Daily Sitka Sentinel from Sitka, Alaska • Page 3

Juneau's Assembly Has Secret Meeting Daily Sitka Sentinel, Sitka, Alaska, Tuesday, October 7,1986, Page 3 JUNEAU (AP) Members of the Juneau City-Borough Assembly say they're uncomfortable about a secret meeting held over the weekend at the home of Mayor Ernie Polley. The mayor six assembly members to his home, where they talked about the city's part in a plan to build a hotel on Mt. Juneau and a tramway to it. Polley has acted as a for Alaska Trams Inc. as it tries to resolve some legal blocks to the contruction project.

The tram company owner, Chuck Keen, also has worked with the city to get project permits and made a land trade with the municipality for the development. No public notice of the meeting was given, and the participants were called a few hours before they met. State law says any gathering of two or more assembly members to discuss city- borough business must be announced in public. The attorney general has said such meetings require at least three days' notice. "We all were aware that it was illegal, but I think it was done in such a.

way that we didn't know all of us were going to be there," said assembly member Rosa lee Walker. She said she went to the meeting with the understanding Polley would be the only other person there. The meeting was attended by Walker, Errol Champion, Peter Freer, Rich Poor, and Fred Baxter and Jamie Parsons, both of whom are running for re-election. Assemblyman George Davidson was out of town, and Bruce Bdtelho, an assemblyman running for the state House, was not invited. Polley said he "was not absolutely certain" whether the meeting was illegal.

"I knew we were not going to be discussing any assembly business, so I felt it would not go under the rules," Polley said. But he later said the meeting included talk of the city's role in the project. Baxter said the meeting was not illegal because no city businesses was conducted. Other assembly members said they were not sure why the private meeting was called instead of discussing the matter in a regular assembly meeting, and some said they felt uncomfortable being there. Botelho said he intends to "talk to the mayor and the municipal attorney about why he was excluded.

Botelho said he was at his campaign headquarters Saturday afternoon, but never was called about the meeting. "I think the meeting was illegal," Botelho said. Polley was to return to Juneau Monday night from a meeting in Anchorage. Libertarians Launch Write-in Campaign Sewage Goes Into Juneau Residences JUNEAU (AP) Flushing the toilet went all wrong last weekend for Nancy Korn when she found sewage flowing into her bathroom instead of out of it, thanks to a construction error. "My wife had just arose from the toilet when she heard a strange noise underneath her," said Sid Korn.

"She looked down and ugly junk was bubbling out of the toilet and the bathtub. She was yelling and screaming as the stuff overflowed the tub and spread across the carpeting. It was awful. You couldn't believe what came out of that pipe." The Korns and their neighbor were driven from their homes Saturday when a city contractor attached a water line to a sewer line. Water pressure from the 6-inch pipe sent some 50 gallons of raw sewage spewing out of toilets and drains and across carpets, walls and fixtures.

Korn was watching contractors dig down to the pipe in front of his house when Mrs. Korn was startled by the overflow. "I immediately rushed out and told them to stop whatever they were doing, "Korn said. The contractors were following old maps that showed the sewer line as a water line, said George Porter, director of municipal engineering. He said city officials could not have foreseen that the maps were wrong, but said they'll need to be corrected.

The city paid for a janitorial service to tear out carpeting in the two homes and sterilize the floors and walls so the families could move back. The city will pay for new carpeting and repainting, but the cost hasn't been estimated, said Chuck Williams, city insurance officer. FDIC Issues Order To United Bank Alaska ANCHORAGE (AP) Federal banking regulators have ordered the United Bank Alaska to increase its cash reserves by late November and beef up control of its problem loans. In a formal "cease and desist order" signed Aug. 15, the Federal Deposit Insurance Corp.

required UBA to take 11 actions within the next 90 days to ensure the bank is being properly managed. Such orders are issued by federal or state regulatory agencies and can be enforced by the courts. The orders indicate a bank is having relatively serious financial problems, or that regulators are attempting to curb what they consider to be unsafe or unsound management. UBA officials agreed to abide by the order without admitting to unsound banking practices. Steve Katsanos, an FDIC spokesman in Washington, D.C., said banks usually wind up on the agency's list of problem banks when their cash, or capital, is drawn down to the point where it totals less that 6 percent of all assets.

On June 30, UBA's capital amounted to about 5.7 percent of total assets of nearly $471 million. UBA President Eugene Erskine said he could not discuss specifically how the bank is complying with the order until a letter to shareholders explaining the situation is drafted, approved by the FDIC, and mailed to shareholders. However, he said the bank already is talking to some of its shareholders about additional investments that would give the bank a needed cash infusion. "Fortunately, we have some strong owners who are willing to put up the money to help us weather this," Erskine said. He declined the name them.

ANCHORAGE (AP) The Alaska Libertarian Party, having failed to get its own candidate for governor off the ballot, has launched a write-in campaign in support of the Libertarian candidate who lost the Aug. 26 primary election. Mary O'Brannon's primary victory over Ed Hoch made her the official Libertarian candidate for governor in the Nov. 4 election. But party leaders don't want her.

They say she did not campaign and had left the state months earlier. They want Hoch. The party filed suit to remove O'Brannon's name from the ballot, but a superior court judge last week ruled in favor of O'Brannon. Saturday, the party leaders held; a teleconference and decided on the write-in campaign for Hoch, said Allegra Barnes, the Libertarian candidate for lieutenant governor. Barnes is now in the unique position of being the running mate of two candidates.

A vote for O'Brannon is a vote for Barnes because their names are together on the ballot. But Barnes' name is also under Hoch's on the write-. in stickers that Libertarians plan to hand out to interested voters. Not that there is any real chance of her winning with either candidate. In a primary with about 148,00 votes cast for all gubernatorial candidates, O'Brannon got 200 and Hoch received 179.

Barnes, who said she was on the verge of dropping out of the race last week, said the vote may again tip O'Brannon. "I'd like to bet'that she'11 get more votes than Ed," she said. "He wasn't known. And she's giving the impression that she's a mistreated person." One Prison Closes as Another Prison Opens Nearly 60 percent of the bank's stock is owned by native regional and village corporations. The major shareholders are Bristol Bay Native Doyon NANARegional Ahtna and the Kotzebue-based Kikiktugruk village corporation.

UBA is one of many Alaska lenders that to varying degrees have been hit by the decline in the state's economy and the plunging real estate market. The Anchorage-based bank reported it lost $3.6 million in the first six months of the year. In addition, at mid-year, loans worth about $50 million were non- performing or past-due, out of a loan portfolio of $328 million. Federal regulators said that the FDIC order contained blanket requirements that are standard to most such orders. Among the 11 requirements: -Within 90 days of the date the order went into effect, UBA must increase its capital to a level set by the FDIC.

The level was not disclosed. -UBA must start a program of strict accounting for loans found to be substandard by the FDIC, and report findings to the FDIC. The bank also develop and adopt a plan to control expenses. -The bank must establish a compliance committee made up of bank directors and officers responsible for monitoring and coordinating how well the bank adheres to the order. Katsanos, the FDIC spokesman, said the agency does not take action automatically if a bank cannot or does not comply with a cease and desist order.

"If there is a conscious failure on the part of management, and we feel the failure to comply is endangering the bank, we can seek removal of various officers that are not in compliance," he said. As a last resort, the FDIC could cancel the insurance that covers individuals up to $100,000 in the event the bank fails, he said. Deposits at the bank at the time of cancellation are protected for two years, he said. Wood Chips To be Used To Fix Road FAIRBANKS (AP) State highway officials hope wood chips will do the trick to shore up a sinking stretch of the Parks Highway south of Fairbanks. The stretch of road near Ester has sunk 10 feet since 1975, officials said.

Often that occurs because of melting permafrost, but not this time. "We found the ground underneath the embankment wasn't thawing. It was staying frozen and flowing out laterally," said Dave Esch, highway research manager for the state Department of Transportation and Public Facilities. Filling an excavated roadway with wood chips and then paving it has been used successfully in Oregon and Washington. This project is the first time it has been tried in Alaska, and there is some question the $660,000 wood-chip venture will work.

