Minutes of the Work Session

Denali Borough Assembly

Anderson School

July 14, 2002

 

CALL TO ORDER    Presiding Officer Jerry Mueller called the work session to order at 2:00 pm.

 

ROLL CALL               Assembly members present were: Jim Caswell, Jerry Mueller, Gerald Pollock, Carol Shields, Teresa Hall, Teresa Usibelli, David Talerico Sid Michaels, Jim Payne and Mayor Gonzales.

 

1.)   Ordinance 01-10, Version B, an ordinance amending the Denali Borough Charter, Article XI, Section 11.01, regarding a sales tax.  (Introduced by Assembly member Jerry Mueller)

 

MICHAELS asked the members of the Assembly if they are planning to have this as a proposition on the November ballot.  He said the Assembly must make sure the public is apprised of this proposal as far in advance as possible, or it may get voted down.

 

PAYNE said he would like the Assembly to wait and see where we are financially after the tourist season is over.  He also said if the need for more funds should arise, the Assembly should have a proposal waiting for voter approval.

 

Mayor Gonzales said the task force came up with their recommendation based on the needs presented by the School District.  He said the current revenue stream would not meet the needs of those projects.

 

TALERICO stated that he sees some developments in the borough that might change some of the structure of the borough.  He said the Railroad depot is expanding and the new Park Service visitor center.  He said these changes could extend the tourist season in the Borough.  TALERICO said he is very hesitant to propose a tax now that we might need in the future, and those funds would be spent now.  He suggested that the assembly be patient because we might be able to get by without additional taxes.

 

PAYNE said he is under the impression that the tourism business could be down as much as 20%.

 

Mayor Gonzales said he has spoken with several of the big hotel operators in the canyon and they told him their numbers are about the same as last year’s.  He said the Bed and breakfast and smaller hotels numbers are down.    

 

USIBELLI stated that she had called a number of businesses in the area and they budget for a 10% increase every year.  She said they feel that they are down about  15%. 

 

Discussion followed, and USIBELLI asked about figures comparing this year and last year’s revenues.  Mayor Gonzales said those figures are available in the office.

 

HALL requested that the discussion be directed back to the ordinance. 

 

2.)   Ordinance 01-13, Version A, an ordinance establishing a 2% general Sales tax within the Denali Borough.  (Introduced by Assembly member Teresa Hall)

 

HALL stated that in your packets there is Version B.  She stated there is a list of all of the taxable items in the ordinance, not just what is exempt.

 

MICHAELS asked about the section of the ordinance that addresses taxation of newspapers and magazines.  Discussion followed.

 

3.) Ordinance 01-12, Version B, an ordinance adding Title III, Chapter 22A, titled Excursion Tax to the Denali Borough Code of Ordinances.  (Introduced by Assembly member Scott Stowell)

 

HALL asked if this ordinance was amended to be sales tax.  MUELLER said no.

 

4.) Ordinance 01-07, Version A, an ordinance amending the Denali Borough Code of Ordinances, adding Chapter 22, pertaining to business licenses. 

 

There were no comments.

 

5.) Ordinance 02-07, Version A, an ordinance amending the fiscal year 2003 budget.

 

MICHAELS said this ordinance should be Version B. 

 

TALERICO stated that he has received several calls regarding the proposed increase to the mayor’s salary line item, and he plans to make an adjustment during the regular meeting.

 

Mayor Gonzales explained the proposed amendment as presented during the last meeting.  Mayor Gonzales said the Borough’s insurance increase would be an additional $4,300.  He said that line item would need to be adjusted during the regular meeting.  Mayor Gonzales recommended that the Assembly adopt this ordinance today once the changes have been approved.

 

USIBELLI asked if there is a 15% decrease in revenues, is the Mayor comfortable with this budget as presented.  Mayor Gonzales said he is comfortable, and reminded her that the revenues presented in this budget are just an educated guess.

 

CASWELL asked for clarification of the amendment to the assembly budgetary reserve line item.  MICHAELS explained the proposed changes.  Discussion followed.

 

6.) Ordinance 02-08, Version A, an ordinance creating Title IV, Chapter 27 of the Denali Borough Code of Ordinances providing for classification of Borough-owned land.

 

CASWELL said he objected during the last meeting because there was not a classification termed “unrestricted use.” 

 

PAYNE said all the land is this borough is classified unrestricted. 

 

MICHAELS said the ordinance says land “may be” classified not “shall be” classified.  He suggested adding an unrestricted classification and send this ordinance back to the Land Use Planning Committee for their review.

 

Borough Land Technician Gail Peiknik said that Section 3 of the ordinance, titled “procedural requirements”, might cover this issue.

 

MICHAELS said this ordinance states no land may be sold, leased or disposed of until it is classified.   

 

MUELLER said the Committee was tasked with providing the Assembly with definitions.

Discussion followed.

 

7.) Nenana Canyon Safety Project Discussion.

 

TALERICO said he is concerned because the Department of Transportation should be putting this project out for bid in the near future and the Assembly has not been given an update.  He requested that the DOT be present at the next meeting to provide the Borough with an update.   

 

Mayor Gonzales said there is a draft of their plan in the office. He said DOT plans to go out for bids on the project this winter.   He also said he will ask DOT to be in attendance during the next meeting.

 

MICHAELS stated that at one time DOT was talking about a traffic light in the canyon.  He asked if that was still in the plan.  Mayor Gonzales replied yes.

 

MICHAELS said he would also like an update on the project.

 

Healy  resident and Vice Chairman of the Adhoc Committee Charlie Loeb, said he too would like to have DOT attend the next meting and update the Assembly.  He said the real missing piece to get this project done is the management of the right-of-way (ROW).  He suggested that the Assembly call for a solution to that issue from the DOT. 

 

TALERICO suggested that the Assembly forward this ROW issue to the Land Use Planning Committee. 

 

ADJOURNMENT      MUELLER declared the work session adjourned at 2:45 pm.

 

 

 

Attest:                                                                         Approved:                                         

 

Date Approved: