CALL TO ORDER

A Regular Meeting of the Kenai Peninsula Borough Assembly was held on October 12, 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 Pastor Rick Cupp, Kenai Fellowship.

There were present:

Pete Sprague, Presiding

Dan Chay

Paul Fischer

Betty Glick

Ron Long

Milli Martin

Grace Merkes

Chris Moss

comprising a quorum of the assembly.

Absent:

Gary Superman (excused)

Also in attendance were:

Dale Bagley, Borough Mayor

Colette Thompson, Borough Attorney

Linda Murphy, Borough Clerk

Sherry Biggs, Deputy Borough Clerk

COMMITTEE REPORTS (7:02:00)

Assembly Member Glick said the Policies and Procedures Committee heard a presentation from Cathy Mayer on the long-term options for operating the Central Peninsula Landfill. The Committee then discussed its agenda items.

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

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

APPROVAL OF AGENDA AND CONSENT AGENDA (7:26:57)

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:

• Resolution 2004-105: Authorizing the Mayor to Enter into Cooperative Agreements Between the Kenai Peninsula Borough, the Kenai Peninsula Arctic Winter Games 2006 Host Society, and the Cities of Homer, Kenai, and Soldotna (Mayor) (Referred to Polices and Procedures Committee)
• Resolution 2004-106: Establishing Positions in the Solid Waste Department for the Central Peninsula Landfill (Mayor) (Referred to Policies and Procedures Committee)

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.

• September 21, 2004 Regular Meeting Minutes

• Resolution Commending Ari Goldstein for Winning her Second Cross Country Class 4A Girls State Championship (Sprague)

• Resolution 2004-095: Authorizing Award of a Contract for Soldotna High School Pavement Crack and Joint Sealing (Mayor) (Referred to Finance Committee)
• Resolution 2004-096: Authorizing Award of Contract for Seward Transfer Facility Operations and Maintenance (Mayor) (Referred to Finance Committee)

• Resolution 2004-097: Authorizing Central Peninsula General Hospital, Inc. to Make Modifications to the Current MRI Building to Accommodate the New MRI (Mayor) (Referred to Finance Committee)
• Resolution 2004-098: Authorizing the Negotiation and Contracting for a Consultant to Assist with the Definition of Functional and Technical Requirements, Preparation of a Request for Proposals, and Evaluation of Proposals (Mayor) (Referred to Policies and Procedures Committee)
• Resolution 2004-100: Adopting an Alternate Allocation Method for the FY05 Shared Fisheries Business Tax Program and Certifying that this Allocation Method Fairly Represents the Distribution of Significant Effects of Fisheries Business Activity in the Cook Inlet Fisheries Management Area (Mayor) (Referred to Finance Committee)
• Resolution 2004-102: Authorizing the Acceptance of Late-Filed Senior Citizen and Disabled Veteran Exemption Applications (Mayor) (Referred to Policies and Procedures Committee)

[Clerk's Note: The following technical amendment was made to Resolution 2004-102: Section 2 to read, "...3) Nelson, Margaret L. 047-021-13 2003 & 2004..."]

• Resolution 2004-103: Authorizing the Mayor to Enter into a Lease Agreement with the USDA Forest Service for the Cooper Mountain Communications Site to Support Emergency Management Communications Equipment (Mayor) (Referred to Lands Committee)

[Clerk's Note: The following technical amendment was made to Resolution 2004-103: Final Whereas to read, "the KPB Planning Commission at its regularly scheduled meeting of October 11, 2004 recommended adoption by unanimous consent;"]

• Resolution 2004-104: Reclassifying Certain Borough Land Located in the Cooper Landing Area Within Section 34, T5N, R3W, S. M., Alaska as Institutional (Mayor) (Referred to Lands Committee)

[Clerk's Note: The following technical amendment was made to Resolution 2004-104: Final Whereas to read, "the KPB Planning Commission at its regularly scheduled meeting of October 11, 2004 recommended enactment by unanimous vote;"]

