HomeMy WebLinkAbout2016-06-15 Council PacketAGENDA
KENAI CITY COUNCIL – REGULAR MEETING
JUNE 15, 2016, 6:00 P.M.
KENAI CITY COUNCIL CHAMBERS
210 FIDALGO AVE., KENAI, AK 99611
http://www.kenai.city
A. CALL TO ORDER
1. Pledge of Allegiance
2. Roll Call
3. Agenda Approval
4. Consent Agenda (Public comment limited to three (3) minutes per speaker;
thirty (30) minutes aggregated)
*All items listed with an asterisk (*) are considered to be routine and non-
controversial by the council and will be approved by one motion. There will be
no separate discussion of these items unless a council member so requests,
in which case the item will be removed from the consent agenda and
considered in its normal sequence on the agenda as part of the General
Orders.
B. SCHEDULED PUBLIC COMMENTS (Public comment limited to ten (10) minutes
per speaker)
C. UNSCHEDULED PUBLIC COMMENTS (Public comment limited to three (3)
minutes per speaker; thirty (30) minutes aggregated)
D. PUBLIC HEARINGS
1. Ordinance No. 2895-2016 – Increasing Estimated Revenues and
Appropriations by $1,000 in the General Fund, Fire Department for a Safety
Grant from the City’s Insurance Carrier, Alaska Public Entity Insurance to
Assist in the Purchase of an Automated External Defibrillator. ................ Pg. 5
2. Ordinance No. 2896-2016 – Authorizing Budget Transfers within the General
Fund and Appropriating Funds in the New City Shop and City Hall
Improvements Capital Project Funds. ..................................................... Pg. 7
3. Ordinance No. 2897-2016 – Amending Kenai Municipal Code 13.30.080 –
Operating a Vehicle in a Prohibited Area, to Prohibit Motorized Vehicle Use on
the South Beach from the Newly Constructed Royal Street South to the
Southern Beach Border of the City of Kenai City Limits (Old Cannery Road)
from July 5th to July 31st Each Year. .....................................................Pg. 11
4. Ordinance No. 2898-2016 – Conditionally Donating Certain Foreclosed City
Owned Property Described as Government Lot 128, Section 31, T6N, R11W
(KPB Parcel No. 04317003) to Kenai Peninsula Housing Initiatives for the
Development of Senior Housing. ..........................................................Pg. 17
Kenai City Council Meeting Page 2 of 4
June 15, 2016
5. Ordinance No. 2899-2016 – Conditionally Donating Certain Foreclosed City
Owned Property Described as an Approximately 1 ½ Acre Parcel to be
Subdivided from a Portion of the 77 Acre More or Less Portion of the SE ¼
Lying East of Mommsen Subdivision Addition No. 2 Section 25, T6N, R12W
(KPB Parcel No. 03901018) to Kenai Peninsula Housing Initiatives for the
Development of Restricted Income Housing. ........................................Pg. 23
6. Ordinance No. 2900-2016 – Amending Chapter 4.30-Electrical Code, by
Adopting the 2014 Edition of the National Electrical Code and Making Certain
Clerical Changes. .................................................................................. Pg. 29
7. Ordinance No. 2901-2016 – Amending Chapter 4.33-International Existing
Building Code, by Adopting the 2012 Edition of the International Existing
Building Code and Making Local Amendments. ..................................... Pg. 33
8. Ordinance No. 2902-2016 – Amending Chapter 4.32-Residential Code, by
Adopting the 2012 Edition of the International Residential Code and Making
Local Amendments. ............................................................................... Pg. 37
9. Ordinance No. 2903-2016 – Amending Chapter 4.10-International Property
Maintenance Code, by Adopting the 2012 Edition of the International Property
Maintenance Code and Making Local Amendments. ............................. Pg. 47
10. Resolution No. 2016-29 – Authorizing a Budget Transfer within the General
Fund to Provide a Matching Grant for Restoration of a Historical City of Kenai
Fire Truck. ............................................................................................. Pg. 51
11. Resolution No. 2016-30 – Authorizing an Agreement with Copper River
Seafoods, Inc. to Dispense Fuel at the Kenai Boating Facility. .............. Pg. 55
E. MINUTES
1.*Regular Meeting of May 18, 2016
2.*Regular Meeting of June 1, 2016 ............................................................ Pg. 73
F. UNFINISHED BUSINESS
1. Ordinance No. 2904-2016 – Determining that Lot 4A, Block 3, Cook Inlet
Industrial Air Park Subdivision, 2014 Replat, Owned by the Airport Outside the
Airport Reserve is Not Needed for a Public Purpose and Authorizing the Sale
of the Parcel to Schilling Rentals, a Partnership Owned by David and Michael
Schilling. [Clerk’s Note: At its meeting on June 1, 2016, Council approved a
motion to postpone the introduction of this ordinance. A motion to introduce is
on the floor.]..........................................................................................Pg. 89
G. NEW BUSINESS
1. *Action/Approval – Bills to be Ratified. ................................................ Pg. 93
Kenai City Council Meeting Page 3 of 4
June 15, 2016
2. *Action/Approval – Purchase Orders Exceeding $15,000. ................... Pg. 95
3. *Ordinance No. 2905-2016 – Increasing Estimated Revenues and
Appropriation and Authorizing a Budget Transfer in the Vintage Pointe
Enterprise Fund and Awarding a Contract for a Resident (On-Site)
Maintenance Manager for the Vintage Pointe, Congregate Housing Facility.
.............................................................................................................. Pg. 97
4. Action/Approval – Authorizing an Amendment of the Special Use Permit to
Hilcorp Alaska, LLC to Allow for Additional Vehicle Parking at the Kenai Airport.
........................................................................................................... Pg. 101
5. Action/Approval – City Donation of a Memorial Plaque Honoring Kayo
McGillivary to be placed at Leif Hanson Memorial Park. ..................... Pg. 107
H. COMMISSION/COMMITTEE REPORTS
1. Council on Aging
2. Airport Commission
3. Harbor Commission
4. Parks and Recreation Commission
5. Planning and Zoning Commission ...................................................... Pg. 109
6. Beautification Committee
7. Mini-Grant Steering Committee
I. REPORT OF THE MAYOR
J. ADMINISTRATION REPORTS
1. City Manager ...................................................................................... Pg. 113
2. City Attorney
3. City Clerk
K. ADDITIONAL PUBLIC COMMENT
1. Citizens Comments (Public comment limited to five (5) minutes per speaker)
2. Council Comments
L. EXECUTIVE SESSION
1. Discussion/Direction RFP for Property for Sale or Lease Located at 10639
Kenai Spur Highway, Kenai AK 99611. [AS 44.62.310(c)(1)(3) a matter of
which the immediate knowledge may have an adverse effect upon the finances
of the City, and a matter by which law, municipal charter, or ordinance are
required to be confidential.]
2. Unsolicited Offer to Purchase Airport Land. Lot 1A, Deshka Subdivision, Plat
No. K-1577. [AS 44.62.310(c)(1)(3) a matter of which the immediate
knowledge may have an adverse effect upon the finances of the City, and a
Kenai City Council Meeting Page 4 of 4
June 15, 2016
matter by which law, municipal charter, or ordinance are required to be
confidential.]
M. PENDING ITEMS – None.
N. ADJOURNMENT
****************************************************************************************************
INFORMATION ITEMS
1. Purchase Orders between $2,500 and $15,000 for Council Review.
The agenda and supporting documents are posted on the City’s website at
www.kenai.city. Copies of resolutions and ordinances are available at the City Clerk’s
Office or outside the Council Chamber prior to the meeting. For additional information,
please contact the City Clerk’s Office at 907-283-8231.
Page 5 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 6 of 138
Page 7 of 138
Page 8 of 138
Page 9 of 138
Page 10 of 138
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2897-2016
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING
KENAI MUNICIPAL CODE 13.30.080 – OPERATING A VEHICLE IN A PROHIBITED
AREA, TO PROHIBIT MOTORIZED VEHICLE USE ON THE SOUTH BEACH FROM THE
NEWLY CONSTRUCTED ROYAL STREET, SOUTH TO THE SOUTHERN BEACH
BORDER OF THE CITY OF KENAI CITY LIMITS (OLD CANNERY ROAD), FROM JULY
5TH TO JULY 31ST EACH YEAR.
WHEREAS, in response to complaints from residents living on the South Beach as well
as to address habitat concerns, management concerns, access issues and safety
concerns, the City has constructed new access on the South Beach to the north of all
private residences to provide participant access to the dip net fishery; and,
WHEREAS, one of the primary issues addressed by the new road is vehicular traffic on
the beach accessing the dip net fishery; and,
WHEREAS, the City currently prohibits vehicular traffic on parts of the North Beach
and South Beach as provided in KMC 13.30.080-Operating a Vehicle in a Prohibited
Area; and,
WHEREAS, the City owns the tidelands on the South Beach, below mean high water,
within City Limits and has the authority to limit vehicle access for the purpose of
protecting property and public health and safety; and
WHEREAS, amending KMC 13.30.080-Operating a Vehicle in a Prohibited Area, to
seasonally prohibit vehicular traffic from the point where Royal Street intersects with
the South Beach, south to where the City limits end on the beach, fulfills the purpose
of the newly constructed access by protecting private property, sensitive beach habitat,
improving public safety and allowing the City to manage its interest involving the dip
net fishery; and,
WHEREAS, limiting the vehicular restriction from July 5th to July 31st, each year,
reduces the majority of the annual vehicular traffic on the applicable section of the
South Beach and addresses the City’s management concerns while still allowing the
public to use the South Beach with vehicles during the remainder of the year with a
greatly reduced impact on property and public health and safety; and,
WHEREAS, KMC 13.20.035-Camping, Fires and Other Activities on City Beaches, allows
the City Manager and Council to extend the vehicular restriction should the dip net
season be extended beyond July 31st.
Page 11 of 138
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, as follows:
Section 1. Form: That this is a code ordinance.
Section 2. Amendment of Section 13.30.080 of the Kenai Municipal Code: That Kenai
Municipal Code, Section 13.30.080 - Operating a Vehicle in a Prohibited Area, is hereby
amended as follows:
13.30.080 Operating a [V]Vehicle in a [P]Prohibited [A]Area.
(a) North Shore.
(1) It is unlawful for any person to operate a motorized vehicle in the area
indicated on the map appended to this chapter, designated as Appendix II, and
made a part thereof, excepting the established roads within the area of beach
road and a portion of Spruce Street and further excepting transit of this
prohibited area entering or leaving at the designated area at the beach road and
directly to the northwest to the westerly boundary of the prohibited area which
may be entered or exited only in the tidal area. City, state or public safety (police,
fire, ambulance, rescue) vehicles may operate in the prohibited area if necessary
for public safety purposes.
(2) Further, specifically prohibited is the operation of a motor vehicle on any
portion of the bluff slope in the area above so designated as prohibited, as is
indicated on the map appended to this chapter, designated as Appendix II, and
made a part thereof.
(3) Operation of motorized vehicles in that portion of the prohibited area
southerly and easterly from the east end of Beach Road may be permitted for the
purpose of working on beached boats and barges provided that a permit is
secured prior to such operation. Applications for such permits shall be filed with
the City Manager or his designated appointee setting forth details as to the work
to be performed and the dates of such performance. The City Manager may issue
such permit, if he finds it reasonable under the circumstances, for a specified
period of time, which may be extended on application showing good cause for
such extension.
(4) Operation of motorized vehicles in that portion of the prohibited area
described in KMC 13.30.080(a) above and entry to such area at a point or points
other than at the natural end of Spruce Street may be permitted for the purpose
of working on the Sewage Treatment Plant and on utility facilities provided that
a permit is secured prior to such operation. Applications for such permits shall
be filed with the City Manager or his designated appointee setting forth details as
to the work to be performed and the dates of such performance, the areas in
which such operations are required and the point or points of entry required to
expedite the work. The City Manager shall condition such permit or permits on
repair or reconditioning of the beach area or bluff and may require a bond in such
amount and with such terms, with or without cash deposit or other surety, as he
Page 12 of 138
may deem advisable to secure such repair or reconditioning or to reimburse the
City for damages to the areas concerned.
(b) South Shore. It is unlawful for any person to operate a motorized vehicle on the
vegetated area at all times. The area from the intersection of Royal Street and the South
Beach south to the City Limits on the South Beach is also closed to motorized vehicles
from July 5th to July 31st each year. The areas closed to motor vehicles are delineated
by the map appended to this chapter, designated as Appendix II, and made a part
thereof. City, state or public safety (police, fire, ambulance, rescue) vehicles may operate
in the prohibited area if necessary the public safety, maintenance, repair cleaning and
upkeep purposes.
Section 3. Severability: That if any part or provision of this ordinance or application
thereof to any person or circumstances is adjudged invalid by any court of competent
jurisdiction, such judgment shall be confined in its operation to the part, provision, or
application directly involved in all controversy in which this judgment shall have been
rendered, and shall not affect or impair the validity of the remainder of this title or
application thereof to other persons or circumstances. The City Council hereby declares
that it would have enacted the remainder of this ordinance even without such part,
provision, or application.
Section 4. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall
take effect 30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 15th day of June,
2016.
______________________________________
PAT PORTER, MAYOR
ATTEST:
___________________________________
Sandra Modigh, City Clerk
Introduced: June 1, 2016
Enacted: June 15, 2016
Effective: July 15, 2016
Page 13 of 138
Kenai Spur HighwaySo
u
t
h
F
o
r
e
s
t
D
r
i
v
e
B
r
i
d
g
e
A
c
c
e
s
s
R
o
a
d
So
u
t
h
S
p
r
u
c
e
S
t
r
e
e
t
Bo
w
p
i
c
k
e
r
L
a
n
e
Old Cannery Road
Appendix II
13.30.080
Operating a Vehicle
in a Prohibited Area
No Motorized Vehicles Allowed
No Motorized Vehicles Allowed
July 5 - July 31 (Unless Extended)
Line of Bluff
Mouth of
Kenai River
Page 14 of 138
Page 15 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 16 of 138
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2898-2016
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, CONDITIONALLY
DONATING CERTAIN FORECLOSED CITY OWNED PROPERTY DESCRIBED AS
GOVERNMENT LOT 128, SECTION 31, T6N, R11W (KPB PARCEL NO. 04317003) TO
KENAI PENINSULA HOUSING INITIATIVES FOR THE DEVELOPMENT OF SENIOR
HOUSING.
WHEREAS, Kenai Municipal Code 22.05.125, Grant or Devotion, allows the Council, by
Ordinance, to donate foreclosed real property that is no longer needed by the City for a
public purpose, to a non-profit corporation for consideration; agreed upon between the
City and grantee without a public sale if the devotion is advantageous to the City; and,
WHEREAS, Kenai Peninsula Housing Initiatives (KPHI) is a non-profit corporation with
a mission to provide low income, very low income, senior and special needs residents
affordable housing options; and,
WHEREAS, KPHI has identified Government Lot 128, Section 31, T6N, R11W (KPB
Parcel No. 04317003, 1207 Second Avenue) as the desired location to provide Senior
Housing within the City of Kenai; and,
WHEREAS, the referenced property was acquired through tax and/or special
assessment foreclosures in 1987 and was declared as not needed for a public purpose
and available for sale in Ordinance No. 1414-91; and,
WHEREAS, KPHI indicates that lack of senior housing is a leading cause of seniors
leaving the City; and,
WHEREAS, relocating away from family, friends and medical and social support systems
can be especially traumatic for seniors; and,
WHEREAS, the City desires to support senior housing in the community; and,
WHEREAS, donating the subject parcel to KPHI at less than fair market value is in the
best interest of the City, and;
WHEREAS, conditions must be placed on the transfer or condition the transfer to ensure
senior housing is developed or the property is returned to the City.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, as follows:
Section 1. Form: That this is a non-code ordinance.
Page 17 of 138
Section 2. That the Kenai City Council hereby authorizes the City Manager to
execute, upon completion of necessary proof of financing for the development, the
transfer of title for the property: Government Lot 128, Section 31, T6N, R11W (KPB
Parcel No. 04317003, 1207 Second Avenue), to Kenai Peninsula Housing Initiatives, Inc.
(KPHI), on a form approved by the City Attorney, for less than fair market value and for
the sole purpose of developing a senior housing facility.
Section 3. That KPHI must complete at its own expense all actions necessary for the
development of the property; and to provide proof of financing sufficient for the project
as prior conditions of the transfer of title; and to pay all closing costs and fees for said
property and consideration to the City for the property.
Section 4. That the Kenai City Council further finds the disposal of the parcel to be
in the best interests of the citizens of the City of Kenai and that the public interest shall
be served by disposing of the property interest for less than the fair market value, in
accordance with the recitals above which are incorporated herein.
Section 5. That the Kenai City Council further finds that if the action items described
herein are not completed by May 26, 2020, the authorization to transfer the land lapses
unless further authorized by the City Council.
Section 6. Severability: That if any part or provision of this ordinance or application
thereof to any person or circumstances is adjudged invalid by any court of competent
jurisdiction, such judgment shall be confined in its operation to the part, provision, or
application directly involved in all controversy in which this judgment shall have been
rendered, and shall not affect or impair the validity of the remainder of this title or
application thereof to other persons or circumstances. The City Council hereby declares
that it would have enacted the remainder of this ordinance even without such part,
provision, or application.
Section 7. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall
take effect 30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 15th day of June,
2016.
______________________________________
PAT PORTER, MAYOR
ATTEST:
___________________________________
Sandra Modigh, City Clerk
Introduced: June 1, 2016
Enacted: June 15, 2016
Effective: July 15, 2016
Page 18 of 138
Page 19 of 138
Page 20 of 138
Page 21 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 22 of 138
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2899-2016
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, CONDITIONALLY
DONATING CERTAIN FORECLOSED CITY OWNED PROPERTY DESCRIBED AS AN
APPROXIMATELY 1 ½ ACRE PARCEL TO BE SUBDIVIDED FROM A PORTION OF THE
77 ACRE MORE OR LESS PORTION OF THE SE ¼ LYING EAST OF MOMMSEN
SUBDIVISION ADDITION NO. 2 SECTION 25, T6N, R12W (KPB PARCEL NO. 039 010
18) TO KENAI PENINSULA HOUSING INITIATIVE FOR THE DEVELOPMENT OF
RESTRICTED INCOME HOUSING.
WHEREAS, Kenai Municipal Code 22.05.125, Grant or Devotion, allows the Council, by
Ordinance, to donate foreclosed real property that is no longer needed by the City for a
public purpose, to a non-profit corporation for consideration; agreed upon between the
City and grantee without a public sale if the devotion is advantageous to the City; and,
WHEREAS, Kenai Peninsula Housing Initiatives (KPHI) is a non-profit corporation with
a mission to provide low income, very low income, senior and special needs residents
affordable housing options; and,
WHEREAS, KPHI has identified an approximately 1 ½ acre parcel to be subdivided from
a portion of the 77 acre more or less portion of the SE ¼ lying east of Mommsen
Subdivision Addition No. 2 Section 25, T6N, R12W (KPB Parcel No. 03901018) as the
desired location to provide Senior Housing within the City of Kenai; and,
WHEREAS, there is a need for low income housing in the City of Kenai; and,
WHEREAS, the City desires to support low income housing in the community; and,
WHEREAS, donating the subject parcel to KPHI at less than fair market value is in the
best interest of the City, and;
WHEREAS, conditions must be placed on the transfer or condition the transfer to ensure
low income housing is developed or the property is returned to the City.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, as follows:
Section 1. Form: That this is a non-code ordinance.
Section 2. That the Kenai City Council hereby authorizes the City Manager to
execute, upon completion of a subdivision and necessary proof of financing for the
development, the transfer of title for the property: approximately 1 ½ acre parcel to be
subdivided from a portion of the 77 acre more or less portion of the SE ¼ lying east of
Page 23 of 138
Mommsen Subdivision Addition No. 2 Section 25, T6N, R12W (KPB PARCEL No.
03901018), to Kenai Peninsula Housing Initiatives, Inc. (KPHI), on a form approved by
the City Attorney, for less than fair market value and for the sole purpose of developing
a income restricted housing.
Section 3. That KPHI must complete at its own expense all actions necessary for the
subdivision and development of the property; and to provide proof of financing sufficient
for the project as prior conditions of the transfer of title; and to pay all closing costs and
fees for said property and consideration to the City for the property.
Section 4. That the Kenai City Council further finds the disposal of the parcel to be
in the best interests of the citizens of the City of Kenai and that the public interest shall
be served by disposing of the property interest for less than the fair market value, in
accordance with the recitals above which are incorporated herein.
Section 5. That the Kenai City Council further finds that if the action items described
herein are not completed by May 26, 2020, the authorization to transfer the land lapses
unless further authorized by the City Council.
Section 6. Severability: That if any part or provision of this ordinance or application
thereof to any person or circumstances is adjudged invalid by any court of competent
jurisdiction, such judgment shall be confined in its operation to the part, provision, or
application directly involved in all controversy in which this judgment shall have been
rendered, and shall not affect or impair the validity of the remainder of this title or
application thereof to other persons or circumstances. The City Council hereby declares
that it would have enacted the remainder of this ordinance even without such part,
provision, or application.
Section 7. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall
take effect 30 days after adoption.
______________________________________
PAT PORTER, MAYOR
ATTEST:
___________________________________
Sandra Modigh, City Clerk
Introduced: June 1, 2016
Enacted: June 15, 2016
Effective: July 15, 2016
Page 24 of 138
Page 25 of 138
Page 26 of 138
Page 27 of 138
Page 28 of 138
Page 29 of 138
Page 30 of 138
Page 31 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 32 of 138
Page 33 of 138
Page 34 of 138
Page 35 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 36 of 138
Page 37 of 138
Page 38 of 138
Page 39 of 138
Page 40 of 138
Page 41 of 138
Page 42 of 138
Page 43 of 138
Page 44 of 138
Page 45 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 46 of 138
Page 47 of 138
Page 48 of 138
Page 49 of 138
Page 50 of 138
Page 51 of 138
Page 52 of 138
Page 53 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 54 of 138
Page 55 of 138
Page 56 of 138
Page 57 of 138
Page 58 of 138
Page 59 of 138
Page 60 of 138
Page 61 of 138
Page 62 of 138
Page 63 of 138
Page 64 of 138
Page 65 of 138
Page 66 of 138
Page 67 of 138
Page 68 of 138
Page 69 of 138
Page 70 of 138
Page 71 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 72 of 138
KENAI CITY COUNCIL – REGULAR MEETING
JUNE 1, 2016 – 6:00 P.M.
KENAI CITY COUNCIL CHAMBERS
210 FIDALGO AVE., KENAI, AK 99611
MAYOR PAT PORTER, PRESIDING
MINUTES
A. CALL TO ORDER
A Regular Meeting of the Kenai City Council was held on June 1, 2016, in City Hall Council
Chambers, Kenai, AK. Mayor Pat Porter called the meeting to order at 6:00 p.m.
1. Pledge of Allegiance
Mayor Porter led those assembled in the Pledge of Allegiance.
2. Roll Call
There were present:
Pat Porter, Mayor Robert Molloy
Henry Knackstedt Tim Navarre (absent)
Terry Bookey (telephonic) Brian Gabriel, Vice Mayor
Mike Boyle (absent)
A quorum was present.
Also in attendance were:
**Mackenzie Lindeman, Student Representative
Rick Koch, City Manager
Scott Bloom, City Attorney
Sandra Modigh, City Clerk
Jamie Heinz, Deputy Clerk
3. Administer Oath of Office for Student Representative Mackenzie Lindeman
Mayor Porter administered the Oath of Office for Student Representative Mackenzie Lindeman.
Council Member Bookey joined the meeting at 6:03 P.M.
4. Agenda Approval
Mayor Porter noted the following items to be added to the packet:
Add to item D.1 Ordinance No. 2890-2016
• Amendment Memo
Remove Item E.1. Minutes
Page 73 of 138
• Regular Meeting of May 18, 2016.
Move Item G.13
To Item D.2. Discussion of Proposed KPB Ordinance No. 2016-16.
MOTION:
Council Member Molloy MOVED to approve the agenda with requested revisions to the agenda
and packet and requested UNANIMOUS CONSENT. Council Member Knackstedt SECONDED
the motion.
VOTE: There being no objections, SO ORDERED.
5. Consent Agenda
MOTION:
Council Member Knackstedt MOVED to approve the consent agenda and requested
UNANIMOUS CONSENT. Council Member Gabriel SECONDED the motion.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
It was requested that Ordinance No. 2904-2016 be removed from the Consent Agenda.
VOTE: There being no objections, SO ORDERED.
*All items listed with an asterisk (*) are considered to be routine and non-controversial
by the council and will be approved by one motion. There will be no separate
discussion of these items unless a council member so requests, in which case the item
will be removed from the consent agenda and considered in its normal sequence on
the agenda as part of the General Orders.
B. SCHEDULED PUBLIC COMMENTS
C. UNSCHEDULED PUBLIC COMMENTS
D. PUBLIC HEARINGS
1. Ordinance No. 2890-2016 – Adopting the Annual Budget for the Fiscal Year
Commencing July 1, 2016 and Ending June 30, 2017
MOTION:
Council Member Molloy MOVED to enact Ordinance No. 2890-2016 and the motion was
SECONDED by Council Member Knackstedt.
Mayor Porter opened the public hearing; there being on one wishing to be heard, public comment
was closed.
Page 74 of 138
MOTION TO AMEND:
Council Member Gabriel MOVED to amend by inserting “WHEREAS, employee healthcare is a
substantial portion of the City’s annual budget averaging more than 8% of the City’s General Fund
Budget; and, WHEREAS, annual increases and decreases have ranged from (12.92%) to 31.14%
over the last ten years having substantial impacts on the budgeting process from year to year;
and, WHEREAS, establishment of a reserve to grow when annual increases are low and be used
when high will minimize the budgetary impacts and provide stability in budgeting for healthcare
costs; and, WHEREAS, stability in budgeting assures constant levels of service to residents; and”
preceding the first WHEREAS clause, and, following Section 3, insert, “Section 4: The Council of
the City of Kenai commits $100,000 of General Fund, Fund Balance to a health insurance reserve
to be used in future years for maintaining employee healthcare benefits. Committed fund balance
is a limitation imposed at the highest level of decision making and requires action at the same
level to remove.” and the motion was SECONDED by Council Member Knackstedt.
It was noted that healthcare premium costs occasionally impact the budget drastically and the
purpose of the amendment was to build in replacement costs such as is done in other funds such
as Vintage Point or the Water – Sewer Fund.
It was clarified that $100,000 of surplus would be in the fund balance, but restricted. It was noted
that the result of the amendment was Council committing the funds and as such, Council would
have to, by ordinance, spend the funds.
Clarification was provided regarding the differences between committed, uncommitted, assigned,
and undesignated fund balances. It was noted that a commitment was not an obligation to spend.
VOTE ON THE AMENDMENT:
YEA: Knackstedt, Gabriel, Porter, Molloy
NAY: Bookey,
** Student Representative Lindeman: YEA
MOTION PASSED.
MOTION TO AMEND :
Council Member Molloy MOVED to amend by incorporating a full time Human Resource Specialist
position and a part time Administrative Assistant 3 position increasing the General Fund by
$57,838.00 and the Airport Fund by $688.00 and the motion was SECONDED by Council Member
Bookey.
It was suggested that the City’s employment levels had reached the level that necessitated a full
time Human Resource Specialist and half time Administrative Assistant, as opposed to the
manager’s assistant covering the Human Resource function.
Administration explained that the human resource role was a function of the manager and also
explained that half time position was problematic.
It was explained that creating a specific position was not desired as it created a class within the
City and if the position went away, the class would also, triggering a termination study by the
Public Employee Retirement System and a potential financial burden.
Page 75 of 138
MOTION TO AME ND THE AMENDMENT:
Council Member Bookey MOVED to amend the amendment by changing the Administrative
Assistant 3 position to a full time position and adding a total of $84,901.00 to the budget as
specified in the manager’s memo and the motion was SECONDED by Council Member Molloy.
It was noted that the manager’s office spent varied amounts of time on human resource matters
dependent on the season.
It was suggested that with the state’s budget climate, adding positions may not be in the best
interest of the City.
VOTE ON THE AMENDMENT TO THE AMENDMENT:
YEA: Bookey, Molloy
NAY: Gabriel, Knackstedt, Porter
** Student Representative Lindeman: NAY
MOTION FAILED.
VOTE ON THE AMENDMENT:
YEA: Bookey, Porter, Molloy
NAY: Knackstedt, Gabriel
** Student Representative Lindeman: NAY
MOTION PASSED.
MOTION TO AMEND:
Council Member Bookey MOVED to amend by removing $5,000 from Legislative Grants to Other
Agencies for the CARTS Transportation Study and the motion was SECONDED by Council
Member Molloy.
VOTE ON THE AMENDMENT:
YEA: Knackstedt, Gabriel, Porter, Bookey,
NAY: Molloy
** Student Representative Lindeman: NAY
MOTION PASSED.
MOTION TO AMEND :
Council Member Bookey MOVED to amend by removing $10,000 from Legislative Grants to Other
Agencies for the Kenai Historic Fire Truck Restoration and the motion was SECONDED by
Council Member Molloy.
It was suggested that the project be privately funded due to uncertain financial times.
Page 76 of 138
VOTE ON THE AMENDMENT:
YEA: Gabriel, Bookey, Molloy
NAY: Porter, Knackstedt
** Student Representative Lindeman: NAY
MOTION PASSED.
MOTION TO AMEND :
Council Member Bookey MOVED to amend by removing $35,000 from Non-Departmental
Transfers for the Kenai Event Park schematic design and the motion was SECONDED by Council
Member Molloy.
It was suggested that timing was not right for consideration of this project.
It was noted that a committee spent five months considering this attraction for Kenai and it was
suggested that the park could be an economic benefit over time.
VOTE ON THE AMENDMENT:
YEA: Bookey, Molloy
NAY: Porter, Knackstedt, Gabriel
** Student Representative Lindeman: NAY
MOTION FAILED .
[Clerk’s Note: Mayor Porter passed the gavel to Vice Mayor Gabriel.]
MOTION TO RECONSIDER:
Mayor Porter MOVED to reconsider the motion to amend by incorporating a full time Human
Resource Specialist position and a part time Administrative Assistant 3 position increasing the
General Fund by $57,838.00 and the Airport Fund by $688.00 and the motion was SECONDED
by Council Member Knackstedt.
It was noted that the position was needed, but may be premature this year.
VOTE ON THE RECONSIDERATION:
YEA: Molloy, Gabriel Porter
NAY: Bookey, Knackstedt
** Student Representative Lindeman: YEA
MOTION PASSED.
[Clerk’s Note: Motion on the floor was the motion made by Council Member Molloy, seconded by
Council Member Bookey to amend by incorporating a full time Human Resource Specialist
position and a part time Administrative Assistant 3 position increasing the General Fund by
$57,838.00 and the Airport Fund by $688.00.]
Page 77 of 138
VOTE ON THE RECONSIDERED MOTION:
YEA: Bookey, Molloy
NAY: Knackstedt, Porter, Gabriel
** Student Representative Lindeman: NAY
MOTION FAILED.
Finance and Administration was thanked for their work on the budget process; options presented
clearly.
It was clarified that the general fund budget amount was $15,419,980.00 after all amendments.
MOTION TO AMEND:
Council Member Bookey MOVED to amend by changing the budgeted amount of the General
Fund in Section 3 from $15,434,980 to $15,419,980 and the motion was SECONDED by Council
Member Molloy. UNANIMOUS CONSENT was requested.
VOTE: There being no objections; SO ORDERED.
VOTE ON THE MAIN MOTION:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
[Clerk’s Note: Agenda Item G. 13. was moved to this point in the meeting at approval of the
agenda.]
13. Action/Approval – Discussion of Proposed KPB Ordinance No. 2016-16 Proposing a
Ballot Proposition to Increase the Maximum Amount of a Sale Subject to Sales Tax
(Sales Tax Cap) from $500 to $1,000 and Exempting Residential Rents from Sales
Tax if the Sales Tax Cap is Increased.
Administration pointed out that several ordinances were introduced at the Borough level to amend
sales taxes, noting if they passed the Assembly, they would go before the voters. It was also
pointed out that the City of Kenai sales tax code adopted the Borough’s sales tax code unless
Kenai City Council took action to make a change. Options to do nothing, wait and see, or take
action were presented.
Assistant to the Borough Mayor added that the ordinances were an attempt to rebalance the sales
and property tax bases and also provide a provision allowing the Finance Director to reevaluate
the taxes levied every five years and modify according to inflation.
It was suggested that the City should not take action until Borough took action.
Page 78 of 138
2. Ordinance No. 2891-2016 – Accepting and Appropriating a Grant for $1,361.94 from
the Alaska Police Standards Council for Police Department Training.
MOTION:
Council Member Knackstedt MOVED to enact Ordinance No. 2891-2016 and the motion was
SECONDED by Councilor Gabriel.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
VOTE:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
3. Ordinance No. 2892-2016 – Amending Title 2-Alcoholic Beverages, to Add Provisions
for Reviewing State Commercial Marijuana Establishment License Applications and
Make Other Housekeeping Changes.
MOTION:
Council Member Molloy MOVED to enact Ordinance No. 2892-2016 and the motion was
SECONDED by Councilor Gabriel.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
The City Attorney was thanked for bringing the ordinance forward.
VOTE:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
4. Ordinance No. 2893-2016 – Amending Kenai Municipal Code Section 14.20.290 –
Appeals – Board of Adjustment, to Allow Board of Adjustment Hearings to be Held
within 45 Days of the Filing of an Appeal Instead of 30 Days.
MOTION:
Council Member Bookey MOVED to enact Ordinance No. 2893-2016 and the motion was
SECONDED by Councilor Knackstedt.
Page 79 of 138
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
VOTE:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
5. Ordinance No. 2894-2016 – Appropriating a Grant from the Federal Aviation
Administration for the Airfield Marking, Signage, and Asphalt Crack Sealing 2015-2016
Project and Awarding a Construction Contract to Lakloey, Inc.
• Substitute Ordinance No. 2894-2016
MOTION:
Council Member Knackstedt MOVED to enact Ordinance No. 2894-2016 and the motion was
SECONDED by Councilor Molloy.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
MOTION TO AMEND :
Council Member Gabriel MOVED to amend by Substitute Ordinance No. 2894-2016 and the
motion was SECONDED by Councilor Knackstedt.
It was clarified that the contractor’s references had been checked, due diligence had been done,
and the Federal Aviation Administration was satisfied with the contractor’s work throughout the
state.
VOTE ON THE AMENDMENT:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
VOTE ON THE MAIN MOTION:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
6. Resolution No. 2016-23 – Fixing the Rate of Levy of Property Tax for the Fiscal Year
Commencing July 1, 2016 and Ending June 30, 2017.
Page 80 of 138
MOTION:
Council Member Knackstedt MOVED to adopt Resolution No. 2016-23 and the motion was
SECONDED by Councilor Molloy.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
Administration and staff was thanked for their work on the budget allowing the ability to hold the
line on property taxes this year.
VOTE:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
7. Resolution No. 2016-24 – Authorizing the City Manager to Enter into a Contract with
Premera Blue Cross Blue Shield of Alaska to Provide Employee Health Care to City
Employees Effective July 1, 2016.
MOTION:
Council Member Gabriel MOVED to adopt Resolution No. 2016-24 and the motion was
SECONDED by Councilor Knackstedt. UNANIMOUS CONSENT was requested.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
VOTE: There being no objections; SO ORDERED.
8. Resolution No. 2016-25 – Authorizing the City Manager to Renew the City’s
Insurance Coverage with Alaska Public Entity Insurance (APEI) for July 1, 2016
through June 30, 2017 and Amend the Agreement to Remain in the APEI Program
Under Certain Specific Conditions through June 30, 2019.
MOTION:
Council Member Molloy MOVED to adopt Resolution No. 2016-25 and the motion was
SECONDED by Councilor Knackstedt. UNANIMOUS CONSENT was requested.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
It was noted that premium was approximately $400,000 for all lines of coverage and that the
premium had been consistent with previous years.
VOTE: There being no objections; SO ORDERED.
Page 81 of 138
9. Resolution No. 2016-26 – Authorizing a Budget Transfer within the General Fund –
City Clerk, City Manager, Legal and Planning Departments for Costs in Excess of
Budgeted Amounts.
MOTION:
Council Member Gabriel MOVED to adopt Resolution No. 2016-26 and the motion was
SECONDED by Councilor Knackstedt. UNANIMOUS CONSENT was requested.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
VOTE: There being no objections; SO ORDERED.
10. Resolution No. 2016-27 – Amending its Comprehensive Schedule of Rates, Charges,
and Fees to Incorporate Changes Adopted in the FY2017 Budget to Implement a Daily
Fee for Vehicles Dropping Off Personal Use Fishery Participants.
MOTION:
Council Member Gabriel MOVED to adopt Resolution No. 2016-27 and the motion was
SECONDED by Councilor Knackstedt.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
Administration clarified the intent to capture reimbursement costs for services provided to the
dipnet fishery users, noting the highest users of the fishery were being dropped off. It was pointed
out that the fishery users would likely still try to find a way around the fee stations.
VOTE:
YEA: Knackstedt, Gabriel, Porter
NAY: Bookey, Molloy
** Student Representative Lindeman: YEA
MOTION PASSED.
11. Resolution No. 2016-28 – Authorizing a Budget Transfer within the Vintage Pointe
Enterprise Fund.
MOTION:
Council Member Molloy MOVED to adopt Resolution No. 2016-28 and the motion was
SECONDED by Councilor Gabriel. UNANIMOUS CONSENT was requested.
Mayor Porter opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
VOTE: There being no objections; SO ORDERED.
Page 82 of 138
E. MINUTES
1.*Regular Meeting of May 18, 2016
[Clerk’s Note: This item was removed at Approval of the Agenda.]
F. UNFINISHED BUSINESS –
G. NEW BUSINESS
1. *Action/Approval – Bills to be Ratified.
Approved by the consent agenda.
2. *Action/Approval – Purchase Orders Exceeding $15,000.
Approved by the consent agenda.
3. *Ordinance No. 2895-2016 – Increasing Estimated Revenues and Appropriations by
$1,000 in the General Fund, Fire Department for a Safety Grant from the City’s
Insurance Carrier, Alaska Public Entity Insurance to Assist in the Purchase of an
Automated External Defibrillator.
Introduced by the consent agenda and public hearing set for June 15, 2016.
4. *Ordinance No. 2896-2016 – Authorizing Budget Transfers within the General Fund
and Appropriating Funds in the New City Shop and City Hall Improvements Capital
Project Funds.
Introduced by the consent agenda and public hearing set for June 15, 2016.
5. *Ordinance No. 2897-2016 – Amending Kenai Municipal Code 13.30.080 – Operating
a Vehicle in a Prohibited Area, to Prohibit Motorized Vehicle Use on the South Beach
from the Newly Constructed Royal Street South to the Southern Beach Border of the
City of Kenai City Limits (Old Cannery Road) from July 5th to July 31st Each Year.
Introduced by the consent agenda and public hearing set for June 15, 2016.
6. *Ordinance No. 2898-2016 – Conditionally Donating Certain Foreclosed City Owned
Property Described as Government Lot 128, Section 31, T6N, R11W (KPB Parcel No.
04317003) to Kenai Peninsula Housing Initiatives for the Development of Senior
Housing.
Introduced by the consent agenda and public hearing set for June 15, 2016.
7. *Ordinance No. 2899-2016 – Conditionally Donating Certain Foreclosed City Owned
Property Described as an Approximately 1 ½ Acre Parcel to be Subdivided from a
Portion of the 77 Acre More or Less Portion of the SE ¼ Lying East of Mommsen
Subdivision Addition No. 2 Section 25, T6N, R12W (KPB Parcel No. 03901018) to
Page 83 of 138
Kenai Peninsula Housing Initiatives for the Development of Restricted Income
Housing.
Introduced by the consent agenda and public hearing set for June 15, 2016.
8. *Ordinance No. 2900-2016 – Amending Chapter 4.30-Electrical Code, by Adopting
the 2014 Edition of the National Electrical Code and Making Certain Clerical Changes.
Introduced by the consent agenda and public hearing set for June 15, 2016.
9. *Ordinance No. 2901-2016 – Amending Chapter 4.33-International Existing Building
Code, by Adopting the 2012 Edition of the International Existing Building Code and
Making Local Amendments.
Introduced by the consent agenda and public hearing set for June 15, 2016.
10. *Ordinance No. 2902-2016 – Amending Chapter 4.32-Residential Code, by Adopting
the 2012 Edition of the International Residential Code and Making Local Amendments.
Introduced by the consent agenda and public hearing set for June 15, 2016.
11. *Ordinance No. 2903-2016 – Amending Chapter 4.10-International Property
Maintenance Code, by Adopting the 2012 Edition of the International Property
Maintenance Code and Making Local Amendments.
Introduced by the consent agenda and public hearing set for June 15, 2016.
12. Ordinance No. 2904-2016 – Determining that Lot 4A, Block 3, Cook Inlet Industrial
Air Park Subdivision, 2014 Replat, Owned by the Airport Outside the Airport Reserve
is Not Needed for a Public Purpose and Authorizing the Sale of the Parcel to Schilling
Rentals, a Partnership Owned by David and Michael Schilling.
[Clerk’s Note: This item was removed from the Consent Agenda at approval of the Consent
Agenda.]
MOTION:
Council Member Bookey MOVED to introduce Ordinance No. 2904-2016 and the motion was
SECONDED by Council Member Knackstedt.
It was suggested introduction be postponed to the next meeting when the interested Council
Member was present.
MOTION:
Council Member Bookey MOVED to postpone introduction to the June 15th meeting and the
motion was SECONDED by Council Member Molloy.
Page 84 of 138
VOTE:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
13. Action/Approval – Discussion of Proposed KPB Ordinance No. 2016-16 Proposing a
Ballot Proposition to Increase the Maximum Amount of a Sale Subject to Sales Tax
(Sales Tax Cap) from $500 to $1,000 and Exempting Residential Rents from Sales Tax
if the Sales Tax Cap is Increased.
[Clerk’s Note: This item was moved at approval of the agenda to be take up prior to item D.2.]
14. Action/Approval – Confirmation of the Mayor’s Nomination of Appointing Dan O. Pitts
to the Airport Commission.
MOTION:
Council Member Knackstedt MOVED to confirm the Mayor’s nomination of Dan O. Pitts to the
Airport Commission and the motion was SECONDED by Council Member Gabriel.
VOTE:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
15. Action/Approval – Confirmation of the Mayor’s Nomination to Recommend Jim
Glendening for Reappointment to the Kenai Peninsula Borough Planning Commission.
MOTION:
Council Member Gabriel MOVED to confirm the Mayor’s nomination of Jim Glendening to the
Kenai Peninsula Borough Planning Commission and the motion was SECONDED by Council
Member Bookey.
VOTE:
YEA: Knackstedt, Bookey, Gabriel, Porter, Molloy
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
16. Action/Approval – Request Sponsorship for Youth Activities at the Kenai Watershed
Forum’s 26th Annual Kenai River Festival.
Page 85 of 138
It was pointed out that a $300 was requested to be awarded as a part of the youth activities at the
festival.
MOTION:
Council Member Gabriel MOVED to approve a $300 sponsorship for youth activities at the Kenai
Wathershed Forum’s 26th Annual Kenai River Festival and the motion was SECONDED by
Council Member Molloy.
Disappointment was expressed that the festival and forum were moved to Soldotna. It was noted
that regardless of where the forum was, both cities benefitted.
VOTE:
YEA: Bookey, Gabriel, Molloy
NAY: Knackstedt, Porter
** Student Representative Lindeman: YEA
MOTION PASSED.
H. COMMISSION/COMMITTEE REPORTS
1. Council on Aging – No report; next meeting June 9.
2. Airport Commission – No report; next meeting June 9.
3. Harbor Commission – No report; June meeting cancelled, next meeting July 11.
4. Parks and Recreation Commission – No report; June meeting cancelled, next meeting
August 4.
5. Planning and Zoning Commission – It was reported that on May 25, a Conditional Use
Permit for a coffee wagon was approved as well as the transfer of a Conditional Use
Permit for a gravel pit. It was also reported that Comprehensive Plan work sessions
were continuing; next meeting June 8.
6. Beautification Committee – No report.
7. Mini-Grant Steering Committee – No report.
I. REPORT OF THE MAYOR
Vice Mayor Gabriel reported on the following:
• Attended the retirement party for former Police Chief Sandahl;
Congratulated Chief Ross on his promotion.
Mayor Porter reported on the following:
• Attended the Memorial Day Celebration.
• Swore in Police Chief Ross.
Page 86 of 138
• Requested a future discussion item regarding cost savings to the
City to publish and advertise as the Borough does.
J. ADMINISTRATION REPORTS
1. City Manager reported on the following:
• Upcoming dipnet fishery; signs created due to new access points.
• Water storage reservoir had begun construction.
• Provided an update on the legislature.
• Thanked the Finance Director for his work to obtain all credits
possible netting a $160,000 savings to the City for healthcare.
• Noted detours and message boards on the Kenai Spur Highway for
culvert replacement construction projects, pointing out that
construction wouldn’t affect the dipnet fishery.
• Provided an update on construction of the south beach access to
the dipnet fishery; clarified 1,600 feet of fencing was to be installed
to protect the dunes.
2. City Attorney – no report.
3. City Clerk – provided a reminder regarding upcoming Board of Adjustment and special
meetings, and also the Air Fair.
K. ADDITIONAL PUBLIC COMMENT
1. Citizens Comments (Public comment limited to five (5) minutes per speaker)
Bob Peters noted not many citizens were present with the budget on the agenda; thanked the
Finance Director for his work; expressed appreciation for the mill rate staying the same; thanked
the Council for their work and being conscious of uncertain times. It was clarified that an
ordinance was required for the City Council to determine a piece of property as not needed for
public purpose and for sale. It was also clarified that there was a list of public properties available
for purchase.
2. Council Comments
Councilor Knackstedt welcomed Student Representative Lindeman; congratulated Police Chief
Ross on his promotion; thanked the Finance Director for his work on the budget; noted the vertical
bricks on dais was distracting.
Vice Mayor Gabriel thanked the Assistant to the Borough Mayor and Mr. Peters for attending the
meeting; noted he attended the Memorial Day service; thanked the Council for support of his
concept of a dedicated fund for healthcare; noted the South Beach access construction project
looked good.
Council Member Molloy welcomed Student Representative Lindeman and thanked her for
continuing to work with the Parks and Recreation Commission; congratulated Chief Ross on his
promotion; noted that construction went well on the South Beach access road.
Page 87 of 138
Council Member Bookey noted being on the phone provided a different perspective regarding the
reconsideration vote; noted he hoped all had a good Memorial Day weekend.
Student Representative Lindeman noted she was happy to be a part of Kenai City Council; had
been on the Parks and Recreation Commission for two years and noted there were interesting
similarities and differences between the two.
L. EXECUTIVE SESSION – None Scheduled.
M. PENDING ITEMS – None.
N. ADJOURNMENT
There being no further business before the Council, the meeting was adjourned at 8:27 p.m.
I certify the above represents accurate minutes of the Kenai City Council meeting of June 1,
2016.
_____________________________
Sandra Modigh, CMC
City Clerk
**The student representative may cast advisory votes on all matters except those subject to
executive session discussion. Advisory votes shall be cast in the rotation of the official council
vote and shall not affect the outcome of the official council vote. Advisory votes shall be recorded
in the minutes. A student representative may not move or second items during a council meeting.
Page 88 of 138
Sponsored by: Council Member Navarre
CITY OF KENAI
ORDINANCE NO. 2904-2016
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, DETERMINING
THAT LOT 4A, BLOCK 3, COOK INLET INDUSTRIAL AIR PARK SUBDIVISION, 2014
REPLAT, OWNED BY THE AIRPORT OUTSIDE THE AIRPORT RESERVE IS NOT
NEEDED FOR A PUBLIC PURPOSE AND AUTHORIZING THE SALE OF THE PARCEL
TO SCHILLING RENTALS, A PARTNERSHIP OWNED BY DAVID AND MICHAEL
SCHILLING.
WHEREAS, the City has received an unsolicited offer to purchase Lot 4A, Block 3, Cook
Inlet Industrial Air Park Subdivision, 2014 Replat (the Property) from the current Lessee;
and,
WHEREAS, the Property is owned by the Airport and located outside the City’s Airport
Reserve; and,
WHEREAS, the City of Kenai received a quitclaim deed from the Federal Aviation
Administration (FAA) on December 1, 1963, to nearly 2,000 acres of land subject to
certain restrictions, including that no property shall be used, leased, sold, salvaged, or
disposed of for reasons other than for airport purposes; and,
WHEREAS, on August 20, 1970, the FAA executed a Deed of Release, for an area of land
subject to the Quitclaim Deed allowing for the lease, sale, or disposal of certain airport
lands by the City; and,
WHEREAS, Lot 4A, Block 3, Cook Inlet Industrial Air Park Subdivision, 2014 Replat is
subject to that Deed of Release; and,
WHEREAS, KMC 21.15.010 – Airport Land Outside of the Airport Reserve, provides that
the City may sell land outside the Airport Reserve when in the judgment of the City
Council, such lands are not required by the City for a public purpose; and,
WHEREAS, the Property is leased to Schilling Rentals and developed for private
commercial use and is not needed for a public purpose; and,
WHEREAS, in private ownership, the property will generate substantially more in
property taxes for the City than under the current lease structure; and,
WHEREAS, KMC 21.15.180 – Sale, allows for a negotiated sale process.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, as follows:
Page 89 of 138
Section 1. Form: That this is a non-code ordinance.
Section 2. Statement of Ownership: That the City of Kenai is the owner of Lot 4A,
Block 3, Cook Inlet Industrial Air Park Subdivision, 2014 Replat (the Property).
Section 3. Public Purpose and Best Interest Findings: That the Property is not
needed for future public municipal or airport purposes. Under the Airport Layout Plan,
the Property is designated for non-aviation commercial or light-industrial uses. The
sale of the Property is in the best interests of the City and Airport, as it serves a purpose
of continuing commercial growth and investment in the City.
Section 4. Authorization of Sale: That the Kenai City Council hereby authorizes the
City Manager to sell the City-owned lands described as Lot 4A, Block 3, Cook Inlet
Industrial Air Park Subdivision, 2014 Replat, under the procedures and terms
established for the sale of airport lands outside of the Airport Reserve, as set forth in
KMC 21.15.180 et seq. and subject to the following additional essential terms and
conditions of sale:
(a) Prior to any sale, a fair value market appraisal must be completed and the
sale price must be equal to or greater than the appraisal valuation.
(b) The sale will be made through a negotiated sale to Schilling Rentals, a
partnership owned by David and Michael Schilling for a sum not less than
$298,737.00; and,
Section 5. Title: That title shall be conveyed by quitclaim deed. Any instrument
conveying title to the Property shall include the following restrictions, promises, and/or
covenants:
(a) that the City of Kenai reserves unto that the grantee expressly agree for
itself and its heirs, executors, administrators, successors, transferees, and
assigns, for the use and benefit of the public a right of flight for the passage
of aircraft in the airspace above the surface of the Property, together with
the right to cause in said airspace such noise as may be inherent in the
operation of aircraft, now known or hereafter used, for navigation of or
flight in the said airspace, and for use of said airspace for landing on or at
and for taking off from or operating on Kenai Municipal Airport; and,
(b) that the grantee expressly agree for itself and its heirs, executors,
administrators, successors, transferees, and assigns to restrict the height
of structures, objects of natural grown, and other obstructions on the
Property to a height of not more than 242 feet above mean sea level; and,
(c) that the grantee expressly agree for itself and its heirs, executors,
administrators, successors, transferees, and assigns to prevent any use of
the Property which would interfere with landing or taking off of aircraft at
the Kenai Municipal Airport, or otherwise constitute an airport hazard;
and,
Page 90 of 138
(d) that all covenants heretofore stated shall run with the land and shall inure
to the benefit of, and be binding upon the heirs, executors, administrators,
successors, transferees, and assigns of the parties to the contract for sale
and conveyance.
Section 6. Proceeds of Sale: That should a sale of the Property be finalized, all
revenues from the sale shall be deposited in the Airport Land Sale Permanent Fund for
use in the development, improvement, and operation of the Kenai Municipal Airport and
as otherwise required in that Deed of Release recorded on November 19, 1973 at Book
74, Pages 325-327, Kenai Recording District.
Section 7. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall
take effect 30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 15th day of June,
2016.
______________________________________
PAT PORTER, MAYOR
ATTEST:
___________________________________
Sandra Modigh, City Clerk
Introduced: June 1, 2016
Enacted: June 15, 2016
Effective: July 15, 2016
Page 91 of 138
Page 92 of 138
Page 93 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 94 of 138
Page 95 of 138
Page 96 of 138
Page 97 of 138
Page 98 of 138
Page 99 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 100 of 138
Page 101 of 138
Page 102 of 138
Page 103 of 138
Page 104 of 138
Page 105 of 138
Page 106 of 138
Page 107 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 108 of 138
CITY OF KENAI
PLANNING & ZONING COMMISSION
CITY COUNCIL CHAMBERS
JUNE 8, 2016 - 7:00 P.M.
CHAIR JEFF TWAIT, PRESIDING
MINUTES
1. CALL TO ORDER:
Commission Chair Twait called the meeting to order at 7:00 p.m.
a. Pledge of Allegiance
Twait led those assembled in the Pledge of Allegiance.
b. Roll Call
Commissioners present: R. Springer, J. Twait, K. Peterson, G. Pettey, D. Fikes, and J
Glendening, J. Focose
Staff/Council Liaison present: City Planner M. Kelley, Deputy City Clerk J. Heinz, Planning
Assistant W. Anderson and Council Liaison H. Knackstedt
A quorum was present.
c. Agenda Approval
MOTION:
Commissioner Peterson MOVED to approve the agenda with the removal of the approval of
minutes; Commissioner Fikes SECONDED the motion. There were no objections; SO
ORDERED.
d. Consent Agenda
MOTION:
Commissioner Peterson MOVED to approve the consent agenda; Commissioner Fikes
SECONDED the motion. There were no objections; SO ORDERED.
*All items listed with an asterisk (*) are considered to be routine and non-controversial by the
Commission and will be approved by one motion. There will be no separate discussion of
these items unless a Commission Member so requests, in which case the item will be removed
from the Consent Agenda and considered in its normal sequence on the agenda as part of
the General Orders.
e. *Excused Absences – None
Page 109 of 138
2. *APPROVAL OF MINUTES: May 25, 2016
[Clerk’s Note: This item was removed at approval of the agenda.]
3. SCHEDULED PUBLIC COMMENT: (10 Minutes) None scheduled.
4. PERSONS PRESENT NOT SCHEDULED: (3 Minutes) None.
5. CONSIDERATION OF PLATS:
a. PZ16-11 – Preliminary Original Plat of Alaska State Land Survey No. 2013-49, submitted
by State of Alaska, Department of Natural Resources, 550 W. 7th Ave., Suite 650,
Anchorage, AK 99501
City Planner Kelley reviewed his staff report, noting rights-of-way and easements being
incorporated into the plat and also explained that the City was acquiring the property from the
state to provide for future well sites and protection for existing municipal wells which required the
platting process; approval was recommended with the following conditions:
• Further development of the property shall conform to all Federal, State and local
regulations.
• The City Council of the City of Kenai must approve the acceptance of dedication of Rights-
of-Way of north Fern Street and the acceptance of Public Access easement for
Boundbrook Drive and Public Access Road for Shotgun Drive and the 10-foot utility
easement.
• The portion of the lot shown as “Remainder of Govt. Lot 4” shall be shown on the Plat as
having a 33-foot Right of Way of North Fern Street.
• The name of Fern Street shall be changed to North Fern Street to correct the Spelling.
• The City Manager for the City of Kenai must sign the plat acknowledging acceptance by
the City of Kenai of the final plat.
Chair Twait opened and closed the public hearing; there was no one wishing to testify.
MOTION:
Commissioner Fikes MOVED to approve Resolution No. PZ16-11 with staff recommendations
and Commissioner Peterson SECONDED the motion.
It was confirmed that the easement in the middle of the property was to stay.
VOTE:
YEA: Pettey, Glendening, Springer, Peterson, Fikes, Twait, Focose
NAY:
MOTION PASSED UNANIMOUSLY
6. PUBLIC HEARINGS: None.
7. UNFINISHED BUSINESS: None.
Page 110 of 138
8. NEW BUSINESS:
a. PZ16-16 – Application for a Transfer of a Conditional Use Permit PZ97-24 (and as
amended by PZ08-61) for a coffee house from Shilo Miller, Transferor, to Mary S. Darling,
Transferee.
City Planner Kelley reviewed his staff report, noting that the transfer meets the requirements of
Kenai Municipal Code 14.20.150(i)(5) and 14.20.158(a); recommended approval subject to the
original conditions set forth on the original permit and the following conditions:
• Compliance with all Federal, State, and Local regulations
• Applicant shall file an annual report for the Conditional Use Permit as set forth in Kenai
Municipal Code 14.20.155.
• If there is a change of use for the above described property, a new Conditional Use Permit
must be obtained, pursuant to KMC 14.20.150(i)(5).
• Applicant shall file a 2015 Annual Report.
MOTION:
Commissioner Peterson MOVED to approve Resolution No. PZ16-16 with staff recommendations
and Commissioner Fikes SECONDED the motion.
Chair Twait opened and closed the public hearing; there was no one wishing to testify.
VOTE ON MOTION:
YEA: Pettey, Glendening, Springer, Peterson, Fikes, Twait, Focose
NAY:
MOTION PASSED UNANIMOUSLY
9. PENDING ITEMS: None.
10. REPORTS:
a. City Council – Council Member Knackstedt reviewed the action agenda from the June 1
Council Meeting which was provided in the packet noting Mackenzie Lindeman was sworn
in as the Student Representative; budget adoption; amendments to Title 2 to include
marijuana license processing; amendments to the Board of Adjustment Appeal process;
confirmation of nomination of Commissioner Glendening to the Kenai Peninsula Borough
Planning Commission.
Commissioner Peterson inquired as to the decision of the Board of Adjustment on the Wagoner
matter; it was noted a ruling hadn’t been issued.
b. Borough Planning – Commissioner Glendening noted the next meeting was to be held on
June 13.
c. Administration – Kelley reported on the following:
Page 111 of 138
• Reminded of the upcoming comprehensive plan work session; reviewing final
draft.
• Reminded of the upcoming Air Fair on June 11.
Commissioner Peterson inquired as to the status of the Garrettson’s horse. It was confirmed that
the horse had been replaced and fencing had not been removed; both being violations of the
Conditional Use Permit and was being followed up on.
It was confirmed that Green Rush events was out of compliance with Kenai Municipal Code and
that the City Attorney’s office was handling the situation.
11. PERSONS PRESENT NOT SCHEDULED:
Kristine Schmidt indicated that her office had fielded a complaint regarding the replacement of
the horse; pointed out that the homeowners were out of compliance with the Conditional Use
Permit and asked the City to follow up.
12. INFORMATIONAL ITEMS: None.
13. NEXT MEETING ATTENDANCE NOTIFICATION: June 22, 2016
14. COMMISSION COMMENTS & QUESTIONS:
Commissioner Pettey thanked staff for their work.
15. ADJOURNMENT:
There being no further business before the Commission, the meeting was adjourned at 7:33 p.m.
Minutes prepared and submitted by:
_____________________________
Jamie Heinz, CMC
Deputy City Clerk
Page 112 of 138
Page 113 of 138
Page 114 of 138
Page 115 of 138
Page 116 of 138
Page 117 of 138
Page 118 of 138
Page 119 of 138
Page 120 of 138
Page 121 of 138
Page 122 of 138
Page 123 of 138
Page 124 of 138
Page 125 of 138
Page 126 of 138
Page 127 of 138
Page 128 of 138
Page 129 of 138
Page 130 of 138
Page 131 of 138
Page 132 of 138
Page 133 of 138
Page 134 of 138
Page 135 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 136 of 138
Page 137 of 138
[PAGE LEFT BLANK INTENTIONALLY]
Page 138 of 138
JUNE 15, 2016
CITY COUNCIL MEETING
ADDITIONAL MATERIAL/REVISIONS
REQUESTED ADDITIONS TO THE PACKET:
ACTION ITEM REQUESTED BY
Add to Item D. 3 Ordinance No. 2897-2016 City Manager
• Memo from City Planner and revised map
Add to Items D.4
and D.5 Ordinance No. 2898-2016
and Ordinance No. 2899-2016
• Written Presentation from Steven L. Council Member Molloy
Rouse, Kenai Peninsula Housing
Initiatives, Inc.
• Memo from City Planner Council Member Molloy
• Possible Partial Subdivision Drawing Council Member Knackstedt
Add to Item J.1 City Manager’s Report
• Fire Department Mid-Month Report City Manager
• Parks & Recreation Department Mid-Month City Manager
Report
REQUESTED REVISION TO THE AGENDA:
ACTION ITEM REQUESTED BY
Move Item D. 10
To the first item
Under Public Hearings Resolution No. 2016-29 Mayor
Remove Item E.1
from the agenda May 18, 2016 Meeting Minutes City Clerk
[PAGE LEFT BLANK INTENTIONALLY]
Page 3 of 16
Kenai Spur HighwaySo
u
t
h
F
o
r
e
s
t
D
r
i
v
e
Bri
d
g
e
A
c
c
e
s
s
R
o
a
d
Sou
t
h
S
p
r
u
c
e
S
t
r
e
e
t
Bo
w
p
i
c
k
e
r
L
a
n
e
Old Cannery Road
Appendix IIKenai Municipal Code 13.30.080Operating a Vehicle in aProhibited Area
No Motorized Vehicles Allowed
No Motorized Vehicles AllowedJuly 5 - July 31 (Unless Extended)
Line of Bluff
Mouth ofKenai River
®Page 4 of 16
Page 5 of 16
Page 6 of 16
Page 7 of 16
Page 8 of 16
Page 9 of 16
[PAGE LEFT BLANK INTENTIONALLY]
Page 10 of 16
Page 11 of 16
Page 12 of 16
Page 13 of 16
[PAGE LEFT BLANK INTENTIONALLY]
Page 14 of 16
Page 15 of 16
Page 16 of 16