Kenai Peninsula Borough

Assembly Meeting Minutes

August 17, 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 17, 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 Envoy Craig Fanning, Salvation Army, Kenai.

There were present:

Pete Sprague, Presiding

Dan Chay

Paul Fischer

Betty Glick

Milli Martin

Grace Merkes

Chris Moss

Gary Superman comprising a quorum of the assembly.

Absent:

Ron Long, (excused)

Also in attendance were:

Dale Bagley, Assistant to the Mayor

Colette Thompson, Borough Attorney

Sherry Biggs, Deputy Borough Clerk

Johni Blankenship, Administrative Assistant, Clerk's Office

COMMITTEE REPORTS (7:00:49)

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.

Assembly Member Martin said the Lands Committee heard a presentation from Roberta Wilfong, KPB Spruce Bark Beetle Mitigation Program Manager, on the All Lands/All Hands Action Plan. The Committee then addressed its brief agenda.

APPROVAL OF AGENDA AND CONSENT AGENDA (7:19:04)

MOTION TO APPROVE AGENDAS: Glick 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:

The following item was moved from the regular agenda to the consent agenda:

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

[Clerk's Note: The following technical amendments were made to Resolution 2004-085:

Final Whereas to read, "at its meeting of August 11, 2004 the Nikiski Fire Service Area Board [RECOMMENDED] approved acceptance of the maintenance agreement with the Alaska Department of Transportation;"

[Without objection, a shortened hearing date of September 7, 2004 was scheduled for Ordinance 2004-19-08 due to time constraints by the granting agency.]

President Sprague called for public comment on consent agenda items.

(7:21:20)

Ruby Kime, Alice Avenue, Ninilchik, AK, spoke in opposition to Resolution 2004-081.

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 (7:24:28)

President Sprague read aloud a resolution commending the nine and ten year old Soldotna Little League All-Star Baseball Team as the 2004 State Champions.

PRESENTATIONS WITH PRIOR NOTICE (7:29:43)

Diana Zirul, Central Peninsula General Hospital, Inc. (CPGH) Board Member, provided a quarterly update on hospital activities for the reporting period of April 1 to June 30, 2004.

Marilynn Jackson, PO Box 950, Kasilof, AK, discussed the Health Services Opportunities Collaborative.

PUBLIC COMMENTS ON ITEMS NOT APPEARING ON THE AGENDA (7:58:58)

Lloyd Schade, 35250 Schade Drive, Homer, AK, asked if correct land classifications had been determined for Parcel Number 172-360-01.

REPORTS OF COMMISSIONS AND COUNCILS - None.

MAYOR'S REPORT (8:03:04)

Agreements and Contracts

Mayor Bagley reported on his trip to Akita, Japan for the city's 400-year anniversary celebration.

ITEMS NOT COMPLETED FROM PRIOR AGENDA (8:05:02)

Ordinance 2004-26: Amending KPB 17.10.040 to Authorize the Acquisition of Interests in Lands and Resources Costing $15,000 or Less Without Assembly Approval (Mayor) (Referred to Lands Committee)

MOTION: Martin moved to enact Ordinance 2004-26.

President Sprague called for public comment.

The following people spoke in opposition to Ordinance 2004-046:

Ruby Kime, Alice Avenue, Ninilchik, AK

Lloyd Schade, 35250 Schade Drive, Homer, AK

Mark Osterman, PO Box 1027, Kasilof, AK

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

MOTION TO AMEND: Martin moved to amend Ordinance 2004-26 as follows:

Final Whereas to read, "the planning commission, at its meeting of July 19, 2004 recommended enactment by unanimous consent;

MOTION TO AMEND PASSED: Without objection.

Assembly Member Glick asked the administration to further clarify the need for this ordinance. Mayor Bagley stated the intent was to streamline the process for both the assembly and administration.

Assembly Member Martin expressed her concern with negating the public process by eliminating public notice and hearings.

Assembly Member Fischer spoke in opposition to the ordinance.

Assembly Member Merkes expressed her support for the ordinance and felt the administration could make such decisions.

MOTION TO AMEND: Moss moved to amend Ordinance 2004-26 as follows:

Section 1. (C) to read, "The mayor is authorized to approve the acquisition of lands or interests in lands or resources costing $15,000 or less per year [FOR A MAXIMUM OF FIVE YEARS.] All such acquisitions shall be reported to the assembly upon their completion."

