Kenai Peninsula Borough

Assembly Meeting Minutes

August 3, 2004 - 7:00 p.m. Regular Meeting - Soldotna, Alaska

CALL TO ORDER

A Regular Meeting of the Kenai Peninsula Borough Assembly was held on August 3, 2004, in the Assembly Chambers, Borough Administration Building, Soldotna, Alaska. President Sprague called the meeting to order at 7:00 p.m.

PLEDGE OF ALLEGIANCE AND INVOCATION

The Pledge of Allegiance was recited followed by the invocation given by Brandon Dockery, Birch Ridge Community Church, Soldotna.

There were present:

Pete Sprague, Presiding

Dan Chay

Paul Fischer

Betty Glick

Ron Long

Milli Martin

Grace Merkes (arrived at 7:11 p.m.)

Chris Moss

Gary Superman comprising a quorum of the assembly.

Also in attendance were:

Ed Oberts, Assistant to the Mayor

Colette Thompson, Borough Attorney

Linda Murphy, Borough Clerk

Sherry Biggs, Deputy Borough Clerk

COMMITTEE REPORTS (7:02:22)

Assembly Member Martin said the Lands Committee met and discussed its agenda items.

Assembly Member Moss reported the Finance Committee met and discussed its lengthy agenda.

Assembly Member Glick said the Policies and Procedures Committee met and discussed its agenda items. The Committee then met in executive session to finalize the Borough Clerk's annual evaluation.

MOTION: Glick moved to increase the salary of the clerk and deputy clerk by 4.27 percent, retroactive to July 1, 2004. Additionally, the clerk and deputy clerk shall continue to receive a car allowance.

MOTION PASSED: Unanimous.

APPROVAL OF AGENDA AND CONSENT AGENDA (7:14:53)

MOTION TO APPROVE AGENDAS: Martin moved for the approval of the agenda and consent agenda.

President Sprague called for additions, corrections or deletions to the agenda or consent agenda.

The following items were moved from the consent agenda to the regular agenda:

[Clerk's Note: Assembly Member Martin requested that Resolution 2004-076 and Resolution 2004-077, dealing with land classifications, be addressed before Ordinance 2004-25, which authorized the sale of those lands. With no objection, President Sprague adjusted the agenda accordingly.]

The following item was added to the regular agenda:

Copies having been made available to the public, Borough Clerk Linda Murphy noted by title only the resolutions, ordinances and minutes on the consent agenda.

[Clerk's Note: The following technical amendment was made to Resolution 2004-071: "Section 1. That the mayor is authorized to award a contract to Metco, Inc. to perform the work for the bid amount of $26,491."

[Clerk's Note: President Sprague stated he was a property owner in the Tustumena Terrace USAD and did not vote on Ordinance 2004-19-05.]

[Clerk's Note: The Planning Commission approved the referenced vacation by unanimous consent during its regularly scheduled July 19, 2004 meeting.]

[Clerk's Note: The Planning Commission approved the referenced vacation by unanimous consent during its regularly scheduled July 19, 2004 meeting.]

President Sprague called for public comment on consent agenda items.

(7:23:28)

Ruby Kime, Alice Avenue, Ninilchik, AK, spoke in opposition to Ordinance 2004-27.

Lloyd Schade, 35250 Schade Drive, Homer, AK, requested that Parcel 172-360-01, listed in Resolution 2004-077, be classified as agricultural.

There being no one else who wished to speak, President Sprague closed th public comment period.

AGENDAS APPROVED AS AMENDED: Unanimous.

COMMENDING RESOLUTIONS AND PROCLAMATIONS - None.

PRESENTATIONS WITH PRIOR NOTICE - None.

PUBLIC COMMENTS ON ITEMS NOT APPEARING ON THE AGENDA - None. (7:30:16)

Raymond VinZant, PO Box 4523, Soldotna, AK, commented on the recent School District warehouse fire.

REPORTS OF COMMISSIONS AND COUNCILS - None.

MAYOR'S REPORT (7:40:32)

Agreements and Contracts

Spruce Bark Beetle Mitigation Program:

Approval of contract with Tinker Creek Surveys for Kasilof Drive Surveying Project

Approval of contract with Mike Tauriainen Consulting for Engineering Estimate for Community College Drive soils investigation and preliminary design report

Approval of contract with McLane Consulting Group for Engineering Estimate for the Westbrook Subdivision RIAD Project

Approval of contract with Northwest Carpet Company, LLC for Nanwalek School Flooring Replacement

Approval of contract with McLane Consulting Group for Phase I Quality Control Testing for Central Peninsula General Hospital

Approval of bid award to Redoubt Industries, Inc. for Well Water Cooling Project at Central Peninsula General Hospital

Approval of bid award to Coast Range Construction, Inc. for Clinic Demolition at South Peninsula Hospital

Assembly Member Fischer asked for information regarding the contract for Nanwalek School flooring replacement. Ed Oberts, Assistant to the Mayor, said he did not have the information with him and it would be provided at a later date.