"I guess we'd have to consider it an experiment," Esch said. He predicted the wood chips would not stop the sideways creeping of ice, but would make it slower than if regular gravel and dirt fill were used. The roadbed will be excavated to a depth of 17 feet. Then 40,000 cubic yards of wood chips will be compacted and laid in place. Eighteen inches of borrow, followed by six inches of sub- base, six inches of paving base and two inches of asphalt will cover the chips.

Teleconference Set On Jails The House Health, Education, and Social Services committee will hold a statewide teleconference on Alaska's overcrowded jail system 1-4 p.m. Friday at the Legislative Information Office, 210 Lake St. Under discussion will be increasing effectiveness of the probation and parole system. Fairbanks Man Settles Over Shark Gun Injury PALMER (AP) One southcentral Alaska jail opened Monday, while another closed despite a last-minute request by six inmates to keep it open. The state Department of Corrections hopes to save $1 million over the next 10 months by closing the Goose Bay Prison, said Deputy Commissioner Art Schmidt.

The agency plans to use the prison as a training center for guards. The new Mat-Su Pretrial Facility in Palmer, at a cost of $4.5 million, opened Monday. It can hold 86 prisoners; and will be among several southcentral prisons to absorb the loss of the 108-bed Goose Bay Prison, Schmidt said. Buses were moving the prisoners Monday, and all inmates were expected to be transferred by today, Schmidt said. The agency's training academy staff will move to Goose Bay next week.

One corrections officer will remain to supervise a maintenance crew of eight prisoners, Schmidt said. "The idea is that, should we have to open the facility down the road, everything will be in place," he said. A temporary restraining order, requested by inmates who said closure of the Goose Bay Prison would result'in crowding at other prisons, was denied Thursday in Palmer Superior Court. One of the inmates, now incarcerated at the Palmer Correctional Center, said he was relying on another case, Cleary vs. State of Alaska, in which prisoners won many points on setting standards on prison population, health care and rehabilitation programs.

The case was appealed to the Supreme Court, and inmate Bob Sauer said the lack of a final decision weakened his case. "That pretty much shot me out of the water," he said. Fire Dept. Gives Safety Tip One child out of every three who died in a fire was alone and helpless when the fire struck. That is the shocking and tragic conclusion of a study the National Fire Protection Association according to the Sitka Fire Department in a special Fire Prevention Week Never leave small children alone.

Even if it's necessary to leave the house only for a few minutes, take them with you unless you can find a neighbor to watch over them. If you would protept your children from fire at home and at play, follow these precautions: 1. Make sure baby sitters have specific instructions in case of a fire. 2. Keep young children, two and under, in constant sight and mind.

3. Teach older children how to use and respect fire. They learn by your example. 4. Keep your home'free of fire hazards'by regular check-ups.

5. Train children of all ages how to get out of the house to safety in case of fire. Have at least two escape routes from every room, and be sure the youngsters know routes by heart. Community School Lists Classes HONOLULU (AP) A Fairbanks man whose hand was injured by a shark gun has settled with the manufacturer and a diving shop for $1.1 million, one of the man's lawyers said Monday. Local Hire Rule Goes Into Effect JUNEAU (AP) Oil and gas, construction and food producing companies are to begin keeping track this month of employees' occupations and job locations in order to meet Alaska's new local hire reporting requirements.

The Department of Labor will phase in the requirements over the next two years. Beginning in January, the new information will be added to the quarterly employers' report that businesses are required to give the state. The data is intended to give state officials a better understanding of the supply and demand for Alaska labor, and where companies need to bring in workers from outside the state. Immunizations Set Flu shots will be available Thursday 11:30 a.m.-3 p.m. at the Double O.

Merlin Dean Markland's right hand was injured in January 1983 when the safety pin fell out of a "Dacor Powerhead" shark gun his wife had bought him for Christmas at a Maui diving shop, said attorney Edgar Paul Boyko. The shotgun shell in the gun exploded in the palm of Markland's hand, requiring surgery and skin grafts over several months, Boyko said. Through Boyko and attorney Paul Davis, Markland claimed the manufacturer and dive shop should have foreseen the gun's dangers. "The shark gun was defectively designed," he said. "The barrel was so short you had to put your hand over the muzzle to load.

