CALL TO ORDER

A Regular Meeting of the Kenai Peninsula Borough Assembly was held on February 7, 2006, in the Borough Administration Building, Assembly Chambers, Soldotna, Alaska. 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 Pastor Rick Cupp from Kenai Fellowship in Kenai.

There were present:

Ron Long, Presiding

Dan Chay

Paul Fischer

Deb Germano

Margaret Gilman

Milli Martin

Pete Sprague

Gary Superman

comprising a quorum of the assembly.

Absent:

Grace Merkes (excused)

Also in attendance were:

John Williams, Borough Mayor

Colette Thompson, Borough Attorney

Sherry Biggs, Borough Clerk

Johni Blankenship, Deputy Clerk

COMMITTEE REPORTS (07:02:00)

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

Assembly Member Martin stated the Lands Committee met and discussed its brief agenda.

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

Assembly Member Sprague stated the Legislative Committee met and discussed its agenda consisting of Federal Priorities. Mr. Sprague reported on the recent trip to Juneau.

APPROVAL OF AGENDA AND CONSENT AGENDA (07:18:28)

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

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

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

• Ordinance 2005-19-44: Appropriating $500,000 to the Kenai Peninsula Arctic Winter Games 2006 Host Society (Mayor) (Shortened Hearing on 02/21/06) (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.

• January 17, 2006 Regular Assembly Meeting Minutes
• June 16, 2005 Board of Equalization Hearing Minutes
• Resolution 2006-010: Authorizing CPGH, Inc. to Purchase and Install a Siemens Axiom Aristos MX, Dual Digital Detector Radiographic System and Accessories (Mayor) (Referred to Finance Committee)
• Resolution 2006-011: Accepting a $45,000 Grant from the Alaska Department of Military and Veterans Affairs for Emergency Management Operations (Mayor) (Referred to Finance Committee)
• Resolution 2006-012: Approving a Mutual Aid Agreement between the Municipality of Anchorage, the Kenai Peninsula Borough, and the Matanuska-Susitna Borough (Mayor) (Referred to Policies and Procedures Committee)
• Resolution 2006-013: Designating the Newspaper and Awarding the Contract for the Publication of the 2006 Property Tax Foreclosure List, the Delinquent Personal Property Tax List, and the Delinquent Real Property Lease List for the Tax Year 2005 (Mayor) (Referred to Finance Committee)
• Ordinance 2005-19-43: Appropriating $101,614.24 to the Special Assessment for Moose Range Subdivision Natural Gas Line Utility Special Assessment District (Mayor) (Shortened Hearing on 02/21/06) (Referred to Finance Committee)
• Ordinance 2006-03: Adopting the National Incident Management System (NIMS) (Mayor) (Hearing on 03/14/06) (Referred to Policies and Procedures Committee)
• Ordinance 2006-04: Stating Non-Objection to the Seldovia Village Tribe (SVT) Barabara Heights Volunteer Fire Department being Recognized by the State as a Volunteer Fire Department to Provide Fire Protection in the Kenai Peninsula Borough (Mayor, Martin) (Hearing on 03/14/06) (Referred to Policies and Procedures Committee)
• Ordinance 2006-05: Amending KPB Chapters 14.10 and 14.20 to Revise the Street Naming and Numbering System (Mayor) (Hearing on 03/14/06) (Referred to Lands Committee)
• Ordinance 2006-06: Amending KPB 2.60.030 to Increase the E911 Surcharge from $.75 to $1.50 Per Month (Mayor) (Hearing on 03/14/06) (Referred to Finance Committee)

[Clerk's Note: The following technical amendment was made to Ordinance 2006-06: Title to read, "Amending KPB 2.60.030 to Increase the E911 Surcharge from $.75 to $1.15[1.50] Per Month"]

• Ordinance 2006-07: Authorizing the Lease of an Outdoor Shooting Range Facility at the Seward Solid Waste Facility Grounds to the City of Seward at Less Than Market Value (Mayor) (Hearing on 04/04/06) (Referred to Lands Committee)
• Confirming Appointments to the Board of Adjustment (Referred to Policies and Procedures Committee)

Seat A Katheleen Haywood Term to Expire 12/31/2006

Seat B Betty Glick Term to Expire 12/31/2007

Seat C Marilyn Kebschull Term to Expire 12/31/2008

Seat D Michelle Medley Term to Expire 12/31/2006

Seat E Malcolm Brown Term to Expire 12/31/2007

Alternate Mark Osterman Term to Expire 12/31/2008

• Confirming Appointments to the Board of Equalization (Referred to Policies and Procedures Committee)

Seat A Betty Glick Term to Expire 12/31/2006

Seat B Michelle Medley Term to Expire 12/31/2007

Seat C Jerry Hobart Term to Expire 12/31/2008

Seat D Mike Wiley Term to Expire 12/31/2006

Seat E Saylor Rehm Term to Expire 12/31/2007

Alternate Billy Joe Creary Term to Expire 12/31/2008

Alternate Katheleen Haywood Term to Expire 12/31/2008

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

AGENDAS APPROVED AS AMENDED: Unanimous.

COMMENDING RESOLUTIONS AND PROCLAMATIONS - None

(07:26:45)

PRESENTATIONS WITH PRIOR NOTICE

Jim Butler, Seabulk Corporation Representative, gave a brief report on the MV Seabulk Pride incident which occurred at the Nikiski Dock on Thursday, February 2, 2006.

Bill Coghill of Mikunda Cottrell & Company presented the Comprehensive Annual Financial Report (CAFR) for fiscal year ended June 30, 2005.

PUBLIC COMMENTS ON ITEMS NOT APPEARING ON THE AGENDA

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

REPORTS OF COMMISSIONS AND COUNCILS - None.

MAYOR'S REPORT (07:50:25)

a.  Spruce Bark Beetle Mitigation Program

• Approval of Contract with Tinker Creek Surveys for Birch Street Surveying Project
• Approval of Contract with Segesser Surveys for Natascha Surveying Project
• Approval of Contract with Tinker Creek Surveys for Sunset Surveying Project
• Approval of Contract with Segesser Surveys for Skyline West Surveying Project

c.  Approval to Waive Formal Bidding Procedures and Award Contracts to Columbia Restaurant Equipment and Food Services of America for Kitchen Equipment for Nikiski Community Recreation Center

2. Other

a. Memo from Bill Popp, Special Assistant to the Mayor regarding December Unemployment Figures for the Kenai Peninsula Borough

Road Service Area Annual Report - February 7, 2006

Investment Portfolio Report - January 17, 2006

Budget Revisions and Revenue-Expenditure Reports - December 2005

ITEMS NOT COMPLETED FROM PRIOR AGENDA - None.

PUBLIC HEARINGS ON ORDINANCES

(08:06:33)

Ordinance 2005-19-38: Accepting and Appropriating $38,000 from the U.S. Department of Homeland Security for Anchor Point Fire and Emergency Service Area for Firefighting Equipment (Mayor) (Referred to Finance Committee)

MOTION: Superman moved to enact Ordinance 2005-19-38.

Assembly Member Superman stated the funds would be used to replace outdated equipment.

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

VOTE ON MOTION:

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

No: None

Absent: Merkes

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

(08:09:44)

Ordinance 2005-19-39: Revising the FY2006 Budget Due to Passage of Proposition 5 and Repealing and/or Reducing Previous Appropriations (Mayor) (Final Hearing) (Referred to Finance Committee)

[Clerk's Note: There was a motion to enact on the floor from the January 17, 2006 meeting.]

President Long opened the public comment period.

The following people spoke in opposition to Ordinance 2005-19-39 as written:

Lela Rosin, 395 Endicott Drive, Soldotna

Sharon Moock, 395 South Kobuk, Soldotna

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

MOTION TO AMEND: Superman moved to amend Ordinance 2005-19-39 as follows:

Fourteenth whereas clause to read, "[BY ELIMINATING THE REMAINING PORTION OF THE FY2006 MAINTENANCE LANDSCAPING BUDGET, THE BOROUGH WILL BE ABLE TO REDUCE THE AMOUNT PREVIOUSLY APPROPRIATED FOR SCHOOL MAINTENANCE BY $60,000]the school district has agreed to reimburse the borough for expenses incurred in providing certain administrative services for the school district in the amount of $60,000; and"

Section 6 to read, "That expenditures previously appropriated to transfers to School District for Operations and In-kind services, account 100.94910.00000.50241 be reduced by $[130,000]70,000."

Section 7 to read, "That expenditures previously appropriated in Fund 241, School Fund, be changed as follows: Local effort previously appropriated to account number 241.94910.0000.50241 for $27,657,592 be reduced by $70,000 to $27,587,592 [AND MAINTENANCE OPERATIONS PREVIOUSLY APPROPRIATED TO ACCOUNT NUMBER 241.41010.00000.49999 FOR $5,474,762 BE REDUCED BY $60,000 TO $5,414,762]."

MOTION TO AMEND: (Secondary) Sprague moved to amend the amendment by deleting the fourteenth whereas as follows:

Fourteenth whereas clause to read, "[THE SCHOOL DISTRICT HAS AGREED TO REIMBURSE THE BOROUGH FOR EXPENSES INCURRED IN PROVIDING CERTAIN ADMINISTRATIVE SERVICES FOR THE SCHOOL DISTRICT IN THE AMOUNT OF $60,000; AND]

VOTE ON SECONDARY AMENDMENT:

Yes: Germano, Sprague, Long

No: Chay, Fischer, Gilman, Martin, Superman

Absent: Merkes

SECONDARY AMENDMENT FAILED: 3 Yes, 5 No, 1 Absent

Assembly Member Superman spoke in opposition to the amendment.

President Long passed the gavel to Vice President Sprague and spoke in support of the amendment. Vice President Sprague returned the gave to President Long.

Assembly Member Chay spoke in support of the amendment.

VOTE ON MAIN MOTION TO AMEND:

Yes: Chay, Gilman, Martin, Sprague, Long

No: Fischer, Germano, Superman

Absent: Merkes

MAIN MOTION TO AMEND PASSED: 5 Yes, 3 No, 1 Absent

VOTE ON MOTION TO ENACT AS AMENDED:

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

No: Germano

Absent: Merkes

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

(08:36:57)

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

[Clerk's Note: There was a motion to enact on the floor from the August 2, 2005 meeting.]

President Long opened the public comment period.

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

Helen Schwert, 72229 North Fork Road, Anchor Point

Steve Ebbert, P. O. Box 1938, Homer

Merriam Warrington, 72229 North Fork Road, Anchor Point

Ann Bayes, PO Box 575, Anchor Point

Connie Alderson, P. O. Box 221, Anchor Point

Skip Isham, Soldotna

The following person spoke in opposition to Ordinance 2005-13:

Ina Jones, P. O. Box 15401, Fritz Creek

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

Assembly Member Chay requested the assembly defeat Ordinance 2005-13. He indicated his intent to offer amendments to Ordinance 2006-01 which would include the concepts addressed in Ordinance 2005-13.

Assembly Member Superman spoke in opposition to Ordinance 2005-13.

Assembly Member Martin spoke in support of Ordinance 2005-13.

VOTE ON MOTION TO ENACT:

Yes: Germano

No: Chay, Fischer, Gilman, Martin, Sprague, Superman, Long

Absent: Merkes

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

(09:12:16)

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)

Ordinance 2005-38 (Martin Substitute): 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)

[Clerk's Note: There was a motion to enact Ordinance 2005-38 on the floor from the September 20, 2005 meeting.]

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

MOTION TO AMEND: Martin moved to amend Ordinance 2005-38 by substitution.

VOTE ON MOTION TO AMEND BY SUBSTITUTION:

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

No: None

Absent: Merkes

MOTION TO AMEND BY

SUBSTITUTION PASSED: 8 Yes, 0 No, 1 Absent

MOTION TO POSTPONE: Martin moved to postpone Ordinance 2005-38 (Martin) Substitute until the March 14, 2006 meeting.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Merkes

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

(09:26:16)

Ordinance 2006-01: Repealing KPB 21.26 and Enacting KPB Chapter 21.29, Material Site Permits (Long, Martin, Superman) (First of Two Hearings) (Referred to Lands Committee)

MOTION: Martin moved to enact Ordinance 2006-01.

President Long opened the public comment period.

The following people spoke in opposition to Ordinance 2006-01 as written:

Earl Breyfogle, P. O. Box 496, Anchor Point

Steve Ebbert, P. O. Box 1938, Homer

Helen Schwert, 72229 North Fork Road, Anchor Point

Merriam Warrington, 72229 North Fork Road, Anchor Point

Ann Bayes, P. O. Box 575, Anchor Point

Connie Alderson, P. O. Box 221, Anchor Point

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

MOTION TO POSTPONE: Martin moved to postpone Ordinance 2006-01 until the February 21, 2006 meeting.

Assembly Member Martin requested the Planning Department prepare a presentation for the Assembly and the public, highlighting the changes proposed to the material site permit section of the code.

VOTE ON MOTION TO POSTPONE:

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

No: None

Absent: Merkes

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

(09:43:27)

UNFINISHED BUSINESS - Notice of Reconsideration.

Resolution 2006-007: Reclassifying Tract A, Sunrise View Subdivision (Mayor) (Reconsideration Given by Mr. Superman)

MOTION: Superman moved to reconsider Resolution 2006-007.

Assembly Member Superman encouraged his fellow assembly members to defeat the motion to reconsider.

VOTE ON MOTION TO RECONSIDER:

Yes: None

No: Chay, Fischer, Germano, Gilman, Martin, Sprague, Superman, Long

Absent: Merkes

MOTION TO RECONSIDER FAILED: 0 Yes, 8 No, 1 Absent

(09:56:01)

NEW BUSINESS

Ordinance 2005-19-44: Appropriating $500,000 to the Kenai Peninsula Arctic Winter Games 2006 Host Society (Mayor) (Shortened Hearing on 02/21/06) (Referred to Finance Committee)

MOTION: Superman moved to introduce Ordinance 2005-19-44 and set for public hearing on February 21, 2006.

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

Assembly Member Superman stated the ordinance would allow for forward-funding of a State supplemental appropriation which may be available as soon as March 1, 2006.

Assembly Member Fischer stated he was a partner in a company that would be selling pins to the Arctic Winter Games Host Society and felt he had a potential conflict. With no objection, President Long ruled a conflict did exist and Mr. Fischer abstained from voting.

Assembly Members Chay, Superman, Martin and Gilman spoke in support of introduction of Ordinance 2005-19-44.

VOTE ON MOTION TO INTRODUCE

AND SET FOR PUBLIC HEARING:

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

No: None

Absent: Merkes

Abstain: Fischer

MOTION TO INTRODUCE AND SET

FOR PUBLIC HEARING PASSED: 7 Yes, 0 No, 1 Absent, 1 Abstention

(10:05:55)

PUBLIC COMMENTS AND PUBLIC PRESENTATIONS - None

(10:05:55)ASSEMBLY MEETING AND HEARING ANNOUNCEMENTS

• The next meeting of the Kenai Peninsula Borough Assembly was scheduled for February 21, 2006, at 7:00 p.m. in the Assembly Chambers of the Borough Administration Building in Soldotna, Alaska.

(10:05:55)

ASSEMBLY COMMENTS

Assembly Member Fischer thanked his fellow Assembly Members for the get well card they had sent and indicated it gave him encouragement to get well soon.

Assembly Member Martin stated her appreciation to Kip Knutson of Tesoro, for updates regarding the Seabulk Pride grounding in Nikiski. She also congratulated Michaela Hutchison on her first female in the nation achievement of winning a State Championship Title against boys.

Assembly Member Gilman stated the Kenai Middle School welcomed home teacher Ken Felchle from Iraq were he served with the National Guard and commended the students for their behavior while honoring him.

Assembly Member Chay encouraged his fellow assembly members to read the material site rewrite in small doses.

President Long thanked the applicants of the Board of Equalization and Board of Adjustment and wished Happy Birthday to Mr. Chay, Mr. Superman and Ms. Martin.

ADJOURNMENT (10:10:25)

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

I certify the above represents accurate minutes of the Kenai Peninsula Borough Assembly meeting of February 7, 2006.

Approved by Assembly: