Loading...
2005-12-08 Work SessionCITIZENS' COMMENTS (limited to three minutes per speaker) ITEMS FOR DISCUSSION 1 -�e�Nfl PACKET REVIEW ASSEMBLY WORK SESSION December 8, 2005 — 7:30 p.m. Borough Conference Room nmg Commission ca 2. 2006 -2009 Statewide Transportation Improvement Program,(STIP) — (attachment 1) 3. DEC Notice of Violation at the Landfill — (attachment 2) 1/ 4. Borough -Wide Comprehensive Plan Task Force — (attachment 3) / 5. Fish Issues Work Group V 4 01 1 ‘\ . M1 W1 6. CEPRA Economic Development Project for the Kodiak Region — (attachment 4) 7. Draft Legislative Discussion List — (attachment 5) 8. Investment Ordinance/Facilities Fund (will be f matted and e- mailed by 1:00 p.m. 12/7/2005) 9. Borough Manager's Evaluation Process Ordinance No. FY2006 -01A Amending Ordinance No. FY2006 -01 Fiscal Year 2006 Budget by Moving Funds Between Various General Fund Departments, Amending Budget to Actual Expenditures for Property Insurance on School Buildings and Budgeting for Several Grants. Contract No. FY2006 -28 Design and Construction Services for the New Pool Facility. Resolution No. FY2006 -21 Certifying the FY'06 Shared Fisheries Business Tax Program Application to be True and Correct. Resolution No. FY2006 -22 Adopting the Kodiak Island Borough Strategic Plan for the Years 2006 -2010. Waiving the Claimant's Failure to Make Timely Application for Exemption and Authorizing the Assessor to Accept the MANAGER'S COMMENTS CLERK'S COMMENTS MAYOR'S COMMENTS ASSEMBLYMEMBER COMMENTS ON LEAVE Branson - December 9 -15; January 2 -8 Nielsen — December 21 - January 3 Gifford — December 24- Januay 9 Williams — January 3 -31 Application as if Timely Filed for Senior Citizen's Tax Exemption for 2003, 2004, and 2005. (Lois Stover) Personnel Advisory Board Vacancy. Confirmation of Mayoral Appointments of Assembly Representatives to Boards and Committees. Confirmation of Mayoral Appointments to the Arts Council Advisory Committee. Confirmation of Mayoral Appointments to the Planning and Zoning Commission. Recommendation for Appointment to Board Seats on the Providence Health System Kodiak Island Service Area Community Board. 8 12:00 pm Emergency Services Council — CR 7:30 pm Assembly Work Session — CR Cancelled City Council Regular Meeting 12 7:00 pm School Board Regular Meeting — AC 13 7:00 pm Parks and Recreation Committee Meeting — CR 7:30 pm City Council Work Session — SD /CR 14 11:00 am MB Mayors Conference - CR 7:30 pm Planning and Zoning Commission Work Session — CR 15 7:30 pm Assembly Regular Meeting — AC 20 Cancelled City Council Work Session 21 7:30 pm Planning and Zoning Commission Regular Meeting - AC 22 Cancelled City Council Regular Meeting 26 Holiday Borough Offices Closed for Christmas Holiday 27 7:00 pm Parks and Recreation Committee Meeting — CR 29 7:30 pm Assembly Work Session — CR 2 5:30 p.m. 5 1:30p.m. 5 7:30 p.m. 9 7:00 p.m. 10 7:00 p.m. 11 7:30 p.m. 18 7:30 p.m. 19 7:30 p.m. 23 7:00 p.m. 24 7:00 p.m. 26 7:30 p.m. 7:30 p.m. CALENDAR December 2005 January 2006 Gravel Task Force Meeting — CR Local Emergency Planning Committee Meeting - AC Assembly Regular Meeting — AC School Board Work Session — SD /CR Parks and Recreation Committee Meeting — CR Planning and Zoning Commission Work Session — CR Planning and Zoning Commission Regular Meeting — AC Assembly Regular Meeting — AC School District Regular Meeting — AC Parks and Recreation Committee Meeting — CR Assembly Work Session — CR City Council Regular Meeting — AC Please print your name 1. 9ar.A./ / ,d 5 2. if • Oral et Nor KODIAK ISLAND BOROUGH WORK SESSION MEETING Work Session Meeting of: �- 6_ ;Loos KODIAKISLAND BOROUGH Engineering & Facilities Department MEMORANDUM DATE: December 3, 2005 TO: Borough Assembly THRU: Rick Gifford, or gh Manager AD FROM: Bud Cassidytor of Engineering and Facilities RE: 2006 -2009 Statewide Transportation Improvement Program (STIP) L INTRODUCTION STIP is a program that provides funding to improve roads, intersections, traffic flow and other transportation oriented projects. There is an annual review of the STIP with this year's review deadline on December 31, 2005. For more information on the State's STIP process, visit the DOT web site at http: / /www.dot.state.ak.us. STIP is defined as a "staged, multi year, statewide, intermodal program of surface transportation projects which is governed by the surface transportation regulations and funded primarily with the surface transportation program funds ". STIP projects are reviewed and rated by the Alaska Department of Transportation (ADOT) and approved by the Federal Transit Administration and the Federal Highway Administration. The STIP program is required by Federal law and is funded through the Federal Transportation Bill. Based on ADOT evaluation criteria projects are nominated by the localities and scored by the State of Alaska Department of Transportation and only those projects that receive the highest score are included in the STIP. These projects are then scheduled for construction and funding sources are identified. Some projects like Otmeloi Road (funded to the tune of $3.3 million) are "Earmarks" identified by Congress and do not have to go through the STIP rating process, however they are included on the STIP list. Projects that are funded require a local match. That match varies depending on the project and can require anywhere from a 7 -20% local match. II. KODIAK PROJECTS The following Kodiak projects are listed in the 2006 -2009 STIP: • New Kodiak Marine Terminal • Rezanof "Y" Intersection • Port Lions Road Safety Improvements and Resurfacing • Chiniak "Switchback" Mile 23.7 Improvements (�2 • Chiniak Road Rehabilitation • Otmeloi Road • Pasagshak Road Realignment/Upgrade • Rezanof Drive Rehabilitation III. PROJECTS NOT INCLUDED IN THE STIP Some projects are not listed and KIB staff has contacted ADOT to determine why they were not included in the STIP. Our letter to the State will ask that these unlisted projects be included. The unlisted projects are: • Kodiak Roads — North Star bike trails - $1,429,043 • Rezanof Intersection (with Mill Bay Road) Rehabilitation, Lighting and Intersection Safety Improvements - $1,000,000. • CIP projects — Anton Larsen Bay Road to Ice Free Water Because the STIP is only a draft document, these projects may have inadvertently been left off and there are other things in this draft document that need attention. Some of the projects listed have the wrong vicinity maps or the project has been partially completed. IV. OTHER PROJECTS PREVIOUSLY PROPOSED AND NOT ON STIP There have been other projects nominated by KIB staff for the STIP. Many of the projects are Borough road paving projects or intersection work and studies. Though nominated, these projects did not make STIP. There are a few potential projects that should be considered for nomination, most of which have to do with traffic flow. These include: • Make portions of Rezanof Drive a three lane road similar to Mill Bay Road • Create turning lanes at certain intersections (Sharatin, both ends of Woody Way, Cutoff Road, etc) • Create School bus turn-outs along Rezanof Drive • More street lights along State roads V. CONCLUSION The State's review criteria determines which projects are funded through the STIP. This includes state owned and locally owned roads. The state has done a good job of improving the roads that they own. These include the majority of Chiniak Highway, all of Monashka Bay Road to White Sands beach, Anton Larsen Bay Road as far as the golf course and improvements to Pasagshak Road This process also allows local governments to convey their surface transportation priorities. These priorities can center on issues such as road conditions (need for paving or for repair), safety features, traffic flow and intersection type issues. Staff will be talking to ADOT staff and drafting a letter to the State with our comments on the "Draft" STIP has identified above. Mr. Gifford: TV /lm ■ DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES Rick Gifford, Borough Manager Kodiak Island Borough 710 Mill Bay Road Kodiak AK 99615 RE: Otmeloi Way Rehabilitation REGIONAL DIRECTOR - CENTRAL REGION November 16, 2005 Sincerely ordon C. Keith, P.E. Regional Director cc: Bud Cassidy, Borough Engineering & Facilities, Kodiak Island Borough FRANK H. MURKOWSKI, GOVERNOR 4111 AVIATION AVENUE P.O. BOX 196900 ANCHORAGE, ALASKA 99519 -6900 (907) 269 -0770 (FAX 248 -1573) (TTY 269 -0473) The Department received a $3.3 million general fund appropriation for Otmeloi Way Rehabilitation in the 2006 capital budget. We want to know whether the Kodiak Island Borough is interested in taking over ownership of the road and developing the project. Otmeloi Way, currently a state owned and maintained facility, primarily serves local residents and accesses an elementary school. We propose that the ownership of Otmeloi Way be transferred to the Kodiak Island Borough, along with the $3.3 million