The safety pin was able to be sprung." He also said the gun was sold with no warnings or instructions. Expert witnesses were called to testify, but the participants reached an out-of-court settlement on Friday, Boyko said. The $1.1 million in cash must be paid by Oct. 20 under terms of the agreement, Boyko said. "That's very good for a hand," Boyko said.

The gun, which still is sold, was made by Dacor Industries of Northfield, 111., Boyko said. The shop that sold it was the Maui Dive Shop of Kihe, he said. Markland, 52, owns Dean's Glass and Salvage in Fairbanks. NEAR SOLDOTNA Escaped Inmate Hunted Mark Shuler will instruct a three- day photography class 7-10 p.m. Oct.

14-16 at Blatchley Junior High. Participants will need to bring their own 35 mm camera to class. Cost is $14. Don Seesz will hold a woodworking class 7-10 p.m. from Oct.

8 to Dec. 10 at Blatchley Junior High. The cost is $24. Participants are welcome to bring in their wood projects and use the equipment in the wood- shop area. For those requiring further information, call 747-8670.

Wednesday Night Special- Yarn Night Pinguoin Mousse-Cotton Mousse-Acrylic Fleur DeLaine Shetland SOLDOTNA (AP) The Alaska State Troopers and police on Monday intensified their search for escaped prison inmate Gary Frank Newcomb after he was spotted in the Soldotna area. Troopers Lt. Pat Kasnick said an anonymous caller reported seeing 32- year-old Gary Frank Newcomb on Sunday afternoon near the River Bend Campground. Two troopers sent to investigate spotted Newcomb, who apparently had been working to free a 1970 Volkswagen mired in the mud on a road near the Kenai River. "When troopers made verbal contact, he stood up and kicked off a pair of knee-high rubber boots and ran into the woods," Kasnick said.

"We had a positive identification by a resident who had talked with him and loaned him a car jack to get the car out. We're almost positive that it is Newcomb." Kasnick said the car was registered to an Astoria, man believed to be a summer worker at Kenai Packers, a fish processing plant in Kenai. The car was believed stolen from the plant, he said. Troopers earlier had mentioned the possibility that Newcomb might have been involved in the shooting death of a Palmer man last week on the Parks Highway, but Kasnick said that connection appeared unlikely. Newcomb escaped from the Wildwood Pre-Trial Facility in North Kenai about 36 hours before the slaying.

"He had been staying in one of the cabins in the area, we're sure of that," Kasnick said. "We found the cabin." Newcomb was awaiting transfer to California to serve 13-year sentence for kidnapping, attempted murder and robbery when he escaped Wednesday morning. He recently was sentenced in Kenai Superior Court to 20 years in prison for robbery and assault in a $350,000 fur heist in 1983. Crab Season Is Going Well YOU SET THE DATE AND WE'LL MAKE FT A DAT TO REMEMBER KODIAK (AP) The king crab fleet working in Bristol Bay has averaged about 1 million pounds of crab a day since the season opened Sept. 24, and has taken more than half the guideline harvest a mount.

State Department of Fish and Game biologist Ken Griffin of Dutch Harbor last week said he anticipated a catch near the upper end of the harvest level, 12 million pounds. Griffin said he will watch the catch results closely to determine when the season would close. King crab prices were said to be in the $4 to $4.10 per pound range. Amnesty to Meet Amnesty International will meet 7:30 p.m. Thursday in the basement of Sitka Lutheran Church.

The public is invited. Pinguoin Pattern Books Off 5pm 'til 8pm Only! Knit 'n Things 210 Lake Street Across from Fire Hall 747-3276 321 Lincoln Street Heating Oil Delivered Available and Long Distance Hauling Rentals Available Over 37 Years of Experience Means Better Service to You! Invitations, announcements and other printed accessories from Arrowhead Press Large selection, prompt and expert service. 112 Barracks at the Sentinel Office.