City and Borough of Juneau
155 S. Seward Street
Juneau, Alaska 99801
tel. 907-586-5240
fax 907-586-5385
http://www.juneau.org

Assembly of the City and Borough of Juneau

ASSEMBLY AGENDA/MANAGER’S REPORT
THE CITY AND BOROUGH OF JUNEAU, ALASKA
Monday, February 13, 2012, 7 p.m.
Assembly Chambers – Municipal Building
Regular Meeting No. 2012-03

 

I. FLAG SALUTE

II. ROLL CALL

III. SPECIAL ORDER OF BUSINESS

IV. APPROVAL OF MINUTES

A. January 28, 2012 – Special Assembly Meeting
B. January 30, 2012 – Regular Assembly Meeting 2012-02

V. MANAGER’S REQUEST FOR AGENDA CHANGES

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

VII. CONSENT AGENDA

A. Public Requests for Consent Agenda Changes, Other Than Ordinances for Introduction

B. Assembly Requests for Consent Agenda Changes

C. Assembly Action

1. Ordinances for Introduction

a. Ordinance 2012-04
An Ordinance Authorizing The Manager To Execute A Lease Of A Fraction Of Lot 1, U.S. Survey 3853, Located At The West Juneau Reservoir Site On Douglas Island, To ACS Wireless, Inc., For The Operation, Maintenance, And Leasing Of An Existing Communications Tower/Facility.

Exhibit A

This ordinance would authorize the Manager to execute a lease to ACS Wireless, Inc. (ACS) for the purpose of maintaining, operating, and leasing an existing wireless communications tower/facility located at the West Juneau reservoir site on Douglas Island. The proposed terms and conditions of this lease are similar to those recently approved by the Assembly for the Atlas Tower lease, allowing for ACS to sublease while sharing the revenues from subleasing with the CBJ. The new lease document will update the rent and bring terms and conditions in line with current CBJ leasing practices.

At its February 6, 2012, meeting, the Assembly Lands Committee recommended adoption of the lease with changes. At issue was the desire by some members to initiate revenue sharing with ACS’s first sublease. Following the meeting, the Lands Division contacted ACS’s representative to determine whether ACS would agree to the proposed change. After reviewing the matter internally, ACS notified staff that it would agree to this term.

The terms and conditions include those reviewed by the Assembly Lands Committee, plus the subsequently-negotiated modified rent schedule that resolves the problematic issue addressed by the committee.

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

b. Ordinance 2012-08
An Ordinance Creating Local Improvement District No. 93 To Construct A Sanitary Sewer System To Serve Four Parcels Located Within The 2600 Block Near Roger Street On Douglas Highway, And Appropriating To The Manager The Sum Of $300,000 For The Cost Of The Project.

Exhibit A               Exhibit B

Four properties on Douglas Highway in West Juneau are not currently served by municipal sewer. When sewer was extended to the adjacent neighborhoods in the 1970s, this area was omitted. This ordinance creates LID 93 for the purpose of providing municipal sewer serving the property owners within the LID 93 boundary. The proposed assessment per lot is $2,750.

An informal poll was conducted of the property owners in this LID area. Out of a total of four, four responses were received. Four responded in favor, with none opposed.

Notices were published in the newspaper and sent to residents in the LID area so they would be aware that this ordinance will be introduced on February 13, 2012, with the Public Hearing scheduled for March 5, 2012. The notices informed property owners that they would have this opportunity to make their views known to the Assembly.

At this hearing, the Assembly shall hear objections from any owner affected by the formation of the district and may make changes in the proposed boundaries or in the plans for the proposed improvements. The Assembly may not change the boundaries of the district to include property not previously included without first giving new notice to owners in the manner and form and within the time provided for the original notice

The Public Works and Facilities Committee recommended this action at its February 6, 2012 meeting.

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

c. Ordinance 2012-09
An Ordinance Authorizing The Manager To Lease Approximately .22 Acres Of Municipal Property At Twin Lakes To The Alaska Department Of Fish And Game For The Purpose Of Using And Maintaining An Existing Structure For A Fish Pathology Laboratory
.

In 1987, the CBJ and ADF&G entered into a 10-year lease with three, five-year renewal clauses, for a fish pathology lab at Twin Lakes. The lease was authorized by Ordinance 87-01am. The lease rate was determined to be one dollar per year for the first 10 years, with further consideration that ADF&G maintain sport fish stocks in Twin Lakes at their maximum supportable level and undertake stock level surveys, habitat protection measures, and other support activities as may be necessary to aid these purposes. This lease is set to expire May 19, 2012. As the fish pathology lab continues to be an important asset to the department, ADF&G has requested a lease renewal.

At the January 23, 2012 meeting, the Lands Committee recommended that the Assembly authorize the Manager to enter into a 10-year lease with ADF&G for this site, with the option for three, five-year renewal clauses, and maintain the existing compensation and consideration to the CBJ.

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

d. Ordinance 2012-10
An Ordinance Providing For The Issuance And Sale Of General Obligation Refunding Bonds In The Aggregate Principal Amount Of Not To Exceed $19,000,000; And Providing The Form And Terms Of The Bonds And For Unlimited Tax Levies To Pay The Bonds.

This ordinance would authorize the issuance of not to exceed $19 million in general obligation bonds to refund CBJ’s 2003A and 2003B general obligation bonds. The bonds cannot be called until October 1, 2013, although we can move forward with defeasance, market permitting. The ordinance is being placed before the Assembly at this time to allow for maximum flexibility if market conditions start to move. It is the Finance Department’s intent to wait as long as possible in moving forward with the refunding to reduce or eliminate costs associated with defeasance. Although, even with the cost of defeasance of moving forward now, the net savings is projected to be $1.46 million. The ordinance being presented requires a net savings from the refunding of 4% of total debt service.

The 2003A bonds were authorized by the voters on October 5, 1999 and issued to fund a portion of the TMHS and JDHS. A portion of these bonds was later redirect to school facility major maintenance. The 2003A bond qualifies for state reimbursement under the State’s School Construction Bond Debt Reimbursement Program (7.3% at 60% and 92.7% at 70%). The 2003B bonds were approved by the voters on October 1, 2002 for a variety of capital improvement projects. It is estimated that refunding these bonds (both 2003A and 2003B) will save a minimum of $1.097 million over their remaining five-year and ten-year lives, net of the State’s reimbursement.

The bond issuance requires Assembly authorization, but it does not require voter approval. The final issuance of the bonds will require an Assembly resolution for the bid acceptance. The final savings will be reported at the time the bid acceptance resolution is presented.

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

e. Ordinance 2011-11(AB)
An Ordinance Appropriating To The Manager $600,000 As Partial Funding For The Aurora Harbor Replacement Capital Improvement Project. Funding Provided From Harbors Enterprise Fund.

The ordinance would appropriate $600,000 as partial funding for a new capital project to replace the Aurora Harbor moorage facility. This funding will be provided by the Harbors Enterprise Fund.

This project is a top priority of the Docks and Harbors Board. The harbor is in poor condition and in need of replacement. Due to funding limitations, the project would be phased over time consistent with funding availability.

This appropriation would fund the permitting, design, construction documents, bidding, advertising, and project administration of the first phase of the Aurora Harbor Re-Build project. Currently there is $3,450,000 in fund balance of which $1,500,000 has been identified as match for an ADOT grant for construction of Phase I for the Aurora Harbor Re-Build project. If approved, the available fund balance would be $1,350,000.

The Docks and Harbors Board recommended this appropriation at its January 26, 2012 meeting.

The Public Works and Facilities Committee recommended this action at its February 6, 2012 meeting.

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

f. Ordinance 2011-11(AC)
An Ordinance Appropriating To The Manager The Sum Of $225,142.51 As Grant Funding For The State Homeland Security Program; Grant Funding Provided By The State Of Alaska Department Of Military And Veterans Affairs.

This ordinance would appropriate a $225,142.51 grant for the State Homeland Security Program Grant. Grant funding provided by the Alaska Department of Military and Veterans Affairs.

These funds are slated to support the goals and activities of the City and Borough of Juneau through equipment purchases to enhance our ability to prepare for, prevent, and respond to, terrorist attacks and all-hazards events.

There is no match requirement for this grant.

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

g. Ordinance 2011-11(AD)
An Ordinance Appropriating To The Manager The Sum Of $36,680 As Funding For The Construction Of Trailhead Information Kiosks; Grant Funding Provided By The Alaska Department Of Natural Resources.

Examples              List of Sites

This ordinance would appropriate a $36,680 grant from the Alaska Department of Natural Resources to construct information kiosks at 20 CBJ-managed trails.

These kiosks would provide maps and information on trail conditions, including accessibility for individuals with disabilities.

This grant requires a $10,211 match, which will be met using existing staff, volunteer labor, and in-kind donations of materials and equipment.

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

2. Resolutions

a. Resolution 2601
A Resolution Expressing Assembly Support For The Juneau Coordinated Transportation Coalition's 2012 Addendum To The 2008 Transit Development Plan, Coordinated Human Services Element, To Be Submitted To The State Of Alaska Department Of Transportation.

Letter

In order to be eligible for federal funding of capital purchases, agencies that provide human services transportation must participate in coordination of their activities. The Juneau Coordinated Transportation Coalition, which represents and coordinates the efforts of groups including JYS, JAMHI, REACH, and CCS/Care-A-Van, is requesting that the CBJ Assembly endorse their funding priorities so that they may be eligible for federal funding.

I recommend this resolution be adopted.

b. Resolution 2602
A Resolution Authorizing The Manager To Enter Into An Amendment To The City And Borough PERS Participation Agreement To Include The City Manager Position.

The City and Borough Assembly has extended an offer of employment to a current PERS participant. This resolution would request from the State an amendment to the current CBJ PERS Participation Agreement contract to re-include the position of City Manager in the PERS retirement system.

I recommend this resolution be adopted.

c. Resolution 2603
A Resolution Expressing Assembly Support For Seatrails (The Southeast Alaska Trail System) And Its Mission For An Interconnected Trails System.

Request Letter

The resolution expresses assembly support for the SEAtrails program and its mission of promoting interconnected trail systems throughout Southeast Alaska.

I recommend this resolution be adopted.

3. Transfers

a. T-933, Transferring $50,000 From Areawide Drainage Improvements Capital Improvement Project To Flood Plain Mapping Technical Assistance.

Impact of Budget Action

The transferred funds would provide necessary funding for a new Capital Improvement Project to provide technical assistance with flood plain mapping for use with the ongoing FEMA flood mapping process. Concerned citizens and the Planning Commission have offered testimony about the draft FEMA maps. These funds will allow for staff to contract for technical assistance to assist on this issue. The CIP from which these funds are being transferred has a sufficient remaining fund balance to allow project completion.

The Public Works and Facilities Committee recommended this action at its February 6, 2012 meeting.

I recommend this transfer be approved.

4. Liquor Licenses

A. Liquor License Renewals

1. Beverage Dispensary License #3755: Tailwind Inc. d/b/a Hangar on the Wharf location: #2 Marine Way (Merchant’s Wharf)

2. Beverage Dispensary - Duplicate License #4797: Tailwind Inc. d/b/a Hangar on the Wharf/Ballroom location:#2 Marine Way, Suite #105 (Merchant’s Wharf)

3. Restaurant/Eating Place License #3733: Catapult, Inc. d/b/a Flight Deck, location:#2 Marine Way, Suite #128 (Merchant’s Wharf)

4. Restaurant/Eating Place License #851: Rodfather’s LLC d/b/a The Broiler, location: 8745 Glacier Highway, (Nugget Mall)

5. Restaurant/Eating Place License #1416: Taku Glacier Lodge Inc. d/b/a Taku Glacier Flightseeing/Salmon Bake, location: Taku River

6. Restaurant/Eating Place License #2812: Genuine Ventures LLC d/b/a Tracy’s King Crab Shack, location: 356 S Franklin St.

7. Restaurant/Eating Place – Public Convenience License #5006: Universe Cyber Lounge LLC d/b/a Latinos Restaurant location: 109 S. Franklin Street

8. Wholesale - General License #3166: Odom Corporation d/b/a The Odom Corporation location: 5452 Shaune Drive, Bay 1

9. Wholesale – Malt Beverage & Wine License #3166: Odom Corporation d/b/a The Odom Corporation location: 2266 Industrial Blvd.

10. Wholesale - General License #4943: Specialty Imports Inc. d/b/a Specialty Imports location: 540 W. 8th Street

The above-listed liquor license renewals are before the Assembly to either protest or waive its right to protest these renewals. The Finance, Police, Fire, and Community Development Departments have reviewed the above businesses and found them to be in compliance with CBJ Code. In the event the Assembly does protest one or more of the above mentioned liquor license renewals, CBJ Code 20.25 requires notice, with specificity regarding the nature and basis of the protest, to be sent to the licensee and provides the licensee an opportunity to exercise their right to an informal hearing before the Assembly.

I recommend the Assembly waive its right to protest the above liquor license renewals.

VIII. PUBLIC HEARING

A. Ordinance 2012-03(b)
An Ordinance Amending The Commercial Passenger Vehicle Code, And Providing For A Penalty.

This ordinance would make several changes to the Commercial Passenger Vehicle (CPV) Code as recommended by the Juneau Police Department. It would add a definition for “limousine services” to the code; allow the Administrator to reject an application for a CPV permit from any business that has unpaid CPV fines or fees; allow the Administrator to suspend the permit of any CPV driver charged with “criminally offensive sexual behavior” as defined in the Code; and reduce the penalty for operating without a certificate of public convenience and necessity from a misdemeanor to an infraction, with a fine of $300 per day for each vehicle so operating.

Version b makes changes to the definitions relating to limousine service.

I recommend this ordinance be adopted.

B. Ordinance 2012-05
An Ordinance Amending The Building Code Relating To Temporary Structures And Uses.

This ordinance would require that applications for temporary structures, intended to be used for commercial sales, submit certification to the Finance Department that the applicant is not delinquent with respect to any taxes, fees, or assessments due to the City and Borough.

I recommend this ordinance be adopted.

C. Ordinance 2012-06
An Ordinance Of The City And Borough Of Juneau, Alaska, Repealing Ordinance Serial No. 2011-31, Authorizing The Issuance Of A Nonrecourse Revenue And Refunding Bond (Wildflower Court, Inc. Project), Of The City And Borough In An Aggregate Principal Amount Not To Exceed $14,200,000; Authorizing The Execution And Delivery Of The Necessary Financing Documents In Connection Therewith; And Providing The Form And Terms Of The Bond.

This ordinance would repeal Ordinance 2011-31, which authorized the issuance of bonds for refinancing the Wildflower Court, Inc., Project. It is being introduced at the recommendation of the City Attorney because, after adoption of Ordinance 2011-31, it came to his attention that there is at least the appearance of a conflict of interest in the familial relationship between the CBJ Finance Director and the Administrator of Wildflower Court and, that this circumstance had not been explicitly disclosed to the Assembly. Accordingly, in an abundance of caution, and in light of the high standards expected of CBJ employees, introduction of this ordinance will give the Assembly the opportunity to cure that oversight, and, after an independent review of the merits, determine whether to go forward with the proposed bond refinance as adopted, or start anew.

I recommend a no vote on this ordinance.

D. Ordinance 2012-07
An Ordinance Of The City And Borough Of Juneau, Alaska, Reenacting And Authorizing The Issuance Of A Nonrecourse Revenue And Refunding Bond (Wildflower Court, Inc. Project), Of The City And Borough In An Aggregate Principal Amount Not To Exceed $14,200,000; Authorizing The Execution And Delivery Of The Necessary Financing Documents In Connection Therewith; And Providing The Form And Terms Of The Bond.

If Ordinance 2012-06 is adopted, repealing Ordinance 2011-31, this ordinance would authorize the same refinancing as was proposed in Ordinance 2011-31 as outlined below:

This ordinance would authorize the issuance of up to $14.2 million in non-recourse revenue refunding bonds for the benefit of Wildflower Court. These bonds would refund non-recourse revenue bonds issued by the CBJ on behalf of Wildflower Court in 1999. The original $18 million in CBJ conduit debt was issued by the CBJ on August 1, 1999, pursuant to Ordinance 99-13. The amount being refunded is $13.05 million. The new bonds will result in an estimated net present value savings of $4.2 million over the remaining life of the bonds. In addition, the new bonds will provide up to $1 million in additional funding to install a kitchen, carpeting, facility improvements, and software and hardware upgrades.

