12/03/1964 RMDECEMBER 3, 1964
7 7
KOr''TAK ISLAND BOROUGH ASSEMBLY MEETING
The meeting was called to order at 7 :40 p.m. Presiding Officer Wright turned the meeting
over to Chairman Powell.
Present Absent
Wright
Brechan
Alexander
White
Pace
Also present: Roy Madsen, Attorney, H. Fremlin, Assessor & City Manager R. Jones.
There was a large audience in attendance.
Chairman Powell read Ordinance 64 -6 in its entirety this being a second reading. This
Orc}imance amending Oridnance 64 -2, which is an ordinance providing for the assessment and
levy of taxes upon real property within the Borough's corporate limits to include the
assessment and levy of taxes upon personal property within the Borough Corporate limits.
Chairman Powell gave a brief summary of the purpose of this ordinance and opened the
floor for general public discussion.
A request for clarification of the exclusion of household goods and personal effects was
made. Chairman Powell replied, referring to Page e, Sec. D providing for this exclusion.
A member of the audience inquired about taxation of personal property if Kodiak had a
charter form of city government. Attorney Madsen explained that in that event the City
could legally exclude personal property and the Borough would have the option to exclude
personal property should it so desire.
A comparison of personal property tax versus sales tax was given by Assemblyman White.
Chairman Powell read attorney Madsen's legal opinion which stated that the City of
Kodiak could continue to carry on as previously its city sales tax program.
The School Foundation Program was explained to a member of the audience by Chairman
Powell.
A question was directed to Chairman Powell as to the need for personal property taxation.
Powell explained the desirability of broadening the tax base to relieve the heavy burden
of the real property owner.
The cost of Borough operation for the 64 -65 fiscal year was requested. Chairman Powell
answered approximately $88,000.00 and further stated that the Kodiak Borough anticipated
approximately $75,000.00 refund on the 1964 raw fish tax to help defray expenses.
Boat and Cannery taxation came under discussion
Attorney Madsen was asked to clarify the difference in the powers and duties of 1st,
2nd and Charter rule cities.
A member of the audience asked why the difference in opinion between the City and Borough
as to the desirability of the personal property tax.
Chairman Powell stated his position, with his main point being the broadening of the
tax base, thereby spreading the tax burden as much as possible.
City Manager Jones spoke for the City Council stating two reasons against personal pr,-
perty taxation.
1. Personal property tax tends to inhibit industrial development.
2. Cumbersomeness of assessment and collection.
Question: Why was the adoption of the Borough form of government mandatory?
Answer: Chairman Powell stated it was by an act of the State Legislature.
Question: Will millage rate go up to the maximum allowable or 30 mills?
Answer by Chairman Powell: No, only enough to cover budget expenses needed.
Question: When will assessment roll be completed?
Answer: Approximately April 1st.
Question: Why not make date later to allow for fishermen's period of income?
Answer: 1st payment date already moved forward 45 days from present City payment
schedule in realization of the fishing season income. 1st payment would not
be declared delinquent until Sept. 1.
Question: Does the Kodiak home owner pay a higher proportion of taxes than other
Alaskan cities?
Answer: No analysis figures to answer properly.
Question: Who will pay taxes for the Downtown area under the Urban Renewal program
for 1965.
Answer by City Manager Jones: The lands purchased by U.R. and not brought back into
private ownership as of January 1st to be a in lieu of taxes budget item.
Assemblyman White gave the sequence of events necessary to obtain a charter form of city
government. He also summerized the advantages of a home rule city.
The Borough form of government was again the topic of conversation. It was explained
that the Borough obtains its powers under state law.
A motion was made by Assemblyman Alexander that Ordinance 64 -4 be adopted as read.
The motion died for lack of a second.
A lengthy discussion took place.
Assemblyman Alexander again made the motion that Ordinance 64 -6 be adopted as read.
Assemblyman Wright seconded. A roll call vote was taken
Yea
ALexander
Wright
White
The motion carried.
Brechan
The Assembly meeting was adjourned at 10:30 p.m.
1"r
JOINT MEETING 0.
A joint meeting of the City Council and Kodiak Borough was called to order. Councilman
Brechan nominated Councilman White as acting mayor in the absence of Mayor Deveau.
Present Absent
Lester Dyson
Resoff Pace
Long
Brechan
White
WRight
Alexander
Also present: City Manager Jones, Attorney Madsen and Assessor Fremlin.
Chairman Powell stated the Boy Scout land problem.
The Elks Club has asked to purchase land for use as a public recreational site in the
Island Lake area. After a. discussion of this request Councilman Brechan moved to
instruct the secretary to write to the B.L.M. informing them that the Borough is in
agreement that the land under consideration should,be appraised and sold to the Elks
Club for a public recreational area in conjunction with the youth activity program.
Assemblyman Alexander seconded, a voice vote taken which passed unanimously.
Chairman Powell discussed the Spruce Cape junk yard.
After discussion it was felt that the Borough should request. the B.L.M. to release this
land to the state who in turn would release it to the Borough.
Assemblyman Alexander moved that the above request be made to the B.L.M. Councilman
Brechan seconded and a voice vote carried the motion unanimously.
The meeting was adjourned at 11:10 p.m.
RECONVENED BOROUGH ASSEMBLY MEETING
The Kodiak Island Borough Assembly Meeting wasagain called to order at 11:15 p.m.
iihairman Powell read the minutes of the previous meeting.
The minutes were approved as read.
Chairman Powell submitted an amended contract for John Cole, to cover the period of
January 1 thru May 31.
He explained that due to the added work load created by the Assessment of Personal
Property and the shortage of time left to complete the tax roll, he had tentative4rapproved
the extension of Mr. Coles Contract.
The Assembly 'questioned the monthly retainer figure and Chairman Powell stated that
qualified appraisers are in short supply and their services command a substantial salary.
Mr. Cole will assist Assessor Fremlin in all phases of the re— assessment program up to
and including the completion of the adjusted 1965 tax roll.
Councilman White moved to adjourn the meeting. Assembyman Alexander seconded. Carried
Meeting adjourned at 11:35 p.m.
Respectfully submitte
Howard G. Fre
Borough Assessor