Sitka City Council Meeting Summary for January 27, 2026
Sitka City Council Meeting Summary for January 27, 2026
The City and Borough of Sitka Assembly convened on Tuesday, January 27, 2026, to review the draft 2025 audit results, address administrative and special reports, and deliberate on new business items regarding legislative priorities, industrial park regulations, and potential land disposal mechanisms for public benefit. The meeting included a presentation from the Sika Tribe of Alaska, a discussion on the delayed school district audit, and extensive deliberation on partnering with the Sitka Recreation Foundation for master planning and feasibility studies.
Consent Calendar
- The Assembly unanimously approved the minutes of the January 8th and 13th meetings.
- Liquor license renewals for Harbor Mountain Brewing Company and House of Liquor were approved.
- Board appointments were made: Sherry Blinkenship to the Tourism Commission for an unexpired term and Lillian Field-Pash (nominated by the Sika Tribe of Alaska) to a three-year term on the Tourism Commission.
- Ordinance 2026-01, making supplemental appropriations for the FY26 child care study (including modified scope work to involve community sessions), was approved on second and final reading.
Public Comments & Testimony
- Lorna Marcello (Public Comment) spoke regarding national immigration enforcement issues, detailing specific incidents of alleged assaults and use of force by federal agents against members of the public, including Aliyah Ramon (disability rights violation), the Jackson family (use of flashbangs and tear gas), and Alex Pradi (use of deadly force).
Discussion Items
- 2025 Audit Draft & School District Delay: Auditor Joy presented a draft of the City's FY25 audit, noting the borough portion is substantially complete with an expected unmodified (clean) opinion. However, the final audit issuance is delayed until the end of February because the School District's audit remains incomplete. The School Board member attributed this to the federal shutdown, financial record turnover issues, and new staff capacity building. Auditor Joy and staff confirmed no material misstatements were found, though a control deficiency regarding "super user" access in the IT system was noted as a management letter comment.
- Legislative Priorities (Resolution 2026-02): Public and Government Relations Director Melissa Lounis presented priorities for the FY27 session, including funding for marine hotel Phase 2, Thimbleberry bypass, housing, child care, and updated federal port fee authorities to address cruise passenger impacts.
- Sustainability Commission Adjustments (Ordinance 2026-02): To ensure the Sustainability Commission can achieve a quorum for meetings after struggling to fill seven seats, the Assembly approved amending the General Code to reduce the commission size from seven members to five.
- Gary Paxson Industrial Park (GPIP) Policies:
- Vehicle Operations: The Assembly approved a traffic management policy. An amendment was passed to replace the word "unlawful" with "no person shall" regarding bus parking to clarify enforcement without creating new infraction fines.
- Vessel Movement: Requirements for moving commercial vessels on non-standard trailers were approved. An amendment was passed to strike language requiring an annual environmental survey by the Alaska Department of Environmental Conservation for vessel movers, which Assembly members and staff identified as a clerical copy-paste error from a separate contract.
- Seaplane Base MOA: The Assembly approved a Memorandum of Agreement with the FAA and State Historic Preservation Officer to fund cultural resource mitigation for the Sitka Seaplane Base on Japansky Island. Key mitigation efforts include lowering float plane elevations to preserve coastal views, preserving a historic observation post's architectural features, and on-site archaeologist monitoring.
- Recreation Master Plan MOA (Item K): The Assembly approved an MOA with the Sitka Recreation Foundation (SRF) to leverage private fundraising for the final phase of the Parks and Recreation Master Plan. Debate ensued regarding whether the city should fully fund the study or rely on SRF fundraising while retaining scope control.
- Athletic Facility Feasibility (Item L): The Assembly debated an MOA with SRF to conduct feasibility studies for a new track/field facility and softball field improvements. The motion to approve failed (3 yes, 4 no), with Council members concerned that this project was being prioritized before the overall Recreation Master Plan was completed and that timing was premature relative to expected tobacco tax funding.
- Municipal Land Disposal (Item M): The Assembly held a discussion direction on creating a new ordinance process to dispose of municipal land for public benefit (e.g., affordable housing) at less than assessed value. Council members debated the definitions of "public benefit," the scope of eligible entities (limiting to non-profits/government vs. allowing for-profits), and the need for permanent affordability mechanisms. The discussion concluded with staff directed to draft the ordinance.
Key Outcomes
- Audit Status: The City's FY25 audit is substantially complete with an expected clean opinion; final issuance is pending the School District's report by the end of February.
- Sustainability Commission: Ordinance 2026-02 passed 7-0, reducing commission membership from seven to five to ensure quorum.
- GPIP Policies: Both traffic management and vessel movement policies passed 7-0 after necessary clerical amendments were adopted.
- Seaplane Base: MOA with FAA passed 7-0 to advance project design and cultural mitigation.
- Recreation Master Plan: MOA with SRF passed 6-1.
- Athletic Facility Feasibility: MOA with SRF failed 3-4.
- Legislative Priorities: Resolution 2026-02 passed 7-0 regarding submission of priorities to the state and federal delegation.
- Land Disposal: Staff were directed to draft an ordinance to streamline the disposal of municipal land for public benefit purposes, incorporating the definitions and processes discussed.
- Appointments: Sherry Blinkenship and Lillian Field-Pash appointed to the Tourism Commission.
- Funding Update: Senator Murkowski secured $10 million in FY26 appropriations for Sitka's wastewater effluent disinfection project.
Meeting Transcript
Thank you and welcome everybody. I will call to order the regularly scheduled meeting of Tuesday, January 27th, 2026. Please join me for a flag salute. I pledge allegiance to the flag of the United States of America and to the Republic for which it stands one nation under God, indivisible with liberty and justice for all. The Assembly of the City and Borough of Sitka would like to respectfully acknowledge the traditional first people of Sheetka. With gratitude, we proceed on Clinkett Ani. Sarah Rollcall, please. Mayor Eisenbais. Present. Mr. Pike. Here. Ms. Carlson. Here. Ms. Riley? Here. Mr. Christensen. Mr. Mosher. Here. And Mr. Sleen. Here. Thank you. Any correspondence or agenda changes this evening? My only thought for the assembly tonight. If you look at the length of our agenda, we do have a few items that are gonna require some robust discussion. So if we could just take that into mind and uh make sure that our comments are succinct so that we can get through to the end of the agenda tonight. I think every uh co-sponsor and sponsor would appreciate that. Uh no ceremonial matters this evening, so we'll move on to special reports. We do have a scheduled special report. Um, the presentation of our 2025 audit um by BDO. Joy, have you been able to join us online? She is not online. Well, we failed that part of the audit, didn't we? Um the good news is Lillian is here to speak on behalf of uh Sikka Tribe of Alaska Tribal Council. So Lillian, please. Good evening. Uh good chief for this opportunity to share some information about the Sica Tribe of Alaska, Mayor and Assembly. January 21st, we um held our first our tribal council meeting and appointed our council leadership roles and approved the following. The STA scholarship ordinance update. We um reviewed a new draft and had a held our first reading. And that is available on the STA's website. And to become tribal law, the we must accept the ordinance, of course, at three readings. So we will have uh two more, February 18th and March 18th. We will there will be a black seaweed community meeting with um we are partnering with uh Sea Alaska Heritage Institute in support of our project recording traditional knowledge about black seaweed including how it's harvested processed, eaton, shared and used in art. So please feel free to join us uh February 5th from 5 to 7 at the um 204 Sikonaka.
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