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 Timothy Pike, Vice Deputy Mayor JJ Carlson, Kevin Mosher, Scott Saline, Chris Ystad, Thor Christianson Municipal Administrator: John Leach Municipal Attorney: Rachel Jones Municipal Clerk: Sara Peterson Tuesday, July 8, 2025 6:00 PM Assembly Chambers REGULAR MEETING I. CALL TO ORDER II. FLAG SALUTE III. RECITAL OF LANDS ACKNOWLEDGEMENT IV. ROLL CALL Present: 6 - Christianson, Mosher, Eisenbeisz, Ystad, Carlson, and Saline Absent: 1 - Pike V. CORRESPONDENCE/AGENDA CHANGES No agenda changes. 25-095 Reminders, Calendars, and General Correspondence VI. CEREMONIAL MATTERS None. VII. SPECIAL REPORTS: Government to Government, Municipal Boards/Commissions/Committees, Municipal Departments, School District, Students and Guests (five minute time limit) 25-088 Department Quarterly Reports - Public Works and Harrigan Centennial Hall Interim Public Works Director and Asset Manager Mark Seavey, along with Harrigan CITY AND BOROUGH OF SITKA Page 1 City and Borough Assembly Minutes - Final July 8, 2025 Centennial Hall Manager Tony Rosas, provided updates on their respective departments. VIII. PERSONS TO BE HEARD SItkans Against Family Violence Executive Director Natalie Wojcik and Board Chair Emma Bruhl expressed their gratitude to the Assembly for its financial support. IX. CONSENT AGENDA A motion was made by Christianson that the Consent Agenda consisting of items A, B, C & D be APPROVED. The motion PASSED by the following vote. Yes: 6- Christianson, Mosher, Eisenbeisz, Ystad, Carlson, and Saline Absent: 1- Pike A 25-089 Approve the minutes of the June 10 and June 24 Assembly meetings This item was APPROVED ON THE CONSENT AGENDA. B 25-090 Approve a liquor license renewal application for BPO Elks Lodge #1662 at 412 Sawmill Creek Road This item was APPROVED ON THE CONSENT AGENDA. C ORD 25-20 Making supplemental appropriations for fiscal year 2026 (E911 Phone Consoles) This item was APPROVED ON THE CONSENT AGENDA - first reading. D ORD 25-21 Making supplemental appropriations for fiscal year 2026 (Library / Electric / Central Garage Custodial Services) This item was APPROVED ON THE CONSENT AGENDA - first reading. X. BOARD, COMMISSION, COMMITTEE APPOINTMENTS None. XI. UNFINISHED BUSINESS: E ORD 25-18A Proposing to amend Section 20.01 “Sitka Community Hospital Dedicated Fund” of the Home Rule Charter and, submitting the question of such an amendment to the qualified voters at the regular election on October 7, 2025 (third and final reading) A motion was made by Ystad to APPROVE this Ordinance on SECOND AND FINAL READING. Bart Meyer spoke in support. Lauren Wild commented. CITY AND BOROUGH OF SITKA Page 2 City and Borough Assembly Minutes - Final July 8, 2025 A motion was made by Ystad to AMEND this Ordinance by adding the words "and recreational" after "athletic" on lines 28, 47, 57, and 70. The amendment PASSED by the following vote. Yes: 6 - Christianson, Carlson, Saline, Ystad, Mosher, and Eisenbeisz Absent: 1 - Pike Members expressed support for expanding the language to include both athletic and recreational facilities. A motion was made by Ystad to AMEND this Ordinance by adding the words "and capital expenditures" after "bond debt" on lines 28, 47, 56, and 69. The amendment PASSED by the following vote. Yes: 6 - Carlson, Ystad, Saline, Mosher, Eisenbeisz, and Christianson Absent: 1 - Pike Members spoke in support of expanding the allowed uses of the Sitka Community Hospital Dedicated Fund to include, in addition to debt service related to the former Sitka Community Hospital, bond debt and capital expenditures for athletic and recreational facilities. Carlson noted the language may be too vague for the actual intent. At the Municipal Clerk’s request, and to clarify the existing ballot question and informational note following the adoption of the amendments, a motion was made by Ystad to amend this Ordinance on lines 56 and 57 after the words "to be used only for" to read, 1) debt expenses of the former Sitka Community Hospital and 2) bond debt and capital expenditures associated with athletic and recreational facilities" and on lines 68 through 70 after the words "Sitka Community Hospital employees" to read, "funding is anticipated to be available that could be used to help pay bond debt and capital expenditures associated with new and revitalized athletic and recreational facilities, subject to Assembly and voter approval." The amendment PASSED by the following vote. Yes: 6 - Mosher, Eisenbeisz, Saline, Carlson, Christianson, and Ystad Absent: 1 - Pike The Assembly further discussed the ordinance. Some commented that it did not align with the Strategic Plan. On the MAIN MOTION AS AMENDED, the motion PASSED by the following vote. Yes: 4- Christianson, Mosher, Ystad, and Saline No: 2- Eisenbeisz, and Carlson Absent: 1- Pike F 25-091 Discussion / Direction on Lincoln Street closures for the remainder of the visitor season (follow up to the May 29 Assembly meeting) Planning & Community Development Director, Amy Ainslie shared that the Tourism CITY AND BOROUGH OF SITKA Page 3 City and Borough Assembly Minutes - Final July 8, 2025 Commission had recommended leaving Lincoln Street open for the remainder of the visitor season. Assembly consensus was to accept the Tourism Commission's recommendation. G ORD 25-17 Authorizing the Administrator to contract with the State of Alaska Office of Administrative Hearings re: appeal of Planning and Zoning Commission’s decision on cell tower variance (P&Z No. Var 25-01) A motion was made by Mosher that this Ordinance be APPROVED on SECOND AND FINAL READING. The motion PASSED by the following vote. Yes: 6- Christianson, Mosher, Eisenbeisz, Ystad, Carlson, and Saline Absent: 1- Pike XII. NEW BUSINESS: H 25-094 Approve Amendment No. 1 to Arctic Blue Waters Alaska, Inc. Purchase Agreement for Raw Water in Bulk for Export (agreement extension) Director of the Gary Paxton Industrial Park, Garry White explained a contract extension was being requested due to delays from both parties. Fred Paley responded to questions from Assembly Member Mosher. A motion was made by Christianson that this Item be APPROVED. The motion PASSED by the following vote. Yes: 5- Christianson, Eisenbeisz, Ystad, Carlson, and Saline No: 1- Mosher Absent: 1- Pike I 25-092 Approve the proposed adjustments to the Gary Paxton Industrial Park Port Tariff Fee Schedule (Port Tariff #6) Director of the Gary Paxton Industrial Park, Garry White explained this was a routine adjustment intended to stay aligned with current harbor fees. A motion was made by Mosher that this Item be APPROVED. The motion PASSED by the following vote. Yes: 6- Christianson, Mosher, Eisenbeisz, Ystad, Carlson, and Saline Absent: 1- Pike J ORD 25-19 Making supplemental appropriations for fiscal year 2026 (Chamber/Visit Sitka Supplemental Funding) Planning and Community Development Director, Amy Ainslie explained a recent Request for Proposals for Visit Sitka services was unsuccessful. Although the Chamber of Commerce had previously terminated its contract, it has expressed interest in temporarily continuing operations through the end of 2025. Ainslie noted efforts were underway to find a collaborative solution. The Municipal Administrator clarified there was no active contract with the Chamber - only a temporary extension CITY AND BOROUGH OF SITKA Page 4 City and Borough Assembly Minutes - Final July 8, 2025 with a 60-day shut down period. A supplemental appropriation was needed to maintain Visit Sitka services through 2025. Without it, those responsibilities would either lapse or shift to existing municipal staff, including Planning, Harrigan Centennial Hall, IT, and Administration. Assembly members discussed the matter. A motion was made by Christianson that this Ordinance be APPROVED on FIRST AND FINAL READING. The motion PASSED by the following vote. Yes: 4- Christianson, Mosher, Ystad, and Carlson No: 2- Eisenbeisz, and Saline Absent: 1- Pike K 25-093 Discussion / Direction on issuing a Request for Information for Visit Sitka services Planning & Community Development Director Amy Ainslie explained that at the May 29 meeting, the Assembly reviewed the only proposal received in response to the City’s Request for Proposals (RFP) for Visit Sitka operations. The Assembly had referred the proposal to the Tourism Commission for review and recommendation before deciding whether to move forward with contract negotiations. However, the proposer withdrew their response prior to the Commission’s June 12 meeting. The Tourism Commission recommended issuing a Request for Information (RFI) to gauge broader interest in providing Visit Sitka services. Ainslie outlined the RFI process and timeline, noting that the Assembly could alternatively skip the RFI and proceed directly to a new RFP or RFQ. Assembly members shared differing views - some felt the Assembly was too involved in the process, while others believed its involvement was necessary until a Tourism Manager was hired. The consensus was to move forward with issuing an RFQ, with Ainslie to return with a negotiated agreement in the fall and a goal of having a permanent operator in place by January. XIII. PERSONS TO BE HEARD: Holly Meyer explained why the Chamber had decided to help temporarily with Visit Sitka. XIV. REPORTS a. Mayor, b. Administrator, c. Attorney, d. Liaison Representatives, e. Clerk, f. Other Mayor - Eisenbeisz relayed information from the recent Investment Committee meeting. Administrator - Leach highlighted key topics from recently passed federal legislation, noted the City staff reorganization was underway, and announced Josh Branthoover had accepted the promotion to Assistant Municipal Administrator. Liaison Representatives - Mosher reported on the Parks and Recreation Committee meeting. Saline mentioned better ventilation was needed at the Library. Clerk - Peterson commended Deputy Municipal Clerk Holley Bayne for completing the CITY AND BOROUGH OF SITKA Page 5 City and Borough Assembly Minutes - Final July 8, 2025 third and final session toward her Certified Municipal Clerk designation, announced that Brian Schoenfelder would begin as Assistant Municipal Clerk on July 21, and reviewed upcoming vacancies and the candidate filing period for the October 7 regular municipal election. XV. EXECUTIVE SESSION None. XVI. ADJOURNMENT A motion was made by Christianson to ADJOURN. Hearing no objection, the meeting ADJOURNED at 9:35 p.m. ATTEST: _____________________________ Sara Peterson, MMC Municipal Clerk CITY AND BOROUGH OF SITKA Page 6