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HomeMy WebLinkAbout2017-04-05 Council Packet KENAI CITY COUNCIL – REGULAR MEETING APRIL 5, 2017 – 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) 1. Bob McIntosh – Freedom of Information Act / Alaska Open Meetings Act / Public Records Act. C. UNSCHEDULED PUBLIC COMMENTS (Public comment limited to three (3) minutes per speaker; thirty (30) minutes aggregated) D. PUBLIC HEARINGS 1. Ordinance No. 2942-2017 – Conditionally Donating Certain Foreclosed City- Owned Properties Described as Lots 8, 9, And 11, Block 9, and Lots 4 And 5, Block 10, Mommsens Subdivision Replat of Addn. 1 & 2, Addn. No. 2, (Parcel Numbers 03910208; 03910209; 03910211; 03910304 And 03910305) to Central Peninsula Habitat for Humanity, Inc. for Construction of Housing. ............................................................................................................... Pg. 5 2. Ordinance No. 2943-2017 – Amending Kenai Municipal Code Chapter 7.25 – City Budget, to Provide for Implementation of a General Fund, Fund Balance Policy and Approve the Policy................................................................Pg. 23 3. Ordinance No. 2944-2017 – Increasing Estimated Revenues and Appropriations in the General Fund by $50,000, Accepting and Appropriating a $50,000 Donation from Kenai Senior Connection, Inc., and Increasing Estimated Revenues and Appropriations by $100,000 in the Senior Citizen Center Capital Improvement Capital Project Fund for the Dining Room Roof Repair Project........................................................................................Pg. 47 4. Resolution No. 2017-16 – Authorizing a Budget Transfer within the Congregate Housing Fund for Expenses in Excess of Budgeted Amounts. .............................................................................................................Pg. 51 E. MINUTES 1. *Regular Meeting of March 15, 2017 .......................................................Pg. 53 F. UNFINISHED BUSINESS – None. G. NEW BUSINESS 1. *Action/Approval – Bills to be Ratified. ................................................Pg. 59 2. *Action/Approval – Purchase Orders Exceeding $15,000....................Pg. 61 3. *Ordinance No. 2945-2017 – Repealing and Re-Enacting Kenai Municipal Code Chapter 8.20-Fireworks Control, to Allow for the Limited Sale of Certain Fireworks in theCity..............................................................................Pg.63 4. *Ordinance No. 2946-2017 – Accepting and Appropriating a Volunteer Fire Assistance (VFA) Grant from the United States Department of Agriculture Forest Service Passed through the State of Alaska Division of Forestry for the Purchase of ForestryFirefighting Equipment.........................................Pg.75 5. Action/Approval – Mayoral Nomination and Council Confirmation of Appointing Neal D. DuPerron to the Harbor Commission.......................Pg. 79 6. Action/Approval – Mayoral Nomination and Council Confirmation of Appointing Gretchen Alexander to the Council on Aging........................Pg. 81 7. Action/Approval – Authorizing the City Manager to Draft and Send a Letter on Behalf of the City Supporting a Senate Bill Entitled an Act Relating Municipal Liens......................................................................................................Pg. 83 8. Action/Approval – Special Use Permit to HDL Engineering Consultants, LLC for a Soils Test Lab and Equipment Storage..........................................Pg. 87 9. Action/Approval – Special Use Permit to State of Alaska Department of Natural Resources/Division of Forestry for Aircraft Loading & Parking...Pg. 95 10. Action/Approval – Schedule a Special Meeting to Conduct Annual Performance Evaluations for the City Attorney, City Clerk and City Manager. ...........................................................................................................Pg. 107 11. Action/Approval – Schedule a Work Session to Review and Discuss the Fiscal Year 2018 City of Kenai Budget...............................................Pg. 107 Kenai City Council Meeting Page 2 of 3 April 5, 2017 12. Discussion – Reducing the Size and Content of the City Council Meeting Advertisements Published in the Clarion............................................. Pg. 109 H. COMMISSION/COMMITTEE REPORTS 1. Council on Aging ................................................................................Pg. 111 2. Airport Commission 3. Harbor Commission ............................................................................Pg. 115 4. Parks and Recreation Commission 5. Planning and Zoning Commission ...................................................... Pg. 117 6. Beautification Committee 7. Mini-Grant Steering Committee I. REPORT OF THE MAYOR J. ADMINISTRATION REPORTS 1. City Manager ......................................................................................Pg. 121 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 – None Scheduled. M. PENDING ITEMS – None. N. ADJOURNMENT **************************************************************************************************** INFORMATION ITEMS 1. Purchase Orders between $2,500 and $15,000 for Council Review. 2. Request from Frontier Community Services for a Donation of $500 for the 14th Annual World Series Baseball Event on Thursday, June 29, 2017. 3. Donation Request to Save the Kenai River Brown Bears Hockey Team. 4. Kenai Historical Society Newsletter – April 2017 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. Kenai City Council Meeting Page 3 of 3 April 5, 2017 [PAGE LEFT BLANK INTENTIONALLY] Page 4 of 138Page 4 of 138 Page 5 of 138 Sponsored by: City Manager CITY OF KENAI ORDINANCE NO. 2942 -201 7 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, CONDITIONALLY DONATING CERTAIN FORECLOSED CITY -OWNED PROPERTIES DESCRIBED AS LOTS 8, 9, AND 11, BLOCK 9, AND LOTS 4 AND 5 , BLOCK 10, MOMMSENS SUBDIVISION REPLAT OF ADDN. 1 & 2, ADDN. NO. 2, (PARCEL NUMBERS 03910208; 03910209; 03910211; 03910304 AND 03910305) TO CENTRAL PENINSULA HABITAT FOR HUMANITY , INC. FOR CONSTRUCTION OF HOUSING. WHEREAS, Kenai Municipal Code 22.05.125 allows the Council, by Ordinance, to donate foreclosed real property no longer needed b y the City for public purpose to a non-profit corporation, for consideration agreed upon between the City and Grantee without a public sale, if it is advantageous to the City; and, WHEREAS, Central Peninsula Habitat for Humanity, Inc. is a non-profit charitable housing organization and has identified Lots 8, 9 , and 11, Block 9 , and Lots 4 and 5, B lo ck 10, Mommsens Subd. Replat Addn. No. 1 & 2 , Addn. No. 2 (Parcel Numb ers 03910208; 03910209; 03910211; 03910304; and 03910305) -(See Attachment B) as properties meeting the needs of their organization; and, WHEREAS, the above-referenced properties were acquired through tax and special assessment foreclosures Uudgement year was 1987); and, WHEREAS, Ordinance No. 1414-91 declared the properties were not needed for a public purpose and could be sold ; and, WHEREAS , the subj ect prope rties have been included in public foreclosure sales in 2005 and 2007 where no bids to purchase were received; and, WHEREAS, it is advantageous to the City of Kenai to donate these lots to Central Peninsula Habitat for Humanity, Inc. to provide needed safe affordable low income housing over the next few years, which will produce tax revenue for the City of Kenai, rather than hav ing these lots remain vacant; and, WHEREAS, at their regular meeting of March 22, 2017 the Planning and Zoning Commission reviewed the subject Ordinance and recommends the Council of the City of Kenai this Ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, that: Section 1. Form: That this is a non-code ordinance. Section 2. That the Kenai City Council hereby authorizes the City Manager to execute the transfer of title of certain foreclosed City-owned real properties described as Lots 8 , 9, and 11 , Block 9, and Lots 4 arid 5, Block 10 , Mommsens Subd. Replat Addn. No . 1 & 2, Addn. No . 2 (Parcel Numbers 03910208; 03910209; 03910211 ; 03910304 ; and New Text Underlined: [DELETED TEXT BRACKETED] Page 5 of 138 Page 6 of 138 Ordinance No. 2942-20 1 7 Page 2of2 03910305), to Habitat for Humanity, on a form approved by the City Attorney, for less than fair market value and for the sole purpose of the con struc tion of single-family residences, subject to the following conditions: 1. Central Peninsula Habitat for Humanity, Inc. shall pay the sum of taxes and assessments owed to the Kenai Peninsula Borough and the City of Kenai, upon the transfe r of ownership to Central Peninsula H abitat for Humanity, Inc. from the City of Kenai. 2. Up to five parcels will be granted for construction to Central Peninsula Habitat for Humanity, Inc. The grants will be according to the following timeline: One parcel will b e granted for the 2017 constr uction season. Construction must be complete on the parcel by the end of 2 01 8. Upon timely completion of that project, the second parcel may b e granted. The second project must be completed by the end of 2020. Upon timely c ompletion of the second project, a third parcel may be granted. The third project must be completed by the e nd of 2022. Upon timely completion of the third project, a fourth parce l may be granted. That project must be comple ted by the end of 2024. Upon timely c ompletion of the fourth proje ct, a fifth parcel may b e granted. The fifth project must be completed by the end of 2026. Section 3. Th at the Kenai City Council further finds the disposa l of the subject p a rcel to b e in the b e st interests of the citizens of the C ity of Kenai and that the public interest shall be serve d by dispos ing of t he prope r ty interes t for less than fair market value, in accordance with the recitals above which are incorporated h erein. Section 4. Severability: That if any part or prov ision of this ordinance or a pplicati on thereof to any person or circumstances i s a djudged invalid by any court of comp etent jurisdiction, such judgment shall be confined in its operation to the part, prov ision, or application directly involved in all controversy in which this judgment shall have been rendere d , and shall not affect or impair the validity of the remainder of this title or application the reof t o other persons or circumstances. The City Council h e r e b y declares that it would have enacted the r e mainde r of this ordinance even without such part, provision, or application. Section 5. Effective Date: That pursuant to KMC 1.15.070(f), this Ordinance shall take effect 30 days after a doption. PASSED BY THE COUNC IL OF THE C ITY OF KENAI, ALASKA , this 5 th d ay of April, 2 01 7. ATTE ST: Sandra Modigh, City C le rk Approved by Finance ~-~ \ 6 ~ ~ Attachments: A -C BRIAN GABRI EL, SR., MAYOR Introduced: March 15, 2017 Adopted: April 5, 201 7 Effective: May 5, 2017 New Text Underlined; [DELETED TEXT BRACKETED] Page 6 of 138 Page 7 of 138 0 0 ~ ~ FLORIDA AVE Parcels for consideration to be donated to Central Peninsula Habitat for Humanity, Inc. N ·•· s 0 25 50 200 ••c::i•-==---c:===:::11--• Feet 100 1 50 ATTACHMENT A Page 7 of 138 Page 8 of 138 LOTS TO BE DONAT ED TO CE NTRA L PENINS ULA HABITAT FOR HU MANITY, INC. Parcel ID Physica l Le gal De scription Acres Assessed KPB Ta xes City of Kenai Total Due Address ·-·------·--· Value Due As sess ments --- 03910208 1109 Second St. L8, 89, Mommsens .26 10,100.00 3,130 .66* 2,324.21 ** S,4S4.87 Addn. No. 2 03910209 1107 Second St. L9, 89, Mommsens .26 10,100.00 3,130.66* 2,324.21 ** S,454.87 Addn. No. 2 03910211 1103 Seco n d St. Lll, 89, Mommsens .26 10,100.00 3,130.66* 2,324.21 ** S,45 4 .87 Add n. No. 2 03910304 1106 Seco nd St. L4 , 810, Mommsens .26 10,100.00 3,114.66* 2,324.21 ** 5,438.87 Addn.No.2 03910305 1108 Second St. LS, 810, Mommsens .26 10,100 .00 3,114.66* 2,324.2 1 ** S,438.87 Addn.No.2 TOTAL 50,500.00 15,621.30 11,621.05 27,242.35 *as of May 15, 20 17 **as o f Ma y 5, 2017 ATIAC HME NT "B" Page 8 of 138 Page 9 of 138 2/13 /2017 City of Kenai 210 Fidalgo Avenue Kenai, AK 99611 -Hab-it-at for Humanity ® Attn: Wilma E . Anderson, Planning Assistant, City of Kenai Re: Lots for purchase Dear Ms. Anderson: I am writing on behalf of the Central Peninsula Habitat for Humanity Board in regards to your letter dated June 291 \ 2016. The Board is interested in purchasing the said lots according to your terms set forth in paragraphs (1) and (2) in your letter dated June 291 \ 2016. Thank you in advance for your consideration. Sincerely, Bill Radtke Vice President/ Assistant Construction Chairman Central Peninsula Habitat for Humanity ATTACHMENT "C" Page 9 of 138 Page 10 of 138 "Vt.1/tlje with a Past, City with a Future" 210 Fidalgo Avenue, Kenai , Alaska 99611-7794 Telephone: 907-283-7535 I FAX: 907-283-3014 MEMORANDUM: TO: THRU: FROM: DATE: Mayor Brian Gabriel , Sr. Council Members Paul Ostrander, City Manager ? 0 · Matt Kelley, City Planner )/t_ March 15, 2017 SUBJECT: Donation of Lots to Central Peninsula Habitat for Humanity, Inc. Ordinance 2942 -2017 ~ mr 1992 On February 6 , 1991 , Kenai City Council passed Ordinance No. 1414-91 declaring certain foreclosed properties were not needed for a public purpose and could be sold. Subsequently, on January 21 , 2009, the Council passed Ordinance 2373-2009 , approving the donation of certain foreclosed City-owned lots in Mommsens Subdivision Replat of Addn. 1 & 2 to Habitat for Humanity for construction of housing, so long as said entity paid the sum of taxes and assessment owed to the Kenai Peninsula Borough and the City of Kenai , upon the transfer of ownersh ip to Habitat for Humanity from the City of Kenai. Also , it was stipulated that the home constructed by Habitat for Humanity must be completed prior to another lot being selected by Habitat for Humanity for the construction of another home. The construction of all five homes was to be completed by 2018. The last of the five homes constructed by Habitat for Humanity was completed in November of 2015. The Kenai Peninsula Borough assessed values for 2016 for the five homes constructed by Habitat for Humanity range from $158,300.00 to $213 ,000.00. Central Peninsula Habitat for Humanity, Inc. has requested that the City of Kenai donate five additional lots described as Lots 8 , 9, and 10 , Block 9 , and Lots 4 and 5, Block, 10, Mommsens Subdivision Replat of Addn . 1 & 2 , Addn. No. 2 , subject to the same conditions that were set forth in Ordinance 2373-2009. I have attached a spread sheet which shows the assessed value; amount owed to the Kenai Peninsula Borough for delinquent real property taxes ; and the delinquent special assessments due to the City of Kena i. The amount shown on the spread sheet will increase depending on the date that the taxes and assessments are paid. Page 10 of 138 Page 11 of 138 The lots that Central Peninsula Habitat for Humanity, Inc . would like donated to them have been offered for sale previously at land foreclosure sales. At the most re cent land foreclosure sale held in 2007, a total of 60 lots were offered for sale; the City received bids on six (6) lots which represents approximately ten percent ( 10%) of the total lots offered for sale by the City of Kenai. The City did not receive any bids for the lots that Central Peninsula Habitat for Humanity, Inc. has requested be donated to them . The City would like to hold another land sale in 2017 or 2018; however, ha ving a land sale would not guarantee that the lots selected by Central Peninsula Habitat for Humanity, Inc. would be sold at the sale. The longer the lots remain unsold, the minimum bid amount increases to accommodate paying the delinquent ta xes and assessments; therefore, increasing the likelihood that bidders wo uld not bid on these lots . It is advantageous to the City to donate the lots to Central Peninsula Habitat for Humanity, In c. and have residences constructed on the lots over the ne xt few years. Having residences on the lots as opposed to vacant lots would provide revenue from payment of property taxes levied by the Kenai Peninsula Borough . In addition , the City will receive water and sewer payments for the services provided to the homeowners. The Kenai Peninsula Borough assessed value for the five lots is the sum of $50,500.00. The delinquent ta xes levied by the Borough is $15,621.30 and the special assessments due the City is $11,621.55, for a total amount of $27,242.85 or approximately 54% of the assessed value. Thank you for your consideration . Page 11 of 138 Page 12 of 138 June 29, 2016 "Vt1/~e with a Past, City with a Future" 210 Fidalgo Avenue, Kenai, Alaska 99611-7794 T elephone: 907-283-7535 I Fax: 907-283-3014 www.kenai.city Central Peninsula Habitat fo r Humanity P.O. Bo x 2907 Soldotna, AK 99669 Attn: Ms. Anna Johns, President Re: Purchase of lots by Central Peninsula Habitat for Humanity Dear Ms. Johns: The C ity Manager has asked me to respond to your letter of inquiry concerning t he possibility of purchasing lots on Second Street from t he City of Kenai to construct homes for participants in the Habitat for Humanity program. It is my understanding that by Ce ntral Peninsula Hab it at for Humanity would like to purchase these lots in the same manner th at Lots Nine (9) through Thirteen (13), Block Twelve (12), Mommsens Subdivision Replat of Additions 1 and 2 were purchased in 2009. The proposed sale must be approved by the City Counc il for the City of Kenai , and the Ordinance approved by the City Council would contain verbiage simil ar to the following: (1) Central Peninsula Habitat for Humanity is willing to pay the sum of taxes owed to the Kenai Peninsul a Boroug h, and the City of Kenai assessments owed, at the da te of ciosing of the sale of a lot to a new owners; and (2) Up to five p arcels wi l! be granted for construction. The grants will be a ccord ing to the following timeline: One parcel will be granted for the 2016 construction season. Construction must be complete on that parcel in 2017 . Upon timely completion of that project, the second parcel may be granted . The second project must be co mple ted in 2 019. Upon timely completion of the second project, the third parcel may be granted. The thi rd project must be co mpleted in 2 02 1. Upon timely completion of the th ird project, the fou1ih parcel may be g ra nted. The fourth project must be comp leted in 2023. Upon timel y c om p letion of the fourth project, th e fifth parcel may be g ran te d. The fifth project mus t be completed in 2025. Page 12 of 138 Page 13 of 138 I have enclosed a map identifying the lots on Second Street that are available for purchase from t he City of Kenai. At such time as Central Peninsula Habitat for Humanity has made a decision to pu rchase these lots, a written offer of purchase must be submitted to the City of Kenai. Said offer should include a statement that Central Peninsula Habitat for Hu m anity agrees to purchase lots according to the terms as set forth in paragraphs (1) and (2) above. If you have any questions regarding this proposal , please contact Rick Koch at 907-283-8222 or rk och @kenai.city or myself at 907-283-8237 or wanderson@kenai.city. Sincerely, Wilma E. Anderson, Planning Assistant cc: Rick Koch Scott Bloom Enc. Page 13 of 138 Page 14 of 138 ( . (- Suggested by: Administration CITY OF KENAI ORDINANCE NO. 1414-91 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA FINDING THAT CERTAIN FORECLOSED PROPERTIES ARE NOT NEEDED FOR PUBLIC PURPOSE AND MAY BE SOLD. WHEREAS, the City of Kenai has acquired numerous parcels of land through tax and special assessment foreclosures, and WHEREAS, the City administration has selected the parcels that appear on Exhibit A, which is attached to this ordinance, as those that should be sold pursuant to local ordinances and State statutes . .. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that all of the parcels that are listed on Exhibit A, which is a part of this ordinance, are not needed for public purpose and may be sold . PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 6th day of February, 1991. ATTEST: carol L. Freas, City Clerk Approved by Finance: C' '7 9' (12/27/90) kl Introduced: Adopted: Effective: January 16, 1991 February 6, 1991 March 6, 1991 Page 14 of 138 Page 15 of 138 ( CITY OF KENAI, ALASKA 1991 FORECLOSURE SALE Exhibit A Kenai Recording District, Third Judicia1 District Ref _..!.. Parcel No. Legal Description 1 . 039-010-18 Par . SE 1/4 lying east of Monunse n Sub. Addn. No. 2, Sec . 25 , T6N , Rl2W 2 . 039-131-24 Lot 1, Block 2 , Mommsen Subdivision, Addn . No . 2 3. 039-131-01 Lot 1 , Block 5 , Mommsen Subdivision, Addn. No . 1 4. 039-123-18 Lot 12, Block 6, Momms en Subdivision, Addn. No. 1 5 . 039-123-01 Lot 1 , Block 6, Monunsen Subdivision, Addn. No. 1 6 . 039-122-01 Lot 1, Block 7 , Mommsen Subdivision, Addn. No. 1 7. 039-121-01 Lot 1 , Block 8, Mom.~sen Subdivision, Addn . No. 1 8. 039··121-02 Lot 2, Block 8, Mommsen Subdivision , Addn. Ho . 1 9 . 039-122-05 Lot lA, Block 2, Momms en Subdivision, Addn . No.1 and Addn. No. 2 10 . 039-101-07 Lot lA, Block 7, Momrnsen Subdivi sion , Addn . No. 1 and Addn. No. 2 11. 039-101-09 Lo t 2, Block 7, Mom."tlsen Subdivision , Add n. No. 2 12 . 039-101-10 Lot 3 , Block 7 , Mommsen Subdivision, Addn . No. 2 13 . 039 -101-11 Lot 4, Block 7, Mom."tlsen Subdivision, Addn. No. 2 14. 039 -101-12 Lot 5, Block 7, Mo m.'nsen Subdivision, Add n. No. 2 15 . 039 -1 02 -2 3 LOL 9, Block 1 2, Morrmsen Subdiv ision, Ad dn . No . 2 General Description Former OWner On Redoubt, next to Crown Developers Kenai Chiropractic Approx. 77 acres m/l 2400 Redoubt Avenue Crown Developers 2404 Redoubt Avenue Crown Developers 2412 Redoubt .Avenue Crown Developers 2418 Redoubt Avenue Crown Developers 2430 Redoubt Ave nue Crown Developers 2436 Redoubt Avenue Crown Develope rs 1005 First Street Crown Developers 1014 First Street Crown Developers 1113 First Street Crown Developers 1117 F i rst Street Crown Developers 1119 First Street Crown Developers 1121 First Street Crmm De v e l oper s 1123 First Street Crown De ve loper s 1125 Second Street Cr own Develo pe rs Page 15 of 138 Page 16 of 138 16. 039 -102-24 17 . 039-102-25 18. 039-102-26 19. 039-102-27 ~ 20 . 039-102-08 ~21 . 039-102-09 ~ 22 . 039-102-11 >,f 23 . 039-103-05 .>f-24. 039-103-04 25. 039-103-·03 26. 039-103-02 27. 03 9 -103-01 28. 039-150-09 29. 047-052-05 30. 047-052-15 31. 041··012-48 32. 041 -01 2 -53 ( Lot 10, Block 12, Mommsen Subdivision , Addn . No. 2 Lot 11, Block 12, Mormnsen Subdivision, Addn. No. 2 Lot 12, Block 12 , Mormnsen Subdivision, Addn. No . 2 Lot 13, Block 12 , Mommsen Subdivision, Addn. No. 2 Lot 8, Block 9, Mommsen Subdivision, Addn. No . 2 Lot 9, Block 9, Momrnsen Subdivision, Addn. No. 2 Lot 11, Block 9, Morransen Subdivision, Addn . No. 2 Lot S, Block 10, Morransen Subdivis ion, Addn . No . 2 Lot 4 , Block 10, Mornmsen Subdivision, Addn. No. 2 Lot 3, Block 10, Mommsen Subdivision, Addn. No . 2 Lot 2, Block 10, Mornmsen Subdivisi on, Addn. No. 2 Lo t 1, Block 10, Momrnsen Subdiv ision, Addn . No. 2 Lot S , Block 1 0, Radar Subdivision Lot 6, Block 2 , Sprucewood Glen Subdivision Lot 1, Block 1, Sprucewood Glen Subdivision Lot 5 , Block 6, Inlet Woods Subdivision, Part 1 Lot 1, Bleck 5 , Inlet Woods Subdivision, Part 1 ( 1123 Second Street Crown Developers 1121 Second Street Crown Developers 1119 Second Street Crown Developers 1117 Second Street Crown Developers 1109 Second Street Crown Developers 1107 Second Street Crown De ve l opers 1103 Second Street Crown Developers 1108 Second Street Crown Developers 1106 Second Street Crown Developers 1104 Second Street Crown Developers 1102 Second Street Crown Developers 1100 Second Street Cr own De velopers Across the Spur Hwy. Mike & Rita Gravel fr om Ead ie's Bar 133 Sprucewood Road Ed win R. Lowr y Building not included 1 34 Sprucewood Road Edwin R. Lowry 1122 Inlet Woods Dr . Norman D. Weber 1117 Inlet Woods Dr. M. L. Krediet Page 16 of 138 Page 17 of 138 33 . 04 1-012 -55 3 4. 04 1-012-52 35. 04 1-013-·27 36 . 041-013-35 37 . 04 1-013-33 38 . 04 1-013-06 39 . 041-013-08 4 0 . 041-013-51 4 1 . 0 43 -030 -19 ( Lot 3 , Bl ock 5 , I n let Woods Subdivision , Part 1 Lot 9·, Bl ock 6, Inlet Woods Subdivision , Part 1 Lot 10 , Bloc k 5, Inlet Woods Subdivision , Part 1 Lo t 6, Block 2 , Inlet Woods Subdiv ision , Part 1 Lo t 4, Block 2 , Inlet Woods Subdi v i sion , Part 1 Lot 6 , Block 3 , Inlet Woods Subdivision , Part 1 Lot 8 , Block 3 , Inlet Woods Subdivis ion , Part 1 Lo t 1 , Block 8 , Inlet Woods Subdivision, Part 1 Lo t 1 , Russell Subdivis ion 4 2 . 039-03 2 -22 Lot 22, Block 2 , Black Gold Estate s Ame nded 43. 04 9-400-48 Lot 18, Block 3, VIP Ran c h Estates Subdivision, Par t 5 44 . 045 -040-06 Govt. Lot 21, Section 33, T6N , RllW 45. 047 -140-50 Lot 42 , Bl ock 4, Redoubt Terrace Subdivis i on, Addition #4 46. 047 -140-41 Lot 33, Bleck 4, Redoubt Terrace Subd ivision, Addition #4 47. 047-140 -38 48 . 047-130-71 Lot 30 -A, Bl ock 4, Redoubt Terr ace Subdivision, Addition #4 Lot 24, Block 5, Redoubt Terrace Subdivision , Addition #4 ( 1114 Chann e l Way M. L. Krediet 1 114 Inlet Wo ods Dr. Lawrence Tho ma s Trustee 1101 I n let Woods Dr. Cu rt Morris 1504 Woo dside Ave. Law r e nce Thomas 1600 Wo o ds ide Av e . Lawrence Thomas 1103 Leeward Dr ive Law r ence Thoma s .. 1107 Leeward Drive Cu r t Mo rri s 1510 Windwar d Drive Max & Co nnie Be s t 411 Ea die's Way Jennifer L. and Jo Ann Andrews Mile 14.5 Kenai Siri L. Johnson Spur Hi ghway 900 Baleen Avenue Donnie M. Moore Northeast corner of Denali Mobile Magic and Cinderella Homes, Inc . 1545 Stellar Vernon L. Lofstedt 1527 Stellar Vernon L. Lofstedt 1521 Ste llar Vernon L. Lofstedt 15 20 Stellar Kenai Supply, Inc . Page 17 of 138 Page 18 of 138 49. 047-130-72 Lot 23, Block 5, Redoubt Terrace Subdivision, Addit'ion #4 50. 047-140-32 Lot 17, Block 5, Redoubt Terrace Subdivision, Addition #4 51. 047-140-31 Lot 16, Block 5, Redoubt Terrace Subdivision, Addition #4 52 . 047-140-30 Lot 15, Block 5, Redoubt Terrace Subdivision , Addition #4 53. 043-170-03 Govt. Lot 128, Section 31, T6N, RllW 1522 Stellar Vernon L. Lofstedt 1534 Stellar Vernon L. Lofstedt 1536 Stellar Vernon L. Lofstedt 1538 Stellar Vernon L . Lofstedt 1203 Second Aye. Vivian J. Swanson Page 18 of 138 Page 19 of 138 "Vt1/~e with a Past Ci-fy with a Future" 210 Fidalgo A venue , Kena i, Alaska 99611-7794 Telephone : 907-283-7535 I Fa x : 907-283 -3014 www.kenai.city MEMORANDUM TO: THROUGH: FROM: DATE: SUBJECT: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager Matt Kelley, City Planner ;i/J{. April 5, 2017 Ord inance No. 2942 -2017 The purpose of this communication is to provide additional information to the City Council regard ing Ordinance No . 2942 -2017. At their meeting of March 22 , 2017 , the Planning and Zoning Commission unanimously passed Resolution No . PZ17-06 and recommended that the City Council enact Ordinance No . 2942 - 2017 . Staff would like to rec ommend that an amendment to the subject Ordinance at the seventh WHEREAS to read as follows : WHEREAS , at their regular meeting of March 22 , 20 17 the Planning and Zoni ng Commiss ion reviewed the subject Ordinance and recommends the Council of the City of Kenai enact this Ordinance . Thank you for your consideration. Attachmen t: Resolution No. PZ 17-06 Page 19 of 138 Page 20 of 138 CITY OF KENAI PLANNING AND ZONING COMMISSION RESOLUTION NO. PZ17-06 A RESOLUTION OF THE PLANNING AND ZONING COMMISSION OF THE CITY OF KENAI. RECOMMENDING AN ORDINANCE TO THE COUNCIL OF THE CITY OF KENAI, ALASKA, CONDITIONALLY DONATING CERTAIN FORECLOSED CITY-OWNED PROPERTIES DESCRIBED AS LOTS 8, 9, AND 11 , BLOCK 9, AND LOTS 4 AND 5, BLOCK 10, MOMMSENS SUBDiVISION REPLAT OF ADON . 1 & 2, ADON . NO. 2, (PARCEL NUMBERS 03910208 ; 0391 0209; 03910211; 03910304 AND 03910305) TO CENTRAL PENINSULA HABITAT FOR HUMANITY, INC. FOR CONSTRUCTION OF HOUSI NG. WHEREAS, Kenai Municipal Code 22.05.125 allows the Council, by Ordinance, to donate foreclosed rea l property no longer needed by the City for public purpose to a non-profit corporation, for consideration agreed upon between the C ity and Grantee without a public sale, if it is advantageous to the City; and, WHEREAS, Central Peninsula Habitat for Humanity, Inc. is a non-profit charitable housing organization and has identified Lots 8, 9, and 11, Block 9, and Lots 4 and 5, Block 10, Mommsens Subd . Replat Addn. No. 1 & 2, Addn. No. 2 (Parcel Numbers 03910208; 03910209; 03910211 ; 03910304; and 03910305) -(See Attachment 8) as properties meeting the needs of their organization; and, WHEREAS, the above-referenced properties were acquired through tax and special assessment foreclosures Uudgement year was 1987); and, WHEREAS, Ordinance No. 1414-91 declared the properties were not needed for a pub!ic purpose and cou ld be sold; and, WHEREAS, the subject properties have been included in publ ic foreclosure sales in 2005 and 2007 where no bids to purchase were received ; and, WHEREAS, it is advantageous to the City of Kenai to donate these lots to Central Pen insula Habitat for Huma n i ty, Inc. to provide needed safe affordable low income housing over the next few years, which will produce tax revenue for the City of Kenai, rather than having these lots remain vacant. NOW, THEREFORE, BE IT RECOMMENDED TO THE COUNCIL OF THE CITY OF KENAI , ALASl<A, THAT AN ORDINANCE BE ENACTED TO CONDITIONALLY DONATE CERTAIN FORECLOSED CITY-OWNED PROPERTIES DESCRIBED AS LOTS 8, 9 , AND 11, BLOCK 9 , AND LOTS 4 AND 5, BLOCK 10, MOMMSENS SUBDIVISION REPLA T OF ADON . 1 & 2, ADON. NO. 2, (PARCEL NUMBERS 03910208; 03910209; 03910211 ; 03910304 AND 03910305) TO CENTRAL PENINSULA HABITAT FOR HUMANITY, INC. FOR CONSTRUCTION OF HOUSING . Page 20 of 138 Page 21 of 138 Resolution No. PZ17-06 Page 2of2 PASSED BY THE PLANNING AND ZONING COMMISSION OF THE CITY OF KENAI , ALASKA, this 22nd day of March, 2017 . ATTEST: Page 21 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 22 of 138Page 22 of 138 Page 23 of 138 Suggested by: Administration CITY O F KENAI ORDINANCE NO. 2943-2017 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA , AMENDING KENAI MUNICIPAL CODE CHAPTER 7.25 -CITY BUDGET, TO PROVIDE FOR IMPLEMENTATION OF A GENERAL FUND, FUND BALANCE POLICY AND APPROVE THE POLICY. WHEREAS, establishing a Fund Balance Policy which determines a mm1mum and maximum level of General Fund, Fund Balance, establishes the circumstances in which each category of fund balance can be appropriated, and establishes the requirements for replenishing deficiencies or eliminating excess is a Government Finance Officers Association of the United State and Canada (GFOA) and National Advisory Council on State and Local Budgeting (NACSLB) recommended best practice and in the best interest of the City's residents and businesses; and , WHEREAS, the goal of the City's Fund Balance Policy is to maintain an a ppropriate amount of reserves that is neither too high nor too low; and, WHEREAS , components of an appropriate amount of reserve s include a Budget Stabilization Reserve , an Operational and Capital Contingency Reserve, othe r Council commitments or assignments , and other Generally Accepted Accounting Principle (GAAP) required classifications; and, WHEREAS , the Budgetary Stabilization Reserve is equivalent to a risk adjusted three (3) months of General Fund expenditures and operating transfers; and, WHEREAS, the sum of the Budget Stabilization Reserve , Council created commitments or assignments , and other GAAP required classifications of fund balance is the minimum recommended level of City General Fund, Fund Balance ; and, WHEREAS , the Operational and Capital Contingency Reserve is equivalent to one (1) risk adjusted month of General Fund Expenditures; and, WHEREAS, when combined, the Budgetary Stabilization Reserve and the Operational and Capital Contingency Reserve shall equal a risk adjusted four (4) months of G e neral Fund expenditures and operating transfers; and, WHEREAS, should the City's General Fund, Fund Balance ever fall below the minimum recommended level or exceed the maximum recommended level, the proposed policy would r e quire a plan to correct such d e ficiencies or excesses in a period not to exceed three (3) years, inclusive of the propose d budget year; and, Page 23 of 138 Page 24 of 138 Ordinance No. 2943-2017 Page 2of7 WHEREAS, the proposed policy will amend the City Manager budget submittal requirements of KMC 7.25.010 and create a self-imposed Council restriction on the spending of the minimum recommended level of reserves; and, WHEREAS, the self-imposed Council restriction attempts to balance what Council determines to be a need and the temptation to utilize reserves from the minimum required amount for one-time projects, or for recurring expenditures that are not supported by reoccurring revenues, by requiring five affirmative votes of Council for passage of any appropri ating ordinance that would utilize reserves from the minimum required amount; and, WHEREAS , numerous amendments to KMC Chapter 7.25-City Budget, are needed to implement the City's Fund Balance Policy. 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 7.25.010 of the Kenai Municipal Code: That Kenai Municipal Code, Section 7.25.010-Adoption Procedure, is hereby amended as follows: 7.25.010 Adoption [P]~rocedure. (a) During or prior to the sixth week preceding the first d ay of the fiscal year, the City Administrat or presents to Council a budget proposal for the nex t fiscal year. Such budget proposal shall set forth the City Administrator's recommendations , and be accompanied by an analysis of the anticipated income and expenditures of the City during the n ext fiscal year, toge ther with comparative figures showing the estimated corresponding amounts for the current year and comparisons with the previous year. [THE PROPOSED EXPENDITURES SET FORTH IN THE BUDGET PROPOSAL SHALL NOT EXCEED THE EXPECTED REVENUES OF THE CITY. UNENCUMBERED FUNDS REMAINING AT THE END OF THE CURRENT FISCAL YEAR MAY BE REALLOCATED FOR PURPOSES SET FORTH IN THE BUDGET PROPOSAL.] (bl The proposed budget shall project the ending level of fund balance greater than the amount calculated in 7.25.050(al but less than the amount calculated in 7.25.060(a) in a period of not more than three (3) years inclusive of the propose d budge t year. (cl Should the proposed budget project to expend any amount of fund balance for recurring expenditures, the City Manager must also present a plan demonstrating future revenues, either new or from existing sources, will b e sufficient to support the recurring expenditures within three (3) years, inclusive of the proposed budget year. New Text Und erlined ; [DELETED TEXT BRACKETED] Page 24 of 138 Page 25 of 138 Ordinance No. 2943-2017 Page 3 of 7 (d) Should the proposed budget project to expend any amount of fund balance for a one-time expenditure, the City Manager must present a plan to assure compliance with section 7.25.0lO(b). ([DJ.tl The budget proposal shall be reviewed by the Council and be available for public inspection at the City Clerk's office. ([El.fr The Council shall set a date for a public hearing on the budget proposal. Notice of the hearing shall be published in a newspaper of general circulation in the City not less than one ( 1) week before the hearing. ([F]g)_ After the public hearing and not later than the tenth day of June , the Council shall, by ordinance, adopt a budget for the following fiscal year and make an appropriation of the money needed therefor, and shall, by resolution, fix the rate of levy of tax in accordance with KMC 7.05 .0lO(b). Section 3. Enactment of Section 7 .2 5.050 of the Kenai Municipal Code: That Kenai Municipal Code, Section 7.25.050-Budgetary Stabilization Reserve is hereby enacted as follows: 7 .25.050 Budgetary Stabilization Reserve. The Budget Stabilization Reserve is an amount equal to a risk adjusted three (3) months of budgeted General Fund expenditures and operating transfers and will be classified as committed fund balance. (a) The sum of the Budget Stabilization Reserve , Council created commitments or assignments , and other Generally Accepted Accounting Principle require d classifications of fund balance is the minimum recommended level of City General Fund, Fund Balance. fb) Should General Fund, Fund Balance be less than the amount in 7 .25.050(aL. Council shall adopt a plan to replenish the reserves to at least the minimum level of 7.25.050(a). The plan must project reserves above the minimum level within three years, inclusive of the budget year which is being adopted. Section 4 . Repeal and Replacement of Section 7.25.060 of the Kenai Municipal Code: That Kenai Municipal Code , Section 7.25.060-Working Capital Reserve is hereby repealed and replaced as follows: [7.25.060 WORKING CAPITAL RESERVE. THERE SHALL BE ESTABLISHED IN THE GENERAL FUND A WORKING CAPITAL RESERVE. SUCH RESERVE SHALL BE FUNDED BY RESERVING A PORTION OF THE GENERAL FUND BALANCE AT JUNE 30, 1977. SUCH RESERVE SHALL BE LIMITED TO FOUR HUNDRED THOUSAND DOLLARS ($400,000.00), WHICH MONIES SHALL BE USED FOR THE PURPOSE OF MEETING THE CASH FLOW REQUIREMENTS NECESSARY FOR THE NORMAL DAILY OPERATIONS OF THE CITY WITHIN THE GENERAL FUND. USE OF THE MONIES DEDICATED IN THIS SECTION FOR ANY PURPOSE OTHER THAN AS PROVIDED IN THIS SECTION MAY BE MADE ONLY AFTER OPPORTUNITY FOR PUBLIC HEARING ON SUCH OTHER USE HAS BEEN AFFORDED AND FIVE (5) MEMBERS OF THE COUNCIL HAVE New Text Underlined; [DELETED TEXT B RA CKETED] Page 25 of 138 Page 26 of 138 Ordinance No. 2943-2017 Page 4of7 VOTED IN FAVOR OF SUCH OTHER USE AT A REGULAR MEETING . THIS SECTION MAY BE AMENDED OR REPEALED ONLY BY NON-EMERGENCY ORDINANCE.] 7.25.060 Operational and Capital Contingency Reserve. The Operational and Capital Contingency Reserve is an amount equal to a risk adjusted one (1) month of budgeted General Fund expenditures and operating transfers and will be classified as assigned fund balance. (a) The sum of the Budgetary Stabilization Reserve , the Operational and Capital Contingency Reserve, other Council created commitments or assignments, and other Generally Accepted Accounting Principle required classifications of fund balance will equal the maximum recommended level of General Fund Reserves . (bl Should General Fund, Fund Balance be more than the amount in 7.25.060(a), Council shall adopt a plan to reduce the reserves to at least the maximum l evel of 7.25.060(a). The plan must p roject reserves below the maximum level within three years inclusive of the budget year which is being adopted . Section 5. Amendment and renumbering of Section 7 .25.070 of the Kenai Municipal Code, deletion of the exi sting KMC 7.25.090 and enactment of a new Section 7.25.070: That Kenai Municipal Code, Section 7.25.010-Revenue from Interest and Sale of non- trust land , is hereby amended and r enumbered, existing KMC 7 .25.090 is deleted and a new section 7.25.070 is enacted as follows: 7.25.(070)090 Revenues [F]~rom [I]!nterest and [S]~ale of [N]Non-trust [L]!!and. (a) All revenues earned from City investments shall be r ecorded in the General Fund. Those earnings derived from cash held in funds that are required by federal or state statute or other appropriate authority to be allocated to specific funds shall be transferred to those respective funds. Remaining revenues shall be transferred first to General Obligation Debt Service Funds in the amount of their respective annual debt service requirements, until such t ime that a fund's accumulated unreserved fund balance equals or exceeds its remaining debt requirements. Any remaining revenues are available to the General Fund[, EITHER FOR DEDICATION TO GENERAL FUND OPERATIONS OR FOR DEDICATION TO THE GENERAL FUND CAPITAL IMPROVEMENT RESERVE AS PROVIDED BY COUNCIL.] (b) The principal proceeds from sales of City-owned, n on-trust lands shall be recorded in a separate City account. Monies in this account may not be spent or appropriated but rather invested. Revenues earned on monies in this account may be used for any lawful purpose. For this purpose , non-trust lands are defined as lands owned by the City other than lands held in trust by the City under the t erms of conveyance thereof to the City. Proceeds from sales of lands r eceived on foreclosure for special assessments or for taxes shall first be reduced by n ecessary amounts for payments of such assessments, ta."Xes, and related costs. [(C) REVENUES DEDICATED TO THE GENERAL FUND RESERVE FOR CAPITAL IMPROVEMENTS IN THIS SECTION MAY NOT BE APPROPRIATED FOR ANY New Text Underlined; [DELETED TEXT BRAC KETED] Page 26 of 138 Page 27 of 138 Ordinance No. 2943-2017 Page 5of7 PURPOSE OTHER THA N FOR PURCHASES OR IMPROVEMENTS OF A CAPITAL NATURE EXCEPT BY NON-EMERGENCY ORDINANCE PASSED AT A REGULAR COUNCIL MEETING (AFTER OPPORTUNITY FOR PUBLIC HEARING ON SUCH OTHER PURPOSE HAS BEEN AFFORDED) ON THE FAVORABLE VOTE OF AT LEAST FIVE (5) MEMBERS OF THE COUNCIL. THIS SECTION MAY BE AMENDED OR REPEALED ONLY BY NON-EMERGENCY ORDINANCE.] [7.25.090 WHEN VOTER RATIFICATION REQUIRED FOR USE. NO CAPITAL PROJECT APPROVED BY COUNCIL WHICH REQUIRES MUNICIPAL FINANCING (EXCLUDING GOVERNMENT GRANTS AND AMOUNTS TO BE REIMBURSED FROM BENEFITED PROPERTIES) TO BE PAID FROM CAPITAL IM PROVEMENT RESERVE MONIES IN EXCESS OF FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) SHALL BE CONTRACTED UNLESS THE DESIRABILITY OF SUCH PROJECT IS RATIFIED BY THE VOTERS AT A GENERAL OR SPECIAL ELECTION.] 7.25.070 Unassigned General Fund, Fund Balance. Unassigned General Fund, Fund Balance is the amount, if any, remaining after deducting the amount calculated in 7 .25.060(a) from total General Fund, Fund Balance. Section 6. Repeal and Replacement of Section 7.25.080 of the Kenai Municipal Code: That Kenai Municipal Code, Section 7.25.080-Prohibition of Use of Capital Improvement Reserves for Airport Improvements, is hereby repealed and replaced as follows: [7.25.080 PROHIBITION OF USE OF CAPITAL IMPROVEMENT RESERVES FOR AIRPORT IMPROVEMENTS. USE OF MONIES FROM THE CAPITAL IMPROVEMENT RESERVE FOR AIRPORT OR AIRPORT LANDS IMPROVEMENTS IS SPECIFICALLY PROHIBITED EXCEPT WHERE THERE ARE NO MONIES (OR INSUFFICIENT MONIES) AVAILABLE FOR SUCH IMPROVEMENTS , IN WHICH CASE MONIES FROM THE FUND DEDICATED HEREIN CAN BE ADVANCED FOR SUCH IMPROVEMENTS AS A LOAN TO BE REIMBURSED FROM AIRPORT SOURCES OF INCOME .] 7 .25.080 Appropriation of General Fund, Fund Balance Below the Recommended Minim um Level. Appropriation of fund balance which requires use of the minimum recommended level in 7.25.050(a) requires an affirmative vote of at l east five (5) Council Members. New Text Underlined; !DELETED TEXT BRACKETED ] Page 27 of 138 Page 28 of 138 Ordinance No. 2943-2017 Page 6of7 Section 7. Repeal of Section 7.25.100 of the Kenai Muni cipal Code: That Ke nai Municipal Code, Section 7.25.100-Authorize d use of capital improvement r eserves, is hereby r epealed as follows: (7.25.100 AUTHORIZED USE OF CAPITAL IMPROVEMENT RESERVES. SUBJECT TO THE ABOVE PROVISIONS , AND IN ADDITION TO THE PROVISIONS OF KMC 7.25.070(C), SUCH MONIES MAY BE USED AT THE DISCRETION OF COUNCIL: (a) TO PROVIDE MUNICIPAL F INANCING FOR CAPITAL IMPROVEMENT PROJECTS IN AN APPROVED ASSESSMENT DISTRICT WITH THE BALANCE OF THE NECESSARY FINANCING TO BE APPORTIO NED TO THE BENEFITED PROPERTIES IN ACCORDANCE WITH THE PROVISIONS OF THE CHARTER AND THE ORDINANCES ENACTED PURSUANT THERETO; (b ) TO USE IN LIEU OF BONDING TO PROVIDE FOR THAT PORTION OF FI NAN C ING OF AN APPROVED ASSESSMENT DISTRICT TO BE ULTIMATELY PAID BY OW NERS OF BENEFITED PROPERTIES, WITH SUCH FINANCING TO BE REIMBURSED FROM COLLECTIONS OF ASSESSMENTS OR SALES O F LA ND FORECLOSED FOR SUCH COLLECTIONS WITHIN SAID ASSESSMENT DISTRICT; (c) TO PROVIDE MUNICIPAL FINANCI NG FOR ANY PROJECTS FOR WHICH ASSESSMENT DISTRICTS ARE NOT AUTHORIZED AND F O R WH ICH NO STATE O R FEDERAL GRANTS ARE AVAILABLE ; (d) TO PROVIDE THE MUNICIPAL SHARE OF FINANCING FOR PROJECTS F OR WHICH STATE , FEDERAL, OR STATE AND FEDERAL GRANTS ARE AVAILABLE AND TO PROVIDE ADVANCE FINANCIN G TO BE REFUNDED FROM SUCH GRANT S.] Section 8. Renumbe1ing of Section 7 .25.110 of the Kenai Municipal Code: That Kenai Municipal Code, Section 7.25.110-Equi pment Replacement Fund, is h e r eby Renumbered as follows: 7.25.(110)100 Equipment Replacement Fund. (a) A fund e ntitled Equipment Replace m e n t Fund i s c r eated. The fund shall be a n internal service fund as defined by generally accepted accounting principles. The purpose of the fund is to provide financing for equipment w hich is anticipated to cost in exces s of fifty t housand dollars ($50,000.00) and whi ch w ould ot...l1erwise be financed by the General Fund. (b ) The Equipment Re placem e nt Fund is not required to have an annual budget; however, any cash outlay for equipment purchases from the Equipment Re placem e nt Fund s hall be approved by r esolution of the City Council. (c) The Equipment Replacement Fund s hall be allocated interest earn i ngs o n all cash b alances in the fund. Proceeds from the sale of surplus e quipment w ill b e New Text Underlined; [DELETED TEXT BRACKETED] Page 28 of 138 Page 29 of 138 Ordinance No. 2943-2017 Page 7of7 deposited in the Equipment Replacement Fund if the fund will be financing the replacement of the equipment, or if the equipment was purchased with fund assets. Any transfer of Equipment Replacement Fund assets to another fund shall be accomplished by ordinance. (d) The City Manager will maintain a schedule of all equipment owned b y the Equipment Replacement Fund and shall make recommendations to the City Council when equipment i s to be purchased by the fund. Section 8. Renumbering of Section 7.25.120 of the Kenai Municipal Code: That Kenai Municipal Code, Section 7.25.120-Setting of fee schedules, is hereby Renumbered as follows: 7.25 .(120)110 Setting [F]~e e (S]§chedules. The Council may adopt and amend a fee schedule specifying the rates, charges, or fees imposed by the City. Unless otherwise provided in the Kenai Code of Ordinances, any rates, charges, or fees imposed by the City of Kenai shall be set by the City Manager and shall be effective upon approval by resolution of the Council. Section 9 . Approving Policy No. 17-03-General Fund, Fund Balance Policy, as attached hereto. Policy No . 17-03-General Fund, Fund Balance Policy may be amended by future Council Resolution. Section 10. That pursuant to KMC 1.15.070(f) this Ordinance shall take effect 30 days a fter enactment. ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA , this 5 th day of April, 2017. ATTEST: Sandra Modigh, City Clerk Approved by Finance: ___ _ BRIAN GABRIEL, SR., MAYOR Introduced: March 15, 2017 Adop~d:AprilS,2017 Effective: May 5 , 2017 Ne w Text Underli ned ; [DELETED TEXT BRACKETED] Page 29 of 138 Page 30 of 138 POLICY No. 17-03 GENERAL FUND FUND BALANCE POLICY BACKGROUND The City of Kenai maintains its financial operations in a manner consistent with sound financial management principles, which require that sufficient funds be retained to provide a stable financial base at all times. An adequate fund balance level is an essential element in both short-term and long-term financial planning. It serves to mitigate current and future risks, sustain operations during economic downturns , provides cash flow liquidity for the City's general operations , and enhances creditworthiness. Maintenance of sufficient levels of fund balance enables the City to stabilize funding for operations , stabilize taxes and fees, and realize cost savings in issuing debt. While adequate levels of fund bala9ce are important, the City strives to maintain an appropriate amount that is neither tefo high nor too low. PURPOSE /( This policy establishes a target level of ~nd b ~ance Qr the General Fund in order to sustain financial stability and to provide rudent management of the City's financial reserves. This policy establishes a process for reaching and or maintaining the targeted level of fund balance and the prio ity for the u e of resources in e xcess of the target. This policy also provides a mechan·sm f9 r monitoring and reporting the City's General Fund Balance. This policy o , ly applies fo th~General Fund. DEFINITIONS AND CL~ SIFl.CATIO S Fund balance is a surplu of f Linds accrued from unexpended operating budgets and unanticipated,;-6en es. t ·s calculated as the difference between the assets and liabilities reparteed in a governmental fund . Fund balance cons1 ti; 2 five (5) classifications that comprise a hierarchy based primarily on the extent 10 which the City is bound to honor constraints on the specific purpose for which amounts can be spent. The five (5) classifications of fund balance applicable to the General Fund are defined as follows. Restricted Fund Balance Components: • Nonspendable fund ba lance amounts that are not in a spendable form or legally or contractually required to be maintained. There is no minimum funding requirement for this account. • Restricted fund balance amounts that can be spent only for the specific purposes stipulated by external parties either constitutionally, through enabling legislation , or through other legally binding restrictions. There is no minimum funding requirement for this account. Page 30 of 138 Page 31 of 138 General Fund Page 2 of 4 Fund Balance Policy Unrestricted Fund Balance Components: • Committed fund balance amounts that can only be used for the specific purposes determined by a formal action of the City Council. Commitments may be changed or lifted only by referring to the formal action that imposed the constraint originally. • Assigned fund balance amounts intended to be used by the government for specific purposes. Intent can be expressed by the City Council or by a designee to whom Council designates the authority. No formal ordinance or reso lution is required to form intent. There is no minimum funding requirement for this account. • Unassigned fund balance consists of the remain ing funds not segregated above. These funds may be used for new progr{ms or positions desired outside of the current and established budget or foyO'ne-time capital investments . There is no minimum funding requirement for thi 8'acc unt. POLICY Designating Funds: The responsibility for designating fu ds to specific classifications shall be as follows: / • Committed fund b ance -T e City Council is the City's highest decision making authority, an he1 ormal action required to establish , modify, or rescind a fund balaAce co m itment is an ordinance passed by the Council. Commitme s autho)zed '"-Kenai Municipal Code include: o Encumbrances -Amounts encumbered at year-end by contract, includ ing purchase der, or encumbered by some other means shall be classified as committed. o Budget Appropriation -Amounts appropriated in the annual budge t , or in supplemental appropriations, for expenditures in the ensuing fiscal year shall be classified as committed. o Budgetary Stabilization Reserve -An amount created by this policy equal to a risk adjusted three (3) months of operating expenditures and transfers. • Assigned fund balance -Th e City Council has retained authority to assign fund balance to a specific purpose. Assignments will be made by action of the Counc il. An ordinance is not required for assignment of fund balance. Annually, at budget adoption, Council wi ll review and confirm existing assignments. Examples include : Page 31 of 138 Page 32 of 138 General Fund Page 3 of 4 Fu nd Balance Policy o Operational and Capital Contingencies Reserve -An amount created by this policy in excess of a risk adjusted three (3) months of expenditures and transfers but less than a risk adjusted four (4) months of expenditures and transfers. o Compensated Absences -Actual accumulated employee annual leave balances at the end of each fiscal year. Fund Balance Policy: It is the policy of the City of Kenai to commit to a budgetary stabilization reserve an amount of fund balance equal to a risk adjusted three (3) months of General Fund expenditures and transfers measured on a General Accepted Accounting Principles (GAAP) basis. The sum total of the budgetary stabili zation reserve , other Council commitments and assignments , and fund balance reservations required by GAAP , will equal the minimum recommended fund balanco/Or the City's General Fund. This amount is prudent based upon an evaluation of he City's operating characteristics, diversity of tax base, reliability of non-prop ~y ax ources , working capital needs, impact on bond rating, state and local economic ou lqp ks , emergency and disaster risks, and other contingencies. In the ev t thafthe fu n d balance drops below this minimum level, the City will dev~op a pan, implemented through the annual budgetary process, to bring the ba(ance back o the target level over a period of no more than three (3) fiscal years, incl siv;.,of the budget year which is to be adopted. The City Council has imR sed 0n itse f a rule requiring an affi rmative vote by at least five (5) members of the ou n'cil in order to appropriate fund balances below the established minimum level. This appropriately balances the need to make such monies availabl e1f nece sary · the judgement of the elected City Council , w ith the temptation to usEt_ this baJance to meet recurring operating needs when recurring operating revenues are r:i 6t sufficient. Fund balance equal to a risk adjusted one (1) month of ex penditures and transfers shall be assigned for an operational and capital contingencies reserve. The sum total of the budgetary stabilization reserve , the operational and capital contingenc ies reserve, other Council commitments and assignments, and fund balance reservations required by GAAP, will equal the maximum recommended fund balance for the City's General Fund . Fund balance in excess of this policy's max imum amount shall be unassigned and available for capital impro vements identified in the five-year capital improvement plan or other one-time expenditures or debt service reserves. Unassigned fund balance may be utilized for recurring expenditures provided financial projections show the expenditures will be supported by revenues, other than a use of fund balance , within three (3) years , inclusive of the budget year which is to be adopted. Policy Administration The City Manager will report to the City Council an est imated , unaud ited balance of Page 32 of 138 Page 33 of 138 General Fund Page 4 of 4 Fund Balance Policy General Fund , Fund Balance during the annual budget submiss ion process. Fund balance must be reported by appropriate category and demonstrate compliance with this policy. The City Manager is required to propose a budget that meets the following requirements : 1. A projected ending level of fund balance at or above the mmrmum level established by this policy ove r a period of no more than three (3) fiscal years inclusive of the budg et year being adopted . A budget showing any use of this policy 's minimum amount of fund balance shall require five (5) affirmative votes of Council to adopt. 2 . Include a prioritization for commitment or use of unassigned fund balance including a five (5) year capital priority l ist. 3. Financial projections showing recurring expen sMu res, for which fund balance is the revenue source, will be supported by '.Yvenues , other than the use of fund balance , within th ree (3) fiscal years, inclusrv e of the budget year being adopted . Annually during the Comprehensive Annual ina '}elal Rep rt (CAFR ) presentation , the Finance Director shall report the City's fund ba ~ne e and the classification of the various components in accordance with GAA and this p licy. Page 33 of 138 Page 34 of 138 "Vt11aje with a Past, City with a Future" the eityef, KENAI, ALASKA ~ To: Mayor Gabriel Council Members FINANCE DEPARTMENT 210 Fidalgo Avenue, Kenai, Alaska 99611-7794 Telephone: 907-283-7535 I FAX: 907-283-3014 Thru: Paul Ostrander, City Manager \7 c? From: Terry Eubank, Finance Director ~ fDL T fub qvt-K Date: March 9, 2017 Re: Adoption of a General Fund , Fund Balance Policy via Ordinance 2943-2017 The purpose of this memo is to recommend passage of Ordinance 2943-2017. Ordinance 2943-2017 will codify the City's new General Fund , Fund Balance Policy. A fund balance policy is a tool for management of a governmental fund. The purpose of a fund balance policy is to ensure that there will be adequate liquid resources to serve as a financial "cushion" against the potential shock of unanticipated circumstances and events (e.g. revenue shortfalls, unanticipated expenditures). A good policy also ensures the accumulation ofresources does not become excessive. Development of a fund balance policy by a government is a recommended best practice of the Government Finance Officers Association of the United State and Canada (GFOA) and the National Advisory Council on State and Local Budgeting (NACSLB). Through the development of this new policy, the administration completed the following items: 1. Development of a new General Fund, Fund Balance Policy which included: a. Review of published best practices for policy development. b. Detailed analysis of each General Fund revenue source and their hist01ical volatility. c. Detailed review of current classifications of General Fund , Fund Balance. d. Analysis of other risk factors impacting the City and its need for increased reserves. e. Establishment of replenishment and reduction guidelines. 2. Development of recommended changes to budget submission requirements of the City Manager. 3. Review and recommended updates to KMC 7.25 for implementation of the new policy, changed budget submission requirements of the new City Manager, and other recommended amendments. Fund Balance Policy Development GFOA and NA CS LB best practices for development of a fund balance policy include: 1 . The policy should establish a minimum and maximum range of recommended fund balance. Page 34 of 138 Page 35 of 138 2. The po licy should establish the circumstances in which each category of fund bal ance can be appropriated. 3. The policy should establish guidelines for replenishing deficiencies or eliminating excesses in fund balance. The proposed policy creates a minimum level of fund balance, th e sum of Council establi shed commitments and assignments, fund balance classifications r equi red by Generally Accepted Accounting Principles (GAAP) and the policy's Budget Stabilization Reserve, w hi ch should be achieved and maintained to assure the long-tenn stability of the City's Gen eral Fund operati ons. Use of fu nd bal ance below the policy's minimum i s not prohibited but it wou ld require five affinnative vo tes of counci l. This is an attempt to balance wh at Council would detennine to be a need and the temptati on to use this balance fo r one ti me projects or operations that are not s upported by reoccurring revenues. Use of reserves below the minimum required l evel wi ll a lso require a plan for replenishment. The Budget Stabiliz ation Reser ve is equal to a risk adjusted three months of General Fund expenditures and operating transfers. Ri sk adjustment occurs b y ca lculating the average annual vo latility for each revenue class over a 20 year pe1iod at one standard deviation. For FY20 17 the base of tlu·ee m onths becomes 3 .82 19 months after adj ustment for risk. Beyond thi s minimum level of reserves it is proposed to have a secondary amount fo r other operational and ca pital contingencies, the Operati o nal a nd Capital Contin gency Reserve. Adding the Operational and Capital Contingency Reserve to minimum required fund balance will es t a blish t he maximum r ecom mended fund bal ance amount. The Operational and Capi ta l Contingency Reserve i s equal to one m onth of risk adjusted General Fund ex penditures and operating transfers. After risk adjustments, one month becomes 1.2735 months. Application of the policy to the June 30, 2016 General Fund, Fun d Balance of $10,41 8,000 produces a po licy minimum of $6,946,578, a max imum of $8,582,989, and unassigned fund b ala nce of $1,8 35 ,111. Ending Fund Balance 6/30/16 Nonspendable Restricte d : Athletics -Daubenspeck Donation Committed: Outstanding Encumbrances Subsequ entYea rExpend rtures Health Insurance Reserve * Budgetary Stabilization Rese rve Total Committed Assigned: Accrued Compensated Abse nces * Operational and Capital Contingencies Reserve Total Assigned Unassigned 3.8219 1.2735 $ 10,418,100 (588 ,9 37) (40,309) (590,274) (100,000) (4 ,911,197) (5 ,641, 780) (715,86 1) ( 1,636,411) (2 ,352,272) $ 1.835.111 Page 35 of 138 Page 36 of 138 Unassigned b a lances could be to capita] impro ve ments, o ther one-time expenditures, establislu11ent or increase of d e bt service reserves, or operating expenditures pro vided financial projections show revenu es will be ava ilable in the future in order to s ustain th e new expenditures. The poli cy requires a plan to be implemented over not m ore than three years, inclusive of the budget year being propo sed, for achievement of the policy's minimum or m ax imum fund bal a nce amount should th e actual fund balance fa ll outside thi s range. Attachment A graphicall y depicts the policy by showing th e different classifications of fund ba la nce, the policy minimum and maximum , and actua l fund balance . Attachment B depicts the rest rictions placed upon th e use of each fund balance above the po li cy maximum, within the policy's appropriate range, and bel ow the policy's minimum. The proposed po li cy fo ll ows GFOA and NACSLB b est practices b y detern1ining a minimum and maximum ran ge of fund balance, establi shes criteria for appropriation of fund balance in d ifferent ranges of the policy, and establi s hes a guidelines for adjustment to fund balance when the balance fall s outside the appropriate policy range. City M anager Budget Submission G u idelines Currentl y KMC 7 .25.010 prohibits expenditures set forth in the budget proposal from exceeding the expected revenues of the C ity . KMC 7 .25: 1 . Prohibits the City Manager from presentin g a budget utiliz ing fund balance. 2. l s a ve r y con servative approach but limits fle x ibility to recommend the use of fund balanc e during temporary economic downturns. 3. Requires a Council m e mber to propose utili zation of fund balan ce. 4 . Poli cy works well in t im es of s tabl e or grow ing revenues and moderatel y increasing exp enditures. 5. Poli cy limits the ad ministration in times of shrinking revenues , significantly in creasing expendi tures, or proposing u se of fund balance for capital proj ects. The administration's recommendation i s for the City Manager's p roposed budget to show compliance wi th the fund bal ance policy within three years, inclus ive of the y ear fo r which the budget is b e ing proposed. Should the City Manager propose the use of fund balance for recuning expenditures, future revenue proj ecti ons must demonstrate suffi ciency to support the recurring expenditures w ithin three years , in clusive of the yea r fo r whi ch th e budget is being proposed . A budget propos in g th e use of fund balance for non -recuning ex p enditures mu st proj ect fLmd ba lance above the poli cy minimum within three yea rs, inclu si ve of th e year fo r which the budget i s b ei ng proposed. A ny bud get p ro posi ng the use of fund balance below the poli cy minimum wo uld require five affinn at ive votes of Coun cil. It s hould be noted that what is being proposed is less restricti ve than what was discussed at th e February 28 , 20 17 work sessi on on the poli cy. At th e suggestion of Coun ci l Member Navarre the administrati on ha s removed th e prohibition on th e C ity M anager presenting a budget that utili zes fu nd balan ce b e low the policy's minimum leve l. The po li cy wou ld sti ll req uire five affirmative vo tes of Council to a pp ro priate fu nd balance be low the policy minimum but provides th e City Manager the ab ility to recommend what he or sh e would be1ieve is th e b es t reconm1end ati on to Co uncil. Page 36 of 138 Page 37 of 138 KMC 7.25 Code Amendments 7.25.010 The administration is recommending amendment to KMC 7 .25 to prov ide greater flexibility in presenting a budget wh ere fund balance is utili zed but includes safeguards to constrain the use of fund balance for one-time and recurring expenditures. 7.2 5.020-7.25.040 No proposed amendment. 7.25.050-7.25.080 New sections of code created for the implementation of the policy. 1. 7.25.050 establi shes the Budget Stabilization Reserve and defines the minimum fund balance recommended . 2. 7.25 .060 establi shes th e Capita l a nd Operating Conti ngency R eserve and defines the maximum fund balance recommended. 3. 7.25.070 defined un assigned fund balance. 4 . 7 .25.080 desc1ibes the appropriation requ irements for fund b alance below the policy minimum level. 7.25.060 T he 01igina l 7 .25.060 was eliminated because the Budget Stabili zation Reserve is intended to includ e the workin g capital needs of the Ci ty, and there no longer needs to be a separate commitment for working capital. 7.25.070-7.25.100 7.25.070 was renumbered to 7.25.090 a nd was amended to eliminate the General Fund Capital Improvement Reserve. 7.25.080 -7.25.100 are proposed to be e li minated. The current balance of the General Fund Capital Improvement Reserve is $9, 746 and there h ave been no contributions to the reserve s ince the issuance of the library's expans ion bonds because interest earning have not exceed debt serv ice req ui rement s. Elimination of the reserve has effectively occurred over time w ith its reduction to less than $10 ,000. The p roposed amendment wi ll e li minate the General Fund Capital Improvement Reserve. 7.25.110 Thi s section has been renumbered to 7.25.100. 7.25.120 This section has been renumb ered to 7 .25.1J 0. Page 37 of 138 Page 38 of 138 KMC 7.25 Code As Proposed The fo llowing shows how Chapter 7.25 would read if the proposed new language i s adopted b y Cou ncil. Deleted language is n ot pro v id ed for ease of re adability, new la nguage is underlined. 7.25.010 Adoption frocedure. (a) During or prior t o the sixth week preceding the firs t day of the fi scal year, t he City Administ r ator presents to C ouncil a budget proposal for the next fiscal year. Such budget proposal shall set forth the City Administrator's recomm endations, and be accompanied b y an analysis of the anticipated income and expenditures of the C ity during the n ext fis cal year, toge the r with comparative fi gur es showing the estimated c orresponding amounts for the c urrent year and comparisons with the previous year. [ {bl The propose d budget shall project the e nding l evel of fund balance greater than the amount calculated in 7.25.0SO(a) but l ess than the amount c alculated in 7 .25.060(a) in a period of not more than three (3) y ears inclusive of the propose d budget year. (c) Should t h e proposed budget project to exp e nd any amount of fund balance for r ecurring exp e nditures, the City Manager must also present a p lan demonstrating future r evenu es , e ither n e w or from existing sources, will be sufficient to support the r ecu r ring expenditures within three (3) years, inclus ive o f the proposed budget year. (d) Should t h e propose d budget project to exp e nd any amount of fund balance for a one-time expenditure, the City Manager must present a plan t o assure compliance with section 7.25.0 lO(b). ([d The budget proposal shall be reviewed b y the Council and be avail able for public inspection at the C ity C lerk's office. (fi The Council shall set a d a t e for a public h earing on the budget proposal. Notice of the h earing shall be published in a n ewspap er of gen e ral cir cu lation in the City not less than one ( 1) week b efor e the h earing. (gl After the public hearing and not later than the tenth d ay of June, the Council shall, b y ordinance, adopt a budget fo r the following fiscal year and m ake an appropriation of the money needed therefor , and shall, b y resolution, fix the rate of levy of tax in accordance with KMC 7.05.0lO(b). 7.25.020 City budget c ontrol. (a) After a pp roval by the Finance Director as to ava ilability of un encumbered b a lances , tra nsfers in amo un ts less th an five thousand dollars ($5 ,000.00) may be made in li ne item acco unts within th e General Fund, Special Revenue Funds, D e bt Service Funds, Enterprise Fu nd s and Internal Service Funds w ith out approval by the C it y Co uncil. The C ity Cl erk may make such tran sfers w ithin th e General Fund Department of the City C lerk, an d the City Attorney may make such transfer s within the General Fund Depaitment of Law. The City Manager may make su ch tra nsfer s in a ll o ther areas except in the Legislati ve Department. The budgetary l evel of control wi ll be the project le vel for Capi tal Project Funds . Object level Page 38 of 138 Page 39 of 138 transfers of five thousand dollars ($5,000.00) or more within a project will be reported to the Council on a monthly basis. (b) The City Council, by resolution, may make transfers in any amounts of unencumbered balances of line item accounts within a Department or within a fund. (c) The City Administrator is directed to charge all di sbursements to "cost centers" established by the budget. A "cost center'' is defined as a prov ision for expenditure specified by the budget of the City of Kenai for a department or activity specifically so recognized. 7.25.030 Unbudgeted appropriations. For any expenditures not provided an authorization in the budget for the fiscal year, the Council shall authorize such expenditures by ordinance, making the required appropriation. 7.25 .035 Treatment of year-end encumbrances. Encumbrances o utstanding at the end of any fiscal year are designated as non-lapsing appropriations, and are not class ified as expenditures or liabilities of the cuITent period. Without any direct action of the City Council, the subsequent year's annual budget shall be increased by the s um of such year end encumbrances in the appropriate I ine of the budget. 7 .25.040 Interfund borrowing or transfers. lnterfund tran sfers shall be administered as fo ll ows: (a) Funds established by bond ordinances or covenants in such ordinances shall control such funds in accordance with the mandate of the applicable ordi nance. (b) For short term borrowing between funds , also sometimes known as interfund transfers, the Council shall authorize s uch boITowing by ordinance. Such borrowi n g shall comply with the Charter of the City of Kenai , Section 6-2. 7.25 .050 Budgetarv Stabilization Reserve . The Budget Stabilization Reserve is an amount equal to a risk ad ju sted three (3) m onths of budgeted General Fund expenditures and operating transfers and w ill be classified as committed fund balance. (a) The s um of the Budget Stabili zation Reserve. Council created commitments or assignments, and other Generally Accepted Accounting Principle required classifications of fund balance is the minimum recommended level of City General Fund. Fund Balance. (b) Should General Fund, Fund Balance be less than the amount in 7.25.050(a), Council shall adopt a plan to rep lenish the reserves to at least the minimum level of 7 .25.050(a). The plan must project reserves above the minimum le vel within three years, inclusi ve of the budget year which is being adopted. 7.25.060 Operational and Capital Contingency Reserve. The Operational and Capital Contingency Reserve is an amount equal to a risk adjusted one CI) month of budgeted General Fund expenditures and operating transfers and w ill be classified as assigned fund balance. (a) The sum of the Budgetary Stabilization Reserve, the Operational an d Capital Contingency Reserve, other Council created commitments or assignments, and o ther Generally Accepted Accounting Principle required classifications of fund balance will equal the max imum recommended level of General Fund Reserves. Page 39 of 138 Page 40 of 138 (b) S hould General Fund. Fund Balance be more than the amount in 7.25.060(a). Counci l shall adopt a pl an to reduce the reserves to at least the maximum level of 7.25 .060(a). The plan must project reserves below the max imum level w ithin tlu·ee years inclusive of the budget year which is being adopted. 7.25.070 Unassigned General Fund, Fund Balance. Unassign ed General Fund. Fund Balance is the amount, if any, remaining after deducting the amount calculated in 7.25.060(a) from total General Fund, F und Balance. 7.25 .080 Appropriation of General Fund, Fund Balance Below the Recommended Minimum Level. Approp1iation of fund balance wh ich requires use of the minimum reco mmended level in 7.2 5.050(a) requires an affirmative vote of at least five (5) Council Members. 7.25 .090 Revenues from Interest and §ale of Non-trust Land. (a) All revenues earned from City investments shall be recorded in the General Fund. Those earnings derived from cash held in funds that are required by federal or state statute or other appropriate authority to be allocated to specific funds shall be transferred to those respective funds. Remaining revenues shall be transferred fi rst to General Obligation Debt Service Funds in the amount of their respective annual debt service requirements, until such time that a fund's accumulated unreserved fund balance equals or exceeds its remaining debt requirements. Any remaining revenues are available to the General Fund (b) The principal proceeds from sales of City-owned, non-trust lands shall be recorded in a separate City account. Monies in this account may not be spent or appropriated but rather invested. Revenues earned on monies in this account may be used for any lawful purpose. For thi s purpose, non-trust lands are defined as lands owned by the City other than lands held in trust by the City under the terms of conveyance thereof to the City. Proceeds from sales of lands received on foreclosure for special assessments or for taxes shall first be reduced by necessary amounts for payments of such assessments, taxes, and related costs. 7.25 .1 00 Equipment Replacement Fund. (a) A fund entitled Equipment Replacement Fund is created. The fund shall be an internal service fund as defined by generally accepted accounting principles. The purpose of the fund is to provide financing for equipment which is anticipated to cost in excess of fifty thousand dollars ($50 ,000.00) and which would otherwise be financed by the General Fund. (b) The Equipment Replace m e nt Fund is not required to have an annual b udget; however, any cash outlay for equipment purchases from the Equipment Replacement Fund shall be approved by resolution of the City Coun c il. (c) The Equipment R e placement Fund shall be allocated inte rest earnings on all cash balances in the fund. Proceeds from the sale of surplus equipment will be deposited in the Equipment Replacement Fund if the fund will be financing the replacement of the equipment, or if the equipme nt was purchased with fund assets. Any transfer of Equipment Replacement Fund assets to another fund shall be accomplish ed by ordinance. Page 40 of 138 Page 41 of 138 (d) The City Manager will maintain a schedule of all equipment owned by the Equipment Replacement Fund and shall make recommendations to the C ity Council when equipment is to be purchased by the fund. 7.25.110 Setting Eee §.chedules. The Council may adopt and amend a fee schedule specifying the rates, charges, or fees imposed by the City. Unless otherwise provided in th e Kenai Code of Ordinances, any rates, charges, or fees imposed by the City of Kenai s hall be set b y the C ity Manager and shall be effective upon approval by resolution of the Council. Your support for adoption of the proposed policy and suggest amendments to KMC 7.25 is apprecia t ed. Page 41 of 138 Page 42 of 138 $1 2 , 0 0 0 , 0 0 0 $1 0 , 0 0 0 , 0 0 0 $8 , 0 0 0 , 0 0 0 $6 , 0 0 0 , 0 0 0 $4 , 0 0 0 , 0 0 0 $2 , 0 0 0 , 0 0 0 $- 20 1 6 Ac t u a l - At h l e t i c s - Da u b e n s p e c k Do n a t i o n - He a l t h In s u r a n c e Re s e r v e - Ma x i m u m Fu n d Ba l a n c e 20 1 7 Ad o p t e d At t a c h m e n t A - Ci t y o f Ke n a i Ge n e r a l Fu n d , Fu n d Ba l an c e Po lic y 20 1 7 Es t i m a t e d 20 1 8 Pr o j e c t e d 20 1 9 Pr o j e c t e d Ou t s t a n d i n g En c u m b r a n c e s Su b s e q u e n t Ye a r Ex p e n d i t u r e s Ass igne d Co m m i t t ed ~Targeted Range i I i I ' I - Bu d g e t a r y Stabilization Reserve - Ac c r u e d Co m p e n s a t e d Ab s e n c e s - Op e r a t i o n a l an d Ca pit a l Co n t i n g e n c i e s Re s e r v e - Mi m i mum fund Balance Ac t u a l Fu n d Ba l a n c e Pa g e 4 2 o f 1 3 8 Page 43 of 138 s1 2 , o o o , o o o $1 0 , 0 0 0 , 0 0 0 $8 , 0 0 0 , 0 0 0 $6 , 0 0 0 , 0 0 0 $4 , 0 0 0 , 0 0 0 $2 , 0 0 0 , 0 0 0 $- 20 1 6 A c t u a l At t a c h m e n t B - Ci t y o f Ke n a i Ge n e r a l Fu n d , Fu n d Ba l a n c e Po li c y As s i g n e d Co m m i t t e d } Re s t r i c t e d 20 1 7 Ad o p t e d 20 1 7 Es t i m a te d 20 1 8 Pr o j e c t e d 20 1 9 Pr o j e c t e d Am o u n t s in th i s ar e a ar e above the maximum re c o m m e n d e d fu n d ba l a n c e and should be used fo r on e - t i m e ex p e n d i t u r e s or recurring where re v e n u e s ar e pr o j e c t e d to cover within 3 years. Th e ap p r o p r i a t e ra n g e o f recommended fund ba l a n c e . Us e sh o u l d be fo r one-time expenditures o r re c u r r i n g wh e r e re v e n u e s are projected to cover wi t h i n 3 ye a r s ye a r s in c l u d i n g the fiscal year for wh i c h th e ap p r o p r i a t i o n is being made. Am o u n t s in th i s ar e a ar e below the minimum re c o m m e n d e d fu n d ba l a n c e . Amounts can only be ap p r o p r i a t e d wi t h 5 af f i r m a t i v e votes and total fu n d ba l a n c e mu s t ex c e e d this amount within th r e e bu d g e t ye a r s in c l u d i n g the fiscal year for wh i c h th e ap p r o p r i a t i o n is being made. - At h l e t i c s - Da u b e n sp e c k Do n a t i o n Ou t s t a n d i n g En c u m b r a n c e s Su b s e q u e n t Ye a r Ex p e n d i t ur es - Bud g e t a r y Stabilization Reserve - He a l t h In s u r a n c e Re s e r v e - Ac c r u e d Co m p e n s a t e d Ab s e n c e s - Op e r a t i o n a l an d Ca p i t al Co n t i n g e n c i e s Re s e r v e - Mi m i m u m Fund Balance - Ma x i m u m Fu n d Ba l a n c e Ac t u a l Fu n d B~ l a n c e Pa g e 4 3 o f 1 3 8 Page 44 of 138 "Vt1/"'Je with a Pas4 City with a Future" 210 Fidalgo Avenue, Kenai , Alaska 99611-7794 Telephone: 907-283-7535 I Fa x: 907-283-3014 www.kenai.city MEMORA NDUM TO: THROUGH : FROM: DATE: SUBJECT: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager Terry Eubank, Finance Director March 29, 2017 Ordinance 2943-2017 The purpose of this memo is to provide examples of how compliance with the proposed fund balance policy will be communicated to Council. Compliance with the policy will be measured annually when the City Manager's proposed budget is presented to Counc il. Compliance will be demonstrated by providing a detailed list of each component of fund bal a nce and its specific purpose. Following this listing will be a graphical representation of the City 's fund balance a nd the appropriate range of fund balance as defined by the policy. If the City Manager's proposed budget is in compliance with the fund balance policy the projected fund balance will be less than the max imum level of the proposed KMC 7.25.060(a) and more than the minimum level of the proposed KMC 7.25.050(a). While the majority of focus is on fund balance dropping below the minimum of KMC 7.25.050(a), it is equally important to consider and be concerned should fund balance exceed the maximum level of KMC 7.25.060(a). Sound financial management will consider taxing poli cies , fee policies , and spending policies to assure sufficient reserves are maintaine d but do not become excessive . Attachment A is a graphic al representation showing the allowable range of fund balance and fund balance over the budget projection period . attaclunent Page 44 of 138 Page 45 of 138 City of Kenai Attachment A Fis cal Year 2018 Operating Budg et General Fund Fund Balance Policy Compliance FY2016 FY2017 FY2018 FY2019 FY2020 Actual P r ojected Proposed Projected Projected Ending Fund Balance 6130116 $ 10,418,100 $ 10,094,348 $ 10,062,654 $ 9 ,943,807 $ 9 ,923,705 Nonspendable $ $ $ $ $ Restri cted - Athle tics -Daubenspeck Donation $ (588,937) $ (6 18 ,706) $ (624 ,937) $ (660,937) $ (696,937) Committed: Outstanding Encumbrances $ (40 ,309 ) $ (50,000) $ (50,000) $ (50,000) $ (50,000) Subsequ ent Year Expenditures (590,274) (590,274) (771 , 178) (873,261 ) (790,721) Health Insurance Reserve (100,000) (100,000) Capital Improvement Plan Reserve (1,000 ,000) (1 ,000,000) (1 ,000 ,000) (1 ,000,000) Budgetary Stabilization Reserve 3 .8219 (4,859, 154) (4,911,197) (4.818.173) (4,916 ,511) (5,023,065) Tota l Co mm itted $ (5,589,737) $ (6 .651.47 1) $ (6 ,639,351) $ (6 ,839,772) $ (6,863,786) Assigned - Accrue d Compensated Absences $ (715,861) $ (715,861) $ (730,178) $ (744,782) $ (759,678) Operational and Capital Contingencies Reserve 1.2735 (1 ,619,070) (1 ,653,788) (1 ,605.415) (1.638,181) (1 ,673,685) Total Assigned s (2,334,931) $ (2 ,369,649 ) $ (2,335,593) $ (2 ,382,963) $ (2,433,363) Unassigned $ 1,904,495 $ 454,522 $ 462,773 $ 60,135 $ (70,381) $12,000,000 $10,000,000 $8,000,000 7.25.060 (a) $6,000,000 $4,000,000 $2,000,000 $- 2016 Act ual FY201 7 Projec t ed FY 2018 Proposed FY2019 Pro j ected FY2020 Proj ecte d -rvumimum Fund Balance -Maximl,;m Fund Balance Actual r und Balance Page 45 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 46 of 138Page 46 of 138 Page 47 of 138 Suggested by: Administration CITY OF KENAI ORDINANCE NO. 2944-2017 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE GENERAL FUND BY $50 ,000 , ACCEPTING AND APPROPRIATING A $50,000 DONATION FROM KENAI SENIOR CONNECTION, INC., AND INCREASING ESTIMATED REVENUES AND APPROPRIATIONS BY $100,000 IN THE SENIOR CITIZEN CENTER CAPITAL IMPROVEMENT CAPITAL PROJECT FUND FOR THE DINING ROOM ROOF REPAIR PROJECT. WHEREAS, Ordinance 2906-2016 appropriated $158 ,400 for the Senior Center Atrium Replacement and Roof Repair project; and, WHEREAS, bids received in October 2016 were higher than the appropriated funds; and, WHEREAS, after reviewing the project and receiving new drawings and an estimate for construction, an additional $100,000 is required to complete the project; and, WHEREAS, Kenai Senior Connections, Inc. agreed to donate $50 ,000 to the City of Kenai Senior Center for this project; and, WHEREAS, $50 ,000 can be appropriated from the General Fund to bid and construct the project; and, WHEREAS, the Public Works Director has investigated the roof leak for over 5 years in collaboration with no less than three different roofing companies, two engineers, an architect, and building maintenance staff; and, WHEREAS, four attempts have been made to fix the leak based on the recommendations and using four different solutions all of which have been unsuccessful; and, WHEREAS, this project is designed to remedy the roof leak problem that has been ongoing for many years. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as follows: Section 1: Form. That this is a non-code ordinance. Section 2: The City Manager is authorized to accept funds from the Kenai Senior Connection, Inc. in the amount of$ 50,000 for the dining room roof repair project at the Kenai Senior Center and to expend these funds to fulfill the purpose and intent of this Ordinance. Section 3 : That estimated revenues and appropriations be increased as follows: New Text Underlined; [DELETED TEXT BRACKETED] Page 47 of 138 Page 48 of 138 Ordinance No. 2944-2017 Page 2of2 General Fund Increase Estimated Revenues: Appropriation of Fund Balance Increase Appropriations: Non-Departmental $50.000 $50.000 Senior Citizen Center Capital Improvement Capital Project Fund Increase Estimated Revenue: Transfer from General Fund Donations Increase Estimated Appropriations Construction $50 ,000 $50,000 $100.000 $100.000 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA , this 5th day of April, 2017. ATTEST: Sandra Modigh, City Clerk Approved by Finance: t5J} ~ l Gu.\o~.Vl.A( BRIAN GABRIEL SR., MAYOR Introduced: March 15, 2017 Adopted: April 5, 2017 Effective: April 5, 2017 New Text Underlined; [DELETED TEXT BRACKETED] Page 48 of 138 Page 49 of 138 fheei'tyef. KENAI, ALASKA ~ MEMO 'Vtff~ «1/t/i a Pa.r~ Ct~ «1/ti a Fat~ 11 210 Fidalgo Ave , Kenai, Alaska 99611-7794 Telephone : (907) 283-75351 Fax : (907) 283-3014 http://www. kenai .city To: City of Kenai Mayor Gabriel and Council Members Through: Paul Ostrander, City Manager ?. O . From: Sean Wedemeyer Public Works Director/Capital Projects Manager 5}'1 'v) Date: March 10, 2017 Re: Ordinance funding Senior Center Atrium Replacement and Roof Repair ***** All-America cnv ,1111' 199212011 The purpose of this memo is to recommend adoption of the ordinance requesting additional funding for the Senior Center Atrium Replacement and Roof Repair project. Ordinance 2906-2016 appropriated $158,400 for this project. On October 25, 2016 the City opened five bids for the originally designed project. The lowest bid was more than available funding . We discussed value engineering options with the contractors and architect and modified the project to lower the cost. Based on the new drawings and estimate to construct I received on March 6 , 2017 we still need additional funding to supplement the available project funds. On March 9 , 2017 Paul Ostrander, the arch itect and I met with Senior Connections and received their generous offer to donate $50,000 for this project. With their donation and an additional $50 ,000 from the general fund we believe there are sufficient funds to bid and construct the project this year. This project is designed to remedy the roof leak problem that has been ongoing for many years . During my five and a half years as the Public Works Director and Capital Projects Manager I have investigated the roof leak with no less than three different roofing companies , two engineers , an architect, and my building maintenance staff. We have attempted to fix the leak based on their recommendations four times with four different solutions . Because the roof has leaked for a number of years it is possible there is hidden damage that may require a change order to fix during this project. This project will end the roof leak and subsequent damage. On March 10, 2017 I was informed that the windows could not be procured in time to meet our original substantial completion target of June 16, 2017. I asked Rachel Craig to identify the next 7-8 week opening on her Senior Center rental calendar and she informed me August 21 through October 12, 2017 is available . The project schedule has been modified as follows . March 15 introduce the ordinance to fully fund the project. Apr il 5 adopt the ordinance to fully fund the project. April 25 open bids . May 3 Council awards the project. August 21 -October 12 construction . Thank you for your consideration. Page 49 of 138 Page 50 of 138 TO: FROM: RE: Mayor and Council Members Velda Geller, President Kenai Senior Connection, Inc. ORDINANCE NO. 2944-2017-INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE GENERAL FUND BY $50,000, ACCEPTING AND APPROPRIATING A $50,000 DONATION FROM KENAI SENIOR CONNECTION, INC ., AND INCREASING ESTIMATED REVENUES AND APPROPRIATIONS BY $100,000 IN THE SENIOR CITIZEN CENTER CAPITAL IMPROVEMENT CAPITAL FUND FOR THE DINING ROOM ROOF REPAIR PROJECT. With a quorum present, the Kenai Senior Connection, Inc. (Connection) Board of Directors held a special meeting on Thursday, March 9, 2017 to consider a request for the Connection to contribute $50,000 toward the Senior Citizen Dining Room Roof Repair Project. City Manager Paul Ostrande r , Public Works Director Sean Wedemeyer, and Architect Chris Parker of K&A Design also attended the meeting. Ostrander explained the $50 ,000 would be added to the $195,000 City of Kenai funds to provide the necessary funding to complete the roof repair project (depending on the outcome of the bidding process). A motion to contribute the $50,000 was unanimously passed. Because the dining room is an essential component of the operation of the Kenai Senior Center, and the Dining Room Roof Repair Project will upgrade and resolve ongoing roof and le akage issues in the dining room, comments of the Board reinforc ed the purpose for which the Connection was originate d: To provide financial assistance for the continued operation of the Kenai Senior Center. cc: Paul Ostrander, City Manager Racha el Craig, Senior Center Director Contribution M emorandum 3/9/2017 Page 50 of 138 Page 51 of 138 Sponsored by: Administration CITY OF KENAI RESOLUTION NO. 2017-16 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, AUTHORIZING A BUDGET TRANSFER WITHIN THE CONGREGATE HOUSING FUND FOR EXPENSES IN EXCESS OF BUDGETED AMOUNTS . WHEREAS , repair expenses at Vintage Pointe , the City's congregate housing facil it y, have exceeded amounts budgeted for the current fiscal year; and, WHEREAS , unbudgeted repairs included frozen pipes and subsequent water leak in one of the facilities units , repa irs to the hydraulic system of facility 's elevator, and most recently failure of the control board for the facility 's elevator; and, WHEREAS , sufficient funds have been identified within the funds adopted budget for transfer to cover current deficits and provide funding for projected repairs through fiscal year end. NOW, THEREFORE , BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA: Section 1. That the following budget transfer be made: Congregate Housing Fund From : To : Small Tools/M inor Equipment Advertising Repair & Maintenance $15,242 1,000 $16.242 $16.242 Section 2. That pursuant to KMC 1.1 5.080(b) this Resolu tion shall take effect upon enactment. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 5 day of April , 2017. BRIAN GABRIEL SR., MAYOR ATTEST : Sandra Modigh , City Clerk Approved by Finance: 'JL .-- Page 51 of 138 Page 52 of 138 "Vt'//~e with a Past, City with a Future" 210 Fidalgo Avenue, Kenai, Alaska 99611-7794 Telephone: 907-283-7535 I Fax: 907-283-3014 www.kenai.city MEMORANDUM TO: THROUGH: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager FROM: DATE: Rachael S. Craig, Senior Center Director March 28, 2017 SUBJECT: Vintage Pointe Funds As of this date there is a budget deficit of $9,27 4.46 in Vintage Pointe account 009-462-4538- Repair and Maintenance due to unbudgeted expenditures. Unforeseen expenses include a leak to the elevator muffler discovered during a State of Alaska elevator inspection, frozen pipes and subsequent water leak in Apartment #215, and damage to the facilities elevator control system by a power surge . When the door operator board on the elevator went down, the elevator was inoperable for eight days. The elevator is a critical piece of equipment for the residents of Vintage Pointe and its repair was considered an emergency. At the time of the elevator failure the department was in the process of preparing a budget revision for the deficit in the Repair and Maintenance account but the new repair costs of $8,941 .94 necessitated the revision being done via resolution of council. Excess funds have been identified in the department's Small Tools account which are available for transfer. Fewer appliance have been replaced then were budgeted . I am requesting support for the budget transfer of $15 ,242 from the 009-462-2024 -Small Tools and $1,000 from 009-462-4534 -Advertising to 009-462-4538 -Repair and Maintenance to cover the current budget deficit and projected expenses for the reminder of the year: 009-462-4538 -Repair & Maintenance Available Budget Estimated expenses remaining- Painting of vacated apartments (3) Requested Budge t Transfer Funds for other repairs ($9,27 4.46) (4,750.00) 16 ,242.00 $2 ,217.54 Page 52 of 138 KENAI CITY COUNCIL – REGULAR MEETING MARCH 15, 2017 – 6:00 P.M. KENAI CITY COUNCIL CHAMBERS 210 FIDALGO AVE., KENAI, AK 99611 MAYOR BRIAN GABRIEL, PRESIDING MINUTES A. CALL TO ORDER A Regular Meeting of the Kenai City Council was held on March 15, 2017, in City Hall Council Chambers, Kenai, AK. Mayor Gabriel called the meeting to order at 6:00 p.m. 1. Pledge of Allegiance Mayor Gabriel led those assembled in the Pledge of Allegiance. 2. Roll Call There were present: Brian Gabriel, Mayor Robert Molloy Henry Knackstedt Tim Navarre (absent) Jim Glendening Glenese Pettey Mike Boyle A quorum was present. Also in attendance were: **Mackenzie Lindeman, Student Representative Paul Ostrander, City Manager Scott Bloom, City Attorney Sandra Modigh, City Clerk Jamie Heinz, Deputy City Clerk 3. Agenda Approval MOTION: Council Member Molloy MOVED to approve the agenda and requested UNANIMOUS CONSENT. Council Member Knackstedt SECONDED the motion. VOTE: There being no objections, SO ORDERED. [Clerk’s Note: Council Member Boyle joined the meeting at 6:02 p.m.] 4. Consent Agenda MOTION: Page 53 of 138Page 53 of 138 Council Member Knackstedt MOVED to approve the consent agenda and requested UNANIMOUS CONSENT. Council Member Glendening SECONDED the motion. Mayor Gabriel opened the public hearing; there being no one wishing to be heard, the public hearing was closed. 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 – None. C. UNSCHEDULED PUBLIC COMMENTS – None. D. PUBLIC HEARINGS 1. Resolution No. 2017-14 – Establishing a Moratorium on the Purchase of Standard Cemetery Plots for the Sole Purchase of Reserving a Cemetery Plot Not Being Used for Immediate Internment. MOTION: Council Member Molloy MOVED to approve Resolution No. 2017-14 and requested UNANIMOUS CONSENT. The motion was SECONDED by Council Member Knackstedt. Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment was closed. Administration clarified that due to limited space in the cemetery, a moratorium on reserving plots was necessary; it was noted the moratorium provided a clause for reservations for immediate family members. VOTE: There being no objections, SO ORDERED. 2. Resolution No. 2017-15 – Awarding an Agreement for Construction of Inlet Woods Storm Drain Rehabilitation MOTION: Council Member Knackstedt MOVED to approve Resolution No. 2017-15. The motion was SECONDED by Council Member Glendening. Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment was closed. VOTE: Page 54 of 138Page 54 of 138 *Action/Approval – Bills to be Ratified. Approved by the consent agenda. *Action/Approval – Purchase Orders Exceeding $15,000. Approved by the consent agenda. 3. *Ordinance No. 2942-2017 – Owned Properties Described as Lots 8, 9, And 11, Block 9, and Lots 4 And 5, Block 10, Mommsens Subdivision Replat of Addn. 1 & 2, Addn. No. 2, (Parcel Numbers 03910208; 03910209; 03910211; 03910304 And 03910305) to Central Peninsula Habitat for Humanity, Inc. for Construction of Housing. Introduced by the consent agenda and public hearing set for April 5, 2017. 4. *Ordinance No. 2943-2017 YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey NAY: ** Student Representative Lindeman: YEA MOTION PASSED UNANIMOUSLY. E. MINUTES 1.*Work Session of February 28, 2017 Meeting minutes approved by the consent agenda. 2.*Regular Meeting of March 1, 2017 Meeting minutes approved by the consent agenda. 3.*Regular Meeting of March 7, 2017 Meeting minutes approved by the consent agenda. F. UNFINISHED BUSINESS – None. G. NEW BUSINESS 1. 2. Conditionally Donating Certain Foreclosed City- – Amending Kenai Municipal Code Chapter 7.25 – City Budget, to Provide for Implementation of a General Fund, Fund Balance Policy and Approve the Policy. Introduced by the consent agenda and public hearing set for April 5, 2017. 5. *Ordinance No. 2944-2017 – Increasing Estimated Revenues and Appropriations in the General Fund by $50,000, Accepting and Appropriating a $50,000 Donation from Kenai Senior Connection, Inc., and Increasing Estimated Revenues and Page 55 of 138Page 55 of 138 Appropriations by $100,000 in the Senior Citizen Center Capital Improvement Capital Project Fund for the Dining Room Roof Repair Project. Introduced by the consent agenda and public hearing set for April 5, 2017. 6. Action/Approval – Schedule a W ork Session to Discuss a Proposed Ordinance Allowing for the Sale of Fireworks in Kenai. It was pointed out that because all fireworks were sold in Houston, Alaska, the tax revenues were going elsewhere. Clarification was provided that the ordinance excluded certain fireworks, provided for restrictions on selling to minors and the zoning in which fireworks could be sold; also provided for licensing requirements. It was decided a work session was not necessary and the ordinance would be introduced at the next meeting. H. COMMISSION/COMMITTEE REPORTS 1. Council on Aging – It was reported that May 9, the Council met and discussed emotional support animals vs. service animals at the senior center, reviewed satisfaction surveys, and increased meal fees to $7. It was also noted the annual March for Meals pie auction fundraiser was March 24; next meeting April 13. 2. Airport Commission – No Report; next meeting April 13 3. Harbor Commission – It was reported that the Commission agreed to continue meeting monthly; wanted to invite John Williams to discuss what happened on the Harbor Commission in the past; was looking forward to an update on the Bluff Erosion Project; next meeting April 10. 4. Parks and Recreation Commission – No Report; next meeting April 6. 5. Planning and Zoning Commission – It was reported that on March 8, the Commission approved a preliminary plat and set a work session for reviewing the ordinance regarding landscaping site regulations for March 29; next meeting March 22. 6. Beautification Committee – No report; next meeting April 11. 7. Mini-Grant Steering Committee – No report. I. REPORT OF THE MAYOR Mayor Gabriel reported on the following: • Noted the Council was using their new iPads for the first time; • Spoke to the second grade class at Kaleidoscope School about what the Mayor does; • Co-hosted Coffee with the Mayor with Councilor Pettey • Noted the Board of Fisheries had finished their work; compromises had been made, along with a commitment from the Board to work with the City on fishery regulations. Page 56 of 138Page 56 of 138 J. ADMINISTRATION REPORTS 1. City Manager – P. Ostrander reported on the following: • Met with Harbor Commissioners regarding concerns and objectives with the Harbor Commission; • Met with the Kenai Police Department and the Kenai Peninsula Borough regarding dispatch consolidation; • Met with Library staff and Senior Center staff; • Provided an update on the Bluff Erosion Project noting a draft report would be released in the near future with public meetings to follow; • Testified before the Board of Fisheries; noted a more collaborative effort would be utilized in the future. 2. City Attorney – S. Bloom noted Administration was following bills before the state legislature and unless there was objection, he planned to testify against the state reserving sole licensing authority on a bill relating to transportation network companies and their drivers. 3. City Clerk – S. Modigh commended everyone for using their iPads. K. ADDITIONAL PUBLIC COMMENT 1. Citizens Comments (Public comment limited to five (5) minutes per speaker) None. 2. Council Comments Councilor Knackstedt noted the Kenai Historical Society was receiving some books entitled, “Once Upon the Kenai,” and Lynden Transport had donated the shipping from Seattle to Kenai, which helped the Society significantly with shipping costs. Student Representative Lindeman provided an update on sporting events; thanked the community for reaching out to students and offering scholarships. Council Member Molloy thanked the Mayor and City Manager for attending the Board of Fisheries meetings; noted he had concern with the ordinance adopting the Fund Balance Policy. Council Member Glendening noted he had received positive feedback from residents regarding City administration; noted information had been provided on the Wastewater Treatment Plant and Bluff Erosion Project in the Public Works report; requested a timeline for Alaska Department of Transportation projects. L. EXECUTIVE SESSION – None. M. PENDING ITEMS – None. N. ADJOURNMENT There being no further business before the Council, the meeting was adjourned at 6:49 p.m. Page 57 of 138Page 57 of 138 _____________________________ I certify the above represents accurate minutes of the Kenai City Council meeting of March 15, 2017. 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 58 of 138Page 58 of 138 Page 59 of 138 PAYMENTS OVER $15,000.00 WH I C H NE E D CO U N C I L RA T I F I C A T I O N COUNCIL MEETING OF: APRIL 5, 20 1 7 VENDOR DE S C R I P T I O N DE P A R T M E N T AC C O U N T AM O U N T PERS PE R S VA R I O U S LI A B I L I T Y 89 ,09 8 . 1 4 PREMERA HE A L TH IN S U R A N C E VA R I O U S LI A B I L I T Y 13 1 , 5 7 7 . 4 4 ENSTAR NATURAL GAS GA S US A G E VA R I O U S UT I L I T I E S 38 ,33 4 .95 HOMER ELECTRIC EL E C T R I C US A G E VA R I O U S UT I L I T I E S 12 1 , 3 2 5 . 4 9 INVESTMENTS VENDOR DE S C R I P T I O N MA T U R I T Y DA T E AM O U N T Ef f e c t . In t . Pa g e 5 9 o f 1 3 8 [PAGE LEFT BLANK INTENTIONALLY] Page 60 of 138Page 60 of 138 Page 61 of 138 PURCHASE ORDERS OVER $15 , 0 0 0 . 0 0 WH I C H NE E D CO U N C I L AP P R O V A L COUNCIL MEETING OF: APRIL 5, 20 1 7 VENDOR DE S C R I P T I O N DE P T . UNITED ROTARY BRUSH CORP WI R E WA F E R S / S P A C E R S AI R P O R T INCREASE OF EXISTING PURCHAS E OR D E R VENDOR DE S C R I P T I O N P.O . # - DE P T . KENAI PENINSULA BOROUGH FY 1 7 SL U D G E DI S P O S A L 1 1 1 2 6 8 - W W T P AC C O U N T OP E R A T I N G SU P P L I E S RE A S O N DE C R E A S E DU E TO OP E R A T I O N A L CH A N G E S AM O U N T -1 5 ,00 0 . 0 0 AM O U N T 20 , 1 5 0 . 00 TO T A L PO AM T 30 , 0 0 0 . 0 0 Pa g e 6 1 o f 1 3 8 Page 62 of 138 TO: THROUGH: FROM: DATE: SUBJECT: MEMORANDUM: Mayor Gabriel and Council Members Paul Ostrander, City Manager Sean Wedemeyer, Public Works Director March 23, 2017 Reduce PO 111268 ***** All-Ameri ca City '1111' 1992 I 2011 The purpose of this memo is to explain and support the reduction of a purchase order (PO) to the Kenai Peninsula Borough landfill. Approximately six months ago we hired a new Wastewater Treatment Plant (WWTP) foreman, John Burton. In his short time at the plant John has made some important improvements . One of the improvements is a process and operational change that will save a significant amount of money. I will wait to quantify exactly how much we can save until John has had the opportunity to operate the plant for at least one full fiscal year and we implement the plant upgrades. However, as evidenced by this conservative request for a reduction of $15,000, the potential savings to the City is substantial. We are confident the remaining encumbered amount will be sufficient to complete the fiscal year. The operational change is as follows. The WWTP practice was for personnel to run the belt press which generates pressed sludge that requires disposal at the landfill on a regular schedule. For example, on Tuesdays, the WWTP would operate the belt press. However, the press needs to be operated only when there are too many solids in the system. Through in-house testing the WWTP personnel can determine when there are excess solids, run the press, and generate waste that requires disposa l at the landfill only when scientifically necessary. John has identified and implemented other efficiencies in testing, operating, and reporting processes. The City is fortunate to have John working for us as we move forward with the projects to upgrade the WWTP . Thank you for your attention to this matter. Page 62 of 138 Sponsored by: Councilmember Knackstedt CITY OF KENAI ORDINANCE NO. 2945-2017 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, REPEALING AND RE-ENACTING KENAI MUNICIPAL CODE CHAPTER 8.20-FIREWORKS CONTROL, TO ALLOW FOR THE LIMITED SALE OF CERTAIN FIREWORKS IN THE CITY. WHEREAS, Kenai Municipal Code Chapter 8.20-Fireworks Control, allows for the use of fireworks for a 48 hour period from December 31 to January 1 each year along with certain public displays, but prohibits the sale of fireworks; and, WHEREAS, fireworks used in the City currently must be purchased outside the City with permit fees and sales tax going to other taxing jurisdictions; and, WHEREAS, allowing for the regulated and controlled sale of fireworks in the City will allow the City to receive permit fees and sales tax for the purchase of fireworks; and, WHEREAS, limiting the duration of sales to one month and excluding the sale of certain types of fireworks is intended to reduce the use of fireworks when the use is prohibited and limit potential fire danger as well as use by minors; and, WHEREAS, it is in the City’s best interest to benefit from the sales of fireworks when the use occurs regardless of whether such sales occur within 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 code ordinance. Section 2. Repeal and re-enactment of Chapter 8.20 of the Kenai Municipal Code: That Kenai Municipal Code, Section 8.20 – Fireworks Control, is hereby repealed and re-enacted in its entirety as follows: CHAPTER 8.20 FIREWORKS CONTROL [8.20.010 FIREWORKS CONTROL. THIS CHAPTER SHALL BE KNOWN AS THE FIREWORKS CONTROL ORDINANCE OF THE CITY OF KENAI. 8.20.020 FIREWORKS PROHIBITION—EXCEPTIONS. Page 63 of 138Page 63 of 138 EXCEPT AS SPECIFICALLY PROVIDED BELOW, THE USE OF ALL CLASSES OF FIREWORKS ARE FORBIDDEN WITHIN THE CITY OF KENAI. (A) PERSONAL AND PRIVATE USE. ON THE DAYS OF DECEMBER 31ST AND JANUARY 1ST ONLY, A FORTY-EIGHT (48) HOUR PERIOD, A PERSON OVER THE AGE OF EIGHTEEN (18) MAY USE SALABLE FIREWORKS WITHIN THE CITY FOR PERSONAL AND PRIVATE USE ON REAL PROPERTY OWNED BY THE PERSON, OR OTHER PRIVATE PROPERTY WITH THE CONSENT OF THE PROPERTY OWNER. (B) PUBLIC USE. AS SPECIFICALLY PROVIDED BELOW, THE CITY, ASSOCIATIONS AND OTHER ORGANIZATIONS, OR GROUPS HOLDING A CURRENT AND VALID PERMIT ISSUED BY THE CITY AND ANY OTHER STATE OR FEDERAL AGENCY WITH JURISDICTION, MAY PROVIDE A PUBLIC DISPLAY OF FIREWORKS. (C) OFFICIAL USE. EMPLOYEES OR CONTRACTORS OF THE CITY MAY USE FIREWORKS IN THE INTEREST OF PUBLIC SAFETY, ANIMAL CONTROL AND ANIMAL HAZING AT THE KENAI MUNICIPAL AIRPORT. 8.20.030 USE PERMITS. (A) THE CITY MAY ISSUE A PYROTECHNIC PERMIT TO THE CITY, ASSOCIATION OR OTHER ORGANIZATION, OR GROUPS FOR PUBLIC FIREWORKS DISPLAYS, PROVIDED THAT THE DISPLAY IS TO BE CONDUCTED BY A STATE LICENSED PYROTECHNIC OPERATOR WITHIN THIRTY (30) DAYS FROM THE DATE OF AN APPROVED APPLICATION SHOWING THE FOLLOWING: (1) DATES AND LOCATION OF THE PROPOSED DISPLAYS; AND (2) THAT ALL APPROPRIATE OR REQUIRED STATE LICENSES OR CERTIFICATES HAVE BEEN PROCURED; AND (3) THAT A POLICY OR CERTIFIED TRUE COPY OF A POLICY OF PUBLIC LIABILITY INSURANCE AND PRODUCTS LIABILITY INSURANCE COVERAGE PROVIDED BY THE APPLICANT OR HIS OR HER EMPLOYER HAS BEEN FILED WITH THE CITY, BOTH ACCIDENT AND OCCURRENCE IN THE AMOUNT OF AT LEAST ONE MILLION DOLLARS ($1,000,000.00) FOR BODILY INJURY AND DEATH AND AT LEAST FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) FOR PROPERTY DAMAGE; AND (4) THAT THE CITY OF KENAI FIRE DEPARTMENT HAS BEEN NOTIFIED AND INVITED TO BE IN ATTENDANCE FOR FIRE CONTROL PURPOSES; AND (5) THAT THE OFFICE OF THE STATE FIRE MARSHAL HAS ISSUED THE NECESSARY LICENSES OR CERTIFICATES, IF APPLICABLE; AND (6) THE NAME OF THE APPLICANT AND THE NAME AND ADDRESS OF THE STATE LICENSED PYROTECHNIC OPERATOR OR COMPANY WHO WILL BE CONDUCTING THE DISPLAY. Page 64 of 138Page 64 of 138 (B) IN THE EVENT THAT AN OBJECTION IS RECEIVED FROM THE STATE FIRE MARSHAL OR THE CITY OF KENAI FIRE DEPARTMENT, THE CITY MAY DENY THE APPLICATION FOR CAUSE SHOWN. 8.20.040 SALE OF FIREWORKS FORBIDDEN. THE SALE OR OFFERING FOR SALE OF FIREWORKS IS FORBIDDEN WITHIN THE CITY. 8.20.050 FIREWORKS—MISCELLANEOUS PROVISIONS. (A) IT IS UNLAWFUL FOR ANY PERSON UNDER THE INFLUENCE OF ANY ALCOHOL, MARIJUANA OR ILLEGAL DRUGS TO DISCHARGE FIREWORKS. (B) IT IS UNLAWFUL FOR ANY PERSON TO NEGLIGENTLY OR UNLAWFULLY DISCHARGE FIREWORKS IN ANY MANNER THAT COULD REASONABLY CAUSE HARM TO LIFE OR PROPERTY. (C) THE CITY FIRE CHIEF OR FIRE MARSHAL MAY PROHIBIT OR RESTRICT THE USE OF ALL FIREWORKS AT ANY TIME DUE TO INCREASED FIRE DANGER OR ANY OTHER REASONS WHICH MAY CREATE A SIGNIFICANT INCREASED RISK TO PUBLIC HEALTH AND SAFETY. APPROPRIATE TIMELY PUBLIC NOTICE OF ANY PROHIBITION OR RESTRICTION WILL BE PROVIDED. 8.20.060 DEFINITIONS. FOR THE PURPOSES OF THIS CHAPTER, THE FOLLOWING DEFINITIONS SHALL APPLY: (A) “FIREWORKS” MEANS FIREWORKS AS DEFINED BY ALASKA STATUTE 18.72.100 AS IT NOW EXISTS OR MAY FROM TIME TO TIME BE AMENDED OR CHANGED BY THE LEGISLATURE. (B) “DISPLAY” MEANS THE DETONATION OF FIREWORKS AT ANY TIME. (C) PUBLIC DISPLAY” MEANS TO USE, IGNITE, DETONATE OR EXPLODE SALABLE OR NON-SALABLE FIREWORKS ON PUBLIC PROPERTY. (D) “SALABLE FIREWORKS” MEANS SALABLE FIREWORKS AS DEFINED BY ALASKA STATUTE 18.72.100 AS IT NOW EXISTS OR MAY FROM TIME TO TIME BE AMENDED OR CHANGED BY THE LEGISLATURE. (E) “STATE LICENSED PYROTECHNIC OPERATOR” MEANS AN INDIVIDUAL WHO HAS BEEN LICENSED BY THE ALASKA DEPARTMENT OF PUBLIC SAFETY, FIRE AND LIFE SAFETY DIVISION. 8.20.070 PENALTIES. UPON CONVICTION, EACH VIOLATION OF THIS CHAPTER SHALL BE PUNISHABLE AS PROVIDED IN SECTION 13.05.010. CITATIONS FOR VIOLATIONS OF THIS CHAPTER MAY BE ISSUED BY EITHER THE KENAI POLICE DEPARTMENT OR THE KENAI FIRE DEPARTMENT.] Page 65 of 138Page 65 of 138 8.20.005 Authority and Purpose. The City Kenai adopts this Chapter to exercise the authority granted by AS 18.72.060 to regulate more restrictively the offering for sale, exposure for sale, sale, use, or explosion of fireworks. 8.20.007 Mandatory Review. The City Council shall conduct a public review of the provisions of this Chapter by July 1, 2019. The purpose of the public review is to determine whether or not the City desires to continue allowing the sale of fireworks within the City, or if any changes to the ordinances are warranted. 8.20.010 Definitions. In this Chapter, unless the context otherwise requires: (a) “Dangerous fireworks” means all fireworks not otherwise defined as saleable fireworks. (b) “Saleable fireworks” and “Fireworks” means fireworks defined as such in AS 18.72.100 as amended from time to time. (c) “Personal and private use” means to use, ignite, detonate, or explode saleable fireworks on private property with the permission of the property owner. (d) “Bottle rocket” and “Sky rocket” means a fireworks that consist of a fireworks consisting of cylindrical case filled or partially filled with combustible material and fastened to a stick. (e) “Display” means the detonation of fireworks at any time. (f) “Public display” means to use, ignite, detonate, or explode dangerous fireworks or to use, ignite, detonate or explode saleable fireworks on public property. (g) “State licensed pyrotechnic operator” means an individual who has been licensed by the Alaska Department of Public Safety, Fire and Life Safety Division. 8.20.020 Fireworks Prohibition—Exceptions. Except as specifically provided below, the use of all classes of fireworks are forbidden within the City of Kenai. (a) Personal and Private Use. On the days of December 31st and January 1st only, a 48 hour period, a person over the age of 18 may use salable fireworks within the City for personal and private use on real property owned by the person, other private property with the consent of the property owner, or on City owned tidelands below mean high water. (b) Public Use. As specifically provided below, the City, associations and other organizations, or groups holding a current and valid permit issued by the City and any other State or Federal agency with jurisdiction, may provide a public display of fireworks. 8.20.030 Public Use Permits. (a) The City may issue a pyrotechnic permit to the City, association or other organization, or groups for public fireworks displays, provided that the display is to be conducted by a State licensed pyrotechnic operator within 30 days from the date of an approved application showing the following: (1) Dates and location of the proposed displays; and (2) That all appropriate or required State licenses or certificates have been procured; and Page 66 of 138Page 66 of 138 (3) That a policy or certified true copy of a policy of public liability insurance and products liability insurance coverage provided by the applicant or his or her employer has been filed with the City, both accident and occurrence in the amount of at least One Million Dollars ($1,000,000) for bodily injury and death and at least Five Hundred Thousand Dollars ($500,000) for property damage; and (4) That the City of Kenai Fire Department has been notified and invited to be in attendance for fire control purposes; and (5) That the office of the State Fire Marshal has issued the necessary licenses or certificates, if applicable; and (6) The name of the applicant and the name and address of the State licensed pyrotechnic operator or company who will be conducting the display. (b) In the event that an objection is received from the State Fire Marshal or the City of Kenai Fire Department, the City may deny the application for cause shown. 8.20.040 Sale of Fireworks. Except for the sale of bottle rockets and sky rockets, the retail sale of saleable fireworks in compliance with all federal, state and local laws and regulations and the provisions of this Chapter is permitted. All other retail sales of fireworks within the City of Kenai are prohibited. The sale of bottle rockets and sky rockets is specifically prohibited. 8.20.050 Permit to Sell Saleable Fireworks. (a) Permit Required. No person may sell, expose for sale, or offer for sale any saleable fireworks in the City except in accordance with a permit issued to the person under this section. A permit is effective from December 1 until December 31 of the year issued. (b) Permit Fee. The permittee shall pay an annual fee of $5,000 for a permit. The permit fee payments are nonrefundable upon the issuance of the permit. If a permit is not issued, the permit fee shall be returned to the applicant. (c) Permit Application. The applicant or the applicant’s authorized representative must deliver to the City Clerk the application for a permit and payment for such permit with guaranteed funds no later than 12:00 noon on the last business day in August before the term for which the permit is to be issued. Late applications will not be considered. The application shall be on a form approved by the City Clerk, shall be signed by the applicant or the applicant’s authorized representative, and shall include: (1) The name and address of the applicant, and the name under which the applicant will do business under the permit; (2) If the applicant is a business entity, the name and address of the adult officer, employee or agent of the applicant who will supervise operations of the applicant under the permit; (3) The location at which the applicant will do business under the permit; (4) Proof that the applicant holds a valid, current permit to sell fireworks issued by the State of Alaska; and (5) A tax compliance certificate, signed by the appropriate Kenai Peninsula Borough authority, or, if the applicant had not previously done business in the Kenai Peninsula Borough, proof of opening a sales tax account with the appropriate Kenai Peninsula Borough authority. (d) Action on Application. If the City Clerk finds that a permit application is complete and timely, is accompanied by the annual permit fee provided with guaranteed funds, and meets all of the requirements in this Chapter for the issuance of a permit, the Clerk shall notify the applicant that a permit will be issued upon timely submittal of proof of Page 67 of 138Page 67 of 138 insurance meeting the requirements of this Chapter. Once the City has received proof of insurance meeting the requirements of this Chapter the Clerk shall issue a permit to the applicant authorizing the sale of fireworks within the City. (e) By September 15 of each applicable calendar year, an applicant for a permit who has been notified by the Clerk that a permit will be issued upon timely submittal of proof of insurance meeting the requirements of this Chapter, must submit insurance meeting or exceeding the following requirements: (1) Two Million Dollars ($2,000,000) single limit policy for personal liability, bodily injury, and property damage per occurrence. (2) The City of Kenai shall be named as an additional insured on all policies. (3) The Permittee is required to maintain the policies in full force and effect at all times any activity is conducted by the Permittee in the City that is in furtherance of activities allowed by the permit. (4) Insurance must be by a company/corporation currently rated “A-” or better by A.M. Best. (f) Permit Renewal. A permittee may renew a permit for the next calendar year by delivering personally to the City Clerk the $5,000 annual permit fee in guaranteed funds, proof a tax compliance certificate, signed by the appropriate Kenai Peninsula Borough authority, and submittal of insurance coverage meeting the requirements of this Chapter on or before 12:00 noon on the last business day in August. (g) Permit Transfer. A permittee may not transfer a permit, or any right to sell fireworks under the permit, without the prior approval of Council. The Council shall approve a permit transfer only after finding that the transferee is qualified to hold the permit under this Chapter. 8.20.060 Regulation of Permittee Operations. (a) When a person is initially issued a permit under this Chapter, the person shall not open for business until the Fire Chief or designee has inspected the premises where the person will sell fireworks, and determined that the premises complies with the requirements of this Chapter and applicable state laws and regulations. (b) A permittee may sell fireworks only at a single location for each permit, and shall give the City Clerk 90 days’ notice of any change in that location. After a change in location, a permittee may not reopen until the premises have been inspected by the Fire Chief or designee. Two or more permits may be used at the same location. (c) Within 60 days after any change in the officer, employee or agent of the applicant designated to supervise operations under a permit, the permittee shall notify the City Clerk in writing of the name and address of the successor. (d) The Fire Chief or designee may inspect the premises where a permittee sells fireworks at any time to determine whether the permittee is complying with applicable legal requirements, including without limitation those pertaining to: (1) Display of City and state permits to sell fireworks; (2) All applicable state and federal regulations; (3) Types of fireworks permitted to be offered for sale; (4) Display of required safety literature; (5) Fire suppression equipment; (6) Properly marked and accessible exits; and (7) No smoking signs. (e) Restrictions on Sale and Use. Page 68 of 138Page 68 of 138 (1) If at any time the State of Alaska Division of Forestry declares that the fire danger is extreme, the Fire Chief or designee may restrict the sale or use of any and all fireworks. (2) At any time the Fire Chief or designee may restrict the sale or use of any or all fireworks upon finding that the restriction is necessary for public safety due to weather or fire hazard conditions. (f) In operating under a permit, the permittee shall comply with the following requirements: (1) The premises where fireworks are sold shall be located in a central, limited and general commercial or light and heavy industrial district, as shown on the Land Use District Map of the City of Kenai, and comply with the requirements for signs and parking specified in KMC Chapter 14. (2) The permittee shall comply with all safety requirements for the sale of fireworks in federal and state statutes and regulations, and as established by the State Fire Marshal, and shall distribute safety literature to each fireworks purchaser. (3) The permittee shall not sell fireworks to a person who is under the age of 18 years. (4) The permittee shall be required to post any safety notices or legal notices as required by the Kenai Fire Chief or City Manager which may include notices from the State of Alaska, Division of Forestry, the Kenai Peninsula Borough and the City of Soldotna. (5) The permittee shall not sell fireworks to any person who appears to be intoxicated and/or impaired. (g) Where the Fire Chief or designee finds that a permittee is operating in violation of any applicable legal requirement, the following actions can occur: (1) In the case of a violation of this Chapter, the Fire Chief, Fire Marshall, Police Chief or designee may issue a notice to correct and/or a citation to the permittee. The citation penalty for the selling of fireworks in violation of this Chapter is $300. (2) The Fire Chief, Fire Marshall, Police Chief or designee may order the closure of the premises, in the case of a life safety violation as determined by the Fire Chief, where the permittee sells fireworks and the discontinuance of all fireworks sales by the permittee until the violation is corrected. 8.20.070 Controlled Use. (a) It is unlawful for any person to discharge or explode any fireworks, except as otherwise provided in this Chapter, within any City park or upon any public property or rights-of-way except as provided below. (b) Subject to any limitations in other sections of this Chapter, a person may use saleable fireworks within the City for personal and private use on real property owned by the person, or on real property owned by another with prior consent of the property owner, and on City property below mean high water. (c) The sale of fireworks to any person under the age of 18 is prohibited. It is unlawful for persons under 18 years of age to purchase fireworks. Purchasers of fireworks must show proof of age upon request by seller. (d) The sale of the following types of saleable fireworks is prohibited: bottle rockets and sky rockets. Page 69 of 138Page 69 of 138 (e) It is unlawful for any person under the influence of drugs, marijuana or alcohol to discharge fireworks. The penalty for violation of this subsection may result in seizure of the fireworks and/or a fine of $300.00. (f) It is unlawful for any person to negligently or unlawfully discharge fireworks in a manner that could reasonably cause harm to life and property. Any such use, ignition, detonation or explosion of fireworks may result in seizure of the fireworks and/or a fine of $300. (g) The City Fire Chief or Fire Marshal may prohibit or restrict the use of all fireworks at any time due to increased fire danger or any other reasons which may create a significant increased risk to public health and safety. Appropriate timely public notice of any prohibition or restriction will be provided. 8.20.080 Exempt Sales and Uses. Nothing in this Chapter shall be construed to prohibit: (a) The sale of any kind of fireworks which are to be shipped directly from the State in accordance with regulations of the United States Department of Transportation; (b) The use of fireworks by railroads or other transportation agencies for signal purposes of illumination; (c) The sale or use of blank cartridges for a show or theater; (d) The use of fireworks for signal or ceremonial purposes in athletic events or parades; (e) Use by public safety personnel or City employees for public safety purposes including animal control and hazing at the Kenai Airport; (f) Use by military organizations. (g) Licensed or permitted uses in industrial activities, such as seismic work, oil exploration, mining, aviation or commercial fishing. (h) Use in emergency situations for signal or communication purposes. 8.20.090 Penalties for Violations. Any person violating any of the provisions of this Chapter is guilty of an infraction and upon conviction thereof shall be fined $300. 8.20.100 Storage of Dangerous Fireworks. (a) All storage of dangerous fireworks shall be in compliance with all local, state and federal regulations. (b) Storage shall be subject to inspection by the Kenai Fire Chief or designee. 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. Page 70 of 138Page 70 of 138 ______________________________________ ___________________________________ ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 5th day of April, 2017. BRIAN G. GABRIEL, MAYOR ATTEST: Sandra Modigh, City Clerk Introduced: April 5, 2017 Enacted: April 19, 2017 Effective: May 19, 2017 Page 71 of 138Page 71 of 138 Page 72 of 138 "Vt{/~e with a Past, City with a Future" 210 Fidalgo Avenue, Kenai, Alaska 99611-7794 Telephone: 907-283-7535 I FAX: 907-283-3014 www.kenai.city MEMORANDUM TO: FROM: DATE: SUBJECT: Mayor Gabriel and Council Members Council Member Knackstedt JI.<. March 30, 2017 Ordinance No. 2945-2017, Fireworks Control This memo provides a general background and sectional analysis of Ordinance No. 2945- 2017 . General Background: The Ordinance is proposed primarily to increase revenue for the City of Kenai. In 2015 , Chapter 8.20-Fireworks Control , was amended to allow the use of fireworks in the City for a 48 hour period over the New Year's Holiday. Because sales of fireworks are not allowed in the City, fireworks are purchased for use in Kenai in other taxing jurisdictions, Houston , Alaska being the clos e st. In di scussions with administration in Houston and the City of North Pole, it was determined that sales tax revenue and permit fee s from vendors was significant enough to propose this Ordinance. Informal discussions with one of the primary vendors in the State indicate there would be adequate interest from potential vendors. The proposed Ordinance is primarily modeled on ordinances from the Cities of Houston and North Pole. Sectional Analysis: 8.20.005 Authority and Purpose. This new section of code states the purpose of the Chapter is to regulate fireworks sales and use more restrictively than the State, as allowed by State statute . 8.20.007 Mandatory Review. This new section of code is included to ensure that the City Council will publicly review fireworks sales after two years of experience to determine whether fireworks sales should continue or if other changes are needed. Page 72 of 138 Page 73 of 138 Mayor Gabriel and Council Memb ers March 30 , 2017 Page2of3 8.20.010 Definitions. The primary change in this section from existing code is a definition of "bottle rocket" and "sky rocket" which vendors are prohibited from selling as described later in the Chapter. 8.20.020 Fireworks Prohibition-Exceptions. The primary amendment in this section is in subsection (a) which allows the use of fireworks on City property below mean high water. This is intended to allow the public an attractive and relatively safe environment to use fireworks. Subsection ( c) in the existing code is removed and addressed in 8.20.080 subsection (e). 8.20.030 Public Use Permits. This section of code addresses public displays such as what occurs at 'Christmas Comes to Kenai' and has no material changes from the current code. 8.20.040 Sale of Fireworks. This new section of code allows for the regulated sale of fireworks in the City, except for bottle rockets and sky rockets. Sky rocket sales are prohibited because of concerns with starting wildfires, or structure fires. Bottle rockets tend to be misused by youths, and can be dangerous. 8.20.050 Permit to Sell Saleable Fireworks. This new section of code limits sales of fireworks to the month of December each year. Discussions with at least one existing vendor outside Kenai indicates that this is more than a sufficient amount of time to allow for sales. This sections provides that every vendor must have a permit which costs $5,000 each year. This permit fee compares to $3,000 in North Pole and $5 ,000 in Houston. Permit applications and payments will be due by noon, on the last day of business in August. This is intended to provide sufficient time for vendors and the City to prepare for the activity. An application form will need to be developed. Applicants will have to provide proof of borough tax compliance and state licensure among other required information. In order to receive a pennit, a vendor must provide proof of insurance naming the City as an additional insured with $2,000,000 single limit policies for personal liability, bodily injury and property damage per occurrence. This insurance requirement is the same as Houston's, North Pole does not have an insurance requirement, and the state requires a policy for a state license in the amount of $200 ~000 for bodily injury or death, and $50,000 for property damage . Page 73 of 138 Page 74 of 138 Mayor Gabriel and Council Members March 30, 2017 Page 3 of3 8.20.060 Regulation of Permittee Operations. This proposed section provides for inspection of retail sales locations by the Fire Chief or designee , limits locations to one per permit, and regulates changes in ownership and location, as well as other requirements of operation. This section allows the Fire Chief or designee to prohibit all sales if necessary for public safety due to weather conditions and fire danger. Retail locations are limited to General, Limited and Central Commercial districts and Light and Heavy Industrial. Sales to minors and intoxicated persons are also prohibited in this section. A $300 fine is provided for violations of sales provisions , and allows for the City to close vendors until violations are corrected. 8.20.070 Controlled Use. This section regulates the use of fireworks to private property and City property below mean high water. It reiterates that sales to minors are prohibited, that sales of bottle rockets and sky rockets are prohibited, the use of fireworks while under the influence of drugs or alcohol is prohibited along with negligent or unlawful use. Violations of this section of code also carries a $300 citation and allow for seizure of fireworks. This section further allows the Fire Chief to prohibit or restrict the use of fireworks at any time due to weather or other public safety concerns with appropriate timely notice. 8.20.080 Exempt Sales and Uses. This section provides various exceptions for use and sale of fireworks. For example emergency signals and conununication, use by the City for official purposes (such as animal hazing at the airport), military operations and certain industrial uses. 8.20.090 Penalties for Violations. This section provides a general $300 fine for violations of the Chapter. 8 .20.100 Storage of Dangerous Fireworks This section requires storage in compliance with all local, state and federal laws and allows for inspection of fireworks storage by the Fire Chief or designee. Your consideration is appreciated. Page 74 of 138 Page 75 of 138 Sponsored by: Adm inistration CITY OF KENAI ORDINANCE NO. 2946-2017 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, ACCEPTING AND APPROPRIATING A VOLUNTEER FIRE ASSISTANCE (VFA) GRANT FROM THE UNITED STATES DEPARTMENT OF AGRICULTURE FOREST SERVICE PASSED THROUGH THE STATE OF ALASKA DIVISION OF FORESTRY FOR THE PURCHASE OF FORESTRY FIREFIGHTING EQUIPMENT. WHEREAS, the State of Alaska Division of Forestry has provided a grant in the amount of $6, 750 to assist the City of Kenai Fire Department in purchasing forestry firefighting equipment ; and, WHEREAS , appropriation of this g rant for its intended purpose is in the best interest of the Ci ty and its residents ; and, NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, that estimated revenues and appropriations be increased as follows : Section 1. Form : That this is a non-code ordinance. Section 2. That the City Manager is authorized to accept a grant from the Unities States Department of Agriculture Forest Service passed through the State of Alaska Di v ision of Forestry in the amount of $6 ,750 for the purchase of forestry firefighti ng equipment and is authorized to execute a grant agreement and to expend the grant f unds to fulfill the purpose and intent of this ordinance. Section 3. That estimated re venues and appropriations be increased as follo ws : General Fund Increase Estimated Revenues : Federal Grants -Fire $6 ,750 Increase Appropriations: Fire -Small Tools /Minor Equipment $6,750 Section 4. Se verability: That if any part or provision of th is ord inance or app li cation thereof to any person or circumstances is adjudged invalid by any cou rt of co mpetent j urisdiction , such judgment shall be confined in its operation to the part, provision , or application d irectly i nvolved 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 c ircumstances . The City Council hereby declares that it would have enacted the remainder of th is ord inance e ven without such part, pro vision , or application. New Text Underlined; [DE LETED TEXT BRACK ETED] Page 75 of 138 Page 76 of 138 Ordinance No. 2946-2017 Page 2 of 2 Section 5. Effect ive Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect upon adoption " ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA , this 19th day of April , 2017. ATTEST: Sandra Modigh, City Clerk Approved by Finance: _______ _ BRIAN GABRIEL SR., MAYOR Introduced : April 5th , 2017 Enacted : April 19th , 2017 Effect ive: Apri l 19th , 2017 New Text Underlined; [DELETED TEXT BRACKE TED] Page 76 of 138 Page 77 of 138 "Vt1/a3e with a Past City with a Future" 210 Fidalgo Avenue , Kena i, Alaska 99611 -7794 Telephone: 907-283-7535 I Fa x : 907 -283-3014 www.kenai.city MEMORANDUM TO: THROUGH: FROM: DATE: SUBJECT: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager Jeff Tucker, Fire Chief March 30, 2017 VFA Grant-Ordinance No. 2946-2017 In March of th is year the City of Kenai Fire Department was awarded a Volunteer Fire Assistance (VFA) grant in the amount of $6 , 750 .00 for the purchase of forestry firefighting equipment from the United States Department of Agriculture Forest Service through the State of Alaska Division of Forestry. The grant will fund the purchase of a portable pump and fire nozzles. Page 77 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 78 of 138Page 78 of 138 Page 79 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 80 of 138Page 80 of 138 Page 81 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 82 of 138Page 82 of 138 Page 83 of 138 L WORK DRAFT WORK DRAFT SENATE BILL NO. IN TH E LEGlSLA TLJRE OF TH E STA TE OF ALASKA THIRTIETH LEGISLATURE -FIRST SESSION BY SENATOR EGAN Introduced: Referred: A BILL FOR AN ACT ENTITLED "An Act relating to municipal liens." WORK DRAFT 30-LS0709\A Shutts 3/14/17 2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3 * Section 1. AS 09.-J.5.169(2) is amended to read: 4 (2) "nonconsensua l common law lien" mea n s a li e n on rea l or pe rso na l 5 property t hat 6 (A) is not provid e d fo r by a spec i fie state or federal sta tute or 7 municipal ordinance; 8 (B) does not depe nd on the consent of t he owner of t he 9 property affected for it s existence; a nd IO (C) is not an equitable , con s tructiv e, o r other lien imposed by a 11 court rec ogn ized un de r state or federa l lav,'; 12 *Sec. 2 . AS l l .46.560(a) is amended to read: 13 (a) A person comm its the crime of offering a faise instrument for recordin g in ! 4 the second degree if J 5 (I) under AS 40.17 , the perso n presents a lien to the reco rder fo r Drafted b4 legal Services -1- New Text Underli.ned [DELETED TEXT BJU'.CKETED] Page 83 of 138 Page 84 of 138 L 2 3 4 5 6 7 8 9 WORK DRAFT WORK DRAFT 30-LS0709\A registration, filin g, o r record ing vvith reckless disregard th at t he li e n is not (A) provided for by a specific st ate or federal statu te QI municipal ordinance; or (B) a lien imp osed or au th orize d by a cou11 recognized unde r state or federa l law ; (2) under a la w authoriz ing the rec eipt and tiling of a document , the person present s a li en to a departm ent or person hav in g respo ns ibility to accept a li en for filing w it h reckle ss d isregard that the li en is not (A) pro vided for by a specific state or federal statute or I 0 municipal ordinance; or 11 (B) a li e n imp osed o r authori zed by a co urt reco gn ized under 12 state o r federa l law; or 13 (3) t he perso n presents to the reco rder a notice of th e pendency of an 14 act ion affect in g titl e to rea l property or the ri ght to po ssess ion of real property \Vith 15 reck less disregard of the fact that the action specified does not co ncern th e titl e to or 16 ri ght to possess ion of th e rea l property refe rred to in th e not ice, or with reck less 17 disregard of the fact that th ere is no pe ndin g action co ncerni ng the title to o r ri ght to 18 possess ion of the rea l pro pert y referred to in the notice. 19 ,., Sec. 3. AS 29.35.010 is amended to read: 20 2 1 22 24 25 26 27 28 29 30 3 1 Sec. 29.35.010. General powers. Al l muni c ip alities h ave the fo ll owing genera l powers, subj ect to other provision s of law : ( J) lO establ ish a nd pres cribe a sa lary for an e lected or appoi nt ed municipal officia l o r emp loyee; (2) to co mbin e two or more appo int ive or admin istra ti ve offices; (3 ) to estab li s h a nd pre scrib e the fu nc t ions of a municipal department, office, or agency: (4) to require peri od ic and spec ia l re ports from a munic ipal dep a rtment to be submitted through t he mayor ; (5) to investigate a n affa ir of the municipality a nd make inquiri es int o the conduct of a municipal department ; (6) to le vy a tax or s pecia l assessment, and impo se a lie n for it s -2- New Texc Under.l ined (DELETED TEXT BRACKETED] Page 84 of 138 Page 85 of 138 L 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 2 1 22 23 24 25 26 27 28 29 30 3 1 WORK DRAFT WORK DR.ll.FT 30-LS0709\A enforcement; (7) to enforce an ordi na nce and to prescrib e a pen a lty for v io lation of a n ordin ance; (8) to acqu ire, manage, contro l, use , and dispose of real a nd pe rsonal property, wh ether the property is s ituated .in s ide or outs ide the municipal bound a ri es; thi s power includes the power of a borough to expend , fo r any purpose a uthorized by law, money received from the disposa l of land in a se rvice area esta bli shed under AS 29.35.450; (9) to expen d mon ey for a co mmuni ty purpose, facility, or serv ice for t he goo d of the municipal ity to the extent the municipality is ot he rw ise aut hori zed by law to exerc ise the powe r necessary to accompl ish t he purpo se or prov ide the facility or se rv ice; (10) to reg ul ate the operation and use of a municipal right-of-way, facility , or se rvice; (l 1) to borro\.v money and iss ue evidences of ind e btedne ss; (12) to acq uire members hip in an organization that promotes leg is lation fo r the good of the municipality; ( 13) to enter into a n agreement, including a n agreement for cooperative or joint adm ini strat ion of any functi o n o r power w ith a m un ic ipa lit y, the state , or the United States; (14) to s ue and be s ued; (15) to prov id e faci lit ies o r se r vices for the confineme nt a nd ca re of prisoners a nd enter into agreements w ith th e state, anot he r municipality, or any perso n re latin g to the confinement an d care of prisone rs; (16) to rnceive grants from and co ntrac t with the Department of Public Safety under AS 18.65.670,;. (17) to provide by ordinance for the creation. recording. and notice of a lien on real or personal property to secure pavment of past due taxes, fees, utilities, and other charges or abatement costs; a perfected municipal lieu has prioritv over all other liens except liens that were perfected before the reco1·ding of the lien and mechanics' and materialmen's liens for which claims of -3- N ew T ext Un derlined [DELETED TBX T B RA CKETED] Page 85 of 138 Page 86 of 138 L WORK DRAFT WORK DRAFT 30-LS0709\A lien under AS 34.35.070 or notices of right to lien under AS 34.35.064 have been 2 recorded before the reco rding of a lien under this paragraph. 3 '~Sec . 4 . AS 34.35.950(d)(2) is a m e nde d to read: 4 \2) "noncon sens ua l commo n law li en" m ea ns a lien o n real o r persona l 5 pro perty th a t 6 (A) is no t provided for b y a s pecific state or federal s tatute QL 7 municipa l ordinance; 8 9 10 11 (B) does not depend o n the co nse nt of the own e r o f th e property a ffected fo r its ex is ten ce: and (C) is not an equitab le , construct ive, or other lien imposed by a court re c ogni zed unde r s tate o r federal law; -4- N e w Text Underlined [DELETED TEXT BRACKETED] Page 86 of 138 Page 87 of 138 the&ity1_ KENAl"'14SKA ";::/ "Vt1/tlje with a Past, City with a Future" 210 Fidalgo Avenue , Kenai , Ala ska 99611-7794 Telephone : 907-283-7535 I Fa x: 907-283-3014 www.kenai.city MEMOR AND UM TO : THROUGH: FROM: DATE: SUBJECT: Mayor Brian Gabriel and Kenai City Coun c il Paul Ostrander , City Manager Mary Bondurant, Airport Manager Marc h 27, 2017 HDL Engineering Consultants, LLC -Special Use Permit HDL Engineering Consultants , LLC, is requesting to lease a building and approximately 8,400 square feet in the northwest corner of the lot known as the old City Shop for a soils test lab and e quipment storage . They have been leasing thi s area since April 2016. HDL is curre nt in all fee s owed to the Airport and a current Certificate of Insurance is on file. Does Council recommend the City Manager enter into a Special Use Permit with HDL Engineering Consultants, LLC, for a building and ground lease? Attachment Page 87 of 138 Page 88 of 138 SPECIAL USE PERMIT 2017 THE CITY OF KENAI (City) for the considerations and pursuant to the conditions and requirements set forth below, hereby grants to HDL ENGINEERING CONSULT ANTS, LLC (Permittee), whose address is 10735 Kenai Spur Highway, Suite lB, Kenai , AK 99611 , the non-exclus ive right to use that area described below: Tract A FBO Subdivision consisting of approximately 8,040 square feet in the northwest comer (the Premises), including the approximately 930 square feet building located thereon. and as further shown in the attached Exhibit A. 1. TERM. This special use permit shall commence on April 1, 2017 and terminate March 31, 2018. 2. PERMIT FEES. The Permittee shall pay a pennit fee of $543.00 plus applicable sales tax per month ($418.00 for building and land rent and $125.00 for electricity for the term of this Permit). In addition, the Permittee shall be charged $76. l 0 per month for water and sewer. Permittee shall pay the City the monthly fee on or before the first day of each month beginning April 2017. Checks, bank drafts, or postal money orders shall be made payable to the City of Kenai and delivered to the City Administration Building, 210 Fidalgo Avenue, Kenai, Alaska 99611 on or before the first of each month. In addition to the permit fee specified above, Permittee agrees to pay to the appropriate parties all levies, assessments, and charges as hereinafter provided: A. Sales tax now enforced, or levied in the future, computed upon the permit fee payable in monthly installments whether said fee is paid on a monthly or yearly basis; B. All necessary licenses and permits , pay all lawful taxes and as sessments which, during the term hereof may become a lien upon or which may be levied by the State, Borough, City, or by any other tax levying body, upon any taxable possessory right which Lessee may have in or to the Premises by reason of its use or occupancy or by reason of the terms of this Permit, provided however, that nothing herein contained shall prevent Permittee Special Use Permit-HDL Engineering Consultants, LLC Page I of 6 Page 88 of 138 Page 89 of 138 from contesting any increase in such tax or assessment through procedures provided for by law. C. Interest at the rate of 8% per annum and penalties of I 0% of any amount of money owed under this Special Use Permit, which money or fee not paid on or before the date it becomes due. D. Costs and expenses incident to this Special Use Permit including, but not limited to, recording costs. 3. USE. The use of the Premises by Permittee is limited to the purposes specified herein: Permittee shall use the Premises only for a Soils test lab and equipment storage. Any and all needed building or site modifications must be separately approved in writing by the Airport Manager and the site and existing improvements must be restored to as good or better condition than the site and improvements were in prior to modification by Permittee. This use is subject to the reasonable administrative actions of the City of Kenai for the protection and maintenance of the Premises and of adjacent and contiguous lands or facilities. 4. INSURANCE. Permittee shall secure and keep in force adequate insurance, as stated below, to protect City and Permittee. Where specific limits are stated, the limits are the minimum acceptable limits. If Permittee's insurance policy contains higher limits, City is entitled to coverage to the extent of the higher limits. A. Commercial General Liability insurance, including Premises, all operations, property damage, personal injury and death, broad-form contractual, with a per- occurrence limit of not less than $1,000,000 combined single limit. The policy must include an endorsement under which the insurer extends coverage to Permittee's fuel handling activities. The policy must name the City as an additional insured. B. Worker's compensation insurance with coverage for all employees engaged in work under this Permit or at the Premises as required by AS 23.30.045. Permittee is further responsible to provide worker's compensation insurance for any subcontractor who directly or indirectly provides services to Permittee under this Permit. C. Commercial Automobile Coverage with not less than $1,000,000 combined single limit per occurrence. This insurance must cover all owned, hired, and non- owned motor vehicles the Permittee uses on the Airport. The policy must name the City as an additional insured. Special Use Permit-HDL Engineering Consultants, LLC Page 2of6 Page 89 of 138 Page 90 of 138 D. All insurance required must meet the following additional requirements: 1. All policies will be by a company/corporation currently rated "A-" or better by A.M . Best. IL Permittee shall submit to the City proof of continuous insurance coverage in the form of insurance policies, certificates, endorsements, or a combination thereof, and signed by a person authorized by the insurer to bind coverage on its behalf. u1. Permittee shall request a waiver of subrogation against City from Permittee's insurer and the waiver of subrogation, where possible, shall be provided at no cost to City. iv. Provide the City with notification at least thirty (30) days before any termination, cancellation, or material change in insurance coverage of any policy required hereunder. v. Evidence of insurance coverage must be submitted to City by April, 2017. The effective date of the insurance shall be no later than April, 2017. City may increase the amount or revise the type of required insurance on written demand without requiring amendments to this Permit. City will base any increase or revision on reasonable and justifiable grounds. Within two weeks of the written demand, Permittee shall submit to City evidence of insurance coverage that meets the requirements of the City. 5. INDEMNITY, DEFEND, AND HOLD HARMLESS AGREEMENT. Permittee agrees to fully indemnify, defend, and hold harmless, the City of Kenai, its officers, agents, employees, and volunteers from and against all actions, damages, costs, liability, claims, losses, judgments, penalties, and expenses of every type and description, including any fees and/or costs reasonably incurred by the City's staff attorneys and outside attorneys and any fees and expenses incurred in enforcing this provision (hereafter collectively referred to as "Liabilities"), to which any or all of them may be subjected, to the extent such Liabilities are caused by or result from any negligent act or omission or willful misconduct of the Permittee in connection with its use of the Premises. The Permittee shall not be required to indemnify, defend, and hold harmless, the City of Kenai, its officers, agents, employees, and volunteers for the independent negligence of the City of Kenai. If there are Liabilities for the joint negligent act, or omission, or willful misconduct of the Permittee and the City of Kenai, the indemnification and hold harmless obligation shall be apportioned on a comparative fault basis. Special Use Permit-HDL Engineering Consultants , LLC Page 3of6 Page 90 of 138 Page 91 of 138 6. PERMITTEE'S OBL IGATION TO PREVENT AND REMOVE LIENS. Permittee will not permit any liens including, but not limited to, mechanics ', laborers', material men's, or mining liens or any other liens obtainable or available under existing law, to stand against the Premises or improvements on the Premises for any labor or material furnished to Permittee or to any related entity or claimed to have been furnished to Permittee or to the Permittee's agents, contractors, or related entities, in connection with materials supplied to Permittee for its activities on the Premises and/or in connection with work of any character performed or claimed to have been performed on the Premises or improvements by or at the direction or sufferance of Permittee. Provided, however, the Permittee shall have the right to provide a bond as contemplated by Alaska law and contest the validity or amount of any such lien or claimed lien. Upon a final determination of the lien or claim for lien, the Permittee will immediately pay any judgment rendered with all proper costs and charges and shall have such lien released or judgment satisfied at Permittee's own expense . 7. PERSONALITY. Permittee shall remove any and all personal property, including all vehicles, from the Premises at the termination of this Permit (or any renewal thereof). Personal property placed or used upon the Premises will be removed and/or impounded by the City, if not removed upon termination of this Permit and when so removed and/or impounded, such property may be redeemed by the owner thereof only upon the payment to the City of the costs of removal plus storage charges of $25.00 per day. The City of Kenai is not responsible for any damage to or theft of any personalty of Permittee or of it s customers. 8. FORBEARANCE. Failure to insist upon a strict compliance with the terms, conditions, and/or any requirement herein contained, or referred to, shall not constitute or be construed as a waiver or relinquishment of the right to exercise such terms, conditions or requirements. 9. TERMINATION; DEFAULT. This Permit may be terminated by either party hereto by giving 30 days advance written notice to the other party. City may terminate the Permit immediately, or upon notice shorter than 30 days, to protect public health and safety or due to a failure of Permittee to comply with condition or term of thi s Permit which failure remains uncured after notice by City to Permittee providing Permittee with a reasonable time period under the circumstances to correct the violation or breach . 10. NO DISCRIMINATION. Permittee will not discriminate on the grounds of race, color, religion, national origin, ancestry, age, or sex against any patron, employee, applicant for employment, or other person or group of persons in any manner prohibited by federal or State law. Permittee recognizes the right of the City to take any action Special Use Permit-HDL Engineering Consultants , LLC Page 4of6 Page 91 of 138 Page 92 of 138 necessary to enforce this requirement. 11. ASSIGNMENT. Permittee may not assign, by grant or implication, the whole or any part of this Permit, the Premises, or any improvement on the Premises without the written consent of the City. Unless the City specifically releases the Permittee in writing, the City may hold the Permittee responsible for performing any obligation under this Permit which an assignee fails to perform. 12. ASSUMPTION OF RISK. Permittee shall provide all proper safeguards and shall assume all risks incurred in its use of the Premises. 13. NO JOINT VENTURE. The City shall not be construed or held to be a partner or joint venturer of Permittee in the conduct of its business or activities on the Premises. 14. SURVIVAL. The obligations and duties of Permittee under paragraphs 5 and 6 of this permit shall survive the cancellation, termination or expiration of this permit. 15. AUTHORITY. By signing this Permit, Permittee represents that it has read this agreement and it agrees to be bound by the terms and conditions herein and that the person signing this Permit is duly authorized by the company to bind the company hereunder. CITY OF KENAI By: _______ ~-­ Paul Ostrander City Manager HDL ENGINEERING CONSULTANTS, LLC By:_~~-~~~-~­Dennis Linnell Principal Civil Engineer ACKNOWLEDGMENTS STATE OF ALASKA ) ) SS. THJRD JUDICIAL DISTRICT ) TIIIS IS TO CERTIFY that on the __ day of , 2017, Paul Ostrander, City Manager, of the City of Kenai, an Alaska municipal corporation, on behalf of the City. Notary Public for Alaska My Commission Expires: ____ _ Special Use Permit-HDL Engineering Consultants, LLC Page 5of6 Page 92 of 138 Page 93 of 138 STATE OF ALASKA ) ) SS. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this __ day of 2017, the foregoing instrument was acknowledged before me by Dennis Linnell, Principal Civil Engineer, HDL En gineering Consultants, LLC, on behalf of the Company. Notary Public for Alaska My Commission Expires: ____ _ ATTEST: Sandra Modigh, City Clerk SEAL: APPROVED AS TO FORM: Scott M. Bloom, City Attorney Y:\Airport\SUP\HDL Engineering\20 17 0314 HDL SUP.docx Special Use Permit-HDL Engineering Consultants, LLC Page 6of6 Page 93 of 138 Page 94 of 138 ... . . . "- . . . . . ... . . _ .:~-~ .. . . I ' ·~ · ~ - .. a 1\ . , .• /1 ' 1 "! I I - ··~ ~ .,. I ~ ' . I, ' 1 · ' · · · - ~L1& . , . 1 . I ~e ·~· . . l_ . / ;, .1 . , , ·ra c t A FB O Su b d i v i s i o n 75 15 0 30 0 Fe e t Ci t y of Ke n a i Sh o p Ya r d HD L En g i n e e r i n g Sp e c i a l Us e Pe r m i t Ar e a w(fb, Ex h i b i t A s Th e In f or m a t i o n de p i c t e d her e on Is fo r gr • p h l c ropreaentalion only of the best available sources. Th e Ci t y o f Ke n a i as s ume s no re s p o n s l b i l l t y for errors on this map. Pa g e 9 4 o f 1 3 8 Page 95 of 138 "Vt.1/~e with a />ast, City with a Future" 210 Fidalgo Avenue , Kena i, Alaska 996 11-7794 Telephone: 907-283-7535 I Fax: 907-28 3-3014 www.kenai.city MEMORANDUM TO: THROUGH: FROM: DATE: SUBJECT: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager Mary Bondurant , Airport Manager March 27 , 2017 State of Alaska /DNR Forestry -Special Use Permit State of Alaska Department of Natural Resources/Division of Forestry , is requesting renewal of a special use permit for aircraft loading and parking consisting of approximately 30 ,000 square feet. Attached is a special use permit for six months commencing on April 1, 2017 , and ending September 30 , 2017. The State of Alaska is current in all fees owed to the Airport and a current Certificate of Insurance is on file. Does Council recommend the City Manager enter into a Special Use Permit with State of Alaska Department of Natural Resources for aircraft parking and loading? Attachment Page 95 of 138 Page 96 of 138 SPECIAL USE PERMI T 2017 The CITY OF KENAI (City) grants to STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES/DIVISION OF FORESTRY (Pennittee), whose address is 550 W. Seventh Avenue, Suite 1450, Anchorage, AK 99501-3566, a Special Use Permit to conduct aeronautical a nd/or aviation-related activities at the Kenai Municipal Airport subject to the requirements and the conditions set forth below. 1. Premises. Permittee shall have the non-exclusive right to use 30 ,000 square feet as described in the attached diagram shown in the attached Exhibit A for the uses identified in this Permit. 2. Term. The term of this Permit shall be for six months commencing on April 1, 2017, and ending on September 30, 2017. Regardless of the date of signature, this Permit shall be effective as of April 1, 20 I 7. 3. Permit Fees. Permittee shall pay the following fees for the privileges extended to Permittee under this Permit: A. Permit: Permittee shall pay a monthly fee plus applicable sa les tax as follows: April $ 1,320.00 May $ 1,320.00 June $ 1,320 .00 July $ 1,747 .50 August $ 1,747.50 September $ 1,747.50 B. Proximity Card for Gate Access: In addition to the general permit fee, Permittee shall pay a deposit of One Hundred Dollars ($100 .00) for the use of each proximity card issued to Permittee by City to allow for gate access to the Airport to conduct the uses permitted hereunder. City shall refund this deposit to Permittee when the card is returned to City. City may exercise a right of offset to apply the deposit to any outstanding balance due to City from Permittee at the termination of this Permit. C. Other Fees: City may assess additional fees for aviation or aviation support activities and uses not defined in this Permit. If a fee has not been established for those activities or services, a fee will be established by the Airport Manager. Payment shall be di rected to City of Kenai, ATTN: Finance Department, 210 Fidalgo A venue, Kenai, AK 99611 and a courtesy notice of payment provided to Airport Administration at 305 North Willow Str eet, Suite 200, Kenai, AK 99611 . All permit fees Special Use Permit-DNR/Forestry (Parking) Page I of 9 Page 96 of 138 Page 97 of 138 are payable in advance of each month unless otherwise provided. In the event of delinquency , interest at the rate of 10% per annum, and penalty of 10% shall also be due (KMC 1.75.010). Interest shall accrue from the date due until the date paid in full. Failure to timely make payments is grounds for termination of this Permit. (See~ 22, Termination). 4. Use. City authorizes Permittee's non-exclusive use of the Premises for the following purpose(s): Aircraft loading and parking. NOTE: This permit does not guarantee the exclusive use of the area identified in Exhibit A. City reserves the right to re-assign Permittee, upon reasonable notice, to other areas as airport needs mav require. Permittee shall have the right of ingress and egress to the Airport using only designated gate access locations (which may require a proximity card) for the use of the Premises . This Permit, and any access ri ghts allowed hereunder, are for Permittee' s use only and may not be transferred or assigned. Use of the Premises by Permittee is subject to the reasonable administrative actions of the City of Kenai for the protection and maintenance of the Premises and of adjacent and contiguous lands or facilities and is further subject to the following conditions: Permittee acknowledges that the use granted herein is subject to the Kenai Municipal Code and municipal regulations governing the Kenai Municipal Airport and as those laws and regulations may be amended from time to time . Solicitation of donations or operation of a business or other commercial enterprise not contemplated by this Permit is prohibited without the written consent of City . No person may repair an aircraft, aircraft engine, propeller, or apparatus in an area of the Airport other than that specifically designated for that purpose by the Airport Manager or designated representative. The Airport Manager or designated representative reserves the right to designate reasonable areas where aircraft owners may perform service s on their own aircraft. 5. Airport Operations. Permittee shall ensure that the Permittee, its employees, and guests, and anyone else acting by, on behalf of, or under the authority of Permittee on the Airport, that perform any repairs or activities authorized under this Permit act in a manner that ensures the safety of people and the Airport, the protection of public health and the environment, and the safety and integrity of the Airport and any premises on the Airport. Permittee shall employ qualified personnel and maintain equipment sufficient for the purposes of this provision. The Permittee shall immediately notify City of any condition, problem , malfunction, or other occurrence that threatens the safety of the Airport, the safety Special Use Permit-DNR/Forestry (Parking) Page 2 of9 Page 97 of 138 Page 98 of 138 of persons using the Airport, the public health or the environment, or the safety or integrity of any premises on the Airport. 6. Inspection. The Federal Aviation Administration (FAA) and/or City shall have the right and authority to inspect, at any time for any purpose whatsoever, the Premises as well as any and all equipment used by the Permittee under this Permit. 7. Coordination with Airport Management. Permittee shall coordinate all activities on the Airport with Airport Management, or a designated representative, and shall abide by all reasonable decisions and directives of the Airport M anagement regarding general use of the Airport by Permittee . 8. Radio Transmitting Equipment. Permittee shall discontinue the use of any machine or device which interferes with any government-operated transmitter, receiver, or navigation aid until the cause of the interference is eliminated . 9. Insurance. Permittee shall secure and keep in force adequate insurance, as stated below, to protect City and Permittee. Where sp ecific limits are stated, the limits are the minimum acceptable limits. If Permittee's insurance policy contains higher limits, City is entitled to coverage to the extent of the higher limits. A. Commercial General Liability insurance, including premises, alJ operations, property damage, personal injury and death, broad-form contractual, with a per- occurrence limit of not less than $1,000,000 combined single limit. The policy must include an endorsement under which the insurer extends coverage to Permittee' s fuel handling activities. The policy must name the City as an additional insured. B. Worker's compensation insurance with coverage for all employees engaged in work under this Permit or at the Premises as required by AS 23.30.045. Permittee is further responsible to provide worker's compensation insurance for any subcontractor who directly or indirectly provides services to Permittee under this Permit. C. Commercial Automobile Coverage with not less than $1,000,000 combined single limit per occurrence. This insurance must cover all owned, hired, and non - owned motor vehicles the lessee uses on the Airport. The policy must name the City as an additional insured. D. All insurance required must meet the following additional requirements: i. All policies will be by a company/corporation currently rated "A-"or better by A .M . Best. Special Use Permit-DNR/Forestry (Parking) Page 3of9 Page 98 of 138 Page 99 of 138 11. Permittee shall submit to the City proof of continuous insurance coverage in the form of insurance policies, certificates, endorsements, or a combination thereof, and signed by a person authorized by the insurer to bind coverage on its behalf. ui. Permittee shall request a waiver of subrogation against City from Permittee's insurer and the waiver of subrogation, where possible, shall be provided at no cost to City. iv. Provide the City with notification at least 30 days before any termination, cancellation, or material change in insurance coverage of any policy required hereunder. v. Evidence of insurance coverage mu st be submitted to City by April 1, 2017. The effective date of the in surance shall be no later than April 1, 2017. City may increase the amount or revise the type of required insurance on written demand without requiring amendments to this Permit. City will base any increase or revision on reasonable and justifiable grounds . Within two weeks of the written demand, Permittee shall submit to City evidence of insurance coverage that meets the requirements of the City. 10. Assumption of Risk. Permittee assumes full control and sole responsibility as between Permittee and City for the activities of Permittee, its personnel, employees, and persons acting on behalf of or under the authority of the Permittee anywhere on the Airport. Permittee shall provide all proper safeguards and shall assume all risks incurred in its activities on and access to the Kenai Municipal Airport and its exercise of the privileges granted in this Permit. 11. Indemnity, Defend, and Hold Harmless Agreement. Permittee agrees to fully indemnify, defend, and hold harmless, the City of Kenai, its officers , agents, employees, and volunteers from and against all actions, damages, costs, liability, claims, losses, judgments, penalties, and expenses of every type and description, including any fees and/or costs reasonably incurred by the City's staff attorneys and outside attorneys and any fees and expenses incurred in enforcing this provision (hereafter collectively referred to as "Liabilities"), to which any or all of them may be subjected, to the extent such Liabilities are caused by or result from any negligent act or omission or willful misconduct of the Permittee in connection with or arising from or out of Permittee's activities on or use of the Premises, Permittee's access to the Kenai Municipal Airport, and/or P ermittee's exercise of the privileges granted in this Permit. Th is shall be a continuing obligation and shall remain in effect after termination of this Permit. Special Use Permit-DNR/Forestry (Parking) Page 4 of9 Page 99 of 138 Page 100 of 138 12. Fuel Spill Prevention and Response Plan. Areas of the apron have been seal coated to protect asphalt from adverse effects of petroleum product spills . The City requires that Permittee provide adequate absorbent materials and tools available on the Premises and at the airport in order to maintain a fuel spill and response capability. Permittee shall be liable for any damage caused by and costs associated with any spill, the cleanup of any spill, or the discharge of petroleum products or hazardous materials due to Permittee's use of the apron and/or use of the Airport. Permittee shall provide to City an acceptable fuel spill prevention and response plan and will maintain fuel spill and response capability. Permittee further agrees to have a copy of the fuel spill prevention and response plan located in the Permittee's fuel dispensing equipment at all times. Permittee must comply with the Airport's Storm Water P ollution Prevention Plan as appropriate to Permittee's activities. Permittee shall not store any personal property, solid waste, petroleum products, Hazardous Material as defined by 14 CFR § 171 .8, hazardous waste (ignitable, corrosive, reactive, or toxic) or any hazardous substance on any portion of the Airport. Permittee is aware that there are significant penalties for improperly disposing of the Hazardous Materials and other waste and for submitting false information regarding Hazardous Materials, including the possibility of fine and imprisonment for knowing violations. Permittee shall immediately remove the material in the event of spillage or dripping of gasoline, oil, grease, or any other material which may be unsightly or detrimental to the pavement or surface in or on any area of the Airport. Permittee may not construct or install any above-ground or underground fuel storage tanks or dispensing systems at the Airport. No person shall smoke on an aircraft-park ing ramp, inside an aircraft hangar, or within 50' of any aircraft fuel facility or fuel truck. Permittee is subject to FAA Advisory Circular 150/5230-4 Aircraft Fuel Storage, Handling, and Dispensing on Airports, the National Fire Protection Associations' "Standard for Aircraft Fueling Servicing" in NFP A 407 ( 1996 version), and the current version of the International Fire Codes. All inspections of fuel facilities, by City or other regulating entities to which Permittee is subject, shall be conducted to assure compliance with the fire safety practices listed in these referenced documents . 13. Hazardous Substances and Materials. Permittee shall conform and be subject to the requirements of 14 CFR § 13 9 . 3 21 regarding the handling and storage of hazardous substances and materials. Special Use Permit-DNR/Forestry (Parking) Page 5 of9 Page 100 of 138 Page 101 of 138 14. No Discrimination. Permittee shall not discriminate against any person because of the person's race, creed, color national origin, sex, age, or handicap. Permittee recognizes the right of City to take any action necessary to enforce this requirement of the Permit. Permittee will furnish services provided under this Permit on a reasonable, and not unjustly discriminatory, basis to all users of the Airport and shall charge reasonable, and not unjustly discriminatory, prices for each product or service provided at the Airport. 15. Licenses and Permits. Permittee shall obtain and maintain all required federal, state, and local licenses, certificates, and other documents required for its operations under the Permit. Permittee shall provide proof of compliance to City upon request by the City. 16. Compliance with Law/Gra nt Assurances. This Permit, and Permittee's activities conducted under this Permit, is subject to all executive orders, policies and operational guidelines and all applicable requirements of federal, state, and City statutes, ordinances, and regulations in effect during the term of this Permit. Further, Permittee shall comply with all applicable requirements imposed on the Airport by federal law to ensure that the Airport's eligibility for federal money or for participation in federal aviation programs is not jeopardized. This Permit is subordinate to the City's grant assurances and federal obligations. 17. No Exclusivity. The privileges granted under this Permit are not exclusive to Permittee. City has the right to grant to others any right or privilege on the Airport. 18 . Assignment. The privileges granted under this Permit are personal to Permittee and may not be assigned by Permittee. 19. No Joint Venture. City shall not be construed or held to be a partner or joint venturer of Permittee in the conduct of its business or activities on the Premises or elsewhere at the Kenai Municipal Airport. 20. No Waiver. Failure to insist upon a strict compliance with the terms, conditions, and requirements herein contained, or referred to, shall not constitute or be construed as a waiver or relinquishment of the right to exercise such terms, conditions, or requirements. 21. Personalty. Permittee shall remove any and all personal property, including all vehicles, from the Premises at the termination of this Permit (or any renewal thereof). Personal property placed or used upon the Premises will be removed and/or impounded by the City, if not removed upon termination of this Permit and when so removed and/or impounded, such property may be redeemed by the owner thereof only upon the payment to the City of the costs of removal plus storage charges of $25.00 per day. The City of Special Use Permit-DNR/Forestry (Parking) Page 6of9 Page 101 of 138 Page 102 of 138 Kenai is not responsible for any damage to or theft of any personalty of Permittee or of its customers. 22. Termination; Default. This Permit may be terminated by either party hereto by giving 30 days advance written notice to the other party. City may terminate the Permit immediately, or upon notice shorter than 30 days,. to protect public health and safety or due to a failure of Permittee to comply with condition or term of this Permit which failure remains uncured after notice by City to Permittee providing Permittee with a reasonable time period under the circumstances to correct the violation or breach. 23. Landing Fees; Fee Schedule. Timely payment of landing fees and other required Airport fees is a condition of this Permit and, as such, failure to timely pay landing and other airport fees is grounds for termination. Without limiting the foregoing, Permittee shall pay landing fees for aircraft landings as set out in the City's comprehensive schedule of rate s, charges and fees. Permittee shall make payment within 30 days following the end of each month and without dem and or invoicing from City. Permittee shall also provide Airport Admini stration with monthly certified gross take-off weight reports within ten days following the end of each month for landings for the preceding month. Airport landing fees shall be paid at the Airport Administration Building, 305 North Willow Street, Suite 200, Kenai, AK 99611. 24. Impoundment. At the di scretion of the A irport Manager, City may impound any aircraft parked on the Premises after termination of this Permit. Impoundment may be accomplished by affixing a seal to the door of the aircraft or the moving of the aircraft for impoundment purposes. Inconvenience or damage that may result from such movement will be at the ri sk of Permittee. An impoundment fee plus a towage fee shall be charged on each aircraft impounded. In addition, a daily storage fee shall be charged for each day the aircraft remains impounded. Any impounded aircraft that is not redeemed within 90 days after impoundment shall be considered abandoned and s hall be subject to sale at public auction. Notice of any auction shall be published. Publication shall be in a newspaper of general circulation in that area for at least once during each of three consecutive weeks not more than 3 0 days nor less than seven days before the time of the auction. 25. Definitions. As used in this Permit, "Permittee" means State, Department of Natural Resources, Division of Forestry. and where the context reasonably indicates, its officers, agents, and employees. "Airport" means the Kenai Municipal Airport. Special Use Permit-DNR/Forestry (Parking) Page 7 of9 Page 102 of 138 Page 103 of 138 CITY OF KENAI Paul Ostrander City Manager Date STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES, DIVISION OF FORESTRY Dean Brown Deputy Director, Division of Forestry Date ACKNOWLEDGMENTS STATE OF ALASKA ) ) SS. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this __ day of , 2017, the foregoing instrument was acknowledged before me by Paul Ostrander, City Manager, of the City of Kenai, an Alaska municipal corporation, on behalf of the City. Notary Public for Alaska My Commiss ion Expires: ____ _ STA TE OF ALASKA ) ) SS. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this __ day of , 2017 , the foregoing instrument was ackn owledged before me by Dean Brown, Deputy Director, DNR/Division of Forestry, on behalf of the State of Alaska. Notary Public for Alaska My Commission Expires: ____ _ Special Use Permit-DNR/Forestry (Parking) Page 8of9 Page 103 of 138 Page 104 of 138 ATTEST: Sandra Modigh, City Clerk SEAL: APPROVED AS TO FORM: \~ Scott M. Bloom, City Attorney Y:\Airport\SUP\DNR Forestry\2017 0310 SUP DNR Forestry.docx Special Use Permit-DNR/Forestry (Parking) Page 9 of9 Page 104 of 138 Page 105 of 138 D :)_,_ic GATI' 't:f D N 32•08'03• E 1775.96' L4 ! I L DNR FIREFIGHTING : FACILITY I I ' ' ' , I I ) : r. , ' . I I I ' I I I I I ' , I , I I I I ' I I I I I I I I I I ' . ' I ; I \ WILLOW STREET Exhibii A 30,000 sq. ft . u Page 105 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 106 of 138Page 106 of 138 3/31/2017 The City of Kenai http://www.kenai.city/calendar/month 1/1 Popular Links Living HereVisitingGovernmentDoing Business Events   Search this site CAPTCHA: no challenge enabled Home »   26 27 28 29 30 31 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 1 2 3 4 5 6 Sun Mon Tue Wed Thu Fri Sat                                         April 2017 Co〄�ee with the Mayor -- CANCELLED 04/01/2017 - 9:00am to 10:30am City Council Meeting 04/05/2017 - 6:00pm Parks and Recreation Commission Meeting 04/06/2017 - 7:00pm Harbor Commission Meeting 04/10/2017 - 6:00pm Beauti磪cation Committee 04/11/2017 - 7:00pm Planning & Zoning Commission Meeting 04/12/2017 - 7:00pm Council on Aging Meeting 04/13/2017 - 4:30pm Airport Commission Meeting 04/13/2017 - 6:00pm City Council Meeting 04/19/2017 - 6:00pm Planning & Zoning Commission Meeting 04/26/2017 - 7:00pm City of Kenai 210 Fidalgo Ave. Kenai, AK 99611 (907) 283-7535 KMC Sta〄� Webmail Site Credits Disclaimer     « Prev Next » Hello jheinz Log outDashboardContentStructureAppearancePeopleModulesConfigurationReportsHelp Add contentFind content Edit shortcuts Page 107 of 138 3/31/2017 The City of Kenai http://www.kenai.city/calendar/month 1/1 Popular Links Living HereVisitingGovernmentDoing Business Events   Search this site CAPTCHA: no challenge enabled Home »   30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 1 2 3 Sun Mon Tue Wed Thu Fri Sat                                 May 2017 City Council Meeting 05/03/2017 - 6:00pm Parks and Recreation Commission Meeting 05/04/2017 - 7:00pm Co〄�ee with the Mayor 05/06/2017 - 9:00am to 10:30am Harbor Commission Meeting 05/08/2017 - 6:00pm Beauti磪cation Committee 05/09/2017 - 7:00pm Planning & Zoning Commission Meeting 05/10/2017 - 7:00pm Council on Aging Meeting 05/11/2017 - 4:30pm Airport Commission Meeting 05/11/2017 - 6:00pm City Council Meeting 05/17/2017 - 6:00pm Planning & Zoning Commission Meeting 05/24/2017 - 7:00pm Memorial Day 05/29/2017 - 12:00am to 11:45pm City of Kenai 210 Fidalgo Ave. Kenai, AK 99611 (907) 283-7535 KMC Sta〄� Webmail Site Credits Disclaimer     « Prev Next » Hello jheinz Log outDashboardContentStructureAppearancePeopleModulesConfigurationReportsHelp Add contentFind content Edit shortcuts Page 108 of 138 Page 109 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 110 of 138 COUNCIL ON AGING MEETING MARCH 9, 2017 – 4:30 P.M. KENAI SENIOR CENTER CHAIR VELDA GELLER, PRESIDING MEETING SUMMARY 1. CALL TO ORDER Chair Geller called the meeting to order at 4:30 p.m. Roll was confirmed as follows: Members Present: Chair V. Geller, Vice Chair A. Weeks, M. Milewski, J. Hollier, B. Modigh, R. Williams Members Absent: B. Osborn, L. Nelson Staff/Council Liaison Present: Senior Center Director R. Craig, Senior Center Assistant K. Romain, Council Member M. Boyle A quorum was present. 2. AGENDA APPROVAL Councilor Weeks MOVED to approve the agenda and Council Member Milewski SECONDED the motion. There being no objections; SO ORDERED. 3. APPROVAL OF MEETING SUMMARY a. December 8, 2016 Councilor Weeks MOVED to approve the December 8, 2016 meeting summary; Council Member Modigh SECONDED the motion. There being no objections; SO ORDERED. b. January 12, 2017 Councilor Williams MOVED to approve the January 12, 2017 meeting summary with the typo, “Chari,” corrected to “Chair,” on the first page; Council Member Milewski SECONDED the motion. There being no objections; SO ORDERED. 4. PERSONS SCHEDULED TO BE HEARD – None. 5. UNFINISHED BUSINESS a. Service Animals vs. Emotional Animals at the Senior Center A draft policy was presented and reviewed. It was noted that the term, “dog,” should be changed to, “animal,” and that the policy didn’t apply to Vintage Pointe. It was asked if federal guidelines were available to spell out specifics, and if formal paperwork was needed to ensure certification. There was suggestion that signage may be necessary. Page 111 of 138 b. Results of Surveys The results of the Congregate Survey and the Home Delivered Meals Survey were presented. It was noted there was a 24% return on the Congregate Survey and a 74% return on the Home Delivered Meals Survey and most comments were positive. It was also noted the transportation numbers were increasing, showing an older population wanting to get out, but not drive. There was discussion regarding a computer lab based on comments on the surveys; it was noted there had been security issues in the past, but staff would look into it again once the new upgrades were in place. c. Meal Increase A brief history of the costs of preparing the meal, suggested donation, and recommendations to increase the suggested donation was provided. There was discussion regarding different options such as cutting out salad bar or soup on various days, raising the suggested donation to a higher, and reducing the size of the salad bar. Councilor Williams MOVED to recommend increasing awareness of rising costs for meals and decreased funding, reminding seniors that even if they can’t contribute the suggested donation, they can donate something toward their meal, and on May 1, the suggested meal amount will increase to $7.00 for seniors and $14.00 for non-seniors and the frozen meals on the weekends be discontinued; Council Member Milewski SECONDED the motion. There being no objections; SO ORDERED. d. Kasilof Meal Run/Transportation/Shopping This item was postponed. 6. NEW BUSINESS – None. 7. REPORTS a. Senior Center Director – R. Craig reported on the following: • March for Meals annual fundraiser on March 24th; • Kenai Senior Connections donated $50,000 toward the solarium renovation costs. b. Council on Aging Chair – No report. c. City Council Liaison – M. Boyle noted it was a pleasure to be back as Council Liaison. 8. NEXT MEETING ATTENDANCE NOTIFICATION – April 13, 2017 9. QUESTIONS & COMMENTS 10. PERSONS NOT SCHEDULED TO BE HEARD – None Page 112 of 138 11. INFORMATION 12. ADJOURNMENT There being no further business before the Council, the meeting was adjourned at 6:33 p.m. Meeting summary prepared and submitted by: _____________________________________ Jamie Heinz, CMC, Deputy Clerk Page 113 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 114 of 138 KENAI HARBOR COMMISSION MEETING MARCH 6, 2017 – 6:00 P.M. CITY HALL COUNCIL CHAMBERS CHAIR SHAUNA THORNTON, PRESIDING MEETING SUMMARY 1. CALL TO ORDER & ROLL CALL Commission Member Peters called the meeting to order at 6:00 p.m. Roll was confirmed as follows: Commissioners present: B. Peters, J. Desimone, S. Thornton, C. Hutchison, G. Greenberg, R. Koch Commissioners Absent: None Staff/Council Liaison present: Public Works Director S. Wedemeyer, Public Works Assistant K. Feltman, Council Liaison G. Pettey A quorum was present. 2. AGENDA APPROVAL MOTION: Commissioner Hutchison MOVED to approve the agenda noting the date of the next meeting be should be April 10, 2017; Commissioner Peters SECONDED the motion. There were no objections; SO ORDERED. 3. APPROVAL OF MEETING SUMMARY a. February 6, 2017 MOTION: Commissioner Hutchison MOVED to approve the meeting summary of February 6, 2017 and Commissioner Peters SECONDED the motion. There were no objections; SO ORDERED. 5. PERSONS SCHEDULED TO BE HEARD – None. 6. UNFINISHED BUSINESS – None. 7. NEW BUSINESS a. Discussion/Action – Potential City Business/Matters for the Commission to be Aware of and/or Reviewing The Harbor duties and policies were reviewed; there was discussion regarding topics the Commission could weigh in on, such as the tidelands ordinance, Capital Improvement Projects, Page 115 of 138 leases, dock repairs, South Beach Road, the dipnet fishery, Board of Fisheries proposals, and the Bluff Erosion Project. b. Discussion/Action – Potential Persons to be Invited to the Commission Meetings It was suggested that John Williams be invited to the next meeting; also suggested that an update on the Bluff Erosion Project could be provided. 8. REPORTS a. Public Works Director – S. Wedemeyer introduced the Public Works Assistant and noted that she would be taking notes at future meetings; reported that the cost estimate to repair the dock had been forwarded to the finance department for submitting an insurance claim; noted the budget process was ongoing. b. Commission Chair – No Report. c. City Council Liaison – Noted a report regarding the Bluff Erosion Project was due by the end of March. 9. NEXT MEETING ATTENDANCE NOTIFICATION – April 10, 2017 10. COMMISSIONER COMMENTS/QUESTIONS All Commissioners welcomed R. Koch aboard. Commissioner Peters thanked the Public Works Director for attending the Corps of Engineers meetings regarding the Bluff Erosion Project. 11. PERSONS NOT SCHEDULED TO BE HEARD Bob McIntosh noted that the Harbor Commission; Mr. Koch had extensive knowledge of the Bluff Erosion Project. 12. INFORMATION – None. 13. ADJOURNMENT There being no further business before the Commission, the meeting was adjourned at 7:07 p.m. Meeting summary prepared and submitted by: _____________________________________ Jamie Heinz, CMC, Deputy City Clerk Page 116 of 138 CITY OF KENAI PLANNING & ZONING COMMISSION CITY COUNCIL CHAMBERS MARCH 22, 2017- 7:00 P.M. COMMISSION 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 Commission Chair Twait led those assembled in the Pledge of Allegiance. b. Roll Call Commissioners present: R. Springer, K. Peterson, G. Greenberg, V. Askin, D. Fikes, J. Twait, J. Halstead Staff/Council Liaison present: City Planner M. Kelley, Planning Assistant W. Anderson, Deputy City Clerk J. Heinz, and Council Liaison J. Glendening. A quorum was present. c. Agenda Approval MOTION: Commissioner Peterson MOVED to approve the agenda and Commissioner Askin SECONDED the motion. There were no objections; SO ORDERED. d. Consent Agenda MOTION: Commissioner Peterson MOVED to approve the consent agenda; Commissioner Halstead 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. 2. *APPROVAL OF MINUTES: March 8, 2017 Page 117 of 138 Minutes were approved by the consent agenda. 3. SCHEDULED PUBLIC COMMENT: (10 Minutes) None scheduled. 4. PERSONS PRESENT NOT SCHEDULED: (3 Minutes) None. 5. CONSIDERATION OF PLATS: a. PZ17-04 – Original Preliminary plat of Carl F. Ahlstrom Subdivision RMP’s Replat submitted by Integrity Surveys, Inc. Kenai, Alaska 99611 on behalf of the RPM’s LLC, 14096 Kenai Spur Highway, Kenai, AK 99611. City Planner Kelley reviewed his staff report provided in the packet noting the plat vacated two property lines resulting in two lots which with minimum lot size requirements and recommended approval with the following conditions: • Further development of the property shall conform to all Federal, State and local regulations, • The owner’s name and address be corrected in the title block, • The word, “aread,” under the Legend section of the plat be corrected to read, “area.” MOTION: Commissioner Peterson MOVED to approve Resolution No. PZ17-04 and Commissioner Fikes SECONDED the motion. Commission Chair Twait opened the public hearing; there being no one wishing to speak, public hearing was closed. VOTE: YEA: Springer, Peterson, Greenberg, Askin, Twait, Halstead, Fikes NAY: MOTION PASSED UNANIMOUSLY. 6. PUBLIC HEARINGS: None. 7. UNFINISHED BUSINESS: None. 8. NEW BUSINESS: PZ17-06 - A resolution of the Planning and Zoning Commission of the City of Kenai, recommending an Ordinance to the Council of the City of Kenai, Alaska, conditionally donating certain foreclosed city-owned properties described as Lots 8, 9, and 11, Block 9, and Lots 4 and 5, Block 10, Mommsens Subdivision Replat of Addn. 1 & 2, Addn. No. 2, (parcel numbers 03910208; 03910209; 03910211; 03910304 and 03910305) to Central Peninsula Habitat for Humanity, Inc. for construction of housing Page 118 of 138 City Planner Kelley reviewed his staff report provided in the packet noting: • In 2009 the City Council donated five properties to Habitat for Humanity for building houses; • Council currently considering donating a second set of five properties to the entity; • Borough valued the homes built previously between $158,000 and $213,000; • City had previously attempted to sell the property via land sale but no bids were received on the property. MOTION: Commissioner Askin MOVED to approve Resolution No. PZ17-06 and Commissioner Halstead SECONDED the motion. Commission Chair Twait opened the public hearing; there being no one wishing to speak, public hearing was closed. It was clarified that all five lots were presently vacant and former owner could no longer cure the foreclosure as the one year redemption period had passed. It was noted that, if approved, Habitat for Humanity had planned to begin building the first home in 2017. VOTE: YEA: Springer, Peterson, Greenberg, Askin, Twait, Halstead, Fikes NAY: MOTION PASSED UNANIMOUSLY. 9. PENDING ITEMS: None. 10. REPORTS: a. City Council – Council Member Glendening reviewed the Action Agenda of the March 15 City Council meeting which was provided in the packet; clarified that the proposed jump in cemetery fees was because they hadn’t been reviewed for many years and had been relying on a legacy investment. b. Borough Planning – Council Member Glendening reviewed actions from the March 13 meeting noting everything was approved except for a Conditional Use Permit for a gravel pit, which was postponed until additional information was provided. c. Administration – City Planner M. Kelley reported on the following: • Provided a reminder regarding upcoming meetings; • Noted the Kenai Peninsula Borough plat committee reviewed the plat of the property being donated to Kenai Peninsula Housing Initiative and discovered a potential issue with a platted road. 11. PERSONS PRESENT NOT SCHEDULED: Page 119 of 138 City Manager Ostrander thanked the Commission for the time and energy they put into the City; gave a brief background of his history prior to being hired as City Manager; provided an update on the Bluff Erosion Project noting an upcoming milestone that, if met, meant potential groundbreaking in 2019. Also provided an update on budget shortfalls and the need to use the Fund Balance to balance the budget and the creation and adoption of a Fund Balance Policy. 12. INFORMATIONAL ITEMS: None. 13. NEXT MEETING ATTENDANCE NOTIFICATION: April 12, 2017 14. COMMISSION COMMENTS & QUESTIONS: Vice Chair Peterson thanked Mr. Ostrander and Councilor Glendening for thier reports. 15. ADJOURNMENT: There being no further business before the Commission, the meeting was adjourned at 7:44 p.m. Minutes prepared and submitted by: _____________________________ Jamie Heinz, CMC Deputy City Clerk Page 120 of 138 Page 121 of 138 Page 122 of 138 Page 123 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 124 of 138 Page 125 of 138 Page 126 of 138 Page 127 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 128 of 138 Page 129 of 138 Page 130 of 138 Page 131 of 138 [PAGE LEFT BLANK INTENTIONALLY] Page 132 of 138 INSIDE THIS ISSUE: • PRESERVING HISTORY • PHOTO IDENTIFICATION • ABBREVIATED MINUTES OF MARCH 2017 MEETING • ANNOUNCEMENTS Officers: President—June Harris Vice President—Virginia Walters Secretary—Sharon Fisher Treasurer—Katherine Thompson Board of Directors: Joe Harris Betty Idleman Bill Nelson Dave Thompson Frosty Walters KENAI HISTORICAL SOCIETY NEWSLETTER Written by Sharon Fisher If you would like to contribute ideas and information to the newsletter, please contact me at 776-8254. I welcome and would entertain any ideas you may have for articles, and would appreciate being contacted if you see errors in the information con- tained in the newsletter. Preserving History I am looking forward to attending the 150 Years: Kenai Penin- sula History Conference scheduled for April 21 -22, 2017. Check out the website for this conference on page 6 of the newsletter, because it lists the schedule of speakers and activi- ties and all of the background information. I quote from the website about the focus of this conference: The conference will focus on the 1800s, particularly the period around 1867, when rule of Alaska trans- ferred from the Russian American Company to the United States Military. It will examine the ongoing interactions among the area’s Alutiiq/Chugach, De- na’ina, Russian, and U.S. cultures. The project's manager is Shana Loshbaugh, and the other members of the steering committee are Michael Hawfield, Willard Dunham, and Roger Pearson. They have done a stellar job of putting this event together, and have assembled an amazing array of topics through the speakers that are sched- uled. Shana Loshbaugh will be speaking to our Society at the April 2nd meeting. Please attend to hear more about this confer- ence. April 2017 Newsletter Kenai Historical Society P.O. Box 1348 Kenai, Alaska 99611 Page 133 of 138 2 Page 134 of 138 3 The first time I saw the photo on page 2, identifying the men as Capt. Rose and Bill Dawson, I was aware of the document pictured below, a document titled Dawson and Berg, General Merchandise. I believe that this enterprise was likely owned by W.N. Dawson and Emil Berg, because those are the signed names of the witnesses to the bill of sale. It isn’t much of a stretch to think that Bill Dawson identified in the photo could well be W.N. Dawson (i.e. William). The document is a bill of sale by a Emil Ness, selling a log house in Kenai (the Coal Tar Johnson house) to a Charles Wagner. I’ve heard the name Coal Tar Johnson, but I have no reference for it. And, who might Charles Wagner have been? The date on the document is a puzzle, since it looks like 1980, but I enlarged it and believe it could have been a “q” which is below the “2” on a keyboard and then typed over with a “2”, making it 1920. Speculation, but perhaps consistent with what we know. I checked these names out with Peggy Arness, and she didn’t have a lot of recollection to add as to Wagner or Johnson. What she did tell me that was interesting was that Emil Berg and Andrew Berg (brothers) built houses for other people, some of them in Kenai. She thought that the Arness building in our historic cabins park was built by them, but wanted to think on that a little longer. I know that Emil and Andrew Berg both lived in the Tustamena area and had cabins there, but that was the first I had heard of them building for other people. I know more about Andrew than Emil, since Andrew was written about as Alaska’s Number One Guide. If any of you know more about Emil, I would be interested in the information. At the March meeting, we identi- fied pictures, and I was pleased to learn a little more about the Termi- nal Garage and Café, which Hal Thornton started in the mid- 1940’s. The photo to the top left is a picture of his operation in 1948, and the second is the same business two years later, in 1950. These photos came to us from Ruth Gruninger. I did not know the location before, and learned at that meeting tht it was behind the Paradisos location. One of the attendees said that it was sold to the Tumsudens. If any of you remember something about this business, I would like to gather the information so we have it in our files. Please contact me at the next meeting. Some things to add would be dates of the various owners, people who worked there, and how many the café served. Were there gas pumps? Page 135 of 138 4 Received this photo from Steve and Barb Lewis, from their friend Scott Frostad. Estimate this picture about 1944-46. Below is the request from Barb Lewis and a response from Peggy Arness. If any of you come up with info, please let me know. Would you please see if these children can be identified. I don't know anything of these children, except that my friend Scott Frostad thinks the girl with the hair ribbon standing on back row is his mother Pat Frostad, daughter of Mary and Ole Frostad, born about 1936 in Kenai. The Frostad family was in the 1940 Kenai census. Thanks for your help. Barb Lewis That is an interesting photo, one I don't remember. If Pat Frostad was born in 1936, she looks at least ten?? I think the dark haired, white blouse girl below Pat might be Kathy Wilson, Below her, blond boy I am sure is Glen Kooly, possibly the boy on the end in front, light pants is probably Rudy Wilson. This might be the time I arrived in Kenai, but it is not when I taught. Peggy Arness Page 136 of 138 5 P.O. Box 1348 Kenai, AK 99611 kenaihistory@gmail.com ABBREVIATED MINUTES *** MARCH 2017 On Sunday, March 5, 2017, the Kenai Historical Society met. The printed minutes of the February 2017 meeting were approved unanimously. The Treasurer’s Report stated a checking account balance of $7567.55 and a Money Market account balance is $18,778.42. The Edward Jones Account is $25,234.13 as of January 31, 2017. Our membership count is 38. Cabins Park fund balance increased by $.06 Michael Skinner will again be the docent for 2017. Mountain View Elementary will tour in May. Old Business: History Conference for April 21, and 22, 2017 appears to be on course for April 21 and 22, 2017. The scheduled cost is $40 for both days or $25 for one day, and registration is due at the end of March. There is a book fair planned on Saturday, April 22, from 9 -6, and a table for this is $20.00. KHS will sell Once Upon the Kenai and Snapshots of Statehood and we will have membership forms available and share the table with Pioneers of Alaska. Reprinting of Once Upon the Kenai will cost approximately $30 per book, that we have signed a contract to go ahead with the printing, and per the contract, 250 books will cost $6331 and freight will be $1175. The mem- bers then discussed the price to charge for the books; and it will be taken up by the Board of Directors to set a price. New Business - It appearing that there was no new business, the meeting adjourned. The members participated in a lively discussion about the historic photos of Kenai buildings that was presented by the photo identification committee. The next meeting is scheduled for April 2, 2017. There will be Board of Directors meeting with the Edward Jones representative on March 8th. Sharon Fisher, Secretary Page 137 of 138 KENAI HISTORIC SOCIETY Our Organization There has been a Historic Society since the days before Kenai becom- ing a city. The Society was formed a few years before Statehood in 1959, and then went inactive in the early 60’s. It restarted in the latter part of the 60’s and has met regularly since. The Society had a museum in Fort Kenay for some years, and then continued to meet after that closed. The non-profit Society implemented and operates the Kenai Historic Cabins Park, open for tours in the summer months. We have office space at the Moosemeat John cabin, but are not open to the public in that building. Our member meetings are Sept., Nov., Dec., Jan., Feb., Mar., and April at the Kenai Visitor Center. For Oct. and May, we meet with the Kenai Peninsula Historical Association. Please check the Meet- ings and Announcements section on this page for date information. MEETINGS AND ANNOUNCEMENTS Kenai Historical Society Monthly Meeting April 2, 2017—1:30 p.m. Kenai Visitor Center 150 Years: Kenai Peninsula History Conference April 21-22, 2017 http://www.kenaipeninsulahistory.org/ KPHA Spring Meeting May 6, 2017, 10:00 at Hope Social Hall Mailing Address Labels PLEASE PLACE STAMP HERE Kenai Historic Society P.O. Box 1348 Kenai, AK 99611 Phone: 283-1946 Phone: 776-8254 E-mail: ak.kyaker@yahoo.com www.facebook.com/Kenai- Historical-Society Page 138 of 138 Let the Sun Shine In All levels of government have Sunshine Laws Federal – FOIA (Freedom of Information Act) Alalska – OMA (open meetings act); ORA (Open Records Act) Kenai Peninsula Borough – ordinances City of Kenai – KMC 10.30 and KMC 10.40 KMC 10.30 and KMC 10.40 KMC Appendix, Public Record Inspections Regulations OMA – Open Meetings Act It is the policy of the state that (1) the governmental units mentioned in AS 44.62.310(a) exist to aid in the conduct of the people’s business; (2) it is the intent of the law that actions of those units be taken openly and that their deliberations be conducted openly; (3) the people of this state do not yield their sovereignty to the agencies which serve them; (4) the people, in delegating authority, do not give their public servants the right to decide what is good for the people to know and what is not good for them to know; (5) the people’s right to remain informed shall be protected so that they may retain control over the instruments they have created. ALASKA OMA – OPEN MEETINGS ACT The OMA does not specifically require that minutes be taken, although it does require that votes must be conducted so the public “may know the vote of each person entitled to vote,” except when voice votes are authorized. AS 44.62.310(a). Votes must be taken by roll call at teleconferenced meetings. There is probably an implied statutory obligation, or common law obligation, to keep minutes of public meetings. . Likewise, there may be specific legal requirements that tapes or minutes of executive sessions be kept, and made available after a certain time period, or after the matter discussed in executive session has been finally resolved. ORA – Open Records Act “public access to government information is a fundamental right that operates to check and balance the actions of elected and appointed officials and to maintain citizen control of government;” and that “to protect the public’s right to know, public records must be available at nominal cost.” § 1, ch.200, SLA 1990 in the Temporary and Special Acts. KMC 10.30 and 10.40 INTENT 10.40.010 Intent. It is the intention of the City to provide access of the public to municipal records and information consistent with the Alaska Public Records Act, so that the people of the City may be well informed at all times as to municipal business. With the exception of the specific exemptions set forth under Section 10.40.040, all information and records in the control of the municipality shall be made available to the public upon request. (Ord. 2396-2009) The foregoing enumeration of information available for public inspection is not designed to limit the categories of records and information that shall be made available to the public pursuant to this chapter. The policy of providing public access to public information shall be broadly and liberally construed. (Ords. 2396-2009, 2695-2013) KMC 10.30 and 10.40 BROADLY AND LIBERALLY CONSTRUED KMC 10.30 and 10.40 THREE TYPES OF REQUESTS Routine are clearly to be made available to the public which can be responded to quickly without a substantial amount of effort or time by the City staff  may be submitted orally or in writing Non-routine must be made in writing and referred to the City Clerk for approval or disapproval records that are or might be exempt from disclosure will or might be denied for any reason will take more than one (1) person-hour of staff time to respond from a person involved in litigation with the City TRUST (ELECT) VERIFY (Open Meetings; Public Records)