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ENACT AS AMENDED:

Yes: Merkes, Moss, Superman

No: Chay, Fischer, Glick, Martin, Sprague

Absent: Long

MOTION TO ENACT AS AMENDED FAILED: 3 Yes, 5 No, 1 Absent

(8:26:18)

Resolution 2004-051: Supporting the Designation of the Sterling Highway as a State Scenic Byway Between Skilak Road and Anchor Point by the Alaska Department of Transportation and Public Facilities (Martin) (Referred to Lands Committee)

[Clerk's Note: There was a motion to adopt on the floor from the May 18, 2004 meeting.]

President Sprague called for public comment.

The following people spoke in favor of Resolution 2004-051:

Nancy Casey, 34360 Sienna Circle, Soldotna, AK

Mayor Dave Carey, 119 Shady Lane, Soldotna, AK, spoke on behalf of the City of Soldotna

Ann Marie Holen, Special Projects Coordinator, spoke on behalf of the City of Homer

John Parker, Aviator Avenue, Soldotna, AK, spoke on behalf of the Economic Development District

Dave Casey, 34360 Sienna Circle, Soldotna, AK

Chris Myrtle, 40165 Fain (sp) Road, Juneau, AK

Aud Walaszek, spoke on behalf of the Kenai Peninsula Tourism Marketing Council

Ricky Gease, PO Box 700, Kenai, AK, spoke on behalf of the Kenai River Sport Fishing Association

The following people spoke in opposition to Resolution 2004-051:

Fred Sturman, PO Box 513, Soldotna, AK

Lloyd Schade, 35250 Schade Drive, Homer, AK

Ruby Kime, Alice Avenue, Ninilchik, AK

Joyce Fischer, Mile 107 Sterling Highway, Kasilof, AK

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

Assembly Member Martin said the resolution brought about community process and she spoke in favor of the resolution.

Assembly Member Merkes stated that she had not seen any support from the Sterling community or by individual land owners in the area. Ms. Merkes quoted a survey conducted by the Alaska Pacific University indicating the Sterling Highway as "unknown and untraveled."

Assembly Member Moss felt the resolution was in the best interest for the tourism industry throughout the borough.

Assembly Member Chay spoke in favor of the resolution and noted Kenai River Sportsfishing Association's willingness to offer financial support.

Assembly Members Fischer and Glick spoke in opposition to the resolution.

President Sprague passed the gavel to Vice President Superman. President Sprague spoke in support of the resolution. The gavel was returned to President Sprague.

VOTE ON MOTION TO ADOPT:

Yes: Chay, Martin, Moss, Sprague

No: Fischer, Glick, Merkes, Superman

Absent: Long

MOTION TO ADOPT FAILED: 4 Yes, 4 No, 1 Absent

Assembly Member Martin gave notice of reconsideration on Resolution 2004-051.

(10:13:58)

Resolution 2004-073: Authorizing the Assessor to Assess Low-Income Housing Tax Credit (LIHTC) Projects based on Restricted Rents (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to adopt Resolution 2004-073.

Assembly Member Moss stated the administration had requested postponement of Resolution 2004-073.

President Sprague called for public comment.

The following person spoke in support of Resolution 2004-073 and requested commercial buildings also be assessed at actual income levels:

Fred Sturman, PO Box 513, Soldotna, AK

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

MOTION TO POSTPONE: Moss moved to postpone Resolution 2004-073 until September 21, 2004.

VOTE ON MOTION TO POSTPONE:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

No: None

Absent: Long

MOTION TO POSTPONE PASSED: 8 Yes, 0 No, 1 Absent (10:16:47)

Resolution 2004-074: Authorizing the Mayor to Enter a Maintenance Agreement for the Bear Creek Fire Service Area Flashing Beacon (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to adopt Resolution 2004-074.

Assembly Member Moss said an amendment was forthcoming.

President Sprague called for public comment with none being offered.

MOTION TO AMEND: Moss moved to amend Resolution 2004-074 as follows:

Final Whereas to read, "at its meeting of August 10, 2004 the Bear Creek Fire Service Area Board [RECOMMENDED] approved acceptance of the maintenance agreement with the Alaska Department of Transportation, provided the agreement was reviewed and approved by Chief Beals;

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ADOPT AS AMENDED:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

No: None

Absent: Long

MOTION TO ADOPT AS AMENDED PASSED: 8 Yes, 0 No, 1 Absent

(10:19:23)

Resolution 2004-075: Amending the Assembly Manual to Clarify the Assembly's Position with Respect to Assembly Business Cards, to Give Guidance to Assembly Members Attending the Alaska Municipal League's Annual Conference, and to Conform to Provisions in the Borough Code and Alaska Statues Relating to Public Notice Required for Special Meetings of the Assembly (Policies and Procedures Committee) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to adopt Resolution 2004-075.

