12/01/2011 Regular Meeting KODIAK ISLAND BOROUGH
Assembly Regular Meeting
December 1, 2011
A regular meeting of the Kodiak Island Borough Assembly was held on Thursday, December 1, 2011,
in the Assembly Chambers of the Kodiak Island Borough Building, 710 Mill Bay Road. The meeting
was called to order at 7:30 p.m.
Mayor Selby led the Pledge of Allegiance.
Present were Mayor Jerome Selby, Assembly Members Carol Austerman, Tuck Bonney, Dave
Kaplan, Chris Lynch, Mel Stephens, and Louise Stutes. Staff members present were Administrative
Official Bud Cassidy, Finance Director Karl Short, Deputy Clerk Marylynn McFarland, and Assistant
Clerk Jessica Kilborn.
KAPLAN moved to excuse Assembly member Friend who was absent due to personal leave.
VOICE VOTE ON MOTION CARRIED UNANIMOUSLY.
APPROVAL OF AGENDA AND CONSENT AGENDA
KAPLAN moved to approve the agenda and consent agenda.
VOICE VOTE ON MOTION CARRIED UNANIMOUSLY.
APPROVAL OF MINUTES
A. Regular Meeting Minutes of October 20, 2011, were approved under the consent agenda.
AWARDS AND PRESENTATIONS
Mayor Selby presented the Student of the Month Awards for November 2011 to Kimberly Boskofsky,
a senior at Ouzinkie School and for December 2011 to Danielle Nero, a senior at Kodiak High
School.
CITIZENS' COMMENTS
Judy Fulp, Rick Lanqfitt, and Charlie Powers spoke in favor of the Baranof Park Improvement project.
COMMITTEE REPORTS
Assembly member Stutes reported on the Kodiak Fisheries Advisory Council meeting held on
November 29, 2011.
Assembly member Kaplan reported on the Kodiak College Council meeting held on November 4,
2011.
Mayor Selby reported on the Fisheries and Oceanic Research Board meeting held on November 30,
2011.
Kodiak Island Borough Assembly Minutes
December 1, 2011 Page 991
PUBLIC HEARING
1. Ordinance No. FY2012 -11 Amending Title 3 Revenue and Finance Chapter 3.55 Transient
Accommodations Tax Section 3.55.025 Allocation of Sales Tax Proceeds.
AUSTERMAN moved to adopt Ordinance No. FY2012 -11.
This ordinance was a clean -up ordinance to correct an error in KIBC 3.55.025 to reflect that there
was only one village in Kodiak which was the Village of Karluk and five second class cities which
were the Cities of Akhiok, Larsen Bay, Port Lions, Old Harbor, and Ouzinkie
Mayor Selby opened the public hearing. Seeing and hearing none, Mayor Selby closed the public
hearing.
ROLL CALL VOTE ON MOTION CARRIED UNANIMOUSLY: Bonney, Kaplan, Lynch, Stephens,
Stutes, and Austerman.
2. Ordinance No. FY2012 -12 Repealing Sections of Ordinance No. FY2007 -09 Authorizing an
Amendment to the Borough's Participation Agreement With the Public Employees Retirement
System (PERS) of Alaska and to Change the Borough Code of Ordinances to Exclude
Participation of Elected Officials.
STUTES moved to adopt Ordinance No. FY2012 -12.
Ordinance No. FY2007 -09 was adopted by the Borough Assembly on October 5, 2006, which
allowed sitting assembly members to continue participation in the PERS system but did not allow
newly elected officials to join the program.
As written, Ordinance No. FY2007 -09 was not acceptable to the State of Alaska PERS system
because the Borough had to allow all elected officials to participate in PERS or exclude all elected
officials from participation. This repeal would allow elected officials to participate in the State PERS
program subject to PERS Regulations. Sections 3 and 4 of Ordinance No. FY2007 -09 which dealt
with Assembly members being able to participate in the Borough health and life insurance plan would
remain in the Kodiak Island Borough Code of Ordinances.
Based on discussion held at the regular Assembly meeting of November 3, 2011, staff was in the
process of discussing the proposed ordinance with the Borough Attorney and the State of Alaska
PERS and as a determination could not be provided, it was recommended to postpone Ordinance
No. FY2012 -12 to the next regular meeting of the Assembly.
STUTES moved to postpone Ordinance No. FY2012 -12 to public hearing at the next regular meeting
of the Assembly.
