Session 08-32 a Regular Meeting of the Homer City Council was called to order on November 24, 2008 at 7:01 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:         HOWARD, LEWIS, NOVAK, ROBERTS,                                                                  WYTHE, ZAK (telephonic)

 

                               STAFF:                                 CITY MANAGER WREDE

                                                                            CITY CLERK JOHNSON

                                                                            CITY PLANNER ABBOUD

                                                                            FINANCE DIRECTOR HARVILLE

                                                                            PORT & HARBOR DIRECTOR HAWKINS

                                                                            PUBLIC WORKS DIRECTOR MEYER

 

Council met as a Committee of the Whole from 4:02 p.m. to 5:21 p.m. Agenda items included: 2009 Budget and Regular Meeting Agenda items. Council met for a Special Meeting from 5:31 p.m. to 6:28 p.m. to hear the appeal filed by Lisa Vaughn of the City Manager’s denial of public records request.

 

Councilmember Zak has requested telephonic participation.

 

Council approved Councilmember Zak’s telephonic participation by unanimous consent.

 

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.)

 

The agenda was approved by consensus of the City Council with the following changes:

ANNOUNCEMENTS/PRESENTATIONS/BOROUGH REPORT/COMMISSION REPORTS - Report from Mayor Hornaday, Re: Alaska Municipal League Conference; PUBLIC HEARINGS - Ordinance 08-32 & 08-32(S) – Written public comment, Ordinance 08-50 – 2009 Proposed Budget Amendment from Councilmember Novak; ORDINANCES - Ordinance 08-57(S) Substitute.           

 

PUBLIC COMMENTS UPON MATTERS ALREADY ON THE AGENDA

 

Hardin Terrell, city resident, requested an amendment to City Code to allow for a hardship exemption for personal property taxes. The Borough passed an ordinance with no cap on property owners’ tax. His wife and he bought property in Homer in 1980; there was no property tax in the City or Borough. Seven years ago they annexed into the City and property taxes have escalated. The Borough has a hardship exemption and the Terrell’s have been successful in readjusting their property tax rate. He asked if there was an answer for a hardship exemption for property taxes within the City.  

 

Councilmember Roberts commented the Terrell’s home is owned by a trust, not by husband and wife. Mr. Terrell explained they have their home up for sale; they had no foresight it would lead to this. They purchased supplies locally to build the house and at the ages of 75 and 69 it is unrealistic to pay those types of taxes. He urged Council to take care of the senior citizens.

 

Elise Wolf, Homer resident, commented on Ordinance 08-54. She opposes a $2M expenditure for the Sterling Highway/Main Street intersection. Taking money from Town Center to build a street light in the center of Town Center is not good. She referenced a similar issue in Bend, Oregon. People complained about roundabouts, and learned to love them. They reduce traffic speed and commute times and don’t allow cars to sit and idle, creating less stink and stench. Ms. Wolf suggested putting stop signs out for a four way stop. She asked that Town Center on Main Street have nice plantings and art work.

 

Michael Craig, President of the Board of Directors for Pratt Museum, told Council it makes business sense for the City to support the Pratt. The museum draws tourists to the City, and brings non-fishing spouses to town. The Pratt collects sales tax on merchandise that is sold. For each dollar the City gives the museum, the Pratt brings in $9. Local support enables grants. Without the museum Homer would be less desirable as a tourist destination. 

 

Whitney Lowe, small business owner in Homer, commented on Resolution 08-116. Development is expedited and rushed due to the needs of the developer. Money is being diverted from other projects that could be used for some other things more appropriately. There are problems with the bad housing loans crisis and a rush to developers. There are other places where traffic problems need a much greater degree of attention.

 

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 October 27, 2008 Regular Meeting.           City Clerk.

 

Mayor Hornaday called for a motion for the adoption of the recommendations of the consent agenda as read.                                                                                                   

 

ROBERTS/NOVAK - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

VISITORS

 

None.

 

ANNOUNCEMENTS/PRESENTATIONS/BOROUGH    REPORT/COMMISSION REPORTS

 

A.        Report from Councilmember Roberts, Re: Alaska Municipal League Conference

                                                                                                                                   

B.         Letter from Governor Palin, Re: Alaska Municipal League Conference  

 

C.        Memorandum 08-155 from Economic Development Advisory Commission, Re:            Recommendation to Establish City Ombudsman Position                             

 

D.        Memorandum 08-156 from Economic Development Advisory Commission, Re:            Telephonic/Electronic Participation in Meetings                                              

 

E.         Memorandum 08-157 from Economic Development Advisory Commission, Re:            Problems With Interpretation of Alaska Open Meetings Act                 

 

F.         Report from Mayor Hornaday, Re: Alaska Municipal League Conference         

 

Michael Hawfield, Chair of the Library Advisory Board, gave an update on projects the Board is working on. Those include adoption of the library improvement plan, a sign on Heath Street, landscaping in the coming spring, developing a Homer High School group that will connect with the library in an advisory capacity, and more active youth participation.

 

PUBLIC HEARING(S)

 

A.        Ordinance 08-16(S), An Ordinance of the City Council of Homer, Alaska to Create a             Residency Incentive Credit Program. Heimbuch. Introduction April 28, 2008, Public            Hearing May 12, 2008 and November 24, 2008, and Second Reading November 24,      2008.                                                                                                              

 

Dean Ravin, Homer resident, opposes taking money from residents outside the City and giving it to the City residents. It will create a boycott from the outlying communities; people will be resistant to spending money inside Homer.

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-16(S) by reading of title only for second and final reading.

Ordinance failed for lack of a motion.

