Juneau Assembly Public Works and Facilities Committee Meeting - March 17, 2026

The Assembly Public Works and Facilities Committee met on March 17, 2026, at noon to discuss several key items. The meeting included an update on Recycle Works, a transfer of funds for the Crow Hill project, a request to apply for a $17 million loan for HESCO barriers related to glacial lake outburst flooding, the draft FY 2027-2032 six-year capital improvement program (CIP), and informational updates on the drinking water utility and microtransit. Votes included unanimous consent on several items, and committee members expressed ongoing interest in exploring microtransit options.

Consent Calendar

• The agenda was approved as amended, with an added update on Recycle Works.
• The minutes of the February 23, 2026 meeting were approved as written.
• Item 1 (CIP fund transfer for Crow Hill): Unanimously forwarded to the full assembly.
• Item 2 (HESCO loan application): Unanimously forwarded a resolution to the full assembly authorizing the manager to apply for an ADEC loan not to exceed $17,015,000 and execute the loan agreement.
• Item 3 (FY 2027-2032 CIP): Unanimously forwarded the draft CIP to the full assembly for introduction and inclusion in the FY27 budget review process.

Public Comments & Testimony

• No public comments or testimony were recorded during this meeting.

Discussion Items

• Recycle Works Update: Director Koch announced that as of this week (mid-March 2026), Recycle Works is back to full recycling operations, including full hours and acceptance of all materials, including aluminum and plastic. She credited Stuart Ashton for his role in getting the bailer working and finding efficiencies.
• Item 1: CIP Fund Transfer for Crow Hill: Director Koch presented a request to transfer funds from the Crow Hill Reservoir Inspection and Rehabilitation Project to address a separate electrical issue in the Crow Hill drinking water system. The electrical infrastructure, installed in the early 1990s, has faults that are difficult to locate. The project aims to conduct a more comprehensive fix starting in FY 2027. The committee forwarded the request to the full assembly without objection.
• Item 2: HESCO Barriers and DEC SRF Loan: Director Koch discussed a request to apply for an approximately $17 million ADEC State Revolving Fund loan for HESCO barrier reconstruction after expected GLOF damage in August 2026. She emphasized that this action is non-binding and preserves options. She noted that CBJ already has an $8.8 million SRF loan for phase one, and that the U.S. Army Corps of Engineers committed in October 2025 to installing phase two at federal expense, valued at nearly $30 million. The loan would cover reconstruction of both phase one and phase two after the 2026 flood. Director Koch and Deputy Director Rumsey clarified that damage estimates for phase one have increased from an initial $1 million to significantly more, as the work is now seen as reconstruction, not just repair. Mr. Brooks asked about the ability to request a larger loan amount, and staff responded that $17 million is the maximum for 50% forgiveness. The committee forwarded the resolution to the full assembly.
• Item 3: Draft FY 2027-2032 Six-Year Capital Improvement Program: Deputy Director Rumsey presented an overview of the draft CIP. Key points: The CIP is funded from four primary sources (3% sales tax, 1% special sales tax, passenger fees, and departmental enterprise funds). For FY27, $9.6 million is allocated to street projects from the 3% sales tax, plus $2.4 million for other CIP priorities. The 1% sales tax initiative list has been updated. Of the $23.2 million in tax-funded CIP projects, 76% are for maintenance and repair (87% excluding the restricted budget reserve). The CIP book includes a new column identifying which departmental priorities are recommended for FY27 funding. The committee forwarded the draft to the full assembly.
• Informational Item: Drinking Water Utility Update: Director Koch informed the committee that AELNP is conducting a major construction project (April 1 to June 30 annually for four years) that will impact the Salmon Creek secondary water supply, which provides about one-third of the community's drinking water. Contingency planning includes: cruise ships have been informed they are interruptible customers; streets and DOT crews have been asked to fill water trucks downtown to conserve valley supplies; and if needed, CBJ will issue a press release asking for voluntary water conservation. The public has been responsive in past similar situations.
• Informational Item: Microtransit: Director Koch provided an overview of microtransit as a potential third element (beyond fixed route and paratransit). She described various models (first mile/last mile, connection to transit centers, door-to-door). She noted that adding this service would be an expansion and that additional federal funding through the state is unlikely. Existing system costs are about $9.77 per ride (average 17 riders per hour), but low-ridership routes (e.g., former North Douglas route) cost closer to $80 per ride. Mr. Brooks expressed continued dissatisfaction with the lack of transit options for areas like North Douglas and the airport, and requested a pilot cost analysis, acknowledging the need for creative approaches.

Key Outcomes

• Recycle Works returned to full operations as of mid-March 2026.
• Crow Hill CIP fund transfer forwarded to full assembly (unanimous consent).
• ADEC loan application for up to $17,015,000 for HESCO barriers forwarded to full assembly (unanimous consent).
• FY 2027-2032 draft CIP forwarded to full assembly for introduction and inclusion in budget review (unanimous consent).
• No action taken on the drinking water utility or microtransit informational items.
• Next meeting scheduled for April 13, 2026 at noon.
• Continued exploration of microtransit options, with a potential pilot cost analysis requested.