in general funds, for the design and construction of the project. This would enable the Borough maximum flexibility in developing the project to meet the community's needs and desires. If the Borough prefers the Department manage the design and construction, we would do so under an agreement with the Borough to accept ownership and maintenance of the road upon the project completion. The agreement would further require the Borough be responsible for any costs that exceed the general fund appropriation. The Department's project manager is Judy Dougherty. She can be reached at 269 -0566 or by e:mail at Judy Dougherty @dot.state.ak.us. We look forward to hearing from you in the near future. I ECEIVE NOV 2 1 KIB MANAGER DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Marine Highways Place Name: KODIAK Title: MARINE HIGHWAY Terminal: Kodiak Construct New Terminal Project Description: Build a new ferry terminal at Kodiak. PHASE FUNDING FFY06 FFY07 FFY08 FFY09 After FFY09 All amounts x1,000 dollars Design HPRL Design SM Right of Way HPRL Right of Way SM Construction HPRL Construction SM Totals: Program Type: FERR Primary Work: Ferry Boats Secondary Work: Special Financial: Earmark Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year Average AADT: Pavement Rating: N/A IIIIMUND it RYA mica, Isla a 181.9 181.9 0 0 18.1 18.1 0 0 O 91.0 0 0 0 9.0 0 0 O 0 4,645.1 1,275.0 O 0 461.1 126.6 200.0 300.0 5,106.2 1,401.6 1,402.0 Sponsor: DOT &PF Predominant Functional Class: Unclassified Arab ryTVaaw c tk —.a„+1 Project Need ID: Election District(s): 2045 36 PEB Score: Criteria: Borough/Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MPO): non -MPO 5 December 2005 p. 1 DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Central Place Name: KODIAK Title: Rezanof 'Y' Intersection Project Description: Rehabilitation of the intersection of Rezanof Drive West, Central Avenue and Lower Mill Bay Road. The intersection will be signalized. PHASE Right of Way Right of Way Construction Construction Utilities Utilities FUNDING GF3P STP GF3P STP GF3P STP Totals: 108.4 1,091.6 0 0 0 0 1,200.0 Program Type: CTP Primary Work: Reconstruction Secondary Work: Special Financial: Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year 02/12/1988 03/19/1990 Average AADT: 4105.88 Pavement Rating: Good FFY06 FFY07 FFY08 FFY09 After FFY09 All amounts x1,000 dollars 0 0 0 0 0 0 0 0 252.8 2,547.2 42.2 454.9 0.0 3,297.0 Project Need ID: Election District(s): 2440 36 PEB Score: Criteria: 999 Rural and Urban Borough/Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MP)): non -MPO Sponsor: DOT &PF Predominant Functional Class: Urban Minor Arterial 0 0 0 0 0 0 0.0 5 December 2005 p 2 0.0 ST1,3 DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Central Place Name: PORT LIONS Title: State Road Safety Improvements and Resurfacing Project Description: Rehabilitate CDS Route 069050 from MP 0.00 to MP 4.19. Use 6" aggregate base course over entire 20' width. Install warning signs. Install an estimated 40 guardrail runs with a total quantity of approximately 3580 linear feet. PHASE Design Design SM STP Totals: Program Type: CTP Primary Work: Reconstruction Secondary Work: Special Financial: Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year Average AADT: 220 Pavement Rating: N/A FUNDING 0 0 0 0.0 0 0.0 FFY06 FFY07 FFY08 FFY09 After FFY09 All amounts x1,000 dollars 0.0 0 11.9 0 120.1 Project Need ID: Election District(s): 9547 36 PEB Score: Criteria: 120.8 Remote Borough/Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MPO): non -MPO Sponsor: City of Port Lions Predominant Functional Class: Rural Major Collector 132.0 5 December 2005 P. 3 945.0 DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Central Place Name: Title: Chiniak Road MP 23.7 Improvements Project Description: Realign and pave approximately 4,000 ft of Chiniak Road to eliminate existing switchback curve at mile 23.7. Work would include grading, drainage, signing, and striping. Acquire ROW and adjust utilities as necessary. PHASE FUNDING FFY06 FFY07 FFY08 FFY09 After FFY09 Design SM Design STP Right of Way SM Right of Way STP Construction SM Construction STP Utilities SM Utilities STP Totals: Program Type: AHS Primary Work: Reconstruction Secondary Work: Special Financial: Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year Average AADT: 170 Pavement Rating: N/A - Chnaak Hi im av NIP 13T All amounts x1,000 dollars 0 27.1 27.1 0 O 272.9 272.9 0 0 0 22.6 0 O 0 227.4 0 0 0 0 451.5 O 0 0 4,548.5 O 0 0 22.6 O 0 0 227.4 0.0 300.0 550.0 5,250.0 5,250.0 Sponsor: DOT /PF Predominant Functional Class: Unclassified Project Need ID: Election District(s): 18646 36 PEB Score: Criteria: Borough/Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MPO): non -MPO 5 December 2005 p 4 STIP DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Central Place Name: Title: Chiniak Road Rehabilitation Project Description: Rehabilitate Rezanof West Road from the Coast Guard Station Access Road to the end of Cape Chiniak Road to include erosion repair, drainage surfacing and limited geometric improvements. PHASE FUNDING Design SM Design STP Right of Way SM Right of Way STP Totals: 0 40.6 O 409.4 0 0 O 0 Program Type: AHS Primary Work: Secondary Work: Special Financial: Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year Average AADT: Pavement Rating: N/A FFY06 FFY07 FFY08 FFY09 After FFY09 All amounts x1,000 dollars O 0 O 0 O 27.1 O 272.9 0.0 450.0 0.0 300.0 11,800.0 Sponsor: DOT &PF Predominant Functional Class: Unclassified Project Need ID: Election District(s): 2427 36 PEB Score: Criteria: Borough/Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MPO): non -MPO 5 December 2005 P . 5 .STIP DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Central Place Name: Tftfe: Otmeloi Way Project Description: Reconstruct approximately one mile of Otmeloi Way. The work will include grading, drainage and paving. One minor area of realignment will be required and a separated pathway will be constructed to enhance pedestrian safety adjacent to an elementary school. PHASE FUNDING FFY06 FFY07 FFY08 FFY09 After FFY09 All amounts x1,000 dollars Design OSF Right of Way OSF Construction OSF 0 Totals: Program Type: CTP Primary Work: Reconstruction Secondary Work: Safety Special Financial: Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year Average AADT: 466.57 Pavement Rating: Poor 200.0 0 0 0 300.0 0 0 0 2,800.0 200.0 300.0 2,800.0 Sponsor: DOT &PF Predominant Functional Class: Rural Local Road Oita BayR 0 0 0 0.0 3,300.0 Project Need ID: Election District(s): 2436 36 PEB Score: Criteria: 95 Rural and Urban Borough /Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MPO): non -MPO 5 December 2005 p. 6 DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Central Place Name: Title: Pasagshak Road Realignment/Upgrade Project Description: Scope of work includes widening, erosion repair, drainage, culvert installation and replacement, limited geometric improvements, clearing and grubbing and paving. PHASE FUNDING FFY06 FFY07 FFY08 FFY09 After FFY09 All amounts x1,000 dollars Design SM Design STP Right of Way SM Right of Way STP Totals: 0 0 0 0 Program Type: AHS Primary Work: Secondary Work: Special Financial: Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year Average AADT: Pavement Rating: N/A Sponsor: KIB Predominant Functional Class: Unclassified 5 December 2005 0 0 0 0 0 31.6 0 318.4 0 4.5 0 45.5 0.0 0.0 0.0 400.0 25,414.0 Project Need ID: Election District(s): 13521 36 PEB Score: Criteria: Borough/Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MPO): non -MPO P. 7 $T riS DRAFT 2006 - 2008 Alaska Statewide Transportation Improvement Program Region: Central Place Name: Title: Rezanof Drive Rehabilitation Project Description: Rehabilitate two separate sections of Rezanof Drive: Monashka Bay section From MP 3.3 from Mills Bay Road to end of pavement: Womens Bay section from 2.7 miles from Coast Guard Station to end of pavement. Project will include upgrade and safety improvements of two bridges in this section. PHASE Design Design FUNDING FFY06 SM STP Totals: Average AADT: 3560 Pavement Rating: Good 0 0 0.0 Program Type: CTP Primary Work: Reconstruction Secondary Work: Special Financial: Project Status Design Start: Environmental Clearance: Construction Funded: Right of Way Certified: Year FFY07 FFY08 FFY09 After FFY09 All amounts x1,000 dollars 0 0 0.0 9.0 0 91.0 100.0 0 0.0 7,602.0 Project Need ID: Election District(s): 9580 36 PEB Score: Criteria: 116.2 Rural and Urban Borough/Census Area: KODIAK ISLAND BOROUGH Municipal Planning Organization (MPO): non -MPO Sponsor: KIB Predominant Functional Class: Urban Minor Arterial 5 December 2005 P. 8 s rtP KODIAK ISLAND BOROUGH Engineering & Facilities 7I0 Mill Bay Road Kodiak, AK 99615 (907) 486-9348 (p) (907) 486 -9394 (t) tmitchell@kib.co.kodiak.ak.us MEMORANDUM DATE: December 5, 2005 TO: Bud Cassidy, Director of Engineering and Facilities FROM: Tracy L. Mitchell, Environmental Specialist -0 RE: Alaska Department of Environmental Conservation Notice of Violation Issued November 22, 2005 You have asked for a memo which will provide the history behind the baler wastewater issue and the subsequent issuance of the Notice of Violation (NOV) by the Alaska Department of Environmental Conservation (ADEC) on November 22, 2005. The violation was issued primarily due to the baler wastewater not being properly managed. The proper management of the baler wastewater has been an ongoing concern and activity for the EF Department since I began in the fall of 2002. NOV 1. The ADEC inspection was conducted during which there was some conversation about what happens to our baler building wastewater. It should be noted that this issue had never been brought up by ADEC before this inspection and it is likely that the conversations that CH2M Hill had with ADEC just prior to the inspection had something to do with it being brought up this time. (The EF Department asked CH2M Hill to bring up the possibility of placing the wastewater and semi- solid/floatables onto the balefill working face with ADEC. These initial conversations were met with some positive feedback from ADEC - see email dated June, 28, 2005). 2. Shortly after the ADEC inspection the EF Department sent a letter to ADEC requesting a variance for the wastewater and semi - solid/floatables to be placed back into the working face of the landfill (see letter dated September 2, 2005). It was hoped by the EF Department that this would represent to ADEC a proactive approach to the problem by the Borough. 3. ADEC denied this variance request and it was reiterated in their letter that an NOV would still be issued if they did not receive a plan to legally dispose of this wastewater (see letter dated September 9, 2005). HISTORY 1. Design had been done on a wastewater treatment building which was part of the 1997/1998 Close -out and Vertical Expansion loan. For some reason this was not constructed during the rest of the work. 2. During the design process there were discussions with the City and their acceptance policies regarding the wastewater. As early as 1997 there was a memorandum developed by CH2M ( ` Hill which indicated that the only water sampling parameter which exceeded the City's requirements came from the used oil decant water. This decant water is no longer a constituent of the baler building wastewater due to a change in landfill operations. The City's acceptance of the wastewater has always been a component of the disposal-of-the wastewater up to and including the work for the landfill closeout, vertical expansion and leachate treatment work. 3. After some initial starts and stops with the City regarding the wastewater disposal a meeting with the City Public Works and the EF Department was conducted in order to hash out what the City required. This meeting was followed up with a letter from them detailing the City's requirements (dated July 6, 2004). 4. Based on these discussions and the letter from the City detailing their requirements a Wastewater Treatability Plan was developed by CH2M Hill. When this was presented to the City it still did not meet their requirements even though it was based on their letter (see email dated May 9, 2005). Also, work was contracted with CH2M Hill because this consultant group has also provided services to the City regarding their wastewater treatment plant and it was thought that this would help reduce communication breakdowns. CONCLUSION As you can see by the brief synopsis detailed above the baler wastewater issue has been worked on for some time. Currently a response letter has been sent to ADEC regarding this issue with a very broad plan for resolution (see letter dated November 29, 2005). However, it is not likely to meet with ADEC's approval to close the NOV. Contact has also been re- established with the Water Division of ADEC in which we have been required to submit a wastewater permit application. This is the first time that this has been brought to our attention. It is expected that the EF Department will have to continue to deal with this issue for some time to come unless there is greater flexibility provided to the Borough from either the City or ADEC. It is not clear why, after receiving the highest landfill inspection score ever, that the landfill received an NOV. The only reason that I can think of is that the wastewater issue was brought to ADEC's attention prior to the inspection. In the past it was ADEC's policy to try and work with a facility to resolve issues — that an issuance of an NOV was a last resort. The NOV that was received in August 2004 was, as I understand it, based on issues that had been repeatedly brought up by the Department during inspections in which there had been no resolution. The baler wastewater had never before been identified in an ADEC inspection nor has there been a cooperative approach with the Borough to resolve it. DEPARTMENT OF ENVIRONMENTAL CONSERVATION STATE OF ALASKA To: Ms. Gabrielle LeDoux Mayor Kodiak Island Borough 710 Mill Bay Road Kodiak, AK 99615 Enforcement Tracking No.: 05- 0968 -40 -4973 And: Mr. Bud Cassidy Engineering & Facilities Director Kodiak Island Borough 710 Mill Bay Road Kodiak, AK 99615 File No.: Kodiak Island Borough SW Permit # 1925 -BA008 To address the violation(s) described above, ADEC requires you to do the following: NOTICE OF VIOLATION 1. Failure to comply with the terms and conditions of solid waste disposal permit (Alaska Statute (AS) 46.03.110(d), 18 Alaska Administrative Code (AAC) 15.0900) and 18 AAC 60.200(a)) 2. Failure to meet the terms and conditions of the water monitoring plan (18 AAC 60.830) 3. Failure to meet the deadlines to submit information as stated in the August 29, 2005 inspection report The Alaska Department of Environmental Conservation (ADEC) alleges that Kodiak Island Borough (KIB) owns and unlawfully operates the Class I KIB Municipal Landfill out of compliance with Alaska statutes and regulations. Such actions are in violation of AS 46.03.110(d), 18 AAC 15.090(1), 18 AAC 60.200(a), 18 AAC 60.830 and Permit #1925- BA008. By November 1, 2005, KIB was to submit to ADEC surface and groundwater monitoring reports complete with statistical analysis in accordance with the KIB landfill inspection letter stipulations dated August 29, 2005. Although the report arrived on November 3, 2005, ADEC received no prior notification that the report would be late. This item is considered closed. By November 1, 2005, KIB was to submit a plan to ADEC for managing the solid waste baler building squeezings and wash down water in accordance with the landfill inspection letter stipulations dated August 29, 2005 and the September 9, 2005 request for variance denial letter. ADEC has received no plan for these activities. This item remains open. File Number: Kodiak Island Borough No. 1925 -BA008 Page 2 Penalties for violation of state statutes and regulations can be serious. In a civil action, a person who violates or causes or permits to be violated a provision of this regulation may be liable to the State for substantial monetary damages under AS 46.03.760. Depending on the nature of the violation, you may also be liable for administrative penalties under AS 46.03.761 or for other kinds of damages or penalties under other statutes. In a criminal violation, a person who acts with criminal negligence may be guilty of a Class A misdemeanor. AS46.03.790. Upon conviction, a defendant who is not an organization may be sentenced to pay a fine not exceeding $5000 and /or sentenced to a definite term of imprisonment of not more than one year. Upon conviction, a defendant that is an organization may be sentenced to pay a fine not exceeding the greater of $200,000 or an amount which is two times the pecuniary damage or loss caused by the defendant to another or property of another. AS 12.55.035. Each day of violation may be considered a separate violation. Alaska laws allow the State to pursue both civil and criminal actions concurrently. Nothing in this Notice shall be construed as a waiver of the State's authority or as an agreement on the part of the State to forego judicial or administrative enforcement of the above - described violation(s) or to seek recovery of damages, cost and penalties as prescribed by law. In addition, nothing herein shall be construed as a waiver of enforcement for past, present, or future violations not specifically set forth herein. 1. No later than December 22, 2005, submit a plan which specifically addresses how you propose to legally dispose of the liquids generated by your baling operations. 2. For each future surface and groundwater monitoring event, KIB must perform water monitoring in accordance with regulations and submit a complete monitoring report that, at a minimum, includes the information listed in the ADEC November 29, 2004 letter and subsequent letters of instruction. KIB shall furnish water sampling data and analyses to the ADEC office in Anchorage. Leslie F. Simmons Solid Waste Program Coordinator cc: Environmental Crimes Unit Sent by Certified ❑ Personally Served # 7001 2510 0002 7773 2561 (Ms. LeDoux) # 7001 2510 0002 7773 2554 (Mr. Cassidy) on the 21" day of November of 2005 Tracy L. Mitchell From: Cory.Hinds @CH2M.com Sent: Tuesday, June 28, 2005 3:21 PM To: Tracy L. Mitchell Cc: Cory.Hinds @CH2M.com Subject: ADEC communication - Baler wastewater Tracy, Leslie was out today so I talked to Kim Stricklan about treating the squeezings in the constructed wetland, via discharge directly to the toe drain. I know Kim personally so this was a comfortable discussion. I outlined the volume we are talking about and used the argument that if the trash was not baled, the wastewater would remain in the trash and would be placed directly into the landfill, with the leachate eventually making its way into the toe drain and wetlands anyway. I outlined the trouble that KIB is having with the City of Kodiak and the City's demand to see a "year's worth of data" before accepting it. Furthermore, I mentioned the positive work that has recently been done to fix the wetland treatment system. Kim was sympathetic and said that this approach "sounds reasonable" but she would want KIB to check the loading capacity on the constructed wetlands. Not a big deal request. I recommend that KIB officially approach ADEC with this request. We can then get the official reply from ADEC on what analysis they want to see. We have sufficient budget in the Wastewater project to generate the analysis on wetland loading capacity that Kim wants to see. Also, a heads up: Kim mentioned that you will be having an inspection in August. I recommend that you have the wetland treatment system looking good. Bob Blankenburg will likely be the inspector. Cory L. Hinds, P.E. 1 CH2MHILL Anchorage Office' (907) 646 -0348 direct phone 1 (907) 257 -2000 fax 1 chinds@ch2m.com 12/5/2005 September 2, 2005 Leslie Simmons Solid Waste Program Coordinator Southcentral and Western Alaska Region Alaska Department of Environmental Conservation Division of Environmental Health Solid Waste Program 555 Cordova Street Anchorage, AK 99615 Dear Ms. Simmons: Kodiak Island Borough Engineering /Facilities Department 710 Mill Bay Road Kodiak, Alaska 99615 Phone (907) 486 -9343 Fax (907) 486 -9394 bcassidy @ kib.co.kodiakak.us Please consider the Kodiak Island Borough's request for a variance to the regulation 18 AAC 60.360, Liquids Restrictions. This variance would allow the Borough to place the baler squeezings and tipping floor wash down water within the landfill. The following is information for the Department's review of this request. The recent improvements at the landfill (partial closure, wetland treatment system, toe drain etc.) included the design concept of a building to treat three types of wastewater generated from the baler building at the landfill: 1) septage; 2) solid waste squeezings and baler building wash down wastewater and; 3) used oil tank decant wastewater. Originally this treated water was to be taken to the City of Kodiak's Wastewater Treatment Facility (WWTF) for final discharge. (Please note: there are two, separate forms of government on the road system in Kodiak. Some facilities are managed by the City for the community; other facilities are managed by the Borough.) Operations have changed at the landfill and the used oil decant water is now processed through an oillwater separator housed in a blue poly -drum barrels. This water has had all petroleum products removed and is released onto the tipping floor of the baler building. Therefore, the used oil tank decant water is no longer a component of the wastewater being generated on -site. Also, it is proposed that a holding tank will be installed that will collect the septage from the sanitary facilities in the baler building and, when it is full, will be pumped out and taken to the City's wastewater treatment plant. This leaves only the solid waste squeezings and the baler tipping floor wash down water. When the building design was revisited it was determined there were design flaws significant enough for the Borough to re- evaluate the options for managing this water in the most cost effective and efficient manner. Given the change in landfill operations the Borough, with input from CH2M Hill, considered the possibility that the City's WWTF would accept the wastewater untreated. The City was contacted to determine what they would require in order for them to do so. After consultations with the City regarding procedures and processes, a Wastewater Treatability Plan was developed based on the City's guidelines. Page 1 of 2 The City reviewed the plan and determined it was not sufficient and further requirements and conditions were imposed which, in the long term are likely to be quite costly for the Borough. Therefore, other options, detailed below, are being considered. The Borough's first choice for disposal of the wastewater is for the semi -solid portion to be placed within the waste at the working face, well away from any slopes (the semi -solid portion is defined as the floatable /settleable solids). The liquid portion would be plumbed to the toe drain extension expected to be constructed this fall. The second choice would be to discharge both the semi -solid and liquid portions of the wastewater into the toe drain extension. We prefer the first option due to: 1) the possible loading issues into the wetland treatment system; 2) no opportunity for any biological activity and; 3) the potential to create maintenance issues in the toe drain. The third choice would be to try and obtain approval from the City to dispose of the water at the WWTF. We have been communicating with the City and they have indicated that a year's worth of water quality data will be required before their consideration of this option. If the City agrees then the costs associated with this option will include laboratory water testing, shipping, contracting with a pump tank vendor and an as yet undetermined cost to dispose of the water at the WWTF. In addition, the City has great concerns about where to dispose of the wastewater given the possibility of citizen complaints about odor and; keeping the WWTF "bugs" functioning, among other valid concerns. It is reasonable to state that if the trash were not baled, the wastewater would remain in the trash and would be placed directly into the landfill, with the leachate eventually making its way into the toe drain and wetlands anyway. And, by placing the semi -solid portion of the wastewater within the solid waste it allows for some measure of biological treatment prior to being captured as leachate by the toe drain system for ultimate discharge into the leachate treatment wetland system which has recently been repaired and is functioning properly. By the way, the Borough is currently updating the Storm Water Pollution Prevention Plan (SWPPP) to submit with the Notice of Intent in order to re- establish the Multi- Sector General NPDES permit as well as the individual NPDES permit that has been identified as being required for the wetland treatment system. Unfortunately the Borough has invested over $40K into the wastewater issue without being much further along in its resolution. We want to manage this water correctly and we look forward to any guidance and/or consideration the Department may be able to provide to the Borough. Sincerely, 4 aL �G�,ax Bud Cassidy Director, Engineering & Facilities cc: Rick Gifford, Borough Manager Deric Marcorelle, ADEC, Soldotna Page 2 of 2 DEPT. OF ENVIRONMENTAL CONSERVATION DIVISION OF ENVIRONMENTAL HEALTH SOLID WASTE PROGRAM Mr. Bud Cassidy Facilities Director Kodiak Island Borough Engineering/Facilities Department 710 Mill Bay Road Kodiak, AK 99615 September 9, 2005 Re: Kodiak Island Borough Request for Variance from 18 AAC 60.360 Dear Mr. Cassidy: FRANK H. MURKOWSKI, GOVERNOR 555 Cordova Street Anchorage, Alaska 99501 PHONE: (907) 269 -7590 FAX: (907) 269 -7600 http://www.state.ak.usidedindex.htm Certified Mail # 7002 0510 0003 4245 0043 Return Receipt Requested We received your letter, dated September 2, 2005, in which you request a variance from the liquids restriction of Title 18, Chapter 60, Section 360 of the Alaska Administrative Code (18 AAC 60.360). The letter discusses the request for variance, water management changes in the baler building, issues related to disposal of the water at the City of Kodiak's Wastewater Treatment Facility (WWTF), and lists three options identified by Kodiak Island Borough (KIB) for disposal of solid waste squeezing water and baler building wash down water. The Alaska Department of Environmental Conservation (ADEC) Solid Waste Program cannot grant a variance of the Liquids Restriction. ADEC's liquids restriction regulation, 18 AAC 60.360, is virtually identical to the Federal liquids restriction, which is listed in Title 40, Chapter 258, Section 28 of the Code of Federal Regulations (40 CFR 258.28). 40 CFR 258.28 has no provisions for approved states to approve a variance from the liquids restriction. The new Research, Demonstration, and Development (RD &D) rule listed in 40 CFR 258.4 gives states some flexibility to grant a variance of the liquids restriction for approved RD &D projects; however, Kodiak's landfill would not be eligible, because it does not have an approved liner system with leachate collection. We have reviewed the options you posed in the September 2, 2005 letter and have the following comments: Option 1 would be acceptable for management of the semi -solid portion of the wastewater only if KIB can dewater the solids such that they do not meet the definition of liquid waste, as it is defined in 18 AAC 60.990(72). The ADEC Solid Waste Program does not have the authority to authorize discharge of the liquid portion of the waste stream into the toe drain. For Option 2, we concur with you that this is not a good option, and we oppose this. Disposal of solids into this drainage system is likely to cause the system to malfunction in the future. Again, we have no authority to authorize liquid discharge. For Option 3, we support your efforts to gain approval to dispose of the liquid at the City of Kodiak's WWTF. Other landfills dispose leachate at wastewater treatment facilities; however, we do understand the potential for leachate to adversely affect the facility. We do not believe that you have explored all options for legal disposal of this waste stream. ADEC's Industrial/Non- domestic Wastewater Section may be able to authorize discharge of the liquid into the toe drain, discharge of treated liquid on the ground, evaporation of liquid, or other options. We suggest that you contact Mr. Bud Cassidy KIB Request for Variance September 9, 2005 Page 2 of 2 Alan Kukla at (907) 269 -7523 to explore disposal options and inquire about what ADEC's Industrial/Non- domestic Wastewater Section requires for wastewater disposal authorization. We appreciate your inquiry; however, we still require that KIB submit a plan for managing the solid waste squeezing water and baler building wash down water. Based on the date that you signed for receiving our August 29, 2005 inspection report, the due date for the plan is November 1, 2005. Please contact Deric Marcorelle at (907) 262 -5210 (x249), or me at (907) 269 -7590, or by e -mail at leslie_simmons @dec.state.ak.us with any questions. Sincerely, Cc: Deric Marcorelle, ADEC Solid Waste, Soldotna Sharmon Stambaugh, Alan Kukla, ADEC Water, Anchorage Leslie F. Simmons Solid Waste Program Coordinator Southcentral and Western Alaska July 6, 2004 Kodiak Island Borough 710 Mill Bay Road Kodiak, Alaska 99615 Attention: Ms. Tracy L. Mitchell Subject: Kodiak Landfill Special Discharge Permit Application Dear Ms. Mitchell: CITY OF KODIAK 2410 Mill Bay Road, KODIAK, ALASKA 99615 Public Works Department 907- 486 -8060 Voice 907 - 486 -8066 Fax ja 09 2 Vt ENGJFAC KODIAK iS AM0 SCR The purpose of this letter is to outline the City's requirements for discharging liquids derived from the bailer facility into the City's sanitary sewer system. In general, discharges into the sanitary sewer system are addressed in the Kodiak City Code, Chapter 13.16. Clearly, your landfill wastestream contains, or has the potential to contain, substances which can damage City's wastewater treatment processes. It has also been our experience that your liquid wastes have an offensive odor and public sensitivities must be taken into account when considering introduction of any such wastes into our sanitary sewer system. The following sections of this letter outline our understanding of your plans, Kodiak City Code (KCC) and our recommendations. Background You provided us with a draft copy of a technical memorandum titled, Kodiak Island Borough Landfill, Baler Facility Washdown Disposal, by CH2M Hill dated November 24, 2003. You also provided us with a "very rough sketch" prepared by CH2M Hill dated April 8, 2004 showing a trial for hauling waste to the City's Mill Bay lift station. We understand that based on a 1997 study you would like to discharge about 2,000 to 3,000 gallons per week into the City's sanitary sewer system. We concur that introducing your washdown wastes into the City's sanitary sewer system may be a feasible method of disposal. However, more study is necessary before the City can agree to routinely accept these wastes. We understand you are about to enter into a capital improvement project to construct a washdown liquid waste collection system and to purchase or contract equipment for delivering this waste to the City's system. We strongly advise you to confirm that the City will be able to accept your wastes before you initiate your capital improvements. Engineering Studies Please submit to the City an independent consultant's report stamped by a professional engineer registered in the State of Alaska. We prefer you contract with CH2M Hill for this work considering their history with this project and its experience with the City's wastewater treatment facility. In our opinion the consultant's scope of work should include at least the items discussed KIP Discharge Permit July 6, 2004 Page 2 of 3 below. We will work with you and your consultant to develop a scope of work that will satisfy the City's needs. Characterization of Washdown Wastes The draft November '03 technical memorandum tabulated characteristics of typical landfill washdown liquids and KIB liquids. The characteristics of the KIB liquids were derived from a single series of tests performed in May of 1997. Several contaminates in the KIB liquids were found in concentrations several orders of magnitude greater than at other landfills. It is the City's position that a single sample taken in early 1997 does not adequately represent the liquids you intend to introduce into the City's system. Furthermore, we do not believe you would be prudent to enter into a capital improvement project based on this single sample. The consultant should design a program to characterize the wastes you plan on delivering to the City. The program should be of sufficient duration to statistically define the properties of the waste and contaminates that it contains. The program should recommend liquid collection techniques, storage requirements to simulate planned capital improvements (both volume and duration). A sampling protocol must be detailed along with the testing to be performed. The testing must address, at a minimum, all contaminates addressed in the KCC and any other contaminate or property recommended to be measured by your consultant. The engineering report should recommend a duration for simulating the MB liquid wastesteam. The report should address the potential for seasonal variation in your liquid waste and appropriately recommend testing to address potential variations. The report should detail the sampling protocol in respect to location, type, handling, storage, transportation, and testing. The City must be notified at least 24 hours in advance of where and when samples are to be taken and be allowed to witness the sampling. Potential Affects on the City's Sewage Treatment Processes The engineering report should address potential affects on the City's sewage treatment processes. Issues of particular concern to the City are toxic shock to the WWTP, pH, odor, and conformance with the City's discharge permit. The KCC lists the contaminates that must be tested for in each load of waste to be discharged into the City's system. The report should review this list for conformance with current state and federal regulations and the City's discharge permit. The consultant should recommend any additional testing it believes should be performed to protect the City's system. Trial Discharge of Waste into the City's System The report should address a trial discharge of your waste into the City's system. The program should address the discharge location, the discharge rate, and odor monitoring. Obviously, odors will be subjectively evaluated by the City during the discharge. KIP Discharge Permit July 6, 2004 Page 3of3 The Mill Bay lift station has been mentioned as a potential discharge location. However, the Mill Bay lift station is not an acceptable discharge location. We will designate a discharge point or points to be utilized for the trial(s). Your consultant may suggest discharge locations for the City's consideration. Your consultant should recommend alternate discharge locations or techniques if odors are unacceptable to the City. Submit a request to the City for a special discharge permit for the trial. Address all the items in Kodiak City Code section 13.16.230. The permit request should be for a limited quantity of waste over a specific time frame. Final Special Discharge Permit On completion of the waste characterization and trial discharge study, submit a request to the City for a special discharge permit addressing all the items in Kodiak City Code section 13.16.230. The permit request must address testing methods and frequency that the KIB will perform prior to discharging waste. The frequency and range of tests to be performed will depend on the outcome of the trial program. At least initially, the City will require a conservative testing program. The City may relax the testing requirements once there is an established history characterizing your wastes. Relaxation of our testing requirements will depend on the consistency of the K1B liquid wastes and a subjective evaluation of the City's risk to the sewer treatment process. Any changes in the MB wastestream or washdown collection procedures, equipment, or unexpected variations in the test results will necessitate a review of the testing requirements and the overall discharge permit. As noted in CH2M Hill draft technical memorandum, "The EPA should be informed of any changes in waste accepted at the WWTP to determine if any changes need to be made to monitoring or treatment practices at the City of Kodiak WWTP." Assuming your wastes are capable of being accepted in our system, the City will inform the EPA of our intent to accept your washdown wastes. Your consultant's reports and technical memorandum will be provided to the EPA to justify the City's acceptance of your waste. All reports and correspondence should be prepared with an understanding of this use. The City may or may not proceed with issuing the permit based on the EPA's response. Currently, the City does not have an applicable fee structure for accepting your liquid waste. Fees will have to be agreed upon prior to finalization of the discharge permit. The City looks forward to working with you on this project. Please include us in the final scope negotiations with your consultant and provide us with test results and findings as the work progresses. We will be available to review and comment on draft and interim reports. Sincerely, City of Kodiak M Mark Kozak 4. Public Works Director Tracy L. Mitchell From: Cory.Hinds @CH2M.com Sent: Monday, May 09, 2005 10:20 AM To: Tracy L. Mitchell; Bud Cassidy Cc: mkozak @city.kodiak.ak.us; hweston @city.kodiak.ak.us; hheiberg @city.kodiak.ak.us; Cory.Hinds @CH2M.com Subject: KIB Baler Wastewater Hi Tracy and Bud, Last Thursday (5/5) Jim Wodrich and I had a call with Mark, Howard, and Hap to discuss the treatability study we proposed for testing the baler squeezings from the KB landfill and subsequent discharge at the WWTF. Per our discussion on Friday (5/6), I am send you this email and copying the City in hopes of gaining consensus and moving the project forward. Here is a summary of the City's concerns: 1) The City needs a track record of analytical results BEFORE they accept any of the wastewater. Concerns include the possibility of pesticides, batteries, used oil, and odor in the wastewater. 2) The City is concerned what happens to the baler wastewater over time as it sits in the holding tanks. 3) The City understands that other communities have had problems with accepting baler wastewater at their WWTF and they want to know how other communities are handling the wastewater. 4) The City needs to know if the wastewater is ok to feed into their WWTF, and IF it is ok, then they will be looking to CH2M HILL to determine where and how to feed it in. This needs to be in the treatability plan. 5) The City wants to have the KCC limits reviewed to determine if they are still protective of the WWTF. Here is what we propose as the path forward: 1) As an immediate and first step, KIB should pump the squeezings into the existing tanks and start sampling and get it analyzed. KIB should also analyze a second sample from the tanks just prior to pumping a second batch into the holding tank to evaluate changes in the wastewater over time. 2) If it is all below KCC and EPA pretreatment limits, the City should accept the wastewater as is from that batch. This would be equivalent to accepting tested wastewater from a septic hauler. 3) If the wastewater contains chemicals that exceed the EPA pretreatment standards, and can NOT be metered into the system (i.e., metals and /or BTEX), then the baler wastewater can NOT be disposed in the WWTF and KIB needs to think about another option for the wastewater. 4) If the wastewater contains compounds that CAN be metered into the system, additional testing should be performed to the satisfaction of the City (duration to be determined, could be up to 1 year) to quantify the levels of such compounds, and then a plan for metering it into the WWTF can be developed (by CH2M HILL) and presented to the City for review. KIB would need to investigate how to handle /store the wastewater during the testing. 5) The City of Kenai has performed an analysis of their baler wastewater. CH2M HILL will update research on the conclusions of this analysis at Kenai and at other communities that generate baler wastewater. We will look at how other communities are handling their baler squeezings, and what kind of levels these communities find in their wastewater. 12/5/2005 6) CH2M HILL will revise and update the treatability study to address the City's concerns, and with appropriate input from KIB. Mark, Howard, Hap, please let me know if anything needs clarification here. Cory L. Hinds, P.E. I CH2MHILL Anchorage Office 1 (907) 646 -0348 direct phone 1 (907) 257 -2000 fax' chinds@ch2m.com 12/5/2005 November 29, 2005 Leslie Simmons ADEC, Solid Waste Program 555 Cordova Street Anchorage, AK 99501 Dear Mrs. Simmons: The Notice of Violation (NOV) which was received by the Kodiak Island Borough (KIB) on November 22, 2005 stated that the Solid Waste Program of the Alaska Department of Environmental Conservation (ADEC) required that the Borough submit a plan which specifically addresses how the Borough proposes to legally dispose of the liquids generated at the KIB baler building located at the landfill. The Borough has been actively trying to resolve this issue for some time but have been met with significant roadblocks — as indicated in the Borough letter dated September 2, 2005. It should be noted that after receiving ADEC's letter (dated September 9, 2005) denying the variance request, the Borough made contact with Alan Kukla, as suggested in ADEC's letter, via email and phone on numerous occasions but received no reply. A formal letter was sent out last week to Mr. Kukla with a copy to you. As it states in that letter the Borough is in the process of obtaining equipment to perform some water quality tests on the baler wastewater in anticipation of what may be required from ADEC Water program as well as to provide the City of Kodiak water quality information. These tests will be conducted according to the Treatability Plan developed by CH2M Hill. The Borough proposes to follow parallel paths for determining authorization to dispose of the wastewater — working concurrently with ADEC Water Program and the City of Kodiak. Attached is the plan, as specific as we can be at this juncture, on how the Borough proposes to dispose of the baler wastewater. We would hope that consideration is extended to the Borough as it attempts to resolve this situation with the understanding that the Borough is dealing with two other governmental agencies and therefore there may be circumstances beyond the Borough's control in which timelines provided are deemed unrealistic and/or more time will be required to accomplish those tasks within the proposal. Sincerely, Bud Cassidy Director, Engineering & Facilities Kodiak Island Borough Engineering /Facilities Department 710 Mill Bay Road Kodiak, Alaska 99615 Phone (907) 486 -9343 Fax (907) 486 -9394 cc: Rick L. Gifford, Manager, Kodiak Island Borough Kim Stricklan, Environmental Program Manager, ADEC Anchorage Deric Marcorelle, Solid Waste Program, ADEC Soldotna Alan Kukla, Water Program, ADEC Anchorage Linda Freed, Manager, City of Kodiak Mark Kozak, Director Public Works, City of Kodiak Proposal to Dispose of Wastewater Generated from the Baler at the Kodiak Island Borough Landfill 1. Obtain a pump large enough to pump the baler wastewater into 2 previously purchased above ground septic tanks for testing purposes. December 2005 2. Obtain paint filter test equipment. December 2005 3. Test baler wastewater based on CH2M Hill's March 2005 Treatability Plan. December 2005 4. De -water semi - solids and floatables and dispose of in working face of landfill after passing paint filter test. December 2005 5. Re- contact Alan Kukla, regarding procedure required for approval to discharge baler wastewater into toe drain (toe drain to be constructed this winter). November 2005 6. Re- commence communication with the City about their ability to accept baler wastewater into their sewage treatment plant. December 2005 7. Final Resolution December 2006 Corrective Action Plan for Baler Wastewater & Time Frame.ADEC.doc Memorandum DATE: December 5, 2005 TO: Rick Gifford, Borough Manager, THROUGH: Mary Ogle, Director Nk0 FROM: Planning and Zoning Commission. RE: (3) Kodiak Island Borough Community Development Department 710 Mill Bay Road Kodiak, Alaska 99615 Phone (907) 486 -9363 Fax (907) 486 -9396 www.kib.co.kodiak ak us Transmittal of Planning and Zoning Commission recommendation to the Borough Assembly requesting that the Borough Clerk advertise an application process for the selection of interested parties to be appointed to Kodiak Island Borough -Wide Comprehensive Plan Task Force. The Commission expressed the consensus that a better work product for the Comprehensive Plan would result from a selection process that encompassed a broader community than the Plan Commission members solely. The function of the task force would be to work very closely with Borough staff and the consultants on the day -to -day process of creating the planning document. The task force would provide reports and updates directly to the Planning and Zoning Commission on a regular basis. The task force would be expected to convene at least twice a month for the next 18 months to review the components of the planning document as they are created as well as monitor the research and comments that goes in to the decision making processes. Ultimately, the Planning and Zoning Commission will take all of the task force comments into consideration when recommending approval of the final document to the Borough Assembly. It is the recommendation of the Community Development staff that the task force contain no more than twelve individuals hopefully comprised of the following representatives: at least three members of the P & Z Commission, City of Kodiak manager, at least four leaders from other Borough communities (Old Harbor, Port Lions, etc.), at least one Assembly member and then members of the public that represent different populations and /or ideologies. Vo SWAMC December 3, 2005 Jerome Selby P.O. Box 1962 Kodiak, AK 99615 -1962 Dear Jerome: I am writing on behalf of the SWAMC Board of Directors to ask it you would accept SWAMC's nomination of you to serve on the Council for Economic Policy for Rural Alaska (CEPRA). CEPRA is being formed through a cooperative effort of the Murkowski Administration, the Denali Commission and USDA Rural Development. A one page fact sheet on CEPRA is enclosed for your reference. SWAMC has been asked to nominate two individuals from the private sector to serve on CEPRA. Alice Ruby is the other nominee that the SWAMC Board has endorsed. Additionally, each region has been asked to submit two projects for consideration and evaluation by CEPRA. The SWAMC Board has decided to submit three projects, one from each sub - regional caucus. The caucus meetings to finalize these selections will be held on Friday, December 9 via teleconference. At this writing, I can't predict what the time commitment for serving on CEPRA might be. With anything of this nature, there generally is a bit more time up front as norms get established, then it settles into a more predictable pattern. 1 am guessing, but I think there may be quarterly Council meetings with various committee meetings in between. Jerome, I hope you will consider serving on CEPRA. Your private sector experience, combined with your public service in many arenas, would prove a valuable contribution to the Council. If you have any questions, please call one me. If you could let me know your decision by December 16 that will give us sufficient time to consider other nominees in the event you choose not to accept the nomination. Best regards, Southwest Alaska Municipal Conference Wanetta Ayers Executive Director Southwest Alaska Municipal Conference 3300 Arctic Boulevard, Suite 203 Anchorage, AK 99503 p: 907.562.7380 C 907.562.0438 wwwswamc.arp Economic development and advocacy for Southwest Alaska Economic Development District (EDO) and Nash Regional Development Organization (ARDOR) Cot Alaska Penhisula Aleutian Chain Bristol Bay Kodiak Islelnl Prihiof islands USDA Iii Ru� Development Alaska Rural Development State Office Phone: (907) 761 -7705 800 West Evergreen Avenue, Suite 216 Facsimile: (907) 761 -7783 Palmer, AK 99645 Statewide Rural Economic Development Model: Council on Economic Policy for Rural Alaska (CEPRA) Identifying Issues. Reviewing Approaches, Responding to Opportunities in Alaska • There are two- hundred Native villages and coastal communities spread over 365 million acres. • Over the past two years, many of Alaska's rural communities have directly experienced a series of crises that result faun the lack of cash economies and lack of local jobs. • It is essential to create a community environment wherein a sustainable cash economy can be evolved — wherein educational systems and community economic development programs meet the needs and opportunities to develop local business ventures to create local jobs. • No longer can rural development success be measured by how many grants a community receives; it must be measured by how many permanent, private sector jobs have been created • In direct response to this critical, but on -going situation, Frank Murkowski, Governor of the State of Alaska, and Bill Allen, State Director of USDA Rural Development, have embarked on a statewide initiative for astral development planning and policy development. • Under the umbrella of the Denali Commission, and through a structure based on a central council (CEPRA), regional committees, and issue - oriented task forces, Bill Allen and Bill Noll, Commissioner of Alaska's Department of Commerce Community and Economic Development, are serving as Co- Chairs of this new initiative. The Initial Concept of CEPRA as a Statewide Rural Development Model • By January 2006, establish a initial Council on Economic Policy for Rural Alaska (CEPRA): form an Evaluation Team for proposed projects, issue - related Task Forces for addressing impediments, and regional committees for representative appointments. • At the Task Force level, conduct issue -based assessments on the opportunities and the impediments to ntral economic development and report back to CEPRA, with such initial Task Forces evolving as follows: o Transportation; o Energy and Utilities; o Telecommunications; o Work Force; o Housing and Infrastructure; o Land and Natural Resources; o Private and Public Capital; o Regional Rural Development Organizations. • Provide a focused effort through CEPRA structure to effectively communicate, streamline processes and actively deliver new or improved systems at all levels and across all resources (local, state, federal, tribal, private: for -profit and non -profit) to serve small business development, as weii as serve regional economic development projects by building upon opportunities with private - sector resources including financial institutions. • Have regions identify priority short -and long -teun projects for rural economic development that are models for implementation of the CEPRA process in January 2006. KODIAKISLAND BOROUGH OFFICE of the MANAGER MEMORANDUM The Honorable Mayor and Assembly of the Kodiak Island Borough TO: FROM: Rick Gifford, Borough Manager DATE: December 5, 2005 SUBJECT: Legislative Discussion List The following is a suggested list for discussion with the Borough's Legislatgrs 1. Supplemental budget to address school district's increased utilities 2. Increased funding for school district's to meet increased costs of education 3. Funding for PERS/TRS debt, 4. Municipal Revenue Sharing /Community Dividend 5. Capital Improvement Project s .rKIB and Rural Communities 6. Funding for Seismic repairs for school buildings 7. Additional funding and/or higher debt reimbursement for school bond projects due to significant construction cost, increases as a result of the hurricanes in the southern United States and fuel cost increases. 8. Designating the state owned land on Narrow Cape as a permanent public use area administered by DN thatprevents it from b -ing sold • •sed to public Lite r Vie /fre►_` •� `0 1' 111V.Z ( s) KODIAK ISLAND BOROUGH ORDINANCE NO. FY 2006 -06 Introduced by Manager Gifford Requested by Assembly Drafted by Finance Director Introduced: Public Hearing: Adopted: AN ORDINANCE OF THE KODIAK ISLAND BOROUGH AMENDING KODIAK ISLAND BOROUGH CODE OF ORDINANCES TITLE 3 REVENUE AND FINANCE CHAPTER 3.04 PUBLIC FINANCE — BUDGET SECTION 3.04.020 PERMISSIBLE INVESTMENTS SECTION 3.04.022 COLLATERAL REQUIREMENTS SECTION 3.04.051 FACILITIES FUND BY CHANGING THE TYPES OF INSTRUMENTS THE BOROUGH CAN INVEST IN, CHANGING THE INVESTMENTS ALLOWED IN THE FACILITIES FUND, AND CHANGING DISBURSEMENTS FROM THE FACILITIES FUND FROM A PERCENT OF INTEREST EARNED TO A PERCENT OF MARKET VALUE (POMV) 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, 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; and WHEREAS, because of GASB 31 the value of the Borough investments change on our general ledger even though it will not change over the life of an investment; and WHEREAS, because of these changes in value, both up and down, it is better to use a percent of market value method to distribute earning of the fund than a percent of previous years' earnings: 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 Section 2: Title 3 Revenue and finance Chapter 3.04 Public Finance — Management and Accounting Section 3.04.020 Permissible investments is hereby amended as follows: Kodiak Island Borough, Alaska Ordinance No. FY2006 -06 Page 1 of 6 Sections: Chapter 3.04 PUBLIC FINANCE — MANAGEMENT AND ACCOUNTING 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. 3.04.056 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. 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 %. A thc extent that thc investment amount exceeds thc limits of FDIC in5i:�ar �. The Foi o..;ng collateral ahaii apply: 100% of Deposit bonds and notes: Kodiak Island Borough, Alaska Ordinance No. FY2006 -06 Page 2of6 1. Alo3kon i33uc3 100% of market projcct notca Aloako 133UC3 100% of morkct 8. U.S. Government obligationa: 2. federal agency 133UC3 100% of morkct 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: 3.04.051 Facilities Fund. A. The facilities fund is established as a separate investment fund which is distinct from the 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. _ _ .04.020 of thin chapter. 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 (CMG) comprising. Agency MBS investments issued by Federal National Mortgage Association, Federal Home Loan Mortgage Corporation, or the Government National Mortgage Association. Kodiak Island Borough, Alaska Ordinance No. FY2006 -06 Page 3 of 6 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 CMO's. 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 Allowable Maximum Minimum Percentage Percentage Requirements of Issuer of portfolio UST 100% 100% Agencies 100% 100% Bonds BBB 10% 25% BA's A 2% 25% Repo's A 5% 25% CD's A 5% 10% Mutual Funds A 25% AMLIP 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 money 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. 16,000,000) dollara for thc financing or construction of thc Ncor lalond Rcacarch facility E. Four percent of the average market value (POMV) as of Dec. 31 of the preceding five Kodiak Island Borough, Alaska biy ma y, by ordinoncc, mokc o one (1) timc opprop Ordinance No. FY2006 -06 Page 4 of 6 years may be appropriated 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. EF. 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. VL G. 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 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. °H. 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. Kodiak Island Borough, Alaska Ordinance No. FY2006 -06 Page 5 of 6 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. 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 ATTEST: Jerome M. Selby, Borough Mayor Judith A. Nielsen, CMC, Borough Clerk KODIAK ISLAND BOROUGH Kodiak Island Borough, Alaska Ordinance No. FY2006 -06 Page 6 of 6 O o O O o O O O o O O O O O W S. V N O O O O O O O O O O O O N O e a0 e r e to V e M 0 N e 0 O DRAFT Discussion Dear Governor, Your speech at the Annual Local Government Conference was very welcome and timely. Thank you for your proposals on sharing state revenue through a community dividend, and offsetting PERS increases to local taxpayers for FY 07. You have outlined a workable path to sustain failing rural communities, and to provide needed tax relief to larger communities. Municipal leaders sincerely appreciate your offer to continue working with AML and communities to make sure the resulting legislation is effective in providing sustainable communities and local economies. First, AML fully supports your FY 07 PERS proposal for municipalities because it recognizes the compounding costs of PERS increases for two years to local budgets. This is a good solution for FY 07 until a permanent solution to the PERS debt is implemented. The currently estimated approximately $6 billion PERS/TRS debt represents nearly a $40,000 debt for an average family of 4 in Alaska. If the PERS/TRS solution does not include cities, boroughs, and school districts, which have been notified that they have accrued over 50% of the total PERS/TRS debt, the impact on local taxpayers is immense. AML and municipalities will continue to work with your administration and the legislature to craft a long -tern solution. Second, AML fully supports your principle that a workable sharing of state resources with municipalities must ultimately be a permanent commitment on the part of the State. While the use of Amerada Hess revenues are one way of establishing a long term focus, municipal leaders are also willing to work with you to pursue other means of helping communities that may arise during the session. Regarding your proposal, we would like to discuss the following changes based on a resolution adopted at the AML Annual Local Government Conference: • Discuss and consider increasing the minimum annual support to a municipality to $75,000. We feel that your proposal of $25,000 to $40,000 plus a per capita distribution may be too low to support a minimum local government in an area with a very small tax base. Even several years ago the smallest community received basic support funding from Revenue Sharing, Safe Communities, and Municipal Capital Matching Grants of over $50,000. Especially given cost increases over the past several years, AML feels that $75,000 is approximately the amount needed to hire one FTE Clerk/bookkeeper, pay modest office operating expenses, and provide very basic public services, including some modest local infrastructure improvements like fixing boardwalks, etc. We will be happy to work with you to determine a specific mix of basic services appropriate for a small rural community and gauge the minimum annual support to that figure less likely local revenue. • Consider sharing additional revenues to provide more meaningful relief from the impacts of high oil prices. For example, a "$1 per barrel program" which would allocate $1 per barrel in revenues from annual oil production or an endowment program under which a portion of state revenues would be set aside in an endowment managed under a POMV concept with the annual proceeds used for a community dividend sharing program. Again, thank you for your proposals to help communities. AML will work closely with you throughout the legislative se Sincerely Mayor Dave Talerico, Fresh °Tu -Pr6w /9 Pi L tc.0 E C E O V E DEC 7 2005 BOROUGH CLERK'S OFFICE KODIAK ISLAND BOROUGH CLERK'S OFFICE COPIE» TO: SLY ,'MAYOR V MkN AGEREMB�TIIE'R adn.com 1 money : Chamber outlines legislative priorities adnecom F ro mm Gasj Anchorage Daily News Chamber outlines legislative priorities Daily News staff (Published: December 6, 2005) The Alaska State Chamber of Commerce has adopted six priorities it will push before the Legislature during the session that will run from January to May: Page 1 of 1 • Get a natural gas pipeline built from the North Slope to the Lower 48. Specifically, the Legislature should approve a contract, if reached between the governor's office and a builder of a proposed gas pipeline, on taxes and other state terms. These terms should include partial state ownership of the pipeline. In addition, future gas revenue should be used in part to lower statewide energy costs, particularly in rural areas. • Develop a comprehensive fiscal plan to get state revenue and spending in sync for the long term. The Legislature should save a large part of the current forecasted surplus, reduce government size, use Permanent Fund profits in the state budget while continuing the Permanent Fund dividend program, privatize more state services, and adopt no more taxes until a fiscal plan is developed. • Continue to improve the workers' compensation program to control the rising cost of workers' compensation insurance while providing a system fair to injured workers. elop a long -term plan for state employee and teacher retirement systems, determining the funding shortfalls and addressing them, which includes controlling rises in health care costs. lement ongoing funding to local governments to provide tax relief and help them provide public services, sometimes called a "community dividend program." • Continue to support and participate in efforts to get the Arctic National Wildlife Refuge's coastal plan open to oil and gas development. The issue is before Congress. Copyright © 2005 The Anchorage Daily News (www.adn.com) GEC LIVE El ll DEC 7 2005 BOROUGH CLERK'S OFFICE KODLAK ISLAND BOROUGH CLERK'S OFFICE COPIED TO: i ASSP:MRLY v MAYOR v +.1 AGER i / OTHER http: / /www.adn.com/ money /v- printer /story/7264634p- 7176452c.html 12/7/2005