The new bonds would be issued through the Alaska Municipal Bond Bank Authority (AMBBA) to gain the maximum refunding benefit. The term of the new issue will not change. Wildflower Court is pledging its revenues to the repayment of the (conduit) revenue bond debt. Wildflower Court has met its debt service obligations for the past 11 years, and the new bond debt schedule will mesh better with Wildflower’s projected future revenues (State Medicaid funding). However, using the Bond Bank does increase CBJ’s risk exposure, in that the AMBBA will require the standard revenue intercept provision. If Wildflower Court fails to meet the debt service requirements, the State could enact the revenue intercept provisions to withhold state payments to the CBJ. To protect the CBJ’s interest, there will be an indenture agreement that would secure the debt by a pledge of the facility.

When issuing tax-exempt bonds for nonprofit third parties, there is a requirement that the public have an opportunity to comment on the use of tax-exempt conduit debt. The CBJ held the required Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA) hearing. (TEFRA hearing was conducted on December 28, 2011). There were no public comments received.

Included in the packet is a letter from Shawn Morrow, Bartlett Regional Hospital’s Chief Executive Officer, in support of the bond-refinancing proposal. Wildflower Court works in collaboration with Bartlett Regional Hospital to provide services for individuals being discharged from the hospital. Wildflower Court is a facility that provides services for adults who require constant skilled nursing services following an injury or acute illness and for individuals who have significant physical or mental disabilities that cannot be managed in a home care setting. Approximately 63.3% of Wildflower Court’s admissions come from Bartlett Regional Hospital.

I recommend a no vote on this ordinance.

E. Ordinance 2011-11(AA)
An Ordinance Appropriating To The Manager The Sum Of $41,156.26 As Additional Grant Funding To The Juneau Police Department For Upgrades To The Radio Dispatch Consoles. Grant Funding Provided By The Alaska Department Of Military Affairs, Division Of Homeland Security.

This ordinance would appropriate an additional $41,156.26 from the Alaska Department of Military Affairs, Division of Homeland Security, for the purpose of upgrading the Radio Dispatch Consoles, located at the Juneau Police Department. This funding is in addition to the original $600,000 grant appropriated in FY11.

I recommend this ordinance be adopted.

IX. UNFINISHED BUSINESS

X. NEW BUSINESS

A. Regulations - Amending Commercial Passenger Vehicle Regulations.

Comment Received               Comment Received

B. Liquor License Protest Recommendation

1. Beverage Dispensary License #648: YC Baranoff LLC d/b/a Bubble Room – Westmark Baranof location: 127 N. Franklin St.

2. Beverage Dispensary License #673: Peterson Pacific Holding Inc. d/b/a Louies Douglas Inn location: 915 3rd Street, Douglas

3. Restaurant/Eating Place License #4192: Seong S. Kim d/b/a Seong’s Sushi Bar & Chinese Takeout location: 740 W. 9th Street

CBJ staff is in the process of reviewing liquor licenses for the 2012 renewal cycle. Alaska Statutes 04.11.480 provides for the local governing body to protest the renewal of a liquor license if there are grounds for a protest by the local governing body.

The Finance Department is recommending protest of the above-listed licenses based on the circumstances outlined in each of the letters to the licensees as found in your Assembly Human Resources Committee (HRC) packets. The HRC reviewed the above licenses at the meeting earlier tonight, and will be forwarding its recommendations to the Assembly for action.

Each business shall be provided an opportunity for an informal hearing before the Assembly if they request it. If they do request the informal hearing, it should be conducted at this time.

I recommend the Assembly protest or waive its right to protest based on the recommendations being forwarded by the Assembly Human Resources Committee.

XI. STAFF REPORTS

XII. ASSEMBLY REPORTS

A. Mayor’s Report
B. Committee Reports
C. Liaison Reports
D. Presiding Officer Reports

XIII. ASSEMBLY COMMENTS AND QUESTIONS

XIV. CONTINUATION OF PUBLIC PARTICIPATION ON NON-AGENDA ITEMS

XV. EXECUTIVE SESSION

XVI. ADJOURNMENT

Note: Agenda packets are available for review online at www.juneau.org.

ADA accommodations available upon request: Please contact the Clerk’s office 72 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: city_clerk@ci.juneau.ak.us



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