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HomeMy WebLinkAbout1995 City Council MinutesU.� City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 55 CITIZENS' COMMENTS Agenda items not scheduled for public hearine None Items other than those appearing on the agenda None APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/Deeter) Approve the Agenda and Consent Agen- da. Jones requested the deletion of Resolution No. 95 -004 (Head Start Use Agreement). King moved Resolution No. 95 -006 (COPS FAST grant application) from the Consent Agenda to the Regular Meeting Agenda. Anderson requested an executive session to discuss the legal and financial aspects of the proposed long -term lease with Seward Ship's Drydock. She also requested an executive session to discuss the legal and financial aspects of possible collocation of Seward General Hospital and Wesley Rehab and Care Center and possible sale of the doctor's clinic. MOTION (Anderson/Darling) Meet in executive session to discuss the legal and financial aspects of the pro- posed lease agreement with Seward Ship's Drydock. Klinkner stated that the Council might not be within its legal bounds to hold an executive session on such a broad issue. Darling stated that he had questions that should be addressed in executive session. King and Deeter favored discussion in a public forum. VOTE ON MOTION Motion Failed. MOTION (Anderson/Sieminski) YES: Anderson, Darling, Sieminski NO: Crane, Deeter, King, O'Brien Meet in executive session to discuss possible collocation of the hospital and Wesley Rehab and Care Center and transfer of the doctor's clinic to Wesley Rehab. Klinkner stated that this subject would have financial consequences but should be discussed in a public forum. City of Seward, Alaska January 9, 1995 City Council Minutes Volume 31, Page 56 VOTE ON MOTION Motion Failed. YES: Anderson, Darling, Sieminski NO: Crane, Deeter, King, O'Brien VOTE ON MOTION TO APPROVE AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The December 12, 1994, minutes were approved as written; Ordinance No. 95 -01, amending SCC §3.15.045, Pay rate adjustments, and §3.15.060, Overtime, to clarify the rate of pay for police recruit training, was introduced and public hearing was set for January 23, 1995; Resolution No. 95 -002, accepting a grant from the Highway Safety Planning Agency for the purchase of traffic enforcement equipment and appropriating funds, was approved; Resolution No. 95 -003, accepting grants from the Alaska Department of Transpor- tation and Public Facilities to upgrade portions of the harbor electrical system and to replace "X" Float, was approved; Resolution No. 95 -005, accepting a grant from the Alaska Alcoholic Beverage Control Board for the enforcement of laws preventing DWI by minors and appropriating funds, was approved; and Liquor license renewals for Peking Chinese Restaurant, Tony's Bar, American Legion Post No. 5, Tony's Liquor Store and Yukon Liquor Store were approved without objection. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Representative Michael Wiley was unable to attend the meeting and his report was presented by his wife, Arlene Wiley. SPECIAL ORDERS AND PUBLIC HEARINGS Ordinance No. 94-49, amending the Seward City Code to provide for a City Clerk Department City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 57 Murphy explained that the ordinance had been postponed from the December 12, 1994, meeting in order to allow for the introduction of a substitute ordinance that included language regarding the appointment of deputies that was inadvertently omitted. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (O'Brien/Anderson) Amend by substituting the redrafted ordinance contained in the Council packets. MOTION (King/O'Brien) Amend the substitute ordinance by adding "termination" after "appointment' in Section 2., Subsection 10. King stated that he was concerned that the employees in the city clerk department were not protected under the entire personnel code. Murphy explained that she was working with Attorney Carol Giles to draft a contract for the deputy city clerk. She noted that proposed language would include a grievance procedure and equal protection, as currently provided in the personnel code, for the deputy city clerk. VOTE ON KING AMENDMENT Motion Failed. MOTION (King/Deeter) YES: King NO: Anderson, Crane, Darling, Deeter, O'Brien, Sieminski Amend the substitute ordinance by adding a new Subsection 14 to read, "The city clerk shall be required to give the City Council written notice of all absences from city hall over four hours in length. Murphy objected to the motion and stated that, if it was the Council's desire, she would provide written notice as stated; however, this was not a provision that should be included as part of the city code. King clarified that, prior to the amendment approved by the voters, the charter language specified that the clerk worked under the supervision of the city manager. Murphy replied that the clerk had never reported to or been supervised by the city City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 58 manager. She stated that her position had equal status to that of the manager and should be accorded the same level of professional respect latitude. VOTE ON KING AMENDMENT Motion Failed. YES: King NO: Anderson, Crane, Darling, Deeter, O'Brien, Sieminski Crane noted that a vote on the amendment to enact the substitute ordinance would carry the main motion. VOTE ON SUBSTITUTE ORDINANCE Motion Passed. Unanimous Resolution No. 95 -001, approving a long term lease of Lot 1, Block 7, SMIC, and a shiplift maintenance and operating agreement with Seward Ship's Drydock Jones provided an overview of the proposed lease of property and the mainte- nance and operating agreement with Seward Ship's Drydock. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. TERESA BUTTS, Star Lane, Nash Road, stated that, in 1992, the voters had clearly expressed their reluctance to give control of the shiplift to Seward Ship's Drydock. She expressed her concerns regarding future public access to the shiplift facility and objected to the provision in the operating agreement which would allow Seward Ship's to raise tariff rates annually. She stated that the last minute amendments proposed and available earlier in the evening (at the work session) needed more review by the public prior to approval of the operating agreement. BOB VALDATTA, 528 Fifth Avenue, reminded the Council that, in 1992, the voters had voted against selling or leasing the shiplift to Pruitt. He stated that he was opposed to fencing the property and closing access to the public. RON LONG, Camelot, asked the Council to consider the agreement based on its merits rather than personalities. He stated that he had some questions on the proposed fencing of the property but supported the agreements and noted that a multi -user facility would still be allowed. �-w ✓ City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 59 LOUIE MARCH JR., Mile 5.5 Seward Highway, encouraged the Council to place approval of the lease before the voters. DOUG LECHNER, 215 Bear Drive, read a statement in support of the lease agreement. ARLENE WILEY, 550 Railway, spoke in support of the businesses located at SMIC and noted that industry at SMIC benefitted other businesses in the city. JIM PRUITT, Maple Street, stated that his goal was to provide the best possible service to customers to ensure that they would return for future service. He asked the Council for support of the lease and maintenance agreement which would allow him to continue with repairs and expansion of his business. DON WHITMAN, 535 Fifth, spoke in support of the resolution. DEAN KASISCHKE, Camelot, urged the Council to ensure that access to the shiplift would remain open to other ship repair operators. No one else appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Anderson) Approve Resolution No. 95 -001 Deeter questioned the administrative overhead charge as specified in Section 3.03(c). He noted that the arbitrators had not allowed the City to impose such a charge and Seward Ship's Drydock should not be allowed to levy this fee. Jones replied that this was a legitimate charge that accounted for office and administrative time in support of maintenance and operation of the shiplift. Anderson stated that she was not in a position to vote on the lease and agreement and the various amendments proposed by the administration at this time and requested postponement to give the Council additional time to review the documents. O'Brien stated that he supported a lease, but a work session was in order to address the recent changes. Darling and Crane agreed. O'Brien asked for a ruling on whether or not the Council could amend the agreements and later decide to withdraw or rescind any amendments made at this meeting. RECESS: The meeting was recessed at 9:00 p.m. and reconvened at 9:10 p.m. Murphy explained that the Council could amend the agreement and, at a subsequent meeting, rescind the amendment if necessary. City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 60 MOTION (Sieminski/Darling) Meet in executive session to discuss strategies for negotiating the Seward Ship's Drydock lease and operating agreement. Klinkner stated that the subject matter as stated was permissible under executive session since it was specifically to discuss strategy for lease negotiations. VOTE ON EXECUTIVE SESSION Motion Passed. MOTION (O'Brien/Anderson) YES: Anderson, Darling, O'Brien, Sie- minski NO: Crane, Deeter, King To amend the lease agreement to pro- vide that disputes of appraised values would be settled by a third MIA ap- praiser rather than through arbitration. Motion Passed. MOTION (O'Brien/Anderson) Motion Passed. MOTION (Anderson/Deeter) Unanimous To amend the lease agreement and the maintenance agreementbyincorporating the replacement pages presented by the administration into the agreements. Unanimous Postpone action on the resolution, as amended, to a special meeting to be held on January 18, 1994. O'Brien asked if public notice requirements would be met if substantial changes were made at a work session. Murphy replied that, if the work session were held on Tuesday, January 10th, there would be sufficient time to give public notice. VOTE ON MOTION TO POSTPONE Motion Passed. Unanimous The Council scheduled a special meeting at 5:00 p.m. on January 18th and a work session at 6:00 p.m. on Tuesday, January 10th, to discuss the lease and the operating agreement. City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 61 ORDINANCES FOR INTRODUCTION Ordinance No. 94 -56, amending SCC Chapter 15.10, Zoning Code, to clarify and correct discrepancies Murphy noted that there was a motion on the floor for introduction. She stated that the ordinance had been referred to the Planning and Zoning Commission, and the Commission had recommended the deletion of Section 2 which would allow antennas and towers as an outright use in the Industrial District. O'Brien clarified that the Code currently required a conditional use permit prior to installation of towers or antennas in the Industrial District, and he recommended that this requirement be retained. MOTION (O'Brien/Darling) Motion Passed. Amend by deleting Section 2. Unanimous VOTE ON INTRODUCTION OF ORDINANCE AS AMENDED Motion Passed. Unanimous RESOLUTIONS Resolution No. 95 -006, authorizing application for and acceptance of funds from the COPS FAST Program to hire a police officer to work in a proactive manner in city neighborhoods MOTION (King/Deeter) Approve Resolution No. 95 -006 King stated that the city would be required to provide a portion of the funds needed to hire an additional police officer, and he asked if the city would retain the police officer after the three -year period. Jones replied that the city would not be obliged to continue with the position. King voiced his concerns regarding increased personnel and related costs for a position that was not really needed since Seward was not a "high crime" area. In answer to a question from Deeter, Police Chief Walker stated that the three -year clause in the grant was currently a definite sunset provision. O'Brien voiced his objection to additional staff and stated that the Police Department was doing a good job with current staffing levels. Crane spoke in support of the application for the position. Anderson agreed. Darling stated that he was opposed to adding a new position. City of Seward, Alaska January 9, 1995 City Council Minutes Volume 31, Page 62 VOTE ON RESOLUTION Motion Failed. YES: Anderson, Crane, Sieminski NO: Darling, Deeter, King, O'Brien UNFINISHED BUSINESS MOTION (Sieminski/Anderson) Meet in executive session to discuss financial strategies for Seward General Hospital and the legal liabilities and risks associated with collocation. Sieminski stated that he had spoken with the attorney during the recess about holding an executive session for a specific purpose. Klinkner noted that the subject as stated was permissible. Motion Passed. YES: Anderson, Darling, Deeter, Sie- minski NO: Crane, King, O'Brien Anderson asked for a status report from Klinkner regarding the hospital transfer. Klinkner replied that he had reviewed city documents and learned that the hospital equipment had never been transferred to the City. He stated that he had reviewed the former pension plan and the PERS pension plan of hospital employees. CITY MANAGER REPORTS FY 1996 budget timetable. JONES noted that a budget retreat was scheduled for Saturday, January 14th, at the Senior /Community Center. Electric outage report. JONES reported on the power outage in the Crown Point area. He stated that the claims would be analyzed in -house and referred to the insurance adjuster. CEA Capital Credit work session scheduling JONES suggested postponement of the work session until the City's exposure from the Crown Point incident was determined. JONES stated that the Seward Ship's Drydock lease had expired, and he intended to approve a short -term lease during the interim. Jones noted a letter he had written to Department of Corrections Commissioner Pugh about the status of proposed expansion of the Spring Creek Correctional Center. Jones reported on the Alaska SeaLife Center City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 63 (ASLC) and activities conducted by SAAMS. He stated that the agreement between SAAMS and the City for the $25 Million grant was pending and would be evaluated once received from the SAAMS attorneys. O'BRIEN stated that he wanted the public to be aware that the retreat for the FY 1996 budget was a public meeting and was being held off site at the Community Center from 9:00 a.m. to 2:00 p.m. on Saturday. COUNCIL DISCUSSION KING reported on the January 4th Planning Commission meeting. He stated that the Commission had recommended the City Land Management Plan and the SMIC Development Plan to the Council for approval, and a presentation was given by Maureen Sims, member of the Alaska SeaLife Center design team. DEETER thanked everyone for expressing their concerns on pending agreements before the City Council. ANDERSON voiced her concern about the recent settlement agreement related to the Big Flo incident and asked the administration to consider action against the City's insurance broker and former attorney to recover its losses. SIEMINSKI asked for Council input on holding a recognition dinner for city volunteers. DARLING asked if the city's insurance would cover the Crown Point electrical claims. Jones stated that the potential for city exposure existed, and he would be unable to answer this question until after the claims had been analyzed. CRANE stated that the boroughwide meeting of peninsula cities would be held on January 19th at the Borough Building in Soldotna. He asked the Council for input on whether or not to continue with the planned meeting and who would be attending. Anderson, Darling and Sieminski stated that they would be attending along with Crane. Crane noted a joint work session with the Hospital Board scheduled for 5:00 p.m. on January 11th in the Council Chambers. Crane reported on the last Community Hospital Board meeting and stated that the topics discussed included physician recruitment, hospital upgrade and remodeling. CITIZENS' DISCUSSION LOUIE MARCH JR., read into the record a letter requesting documents allegedly being held by former City Attorney Fred Arvidson pertaining to personal records of certain Alaskan citizens. City of Seward, Alaska City Council Minutes January 9, 1995 Volume 31, Page 64 BOB VALDATTA, 528 Fifth Avenue, spoke about the prison expansion and port development. He stated that the downward trend in economic development was a result of the City's failure to market its port facilities. He noted that tourism had increased, but the port facilities were not moving forward. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS SIEMINSKI stated that the CEA capital credits should not be used for electrical claims. He stated that payments should be made from the electric enterprise fund. Jones replied that his recommendation was to retain the rebate for the time being. JONES replied to Anderson's comments about the "lay- down" attitude regarding litigation costs. He stated that the city was pursuing remedies with the insurance company. Jones responded to Valdatta's comments regarding prisons in other areas of the state. ADJOURNMENT The meeting was adjourned at 10:41 p.m. Q U L1Q kD7 ell �� Dave W. Crane Mayor kulty �)eai) City of,Seward, Alaska January 1$, 1995 City Council Minutes Volume 31, Page 64 CALL TO ORDER The January 18, 1995, special meeting of the Seward City Council was called to order at 5:10 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. City of Seward, Alaska January 18, 1995 City Council Minutes Volume 31, Page 65 ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk ABSENT was: Patrick D. O'Brien (Excused) APPROVAL OF SPECIAL MEETING AGENDA MOTION (Anderson/Darling) Darrell Deeter Jerry King Approve the Special Meeting Agenda. Motion Passed. Unanimous CITIZENS' COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING None. SPECIAL ORDERS AND PUBLIC HEARINGS Resolution No. 95 -001, approving the long term lease of Lot 1, Block 7, Seward Marine Industrial Center, and a shiplift maintenance and operating agreement with Seward Ship's Drydock Crane noted that the resolution had been postponed from the January 9th meeting and there was a motion for approval on the floor. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. TERESA BUTTS, No. 3 Star Lane, urged the Council to put the lease and maintenance and operating agreement with Seward Ship's Drydock on the ballot for the City of Seward, Alaska City Council Minutes January 18, 1995 Volume 31, Page 66 voters to decide. She noted that, according to the City Charter, the management of the dock, a public utility, had to be decided by the voters. LOUIE MARCH JR., Mile 5.5 Seward Highway, encouraged the Council to place the lease before the voters. WILLARD DUNHAM, Alder Street and Forest Acres, cited the City s track record of litigation related to contracts. He urged the Council to consider the prior arbitration between the City and the lessee before taking action on the lease and the agreement. No one else appeared in order to be heard, and the public hearing was closed. Klinkner reviewed the charter provisions relating to the maintenance and operating agreement and the lease. He gave an overview of the history and background of the City's relationship with Seward Ship's Drydock. He stated that the operating agreement would be fully executed within five years, and the option to extend for additional five year periods was part of the lease agreement, not the operating agreement. Klinkner noted that the option to extend the operating agreement could be exercised by the operator as long as he operated the facility continuously during the life of the agreement and was not in default under the agreement or the lease. Klinkner stated that, in his opinion, voter approval was not necessary since there was no sale, lease or disposal of the shiplift system under the terms of the operating and maintenance agreement. He added that the City would hold the title, receive any excess of revenue over expenses, determine the rates and charges, retain the right to inspect the facility at any time, and would assure that the facility was available for use by the public. Anderson stated that the agreements were integrated and somewhat confusing and should have been structured as separate, independent agreements. In answer to a question from Crane, Klinkner stated that, if Seward Ship's Drydock performed as required under the lease and the operating agreement, the option to renew the agreement could be exercised by the operator for a total of six additional five year periods. MOTION (Deeter /Crane) Direct the -City Clerk to place the oper- ating agreement before the voters as soon as possible. Motion Failed. YES: Deeter NO: Anderson, Crane, King, Darling, Sieminski City of Seward, Alaska January 18, 1995 City Council Minutes V 3 1, P age 6 7 In answer to a question from King, Jones summarized the benefits of the agreements to the City and the lessee and explained how the agreements were developed as part of one another. MOTION (Deeter/Darling) Amend by substituting the lease agree- ment and operating agreement con- tained in the agenda packets. Motion Passed. Unanimous VOTE ON RESOLUTION AS AMENDED Motion Passed. Unanimous COUNCIL DISCUSSION CRANE noted that he would be meeting with Dr. Davidhizer on Friday to discuss an offer to purchase the city -owned medical clinic. CITIZENS' DISCUSSION DON WHITMAN, 535 Sixth, congratulated the Council for uniting and moving forward on the lease and operating agreement. COI JNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS None. AD)OURNMENT The meeting was adjourned at 5:58 p.m. City Clerk (City Seal) Dave W. Crane Mayor .'a City of Seward, Alaska January 23, 1995 CALL TO ORDER City Council Minutes Volume 31, Page 68 The January 23, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Sergeant Chapman led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Patrick D. O'Brien comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Hugh Darling Jerry King Bruce Sieminski Agenda items not scheduled for public hearing SHANNON SKIBENESS, Birch Street, addressed the City Council regarding her re- application to fill one of the upcoming vacancies on the Planning and Zoning Commission since she would be unable to attend the February 13th meeting to make a presentation. She outlined the Commission's accomplishments and pending issues and stated that she would like to continue to serve the community as a commissioner. Items other than those appearing on the agenda None. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/Anderson) Approve the Agenda and Consent Agen- da as presented. Motion Passed. Unanimous The Clerk read the following approved consent agenda item: City of Seward, Alaska City Council Minutes January 23, 1995 Vol 31, Page 69 The January 9, 1995, minutes were approved as written. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Michael Wiley gave a verbal report of the most recent action of the assembly. He commended the Council for meeting with other municipal officials within the borough. SPECIAL ORDERS AND PUBLIC HEARINGS Ordinance No. 94 -56, amending SCC Chapter 15.10, Zoning Code, to clarify and correct discrepancies Martin noted that several discrepancies were being clarified for continuity throughout the zoning code. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Anderson/Deeter) Enact Ordinance No. 94 -56 Anderson asked how the amended language would affect the conditional use permit extension process. Martin replied that the Commission could clearly grant multiple extensions to a permittee. Anderson stated that she could not support the allowance of multiple extensions. She suggested limiting the number of extensions. Jones replied that it was within the Commission's purview to grant or not grant extensions based on circumstances. O'Brien expressed concern with not requiring setbacks in the Industrial District for electronic sites. VOTE ON ORDINANCE Motion Passed. YES: Crane, Darling, Deeter, King NO: Anderson, O'Brien, Sieminski Ordinance No. 95 -01, amending SCC § 3.15.045, pay rate adjustments, and § 3.15.060, overtime, to clarify rates of pay for police recruit training ?7(�. City of Seward, Alaska City Council Minutes January 23, 1995 Volume 31, Page 70 Yanez gave an overview of the ordinance and proposed amendments suggested by the attorney. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Enact Ordinance No. 95 -01 O'Brien expressed concern with meeting the minimum wage requirements for police recruit trainees. Jones replied that, ultimately, the rate of pay would equal the entry level pay for a police officer working a full eight hour day. In answer to a question from Darling, Yanez replied that the formula included in the ordinance was recommended and used by the Alaska State Troopers. MOTION (Deeter /O'Brien) Amend by deleting "avoid costly over- time expense" in the second Whereas clause and add "reflect the hours per day spent in training up to sixteen hours per day." at the end of the sen- tence; and amend Section 1 by adding to Section 3.15.045 Subsection 7, "In no event shall the basic training rate be below the minimum rate required by law." Motion Passed. VOTE ON ORDINANCE AS AMENDED Unanimous Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski Resolution No. 95 -007, adopting the Seward Marine Industrial Center Development Plan Jones stated that the development plan had been reviewed by the Port and Commerce Advisory Board, Planning and Zoning Commission and industrial users. He gave an overview of the proposed plan and stated that it would be used as a guide for establishing a work program, setting policies, budgeting, marketing, development and _- management of the SMIC. City of Seward, Alaska City Council Minutes January 23, 1995 Volume 3 Page 71 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Darling/Deeter) Approve Resolution No. 95 -007 The Council addressed various aspects of the development plan including budget, dock use, street improvements, utilities, freight over the docks, marketing efforts, parking, and future development and improvements to attract smaller boat owners and businesses. Anderson suggested to the Port and Commerce Advisory Board a joint effort between the City and private enterprise to market the SMIC. Jones agreed with the idea and stated that the administration would be working to accomplish an effective marketing effort. VOTE ON MOTION Motion Passed. Unanimous PRESENTATIONS WITH PRIOR NOTICE ONLY Seward Lodging Task Force Representative - Bed Tax Arlene Wiley, 550 Railway, introduced Alan Tesche, legal counsel for the Seward Lodging Task Force. Tesche distributed documents and addressed the Council regarding an initiative petition sponsored by Margaret Anderson to impose a hotel/room (bed) tax. Jim Pruitt Chairman - Port & Commerce Advisory Board Quarterly Report Ron Long, Camelot, Port Boardmember, reported on the accomplishments of the Port and Commerce Advisory Board over the last quarter. ORDINANCES FOR INTRODUCTION None. RESOLUTIONS None. UNFINISHED BUSINESS None. NEW BUSINESS None. CITY MANAGER REPORTS Land appraisal RFP Jones reported that he would be going to Juneau later in the week to meet with the Commissioners of HESS, Environmental Conservation and Transportation & Public Facilities and the legislative delegation to discuss legislative capital projects priorities. Jones reported on the Crown Point power outage and the City of Seward, Alaska City Council Minutes January 23, 1995 Volume 31, Page 72 number of claims submitted to date. Jones discussed the draft land appraisal RFP and welcomed Council comments. Jones requested that the Council set a date for the next budget work session. Jones reported on the meetings held to date regarding collocation of the hospital and Wesley Rehab and Care Center. COUNCIL DISCUSSION JERRY KING asked the City Clerk if she planned to seek legal advice prior to moving further on the bed tax initiative petition. Murphy replied that she would respond with a letter to Mrs. Anderson and would put the issue on the regular ballot if the petition were certified. She stated that she would be in touch with City Attorney Tom Klinkner, and he would need to respond to the other comments on the legality of imposing a bed tax. O'BRIEN asked about the alternatives contained in the land appraisal RFP and the process being used to seek appraisals on each parcel rather than on all parcels. Jones explained the intentions behind the alternatives and the per parcel appraisal cost. O'Brien stated that he envisioned the five -year lease appraisal process as a way to keep from appraising parcels of property in the interim. ANDERSON congratulated Harbormaster Singleton on 20 years of service to the City. She briefly reported on the Kenai Peninsula Borough Coalition meeting held in Soldotna. She commented on the bed tax initiative petition and listed other municipali- ties that charged bed tax in addition to other sales tax. She noted that it was Council's desire to hold the line on taxation although community needs were identified and needed to be funded somehow. CRANE scheduled a special meeting to discuss the FY 1996 budget for 7:30 p.m., Wednesday, February 8th. The Council agreed to send a letter to Obihiro to express concerns about the recent earthquake in Japan. Crane reported on the Kenai Peninsula Borough Coalition meeting and stated that many issues were discussed including transportation, solid waste and tourism on a borough -wide basis. CITIZENS' DISCUSSION DON SUTHERLAND, 225 Sixth Avenue, addressed the Council on the bed tax initiative petition. He asked how much money was spent on the last bed tax petition process and objected to spending any more tax dollars on this issue. BOB VALDATTA, 528 Fifth Avenue, complimented the city on the SMIC development plan. He encouraged the Council to consider a small rail spur to the industrial center. He complimented the Public Works Department for completing some improvements to the ground surface at the SMIC. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS City of Seward, Alaska January 23, 1995 City Council Minutes Volume 31, Page 73 CRANE responded to Don Sutherland's comments. He noted that the Council had not reneged on any action and would be addressing tax issues during upcoming budget work sessions. ADJOURNMENT The meeting was adjourned at 9:24 p.m. Lll Q N. 1vlU 'I ty, C ity Clerk (City Seal). City of Seward, Alaska February 8, 1995 City Council Minutes Volume 31, Page 7 3 CALL TO ORDER The February 8, 1995, special meeting of the Seward City Council was called to order at 7:30 p.m. by Councilmember Bruce Sieminski. OPENING CEREMONY Deputy City Manager Yanez led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Jerry F. King Patrick D. O'Brien Bruce Sieminski L , �&. Q"" Dave W. Crane Mayor comprising a quorum of the Council; and City of Seward, Alaska February 8, 1995 City Council Minutes Volume 31, Page 74 Tyler Jones, City Manager Michael Yanez, Deputy City Manager Patricia Jones, Deputy City Clerk ABSENT was: Hugh Darling (Excused) NOTE: Mayor Crane and Councilmember Anderson arrived at 7:32 p.m. APPROVAL OF SPECIAL MEETING AGENDA MOTION (King/Deeter) Motion Passed. Approve the Special Meeting Agenda. Unanimous CITIZENS' COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING None. PRESENTATIONS FY 1996 Budget Policy Statements Jones stated that the general policy statement for the FY 1996 budget was designed to maintain current levels of service. He added that departments were directed to hold the line and exist within levels budgeted in FY 1995. SPECIAL ORDERS AND PUBLIC HEARINGS FY 1996 Budget Policy Statements Mayor Crane stated that the Council would discuss each item contained in the policy statement and would receive public input throughout the meeting. Property Tax Jones noted that property taxes would be maintained at the present rate of three mills. Anderson noted that less than 20 percent of real property within city limits was subject to taxation. Sales Tax Jones noted that the sales tax rate would remain at three percent. Lodging and Harbor Parking Assessment Fees DONNA GILES, 430 Third, stated that the city should charge either a lodging assessment fee or a bed tax but not both. City of Seward, Alaska City Council Minutes February 8, 1995 Volume 31, P age 7 DON HOLLAND, 320 6th Avenue, supported a room assessment totalling not more than $35.00 per room. MIKE WILEY, 550 Railway, agreed that an assessment and a bed tax should not be imposed. He asked the City to justify assessments and recent increases in utility rates. DOT BARDARSON, Nash Road, objected to any increase in parking assessments. She noted that the parking lots in the harbor were used only in the summer yet businesses struggled to stay open the entire year. She asked that the parking assessment be taken into account when the property was appraised. SHARYL SEESE, 529 First Avenue, spoke on behalf of her clients who paid the parking assessment fee. She supported city -wide assessment fees. Crane replied that the downtown businesses had no off - street parking available which was what the harbor merchants paid the assessment for. He voiced his support for an assessment if parking could be provided downtown. KELLY LO, 235 Third Avenue, stated that taxation should be equal for all and not just specific industries. Jones reminded the Council and public that a certain group had proposed parking and lodging assessments in lieu of bed taxes and paid parking. JOLENE KING, 900 Third Avenue, stated that Seward should move towards unification rather than downtown vs. the harbor. King stated that the citizens had chosen an assessment rather than a bed tax, and they should not be subject to both. He stated that user fees should be reduced as fiscally appropriate. Anderson stated that the city needed to utilize forward funding to plan for the upcoming year. She stated that the parking issue, which was currently subsidized by the city, needed to be addressed. O'Brien stated that the small amount of revenue generated by the assessment fees was not worth the division of the community. ARLENE WILEY, 550 Railway, suggested an increase in the sales tax. DON SUTHERLAND, 225 Sixth Avenue, stated that the lodging industry thought the issue had been settled by paying the assessment but there was now a drive to impose a bed tax. He added that the lodging industry did not exist as a special interest group - until forced to do so to protect its interest. City of Seward, Alaska City Council Minutes February 8, 1995 Volume 31, Page 76 State Revenue Sharing & Municipal Assistance Jones stated that 1995 levels were being maintained because it was too soon to know if any reduction would be made by the State. Anderson suggested channeling funds for SLAC and Wesley Care and Rehab through to Seward General Hospital to encourage use of the facility by those agencies. Crane and O'Brien disagreed and stated that SLAC and Wesley were utilizing the hospital. ARLENE WILEY, 550 Railway, spoke in support of continuing revenue sharing as in the past. She stated that both SLAC and Wesley used the hospital as much as possible. DON ENNIS, Forget Me Not Circle, stated that the hospital had the same financial problems back in 1965 and he urged the Council to instruct the hospital administrator to address long term care needs in the community. Rents and Leases O'Brien stated that revenue from all leases should benefit the general fund. In answer to a question, Gifford stated that revenues in the harbor fund were subject to PILT and administrative overhead. BOB VALDATTA, 528 Fifth Avenue, stated that significant revenues were generated from the use of the North Dock at the SMIC. User Fees. King stated that higher user fees should not be implemented if there was a significant negative impact on tourism. He noted that the higher fees for campers had resulted in less camper nights last summer. DONNA GILES, 430 Third, objected to charging user fees to specific industries. Enterprise Fund Revenues LOUIE MARCH, Mile 5.5 Seward Highway, urged the Council to reduce electric rates. Special Funds BOB VALDATTA, 528 Fifth Avenue, supported the establishment of a land bank. Operating Expenditures O'Brien and King supported a hold the line budget. Anderson and Sieminski agreed that future planning and identification of community needs was needed prior to setting the final budget. Capital Outlays Items discussed included the North Dock improvements, deferred maintenance, utilities and building upgrades. City of Seward, Alaska City Council Minutes February 8, 1995 Volume 3 1, Page 77 BOB VALDATTA, 528 Fifth Avenue, stated that the fire hydrants needed to be raised for accessibility in the winter. Personnel MIKE WILEY, 550 Railway, suggested increased interaction with the community by the police department and the establishment of a neighborhood watch program. O'Brien supported a reduction in harbor positions through attrition as a result of the transfer of the shiplift to private enterprise. He stated that a review of staff requirements was needed. King agreed. BOB VALDATTA, 528 Fifth Avenue, commented that he had not noticed city personnel at the shiplift. Capital Projects O'Brien was opposed to conducting a traffic analysis. Deeter stated that continued street paving was a high priority. King and Sieminski suggested transferring camper hook -ups to private enterprise. DON HOLLAND, 320 Sixth, stated that camper hook -ups were a revenue generator for the city, and he supported increasing the number of hook -ups. BOB VALDATTA, 528 Fifth Avenue, suggested installation of coin boxes. He also stated that Nash Road needed to be resurfaced. Anderson stated that the city needed to address traffic flow and parking issues before the Alaska SeaLife Center was operational. She supported relaxation of parking and zoning code requirements. The Council discussed other items including Boulder Stadium, the Youth Center, city promotion and advertising, city enhancement and beautification and tourism. COUNCIL DISCUSSION ANDERSON thanked the public for attending the meeting. CRANE appointed Deeter to compile employee evaluations for the clerk, attorney and manager and return them by February 28th. He stated that he would schedule evaluations at a later date. Crane thanked the public for attending. CITIZENS' DISCUSSION MIKE WILEY, 550 Railway, stated that government and funding was shrinking, and he encouraged the Council to consider increased privatization. City of Seward, Alaska February 8, 1995 City Council Minutes Volume 31, Page 78 BOB VALDATTA, 528 Fifth Avenue, offered to take the Council around the town and point out various problems and needed improvements. JOLENE KING, 900 Third Avenue, stated that the sound system in the Council Chambers needed improvement. LOUIE MARCH, Mile 5.5 Seward Highway, supported building a casino to increase revenues. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS The Council thanked Mike Wiley for his views on privatization. ADJOURNMENT The meeting was adjourned at 10:57 p.m. Patricia Jones, CMC r'Acting City Clerk x " (City, Seal) R s City of Seward, Alaska February 13, 1995 L o _ c,, C,., Dave W. Crane Mayor City Council Minutes Volume 31, Page 78 CALL TO ORDER The February 13, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: City of Seward, Alaska City Council Minutes February 13, 1995 Vo lum e 3 1, Page 79 Dave W. Crane, presiding, and Margaret Anderson Jerry King Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Patricia Jones, Deputy City Clerk ABSENT was: Hugh Darling (Excused) CITIZENS' COMMENTS Darrell Deeter Patrick D. O'Brien Agenda items not scheduled for public hearing None. Items other than those appearing on the agenda None. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson/Sieminski) Approve the Agenda and Consent Agen- da as presented. Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The January 18, 1995, special meeting minutes were approved as amended (a clerical error was corrected) and the January 23, 1995, regular meeting minutes were approved as written; Resolution No. 95 -008, approving a contract for Community Jail Services for FY 1995 and increasing the staffing of the Seward Community Jail to six officers, was approved; Resolution No. 95 -009, extending the contract with the Alaska Department of Public Safety for special services through June 30, 1995, was approved; Resolution No. 95 -010, accepting and appropriating grant funds from the Alaska State Troopers for the "Accident Free Days" program, was approved; City of Seward, Alaska City Council Minutes February 13, 1995 Volume 31, Page 80 Resolution No. 95 -011, appropriating grant funds for the replacement of X Float and electrical upgrade in the small boat harbor, was approved; Resolution No. 95 -012, approving a request for the installation of a newspaper vending machine on public property, was approved; Resolution No. 95 -013, approving the lease of a Xerox 5100 copier without full utilization of city bid procedures, was approved; and Resolution No. 95 -014, approving a computer consulting contract with MWM Consulting, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley was not present. Mayor Crane stated that the report would be taken out of order later in the meeting. PRESENTATIONS WITH PRIOR NOTICE ONLY Dennis Lodge, Regional Citizens Advisory Council (RCAC) Applicant Dennis Lodge, Camelot Subdivision, stated that he had served on the RCAC for the past two years and would like to continue his service on the Council. He distributed RCAC project goals for Fiscal Year 1996 and gave a presentation on the accomplishments of and problems addressed by the RCAC. He noted the possible consequences if another oil spill disaster should affect the community. Planning and Zoning Commission Applicants Crane ruled that a list of questions presented earlier to the applicants by Councilmember Anderson could not be answered during their presentations since one of the applicants had given her presentation at an earlier meeting and did not have an equal opportunity to respond to Anderson's questions. MOTION (Anderson/Sieminski) Appeal the ruling of the chair. Deputy Clerk Jones stated that a Yes vote supported the ruling of the chair. Motion Passed. YES: Crane, Deeter, King, O'Brien NO: Anderson, Sieminski BLAINE BARDARSON stated that he had been on the Commission since 1990 and would like to continue to serve the community in this capacity. STIRRAT (STU) CLARK noted that he had been attending Planning Commission meetings for the past year. He stated that he would like to take a responsible position City of Seward, Alaska City Council Minutes February 13, 1995 Volume 31, Page 8 1 to voice and act on his views, including the development of the Alaska SeaLife Center. He also wanted to ensure that future development conformed with citizen's desires. RON NIEBRUGGE stated that he was interested in real estate development and had experience and education in planning and development. He expressed his desire to serve as Commissioner and be part of the planning process in the community. NEW BUSINESS Appointment of RCAC representative Dennis Lodge was reappointed without objection. Appointment of Planning and Zoning Commissioners Deputy Clerk Jones distributed ballots to the City Council, collected the ballots and read the results into the record. Blaine Bardarson received four votes from Crane, Anderson, O'Brien and Sieminski; Stirrat Clark received five votes from Crane, Deeter, King, O'Brien and Sieminski; Ron Niebrugge received six votes from each Councilmem- ber present and Shannon Skibeness received three votes from Anderson, Deeter and King. Bardarson, Clark and Niebrugge were appointed to three -year terms on the Planning and Zoning Commission. CITY MANAGER REPORTS Jones reported on a pending lawsuit by a Spring Creek Correctional Center inmate and noted that the State holds the City harmless. He reported on HB 121 related to forest management issues. Jones noted the proposed purchase of the Jesse Lee Home by the Senior Citizens. He added that the Senior Citizens hoped to receive a planning and site development grant this year. Jones reported that the Alpha Helix had spilled 386 gallons of fuel into the small boat harbor last week. He stated that the Coast Guard and DEC managed the Alpha Helix crew, and clean up was concluded on Friday. Jones stated that an agreement between the City and the Department of Fish and Game and an agreement between SAAMS and the City were pending. He reported on the recent trip to Juneau to contact legislators and present the City's legislative priorities. He stated that he had met with Commissioner Purdue of HESS and discussed hospital collocation with the Wesley Rehab and Care Center and the need for community understanding of the health care crisis. He also met with Commissioner Perkins from the City of Seward, Alaska City Council Minutes February 13, 1995 Volume 31, Page 82 DOT/PF about general transportation and Marine Highway System issues, specifically, relocation of the 4th Avenue Dock. He met with Senators Torgerson and Davis to discuss legislative priorities. Jones voiced appreciation to Dennis Lodge for representation on the RCAC and to AVTEC for its support and contribution in allowing Lodge the time off to attend RCAC meetings. Jones assured the community and Council that complaints of action by city police officers were handled in a serious manner and he encouraged those citizens who had a complaint to report to his office, the police department or elected officers. Police Chief Walker addressed the City Council regarding community problems and reports of officers using alleged heavy handedness, handling of firearms and traffic citations. He noted that the police department followed specific procedures in any given situation for the safety of the officer and the public. Walker explained the procedures that were used by the officers and the department. He reported that, in contrast to the complaint in the newspaper, the police department did reach out to youth through the DARE program and through addressing the students at the schools. He also stated that the officers were trained according to state standards. He agreed that there had been problems with some officers in the past but those problems had been addressed and handled. BOROUGH ASSEMBLY REPORT (Taken out of order) Assemblymember Wiley reported on the recent borough assembly meeting held February 7th. He complimented the Council on sponsoring the Municipal Coalition meeting in Soldotna. Crane addressed the need for funds to install a new roof at the high school. Crane suggested that the borough appropriate funds to complete the roofing project as soon as possible. Wiley replied that funds were available for one roof but three roof replacements were needed. Wiley stated that a resolution in support of the project to the school board and the assembly was in order. COUNCIL DISCUSSION KING thanked Lodge for representing the community on the RCAC and commended him for his service. He congratulated the Planning Commission applicants. He also updated the Council on the current Planning Commission projects including lodging regulations, transient vendors and parking code improvements. He noted that Maureen Sims had given an update on the ASLC. He noted that site clearing would begin this summer, however, no in -water work was allowed from May through September because of the need for salmon protection. DEFTER commended the many citizens in Seward who volunteered their time. City of Seward, Alaska City Council Minutes February 13, 1995 Volume 31, Page 83 ANDERSON thanked Jones for his written trip reports. She congratulated Chief Walker on his appointment as Seward's Representative on the Coalition of Alaska Safety Agencies. She discussed the proposed land management plan that included the City's leases and real property. Jones explained the process for selecting an appraiser. Anderson congratulated the Planning Commission appointees. She expressed disappointment that her questions about important city issues could not be addressed by the applicants. SIEMINSKI stated that a letter of appreciation to AVTEC was in order. Crane stated that the deadline for submitting evaluation forms to Deeter for the attorney, clerk and manager was changed to March 7th in order to allow Darling to submit his evaluation. He asked for Council concurrence to send a letter of request to the borough in support of school projects. He thanked and congratulated Mr. Lodge and the Planning Commission applicants on their appointment. He also thanked Skibeness for her service on the commission. CITIZENS' DISCUSSION MIKE WILEY, 550 Railway, apologized for comments regarding police officer excessive force. He stated that the image of the police department needed improvement. He added that the secure feeling of safety in the community was the result of police department concerns. He noted that Mitch Seavey was beginning the Iditarod Trail commemorative run at Mile "0" on Saturday, February 25th. LOUIE MARCH JR., Mile 5.5 Seward Highway, read the following statement verbatim into the record: Section 22.6 of the Seward City Code states that utility service rates and charges be fixed by resolution. The City of Seward charges their residential electrical customers $15.00 a month - compared to Chugach Electric Associations $6.25 a month. The City of Seward charges their small general electrical customers $30.00 a month - compared to Chugach Electric Associations $12.50 a month customer charge. The City of Seward charges their industrial service customers $100.00 a month customer charge - compared to CEA's $30.00 a month customer charge. Mr. Mayor and Council members, I would like to encourage you to introduce and pass a resolution reducing Seward Electrical customers monthly charges to the same amounts CEA charges their customers. The breakdown of the savings for the Seward electrical customer per year is as follows: 1. Seward residential customer - $99.00 a year in savings, 2. Seward small general customer - $210.00 a year in savings, 3. Seward industrial service customer - $840.00 a year in savings. During these economical hard times, these savings will be a shot in the arm to many Seward citizens. Mr. Mayor and Council members, I would also like to bring to your attention - The City of Seward buys wholesale power from CEA at 4 cents per kilowatt and then turns around and charges Seward electrical customers City of Seward, Alaska February 13, 1995 City Council Minutes Volume 31, Page 84 between 9 and 11 cents per kilowatt. This is a profit of almost 7 cents per kilowatt per customer. I don't see any problem in reducing Seward electrical customers monthly charges and bringing them in line with CEA's monthly customer charge. I would also like to know why $890,000 dollars is diverted from the Seward Electrical Fund to the Seward General Fund. Maybe the Seward City Finance Director can answer this question later. This $890,000 should stay in the Seward Electrical Fund so the Seward electrical customers can benefit from this money. 