City and Borough Assembly

ASSEMBLY CHAMBERS CITY AND BOROUGH OF SITKA 330 Harbor Drive Sitka, AK (907)747-1811 Minutes - Final City and Borough Assembly Mayor Gary Paxton Deputy Mayor Steven Eisenbeisz, Vice Deputy Mayor Valorie Nelson, Aaron Bean, Kevin Knox, Dr. Richard Wein, Kevin Mosher Municipal Administrator: Keith Brady Municipal Attorney: Brian Hanson Municipal Clerk: Sara Peterson Tuesday, January 29, 2019 6:00 PM Assembly Chambers SPECIAL MEETING I. CALL TO ORDER II. FLAG SALUTE III. ROLL CALL Present: 6 - Knox, Bean, Wein, Paxton, Mosher, and Nelson Absent: 1 - Eisenbeisz IV. SPECIAL REPORT 19-024 Special Report: Recent bomb threat at Sitka High School - Dave Miller Fire Chief Dave Miller provided a debrief of the bomb threat that occurred at Sitka High School on January 23. V. PERSONS TO BE HEARD Rachel Roy, Executive Director of the Greater Sitka Chamber of Commerce / Visit Sitka, reminded of the annual awards gala on Februry 2, told of upcoming speakers at the Chamber lunch, and introduced filmmakers, Rafael Thomaseto and Helena Sardinha. The filmmakers spoke to development of the Sitka TV Show, a six-part anthology series reflective of a more authentic Alaskan experience as opposed to reality TV. VI. NEW BUSINESS: CITY AND BOROUGH OF SITKA Page 1 City and Borough Assembly Minutes - Final January 29, 2019 A 19-025 Discussion / Direction on the SCH / SEARHC Affiliation Project (executive session anticipated) Consultants Sarah Cave and Steve Huebner highlighted key progress on issues "resolved" pending Assembly endorsement: governance model, accountabilities & remedies, continuity of clinical services during interim period, analysis of three purchase options to pursue, lease agreement provisions. Bean, a charter operator, disclosed he had scheduled charters for SEARHC recently, however, didn't feel there was a substantial financial conflict of interest. Municipal Attorney Brian Hanson concurred. Mayor Paxton ruled Bean did not have a conflict. A motion was made by Nelson to overturn the Mayor's ruling. The motion FAILED by the following vote. Yes: 2 - Mosher and Nelson No: 4 - Paxton, Bean, Knox, and Wein Absent: 1 - Eisenbeisz Cave and Huebner continued with their briefing. Cave provided a status update on the due diligence process; SEARHC had been responsive and provided a considerable amount of data thus far. Cave noted negotiations had been productive and reiterated the negotiating team had taken a strong stance to ensure a successful affiliation. From the public, Karen Lucas, Carin Adickes, and Dr. Marilyn Corruzi voiced concern over various aspects of the affiliation project. A motion was made by Mosher to go into executive session to discuss communications with the Municipal Attorney and Municipal Administrator regarding phase 3 of the CBS / SCH-SEARHC affiliation process, matters the immediate knowledge of which would adversely affect the finances of the municipality, invite in Chief Finance and Administrative Officer, Jay Sweeney, outside legal counsel Sandy Johnson, consultants Sarah Cave and Steven Huebner, and invite in when ready Rob Allen and Dr. Golub. The motion PASSED by the following vote. Yes: 4 - Knox, Paxton, Mosher, and Bean No: 2 - Wein and Nelson Absent: 1 - Eisenbeisz The Assembly was in executive session from 7:55pm to 10:15pm with a break from 9:15 to 9:25pm. Dr. Golub and Rob Allen were invited in at 8pm and dismissed at 9pm. Assembly Member Bean unexpectedly had to leave at 8:20pm. A motion was made by Knox to reconvene as the Assembly in regular session. The motion PASSED by a unanimous voice vote. VII. PERSONS TO BE HEARD: None. CITY AND BOROUGH OF SITKA Page 2 City and Borough Assembly Minutes - Final January 29, 2019 VIII. EXECUTIVE SESSION See Item A. IX. ADJOURNMENT A motion was made by Nelson to ADJOURN. Hearing no objections, the meeting ADJOURNED at 10:18pm. ATTEST: ___________________________________________ Sara Peterson, MMC Municipal Clerk CITY AND BOROUGH OF SITKA Page 3