President Sprague opened and closed the public comment period with none being offered.

Assembly Member Moss stated his concern regarding a majority support of the assembly during Alaska Municipal League Conferences.

(10:30:53)

The gavel was passed to Vice President Superman, while President Sprague made amendments to Resolution 2004-075

MOTION TO AMEND: Sprague moved to amend Resolution 2004-075 as follows:

Section 3. D. 3. to read, "... [TO THIS END THE ASSEMBLY MEMBERS IN ATTENDANCE AT THE CONFERENCE WILL MEET THE EVENING BEFORE THE ANNUAL BUSINESS MEETING TO DETERMINE A POSITION ON ANY NEW POLICY ISSUES, RESOLUTIONS, OR PROPOSED AMENDMENTS. ALTHOUGH THIS SESSION WILL BE HELD AT THE CONFERENCE SITE, MEMBERS OF THE PUBLIC MAY ATTEND THIS SESSION AND ARE INVITED TO DO SO.] ..."

MOTION TO AMEND PASSED: Without objection.

MOTION TO AMEND: Sprague moved to amend Resolution 2004-075 as follows:

Section 1. (E) to read, "Assembly members may include a borough website uniform resource locator (URL) on their assembly business cards with their address, email address, and telephone number, cell phone number, and/or fax number, as requested. At the request of an assembly member, the administration may provide a link on the borough web page to an assembly member's personal web site provided that a disclaimer, approved by the borough attorney, shall appear prior to a transfer from the borough web page to the personal web site. A personal web site to which a link is provided on the borough web page may not contain information that violates applicable laws, regulations or policies, and shall not be designed to promote the assembly member's pecuniary benefit. [A LINK TO AN ASSEMBLY MEMBER'S PERSONAL WEBSITE FROM THE BOROUGH WEBSITE WILL INCLUDE A DISCLAIMER WRITTEN BY THE BOROUGH ATTORNEY.]"

MOTION TO AMEND PASSED: Without objection.

The gavel was returned to Assembly President Sprague.

VOTE ON MOTION TO ADOPT AS AMENDED:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

No: None

Absent: Long

MOTION TO ADOPT AS AMENDED PASSED: 8 Yes, 0 No, 1 Absent

(10:38:09)

Resolution 2004-078: Establishing a Policy Regarding Use of the Internet by Assembly Members During Regular Assembly Meetings and Assembly Committee Meetings (Chay) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to adopt Resolution 2004-078.

Assembly Member Glick stated Resolution 2004-078 had been discussed by the Policies and Procedures Committee during the last several months.

President Sprague opened and closed the public comment period with none being offered.

Assembly Member Merkes asked if the borough would provide computers to each assembly member. Assembly Member Chay responded that the resolution would allow assembly members to use their personal computer equipment to conduct web-based research during committee and assembly meetings.

Assembly Member Fischer felt computer use would be distracting during an assembly meeting.

Assembly Member Merkes spoke against the resolution.

Assembly Member Martin spoke against the resolution and was concerned with the public's perception.

Assembly Member Moss spoke in favor of the concept, but felt it was not timely.

Assembly Member Glick stated the Policies and Procedures Committee had discussed possible violations of the Open Meetings Act. Ms. Glick said the question arose as to email that may be sent during a meeting and would it be made available to the public, as well as other assembly members.

VOTE ON MOTION TO ADOPT:

Yes: Chay

No: Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

Absent: Long

MOTION TO ADOPT FAILED: 1 Yes, 7 No, 1 Absent

PUBLIC HEARINGS ON ORDINANCES

(11:02:17)

Ordinance 2004-19-04: Appropriating $790,000 from the Land Trust Fund for Constructing Roads and Utilities in Birch and Grouse Ridge Subdivision (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to enact Ordinance 2004-19-04.

Assembly Member Moss indicated several amendments were forthcoming.

President Sprague called for public comment.

The following people spoke in opposition to Ordinance 2004-19-04:

Ruby Kime, Alice Avenue, Ninilchik, AK

Lloyd Schade, 35250 Schade Drive, Homer, AK

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

MOTION TO AMEND: Moss moved to amend Ordinance 2004-19-04 as follows:

Title to read, "Appropriating $690,000 [790,000] from the Land Trust Fund for Constructing Roads and Utilities in Birch and Grouse Ridge Subdivision"

Section 1 to read, "The sum of $690,000 [790,000] is appropriated from the fund balance of the Land Trust Fund..."

First Whereas to read, "Ordinance 2004-25 [AS PROPOSED WILL] authorized the sale of 21 residential parcels..."

Final Whereas to read, "the KPB Planning Commission at its regularly scheduled meeting of August 9, 2004 recommended enactment;

MOTION TO AMEND PASSED: Without objection.

Assembly Member Martin asked about the time line for the construction of roads and utilities. KPB Land Management Officer Paul Ostrander said 4x4 vehicle roads would be completed by October 15, 2004, with utilities scheduled for next spring.

Assembly Members Glick and Fischer spoke in opposition to Ordinance 2004-19-04 and felt the borough should not become a land developer.

Mayor Bagley understood the concerns of the assembly, however, he indicated the community of Cooper Landing requested the borough's participation as exhibited.

Assembly Member Superman asked for the average size of the lots in question. Mr. Ostrander said the lots averaged four acres in size.

(11:25:21)

MOTION: Merkes moved to extend the legislative deadline by one half hour from 11:30 p.m. to Midnight.

MOTION PASSED: Without objection.

Assembly Member Merkes asked about the assessed value if there were no improvements made to the property. Denis Mueller of the Assessing Department said the land value would be decreased by approximately 20 percent for lack of developed road access, with an additional 20 percent reduction for lack of utilities.

Assembly Member Martin spoke in favor of Ordinance 2004-19-14 and reminded her fellow assembly members of the success with the Russian Gap Subdivision.

VOTE ON MOTION TO ENACT AS AMENDED:

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

No: Glick

Absent: Long

MOTION TO ENACT AS AMENDED PASSED: 7 Yes, 1 No, 1 Absent

(11:32:33)

Ordinance 2004-19-05: Appropriating $217,975.05 to the Special Assessment Fund for Tustumena Terrace Natural Gas Line Utility Special Assessment District (Mayor) (Referred to Finance Committee)

[Clerk's Note: President Sprague stated he was a property owner in the Utility Special Assessment District and abstained from voting on Ordinance 2004-19-05. The gavel was passed to Vice President Superman.]

MOTION: Moss moved to enact Ordinance 2004-19-05.

Vice President Superman opened and closed the public comment period with none being offered.

Assembly Member Fischer requested clarification regarding the foreclosure process. Borough Attorney Colette Thompson stated the borough had the ability to foreclose on unpaid delinquent assessments.

VOTE ON MOTION TO ENACT:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman,

No: None

Absent: Long

Abstain: Sprague

MOTION TO ENACT PASSED: 7 Yes, 0 No, 1 Absent, 1 Abstention

The gavel was returned to Assembly President Sprague.

(11:35:55)

Ordinance 2004-19-06: Accepting a $40,450 Grant from the State of Alaska for the Borough's Coastal Management Program (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to enact Ordinance 2004-19-06.

President Sprague called for public comment with none being offered.

VOTE ON MOTION TO ENACT:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

No: None

Absent: Long

MOTION TO ENACT PASSED: 8 Yes, 0 No, 1 Absent

(11:38:44)

NEW BUSINESS

Resolution 2004-082: Authorizing Award of a Contract for Bean Creek Development, Birch Ridge Subdivision Road Access Construction (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to adopt Resolution 2004-082.

President Sprague opened and closed the public comment period with none being offered.

VOTE ON MOTION TO ADOPT:

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

No: Glick

Absent: Long

MOTION TO ADOPT PASSED: 7 Yes, 1 No, 1 Absent

(11:40:16)

Resolution 2004-083: Proceeding with the Tustumena Terrace Subdivision Utility Special Assessment District for a Natural Gas Main Line (Mayor) (Referred to Finance Committee)

[Clerk's Note: President Sprague stated he was a property owner in the Utility Special Assessment District and abstained from voting on Resolution 2004-083. The gavel was passed to Vice President Superman.]

MOTION: Moss moved to adopt Resolution 2004-083.

