Session 03-19, a Regular Meeting of the Homer City Council was called to order at 7:05 p.m. by Mayor Jack Cushing at the Homer City Hall Council Chambers located at 491 E Pioneer Avenue, Homer, Alaska, and opened with the Pledge of Allegiance.

The Council met as a Committee of the Whole from 4:05 to 5:27 p.m regarding the Regular Meeting Agenda items, Transportation and Traffic Plans/Studies and Spit Leases.

PRESENT: COUNCILMEMBERS: BECK, FENSKE, KRANICH, LADD.

STAFF: CITY MANAGER WREDE

CITY CLERK CALHOUN

FINANCE DIRECTOR BAUGH

DEPUTY CITY CLERK BENSON

ABSENT: COUNCILMEMBERS: STARK, YOURKOWSKI. (excused)

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 Council with the substitute election certificate.

PUBLIC COMMENTS UPON MATTERS ALREADY ON THE AGENDA

Public comments upon matters on the agenda except visitors - canvass board report and sister city delegates, and public hearings on Kachemak Drive Phase 1 Sewer and Ordinances 03-26, 50, 51, 52-58.

Kevin Hogan thanked Councilmember Kranich for his service, time and efforts, and acknowledged the great job for no pay. Mr. Hogan objected to the fisheries revitalization aide monies, Ordinance 03-52, being used for a restroom on the Spit and wondered if this addresses the intended use of those funds from the state. He noted that using the funds for a restroom would not benefit the fishing industry, create more jobs or help in its intended purposes and that more creative uses could be found for those funds. He asked that the Council nix this on first reading and find a more appropriate use for these funds. He stated that there are a lot of things that can be done in that area and suggested that the Council work with the industry for input. He noted that there is already a restroom on the Fish Dock that should be accessible to the public, but is not, and could be made accessible for, maybe, eight hundred dollars of renovations and just moving a wall. He voiced his preference the that this money be used for something that creates jobs and helps the industry.

RECONSIDERATION

None Scheduled.

CONSENT AGENDA

(Items listed below will be enacted by one motion. If separate discussion is desired on an item, that item may be removed from the Consent Agenda and placed on the Regular Meeting Agenda at the request of a Councilmember.)

Councilmember Kranich asked for Item D. to be removed. This will be placed under Ordinances as Item B.

Councilmembers Fenske and Ladd asked for Item G. to be removed. This was placed under Resolutions as Item B.

A. Homer City Council unapproved meeting minutes of September 22, 2003 Special and Regular Meeting. Recommend approval.

B. Ordinance 03-59, Of the City Council of Homer, Alaska Appropriating the Alaska Clean Water Fund Loan in the Amount of $150,000.00 for the Wastewater (Sewer) Portion of the Water and Wastewater Master Plan and Authorizing the City Manager to Execute the Appropriate Documents. Public Works. Finance. City Manager. Fiscal Note: Revenue and Expenditure Acct. 215-825. Recommend introduction and conduct Public Hearing and Second Reading on October 27, 2003.

C. Ordinance 03-60, Of the City Council of the City of Homer Amending the Official Road Maintenance Map of the City of Homer by Adding 400 Lineal Feet, Carriage Court, as an Urban Road. Public Works. City Clerk. Recommend introduction and conduct Public Hearing and Second Reading on October 27, 2003.

Memorandum 03-169 from Public Works as backup.

D. Ordinance 03-61, Of the City Council of Homer, Alaska, Appropriating Funds for the Acquisition of Lot 7, Tract B., Nils O. Svedlund Amended, Also know n as the Glenn Parcel. City Manager. Fiscal Note: Transfer from Capital Projects Fund, acct. 151-275, of $360,000.00 to Expenditure Fund, acct. 150-392, Land Bank Fund. Recommend introduction and conduct Public Hearing and Second Reading on October 27, 2003.

To Ordinances as Item B.

E. Resolution 03-129, Of the City Council of Homer, Alaska, Awarding the Homer Police Department Four Wheel Drive Vehicle Purchase to the Firm of Worthington Ford of Anchorage, Alaska in the Amount of $30,928.00 and Authorizing the City Manager to Execute the Appropriate Documents. Homer Police Department. City Manager. Fiscal Note: Budgeted in HPD Fleet Reserve Acct. Recommend adoption.

Memorandum 03-171, from Police Chief as backup.

F. Resolution 03-130, Of the City Council of Homer, Alaska Awarding the Snow Removal and Sanding Services Three Year Contract to Frigid North Plowing of Homer, Alaska in the Amount of $164.00 per Snow Plowing/Trip and $138.00 for Sanding Per Trip and Authorizing the City Manager to Execute the Appropriate Documents. Public Works. City Clerk. Fiscal Note: Budgeted annually by each facility. Recommend adoption.

Memorandum 03-172, from Public Works as backup.

G. Resolution 03-131, Of the Homer City Council Authorizing Minimal Maintenance of Waddell Way. Fenske. Recommend adoption.

To Resolutions as Item B.

H. Resolution 03-132, Of the City Council of Homer, Alaska, USA, Expressing Concern to Homer's Sister City Teshio, Japan at the Recent Earthquake. Mayor. Fenske. Recommend adoption.

I. Resolution 03-133, Of the Homer City Council Amending the Homer Advisory Planning Commission Policy and Procedures Manual. Planning. Recommend adoption.

Memorandum 03-173, from Planning as backup.

J. Resolution 03-134, Of the Homer City Council Amending the Homer Advisory Planning Commission Bylaws. Planning. Recommend adoption.

Memorandum 03-174, from Planning as backup.

K. Resolution 03-135, Of the City Council Amending Council's Operating Manual Regarding Work Hours. Fenske. Recommend adoption. (Spoof Resolution)

Deleted.

L. Memorandum 03-170, from City Clerk, Re: Vacation of a Portion of the 33 foot Right-of-Way Easement along the Westerly Boundary of Government Lot 35, West of Kachemak Drive, Reserved in Book 5 Page 76 of the Homer Recording District, all within Section 14 Township 6 South Range 13 West Seward Meridian, Alaska, the City of Homer and the Kenai Peninsula Borough; KPB File No. 2003-191. Recommend non objection and approval.

M. Memorandum 03-175, from City Clerk, Re: Travel Authorization for Mayor, Council, City Manager and other City Officials to attend the 53rd Local Government Conference and associated meetings during the week of November 9, 2003 to be held in Nome, Alaska. Fiscal Note: Budgeted in department accts. Recommend authorization.

N. Memorandum 03-176, 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. (Budget Matters.) Approve and conduct under New Business

FENSKE/KRANICH - MOVED FOR THE ADOPTION AND/OR APPROVAL OF THE RECOMMENDATIONS OF THE CONSENT AGENDA.

VOTE: (With the exclusion of items D and G. which were placed on the regular agenda and Resolution 03-135 which was pulled, due to its "spoof" nature. ) YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

VISITORS

A. Election Canvass Board Report.

Deputy City Clerk Benson gave the Canvass Report:

We, the Election Canvass Board, duly appointed, of the City of Homer, Alaska hereby certify that the validated absentee and validated questioned ballots were opened, counted, and recorded at a legally authorized and convened meeting of the City of Homer Canvass Board, held October 13, 2003 and that the results of that count are hereon entered with the certified results of the votes counted for the precinct polling places via Accu-Vote Ballot Tabulation System and that the total results are recorded hereon.

Race Councilmember (3 Yr term) Elect Two	35-010 Homer No. 1	35-020 Homer No. 2	Absentee/ Questioned counted	Total votes Election night	Total Votes	Percentage Must have at least 40% or Run off	UnderageVoter Homer No. 1	Underage Voter Homer No. 2
Moore, Lloyd W.	173	187	39	360	399	41.6	15	7
Ladd, Rick	245	207	57	452	509	53.1	19	8
Kranich, Ray E. Sr	206	195	53	401	454	47.4	9	4
Novak, Dennis	261	206	65	467	532	55.5	16	11
Write-ins	7	14	1	21	22	2.3
TOTALS	892 votes 504reg. voters 23.90%	809 votes 429 reg. voters 21.06%	118 counted			25.35	32 underage voters	16 underage voters

We further certify that there were 933_Regular voters _104__ Absentee voters, includes Special Needs Voters, and 14____ Questioned voters for a total of _1051__ voters that voted in this election. Percentage of voter turn out is 25.35 %. Total registered voters for the City of Homer are 4,146 as of September 7, 2003.

Canvass Board - Norma Dudiak and Pauline Benson, assistants Deena Benson and Jo Johnson.

B. Delegates from Homer's Russian Sister City, Yelisovo

Mayor Cushing introduced the twelve Russian Sister City delegates from Yelisovo and the two from Moscow, who are visiting under the Open Worlds Program. He mentioned some of the activities with the sister city group. He thanked Rachel Livingston, Administrative Assistant for all of her work. He also thanked Steve and Noko Yoshida and Martha Madsen.

There was a round of applause for the delegates.

ANNOUNCEMENTS/PRESENTATIONS/BOROUGH REPORT/COMMISSION REPORTS

Nancy Lord, Library Advisory Board Chair, reported on the library project and that they are currently running a community fund drive via mailers and have received over thirty two thousand dollars. She reiterated the importance of the local dollars, demonstrating the broad and deep Community support, for securing grants. They have met their goal of raising one hundred thousand dollars from leadership donors of the community. She emphasized that all the members of the Library Advisory Board plus all the principal members in the committees, representing fifteen people, are one hundred percent donors to the tune of forty three thousand dollars. She reported on the public meetings of the Board and Committees and meetings with the architect and library consultants. She voiced appreciation to those on the Council who were there for parts of those meetings. She stated that this is a totally exciting time right now with the scoping process, being able to talk about the goals and the principles and things that are now going to be translating into programming and into a building. She announced that the next public time with the architects is scheduled for December 8th and that the architects will have the conceptual plans. She advised the Council that the Library Advisory Board proposes to have a session with the Council, Library Advisory Board, Building Committee, Library Director, and the Public Works Director to go over the Library Plans, schedule, funding matters and to address any Council questions.