PUBLIC HEARINGS ON ORDINANCES

(7:42:10) Ordinance 2004-05 (Mayor's Substitute): Amending the Kenai Peninsula Borough Code Chapter 5.12 by Revising Procedures for Appeals to the Board of Equalization (Mayor) (Referred to Policies and Procedures Committee)

[Clerk's Note: There was a motion to enact on the floor from the March 16, 2004 meeting.]

President Sprague called for public comment with none being offered.

MOTION TO POSTPONE: Glick moved to postpone Ordinance 2004-05 (Mayor's Substitute) until September 7, 2004.

MOTION TO POSTPONE PASSED: Unanimous.

(7:44:20)

Ordinance 2004-21: Providing for a Vote on the Question of Adopting a Manager Plan of Government at the Next Regular Election (Glick) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to enact Ordinance 2004-21.

Assembly Member Glick said an initiative petition had just been presented to the Clerk's Office, but the petition had not yet been certified. Ms. Glick noted that AS 29.20.470 stated in part that the governing body must provide by ordinance or resolution for a vote on the question of adopting a manager plan at the next election when it receives a petition certified as sufficient by the clerk. Ms. Glick said a special election was not required.

President Sprague called for public comment.

The following people spoke in favor of Ordinance 2004-21:

Kristine Schmidt, 110 S. Willow Street, Kenai, AK

Ruby Kime, Alice Avenue, Ninilchik, AK

Vicki Pate, PO Box 7447, Nikiski, AK

Fred Sturman, PO Box 513, Soldotna, AK

James Price, 49185 Island Lake Road, Nikiski, AK

There being no one else who wished to speak, President Sprague closed the public comment period.

Assembly Member Moss asked about a managerial form of government for the Kenai Peninsula Borough. Attorney Colette Thompson said a mayor would still be elected, but serve in more of a ceremonial capacity. The mayor would only vote in the case of a tie and would presided over the assembly meetings. A manager would be hired by and would report to the assembly. Attorney Thompson said the mayor would retain veto power.

Assembly Member Glick did not believe that the elected mayor would be a voting member of the assembly. Attorney Thompson said statutes allowed the mayor to vote only in the case of a tie.

Assembly Member Merkes asked if the mayor could still introduce ordinances. Attorney Thompson replied in the affirmative.

President Sprague stated Alaska Title 29 outlined the duties of mayors and managers.

Assembly Member Superman said creating a managed form of government would not simply create a better financial picture for the Kenai Peninsula Borough. Mr. Superman took exception to the statements that prior mayors were not qualified for the position. Mr. Superman was not ready to take the recommendation of only 12 people and wanted to see signatures from 1,700 citizens. Assembly Member Superman suggested the petitioners present their own candidate for mayor.

Assembly Member Long did not see a pressing need for immediate change in the borough's form of government. Assembly Member Long said the average tenure for managers in the State of Alaska was two years.

Assembly Member Martin did not believe the current form of government required an immediate fix. Ms. Martin said a request for such a dramatic change in government should come from the citizens and not from the assembly.

Assembly Member Glick said she was asked by her constituents to bring this ordinance before the assembly and did so. Assembly Member Glick reminded everyone that any changes to the existing form of government would not affect the current administration.

VOTE ON MOTION TO ENACT:

Yes: Fischer, Glick, Merkes, Sprague

No: Chay, Long, Martin, Moss, Superman

Absent: None

MOTION TO ENACT FAILED: 4 Yes, 5 No, 0 Absent

(8:55:47)

Ordinance 2004-22: Expanding the Central Emergency Service Area to Include the Funny River Area and/or the Kasilof/Cohoe/Clam Gulch Area (Mayor) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to enact Ordinance 2004-22.

Assembly Member Glick said there were several amendments forthcoming. The Funny River area currently had a volunteer fire department, an emergency service building and several pieces of equipment. The Kasilof/Cohoe/Clam Gulch area had no residential fire protection.

President Sprague opened the public comment period.

(9:00:45)

The following people spoke in favor of Ordinance 2004-22:

Richard Kelley and Dorene Davenport, PO Box 830, Kasilof, AK

Fred Sturman, PO Box 513, Soldotna, AK, but suggested that only dwellings be taxed, not raw land.

Ruby Kime, Alice Avenue, Ninilchik, AK

There being no one else who wished to speak, President Sprague closed the public comment period.

MOTION TO AMEND: Glick moved to amend Ordinance 2004-22 as follows:

Fourth Whereas to read, "the Central Emergency Services board recommended enactment at its July 20, 2004 meeting; and"

MOTION TO AMEND PASSED: Unanimous.

MOTION TO AMEND: Glick moved to amend Section 1 by adding the following legal description to include the Funny River area:

"There is established a Central Emergency Service Area within that portion of the borough described as follows:

All referenced to Seward Meridian, Alaska;

Beginning at the corner common to T3 and 4 N, R10 and 11W;

Thence west along the line common to T3 and 4N, R11W, to the corner common to Section 3, 4, 33 and 34;

Thence, in T3N, R11W, southerly along the line common to Sections 3 and 4 to the N 1/16 corner common to said Sections 3 and 4;

Thence westerly along the north 1/16 line of said Section 4 to the north 1/16 corner on the line common to Sections 4 and 5;

Thence northerly along said common line to the corner common to Sections 4 and 5, T3N, and Sections 32 and 33, T4N, R11W;

Thence, west along the line common to T3 and 4, R11W, to the W 1/16 corner common to Section 31, T4N, R11W and Section 6, T3N, R11W;

Thence south along the W 1/16 line of Section 6, T3N, R11W to the W 1/16 corner common to Sections 6 and 7, T3N, R11W;

Thence south along the W 1/16 line of Section 7, T3N, R11W to the SW 1/16 corner of Section 7, T3N, R11W;

Thence east along the S 1/16 line of Section 7, T3N, R11W to the S 1/16 position common to Sections 7 and 8, T3N, R11W;

Thence east along the S 1/16 line of Section 8, T3N, R11W, 660 feet, more or less, to the eastern boundary of Silver Fox Lane 30' right-of-way;

Thence south along the eastern boundary of Silver Fox Lane 30' right-of-way to the southern boundary of Mink Drive 30' right-of-way, a point on the E 1/16 line of Section 17, T3N, R11W;

Thence west along the E 1/16 line of Section 17, T3N, R11W, to the centerline of Badger Street, a point on the line common to Sections 17 and 18, T3N, R11W;

Thence south along the line common to Sections 17 and 18, T3N, R11W to the corner common to Sections 17, 18, 19 and 20, T3N, R11W, a point on the eastern boundary of Noble Street 30' right-of-way;

Thence south along the line common to Sections 19 and 20, T3N, R11W to the northwesterly boundary of the Sterling Highway;

Thence southwesterly along the northwesterly boundary of the Sterling Highway past Kalifornsky Beach Road to the northern boundary of Harlie Avenue 30' right-of-way, a point on the center 1/4 section line of Section 30, T3N, R11W;

Thence west along the said center quarter section line of Section 30, T3N, R11W, and extending west along the center quarter section line of Section 25, T3N, R12W to the easterly ordinary highwater line of the Kasilof River;

Thence northerly along the easterly ordinary highwater line of the Kasilof River to the point of intersection with the mean highwater line of the easterly shore of Cook Inlet;

Thence westerly and northerly along the said mean highwater line of the right bank, Kasilof River, to the point of intersection with the mean highwater line of the easterly shore of Cook Inlet;

Thence continuing into Cook Inlet, N 45 degrees W to a point that is 1,320 feet westerly of the said mean highwater line of Cook Inlet, as measured normal to the said highwater line;

Thence northerly along a line that is 1,320 feet westerly of the said highwater line of Cook Inlet, as measured normal to the said highwater line; to a point on the westerly extension of the line common to Sections 7 and 18, T5N, R11W, said point also being on the southerly corporate boundary line of the City of Kenai;

Thence west along the line common to Sections 7 and 18 to the section corner common to Sections 7, 8, 17, and 18, T5N, R11W;

Thence southerly along the line common to Sections 17 and 18 to the corner common to Sections 17, 18, 19 and 20;

Thence east along the line common to Sections 17 and 20, 16 and 21 to the corner common to Sections 15, 16, 21 and 22;

Thence north along the line common to Sections 15 and 16 to the 1/4 corner common to Sections 15 and 16;

Thence east along the east-west center 1/4 line of said Section 15 to the 1/4 corner common to Sections 14 and 15;

Thence southerly along the line common to said Sections 14 and 15 to a point on the mean highwater line on the left bank, being the southerly side of the Kenai River;

Thence easterly, northeasterly and southeasterly along the said mean highwater line of the left bank, Kenai River, to a point on the line common to Sections 7 and 18, in T5N, R10W;

Thence continuing along said corporate boundary line, east to the E 1/16 corner common to said Sections 7 and 18;

Thence northerly to the SE 1/16 line through said Section 7;

Thence east to the SW 1/16 corner of Section 8;

Thence northerly to the C W 1/16 corner of said Section 8;

Thence east to the center 1/4 corner of said Section 8;

Thence northerly along the north-south centerline of said Section 8 to the 1/4 corner common to Section 5 and 8;

Thence west along the line common to said Sections 5 and 8 to the corner common to Sections 5, 6, 7 and 8;

Thence northerly along the line common to Sections 5 and 6 to the northerly section corner common to Sections 5 and 6, T5N, R10W;

Thence continue northerly along the line common to Sections 31 and 32, T6N, R10W to the S 1/16 corner common to said Sections 31 and 32;

Thence west along the S 1/16 line of said Section 31 to the S 1/16 corner common to Section 31, T6N, R10W and Section 36, T6N, R11W;

Thence north along the line common to said Sections 31 and 36 to the section corner common to Sections 30 and 31, T6N, R10W and Sections 25 and 36, T6N, R11W;

Thence, leaving the corporate boundary line of the City of Kenai, east along the line common to Sections 30 and 31, 29 and 32 to the section corner common to Sections 28, 29, 32 and 33, T6N, R10W;

Thence southerly along the line common to sections 32 and 33 to the south section corner common to Sections 32 and 33, T6N, R10W;

Thence east along the line common to T5 and 6W, R10W to the corner common to T5 and 6N, R9 and 10W;

Thence north along the line common to R9 and 10W to the N W corner of T8N, R9W;

Thence east along the line common to T8 and 9N to the point of intersection with a line drawn along the Kenai mountains from USC & GS Triangulation Station Gore Point on the Gulf of Alaska to USC & GS Triangulation Station Gull Rock on Turnagain Arm;

Thence southwesterly along the above described line to the point of intersection with the ordinary highwater line on the northerly shore of Skilak Lake in T4N, R5W;

Thence northwesterly along the said ordinary highwater line of the northeasterly shore of Skilak Lake to the outlet of Skilak Lake, also being the Kenai River;

Thence northwesterly and southwesterly along the ordinary highwater line of the northerly bank of the Kenai River to the point of intersection with the line common to T4 and 5N, R8W;

Thence west along the line common to T4 and 5N, R8W, to the point of intersection with the southeasterly right-of-way line of the Funny River Road, in R9W;

Thence southwesterly, westerly and northwesterly along the southerly right-of-way line of the Funny River Road to the point of intersection with the line common to T4 and 5N, R10W, also being a point on the south line of the corporate boundary line of the City of Soldotna;

Thence west along the line common to T4 and 5N, R10W, and portions of said south corporate boundary line, to the N E corner of Section 6, T4N, R10W;

Thence southerly along the line common to Sections 5 and 6 to the south section corner common to Sections 5, 6, 7, and 8, T4N, R10W;

Thence westerly along the section line common to Sections 6 and 7 to the point of intersection with the easterly line of the Sterling Highway right-of-way;

Thence northeasterly along the easterly line of the Sterling Highway right-of-way to the point of intersection with the line common to T4 and 5N, R10W;

Thence west along the line common to T4 and 5N, R10W to the northeast corner of T4N, R11W, also being the northwest corner of T4N, R10W;

Thence south along the line common to T4N, R10 and 11W, to the corner common to T3 and 4 N, R10 and 11W and being the Point of Beginning."

And to amend Section 2 by adding the legal description to include the Kasilof/Cohoe/Clam Gulch areas as shown below:

"There is established a Central Emergency Service Area within that portion of the borough described as follows:

All referenced to Seward Meridian, Alaska;

Beginning at the corner common to T3 and 4N, R10 and 11W;

Thence south along the range line common to R10 and 11W to a corner common to T2 and 3N, R10 and 11W;

Thence west along the township line to a corner common with Sections 4 and 5, T2N, R11W, and Sections 32 and 33, T3N, R11W;

Thence south along the section lines to a corner common with Sections 5 and 6, T1N, R11W, and Sections 31 and 32, T2N, R11W;

Thence west along the township line to the intersection of a point 1,320 feet westerly of the mean highwater line of Cook Inlet, as measured normal to the mean highwater line;

Thence northerly along a line that is 1,320 feet westerly of the said highwater line of Cook Inlet, as measured normal to the said highwater line; to a point on the westerly extension of the line common to Sections 7 and 18, T5N, R11W, said point also being on the southerly corporate boundary line of the City of Kenai;

Thence west along the line common to Sections 7 and 18 to the section corner common to Sections 7, 8, 17, and 18, T5N, R11W;

Thence southerly along the line common to Sections 17 and 18 to the section corner common to Sections 17 18, 19, and 20, T5N, R11W;

Thence east along the line common to Sections 17 and 20, 16 and 21 to the corner common to Sections 15, 16, 21 and 22;

Thence north along the line common to Sections 15 and 16 to the 1/4 corner common to Sections 15 and 16;

Thence east along the east-west center 1/4 line of said Section 15 to the 1/4 corner common to Sections 14 and 15;

Thence southerly along the line common to said Sections 14 and 15 to a point on the mean highwater line on the left bank, being the southerly side of the Kenai River;

Thence easterly, northeasterly and southeasterly along the said mean highwater line of the left bank, Kenai River, to a point on the line common to Sections 7 and 18, in T5N, R10W;

Thence continuing along said corporate boundary line, east to the E 1/16 corner common to said Sections 7 and 18;

Thence northerly to the SE 1/16 line through said Section 7;

Thence east to the SW 1/16 corner of Section 8;

Thence northerly to the C W 1/16 corner of said Section 8;

Thence east to the center 1/4 corner of said Section 8;

Thence northerly along the north-south centerline of said Section 8 to the 1/4 corner common to Section 5 and 8;

Thence west along the line common to said Sections 5 and 8 to the corner common to Sections 5, 6, 7 and 8;

Thence northerly along the line common to Sections 5 and 6 to the northerly section corner common to Sections 5 and 6, T5N, R10W;

Thence continue northerly along the line common to Sections 31 and 32, T6N, R10W to the S 1/16 corner common to said Sections 31 and 32;

Thence west along the S 1/16 line of said Section 31 to the S 1/16 corner common to Section 31, T6N, R10W and Section 36, T6N, R11W;

Thence north along the line common to said Sections 31 and 36 to the section corner common to Sections 30 and 31, T6N, R10W and Sections 25 and 36, T6N, R11W;

Thence, leaving the corporate boundary line of the City of Kenai, east along the line common to Sections 30 and 31, 29 and 32 to the section corner common to Sections 28, 29, 32 and 33, T6N, R10W;

Thence southerly along the line common to sections 32 and 33 to the south section corner common to Sections 32 and 33, T6N, R10W;

Thence east along the line common to T5 and 6W, R10W to the corner common to T5 and 6N, R9 and 10W;

Thence north along the line common to R9 and 10W to the N W corner of T8N, R9W;

Thence east along the line common to T8 and 9N to the point of intersection with a line drawn along the Kenai mountains from USC & GS Triangulation Station Gore Point on the Gulf of Alaska to USC & GS Triangulation Station Gull Rock on Turnagain Arm;

Thence southwesterly along the above described line to the point of intersection with the ordinary highwater line on the northerly shore of Skilak Lake in T4N, R5W;

Thence northwesterly along the said ordinary highwater line of the northeasterly shore of Skilak Lake to the outlet of Skilak Lake, also being the Kenai River;

Thence northwesterly and southwesterly along the ordinary highwater line of the northerly bank of the Kenai River to the point of intersection with the line common to T4 and 5N, R10W;

Thence east along the line common to T4 and 5N, R10W, to the point of intersection with the southeasterly right-of-way line of the Funny River Road, in R9W;

Thence southwesterly, westerly and northwesterly along the southerly right-of-way line of the Funny River Road to the point of intersection with the line common to Tps. 4 and 5N, R10W, also being a point on the south line of the corporate boundary line of the City of Soldotna;

Thence west along the line common to T4 and 5N, R10W, and portions of said south corporate boundary line, to the N E corner of Section 6, T4N, R10W;

Thence southerly along the line common to Sections 5 and 6 to the south section corner common to Sections 5, 6, 7, and 8, T4N, R10W;

Thence westerly along the section line common to Sections 6 and 7 to the point of intersection with the easterly line of the Sterling Highway right-of-way;

Thence northeasterly along the easterly line of the Sterling Highway right-of-way to the point of intersection with the line common to T4 and 5N, R10W;

Thence west along the line common to T4 and 5N, R10W to the northeast corner of T4N, R11W, also being the northwest corner of T4N, R10W;

Thence south along the line common to T4N, R10 and 11W, to the corner common to T3 and 4 N, R10 and 11W and being the Point of Beginning."

CES Chief Jeff Tucker and Ed Oberts provided geographical information on the proposed areas.

Assembly Member Fischer asked for the response time to Mile 120 of the Sterling Highway. Chief Tucker said the response time would be 20 minutes. Chief Tucker noted the K-Beach Station was currently manned 24 hours a day.

Assembly Member Chay asked what was required to limit taxation to improvements only. Attorney Thompson said the assembly could address the issue without going before the voters.

Assembly Member Glick asked about response time from the Ninilchik Volunteer Fire Department. Chief Tucker said the response time would be the same from Ninilchik, but additional equipment and manpower would be available.

President Sprague asked if public hearings were required. Attorney Thompson said public hearings were required for the establishment of new service areas, not for an expansion. Ms. Thompson noted the question had to pass in both the existing service area and the areas to be included.

Assembly Member Fischer asked about fire coverage for the Tustumena Elementary School. Chief Tucker said while the school was outside the current fire coverage area, it was by mayoral order that CES would respond to any incidents at the school.

Assembly Member Merkes asked about wildland fires. Chief Tucker said the Alaska Division of Forestry responded to wildland fires, while CES focused on structure fires. CES does respond to wildland fires through a mutual aid agreement with the state.

Assembly Member Fischer requested a public hearing be held at the Tustumena Elementary School in September 2004.

Assembly Member Chay asked about the process to set different coverage limits for improvements only. Attorney Thompson said it could be done by ordinance.

Assembly Member Fischer asked about the effective date of taxation for the residents in the new areas. Attorney Thompson said the residents would not be taxed until July 1, 2005. The borough could forward fund CES if necessary. Mr. Oberts said the proposed areas were currently in the Emergency Medical Service Area. This ordinance would give CES the authority to respond to fires in the expansion area.

Assembly Member Merkes asked about establishing different tax areas with CES. Attorney Thompson said state statutes allowed for differential tax zones governing different levels of service provided.

MOTION TO AMEND PASSED: Unanimous.

MOTION TO ENACT AS AMENDED PASSED: Unanimous.

(9:34:42)

Ordinance 2004-23: Amending KPB 5.12.115 to Increase the Residential Real Property Exemption from $10,000 to $20,000 (Superman, Mayor, Fischer, Martin) (Referred to Finance Committee)

MOTION: Moss moved to enact Ordinance 2004-23.

Assembly Member Moss noted there was a new handout with current tax numbers.

President Sprague called for public comment.

The following people spoke in opposition to Ordinance 2004-23:

Ruby Kime, Alice Avenue, Ninilchik, AK

Fred Sturman, PO Box 513, Soldotna, AK

Vicki Pate, PO Box 7447, Nikiski, AK

The following people spoke in favor of Ordinance 2004-23:

Representative Mike Chenault, Mile 3 Holt-Lamplight Road, Nikiski, AK

James Price, 49185 Island Lake Road, Nikiski, AK

There being no one else who wished to speak, President Sprague closed the public comment period.

Assembly Member Martin did not see Kachemak Emergency Service Area listed on the sheet. Assessor Shane Horan said the service area appeared within Tax Code Authority (TCA) 81.

Assembly Member Long said the borough did not have a fiscal plan. The mill rate had not increased this year, the sales tax issue was not resolved and the sales tax cap was not raised. Mr. Long felt it was not the right time for the borough to be eliminating revenue.

Assembly Member Superman thanked Representative Chenault and Senator Wagoner for their efforts at the state level. Mr. Superman said this provided a measure of tax relief for residential homeowners. Assembly Member Superman wanted to provide a stable property tax rate. Mr. Superman said there were numerous exemptions; the current $10K homeowner's exemption amounted to less than 2 percent of the total exempt valuation within the borough.

Assembly Member Moss said this was an option for the future. Mr. Moss felt there were other financial problems to address first.

Ed Oberts stated the cities within the borough did not recognize the borough's $10K homeowner's exemption.

Assembly Member Glick suggested the borough limit expenditures and become more efficient before discussing tax decreases.

Assembly Member Martin spoke in favor of Ordinance 2004-23 and reminded her fellow assembly members that voter approval was required.

Attorney Thompson stated the ordinance would become adopted upon voter approval. Ms. Thompson said this was an optional increase afforded by the legislature, not a mandatory exemption of $20K. Attorney Thompson said it was an allowable increase and the amount could be reduced by ordinance.

Assembly Member Glick felt if the voters ratified an exemption increase from $10K to $20K, then the assembly should be bound to that figure and not make any further adjustments.

Assembly Member Fischer said this same issue was discussed 30 years ago.

Assembly Member Chay said there was an inequity between residential taxpayers and the vast amount of exempted property.

VOTE ON MOTION TO ENACT:

Yes: Fischer, Martin, Merkes, Superman, Sprague

No: Chay, Glick, Long, Moss

Absent: None

MOTION TO ENACT PASSED: 5 Yes, 4 No, 0 Absent

(10:17:30)

Ordinance 2004-24: Providing for the Submission to the Qualified Voters of the Nikiski Fire Service Area in the Kenai Peninsula Borough, Alaska, the Question of the Issuance of One Million Nine Hundred Ninety-Five Thousand Dollars ($1,995,000) of General Obligation Bonds of the Nikiski Fire Service Area to Pay the Costs of the Nikiski Fire Station 3 in the Nikiski Fire Service Area, at an Election in and for the Service Area on October 5, 2004 (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to enact Ordinance 2004-24.

Assembly Member Moss reported the Nikiski Fire Service Area board reviewed anticipated revenues and possible budget shortfalls and requested the assembly vote down Ordinance 2004-24.

President Sprague called for public comment with none being offered.

(10:18:54)

Nikiski Fire Chief Dan Gregory said new financial information predicted declining revenues over the next year and the service area board voted to postpone the project.

MOTION: Fischer moved to table Ordinance 2004-24.

VOTE ON MOTION TO TABLE:

Yes: Chay, Fischer, Long, Martin, Merkes, Superman

No: Glick, Moss, Sprague

Absent: None

MOTION TO TABLE PASSED: 6 Yes, 3 No, 0 Absent

(10:31:20)

Resolution 2004-076: Reclassifying Certain Borough Land Located in the Bean Creek Area of Cooper Landing Pursuant to KPB Code of Ordinances, Chapter 17.10.080 (Mayor) (Referred to Lands Committee)

MOTION: Martin moved to adopt Resolution 2004-076.

President Sprague called for public comment with none being offered.

Assembly Member Fischer asked if this action was the same as zoning. Attorney Thompson explained the difference between zoning restrictions and land classifications.

Paul Ostrander, KPB Land Management Officer, said this property in the Bean Creek area of Cooper Landing was the same property shown as a proposed rural residential local option zoning district. Mr. Ostrander noted the community had requested the rural residential status, prior to the borough developing or selling any of this property.

Assembly Member Glick inquired about the number of notices sent. Mr. Ostrander said property owners within the one half mile property radius were notified of the classification process.

Assembly Member Long stated the Cooper Landing Advisory Planning Commission and the community itself had been actively involved in the process.

MOTION TO ADOPT PASSED: Unanimous.

(10:43:06)

MOTION: Long moved to extend the legislative deadline by one half hour to Midnight.

MOTION PASSED: Unanimous.

(10:44:40)

Resolution 2004-077: Classifying Certain Borough Land Pursuant to KPB Code of Ordinances, Chapter 17.10.080 (Mayor) (Referred to Lands Committee)

[Clerk's Note: A teleconference site was established at the Kenai Peninsula Borough Homer Assessing Office to receive public testimony on the above ordinance.]

MOTION: Martin moved to adopt Resolution 2004-077.

Assembly Member Martin said Kachemak Emergency Service Area had expressed interest in Parcel 173-160-54 and the administration recommended removing the parcel from the classification process and the borough land sale.

President Sprague called for public comment:

The following people spoke in favor of Resolution 2004-077, with the deletion of Parcel 173-160-54:

Vi Jerrell, PO Box 938, Homer, AK

Wayne Watson, PO Box 884, Homer, AK, spoke on behalf of the Kachemak Ski Club

Doris Cabana, PO Box 607, Homer, AK

Paul Pellegrini, PO Box 1961, Homer, AK, spoke on behalf of the Kachemak Emergency Service Area

Gwen Watkins, PO Box 4045, Homer, AK

The following person spoke in opposition to Resolution 2004-077:

Fred Sturman, PO Box 513, Soldotna, AK

The following people asked that Parcel 172-360-01 be changed to an agricultural classification:

Dewey Youngerman, 35050 Lowbush Street, Homer, AK

Lloyd Schade, 35250 Schade Drive, Homer, AK

The following person said Parcel 165-180-02 had adequate road and bridge access and should become a subdivision:

Ann Bayes, 3668 North Fork Road, Anchor Point, AK

There being no one else who wished to speak, President Sprague closed the public comment period.

MOTION TO AMEND: Martin moved to delete Parcel 173-160-54.

Assembly Member Fischer noted the City of Homer was interested in purchasing the property.

VOTE ON MOTION TO AMEND:

Yes: Chay, Fischer, Long, Martin, Moss, Superman, Sprague

No: Glick, Merkes

Absent: None

MOTION TO AMEND PASSED: 7 Yes, 2 No, 0 Absent

MOTION TO AMEND: Long moved to amend Resolution 2004-077 as follows:

"Section 1. ...Tract 1, Exit Glacier Subdivision No. 2 [COMMERCIAL] Preservation

Tract 2, Exit Glacier Subdivision No. 2 [COMMERCIAL] Preservation..."

MOTION TO AMEND PASSED: Unanimous.

MOTION TO AMEND: Fischer moved to delete Parcel 165-180-02.

MOTION TO AMEND PASSED: Unanimous.

MOTION: Glick moved to delete Parcel 172-360-01.

MOTION TO AMEND PASSED: Unanimous.

MOTION TO ADOPT AS AMENDED PASSED: Unanimous.

(11:32:06)

Ordinance 2004-25: Authorizing the Sale of ___ Parcels of Borough Land by Sealed Bid (Mayor) (Referred to Lands Committee)

[Clerk's Note: A teleconference site was established at the Kenai Peninsula Borough Homer Assessing Office to receive public testimony on the above ordinance.]

MOTION: Martin moved to enact Ordinance 2004-25.

President Sprague called for public comment.

The following people spoke in favor of Ordinance 2004-25, with Parcel 173-160-54 deleted from the sale:

Vi Jerrell, PO Box 938, Homer, AK

Doris Cabana, PO Box 607, Homer, AK

Gwen Watkins, 2908 Kachemak Bay Drive, Homer, AK

Lloyd Schade, 32350 Schade Drive, Homer, AK, asked the borough to clear the dead timber from Parcel 172-360-01.

There being no one else who wished to speak, President Sprague closed the public comment period.

MOTION TO AMEND: Martin moved to amend Ordinance 2004-25 as follows:

Final Whereas to read, "the Planning Commission at its regularly scheduled meeting of July 19, 2004 recommended enactment by unanimous consent;"

"Section 1. That parcels listed on Attachment A are authorized for sale at a minimum of the fair market value as estimated by the Assessing Department."

And to include the following as Attachment A to Ordinance 2004-25:

ASSESSOR PARCEL GENERAL LOCATION LEGAL DESCRIPTION ACRES PROPOSED CLASSIFICATION MINIMUM BID
017-170-35 North Kenai Government Lot 140, Section 14, T6N, R12W, S.M., Ak. 2.50 Residential $5,000
017-180-06 North Kenai Government Lot 23, Section 23, T6N, R12W, S.M., Ak. 2.50 Residential $5,000
025-260-13 Gray Cliff Lot 61, Gray Cliff Subdivision, Filed as Plat No. 82-80, Kenai Recording District. 6.69 Rural $5,000
025-380-06 Gray Cliff Lot 322, Gray Cliff Subdivision, filed as Plat No. 82-80, Kenai Recording District. 1.52 Rural $2,500
025-390-16 Gray Cliff Lot 331, Gray Cliff Subdivision, filed as Plat No. 82-80, Kenai Recording District. 1.51 Rural $2,500
058-011-12 Ridgeway Lot 3, Block 1, Sevena Lake Meadows Amended, filed as Plat No. 87-27, Kenai Recording District. 1.00 Rural $12,000
065-370-18 Sterling SW� SE� , Section 2, T5N, R8W, S.M., Ak. 40.00 Residential $41,000
139-210-02 Clam Gulch West 416 ft of the east 1116 ft. of the north 312 ft. of the NE� NW�, Section 7, T1N, R12W, S.M., Ak. 3.00 Rural $4,000
to be assigned K-Beach Tract A, Beach View Subdivision, filed as Plat No. 2004-___, Kenai Recording District. 19.18 Residential $40,000
to be assigned K-Beach Tract B, Beach View Subdivision, filed as Plat No. 2004-___, Kenai Recording District. 20.67 Residential $40,000
to be assigned K-Beach Lot 1, Beach View Subdivision, filed as Plat No. 2004-___, Kenai Recording District. 5.53 Residential $99,000
to be assigned K-Beach Lot 2, Beach View Subdivision, filed as Plat No. 2004-___, Kenai Recording District. 5.53 Residential $99,000
to be assigned Cooper Landing Lot 19, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-___, Seward Recording District. 2.69 Residential $75,800
to be assigned Cooper Landing Lot 20, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 2.654 Residential $75,200
to be assigned Cooper Landing Lot 21, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 2.771 Residential $77,200
to be assigned Cooper Landing Lot 22, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 5.681 Residential $112,900
to be assigned Cooper Landing Lot 23, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.606 Residential $98,400
to be assigned Cooper Landing Lot 24, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 3.612 Residential $89,000
to be assigned Cooper Landing Lot 25, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 3.267 Residential $84,800
to be assigned Cooper Landing Lot 26, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 2.781 Residential $77,400
to be assigned Cooper Landing Lot 27, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 2.629 Residential $74,700
to be assigned Cooper Landing Lot 28, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.032 Residential $93,100
to be assigned Cooper Landing Lot 29, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 5.371 Residential $68,200
to be assigned Cooper Landing Lot 31, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.714 Residential $49,200
to be assigned Cooper Landing Lot 32, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.405 Residential $64,600
to be assigned Cooper Landing Lot 33, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 3.919 Residential $72,600
to be assigned Cooper Landing Lot 34, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.241 Residential $95,800
to be assigned Cooper Landing Lot 35, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.211 Residential $95,300
to be assigned Cooper Landing Lot 36, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.195 Residential $90,200
to be assigned Cooper Landing Lot 37, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 3.87 Residential $86,100
to be assigned Cooper Landing Lot 38, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.316 Residential $91,000
to be assigned Cooper Landing Lot 39, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.611 Residential $95,400
to be assigned Cooper Landing Lot 40, Birch and Grouse Ridge Subdivision, filed as Plat No. 2004-____, Seward Recording District. 4.787 Residential $96,800

MOTION TO AMEND PASSED: Unanimous.

MOTION TO AMEND: Martin moved to delete the following parcels:

165-180-02; 172-360-01; and 173-160-54.

MOTION TO AMEND PASSED: Unanimous.

MOTION TO AMEND: Long moved to delete Tracts 1 and 2, Exit Glacier Subdivision No. 2.

MOTION TO AMEND PASSED: Unanimous.

MOTION TO AMEND: Long moved to amend the title to read, "An Ordinance Authorizing the Sale of 33 Parcels of Borough Land by Sealed Bid"

MOTION TO AMEND PASSED: Unanimous.

VOTE ON MOTION TO ENACT AS AMENDED:

Yes: Long, Martin, Merkes, Moss, Superman, Sprague

No: Chay, Fischer, Glick

Absent: None

MOTION TO ENACT AS AMENDED PASSED: 6 Yes, 3 No, 0 Absent

(11:59:30)

MOTION: Merkes moved to suspend the rules and address Resolution 2004-079.

MOTION PASSED: Without objection.

Resolution 2004-079: Authorizing the Transfer of Surplus Project Funds to the Susan B. English Natatorium Wall Resurfacing and Sound Treatment Project (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to adopt Resolution 2004-079.

President Sprague called for public comment with none being offered.

Having reached the legislative deadline of Midnight, the meeting was adjourned.

ASSEMBLY MEETING AND HEARING ANNOUNCEMENTS

I certify the above represents accurate minutes of the Kenai Peninsula Borough Assembly meeting of August 3, 2004.