Valdez City Council Regular Meeting - May 26, 2026

The Valdez City Council held its regular meeting on May 26, 2026, at 7:00 PM in the Council Chambers. The meeting began with a work session on the Valdez Fisheries Development Association at 6:00 PM. All council members were present except Councilmember Love, who was absent and excused. Key actions included approval of consent agenda items, new business items, first and second readings of ordinances, committee assignments, and reports on the TAPS valuation and Alaska Permanent Fund presentation.

Swearing-In and Mayor Pro Tempore Election

• Newly elected and re-elected council members (Green, Devins, and Sites) were sworn in by the clerk.
• Councilmember Green was nominated and elected as Mayor Pro Tempore by acclamation.

Alaska Permanent Fund Board of Trustees Presentation

• Jason Bruni (Chair) and Devin Mitchell (CEO/Executive Director) presented on the Alaska Permanent Fund's 50th anniversary, current $90 billion corpus, and its role in funding 66% of state general fund.
• They discussed the need for a constitutional amendment to combine the corpus and earnings reserve to allow a stable 5% of market value withdrawal, protecting the full $90 billion from simple majority legislative spending.
• They noted Valdez's own permanent fund of $318 million (49th year) and offered support for a council resolution endorsing the state constitutional amendment.

Public Comments from the Floor

• Thane Miller (fisherman/business owner): Expressed strong opposition to new harbor fees for skiffs tied behind boats, stating the $23/day ($690/month) fee is unreasonable and dangerous for larger skiffs (10,000 lbs). He argued the harbor should not be the only city department expected to pay its own way, noting his industry contributes $600,000/year in raw fish tax directly to the harbor. He requested the council reconsider the fee.

City Boards & Commissions Reports

• Valdez Tourism Task Force (Colleen Stevens, Chair): Reported on draft Articles of Incorporation for Destination Valdez. The task force recommends seeking letters of interest for the initial board of directors rather than naming members. Council gave consensus to proceed with the call for letters.

Consent Calendar (Approved unanimously, 7-0)

• Approval of renewal of Marijuana Dispensary License - Herbal Outfitters LLC #10173
• Approval of renewal of Liquor License: The Fat Mermaid
• Approval to go into Executive Session re: Trans Alaska Pipeline System Ad Valorem Tax Issues

New Business (All approved unanimously, 7-0 unless noted)

• Skate Park Upgrades: Approved service agreement with American Ramp Company for $189,925.17 to replace aging equipment (original ramps exceeded 25-year lifespan). Councilmember Devins questioned the cost of a 7-foot aluminum sign ($1,300); city manager noted pricing through the contract was consistent with other quotes.
• Beautification Matching Grant – Radio Shack: Approved $12,500 for Tier 1 applicant.
• Beautification Matching Grant – Magpies LLC: Approved $25,000 for Tier 1 applicant.

Ordinances

• Ordinance 26-03 – Public Accommodation Tax (First Reading): After public hearing and council discussion, the ordinance to amend Chapter 3.24 was approved with a vote of 6-1 (Councilmember Foster voted nay). The amendment exempts RV parks from the accommodations tax. Councilmember Lally explained the rationale: RV parks are disproportionately affected by fuel cost increases and were previously exempt; the exemption is intended to be temporary until fuel costs stabilize. Councilmember Foster expressed concern about equity, noting brick-and-mortar businesses remain taxed. The ordinance advances to second reading.
• Ordinance 26-04 – Subdivisions Code (Second Reading/Adoption): Approved unanimously (7-0) to repeal and reenact Title 16. Councilmember Green commended Community Development for modernizing the code.
• Ordinance 26-05 – Planning and Zoning Commission (First Reading): Approved unanimously (7-0) after public hearing and no discussion.

Reports

• City Manager (Nate Dunning): Reported on House Bill 13 analysis (property tax benefits), request for resolution supporting SB 174 (invasive species), no-camping sign deployment, Mills Avenue construction mobilization, Head Start daycare awaiting fire marshal approval, strategic planning session June 18-19 (Councilmember Foster unable to attend), and thanked participants in cleanup day.
• City Clerk (Elise): Announced Citizens Academy registration (25 spots, 16 applications received). Presented committee assignments:
  • Permanent Fund Committee: Devins, Foster, Lally
  • Audit Committee: Mayor Fleming, Whitty, Green
  • Housing Subcommittee: Whitty, Devins, Sites
  • CSO Subcommittee: Whitty, Foster, Devins (Green stepped back due to multiple assignments)
• City Attorney (Jake): Reported on successful SARB hearing for TAPS valuation – set at $13 billion, highest in history, up from $8 billion settled valuation. Also updated on Ables v. City of Valdez (trial set May 10, 2027) and C-Plan remand issues (secondary containment testing, oral argument July 8).
• Mayor Fleming: Reported on scholarship awards, Alaska Telecom meeting at Civic Center.

Council Business from the Floor

• Councilmember Whitty thanked Parks & Rec for Glacier Lake Campground improvements and cleanup day participants.
• Councilmember Lally noted Memorial Day observance and thanked participants.
• Councilmember Green discussed SB 174 (Alaska Invasive Species Council) and noted RCAC concerns about invasive green crab migrating up the coast.
• Councilmember Devins thanked city attorney for SARB work and tourism task force for open house.
• Councilmember Foster expressed interest in supporting the permanent fund constitutional amendment (via resolution) and requested review of harbor fees raised by Thane Miller.

Executive Session

• The council adjourned the regular meeting and moved into executive session to discuss TAPS ad valorem tax litigation strategy, as authorized by the consent agenda.