 

B.         Ordinance 08-32, An Ordinance of the City Council of Homer, Alaska, Amending       the Homer Sales Tax Code to Seasonally Exempt Sales of Non Prepared Food. Mayor.     Introduction July 28, 2008, Public Hearing and Second Reading November 24, 2008.  

 

            Ordinance 08-32(S), An Ordinance Enacting Homer City Code 9.16.100 to Exempt   Sales of Nonprepared Foods from September 1st through May 31st of Each Year and Incorporating in the Homer City Code All Other Sales Tax Exemptions Adopted by the      Kenai Peninsula Borough. Mayor.                                                                    

 

There was no public testimony.

 

Mayor Hornaday called for a motion to substitute Ordinance 08-32(S) for Ordinance 08-32.

 

NOVAK/WYTHE – SO MOVED.

 

Councilmember Wythe asked if Section 3 can be reinstated if the Borough sales tax exemption is found illegal or improper. Reinstating Section 3 from Ordinance 08-32 would not leave the City hanging; the City would follow what is happening at the Borough level.

 

Attorney Suozzo advised the language used in HCC 9.16.100(a) could be used with reference to reduced tax rate. She advised the following verbiage be placed in Ordinance 08-32(S): THIS EXEMPTION ON NONPREPARED FOOD ITEMS SHALL NO LONGER BE EFFECTIVE IF THE BOROUGH’S EXEMPTION ON NONPREPARED FOODS FROM ITS SALES TAX IS REPEALED OR OVERTURNED.

 

WYTHE/NOVAK (motion as stated by Attorney Suozzo) – SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

WYTHE/ROBERTS - MOVED TO AMEND 2ND WHEREAS TO READ: WHEREAS THE CITY OF HOMER BELIEVES IT IS APPROPRIATE TO EXEMPT THE SALES OF NONPREPARED FOODS FROM TAXATION FROM SEPTEMBER 1 THROUGH MAY 31ST.

 

Councilmember Wythe commented although it is not in the City’s best interest, it is based on the will of the voters.

 

Councilmember Zak will not be favoring either ordinance as Council is splitting hairs for non-prepared foods and then again with seasonal sales tax exemption of nonprepared foods. He favors leaving the sales tax intact so deep ramifications will not be felt in the budget.

NOVAK/ROBERTS – MOVED TO POSTPONE ORDINANCE 08-32(S) TO DECEMBER 8TH.

 

Objection was voiced.

 

VOTE: (postponement) YES. ROBERTS, ZAK, NOVAK, LEWIS

VOTE: NO. WYTHE, HOWARD

 

Motion carried.

 

C.        Ordinance 08-45, An Ordinance of the City Council of Homer, Alaska, Amending the             FY 2008 Harbor Reserves Budget by Authorizing the Expenditure of $30,000 for Deep   Water Dock Security Gates. City Manager/Public Works. Introduction August 25, 2008, Public Hearing and Second Reading November 24, 2008.        

 

There was no public testimony.

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-45 by reading of title only for second and final reading.                       

 

ROBERTS/NOVAK - SO MOVED.

 

Councilmember Novak commented on the Federal mandate for security gates. He questioned if Federal funds were available. City Manager Wrede responded there is a new Homeland Security grant. He recommended Council postpone the ordinance to allow time to secure the grant.

 

NOVAK/ROBERTS - MOVED TO POSTPONE.

 

WYTHE/NOVAK - MOVED TO AMEND THE POSTPONEMENT TO THE FIRST MEETING IN MARCH.

 

There was no discussion.

 

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

 

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

 

Motion carried.

 

D.        Ordinance 08-50, An Ordinance of the City Council of Homer, Alaska, Appropriating             Funds   for the Calendar Year 2009 for the General Fund, the Water-Sewer Fund, the             Port/Harbor      Fund, Debt Funds, Capital Reserve Funds (Conditional Expenditures).       City Manager. Introduction October 27, 2008, Public Hearings November 24 and December 8, 2008 and Second Reading December 8, 2008.                             

 

Fred Lau, Director of Homer Senior Citizens, asked for support at the same level as last year. He cited the significant economic impact in the community. He appreciates Council’s discussion on ways to support nonprofit entities. Mr. Lau requested operating budgets of 18 different nonprofits; 14 of the 18 operate on $13M. The City’s operating fund is $18M. He appreciates the Council’s support of nonprofits through the Homer Foundation. At the present rate it will take 16 years before the fund will even fund at the current level.

 

Michael Hawfield, Chair of the Library Advisory Board, reported the Board’s discussions on budgetary issues. The LAB encourages Council to approve the library budget as submitted. Book purchases are necessary in keeping with the survey results of the library. Extended operating hours were the main suggestion.

 

Mary Oldham, city resident, commented on the Pratt Museum budget. The City provides 12% ($90,000) of the operating budget and in turn the museum puts over $800,000 into the community. It works in the City’s favor; it is the best interest to keep it flowing. Grant proposals require community support. The museum is nationally known and does wonderful things; the Smithsonian uses the Pratt as a start-up pattern. In 1980 the City provided $133,000 per year. The dollar has dropped by 65% since then. The museum has an exceptionally good staff and huge education program. It draws people from all over.

 

Marilyn Sigman, Director of Alaskan Coastal Studies, thanked Council for their diligence and responsibility to the community. Nonprofits do much with so little; it is a thin line between so little to too little. She urged Council to continue the nonprofit program and operational dollars it gives to the Homer Foundation. The support is valuable because it can match Federal and State dollars. Nonprofits provide programs and education, attracting many visitors. Ms. Sigman thanked Council in their efforts to keep water and sewer rates down.