Mayor Cushing briefly commented on the well attended meetings.

Mayor Cushing called for a recess at 7:34 p.m. to say good bye to the Yelisovo delegation, reconvening the meeting at 7:37 p.m.

PUBLIC HEARING(S)

A. Kachemak Drive Phase I Sewer.

Todd Marick, Flight Path LLC state lease holder, testified that he is not opposed to the sewer improvements at the airport and beyond. He did question the change in the assessments, that there appeared to be some oddities and that he noticed that the amount of increase seemed to cover the cost of exempt properties. He expressed his opinion that the City agreed to pick up the exemptions and passed the cost on to the others paying assessments. He stated that he did not quite understand the increase and questioned the increase.

City Manager Wrede clarified that there were two or three new lots added, at the request of DOT, and this is what caused the increase in the assessment amount.

Mayor Cushing suggested that the City Manager review this and get back to Mr. Marick.

Rick Egelus advised that he traveled from Palmer to attend the public hearings and meetings. He reviewed the history of the Kachemak Drive Phase I Sewer improvement district, the changes in the assessment methodology and this last boundary amendment and assessment increase. He stated that he does not object to the sewer improvements, emphasizing that he had made the initial contacts with the property owners encouraging support of this project when the percentages on the petition were 11.6% and that the percentage raised to 69.91%, of which he feels confident is due to the contacts which he made. He addressed the changes in the project costs. Mr. Egelus pointed out that the objection period ended August 22nd and the district went to the Council on August 25th; however, there was an amendment made to the boundary that increased the project cost and everyone's assessment. He voiced strong objection to the amended boundary and increase assessment amount. He further objected to and asserted that the rules changed. He relayed conversation with Public Works wherein he was advised that these additional two lots were left off to begin with due to the high cost of getting sewer to these properties. He thanked the Council for their time and asked that the boundaries and assessment amount be amended back to where it was for the August 22nd deadline. Mr. Egelus voiced agreement that these improvements are good for the property owners and good for the City, but the amendment is not fair.

B. Ordinance 03-26, Of the City Council of Homer, Alaska Appropriating an Alaska Department of Transportation and Public Facilities - Statewide Planning Grant in an Amount not to Exceed $171,000.00 to Develop a Corridor Management Plan for the Sterling Highway, Scenic Byway and Authorizing the City Manager to Execute the Appropriate Documents. City Manager. Fiscal Note: Revenue and Expenditure Accts. 151-860. (First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

LADD/KRANICH - MOVED FOR THE ADOPTION OF ORDINANCE 03-26 BY READING OF TITLE FOR SECOND AND FINAL READING.

There were brief supporting comments.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

C. Ordinance 03-50, Of the City Council Adding to the Homer City Code a New Chapter 7.06,Entitled "Environmental Protection," to Prohibit the Operation of A Vehicle that is Excessively Noisy or without a Muffler and Exhaust System in Good Working Order, To Restrict Jake Brake Use, and to Establish a Fine Schedule to be Incorporated into the City's Fee Schedule. Requested by Council. HPD. City Manager. Fiscal Note: Costs for enforcement (First Reading 09/22/03, Public Hearing 10/13/03, Second Reading 10/27/03.)

Kurt Marquardt, resident and business owner, thanked the Council for addressing this issue that has been on the City docket for a couple of years, adding that he brought this issue up when he was on the Council. He voiced appreciation to the Council for following through, adding that he supports this Ordinance. He read a letter from the City Attorney from about a year ago that addresses the enforcement issue of this Ordinance, noting that there has been some question about enforcement:

13 AAC 04.215(a), concerning prevention of excessive noise from motor vehicles. A motor vehicle must be equipped, maintained, and operated so as to prevent excessive or unusual noise and the escape of fumes into the vehicle. A motor vehicle must be equipped with a muffler or other effective noise-suppressing system in good working order and in constant operation. No person may use a muffler cutout, bypass, or similar device, or modify the exhaust system of a motor vehicle in a manner which amplifies or increases the noise emitted by the engine of the vehicle above that emitted by the muffler originally installed on the vehicle for use on the highway or a vehicular way or area. A person may not alter an exhaust particle emission system built into a motor vehicle to decrease its effectiveness.

The City Attorney wrote: Virtually identical code provisions have withstood legal challenges in New York, California, and Texas based on claims the regulation is constitutionally vague. It appears the cases typically involve violations of the "excessive or unusual noise" clause of the regulation.

Mr. Marquardt, in response to Council inquiry, affirmed that he has read the Ordinance. He stated that one does not need a decibel meter to tell when a noise is too loud. The courts have ruled that people of ordinary sensibilities have no problem determining when a vehicle emits an excessive or unusual noise, even with the newer vehicles which have been modified. He also commended the Council on addressing the use of jake brakes. He reported having traveled to third world countries that restrict jake brake usage. He voice agreement with not restricting jake brake usage on the steeper roads.

Phil Gordon stated that he is in full agreement with Kurt Marquardt except for one possible change with regard to the decibel. He stated that people need to begin to live as caring neighbors. Mr. Gordon reported on decibel levels to encouraged the Council to lower the allowable decibel level in the ordinance, as is throughout most of the civilized world and as is based on research. He commented that it would be nice to not only have a scenic highway coming into town, but to be able to stand next to the highway and be heard.

Kevin Hogan testified in objection to the ordinance, noting that he has a new residence on East End Road, gets the full force effect of the road noise and traffic. He stated that exhaust noise and jake brake noise is way down on the list from barking dogs in the back of pickup trucks, amplified music that is irritating due to the levels and type, and emergency vehicles. He emphasized that jake brakes are a safety feature and truck drivers are not going around trying to irritate people. He asked if just because everyone else has these kinds of ordinances does that mean that Homer has to and pointed out that Homer is supposed to have different drummers. He reiterated that jake brakes are for safety, for the health and safety of the community. He voiced concern about somebody getting killed, remembering trucks coming down off of Baycrest Hill and killing people when the regular brakes went out. He encouraged tolerance for inconvenience and to quit trying to legislate life styles and every little thing. He asked if Homer would still be able to hold ice races on Beluga Lake with the unmuffled engines, and asked what will happen to the float planes. Mr. Hogan stated that the float planes are louder than any vehicle he has heard going by his residence. He testified that he cannot support this, thinks it is a bad idea and that every time he drives through a City that has a sign limiting jake brake usage he thinks it is a town wherein the City Council has too much time on their hands. He encouraged the Council to just drop this since it is not serving a legitimate purpose.

Ken Castner voiced his opinion that the problem is not jake brakes or glass packs during the day. He stated that the problem is when the noise wakes him up at two in the morning during the summer when he has his window open, when the vehicles are drag racing on Mountainview Drive. He objected to being awakened out of a sound sleep on a work night and supported the time limitation. Mr. Castner agreed with tolerance, but noted that those people don't care about his sleep or the sleep of his neighbors. He advised the Council that these loud vehicles can be heard coming from clear out on the Spit to the neighborhood, wondered where are the cops, why aren't the cops making people put mufflers on their cars. He suggested doubling the fines after ten at night, or make this ordinance effective at ten at night. He stated that he will be tolerant half of the day if they can just leave him alone for eight hours at night.

Daniel Zatz, business owner in the City, voiced agreement with Ken Castner and Kurt Marquardt. He stated that the business he owns is on Bunnell Street and that during the day he actually has a sound problem with cars during the lunch hour and right after school, wherein if he is trying to do business on the phone he has to stop his conversation until the vehicle(s) finish blasting past. He emphasized that this affects his business and it is annoying. He noted that the one good thing about the noisy cars along Main Street to Bishop's Beach, that are often doing 40 or 50 miles per hour, is that the noise provides some time to get out of the way. He encouraged the Council to pass this ordinance, that it will be good for the people and businesses here in Homer.

D. Ordinance 03-51, Of the City Council Appropriating $65,000.00 from Port/Harbor Reserve Fund for Port/Harbor Restroom Project Completion and Authorizing the City Manager to Execute the Appropriate Documents. Public Works. City Manager. Fiscal Note: From the Port/Harbor Reserve Fund to Expenditure Acct. 415-380 Port/Harbor Restrooms (First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

LADD/BECK - MOVED FOR THE ADOPTION OF ORDINANCE 03-51 BY READING OF TITLE.

City Manager Wrede was asked if the administration had come up with any ways to reduce the costs on this restroom project, to reduce the design. He reported that nothing specific had been identified and that Public Works has been looking at ways to reduce costs such as force accounting.

Discussion ensued regarding the need for the restroom, the cost at $350 per square foot and that the City already has the building kit or supplies for building the restroom. The bidding process, or lack thereof, was also mentioned. It was emphasized that the award of projects or procurements over twenty five thousand dollars are to come to the Council for approval.

FENSKE/BECK - MOVED TO POSTPONE ACTION ON ORDINANCE 03-51 TO TIME DEFINITE OF NEXT MEETING. (0ctober 27, 2003)

The postponement would provide some time to address unanswered questions and identify cost saving.

VOTE:(postponement) YES: KRANICH, BECK, FENSKE.

NO: LADD

Motion failed.

There was further discussion along the same lines as prior to the motion to postpone.

VOTE: (main motion) YES: BECK, FENSKE.

NO: KRANICH, LADD.

Motion failed.

E. Ordinance 03-53, Of the City Council of Homer, Alaska, Amending Ordinance 03-22(S), Grant for Traffic Saturation Patrols and In Car Video Systems. Finance. HPD. City Manager. Fiscal Note: Revenue and Expenditure Accts 151-780. (First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

FENSKE/BECK - MOVED FOR THE ADOPTION OF ORDINANCE O3-53 BY READING OF TITLE.

There was no discussion.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

F. Ordinance 03-54, Of the City Council of Homer, Alaska Appropriating Three Alaska Department of Transportation Highway Safety Grants in the Amount of $5,000.00 each and Authorizing the City Manager to Execute the Appropriate Documents. Finance. HPD. City Manager. Fiscal Note: Revenue and Expenditure Accts. 151-781. (First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

FENSKE/LADD - MOVED FOR THE ADOPTION OF ORDINANCE 03-54 BY READING OF TITLE.

