Assembly Report for October 31, 2006

2007 OPERATING, CAPITAL, AND UTILITIES BUDGETS UNAMINOUSLY APPROVED: With little fanfare, the Assembly approved a $393,424,86o general government budget for 2007. The 2007 operating budget fully funds 16 new police officers and 4 non sworn positions which were created and partially funded in 2006. For other city services, the 2007 operating budget is a "continuation level" budget, maintaining the level of services and programs currently provided by the municipality. To maintain existing services, the budget adds another $3.7 million for rising fuel, utility and lease costs, and meets demands of limited road service areas for additional road maintenance funding. No new or expanded service are proposed for 2007, except a small appropriation of $30,000 for additional funding for arts programs.

Significantly, the 2007 budget provides millions in property tax relief for homeowners in Anchorage. By using $44 million in state revenues ($22 million already in hand in 2006 from the State Legislature and a similar amount anticipated in 2007) for tax relief, the city will lower total property taxes required from $202.7 million in 2006 to $175.1 million in 2007. The percentage of property taxes required to fund city services will drop from 59 percent 2003 to 44 percent for 2007. Property tax relief is dependant, however, on increased State aid to municipalities next year.

This is the first budget approved under the city’s new biennial budgeting process, which was implemented last year. The process now calls for a mid-cycle "tune-up" of the 2007 budget that was submitted to the Assembly and approved in November, 2005. Under biennial budgeting, the 2007 budget was not prepared from scratch. Instead, expenditures and revenues have been adjusted, where applicable, to reflect major changes in financial and program conditions that have occurred since the biennial budget was approved in 2005.

COMMUNITY MEETING ON A VISION FOR OUR YOUTH SCHEDULED FOR NOV. 27TH: A consortium of 13 local churches will hold a community meeting on Monday, November 27th to present a comprehensive vision for Anchorage’s youth to Mayor Mark Begich, School Superintendent Carol Comeau, and Police Chief Rob Huen. The meeting will take place at St. Anthony’s Catholic church on 825 S. Klevin St. in east Anchorage and begins at 7:p.m. Given the issues of youth violence and gangs in neighborhoods, a compassionate and clear vision for our youth is urgently needed in Anchorage. This public meeting is sponsored by Anchorage Faith & Action Congregations Together (AFACT) a community wide religious group consisting of several thousand Anchorage residents who are members of Catholic, Lutheran, Methodist, CME, and non-denominational churches.

ORDINANCE WOULD MAKE PEARLS OUT OF A SOW’S EAR DOWNTOWN: The Assembly heard public testimony and then passed AO 2006-139(S) which would declare 19 downtown parcels a "deteriorated area" in order to facilitate its redevelopment into more intensive commercial uses and to build the downtown tax base. The area, located north of 3rd Ave. and between Cordova street the old Pioneer School house presently contains a mixture of run down or abandoned buildings, vacant lots and small apartments. With the approval of AO 2006-139(S), owners of the property will be allowed to make a specific redevelopment proposal to the City and if, approved, may receive a tax abatement/deferral as approved by the Chief Fiscal Officer and the Assembly. Speaking for the property owners, developer Marc Marlow on Tuesday announced plans to redevelop the property with three fifteen story towers that will contain hundreds of new apartments, store front retail, and other commercial uses.

ASSEMBLY CONSIDERS STANDARDS FOR TRANSMISSION TOWERS: The public hearing and assembly action on AO 2006-64(S), which would set new standards for electric transmission towers has been continued again until December 11, 2006. Apparently, a third draft of the ordinance is being prepared by the Planning Department and affected electic utilties and, according to Assembly member Dan Coffey, will further address specific standards for issue of contitional use permits and landscapping requirements for new towers. The ordinance comes before the Assembly as a result of a public outcry in east Anchorage earlier this year when Chugach Electic erected a line of 75 ft. metal towers along Nothern Lights Blvd.

ETHICS CODE REWRITE MAKING PROGRESS: Six years in the making, a new Ethics Code will be heard by the Anchorage Assembly on November 14th. AO 2006-140 was first drafted by the City’s Ethics Board then substantially rewritten in the past year by an Assembly committee headed by Assemblyman Ken Stout. The proposed code would outlaw so called "consulting contracts" between elected officials and private companies on municipal issues and prohibit those same officials from representing private interests before the Assembly, School Board and appointed boards . The code would bar members of the state legislature from representing or lobbying for private interests before the Assembly. The new code also contains more explicit definitions of "financial interests" which might disqualify a member’s participation in voting; standards governing gifts and gratuities, and procedures governing investigations conducted by the Board.