 

Dave Brann, city resident, and member of Kachemak Nordic Ski Club, supports all nonprofits. Thousands of hours from each nonprofit make Homer a unique community. Sometimes when there is no money there is some place to find money or work to get money. He encouraged Council to find money to support nonprofits to whatever level possible. The Ski Club provides opportunities at low cost, supports local businesses, initiates large projects, and brings money into the community thus providing work for individuals. Trail projects are ongoing, with a big donation from Dibble Creek Rock for a better trail. The club contributes value to the community instead of funds.

 

Molly Brann, city resident and Boardmember of Kachemak Nordic Ski Club, noted their operating budget of $45,000. The club constructs, maintains and grooms about 50 miles of ski trails in the Homer area. The club contributes greatly to the quality of life in Homer. Fundraising is up to $15,000; funds from the City provide for grants. Trails, over time, create increased use which makes costs grow.

 

Hope Finkelstein, Executive Director of Homer Arts, described the bleak scenario of cutting the budget to the nonprofit sector. Funding to nonprofits is a good return on the investments. Homer is the arts capital of Alaska and one of the top 100 art towns in America. Homer attracts cultural creatives from all over the world to visit and reside. Homer not for profit arts community contributes over $2.6 M to the local economy.

 

Dean Ravin, Homer resident, remarked that the $11.5M budget is the highest it’s ever been in Homer, with less people. Homer’s population peaked in 2003 at 5,877; the last quarter of 2007 it was 5,502. The per capita budget has doubled in 10 years. There are more hands out, more dollars, and fewer people. The median age has gone up 6.5 years in the last decade. We are not creating opportunities for young people. School enrollment is down 18%, families are leaving and the population is aging. He asked Council to think about young people in the community.

 

Councilmember Wythe commented the 2009 budget is lower than the 2008 budget. The projected budget is $11.2M; last year it was just over $12M.

 

Rika Mouw, President of the Bunnell Street Arts Center, cautioned it is the worst time to cut monies. In tight financial times the leverage is like a savings account. For each dollar the City spends, they get $14 back. Nonprofits are not putting their hands out; the City is just helping with the job to make the City an incredible place. There are dozens of quality jobs the nonprofit community provides. Mrs. Mouw asked Council to re-proportion funds to the Homer Foundation as the endowment has a low return. More money should be given up front.

 

Heather Beggs, Director of Pratt Museum, testified City funding is an investment in kids’ future in Homer. All nonprofits are providing educational opportunities not easily provided by the Borough school district at this time. The Pratt employs high school interns; some have returned with college degrees to work at the museum. This summer there were four kids with degrees working at the Pratt.

 

Gaye Wolfe, Homer resident, read a letter from Asia Freeman supporting nonprofits.

 

E.         Ordinance 08-51(A), An Ordinance of the City Council of Homer, Alaska, Accepting and Appropriating an Alaska Energy Authority (AEA) Grant in the Amount of            $31,200 for Pre-Construction Services for the Homer Water Main Hydropower         Project, and Authorizing the City Manager to Execute the Appropriate Documents.       City Manager/Public Works. Introduction October 27, 2008, Public Hearing and Second     Reading November 24, 2008.                                                                          

           

            Memorandum 08-146 from Public Works Director as backup.

 

            Ordinance 08-51(A)(S), An Ordinance of the City Council of Homer, Alaska, Accepting         and Appropriating an Alaska Energy Authority (AEA) Grant in the Amount of        $31,200 for Pre-Construction Services for the Homer Water Main Hydropower         Project, and Authorizing the City Manager to Execute the Appropriate Documents.       City Manager/Public Works. Introduction October 27, 2008, Public Hearing and Second     Reading November 24, 2008.  

 

There was no public testimony.            

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-51(A) by reading of title only for second and final reading.

 

WYTHE/ROBERTS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

F.         Ordinance 08-52(A), An Ordinance of the City Council of Homer, Alaska,      Appropriating a Local Match in the Amount of $7,800 for the Alaska Energy Authority       Grant for Turbine Electrical Generators in the Water Distribution System and       Authorizing the City Manager to Execute the Appropriate Documents. City        Manager/Public Works. Introduction      October 27, 2008, Public Hearing and Second             Reading November 24, 2008.                                                              

 

            Ordinance 08-52(A)(S), An Ordinance of the City Council of Homer, Alaska,             Appropriating a Local Match in the Amount of $7,800 for Pre-Construction Services for         the Homer Water Main Hydropower Project and Authorizing the City Manager to            Execute the Appropriate Documents. City Manager/Public Works. Introduction             October 27, 2008, Public Hearing and Second Reading November 24, 2008.

                                                                                                                                   

There was no public testimony.

 

Mayor Hornaday called for a motion to substitute Ordinance 08-52(A)(S) for Ordinance 08-52(A).

 

ROBERTS/WYTHE - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-52(A)(S) by reading of title only for second and final reading.

 

WYTHE/NOVAK - SO MOVED.

 

Councilmember Novak suggested HEA may provide matching funds.

 

City Manager Wrede stated HEA will be splitting the money with the City.

 

NOVAK – MOVED TO POSTPONE UNTIL WE CAN CLARIFY THE FUNDING.

 

Motion died for lack of a second.

 

NOVAK/ZAK - MOVED TO POSTPONE TO ASK ASSISTANCE FROM HEA.

 

Councilmember Wythe declared a possible conflict of interest due to her employment with Homer Electric.

 

Attorney Suozzo advised Councilmember Wythe should refrain from discussion. If discussion ensues on securing funds from HEA, Councilmember Wythe should recuse herself.

