Remaining members of the Borough Assembly revisited local nepotism rules, after member Stephen Prysunka tendered his resignation last month.
In a letter explaining the decision, Prysunka said his daughter had applied for a lifeguarding job with the city, and as such felt he had a conflict of interest under the city’s code. The current reading had been updated in August 2013, and does not allow for the assembly, manager, or other figures of authority to appoint relatives to offices or positions of profit if within the second degree of relation or affinity.
Other members accepted Prysunka’s decision reluctantly.
“I have a great deal of respect for Steve and his opinions and his view,” said Mark Mitchell. Though he admitted they did not always agree on matters, Mitchell felt he had a number of good ideas. David Powell echoed that sentiment, but added he accepted the decision because of the city charter.
Prysunka has served since he was appointed in 2014, with a term set to expire next year. He had previously served as the assembly’s liaison to the hospital board, and is the city’s voting member for the Southeast Alaska Power Agency board. Despite his resignation, assembly members agreed to reappoint him to serve another year on the board, along with current alternate Clay Hammer.
Wanting to keep him on, members discussed options which included amending the nepotism rules to exempt hourly waged and seasonal jobs usually filled by younger people.
“I think we need to really think long and hard before changing this,” cautioned member Becky Rooney.
City manager Jeff Jabusch expressed similar thoughts, explaining such restrictions actually helped protect his position to appoint or dismiss from undue pressures.
Mitchell noted there was a hard enough time as it was trying to fill positions on the city’s various boards and committees without the additional worry of relations in a small community. In the conversation, Mitchell’s son Duke Mitchell was pointed out to sit on Planning and Zoning, while Jabusch and Powell are distantly related by marriage. Ultimately no action was taken on the matter, and it was brought up that Prysunka could apply for reappointment if he wished.
In other business, following their approval during October’s meeting of zoning updates which would allow for particular cannabis-related businesses in town, assembly members discussed options for levying additional taxes on the sale of such products. Already the city has a seven-percent sales tax on goods and services, and the state currently expects $50 for every ounce of flower or bud sold, or $15 per ounce for the rest of the plant.
Speaking prior to the meeting, prospective cannabis retailer Kelsey Martinsen requested the city be reasonable when making the decision.
“If you’re talking about an excise tax, just make sure I can compete statewide,” he said. “I think any kind of additional costs will make it hard for me to compete with illegal operations.”
Looking at other communities around the state, member Patty Gilbert found municipalities’ approaches varied considerably. Houston, for example, added a flat rate of $10 per ounce of bud or $2 for the remainder sold. But then Ketchikan added an additional five-percent rate on top of its existing sales tax. Valdez meanwhile voted to place an excise worth 50 percent of the drug’s market value.
“It’s all over the place,” she said.
Rooney expressed an interest in fixing a tax to market value as equitable, while Mitchell likened it to raw fish taxes, saying he would not be opposed to a 10-percent rate to be applied.
Martinsen last month submitted applications for retail and cultivation licenses, and estimates it will be at least February before he can expect to be able to begin operations at his store, Happy Cannabis. With time to contemplate, assembly members charged the city clerk with looking into options for a new tax.
In other business, a request for modifying a contract zone agreement was approved, expanding the proposed storage facility at the Torgramsen-Glasner subdivision to include two buildings instead of one. A bid for recarpeting the courtroom area in the amount of $21,495 by Rainbow Builders was approved as well.
Mayor David Jack also extended an invitation to the public to attend a Veterans Day program at the high school on Friday, set for 10:30 a.m.
“If you are veteran, or you know a veteran, you’re invited,” he commented.
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