Finance Director Baugh clarified, at Council's inquiry, that this grant is to assist the Troopers on the holidays and is just for overtime for Homer Police Officers, to make Homer roads safer. It appears that all the media requirements are addressed by the Troopers.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

G. Ordinance 03-55, Of the City Council Authorizing a Budget Transfer from Airport Reserve for an additional $5,000.00 for the Paint and Stain Project at the Airport. Finance. PWD. Fiscal Note: From the Airport Reserve Fund to Expenditure Acct. 151-388 (First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

KRANICH/FENSKE - MOVED FOR THE ADOPTION OF ORDINANCE 03-55 BY READING OF TITLE.

It was noted that Council's concerns were addressed at the last meeting.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

H. Ordinance 03-56, Of the Homer City Council Appropriating up to 17,000.00 from Public Works Reserve Fund for a Compressor Replacement. Finance. Public Works. Fiscal Note: From the Public Works Reserve Fund to Expenditure Fund Acct. 151-395. (First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

FENSKE/KRANICH - MOVED FOR THE ADOPTION OF ORDINANCE 03-56 BY READING OF TITLE

There was no discussion.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

I. Ordinance 03-57, Of the City Council of Homer, Alaska Accepting and Appropriating a Grant of, up to, $12,500.00 from the Open World Program for the Sister City Program and Authorizing the City Manager to Execute the Appropriate Documents. City Manager. Mayor. Fiscal Note: Expenditure Acct. 100.5605.100. (First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

BECK/KRANICH - MOVED FOR THE ADOPTION OF ORDINANCE 03-57 BY READING OF TITLE.

There was a brief discussion wherein Council shared some of their contact with the Yelisovo delegates. Much appreciation was voiced for this program as well as the promotion of tearing down cultural barriers.

VOTE: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

J. Ordinance 03-58, Of the City Council of Homer, Alaska Re Appropriating Grants from the Alaska Department of Community and Economic Development for the Homer Public Library in the Amount of $205,252.00, Re Appropriating the City's Match of $63,653.00 and Authorizing the City Manager to Execute the Appropriate Documents. Finance. City Manager. Fiscal Note: The reappropriated grants will be placed in the same Acct. 151.722.(First Reading 09/22/03, Public Hearing and Second Reading 10/13/03.)

There was no Public Testimony.

BECK/LADD - MOVED FOR THE ADOPTION OF ORDINANCE 03-58 BY READING OF TITLE.

It was noted that this is just a reappropriation of the same grant and that the City is using the same ccount number and same verbiage as did the state.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

ORDINANCE(S)

A. Ordinance 03-52, Of the City Council of Homer, Alaska, Appropriating Monies from the Alaska Department of Community and Economic Development, Fisheries Revitalization Aid, in the Amount of $80,914.12, for a Port/Harbor Restroom and Authorizing the City Manager to Execute the Appropriate Documents. Finance. P/H. City Manager. Fiscal Note: Expenditure Acct. Acct. 415-380 Port/Harbor Restrooms (First Reading 09/22/03, Remanded to the Port/Harbor Commission,Main Motion is on the floor for Introduction/First Reading 10/13/03, Public Hearing and Second Reading on October 27, 2003.)

Memorandum 03-177, from Port/Harbor Commission as backup.

Main motion on the floor: FENSKE/BECK - MOVED FOR THE ADOPTION OF ORDINANCE 03-52 BY READING OF TITLE.

Council stated that they were concerned about the budget short falls, that there were items requiring attention such as the high mast light and the Deep Water Dock cathodic protection. Council emphasized that they wanted to honor the Port/Harbor Commission's recommendation; however, not all were in agreement with the recommendation for a restroom. The Port/Harbor Commission felt it necessary for the Fish Dock users to have access to a public restroom and that this need has existed for a while. Comment from a Councilmember was that the commercial fishermen should not have to bum a restroom. Council expressed concern regarding the budget and the need to put this money to the highest and best use. Consideration may be given to placing the funds in the depreciation or capital reserve fund and/or to match other funds for essential and immediate needs or future maintenance needs for the port/harbor. There were comments about waiting until the budget process to specifically allocate/appropriate these funds. There are no restrictions or conditions on the use of these funds.

LADD/FENSKE - MOVED TO POSTPONED FOR TWO REGULAR MEETINGS.

Council concurred with the Port/Harbor Commission that these monies should be used to benefit the Commercial Fisheries. The postponement will provide for time to ascertain budgetary need.

FENSKE - FRIENDLY AMENDMENT TO POSTPONED TO FIRST MEETING IN DECEMBER. (December 8, 2003)

There were no objections to the friendly amendment.

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

Motion carried.

B. Consent Agenda Item D. Ordinance 03-61, Of the City Council of Homer, Alaska, Appropriating Funds for the Acquisition of Lot 7, Tract B., Nils O. Svedlund Amended, Also know n as the Glenn Parcel. City Manager. Fiscal Note: Transfer from Capital Projects Fund, acct. 151-275, of $360,000.00 to Expenditure Fund, acct. 150-392, Land Bank Fund. Recommend introduction and conduct Public Hearing and Second Reading on October 27, 2003.

