01_CIf
KODIAKISLAND BOROUGH
Assembly Regular Meeting
July 16 2009
regular meeting of the Kodiak island Borough Assembly was held Thursday July 16 2009 in
the Assembly Chambers of the Kodiak Island Borough BuIlding 710 MW Bay Road The
meeting was calledto order at 730 p.m
The invocation was given bySergeant Major Dave Blacketer of theSalvation Army Deputy
Presiding Officer Branson ledthe Pledge of Allegiance
Present wore Deputy Presiding Officer Pat Branson Assembly members Jeirol Friend Judy
FuIp Dave Kaplan Chris Lynch andLouise Stutos Staff members present were Manager Rick
Gifford Clerk Nova Javier and Deputy Clerk Marylynn McFarland
KAPLAN moved to excuse Mayor Selby who was attending the NACO Conference and
Assembly member Jeffrey who was out on personal leave
VOICE VOTE ON MOTION CARRIED UNANIMOUSLY.
APPROVALOF AGENDA AND CONSENT AGENDA
STUTES moved to approve the agenda and consent agenda
VOICE VOTE ON MOTION CARRIED UNANIMOUSLY
APPROVALOF MINUTES
None.
AWARDS AND PRESENTATIONS
Manager Gifford presented the Employee of theQuarter Award to Teresa Medina Cashier in
the Finance Department
CITIZENS COMMENTS
Roxanne SalcidoEnvironmentalCoordinator for theNative Village of Afognak spoke on the
importance of the rocyding programprovided by Threshold Services Inc
Emil Norton and Gretchen Saupe spoke In support of the Senior Citizensof Kodiak non-profitagenciesandthankedtheAssemblyforfinancialsupport
Marian Johnsonand Bonnie Dillard spoke in support of recycling in Kodiak
Nick Troxell owner of Nicks Auto Wrecking Salvage and Metal Recycling spoke about specificlanguageintheRecyclingProcessRequestforProposalRFP
Marqio Jaskovich spoke in support of the Threshold contract andban on fireworks
Maggie Rocheleau spoke in support of the bond ordinances and the Threshold contract
Lisa PauloMary Forbes Eric Engvalt facheJ Nummer wfer Richcreek Rhonda MakerLindaHimmelbloomSylviaPanzarellaStephanieLoveandJenniferPolieyspokeinsupportoftheThresholdcontract
Kodiak Island Borough Assenbfy Minutes
July 16 2009 Page703
KarenYashin spoke in support of recycling non-profits andthe Humane Society of Kodiak
Iver Malutin spoke in support of education the bond ordinances and recycling
Melissa Borton Bill WatkinsSteve Doerksen Nick Watkins Jessica Rauwof4 Clair Brodie Joe
Floyd and Joe Mendoza spoke in support of thebond ordinances
Mike Millinan spoke in support of recycling and non-profit organizations
sneneiva Pearson spoke in support of the bond ordinances recycling and stop light atBirch
and Mill Bay Road
Mel Stephens spoke against the bond ordinances and the indebtedness that they would incur
and questioned the cost estimations and the current school district coffers
Bob Brodie and Maqole lnqy spoke in support of recycling and the bond ordinances
Scott Williams spoke in support of the bond ordinances and addressed the issue of theschool
districts cost estimation in that every step possible had been taken to bring the reconstruction
and remodel of the high school to this stage of development
Cheryl McNeil spoke against theThreshold contract questioning thecost ratios
Heather Peterson voicedher support of recycling and did not support the bond ordinances
Petal Ruth spoke in support of the bond ordinances addressing the multi-functional uses of the
high school building whichincluded an emergency evacuation site
Ellen Simeonoff spoke in defense of the Recycling Services RFP that was submitted by
Threshold ServicesInc and spoke in support of thebond ordinances
COMMITTEE REPORTS
Assembly member Kaplan reported that the Parks and Recreation Committee was in
negotiations for theMaster Trails Plan and it should be before the asèembly for approval in the
very near future
PUBLIC HEARING
Ordinance No FY2009-O1E Amending Ordinance No FY2009-01 Fiscal Year 2009 Budget
byAmending Budgets to Account for Various Revenues that are Over Budget Provide for
Additional Expenditures Budget New Projects and Move Funds Between Projects
FRIEND moved to adopt Ordinance No FY2009-01
Ordinance No FY2009-01 was for the fiscal year end budget adjustments In theGeneral
Fund theMiscellaneous line item in the revenue sectionof the General Fund was increased by
$67000.The use of fundbalanced in theGeneral Fundwas decreased by $69000 The School
District Support Department was decreased by $84000 Transfers out was increased by$272000 $62000 was for increasedcosts in the School Buildings Department in the BuildingandGroundsFundand$210000 was for hospital parking In the Building and Grounds Fund
School 3uildings Departmentexpenditures were expected to exceed the budgetby $70000
new department entitled School Building Major Maintenance was createdand budgeted at
$12000 TheWornens Bay Road Service District expenditures exceeded Ws budgetby $6006
The BayView Road Service District expenditures exceeded its budgetby $4670
Kodiak Island Borough Assembly Minutes
July 16 2009 Page 704
The Borough needed to amend thedebt seMce budget to account for the refunding of the 1998bondissueThul3ornugtclosedcertaincompletedprojectsattheendofFY2009andthisordinancemovedtheunexpendedfundsLootherprojectsTheBoroughcancelledcertainprojectsandthisordinancemovedtheunexpendedfundstootherprojects
The Borough received $2500000 grant to repair and pave the roads in Service District AreaNo$130000 grant for school supplies and equipment$125000 grant from the DenaliCommissionforanislandwidetransportationstudyandexpectedtoreceive$100000 grantfromtheStateofAlaskaDepartmentofTransportationforanislandwidetransportationstudyTheBoroughwasreimbursed$3238143 by the State for the Boroughs Seismic projects theproceedsofwhichwouldbeusedforotherBoroughprojects
Clerks Note Between the Introduction and the public hearing them were changes proposedbystaffandItwasnecessarytoamendtheordinancebysubstitution
KAPLAN moved to amend Ordinance No Ff2009-al by substitution
ROLLCALL VOTE ON MOTION TO AMEND CARRIED UNANIMOUSLY Branson FriendFuipKaplanLynchandStutes
Deputy Presiding Officer Branson opened the public hearing Seeing and hearing none DeputyPresidingOfficerBransonclosedthepublichearing
ROLL CALL VOTE ON MOTION AS AMENDED CARRIED UNANIMOUSLY Friend FuipKaplanLynchStutesandBranson
Ordinance No FY2OIO-02 Amending the Kodiak Island Borough Code of Ordinances TitleAdministrationandPersonnelChapter2.40 Records Management Chapter 2.50 BoroughClerkSection2.50.020 Duties and Chapter 255 Engineering and Facilities DepartmentSection2.55.010 Engineering and Facilities Department Director
STUrES moved to adoptOrdinance No FY2O1Q-02
The existing Records Management code was put in place in 1975 with minor changes in 1979and1998StaffdeterminedtheneedtobringitIntocompliancewithrecentandexistinglawsandregulationsTheoldKIBC2.25.200 was repealed in its entirety and new Chapter 2.40wasestablishedThenewchapterincludedpoliciesthatreflectedindustrybestpracticesStaffsresearchandproposalconsideredAlaskaStatutescodesfromothermunicipalitiesandconsullatjonwithBoroughstaffandBoroughAttorneyDeputyPresidingOfficerI3ransonopenedthepublichearingSeeingandhearingnoneDeputy
Presiding Officer Branson closed the public hearing
ROLLCALL VOTE ON MOTION CARRIED UNANIMOUSLY Fuip Kaplan Lynch StutesBransonandFriend
BOROUGH MANAGERS REPORT
Manager Gifford reported on the followingNewpoolexpectedtobecompleted in August
Bids for Woodland Acres paving project weredue July 21 and would be awarded by July302009
Bqrough project updates were available on the Kodiak Island Borough website
Kodiak Island Borough Assembly MinutesJuly162009Page705
He would be out oftheoffice July 24 through August for personal leave and toattend
the Alaska Municipal League conference
MESSAGES FROM THE BOROUGHMAYOR
None
UNFINISHED BUSINESS
None
Deputy Presiding Officer Bransonrecessedthe meeting at 850 p.m and reconvened the
meeting at 855 p.m
NEW BUSINESS
Contracts
Contract No FY2O1O-09 ProvidenceKodiak Island Counseling Center Services to KIB
School District for SchoolYear 2009-2010
FRIEND moved to authorize the Manager to execute Contract No FY2OIO-09 with Providence
Kodiak Island Counseling Center of Kodiak Alaska to provide mental health services for the
2009-2010 school year in an amount not to exceed $381350
The Agreement was betweentheKodiak Island BOrough and ProvidenceKodiak Island
Counseling Center rContractor setting forth the terms and conditions pursuant tothe
contractor providing mental health services for the Kodiak Island Borough schools The
contractor worked with theSchool District to Identify and document mutual understanding of
the programs scope and requirements with focus on ensuring the greatest amount of quality
service within the budgeted amount of $381350 which was the sameamount as last year
ROLLCALL VOTEON MOTIONCARRIED UNANIMOUSLY KaplanLynch Stutes Branson
Friend and FuIp
Contract No FY2OIO-01 Kodiak Island Borough Facilities Fuel Oil Delivery ThIs item was
approved under theconsent agenda
The contract would supply and deliver and heating oil to KIB facilities whichincludedthe
Landfill/Baler Building 118 Admln Building Chiniak Tsunami Shelter KFRC Laboratory Facillfy
and dorms Fire Stations other KIB rental facilities such as the cottage bulidings 720 Egan
and the Annex Building The benefit of the bid process was to combine the quantity of heating
fuel needed for all 118 facilities with the quantities of fuel needed by theSchool District and the
Hospital for bulk purchase
The bid packet for heating fuel wentout for yearoption term or yearoption term
Results came back with one bidder The bidoffered margin of 17 cents for one year contract
and 16 cents for three year contract Because the margin for the three-year contract was
lower than the one year contract it was recommended that 118 enter into contract withPetro
Star for three year contract based on margin of 16 cents above the weekly average ofthe
posted Seattle OPIS price Thesewere the same terms thatthe school district selected when
they approved the heating fuelcontractwith Petro Star Inc atthe last meeting
VENDOR Town Town CHINIAI
Petro Star Inc year $0.17 $0.17 $0.17
Petro Star Inc year $0.16 $0.16 $0.16
Kodiak Island Borough Assembly Minutes
July 16 2009 Page 706
Contract Np FY2OIO-lt Recycling Contract with ThresholdServices Inc
KAPLAN moved to authorize the Manager to executeContract No FY2O1O-10 with Threshold
ServicesInc of Kodiak Alaska for time and materialcontract estimated to be $2814O for
the period of July 2009 through June 30 2010
The Kodiak Island Boroughs landfill enterprise fund was financed throughuser fees residential
and commercial garbage fees as well as fees charged at the landfill for varying wastes These
funds covered costs for the solid waste càllection contract landfill operational disposal costsandcommunityrecyclingefforts
Request for Proposal RFP was advertised andthe onlyresponder was Threshold ServicesIncThecostproposedbyThresholdIncof$380 per ton exceeded the $150 per ton desired in
the RFP however during negotiation the price.was reduced to $325 per ton The contract wasbasedontheamountofrecyclablasshippedoilislandsimilartotimeandmaterialcontractanditwasestimatedthatthecontractwouldtotal$281450 The landfill budget was budgeted at$130000 for recycling services In order for the landfill budget to coverthebalance of this
expense it was estimated thatrates would need to be increased.The negotiated contract was
for one year July 2009 through June 30 2010 with two oneyear options to extend
Assembly member Fulpspoke in support of the Thresholdcontract and was hopeful that the
garbage rates wouldnot be increased She also wanted to see financial plan from Threshold
Services Inc where their revenues wouldmeet their expenses
Assembly member Stutes agreed that recycling wasan important service in the communityhowevershewasconcernedwiththeRFPprocessfollowedonthecontractShespoketothe
factthat other bidders-should have been able to have the same information as Threshold
Services Inc
STUTES moved to postpone awarding the contract until September 2009 regular meeting inorderthateveryonewouldhavethesameopportunitytobid
ROLL CALLVOTE ONTHE MOTION TO POSTPONE FAILED THREETO ThREE LynchBransonandKaplanNoesFriendFulpandStutesAyes
In response to Assembly member Friends question about the cost of services if the contractwasawardedforonemonthManagerGiflordreportedthathehadsigningauthorityupto$25000 and depending upon volume he would see how long that amount would lasi
Assembly member Lynch disclosedher position as President of the Board of Threshold
ServicesInc She outlined how Threshold responded to the RFP She explained in detail how
the Borough followed the code for the RFP
Assembly member Kaplan spoke in support of the Threshold contractand summarizedcommentsfromletterreceivedfromLindaKowaninPortUonsstatingthattheirtribalcouncilwasdependentontherecyclingofThresholdServicesIncandtheirenvironmentaleffortswouldsuffergreatlywithouttheirservices
Assembly member l3ranson explained the difference between an RP arid Request for BidSheexplainedthattheThresholdcontractwasforyearandadvisedotherrecyclingbusinessesinterestedtostaytuneforfuturedevelopmentsinresponsetoAssemblymemberBransonsqustionofwhatwouldhappenifthecontractwasnotrenewedManagerGifford
reported that Borough funding wouldnot be available andhe did not know how long it would
take for someone elseto take on recycling program
Kodiak Island Borough Assembly Minutes
July 16 2009 Page 707
ROLL CALL VOTE ON MAiNMOTION CARRIED UNANIMOUSLY Stutes Branson Friend
Fuip Kaplan arid Lynch Assembly member Stutes changed her vote to the prevailing side
Resolutions
Resolution No FY2O1O-03 Approving Fiscal Year 2010 Kodiak Island Borough Non-Profit
Funding
LYNCH moved to adapt Resolution No FY2OIO-03
Resolution No FY2OIO-03 was the framework in whichthe Assembly distributed the Borough
funds set aside in theFiscal Year 2010 budget to various non-profit agencies
Assembly member Friend spoke in support of non-profits
ROLL CALL VOTE ON MOTIONCARRIEDUNANIMOUSLY Stutes Branson FriendFuip
Kaplan and Lynch
Resolution No FY2OIO-.05 Appointing Members to theKodiak Fisheries Development
Association This item was approved undertheconsent agenda
The Kodiak island Borough and City of Kodiak jointly designated theKodiak Fisheries
Development Association KFDA as the eligible crab community entity ECCE The by-laws of
the KFDA provided for appointment ofDirectorsto theBoard by theKodiak Island Borough
Assembly and the Kodiak City Council The by-laws state that appointments take place
annually at July meetings of the Assembly and City Council and thatDirectors have staggered
three year terms of offica
The following individuals are appointed as Directors at theKodiak Fisheries Development
Association withthe noted terms
City Appointees
CrabProcessor Rep Mike Woodruff 7/10 appointment
CrabHarvester Rep Jeff Stephan 7/11 reappointment
Joint Appointees
Stosh Anderson 7/10 joint appointment
Donna Jones 7108 joint appointment
Lame Welch 7108 joint appointment
Borough Appointees
CrabProcessor Rep Tuck Bonney 7112 reappointment
Crab Harvester Rep Jerry Bongen 7/12 reappointment
Resolution No FY2O1O-02A Amending Resolution No FY2OIO-02 Amending the Fees of
the Kodiak Island Borough
KAPLAN moved to adopt Resolution No FY2OIO-02A
The Assembly requested proposal for metals recycling in Kodiak and until contract was
awarded the Assemblywished to amend page 11 of the FY2OIO feescheduleas follows
Ba Metals $275.00/ton
8b Vehicles up to 7000 pounds $475.00 per vehicle
The intent of theresolution was to put Request for Proposal out to evaluatecosts of recycling
metals
Kodiak Island Borough Assembly Minutes
July 16 2009 Page7O8
Assembly members Fulp Stutes andBranson spoke in support of the resolution
Assembly member Lynch spoke against the resolution
ROLL CALL VOTE ON MOTIONCARRIED UNANIMOUSLY Branson Friend FuIp KaplanandStutesAyesLynchNo
Ordinances for Introduction
Ordinance No FY2OIO-03 Authorizing the Borough toIssue General Obligation Bonds in
the Principal Amount of not to Exceed $78310000 to Financethe Planning Design and
Construction of School and Related Capital Improvements in the Borough Induding Without
limitation the Reconstruction andRenovation ofthe Kodiak 1-11gb School and to Submit the
Question of theIssuance of SuchBonds to the Qualified Voters of the Borough at the
October 2009 RegularBorough Eleclion
KAPLAN moved to adoptOrdinance No FY2OIO-03 in first reading to advance to public hearingatthenextregularAssemblymeeting
The Kodiak Island Borough School DIstrict desired to renovate the Kodiak Island High SchoIandconstructadditionalfacilityspaceEducationalrequirementshadchangedsinceKodiak
High School was originally constructed in 1966 as regional education center ThO instructional
space availablefor Kodiak High School did not support.the instructional programs which wereneededtopreparehighschoolstudentsforsuccess
The current state debt service reimbursement planprovided thatthe State of Alaska wouldreimbursetheBoroughfornotlessthan60%ofdebt service on the eligible portion of bondsauthorizedbythequalifiedvotersoftheBoroughbetweenOctober2006andNovember302010topaycostsofschoolconstructionadditionstoschoolsandmajorrehabilitationprojects
Stewart McDonald Superintendent of the Kodiak Island BoroughSchool District gavepresentationinsupportofthebondordinances
Assembly members Stutes Lynch Friend Kaplan and Branson spoke In support of thebondordinancesinorderThatquestionswouldgobeforethevotersTheystressedtheimportanceof
educating the votersonthe costs
ROLL CALL VOTE ON MOTIONCARRIED UNANIMOUSLY Friend Fulp KaplanLynchStutesandBranson.
Ordinance No FY2010-04 Authorizing the Borough toIssue General Obligation Bonds inthePrincipalAmountofnottoExceed$12500000 to Financethe Planning Design andConstructionofRenewalsandReplacementsofBoroughFacilitiesandtoSubmittheQuestionoftheIssuanceofSuchBondstotheQuätitledVotersoftheBoroughattheOctober2009RegularBoroughElection
FRIEND moved to adopt Ordinance No FY2Oi0.-fl4 in first reading to advance to public hearingatthenextregularAssemblymeeting
The Borough currently owned over $200000000 worthof buildings as reflected on the valueslistedontheinsuranceschedulesThenumberdidnotindudthecostofthelandorsite
improvements and part of the cost of ownership was to renew andlor replace parts of the
buildings The proceeds of the bond $12.500000 equaled 6.25%of the current value ofthe
buildings and would be in the best interest of the Borough to keep buildings properly
Kodiak Island Borough Assembly Minutes
July 16 2009 Page7OD
maintained Approximately 73%of the buildings were school buildings which qualified for 70%
debtreimbursementfrom theState of Alaska
Assembly member Stutes spoke in support of moving the bond ordinancesforwardand
expressed concernaboutsecuring bond for maintenance items
Assembly member Bmnson noted that renovationthe villages were included in thebond
ordinances and encouraged the public to become familiar with them
ROLLCALLVOTE ON MOTION CARRIED UNANIMOUSLY Fuip KaplanLynch Stutes
Branson and Friend
Other Items
None
CITIZENS COMMENTS
Mel Stephens spoke against the bondordinances commenting specifically about the $4.2 million
bond proposition that was passed in 2004 to fund vocational education refurbishing Mr
Stephensspoke against the approval of the Threshold contract warning the Assembly of being
in violation of the Boroughs procurement process
ASSEMBLY MEMBERCOMMENTS
Assembly member Stutes KaplanLynch and Bransoncongratulated Teresa Mediria for her
receipt of the Employee of the Quarter Award
Assembly member Friend had no comments
Assembly member FuJp was pleased to see the arrival of the cruise ships in Kodiak
Announcements
Deputy Presiding Officer Branson announced that the Assembly wouldmeet in special
meeting andwork session on Thursday July 2009 at 730 p.m in the Borough Conference
Room The next regular meeting was scheduled on ThursdayAugust July 16 2009 at 730
p.m in the Borough Assembly Chambers
ADJOURNMENT
FRiEND moved to adjourn the meeting
ROLLCALLVOTE ON MOTIONCARRIEDUNANIMOUSLY KaplanLynch Stutes Branson
Friend and FuIp
The meetingadjourned at 950 p.m KODIAK iSLAND BOROUGH
ATTEST JJr.omeM Selby Mayor
Nova Jan Borough Clerk Approved September 2009
Kodiak Island Borough Assembly Minutes
July16 2009 Page 710