ROLL CALL VOTE ON MOTION TO POSTPONE FAILED FOUR TO TWO: Kaplan, Lynch,
Austerman, and Bonney (Noes); Stephens and Stutes (Ayes).
Kodiak Island Borough Assembly Minutes
December 1, 2011 Page 992
Mayor Selby opened the public hearing. Seeing and hearing none, Mayor Selby closed the public
hearing.
ROLL CALL VOTE ON MAIN MOTION FAILED FOUR TO TWO: Lynch, Austerman, Bonney, and
Kaplan (Noes); Stephens and Stutes (Ayes).
BOROUGH MANAGER'S REPORT
Administrative Official Cassidy reported on the following:
• Manager Gifford would return to the office on December 12.
MESSAGES FROM THE BOROUGH MAYOR
None.
UNFINISHED BUSINESS
None.
NEW BUSINESS
Contracts
None.
Resolutions
None.
Ordinances for Introduction
1. Ordinance No. FY2012 -13 Rezoning Certain Lots Along Spruce Cape Road From R1- Single
Family Residential To R2 -Two Family Residential (P &Z Case 12 -002).
KAPLAN moved to adopt Ordinance No. FY2012 -13 in first reading to advance to public hearing at
the next regular meeting of the Assembly.
A petition for the rezone of a single lot came as a request before the Planning and Zoning
Commission. The Commission voted to expand the area to be considered for rezoning from one lot to
a compact area containing nine parcels.
Public hearing notices were sent out to the neighbors, utility companies, and other agencies. ,The
request was affirmed with the Commission's recommendation that the Borough Assembly approve
the rezone request.
ROLL CALL VOTE ON MOTION CARRIED UNANIMOUSLY: Stephens, Stutes, Austerman, Bonney,
Kaplan, and Lynch.
Kodiak Island Borough Assembly Minutes
• December 1, 2011 Page 993
2. Ordinance No. FY2012 -01A Amending Ordinance No. 2012 -01 Fiscal Year 2012 Budget By
Amending Budgets to Account for Various Revenues that Are Over Budget, Provide for Additional
Expenditures, Budget New Projects, Accept Grants, and Move Funds Between Projects.
AUSTERMAN moved to adopt Ordinance No. FY2012 -01A in first reading to advance to public
hearing at the next regular meeting of the Assembly.
This ordinance:
• Budgeted for 50% of the cost of the fisheries consultant from the City of Kodiak;
• Increased the Kodiak High School Asbestos Removal and Floor Covering project by
$83,044 to comply with the State budget;
• Combined the Kodiak High School VocEd(Pool Reclamations project, Kodiak High School
Old Pool Roof and HVAC Renovations project, and the Kodiak High School Master Plan
project;
• Increased the Learning Center Remodel project by $171,918;
• Accepted and budgeted a grant in the amount of $466,000 for the Kodiak High School
Renovation and Additions project and decreases the amount of the General Obligation
bonds to be issued by the same amount;
• Accepted and budgeted a grant in the amount of $2,000,000 for the Anton Larsen Bay
Boat Ramp project;
• Accepted and budgeted grants received for the Karluk Village, Chiniak, Akhiok, Ouzinkie,
and Larsen Bay warning sirens;
• Accepted and budgeted a grant in the amount of $1,025,000 for the Womens Bay Tsunami
Shelter;
• Accepted and budgeted a grant in the amount of $1,190,853 for the Old Harbor, Karluk,
and Port Lions emergency generators;
• Budgeted for the Long Term Care Center Design project in Fund 495;
• Accepted and budgeted a grant in the amount of $435,147 for the East Elementary School
emergency generator;
• Accepted and budgeted a grant in the amount of $1,275,000 for the design and planning of
the Long Term Care Center; and
• Budgeted for the Borough's contribution to the Providence Kodiak Island Medical Center by
$150,000.
BONNEY moved to amend the corrected version of Ordinance No. FY2012 -01A by adding back into
the ordinance, "Whereas, the first phase of renovating Baranof Park is estimated to cost $3,000,000
with funding by a state contribution of $2,000,000, a City of Kodiak contribution $500,000, and a
Borough contribution of $500,000 ", and add a Section 10 (page 2 of 2) to read, "The Borough
appropriates $500,000 from the receipts in the Renewal and Replacement Fund to the Baranof Park
Renovation Project to be released to the City of Kodiak after Borough Assembly approval of an
agreement with the City."
ROLL CALL VOTE ON MOTION TO AMEND THE MAIN MOTION CARRIED FOUR TO TWO:
Bonney, Kaplan, Lynch, and Austerman (Ayes); Stephens and Stutes (Noes).
Kodiak Island Borough Assembly Minutes
December 1, 2011 Page 994
ROLL CALL VOTE ON MAIN MOTION AS AMENDED CARRIED FOUR TO TWO: Austerman,
Bonney, Kaplan, and Lynch (Ayes); Stephens and Stutes (Noes).
Other Items
1. Approval of the Kodiak Island Borough Assembly 2012 Meeting Schedule. This item was approved
under the consent agenda.
It was the Assembly's duty to approve the meeting schedule for the upcoming year. The
recommended meeting schedule was created based on KIBC 2.30.030 Types of meetings.
2. State of Alaska Alcoholic Beverage Control Board Request for Renewal of Liquor License
Applications Within the Kodiak Island Borough. This item was approved under the consent
agenda.
The Clerk's office conducted a routine investigation per KIBC 5.01.020 within the Kodiak Island
Borough jurisdiction and recommended non - protest to the renewals. The Assembly voiced non -
protest to the State of Alaska Alcoholic Beverage Control Board for the renewal application requests
as indicated:
LIC # ESTABLISHMENT NAME OWNER NAME LICENSE TYPE
85 B & B Bar Blue Inc Beverage Dispensary
1040 Shelikof Lodge Rella Mae Corporation Beverage Dispensary
1155 Tony's Bar CNG Inc Beverage Dispensary
1211 Village Bar Wade Ball Inc Beverage Dispensary
4346 Bernie's Bernie V. Ballao Beverage Dispensary
600 Chart Room Kodiak Inn Inc Beverage Dispensary- Tourism
57 American Legion Post #17 American Legion Robert Club
G Blair Post #17
1156 Tony's Liquor Store CNG Inc Package Store
2509 Safeway Store #1090 Safeway Inc Package Store
4044 Liquor Cabinet/Cost Liquor Cabinet Inc Package Store
Savers
2611 Sizzler Burger & Peking Sook C. Yun Restaurant/Eating Place
Rest.
3293 Second Floor Restaurant Sook C Yun Kim Restaurant/Eating Place
3458 Angelo's Anna Maria Kaloumenou Restaurant/Eating Place
4611 Buskin River Lounge The Kishan Group Inc Beverage Dispensary- Tourism
3496 Odom Corporation, The Odom Corporation Wholesale - General
3932 Alaskan Wilderness Wines Lisa & Steven Thomsen Winery
3. Assembly Approval of a Partial Vacation of the Right of Way of Perenosa Drive (P &ZC Case S12-
005).
KAPLAN moved to approve a partial vacation of Perenosa Drive Road right of way subject to the
conditions of approval and findings of fact in the Planning and Zoning case packet (Case S12 -005)
dated October 2, 2011.
Kodiak Island Borough Assembly Minutes
December 1, 2011 Page 995
This request was made to reduce the width of the Perenosa Drive Right of Way from 60 feet to 30
feet. The reduction would occur by taking away 15 feet from of each side of the right of way, and
would leave 30 feet in the middle of the right of way. This area would be retained as public lands and
was the location of existing city utilitilies and a future pedestrian and bikeway. This pathway would
lead residents to the intersection of Sitkinak Drive and Rezanof Drive and to a safe location to cross
Rezanof Drive to recreational fields, the Kodiak Area Native Association facility, Safeway, and
Walmart. The Planning and Zoning Commission approved the vacation with conditions.
ROLL CALL VOTE ON MOTION CARRIED FIVE TO ONE: Kaplan, Lynch, Stutes, Austerman, and
Bonney (Ayes); Stephens (No).
4. Confirmation of the Assembly Appointment to the Kodiak Workforce Regional Advisory Council.
BONNEY moved to confirm the Assembly appointment of Mr. Jared Griffin to the Kodiak Workforce
Regional Advisory Council Arts and Communications seat for a term to expire December 2013.
On August 22, 2011, the Clerk's office received an application from Mr. Jared Griffin for the Arts and
Communications seat on the Kodiak Workforce Regional Advisory Council. Mr. Griffin's application
was provided to the Council and at its regular meeting of September 28, 2011, the Council
recommended the appointment of Mr. Griffin to the Arts and Communications seat for a term to
expire December 2013.
ROLL CALL VOTE ON MOTION CARRIED UNANIMOUSLY: Lynch, Stephens, Stutes, Austerman,
Bonney, Friend, and Kaplan.
5. Appointments to the Providence Kodiak Island Service Area Board.
AUSTERMAN moved to voice non - objection to the appointments of Pat Branson, Ken Knowles, and
Steve Honnold to the Providence Kodiak Island Service Area Board.
The Providence Kodiak Island Service Area Board recommended the appointments of Pat Branson,
Ken Knowles, and Steve Honnold to fill Service Area Board vacancies as of January 2012. A letter
from Providence regarding the appointments dated November 8, 2011, was provided.
ROLL CALL VOTE ON MOTION CARRIED UNANIMOUSLY: Stephens, Stutes, Austerman, Bonney,
Kaplan, and Lynch.
EXECUTIVE SESSION
1. Cutler vs. Kodiak Island Borough
KAPLAN moved to convene into executive session to discuss Cutler vs. Kodiak Island Borough
which qualifies for executive session under confidential attorney - client communications made for the
purpose of facilitating the rendition of professional legal services to the borough.
Kodiak Island Borough Assembly Minutes
December 1, 2011 Page 996
Assembly member Stephens declared a conflict of interest due to his past representation as M r.
Cutler's attorney. Mayor Selby ruled the declaration in order.
ROLL CALL VOTE ON MOTION CARRIED UNANIMOUSLY: Stutes, Austerman, Bonney, Kaplan,
and Lynch.
The Borough Assembly, Administrative Official, Finance Director, and Clerk's Office Staff were
invited into the executive session. The Borough Attorney and the AML /JIA Attorney attended the
executive session via teleconference.
After the vote, Mayor Selby recessed the regular meeting at 8:27 p.m. and convened the executive
session.
Upon returning from the executive session, Mayor Selby reconvened the regular meeting at 8:50
p.m. and announced no action was to be taken as a result of the executive session.
CITIZENS' COMMENTS
None.
ASSEMBLY MEMBER COMMENTS
Assembly members congratulated the Student of the Month award recipients.
Assembly member Stephens spoke in support of a legal opinion on the $500,000 appropriation for
the Baranof Park Improvement project under Ordinance No. FY2012 -01A and voiced concern on the
process of the appropriations. He spoke in support of an open public forum for the special work
session regarding the Kodiak High School Renovation project on December 13, 2011. Assembly
member Stephens spoke on the home rule unified municipality option.
Assembly member Stutes spoke in support of the Fisheries Analyst Consultant position. She voiced
questions regarding a letter addressed to the Assembly concerning drainage issues in the Bay View
Road Service Area and inquired about the status of the project manager for the Kodiak High School
Renovation project.
Assembly member Bonney spoke on the Kodiak Hospital project from sixteen years before, the
advantages and benefits to the community that had stemmed from that project, and compared it to
the current Kodiak High School Renovation project as an asset to the community. He spoke against
comments he had received regarding using the Facilities Fund to pay off specific debts, spoke to the
reasons for the amendment he offered on Ordinance No. FY2012 -01A, and encouraged the public to
voice their opinions to Assembly members.
Announcements
Mayor Selby announced the Kodiak Island Borough would be hosting the Kodiak Island Mayor's
Conference on Thursday, December 8 at 11 a.m. in the Borough Conference Room.
Kodiak Island Borough Assembly Minutes
December 1, 2011 Page 997
The next Assembly work session would be held on Thursday, December 8, 2011, at 7:30 p.m. in the
Borough Conference Room. The next regular meeting was scheduled on Thursday, December 15,
2011, at 7:30 p.m. in the Borough Assembly Chambers.
The Assembly would hold a Special Work Session on Tuesday, December 13, 2011, at 7:30 p.m. in
the Borough Assembly Chambers.
ADJOURNMENT
KAPLAN moved to adjourn the meeting.
ROLL CALL VOTE ON MOTION CARRIED UNANIMOUSLY: Austerman, Bonney, Kaplan, Lynch,
Stephens, and Stutes.
The meeting was adjourned at 9:05 p.m.
KODIAK ISLAND BOROUGH
Si /
ATTEST: Je *me M. Selby, M.
I a -
Nova M. Javier, MMC, :orough Clerk Approved: January 5, 2012
Kodiak Island Borough Assembly Minutes
December 1, 2011 Page 998