Kodiak Island Borough Livestream

Yes. Mr. Smiley? Yes. Mr. Whiteside? Yes.

Mr. Woods? Yes. Mr. Ames? Yes. Would anyone like to change their vote?

Motion passes unanimously.

Thank you. Next is ordinance number FY 2027-02.

Receiving the 2026 certified real and personal property tax roll, levying ad valorem property taxes for the tax year 2026 consisting of an area-wide tax, Women's Bay Fire Protection Area tax, a Women's Bay Road Service Area tax, a Bayview Road Service Area tax, a Fire Protection Service Area Number 1, a Minashka Bay Road Service Area tax, a tax on Service Area Number 1 roads, a Woodland Acres Streetlight Service Area, a Service Area Number 2 tax, an Airport Fire Protection Service Area Trinity Island Street Service Light Area Tax and a tax in the Mission Lake Tidewater Service Area, levying a non ad valorem commercial aircraft tax, providing for the collection of taxes due in 2026, and setting the date when taxes become delinquent. Move to adopt Ordinance Number FY 2027-02. Second. Thank you. Staff report, Madam Manager.

Thank you, Mr. Deputy Presiding Officer. This ordinance acknowledges the receipt of the 2026 Certified Real Property and Business Property.

It levies our ad valorem and non ad valorem real and personal property taxes for tax year '26, and it sets the dates when taxes become delinquent. This ordinance partners with the annual budget appropriation ordinance that we just passed. This is the ordinance in which we will start looking at those options for the mill rate and find out how we want to deal with the different choices for MAPTR. And so when we get to that part, I'm happy to answer questions for you. MILLER] Thank you.

And with that, we will open the public hearing. Local number 907-486-3231, toll-free 1-855-492-9202. For those in the room who wish to speak, please sign in and state your name for the record, turn on the microphone before speaking, address all remarks to the Assembly as a body and not to any member thereof. If calling in, please turn off any listening devices to prevent feedback.

Okay,. I am going to close the public hearing and open up for Assembly discussion. Mr. Johnson. Move to amend. The resolution.

Sorry. I got it right here. To include a total mill rate of 9.15 and move the remaining $475,981 to Fund 201. Is there a second? Second.

There is a second. Assembly discussion? Mr. Johnson. Thank you. This amendment is about balancing the budget as much as it is about supporting the school district.

I think everyone here is well aware of my position on MAPTR. I'm not a fan of it. I believe the word is.

The Borough Manager's responsibility is to present a balanced budget within the framework provided by the assembly. The assembly's role is to then determine if that budget meets the priorities and taxation tolerance of our community. Through partnership and negotiation, a budget is passed. That is the core duty of an elected body. By relying blindly on MAPTR, this assembly has abdicated that representative responsibility to a rigid formula.

Many of my fellow assembly members have talked recently about negotiation. The original MAPTR agreement was a negotiation. In exchange of a small predictable revenue increase for a reliable tax regime. The agreement was that the assembly would abstain from massive volatile tax hikes year to year and in exchange take a small steady percentage increase to stabilize revenue over time. I absolutely can't appreciate that logic.

When we built the school district's budget 2 weeks ago, we didn't wait for the final MAP to numbers. I argued this was a mistake and tonight shows in my opinion why. We know the revenue target we're supposed to collect in accordance with our agreement with the community. Yet the budget before us fails to collect that amount.

Absent, uh, with a lower mill rate. While I personally favored a larger school district budget, I deeply appreciate the concerns brought forward by my colleagues during our debates. Nearly every single member mentioned the critical need to have contingency fund in place for future unknowns. Let's be clear, by failing to collect the full MAPTER amount tonight, we would be voluntarily eliminating nearly $500,000 in revenue-generating capacity in next year. I fundamentally agree with the philosophy that we don't— if we don't need the taxpayers' money, we shouldn't collect it.

That's not how the MAPTA agreement is structured. If we're going to keep the system intact, we must collect to the cap. And yet, if any of the economic contingencies that we were worried about at the last meeting actually happen, that $500,000 deficit is permanently wiped off the top of next year's starting baseline. We cannot recover it. The reason I'm advocating these funds go to the school district is simple.

My colleagues for certain that My colleagues felt that certain areas were underfunded. Those adjustments were made at the last meeting.

I can appreciate and respect the decisions that were made, but now we find ourselves with approximately $446,000 remaining that must be budgeted simply to protect the revenue baseline for next year. Because the school district line item was only one reduced by this body, to me the most logical, logical, impactful place to restore the funding would be back to our schools. Thank you for your time, and I appreciate your consideration. Thank you. Mr. Gardner.

Uh, sorry, I'm going to disagree with my colleague here. Um, everybody knows I, uh I would like to see our taxes go lower and lower. I'm going to be in favor of our lowest option on the table here, uh, though I doubt we're going to get that far. Maybe we can find some kind of compromise in light of the idea of sending that additional revenue to 201 school district or education funding. It came to my attention today that I believe it was Monday there was a school board meeting, and there is a recording.

That approximately $900,000 was cut from their budget and they were able to find quote-unquote inefficiencies. No positions were cut from the school district and they were able to find that money inside of their budget. I think that we overfunded the school district, and again, I'll say it over and over, the borough, the school district, and the city all need to tighten their belts. So I definitely would not support this.

Thank. You. Mr. Smiley. I'm most worried about next year, and if we don't get the full amount for MAPTR, then we are— at least there's the threat of problems next year. What we've seen over the past few years is the state winnowing down the amount of money that it gives to various functions, municipalities within the state, and And those have been sometimes pretty extreme, uh, when they failed to support, uh, the new high school bond.

Bond debt. That was a real big one. I don't want to see us without funding and have to cancel and vote MAPTR out. So I would prefer to do Option C here. I do think that the idea of cutting taxes has been around since Ronald Reagan.

That's 40 goddamn years— pardon my French— that we've been cutting taxes. There's not a whole lot left at the school district. We're not just cutting fat, we're cutting bone. All right, and this is a big deal for them. I think we need to— I agree with my colleague here that we need to put the excess money into the school district's budget.

I think we need to help them out. They're a government that we were created to support, and we have failed to do that this year. In the means that we should have done it. In other words, I'm in favor of.

In favor of Option C. Thank you. Thank you. Mr. Woods. Yeah, I got to admire Assemblymember Johnston's constancy here.

It's, uh, you have been extremely consistent, and I think that is highly admirable and, like, honestly respectable. I can't support this. I'm much more a fan of Option B. I think we need to put some money towards facilities maintenance. I do agree that this— it's okay for him. I do think that we overfund the school district to a degree.

I don't think it needs to be as drastic as what some of the proposals were. However, that's just kind of where, after listening to the testimony given by a wide number of people, talking to shareholders, this is where I'm going to fall. Thank you. Mr. Ames. Um, I just like raising it the full 9.15, um, as Assemblymember.

Jeremiah said he was in favor of A, but realized there would probably be a compromise. And I think we are going to have to have a compromise somewhere between A and C. I am— that leaves choices B and D, and I would be in favor of B. Thank you. Thank you. Mr. Johnson.

I just wanted to offer a point of clarification on, on my proposal. It doesn't take any money whatsoever from any account. Everything we funded last week remains in place. All this does is collect the amount of revenue authorized by the borough to collect, and all I'm trying to do is preserve that ability to collect it the following years, because if it's not collected, your budget starts half a million— your cap starts half a million lower the following one year. And with pool and all these things that.

That we keep talking about needing to make sure we have money for, not collecting revenue. And again, if MAPTR wasn't in place, it wouldn't be an issue. But with MAPTR in place, if we don't collect that revenue, we can't next year. So I think it's a poor decision not to collect the revenue authorized by MAPTR. Thank.

You. Mr. Gardner. I'd like to make the clarification that I would like us to not collect the full amount. I would really like to see Option. D as a compromise.

But we're going to run around in circles here, so at some point perhaps we should consider calling the question. Thank. You. I'll weigh in here. So I appreciate the discussion, and I am sensitive to the MAPTR component of our budget.

However, as far as this amendment, I can't support either. I still feel the amount budgeted for the school district was appropriate.

Especially in light of recent events where the school district stated on record during the most recent Board of Education meeting that $900,000 in budget efficiencies were discovered. So I won't be in support of this, but certainly open for discussion for the other options. Any further. Discussion?

Mr. Johnson? Yes. Ms. Roberts? No. Mr. Smiley?

Yes. Mr. Whiteside? No.

Mr. Woods? No. Mr. Ames? No. Mr. Gardner?

No. Would anyone like to change their vote? Motion failed, 5 nos, 2 yes.

Thank you, Madam Clerk. So, uh, the original motion is on the table.

Do we have another motion to consider? I have one. If not, Mr. Gardner. Uh, move to amend to adopt Option D. Do we. Have a second?

I'll second. Okay, we have a second. Assembly discussion. Mr. Gardner, would you like to start us off?

