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 Steven Eisenbeisz Deputy Mayor Thor Christianson, Vice Deputy Mayor Valorie Nelson, Kevin Knox, Kevin Mosher, Crystal Duncan, Rebecca Himschoot Municipal Administrator: John Leach Municipal Attorney: Brian Hanson Municipal Clerk: Sara Peterson Tuesday, April 27, 2021 6:00 PM Assembly Chambers REGULAR MEETING I. CALL TO ORDER II. FLAG SALUTE III. ROLL CALL Nelson participated via videoconference. Knox needed to leave at 6:30pm. Present: 6 - Knox, Mosher, Nelson, Eisenbeisz, Himschoot, and Duncan Absent: 1 - Christianson IV. CORRESPONDENCE/AGENDA CHANGES 21-078 Reminders, Calendars, and General Correspondence No agenda changes. V. CEREMONIAL MATTERS 21-069 Alaska Legislature Certificate - In Memoriam Richard Nelson Lisa Busch read a certificate from the Alaska Legislature in memory of Richard Nelson. VI. SPECIAL REPORTS: Government to Government, Municipal Boards/Commissions/Committees, Municipal Departments, School District, Students and Guests (five minute time limit) Sitka Tribe of Alaska Council Chairman Woody Widmark provided a report on Council work. CITY AND BOROUGH OF SITKA Page 1 City and Borough Assembly Minutes - Final April 27, 2021 21-070 Special Report - Blank Rome Government Relations LLC C.J. Zane of Blank Rome Government Relations shared an update regarding earmark/surface transportation reauthorization; infrastructure; American Rescue Plan COVID-19 Relief (State and Municipal Funding); Alaska Cruise Lines; upcoming grant deadlines (PIDP and RAISE); status of power site land withdrawal (BLM/USFS). VII. PERSONS TO BE HEARD Richard Wein spoke of the "State of Sitka's Economy" forum and Sitka trends. Brandon Carlos spoke about his grandfather who studied law and said what he would convey to his future child if they feared of a 911 situation. VIII. CONSENT AGENDA Richard Wein spoke in support of item B and cautioned of the potential impacts of businesses taking visitors to private venues. A motion was made by Mosher that the Consent Agenda consisting of items A & B be APPROVED. The motion PASSED by the following vote. Yes: 5- Mosher, Nelson, Eisenbeisz, Himschoot, and Duncan Absent: 2- Christianson, and Knox A 21-071 Approve the minutes of the April 13 and 20 Assembly meetings This item was APPROVED ON THE CONSENT AGENDA. B 21-072 Approval of liquor license applications: 1) renewal application for Allen Marine Tours, Inc at Lot 6 Finn Island, and 2) transfer of ownership application, restaurant designation permit application, and premises diagram application for Pizza Express, LLC dba Pizza Express at 1321Sawmill Creek Road Suite E, F, G, H, I This item was APPROVED ON THE CONSENT AGENDA. IX. BOARD, COMMISSION, COMMITTEE APPOINTMENTS None. X. UNFINISHED BUSINESS: C ORD 21-06 Making supplemental appropriations for fiscal year 2021 (Harrigan Centennial Hall A/V Upgrades) A motion was made by Himschoot that this Ordinance be APPROVED on SECOND AND FINAL READING. The motion PASSED by the following vote. Yes: 5- Mosher, Nelson, Eisenbeisz, Himschoot, and Duncan CITY AND BOROUGH OF SITKA Page 2 City and Borough Assembly Minutes - Final April 27, 2021 Absent: 2- Christianson, and Knox D ORD 21-07 Amending Ordinance No. 2020-30 passed and approved on June 9, 2020; and establishing an effective date (extension of expiration date for refinancing AEA loan) A motion was made by Mosher that this Ordinance be APPROVED on SECOND AND FINAL READING. The motion PASSED by the following vote. Yes: 5- Mosher, Nelson, Eisenbeisz, Himschoot, and Duncan Absent: 2- Christianson, and Knox XI. NEW BUSINESS: New Business First Reading E ORD 21-08 Making supplemental appropriations for fiscal year 2021 (Sitka Community Hospital Dedicated Fund) Richard Wein spoke in opposition to the Ordinance. Nelson stated she was exhausted by the continual spending on the matter and would vote no. A motion was made by Himschoot that this Ordinance be APPROVED on FIRST READING. The motion PASSED by the following vote. Yes: 4- Mosher, Eisenbeisz, Himschoot, and Duncan No: 1- Nelson Absent: 2- Christianson, and Knox Additional New Business Items F 21-073 Approve the agreement to terminate lease between the City and Borough of Sitka and Christian A. Scantling / Deborah N. Wynsen for 725 Siginaka Way A motion was made Duncan to approve the agreement to terminate lease between the City and Borough of Sitka and Christian A. Scantling/Deborah N. Wynsen for 725 Siginaka Way with a lease term end date to be determined by the Assembly. Richard Wein spoke in support. Administrator Leach explained lease agreements were approved by the Assembly hence the reason for bringing the lease modification forward. He stated the tenants had an excellent record of making timely payments and were current with the Municipality in all aspects. He reminded a specific date of termination was needed. Assembly members spoke in support of the termination and suggested April 1. CITY AND BOROUGH OF SITKA Page 3 City and Borough Assembly Minutes - Final April 27, 2021 A motion to amend was made by Himschoot for the lease term end date to be April 1. The amendment PASSED by the following vote. Yes: 5 - Nelson, Mosher, Eisenbeisz, Duncan, and Himschoot. Absent: 2 - Knox, and Christianson The main motion as amended PASSED by the following vote. Yes: 5- Mosher, Nelson, Eisenbeisz, Himschoot, and Duncan Absent: 2- Christianson, and Knox G 21-074 Approve the Sitka Marine Services Center General Terms and Conditions related to Seafood Producers Cooperative lease activities Administrator Leach explained that Sitka Seafood Producers had an agreement in place to lease the cold storage space at the Marine Services Center. During recent analysis, it was determined that the public storage rates had not been updated since June 27, 2000. Leach noted adjustments were to be made to keep the rates current with other prevailing rates in the Puget Sound area. A motion was made by Mosher that this Item be APPROVED. The motion PASSED by the following vote. Yes: 5- Mosher, Nelson, Eisenbeisz, Himschoot, and Duncan Absent: 2- Christianson, and Knox H 21-077 Approve the Request for Proposals for Rental of Marine Services Center Cold Storage Space at 600 Katlian Street Wein referenced the memo and hoped to hear more about the maximum flexibility mentioned. Administrator Leach stated the space was currently occupied by a month-to-month lessee. The idea would be to establish a long-term lease that would expire June 30, 2023 in conjunction with existing leases. If both leases were to expire on the same date the Assembly could then start the discussion of future options, if desired, for the facility. A motion was made by Himschoot that this Item be APPROVED. The motion PASSED by the following vote. Yes: 5- Mosher, Nelson, Eisenbeisz, Himschoot, and Duncan Absent: 2- Christianson, and Knox I 21-076 Discussion / Direction / Decision on the plan by Norwegian Cruise Line Holdings, Ltd., to donate One Million Dollars ($1M) to the City and Borough of Sitka, to help mitigate the economic impact from the ongoing cruise suspension, with no strings attached and no quid pro quo, leaving the decisions as to distribution of the donation entirely up to the City Mayor Eisenbeisz reminded that the discussion was whether to accept the donation from Norwegian Cruise Line Holdings. If accepted, distribution plans would be CITY AND BOROUGH OF SITKA Page 4 City and Borough Assembly Minutes - Final April 27, 2021 discussed at a future meeting. Administrator Leach stated staff had received a phone call indicating Norwegian Cruise Line Holdings (NCLH) wished to donate $1M to Sitka, along with five other communities in Southeast, to help lessen the economic impact by the ongoing suspension of cruise voyages. NCLH stated that this donation had no strings attached, no quid pro quo, and that they would have no involvement in the distribution of funds. A motion was made by Nelson to authorize the Municipal Administrator to accept any donation by Norwegian Cruise Line Holdings, Ltd., to the City and Borough of Sitka, and direct the Municipal Administrator to apply to capital projects or reserves. The motion FAILED by the following vote. Yes: 1 - Nelson No: 4 - Himschoot, Duncan, Mosher, and Eisenbeisz Absent: 2 - Christianson, and Knox Richard Wein spoke in support of applying the donation to capital projects or reserves. Nelson relayed the Assembly was already receiving suggestions on how to spend the donation. She stated funding capital projects would in turn benefit the quality of life for Sitkans. Other members, while not opposed to the idea, wished to have a more thorough discussion on the use of the funds. A motion followed authorizing the Administrator to accept the donation. Richard Wein spoke in support of accepting the donation. A motion was made by Mosher to authorize the Municipal Administrator to accept any donation by Norwegian Cruise Line Holdings, Ltd., to the City and Borough of Sitka, and once the donation is received seek Discussion / Direction / Decision from the Assembly at the next regular meeting as to a plan for distribution. The motion PASSED by the following vote. Yes: 4- Mosher, Eisenbeisz, Himschoot, and Duncan No: 1- Nelson Absent: 2- Christianson, and Knox J 21-068 Discussion / Decision on the "assembly@cityofsitka.org" group email address Mosher provided historical background and noted until March 2019 emails sent to assembly@cityofsitka.org were received not only by Assembly members but department heads. Mosher spoke to the previous lack of trust. He suggested an email address option that would combine the Assembly and Administrator. This would help lessen the number of emails sent to the Assembly email address that were then forwarded on to the Administrator. Nelson spoke in opposition and said the public should be able to contact the Assembly without emails being forwarded to staff. The Assembly directed staff to create a combined group email address for the assembly and administrator: assemblyandadministrator@cityofsitka.org. CITY AND BOROUGH OF SITKA Page 5 City and Borough Assembly Minutes - Final April 27, 2021 XII. PERSONS TO BE HEARD: Brandon Carlos spoke to previous Sitka Police Department settlement cases and about his personal interactions with the Sitka Police. Richard Wein offered support to the Sitka Police Department, spoke to the Open Meetings Act, and reminded emails were subject to disclosure pursuant to a public records request. XIII. REPORTS a. Mayor, b. Administrator, c. Attorney, d. Liaison Representatives, e. Clerk, f. Other Mayor - Eisenbeisz noted Sitka Tribe of Alaska was discussing participation on City boards/commissions. XIV. EXECUTIVE SESSION None. XV. ADJOURNMENT A motion was made by Mosher to ADJOURN. Hearing no objections, the meeting ADJOURNED at 7:55pm. ATTEST: ______________________________ Sara Peterson, MMC Municipal Clerk CITY AND BOROUGH OF SITKA Page 6