2006-01-12 Work SessionITEMS FOR DISCUSSION
PACKET REVIEW
Resolution No. FY2006 -24 Adopting a Federal Capital
Improvement Program for Fiscal Years 2007 -2011.
ASSEMBLY WORK SESSION
January 12, 2006 — 7:30 p.m.
Borough Conference Room
AGENDA
CITIZENS' COMMENTS (limited to three minutes per speaker)
1. Property Tax Exemption Waivers for Senior Citizens and Disabled Veterans
2. Investment Ordinance /Alaska Permanent Capital Management - Mary Lou Pratt
3. SWAMC Annual Conference and Sponsorship
• Resolution NO. FY2006 -19 (Gulf Rationalization)
• AML Resolution No. 2006 -12 (Municipal Funding)
• Education Resolution
4. Coastal Management Plan Presentation — Glen Gray, Glen Gray and Associates
5. Woodland Acres Paving Assessment District
Resolution No. FY2006 -23 Identifying the Retrofit of the
Kodiak Middle School as the Borough's Number 1 Project
for Federal Emergency Management Agency (FEMA) Pre -
disaster Mitigation Funding and Committing to a 25
Percent Local Match.
Resolution No. FY2006 -25 Authorizing Borough
Participation in the Alaska Municipal League Joint
Insurance Association (AMLJIA) Loss Control Incentive
Program.
Ordinance No. FY2006 -07 Rezoning US Survey 3471
Lot F1 FROM RR -1 Rural Residential One Zoning TO
RNC -Rural Neighborhood Commercial.(P &Z Case 03 -020)
MANAGER'S COMMENTS
CLERK'S COMMENTS
MAYOR'S COMMENTS
ASSEMBLYMEMBER COMMENTS
Federal Emergency Management Agency (FEMA)
Pre - Disaster Mitigation Plan Submission to the
Alaska Department of Homeland Security.
Resignation of Fire Protection Area No. 1 Board
Member.
Appointment to the Bay View Road Service Area
Board.
Appointment to the Womens Bay Service
Area Board.
Confirmation of Mayoral Appointment to the
Parks and Recreation Committee.
Confirmation of Mayoral Appointment to the
Personnel Advisory Board.
19 7:30 p.m.
23 7:00 p.m.
24 7:00 p.m.
26 7:30 p.m.
7:30 p.m.
02 7:30 p.m.
06 5:30 p.m.
7:00 p.m.
08 7:30 p.m.
09 7:30 p.m.
14 7:00 p.m.
15 7:30 p.m.
16 7:30p.m.
20 7:00 p.m.
23 7:30p.m.
7:30 p.m.
28 7:00 p.m.
AC - Assembly Chambers
CR - Conference Room
SD /CR - School District Conference Room
AC /CR - Assembly Chambers Conference Room
C /CR - City Conference Room
D /CR - Hospital Doctors= Conference Room
H/PL - Hospital Physicians Library
CALENDAR
January 2006
Assembly Regular Meeting — AC
School District Regular Meeting — AC
Parks and Recreation Committee Meeting — CR
Assembly Work Session — CR
City Council Regular Meeting — AC
February 2006
Assembly Regular Meeting — AC
Gravel Task Force Meeting — CR
School Board Work Session — SD /CR
Planning and Zoning Commission Work Session — CR
Assembly Work Session — CR
Parks and Recreation Committee Meeting — CR
Planning and Zoning Commission Regular Meeting — AC
Assembly Regular Meeting — AC
School District Regular Meeting — AC
Assembly Work Session — CR
City Council Regular Meeting — AC
Parks and Recreation Committee Meeting — CR
BFH - Bayside Fire Hall
HC - Hospital Cafeteria
WBFH - Womens Bay Fire Hall
H/BR - Hospital Board Room
MHGR - Mental Health Group Room
H/DL - Hospital Doctors = Lounge
Memo
• Page 1
'1
To: Rick Gifford
From Tom Anderson -- RA- -
Date: 12/20/2005
Re: Waiver of timely filing
Assessing Department
Kodiak Island Borough
Rick,
In accordance with your request on behalf of the Borough Assembly, I've done some
research into how other jurisdictions in Alaska handle filing waivers for property tax
exemptions. I've included the pertinent sections of the various codes for your review,
but I'll give you a brief synopsis here.
Anchoraqe code is more restrictive than Kodiak's. It requires action by the governing
body in every case, and seems to allow a waiver only for the current year in any
case. Failure to file in previous years cannot be waived.
Kenai also requires action by the Assembly in every case, but it allows a waiver up to
3 years after the filing deadline.
Mat -Su also is more restrictive. Their code allows the Assessor to accept an
exemption application after the deadline, but the Assembly must grant the waiver in
every case. In my reading of their code I couldn't find any limit on previous years.
Fairbanks and Ketchikan codes don't mention the waivers at all, at least not that I
could find. I would have to assume that they rely on State Statute, which specifies no
limit for previous years but requires authorization from the governing body in every
instance.
Juneau code doesn't seem to address waivers either. The only provision I can find
related to filing would not allow for waivers at all. If they are allowed, it would be
under State Statute which requires approval by the governing body.
I hope this will assist you and the Assembly in evaluating the adequacy or
inadequacy of KIB code on this issue. In my view, our code as it now stands is just
about right. Current -year applications can be processed administratively, while
applications for multiple years, which may require more scrutiny, will be presented to
the Assembly for its review and approval.
Thanks,
Tom
• Page 2
ANCHORAGE:
D. Written application for exemption under this section on a form prescribed by the
assessor shall be filed no later than January 15 of the assessment year to which
the exemption shall apply. A qualified senior citizen or disabled veteran need
not file such an application for successive tax years if there is no change in
ownership, in residency or permanent place of abode, status of disability, or
other factor affecting qualification for the exemption. A disabled veteran who
has less than a permanent disability must submit an official disability percentage
letter each year prior to January 15. The assessor may require proof under this
section at any time. It shall be the responsibility of every person who obtains an
exemption under this section to notify the assessor of any change in ownership,
property use, residency, permanent place of abode, status of disability or other
factor affecting qualification for the exemption. If the assessor determines that
the property is not eligible for this exemption, all taxes , penalty, and interest
due for all tax years beginning the year the property should have been subject to
taxation shall be due and owing. The governing body, for good cause shown,
may waive during a calendar year the claimant's failure to make timely
application for exemption for that year and authorize the assessor to accept the
application as timely filed. For the purposes of this subsection the mayor is
authorized to act on behalf of the governing body. If the mayor denies an
application for waiver under this section the applicant may, within 15 days of
receiving notice of rejection, appeal to the assembly by delivering a copy of the
request for exemption submitted to the mayor, the mayor's rejection notice, and
a request for review by the assembly to the municipal clerk. On appeal the
assembly may, based upon an independent evaluation of the circumstances
presented to the mayor, find good cause and grant the application for waiver.
MAT -SU:
3.15.030 REQUIRED EXEMPTIONS.
(A) The property listed in A.S. 29.45.030 is exempt from general taxation.
(B) An application for an exemption from taxation of property shall be filed with the assessor in
accordance with A.S. 29.45.030(f).
(1) To be eligible for the senior citizen or disabled veteran real property tax exemption, the
individual must also meet one of the following requirements:
(a) the individual shall be eligible for a permanent fund dividend under A.S.
43.23.005 for that same year or for the immediately preceding year; or
(b) if the individual has not applied or does not apply for one or both of the
permanent fund dividends, the individual would have been eligible for one of the
permanent fund dividends identified in subparagraph (a) of this section had the
individual applied.
(C) An application for exemption shall be filed no later than April 30 of the assessment year for
hich the exemption is requested. The assessor may accept an exemption application after April 30
of the assessment year for which the exemption is requested only upon a showing of good cause. The
borough assembly, for good cause shown, may waive a senior citizen applicant's failure to make
timely application for exemption and authorize the assessor to accept the application as if timely
filed. The assessor shall accept disabled veteran applications for previous tax years only where the
disabled veteran has made timely application for each year that the exemption is sought and has
received a qualifying retroactive disability evaluation from the Veteran's Administration or
applicable branch of service. The borough assembly, for good cause shown, may waive a disabled
veteran applicant's failure to make timely application for exemption for prior tax years and authorize
the assessor to accept the application as if timely filed. Senior citizen applicants qualifying for
exempt status under this provision, and qualifying disabled veterans, who are permanently disabled,
shall not be required to reapply annually, but shall remain in exempt status until such time as changes
in the ownership, occupancy, property use, status of disability or other factor affecting the exemption
causes the property to either spatially qualify or no longer qualify for exempt status. Disabled
veterans, who have not received a permanent disability rating, will be required to file annually.
Property owners shall notify the borough when the requirements for exemption are no longer met. If
the assessor determines that a property is not eligible for exemption, all taxes, penalty and interest
due on the property from the tax lien date following the date the property should have been subject to
taxation are immediately due and owing. The borough assessor may require proof under this section
at any time.
FAIRBANKS:
A. The borough will not consider the granting of any tax exemption or deferral under this
chapter and Chapter 3.11 FNSBC unless the applicant submits a full and complete application, and
provides such additional information as may be requested by the assembly. The borough assessor is
hereby authorized and empowered to prepare a standard application form that, upon completion, will
provide the assembly with adequate and sufficient information to determine whether any tax
exemption or deferral should be granted. The accuracy of the information provided in the application
shall be verified by oath of the applicant or an authorized officer of the applicant. Any misstatement
of or error in fact may render the application null and void and may be cause for the revocation of
any tax exemption or deferral adopted in reliance on such information.
B. Any entity requesting a tax exemption or deferral pursuant to this chapter and Chapter 3.11
FNSBC shall pay to the borough an initial application fee of $300.00, which shall be submitted at the
same time the application form is submitted. In addition, any entity that has been granted a tax
exemption or deferral under this chapter and Chapter 3.11 FNSBC shall pay an annual review fee in
the amount of $150.00 at a date specified by the borough assessor.
C. If anyone knowingly makes any false representations in any submission to the borough
related to an initial application for or review of a tax exemption or deferral under this chapter and
Chapter 3.11 FNSBC, that person shall be punished by a fine of not more than $5,000, or
imprisonment not to exceed one year, or both. (Ord. 2005 -62 § 3, 2005; Ord. 2005 -23 § 2, 2005)
3.10.030 Initial review of application.
A. Upon receipt of the completed application form and the required fee, the borough assessor
shall determine whether the application is properly completed and whether the applicant is eligible
for an exemption or deferral under this chapter and Chapter 3.11 FNSBC. If the application is
incomplete or the applicant is otherwise ineligible for exemption or deferral, the borough assessor
shall promptly notify the applicant of the reasons for ineligibility or the need for any necessary
amendment to the application.
B. After the assessor determines that the applicant is eligible for a tax exemption and/or deferral
and the application is complete, the assessor shall submit a copy of the application to the borough
clerk and shall provide a copy to the economic development commission giving it 21 days to provide
a written recommendation to the assembly through the clerk. (Ord. 2005 -62 § 4, 2005; Ord. 2005 -23
§ 2, 2005)
3.10.040 Notice and hearing.
No tax exemption or deferral under this chapter and Chapter 3.11 FNSBC shall be granted by the
assembly prior to a public hearing thereon. The borough clerk shall notify the applicant of the public
hearing. (Ord. 2005 -23 § 2, 2005)
3.10.050 Annual assessments.
All property receiving a tax exemption or deferral under this chapter and Chapter 3.11 FNSBC shall be
annually assessed by the borough assessor in the same manner as if it were not exempt. (Ord. 2005 -23 § 2,
2005)
3.10.060 Review of exemptions.
A. Any tax exemption or deferral granted under this chapter and Chapter 3.11 FNSBC shall be
subject to annual review by the borough assessor to ensure that the ownership and use of the property
and any other qualifying criteria for the tax exemption or deferral continue to exist. Information
justifying the continued exemption or deferral shall be submitted annually to the borough assessor at
the same time the review fee required under FNSBC 3.10.020(B) is due. If the borough assessor
determines that the property no longer qualifies for an exemption or deferral under this chapter and
Chapter 3.11 FNSBC, the assessor's determination may be reversed by a majority vote of the
assembly.
B. Upon the failure of any entity to fully and timely pay the taxes due as may be required by any
borough ordinance or to provide reports or other information requested by the borough assessor and
reasonably necessary for the implementation of this chapter and Chapter 3.1 I FNSBC, the borough
assessor shall immediately revoke and not renew any exemptions or deferrals under this chapter and
Chapter 3.11 FNSBC to which such entity would otherwise be entitled and shall require immediate
payment of the pro -rata share of taxes thereby due for any portion of the year remaining and any
previously deferred taxes. (Ord. 2005 -62 § 5, 2005; Ord. 2005 -23 § 2, 2005)
3.10.070 Emergency waiver.
The assembly reserves the right to grant or not to grant a tax exemption or deferral under circumstances
beyond the scope of this chapter and Chapter 3.11 FNSBC or to waive any other requirement not
mandated by state law. However, no such action or waiver shall be taken or made except upon a finding
by the assembly that an extraordinary circumstance or emergency exists, and that such action or waiver is
found and declared to be in the vital public interest. (Ord. 2005 -23 § 2, 2005)
3.10.080 Transfer of ownership or change of use — Penalty.
As of the date of any change in majority ownership, sale, or substantive change in use of any property
subject to a tax exemption or deferral under this chapter and Chapter 3.11 FNSBC, the borough shall
revoke such tax exemption or deferral and require immediate payment of the property taxes thereby due.
Any property owner who fails to notify the borough assessor of any such change in ownership, use, or sale
by the date of such change in ownership, use, or sale shall be subject to a fine of not more than $300.00
per day for each day thereafter. (Ord. 2005 -62 § 6, 2005; Ord. 2005 -23 § 2, 2005)
3.10.090 Criteria.
Criteria for tax exemptions are set forth in Chapter 3.11 FNSBC, Criteria for Real Property Exemptions
and Deferrals. (Ord. 2005 -23 § 2, 2005)
3.10.100 Discretionary act of the borough.
An applicant's completion of the application process for a tax exemption or deferral shall not give rise to
any right or claim against the borough for its failure to grant the exemption or deferral. The grant or denial
of a tax exemption or deferral application under this chapter and Chapter 3.11 FNSBC is a discretionary
act by the borough. (Ord. 2005 -23 § 2, 2005)
Sections:
Chapter 3.11
CRITERIA FOR REAL PROPERTY EXEMPTIONS AND DEFERRALS
3.1 1.010 General criteria.
3.11.020 Categories.
3.11.030 Economic development property — Specific criteria.
3.11.040 Limitations on economic development property tax exemptions and deferrals.
3.11.050 Deteriorated property — Specific criteria.
3.11.060 Limitations on deteriorated property tax exemptions and deferrals.
3.11.070 Definitions.
3.11.010 General criteria.
In order for property to be considered for an economic development or deteriorated property tax
exemption or deferral, an applicant must complete the application process described in Chapter 3.10
FNSBC. (Ord. 2005 -26 § 3, 2005)
3.11.020 Categories.
The two categories of tax exemptions provided under this chapter are "economic development property"
and "deteriorated property." (Ord. 2005 -26 § 3, 2005)
3.11.030 Economic development property — Specific criteria.
The assembly may grant a partial or total exemption and/or deferral for economic development property
only if there is a clear and convincing demonstration that such exemption and/or deferral will provide
direct economic benefit to the borough, and:
A. The property will be used by a trade, industry, or business that is not already developed
within the borough and such use will:
1. a. Directly generate sales outside of the borough of goods and/or services produced in the
borough; or
b. Materially reduce the importation of goods and/or services from outside of the
borough; and
2. Directly create significant new employment in the borough;
B. The exemption and/or deferral is necessary to:
1. a. The long -term viability of the trade, industry, or business operation; or
b. The economic feasibility of initiating a trade, industry, or business with the
reasonable likelihood of long -term economic viability; and
2. Promote or improve the economic development of the borough;
C. The exemption and/or deferral will provide measurable public benefits commensurate with
the level of incentive granted;
D. The property owner is in compliance with all Alaskan municipal and state of Alaska tax
obligations; and
E. The location of the trade, industry, or business is compatible with land use and development
plans of the borough. (Ord. 2005 -26 § 3, 2005)
3.11.040 Limitations on economic development property tax exemptions and deferrals.
Real property that has previously been taxed by the borough shall not qualify for an economic
development property tax exemption or deferral under this chapter. (Ord. 2005 -26 § 3, 2005)
3.11.050 Deteriorated property — Specific criteria.
The assembly may grant a partial or total exemption and/or deferral for deteriorated property only if there
is a clear and convincing demonstration that such exemption and/or deferral will provide direct economic
benefit to the borough, and:
A. The exemption and/or deferral is necessary to:
1. The economic feasibility of completing improvements on the property; and
2. Promote or improve the economic development of the borough;
B. The property is commercial property not used for residential purposes, or is multi -unit
residential property with at least eight residential units;
C. The property.
1. Within the last five years, has been the subject of an order by a government agency
requiring environmental remediation of the property or requiring the property to be vacated,
condemned or demolished by reason of noncompliance with laws, ordinances, or regulations; or
a. Is located in a deteriorating or deteriorated area with boundaries that have been
determined by the assembly after a public hearing;
b. The exemption and/or deferral will provide measurable public benefits
commensurate with the level of incentive granted;
D. The property owner is in compliance with all Alaskan municipal and state of Alaska tax
obligations; and
E. The improvements planned for the property are compatible with land use and development
plans of the borough. (Ord. 2005 -26 § 3, 2005)
3.11.060 Limitations on deteriorated property tax exemptions and deferrals.
Any tax exemption or deferral for deteriorated property shall not take effect until January 1st of the year
after:
A. The exemption or deferral has been approved by the assembly; and
B. The planned improvements on the property have been substantially completed or the
property is beneficially occupied. (Ord. 2005 -26 § 3, 2005)
3.11.070 Definitions.
"Deteriorating" or "deteriorated area" as used in this chapter means an area that is characterized by:
A. Unsafe, unsanitary, vacant, or overcrowded building(s);
KENAI:
B. Overgrown or unsightly vacant lots;
C. A significant percentage of tax delinquent properties; and/or
D. Economically or socially undesirable land uses. (Ord. 2005 -26 § 3, 2005)
5.12.105. Real property tax -- Exemptions -- Senior citizens, disabled veterans and
surviving spouses thereof.
A. A single parcel of real property owned and occupied as the primary residence and
permanent place of abode by a (1) resident 65 years of age or older; (2) disabled veteran;
or a resident at least 60 years old who is the widow or widower of a person who qualified
for this exemption under (1) or (2) of this subsection, is exempt from taxation. The
maximum amount of the exemption is unlimited. The limitation to a single parcel shall
apply unless the applicant has applied for and received a determination that an y
additional parcel proposed for exemption qualifies as a subsidiary parcel eligible for
inclusion as part of the primary residence and permanent place of abode under state law.
B. Only one exemption may be granted for the same property and, if two or more
persons are eligible for an exemption for the same property, the parties shall decide
among themselves who is to receive the benefit of the exemption.
C. Real property may not be exempted under this subsection if the assessor determines,
after notice and hearing to the parties, that the property was conveyed to the applicant
primarily for the purpose of obtaining the exemption.
D. No exemption under this section may be granted except upon written application on
a form prescribed by the assessor. The applicant/owner must file the application no later
than January 15 of the tax year for which the exemption is sought. A qualified senior
citizen or disabled veteran need not file such an application for successive tax years if
there is no change in ownership, no change in permanent place of abode by the owner of
record, or no change in status of disability if the owner is a disabled veteran. Exemption
j
applications filed after January 15 of the tax year must be accompanied by a signed
affidavit stating the reason for the late filing. If a qualified senior citizen or disabled
veteran files an untimely application, the assembly may, for good cause shown, waive the
claimant's failure to make timely application and authorize the Assessor to accept the
application as if timely filed. A late application must be filed not more than three years
after the original deadline for filing the application. If a failure to timely file has been
waived and the application for exemption is approved, the amount of tax that the claimant
has already paid, if any, for the year the property would have been eligible for exemption
shall be refunded to the claimant.
JUNEAU:
(D) An applicant delinquent in the registration for, filing, or payment of any property
tax, sales tax, excise tax, special assessment or utility fee may not be granted an J
exemption under this subsection. If a person owning property previously granted an
exemption under this subsection thereafter becomes delinquent in the registration for,
filing, or payment of any property tax, sales tax, excise tax, special assessment or utility
fee, the exemption under this subsection shall, upon a written finding of the delinquency
by the manager, be revoked for the following tax year.
KETCHIKAN:
Chapter 321 Page 1 Ketchikan 1/2002
Title 3
REVENUE AND FINANCE
Chapter 3.21
TAX EXEMPTIONS
Sections:
3.21.010 Exemptions.
3.21.020 Interest in Low - Income Housing.
3.21.010 Exemptions. The city council classifies and exempts from taxation: (a) The
property of organizations not organized for business or profit- making purposes and used
exclusively
for community purposes; provided, that income derived from rental of such property does
not
exceed the actual cost to the owner of the use by the renter;
(b) Classifies boats and vessels twelve feet or more in overall length for the purposes of
taxation and establishes the assessed valuation of such boats and vessels on the basis of
their
registered or certificated net tonnage. The tax on boats twelve feet or more in overall
length shall be
twenty -five dollars a year for a boat or vessel of five net tons or less, and seventy -five
dollars a year
for a boat or vessel of more than five net tons.
(c) As used in this section, the phrase "boats and vessels" means property designed and
constructed for the primary purpose of transporting goods or persons, or both, by water.
Registration, licensing, or documentation shall not be conclusive proof that the property
is a boat or
a vessel, but may be considered along with the actual use made of the property and all
other relevant
factors.
(d) Business inventories. (Ord. 1071 §I, 1986: Ord. 1019 §I, 1984; Ord. 925 §l, 1979; Ord. 912 §l, 1979)
3.21.020. Interest in Low - Income Housing. An interest, other than record ownership, in
real property of an individual residing in the property is exempt from real property taxes
if the
property has been developed, improved, or acquired with federal funds for low- income
housing and
is owned or managed as low- income housing by the Alaska Housing Finance Corporation
under
Alaska Statutes 18.55.100- 18.55.960; a tribal corporation under the Native American
Housing
Assistance and Self- Determination Act of 1996 pursuant to a cooperation agreement with
the city;
or a regional housing authority formed under AS 18.55.996. This section does not
prohibit the city
from receiving payments in lieu of taxes authorized under federal law.
\\Dove \borough \as \EXEMPTIONS \Waivers - Other Jurisdictions.doc
MEMORANDUM
TO: Rick Gifford, Borough Manager
FROM: Melvin M. Stephens, TI!/ ' F"' ����
RE: Lois Stover Property Tax Refund
December 15 Agenda Item 13.D.1
DATE: December 7, 2005
If you have a chance before tomorrow night's work session could you check into whether
KIBC 3.20.080(D) limits the assembly's discretion to grant the waiver and refund Lois Stover is
seeking. At first glance that provision appears to say that a waiver of the January 15 deadline for
seeking a senior citizen property tax exemption must be filed within the same year. The first
sentence reads:
In the event that a claimant fails to apply for an exemption provided by
AS 29.45.030(e) by January fifteenth of the assessment year for which the exemption
is sought, but [does so] during the same year, the borough assessor for good cause
shown may waive the claimant's failure to make timely application for the exemption
for that year and shall accept the application as if timely filed ....
The emphasis and bracketed words are mine. Alaska Statute 29.45.030(0 indeed says that
"[t]he governing body of the municipality for good cause shown may waive the claimant's failure
to make timely application for exemption and authorize the assessor to accept the application as if
timely filed," but it also mandates that "[e]ach municipality . . , establish procedures and deadlines
for filing the application."
I would like to see Lois get the refunds here in question (and would like to know the amounts
at issue) but I also feel the need for confirmation that the Borough will in fact be reimbursed for
these refunds pursuant to AS 29.45.030(g) notwithstanding the timeliness issue outlined above.
Finally, is this really a matter which should come before the Borough Assembly? Both
AS 29.45.030(0 and KIBC 3.20.080(D) appear to delegate this decision to the Borough assessor,
do they not?
VECEIIVE
li DEC 8 2005
BOROUGH CLERK'S OFFICE
MELVIN M. STEPHENS, II
A PROFESSIONAL CORPORATION
ATTORNEY AT LAW
104 CENTER AVENUE, SUITE 206
P.O. BOX 1129
KODIAK, ALASKA 99615
TELEPHONE (907) 486 -3143
KODIAK ISLAND BOROUGH
CLERK'S OFFICE
COPIED TO;
ASSEMBLY ✓^ MAY_-.._ -
MANAGER__d�.- O DER OR
p
trit DEC 7 2005
KIB MANAGER
Memo
To: . Rick Gifford
From: Tom Anderson
Date: December 7, 2005
Re: Lois Stover
Rick,
Assessing
Department
Kodiak Island Borough
In response to the letter from Mel Stephens regarding the senior exemption for Lois Stover; some background.
Mrs. Stover didn't realize that she could qualify, being 60 years of age and the widow of a person who had
received the senior citizen exemption. She would have been eligible beginning with the 2003 tax year had she
applied.
As Mr. Stephens points out, KIBC 3.20.080(D) expressly grants the assessor authority to waive the claimant's
failure to make timely application as long as the Tate application is made during the same year. Borough Code
does not treat the question of exemption for previous years, nor does It specifically treat the senior exemption at
all. For this reason, we in the Assessing Department must rely upon Alaska Statute for guidance.
As Mr. Stephens further points out, AS 29.45.030(f) provides that the "governing body of the municipality for
good cause shown may waive the claimant's failure to make timely application for exemption and authorize the
assessor to accept the application as if timely filed." Our interpretation, consistent with previous administrations,
is that Borough Code allows the assessor to accept these late applications for the current year only.
Applications for previous years require authorization from the Assembly. The Assembly could, of course, grant
the assessor permanent authority for previous years by ordinance.
As to reimbursement by the State, until 1986 the State did reimburse the municipalities for the loss of revenue.
Since that time, In accordance with AS 29.45.030(g) appropriations have not been "sufficient to fully fund
reimbursements" and they have steadily declined, to the point that this mandate is presently not funded at all.
The Borough will not be reimbursed for loss of revenue If Mrs. Stover's applications for previous years are
authorized. Nevertheless, she does qualify under State Statute. Assessing Department recommends that the
Assembly approve these applications and authorize that the requested exemptions be granted.
Please let me know if I can provide further assistance of clarification In this matter.
Thanks,
Tom
Rick Gifford
From: Tom Anderson
Sent: Thursday, December 08, 2005 1:19 PM
To: Rick Gifford
Subject: Lois Stover refund amounts
Rick,
Lois Stover has been refunded for 2005. Her previous year refunds will be:
2004: $1,912.50
2003: $1,373.58
Total: $3,286.08
I have supporting documents if you need them.
Thanks, Tom
Page 1 of 1
B. All property used exclusively for religious, educational, or charitable purposes, such
property used for religious purposes to be deemed to include the residences of a pastor, priest,
or minister of such religious organization and to further include all other property of such
organization not used for business, rent, or profit. Property of any religious, educational, or
charitable organization from which the organization derives any rentals or profits shall not be
exempt. Unimproved or vacant real property of any such organization which is not currently used
for religious, education, or charitable purposes shall be deemed to be property held or used for
profit, unless by deed restriction or otherwise the real property has been effectually dedicated to
future use for religious, educational, or charitable purposes only and cannot be sold or used for
any other purposes;
C. The property of any organization which is not organized for business purposes and
whose membership is composed entirely of veterans of any wars of the United States, as
recognized and chartered by the Congress of the United States, and the property of the auxiliary
of any such organization. Property of any such veteran' s organization or auxiliary from which
the or anization derives any rentals or profits shall not be exempt;
the event that a claimant fails to apply for an exemption provided by AS
29.45 0 t (e) by January fifteenth of the assessment year for which the exemption is sought, bat
during the same year, the borough assessor for good cause shown may waive the claimant s failure
to make timely application for the exemption for that year and shall accept the application as if
timely filed subject to the provisions contained in AS 29.45.030(E).
Good cause shall include but not necessarily be limited to:
1. mistake;
2. inadvertence; or
3. excusable neglect;
E. The private interests, other than fee simple record ownership, in real property of an
individual residing in the property if the property has been developed, improved, or acquired with
federal funds for low- income housing and is owned or managed as low- income housing by the
Alaska State Building Authority or a regional housing authority formed under AS 18.55.996.
This section does not prohibit the borough from continuing to receive payments in lieu of taxes
authorized under federal law. This section applies only to those low- income housing units in
existence prior to January 1, 1989, hence, any new projects, real property acquisitions and
additions to the existing properties after January 1, 1989, shall require an ordinance of the
assembly prior to the granting of an exemption under this section;
F. The increase in assessed value of improvements to real property if an increase in
assessed value is directly attributable to landscaping, or new maintenance, repair, or renovation
of an existing structure, and if the alteration, maintenance, repair, or renovation, when completed,
enhances the exterior appearance or aesthetic quality of the land or structure. An exemption may
not be allowed under this subsection for the construction of an improvement to a structure if the
principal purpose of the improvement is to increase the amount of space for occupancy or
nonresidential use in the structure or for the alteration of land as a construction activity. An
exemption provided in this subsection may continue for up to four (4) years from the date the
improvement is completed or from the date of approval for the exemption by the local assessor,
whichever is later; and
3 -32
3.20.080
(KIB 06/2004)
Supp. #40
Sec. 29.45.030.
ALASKA STATUTES Sec. 29.45.030.
only if that income is solely from use of the property by nonprofit religious, charitable, hospital, or
educational groups. If used by nonprofit educational groups, the property is exempt only if used
exclusively for classroom space.
(d) Laws exempting certain property from execution under the AS 09 (Code of Civil
Procedure) do not exempt the property from taxes levied and collected by municipalities.
(e) The real property owned and occupied as the primary residence and permanent place of
abode by a (1) resident 65 years of age or older; (2) disabled veteran; or (3) resident at least 60 years
old who is the widow or widower of a person who qualified for an exemption under (1) or (2) of this
subsection, is exempt from taxation on the first $150,000 of the assessed value of the real property.
A municipality may, in case of hardship, provide for exemption beyond the first $150,000 of
assessed value in accordance with regulations of the department. Only one exemption may be
granted for the same property and, if two or more persons are eligible for an exemption for the same
property, the parties shall decide between or among themselves who is to receive the benefit of the
exemption. Real property may not be exempted under this subsection if the assessor determines,
after notice and hearing to the parties, that the property was conveyed to the applicant primarily for
the purpose of obtaining the exemption. The determination of the assessor may be appealed under
AS 44.62.560 — 44.62.570.
(f) To be eligible for an exemption under (e) of this section for a year, a municipality may by
ordinance require that an individual also be eligible for a permanent fund dividend under AS
43.23.005 for that same year or, if the individual does not apply for the permanent fund dividend,
that the individual would have been eligible for the permanent fund dividend had the individual
applied. An exemption may not be granted under (e) of this section except upon written application
for the exemption Each municipality shall, by ordinance, establish procedures and deadlines for
filing the application. The oveming body of the munici.ali s • •od cause shown ma waive the
claimant's failure to make timely app ication for exemption and authorize the assessor to accept the
ap lication as iflimely filed. If an application is filed within the required time and is approved by
t e assessor, the assessor shall allow an exemption in accordance with the provisions of (e) of this
section. If the application for exemption is approved after taxes have been paid, the amount of tax
that the claimant has already paid for the property exempted shall be refunded to the claimant. The
assessor shall require proof in the form the assessor considers necessary of the right to and amount
of an exemption claimed under (e) of this section, and shall require a disabled veteran claiming an
exemption under (e) of this section to provide evidence of the disability rating. The assessor may
require proof under this subsection at any time.
(g) The state shall reimburse a borough or city, as appropriate, for the real property tax
revenues lost to it by the operation of (e) of this section. However, reimbursement may be made to a
municipality for revenue lost to it only to the extent that the loss exceeds an exemption that was
granted by the municipality, or that on proper application by an individual would have been granted
under AS 29.45.050(a). If appropriations are not sufficient to fully fund reimbursements under this
subsection, the amount available shall be distributed pro rata among eligible municipalities.
(h) Except as provided in (g) of this section, nothing in (e) — (j) of this section affects similar
exemptions from property taxes granted by a municipality on September 10, 1972, or prevents a
municipality from granting similar exemptions by ordinance as provided in AS 29.45.050.
(i) In (e) — (i) of this section,
(1) "disabled veteran" means a disabled person
(A) separated from the military service of the United States under a condition that is
not dishonorable who is a resident of the state, whose disability was incurred or aggravated in the
line of duty in the military service of the United States, and whose disability has been rated as 50
96
KODIAK ISLAND BOROUGH
ORDINANCE NO. FY2006 -06
Introduced by: Manager Gifford
Requested by Asaemblly
Drafted by Finance Director
Introduced:
Public Hearing:
Adopted:
AN ORDINANCE OF THE KODIAK ISLAND BOROUGH ASSEMBLY
AMENDING KODIAK ISLAND BOROUGH CODE OR ORDINANCES
TITLE 3 REVENUE AND FINANCE CHAPTER 3.04 PUBLIC FINANCE— BUDGET
SECTION 3.04.020 PERMISSABLE INVESTMENTS
SECTION 3.04.022 COLLATERAL REQUIREMENTS
SECTION 3.04.051 FACILITIES FUND
BY CHANGING THE TYPES OF INSTRUMENTS THAT THE BOROUGH CAN INVEST IN AND
CHANGING THE INVESTMENTS ALLOWED IN THE FACILITIES FUND
WHEREAS, The Borough Code pertaining to investments has become dated; and
WHEREAS, the list of allowed investments could be more clearly defined; and
WHEREAS, collateral is not available on all investment types, only repurchase agreements and
certificates of deposit; and
WHEREAS, the principal portion of investments in the Facilities Fund is not used for daily
operation of the Borough; and
WHEREAS, because the principal amount of the investments held in the Facilities Fund is not
used for daily operations investments can be held for a longer term and can have larger swings in
value; and
WHEREAS, generally, over a long period of time equities (stocks) show a greater return than
government securities;
NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH THAT:
Section 1: This ordinance is of a general and permanent nature and shall become a part of the
Kodiak Island Borough code of ordinances.
Chapter 3.04
PUBLIC FINANCE -- MANAGEMENT AND ACCOUNTING
Sections:
3.04.010 General treasury management.
3.04.015 Authority.
3.04.020 Permissible investments.
3.04.021 Terms defined.
3.04.022 Collateral requirements.
3.04.023 Collateral safekeeping.
3.04.026 Diversification of investments.
3.04.027 Investment records.
3.04.030 Deposit of school money.
3.04.040 Basis of accounting.
3.04.050 Funds.
3.04.051 Facilities fund.
3.04.052 Education fund.
3.04.053 Fern Fuller fund.
3.04.055 Land sale fund.
3.04.056 Penalties.
3.04.057 General fixed assets.
3.04.060 Distribution of funds.
3.04.065 Review of service fees.
3.04.070 Post audit.
Section 2: Title 3 Revenue and finance Chapter 3.04 Public Finance — Management and
Accounting Section 3.04.020 Permissable investments is hereby amended as
follows:
3.04.020 Permissible investments. The treasurer shall invest money only in the following types of
security instruments:
A. Bonds, notes, or other obligations, direct or otherwise, of the United States Government;
B. Bonds and other evidence of indebtedness of the state of Alaska, or any municipality, or
political subdivision of the state of Alaska;
C. Savings accounts, certificates of deposit, banker's acceptances, repurchase agreements,
and such other legal security instruments; or
D. The Alaska Municipal League Investment Pool, Inc. made in accordance with the terms of
that Pool's "Common Investment Agreement ".
Section 3: Title 3 Revenue and finance Chapter 3.04 Public Finance — Management and
Accounting Section 3.04.022 Collateral requirements is hereby amended as
follows:
3.04.022 Collateral requirements. CD's over $100,000 must be collateralized at 102 %: —All
i nvoofmooto of p..L1:.. funds ...:11 to; IIa......I:.....J .....J /... :..........J r..Il...•.......1 ...:11 ........:....J 4.. ♦L.
extent that the investment amount exceeds the limits of FDIC or other applicable insurance. The
following collateral shall apply:
A. State and municipal flequircd for
bonds and notes: 100% of Deposit
1. Alaskan i ^cues 100% of market
2. Federally guaranteed
project notes Alaska
i ^cues 100% of market
37 Other states (Baa
rating or better) 120% of market
8. U.s. Government obligations:
1. Direct obligations 100% of market
2 Fedcral agcney
i r ucs 100% of market
3. Federally guarantee
project notes other 100% of market (Ord. 82 15 O(A) (part) 1082)..
Section 4: Title 3 Revenue and finance Chapter 3.04 Public Finance — Management and Accounting
Section 3.04.051 Facilities fund is hereby amended as follows:
Section 3.04.051 Facilities fund.
A. The facilities fund is established as a separate investment fund which is distinct from the-general-land
talc fund and all other funds. The fund consists of all proceeds received from the sale of Shuyak Island
property to the Exxon Valdez Oil Spill Trustee Council. All income from the fund shall be deposited to the
fund. The assembly may, by ordinance, make additional appropriations to the fund at any time. Any
additional funds added to the fund, aside of Shuyak Island proceeds, shall become part of the fund as a
whole and subject to the regulations of the facilities fund.
B. - . . .ed.e e The investment
purpose of the Facilities Fund is growth through prudent investment of Fund assets. Notwithstanding the
objectives of the Borough policy for the investment of its operating and other funds set out in 3.04.020,
the investment of the Facilities Fund assets shall be made to maintain safety of principal while maximizing
total return. Investments shall be diversified to minimize the risk of loss resulting from a concentration of
investments in a specific maturity, issuer, class of security, financial institution or, with respect to equity
investments, in a specific company, industry or investment sector. Fund assets may be invested in the
instruments and securities set out in the following:
1, United States Treasury obligations including bills, notes, bonds, and other debt obligations issued by
the United States Treasury, and backed by the full faith and credit of the U.S. Government.
2. Securities issued or guaranteed by agencies and instrumentalities of the U.S. Government, but not
explicitly backed by the full faith and credit of the U.S. Government.
3, Securities issued or guaranteed by municipalities in the United States, rated in one of the three
highest rating categories by nationally recognized statistical rating organization (NRSRO).
4, Corporate debt securities rated investment grade.
5, Asset - Backed securities rated investment grade.
6, Yankee debt (that is U.S. dollar denominated obligations issued in the U.S. capital markets by
foreign issuers) rated investment grade.
7. Mortgage-Backed Securities (MBS) and Collateralized Mortgage Obligations (CMO) comprising:
Agency MBS investments issued by Federal National Mortgage Association, Federal Horne Loan
Mortgage Corporation, or the Government National Mortgage Association:
CMO investments securitized by agency MBS issued by Federal National Mortgage Association
Federal Home Loan Mortgage Corporation or the Governmental National Mortgage Association; provided
that permissible CMO investments include only sequential class CMO's or type I planned amortization
class CMOs.
8. Money market mutual funds regulated by the Securities and Exchange Commission which comply
with rule 2(a)7 and whose underlying portfolio consists of investment grade securities; and The Alaska
Municipal League Investment Pool, Inc.
9. A mutual fund, which is designed to replicate the Standard and Poor's 500 Index or an ETF
(Exchange Traded Funds) with the same purpose.
C Allocation of investments
Kodiak Island Borough, Alaska Ordinance No. FY2006 -06
Page 3 of 5
Allowable
Percentaq Maximum
Minimum e Percentage
Requirments of Issuer of portfolio
UST 100% 0 -100%
Agencies 100% 0 - 100%
Bonds BBB 10% 0 - 25%
BA's A 2% 0 - 25%
Repo's A 5% 0 - 25%
CD's A 5% 0 - 10%
Mutual Funds 10 - 25%
AMLIP 0 - 50%
CD's over $100,000 must be collateralized at 102%
Mutual Funds must meet all of the above requirements.
D The following are prohibited transactions:
1. Purchase of non - dollar securities.
2. Purchase of private placement securities.
3. Short sale of securities (the sale and settlement of a security not currently owned and a
formal agreement to borrow the security to facilitate the settlement of the short sale)
4. Purchases of futures, forwards or options.
5. Borrowing to leverage the return on investments. Extended settlement of securities
purchases executed to facilitate or improve the efficiency of a transaction will not be
considered borrowing, provided that sufficient cash equivalent securities or receivables are
available to facilitate the extended settlement.
In the event a security currently held in the portfolio is downgraded below investment grade the
manager shall provide written notification to the Finance Director and set forth in writing a
recommended course of action.
The fund may not be appropriated or spent, except as provided in this section. The earnings or
principle shall at no time run or supplement the running of government except as specified in this
section.
Ccntcr) as an addition to the Fishery Industrial Technology Ccntcr complex on Near Island.
DC. The excess income of the fund is defined as eighty -five (85) percent of the annual investment
income from the fund. The excess income of the fund is available for appropriation by the assembly in
the fiscal year following the year in which the income is earned. The excess income of the fund may be
appropriated only for the following purposes:
1. maintenance and repair of existing borough facilities,
2. insurance paid by the borough for borough buildings,
3. upgrade and reconstruction of existing facilities, or
4. debt service on general obligation bonds issued for facilities construction - -up to fifty (50)
percent of excess may be used for this purpose.
ED. A portion of the fund may be appropriated for another purpose only upon approval of an
ordinance ratified by a two- thirds (2/3) majority of the qualified voters at a regular or special election.
E. Selection of money managers. The Finance Director will prepare an RFP to solicit proposals
from different money managers to manage a portion or all of the investments of the Facilities Fund.
The Borough Finance Director will evaluate the various proposals and make a recommendation to
Kodiak Island Borough, Alaska Ordinance No. FY2006 -06
Page 4 of 5
the Assembly through the Borough Manager. Money managers must meet the following minimum
criteria:
1 Be a bank, insurance company, investment management company or investment adviser
as defined by the Registered Investment Advisers Act of 1940.
2 Provide historical quarterly performance numbers calculated on a time - weighted basis,
based on a composite of all fully discretionary accounts of similar investments style, and
reported net and gross of fees.
3 Provide detailed information on the history of the firm, key personnel, key clients, fee
schedule, and support personnel. This information can be a copy of a recent Request For
Proposal (RFP) completed by the money manager.
4 Clearly articulate the investment strategy that will be followed and document that the
strategy has been successfully adhered to over time.
Selected firms shall have no outstanding legal judgments or past judgments, which may reflect
negatively upon the firm.
F. Duties and responsibilities of the money manager. The duties and responsibilities of each
money manager retained by the Borough include the following:
1 Managing the Borough assets under its care, custody and /or control in accordance with
the objectives and guidelines set forth herein.
2 Exercising investment discretion (including holding cash equivalents as an alternative)
within the objectives and guidelines set forth herein.
3 Promptly informing the Borough through the Finance Director in writing regarding all
significant and /or material matters and changes pertaining to the investment of Borough
assets, including but not limited to:
a. Investment strategy
b. Portfolio structure
c. Tactical approaches
d. Ownership
e. Organizational structure
f. Financial condition
g. Professional staff
h. Recommendations for guideline changes
i. All legal material, SEC and other regulatory agency proceedings affecting the firm.
4 Promptly voting all proxies and related actions in a manner consistent with the long -term
interests and objectives of the Borough set forth herein. The money manager shall keep
detailed records of said voting of proxies and related actions and will comply with all
regulatory obligations related thereto.
5 Utilize the same care, skill, prudence and due diligence under the circumstances then
prevailing that experience, investment professionals acting in a like capacity and fully
familiar with such matters would use in like activities for like Borough and Endowment
Funds with like aims in accordance and compliance with all applicable laws, rules and
regulations from local, state, federal and international political entities as it pertains to
fiduciary duties and responsibilities.
Kodiak Island Borough, Alaska Ordinance No. FY2006 -06
Page 5 of 5
ATTEST:
6 Acknowledge and agree in writing to their fiduciary responsibility to fully comply with all of
the objectives and guidelines set forth herein, and as modified in the future.
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS DAY OF 2005
Judith Nielsen, CMC, Borough Clerk
KODIAK ISLAND BOROUGH
Jerome M. Selby, Borough Mayor
Kodiak Island Borough, Alaska Ordinance No. FY2006 -06
Page 6 of 5
SPONSOPSNiP OPPORTUNITEN
❑ Platinum Partner
❑ Gold Partner
❑ Silver Partner
❑ Bronze Partner
❑ Coffee Break
❑ Community Partner*
Thank you!
$2,500 (keynote speaker or banquet)
$1,500 (lunch sponsor or banquet co- sponsor)
$1,000 (breakfast sponsor or lunch co- sponsor)
$500 (PM break sponsor or breakfast co- sponsor)
$250 (morning coffe break sponsor)
$50 *(for municipalities & tribal councils only)
If you have any questions, please to contact Nichole Combs at (907) 562 -7380.
¶ThKN A ALAN([ •
•
•
(OMMVNiTiES, (OMAN, AND
E(ONOMi( DEVELOPMENT iN SOUTNWhST ALASKA
SOVTNWEST ALASKA E(ONOMi( SUMMIT II
SWAM( ANNUAL MEMB[RSNIP MEETING
FEBRUARY 2 - 3, 2006
We invite you to be a sponsor of the 2006 Southwest Alaska Economic Summit and SWAMC Annual Membership
Meeting. Sponsors receive recognition in any printed conference materials and are acknowledged on a SWAMC Honor
Roll Banner throughout the conference. Sponsorships are marketing opportunities to advertise and build name
recognition in Southwest Alaska communities. To reserve a sponsorship, call SWAMC at (907) 562 -7380 or complete
the information below and fax it to SWAMC at (907) 562 -0438.
Yes, I would like to be a sponsor of the 2006 Southwest Alaska Economic Summit and SWAMC Annual Membership
Meeting (please check box):
Name.
Community/Organization
Address.
Telephone. Fax
City.
State.
PAYMENT OPTIONS:
❑ Charge to Credit Card:
❑ Visa ❑ MasterCard ❑ American Express
Account Number: Exp. Date.
Name as it appears on card:
Signature.
❑ Check enclosed payable to:
Southwest Alaska Municipal Conference, 3300 Arctic Boulevard, Suite 203, Anchorage, AK 99503
7ip•
SOVTIMST ALASKA f(ONOmi( SUMMIT SWAM( ANNVAL /AWE PSIliP MEETING
FBRVAPY 2 - 3, 2006
cPONONliP PACKAGES AND BENEFITS
PLATINUM C2,500
Sponsorship opportunities: Keynote speaker or
closing banquet sponsor
Recognition:
Two conference and banquet
registrations
Banner in meeting (sponsor provides banner)
One representative on banquet dais or introduction
of keynote speaker
Tabletop display area
Pre-conference emails and promotional messages
Conference Program
Tabletop Signage
Projected Logo/Image slate during break and
random times
Goo S1,500
Sponsorship opportunities: lunch co-sponsor or
banquet co-sponsor
Recognition:
One conference and banquet registration
Banner in meeting or lunch (sponsor provides
banner)
One representative on dais
Tabletop display area
Pre-conference emails and promotional messages
Conference Program
Tabletop Signage
Projected Logo/Image slate during break and
random times
4 v fr /,i
(ALL NIGIOLf /1 7
A )6?
To RESERVE N(0,IR
t-/ SPOIASORSiliP
v
' PA(KA6E
vVVV\
0,000
Sponsorship opportunities: continental breakfast
sponsor or lunch co-sponsor
Recognition:
Two banquet tickets
Tabletop display
One representative on lunch dais
Pre-conference emails and
promotional messages
Conference Program
Tabletop Signage
Projected Logo/Image slate during break and
random times
Bporizii
Sponsorship opportunities: Afternoon refreshment
breaks or continental breakfast co-sponsor
Recognition:
One banquet ticket
Pre-conference emails and
promotional messages
Conference Program
Tabletop Signage
Projected Logo/Image slate during break and
random times
(01'f BREAK 050
Sponsorship opportunities: morning coffee breaks
Recognition:
Pre-conference emails and promotional messages
Conference Program
Tabletop Signage
Projected Logo/Image slate during break
(0AMVNETY SPONSOR )
Recognition:
Pre-conference emails and promotional messages
Conference Program
SPONSORSHIP OPPORTUNITIES
We invite you to be a sponsor of the 2005 Southwest Alaska Economic Summit and SWAMC Annual
Membership Meeting. Sponsors receive recognition in any printed conference materials and are acknowledged on a
SWAMC Honor Roll Banner throughout the conference. Sponsorships are marketing opportunities to advertise
and build name recognition in Southwest Alaska communities. To reserve a sponsorship, call SWAMC at
(907) 562 -7380 or complete the information below and fax it to SWAMC at (907) 562 - 0438.
Yes, I would like to be a sponsor of the 2005 Southwest Alaska Economic Summit and SWAMC Annual
Membership Meeting (please check box):
❑ Platinum Partner
❑ Gold Partner
Silver Partner
❑ Bronze Partner
❑ Coffee Break
❑ Community Partner'
Name
Unlocking the Potential
Southwest Alaska Economic Summit &
2005 SWAMC Annual Membership Meeting
January 27 & 28, 2
$2,500 (keynote speaker or banquet)
$1,500 (lunch sponsor or banquet co- sponsor)
$1,000 (breakfast sponsor or lunch co- sponsor)
$500 (PM break sponsor or breakfast co- sponsor)
$250 (morning coffe break sponsor)
$50 '(for municipalities & tribal councils only)
Ma fj or je-r ome &J&
Community /Organization k LS /and &ryo U9JL�
Address• 7/0 MALL G{ /
y City: /10CfIa-.1? State:S_Zip • gge
Telephone (907) fah- 9210 Fax. (997) 5 6- 939) •
PAYMENT OPTIONS:
❑ Charge to Credit Card:
❑ Visa ❑ MasterCard ❑American Express
Account Number: Exp. Pate.
Name as it appears nn rarrl•
Signature
Check enclosed payable to:
outhwest Alaska Municipal Conference, 3300 Arctic Boulevard, Suite 203, Anchorage, AK 99503
If you have any questions, please to contact Aileen Hunter at (907) 562 - 7380.
Thank you!
KODIAK ISLAND BOROUGH
RESOLUTION NO. FY2006 -19
Introduced by: Mayor Selby
Requested by: Assembly
Introduced: 12/01/05
Amended: - 12/01/2005
Adopted: 12/01/2005
A RESOLUTION OF THE KODIAK ISLAND BOROUGH ASSEMBLY
REQUESTING NORTH PACIFIC FISHERY MANAGEMENT COUNCIL'S
CONSIDERATION OF COMMUNITY CONCERNS IN THE PENDING
GULF OF ALASKA RATIONALIZATION PROGRAM
WHEREAS, the harvesting and processing sectors of the Kodiak Island fishing community are
substantially involved in and substantially dependent upon the Gulf of Alaska groundfish fisheries; and
WHEREAS, Kodiak Island's economic and social health is inherently dependent on the communitys
sustained participation in all aspects of the Gulf groundfish fisheries; and
WHEREAS, the Kodiak Island Borough is dependent on groundfish through investments in shore
based processing facilities, support infrastructure, and catcher vessels as well as the economic base
of the value of fish; and
WHEREAS, the North Pacific Fishery Management Council has developed a suite of fishery allocation
altematives for the Gulf of Alaska groundfish fisheries, and is working toward adoption of a preferred
alternative for implementation; and
WHEREAS, allocating exclusive harvesting and /or processing privileges promotes consolidation in
the fishing fleet and the processing sector, which may improve efficiency, but also results in skippers,
crew members and processing workers bearing the costs of consolidation without fully sharing in the
related benefits; and
WHEREAS, fishery rationalization may create opportunities and incentives to produce more and
higher value products, it also changes the distribution of fishery revenues among participants by
altering the balance of market power between fishermen and processors, with potentially disruptive
effects on the communities in Mich they live; and
WHEREAS, by awarding harvesting and /or processing privileges, fishery allocations make possible
orderly harvesting and processing, but also facilitate migration of landings to communities with
infrastructure advantages (such as road system access) and create barriers to entry for later
generations of fishery participants; and
WHEREAS, it is essential that the potential adverse affects of Gulf groundfish rationalization be
identified and analyzed, and that program adjustments be made to mitigate the potential adverse
effects of Gulf groundfish rationalization on Kodiak Island and its residents prior to implementation;
and
WHEREAS, Kodiak is the largest fishing port in the Gulf of Alaska and has been one of the top four
fishing ports in the nation every year for more than 25 years;
NOW, THEREFORE, BE IT RESOLVED, BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH THAT the North Pacific Fishery Management Council (the "Council ") Is hereby requested
to take the following actions in connection with its development of a Gulf of Alaska groundfish
rationalization program:
Kodiak Island Borough Alaska Resolution No. FY2006 -19
Page 1 of 2
1. Complete the Council's review of the Bering Sea crab rationalization program to enable the public
to evaluate and comment on the impacts of crab rationalization and to enable the Council to make
appropriate adjustments to the Gulf rationalization program in response.
2. Thoroughly analyze each alternative being considered by the Council before eliminating any of the
alternatives, to provide the public with the opportunity to compare the effects of the various
alternatives on harvesters (including skippers and crew members), processors (including
workers), fishing support services, and Gulf fishing communities.
3. Include limits on harvesting consolidation through vessel use caps that apply without exemption,
and that are calculated to sustain skipper and crew employment opportunities and compensation.
4. Develop and bring forward for consideration an additional alternative which includes no processor
shares, linkages or privileges of any kind. For alternatives already being considered, include
measures to maintain a diverse, competitive processing market, by providing a substantial pool of
groundfish privileges for each sector that can be harvested without penalty and are not subject to
processor linkage or processor closed class delivery requirements. This should include phasing
out of the off shore processing sector.
5. If processing privileges are included, limit consolidation of such privileges through processor and
facility use caps.
6. Designate Federal harvesting privileges by region to reflect landing patterns similar to those
occurring prior to program adoption, and require that fish harvested under such privileges be
landed in their designated region.
7. Include a reasonable groundfish allocation which may be harvested and processed without
holding any Federal or State dedicated access privilege, subject to restrictions that the State of
Alaska may deem necessary to maintain the entry level character of such allocation.
8. Include a community fisheries quota program that provides an opportunity for small Gulf coastal
communities to enhance their residents' participation in the Gulf groundfish fishery, under the
conditions that the allocation to such program does not disrupt other Gulf of Alaska fishery
dependent communities by displacing their fishermen, is required to be harvested by residents of
the eligible communities, and requires that harvests made under such program be delivered on
shore within the region of their allocation.
9. Include a community purchase program that provides Gulf coastal communities with the
opportunity to maintain participation by their residents in the Gulf groundfish fishery by acquiring
harvesting privileges for use by their residents, under the conditions that the Kodiak Island
communities are eligible communities, and such program includes reasonable limits on the
amount of harvesting privileges that any single eligible community may hold.
ATT T:
t a. �?
Kodiak Island Borough Alaska
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS FIRST DAY OF DECEMBER 2005
Ju A. Nielsen, CMC, Bo gh Clerk
4QDIAK ISLAN%BORO H
J✓rfome M. Selby, Boroug
Resolution No. FY2006 -19
Page 2 of 2
ASF 1 E GUE
Alaska a Coi f i eiicre of A9mvrs
ALASKA MUNICIPAL LEAGUE
RESOLUTION #2006 -12
A RESOLUTION URGING THE STATE TO SHARE REVENUE WITH ALL ALASKAN
COMMUNITIES
WHEREAS, Alaska's great wealth is generated by the natural resources of regions, communities and
cities throughout the State; and
WHEREAS, it is in the interest of the State of Alaska to share a portion of this natural resource
wealth with communities of the State in order to enhance and continue the positive economic growth
throughout the Alaska; and
WHEREAS, the State of Alaska currently has over $32 billion in the Alaska Permanent Fund and a
budget surplus exceeding $1 billion in this fiscal year; and
WHEREAS, the State ceased to fund all revenue sharing programs in 2003; and
WHEREAS, the elimination of revenue sharing had a significant negative effect on the ability of Alaska's
cities and boroughs to provide essential service, with communities forced to reduce essential services
and /or increase local taxes, fees and economic hardship; and
WHEREAS, restoration of a revenue sharing program would provide communities with funding to
reduce local taxes, build infrastructure, grow the state economy, provide for increased quality of life
and in some cases, provide for the survival of small communities; and
NOW, THEREFORE BE IT RESOLVED that the Alaska Municipal League agrees with the following:
1. That the State of Alaska is urged to resume sharing revenue or a similar substitute program
with communities for fiscal year 2007 in the amount of no less than $75 million. Each
community will receive a minimum payment of $75,000. The balance, after payment of
the minimum, will be allocated on a per capita basis. Distribution in cases where one or
more communities lie within a borough would be allocated in proportion to the relative
population of each community, including the borough.
2. The Legislature and Governor, with collaboration from the Alaska Municipal League,
should develop a revenue sharing program that is sustainable and meets the goal of
sharing the revenue of the State. Examples of programs they could consider are:
a. "$1 per barrel program." Under this plan, $1 per barrel in revenues from annual
oil production would be distributed through a revenue sharing program;
b. "An Endowment Program." Under this program, a portion of state revenues
would be set aside in an endowment with the annual proceeds used for a revenue
sharing program.
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