12/28/1989KIBS103961
KODIAK ISLAND DDROUm
Special Assembly Meeting
December 28, 1989
A special meeting of the Kodiak Island Borough Assembly was held
December 28, 1989, in the Conference Room of the Kodiak Island
Borough Building, 710 Mill Bay Road. The meeting was called to
order at 7:33 p.m.
There were present: ROLL CALL
Lorne White, Presiding Alan Austerman
Jack McFarland Tom Merriman
Mary Monroe John Parker
Gary Stevens
comprising a quorum of the assembly; and
Jerome Selby, Borough Mayor
Gaye Vaughan, Borough Clerk
CITIZENS' CDIEO91S CITIZENS' COMMENTS
Dave Ausman stated that he owned a piece of property adjacent to
the tie down area at the airport which had been purchased with
the understanding that he could do away with about ten feet of
the green belt in order to construct a hanger. He heard recently
that the assembly was going to discuss the requirement of a
greenbelt along the runway and requested that the green belt
along the tie down area be eliminated.
Les Christensen also said that he purchased property in the same
area on the assumption that he could park his airplane on it.
With the greenbelt requirement, he stated that he could not park
his airplane on his own land. He added the airport was short of
tie down spaces and the greenbelt area had eliminated eight to
ten tie down spaces.
Assemblyman Merriman pointed out that the reason the greenbelt
was established was to protect or insulate the property owners
adjacent to the airport. He proceeded to offer suggestions as to
how the property might be developed and still satisfy all the
property owners.
11IMN OF BUS ITEMS OF
BUSINESS
A. Emergency Ordinance No. 89 -35-0 Authorizing Acceptance of
the Department of Community and Regional Affairs Grants EMERGENCY
Related to the Oil Spill Disaster and Appropriating Such ORDINANCE
Cleanup Grant Funds Received From the State of Alaska. NO. 89 -35-0
PARKER, moved to adopt Ordinance
seconded by MCFARLAND No. 89 -35 -0.
Assemblyman McFarland inquired about the need for an emergency
ordinance.
Mayor Selby responded that authorization was needed so
money could be spent next week and the only way to have money
available was through an emergency ordinance. He explained the
only training slot open for the mandatory Department of Labor
training program for the villages was mid - January to the end of
the month.
Assemblyman Austerman expressed his reservations over how the
situation was approached by the state of Alaska. He did not like
the full responsibility of the cleanup being laid on the borough
assembly. Through subagreements, he said, the assembly was
going to give the money to the villages to spend, while the
assembly would still be held responsible as to how the money was
spent.
December 28, 1989 Page 78
SPECIAL MEETING
KIBS103962
Kodiak Island Borough
Special Assembly Meeting
Mayor Selby answered questions from
accounting requirements.
Tom Peterson, Community and Regional
added that he would be assisting the
their accounting systems were in ord
Assemblyman McFarland wondered about
the oil collected.
Additional questions from assemblymembers about the contents of
the agreement were answered by the mayor.
Assemblyman Stevens thought there might be a disparity in the
allocation of funds between the villages because some villages
were hit harder by the oil spill than other villages.
Mayor Selby explained the main concern was to prevent any area on
the island from Losing part of the upcoming salmon season due to
oil being refloated during high tides. He said by looking at the
situation from that perspective made dividing the money equally
between the villages fair.
AUSTERMAN,
seconded by MCFARLAND
VOTE ON MOTION TO AMEND
MOTION CARRIED
VOTE ON MOTION TO ADOPT AS AMENDED
Ayes:
Noes: None
assemblymembers about EMERGENCY
ORDINANCE
NO. 89 -35-0
Affairs Government Specialist, (continued)
villages to make certain
er.
the pickup and disposal of
moved to amend to change
Department of Community and
Regional Affairs to Depart-
ment of Environmental
Conservation in the title of
the ordinance.
Unanimous Voice Vote
Austerman, McFarland,
Merriman, Monroe, Parker,
Stevens, White
MOTION CARRIED Unanimous
B. Approval of Professional Services Agreement - Wayne Coleman. APPROVAL .
PROFESSIONh-
MERRIMAN, moved to approve SERVICES AGREEMENT
seconded by STEVENS Professional Services WAYNE COLEMAN
Agreement with Wayne
Coleman.
Mayor Selby explained that under the city of Kodiak's auspices
Mr. Coleman had been involved with the oil spill cleanup since
early summer. He said Mr. Coleman had made flights with
Department of Environmental Conservation personnel and had a good handle on the
beaches which had oil. This proposed agreement would move him
under the auspices of the borough grant.
Mayor Selby noted one provision under the city's agreement that
would need to be changed in the borough's agreement about the
provision of a vehicle. Mayor Selby proposed an Item 4 -
Provision of Vehicle - Mr. Coleman will provide for his own needs
with no additional reimbursement.
December 28, 1989 Page 79
Kodiak Island Borough
Special Assembly Meeting
VOTE ON MOTION TO APPROVE
Ayes:
KIBS1039
Noes: None
MOTION CARRIED Unanimous
C. Approval of Village Oil Spill Cleanup Agreements. APPROVAL OF
VILLAGE OIL SPILL
AUSTERMAN, moved tq approve village oil CLEANUP AGREEMENT
seconded by MONROE spill cleanup agreements.
Assemblyman Steven stated that he would like to see a larger
contingency fund established with the understanding that the
money could be applied to specific problem areas.
STEVENS, moved to amend to change
seconded by MERRIMAN budget to: 1.2 million
subcontract to villages;
subcontract to others
$781,000; and change
$250,000 to $200,000 per
village.
APPROVAL OF
PROFESSIONAL
McFarland, Merriman, Monroe, SERVICES AGREEMEN
Parker, Stevens, Austerman, WAYNE COLEMAN
White (continued)
A discussion followed between the mayor and assembly members
about how the request for money from the contingency fund could
be handled.
Tom Peterson, Alaska Department of Community and Regional
Affairs, questioned the type of information that would be needed
for accounting and auditing purposes from the villages.
Mayor Selby explained that most of the bills should be submitted
by May 31. The borough auditors will start the pre -audit in May,
he said, so there should be no problem meeting the tight dead-
lines dictated by the Department of Environmental Conservation.
VOTE ON MOTION TO AMEND
Ayes:
Noes:
Merriman, Monroe, Parker,
Stevens, Austerman,
McFarland, White
None
MOTION CARRIED Unanimous
Assemblyman McFarland questioned Mr. Peterson about who would
distribute the funds in the villages and the reliability of the
village accounting systems.
VOTE ON MOTION AS AMENDED
Ayes:
Monroe, Parker, Stevens,
Austerman, McFarland,
Merriman, White
Noes: None
MOTION CARRIED Unanimous
D. Award of Contract for Service District M1 Road Maintenance.
MCFARLAND, moved to award Service
seconded by MERRIMAN District No 1 Road
Maintenance Contract to
Island Sand and Gravel for
18 months.
December 28, 1989 Page 80
AWARD OF CONTRACT
SERVICE DISTRICT
kl ROAD MAINTENAN.
Kodiak Island Borough
Special Assembly Meeti:.,
VOTE ON MOTION
Ayes:
Noes: None
MOTION CARRIED Unanimous
E. Approval of Hospital Insurance Trust Agreement. APPROVAL OF HOSPIT.
INSURANCE TRUST
MCFARLAND, moved to approve H.I.B. AGREEMENT
seconded by MERRIMAN Hospital'Trust Agreement.
Mayor Selby explained there were two options before the assembly.
One option was whether or not to go with the trust arrangement
which would be to self - insure for $500,000 per occurrence with a
one million aggregate and an umbrella insurance policy which
would pick up beyond the $500,000. This arrangement would more
than double the borough's total aggregate insurance coverage, he
noted, and proceeded to explained the premium rates.
Borough attorneys could not decide which of the two options would
be best, he stated. One option would be for the borough to be
both the trustee and the trustor and hire a manager, specifically
Lutheran Homes Management Company, to manage the trust. The
second option would be for the borough to be the trustee and
Lutheran Homes Management Company to be the Trustor. He stated
the assembly needed to decide if they wanted to pursue the
self - insure and trust proposal.
In response to a question from Assemblyman McFarland, Mayor Selby
said the Hospital Advisory Board had recommended the assembly go
ahead and initiate the trust with the umbrella policy. He
responded to further questions from assemblymembers.
MOTION WITHDRAWN
MCFARLAND,
seconded by MERRIMAN
Assemblyman White stated the Hospital Advisory Board had been
investigating this option for some time because they were not
happy with the service received under MICA. He said there had
been extensive study done before recommending this trust. He
added that the new hospital administrator was very comfortable
with this type of agreement because he just left a hospital which
operated under a similar agreement.
VOTE ON MOTION TO ADOPT
Ayes:
Noes:
AWARD OF CONTRACT
SERVICE DISTRICT a
Parker, Stevens, Austerman, ROAD MAINTENANCE
McFarland, Merriman, Monroe, (continued)
White
moved to approve development
of the K.I.B. Hospital
liability trust.
Stevens, Austerman,
McFarland, Merriman, Monroe,
Parker, White
None
MOTION CARRIED Unanimous
December 28, 1989 Page 81
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Kodiak Island Borough
Special Assembly Meeting
•DJOOAIMENT
KIBS103965
There being no further business to come before the assembly,
the meeting adjourned at 8:51 p.m.
ATTEST:
B roug 1E'rk
��/ El/ . ding Officer
December 28, 1989 Page 82
ADJOURNMENT