Proposed Amendments to the City Charter


WASTEWATER BOND PROPOSITION NO. 1

AND 

CHARTER AMENDMENT PROPOSITIONS NOs. 2-7



PROPOSITION NO. 1

Wastewater System Revenue Bonds

Sewer Main Replacement and Wastewater Treatment Plant Projects

$15,000,000

To pay costs of acquiring, constructing, reconstructing, repairing, improving, enlarging, and equipping (a) replacement sewer mains located at Tongass Avenue, Water Street, Park Avenue/Harris Street, and Ketchikan Lakes, which sewer mains are operated and maintained as part of the Wastewater System (the “Sewer Main Projects”), and (b) the new Charcoal Point Wastewater Treatment Plant Disinfection facility (the “WWTP Project”), shall the City issue and sell revenue bonds in an aggregate principal amount not to exceed $15,000,000 maturing within a maximum term of not more than 30 years from their issue date, the principal of and interest on which shall be payable solely from revenues of the City’s Wastewater System, all as provided in Resolution No. 25-2970 of the City Council? 


Frequently Asked Questions - FAQ 

Bond Proposition No. 1 - The Wastewater Bond Measure


BRIEF OVERVIEW - Proposition No. 1 

Bond Proposition No. 1 is a Revenue Bond that will allow the necessary replacement of failing sewer mains and will allow state-mandated upgrades to Ketchikan’s wastewater treatment facility located at 3921 Tongass Avenue.


Why do we have to Upgrade the Wastewater Processing Facility?

STATE & EPA MANDATED: 

  • The Environmental Protection Agency (EPA) and the State of Alaska have both mandated that to continue operating Ketchikan's existing wastewater treatment facility, we must upgrade the system to reduce fecal coliform to a new standard. 

MILLIONS IN FINES - POTENTIALLY: 

  • If we do not complete the upgrade within 5 years, the City of Ketchikan will be subject to fines potentially in the millions of dollars, which would be passed on to residents and businesses in the community.

UPGRADE ALTERNATIVE - BUILD NEW PLANT:

  • The alternative to upgrading the existing plant is to build a new wastewater treatment plant to achieve the new fecal coliform standard; such a facility could cost upwards of $100,000,000, which would be an overwhelming financial burden on the community.


What is the Cost of Bond Proposition No. 1?

The maximum costs of both projects (sewer main replacements and the upgrades to the wastewater treatment facility) are not to exceed $15,000,000.  

  • $5,000,000 is the anticipated cost of Upgrading and Replacing the Wastewater/Sewer lines. 
  • $10,000,000 is the anticipated cost of Upgrading the Wastewater Treatment Plant. (to meet State & EPA Mandates)


Does this mean our taxes will be raised to pay for the costs associated with this project?

No, this Bond would never raise taxes. 

A Revenue Bond for wastewater would be paid via revenues or user fees for the wastewater system. A Revenue Bond is not paid via taxes, only user fees.


How much will this cost an individual homeowner or apartment resident?

The fee is expected to be approximately $4.72 per month or $56.64 per year.


What areas are planned to have their wastewater/sewer mains replaced?

Planned areas for wastewater improvements are: Tongass Avenue, Water Street, Park Avenue/Harris Street, Bear Valley, and Ketchikan Lakes Road. These are areas with wastewater pipes more than 50 years old.


What happens if we don’t replace or repair the pipes?

If the lines are not replaced in the near future, we will continue to experience more frequent breaks, which are very expensive to repair on an emergency basis.  Additionally, these isolated repairs do not fix the problems in the remaining old pipes, which is why total replacement is required. 


Why do we have to vote on this Bond Proposition?

Since our wastewater system is owned by the City of Ketchikan, the City Charter rules require voter approval before a revenue bond can be issued. All debt loans must be pre-approved by the voters, unlike private businesses, which can take loans as they need.



CHARTER AMENDMENT PROPOSITIONS NOs. 2-7


The City Council is considering amendments to the City of Ketchikan Charter. Any amendments to the Charter can only be enacted by a vote of the qualified voters of the City. The final proposed amendments will be placed on the regular election ballot, set to take place on October 7, 2025. 

 

More information on the City’s Charter, the process to amend the Charter, and the proposed sections to be amended is available below. 

 

LINK - FULL Charter of the City of Ketchikan

LINK - Six Proposed Charter Amendments and One Bond Approved by the City Council July 17, 2025, pending City Election of October 7, 2025


PROPOSITION NO. 2

Section 2-13 of Article II: Ordinances Passage, When in Effect.

This amendment will allow ordinances to go into effect immediately upon passage of the second reading of the ordinance. 

Currently, the passage of an ordinance requires two public readings, typically 2-3 weeks apart at successive City Council meetings, and then a 30-day waiting period before it can go into effect. This would shorten the ordinance’s effective period from 30 days to immediately following the second reading. All ordinances specify the effective date, which will remain even if this amendment is made to allow for an immediate effective date. 

 

PROPOSITION NO. 3

Section 3-1 of Article III: City Manager: Appointment, Term, Qualifications, Removal.

The proposed amendment would allow an appointed manager to reside on the interconnected road system of Revillagigedo Island. The City of Ketchikan Charter was written and adopted in 1960, prior to the existence of the Ketchikan Gateway Borough. 