Mayor Cushing recessed the meeting at 8:56 p.m. pursuant to a request from Councilmember Kranich and reconvened the meeting at 9:13 p.m.

KRANICH/BECK - MOVED TO SUSPEND RULES TO POSTPONE ACTION ON ORDINANCE 03-61 UNTIL IMMEDIATELY FOLLOWING THE EXECUTIVE SESSION.

The executive session is regarding budgetary matters and Council would better be able to act on this ordinance once they have heard the Manager's comments.

VOTE: (suspend the rules) YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

CITY MANAGER'S REPORT

A. City Manager's Report. (Employee Anniversaries - John Browning HPD 25 years, Elaine Grabowski HVFD 20 years, Terry Overton PWD 19 years, Maureen Moore, PWD 2 years and Richard Klopp PWD 1 year; GASB Congratulation letter; Town Center Development Committee notes; Cook Inlet Oil and Gas Lease Sales 2004; ISO Rate Change Fire Chief Notes; Memo Fire Chief FEMA Grant; Homer Foundation Financial Report; Harbormaster memo Round III TSA Port Security Funding.)

There ware a few comments, most of the comments are summarized under Committee Reports and New Business.

COMMITTEE REPORT

A. Town Center Development Committee Synopsis of September 25, 2003.

Councilmember Beck commented briefly. To the question from Council about the Committee proceeding faster than 2005, Ms. Beck advised that there are so many variables that right now it is unknown how fast they will be able to get their recommendations to the Planning Commission for review. There are so many moving parts - trails, roads, plan development, etc. The Planning Commission will probably conduct public hearings, then forward this all to the Council who will conduct a public hearing. This committee needs latitude and needs to not be bound by a deadline. She asked everyone to remember that this is the Town Center and not Town Square. She advised that the first meeting was pretty much get down to business and that they plan to meet the fourth Thursday, of the month from 6 to 8 p.m. in the Council Chambers. Assignments have been given to the committee members by the City Planner for the next meeting. Bill Smith was elected as chair.

Council asked that a representative from Petro Marine be added to the Committee. Council concurred that the Chamber of Commerce and CIRI should have alternates for those members appointed to this committee.

B. Beach Policy Committee Meeting of September 30, 2003.

PENDING BUSINESS

NEW BUSINESS

A. Memorandum 03-178, from City Manager, Re: USCG Breasting Dolphin/Update.

LADD/KRANICH - MOVED FOR DISCUSSION OF MEMORANDUM 03-78.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

City Manager Wrede advised that the USCG is not going to pursue this project any further at this time and may at a later date. He thanked Councilmember Kranich, former Port/Harbor Director Erlandson and Clem Tillion for their assistance.

B. 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. (Budget Matters.)

Mayor Cushing recessed the regular meeting to Executive Session at 9:33 p.m. and reconvened the regular meeting at 10:34 p.m.

Mayor Cushing advised that the City Manager apprized/briefed the Council of budgetary matters that would clearly have an adverse effect upon the finances of the government.

C. Consent Agenda Item D. Ordinance 03-61, Of the City Council of Homer, Alaska, Appropriating Funds for the Acquisition of Lot 7, Tract B., Nils O. Svedlund Amended, Also know n as the Glenn Parcel. City Manager. Fiscal Note: Transfer from Capital Projects Fund, acct. 151-275, of $360,000.00 to Expenditure Fund, acct. 150-392, Land Bank Fund. Recommend introduction and conduct Public Hearing and Second Reading on October 27, 2003.

Mayor Cushing declared a potential conflict of interest and handed the gavel to Councilmember Fenske at 10:36 p.m.

BECK/LADD - MOVED FOR THE ADOPTION OF ORDINANCE 03-61 BY READING OF TITLE.

Council commented on the opportunity to invest some money in a very wise manner such as this. The purchase of this property will have a huge impact on the City of Homer and the Town Center. There were concerns expressed regarding the budgetary impact of expending this large sum.

Councilmember Ladd stated that he does not want the library at this location.

VOTE: YES: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

Mayor Cushing returned to the table at 10:45 p.m. and received the gavel.

RESOLUTIONS

A. Resolution 03-136, Of the City Council of Homer, Alaska Certifying the Results of the City of Homer Regular General Municipal Election held October 7, 2003 to Elect Two Councilmembers. City Clerk. Canvass Board.

KRANICH/FENSKE - MOVED FOR THE ADOPTION OF RESOLUTION 03-136.

There was no discussion.

VOTE: NON OBJECTION. UNANIMOUS CONSENT.

Motion carried.

B. Consent Agenda Item G. Resolution 03-131, Of the Homer City Council Authorizing Minimal Maintenance of Waddell Way. Fenske. Recommend adoption.

FENSKE/BECK - MOVED FOR THE ADOPTION OF RESOLUTION 03-131 BY READING OF TITLE

Pros and cons were discussed. Following the road standards and waiting on the traffic study finalization were emphasized.

Councilmember Fenske reported that he received information that Waddell Way has a three to four foot base and had six inches of D1 on top of that, which has since been worked off into the side ditches. He commented that grading, at the discretion of the Public Works Director, would benefit the entire community.

Council comments included.

The minimal maintenance would be at the Public Works Director's discretion.

This is setting a special deal.

This road does not meet any of the City standards.

Work will be done on the road in conjunction with the Ice Rink Facility. The City might be assuming the lease with HEA. These are unknown, time frame is unknown.

Use of Waddell Way could alleviate a significant amount of traffic at the adjacent intersections. A side comment on this was this cannot be known until a traffic study is done.

Liability issues were mentioned. It was noted that a sign could be put up regarding using caution.

Need for additional thirty foot right of way was noted.

VOTE: YES: FENSKE.

NO: KRANICH, BECK, LADD.

Motion failed.

COMMENTS OF THE AUDIENCE

Audience comments upon any matter.

Steve Gibson, resident of the City, thanked Councilmember Kranich for a lot of service and for a special quality that he has given to the Council. He voiced appreciation for the historic perspective that he's offered, the directness and forthrightness that is appreciated. Mr. Gibson said that he has not always agreed with Mr. Kranich's policies or decisions, but that he certainly is appreciative of Mr. Kranich's style in which he has maintained a very civil discussion of the issues. He noted that Mr. Kranich does not give up his concepts easily and yet does not push them off on people either. He stated that Mr. Kranich has been an exemplary model for the rest of the Councilmembers and that he appreciates it a lot.

Councilmember Kranich thanked him very much.

Ken Castner stated that he also wanted to, with Kevin Hogan and Steve Gibson, thank Councilmember Kranich, adding that he has always been impressed with how Mr. Kranich has come prepared to every meeting, having always read his packet and for his attention to fiscal detail. Mr. Castner said that he would miss having Councilmember Kranich on the Council. He commented on the acquisition of the property from the UA, that he believes the initial cost will be the least of the costs, the cost of development of this pork chop, land locked piece of property will be costly, adding that at least it ties into the other piece of City property in the same area. He expressed his opinion that the property is fairly priced. He reported being involved in the library campaign on two committees, that the consortium library concept with the university has been discussed a lot and a lot of time spent on that concept, which fell apart. He noted that it took some citizens in this town to kind of rekindle the whole library capital campaign idea and in the last eighteen months the library capital campaign has put together three technical committees, signed a Memorandum with the Council, and worked with the advisory board. He reported that the Friends of the Homer Library have funded all this stuff to the tune of about fifty thousand dollars, it has not cost the City one nickel to launch this campaign. All the ads were funded through the Friends of the Homer Library. Everything is on track, going well, the site has been selected, the architect selected and the fund raising going well. Last week when the University came to the meeting on Thursday night and put a piece of paper down on the table and would not answer any questions, all of a sudden the discussion was back on, why isn't this a consortium library. Mr. Castner emphasized that he did not sign on to do a consortium library, he signed on to replace the existing library. The capital campaign has only been interested in replacing the library and in wanting to build the best library for all users. The reply from the university was not what was expected with the demand for two thousand square feet and the offer of some "in kind" contributions. He reported that a chill went through the Campaign Committee. He advised that on Friday night there was a reception for the lead donors, the thirty people who have all put in six thousand dollars plus, of private money to move "this" forward. Mr. Castner stated that no body greeted this "thing" with any enthusiasm. He commented that it is hard to slow down the City Council, the Mayor and the City Manager, but he can be slowed down in a heart beat, adding that he is way out ahead of them, that he is the guy asking people for money. He voiced his thought that there was an understanding about for what they were raising money. Mr. Castner advised that he has not been happy since the meeting on Friday with the architect and two professionals from the California Library System and that they spent a hour and a half going over what a consortium library means to this program, what does a consortium library mean to the seventeen thousand feet programmed in, to the $5.7 million budget, to annual operating costs. Those questions were answered, questions that the university the night before refused to answer. He informed the Council that he got some information, nothing about it makes him feel any more comfortable and it is very difficult to get enthusiastic about the demands being made. He stated that he wants the City to step up and settle it one way or the other, adding if the City wants a consortium library then somebody is going to have to determine where the funding is going to go or what sacrifices are going to be made such as; do you not want a children's room, do you not want to have any of the other program elements planned, do you want to have a consortium library. He suggested telling the university if they want to be consortium partners they have to bring more than "in kind" contributions, they need to bring real money. Real money is how carpenters are paid, how materials are paid for, not with ideas, data bases or computers.

