Mid-Hillside and Hillside East Community Councils

Meeting Minutes
March 21, 2002

Call to order:

The meeting was called to order by President John Weddleton at 7 pm. Approximately 7 were in attendance.

Introductions:

President's Report: John Weddleton

Minutes of the previous meeting: Summarized in Monthly Meeting Notice.

Federation of Community Councils Report: John Weddleton reported on the FCC meeting of March17, 2002.

Legislative Teleconference: In Juneau were Rep Joe Green, Kevin Meyer, Con Bunde, and Kim Ross for John Cowdery .

Kevin Meyer reported that they were trying to "hold the line" and that required $99 million in reductions just to offset budget increases mandated by law.

In his recent mail survey of our area north of O'Malley, he found that the most important issues is government spending, people want a combination of spending cuts and taxes, most said use the Permanent Fund. He also found that 67% supported extending Bragaw to Abbott Loop Rd.

Con Bunde spoke on the "Community Dividend" bill to automatically send to cities some of the earnings of the Permanent Fund. About $300 million would be available statewide. Using the same formula used to split up the General Fund, that would give $59 million to Anchorage.

It took $99 million in cuts to just make a no growth budget. Con Bunde said that suggests that the $1billion shortfall the state is facing will require savings, taxes and the Permanent Fund. Joe Green pointed out that it would likely be phased in over 6-8 years. Kevin Meyer said a tax cap or spending cap is being worked on.

Anchorage Assembly Report:

Dick Tremaine

Explained that the MOA tax cap is a function of Property tax plus inflation plus a 5 year average population growth plus the mil rate on new construction plus the increase in operating costs approved by bonds we vote on.

How much debt is being paid off? Dick said he'd try to get that info and get the Anchorage Daily News to publicize it before the bond vote.

PRESENTATION:

Appraisals, Taxes, Paying for our Bonds

PROPOSITION 4: Dan Moore from the MOA Finance Department spoke on this proposition which will be on the ballot on April 2.

The MOA has a fund from the sale of the Anchorage Telephone Utility values now at $131million. The city has been taking out $9.4million from every years since the sale. This is an amount equal to the MOST ATU every gave to the city when it was city owned. This amount is unsustainable. (Hmmm.... were we told that when we were lobbied to vote for the sale of the utility?)

PROP 4 will limit the amount that can be taken out to 5% of the average balance for the preceding 12 months. This can only be taken after the fund has had enough earnings deposited to "inflation proof" it. This scheme will allow the fund to grow instead of shrink.

The MOA will send a postcard to "super voters" to lobby for the passing of this proposition.

ASSESSMENTS: John Wedelick from the MOA Finance Department spoke on this year's assessments.

If you divide the MOA Finance Department's budget by the number of houses in Anchorage, they spend an average of $35 per house. That's less than 10% of what a private appraisal costs.

The value of homes and business property in Anchorage totals about $16 billion. 63% is residential, 26% is commercial and 11% is "personal property" (mostly business inventory.) Exemptions for seniors, churches, disabled vets and others add up to about $1billion not taxed.

They get most of their information on actual sales prices when people appeal their assessments. They believe they have info on about 45% of the sales each year.

The valuation of personal property (that means business inventory and some other business assets) is being moved to the Treasury Department. The business property tax is self reported and they feel it is not done accurately. The Treasury Department is able to do more audits.

PLAYGROUND EQUIPMENT AT FORSYTHE PARK Lynda Cyra-Korsgaard from CH2M Hill presented information on potential playground equipment at Forsythe Park on Birch south of O'Malley.

At Forsythe Park the "big log" equipment will be removed by 2003 since it is considered unsafe. There is $600,000 available from previous bonds to replace at 7 parks playground equipment that does not meet federal safety standards. The April Parks bond has additional money for more play areas.

Lynda came seeking opinions on what kind of equipment to put there and where to put it. Consideration must be made for handicapped access. The location of the current playground equipment would require a substantial ramp to meets ADA requirements. Lynda said there are setups for older kids like the equipment at O'Malley Elementary School and systems for toddlers. She suggested installing toddler equipment so it compliments the equipment at O'Malley Elementary School.

A decision on what will be installed and where will be made in the next 2 ½ months. To contact Lynda call 278-2551.

Meeting Adjourned at 9:00 pm