2006-08-17 Regular MeetingAugust 17, 2006 — 7:30 p.m.
Mr. Jerome Selby
Borough Mayor
Term Expires 2007
Mr. Tom Abell
Deputy Presiding
Officer
Assembly Member
Term Expires 2008
Ms. Pat Branson
Assembly Member
Term Expires 2007
Ms. Sue Jeffrey
Assembly Member
Term Expires 2008
Mr. Reed Oswalt
Assembly Member
Term Expires 2008
Mr. Cecil Ranney
Assembly Member
Term Expires 2006
Mr. Mel Stephens
Assembly Member
Term Expires 2006
Ms. Barbara Williams
Assembly Member
Term Expires 2007
Mr. Rick Gifford
Borough Manager
Ms. Nova Javier, CMC
Borough Clerk
Kodiak Island Borough
710 Mill Bay Road
Kodiak, AK 99615
Meeting broadcast live over radio station KMXT 100.1 FM and Cablevision station 8.
1. INVOCATION
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
4. APPROVAL OF AGENDA
5. APPROVAL OF MINUTES — None.
6. AWARDS AND PRESENTATIONS — None.
7. CITIZENS' COMMENTS (Limited to Three Minutes per Speaker)
Toll Free Phone Number 1- 800 -478 -5736 Local Phone Number 486 -3231
A. Agenda Items Not Schedule for Public Hearing and General Comments.
8. COMMITTEE REPORTS
9. PUBLIC HEARING (Limited to Five Minutes per Speaker)
Toll Free Phone Number 1- 800 -478 -5736 Local Phone Number 486 -3231
B.
Ordinance No. FY2007 -04 Submitting to the Qualified Voters
the Question of Establishing the Spruce Cape Streetlights
Service Area to Provide, Construction, Operation, and
Maintenance of Streetlights in the Spruce Cape Subdivision as
reflected on the Attached Map.
Ordinance No. FY2007 -05 Authorizing the Borough to Issue
General Obligation Bonds in the Principal Amount of Not to
Exceed $7,500,000 to Finance Planning, Design, and
Construction of a New Swimming Pool and Related Capital
Improvements and to Submit the Question of the Issuance of
Such Bonds to the Qualified Voters of the Borough at the
October 3, 2006 Regular Borough Election.
10. BOROUGH MANAGER'S REPORT
11. MESSAGES FROM THE BOROUGH MAYOR
Regular Meeting Assembly Chambers
Kodiak Island Borough Assembly Agenda
August 17, 2006 Page 1
12. UNFINISHED BUSINESS — None
13. NEW BUSINESS
A. CONTRACTS — None.
B. RESOLUTIONS - None.
C. ORDINANCES FOR INTRODUCTION — None.
D. OTHER ITEMS — None.
14. CITIZENS' COMMENTS (Limited to Three Minutes per Speaker.)
Toll Free Phone Number 1- 800 - 478 -5736 Local Phone Number 486 -3231
15. ASSEMBLYMEMBERS' COMMENTS
16. ADJOURNMENT
17. INFORMATIONAL MATERIALS (No Action Required)
s
Kodiak Island Borough Assembly Agenda
August 17, 2006 Page 2
KODIAK ISLAND BOROUGH
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Regular Meeting of August 17, 2006
Kodiak Island Borough
AGENDA STATEMENT
Item No. 9.A
Ordinance No. FY2007 -04
Submitting to the Qualified Voters the Question of Establishing the Spruce Cape
Streetlights Service Area to Provide, Construction, Operation, and Maintenance of
Streetlights in the Spruce Cape Subdivision as reflected on the Attached Map.
APPROVAL FOR AGENDA:
cr
Recommended motion: Move to adopt Ordinance No. FY2007 -04.
KODIAK ISLAND BOROUGH
ORDINANCE NO. FY2007 -04
Introduced by: Manager Gifford
Requested by: Assembly
Drafted by: Borough Clerk
Introduced: August 3, 2006
Public Hearing: August 17, 2006
Adopted:
AN ORDINANCE OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
SUBMITTING TO THE QUALIFIED VOTERS THE QUESTION OF ESTABLISHING THE
SPRUCE CAPE STREETLIGHTS SERVICE AREA TO PROVIDE CONSTRUCTION,
OPERATION, AND MAINTENANCE OF STREETLIGHTS
IN THE SPRUCE CAPE SUBDIVISION AS REFLECTED ON THE ATTACHED MAP
WHEREAS, on March 28, 2006, Ms. Mary Bonn submitted to the clerk's office a petition for the
formation of the Spruce Cape Streetlight Service area; and
WHEREAS, the petition contained the signatures of persons who own over fifty percent (50 %) of
the real property within the boundaries proposed to be established; and
WHEREAS, the petition was insufficient in that KIBC 4.050.030A required that all signatures on
the petition dated within (60) days of the submission of the petition; and
WHEREAS, Ms. Bonn requested that the Kodiak Island Borough Assembly initiate the action per
KIBC 4.05.020 instead of circulating another petition; and
WHEREAS, a streetlight service area would allow for construction, ongoing maintenance, and
operation of streetlights in the interest of public safety and neighborhood convenience; and
WHEREAS, Kodiak Island Borough Code of Ordinances (KIBC) 4.05.040 provides that the
assembly shall initiate any action to alter a service area by introducing an ordinance effecting the
proposed action; and
WHEREAS, KIBC 4.05.050 provides that the assembly shall consider the need for services
within the area, and the feasibility of providing them, considering the area's size, population, and
the facilities and services already existing; the assessed or estimated value of all taxable property
within the area; the characteristics of the area indicating its cohesiveness as a community; and the
area's ability to pay for the proposed service; and
WHEREAS, KIBC 4.05.060 provides that an ordinance establishing a service area shall not be
effective unless approved by a majority of the qualified voters voting on the question in each area
affected by the ordinance;
NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH THAT:
Section 1:
Classification. Section 6 of this ordinance is of a general and permanent nature and
shall become a part of the Code of Ordinances of the Kodiak Island Borough. The
remainder shall not be codified.
Section 2: Election. Upon the adoption of this ordinance, the following ballot question will be
presented to the qualified voters in the area affected as shown on the map attached
hereto, to place before the registered voters residing within said proposed service
area the following question:
Kodiak Island Borough, Alaska Ordinance No. FY2007 -04
Page 1 of 3
The map attached to this ordinance shall accompany the ballot.
Section 3: Qualifications. A person is qualified to receive an election pamphlet and ballot if
their voter registration address is within the proposed service area indicated on
the attached map.
Section 4: Election Date. The election date shall be the October 3, 2006 general election.
Section 5: Notice. Notice of the election shall be published not less than twenty days prior to
the election in the form and manner specified in the Kodiak Island Borough Code
of Ordinances section 7.10.060.
Section 6: Title 4 of the Kodiak Island Borough Code of Ordinances is amended by adding
Chapter 4.150 as follows:
Sections:
Section 7:
ATTEST:
"Shall the Kodiak Island Borough exercise the powers necessary to provide
construction, operation, and maintenance of streetlights in the Spruce Cape
Subdivision within the area indicated on the attached map?
O YES
O NO
Chapter 4.150
SPRUCE CAPE STREET LIGHTS SERVICE AREA
4.150.010 Creation and powers.
4.150.020 Board.
4.130.010 Creation and powers. The Spruce Cape streetlights service area is established
pursuant to Ordinance No. FY2007 -04 and encompasses the area as indicated on the map
attached to that ordinance. The Spruce Cape streetlight service area shall provide
construction, operation, and maintenance of streetlights on public streets within its boundaries.
4.130.020 Board. The Spruce Cape Streetlights service area board shall consist of three (3)
members appointed by the assembly.
Effective Date. Sections 1 and 5 shall become effective at midnight on the day of
adoption of this ordinance. Section 7 shall become effective on the first day of the
fiscal year following certification of the election, if a majority of those qualified
voters cast their ballots in favor of establishing the Spruce Cape Streetlights
service area.
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS DAY OF 2006
Nova M. Javier, CMC, Borough Clerk
KODIAK ISLAND BOROUGH
Jerome M. Selby, Borough Mayor
Kodiak Island Borough, Alaska Ordinance No. FY2007 -04
Page 2 of 3
Kodiak Island Borough, Alaska
Ordinance No. FY2007 -04
Page 3 of 3
Kodiak Island Borough
AGENDA STATEMENT
Regular Meeting of August 17, 2006
Item No. 9.B
Ordinance No. FY2007 -05
Authorizing the Borough to Issue General Obligation Bonds in the Principal Amount of
Not to Exceed $7,500,000 to Finance Planning, Design, and Construction of a New
Swimming Pool and Related Capital Improvements and to Submit the Question of the
Issuance of Such Bonds to the Qualified Voters of the Borough at the October 3, 2006
Regular Borough Election.
