01/05/2023 Regular MeetingKodiak Island Borough
Assembly Regular Meeting
January 5, 2023
A regular meeting of the Kodiak Island Borough Assembly was held on January 5, 2023, in the
Borough Assembly Chambers. The meeting was called to order at 6:30 p.m. Staff present were
Interim Borough Manager David Conrad, Borough Clerk Nova Javier, and Assistant Clerk Irene
Arellano.
1. INVOCATION
The invocation was given by Major David Davis of the Salvation Army.
2. PLEDGE OF ALLEGIANCE
Mayor Williams led the Pledge of Allegiance.
3. STATEMENT OF LAND ACKNOWLEDGEMENT
Mayor Williams
We are gathered on the traditional homeland of the Sugpiaq/Alutiiq people and we
acknowledge the 10 tribes of the Kodiak Alutiiq Region. We recognize the Alutiiq culture
that enriches our community to this day.
4. ROLL CALL
Present were Mayor Aimee Williams, Assembly members Scott Arndt, Joseph Delgado,
Jared Griffin, Larry LeDoux, Scott Smiley, Geoffrey Smith, and James Turner.
5. APPROVAL OF AGENDA AND CONSENT AGENDA
ARNDT moved to approve the agenda and the consent agenda.
SMILEY moved to amend the agenda by removing Agenda Item 14.C.2 Ordinance No.
FY2023-13 Amending Kodiak Island Borough Title 17 Zoning, Chapter 180 Signs,
Section 17.180.010 Signs, Description and Intent to Require Zoning Compliance
Permits for Certain Signs off the agenda.
ROLL CALL VOTE ON MOTION TO AMEND CARRIED UNANIMOUSLY: Arndt,
Delgado, Griffin, LeDoux, Smiley, Smith, and Turner.
VOICE VOTE ON MAIN MOTION AS AMENDED CARRIED UNANIMOUSLY.
6. *APPROVAL OF MINUTES (Approved under consent agenda)
A. Regular Meeting Minutes of December 1, 2022, and Special Meeting Minutes of
December 15, 2022
7. CITIZENS' COMMENTS
The following spoke under citizen's comments:
• Alan Schmitt
• David Conrad
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AWARDS AND PRESENTATIONS
A. Government Finance Officers Association (GFOA) Distinguished Budget
Presentation Award 0
Mayor Williams highlighted the award received by the Kodiak Island Borough as
a recognition for its outstanding budget content and presentation. The GFOA's
Distinguished Budget Presentation Award represents a significant achievement.
It reflects the commitment of the governing body and staff to meeting the highest
principles of governmental budgeting. In order to receive the budget award, the
entity had to satisfy nationally recognized guidelines for effective budget
presentation.
B. Certificate Of Recognition For Budget Preparation
In connection to the Distinguished Budget Presentation Award granted to the
Kodiak Island Borough, a Certificate of Recognition for Budget Presentation is
also presented to the Finance Department who was primarily responsible for
having achieved the award. Mayor Williams presented the certificate of
recognition to Finance Director Dora Cross.
COMMITTEE REPORTS - None
PUBLIC HEARING
Ordinance No. FY2023-12 Amending Kodiak Island Borough Title 15 Buildings
And Construction, Chapter 40 Building And Lot Numbering, Section 15.40.080
Procedure For Addressing Newly Created Lots
SMILEY moved to adopt Ordinance No. FY2023-12.
KIBC Code 15.40.080 (D) currently calls for lots to be addressed at the time of
the preliminary plat.
KIBC 15.40.080- Procedure.
A. Kodiak Island Borough GIS is responsible for assigning addresses and
maintaining address information.
B. Addresses will be implemented within 30 days upon receipt of an E911
address application, along with any other required or relevant information.
C. E911 address application shall be made available on the borough website
and/or in borough offices.
D. Addresses for newly created lots will be assigned during the preliminary plat
review process.
Community Development would like to change this portion of procedure to state
that the address would be assigned either after a driveway permit has been
issued, a permit for construction has been issued or upon a request from the
owner after a plat has been recorded, whichever comes first.
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January 5, 2023 Page 2 of 10
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Items considered for this change:
1. If an abbreviated plat was approved or a preliminary plat was filed, and the
subdivision was approved through the Planning and Zoning Commission, the
owner of the property would have 2 years (24 months) to record a final plat,
per KIBC 16.50.010- Final plat procedure. "A. The final plat shall comply
with the requirements of this chapter and shall be submitted to the
community development department director within 24 months of preliminary
plat approval."