• Ordinance 2004-19-14: Appropriating Supplemental Funding of $17,824 From the Nikiski Senior Service Area Fund Balance to Cover Septic System Repairs and Workers Compensation Insurance Costs in Excess of the Budgeted Amount (Mayor) (Hearing on 11/16/04) (Referred to Finance Committee)
• Ordinance 2004-19-15: Appropriating Funds for a 3/4-Time Senior Clerk Typist Position for the Coastal Management Program (Martin) (Hearing on 11/16/04) (Referred to Finance Committee)
• Ordinance 2004-19-16: Accepting and Appropriating a State Grant in the Amount of $10,000 for a Flashing Warning Light for the Central Peninsula Emergency Medical Service Area (Mayor) (Hearing on 11/16/04) (Referred to Finance Committee)
• Ordinance 2004-19-17: Accepting and Appropriating a State Grant in the Amount of $7,000 for a Sign at Nikiski North Star Elementary School (Mayor) (Hearing on 11/16/04) (Referred to Finance Committee)
• Ordinance 2004-19-18: Accepting and Appropriating a State Grant in the Amount of $10,000 for Distance Learning Equipment for the South Kenai Peninsula Hospital Service Area (Mayor) (Hearing on 11/16/04) (Referred to Finance Committee)
• Ordinance 2004-19-19: Accepting and Appropriating a State Grant in the Amount of $70,00 for Purchase of a Tanker Truck for the Anchor Point Fire and Emergency Medical Service Area (Mayor) (Hearing on 11/16/04) (Referred to Finance Committee)
• Ordinance 2004-19-20: Accepting and Appropriating a State Grant in the Amount of $100,000 for the 2006 Arctic Winter Games (Mayor) (Shortened Hearing 10/26/04) (Referred to Finance Committee)
• Ordinance 2004-19-21: Appropriating $275,000 from the Equipment Replacement Fund to Purchase Heavy Equipment for the Central Peninsula Landfill (Mayor) (Hearing on 11/16/04) (Referred to Finance Committee)
• Ordinance 2004-35: Amending KPB Chapter 1.12 to Provide For Economic Summaries to be Attached to Proposed Ordinances (Glick) (Hearing on 11/16/04) (Referred to Policies and Procedures Committee)
• Ordinance 2004-36: Amending KPB 5.18.430, Sales Tax Computation - Maximum Tax, By Increasing It From $500 to $1000 (Mayor) (Hearings on 10/26/04 & 11/16/04) (Referred to Finance Committee)
• Petition to vacate that portion of Michelle Avenue right-of-way and associated public utility easements between Lots 1, 2 and 3 of Beach Road Industrial Park Subdivision (Plat KN 82-74) and between Lot 1 Block 1 and Lot 5 Block 2 of Holland Park Subdivision First Addition (Plat KN 80-02) within Section 26, Township 5 North, Range 11 West, Seward Meridian, Alaska; and within the Kenai Peninsula Borough. KPB File 2004-188 - Petitioners: Don & Alma Burns, Earl C. Mundell, Irving R Carisle and Ridge Properties of Soldotna, Alaska; Location: West of Kalifornsky Beach Road (Referred to Lands Committee)

[Clerk's Note: The Planning Commission approved the referenced vacation by unanimous consent during its regularly scheduled September 27, 2004 meeting.]

• Confirming Appointments to the KPB Road Service Area Board (Referred to Policies and Procedures Committee)

Appointment Board Seat Term Expires

Michael A. Peek North Region September 30, 2007

Sam McLane At-Large September 30, 2007

President Sprague called for public comment on consent agenda items.

The following people spoke in favor of Resolution 2004-104:

Jim H. Richardson, Cooper Landing, AK

Charles Young, 34871 E. Quartz Creek Road, Cooper Landing, AK

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

AGENDAS APPROVED AS AMENDED: Unanimous.

COMMENDING RESOLUTIONS AND PROCLAMATIONS (7:57:48)

Mayor Bagley proclaimed October 2004 as Domestic Violence Awareness Month and presented an official proclamation to June Harris and Cheri Smith of the LeeShore Center.

Mayor Bagley declared October 10-16, 2004, as "Emergency Nurses Week."

President Sprague presented a commending resolution to Ari Goldstein, recognizing her second Cross Country Class 4A Girls State Championship.

PRESENTATIONS WITH PRIOR NOTICE (8:04:02)

The Cooper Landing Senior Citizen's Corporation, Inc. withdrew the request for a presentation.

PUBLIC COMMENTS ON ITEMS NOT APPEARING ON THE AGENDA (8:04:35)

Steve Vanek, PO Box 103, Ninilchik, AK, discussed proposed Board of Fish regulations, scheduled to be heard in Anchorage in January 2005.

John McCombs, PO Box 87, Ninilchik, AK, spoke of lost revenue for commercial fishers.

Crystal Choate, with the National Alliance for the Mentally Ill, explained the Crisis Intervention Team (CIT) program for law enforcement officers and dispatchers.

David Martin, 71605 Sterling Highway, Clam Gulch, AK, discussed fisheries escapement goals.

Lloyd Schade, 35250 Schade Drive, Homer, AK, discussed the Eastland Volunteer Fire Department.

Roland Maw, PO Box 530, Kasilof, AK, explained egg retention in stressed spawning salmon.

REPORTS OF COMMISSIONS AND COUNCILS - None.

MAYOR'S REPORT (8:32:02)

Spruce Bark Beetle Mitigation Program:

• Approval of contract with Millikin Surveys for Sterling Highway NE Surveying Project

• Approval of contract with Blakeley's Auction Company for Auctioneering Service for the KPB Tax Foreclosure Outcry Auction
• Approval of contract with Kenai Peninsula Economic Development District, Inc. for Website Development and Marketing Promoting "Made In Kenai" Products
• Approval of contract with Alaska Roadbuilders, Inc. for Paving Services for Parsons N-2 and Neer N-2
• Approval of contract with Bailey Engineering & Geology for Survey and Geotechnical Investigation Services for the Nikolaevsk Fire Station Project
• Approval of contract with AeroMap U.S. for Aerial Photography/Site Survey at the Homer Landfill
• Approval of contract with Property Design, LLC, for Water and Sewer Connections at Fireweed Street and Rockwell Avenue
• Approval of contract with Wind and Water Charters and Scuba for Open Water Scuba, Rescue Diver Course for CES
• Approval of contract with Fire Control Systems, Inc. for Hood & Duct Fire Suppression Systems Upgrade 2004
• Approval of Request for Waiver of Competitive Bidding Requirements for acquisition of a Communications Tower for Kachemak Emergency Service Area
• Other
• Recap of 2004 Surplus Property Auction

Ed Oberts, Assistant to the Mayor, talked about the Central Emergency Service Area expansion.

Assembly Member Fischer asked about funding for the "Made in Kenai" program. Mayor Bagley explained that money was transferred from Community & Economic Development Division (CEDD) to the Economic Development District (EDD).

PUBLIC HEARINGS ON ORDINANCES

(8:50:05)

Ordinance 2004-19-11: Accepting and Appropriating a Grant in the Amount of $6,000 from the Alaska Division of Homeland Security and Emergency Management for Preparing an All-Hazard Mitigation Plan (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to enact Ordinance 2004-19-11.

Assembly Member Moss said the State of Alaska requested that tsunamis be added to the list of natural disasters.

President Sprague called for public comment.

The following person spoke in favor of Ordinance 2004-19-11:

Lloyd Schade, 35250 Schade Drive, Homer, AK

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

VOTE ON MOTION TO ENACT:

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

No: None

Absent: Superman

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

(8:54:01)

Ordinance 2004-30: Enacting KPB Chapter 5.12.114 to Provide for Property Tax Reduction for Property Affected by a Disaster (Mayor) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to enact Ordinance 2004-30.

Assembly Member Glick explained "damage" and "disaster"as it related to real property assessment.

President Sprague called for public comment with none being offered.

VOTE ON MOTION TO ENACT:

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

No: None

Absent: Superman

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

(8:56:46)

Ordinance 2004-31: Confirming the Assessment Roll for the Char Subdivision Utility Special Assessment District and Establishing the Method for Terminating Assessments and Making Refunds to Property Owners (Mayor) (Referred to Finance Committee)

MOTION: Moss moved to enact Ordinance 2004-31.

Assembly Member Moss reported the majority of the property owners were in favor of the assessment district and this was the final step in the year-long process.

President Sprague called for public comment.

The following person spoke in opposition to Ordinance 2004-31:

Sandy Taylor, Mile 102 Sterling Highway, Kasilof, AK

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

MOTION TO AMEND: Moss moved to amend Ordinance 2004-31 as follows:

Section 4 to read, "...Interest on the unpaid amount of the assessment shall accrue at the rate of [6.50%] 6.75% per annum..."

And the Final Assessment Roll was included which reflected current property owners.

MOTION TO AMEND PASSED: Without objection.

MOTION TO POSTPONE: Moss moved to postpone Ordinance 2004-31 until October 26, 2004.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Superman

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

(9:27:34)

Ordinance 2004-32: Amending KPB 16.04.040 Requiring a Public Hearing to be Held Within a Proposed Expanded Service Area Prior to Adoption of an Ordinance Expanding any Such Service Area (Sprague) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to enact Ordinance 2004-32.

President Sprague called for public comment.

The following person spoke in favor of Ordinance 2004-32:

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: Glick moved to amend Ordinance 2004-32 as follows:

Section 1 to read, "...When expansion of a service area is being considered, a public hearing shall be held [IN THE EXISTING SERVICE AREA AND] in each area under consideration for expansion..."

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ENACT AS AMENDED:

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

No: None

Absent: Superman

MOTION TO ENACT AS AMENDED PASSED: 8 Yes, 0 No, 1 Absent (9:33:43)

Ordinance 2004-33: Adopting the 2004 Kenai Peninsula Borough All Hazard Mitigation Plan (Mayor) (Final Hearing on 10/26/04) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to enact Ordinance 2004-33.

President Sprague called for public comment with none being offered.

Assembly Member Glick reported the Kenai City Council requested a paragraph on erosion be deleted. Planning Director Max Best explained that was a narrative submitted by the City of Kenai which could be changed and the borough would adopt the new verbiage.

MOTION TO POSTPONE: Glick moved to postpone Ordinance 2004-33 until the next scheduled public hearing date of October 26, 2004.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Superman

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

UNFINISHED BUSINESS (Postponed Items)

(9:41:52)

Resolution 2004-087: Opposing the Proposed Mixing Zone Revisions to the Alaska Water Quality Standards (Martin) (Referred to Lands Committee)

[Clerk's Note: There was a motion to adopt on the floor from the September 7, 2004 meeting.]

Resolution 2004-087 (Martin) Substitute: Opposing the Proposed Mixing Zone Revisions to the Alaska Water Quality Standards (Martin) (Referred to Lands Committee)

MOTION TO AMEND: Martin moved to amend Resolution 2004-087 by substitution.

MOTION TO AMEND PASSED: Unanimous.

President Sprague called for public comment with none being offered.

MOTION TO AMEND: Martin moved to amend Resolution 2004-087 (Substitute) as follows:

First Whereas to read, "the State of Alaska Department of Environmental Conservation is proposing several current Mixing Zone regulation[S] changes, which govern the permit requirements for areas where treated wastewater mixes with a water body; and"

MOTION TO AMEND PASSED: Without objection.

MOTION TO AMEND: Martin moved to amend Resolution 2004-087 (Substitute) as follows:

New third whereas to read, "the entire Kenai Peninsula Borough is interested in maintaining high water quality and is highly dependent on the growth and propagation of fish and other aquatic life; and:

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ADOPT SUBSTITUTE

AS AMENDED:

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

No: None

Absent: Superman

MOTION TO ADOPT SUBSTITUTE

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

(9:54:40)

NEW BUSINESS

Resolution 2004-099: Certifying the Results of the October 5, 2004 Regular Borough Election (Sprague at the request of the Borough Clerk) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to adopt Resolution 2004-099.

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

VOTE ON MOTION TO ADOPT:

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

No: None

Absent: Superman

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

(9:56:43)

Resolution 2004-101: Supporting Use of the Sterling Community Plan as a Tool in the Borough's Comprehensive Plan Process (Merkes) (Referred to Lands Committee)

MOTION: Martin moved to adopt Resolution 2004-101.

President Sprague called for public comment with none being offered.

MOTION TO AMEND: Martin moved to amend Resolution 2004-101 as follows:

Final Whereas to read, "the Planning Commission discussed this resolution at its October 11, 2004 meeting and recommended adoption by majority vote;"

MOTION TO AMEND PASSED: Without objection.

The gavel was passed to President Pro Tem Moss. President Sprague expressed his concerns with including a community plan in the Comprehensive Plan. The gavel was returned to President Sprague.

Assembly Member Fischer asked if there was a legal entity in the Sterling area to accept grants. Assembly Member Merkes said a current grant was awarded to the borough as a designated pass-through agency to accept the funds.

VOTE ON MOTION TO ADOPT AS AMENDED:

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

No: None

Absent: Superman

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

(10:18:21)

Resolution 2004-105: Authorizing the Mayor to Enter into Cooperative Agreements Between the Kenai Peninsula Borough, the Kenai Peninsula Arctic Winter Games 2006 Host Society, and the Cities of Homer, Kenai, and Soldotna (Mayor) (Referred to Polices and Procedures Committee)

MOTION: Glick moved to adopt Resolution 2004-105.

Assembly Member Glick said financial commitments from the cities would be under separate agreements and were not included in Resolution 2004-105.

President Sprague called for public comment with none being offered.

MOTION TO AMEND: Glick moved to amend Resolution 2004-105 as follows:

11th Whereas to read, "on October 6, 2004, the City Council of the City of Kenai considered [RESOLUTION] the cooperative agreement between Kenai Peninsula Borough, Kenai Peninsula Arctic Winter Games 2006 Host Society, and the City of Kenai, and unanimously approved that agreement; and"

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ADOPT AS AMENDED:

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

No: None

Absent: Superman

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

(10:29:56)

Resolution 2004-106: Establishing Positions in the Solid Waste Department for the Central Peninsula Landfill (Mayor) (Referred to Policies and Procedures Committee)

MOTION: Glick moved to adopt Resolution 2004-106.

President Sprague called for public comment.

The following people spoke in favor of Resolution 2004-106:

Harold Hagedorn, 48695 Sandhill Crane Drive, Kasilof, AK

Jack Maryott, 36130 Dawn Drive, Soldotna, AK

Tom Painter, 35525 East Court, Sterling, AK

Jed Painter, East Court, Sterling, AK

Curtis Graham, 208 McKinley Street, Kenai, AK

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

MOTION TO AMEND: Glick moved to amend Resolution 2004-106 as follows:

Final Whereas to read, "...to the personnel budget in the estimated amount of [$605,600] $656,443 which would be prorated for the actual period of time it would be needed in the fiscal year;"

MOTION TO AMEND PASSED: Without objection.

MOTION TO POSTPONE: Glick moved to postpone Resolution 2004-106 to October 26, 2004, with a work session planned for that afternoon.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Superman

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

PUBLIC COMMENTS AND PUBLIC PRESENTATIONS - None.

VACANCY, DESIGNATION AND SEATING ASSEMBLY MEMBERS (10:51:39)

Borough Clerk Linda Murphy swore in Pete Sprague and Paul Fischer as the newly elected assembly members for Districts 4 and 7, respectively.

ASSEMBLY MEETING AND HEARING ANNOUNCEMENTS (10:53:06)

• Solid Waste/Central Peninsula Landfill Work Session 10/26/04
• Material Site Work Session 10/26/04

• The next meeting of the Kenai Peninsula Borough Assembly was scheduled for October 26, 2004, at 7:00 p.m. in the Assembly Chambers, Borough Administration Building, Soldotna, Alaska.

ASSEMBLY COMMENTS (10:53:50)

Assembly Member Martin requested an on-site visit to the Central Peninsula Landfill. Ms. Martin thanked borough employees Chris Clough and Jeanne Camp for their assistance with determining the population in the Anchor Point area. Assembly Member Martin had attended recent school district budget meetings.

Assembly Member Moss wished Dan Bevington well in his new position in Anchorage and said he would be missed.

Assembly Member Merkes congratulated Mr. Sprague and Mr. Fischer on their re-election.

Assembly Member Glick said the Arctic Winter Games were seeking local sponsorships. Ms. Glick said a reception was scheduled on October 14, recognizing visiting dignitaries with the Arctic Winter Games.

Assembly President Sprague noted the Finance Department received a certificate of achievement for financial reporting. President Sprague thanked the clerk and her staff for their efforts during the election.

ADJOURNMENT (11:04:02)

With no further business to come before the assembly, President Sprague adjourned the meeting at 11:04 p.m.

I certify the above represents accurate minutes of the Kenai Peninsula Borough Assembly meeting of October 12, 2004.

Approved by Assembly: