Monday, November 17, 1997 - 7:00 PM
Assembly Chambers - Municipal Building
Meeting No. 97-39

Submitted by:
David R. Palmer





1. 10/20/97 - Regular Mtg. No. 97-35



VI. PUBLIC PARTICIPATION ON NON-AGENDA ITEMS. (Not to exceed a total of 20 minutes nor more than 5 minutes for any individual.)

The Consent Agenda includes routine items of business which may not require separate discussion. When the Mayor calls for public comment on the Consent Agenda, you may raise your hand and the Mayor will recognize you asking which item(s) you wish to have removed from the Consent Agenda for separate discussion and action. Following the removal of any item from the Consent Agenda, the Assembly votes on the remaining items in one motion. (Ordinances for introduction generally may not be removed from the Consent Agenda.)

All items that are removed from the Consent Agenda will follow the format of: Administrative or Committee Report, Public Hearing/Participation and Assembly Action.

A. Ordinances for Introduction:

1. Ordinance No. 97-44

An Ordinance Authorizing the Manager to Accept the Bonnie Brae Subdivision Water and Sewer Systems for Operation and Maintenance. Presented by the Manager.
The Bonnie Brae water and sewer collection and disposal systems were not constructed to city and borough standards when the subdivision was initially constructed. However, the Bonnie Brae Property Owners Association has been working with CBJ staff to bring the system into repair and make it suitable for takeover by the city and borough. The association has completed the necessary repairs and the city and borough is prepared to assume responsibility for the systems.

Because the CBJ system is not required to treat wastewater collected by the Bonnie Brae system, residents will be charged according to CBJ 36.10.130(a)(1)(b), which establishes a reduced single-family residence rate of twelve-thirteenths of a service unit.

This works out to a rate of $30 per month per unit, which will cover costs of inspection, operation, and repair of the collection and distribution system as well as periodic inspections of each property owner's on-lot system and pump-outs of those systems every two years. The property owners would be responsible for other operation and maintenance costs associated with the on-lot systems. Water service would be charged at the usual residential rate.

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

2. Ordinance No. 97-45

An Ordinance Amending the Penal Code to Reclassify the Penalty for Interfering With the Report of a Crime Involving Domestic Violence; and Amending the Traffic Code to Require That Drivers Approaching a School Bus From Any Direction Comply with Flashing Signals Displayed by the Bus. Presented by the Manager.
This is a housekeeping ordinance to address some drafting errors in ordinances recently adopted by the Assembly. Section 2 makes the CBJ penalty for interfering with a crime report the same as the State penalty. Section 3 addresses the requirement that drivers slow down as they approach a school bus from any direction: staff missed this refinement in Ordinance 97-36, which addressed only the requirement to stop.

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

3. Ordinance No. 97-46

An Ordinance Amending The Penal Code to Include Use of a Dangerous Instrument, and Use of Words as Instruments of an Assault, and to Define the Term "Physical Injury". Presented by the Manager.
This ordinance brings some elements of the municipal assault ordinance into conformity with state law. All of the new language is directly from AS 11.41.230, fourth degree assault, except for the definition of "physical injury", which has been augmented with a list of physical traumas, the better to address the situation of a bleeding and bruised domestic violence victim who is too frightened to admit to feeling any pain.

This ordinance is brought forward at the request of the CBJ prosecutor.

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

4. Ordinance No. 97-47

An Ordinance Amending the Land Use Code Table of Permissible Uses to Include Amateur Radio Antennas. Presented by the Manager.

This ordinance allows the Community Development Department to issue permits for ham radio antennas via the departmental approval process. Federal law allows limited local regulation of radio towers: this ordinance will help speed the approval process.

I recommend that this ordinance be introduced, referred to the Planning Commission, and set for public hearing at the next regular meeting.

