Council mulls ordinances to spur housing development
The Nome Common Council met on Monday in a work session to go over the first draft FY23 budget presentation and then conducted a regular session, mulling three ordinances that are aimed at creating incentives for the construction of new residential housing units to alleviate the ever-worsening housing crisis in Nome.
Councilman Scot Henderson presented the ordinances as ways to encourage private initiatives to build or renovate housing by offering economic incentives in form of property tax breaks and permit fee exemptions. However, looking at the ordinances as written by the city’s attorney, Henderson found several sticking points. For example, the ordinance to offer property tax exemption as written would require that the property is designated “dilapidated” and must be in a designated area of the city and be on an existing list of dilapidated buildings. No, that’s not what his intent was, said Henderson. “We should not require properties to be on any list of deteriorated buildings that the city maintains,” he said. In the second ordinance, which aims to give a temporary property tax break to developing multi-unit residential housing, the eligibility criteria would be to construct or create no less than six dwelling units. Henderson again voiced his concern that his intent was offering the tax break from one rental unit and more.
The third ordinance proposed would give a rebate on permit fees for qualifying housing projects.
The council voted on all three ordinances, passing them unanimously through the first reading. However, before they progress to second reading and passage, the Council will meet in a work session with the City Attorney to discuss amendments or clarify language.
In other business, the council passed two resolutions that authorize the City to apply for grants from the US Dept. of Transportation and the Denali Commission to fund an Arctic port solid waste reception facility. “The US Army Corps of Engineers is actively designing the Port of Nome modifications project that will build the nation’s first deep draft port in the Arctic […] bringing a substantial increase in the number of vessels that will be using the Port of Nome, significantly elevating the need for ship waste disposal to be developed…,” read the resolution documents.
Port Director Joy Baker told the Council that they pursue the USDOT grant to fund the waste disposal facility up to 80 percent and the grant from the Denali Commission for the remaining 20 percent. She pegged the price tag of this facility to be $9.2 million, including the purchase of land, building the facility and buying an incinerator to burn the solid waste accepted from the ships. The council passed an affirmative vote on the resolution.
Finally, Chief of Police Mike Heintzelman stepped to the podium and brought to the council news of a significant arrest made last week (see story on page 1). He said he wrote a letter of commendation to Investigator Will Crockett and Victim Advocate Sharon Sparks. Heintzelman praised Crockett’s and Spark’s skill levels and said that Crockett is one of the best detectives he’s ever worked with. The combination of both, skilled investigator and victim advocate, in the room when victims relive traumatic episodes is serving justice and offering support to the victim. “I know that we don’t have always have the positive press, but I wanted to make sure that the citizens of Nome know that we are working very hard to give them the best we can,” Heintzelman said.
The Council next meets for a work session on the budget on Monday, May 16. The next regular meeting takes place on May 23.