HomeMy WebLinkAboutOrd2009-005 Non-Code Sponsored by: Oates
Introduction: July 13, 2009
Public Hearing: July 27, 2009
Enactment: July 27, 2009
CITY OF SEWARD,ALASKA
NON-CODE ORDINANCE 2009-005
A NON-CODE ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
SEWARD,ALASKA,APPROPRIATING$500 TO MAKE EXPENDITURES
THAT COULD INFLUENCE THE OUTCOME OF AN ELECTION
CONCERNING ADVISORY BALLOT PROPOSITION #2 WHICH ASKS
THE QUALIFIED VOTERS IF THE CITY SHOULD INCREASE THE
SALES TAX FROM 4.0% TO 4.5% WITH THE UNDERSTANDING THAT
THE ADDITIONAL FUNDS ARE EXPECTED TO BE IN AN AMOUNT
SUFFICIENT TO COVER A PORTION OF THE PROPOSED
LIBRARY/MUSEUM OPERATING AND CONSTRUCTION COSTS
WHEREAS, in 2003, the community selected a new library/museum project as part of the
Seward Centennial celebration to reach completion by 2012,the 100th anniversary of the incorporation of
the city; and
WHEREAS, the estimated cost of the new library/museum including planning, design,
construction,project management, furniture and fixtures is$10 million; and
WHEREAS,on June 22,2009 Resolution 2009-054 was approved by the city council which will
submit Advisory Proposition#2 to the qualified voters asking whether to increase the sales tax rate by
0.5%to fund operating and capital costs of the new library/museum,with the understanding that sales
tax revenues cannot be dedicated for a specific purpose; and
WHEREAS, a 0.5% increase in sales tax is expected to generate approximately$500,000 per
year that could assist paying the annual general obligation(GO)bond payments; and
WHEREAS, the intent for the increase in sales tax is expected to fund operating and capital
costs associated with the construction and ongoing maintenance of a new library/museum; and
WHEREAS, over $1 million has been committed to this project through private donations,
grants, city contributions and professional in-kind services; and
WHEREAS, the library/museum building committee plan includes raising $1 million from
private and individual foundations and donations,and$4-5 million from state and federal funding;and
WHEREAS, the remaining $5 million would come from general obligation (GO) bonds if
approved by the voters; and
CITY OF SEWARD,ALASKA
NON-CODE ORDINANCE 2009-005
WHEREAS,the estimated annual debt service on general obligation(GO)bonds for a 25-year
period with an assumed 5.75%borrowing rate is approximately$380,000 per year,with the remainder of
the additional sales tax available to be used to pay for increased operating, repairs, and maintenance
costs; and
WHEREAS, choosing to increase the sales tax places the burden of the new library/museum
capital and operating costs on all individuals who benefit from city services,whether they live outside
the boundaries of the City of Seward or are visitors; and
WHEREAS,the city may need to expend municipal funds in order to educate the public about
this project; and
WHEREAS, the city council has determined it is in the public interest this issue be
submitted to the qualified voters of the city; and
WHEREAS,2 AAC 50.356 and 2 AAC 50.360 allow for municipalities to seek budgeted
municipal funds to influence the outcome of an election and require registering and reporting under
AS 14.13.040 and AS 15.13.050; and
WHEREAS, in order to educate the public in accordance with the provisions of 2AAC
50.360(b),the City Council must appropriate funds since the education process may influence the
outcome of an election; and
WHEREAS, under AS15.13.145, a municipality may not use money to influence the
outcome of an election concerning a ballot proposition unless the funds have been specifically
appropriated for that purpose by the elected body.
NOW,THEREFORE,BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA,that:
Section 1. The City Council hereby appropriates and authorizes for expenditure $500, if
needed, from the city manager's training and education account #101-1120-5160 to be used to
influence the outcome of an advisory vote regarding a proposed increase in sales tax of 0.5%.
Section 2. The City Council further directs and authorizes the city manager and other City
officers, officials, and employees, as may be appropriate, to register and to complete and file all
necessary reports, forms, and notices relating to election-related expenditures as required by law.
Section 3. This ordinance shall take effect ten(10)days following enactment.
CITY OF SEWARD, ALASKA
NON-CODE ORDINANCE 2009-005
ENACTED by the City Council of the City of Seward, Alaska this 27th day of July, 2009.
THE CITY OF SEWARD, ALASKA
illard Dunham, Vice Mayor
AYES: Valdatta, Kellar, Smith, Dunham
NOES: None
ABSENT: Bardarson, Keil, Corbridge
ABSTAIN: None
ATTEST:
I
J n Lewis / f<ithj\C
C y Clerk
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