5. Ordinance No. 97-17 (AA)

An Ordinance Appropriating to the Manager the Sum of $11,900 for the Youth Activity Program. Such Funds Provided by the FY97 Unspent Youth Activity Contingency. Presented by the Manager.
This ordinance will appropriate $11,900 (the unexpended FY97 Youth Activity Funds) to assist in funding the approved grant list for FY98. These funds were held back as part of the FY97 contingency and not expended by year end. The unexpended FY97 Youth Activity funds lapsed into the Roaded Service Area #9 fund balance. Reappropriating this amount from the Roaded Service Area will not impact the projected fund balance as it was anticipated that the FY97 Youth Activity Fund budget would be fully expended.
The Roaded Service Fund Balance will be $186,800 after this ordinance is adopted.

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

6. Ordinance No. 97-17 (AB)

An Ordinance Appropriating to the Manager the Sum of $289,980 For Purchase of One Snow Plow Truck. Such Funds, $280,626, Provided by the Federal Aviation Administration and $9,354 by the Alaska Department of Transportation and Public Facilities. Presented by the Manager.

The ordinance appropriates a $280,626 grant from the Federal Aviation Administration (FAA) and a $9,354 grant from the Alaska Department of Transportation (DOTPF) for acquisition of one replacement snow plow at the Juneau International Airport. The CBJ local match of $9,354 is FY97 General Sales Tax funds appropriated through the FY97 Capital Improvement Budget process.

The replacement plow is a high speed plow with a 10-yard dump truck box. Included in the purchase will be plow blades, all necessary hitches, aviation radios and the dump truck box. This will be the third truck to be ordered under the same bid; the two trucks previously ordered are expected to be delivered within a couple of weeks. This third truck must be ordered before December 31, 1997 when the bid expires. The purchase of this truck will give the airport a common fleet of plow trucks which will greatly enhance maintenance and operating efficiency.

Attached is a copy of the grant application and program narrative.

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

B. Resolutions:

1. Resolution No. 1905

A Resolution Adopting the Determination of Population of the Municipality as of July 1, 1997. Presented by the Manager.

The Department of Community and Regional Affairs is charged with determining the population of each municipality. DCRA's population determination for the City and Borough of Juneau is currently 29,813. However, if we do not agree with DCRA's population figure, we can make a request for an adjustment if supported by an approved method for estimating population.

The Department of Community Development has completed a population estimate using a method approved by DCRA. Based upon this report, a copy of which is in your packet, the 1997 population estimate for the City and Borough of Juneau is 30,396. This is the population figure in the resolution and it will be submitted to DCRA to be used for the FY99 state revenue sharing and municipal assistance programs.

I recommend that this resolution be adopted and submitted to the Alaska Department of Community and Regional Affairs.

2. Resolution No. 1906

A Resolution Authorizing the Manager to Donate Approximately 11.24 Acres of Land Located at 7 Mile Glacier Highway to the State of Alaska for the Relocation of the National Guard Armory. Presented by the Manager.
This resolution will authorize the donation of approximately 11.24 acres of land to the State of Alaska for the relocation of the National Guard Armory. Additionally a portion of the site would be retained by the Alaska Department of Transportation and Public Facilities for a road maintenance yard. The property is located immediately west of the DOT/PF Regional Offices and Maintenance Facility at 7 Mile Glacier Highway.

To facilitate the relocation of the armory from its present downtown location, the Assembly adopted Ordinance No. 97-23 which authorized a land trade with the Mental Health Trust for 50 acres of land adjacent to the 7 Mile site. The Assembly also authorized the manager to negotiate the conveyance of land to the State of Alaska for the armory relocation project. The 11.24 acre site has been identified by the National Guard as being suitable for their purposes as well as retaining a portion of the maintenance yard used by DOT&PF.

I recommend that this resolution be adopted.

C. Liquor License Transfer:

1. SILVERBOW INN; Jilneth, LLC; 120 Second Street; MAIL:PO Box 21033 Juneau, AK 99802 from: Richard C. Lee; same location & DBA; Mail: 120 2nd Street, Juneau AK 99801

The Finance, Police, Community Development & Fire Department been provided copies of the application for review and comment and have filed no objections. The Human Resources Committee met on Monday, November 10, 1997, and adopted a motion recommending the Assembly waive its right to protest the transfer of ownership for the Silverbow Inn liquor license.

I recommend the Assembly adopt the Human Resources Committee recommendation which will be presented at tonight's meeting.


1. Ordinance No. 97-43

An Ordinance Repealing and Reenacting the Sales Tax Exemption for Building and Construction Materials. Presented by the Manager

This ordinance addresses a long standing problem with the administration of the sales tax exemption for building materials. The exemption is intended to avoid taxation twice, so building materials and services that are incorporated into a structure and ultimately taxed as real property are not also taxed at the time of sale.

A change in the ordinance is required to allow for the issuance of cards to show the building permit being utilized, the scope of work, and the expiration date of the exemption.

I recommend one amendment to the ordinance as introduced: rewrite section 2 (5) (A) as follows:

2 (5) (A) Sales of building or construction materials if the materials become incorporated as a permanent part of a structure or site through work authorized by a building permit and the purchaser presents to the seller an individual builder sales tax exemption card describing work that would reasonably require the materials for which the exemption is claimed. A person may apply for an exemption card on forms provided by the city and borough. The card shall be valid for a period reasonably necessary to complete the work described thereon.

This makes two changes. First, reference to licensed contractors is eliminated because licensed contractors will have two ways to implement exemptions for this purpose, either by claiming an exemption under the sale of materials for resale, as they do now, or by presenting the card issued under this ordinance.

Second, the limitation in the introduced ordinance to the number or extensions to the expiration is removed as it is not a problem to issue new cards with new expiration dates on request, without cost.

There are two primary reasons for this change to the administration of this exemption. First, without a card to present, people can use old, out of date building permit numbers to claim exemptions for materials purchased that are in no way associated with the original permit and there is no way for the merchant to know the validity of the claim for exemptions.

Secondly, it is the merchant who is held responsible for mistakes if a customer claims an exemption on a building permit that is not allowed. The card will provide immediate proof to any merchant that the expiration date is current, and the card will provide a description of the work. This will reduce the possibility of a merchant being held responsible for a tax exemption that is not valid.

This ordinance should become effective January 1, 1998. During the interim, we will mail, without need for application, tax exempt cards to every building permit applicant, the new cards with a 6 month expiration date. We will advertise the change to the public and we will contact each major supplier to assure a smooth transition. Beginning on the first of the year, then, the merchants will look for the cards as proof of authorization for the exemption.

Because this is only a change in the administration of an existing sales tax exemption, I introduced it directly to the Assembly without referral to a committee.

I recommend adoption of the ordinance with amendments as suggested above, and with an effective date of January 1, 1998.

2. Ordinance No. 97-17 (Y)

An Ordinance Appropriating to the Manager the Sum of $833,600 for the Juneau Economic Development Council's (JEDC) Southeast Alaska Revolving Loan Fund. Such Funds Provided by the U.S. Department of Agriculture - Alaska Economic Disaster Fund. Presented by the Manager.

This ordinance will appropriate the remaining $833,600 balance of the first two years of Federal Southeast Alaska Economic Funds (SAEF). This amount represents the remaining balance of funds after being adjusted for the interest earnings, direct loans, and grant support. This amount was also adjusted for the anticipated (conceptually approved by the COW on July 14, 1997) $250,000 loan to SAGA.

Payment of the remaining balance of the first two years of Federal SAEF funds to the JEDC's Southeast Alaska Revolving Loan Fund (SEAK-RLF) was approved by the COW on July 14, 1997. These direct support funds, along with the repaid loan proceeds from the $400,000 Silver Bay Logging, and the $300,000 Glacier Gardens, Inc., will be used to fund the SEAK-RLF. It is anticipated that the repayment of the SAGA loan, if made, will also be added to the SEAK-RLF balance. The funds being contributed by the CBJ will be maintained and accounted for separately within the SEAK-RLF. The management of these funds will be in accordance with a draft memorandum of agreement between the JEDC and the CBJ and the adopted policies and procedures by JEDC for the SEAK-RLF. The memorandum of agreement is included in your packet.

I recommend that this ordinance be adopted.

3. Ordinance No. 97-17 (Z)

An Ordinance De-appropriating the Sum of $200,000 For a Grant to the Juneau Economic Development Council (JEDC) to Be Used to Provide a Loan to Rainbow Glacier Seafoods. Such Funds Provided by the U.S. Department of Agriculture - Alaska Economic Disaster Fund. Presented by the Manager.

This ordinance will de-appropriate the $200,000 loan appropriation to Rainbow Glacier Seafoods. The original appropriation was made as part of the Southeast Alaska Economic Fund's (SAEF) development projects proposed by Juneau Economic Development Council (JEDC). The original ordinance 97-17 (H) was approved by the Assembly August , 1997. Rainbow Glacier Seafoods has withdrawn its loan request. Rainbow Glacier Seafoods has determined that it will be unable to proceed with its Juneau Project.

The $200,000 will be placed back in the SAEF's account. The unobligated balance in the SAEF's account, including this $200,000, is being submitted on this agenda to the Assembly by Ordinance No. 97-17 (Y) to JEDC. The funds being transferred will be placed into the Juneau segment of JEDC's Southeast Alaska Revolving Loan Fund (SEAK-RLF).

I recommend that this ordinance be adopted.


1. Hayes v. Planning Commission (Secon Conditional Use Permit No. 97-00053)

As noted at your last meeting, the parties to this appeal have been working toward an agreement that would preserve issues for an appeal to the Superior Court, but would avoid the necessity of another hearing before the Assembly. Your packet contains a "stipulation" that was prepared for this purpose. Mr. MacKinnon is the presiding officer for this appeal: he can inform you of his recommendation and, if the stipulation meets with your approval, can execute the document on behalf of the Assembly. If dismissal is ordered, I recommend that the Appellant be refunded the $250 filing fee.

As this is a quasi-judicial proceeding, staff has no recommendation.



A. Manager's Report - Action Items:
B. Manager's Report - Information Items:

1. Televised Assembly Meetings - Statement of Interest Responses
Your packet includes copies of the proposals submitted by two respondents to the Statement of Interest (SI98-248) for Televised Assembly Meetings.

C. Attorney's Report:

1. Law Department Quarterly Report to the Assembly: July - September, 1997


A. Revised Pending Items
B. Unappropriated General Fund Unreserved Fund Balance
C. Assembly Contingency Fund Balance


A. Committee Reports:

1. Committee of the Whole
2. Finance Committee
3. Committee on Committees

a) Building Code Advisory Committee
b) Douglas Service Area Advisory Board
c) Historic Resources Advisory Committee
d) Juneau Economic Development Council
e) Social Services Advisory Board
f) Wetlands Review Board

4. Human Resources Committee
5 . Lands and Resources Committee
6. Public Works and Facilities Committee
7. Assembly Strategic Policy Committee

B. Board Liaison Reports


XV. CONTINUATION OF PUBLIC PARTICIPATION ON NON-AGENDA ITEMS. (Not to exceed 5 minutes per person or 20 minutes total, whichever is less).


NOTE: Agenda packets are available for review at the Juneau Public Library, the Mendenhall Valley Library, and the Douglas Public Library. An audio tape containing the Assembly's agenda is available for review at all CBJ Libraries each Friday prior to the Assembly's Monday meeting.

ADA Accommodations Available Upon Request: Please telephone the Clerk's Office 48 hours prior to any meeting so arrangements can be made to have a sign language interpreter present. The Clerk's Office telephone number is 586-5278, TDD 586-5351.

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