Sitka City and Borough Assembly Regular Meeting - July 28, 2026

The Sitka Assembly met on July 28, 2026, at 6:00 PM in Assembly Chambers. The meeting covered a wide range of topics including ceremonial honors for the U.S. Coast Guard, quarterly department reports, a supplemental appropriation for a parks and recreation master plan, lease authorizations for the Gary Paxton Industrial Park, a new fee waiver program for Centennial Hall, requests for proposals for industrial park lots, direction on a $4.5 million state legislative grant for port/harbor infrastructure, and next steps in the municipal administrator recruitment. The meeting lasted approximately 3.5 hours and included public testimony on several items.

Consent Calendar

• Approved the minutes of the July 14, 2026 Assembly meeting (Item A) by a 7-0 vote.

Public Comments & Testimony

• Christian Faye (part-time cab driver) spoke against the proposed taxi ordinance update, citing past regulatory disasters and urging the city to involve taxi operators and businesses in creating solutions. He warned that a new ordinance could put operators out of business and lead to costly lawsuits.
• Multiple speakers supported the Parks and Recreation Master Plan funding (ORD 26-17): members of the public, including Bridget Hitchcock, KK (Catherine Preshen), Candace Rutledge (Parks and Rec Committee Chair), and Amy McLaughlin (Sitka Recreation Foundation) emphasized the need for a community-driven plan, the value of volunteer effort, and the ability to leverage grants with a master plan.
• Jay Stillwell (Executive Director, Fortress of the Bear) commented on the RFP for Lot 16B at GPIP, expressing concerns about unclear usable space, access restrictions, and scoring criteria that favors marine industry use, which may disadvantage a nonprofit like Fortress of the Bear.

Discussion Items

• ORD 26-17 – Supplemental Appropriation for Parks and Recreation Master Plan (Second Reading): The assembly debated the $20,000 additional funding for the Sitka Recreation Foundation to complete the master plan. Concerns were raised about the MOA process, staff capacity, and the timing of the request. An amendment was proposed and passed 7-0 to make the appropriation contingent on a revised MOA that reflects the increased amount and states the city will not assume liability for contracts made by SRF. The main motion as amended then passed 7-0.
• ORD 26-18 – Lease of GPIP Block 4, Lot 1 to NSRAA (Second Reading): Assemblymember Mosher recused himself due to NSRAA board membership. The ordinance passed 6-0 after discussion noting improved terms (higher rent, renegotiation caps) and the importance of hatchery operations to fisheries.
• ORD 26-19 – Centennial Hall Fee Waiver Supplemental Appropriation (First Reading): Sponsored by Ystad and Mosher. The ordinance creates a fund to waive Centennial Hall fees for off-season conventions bringing 100+ out-of-town attendees, offset by bed tax revenue. Discussion included the threshold, potential disincentive for smaller conventions, and the need to review after three seasons. Passed first reading 7-0.
• Item E – RFP for Long-Term Lease of Lot 16B at GPIP: The GPIP board recommended an RFP for general private sector development. After public comment, the assembly agreed to remove the specific reference to marine haul-out support from the scoring criteria, treating it as an administrative correction. The RFP passed 7-0.
• Item F – RFP for Lease of Portion of Lot 6 at GPIP for Marine Services: This RFP is specifically for marine vessel and marine services, adjacent to the marine haul-out. Passed 7-0.
• Item G – Discussion on FY2027 Designated Legislative Grant ($4.5M CPV Funds): The state provided a 30-day window to select a project for the CPV grant. The administration and tourism commission presented options: Lincoln Street project, seawall/port wall improvements, a passenger ferry, or an under-the-bridge transit facility with electric charging. Extensive discussion focused on feasibility, timeline, funding gaps, and impacts on other capital projects. The assembly directed staff to pursue the Lincoln Street project as the primary option, acknowledging it is the most shovel-ready and aligns with community priorities, but with the understanding that the project must be spent within five years and will require significant coordination with utility funds. No formal vote was taken; the mayor directed the administrator to proceed with submitting a scope for Lincoln Street.
• Item H – Discussion on Municipal Administrator Recruitment: After the finalist withdrew, the assembly discussed continuing recruitment. Applications are still being accepted, and an executive session is scheduled for August 11, 2026, to review candidates. The process continues as normal.

Key Outcomes

• ORD 26-17 passed 7-0 as amended, with funding contingent on a revised MOA.
• ORD 26-18 passed 6-0 (one recusal).
• ORD 26-19 passed first reading 7-0; second reading scheduled for next meeting.
• Item E (Lot 16B RFP) passed 7-0, with an administrative correction to remove marine haul-out language from scoring.
• Item F (Lot 6 RFP) passed 7-0.
• Item G: The assembly directed staff to submit a scope for the Lincoln Street project for the $4.5M CPV grant. No formal vote, but consensus was to move forward with Lincoln Street.
• Item H: Recruitment continues; applications still being accepted; executive session on August 11.