Per City Charter, the City Manager is required to live within the City limits. The proposed amendment does not change the powers and duties of the City Manager. The City Council would retain all powers to enact ordinances (laws) and resolutions, levy taxes, approve the city budget and oversee expenditures, and manage all city properties and assets. This amendment also removes all masculine references to the City Manager.

 

PROPOSITION NO. 4

Section 5-17 of Article V: Contracts and Sales.

This amendment would remove the requirement that any contract over 5-years in term or any sale or lease of City property (real or personal) valued at over $30,000 can only be enacted via approval by City voters of an ordinance.

If approved, these contracts and sales can be approved via a non-emergency ordinance approved by the City Council. It would also remove the dollar value limit for the sale or lease of such City property.

 

PROPOSITION NO. 5

Section 5-18 of Article V: Public Improvements.

This amendment would change the dollar amount of a contract for public improvements from a $50,000 limit to an amount that will be set by the City Council by ordinance (via the Municipal Code). 

The dollar limitations for purchases may need to be periodically adjusted for inflation. The amendment would allow the City Council to set a dollar amount to be based on current and changing circumstances, rather than changing the value via an amendment to the City Charter and an election process. 


PROPOSITION NO. 6

Section 5-19 of Article V: Personal Interest.

This amendment would allow the City to approve sales to City employees, the mayor, or a councilperson, as long as there are three written quotes and the most advantageous to the City is selected. Currently, these sales to the City from employees, the mayor, or council persons must be approved by the City Council via a majority vote. 

 

PROPOSITION NO. 7

Section 5-21 of Article V: Independent Annual Audit.

This amendment would allow the City Council to set, via resolution, a reasonable time frame to complete the independent (outside) annual audit of the City’s finances. The current time to complete the audit is within four months of the end of the fiscal year. This timeframe was established in 1960, and the City’s departments and responsibilities have since expanded, necessitating an extended timeframe in order to reasonably complete the annual financial audit.



Frequently Asked Questions - FAQ

Propositions Nos. 2-7 - Proposed Changes to the Charter of the City of Ketchikan

 

What is the Charter of the City of Ketchikan?

A municipal charter functions like a constitution for the city. It establishes the framework for how the local government operates, including its powers, structures, and responsibilities. The City of Ketchikan Charter was adopted in 1960.

 

Why does the Charter need to be changed?

The Charter of the City of Ketchikan was adopted in August 1960 with provisions that worked well at the time. Now, 65 years later, circumstances have changed, which may require adjustments to certain provisions to keep the Charter relevant and functional. The Charter of the City of Ketchikan has had very few amendments since its adoption. The last amendment was made in 1993, which changed the need for three bids for public improvements to increase from $10,000 to $50,000.

The City Council approved several proposed amendments for consideration at its April 17, 2025, meeting. The proposed amendments include changing purchase dollar limits, streamlining contracts, decreasing delays for contract acceptance, changing the time to complete the annual audit, establishing the Council as the authority to approve any contract that would exceed 5 years, and changing the requirement of the city manager to reside within the city. 

 

Why does there need to be a public vote to make charter changes?

As a foundational governing document, any changes to the City Charter are considered significant and require direct approval from the qualified voters of the City through a public vote per Article XIII, Amendment and Separability of Charter.

Reasons requiring a public vote to amend the Charter are:

  • Democratic Control: The charter belongs to the people, not the government. Just like constitutional changes require a vote at the state or federal level, charter changes must be approved by the City’s voters.
  • Prevents Overreach: It ensures elected officials can’t unilaterally change the rules of how government operates to suit their own interests.
  • Transparency and Accountability: Requiring a public vote keeps major governance changes in the open and ensures citizens are informed and involved in shaping how their city is run.

 

What is the difference between the Municipal Code and the Charter of the City of Ketchikan?

Charter of the City of Ketchikan

  • Definition: The Charter functions as the fundamental governing document of the City of Ketchikan, comparable to a constitution at the municipal level.
  • Scope: It establishes the structure of city government, defines the distribution of powers and responsibilities, outlines the processes for elections, taxation, and public governance, and sets forth the procedures for amending the Charter itself.
  • Amendments: Changes to the Charter require direct approval by the voters of the City of Ketchikan through a public election, as prescribed by state law and the Charter provisions.
  • Authority: The Charter takes precedence over ordinances and resolutions enacted by the City Council.

Ketchikan Municipal Code (KMC)

  • Definition: The Municipal Code is a compilation of the ordinances adopted by the Ketchikan City Council that govern the day-to-day operations of the City and the regulatory affairs of the City. These are municipal laws.
  • Scope: The Municipal Code addresses specific matters such as administration and personnel, revenue and finance, public safety regulations, public health standards, traffic and parking regulations, utility and enterprise services, and other municipal concerns.
  • Amendments: The Municipal Code may be amended or repealed by action of the City Council through the legislative process without requiring a public vote, unless otherwise specified by the Charter or state law.
  • Authority: The Municipal Code must remain consistent with the Charter and applicable state and federal laws.

 

What parts of the Charter are being changed and why?

The City Council has identified the following six (6) sections of the Charter for possible amendments. The draft Charter amendments with changes highlighted can be viewed in the link below. 


Proposed Language for Charter Amendments