Vice President Superman opened and closed the public comment period with none being offered.

VOTE ON MOTION TO ADOPT:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman,

No: None

Absent: Long

Abstain: Sprague

MOTION TO ADOPT PASSED: 7 Yes, 0 No, 1 Absent, 1 Abstention

The gavel was returned to Assembly President Sprague.

(11:41:30)

Approval of Ballot Proposition Summaries (Referred to Policies and Procedures Committee)

MOTION: Glick moved to approve the ballot proposition summaries.

President Sprague called for public comment.

The following people suggested amendments to the ballot propositions:

Ruby Kime, Alice Avenue, Ninilchik, AK, commented on the homeowners exemption and service area powers for the North Peninsula Recreation Service Area.

Lloyd Schade, 35250 Schade Drive, Homer, AK, commented on the CES expansion.

Fred Sturman, PO Box 513, Soldotna, AK commented on the increased homeowners exemption.

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

MOTION TO AMEND: Glick moved to amend the ballot propositions as suggested by the legal department's memo dated August 17, 2004.

President Sprague recessed the meeting at 11:57 p.m. The Assembly was scheduled to reconvene at 9:00 a.m. on Wednesday, August 18, 2004.

 

CALL TO ORDER

The Regular Meeting of the Kenai Peninsula Borough Assembly reconvened on August 18, 2004, in the Borough Assembly Chambers, Soldotna, Alaska. President Sprague called the meeting to order at 9:00 a.m.

There were present:

Pete Sprague, Presiding

Dan Chay

Paul Fischer

Betty Glick

Milli Martin

Grace Merkes (excused at 9:40 a.m.)

Chris Moss

Gary Superman  comprising a quorum of the assembly.

Absent:

Ron Long (excused)

Also in attendance were:

Linda Murphy, Borough Clerk

Colette Thompson, Borough Attorney

Sherry Biggs, Deputy Borough Clerk

NEW BUSINESS (Other)

Approval of Ballot Proposition Summaries (Referred to Policies and Procedures Committee)

[Clerk's Note: A motion to amend the ballot propositions was on the floor from the August 17, 2004 meeting. Assembly Member Glick withdrew her original motion and restated as shown below:]

Proposition No. 1, Increasing the Residential Real Property Tax Exemption

(9:04:35)

MOTION: Glick moved to amend Proposition 1, Increasing the Residential Real Property Tax Exemption, by adding the following final paragraph:

"Each service area board may then determine whether to recommend that the assembly increase their mill rate to adjust for the loss of revenue projected in the table above as a result of this proposed tax exemption. Property owners in the incorporated cities in the borough currently pay both borough and city property taxes. This proposition only applies to borough property taxes and not to property taxes imposed by the incorporated cities of the borough."

Assembly Member Merkes asked if the cities recognized the borough's $10K exemption. It was noted that the cities did not offer such an exemption.

(9:15:32)

The gavel was passed to Vice President Superman while President Sprague made the following amendment:

MOTION TO AMEND: Sprague moved to amend the Glick amendment by deleting the first two sentences as shown below:

"[EACH SERVICE AREA BOARD MAY THEN DETERMINE WHETHER TO RECOMMEND THAT THE ASSEMBLY INCREASE THEIR MILL RATE TO ADJUST FOR THE LOSS OF REVENUE PROJECTED IN THE TABLE ABOVE AS A RESULT OF THIS PROPOSED TAX EXEMPTION. PROPERTY OWNERS IN THE INCORPORATED CITIES IN THE BOROUGH CURRENTLY PAY BOTH BOROUGH AND CITY PROPERTY TAXES.] This proposition only applies to borough property taxes and not to property taxes imposed by the incorporated cities of the borough."

(9:21:00)

The gavel was passed to President Pro Tem Moss. Vice President Superman spoke in favor of the Sprague amendment. The gavel was returned to Vice President Superman.

VOTE ON SPRAGUE AMENDMENT:

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

No: Chay, Glick

Absent: Long

SPRAGUE AMENDMENT PASSED: 6 Yes, 2 No, 1 Absent

The gavel was returned to Assembly President Sprague.

VOTE ON MOTION TO AMEND PROPOSITION NO. 1:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

No: None

Absent: Long

MOTION TO AMEND PASSED: 8 Yes, 0 No, 1 Absent

(9:25:26)

The gavel was passed to Vice President Superman. President Sprague proposed the following amendment:

MOTION TO AMEND: Sprague moved to amend the Fiscal Note to read, "Based upon the current assessed values, this increase in the tax exemption would result in a loss of approximately $913,777 [$577,250] in annual tax revenues to the borough ['S GENERAL FUND]. This includes a $577,250 loss in general fund revenues...."

Assembly Members Fischer and Merkes spoke in opposition to the amendment.

(9:29:55)

The gavel was passed to President Pro Tem Moss. Vice President Superman stated the fiscal note should relate to service areas and the general fund separately. The gavel was returned to Vice President Superman.

VOTE ON MOTION TO AMEND:

Yes: Glick, Sprague

No: Chay, Fischer, Martin, Merkes, Moss, Superman

Absent: Long

MOTION TO AMEND FAILED: 2 Yes, 6 No, 1 Absent

The gavel was returned to President Sprague.

MOTION: Merkes moved to amend the Fiscal Note to read as follows:

"...In addition, following is a table showing the impact this tax exemption [INCREASE] would have on each service area of the borough."

VOTE ON MOTION TO AMEND:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

No: None

Absent: Long

MOTION TO AMEND PASSED: 8 Yes, 0 No, 1 Absent

MOTION: Chay moved to amend the Fiscal Note to read, "The cumulative impact to the borough's annual tax revenues would be $913,777."

Assembly Members Fischer and Superman spoke in opposition to the amendment.

VOTE ON MOTION TO AMEND:

Yes: Chay, Glick, Moss, Sprague

No: Fischer, Martin, Merkes, Superman

Absent: Long

MOTION TO AMEND FAILED: 4 Yes, 4 No, 1 Absent

VOTE ON MOTION TO APPROVE

LANGUAGE FOR PROPOSITION 1

AS AMENDED:

Yes: Chay, Fischer, Glick, Martin, Merkes, Moss, Superman, Sprague

No: None

Absent: Long

MOTION TO APPROVE LANGUAGE

AS AMENDED PASSED: 8 Yes, 0 No, 1 Absent

[Clerk's Note: Assembly Member Merkes was excused at 9:40 a.m.]

(9:46:30)

Proposition No. 6, Central Emergency Service Area Expansion - Kasilof/Cohoe/Clam Gulch

MOTION TO AMEND: Fischer moved to amend the second paragraph to read,

"If this proposition is approved by the voters, CES will be empowered to provide the following services to the expansion area: ...

-Planning for a fire station in the area. [MOST LIKELY ON BOROUGH PROPERTY LOCATED ACROSS FROM TUSTUMENA ELEMENTARY SCHOOL]..."

VOTE ON MOTION TO AMEND:

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

No: None

Absent: Long, Merkes

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

MOTION TO AMEND: Chay moved to amend Proposition 5 (CES Expansion - Funny River) and Proposition 6 (CES Expansion - Kasilof/Cohoe/Clam Gulch) as follows:

Second sentence of the Fiscal Notes to read, "Approval of this proposition [WILL] is expected to result in a 1.35 mill tax increase for all property located within the expansion area."

VOTE ON MOTION TO AMEND:

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

No: None

Absent: Long, Merkes

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

VOTE ON MOTION TO ADOPT ALL

PROPOSITION LANGUAGE AS AMENDED:

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

No: None

Absent: Long, Merkes

MOTION TO ADOPT PROPOSITION

LANGUAGE AS AMENDED PASSED: 7 Yes, 0 No, 2 Absent

PUBLIC COMMENTS AND PUBLIC PRESENTATIONS - None.

ASSEMBLY MEETING AND HEARING ANNOUNCEMENTS (9:54:05)

ASSEMBLY COMMENTS (9:56:20)

Assembly Member Martin said a teleconference to review AML 2005 draft policies was scheduled for the AML Subcommittee Members on August 18, 2004. Ms. Martin reported on a recent bear viewing trip with a local tour operator.

Assembly Member Chay expressed his dismay at the denial of internet access during assembly meetings.

Assembly Member Fischer said he would be out of town for the next assembly meeting and would try to teleconference from Vermont.

Assembly President Sprague thanked everyone for their participation during the long meeting last night.

ADJOURNMENT (10:00:00)

With no further business to come before the assembly, President Sprague adjourned the meeting at 10:00 a.m.

I certify the above represents accurate minutes of the Kenai Peninsula Borough Assembly meeting of August 17, 2004 and its continuance on August 18, 2004.