FAIRBANKS MAYOR SEEKS OK FOR PROPERTY SALE

Fairbanks Mayor Steve Thompson is looking to put up 8 1/2 acres of
land for sale and is seeking the City Council's approval at tonight's
council meeting.

The property is located directly north of the Mitchell Expressway and
bordered by Lathrop Street. Thompson estimated the cost to be about
$400,000.

"Why does the city own all this property?" Thompson asked. "I'm
seeking to put it into private ownership."

Thompson said the city has had a couple of interested buyers for the
property. He also would like to sell the old Municipal Utilities
System's office on Fifth Avenue and the old Pioneer Hotel property on
First Avenue and Noble Street.

Proceeds from the sale of city property are deposited into the city's
permanent fund, Thompson said. Annually, the city may use 4 percent of
the five year average on the city's operation budge and a half of
percent on capital costs, he said.

The fund sits at $96 million, Thompson said.

Also on the council agenda is an ordinance that brings city code into
line with the Fairbanks North Star Borough's code regarding
motel/hotel tax exemptions, Thompson said.

The borough allows government employees who pay for rooms with a
government check or credit card to be exempt. That isn't the case in
city code and the ordinance is meant to change that, Thompson said.

"There has been some confusion," he said.

The mayor and Councilman Jeff Johnson would like to see the city take
a stand against Ballot Proposition No. 2, which asks voters to
legalize marijuana. The city of North Pole has already passed a
similar ordinance and the Borough Assembly will consider a taking a
stand on Thursday at its regular meeting.

The city's ordinance doesn't tell people how to vote but instead urges
them to really consider the implications of legalized marijuana before
voting, Thompson said.

"In this instance it's not a right to privacy," Thompson said. "It's a
health and safety issue."

The city will meet tonight at 7 p.m. in Council Chambers, located at
800 Cushman St.