2. At the time of preliminary approval by the Planning and Zoning Commission,
there can be a multitude of conditions that would need to be addressed
before a final plat could be recorded, which could effect the addressing of
lots.
3. More times than one would think, plats are left unrecorded after the 24 month
period and have to be resubmitted. Typically, this is due to changes that
were found that needed to occur prior to recoding. This often effects
addressing, causing lots to be addressed multiple times. Many times, plats
are not submitted for final review/recording.
4. Many owners take advantage of the abbreviated plat option KIB offers. This
option has been used many times for the same lot, which caused for the
same parcels to be readdressed multiple times in a short time period.
All of the above instances cause erroneous address notifications to be sent to
multiple agencies, including Police Public Safety Answering Point (PSAP), City
of Kodiak Police Department, Alaska State Troopers, City of Kodiak, Women's
Bay, and Bayside Fire departments and could effect E911 addressing, which
could cause errors in emergency situations.
Community Development believes this code change makes more sense for
addressing properties, so that properties don't have to be addressed multiple
times, correct information is given one time, and this gives clear direction to GIS
for addressing (additionally the GIS position in CDD is vacant at this time.)
Mayor Williams closed the regular meeting and opened the public hearing.
Hearing and seeing none, Mayor Williams closed the public hearing and
reconvened the regular meeting.
ROLL CALL VOTE ON THE MOTION CARRIED UNANIMOUSLY: Delgado,
Griffin, LeDoux, Smiley, Smith, Turner, and Arndt
11. BOROUGH MANAGER'S REPORT
Dave Conrad, Interim Borough Manager, reported on the following:
• Joint Use Agreement Meeting — The KIB staff is in contact with two independent
pool contractor/consulting firms to potentially hire to perform a site visit. The costs
are anticipated to be in the $10,000 to $15,000 range. Both firms are willing to work
with the KIB to prepare a report that can be turned into an RFP if required.
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January 5, 2023 Page 3 of 10
Manager's Department
Manager Recruitment - Copies of manager applicant evaluations are being
returned. Tabulation will occur next week. Results will be forwarded to the
assembly members for future direction.
• LATCF Funds - Completed and signed for the U.S. Department of the Treasury
Local Assistance and Tribal Consistency Fund for the obligation of
$4,787,173.04 this week. A confirmation email has been received reporting the
acceptance of the application and award.
• KIB Facility - Lease discussions have begun with the City of Kodiak specific to
the 710 Mill Bay Road Facility.
• 717 Egan Way Lease - Proposer has submitted a request for consideration of
alterations to the lease. These are being reviewed and conversations will be held
next week.
• Larsen Bay School - The Manager's staff is planning to travel to Larsen Bay to
inspect and provide a repair list for items that were identified and not repaired
prior to the signatures being finalized on the facility transfer to the Larsen Bay
Tribal Council.
Engineering and Facilities Department
• The Landfill will be closed January 16 to the public for Martin Luther King Jr.
Holiday.
• Vehicle Procurement Proposal - Small vehicle RFP has been completed and
reviewed by the attorney. The request will be published on the KIB website
tomorrow and in the Anchorage Daily News next week. Anchorage auto dealers
will be contacted regarding this advertisement and bid opportunity. Pick-up truck
RFP will be prepared and completed for advertising next week.
• Auto Repairs - The auto maintenance and repair contract bid opening was held
on Wednesday, November 21. One responsive successful bid was received.
The assembly is scheduled to vote on this item tonight.
• KFRC Carpet Replacement - This project is completed. Substantial completion
paperwork has been signed. Awaiting final approval to bill for the work.
• KFRC Fume Hood Upgrade — This project is functionally completed. Work
required is for the calibration and balancing of the fume hood systems. Awaiting
scheduling from the contractor.
• Landfill Rock Project — Brechan Construction has discontinued work for the
winter. Anticipate an April restart. 8,423.2 cubic yards Stockpile #1 (drain rock),
15,267.7 cubic yards Stockpile #3(3 inch minus cover) completed to date. Bank
yards remaining 32,733 cubic yards remaining.
• Leachate Treatment Plant — The delivery of the metal building package is
completed. Awaiting final structural calculations for submission and review prior
to permit being issued. Contractor proposed start date is mid-January.
• Bayside Classroom Addition — A request has been made for the preliminary
estimate to install a commercial sprinkler in the existing classroom and proposed
addition has been requested. This evaluation will be used to update the
estimated cost for the design that will be chosen for recommendation by the Fire
Service Area #1 Board.
• OSHA Voluntary Compliance Visit — Awaiting information regarding a planned
site visit by OSHA Voluntary Compliance the week of January 23rd.
Finance/11T Department
Kodiak Island Borough Assembly Regular Meeting Minutes
January 5, 2023 Page 4 of 10
• FY2024 Budget Preparation — Packets have been forwarded to the Service Area
Boards and Staff for the preparation of the upcoming budget discussions.
Boards are scheduling upcoming required meetings.
• PATS Software — Property Assessment and Taxation Software - RFP is being
advertised with a bid date of February 28, 2023.
• The Popular Report has been submitted to the GFOA. Preparing to send to the
printer and copies will be distributed upon receipt.
• The department is short-staffed due to illness and vacations. Dora will be out on
medical leave for three weeks beginning January 9, 2023.
• Annual Financial Statement has been prepared and is out to the printer. Copies
will be distributed upon receipt.
• Staff has been informed that additional Opioid Settlement Funds have been
identified and will require approval in April 2023.
Assessing Department
• Property Valuation — Property review and inspection for valuation will be
completed next week in the city.
List of Pendina Items for Discussion
• City of Kodiak - E911 System and compensation
o Borough Building Remodel or Upgrades
o Joint support and participation in the development of the CIP List (Federal
emphasis)
• Disposition of Closed School Facilities — Allowable Scope for Current Staff
• Continued update of the Personnel Manual
• ARPA Funding Reporting is continuing
• Grant Application and Local Match Funding — Approval for application prior to
expending staff time.
• Leases — City of Kodiak Borough Building Lease, Teen Court, Red Cross,
Fairgrounds, KISA, Chiniak Library, and Long -Term Care Center
• Major Maintenance Funding for Facilities
• Disposition of Mental Health Buildings — Bid received
• Solid Waste Collection Contract Modifications
• Service Area Contracts
• Annual Contracts
• Additional Methods to Reward Employees in Personnel Manual
• Vehicle Replacement
• Funding opportunities for road repairs and improvements
12. MESSAGES FROM THE BOROUGH MAYOR
Mayor Williams wished everyone a Happy New Year and congratulated the Finance
Department for their hard work. She also noted that the Borough Clerk sent out a form
for the Assembly member to 011 -out when requesting agenda items to be added on the
agenda. Paper copies were also provided on the dais. The Consolidation Committee
has a meeting coming up and she reminded those on the committee to get in contact
with the Chairperson Griffin to make a quorum to get the Consolidation Committee
update report approved.
13. CONSIDERATION OF CALENDAR" UNFINISHED BUSINESS - None
Kodiak Island Borough Assembly Regular Meeting Minutes
January 5, 2023 Page 5 of 10
14. CONSIDERATION OF CALENDAR - NEW BUSINESS
14.A. CONTRACTS
1. Contract No. FY2020-08B Amending Contract No. FY2020-08 By Adjusting The
Fee To The Lobbying Services Agreement With Hickey & Associates
SMILEY moved to authorize the manager to execute Contract No. FY2020-08B
by adjusting the fee to the lobbying services agreement with Hickey &
Associates.
Contract No. FY2020-08 concludes at the end of the 2023 calendar year. In
2022, Mr. Hickey voluntarily offered to reduce his annual cost from $45,000 per
contract year to $40,000 understanding the financial burdens being placed on
the Kodiak Island Borough due to various funding changes. Other than in 2022,
the annual contract fee has been $45,000 since 2015. Mr. Hickey is respectfully
requesting consideration to restore the annual payment to $45,000 for the
remaining year of the existing contract.
Mr. Hickey voluntarily requested and offered to have a rate reduction. This
indicates his agility to analyze the financial burdens of his clients and adjust
appropriately. Mr. Hickey performs valuable services for the Kodiak Island
Borough and has done so consistently for a number of years.
ROLL CALL VOTE ON THE MOTION CARRIED UNANIMOUSLY: Griffin,
LeDoux, Smiley, Smith, Turner, Arndt, and Delgado.
2. Contract No. FY2023-17 Approval Of Two -Year Contract With RTS Auto For
Auto Repairs And Tire Services
SMILEY moved to authorize the Manager to award Contract No. FY2023-17 with
RTS Auto for a two-year term with three additional one-year extension options
for auto repairs and tire services.
The Engineering and Facilities Department (E&F) is tasked with maintaining the
vehicles the Borough owns. The previous annual contract ended when the
contractor closed its shop approximately the middle of June 2022. When the
E&F staff found out about the closure, they prepared a bid and it was published
on May 17, 2022, August 17, 2022, and again on October 31, 2022, all of which
received no responses.
E&F staff prepared a new bid and published it on Monday, December 5, 2022.
There was one submission. After review of the submission, E&F determined that
RTS Auto is a responsible bidder and; therefore, the best choice to award the
bid to.
ROLL CALL VOTE ON THE MOTION CARRIED UNANIMOUSLY: LeDoux,
Smiley, Smith, Turner, Arndt, Delgado, and Griffin.
14.B. RESOLUTIONS 0
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1. Resolution No. FY2023-18 Adopting An Alternative Allocation Method For
The FY23 Shared Fisheries Business Tax Program And Certifying That This
Allocation Method Fairly Represents The Distribution Of Significant Effects
Of Fisheries Business Activity In FMA 13: Kodiak Area
SMILEY moved to adopt Resolution No. FY2023-18.
The State of Alaska, Department of Commerce, Community and Economic
Development's Shared Fisheries Business Tax Program was created in
1990 to help municipalities impacted by the effects of the rapidly expanding
offshore fish processing industry by collecting a tax from fish processors and
sharing the collected taxes with affected municipalities. Applications must be
submitted annually by municipalities to receive an allocation from the
program. This year the deadline is February 15, 2023.
The Kodiak Island Borough, along with the other municipalities in the FMA
13: Kodiak Area, have agreed to use an alternative allocation method instead
of the standard allocation method. For the FY2023 Shared Fisheries
Business Tax applications, the agreed to alternative allocation method
calculation for FMA 13: Kodiak is:
• 50% of the allocation is shared equally between all municipalities in
the area
• the remaining 50% of the allocation is shared on a per capita basis
• Kodiak Island Borough's population is reduced by the population of
the cities of Akhiok, Kodiak, Larsen Bay, Old Harbor, Ouzinkie and
Port Lions
The total calculated allocation to the Kodiak Area FMA is $247,414.10
(based on FY22 data). The Borough's calculated share of Business taxes is
$81,109 and Landing Tax is $1,964, for a total of $83,074. In FY22, the
Borough received a total of $49,523.
This resolution, indicating the assembly has approved the Alternative
Allocation Method, is a required attachment to the FY2023 Shared Fisheries
Business Tax Program application.
ROLL CALL VOTE ON THE MOTION CARRIED UNANIMOUSLY: Smiley,
Smith, Turner, Arndt, Delgado, Griffin, and LeDoux
14.C, ORDINANCES FOR INTRODUCTION
1. Ordinance No. FY2023-02B Of The Assembly Of The Kodiak Island Borough
Amending Ordinance No. FY2023-02, Fiscal Year 2023 Budget, By
Amending Budgets And Appropriations To Account For The Additional
School Bond Debt Reimbursement Payments Received From The State Of
Alaska
SMILEY moved to advance Ordinance No. FY2023-02B to public hearing at
the next regular meeting of the Assembly on January 19, 2023.
Beginning in 2017, the Governor's budgets reduced or eliminated
appropriations for the School Construction Debt Reimbursement Program.
Kodiak Island Borough
January 5, 2023
Assembly Regular Meeting Minutes
Page 7 of 10
Reimbursement Reductions:
• 2017 reduced by
25% or $1,015,079
• 2018 reduced by
0%
• 2019 reduced by
0%
2020 reduced by
50% or $2,712,401
• 2021 reduced by
100% or $5,336,799
• 2022 reduced by
63% or $3,249,012
Since reductions to the reimbursement program were made after the
Borough adopted their budget, taking the reductions into consideration when
calculating the annual mill rates was not possible. To fill the gap in funding,
other funds had to make up the difference so our debt service payments
could be made.
Funds contributing money to the Debt Service fund to make bond payments:
• General Fund $5,319,272
• KIBSD (Education Support) $1,632,815
• Facilities Fuad $2,213,366
• Renewal & Replacement $1,574,487
At the close of FY2022, the State of Alaska approved CCS HB 281 which
appropriated an additional $220 million of funding to the School Construction
Debt Reimbursement Program. This appropriation was enough to reach
back and fully fund the unpaid reimbursements from 2017, 2020, 2021 and
2022 and in late August the Borough received $12,313,291 of that funding.
In recognition of the receipt of those makeup reimbursement funds, this
ordinance seeks to repay the funds that contributed money to cover the
shortfall in the Debt Service fund and retain the current fund status as an
IRS approved Bona Fide Debt Service Fund.
One of the contributors to the shortfall, KIBSD, is not eligible to receive a
direct reimbursement since a payment to them would violate the State's rules
for local support and could count against them for future federal and state
funding. So, as an alternative, staff is recommending that the $1,632,815
they contributed be split between the needed school roof repairs on East
Elementary and North Star Elementary ($816,407.50 to each).
Since the remaining $1,573,351 reimbursement we received exceed the
contributions from other funds (some years the mill rate was increased with
the expectation that less than full reimbursement funding would occur
thereby reducing the need for other contributions), staff is recommending
that amount be allocated as follows:
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$700,000 to the East Elementary School Roof Repair project, and
$700,000 to the North Star Elementary Roof and Skylight Repair
project, and
$173,351 be allowed to stay in the Debt Service fund (estimated fund
balance at year-end $230,364 which is within IRS balance
tolerances). 0
Kodiak Island Borough Assembly Regular Meeting Minutes
January 5, 2023 Page 8 of 10
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ARNDT moved to amend Ordinance No. FY2023-02B by returning $560,000
to the renewal and replacement fund.
ROLL CALL VOTE ON MOTION TO AMEND FAILED FIVE TO TWO
VOTES: (Noes) Smith, Turner, Delgado, LeDoux, and Smiley; (Ayes) Arndt
and Griffin
ROLL CALL VOTE ON THE MAIN MOTION CARRIED UNANIMOUSLY:
Turner, Arndt, Delgado, Griffin, LeDoux, Smiley, and Smith
14.D. OTHER ITEMS
1. Declaring A Seat Vacant On The Womens Bay Service Area Board (Mr.
Jacob Castonguay)
SMILEY moved to accept the resignation of Mr. Jacob Castonguay from the
Womens Bay Service Area Board effective December 2, 2022.
ROLL CALL VOTE ON THE MOTION CARRIED UNANIMOUSLY: Arndt,
Delgado, Griffin, LeDoux, Smiley, Smith, and Turner
15. CITIZENS' COMMENTS - None
16. ASSEMBLY MEMBERS' COMMENTS
• Assembly Member Turner had no comment.
• Assembly Member Griffin wished everyone a Happy New Year.
• Assembly Member Smith had no comment.
• Assembly Member Arndt had no comment.
• Assembly Member LeDoux had no comment.
• Assembly Member Smiley noted that he also had similar sewage issues at his
home. He agreed with Interim Manager Conrad on how well the City employees
remedied the situation.
17. EXECUTIVE SESSION
Assembly To Discuss The Next Steps To Take On The Manager Hire Which
May Include Discussion Of The Borough Manager Applicants
SMILEY moved to convene into executive session to discuss the next steps to
take on the manager hire which may include discussion of the borough manager
applicants under the authority of KIBC 2.30.030(f)(1)(c) for the purpose of
discussing matters which may tend to prejudice the reputation or character of a
person, who has been notified of the potential executive session.
ROLL CALL VOTE ON MOTION CARRIED UNANIMOUSLY: Delgado, Griffin,
LeDoux, Smiley, Smith, Turner, and Arndt
SMILEY moved to invite the Mayor and Assembly members into executive
session.
Kodiak Island Borough
January 5, 2023
Assembly Regular Meeting Minutes
Page 9 of 10
VOICE VOTE ON MOTION CARRIED UNANIMOUSLY
After the vote, Mayor Williams recessed the special meeting and convened the
executive session at 7:06 p.m.
Upon returning from the executive session, Mayor Williams reconvened the
special meeting at 7:30 p.m. and announced that no action was taken as a result
of the executive session.
18. ADJOURNMENT
WILLIAMS moved to adjourn the meeting at 7:30 p.m.
VOICE VOTE ON MOTION CARRIED UNANIMOUSLY
KODIAK ISLAND BOROUGH
Aimee Williams, Borough Mayor
Kodiak Island Borough
January 5, 2023
ATTEST:
Nova M. Javier, MMC, B=4 Clerk
Assembly Regular Meeting Minutes
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