Kevin Hogan reiterated his thanks to Councilmember Kranich for doing a lot of good service, it being a thankless job and that the Council does not get paid. He thanked all of the Council for their service, adding that he thinks they should look at establishing some kind of pay for the job they do even if it is just minimum wage. He noted that the Council puts in a lot of time, they are away from their families and they sacrifice for this thankless job. He commented on the fisheries revitalization grant, voicing hope that this money would be used for something other than bathrooms, there are other solutions. He stated that he is on the Spit every day and did not agree that there were $80,000 worth of restroom need and that this matter could be solved a lot cheaper. He suggested funding a staff position dedicated to development of the economics of the fisheries. He said that the main reason he stuck around is because of his interest in the Auction Block's, his company, Spit lease. He stated that they are faced with the same situation that they have been faced with for a couple of years, not being able to do any long range planning. He stated that they are the second longest term tenant at that facility, next to Bill Tener. Mr. Hogan advised that they support this community in a lot of ways, employ a lot of people and that they need to be able to plan for their future. He relayed the recommendation of the Fisheries Task Force, from the industry, on what needed to be done on the Spit and that it was ignored and nothing has gone on with that property. He noted that there are a lot of positive things that can be done and suggested proceeding with caution, because the resource that supports that whole thing is not a guarantee. He encouraged the Council to listen to and work with industry. He voiced his opinion that the new administration and finance director have represented the City well regarding the leasing process and the tone is much better than it has been in the past, atta boys are due there. He stated that he just wanted the Council to know that they are interested in a long time solution to their business's needs and that he knows it still looks like a mess out there at times. He advised that they do not have a set area that they know is their property, they know they have the space where their building is, 3200 square feet that changes as to what is soft and hard ground. Mr. Hogan emphasized that they want a better looking site as well as the Council and the City, and that they want to continue doing business and contributing to the community.

COMMENTS OF THE CITY ATTORNEY

City Attorney Tans was not present.

COMMENTS OF THE CITY CLERK

City Clerk Calhoun said that she would save her comments for Monday night. (October 20th special meeting.)

COMMENTS OF THE CITY MANAGER

City Manager Wrede stated that he would also save his comments.

COMMENTS OF THE MAYOR

Mayor Cushing, just in case Councilmember Kranich is not present Monday night, stated that he wanted to thank Councilmember Kranich for his support, his work and that, as Ken Castner stated, he is very much appreciated. Mayor Cushing, regarding the Library project, advised the Council that he plans to take his lead from the Library Advisory Board, noting the amount of work, time, planning and effort they and their committees have put into this project. He stated that he thinks it is important that all agencies get on board with the Library Advisory Board.

COMMENTS OF THE CITY COUNCIL

Councilmember Ladd thanked Councilmember Kranich and that he does not think there are many that have ever been on this Council that have been as thorough and that he has really saved this Council from stepping into some stuff they did not want to step into. Mr. Ladd reported that he was advised when he got on the Council to listen to Councilmember Kranich and follow his lead on many things and that he does not regret ever doing that. Councilmember Ladd stated that he will sincerely miss working with him. He stated that he enjoyed riding to Valdez with Councilmember Kranich last November, although Mr. Kranich is a maniac on the road and probably holds the record for getting to Anchorage from Homer and does hold the record for getting from Anchorage to Valdez. Mr. Ladd voiced his opinion that the Council has made some very wise decisions in terms of dealing with the revitalization monies and he briefly commented on the use of these monies. He voiced concern regarding the severe budget situation. He emphasized that this is in no way done in disrespect to the Port/Harbor Commission, who has made this decision twice. He shared his hope that some better ways of expending these monies may be identified. He stated that he hopes the City can come up with some better ways to market and use the Spit, Spit properties, the leases and how the leases are set up. Along with the Town Center and the potential for that, the Spit is another resource that the City needs to figure out how to draw development to net some dollars to help manage the City. He reiterated his thanks to Councilmember Kranich, adding that he really enjoys working with him.

Councilmember Fenske stated that Councilmember Kranich has given new meaning to the terms "dot and tittle" and agreed with everyone else on the thanks for his exactness. He stated that it has been fun and that he does not think they have seen the last of Mr. Kranich. He voiced disappointment that the Council was not able to find fifteen minutes a month to run a grader over a little piece of dirt that just does not seem to harm any body. Beyond this, he stated that he thought this meeting would be over at 9:30 p.m., therefore, he is beyond his time.

Councilmember Beck stated that she wanted to thank Councilmember Kranich publicly for being an incredible model for diligent preparation for these meetings.

Councilmember Kranich thanked the residents for the City of Homer for having him serve them in the City government for the past five years and thanked the current and past Councilmembers that he has had the pleasure to serve with. He stated that the service on the Council is at times trying and at other times is very rewarding. Homer is going to grow and develop and the Council now has the charge to determine how. Plans can be developed to guide this growth so everything will mesh together. Many of the things that are envisioned and desired today will require a large financial drain tomorrow. He exhorted the Council to plan for the tax base to grow to provide those much needed funds. Homer streets are not littered with gold for the taking. He wished the Council the best of luck for a positive up coming year and future.

ADJOURNMENT

There being no further business to come before the Council the meeting was adjourned at 11:30 p.m. The next Regular Meeting is scheduled for Monday, October 27, 2003 at 7:00 p.m. The next Committee of the Whole is scheduled for Monday, October 27, 2003 at 4 p.m. A budget worksession is scheduled for Monday, October 27 at 5:30 p.m. A special meeting is scheduled for Monday, October 20, 2003 at 7 p.m. The meetings are scheduled to be held in the Homer City Hall Council Chambers located at 491 E. Pioneer Avenue, Homer, Alaska.

__________________________________

MARY L. CALHOUN, CMC, CITY CLERK

Approved: _______________________