless the Council has another idea. There is always a good use for money of course. Some individual Council members have discussed using the money to implement the Climate Action Plan. Some PC members have discussed using it for the much need update to the Spit Plan, which would be part of the Comp Plan.

 

 City Manager Wrede stated the public comments regarding City Hall/Town Square are good ones. We are trying to get as much information to the public as possible on the project. At the February 11th meeting the approved project budget will be ready. The design team is coming up with numbers as best they can for the next meeting. The project budget will include all costs including the building, square, infrastructure and land trade costs. We are now to the point of talking serious about land trades. The committee has settled on a location for the square and building and has a good idea of a preliminary plat for roads. At the next meeting a conceptual plan will be before Council. Once a decision is made on land trades CIRI can talk to their board and Council can then discuss. At the next meeting we will discuss how the project will be paid for. Council has expressed the desire to pay for the project without raising taxes and negatively affecting existing services. He and Finance Director Harville are working on projections for next year that will also be provided.

 

State Administration and DOT are making a strong argument for transportation bonds. Mayor Hornaday stated there is no State money for Town Plaza or Karen Hornaday Park, although they liked the Spit Trail project. The priority roads are Main St. and Sterling Highway intersection.

 

Councilmember Shadle commented the ballot language stated taxes will be levied without limitation. There must be a ceiling. The City is currently at 4.5 mils; if we exceed 6 mils we lose all our sales tax. We want to protect the sales tax. City Manager Wrede said the ballot is standard language required by the lending institutions and the FCC. Because they are general obligation bonds it means you are pledging the full faith and credit of the city. It will be top priority to pay them back; you will do whatever you can to pay them back. It may mean using reserves, cutting the budget, or eliminating programs to pay the amount back. If we ever had to raise the property tax you would not want to go over the cap. 

 

Councilmember Heimbuch noted there may be a citizen’s initiative to lower property tax. He asked what effect that would have if they happened simultaneously. City Manager Wrede responded it is a legal question, however, Council will want to make sure bond payments can be made without raising or affecting property taxes. The discussion next week will be to assure we can make bond payments without affecting services or raising property taxes. Councilmember Heimbuch commented he is amazed at how many people have come up to him and said this is enough. Mayor Hornaday concurred he is hearing the same thing. Councilmember Novak stated property taxes were reduced a while ago to 4.5%. There is no intention to raise property tax; if City Hall can’t be budgeted within the funds and projected revenues the project will be modified and scaled back. Councilmember Shadle noted in the past when we have put up bonds the public has been advised of the terms. City Manager Wrede answered the public will know as it is required by law.                                                                                 

 

B.         Bid Report   

                                                                                               

C.        Games Report                                                                                                 

 

COMMITTEE REPORT

           

A.        Comprehensive Plan Community Advisory Committee

 

B.         Public Arts Committee                                                                                     

            (Worksession February 21, 2008 at 10:00 a.m., Regular Meeting at 11:00 a.m.)

 

C.        Transportation Advisory Committee                                                                 

            (Regular Meeting February 19, 2008 at 5:30 p.m.)

 

D.        City Hall - Town Square Review Committee

            (Regular Meeting February 21, 2008 3:30 – 5:30 p.m.)

 

E.         Permanent Fund Committee                                                                             

            (Regular Meeting April 10, 2008 6:00 p.m.)

 

PENDING BUSINESS

 

None.

 

NEW BUSINESS

 

A.        Memorandum 07-159, from City Clerk, Re: Request for Executive Session pursuant   to AS §44.62.310(C)(2), Subjects that Tend To Prejudice the Reputation and      Character of any Person, Provided the Person may Request a Public Discussion.       (Councilmember Shadle’s Failure to Appear for Ethics Hearing) Conduct immediately               upon approval.                                                                                                         

 

Councilmember Shadle requested the Executive Session be heard in public.

 

Councilmember Wythe addressed Councilmember Shadle of the responsibilities of the Council to act on behalf of the public. Consideration of the lives and time of one another must be given. Six members of the Council worked with staff to coordinate the date for the ethics hearing; the seventh member did not show up. The lack of value for other members’ time and substantial expense to the citizens of the community borders on flagrant disregard for responsibility as a councilmember. Councilmembers Wythe and Roberts lost personal leave time; it cost the community the expense of staff and attorney time and loss of community faith in Council’s functions. Councilmember Wythe asked that the mistake be acknowledged so Council could move forward.

 

Councilmember Shadle responded the executive session was brought up on three different dates, including today and he now knows what the intentions were all along. His attorney advised him not to attend the ethics hearing.

 

Councilmember Novak admonished Councilmember Shadle for his failure to show up at the hearing that the people had called for him specifically. Councilmember Shadle’s attorney doesn’t work here and has nothing to do with Council. Councilmember Novak voiced it was totally irresponsible, not acceptable, and embarrassing that Councilmember Shadle can’t step up to the plate and say what needs to be said and deal with it. He added: When it comes to making choices you need to ask yourself, not your attorney. You need to be accountable and accept responsibility. You can’t pretend it didn’t happen, it happened and it was a real poor choice.

 

Councilmember Shadle responded to Councilmember Novak that he was really sorry he felt so strongly about it. Some of us are just perfect and don’t make any mistakes and do anything wrong.

 

Councilmember Roberts told Councilmember Shadle the Council had spoke eloquently; it was his responsibility to at least notify us you wouldn’t be here. The matter was not addressed before because you were not at the meetings.

 

Councilmember Shadle noted he was present at the September 24, 2007 meeting by phone, yet unanimously the matter was pulled. Councilmembers Novak and Wythe expressed the need for Councilmember Shadle to be present, face to face. Both Councilmembers Novak and Wythe said they were not expecting anyone to be perfect.

 

B.         Memorandum 08-17, from City Clerk, Re: Request for Executive Session Pursuant to AS §44.62.310(C)(1),Matters, the Immediate Knowledge of Which Would Clearly Have an Adverse Effect Upon the Finances of the Government Unit. (Legal Defense for Defendants Minsch, Shadle, Stark And Zak)

 

Mayor Hornaday called for a motion for the approval of the recommendations of Memorandum 08-17.            

 

WYTHE/NOVAK – SO MOVED.

 

There was no discussion.

 

VOTE: YES. NOVAK, ROBERTS, WYTHE

VOTE: NO. HEIMBUCH

 

Motion failed.

 

HEIMBUCH/WYTHE – MOVED FOR RECONSIDERATION.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

VOTE: (main motion) YES. WYTHE, NOVAK, HEIMBUCH, ROBERTS

 

Motion carried.

 

Council recessed to Executive Session at 8:32 p.m. and reconvened at 9:10 p.m.

 

Mayor Pro Tempore Novak related Council met with the City Attorney and received legal advice.        

 

RESOLUTIONS

 

A.        Resolution 08-14 Of the City Council of Homer, Alaska Authorizing an Application for            Funding to the Alaska Energy Authority’s Alternative Energy Grant Program for a        Preconstruction Grant to Assess the Feasibility of Developing Hydroelectric Power Using             City Water Lines. Novak. Recommend adoption.                                             

 

            Memorandum 08-16, from Public Works as backup.                                       

 

NOVAK/ROBERTS MOVED TO ADOPT RESOLUTION 08-14 BY READING OF TITLE ONLY.

 

Council discussed the opportunity to receive grant funds up to $100,000 for hydroelectric power using city water lines. The Public Works Director and HEA (Homer Electric Association) are excited about the possibilities. Much time and energy went into the development of the Climate Action Plan; authorization of an application for a grant is a further step.

 

Councilmember Heimbuch stated Councilmember Chesley requested postponement. Councilmember Novak noted the grant application is due February 11th so there was no time for postponement. 

 

City Manager Wrede and Public Works Director Meyer met with HEA General Manager Brad Janorschke, and he is willing to take the resolution to the HEA Board. A letter was written asking for HEA support, some of their staff time to talk to the consultant, and splitting a local match. The energy authority requires an approved total project cost. Mr. Janorschke will talk to HEA about splitting the local match.

 

VOTE: YES. ROBERTS, WYTHE, SHADLE, NOVAK, HEIMBUCH

 

Motion carried.

 

B.         Resolution 08-09, Of the City Council of Homer, Alaska Awarding the Contract for    Thermal Imaging Cameras to L.N. Curtis & Sons of Eagle River, Alaska in the Amount      of $16,691.50 and Authorizing the City Manager to Execute the Appropriate Documents.     City Clerk. Recommend adoption.                                                                   

 

            Memorandum 08-11 from Fire Chief as backup.                                              

 

Mayor Hornaday called for a motion for the adoption of Resolution 08-09 by reading of title only.