In 2004, the Borough sold $6,210,000 in GO Bonds to build a new 6 -lane swimming pool
with a diving board. It is now estimated that this facility will cost $7,500,000 more than
originally estimated and budgeted.
This Ordinance will allow the Borough to place a $7,500,000 bond issue on the October
2006 election.
If additional funding is procured then the entire amount of the bond issue does not need to
be sold.
APPROVAL FOR AGENDA:
Recommended motion: Move to adopt Ordinance No. FY2007 -05.
Introduced by: Manager Gifford
Requested by: Assembly
Drafted by: Finance Director
Introduced: 8/03/2006
Public Hearing: 08/17/2006
Adopted:
KODIAK ISLAND BOROUGH
ORDINANCE NO. FY 2007 -05
AN ORDINANCE OF THE KODIAK ISLAND BOROUGH ASSEMBLY
AUTHORIZING THE BOROUGH TO ISSUE GENERAL OBLIGATION BONDS IN
THE PRINCIPAL AMOUNT OF NOT TO EXCEED $7,500,000 TO FINANCE
PLANNING, DESIGN, AND CONSTRUCTION OF A NEW SWIMMING POOL AND RELATED
CAPITAL IMPROVEMENTS AND TO SUBMIT THE QUESTION OF THE ISSUANCE OF SUCH
BONDS TO THE QUALIFIED VOTERS OF THE BOROUGH AT THE
OCTOBER 3, 2006 REGULAR BOROUGH ELECTION
WHEREAS, the Alaska legislature extended the current plan for school debt reimbursement during the 2006
special session; and
WHEREAS, this debt service reimbursement plan provides that the State of Alaska will reimburse the
Borough for not less than sixty percent (60 %) of debt service on the eligible portion of bonds authorized by
the qualified voters of the Borough on or after October 1, 2006 but before December 1, 2008, to pay costs of
school construction, additions to schools, and major rehabilitation projects and education - related facilities;
and
WHEREAS, the Borough issued $6,210,000 in bonds on November 16, 2004 to construct a new six lane
swimming pool; and
WHEREAS, the current estimate to construct the swimming pool has exceeded the original estimate by
$7,500,000; and
WHEREAS, the Borough is researching and applying for grants which will lessen the amount of bonds which
will need to be sold; and
WHEREAS, because the amount of any additional funding is unknown at this time, the Borough needs the
authority to sell an amount of bonds that is adequate to finish the facility; and
WHEREAS, if additional funding is found, the Borough only needs to sell enough bonds to pay for the
unfunded part of the project; and
WHEREAS, under the provisions of AS 29.47.190, a municipality may incur general obligation debt only after
a bond authorization ordinance is approved by a majority of those voting on the question at a regular or
special election; and
WHEREAS, the Borough views the swimming pool and related capital improvements authorized herein as
necessary and beneficial to the community;
NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THAT:
Section 1: This ordinance is not of a general and permanent nature and shall not become a part of the
Kodiak Island Borough Code of Ordinances.
Kodiak Island Borough, Alaska Ordinance No. FY2007 -05
Page 1 of 3
Section 2: It is hereby determined to be for a public purpose and in the public interest of the Kodiak
Island Borough (the "Borough ") to incur general obligation bonded indebtedness in an
amount not to exceed Seven Million Five Hundred Thousand Dollars ($7,500,000) for the
purpose of paying the cost of planning, designing, and constructing a new swimming pool
and related capital improvements in the Borough.
Section 3:
Section 4:
The Borough is authorized to borrow the sum of Seven Million Five Hundred Thousand
Dollars ($7,500,000) to finance the capital improvements described in Section 4, and the
borrowing shall be evidenced by the issuance of general obligation bonds of the Borough;
provided that bonds may not be issued for any project unless the project is eligible for debt
service reimbursement of at least sixty percent (60 %) by the State of Alaska. The full faith
and credit of the Borough are pledged for payment of the principal of and interest on the
bonds, and ad valorem taxes upon all taxable property in the Borough shall be levied without
limitation as to rate or amount to paythe principal of and interest on the bonds when due.
The Borough shall submit the following proposition to the qualified voters of the Borough at
the October 3, 2006 regular Borough election. The proposition must receive an affirmative
vote from a majority of the qualified voters voting on the question to be approved.
PROPOSITION NO. 1
GENERAL OBLIGATION BONDS FOR
NEW SCHOOL POOL 6 -LANE, 1 DIVING BOARD
"Shall the Kodiak Island Borough incur debt and issue general obligation
bonds in an amount not to exceed Seven Million Five Hundred Thousand
Dollars ($7,500,000) to finance the planning, design, and construction of a
new swimming pool and related capital improvements in the Borough,
including without limitation the projects described below?"
Project Estimated Cost
New School Pool 6 -lane, 1 diving board $7,500,000
Bonds may not be issued to pay costs of a project unless the project is
eligible for debt service reimbursement by the State of Alaska. The
approximate amount of taxes on $100,000 of assessed real and personal
property value (based on total 2006 assessed valuation) required to pay
100% of the debt service for the project above is $75.34 per year, and to pay
the Borough share of debt service for the project with full State debt service
reimbursement is $30.14 per year.
If additional funding, grants, or otherwise becomes available, only enough
bonds to finish the project will be sold.
These bonds are in addition to the $6,210,000 bonds sold on November 16,
2004 for a new swimming pool.
The bonds shall be secured by a pledge of the full faith and credit of the
Borough. (Ordinance No. FY2007 -05)
Kodiak Island Borough, Alaska Ordinance No. FY2007 -05
Page 2 of 3
Section 5:
Section 6:
The proposition, both for paper ballots and machine ballots, shall be printed on a ballot which
may set forth other general obligation bond propositions, and the following words shall be
added as appropriate next to an oval provided for marking the ballot for voting by hand or
machine:
PROPOSITION NO. 1
O YES
O NO
Sections 2 and 3 of this ordinance shall become effective only if the proposition described in
Section 4 is approved by a majority of the qualified voters voting on the proposition at the
October 3, 2006 regular Borough election. The remaining sections of this ordinance shall
become effective upon adoption by the Kodiak Island Borough Assembly.
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS DAY OF 2006
ATTEST: Jerome M. Selby, Borough Mayor
Nova M. Javier, CMC, Borough Clerk
KODIAK ISLAND BOROUGH
Kodiak Island Borough, Alaska Ordinance No. FY2007 -05
Page 3 of 3
Manager's Report
August 17, 2006
The KIB has received a grant award for $301,318 to seismically retrofit the foundation of
the Ouzinkie School. The grant application for $478,000 to seismically retrofit the KHS
library wing is expected soon. The grant money for these projects is post - disaster hazard
mitigation funds from the state of Alaska and is money left over from other disasters that
have occurred in the state.
The KMS seismic retrofit grant for $1,000,000 from FEMA will not be known until
September or October. We have been informed that it was the top project in the nation.
We hope that means that the Borough will receive the grant award. For your information,
a contract for architectural services for the Borough Hill School Bond projects will be
presented to the Assembly in the near future for approval that will include the
architectural services for the KMS seismic retrofit. This project should be ready for next
summer's construction season, provided there are no unforeseen circumstances that
interfere.
In preparation for school, the KHS halls and classrooms are asbestos free. The asbestos
abatement and floor covering project is the culmination of a multi -year program to
remove asbestos containing floor materials from our schools and to replace it with new
non - hazardous carpet and tile. KHS halls and classrooms are now free of asbestos. This
project was completed ahead of schedule and approximately $90,000 (31 %) under
budget.
The Northstar gym floor replacement is nearing completion (80 %+). This project
includes the removal and disposal of 8,000 square feet of rubberized flooring and
replacement with a non - hazardous user friendly surface. This project is slightly behind
schedule due to the time consuming stripping process but will be completed next week in
time for the opening of school. It is also under budget, but by a slimmer margin, even
considering and due to the expensive removal and disposal of the hazardous materials,
which was not foreseen in the budget process.
For your information, I will be out of town attending the ICMA conference in San
Antonio, TX from Friday, September 8, 2006, returning to the office on Wednesday,
September 20, 2006. While I am out I plan to attend the conference, spend a long
weekend with family and will also be conducting some borough business in Anchorage.
August 17, 2006
1. INVOCATION
Sergeant Major Dave Blacketer of the Salvation Army.
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
Clerk's note: Assemblymembers may be out and asked to be excused.
Recommended motion: Move to specifically excuse any Assemblymembers that are
absent.
VOICE VOTE ON MOTION
4. APPROVAL OF AGENDA
Recommended motion: Move to approve the agenda as submitted.
VOICE VOTE ON MOTION TO APPROVE THE AGENDA
5. APPROVAL OF MINUTES - None
6. AWARDS AND PRESENTATION - None
7. CITIZENS' COMMENTS (These are limited to three minutes per speaker.)
A. Agenda items not scheduled for public hearing and general comments.
Read phone numbers: Local: 486 -3231 Toll Free: 1- 800 - 478 -5736
ASK SPEAKERS TO SIGN IN AND STATE THEIR NAME FOR THE RECORD.
8. COMMITTEE REPORTS - None
Regular Meeting Assembly Chambers
Kodiak Island Borough Assembly Guidelines
August 17, 2006 Page 1
9. PUBLIC HEARING - Limited to five minutes per speaker.
1. Ordinance No. FY2007 -04 Submitting to the Qualified Voters the Question
of Establishing the Spruce Cape Streetlights Service Area to Provide,
Construction, Operation, and Maintenance of Streetlights in the Spruce
Cape Subdivision as reflected on the Attached Map.
Recommended motion: Move to adopt Ordinance No. FY2007 -04.
Staff Report- Manager Gifford.
Open public hearing.
Read phone numbers: Local: 486 -3231 Toll Free: 1- 800 - 478 -5736
Comments are limited to five minutes per speaker.
ASK SPEAKERS TO SIGN IN AND STATE THEIR NAME FOR THE RECORD.
Close public hearing.
Assembly discussion - amendments may be offered at this time.
ROLL CALL VOTE ON MOTION
2. Ordinance No. FY2007 -05 Authorizing the Borough to Issue General
Obligation Bonds in the Principal Amount of Not to Exceed $7,500,000 to
Finance Planning, Design, and Construction of a New Swimming Pool and
Related Capital Improvements and to Submit the Question of the
Issuance of Such Bonds to the Qualified Voters of the Borough at the
October 3, 2006 Regular Borough Election.
Recommended motion: Move to approved Ordinance No. FY2007 -05.
Staff Report- Manager Gifford.
Open public hearing.
Read phone numbers: Local: 486 -3231 Toll Free: 1- 800 - 478 -5736
Comments are limited to five minutes per speaker.
ASK SPEAKERS TO SIGN IN AND STATE THEIR NAME FOR THE RECORD.
Close public hearing.
Assembly discussion - amendments may be offered at this time.
ROLL CALL VOTE ON MOTION
Kodiak Island Borough Assembly Guidelines
August 17, 2006 Page 2
10. BOROUGH MANAGER'S REPORT - Manager Gifford
11. MESSAGES FROM THE BOROUGH MAYOR - Mayor Selby
12. UNFINISHED BUSINESS - None
13. NEW BUSINESS - None
14. CITIZENS' COMMENTS (These are limited to three minutes per speaker.)
A. Agenda items not scheduled for public hearing and general comments.
Read phone numbers: Local: 486 -3231 Toll Free: 1- 800 - 478 -5736
ASK SPEAKERS TO SIGN IN AND STATE THEIR NAME FOR THE RECORD.
15. ASSEMBLYMEMBER COMMENTS
ANNOUNCEMENTS - Mayor Selby
The Assembly will meet in a work session on Thursday, August 31 at 7:30 p.m. in the
Borough Conference Room and a regular meeting on Thursday, September 7, 2006 at
7:30 p.m. in the Assembly Chambers.
Absentee voting for the Primary election is available in the Borough Clerk's office
until Monday, August 21.
Remember to vote on Tuesday, August 22. The polls will be open from 7:00 a.m. to
8:00 p.m. Please call the Borough Clerk'S office at 486 -9310 if you have questions or
need information.
16. ADJOURNMENT
Recommended motion: Move to adjourn the meeting.
ROLL CALL VOTE ON MOTION.
Kodiak Island Borough Assembly Guidelines
August 17, 2006 Page 3