CALL TO ORDER

A Regular Meeting of the Kenai Peninsula Borough Assembly was held on July 12, 2005, in the Borough Assembly Chambers, Borough Administration Building, Soldotna, Alaska. President Superman 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 Steve Brown from Kenai New Life Assembly.

There were present:

Gary Superman, Presiding

Dan Chay

Paul Fischer

Betty Glick

Ron Long

Milli Martin

Grace Merkes

Pete Sprague comprising a quorum of the assembly.

Absent:

Chris Moss (excused)

Also in attendance were:

Dale Bagley, Borough Mayor

Colette Thompson, Borough Attorney

Sherry Biggs, Borough Clerk

Johni Blankenship, Deputy Clerk

COMMITTEE REPORTS (7:05:00)

President Superman said the Finance Committee met and discussed its lengthy agenda.

Assembly Member Merkes stated the Lands Committee met and addressed its agenda items.

Assembly Member Chay said the Policies and Procedures Committee met and discussed its agenda items.

MOTION: Chay moved for the approval of travel to Washington D.C., on July 24-27, 2005 for Ron Long and Gary Superman for legislative followup and discussions on the Maritime Transportation Security Act.

MOTION PASSED: Without objection.

APPROVAL OF AGENDA AND CONSENT AGENDA (7:18:22)

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

President Superman 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 2005-066: Authorizing Award of a Contract for the West Brook Estates Road Improvement Assessment District (RIAD) Street Paving Project (Mayor) (Referred to Finance Committee)

• Resolution 2005-067: Authorizing the Mayor, on Behalf of the Kachemak Emergency Service Area, to Enter into an Agreement with the City of Homer to Provide Fire and Emergency Medical Services (Martin, Mayor) (Referred to Finance Committee)

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

• May 19, 2005 Board of Equalization Hearing Minutes
• June 7, 2005 Regular Assembly Meeting Minutes
• June 8, 2005 Board of Equalization Hearing Minutes
• June 21, 2005 Regular Assembly Meeting Minutes
• Resolution 2005-065: Authorizing Award of Contract for the Moat Way, Excalibur Way, and Camelot Drive Road Capital Improvement Project (Mayor) (Referred to Finance Committee)
• Resolution 2005-071: Authorizing the Acceptance of Late-Filed Senior Citizen and Disabled Veteran Exemption Applications (Mayor) (Referred to Policies and Procedures Committee)
• Ordinance 2005-19-08: Accepting and Appropriating a Grant from the Denali Commission in the Amount of $96,179 for an Air Curtain Burner (Mayor) (Hearing on 08/16/05) (Referred to Finance Committee)
• Ordinance 2005-19-09: Accepting and Appropriating Two Grants Totaling $14,190 from the Alaska Department of Natural Resources to Nikiski Fire Service Area for Firefighting Equipment (Mayor) (Hearing on 08/16/05) (Referred to Finance Committee)
• Ordinance 2005-31: Authorizing the Sale of Ten Parcels of Borough Land by Sealed Bid (Mayor) (Hearing on 08/16/05) (Referred to Lands Committee)
• Ordinance 2005-32: Amending KPB Chapter 5.12 to Provide Hearing Procedures for Board of Equalization Appeals (Superman at the request of the Borough Clerk) (Hearing on 08/16/05) (Referred to Policies and Procedures Committee)
• Ordinance 2005-33: Authorizing the Tsalteshi Trails Association Lease to be Amended to Add Additional Land Adjacent to Skyview High School to Develop New Trails and Address Retention of Facility Improvements (Mayor) (Hearing on 08/16/05) (Referred to Lands Committee)
• Approving the Application for New Liquor License filed by Kenai Lake Lodge Inc. d.b.a. Kenai Lake Lodge in Cooper Landing, Alaska (Referred to Finance Committee)
• Approving the Application for Restaurant Designation filed by Kenai Lake Lodge Inc. d.b.a. Kenai Lake Lodge in Cooper Landing, Alaska (Referred to Finance Committee)
• Confirming an Appointment to Cooper Landing Advisory Planning Commission (Referred to Lands Committee)

                    Marcelle Young Seat F Term Expires September 30, 2006

• Confirming Appointments to the KPB Planning Commission (Referred to Lands Committee)

                    Bonnie Heimbuch City of Soldotna Term Expires July 31, 2008

                    Mari Anne Gross Southwest Area Term Expires July 31, 2008

                    Ray Tauriainen Northwest Area Term Expires July 31, 2008

President Superman called for public comment on consent items agenda with none being offered.

AGENDAS APPROVED AS AMENDED: Without objection.

COMMENDING RESOLUTIONS AND PROCLAMATIONS - None

PRESENTATIONS WITH PRIOR NOTICE - None

PUBLIC COMMENTS ON ITEMS NOT APPEARING ON THE AGENDA (7:26:18)

President Superman opened the public comment period.

Tom Patmor, PO Box 124, Clam Gulch, AK, addressed the Assembly regarding Spruce Bark Beetle killed trees in the Clam Gulch area.

Fred Sturman, PO Box 513, Soldotna, AK, addressed the Assembly regarding the FY06 budget.

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

REPORTS OF COMMISSIONS AND COUNCILS - None.

MAYOR'S REPORT (7:32:30)

• Spruce Bark Beetle Mitigation Program:
• Approval of contract with Earth Works for Slash Removal from Kenai Mitigation Projects
• Approval of contract with ABC Tree Service for College Road East ROW Project

• Approval of contract with Altman, Rogers & Company for South Peninsula Hospital Audit Services.
• Approval of contract with Segesser Surveys, Inc. for Platting and Surveying in the Kalifornsky Area
• Approval of contract with Applied Micro Systems for purchase of Backup Software
• Approval of sole source contract with Golden Bear Software, Inc. for Building Automation Systems Upgrade
• Approval of contract with Alaska Auto Transport for Junk Vehicle and Scrap Recycling at Central Peninsula Landfill
• Approval to award contract to Atigun for a Trailer Mounted Centrifugal Pump for Central Peninsula Landfill
• Approval of contract with Hopkins Brothers Construction for Nanwalek Burn Box Transport and Landfill Cleanup
• Approval of contract with Envision Technology Solutions for Risk Management Software

• Litigation Status Report - July 29, 2005

ITEMS NOT COMPLETED FROM PRIOR AGENDA - None

PUBLIC HEARINGS ON ORDINANCES

(7:36:07)

Ordinance 2005-19-01: Accepting $2,000,000 from the State of Alaska for Keystone Drive Road Improvements and Appropriating the Grant to a Road Service Area Capital Project Account (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to enact Ordinance 2005-19-01.

President Superman called for public comment.

The following person spoke in support of Ordinance 2005-19-01:

Will Madison, 34435 Keystone Drive, Soldotna, AK

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

VOTE ON MOTION TO ENACT:

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

No: None

Absent: Moss

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

(7:39:06)

Ordinance 2005-19-02: Accepting and Appropriating a Grant from the U.S. Federal Transit Administration in the Amount of $1,456,311 and Appropriating the Grant and Matching Funds of $298,281 for School Buses (Mayor ) (Referred to Finance Committee)

MOTION: Glick moved to enact Ordinance 2005-19-02.

President Superman called for public comment with none being offered.

MOTION TO AMEND: Glick moved the amend Ordinance 2005-19-02 as follows:

Section 3 to read, "That matching funds in the amount of $[364,078]298,281 are transferred from account 705.13120 (equipment replacement fund) to account 271.11225.5AWGB.48310 (project account)."

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ENACT AS AMENDED:

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

No: None

Absent: Moss

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

(7:51:10)

Ordinance 2005-19-04: Accepting $93,084 from the U.S. Department of Homeland Security for Central Emergency Services for Fire Prevention and Safety and Appropriating the Grant and $10,342 in Matching Funds to a Capital Project Account (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to enact Ordinance 2005-19-04.

President Superman called for public comment with none being offered.

MOTION TO AMEND: Merkes moved to amend Ordinance 2005-19-04 as follows:

Final whereas to read, "at its regularly scheduled meeting held June 16, 2005, the CES Board recommended enactment;"

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ENACT AS AMENDED:

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

No: None

Absent: Moss

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

(7:53:00)

Ordinance 2005-19-05: Accepting and Appropriating a Federal Grant in the Amount of $992,000 for Housing Needs During the 2006 Arctic Winter Games (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to enact Ordinance 2005-19-05.

President Superman called for public comment with none being offered.

MOTION TO AMEND: Glick moved to amend Ordinance 2005-19-05 as follows:

Add a new final whereas to read, "since the borough contracted with the Kenai Peninsula Arctic Winter Games 2006 Host Society (Host Society) to host and stage the 2006 Arctic Winter Games, and as the Host Society is the only entity that fully understands the housing needs and requirements for the games, it would be the most appropriated party to fulfill the purposes of the grant;"

MOTION TO AMEND PASSED: Without objection.

MOTION TO AMEND: Glick moved to amend Ordinance 2005-19-05 as follows:

Add a new Section 3. to read, "That the mayor is authorized to enter into a sole-source contract with the Kenai Peninsula Arctic Winter Games 2006 Host Society to equip, upgrade and/or repair facilities needed for housing during the 2006 Winter Games such contract not to exceed $992,000."

MOTION TO AMEND PASSED: Without objection.

MOTION TO AMEND: Glick moved to amend Ordinance 2005-19-05 as follows:

Renumber the remaining sections accordingly.

MOTION TO AMEND PASSED: Without objection.

Assembly Member Sprague spoke in support of Ordinance 2005-19-05.

Assembly Member Chay spoke in opposition to Ordinance 2005-19-05.

VOTE ON MOTION TO ENACT AS AMENDED:

Yes: Glick, Fischer, Long, Martin, Merkes, Sprague, Superman

No: Chay

Absent: Moss

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

(8:17:14)

Ordinance 2005-19-06: Appropriating $174,691.89 to the Special Assessment Fund for Pollard Loop Natural Gas Line Utility Special Assessment District (USAD) (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to enact Ordinance 2005-19-06.

President Superman called for public comment with none being offered.

VOTE ON MOTION TO ENACT:

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

No: None

Absent: Moss

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

(8:21:21)

Ordinance 2005-19-07: Appropriating $111,118.80 to the Special Assessment Fund for Scooter's Landing Natural Gas Line Utility Special Assessment District (USAD) (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to enact Ordinance 2005-19-07.

President Superman called for public comment with none being offered.

VOTE ON MOTION TO ENACT:

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

No: None

Absent: Moss

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

(8:34:40)

Ordinance 2005-26: Authorizing a Land Exchange with the City of Soldotna of a 10-Acre Borough Parcel on West Redoubt for a 17-Acre City Parcel on the Sterling Highway to Support a City Cemetery (Mayor) (Referred to Lands Committee)

MOTION: Merkes moved to enact Ordinance 2005-26.

Assembly Member Merkes stated additional restrictions affecting the ARC Lake parcel have been discovered by the City of Soldotna which may or may not make the parcel suitable for exchange. Ms Merkes indicated the administration would be requesting postponement until the August 16, 2005 meeting.

President Superman called for public comment.

The following people spoke in support of Ordinance 2005-26:

Barbara Jewell, 186 East Redoubt, Soldotna, AK

Tom Boedeker, Soldotna City Manager, 177 N. Birch Street, Soldotna, AK

Katherine Parker, 43622 Sterling Highway, Soldotna, AK

Jim Fassler, 36815 Cheechako News Drive, Soldotna, AK

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

President Superman requested a map indicating where the Central Peninsula Landfill property abuts with the ARC Lake parcel be provided at the next public hearing.

MOTION TO POSTPONE: Merkes moved to postpone Ordinance 2005-26 until the August 16, 2005 meeting.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Moss

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

(9:12:40)

UNFINISHED BUSINESS

Resolution 2005-029: Supporting the Continuation of the Kenai Spur Extension Road Project (Mayor) (Referred to Finance Committee)

[Clerk's Note: There was a motion to adopt on the floor from the April 19, 2005 meeting.]

President Superman called for public comment with none being offered.

Vice President Long spoke in support of Resolution 2005-029.

Assembly Member Chay spoke in opposition to Resolution 2005-029.

MOTION TO AMEND: Glick moved to amend Resolution 2005-029 as follows:

5^th whereas to read, "the project will require a 20 percent local match which must be in cash. A portion of the local match would be provided in a $300,000 legislative grant [, WHICH WILL BE APPROXIMATELY $425,000]; and"

VOTE ON MOTION TO AMEND:

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

No: None

Absent: Moss

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

Assembly Members Sprague, Merkes and Martin spoke in support of Resolution 2005-029.