 

HEIMBUCH/NOVAK – SO MOVED.

 

The thermal imaging cameras were a budget line item for $25,000. Brief discussion ensued on the possibility of placing the savings in the sustainability fund. City Manager Wrede will follow up with Fire Chief Painter.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

C.        Resolution 08-13, Of the City Council of Homer, Alaska, Expressing its Opposition to            Adoption of the Proposed Alaska Marine Highway System (AMHS) 2008 Winter Ferry            Schedule for Southwest Alaska. Mayor. Recommend adoption.             

 

Mayor Hornaday called for a motion for the adoption of Resolution 08-13 by reading of title.

 

HEIMBUCH/NOVAK – MOVED TO ADOPT.

 

Councilmember Heimbuch noted the importance of the ferry system to southwestern communities. AMHS has taken great steps to mitigate the impacts to the communities. While we are actively seeking support and helping the city of Seldovia for other transportation alternatives, now is not the time to express opposition to the AMHS plan.

 

Councilmember Shadle supports the resolution as it is not just about Seldovia, but Kodiak too. AMHS spoke at the Chamber two weeks ago; they are $2.6M short. 

 

Mayor Hornaday noted the importance to Seldovia and stated we have to support the resolution.

 

Councilmember Heimbuch noted the Tustumena’s weekly operational costs are $250,000 versus revenue of $45,000. The Kennicott increases to $450,000 in weekly costs with revenue of $45,000. It is a huge difference, how can we talk about the State using money wisely and ignore the big subsidy?

 

Councilmember Novak noted the revenues are determined on the winter schedules.

 

City Manager Wrede said there may be other options such as smaller barges going back in forth.

 

Councilmember Heimbuch noted AMHS is hoping the down time on the Tustumena’s refurbishment will get communities up and rolling independently. Good things may happen from this. It may revert back to three western trips a year instead of ten or twelve.

 

VOTE: YES. HEIMBUCH, ROBERTS, WYTHE, SHADLE, NOVAK

 

Motion carried.

 

D.        Resolution 08-12, Of the City Council of Homer, Alaska Awarding the Contract for    Geotechnical Investigation for the New City Hall to Seabright Survey of Homer, Alaska     in the Amount of $22,500.00 and Authorizing the City Manager to Execute the            Appropriate Documents. City Manager/Public Works. Recommend adoption.

                                                                                                                                   

Councilmember Shadle previously declared his conflict of interest. He took a seat in the audience.

 

Mayor Hornaday called for a motion for the adoption of Resolution 08-12 by reading of title only.

 

WYTHE/NOVAK – SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UANNIMOUS CONSENT.

 

Motion carried.

 

COMMENTS OF THE AUDIENCE

 

Jim Preston, city resident since 1974, stated when he moved here the city reservoir was just started. He is concerned about future water supplies for the City. There may be plenty of water supply as the community grows, and in case of draught there is water rationing. He trusts the leadership of the City has ongoing plans of providing more water for the future. He asked for a copy of the report outlining water sources.

 

Dean Ravin, business owner in city, proposed sewer/water rate model#3 step in right direction. Commend city for revisiting rate structure, have brought down and will help. My proposed model – total cost of sewer and water service divided by total # used , customer charge = gallons used per dollar, w/encourage conservation. Ignoring any of the models on the table now in January are getting a waterbill on a flawed model. A rate increase happened for January business, will get water bill $218 + local city sales tax. Will make a lot of us unhappy, ask if going to take steps to repair damage. Encourage CC to hold onto bills, will be real crowded in CC chambers.

 

Stan Anderson, Homer resident, supports impeachment hearings that will establish facts and prove if administration violated a number of issues. Americans deserve to see the issues addressed in impeachment hearings. He asked Council to pass a resolution calling for impeachment hearings.

 

Kevin Hogan, city resident, commented the Port and Harbor Advisory Commission passed a resolution asking Council to consider land disposal in the Land Allocation Plan. He encouraged Council to visit the expense side of the water rates; a lot of attention has been paid to the revenue part. He recommended Council instruct administration to reduce expenses in water service by 1% a month for the next 20 months. He commented on the Lease Committee meeting of January 21st that was held in Executive Session, stating it was a violation of the Open Meetings Act. The Committee stated they had talked about a lot of things while in Executive Session. He would appreciate if a little more attention was paid to the rules and they were followed. The City Manager’s report says he was in attendance in Executive Session, yet eight months ago he was to be removed. He hopes the un-civility at the Council table is winding down; it is very hard to watch and he would like to see Council move beyond it.

 

Councilmember Heimbuch commented the Lease Committee is not operating with disapproval of the City Attorney. He asked Mr. Hogan what standard we should use? Mr. Hogan answered a judge may need to deal with it. There was no announcement of an Executive Session and no limitation of the business conducted. When the Committee came out of Executive Session they said they had discussed a whole range of things. Councilmember Heimbuch commented it could be interpreted as a learning experience for all of us. A public hearing is a step forward. Mr. Hogan would argue of the Lease Committee operating in good faith.

 

Judith James, Homer resident since 1952, expressed concern of the erosion of civil liberties in areas clearly forbidden by the Constitution. We are living in an increasing environment of fear and distrust. Constitution safeguards have been weakened and destroyed by the Bush administration. Initially it was faith based with tax money being used to fund religious activities. In 1973 the church and State confounded together; it is an alarming threat to liberty and conscience. It is time to wake up and exercise our duty to render unto Caesar that which is Caesar’s and until God that which is God’s.

 

Walter Johnson, Homer resident for 40 years, shares the concerns of Stan Anderson. The reckless fiscal policy of administration is a huge burden on our children and grandchildren. The ill advised war has tried the patience of friends. Stealing this much from our children is a high crime above a misdemeanor. Council’s passing a resolution expressing concern would be much appreciated.

 

George Meeker commented he appreciates the service the Council is rendering.`

 

COMMENTS OF THE CITY ATTORNEY

 

City Attorney Tans was not present.

 

COMMENTS OF THE CITY CLERK

 

City Clerk Johnson had no comments.

 

COMMENTS OF THE CITY MANAGER

 

City Manager Wrede announced a public meeting on January 29th at 7:00 p.m. at Islands and Ocean Visitor Center. The Planning and Zoning Department and Commission invites interested members of the development community, landowners and residents with problems near wetlands, creeks and steep slopes. Planning and Zoning is finishing a five-year grant project and one of the last pieces is to draft rules of building on steep slopes and wetlands. Contact Beth McKibben or Julie Engebretsen at 235-3106 for more information.

 

COMMENTS OF THE MAYOR

 

Mayor Hornaday had no comments.

 

COMMENTS OF THE CITY COUNCIL

 

Councilmember Novak commented on water rates. Council is working on adjusting the rates and customers will be getting a big bill for January. New rates started January 1st. If rates are restructured he would assume adjustments will be made. He anticipates it will balance out so customers are not spending money they don’t have to spend.

 

Councilmember Shadle thinks it would be a brilliant idea for getting billed for the water you use as the person commented tonight. It would serve for good conservational purposes, is simple and to the point. He thinks the people would support that.

 

Councilmember Wythe had no comment.

 

Councilmember Heimbuch stated it is hard for people who want to have a water rate based strictly by usage to come to grips with the fact that we subsidize the building of the system with our money. We will always have fixed source of what we do; this is common with municipalities. We have dense subdivisions and a five-mile long water line that serves a limited number of people that goes out the Spit. Sometime in the distant future, maybe 200 years from now, we still have fiscal constraints with extraordinary fixed costs.

 

Councilmember Roberts thanked Mayor Hornaday for going to Juneau to represent Homer. She thanked the Permanent Fund Committee for finishing up and selecting the firm to run the permanent fund. She commended Councilmember Shadle for having the courage to have his executive session in public. She thinks it helps the public at large to realize we are communicating and can deal with each other, talking in public.

 

ADJOURNMENT

 

There being no further business to come before the Council the meeting was adjourned at 9:54 p.m. by Mayor James C. Hornaday. The next Regular Meeting is scheduled for Monday, February 11, 2008 at 7 p.m. and the next Committee of the Whole is scheduled for Monday, February 11, 2008 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.

 

______________________________

JO JOHNSON, CMC, CITY CLERK

 

Approved: _____________________