 

City Manager Wrede stated postponing the ordinance delays getting on with the work.

 

VOTE: (postponement) NO. LEWIS, ROBERTS, ZAK, HOWARD, NOVAK (Councilmember Wythe did not vote)

 

Motion failed.

 

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

 

Motion carried.

 

Councilmember Roberts called for a point of order as to Ordinance 08-51(A)(S). She questioned if the substitute was passed. City Clerk Johnson advised the substitute was not passed.

 

WYTHE/ROBERTS – MOVED FOR IMMEDIATE RECONSIDERATION OF ORDINANCE 08-51(A).

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

WYTHE/NOVAK - MOVED TO SUBSTITUTE ORDINANCE 08-51(A)(S) FOR ORDINANCE 08-51(A).

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

WYTHE/LEWIS - MOVED TO ADOPT ORDINANCE 08-51(S)(A) BY READING OF TITLE.

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

G.        Ordinance 08-53, An Ordinance of the City Council of Homer, Alaska, Amending the             FY 2008 Operating Budget by Appropriating Fifteen Thousand Dollars ($15,000) to           the Homer Chamber of Commerce as Seed Money to Help the Chamber Expand Services to Small Businesses. Wythe.      Introduction October 27, 2008, Public Hearing and Second             Reading November 24, 2008.                                                                          

 

Tina Day, Executive Director of Homer Chamber of Commerce, commented the Chamber’s Economic Development Committee is working to implement economic development growth. The funds will go towards expanding the small business development resource library and will help stimulate economic growth in Homer. Ms. Day thanked Councilmember Wythe for bringing the ordinance forward.

 

City Attorney Suozzo recommended changing the date on the ordinance to November.

 

WYTHE/NOVAK – MOVED FOR THE APPROVAL OF ORDINANCE 08-53.

 

WYTHE/ROBERTS – MOVED TO AMEND TO THE 24TH DAY OF NOVEMBER, 2008.

 

There was no discussion.

 

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

 

Motion carried.

 

HOWARD – MOVED TO POSTPONE TO DECEMBER 8TH.

 

Motion died for lack of a second.

 

VOTE: (main motion as amended) YES. NOVAK, LEWIS, ROBERTS, WYTHE, ZAK

VOTE: NO. HOWARD

 

Motion carried.

 

H.        Ordinance 08-54, An Ordinance of the City Council of Homer, Alaska, Accepting and            Appropriating a FY 2009 Legislative Grant in the Amount of Two Million Dollars     ($2,000,000) for the Main Street Intersection/Reconstruction Project. City Manager.       Introduction October 27, 2008, Public Hearing and Second Reading November 24, 2008.                                                                                                              

 

            Ordinance 08-54(S), An Ordinance of the City Council of Homer, Alaska, Accepting and        Appropriating a FY 2009 Legislative Grant in the Amount of Two Million Dollars     ($2,000,000) for the Main Street Intersection/Reconstruction Project. City Manager.      

                                                                                                                                   

Elise Wolf, Homer resident, again spoke in opposition to a $2M street light in the middle of Town Center. She would like to see how the money was originally granted.

 

Councilmember Wythe explained the $2M was in the capital budget for City Hall and Town Center. When the voters rejected the ballot measure the funds were re-appropriated to Main Street.

 

City Manager Wrede added Council talked about the reallocation in length a couple weeks ago, While DOT prefers a roundabout, there is not enough money in the next decade to fund it. Council decided to do something sooner rather than later.

 

Mayor Hornaday called for a motion to substitute Ordinance 08-54(S) for Ordinance 08-54.

 

WYTHE/NOVAK – SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-54(S) by reading of title only for second and final reading.

 

WYTHE/LEWIS – SO MOVED.

 

Councilmember Novak expressed hesitation of spending $2M for a stoplight. He asked that other options be explored.

 

Councilmember Wythe called for a point of order as Council is just accepting money.

 

City Manager Wrede advised discussion is needed with DOT to see how it will be done. Will the City be doing the work or DOT? The preliminary estimate on a stoplight is $2M for engineering, design, permitting, underground utilities, turn lanes, pedestrian lines, and computers.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

I.          Ordinance 08-55, An Ordinance of the City Council of Homer, Alaska, Accepting and            Appropriating a FY 2009 Legislative Grant in the Amount of One Hundred and Fifty            Thousand Dollars ($150,000) for the Spit Trail/Harbor Pathways Project. City Manager. Introduction October 27, 2008, Public Hearing and Second      Reading November 24, 2008.

                                                                                                                                   

There was no public testimony.

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-55 by reading of title only for second and final reading.

 

WYTHE/LEWIS SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

Mayor Hornaday called for a recess at 8:35 p.m. and reconvened the meeting at 8:40 p.m.       

 

ORDINANCE(S)

 

A.        Ordinance 08-56, An Ordinance of the City Council of Homer, Alaska, Amending       Homer City Code 21.60 Sign Code to Include the Town Center District and       Correcting Table 1 to Include the Marine Commercial District. City             Manager/Planning. Recommended        Dates:   Introduction November 24, 2008, Public          Hearing and Second Reading December 8, 2008.                                        

 

            Memorandum 08-148, from City Planner as backup.   

 

Mayor Hornaday called for a    motion for the adoption of Ordinance 08-56 for introduction and first reading by reading of title only.                      

 

WYTHE/LEWIS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

B.         Ordinance 08-57, An Ordinance of the City Council of Homer, Alaska Amending the Official Road             Maintenance Map of the City of Homer by Adding 1,150 Linear Feet of           Road    Improvements to Daybreeze Court and Calamari Court, or .19 Miles of Urban          Road.   City Clerk/Public Works.  Recommended Dates: Introduction November 24,       2008,   Public Hearing and Second Reading December 8, 2008.                      

 

            Memorandum 08-149, from City Clerk as backup.                                          

            Memorandum 07-13, from Public Works Director as backup.              

 

            Ordinance 08-57(S), An Ordinance of the City Council of Homer, Alaska Amending the          Official Road             Maintenance Map of the City of Homer by Adding 1,150 Linear Feet of           Road    Improvements to Daybreeze Court and Calamari Court, or .22 Miles of Urban          Road.   City Clerk/Public Works.  Recommended Dates: Introduction November 24,       2008,   Public Hearing and Second Reading December 8, 2008.

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-57(S) for introduction and first reading by reading of title only.

 

Councilmember Wythe called for a point of order if Ordinance 08-57 needed to be introduced before substituting Ordinance 08-57(S). City Clerk Johnson advised only Ordinance 08-57(S) would need introduction.

 

WYTHE/ROBERTS – SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

C.        Ordinance 08-58, An Ordinance Amending Homer City Code 4.01.080 to Permit Sales          of Alcoholic Beverages in the City on all State and Local Election Days. City            Manager/City Clerk.  Recommended Dates: Introduction November 24, 2008, Public          Hearing and Second Reading December 8, 2008.        

 

Mayor Hornaday called for a    motion for the adoption of Ordinance 08-58 for introduction and first reading by reading of title only.                      

 

ROBERTS/LEWIS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

D.        Ordinance 08-59 An Ordinance of the City Council of Homer, Alaska, Continuing the Levy of a Sales Tax Under HCC 9.16.010 on Sales of Nonprepared Foods in the City of   Homer, but Reducing the Rate of the Sales Tax Levied on Nonprepared Foods Under      HCC 9.16.010(a) from 3.0% to 1.5% During the Period from September 1st through May             31st. Novak/Roberts. Recommended    Dates:   Introduction November 24, 2008, Public          Hearing and Second Reading December 8, 2008.                                        

 

Attorney Suozzo advised City Attorney Klinkner and she spent a lot of time researching the appropriateness of the ordinance. It is their interpretation it is legally valid. There have been issues raised by the Borough. Ms. Suozzo spoke with the Borough’s attorney office and they believe it is questionable. The Borough has concerns the City may be facing a legal battle. The Borough’s concern is not with the implementation, it is with a reduced rate of tax. The Borough feels it is all or nothing; it is questionable whether the City has the authority to tax at a reduced rate.

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-59 for introduction and first reading by reading of title only.

 

NOVAK/ROBERTS – SO MOVED.

 

There was no discussion.

 

VOTE: YES. NOVAK, LEWIS, ROBERTS

VOTE: NO. HOWARD, WYTHE, ZAK

 

Mayor Hornaday broke the tie vote with a YES.

 

Motion carried.

 

E.         Ordinance 08-60, An Ordinance of the Homer City Council, Amending Homer City     Code    Chapter 21.71 to Include the Community Design Manual as Part of the Review   Criteria for a Conditional Use Permit, and Chapter 21.02 to Include the Homer Non-        Motorized Transportation and Trail Plan, the Homer Town Center Development Plan         and the Homer Transportation Plan as Parts of the Adopted Comprehensive Plan. City             Manager/City Planner.   Recommended Dates: Introduction November 24, 2008, Public           Hearing and Second Reading December 8, 2008.                

 

Mayor Hornaday called for a motion for the adoption of Ordinance 08-60 for introduction and first reading by reading of title only.

 

NOVAK/LEWIS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

F.         Ordinance 08-61, An Ordinance of the City Council of Homer, Alaska, Amending the FY 2008 Operating Budget in the Amount of $432,178.79 ($212,795.36 General Fund, $141,978.87 Water and Sewer Fund, $77,404.57 Port and Harbor Fund). City Manager/Finance. Recommended Dates: Introduction November 24, 2008, Public Hearing and Second Reading December 8, 2008.                                                         

Mayor Hornaday called for a motion for the adoption of Ordinance 08-61 for introduction and first reading by reading of title only.

 

NOVAK/ROBERTS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

CITY MANAGER’S REPORT

 

A.        City Manager’s Report                                                                        

 

1.                  Correspondence from Hardin & Joan Terrell, Re: Payment of Property Taxes

 

