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HomeMy WebLinkAbout2003 City Council MinutesCity of Seward, Alaska City Council Minutes Januar 10 200 Volume 36 Paze 96 Call to order The January 10, 2003 Special Meeting of the Seward City Council was called to order at 12:00 p.m. by Vice -Mayor Stu Clark. Opening ceremony Chief Brossow led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Willard Dunham Nathan Orr Vanta Shafer comprising a quorum of the Council; and Jean Lewis, City Clerk Kristin Erchinger, Acting City Manager Absent Edgar Blatchford Citizens' comments on any item not scheduled for public hearing. Carla Goldsmith, 604 Third Avenue, expressed her concern as to why the Mayor hadn't been participating. She wanted to know why this meeting was being held today as a Special City Council meeting instead of Monday's Regular meeting. Goldsmith reminded Council that everyone was interested in the hiring of the new City Manager and she favored the idea of an Interim Manager. Iris Darling, 209 4` Avenue, stated rumors were flying. She voiced her concern that the City Manager had already been hired without public input. She thought it would be best to hire a Manager from the outside with no axes to grind that could get our budget together. Dianne Dubuc, Slip E32 Small Boat Harbor, spoke in support for the referendum on Ordinance 2002 -14. She stated most charter boat owners were for smolt enhancement, but would like to see a more broad based community support on this issue, and money raised in a different fashion. She noted sponsors of this petition for referendum had 135 signatures to turn in. Approval of special meeting agenda Motion (Shafer/Branson) Approve the Special Meeting Agenda Orr wanted to know why this meeting had to be held in executive session. He felt that if personalities were not being discussed, and some council members had not seen the resumes yet, City of Seward, Alaska January 10 2003 City Council Minutes Volume 36 Pa e 97 there were no grounds to hold an executive session. Orr wanted to be certain that the grounds for having an executive session were being met. Dunham also was a bit surprised as to why the need for executive session when the cutoff date was not until February 7 He assumed the City would gather the applications, review, and then hold a meeting to discuss them as a whole. Dunham stated he was not a fan of the short list and wondered what Council could accomplish with this meeting. Valdatta, seconded the comments of Orr and Dunham as to what could be accomplished by going into executive session. Change the agenda by adding "Discussion of the City Manager hiring process" to Unfinished Business prior to going into executive session. Amendment (OrrNaldatta) Add G° Discussion of the City Manager hiring process" to Unfinished business Amendment Passed Main Motion Passed Unfinished Business Discussion of the City Manager hiring process. Unanimous Unanimous Orr remembered directing Administration to publish the vacancy and then provide a short Interim Manager list to Council. He wanted to see the Interim Manager list. He thought executive session would be permissible if Council spoke about the character, strategy or negotiations of any of those applicants. Clark explained a number of applications did not meet the minimum qualifications. Valdatta wanted to note the uniqueness of our community while Council viewed those applications. Orr cautioned the Council and suggested a committee should review the applications in an open meeting. Clark noted he had been taking responsibility for rejections. He assured Council he had erred on the side of caution on any rejections. Orr felt it would be helpful to be provided with specific reasons for those rejections. Dunham wanted to know about the Interim Manager list. He pointed out there were local products working for our community and thought that was a nice change. He was not sure the City needed to look elsewhere for a City Manager. City of Seward, Alaska City Council Minutes January 10 2003 Volume 36, Paee 98 Shafer was concerned about switching horses in midstream. She felt it would be a detriment instead of an asset at this stage. Valdatta felt the City needed new blood and that money was being spent unnecessarily. Branson stated there were plenty of applications and Council could make a decision after February 7th. Orr recognized the local city employees and felt they were good at the jobs they were in, but supported having an Interim Manager. Erchinger announced she did not intend to apply for City Manager, and hoped this dispelled all rumors. She stressed that the Administration was doing far the opposite of standing still, and projects were moving forward. Erchinger did not have a preference whether to hire an Interim City Manager or keep her as Acting City Manager throughout the hiring process, but was concerned with the number of big projects and their complexity, and felt it would be time better spent to continue working on these projects ourselves. She maintained that if Council were to take its time in hiring, the finance department would need help. She stated she had not taken any action to hire temporary help in case Council would be hiring an Interim Manager. Shafer stated she did not like the idea about the Interim City Manager, but it was going to take some time to hire a new City Manager. She acknowledged the finance department needed help now, and felt it best to give the Administration direction now. Valdatta stated it appeared the chain of command was clouded. There were people within the community who felt the City should have an assistant to the City Manager. Motion (Dunham/Branson) Continue with Acting City Manager through Feb 10 Valdatta expressed his displeasure at how the City Manager had left with so many important projects hanging. Orr agreed with the urgency. He would support this motion as long as the interim list came back to Council to address during the Regular City Council Meeting on Feb. 10. Motion passes Unanimous Erchinger stated she would not hire in finance for only a four -week period of time. Dunham was concerned with the finance department, and felt the Administration could hire if they needed to. He in no way meant to make things worse for the finance department with his motion to wait until February 10. Orr stated that the vacancy of the City Manager could really be felt. Moral problems may indicate City employees are understaffed. He stated that key players run the city for the City Manager, and the City needed a City Manager with the foresight to look down the tracks. He felt the City of Seward, Alaska danuarV 10 2003 City Council Minutes 36 Page City may need an Interim City Manager to look forward, and urged Council to take a serious look at the hiring process on February 10. Clark wanted Council to review the job description ahead of time so it could be discussed if any change was needed. He stated the Personnel Officer had resigned effective February 16. He also stated the City Clerk's office would take over the collection of applications. Orr wanted to be assured someone experienced in Personnel issues would make any personnel decisions. He felt these applications needed to be reviewed. Council agreed by unanimous consent to allow the City Clerk's Office to be the first point of contact for the City Manager applications, and disseminate correspondence to the City Council. More discussion ensued on the need for a work session and consensus was to continue operating status quo and not have another meeting on this issue until after February 10. New business Go into executive session for the purpose of discussing strategy and contract negotiations on the hiring of the City Manager, and giving direction to the Administration. Motion (OrrNaldatta) Go into executive session for the purpose of discussing strategy and contract negotiations on the hiring of the City Manager, and giving direction to the Administration. Orr did not believe there was a need to have the executive session. Motion Failed Unanimous Council comments Valdatta advised he would be formulating questions to ask during interviews because of the uniqueness of the community. He mentioned he had spoke with the Superintendent of Spring Creek Correctional Center and his assistant, people at Cook Inlet Processing, the harbormaster, and officials interested in bringing grain to Seward. Dunham announced he had attended a PACAB meeting, and they had three resolutions to pass on the downtown waterfront development and legislative priorities that should be available soon. He stated he would be conducting a presentation to the Chamber of Commerce on Friday, January 17 on that issue. Dunham noted that the Mayor was at the dance and felt one of the nicest presents this town had ever received was the New Year's Eve ball, and thanked all who put the wonderful event together. He loved seeing people of all ages ring in the New Year together. Branson felt enough had been said and had no additional comments. City of Seward, Alaska City Council Minutes Jan uary 10 2003 Volume 36, Paiee 100 Shafer seconded the joy on the New Year's Eve ball, and stated she heard more positive comments on that dance than anything since she had been on Council. Orr stated it recently came to his attention that a site committee had been picked for the 2006 Arctic Winter Games. He notified the communities that had thrown their hat into the ring to host this event were the Kenai Peninsula, Fairbanks and Juneau. There would be a meeting January 17. Clark echoed comments on the New Years Eve dance. He felt it was a real ball and would like to see it happen every year. Citizens' comments — Doug Olson, 314 Second Avenue, stated the City should slam on the brakes on city business. He was a 2.5 year citizen of Seward and felt people were f disgusted and overwhelmed with city government. He felt there were big problems and it all reflected on the budget. Olson felt an independent auditor needed to come in. He thought the City should look where it had been and where it was heading. He further complained about budgets, the harbor, the Mayor, the City Manager and felt his business with the City had escalated to the point he wasn't sure how he would "deal with it without screwing up my life more than the City already has." Council and administrative response to citizens' comments - None Adjournment The meeting was adjourned at 1:18 pm. Jean ewis City Clerk Stu Clark Vice -Mayor (City Seal) �� °` gpd;K�r� City of Seward, Alaska January 13, 2003 City Council Minutes Call to order volume 36 Page 101 The January 13, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Edgar Blatchford. Opening ceremony Chief Brossow led the pledge of allegiance to the flag. Roll call There were present: Edgar Blatchford presiding, and Margaret Branson Stu Clark Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kristin Erchinger, Acting City Manager Jean Lewis, City Clerk Absent — None Proclamations and Awards. Seward Polar Bear Jumpoff Festival schedule of events unveiled. Seward Centennial Proclamation accepted by Centennial Events Coordinator, Sandy Wassilie. Letter of Appreciation read for Seward Volunteer Ambulance Corps, and presented to Heather MacQuarrie and Tim Crozier. Introduction of the Teen and Youth Council. Borough Assembly Report. Borough Assembly Representative Ron Long, stated the Assembly introduced an ordinance at the last meeting to appropriate an additional $50,000 for consulting and architectural work for the Seward Middle School. He stated the state legislative priority book was adopted by resolution and the Borough would address the federal legislative priority book on the January 21" meeting. He would be asking for additional federal funding for flood mitigation planning and mapping. Long noted that Lowell Point was still on the priority list as number one. The Borough was in the final stages of forming a fire service area at Lowell Point. City of Seward, Alaska City Council Minutes January 13 2003 Volume 36, Page 102 City Manager's Report. Acting City Manager Kristin Erchinger stated the City had been working with Providence and Wesley to negotiate a management agreement between the City and Providence for management of the hospital, as well as negotiate a transfer and lease agreement with Wesley. She had also met with Wesley to discuss their agreement. Erchinger stated that the agreements would be reviewed by the State of Alaska to make sure requirements for co- location were met. Erchinger stated the City had requested the CEO of Providence, Al Parrish, grant a 2- month extension until April 30 to provide for the period for referendum. Erchinger stated that representatives from the University and various organizations would be meeting on the multi- agency center and the expansion of the University. She stated the City would also meet with the University to discuss transfer of ownership of the mariculture facility from the State to the City. Erchinger gave an update on the 4th of July rock quarry. She stated the classifier would be removed by May 31. She stated the City had been preparing a proposed ordinance for Council review in regards to the operation of the quarry and had been working on the RFP. Erchinger noted that engineering consultants Peratrovich, Nottingham and Drage Inc. (PN &D) had been assisting the City with the RFP, and requested the City reconsider their approach. She stated their recommendation was for the City to consider incorporating the basic elements of a mining and reclamation plan into the RFP process. Erchinger noted the operator would then include their own recommendations of a mining and reclamation plan within their proposal. Erchinger reported the financial report on Kawabe Park would be given at the January 27 meeting. She disclosed that the $200,000 Federal Transportation Authority grant had not been received, although awarded, and there were considerable conditions and certifications the City needed to stipulate to before the release of those monies. Erchinger requested Council allow Administration to revisit the issue of Forest Acres Waterline Extension Project. She stated upon further review, it did not appear funds were available to complete both routes. Erchinger briefed Council on the FY 02 harbor passenger fees. The City received approximately $252,000 in passenger fee receipts, therefore covering the FY 02 debt service payments on the new float and fish cleaning stations. She was pleased to announce the Park and Recreation Department, in conjunction with Centennial events, would be hosting snow cross races on March 15. Erchinger also acknowledged the finance department for winning their prestigious 10 consecutive award for excellence in government reporting from the government finance association. In response to Orr, Erchinger stated that the City did have a dedicated fund for the passenger fee, and any excess funds would stay for debt service only. Other Reports, Announcements and Presentations Port and Commerce Advisory Board Annual Update given by Chair Deborah Altermatt. Citizens' comments on any item not scheduled for public hearing. City of Seward, Alaska J_ anuary 13, 2003 City Council Minutes Volume 36 Page 103 Julia Ducham, Glacier View resident spoke in opposition to the procedure that HUD would be taking to remodel Glacierview. Diane Dubuc, slip E32 small boat harbor, requested Council to revisit the issue of Ordinance 2002 -14 since there was now a referendum petition with 152 unverified signatures. Approval of agenda and consent agenda Motion (Clark/Shafer) Approve the agenda and consent agenda Removal of the continuation of PACAB from the consent agenda. Add schedule a work session on the rock quarry under Other New Business. ' > e 6, profe it for- n�flor_ v`""' was pulled from the agenda Motion Passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -004 authorizing signatures for all city bank accounts and rescinding all previous resolutions in conflict. Resolution 2003-007 accepting a $7 grant from the Rasmuson Foundation for the Seward Community Library and appropriate funds. Approval of the December 9 and 18 2002 regular City Council meeting minutes, and December 20 special city council meeting minutes. Non - objection of liquor license renewal for Tony's Bar and Liquor Store. Public Hearings — None. New Business Resolutions Resolution 2003 -001 authorizing the City Manager to appropriate $15,000 to the Centennial Account for 2003 expenses. Motion (Dunham /Shafer) Approve Resolution 2003 -001 Erchinger stated this was in addition to the $85,000 which was budgeted for the Centennial Event Coordinator's salary and recreation events that were expected to bring in approximately City of Seward, Alaska City Council Minutes January 13 2003 Volume 36, Page 104 $60,000 of revenue. Motion Passed Yes: Branson, Orr, Dunham, Shafer, Clark Blatchford No: Valdatta Resolution 2003 -002, approving a contract for animal control services with Jennifer Carrick, dba Carpe Canis. Motion (Clark/Shafer) Approve Resolution 2003 -002 Erchinger stated Jennifer Carrick was the sole bidder. She had done an excellent job and recommended this contract be approved. Council relaxed the rules to allow Jennifer Carrick to answer questions. Jennifer Carrick agreed the animal shelter needed a new placement, but it would have to be within the city limits. She requested it not be along the highway. Motion Passed Unanimous Resolution 2003 -003, amending the FY2002 Budget by appropriating $145,506.87 from Sales Tax Revenues to the Hospital Debt Service Fund. Motion (Clark/Branson) Approve Resolution 2003 -003 Erchinger stated sales tax revenues were more than projected. Historically those were passed on to the hospital debt service fund. Motion Passed Unanimous Resolution 2003 -005, approving the Acting City Manager's reappointment of Charles David Brossow as temporary Chief of Police. Motion (Clark/Dunham) Approve Resolution 2003 -005 Erchinger stated that two people had turned this position down when offered because of the pay scale. The Wage Committee reviewed this and increased the position from a range 26.5 to 27.5. Motion Passed Unanimous Resolution 2003 -008 authorizing the City Manager to enter into a contract with Shoreside Petroleum to deliver heating and diesel engine fuel, gasoline, lubricants, cleaning solvents and antifreeze during 2003 for an amount not to exceed $274,096.52. Motion (Clark/Branson) Approve Resolution 2003 -008 City of Seward, Alaska January 13, 2003 City Council Minutes Volume 36 Page 105 Erchinger stated there was only one RFP from Shoreside. This contract would be for 1 -year with three 1 -year extensions, and represented a 44% increase from four years ago. Motion Passed Unanimous Resolution 2003 -009 authorizing the Acting City Manager to pay the November billing of Kemppel, Huffman and Ellis, P.C., for services rendered on behalf of the City of Seward in monitoring and participating in the latest Chugach Electric Association (CEA) rate case before the regulatory commission of Alaska (RCA). Motion (Clark/Shafer) Approve Resolution 2003 -009 Erchinger stated that the City purchased power from Chugach Electric Association. Chugach had been involved in a rate case and the City had hired Kemppel, Huffman and Ellis to protect the City's interest. Erchinger stated that as this case winds down, the bills had grown. The electric fund had funds available in their 2002 budget to cover this expense. Director of Utilities Dave Calvert stated that a lot of discovery was completed, and there were several utility companies involved. An opinion, or the new rates, had not been decided yet. He did not know the final solution by the RCA. Calvert stated the City hired these attorneys to protect our contract, which was a good one. Motion Passed Unanimous Other New Business Items Continuation by affirmative vote of the Port and Commerce Advisory Board. Motion (Branson /Shafer) Branson removed this from the consent agenda to mention that the City should provide rules of order and other training for the committees. Port and Commerce Advisory Committee Chair Deborah Altermatt stated they received information from the Borough, harbormaster office, the Alaska Digest, and statewide and national internet publications. She stated that the Board wanted to strengthen ties with EDD on the Borough level. Alterman acknowledged the money available for training and travel in the budget, and hoped with the renewed interest and projects that the Board would take advantage of that. She also reiterated the Board's request for part time staff help. Motion Passed Unanimous A work session to discuss downtown waterfront development and the legislative priorities list was scheduled for Thursday, January 23 at noon. A work session to discuss the southern intertie with Chugach Electric Association was scheduled for Thursday, February 13 at noon. City of Seward, Alaska City Council Minutes January 13 2003 Volume 36, Page 106 A work session to discuss the Rock Quarry was scheduled for Tuesday, January 28 at noon. Informational items and reports A report on Electric and Harbor annual fund write -offs. Council Comments Orr felt attaching permanent fund dividends for electric and harbor delinquent accounts was a good idea. Clark thanked Cindy Ecklund for all her hard work. He reminded the people about the website for the centennial 100` Clark also thanked the Seward Volunteer Ambulance Corp for a superb New Years Eve party. Shafer stated the Teen Center was appreciated, and there were 20 to 60 children involved with the afterschool program. Branson congratulated the volunteers for their wonderful party and noted the decorations were stunning. Erchinger stated the City had received $472,000 from the Exxon fund. Valdatta declared the roads from mile 0 -38 had been in bad shape recently. He felt they needed sanded and some serious attention. Dunham had heard many people were not working at SMIC because the City had jacked the rates up. He reported the Borough sales tax report was interesting reading. Dunham explained that Noll had two more meetings on Suneel and had spoke with Pat Gamble with ARRC. He felt Seward should initiate and get a common front from other communities to add some pressure. Dunham stated there would be a hearing next week on the School budget. The Borough was talking about consolidations and felt our town should take an active interest. He also felt the New Years dance was terrific. Blatchford wished Cindy Ecklund well, and was surprised with the number of people at the New Years Eve event. He encouraged community support for the polar bear jumpoff and noted the Daily News article that appeared was just a rumor at that point. Branson wanted to invite Neal Fried to give an economic presentation to Council. Citizens' comments- Carla Goldsmith, 3rd Avenue, noted she had 160 signatures to turn in to stop the I% sales tax. She felt the cost of living for seniors had risen. Goldsmith disclosed her feelings on the Mayor, Providence and other topics she felt needed answers, or felt were a conflict of interest. City of Seward, Alaska City Council Minutes January 13, 2003 Volume 36 Page 107 Ron Long, 32551 Camelot, explained that sales tax revenues had not increased, they were merely higher than projected. He noted predictions were down based on 9/11 events. Overall sales were down but overall taxable sales were up a bit. Long thought that meant the City was making more sales at a lower value. He felt it was possible sales above $500 had decreased. Doug Olson, 314 g od Avenue, wondered about the absence of the city attorney, and why they were not appearing telephonically. Council and Administration Response to Council Comments. Branson stated the Providence Alaska Foundation was a local group that raised and spent money on groups of people in Seward. It was not associated with Providence Hospital and all donated money supplied medical needs for ambulance, babies, and car seats for children. Erchinger noted a trend seen recently of gross sales growing rapidly due partly to large government contracts that are non - taxable, but are included in gross sales for construction projects. She also stated it was her specific request that the attorneys not be present at this meeting to try and save a few dollars. Erchinger stated since laws had changed, the local hospital was not big enough to support the level of care needed to deliver babies. It was a legal issue. Adjournment The meeting was adjourned at 9:50 p.m. Jean L is City erk %v1 OF SE�i ��i (City Seal) O� .•• p _V` Edgar Blatchford Mayor S ELI • r • r • • r • r t i T,9 �:;�� 1 19,•' r te` ` *4. OFip.�- P,���o City of Seward, Alaska City Council Minutes January 27 2003 Volume 36, Page 108 Call to order The January 27, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Edgar Blatchford. Opening ceremony Chief Brossow led the pledge of allegiance to the flag. Roll call There were present: Edgar Blatchford presiding, and Margaret Branson Stu Clark Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kristin Erchinger, Acting City Manager Jean Lewis, City Clerk Absent - None Proclamations and Awards. Centennial Symposium Dedication to Mary Barry. Borough Assembly Report. None City Manager's Report. Acting City Manager Kristin Erchinger had been actively participating with negotiations on Providence /Wesley. She felt negotiations were close to finalization with Wesley, and was still working on the negotiation of the management fee with Providence. Peratrovich, Nottingham and Drage (PN &D) drafted a proposed ordinance for long term operation of the rock quarry. Erchinger notified Council they had received 17 applications for the Personnel position. Manager of Engineering and Construction Gerry Welsh would be back to work on Wednesday. Erchinger stated the wage committee had completed work on the two red lined positions highlighted by the Bill Woods wage and classification study. Two positions were identified, frozen at the current range and step, and would be lowered through attrition. A fire destroyed the main Parks and Recreation vehicle. Nobody was injured. A leaking fuel line caught the catalytic converter on fire. The truck was not insured and would need to be replaced. City of Seward, Alaska January 27, 2003 City Council Minutes Volume 36 Page 109 Parks and Recreation, along with Wells Fargo Bank would be hosting a Polar Bear Jumpoff Basketball tournament which would bring twelve teams from out -of -town. Swalling Construction was in the Lowell Canyon tunnel, trying to divert the water to dry the tunnel for construction. Harbormaster Jim Beckham, spoke on the east harbor expansion. A master plan component was added to the public involvement project. The focus involved moving the eastern breakwater to the coal terminal, dredging the entrance channel, and creating 12 to 14 acres of new basin. This would be about a 15 million dollar project in the year 2003. Five million of that was for general navigation improvements to the breakwater and entrance channel. The final amount of that money was being put into a bill to be appropriated this year, and the Corp of Engineers was working on a contract this summer to begin in September. About 10 million dollars associated with the inner harbor improvements would be the City's responsibility. After all public involvement, the draft master plan for the harbor, east harbor and all other areas identified was 30 million total. Of that, 10 million for upland improvements, 10 million on replacing existing infrastructure, and 10 million for new infrastructure. Port and Commerce Advisory Board had appointed a committee to look at all the alternatives of the project that resulted from the public involvement process. In response to Shafer, Beckham stated the general navigation features were Federal Government responsibility such as removing the breakwater and dredging the entrance channel. The 1998 feasibility report for the East Harbor Expansion had gone to Congress and was approved. If there were any substantial changes, the City would have to start over. In response to Branson, Beckham stated the construction timeline would begin September 2003 and end September 2004. The hope was to pin floats in and have slips available winter of2004 or 2005. Other improvements on the master plan would take bonding. In response to Orr, Beckham felt the harbor expansion could be on the Federal legislative priority list. Phasing would depend on what the Port and Commerce Advisory Board would recommend. In response to Clark, Beckham stated of the 10 million the City had 2.9 million from the State of Alaska Department of Transportation and Public Facilities, 1.3 million from the Department of Commerce, Economic Development Administration. The City would have to bond the rest. City Attorney Report. City Attorney Brad Meyen, stated he had been assisting with transition items on the rock quarry and Providence /Wesley issues. Pending litigation continued with Swalling Construction. Other Reports, Announcements and Presentations City of Seward, Alaska City Council Minutes January 27, 2003 Volume 36, Page 110 Report given by Elaine Hollier, Senior Area Coordinator for Alaska Housing Finance Corporation on the Glacierview Renovation Project. She stated this project would begin in phases April 2003. Discussion ensued on why tenants could not return to their same units. Prince William Sound Regional Citizen's Advisory Committee Update by Dennis Lodge. Dennis Lodge had served on this committee for 10 years. His term expires on March 13, 2003. He felt the incumbent's focus should be on forecasting, safeguards and keeping pressure on the oil industry for improvements. Centennial Symposium Update by Sandy Wassilie. Citizens' comments on any item not scheduled for public hearing. Jim Pruitt, 2506 Maple, spoke against the changes of the federal legislative priority list. He cautioned Council on changing the North dock which had been number 1 on the list for the last six years. He stated much lobbying had gone on in Washington D.C. He felt Council should start and finish the problem and thought it detrimental to change in the middle of lobbying efforts. Nina Daley, 416 4th, also spoke on the federal legislative priority list. She was concerned there was no new description language. Carol Lallatin, 217 3 spoke against Ordinance 2002 -13 which increased the sales tax. She requested Council repeal the Ordinance instead of holding a special election. She felt there were more options for the hospital available with a service area established. Carla Goldsmith, 604 3 requested the City have a borough service area to include our hospital. Doug Olson, 314 2 "d Avenue, had reviewed contracts and feasibility reports at the Harbor. He felt the public involvement process was very important. Council suspended the Rules to allow for additional comments. Erchinger made a point of order to address common rules of courtesy and address Council as a whole, and not address specific staff. DJ Whitman, spoke in favor of the SMIC basin, and felt it should be back to #1 on the federal legislative priority list. Approval of agenda and consent agenda Motion (Clark/Shafer) Approve the agenda and consent agenda The Clerk read the following approved consent agenda items: Approve the January 10, 2003 special meeting minutes of the City Council. City of Seward, Alaska City Council Minutes January 27, 2003 Volume 36 Page 111 Non - objection of liquor license renewals for: American Legion Post #5, Chinooks's Restaurant and the Yukon Liquor Store. Public Hearings- None. New business Resolution 2003-OlO appropriating $26,913 from the general fund fund balance, and authorizing total expenditures of $26,913 for Japanese Delegation expenses while in Alaska. Motion (Clark/Branson) Approve Resolution 2002 -010 Erchinger believed that this program was vital for trade and friendship. She felt it was important to make foreign friends, share our cultural diversity and differences, develop foreign nations, and be a good neighbor and ally. The sister city program had been a worthwhile opportunity for the children of Seward. Motion Passed Unanimous Resolution 2003 -011 appropriating $16,000 for the Waterfront Project Planning and Development, requiring PACAB review the completed application, for funding from Don Young -and appointing a committee. [laydown] Motion (Shafer /Branson) Approve Resolution 2002 -011 Erchinger stated at first this application was described as a 20 -30 page document. That was in error. She requested the money be appropriated to pursue the waterfront planning process. Erchinger also stated that the Port and Commerce Advisory Board wanted to be kept in the loop. Amendment (Clark/Branson) Replace "for funding from Don Young" with "U.S. House of Representative Transportation Committee" in the title and the last whereas, and add City Administration, P &Z to the 4th whereas and section 3, and delete the harbor master from the 4 whereas and in Section 3. Dunham felt it was a golden opportunity and the entire waterfront should be included. There was a need to keep it simple for now to see if the City could get a planning grant. He stated his interest in the application to the transportation committee was for a planning grant, nothing else. Dunham wanted something to show our congressional delegation, and supported the ideal of forming a committee. Amendment Passed Unanimous City of Seward, Alaska City Council Minutes January 27, 2003 Volume 36, Page 112 Orr was confused with the need to appropriate $16,000. He thought the City could plan without this money. Orr stated since the City was still at the proposal and planning stage, he was reluctant to spend money on it. Erchinger stated the intent was to get involved in the planning effort and assure that the new arctic research vessel being built not go to another City. Dunham felt it was a logical time to incorporate this dock project with plans to expand SMIC, and that the City must move fast. Motion Passed Yes: Shafer, Clark, Branson, Valdatta, Dunham, Blatchford No: Orr Resolution 2003 -012 authorizing the Acting City Manager to purchase 30 batteries from C &D Tech. Inc. to be used as starting batteries for generators #3, #4, #5, and #6 at a price not to exceed $34,000 including shipping. Motion (Shafer /Clark) Approve Resolution 2002 -012 Erchinger stated these were significant batteries, and C &D were the only manufacturers of those batteries. Funding was available for this purchase. Motion Passed Yes: Dunham, Branson, Shafer, Clark, Valdatta, Blatchford No: Orr Resolution 2003 -013 continuing Acting City Manager Kristin Erchinger's ten percent salary increase and approving a monthly car allowance until an interim or regular City Manager is hired, and approving a step increase. Motion (Dunham/Shafer) Approve Resolution 2002 -013 In response to Orr, Erchinger stated that City Employees were encouraged to use the City vehicle because it saved.money and was covered by insurance. Employees were reimbursed based on the current IRS mileage rate when they use their own vehicle. This car allowance was intended for use in town. Motion Passed Unanimous Resolution 2003 -014 calling for a special election to be held on April 8, 2003 for the purpose of submission to the qualified voters of Seward the question of repeal of Ordinance 2002 -13, which increased the City sales tax from 3% to 4 %. Motion (Clark/Branson) Approve Resolution 2002 -014 City Clerk Jean Lewis stated a referendary petition was turned in with the sufficient amount City of Seward, Alaska City Council Minutes January 27, 2003 volume 36 Page 113 of signatures needed. The decision was to take this to a vote of the people by special election or repeal Ordinance 2002 -13. She stated this special election must be held within 75 days. The date set for this special election was Tuesday, April 8, 2003. In response to Orr, Lewis stated the approximate cost would be $3000 to $5000 to hold the special election. It was determined that this would be a simple majority vote. In response to Dunham, City Attorney Brad Meyen stated there could be a referendum on any act passed by Council unless prohibited by law. This ordinance did not meet any of the exceptions. Motion Passed Unanimous Resolution 2003 -015 calling for a special election to be held on April 8, 2003, for the purpose of submission to the qualified voters of Seward the question of repeal of Ordinance 2002 -14, which increased the business license fee for charter boat operators. Motion (Shafer /Orr) Approve Resolution 2002 -015 Dunham stated that the fish enhancement task force was requesting to postpone this to look at some alternatives. In response to Orr, City Attorney Brad Meyen stated he felt this business license fee was subject to referendary petition. It changed and bifurcated a fee structure for business licenses to charge different fees for different groups. The ordinance itself did not dedicate revenues. In response to Clark, Meyen stated it was administrative verses legislative. This was a legislative act by the body to change the business license fee. Motion to Postpone (Orr /Branson) Postpone until the next meeting. Motion Passed Yes: Valdatta, Orr, Branson, Shafer No: Dunham, Clark, Blatchford Resolution 2003 -016 approving the City of Seward's calendar year 2003 revised Federal Legislative Priorities. [laydown] Motion (Shafer /Clark) Approve Resolution 2002 -016 Erchinger stated this federal legislative priority list was approved in October 2002, but was asked by the Borough Representative to get City support for Lowell Point Road replacement at the federal level. Council then added items to the list. Amendment (Orr /Clark) To move #5, completion of SMIC dock basin and #6 SMIC improvements back up to the Number 1 position. City of Seward, Alaska City Council Minutes January 27, 2003 Volume 36, Page 114 Council discussed whether the North dock and SMIC should stay at the top of the list, and how important it was to keep the multi- agency idea alive. Amendment Failed Main Motion Passed Other New Business Items Yes: Orr, Clark, Valdatta No: Branson, Dunham, Shafer, Blatchford Yes: Valdatta, Clark, Dunham, Shafer Branson, Blatchford No: Orr Discussion on Kawabe Park financial report and seek direction from Council. Council agreed with Administration to seek a resolution on the siding of the Tougas building, complete some grading work and basic landscaping needs, and be done with this phase of the park project. Accept the resignation of Mayor Edgar Blatchford. Motion (Branson/Dunham) Accept the resignation of Mayor Edgar Blatchford Blatchford stated he was leaving with great reluctance. He had gotten a call from the Governor on New Years Day and accepted the offer to be the Commissioner of the Department of Community and Economic Development. He thanked all for their support and stated The City of Seward had a wonderful reputation around the state, and had hard working and dedicated city workers. Motion Passed Yes: Branson, Dunham, Shafer, Orr Valdatta, Clark, No: None Abstain: Blatchford Appointment of Mayor and direct City Clerk to advertise for council vacancy. Nominations were opened: Dunham nominated Stu Clark and Valdatta nominated Nathan Orr. Stu Clark was elected Mayor. Clark: Dunham, Shafer, Branson, Clark Orr: Valdatta, Orr The following items of business were not addressed because of 11:00 time limit and would be on the next regular scheduled meeting agenda. Discussion and appointment of the establishment of various standing committees of Council. (Clark) City of Seward, Alaska City Council Minutes January 27, 2003 Volume 36 Page 115 Schedule a work session to discuss budget implications of the sales tax referendum. Schedule a work session to discuss City Manager applications after February 7. Council Comments - None Citizens' comments Carla Goldsmith, 605 3rd Avenue, stated that AFHC was not flexible in relocating Glacierview residents. She reported that Ed Oberts would be coming over from the Kenai Peninsula Borough to address the hospital borough service area. Jim Pruitt, Maple Street, felt there was a guarantee of people that would come to Seward if the wave barrier and SMIC basin could be finished. He stated National Oceanic and Atmospheric Administration needed upland support which we have. Pruitt wanted the City to address the wave barrier and finish what was started. Adjournment The meeting was adjourned at 11:05 p.m. Je Lewis City Clerk ,e+ %0. 1 * 1111181 r* O s��, ea F S i� (City Seal) SE AL T - a ® : SEA I eel, 7' Edgar Blatchford L✓ Z Mayor City of Seward, Alaska City Council Minutes February 10, 2003 Volume 36, Page 116 Call to order The February 10, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Lt. Tiner led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kristin Erchinger, Acting City Manager Jean Lewis, City Clerk Christy Terry, Assistant City Clerk Absent - None Proclamations and Awards. A Certificate of Recognition was presented to Dennis Lodge in honor of his ten years of service on the Regional Citizens' Advisory Council. Dennis Lodge thanked the Council in their efforts to keep Seward's waterfront clean. Borough Assembly Report. Borough Assembly Representative Ron Long noted his new address was 32531 Castle Drive. Long gave the Council an update on: the design study for the Middle/High school, the Assembly work session on the Borough Legislative Priority List, Lowell Pt. Road, progress on flood mapping in the Borough, and the Lowell Point Emergency Service Area. Long informed Council that the new Emergency Management Coordinator was Dave Gibbs. He also noted he attended a meeting that included Ed Oberts and members of the community trying to set up a hospital service area. City Manager's Report. Acting City Manager Kristin Erchinger gave an overview of the Washington D.C. lobbyist report. On the State level she noted there were two prison bills the State Lobbyist was monitoring. Erchinger reported that the Wesley Providence contract negotiations were - nearing completion, and a work session would be held to bring the information to the public. Erchinger described the public meeting held with Ed Oberts, Assistant to the Kenai Peninsula Mayor, regarding creating a Hospital Service Area. She then updated the Council and Public on the demolition of the Scows in the harbor area. Erchinger explained that due to the ice the contractor City of Seward, Alaska City Council Minutes February 10, 2003 Volume 36 Page 117 cleaned the site as much as possible and left two piles for the spring. She clarified that $5,000 was withheld until this job was completed. Erchinger also clarified that the Council was given incorrect information when the resolution to purchase the Generator Batteries was brought before them. She then stated that she had asked staff if C & D were the only manufacturers of the generator battery. The answer was yes, but she later learned another type of battery could be used if there were modifications made to the Generator system. Once this information was uncovered, the Administration corrected the thinking error. Erchinger noted good news that the employee health insurance premiums only increased 7% instead of the projected 15 %. She noted that employees pay for 7' /z% of their insurance premiums. Erchinger asked the Council to provide her with direction on obtaining an appraisal of the Quarry. On the Personnel front, Erchinger noted they had a short list of applicants to interview for the Personnel Office and that she had received one in house application for Police Chief. She updated the Council on the lease swap with the Alaska Railroad and the efforts to retain the Seward Recording Office. Erchinger noted the Administration had been researching and reviewing the current city noise ordinance. Erchinger explained the procedure of public comment and tried to clarify when Council and the Public could have an open dialog. In response to Shafer, Erchinger noted that Nash Road repairs were slated to begin in 2005. She stated she would look into the status of repairs on the Lowell Creek Tunnel. Valdatta suggested not only reviewing the noise ordinance, but also reviewing construction codes to require businesses to build with sound proofing in mind. Other Reports, Announcements and Presentations Presentation by Jim McCracken on behalf of the Fish Enhancement Task Force. Citizens' comments on any item not scheduled for public hearing. Paul Carter, 700 D Street, spoke in support of the City revising the noise ordinance to be more restrictive in the downtown area. He also spoke in support of registering a letter of objection for the renewal of the New Seward Saloon's liquor license that would appear at the next Council Meeting. Carla Goldsmith, 134 3 rd Avenue, spoke in support of a hospital service area. She noted the community meeting they had at the Marina Restaurant in the Harbor was a good example of a town meeting. Diane Dubuc, slip E -32, spoke in support of the Council repealing the increase of business license fees. She stated the Charter Industry was not against fisheries but against one business segment funding an industry that benefited all of Seward. Carol Lallatin, 317 3 d , spoke against Non -Code Ordinance 2003 -02. She stated that this Ordinance might be legal, but it was not good public policy. City of Seward, Alaska City Council Minutes February 10, 2003 Volume 36, Page 118 Harry Noland, slip C -46, was insulted when the Acting City Manager reviewed the — appropriate times for Council and the public to exchange comments. Approval of agenda and consent agenda Motion (Shafer/Branson) Approve the agenda and consent agenda Clark added Agenda item C6 "Discuss and Direct Administration regarding Quarry Appraisal Motion Passed as Amended. Unanimous. The Clerk read the following approved consent agenda items: Non - objection of liquor license renewal of Christo's Palace. Public Hearings- None. Unfinished business Resolution 2003 -015, calling for a special election to be held on April 8, 2003, for the purpose of submission to the qualified voters of Seward the question of repeal of Ordinance 2002 -14, which increased the business license fee for charter boat operators. Orr stated that as sponsor of the original ordinance the initial reasoning had been lost in the current political atmosphere. He noted that Council was approached by a group of Charter Businesses looking for a funding mechanism to purchase salmon smolt for release into Resurrection Bay. He now supported repealing the original ordinance and failing this resolution. Motion Failed Unanimous Discussion and appointment of the establishment of various standing committees of Council. Clark appointed: Anne Castellina, Frank Rue, Tylan Schrock, Ron Long, Michael Kania, Willard Dunham, Malcolm Brown, Debra Altermatt and Sandie Roach', to the Waterfront Planning Ad Hoc Citizen Advisory Committee. Orr clarified that these meetings would be noticed and would be open to the public. He stressed the need for the Council to provide this committee (and all the Council committees) with a mission statement and clear goals and direction. Council unanimously approved the Mayor's appointments. Clark explained his desire to form four three- person Special Ad Hoc Council Study Committees to cover the following topics: City Property, Community Health and Social Services, Economic Development, and Infrastructure and Utilities. He asked the Council to contemplate City of Seward, Alaska City Council Minutes February 10, 2003 Volume 36 Page 119 serving on the committees that interested them. He also requested the current Council liaisons make regular reports to Council. Valdatta stated any Economic Development Ad Hoc Committee should pursue international economic trade. Orr reiterated his desire for these committees to have clear direction, goals, and benchmarks that could be monitored and evaluated. He stated he thought it might be helpful to have non - council members on these committees. Dunham noted his pleasure at being able to work on planning for Seward's future instead of only reacting to issues. Clark suggested scheduling work sessions for the Monday nights the Council does not hold Regular Meetings. Schedule a work session to discuss budget implications of the sales tax. Council unanimously set Town Meetings on March 3 and March 5 at 6:30. Schedule a work session to discuss and review the City Manager applications. Council unanimously set a work session for February 20" at 6:30. Council recessed for 10 minutes beginning at 8:50 p.m. New business Ordinances for Introduction Non -Code Ordinance 2003 -02, appropriating $2,500 to make expenditures to influence the outcome of an election concerning a ballot question to oppose the repeal of Ordinance 2002 -13, which increased the city sales tax from 3% to 4 %. Motion (Shafer /Branson) Introduce Non -Code Ordinance 2003 -02 Clark noted that this ordinance was on the agenda as introduction only. He explained that if a public hearing was set it would occur during the February 24, 2003 Regular City Council Meeting. Motion Passed Resolutions Yes: Branson, Dunham, Shafer, Clark No: Orr, Valdatta Resolution 2003 -017 supporting the USDA Forest Service Proposal to improve and redevelop the Iditarod National Historic Trail, Seward to Girdwood. City of Seward, Alaska City Council Minutes February 10 2003 Volume 36, Page 120 Motion (Branson /Shafer) Approve Resolution 2003 -017 Erchinger stated that the Former City Manager Scott Janke had sent a letter in support of this plan. Branson noted her sponsorship of this resolution stemmed from the presentation the Forest Service made some months ago. Valdatta expressed his concerns that development in this area would be restricted in the future if the trail was developed. Council relaxed the rules to allow Borough Assembly Representative Ron Long an opportunity to answer questions. Long stated that his understanding was that there would be a 1,000 - foot corridor that could only be used as a motorized and non - motorized trail. Motion Passed Yes: Branson, Dunham, Shafer, Orr, Clark No: Valdatta Resolution 2003 -018 authorizing the Acting City Manager to issue a purchase order to Wesco for a 1000 KVA,12470GRDY /7200- 277/480 volt, 3- phase, stainless steel transformer for use at the Alaska Railroad passenger dock. Motion (Dunham/Branson) Approve Resolution 2003 -018 Erchinger stated that the City would purchase this transformer for the Alaska Railroad (ARR) and that the ARR would reimburse the City for all costs. Erchinger then reported the Administration had requested 6 quotes and 3 had been returned. At this time they were requesting Council purchase the transformer with the lowest bid. In response to Valdatta, Manager of Electric Utilities Dave Calvert stated a new switch would come with the transformer. In response to Orr, Erchinger clarified that this would be a direct bill item, not a minimum excess payment charge. Motion Passed Unanimous Resolution 2003 -019, authorizing the Acting City Manager to pay the December billing of Kemppel, Huffman & Ellis, P.C., for services rendered on behalf of the City of Seward in monitoring and participating in the latest Chugach Electric Association (CEA) rate case before the Regulatory Commission of Alaska (RCA). Motion (Branson /Dunham) Approve Resolution 2003 -019 Erchinger explained that last month Council approved a resolution for Kemppel, Huffman & Ellis' November Bill and this was the December bill. She noted that this company was hired to City of Seward, Alaska City Council Minutes February 10, 2003 Volume 36 Page 121 monitor the outcome of the rate case because the outcome was vitally important to Seward. Erchinger stated that the last two bills had been large because the case was nearing completion. Calvert stated that these attorneys did an excellent job and the outcome was favorable for Seward. Seward had the lowest rate increase of all the communities. In response to Orr, Calvert stated the attorney testified and filed two motions. Calvert clarified that the attorney's instructions were to only get involved to protect Seward's interests. Motion Passed Unanimous Other New Business Items Election of Vice- Mayor. The nominations were open: Dunham nominated Shafer and Valdatta nominated Orr. Vanta Shafer was elected Vice -Mayor Shafer: Dunham, Shafer, Branson, Clark Orr: Valdatta, Orr Vice Mayor Vanta Shafer took the oath of office. Appointment of Planning and Zoning liaison. After discussion Council unanimously decided that at this time Stu Clark would remain the Planning and Zoning Liaison. Discuss and Direct Administration regarding Quarry Appraisal RFP Motion (Dunham/Orr) Direct Administration to seek a RFP for a Quarry Appraisal Dunham stated he felt this was an excellent idea and would like to see an honest appraisal of the Quarry. Orr expressed concerns regarding a costly appraisal. He felt the quarry's value was creating jobs and putting people to work. He stated he did not support spending funds on an appraisal. Shafer asked the Council if the City supplied services to the public or was an entity in the business of conducting business? She felt Council should decide where they stood on this question. Dunham felt that the quarry was a public resource and it was Council's responsibility to find how much it was worth. Motion Passed Yes: Branson, Dunham, Shafer, Clark No: Orr, Valdatta Informational Items and Reports City of Seward, Alaska City Council Minutes February 10, 2003 Volume 36, Page 122 City Clerk completion certificate of the 2003 advanced academy on parliamentary procedure. Council Unanimously moved Agenda Item C4 (Go into executive session for the purpose of discussing strategy and contract negotiations on Providence and Wesley Agreements and give direction to the Administration) to the last item on the agenda. Council Comments Orr congratulated Vanta Shafer on her election as Vice - Mayor. He thanked Assistant City Clerk Christy Terry for her service to the City. He noted his disappointment at not discussing the possibility of an interim City Manager at this meeting and clarified he would like this addressed at the work session. He complimented Kristin Erchinger on her fine job of Acting City Manager and noted that she was being asked to do an overwhelming task. Orr noted his pleasure at Erchinger's honest report of the 'battery caper' and thanked staff for rectifying the situation. He then cautioned the public that the current atmosphere was to find fault and look at the negative. Orr asked everyone to bring the emotion down a notch and step back in order to work in the spirit of constructive criticism. Orr reiterated that the Ordinance to fund a mechanism to bring fish into Resurrection Bay was a good concept poorly executed. He felt the public was worried that the intent of these designated funds would be forgotten. Orr thanked the public for becoming involved and stated that pubic input and accountability was a positive development. He noted that this was the most public involvement he had seen in his 5 years of being on Council. Shafer thanked Dennis Lodge for the great job he had done on the RCAC and wished him luck. She noted that Lodge had fought to get oil spill equipment here in Seward and had continuously worked in the public's interest. Shafer also thanked Assistant City Clerk Terry for her work. Shafer noted that the Symposium was a fantastic success and thanked Sandy Wassilie and the Symposium Committee for all their hard work and organization. She thanked the large public crowd for attending and stated it was nice to hear from the community. Branson echoed Shafer's comments regarding the Symposium. She also complimented Lt. Tiner on his professional demeanor during Council Meetings. V aldatta apologized for jumping the gun and questioning the City Manager about the Scows. Once he was able to review the property he stated the contractor had done an excellent job. He felt more of that area could use cleaning up. Dunham began by praising the Symposium as outstanding. He noted the Friday night Wax Museum was standing room only and the elementary students had done a fantastic job of being excited about Seward's history. Dunham expressed concern that Seward was being placed at a disadvantage because of the lack of accessibility to fiber optics. He noted he had requested the Administration look into the work practices in the SMIC uplands. Dunham had been contacted by a few businesses complaining that they had been run out of town due to the expense. He expressed he wanted to address the noise ordinance. City of Seward, Alaska February 10, 2003 City Council Minutes Clark felt that Dennis Lodge would be sorely missed. He encouraged everyone with an interest to apply. He thanked Sandy Wassilie and everyone involved with the Symposium for a fantastic program. Orr asked Administration if there was a baseline study of the soil in the area of the scows, or if one would be done when the debris from the scows was completely removed? Citizens' comments- Carl Norman, .5 Bear Lake Drive, spoke in support of Longshoremen working on the waterfront development project. He noted that Longshoremen had been an important part of Seward's history and an important part of Alaska's history. John Whisomore, Alpha Helix Seaman, stated that the way to get people involved was to include them in the process. He noted that majority rule was important, but at the same time the majority needed to be conscious of the minority's rights. Brad Snowden, 2215" Avenue, spoke in support of a noise ordinance. He noted that he had worked over two years with the City to develop the current noise ordinance. Snowden clarified with Council that he had not been cited with any noise violations by the Seward Police Department. Carla Goldsmith, 134 Yd Avenue, stated that the City was giving money away left and right. She questioned Council's intent when the rest of the Country was reducing their spending. Goldsmith listed her main concerns as: the 'Million Dollar Toilet,' City debt, and the $2,500 to lobby the Sales Tax issue. She ordered Council to cut their budget or their group would file a petition against any Council action. Tim McDonald, mile 2 Nash Road, spoke in appreciation of Acting City Manager Kris Erchinger's comments. He reiterated the need to hold a Town Meeting where everyone's opinions could be heard. Nina Daley, 416 0 9 stated that the Port and Commerce Advisory Board was no longer solely concerned with Harbor/Port issues. Council and administration response to citizens' comments Clark clarified his remarks on the Port and Commerce Advisory Board. He recogn issues. ized that their scope of input was larger than the harbor, but stated their current concentration was on harbor Orr expounded on the Acting City Manager's remarks and referred to Robert's Rules of Order as the main reference for conducting Council meetings. He noted that in order to conduct the City's business it was hard to have a back and forth dialog with the public. He noted the Council welcomed public input in order to do their job. Valdatta requested PACAB examine the insurance requirements to decide if these City Council Minutes City of Seward, Alaska Volume 36, Page 124 February 10 2003 requirements were hindering business. Erchinger explained that PACAB would be addressing the SMIC Uplands Boat Work Policy. She echoed the thanks of the Council for the wonderful Wax Museum. Erchinger stated she would be willing to provide Orr with a copy of the contract for the Scow demolition. She informed the public that State law required Municipalities to appropriate for any sort of information being distributed on a ballot proposition, even if the municipality was totally neutral in the information it presented. Go into executive session for the purpose of discussing strategy and contract negotiations on Providence and Wesley Agreements and give direction to the Administration. Motion (Dunham/Branson) Go into executive session Motion Passed Unanimous Council convened into executive session at 10:28 p.m. Council reconvened into their Regular Meeting at 10:59 p.m. Adjournment The meeting was adjourned at 11:00 p.m. �hriqV Terry _,/ - AssAkant City Clerk �.011111 X100' ON `p (City Seal) .� . "Q fic> � • P ^7 � � �p b a °w° C5� a vU�R 1� {' +e L r d'%'4 v OF g v9 `�trria 1810 to Clark Mayor City of Seward, Alaska City Council Minutes February 24, 2003 Volume n Page Minutes Call to order The February 24, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Chief Brossow led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kristin Erchinger, Acting City Manager Christy Terry, City Clerk's Contractor Absent - None Borough Assembly Report. Borough Assembly Representative Ron Long gave an overview of the previous Assembly meeting. He noted: working with the school district on their budget shortfall, a small delegation of Borough staff and Assembly Members would be taking the Borough's Legislative Priorities to Washington D.C., a resolution for responsible development of the coastal plain, and that a resolution limiting correspondence by Borough Boards and Commissions had been discussed but tabled. In response to Valdatta, Long stated the Kenai Peninsula Borough was making progress on the 911 mapping with GIS technology and the use of the KPB satellite office in City Hall. City Manager's Report. Acting City Manager Kristin Erchinger was pleased to report a company had purchased the Ward's Cove fish processing plant. She noted the RFP process was moving forward with regards to the Quarry operator. Erchinger then explained that there had been limited progress on the Lowell Tunnel repairs because the unseasonably warm weather did not allow the tunnel to completely drain. She also explained the contractor was trying to work around this problem and minimize the mobilization and demobilization expenses. She thanked the City's Washington D.C. lobbyists for the help with the amount of funding the City had obtained from the federal government. Erchinger announced that the City and Providence had completed their negotiations and the final documents of this agreement would be available for public review on Friday. She then thanked everyone who had been involved with the co- location process. Erchinger then moved to the personnel front and reported that the new Executive Assistant/ Personnel Director Sarah Spanos would begin on March 19` there had been ten applications received for the Assistant City Clerk position, and the Chief of Police application period had been closed. She then informed City of Seward, Alaska City Council Minutes February 24, 2003 Volume 36, Page 126 the Council and public that two Town Meetings would be held on March 3 and 5 at the IMS Rae Building beginning at 6:30 p.m. Other Reports, Announcements and Presentations Council Applicants: Linda Amberg, Iris Darling Linda Amberg made a statement to the City Council on her qualifications and why she should be chosen as a City Council Member. Cindy Waleizer read a statement from Iris Darling who was unable to attend the meeting. Planning and Zoning Commission applicant: Nina Daley Nina Daley, 416 4th Avenue, gave a statement on her qualifications and why she should be chosen as a Planning and Zoning Commissioner. Applicant for Prince William Sound Regional Citizens' Advisory Council: John French John French, 506 4 Avenue, gave a statement on his qualifications and why he should be chosen as Seward's representative on the Prince William Sound Regional Citizens' Advisory Council. Presentation by Stephanie Berglund, School -Based Mentoring Director for Big Brothers, Big Sisters Program. Program Regional Coordinator Stephanie Berglund gave an overview of the program. Citizens' comments on any item not scheduled for public hearing. Tim McDonald, Mile 2 Nash Road, expressed his concerns with the waterfront development committee formed by the City Council. Skip Reierson, 220 North Star, noted his concerns with the well being in the community. He noted individuals should treat one another with trust and respect. He thanked Acting City Manager Kristin Erchinger, the City Council, the City Clerk, the City Department Heads and all the citizens of Seward for all their work in making Seward a better place to live. He urged everyone to work together. Dave Crane, 210 4 Avenue, expressed concerns with the rising City budget. He noted it was easier to spend money then to make needed cuts. He noted that everyone needed to be treated with respect. Cindy Waleizer, Bear Lake, spoke in support of his Darling being appointed to Council. Paul Carter, 700 5 Avenue, spoke in support of a revision of the noise ordinance and spoke against the New Seward Saloon's renewal of liquor license. City of Seward, Alaska February 24, 2003 City Council Minutes Volume 3 6, Page 127 Brad Snowden, 221 5th Avenue, apologized for the 4` of July party held at Preacher's Pond and stated an incident like this would never happen again. He spoke in support of his renewal of liquor license. Doug Olsen, 314 2 Avenue, requested a moratorium on all City spending. He spoke about many of his concerns including: the need to raise the pay for the Chief of Police, the Waterfront Park project, school funding, advocating for an ice skating rink, and then thanked everyone for their work on Council. Carol Lallatin, 317 3 rd Avenue, spoke against Ordinance 2003 -02. She noted that if the City was going to spend money to lobby they should provide the same amount to the individuals who called for the referendum. Approval of agenda and consent agenda Motion (Dunham/Shafer) Approve the agenda and consent agenda Clark added the following Agenda items under Other New Business, with no objection istration from Council: Discussion of City Manager Application Process, Instruct Admin to write a letter in support of Senator Stevens, and Discussion of State Legislation Prison appropriations. regarding Motion Passed as Amended Unanimous The Clerk read the following approved consent agenda items: Approval of the January 13 January 27, and February 10, 2003 regular city council meeting minutes. Non - objection of liquor license renewal of New Seward Hotel/New Seward Saloon. Non - objection of liquor license renewal for Apollo Restaurant. Non - objection of transfer of liquor license for Thorn's Showcase Lounge. Carol Griswold and Nina Daley were appointed to serve on the Planning and Zoning Commission for a three -year term to expire February 2006. John French was appointed to the Prince William Sound Regional Citizens' Advisory Council for a two -year term to expire March 2005. Ordinances for Public Hearing and Enactment Non -Code Ordinance 2003 -02 appropriating $2 to make expenditures to influence the outcome of an election concerning a ballot question to oppose the repeal of Ordinance 2002 -13, which increased the city sales tax from 3% to 4 %. City Council Minutes City of Seward, Alaska Volume 36, Page 128 February 24 200 Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (BransonNaldatta) Approve Non -Code Ordinance 2003 -02 Erchinger noted this request was in compliance with the requirements of the Alaska Public Offices Commission (APOC) and State Statutes requiring Municipalities to register when expending funds to influence the outcome of an election. She noted that this requirement severely limited what materials the City Administration and Council could provide for the public to help them make an educated choice unless funds were appropriated and these items were filed with APOC. Erchinger stated she wanted the City to be protected in the event any educational material was misconstrued as trying to influence the public's vote. In response to Clark and Orr, Erchinger stated that a meeting could be a required reported item by APOC and that staff time was also a possible expenditure that would fall under these requirements. She noted anytime the City spent money because of this issue they had ten days to register this expenditure with APOC. Valdatta revisited the issue of a seasonal sales tax. Branson noted the Council had held extensive public hearings on the budget over several months and felt the Council and Administration had been upfront about the need for a sales tax. Motion Passed Yes: Shafer, Branson, Dunham, Clark No: Orr, Valdatta Unfinished business Formation of Special Ad -Hoc Study Committees: City Property, Community Health and Social Services, Economic Development, and Infrastructure and Utilities. Clark discussed his thoughts behind supporting this agenda item. Branson stated her interest in serving on the committees regarding City Property and Infrastructure and Utilities. Shafer noted her interest in City Property and Community Health and Social Service, and stated she would prefer committees that included members of the public. Orr stated prior to volunteering, or even voting in favor of forming these committees, he would prefer to know their goals and objectives. Dunham stated his interest in Economic Development and Infrastructure and Utilities. After discussion, Council unanimously set a work session to discuss the issue in more detail and would discuss it at the following Council Meeting. City of Seward, Alaska City Council Minutes February 24, 2003 Volume 36 Page 129 New business Resolutions Resolution 2003 -020 appropriating $2,500 to the City Clerk Elections budget to conduct the special municipal election on April 8, 2003 Motion (BransonNaldatta) Motion Passed Approve Resolution 2003 -020 Unanimous Resolution 2003 -021 rescinding Resolution 2003 -012 and authorizing the acting City Manager to purchase 30 batteries from Seward Heavy Industrial Power at a price not to exceed $16,800 including shipping, to be used as starting batteries for generators #3, #4, #5 and #6. Motion (OrrNaldatta) Approve Resolution 2003 -021 Erchinger stated this vendor was able to offer the lowest price to replace the batteries. In response to Valdatta, Utility Director Dave Calvert stated he hoped to provide for the disposal of the batteries by selling them. In response to Shafer, Calvert stated the batteries from Seward Heavy Industrial Power would be able to fit into the current setup without modifications. Motion Passed Unanimous Resolution 2003 -022, authorizing the Acting City Manager to pay dues owed to the Alaska Rural Electric Cooperative Association ( ARECA) for the Year 2003 in the amount of $16 Motion (Dunham/Branson) Approve Resolution 2003 -022 Erchinger noted some of the benefits of the City belonging to ARECA such as employee training. Calvert clarified that every major utility in the United States belonged to an organization of this type. He also noted the benefits of. shared resources, grant information, problem solving assistance and training. Calvert noted that this was the only organization of this type in Alaska. In response to Valdatta, Calvert stated ARECA had done some bulk purchasing in the past. Motion Passed Other New Business Items Unanimous Appointment of a new council member to fill council vacancy with the term to expire following the October 2003 regular election. Two applications were received: Linda Amberg, and Iris Darling. City of Seward, Alaska City Council Minutes February 24, 2003 Volume 36, Page 130 Clark appointed Linda Amberg without objection from the Council. Clark noted that Amberg had the next highest amount of votes in the last election. Schedule a work session to discuss the Providence management agreements and the Wesley lease and transfer agreements. After Council discussion a work session was set for March 4` at 6:30 p.m. City Manager application procedures. Council discussed the need to obtain a form of questions to ask the references of the remaining applicants. The need to follow personnel law was discussed. Letter to Alaska Municipal League in support of Senator Ted Stevens. Clark explained that AML was looking for a note card from each City with a short note of personal thanks and a city pin. He noted that they were requesting these items be mailed by March 1" to AML's office in Juneau. When fully complied this would be presented to Senator Stevens in Washington D.C. Council directed the Administration send the requested items. Legislative Bills regarding Prison Appropriations Shafer requested a ruling if she had a conflict of interest because her husband worked for the prison. Mayor Clark ruled, for this discussion, Shafer did not have a conflict of interest. Dunham requested the City take an active interest in these bills. Council discussed the details of the bills. Kent Dawson had suggested the Council send representatives to discuss Seward's position in Juneau before the end of March. Orr and Dunham volunteered to travel on behalf of the City. Shafer spoke against private prisons. Orr suggested making a decision on what would bring the most benefit to Seward. Valdatta suggested the Council discuss this issue with Spring Creek's Superintendent Craig Turnbull. Orr suggested a teleconference with Kent Dawson prior to the trip. Dunham discussed the original vision of Spring Creek. City of Seward, Alaska City Council Minutes February 24, 2003 volume 36 Page 131 After Council discussion a work session was set to discuss legislative issues for Thursday at noon. Informational Items and Reports Forest Acres /Gateway Report by W.C. Casey. Public Utility Director W.C. Casey stated that $397,000 was remaining to complete this project. He noted that the Council had chosen a route with a price tag of $865,000 plus. He suggested pursuing low interest loans and choose a fiscally conservative coarse of action. Erchinger explained the loan program available. Council discussed the route possibilities and the route chosen. Council supported pursuing low interest loans. Administration stated that if the project doesn't score high enough to obtain the low interest loan, then they would pay for the project out of the Water /Sewer reserves. Status Report from Brad Gilman. Council Comments Valdatta requested the City follow up with Afognak's request to remove gravel from the quarry. He noted the City could use the money. Valdatta added he would like to see the local Pollack fisheries opened. Dunham stated the Waterfront Development Committee met last week and would be working with the Park Service to use as much as $200,000 for planning money for the project. He attended a presentation about a coastal observation system involving buoys in the ocean outside of this area continuing to the Bering Sea. Dunham was excited that they might want to base the program in Seward. He then stated he felt the Council should review the school funding formula. Dunham felt the City should be more active in the quality of local education. Clark suggested adding the education issue on the agenda for our City lobbying effort with the State Legislature. He reiterated that the Waterfront Planning Committee met twice on Tuesday. Clark was pleased to see John French step forward to serve on RCAC. He then congratulated Linda Amberg, Nina Daley and Carol Griswold. Citizens' comments- Doug Olson, 314 2 °d Avenue, stated the City was operating on a growth -based mentality and not taking care of the infrastructure all ready in place. He questioned asking for more money from the state when there were so many road projects that needed completion. Olson complained about service he had received from the Harbor Department. He felt business was being turned away from Seward. Olson stated that the plans for the Harbor Expansion were not feasible. He requested the Council sell SMIC. City of Seward, Alaska City Council Minutes February 24 2003 Volume 36, Page 132 Council and administration response to citizens' comments Erchinger stated Afognak had not submitted any written requests to the Administration to use the quarry. She noted she would look to Council for approval of any short-term contracts with Afognak. Erchinger stated at the last PACAB meeting there was a question as to why the city was not accommodating large barges. Erchinger clarified that the former City Manager had extended an invitation to these barges, but they did not take advantage of the offer. In response to Valdatta, Erchinger stated it was her understanding that the Coast Guard asked for their berth in the harbor. Orr clarified that the City was not moving forward with Afognak's request and received an answer in the affirmative. Clark shared the thanks of the State Historic Preservation Officer to the local Historic Preservation Commission. Adjournment The meeting was adjourned at 10:25 p.m. st terry � i ity Clerk Contractor (City Seal) cea°!�r I °r►s "��r `o S LI I tt O � Stu Clark Mayor City of Seward, Alaska City Council Minutes March 10, 2003 Volume 36, Page 133 Call to order The March 10, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Lieutenant Tiner led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Willard Dunham Nathan Orr Linda Amberg Margaret Branson Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kris Erchinger, Acting City Manager Brad Meyen, City Attorney Cheryl Brooking, City Attorney Jean Lewis, City Clerk Absent - None Special orders, presentations and reports Proclamations and Awards. A proclamation was presented for Marsha Vincent, commending her for her work with the Cystic Fibrosis Foundation. Borough Assembly Report. Borough Assembly Representative Ron Long went to Washington D.C. and the Assembly was asked to prioritize all borough projects and assign them to one of 13 appropriations bills. He stated the Borough would be accommodating that request by April 1. Long felt large transportation project design money should be requested in this appropriation cycle in the event T21 authorization would happen next year. Long mentioned that 10 million dollars in funds were allocated to seafood marketing, and that the Homeland Security Act appropriation had taken away some funding for police and fire protection. He stated that Senator Murkowski had introduced a bill that would allow the Denali Commission to allocate 400 million dollars a year for roads, and he appreciated the support from Council to resolve the 9 -1 -1 call issue that would go before the Assembly tomorrow. City of Seward, Alaska City Council Minutes March 10 2003 Volume 36, Page 134 City Manager's Report. Acting City Manager Kristin Erchinger stated that the sno -cross race that was scheduled for March was cancelled due to lack of snow. This event was intended to'be a money maker to subsidize other centennial events this year, but the City would try and bring this , event back in December. She stated the finance department was preparing for two weeks of audixs beginning next week. Erchinger stated she would be meeting with the Commissioner of Health and Social Services to request extension of exceptional relief payments to Wesley. She stressed that the extension of these payments was critical in keeping the Wesley facility open. Erchinger stated the following City projects were included in the Governor's 2004 capital budget: ■ 1.47 million dollars to upgrade the 3` avenue water main from the Sealife Center to Napa. ■ $99,800 for a sewer /water source study. ■ $74,198 for capital matching funds to purchase street department equipment. ■ 7.5 million to fund the mile 0 -8 Dept. of Transportation road project. Erchinger stated the Quarry RFP appraisal had closed with three responses. The administration had been working with the state lobbyist on the expansion of the prison, and discussing the issues of cost justification, recruitment method changes and housing concerns. She reported that Sarah Spanos was the new Personnel Director and interviews were being conducted for the position of Assistant City Clerk. Erchinger thanked the public for their participation at last week's town meetings. City Attorney's Report. City Attorney Brad Meyen had worked on several resolutions and prepared one ordinance in the last month. Most of their time had been spent on the Providence /Wesley agreements that were on tonight's agenda. Other Reports, Announcements and Presentations. - None Citizens' comments on any subject except those items scheduled for public hearing. Keith Campbell, 1910 Forget Me Not Circle, complimented the council for doing what they were elected to do, and that was to make the hard decisions. He detected a malaise this winter that had infected the community. He deplored the negativism that was reflected in the newspaper articles and around town and urged the town to remain positive, to back their council positively, and to focus on what Seward had to offer. Approval of agenda and consent agenda Motion (Dunham/Shafer) Approve the agenda and consent agenda. City of Seward, Alaska City Council Minutes March 10, 2003 Volume 36 Page 135 The topic of annexation discussion would be added to the March 24 meeting agenda, scheduling a work session on prioritizing city capital projects for the state lobbyist was added, and another executive session to discuss pending litigation with Swalling Construction was added after #13. Motion passed Unanimous The Clerk read the following approved consent agenda items: Approval of the February 24, 2003 regular city council meeting minutes. Public hearings Resolution 2003 -006 authorizing the City Manager to enter into two lease agreements with the Alaska Railroad Corporation (ARRC) for an exchange of lands along 4` Avenue. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Dunham/Shafer) Approve Resolution 2003 -006 Acting City Manager Kris Erchinger reported that this resolution would exchange the city owned sliver of land adjacent to the new Pruitt hotel in the small boat harbor, in exchange for two leases on Alaska Railroad owned parcels by the oil recycling facility and fish cleaning station. She stated these were mutual lease exchanges for a term of 35 years. City Attorney Cheryl Brooking stated these were intended to be reciprocal leases with no expense to either party. She stated there were back up rent provisions as required per city code in the event a reciprocal arrangement no longer existed. If that were to occur, the fair market lease rental value would then automatically kick in. Brooking noted that these leases differed from the usual leases because they dealt with governmental entities and a reciprocal swap of leases for no value. She stated this agreement took into consideration the Alaska Railroad and their own lease policies and procedures and complied with city ordinances. Brooking informed that this was a swap of land for mutual benefit. She also stated the City would be required to pay for all or a portion of soil sampling that would be done on these sites. Motion Passed Yes: Amberg, Branson, Shafer, Orr, Dunham, Clark No: Valdatta Resolution 2003 -023 authorizing the City Manager to enter into three separate agreements, described as follows: Management and Operating Agreement with Providence Health System in Alaska to be the operator and manager of Providence Seward Medical Center and Providence Wesley Care Center, for a period of four years with a one -year option to extend. City of Seward, Alaska City Council Minutes March 10 2003 Volume 36, Page 136 Transfer Agreement with Wesley Rehabilitation and Care Center, Inc. for the purpose of transferring the operations of the long -term care facility, currently called the Wesley Rehabilitation and Care Center, to the City. Lease Agreement with Women's Division of the Board of Global Ministries of the United Methodist Church for the City to lease the property currently known as Wesley Rehabilitation and Care Center, for the purposes of co- locating long -term care services with the existing hospital facility. Notice of the public hearing being posted and published, as required by law, was noted and the public hearing was opened. Council Member Shafer declared a conflict and left the dais. Duane Chase, 338 First Avenue, spoke in favor of this resolution. He felt this was the window of opportunity to allow co- location, and to stabilize healthcare for the City. Chase reported there was stability in the present arrangement, and these two facilities needed one another. Keith Campbell, 1910 Forget Me Not Circle, spoke in support of Resolution 2003 -023, and reminded the City that out of 70 or 80 years of healthcare in Seward, the city had always owned the facility, with operation changing only in the last 9 or 10 years. He stated in the shadow of bankruptcy facing Wesley and their 2.5 million dollar payroll, it would be a shame if this co- location deal did not go through. Campbell noted that co- location had been working well in other communities. Jennet Hermiston, Bear Lake, also spoke in favor of the resolution to co- locate, and supported the hospital and Wesley. She felt it was imperative to have 24 -hour care available. Motion (Branson /Amberg) Approve Resolution 2003 -023 Erchinger stated there had been in -depth discussions on each of these agreements with the public. She stated it was one year ago the state stepped in to close Wesley. She reported co- location had been talked about for years and all professionals consulted stated the only solution was co- locating, and that both facilities must be in the control by one owner. Erchinger stated that under co- location, the Medicaid reimbursement rates were higher compared to stand alone facility rates. This gave the incentive to co- locate, making the facility financially viable in the long run. She stated by co- locating, the facility would receive $89 a day more per patient, resulting in an additional million dollars to Seward. Any duplication would be incorporated into one, thus reducing costs. Erchinger stated the hospital would be a financial burden to taxpayers if they did not co- locate, and felt this was the only solution for healthcare services in Seward. She noted the expected net profit a year would be $250,000. Although Erchinger supported the right to vote on either issue, she cautioned the public that the ramifications of a referendum would result in the final closing of Wesley Care Facility and the loss of opportunity to co- locate. Erchinger was sure the State of Alaska would not extend the exceptional relief payments if a referendum petition occurred. City of Seward, Alaska City Council Minutes Volume 36, Page 13 March 10 200 7 Clark stated all opportunities to co- locate and consolidate these two facilities would be lost. Dunham felt there were shortcomings, but medical services in the community were more important. He thanked all who worked on keeping the facilities open and running, and hoped the public would gather around the concept and approve it. Clark stated they had reliable advice from the consultants, and had confidence in the co- located facilities. In response to Valdatta, Erchinger stated that the City had not subsidized the hospital since 1996, and Providence had solely absorbed the losses of that facility. The taxpayers had not contributed anything other than the debt service. Motion Passed Yes: Amberg, Branson, Valdatta, Orr, Dunham, Clark Abstain: Shafer Unfinished business Formation of Special Ad -Hoc Council Study Committees: City property, Community Health and Social Services, Economic Development, and infrastructure and utilities. Some discussion ensued and it was agreed other areas needed interest for now and this would be re- addressed at another time. Motion (Shafer /Branson) Postpone indefinitely Motion Passed New business Ordinances for Introduction Unanimous Ordinance 2003 -03, rescinding Ordinance 2002 -14 which amended Seward City code section 8.30.25(c)(1) by increasing the annual business license fees for persons providing fishing charter services, and restate Seward City code section 8.30.25(c)(1) as it existed prior to enactment of Ordinance 2002 -14. Motion (Dunham/Shafer) Introduce Ordinance 2003 -03 Motion Passed Unanimous City of Seward, Alaska March 10, 2003 Resolutions City Council Minutes Volume 36, Page 138 Resolution 2003 -024 appropriating $8,423 from the Harbor Enterprise Fund retained _ earnings account to the Harbor Enterprise Fund operating budget to pay a claims settlement. Motion (Orr /Branson) Approve Resolution 2003 -24 % Erchinger stated this settlement claim was reached with an individual that had slipped and fell in the harbor showers in July 2002. She stated the City's deductible was $10,000, thus the request for appropriation from the Harbor Savings account. Director of Administrative Services Rick Gifford stated the city insurance did have adjustors that investigate all claims, and this claim had been investigated. He understood that medical bills were the majority of the negotiated settlement, with some pain and suffering. Harbormaster Jim Beckham stated the city had since purchased stainless steel hand rails that circle the showers, and non skid material that covered the interior and outside of the stall to upgrade the showers. Beckham stated the original claim was considerably higher than this settlement. He remarked the insurance representatives at JIA had stated that a slip and fall injury in the shower was very unfavorable to the insurance company and the defendant. Dunham found this claim revolting, and felt this opened the flood gates just because the City provided the service. Orr stated there was always risk management and the City needed to ask themselves whenever services were added, if the service was worth the risk. Motion Passed Unanimous Resolution 2003 -025 supporting an amendment to KPB 2.60 clarifying emergency communications authority and revising membership on the E -911 Board. Motion (Shafer /Branson) Approve Resolution 2003 -25 Erchinger stated this resolution was in support of a borough resolution that the borough would address at the next meeting. She hoped the re- routing would save vital seconds, and noted the Office of Emergency Management was revising the 9 -1 -1 Board. Motion Passed Unanimous Resolution 2003 -026 rescinding Section one of Resolution 2003 -011, which appropriated $16,000 for Waterfront Project Planning and Development. Motion (Shafer /Branson) Approve Resolution 2003 -26 City of Seward, Alaska City Council Mututes March 10, 2003 Volume 36, Page 139 Erchinger decided the $16,000 was not needed, and wished to rescind the appropriation. Motion Passed Unanimous Resolution 2003 -27 authorizing the city manager to purchase a' /< ton truck from Alaska Kenai Chrysler Center for $25,014 and authorizing the purchase of a V -plow from Truckwell for $4,445.00 from the motor pool retained earnings fund to the motor pool equipment account. Motion (Dunham/Branson) Approve Resolution 2003 -27 Erchinger apologized for the bad timing and stated this would replace the Park and Rec. truck that was 14 years old that had recently burned to the ground. This was the vehicle utilized to plow the city hall parking lots, the senior center parking lot, the youth center parking lot, the animal shelter, Parks and Rec. warehouse facility, the bikepath, the library parking lot, the Benny Benson memorial lot, the access to second lake, the skate rinks, Madison and Monroe beach access, and the winter camping area, and also assists the public works department. She stated in the summer it hauls the summer equipment, brush chipper, picnic tables, ballpark maintenance equipment, etc. Erchinger relayed that Public Works had recommended this vehicle be taken out of service before it caught fire, and also recommended taking the 1986 S -10 out of service because of safety concerns. Erchinger stated five Park and Recreation vehicles had been taken out of service in the last 2 years. Erchinger stated the code allowed the City to piggyback and use the state bid process. She stated specifications were sent to seven car dealerships and the price could not be beat. She stated there were funds available in the motor pool for this purchase and did not expect the price would go down if the city waited on the purchase of the plow. Motion Passed Yes: Dunham, Valdatta, Shafer, Branson, Amberg and Clark No: Orr Other New Business Items Discussion and direction given to administration on the noise ordinance. Dunham was intrigued with the idea of a quiet zone. Shafer suggested a possible approach to this issue would be addressing different decibel levels or bass vibrations. Erchinger stated there were two areas being examined. One was to change the format of the ordinance that would provide some enforcement, and the second issue was to change the noise zone definition. Other ideas would be designating an exceptional quiet area, or changing the decibel levels during a specific time in those areas. She assured she would continue referencing those options. City of Seward, Alaska City Council Minutes March 10, 2003 Volume 36, Page 140 Orr was afraid this noise ordinance change would be too subjective and become an interpretation that would allow one hotel owner to use against another. He felt people that chose to locate business in that area should accept what was there. Orr wanted subjectivity taken out of the code, and felt just stating "reasonable person to sleep" was too broad. Dunham felt the noise from downtown was a bit too loud. Administration, with the help of law enforcement, would continue pursuing a reasonable solution. Discussion and prioritization of city capital projects for the lobbyist ensued. Council scheduled a work session for Thursday March 13, 2003 at 6:30 p.m. [The City Council took up the remainder of the agenda to allow for executive sessions at the end.] Council comments Amberg felt that the City should look at the building codes to address some of the noise issues. Valdatta appreciated the input from the public and had admired the cleanliness of the pioneer's cemetery. Branson stated the waterfront park looked very nice and welcomed Linda Amberg onto the Council. Shafer also welcomed Amberg. Clark stated he had met with six Russian women that were in Seward venturing on a drive vacation of over 20,000 miles across the United States. Citizens' comments Paul Carter, 700 5 th Avenue, spoke in favor of addressing the noise ordinance and thanked the Acting City Manager for her attempts to look into the issue. Sandie Roach', Forest Acres, asked council to look into possible annexation. Doug Olson, 314 Second Avenue, thought the Harbor showers had been slippery in the past, but noted more anti -skid protection on the floor now. He was not happy with the way the downtown meetings had went, and stated he was suspicious with everything the City did. City of Seward, Alaska March l 0, 2003 Council and administration response to citizens, comments City Council Minutes Volume 36 p -Z- ge 141 Dunham stated that the issue of annexation would be taken up at the nex Valdatta supported all fish restoration t meeting. programs that could be implemented. Council goes into executive session to discuss the City Clerk evaluation Motion (Branson /Shafer) at 10:00 p Go into executive session to discuss the Motion Passed City Clerk evaluation Council re convened at 10:16 p Unanimous Council goes into executive session to discuss the City Attorney evaluati Motion (Branson /Shafer) on at 10 :17 p Go into executive session to discuss the Motion Passed City Attorney evaluation. Unanimous Council re- convened at 10:29 pm Council goes into executive session to discuss pending litigation Motion (Branson /Shafer) with Swalling at 10 :30 p Go into executive session to discuss pending litigation with Swalling Construction. Motion Passed Unanimous Council re convened at 10:50 pm Adjournment The meeting was adjourned at 10:52 Jean fewis CitY%Clerk 4 aa�rav�a (City Sea]);, ` ;�?C• . +;,��¢ • S e e. op At e N„ y , Stu Clark Mayor City Council Minutes City of Seward, Alaska Volume 36, Pa e 142 March 24, 2003 Call to order The March 24, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Chief Brossow led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Vanta Shafer Willard Dunham Bob Valdatta Linda Amberg comprising a quorum of the Council; and Kris Erchinger, Acting City Manager Jean Lewis, City Clerk Erin Leaders, Assistant City Clerk Absent: Margaret Branson Nathan Orr Special orders, presentations and reports Proclamations and Awards. Proclamation for Spring Creek Correctional Center 15 -year anniversary. Borough Assembly Report. Borough Assembly Representative Ron Long stated the petition that was circulating to form a flood plain service area was certified by the Borough clerk as sufficient. He informdon serve c o local go e this yea , a d that those local restaurant inspec were not mandated. Long stated SB 136 was introduced to increase the allowable property ax exemption from $10,000 to $50,000. Long also stated the Borough received: a grant from NOAA for $399,000 to pay for the Cook Inlet Salmon Granting Project, roved an i that se sends Lowell 1 Point fire service r area to coverage for about $215,000, and app the voters on June 10. Long reported the Kenai Peninsula won the bid for the 2006 Arctic Winter G ames. He noted the challenges would be finding corporate sponsors, and providing infrastructure. City of Seward, Alaska Varch 24 2003 City Council Minutes Volume 36, Page 143 City Manager's Report. Actin omnibus bill approved b g City Mana er Seward Coal loading the President last week g istin Erchinger stated the FY Terminal more cost fective� The g oal would be to cluded a 9.6 million a r the She stated with outside interest ex al from for the Prospects for the facility Port of coal from the Seward Y appeared positive. and the above appropriation money, The Mayor and Erchin er payments to be extended for one m with providence She clarified the more Wesley, asked and received exceptional relief City is leasin month, to that building. with the expectation of co location to begin g, not buying the Wesley facilit g May 1 t Y and not responsible for any upgrades lrchinger informed Council Police position. of an interview committee set Up to hire for the new Chief of Erchinger reported working closely with the D coordination of the 4t "Avenue Department based on the City assuming pr of Transportation e ct. DOT had agreed to modifications and c to n0 curb cuts also responsibilit u b the spoken with the Deputy Y for Port Avenue upo transportation concerns in the completion of the Erchinger stated and lobby Project. She had the amount of mone yist Kent Dawson to road conditions from it would take to re Nash Road had to move u discuss pair had to be revised. Also addressed were the dange d station or add manpower 18 through 38, and the concern to re -o man ower to help through that stretch of road. pen the Moose Pass maintenance to borrow a truck that does an with Of road Erchinger was in negotiations with DOT damage. Erchinger had also been in in with the state lobb Spring reek C r . She stated a legislators explaining Ytst Kent Dawson on the exp expansion, and the rectional Facilit strategy of expanding of information would be se to the panding the prison in Seward, the estimated costs with the juvenile offender gY to focus on the need for an increase in in program. security beds and the Erchinger stated the rock quarry IZFp's were higher than anticipated, and to eliminate the proposal the Seward Shake f part Which addressed the value of ro would be reissued Youth Center Director, i1Y dance on March 29 Commemorating p p She reminded the Shari Adelmann for her earthquake da public about positive o Y, and congratulated contribution t Seward's youth. Library Director, Patti Linville, spoke as the President of Seward School Site Council, announced information on community based education in Seward. professionally facilitated, and offered She stated this forum would be Positive education goals, and i nvited Counil to appea and In c response to Valdatta, Erchinger stated she would check She stated due to economic develop into why , material would be allowed to be was harbor pa parking lot free of charge as long as it was not displacing parking s tagedn the or an other her group, City of Seward, Alaska City Council Minutes Volume 36, Page 144 March 24, 2UV3 In response to Dunham, who was concerned with the sidewalk design, Erchinger felt exposed aggregate sidewalks were difficult a different mi hat would hold up better i n the salty a oom brush finish. She also requested use of Other Reports, Announcements and Presentations. Vocational Technical Center gave an update and Fred Esposito, Director of Alaska overview of their facility. Citizens' comments on any subject except those items scheduled for public hearing. Doug Olson, 314 2nd Avenue, was unhappy with the way the city operated, and felt there should be cutbacks on employees, the harbor in particular, and complained about the lack of snow removal in the harbor. Norm Regis, harbor employee, responded to Olson's comments by stating the sidewalks office felt d ill had ned by MrhO son's recent behavouncil to know had been cleared that day, but the ramps the staff working in the harbor Approval of agenda and consent agenda Motion (Shafer /Valdatta) Approve the agenda and consent agenda. Council added a discussion item on the Washington D.C. trip and added scheduling a work session on the East Harbor expansion. Motion Passed Unanimous The Clerk read the following approved consent agenda items: Non - objection of liquor license renewal for Ray's Waterfront Bar & Grill. Council appointment of special election board. Council appointment of canvass board members. Public hearings Ordinance 2003 -03, rescinding ordinance 2002 -149 which amended Seward City code section fishing 8.30.25(c)(1) by increasing the annual business license fees for persons prolidas rt existed charter services, and restate a n 2002-14 Seward City code section 8.30.25(c)( ) prior to enactment of City of Seward, Alaska March 24, 2003 City Council Minutes Volume 36, Page 145 Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Dunham/Shafer) Enact Ordinance 2003 -03 Erchinger noted this ordinance would not increase the business license fees for this group. Another mechanism to fund fish would hopefully be put in place. Motion Passed Unanimous Unfinished business - None New business Resolution 2003 -28 authorizing the Acting City Manager to enter into a settlement agreement with Swalling Construction Company Incorporated (SCCI) for $45,000 and appropriating that amount from the harbor enterprise fund retained earnings account. Motion (Dunham/Shafer) Approve Resolution 2003 -28 Clark informed the public this litigation was discussed with the city attorneys in previous executive sessions. Erchinger stated this was a lawsuit filed May 28, 2002, which sought $179,000 in damages for delivery and installation of new floats. She stated both parties met March 7 in a settlement conference, and in the interest of foregoing a trial and the costs associated with that, settled for $45,000. In response to Valdatta, Harbormaster Jim Beckham stated the $45,000 did not relate to any specific aspect of their claim. He stated it was an amount that both parties agreed on to avoid a court trial. Beckham explained the floats belonged to Swalling Construction, and they had purchased three replacement floats. Motion Passed Yes: Shafer, Amberg, Dunham, Clark No: Valdatta Resolution 2003 -29 authorizing the City Manager to purchase an oil cooler, two after - coolers, and associated gaskets and hardware to install these units for generator #5 at the Ft. Raymond substation for a total cost, including shipping, of $12,083.56. Motion (Dunham/Shafer) Approve Resolution 2003 -29 Erchinger stated these coolers and gaskets would replace the oil cooler cores in generator #5 and would be to the City's benefit to replace with EMD parts for the EMD generators. She did receive two quotes, and the money would come directly from the electric fund current budget. City Council Minutes City of Seward, Alaska Volume ILPage 146 March 24 2003 Director of Utilities Dave Calvert, stated the mechanics would be in- house. He stated the City had bought the generator used and had owned this generator for about 10 years. He felt since it was not operated continuously, it should last for many more years. Motion Passed Unanimous Resolution 2003 -30, authorizing the city manager to authorize the engineering firm of Dryden & Larne to continue engineering services on the relocation /reconductoring of the 69 KV transmission line and the 12.5 KV distribution line between miles 3.0 and 3.5 for an additional fee of $16,000, $6,500 of which will be reimbursed by the State of Alaska. Motion (Shafer /Amberg) Approve Resolution 2003 -30 Erchinger stated the State of Alaska was paying to relocate the transmission line adjacent to the three bridges. Dryden and Larue was previously contracted to provide engineering services to relocate the line. They were requesting an additional $6,500 for engineering services that would be reimbursed by the state. Erchinger disclosed that original funding was depleted, and they ran over budget due to unforeseen temporary electric facility construction needed by the first phase of DOT's construction activities. She stressed that this would improve the transmission line from Mile 3 to 3.5, and tie in to the design work. The $9,500 for design work would be paid for out of the electric fund current budget. Calvert stated the switch had been adjusted, broke, and inoperable, and needed to be replaced. He commented the transmission line was designed as an overhead line, so windspeed and the impact on the conductors had been taken into consideration by the design. He noted the weakest part of the system was from the pole yard to the sub station. Motion Passed Unanimous Recess at 8:50 pm Council reconvenes at 9:00 pm Other New Business Discussion and direction given to administration on the issue of annexation. Council member Dunham stated he had been approached four different times to seek additional revenue through annexation. He thought it may be time to explore those options. After limited discussion, it was decided to hold a work session in May when a boundary commission member could attend to address the procedures. Discussion and direction given on engineering services for the East Harbor expansion. City of Seward, Alaska City Council Minutes March 24, 2003 Volume 36 Page 147 Erchinger sought direction if Council would allow the City to use professional services from Tryck, Nyman and Hayes on the East harbor expansion project, or go through with the RFP process. She stated the City had been more than satisfied by the work of Tryck, Nyman and Hayes, and they were very knowledgeable about the project itself. Because of the magnitude of the project, and even though city code allowed professional services without an RFP, Erchinger wished to defer to Council of their preference because of the high dollar amount associated with these services. Harbormaster Jim Beckham stated engineering services were generally 7 to 10% of the total project cost. Since 9.7 million was the maximum figure for the project, that would mean $750,000 to $970,000 for the engineering services. He felt it would be difficult to match the experience and knowledge associated with Tryck, Nyman and Hayes. Beckham pointed out their resident engineer had done a great job monitoring the North harbor project, they were ahead of schedule and on budget, aN had a good working relationship with the city. The same management team also served on the harbor master plan and public involvement process for the last 6 -7 months. Beckham stated Tryck, Nyman and Hayes had the basic bid drawings for procurement, and once the master plan wits adopted, it would then go for schematic design and the Corps of Engineers. Council directs Administration to accept Tryck, Nyman and Hayes as the engineering firm for the East harbor expansion project. Discussion on wear and tear of Dimond Street in Forest Acres. Dunham stated Dimond Street in Forest Acres needed attention, since the heavy construction season was here, and a paving plant had been established down the road. He noted Dimond was receiving the most traffic and wondered if there was some way to recover the costs to re -pave or cover the road. Erchinger stated there was no conditional use permit for the paving plant. She stated they would be shut down until the planner could take it before the Planning and Zoning Commission to establish conditions on the conditional use permit. City Engineer Gerry Welsh, stated the roads in Seward were not made for heavy truck traffic. He stated the roads were deteriorated and it appeared they had not been resurfaced or rebuilt in at le4st a dozen years. Erchinger stated there had been plenty of staff turnover recently between the City and NRCS, but the levee project was still moving slowly forward. NRCS was not keen on a road on the top of the levee, and there would be a meeting in April to finalize the selection of the preferred alternative. After that the environmental assessment would go out. Rules were suspended to allow Steven Shafer to speak. Shafer stated he was not aware a conditional use permit was needed. He felt that this put a burden on the contractor, but thought the contractor would work with the City. Shafer stated there was longer road usage, but stressed they used legal loads. City of-Seward, Alaska City Council Minutes March 24, 2003 Volume 36, Page 148 Council directed administration to pursue avenues or possible tariffs with the attorneys in recovering costs associated with wear and tear of that street. Discussion on a trip to Washington DC. Erchinger recommended the end of April or first week of May to meet legislators face to face on all the legislative priorities. She noted the lobbyists were recommending the City go. She stated seeking funding for the planning on the waterfront project and other major projects would benefit from the trip. Dunham felt it was critical that the research vessel be secured while Senator Ted Stevens was still in office. Valdatta thought the City should push for the Grant Lake hydro- project and arrange to move the industrial district entirely to the SMIC basin. The days of April 29, 30, and May 1 appeared open and Clark, Dunham, and Erchinger would arrange to go to Washington D.C. A Work session on the East Harbor Expansion alternatives and master plan was scheduled for Monday, April 7 at 7:00 p.m. Council comments Valdatta stated the Legion would appreciate families who had soldiers in the war with Iraq to send names and addresses so they could drop a line to them at this time of need. Dunham advised the meeting with Representative Paul Seaton today was well attended, with cuts on education and teaching on the forefront. Dunham stated the Chamber would be having a presentation on the sales tax issue, and also noted Acting City Manager Kristin Erchinger still held a local basketball record. Shafer stated Council had not made a decision on what areas of the budget to cut, and could not give any definite decisions on what would happen. She did note that none of the options would be pleasant. Shafer noted there were 30 Seward soldiers at war in Iraq, and sincerely hoped they would remain safe. Shafer reported there would be a car seat safety check Saturday at the fire hall. She quoted that 96% of all car seats were installed improperly. She was particularly disturbed at finger pointing toward City employees and felt it was inappropriate to criticize. Shafer reminded the community there were 88 people serving the City, and felt they worked extremely hard and she appreciated that. Clark stated Bob Ward, a city manager candidate from Skagway, had spent the day here, and was very impressed with the AVTEC marine program. He congratulated Spring Creek Correctional Center on their 15 -year anniversary. Clark also spent several days on the M/V Kennicott, and noted City of Seward, Alaska City Council Minutes March 24 2003 Volume 36, Page 149 the Alaska Marine Highway was a scenic byway. This was a`sail -a- bration'with a collection of 40 people brainstorming ideas on utilizing the designation to improve the operation of the marine highway. Clark reminded the public of the Centennial meeting tomorrow night at 7 pm at the fire hall. Clark stated that regardless of the outcome of the sales tax referendum vote, the City had now lost six months of revenues, and there would be a re- alignment of the services provided. Citizens' comments Steve Shafer, Forest Acres stated legal loads were designed by the Alaska Department of Transportation and were based on a number of issues such as tire size, axles, distance between the axles, and other configurations. He stated the contractors would be selling this asphalt by the ton and assured Council the loads would be legal. Doug Olson 314 Second Avenue, felt there was a layout problem with the design of E float, and did not agree with the parking lot plan on the master plan. Point of Order was raised advising Olson to leave out the personal names of harbor employees. He felt there were a lot of problems at the harbor and had valid concerns of the snow shoveling that day. Olson stated if employees were feeling threatened by his raising questions, it was only because they were afraid of losing their jobs. Council and administration response to citizens' comments Clark responded to comments made by Olson that he wanted visible facts before there was any more discussion or disparaging remarks made about City operation and personnel. Valdatta stated the employees couldn't do it all and advised that people should pitch in, bend a bit, and help out themselves. Erchinger stated the City would be adding an insert in the monthly utility billings about the sales tax issue. She stressed it was her intention to write three series of articles in the local paper, but because of policy by the Phoenix Log, was informed she could only write one. There was a laundry list of potential cuts the administration would be recommending, but the actual cuts would be a decision made by Council. Adjournment The meeting was adjoined at 10:15 pm Stu Clark Mayor lea Lewis 0 . City Clerk t IU AL 0 (City Seal) �— •�' n " .�� ✓A . 1ni� S�:y „pa s. Stu Clark Mayor City of Seward, Alaska City Council Minutes April 10, 2003 Volume 36, Page 150 Call to order The April 10, 2003, Special Meeting of the Seward City Council was called to order at 12:00 p.m. by Mayor Stu Clark. Opening ceremony Council member Dunham led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Willard Dunham Vanta Shafer Linda Amberg Bob Valdatta comprising a quorum of the Council; and Kris Erchinger, Acting City Manager Jean Lewis, City Clerk Absent Nathan Orr Margaret Branson Citizens' comments on any subject except those items scheduled for public hearing. - None Approval of agenda. Motion (Shafer /Dunham) Motion passed New Business Approve the agenda. Unanimous Resolution 2003 -37 authorizing the City Manager to negotiate an amount not to exceed $60,000 to reimburse the developer for a portion of the cost of installation and upgrade of the water main in the North Boat Harbor, and appropriating funds. Motion (Shafer /Dunham) Approve Resolution 2003 -37 Acting City Manager Kristin Erchinger stated the Dept of Transportation project in the small boat harbor was progressing quickly. Their plans would tear up the North harbor road and sidewalks, and repave and build new sidewalks. She stated the problem that needed to be addressed now, had to do with the Pruitt hotel project being constructed, and the existing utility City of Seward, Alaska City Council Minutes April 10, 2003 Volume 36, Page 151 lines that run under it. She reported this hotel project had went before the Planning and Zoning Commission, and a conditional use permit was issued. One of the conditions placed on it was that if it were necessary to move the utilities, that Mr. Pruitt would pay for that move. Erchinger noted that although condition #12 of the conditional use permit was vague to enforce, it stated that the hotel could not be constructed over existing utility lines. If necessary to re- locate any of the existing utility lines, the developer would be responsible for the re- location cost. The blueprint showed the utilities were within 8 feet of the building. This was not acceptable to the City to gain access, should a breakage occur. Erchinger informed the waterline was on Railroad Property, and was built during the 1960's. The City felt it was appropriate to move the waterline also at this time, 30 feet from the building, and given the age, upgrade the waterline capacity from 6" to 10 ". She stated it would be moved into the City right -of -way, prior to Dept. of Transportation paving of the road. She felt it benefited the City to take advantage of this small window of opportunity to upgrade this infrastructure now, before paving, rather than later. In response to Valdatta, Public Works Director W.C. Casey stated it would be nice to tie in and go the thousand extra feet to the boat harbor, and tie in to the harbor expansion, but it would cost at least $250,000 that the City did not have now. Erchinger stated a large amount of money would be spent on the matching grant to upgrade and re -align the 3 rd Avenue waterline. This line ran from NAPA to the Sealife Center and would occur within the next two years. The City would need a match for that grant, and this project must be done. She stated the City was not making enough money in the water /sewer fund to set money aside to do this level of upgrading, plus protect reserves. Discussion ensued about tying in utilities linking the North and South harbor, and the addition of water and sewer infrastructure, and the phases of the Gateway to Forest Acres area. Erchinger stated that forming an assessment district could be a possibility to recover the costs of some of these projects. WC Casey stated the scope of this project removed the waterline off private property. It could be built to extend in the future by running it into the parking lot instead of the street. The 10" pipe would dead end by J -dock. Clark and Valdatta were concerned with having to rip up the street again. Casey stated there were some design problems with the line and it became a more complicated project as you moved south. Erchinger stated that right now the City was participating in cost sharing and reimbursing the developer. Any extension or addition to this project would require a complete bid process, and she stressed the City had simply run out of time. City of Seward, Alaska City Council Minutes April 10, 2003 Volume 36, Page 152 Director of Engineering Gerry Welsh, stated there was a simple solution to the problem that Council was worried about. With a 1OxIOx6 T and blind flange to the left, the sidewalk would not be ripped up. Erchinger stated the waterline was the most significant part of the project. The electric utility would pay for their relocation of those lines. In response to a question by Dunham, Erchinger stated it benefited the City to move the line and upgrade. She stated if the conditions of the CUP were not met, a building permit would not be issued. She explained that Seward city code gave Planning and Zoning the authority to make these decisions, but she agreed the process should involve department heads earlier. Motion Passed Unanimous Council comments- Dunham stated he was happy with the election results and the moving of these utility and waterlines. Valdatta felt a field trip to the harbor area would have ironed out some of the problems like light poles being in front of windows, and would have made for more harmony down the road. Citizens' comments- None Adjournment The meeting was adjourned at 12:30 p.m. Jean; ewis City lerk � ne wt ° �F SE�r� ° 'oe r (City Seal) n`e N�•4RPUF�!j ° "� 4 • Q • va 4 � �� _~_ • cn • !q x• • S i �J i � ea i • i L i. 7'•vG ,fV . �•v I ++ s •• l fE � I a p � g � A �� Q• � w Stu Clark Mayor City of Seward, Alaska City Council Minutes April 21, 2003 Volume 36, Page 153 Call to order The April 21, 2003, Special Meeting of the Seward City Council was called to order at 7:00 p.m. by Mayor Stu Clark. Opening ceremony Council member Shafer led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Willard Dunham Vanta Shafer Linda Amberg Bob Valdatta comprising a quorum of the Council; and Jean Lewis, City Clerk Absent Nathan Orr Margaret Branson Citizens' comments on any subject except those items scheduled for public hearing. -- None Approval of agenda. Motion (Shafer /Dunham) Motion passed Unfinished Business - None New Business Other New Business Approve the agenda. Unanimous Certification of final results for the April 8, 2003 special election referendum vote which failed to overturn Ordinance 2002 -13, which increased the sales tax from 3% to 4 %. Motion (Dunham/Amberg) Approve and certify the final results for the April 8, 2003 special election referendum vote which failed to overturn Ordinance 2002 -13, which increased the sales tax from 3% to 4 %. City of Seward, Alaska City Council Minutes April 21, 2003 Volume 36, Page 154 City Clerk, Jean Lewis mentioned the recount board met on April 15, 2003 to a crowd of about eight public. Both election day ballots, and all absentee and questioned ballots counted by the canvass board, were re- counted with the same results. Motion Passed Unanimous Council comments- None Citizens' comments- None Adjournment The meeting was adjourned at 7:05 p.m. / Jean ewis City tlerk (City Seal) ,,s��' SE ° ' Q s 04 64, w � eA i W ��4 ec / Stu Clark Mayor City of Seward, Alaska April 25, 2003 Call to order City Council Minutes Volume 36, Page 155 The April 25, 2003, Special Meeting of the Seward City Council was called to order at 8:30 p.m. by Mayor Stu Clark. Opening ceremony Council member Dunham led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Willard Dunham Linda Amberg Nathan Orr Vanta Shafer Bob Valdatta Margaret Branson comprising a quorum of the Council; and Kris Erchinger, Acting City Manager Jean Lewis, City Clerk Absent Citizens' comments on any subject except those items scheduled for public hearing. - None Approval of agenda. Motion (Shafer / Amberg) Motion passed Approval of the agenda. Unanimous New Business Other New Business Go into executive session for discussion of candidates and negotiations for hire of a City Manager. Motion (Dunham/Branson) Go into executive session for discussion of candidates and negotiations for hire of a City Manager at 8:35 p.m. Motion Passed Unanimous City of Seward, Alaska City Council Minutes April 25, 2003 Volume 36, Page 156 Council came out of executive session at 9:20 p.m. Following the executive session, authorize negotiating a City Manager contract, or take other action related to hiring a City Manager. Motion (Orr/Branson) Offer and negotiate a contract with Phil Shealy as the City Manager for the City of Seward. Motion Passed Unanimous Mayor Clark appointed Nathan Orr, Willard Dunham and Linda Amberg as a committee to oversee contract negotiations with Mr. Phil Shealy. Council comments- None Citizens' comments- None Council and administration response to citizens' comments - None Adjournment The meeting was adjourned at 9:30 p.m. Jean ewis City Clerk ®,�teae���tsrp ®r (City Seal) s ,'�' ��° +?Cis °° ; w s • : y 4144 t1s�ssas�� s Stu Clark Mayor City of Seward Alaska April 28, 2003 Call to order City Council Minutes Volume 36, Page 157 The April 28, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Officer Bond led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Linda Amberg Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kristin Erchinger, Acting City Manager Jean Lewis, City Clerk Absent - None Proclamations and Awards. Bike Rodeo Day Proclamation. Super Saturday Clean -up Day Proclamation. Borough Assembly Report. Borough Assembly Representative Ron Long stated at their last meeting, they heard the first of the federal anti - terrorism act resolutions, and the appeals Process for procurement purchasing was cleaned up. $70,500 was allocated for a map insert in the Milepost, and the resolution that would have appropriated $10,000 to send a lobbyist to Juneau to address education issues failed. In response to Valdatta, Long stated that the Kenai Peninsula Borough wanted to know if the City wished to be included in the flood assessment district. Ballot language would be drafted soon with a report due later this month for inclusion on the October general election. The soonest taxes would be collected would be next July. Long noted that until a flood service area was formed, all are subject to gravel and flood plain ordinances that were in place now. In response to Clark, the boundaries of the flood service area included the whole watershed to Lowell Point. Voters would have to pass this in both districts, so the Borough would want to know of any conflicts now. City of Seward Alaska City Council Minutes April 28 2003 Volume 36, Page 158 In response to Valdatta, Long announced radio coverage ended May 9. The Clerk's office was pursuing negotiations with other radio stations, and the Borough was not involved with the re- licensing issue. City Manager's Report. Acting City Manager Kristin Erchinger stated operations at the coal terminal would resume. The Alaska Railroad assumed ownership of the transfer facility and had a two -year lease contract with Hyundai. Erchinger stated that the financial arrangement established paying off the bond debt, and allowed a payment to Hyundai to purchase their ownership interest. The Alaska Railroad would now own the facility, and have 1.5 million dollars to upgrade the facility. Erchinger reported shipments would not begin until the end of the summer. The Railroad would ship coal in the winter, to not interfere with their summer cargo and traveler business. Coal shipments begin shipping by the end of the summer. RR interested in coal shipments during the winter, to not interfere with their summer travelers. She noted the Railroad was looking at ways to increase the volume of coal shipped and expand the operation to make it more financially viable. Erchinger stated staff had reviewed the audio tapes from a meeting on the Gateway to Forest Acres waterline, and felt, inaccurate information was given to council on the funds available. She suggested scheduling a work session to clarify the information that was given, and seek direction to move the project along. Erchinger stated the 4 Avenue waterline in the boat harbor area went in during the Easter weekend. She informed Council it had to go in that weekend since the contractor gave the City only three days to complete the waterline move. The environmental assessment report would be completed this week on the Japanese Creek levee. This proj ect had been ongoing since 1986. Erchinger noted the location of the levee had been agreed on, and would include a road and alternate route to the dump. It would not include flood gates, and after the permitting process through the Corp and F &G, construction should begin this winter. Erchinger also presented Co location at Providence Wesley began May 1, and letters went out to local business owners on new enforcement procedures associated with the noise ordinance. The Governor had asked for a needs assessment for expansion of prisons in Alaska, and prison bills had been postponed for the remainder of the session. Erchinger stated this allowed Seward to finish the work to justify a proposed expansion on Spring Creek. She felt this would be a good opportunity to consider a resolution setting aside land to develop housing, and develop a Correctional Officer training program at AVTEC, to alleviate DOC concerns and the demand for correctional officers in the future. . In response to Valdatta, Erchinger stated that requirements placed on the contractor on the quality needed to be monitored. The City had incurred personnel costs to make sure of such things as, adequate depth, contamination of soil, and that pipes were insulated properly. Part of the project was to put in taps and reconnect a sub - station. Erchinger reminded the line was needed because of aging infrastructure and the coordination of the new project. City of Se ward Alaska Apri128, 2003 City Council Minutes Volume 36, Pa e 159 In response to Dunham, Erchinger stated a crew would look into the condition of the pagoda. Council recessed for a 5 minute break to set up equipment. Other Reports, Announcements and Presentations Economic Presentation by Brigitta Winisch -Cole from the Department of Labor. Report on SMIC basin and North dock by PACAB Chair, Deborah Altermatt. She felt the completion of the SMIC basin was a viable project to stimulate local economy. Citizens' comments on any item not scheduled for public hearing. DJ Whitman, 12510 Camelot, was impressed with the work session on the harbor master plan. He requested acceptance of the plan and renaming it the long range plan. He thought the Corp should build the breakwater as planned and spend money wisely to build and rebuild floats, and reiterated the SMIC basin was important to expand. Whitman stated the commercial operator was important to the community, and felt the completion of SMIC basin should be moved back to number one on the priority list. Carla Goldsmith, 605 Third Avenue, did not think she was a negative element of the community. She stated she came to Seward when a rescue unit called her to come to Alaska to help rescue animals and set up the rescue center. Goldsmith stated she had been active in the community and spoke up out of concern for the town. Deborah Altermatt, Iron Drive, announced PACAB voted 4 -2 to adopt the harbor master plan noting two people had upland issues. She urged the plan remain flexible, and change the name from "master" plan. She stated the pleasure boat community was very important and the City needed to accommodate all users. Approval of agenda and consent agenda Motion (Dunham/Shafer) Approve the agenda and consent agenda Motion Passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -43, authorizing signatures for the co- located health facility doing business as Providence Seward Medical Center and Providence Wesley Care Center. Resolution 2003 -39, authorizing signatures for all City bank accounts and rescinding all previous resolutions in conflict herewith. April 10, 2003, and April 21, 2003 special council meeting minutes. City of Seward Alaska City Council Minutes April 28 2003 Volume 36, Page 160 Non - objection to application of a new liquor license for Northern Latitudes Seafood Grill. Scheduling a work session on Forest Acres water /sewer line was added to the agenda. Public Hearings — R eso l u ti on '109-3 Al , reeommen Peninsula Borough : Peninsula Planni !'., ......;oo:..s... ...1 o f th r 1' ✓ p l a t 17 of th 0.. lock Street ht P y q ;4: stir . o f-9- portion of U .S.S. 1 7 4 S ee ti on 34 Townsh North Ran I West Sewar M er idi an , Al as k a , J !"4. o f S ewar d , Se Re rdi na Distriet ee ntai n i ng 0 . 989 su b m itt e d 1. ✓ th S ewar d Pl ann i ng aZo nd Co mm issi on in Re T � T 2001 01 o tie 6 the piibhe hear-ing being posted and published as r-equir-ed by law was noted and the publie h WAS PULLED FROM AGENDA Resolution 2003 -42 authorizing the City Manager to accept ownership of the Mariculture Technical Center /Mariculture Production and Research Facility building and fixtures ( "Facility "), to enter into a sublease with the University of Alaska for the land and Facility, and to enter into an Operating Agreement with the Qutekcak Native Tribe for operation of the Facility. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. Ron Long, 32531 Camelot, spoke in favor of this resolution and applauded the administration and attorneys for all their work. Motion (Dunham/Branson) Approve Resolution 2003 -42 Erchinger stated this resolution approved a lease amendment between the City and the University, where the City would be leasing the building back from the University. It also maintains the existing relationship between the City and Qutekcak Native Tribe as the operator of the facility, subleases the termination agreement which would take the Fish and Game Department out of the agreement altogether, and establishes a relationship with just the City and University. Erchinger summarized the City owned the land, the University subleased part of the land to the Department of Fish and Game (F &G) who built the shellfish hatchery on it. There had been political turmoil between the City and F &G for lack of support for this industry. The past administration felt the City's best interest would be served by gaining control of the facility to assure the continued use as a shellfish hatchery and mariculture facility. F &G agreed to terminate their lease with the University and the city will assume that lease. She stated the City now owned the land, building and contents. This agreement is a 25 year sub - lease. At the end of the lease, the City could extend the agreement to continue operation, University could maintain the facility, or if unusable the City and University could decide to tear the facility down and share in that cost. If no money were available to tear down, the University could still use, but would not be required to maintain in the same fashion. Erchinger stated the agreement with Qutekcak Native Tribe was a five -year agreement subject to renewal. The City could terminate if sub - leased. City of Seward Alaska City Council Minutes April 28, 2003 Vol ume 36, Page 161 In response to Clark, Erchinger stated the University had a lease on the land through 2069. The University leased the underlying land and not willing to terminate their lease of the land. Erchinger stated the University could share the facility now as long as they didn't interfere with Qutekcak. The goal was to share the facility allowing use by different users for research. In response to Orr, Erchinger stated the agreement crafted that Qutekcak accept responsibility for liability, operation, and maintaining the structure. After the 25 -year lease, the worst case scenario would be sharing half the cost to tear down facility. Erchinger stated provisions were established to provide for a performance bond of $100,000 and for use of city sole discretion of a mothball plan. Motion Passed Unanimous Unfinished business — Resolution 2003 -32 appr-eving and adopting the Seward Small Boat Har-bor Master- Plan. Resolution 2003 -32 approving and adopting the Seward Small Boat Harbor Area Planning and Development Guide flaydown] Motion (Shafer/Dunham) previously made 4/14 Approve Resolution 2003 -32 Amendment (Branson /Shafer) Accept the laydown as the substitute Resolution 2003 -32. Erchinger stated the resolution had a new laydown, with the title and sections being the most important changes. This addressed that the project would be accomplished in stages, and felt it answers all questions of the previous version. Erchinger stated this allowed for public review and scrutiny throughout all stages. She noted the opportunity to comment on phase lA was still there and this did not authorize phase IA, but approved the development plan. Harbormaster Jim Beckham stated work would start immediately on Phase 1 proposing what the design and management team felt achievable with the money the City had. Orr expressed his concerns that he wanted maximum flexibility, and did not want the City to be locked into any one element. Erchinger stated Phase 1, including elements, would go back before Port and Commerce Advisory Board ( PACAB), after public comment. The public would again have the opportunity to participate at PACAB and Council meetings, once a new resolution was brought. Branson requested the opportunity to speak with the Corp of Engineers at some point soon. Amendment (Dunham/Branson) Strike "of this plan" on Section 3 Amendment Passed Unanimous consent City of Seward Alaska City Council Minutes April 28, 2003 Volume 36 Page 162 Amendment accepting laydown Passed Yes: Shafer, Amberg, Branson, Orr, Dunham and Clark No: Valdatta Main Motion Passed Council recesses for 10 minutes at 9:00 p.m. New Business Yes: Shafer, Branson, Orr, Dunham, Clark No: Amberg, Valdatta Resolution 2003 -40 authorizing the City Manager to enter into an agreement with Tryck Nyman and Hayes, Incorporated (TNH) for change #2 to the public involvement, harbor area master plan and schematic design services, adding $2,500.00 to cover the expense of additional meetings and services. Motion (Shafer / Amberg) Approve Resolution 2003 -40 Erchinger stated this expenditure covered additional meetings held both in Anchorage and Seward that were not originally anticipated. This allowed the public to participate and gave an added opportunity for their input. It also covered a color newsletter that was sent out. Amendment (Branson /Dunham) Replace "Master Plan" in the title with "Development Guide" and requires the same change to 2 " whereas and Section 1 which changes the title of the contract. Amendment Passed Main Motion Passed Unanimous Yes: Orr, Shafer, Amberg, Branson, Dunham and Clark No: Valdatta Resolution 2003 -44 authorizing the City Manager to accept a pass - through grant from the Alaska State Hospital and Nursing Home Association in the amount of $10,200 to network computer infrastructure between the Providence Seward Medical Center and Providence Wesley Care Center facilities, and appropriating funds. Motion (Branson /Dunham) Approve Resolution 2003 -44 Council member Shafer declared a conflict and it was ruled there was no conflict. Motion Passed Unanimous City of Seward Alaska City Council Minutes April 28 2003 Volume 36, Page 163 Resolution 2003 -45, authorizing the City Manager to establish the Hospital Enterprise Fund and appropriate a loan in the amount of $500,000 for the purpose of establishing cash flow for operations. Motion (Dunham/Branson) Approve Resolution 2003 -45 Council member Shafer declared a conflict and it was ruled a conflict did exist. Erchinger stated until the facility had established a positive cash flow, the City would float a loan and reconcile the cash inflow and outflow. The City would reconcile accounts at month end and cover that amount for six months. The City would write a check on a monthly basis from three sources. Those are: the draw down fund balance of $199,000, $250,000 set aside to establish the economic loss account, and money remaining at Seward General Hospital when they closed down. Motion Passed Yes: Branson, Valdatta, Orr, Dunham, Amberg and Clark Abstain: Shafer Resolution 2003 -46 authorizing the City Manager to make the following personnel adjustments: eliminate the position of Director of Administrative Services (Range 29); establish a new position entitled Assistant City Manager (Range 24 -27); reclassify the Planning and Zoning Technician position from a Range 12 to a Range 15 and change the title to Planning Executive Assistant; and reclassify the Planner position from a Range 19 to a Range 21. Motion (Branson /Dunham) Approve Resolution 2003 -46 Erchinger felt there was a big void in the City Manager Department that made it difficult to handle the bigger projects. This resolution eliminated the position of Administrative Services Director and established an Assistant City Manager position. She noted the Administrative Services Director position was created originally to help with finance and capital financing. This new Assistant City Manager position would revert back to a Range 24 -27. Erchinger noted the positions of Director of Community Development and the Assistant had seen substantial cuts to wages over the years, but no change to the duties and workload. Studies by the wage committee stated both positions were underpaid. This resolution would increase these positions to a Range 21 and a Range 15. It was intended to leave the half time position unfilled, and the Planner position would be exempt and not subject to overtime. In response to Orr, Erchinger stated the Assistant City Manager would supervise the Planning and MIS departments. She brought this forward now so the new City Manager would not have to address personnel problems and inequities right off the bat. Motion Passed Unanimous City of Seward Alaska City Council Minutes April 28, 2003 Volume 36 Page 164 Resolution 2003 -47 amending the FY2003 Annual Operating Budget to account for a change in the effective date of the 1 % sales tax increase from January 1, 2003 to July 1, 2003, reducing expenditures by $60,000 and appropriating funds in the amount of $250,000. Motion (Branson /Shafer) Approve Resolution 2003 -47 Erchinger had been asked by Council to reduce expenditures in the general fund budget by $60,000. Due to loss of revenue from the sales tax referendum which becomes effective July 1, this resulted in a $310,000 budget shortfall in the general fund. With a $250,000 surplus from last year's budget, Council had asked the administration to cut $60,000 plus address alternative revenue sources. She stated when the budget was approved, the City budgeted for a 15% increase in health insurance costs which ended up being a 7% increase, resulting in a $60,104 difference. Erchinger proposed alternative revenue sources, cuts, and new fee implementations as a way to address the $250,000 gap. She stated this list was provided from the public input to be more creative. Instituting new fees must be brought before Council with public hearings and would take some time to accomplish. Erchinger identified about $70,000 worth of cuts that would establish an account for road service and maintenance and act as a first step to closing the $250,000 gap. In response to Branson, Erchinger stated utilities were excluded from the point of sale ordinance passed by the Kenai Peninsula Borough. She stated home utilities were classified as a fuel and not subject to the ordinance. Much discussion had gone on with the Kenai Peninsula Borough finance department, but the issue still remained unresolved. In response to Orr, Erchinger stated the Borough looked at where the company was providing that service. If they service the population, advertise here, and establish business here, those taxes are captured. She felt the Borough diligently pursued collection and noted the harbor department worked closely with those entities and the Borough. The boat sticker program was established for enforcement among boat owners. In response to Dunham, Erchinger stated work had begun on the 80 RV site pedestals. The primary electric service had been installed, equipment and materials were in place, and pedestal installation and ditches would be started soon. Amendment (Orr /Dunham) Change title to read "reducing expenditures by $130,000 and appropriating funds in the amount of $180,000, change $250,000 in Section 1 to be $180,000, and adding to Section 2 the words, "and various expenditures totaling $70,000 as attached hereto'. Amendment Passed Unanimous City of Seward Alaska City Council Minutes Ap 28 2003 Volume 36, Page 165 Citizens' comments- Jim Hubbard, 1800 Jesse Lee, supported addressing the flat tax and felt it was a high priority. He opposed the position of the new launch ramp because he felt it impeded traffic flow within the harbor. Council and administration response to citizens' comments. - None Adjournment The meeting was adjourned at 10:52 p.m. Jea Lewis City Clerk va ��,es�a�r aa . , ,fit �!._• (� P nq 'rc�n (City Seal) A 0 ( "�• •Y • AL Op Stu Clark Mayor City of Seward, Alaska City Council Minutes May 12 2003 Volume 36, Page 166 Call to order The May 12, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Chief Brossow led the pledge of allegiance to the flag. Roll Call There were present: Stu Clark presiding, and Nathan Orr Bob Valdatta Willard Dunham Vanta Shafer Comprising a quorum of the Council; and Rick Gifford, Assistant City Manager Jean Lewis, City Clerk Absent — Linda Amberg Proclamations and Awards 2003 Seward Historic Preservation Award given to past and present staff of the Seward Community Library and presented to Library Director, Patty Linville. Historic Preservation Week proclamation read. Safe Boating Week proclamation read. Nobody Gets Hurt Month proclamation read. Line Crews Safety Award plaque read and presented to Electric Utility Manager Dave Calvert. Borough Assembly Report. Borough Assembly Representative Ron Long stated the Borough Assembly had met in Seward last Tuesday, and thanked the City for their hospitality. He reported a budget presentation was given and there was no news on the radio broadcast situation. Long stated there would be a hearing June 16 on the formation of a flood service area to determine need, and to look at the boundaries and mil rate needed to support it. It would be scheduled to go to voters in October. The Borough passed a resolution for hatchery funding much like the one Seward passed, and the anti - terrorism resolution would be addressed May 20`h City of Seward, Alaska City Council Minutes May 12, 2003 Volume 36 Page 167 In response to Valdatta, Long stated he had seen the trees that had fallen on the Department of Transportation (DOT) right -of -way. He felt there may be room in the spruce bark beetle program budget to remove some of those bad trees on parts of the highway, but noted the right -of -way was not Borough property and DOT would have to ask the Borough for the assistance. In response to Dunham, Long stated it could be technically possible to run the radio broadcast through Puffin, but other options to keep service providers were being explored. Long stated the Assembly had not taken a position on the state sales tax issue because of constant language changes. City Manager's Report- Assistant City Manager Rick Gifford stated Providence Wesley co- location took place and the city took ownership May 1. All seemed to be moving along smoothly. Parking enforcement began May 1 but construction in the harbor was making that difficult. The attendants were focusing on keeping traffic flowing in that area, and downtown was being enforced. Gifford stated the Port and Commerce Advisory Board discussed cruise ship dockings at their regular meeting last week and would be having a work session on the same Wednesday, May 14 at noon. Gifford informed that repairs to the diversion tunnel were complete. The Corp would be conducting the final walk through soon. He noted this weekend was Harbor opening weekend, and a crew from public works were working to minimize construction woes. Manager of Engineering Gerry Welsh, reported on two projects. Northstar, the contractor of the Port and 4` Avenue project, should have asphalt paving completed by the end of the week. The contractual completion date was July 3, but hoped to be completed by June 15. Welsh stated on the Mile 0 -8 project, the detour at the three bridges would be paved once the third temporary bridge was in place, which should alleviate traffic stoppages. The contractual completion date for that project was June 15, 2004, but Sandstrom hoped to be done by November 2003. In response to Valdatta, Welsh stated the quarry appraiser would be in Seward gathering information this Wednesday. A written response would be a month away. The environmental assessment on the Japanese Creek levee was being circulated by our consultant, and that was progressing. In response to questions by Shafer, Council member Orr stated the topic at the PACAB meeting, was cruise ship conglomerates pulling out of Seward. This impacted not only Seward, but Anchorage would stand to lose about 70,000 room nights. He felt this was a chance for the community to reach out and put together a task force to explore options. In response to Dunham, Welsh stated he would address the issue of no flags or lights on the cranes at the airport runway approach with DOT. City attorney report - None Other Reports, Announcements and Presentations - None Citizens' comments on any item not scheduled for public hearing. City of Seward, Alaska City Council Minutes May 12 2003 Volume 36, Page 168 Meggin Clancy, 208 Marathon Dr., announced the little league program had concerns about the restrooms at the field and requested the Park and Recreation staff maintain those facilities instead of volunteers. She felt little league was a positive influence on the youth of Seward and noted it took hundreds of volunteer hours to run. She was concerned for child safety crossing Ballaine Avenue to use the restrooms across the street. She questioned why the City would consider building restrooms for culvert fisherman on the beach, and not find maintenance dollars for the one at the little league ballpark. Rules were suspended to allow more discussion and questions. Clancy answered questions, and noted the fields were used every day but Sunday for seven weeks straight. There were about 120 children in the program. Sandie Roach, 2404 Cedar, Forest Acres, spoke in opposition of the beach area that was proposed to be filled in. She felt Seward was graced to have such a beach and did not want to see it made into a parking lot. Roach thought that area was a quality of life issue for Seward and did not want small boat users eliminated from the Harbor Planning and Development Plan. Ron Long, 32531 Castle Drive, was not sure whether the harbor plan or the concept was passed. He had trouble with the plan eliminating small slips and felt by doing so the City was telling customers what they should be buying, instead of accommodating what they bought. He urged Council to please consider changes. Tim McDonald, Mile 2 Nash road, spoke against filling in the beach area. He stated this beach was used for casting for salmon and was a good fishing area. He felt it was important to maintain public access, and it would be a detriment to fill this area in. Steve Millea, Risk Manager for AML /JIA, introduced himself and stated he was in Seward because he had helped set up the OSHA compliance training program. He thanked management for taking a pro- active approach towards safety, and applauded Seward as one of the only members who had implemented such a program. He stated as long as management continued to back this program, lower insurance rates would be the result. Approval of agenda and consent agenda Motion (Shafer /Branson) Approve the agenda and consent agenda A discussion on marketing of Seward was added to the agenda. Motion Passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -48 establishing a new checking account and authorizing signatures for the Providence Wesley Care Center patient trust account. City of Seward, Alaska City Council Minutes May 12, 2003 Volume 36, Page 169 Resolution 2003 -52 supporting the establishment of the Kenai Peninsula World Class Workforce Development Coalition. Approval of the April 25, 2003 Special City Council Meeting Minutes. Public Hearings - None Unfinished business Item for Reconsideration Resolution 2003 -32 approving and adopting the Seward Small Boat Harbor Area Planning and Development Guide. Motion (Orr /Shafer) Reconsider Resolution 2003 -32 Orr explained he asked for reconsideration because he felt there were wording changes that needed to be addressed. Motion Passed Unanimous Resolution 2003 -32 approving and adopting the Seward Small Boat Harbor Area Planning and Development Guide. Motion (Shafer/Dunham) previously made aiia Approve Resolution 2003 -32 back on the table Orr spoke that Section 3 allowed for flexibility and should be changed to allow for phase review. He would feel more comfortable with the wording "prior to commencement," and had an amendment written up. Amendment (Orr /Branson) Re -word Section 3 to say; "Prior to the commencement of each phase beginning with the breakwater and for every phase thereafter, depending on funding availability at the time, local market studies, economic analyses, public hearings and technical reviews, a determination will be made of which features or modifications to the model including but not limited to quantity, size, location and /or design specifications, are to be included in the next phase." Orr thought this language would give the public and City the chance to discuss each phase specifically before approving. He did not want to tie the Council's hands and felt this made it clear to the administration for public involvement for each phase. Orr wanted to make City of Seward, Alaska City Council Minutes May 12 2003 Volume 36, Page 170 sure Council sees any further plans before they go to bid. Dunham was concerned the verbiage addressing the breakwater could be a problem for the Corp of Engineers part of the project. Harbormaster Jim Beckham, stated the Corp involvement was 98% complete and the project was ready to go to bid. He stated each part of the plan brought forward could have changes made in the future within the basin. Beckham stated the beach area would be filled in. Gifford noted obtaining this funding and expansion was a long process and had been in the works longer than he had been here, and thought eastward expansion went before Council in 1998. Alan Jeffries, Corps of Engineers, stated he had been working on the project since January and had not been involved during the feasibility project in the 90's. He informed that this was a complex process, and to propose a change at the last hour could be problematic. At the very least, the project would be delayed. In response to Shafer, Jeffries stated sand and gravel would be dumped at that south area. If not armored it would erode. Bigger rock would stabilize the area so it did not go back into the channel, but it would be made of smaller stone than the breakwater, and on a more gradual slope. Orr noted it was not his intent to throw the plan out the window. He wanted expansion but also wanted to see the plan before it goes out to bid. He requested the Corp give a presentation once it goes out to bid. Amendment Passed Unanimous Main Motion Passed Unanimous Council takes a recess at 8:50 pm New Business Resolution 2003 -49 authorizing the Acting City Manager to enter into an agreement with A.C. Electric to mount and wire 80 RV electrical pedestals in the Waterfront Park, Resurrection Section for a price of $22,890.00. (laydown provided) Motion (Branson /Shafer/) Approve Resolution 2003 -49 Gifford stated there was a laydown because the RFP was not opened until last Friday. He disclosed it would cost $80,000 to construct those sites and was expected to bring in revenue of $80,000 a year. Gifford stated most materials were here and construction had started. The lowest responsive bidder was A.C. Electric to mount for $22,890.00. He would provide progress reports on the status. Electric Utility Manager Dave Calvert, stated the RFP was strictly for the wiring of 80 City of Seward, Alaska City Council Minutes May 12, 2003 volume 36 Page 171 pedestals. It cost $8,500 for the pedestals, $3000 for mounting posts, and $6000 for the transformers which were already paid for. In response to Valdatta, Calvert stated the City would coordinate laying the waterlines and wires, and pay for the ditching. Dunham stated this was an upgrade the people had asked for. Presently the City had 22 spots that generate roughly $41,000 in revenue. He felt this was a good move for the City. Orr disagreed that RV hook -ups were the highest or best use of the waterfront, stating the money generated was peanuts compared to possible development or sale of the land, but Calvert indicated the area may have development restrictions since the 1964 earthquake. Motion Passed Unanimous Resolution 2003 -50 awarding a contract for on and one -half years to Merritt Enterprises for custodial services at the harbor building, the National Park Service site restrooms and the Northeast launch ramp restrooms for $21,840.00. Motion (Orr /Shafer) Amendment (Branson /Dunham) Approve Resolution 2003 -50 to add the "little league restrooms" Gifford stated this proposal was specifically for the projects listed. He reported the City would have to re -do the contract and the proposers may not accept the change. Gifford informed he would speak with Parks and Rec and Merritt Enterprises about a possible change order. He advised Council the City had been contracting these services out for two years now, since the Harbor Department lost a position. Assistant Harbormaster Scott Ransom, disclosed the harbor personnel conducted the maintenance and ordered supplies, just not the cleaning. He reiterated that this contract was added into the annual budget after the harbor position was taken away three years ago. The contracted rate was exactly the same as last year. Motion Withdrawn It was ruled this addition would change the scope of the resolution since it was a RFP that went to bid and was awarded for a specific purpose and dollar amount. In response to comments about the amount, Gifford noted that both this and the next contract on the agenda amounted to $58.000. He stated once benefits, annual leave and coverage were added it amounted to 30 -35% additional to the salary. Council wanted estimates and firm numbers, and desired to add the little league bathrooms to one of these contracts. Motion Passed Unanimous City of Seward, Alaska City Council Minutes May 12 2003 Volume 36, Page 172 Resolution 2003 -51 awarding a one and one -half year contract to Merritt Enterprises for custodial services at the AVTEC student services center downstairs and the Teen & Youth Center for $36,400.00. Motion (Dunham/Shafer) Approve Resolution 2003 -51 Council reiterated its desire to add cleaning the Little League bathrooms to one of these two contracts if possible. Motion Passed Unanimous Other New Business Items Discussion on Marketing Dunham pointed out the last marketing video Seward produced was ten years old and out of date, and he felt either alone or in conjunction with the Chamber of Commerce, the City needed to put another one out. He felt that a portion of that video should show Seward Marine Industrial Center (SMIC). Dunham stated a brochure and video was needed for the lobbyists. Gifford stated PACAB had discussed this topic several times and no decisions had been made. Orr stated this was the second year in a row he had heard those same comments, and felt it may be a good idea to partner with the Chamber. Informational items and reports -- Seward Centennial Monthly Report, April 2003 by Sandy Wassilie -- Quarterly Narrative Report to State Historic Preservation Office Council Comments Shafer stated she went to the dedication of the Jon Perry baseball field and it was nice seeing the children and everyone enjoying themselves. Valdatta thought Lloyds of London was to give the City a report once a year on the (SMIC) shiplift and expected the Administration to provide it. Other reports he wanted to see were: elevator breakdowns, accounting on how the million dollars were spent at SMIC and safety inspections on SMIC dock facility. Dunham informed that Alaska State Trooper, Sergeant Brandon Anderson would travel as the Alaska representative to Europe to participate in the passing of the torch for the Special Olympic World Summer Games held in Ireland. He thought the City should send a letter congratulating him. Dunham also congratulated the upcoming senior graduates and all who cleaned up trash and urged the citizens to help keep it clean. City of Seward, Alaska City Council Minutes May 12, 2003 Volume 36 Page 173 Shafer stated the Park and Recreation department had an ALPAR program every year. Clark reported a successful trip to Washington D.C. He stated they met with various staff since they each had detailed duties on what items on the priority list they could address. He received positive responses to the City's interests. Dunham agreed on the successful trip to Washington D.C., and reported good discussions on several problems. He noted Senator Stevens, his Chief of Staff, and both Representative Don Young and Senator Lisa Murkowski would be in Seward this summer. He also had a talk with Pat Gamble with the Alaska Railroad. Clark also noted that wind power was being pursued by the Department of Energy and could be a possibility to explore for the future. Citizens' comments- Sandi Roach, Forest Acres, did not believe the breakwater design in the harbor could not be modified, and urged Council to be creative when deciding on the right plan for the people of Seward. Tim McDonald, Mile 2 Nash Road, believed the Council allowed decision making on the harbor planning and development guide to be based on the loss of federal dollars. He felt there had been opposition to this plan from the start, and was afraid it could not be changed now. McDonald voiced opposition for adding RV pedestals to the Waterfront Park, as it was not an appropriate business for the City to be in. Council and administration response to citizens' comments. Valdatta stated annexation would possibly come up again and be a solution. Orr felt the wording put into the harbor planning and development resolution, would still allow for change in the Corp of Engineers plan. He pointed out the public process had been ongoing for years using federal dollars, conducting impact studies, environmental studies, and all documents and engineering. He felt the clock was ticking on grant money and four million dollars, and did not agree passage of the resolution tonight precluded other action. Dunham thought the harbor plan could still be modified, and emphasized the fisherman would have a safer place to fish than the big rocks at the current breakwater. Adjournment The meeting was adjourned at 9:53 p.m. City of Seward, Alaska City Council Minutes May 12 2003 Volume 36, Page Ill J #wis JeLe City Clerk • ••��� , OF SE&���i (City Seal) _.•• G� _'�p ��� Std C 'ark Mayor O F i�NeV City of Seward, Alaska City Council Minutes May 27 2003 Volume 36, Page 176 Call to order The May 27, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Sgt. Bond led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Linda Amberg Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kristin Erchinger, Acting City Manager Jean Lewis, City Clerk Cheryl Brooking, City Attorney Rick Gifford, Assistant City Manager Absent - None Proclamations and Awards. Rural Cap Proclamation read and presented to Diane McRae. Borough Assembly Report. Borough Assembly Representative Ron Long - None City Manager's Report. Park and Recreation Director Karin Sturdy stated a group of twelve people from Seward, Nebraska would be here this week to join our centennial celebration by playing in three games of basketball. She stated it had been 50 years since we last played basketball with our sister city. Nebrasketball games were scheduled for Friday, June 6 at 6:30 and 8 pm and Saturday, June 7 at 10 am at the high school gym. She invited the public to support and attend. Acting City Manager Kristin Erchinger felt the lobbying trip to Washington D.C. was very productive. She stated there was funding available for homeland security. The fire and police department were working with other communities on the Borough to develop a strategy to pursue police communications upgrade for the Borough -wide system. City of Seward, Alaska City Council Minutes May 27, 2003 Volume 36 Page 177 Gateway to Forest Acres waterline project. Erchinger gave a brief update and stated she was contacting Al Shafer to discuss the goal of council to pursue alternative #4 if an agreement or compromise could be reached, which extended the waterline through both the Shafer and Griswold _ property. She would bring the Griswold component before Council first for funding. She reminded the first phase estimate was $885,000 for alternative #4, with available funding of $566,000. 4` Avenue waterline project was slated to be finished by June 15. She thanked the contractor and the Engineering department for their patience and work to resolve vendor concerns in that area. Japanese Creek/North Forest Acres Road levee. Erchinger stated the environmental assessment was distributed this week by the sponsoring agency, RCS. They would be meeting to develop a construction timeline, permitting process, and overall budget, with a goal to begin construction early this winter. Rock Quarry appraisal. Erchinger noted the appraisers were in town and had observed other rock quarry sites around Alaska, and would have a preliminary report out next week, with a final report due June 9. Once the final report was out, Erchinger would seek council direction on the sale or obtaining a long -term contractor. She felt the future of the quarry could be decided in about one month. In response to questions by council, Erchinger stated two connections would be made from the boardwalk to the bikepath. She believed in the 0 -8 project, there would be an underpass at a different location than Third Avenue, but people would still have to cross Third Avenue in the same area. She stated city personnel hoped to have the Obihiro Park pavilion renovated before the delegation arrived. Erchinger also addressed that the City had an agreement with little league to keep their fees down. The City would do the maintenance on the fields and restrooms as long as little league cleaned them and ran the snack shack. She stated it would cost more money to clean them, and this was the compromise to keep little league and City costs down. Erchinger stated little league had the keys to make available for practice times if they wanted, but the bathrooms could not be kept open and unattended because of vandalism. She stated she would be happy to speak with the little league board if they desired. City Attorney Report. City Attorney Cheryl Brooking, stated the period from April 21 through May 20 was occupied by continued review of proposed resolutions, leases, zoning issues, fire protection, and some follow -up work on Providence /Wesley and Swalling litigation. Other Reports, Announcements and Presentations Historic Preservation Commission applicant Doug Capra was present and requested re- appointment to the Historic Preservation Commission. Jesse Lee Structure Report by ECI /Hyer. Terry Hyer was present and discussed the condition survey, appropriate uses, and how to memorialize Benny Benson on the Jesse Lee site. The report showed areas of rot, but the building was fairly sound and salvageable. Stabilization was City of Seward, Alaska City Council Minutes May 27 2003 Volume 36 Page 178 needed to prevent further deterioration. Hyer stated the time to save the building was now, and the rough estimate to repair it was 8.5 million. Auditor's Report on the FY 2002 Comprehensive Annual Financial Report by Mikunda, Cottrell and Co., presented by Michelle Drew. The opinion was the City complied with all rules and had a good year financially. Citizens' comments on any item not scheduled for public hearing. - None Approval of agenda and consent agenda Motion (Dunham/Branson) Approve the agenda and consent agenda Council added a discussion topic on the Patriot Act. Motion Passed Unanimous The Clerk read the following approved consent agenda items: Approval of the April 14, April 28, and May 12, 2003 regular city council meeting minutes. Public Hearings — Other Public Hearing items Resolution 2003 -53 in support of the residential development alternatives as presented in the Jesse Lee Home Historic Structure Report, prepared by the Jesse Lee Home Advisory Board and ECl/Hyer. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. Doug Capra, 212 Resurrection Blvd, spoke in support of refurbishing the Jesse Lee Home. He stated the next step would be to lobby in Juneau for sponsors, and felt it had a good chance and was worth fighting for. He admitted there had not been a lot of input from community members in the area, but requested passage. Capra also thanked the people who had worked hard on this project and urged Council to support this resolution. Motion (Shafer/Branson) Approve Resolution 2003 -53 Acting City Manager, Kristin Erchinger stated this resolution presented alternative uses for the Jesse Lee Home. It listed senior housing as the most preferred alternative, but allowed for changes by the legislature. City Planner Malcolm Brown, stated the Department of Natural Resources would receive the structure report to forward to the legislature, and hoped the next step would be working towards stabilization of the building. City of Seward, Alaska City Council Minutes May 27, 2003 Volume 36 Page 179 Rules were suspended to allow ECI /Hyer to answer questions. Terry Hyer stated they left the uses in the structure report as open ended as possible, to fit different programs, find supporters, and be flexible for whatever uses and proposals were brought forward. Motion Passed Unanimous Unfinished business - None New Business Resolution 2003 -54 approving the City Manager's appointment of Thomas Clemons as Chief of Police. Motion (Dunham/Branson) Approve Resolution 2003 -54 Erchinger stated a new chief of police had been hired. She expressed the City had excellent candidates for this position. After the hiring committee narrowed the list down to three candidates, they conducted telephonic interviews and face -to -face interviews with all three. Erchinger explained Mr. Clemons had excellent references and came highly recommended. He had 30 years of law enforcement experience within the State of Alaska. Twenty years of which were with the Alaska State Troopers, and six years as Chief of Police in both Sand Point and Wrangell. Erchinger felt confident Mr. Clemons would be a good fit for the community and stressed his commitment towards youth, projects, and bringing the community closer together. Orr, Amberg and Valdatta felt as a courtesy, Council should have been introduced to the candidates prior to hire. Motion Passed Yes: Dunham, Branson, Shafer, Valdatta Clark Abstain: Orr, Amberg (Voluntary abstentions passed as if unanimous) Resolution 2003 -55, appropriating $10,000 from the general fund fund balance designated for insurance reserves to the street department to fund the insurance deductible on a claim. Motion (Shafer / Amberg) Approve Resolution 2003 -55 Assistant City Manager Rick Gifford, stated on July 4th a culvert was covered up by grass and a foot went into the hole. A claim was filed and turned over to the City insurance company, and had finally been settled for $17,000. Gifford needed Council to appropriate the $10,000 deductible. Motion Passed Unanimous Council took a 10 minute recess at 9:00 pm. City of Seward, Alaska City Council Minutes May 27, 2003 Volume 36, Page 180 Resolution 2003 -56, authorizing the City Manager to enter into a contract with Nye Frontier Ford for the purchase of one (1) police patrol vehicle for an amount not to exceed $23,465.00 utilizing the State of Alaska bid process. Motion (Shafer/Branson) Approve Resolution 2003 -56 Erchinger stated this purchase was approved in the FY 2003 budget, and requested approval to purchase and piggyback onto the State of Alaska bid process for this particular vehicle. Chief of Police David Brossow, stated the police department had six vehicles with one unmarked. He noted two officers were on during shifts. Three vehicles were take home vehicles and three were not. Brossow requested purchase of this vehicle at this time, because one of the 6 vehicles was not operable and could not be fixed, and they were down to five. Since these vehicles were in such constant use, they tended to wear out more quickly once you could no longer rotate them. Erchinger stressed these vehicles were driven all day long and the City would rather sell while they still had value, instead of running them into the ground. Brossow stated the Chief, Lieutenant, and Sergeant had take home vehicles for quick response to the scene if needed. That left the other three vehicles used throughout the shifts. One vehicle was already retired of the six. Brossow stated there would be about $4,000 worth of add -ons such as radios and decals, which would come from the motor pool fund. He stated Crown Victoria was the only police car Ford made, and the department liked to keep a mixture of SUV's and sedans. Brossow emphasized sedans were cheaper and more economical. Motion Passed Yes: Shafer, Branson, Valdatta, Orr, Dunham, Clark No: Amberg Resolution 2003 -57 confirming and approving the contract of Phil Shealy as new City Manager. Motion (Amberg/Dunham) Approve Resolution 2003 -57 Orr stated the committee met, and had negotiated terms of Mr. Shealy's contract, and Mr. Shealy had accepted. He was to begin work Monday, June 16, 2003. Mayor Clark remarked Acting City Manager, Kris Erchinger had done an exemplary job. Motion Passed Unanimous Resolution 2003 -58, supporting an application for a fisheries economic development matching grant to the state of Alaska, Department of Community and Economic Development (DCED). City of Seward, Alaska City Council Minutes May 27, 2003 Volume 36 Page 181 Motion (Shafer /Branson) Approve Resolution 2003 -58 Erchinger stated in order for the City to apply for this grant, it needed support by a resolution. She thanked Jim Beckham in completing this application in such a short amount of time. Valdatta had heartburn about accepting this grant when he felt a wave barrier system across the bay made more sense. He stated this just added money to the small boat harbor expansion area only. He wanted to know where the City could go to get money appropriated for wave barriers. Harbormaster Jim Beckham, stated this was for the NW corner, not NE as printed, and the facilities needed to be fixed. Power and dockside space was the second most asked about request or complaint. He advised this project would: add a sheetpile bulkhead, remove the travelift, provide lineage footage for commercial vessels and rebuild the dock, thus providing better access to transportation and make it easier for commercial vessels. Beckham stated he did not do an economic analysis, but this would improve the infrastructure that already existed, and may modestly increase that industry in this town. This improvement would gain about 320 feet and re -do the deck of I dock which was grossly in need of repair. Valdatta wanted to forget the boat harbor and upgrade the docks across the bay by providing a wave barrier. Erchinger stated the City had been fighting to get a wave barrier. She thought Council had given direction to initiate more improvements in the harbor, while moving forward on the wave barrier. She pointed out the need for additional docks to bring more vessels across the bay. She gave assurances the City would still pursue funding for wave barriers. The goal was to try and improve facilities for the processing plant and all commercial fishing vessels. Erchinger stated the Governor and DCED wanted projects that were already in progress and waiting on funding. She also noted it was a great idea to look at all of these projects for the future. Branson stated the wave barrier would cost millions, and was a future project. She stated the City needed to accomplish upgrading of the infrastructure now. Beckham stated the window of time to apply for this grant was only 2 weeks long, and there was room for flexibility and public involvement. Motion Passed Yes: Dunham, Orr, Branson, Shafer, Amberg, Clark No: Valdatta Other New Business Items Council appointed Doug Capra to the Historic Preservation Commission to serve a three -year term which expires on May 2006. Dates for this years Seward /Obihiro sister -city student exchange and the Japanese Delegation visit were confirmed. Seward students would go to Japan July 11 through July 30, with the City of Seward, Alaska City Council Minutes May 27 2003 Volume 36, Page 182 Japanese students coming over with the delegation on July 31. The Japan delegation would leave August 6, with their exchange students staying until about August 19, 2003. A brief discussion on the Patriot Act ensued, and Council wanted to develop one like the Kenai Peninsula Borough had recently passed. Informational items and reports (No action required) Council Comments Shafer stated the bike rodeo was well attended, and she appreciated the open house put on by the police department and the community effort. V aldatta read in the Alaska Journal of Commerce, that the Alaska Railroad was able to pass a bill in the legislature to sell 17 billion dollars worth of tax free bonds. He also read Usibelli would build a coal firing generator plant within the next 10 years. Dunham stated Ketchikan had passed an ordinance in their business district, on upkeep and boarding up of storefronts in the winter. He heard courts have ruled that communities and city governments could request property improvement in their business area, and felt this could be looked into for one building in particular downtown. Dunham noted AVTEC had an accreditation team here from the southwest, and hoped to get more programs. He recognized the AVTEC Food Service program was nationally accredited. Dunham wanted an internet upgrade in the future, and also desired making the time to talk about good things within our community instead of always reacting. Clark stated the National Park Service sent a 5 member team, Portico, up from Seattle and spent 4 days in Seward, observing the downtown area. They gathered conceptual ideas in preparation for a multi agency center, convention, library conference center, and was drafting a design that would enhance and contribute to downtown re- vitalization. He stated comments by an urban economical developer were that Seward was unique in Alaska, as it had a true downtown, but needed to be strengthened. Clark felt developing this project would provide strong economic support for the revitalization of downtown. He stated Portico would be back on July 9 for public comment and urged all citizens to become more active in this effort. Erchinger wanted to mention the City had lost a treasured staff member, Darrell Rogers to cancer recently. Services would be this Friday at 2:00 pm at the Sacred Heart Church and most staff would be attending. Citizens' comments David Brossow, 1308 Vista Avenue, stated as a kid he played on the docks by Icicle Seafoods, and was now in fear of falling through them. He thanked the harbormaster for continued revitalization of the harbor area. Brossow also praised the people that made the commitment to educate, train, and return to stay and live in Seward. Brossow felt sometimes a wrong message was sent to people which resulted in a loss of trust. He recommended the City not lose sight of that in their hiring practices, and opportunities for advancement. He congratulated Tom Clemons as the City of Seward, Alaska City Council Minutes May 27, 2003 volume 36 Page 183 new Chief of Police. Nina Daley, 416 4 avenue, remarked the meetings on the waterfront were set at times when people could not attend because of the time of year. She stated there was no information on when or what the alternatives were to comment on. Daley felt there needed to be much better posting and public comment period. Council and administration response to citizens' comments. Clark stated there would be ample opportunity for public comment until July 9 on the downtown alternatives, and drafts would be produced and displayed. Erchinger responded that the City had a local candidate for the Chief of Police position. She expressed her opinion that he would make an excellent Chief of Police someday. Erchinger agreed with Chief Brossow that Seward had excellent local people to fill positions, and did not want any misunderstandings. In this particular case, a much more experienced, outstanding candidate arose. She felt it was the hiring committee's job to do what was best for the community. They all agreed and felt professionally, Mr. Clemons was the right choice. Erchinger stressed even though the committee unanimously agreed, personally, it was not an easy decision, and encouraged people to move up the ranks. Adjournment The meeting was adjourned at 10:15 p.m. Jea : Lewis Cit r Clerk pF SEA.` °'8� (City Seal) �t N l 'Rp 9 � f• •, • SEAL Stu Clark Mayor 0 F A�- S;�''• City of Seward, Alaska City Council Minutes June 9 2003 Volume 36, Page 184 Call to order The June 9, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Sgt. Bond led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Linda Amberg Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Kristin Erchinger, Acting City Manager Rick Gifford, Assistant City Manager Jean Lewis, City Clerk Absent - None Proclamations and Awards. Seward, Nebraska Week proclamation read. Introduction of 2003 Seward - Obihiro Sister City Exchange Students, Haley Hatch, Hillary Olsen and Jessica Coon. Borough Assembly Report. Borough Assembly Representative Ron Long stated the Borough had been busy with hearings and meetings. During the May 20 meeting, a contract for the Moose Pass school roof passed, and a resolution on the Patriot Act. He stated they had the first hearing on the Arctic Winter Games, and signed a contract with the International Committee to set the process in motion. The Assembly defeated an attempt to exempt a portion of gas and diesel taxes at the pump. Long stated the application was perceived as a tax on a tax, and would cost the most to service providers. He also stated language was clarified on how the mill levy was set for service areas. On June 3, the Assembly passed a 58 million dollar budget as follows; 31 million for schools, 4 million to school debt, 2 million to capital improvement projects for schools, l3 million to general government service areas, 4 million to solid waste, l million to solid waste debt retirement, 2 million to capital projects, senior centers and others. The mill rate stayed at 6.5. Long declared the approval of a contract for the Tinker Trail Bridge. It was a competitive City of Seward, Alaska City Council Minutes June 9, 2003 Volume 36 Page 185 bid and went to a Cooper Landing bidder for $49,500. An ordinance will be introduced to form a trail service area at the next meeting. Long notified that the vote on the Lowell Point fire service area was tomorrow and on June 16, public hearings would be conducted on the local flood service area. He stated $50,000 was restored for EDD. City Manager's Report. Acting City Manager Kristin Erchinger stated this would be her last meeting, and had a lot of projects to report on. She stated the City went through an interim GASB audit last week, and the Finance Department would continue to work on this throughout the year. She thanked Chief of Police David Brossow for all his hard work and dedication to the City. Other project updates were as follows: Gateway to Forest Acres waterline. Erchinger stated she had met with the Shafer's. CRW was not able to reduce the cost of the project, and had estimated alternative #1 at $639,000, and alternative #4 at $885,000. Mr. Shafer, the developer, felt the estimates from CRW were very high. Erchinger noted the City could bid both alternates and see how the bids came out, but explained it would cost $25,000 to complete the design work on alternative #4 before taking it to bid. Erchinger could not come to an agreement with the developer and recommended the City pursue alternative #1. Japanese Creek levee road project. The levee would be constructed on the lower end to protect Forest Acres from flooding. She informed the public of a meeting June 16 which would show the location of the levee to be constructed, and the project was set to begin in November. 41h of July Rock Quarry appraisal. Erchinger stated the estimated fair market value for mineral rights was $575,000, and did not include the small stock piles of rock. The total estimated value for property and mineral value was 1.3 million. Direction will be needed whether to sell, or proceed with a long term agreement. Kawabe Park. Erchinger stated landscaping should be completed, and laying topsoil and sod would not occur until after July 4. Hoben Park. The Arborist stated the proposed Centennial project could impact and hurt the poplar tree, therefore increasing the risk of potential hazard if it fell. A decision would have to be made on park enhancement vs. cutting down the tree. Forest Acres Subdivision. Erchinger stated there was a problem. Individuals had purchased lots from a developer in Forest Acres, and could not get building permits. The City Code stated these lots needed to be developed and have a subdivision agreement. She had met with the developer last week and agreed to work with him to provide necessary infrastructure improvements on 6 lots at a time. She noted the Gateway to Forest Acres waterline would increase the water pressure to those lots. Erchinger stated the City would be meeting with representatives of Princess Tours next Monday. Cuts by Governor Murkowski eliminated money to local health care facilities which could adversely affect those services. Also eliminated was the capital matching grant for the purchase of street equipment. City of Seward, Alaska City Council Minutes June 9 2003 Volume 36, Page 186 Park and Recreation Director Karin Sturdy stated the group from our sister -city, Seward Nebraska had a wonderful time. They stated it was a once in a lifetime trip, that Nebraskatball was wonderful, and appreciated the generosity. She thanked the council members and mayor for all their support and felt the exchange with this community was very important. Nebraska wanted to invite a group from Seward in 2004 to play them again. In response to questions by council, Erchinger stated the law that required subdivision agreements had been in the code when the Forest Acres land was purchased in the 1980's. She stated there were letter exchanges dating back to that time, and felt the developer was aware of this particular code for over 20 years. Erchinger agreed the sidewalks were in bad shape, and would look into the cost of patching. Erchinger stated the City was not involved in a lawsuit between Providence and Qutecak. Manager of Engineering and Construction Gerry Welsh stated the Department of Transportation (DOT) had proposed the fence in the harbor area a while ago for safety purposes to prevent J- walking and direct pedestrians to the crosswalks. Other Reports, Announcements and Presentations Presentation by Ken Turner, U.S. Army Corp of Engineers on the plans and specifications for the East Harbor Expansion Project. Citizens' comments on any item not scheduled for public hearing. Tim McDonald, Mile 2 Nash Rd, spoke in opposition of the Waterfront RV Park upgrade, and was concerned tax dollars were being used to compete with local business owners. He felt the demand could be served by private RV companies, and the City should not be competing against private enterprises. Nina Daley, 416 4th Avenue, mentioned proposed Ordinance 2003 -04 pertained to changing the zoning on some lots, but not all of them. She felt this resulted in spot zoning, and all lots should be changed. Daley stated she owned a lot in the affected area and had not been contacted about re- zoning. She pointed out rezoning all of the lots complied with the Seward Comprehensive Plan. Randy McFarland, Mile 6.5, spoke in support of adopting the concept of having a vendor site in the harbor plaza. He wanted to apply again, and felt it would create a couple more jobs in the community. Meggin Clancy, 208 Marathon Dr., reiterated from the May 12 meeting, her desire to have the Little League bathrooms cleaned by the City. If that could not be addressed this year, then she wanted the administration to put it on an agenda for next year, and add a crosswalk across Ballaine to those restrooms. Rules were relaxed for more comment. City of Seward, Alaska City Council Minutes June 9, 2003 Volume 36 Page 187 Cathy Byars, 1104 4 th Avenue, supported little league and wanted to address the harbor expansion project. She did not want to displace the fisherman who used the area by the breakwater to fish. She phoned the Park and Rec. Dept. last October on health and safety issues of maintaining the little league bathrooms, and was not happy with field maintenance either. Rules relaxed for more comment. Paul Schuldt, Bear Lk and Seward Hwy., spoke in opposition of the City putting in RV parks. He wanted the City to create a level playing field by keeping revenues the same as private enterprises in the area. Patty Linville, 1205 Vista, spoke in favor of Resolution 2003 -63. She was speaking as a citizen, not as a City employee, but felt 9/11 had changed things and spoke about how library's across the country disseminate public information. Donna Samford, Gateway Subdivision, spoke in favor of Ordinance 2003 -04. She had bought the lots to have more space and keep her horses within city limits. She requested passage of this ordinance and that those lot sizes in the area be left big. Paul Kane, Wolftrail, spoke in favor of having the City clean the bathrooms for little league and felt a few dollars could be spent for the safety of the children. Amy Hatto, Questa Woods, spoke in favor of having bathrooms open in the little league area. Patty Beals, 534 Second Avenue, spoke in favor of having bathrooms at the little league field. She had seen children try and cross the street and almost get hit, and wanted a meeting with Parks and Recreation. Recess at 9:05 pm Approval of agenda and consent agenda Motion (Dunham/Shafer) Approve the agenda and consent agenda The following seven discussion topics were added to the agenda: The Gateway /Forest Acres waterline, PACAB marketing, Hoben Park, Marine Transportation Advisory Board, fee structure of the Waterfront RV Park and radio coverage. Motion Passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -62, authorizing the discharge of fireworks by the Chamber of Commerce during the 2003 Independence Day Celebration. City of Seward, Alaska City Council Minutes June 9 2003 Volume 36, Page 188 Public Hearings — Resolutions requiring public hearing Resolution 2003 -59 approving amendment #2 to lease RE 94 -93, Lot 1, Block 8, Fourth of July Creek Subdivision, authorizing the first of three permitted five -year extensions. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Dunham/Branson) Approve Resolution 2003 -59 Erchinger stated this was a standard amendment and authorized an extension of the annual $400 existing lease to AT &T to offer a cellular communications site. Motion passed Unanimous Resolution 2003 -60 approving the assignment of lease on RE 94 -93, Lot 1, Block 8, Fourth of July Creek Subdivision, to Dobson Cellular Systems, Inc. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Branson /Dunham) Approve Resolution 2003 -60 Erchinger stated the purpose was to assign the above lease to new owner AT &T. She stated the lease rate was standard based on the value of the property. Motion passed Unanimous Resolution 2003 -61, recommending Kenai Peninsula Borough Planning Commission approval of the preliminary plat review of the Hemlock Street right of way acquisition, consisting of a portion of U.S.S. 1864 within the NW 1/4 Section 34, Township 1 north, Range 1 west, Seward meridian, Alaska, City of Seward, Seward Recording District, containing 0.989 acres, as submitted by the Seward Planning and Zoning Commission. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. Michelle Swartz, 2400 Evergreen, asked if this road had been platted before the elementary school went in, and was concerned for the safety of children in the area. She thought this could put a highway right past the elementary school through Forest Acres. Motion (Shafer /Amberg) Approve Resolution 2003 -61 Erchinger stated this was not a road and cleared up an old encroachment problem. The Borough Planning Commission required a 60 foot ROW for a road. The City currently had 30 feet. Erchinger stated the Borough did not give up platting powers even though Seward was a home rule municipality. The ROW acquisition resolution would come next. City of Seward, Alaska City Council Minutes June 9, 2003 Volume 36, Page 189 Public Works Director WC Casey stated 30 feet would not be enough. At least 27 feet was needed without any spoils. Staff recommended 50 feet. Casey stated there were no plans for a roadway, and this ROW would be a construction zone to maintain valves in the area with no public access. The City would have access to maintain the valves. Casey stated that the past city manager specified a ROW instead of an easement because the property owners were not interested and wanted to sell. Erchinger stated Planner Malcolm Brown had argued with the Borough on the need for a 60 foot ROW, and the City could postpone for a ruling by the attorneys for next meeting. Motion (Branson /Shafer) To postpone until June 23 regular meeting Motion passed Unanimous Unfinished business - None New Business Ordinances for Introduction Ordinance 2003 -04 amending the zoning of various lots in Forest Acres Subdivision from single family residential (RI) to rural residential (RR). Motion (Shafer /Dunham) Approve Ordinance 2003 -04 Erchinger reported some people thought the whole area was zoned RR already. The developer had subdivided properties between Maple and Oak Street as smaller parcels to follow the current RI ruling. Branson stated lot sizes would have to be over 20,000 square feet to have horses. Orr stated the City needed to encourage people to build within the city limits, and supported the approach that all property owners could be included within the RR zoning if they wished. Erchinger would make sure a letter was sent to all property owners by the next council meeting. Motion Passed Unanimous Resolutions Resolution 2003 -63, to establish City of Seward policy in defense of the Bill of Rights with respect to federal anti - terrorism acts, legislation, and orders. Motion (Dunham/Orr) Approve Resolution 2003 -63 City of Seward, Alaska City Council Minutes June 9 2003 Volume 36, Page 190 This resolution was pretty much a carbon copy of what the Kenai Peninsula Borough recently passed. Motion Passed Unanimous Resolution 2003 -64 authorizing the City Manager to sign the project cooperation agreement (PCA) with the Department of the Army for the construction of the harbor improvements (project). Motion (Dunham/Shafer) Approve Resolution 2003 -64 Erchinger stated these were requirements for cooperating with the Army Corps of Engineers. Harbormaster Jim Beckham, stated this was a standard operating agreement with the Corps that non - federal sponsors signed for projects. Erchinger stated 4.5 million were the federal funds appropriated to date. The total cost of the project was about 5.2 million, which would require a City match of $518,600. The grant received from the Department of Transportation would serve as a matching grant for the City's share of the match. Beckham acknowledged the City had accepted the grant, but had not appropriated the funds yet. Much discussion ensued on whether to adopt this resolution or not. Motion Passed Yes: Branson, Orr, Valdatta, Dunham, Amberg, Clark No: Shafer Other New Business Items Council approval and direction to reconsider temporary vendors in the harbor plaza area. Erchinger stated there were a number of vendors wishing to bid on the vendor site and felt a quick discussion topic on the issue was the best way to address this without putting in excessive staff time if council had no intention of allowing use of this site. She noted the harbor plaza had changed and improved with planter boxes and benches, and there was not as much available land as before. Council direction was to not allow temporary vendors in the harbor plaza area. Discussion and information given on the rock quarry appraisal was postponed until the June 23 regular meeting. Discussion of the Gateway to Forest Acres waterline. City of Seward, Alaska City Council Minutes June 9, 2003 Volume 36 Page 191 Erchinger stated the City was $325,000 shy of funding. She felt it was a matter of economics and stressed this project had to go first in order for land owners to acquire building permits. She agreed the neighborhood needed water pressure and this project would increase water pressure for fire flow. Much discussion ensued. Orr questioned whether to pursue a ROW or an easement. Branson stated the Borough was only interested in roads, not easements. Dunham wanted to proceed with alternative #1 so the City could prepare paperwork and move forward. He agreed with Orr, an easement should be looked at, and he did not want a highway down to Dimond. Council unanimously gave direction to pursue alternative N. Discussion of Council directions to PACAB re: marketing and review PACAB 6/4 and 6/18 meetings Mayor Clark stated PACAB held a meeting and decided to include other community members in deciding a marketing strategy and would hold that meeting on June 18. Discussion of P &Z 6/3 meeting and review frequency during the construction season. Mayor Clark tossed out the idea that if during the construction season it would be advisable for Planning and Zoning to meet more often to act on building permits, CUP's, etc. Due to lack of time, no direction was given. Discussion of Hoben Park was postponed until the June 23 meeting due to lack of time. Discuss Marine Transportation Advisory Board. Dunham wanted to know what the community desired on marine highway schedules and transportation needs, and wanted to know if the City would participate as a member of this committee. Council did want to participate as a member of this committee. Discuss fee structure on RV Park. Orr wanted a report from the administration on what the proposed fee would be on the power sites, the amount of power, and what net profits should be. Discuss radio coverage. Administration to look into the loss of radio stations. City of Seward, Alaska City Council Minutes June 9 2003 Volume 36, Page 192 Informational items and reports - None Council Comments Dunham hoped something could be done for the little league bathroom situation. Orr felt there was a golden opportunity to utilize the little league park. He suggested using some of the money which would be brought in from the new RV sites, work it out with private sector, and help improve the field. Valdatta stated there was an outfit looking to come to the states from Norway to build safety boats. He had some port and harbor issues and ideas to run by the Port and Commerce Advisory Board. Clark notified the public of two meetings on flood control and the levee. Citizens' comments Meggin Clancy, 208 Marathon, thanked council for little league support. She wanted the children of Seward to benefit. Nina Daley, 416 4 Avenue, wanted council to know there was a ROW all the way through the streets of Forest Acres now, and stated that was why property owners were concerned about a road eventually going through there. Council and administration response to citizens' comments. - None Adjournment The meeting was adjourned at 10:57 p.m. Ic Z Jean Owis City lerk ,���tnnrnr�s�i y r # Qf 5E14, V° e .. . ........ 4 (City Seal) �� j " F�.. + 2 �.- • S EAL s 5 9 - ----7 Stu Clark Mayor City of Seward, Alaska City Council Minutes June 23 2003 Volume 36, Page 193 Call to order The June 23, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Phil Shealy led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Linda Amberg Willard Dunham Bob Valdatta Vanta Shafer comprising a quorum of the Council; and Phil Shealy, City Manager Rick Gifford, Assistant City Manager Jean Lewis, City Clerk Absent - Nathan Orr Proclamations and Awards. Certificate of Appreciation for outstanding service as Acting City Manager presented to Kristin Erchinger. Borough Assembly Report. Borough Assembly Representative Ron Long stated the Assembly amended the spruce bark beetle program and added another 1400 acres and extended the sunset until July 1, 2006. They also passed a resolution to issue the sale of the 14.7 million dollar bonds for the Seward School, and introduced an ordinance to appropriate the proceeds for the sale of the bond. A measure to spend $26,000 to upgrade the sound system within the borough was passed. Meetings could eventually be held over the internet. There was another ordinance to put forward the 49.9 million dollar bond sale to the voters of the service area of the Central Peninsula General Hospital. Long stated Borough finance director Jeff Sinz resigned to take a job with the Municipality of Anchorage. City Manager's Report. City Manager Phil Shealy, stated he had a few items to report after his first week on the job. He thanked the Council and citizens for their patience and support. Shealy addressed the little league restroom issue and felt we were all partners in this issue, but due to the shortness of the remaining season, he wished to tabled this matter for now and requested little league come to the City to address their needs for the 2004 budget process beginning in August. City of Seward, Alaska City Council Minutes June 23, 2003 Volume 36 Page 194 Shealy and Mayor Clark met in Anchorage with the Alaska Railroad regarding the strip of land needed for the hotel development. They assured the City those documents would be transmitted and signed. Shealy recommended the skateboard expansion be placed on the next agenda for a decision. He spoke with Skip Reierson of Rotary and felt there were some issues that needed to be clarified. Shealy would be meeting with staff in the morning and believed they could begin issuing the building permits on Oak and Ash Street in Forest Acres. A number of the issues were completed and could move on with the permitting process. The main issue for development was the new waterline. Other Reports, Announcements and Presentations 4 th of July Mt. Marathon Race and Salmon Derby trophies from Mayor Toshif imi Sunagawa, Obihiro, Japan were displayed. Historic Preservation applicant, Dorene Lorenz. Mariners Memorial proposal by Kenai Fjords Yacht Club representative Nina Daley. Citizens' comments on any item not scheduled for public hearing. Department of Labor Commissioner Greg O'Claray, stated his department was responsible for all training programs. On July 1 AVTEC would be within the Department of Labor. He felt it was an underutilized facility and had room for program growth. He would encourage the Department of Corrections training to stay within the State of Alaska, and would pay attention to corral training dollars for Homeland Security. O'Claray would be discussing these matters at the table with Governor Murkowski. Sandra Wassilie, 105 Lowell Canyon Rd., spoke as the liaison to the Centennial Committee. She wanted the brochures disseminated and notified that the Centennial committee was holding an all- graduates reunion. Artist Armand Karschbaum would be available to sign the commemorative poster and they would be a raffling off the original print at the 4 th and Adams Street booth. July 9 would be Alaska Flag day and the re- dedication of the re- furbished Benny Benson monument. Doug Olson, 314 Second Avenue, wanted to make it clear the real boss were the citizens. He felt the City had not done anything right financially and were compulsive gamblers with taxpayer's money. He saw the need for an evaluation by the citizens of all department heads and their performance. Olson also stated the public process for the harbor was a sham. Approval of agenda and consent agenda Motion (Shafer /Amberg) Approve the agenda and consent agenda A discussion on how the public addresses council was added. City of Seward, Alaska City Council Minutes June 23 2003 Volume 36, Page 195 Resolution 209-3 cc » supporting the , rnISO) Valdez. (Ma pulled by the sponsor. Motion Passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -65, approving the use agreement between the City and the Alaska Vocational Technical Center. Resolution 2003 -66, updating and authorizing bank signers to include Phil Shealy. Appoint Dorene Lorenz to the Historic Preservation Commission. Non - objection to new liquor license by Chinooks Waterfront Restaurant. Approval of the May 27 regular meeting minutes. Public Hearings — Ordinance 2003 -04 amending the zoning of various lots in Forest Acres Subdivision from single family residential (Rl) to rural residential (RR). Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. Ron Buckley, 2 " Avenue, recently heard of the zoning in Forest Acres. He stated a friend wanted a variance on his property to have a bunkhouse on Second avenue but did not get permission. He stated the Alaska Sealife Center was able to have a bunkhouse and felt it was one family residential there and wanted to know why that was. Motion (Dunham/Branson) Approve and Enact Ordinance 2003 -04 Shealy contacted all owners per council's request. He stated a majority requested the rezoning, and requested adoption of this ordinance. The suggested amendment to adopt was available in the packet. Planner Malcolm Brown stated the majority of the lots were more than 20,000 square feet, with eight lots under 20,000 square feet. Of the 20 letters sent out 14 responded favorable, with 1 no response and 1 no. Upon Dunham's remark he did not want the lots to be chopped up in the area, Brown stated these lots could be subdivided. Amendment(Dunham/Shafer) Amend first WHEREAS, to read: WHEREAS an applicant and the majority of the property owners West of Maple Street have requested rezone of the following lots in Forest Acres Subdivision: City of Seward, Alaska City Council Minutes June 23, 2003 Volume 36 Page 196 B V,CU,C W,CN,CO,CP,CJ,CI,CH,CH,AX, BA,BC,AY,AZ,BD,CQ,CR,CS,CT, CF, CD CX,CY,CV, BX, BS, BW, BY,CE,CZ, BI, BH -1 BP,BT,BO,BR,CA,CB,BU,BZ, and Grizell addition Lots 1,2,3, and 4, and amend Section 2. to read: The official zoning map of the City is hereby amended by changing the zoning designation of Lots BV, CU, CW, CN, CO, CP, CJ, Cl, CH, CG, AX, BA, BC, AY, AZ, BD, CQ, CR, CS, CT, CF, CD, CX, CY, CV, BX, BS, BW, BY, CE and CZ, BI, BH, BG-1, BP, BQ, BT, BO, BR, CA, CB, BU, BZ, Forest Acres Subdivision, and Grizell Addition Lots 1, 2, 3, and 4 from Single Family Residential (Rl) to Rural Residential (RR) as shown on Exhibit A attached hereto. Amendment Passed Main Motion Passed Unanimous Unanimous Resolution 2003 -61 recommending Kenai Peninsula Borough Planning Commission approval of the preliminary plat review of the Hemlock street right of way acquisition, consisting with a portion of U.S.S. 1864 within the NW '/< section 34, township 1 North range 1 West, Seward meridian, Alaska, City of Seward, Seward recording district, containing 0.989 Acres, as submitted by the Seward Planning and Zoning Commission. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Shafer /Amberg) Approve Resolution 2003 -61 Shealy stated CRW negotiated a ROW with Frank and Carol Griswold. He felt there was an urgency that this right -of -way be acquired to proceed with the waterline to bring pressure in the area for more homes to be built. Shealy stated this ROW also addressed a longstanding encroachment issue in the area. Upon further research he stated this resolution could be amended from 60 to 50 feet if council desired. Shealy announced this was the first step to secure this strip of land and the City needed to proceed with the acquisition to purchase the land. Amendment (Branson/Dunham) Eliminate the 6` WHEREAS, change the 5 th WHEREAS to read; "an amendment concerning street naming. Revise Section 2, paragraph 2 to read, 30 feet to a total of 50 feet in width on Hemlock Street, giving Hemlock Street a total width of 50 feet. City of Seward, Alaska City Council Minutes June 23 2003 Volume 36, Page 197 Amendment Passed Yes: Amberg, Shafer, Dunham, Branson, Clark No: Valdatta Main Motion Passed Unfinished business - None Discussion on Hoben Park Yes: Amberg, Shafer, Dunham, Branson, Clark No: Valdatta Manager of Engineering and Construction Gerry Welsh spoke with Arborist Matt Tyrala on the concept of revising the park. He wanted Council to know if the City followed through with the Hoben Park design plan, it could potentially be stressing the tree which already is a potential fall hazard. The Arborist advised not to place attractions in the fall zone, and suggested if the tree were to be kept, the City would have to preserve the root line. He thought options should be explored and a decision made whether to keep the tree or not, before he began the project. In response to Shafer, Welsh stated the Arborist felt the tree was healthy, but noted it had a wound and represented a potential fall hazard. This project would stress the tree. If it fell, it would cover the entire park. Shafer was not comfortable about making this decision and felt the public should make the decision. Branson stated just planting grass should be enough. Council wanted the public to make this decision and advised administration to send this to the Planning and Zoning Commission for public hearings. Council direction to Administration on the Rock Quarry, and discussion of Quarry appraisal. Shafer thought it was best to hold onto the rock for City projects. Valdatta felt there was animosity, and the City had already lost markets. There was plenty of rock in the quarry that needed to be cleaned up, sorted, and put on the market. Dunham agreed on the use of rock for the city's own projects, but disagreed there was animosity. He stated this quarry was a community resource and should be used for the benefit of the community. Clark felt the City had been overly optimistic. He noted continued ownership of the quarry put the City in the quarry business, and the City would have to hire someone to manage this resource. Consensus was to retain ownership of the quarry with the new City Manager to review and bring back to Council at a later date. City of Seward, Alaska City Council Minutes June 23, 2003 Volume 36 Page 198 Council takes a brief recess at 9:00 pm. New Business Resolution 2003 -68 authorizing the City Manager to purchase four ground fault resistors from Post Glover Resistors for a total price, including shipping, of $10,107.52. Motion (Shafer /Amberg) Approve Resolution 2003 -68 Shealy stated with shipping, this exceeded the $10,000 limit and sought council approval. Motion Passed Other New Business Items Unanimous Sehedule a work session on the Gateway*or-estAer-es right of way, easement Requisit- No longer needed. Schedule a work session with Jim Carter from EDD. Shafer reported that with Arctic Winter Games coming up, a work session was needed with Jim Carter of EDD to address concerns and desires from this side of the peninsula. A work session scheduled for Monday, July 14 at 6:30 pm with Jim Carter of EDD. Schedule a work session to discuss any and all topics about Seward. Dunham requested a time set aside to brainstorm and discuss all kinds of topics and future proj ects. A work session was scheduled for Monday, July 21 at 7:00 pm to discuss all possible 2004 projects. Discussion on giving addresses during public comment before council. Amberg had heard from the public that people did not speak before council because some had reasons they did not want to state their physical address. Dunham felt there was a reason why addresses were added, because years ago, too many out of town people were raising a fuss at the meetings. Clerk instructed to bring a proposed ordinance forward for Council to address. Informational items and reports (No action required) Council Comments City of Seward, Alaska City Council Minutes June 23 2003 Volume 36, Page 199 Shafer was looking forward for the 4th of July. V aldatta stated he went to the Forest Acres levee road project meeting at the Sealife Center. He felt the road ruined property in Forest Acres. He congratulated Sgt. Joe Bond who had given almost 30 years of public service to the town. Dunham stated some communities impounded cars for DWI offenses, which resulted in a decrease of those offenses. He raised the issue on licensing and inspection requirements on taxi's, and stated the view was obstructed by the fence on the sidewalk at the boat harbor, and requested the City take a look at it. Clark summarized that PACAB met in a special meeting to discuss marketing, and consensus was that the Chamber of Commerce should pick up visitor and economic development. He pointed out downtown re- vitalization site studies were on display at Kawabe Park. Next week was Alaska Wild Salmon week. Clark attended a teleconference with the Alaska Marine Highway System, reviewing the preliminary fall schedule. He congratulated Sgt. Bond on his retirement and Dorene Lorenz on her appointment to the Historic Preservation Commission. At a meeting with Princess cruise agency, Princess stated they were happy with Seward, but recognized a move to Whittier made economic sense with savings on fuel, bus, and tie -up charges. Dunham stated there were children in the middle of the street on Ballaine and felt the City needed access across Ballaine. Citizens' comments Doug Olson, 2 "d Avenue, asked for a financial report from the finance department on the rock quarry. He felt the calculations on the RV utility installation were screwed up, the sites were unavailable to rent yet, parking in the harbor was the biggest revenue loss of the year, and all in all, the City books were a mess. He also was dissatisfied with the City competing with private enterprise and wanted better accounting. Mick Sela, Forest Acres, stated the north road levee project should be paved to the existing dump to keep dust and noise down. He thought a gate at night would possibly keep drag racing down. Sela wanted the creek by this project to continue to flow because it acted as a drainage system. Salmon were in that stream in the back of Forest Acres, and ground water caused most of any flooding in the area. He thought it was a big unknown how the water running down the streets would react, and gates installed in the culverts could possibly control the flow. Council and administration response to citizens' comments. Valdatta offered his booklet to Mr. Sela on the North Forest Acres Levee project for additional information since he had just gotten back to town. Go into executive session for the purpose of discussion on the intertie, which could affect the city financially. City of Seward, Alaska City Council Minutes June 23, 2003 Volume 36 Page 200 Motion (Dunham/Shafer) Go into executive session for the purpose to discuss the intertie. Motion Passed Unanimous Council convened into executive session at 9:50 pm Council reconvened into their regular meeting at 10:10 pm Go into executive session on union negotiations with IBEW contract. Motion (Shafer /Amberg) Go into executive session for the purpose to discuss union negotiations with IBEW contract. Motion Passed Unanimous Council convened into executive session at 10:10 pm. Council reconvened into their regular meeting at 10:34 pm Adjournment The meeting was adjourned at 10:35 p.m. Je Lewis I Cit Clerk '01 ,nu18 1J. . (City Seal) �" �,. `mss V •��a �,�o,� ,p: p =m SEAL, ®» • r *stun F ` A�� o Stu Clark Mayor City of Seward, Alaska City Council Minutes July 7 2003 Volume 36, Page 201 Call to order The July 7, 2003 special meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Phil Shealy led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Linda Amberg Willard Dunham Nathan Orr Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Phil Shealy, City Manager Jean Lewis, City Clerk Erin Leaders, Assistant City Clerk Absent - None Citizens' comments on any item not scheduled for public hearing. - None Approval of agenda Motion (Shafer/Dunham) Approve the agenda Motion Passed Unanimous Public Hearings Non - objection to the approval of the new restaurant/eating place public convenience license application for Baranof Ventures, Inc., dba Legends of the Mountain. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened Jeff Kilgore, Manager of Legends Restaurant, thanked council for the special meeting and stated the license was a basic beer and wine public convenience license. He would be running a restaurant not a bar. In response to Dunham, Kilgore stated the principal members lived in Anchorage. City of Seward, Alaska City Council Minutes July 7, 2003 Volume 36 Page 202 Motion (Orr /Dunham) Approve the non - objection of the new restaurant/eating place public convenience license application for Baranof Ventures, Inc., dba Legends of the Mountain. Motion Passed Unanimous Council Comments Dunham thanked the city crews for the 4` of July, and was delighted with the way it was handled. He wanted to know when the flower boxes in the harbor would be planted. Citizens' comments - None Council and administration response to citizens' comments. - None Adjournment The meeting was adjourned at 7:34 p.m. Je ewis� Cit Clerk ' %V %% 1111 n lost 14? F E • (City Seal) e �e���'C�I , .�...5, • i � 1;J1 j S 0 • t�- Stu Clark Mayor O Ao� City of Seward, Alaska City Council Minutes July 14 2003 Volume 36, Page 203 Call to order The July 14, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Chief Tom Clemons led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Margaret Branson Willard Dunham Linda Amberg Vanta Shafer Bob Valdatta Absent: Nathan Orr Comprising a quorum of the Council; and Philip Shealy, City Manager Erin Leaders, Assistant City Clerk Brad Meyen, City Attorney Rick Gifford, Assistant City Manager Proclamations and Awards. National Park and Recreation Month Proclamation. Recognition and praise proclamation given to the top three 2003 winners in each category of the 4` of July Mt. Marathon Race. Woodlawn Cemetery Restoration Proclamation. Community Recognition for 4` of July Involvement. Borough Assembly Report. A written report was provided in the council packet pages 10 -18. City Manager's Report. City Manager Philip Shealy congratulated Doreen Valadez on her recent promotion to Sergeant. She replaced Sergeant Bond upon his retirement which created a patrol vacancy to be filled immediately. Shealy informed the public that the City was in the process City of Seward, Alaska City Council Minutes July 14, 2003 Volume 36 Page 204 of installing crosswalks and signs on Ballaine at the Tot Lot, and the speed limit had been lowered to 25 mph as a further safety measure. Shealy reported Police Chief Tom Clemons had been working with the Borough and had obtained %2 million dollars of grant funds from Homeland Security to help finance the upgrade of the radio dispatch center which would tie into the borough dispatch center. Shealy pointed out that Karin Sturdy's report reflected camper usage in the City was down slightly from last year, however, the public was making use of the 75 additional water /electric RV hookups that were recently installed. Shealy informed the council and public that he and Jim Beckam were to meet with the Alaska Railroad to try and resolve the Tideland issue in order for the Harbor Expansion project to begin later this year. In response to Shafer, Shealy stated the Corps of Engineers was picking up the majority of the tidelands, but there was one small strip (underwater) approximately two acres in size that the railroad controlled and it was needed as part of the harbor expansion. City Attorney Report. Attorney Brad Meyen stated their office had been handling land type issues, including easements, leases, some amendments and transfers of leases and had worked on completing the Seward Mariculture facility transfer. Other Reports, Announcements and Presentations Kenai Peninsula Borough Flood Service Area Update by Assistant to the Mayor, Ed Oberts and Borough Attorney Collette Thompson. Discussion ensued regarding who would be responsible for flood mitigation projects and/or repairs and cost of repairs in the service area, how Seward as a home rule city would be affected if included in this plan, and many other issues related to board members and flood service area boundaries. A Presentation was given by Wolfgang Kurtz ofNorthern Radio. Northern Radio will be working with local emergency people to provide direct access to airwaves for emergency alerts such as floods and other emergency situations. AML -JIA Loss Control Guidelines Presentation was given by Steve Millea who suggested equipment at the skate park be provided by professionals who specialized in skate equipment in order to reduce liability. Steve pointed out although the risk would always be there, the liability could be reduced by installation of proper equipment and segregated skateboarding from bikes and roller blades. Steve also recommended fencing around the park to reduce the risk of boards flying out into the bike path. PACAB Applicant Jerry Waliezer spoke of his desire to be considered as a board member. City of Seward, Alaska City Council Minutes July 14 2003 Volume 36, Page 205 Citizens' comments Tim Sczawinski, Wolf Trail Lane Nash Woods Subd., spoke with concerns regarding Hoben Park. Tim would like to see limited excavation in Hoben Park due to the fact he felt it was a major archaeological site. Tylan Schrock, 2612 Birch, addressed the North Forest Acres road project and expressed concerns about public process. Schrock did not feel the Red West 3 alternative was ever seriously looked at. He asked council to take another look at the paperwork before signing off on a compromise. Steven Schafer, 2511 Dimond, spoke in opposition of alternative #1 of the Forest Acres Waterline. Shafer stressed alternative #3 would serve 25 lots, where number #1 would serve much less. Schafer stated the city stood to benefit more from alternative #3 than alternative #1. Council recessed for break from 8:56 pm to 9:06 pm Approval of agenda and consent agenda Motion (Shafer/Dunham) Approve the agenda and consent agenda Resolution 2003 -73 was pulled from the consent agenda. Scheduling a work session on the Kenai Peninsula Borough Visitor Market Research Program was added to the agenda. The following resolutions were removed from the agenda: i woau eavu yy, , - , ..................b . _....._.J _•-"_- -a -' .-. -,--- --- - a- --- - -� - -- --- - - - -.. - Motion Passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -70 authorizing the extension of a special services contract between the City of Seward and the Department of Public Safety providing dispatch and clerical services to Public Safety Employees in the Seward area. Resolution 2003 -74 authorizing the rotary expansion of the skate park, and dedication and naming the park, "Evan Casey Skate Park ". rn Motion Passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -70 authorizing the extension of a special services contract between the City of Seward and the Department of Public Safety providing dispatch and clerical services to Public Safety Employees in the Seward area. Resolution 2003 -74 authorizing the rotary expansion of the skate park, and dedication and naming the park, "Evan Casey Skate Park ". City of Seward, Alaska City Council Minutes July 14, 2003 Volume 36 Page 206 Resolution 2003 -77 authorizing a one -year contract for $371,464.67 with the State of Alaska, Department of Corrections, to provide for operating the Seward Community Jail and Housing prisoners charged and /or sentenced under Alaska Statutes. Approval of the June 9 and June 23 regular meeting and the July 7 special meeting minutes. Public Hearings — Resolutions requiring Public Hearing Resolution 2003 -72 Authorizing The City Manager To Proceed With The Acquisition Of A Strip Of Land Thirty (30) Feet Wide Along The South Side Of The East -West Portion Of Hemlock Street, Consisting Of A Portion Of U.S.S. 1864 Within The NW 1/4 Section 34, Township 1 North, Range 1 West, Seward Meridian, Seward Recording District, Third Judicial District, State Of Alaska, Containing Approximately 0.989 Acres. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the council and the public hearing was closed. Motion (Shafer /Branson) Approve and Enact Resolution 2003 -72 City Manager Phil Shealy stated this resolution was necessary for the acquisition of the easement in order to construct alternative #1. Council's last direction to staff was to proceed with alternative #1. Shealy suggested council proceed with design, bidding #1 and #3 and/or just proceeding with alternative #1. Clark informed the public this strip of land had been an issue for over ten years due to an encroachment issue and there was a necessity to acquire the land in order to plan for potential growth and traffic patterns in the area. Motion (Branson /Dunham) Amend the first sentence of Section 2 by adding the words "Conditioned upon replatting as may be necessary." Motion Passed Yes: Dunham, Amberg, Branson, Shafer, Clark No: Valdatta In response to V aldatta's concerns, Shealy stated he had met with the Borough Assembly and was told they were trying to negotiate and acquire a ten or twenty acre parcel of land for the new school, but did not intend to buy the entire tract. Shealy reminded council that part of the need for this acquisition was to eliminate the encroachment further down the street. Dunham pointed out as a resident of Forest Acres, something needed to be done about the water pressure, and wanted to know what would happen if alternate #3 was included with alternate #1. City of Seward, Alaska City Council Minutes July 14, 2003 Volume 36, Page 207 In response to Dunham, Shealy confirmed that bidding alternate 43 with alternate #lwould require additional engineering. Shealy added that the Schafer's would entertain the idea of entering into an agreement with the City to take on that cost and reimburse the City. Main Motion Passed Unanimously Unfinished business — None New business Ordinances for introduction Ordinance 2003 -05 Amending Seward City Code 02.10.070 To Eliminate The Need For A Physical Address Given While Addressing The City Council. Motion (Shafer /Amberg) Introduce Ordinance 2003 -05 Shealy recommended council proceed with this ordinance to protect individuals publicly addressing council from possible retaliation. Branson wished the City could amend some of the other code problems as easily & quickly. Motion Passed for Introduction Unanimous Resolutions Resolution 2003 -73 Officially Proclaiming The Name "Pat Williams Park" To The City Park Located At 711 Ballaine Boulevard; The Area West Of Ballaine Boulevard, Between Monroe Street And `B" Street Commonly Known As "Williams Park" Motion (Dunham/Shafer) Motion Passed Other New Business Items Approve Resolution 2003 -73 Unanimously Discussion to amend and affirm Skate Park loss control measures Karin Sturdy, Director of Parks and Recreation, withdrew her request to hire additional staff for the skate park, but noted since there would not be staff available to enforce people using the park to sign waiver /release forms, it would be best for the City not to ask for voluntary signatures. In addition to these changes Karin asked council, based on safety information, to change the City's policy allowing only professional engineered elements to be installed, such as ramps, jumps and grinding rails. Currently, 80% of the skate park equipment had been donated by people within the community. City of Seward, Alaska City Council Minutes July 14, 2003 volume 36, Page 208 Shafer directed Sturdy to research equipment cost and the cost to put a fence around the skate park. Shafer also stated she did not agree with removing the skate park equipment at this time. Clark directed Sturdy to put together a resolution regarding management of the skate park similar to the one presented in 1999, to address at a later date. Vote on PACAB applicants to 6113 vacancies Jerry Walleizer, DJ Whitman, and Roger Mercer were appointed to the PACAB advisory board. A work session was scheduled for July 28, 2003 at 6:30 p.m. to further discuss the Kenai Peninsula Borough Flood Service Area Update. Informational items and reports (no action required) Seward Centennial June Monthly Report by Sandy Wassilie Final Narrative Report on the Seward Centennial Symposium Council Comments Amberg stated the City had a great fourth of July and great weather. Dunham reported the Benny Benson rededication was very impressive and unique, and suggested our city make Alaska flag day an annual affair since it was originally designed by a local resident. Dunham noted the absence of a helmet law and the need to enforce repeat DUI offenders. Valdatta agreed with Tylan Shrock's council comments regarding the North Levee. Branson suggested the Emblem Club be included in the congratulations on the Benny Benson Memorial Park and would like to see a proclamation or resolution for them. She wanted an audit of the Shipyard Portable Work Station Grant Activity account presented at the next meeting. Shafer stated the flag raising and rededication of the Benny Benson Memorial was really great. She had heard the Seward song for the first time and was very impressed. She also thanked the City crews for the prompt 4`" of July clean up. Clark thanked and commended City crews for their clean up efforts and for assisting the Chamber with organizing events. Mayor Clark thanked the Chamber and stated the Emblem Club deserved many thanks for their contributions to the Benny Benson Memorial. Clark stated he would be attending the Alaska Municipal League and Conference of Mayors next Sunday for 3 days in Girdwood. He also noted he was selected to be a member on the board of the Alaska 2020 group collecting public opinions on what people want Alaska to be in the year 2020. He encouraged people to call or email him with comments. Citizens' comments City of Seward, Alaska City Council Minutes July /a 2003 Volume 36, Page 209 Skip Reierson, 220 North Star Circle, thanked Karin Sturdy and her staff for working on the Skate Park Resolution preparation. Reierson felt council should recognize Zach Rininger for contributing his time and expenses to build the ramps in the skate park. Nina Daley, 416 4th Avenue, stated the skate park was an important feature to have but it needed to be fenced off so it could be locked at night in order to eliminate the noise produced by after hour skaters. She also noted kids were riding their bikes on the docks at night and stressed the need to enforce curfew laws. Council and administration response to citizens' comments - None Adjournment The meeting was adjourned at 10:06 p.m. Jean Lewis City c' ^ ® +� � i • r CIE AL r Op • V , ° 4 0 ( z i .._ -- Stu Clark Mayor City of Seward, Alaska July 28, 2003 City Council Minutes Volume 36, Page 210 Call to order The July 28, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Lt. Tiner led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Willard Dunham Nathan Orr Linda Amberg Margaret Branson Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Phil Shealy, City Manager Cheryl Brooking, City Attorney Jean Lewis, City Clerk Absent - None Special orders, presentations and reports Proclamations and Awards. America's Night out against Crime. Benny Benson Memorial Restoration Proclamation. Seward /Obihiro Sister Cities Appreciation Week. Seward /Kushiro Port Sister Cities Appreciation Week. An award was presented to Jean Galvano for excellent leadership and dedicated service on the Historic Preservation Commission, serving the people of Seward from April 1994 to May 2003, and Chair June 1998 to May 2003. An award was presented to Bill Hearn for excellent leadership and dedicated service on the Historic Preservation Commission serving the people of Seward from May 1997 to May 2003, Vice City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 211 Chair June 1997 to September 1997, June 1998 to May 2003, and Chair September 1997 to June 1998. An award was presented to James Pruitt for excellent leadership and dedicated service on the Port and Commerce Advisory Board serving the people of Seward from November 1992 to July 2003 and Vice Chair from November 1992 to 1993. An award presented to Dean Kasischke for excellent leadership and dedicated service on the Port and Commerce Advisory Board serving the people of Seward from July 1994 to July 2003. Borough Assembly Report. Borough Assembly Representative Ron Long stated the Assembly only met once in July. Agenda items of local interest were mandatory deed restrictions on Borough land sales, and providing trail service powers on an area wide basis. He stated the Borough had authorized the purchase of digital sound equipment for Assembly chambers. Long reported a resolution was proposed to amend radio service contract to delete the requirement to broadcast to Seward, but instead they put the service contract out to bid. An ordinance was introduced which puts the flood service area proposal before voters. The final deadline for that was August 5, so any language changes would be needed quickly. Long spoke in opposition to the introduction of transportation powers proposal. He felt it would limit the ability to continue cooperative work in this area. Long also opposed raising the mill rate to fund the Challenger Learning Center. Although he supported the learning center, he questioned the fairness of government funding some entities within municipalities and not others. In response to questions, Long informed that the service provider, GCI, lost their translator rights in Seward and the FCC eventually shut them down. Assembly meetings were not broadcast since. Other options were being explored with a possibility of coverage provided at a later date. City Manager's Report. City Manager Phil Shealy stated he had met with the police department over the noise ordinance, and assured the public it would be enforced and tickets issued. The Department of Transportation (DOT) would be turning the 4th and Port project over to the City next month, and crosswalks would be painted then. Shealy presented information that the City was working with GCI to produce a deep sea fiber optic cable landing site in Seward. This was a 15 million dollar project in Seward that would provide a back up system from Alaska to the lower 48. The logical landing area appeared to be Monroe Street and should be completed by May 2004. GCI would restore the roads to their original condition. Shealy noted that Steve Silversteen with the Alaska Railroad would be in Seward Wednesday meeting with the economic development committee to present an update on cruise lines and coal shipments. In response to questions, Shealy stated GCI would be using City right -of -ways and he was concerned with digging them up. GCI not inclined to lay cable in Seward to utilize. Monroe street City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 212 appeared to provide the best access and it would take coordination to put their line lower than the other utilities in the right -of -way. In response to questions, Shealy stated there were a number of project areas identified to change in the boat harbor area. City Attorney's Report. City Attorney Cheryl Brooking had worked on flood service area questions. She stated the Borough would either reject or adopt this on August 5. Other items worked on were proposed leases and on -going matters. Other Reports, Announcements and Presentations. . 2003 Mural in a Day design submitted by Jennifer Headtke of the Seward Mural Society. This will be a 10 x 40 foot fisherman mural mounted on the Oriental Restaurant. Citizens' comments on any subject except those items scheduled for public hearing. Jerry Woods, 13881 Bruno Road, spoke in favor of the water service district. Final analysis was to bring the City into it because all flood waters ended within the city, and they didn't feel it was right to exclude the City. He hoped the city would accept the challenge to address the home rule issues and make it work. Woods observed that this was the easiest petition to get signatures for. Doug Olson, 314 Second Avenue, wanted to know why the city opted to not dispose of the generator batteries. He also questioned where the financial report was and where the money went. He felt the City Attorney needed to address the City obligations to provide this information. Approval of agenda and consent agenda Motion (Shafer /Amberg) Approve the agenda and consent agenda. Motion passed Unanimous The Clerk read the following approved consent agenda items: - None Public hearings Ordinances for Public Hearing and Enactment Ordinance 2003 -05 amending Seward City Code 02.10 070 to eliminate the need for a physical address to be given while addressing the city council. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 213 Motion (Shafer /Amberg) Approve Ordinance 2003 -05 City Clerk Jean Lewis stated this ordinance was originally sponsored by two members of Council in response to recent public comments about fear addressing Council when it was required to give their home address. This proposed ordinance eliminated the requirement for the public to give their address, and instead asked to state if you were a resident or not. She stated this also cleaned up some language within this section of the code. Motion Passed Unanimous Resolutions requiring Public Hearing Resolution 2003 -78 authorizing the City manager to enter into a lease with Northern Radio Incorporated (NRI), for Lot 2, Block 6, Fourth of July Creek Subdivision, Seward Marine Industrial Center. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Shafer /Amberg) Approve Resolution 2003 -78 Shealy stated that Glacier Communications was no longer a corporation of record within the State of Alaska, therefore the original lease could not be assigned or transferred to Northern Radio Incorporated, who was the current owner of the tower and the license. Northern Radio was requesting a new lease. Shealy stated this lease generated $1,872 in annual rent, and legal fees associated with developing this lease, cost approximately $1200, which would be paid by Northern Radio. This Broadcasted an FM and AM radio station. Motion to suspend the rules allowed to solicit comment from Northern Radio. Wolfgang Kurtz of Northern Radio Inc., stated they were in the process of building a radio station in Kenai and Soldotna. It would be next spring before that station would be on the air and operating. Kurtz would investigate the possibility to broadcast the Borough Assembly meetings, and hoped to eventually do local news. Motion Passed Unanimous Unfinished business - None New business Ordinance 2003 -06, amending Seward City Code, Title 6, Purchasing, Contracts and Professional Services, increasing the limit for minor purchases from $10,000 to $25,000, making certain changes to clarify policies, eliminating outdated language, and reducing conflicts within the code. City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 214 Motion (Dunham/Branson) Introduce Ordinance 2003 -06 Phil stated a procurement committee had been established by the former city manager, with the task to provide an efficient purchasing system for goods and services without creating unreasonable administrative burdens and restrictions. One of those changes was to increase the purchase without council approval from $10,000 to $25,000, ifthe matter had alreadybeen budgeted for. This would eliminate some administrative tasks for a community with an 18 million dollar budget and many multi - million dollar projects. The formal bid procedure would be eliminated with this requirement. Shealy reiterated this could only be done administratively if already budgeted. Orr wanted assurance that local vendors would be sought and included in the process. City Attorney, Cheryl Brooking, stated the code did provide a local preference but cautioned because of Constitutional preferences, the City should be careful to not go too far on local preference. Motion Passed Yes: Shafer, Amberg, Branson, Valdatta Dunham, Clark No: Orr Ordinance 2003 -07 adding a new chapter 7.25 to the Seward City Code of Ordinances regarding sales of city rock and other materials. Motion (Dunham/Branson) Introduce Ordinance 2003 -07 Shealy stated adding this chapter to the Code was the first step to resolve the quarry dilemma. Motion Passed Resolutions Unanimous Resolution 2003 -79 authorizing the City of Seward to issue General Obligation Refunding Bonds, 2003 in the principal amount of not to exceed $6,000,000 to refund certain outstanding general obligation bonds of the City, fixing certain details of such bonds and authorizing their sale. Motion (Branson /Shafer) Approve Resolution 2003 -79 Shealy stated to refinance last year would have resulted in about $150,000 worth of savings. The current market would be $135,000. Although this was not as high as original anticipation, it may benefit within 2 years to reduce annual bond payments to the hospital. Finance Director, Kristin Erchinger stated savings did not come from extending the maturities. The purpose was to extend the maturities by two years to get lower payments per year in City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 215 case sales tax revenues did not grow. She still expected to have a significant savings, but it would also slightly reduce our annual payment. Motion Passed Unanimous Resolution 2003 -80 authorizing the City of Seward to issue General Obligation Refunding Bonds, 2003A in the principal amount of not to exceed $3,000,000 to refund certain outstanding general obligation bonds of the City, fixing certain details of such bonds and authorizing their sale. Motion (Shafer /Dunham) Approve Resolution 2003 -80 Shealy stated the Alaska bond bank had identified three bond issues to refinance, which would ultimately result in a $100,000 savings. Those are the 1984 electric bonds in the amount of $1.1 million, the 1987 bonds to construct the community center building and the North dock in the amount of slightly over 1 million dollars, and the 1990 street and sidewalk bonds in the amount of 1.1 million. Motion Passed Unanimous Council recesses at 8:50 pm Council resumes at 9:00 pm Resolution 2003 -81, authorizing the City Manager to issue a request for professional services to develop a design concept of a combined Seward Library Museum facility and appropriate $18,000 from the general fund fund balance. Motion (Dunham/Branson) Approve Resolution 2003 -81 Shealy stated in response to increased use and limited space issues of both the library and museum, discussions had taken place to combine the museum and library. The Legacy Committee formed by Mayor Blatchford, and the downtown waterfront committee had both identified a library/museum within their plans. Shealy stated that $18,000 was needed to have a firm plan and design concept, in order to apply for private and public funding. The money would come from a fund balance. Librarian Patty Linville stated the intent of this proposal was to figure out what the City wanted and discuss shared services. She noted there was a different mission with a science library verse a public library. Linville reported that opportunities for funding were much greater if the library/museum services were joined, and an architectural drawing was needed before the City could apply for grant money. Orr felt there was no sense of urgency and wanted this matter taken up during the budget process. He thought the public needed to tell Council what they wanted to spend their money on. City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 216 Amberg agreed this issue should be taken up during the budget process and felt it was premature now. She noted the city needed a lot of things but did not have the money to do it all. Dunham stated this concept went along with the multi- agency building. He felt now was the time to step forward and be a participant in the planning of downtown. Shafer reminded there was public process through the downtown planning committee. Motion Passed Yes: Dunham, Shafer, Branson, Clark No: Valdatta, Orr, Amberg Resolution 2003 -82, authorizing the City Manager to make starter repairs to generators #1 and #2 including the construction of a small building and purchase of equipment necessary to complete the repairs for an amount not to exceed $30,600. Motion (Branson / Amberg) Approve Resolution 2003 -82 Shealy stated there had been failures on two of six generators. He stated the new starters ran by compressed air and needed a 12 x 12 foot building. This would locate two generators to the new building, thus eliminating the safety issue. Manager of Utilities Director Dave Calvert, stated there were no replacement starters, but the generators were old but reliable units. They were built in the early 1940's, so finding parts for them was difficult. Calvert could convert to compressed air starters on these generators which was common. He stated at some point the City would have to replace a couple of these generators. Motion Passed Unanimous Resolution 2003 -83 authorizing the City Manager to select Alternative #3 for the Gateway to Forest Acres Waterline and take steps necessary in order to provide additional residential development. Motion (Orr /Branson) Approve Resolution 2003 -83 Shealy stated the City had a number of work sessions and had been working on this waterline since 2000. Subdivision developer Mr. Schafer was requesting 43. Shealy needed an easement and an agreement prior to instructing engineers to proceed, which would result in a time delay. Schafer had agreed to furnish a 60 foot ROW, participate in an LID, and enter into a subdivision agreement. If accomplished, this would enhance utilities to the area, and encourage development within the City. Branson could not believe this was before council again. The developer needed a bond posted and a subdivision agreement for all properties. It was her firm opinion alternative #1 was the best route to take. City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 217 Amberg was not sure there was a real need for this development. She stated alternative #1 was agreed to and would bring water pressure to that area. She felt the developer should put in the infrastructure for his subdivision and not the city. Shealy stated it would take time to obtain an LID and subdivision agreement, and would need assurance by the developer. Property owner Lechner had agreed he would provide the easement, if alternative #3 was picked. The developer would cap some of the cost. Orr supported development within the city limits and wanted to see houses there. City Attorney Cheryl Brooking stated the first resolution had already taken effect, and there were limitations on the city's ability to redo. She stated even if a contract could be addressed, contractual agreements would result in a delay. Shealy stated the engineers were presently working on alternative #1, and direction had been given verbally during a council meeting to proceed with #1. Shafer could not vote without legal review, and wanted a signed contract by the developer. Motion (Branson /Orr) Postpone until next meeting to seek legal review and method of reimbursement Motion Passed Unanimous Other New Business A work session was scheduled for August 11 at 6:00 pm for council procedures training by the attorneys. The Kenai Peninsula Flood Service Area was discussed. Orr wondered why the city was included while other areas benefited. He stated the city would pay the lion share of the tax. He thought this would be a hard sell to voters and felt they should re- organize and cut the city out. Branson was opposed to a service area. Valdatta abstained from discussion because he had property in the area that does flood. Brooking stated since the Kenai Peninsula Borough did not have the power, there were issues with building and zoning requirements, how the service area would work, and if the power went to the service area, would it impact the zoning and planning, etc. City of Seward, Alaska City Council Minutes July 28, 2003 Volume 36, Page 218 Dunham had concerns on Board vacancy, powers and duties, and the fact the city had no say on the funds. Clark questioned if a home rule municipality could have flood control powers. He wanted to cooperate but not compromise those powers. He was also concerned the Board would tax based on total property not just taxable property. Brooking stated a statute had been amended two years ago, and the legislature intended two different meanings on majority. She believed it meant a super majority to include Seward but needed time for further research. Council was concerned with the need for city oversight on filling vacancies and procedures, accountability, and concerns with the formulation of the Board. The City wanted some control, not just Mayor and Assembly control. Rules were suspended to allow Ron Long to speak. Long stressed the need for affirmative votes from both inside and outside city limits to combine watershed boundaries. Discussion on Economic Development. V aldatta stated the Dept. of Commerce gave out grants and wanted to pursue cruise ships and boats that would moor here and stay. It was agreed the Chamber of Commerce could address this. Discussion on the Grant Lake hydro - project. Valdatta wanted the City to apply for grants for a hydro electric project at Grant Lake with Governor Murkowski and the Dept. of Commerce. It was decided the electric department would look into this. Informational items and reports -- Letter of support for KPB EDD mini -grant application. -- Accounting of Resolution 2001 -06, which accepted the 1 million dollar grant for the purpose of expanding work capabilities at SMIC. Council comments Amberg requested receiving council packets earlier because it was difficult to research issues in that small amount of time. Shafer stated the group from Japan would be here soon and urged the public to welcome them. City of Seward Alaska City Council Minutes July 28, 2003 Volume 36, Page 219 Clark also wanted packet delivery sooner. He had attended AML and the Alaska Conference of Mayors and the 60` anniversary for the opening of the Usibelli Mine. He hoped the Planning and Zoning Commission would send Hoben Park back to Council soon, and noted the MN Island Princess was welcomed to Seward. Citizens' comments Ed Oberts, Borough Mayor office, had enjoyed staying in Seward, and reminded all the Mayors office was always open and to give them a call. Doug Olson, 314 2 " Avenue, requested an expansion of the airport and IFR. He was not sure if he supported the flood service area or not. He wanted a city financial report displayed in the paper, electric motor systems for the generators, to know how much money had been appropriated to the hospital, and revenue from the heliport. He felt the City was wasting time on things that may not happen like the library. Council and administration response to citizens' comments Dunham stated the Don Young Classic would be here this weekend. Young would be here for two days with 50 -100 visitors. V aldatta stated it was a pleasure having the Kenai Peninsula Borough present, and thanked Mr. Oberts for his attendance. Adjournment The meeting was adjourned at 10:57 pm. JA Jeaf Lewis J Cit Clerk Stu�Clark Mayor (City Seal) p p'...... p �GpP RqT� A SEAL OF City of Seward, Alaska City Council Minutes August 11 2003 Volume 36, Page 220 Call to order The August 11, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Chief Tom Clemons led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Willard Dunham Nathan Orr Vanta Shafer Linda Amberg Bob Valdatta comprising a quorum of the Council; and Phil Shealy, City Manager Cheryl Brooking, City Attorney Jean Lewis, City Clerk Absent - Margaret Branson Special orders, presentations and reports Proclamations and Awards. Obihiro /Seward sister -city exchange students proclamation was read. This year's exchange students were: Hillary Olsen, Haley Hatch, and Jessica Coon from Seward and Erika Saga, Ayumi Takahashi, Chiaki Nishio and Yuka Suzuki from Obihiro Japan. Borough Assembly Report. None City Manager's Report. City Manager Phil Shealy stated the Seward Fire Department plan of action adopted in 1996 wanted a council member and a planning and zoning member on their committee to get that program under way. He stated Nash Road would be closed September 3` Department of Transportation (DOT) crews would be surveying for the design project of reconstruction scheduled to begin next summer. Shealy stated Wellington Pavilion was closed for analysis and would be addressed at the next budget cycle coming up. Shealy informed that the Alaska Congressional Delegation van would be at the post office Wednesday, August 13. He also stated the $500,000 Swetmann Trust money that Council Member City of Seward, Alaska City Council Minutes August 11, 2003 volume 36, Page 221 Dunham asked about had been deposited years ago, and used to offset operating costs of the Library. He notified the Library brought in limited amount of revenue for the City. In response to prior questions, Shealy also stated the administration used to submit reports prior to a code change which removed the filing requirement. He stated staff was exploring the cost and purchase of machinery that would manually clean the streets and recommended a work session to address budget concerns. City Attorney's Report. City Attorney Cheryl Brooking stated through July 20, the attorney had assisted in preparing ordinances and resolutions, long -term financing, leases, fire protection, Seward marine facility transfer, P &Z issues, collective bargaining, moorage and contract issues. Other Reports, Announcements and Presentations. A Presentation by representatives of GCI cable regarding Fiber optic cable routing through the City of Seward. This cable routing would expand services to the State of Alaska and provide a back up system. GCI felt the best option for security of the system was to go through Seward. The detailed marine survey was completed, and PN &D was helping obtain the permits. This project was fully funded, established infrastructure for future growth, and needed a cable landing system building built. You could not tap into this cable. 10 minute recess at 8:10 pm Citizens' comments on any subject except those items scheduled for public hearing. Alvin Schmoyer, Bayview Subdivision property owner, was born in Seward and lived on that property. He spoke in opposition of low income property going in. Building permits had not been approved. He stated this complex abutted the North line of their property, and he had not been aware of this until July 4. A sister had been notified but the public process had passed. Schmoyer requested it be remanded back to P &Z for the public process. He said there were a number of multi - family residents in that area and felt this housing complex was not good for the community. Jim Pruitt, 2506 Maple Street, spoke about a setback issue at Ace Hardware. He stated the canopy in the front sticks out about 4 feet. It turned out to be 18 inches into a 20 foot setback. Pruitt stated he originally submitted a site plan which showed a 20 foot setback. He showed council a plat. Pruitt stated he built on this property 30 years ago when Leirer Road was 0 lot line. He was not notified that the code had changed. Pruitt stated when he built he had been notified of the 20 foot setback but had it measured from the adjoining power pole and was told he had 8 inches to spare. They did a fuel change on the site plan and sent it into Planning and Zoning and thought the issue had been resolved. Pruitt stated after speaking with a building official, he has told the power pole was in the right -of -way, not on the end of the property line. He hired a surveyor who conducted an AS built survey which revealed the canopy protruded 18 inches into the setback. Pruitt did not see the distinction between an cave, which is allowed and could stick out further, and a canopy City of Seward, Alaska City Council Minutes August 11 2003 Volume 36, Page 222 Rules suspended to allow more time. Passed out a plat copy. Pruitt recognized the object of a setback was to provide for fire protection and view, and requested relief for this. This stopped them from doing any further business. Approval of agenda and consent agenda Motion (Dunham/Shafer) Approve the agenda and consent agenda. Motion passed Unanimous The Clerk read the following approved consent agenda items: Council approved a Liquor license renewal for American Legion Club Post #5. Council added the following to the agenda: • Support given exempting the Chugach National Forest from the roadless rule. • Address appointing a council member to the Seward Fire Department Plan. • Schedule a work session to address 2004 budget items of concern. Public hearings Ordinances for Public Hearing and Enactment Ordinance 2003 -06, amending Seward City Code, Title 6, Purchasing, Contracts and Professional Services, increasing the limit for minor purchases from $10,000 to $25,000, making certain changes to clarify policies, eliminating outdated language, and reducing conflicts within the code Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. Steve Schafer, 2511 Dimond, felt the opportunity for mis -use of funds was too great, and the City was not being frugal. Doug Olson, 314 Second Avenue, had heard the harbormaster had been riding around on a new 4- wheeler at the harbor, and wondered why bicycles could not be used down there. Motion (Shafer /Amberg) Enact Ordinance 2003 -06 Shealy stated this increase was only for items already approved in the budget. This would clarify the requirements on the purchasing levels and would be more in line with other communities. It also modernized the language and eliminated outdated language and conflicts. City of Seward, Alaska City Council Minutes August 11, 2003 Volume 36 Page 223 Orr liked the streamlining but felt it should be kept at $10,000. Shafer felt it decreased the redundancy but couldn't support it now because the community didn't want it. She felt more education for the public would help them understand the process and see that these are items that were already approved during the budget process. Shafer felt this should be taken up again at a later date. Dunham stated it made perfect sense to do this, but it was not palatable for people who want to make an issue about the irresponsibility of government, and was not worth the heartburn to pass at this time. Motion (Shafer/Valdatta) Postpone until August 25 meeting and bring a substitute ordinance removing the $25,000 but keeping the streamlined language. Motion Passed Unanimous Ordinance 2003 -07 adding a new chapter 7.25 to the Seward City Code of Ordinances regarding sales of city rock and other materials. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Shafer /Amberg) Motion passed Unfinished business Enact Ordinance 2003 -07 Unanimous Resolution 2003 -83 authorizing the City Manager to select Alternative #3 for the Gateway to Forest Acres Waterline and take steps necessary in order to provide additional residential development. Motion (Orr/Branson) (Made at previous 7128 meeting) Approve Resolution 2003 -83 Shealy stated there were two laydown documents before council tonight. One was a letter of credit and a proposed agreement to pay for waterline construction. He noted staff was almost ready to bid alternative #1. Schafer came forward offering to cap the city expense of providing that waterline to the amount of the grant, provide ROW at no cost, and construct the necessary improvements including sewer as part of a subdivision agreement. The City would then facilitate the development by providing the funding up front to be reimbursed through liens that were applied to the property. The City would either sell improvement bonds or fund it in -house from other city funds and then charging a fee to recoup. In response to a question by Shafer, Shealy stated this was a policy issue. City of Seward, Alaska City Council Minutes August 11 2003 Volume 36, Page 224 Shealy's understanding of the proposal was that the Schafers would cap the city expenditure at $566,000. Any costs above that amount, including engineering costs, the developer would absorb. Shealy felt changing direction on this alternative would not put the grant at risk since both alternatives increased fire protection in the area as the original grant entailed. Valdatta declared a possible conflict of interest and abstained from discussion. Mayor Clark approved that declaration. In response to Dunham, Shealy stated the alternative #3 design was 75% completed. If an LID went through, the waterline clearly would not go through until next year. Council suspended the rules to allow Steve Schafer to address Council. Developer Steve Schafer stated approving only items 1 and 2 would not be a deal breaker if the cost above $566,000 would be included within the LID. His intent was the LID would cover the cost, not the developer out of pocket. On felt he would have to see language that the LID be capped. Schafer stated this development was an effort to generate tax base inside the City limits. City Attorney Cheryl Brooking stated an LID had certain time frames, public hearings, and requirements to be met. An LID was required to give the City a first priority lien on the lot. She pointed out assessments could go out but none of the lots could be sold until there was a subdivision plan. Shafer stressed this would be put off until next year and would be unfair to other developers. Amberg commented this agreement made the city act as a bank, and felt the city should stay out of public development. Orr stated if an LID was done properly, land would be able to pay the assessments. He did not think it was unusual for entities to put infrastructure in to increase their tax base. Clark noted the developer believed the estimates would be less. Shealy stated there would be no agreement without them paying for the LID. Dunham stated there should be a subdivision agreement. He wanted to see the water system improved to Forest Acres and did approve of entities providing a means to help developers. Brooking stated submitting the subdivision agreement, having it approved, financing in place and establishing the LID would delay this project another year at best. City of Seward, Alaska City Council Minutes August 11, 2003 Volume 36 Page 225 Council recesses 9:30 pm Council resumes 9:45 pm Brooking explained that during the break she discussed some proposed amendments to this resolution to allow Mr. Schafer some time to negotiate for the letter of credit with the bank. The subdivision agreement was addressed in the waterline construction agreement. The LID would be looked into further and brought to council in the future, possibly as part of the subdivision agreement. Shealy stated this accomplished getting the waterline in, and to come back with a subdivision agreement and a possible LID. Motion to Amend (Dunham/Orr) Change the third Whereas by adding the wording "by means of a letter of credit in substantially the same form as presented at this meeting (attached)" to number 2, deleting number 3, and make number 4 become number 3 and read, "Enter into an agreement to pay for waterline construction in substantially the same form as presented at this meeting (attached)." Also add the sentence "This authority expires September 1, 2003." to Section 1. In response to Clark, Brooking established Schafer would be agreeing to pay any cost above $566,000. The letter of credit is available as a back -up if Afognak, the developer did not pay. She stated the letter of credit was the last resort. Amendment passed Yes: Orr, Shafer, Dunham, Clark No: Amberg Abstain: Valdatta Main Motion passed New business Yes: Orr, Shafer, Dunham, Clark No: Amberg Abstain: Valdatta Resolution 2003 -84 approving and adopting the Seward Small Boat Harbor Planning and Development Guide (Guide). Motion (Shafer /Clark) Approve Resolution 2003 -84 City of Seward, Alaska City Council Minutes August 11 2003 Volume 36, Page 226 Shealy stated the completed guide with Plan N revision 2 was completed in June 2003. It proposed to serve as a guide for future harbor area development at an estimated cost of 32 million dollars when funding was available and upon council approval. Motion to Amend (Clark/Dunham) Replace the word "completion' with "commencement" and change "the" to "that" on Section 3. Amendment Passed Unanimous Harbormaster Jim Beckham stated the city was not pursuing the rubble fill for the boat launch ramp and asked to have that as an add item in the Corps contract. It may be a potential once plans get to there, but the city would not be adding a base material during the East Harbor expansion project. Once slips were renewed in the South harbor the city would have to make a determination whether to extend those or drop one of the floats and leave the launch ramp where it was. Beckham stated a majority of the small slips were in the south harbor and would also be addressed at that time of expansion. He stated there was very little property in the Northeast area for a new harbormaster office. In response to Orr, Beckham stated the public would be involved throughout every phase. All capital projects would come to Council with a project description, budget, and a detailed description of what was needed to complete that phase of the plan. He noted that the area depicting dry stack storage was a place holder for now, and should be considered to expand the facility capability in the future. In response to Dunham, Beckham stated the ARR property had not been finalized. Brooking stated the resolution would be controlling and take precedence over the guide. Motion passed Unanimous Resolution 2003 -85 establishing design priorities for Hoben Park. Motion (Shafer /Amberg) Approve Resolution 2003 -85 Shealy stated this was sent to the Planning and Zoning Commission for public hearings on June 23. P &Z voted to keep the integrity of the poplar tree and felt working toward historical landscape should guide the design priorities of the Park. Shealy stated $50,000 was already appropriated and budgeted for and more restoration would be done as money became available. Clark noted the prioritization on the agenda statement was noted in the resolution. Motion passed Unanimous Other New Business Items City of Seward, Alaska City Council Minutes August 11, 2003 Volume 36 Page 227 Administration directed to write a letter of support to permanently exempt the Chugach National Forest from the Roadless rule. Appoint a member to update the Seward Fire Department Master Plan would be scheduled on the next regular meeting. A work session was scheduled for Monday, August 18, 2003, on the priorities of our 2004 budget. Informational items and reports (No action required) Certificate of Completion of Professional Development II to City Clerk Jean Lewis presented by the Northwest Municipal Clerks and Treasures Institute. Projected Expenses for Japan Delegation. Council Comments Dunham thanked the City Clerk and others that helped with the Japan delegation celebration. Valdatta stated Nash Rd would be resurfaced. The City needed to get some development over there to have that road pay for itself. Orr commented he was at the harbormaster office last Saturday. The service was great and the employee went way out of her way to help. Shafer wanted assurance that ample notification was sent to property owners on things happening in their area. She hoped registered letters were sent out, and encouraged people to attend the meetings. Clark stated the KPB assembly passed an amended version of the flood service area for Seward and Bear Creek. It was available on the website and the upstairs Borough office. He stated he enjoyed Mr. Ohsono as a house guest, and had put photos of the Japan Delegation on the Sewardl00th.com website. Clark thanked the City Clerk's office for the tremendous amount ofwork put into bringing the delegation to Seward. He also wanted to address the hoops people jump through to build, and wanted the process streamlined. Citizens' comments - None Council and administration response to citizens' comments - None Go into executive session in regards to threatened or pending litigation of building code enforcement of 1714 Leirer Road. City of Seward, Alaska City Council Minutes August 11, 2003 Volume 36, Page 228 Motion (Orr /Dunham) Go into executive session in regards to threatened or pending litigation of building code enforcement of 1714 Leirer Road. Motion Passed Unanimous Council convened into executive session at 10:27 p.m. Orr noted a possible conflict of interest. Mayor Clark ruled a conflict existed. Orr left the room. Council reconvened into their regular meeting at 10:56 p.m. Council to hold another executive session on this issue next meeting. Adjournment The meeting was adjourned at 11:00 p.m. Jean Avis City Clerk J �'oasislit�q��s �,�� . , (City Se` r . •oa Z lz� 0F Stu Clark Mayor City of Seward, Alaska City Council Minutes August 25 2003 Volume 36, Page 229 Call to order The August 25, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Chief Clemons led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Willard Dunham Nathan Orr Linda Amberg Margaret Branson Vanta Shafer Bob Valdatta comprising a quorum of the Council; and Phil Shealy, City Manager Jean Lewis, City Clerk Absent - None Special orders, presentations and reports Proclamations and Awards. The names Ballaine, Brown, and Hawkins were honored as Seward's Founding Fathers. Borough Assembly Report. Borough Assembly Representative Ron Long stated on August 5, time was spent on what issues would go on the ballot in October. Transportation powers and the Challenger Learning Center would not be on the ballot. The Flood Service area would appear on the ballot as amended. He stated there were changes to the language on duplication of services and seats for the Board. Long was happy to report 14.7 million was appropriated for the Seward Middle School design and construction. The Borough reclassified 25 acres to the Cooper landing seniors, which was the first step for senior housing there, and had received a cooperative agreement to have spruce bark beetle infested trees removed from the ROW along the Seward highway. In response to Shafer, Long was not sure what would happen to the Challenger Learning Center. He was concerned with the narrow focus, and why other non - profit institutions with a strong educational component would not get the same amount of funding. Long felt it should be addressed through a budgeting process. Long stated the sponsors would do the campaigning on the pros and cons of the trail service area. City of Seward, Alaska City Council Minutes August 25, 2003 Volume 36, Page 230 City Manager's Report. City Manager Phil Shealy stated FY 2004 budget process had begun and the calendar was set. Preliminary budget would be presented on Oct 10, public hearing scheduled for November 3, and adoption November 20. Negotiations were continuing with the Alaska Railroad in regards to the harbor expansion. He hoped the Railroad Board would accept the lease application at their next board meeting in September. Shealy announced there would be a flag dedication at the Benny Benson Memorial Park as a memorial to those victims who lost their lives on 9/11. Shealy stated the newest DOT /STIP showed 3` Avenue project delayed another year until 2006. DOT had requested comments and the administration was seeking direction from council as to scheduling. He also sought direction on a sidewalk issue at Gateway Texaco and asked that it be put on the next agenda as a discussion item. In response to Shafer, Shealy stated two extremes came together and a compromise was presented last June on the Japanese Creek Levee Project. That was the plan being followed with the next meeting to occur mid - September. In response to Dunham, Shealy advised there was no reason given on the further delay on the 3` Avenue Project. City Attorney's Report. - None Other Reports, Announcements and Presentations. The Centennial Gift Quilt was presented to the City of Seward by Area Quilters. Applicants Dan Walker and Kirsten Wheat were present and announced their desire to be on the Historic Preservation Commission. Citizens' comments on any subject except those items scheduled for public hearing. Marianna Keil, Seward resident, thought the City had two fine candidates for the Historic Preservation Commission. She spoke about all the events scheduled for Founders Days beginning August 28. She announced there would be 10 people from the Ballaine family coming to town for that event. Tim McDonald, Mile 2 Nash Rd., spoke in favor of council voting down the $25,000 portion of Ordinance 2003 -06 and thought it was time to get the city in order. He looked forward to the rest of the Centennial events and the upcoming election. Approval of agenda and consent agenda Motion (Shafer /Dunham) Approve the agenda and consent agenda. City of Seward, Alaska City Council Minutes August 25 2003 Volume 36, Page 231 The following items were added to the agenda: Council added discussion on the DOT /STIP postponement of the 3 Avenue Project and sponsoring the Railroad Days dinner at the Roadhouse in September. They also amended the date to conduct evaluations to September 22. Motion passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -88, accepting and appropriating the Volunteer Fire Assistance Grant and authorizing the matching funds from the Fire Department (1220) as budgeted in 2003 FY for $1,169.14. Resolution 2003 -92, supporting Seaview Community Services being designated a hub for social services on the Eastern Peninsula. Resolution 2003 -95 amending Rule 27 of the Council Rules of Procedures, eliminating the need for a physical address to be given while addressing the City Council. The July 14, 2003 regular city council meeting minutes were approved. Public hearings Resolution 2003 -86 recommending Kenai Peninsula Borough approval of a vacation of right - of -way of the undeveloped alley along the East boundary of Two Lakes Park and the undeveloped portion of D Street on the East boundary of Two Lakes Park abutting the applicant's property (Don Ennis) and the trade of the East portion of city owned Lot 7, Block 16, Federal Addition to Seward, having a westernmost boundary at the top of the ridge crest, in return for which the City will receive the West portion of Lots 3 and 4, Block 22, Federal Addition to Seward, having an easternmost boundary at the top of the ridge crest, as shown on the preliminary plat as Tract B. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion ( /Dunham/Branson) Approve Resolution 2003 -86 Shealy stated this resolution was recommended for approval by the Planning and Zoning Commission at their August 5 meeting. There was no cost to the city other than staff time since the applicant was paying the costs. Shealy recommended sending this to the Borough for preliminary plat approval. City Planner Malcolm Brown showed the area in question and answered questions by referring to the map on the wall. City of Seward, Alaska City Council Minutes August 25, 2003 Volume 36, Page 232 Motion passed Unanimous Resolution 2003 -87, recommending Kenai Peninsula Borough approval of a vacation of right - of -way of the undeveloped alley along the East boundary of Two Lakes Park abutting the applicant's property (Carlson /Bencardino) and a portion of the undeveloped portion of Van Buren Street on the East boundary of Two Lakes Park having a westernmost boundary of the top of the ridge crest, in return for which the city will receive portions of Lots 21 and 22, Block 11 Laubner Addition to Seward, having an easternmost boundary at the top of the ridge crest, as shown on the preliminary plat as Tract A. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Dunham/Branson) Approve Resolution 2003 -87 Shealy stated this resolution was recommended for approval by the Planning and Zoning Commission at their August 5 meeting. There was no cost to the city other than staff time since the applicant was paying the costs. Shealy recommended sending this to the Borough for preliminary plat approval. City Planner Malcolm Brown showed the area in question and answered questions by referring to the map on the wall. He stated an additional half acre would go to the city on both pieces. Motion passed Unfinished business Unanimous Substitute Ordinance 2003 -06, amending Seward City Code Title 6 Purchasing, Contracts and Professional Services, making certain changes to clarify policies, eliminating outdated language, and reducing conflicts within the code. Motion (Shafer /Amberg) (From previous 8111 meeting) Enact Substitute Ordinance 2003 -06 (laydown) Shealy stated staff had rewritten this ordinance to modernize the purchasing practices. Assistant City Manager Rick Gifford stated this did not restrict the city from competitive bid procedures. In response to comments by Valdatta, Gifford responded that many of the city contracts were done through the RFP process because other qualifications, performance, and specs had to be met and the City did not have to necessarily take the lowest bidder. Language was added to 6.10.135 to allow looking into past performance of contractors. City of Seward, Alaska City Council Minutes August 25 2003 Volume 36, Page 233 Gifford stated to his knowledge the City did enforce 6.01.050. Auditors did random checks on claims payments. The only preference the city had in Seward was with the electric utility area. Anchorage would have to compete with other vendors. Motion passed Unanimous New business Resolution 2003 -89, authorizing the City Manager to execute a grant agreement between the State of Alaska Historic Preservation office of the Department of Natural Resources and the City of Seward and appropriate funds for the amount of $16,500 in order to develop a Seward National Historic Sites Trolley Tour. Motion (Shafer /Amberg) Approve Resolution 2003 -89 Shealy wished to execute this grant agreement which came from the Federal Historic Preservation Fund. This funding would be used to establish a National Sites Historic Trolley Tour, and authorization was needed to execute the grant agreement. The federal share of the project was $9,900 and the non - federal share was $6,600. Other funds would be done with in -kind services and cash. Shealy noted the Chamber was donating $1,045 plus $1,000 of shop usage, and the Historic Preservation Commission had agreed to provide up to $4,555. City Planner Malcolm Brown stated there would be a DVD video presentation shown within the trolley. He stated $6,600 was the City's portion to pay in the event the in -kind services and donations did not come through. In response to concerns by Orr, Brown stated he had commitments for the full amount so hopefully the city would not pay anything. Motion passed Unanimous Resolution 2003 -90, authorizing the City Manager to purchase a TYMCO Sweeper Forward High Dump 600 for $77,000 and appropriating funds. Motion (Shafer /Branson) Approve Resolution 2003 -90 Shealy stated public works had found a used combination Tymco sweeper truck to replace the manual cleaning of catch basins within the city. He noted with the additions of sidewalks along Port Avenue and other areas, street maintenance would only increase. This vehicle could be purchased for $77,000 and funded from the general fund fund balance. Two mechanics believed it was in good working order. Shealy felt the need to utilize this machine and save staff operation time that could be spent elsewhere on other projects. In response to Amberg, Shealy was concerned the machine would not be available in the spring, and stated it was a labor intensive operation to clean downtown each year. City of Seward, Alaska City Council Minutes August 25, 2003 Volume 36, Page 234 Clark was concerned that an effective cost analysis was not done. City Mechanic /Operator Jim Pipkin stated sweeping was not a problem, vacuuming the manholes was the problem. He stated employees had been climbing down with a bucket to clean these, but with the new curb and gutter system in the harbor, the holes were too small. This vehicle had an 8" vacuum hose to clean the manholes. Pipkin stated all garbage and sand now go down into a flat system and plug up. Public Works Director W.C. Casey stated cleaning culverts on Jefferson and culverts on 2 °a Avenue between A Street and Van Buren was $25,000. This truck had a 1500 PSI hose on it. Casey noted his department did the parking lots in the harbor as well as downtown streets. He stated they only get to these twice a year because of man hours spent. Consequently the city had sand and gravel on the roads all the time. Casey noted the tanker truck blows grit on the sidewalks downtown and had been known to pit windows. He felt the vacuum truck that could suck up and wet down the road would be effective. A man could not fit in the catch basins that needed to be shoveled out. Casey stated hiring someone to come down would run $1,700 a day. He stressed at that price it didn't take long to not be cost effective. Although council member Valdatta's idea to utilize people who owed community work service was a good one, Casey could not base his daily work schedule around unreliable community labor. Dunham felt this was a good idea for the city. In response to questions by Clark, Pipkin stated there were 10,000 estimated hours of engine life left on this 1999 vehicle, and should last at least 15 years. He impressed there were not as many mechanical parts as some sweepers had, and this system had only an engine, a fan and some filter replacement. hi response to Orr, Casey stated thick grit was abrasive and wore down the road more. Most of the storm drains were in the downtown area and it was a constant battle to keep those drains clean. Motion passed Yes: Branson, Orr, Shafer, Dunham, Clark No: Valdatta, Amberg Resolution 2003 -91, authorizing the City Manager to purchase a replacement vehicle for the Harbor Department using the State of Alaska Department of Transportation contract #1661087 for $25,130. Motion (Branson/Dunham) Approve Resolution 2003 -91 Shealy pointed out the FY 2003 motor pool budget included $60,000 for two replacement City of Seward, Alaska City Council Minutes August 25 2003 Volume 36, Page 235 medium duty vehicles. The vehicle to be replaced was a 1988 '/z ton 2 -wheel drive pick -up truck with 86,000 miles that was purchased in 1999. This vehicle had paid enough in the motor pool fund to replace itself. Shealy stated the replacement vehicle found was a 2003 Dodge quad cab work truck. The suggested retail price was $32,265, but was available for $25,130 because of applying the negotiated state contract. This vehicle would reduce overall maintenance costs associated with older vehicles, had additional room for equipment, and was capable of towing trailers. He noted this did not increase the vehicles within the Harbor Department, just replaced one. Harbor master Jim Beckham, stated a quad cab had dry storage for tow straps, tools, safety equipment and other items within the cab. The harbor had six vehicles total. Two flatbeds, one fuel truck, and three medium duty work trucks. In response to Orr, Beckham stated this was a standard work truck with state specifications. The Dodge had good maintenance records with DOT, and the shop mechanics were happy with the choice. He suggested the removal of the radio, but that would cost $100 to remove. Beckham felt two -wheel drives were difficult to order or keep in stock within the state when he last checked in 1999. He did not explore a two -wheel drive pick -up because he had a preference for four -wheel drive for his crew, since they drove to SMIC and back all winter long. Beckham stated all vehicles in the last seven budget cycles were bought from the motor pool fund. He felt the Harbor was in good shape with their rolling stock and just added paying for the travel lift. Beckham informed this vehicle had paid roughly $25,000 into the motor pool fund, and was $3,000 less than trucks that were purchased in 1999. Motion passed Unanimous Resolution 2003 -93, amending the management policies of the Evan Casey Skate Park. Motion (Amberg/Shafer) Approve Resolution 2003 -93 Shealy wanted to point out some management issues and policies of the skate park. After speaking with the AML /JIA representative, there were 3 changes that were recommended. Ban scooters and bikes from the park, fence the park to prevent boards from injuring bystanders, have park personnel supervising the park, and the ramps and jumps be professionally engineered instead of home built. He stated if these changes were implemented, it would change an earlier resolution which established the management policies and would cost between $18- $32,000 depending on how much equipment the City provided. Staff would then present a more accurate cost proposal during budget hearings. Shafer stated public input she had heard, was to not put up a fence. Amberg had recently been to a skate park in Minnesota that was built out of a rubber material which reduced noise levels considerably. She made note this park was built by a company named True Ride. City of Seward, Alaska City Council Minutes August 25, 2003 Volume 36, Page 236 Parks & Recreation Director Karin Sturdy was not recommending a particular item or brand. This information was presented for budget ideas, and would take time to get the appropriate estimates. Orr felt the fence was not needed, and noise levels had been fine. He did not support any of this and wanted to address it through the budget process. In response to Dunham, Sturdy stated the park was too small. She noted the above recommendations were provided by insurance representatives, and based upon possible risks, education, and legitimate safety concerns. Sturdy reported Seward had 0 claims from the skate park so far, and Wasilla had received very few. Her budget for the skate park last year was only $800. She wanted to point out these risks and improvements to reduce liability. Branson wanted a financial commitment from rotary, and felt it was premature to amend the management policies at this time. Shealy stated the Chamber would spend about $6,000 to expand the slab. Shafer stated bikes and scooters were a problem at the skate park. Motion (Orr/Branson) Postpone until the budget cycle this fall and for more information. Motion passed Yes: Amberg, Shafer, Orr, Branson, Valdatta, Clark No: Dunham Recess 9:15 pm Reconvene 9:25 Resolution 2003 -94, accepting a Denali Commission Federal Grant administered by the State of Alaska Department of Health and Social Services in the amount of $288,000 for the purchase of a refurbished CT scanner, and appropriating funds. Motion (Dunham/Branson) Approve Resolution 2003 -94 Shealy stated Providence had been awarded a grant through the Denali Commission and would be installed later this year. No further contributions would be needed from the City. Branson thought this would be a great addition to the hospital. Shafer declared a conflict, Mayor Clark accepted the declaration, and Shafer abstained from voting and discussion. Erchinger stated all hospital equipment stayed with the city. City of Seward, Alaska City Council Minutes August 25 2003 Volume 36, Page 237 Motion passed Yes: Amberg, Dunham, Orr, Branson, Valdatta, Clark Abstain: Shafer Other New Business Mayor Clark appointed himself to receive completed evaluation forms on the City Attorney, City Clerk, and City Manager, and tabulate them for the September 22 meeting. Council member Bob Valdatta was appointed to assist with the Seward Fire Department Plan. Virsten Wheat was voted onto the Historic Preservation Commission to serve a 3 -year term. Discussion ensued on the land use arrangements of the City's Tidelands, Beachfront, and Right -of -Ways for the GCI Fiber Optic Cable Landing site. Rules were suspended to allow Jennifer Wilson from PN &D to speak on GCI Optic Cable Landing site. Dunham declared a conflict of interest as lessors. Mayor Clark ruled a conflict existed. Dunham abstained from discussion. Jennifer Wilson sought endorsement of the project. She wanted the City Manager to authorize an easement or pursue a tidelands lease. They were still researching the possibilities. Shealy was exploring both options, but needed time to sort through the issues and find the best way to proceed. He stated GCI and the City were anxious to move this project ahead and was not aware of any reason not to proceed. In response to questions, Wilson stated this was a redundant system, with state of the art new cable. It would be used as back -up but eventually would become the primary cable. Mary Hart of GCI, stated when the Jason Proj ect came to town, they required fiber optics and bandwidth for the project. The foundation was laid for the city to be wired for fiber in the future. Cable was now laid in front of AT &T, into town to the Sealife Center, and one leg into city hall. Shealy stated trench work from a manhole to a small building on Resurrection Blvd. by Marina Motel would start in early September, and would take 6 weeks to complete. Council gave direction to the administration to follow the route to get this cable laid. Discussion on STIP postponement and delay of the 3`d Avenue project. Shealy advised DOT of the City's need for an overlay. He had just found out from the Commissioner of the change to 2006. City of Seward, Alaska City Council Minutes August 25, 2003 Volume 36, Page 238 Orr stated this was a job for the lobbyist. Shealy stated the waterline grant was worth pursuing. Manager of Engineering, Gerry Welsh, stated the delay in phase 1 was really to the City's advantage because it gave more time to explore funding options for the waterline. He reported Seward would score higher for the grant if we had a plan for the waterline. His rough estimate in cost to the city was $160,000, which was 10 percent of 1.6 million. Welsh stated this was for the entire length from Railway to Port Avenue. He recommended asking for an overlay, and in the meantime, pursue funding for the waterline. Welsh reminded that the primary objective of the waterline running down 3 rd Avenue was to have a main running down to the lagoon and replaced with good pipe. Administration would comment on DOT /STIP and ask to be moved to 2005. If no 2005, request an overlay. Administration to seek grant money for funding of the waterline. Funding Railroad Days VIP dinner. Dunham notified that on 9/20 and 9/21, mayors and executives had been invited from the railbelt to attend Railroad Days. The Rasmusson group, along with 90 VIPs would be coming down on the Railroad. The Centennial Committee may have lost their underwriter and had no funding for the dinner. Dunham stated this dinner would cost between $2500- $3500, and would be at the Roadhouse. If no sponsor found, funding would come from Council budget. Informational items and Reports • Hospital financial status report. • Quarterly financial report. • "Always Remember ", Dedication of City Flag on September 11. Council comments Dunham stated Sandra Reese the Administrator of Providence was leaving and thanked her for her contribution to our community. He stated the town looked excellent and thanked everyone for beautifying their property, and also commented the new fisherman mural looked great. Valdatta recognized Sue Magyar for 26 years of city service. Branson stated the mural Tom Missel drew was gorgeous. Shafer thought the Salmon Derby was fun this year. She thought it was interesting to meet all the people that come down, and was glad the $50,000 fish was caught this year. City of Seward, Alaska City Council Minutes August 25 2003 Volume 36, Page 239 Clark reminded all about Founders Day, the Seward 100' website calendar of events, and the upcoming budget schedule. He would be traveling to Kenai on Saturday because Major Marine Tours would be awarded for outstanding business. Citizens' comments Doug Olson, Seward resident, wanted to know about engineering the waterline. He felt the public process was a poor one and flawed, and that all departments were self serving people. He still wanted financial reports. Tim McDonald, Seward resident, was amazed and thought all of council asked the right questions and made the right decisions tonight. He felt there was a division of the voters and the city needed to get ahead of the curve on some of the major fundamental concerns. McDonald would applaud the first person to break into the annexation issue, and felt it should be addressed. He wanted city contracts that were not open ended. Council and administration response to citizens' comments Orr stated the quarterly financial reports were available for the public. Valdatta stated those particular reports were not available anymore. After #13, go into executive session to address threatened or pending litigation of building code enforcement of 1714 Leirer Road and give direction to the attorney. Motion (Branson/Dunham) Go into executive session to address threatened or pending litigation of building code enforcement of 1714 Leirer Road and give direction to the attorney. Orr raised the conflict of interest issue again and asked for reconsideration. Mayor Clark reconsidered and found Orr did not have a conflict. Motion Passed Unanimous Council convenes into executive session at 10:25 pm. A question was raised about Council member Orr having a conflict of interest during executive session. A vote was taken and decided 5 to 1, Council member Orr had a conflict. Orr did not participate. Council re- convened into regular session at 10:57 pm. City of Seward, Alaska City Council Minutes August 25, 2003 Volume 36, Page 240 Adjournment The meeting was adjourned at 10:58 pm. Stu Clark Mayor Jean ewis City Jerk , , 1 1ti11AqE #s, °40 Of S EXY � (City Seal) e. ,.A _1 1.0 PON O .4o� Lstil Stu Clark Mayor City of Seward, Alaska City Council Minutes September 8 2003 Volume 36, Page 241 Call to order The September 08, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Vice -Mayor Vanta Shafer. Opening ceremony Officer Valadez led the pledge of allegiance to the flag. Roll call There were present: Vanta Shafer presiding, and Willard Dunham Margaret Branson Nathan Orr Bob Valdatta Linda Amberg comprising a quorum of the Council; and Phil Shealy, City Manager Cheryl Brooking, City Attorney Jean Lewis, City Clerk Absent - Stu Clark Special orders, presentations and reports Proclamations and Awards. Certification read for completion of police officer training for Erik J. Nosich. Borough Assembly Report. Borough Assembly Representative Ron Long stated $526,000 was added to the school budget to reflect the change in the state space allocation formula and the corresponding National local contribution. A resolution was passed supporting Seaview Community Services as a hub for social services, and they postponed discussion on electronic gaming machines until February. City Manager's Report. City Manager Phil Shealy stated engineers had completed the structural analysis of the two pavilions. Extensive structural problems were found and they recommended both be closed immediately because of danger to users and demolished. He stated staff would proceed with demolition and replacement would be discussed during the upcoming budget cycle. Shealy advised he had received faulty information from DOT on the Mile 0 to 8 project. Construction continued to begin the summer of 2005. The waterline should be budgeted for and designed in 2004 to coordinate with DOT's project in 2005. City of Seward, Alaska City Council Minutes September 8, 2003 Volume 36 Page 242 Shealy informed that the Railroad Board would be meeting this week in Fairbanks, and was hopeful this would open the way to expansion of the harbor, and allow the Corp to advertise the project. He also informed that he would be meeting with the lobbyist this week in Anchorage to be introduced to many agencies and officials who deal with funding and legislative priorities. Shealy stated the period was open to comment on DOT /STIP projects until September 19. He stated DOT may need to be contacted to request an acceleration of the schedule of the Seward highway repairs. The tentative schedule was as follows: • Milepost 0 -8, cost of 19 million was FY 2005. • Milepost 18 -25, cost of 15 million was FY 2007. • Milepost 25 -36, cost of 20 million was over 6 years out and not on STIP. • Milepost 36 -50, cost of 6 million was over 6 years out and not on STIR Shealy requested a work session to review the public safety radio grant and the proposal to construct the building to house it, and in response to a question by Valdatta, stated he would discuss an overlay with DOT at a meeting September 15` City Attorney's Report. City Attorney Cheryl Brooking stated this report was from July 21 through August 20. They worked on flood service, collective bargaining negotiations, re- funding bond matters, ordinance preparation and drafting, permits, easements, and other odds and ends. Other Reports, Announcements and Presentations. Seward Waterfront Study findings presented by Anne Castellina, Chair of the Waterfront Development Committee (Questions were allowed from council, committee members and public). • Provided an updated committee list. • Informed process had moved quickly because of funding constraints and had been advertised 14 times in the Phoenix Log. • Felt concept had immediate and long -term benefits for the community. • Stated multi- agency building would go in first. • All pieces did not have to be developed at the same time. • All their needs would be met by the new building. • Saved 1 million dollars of taxpayer money by sharing spaces. Tylan Schrock, stated this was a solid concept plan and thanked Anne for bringing the Portico group to Seward. He thought there had been plenty of process and that this revitalized the downtown area. Schrock added this was the single best economic development in Seward in years, and stressed the reality of these agencies moving outside the city limits. He stated it was better for the customer to have all under one roof, and that Seward needed a conference center to be associated with an organization to share the operational costs. He felt the benefits were worth the risks. Citizens' comments on any subject except those items scheduled for public hearing. City of Seward, Alaska City Council Minutes September 8 2003 Volume 36, Page 243 Carl Norman, 33552 Wissamickon Dr, spoke in strong support of amending the Jones Act, to allow ships to come into Seward. Next year Seattle would have 140 ships sailing out of that port with 'h million passengers that must go to a foreign port and cannot dock in the U.S. He felt this law was originally put on the books to protect U.S. ship builders and steelmakers. Norman stated if ships were allowed to dock at our port with all their passengers, that would be a huge boost for our economy and more longshoreman could be put to work. He thought the purpose of the Jones Act was sensible and valid when it was enacted in the 1800's, but not anymore, and was impressed Council Member Valdatta thought of that. Beverly Dunham, 600 Alder, wanted to give a report on Railroad Days, which was September 20 and 21. She indicated the committee had been working on Centennial for 4 years now. There would be two trains of Mayors, and Commissioners from various agencies. She spoke of the various activities planned such as; children's races, hand car races, spike driving, and a Dixieland band dance at the Sealife Center. Volunteers were needed for clean-up and set -up. Dana Paperman,106066 Fox Circle, spoke representing the senior center. She requested a city grant of $15,000 because of federal dollars that were cut. The center had cut back driver hours, laid off the j anitor and the outreach center was cut, but the meals -on- wheels program was continuing. Paperman stated their mission at the Senior Citizen Center was to provide independence for the elderly in Seward. Tim McDonald, Mile 2, urged the City to support the upcoming flood service district. He reminded that it needed to pass by a majority of all districts, and was important for area unity. He stated flooding had threatened infrastructure in the past and could in the future, and the City needed to work together. Ron Buckley, 320 2 " Avenue, spoke about a bunkhouse on Second Avenue which was growing. He was sure they had not applied for a change in zoning and feared the house to the North was also turning into a bunkhouse. Buckley felt that portion of Second Avenue needed to be zoned commercial. Approval of agenda and consent agenda Motion (Branson /Dunham) Approve the agenda and consent agenda. Motion passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -97, amending Resolution 2003 -80 authorizing The City of Seward to issue General Obligation Refunding Bonds, 2003A in the principal amount of not to exceed $3,000,000 to refund certain outstanding general obligation bonds of the city, fixing certain details of such bonds and authorizing their sale. Approval of the July 28, 2003 and August 11, 2003 regular city council meeting minutes. City of Seward Alaska City Council Minutes September 8, 2003 Volume 36, Page 244 Approval of the election board for the October 7 election consisting of: Chair Carol Griswold, Mary Williamson, Betty Casey, and Jean Cripps, with Jean Bardarson as alternate. Council added the following to the agenda: The scheduling of two work sessions; one on the Public Safety radio grant, and the other on Waterfront Development. Council also added an update on Resolution 2003 -82 concerning the battery shed and a discussion on the resignation of Sandy Reese, Hospital Administrator. Public hearings - None Unfinished business Ratification of council action that took place during executive session on the August 25, 2003 regular city council meeting. Motion (Shafer / Amberg) Ratify council action that took place during executive session on August 25, 2003 at the regular city council meeting, that a conflict of interest existed for Nathan Orr. Mayor Clark had initially agreed a conflict of interest did not exist during the regular meeting on August 25, 2003, but had changed his decision after a query by council members during executive session. Orr stated his argument was that he stood to gain nothing financially by the action to be taken. Orr stated he was listed as one of five or six contractors of the project, and did not feel he had a conflict. Shafer felt the appearance of a conflict was important, and care should be taken there. Motion Passed Yes: Amberg, Branson, Shafer, Valdatta No: Dunham Abstain: Orr Council took a recess at 9:00 p.m. Council meeting reconvened at 9:10 p.m. New business Resolution 2003 -96 authorizing the City Manager to enter into a four year contract with The International Brotherhood of Electrical Workers (IBEW) effective July 1, 2003 and ending June 30, 2007. City of Seward, Alaska City Council Minutes September 8 2003 Volume 36, Page 245 Motion (Dunham/Branson) Approve Resolution 2003 -96 (aydown) Shealy stated the City and 113EW had been negotiating for months and had developed a proposed contract. The effective date of the contract was July 1, 2003 and was for four years instead of the usual three years, ending June 30, 2007. Benefits would be retroactive to July 1, 2003. Shealy stated the estimated fiscal impact for the remainder of this calendar year was $7000. Manager of Electric Utilities Dave Calvert stated most negotiations centered around wages and health and welfare payments. In mediation, both parties agreed with this contract. Calvert emphasized that linemen were multi - talented, well trained and worth their wages. He felt it was a fair settlement and increases in health and welfare for the linemen were limited to 7.5% Valdatta stated linemen should kick in for their benefits. Dunham was pleased a contract was able to be reached. Branson felt they were worth every penny. City Clerk Jean Lewis clarified the laydown version had a Section 2 added which addressed retro payment for salary and benefits which was in the agenda statement but was left off of the resolution. Motion passed Unanimous Resolution 2003 -98, amending Resolution 2003 -83 authorizing the City Manager to select Alternative No. 3 for Gateway to Forest Acres waterline and take steps necessary in order to provide additional residential development. Motion (Dunham/Orr) Approve Resolution 2003 -98 Shealy stated an extension was needed on Resolution 2003 -83 which had an expiration date of 9/1/03. He was requesting an extension until 9 /15/03 to continue work with the Schafers. Valdatta recommended the material be bought soon with prices continuing to increase every day. Motion passed Yes: Valdatta, Amberg, Dunham, Shafer Orr, No: Branson Other New Business Items Discussion on the Gateway Sidewalk lease and direction given to the City Attorney. City of Seward, Alaska City Council Minutes September 8, 2003 volume 36, Page 246 Shealy stated this was an ongoing issue for several years. The lease required several improvements including relocation of utilities and construction of a sidewalk, which had not been completed. Direction was sought whether to extend the deadline or modify the lease to eliminate the driving lane. City Attorney Cheryl Brooking wanted direction on the Gateway Texaco lease. She noted in December of 2000, a restated lease expanded his existing lease to incorporate an extra 10 feet. The city then replatted that area. Brooking stated a sidewalk was to be put in within 180 days, signs put up for loading and delivery only, utilities relocated, and easements conveyed to the City. They had not been done. There was indication the prior City Manager had agreed to an extension to the end of this year. Brooking stated that extension should have been brought before Council for approval, however, she needed guidance if a change in the lease was needed. She provided options of; terminating the whole lease within 30 days, amend the lease, re -plat again, or give another date with limitations. She noted there was also area parking violations of the lease. In response to questions, Brooking stated Mr. Pruitt was reminded on 5/16/01 and responded with a verbal agreement. On 7/17/01, an extension was given to October of 2001. On 7/3/02 the Harbormaster communicated with Mr. Pruitt and he stated the prior City Manager had promised him an extension until the state commenced with construction of pedestrian walkways on 3rd and 4` in 2003. On April of 2003, Harbormaster Jim Beckham wrote to Mr. Pruitt acknowledging that Scott Janke probably gave him an extension through 2003 to tie into those projects. Brooking stated at that time Gerry Welsh had provided Mr. Pruitt with sample drawings of sidewalks to help move things along. The last written correspondence from Mr. Janke was the extension giving him until October 2001. A request for suspension of rules to allow D.J. Whitman to interrupt was not allowed Dunham felt there were problems with the building. The parking was too small and vehicles were in the right -of -way. He suggested possibly a raised sidewalk on that side. Orr remembered discussion on how to connect the pedestrian walkways between 3 and 4` Avenue. The idea came forward to tie it in with a sidewalk which the lessee agreed to. Orr did not think there was any requirement for parking in the harbor unless you were a hotel. Shealy stated he spoke with Mr. Whitman on the temporary stalls in the 10 foot strip, and they could be taken out. He stated there would not be a sidewalk in front of Gateway Texaco now. Direction was given for City Manager, Engineering and the lessee to come up with a solution, work out an agreement to clean up the North parking lot problems, and bring forth at the October 13 council meeting. Discussion and direction given to Clerk whether to send letters supporting amending the United States Passenger Act commonly referred to as the "Jones Act ". City of Seward, Alaska City Council Minutes September 8 2003 Volume 36, Page 247 Valdatta wanted to supplement the cruise ships that Seward was losing to Whittier with other passenger ships. The "Jones Act" prevented this because they must originate in a foreign port to disembark in our port. Valdatta felt it would benefit the cruise ships and Seward's economy to discharge passengers at an American port of call. Dunham stated Seward was a turnaround port and Whittier would be a turnaround port. The Jones Act came into play when they disembarked human cargo. He thought there had been attempts to amend this Act for the last 30 years. Orr stated this Act was also protecting American merchant seaman. He felt major changes may have consequences they were not aware of, which was the reason requests for amendment had fallen on deaf ears in Washington. No letter would go out from Council. The City Manager was designated to contact Seattle and Vancouver to find out if any amendments were being presented. If any letter was written, Council would like to send a letter that benefited all communities. Discussion and direction given to City Manager whether to ask the KPB to request a change in the DOT Statewide Transportation Improvement Program (STIP), moving the Seward Highway reconstruction up to a higher priority. All agreed City Manager should ask KPB to try and get the projects pushed up. Discussion on the resignation of Hospital Administrator Sandra Reese. Council wanted a gold pan presented to Sandra Reese for her contribution to our community in regards to Providence Wesley co- location. Council comments Dunham stated the Japanese vessel was in Seward. He requested a presentation to the vessel for making us a port of call. Dunham wished the City would have a team for the handcar races for Railroad Days. Valdatta thanked the Japanese vessel for coming into Seward. Orr stated a new coast guard cutter was stationed in Homer. The crew of that ship was here through October and November, and urged the community to reach out to that crew. Shafer apologized for her "rusty running "of the meeting. She requested the City Manager look into Mr. Buckley's claim and report back. Shafer missed the department monthly reports and wanted them reinstated. Citizens' comments City of Seward, Alaska City Council Minutes September 8, 2003 Volume 36, Page 248 Nina Daley, resident, was upset that a good reason was not given for Nathan Orr's perceived conflict of interest. Doug Olson, Second Avenue, stated the tunnel in the canyon could potentially fail and the City should think about that during the flood district vote coming up. He felt electrical engineers were getting a lot of overtime along with their wages and thought they could pay for their own benefits. He inquired about the generator batteries, and why they were not surplus inventory. DJ Whitman, spoke toward comments he heard about the Jones Act. He pointed out U.S. bottoms were being built in San Diego. The cruise ship building industry was making a comeback on the East Coast and just completed a 386 foot ship on Whidbey Island. Whitman did not support a change in the Jones Act because of the importance to the merchant marine fleet. Council and administration response to citizens' comments Valdatta responded to Ms. Daley's comment and stated he felt a conflict of interest existed because the building had been set wrong and Mr. Orr was part of that. Orr stated he did not agree with the conflict but lived with the decision. He stated he did not have a problem with it because he recognized the importance of a perceived conflict, and respected Council's decision. Adjournment The meeting was adjourned at 10:25 pm. Je Lewis Ci Clerk ,��1uunr1 (City SeaL$ 4F selk N Cj �f r e S EA L • ® to • 1J • r r ; OF A ' t Vanta Shafer Vice -Mayor City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 249 Call to order The September 22, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Sgt. Valadez led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding and Vanta Shafer Linda Amberg Willard Dunham Margaret Branson Nathan Orr Bob Valdatta comprising a quorum of the Council; and Phil Shealy, City Manager Brad Meyen, City Attorney Jean Lewis, City Clerk Absent — None Special orders, presentations and reports Mayor Clark read a Centennial congratulation letter from Trailblazer Dan Seavey which came via ultra marathon members who had just completed the Iditarod Trail by runner, bicycle and human powered watercraft. Mayor Clark congratulated them for their efforts. Proclamations and Awards. Disability Employment Awareness Month and Disability Mentoring Week. Borough Assembly Report. Borough Assembly Representative Ron Long stated the Assembly had their annual meeting in Homer. The contract was awarded for the professional design of the Seward Middle School. It was agreed to host the Arctic Winter Games, and the Borough would try and bring a project to Seward. Long stated a strong letter had been sent to DOT in regards to the STIP schedule, and he thanked the City, Centennial Committee and the Alaska Railroad for putting on a fine Railroad Days weekend. Long stated they would try to use some of the shared spaces on the new school and directed further questions on the guidelines and design be referred to the site based council. City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 250 City Manager's Report. City Manager Phil Shealy corrected a comment he made at a prior council meeting. He found out DOT was proposing to put sidewalks on both sides of 3rd Avenue. Shealy notified that the battery starter had been completed and the shed should be finished in a week to ten days. The Alaska Railroad Board of Directors approved a tidelands lease for the harbor expansion. The Corps indicated it would advertise the harbor project by the end of the week. Shealy reported the Schafer's had delivered the necessary documents on September 15, for the Gateway to Forest Acres Waterline Project. He would come back to council in regards to the subdivision and financing. Shealy stated the pavilions would come down tomorrow, and the preventive maintenance program had begun for the campgrounds, with water shut off set for October I". He congratulated the city team in taking 2 °d place at the handcar races this past weekend. In response to questions, Shealy stated the structural surveys stated removal of the pavilions should happen immediately. He had authorized a contractor to proceed with the slab on the east side of the building for the radio station, and may construct another building later for additional needs. Shealy anticipated the grant would be the same as Homer received and felt the radio shed should be attached to this building. City Attorney's Report. City Attorney Brad Meyen — None to report. Other Reports, Announcements and Presentations. Citizens' comments on any subject except those items scheduled for public hearing. Anne Castellina, resident, spoke in support of Resolution 2003 -100, which adopted the waterfront study. In addressing concerns from the public on loss of tax base, Castellina had checked with the Borough and felt the impact was not as large as originally thought. By taking the assessed value of the Park Service and Forest Service property, putting both on the tax roles would generate $2,200 for the City. With the assessed value of the impacted buildings downtown generating $3,300 for the City, meant a loss of $1,000. Castellina stated this project was eligible for PILT funding which would automatically occur when the Federal government purchased the property, thus the city would not lose those property taxes. She reiterated this was a study, not a design document, and the goals of Portico were to evaluate properties, expedite the multi- agency facility, and revitalize the downtown area. Bill Hearn, resident, had been involved with downtown Seward for 10 years. He felt this was an amazing downtown and liked the fact you could park your car in one place and walk to it all. Hearn felt the people of Seward needed to use downtown for revitalization, and wasn't sure the multi agency could replace anything missing from downtown. He wanted the historic corner to stay the same. Sandra Roach, resident, spoke as a Planning and Zoning Commissioner. She stated the Commission approved the concept of a site plan and supported location alternate #3, but not the City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 251 planning recommendations. Roach did not think all 16 planning recommendations would be good for Seward, and urged caution in adopting the waterfront study. Linda MacSwain, non resident, stated she owned property in Seward and grew up here. She recognized all the hard work that went into this study but opposed vacating Washington Street. MacSwain felt Seward's original plan would be destroyed and urged to keep the charm of the downtown district. She stated Seward was the best of Alaska, and the original layout should be preserved. Willard Dunham, resident, read a letter from Bev Dunham, Chairman of the 2003 Centennial Committee. She thanked council members Valdatta, Orr and Branson for their recent contributions with Railroad Days, thanked the city employees for their after hours contributions, the TYC, local quilters, Centennial Coordinator Sandy Wassilie, and congratulated the city handcar team. Dunham wanted all to know what a big part these volunteers made to the success of Railroad Days. Tylan Schrock, resident, spoke in support of the waterfront study and urged council to adopt the plan. He felt it had been an open public process with good newspaper coverage. Schrock stated the economic benefits of this project were greater than any tax benefits because it was a mixed private and public investment, and created a broad stroke on revitalization of downtown. Patty Linville, resident, spoke in favor of the waterfront development study. She felt change was inevitable and this was a pro - active guide to follow for the next few years. Gina Fiore, resident, was pleased the Forest Service and Park Service were interested in enhancing the downtown area, and was sure these agencies would protect the downtown integrity. She suggested an ordinance be passed protecting the downtown essence. Fiore also thanked the people who bought buildings and had invested in the downtown area, and thought it should be protected for future generations. Deb Carter, resident, congratulated the Centennial Committee for all their hard work put into the Railroad Days weekend and had enjoyed the centennial activities presented this year. She supported the study brought forward with realization it was a base to work from. Jennet Hermiston, resident was thankful for the $300,000 grant and spoke in favor of the CT scan for Providence. She stated this would be a great asset to the community, would decrease transports, give a higher quality of care, and provide additional services. She explained the areas and options for placement of the CT scan. Marilee Kozowski, resident, wanted to know who the willing sellers were for the downtown project. She would address this later with Castellina. Nina Daley, resident, was surprised by the wording in the resolution because of the recommendations by the Planning and Zoning Commission. She had reviewed tapes and clarified the Commission did not approve the 16 recommendations within the study. Daley noted the City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 252 Commission approved the concept only so it could be used as a show of community support for funding in Washington DC if needed. Tim McDonald, resident, couldn't believe the city had paid $8,000 for structural engineers to have the pavilions analyzed when employees on staff could do that. He had examined them himself, and felt they could easily be repaired and did not need to be torn down. Adults and children used the pavilions consistently. Motion (Dunham/Shafer) Motion Passed Suspend the rules to allow more citizen comments. Yes: Valdatta, Shafer, Amberg, Branson, Dunham, Clark No: Orr Tom Tougas, resident, stated economics alone could not upgrade those old downtown buildings. He was glad for this step in the process, and felt the city could not delay in making this decision. He supported the positive impact that the Forest Service and Park Service would have in the downtown area. Tom Smith, resident, thought he saw a lot of smoke attempting to cloud the issues. He stated accepting the concept did not accept the recommendations. He also noted this was only a concept, not a design and there had been numerous public meetings held on this. Smith said the city would lose a lot more than tax revenue if the Park Service and Forest Service were to move out of town. He felt Anne Castellina had done a good job. Tim McDonald, resident, felt there was a great potential for good with the concept and thought the city was lucky to get the multi- agency interest. He supported the waterfront study with concerns for the view shed. Approval of agenda and consent agenda Motion (Dunham/Branson) Approve the agenda and consent agenda. Motion passed Unanimous The Clerk read the following approved consent agenda items: The canvass board for the October 7, 2003 election consisting of; Kim Reierson, Vicky Seigel, Betty Hatch - Gillespie and Jeanne Galvano were approved. The November 10 city council regular scheduled meeting was changed to November 3 because of AML conflict. Council added the following to the agenda: City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 253 Discussion of the destruction of the pavilions. Discussion of the CT scan placement and referral to P &Z. Public hearings - None Unfinished business — None New business Resolution 2003 -99 authorizing the City Manager, to set the city rock quarry unit -price of $4.00 per ton as fair and competitive for the East Harbor expansion. Motion (Branson /Shafer) Approve Resolution 2003 -99 Shealy anticipated 64,000 cubic yards of rock would be utilized for the harbor project. In order for the city to compete as a supplier for rock, it would need to be able to provide a price quote for the rock. Staff recommended $4.00 as a fair and competitive price because of transporting rock out of the quarry. Shealy stated the market would tell if it was a competitive price. Orr wanted a managed quarry. Although he thought establishing a price was good, he was a bit disappointed in the lack of a management plan. Orr wanted City rock to go into it's harbor, but did not want to be in the quarry management business. Shealy stated the attorneys would have guidelines for successful bidders to abide by. He was not prepared to do that at this time. Many council members were concerned why the Administration had not followed through on the management of the quarry and requested that be done. Shealy stated the Corps would be advertising for the next 30 days. Contractors would be calling and asking what the City would be charging for rock. He felt this would test the price range market now. Shealy wished to devise a means to maximize profit to the city without pricing ourselves out of the market, and still have opportunity to pursue a long -term management project. Clark felt today's prices should be used. Amendment (Clark/Orr) Raise the price to $5.00 a ton. Shealy stated staff had utilized the appraisal and phone contacts in coming up with a price. They tried to be competitive and not price themselves out of the market. Shealy felt we should determine the price to tell contractors. City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 254 Dunham stated the quarry was a city asset and resource. The money would benefit the community and be used for our boat harbor, streets, etc. He felt this was a step forward. Shealy stated the capability to supervise this operation was there. Motion Passed Yes: Valdatta, Shafer, Amberg, Branson, Dunham, Clark No: Orr Main Motion passed as amended Unanimous Council recessed at 9:03 pm Council re- convened 9:15 pm Resolution 2003 -100, approving and adopting the Seward Waterfront Study. Motion (Dunham/Shafer) Approve Resolution 2003 -100 Shealy stated an ad -hoc citizen advisory committee was formed to work with federal agencies and Portico to develop a manner for revitalization of downtown. This would expedite a multi - agency center and generate a concept centered around a plaza idea. Shealy stated the preferred alternate was #3, and requested adoption of the Seward Waterfront Study. Amberg felt the biggest issue was vacating Washington Street. Most people who phoned her felt the concept was a great idea and were in favor of it, but not the vacation of Washington Street. Branson was very fond of the old Solly's footprint. She read a letter she received which stated Seward Alaska was unique and a handcrafted town. It was the only planned community in Alaska with laid out streets. Branson too was concerned with street vacation. Shafer attended a lot of meetings, and stated Portico felt Seward was unique and it was very important to not lose the historical flavor of the downtown area. She reported those meetings were well attended, the process would continue, and it was important to move the project along. Shafer felt assured the community would be involved with design every step of the way. Dunham felt the Park Service was responsive to concerns by the public, and would be responsive to the concerns of the vacation on Washington Street as well. He noted several streets had been vacated in the past and at one time 4` Avenue had been discussed as a plaza. Dunham felt it was the best interest of the community to accept this concept, and the Park Service deserved an answer for all their hard work. Orr thought the concept to re -do that triangular block was way overdue, but understood adopting the resolution as it was written would vacate Washington Street. Although he felt the Park Service would design a facility that would be perfect for the community, and had the utmost confidence with the finished product, he still thought there should be more public hearings. City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 255 Motion to Amend (Orr / Amberg) Postpone to the October 13 regular meeting for public hearings. Amendment Failed(4 -3) Main Motion Passed (5 -2) Other New Business Items Yes: Orr, Amberg, Valdatta No: Shafer, Dunham, Branson, Clark Yes: Shafer, Valdatta, Dunham, Branson, Clark No: Amberg, Orr Discussion of 2004 Federal and State legislative priorities. Shealy wanted input on priorities since the budget process was beginning. He drew attention to the latest lobbyist report included in the packet, and gave an update on various projects that were on the pipeline in Washington DC. Other items discussed were: being more persistent with pushing along the shellfish hatchery, coming up with a dollar amount for the arctic research vessel, replacing Dennis Lodge as the maritime instructor at AVTEC, and advocating the SMIC area. More discussion was needed and would be discussed at the next regular scheduled meeting of October 13. Discussion of destruction of pavilions. Shealy informed council on the deteriorating condition of both pavilions. The structural engineers found both structures in serious need of repair, and advised they should be immediately torn down. They were a hazard. City Engineer Gerry Welsh, stated he became concerned by how they were built and was not surprised the assessment recommended immediate destruction. The engineers had evaluated material and structural integrity, and snow and gravity loads were explored. Welsh noted the design was flawed and the original drawings were not stamped by an architectural engineer. Dunham wanted to know if there wasn't something the City could do to save them. Welsh stated attempts to save them would be more costly than replacement, and did not recommend saving them. He stressed that the engineers had notified him immediately upon their findings, and requested they be barricaded and the public denied access. They had been exposed to the elements constantly and one already had failure. Discussion of CT scan placement and possible referral to P &Z. City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36 Page 256 Motion (Dunham/Branson) To discuss the CT scan grant and refer to Planning and Zoning Commission. Council member Shafer declared a conflict. Mayor Clark ruled a conflict existed. Council member Shafer abstained. Shealy stated there were a couple of alternatives to explore. Put trailer on a permanent structure or amend the current zoning code. He recommended referral to Planning and Zoning for a proposed modification or recommendation, and noted a critical time frame. Council was intent to support the need, were aware of the critical time frame, and voted for referral. Motion Passed Unanimous Abstain: Shafer Council member Orr left at 10:30 pm because of childcare issues. Informational items and reports (No action required) Council comments Valdatta wanted Seward to have a better Industrial base. Dunham thanked all for their efforts and hard work for Railroad Days. He congratulated the Coast Guard for taking first place in the handcar races. Dunham suggested Alaska needed to be involved in a movement to get our ports declared strategic. Branson was anxious to see what plans the group working on the multi- agency facility came up with. Clark accepted the gift of the Wm. H. Seward bust from First National Bank, and commended Dennis Treadwell for sculpting that bust. He congratulated Centennial Committee Chair Bev Dunham for putting together Railroad Days. Clark reported he had visited Senator Steven's staff in DC and received a favorable reception on the waterfront study. He also met with representatives from four cruise lines in Seattle, and was cautiously optimistic that three would remain in Seward. Citizens' comments Anne Castellina thanked all for the waterfront study project. This concept would enable them to approach business and land owners and begin the process of moving forward. She promised an open and public process during the design. City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 257 Tom Smith, notified there was an expert on mariculture that could answer questions the council was requesting and possibly make a report. He stated it was this man's job to support communities with information on mariculture issues. Tim McDonald was disappointed with council's decision on the pavilions. He didn't concur that they could not be lodged up. He felt the City had passed up an opportunity to save a lot of money and took the easiest route. Rick Erickson stated the pavilions were used continuously, and was disappointed they were being torn down without a replacement process. Sandie Roach, wanted Resolution 2003 -100 re- worded. She felt passage accepted the whole study. She felt Council did not read the Waterfront Study. Council and administration response to citizens' comments Valdatta felt the pavilion needed an earthquake certificate, and he thought the city engineer explained it well and he appreciated that. After #13, Go into executive session for the City Clerk evaluation. Motion (Shafer/Branson) Go into executive session for City Clerk evaluation. Motion Passed Council went into executive session at 10:30 p.m. Council reconvened from executive session. Unanimous After #13, Go into executive session for the City Attorney evaluation. Motion (Branson /Dunham) Go into executive session for City Attorney evaluation. Motion Passed Council went into executive session at 10:40 p.m. Council reconvened from executive session. Unanimous After #13, Go into executive session for the City Manager evaluation. Motion to Postpone (Shafer/Branson) Postpone until 10/13 regular meeting for more time. Motion Passed Unanimous City of Seward, Alaska City Council Minutes September 22, 2003 Volume 36, Page 258 Adjournment The meeting was adjourned at 10:50 p.m. Jean ewis City Jerk ���%at�;werfrr�� (City Seal) ����� OF 3� ,9 ��0 U t a `~ : to ®' �� R �W e H C,,�� ee�f�F O N ,•" " ( Stu Clark Mayor City of Seward, Alaska October 13. 2003 Call to order City Council Minutes Volume 36. Pape 259 The October 13, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Lt. Tiner led the pledge of allegiance to the flag. Roll call There were present: Stu Clark presiding, and Vanta Shafer Willard Dunham Nathan Orr Bob Valdatta Linda Amberg comprising a quorum of the Council; and Phil Shealy, City Manager Brad Meyen, City Attorney Jean Lewis, City Clerk Absent — Margaret Branson Special orders, presentations and reports Proclamations and Awards, Appreciation letter read to GCI for providing a Public Service. Domestic Violence Awareness Month proclamation read. Borough Assembly Report. Borough Assembly Representative Ron Long stated the Borough would meet October 14 to certify the election. He thanked everyone who ran for council, congratulated the new members, and had enjoyed working with the past members. Long mentioned there was a potential downside to Senate Concurrent Resolution (SCR) 12. Because of the large amount of federal holdings, there would be a loss of PILT funding, which would result in a fiscal loss to the state. In response to Dunham, Long stated they were soliciting for a replacement for a new Director for the Economic Development District (EDD). He informed that an HR expert had polled various board and community members as to what skills were most important for that position. Formal solicitation and language would be put together at the next meeting. City of Seward, Alaska City Council Minutes October 13, 2003 Volume 36, Page 260 City Manager's Report. City Manager Phil Shealy apologized for all the laydowns. In order to increase safety at several intersections along the Seward highway, the administration supported a road constructed between all of the schools, and requested approval to write a letter to the Borough requesting this be studied, and recommendations and cost estimates developed. Shealy presented the RFP for the library/museum design concept. The selection process and criteria were included in the hand out. He discussed not sending the Jones Act amendment letter. After further research he concluded none of the federal lobbyists would address it for various reasons, and had advised against sending the letter. Shealy stated citizen Ron Buckley had been contacted in regards to his complaint on bunkhouses, and was advised that zoning violations on the 2 °d Avenue property would be addressed. Temporary housing may require possible changes to the zoning codes. The proposed timeline for the North Forest Acres levee road project was; completion of the environmental review by mid - October, Corps of Engineer permitting process completion by March 2004, construction anticipated by May 2004, and project completion scheduled for mid - November 2004. He also reported the work was progressing satisfactorily on the subdivision agreement and easement required for the Forest Acres waterline. Construction of this waterline was anticipated to begin next spring. Shealy presented a 10/10/03 draft lease for the ARRC lease on tonight's agenda. This draft negotiated changes that would be more favorable to the city, and the Railroad responded that most of the changes were acceptable. He suggested council approve the lease in order for the Corps to open bids for the harbor expansion on October 22. Completion of Corps work was scheduled for the spring of 2005. He informed budget work sessions were scheduled for 10/20, 10/21, and 10/22. Finance Director Kristin Erchinger explained the major highlights of the funds for the FY 2004 budget. ➢ The projected surplus in the General Fund was $25,000. It had been difficult to achieve a balanced budget this year, and she was surprised to see the city had the same problems as last year, even with the sales tax increase. Still significant increases in PERS and insurance costs. ➢ Seen declines in every major revenue category. Complete elimination of funding from the State of Alaska amounted to $190,000 this year which represented a loss of revenue, safe communities and matching grant funds. ➢ Projected decrease in PILT payments from the Enterprise Funds to the General Fund, because of their decrease in revenues. City of Seward, Alaska City Council Minutes October 13, 2003 Volume 36, Page 261 ➢ Anticipating $75,000 decrease in administrative fees which represented the amount of overhead the city could re- capture from administering grants and projects. The number of grants had decreased along with the dollar amount of those grants were decreasing. ➢ Proposing an increase in RV camping fees from $17 to $25. ➢ Biggest thorn is the North SMIC dock bond and how to pay for it. This year's debt service was $280,000. Administration proposing a temporary increase in property tax to 1.33 mils from year 2004 through 2007 to pay for this bond. An alternative would be to identify services to cut from the budget. ➢ Increase of 5% to employees for PERS. There was an increase of $80,000 to the City for PERS this year. PERS actuarial studies statewide, projected they would need to increase their contributions an additional 25 %. They are limited to a 5% increase per year. ➢ Utility costs projected to increase 10 -13% next year. ➢ Insurance costs continue to rise to 8 -9 %, even after raising deductibles and limiting property coverage. ➢ No cost of living allowance proposed for employees. Employees proposed to pay a higher share of their health insurance costs, which would result in a 33% increase. ➢ Propose to set aside 10% of the 1% recent sales tax increase away for road repair. ➢ Budget was cut in all but one expenditure category for every department from FY 2003. The only category that saw an increase was public safety. ➢ Reduction in full -time employees. ➢ Proposing to divide the water and sewer enterprise into two funds to qualify and meet the requirements of loan and grant programs. Both of these funds include a rate increase of 5 %. Infrastructure needs were showing. ➢ Harbor fund broke even. Money had been funding harbor improvements and expansion. ➢ Electric fund expected to fund its depreciation reserve account and spend money on replacing aging heavy equipment. ➢ Parking fund expected to have a positive year based on the raise from $2 to $5. She reiterated these funds were used to stripe, repair, seal and re- surface their lots. City of Seward, Alaska City Council Minutes October 13, 2003 Volume 36, Page 262 ➢ Hospital Debt Service Fund has an outstanding liability with PERS. Do not know the total of that liability as yet. Administration would like to fund a minimal capital budget to help the hospital pay for outdated equipment, with a spending goal this coming year amounting to $33,000. Erchinger reported that the re- financing of the Community Center and SMIC bonds saved the city $153,000 recently. City Attorney's Report. City Attorney Brad Meyen continued to assist on various review of contracts concerning the harbor expansion project. There were ARRC leases, ROW permits, and easements, all in connection with development projects going on in the community at this time. Other Reports, Announcements and Presentations. Seward School Site Council Report by Patty Linville. She explained the purpose of the site council was to improve student learning at the school level and act as an advisory to the school on many issues. They were concerned with the continued decline of school funding, teachers being laid off, and the cycle of losing more children. Seward Education Alliance Update by Rhonda Hubbard. Citizens' comments on any subject except those items scheduled for public hearing. Fran Sedlick, spoke in favor of additional funding for the senior center, and thanked the community for their support. She noted two positions had been lost, and driver and office assistant hours had been cut. Sedlick asked for council support this budget cycle. Rules suspended for time to be extended. Kim Kain, player agent for little league, wanted the city to support Park and Rec Dept. financially to clean the little league bathrooms. She requested new portable pitcher mounds for two fields be funded, and wanted new bathrooms and concession stand for a capital improvement project. Bill Hearn, had watched a college football game last week from Madison, Wisconsin and it had a triangle block. He wanted to keep our triangle block downtown. DJ Whitman, wanted a deferral on discussing the Gateway sidewalk lease to another time since Jim Pruitt was out of town visiting an ill mother. Patty Beals spoke in favor of the city funding a new concession stand and little league bathrooms. Sandy Wassilie, spoke in support of her request as Centennial Coordinator, for an additional $2600 to finish up the year's Centennial events. She notified that the original state flag exhibit City of Seward, Alaska City Council Minutes October 13, 2003 Volume 36. Page 263 would travel to its birthplace, Seward in December. This money would enable her to continue and facilitate for the remainder of the year. Approval of agenda and consent agenda Motion (Dunham/Shafer) Approve the agenda and consent agenda. Council added the following items to the agenda: Discussion on sending a letter to the Kenai Peninsula Borough, re: developing an interconnecting road between the schools. Motion passed Unanimous The Clerk read the following approved consent agenda items: Resolution 2003 -101, amending introduction page ii of the City Council Rules of Procedures relating to a change in the regular meeting day of the Planning and Zoning Commission. Resolution 2003 -104, authorizing the City Manager to issue a purchase order to Alaska Environmental and Safety Supply, Inc. for the purchase and installation of police emergency equipment on one model year 2004 Ford Crown Victoria, and appropriating funds in an amount not to exceed $1,695.00. Resolution 2003 -105, authorizing the City Manager to issue a purchase order to Motorola Inc. for the purchase of a new Motorola Astor Spectra Mobile Radio to be installed in one model year 2004 Ford Crown Victoria, and appropriating funds in an amount not to exceed $2,454.20. The August 25, 2003, September 8, 2003, and September 22 regular city council meetings minutes were approved. A transfer of ownership, location and name change for a liquor license to Carr - Gottstein Foods Co., dba Eagle Liquor was approved. Public hearings Resolutions requiring a public hearing Resolution 2003 -102, authorizing the City Manager to enter into a lease agreement with the Alaska Railroad Corporation (ARRC) for a portion of the inner harbor basin in the small boat harbor expansion. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. City of Seward, Alaska City Council Minutes October 13, 2003 [volume 36, Page 264 Motion (Dunham/Shafer) Approve Resolution 2003 -102 Shealy stated there was 1.9 acres of tideland the city was attempting to lease from ARRC. The new breakwater would be constructed on the Railroad property by the Corps of Engineers. The 1.9 acres were not subject to navigational servitude. This land must be leased and the Railroad agreed to a lease for 55 years. Shealy stated the annual lease payment would be $11,067 in cash, or gravel equivalent. With recent flooding, 5000 yards of material had already been hauled to the Railroad to meet those obligations. Once dredged, 27,000 acres of material that is Railroad property must be re -paid to them. Shealy stated revised leases were being sent back and forth to negotiate changes. In response to Shafer, Shealy stated this lease could be paid in a one -time payment of $122,963. Another option would be to go to the legislature and ask for a release, but the city must get the lease for the Corps to be able to start the project. Harbormaster Jim Beckham, stated there was a precedent with the Railroad, which allowed the lessee to prepay the rent. This would pay the full value of the fee simple land in one payment, which would forego the requirement to pay $11,067 a year, and allow the city to reduce overall payment substantially. The lease would state they must be given 90 days notice. Beckham stated fill or excess dredge material from the harbor project, or another river dredging project could be delivered to the Railroad at a value of $345 a yard by a contractor as a trade off of what was owed on the lease. Shealy would pursue funding for flooding but may not be successful. Beckham stated the Railroad asserted ownership over the dirt on the tidelands. This prohibited anyone from removing the dirt. He reiterated the city had paid them 5000 cubic yards of the 27,000 cubic yards owed already. In response to Orr, Beckham stated it was the low value, not delivered price. The cost of hauling would be on the city, and the city had no control of the tailings of the Corps project. Shafer and Dunham thought it was a bitter pill to swallow and wanted the city to pay off the $122,963. Orr felt the State was sticking it to the city on an economic project, and hoped for a good probability of relief from them later. Shafer was concerned with this getting lost and wanted the issue brought before council again at a later date. Motion Passed Yes: Orr, Valdatta, Dunham, Clark No: Shafer, Amberg Council recessed at 9:12 pm City of Seward, Alaska City Council Minutes October 13, 2003 Volume 36, Page 265 Council resumed at 9:22pm Unfinished business 2004 Federal and State legislative priorities were discussed. A work session was scheduled for Wednesday, October 15, 2003 at 7:00 pm. After #13, go into executive session for the City Manager evaluation New business Ordinances for Introduction Ordinance 2003 -08, amending Seward City Code Table 15.10.225. Land uses, to add Mobile Medical Units as a permitted/conditional use in the Institutional Zoning District. Motion (Valdatta/Amberg) Introduce Ordinance 2003 -08 Council member Shafer declared a conflict. It was ruled a conflict existed and Shafer refrained from discussion and voting. Shealy stated this topic was referred to the Planning and Zoning Commission, and they recommended mobile medical units be allowed by permit issued from the administration for 180 days when a conditional -use permit would be required. Shealy was recommending the laydown version, which asked that mobile medical units be permitted outright in the institutional zoning district. He noted half a dozen institutional zones within the city but felt the type of unit would limit any concerns. He stated this unit would be delivered at the end of the month. City Planner Malcolm Brown, stated the Planning and Zoning Commission was concerned they needed a better definition of mobile medical units, but would issue a conditional -use permit in the meantime. Clark stated he was present at that meeting, and institutional zoning did cover a wide area. There was some concern this would allow temporary units within all institutional areas. Clark noted a variance could not be granted in this instance. City Clerk Jean Lewis, clarified the ordinance on the table was the one submitted from the Planning and Zoning Commission which stated "permitted/conditional use ". Shealy's opinion was with it being a permitted/conditional use; the Planning Commission would institute the conditions which he felt the council should have control of in this process. The ordinance above, as proposed by the Planning and Zoning Commission, suggested mobile medical units as a permitted /conditional use instead of an outright use which was the laydown proposed by the Administration. Council introduced this ordinance as a permitted /conditional use as proposed by the Planning and Zoning Commission. City of Seward, Alaska City Council Minutes October 13, 2003 Volume 36, Page 266 Motion Passed Yes: Orr, Dunham, Amberg, Valdatta, Clark No: None Abstain: Shafer Resolution 2003 -103, authorizing the City Manager to enter into agreement with Tryck Nyman Hayes, Incorporated (TNH) for preliminary engineering services for the East Harbor Expansion Project for an amount not to exceed $355, 571. Motion (Valdatta /Shafer) Approve Resolution 2003 -103 Harbormaster Jim Beckham stated professional services were exempt from the competitive bid process and several months ago council had indicated they were satisfied and pleased with work done by Tryck Nyman and Hayes (TNH). This was Phase I of the East harbor component of the Harbor Development Guide. There were six tasks for the East harbor expansion project. The first three tasks, including a 10% contingency, total $355,571 and would be paid for with grant funds and out of the harbor fund. A long discussion ensued on the benefits of wood vs. cement floats. After much public process years ago, Beckham was pleased with the concrete floats. Maintenance, repair and longevity all pointed to concrete. He was aware of the complaints but they had so far worn well and been maintenance free. Beckham stated his crew was learning how best to maintain them for snow and ice. More discussion ensued on the tasks. Each phase would be 7 -9% of the total. Dunham noted tasks 1 through 3 and 4 through 6 did not appear equal and sole sourcing for $600,000 made him nervous. Beckham stated using the development guide, there would be more design meetings and public hearings during those tasks. Motion (Dunham/Shafer) Postpone to October 27 to have a breakdown of tasks 4 -6 Motion to Postpone Passed Yes: Shafer, Valdatta, Dunham, Clark No: Orr, Amberg Resolution 2003 -106, amending the CY2003 General Fund Legal Budget by appropriating $40,000 from the General Fund Fund Balance for General Fund legal Costs for the remainder of the CY2003 Budget. Motion (Shafer /Clark) Approve Resolution 2003 -106 City of Seward, Alaska City Council Minutes October 13, 2003 Volume 36, Page 267 Some felt the fees were extremely high and the City needed to get control of them. Valdatta would not go higher than this. Motion passed Unanimous Resolution 2003 -107, authorizing the City Manager to appropriate $2,600 to the Centennial account for 2003 expenses. Motion (Dunham/Shafer) Motion Passed Approve Resolution 2003 -107 Unanimous Other New Business The October 7, 2003 regular election results were certified. Discussion of the Natural Gas Line in Seward. Council authorized distribution of a letter of support to be a waterfront terminal if natural gas came to the Kenai Peninsula. Discussion of the Gateway sidewalk lease agreement, discussion and instruction to Clerk, whether to consider and support Senate Concurrent Resolution 12, Borough Incorporation: Unorganized Areas, and discussing a citywide computer system progress and future plans was all unfinished business to be re- scheduled. Informational items and reports (No action required) Revised budget calendar. Appreciation certificate presented to the City by the Seward Centennial Committee. An informational list of past voter turnout numbers during annual City Elections. Seward Centennial Report for September 2003 by Sandy Wassilie. Council comments Valdatta appreciated the support to write a letter on the natural gas project. Dunham commented an important person; Mattie Weimar had just passed away, and thanked Dale Lindsey and Kristi Larson for their efforts in saving the recording office. City of Seward, Alaska October 13, 2003 City Council Minutes Volume 36 Page 268 Orr stated this would be his last meeting and thanked the public and everyone who supported him during the last 6 years. It had been a great experience to serve and he had enjoyed it immensely. Clark also thanked everyone for their support. He congratulated the new members and stated it had been a pleasure to participate in this capacity. Citizens' comments - None Council and administration response to citizens' comments - None After #13, go into executive session for City Manager evaluation. Motion to Postpone (Dunham/Shafer) Go into executive session for City Manager evaluation Motion Passed Adjournment The meeting was adjourned at 11:00 pm. J n Lewis Clerk Unanimous Stu Clark Mayor (City Seal) .aa�1 110111c � p a �v or a3:: >J ?i r� J . N • � v .• FINAL CERTIFICATE OF RESULTS FOR THE REGULAR MUNICIPAL ELECTION HELD OCTOBER 7 2003 The City Canvass Board has completed their review of all absentee and questioned ballots of the Regular Municipal Election held October 7, 2003. Their totals are: Report of Absentee and Questioned Ballots Absentee ballots voted 52 Questioned ballots voted 7 Personal Representative ballots voted 8 Total Voted 67 Reiected Not registered, registered too late 6 or registered out of City _ Form not completed properly Signed /witnessed after election day Total Rejected 6 Counted Absentee 51 Questioned 2 Personal Representative 8 Total Counted 61 The Election Day results, after canvassing are as follows: Mayoral Seat Election Day Votes After Canvass Votes Total Votes David Brossow 217 26 243 Walter Christolear 46 3 49 Stu Clark 103 19 122 Tim McDonald 107 13 120 Write Ins 5 0 5 136 Three Two -year Council Seats Election Dav Votes After Canvass Votes Tntnl Votes Steven Schafer 192 20 212 Robert Valdatta 313 45 358 Kevin Clark 225 26 251 Nathan Orr 188 24 212 Linda Amberg 322 38 360 Write his 15 0 15 A total of 548 people voted at this election. Upon completion of the canvass, it is our opinion that the attached summary of election returns compiled above, accurately reflect the final totals for the Regular City Election held October 7, 2003. Dated this 9th d of October, 2003. i 137 City of Seward City Council Minutes October 27 2003 Volume 36, Pam Call to order The October 27, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Stu Clark. Opening ceremony Doreen Valadez led the pledge of allegiance to the flag. Newly elected council members Linda Amber, Robert Valdatta, Kevin Clark and Mayor David Brossow were sworn in and seated. Roll call There were present: Dave Brossow presiding, and Margaret Branson Kevin Clark Linda Amberg Bob Valdatta comprising a quorum of the Council; and Phil Shealy, City Manager Jean Lewis, City Clerk Erin Leaders, Assistant City Clerk Absent - Vanta Shafer Willard Dunham Special orders, presentations and reports Proclamations and Awards A plaque was presented to Stu Clark for Excellent Leadership and Dedicated Service on the Seward City Council Serving the People of Seward From October 1999 to November 1999 as Vice Mayor, November 1999 to October 2001 as Council Member, and February 2003 to October 2003 as Mayor. Borough Assembly Report. Borough Assembly Representative Ron Long reported State and Federal Legislative priorities were discussed on October 14, 2003. The Borough approved a contract for the Arctic Winter Games Host Society, which is a separate entity from the borough and will be responsible for conducting the games and securing the funding. A resolution was passed encouraging the cruise ship industry to serve wild Alaska Salmon while ships cruise the nearby coastal waters of Alaska. The borough introduced an ordinance to accept and appropriate approximately $57,000 to the Bear Creek Fire Service area for equipment and training, the final hearing will be held November 18, 2003. November 18, 2003 will also be a hearing on an ordinance City of Seward City Council Minutes October 27, 2003 Volume 36 Pam to look at selling, at less than fair market value, some 23 acres in the Cooper Landing area for a senior housing complex. October 29, 2003 the borough will introduce an ordinance permitting boats used for primary residence to be eligible for the senior property tax exemption, there will be a hearing December 16, 2003 for further discussion on the subject. In response to Valdatta, Long stated a large part of the initial dollars the borough received in 2001 -2002 for beetle kill was spent on establishing the frame work for the program to operate and very little for cutting trees. City Manager's Report. City Manager Phil Shealy stated the Corps of Engineers harbor project had been postponed. The bid opening was delayed until November 19"' to give attorneys enough time to certify whether the City had sufficient interest in the 1.9 acres of land that council had approved a lease to at the last council meeting. The City and Corps will proceed with open bids once the 30 -day period expires. He gave a short announcement noting the time and place of upcoming work sessions and public hearings. In response to Amberg, Shealy gave an update on the Forest Acres Waterline project. He reported the City had received a DEC extension allowing for construction next spring and that all contract obligations have been met at this point. There will be a subdivision agreement consummated; the Plat recorded with the borough, final design completed for alternative 3 and construction is anticipated to begin in the spring. The preliminary Platt will go to the planning commission in December. Branson noted the council orientation packet lacked detail regarding the explanation of the various City Departments and directed City Manager Phil Shealy to have more information provided on each department before the next budget hearing. Branson specifically requested a list of job positions and equipment allocated for each department. In response to Branson, City Clerk Jean Lewis stated the Clerk's office was solely responsible for creating the council orientation packet so she would be sure to keep that request in mind for next year. City Attorney's Report - None Other Reports, Announcements and Presentations - None Citizens' comments on any subject except those items scheduled for public hearing. Doreen Lorenz, resident, spoke in support of Resolution 2003 -112 on behalf of the Historic Preservation Commission. Stu Clark, resident, Clark reported on the Federal Occupational Safety and Health Commission luncheon he had attended. He felt the public should be aware that Telalaska was awarded a merit for their participation in this program and noted that Telalaska is the only company in Alaska that has two sites operating under this safety program. Clark spoke in favor of Senate Resolution 12 and Resolution 2003 -113. City of Seward City Council Minutes October 27 2003 Volume 36, Page 271 Tim McDonald, Mile 2 Nash Road informed the public he found about 7000 feet of wire at the dump that he felt the City may be responsible for dumping. Tim stated there appeared to be $10- $12,000 of used ground wire from utility poles that he believed could have been sold instead of dumped. Jim Pruitt, 2506 Maple Street stated he was under the impression the only change in his lease with the City was to the land description, recording the document, and his banks request to change the assignment language. Pruitt admitted he did not read the revised lease before he signed it because he did not think any other changes had been made since the original lease was signed. It was not until later when he compared the original lease with the City's copy of the lease that he found he was required to move a utility and build a sidewalk. Approval of agenda and consent agenda Motion (Branson /Amberg) Approve the agenda and consent agenda Motion passed Unanimous The Clerk read the following approved consent agenda items: Non - objection to the renewal of a liquor license for Oriental Garden Restaurant. Public hearings Ordinances for Public Hearing and Enactment Ordinance 2003 -08, amending Seward City Code Table 15.10.225. Land Uses, to add Mobile Medical Units as a permitted /conditional use in the Institutional Zoning District. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. Motion (Branson/Valdatta) Enact Ordinance 2003 -08 Shealy stated the administration had suggested council amend the proposed ordinance and allow CT scan units to be permitted as an outright use in the institutional zoning district. Shealy noted the ordinance on Page 7 of the council packet was recommended by Planning and Zoning and the ordinance on page 10 was proposed by the administration. The administration suggested council allow CT scan units be allowed for outright use. Stu Clark, Resident, Mr. Clark read the definition of a mobile medical unit to provide a platform for discussion. Discussion ensued to amend the proposed ordinance on page 4 by adopting the amended ordinance as proposed by the administration on page 10 of the council packet. Valdatta and Brossow expressed their support for the CT scan unit. Motion (Branson /Amberg) Enact Amended Ordinance 2003 -08 City of Seward City Council Minutes October 27, 2003 Volume 36 Page 272 Clark clarified the amendment under discussion was to change the ordinance introduced on page 4 to the proposed ordinance on page 10. Council agreed that was their intent. Motion passed Unanimous Resolutions requiring Public Hearing Resolution 2003 -108, terminating leases RE -67 -038 and RE -84 -037 and authorizing the City Manager to enter into a new lease agreement with Juris Mindenbergs for Lot 3B, Block 1, Marina Subdivision. Notice of public hearing being posted and published as required bylaw was noted and the public hearing was opened. Ron Hewitt, 33048 Stoney Creek, spoke in support of Resolution 2003 -108 on behalf ofthe Breeze Inn. He would like to see some lot lines vacated to allow for expansion of the facility to the North. He noted an expansion and replatt would provide the corner of North Harbor and 3` Avenue with nice curb appeal and a much nicer building there to enhance the harbor area. In response to Valdatta, Harbor Master Jim Beckham clarified that the harbor manages about 42 leases in the harbor area. Motion (Branson/Valdatta) Approve Resolution 2003 -108 Shealy stated the intent here was to combine two existing leases into one lease in order to obtain favorable financing for an expansion in the area. The Lessee is current on all fees that are due to the City, an appraisal is not necessary at this time because there was an appraisal done in 2000 and there will be another appraisal in 2005. Administration recommended council approve the Resolution 2003 -108 terminating the existing leases and authorizing a new lease combining the lots into a new one. Harbor Master Jim Beckham stated the plans he looked at had no connections between the East and the West buildings and all easements and right of ways will have to remain open. Branson stated we should look at selling some of these leases, possibly all of the leases down in the boat harbor. Motion Passed Unfinished business Unanimous Resolution 2003 -103, authorizing the City Manager to enter into agreement with Tryck Nyman Hayes, Incorporated (TNH) for preliminary engineering services for the East Harbor Expansion Project for an amount not to exceed $355,571. Motion (Valdatta /Sbafer) Approve Resolution 2003 -103 (from previous 10/13 meeting) City of Seward City Council Minutes October 27, 2003 Volume 36, Pam Valdatta stated he would like to postpone due to lack of information he had requested during discussion on this subject at the October 13, 2003 council meeting. Shealy reported the estimate for phase 4, 5, & 6 is around $200,000 dollars. He reminded council that the City will need to engage in the design stage and move the process forward before the question of simulation and wood floats vs. concrete can be seriously answered. Amberg concurred with Shealy that there was no need to postpone this resolution because discussion on the specifics will take place after the design stage. Harbor master Jim Beckham stated there was a significant public involvement process 3 years ago, where a committee was chosen to discuss wood vs. concrete floats. The harbor had made a decision to go with the concept in the planning and development guide, continuing on with the monolithic concrete float, which has created no problems for the harbor in maintenance and repair. The harbor is not planning or budgeting to go back and revisit the issue of wood vs. concrete floats. Motion Passed Yes: Branson, Clark, Amberg, Brossow No: Valdatta Recessed 8:30 pm Reconvened 8:40 pm Discussion and instruction to Clerk whether to send a letter of support or resolution recommending passage of Senate Concurrent Resolution 12 (SCR 12). Motion (Amberg/Valdatta) Direct Clerk to send a letter of support recommending passage of SCR 12 Shealy stated SCR 12 initiates an orderly and public process to identify regions of our state with financial administrative capacity to help operate and support their local public school system. The proposal was also designed to assess whether there is the necessary wealth to sustain a borough government in these areas. Mr. Shealy asked council to consider SCR 12 favorably. Motion passed Unanimous Discussion of the gateway sidewalk lease agreement Shealy stated Mr. Pruitt had contacted a contractor last summer, for a quote to construct the sidewalk as required by his lease agreement with the City, and received a cost estimate of $30,000. The administration asked council to review an outline of options, described on page 83 of the council packet, and to give them direction regarding what option they would like brought back to council at the next meeting for formal action. Discussion ensued regarding the necessity of constructing a sidewalk at the location specified in the lease agreement between Pruitt and the City. City of Seward City Council Minutes October 27. 2003 Volume 36, Page 274 Amberg stated she would like to see a time frame put on how long lease discussions take place between Pruitt and the City. She would like the administration to come back to the next council meeting with some suggestions on a resolution and is adamantly opposed to the option of the City constructing a walk or a permanent barrier. Clark clarified terminating the whole lease in 30 days would mean the gas station, restaurant and everything would no longer be in Mr. Pruitt's name, not just the portion of the lease as it pertains to the 10 feet. Branson stated she had constructed a sidewalk in front of her business almost the same length as the sidewalk the City has required Pruitt to construct, and she certainly did not pay $30,000.00 for it. New business Resolution 2003 -109, accepting FY 2003 State Homeland Security Grant of $700,154.00 and establishing a grant fund 651- 6513 -XXXX Motion (Branson / Amberg) Approve Resolution 2003 -109 Shealy stated the Department of homeland security grant was awarded to replace the current dispatch equipment that has aged at an alarming rate and is near failure. The grant was awarded with no cash or in kind match on the City's part and the administration recommended approval of Resolution 2003 -109. In response to Valdatta, Fire Chief Dave Squires clarified the grant money would be for the actual equipment to include 4 radios and equipment estimated at $598,226.00. The borough made a typo error that cut that dollar amount to $593,425. Fire Chief Dave Squires stated the Borough did not notify the City until the last minute about this grant, leaving the City one week to put it together. The grant would not have been possible with out the work of Deputy Chief Austin and Jennifer Austin, and Squires felt the community should thank them for their efforts. Motion passed Unanimous Resolution 2003 -110, authorizing the City Manager to enter into a contract for construction of Phase II, an 8' x 16' building with Swenson Construction for an amount not to exceed $12,541.00 to house emergency radio communications equipment with council approval to use city code section 6.10.130 purchasing, where competitive bid proposals are not in the public interest. Motion (Branson/Valdatta) Approve Resolution 2003 -110 Shealy stated the administration has requested council's approval for Phase II to accept a proposal from a local contractor for construction of the basic building that will house the radio communication equipment. Phase I was the recently installed concrete slab; Phase II would put the City of Seward City Council Minutes October 27, 2003 Volume 36, Page 275 building with out any electrical services on that foundation. The administration requested council permit them to proceed without going through a formal bid process due to the weather and a need for a building to house the equipment once it arrives. Local contractors with City business licenses were contacted to bid on this project, three proposals were submitted and council recommended Swenson be awarded the contract per their proposal of $12,541.00 for the building. hi response to Clark, Fire Chief Dave Squires confirmed that all contractors were personally contacted by him with the same information before their proposals were submitted and reviewed for selection. Motion passed Unanimous Resolution 2003 -111, authorizing the City Manager to enter into a permit agreement with GCI Communication Corp. for purposes of laying fiber optic cables and related improvements across land owned by the City of Seward. Motion (BransonNaldatta) Approve Resolution 2003 -111 Shealy stated this cable is to provide redundancy to the existing submarine cable system. The document had been prepared as a permit rather than an easement to eliminate possible concerns about conflicting charter or ordinance provisions relating to the grant of easement. The permit area is approximately %2 acre off Monroe Street and would run from the ocean to a previously approved manhole as part of the first phase of the cable lying in the system right of way. The term of lease would be 25 years with a fee negotiated to be a lump sum payment of $75,000.00. GCI had agreed to cover all legal fees, which are estimated to be about $7,000.00. GCI previously paid the City $10,000 for use of the right of way for a total of $92,000.00. The lease amount compares favorably to both the existing AT &T lease at the head of the bay for $9600.00 and the money the City pays the railroad for the use of 1.9 acres as part of the small boat harbor. Shealy thanked GCI for their cooperation in negotiating this project and recommended council approve Resolution 2003 -111. Valdatta stated GCI did neat work crossing the highway. Motion passed Unanimous Resolution 2003 -112, authorizing the City Manager to submit an application for a Historic Preservation Fund Grant FY04 to the State of Alaska, Department of Natural Resources for a total amount of $33,333 with the city providing matching funds in the amount of $12,000 in order to update the 1996 Seward Historic Preservation Plan. Motion (Valdatta /Branson) Approve Resolution 2003 -112 Shealy stated although the staff was aware of budget limitations they wanted to remind council at this point they are only applying for the grant. If approved for the grant in August, the administration would address the issue of finding money to provide the required match of $12,000. The administration urged council to move ahead and authorize submitting the application for the grant. City of Seward City Council Minutes October 27. 2003 Volume 36, Pam Motion passed Unanimous Resolution 2003 -113, supporting legislation mandating that fiscal notes considering impact on local taxpayers be required for all State of Alaska legislation and administrative actions that could have economic impacts on school districts and local governments. Motion (Branson / Amberg) Approve Resolution 2003 -113 Shealy stated the Alaska Municipal League (AML) recommended council's approval of this resolution requiring the state to provide fiscal notes to both state projects and projects effecting local government. The AML reminded the administration municipal fiscal note provisions are very advantageous to monitor activities going on in Juneau, and they highly recommended the City adopt a resolution supporting requirements of fiscal notes for proposed state legislation impacting local tax payers. Motion passed Other New Business Items Unanimous Elect the Vice -Mayor and appoint council liaisons to the Planning and Zoning Commission and the Kenai Peninsula Borough Economic Development District. Amberg nominated Vanta Shafer for Vice Mayor. Ballot votes were cast and City Clerk Jean Lewis announced Vanta Shafer was unanimously voted as Vice Mayor. Brossow elected and appointed Margaret Branson as liaison to the Planning and Zoning Commission; there was no objection from council. Brossow nominated and appointed Willard Dunham to the Kenai Peninsula Borough Economic Development District. Valdatta stated he would like to have volunteered himself for the job and that he hoped Dunham did not drop the ball. City Clerk Jean Lewis pointed out that the person appointed to the Kenai Peninsula Borough Economic Development District is also the liaison for the Port and Commerce Advisory Board. Informational items and reports (No action required) Council comments Clark stated he would do the best he could and requested the City Clerk put colored tabs in between the various sections of the council packet or colored paper°between each agenda item. Valdatta stated he would like to see the $92,000.00 from the lease with GCI put into the pavilions instead of paying for the lease in the Harbor. Branson congratulated all the new members of council and council members that were re- elected. City of Seward City Council Minutes October 27. 2003 Volume 36 Page 277 Brossow thanked everyone for their support during the election, he congratulated council member Clark for winning the election and Valdatta and Amberg for their re- election. Amberg - no comment Citizens' comments Stu Clark, resident, thanked council for the plaque and gavel. He congratulated the Mayor, council incumbents that were re- elected and new council members elected. Clark stated he enjoyed his service to the community and he encouraged everyone in the community to participate in the affairs of the community. Council and administration response to citizens' comments Valdatta thanked Mr. Clark for his service as Mayor and asked him not to be a stranger. Brossow requested that former Mayor Stu Clark be present for the City Managers evaluation, the City Council and City Manager Shealy concurred. Motion (Branson / Amberg) Go into Executive Session for City Manager Evaluation Motion Passed Council recessed at 9:30 pm Unanimous Council resumed at 9:35 pm for executive session for the City Manager evaluation. Council came out of executive session at 9:49 pm. Adjournment The meeting was adjourned at 9:50 pm. Jea Lewi Cit Clerk � IIer (City Seal) d` �' �•.: °p, David Brossow Mayor City of Seward City Council Minutes November 3. 2003 Volume 36, Page 279 Call to order The November 3, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor David Brossow. Opening ceremony led the pledge of allegiance to the flag. Roll call There were present: Dave Brossow presiding, and Margaret Branson Kevin Clark Bob Valdatta Linda Amberg comprising a quorum of the Council; and Phil Shealy, City Manager Cheryl Brooking, City Attorney Jean Lewis, City Clerk Erin Leaders, Assistant City Clerk Absent - Willard Dunham Vanta Shafer Special orders, presentations and reports Proclamations and Awards A gold pan was presented to Nathan Orr for excellent leadership and dedicated service on the Seward City Council, serving the people of Seward from October 1997 to October 2003. No one appeared to accept the gold pan, but the inscription was read out loud. Borough Assembly Report. Borough Assembly Representative Ron Long was not present. City Manager's Report. City Manager Phil Shealy reminded council and public the borough would be accepting applications for the newly formed Seward Bear Creek Flood Service Area Board until 5:00 pm on November 4 He also gave a brief update on the scheduled times and places for upcoming budget work sessions and budget public hearings. City Attorney Report presented by City Attorney Cheryl Brooking, for the period of September 21 st through October 20 2003. She reported they assisted with and reviewed resolutions and proposed ordinances, addressed personnel and collective bargaining issues, dealt with staff on City of Seward City Council Minutes November 3, 2003 Volume 36 Page 280 administrative matters, easements, right of way permits and contract issues, worked with finance director and the clerk on issuing refunding bonds. Cheryl stated they had also worked with the city manager regarding the GCI permits for fiber optic cables, zoning ordinance potential amendments and enforcement and proposed encroachment permit. They have also been working with the Harbor Master in negotiating the final terms of the lease with the railroad along with other leases and amendments, issues related to the Telecommunications Act and proposed telecommunications of the harbor. Other Reports, Announcements and Presentations Fiscal budget overview presented by Finance Director, Kristin Erchinger. She gave a power point presentation on the 2004 Fiscal Overview of the City's revenues and expenditures for the past 10 years. In response to a number of questions from council member Valdatta, Erchinger stated the budget did not propose any discriminatory fees for people inside the city limits vs. outside. She explained the City had tried that once in the past with the Parks and Recreation fees and they were boycotted by people both inside and outside of the city limits who refused to come to the City's programs because they felt the City was causing division among the broader community. As a result the FY2004 budget did not include any distinction in fees between inside and outside of the city limits. In further response to Valdatta, Erchinger explained an increase in sales tax would have increased the cost to the visitor because they would be paying not only the bed tax but also the sales tax. This would result in a sales tax outside of the city that was 8% cheaper and it was understood by the administration that council did not feel comfortable with potentially driving people to go outside of the city due to lower taxes. In closing response to Valdatta, Erchinger clarified the City had an agreement with the Sealife Center that they would pay PILT as though they were paying sales tax, even though it is not a sales tax. Erchinger stated she would check into whether or not the Sealife Center had in fact increased the amount they are paying the City based on the recent increase in sales tax. Citizens' comments on any subject except those items scheduled for public hearing. No one appeared to address the council. Approval of agenda Motion (Branson /Amberg) Approval of the agenda Motion passed Unanimous Public hearings Resolutions requiring Public Hearing City of Seward City Council Minutes November 3, 2003 Volume 36, Pam Resolution 2003 -114, authorizing the City Manager to negotiate and accept on behalf of the City of Seward, fee title to certain tide and submerged lands in Tract C, Section 10, Township 1 South, Range 1 West, Seward Meridian, containing approximately 6.27 acres, from the State of Alaska Department of Natural Resources. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Motion (Branson/Valdatta) Approve Resolution 2003 -114 Shealy stated The Alaska Municipal Lands Entitlement of 1978 provided for the transfer of 565 acres to the City of Seward. Resolution 97 -036 selected land known as Tract B located within the City's waterfront park area containing 6.27 acres as part of the City's entitlement and the state has now provided a patent conveying the land to the City. The only cost to the City would be the recording fees so the administration recommended the city council approve Resolution 2003 -114 accepting title to this land. The land is located off Monroe Street and there are plans to run a GCI cable through a portion of that property. Motion passed Unanimous Unfinished business - None New business Resolution 2003 -115, authorizing the City Manager to enter into an encroachment permit agreement with Providence Seward Medical Center for the purpose of placing the new mobile CT scan unit in the most cost effective and efficient location for use by the hospital. Motion (Branson /Amberg) Approve Resolution 2003 -115 Shealy stated providence had received a grant from the Denali Commission for purchase of a mobile CT scan unit. A mobile scan unit would require the hospital to obtain an encroachment pen because the unit would extend into the City's right of way by a few feet. The proposed location is currently being used as a parking area, however, parked vehicles in this area extend farther out into the right of way than the mobile unit would. There would be a $50.00 fee to issue the encroachment permit plus recording fees. The staffrecommended council approve Resolution 2003- 115. Discussion ensued on the proposed location for the CT scan unit and who would be responsible for paying the permit and recording fees. The Rules were suspended allowing Jim Sefton Acting Administrator for the Seward Hospital to speak regarding the placement of the CT scan unit. In response to Valdatta, Jim Sefton stated there would be a sidewalk built to the steps of the CT scan itself and heating the sidewalk would be a possibility. City of Seward City Council Minutes November 3, 2003 Volume 36 Pam 282 Lynn Hohl, Resident stated her concern on the proposed location for the scan unit. She pointed out you could not get to the right of way with out a set back and set backs are not allowed in city code. In response to Lynn Hohl, Shealy stated a trailer is not a structure and the administration expects the unit may need to be moved. In terms of set back, the administration had proposed the encroachment permit to allow for the CT scan unit to be accommodated with an encroachment permit. Motion passed Unanimous Informational items and reports — None Council comments Branson requested the city manager research and report on how many acres from the Alaska Municipal Lands Entitlement of 1978 were still available for transfer to the City of Seward. Amberg — No comment Clark — No comment Valdatta — informed the public that a group interested in economic development would be meeting at Legends Wednesday November 5, 2003 at 8:30 a.m. Bill Popp would be a guest speaker regarding the acquisition of Natural Gas for Seward distribution. Brossow — no comment Citizens' comments Lynn Hohl ,Resident, stated the zoning code defines a trailer as a structure on wheels. She provided council with a letter regarding Resolution 2003 -115. Lynn informed the council she did not approve of the time the public was allowed to address council and would like the council rules to be amended allowing more frequent opportunity for public to speak during a meeting. Council and administration response to citizens' comments Brossow — thanked Lynn Hohl for her opinion on the time allowed for public comment, he also thanked the administration for their work on bringing the CT scan unit to Seward. City of Seward City Council Minutes November 3, 2003 Volume 36 Paize 283 Adjournment The meeting was adjourned at 8:51 pm. Jea Lewis ��te�ere�is City Clerk C1 r #®sa (City Seal"rA�e'`;'�P ®Few mod° ® ®�a s - d a ,.- Q o o� 1118 ,�'.�`,o -� or - V � h '"at�`354a a � David Brossow Mayor City of Seward, Alaska November 24, 2003 Call to order City Council Minutes Volume 36, Paze 284 The November 24, 2003, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor David Brossow. Opening ceremony Chief Tom Clemons led the pledge of allegiance to the flag. Roll call There were present: Dave Brossow presiding, and Margaret Branson Willard Dunham Vanta Shafer Linda Amberg Kevin Clark Bob Valdatta comprising a quorum of the Council; and Phil Shealy, City Manager Jean Lewis, City Clerk Erin Leaders, Assistant City Clerk Absent — None Special orders, presentations and reports Proclamations and Awards The Esther Billman Award of Excellence, awarded by the Alaska Historical Society, was presented to the Seward Centennial Committee and Seward Historic Preservation Commission for outstanding undertaking in promoting and preserving Alaska history for their Seward Centennial Programs. Borough Assembly Report. Borough Assembly Representative Ron Long had attended the AML conference in Nome and was on the by -laws review committee. The Assembly was working on the legislative priority list. Feedback from federal and state legislators indicated the priority book was too big, so members would trim it down and try something new. Long asked that all incorporated cities within the borough limit their requests to two pages, and unincorporated communities within the borough limit their request to two projects. Service areas would be submitting their list separately. There would also be a capital projects only book. There would be public meetings held on the east side of the Peninsula on December 6. City of Seward, Alaska City Council Minutes November 24, 2003 Volume 36, Page 285 In other Assembly news, $58,000 of FEMA money was accepted and appropriated for the Bear Creek Fire Service area for equipment and training. Long stated the remaining bridge sections were purchased from out the road, and possible uses were Spruce Creek, and Old Exit Glacier Road. Adopting the transportation plan as the comp plan was scheduled for December 16. He noted legal questions on borough authority to gift land was being worked on, so the sale of land for senior housing in Cooper Landing was postponed. A special meeting would be held Tuesday on the appeal of broadcasting assembly meetings. Long informed that the Borough approved flood service area board members, Blaine Bardarson, Mark Beals, Kerry Martin, and Dave Squires for inside the city limits, and Dave Hayes, Tina McLean, and Peter Simon for the outside areas. In response to Valdatta, Long stated the Assembly had dealt with two measures concerning groundfish, which attempted to hold on to the existing market. City Manager's Report. City Manager Phil Shealy stated there was a laydown substitute on Resolution 2003 -145 which added the wording to appropriate the money. The Corps had extended the bid opening date on the harbor expansion to December 4. The cost estimators had revised their dollar range for the anticipated award amount for the project from 1 -5 million to 5 -10 million. This gave prospective bidders time to incorporate that into their bid amount. In response to a question by Shafer on the money owed to the Alaska Railroad, Shealy recommended initial payment be $11,000. Once the contractor was known, the City could decide whether to pay it off in gravel or pay the dollar amount. He felt the first installment due should be cash until other matters were sorted out, and the remaining amount possibly adjusted later. Other Reports, Announcements and Presentations - None Citizens' comments on any subject except those items scheduled for public hearing. Stu Clark, reported Commissioner Joel Gilbertson of the Alaska Dept. of Health and Social Services met with eight agencies while in Seward recently, to review the ongoing efforts to increase cooperation between these groups, and talk about the combined usage of our health and social services facilities. He visited at the city's request and toured the facilities. It was anticipated that lack of funding from the state would require a major re- alignment of health care which could adversely affect these agencies. Clark stressed the cost for replacement of Wesley Care Facility would need to be factored into Medicare reimbursement rates in order for co- located facilities to be financially viable. Rules were suspended to allow more comment. Commissioner Gilbertson was also thanked for his extension of exceptional relief payments last spring which allowed the city to continue to seek an agreement for co- location with Providence hospital and Wesley Care Center. He expressed that a certificate of need, and design and construction funds needed to be found now. City of Seward, Alaska City Council Minutes November 24, 2003 Volume 36, Page 286 Sandy Wassilie, spoke on behalf of the School Board for this district and gave a brief overview. The Board recently approved schematic design for the Seward Middle School, and enrollment projections for next year. She stated enrollment continued to go down, and the grade school would lose another teacher. Pupil to teacher ratio (PTR) would be held to a status quo. There was a shortfall of 5 million dollars for next year. Wassilie described discussions of closing and consolidating of schools, and stated their next step would be developing next year's budget. In response to Brossow, Wassilie would look into free federally funded programs for ROTC. Ron Long, had attended the fish expo representing the city, and stated it was a worthwhile trip. He stated many boat owners gave input and concerns, and the display that generated most interest was on the harbor expansion. He would present trip highlights to council at a later date. Stu Clark, strongly supported Resolution 128 which recommended amending the employment agreement with the city clerk. Approval of agenda and consent agenda Motion (Branson /Dunham) Approval of Agenda and Consent Agenda The following was pulled from the agenda by the City Manager. R eso l u ti on 209033 1903 au thorizing th eity ♦,. withdraw from _ p ar -tie-ipation in the manager- eonstFuetion of the "Southern » by notifying the other- par-tieipants in writing of ou intentions. Motion passed Unanimous The clerk read the following approved consent agenda items: Resolution 2003 -116, amending Rule 7, Rule 11, Rule 13, Rule 15, Rule 23, Rule 24, Rule 27, (b)(1), Rule 27 (11)(d), Rule 32(a), Rule 34(a), Rule 36(b), Rule 38, Rule 39, Rule 40, and Rule 42 of the City Council Rules of Procedures deleting gender specific wording. Resolution 2003 -117, amending the introduction page i paragraph 4, of the City Council Rules of Procedures to delete gender specific wording. Resolution 2003 -118, amending what is now Page 22, Section V #4 of the City Council Rules of Procedures to delete gender specific wording. Resolution 2003 -119, amending what is now page 25, Section VI under the heading "Due Process Checklist - Licenses and Permits" of the City Council Rules of Procedures to delete gender specific wording. City of Seward, Alaska City Council Minutes November 24, 2003 volume 36, Page 287 Sandy Wassilie, spoke on behalf of the School Board for this district and gave a brief overview. The Board recently approved schematic design for the Seward Middle School, and enrollment projections for next year. She stated enrollment continued to go down, and the grade school would lose another teacher. Pupil to teacher ratio (PTR) would be held to a status quo. There was a shortfall of 5 million dollars for next year. Wassilie described discussions of closing and consolidating of schools, and stated their next step would be developing next year's budget. In response to Brossow, Wassilie would look into free federally funded programs for ROTC. Ron Long, had attended the fish expo representing the city, and stated it was a worthwhile trip. He stated many boat owners gave input and concerns, and the display that generated most interest was on the harbor expansion. He would present trip highlights to council at a later date. Stu Clark, strongly supported Resolution 128 which recommended amending the employment agreement with the city clerk. Approval of agenda and consent agenda Motion (Branson/Dunham) Approval of Agenda and Consent Agenda The following was pulled from the agenda by the City Manager. Resolution 209 jj� ,� authorizing the eity manager- to withdraw from par-fleipation -H the eonstr-uetion of the "Southern inter-tie" by notifying the other- par-tieipants in wFiting of our intentions. Motion passed Unanimous The clerk read the following approved consent agenda items: Resolution 2003 -116, amending Rule 7, Rule 11, Rule 13, Rule 15, Rule 23, Rule 24, Rule 27, (b)(1), Rule 27 (11)(d), Rule 32(a), Rule 34(a), Rule 36(b), Rule 38, Rule 39, Rule 40, and Rule 42 of the City Council Rules of Procedures deleting gender specific wording. Resolution 2003 -117, amending the introduction page i paragraph 4, of the City Council Rules of Procedures to delete gender specific wording. Resolution 2003 -118, amending what is now Page 22, Section V #4 of the City Council Rules of Procedures to delete gender specific wording. Resolution 2003 -119, amend what is now page 25, Section VI under the heading G°Due Process Checklist- Licenses�imd Permits" of the City Council Rules of Procedures to delete gender specific wording. City of Seward, Alaska City Council Minutes November 24, 2003 Volume 36, Page 288 Resolution 2003 -120, amending what is now Page 27, Section VI #2 under the heading "Taking (Inverse Condemnation) Checklist" of the City Council Rules of Procedures to delete gender specific wording. Resolution 2003 -121, amending Page 28, Section VI #14 under the heading "General Ordinance Adoption Checklist" of the City Council Rules of Procedures to delete gender specific wording. Resolution 2003 -122, amending Rule 16 of the City Council Rules of Procedures relating to a change in the month that salary negotiations would take place for the City Clerk and City Manager. Resolution 2003 -123, amending Rule 9(a) and Rule 9(b) of the City Council Rules of Procedures relating to a change in the deadline for adding items to the City Council agenda. Resolution 2003 -124, amending Rule 8c of the City Council Rules of Procedures adding reference to the Seward Charter and Seward City Code regarding the deadline for delivering mail to council, city manager, newspaper and radio stations and deleting unnecessary verbiage. Resolution 2003 -125, amending Rule 20(b) (2) on Page 7 of the City Council Rules of Procedures adding a sentence and referencing Seward Charter 3.5 (L) regarding obligations of council member procedures. Resolution 2003 -126, amending Rule 32 (a) and Rule 32 (b) on Page 17 of the City Council Rules of Procedures deleting gender specific wording, adding verbiage regarding the effective date of emergency ordinances and adding reference to the Seward City Code. Resolution 2003 -127, amending Rule 37 of the City Council Rules of Procedures deleting gender specific wording and adding reference to Seward City Code. Non - objection to a liquor license renewal for Gateway Liquor & Food Mart. Non - objection to a liquor license renewal for Peking Restaurant. Non - objection to a liquor license renewal for Marina Restaurant. The October 13, October 27, and November 3 regular meeting minutes were approved. Public hearings Resolutions requiring Public Hearing Resolutions 2003 -129 throuEh 2003 -138 approving fiscal year 2004 budget consisting of the General fund, Enterprise Funds, the Motor Pool Fund, and the Capital Budget. City of Seward, Alaska City Council Minutes November 24, 2003 Volume 36, Page 289 Finance Director Kris Erchinger, highlighted the specific changes made to the budget after the budget work sessions. General fund changes were: ➢ Elimination of an increase in property tax to pay the annual SMIC debt. $280,000 would be provided from the Electric Enterprise Fund to pay the debt for this year. ➢ Senior citizen center would get $10,000 directly to them, with $5,000 included from the Parks & Recreation Department for janitorial contract help. ➢ The Planner position was added back in. ➢ Move V2 time Clerk position to MIS Department, increasing their half -time personnel to full - time. ➢ Reductions in insurance costs. ➢ Water and Sewer Enterprise Funds would be separated. Two reductions were made to expenditures. ➢ A footnote was corrected in the parking budget, but no financial changes. ➢ The grader was eliminated from the Motor Pool fund. Manager of Electric Utilities Dave Calvert, indicated the need for his request for an excavator be kept in the budget. He informed that the city had installed underground conductors in areas that were now being built up. These underground wires would eventually fail and need to be dug up and repaired. This excavator was needed to dig in areas that were too small to bring in backhoes. Calvert specified the equipment was always available to other city departments when not in use, and that this money would come out of the electric enterprise fund, not the general fund. Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. Tom Swann, stated if funds were not available, services needed to be cut or funds increased to the City. He wanted Council to find ways to cut services, but supported marketing to increase revenues. Swann supported an increase in funding to the Chamber of Commerce for a healthy future. Brent Whitmore, listed his concerns on a letter presented the week before. He wished the Council would consider his letter and review all departments. Pat Williams. A letter was read on her behalf. She felt it would be a mistake to eliminate the Planner position. Doug Capra, reiterated what Pat Williams said, and recommended Administration restore the Planner position. He thought that department needed additional help, not cuts. Capra felt that department was very important for planning issues in the future. Stu Clark, felt problems would not be solved by removing the Planner position. He thought the Community Development Department had been poorly managed and neglected. Clark wished an enforcement person be added to the staff for compliance of zoning codes. City of Seward, Alaska City Council Minutes November 24, 2003 Volume 36. Page 290 Rick Blythe, suggested the Chamber marketing amount be doubled. He thought the number was justifiable and strongly encouraged a significant increase. Tim McDonald, was sick and tired of administration cost overruns. He felt the FBI needed to investigate the millions of dollars he imagined were lost. McDonald believed criminal prosecution was a solution for department heads. Paul Kain, president of Seward Little League, supported funding for restroom cleaning and a portable pitching mound for the little League. John Paige, felt that our destination was wonderful, but felt money needed to be put into marketing. He supported allocation of funds to the Chamber. Louis Bencardino, supported marketing Seward and felt it was time to get it going again. Paul Carter, supported marketing in Seward, and requested Council fully fund the Chamber's request. Carol Griswold, thanked the city for the revision of the budget by keeping the Planner position. She wanted enforcement incorporated into someone's duties, and encouraged D.O.T to keep the elderberry trees along the roadways for a buffer. She thanked Erchinger for explaining all the documents in the budget. Ron Long, supported marketing and felt the status quo was not good enough anymore and more money was needed. Much discussion and opinions ensued on the budgetfrom Council and the importance ofmarketing. Council took a brief recess at 9:30 pm Council reconvened at 9:40 pm Other Public Hearing Items Resolution 2003 -140, approving the City of Seward's calendar year 2004 Federal Legislative Priorities (This resolution would be on the December 8 regular city council meetingfor adoption). Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. City Manager Phil Shealy had put this on as a public hearing item to solicit more public input before adoption on December 8. He had shown this priority list to the federal lobbyist. Branson felt there was too much listed. Dunham disagreed. He thought the waterline on the state list should be included on the federal list also. City of Seward, Alaska November 24, 2003 City Council Minutes Volume 36, Page 291 Resolution 2003 -141, approving the City of Seward's calendar year 2004 State Legislative Priorities (This resolution would be on the December 8 regular city council meetingforadoption). Notice of public hearing being posted and published as required by law was noted and the public hearing was opened. No one appeared to address the Council and the public hearing was closed. Shealy put this on as a public hearing item to solicit more public input before adoption on December 8. This list was not tailored by the state lobbyist as the federal one was. In response to Valdatta, Shealy stated he had discussed housing and expansion of the prison last week with the Commissioner. He stated no plans to expand any correctional institutions were in the budget for the upcoming year. Dunham felt AVTEC needed to be added to the federal list also, since they were now with Department of Labor. Unfinished business - None New business Resolution 2003 -128, amending the employment agreement with the City Clerk. Motion (Branson/Dunham) Approve Resolution 2003 -128 Shealy recommended this be adopted and mentioned the clerk position was a contract position that did not follow code procedure for merit increases. Motion passed Unanimous Resolution 2003 -139, appropriating $1,950 from the Miscellaneous Permit Revenue Account; to Public Works Department to cover the cost of transporting rock for erosion control as part of GCI's Fiber Optic Cable Project. Motion (Shafer /Dunham) Approve Resolution 2003 -139 Shealy stated this was an agreement with staff and GCI. The City expressed concern with future erosion replacement. An agreement was reached where the City would provide the rock, and GCI would cover. This money was taken from the $10,000 GCI paid earlier. Motion passed Unanimous Resolution 2003 -142, adopting an alternative allocation method for the FY2004 Shared Fisheries Business Tax Program, and certifying that this allocation method fairly represents the distribution of significant effects of fisheries business activity in the Cook Inlet Fisheries Management Area. Motion (Branson /Shafer) Approve Resolution 2003 -142 City of Seward, Alaska City Council Minutes November 24, 2003 volume 36, Page 292 Shealy notified the City had applied for funding every year to qualify for the State's Shared Fisheries Business Tax Program. The purpose of this program was to provide for a sharing of the state fish tax collected outside of municipal boundaries. The estimated allocation in FY 2004 was $2,600. Shealy stated the city was participating with other cities adopting the alternative method and recommended adoption of this resolution. Motion passed Unanimous Resolution 2003 -144, authorizing the City Manager to accept a grant in the amount of $4,000.00 from the Alaska Highway Safety Office for 2003/2004 Impaired Driving Sustained Enforcement and Blitz Campaign. Motion (Dunham/Shafer) Approve Resolution 2003 -144 Shealy stated the City was offered a grant for overtime for enforcement of impaired driving. This grant was fully funded by the state with no match, and was limited to overtime usage. Motion passed Unanimous Resolution 2003 -145, awarding a sole source contract in the amount not to exceed $596,556.00 to equip the Seward Emergency Communication Center with radio consoles and other equipment to replace and upgrade our current failing equipment, and to have the equipment to support both VHF Radio Frequency, and 800 MHZ Alaska Land Mobile Radio (ALMR) network digitally trunked operations. (laydown) Motion (Dunham/Shafer) Approve Resolution 2003 -145 Shealy stated Pro Corn was the authorized distributor in Alaska for Motorola. The award specified the equipment to be used. The city would benefit from the state discount, and recommended sole source to Pro Com Alaska. In response to Valdatta, Police Chief Tom Clemons stated the studywas in conjunction with the whole project. This was a statewide project by ALMR and this resolution addressed the Seward area only. Fire Chief David Squires stated which frequencies would be used had not been decided by the state as yet. Four frequencies would be used right away. Motion passed Unanimous Informational items and reports - None Council comments City of Seward, Alaska City Council Minutes November 24, 2003 Volume 36, Page 293 Valdatta wanted industrial marketing. He felt tourism marketing took care of itself, but wanted to sit down with groups and discuss bringing industrial marketing for 12 months out of the year. Dunham was thankful the Centennial Committee could be recognized. He reminded Council of the TYC annual blue ribbon pie festival Wednesday. Clark hoped the goal would be to get accurate information out to the public. He had not heard any negative feedback on the water and sewer rate increase, since the administration had done a good job of making the public aware of the necessity. Amberg felt the budget process was enlightening and thanked the public for their input and their participation. Shafer appreciated the input from the public, and wished all a Happy Thanksgiving. Brossow thanked the Alaska Historical Society for recognizing Seward with the Esther Billlman Award. He thanked the administration and department heads for all their work on the budget. He wished all a Happy Thanksgiving. Citizens' comments - None Council and administration response to citizens' comments- None Adjournment The meeting was adjourned at 10:18 p.m. Jeadixwis Cit� Clerk %0'1"'''1l��s� (City Seal) Its 1 .v w .. ..191 G J � beee David Brossow Mayor City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 294 Call to order The December 8, 2003 regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor David Brossow. Opening ceremony Police Chief Tom Clemons led the pledge of allegiance to the flag. Roll call There were present: David Brossow presiding, and Margaret Branson Linda Amberg Vanta Shafer Bob Valdatta Kevin Clark comprising a quorum of the Council; and Phil Shealy, City Manager Jean Lewis, City Clerk Cheryl Brooking, City Attorney Absent - Willard Dunham Proclamations and Awards. - None Borough Assembly Report. Borough Assembly Representative Ron Long stated the Borough had not met since he last spoke to Council. The next Assembly meeting would be December 16. He stated a series of meetings were held throughout the Borough in unincorporated areas to develop a capital priorities list for the coming year. Long advised public meetings were held in Seward, Moose Pass, Hope and Cooper Landing on Saturday December 6` discussing legislative priorities for the Borough. He thanked council members Branson, Clark and Valdatta for their attendance at that meeting. City Manager's Report. City Manager Phil Shealy stated the bid opening on the boat harbor expansion project was postponed until December 15. He advised the Airport Master Plan open house and presentation was scheduled for Wednesday, December 10` Senator Gary Stevens would be in Seward tomorrow at 11:00 a.m. to discuss legislative issues, and the final S.T.I.P. was published by the Department of Transportation (DOT). The 0 -8 mile road project for 19 million dollars would proceed during the summer of 2005. Shealy stated this allowed time for the city to pursue design and funding of the waterline to coincide with the road project, and was still hopeful lighting would be included in that project. He stated only minor amounts of money for improvements and upgrades at Mile 18 and beyond, was programmed in the FY 05/06 budget for preliminary studies. City of Seward, Alaska City Council Minutes December 8, 1003 Volume 36, Page 295 Shealy informed that discussion continued between the ARR and DOT on the Stoney Creek railroad crossing. This plan was changed due to budget cuts, so some portions were deleted and a trail was later proposed too close to the ROW, which was not acceptable to the Railroad. DOT and the Railroad were continuing to meet on revised proposals. Shealy reported the Schafers' had submitted a proposed plat in regards to the Gateway to Forest Acres Waterline. The plat required review by the Planning Commission, and completion of a subdivision agreement. Shealy stressed that if the subdivision agreement did not go to the Planning Commission soon, he would be forced to go back to Alternative #1. He notified that the Coast Guard Cutter Midget would be in town December 10 and open for tours December 11. Shealy stated he was told informally that health insurance premiums would be reduced. He recommended having a work session with APUIT when they were ready to go over in detail. In response to Amberg and Branson, Shealy expressed the plat should be submitted to the Planning Commission in Jan. or Feb. He stated Mr. Schafer needed the subdivision agreement before the commission could review and act on the plat. Initially the Schafer's were to have the recorded easement within 10 days. A subdivision agreement had not been signed yet. City Attorney Cheryl Brooking clarified that just the conveyance of title on the ROW, not the plat, was to be completed within 10 days. There had been some informal extensions on other matters. City Attorney Report. City Attorney Cheryl Brooking reported on the period from Oct. through Nov. 20, 2003. They assisted with resolutions, proposed ordinances, collective bargaining issues, easements, contract issues, enforcing ordinances and building code requirements. They also worked with staff on documentation for the harbor expansion and ARR submerged land lease, and continued to assist with various harbor related projects. Other Reports, Announcements and Presentations - None Citizens' comments on any item not scheduled for public hearing. Stu Clark, supported passage of the contract with Kent Dawson, and felt he had performed good service for the community. He also thought the federal lobbyist had done a good job and he had the pleasure of working with both in the past. Clark supported resolutions 03 -154 and 03 -155, and asked why the city engineer could not handle resolution 03 -151 himself. Clark also supported the purchase of the CT scanner and the water rate increase. Sandy Wassilie, noted the Centennial year was coming to a close. She supported placing the Woodlawn Cemetery on the Historic register. She stated there were two more events before year end. The flag exhibit opened Friday at the Sealife Center. This year was the 75` anniversary of the Alaska flag and the event was co- sponsored by the City and the Alaska Sealife Center. DJ Whitman, spoke on resolution 03 -156 amending the port and harbor tariff. He wanted this postponed in order to have a work session. He felt the Seward harbor was already the highest priced in Alaska, and wanted to bring people and the fishing community back into town. City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 296 Paul Carter, wanted to get the message out that Princess Tours wanted Holland out of Seward. He supported marketing and the Chamber. Carter supported having a work session on marketing, and felt the longer we waited, the more Seward had to lose. Ron Long, spoke on the Port and Harbor tariff. He was troubled this had not gone to the Port and Commerce Advisory Board first and thought it needed further attention before passage. Tim McDonald, was pleasantly surprised on the low bid on the RFP for the library. He had taken photos of the pavilions and felt he could have re -built them. McDonald urged council to look at past expenditures and streamline the waste of the past. Pat Marrs, supported the marketing funds for the Chamber. He needed ships in the winter to keep his business. He thought Seward should be marketed for year -round business. Marrs did not care if the rates in the Port and Harbor tariff increased for pleasure boats, but did not want it raised across the board for commercial vessels. Commercial business brought clients in. Approval of agenda and consent agenda Motion (Shafer /Amberg) Approve the agenda and consent agenda Council member Clark wanted his comments clarified in the November 24 meeting minutes. The following was added to the agenda: Schedule a work session on the harbor tariff. Motion Passed Unanimous The Clerk read the following approved consent agenda items: Ordinances for Introduction Ordinance 2003 -09, amending the Seward City Code 15.10.140, definitions to provide a definition for Mobile Medical Units. Resolution 2003 -147 authorizing a contract through December 31, 2004 with Alaska Newspapers, Inc. for Display Advertising in the Seward Phoenix Log at a rate of $7.53 per column inch, with a minimum of 35 column inches per week. Resolution 2003 -150 amending the Forward of the City Council Rules of Procedure to reflect the dates of recent amendments and to update the names of Mayor, Council and City Clerk's staff. The November 24 regular city council meeting minutes were approved. City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 297 Public Hearings A. Ordinances for Public Hearing and Enactment — None B. Resolutions requiring public hearing Resolutions 2003 -129 throueh 2003 -138, approving fiscal year 2004 budget consisting of the General fund, Enterprise Funds, the Motor Pool Fund, and the Capital Budget. Notice of the public hearing being posted and published as required by law was noted and the public hearing was opened. Stu Clark, reiterated his support for the water and sewer rate increases. Ron Long, wanted the city to invest in marketing. Since the city budget was built around property and sales tax, he felt the city should take an active role to increase the tax base. He also supported renewing the contract with Kent Dawson. Rick Blythe, appreciated that the council expressed specific marketing concerns at the last meeting. He stated his private sector business, the Sealife Center, spent $130,000 on marketing as their primarily advertising. He offered a challenge that if the city would add $50,000 to the Chamber marketing budget, he would contribute $25,000 to match in cooperative marketing. He would try to convince other businesses to step forward and join. Pat Marrs, Director of the Board of Tourism for CHU, stated major companies did put alot of money into marketing. He thought the challenge from Mr. Blythe was a great idea, an obligation, and money well spent. Unfinished business - None New Business Resolution 2003 -129, adopting the City General Fund Operating budget and setting the mill rate for calendar year 2004. Motion (Shafer /Amberg) Approve Resolution 2003 -129 Erchinger stated this budget was the same as proposed at the last council meeting. The mill rate remained the same at 3.12 mil. Council exchanged ideas for greater accountability of the marketing money. Clark wanted to change the designation from "contributions" to "marketing ", with the ultimate goal being to add money to the account. Shafer wanted a direct accounting of the money and thought it should be discussed in a work session. Branson suggested another line item for marketing be added to the Mayor and Council budget. Erchinger stated all options were possible. Erchinger recapped the general fund budget. City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 298 ➢ Council requested elimination of the proposed property tax increase. This resulted in a decrease in revenues of $296,000. ➢ $280,678 was transferred from the Electric Fund to the General Fund to cover the debt on the North SMIC dock. ➢ The contribution to the Senior Center was increased to $10,000 cash services, plus $5,000 in janitorial services. ➢ Reversed the proposed elimination of the Planner position. That position was kept. ➢ The % time position that was proposed to be added to the City Clerk Department was instead added to the MIS Department to better benefit the needs of the entire City. ➢ $6,000 for Hoben Park fountain maintenance was eliminated. ➢ Employee contribution to insurance was increased to recognize a savings in insurance payments. Erchinger felt there would be a $30,000 surplus in the General Fund at the end of the year. Valdatta recommended canceling all budget requests and go with the FY 03 budget. He was tired of tapping into the General Fund budget throughout the year, and wanted better accounting. Erchinger pointed out that the FY 04 budget proposed now, was lower than the FY 03 budget. Point of order was raised by Branson. Motion Passed Yes: Branson, Shafer, Amberg, Brossow No: Valdatta, Clark Recess taken at 8:35 pm. Council reconvened at 8:45 pm. Resolution 2003 -130, adopting the Parking Enterprise Fund budget for calendar year 2004. Motion (Branson / Amberg) Approve Resolution 2003 -130 Erchinger stated the preliminary budget projected a $178,000 cash balance in this account. Striping would occur this year after being postponed last year by the 4th Avenue road renovation project. The cost was estimated to be $64,000 for the striping. Motion Passed Unanimous City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 299 Resolution 2003 -131, adopting the Hospital Debt Service Fund budget for calendar year 2004. Motion (Branson /Shafer) Approve Resolution 2003 -131 Erchinger stated this fund had no changes in its financial information, but she had corrected a debt service schedule from the preliminary budget. She estimated the fund balance reserved for payments was expected to be $857,505. Erchinger reminded that this money was to pay for debt on the hospital bond, and to retire old PERS debt. The outstanding balance of this bond was at 5.98 million dollars. Motion Passed Unanimous Resolution 2003 -132, adopting the Motor Pool Internal Service Fund budget for calendar year 2004. Motion (Branson /Clark) Approve Resolution 2003 -132 Erchinger stated there was one change from the preliminary budget. That modification was a motor grader that had been expected to be bought with capital matching funds, but since the Governor eliminated the Municipal Capital Grant Program from his budget, that would not occur. This resulted in an increase in cash over and beyond the motor fund of $238,000. Motion Passed Unanimous Resolution 2003 -133, adopting the Water Enterprise Fund budget for calendar year 2004. Motion (Branson /Shafer) Approve Resolution 2003 -133 Erchinger reminded that the water and sewer fund was separated into two separate funds this year. Expenditures were reduced to produce a 0 balanced budget. Administration was recommending a 5% increase in fees this year, which resulted in a $30,000 increase to this fund. Erchinger advised the monthly charges for residential units would increase by $1.22 per month. Shafer agreed with Clark that a rate increase by 10% should maybe be supported, but wanted to wait because they were not sure how this would interfere with industrial rate payers. They wanted this brought up again next year because of needed infrastructure upgrades. Motion Passed Unanimous Resolution 2003 -134, adopting the Sewer Enterprise Fund budget for calendar year 2004. Motion (Branson /Shafer) Approve Resolution 2003 -134 Erchinger made one change from the preliminary budget. There was a typographic error City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 300 which increased expenditures by $4,500. After some infrastructure costs are paid, there would be a decrease in cash by about $20,000 at year end. A 5% increase was proposed which was an increase of $1.70 per month for a residential dwelling, resulting in about a $35,000 increase to this fund. Motion Passed Unanimous Resolution 2003 -135, adopting the Electric Enterprise Fund budget for calendar year 2004. Motion (Branson /Amberg) Approve Resolution 2003 -135 Erchinger stated the one major change in this fund from the preliminary budget, was the $280,678 transfer to the General Fund budget to cover the cost of debt service on the SMIC dock bond. Motion Passed Unanimous Resolution 2003 -136, adopting the Small Boat Harbor Enterprise Fund budget for calendar year 2004. Motion (Branson /Shafer) Approve Resolution 2003 -136 Erchinger stated this budget was estimated to have a $20,329 decrease at the end of the year with a whopping $450 cash balance at the end of 2004. She apologized that the rate increase on the Port and Harbor tariff was not brought up during the budget talks. She had the flu and just neglected to discuss whether council would entertain that increase. Erchinger reminded that PACAB introduced a resolution last year to allow annual amendments based upon the CPI. Although council denied this annual increase, they did pass an increase for that year only. Erchinger stated the budget to adopt now, did not have the 5% increase built into it. Motion Passed Unanimous Resolution 2003 -137, adopting the Seward Marine Industrial Center (SMIC) Enterprise Fund budget for calendar year 2004. Motion (Branson /Shafer) Approve Resolution 2003 -137 Erchinger stated there were no changes to the proposed budget. This fund would be balanced by taking $280,678 from the Electric Fund to pay the deficit and have a 0 cash balance at the end of the year. Motion Passed Unanimous Resolution 2003 -138, adopting the Capital Improvement Plan budget for calendar year 2004 and two subsequent calendar years. City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 301 Motion (Branson /Shafer) Approve Resolution 2003 -138 Erchinger stated the capital plan was the list of needs for the city. The vacuum truck was eliminated because it had already been bought. Motion Passed Unanimous Resolution 2003 -140, approving the City of Seward's calendar year 2004 Federal Legislative Priorities. (laydown version) Motion (Shafer /Clark) Approve Resolution 2003 -140 Shealy stated the lobbyist in Washington suggested some changes. ➢ Reduce the number on the project list from 15 to 10. ➢ Recommended library funds be increased to 3 million. ➢ Combine the 8 million in the Multi- Agency Facility and the 2.3 million for the downtown layout into one project, and increasing it to 11.5 million (Conference center included). ➢ Funding of breakwater wave barrier for $250,000. Work with Corps for a feasibility investigation. ➢ Made us aware the 2.8 million for SMIC needed an $800,000 match the city would have to come up with. ➢ The lobbyist thought the transit funding on the list would occur. ➢ Federal prison holding facility deleted. ➢ Add AVTEC project for 5.75 million for a maritime training facility. Valdatta emphasized the breakwater barrier had already been studied. Motion Passed Unanimous Resolution 2003 -141, approving the City of Seward's calendar year 2004 State Legislative Priorities. (laydown version) Motion (Shafer / Amberg) Approve Resolution 2003 -141 Shealy changed the order of the AVTEC funding request for deferred maintenance. He mentioned PACAB had approved a resolution to seek funding for the fire training facility which was added. Given the present climate of the administration in Juneau, Branson expressed her thoughts that the list was too big and unrealistic to send to the legislature. Brossow was sure they wanted a shorter list and requested one for the future. Motion Passed Yes: Amberg, Shafer, Clark, Valdatta, Brossow City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36 Page 302 No: Branson Resolution 2003 -146 authorizing the City Manager to consent to the Assignment of Lease Number 2000 -01 from Jack and Sheila Scoby dba Orca Enterprises to Chris Thayse dba Harbor Plaza. Motion (Shafer /Clark) Approve Resolution 2003 -146 Shealy stated the Scoby's wanted to sell and were current with all payments. He recommended assignment of the lease. Motion Passed Unanimous Resolution 2003 -148, approving Amendment 15 to the contract with Kent Dawson Company, Inc. for state lobbying services through December 31, 2004. Motion (Shafer /Amberg) Approve Resolution 2003 -148 Shealy informed that by passing the above budget, this would indicate council approved continuation of the above contract through December 2004. He recommended its approval. Motion Passed Unanimous Resolution 2003 -149 amending a contract with Robertson, Monagle & Eastaugh and Zane & Associates to extend the term for federal lobbying representation through December 31, 2004. Motion (Shafer /Clark) Approve Resolution 2003 -149 Shealy reported Seward began this contract in 1997 and had continued it ever since. The contract expired annually and he believed the lobbying services to be beneficial. The cost of $70,000 was approved in the above budget and he recommended extending the contract through December 2004. Shealy added there was no increase over last year. In response to questions, Shealy explained the Alaska Sealife Center also employed this firm, and between the two, received millions of dollars in funding. He did point out that some towns did not employ a lobbyist at all. Motion Passed Unanimous Resolution 2003 -151, authorizing the City Manager to Enter into a fully reimbursable agreement with CRW Engineering, LLC for a cost not to exceed $13,700 to perform engineering land design for the relocation of the City-owned 14" AC Waterline located between Resurrection Blvd. and Iron Drive which conflicts with the AKDOT/PF Seward Highway Improvement Project. City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36, Page 303 Motion (Branson /Shafer) Approve Resolution 2003 -151 Shealy passed out a drawing representing this waterline project. In response to earlier citizen comments, Shealy stated the city engineer could certainly design this project, but not as timely or cost effectively as hiring a contractor. To do this in- house, the city would have to purchase the computer software. The city did not have the computer software to interface with the DOT project, and felt it would take more time and money than the $13,700 requested. Shealy stated 100% of this cost would be reimbursed. Motion Passed Unanimous Resolution 2003 -152, authorizing the City Manager to approve an amendment to CRW's contract to provide engineering /design services, and appropriating an amount not to exceed $30,000 from the Gateway to Forest Acres Grant. Motion (Clark/Branson) Approve Resolution 2003 -152 Shealy stated the city had previously received a $396,000 grant for the construction of the Gateway to Forest Acres waterline. Approval of this resolution would transfer grant money to the engineering and design services for Alternate #1 of about $30,000. Any additional cost for Alternate #3 would be bore by the Schafer's. In response to council member Shafer, Shealy stated yes, this was strictly for Alternate #1 only. Motion Passed Unanimous Resolution 2003 -153, placing the Woodlawn Cemetery on the Seward Register of Historic Places. Motion (Branson /Shafer) Approve Resolution 2003 -153 Shealy commented that the Register for Historic Places was established by council in 1995 to recognize places that were important to Seward history. This cemetery was located in the Ole Martin Homestead. The Historic Preservation Commission voted unanimously at their October 19 meeting to support placement of the Woodlawn Cemetery on the Historic Register. Shealy stated the city would not have any costs associated with this activity. Motion Passed Unanimous Resolution 2003 -154, authorizing the City Manager to enter into a contract with Architects Alaska /Klauder & Co. to produce a library /museum design concept in the amount of $20,897 and to re- appropriate funds from Resolution 2003 -81 to FY 2004 to allow the design process to proceed within FY 2004. Motion (Shafer /Clark) Approve Resolution 2003 -154 City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36 Page 304 Shealy reported back in July, council had passed resolution 2003 -81 allowing an RFP not to exceed $18,000 to go out to produce a design concept for the library/museum. Ten firms submitted proposals. A committee evaluated each firm, with Alaska/Klauder receiving the highest ranking score. A contract was negotiated by the librarian. Shealy agreed the bid was more than council authorized, but funds for a new book drop would be added to the amount left over. Approval of this resolution authorized the use of this firm for the design. hi response to Valdatta, Librarian Patty Linville stated it was a concept to be used to seek funding. The firm would design around city needs and standard city lot sizes. Possible sites would be viewed although no location was set yet. She agreed that the end result may not look anything like the concept drafted. Motion Passed Yes: Shafer, Branson, Valdatta, Clark Brossow No: Amberg Resolution 2003 -155, amending the water and sewer tariff for 2004. Motion (Shafer / Amberg) Approve Resolution 2003 -155 Shealy was proposing a rate increase of 5% for both water and sewer. Infrastructure needs were imminent. Indicating possible support for a higher increase, Brossow and Shafer both wanted to move slowly before adding any more increases at this time. Motion Passed Unanimous Resolution 2003 -156, amending the port and harbor tariff for 2004. Motion (Shafer /Branson) Approve Resolution 2003 -156 Shealy recommended changing the fees for the harbor. These increases were not in the FY 04 budget that had just passed. This fund would end the year with no cash. Shealy stated staff would look into decreased fees to Ocean Beauty like the agreement reached with Seward Fisheries, and attempt to evaluate the double moorage charge. Council requested PACAB review first. Harbormaster Jim Beckham, stated the wharfage charge for fish was $3 a ton at both facilities. Moorage at SMIC was $1 a foot per day unless docked 12 hours or less, then they were charged half of that. In the boat harbor, boats were charged $.41 per foot per day. Beckham emphasized there were two separate businesses trying to operate on different revenue streams. Beckham assessed the city could change the rate at SMIC to equal what the harbor was, but that still did not alleviate the problem that they would pay moorage at both places, because it was two separate businesses. City of Seward, Alaska City Council Minutes December 8, 2003 volume 36, Page 305 Motion (Branson /Shafer) Postpone until PACAB could review Motion to Postpone Passed Unanimous Resolution 2003 -157, authorizing the expenditure of $293,450 for the purchase of a CT scanner from Advanced Diagnostics, Inc.; $288,000 from the hospital CT scanner fund and an additional appropriation of $5,450 from the hospital capital equipment account 101 -0000- 2290 -0900. Motion (Branson / Amberg) Approve Resolution 2003 -157 Shealy needed an additional $5,450 to cover installation and shipping to add to the purchase of the CT scanner. He recommended authorization. Council member Vanta Shafer noted a conflict of interest because she was employed there. The Chair ruled a conflict existed. Shafer abstained from conversation and vote. Motion Passed Unanimous Yes: Branson, Valdatta, Clark, Amberg Brossow Abstain: Shafer Other New Business Items The regular scheduled city council meeting of December 22, 2003 was cancelled. A work session was scheduled for January 19, 2004 at 7:00 p.m. to discuss future marketing issues. Informational items and reports. Providence Seward Medical Center Financial Report. Council Comments Shafer remembered the Small Boat Harbor fund ending with a $169 balance one year, so remarked that a $400 balance was doing better! She wished the community a Merry Christmas and Happy New Year. Branson stated when she was in Italy, she visited a harbor that had multi - million dollar yachts tied up belly -to- belly. There were no slips available and you could walk across any of them. The smaller excursion boats the locals owned were moored in the canals, and those people paid $5000 a year per site. She declared that maybe Seward was not so bad off. Amberg wished everyone a happy, safe holiday. City of Seward, Alaska City Council Minutes December 8, 2003 Volume 36 Page 306 Clark acknowledged the city administration and Erchinger for their hard work on the budget. He stated he had read a survey of cities that AML had put out, and felt Seward was not doing that bad after reading it. Brossow asked the community to please drive safely over the holidays, and advised there would be more enforcement on the streets to keep us safe. He also thanked the city finance staff for their work on the budget. Citizens' Comments Paul Carter, furthered the challenge earlier placed by Rick Blythe of the Sealife Center, and stated he would add a total of $25,000 to the marketing kitty if council would. He did not look at this as a donation but an investment for Seward's future. He looked forward to the session in January where the city should come up with another $50,000. He wished all a Merry Christmas as well. Council and Administration response to citizens' comments. Shealy spoke on behalf of the staff, and expressed their appreciation of the time and effort Council expended on the budget. He appreciated the help given along the way. Branson responded to the generous offers by Mr. Carter and Mr. Blythe stating she appreciated the offer. Adjournment The meeting was adjourned at 10:13 p.m. Je Lewis City Clerk C. David Brossow Mayor (City Seal) t , A, ° � •, r r a ✓iJ !� �J • Y ems i • �A • l