Session 01-22, a Special Meeting of the Homer City Council was called to order at 7:37 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.

A budget worksession was held from 6:15 p.m. to 7:20 p.m. for a General Overview and Review of the Preliminary 2002 Budget Enterprise Funds - Sewer, Water and Port/Harbor.

PRESENT: COUNCILMEMBERS: CUE, LADD, FENSKE, YOURKOWSKI, KRANICH

STAFF: CITY MANAGER DRATHMAN

CITY CLERK ASSISTANT FLYUM

FINANCE DIRECTOR BAUGH

PUBLIC WORKS DIRECTOR MEYER

ACCT. SUPERVISOR MACK

ABSENT: COUNCILMEMBERS: MARQUARDT (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 City Council.

PUBLIC COMMENTS UPON MATTERS ALREADY ON THE AGENDA

Abigail Fuller found it surprising that the Council would comment on something already submitted by the City Manager and is rather unclear whether the Council is approving them after the fact, amending them or making their own. Ms. Fuller expressed her hope that the Council has read the report if they are going to comment on it. She went on to remind the Council it's not too late to withdraw the petition for annexation.

Jim Reinhart disputed the City Manager's claim that non-residents are not paying property tax. He would like to see a refund for the City property taxes he has paid since 1983. Mr. Reinhart commented that this is only one of the many ways the City is misleading the community in order to cause resentment between the people that live in this community. He went on to say in 32 years of living in this area he has never noticed that City residents or merchants have resented or felt "put-upon" by non-residents, and that it is distressing that the City government has decided to stir up resentment that does not exist. He pointed out the memorandum of December 1999, the petition to annex of 2000, the City's reply brief and even the preliminary report of the Local Boundary Commission are tainted by contortions of facts. He brought to the Councils attention that the full Local Boundary Commission would hear about these contortions when they have their hearing in December. He asked the council to withdraw the petition now or face the consequences of an unhappy constituency.

Cris Rideout thanked the Council for the opportunity to speak. He explained that people he's spoken to feel the DCED is not very happy with the City of Homer trying to plan 20 years ahead. Yet after reading the report for himself he feels the DCED does appreciate the City's efforts to plan for the long term, although the Alaska Administrative Code (AAC) on boundaries only allows planning for up to the next 10 years. Mr. Rideout explained that even if there were no time constraints the City's petition would still not meet the standards of annexation in the AAC and the Alaska Statutes including the justification of disparities between the property tax. He commended the DCED on the preliminary report with exemption of a few minor errors and omissions and looks forward to the final report, which he hopes will have an outcome that's best for the whole community.

Sally Dodd Butters told the Council that they knew it was the wrong thing to start with and just didn't expect the a strong defense. Ms Butters asked the Council if they were now prepared to sit down and discuss the annexation, or face more court action.

Nancy Hillstrand told the Council about her concerns with the boundaries set forth by the Local Boundary Commission, she owns 120 acres that is divided by the annexation with 40 acres inside the annexation boundaries and 80 acres outside the boundaries. She explained that she would be willing to allow this to be annexed if it was ever developed or subdivided but as it is now it would be difficult. She would appreciate the Council looking into this matter and possibly changing the boundaries.

Charles Davis spoke to the Council about having the cart before the horse. He remembers the instructions to the City Manager were to investigate annexation and come back to the Council with a report, instead he came back to the Council with a petition that was rushed through. He told the Council that he is not against annexation in fact he is in favor of it, but he would like to see a plan first. He asked the Council to withdraw the petition and put a new one together as a community rather than continue on with this division in the community. Mr. Davis considers the lack of due process a violation to his constitutional right.

NEW BUSINESS

A. Creation of Council's Formal Response to the LBC Preliminary Report.

City Manager's Letter to the Local Boundary Commission.

LADD/YOURKOWSKI - MOVED THAT THE HOMER CITY COUNCIL ENDORSE ALL RECOMMENDATIONS WRITTEN IN THE LETTER TO THE LOCAL BOUNDARY COMMISSION DCED FROM THE STAFF AND ADMINISTRATION OF THE CITY OF HOMER IN RESPONSE TO THE PRELIMINARY RECOMMENDATION REPORT.

Council discussed the report from staff and reviewed the map with staff's recommendations for annexation.

FENSKE/YOURKOWSKI - MOTIONED TO AMEND PAGE 12 COMMENT "E" TO INCLUDE ADJACENT LOTS WHICH ARE WEST AND SOUTHWEST OF THE LOCATIONS ALREADY SPECIFIED IN COMMENT "E". THE AREA OF PARK THAT LAY DOWN OVER THE BLUFF, A TOTAL OF 7 LOTS.

VOTE: (primary amendment 1.) YES: CUE, LADD, FENSKE, YOURKOWSKI

NO: KRANICH

Motion carried

FENSKE/CUE MOTIONED TO INCLUDE THE LOT THAT HAS A NOTATION ON THE MAP THAT SAYS "CITY OWNED WATER TREATMENT PLANT" IN COMMENT "G" ON PAGE 12. (does not include water treatment plant, that is just a descriptor of the land)

Council discusses the area under question and the need for the watershed area to be part of the City of Homer.

Council member Fenske further clarified the area as "the area immediately east of the current staff recommendation to the rest of the property that is included."

VOTE: (primary amendment 2) YES: CUE, FENSKE, YOURKOWSKI

NO: KRANICH, LADD

Motion failed

Council member Cue encouraged the Local Boundary Commission to look ahead towards the next 10 years when making their final recommendations.

Council member Fenske pointed out a typo on page 7, 5 lines from the top of the page there is a phrase "…and will continue to so." Should be changed to "…and will continue to do so."

Main Motion as amended:

VOTE: (main amended motion) YES: CUE, LADD, FENSKE, YOURKOWSKI, KRANICH

Motion carried

Council member Fenske pointed out that the amended report needs to reflect that these are the words of the City Council in addition to the Administration of the City of Homer.

City Manager Drathman told the City Council that it would not be a problem, the reply has not yet been sent.

Mayor Cushing directs the City Manager to send this as an agent of the petitioner and put language in expressing the support of the Homer City Council.

COMMENTS OF THE AUDIENCE

Eileen Becker expressed her feeling that if the City Council had sat down with the people of Homer the Local Boundary Commission report is what they would have come up with. Instead after putting people through two years of fighting the Council "rubber stamped" the LBC findings. Ms. Becker told the Council that if they honestly believed the original petition was right they would have fought for it. She states that the people opposed to annexation will fight this to the Legislator because there was no vote and it was not handled correctly.

Sallie Dodd Butters seconds what Ms. Becker said, and would like the people that are talking about 20 years advance planning come see what the City Council has done in two years to take care of business, such as roads. She states that she hopes the weather is bad when the Local Boundary Commission gets here so they can see what the City of Homer will have to deal with.

Marilyn Hendren told the Council she is from Anchor Point and proud of it. She felt the Council is leaving the "book open" for the City Manager to change the reply and make it whatever he wants. Ms. Hendren stated that it looks like no one is running this City except to put everything in the City Managers lap and then call it "from the City", she's glad she's from Anchor Point.

Linda Reinhart agreed with what the others have said and would like to bring up a point that the others have not stated. The cost of fighting the annexation and the City has to bear the extra Administrative costs. She would like to see the dollars used for the annexation used on trails, parks and hockey rinks rather than see them used for this. She asked the Council to withdraw the petition and go for logical places such as the triangle.

COMMENTS OF THE CITY ATTORNEY

City Attorney Tans was not present.

COMMENTS OF THE CITY CLERK

City Clerk Assistant Flyum had no comments

COMMENTS OF THE CITY MANAGER

City Manager Drathman told Mr. Fenske he would work on the language under Comment "G".

COMMENTS OF THE MAYOR

Mayor Cushing states that this was not a new issue when they turned it over to the City Manager. He felt that Homer was a growing area and these were issues that needed to be discussed, and it has been discussed intensely for the almost two years since this was started. It has been considered before but they have never had an Administration with the capacity to put a petition before the Boundary Commission that had the merits to even start this discussion. This annexation has been driven by two issues, one; the lack of zoning and land use planning outside the City, there are a number of people in the audience who have been before the Council with land use problems. The other issue being the services provided to non-residents. The Council asked the Administration for the petition and has supported the petition, it has brought discourse to the community but he does not see the community being divided for years as has been predicted. He told of many people coming and thanking him for getting these issues discussed. He felt the discussion over the last two years was vital and long overdue, although it cost money and time it needed to be discussed and ten years from now there will be people thanking the Council for making this happen.

COMMENTS OF THE CITY COUNCIL

Councilmember Cue comments that whatever decision the Local Boundary Commission makes won't end the issues facing the City. The people that live outside the City boundary's have claimed in letters that borough provided all essential services, the Borough does not provide funds for the animal shelters, library's or skateboard park's. The discussions are hard and hard decisions are going to have to be made. She would like everyone to think about this.

Councilmember Fenske concurred with Cue's comments and would like to add that some good things have come out of this such as the Fire Service Area that people have made a reality. He also pointed out that the Borough is talking about getting into planning and zoning. He hopes the people that fall outside the municipality boundaries participate when this comes before the Borough. There has to be planning and zoning when you have a large amount of people living in close proximity to each other.

Councilmember Ladd commended the Local Boundary Commission preliminary report because they did not break up neighborhoods, that needs to be kept in mind when the City puts forth their expanded recommendations. He was also happy with the access available to the Bridge creek and the Reservoir, he is happy with the City recommendations.

Councilmember Kranich commented that however this goes the people inside these areas are going to have another year or two to bring their thoughts and feeling forward because of changes to the City Code, he hopes these people stay as involved and help their area become what they want.

Mayor Cushing clarifies an earlier comment that many people in this room had been before the Council with land use problems and stated that four had been before the Council with zoning issues, there are also others that are on the petition that have been before the Council also.

ADJOURNMENT

There being no further business to come before the Council the meeting was adjourned at 8:47pm. The next regular meeting is scheduled for Tuesday, November 13th at 7:30 p.m. in the Homer City Hall Council Chambers preceded by a Committee of the Whole meeting at 4 p.m.

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Charlene Flyum, City Clerk Assistant

APPROVED:_________________________