Manager's Reports--June, 1995

TO: Mayor and Assembly DATE: June 5, 1995

FROM: David R. Palmer

City and Borough Manager

SUBJECT: Manager's Report - Regular Mtg. No. 95-25


1. Status of McIntyre Case

(Note: the Assembly may enter into Executive Session for this item)

2. Juneau Economic Development Council - Business Development Update

Included in your packet is current material provided by Juneau Economic Development

Council on their business development plan. Charles Northrip will be present at tonight's meeting to discuss the plan.


A. Ordinances:

1. Ordinance No. 95-18

This ordinance repeals sections of Ordinance No. 94-41 as necessary to change the method for selling the student-built house in Hurlock Subdivision. Ordinance No. 94-41, adopted on November 21, 1994, authorized disposal of the house through competitive bid. This ordinance allows for the house to be marketed by local realtors with a minimum selling price set at fair market value, as established by the City Assessor.

The proceeds of the sale are intended to be directed back into the high school home building program; therefore, the high school is eager to sell the house at the best price it can obtain. Local realtors have offered to donate their services to market the house. They argue, and staff agrees, that marketing the house through multiple listing services by a realtor will likely garner a better selling price than the less familiar competitive bid sale. Last year, during a tight housing market, the city received only one bid for the earlier student-built house when it offered the house by sealed competitive bid. It appears the competitive bid process may be better suited to undeveloped property than houses. I recommend that this ordinance be introduced and set for public hearing at the next regular meeting.

2. Ordinance No. 95-19

This ordinance provides a sewer hookup exemption to qualifying property anywhere in the Borough. Currently, the exemption is limited to the Channel Drive and Auke Bay LID's. The Public Works & Facilities Committee at its May 24 meeting recommended expanding the exemption areawide.At the request of the Public Works & Facilities Committee, I recommend that this ordinance be introduced and set for public hearing at the next regular meeting.

3. Ordinance No. 94-17 (AY)

This request appropriates to the manager the sum of $4,700 for a public library staff work exchange. The project will be administered by the Juneau Public Library on behalf of the Alaska Library Association. The funds will be provided by the Alaska Department of Education.

I recommend that this ordinance be introduced and set for public hearing at the next regular meeting.

4. Ordinance No. 94-17 (AZ)

This request is to appropriate $8,500 from the Fire Training Center fund balance to the Fire Training Center operating budget for the purpose of teaching fire suppression classes to P&O Cruise Line personnel. The amount budgeted for FY95 was insufficient due to the large amount of work done at the center during the year in conjunction with the major renovation. Funds have already been deposited with the CBJ from P&O Cruise Lines for these classes.

I recommend that this ordinance be introduced and set for public hearing at the next regular meeting.

5. Ordinance No. 94-17 (BA)

The Federal Aviation Administration requested extra construction work on the Taku Room and office space for the Flight Standards District reimburse the CBJ for the work. This ordinance appropriates the $1,700 from the FAA for the additional work.

I recommend that this ordinance be introduced and set for public hearing at the next regular meeting.

B. Resolutions:

1. Resolution No. 1762

At its May 3 meeting, the Finance Committee passed a motion to recommend repeal of fares for seniors and persons with disabilities (VIP pass holders). These fares were enacted in June, 1994 by Resolution No. 1716 and went into effect on October 1, 1994.

The Finance Committee cited the adverse impacts of the fare on persons in these groups indicated by a survey completed by staff. Eighty-five percent of persons in these groups using Capital Transit reported annual household incomes below $21,000.

The repeal of these fares will increase to General Fund support of Capital Transit by $65,000.

In addition to repealing the senior and VIP pass holder fares, Resolution No. 1762 repeals and consolidates all previous Capital Transit fare and rate resolutions and establishes a comprehensive rate and fare structure for the Capital Transit System, but does not change existing fares.

I recommend that this resolution be adopted.

2. Resolution No. 1763

This resolution creates a nine member Health Care Coordinating Council to ensure cooperative planning and service delivery between Bartlett Memorial Hospital and the Department of Health and Social Services, and to create a public forum for health care issues of concern to consumers and other providers. The proposed Council was developed from recommendations of the Health Care Task Force and has been approved, with amendments, by both the Human Resources Committee and the Committee of the Whole.

I recommend that this resolution be adopted.

3. Resolution No. 1764

Federal funding for Airport Capital Improvement Programs has been reduced. This resolution requests our Congressional delegation to support full funding.

I recommend that this resolution be adopted.

4. Resolution No. 1765

As proposed by Assemblymember Garrett at the Assembly Finance Committee meeting of May 24, 1995 this resolution reschedules the regular meetings in July from the 3rd and 17th to the 10th and 24th in order to accommodate Independence Day celebrations and to avoid meetings on successive Mondays in July.

I recommend that this resolution be adopted.

C. Transfer Requests:

1. Transfer No. T-562

This transfer of $27,222 provides funds from an existing Alaska Department of Administration Municipal (#8/94-014) matching fund pool to Airport Improvement Project 3-02-0133-15 for replacement of runway lights and all associated cables, conduit, manholes and appurtenances. This transfer represents the CBJ's local funding match for this project. Total project costs are $871,088 of which the Federal Aviation Administration will fund $816,644 (93.75%), the Alaska Department ofTransportation and Public Facilities will fund $27,222 (3.125%), and the airportsponsor of $27,222 (3.125%, this transfer). After this transfer is approved, Municipal Grant #8/94-014 will have a remaining balance of $48,329.

I recommend that this transfer be approved.

2. Transfer No. T-563

A total of $182,178 is needed to pay unanticipated costs associated with clean up, investigation, and monitoring of the fuel oil-contaminated soil discovered at the Capital Transit fueling station. In order to fund the change order to the underground storage tank project to pay these costs, the Public Works Department is initiating the following transfers. Some of the projects from which the funds will be taken are ones that have not been started yet or ones that the Public Works Department administers. Several are projects that are close to completion or which have more funding available than is necessary to complete the project. An explanation of each project and remaining budgets in each, follows: Willoughby Parking Lot: this project is complete except for some signage.

Remaining budget will be sufficient to cover these costs. After transfer, budget will be: $4,522.

Areawide Sidewalk Improvements: this CIP project was established to pay the costs of the Public Works Department's in-house sidewalk reconstruction program. After transfer, budget will be: $22,970.

Reconstruction of Basin Road from 8th Street to the Trestle: This project is ready to close. This transfer will close out this project.

Basin Road Trestle Investigation: This CIP would pay for an evaluation of the Basin Road Trestle. The Public Works Department has recently been repairing the trestle's deck and believes it is cost effective to continue to replace the bridge deck planking. Earlier evaluations of the trestle indicate that it is structurally sound. Funding is included in future CIP requests to replace the subdeck on the trestle. The design for that work will be performed when those funds become available. This transfer will close out this project.

School Zone Street Lighting: this project was originally included to improve street lighting on Glacier Avenue between 12th Street and Highland Drive. These improvements are now scheduled to be made in conjunction with the reconstruction of Willoughby and Glacier Avenues. Funds have been included in the FY96 sales tax street CIP request for this work. This transfer will close out this project.

Stephen Richards Reconstruction from Riverside Drive to Loop Road: Except for hydroseeding, this project is ready to close. After transfer, budget will be: $30,381.

Gee Street/Portage Boulevard Paving and Drainage: This project is ready to close, after a field visit last week. After transfer, budget will be: $27,979,

The remaining balance in the Underground Storage Tanks project, after the transfer is approved, will be $189,722.

I recommend that this transfer be approved.

3. Transfer No. T-564

This transfer request of $7,053 is necessary to pay for construction costs over the Engineer's Estimate and for Programmable Logical Controller programming. The Auke Way Water Line and Hooter Lane/W&S Construction projects will be closed out by this transfer. After this transfer is approved, the Mountainside Estates Water Line project budget will be $426,208.

I recommend that this transfer be approved.

4. Transfer No. T-565

This transfer request of $7,905 is necessary to pay for final change order quantities and the DBE bonus on the Foster and Pioneer Street Reconstruction project. After this transfer request is approved, the remaining balance in the Behrends Avenue Reconstruction project will be: -0-; the remaining balance in the Foster/Nowell/Pioneer Overlay project will be: $13,461.

I recommend that this transfer be approved.

5. Transfer No. T-566

This transfer of $20,000 will allow the reconstruction of a short section of Hermit Street above the Seater, Martin Evergreen and Hermit intersection. This section is completely deteriorated in part because of poor material and drainage under the existing pavement. This transfer would fund removal of the existing asphalt pavement, replacement of drainage structures, subexcavation and placement of new material and new pavement. If this work is not performed now, the new pavement in the intersection will be damaged by water flowing under the existing Hermit Street structure. The Cohen/Randall guardrail project will be scaled back to include repair of existing damaged guardrail sections rather than the original project scope which would have included placement of intermediate posts that are not necessary in these low-speed roadways. After this transfer is approved, the remaining balance in the Cohen/Randall Road Guardrail project will be $49,010; the remaining balance in the Alder/Seater Street Reconstruction project will be $77,619.

I recommend that this transfer be approved.

D. Bid Awards:

1. Contract No. SD-95-285: Glacier Valley School Reroofing and Drainage

Bids were opened on the subject project on May 19, 1995. The bid protest period expired at 4:30pm on May 23, 1995, with the following results:

RESPONSIVE ITEM NO. 1 ALT. NO. 1 TOTAL BID Coogan Construction Co. $478,134 $ 64,495 $542,629 Silver Bow Construction $456,250 $121,750 $578,000 A&A Roofing Company, Inc. $646,411 $ 89,704 $736,115 Scholten Roofing Services Co. $686,760 $ 99,789 $786,549 Industrial Roofing, Inc. $692,300 $102,700 $795,000 Pacific Rainier Roofing $731,984 $ 80,135 $812,119 Architect's Estimate $777,000 $ 56,000 $833,000 Item No. 1 consists of removal of the existing roof system; repairing a portion of the roof decking; installation of a new roof system; and modifying and repair of the roof drainage system at Glacier Valley Elementary School. Alternate No. 1 consists of repairing and modifying the buried portions of the roof and storm drain system, with association site work and asphalt surfacing. Funding is provided by a grant from the State and by local bond proceeds.

I recommend award of this project to Coogan Construction Company in the amount bid for Item No. 1 and Additive Alternate No. 1, for a total award of $542,629.00.

2. Contract No. SD 95-220: Auke Bay Elementary School Classroom and Corridor Modifications

Bids were opened on the subject project on May 26, 1995. The bid protest period expired at 4:30pm, May 30, 1995. The results of the bid opening are as follows:


BCD Construction, Inc. $200,400 $13,600 $19,800 $16,285250,085

RMC, Inc. $240,000 $15,000 $20,000 $ 9,000284,000

Architect's Estimate $225,000

The Base Bid for this project consists of providing interior architectural renovation of approximately 3,200 square feet of classroom area, with associated mechanical and electrical work, and replacement of existing doors and the addition of new doors.

Additive Alternate 1 adds remodeling portions of Rooms 111, 114, 115 and 116;

Additive Alternate 2 adds all work indicated to remodel Room 113 to create Rooms 113 and 113A (includes demolition, wood frame construction, doors, casework, architectural finishes and associated mechanical and electrical work); Additive Alternate 3 adds all work indicated to remodel Room 236 and create Rooms 236 and 236A. Project completion will be within 90 calendar days after the date of Notice to Proceed.

In concurrence with the School Board, I recommend award of this project to BCD Construction, Inc. in the amount bid for the Base Bid and all Additive Alternates, for a total award of $250,085.

3. Contract No. SD-342: Gastineau Elementary School Site and Building Improvements

This bid opened on June 1, with the protest period ending at 4:30pm on June 2, 1995. Because of the time frame involved, I will present the bid results to the Assembly at tonight's meeting, as a red folder item. A recommendation will be given at that time.

4. Bid No. 95-351: Single Stage Rotary Snow Blower, Loader Mount

Bid No. 95-351 for a single stage rotary snow blower, loader mount for the CBJ Street Division, was opened on May 26, 1995 with the following results:


Pacific North Equipment $74,800 $4,050 $78,850

North Star Industries $57,050** n/c $57,050

Construction Machinery $99,500 $3,500 $103,000

I recommend award to Pacific North Equipment as having the lowest responsive prices. The total bid award will be $78,850 for the Base Bid and the Additive Alternate.

E. Certificate of Public Convenience and Necessity:

1. Five Star Tours & Limo

Joe Sonneman, dba Five Star Tours & Limo, has applied for a new certificate of public convenience and necessity for for-hire vehicle for a limousine/sightseeing operation with three vehicles. According to CBJ 20.40.050, the Assembly, after holding a public hearing, must find that the applicant is "fit, willing, and able to perform such public transportation." In making the findings, the Assembly "shall take into consideration the character, experience and responsibility of the applicant, and the public health, safety and welfare.

The one vehicle proposed for the limousine operation is a Dodge Caravan. Under the For-Hire Vehicle Code, a limousine is defined as a vehicle which carries no more than six passengers and is available only through advance reservations, however, a limousine is generally defined as a vehicle with an enclosed passenger compartment. I recommend granting of a certificate of public convenience and necessity for a limousine operation for three vehicles.


1. Ordinance No. 95-17

Unregulated camping has created a variety of health and safety issues in the community. This ordinance will provide a tool to deal with these issues. The general approach is to allow camping areawide for up to four days in the same spot after which the camper must move at least 1/2 mile. This would apply to recreational vehicles, as well as tent campers. Trespass laws, watershed laws and other restrictions on camping are not affected by this ordinance. However, the Manager may issue permits for extended camping for special purposes if the applicant can meet conditions providing for basic sanitation and waste disposal, and other health or safety issues that may be present.

Should this simple ordinance not prove effective in addressing the health and safety concerns on public lands, the Assembly may direct staff to draft a more comprehensive camping plan. Staff will begin gathering information this summer to determine those areas that may be most appropriate to designate day use only.

Staff will also investigate the suitability of sites for potential development of a recreational campground. Staff is also continuing discussion of a potential long-term camping facility at the rock dump.

I recommend that this ordinance be adopted.


1. Ordinance No. 95-13

Mad-Tiff Development, owned by Gertrude Martin and Donald Madsen, desires to construct a four-story plus basement, 66 unit hotel/residence building on West Ninth Street, on property which is located in the Waterfront Commercial Zone. The maximum height for the Waterfront Commercial Zone ("WC") is 35 feet. The project desired by Mad-Tiff Development has a statutory height that is approximately 9 feet 4 inches taller than would be allowed under 49.25.400.

On March 28, 1995, the Planning Commission denied Mad-Tiff's application for a variance to the maximum height allowed in a Waterfront Commercial District.

The Advisory Committee on Housing, after review and deliberation of the ordinance, recommended denial of the ordinance on a vote of 2 in favor and 4 against. The Committee generally felt that the public should be able to rely on the consistency of land use regulations and that there was no compelling rationale to waive the restrictions, since 51 units will be built without the ordinance, according to the developer. The Assembly Lands Committee, at its May 30 meeting, recommended by a vote of 4 to 1, that this ordinance be reintroduced for consideration by the full Assembly.

At the request of the Lands Committee, I recommend that this ordinance be introduced and set for public hearing at the next regular meeting.



A. Manager's Report - Action Item:

B. Manager's Report - Information Items:

1. Land Disposals - Status Report

Included in your packet is a memorandum providing a status report on CBJ land sale activities.

C. Attorney's Report:

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