AGENDA/MANAGER’S REPORT

THE CITY AND BOROUGH OF JUNEAU, ALASKA

Monday, May 3, 1999 – 7:00 PM

Assembly Chambers – Municipal Building

Meeting No. 99-15

Submitted by: _____________________________

David R. Palmer

City & Borough Manger


  1. FLAG SALUTE
  2. ROLL CALL
  3. APPROVAL OF MINUTES
  4. 1. 03/22/99 – Special Mtg. No. 99-08

    SPECIAL ORDER OF BUSINESS

    1. City Manager’s Annual Evaluation

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

  5. MANAGER’S REPORT FOR AGENDA CHANGES
  6. PUBLIC PARTICIPATION ON NON-AGENDA ITEMS. (Not to exceed a total of 20 minutes nor more than 5 minutes for any individual).
  7. CONSENT AGENDA

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.

  1. Resolutions:
  2. 1. Resolution No. 1988

    A Resolution Authorizing the Manager to Execute a Memorandum of Agreement With Goldbelt, Inc. Establishing Terms for Extending North Douglas Highway; and To Negotiate an Exchange of Municipal Land Located Between Peterson and Middle Creeks for Goldbelt Waterfront Lands at Point Hilda. Presented by the Manager.

    This Resolution authorizes the manager to sign a memorandum of agreement with Goldbelt Incorporated establishing terms for working together to extend the North Douglas Highway and provide access to city and Goldbelt lands on the west side of Douglas Island.

    Congress has appropriated money to commence with the first phase design and construction of the road. Goldbelt executives are planning to meet with Alaska’s delegation in Washington D.C. at the end of May and are eager to present the delegation a signed copy of the MOA at that time. It will demonstrate the city and Goldbelt have made a significant step forward in working cooperatively on this complex project. Goldbelt is hopeful that it will also lead to more Congressional appropriations for the project.

    Goldbelt’s board of directors has reviewed an earlier draft of the MOA and approved of the concepts outlined in it, including the land exchange at Point Hilda. City staff considers the acquisition of public access to areas along the West Douglas beach a critical component of the MOA.

    At its April 14th meeting, the Assembly Lands Committee recommended the Assembly authorize the manager to sign the MOA.

    I recommend that this resolution be adopted.

  3. Transfer Request:

1. Transfer No. T-663: Transfers $50,000 from RV Waste Disposal/Water Station (CIP W494-07) to Pipeline Skate Park Restrooms (CIP P396-23)

This transfer request moves $50,000 of Alaska Department of Administration grant funds from the RV Waste Disposal/Water Station project to the Pipeline Skate Park Restrooms project.

The City has had the grant funds available since FY94 for the RV Waste Disposal/Water Station, but until now, has not found an acceptable site for the station. Proposition 3, authorizing a temporary 1% sales tax for improvements to existing parks, provides funds for the Skate Park Restrooms project. The RV Waste Station project, funded by the grant, can be added to the restroom project.

After the transfer is approved, the fund available balances, budgets, and status for the project will be as follows:

Transfer Status/
Project Number/ 
Project Name
Unobligated
Funds Available
Prior to Transfer
Unobligated
Funds Available
After Transfer
Total Project
Budget
After Transfer
Status
Transferred from:
W494-07/
RV Waste Disposal
Water Station
$50,000   -0-  

$-0-

 

closing

Transferred to:
P396-23/
Pipeline Skate Park
Restrooms
$120,000 $170,000 $170,000 ongoing

I recommend that this transfer be approved.

D. Bid Awards:

    1. Contract No. E99-251: Mayflower School Exterior Renovation

Bids were opened on the subject project on April 23, 1999. Non-Responsive: Awesome Transformation. Reason: submitted an altered bid. The bid protest expired at 4:30pm on April 26, 1999. Results of the bid opening are as follows:

Responsive Total Bid
Design North, Inc. $54,701.50
Duran Construction Company 58,900.00
Silver Bow Construction 61,680.00
CB General Contractors 78,284.00
North Pacific Steel Erectors, Inc. 81,232.00
Architect’s Estimate $70,000.00

The project consists of removal and disposal of the existing metal roofing, two layers of asphalt shingles and metal flashing, a portion of the concrete chimney, and all deteriorated wood roof decking. Work will include the installation of new roof sheathing, metal flashing, new metal roof, new vent pipe and flashing, and re-install existing roof gutters; also included will be the preparation and painting of the exterior of the building, and miscellaneous related work.

At the April 28th, 1999 Finance Committee meeting, the Assembly requested additional information regarding the Mayflower School building. We are collecting that information now. A delay in this award could have the practical effect of delaying the project until next Spring. The roof leaks around the chimney, the fasteners are not effective and the roof needs to be replaced, but it could survive one more winter. The current tenant, Montessori School, has submitted a proposal for rent relief in exchange for a new heating system. If a new heating system is installed, it is likely that roof penetration would be necessary.

We have invested in the reroof design and bidding costs. We have a good price and a responsive contractor, so if there is an expectation by the Assembly that the City will continue to own the building, we should proceed with the bid award. On the other hand, if there is a possibility the building will be declared surplus, there is no irreversible harm in delaying the roofing project a year, except for the bidding costs incurred to date. Given the complex policy issues that will be discussed later, and given the likelihood of the time that will be necessary to develop a long range policy for the building, I recommend we proceed with the bid award, and if the decision is made to dispose of the building, we attempt to recover our investment.

I recommend award to Design North, Inc. as having the lowest responsive bid price. Total bid award will be for $54,701.50.

2. Bid No. 99-271: Ford Super Duty F-550 4 X 4 Truck

Bid No. 99-271, for three Ford Super Duty F-550 4 X 4 Conventional Cab Trucks with Dual Rear Wheels for CBJ Streets Division, was opened on April 9, 1999. These trucks replace ten-year-old equipment in the street division. The trucks are used for sanding, snow plowing and general street maintenance.

The bid protest period expired on April 21, 1999 with the following results.

Bidder Unit Price
For Truck
Unit Price for Extended Warranty
For Each Truck
Total Bid
3 trucks
3 extended
Warranties
Evergreen Motors, Inc. $37,799 $2,095 $119,682
Trucano Construction Company No Bid
The New Wilson Ford Non-responsive*

* Bid received after bid opening date.

Encumbered: $123,000 vehicles & equipment

I recommend award to Evergreen Motors, Inc. as having the lowest responsive bid price. Total bid award will be for $119,682.00.

E. Liquor Licenses:

Two-Year Renewals:

Restaurant/Eating Place:

Bullwinkle’s Pizza (1)

Bullwinkle’s Pizza (2)

Transfer:

Restaurant/Eating Place:

The Twisted Fish Co.; Up The Creek, Inc.; 550 S. Franklin St.; Murray D. Damito-President, Kimberli Jo Nicholl - Secretary, Reezia Rae Wilson - Treasurer; Mail: #2 Marine Way, #106, Juneau, AK 99801; transfer from Southeast AK Smoked Salmon Co., Inc.

  Beverage Dispenser:

The Prospector Hotel, LLC dba TK McGuires; Shareholders: Terral Frank Wanzer and Kay Denise Sims; location is 375 Whittier, Juneau, AK 99801; corporate mailing address is P O. Box 6814, Ketchikan, AK 99901; transfer from Diggings, The Prospector Hotel.

The Finance, Fire, Police, and Community Development Departments have reviewed the applications. The Human Resources Committee met on Monday, May 3, 1999, and based on the information provided at its meeting, will forward its recommendations to the Assembly tonight regarding whether to waive its right to protest the transfer of the liquor license for The Twisted Fish Co. and waive its right to object to the two-year liquor license renewals for Bullwinkle’s Pizza (1) and (2) and the transfer for The Prospector Hotel, LLC dba TK McGuires.

I recommend the Assembly adopt the Human Resources Committee recommendations from its May 3 meeting regarding its right to protest and/or object to the licenses as reported.

  1. ORDINANCES FOR PUBLIC HEARING

1. Ordinance No. 99-13

An Ordinance of the City and Borough of Juneau, Alaska, Authorizing the Issuance of Revenue Bonds (St. Ann’s Care Center Project), of the City and Borough in an Aggregate Principal Amount Not to Exceed $18,000,000; Authorizing the Execution and Delivery of the Necessary Financing Documents in Connection Therewith; Authorizing the Proper Officials of the City and Borough to do All Things Necessary or Advisable to Consummate the Issuance, Sale and Delivery of Such Bonds; Prescribing the Form, Terms, Conditions, Contents, Denominations, Maturities, Manner of Execution, Covenants, Security, Options of Redemption; and Providing for a Negotiated Sale of Such Bonds to Seattle-Northwest Securities Corporation. Presented by the Manager.

Administrative or Staff Report

This ordinance authorizes:

The Bond shall be a special, limited obligation of the CBJ, but does not and shall never constitute a debt or indebtedness or loan of credit of the CBJ.

The CBJ, under the terms of the loan agreement, agrees to lend the proceeds of the Bond to the SACC and to pay for the bond issuance costs. The SACC agrees to repay all the debt service associated with the Bond. The loan agreement between the CBJ and the SACC will be assigned by CBJ to SNWS as security for the Bond. SNWS will, in accordance with its financing commitments, provide a commercial loan document that will affix SACC as "Borrower", the CBJ as "Issuer" and the SNWS as "Lender".

It should be noted that the issuance of this bond does have the potential to impact the debt service on any other tax-exempt debt issued in this calendar year. When we issue less than $10 million in tax exempt financing in any one year, we meet the requirements of Bank Qualified Debt. Debt issued to financial institutions under this qualification typically results in interest rates .5% to 1% less than Non Bank Qualified. St. Ann’s Care Center has indicated they will agree to hold the CBJ harmless for all costs of issuance including possible costs associated with the loss of our Bank Qualification in calendar year 1999.

I recommend that this ordinance be adopted.

Public Hearing

Assembly Action

2. Ordinance No. 99-14

An Ordinance Exempting Development of Short Street From the Requirement for a Minimum of 30 Feet of Frontage on a Publicly Maintained Right-of-Way. Presented by the Manager.

Administrative or Staff Report

This ordinance implements a recommendation from the Planning Commission that CBJ grant the request of developer Mike Erickson for an exemption from street construction standards applicable to the development of Short Street. The requested exemption – to establish a lot without 30 feet of frontage on a publicly-maintained right-of-way – is not available as a variance, and may be granted only by the Assembly as a noncode ordinance.

The attached memo from CDD explains the reasoning in favor of the exemption. Basically, the commission found that the developer’s request was reasonable given the small size and industrial setting of the development. Also, the developer will provide alternative methods of accomplishing the purpose of the road standard, which is primarily to provide access to emergency vehicles.

The ordinance submitted for adoption (Ordinance No. 99-14am) contains some minor changes shown in legislative notation (italics), requested by the Community Development Department since the ordinance was introduced at the April 19th Assembly meeting.

I recommend that this ordinance be amended as indicated, and adopted.

Public Hearing

Assembly Action

3. Ordinance No. 99-15

An Ordinance Amending the Land Use Code to Require Notice to Tenants as Part of the Process for Issuance of a Permit for a Change in Use of a Multifamily Residential Development. Presented by the Manager.

Administrative or Staff Report

This ordinance helps address the concerns of residential tenants who are impacted when their landlord changes the use of their building. The ordinance requires the landlord to provide notice to the tenants, similar to the way Community Development provides notice to adjacent property owners.

I recommend that this ordinance be adopted.

Public Hearing

Assembly Action

4. Ordinance No. 98-17 (AK)

An Ordinance Appropriating to the Manager the Sum of $1,680,000 For Improvements to the J-D Wastewater Treatment Plant. Such Funds Provided By a Loan From the Alaska Department of Environmental Conservation. Presented by the Manager.

Administrative or Staff Report

This ordinance appropriates a $1,680,000 loan from the Alaska Department of Environmental Conservation, Alaska Clean Water Fund, for improvements to the Juneau Douglas Wastewater Treatment Plant. These improvements are as follows:

      1. Replacement of the chlorine gas disinfection system with an ultraviolet light disinfection process. Chlorine gas will no longer be used;
      2. Purchase of an emergency generator to power the system;
      3. Construction of a sludge storage area for periods when the incinerator is not operating; and
      4. Construction of a jet truck dumping site.

Contract interest rate on the loan will be 3.46% to be paid back over a period of twenty years beginning one year after completion of the project.

A copy of the loan agreement and Resolution No. 1958 authorizing application for the loan are included in your packet.

I recommend that this ordinance be adopted.

Public Hearing

Assembly Action

5. Ordinance No. 98-17 (AL)

An Ordinance Appropriating to the Manager the Sum of $27,595 As Partial Funding For Construction of Second-Level Access Loading Stairs at the Juneau International Airport. Such Funds Provided By the Federal Aviation Administration. Presented by the Manager.

Administrative or Staff Report

This ordinance appropriates $27,595 in Federal Aviation Administration Grant funds to close out the Second Level Access Loading Stairs capital project. The project has been completed for some time, and the City was waiting for the grant amendment so that the project could be financially closed. Pending receipt of the additional grant funds, expenditures for this project were recorded in the Airport Project Design account. The expenditures will be moved into the access stairs project once this appropriating ordinance is adopted.

A copy of the FAA grant amendment is included in the packet for your reference.

I recommend that this ordinance be adopted.

Public Hearing

Assembly Action

  1. UNFINISHED BUSINESS
  2. NEW BUSINESS
    1. Ashe, Ramos, Bonnet, & Woodie v. Planning Commission: Appeal of Approval of An Amendment to a Previously Issued Conditional Use Permit for Development of a 2-Story Retail Commercial Building in a Severe Hazard Area (USE 98-00015)

At its regular meeting on March 9, 1999, the Planning Commission granted approval of an amendment to Condition 7 of a previously issued conditional use permit for development of a 2-story retail commercial building. Specifically Condition 7 was amended to allow the permittee to maintain an occurrence-based commercial general liability policy. On April 14, 1999, Don Ashe, Margaret Ramos, Michelle Bonnet and David Woodie appealed the Commission’s decision to the Assembly.

The Notice of Appeal and the Notice of Decision on USE 98-00015 are in your packet.

The Assembly is the appeal agency for this appeal, and its actions throughout the appeal process are governed by CBJ 01.50, the Appellate Code. The Code requires that upon receiving an appeal, the Assembly, must first decide whether to accept or reject it. The standards applicable to this decision are set out at CBJ 01.50.030(e):

(e) Action by Appeal Agency Upon Receipt of a Notice of Appeal.

(1) Within thirty days of receipt of a notice of appeal by the appeal agency, the appeal agency shall notify the appellant of the acceptance or rejection of the appeal and, if rejected, the reasons for the rejection.

(2) The notice of appeal shall be liberally construed in order to preserve the rights of the appellant. The appeal agency may reject the appeal for failure to comply with these rules or if the notice of appeal does not state grounds upon which any of the relief requested may be granted.

 

Don Ashe, Margaret Ramos, Michelle Bonnet David Woodie, Manuel Hernandez of H&H Management and the Community Development Department have been advised that this matter is before the Assembly.

The following procedural issues should be decided:

      1. Will the Assembly accept the appeal?
      2. Will the Assembly hear the appeal itself or assign to a hearing officer?
      3. If the Assembly hears the appeal itself, will the Mayor preside, or will he designate a member as presiding officer?

This matter is before the Assembly sitting in its quasi-judicial capacity. Accordingly, members should avoid discussing the case outside the hearing process. With respect to this issue, the Appellate Code provides as follows:

CBJ 01.50.230 IMPARTIALITY. The functions of hearing officers and those appeal agency members participating in decisions shall be conducted in an impartial manner with due regard for the rights of all parties and the facts and the law, and consistent with the orderly and prompt dispatch of proceedings. Hearing officers and appeal agency members, except to the extent required for the disposition of ex parte matters authorized by law, shall not engage in interviews concerning the appeal with, or receive evidence or argument on the appeal from, a party, directly or indirectly, except upon opportunity for all other parties to be present. Copies of all communications with a hearing officer or appeal agency member concerning the appeal shall be served upon all parties.

 

Because this is an appeal, I have no recommendation on whether or how the Assembly should hear the appeal. After the Assembly has made its decisions on these issues, the Clerk will contact the parties and the presiding or hearing officer to notify them of the Assembly’s decision and to arrange for a pre-hearing conference or other proceedings.

 

  1. ADMINISTRATIVE REPORTS ON NON-AGENDA ITEMS
    1. Manager’s Report – Action Items:
    2.  

    3. Manager’s Report – Information Items:
      1. Tourism Advisory Committee Staff Support

2. Pothole Repair and Street Painting

3. Coastal Helicopters Claim

    1. Attorney’s Report:
  1. MAYOR’S REPORT ON NON-AGENDA ITEMS
    1. Revised Pending Items
    2. Unappropriated General Fund Unreserved Fund Balance
    3. Assembly Contingency Fund Balance
  1. COMMITTEE REPORTS ON NON-AGENDA ITEMS
    1. Committee Reports:
      1. Committee of the Whole
      2. Finance Committee
      3. Committee on Committees
      4. Human Resources Committee
      5. Lands and Resources Committee
      6. Public Works and Facilities Committee
      7. Assembly Strategic Policy Committee

     B. Board Liaison Reports

  1. ASSEMBLY COMMENTS AND QUESTIONS
  2. CONTINUATION OF PUBLIC PARTICIPATION ON NON-AGENDA ITEMS. (Not to exceed 5 minutes per person or 20 minutes total, whichever is less).
  3. ADJOURNMENT

Note: Agenda packets are available for review at the Juneau Public Library and the Douglas Public Library.

ADA Accommodations Available Upon Request: Please contact the Clerk’s Office 48 hours prior to any meeting so arrangements can be made to have a sign language interpreter present or an audiotape containing the Assembly’s agenda made available. The Clerk’s Office telephone number is 586-5278, TDD 586-5351, e-mail: Marian_Miller@mail.ci.juneau.ak.us.