1 am also against city government making millions of dollars in profit by providing a needed service to it's citizens. I would like to add 1 support selling the Seward Electrical Enterprise to Chugach Electrical Association. I have had many meetings with CEA officials since September 23, 1988 and their position is still the same - they are still interested in buying the Seward Electrical Enterprise. In closing: I will be giving the Seward City Clerk some up -dated doccuments (sic) regarding CEA's rates for your reference. Thank you for your time. BOB VALDATTA, 528 Fifth Avenue, stated that the school needed an arctic entryway. He also noted that the city manager, Mr. Al Schafer and Louis Bencardino had spoken in support of HB 121. He spoke about the timber industry and thanked the Council for its support. NATALIE PIPER, 1010 Sixth Avenue, stated that it was embarrassing that the high school roof leaked and she thanked the Council for its support. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS ANDERSON responded to and thanked Valdatta for his comments about support for the timber industry. CRANE reported that $10,016 had been spent in legal costs for the King et. al. litigation case regarding the bed tax petition. ADJOURNMENT The meeting was adjourned at 9:07 p.m. Patricia J. Jones, CMC 8q ® � , ,4s ft fry Clerk a , a� " ZJ Dave W. Crane Mayor City of Seward, Alaska February 27, 1995 City Council Minutes Volume 31, Page 85 CALL TO ORDER The February 27, 1995, regular meeting of the Seward City Council was called to order at 7:30.p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk ABSENT was: Hugh Darling (Excused) CITIZENS' COMMENTS Agenda items not scheduled for public hearing BOB VALDATTA, 528 Fifth Avenue, asked for a town meeting to discuss Resolution No. 95 -001 He spoke in opposition to Resolution No. 95 -016 and complained that the avalanches along Lowell Point Road and sanding of the roads were not taken care of in a timely manner. He stated that the city should budget sufficient funds to allow for continued snow removal and sanding. Items other than those appearing on the agenda None APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/O'Brien) Approve the Agenda and Consent Agen- da. City of Seward, Alaska February 27, 1995 City Council Minutes Volume 31, Page 86 O'Brien moved Resolution No. 95 -015 to the regular meeting agenda. Deeter moved Resolution No. 95 -016 to the regular meeting agenda. Murphy requested removal of the minutes from the agenda in order to make some minor corrections. She informed the Council that the date of the special election should be changed from April 4th to April 11th in order to allow time for publication of the notice of election. She explained that Resolution No. 95 -018 could be amended without removing it from the consent agenda. There was no objection from the Council to the amendment. VOTE ON APPROVAL OF AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: Resolution No. 95 -017, approving pre - qualified bidders for the construction of Phase II of the 115kV electrical transmission line, was approved; Resolution No. 95 -018, providing for the submission to the qualified voters of the City of Seward the question of the repeal of Resolution No. 95 -001 of the City of Seward at a special election in and for the City of Seward on April 11, 1995, was approved as amended; Resolution No. 95 -019, approving and authorizing execution of Exxon Valdez oil spill litigation partial settlement and release agreement, was approved; Requests for ABCB liquor license renewals as filed by Christo's Palace, New Seward Hotel and Yukon Bar were approved without objection; and Report of purchase orders totalling between $5,000 and $10,000 for the period September 21, 1994 to February 2, 1995 was noted for information. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Michael Wiley was not present. RESOLUTIONS Resolution No. 95 -015, approving a professional services agreement with MacSwain & Associates for land appraisal services, amending the FY 1995 budget and appropriating funds totalling $11,375 MOTION (Sieminski/Deeter) Approve Resolution No. 95 -015 City of Seward, Alaska City Council Minutes February 27, 1995 Volume 31, Page 8 7 O'Brien asked for an explanation of why the City was contracting for the alternate proposals to appraise vacant city lands available for lease, lands considered for disposal and lands the city might acquire. Martin replied that the lease sites needed evaluation in order to obtain a fair market value. He added that it would be beneficial to obtain a base price on lands targeted for disposal or acquisition. He explained that a lease rate study was needed to determine the percentage o ffair market value the city should use in setting lease rates. He stated that it was important for the City to have a basis from which to work. O'Brien agreed that the current leases needed appraisal. He stated that the number of lease requests did not warrant the expense of appraisal of current unleased land. He supported the Council setting lease rates. He stated that the value of lands for disposal could be established through Borough records and land purchased in the future could be appraised at the time of the actual purchase. MOTION (O'Brien/King) Amend by deleting alternate groups two, three and four Motion Failed. YES: King, O'Brien NO: Anderson, Crane, Deeter, Siemin- ski Anderson objected to automatic renewal of the boardwalk leases. Yanez replied that a one -time automatic renewal was included in boiler -plate language when the leases were approved in 1985. VOTE ON MOTION TO APPROVE RESOLUTION Motion Passed. Unanimous Resolution No. 95 -016, amending the contract with Afognak Logging for snow removal and sanding services by increasing the contract amount and appropriating funds MOTION (Sieminski/Deeter) Approve Resolution No. 95 -016 In response to a question from Deeter, Engineering and Utilities Manager Calvert stated that the City would utilize its equipments and crews to clear the roads during the remainder of the winter season. VOTE ON MOTION Motion Passed. Unanimous City of Seward, Alaska City Council Minutes February 27, 1995 Volume 31, Page 88 CITY MANAGER REPORTS Taxable Sales Report - 4th Quarter 1994 and Calendar Year 1994 Yanez noted the sales tax report that was included in the agenda packet. He stated that taxable sales were up 6.3 percent for the 4th quarter and 8.7 percent for the calendar year. Yanez noted that city purchasing lists were available to local vendors on a trial basis for the next month so that local businesses would be aware of the city's purchasing needs and determine whether or not they were interested in doing business with the city. He invited vendors to pick up and review the lists. He informed the Council and public that the Alaska Housing Authority would hold a workshop in the Council Chambers on March 13th at 11:30 a.m. The Council scheduled a work session for Thursday, March 2nd, at 7:30 p.m. to discuss proposed agreements with SAAMS for the Alaska SeaLife Center project. COUNCIL DISCUSSION ANDERSON submitted a list of questions that she felt needed to be addressed regarding the effects of the upcoming special election on the Seward Ship's Drydock lease and operating and maintenance agreement. She requested Council approval to allow the city clerk and the city attorney to address the questions. She also stated that a public forum should be held to allow the public, Council and Administration to discuss this issue. O'BRIEN supported Anderson's request for answers and asked the clerk to address the questions before involving the attorney. MURPHY agreed that the majority of the questions could be answered by the clerk and the administration but some of the questions would need to be addressed by the attorney. CRANE recommended talking to the attorney at the March 13th meeting to obtain an estimate of the research cost. The Council added this item to the March 13th agenda. ANDERSON thanked Crane for supporting Mitch Seavey's Commemorative Iditarod run. In answer to a question from DEETER, Yanez replied that there was minimal use of the purchasing lists at this time. He further stated that there was no real delay in projects as a result of retaining the requisitions for an extra two days. CRANE rescheduled the second March meeting for Tuesday, March 28th, without objection from the Council. Crane also reported on the Mitch Seavey Commemorative Iditarod Run from Seward. City of Seward, Alaska City Council Minutes February 27, 1995 Vol 3 1, Page 89 CITIZENS' DISCUSSION BOB VALDATTA, 528 Fifth Avenue, noted that the governor had recently formed an oil and gas committee and he hoped that a similar committee could be formed to address the timber industry. He noted that the property in the area of the proposed Nash Road Small Boat Harbor needed to be appraised. Finally, he disagreed that the road service on Nash Road and Lowell Point was adequate. LOUIE MARCH, Mile 5.5 Seward Highway, stated that he had received threats because of his support of the referendum petition on Resolution No. 95 -001 He noted that voters had rejected a prior lease or sale of SMIC property by Seward Ship's Drydock in 1992. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS ANDERSON asked if Louie March was a registered voter in Seward. Murphy replied that, to her knowledge, he was not. CRANE replied that Mr. March should direct his concerns to the police department. ADJOURNMENT The meeting was adjourned at 8:26 p.m. City Clerk (Ci Seal) r� r City of Seward, Alaska March 13, 1995 CALL TO ORDER k ,� C na�►r�e -� Dave W. Crane Mayor City Council Minutes Volume 30, Page 89 The March 13, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. City of Seward, Alaska March 13, 1995 City Council Minutes Volume 30, Page 90 OPENING CEREMONY Councilmember Darling led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Patrick D. O'Brien comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk CITIZENS' COMMENTS Hugh Darling Jerry King Bruce Sieminski Agenda items not scheduled for public hearing BOB VALDATTA, 528 Fifth Avenue, asked what role the University of Alaska would play in the operation of SAAMS. He also asked about an Exxon Valdez Oil Spill Fund grant to the University. Items other than those appearing on the agenda None APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/Deeter) Approve the Agenda and Consent Agen- da as presented. Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The February 8, 13 and 27, 1995, minutes were approved as written; Resolution No. 95 -020, amending the FY 1995 elections budget, was approved; City of Seward, Alaska City Council Minutes March 13, 1995 Volume 30, Page 91 Resolution No. 95 -021, authorizing an application for an economic development grant from the Alaska Department of Community and Regional Affairs for city and port marketing items, was approved; Applications for renewal of liquor licenses as filed by Ray's Waterfront Bar & Grill and the Apollo Restaurant were approved; and The following people were appointed to election boards for the April 11, 1995, special election: Precinct No. 1 Betty Skinner, Chair Sara Nell Watsjold Caroline Toloff Barbara Shea, Counter Kim Kowalski- Rogers, Counter Precinct No. 2 Canvass Board Teresa Campbell, Chair Cindy Capra Vicky Siegel Doreen Booth, Counter Mary Lechner, Counter Betty Skinner Cindy Capra Nell Watsjold Vicky Siegel BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley was not present and no report was given. The clerk noted that Wiley had provided a written report for the Council. SPECIAL ORDERS AND PUBLIC HEARINGS Presentation recognizing the contributions of retiring Planning Commissioner Donna Kowalski Crane presented a plaque to Kowalski thanking her for her many years of service on the Planning Commission. NEW BUSINESS Referendum Election - Effects of repeal of Resolution No. 95 -001 Crane noted that Anderson had provided a list of questions regarding the effects of the repeal of the referenced resolution to the clerk, manager and attorney. He asked the staff to provide answers to the questions. City of Seward, Alaska City Council Minutes March 13, 1995 Volume 30, Page 92 1. Is Seward Ships Drydock subject to immediate eviction? Klinkner stated that Seward Ship's Drydock was subject to immediate eviction by the City on January 10, 1995, under the terms of the arbitrators' decision on the then - current lease. He noted that, since that time, the City Manager had executed an interim agreement deferring action to enforce the terms of that lease while new lease negotiations were pending. He added that this interim agreement had been extended through the date of certification of the referendum election. Klinkner stated that, if the voters repealed Resolution No. 95 -001, Seward Ship's Drydock would be subject to immediate eviction upon certification of the election and the expiration of the interim agreement as previously described. 2. If the proposed lease is overturned, is the City Council allowed to negotiate another similar lease? Klinkner replied the City Code prohibited the Council from enacting legislation similar to that repealed in a referendum. Therefore, approval of a lease of the same SMIC property and a maintenance and operating agreement for the SMIC shiplift facility on similar terms to the agreements authorized by Resolution No. 95- 001 probably would be considered substantially similar to Resolution No. 95 -001 and would be prohibited for a period of 2 years following the repeal of that resolution by referendum. He stated that it was hard to give a definitive answer to the question of what constituted substantially similar and asserted that each new agreement would have to be reviewed in light of all of the relevant facts. 3. If successful referendum and initiative questions are enacted by the Voters, it is my understanding these hese questions cannot be revisited by the City Council or the Voters for two years. Is this true? If so, please explain. Murphy replied that the Code prohibited the Council from addressing an action repealed by referendum or enacted by initiative for a period of two years. She stated that, normally, there would be no prohibition against the voters addressing the issue at any time; however, a lease was considered both an administrative matter and an appropriation under state law and was, therefore, not subject to initiative. Therefore, the voters could not address this particular issue at any time. 4. How is the deferred maintenance question on the shiplift -- which amounts to an estimated low figure of $628,200 to a high figure of $1,030,600 -- going to be addressed in both the present and future budget plans? Jones noted that, if the referendum failed, the lease agreement and the maintenance and operating agreement would go into effect following certification of the election and deferred maintenance would become the responsibility of Seward Ship's Drydock. If, however, the referendum was successful and the agreements were overturned by the voters, a lengthy list of questions would have to be answered, including: a)Should the facility be mothballed? b) Should the city attempt to negotiate "substantially different" agreements with Seward Ship's Drydock? c) Should Seward solicit operating proposals? d) Should Seward solicit alternate lease proposals? Jones noted that since he did not believe the facility would be mothballed, it was safe to assume that the cost of deferred maintenance would be borne either by the city and repaid through a tariff charge or borne directly by an operator. City of Seward, Alaska City Council Minutes March 13, 1995 Volume 30, Page 93 5. Could the land described in the proposed lease be Sold? By Council Action? By public vote? Murphy responded that the Council had the authority to sell the land by direct Council action without a vote of the people. She noted, however, that the rail system had been constructed with grant funds and there could be specific prohibitions in the grants which would bar the sale of the rails to a private party. 6. What is the cost of "mothballing" the whole shiplift facility? Jones replied that mothballing the facility would amount to annual electric charges of $15,000, annual insurance charges of approximately $30,000 and, prior to recertification, inspection charges of $30,000. He added that the deferred maintenance problem would not be resolved in a mothball status, and these expenses would grow in size until addressed. 7. Is the Ciiy Council allowed by Code and Law to defend and support the favorable vote on Resolution No. 95 -001? If so, can this be done through fliers, advertising, public hearings or meetings, etc.? Murphy responded that, although advocacy for the approval or rejection of a ballot proposition was not considered a proper use of public funds, there was nothing in city or state law that would prohibit the Council from lobbying in opposition to the proposition as long as the city registered with the Alaska Public Offices Commission as a political action group and filed the necessary reports. She added that registration with the APOC was required only if public funds were spent in the city's lobbying efforts. 8. Is the City Administration allowed to present information and explain the lease and operating and maintenance agreement to individuals and/or public groups? Jones stated that the Administration intended to present all of the facts to any individual or group requesting the information. In response to a question from King, Klinkner related the history of the prior lease agreement. He stated that, once it was obvious that Seward Ship's Drydock could not meet its commitment to construction the 300 -foot building on the lease site, the City Council instructed the Administration to begin negotiations with the lessee to draft a new lease eliminating the requirement for a building and adding a provision requiring the operator to maintain and operate the shiplift facility. Klinkner added that the city made it clear from the start that the old lease would be terminated if the building was not constructed as required by the arbitrators. He assured King that the city could not be held liable if the voters repealed the resolution. Introduction of SeaLife Center Agreements Jones reviewed the schedule of events from approval of the agreements through the ground breaking currently scheduled to take place on May 20, 1995. He noted that public hearing and approval of the agreements was scheduled for March 28th, and the request for bids for site work would be advertised the first week in April, with award of the construction contract scheduled for May 8th. Jones noted that the purpose of the agreements was to convey monies granted by the EVOST Council through the city and to SAAMS. In addition, the agreement with SAAMS set forth the terms of the lease of the property, construction of City of Seward, Alaska City Council Minutes March 13, 1995 Volume 30, Page 94 the facility and operation and maintenance of the facility. Jones briefly reviewed the two agreements and highlighted the main points. CITY MANAGER REPORTS JONES distributed the proposed FY 1996 budget schedule. Harbormaster Singleton reviewed the status of the nine boardwalk leases. Anderson thanked Singleton for his presentation and noted that the Boardwalk leases were a major concern of hers. She noted that the last of these leases would not expire until 2002, and all were currently being leased for only $1 per square foot. She added that she hoped the new appraisals would result in significant rate increases. COUNCIL DISCUSSION ANDERSON reported on collocation efforts of the hospital and the financial status of the hospital and clinic. She also noted that Council had met with the SLAC Board, Wesley Board, Hospital Board and other health care providers regarding a request by SLAC to place its proposed new facility at the site of the current physical therapy facility. She reported that Richard Jones's contract had been extended through June 1, 1995, and the Brim contract would expire on August 1st. Anderson also reported that the current hospital cash flow analysis indicated a negative cash flow problem by June 30, 1995. ANDERSON asked the Mayor to schedule a televised town meeting/work session on March 28th beginning at 6:00 p.m. Murphy was instructed to advertise the meeting on the Cable scanner as well as in the newspaper. She was also instructed to arrange for call -in capability to allow the public to call in questions during the meeting. SIEMINSKI asked that copies of the lease and maintenance agreements for Seward Ship's Drydock be placed in the library. CRANE scheduled employee evaluations as follows: 03/20 - Murphy (5 p.m.) and Jones (6 p.m.) 03/28 - Klinkner (5 p.m.) CRANE noted that the Council would discuss the possibility of designated Council seats at the next meeting. There was no objection from Council to the proposed budget schedule. CITIZENS' DISCUSSION LOUIE MARCH, Mile 5.5, Seward Highway, addressed the SMIC lease. City of Seward, Alaska March 13, 1995 City Council Minutes Volume 30, Page 95 BOB VALDATTA, 528 Fifth Avenue, noted that the city had received over $2.5 Million in lift revenues in the past 10 years. He asked how the city could have lost money if revenues had been this high. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS None ADJOURNMENT The meeting was adjourned at 8:50 p.m. � k,,7",72 LA 7-J 4 CJ �. Mu ph CM /AAE Dave W. Crane City Clerk Mayor (Cy Seal) City of Seward, Alaska Town Meeting - March 28, 1995 City Council Minutes Volume 30, Page 95 CALL TO ORDER The March 28, 1995, special town meeting of the Seward City Council was called to order at 6:00 p.m. by Mayor Dave W. Crane. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager City of Seward, Alaska City Council Minutes Town Meeting - March 28, 1995 Volume 3(f, Page 96 Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk ABSENT Patrick D. O'Brien SPECIAL ITEMS Mayor Crane noted that this town meeting had been called to present facts and answer questions regarding the lease and the shiplift maintenance and operating agreement between the City of Seward and Seward Ship's Drydock so that city voters could be well informed prior to the April 11th special referendum election. Murphy explained the election process and Jones gave a brief overview of the two agreements. Crane instructed the audience that this meeting had been called to answer questions, not to debate the issue. He also noted that television viewers could call in their questions. BOB VALDATTA, 528 Fifth Avenue, asked why the City was "giving up" the shiplift and how the City could claim it was losing money when revenues over the past 10 years had totalled $3.5 Million. Jones responded that the Council had chosen to enter into a shiplift maintenance and operating agreement with Seward Ship's Drydock in exchange for its earlier requirement that the lessee construct a 300 -ft. building on the lease site. He noted that ownership of the shiplift would remain with the City. He added that fees generated by the facility had never covered the City's cost of operating and maintaining the shiplift. Anderson added that the FY 1995 budget projected a $173,000 shortfall for the facility. Crane noted that his constituents had indicated to him that they did not wish to continue to subsidize the shiplift facility. In response to a further question from Valdatta, Jones noted that the shiplift manufacturer and various inspection agencies had estimated that the cost of deferred maintenance would range from a low of $600,000 to a high of $1 Million. LOUIE MARCH, Mile 5.5, Seward Highway, stated that the voters had rejected both a lease and sale of the shiplift in 1992. He asked why the City was now attempting to enter into a 35 -year agreement. Jones responded that this agreement was neither a lease or sale of the shiplift. Rather it was a lease of uplands property and a shiplift maintenance and operating agreement. In response to another question from March, Klinkner stated that Article XI, Section 11.02 F. of the lease provided that, if the lease was broken, all future rent due, reduced to reflect present day value, would be due immediately. DENNIS BUTTS, #3 Star Lane, asked for an explanation of the environmental liability issues in the maintenance and operating agreement. Jones explained that Seward Ship's Drydock would have 60 days following the effective date of the maintenance and operating agreement to conduct an environmental audit and to point out any problems that were thought to have occurred prior to the agreement's effective date. City of .Seward, Alaska City Council Minutes Town Meeting - March 28, 1995 Volume 34, Page 97 TERESA BUTTS, #3 Star Lane, stated that she was not satisfied with the administration's response. She claimed that Seward Ship's had performed an environ- mental audit of the area and questioned why this had not been made available to the City. Klinkner noted that Seward Ship's had not had control of the shiplift and rails system prior to the effective date of the maintenance and operating agreement and should not be required to take responsibility for any pre - existing problems. Therefore, the agreement provided a 60 -day window for the operator to assess the environmental condition of the site and point out problems to the City. He noted that, if the lessee and the City could not agree on who was to be responsible for the clean -up of any problem area, the agreement would be terminated immediately. He further noted that, at the end of the 60 -day window, Seward Ship's was required under the agreement to take full responsibility for any environmental problems later discovered at the site. DON WHITMAN, 635 Fifth Avenue, stated that Seward Ship's Drydock had never performed an audit west of the shiplift dock. BEN MEYERS asked how much property would be under the direct control of Seward Ship's Drydock. Jones responded that just under 6 acres would be directly controlled by the lessee. CHET HAWKER, Bear Lake, noted that Joel Steelman, the only other operator of the shiplift, had left the City in 1988 owing a great deal of money to the City. He stated that Pruitt was a responsible operator who had built a good business at the Seward Marine Industrial Center. He urged the City to allow him to continue to operate the facility. JIM PRUITT, asked D. E. Wood to explain a statement in his flyer which asserted that the City would be paying Seward Ship's Drydock $1 Million per year to save $150,000. D. E. WOOD, 407 -1/2 Madison, stated that, since the City would no longer require construction of the 300 -foot building, Seward Ship's would save $3.5 Million which it would otherwise have had to spend. Jones noted that the building construction requirement was a part of the prior lease and had nothing to do with the agreements approved by the Council in January. SUE CLIFTON, commented on the preferential rights granted to Seward Ship's Drydock under the maintenance and operating agreement. Jones noted that she was correct in her assertion that the fourth rail could accommodate ships no longer than 180 feet. WILLIAM GILMORE, Questa Woods, asked why the City was entering into this debate. He stated that Pruitt was a good businessman who had made the ship repair business work when no one else had been able to do the same. Jones replied that the City was required to present the referendum questions to the voters once a sufficient City of Seward, Alaska City Council Minutes Town Meeting - March 28, 1995 V 30, Page 98 referendum petition was filed and certified. He added that this meeting had been called in order to provide information to the voters and to answer questions and concerns raised by community members. He noted that the City planned to mail additional information to each registered voter. RHONDA SPURR, Nash Road, asked how the City could guarantee no job loss if the lease was voted down. Jones stated that the only guarantee that the jobs would remain in the community was to defeat the proposition and allow the agreements with Seward Ship's Drydock to go forward. MARIANNA KEIL asked several questions with regards to the default penalties in the agreements. Jones explained that the revenues from the lease were not required to be deposited in a special revenue account to fund a possible default. He noted that the lessee was required to complete deferred maintenance within a certain time frame, and failure to do so would constitute a default under the terms of the lease agreement. DICK BOYD raised questions concerning moorage, wharfage and storage fees at the North Dock. Jones stated that all fees generated at the North Dock would continue to come to the City. He added that wharfage generated at the Shiplift Dock would also come to the City. DENNIS BUTTS, #3 Star Road, noted that Seward Ship's Drydock was not allowed to charge administrative fees for deferred maintenance performed by its own employees. He asked what assurance the City had that Pruitt would not contract this work with his other company, Seward Ship's Chandlery, to avoid this provision. Jones replied that Seward Ship's Drydock was required to obtain city approval of any contracted work, and the City would insist on an agreement with similar provisions before approving such a subcontract. BUTTS asked if other proposals were sought before entering into the agreements under discussion. Jones replied that he was instructed by the Council to negotiate an agreement with Seward Ship's Drydock, therefore, other proposals were not requested by the City. D. E. WOOD asked what would happen if the lessee was in default at the end of the first five years of the agreement. Jones stated that the remedies for default ranged from a negotiated settlement of the issues to termination, with the specific remedy determined at the time of default. ADJOURNMENT The meeting was adjourned at 7:25 p.m. City of Seward, Alaska Town Meeting - March 28, 1995 o.:..0 ... . . City Clerk (City S� I r. b 4 w City of Seward, Alaska March 28, 1995 City Council Minutes Volume 31, Page 99 CALL TO ORDER The March 28, 1995, regular meeting of the Seward City Council was called to order at 7:40 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk ABSENT Patrick D. O'Brien City Council Minutes Volume 30, Pale 99 Dave W. Crane Mayor Hugh Darling Jerry F. King CITIZENS' COMMENTS City of Seward, Alaska March 28, 1995 City Council Minutes Volume 31, P age 1 Agenda items not scheduled for public hearing None Items other than those appearing on the agenda None APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/Deeter) Approve the Agenda and Consent Agen- da as presented. MOTION (Anderson/Sieminski) Motion Passed. To meet in Executive Session immedi- ately following the close of regular business to discuss a potential legal problem involving the Keegan Replat of property in Forest Acres. Unanimous VOTE ON MOTION TO APPROVE AGENDA AND CONSENT AGENDA Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The March 13, 1995, regular meeting minutes were approved as written; Resolution No. 95 -023, authorizing the City Manager to enter into a contract with Coffman Engineers to perform engineering services to upgrade the electrical system for the Small Boat Harbor, was approved; and Resolution No. 95 -024, establishing a special revenue account, appropriating funds and adjusting the Community Development Department Budget to facilitate the completion of Phase II of the Seward Historic Preservation Plan, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assemblymember Mike Wiley reported on the most recent meeting of the Borough Assembly. SPECIAL ORDERS AND PUBLIC HEARINGS Resolution No. 95 -022, approving a cooperative agreement between the City and the Alaska Department of Fish and Game and the long -term lease of City of Seward Waterfront Tracts 1, 2, 3, 4, 5 and 6 to the Seward Association for the Advancement of Marine Science for the financing, construction, operation and maintenance of the Alaska SeaLife Center City of Seward, Alaska City Council Minutes March 28, 1995 Volume 31, Page 101 Jones gave a brief overview of the documents before the Council for public hearing. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. STU CLARK, 1129 Park Place, thanked the SAAMS Boardmembers for their hard work and stated that he supported the agreements currently before the Council. JERRY DIXON, Nashwoods, stated that as a teacher at Seward Elementary School he supported the SAAMS agreements and commended the Council and SAAMS for providing this excellent opportunity for Seward and for education in general. CARRIE LONG, 602 Fourth Avenue, stated that she was a sixth grade student and supported the Alaska SeaLife Center project. She noted that Seward's children needed and deserved this opportunity to learn more about the marine environment. CHRISTIE HOLE, 2415 Cedar Street, sixth grader and Student Council President, voiced her support for the agreements. BOB VALDATTA, 528 Fifth Avenue, commended Long and Hole for their presentations and suggested that a portion of the $37 Million in grant funds be earmarked for school programs. LIEF SELKREGG, project manager, stated that he was available to answer any questions the Council had about the project. MOLLY MCCAMMON, Executive Director of the Exxon Valdez Oil Spill Trustees Council, conveyed the importance the EVOST had given to this project. She stated that the agreements before the Council represented the kinds of accountability the Trustees requested when the funds were approved, and it was now time for the City of Seward to show its commitment to the project. JIM SEEVE, Alaska Department of Fish and Game, distributed a briefing document explaining the department's interest in seeing this project to fruition. He stated that this represented an opportunity for construction of a world class lab to allow him and his colleagues to do the type of research needed to discharge their civic duties. MICHAEL CASTELLINI, University of Alaska Fairbanks, stated that there was an extreme demand for a facility such as the proposed Alaska SeaLife Center, and scientists worldwide had been asking about its progress and had stated that they were ready to come to Seward as soon as the facility was ready to provide research space. No one else appeared in order to be heard, and the public hearing was closed. City of Seward, Alaska City Council Minutes March 28, 1995 Volume 31, Page 1 MOTION (Sieminski/Anderson) Approve Resolution No. 95 -022 Jones noted that the legal description in the resolution was incorrect, and he asked the Council to amend the resolution to reflect the new description. Klinkner reviewed the following changes which had been made to the documents as a result of the March 20th work session: COOPERATIVE AGREEMENT 1. Section III2, third sentence, was amended to read: "The rent for space to conduct research funded with joint EVOS civil settlement funds including the 4000 square feet allotted to ADF&G at the Facility shall not exceed the cost per square foot computed on an annual basis for the research component of personnel costs, administrative expenses, Facility operations, [AND] Facility curatorial and repair and replacement costs, and maintaining reasonable reserves related to the Facility, but not including any depreciation, debt service or amortization." SAAMS AGREEMENT 1. The following definition of prime rate was added: " 'Prime Rate' means at any time to lowest annual rate of interest then designated as such by a commercial bank headquar- tered in Anchorage, Alaska." 2. SAAMS Agreement - Amended the third sentence of Section 3.5.5 to read as follows: "The rent for space to conduct research funded with joint Exxon Valdez Oil Spill civil settlement funds including the 4000 square feet allotted to ADF&G at the Project, shall not exceed the cost per square foot computed on an annual basis for the research component of personnel costs, administrative expenses, Project operations, curatorial, and repair and replacement costs, and maintaining reasonable reserves related to the Project, but not including any depreciation, debt service or amortization." 3. SAAMS Agreement - Added a Section 4.15 to read as follows: "435 As -built Drawings Promptly after final acceptance of the Project, SAAMS shall provide the City with a full set of as -built drawings for the Project. Promptly after any addition or alteration to the Project, SAAMS shall provide the City with revised as -built drawings as necessary to depict the addition or alteration." 4. Amended the last sentence of Section 5.6 to read as follows: "The Project Operating Budget shall, at a minimum, identify the source and amount of all revenues for the year, identify the category and amount of all operating expenses for the year, and the amounts of any deposits to the Renewal and Replacement Fund and the Termination Fund during the year." 5. Amended the last sentence of Section 5.6.1 as follows: "Except as provided in Section 5.6.4, SAAMS shall not adopt a Project Operating Budget nor revise the Project City of Seward, Alaska City Council Minutes March 28, 1995 Volume 31, Page 103 Operating Budget in any manner which results in operating expenses and deposits in the Renewal and Replacement Fund and the Termination Fund exceeding revenues for the year." 6. Amended the last clause of the second sentence of Section 5.6.3 as follows: "(iii) deposits into the Renewal and Replacement Fund and the Termination Fund for each month." 7. Amended Section 5.6.4.1 as follows: "The excess of operating expenses and deposits in the Renewal and Replacement Fund and the Termination Fund shall not exceed the amount on deposit in the operating reserve." 8. Amended Section 5.8.1 as follows: "For so long as sales and rents related to the visitor and educational parts of the Project are exempt from City and Kenai Peninsula Borough sales tax, SAAMS will collect on all such sales and rents and remit to the City an amount equal to the City sales tax that would be due on such sales and rents if such sales and rents were not exempt." 9. Amended Section 10.1 as follows: " SAAMS may sublease space within the interior of the Project subject to all of the following conditions:" Klinkner noted that agreement had not been reached on the City's request that title to the Project revert back to the City in the event that the Alaska Department of Fish and Game ceased to operate the facility. However, ADF &G had agreed that, once the 50 -year term of the agreement had ended, rental of the property would go to Fair Market Value. DARRYL SCHAEFERMEYER, SAAMS Executive Director, explained that the SAAMS Board had originally intended to collect City and Borough sales tax on all visitor related sales. However, it was feared that large tour operators, cruise ship operators and others might object to the payment of such taxes since the Borough Code specifically exempted such sales from the sales tax provisions. The Board and City had, therefore, agreed to a payment in lieu of tax (PILT) of 3% to the City. He noted that, since these were not sales tax revenues, the City was not obligated to pass any portion of the funds on to the hospital. In response to a question from Anderson, Selkregg noted that Appendices 4, 5 and 6 were works in progress and would be submitted to the EVOST Executive Director the first week in May for approval. Anderson asked for an explanation of the administrative overhead provisions in Section 4.12 of the SAAMS Agreement. Schaefermeyer explained that the City would continue to receive a one percent administrative fee on the $12.5 Million received from the State. In addition, the new agreement provided for a payment of one percent administrative overhead on all EVOS grant funds received during the first year of the agreement. After that, administrative fees would be paid based on the City's actual expenditures in managing and passing through the grant funds. He added that the City City of Seward, Alaska City Council Minutes March 28, 1995 Volume 31, Page 104 would receive a minimum of one percent up to a maximum of five percent of the funds to cover administrative costs. MOTION (King/Deeter) Amend the Cooperative Agreement, Section III.U., by adding a new Section 3 to read: "In no event shall the City be required to spend in excess of $500,000 per fiscal year in excess of Alaska SeaLife Center revenues to operate this Facility during the two year period following the City's determination that the Facility does not generate revenues sufficient to cover operating expenses and debt service of the Facility, plus fund sufficient reserves for repairs and replacements in the Facility." ALEX SWIDERSKI, Assistant Attorney General, stated that he did not have the authority to approve the suggested amendment but would take it back to the EVOST Council and to ADF &G for review and comment if approved by the City Council. Jones noted that he recognized and sympathized with King's goal to limit the City's exposure; however, authority existed in the agreements before the Council at this time to limit exposure to less than $500,000 per year. VOTE ON KING AMENDMENT Motion Failed. YES: King NO: Anderson, Crane, Darling, Deeter, Sieminski MOTION (Sieminski/Anderson) Amend by increasing the PILT in the Cooperative Agreement from 3% to 5 %. Selkregg noted that the PILT would be passed on to visitors to the Facility in the form of increased ticket prices. He added that, if the market would not allow sufficient increases in the ticket price to cover the extra 2 %, the ability of SAAMS to fund its required reserve accounts could be adversely affected. VOTE ON SIEMINSKI AMENDMENT Motion Failed. YES: Anderson, Sieminski NO: Crane, Darling, Deeter, King City of Seward, Alaska City Council Minutes March 28, 1995 Volume 31, Page 105 MOTION (Deeter/Darling) Amend the legal description in the resolution to read "Tract 2A" rather than Tracts 1, 2, 3, 4, 5 and 6. Motion Passed. Unanimous VOTE ON MOTION TO APPROVE THE RESOLUTION AS AMENDED Motion Passed. Unanimous Recess: The meeting was recessed at 9:00 p.m. and reconvened at 9:25 p.m. NEW BUSINESS Proposed Code amendment to provide for designated Council seats and p roposed Charter amendment to provide for 3�ear terms. Crane stated that he preferred designated Council seats for two reasons. First, it would lessen the expense of printing ballots since, presumably, fewer rotations would be required. In addition, bullet votes would be eliminated. He stated that candidates could target an individual incumbent and the voter would then have a clear choice for each seat on the ballot. Anderson stated that she had requested the research regarding extending term limits to three years. She stated that all of the City's Boards and Commissions had been increased to 3 -year terms in order to provide greater continuity, and it seemed logical that the City Council would benefit from extended terms. She also noted that this would provide for only two vacant Council seats per year rather than 3, thus lessening the potential for replacing half the Council at any given time. Deeter stated that he would like to see greater continuity, but could not support either term extensions or designated seats. King stated that he preferred to leave things as they were. Darling stated that he would like to see both changes take place. Anderson stated that any change in Council terms would require a Charter amendment which would be voted on by the people. The Clerk was instructed to prepare both items for presentation and action by the Council on April 10th. Schedule joint work session with the Planning Commission Crane asked the Clerk to give notice of a joint work session to begin at 7:00 p.m., Wednesday, April 12, 1995. CITY MANAGER REPORTS City of Seward, Alaska City Council Minutes March 28, 1995 Volume 31, Page 106 JONES distributed a memorandum from Police Chief Walker regarding the community jails contract. He asked Council to forward comments to him within the next few days so that they could be included in the position paper he was preparing. JONES noted some recent storm damage suffered by X Float. He noted that this was an insured loss and he would distribute a full report to the Council soon. COUNCIL DISCUSSION KING congratulated the SAAMS Board and stated that this should prove to be an excellent project for the City. DEETER congratulated Ms. Hole and Ms. Long on their presentations to Council and stated that he would like to see more students take an interest in City government. He also asked if the Seward Police Department was experiencing any problems similar to those reported in the Anchorage papers lately. Chief Walker stated that his staff had just completed a complete inventory of the property room and had found everything to be in order. He noted that all money and drugs were double locked, requiring two keys and two signatures for access. Deeter also congratulated SAAMS on its SeaLife Center Proj ect. ANDERSON congratulated SAAMS, the Administration and the City Attorney for completing a challenging job. SIEMINSKI asked if X Float would be repaired prior to the coming boating season. Jones replied that X Float was scheduled to be replaced at the end of the season. He stated that repairs would be made as soon as possible to make it usable until the replacement could be completed. DARLING congratulated SAAMS and thanked the participants in the Town Meeting held earlier in the evening. CRANE noted that the next meeting of the Kenai Peninsula Municipal Coalition was tentatively scheduled for April 6th in Homer and would conflict with the upcoming Budget Work Session. He rescheduled the Budget Work Session to Noon, Wednesday, April 5th. Crane also congratulated SAAMS and the students who testified at the public hearing. CITIZENS' DISCUSSION WILLARD DUNHAM, Forest Acres, thanked the Council for approving the Alaska SeaLife Center Agreements. He also noted that he would be asking the Council and administration for help in lobbying against a recently imposed 42 tax on black carbon steel shipped to Alaska and the West Coast. He stated that the loss in pipe shipments City of Seward, Alaska City Council Minutes March 28, 1995 Volume 31, Page 107 as a result of the tax would severely impact operations at the City Dock, Alaska Railroad revenues, and the livelihood of local longshoremen. LOUIE MARCH, Mile 5.5, Seward Highway, stated that he strongly supported the multi -user concept at the shiplift facility. He read a letter from Homer Steel Fabricators requesting use of the facility. BOB VALDATTA, 528 Fifth Avenue, addressed a number of his concerns including safety issues on the road to the Landfill and flood danger in low lying areas. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS JONES commented that the Homer Steel Fabricators owner would be happy to learn that the shiplift was still a multi -user facility. ADJOURNMENT The meeting was adjourned at 10:10 p.m. and, after a short recess, the Council reconvened in executive session to discuss possible litigation regarding the Keegan replat. Dave W. Crane Mayor City of Seward, Alaska April 10, 1995 City Council Minutes Volume 31 P age 107 CALL TO ORDER The April 10, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. City of Seward, Alaska April 10, 1995 ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS City Council Minutes Volume 31, Page 108 Agenda items not scheduled for public hearing BLAINE BARDARSON,1308 Chamberlain Drive, thanked the City of Seward for doing business with Seward Building Supply. He addressed Resolution No. 95 -029, purchase of a sewage pumper truck, and he cited costs associated with the ownership and operation of the truck and portable toilets. He encouraged the Council to continue contracting with private enterprise for sewage pumping and portable toilet rentals. Items other than those appearing on the agenda ELAINE KINCHELOE, 209 Ravina, spoke on behalf of the Chamber of Commerce about the upcoming tourist season. She noted that, at the recent sportsmen's show in Anchorage, many comments were received from citizens and tourists regarding the condition of the roads, fishing, camping and boating. She stated that the Chamber was committed to a healthy economy and fully supported development of a private Nash Road Small Boat Harbor. She invited the Council and public to the next Chamber meeting to hear discussion about the Nash Road Small Boat Harbor project. TOM TOUGAS, 1907 Dora Way, spoke regarding the future of the Seward Youth Center. He distributed the tabulated results of a questionnaire which had been completed by area teens and addressed their comments concerning needed improve- ments to the youth center. He noted that local teens would be included in a meeting to discuss options for the relocation of the present youth center. APPROVAL OF AGENDA AND CONSENT AGENDA City of Seward, Alaska City Council Minutes April 10, 1995 Volume 31, Page 109 MOTION (Sieminski/Anderson) Approve the Agenda and Consent Agen- da. Murphy noted a substitute Resolution No. 95 -027 Jones requested an executive session to discuss legal matters the immediate knowledge of which could have an adverse impact on city finances and ongoing contract negotiations with the electric intertie utilities. MOTION (Anderson/Sieminski) Meet in executive session after the regu- lar meeting to discuss legal matters the immediate knowledge of which could have an adverse impact upon city fi- nances and to discuss contract negotia- tions with the electric intertie utilities. Motion Passed. Unanimous King moved Ordinance No. 95 -03 and Resolution No. 95 -027 to the regular meeting agenda. VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The March 28, 1995, town meeting minutes and the March 28, 1995, regular meeting minutes were approved as written; Ordinance No. 95 -02, enacting SCC § 2.10.150, Adjustment of rent to fair market value, was introduced and public hearing was set for April 24,1995; Resolution No. 95 -025, approving a financial advisory agreement with Coastal Securities Ltd., was approved; Resolution No. 95 -026, amending the FY 1995 legal budget, was approved; Resolution No. 95 -028, providing for submission to the qualified voters of the City of Seward the question of enacting an initiative ordinance providing for a four percent hotel/motel room tax at an election in and for the City of Seward on October 3,1995, was approved; and Resolution No. 95 -030, terminating the use and operation of the Fourth Avenue Dock as a public dock, approving the vacation of public rights -of -way and other public City of Seward, Alaska City Council Minutes April 10, 1995 Volume 31, Page 110 areas related to the Fourth Avenue Dock, and providing for related matters, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Michael Wiley was not present. PRESENTATIONS WITH PRIOR NOTICE ONLY Bob Valdatta - Provosed Charter Amendment to create full -time Mav position Valdatta addressed the Council regarding the creation of a strong mayor form of government. He asked how this issue could be placed on the ballot. Murphy replied that the Council could place the issue on the ballot by resolution or the people could initiate a resolution through the petition process. Tim Pruitt - Port & Commerce Advisory Board Quarterly Report Chairman Pruitt reported on the activities of the Port and Commerce Advisory Board during the last quarter. ORDINANCES FOR INTRODUCTION Ordinance No. 95 -03, amending SCC § 2.10.015, Election of Mayor and Council, to provide for designated council seats MOTION (Sieminski/Anderson) Motion Passed. Introduce and set for public hearing on April 24, 1995. YES: Anderson, Crane, Darling, Sie- minski NO: Deeter, King, O'Brien RESOLUTIONS Resolution No. 95 -027, providing for the submission to the qualified voters of the City of Seward the question of amending § 3.2 of the Charter of the City of Seward at an election in and for the City of Seward on October 3, 1995 MOTION (Sieminski/Anderson) Approve Resolution No. 95 -027 (Substi- tute . Anderson spoke in support of three year seats and stated that this would provide for greater continuity on the Council and would prevent a possible majority turnover of the Council during the years when the Mayor was elected. Crane and Deeter supported putting the question before the voters at the next election. City of Seward, Alaska City Council Minutes April 10, 1995 Volume 31, Page 111 King stated that adding another year would remove some of the accountability of elected officials. O'Brien also opposed the resolution and stated that the public should have the right to vote a councilmember in or out every two years. Darling also Spoke in opposition to the resolution. VOTE ON MOTION Motion Passed. YES: Anderson, Crane, Deeter, Siemin- ski NO: Darling, King, O'Brien Resolution No. 95 -029 increasing campground revenues in the amount of $21,300 and appropriating funds to purchase a sewage pumper unit without full utilization of city bid procedures. MOTION (Sieminski/Darling) Approve Resolution No. 95 -029 Deeter asked Jones to respond to earlier comments by Blaine Bardarson, Seward Builder's Supply, regarding the costs associated with the City taking over the sewage pumping of portable toilets. Jones reported that the city could save money by assuming this task and purchasing the pumper unit. Anderson stated that she would rather see future grant funds used to build additional permanent restroom facilities. VOTE ON MOTION Motion Failed. Unanimous NEW BUSINESS Request by Rick Quint to negotiate the lease of Lot 2, Block 7, Oceanview Subdivision MOTION (Sieminski/Darling) Approve recommendation of the admin- istration to hold the Quint request in abeyance pending approval of the Mu- nicipal Land Management Plan. Martin stated that the property was located at the northwest corner of Van Buren and Fourth Avenue. He explained that the property was available for lease and was not designated for any particular use. He noted that a radio tower was located on the property and utilities were available to the site. City of Seward, Alaska City Council Minutes April 10, 1995 Volume 31, Page 112 VOTE ON MOTION Motion Passed. Unanimous CITY MANAGER REPORTS Jones updated the council on the status of the jail contract with the State. He noted that Senator Torgerson was working to fund the jail but the outlook was not good. He also reported on the construction cost of the Waterfront Park restroom. Jones updated the Council on the latest oil spill contingency planning effort, and he stated that the written plan was available in the city manager's office. Jones reported on community efforts to determine the future of the youth center. He encouraged the council to attend the meeting scheduled for Thursday in the Parks and Recreation Director's office. Jones reported that he had received several complaints about the stiff penalty assessed to those businesses that had not renewed their 1995 business license in a timely manner. He asked if the Council was interested in changing the policy on the penalties that were currently assessed at 100 percent of the amount of the license. Jones reported that the City had begun foreclosure proceedings against property owners in the Jesse Lee Heights Assessment District who were delinquent in paying property assessments. He noted that the Alaska Railroad had submitted an environmental assessment on the site of the hotel proposed by Brad Snowden. He added that ADEC would allow construction on the site since the petroleum contamination in the area was identified as mild and widely spread. Jones asked for a special meeting on April 13th at 7:00 p.m. to take action on repairs to "X" Float. COUNCIL DISCUSSION DEETER encouraged the citizens to vote on April 11th. ANDERSON stated that the Spring Creek Correctional Center's Citizen Group was meeting Tuesday, April 11th, in the City conference room to address possible reduced staff at the prison. She stated that she favored forgiveness of the business license penalty. SIEMINSIQ favored forgiveness of the business license penalties and spoke in support of the youth center. City of Seward, Alaska City Council Minutes April 10, 1995 Volume 31, Page 113 KING was opposed to funding the purchase of the Masonic Lodge for a youth center with a property tax increase. He suggested review of other building sites. He agreed that the business license penalty was too high and favored amending the City Code to lower the penalty rate. KING reported on the April 5th Planning Commission meeting. O'BRIEN spoke about the FY 1996 budget and encouraged the public to attend upcoming budget work sessions. DARLING spoke in support of the youth center and commended the work done by Shari Adelmann. He suggested that the City consider a youth center location nearer the school rather than proceeding with plans to acquire the Masonic Lodge. Darling also favored forgiveness of the penalty for business licenses. CRANE supported forgiveness of the business license penalty. He reported on the Kenai Peninsula Coalition meeting recently held in Seldovia. He noted that future meetings would be held quarterly. Crane invited the public to attend the upcoming budget work sessions and the Planning Commission/Council joint work session on Wednesday, April 12th. He apologized to one citizen who did not get a chance to address the Council at the last work session. Finally, he urged everyone to vote in the special election. The Council scheduled a special meeting for Thursday, April 13th, at 7:00 p.m. to address emergency repairs to 'A" Float, to introduce an ordinance related to the business license penalty and to meet in executive session to discuss the city manager's contract. Crane stated that the budget work session would be held immediately after the special meeting and the executive session would be held after the budget work session. CITIZENS' DISCUSSION SHARI ADELMANN, 221 Bear Drive, provided additional information regarding the youth center. She stated that the questionnaire was also given to youth who did not receive one at school but frequented the youth center. She noted that the results of the number of visits were higher when both questionnaires were compiled together. She stated that the elementary youth attendance totalled up to 40 per day and the average use overall was 30 youth and teens per day. KERRY MARTIN, 218 Bluefield, stated that the Planning Commission was holding a work session with the ASLC design team on Monday, April 17th, at 7:00 p.m. to discuss the design and aesthetics of the SeaLife Center buildings. BLAINE BARDARSON, 1308 Chamberlain Drive, thanked the Council for supporting private enterprise. City of Seward, Alaska City Council Minutes April 10, 1995 Volume 31, Page 114 STEVE LEMME, 331 Second Avenue, addressed the Council regarding the closure and the future of the youth center. He supported continued operation so that Seward's youth would have a safe, supervised place to go. Jones replied that the City planned to address this issue at a meeting Thursday in Parks and Recreation Director Sturdy's office. KARLA HAYES, Lowell Point, addressed the Council about the importance of the youth center. She stated that the city's youth needed a place for recreation. LOUIE MARCH, JR., Mile 5.5 Seward Highway, stated that he was seeking a state and federal audit of the City and Seward Ship's Drydock related to the funding of the SMIC shiplift facility. He asked about the ballot language and the public information pamphlets that were mailed to Seward citizens by the City. SHARYL SEESE, 529 Fifth Avenue, spoke in support of the youth center. TANYA BREIWI, 331 -1/2 Second Avenue, stated that she was a former member of the teen council and was involved in community activities. She supported the youth center as a safe place for youth to go. BOB VALDATTA, 528 Fifth Avenue, offered his services to sit on the Board to review the proposed Nash Road Harbor. He supported re- opening the sawmill to create jobs and economic opportunity. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS MURPHY stated that the purpose of a referendum petition was to seek the repeal of an action of council, whereas an initiative petition was filed to seek approval of an issue; therefore, since the petition in question sought repeal of Resolution No. 95 -001, the ballot language, of necessity, had to be worded in the manner appearing on the ballot. Murphy also informed the Council that it would need to introduce an ordinance to change the penalty for late filing of business license renewal applications. ANDERSON thanked the citizens for addressing the youth center and youth programs. She supported alternate sites in addition to the Masonic Lodge. JONES replied to March's comment noting that he had not received an actual information request on the cost of the rails and cradles but had received a highlighted newspaper article. He stated that memoranda on the cost were available. O'BRIEN assured the public that the Council supported continued operation of the youth center. ADJOURNMENT City of Seward, Alaska City Council Minutes April 10, 1995 Volume 31, Page 11 The meeting was adjourned at 9:36 p.m., and, following a brief recess, the Council reconvened in executive session to discuss legal matters the immediate knowledge of which could have an adverse impact on city finances and ongoing contract negotiations with the electric intertie utilities. L 4),�, U�_. Dave W. Crane Mayor City Council Minutes V 3 1, P age 11 CALL TO ORDER The April 13, 1995, special meeting of the Seward City Council was called to order at 7:10 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Lt. Brossow led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry F. King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (O'Brien/Anderson) Approve the Agenda and Consent Agen- da as presented. d: City of 5cward, Alaska April 13, l City of Seward, Alaska April 13, 1995 City Council Minutes Volume 3 1, P age 116 Motion Passed. The following Consent Agenda Item was approved: Ordinance No. 95 -04, amending Seward City Code §8.30.025C.1, concerning the fee for a late business license, was introduced and set for public hearing on April 24,1995. CITIZENS' COMMENTS Agenda items not scheduled for public hearing None Items other than those appearing on the agenda None RESOLUTIONS Resolution No. 95 -031, approving a contract with Storm Chasers, Inc., to repair X Float and to drive support piling at the northeast launch ramp and appropriating funds. MOTION (Sieminski/Anderson) Motion Passed. NEW BUSINESS Request for executive session MOTION (Anderson/Deeter) Motion Passed. COUNCIL DISCUSSION Without objection Approve Resolution No. 95 -031 Unanimous To meet in an executive session immedi- ately following the budget work session to discuss city manager contract negotia- tions. Unanimous SIEMINSKI asked about the spacing of the new planters in the downtown area. Engineering & Utilities Manager Calvert replied that only one -half of the planters were currently in place and that, when the remainder were received, they would be spaced equally. CITIZENS' DISCUSSION None COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS None City of Seward, Alaska April 13, 1995 City Council Minutes Volume 31, Page 117 ADJOURNMENT The meeting was adjourned at 7:18 p.m. City Clerk ' (City Seal) City of Sewar %Algska, April 20, 1995 , ail „Y City Council Minutes Volume 31, Page 117 CALL TO ORDER The April 20, 1995, special meeting of the Seward City Council was called to order at 6:00 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Lieutenant Brossow led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney (participated by teleconference) Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk APPROVAL OF SPECIAL MEETING AGENDA Dave W. Crane Mayor MOTION (Sieminski/Darling) Approve the Special Meeting Agenda. City of Seward, Alaska City Council Minutes April 20, 1995 Volume 31, Page 118 Motion Passed. Unanimous CITIZENS' COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING None SPECIAL ITEMS City Manager Contract Options O'Brien stated that the city manager's contract would expire on June 30, 1995. He added that, during recent negotiations with Jones, a proposal had been received by the Council and declined, and a counter proposal by the Council was declined by Jones. He noted that he had been in contact with Ron Garzini of the firm, Soulak/Woods Associates, Inc., to discuss the possibility of advertising for a city manager for an annual fee of $75,000. Garzini had informed him that a number of qualified applicants would respond to such an offer. O'Brien stated that he had called this meeting to seek Council consideration to offer a contract to Garzini. He added that it was necessary to act quickly because Garzini was considering a position in the city of Kodiak. MOTION (O'Brien/Darling) Instruct the city clerk to contact Garzini and offer the same contract as the cur- rent contract with Tyler Jones at a rate of $75,000 annually, effective July 1, 1995. In answer to a question from O'Brien, Klinkner advised the Council that it was under no obligation to retain Jones beyond the June 30th expiration date of his contract. He added that the Council could pursue any option it desired to obtain city manager services. Crane stated that he could not support the offer. He stated that he had been in contact with Jones via telephone, and Jones had informed him that he understood negotiations to be ongoing. Crane added that, since negotiations with Jones were incomplete, no offer should be made at this time. Anderson agreed. Darling supported the offer to hire a "top notch" city manager. He interpreted the last negotiation session with Jones, and Jones' decision to decline the Council's offer, as "not actually ongoing." Deeter agreed. Sieminski stated that he could not support the offer without the city manager's presence. He favored advertising for the position to give all applicants an equal opportunity to apply. The meeting recessed at 6 :24 p.m. and reconvened at 6 :28 p.m City of Seward, Alaska April 20, 1995 City Council Minutes Volume 31, Page 119 VOTE ON MOTION Motion Passed. YES: Darling, Deeter, King, O'Brien NO: Anderson, Crane, Sieminski COUNCIL DISCUSSION SIEMINSKI stated that he would like to address sales tax issues with Borough Assemblymember Wiley at the regular meeting on April 24th. O'BRIEN added that basic needs such as utilities and food should be exempt from sales tax, and he asked Gifford to provide a report on the percentage of sales tax that was derived from the sale of utilities. CITIZENS' DISCUSSION LOUIE MARCH, Mile 5.5 Seward Highway, objected to having a special meeting on such short notice. He stated that this issue could have been addressed at the regular meeting. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS O'BRIEN replied to March that the urgency was real since Garzini was considering a position with another municipality. ADJOURNMENT The meeting was adjourned at 6:35 p.m. (city seal) �.2d P�.. l I/W/t� Dave W. Crane Mayor na 4Y qi � b L le �� a , a �.2d P�.. l I/W/t� Dave W. Crane Mayor I .,� - ': City of Seward, Alaska City Council Minutes April 24, 1995, Special Meeting V olume 31, Page 120 CALL TO ORDER The April 24, 1995, special meeting of the Seward City Council was called to order at 6:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Lieutenant Brossow led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney (participating by telephone) Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk APPROVAL OF SPECIAL MEETING AGENDA MOTION (O'Brien/Darling) Approve the Special Meeting Agenda. Motion Passed. YES: Darling, Deeter, King, O'Brien NO: Anderson, Crane, Sieminski CITIZENS' COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING ANNE CASTELLINA, 211 Bluefield, voiced her surprise at the Council's action to replace Jones with a new city manager. She noted that Jones' recent evaluation was very good, and she felt it was wrong for the Council to replace him while he was on vacation. She asked the Council to listen to the community before making any decision. LOUIE MARCH, Mile 5.5 Seward Highway, objected to the Council replacing the city manager and circumventing the public hearing process. He urged the Council to advertise for a manager and requested postponement until the regular meeting. City of Seward, Alaska City Council Minutes April 24, 1995, Special Meeting Volume 31, Page 121 JIM PRUITT, Maple Street, asked the Council to postpone action in order to allow Jones to respond to the Council's recent decision to offer a contract to Garzini. STU CLARK, 1129 Park Place, stated that the Council was legally correct in its actions, but it was wrong to change city managers in the absence of Jones. He voiced his objection to the replacement. JAMES A. KRASNANSKY, 536 Second Avenue, stated that different councilmem- bers seemed unclear about the outcome of recent contract negotiations with Jones. He questioned the propriety of actions by certain councilmembers. DOT BARDARSON, Nash Road, objected to the Council's action. PATRICIA KAMINSKY, 200 Marathon, stated that the Council's actions were being perceived as back door politics and it made a bad impression on the community. She objected to the Council's action. RESOLUTIONS Resolution No. 95 -038, approving an employment agreement with Ronald A. Garzini MOTION (O'Brien/Darling) Approve Resolution No. 95 -038 Sieminski asked Darling, Deeter, King and O'Brien to elaborate on the reason for offering Garzini a contract for the city manager position. Deeter replied that he had contacted individuals throughout the state and Garzini was given good references. King replied that he supported the contract because of Garzini s experience as the City's former city manager, his willingness to accept less money and his familiarity with political issues locally and statewide. Darling replied that he had based his opinion on Garzini s reputation during his tenure as Seward city manager. He added that Garzini was a promoter of community growth. O'Brien replied that Garzini was the best of the five managers with whom he had worked. He noted that there was growth and stability in the community during Garzini s tenure. He added that Garzini was an economic achiever and could "make things happen." Crane stated that this was an important issue and needed further thought and consideration before hiring a city manager. He suggested that the Council interview City of Seward, Alaska April 24, 1995, Special City Council Minutes Volume 31, Page 122 Garzini prior to taking action on this contract. He stated that the Council had not worked together on this issue, and felt that he was not included in the process of selecting Garzini. He urged the Council to "do the right thing for the community ". Anderson commented that the reason given for the April 20th special meeting was that there was a sense of urgency in hiring Garzini. She stated that she had contacted the Kodiak City Clerk who had informed her that the list of applicants had been narrowed to 19, one of which was Garzini. King stated that the Council had made an offer to Jones which he had rejected. King also mentioned that Jones was presented with one of the best contract offers in the state. O'Brien stated that Jones had declined a better contract offer than his current contract. He added that Jones had walked away from negotiations without considering any other options. He explained that negotiations had been terminated by Jones, not the City Council. Crane interpreted the contract negotiations differently, explaining that part of the Council thought negotiations were completed and others thought the negotiations were ongoing. He added that further negotiations should have been completed with Jones upon his return prior to taking any action regarding the city manager. He noted that he had a problem with the way in which a new city manager was recruited. Anderson asked Crane to read a transmittal letter that was received from Jones. Crane read the letter which indicated that Jones preferred to resume contract negotiations upon his return from vacation. Jones also indicated that he thought negotiations had not been completed. Anderson stated that it appeared that Jones was being punished for requesting changes to his contract. She stated that further negotiations should continue. Deeter stated that he had received more phone calls on this issue than any other during his time in office. Of those calls, 25 supported Council's action and six were in opposition. He stated that Garzini would be paid less and receive less benefits than Jones was requesting. He added that the issue was about "what was best for the community." He noted that this was a tough issue and not an easy decision to make. Darling stated that the majority of Council left with the opinion that negotiations were over and it was in the best interest of the city to hire a manager to keep things moving smoothly. MOTION (Crane /Anderson) Postpone until the May 8th meeting. City of Seward, Alaska City Council Minutes April 24, 1995, Special Meeting Volume 31, Page 123 Crane stated that there was not a sense of urgency and he would like to finish the public process before making a final decision. Darling objected to postponement since negotiations were concluded. Sieminski stated that the Council used an incorrect process. VOTE ON MOTION Motion Failed. YES: Anderson, Crane, Sieminski NO: Darling, Deeter, King, O'Brien VOTE ON MOTION TO APPROVE RESOLUTION Motion Passed. YES: Darling, Deeter, King, O'Brien NO: Anderson, Crane, Sieminski COUNCIL DISCUSSION O'BRIEN stated that changing city managers was never easy, and he added that each Councilmember present thought they were doing the right thing. In answer to a question from SIEMINSKI, Mr. Klinkner explained the open meetings act as it related to meetings subject to the act. Klinkner explained that any person, as a citizen, could file a complaint in court if they believed there was a violation of the open meetings act. ANDERSON expressed disappointment with the actions recently taken by certain members of the City Council. Crane agreed and stated that he was embarrassed about the Council's action. O'BRIEN responded to Anderson that a majority of the Council, not one councilmember as an individual, offered a contract to Garzini. DEETER stated that his vote was cast for what he thought was best for the city of Seward. KING added that Jones was not fired but was given an offer that was declined. He noted that a majority of the Council did not desire to continue negotiations. CITIZENS' DISCUSSION City of Seward, Alaska City Council Minutes April 24, 1995, Special Meeting Volume 31, Pags 12 4 STU CLARK, 1129 Park Place, thanked Mayor Crane for attempting to postpone action and berated the Council for its action. BLAINE BARDARSON, 1308 Chamberlain, asked the Council to put this issue behind them and work together for the community. PATRICIA KAMINSKY, 200 Marathon, stated that the Council should have considered more than one person for the city manager position. She also stated that the entire proper process was destroyed by the action of the Council. BOB VALDATTA, 528 Fifth Avenue, stated that Jones had been hired as city manager and port marketing director. He expressed disappointment that no port marketing had been accomplished during Jones' tenure. He urged the Council to give Garzini a fair chance. LOUIE MARCH, Mile 5.5 Seward Highway, read and distributed to the clerk a letter expressing his disapproval of hiring Garzini. He objected to the process used by the Council. JAMES A. KRASNANSKY, 536 Second Avenue, stated that it was "unreal" how the Council voted earlier in the evening. He urged the Council to reconsider its action. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS Murphy responded that a motion to reconsider could not be applied to motions involving contracts. ADJOURNMENT The meeting was adjourned at 7:35 p.m. S City Clefk I I €a €s \ 1 � 9 � 1 (City x� „n C W tl t °MT t9 ^fl xP i 0 ,l ot Dave W. Crane Mayor City of Seward, Alaska City Council Minutes April 24, 1995, regular meeting Volume 31, Page 125 CALL TO ORDER The April 24,1995, regular meeting of the Seward City Council was called to order at 7:40 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Lieutenant Brossow led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Patrick D. O'Brien comprising a quorum of the Council; and Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Hugh Darling Jerry King Bruce Sieminski Agenda items not scheduled for public hearing BLAINE BARDARSON, 1308 Chamberlain, addressed the proposed purchase of the sewage pumper and urged the Council to continue to support private enterprise. Items other than those appearing on the agenda None. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson/Deeter) Approve the Agenda and Consent Agen- da Murphy noted substitute Ordinance No. 95 -05 to accommodate.various formatting changes and substitute Resolution No. 95 -037 Anderson moved Ordinance No. 95 -07 and Resolution No. 95 -037 to the regular meeting agenda. She noted a correction to the April 10th minutes regarding her statement about relocation of the youth center to the masonic lodge. Murphy stated that the minutes would be amended to accurately reflect her statement. City of Seward, Alaska City Council Minutes April 24, 1995, regular meeting V 3 1, Page 126 Sieminski move Ordinance No. 95 -06 to the regular meeting agenda. He also added discussion of a proposed "pooper scooper" ordinance to New Business. Yanez added New Business Item B., proposal for rock contract by Afognak Logging. VOTE ON MOTION Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The April 10, 1995, regular meeting minutes were approved as amended and the April 13, 1995, special meeting minutes were approved as written; Ordinance No. 95 -05, Substitute, amending Title 3 of the Seward City Code concerning the City Clerk Department, and making other technical revisions to that Title, was introduced and public hearing was set for May 8, 1995; Resolution No. 95 -033, amending the contract with Dryden & LaRue, Inc., to provide design and construction support services for Phase II of the transmission line project, was approved; Resolution No. 95 -034, amending the contract with Land Field Services to provide for the acquisition of remaining permits for completion of Phase II of the transmission line project, was approved; Resolution No. 95 -035, awarding a contract to City Electric, Inc., for construction of Phase II of the transmission line project, was approved; and The April 11, 1995, special election was certified. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley gave a verbal report of the April assembly meetings. He reported that the school budget was approved and street names were being changed throughout the borough to comply with the enhanced 911 emergency system. Sieminski addressed borough property and sales tax issues with Wiley. Wiley stated that he would make available a detailed list of the distribution of tax revenues to various activities and projects. SPECIAL ORDERS AND PUBLIC HEARINGS Ordinance No. 95 -02, enacting SCC § 7.05.150, adjustment of rent to fair market value City of Seward, Alaska City Council Minutes April 24, 1995, regular meeting Volume 31, Page 127 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (O'Brien/King) Enact Ordinance No. 95 -02 Discussion was held regarding the process for determining the fair market value of property. Martin reported that the appraiser would provide draft figures by May 15th, and the final report would be presented by June 30th. VOTE ON MOTION Motion Passed. Unanimous Ordinance No. 95 -03, amending SCC § 2.10.015, election of mayor and council, to provide for designated council seats Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. MARILYN REYNOLDS, 225 Sixth Avenue, stated that the Council, rather than the public, had sponsored an amendment to designate council seats. She objected to amending the code but requested that the Council seek voter approval of designated seats at the October election rather than vote on the issue at this time. No one else appeared in order to be heard, and the public hearing was closed. MOTION (Anderson/Deeter) Enact Ordinance No. 95 -03 King supported the current system of electing the three highest vote getters. Anderson spoke in support because each candidate would run for office based on issues rather than personalities. MOTION (Deeter /Crane) Refer to voters as an advisory vote. O'Brien supported the amendment. Crane agreed and stated that the intent behind the ordinance was to bring Seward in line with other borough cities and to eliminate bullet voting. VOTE ON AMENDMENT Motion Passed. YES: Crane, Darling, Deeter, King, O'Brien NO: Anderson, Sieminski City of Seward, Alaska April 24, 1995, regular meeting City Council Minutes Volume 31, Page 128 Ordinance No. 95 -04, amending SCC § 8.30.025 C.1, concerning the fee for a late business license application Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. BOB VALDATTA, 528 Fifth Avenue, suggested charging an extra $5.00 per business in order to print a catalog of licensed businesses. No one else appeared in order to be heard, and the public hearing was closed. Murphy noted a suggested substitute ordinance that would change the renewal date instead of the penalty date which would provide for consistency in the City Code. MOTION (O'Brien/Darling) Enact Substitute Ordinance No. 95 -04 Motion Passed. Unanimous Resolution No. 95 -032, amending water rates and charges Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Deeter) Approve Resolution No. 95 -032 In answer to a question from Sieminski, Utility Engineer Calvert replied that bed and breakfast establishments were determined to be commercial or residential in accordance with zoning code regulations. Sieminski stated that any business that rented rooms put an extra burden on the water and sewer system and should be charged accordingly. The Council held a discussion regarding water rates for ships. Calvert reported that the rate charged to ships was in line with the city's cost to provide the water. VOTE ON MOTION Motion Passed. Unanimous ORDINANCES FOR INTRODUCTION Ordinance No. 95 -06, repealing and re- enacting Title 14, Utilities City of Seward, Alaska City Council Minutes April 24, 1995, regular meeting Volume 31, Page 129 MOTION (Sieminski/O'Brien) MOTION (Sieminski/Anderson) Motion Failed. Introduce Ordinance No. 95 -06 and set public hearing for May 8, 1995. Amend to include bed and breakfast mercial use the definition of a business as a com- YES: Sieminski NO: Anderson, Crane, Darling, Deeter, King, O'Brien VOTE ON INTRODUCTION OF ORDINANCE Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski Ordinance No. 95 -07, amending SCC Chapter 15.10, Seward Zoning Code, regarding lodging MOTION (Sieminski/Darling) Introduce Ordinance No. 95 -07 Anderson asked for a ruling from the Mayor regarding a possible conflict of interest on behalf of Councilmembers King and O'Brien since they owned lodging businesses. Crane ruled that no conflict of interest existed. Sieminski objected to the operation of bed and breakfast businesses by persons other than owner- occupants. Anderson expressed concern about day - lodging businesses operating in residential districts. Yanez explained that, in accordance with the Seward Comprehensive Plan, zoning was too restrictive, and this ordinance would relax certain zoning requirements for lodging businesses. In answer to a question from Anderson, Community Development Director Martin stated that apartment tenants were not allowed to operate a lodging business within their residence. He further noted that lodging establishments would be required to obtain life safety inspections, and a permit fee would be established to pay for the inspection. MOTION (Sieminski/Anderson) Amend to require that bed and break- fast businesses in residential districts be owner- occupied. City of Seward, Alaska April 24, 1995, regular meeting City Council Minutes Volume 31, Page 130 King supported the ordinance as recommended by the Planning Commission. VOTE ON AMENDMENT Motion Failed. YES: Anderson, Sieminski NO: Crane, Darling, Deeter, King, O'Brien O'Brien also supported the Planning Commission recommendation. The Council held a lengthy discussion about the benefits and detriments of allowing non -owner occupants to operate a lodging business. MOTION (Sieminski/Anderson) Motion Passed. Refer to the administration to make changes to provide for owner- occupancy of bed and breakfast businesses in resi- dential areas YES: Anderson, Darling, Deeter, Sie- minski NO: Crane, King, O'Brien RESOLUTIONS Resolution No. 95 -036, approving the purchase of a sewer pumper within the Motor Pool Fund MOTION (Sieminski/Deeter) Approve Resolution No. 95 -036 Sieminski explained that the Parks and Recreation Department had made a sincere effort to save public funds by utilizing in -house staff to perform maintenance in the city campgrounds and parks. He did not think the intent of the City was to interfere with private enterprise. Yanez stated that the administration planned to work with Bardarson on sewage pumping as directed by the Council at the April 10th meeting. VOTE ON MOTION Motion Failed. YES: Anderson, Deeter, Sieminski NO: Crane, Darling, King, O'Brien Resolution No. 95 -037, Substitute, authorizing the purchase of boilers for the Fire Hall and appropriating funds City of Seward, Alaska City Council Minutes Apr 24, 1 995, r eg u la r meeting Volume 31, Page 131 MOTION (Sieminski/Deeter) Approve Resolution No. 95 -037 Yanez explained that the boiler in the fire hall had failed and the building was currently unheated; therefore, it was necessary to make an emergency purchase of a boiler. VOTE ON MOTION Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski RECESS: The meeting recessed at 9:42 p.m. and reconvened at 9:52 p.m. NEW BUSINESS Proposal for purchase of rock by Afognak Logging Engineering and Utilities Manager Calvert reported that Afognak Logging proposed to mine the city's rock quarry. He added that the city could sell the rock to Afognak or exchange the rock for a stockpile for city use. The Council directed the administration to prepare a contract for exchange as recommended by the administration and have the contract reviewed by the attorney. "Pooper scooper" ordinance Council directed the administration to prepare an ordinance to require cleanup of animal waste. CITY MANAGER REPORTS YANEZ distributed and reviewed a schedule of events for the month of May. COUNCIL DISCUSSION ANDERSON requested that the community survey results be distributed to the Council prior to May 8th. She noted that the city should work with its lobbyist to ensure continued funding for the AVTEC facility. She urged the public to become involved in the budget planning process. She also noted that the federal government was not required to obtain a city building permit prior to construction at the army recreation camp. She objected stating that everyone should be required to follow city regulations. SIEMINSKI stated that the youth center building could be moved next to the Chamber office to use as office space. CRANE welcomed Garzini and stated that he hoped the action of the Council earlier in the evening would not affect the working relationship of the Council. City of Seward, Alaska April 24, 1995, regular meeting CITIZENS' DISCUSSION City Council Minutes Volume 31, Page 132 MICHAEL WILEY, 550 Railway, stated that Mayor Gilman would not be present at the May 2nd assembly meeting. Wiley stated that the government should have less control and the people should be allowed more free enterprise. He told the Council that the Planning Commission had closed a loophole in the City Code by recommending the passage of Ordinance No. 95 -07, regarding lodging. BLAINE BARDARSON, 1308 Chamberlain, Planning Commission Chairman, stated that the Planning Commission had worked on the lodging issue for months and it had posed many questions and worked through many problems during that time. He cited the pros and cons of private enterprise versus city control of certain projects. He voiced his concern that the Council had voted unanimously to continue with private sewage pumping at the last meeting but gave a split vote tonight, barely supporting continued private enterprise. STU CLARK, 1129 Park Place, supported Anderson's comments regarding construction at the army recreation camp. BOB VALDATTA, 528 Fifth Avenue, discussed legislation related to shipping of coal and other industrial products. He suggested use of the lower half of the McMullen building as a future youth center. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS ANDERSON replied to Bardarson's comments about the change in Council vote regarding the sewage pumper. She said that, when dealing with a political body, there was no assurance that arrangements would continue unchanged since the Council changed each year. SIEMINSKI thanked Bardarson for his comments and invited him to attend upcoming budget work sessions. ADJOURNMENT The meeting was adjourned at 10:25 p.m. M u it Seal `- Y kwe, � Dave W. Crane Mayor City of Seward, Alaska May 8, 1995 City Council Minutes Vol ume 31, Page 133 CALL TO ORDER The May 8, 1995, regular meeting of the Seward City Council was called to order at 7:38 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Lieutenant Brossow led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Jerry King Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Carol Giles, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk ABSENT was: Darrell Deeter (Excused) CITIZENS' COMMENTS Hugh Darling Patrick D. O'Brien A. Agenda items not scheduled for public hearing KARLA HAYES, Lowell Point, spoke in support of relocation of the youth center to the Masonic Lodge. SHARYL SEESE, 527 First Avenue, spoke in support of the youth center. She submitted a check totalling $1629.00 from the recently disbanded Business and Professional Women's Club to Youth Center Director Shari Adelmann and challenged other civic organizations to donate to the youth center facility fund. MIKE WILEY, 550 Railway, spoke in opposition to proposed Ordinance No. 95 -09 City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 134 DENNIS LODGE, 423 Lancelot Drive, Camelot, addressed the Council on behalf of the Regional Citizens Advisory Council. He reported that comments were being taken by the U. S. Coast Guard on the proposed continuation of the RCAC. He encouraged the Council and public to support continuation of the oil spill watchdog committee. B. Items other than those appearing on the agenda PATRICK REILLY, Attorney, 909 Third Avenue, read a letter on behalf of the "public ", opposing the process used by the City Council in changing city managers. He requested that the Council and Garzini mutually rescind the recent contract that was approved on April 24th for city manager services between Garzini and the City of Seward. He stated that if the Council failed to take action or respond to his comments a lawsuit against the City would be forthcoming. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson/Sieminski) Approve the Agenda and Con- sent Agenda as presented. Anderson moved the special meeting minutes of April 20th and April 24th, Resolution No. 95 -044, and Resolution No. 95 -045, to the regular meeting agenda. She also requested the addition of New Business Item 13 D., discussion of the contract with Ron Garzini. King moved Ordinance No. 95 -09 to the regular meeting agenda. VOTE ON MOTION TO APPROVE AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The April 24, 1995, regular meeting minutes were approved as written; Ordinance No. 95 -08, amending Table 15.10.225, Land Uses Allowed, regarding transient merchants on the Fourth of July, was introduced and public hearing was set for May 22, 1995; Ordinance No. 95 -10, establishing Chapter 15.15, Historic Preservation, and repealing SCC § 12.01.035, Historic District Established, was introduced and public hearing was set for May 22, 1995; Resolution No. 95 -040, approving the budget for the 'B" Float restoration project and appropriating funds, was approved; City of Seward, Alaska City Council Minutes May 8, 1995 Vo lum e 31, P 135 Resolution No. 95 -041, appropriating funds and revising department revenue line items for development of improved campsites in Waterfront Park, was approved; Resolution No. 95 -042, approving a special services contract with Ronald F. Krohn for inspection services for phase II of the transmission line project; was approved; and Resolution No. 95 -043, approving a contract with R & M Consultants for flagging and surveying of phase II of the transmission line project, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley gave a verbal report of the May 2nd Assembly Meeting held in Seward and thanked the Council for hosting a dinner for the Assembly. Anderson voiced her appreciation of the Assembly's progress regarding the preservation of the Kenai River and its tributaries. APPROVAL OF MINUTES April 20 1995, special meeting minutes MOTION (Sieminski/O'Brien) Approve the April 20, 1995, special meeting minutes. Anderson asked for a verbatim transcript of the minutes to be kept on file as a permanent record. There was no objection to the preparation of a verbatim transcript of the April 20, 1995, special meeting. VOTE ON MOTION Motion Passed. Unanimous April 24 1995 special meeting minutes MOTION (Sieminski/O'Brien) Approve the April 24, 1995, special meeting minutes. Anderson asked for a verbatim transcript of the minutes to be kept on file as a permanent record. There was no objection to the preparation of a verbatim transcript of the April 24, 1995, special meeting. VOTE ON MOTION Motion Passed. Unanimous City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 136 SPECIAL ORDERS AND PUBLIC HEARINGS Mayor Crane read and presented proclamations designating May 7 -13 as Hospital Week and May 14 -20 as Nursing Home Week to Richard Jones, CEO of the Seward General Hospital and Wesley Rehab and Care Center; and a proclamation designating May 14 -20 as Emergency Medical Services Week. Ordinance No. 95 -05, amending Title 3 of the Seward City Code concern- ing the city clerk department and making other technical revisions to that Title Murphy explained that the ordinance was necessitated by the Charter amend- ments approved by the voters in October 1994. She explained that the Charter change specified that employees in the city clerk's department would report directly to the city clerk, and personnel matters in the clerk's department would be handled by the city clerk rather than the city manager. She added that, throughout Title 3, the words "appointing authority" were substituted for the words "city manager." Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Enact Ordinance No. 95 -05 Motion Passed. Unanimous Ordinance No. 95 -06, repealing and re- enacting Title 14, Utilities Engineering and Utilities Manager Calvert stated that certain areas throughout Title 14 were amended to conform to existing policies and procedures. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Enact Ordinance No. 95 -06 Anderson noted that one of the proposed amendments clarified that some occupations, as defined in the zoning code, were allowed as a residential account, and the code clarified when a bed and breakfast business became a commercial account. She added that businesses operating as home occupations should use the zoning code rather City of Seward, Alaska City Council Minutes May 8, 1995 V olume 31, Page 137 than the utilities section to determine whether or not they were a residential or commercial account. VOTE ON MOTION Motion Passed. Unanimous Fiscal Year 1996 proposed budget Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. RHONDA HUBBARD,1800 Jesse Lee Drive, commented on various budget topics including property tax revenue, the hospital, use of city services by citizens residing outside the city limits, the impact of tourism on Seward, the need for an increased infrastructure to support city growth and user fees. No one else appeared in order to be heard, and the public hearing was closed. Resolution No. 95 -039, adopting the City of Seward Municipal Lands Management Plan Community Development Director Martin gave a brief overview of the Land Management Plan. He noted that the plan was designed to identify city lands available for acquisition or disposal, leased lands, surplus lands and public use land. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Anderson) Approve Resolution No. 95 -039 Anderson complimented the Community Development Department on development of the plan. She felt that the public should have additional time to review the document and provide comments. MOTION (Anderson/O'Brien) Motion Passed. Postpone until May 22, 1995. Unanimous The Council scheduled an additional public hearing for May 22, 1995. City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 138 PRESENTATIONS WITH PRIOR NOTICE ONLY Historic Preservation Commission Applicants ANNE CASTELLINA was not present. Murphy noted that DONNA KOWALSKI had submitted a letter stating that she would be unable to attend the meeting. DAN SEAVEY was not present. Judith A. Martin, Seward Seniors, Inc. - Jesse Lee Properties Renovation Project JUDITH A. MARTIN gave a presentation using visual aids on the proposal by the Seward Seniors to renovate the Jesse Lee Properties to provide housing for senior citizens. She gave an overview of the history of the Jesse Lee Home. She stated that a petition was currently being circulated in support of renovation of the Home. She noted that she had received an opinion from an architect that the building could be renovated and there was no objection to renovation from neighboring property owners. She asked the City to consider removing the indebtedness on property in order for the Seniors to proceed with site preparation. She added that, if the City would forgive the assessments owed on the property, property owner Frank Irick would donate $111,000 towards the project. She introduced Ken Gain, President of Abundant Living. KEN GAIN, 903 West Northern Lights, Suite 200, Anchorage, stated that he was the president of a non -profit corporation working to develop a 46 -unit senior citizen complex in Anchorage. He noted that he was also working to assist the Seward Seniors to obtain seed money for feasibility studies and economic development through private funds and grants. He distributed an agreement for the purchase of the Jesse Lee Property from Frank Irick. In answer to a question from Crane, Gain stated that there was no objection on the part of the Seward Seniors to making the forgiveness of the assessment contingent upon the receipt of funding for the project. In answer to a question from Sieminski, Gain stated that the property would remain on the tax rolls absent specific action by the Council to exempt the facility from taxation. CLIFFORD GROH, representing Mr. Irick, addressed the Council concerning the property assessment owed by Irick and the subsequent foreclosure proceedings initiated by the City. He requested forgiveness of the assessment and noted his willingness to seek resolution of the matter. Valerie Lemas, Peninsula Retriever Association - Request for permission to hold field trials on May 20th and May 21st City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 139 VALERIE LEMAS asked the Council for permission to hold field trials on property located adjacent to the airport. She stated that she had received permission from the landowners to use the land. In answer to a question from Crane, Lemas stated that she had not yet met with the police chief to obtain a permit for the discharge of firearms. Jones suggested that the Council approve her request contingent upon approval by Chief Walker and the Administration. 1995 Community Survey Results Jones and Yanez presented the results of the latest community survey conducted in April. RECESS The meeting recessed at 9:10 p.m. and reconvened at 9:20 p.m. ORDINANCES FOR INTRODUCTION Ordinance No. 95 -09, amending Seward City Code Chapter 9.05, Animals and Fowl, to require the proper disposal of animal waste on public property MOTION (Anderson/Sieminski) Introduce and set for public hearing May 22, 1995. O'Brien stated that the ordinance was a good idea, but enforcement would create a burden on the administration. King stated that he had not received any public comments in support of the ordinance and could not support it at this time. He stated that he was concerned that the ordinance allowed pet owners to trespass on private property to clean up after their animals. Darling voiced his support for the ordinance despite any difficulty associated with enforcement. Anderson stated that she supported the ordinance and felt it would send a message to the public that the city was concerned about this issue. In response to Anderson's request, Parks and Recreation Director Sturdy replied that questions about enforcement were valid, but she felt that at least 90% of the people would comply with the proposed regulations. She noted that her main concern was cleanliness of the bike trail. Anderson noted that animals were no longer allowed on the Exit Glacier trail. VOTE ON MOTION Motion Passed. YES: Anderson, Crane, Darling, Sie- minski NO: King, O'Brien City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 140 RESOLUTIONS Resolution No. 95 -044, officially naming the park at 401 Railway Avenue within the Waterfront Tracts, Hoben Park. MOTION (O'Brien/Sieminski) Approve Resolution No. 95 -044 Anderson objected to naming the park Hoben Park. She distributed a letter she had written to the Historic Preservation Commission in February outlining her reasons for opposition. She supported the development of an enhancement plan for the entire area including the Historic Railroad Depot. She added that the area should be considered a Seward Historical Memorial Site in honor of the individuals and organizations who had cared for the park during its 70 year history. She added that the City had an opportunity to work with the planners of the Alaska SeaLife Center to develop the area as a tribute to Seward's transportation history. VOTE ON MOTION Motion Passed. YES: Crane, Darling, King, O'Brien NO: Anderson, Sieminski Resolution No. 95 -045, extending the KPMG Peat Marwick audit contract for Fiscal Year 1995 MOTION (Sieminski/O'Brien) Motion Passed. Approve Resolution No. 95 -045 Unanimous UNFINISHED BUSINESS Ordinance No. 95 -07, amending SCC Chapter 15.10, Seward Zoning Code, regarding lodging Murphy noted that a motion for introduction was on the floor and a substitute ordinance, included in the agenda packet, had been prepared by the administration at the request of the Council. MOTION (Anderson/Sieminski) Amend by substituting Ordinance No. 95 -07, substitute. King stated that he was opposed to the amendment since the original ordinance was presented as a result of six months of public hearings and work sessions by the Planning and Zoning Commission. City of Seward, Alaska May 8, 1995 City Council Minutes Volume 31, Page 141 VOTE ON MOTION TO AMEND BY SUBSTITUTION Motion Passed. YES: Anderson, Crane, Darling, Sie- minski NO: King, O'Brien VOTE ON INTRODUCTION OF ORDINANCE AS AMENDED Motion Passed. YES: Anderson, Crane, Darling, O'Bri- en, Sieminski NO: King Proposals for the use of Lot 2, Block 7, Oceanview Subdivision MOTION (O'Brien/Darling) Accept administrations recommendation to prepare an RFP for disposal of Lot 2, Block 7, Oceanview Subdivision. In answer to question from Anderson, Jones explained that a request for proposals would be advertised, and the proposals received would be evaluated. Anderson stated that uses for the property should be explored by the City prior to advertising for requests for proposals. Motion Passed. YES: Crane, Darling, King, O'Brien NO: Anderson, Sieminski NEW BUSINESS Appointment to two vacancies on the Historic Preservation Commission Murphy distributed ballots to the Council, collected the ballots, and read the results as follows: Castellina received three votes from O'Brien, Crane and Anderson; Kowalski received four votes from O'Brien, Darling, Sieminski and King; Seavey received five votes from Darling, Crane, Sieminski, Anderson and King. MOTION (O'Brien/Darling) Confirm appointments of Kowalski and Seavey to three -year terms on the His- toric Preservation Commission. Motion Passed. Unanimous City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 142 Youth Center relocation site options O'Brien asked about the possibility of using the AVTEC student services center as a youth center. He explained that, with decreased funding for AVTEC by the State, it would make sense to utilize the center for the mutual benefit of the city and the state. Jones stated that, when this site was considered by the advisory group, concerns had been raised with regards to potential problems which might result when local high school students socialized with older AVTEC students. Sieminski stated that he preferred the community center since the building was paid for, there was adequate space, it was centrally located, and it would cost less to renovate. Darling expressed surprise at the space requirements of 3,750 square feet and asked for an explanation. Sturdy responded that the current center was 2,750 square feet and the extra space requested was needed for seasonal storage. She added that activities were limited when space was limited. She further added that negotiations with the Masons were pending but a firm dollar amount had not been determined for possible lease of the Masonic Lodge. Crane suggested utilizing available funds to add a wing to the community center rather than commit to the purchase of an existing building. Anderson agreed with the Crane's suggestion. She stated that this would be a possible alternative to acquisition of the Masonic Lodge. Sieminski stated that the budget needed close consideration prior to designating funds for expansion of the community center. He preferred to use the basement of community center. O'Brien agreed. Jones responded that the public was putting a high level of pressure on the City to relocate the youth programs soon. He stated that he would bring options back to the Council. Replat of Lot 4, Block 2, Marina Subdivision MOTION (Sieminski/Anderson) Approve submittal of the proposed replat of Lot 4, Block 2, Marina Subdivi- sion, to the Kenai Peninsula Borough for approval. Motion Passed. Unanimous City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 1 Garzini contract discussion MOTION (Anderson/Sieminski) Rescind Resolution No. 95 -038, approv- ing an employment agreement with Ron Garzini. Anderson stated that negotiations were not completed with Jones and she desired to go through the proper process of hiring a city manager. City Attorney Giles outlined the legal ramifications involved in rescinding the contract with Garzini. Crane suggested contacting Garzini to seek his opinion. Yanez asked the Council to consider delaying the question on this issue in order to allow the attorney to review the issues presented by Reilly and to list the options available to the Council. He stated that Garzini s contract would not be effective until July 1st, giving the attorney sufficient time to review the situation and report back to the Council and the public. Sieminski stated that it was important to resolve the issue quickly. MOTION (Crane / Sieminski) Postpone to a special meeting on May 15th at 5:15 p.m. Motion Failed. YES: Crane, Sieminski NO: Anderson, Darling, King, O'Brien VOTE ON MOTION TO RESCIND Motion Failed. YES: Anderson, Sieminski NO: Crane, Darling, King, O'Brien CITY MANAGER REPORTS Jones recognized the local health care providers throughout the community. He thanked the public for the letters of support regarding his contract. Jones reported that the City would be receiving authorization for $6 million in Federal funds for a new cruise ship /multi - purpose dock. COUNCIL DISCUSSION King thanked and commended the youth and the Parks and Recreation Department for the clean -up on Saturday. I City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 144 Sieminski commented on the pending litigation proposed by Irick's attorney. He stated that both the city's and Irick's attorneys should work something out on the project. Jones stated that the assessments against Irick's property were handled properly. Crane stated that Council direction was in order on this issue. O'Brien suggested holding an executive session at the next meeting to discuss the threatened litigation. Anderson commented that Seward Seniors, Inc., was operating under a certain time frame, and the issue should be promptly addressed. Giles stated that this was an appropriate subject for an executive session. The City Council directed the attorney to review and advise council on a course of action regarding the Irick case and instructed the clerk to include an executive session on the agenda for May 22, 1995. The Council scheduled a work session for May 11th at 7:00 p.m. to discuss the general fund and capital budget and a joint work session with the Community Hospital Board on May 18th at 7:00 p.m. to discuss the hospital budget. CITIZENS' DISCUSSION TYLER JONES, 414 Second Avenue, addressed the City Council as a citizen. Jones read a letter regarding his objection to the Council's decision to employ Ron Garzini as city manager and the manner in which it was done. PATRICK REILLY, Attorney, 909 Third Avenue, voiced his appreciation for the earlier attempts to rescind Garzini's contract and postpone action. He noted that, as a result of Council's failure to accomplish either action, he saw no choice but to move forward with the threatened lawsuit. STEVE LEMME, 331 Second Avenue, asked if the youth center was scheduled for a summer shutdown. JONES replied that, since the Masonic Lodge had not been approved as a youth center site, the issue would be brought back before the City Council at a later date. SHARYL SEESE, 527 First Avenue, stated that the senior citizens were opposed to the youth using the basement of the community center. BOB VALDATTA, 528 Fifth Avenue, stated that, in order for the Nash Road Small Boat Harbor Project to move forward, it was up to the Council and the neighboring property owners to work with Mr. Schafer. LOUIE MARCH, Mile 5.5 Seward Highway, stated that he had submitted public information requests and was informed by the city clerk that the records requested were not city records and the information was not available in the city files. He further stated City of Seward, Alaska City Council Minutes May 8, 1995 Volume 31, Page 145 that the requested information pertained to certain councilmembers, and he asked them to provide the requested information on a voluntary basis. KARLA HAYES, Lowell Point, stated that a meeting to discuss the youth center options was scheduled for May 9th in the Council Chambers and she invited the public to attend. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS CRANE responded to Valdatta's comments on the Nash Road Harbor, explaining that the Council had worked with Mr. Schafer to build the harbor but Schafer had not responded to Council's concerns and did not fulfill his commitments. He also replied to Hayes, Seese and Lemme that the Council wanted to resolve the problems associated with relocation of the youth center, but this would take some time. SIEMINSKI asked if the youth center was closed last summer. JONES replied that the youth center was closed during the summer of 1993. ADJOURNMENT The meeting was adjourned at 10:45 p.m. E Dave W. Crane a Mayor - (tf jeal� » m "�..r ggb { City of Seward, Alaska May 22, 1995 CALL TO ORDER City Council Minutes Volume 31, Page 145 The May 22, 1995, special meeting of the Seward City Council was called to order at 6:05 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Councilmember Sieminski led the pledge of allegiance to the flag. City of Seward, Alaska May 22, 1995 ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Carol Giles, City Attorney Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Agenda items not scheduled for public hearing City Council Minutes Volume 31, Page 146 STU CLARK, 1129 Park Place, asked the Council to remember the words from the pledge of allegiance, "and justice for all." PATRICK REILLY, attorney, 909 Third Avenue, voiced his approval of holding a meeting to discuss threatened litigation regarding city manager issues, and he objected to holding an executive session. He requested clarification of what and who would be discussed in executive session, threatened litigation by Reilly and the public, by Tyler Jones or by Ron Garzini. He further requested an open meeting if the discussion related to his complaint on behalf of the public. Crane opened the floor for councilmembers to ask questions of Reilly. There was no objection from the Council. KING asked Reilly for the name(s) of his client and if he represented any councilmembers. Reilly replied that, absent an actual lawsuit, the question did not merit the disclosure of actual names. He added that the name(s) would be known upon actual filing of a lawsuit. SIEMINSKI clarified that the executive session would be held to discuss the legal aspects regarding the city's exposure on this issue. REILLY clarified that he wanted to know if any particular aspect of the case would be discussed regarding Jones, Garzini or his client. He asked for an explanation for the executive session according to State Law and the City Code. City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 147 GILES replied that the topics to be discussed were the city attorney's analysis of the claims that were raised in Reilly's letter to the Council at the May 8th meeting. She stated that she would discuss the merits or non - merits of the allegations and options open to the Council regarding the pending threatened litigation. She cited Seward City Code §2.10.030.B.3, matters pertaining to pending or threatened litigation, as the authority for the Council to meet in executive session. CRANE stated that comments made by Reilly at the May 8th meeting were viewed by the city as pending litigation. LOUIE MARCH, Mile 5.5 Seward Highway, objected to the Council meeting in executive session rather than open forum. Items other than those appearing on the agenda None. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/Anderson) Approve the Agenda and Consent Agenda as presented. Motion Passed. MOTION (Sieminski/Crane) Unanimous Hold executive session following the close of regular business to discuss threatened litigation regarding city manager contract issues. O'Brien asked the attorney to clarify what was actually going to be discussed in the executive session. Giles replied that the overall purpose was to discuss threatened litigation from Mr. Reilly's client, the public, as well as ancillary discussion on the possible impact to the city by possible claims from either Jones or Garzini. She reiterated that she planned to discuss the analysis of Mr. Reilly's claims from a legal perspective and alternatives for the Council to consider in response to the allegations. O'Brien voiced concern with the unknown public that Reilly represented and the fact that Reilly would not rule out a member of the council as a potential client. He supported public discussion or no discussion at all until an actual lawsuit was filed. Anderson asked the attorney if the highlighted options included in the confidential memorandum distributed to the Council could be discussed. Giles answered that the Council could disclose the options if it desired but the information was protected under the attorney /client privilege. City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, P age 148 O'Brien favored postponement of an executive session until the plaintiff's name was revealed. Darling agreed. Crane stated that each councilmember was in possession of the attorney's memorandum outlining strategies so it was not necessary to postpone the executive session. The Council discussed whether or not to hold an executive session and King asked for advice from the attorney. Giles stated that the decision was a policy issue for the Council to make. She further recommended that the Council discuss strategy pertaining to litigation in an executive session rather than in open forum. In answer to a question from O'Brien, Giles stated that it would be in the city's best interest to hold the executive session instead of postponement. Anderson supported the executive session. VOTE ON EXECUTIVE SESSION Motion Passed. YES: Anderson, Crane, Deeter, Sieminski NO: Darling, King, O'Brien ADJOURNMENT The meeting was adjourned at 6:33 p.m. and the Council met immediately thereafter in an executive session to discuss threatened litigation regarding city manager contract issues. `- -Kinda S. 1111rphq, G 4ity <. Cler. . deal) r '. e i a ci9. ( ? 4 Dave W. Crane Mayor City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 149 CALL TO ORDER The May 22, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Lieutenant Brossow led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Brad Meyen, City Attorney Carol Giles, City Attorney Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Agenda items not scheduled for public hearing DONNA MAREK,1810 Phoenix Road, addressed the lease proposal by Blume and Cote for the lease of property in the small boat harbor. She stated that she did not realize there was property available for lease and she would also be submitting a proposal to the city in the near future. LOUIE MARCH JR., Mile 5.5 Seward Highway, encouraged the Council to rescind Resolution No. 95 -038, approving a contract for city manager services. He objected to hiring Garzini without holding public hearings and receiving public input. He asked the Council to advertise for a manager and involve the public in the process. DOT BARDARSON, Mile .8, Nash Road, spoke concerning beautification of the - city and urged the city to include the purchase of decorative banners in the FY 1996 budget. City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Pa 150 ROSEMARY SAROFF, 1010 D Street, supported use of the first floor of the community /senior center as a temporary youth center and the $146,000 electric rebate for a youth center. PATRICK REILLY, 909 Third Avenue, attorney, addressed the Council regarding his previous letter to the Council urging an open forum on the city manager contract issues. He stated that he planned to proceed with a lawsuit by the public. He requested that the Council implement the public process in the hiring of a city manager. He asked for public reconsideration of the issue. SHARYL SEESE, 529 First Avenue, supported the purchase of banners for the downtown area and Fourth Avenue corridor. Items other than those appearing on the agenda KARLA HAYES, Lowell Point, thanked the Council for the time spent thus far on the youth center and encouraged use of the $146,000 electric rebate for the youth center proj ect. KELLY HAYES, Lowell Point, Secretary, Youth Advisory Board, advised the Council that the newly formed board consisted of eight youth and seven adults. She stated that the board's short -term goal was to resolve relocation of the youth center and the long -term goal was continuation of youth programs. STEVE LEMME, 331 Second Avenue, supported the Youth Advisory Board and the youth center. He noted that there had been several meetings held to form the board and to elect officers. He stated that the main public concern was to advise the Council to secure the downstairs area of the community center for a temporary youth center and to use the $146,000 electric rebate for the continuation of youth programs and the community center program. LORETTA SMARTA, 1904 Dora Way, Second Secretary, Youth Advisory Board, supported the $146,000 electric rebate for the youth center and temporary use of the downstairs at the community center. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/Deeter) Approve the Agenda and Consent Agen- da. Sieminski moved Resolution No. 95 -047 to the regular meeting agenda. MOTION (Anderson/Sieminski) Meet in executive session to discuss the Exxon litigation. City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 151 Motion Passed. MOTION (Anderson/Sieminski) Unanimous Meet in executive session to discuss threatened litigation regarding the Irick assessments. Anderson stated that Mr. Irick had requested a stay until a determination was made by the Council. She added that it was urgent to resolve this matter since the Seward Seniors were trying to purchase the property. VOTE ON MOTION Motion Passed. Unanimous VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Deputy Clerk read the following approved consent agenda items: The May 8, 1995, regular meeting minutes were approved as written; Ordinance No. 95 -11, repealing and re- enacting SCC Chapter 7.10, Harbor and Port Facilities, was introduced and public hearing was set for June 12, 1995; Resolution No. 95 -046, approving a vendor permit and authorizing the discharge of fireworks by the Seward Chamber of Commerce during the 1995 Independence Day celebration, was approved; Resolution No. 95 -048, authorizing the issuance and sale of not to exceed $3,300,000 of electric revenue bonds; to fix the form, covenants and method of sale of said bonds; to provide for establishing the amount, maturities, interest rates, redemption rights and other terms of said bonds; and to fix the conditions under which additional electric revenue bonds may be issued on a parity with the said bonds, was approved; and Resolution No. 95 -049, approving Amendment No. 1 to the USCG Lease No. 93 -083 to relocate the lease site and amend the termination date, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley gave a verbal report of the most recent assembly meeting. He noted that a task force was being formed to address issues related to the Kenai River and its tributaries. He reported on the borough budget report recently submitted to the assembly. He stated that Mayor Gilman predicted no increase in property taxes through FY 1998 but the appraised value of land City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 152 was higher. He commended Seward for bringing about the Kenai Peninsula Municipal Coalition. He stated that the meetings were effective in dealing with borough -wide issues of concern. Anderson voiced disappointment that Wiley had voted against the Kenai River Management Plan and asked Wiley to explain. Wiley stated that the plan was flawed. He explained that those people who wanted to assist with preservation of the river were caught up in the bureaucracy and paperwork. He stated that a task force was being formed to preserve the Kenai River without so many regulations and rules. Anderson noted that she was glad that the borough was addressing the problems associated with the Kenai River and asked for everyone to keep the salmon habitat foremost in mind. SPECIAL ORDERS AND PUBLIC HEARINGS Ordinance No. 95 -07, amending SCC Chapter 15.10, Seward Zoning Code, regarding lodging Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Anderson/Sieminski) Motion Passed. Enact Ordinance No. 95 -07 Unanimous Ordinance No. 95 -08, amending SCC Table 15.10.225, Land Uses Allowed, regarding transient merchants during the Fourth of July celebration Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Deeter) Motion Passed. Enact Ordinance No. 95 -08 Unanimous Ordinance No. 95 -09, amending SCC Chapter 9.05, Animals and Fowl, to require the proper disposal of animal waste on public property Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. DAVID SQUIRES, 2423 Maple Street, supported the intent of the ordinance but disagreed with the wording. He stated that the ordinance should address canines but City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 153 he objected to the requirement that he would need to immediately clean up after his horse on the back trails of the city. BOB VALDATTA, 528 Fifth Avenue, spoke in support of the ordinance. DONNA MAREK, 1810 Phoenix Road, spoke in support of the ordinance. MIKE WILEY, 550 Railway, expressed approval of the intent of the ordinance. He asked the Council to address the problem on certain public lands such as bike trails and sidewalks, but not all public lands. He questioned how enforceable the law would be. LINDA DE MOTT, 500 Hemlock, agreed with the ordinance but had problems with enforcing cleanup after livestock. She stated that it was unreasonable to require immediate cleanup after horses. No one else appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Anderson) Enact Ordinance No. 95 -09 King voiced concern about pet owners trespassing on private property to clean up after their animals. Giles stated that this was a valid concern that merited further review. O'Brien suggested postponement until June 12th to allow the administration to look, into possible problems. MOTION (O'Brien/Darling) Postpone until June 12, 1995. Sieminski objected to postponement. Anderson favored the ordinance as written. Darling supported further amendments. O'Brien favored attorney review prior to taking final action. VOTE ON MOTION TO POSTPONE Motion Passed. YES: Crane, Darling, Deeter, O'Brien NO: Anderson, King, Sieminski Ordinance No. 95 -10, establishing SCC Chapter 15.15, Historic Preserva- tion Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Darling/Sieminski) Enact Ordinance No. 95 -10 City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 154 Deeter asked about the language regarding Land Use Regulation included in §15.15.020.A. Community Development Director Martin stated that the intent of the ordinance was to remove the language related to historic preservation from Title 12, Buildings and Construction, to the more appropriate Title 15, Seward Zoning Code. VOTE ON ENACTMENT OF ORDINANCE Motion Passed. Unanimous Resolution No. 95 -039, adopting the municipal lands management plan Deputy Clerk Jones noted that this resolution had been postponed from the May 8th meeting, a second public hearing was scheduled and there was a motion on the floor for approval. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one else appeared in order to be heard, and the public hearing was closed. Anderson asked the administration to provide an overview of the land manage- ment plan. Community Development Director Martin reviewed the land management plan which included city lands identified for possible acquisition and disposal; rights -of -way, encroachments and easements; public facility lands; leased lands and land available for lease; land identified for further study; surplus lands; land leased by the city from other parties; and general policy recommendations. Anderson stated that the military should relocate its recreation camps in order for the city to better utilize the property. She stated that the Treks n Voyages property lease expired June 11th and there was a nomination for that land by another party on the agenda. She asked for an explanation later in the meeting. VOTE ON RESOLUTION Motion Passed. Unanimous TAKEN OUT OF ORDER Presentation of Seward Chamber of Commerce "Employee of the Month" award to city employee Wendy Heck Crane stated that this item was being presented out of order since it was getting late in the evening. City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 155 Crane presented a plaque awarded by the Chamber of Commerce to employee of the month, Wendy Heck, and commended her for a job well done. Proposed FY 1996 city budgets Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. RECESS: The Council recessed at 8:55 p.m. and reconvened at 9:05 p.m. PRESENTATIONS WITH PRIOR NOTICE ONLY Louie R. March, Ir. - Establishment of a City Ethics Commission March encouraged the Council to establish an ethics commission. He reviewed the history of city problems and stated that an ethics commission could review citizen complaints. He noted that the Municipality of Anchorage, the State House of Representatives and the State Senate had ethics commissions. He suggested a five member commission to be appointed by the Mayor and Council. Among the powers and duties suggested were: initiation and receipt of complaints of violations, conduct of investigations, subpoena authority and assistance to other agencies regarding investigations. He stated that the City Clerk's office could attend meetings and take minutes, produce reports and provide written documents to the public. He envisioned that the commission would prepare written reports, a record of proceedings and recommendations for penalties. He encouraged the Council to read the documents that he provided to the clerk. Arlene Wiley, Seward Women's Club - Railroad Depot and Hoben Park Wiley presented a plan from the Seward Women's Club for improvements and restoration of the Hoben Park and the Alaska Railroad Ferry Depot located on Railway Avenue. She envisioned working with the City administration and the Alaska SeaLife Center planners to develop a plan to restore the depot to its original condition. She reviewed a proposal that was submitted to the city on April 12th. She noted that interpretive signs should be installed to explain about the historical trees that existed in the park. Matt Tamin - Exxon litigation status report Matt Jamin addressed the Council and updated the public on the status of the Exxon litigation. He provided a history of the case that included the city and seven other municipalities that had filed a claim against Exxon. He stated that Seward had received a partial settlement to date and was entitled to future monies as the trials progressed. RESOLUTIONS Resolution No. 95 -047, appropriating funds for the purchase of decorative street banners and mounting brackets City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 156 MOTION (Anderson/Deeter) Approve Resolution No. 95 -047 Sieminski supported acquisition of the banners but objected to using general fund monies for the purchase. He suggested budgeting city beautification projects within the Parks and Recreation budget. Anderson agreed that an enhancement project should be funded through an enterprise fund with one department assuming responsibility for the equipment. In answer to a question from Anderson, Yanez reported that the city would use in -house labor to install the banners and mounting brackets. Jones agreed that responsibility for the enhancement program and funding should be through a department. He explained to Sieminski that the manager's office was overseeing the duties and responsibilities to install, remove and care for the banners. Sieminski supported using visitor revenues to fund city beautification projects. VOTE ON RESOLUTION Motion Passed. Unanimous MOTION ( Sieminski) Reconsider and enter on the minutes. UNFINISHED BUSINESS Rescission of the contract with Ronald A. Garzini Crane noted that notice of reconsideration of his 'NO" vote was filed on May 9, 1995. He added that the motion to reconsider required five YES votes for approval, and if approved, the motion before the Council would be Ms. Anderson's original motion to rescind the contract. MOTION (Crane /Anderson) Motion Failed. Reconsider the motion to rescind Reso- lution No. 95 -038, approving an employ- ment agreement with Ron Garzini. YES: Anderson, Crane, Deeter, Siemin- ski NO: Darling, King, O'Brien City Manager contract options Crane asked Jones to comment on his position. Jones replied that his preference was to enter into dialogue about his and the Council's views about the events that had occurred since mid - April. He stated that he had made his position clear to the Council through written communication and he preferred to enter into discussion with the Council about his contract options. He asked the Council to provide him the courtesy of a candid public discussion of recent and current events. City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 157 MOTION (Crane /Anderson) Schedule meeting with Jones to discuss the city manager contract. MOTION (Anderson/Crane) Amend by scheduling meeting for 6:00 p.m. on Thursday, May 25, 1995. Crane stated that a YES vote on the amendment would carry the main motion. Motion Passed. NEW BUSINESS Unanimous Nomination of public lands for lease submitted by Steve Blume and Steve Cote 1. Lease of Alaska Treks N Voyages current lease site plus additional land extending west to Fourth Avenue 2. Lease of City property immediately south of the Small Boat Harbor and east of the Harbor Lights Condominiums currently used as a campground under the control of the Parks and Recreation Depart- ment 3. Combination of Proposals 1 and 2, above MOTION (Sieminski/Crane) Refer to Planning & Zoning Commis- sion for review and recommendation. Sieminski preferred exploring all options related to the land before entering into lease negotiations with one party. Jones stated that review of the land management plan and the proposals was in order. He asked for an opportunity to analyze the proposal and the plan and bring back a recommendation to the Council. In answer to a question from Anderson, Jones stated that the lease with the current lessee, Alaska Treks N Voyages, expired on June 11th, and the lessee had indicated its desire to continue with the lease through the summer season. He also noted that the sublessee's term would run with the original lease term. Anderson stated that the property in the area needed review before making it available for lease. Darling and Sieminski agreed that it was best to obtain a higher and better use of the land. Jones stated that it would take time to plan development of the area and it might be ready to advertise for proposals during the fall season. City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 158 VOTE ON MOTION TO REFER Motion Failed. YES: Sieminski NO: Anderson, Crane, Darling, Deeter, King, O'Brien MOTION (O'Brien/Darling) Motion Failed. CITY MANAGER REPORTS Approve the three proposals submitted by Blume and Cote. Unanimous Jones thanked Dot Bardarson for designing the enhancement banners. He noted that a meeting would be held between the Seward Seniors and area youth to discuss use and expansion of the community center. He congratulated Wendy Heck as employee of the month. He noted the success of the ground- breaking ceremony of the Alaska SeaLife Center held on May 21st. He reported on a possible $6 Million of federal funding for a multi -use dock and explained that this was actually an authorization to receive funds that could develop into an opportunity to create a joint University- Marine Highway- Cruise Line package. He added that the dock would be a floating facility rather than a fixed dock. COUNCIL DISCUSSION DEETER asked for Council consensus about giving the administration direction on lease and construction plans for the military recreation camp. He noted that it was not in the community's best interest for the federal government to develop the project without community input. He asked about the city's options to oversee the project. JONES replied that the city was communicating with the military regarding rights and responsibilities since the project was being built within city limits and on city property. He stated that, although the military respected the city's concerns, it was not willing to follow local laws, and the city was attempting to work out life- safety issues. In answer to a question from ANDERSON about time constraints for dock funding, JONES stated that the city would need to formulate a plan by the end of June. He added that the City was close to being "bid- ready" for the design package, and attempts to seek funding from cruise ship lines for design had received good response. ANDERSON agreed that the military recreation camp property should be put on the tax rolls and that a higher and better use could be found for the property. She stated that she would be proposing budget funds for office space for elected officials to meet with the public about issues. She stated that the park and depot area, in addition to the Women's club proposal by Wiley, needed review and planning in light of its historic City of Seward, Alaska City Council Minutes May 22, 1995 Volume 31, Page 159 value. She added that she was meeting with the historical society to discuss this issue. She thanked the SAAMS board and the administration for a successful ASLC ground breaking event. She further thanked all of the citizens involved in the project for making this dream a reality. KING thanked the Women's Club and Arlene Wiley for the presentation on the ferry depot building and park and noted that the proposal by the volunteers had merit. CRANE thanked the SAAMS Board and commended the children who drew the murals that were included in the ground- breaking ceremony. He congratulated the Seward High School graduates on their accomplishment. He also acknowledged an award received by the Finance Department for financial reporting achievement. He reminded the public of the upcoming budget work session scheduled for May 25th at 7:00 p.m. CITIZENS' DISCUSSION STU CLARK, 1129 Park Place, suggested that the City put pressure on the elected federal officials to contact the Department of Defense regarding compliance with city laws during the military recreation camp construction project. BOB VALDATTA, 528 Fifth Avenue, stated that the chuck holes at the beach area needed attention. He also stated that the SMIC area needed to be marketed by the City. LOUIE MARCH, Mile 5.5 Seward Highway, spoke about the history of utility rates in the city. He asked the Council to reduce electric rates to the same rate as charged by Chugach Electric Association. He further encouraged sale of the electric utility to CEA. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS Jones responded to Valdatta that the city would correct the problems on the beach. ADJOURNMENT The meeting was adjourned at 10:34 p.m., and, following a short recess, the Council met in executive session to discuss the Exxon litigation and threatened litigation regarding the Irick assessments. City ClejC ` C ^- h � k i m (City r *� 4�� �& - Dave W. Crane Mayor City of Seward, Alaska May 25, 1995 City Council Minutes Volume 31, Page 1 60 CALL TO ORDER The May 25, 1995, special meeting of the Seward City Council was called to order at 6:00 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Hugh Darling Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney (via telephone) Carol Giles, City Attorney (via telephone) Patricia Jones, Deputy City Clerk APPROVAL OF SPECIAL MEETING AGENDA MOTION (Anderson / Deeter) MOTION (Anderson/Sieminski) Approve the Special Meeting Agenda. Hold executive session immediately follow- ing the close of regular business to discuss threatened litigation regarding the city manager contract with Tyler Jones. Motion Passed. Unanimous Anderson clarified that the Council and the attorneys would participate in the executive session. City of Seward, Alaska City Council Minutes May 25, 1995 Volume 31, Page 161 VOTE ON APPROVAL OF AGENDA Motion Passed. Unanimous CITIZENS' COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING PATRICK REILLY, attorney, 909 Third Avenue, objected to the Council holding executive sessions to discuss city manager contract issues. He read a letter outlining the history of actions taken by the Council thus far regarding city manager contract options. He reiterated that he would be filing a lawsuit against the City on behalf of his client, the public. LOUIE MARCH, Mile 5.5 Seward Highway, urged the Council to involve the public in the process of hiring a city manager. SPECIAL ITEMS City Manager Contract Discussion with Tyler .Tones Jones stated that the Council had requested a presentation from him at the May 22nd meeting. He noted three courses of action that were available: 1) reverse the process that was put in motion while he was out of town; 2) discuss settlement of his complaint that was given to the Council; or 3) refuse to address issues and leave it up to the manager to address the issues. He stated that the first option was highly improbable but he assumed the Council would discuss settlement of the complaint he had distributed at the May 8th meeting. He asked the Council to evaluate his position with the attorney and reach a resolution or closure of the issue. COUNCIL DISCUSSION None. CITIZENS' DISCUSSION PATRICK REILLY, Attorney, 909 Third Avenue, asked for clarification on what would be discussed in the executive session. BOB VALDATTA, 528 Fifth Avenue, stated that the manager had been hired and paid to manage the city and market the port and he had only performed as manager. He suggested paying a bonus based on production rather than a set salary. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS Anderson replied that discussion would be limited to Jones' contract. ADJOURNMENT City of Seward, Alaska May 25, 1995 City Council Minutes Volume 31, Page 162 The meeting was adjourned at 6:23 p.m. and the Council met in executive session immediately thereafter to discuss threatened litigation regarding the city manager contract with Tyler Jones. City Clerk/ t td• j ew Yw c i va K � nwen + 9 • J� • ✓ � °r te �`' 'a7"'�gy gWa, , !! City Council Minutes V 3 1, Page 162 CALL TO ORDER The June 12, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Darrell Deeter Patrick D. O'Brien comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk �U Ga Dave W. Crane Mayor Hugh Darling Jerry King Bruce Sieminski City of Seward, Alaska City Council Minutes r„r o 19. 199.5 Volume 31, Page 1 CITIZENS' COMMENTS A. Agenda items not scheduled for public hearing STEVE LEMME, 331 Second Avenue, discussed funding for the relocation of the youth center and plans to either utilize the basement of the community /senior center or build an addition onto the existing community/senior center for use by area teens. SHARYL SEESE, 529 First Avenue, spoke in support of Resolution No. 95 -060, transferring Chugach Electric Association rebate funds to the youth center project. She read a letter from the Youth Advisory Board commending the Council for working with the community's youth on relocation of the youth center. TOM HALLOWELL, 324 Second Avenue, spoke in support of Resolution No. 95- 060. KARLA HAYES, Lowell Point, spoke in support of Resolution No. 95 -060 LOUIE MARCH, Mile 5.5 Seward Highway, spoke in opposition to Resolution No, 95 -060 DON ROSENBERGER, Princess Tours, Princess Cruise Lines, Seattle, stated. that it was the desire of Princess Tours to further enhance improvements to the community and to participate in design of the proposed multi -use dock. He stated that the cruise line's complimentary shuttles brought over 40,000 people to the downtown area and the small boat harbor during the 1994 summer season. DAVID SQUIRES, 2423 Maple, addressed Ordinance No. 95 -09 and asked for a definition of "developed property." SANDRA SCHAFER, 2501 Maple Street, also asked for clarification of the definition of "developed property." B. Items other than those appearing on the agenda BETTY MCKEAN, 408 Sixth Avenue, addressed the City Council about alleged unhealthy, inhumane conditions at the Seward Animal Shelter. She asked the City Council to take care of this problem. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson/Sieminski) Approve the Agenda and Consent Agen- da. City of Seward, Alaska June 12, 1995 City Council Minutes Volume 31, Page 164 Anderson moved Resolution No. 95 -059 to the regular meeting agenda and added New Business Item H, use of harbor trash receptacles by businesses. Murphy noted the removal of objection of Chinooks liquor license application and the addition of this item to the consent agenda. Crane added a proclamation designating June 12 -18 as Seward Little League Week. Sieminski moved Resolution No. 95 -066 to the regular meeting agenda. MOTION (Anderson/Sieminski) Hold an executive session to discuss strategic planning regarding the propos- al by Wesley Rehab and Care Center to purchase the hospital and clinic. Motion Passed. MOTION (Anderson/Sieminski) Motion Passed. MOTION (Anderson/Sieminski) Motion Passed MOTION (Anderson/Sieminski) Motion Passed. Unanimous. Hold an executive session to receive an update on litigation regarding the Irick assessment foreclosure. Unanimous Hold an executive session to discuss the Krasnansky litigation. Unanimous. Hold an executive session to discuss a proposed severance agreement between the City and Tyler Jones. Unanimous. VOTE ON APPROVAL OF AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The May 22, 1995, special meeting minutes were approved; The May 22, 1995, regular meeting minutes were approved; The May 25, 1995, special meeting minutes were approved; City of Seward, Alaska City Council Minutes F, "" 12 194; Volume 31, P age 165 Resolution No. 95 -058, appropriating funds for completion of the elevator and street capital projects, was approved; Resolution No. 95 -061, appropriating sales tax revenues to Seward General Hospital, was approved; Resolution No. 95 -062, transferring unused Seward General Hospital Loan Account Funds to the undesignated General Fund fund balance account, was approved; Resolution No. 95 -063, authorizing the purchase of electrical material from Potelcom for the Nash Road Distribution Feeder Project, was approved; Resolution No. 95 -064, appropriating funds from the Harbor Retained Earnings Account to the Harbor General Contracted Services Account for paving the approach to the Northeast Harbor Launch Ramp, was approved; Resolution No. 95 -065, approving Amendment No. 6 extending the Kent Dawson Company lobbying contract through Fiscal Year 1996, was approved; Resolution No. 95 -067, accepting grant funds from ALPAR and the Kenai Peninsula Borough and appropriating funds for a Parks and Recreation Youth Litter Patrol, was approved; Resolution No. 95 -068, appropriating additional funds for the repair of 'X' float, was approved; The quarterly purchase order report was noted for information; and The application for a new public convenience liquor license as filed by Chinook's Restaurant was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assemblymember Mike Wiley was not present and no report was given. SPECIAL ORDERS AND PUBLIC HEARINGS Ordinance No. 95 -11, repealing and re- enacting SCC Chapter 7.10, Harbor and Port Facilities Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. City of Seward, Alaska June 12, 1995 City Council Minutes Volume 31, Page 166 MOTION (Sieminski/Deeter) Motion Passed. Enact Ordinance No. 95 -11 Unanimous Resolution No. 95 -050, adopting the City Operating Budget for the fiscal year beginning July 1, 1995 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Approve Resolution No. 95 -050 Anderson stated that she could not support the budget as presented. MOTION (King/Darling) Delete $5,573 from the library budget for the .3 FTE personnel hours for an addi- tional library position. King stated that he did not see a need for an additional person at the library. Jones replied that the increase had been agreed to by a majority of the Council due to an increased demand for library services from the public. VOTE ON AMENDMENT Motion Passed. YES: Anderson, Darling, King, O'Brien NO: Crane, Deeter, Sieminski VOTE ON RESOLUTION AS AMENDED Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski Resolution No. 95 -051 adopting the Harbor Enterprise Fund Budget for the fiscal year beginning July 1, 1995 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (O'Brien/Darling) Approve Resolution No. 95 -051 City of Seward, Alaska City Council Minutes June 12, 1995 Volume 31, Page 167 Anderson objected to the inclusion of lease revenues in the harbor fund rather than the general fund. King questioned the need for an additional four wheel drive vehicle. MOTION (Crane/Darling) Amend by deleting the funding for the television subscription to WGN from the harbor enterprise fund. Crane stated that low cost television was available through the cable system, and the harbor should not be burdened by the cost. Anderson and Sieminski disagreed and stated that cable television was unavailable to the boaters in the harbor. VOTE ON AMENDMENT Motion Failed. YES: Crane, Darling, Deeter NO: Anderson, King, O'Brien, Siemin- ski VOTE ON RESOLUTION Motion Passed. Unanimous MOTION (Anderson/Sieminski) Reconsider and enter on the minutes Resolution No. 95 -051 Resolution No. 95 -052, adopting the Electric Enterprise Fund Budget for the fiscal year beginning July 1, 1995 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. LOUIE MARCH, Mile 5.5 Seward Highway, encouraged the Council to reduce electric rates. No one else appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Deeter) Approve Resolution No. 95 -052 Motion Passed. Unanimous Resolution No. 95 -053, adopting the Water and Sewer Enterprise Fund Budget for the fiscal year beginning July 1, 1995 e City of Seward, Alaska City Council Minutes June 12, 1 995 Volume 31, Page 168 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Approve Resolution No. 95 -053 In answer to a question from Darling, Jones stated that the current problems at the sewage lagoon would not affect this budget but would be handled through the contractor's bond. Motion Passed. Unanimous Resolution No. 95 -054, adopting the Motor Pool Internal Service Fund Budget for the fiscal year beginning July 1, 1995 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Approve Resolution No. 95 -054 Motion Passed. Unanimous Resolution No. 95 -055, adopting the Seward General Hospital Enterprise Fund Budget for the fiscal year beginning July 1, 1995 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Approve Resolution No. 95 -055 MOTION (Anderson/Sieminski) Anderson stated that the City would be negotiating with Wesley Rehab for purchase of the hospital and clinic during the next few weeks. She stated that the budget as presented did not reflect the true picture of the status of the hospital. Postpone until June 26, 1995. VOTE ON MOTION TO POSTPONE Motion Failed. YES: Anderson, King NO: Crane, Darling, Sieminski Deeter, O'Brien, City of Seward, Alaska City Council Minutes r,, o i) 1QQq Volume 31, Page 1 VOTE ON RESOLUTION Motion Passed. Unanimous Resolution No. 95 -056, adopting the Capital Budget Plan for the three fiscal years beginning July 1, 1995 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. BOB VALDATTA, 528 Fifth Avenue, asked the why the budget did not contain funding for marketing the port of Seward and the publication of updated brochures. No one else appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Darling) Approve Resolution No. 95 -056 Anderson objected to the capital budget plan since it did not address the basic needs of the community including paving, street repairs and maintenance. MOTION (King/Deeter) Delete funding of $150,000 for the shop equipment storage facility. Motion Passed. YES: Darling, Deeter, King, O'Brien NO: Anderson, Crane, Sieminski VOTE ON RESOLUTION AS AMENDED Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski NOTE A motion to reconsider and enter on the minutes was made later in the meeting. See pare 170 Resolution No. 95 -057, adopting the DARE Special Revenue Fund Budget for the fiscal year beginning July 1, 1995 Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. , City of Seward, Alaska City Council Minutes June 12, 1995 Volume 31, Page 170 MOTION (Sieminski/Darling) Approve Resolution No. 95 -057 Motion Passed. Unanimous Little League Proclamation Crane noted a proclamation designating the week of June 12 -18 as Little League Week and encouraged citizen support of Little League. MOTION (Anderson/Sieminski) Reconsider and enter on the minutes Resolution No. 95 -056 MOTION (Anderson/Sieminski) Motion Failed. Reconsider Resolution No. 95 -050 YES: Anderson, Darling, Sieminski NO: Crane, Deeter, King, O'Brien PRESENTATIONS WITH PRIOR NOTICE ONLY Susan Cummings - Extension of bar hours Cummings asked the Council to consider extending bar hours during the summer months, holidays and on weekends during the winter. In response to a question from Cummings, Murphy explained the process for initiating an ordinance to put before the voters at the next election. King favored discussing a proposed ordinance by the Council. O'Brien voiced concern with the impact of such a change on the police department. RESOLUTIONS Resolution No. 95 -059, approving a contract with Afognak Logging to provide for the removal of rock from the SMIC Quarry MOTION (Darling/Deeter) Approve Resolution No. 95 -059 MOTION (Anderson/Sieminski) Amend Section 11 by inserting language to grant the City access to the quarry in order to respond to emergency situa- tions. Motion Passed. Unanimous City of Seward, Alaska iur�o l2 1QQ5 City Council Minutes Volume 31, Page 1 71 MOTION (Anderson/Darling) Motion Passed. Amend Section 4, Compensation, to re- quire that Afognak Logging stockpile not less than 1500 cubic yards for the City not later than 9/30/95, with the remainder to be stockpiled by 12/31/96 or upon completion of the Kodiak pro- ject, whichever occurred sooner. Unanimous VOTE ON RESOLUTION AS AMENDED Motion Passed. Unanimous Resolution No. 95 -060, authorizing the transfer of Chugach Electric Association Capital Credits to the Community Center Renovation Project Account MOTION (Sieminski/Darling) Approve Resolution No. 95 -060 Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski Resolution No. 95 -066, amending the Fiscal Year 1995 Legal Budget MOTION (Sieminski/Darling) Approve Resolution No. 95 -066 Anderson clarified that the amendment was needed for legal costs incurred as a result of the pending litigation with Irick and Krasnansky. Motion Passed. Unanimous Resolution No. 95 -069, approving an agreement between the City and Holland America for funding of the B Street Dock project engineering MOTION (Sieminski/Darling) Approve Resolution No. 95 -069 MOTION (O'Brien/Darling) Amend by adding Section 2 to appropri- ate $80,000 from Holland America, Other Funding Sources Account No. 276 -2762- 4680 -0900, to the "B" Street Dock Fund, City of Seward, Alaska June 12, 1995 City Council Minutes Volume 31, Page 172 Contracted Services Account No. 276- 2762 -5390; by adding Section 3 to autho- rize the city manager to issue a purchase order not to exceed $80,000 to R & M Consultants to complete the de- sign/build package for the "B" Street Dock; and by renumbering existing Section 2 as Section 4. Motion Passed. Unanimous Jones stated that Holland America was providing funding for design of the B Street Dock, but this would not preclude use by other cruise lines. VOTE ON RESOLUTION AS AMENDED Motion Passed. Unanimous Resolution No. 95 -070, approving a vendor permit to Rick and Pat Quint for a gold panning operation at 1204 Fourth Avenue MOTION (Sieminski/Darling) Approve Resolution No. 95 -070 Anderson expressed her opposition to allowing the use of property designated for parking for a transient merchant gold panning operation in the harbor. Motion Failed. Unanimous RECESS: The meeting recessed at 9:05 p.m. and reconvened at 9:17 p.m. UNFINISHED BUSINESS Ordinance No. 95 -09, amending SCC Chapter 9.05, Animals and Fowl, to require the proper disposal of animal waste Crane noted that there was a motion to enact on the floor. Jones explained that the term "developed property" would refer to parks, streets, bike paths and sidewalks, rather than unmaintained back trails, City of Seward, Alaska June 12, 1995 MOTION (O'Brien/Anderson) Motion Passed. MOTION (O'Brien/King) Motion Passed. MOTION (King/Deeter) Motion Passed. City Council Minutes Volume 31, Page 173 Amend by substituting the language for Section 9.05.155 as recommended in the staff memorandum. Unanimous Amend Section B to read, "Any person owning, keeping, possessing or harbor- ing any livestock animal shall immedi- ately remove and dispose of all fecal matter left by the animal on public parks, streets, sidewalks or bike paths." Unanimous Amend Section A to read, "Any person owning, keeping, possessing or harbor- ing any household animal shall immedi- ately remove and dispose of all fecal matter left by the animal on public parks, streets, sidewalks or bike paths. YES: Anderson, Crane, Darling Deeter, King, O'Brien NO: Sieminski VOTE ON ORDINANCE AS AMENDED Motion Passed. YES: Anderson, Crane, Darling, Deeter, O'Brien, Sieminski NO: King NEW BUSINESS Histo dot recommendations (Establishment of an ad hoc committee to evaluate t he park and depot and develop recommendations for ad option by the Council There was a consensus of the Council to establish an ad hoc committee, and the clerk was instructed to advertise for the positions to be appointed by the Council on June 12, 1995, in accordance with the recommendation in the staff memorandum. Request b Councilmember Sieminski for an ordinance elim inating city sale tax on fuel oil and electricity There was a consensus of the Council not to support the proposal. City of Seward, Alaska June 12, 1995 City Council Minutes Volume 31, PaQe 174 Request by Mayor Crane for authorization to request legal research with regards to a guaranteed dedication of sales tax revenues to the hospital Anderson requested research into unfunded PERS liability for hospital employees. Jones recommended that the hospital administrator, rather than the attorney, research the PERS issue. Anderson agreed. There was a consensus of the Council to request legal research regarding a guaranteed dedication of sales tax revenues to the hospital. Recommendation from Community Hospital Board that the City accept the offer from the Wesley Rehab and Care Center to purchase the hospital and clinic Crane stated this would be taken up by the Council at a later date. Proposed termination of lease with Intec Inc dba Alaska Treks N Voyages Jones stated that he recommended that the Council allow the lease with Alaska Treks N Voyages to expire as of June 11th, and, in accordance with the terms of the lease, allow an administrative extension on a month-to -month basis through the summer season or until 12/31/95. He further recommended issuance of an RFP for use of the property prior to the 1996 summer season. He noted that Jim Vermillion s request for a 10 -year lease extension was not in harmony with the city's plan for the harbor area. He requested Council approval of a draft letter notifying Vermillion of the expiration of the lease as of 12/31/95. Council concurred. Use of harbor trash dumpsters by harbor businesses Anderson stated that she had researched the revenues received from the City by harbor businesses for use of the garbage dumpsters. She suggested that the harbor businesses pay the same rate for service as other businesses in town. Jones agreed that the rates charged by the City were low and the Council could set a new rate by resolution. Discussion ensued with the harbormaster about garbage generated from the tour boats and the possibility of charging customers based on the volume of garbage. The Council instructed the clerk to add this item to the June 26th agenda. CITY MANAGER REPORTS State Legislative Report Jones reviewed the many projects that received state funding including a water collection/filtration system, authorization for $6 Million in federal funding for the joint industry marine facility (B Street Dock), fire and rescue equipment, hospital equipment. Lowell Point Lagoon aeration failure Jones noted that two pipes in the lagoon had broken, and one side of the lagoon was being drained in order to repair the pipes. City of Seward, Alaska City Council Minutes June 12, 1995 Vo lume 3 1, Pa 175 He noted that the contractor or designer would be responsible for costs associated with the failure. Jones stated that DOT/PF had reported on the environmental impact and the feasibility of the Whittier access project. Jones stated that he had received calls and complaints about recent action by the Port and Commerce Advisory Board. He stated that the Board had agreed to accept assistance from Larry Dickerson in strategic planning and other strategies to help them focus on their goals and mission. Jones reported that the Seward Ship's Drydock lease, which was erroneously executed in error, would be finalized in accordance with the Council's and vote's approval. In response to Valdatta's comments, Jones clarified issues regarding the city's port marketing efforts. COUNCIL DISCUSSION KING reported on the Planning Commission meeting held on June 7th. He noted that the proposed Grizzell Addition to the Forest Acres Subdivision had been recom- mended to the Borough for approval. He also reported that a Conditional Use Permit was issued to Red's Food Wagon and a height variance was approved for the ASLC project. He added that the Commission had discussed regulations regarding non- conforming structures. He voiced his appreciation for the comments about the problems at the animal shelter. O'BRIEN agreed that the animal shelter problem needed to be resolved. ANDERSON reported on the recent Kenai Peninsula Coalition Meeting that was held on June 1st in Soldotna, and she noted upcoming projects for the Seward and Sterling Highways over the next five years. She stated that the Council needed to address paid parking in the harbor or some other alternative in order to avoid the bad publicity generated by parking tickets. Anderson stated that the City should not be required to pay the legal fees incurred as a result of errors in the Seward Ship's Drydock lease document. SIEMINSKI agreed that paid parking should be explored. CRANE stated that he appreciated Jones comments regarding the Port Board ( PACAB) and added that he was concerned about the direction of the board in recent months. He recommended a joint meeting with the PACAB in the Council Chambers at its second August meeting to set direction and to assign projects. He stated that the Board should hold its meetings in the Council Chambers, not in a local restaurant, to assure better accessibility to the public. The Council scheduled a joint meeting with the Port and Commerce Advisory Board to begin at 11:30 a.m. on Wednesday, August 16th, in the Council Chambers. City of Seward, Alaska City Council Minutes June 12, 1 995 Volume 31, Page 176 The Council scheduled the quarterly meeting with the Community Hospital Board beginning at 7:00 p.m. on Thursday, June 29, 1995. CITIZENS' DISCUSSION WILLARD DUNHAM, Alder and Dimond, stated that the PACAB had changed when a the Harbor Committee and the Trade Board were combined. He agreed that the Council should outline projects for the board. He stated that many commerce and trade issues needed to be addressed. DUNHAM reported that the area around the railroad dock that was recently dredged by the Alaska Railroad was filling up again due to a shift in the river's course. He stated that the problem needed to be addressed and the river re- routed as soon as possible. He thanked the Council for supporting the B Street Dock funding by Holland America and noted that it was important for Seward to secure homeport status for the new research vessel funded by the National Science Foundation. He added that this vessel had world -wide research capability, and it would be a boost to Seward and its economy. DUNHAM asked that Council provide a resolution or letter opposing the 42.2% interim duty tax on foreign steel products. He explained the ramifications of the tax on local longshoring activities. CRANE stated that a letter of support would be sent immediately and a resolution would be considered at the June 26th meeting. DEAN KASISCHKE, Camelot Subdivision, agreed that the PACAB needed direction from Council. He read a letter in support of the B- Street Dock and the research — vessel. LOUIE MARCH, Mile 5.5 Seward Highway, voiced his concerns regarding the changes to the Seward Ship's Drydock lease. He asked why the PACAB met in a restaurant rather than in the Council Chambers. He stated that Jim Pruitt, Chairman of the PACAB, had a major conflict of interest on many issues since he was a major operator at SMIC. BOB VALDATTA, 528 Fifth Avenue, supported a federal trade zone to attract vessels. He also supported the continuation of lunch meetings by the PACAB at the Harbor Dinner Club. WILLARD DUNHAM, Alder and Dimond, outlined a history of the PACAB. He informed the Council that, from the beginning, the Board had chosen to meet in a restaurant over lunch in an informal atmosphere in order to draw business people to the meetings to discuss economic and port issues of mutual interest. JIM VERMILLION, Alaska Treks N Voyages, dba Adventures & Delights, asked the Council to consider the economic benefits of his business to the City. He stated that he would be presenting a letter to the Council outlining these benefits. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS City of Seward, Alaska June 12, 1995 City Council Minutes Volume 3 1, Page 177 In answer to a question from SIEMINSKI, Dunham stated that a commercial steel industry could not be intertwined with the tourist industry. He further stated that the industrial area was becoming congested with tourists. ADJOURNMENT The meeting was adjourned at 10:45 p.m., and following a brief recess, the Council reconvened in executive sessions to discuss strategies for the proposed sale of the hospital and clinic, the Irick assessment litigation, the Krasnansky litigation and proposed severance agreement with Tyler Jones. �1 Linda S� iTrphy, LMi , City Cher �Y9 (City Seat) " ` A W l s City of Seward, Alaska June 26, 1995 City Council Minutes Volume 31, Page 177 CALL TO ORDER The June 26, 1995, regular meeting of the Seward City Council was called to order at 7:34 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane Mayor Dave W. Crane, presiding, and Hugh Darling Darrell Deeter Jerry King City of Seward, Alaska June 26, 1995 City Council Minutes Volume 31, Page 178 comprising a quorum of the Council; and Tyler Jones, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk ABSENT were: Margaret Anderson - Excused Patrick D. O'Brien - Excused Bruce Sieminski - Excused CITIZENS' COMMENTS Agenda items not scheduled for public hearing None. Items other than those appearing on the agenda None. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Darling/Deeter) Approve the Agenda and Consent Agen- da. Jones added Resolution No. 95 -076 and Resolution No. 95 -077 to the regular meeting agenda. He requested postponement of New Business Item D., fees for use of harbor dumpsters, until the July 10, 1995, meeting. Crane added three presentations under Special Orders and Public Hearings. MOTION (Deeter/King) Hold executive session to discuss the Irick foreclosure action and settlement proposal. Motion Passed. Unanimous MOTION (Deeter/Darling) Hold executive session to discuss settle- ment of a claim by Tyler Jones. Motion Passed. Unanimous VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous City of Seward, Alaska City Council Minutes June 26, 1995 Volume 31, Page 179 The Clerk read the following approved consent agenda items: The June 12, 1995, regular meeting minutes were approved as written; Resolution No. 95 -071, authorizing the issuance of a purchase order to Digital Equipment Corporation for renewal of the service agreement for the Finance Department computer system, was approved; Resolution No. 95 -072, requesting rescission of the interim duty tax on foreign steel, was approved; and Resolution No. 95 -075, amending the Swenson Construction contract for Phase I, Library Handicapped Access Project, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley gave a verbal report of the June 6th and 20th assembly meetings. SPECIAL ORDERS AND PUBLIC HEARINGS Mayor Crane presented a plaque to City Clerk Linda Murphy recognizing her election as 2nd Vice President of the International Institute of Municipal Clerks. Mayor Crane presented plaques to Police Lieutenant David Brossow and Harbormaster Foster Singleton recognizing 20 years of service to the City of Seward. PRESENTATIONS WITH PRIOR NOTICE ONLY Ad Hoc Committee Applicants. Lydia Eleanor Lodge, Camelot, Seward Women's Club, asked the Council to consider her application to the committee due to her interest in historic preservation. Doug Capra, Historic Preservation Commission, commended the Council for forming a committee to review the historic railroad depot and Hoben Park. He added that it was important for the community to preserve historical buildings and sites. lane Heister, Seward Women's Club, stated that representatives of the Women's Club could provide valuable assistance by serving on the committee. Stu Clark, Planning & Zoning Commission, agreed with Capra's comments. City of Seward, Alaska City Council Minutes June 26, 1995 Volume 31, Page 180 Carol Chaudiere, Park Place, expressed her interest and desire to be included in development and preservation of the south end of town. She outlined her experience with design, landscaping and construction projects. Arlene Wiley, on behalf of Collette Kowalski, Seward Women's Club, asked the Council to consider appointment of Kowalski, a strong advocate of community projects including the Institute of Marine Science. RESOLUTIONS Resolution No. 95 -073, accepting a 3 -year contract from the State of Alaska for operation of the Seward Correctional Center and adjusting the jail budget MOTION (King/Deeter) Approve Resolution No. 95 -073 Jones stated that the city's share of the cost according to the contract would increase city expenses by $27,000. Motion Passed. Resolution No. 95 -074, establishing fees for fire inspections MOTION (Darling/King) Unanimous Approve Resolution No. 95 -074 In answer to a question from Crane, Fire Chief Gage stated that the lower inspection fee for lodging establishments was a result of less extensive fire inspection requirements. Motion Failed. YES: Crane, Darling, Deeter NO: King Resolution No. 95 -076, urging the Corps of Engineers to continue the reconnaissance study of the eastward expansion of the small boat harbor MOTION (Darling/Deeter) Approve Resolution No. 95 -076 Jones reported that it was in the interest of the City to continue a feasibility study and reconnaissance study of the expansion of the small boat harbor, and the resolution was added to the agenda because the Corps of Engineers current agreement for the study expired June 30, 1995. Motion Passed. Unanimous -i 1 M City of Seward, Alaska City Council Minutes June 26, 1995 Volume 3 1 , P age 181 Resolution No. 95 -077, accepting and appropriating capital improvement funds for the Seward Community Jail MOTION (Darling/Deeter) Approve Resolution No. 95 -077 Motion Passed. Unanimous UNFINISHED BUSINESS Crane noted that Resolution No. 95 -051, adopting the Harbor Enterprise Fund Budget for the fiscal year beginning July 1, 1995, and Resolution No. 95 -056, adopting the Capital Budget Plan for the three fiscal years beginning July 1, 1995, were scheduled for reconsideration. Murphy explained that five votes were needed for reconsideration of an ordinance. She noted that if the motions to reconsider were not called up prior to adjournment of the meeting, the resolutions would stand as approved on June 12th. Note: No action was taken to call up the motions to reconsider. Historic Depot Ad Hoc Committee Appointments Doug Capra, Carol Chaudiere, Stu Clark, Jane Heister, Collette Kowalski and Eleanor Lodge were appointed to the committee by unanimous consent. Crane stated that a councilmember would be appointed and committee meeting times would be scheduled at the July 10th meeting. Administrations response to the request to extend bar hours Lieutenant David Brossow gave a brief history of the impact of shortened bar hours on the community. He noted that there was a definite decrease in protective custody cases, public nuisance noise and vandalism, in the downtown area since the bar hours had been shortened. He added that allowing the bars to sell alcohol until 5:00 a.m. would require additional police personnel to allow for two patrol officers from late evening until the bars closed. He further reported that Seward had experienced no traffic fatalities in the past three years due to both increased education and enforcement and limited bar hours. i'✓ City of Seward, Alaska City Council Minutes June 26 , 1995 Volume 31, Page 182 CITY MANAGER REPORTS Animal Shelter Update Lieutenant Brossow stated that the police department had reviewed the policy related to the care of the animals at the shelter and had taken measures to increase care of the animals including automatic feeding/watering dishes and scheduled cleaning of the facility. He noted that Animal Control Officer Erickson was soliciting extra help and funding from volunteers. Crane suggested a possible part -time employee to cover the hours when the animal control officer was not on duty. Crane asked Brossow to provide alternatives and costs associated with a part -time employee. In answer to a question from King, Brossow stated that the police officers checked the animals once per day and sometimes twice per day. Jones reported that the City had received $147,053 in Alyeska Oil Spill Settlement Funds representing approximately 90% of the City's share of the settlement. He reported on his recent trip to Juneau and he thanked the state maintenance crews for striping the city streets, saving the city $15,000. He noted a letter from the CEA Board President stating that CEA had no plans to initiate a hostile takeover of the Seward Electrical Utility. He noted that a cost allocation study by KPMG Peat Marwick would cost approximately $50,000 and added that, if other cities and city staff participated in the study, the cost would be reduced to $10,000 to $15,000. Jones stated that this was his last meeting as city manager and he was leaving the community with a sense of sadness but also a sense of accomplishment. He thanked the Council and the community for the opportunity to serve as Seward's City Manager for the past 2 -1/2 years. COUNCIL DISCUSSION KING congratulated Linda Murphy, David Brossow and Foster Singleton for their accomplishments. DARLING wished everyone a happy 4th of July holiday. CRANE noted a letter from a Spring Creek Correctional Center employee regarding transfers of prison employees. He asked the council to review the letter and provide comments at the July 10th meeting. He recommended postponing the June 29th joint work session with the hospital board until more information was received regarding the proposed purchase of the hospital and clinic. The Council concurred. Crane thanked Brossow and Singleton for their service to the city and all city employees for a job well done. He congratulated Murphy on her professional accomplishment and the its effect on the city over the years. He noted that Jones would be missed and thanked him for his excellent service to the city. He wished Jones and his family well in future endeavors. City of Seward, Alaska City Council Minutes June 26, 1995 Volume 3 1, P 183 CITIZENS' DISCUSSION MIKE WILEY, 550 Railway, noted that he would not be present at the July meetings. He asked the Council to join the state and address area flood problems, specifically Resurrection River. He reported that the Borough had received funding to relocate Clear Creek. He thanked Jones for his service. STU CLARK, 1129 Park Place, thanked Jones for his contributions to the community. He agreed that the Resurrection River problem needed to be addressed. RON LONG, Camelot, agreed that the city should address the flood problems. He thanked Jones for his service as city manager. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS CRANE stated that the Council had initiated dialogue with other agencies regarding the Resurrection River flood problems and would continue to address this concern. He noted that the City was seeking both short and long term solutions. JONES added that the City had been trying to bring the borough, state and federal agencies together to resolve the flood problem at the airport. He noted that the City had contributed in excess of $300,000 to help with the problem, but thus far no other agency had responded. ADJOURNMENT The meeting was adjourned at 9:02 p.m. and, following a brief recess, the council reconvened in executive session to discuss the Irick foreclosure and the Tyler Jones claim. City (City Seal) 3� Q 1 •� 1 •• fN 1 G • A • 9 cn S• . e &)e,, 0 . Dave W. Crane Mayor City of Seward, Alaska City Council Minutes July 10, 1995 Volume 31, Page 184 CALL TO ORDER The July 10, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Darling led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Agenda items not scheduled for public hearing None. Items other than those appearing on the agenda ELSIE WHITMORE, 306 First Avenue, spoke in support of funding a part time position for the library. She noted the history of the library prior to the transfer to the City. She stated that the library was transferred to bring its employees into the PERS retirement system and, in return, the City had received real and personal property assets in excess of one million dollars. She asked the Council to reconsider hiring an additional part -time employee for the evening shift. HERMAN LEIRER, 101 Dairy Lane, commented that the concrete slabs recently dumped as rip rap along the shoreline by the Adams Street Pavilion were an inexpensive and appropriate solution to a growing problem. He addressed the need for protection against erosion along the beach and flooding from Resurrection River at the airport. � City of Seward, Alaska City Council Minutes July 10, 1995 Volume 3 1, Page 185 CAROL CHAUDIERE,1129 Park Place, also addressed the erosion problem along the shoreline in the vicinity of the Adams Street Pavilion. She objected to the dumping of unsightly and potentially dangerous concrete debris to stabilize the area and encouraged the Council to take care of the problem in the proper manner. LOUIE MARCH JR., Mile 5.5 Seward Highway, asked about reduced electrical rates paid by Suneel under special contract to the city. He asked for a reduction of electrical rates for all residents and a special rate for senior citizens. DOT BARDARSON, Nash Road, addressed the waterfront park. She commented on the improvements made over the years to make the park a true "greenbelt ". She objected to the recent dumping of concrete slabs along the shoreline and suggested filling the site with rock or soil to make it more aesthetically pleasing. CRANE welcomed Ron Garzini and his family to Seward. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson/Sieminski) Approve the Agenda and Consent Agen- da. Anderson added introduction of Ordinance No. 95 -13, amending the Zoning - -ode Land Use Table to allow for automobile and RV rentals in the Harbor Commercial District, to the regular meeting agenda. Crane deleted Ordinance No. 95 -12 for a rewrite by the attorney, added New Business Item C, support for KPB Ordinance No. 95 -21, and added a presentation under Special Orders. Anderson moved Resolution No. 95 -078 to the regular meeting agenda. O'Brien moved Resolution No. 95 -080 to the regular meeting agenda. MOTION (Crane/Deeter) Motion Passed. MOTION (Anderson/Sieminski) Motion Passed. Hold an executive session to discuss Krasnansky litigation. Unanimous Hold an executive session to discuss pending litigation with Tyler Jones. Unanimous VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED City of Seward, Alaska City Council Minutes July 10, 1995 Volume 31, Page 186 Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The June 26, 1995, regular meeting minutes were approved as written; Resolution No. 95 -079, authorizing signatures for the City's bank accounts, was approved; Resolution No. 95 -081, waiving past due field maintenance fees incurred by the Seward Little League in the amount of $800, was approved; and Resolution No. 95 -082, waiving formal bidding procedures and issuing a purchase order to Resurrection Rentals in the amount of $19,000 for portable toilet service, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley was not present and no report was given. SPECIAL ORDERS AND PUBLIC HEARINGS Crane presented a plaque to Public Works Superintendent Floyd (Tex) Ainsworth in recognition of 22 years of service to the City of Seward. PRESENTATIONS WITH PRIOR NOTICE ONLY Port and Commerce Advisory Board Annual Report Boardmember Ron Long reported on presentations given throughout the year to the Port Board on issues related to the economy and the Port of Seward. He stated that the board had given input on the SMIC Development Plan, Land Management Plan and Small Boat Harbor Manage- ment Agreement between the State and City. He reported on other issues of concern addressed by the board throughout the year. He stated that the Board looked forward to the scheduled joint work session with the Council in August. ORDINANCES FOR INTRODUCTION Ordinance No. 95 -13, amending SCC Table 15.10.225, Land Uses Allowed, to allow auto and RV rentals and sales in the Harbor Commercial District City of Seward, Alaska lulit 10, 1995 City Council Minutes Volum 31, Page 18 MOTION (Anderson/Sieminski) Introduce and set for public hearing on July 24, 1995. Garzini reported that Mr. Dean Lust had requested an amendment to the Land Uses Allowed Table to allow for an automobile/RV rental business in the Harbor Commercial District. He added that the Planning and Zoning Commission had reviewed the request and recommended approval. VOTE ON MOTION Motion Passed. Unanimous RESOLUTIONS Resolution No. 95 -078, amending the City Council's Rules of Procedure MOTION (Darling/Sieminski) Approve Resolution No. 95 -078 MOTION (Anderson/Sieminski) Motion Passed. Delete the amendment to Rule 26. YES: Anderson, Crane, King, O'Brien NO: Darling, Deeter, Sieminski VOTE ON RESOLUTION AS AMENDED Motion Passed. Unanimous Resolution No. 95 -080, amending Resolution No. 90 -159, relating to the $7,300,000 City of Seward Revenue Bonds, 1990 (Alaska Pacific University Project), to change certain terms thereof MOTION (O'Brien/Sieminski) Approve Resolution No. 95 -080 MOTION (O'Brien/Anderson) Amend by adding Section 4. to read: "The approval of this resolution is sub- ject to the condition that the University award an additional full tuition scholar- ship to a student who is a graduate of Seward High School, subject to the terms in Schedule B to the Loan Agree- ment between the City and the Univer- sity." City of Seward, Alaska City Council Minutes July 10, 1995 Volume 31, Page 188 Motion Passed. Unanimous VOTE ON RESOLUTION AS AMENDED Motion Passed. Unanimous Resolution No. 95 -083, authorizing the purchase of a pickup truck for the Harbor Department without full utilization of City bid procedures MOTION (Sieminski/Deeter) Motion Passed. Approve Resolution No. 95 -083 Unanimous Resolution No. 95 -084, appropriating funds to the Transmission Line Project Budget MOTION (Darling/Sieminski) Motion Passed. Approve Resolution No. 95 -084 Unanimous UNFINISHED BUSINESS Animal control aide costs Crane stated that the administration would bring a recommendation to the City Council at a later date. Reschedule joint work session with the Community Hospital Board The work session was canceled. Use of harbor dumpsters by harbor businesses The administration was instructed to prepare a report and recommendation for presentation at the July 24th meeting. Appointment of Council representative to Historic Depot Ad Hoc Committee and setting of meeting schedule Margaret Anderson was appointed as Council representa- tive and Sheila Scoby was appointed as SAAMS representative. The Council approved the Administration's recommendations regarding the mission of the committee. Prison employee transfer policy Crane stated that the City supported local hire of employees at the prison and requested Council support to send a letter to the prison. The Council approved a letter of support, City of Seward, Alaska City Council Minutes July 10, 1995 Volume 31, P 189 NEW BUSINESS Continuation of the Port and Commerce Advisory Board MOTION (Anderson/Sieminski) Continue the Port and Commerce Advi- sory Board through Fiscal Year 1956. Motion Passed. Unanimous Nomination to lease City property as filed by Bob Ferguson MOTION (O'Brien/Sieminski) Forward the proposal to the Planning Commission for review and advertise for proposals for lease of property (va- cant tidelands) immediately adjacent and west of Lot 4, Seward Industrial Park Subdivision. Motion Passed. Unanimous Murphy noted that, two years ago, the Borough Assembly had voted to exclude vessels not home ported in the Borough from borough property tax. She stated that the original ordinance contained a sunset clause which required the exclusion to lapse on December 31, 1995, and KPB Ordinance No. 95 -21 would delete the sunset clause and allow the exclusion to continue. Crane asked for support of KPB Ordinance No. 95 -21. The Council supported the borough ordinance without objection. CITY MANAGER REPORTS Garzini reported that the siltation problem at the Alaska Railroad Dock caused by the Resurrection River was his number one priority. He stated that he would be meeting with ARR CEO Robert Hatfield and Regional Director of Transportation John Horn to discuss a solution to the problem. Garzini noted that the sawmill was for sale until September 6th and, if no quality proposal was received, the mill would be auctioned. He stated that he would be meeting with the Commissioner of Natural Resources to solicit support to assure an adequate City of Seward, Alaska City Council Minutes July 10, 1995 Volume 31, Page 190 timber supply in order to make the facility a more attractive property to prospective bidders. He added that, if the sawmill were disassembled, he would ensure that the City's interests were protected. Garzini reported on a recent meeting with Golden Valley Electric regarding the northern electrical intertie. He asked for continued public input on the youth center and noted that he planned to hold a meeting with interested parties in order to reach an agreement on the center's location. COUNCIL DISCUSSION DEETER thanked the volunteers responsible for the 4th of July celebration. SIEMINSKI agreed that the City needed to control erosion along the waterfront. KING reported on Commission action taken at the July 5th Planning Commission meeting. He congratulated Tex Ainsworth on a job well done over the past 22 years. O'BRIEN welcomed Ron Garzini and his family. CRANE stated that the Borough would no longer provide funding for the Kenai Caucus, and, as part of the Caucus's dissolution, funds remaining in its treasury would be divided among its members. He noted that the Kenai Caucus Board would consider two options for distribution of these funds, and he asked the Council for support of Option B which would exclude the Borough from receipt of these funds. Under this option, Seward would receive about $2,400. There was no objection from Council. Crane welcomed Garzini and congratulated Tex Ainsworth. CITIZENS' DISCUSSION LOUIE MARCH, Mile 5.5 Seward Highway, read from a letter he received from Garzini in 1987. Crane ruled that any comments about the past administration were out of order and directed March to limit his comments to the present. March voiced his objection to the Mayo's ruling. He also objected to the manner in which the Council had hired the present city manager. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS Sieminski thanked Dot Bardarson for designing the new banners along 4th Avenue. Garzini responded to the dumping of concrete slabs along the waterfront. He stated that the concrete was functional in buttressing the area and promised that when City of Seward, Alaska City Council Minutes July 10, 1995 V olu m e 31, Pa 191 the project was completed and filled it would look attractive. He encouraged the public to continue reporting unsightly areas. ADJOURNMENT The meeting was adjourned at 8:45 p.m. and, following a brief recess, the Council reconvened in executive session to discuss the Krasnansky litigation and the Tyler Jones pending litigation. City Clerk a vos, —0- 0 Acknn�— Dave W. Crane Mayor Ay (City Seal) n 4.e 1Y} j CD iJ City of Seward A!`ca ; ia. City Council Minutes July 24 1 995 "Fty ---- Volume 31, Page 191 CALL TO ORDER The July 24, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Vice Mayor Hugh Darling. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Hugh Darling, presiding, and Margaret Anderson Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and City of Seward, Alaska City Council Minutes July 24, 1995 Volume 31, Page 192 Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk ABSENT were: Dave W. Crane - excused Darrell Deeter - excused Jerry King - excused CITIZENS' COMMENTS Agenda items not scheduled for public hearing BETTY MCKEAN, 408 Sixth Avenue, thanked the Council and Administration for quickly taking care of the problem at the animal shelter. She suggested organizing an animal control advisory board. CAROL CHAUDIERE, 1129 Park Place, addressed the work in progress on the erosion problem along waterfront park. She suggested erecting warning signs while the work was being done. She added that the engineer's estimate for rip rap fill seemed high compared to a study she had completed. LOUIE MARCH, Mile 5.5 Seward Highway, addressed Resolution No. 95 -085 He cited costs associated with the hiring of Garzini as city manager and complained about the process used by the Council. Items other than those appearing on the agenda None. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/O'Brien) Approve the Agenda and Consent Agenda. Anderson moved Resolution No. 95 -085 to the regular meeting agenda. She deleted presentations by and appointment of the Port and Commerce Advisory Board applicants until the entire Council was present. Darling noted that this item would be considered on August 14, 1995. VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: City of Seward, Alaska City Council Minutes July 24 1995 Volume 31, Page 193 The July 10, 1995, regular meeting minutes were approved as written; Ordinance No. 95 -12 amending SCC § 5.20.095, foreclosure of liens for unpaid assessments, was introduced and public hearing was set for August 14, 1995; Resolution No. 95 -086 appropriating funds to cover the cost of the FY 1994 audit adjustment to the AML /JIA Law Enforcement Liability Pool, was approved; Resolution No. 95 -087 awarding a contract for replacement of "X" Float to URESCO Materials, Inc., was approved; Report of purchase orders in the amount of $5,000 to $10,000 issued through June 30, 1995, was noted; and Chinook's Restaurant request for restaurant designation under state alcohol control regulations was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley reported on action taken at the July 11th assembly meeting. He noted that Ordinance No. 95 -21 previously supported by the Council at the July 10th meeting, was approved by the assembly. SPECIAL ORDERS AND PUBLIC HEARINGS Ordinance No. 95 -13 amending SCC Table 15.10.25, Land Uses Allowed, to allow auto and RV sales and rentals in the Harbor Commercial District Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. DEAN LUST, 3rd and North Harbor Road, asked the Council to approve the ordinance. In answer to a question from Anderson, Lust stated that the addition of rental vehicles within the City would add to the tax base. He noted that there were plans to improve the building and remove the chain link fence. ART BLICKENSTAFF, representing Corporate Sales and Leasing, dba Seward Rent -A- Car, 7201 Third Circle, Anchorage, urged passage of the ordinance. No one else appeared in order to be heard, and the public hearing was closed. MOTION (O'Brien /Anderson) Enact Ordinance No. 95 -13 City of Seward, Alaska City Council Minutes July 24, 1995 Volume 31, Page 194 Anderson stated that the sublease of the property did not benefit the city, and she asked the Council to address this issue later in the meeting. Martin reported that the Planning Commission had recommended the amendment to the Land Uses Allowed Table only rather than rezoning the property, and the ordinance would change the land use for the harbor commercial district. VOTE ON MOTION Motion Failed. YES: Anderson NO: Darling, O'Brien, Sieminski PRESENTATIONS WITH PRIOR NOTICE ONLY Introduction of Japanese exchange students Kate Turnbull, on behalf of the Seward International Friendship Association, thanked the Council for its support of the sister city exchange program and Patsy Jones for her efforts as coordinator. The students, Chihiro Nawa, Midori Seki, Azumi Okabe and Yuji Yano, each gave a brief speech about their visit and expressed their thanks for being chosen as an exchange student. Shannon Skibeness - Historic Preservation Commission Annual Report Commissioners Skibeness and Seavey gave a verbal report and distributed a written report on the efforts of the commission over the past year. Skibeness noted that there the Commission was coordinating preservation efforts with other groups in the community. She noted accomplishments including erection of a plaque at the Jesse Lee Home, nomination of the Jesse Lee Home to the National Historic Register and various other preservation projects. Anderson voiced her appreciation for the work done by the commission. O'Brien complimented the commission for preservation work done thus far and for their efforts to locate alternate funding sources. RESOLUTIONS Resolution No. 95 -085 approving an amendment to the employment agreement with Ronald A. Gamini, providing for Mr. Garzini to serve as interim city manager, terminable on 90 days' notice MOTION (O'Brien/Darling) Approve Resolution No. 95 -085 The Council held a lengthy discussion related to the language in the employment agreement with Garzini and the language included in the proposed amended (interim) employment agreement. City of Seward, Alaska City Council Minutes J 2e 7995 Volume 31, Page 195 Garzini explained that, in order to put the pending litigation by Krasnansky and Jones behind the city, he was willing to relinquish his current contract except for the 90 day severance clause. He noted that he had moved his family to Seward as a result of acceptance of the two -year contract, and he would need moving expenses if the Council decided to pursue other options for hiring a city manager. He noted that his predecessor had served as interim manager prior to being hired under a term contract. He stated that it was in the best interest of the city to put this issue to rest. The Council discussed hiring Garzini on an interim basis until the Council reached a permanent solution. Garzini explained that he had initiated the conversion to an interim contract. He suggested converting to a short-term interim contract to expire at the end of August with a 90 day notice provision. MOTION (Anderson /Sieminski) Postpone until August 14, 1995. Motion Passed. Unanimous NEW BUSINESS City manager selection rn ocess Anderson requested an interview session between the Council and Garzini prior to deciding on whether or not to advertise for further applicants. O'Brien agreed. Anderson added that the interview should be held at a special meeting in view of the recent court decision alleging violation of the Open Meetings Act. Darling scheduled a special meeting at 7:30 p.m. on August 7th to discuss the Statewide Transportation Improvement Program and to hold the city manager interview. CITY MANAGER REPORTS Statewide transportation improvement program - city participation Yanez reported that the STIP was subject to total revision, and the city would need to accept public input and formulate a project list to submit to the State by the deadline of August 14th. He noted that the city administration, the Planning and Zoning Commission and the Port Board would review the projects and make recommendations to the Council on August 7th. Sewage Treatment Lagoon update Engineering & Utilities Manager Calvert reported on recent problems with broken pipes and brackets in the seward lagoon. He noted that half of the lagoon had been drained in order to make necessary repairs and the project was scheduled for completion later in the week. He thanked the public works crews for working in the lagoon and the Lowell Point citizens for putting up with the inconvenience and odor. He noted that the contractor would not accept responsibility for the failure so the city would need to initiate action against the City of Seward, Alaska City Council Minutes July 24, 1995 Volume 31, Page 196 contractor. Garzini added that the contractor had been put on notice, and the administration would determine if it was in the city's best interest to pursue legal action. Garzini stated that Catherine Nicolas had resigned as library director to accept a position in Oregon. He reported that the Corps of Engineers was pursuing a design and solution for the Resurrection River problem for hopeful resolve after the salmon season. He added that the solution appeared to be affordable. He noted an upcoming meeting on August 3rd regarding the sawmill. He reported that the Commissioner of Natural Resources was urging operators to re -open the sawmill. He stated that he was optimistic about recent meetings between the northern and southern intertie utilities. As a result, Seward should experience improved reliability and possible savings in the future. He noted that the youth and seniors were travelling to Anchorage to review places where the youth and seniors worked together from the same building. He thanked the seniors for taking a positive look at the issue. He thanked the city staff for pulling together and working as a team during the transition period. COUNCIL DISCUSSION O'BRIENgave notice of reconsideration and enter on the minutes of Ordinance No. 95 -13 ANDERSON commented that the concrete slabs along the waterfront were the most cost effective way in the short term to protect the area from erosion. She added that concrete slabs had been visible in the area for over 30 years, since the earthquake. She agreed that the addition of rip rap was in order. She stated that the Council should do whatever possible to cure the litigation on city manager issues. She asked for a final report from the planning department on the lease reappraisals. She noted that the 7th Avenue area along the waterfront was a better RV dump site than the Chamber of Commerce office location. She requested Council input on use of the Alyeska settlement funds that were recently received. She reminded everyone of the upcoming Ad Hoc Committee meeting on Hoben Park. SIEMINSKI stated that candidates could file for office from August 1 -15. In answer to a question from ANDERSON, MURPHY explained that Mayor Crane and Senator Torgerson had scheduled a meeting on August 3rd with other state and agency representa- tives to discuss sawmill issues. She stated that it had not been publicly noticed by the clerk's office since it was not originally scheduled by the Council as a city meeting. CITIZENS' DISCUSSION BOB VALDATTA, 528 Fifth Avenue, stated that he had helped recommend Tyler Jones as Port Director and Manager and was disappointed with Jones' performance during his tenure. He spoke in support of Garzini. He expressed disappointment that the City Council had voted down the ordinance to allow auto and RV rentals in the harbor commercial district. He suggested hiring a work detail to plant trees along greenbelt and cut brush along Nash Road to the SMIC. He also noted that other city managers had been hired in the same manner as Garzini was recently hired. City of Seward, Alaska City Council Minutes July 29 1995 Volume 31, Page 197 LOUIE MARCH, Mile 5.5, Seward Highway, read a letter dated July 12th to the ACLU regarding his complaint against Mayor Crane for disallowing his comments at the July 10th meeting. He objected to alleged violations of his first amendment rights. SHANNON SIIBENESS, 2612 Birch, speaking on behalf of a group of citizens, stated that the Council had a credibility problem. She noted that the perception was that the Council had erred in its proceedings. She stated that certain members of the public objected to Council's actions. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS O'BRIENresponded to Valdatta that Ordinance No 95 -13 would be up for reconsideration. ANDERSON thanked Skibeness for her comments and replied to Mr. March that he had always been given the opportunity to state his views. ADJOURNMENT The meeting was adjourned at 9:58 p.m. Lirfdal 5 ��. City Cl K A (CitSea s aav v ^� f y� 1 ^w r w� �0 a. a Dave W. Crane Mayor City of Sewa1�#B�yae'" City Council Minutes August 7 1995 Volume 31, Page 1 CALL TO ORDER The August 7, 1995, special meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL City of Seward, Alaska City Council Minutes August 7, 1995 Volume 31 Page 198 There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk APPROVAL OF SPECIAL MEETING AGENDA MOTION (Sieminski/Deeter) Approve the Special Meeting Agenda. Motion Passed. Unanimous CITIZENS' COMMENTS Agenda items not scheduled for public hearing. None. Items other than those appearing on the agenda None. SPECIAL ORDERS AND PUBLIC HEARINGS Resolution No. 95 -088 endorsing the City's project listing and establishing priorities for submittal to the State for the Statewide Transportation Improve- ment Program Deputy City Manager Yanez reported that the State had requested input on the 1996 -1998 Statewide Transportation Improvement Program (STIP) which would replace the current State Transportation Plan. He reviewed the various projects and priorities identified for inclusion by the City and included in the July 31 st memorandum as follows: North Dock extension and breakwater - 7.5 million Small Boat Harbor rehabilitation - $1,320,400. Eastward Harbor expansion - 11 million. North Forest Acres road construction - $11885,000. City of Seward, Alaska City Council Minutes August 7 1995 Volume 31, Page 199 Multi- purpose docking facility - $15 million. Bike path connection I substitute - $102,000. Bike path connection II - $260,000. He further stated that the City endorsed various improvement projects indentified by the State along the Seward Highway, Exit Glacier Road, Lowell Point Road, Salmon Creek Road and the renovation of the railroad terminal. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. STU CLARK, 1129 Park Place, spoke in support of bike path connection II which included construction of an overpass over the Seward Highway in the vicinity of the harbor. He further suggested using the overpass as a possible "Gateway" to Seward. He urged the Council to consider improvement of Port Avenue due to heavy use by vehicle and pedestrian traffic. He further suggested a more efficient bus route through the harbor and downtown. No one else appeared in order to be heard, and the public hearing was closed. MOTION (Anderson/Darling) Approve Resolution No, 95 -088 MOTION (Deeter/King) Amend by adding Section 2., "The City of Seward encourages the State of Alaska to dedicate efforts toward an urgent evaluation of the Seward Highway Mile 0 -7 in areas of property and life safety measures such as turning lanes, highway widening, improved overhead lighting, appropriate signage, etc. and construction of a pedestrian and recre- ational use trail along the highway and across the Resurrection River bridges. ", and renumbering the following section. Deeter explained that the addition of a bike path along the Resurrection River bridges would provide safer transportation for bike and pedestrian traffic. The Council discussed various needed improvements. Yanez stated that the State DOT/PF would hold a public meeting in the Council Chambers on July 24th from 3:00 to 7:00 p.m. to receive input on the rehabilitation of Mile 0 -36, Seward Highway. VOTE ON AMENDMENT Motion Passed. Unanimous City of Seward, Alaska City Council Minutes August 7, 1995 Volume 31, Page 200 There was no objection from the Council to substitute language included in the attachment for the Bike Path Connection I project as recommended by the Administration. In answer to a question from Anderson, Garzini explained that a site had not been established for the proposed multi - purpose (cruise ship /ferry/research vessel) dock. Anderson favored rehabilitation of the small boat harbor as the first priority due to the deteriorating condition. MOTION (Anderson /Sieminski) Amend Section 1. HI by reversing priority 1, North Dock extension and breakwater, and priority 2, Seward Harbor rehabilita- tion. Yanez stated that Harbormaster Singleton had recommended the priorities as originally outlined in the resolution. He noted that there was a funding mechanism for repairs of the harbor within the harbor management agreement, and there was no funding identified for the other two projects. VOTE ON AMENDMENT Motion Failed. VOTE ON RESOLUTION AS AMENDED Motion Passed. YES: Anderson, Deeter NO: Crane, Darling, King, O'Brien, Sieminski YES: Crane, Darling, Deeter, King, O- 'Brien, Sieminski NO: Anderson UNFINISHED BUSINESS Ordinance No. 95 -13 amending the Land Uses Allowed Table, 15.10.225, to allow auto and RV sales and rentals in the Harbor Commercial District. Murphy noted that there was a motion for reconsideration on the floor and a second was needed. Darling seconded the motion to reconsider the ordinance. VOTE ON RECONSIDERATION Motion Passed. Unanimous City of Seward, Alaska City Council Minutes August 7 1995 Volume 31, Page 201 Sieminski stated that only harbor - related uses should be allowed in the harbor commercial zone. VOTE ON ORDINANCE Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski NEW BUSINESS Interview of City Manager Candidate Ronald A. Garzini Garzini outlined his resume and his experience in management. The Council conducted a question and answer interview session with Garzini. CITY MANAGER REPORTS None. COUNCIL DISCUSSION O'BRIENwelcomed his father who was in Seward for a visit. Mayor Crane welcomed Mr. O'Brien. CITIZENS' DISCUSSION None. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS None. ADJOURNMENT Dave W. Crane Mayor a W w • i n� g °3 • ,. PY 4 I The meeting was adjourned at 9:00 p.m. City of Seward, Alaska City Council Minutes August 14, 1995 Volume 31 Page 202 CALL TO ORDER The August 14, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Vice Mayor Darling led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Agenda items not scheduled for public hearing LOUIE MARCH, Mile 5.5 Seward Highway, stated that the costs associated with the hiring of a city manager were high. He objected to hiring Garzini prior to the interview process and urged the Council to re -do the process. Items other than those appearing on the agenda None APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski /Anderson) Approve the Agenda and Consent Agenda. Sieminski moved Resolution No. 95 -089 to the regular meeting agenda. City of Seward, Alaska City Council Minutes August 14 1995 Volume 31, Page 203 VOTE ON AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The July 24, 1995, regular and August 7, 1995, special meeting minutes were approved as written; Resolution No. 95 -090 reclassifying the Clerk/Typist position in the Fire Department, was approved; and Resolution No. 95 -091 urging the Alaska Department of Transportation to evaluate and proceed with construction of certain improvements to Seward Highway Mile 0 -7, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley gave a verbal report of the most recent assembly meetings. SPECIAL ORDERS AND PUBLIC HEARINGS Mayor Crane presented a plaque to Public Works employee Loyd Welch in recognition of more than 20 years of service to the City. Ordinance No. 95 -12 enacting SCC Section 5.20.092, Delinquent Assessment Installments Klinkner explained that the City Code did not provide for acceleration of collection of delinquent assessments, and the ordinance would remedy the problem. He noted that the amendment would give a property owner six months grace period following notice to bring all delinquent assessments current prior to initiation of foreclosure proceedings. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Anderson/Deeter) Enact Ordinance No. 95 -12 Motion Passed. Unanimous City of Seward, Alaska City Council Minutes August 14, 1995 Volume 31, Page 204 PRESENTATIONS WITH PRIOR NOTICE ONLY Crane noted that the Council had received a letter from Richard Goshorn since he was unable to attend the meeting. He also noted that Jack Goodwill had informed the City that he would be unable to attend since he was working. DAVID W. FAIRCHILD, 312 Fifth Avenue, stated that his experience with the cruise line industry and tourism would be beneficial to the Board. He thanked the Council for giving him the opportunity to apply for a seat on the Board. RON LONG, Camelot, outlined areas of needed improvement including marketing of the marine industrial center and increased tourism. He stated that he had enjoyed his partial term on the board and would like to serve a full term. RESOLUTIONS Resolution No. 95 -089 appropriating revenue sharing monies for health facilities within the City MOTION (Sieminski/Anderson) Approve Resolution No. 95 -089 In answer to a question from Sieminski, Finance Director Gifford assured the Council that financial reporting and audit procedures were followed in the proper manner. Motion Passed. Unanimous Resolution No. 95 -092 authorizing the sale of the 400 -amp electrical system servicing the Syncrolift Dock to Seward Ship's Drydock and authorizing the City to share equally in the total cost of developing the current SSD Lease and operating agreements MOTION (Darling /King) Approve Resolution No. 95 -092 Murphy noted that a typographical error in section 2 was corrected to read $11,850, rather than $23,700, as the amount to be paid by Seward Ship's Drydock for 50 percent of lease preparation costs. Garaini stated that it was in the best interest of the community to conclude any differences still pending on the ground lease and operating agreement of the syncrolift and enjoy a stable and mutually beneficial relationship between the City and SSD. City of Seward, Alaska City Council Minutes August 14 1995 Volume 31, Page 205 Motion Passed. Unanimous UNFINISHED BUSINESS Resolution No. 95 -085 approving an amendment to the employment agreement with Ronald A. Garzini, providing for Mr. Garzini to serve as interim city manager, terminable on 90 days' notice Crane noted that there was a motion for approval on the floor. Anderson stated that she favored hiring Garzini following the interview conducted on August 7th although she objected to the manner in which Garzini was hired in April. Klinkner outlined the history of the city manager hiring process and a decision by the court alleging violation of the Open Meetings Act. He outlined the reconsideration process that the Council had undertaken to remedy the problem. He stated that the adoption of an interim agreement at this point in time was not absolutely necessary in the reconsideration process but the Council needed to make a decision soon regarding the hiring of a city manager. MOTION (Crane / Deeter) Motion Passed. Postpone Resolution No. 95 -085 until August 28th. YES: Crane, Darling, Deeter, King, O- 'Brien, Sieminski NO: Anderson With no objection from Council, Crane instructed the clerk and the attorney to add ratification of the current employment agreement between the City and Garzini to the August 28th agenda. Appointment of Port and Commerce Advisory Board members Murphy distributed ballots to the Council, collected the ballots and read the results as follows: David W. Fairchild and Jack Goodwill each received six votes from Anderson, Crane, Darling, Deeter, O'Brien and Sieminski; Richard Goshorn received two votes from Deeter and King; and Ron Long received seven votes from each member of the Council. The appointments of Fairchild, Goodwill and Long to three year terms on the Port and Commerce Advisory Board were confirmed without objection. , City of Seward, Alaska City Council Minutes August 14, 1995 Volume 31, Page 206 NEW BUSINESS Lease appraisal report Community Development Director Kerry Martin outlined the results of the appraisals that were recently completed on the City's leased lands and vacant lands available for lease. He noted that some lands had increased while other lands had decreased in value. He noted that the City's goal was to bring the rent adjustment date of all leases into a five- year review cycle. Anderson stated that she had requested the report and thanked Martin for his presentation. CITY MANAGER REPORTS Garzini encouraged the public to attend a State DOT /PF public meeting to be held in Council Chambers on August 24th regarding the rehabilitation of Mile 0 -36 Seward Highway. He reported on a recent meeting held with the Senior Citizens regarding use of the community center for the youth. He noted that the Alaska Railroad and Corps of Engineers were working this fall to solve the siltation problem at the railroad dock. He noted that the City would be making paving repairs in the harbor during the next week. COUNCIL DISCUSSION DEETER encouraged Seward citizens to run for elective office and get involved in the community. ANDERSON reported on the accomplishments thus far of the Railroad /Hoben Park Ad Hoc Committee. She urged interested citizens to become involved in the planning process for the park and railroad depot. She objected to the manner in which the former city manager was terminated, the current city manager was hired and the legal costs associated with the process. In answer to a request from ANDERSON, KLINKNER summarized the complaint filed against the City by Tyler Jones. CRANE recommended that the Council cease holding pre - meeting work sessions and schedule work sessions only when needed. ANDERSON replied that the city attorney should be available to speak with the Council prior to the meeting. The Council agreed. CRANE stated that a work session regarding the hospital transfer would be scheduled in September. He asked for the inclusion of a New Business item on the August 28th agenda, discussion of guidelines for hiring and terminating of the city manager. He reminded the citizens that the filing deadline for elective office was the close of business on August 15th. CITIZENS' DISCUSSION City of Seward, Alaska City Council Minutes August 14, 1995 Volume 31, Page 207 MAKE WILEY, 550 Railway, stated that he was circulating a petition to initiate a 10 mil tax cap for property tax within the borough. WILLARD DUNHAM, Alder and Dimond, addressed needed future transportation improvements in the Seward area. He asked the Council to expand on the comments included in Resolution No. 95 -091 LOUIE MARCH, Mile 5.5 Seward Highway, requested certain personal telephone and other records and information from certain councilmembers that had been previously requested from the City. BOB VALDATTA, 428 Fifth Avenue, asked if the City taxpayers were paying for the yard lights at Seward Ship's Drydock. He addressed the problems with the timber industry. He further discussed his role in the recent hiring of Garzini. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS GARZINI stated that City Lobbyist Kent Dawson would be in Seward on August 28th and attend the Council meeting. ANDERSON voiced her opposition to Wiley's proposed petition on a tax cap. She objected to the numerous requests for information and requests from Louie March. ADJOURNMENT The meeting was adjourned at 9:15 p.m. L' da 9. M rph , C C/ City Clerk (City S%O) e '' 'm. a bi w 4i t � Pa A q4 ; k � & ei-,, , Dave W. Crane Mayor City of Seward, Alaska City Council Minutes August 28, 1995 Volume 31, Page 208 CALL TO ORDER The August 28, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Agenda items not scheduled for public hearing None Items other than those appearing on the agenda MALCOLM FLENIING, 414 Second Avenue, and DAVE DIECKGRAEFF, 230 Sixth, expressed concern about the safety of school children waiting for school buses along the Seward Highway, especially at Lake Drive. They encouraged the State DOT /PF to install bus pullouts and lighting at each bus stop and the railroad crossings. They expressed a willingness to work with the City to implement a safety plan for the children. They also supported turn lanes at the intersection of Sea Lion Avenue and the routes to the high school. LOUIE MARCH, Mile 5.5 Seward Highway, addressed the city manager contract between the City and Garzini. He objected to the legal costs associated with the Krasnansky lawsuit. He encouraged the Council to advertise for the city manager position. City of Seward, Alaska City Council Minutes August 28, 1995 Volume 31, Page 209 TOM STAUDENMAIER, Eagle River, addressed the proposed merger of the electrical utilities throughout the state. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson /O'Brien) Approve the Agenda and Consent Agenda. Deeter moved Resolution No. 95 -100 and 95 -101 to the regular meeting agenda. Anderson moved Resolution No. 95- 093 95 -095 and 95 -103 to the regular meeting agenda. Sieminski moved Resolution No. 95- 094 95 -098 and 95 -102 to the regular meeting agenda and added New Business, Item C, increased charges from the City's insurance trust for employee medical insurance premiums. VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The August 14, 1995, regular meeting minutes were approved as written; Resolution No. 95 -097 appropriating funds to close out the Jesse Lee Home National Register nomination grant retroactive to June 30, 1995, was approved; and Resolution No. 95 -099 approving payment not to exceed $20,335 to Shields Paving for various emergency paving upgrades and repairs; was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley was not present and no report was given. RESOLUTIONS Resolution No. 95 -093 accepting Alaska State Library Grants and appropriat- ing funds MOTION (Anderson/Darling) Approve Resolution No. 95 -093 City of Seward, Alaska City Council Minutes August 28 1995 Volume 31, Page 210 Motion Passed. Unanimous Crane introduced City Lobbyist Kent Dawson to the City Council and welcomed him to Seward. Resolution No. 95 -094 approving Amendment No. 1 extending the electrical meter reading contract between the City of Seward and Derrald J. Hilderbrand through September 30, 1996 MOTION (Anderson /Sieminski) Motion Passed. Approve Resolution No. 95 -094 Unanimous Resolution No. 95 -095 amending the legal budget by transferring general government legal services funds to legal subject matter Krasnansky v. City MOTION (Sieminski/O'Brien) Motion Passed. Approve Resolution No. 95 -095 Unanimous Resolution No. 95 -096 ratifying and confirming the employment agreement with Ronald A. Garzini as City Manager approved by Resolution No. 95 -038 MOTION (Darling /O'Brien) Approve Resolution No. 95 -096 Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski Resolution No. 95 -098 approving a contract with AAA Fence for installation of a security fence at the Pole Yard and appropriating funds MOTION (Sieminski/Darling) Approve Resolution No. 95 -098 Sieminsld objected to awarding the bid to an out of town firm when a local business, after considering the 5 % local bidder's preference, was within a couple of hundred dollars of the low bid. Crane, Darling and O'Brien noted the importance of strictly following City Code provisions in the awarding of public contracts. City of Seward, Alaska City Council Minutes August 28, 1995 Volume 31 Page 211 VOTE ON MOTION Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski Resolution No. 95 -100 appropriating funds from the Harbor Retained Earnings Fund to complete the Northeast Launch Ramp Project No. 285 -2850 retroactive to June 30, 1995 MOTION (Deeter /Anderson) Approve Resolution No. 95 -100 In response to a question from Deeter, Singleton explained that the $50,000 cost overrun could be attributed in large part to the cost of labor ($38,000) which the City had initially thought it could absorb within the Harbor operating budget. However, the granting agency required that this cost be allocated to the grant. VOTE ON MOTION Motion Passed. Unanimous Resolution No. 95 -101 appropriating funds from the Harbor Retained Earnings Fund to close out the Harbor "B" Float Reconstruction Project 278- 2780 retroactive to June 30, 1995 MOTION (Darling / Deeter) Motion Passed. Approve Resolution No. 95 -101 Unanimous Resolution No. 95 -102 appropriating in -kind funds from the General Fund Fund Balance to the Land and Water Conservation Fund - Waterfront Park Grant Project retroactive to June 30, 1995 MOTION (Sieminski /Anderson) Motion Passed. Approve Resolution No. 95 -102 Unanimous Resolution No. 95 -103 appropriating funds from the General land Fund Balance to the Interpretive Signs Grant Project retroactive to June 30, 1995 City of Seward, Alaska City Council Minutes August 28 1995 Volume 31, Page 212 MOTION (Sieminski /Darling) Motion Passed. UNFINISHED BUSINESS Approve Resolution No. 95 -103 Unanimous Resolution No. 95 -085 approving an amendment to the employment agreement with Ronald A. Garzini, providing for Mr. Garzini to serve as interim city manager, terminable on 90 days' notice Crane noted that there was a motion for approval on the floor. VOTE ON MOTION Motion Failed. Unanimous Animal Control recommendations Police Chief Walker stated that a number of options, including the use of volunteers, had been considered in the course of seeking a means of providing 24 -hour care for the animals at the animal shelter. He stated that he recommended privatization of this service, adding that the current animal control officer would be given an opportunity to enter into a sole- source contract with the City for the first year or two after which the City would bid the services. Garzini added that a 24 -hour per day function could be better handled by a private contractor than a six -hour per day employee. He noted that the top three priorities for the City were care of the animals in custody, response to citizen complaints and patrol. The Council agreed to pursue the private contract option and to evaluate the program at the end of one year. RECESS: The Council recessed at 8:39 p.m. and reconvened at 8:45 p.m. NEW BUSINESS Guidelines for hid= and W= appointed officials of the City Crane postponed this item until a later date when the attorney could be present to give advice to the Council. _i Parks and Recreation Department report on youth center and youth activities In answer to a question about utilizing temporary quarters in the library basement, Sturdy stated that City of Seward, Alaska City Council Minutes August 28 1995 Volume 31, Page 213 minimal repairs would be made and the basement would suffice for a number of youth programs. Garzini stated that negotiations with the Senior Citizens were ongoing for use of the community center basement. He noted that he would meet with the Senior Citizens Board in the middle of September and report the results to the Council at the last meeting in September. Increased costs for employee medical insurance Sieminski asked how the administra- tion planned to fund the increased insurance costs. Garzini explained that each department budget would absorb the added premium cost rather than seek additional funding from the Council. He noted that the increase was not a significant budget impact. CITY MANAGER REPORTS Garzini thanked the Council for its vote of confidence. He thanked Kent Dawson for visiting Seward and beginning the draft legislative process for the upcoming year. He distributed and reviewed the city's strategic plan outline. He explained that the administration would like to meet in work sessions and formulate priorities for the City. He noted that the Ad Hoc Committee was concerned about the condition of the roof of the depot building and the City would seek a solution. COUNCIL DISCUSSION SIE M NSKI stated that the Krasnansky litigation costs were not entirely the fault of the Council and he felt that the attorney should absorb half of the cost. The Council agreed to seek an explanation of the fees from City Attorney Klinkner at the next meeting. He commended the public works department for painting the city shop. KING welcomed Garzini and his family to Seward. ANDERSON welcomed Garzini. She noted that there were three upcoming vacancies on the hospital board. She complimented the hospital staff on the recent painting of the hospital by in -house staff and volunteers. She commended the public works department for cleanup and painting of the city shop. She noted that the dedication of the new Exit Glacier Road took place last weekend, and she thanked Herman Leirer for his efforts in opening up the Exit Glacier area 30 years ago. She discussed needed highway improvements and public safety issues regarding Mile 0 -36, Seward Highway. She thanked Deputy City Manager Yanez for his handling of city issues during the recent city manager transition. DARLINGstated that the Alaska Association of Parks was holding its state convention in September in Seward, thanks to the efforts of the City Parks and Recreation Department. He City of Seward, Alaska City Council Minutes August 28, 1995 Volume 31, Page 214 thanked Wilder Construction, Metco, Bob Valdatta and Tex Ainsworth for their volunteer efforts to complete paving of the Chamber of Commerce parking lot. CRANE welcomed Garzini and his family to Seward and stated that he looked forward to two productive years. He noted that the final paving phase of Exit Glacier Road should be accomplished next year. He reminded the public that comments on Mile 0 -36, Seward Highway improvements, were due to the State Department of Transportation by September 1st. Crane noted that the Kenai Peninsula Borough Economic Development District had offered to make a presentation to the Council regarding its plans for the construction of a small business incubation center in Kenai and asked the Council to comment. The Council was not in favor of supporting a capital project for Kenai. CRANEappointed Garzini to the vacant seat on the SAAMS Board with no objection from the Council. CRANE scheduled a joint work session with the SAAMS Board for September 25th at 6:00 p.m. to discuss maintenance and construction plans for the Alaska SeaLife Center. He scheduled a work session for September 11th at 6:00 p.m. to discuss the city strategic plan outline. CRANEcommended Yanez for his professionalism during the city manager transition and he thanked Kent Dawson for his work as city lobbyist. He noted that the Kenai Peninsula Coalition meeting would be held on September 7th at 10:00 a.m. to discuss tourism issues. He stated that the funding for remodel and replacement of the sound system in the Council Chambers had inadvertently been eliminated during the budget process and he would work with the city clerk to formulate a budget amendment to include in the next meeting agenda. CITIZENS' DISCUSSION CAROL CHAUDIERE, 1129 Park Place, was concerned about the color of the city shop building. She noted that the SVAC building was not aesthetically pleasing. She encouraged the City to form a program to establish criteria for the appearance of buildings in the community. LOUIE MARCH, Mile 5.5 Seward Highway, encouraged the Council to support the Staudenmaier electric merger plan. He stated that the goal was to allow Seward citizens to vote on the merger plan. He supported lower electric rates for Seward area residents. TOM STAUDENMAIER, Eagle River, updated the Council on the utility industry and the wheeling of electric power. He stated that the people should have the right to vote on this issue. He stated that he would take his electrical merger proposal to court if necessary. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS None. City of Seward, Alaska City Council Minutes August 28 1995 Volume 31, Page 215 ADJOURNMENT The meeting was adjourned at 9:50 p.m. City Clerk (City Seal) &W�= (A, Zvi Dave W. Crane Mayor City of Seward, Alaska City Council Minutes September 11 1995 Volume 31, Page 215 CALL TO ORDER The September 11, 1995, regular meeting of the Seward City Council was called to order at 7:40 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Vice Mayor Darling led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk City of Seward, Alaska City Council Minutes September 11, 1995 Volume 31, Page 216 ABSENT was: Darrell Deeter - excused CITIZENS' COMMENTS Agenda items not scheduled for public hearing None. Items other than those appearing on the agenda CARLA HAYES, #3 Lowell Point, stated that the sewage lagoon at Lowell Point was emitting obnoxious odors and requested that the problem be corrected. She thanked the Council for its help with the relocation of the youth center. LOUIE MARCH, Mile 5.5 Seward Highway, objected to using taxpayer dollars to pay legal costs related to the Krasnansky and Jones litigation. TOM STAUDENMAIER, Eagle River, addressed the April special election on the lease of land at the SMIC and the shiplift operating and maintenance agreement. He asked for a legal opinion on whether or not a three -fifths vote was needed to pass the propositions put before the voters. D. E. WOOD, 407 -1/2 Second Avenue, stated that he would be circulating an initiative petition to seek voter approval of sale of the electric utility. ARLENE WILEY, 550 Railway, objected to charging fees for fire inspections. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (O'Brien /Darling) Approve the Agenda and Consent Agenda presented. Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The August 28, 1995, regular meeting minutes were approved as written; Resolution No. 95 -104 authorizing the purchase of sand, salt and calcium chloride for winter ice control, was approved; Resolution No. 95 -105 placing local sites which have attained National Register status on the Seward Register of Historic Places, was approved; City of Seward, Alaska City Council Minutes September 11, 1995 Volume 31 Page 217 Resolution No. 95 -106 establishing an annual Seward Historic Preservation Award, was approved; Resolution No. 95 -108 approving a contract for snow plowing and sanding services for Nash Road, SMIC and Lowell Point Road, was approved; and Resolution No. 95 -109 appropriating funds for replacing the Council Chambers sound system and council dais, was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley reported on the September 5 assembly meeting and named the candidates running for borough offices. RESOLUTIONS Resolution No. 95 -107 setting fees for services performed by the Fire Department MOTION (Anderson /Darling) Approve Resolution No. 95 -107 Anderson supported user fees for inspections and noted that revenues from these fees were reflected in the FY 1996 budget. King and Darling voiced opposition to charging fees for fire inspections. Crane stated that the operational costs to collect the fees did not warrant the small amount of projected revenue. VOTE ON MOTION Motion Failed. YES: Anderson, Sieminski NO: Crane, Darling, King, O'Brien UNFINISHED BUSINESS Report on fees and regulations for use of harbor dumpsterc Garzini stated that the city planned to continue with the current system with the existing garbage contractor, Jason Enterprises. He noted that any reallocation of costs would increase the Harbor costs but would not diminish contractor charges to the harbor. Anderson stated that she had requested this report because she wanted to be sure that those business customers using the city -owned harbor dumpsters were paying garbage fees equivalent to other businesses providing their own containers. She also wanted the ensure that the City was City of Seward, Alaska City Council Minutes September 11 1995 Volume 31, Page 218 receiving credit from the garbage contractor for private business usage. Singleton stated that he would further review the issue prior to the next budget year. Discussion of Council Chambers Renovation Crane noted that it was in the public interest to replace the sound system, but noted that he could see no reason to expand the size of the council chambers at this time. Murphy noted that this issue would come back to the Council for final approval once plans were drawn and bids received for replacement of the dais and sound system. She stated that the Council could, at that time, eliminate replacement of the dais if it chose. NEW BUSINESS Proposal to lease property at SMIC as submitted by Glacier Communications The Council agreed without objection to the administration's recommendation to give reasonable assurance to William M. Holzheimer, dba Glacier Communications, that a 50' x 80' lot at the corner of Delphin Street and Sorrel Road, SMIC, would be available for lease in early spring, 1996, and that the intended lease site could be cleared of all brush at the expense of Glacier Communications prior to entering into a formal lease agreement. CITY MANAGER REPORTS Garzini stated that three candidates were interviewed by a selection committee for the library director position and none had been found to meet the needs of the community. He stated that since Doris Welch was continuing to perform well as the acting Library Director, he intended to readvertise the position over a broader area of the state in order to attract additional candidates that might prove to be a better match for the position. Parks and Recreation Director Sturdy reported that the youth center would have a grand opening in the library basement Friday, September 15th. She added that negotiations for use of approximately 80 % of the community center for youth center activities were almost complete. Calvert reported on the sewage treatment plant problem. He noted that it had taken most of the summer to complete repairs to the liner and he apologized to the citizens of Lowell Point for having to endure the bad odor during the course of the project. Garzini reported on the proposed sale and /or dismantling of the sawmill on September 21st, and he recommended that the City assert its rights under its lease with Morgan and Young. The City Council authorized the attorney to proceed with whatever steps were necessary to protect the city's interests in the leased property. City of Seward, Alaska City Council Minutes September 11, 1995 Volume 31 Page 219 Garzini explained that the City's priority was to find a new operator. He stated that, if the City blocked the sale to protect the City's interest, it would devalue the dismantling option. He noted that the City needed to protect and reserve its right so as not to be left with a huge pile of sawdust and no assets. The Council authorized the attorney to proceed with legal action to block the sale and dismantling of the sawmill. Garzini stated that the City had received a settlement offer from Krasnansky's attorney. Klinkner reported that Krasnansky had agreed to settle for payment of his attorney's fees totaling $12,000, acknowledgment by the Council that the Superior Court had found that certain aspects of the notices given for the April 20th and 24th meetings were in violation of the Open Meetings Act, and a general affirmation of Council's commitment to abide by the Open Meetings Act in all its proceedings. He encouraged the Council to settle the case as outlined. Garzini also agreed that it was in the city's and public's best interest to settle this issue. Crane stated that settlement was in the public's best interest. O'Brien stated that he would rather go to trial. King stated that the notices were legally posted and distributed in accordance with the City Code and Charter, and he wanted this fact reflected in the settlement resolution. Anderson, Sieminski, King and Darling supported settlement. Klinkner stated that he would prepare a resolution authorizing settlement for consideration by the Council at its next meeting. COUNCIL DISCUSSION ANDERSON reviewed her September 11th letter submitted earlier to the Council and manager regarding hospital finances and proposed collocation of the hospital and Wesley Rehab and Care Center. Crane agreed that it was time to consider settlement of hospital issues as the City's number one priority. Crane scheduled a work session to discuss hospital issues for Monday, September 18th at 7:00 p.m. He invited the Hospital Board and Wesley Board to attend and participate. ANDERSON requested a status report on the Jones litigation. Klinkner replied that the City's motion for summary judgment should be filed within 10 days. He stated that the case had been moved to federal court as a result of claims by Jones of certain civil rights violations. The Council discussed justification of legal costs incurred in the Krasnansky case with the city attorney. ANDERSON stated that legal costs involved in the City Manager issue had cost the City over $29,000 thus far. She further reported that the total billed through August 25 was $5413, the cost of the Krasnansky lawsuit totaled $19,446 and the Jones lawsuit totaled $4966 for a total cost of $29,825. ANDERSON thanked Garzini for sending a letter to the fish by- products plant regarding the foul odor of rotting fish. She also thanked Bob Valdatta for his comments on the sawmill. City of Seward, Alaska City Council Minutes September 11 1995 Volume 31, Page 220 The Council held a brief discussion regarding the collection of the bed tax if approved by the voters in October. O'BRIENrequested the inclusion of the strategic plan on the September 25th agenda in order to prioritize projects. There was no objection from the Council. DARLING stated that Dr. Fox had applied for hospital privileges four months ago but had not received an answer. He asked Mayor Crane to seek an explanation from the hospital as to why no answer had been given to Fox. There was no objection from Council. CRANE reported that the Kenai Peninsula Municipal Coalition meeting was well attended. He stated that the borough sales tax code would be discussed at the December meeting. CITIZENS' DISCUSSION LOUIE MARCH, Mile 5.5 Seward Highway, encouraged the Council to support Staudenmaier's electric merger plan to sell the electric utility to CEA at fair market value. He noted that sale of the utility would upgrade the Seward system and purchasers would pay the same rate as Moose Pass residents. He gave a brief history comparing CEA and SPU rates. He also addressed the power sales agreement between the City and Suneel Alaska Corporation. TOM STAUDENMAIER, Eagle River, stated that he would have enough signatures to apply for a petition to sell the electric utility. He compared rates from Seward to Moose Pass. He also stated that he had refused to meet with Garzini privately to discuss his proposal. BOB VALDATTA, 528 Fifth Avenue, praised the Council, Administration and Chamber of Commerce for helping him write a letter to the governor regarding the sawmill. He stated that he supported encouraging a new industry to locate at this site if the forest products industry continued to be unsuccessful. He noted his appreciation for the community's efforts to keep the sawmill open. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS Garzini informed the Council that he was asked to meet with Tom Staudenmaier by Louie March and had agreed to do so. He stated that an open discussion in a work session regarding an electrical merger was in order. ADJOURNMENT The meeting was adjourned at 9:12 p.m. City of Seward, Alaska City Council Minutes September 11, 1995 Volume 31 Page 221 Linda S! MuPhy,'CMVAAE City Clerk �Pe (City Seal) Z f:i V' • C! lyl H L ,, - P,— L � , \ A,/ . of Dave W. Crane Mayor City of Seward, Alaska City Council Minutes September 20, 1995 Volume 31 Page 221 CALL TO ORDER The September 20, 1995, emergency meeting of the Seward City Council was called to order at 4:05 p.m. by Mayor Dave W. Crane. OPENING CEREMONY The opening ceremony was waived. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Jerry King comprising a quorum of the Council; and Ronald A. Garzini, City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk ABSENT were: Darrell Deeter - excused Patrick D. O'Brien - excused Bruce Sieminski - excused City of Seward, Alaska City Council Minutes September 20 1995 Volume 31, Page 222 APPROVAL OF SPECIAL MEETING AGENDA MOTION (Darling/King) Approve the Special Meeting Agenda. Motion Passed. Unanimous CITIZENS' COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING None. SPECIAL ITEMS Disaster Status Report Kerry Martin updated the Council on the current status of the flood caused by Typhoon Oscar. He noted that many areas in the community, Bear Lake, Resurrection River and Camelot were beginning to flood. He stated that a number of roads had been closed and crews were responding to requests for assistance. He added that the people at Lowell Point were cut off from town due to wash -out of the approaches to the Lowell Point Bridge. He further noted that the schools had been closed and shelters had been set up at the Seward High School and Bear Creek Fire Department. RESOLUTIONS Resolution No. 95 -121 declaring a state of disaster in the City of Seward and requesting assistance MOTION (Darling/King) Motion Passed. Approve Resolution No. 95 -121 Unanimous COUNCIL DISCUSSION None. CITIZENS' DISCUSSION None. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS None. ADJOURNMENT The meeting was adjourned at 4:23 p.m. � +.s 7tldg urp'. City Clef (City Seal), A &Q, J &z� Dave W. Crane Mayor City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 223 CALL TO ORDER The September 25, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Sieminski led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Patrick D. O'Brien Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk CITIZENS' COMMENTS Agenda items not scheduled for public hearing LOUIE MARCH, Mile 5.5 Seward Highway, objected to payment by the taxpayers of the $12,700 settlement in the Krasnansky litigation. He stated that certain councilmembers should personally pay the costs. Items other than those appearing on the agenda BOB VALDATTA, 528 Fifth Avenue, addressed the recent losses in the community as a result of the flood caused by Typhoon Oscar and the sale of the sawmill by Seward Forest Products. He recommended the formation of a task force to encourage new industry to the community. TOM HALLOWELL, 324 Second Avenue, supported relocation of the youth center to the community center and use of the center by other groups when not in use by youth. CARLA HAYES, Lowell Point Road, supported relocation and expansion of the youth center. She also supported use by the entire community rather than just the seniors and the youth. City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 224 HERMAN E. LEIRER, Dairy Hill, addressed the flooding at the airport. He stated that the old channel of the Resurrection River was authorized for dredging and it was time to take care of the problem. He cited Seward's flood history and urged the city to take care of the problem areas affected by flooding. He further noted that state and federal agencies should be aware of and assist the city with its flood problems. He stated that, if the rain causing the flooding at the airport had continued, the entire area could have been washed away and the river would have followed a course to the small boat harbor and docks. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson/Darling) Approve the Agenda and Consent Agenda. Anderson moved Resolution No. 95 -118 and New Business Item A to the regular meeting agenda. Crane added two presentations to Special Orders. Murphy noted corrections to the minutes requested by Anderson to reflect her concern with the City subsidizing private business for use of the harbor dumpsters and, under Council Discussion, to add Anderson's comments about the legal cost of the Krasnansky and Jones litigation to date. Murphy stated that the minutes would be corrected as requested. Sieminski moved Ordinance No. 95 -14 Resolution No. 95 -112 No. 95 -114 and No. 95 -120 to the regular meeting agenda. VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The September 11, 1995, minutes were approved as amended; Resolution No. 95 -113 requesting FY 1996 municipal assistance from the state of Alaska, was approved; Resolution No. 95 -115 authorizing the renewal of the annual software maintenance agreement with Timeline, Inc., was approved; Resolution No. 95 -116 certifying that the City suffered significant effects during the program base year from fisheries business activities that occurred within the Cook Inlet Fisheries Management Area and authorizing an application for funds from the Shared Fisheries Business Tax Program, was approved; City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 225 Resolution No. 95 -117 authorizing a $1,000 contribution to the Resurrection Bay Historical Society, was approved; Resolution No. 95 -119 accepting a community schools grant and appropriating funds, was approved;and Betty Casey, Cynthia Capra, Vickie Siegal and Sara Watsjold were appointed to the Canvass Board for the 1995 regular municipal election. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley was not present and no report was given. Wiley had reported earlier that he would be out of town. SPECIAL ORDERS AND PUBLIC HEARINGS Crane presented a plaque to Bob Valdatta in appreciation of his volunteer services to the community of Seward over the years. He noted that Valdatta was always willing to lend a helping hand to his fellow citizen. Crane read a proclamation in recognition of the Parks and Recreation programs and activities throughout the nation. Garzini thanked Parks and Recreation Director Sturdy and staff for hosting the Alaska Recreation and Park Association State Conference. He commended Sturdy for her efforts in assisting with emergency operations while hosting the conference. PRESENTATIONS WITH PRIOR NOTICE ONLY Stu Clark - Ad Hoc Committee Report On behalf of the committee members, Clark thanked the Council for the opportunity to serve the community. He noted that the Committee proposed the creation of the Seward Historical Gateway Transportation District comprising the not only the Seward Railroad Depot building and Hoben Park, but also including the original city founders' landing site - Mile 0 of the Iditarod Trail, We 0 of the Alaska Central Railroad, the old Railroad /ferry dock and Mile 0 of the Seward Highway. He stressed the importance of preserving the historic integrity and significance of this area as the original Gateway to Alaska from 1903 to 1964. He noted that the committee encouraged commercial, cultural and visitor uses in association with the Alaska SeaLife Center. Clark stated that the committee recommended advertising for proposals for the Depot building. He summarized the committee's recommendations which included a restored historic park, a restored historic railroad depot for commercial or civic use, a comprehensive interpretation of Seward's transportation history and a complementary mix of historic, recreational and commercial activity. City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 226 ORDINANCES FOR INTRODUCTION Ordinance No. 95 -14 amending the City Personnel Code, SCC Title 3, to extend the maximum length of service for temporary employees from six to nine months MOTION (O'Brien/Deeter) Motion Passed. RESOLUTIONS Resolution No. 95 -110 appropriating funds for renovations to the Sen- ior /Community Center to accommodate a new Youth Center MOTION (Darling/King) Motion Passed. Resolution No. 95 -111 authorizing the City Manager to request proposals for a Class A pumper truck and a medium duty rescue truck for the Fire Depart- ment subject to approval of a financing package for acquisition MOTION (Anderson/Deeter) Introduce and set for public hearing on October 9, 1995. Unanimous Approve Resolution No. 95 -110 Unanimous Approve Resolution No. 95 -111 Garzini explained that the actual cost of acquiring the vehicles exceeded the amount budgeted. Deputy Fire Chief Squires stated that the pumper, which was included in the Capital Improvements Project list for the past seven years, would replace the 1965 engine. He explained that the current rescue trucks were "homemade," overweight and not in compliance with safety standards. Gifford explained the financing package for the vehicles. Garzini stated that if Council authorized the administration to proceed with the RFP, each step in the process would need Council approval. kyly Y D[170MU [1W1101 Motion Passed. Resolution No. 95 -112 establishing the Fire Hall Improvement Capital Project Fund MOTION (Sieminski/Darling) Unanimous Approve Resolution No. 95 -112 City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 227 Motion Passed. Unanimous Resolution No. 95 -114 approving the extension of a special services contract for dispatch, telephone answering and clerical services for Alaska State Troopers MOTION (Darling/Sieminski) Motion Passed. Approve Resolution No. 95 -114 Unanimous Resolution No. 95 -118 authorizing a settlement of the Krasnansky v. City of Seward litigation MOTION (Anderson/Deeter) MOTION (Anderson /Sieminski) Approve Resolution No. 95 -118 Postpone until October 9, 1995. Garzini explained that the City and Reilly had reached an agreement to compensate him for a portion of his cost to litigate the Krasnansky case. Sieminski asked if this motion was subject to reconsideration. Murphy explained that motions in the nature of a contract were not subject to reconsideration, and this proposed settlement agreement was, in effect, a contract between the City and Mr. Krasnansky. Therefore, a motion to reconsider the outcome of the vote on the resolution would not be in order. At the request of the Mayor, she state that she would verify her interpretation of "contract" with the attorney. Garzini stated that the presented settlement agreement was consistent with the guidance given to the attorney by the Council. He urged approval of the resolution. VOTE ON MOTION TO POSTPONE Motion Failed. YES: Anderson, Sieminski NO: Crane ,Darling,Deeter,King,O'Brien MOTION (Deeter /Anderson) Motion Passed. VOTE ON MOTION AS AMENDED Amend Section 1. by adding, "in an amount not to exceed $12,700." YES: Anderson, Deeter, O'Brien, King NO: Crane, Darling, Sieminski Motion Passed. Unanimous City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 228 At Sieminski's request, Murphy noted for the record that Sieminski's request for reconsideration would be filed in accordance with Council's rules of procedure if the city attorney determined that the settlement agreement was not a contract. Resolution No. 95 -120 appropriating funds for library renovations to accommodate a temporary youth center MOTION (O'Brien/Darling) Approve Resolution No. 95 -120 Sieminski objected to renovating the library when the youth would move into the community center within four months. Garzini replied that the city was not aware of the time line for relocating to the community center when the renovations were decided upon. He explained the need to make life - safety repairs to the basement of the library. VOTE ON MOTION Motion Passed. YES: Anderson, Crane, Darling, Deeter, King, O'Brien NO: Sieminski UNFINISHED BUSINESS Strategic Plan Priorities Garzini suggested that the Mayor, Clerk and Manager actually set timelines for the various projects. O'Brien noted that he was pleased with the timelines outlined in the plan since all projects would be considered within the next six months. Garzini assured the Council that the recent flood disaster would not change the timelines. Garzini further reported that he intended to address the flood problem at the Resurrection River with the City's congressional delegation to seek support for a Corps of Engineers project. NEW BUSINESS Replat of Lots 3, 4 and 8. Block 1. Marina Subdivision MOTION (Deeter /Sieminski) Recommend replat of Lots 3, 4 and 8, Block 1, Marina Subdivision, to the Kenai Penin- sula Borough for approval. Anderson voiced concern about the building height and lack of parking. Martin replied that the lessee had a choice to provide parking or pay the parking assessment fee in lieu of parking. The Council held a discussion about combining the three leases into one lease if the parcel were replatted into one single parcel. City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 229 MOTION (O'Brien /Anderson) Amend to make approval of the replat contingent upon the lessee agreeing to incorporate the City's 5 -year appraisal system into a new lease combining the two current leases. Garzini suggested obtaining a letter of approval from Mindenbergs agreeing to a new lease incorporating a five -year appraisal plan. MOTION (Crane/Deeter) Postpone until October 9, 1995. Crane requested clarification of the parking issues prior to taking action on the replat. Anderson and O'Brien also requested research into the parking issue and what the city's recourse would be if the parking assessment were discontinued and parking could not be provided. VOTE ON MOTION TO POSTPONE Motion Passed. Unanimous CITY MANAGER REPORTS Update on Seward Forest Products Garzini reported on the auction held to sell the sawmill equipment. He stated that the necessary insurance to protect the City's interest was on file and the man hours worked had been reported. He further informed the Council that the lease was still active for the land, building and dock, and Seward Forest Products was legally in compliance with the lease terms. Hospital Consultant Garzini suggested that the City enter into agreements with Alaska Health Care Management Services and Rural Financial Health Services to assist the City in educating the public and determining the community's position regarding the hospital's future and the possibility of either collocating or transferring the hospital to another entity. Anderson noted that many studies had been conducted by the hospital board, staff and consultants over the past few years. She suggested a questionnaire that could be distributed to the citizens during the election in order to obtain feedback regarding the health care delivery system in the community. Sieminski favored advertising for proposals from interested health care providers before entering into a contract. In answer to a question from Crane about the legality of approving the contracts without a resolution, Murphy explained that the Council could vote on the approval of the contracts and ratify the decision by resolution at the October 9 meeting. City of Seward, Alaska City Council Minutes September 25 1995 Volume 31, Page 230 MOTION (Darling/Deeter) Motion Passed. Authorize the city manager to enter into contracts with Alaska Health Care Management Services for an amount not to exceed $18,375 and Rural Health Financial Services for an amount not to exceed $10,000 subject to ratification at the Octo- ber 9 meeting. Unanimous. Kerry Martin briefed the Council on the status of the flood including the Seward and Bear Creek areas. COUNCIL DISCUSSION KING thanked the seniors for sharing the community center with the youth. He complimented Garzini on his negotiation techniques and thanked the youth for their input. He further thanked Andy Patapoff for volunteering to design the conceptual plans. O'BRIEN asked why the speed limit on Seventh Avenue had been increased from 25 mph to 30 mph. He voiced his concern about the effects of a higher speed limit on pedestrian and motor home traffic along Waterfront Park. Garzini replied that he would provide a written report. SIEMINSKI thanked the volunteers who helped during the flood. He noted that the proposed hotel tax was to pay for use of services by visitors and users of hotels and lodging establishments. ANDERSON thanked the administration, clerk's office, Kenai Peninsula Borough Emergency Office and the State offices for managing the flood disaster. She stated that she was proud of the community response to this latest crisis. She noted that Seward was fortunate to have the manpower and facilities to enable quick response. She stated that it was time, once again, to stress the need for ongoing flood control. She noted that the filing period for three upcoming vacancies on the hospital board ended on September 27, and she reminded everyone to vote on October 3. She stated that she hoped health questionnaires would be available at the polls on election day to allow the community to address minimum health care requirements. DEETER thanked the city public works department and the administration for the quick response to needed street repairs. He thanked the city and emergency crews for responding quickly to the problems associated with the flood. He reminded everyone to vote in the upcoming election. DARLINGcommended the emergency crews for doing a good job and stated that the city employees were well- trained and prepared for emergency response. He suggested planning emergency routes into and out of the city. He commended Parks and Recreation Director Sturdy for City of Seward, Alaska City Council Minutes September 25, 1995 Volume 31, Page 231 hosting the Parks and Recreation State Conference while also working on the flood. He further noted his appreciation of Bob Valdatta for his volunteer contributions to the community. CRANEalso commended and thanked all those who assisted with the flood. He stated that flood control of the Resurrection River was a top priority. He asked the Council to complete the evaluations of appointed officials prior to the next meeting. He scheduled the evaluations for the 6:00 p.m. work session on October 9. CITIZENS' DISCUSSION STU CLARK, 1129 Park Place, was concerned about asking citizens to answer hospital questions without providing sufficient information. He further noted that the health care consultant should be an achiever. LOUIE MARCH, Mile 5.5 Seward Highway, noted that D. E. Wood had submitted a petition initiating sale of the Seward electric utility. He outlined the reasons for selling the electric utility to Chugach Electric Association. BOB VALDATTA, 528 Fifth Avenue, noted that the truck scales at SMIC had been sold in the sawmill auction and he asked if the City could arrange to keep the scales. He thanked the prison volunteers for donating their help with sand bags during the flood. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS Murphy gave an overview of the petition submitted by D. E. Wood and noted that she had rejected the petition based on a court opinion that the sale of a major asset of the community was an appropriation and the Alaska Constitution clearly stated that appropriations were not subject to initiative. She stated that it would take a majority vote of the City Council to enact an ordinance in order to place the sale of the utility on the ballot . Crane asked if the City had received any proposals for purchase of the utility. Garzini replied that no one had asked or submitted proposals to buy the utility. Garzini explained the hospital consulting contracts approved earlier in the meeting. ADJOURNMENT The meeting was adjourned at 10:07 p.m. L a S.1 M � ,;, . ' fAA "x. Dave W. Crane City Clerk : f Mayor ^P (City Seal ; ut City of Seward, Alaska City Council Minutes October 9 1995 Volume 31, Page 232 CALL TO ORDER The October 9, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Dave W. Crane. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Dave W. Crane, presiding, and Margaret Anderson Hugh Darling Darrell Deeter Jerry King Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Patricia Jones, Deputy City Clerk ABSENT was: Patrick D.O'Brien - excused CITIZENS' COMMENTS Agenda items not scheduled for public hearing BRAD SNOWDEN, 525 Sixth Avenue, urged the Council to look closely at the parking issue before recommending the proposed replat of Lots 3, 4 and 8, Block 1, Marina Subdivision. He stated that parking should be provided rather than allowing the lessee to pay a parking assessment. He stated that he was required to provide sufficient parking for his proposed hotel complex in the small boat harbor. He was concerned with insufficient parking in the entire harbor area. Items other than those appearing on the agenda WALTER CORRIGAN, 200 Benson Drive, informed the Council that he had resigned his seat on the Planning and Zoning Commission on October 4th due to a conflict of his personal moral City of Seward, Alaska City Council Minutes October 9, 1995 Volume 31, Page 233 views versus the legal definition of "family" in the City Code. He objected to the broad definition proposed as an amendment to the City Code. He urged the Council to do what was right to protect the "American Family." He noted that it was an honor to have served on the Planning Commission and Historic Preservation Commission. BEVERLY DUNHAM, 600 Alder Street, commended the city for its response to the recent flood and voiced her appreciation of the city employees and volunteers. She thanked the Council for re -hiring Garzini as city manager. She commended Garzini for his efforts related to the flood. She stated that she was offended by certain public members who complained about the city all the time but did not live in the city limits. LOUIE MARCH, Mile 5.5 Seward Highway, cited attorney costs related to the Krasnansky and Jones litigation. He requested that the costs be paid personally by certain Councilmembers. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Darling/Sieminski) Approve the Agenda and Consent Agenda. Anderson moved Resolution No. 95 -123 No. 95 -124 and No. 95 -125 to the regular meeting agenda. Garzini requested postponement of the replat of Lots 3, 4 and 8, Block 1, Marina Subdivision to the October 23 meeting. Crane moved Certification of the October 3, 1995 regular municipal election as Item A. Under Special Orders and renumbered the respective items. VOTE ON APPROVAL OF AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Deputy Clerk read the following approved consent agenda items: The September 20, 1995, special meeting minutes and the September 25, 1995, regular meeting minutes were approved as written. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley was not present. SPECIAL ORDERS AND PUBLIC HEARINGS Certification of October 3. 1995, regular election City of Seward, Alaska October 9, 1995 City Council Minutes Volume 31. Page 234 Jones reported that a total of 660 votes, including four questioned ballots, had been cast at the polls and 95 absentee ballots were returned in time for the canvass for a total of 755 votes cast in the October 3, 1995 election. She noted that the Canvass Board had met on October 6, 1995, to Canvass the absentee and questioned ballots and had elected to count 93 absentee ballots and one questioned ballot. She read the following final results of the election into the record as follows: Mayor (2 -Year Term) CLARK, Stu 202 DARLING, Hugh W. 100 BENCARDINO, Louis A. 408 Write In 15 City Council (3 to be elected) O'BRIEN, Patrick D. 206 ANDERSON, Margaret 402 KEIL, Marianna C. 304 KRASNANSKY, James A. 105 CRANE, Dave W. 500 WILEY, Arlene 241 MARQUISS, Steve 99 TAYLOR, J. Michael 35 NOLL, Jayne A. 170 Write In 5 PROPOSITION 1 (3 -Year Terms) Yes 303 No 364 PROPOSITION 2 (Designated Seats) Yes 253 No 429 PROPOSITION 3 (4 % Bed Tax) Yes 456 No 268 TOTAL VOTES CAST: 755 TOTAL VOTES COUNTED: 750 City of Seward, Alaska October 9, 1995 MOTION (Deeter /Sieminski) Motion Passed. City Council Minutes Volume 31, Page 235 Certify the October 3, 1995, regular municipal election and declare the results valid. Unanimous Ordinance No. 95 -14 amending the personnel code to extend the maximum length of service for temporary employees Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Anderson/Deeter) Motion Passed. Enact Ordinance No. 95 -14 Unanimous Resolution No. 95 -122 authorizing the sale of Lots 2 and 5, Block 7, Oceanview Subdivision, by sealed bid. Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Anderson /Sieminski) Motion Passed. Approve Resolution No. 95 -122 Unanimous RESOLUTIONS Resolution No. 95 -123 amending the legal budget to reflect the settlement of the Krasnansky litigation MOTION (Anderson /Sieminski) Approve Resolution No. 95 -123 Anderson noted that the cost of the Krasnansky litigation was reflected in FY 1995 and FY 1996. She stated that the actual cost of attorney fees plus the settlement totalled $10,128 for June, $8512 for July, $1002 for September for a total of $19,642 plus the settlement amount of $12,700 for a grand total of $32,342. _ Klinkner stated that the funding for the litigation had been absorbed by the legal budget, and if there was a shortfall prior to the end of the fiscal year, the amount would need to come before council with an explanation of costs. VOTE ON MOTION City of Seward, Alaska City Council Minutes October 9. 1995 Volume 31, Page 236 Motion Passed. Unanimous Resolution No. 95 -124 ratifying health care consultants contracts and appropriating funds MOTION (Deeter /Sieminski) Motion Passed. Approve Resolution No. 95 -124 Unanimous Resolution No. 95 -125 determining to sell nonrecourse revenue bonds to provide funds to finance certain facilities on behalf of Seward Association for the Advancement of Marine Science, and determining related matters MOTION (Sieminski/Deeter) Approve Resolution No. 95 -125 In answer to a question from Anderson, Garzini explained that non - recourse bonding did not pledge the assets of the community to repay borrowed funds but would lend tax free support to enable SAAMS to borrow funds using the city's tax exempt status for potential savings of several million dollars. He added that approval of the resolution would allow SAAMS to arrange for financing and submit the proposal to the council for final approval. He noted that the City's bond rating would not be affected. VOTE ON MOTION Motion Passed. Unanimous CITY MANAGER REPORTS GARZINIreported that he had received a favorable response letter from the Alaska Railroad regarding joint expansion of the railroad dock. He also reported that the soil at the city shop had been tested and was clean and suitable for development. YANEZgave an update on flood control measures to be taken by the city, state and federal governments including: dredging of the small boat harbor, including the northeast corner where more than 20,000 cubic yards of fill had washed into the basin; repairs in the small boat harbor area; repair and paving of Port Avenue; and repairs to Lowell Point bridge and road. YANEZ reported that the assessed damage totaled $1.82 million including emergency response costs and repairs to public property. He noted that the governor had declared a disaster and state funds were available. He stated that private property or other governmental agency damages were not included in the total assessment. He further reported that borough -wide damages totaled in excess of $10 million. He stated that anyone needing assistance could contact the disaster assistance center located at the McMullen Building. City of Seward, Alaska October 9, 1995 City Council Minutes Volume 31, Page 237 ANDERSONsuggested further dredging of the northwest corner of the harbor for expanded use. GARZINIstated that Mike Meehan hoped to rebuild the meal plant if he was able to obtain disaster assistance and funding. He added that a new facility would be required to comply with stringent air quality rules set forth by the Attorney General's office. COUNCIL DISCUSSION KINGreported on action taken at the October 4th Planning and Zoning Commission meeting. He stated that Maureen Simms had reported on the Alaska SeaLife Center Project archaeological monitoring including the finding of significant artifacts during excavation. ANDERSON thanked Crane for serving as Mayor and doing a great job in representing Seward. She also thanked Darling and O'Brien for their service on the Council, and she welcomed Marianna Keil and Crane to Council and Bencardino as Mayor. She stressed the importance of addressing flood control issues. She thanked the voters for the favorable vote on the bed tax and asked the administration for a report on implementation and budget projections. CRANE asked the deputy clerk to report on several vacant seats on the Boards and Commissions. JONES stated that only one application had been received in response to the notice of vacancy to fill three seats on the hospital board; one seat had become vacant on the Port and Commerce Advisory Board due to the election of Bencardino as mayor and one seat was vacant on the Planning and Zoning Commission due to the resignation of Walter Corrigan. Crane instructed the clerk's office to advertise the vacancies without objection from the Council. CITIZENS' DISCUSSION BRAD SNOWDEN, 525 Sixth Avenue, reported that Governor Knowles had spoken in support of the construction of a bike path from Seward to Girdwood at a Visitor's Convention held in Fairbanks, and he encouraged the council and public to support construction of the bike path. LOUIE MARCH, Mile 5.5 Seward Highway, noted that Mr. Tom Humphrey appeared in February 1992 before the City Council to designate interest in the Seward Public Utility. He expressed his disappointment of and objected to the denial of the initiative petition to sell the electric utility by the city clerk. He read a letter from Homer Electric Association (HEA) notifying its customers of a rate decrease and asked the Council when the Seward electrical rates would be lowered. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS City of Seward, Alaska City Council Minutes October 9, 1995 Volume 31, Page 238 CRANE responded to March that Mr. Humphrey °s visit to the Council was on a personal basis and not on behalf of the Chugach Electric Association Board. He further noted that the petition was not valid in accordance with city and state laws. GARZINIadded that Deeter had requested an analysis of electrical issues, and he agreed that the electric utility deserved further analysis. He stated that HEA was a very large wholesale customer of CEA which put them at an advantage to offer lower rates. He stated that he would create a comprehensive memo regarding the electric utility within the next two weeks. ANDERSON welcomed an in -depth investigation into the electric utility. KING thanked Beverly Dunham for her positive comments. He assured Snowden that the Council would treat each person fairly on the parking issue. ADJOURNMENT The meeting was adjourned at 8:43 p.m.. City �I�lc / a ry ad Ag tl � « Y u yr .,s f City orje lird, Alaska October 23, 1995 CALL TO ORDER L , J. eltr,Ui Dave W. Crane Mayor City Council Minutes Volume 31. Pare 238 The October 23, 1995, regular meeting of the Seward City Council was called to order at 7:3 5 p.m. by Mayor Louis A. Bencardino. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. SEATING OF NEW MAYOR AND COUNCIL City of Seward, Alaska City Council Minutes October 23, 1995 Volume 31, Page 239 City Clerk Murphy administered the oath of office to newly elected Councilmembers Margaret Anderson, Dave W. Crane and Marianna Keil and Mayor Louis A. Bencardino. ROLL CALL There were present: Louis A. Bencardino, presiding, and Margaret Anderson Dave W. Crane Darrell Deeter Marianna Keil Jerry F. King Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Linda S. Murphy, City Clerk CITIZENS' COMMENTS Agenda items not scheduled for public hearing None Items other than those appearing on the agenda LOUIE MARCH, Mile 5.5, Seward Highway, encouraged the Council to support Staudenmaier's electric merger plan. TOM STAUDENMAIER, Mile 19.5, Glenn Highway, urged the Council to place the sale of the electric utility on the ballot. LOUIE MARCH, Mile 5.5, Seward Highway, objected to the city clerk's rejection of D. E. Wood's petition to sell the electric utility. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Sieminski/Crane) Approve the Agenda and Consent Agenda. Anderson moved Ordinance No. 95 -15 and No. 95 -16 to the regular meeting agenda. Sieminski added a discussion of the city sales tax to New Business. Garzini added a request for a special meeting on November 6, 1995, to the consent agenda. VOTE ON MOTION Motion Passed. Unanimous City of Seward, Alaska City Council Minutes October 23 1995 Volume 31, Page 240 The Clerk read the following approved consent agenda items: The October 9, 1995, regular meeting minutes were approved as written; Ordinance No. 95 -17 amending certain sections of Seward City Code Title 15, Seward Zoning Code, was introduced and set for public hearing on November 27, 1995; Resolution No. 95 -128 authorizing the destruction of the ballots from the October 1994 regular municipal election, was approved; Resolution No. 95 -129 approving an extension to the contract with the State of Alaska to provide dispatch and clerical services to the Alaska State Troopers, was approved; The November 13, 1995, regular meeting of the City Council was canceled; and A special meeting of the City Council was scheduled for 7:30 p.m., Monday, November 6, 1995, to consider resolutions accepting state grant funds for projects submitted in the FY 1996 capital project matching grant program and approving a listing of city projects for state funding in the FY 1997 capital project matching grant program. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley gave a verbal report of recent assembly actions. SPECIAL ORDERS AND PUBLIC HEARINGS Presentation of plaques to outgoing Council Bencardino presented a gold pan to Patrick O'Brien thanking him for his service on the City Council and the Planning Commission. He also presented a plaque to Dave Crane recognizing his service as Mayor of Council. Crane thanked the public his family and city staff for their support during his term as Mayor. Resolution No. 95 -126 determining to proceed (or not proceed) with the special improvement district called the Lost Lake Electrical Improvement District. Notice of public hearing as published and posted as required by law was noted and the public hearing was opened. __1 DAVID COOPER, Lot 7, Block 3, Lost Lake Subdivision, spoke in opposition to the proposed improvement district. He stated that most residents of the area had already invested in alternative energy sources and did not wish to participate in the assessment district. City of Seward, Alaska City Council Minutes October 23, 1995 Volume 31 Page 241 BILL GUNKEL, Lot 4, Block 3, Lost Lake Subdivision, opposed the improvements and noted that he did not want to see overhead power lines in his subdivision and objected to the cost of the improvements. ERIC SAND, Lot 4, Block 5, Lost Lake Subdivision, stated that he had his own power generation source and did not wish to participate in this improvement district. DEE JOHNSON, Lot 10, Block 3, Lost Lake Subdivision, stated that she had initiated the petition and still wanted power to her lot; however, she was willing to bow to the wishes of the majority who opposed the improvement district. BOB VALDATTA, 528 Fifth Avenue, stated that there was already power to a portion of the subdivision, and suggested that those wanting power should have access to it. DEE JOHNSON asked if the City could install the power line along with the telephone line General Telephone was putting in neat June. Engineering and Utilities Manager Calvert stated that this was possible if the telephone line were buried a minimum of three feet. The public hearing was closed. Murphy noted the following letters from residents of the subdivision: LEWIS AND SUSAN SNEDDEN - Objected to the improvements TINA HALL - Objected to the improvements MIKE KOVACH - Supported the improvements Garzini stated that the cost of the power as estimated by the City was reasonable, however, the amount of opposition to the district made it virtually impossible for the City to go forward with the improvements. MOTION (Crane/Deeter) Approve Resolution No. 95 -126 determin- ing not to proceed with the improvement district. Motion Passed. Unanimous Resolution No. 95 -127 amending Lease No. 91 -070 and an easement with Seward Marine Services, Inc., on portions of ATS 174 and USS 1806. Notice of public hearing as posted and published as required by law was noted and the public hearing was opened. City of Seward, Alaska City Council Minutes October 23 1995 Volume 31, Page 242 BRIAN BOYD, Anchorage, attorney representing Wards Cove Packing, stated that he was available to answer any questions the Council might have. Public hearing was closed. Councilmember Anderson declared her direct financial interest in the action before the Council and asked to be excused from discussion and voting on the matter. Bencardino ruled that Anderson did have a conflict of interest. MOTION (Crane/Keil) Motion Passed. Approve Resolution No. 95 -127 YES: Bencardino, Crane, Deeter, Keil, King, Sieminski ABSTAIN: Anderson ORDINANCES FOR INTRODUCTION Ordinance No. 95 -15 repealing Seward City Code § 15.10.245 - § 15.10.260 parking assessments MOTION (Crane/Keil) Introduce Ordinance No. 95 -15 Anderson opposed repealing the ordinance at this time. She stated that the Council needed time to study the strategic parking plan proposed by the administration prior to repealing the existing assessment system. Deeter agreed and stated that a viable plan should be in place before repealing the assessments. Crane stated that the assessments had not worked from the start, and this ordinance represented a chance to close the window of opportunity for business owners in the harbor to expand their businesses without meeting the parking requirements of the proposed new plan. He reminded the Council that the ordinance was before the body for introduction and would not come forward for public hearing and enactment until November 27, giving the Council and the public ample opportunity to examine the administration's proposal before acting to repeal the assessment plan. Garzini stated that the new parking management strategy would be presented to the Planning Commission on November I and to the Port and Commerce Advisory Board on November 8. In addition, he planned to present it to the Council at a work session prior to the November 27 meeting. Sieminski stated that he opposed repeal of the current assessments prior to approval of a new plan. King agreed that repeal was premature. VOTE ON MOTION Motion Failed. YES: Crane City of Seward, Alaska City Council Minutes October 23, 1995 Volume 31 Page 243 NO: Anderson, Bencardino, Deeter, Keil, King, Sieminski Ordinance No. 95 -16 repealing Seward City Code Chapter 5.40, visitor assessment fee MOTION (Anderson/Deeter) MOTION (Anderson /Sieminski) Introduce Ordinance No. 95 -16 Amend the first "whereas" clause by insert- ing the words "at the request of certain lodging owners" in the first line after "City Council." Motion Failed. MOTION (Anderson/Keil) Motion Passed. MOTION (Sieminski/Anderson) Motion Passed. YES: Anderson, Sieminski NO: Bencardino, Crane, Deeter, Keil, King Amend the third "whereas" clause to read, "Whereas, the 4% bed tax revenues will exceed the present visitor assessment fee and will return to the City revenues to offset the impacts on city services caused by visitors to the community." YES: Anderson, Bencardino, Keil, Sieminski NO: Crane, Deeter, King Amend by changing the effective date to December 31, 1995. YES: Anderson, Bencardino, Deeter, Sieminski NO: Crane, Keil, King VOTE ON MAIN MOTION AS AMENDED Motion Passed. Unanimous The ordinance was set for public hearing on November 27, 1995, RECESS The meeting was recessed at 8:45 p.m. and reconvened at 8:55 p.m. UNFINISHED BUSINESS City of Seward, Alaska City Council Minutes October 23 1995 Volume 31, Page 244 Items postponed from the October 9 1995 regular meeting: Proposed rep of Lots 3 4 and 8. Block 1, Marina Subdivision Murphy noted that there was an amendment on the floor to make approval of the replat contingent upon the lessee agreeing to incorporate the City's five -year lease appraisal system into a new lease combining the two current leases. Community Development Director Martin stated that Mindenbergs had agreed to combine the two leases and to incorporate into the new lease the City's five -year lease appraisal system. Martin noted that the plans for expansion met the building height restrictions as they applied to the west side of Fourth Avenue. He added that the owner would be paying parking assessments in lieu of providing the parking required under the Code. In response to a question from King regarding the possibility of requiring additional parking under the Conditional Use Permit for the project, Martin stated that, in his opinion, this expansion would not require an additional CUP. Anderson stated that she was concerned that the creation of one large lot and one lease would result in a loss of lease revenues to the City. Garzini stated that he recommended charging the higher lease rate for the new combined property. He added that the new lease would be coming back to the Council at a later date and the Council could discuss other parking conditions at that time. VOTE ON AMENDMENT Motion Passed. Unanimous VOTE ON MAIN MOTION AS AMENDED Motion Passed. Unanimous Items referred to voters for advisory opinion: Ordinance No. 95 -03 amending Seward City Code § 2.10.015, election of mayor and council, to provide for designated council seats Murphy noted that a motion to enact the ordinance was on the floor. Anderson stated that she still favored the ordinance and felt that its rejection by the voters on October 3 reflected a lack of understanding rather than objection to the concept. In response to Anderson's question, Murphy responded that, since the ballot question was merely an advisory vote, this ordinance could be brought back to the Council at any time. VOTE ON MOTION TO ENACT ORDINANCE Motion Failed. Unanimous City of Seward, Alaska City Council Minutes October 23, 1995 Volume 31 Page 245 I Depot/Hoben Park Ad Hoc Committee recommendations MOTION (Crane / Sieminski) Accept the recommendations of the ad hoc committee. MOTION (Crane/Deeter) Amend by accepting only the Hoben Park and Depot recommendations at this time. Crane noted that the committee had gone beyond the charge given it by the Council and had included in its recommendations the SeaLife Center property. He stated that he would prefer to deal solely with the committee's original charge at this time and review the remainder of its recommen- dations once they had been studied by SAAMS, the administration and the Council. Anderson stated that the SAAMS /SeaLife Center development would have a significant impact on the park and depot building and it was, therefore, timely to discuss the entire area at this time. Garzini recommended that the Council approve Crane's amendment. He stated that he intended to bring the balance of the recommendations back to the Council after award of the SeaLife Center general construction contract. He added that he had recommended that the SAAMS Board separate the landscaping work from the general construction contract and that it work with the committee in developing its landscaping plan. King concurred that it was better to address the recommendations in stages. Anderson suggested that the $147,000 the City received from the Exxon Valdez Oil Spill settlement be set aside for historic preservation matching funds to renovate the park and to provide interpretive signage for the community. Garzini noted that the funds were in the Fund Balance and could be used by the Council for whatever purpose it desired. Bencardino stated that the City had received the $147,000 as a result of the oil spill and it was appropriate that it be used in conjunction with development of the park adjoining the SeaLife Center project. VOTE ON AMENDMENT Motion Passed. YES: Bencardino, Crane, Deeter, Keil, King, Sieminski NO: Anderson VOTE ON MAIN MOTION AS AMENDED Motion Passed. Unanimous NEW BUSINESS Election of Vice Mayor Sieminski nominated Anderson; King nominated Deeter. City of Seward, Alaska City Council Minutes October 23 1995 Volume 31, Page 246 Ballots were cast by the Council as follows: ANDERSON Anderson, Bencardino, Crane, Keil, Sieminski DEETER Deeter, King Anderson was declared Vice Mayor for a one -year term. Mayoral Appointments Bencardino made the following one -year appointments: Hospital Board Liaison - Margaret Anderson Planning Commission Liaison - Jerry King KPB/EDD Representatives: Council - Louis Bencardino Public - Mary Tougas City Sales Tax Sieminski stated that he favored the repeal of the city sales tax on utilities and would like to see this brought forward at the next meeting. Anderson noted that sales tax would be the focus of the next meeting of the Kenai Peninsula Municipal Coalition and suggested a work session to discuss a variety of sales tax issues. Bencardino scheduled a work session to follow the November 6, 1995, special meeting to discuss the city and borough sales tax codes. CITY MANAGER REPORTS Strategic plan work schedule Garzini noted that he had included the proposed strategic plan work schedule in the packet. He stated that the calendar would be kept current in order to keep the press and the public apprised of the various meetings, work sessions and milestones associated with each of the projects within the plan. Bed tax implementation Garzini noted that a memorandum regarding the implementation of the new tax was included in the packet. Christmas lights Garzini noted that he had received a request for city assistance with a Christmas light display on private property. He stated that, barring objection from the Council, he intended to allow city electric crews to assist private property owners with decorative lighting projects if they were willing to pay all costs associated with the crew's time. Libraa. Garzini noted that the Library was closed until Wednesday for the installation of new carpet. Strategic parking plan Yanez outlined the administration's parking plan proposal and stated that it would come back to the Council on November 27 for approval. He stated that, prior City of Seward, Alaska City Council Minutes October 23, 1995 Volume 31 Page 247 to that time, it would be presented to the Planning Commission, the Port and Commerce Advisory Board and the community for review and comment. COUNCIL DISCUSSION KEILthanked the Council and the administration for her warm welcome to the Council. She encouraged everyone to vote in Tuesday's run -off election and she asked that community members seriously consider applying for one of the vacant board and commission seats. KING welcomed Bencardino and Keil to the Council. SIEMINSKIasked the administration to determine if there were private businesses interested in providing Christmas lighting services to the community before allowing city crews to work on private property. In response to a question from Sieminski, Yanez stated that the wind screen material for the shop property was on order. DEETERcongratulated and welcomed Bencardino, Keil, Crane and Anderson to the Council. CRANE welcomed Keil, Bencardino and Anderson. He also complimented Bencardino, stating that his appointments were good choices. Crane congratulated Anderson on her election as i Vice Mayor. ANDERSON asked if the Clerk had received any applications for the various board and commission vacancies. Murphy stated that she had received one application for the Port and Commerce Advisory Board and a total of two for the Hospital Board. Anderson suggested that the hospital consultants or the administration prepare a public information mailing regarding hospital issues. She also invited the Mayor and Council to attend the Community Hospital Board meetings and work sessions and added that she hoped to see a resolution of hospital issues in the next six to nine months. Anderson stated that she wished to see some form of student involvement with the Council. BENCARDINOurged interested community members to assist the library staff in restocking library shelves now that the new carpeting had been installed. He also asked the administration to use the local printing shop for business cards and other projects if possible. Bencardino also asked that SHAMS provide a monthly progress report to the Council. Finally, he stated that he would be at the local EDD office on Tuesday from 10:00 a.m. - 11:00 a.m. to take public questions or suggestions. CITIZENS' DISCUSSION LOUIE MARCH, Mile 5.5, Seward Highway, encouraged the Council to privatize the electric utility by selling it to Chugach Electric Association. He stated that his discussions with CEA representatives had indicated an interest on their part in acquiring the utility. City of Seward, Alaska City Council Minutes October 23 1995 Volume 31, Page 248 TOM STAUDENMAIER, Eagle River, stated that, if the Council did not allow the citizens of Seward to vote on the sale of the electric utility to CEA, he would take this issue to the courts. He also objected to charging a sales tax on utilities purchased by those living outside the city limits. BOB VALDATTA, 528 Fifth Avenue, noted that Seward was often mentioned in the Alaska Business Monthly, and he suggested that the City advertise in the magazine. CAROL CHAUDIERE, 1129 Park Place, thanked Garzini for his efforts in separating the landscaping project from the SeaLife Center construction budget. She also suggested that the City issue an RFP for the depot building as soon as possible. She objected to any requirement that an operator or lessee of the depot building provide public restrooms within the facility. DONNA MAREK, 1810 Phoenix Road, welcomed the new Mayor and Council. She thanked Garzini for providing the strategic planning calendar and she complimented Yanez on the parking plan. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS SIEMINSKInoted that utility customers living outside the city limits did not pay a city sales tax on their utilities. CRANEread a memorandum from Engineering & Utilities Manager Dave Calvert regarding a conversation with the manager of Chugach Electric Association and a letter from the manager of Homer Electric Association documenting conversations with Louie March. He noted that Gene Bjornstad, general manager of CEA, had informed Mr. March that neither he nor the CEA Board were interested in discussing the purchase of the Seward utility. ADJOURNMENT The meeting was adjourned at 10:35 p.m. Linda S. Murphy, CMC /AAE City Cle[6 7 tCtty of � � a 9 M A ouis A. Bencardino Mayor City of Seward, Alaska November 6, 1995 CALL TO ORDER City Council Minutes Volume 32. Paee 1 The November 6, 1995, special meeting of the Seward City Council was called to order at 6:00 p.m. by Mayor Louis A. Bencardino. II ' L IL vro x 7 Flu [1" Councilmember King led the pledge of allegiance to the flag. ROLL CALL There were present: Louis A. Bencardino, presiding, and Margaret Anderson Darrell Deeter Jerry F. King comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk APPROVAL OF AGENDA MO'T'ION (Sieminski /Crane) Motion Passed. Dave W. Crane Marianna Keil Bruce Sieminski Approve the Agenda as presented. Without objection CITIZENS' COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING LOUIE MARCH, JR., Mile 5.5, Seward Highway, objected to the planned executive session and urged the Council to discuss the hospital's finances in public. EXECUTIVE SESSION MOTION (Sieminski/Crane) To meet in executive session to discuss matters, the immediate knowledge of which would have an adverse impact on the fi- nances of the City, specifically the admin- istration and finances of the hospital. City of Seward, Alaska City Council Minutes November 6 1995 Volume 32, Page 2 Anderson asked that the attorney also provide an update on the Irick litigation while in executive session. VOTE ON MOTION Motion Passed. Unanimous RECESS The meeting recessed at 6:05 p.m. and reconvened at 7:30 p.m. During the interim, the Council met in executive session to discuss the administration and finances of the hospital and to receive an update on the Irick litigation. The Hospital Board and Chief Executive Officer were invited to attend and participate during the first part of the executive session. Mayor Bencardino noted that, during the executive session, the Council had received a report from its hospital consultants regarding the financial crisis confronting the hospital and the need for immediate and other reductions to lessen the size of the losses currently being experienced. He stated that the Council had instructed the Hospital Board to take whatever action was necessary to address this situation. Councilmember Keil noted that the consultant's draft report was available in the Clerk's Office for public review. Sieminski asked the Clerk to make the reports available at the library as well. CITIZENS COMMENTS ON AGENDA ITEMS NOT SCHEDULED FOR PUBLIC HEARING None RESOLUTIONS Resolution No. 95 -130 accepting state grant funds for projects submitted in the FY 1996 capital project matching grant program. MOTION (Anderson/Keil) Approve Resolution No. 95 -130 Yanez reviewed the projects which had received state matching grant funds. He noted that the administration recommended an amendment that would allow the City to request legislative reappropriation of the funds originally awarded for computer networking. He added that, currently, it was the administration's intent to ask that these funds be awarded instead for historic records preservation. MOTION (King/Deeter) Amend the resolution by deleting Section 2.D., creating a new Section 3 to read "Legislative reappropriation of funds awarded in Grant No. 961668 -9 -004 in the amount of $28,662 shall be requested for a substitute project to be determined by the City," and renumbering existing Section 3 to Section 4. e� City of Seward, Alaska City Council Minutes November 6, 1995 Volume 32, Page 3 Motion Passed. Unanimous VOTE ON RESOLUTION AS AMENDED Motion Passed. Unanimous Resolution No. 95 -131 approving a listing of city projects for state funding in the FY 1997 capital project matching grant program. MOTION (Crane /Anderson) Motion Passed. Approve Resolution No. 95 -131 Unanimous Resolution No. 95 -132 awarding a contract for Community Center renovations to accommodate the Youth Center. MOTION (Sieminski /Crane) Motion Passed. CITY MANAGER REPORTS None COUNCIL DISCUSSION Approve Resolution No. 95 -132 Unanimous BENCARDINOnoted that the Council would meet in a joint work session with the Hospital Board on November 20 to discuss the progress made on the recommendations put forth by the hospital consultants. CITIZENS' DISCUSSION MIKE WILEY, Kenai Peninsula Borough Assemblymember, reported on the October 26 KPB Assembly meeting. He noted that the resolution which would have given some tax relief to flood victims had been defeated by the Assembly. He also noted that the Borough Mayor was researching the availability of federal funding for flood studies. LOUIE MARCH, Mile 5.5, Seward Highway, objected once again to the earlier executive session. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS GARZINIstated that Mayor Gilman had identified a source of Corps of Engineers funds to study the recent flood event and that he (Garzini) would be sending a letter in support of his request I City of Seward, Alaska City Council Minutes November 6, 1995 Volume 32, Page 4 for funding. He added that, if matching funds were needed, he would come back to the Council with a request for an appropriation. BENCARDINO responded to March's objection to the executive session. He stated that, occasionally, the Council had to meet with its attorney privately to receive advice on litigation and other matters before the Council. He stated that he was sensitive to the public's need and right to know, and would keep executive sessions to a minimum. ADJOURNMENT The meeting was adjourned at 8:10 p.m. r rp y, C C/ ouis . Bencardino :City Cleik >, Mayor .. • (City Beal) r k,. � �., ...� ..,,� : • .: ,fir City of Seward, Alaska City Council Minutes November 27, 1995 Volume 32, Page 4 CALL TO ORDER The November 27, 1995, regular meeting of the Seward City Council was called to order at 7:30 p.m. by Mayor Louis A. Bencardino. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 5 Louis A. Bencardino, presiding, and Margaret Anderson Dave W. Crane Darrell Deeter Marianna Keil Jerry King Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk r i CITIZENS' COMMENTS Agenda items not scheduled for public hearing MONTY RICHARDSON, Irish Lord Charters, 519 Third Avenue, opposed the parking assessments charged to harbor and charter businesses stating that they were unfair and discriminatory. LOUIE MARCH, Mile 5.5 Seward Highway, thanked the Council for refunding the 1994 CEA Capital Credits to electric utility customers. He objected to using prior CEA capital credits for renovation of the youth center. TOM STAUDENMAIER, Eagle River, representing himself and supporters of the Staudenmaier Electrical Merger Committee, stated that he would speak at the end of the meeting regarding proposed meetings with other electrical utilities. DEAN KASISCHKE, Camelot, asked the Council to consider the pros and cons associated with implementing paid parking. He stated that there was no need for paid parking in Seward. i Items other than those appearing the agenda None. APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson/Steminski) Approve the Agenda and Consent Agenda. Murphy noted additions to the agenda that were not published in the newspaper as follows: Emergency Ordinance No, 95 -18 amending the Seward City Code to abolish the Community Hospital Board, declaring an emergency and providing for an immediate effective date; City of Seward, Alaska City Council Minutes November 27, 1995 Volume 32, Page 6 Resolution No. 95 -141 awarding a contract to Swenson Construction to complete interior work at the youth center and appropriating funds; and Resolution No. 95 -142 authorizing signers for Seward General Hospital bank accounts. Garzini noted that Resolution No. 95 -136 regarding the CEA rebate would need to be amended to reflect the increased revenue received by the City. Anderson removed Resolution No. 95 -136 and No. 95 -140 from the consent agenda. VOTE ON AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The October 23, 1995, regular meeting minutes and the November 6, 1995, special meeting minutes were approved as written; Resolution No. 95 -133 approving a vendor permit for the Seward Polar Bear Jumpoff Festival, Inc., was approved; Resolution No. 95 -134 authorizing the City Manager to pay the $1,000 contribution to the Seward Senior Citizens, Inc., as budgeted in the FY 1996 budget, was approved; Resolution No. 95 -135 approving an advertising contract with Alaska Newspapers, Inc., was approved; Resolution No. 95 -137 approving a contract with the U.S. Immigration and Naturalization Service to provide jail space for federal prisoners arrested in the Seward area for violations of immigration laws, was approved; Resolution No. 95 -138 awarding a 3 -year banking services agreement, with two one -year renewal options, to National Bank of Alaska, was approved; Resolution No. 95 -139 amending the FY 1996 legal budget, was approved; Report of purchase orders totaling between $5,000 and $10,000 issued through October 4, 1995, was noted for information; City Electric, Inc., change orders for construction of Phase II of the electrical transmission line approved administratively within the budget guidelines were noted for information; and City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 7 Requests for liquor license renewals filed by Thorn's Showcase Lounge and The Wheelhouse were approved without objection. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley gave a verbal report of the most recent assembly meeting. SPECIAL ORDERS AND PUBLIC HEARINGS Ordinance No. 95 -16 repealing visitor assessment fees Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Sieminski/Crane) Motion Passed. Enact Ordinance No. 95 -16 Unanimous Ordinance No. 95 -17 revising certain sections of Title 15 including the Land Use Table, Definitions and various housekeeping revisions Notice of public hearing as posted and published as required by law was noted, and the public hearing was opened. No one appeared in order to be heard, and the public hearing was closed. MOTION (Crane /Sieminski) Motion Passed. Enact Ordinance No. 95 -17 Unanimous Emergency Ordinance No. 95 -18 amending the Seward City Code to abolish the Community Hospital Board, declaring an emergency and providing for an immediate effective date The public hearing was opened. SHIRLEY MASSEY, 2020 Olympia, stated that the hospital emergency did not happen overnight but had occurred over a period of time. She stated that a full-time administrator was needed at the hospital, and she asked the Council to consider the people whose livelihood would be affected before taking any action. City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 8 DON CRIPPS, 426 Second, noted that the people had repealed by referendum an earlier ordinance creating a hospital department within the City, and this action seemed to indicate that the voters wanted to keep politics out of medical care in Seward. He objected to enactment of an emergency ordinance. GENE SKINNER, 418 Second Avenue, addressed the various recommendations included in Garzini's November 27 agenda statement regarding the emergency ordinance. He stated that no letter of resignation was received by the hospital board in accordance with its by -laws; therefore, a quorum was still in existence. He further stated that the hospital board, using the advice given by Berk, could accomplish the same cost cutting goals proposed by the Council. JONATHAN SEWALL, Diamond Boulevard, objected to abolishing the hospital board without public hearings and public input. He stated that no planning or thought had gone into the process, and he asked the Council to table the ordinance until public input was received. JEAN CRIPPS, 426 Second Avenue, was opposed to the ordinance. She stated her concern about health care in Seward. She noted that, although she had applied for reappointment to the hospital board in October, no appointments had been made by the Council. She stated that the Board was given direction to cut costs but not services and to educate the public. She outlined the history of recent events regarding the financial crisis. She further objected to the manner in which action might be taken without additional public input. STU CLARK, 1129 Park Place, stated that the ordinance had been placed on the agenda for action as a result of a cash flow problem at the hospital and an operating loss in excess of $1 million in the past year. He stated that the city taxpayers could not continue to support the hospital, and he voiced his support for the ordinance. No one else appeared in order to be heard, and the public hearing was closed. MOTION (Anderson/Sieminski) Enact Ordinance No. 95 -18 Garzini stated that the Council was considering this action out of frustration with a deteriorating financial situation which included an immediate cash flow crisis. He noted that the hospital board had failed to address the hospital's fiscal problems and was currently considering the hiring an Interim CEO at an annual cost of $80,000 plus car allowance and living expenses. He stated that the hospital was currently costing the taxpayers of Seward $85,000 per month, and he had a fiduciary obligation to the City to correct this deteriorating financial situation. Garzini stated that it was difficult for citizen volunteers to make the tough decisions and the drastic cuts that would be necessary to turn things around at the hospital. He recommended that the Council authorize the appointment of Deputy City Manager Yanez as Interim Hospital CEO to work with the hospital consultants and department managers to develop a plan to streamline hospital operations and cut expenses. He added that the Council would receive a status report at each upcoming Council meeting. Garzini also stated that he intended to continue with the public City of Seward, Alaska City Council Minutes November 27, 1995 Volume 32, Page 9 education process and he noted that public meetings had been scheduled for December 7 and 13 in the AVTEC cafeteria. Keil asked for a recess in order to review the agenda statement on the ordinance. RECESS: The meeting was recessed at 8:22 p.m. and reconvened at 8:27 p.m. Anderson replied to Mr. Skinner that the Council had received a copy of a letter of resignation from Dave Butts addressed to Joan Clemens, Hospital Board Chairman. Anderson asked the attorney if there were any legal problems or conflicts with medical staff by -laws, contracts, hospital regulations etc., associated with the Council serving as the hospital board. Klinkner replied that the Council would act as a board for the hospital and perform all legislative functions with respect to the hospital. He stated that Carol Giles, the attorney who was involved in advising the hospital board, had reviewed the ordinance and confirmed that the ordinance satisfied the requirement that a hospital board existed for accreditation purposes. He stated that the contracts, regulations, etc. would continue to be in effect since the hospital board had been given the authority to approve such documents on behalf of the City. He explained that the hospital would remain a part of the city under the proposed arrangement. Anderson stated that she appreciated the comments by Jean Cripps. She stated that the hospital board was a very technical board consisting of members with medical knowledge; however, the board had leaned heavily on the hospital administrator and had been administratively controlled over the past two years. She expressed her frustration that the board had failed to address the ongoing financial crisis. Crane stated that he did not favor political involvement in the hospital, but viewed the emergency ordinance as the only real avenue open to the Council at this time. He stated that he was opposed to hiring an interim administrator from out of town at an exorbitant salary to do what could be done by existing city and hospital staff. He stated that the financial crisis could no longer be ignored and it was the duty of the Council to take immediate action to reduce the ongoing operating losses. Crane also noted that there were not enough interested applicants to fill the vacant seats on the existing board because most citizens did not want to take on the difficult task of resolving the hospital's problems. Keil spoke in support of the ordinance and stated that a direct link from the Council to the hospital administration was needed to solve the current fiscal problems. She stated that it was unfair to bring new citizens into the problem, and added that the Council was elected to make the tough decisions and take this responsibility. She noted that she had spoken to hospital employees and seniors at the senior center who were supportive of solving the hospital crisis. In answer to a question from Keil, Garzini stated that the City Council would assume the duties of the board for the month of December, then create a new board in January. Keil noted that there was no intent on the part of the Council to close the hospital. City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 10 Bencardino agreed. He stated that the original one percent sales tax approved by the people was intended for upgrade of the hospital rather than to pay salaries. He noted that the retirement indebtedness, totaling over $1.6 million, continued to grow, and changes were needed to protect the City. Anderson stated that the Council's ultimate goal was to privatize the hospital and to ensure an adequate health care delivery system in Seward. VOTE ON MOTION Motion Passed. Unanimous PRESENTATIONS WITH PRIOR NOTICE ONLY RICHARD GOSHORN, Small Boat Harbor, stated that he was a retired state employee and had the time to commit to the Planning Commission. He noted his willingness to listen and help make informed decisions. He thanked the Council for the opportunity to apply. DAVID L. POPKEN, was not present. SHANNON SKIBENESS, 2612 Birch Street, stated that she had served on the Commission in the past and had the knowledge and experience to work with various plans. She stated that her position with the Forest Service and her degree in public administration would be an asset to the Commission. LEO M. WAKEFIELD, 439 Fifth Avenue, stated that he was in the real estate business and dealt with people and property in his field of work. He noted his concern about the future of Seward including planning for parks, public facilities and industry. He stated that he had lived in Seward for six years and would like to play a part in its future. Port and Commerce Advisory Board Applicants RICHARD GOSHORN, Small Boat Harbor, stated that he had the time and interest to serve on the Board and do a good job for the City and community. MELODY JORDAN, Mile 6.5 Seward Highway, stated that the port was one of Seward's most important assets. She stated that she was employed by Seward Fisheries and would bring 14 years of fisheries based experience to the board. LEO WAKEFIELD withdrew his application for the Port Board. City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 11 Sharon Anderson - Update on Pacific Air Forces Marketing Survey Anderson explained the important role the military played in Alaska's economy. She stated that the Army was currently working on a $9.2 million renovation of the Army Recreation Camp which was scheduled for completion in May 1996. She extended the Army's appreciation to Seward vendors. She also stated that, contrary to popular belief, all military improvements were required to go through the legislative process in Washington, D.C. and could not be approved by the Commanding Officer. Anderson stated that the recreation camp plans were available for review at the Chamber of Commerce. She added that the Air Force was one year behind in its renovation plans. She urged the Council to invite military officials to visit and meet with the Council and its boards and commissions, to welcome the military to Seward and to listen to what they had to say. Louie March - Staudemnaier's Electric Merger Plan and other issues March encouraged the Council and citizens to support the merger plan. RESOLUTIONS — Resolution No. 95 -136 authorizing a credit to residential accounts of the Seward Electric Utility as a result of the CEA 1994 capital credit rebate to the utility MOTION (Anderson/Sieminski) Approve Resolution No. 95 -136 Dave Calvert explained that the City had actually received a check for $193,262 rather than the estimated $75,000 and each residential customer would receive a $131 credit per residential meter on the December bill. MOTION (Anderson /Crane) Amend by changing the rebate amount from $50 to $131. Motion Passed. Without objection VOTE ON RESOLUTION AS AMENDED Motion Passed. Unanimous Resolution No. 95 -140 awarding a contract to KPMG Peat Marwick for the purchase of software and development of an indirect cost allocation plan MOTION (Crane /Anderson) Approve Resolution No. 95 -140 City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 12 Garzini noted that this indirect cost allocation study would determine the cost to the city to provide the services needed to administer the enterprise funds. Discussion ensued regarding the benefit of conducting the study. Gifford stated that the city could receive increased administrative fees on capital projects as a result of the study. In answer to a question from Crane, Gifford stated that the rate could go up or down depending on the outcome of the study. Gifford explained that the software and training would enable the city to conduct future studies in house. VOTE ON MOTION Motion Passed. Unanimous RECESS: The meeting was recessed at 9:50 p.m. and reconvened at 9:56 p.m. Resolution No. 95 -141 awarding a contract to Swenson Construction for completion of interior work for the Youth Center and appropriating funds MOTION (Crane /King) Motion Passed. Approve Resolution No. 95 -141 Unanimous Garzini welcomed the new Library Director, Cheryl Pearson. Pearson gave a brief introductory presentation and welcomed any suggestions or comments for improving library services. Resolution No. 95 -142 approving signatures for Seward General Hospital bank accounts MOTION (Sieminski/Keil) Motion Passed. UNFINISHED BUSINESS Approve Resolution No. 95 -142 Unanimous Strategic Plan - Parking Issues Yanez stated that four open meetings had been held by the Planning Commission, Port Board and the City to discuss pros and cons of the strategic plan recommendations. He stated that the plan attempted to resolve the long standing debate over parking issues and to establish a firm direction and policies. He noted that the goal was to privatize parking and attempt to provide a stimulus to the private sector to enhance the growth of parking areas. He reviewed the action plan for implementation of parking recommendations City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 13 as outlined in the memorandum distributed to the council and the public. He reported that the City staff recommended free parking on city streets throughout the City. King objected to instituting paid parking at a time when the harbor businesses were being asked to pay a parking assessment for parking spaces they could not provide. He noted that businesses in the central business district were not required to pay an assessment and the process was unfair. King added that boat owners who paid moorage should be given a parking space. King asked the mayor to rule on a possible conflict of interest with regards to Sieminski and Crane who both had businesses in the downtown area. He claimed that the proposed parking plan would give them an economic advantage over harbor business owners. Klinkner stated that a Councihnember was required to abstain from discussion and voting on an issue if he had a substantial financial interest in the outcome of the vote. He stated that it was up to the Mayor and Council to determine if downtown business owners would benefit from this action and, if so, if the benefit was substantial. Keil stated that, if this were the case, she too would have a conflict of interest since her husband owned a charter business in the harbor. Garzini explained that the intent of the proposed parking plan was to provide the same - rules for everyone regardless of location and to provide adequate parking throughout the City. He added that the plan envisioned the creation of a parking revenue fund that would be used to create and maintain parking lots wherever they were needed. Mayor Bencardino ruled that no conflict existed. MOTION (King / Deeter) Appeal the ruling of the chair. Following discussion by the Council, Murphy explained that a "yes" vote would uphold the ruling of the Mayor. VOTE ON MOTION Motion Passed. YES: Anderson, Bencardino, Crane, Deeter, Keil, Sieminski NO: King Crane suggested postponing this issue and holding an additional work session so that everybody could feel that the issue was dealt with in a fair manner. A work session was scheduled for December 11 at 6:00 p.m. to discuss the strategic parking plan. MOTION (Crane /Keil) Postpone until December 11, 1995. Motion Passed. Without objection City of Seward, Alaska City Council Minutes November 27, 1995 Volume 32, Page 14 NEW BUSINESS Planning Commission Following a vote by the Council, the results were tabulated as follows: Goshorn received one vote from Sieminski; Popken received zero votes; Skibeness received four votes from Anderson, Crane, Deeter and Keil, and Wakefield received two votes from Bencardino and King. MOTION (Anderson/Crane) Confirm appointment of Skibeness to the Planning Commission. Motion Passed. Without objection Port and Commerce Advisory Board Following a vote by the Council, the results were tabulated as follows: Goshorn received five votes from Anderson, Bencardino, Crane, Deeter and King, and Jordan received two votes from Keil and Sieminski. MOTION (Crane / Sieminski) Confirm appointment of Goshorn to the Port and Commerce Advisory Board. Motion Passed. Without objection City Shop Relocation Garzini recommended postponement until December 11. There was no objection from Council. External Audit Services Gifford stated that the City's contract with KPMG Peat Marwick for audit services was about to expire. He stated that the Council had the option to either extend the Peat Marwick for one additional year or issue an RFP for audit services. Anderson stated that the Finance Department was on track and supported continuation of the current contract for one year. Bencardino commended the Finance Department for its work and supported extension for one year. King favored an RFP. Crane stated that with so many new projects and recent changes, he favored continuing with the current auditor. The Council concurred with a one year extension of the contract for audit services with KPMG Peat Marwick and directed the administration to negotiate the contract amount. CITY MANAGER REPORTS GARZINI reminded the public and Council of the upcoming public education meetings on December 7 and 13 at the AVTEC cafeteria at 7:00 p.m. to discuss the hospital administration City of Seward, Alaska City Council Minutes November 27, 1995 Volume 32, Page 15 and finances with consultants Richard Zitzow and Edward Deaux of Alaska Health Care Management Associates and David L. Berk of Rural Health Financial Services. GARZINI stated that the mariculture facility had been approved for construction by the Fish and Game Commissioner. He reported that the power outage earlier in the evening was caused by a fire on 4th Avenue. COUNCIL DISCUSSION KEEL thanked the board and commission applicants for their interest in public service and the citizens who had submitted letters regarding the parking plan. KING suggested placing a closed sign on the restrooms at the 7th Avenue pavilion to inform the public of winter closure. He also suggested additional signage and speed limit enforcement on the streets surrounding the ball field. SIEMINSKInoted the Municipal Coalition Meeting to be held December 7 in Soldotna. In answer to a question from DEFTER, GARZINI stated that SAAMS would provide a monthly report on progress of the Alaska SeaLife Center beginning December 11. CRANFasked about the time line for upgrade of the council chambers sound system and renovation of the council dais. MURPHY replied that the project would be completed by January 1. CRANE urged the public to attend and give input at the upcoming work session on parking. He welcomed the new library director. ANDERSONthanked the community for the opportunity to attend the AML conference. She stated that she had attended many excellent seminars. BENCARDINO noted that he and Borough Assembly Member Mike Wiley would be available at the Chamber of Commerce office between 10:00 and 11:00 a.m. on November 28 to discuss issues of concern with anyone who wished to stop by. CITIZENS' DISCUSSION LOUIE MARCH, Mile 5.5 Seward Highway, discussed several electrical issues of concern and encouraged support of the Staudenmaier electrical merger plan. ADJOURNMENT City of Seward, Alaska City Council Minutes November 27 1995 Volume 32, Page 16 The meeting was adjourned at 11:03 p.m. Gitg Clerk .. CCity seal) r 'i kn' °ei d c� ,� 4w y Ory 0)40+6rd, Alaska Lid O rbe'r 11. 1995 ouis A. Bencardino /Mayor City Council Minutes Volume 32. Paxe 16 CALL TO ORDER The December 11, 1995, regular meeting of the Seward City Council was called to order at 7:35 p.m. by Mayor Louis A. Bencardino. OPENING CEREMONY Police Chief Walker led the pledge of allegiance to the flag. ROLL CALL There were present: Louis A. Bencardino, presiding, and Margaret Anderson Dave W. Crane Darrell Deeter Marianna Keil Jerry King Bruce Sieminski comprising a quorum of the Council; and Ronald A. Garzini, City Manager Michael Yanez, Deputy City Manager Thomas F. Klinkner, City Attorney Linda S. Murphy, City Clerk Patricia Jones, Deputy City Clerk �r7 City of Seward, Alaska City Council Minutes December 11, 1995 Volume 32, Page 17 CITIZENS' COMMENTS Agenda items not scheduled for public hearing ROGER STEINBRECHER, Forest Acres, 2614 Birch Street, objected to relocating the city shop near a residential area, school or main highway. In answer to a question from Crane, he stated that he would have no objection to relocation along the landfill access road if the proposed North Forest Acres road were constructed. MICHELLE SWARTZ, 2400 Evergreen, spoke in opposition to relocating the city shop in the Forest Acres area. She asked the Council to schedule a public hearing. LOUIE MARCH, Mile 5.5 Seward Highway, urged sale of the electric utility to Chugach Electric Association and placing the sale of the hospital on the ballot. Garzini commented that the city was in receipt of a 1992 letter signed by each director of the CEA Board stating that the company was not interested in purchasing the Seward Electric Utility. BEVERLY DUNHAM, 600 Alder, objected to relocation of the city shop to the Forest Acres Subdivision and any further development in the area without holding public hearings. PETER FITZMAURICE, 2612 Birch, opposed relocation of the city shop in the Forest Acres Subdivision. He suggested relocation to the Port Avenue industrial area or the Seward Marine Industrial Center. WILLARD DUNHAM, Alder and Diamond, urged the City Council to address preservation of the St. Peters Episcopal Church. He noted that this was the last remaining church of historical value in the community, and he asked the Council to assist various groups in its preservation. MIKE WILEY, 550 Railway, spoke in favor of the purchase of equipment for the youth center but was opposed to spending $7,000 for a security system. Items other than those appearing on the agenda None APPROVAL OF AGENDA AND CONSENT AGENDA MOTION (Anderson /Sieminski) Approve the Agenda and Consent Agenda. the consent agenda. W City of Seward, Alaska City Council Minutes December 11 1995 Volume 32, Page 18 Murphy noted substitute Resolution No. 95 -155 approving a short term lease with Ketchikan Pulp Company for storing and staging logs and approving a rate adjustment for log wharfage at the Seward Marine Industrial Center. Murphy further noted that the presentation to Hugh Darling would be deferred to a later meeting. Sieminski removed Resolution No. 95 -145 and New Business Item C., authorization of the Mayor's travel out of state, from the consent agenda. VOTE ON APPROVAL OF AGENDA AND CONSENT AGENDA AS AMENDED Motion Passed. Unanimous The Clerk read the following approved consent agenda items: The November 27, 1995, regular meeting minutes were approved as written; Ordinance No. 95 -19 amending SCC § 15.01.030, Official Maps, to conform to the City Charter, was introduced and public hearing was set for January 8, 1996; Resolution No. 95 -143 approving a permit for the discharge of fireworks on December 31, 1995, by the Seward Chamber of Commerce, was approved; Resolution No. 95 -144 authorizing the city to apply for a federal historic preservation grant for survey and identification of cemetery burial sites, was approved; Resolution No. 95 -147 appropriating funds for development of an indirect cost allocation plan for the city, was approved; Resolution No. 95 -148 terminating the agreement between the city and Holland America Line - Westours, Inc., for payment of engineering work on the B Street Dock, was approved; Resolution No. 95 -149 awarding a contract for the purchase of a pumper truck and rescue vehicle for the Fire Department contingent upon Council approval of a financing package for the vehicles, was approved; Resolution No. 95 -150 authorizing signatures for all city bank accounts and rescinding all previous resolutions in conflict herewith, was approved; Resolution No. 95 -152 amending the City Clerk Department Elections Budget, was approved; City of Seward, Alaska City Council Minutes December 11, 1995 Volume 32, Page 19 Request for renewal of liquor license as filed by Seward Trading Liquor Store was approved and the clerk was directed to issue a letter of non - objection; and Request for cancellation of the December 25, 1995, regular meeting was approved. BOROUGH ASSEMBLY REPORT Kenai Peninsula Borough Assembly Member Mike Wiley stated that the assembly had not met since the last Council meeting. He addressed upcoming agenda items to be considered by the assembly on December 12. SPECIAL ORDERS AND PUBLIC HEARINGS None. PRESENTATIONS WITH PRIOR NOTICE ONLY Alaska SeaLffe Center Status Reps Willard Dunham, SAAMS Chairman, stated that Phase I construction of the saltwater intake wells was complete, the building design was being finalized and the facility construction would be ready to bid in late February or early March. He noted that the bridge financing package was being developed. He stated that no new items of archaeological or historical significance had been discovered. Hospital Fiscal Reduction Strategy Interim Hospital Administrator Yanez gave an update on the various proposed hospital issues including integration of the clinic into the hospital, privatization of dietary and laundry services, reduction in personnel, elimination of the respiratory therapist position and continuation of this therapy by nursing staff, possible reduction of laboratory services on weekends, reduction in housekeeping staff subject to relocation of the clinic, contracted on -call cleaning on weekends, and the elimination of swing -bed consultants. He stated that hospital personnel had taken steps to reduce staff hours during low census. He noted that the hospital realized a savings of $5,000 per month for CEO services. He recom- mended that the hospital administration address risk management issues. Yanez noted that the hospital realized no revenue from physicians conducting specialty clinics, and he recommended renegotiation of these contracts. He also added that he had urged department managers to work with the staff to develop new ideas and increased efficiency. He proposed that, as part of the transition, the Council select a prospective partner, appoint a new hospital board and provide a strong mission statement to the new board. He thanked the local physicians and medical staff at the hospital their for assistance and cooperation. RESOLUTIONS Resolution No. 95 -145 approving a temporary pay increase for Deputy City Manager Yanez during his tenure as Interim Hospital Administrator MOTION (Anderson/Keil) Approve Resolution No. 95 -145 City of Seward, Alaska City Council Minutes December 11, 1995 Volume 32, Page 20 Garzini stated that Yanez would serve as Interim Hospital Administrator until a permanent CEO was hired. Motion Passed. Resolution No. 95 -146 formally waiving repayment of the City's 1991 contribution to SAAMS for production of its original promotional brochure. Garzini requested deletion of the resolution and stated that he would provide further information at a future meeting. The resolution was deleted from the agenda without objection from the City Council. Resolution No. 95 -151 accepting bids from Kenai Fjords Tours and J.D.B. Properties for the purchase of Lots 2 and 5, Block 7, Oceanview Subdivision, respectively, and authorizing the City Manager to take all steps and execute all instruments to complete and close the sale of the properties MOTION (Crane /King) Unanimous Approve Resolution No. 95 -151 Anderson objected to selling the property at less than assessed valuation. She stated that the City should retain ownership of its valuable property. Garzini replied that the Planning Commission had recommended retention of the property in the land management plan, but he had determined that it was in the City's best interest to dispose of the property and place it on the tax rolls. Sieminski stated that the property should not be sold at less than appraised, fair market value. He favored re- bidding the sale of the property in the spring. King favored selling the property and stated that the Council had decided prior to issuing the request for bids to allow the market to determine the fair market value of the property. Crane agreed. Following discussion, the Council found that the property was surplus to the City's needs and it was in the public interest to sell the property at less than appraised value. VOTE ON MOTION Motion Passed. YES- Bencardino, Crane, Kell, King NO. Anderson, Deeter, Sieminski City of Seward, Alaska City Council Minutes December 11, 1995 Volume 32, Page 21 Resolution No. 95 -153 establishing the city's listing of legislative projects and priorities MOTION (Crane /Deeter) Motion Passed. Approve Resolution No. 95 -153 Unanimous Resolution No. 95 -154 authorizing the purchase of youth center equipment and appropriating funds MOTION (Crane /Anderson) Approve Resolution No. 95 -154 In answer to an earlier question from Mike Wiley, Sturdy explained that funds were needed for the installation of a security system since the former youth center had been targeted by vandals in the past. Garzini assured the Council that preference would be given to local businesses on all purchases. MOTION (Anderson /Crane) Motion Passed. VOTE ON MAIN MOTION AS AMEENDED Motion Passed. Amend the total amount to $30,000 and maximize local purchasing. Without objection Unanimous Resolution No. 95 -155 authorizing the city manager to execute a short term lease with Ketchikan Pulp Company for storing and staging logs and approving a rate adjustment for log wharfage at the Seward Marine Industrial Center Garzmi stated that Ketchikan Pulp Company (KPC) had requested a temporary agreement for staging and storing of logs through the spring for export in the summer of 1996. He stated that he would present a long -term lease to the Council in January. Paul Slenkamp, Ketchikan Pulp Company, gave a brief history of the company and stated that it had recently opened an office in Seward. He stated that KPC desired to lease property to store logs for future export. He added that, prior to considering operation of a sawmill facility in Seward, KPC would need to review the local timber supply and market. He noted that the major drawback was the lack of an economic timber base. He informed the Council that storage City of Seward, Alaska City Council Minutes December dd 1995 Volume 32, Page 22 of the logs in Seward would not contribute to an increased spruce bark beetle population and noted that the beetle was a natural part of the forest and was only a problem when special conditions were present. MOTION (Anderson /Sieminski) Approve Resolution No. 95 -155 Motion Passed. YES: Anderson, Bencardino, Crane, Deeter, King, Sieminski NO: Keil Resolution No. 95 -156 awarding a towing contract to Mike's Towing MOTION (Crane /Sieminski) Approve Resolution No. 95 -156 Walker explained that, of the three proposers responding to the request for proposals, two were responsive to the needs of the Police Department. He recommended award of a contract to Mike's Towing since his proposal included an impound lot within the city limits. Anderson objected to using the lot (Lot 4, Block 14, Federal Addition) for impound and storage since it was located on the main street into town. King favored advertising for proposals again. Following Council discussion, Garaini suggested that the Council encourage the Planning Commission to set certain conditions on the property as part of the conditional use permit that was required prior to operation of the impound and storage lot. MOTION (Anderson /Keil) Amend Section 1 by deleting "Lot 4, Block 14, Federal Addition" and inserting "sub- ject to proper land use." Motion Passed. YES: Anderson, Bencardino, Deeter, Keil, King, Sieminski NO: Crane VOTE ON RESOLUTION AS AMENDED Motion Passed. YES: Bencardino, Crane, Keil, Sieminski NO: Anderson, Deeter, King UNFINISHED BUSINESS Strategic Parking Plan Murphy noted that there was no motion on the floor and a motion was in order. City of Seward, Alaska City Council Minutes December 11, 1995 Volume 32, Page 23 MOTION (Anderson/Sieminski) Prepare a parking management plan out- lining free parking areas, proposed paid parking areas, time limits on free parking, time limits and amounts for paid parking and an enforcement plan to be presented to the Council in January. Motion Passed. YES: Anderson, Bencardino, Crane, Deeter, Keil, Sieminski NO: King Cb Shop Relocation Garzini stated that it was appropriate to hold a public hearing on relocation at the Planning Commission level prior to Council action. Anderson objected to identifying a site at this time. She stated that it was beneficial to combine the state and city shops. She suggested identifying borough property, possibly outside the city, and exploring other possibilities. She was opposed to relocating to the Port Avenue site due to the wave action experienced in that area during the earthquake. Bencardino stated that the city shop should not be located on the main thoroughfare into the city. He favored the site on borough land near the landfill. The Council referred relocation of the city shop to the Planning and Zoning Commission for public hearing on January 3, 1996. NEW BUSINESS Authorization for Maor mcardino to visit the Nemqmd SmIffe Center 'C i � i MOTION (Anderson /Sieminski) Motion Passed. CITY MANAGER REPORTS Authorize Mayor Bencardino's travel. Unanimous Garzini thanked the community for lighting up the town during the holidays. He reminded the community of the hospital education meeting at the AVTEC Cafeteria. COUNCIL DISCUSSION KEEL asked the administration to distribute future lease agreements to the Council well in advance of the meeting so there was time to read the document. She thanked Yanez for his City of Seward, Alaska City Council Minutes December 11, 1995 Volume 32, Page 24 response and efforts regarding the financial problems at the hospital. She also thanked various local organizations for their donations during the holiday season. KING reported on the December 6 Planning Commission meeting. SIEIVIINSKI wished everyone a good holiday season. DEETER wished everyone a merry Christmas. CRANE wished everyone happy holidays. m� 4 k�. P .y ANDERSON stated that she appreciated the work done by Yanez and the hospital staff regarding changes at the hospital. She discussed the idea of sending a city newsletter on a quarterly basis to all local box holders. She wished Public Works Director Ainsworth and City Manager Garzini a happy birthday. BENCARDINO thanked Yanez for assuming the duties of hospital administrator. He wished everyone a happy holiday and thanked everyone who decorated for the holidays. CITIZENS' DISCUSSION LOUIE MARCH, Mile 5.5 Seward Highway, noted that he was circulating a petition to the Alaska Public Utilities Commission seeking the right for Bear Creek Residents to buy power directly from Chugach Electric Association. He asked why the hydroelectric plant at the hospital was not used to generate electricity. COUNCIL & ADMINISTRATION RESPONSE TO CITIZENS' COMMENTS DEETERaddressed March's comments stating that the hydroelectric system was not cost effective. BENCARDINO asked March to direct positive efforts towards helping the community. He stated that it made no sense to speak about the same issue at every meeting. ADJOURNMENT (City Seal) :2 i�l ..v+ •ilr The meeting was adjourned at 10:25 p.m.