Assembly Member Chay spoke in opposition to Resolution 2005-029.

VOTE ON MOTION TO ADOPT AS AMENDED:

Yes: Fischer, Glick, Long, Martin, Merkes, Sprague, Superman

No: Chay

Absent: Moss

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

(9:46:09)

Resolution 2005-063: Approving Board Bylaws for the South Kenai Peninsula Hospital Service Area Board (Mayor at the request of the South Kenai Peninsula Hospital Service Area Board) (Referred to Policies and Procedures Committee)

[Clerk's Note: There was a motion to adopt on the floor from the June 21, 2005 meeting.]

Assembly Member Chay said the resolution would approve board bylaws which would allow for the creation of an executive committee.

President Superman called for public comment with none being offered.

MOTION: Martin moved to postpone Resolution 2005-063 until the August 16, 2005 meeting.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Moss

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

(9:48:46)

NEW BUSINESS

Resolution 2005-066: Authorizing Award of a Contract for the West Brook Estates Road Improvement Assessment District (RIAD) Street Paving Project (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to adopt Resolution 2005-066.

President Superman called for public comment with none being offered.

MOTION: Glick moved to postpone Resolution 2005-066 until the August 16, 2005 meeting.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Moss

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

(9:50:00)

Resolution 2005-067: Authorizing the Mayor, on Behalf of the Kachemak Emergency Service Area, to Enter into an Agreement with the City of Homer to Provide Fire and Emergency Medical Services (Martin, Mayor) (Referred to Finance Committee)

MOTION: Glick moved to adopt Resolution 2005-067.

President Superman called for public comment with none being offered.

MOTION: Martin moved to postpone Resolution 2005-067 until the August 2, 2005 meeting.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Moss

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

(9:52:00)

Resolution 2005-068: Proceeding with the Pollard Loop Utility Special Assessment District for a Natural Gas Main Line (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to adopt Resolution 2005-068.

President Superman called for public comment with none being offered.

VOTE ON MOTION TO ADOPT:

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

No: None

Absent: Moss

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

(9:52:58)

Resolution 2005-069: Proceeding with the Scooter's Landing Utility Special Assessment District for a Natural Gas Main Line (Mayor) (Referred to Finance Committee)

MOTION: Glick moved to adopt Resolution 2005-069.

President Superman called for public comment with none being offered.

VOTE ON MOTION TO ADOPT:

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

No: None

Absent: Moss

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

(9:53:42) Resolution 2005-070: Placing Advisory Propositions on the Ballot Regarding Construction of a Bridge Over the Kenai River, Connecting the Sterling and Funny River Communities, Commonly Known as the Funny River Bridge (Merkes, Mayor) (Referred to Lands Committee)

MOTION: Merkes moved to adopt Resolution 2005-070.

Assembly Member Merkes said the committee discussed the resolution and stated there would be amendments for consideration.

President Superman called for public comment.

The following people spoke in support of Resolution 2005-070:

Bill Parker, 35365 Rabbit Run, Soldotna, AK

The following people spoke in opposition to Resolution 2005-070:

Dale Steckel, 35395 Betty Lou Drive, Sterling, AK

Richard Galloway, 35830 King Salmon Ave, Soldotna AK

David A. Morris, 36083 Betty Lou Drive, Sterling, AK

Beth Boucher, 35660 Silver Salmon Ave, Soldotna, AK

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

MOTION TO AMEND: Sprague moved to amend Resolution 2005-070 as follows:

Add a new final whereas to read, "the Funny River Bridge proposal does not identify a specific location for the crossing;"

Assembly Member Merkes spoke in opposition to the amendment.

MOTION TO AMEND: (Secondary) Merkes moved to amend Resolution 2005-070 as follows:

Add a new final whereas to read, "the Funny River Bridge proposal does not identify a specific location for the crossing and the Assembly has not made a decision on the specific location;"

MOTION TO POSTPONE: Fischer moved to postpone Resolution 2005-070 until the August 2, 2005 meeting.

Assembly Members Sprague and Martin spoke in opposition to postponement.

VOTE ON MOTION TO POSTPONE:

Yes: Fischer, Superman

No: Chay, Glick, Long, Martin, Merkes, Sprague

Absent: Moss

MOTION TO POSTPONE FAILED: 2 Yes, 5 No, 1 Absent

Assembly Member Sprague spoke in opposition to the secondary amendment.

VOTE ON SECONDARY AMENDMENT:

Yes: Merkes

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

Absent: Moss

SECONDARY AMENDMENT FAILED: 1 Yes, 7 No, 1 Absent

MOTION TO AMEND: (Secondary) Chay moved to amend Resolution 2005-070 as follows:

Add a new final whereas to read, "the Funny River Bridge [PROPOSAL] concept does not identify a specific location for the crossing;"

VOTE ON SECONDARY AMENDMENT:

Yes: Sprague

No: Chay, Fischer, Glick, Long, Martin, Merkes, Superman

Absent: Moss

SECONDARY AMENDMENT FAILED: 1 Yes, 7 No, 1 Absent

VOTE ON MAIN MOTION TO AMEND:

Yes: Sprague

No: Chay, Fischer, Glick, Long, Martin, Merkes, Superman

Absent: Moss

MAIN MOTION TO AMEND FAILED: 1 Yes, 7 No, 1 Absent

Vice President Long spoke in opposition to Resolution 2005-070.

MOTION TO AMEND: Merkes moved to amend Resolution 2005-070 as follows:

Section 1 to read, "That the following ballot propositions shall be placed before borough Road Service Area voters at the next regular election to read as follows:

[A.] Do you support construction of[SHOULD THE STATE OF ALASKA CONSTRUCT] a bridge over the Kenai River, commonly known as the "Funny River Bridge," connecting the communities of Sterling and Funny River? THIS IS AN ADVISORY PROPOSITION.

Yes ______ No ______

[B. Should the Kenai Peninsula Borough contribute either funds or services to the Funny River Bridge construction project? THIS IS AN ADVISORY PROPOSITION.

Yes ______ No ______]

Assembly Member Martin spoke in opposition to the amendment.

VOTE ON MOTION TO AMEND:

Yes: Fischer, Martin

No: Chay, Glick, Long, Merkes, Sprague, Superman

Absent: Moss

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

MOTION TO POSTPONE: Merkes moved to postpone Resolution 2005-070 until the August 2, 2005 meeting.

VOTE ON MOTION TO POSTPONE:

Yes: Glick, Fischer, Martin, Merkes, Superman

No: Chay, Long, Sprague

Absent: Moss

MOTION TO POSTPONE PASSED: 5 Yes, 3 No, 1 Absent

(10:48:05)PUBLIC COMMENTS AND PUBLIC PRESENTATIONS

(10:48:20)

ASSEMBLY MEETING AND HEARING ANNOUNCEMENTS

• The next meeting of the Kenai Peninsula Borough Assembly was scheduled for August 2, 2005, at 7:00 p.m. in the Assembly Chambers of the Kenai Peninsula Borough Administration Building, Soldotna, Alaska.

ASSEMBLY COMMENTS

Assembly Member Martin welcomed the new Administrative Assistant, Rosalie Elliott, to the Clerk's Office. Ms. Martin requested an update from the administration regarding the Jacob's Ladder Trail Project. She announced Denali Biotechnologies had withdrawn their application to harvest blueberries on the Southern Peninsula.

Assembly Member Sprague reminded everyone that it is fire season and requested everyone to be safe. He further asked the public to be aware of emergency vehicles on the road and to remember to pull over when their lights are flashing.

Assembly Member Chay stated in defense of NIMBY's (Not In My Back Yard), if not, not in my back yard, then where not.

Assembly Member Long commented on the festivities in Seward over the July 4^th Holiday. He further requested the Assembly members resist the urge to debate with the testifying public.

President Superman stated his frustration with Denali Biotechnologies withdrawal of their land use permit application to harvest blueberries on the Southern Peninsula for nutraceutical use. He commented on the power of misinformation in the media and on local talk radio shows.

ADJOURNMENT (10:56:30)

With no further business to come before the assembly, President Superman adjourned the meeting at 10:56 p.m.

I certify the above represents accurate minutes of the Kenai Peninsula Borough Assembly meeting of July 12, 2005.

Approved by Assembly: