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1986-07-30 Regular MeetingKODIAK ISLAND BOROUGH Special Assembly Meeting July 30, 1986 A special meeting of the Kodiak Island Borough was held July 30, SPECIAL 1986, in the Assembly Chambers of the Kodiak Island Borough MEETING Building at 7:30 p.m. The meeting was called to order at 7:38 p.m. (A verbatim record is on file in the Clerk's office.) There were present: ROLL CALL J Lorne White, Presiding Alan Austerman Ann Barker Eric Blankenburg Ken Gregg Ed Naughton Martha Ruble comprising a quorum of the assembly; and Jerome Selby, Borough Mayor Gaye Vaughan, Borough Clerk ITEM OF BUSINESS Discussion of Baler Facility Bid Opening. BALER FACILITY SITE Assemblyman Gregg opened the discussion by explaining that the special meeting was called at the request of Assemblymembers Austerman, Ruble, and himself after concern was raised by several citizens about the location of the baler facility. He stated the purpose of the meeting was to discuss delaying the bid opening of August 6, 1986. �I GREGG, moved to direct the mayor to seconded by RUBLE delay the bid opening on baler facility until September 5, 1986 and Assembly consider formally relocation of site. Assemblyman Austerman stated he thought the baler facility should be located on the existing landfill site in Monashka Bay; and even though the borough is under pressure from the state of Alaska to get the baler on line, he agreed that it needed to be recon- sidered. He hoped it would be possible for the present bidders on the facility to submit a separate bid on the cost to move to another site. He suggested the assembly refer to the memorandum given them by the Facilities Coordinator as to options concerning the bidding. At the request of Assemblymember Barker, Assemblyman Gregg explain the handout on his analysis of the baler facility reloca- tion. He stated there was no significant difference in the transportation costs between the two sites. He further stated that when Smokey's Dump was selected as the baler site, there was little development in the surrounding area. This has changed with the Safeway project being built next to the site and a 34 unit low income housing complex in the proximity. The present landfill site is committed to being a dump site for the next twenty years and is located much further from population or busi- ness centers. He believed that with the current growth in the area of Smokey's dump, it would be the center of town in twenty years. Also, he pointed out that Tatco, the contractor on the Selief Lane extension, has notified the borough that the borough will be liable for any costs overruns or delays which result from conflicts between the contractor on the baler facility and their work. He commented that the present baler plans do not allow for future incineration. In the bid schedule outline, he proposed a schedule with a new set of engineering plans being mailed to bidders by August 15, 1986, a bid opening on September 5, 1986, and a Notice to Proceed awarded on September 15, 1986. Two other points to consider in favor of delaying the bid opening until September 5th, he said, were that a noncompetitive bid on the Kodiak Island Borough Special Assembly Meeting July 30, 1986 relocation would result in significant cost increase due to the BALER FACILITY extent of the changes; and the potential of a suit by other bidders SITE due to a substantial change in the project. (continued) Presiding officer White asked Mayor Selby to review the memoran- dum from Robert MacFarlane, Facility Coordinator, on the baler facility. Mayor Selby explained that Mr. MacFarlane saw no problem with opening the bids and awarding the contract as scheduled at the August 7th meeting, then negotiating the site change as a "change order." With the project estimated at $1,500,000, the change order on the site (estimated at $150,000) would be less than a ten percent change to the total contract which is insignificant dollar -wise to the total project. He said the format of the building would remain the same and the difference in the time frame would move the completion date from the spring to the fall. One problem with delaying the bid opening until September would be pouring concrete in freezing weather. The cost estimates on the utilities at the landfill site were reviewed. Depending on the extent of the leachate problem at the landfill site, the cost for a treatment plant for the baler facility could vary from $250,000 to $3,000,000, he noted. The current financial status sheet on the solid waste facility, specifications for the baler, and the copy of the permit issued by the Department of Environmental Conservation were reviewed by Mayor Selby. Assemblyman Austerman commented that he felt there was no control over costs in regard to.change orders and he felt the bids should not be opened until an addendum was done. Assemblyman Blankenburg agreed with Assemblyman Gregg that Smokey's Dump may not be the best place for the baler. He said that at previous site selections, the assembly went through a lengthy process which included public input and he noted there was no provision of public input concerning the baler facility being placed on the landfill site. Presiding officer White agreed that the previous resolution selecting Smokey's dump as the baler facility site should be rescinded. Mayor Selby said the simplest way to change the site would be to prepare another resolution superseding the previous resolution and add it to the agenda for a public hearing during the August 7, 1986 meeting. Assemblymember Barker pointed out that the staff report showed the cost to move the baler to the landfill site would be an addi- tional $450,000; and she asked if there were any figures on the cost to operate the landfill and the baler on separate sites. She questioned whether the cost for moving the baler to the land- fill might be at the expense of closing out the landfill. Assemblymember Ruble said she had a concern with the present site selection and suggested all the sites be examined again. She wasn't necessarily in favor of the landfill site, she stated. Assemblyman Gregg thought the distance necessary for running the water line at the baler was 300 feet and not 1,500 feet as shown resulting in a savings of $200,000. He felt the difference in moving the site should run $200,000/250,000 tops. Also, with regard to the leachate problem, one of the options was dilution which wasn't mentioned. He noted that if the stream running through the landfill hadn't been diverted, the leachate problem might not have occurred. Assemblyman Blankenburg stated that everybody touts thirty years as the anticipated life of the landfill site when it is an unknown factor. r. 1q Kodiak Island Borough Special Assembly Meeting July 30, 1986 Assemblyman Naughton questioned the cost of cleaning Smokey's BALER FACILITY Dump if the baler site were changed and also whether the city would SITE negate their liability for the present situation at the landfill. (continued) Mayor Selby told the assembly that the borough does not own the proposed site for the baler at the landfill. The land is owned by the city of Kodiak. If this was to be pursued, he suggested the assembly make a motion to authorize entering into negotiations with the city for leasing or purchasing that piece of land. Also, in response to Assemblyman Naughton's question, he had a legal opinion that the "hold harmless" clause in the lease agreement covers the borough as far as the city being responsible for what is in place now. In response to questions of the assembly, Matt Jamin, Borough Attorney, stated it was their preference as council for the bor- ough not to field questions at meetings but to analyze the questions and respond after research in their office. He said if this policy was a problem, the assembly might consider the economic value of in house council. Presiding officer White noted that a public hearing on the baler site selection had not been advertised but due to the presence of a large number of people in the audience, he asked if their opin- ions should be heard. It was the consensus of the assembly they should be heard. Scott Arndt, a member of the original dump site selection committee six years ago, said that Arctic Engineers' preliminary studies showed there was no good location on Kodiak for a landfill site. He felt the borough would end up with a combination of both baling and incineration. He thought the initial set up costs would be offset by the operational costs in operating one facility. He stated the bids would be more competitive if all companies were bidding on the same thing. He urged the assembly to relocate the site, extend the bid period to get the design and engineering completed, and then issue an addendum. Maureen Butler pointed out that a Safeway mall and a high density residential and industrial development was being built near the proposed baler site. She didn't think this area was the place for an baler facility so close to town. Ed VanFleet opposed the baler facility being located at Smokey's Dump. As a member of Service District No. 1, he reminded every- one that millions of dollars have been granted by the state to the borough to clean up the watershed area around Dark Lake and Island Lake as they deemed the pollution a hazard to the health of the residents. He felt this facility would be detrimental to the watershed. Duncan Fields, a property owner near Smokey's Dump for the past sixteen years, questioned whether the clean up of Smokey's Dump was included in the contract for the baler. He agreed with the other people who testified against placing the baler on this site. Okey Chandler agreed that the landfill area was the best site for the baler. He thought the trash should be baled and buried in one area to be cost effective. Doneen Tweten thought the assembly should not be pressured by deadlines and should rethink the location for the baler. 3 Kodiak Island Borough Special Assembly Meeting July 30, 1986 Dennis Murray agreed with the points made by Scott Arndt regard - the baler. He expressed doubts about the competence of Arctic Engineers as they have made mistakes on projects in the past. He felt it made sense to locate all operations in one location so the material would not be handled several times. Jim Ramaglia, a member of the Kodiak City Council, said he would make the motion at the next council meeting to give the property at the landfill site to the borough. He served on the landfill site selection committee and feels the best site for the baler is the present landfill location. He agreed all operations in one location would be the least expensive way to proceed. He urged the assembly to take a serious look at combining the baler facil- ity with a garbage incinerator. Jeff Stephans, another member of the Kodiak City Council, agreed to second Jim Ramaglia's motion to transfer the landfill property to the borough. He felt it was a prudent act to move the baler to the landfill site. He recommended garbage incineration be incorporated into the baling process to extend the life of the landfill. Fred Nass, Kodiak Sanitation, agreed with the arguments for mov- ing the baler to the landfill site. He disputed the cost for the electrical power line as presented in the memorandum. He said the Department of Environmental Conservation stated that if you can't eliminate the leachate problem, diluting it would be a solution. He thought incineration would increase the life of the landfill as approximately 75 percent of the material hauled to the landfill now is combustible. Mary Jane Rogers, a resident of Shahafka Acres near Smokey's Dump, voiced objection to the odor that will emanate from the �j baling facility and urged it be moved to the landfill site. IL �I Ron Wade, a resident of Shahafka Acres, agreed with all the com- ments about moving the baler to the landfill site. He also agreed that Arctic Engineers were prone to mistakes from his own experience. Rick Spalinger, a resident of Shahafka Acres, agreed with the arguments to move the baler to the landfill site. Darcy Spalinger thanked to assembly for having a public hearing before opening the baler facility bid. She thought the landfill site was the best place for the baler. Terry Johnson, property owner in Shahafka Acres, wanted the baler facility moved to the landfill site and, also, she would like to see Smokey's Dump site cleaned up. Wally Johnson related the content of a telephone conversation he held with Mr. Henry Friedman, DEC Coordinator, regarding the fine to be levied against the borough if the garbage baler wasn't operational on March 1, 1987. He concluded by saying that if the borough was attempting to make a real and honest effort to solve the garbage problem that DEC will slack off and give time to do it. He supported moving the baler to the landfill and adding an incinerator. This concluded public testimony; the assembly returned to the discussion. A discussion followed between the assemblymembers and the mayor regarding breaking down the bid award. Presiding officer White stated that he felt uncomfortable heading in the direction of where the baler would be located without a well advertised formal public hearing. The people living in Monashka Bay will have something to say about placing the baler at the landfill, he stated. BALER FACILITY SITE (continued) 4 VE Kodiak Island Borough Special Assembly Meeting VOTE ON MOTION Ayes: Noes: MOTION CARRIED Austerman, Barker, Blankenburg, Gregg, Ruble, White Naughton 6 Ayes, 1 No Assemblyman Austerman said he heard speculation that Mayor Selby might veto the assembly's action on this matter and he wanted to know if he intended to veto the measure. Mayor Selby said he had until the next meeting to make that deci- sion and the reason he might veto the measure would be because of the time constraint. He stated he had no objection to relocation of the site, however, he saw no reason not to award the bid since there was no change in the facility structure itself. The assembly expressed the desire to have the public hearing on this matter advertised in a separate ad in the newspaper. There being no further business to come before the assembly, the meeting adjourned at 9:46 p.m. ATTEST: ,� L � - " �. C l� B rough rk � . ltc " Pr66iding Officer July 30, 1986 BALER FACILITY SITE (continued) ADJOURNMENT 5