City council advanced a plan to rezone two chunks of commercial land for residential use at last night’s meeting. The proposals from the landowners, Coe and Phyllis Whittern and the Ounalashka Corporation, got unanimous approval from the council.

The Whitterns are trying to rezone four lots along Broadway, in the Hillside Estates subdivision -- possibly for resale. Before council voted on their request, assistant city manager Patrick Jordan advocated for it.

"There was no controversy over these issues," Jordan said. "There is a definite need for housing in the community that’s been identified already. They’re busy clearing lots already down there. … It’s really the highest, best use for that property there."

The Ounalashka Corporation is planning for development on the Dutch Harbor side of town. Jordan explained the corporation’s request to rezone 9 acres of land on Biorka Drive, across the street from Sitka Spruce Park.

"I believe it’s going to begin with a rehab, or a remodel of an existing warehouse that’s there," Jordan said. "And then down the road, if the rezone is granted, they’ll be putting in more housing -- more high-density housing, [like] apartments."

The proposals will now move to a public hearing and second reading at the next council meeting on July 9. Mayor Shirley Marquardt said she was glad to see the land rezones move forward.

"This is great news," Marquardt said. "I love to hear this."

Council heard a presentation from insurance broker Brandon Allen on renewing insurance policies for the upcoming fiscal year. Unalaska will pay about $1 million to re-up its worker's compensation, property, liability, and marine insurance policies, among others. The premiums increased by about 9 percent over recent years.

Council also voted to renew several labor contracts, approving a three-year agreement with city employees in Local 302, of the International Union of Operating Engineers.

The city's lobbyists received new contracts for the upcoming fiscal year. Ray Gillespie will receive $79,000 to lobby on Unalaska's behalf at the state level. The city has retained Gillespie since 1990, and has paid $1.7 million since for his services and expenses. Council also approved a $76,000 agreement with Brad Gilman, the city’s federal lobbyist. The city first retained Gilman for lobbying in Washington, D.C., in 1995. Since then, Unalaska has spent $1.2 million on his work contracts and expenses.

Finally, council unanimously approved a $1.3 million contract with City Electric to install three-phase electricity for the new water treatment plant in Pyramid Valley.

City Electric is an electrical construction company, with offices in Anchorage, Fairbanks, and Olympia, Washington. They were the lowest qualified bidder on the contract, coming in about $800,000 below Northern Mechanical's bid, and $200,000 below the engineer's estimate.