CALL TO ORDER

A Regular Meeting of the Kenai Peninsula Borough Assembly was held on November 1, 2005, in the Borough Administration Building, Assembly Chambers, Soldotna, Alaska. Vice President Long 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 Assembly Member Martin.

There were present:

Ron Long, Presiding

Dan Chay

Deb Germano

Paul Fischer

Milli Martin

Grace Merkes

Margaret Gilman

Pete Sprague

comprising a quorum of the assembly.

Absent:

Gary Superman (excused)

Also in attendance were:

Dale Bagley, Borough Mayor

Colette Thompson, Borough Attorney

Sherry Biggs, Borough Clerk

Johni Blankenship, Deputy Clerk

COMMITTEE REPORTS (7:04:22)

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

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

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

Vice President Long stated the Legislative Committee met and discussed its agenda, in addition to AML/JIA and WIR board appointments.

Ed Martin, Sr. congratulated Mayor Elect John Williams and presented him with a seven-leaf clover.

APPROVAL OF AGENDA AND CONSENT AGENDA (7:19:37)

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

Vice President Long 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:

• Ordinance 2005-44: Replacing the Flat Tax with an Ad Valorem Tax on Certain Watercraft in Excess of 100 Feet in Length (Sprague) (Hearing 12/06/05) (Referred to Finance Committee)
• Ordinance 2005-45: Amending KPB 5.12.105(D) to Require Late Property Tax Exemption Applications from Senior Citizens and Disabled Veteran to be Filed During the Tax Year for Which the Exemption is Sought (Sprague) (Hearing 12/06/05) (Referred to Policies and Procedures Committee)

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

• Resolution 2005-088: Authorizing Award of Contract for Professional Design Services for the Nikolaevsk Fire Substation Project (Mayor) (Referred to Finance Committee)

The following item was added to the consent agenda

• Resolution 2005-096: Allowing Assembly Members to Seek Positions on Non-Borough Committees and Boards (Legislative 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.

• October 11, 2005 Regular Assembly Meeting Minutes
• A Resolution Commending the Kenai Central High School Football Team as the Alaska School Activities Association Small-Schools State Champions for the Year 2005 (Gilman)
• Resolution 2005-088: Authorizing Award of Contract for Professional Design Services for the Nikolaevsk Fire Substation Project (Mayor) (Referred to Finance Committee)
• Resolution 2005-093: Authorizing the Sole Source Purchase of a Variety of Specialty Medical Equipment Totaling $837,000 for the Central Peninsula General Hospital Expansion Project (Mayor) (Referred to Finance Committee)
• Resolution 2005-094: Adopting an Alternate Allocation Method for the FY06 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 2005-095: Certifying the Results of the October 25, 2005 Runoff Election (Superman at the Request of the Borough Clerk) (Referred to Policies and Procedures Committee)
• Resolution 2005-096: Allowing Assembly Members to Seek Positions on Non-Borough Committees and Boards (Legislative Committee) (Referred to Legislative Committee)
• Ordinance 2005-19-32: Accepting and Appropriating a Grant from the U.S. Department of Homeland Security in the Amount of $33,155 for Equipment for Kachemak Emergency Service Area (Mayor) (Hearing 12/06/05) (Referred to Finance Committee)
• Ordinance 2005-19-33: Accepting and Appropriating a Grant in the Amount of $187,406 from the Alaska Division of Homeland Security and Emergency Management for Relocating Kasilof River Road (Mayor) (Hearing 12/06/05) (Referred to Finance Committee)
• Petition to Vacate a Portion of a 33-foot Section Line Easement within Lot 11 Tice Acres (Plat HM 63-1146); Section 3, Township 6 South, Range 14 West, Seward Meridian, Alaska; and within the Kenai Peninsula Borough; KPB File 2005-254; (Note: Alternate Right-of-Way will be Dedicated if Section Line Easement Vacated); Petitioners: Paul Taylor and Melinda Forrest of Anchor Point, Alaska; Location: Diamond Ridge Road area (Referred to Lands Committee)

[Clerk's Note: The Planning Commission approved the above referenced vacation by unanimous consent at its regularly scheduled October 10, 2005 meeting.]

• Petition to Vacate a Portion of a 33-foot Section Line Easement along the South Boundary of Tract A North Kenai Baptist Church Subdivision Amended (Plat KN 2003-24) and (Plat KN 2003-76); within Section 2, and Vacate a Portion of a 33-foot Section Line and a 10-foot Utility Easement along the North Boundary of Lot 1 Lindsay Subdivision (Plat KN 81-62), within Section 11, Township 7 North, Range 12 West, Seward Meridian, Alaska; and within the Kenai Peninsula Borough; KPB File 2005-250; Petitioner: Denver E. Copeland of Nikiski, Alaska; Location: Nikiski area (Referred to Lands Committee)

[Clerk's Note: The Planning Commission approved the above referenced vacation by unanimous consent at its regularly scheduled October 10, 2005 meeting.]

• Petition to Vacate Lacross Way and a Portion of Timber Lane Dedicated by Lacross Subdivision Part One (Plat KN 1720) and Vacate East View Drive Dedicated by Lacross Subdivision Part One and Lacross Subdivision Part Two (Plat KN 1720) & (Plat KN 77-186); within Section 23, Township 4 North, Range 11 West, Seward Meridian, Alaska; and within the Kenai Peninsula Borough; KPB File 2005-251; Petitioners: Jack P. and Megan L. Lacross of Soldotna, Alaska; Location: South of Soldotna (Referred to Lands Committee)

[Clerk's Note: The Planning Commission approved the above referenced vacation by unanimous consent at its regularly scheduled October 10, 2005 meeting.]

• Petition to Vacate LaTouche Circle, a 60-foot Right-of-Way Dedicated by Lake Hills Subdivision (Plat KN 78-120); within Section 1 and Section 12, Township 7 North, Range 12 West, Seward Meridian, Alaska; and within the Kenai Peninsula Borough; KPB File 2005-253; Petitioner: Jack D. Conright of Nikiski, Alaska; Location: Nikiski area (Referred to Lands Committee)

[Clerk's Note: The Planning Commission approved the above referenced vacation by unanimous consent at its regularly scheduled October 10, 2005 meeting.]

• Authorizing an Application for a Transfer and Relocation Liquor License Filed by TLS, Inc. dba TJ Seggy's in Kenai from current licensee Earle Robins & Jack Nicholas dba Bishop Creek Liquor Store (Referred to Finance Committee)
• Authorizing an Application for Restaurant Designation Permit Filed by Quartz Creek Enterprises, Inc. dba Peaks Restaurant in Cooper Landing (Referred to Finance Committee)
• Authorizing an Application for New Liquor License Filed by Quartz Creek Enterprises, Inc. dba Peaks Restaurant in Cooper Landing (Referred to Finance Committee)
• Confirming Appointments to the Advisory Planning Commissions (Referred to Policies and Procedures Committee)

Anchor Point Seat Term Expires

James D. Gladish A September 30, 2008

Brok Shafer C September 30, 2008

Cooper Landing Seat Term Expires

George R. Siter, Jr. C September 30, 2008

Dominic Bauer D September 30, 2007

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

AGENDAS APPROVED AS AMENDED: Without objection.

(7:28:41)

VACANCY AND ASSEMBLY REORGANIZATION

Borough Clerk Sherry Biggs, swore in newly elected Borough Mayor John J. Williams for a three-year term to begin November 7, 2005.

Vice President Long called for nominations for the office of Assembly President.

NOMINATIONS: Assembly Member Merkes nominated Ron Long.

Seeing no further nominations, Vice President Long closed the nomination period.

Borough Clerk Sherry Biggs counted the secret ballots and read the results of the vote for Assembly President.

VOTE ON ELECTION OF ASSEMBLY PRESIDENT:

Long: 8

Blank Ballot: 1

Assembly Member Long was elected to the office of Assembly President.

President Long called for nominations for the office of Assembly Vice President.

(7:38:00)

NOMINATIONS: Assembly Member Chay nominated Pete Sprague.

Seeing no further nominations, President Long closed the nomination period.

Borough Clerk Sherry Biggs counted the secret ballots and read the results of the vote for Assembly Vice President.

VOTE ON ELECTION OF ASSEMBLY VICE PRESIDENT:

Sprague: 8

Blank Ballot: 1

Assembly Member Sprague was elected to the office of Assembly Vice President.

(7:39:18)

COMMENDING RESOLUTIONS AND PROCLAMATIONS

Assembly Member Gilman read aloud a resolution commending the Kenai Central High School Football Team as the Alaska School Activities Association Small-Schools State Champions for Year 2005.

PRESENTATIONS WITH PRIOR NOTICE - None. (7:42:40)

PUBLIC COMMENTS ON ITEMS NOT APPEARING ON THE AGENDA (7:43:07)

President Long opened the public comment period.

Sherman C. (Red) Smith, P. O. Box 770, Cooper Landing, AK, commented on the Oath of Office and thanked Mayor Dale Bagley for his service to the community.

Steve Ebbert, P. O. Box 1938, Cooper Landing, AK, asked for clarification on recent Advisory Planning Commission appointments.

Fred Sturman, PO Box 513, Soldotna, AK, discussed the borough's budget.

William Keller, 35510 Brians Street, Soldotna, AK, addressed the Assembly regarding an increase in his property tax values.

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

REPORTS OF COMMISSIONS AND COUNCILS - None.

MAYOR'S REPORT (7:54:09)

Mayor Bagley addressed the assembly regarding his accomplishments as Borough Mayor over the past six years.

Spruce Bark Beetle Mitigation Program

• Approval of Contract with S&R Enterprises for Kenai Fire Wise Slash Disposal Project
• Approval of Contract with Doug Koch Professional Tree Service for Old Sterling Highway #1 ROW Project
• Approval of Contract with Doug Koch Professional Tree Service for Old Sterling Highway #2 ROW Project
• Approval of Contract with Doug Koch Professional Tree Service for Old Sterling Highway #3 ROW Project
• Approval of Contract with Resource Development LLC for Slash Burning at Cohoe Loop Gravel Pit

• Approval of Contract with Festive Outfitters, Inc. for Ice Making Improvements at Nikiski Ice Rink
• Approval of Contract with Alaska Road Builders, Inc. for Paving Isaak Road Approach
• Approval of Contract with K-F Construction Services for Snug Harbor Pit Rehabilitation
• Approval of Contract Award to Young's Firehouse for Purchase of SCBA Air Compressor for Kachemak Emergency Service Area
• Approval of Contract with HCG for Professional Engineering Services for South Peninsula Hospital and Susan B. English K-12 School
• Approval of Sole Source Contract with Dudley A. Platt & Associates for Industrial Plant Valuation & Support Services
• Other
• Report from Jane Gabler, KPB Floodplain Administrator, Regarding KPB 2005 Community Rating System Recertification
• Investment Portfolio as of October 12, 2005
• Revenue - Expenditure Report - September 2005
• Budget Revisions - September 2005
• Project Reports - September 30, 2005

ITEMS NOT COMPLETED FROM PRIOR AGENDA - None.

PUBLIC HEARINGS ON ORDINANCES

(8:17:00)

Ordinance 2005-19-28: Accepting and Appropriating a State Grant in the Amount of $175,000 for the Youth Facility in the North Peninsula Recreation Service Area (Mayor) (Referred to Finance Committee)

MOTION: Martin moved to enact Ordinance 2005-19-28.

President Long stated the grant required no borough match and had been approved by the North Peninsula Recreation Service Area Board.

President Long opened the public comment period with none being offered.

VOTE ON MOTION TO ENACT:

Yes: Chay, Fischer, Germano, Gilman, Martin, Merkes, Sprague, Long

No: None

Absent: Superman

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

(8:19:50)

Ordinance 2005-19-29: Accepting and Appropriating Fifteen State Grants Totaling $2,438,651 for School Projects (Mayor) (Referred to Finance Committee)

MOTION: Martin moved to enact Ordinance 2005-19-29.

President Long opened the public comment period with none being offered.

VOTE ON MOTION TO ENACT:

Yes: Chay, Fischer, Germano, Gilman, Martin, Merkes, Sprague, Long

No: None

Absent: Superman

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

(8:21:51)

Ordinance 2005-19-30: Accepting and Appropriating a Western States Wildland Urban Interface Grant from the Alaska Department of Natural Resources, Division of Forestry, in the Amount of $175,750 for Developing Community Wildfire Protection Plans (Mayor) (Referred to Finance Committee)

MOTION: Merkes moved to enact Ordinance 2005-19-30.

President Long opened the public comment period with none being offered.

VOTE ON MOTION TO ENACT:

Yes: Chay, Fischer, Germano, Gilman, Martin, Merkes, Sprague, Long

No: None

Absent: Superman

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

(8:23:12)

Ordinance 2005-38: Amending Kenai Peninsula Borough Title 16 to Authorize Certain Volunteers to Serve on their Respective Service Area Boards (Mayor) (Referred to Policies and Procedures Committee)

[There was a motion to enact on the floor from the September 20, 2005 meeting.]

President Long called for public comment with none being offered.

MOTION TO POSTPONE: Chay moved to postpone Ordinance 2005-38 until the December 6, 2005 meeting.

VOTE ON MOTION TO POSTPONE:

Yes: Chay, Fischer, Germano, Gilman, Martin, Merkes, Sprague, Long

No: None

Absent: Superman

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

Ordinance 2005-43: Amending KPB 2.40.030 to Delete the Provision Authorizing the Borough Mayor to Vote on Planning Commission Actions in the Case of a Tie (Mayor) (Referred to Policy and Procedures Committee)

MOTION: Chay moved to enact Ordinance 2005-43.

President Long opened the public comment period with none being offered.

MOTION TO AMEND: Chay moved to amend Ordinance 2005-43 as

follows:

Section 1(C) to read, "The borough mayor and the borough planning director shall be additional members ex officio and [THE BOROUGH PLANNING DIRECTOR] shall have the privilege of the floor, but may not vote. [THE BOROUGH MAYOR MAY VOTE ONLY IN CASE OF A TIE.]"

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ENACT AS AMENDED:

Yes: Chay, Fischer, Germano, Gilman, Martin, Merkes, Sprague, Long

No: None

Absent: Superman

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

(8:27:29)

Ordinance 2005-13: Amending KPB 21.26.030 (A)(3) to Clarify Conditions for Material Site Permits (Chay) (Referred to Lands Committee)

MOTION: Merkes moved to enact Ordinance 2005-13.

President Long opened the public comment period.

The following person spoke in support of Ordinance 2005-13:

Earl Breyfogle, PO Box 496, Anchor Point, AK

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

MOTION TO POSTPONE: Chay moved to postpone Ordinance 2005-13 until the December 6, 2005 meeting.

[Clerk's Note: A joint work session with the Assembly and Planning Commission was scheduled for November 4, 2005 to discuss material site permits.]

VOTE ON MOTION TO POSTPONE:

Yes: Chay, Fischer, Germano, Gilman, Martin, Sprague, Long

No: None

Absent: Superman

Abstained: Merkes

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

UNFINISHED BUSINESS (Postponed)

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)

[There was a motion to adopt on the floor from the July 12, 2005 meeting.]

President Long opened the public comment period with none being offered.

MOTION TO AMEND: Martin moved to amend Resolution 2005-067 as follows:

4^th Whereas to read, "at its meeting of October 27, 2005, the Kachemak Emergency Service Area board recommended that the assembly approve entering the negotiated agreement; and

Section 1 to read, "The mayor is authorized to execute the accompanying Agreement for Provision of Fire and Emergency Medical Services attached hereto and incorporated by reference as Attachment A. In this agreement the City of Homer will provide fire and emergency medical services for [THREE YEARS] eighteen months for the sum of $182,136 for the first year, and the sum of $101,819, for the remaining six months, for a total price of $283,955. [ADJUSTED FOR THE REMAINING TWO YEARS AS FOLLOWS: _____________.] The agreement shall be retroactively effective on July 1, 2005."

MOTION TO AMEND PASSED: Without objection.

VOTE ON MOTION TO ADOPT AS AMENDED:

Yes: Chay, Fischer, Germano, Gilman, Martin, Merkes, Sprague, Long

No: None

Absent: Superman

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

NEW BUSINESS

Ordinance 2005-44: Replacing the Flat Tax with an Ad Valorem Tax on Certain Watercraft in Excess of 100 Feet in Length (Sprague) (Hearing 12/06/05) (Referred to Finance Committee)

MOTION: Martin moved to introduce Ordinance 2005-44 and set for public hearing on December 6, 2005.

President Long opened the public comment period.

The following person spoke in opposition to Ordinance 2005-44:

Fred Sturman, PO Box 513, Soldotna, AK

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

Assembly Members Merkes, Fischer and Gilman spoke in opposition to introducing Ordinance 2005-44.

Assembly Members Martin, Chay and Sprague spoke in support of introduction.

VOTE ON MOTION TO INTRODUCE

AND SET FOR PUBLIC HEARING:

Yes: Chay, Germano, Long, Martin, Sprague

No: Fischer, Merkes, Gilman

Absent: Superman

MOTION TO INTRODUCE AND

SET FOR PUBLIC HEARING PASSED: 5 Yes, 3 No, 1 Absent

Ordinance 2005-45: Amending KPB 5.12.105(D) to Require Late Property Tax Exemption Applications from Senior Citizens and Disabled Veteran to be Filed During the Tax Year for Which the Exemption is Sought (Sprague) (Hearing 12/06/05) (Referred to Policies and Procedures Committee)

MOTION: Chay moved to introduce Ordinance 2005-45 and set for public hearing on December 6, 2005.

President Long called for public comment.

The following person spoke in opposition to Ordinance 2005-45:

William Keller, 35510 Brians Street, Soldotna, AK

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

Assembly Member Merkes spoke in opposition to the introduction of Ordinance 2005-45.

VOTE ON MOTION TO INTRODUCE

AND SET FOR PUBLIC HEARING:

Yes: Chay, Germano, Gilman, Long, Martin, Sprague

No: Fischer, Merkes

Absent: Superman

MOTION TO INTRODUCE AND

SET FOR PUBLIC HEARING PASSED: 6 Yes, 2 No, 1 Absent

PUBLIC COMMENTS AND PUBLIC PRESENTATIONS

(8:55:12)

ASSEMBLY MEETING AND HEARING ANNOUNCEMENTS

• Joint Work Session with the Planning Commission to discuss Material Site Permits, scheduled for November 4, 2005, from 9:00 a.m. to Noon in the Assembly Chambers.
• The next meeting of the Kenai Peninsula Borough Assembly was scheduled for November 15, 2005, at 7:00 p.m. in the Assembly Chambers of the Borough Administration Building in Soldotna, Alaska.

ASSEMBLY COMMENTS

(8:56:30)

Assembly Member Gilman thanked all of the candidates who ran for office during the election season. She also thanked Mayor Bagley for his service to the borough.

Assembly Member Germano thanked the Assembly for a warm welcome.

Assembly Member Merkes thanked Mayor Bagley and wished him well with the Arctic Winter Games.

Assembly Member Chay welcomed the new assembly members and thanked Mayor Bagley and Ed Oberts for their work. Mr. Chay welcomed Mayor Elect Williams.

Assembly Member Sprague welcomed the new Assembly Members Gilman and Germano. Mr. Sprague thanked Ed Oberts and Mayor Bagley and offered his congratulations to Mayor Elect Williams.

Assembly Member Martin welcomed Assembly Members Germano and Gilman. She thanked Mayor Bagley for his service over the past six years. She further thanked Planning Director Max Best for setting up the joint work session on Friday.

Assembly Member Fischer also thanked Mayor Bagley and Ed Oberts for their service. Mr. Fischer said he would be out of town and requested an excused absence for December 6, 2005.

Assembly Member Long thanked the Assembly for his election to the office of Assembly President. He thanked Mayor Bagley and Mr Oberts. He welcomed the new assembly members and looked forward to a good working relationship with everyone.

ADJOURNMENT (9:03:14)

With no further business to come before the assembly, President Long adjourned the meeting at 9:03 p.m.

I certify the above represents accurate minutes of the Kenai Peninsula Borough Assembly meeting of November 1, 2005.

Approved by Assembly: