1986-10-02 Regular MeetingKODIAK ISLAND BOROUGH Regular Assembly Meeting October 2, 1986 A regular meeting of the Kodiak Island Borough Assembly was held October 2, 1986, in the Assembly Chambers of the Kodiak Island Borough Building, 710 Mill Bay Road. The meeting was called to order at 6:35 p.m. (A verbatim record is on file in the Clerk's office) The invocation was given by Chaplain Henry Wright of the Star of the Sea Chapel, U.S. Coast Guard Station, followed by the pledge of allegiance. There were present: Lorne White, Presiding Eric Blankenburg Martha Ruble Absent: Alan Austerman (Excused) Ann Barker Ken Gregg Ed Naughton (Unexcused) comprising a quorum of the assembly; and Jerome Selby, Borough Mayor Linda Freed, Community Development Director Gaye Vaughan, Borough Clerk Shirley Berns, Deputy Borough Clerk APPROVAL OF AGENDA BARKER, seconded by GREGG WITHOUT OBJECTION, SO ORDERED GREGG, seconded by BARKER WITHOUT OBJECTION, SO ORDERED CONSENT AGENDA A. RESOLUTIONS moved to amend agenda to move Ord. 86-42-0 from "Consent Agenda" to "New Business"; withdraw Res. 86-72-R; add Res. 86-75-R and Res. 86-76-R to "New Business"; add KID Financial Report for September 1986 and KIBSD Financial Report for July and August 1986 to Communications. moved to approve agenda as amended. 1. Resolution No. 86-68-R Confirming The 1986 Borough Population For State Revenue And Municipal Assistance Fund Payments. 2. Resolution No. 86-74-R Establishing Amount Due From The City Of Kodiak For Taxes On Personal Property Within The City Limits. B. ORDINANCES FOR INTRODUCTION 1. Ordinance No. 86-41-0 Amending 17.02, Comprehensive Plan (Akhiok). 2. Ordinance No. 86-43-0 Revising Kodiak Island Borough Code Section 13.01.150 Pertaining To Utilities. REGULAR MEETING ROLL CALL APPROVAL OF AGENDA CONSENT AGENDA RESOLUTION NO. 86-68-R RESOLUTION NO. 86-74-R ORDINANCE NO. 86-41-0 ORDINANCE NO. 86-43-0 Kodiak Island Borough October 2, 1986 Regular Assembly Meeting C. COMMUNICATIONS TO THE ASSEMBLY CONSENT AGENDA 1. Memorandum regarding approval of Election Workers for COMMUNICATIONS October 7, 1986 Regular Election TO THE ASSEMBLY 2. KIB Financial Report for September 1986. 3. KIB School District Financial Report for July and August 1986. D. APPROVAL OF MINUTES APPROVAL OF MINUTES 1. K.I.B. Assembly Regular Meeting of September 4, 1986. E. MINUTES OF OTHER MEETINGS MINUTES OF OTHER MEETINGS 1. K.I.B. School District Regular Meeting of August 25, 1986. 2. K.I.B. Planning and Zoning Commission Regular Meeting of August 20, 1986. 3. Womens Bay Service District Regular Meeting of August 21, 1986. GREGG, moved to approve the consent seconded by BARKER agenda items. WITHOUT OBJECTION, SO ORDERED CITIZEN'S COMMENTS CITIZEN'S COMMENTS Mayor Selby presented Linda Freed, Community Development Director, the Employee of Month Award. Linda is the first department head EMPLOYEE OF to be awarded this honor. THE MONTH AWARD Bob Pederson urged adoption of resolution 86-63-R authorizing Land Sale No. 10 and establishing its terms. He stated the purpose of the municipal entitlement program in Alaska was for municipalities to dispose of land into private hands as this resolution does. He said the way this land sale was set up was good because it would not unduly compete with the private market and would not have an adverse effect on property values. He said that some people who participate in borough land sales were individuals who for various reasons could not afford to purchase lots from the private market. COMMITTEE REPORTS COMMITTEE REPORTS Robin Heinrichs said he was representing the Planning and Zoning Commission and would be available to answer questions. PUBLIC HEARING PUBLIC HEARING A. Resolution No. 86-61-R Adopting A CIP For FY 1988 thru 1992 RESOLUTION And Establishing Capital Project Priorities. NO. 86-61-R BARKER, moved to remove from seconded by BLANKENBURG table Resolution No. 86-61-R. MOTION CARRIED Unanimous voice vote The presiding officer called for public testimony; there being none, public hearing was closed. Mayor Selby noted that the resolution before the assembly had been amended at the work session and explained the capital improvements projects for the audience. BLANKENBURG, moved to amend by seconded by BARKER substitution Resolution No. 86-61-R. MOTION CARRIED Unanimous voice vote E Kodiak Island Borough Regular Assembly Meeting October 2, 1986 VOTE ON MOTION TO ADOPT Ayes: Noes: Barker, Blankenburg, Gregg, Ruble, White None MOTION CARRIED Unanimous B. Resolution No. 86-67-R Requesting Annexation Of Certain Borough Properties By The City Of Kodiak. RUBLE, seconded by moved to remove from table Resolution No. 86-67-R. MOTION CARRIED Unanimous voice vote The presiding officer called for public testimony. Scott Arndt, chairman of Service District No. 1 and chairman of Fire District No. 1, stated that since the borough was the prop- erty owner of the land and the land fell within the boundaries of both districts, he wanted to know if the borough had a problem with the services being provided. He said that both districts have objected to the continuous eroding of their tax base. He said this was the third or fourth attempt to annex service district property just this year and he felt the area should be left alone or else the entire area should be annexed. He opposed the resolution. The presiding officer closed the public hearing and reconvened the assembly. _ Assemblyman Gregg stated that he had not been aware the area fell within the service district boundaries and he agreed with Mr. Arndt that if you whittle away at a service district long enough, it can't afford to provide the services. Assemblyman Blankenburg said that at recent joint work sessions with the City of Kodiak, the city stated there were no reserve funds available to repair utilities such as sewer and water and he wondered why the city wanted to annex this area when services couldn't be provided. He thought it should all be annexed or something else done. Assemblymember Barker asked if the city requested this annexation. In response to the question Mayor Selby said the city had not requested the annexation; it had been a staff suggestion because the nineteen lots that are residential are bounded on two sides by the city and this would square up the city's boundaries. Also, the area would have city police and fire protection services if it was annexed. Assemblyman Gregg questioned Mr. Arndt regarding service district road service for this area and a discussion ensued. VOTE ON MOTION TO ADOPT Ayes: Noes: Barker Blankenburg, Gregg, Ruble, White MOTION FAILED 1 Aye, 4 Noes C. Ordinance No. 86-28-0 Revising Title 16 - Subdivisions BLANKENBURG, seconded by BARKER MOTION CARRIED moved to remove from table Ordinance No. 86-28-0. Unanimous voice vote PUBLIC HEARING RESOLUTION NO. 86-61-R (continued) RESOLUTION NO. 86-67-R ORDINANCE NO. 86-28-0 3 Kodiak Island Borough Regular Assembly Meeting October 2, 1986 BLANKENBURG, seconded by RUBLE moved to amend by substitution Ordinance No. 86-28-0. MOTION CARRIED Unanimous voice vote The presiding officer called for public testimony. _ Tim Hill spoke against one section under dedications and thought the borough should pay fare market value for properties the borough acquires from subdividers. Robin Heinrichs urged the assembly to adopt the ordinance; however, he also opposed the second sentence under "Dedications" 16.40.070 that requires subdividers to dedicate land for public purposes. Scott Thompson concurred with Mr. Heinrichs' statement regarding dedications and thought the second sentence should be deleted and fair market value be paid to the subdividers for land wanted for other public purposes. John Eufemio spoke in favor of the ordinance. He thought the section pertaining to private roads was well written and served the competing needs of both the private land owner and the borough. Sid Cozart agreed with the statements made regarding additional dedications and felt the borough should pay for land. Art Bors favored the ordinance in general but spoke against the sentence requiring additional dedication of lands if the subdivision was greater than fifty acres. Scott Arndt spoke in favor of the ordinance. He did, however, feel the section on dedications should be changed or eliminated completely. The presiding officer closed the public hearing and reconvened the assembly. BLANKENBURG, seconded by BARKER VOTE ON MOTION TO AMEND Ayes: Noes: MOTION CARRIED VOTE MOTION TO ADOPT AS AMENDED Ayes: Noes: moved to amend by deleting the second sentence in 16.40.070. Gregg, Ruble, Baker, Blankenburg, White None Unanimous Ruble, Barker, Blankenburg, Gregg, White None MOTION CARRIED Unanimous D. Ordinance No. 86-38-0 Adopting Non-Areawide Garbage and Solid Waste Collection And Disposal Powers. RUBLE, seconded by BARKER moved to adopt Ordinance No. 86-38-0. The presiding officer called for public testimony; there being none, the assembly was reconvened. The presiding officer stated an advisory election had been held and the people had voted three to two in favor of the borough adopting non-areawide garbage powers. PUBLIC HEARING ORDINANCE NO. 86-28-0 (continued) ORDINANCE NO. 86-38-0 0 Kodiak Island Borough Regular Assembly Meeting October 2, 1986 VOTE ON MOTION TO ADOPT Ayes: Noes: Barker, Blankenburg, Gregg, Ruble White None MOTION CARRIED Unanimous E. Ordinance No. 86-39-0 Relating To Solid Waste Collection And Disposal. BARKER, seconded by RUBLE moved to adopt Ordinance No. 86-39-0. The presiding officer called for public testimony. Duane Freeman, member of the Chamber of Commerce Committee for Litter Prevention, thanked the Kodiak City Council, the Kodiak Island Borough Assembly, and Kodiak Sanitation for their help during the recent clean-up drive. He stated his committee sup- ports the ordinance and urged the use of dumpsters and garbage cans as opposed to the use of plastic bags. He said the commit- tee strongly supported section 8.20.050(B) pertaining to the additional charge for unsecured loads being transported to the landfill. He inquired who would enforce this condition of the ordinance. He also asked who would enforce section 8.20.060(H) regarding the deposit of waste in containers owned by another person. One shortcoming with the ordinance, he said, was the lack of a recycling provision. In response to the questions, Mayor Selby said an additional charge of ten dollars would be assessed at the baler facility site for unsecured loads, however, a free plastic tarp would be given to the individual so that the next time there would be no excuse for an unsecured load. He stated the problem of depositing in another individual's container would be handled on a complaint basis and this section would give the borough legal authorization to follow up on such offenses. Mayor Selby said there would be inducements to separate garbage and recycle it in the contract for operation of the baler facility. The presiding officer closed the public hearing and reconvened the assembly. seconded by GREGG moved to amend by deleting 8.20.060(A). A discussion followed between the assemblymembers regarding the use of plastic bags. VOTE ON MOTION TO AMEND Ayes: Noes: MOTION FAILED VOTE ON MOTION TO ADOPT Ayes: Noes: MOTION CARRIED Blankenburg, Gregg, White Ruble, Barker 3 Ayes, 2 Noes Gregg, Ruble, Barker, Blankenburg, White None Unanimous The presiding officer called a ten minute recess. The presiding officer reconvened the assembly. PUBLIC HEARING ORDINANCE NO. 86-38-0 (continued) ORDINANCE NO. 86-39-0 5 Kodiak Island Borough Regular Assembly Meeting October 2, 1986 F. Ordinance No. 86-40-0 Amending Chapter 18.20, Real Property Disposal. GREGG, moved to adopt Ordinance seconded by BLANKENBURG No. 86-40-0. GREGG, seconded by RUBLE moved to amend by substitution and amend 18.20.100 to read "Disposal for fair market value" and removed "no less than eighty-five percent (85%) of the" from the third line. The presiding officer called for public hearing. Tim Hill spoke against section 18.20.100 where the ordinance states all disposals of borough land shall be for no less than eighty-five percent of fair market value. He felt the borough should sell land at 100 percent of fair market value. He said that if land was sold at 85 percent of fair market value that the assessed value of neighboring land would be devalued by 15 percent. He said that borough land was in competition with private enterprise by conflicting with large subdivisions and small property owners who has subdivided their lots as well as the already existing homes on the market. He felt in view of Kodiak's present economy, the borough should hold off on the land sale for two years. Sid Cozart opposed the sale of land at 85 percent of fair market value and he also was against the borough's sale of residential lots at this time. Okey Chandler said property values were elevated during the oil rboom days and there were over a hundred lots on the market at this time. He said that he saw no need for a borough land sale at the present time since the borough was not in need of money. Gary Pillans spoke regarding section 18.20.050 "Election required" and believed that if the voter's voice was going to be taken away with this ordinance, then it should be done by an election and not through an ordinance. He said that land should be sold at full market value. Bob Pederson spoke in favor of land being sold at 85 percent of market value as stated in the ordinance and said it didn't neces- sarily mean the land would actually be sold for that amount. In his experience, he said, the actual selling price was generally closer to fair market value. Dennis Murray felt under section 18.20.050 "Election required" that land valued at $25,000 was artificially low to require an election and thought the amount should be raised. He said land valued at $250,000 was more than the city required to be ratified by the voters. He thought the key word in the section was "per parcel" and thought language should be added stating "that when the dollar value of the parcels in questions exceeded $250,000, the voters have a right to ratify the decision." He said this r would prevent some creative interpretation. He agreed with earlier statements concerning borough land being sold at fair market value. Joan Hughes, a real estate appraiser in Kodiak, had a concern over the 85 percent of fair market value statement under section 18.20.100. She said it was difficult to establish 100 percent of fair market value given two appraisers on the same piece of prop- erty. She suggested that a minimum bid be established at 90 or 95 percent of fair market value and the bids go from there in a public outcry type auction. PUBLIC HEARING ORDINANCE NO. 86-40-0 6 �f� Kodiak Island Borough Regular Assembly Meeting October 2, 1986 Jack McFarland spoke in support of land disposal at 100 percent of fair market value. He stated that in times of declining revenues that the borough had a responsibility to the people to get the highest price for lands sold. Scott Arndt opposed the disposal of land at 85 percent of fair market value and also the sealed bid type auction. He thought there were some problems with the ordinance as it was written and r suggested it be tabled and revised. Tim Hill requested that a letter from Mel Stephans regarding this ordinance be read. Since all the assemblymembers had copies of the letter in their packets, his request was denied. Lorna Arndt concurred with the statements regarding the sale of borough land at 100 percent of fair market value. She was also against selling residential lots at this time. Wayne Sewell thought all borough land to be sold should come under the scrutiny of the public and felt that land valued over $100,000 should be ratified by voters. He said borough land should be sold for 100 percent fair market value. Dennis Murray made a suggestion that section 18.20.050 "Election required" be changed to apply to all property disposals by methods other than by public outcry auction. He said this would provide protection for the public. The presiding officer closed the public hearing and reconvened the assembly. VOTE ON MOTION TO AMEND Ayes: Noes: MOTION CARRIED GREGG, seconded by BARKER VOTE ON MOTION TO ADOPT AS AMENDED Ayes: Noes: MOTION CARRIED VOTE ON MOTION AS AMENDED Ayes: Noes: MOTION CARRIED Gregg, Ruble, Barker, Blankenburg, White None Unanimous moved to amend 18.20.050 to read "The sale, lease or other permanent disposal of borough land valued at $250,000 per parcel or more to any single individual, partnership, or corporation, by means other than outcry auction, shall" and 18.20.100(B) change "person" to "organization". Blankenburg, Gregg, Ruble, Barker, White None Unanimous Gregg, Ruble, Barker, Blankenburg, White None Unanimous PUBLIC HEARING ORDINANCE NO. 86-40-0 7 Iar) Kodiak Island Borough Regular Assembly Meeting October 2, 1986 MESSAGES FROM THE BOROUGH MAYOR Mayor Selby pointed out there will be a special assembly meeting on October 16, 1986 at 7:00 p.m. to ratify the election and the bid award for Service District #1 - Project 85-2 for water and sewer in Woodland Acres. OLD BUSINESS A. Resolution 86-63-R Authorizing Land Sale Number Ten And Establishing Its Terms. BARKER, seconded by RUBLE MOTION CARRIED GREGG, seconded by BLANKENBURG VOTE ON MOTION TO AMEND Ayes: moved to remove from table Resolution No. 86-63-R. Unanimous voice vote moved to delete "85 percent of" in number one of the terms. Ruble, Barker, Blankenburg, Gregg, White Noes: None MOTION CARRIED Unanimous VOTE ON MOTION TO ADOPT AS AMENDED Ayes: Barker, Gregg, Ruble, White Noes: Blankenburg MOTION CARRIED 4 Ayes, 1 No NEW BUSINESS A. BID AWARDS 1. East Elementary Ballfield Improvements Bid Award. BARKER, moved to award the bid for seconded by RUBLE East Elementary Ballfield Improvements to Felton Construction, Inc. NTE $37,425. VOTE ON MOTION Ayes: Barker, Blankenburg Gregg, Ruble, White Noes: None MOTION CARRIED Unanimous B. RESOLUTIONS 1. Resolution No. 86-69-R Declaring Certain Borough Land Surplus For Municipal Purposes And Authorizing The Exchange Of Borough Property For Privately Owned Land. RUBLE, moved to adopt Resolution seconded by BARKER No. 86-69-R. Assemblyman Gregg asked in view of the changes made in Ordinance No. 86-40-0 how it would effect this exchange of land and Mayor Selby responded by saying that since this resolution doesn't involve any parcels exceeding $250,000, the changes shouldn't effect it. MESSAGES FROM MAYOR OLD BUSINESS RESOLUTION NO. 86-63-R NEW BUSINESS BID AWARDS EAST ELEMENTARY BALLFIELD IMPROVEMENTS RESOLUTION NO. 86-69-R n Kodiak Island Borough October 2, 1986 Regular Assembly Meeting For the audience, Assemblyman Gregg explained that this NEW BUSINESS resolution would in conjunction with the City of Kodiak trade certain industrial and other lands, and other considerations to RESOLUTION Len Grothe for the end of Lily Lake, a strip along Larch Street, NO. 86-69-R and the bottom of Lily Lake to secure the integrity of Lily Lake (continued) as a float plane base. VOTE ON MOTION TO ADOPT Ayes: Blankenburg, Gregg, Ruble, Barker, White Noes: None MOTION CARRIED Unanimous 2. Resolution No. 86-73-R Authorizing Purchase Of An Up- RESOLUTION grade Of The Data Processing System. NO. 86-73-R RUBLE, moved to adopt Resolution seconded by BLANKENBURG No. 86-73-R. In response to an inquiry from the presiding officer, Mayor Selby explained the upgrade of the System 38 was needed because the present system was designed to support nineteen users and there are forty-five users on the system at the present time. This results in a slow response time and is wasting a substantial amount of time for the staff. A discussion followed between the mayor and assemblymembers. VOTE ON MOTION TO ADOPT Ayes: Ruble, Barker Noes: Blankenburg, Gregg, White MOTION FAILED 2 Ayes, 3 Noes 3. Resolution No. 86-75-R Establishing a Joint City/Borough RESOLUTION Fiscal Year of the 1985 Capital Project Priority List. NO. 86-75-R RUBLE, moved to adopt Resolution seconded by BLANKENBURG No. 86-75-R. VOTE ON MOTION TO ADOPT Ayes: Ruble, Barker, Blankenburg, Gregg, White Noes: None MOTION CARRIED Unanimous 4. Resolution No. 86-76-R Identifying the Kodiak Regional RESOLUTION Aquaculture Association as The Managing Agent for the NO. 86-76-R Karluk Lake Fertilization Project. BARKER, moved to adopt Resolution seconded by BLANKENBURG No. 86-76-R. VOTE ON MOTION TO ADOPT Ayes: Barker, Blankenburg, Gregg, Ruble, White Noes: None MOTION CARRIED Unanimous E i' , Kodiak Island Borough Regular Assembly Meeting October 2, 1986 L C. ORDINANCES FOR INTRODUCTION 1. Ordinance No. 86-42-0 Rezoning Lots lA Through 2A And Lots 4 Through 9, Block 5, Miller Point Alaska Sub- division From RR1--Rural Residential One To R2--Two-Family Residential GREGG, seconded by moved to adopt at first reading Ordinance No. 86-42-0. Presiding Officer White explained that he asked to have this ordinance pulled off the Consent Agenda because there was a difference of opinion between the staff recommendation and Planning and Zoning Commission recommendation. Linda Freed explained that the original area proposed for rezoning was not consistent with the comprehensive plan and there was not a need or a justification for rezoning the area. Robin Heinrichs said a meeting was held with the applicants and it was decided to remove from consideration all the areas except the part covered in this ordinance. He said there were a number of nonconforming structures in the area and this ordinance would reduce the nonconforming structures. VOTE ON MOTION TO ADOPT AT FIRST READING MOTION CARRIED Unanimous Voice Vote CITIZENS' COMMENTS Tim Hill commented about Mel Stephans' letter not being read into the record as he felt it should have been read aloud. Robin Heinrichs said he knew the assembly would be looking at setting up fees under the new subdivision ordinance. He suggested that fees for inspections be a percentage of the value of the improvement so the fees would be predictable. It would be a simple way of predicting fees. Roland Ruehaus, Kodiak Pilots' Association, commended the assembly for passing Resolution No. 86-69-R ensuring the safe approach and departure zone of Lily Lake as a float plane landing site. He offered the association's assistance in making improvements to the airport/seaport facility. Tim Hill said when inspection fees under the new subdivision ordinance were set up they should be very accurate. Also, speaking as a tax payer, he said he favored spending the money for an upgrade of the data processing system so the borough staff would be more efficient. Okey Chandler thought the City of Kodiak should be trading land for the Lily Lake float plane seaport rather than the borough. He questioned why the CIP for FY 1988-1992 had to be adopted at this time because priorities could change. ASSEMBLYMEN'S COMMENTS Assemblyman Gregg asked to have the record reflect that the assembly was in receipt of Mr. Stephens' letter with regard to Ordinance No. 86-40-0. Also, in the Change Order Status Report under Akhiok Dam Improvements Project, Number 2 - Equipment for Borough $106,530,000, he asked the mayor to explain what equipment was involved. Mayor Selby explained the borough took advantage of the opportunity to put the baler equipment on the barge headed for Akhiok and saved $45,000/$60,000 by working it as a change order on an existing contract and having that contractor bid them in Anchorage where the only suppliers in the state of Alaska are located. NEW BUSINESS ORDINANCES FOR INTRODUCTION ORDINANCE NO. 86-42-0 CITIZEN'S COMMENTS ASSEMBLYMEN'S COMMENTS 10 W Kodiak Island Borough Regular Assembly Meeting October 2, 1986 Assemblymember Ruble said this would be her last assembly meeting and she thanked the citizens of Kodiak for their input, and the assembly, the mayor, and the staff for their help because she said there was a great deal of ignorance on her part coming into the assembly. She wanted the audience to know that the assembly members and borough staff work very hard and it was not an easy task serving on the assembly. Assemblymember Barker stated she changed her mind regarding offering land at 85 percent fair market value because of the public testimony. At first she thought this was something that the assembly could do for the public but the public testimony enabled her to see the other side of the issue. She appreciated the public input. EXECUTIVE SESSION GREGG, seconded by BARKER MOTION CARRIED moved into Executive Session. Unanimous voice vote Assemblymember Gregg reported the assembly had reviewed the borough clerk's evaluation and found her performance to be above average to outstanding. An employment agreement with the clerk was discussed and will be formally acted upon at some future date. GREGG, seconded by BARKER MOTION CARRIED GREGG, seconded by RUBLE moved to approve Borough Clerk's evaluation. Unanimous voice vote moved to approve employment agreement with Borough Clerk for one year with one year renewal. MOTION CARRIED Unanimous voice vote Presiding officer white said the leader of the Japanese Overseas Fishery Development Cooperation Foundation, Mr. Michimasa Oguski, wanted to thank the borough for the kind hospitality extended during their visit and also for the gift of the bear hide. There being no further business to come before the assembly, the meeting adjourned at 10:37 p.m. ATTEST: B rough ^e k Pres' ng Officer ASSEMBLYMEN'S COMMENTS (continued) EXECUTIVE SESSION ADJOURNMENT 11