I ran on wanting to lower taxes. I believe, uh, I'll say it over and over again, we got to tighten our belts. I want to see taxes go down. My family's back is breaking. We were going to move from here, um, just this past winter because we're just watching it go up and up, and it's harder and harder to run a business and, and to get by.

And, um, That's where I stand. I want to see it go down, and I want to see us tighten our belts. So I just want to see what the assembly thinks on this option. Thank you. Miss.

Roberts,. Question. Did you say.

B as in boy or D as in dog? D as in dog. Okay. So. We are looking at option D, which is— would set the mill rate at 8.75 with a slight modification.

Madam Manager. Thank you, Mr. Deputy Presiding Officer. Last week I was very excited to get those raises added into the MAPTR calculation. In my exuberance, I added in $67,015 that should have not been added because not all of our salaries are from the general fund. Some are from the landfill fund, some are from buildings and grounds, etc.

And so I have updated Option D, and so I have— it's still the same mill rate, 8.75, but I have a new handout for you so that the rest of the numbers are correct. Great, thank you.

Thank you.

Allow a minute for folks to digest this information. So to keep that mill rate at 8.75, you'll see that, uh, the facility's maintenance or the R&R money went from $320,000 to $380,000. That would be where the main difference is on those sheets.

Thank. You. Mr. Woods. I really enjoy working with all you guys. It's.

A,. It's a blast. The, uh, you guys are.

I think, uh, have a— show a great deal of integrity in your positions, and I really do appreciate that. I like knowing where people stand. I can't support this. I seconded the motion specifically to bring it to the floor. I want the discussion.

I like hearing different points. I think this is leaving just a little too much on the table. I would love to lower taxes. However, I don't think that's in our best interest at this point to do so. I'm going to end up supporting Option B, uh, and maintaining our mill rate.

Thank you. Thank you.

Any further discussion? Yeah, I would like to weigh in on this one as well. I support Option D. My logic behind supporting this option is this budget is balanced. It provides continuity for all borough services. Represents an $800,000 increase in school funding, and it also increases our MAPTR capacity.

Capacity by approximately $500,000 for next fiscal year. So given that we are budgeting efficiently while still providing services to the community, I'm reminded of all of the recent increases our community is having to absorb. KEA raised their electric rates by 12.5%. The city of Kodiak recently is entertaining— and it may— I'm not quite clear if they've adopted it yet, but they are looking to increase the water and sewer rate by 5%. We've all been to the gas pumps lately.

We've all been to the grocery store. Everything is getting more expensive. We're getting squeezed from all directions. Our community can't take a whole lot more. We have folks— my neighbor is looking to leave the island.

He is a realtor, was there yesterday, asked why. It's getting too expensive. Folks are getting squeezed out of our community. So I agree with Mr. Gardner, this mill rate represents balanced budget Increase capacity from after next year, not quite to the extent some would like to see, but.

Thinking about just basic inflationary increases, it allows for that from fiscal year to fiscal year. So I think this is a reasonable proposal, and it also provides some relief to our community with the mill rate.

Further discussion? Okay. Roll call vote on the amendment, please, Madam Clerk. Miss Roberts. Yes.

Mr. Smiley? No. Mr. Whiteside? Yes. Mr. Woods?

Yes. Mr. Ames?

Yes. Mr. Gardner? Yes. Mr. Johnson? No.

Would anyone like to change their vote? Motion passes with 5 yes 2 nos.

Thank you. And point of procedure, Madam Clerk, do we reopen for discussion for other amendments?

Or do we? If you want to, yes. Any further on the main motion now? Thank you. As amended.

Any further discussion?

Okay, roll call vote please on the motion as amended. Madam Clerk. Mr. Smiley.

No. Mr. Whiteside. Yes. Mr. Woods. Mr. Eames?

Yes. Mr. Gardner? Yes. Mr. Johnson? No.

Ms. Roberts? Yes. Would anyone like to change their vote? Motion passes with 5 yes, 2 no. Thank.

You. Next item on the agenda is the borough manager's report. Madam manager? Sorry, may I have a moment to actually update this? Um, the ordinance so you guys can see the finished ordinance before we move forward.

Sure. Um,.

Would you like a. Recess? Yeah, that's a 5-minute break. Is that plenty of time? 10.

Let's go 10. All right, thank. You, Amy.

Done. It's bittersweet. I mean, when I was in Juneau over the winter, meeting with the legislature, even though I decided to go aboard the other crew, I don't know, I felt abandoned. Thank you, Mr. Rose.

We'll find a rental. Yeah, we will. Stay. She's a lady.

I think it's wise. Either way, in, in Moscow, there was so many, so many people, so many people, there's so many people, and I think that's why it's important to show international relations that we should be engaged in. And this is a great opportunity to do that. I think that's a great opportunity. I think that's a great opportunity.

I think that's a great opportunity.

I don't like things. That's probably it too, because I know the people that'll fix it. You won't be fixing it, you'll just be telling— Yeah, I'm just gonna call Shane. Shane, I broke the door, can you fix it? It's fine.

Maybe you just have to get a new cat.

What are we doing? She's right. Oh, that's right, you wanted me to do this stuff. I—. Yeah,.

I just— you passed it, but like I saw the exit in it, and so that hurt, that hurt my brain, so I did it like every time. Everything's fine. Okay. I just wanted it to be done. Why is my expert so downstairs?

Got it. I want that screen. That's funny, it looks like the universe is screwing on me.

Okay. Welcome back. So we are going to resume our agenda with the Bureau Manager's Report. Madam Manager. Good evening.

Our current recruitments are projects assistants where we received an in-house application this week and we are still looking for our LTP supervisor, but we have someone on temporary assignment until June 30th. Also, our project manager started this week. Patricia Valerio was promoted into project manager, so she started on official— she's not in here. I was like going to clap. She officially started on the first day of the pay period, so she officially started on Sunday.

So congratulations to Patricia. Our last in-person negotiation session with the union was on the 26th and 27th of May. We're going to finish it out from a.

Distance. We're currently reviewing the latest proposal from IBEW. We are very close. That should hopefully wrap up next week. The Alaska Department of Environmental Conservation was here this week to check on our land farm at the landfill.

The inspectors got a good look at the process the landfill staff is using to keep the land farm dry, and later in the report there's some pictures of the wet and dry version of that. Project Manager Valeria has been working to update our compliance by consent agreements with ADAC. Ahead of our environmental services contract kicking in and the start of our environmental specialist in July. The Kodiak Island Borough School District had a going away event for Dr. Micka on Tuesday. Assemblymember Smiley, Mayor Griffin, and I were able to attend to wish her well.

It was well attended and a very nice event. Uh, YMCA Kodiak had a ribbon cutting event yesterday. Uh, congrats to Erica Blondin and her staff on the success from the school year and their upcoming plans for summer care. The City of Kodiak and the Kodiak Island Borough are making a pitch to the Coast Guard next week to explain why Kodiak would be a good home port for future icebreakers. Mayor Griffin and I met with the City of Kodiak.

Kodiak representatives in our federal lobbyists to go over our game plan this week on Tuesday, and we'll be doing that early next week. I attended the board meeting at the Women's Bay Service Area to update them on the PEL study for the Russian and Sergeant Bridge replacement, which was very timely because that road flooded and flooded hard this week. Sergeant Creek was underwater for almost 2 days. Assemblymember Roberts also attended to discuss the deterioration of South Russian Creek Road, and I say that mildly. Deterioration is not quite the right word.

You need to be a race car driver to make it around all the potholes. But I'm happy to let everyone know that it looks like Brecken is going to start their plant tomorrow. They have one project to do before us. On the next dry day after that project is done, South Russian Creek is on the agenda. Our proposed nonprofit funding schedule is in the— nothing has changed from our discussion last week, although we will be making changes to that form to limit the word count, so you have.

Less things to review when those applications come in. In Community Development, there will be a work session on June 10th. They will be discussing proposed future land map for Plan 2045, and the Commission will help staff with some policy questions for certain areas of the map. In Packet Review, the Commission is going to be looking at a conditional use for the Native Village of Carlec for changes to the current water treatment system, which includes a new water storage tank. The regular meeting will be held on June 17th.

There are no updates to the Finance Department this part of the year. They just go steady. They're getting ready for their interim audit in the end of June. In assessing, uh, in summer of 2026, we have a report due to the state of Alaska on July 1st, and the properties that will be reviewed are inside of the city, city of Kodiak this year. Exemption updates, we have timely filed exemption applications for the Kodiak Maritime Museum, the Kodiak Masonic Masonic Temple and the Calvary Baptist out in Bell's Flats.

Women's American Baptist.

Curtis Home Mission Society was asked to amend their application. They denied, and the exemption for the building that they were applying for will be removed for 2026. Exemption appeals for the Alutiiq Heritage Foundation— they're getting a little bit confusing, so I reordered them. We have appeals for '23, '24, and '25. '23 Is stayed until we get '24's appeal case.

'25 Is on hold until we get the '24 appeal case. And if it doesn't come out soon, I will be adding 2026 to that list as well. And so hopefully we get an answer on 2024 soon. Also, we have not heard from the Alaska Supreme Court about our case with CANNA. Um, for those of you who weren't on the assembly, we went up to Anchorage and we heard that case in December of 2024.

And so we are, um, more than 18 months out waiting for that decision. We are still continuing to have some issues with the Tyler conversion assessing staff and Tyler continue their meetings. We're hoping to have a go-live date for July.

By 31st for commercial properties. In IT, they are working on upgrading systems at the Leachate Treatment Plant to improve remote access for the monitoring systems as we have new staff members learning how to monitor from home and taking on those duties overnight. They're also working with Koniak Cyber to mount switches and firewalls in the KIV offices. So it's not— they're getting to actually install hardware. So they're really happy with that.

Engineering Facilities, the IPA, the installers for our seawater pumps are scheduled to arrive arrive on June 7th and begin work on June 8th. We had some additional issues at the hospital with the elevators. Elevator number 2 had a hydraulic jack failure. We have a quote from TKE for $33,284.45, and as much as I tried, that was not in the scope for the modernization project. So this will be a new project that we take on and get number 2 back into service.

As you heard from other assembly members today,.

Solid Waste Contract Committee met to finalize the RFP draft and approve it for advertisement. We have one tweak that we're going to make, and that committee will vote on surrounding recycling. Once that is done, that'll be ready to go out on the street. For fuel spill assistance and landfill soil remediation, ADC was here. I mentioned that earlier.

And then there's a couple of pictures in there. You can see what the landform looks like. The picture on the left is from today, and the picture on the right was from Tuesday. So ADC saw something very different on Tuesday than what it looked like today. Our plan out there is they just till that.

They're actually moving it around with a machine. Um, hopefully all the sunny days that we have, it will remain uncovered. And so the fuel contamination just evaporates with the heat. And then, uh, we will continue to test that. And then when it is done, we get to take that land farm apart.

Our building automation systems, we are doing work on both the KFRC and the admin building. We've talked about that, um, having Long here, uh, for our building, and RESPECT is going to be on Island June 9th and 10th for the on-site evaluation for the KFRC. We are working on the East Elementary roof hazardous material testing that was awarded to EMI. We don't have a schedule from them yet, but it will be done by the end of the summer. That will allow us to continue to the design on East, which is really important for the school district because we're trying to to move that up higher on the CIP list for them.

Port Lion School painting project, uh, that is on the agenda tonight for award. We had a pre-bid meeting for the removal of the underground storage tank at the annex building. Mill Bay Beach stairs and picnic tables are underway, and the Leachate Treatment Plant citric acid dosing skid replacement, we are working on installing that. They're continuing to have problems, so the timing is really good. We also are working on a roof warranty for this Bildung.

, Our contractor is on island, but we're trying to get fit into their schedule. Upcoming contracts are Environmental Services, the facilities, road maintenance, and snow contract. There's a pre-bid meeting this week. There were 4 contractors who came. Our janitorial contractor, there was a pre-bid meeting on the 20th, and there were 2 contractors there.

In our landfill surveying contract, we issued a professional service agreement with Kodiak Land Surveying, and we just got their insurance requirements in today. Upcoming meetings on next Tuesday will be HFAB at the hospital in the barometer conference room, and there's ARB we're going to try to hold at the end of June. And that is all I have for the manager's report tonight, and I'm happy to answer any questions. Thank you. Mr. Smiley.

Um, my memory is that we were supposed to adopt Tyler last September, and it's taken until June, and we still have some issues with of that.

Why? What happened?

Did we pick the. Wrong. Computer program? I don't think we picked the wrong computer program, Mr. Smiley. I think that our conversion was a lot harder than what they're used to.

We have been on an antiquated system that has been limping along for years. In order to make that system work, I think the old company made modifications that did not just— in the perfect world, we would have just been able to take all the data from our old system, send it over to the new system, and put it in, and then we customize the forms that come out of it.. And it just was not that simple. We had personnel changes in IT between the people who ran that data and then hiring in a new IT director who wasn't as familiar with the datasets. And so you just perfect storm all of those things together and it's taking longer.

There have some— been some very frustrating moments as we've come up to deadlines and we're like, we need.

I need this no later than this date, and they'll be like, okay, you'll have it that day. And we're like, ah. So we're trying to avoid that and work really hard so we can get levy out, because obviously sending out tax bills on July 1st is part of our state requirements. And so we are nervous about that, but they have a whole dedicated team. We have a whole dedicated team.

Sima and her team have worked nonstop on the assessing side, and Dora and her team, mostly Sue Zimmerman, have been— Sue almost works entirely on this conversion.

We have a backup plan in the event that Tyler doesn't work for Levy because we have kept that parallel system for Harris this whole time. If that doesn't— if Tyler doesn't work, we'll be trying to pull away from Tyler really fast after Levy because then our— their system is useless to us. So are. There other communities that have different programs.

That might be better? I mean—. I'm sure there are. A lot of the blame can go. To the old system we had.

Right. Which had been. Patched. Any number of times in odd ways. I understand that.

There are a lot of different software companies that do this. We talked to a lot of communities in Alaska that already had this, and there are a lot of very successful communities, but there are other communities that are suffering through this process just like we are. But once we get to the goal line, I think all the bad memories will fade away and we will all be used to it and we will be off. It has been more painful and more of a— just a longer process than we anticipated for sure. BRYANT] Thank.

You.

Any other questions for Manager Williams? Manager Williams, if possible, when we resume meeting towards the end of this month, if we could insert some periodic reports for that software— I don't remember the name.

Software for reporting short-term rental, uh, short-term rentals in the community. Absolutely. Thank you. Okay, next item on the agenda is messages from the borough mayor. Mayor Griffin is off island representing the borough, um, at the Alaska Municipal League, so we will move on to contracts.

First contract is contract number FY 2026-57, Approval of Port Lions School painting with Kolea Painting Services. Mr. Smiley, uh, move to. Authorize the manager to approve contract number FY 2026-57, approval of Port Lions School painting with Kolea Painting Services in the amount of $143,000. Second. Thank you.

Staff report, please, Madam Manager. Thank you. Staff issued an invitation to bid for this contract on April 16th, advertised for the designated 3 weeks per KIB Code 3.30.040, and bids were due on May 21st. There was a mandatory pre-bid meeting on— held on May 12th, and there were 6 contractors in attendance. At the bid opening, staff received 1 bid package.

Following the review of the bid, staff determined Kalea Painting Services to have a complete bid package and is the lowest cost responsible responsive bidder. This also had a rough order of magnitude guess at $250,000, so we were pleasantly surprised to see it come in at $143,000.

Thank. You. Assembly discussion? Okay, seeing none, roll call vote on the motion, please, Madam Clerk. Mr.

Whiteside. Yes.

Mr. Woods? Yes. Mr. Ames? Yes. Mr. Gardner?

Yes. Mr. Johnson? Yes. Miss Roberts? Yes.

Mr. Smiley? Yes. Would anyone like to change their. Vote? Motion passes unanimously.

Thank you. Next is contract number FY 2027-01, authorizing the manager to enter into a lease agreement with Shunak Tribe of Kodiak for the space in the North Star Building. Move to authorize the manager to enter into contract number FY 2027-01 approve a lease agreement with Shunak Tribe of Kodiak for space in the North Star Building. Second. Thank you.

Motion has been seconded. Staff report, Madam Manager. As you know, we have a request to lease a wing in the North Star Building to expand preschool and early childhood programming. Staff members have worked cooperatively with representatives of the Shunak.

Tribe to draft a lease in accordance with the needs of the tribe and the direction of the assembly. That's in front of you tonight, and JJ is here tonight if there happens to be any questions about what their needs are. In addition to that wing, they are also looking at renting the library space as well, and as we talked about last week, we will be considering the playground space a common area, so they will absolutely have access to, to that. And we have ordered some signs to place around that area that say, you know, no dogs, clean up your waste, that kind of stuff, to help mitigate the circumstances that we have been experiencing without anyone in that building.

Great. Thank you. Assembly discussion. Ms. Roberts. I just.

Wanted to say I am really excited that the lease is here and we are able to vote on it tonight.

Thank you. Seeing no others, roll call vote on the motion, please. Mr. Woods? Yes. Mr. Ames?

Yes. Mr. Gardner? Yes. Mr. Johnson? Yes.

Ms. Roberts? Yes. Mr. Smiley? Yes. Mr. Whiteside?

Yes. Would anyone like.

Changed their vote. Motion passes 7-0. Thank you. Next item on the agenda, resolutions. First up is Resolution No.

FY 2026-16, authorizing land sale of a portion of USS 3465 Lot 1A-4 and establishing terms and conditions.

I'm not sure where we are. This would. Be, uh, item 2 under resolutions, page. 5. Of 7.

Uh,. Move to adopt resolution number FY 2026-16.

Second. Motion has been seconded. Staff report, please, Madam Manager. Thank you.

Proposed resolution would allow me to subdivide a portion of the subject property into 4 lots as shown in the draft plat and is attached to the resolution, rezone the 4 lots to— from the PL District to the R-2 District, and conduct the land disposal of the property through a sealed bid auction. From last week, we have updated line 82 to add the letter T to the word first. Director French is here tonight to answer any questions. Additionally, there is a memo that you received via email, and it's printed out in front of you tonight from our assessor. And if you are listening online, it is available in the supplemental materials.

Also, the assessor is here tonight if you have any questions about her comments on this. Thank you. Assembly discussion and/or do we want to hear from Director Garoutte? Mr. Woods. I was just going to make a move, an amendment in accordance with the language that Ms. Garoutte provided, but I will take a stab at it if we are willing.

Move to amend Resolution No. FY 2026-16, lines 174 and 175, removing the language, quote, "a period of 5 years from the date of closing," and changing that to, quote, "until a certificate of occupancy is received from the Building Department or the property becomes the owner's primary residence and permanent place of abode, not to exceed 36 months after construction commences.". Second. Okay, moved and seconded. Assembly discussion.

Mr. Johnson. I just wanted to say how much I appreciate the work the assessor's office put into this. It's, um, it's a sign of good governance when the elected officials want to see something accomplished and staff are comfortable in saying, yeah, what you're trying to do might not work, but here's something you can do that will work. Um, so I just can't say how much I.

I appreciate the effort that went into that. Likewise, in my conversations, I'm certainly not going to take credit, but I think it was suggested, and I think it's a great idea that we consider extending this to all land sales in the borough so that other people, you know, private land lots can experience the same tax benefits of getting a break during construction, so it's not just borough lots, but that would probably be an effort for another time. Thank you. Thank you, Mr. Woods. Yeah, I just wanted to thank Seema, I mean, for doing the extra work.

I don't know that anybody really tasked her with this, at least I hadn't heard about. It. And thank you for bringing the information to us in an easily digestible and generally easy-to-follow manner. I just really—.

Evidence of excellent staff.

Thank you. Further discussion?

I will be supporting this amendment as well. I think this makes a reasonable compromise, not even necessarily a compromise, but just achieves our goal, but also puts some bookends on it. So the language makes sense to me, so I will be a yes vote on this one. Okay. Roll call vote.

Roll call vote on the motion to amend. Mr. Ainsworth. Yes. Mr. Gardner. Yes.

Mr. Johnson. Yes. Ms. Roberts. Yes. Mr. Smiley.

Yes. Mr. Whiteside. Yes. Mr. Woods. Yes.

Would anyone like to change their vote? Motion passes unanimously. Okay,. The motion has been amended. Assembly discussion on the motion as amended.

Seeing none, roll call vote on the main motion as amended, please. Mr. Gardner? Yes. Mr. Johnson? Yes.

Mrs. Roberts? Yes. Mr. Smiley? Yes. Mr. Whiteside?

Yes. Mr. Woods? Yes. Mr. Ames? Yes.

Would anyone like to change their vote? Motion passes unanimously. Thank you. We have no new ordinances for introduction, so the next item on the agenda is other items. Authorization for the— first up is authorization for the reimbursement to Providence Kodiak Island Medical Center for design costs for their air handler unit 1.

Move to authorize the Borough Manager to reimburse Providence Kodiak Island Medical Center for design costs for their air handler Unit 1 with HZA Engineering. Second. Thank you. The motion has been seconded. Staff report, Madam Manager.

Thank you, Mr. Deputy Presiding Officer, and thank you for taking this out of the consent agenda. That what we approved last week, we had a couple of changes. One It is cheaper this week, so that is always a good thing. Two, last week our proposal was to move forward with the design on the.

The air handling unit and the rooftop unit for KCHC. And we chose this methodology because it was going to save the R&R fund a lot of money because we were already at 65% design. What we're asking tonight is to move beyond that 65% design to 100%. All of that is great, but then when we sat back and looked at it after the meeting last week, I realized that Providence would then be in charge of the rooftop design for KCHC., and we would be using R&R money for an entity that doesn't pay into R&R. And so that doesn't feel like a good fit.

Also, KCHC should be responsible or have a role in designing their own rooftop unit. Funding to be determined. And so, um,.

As we are going through different things with KCHC and giving them our decision on the NFI last week and stuff, we have to reestablish a path forward with them, and we have an HFAB meeting on Tuesday to do that. But for this, I think the best thing to do is just put the Providence project in with Providence's folks and move forward with just that. Patricia went through a lot of versions with this, spent some time with Tyler from Providence this week. She's available tonight, as you can see, if you have any specific questions. I think this path award is better and more appropriate with the R&R money than what we suggested last week.

Thank you. Thank you. Assembly discussion. Mr. Smiley. I agree, this is a lot better.

Thank you for doing this. Thank you, Miss Roberts. I also agree that KCHC needs to be part of the discussion of what's going on in their building, so thank you for.

Recognizing that. Thank. You. Any further discussion?

Roll call vote on the motion, please. Mr. Johnson? Yes. Ms. Roberts? Yes.

Mr. Smiley? Yes. Mr. Whiteside? Yes. Mr. Woods?

Yes. Mr. Ames? Yes. Mr. Gardner? Yes.

Would anyone like to change their vote? Motion passes unanimously. Thank you. Next item on the agenda is citizens' comments. For those who wish to call in, the local number is 907-486-3231.

Toll-free is 1-855-492-9202.

Please turn off your radio or any listening device to prevent feedback. For those in the room who.

If you wish to speak under Citizens' Comments, please come to the podium and sign in, turn on the microphone, make sure the green light is on before speaking, and speak directly into the mic. Please state your name for the record and address all remarks to the Assembly as a body and not to any member thereof.

Good evening, ladies and gentlemen.

Somehow I got the newspaper about 10 o'clock this morning. Will. You please state your name for the record? Oh yes, Carly McChesney. Thank.

You. And just thought that you folks would be interested. You probably get the newspaper, but just in case, there were 3 or 4 really good articles in there, and they said it's so much better, and it would have cost me a lot of money to make copies of all those pages of articles, so I just stopped by the paper office and picked.

I'm going to make that up, but they were so good. Gary Stevens, the last session, he'll fill us in about the gas pipeline soon and just what's going on with the city. And then Laddick's assessment, I think what I got out of it is we can learn a lot from it.

Steve Williams can say it so much better than I can, so I just brought you the paper, but thank you. Okay, thank you. It was very kind of you.

Any phone calls? Okay, I'll give it some time.

That Hagar.

Okay. So next item on the agenda is Assemblymember comments. I'll start on the far end. Mr. Woods. Huge thank.

You to staff and congrats to Patricia for the promotion. Well deserved. You guys continue to make this place run in every measurable and really definable characteristic. Thank you guys so much for what you do.

Well and truly, we do have some of the best staff around. I think having, you know, once worked for municipality and interacted with that, we, uh, I love seeing the emphasis put on taking care of our people and making sure that they excel. So thank you guys. Thank you all for being as awesome as you are. Thank you.

Ms. Roberts? No comment. Mr. Ames? Just thank everyone for the time and effort going through this budget process and the amendments and rewriting and everything else, and the work that was involved in getting us as accurate numbers as can be gotten.

And have a good evening. Thank you, Mr. Smiley.

Mr. Johnson. No comment. Mr. Gardner. Again, congratulations, Patricia. Thank you specifically to the assessor's office for the help on this last bit of that resolution, or yes, that we've been working on.

And clerks, manager, you all work way too hard. Thank you. Thank you. Congratulations, Patricia, well deserved. You are doing a fantastic job.

Thank you, Sima, for the help as well. As a reminder, all Bureau offices and facilities will be closed to the public on Friday, June 19th in observance of the Juneteenth holiday. The next Assembly Work Session is scheduled for Thursday, June 25th at 6:30 PM and the next Assembly regular meeting is scheduled for Thursday, July 2nd at 6:30 PM in the Bureau Assembly Chambers. So next item on the agenda is our executive session to review the borough clerk's performance evaluation. Move.

To convene into executive session under the authority of Kodiak Island Borough Code 2.30.030 to discuss the borough clerk's performance evaluation, a subject that qualifies for executive session as a matter that may be— lead— tend to prejudice the character or reputation of any person. Second. Thank you. Been seconded. Any discussion?

Okay, roll call vote on the motion, please. Miss Roberts? Yes. Mr. Smiley? Yes.

Mr. Whiteside? Yes. Mr. Woods? Yes. Mr. Ames?

Yes. Mr. Gardner? Yes. Mr. Johnson? Yes.

Would anyone like to change their vote? Motion passes unanimously. Move to invite the mayor and assembly members into executive session. Clerk Javier is going to be invited in at a later time. Second.

Thank you. Voice vote on the motion. All in favor say aye. Aye. All opposed, same sign.

Okay, motion passes. After the vote, we will recess the regular meeting and convene into executive session.