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Tonight’s regular meeting (10-11-16) of the Sitka Assembly will take place in the newly renovated Harrigan Centennial Hall. Outgoing officers will be thanked, incoming officers sworn in, and the Assembly will hit the ground running on it’s biggest challenge: how to close a $3.5 million budget gap. (Emily Kwong/KCAW photo)

Tonight’s regular meeting (10-11-16) of the Sitka Assembly will take place in the newly renovated Harrigan Centennial Hall.

See agenda here: Assembly Agenda 10_11_16

At 5 p.m., the city will host a ribbon cutting to mark the opening of the new building. The doors of the facility, which includes expanded meeting space and a new museum, will be thrown open to the public.

The Assembly will gavel in at 6 p.m. to address a variety of old business. That includes reviewing – on second and final reading – an ordinance (Ord 2016-38) to raise electric rates by 5%, among other changes, to cover a deficit in the electric fund. Also on the agenda is an ordinance to funnel marijuana licensing fees into a student activities travel fund and another to dedicate $250,000 from the public infrastructure sinking fund to landslide risk assessment and legal representation.

The Assembly will also certify the results of the municipal election and recognize outgoing Assembly members, which includes Mayor Mim McConnell, Vice-Deputy Mayor Ben Miyasato and and Assemblyman Aaron Swanson.

McConnell was elected to Mayor in 2012 and says leaving the position is “bittersweet.” Her advice to future Assembly members is to keep an open mind. “You may have all these great ideas about what needs to happen in City Hall and in our community but when you get to the Assembly table and you learn about how the city works and all the boxes and boundaries are – about what you can and can’t do – then there’s this reality check about, “Oh, I can’t do that,”” McConnell said. “Then there’s also the reality check that there’s six people at the other table and you need to listen to them. And they might change your mind. You might learn something from each out!”

After reconvening, McConnell will pass the gavel to incoming Mayor Matthew Hunter. The Assembly will then swear in newly elected members Kevin Knox and Aaron Bean and assign roles of Deputy Mayor, Vice-Deputy Mayor and Assembly Liaisons.

The Assembly will also discuss appointing an individual to complete the final year of Hunter’s term, as he’ll be assuming the role of Mayor. To qualify, this individual must be a registered voter and a resident of Sitka for the past year. The Assembly could open the process to the public, inviting letters of interest, or appoint someone to the role.

Customarily, the Assembly has looked within the election pool and appointed the third highest voter getter, who in this case is Aaron Swanson. Swanson ran unsuccessfully ran re-election this fall and though Hunter hasn’t spoken with his fellow Assembly members, he likes the idea of bringing Swanson back.

“[Swanson’s] been on the Assembly for the past three years. This is a one-year-term. I know from personal experience it took me two years to figure out what I was doing at the table. To really understand the ins and outs of city government and make informed decisions. He’s already done that for the last three years. It just seems like the most reasonable course of action to me,” Hunter said.

The Assembly will have 20 days, starting today, to appoint that person. And whoever it is will have to hit the ground running. The budget process will begin early this year to better align with the school district and the departure of City Administrator Mark Gorman.

At the close of tonight’s meeting, Gorman will review the FY18 budget, which right now has a deficit of $3.5 million. In light of Proposition 1 failing, which would have partially resolved that gap with property taxes, Hunter says the Assembly needs to explore other options.

“The ball is going to be in the Assembly’s court this time. We really need to work hard. There’s other ordinances and stuff like that we could do, but primarily we need to approach the budget problem and close that gap. And if we can come up with a plan to do that over 2 or 3 years, that will be an excellent outcome. I’ll be very proud if we can at least make progress on that in our first year,” Hunter said.

About a third of that gap is within the electric fund. If that rate ordinance passes tonight, that deficit is $1 million. To subsidize the electric fund, Gorman will present a list of revenue streams and other funds the Assembly can tap. Some, like the permanent fund or increasing the sales tax, would require a ballot proposition. Others, like the bulk water fund or an excise tax on bulk fuel, could be put into motion by the Assembly alone.

The Assembly meeting begins at 6 p.m. in Harrigan Centennial Hall. Raven Radio will join live in progress, following Alaska News Nightly.