In an effort to help resolve some of Homer Hockey Association's financial woes without being perceived as playing favorites, the Homer City Council added $50,000 to its annual contribution to the Homer Foundation to be divvied out to needy area nonprofits.
HHA had requested $36,000 from the city to offset a shortfall in the association's operating budget and had asked it be added as a line item in the city budget.
Monday's action recognized the need for HHA and other area nonprofits and will require HHA to ask the Homer Foundation for the money. Also, HHA will not get a line item on the budget.
While it wasn't exactly what HHA was asking for it should help the association shore up some of its finances, said HHA president Cinda Eckert.
"We'll make it work," she said. "It's not what we were hoping for; it's a start."
Eckert said she was concerned that there might be some restrictions on what the funds could be used for and that HHA might not be able to use the money for operating expenses which was the reason the association asked for the money in the first place.
But the council member who amended the ordinance, Dennis Novak, didn't see it as having such restrictions.
How the money could be spent wasn't specified in the ordinance and will be determined by the Homer Foundation, he said.
"We're clearly not handing the money directly to the (Homer Hockey Association), he said. "We're going through the process we've developed to use the Homer Foundation."
In the past, that process has worked in limiting the number of nonprofit organizations coming to the council chambers asking for money. But it hasn't stopped the practice entirely.
During last year's budget process, the Homer Senior Citizens asked for and received $20,000 in matching grant funds for operating expenses, raising the city's contribution to the Homer Foundation to $70,000.
This latest round of debate came after HHA came in front of the council and told them the rink on the Homer Spit may have to shut down if additional funds cannot be found.
The additional money approved Monday will increase that total to $120,000.
Novak said that if HHA receives the full $36,000 amount it requested, there would still be $14,000 for other area nonprofits to apply for funds.
"I don't want to create a vision in the community of us recognizing one group to the expulsion of another," he said.
The ordinance also stipulates that the rink will shut down in April and re-open in September, and the lease payments will still be due.
Homer Foundation director Joy Steward is out of town until Friday and could not be reached for comment.
In other news, the council:
* Confirmed the appointment of Laurie Moore as acting deputy treasurer.
nRecognized the resignation of council member Lane Chesley and declared the seat vacant. According to council bylaws, the remaining council members shall, within 30 days, appoint a qualified person to fill the vacancy.
* Approved the rezone of a portion of the urban residential district on East End Road to residential office. The .41-acre property is owned by Sharon and Tim Minsch and is located just west of Paul Banks Elementary School.
* Postponed an ordinance that would create the Scenic Gateway Corridor Overlay District along the Sterling Highway from Rogers Loop to the intersection of the Sterling Highway and Pioneer Avenue. The ordinance will be postponed until a replacement council member for Chesley is appointed because Matt Shadle and Dennis Novak own property in the area and are deemed to have a conflict of interest resulting in a lack of quorum to introduce the ordinance.
* Awarded the contract for the new water treatment plant improvement construction project to the firm of Udelhoven Oilfield System Services Inc. of Anchorage in the amount of $8,339,359. Two bids were received and both were above the engineer's estimate of $7,672,000. After much discussion between Carey Meyer, the city's public works director, and council members it was determined that rebidding the project would not guarantee lower bids.
* Postponed two ordinances awarding contracts for the 65 percent final design for the new city hall/town square plaza until after Tuesday's vote on a ballot question relating to issuing up to $8 million in bonds to fund the project.
Ben Stuart can be reached at ben.stuart@homernews.com.