  1. AEA Grant Application / Expanded Scope of Work: At the last meeting, the Council adopted a Resolution that authorized the City administration to apply for a grant from the Alaska Energy Authority to study the feasibility of harnessing tidal power near the Spit. This action is consistent with the adopted Climate Action Plan. Subsequent to adoption of the resolution, the City consultant, Brian Hirsch, advised us that he thought the City could achieve greater overall benefit, economy of scale, and improve the chances of getting the grant awarded if we broadened the scope within Kachemak Bay and brought in other communities and agencies. I approved this expanded scope provided that the objectives of the Council and the Climate Action Plan were always the primary consideration and that no additional matching funds were required. The result is what I think is a truly exciting proposal. The City’s application now requests a feasibility study for four different sites (two near the Spit) in Kachemak Bay. It proposes a broad collaboration between the City, NOAA, KBRR, HEA, Seldovia, and Nanwalek. Three top- notch consulting firms are involved. A substantial in-kind match is being provided by all participants; especially NOAA. A copy of the application is attached for your information.  
  2. Pratt Deferred Assessment: At the last meeting, Council declined a request by the Pratt Museum for a deferred assessment on the Spruceview LID project. It did so upon the advice of the City Attorney and his reading of the relevant section of the code. The City has subsequently received a letter from the Pratt objecting to the Council action. I have shared this letter with the City attorney and discussed the specific circumstances with him. A resolution amending the last one and providing for a deferred assessment for the Pratt will be on the Agenda for Council consideration at the first meeting in January.
  3. Corps of Engineers/ Potential Grant Money: In the last Manager’s Report, I informed you that the staff was looking at the possibility of applying for a grant from the Corps of Engineers to study erosion and sediment transport along the Spit and adjacent areas. The idea is to look at opportunities for environmental restoration, protection, and storm damage reduction. We decided to go ahead and apply for the funding. The Corps of Engineers would do the work. A cover letter requesting a Preliminary Restoration Plan under the Beneficial Uses of Dredged Materials Program is attached for your information. Please let me know if you have any questions. We think this program might be very helpful to the City, not only along the Spit, but also along the Seawall and rapidly eroding areas such as Kachemak Drive.   
  4. Garbage Collection RFP: An RFP for garbage collection services is presently available for those companies interested in providing this service. The RFP allows interested companies to bid on both garbage collection on the Spit and garbage collection in town for City owned facilities. The RFP encourages companies to provide proposals that include equipment and operational plans which reduce litter, are user friendly, and make it harder for bears, birds, and other scavengers to get into garbage. The closing date for proposals is in early December. We will ask the Council to award a contract at the first meeting in January.
  5. Seawall Insurance Claim: The City Insurance Company, AML/JIA has approved the City’s amended insurance claim. The total damage claim approved was $95,371.39. There is a $50,000 deductible. So we will receive a check in the amount of $45,371.39 sometime soon. The City has already paid its share of the deductible ($15,000) and some of the property owners have as well. The Homeowners Association was scheduled to meet on November 10 to discuss how to raise the remainder of the deductible.
  6. Personnel Policies: The revised personnel policies are about to undergo a second 30 - day review by the employees. We had planned to have the new draft of the document to the Council by this meeting for approval. However, Sheri and City Attorney Holly Suozzo commenced a second, more comprehensive overhaul of the policies which took a great deal of time. The second set of amendments are extensive enough to require another review by employees. The idea behind this second revision was to reorganize the document and make sure it was internally consistent, eliminate redundancy, make it more user friendly, and update it with respect to rapidly changing state and federal laws. The Personnel Policies, much like the City Code, have been revised periodically over the years to address specific problems or areas of interest. We are now taking a step back, and looking at the document as a whole. I believe this will produce a much better document. We plan to bring it to the Council at the first meeting in January. We concluded that this delay was probably a good thing anyway since Council has enough on its plate right now with the budget.
  7. Drug Sniffing Dog Revisited: Some Council members may recall that not too long ago, we had a serious discussion about whether the Homer Police Department should invest in a police dog trained to sniff out drugs. There were several local organizations who offered to help with the cost of training and care. After much discussion, it was decided that it would be best to have the dog stationed with the Troopers in Anchor Point. The Troopers had a greater need for the dog and appeared to have the necessary resources to begin such a program. The Troopers agreed to make the dog and its handler available to the City whenever it was needed. This has not worked out as planned. Chief Robl reports that drug cases have spiked significantly here in the last eight months and enforcement would have been much easier if the dog was available. The Troopers are experiencing budget issues and a shortage of resources. They have refused to allow the handlers to work overtime on Homer cases. As a result, the dogs is frequently not available and is not being used enough to keep it trained properly and build up its record of successes. The Chief is taking a second look at getting a dog stationed here. I asked him to compile what he thinks it would cost in terms of money and resources and what the potential benefits would be. We will be making a report to Council soon, probably in early January. 
  8. Port and Harbor Commission Request for Sales Tax Revenues: The Port and Harbor Commission recently asked staff to draft a resolution for Council consideration that would dedicate sales tax money generated through transactions at the port and harbor to the Port and Harbor Enterprise Fund. The revenue would go into the Enterprise Fund Depreciation Reserves and used for major repairs and new construction. We have delayed bringing the resolution to you at this meeting because we are not entirely clear about the intent of the Commission. Understanding the intent will have a major impact upon how the resolution is written and whether or not an ordinance and a vote of the people is required. I plan to attend the Port and Harbor Commission meeting on November 26 to discuss this with them.
  9. Jack Gist Park / Disk Golf Information: Several meetings ago, the Council adopted a resolution which approved Disk Golf as an approved use at Jack Gist Park. Upon passage, the Council requested that the Association provide it with additional information regarding the course layout, the project budget, and what specifically the Association would take responsibility for. The Association has submitted the requested information and it is attached. Public Works has reviewed this plan and has expressed some concern about the course (wetlands, drainage, access issues) and expenses incurred by the City. The course layout can be adjusted. We plan to have more information about that costs borne by the City at the meeting (snow plowing, garbage collection, bathrooms, etc).  
  10. Engine 2 has Arrived: The new fire engine has arrived and was “christened” by Mayor Hornaday at a small ceremony on November 8. The Fire Department is very happy with the new apparatus and it has already responded to several fires. Engine 4, the one we hope to refurbish and station at the proposed Skyline Station is presently being housed at the McNeil Station and is available for duty if needed.
  11. FY 2009 Budget Disclosures: There are several potential conflict of interest disclosures that I want to make before we start discussing the FY 2009 Budget. I will bring these disclosures up during the meeting(s) but thought it was important to get them on the record sooner rather than later. First, my spouse Mary is a member of the Pratt Museum Board of Directors. While I have no direct financial interest in how much the City might provide in funding to the Pratt, some might conclude that it would be difficult for me to be unbiased. Second, Mary is a member of the Homer Volunteer Fire Department (volunteer EMT). So, there are some items in the Fire Department Budget that may benefit Mary and I directly. Those items are all included in the Volunteer Incentive Program which includes things a savings bond and gift cards that can be used for fuel.
  12. East End Road Improvements: Attached is a letter from DOT/PF regarding the next phase of improvements to East End Road. The State is proposing to move the bike trail to the other side of the road in the next phase for a variety of reasons. This will require a crosswalk or other pedestrian improvement inside the City limits, just before the intersection of East End Road and Kachemak Drive. The State has asked the City to assist in gathering public comments. Carey is placing this issue on the next agenda for the Transportation Committee. Let us know if you have comments or other suggestions about how we can make sure the public gets a chance to weigh in.
  13. APOC Hearing. This week I will be traveling to Anchorage to participate in the APOC hearing. You may recall that Frank Griswold filed a complaint in which he stated that the City’s Question and Answer Brochure (The special election regarding the bond sale) was biased and partisan and that the Council never appropriated money for that purpose as required by law. We disagree. The APOC investigator has issued his report and he concludes that the City did not do anything wrong. He recommends that the APOC Board dismiss the case. We’ll see what the Board does.     

 

City Manager Wrede reported he will present a resolution at the December meeting from the Port and Harbor Advisory Commission regarding the use of sales tax generated on the Spit. An update was provided on the APOC hearing from last week. Mr. Griswold presented more evidence and the material will be given to the attorneys. Another hearing will be held. Costs to plow the road and provide a temporary restroom for the disc golf course at Jack Gist Park will be forthcoming. Staff was commended for the ADA grant application.

 

B.         Bid Report   

                                                                                                           

C.        Games Report                                                                                                 

           

D.        Question of the Week                                                                                      

 

COMMITTEE REPORT

           

A.        Public Arts Committee                                                                         

 

B.         Transportation Advisory Committee                                                                 

 

C.        Permanent Fund Committee

 

D.        Lease Committee                                                                                             

 

E.         Alaska Statehood Anniversary Committee                                                        

 

PENDING BUSINESS

 

NEW BUSINESS

 

A.        Memorandum 08-150, from City Clerk, Re: Deferred Assessment for Davis,   Spruceview Road Reconstruction and Paving Improvement District.

 

Mayor Hornaday called for a motion for the approval of the recommendations of Memorandum 08-150.

           

NOVAK/ROBERTS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

 

B.         Memorandum 08-151, from Mayor Hornaday, Re:     Appointment of Kent Haina to the         Advisory Planning Commission and Appointment of Marianne Aplin to the Public Arts       Committee.

 

Mayor Hornaday called for a motion for the approval of the recommendations of Memorandum 08-151.                                                                                  

HOWARD/ROBERTS – SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

C.        Memorandum 08-152, 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 as a Unit. (Baycrest Country Club Estates)

 

ROBERTS/HOWARD - MOVED THAT MEMORANDUM 08-152 BE MOVED TO THE END OF THE AGENDA AFTER RESOLUTION F.     

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

RESOLUTIONS

 

A.        Resolution 08-115, A Resolution of the City Council of Homer, Alaska, Expressing its             Continued Support for Consolidation of the Kachemak Bay Campus and Acquisition of      the City Hall Building by the University; but Clarifying that the City is not in a Position          to Vacate City Hall within the next Five Years. Council.

 

Mayor Hornaday called for a motion for the adoption of Resolution 08-115 by reading of title only.                              

 

Councilmember Lewis declared his conflict of interest, as he works for the college.

 

Mayor Hornaday ruled Councilmember Lewis did have a conflict of interest and Mr. Lewis stepped down from the table.

 

WYTHE/NOVAK – SO MOVED.

 

NOVAK/ROBERTS - MOVED TO AMEND THE TITLE TO INSERT THE WORD “CURRENTLY” BEFORE THE WORD “NOT” AND PUT A PERIOD AFTER THE WORD “HALL” AND DELETE “WITHIN THE NEXT FIVE YEARS”. I WOULD LIKE TO GO DOWN TO THE FURTHER RESOLVED AND PUT A PERIOD AFTER CITY HALL AND DELETE “WITHIN THE NEXT FIVE YEARS” AND LAST I WOULD LIKE TO GO OVER TO THE FINAL BE IT FURTHER RESOLVED AND AFTER IT SAYS THE UNIVERSITY TO, I WOULD LIKE TO DELETE EVERYTHING AFTER THE WORD “TO” AND INSERT “CONSOLIDATE AND EXPAND ITS CAMPUS AND PROGRAMS”.

 

There was no discussion.

 

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

 

Motion carried.

 

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

 

Motion carried.

 

B.         Resolution 08-116, A Resolution of the City Council of Homer, Alaska, Expressing its             Support for Traffic Control and Intersection Improvements at the Intersection of Homer      Spit Road, Kachemak Drive, and the Proposed Lighthouse Village Drive. Zak.

 

Mayor Hornaday called for a motion for the adoption of Resolution 08-116 by reading of title only.

                                                                                                                                   

WYTHE/HOWARD - SO MOVED.

 

At 8:58 p.m. telephonic communication with Councilmember Zak was lost.

 

Councilmember Novak expressed opposition to the resolution, stating it was not a community priority but rather a special interest. Councilmember Roberts concurred it was not on the CIP list and is not DOT’s highest priority.

 

WYTHE/LEWIS - MOVED TO POSTPONE TO THE FIRST MEETING IN JANUARY.

 

Councilmember Zak will be present to defend the resolution.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

C.        Resolution 08-117, A Resolution of the Homer City Council Adopting an        Alternative        Allocation Method for the FY 09 Shared Fisheries Business Tax Program   and Certifying   that this Allocation Method Fairly Represents the Distribution of Significant Effects of       Fisheries Business Activity in the Cook Inlet Fisheries Management Area.          City Manager.

Mayor Hornaday called for a motion for the adoption of Resolution 08-117 by reading of title only.

                                                                                                                                   

WYTHE/ROBERTS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

D.        Resolution 08-118, A Resolution of the City Council of Homer, Alaska, Awarding the             Contract for Pre-Construction Services for the Homer Water Main Hydro-Power Project           to the Firm of Bristol Environmental and Engineering Services Corporation of      Anchorage, Alaska, in the Amount of $39,000 and Authorizing the City Manager to             Execute the Appropriate Documents. City Manager/Public Works.                   

 

            Memorandum 08-153, from Public Works Director as backup.

 

Mayor Hornaday called for a motion for the adoption of Resolution 08-118 by reading of title only.      

 

WYTHE/LEWIS - SO MOVED.

 

Councilmember Novak questioned the one proposal at the $39,000 rate. There is nothing to back it up that talks about dollars.

 

Public Works Director Meyer stated the $39,000 is for preconstruction services for the contract. The project is outside the normal box; no one knows if it is feasible or not. The purpose of the grant is to provide a preliminary design. Based on discussion, he believes the design can be completed for $39,000. Whether it is deliverable will depend on something that will work.

 

Asked how HEA could contribute matching monies, Public Works Director Meyer explained HEA will be willing to share in matching design costs and in construction of the project. Whatever is built on the water system has to be connected to HEA.

 

Councilmember Wythe asked if Bristol Environmental and Engineering Services Corporation has done design work on small hydropower in water systems before. Public Works Director Meyer said Bristol has put together a team that has done work on the water system. Asked if there was a second opinion on Bristol’s qualifications due to the absence of a bid, Mr. Meyer answered that having reviewed RFPs for a long time, these guys are credible. They have a term contract to provide services like this and are uniquely qualified to understand how the water system is connected. The third person on their team is someone who has designed and installed turbine generators on municipal waterlines.

 

Councilmember Roberts expressed her confidence in moving forward. With the majority of the funding granted, the City’s portion is $7,800. If the project is viable it is worth looking at sooner than later.

 

City Manager Wrede commented HEA is supportive and in-kind contributions will follow. Initially the focus will be if the turbines work in the water line. HEA will be involved in hooking it up to the grid.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

E.         Resolution 08-119, A Resolution of the City Council of Homer, Alaska, Amending Kachemak Drive Phase I Water And Sewer Improvements Assessment Roll Exempting Lot 01 Blk 300, Kenai Peninsula Borough Parcel No. 179-401-04 Leased by the Alaska Department of Fish and Game (ADF&G) on which the Wildlife Viewing Platform is Built. City Manager.

Mayor Hornaday called for a motion for the adoption of Resolution 08-119 by reading of title only.

 

NOVAK/HOWARD - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

F.         Resolution 08-120, A Resolution of the City Council of Homer, Alaska, Approving the            Era Aviation, Homer Airport Air Carrier/Ticket Counter Sublease and Authorizing the            City Manager to Sign. City Manager.                                                               

 

            Memorandum 08-154, from Personnel Director/Airport Manager as backup.

 

Mayor Hornaday called for a motion for the adoption of Resolution 08-120 by reading of title only.

 

WYTHE/LEWIS - SO MOVED.

 

There was no discussion.

 

VOTE: YES. NON OBJECTION. UNANIMOUS CONSENT.

 

Motion carried.

 

New business item C:

 

C.        Memorandum 08-152, 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 as a Unit. (Baycrest Country Club Estates)

 

City Attorney Suozzo suggested a more specific title for the Executive Session.

 

ROBERTS/HOWARD - MOVED TO AMEND THE REQUEST FOR EXECUTIVE SESSION REGARDING THE APPEAL ON BAYCREST COUNTRY CLUB ESTATES.

 

There was no discussion.

 

VOTE: YES. ROBERTS, WYTHE, HOWARD, NOVAK, LEWIS

 

Motion carried.

 

Council adjourned to Executive Session at 9:12 p.m. and reconvened at 9:35 p.m.

 

Mayor Pro Tempore Novak stated Council received advice from the City Attorney.

 

COMMENTS OF THE AUDIENCE

 

There were no comments of the audience.

 

COMMENTS OF THE CITY ATTORNEY

 

City Attorney Suozzo had no comments.

 

COMMENTS OF THE CITY CLERK

 

City Clerk Johnson wished everyone a Happy Thanksgiving.

 

COMMENTS OF THE CITY MANAGER

 

City Manager Wrede had no comments.

 

COMMENTS OF THE MAYOR

 

Mayor Hornaday’s comments were inaudible.

 

COMMENTS OF THE CITY COUNCIL

 

Councilmember Roberts commended ex-councilmember Heimbuch for his appointment on the Fisheries Board. She expressed concern about the telephonic communications system.

 

Councilmember Lewis expressed appreciation for the AML conference in Ketchikan.

Councilmember Howard thanked everyone for allowing her absence in October and wished all a Happy Thanksgiving.

 

ADJOURNMENT

 

There being no further business to come before the Council the meeting was adjourned at 9:37  p.m. by Mayor James C. Hornaday. The next Regular Meeting is scheduled for Monday, December 8, 2008 at 7:00 p.m. The next Committee of the Whole is scheduled for Monday, December 8, 2008 at 4:00 p.m. A Special Meeting is scheduled for Monday, December 1, 2008 at 7:00 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: _____________________